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[00:00:02]

GOOD MORNING EVERYBODY.

[1. Presentation and discussion of the City Manager’s Fiscal Year 2023-2024 Proposed Budget.]

I WILL CALL TO ORDER THE AUSTIN CITY COUNCIL FOR A BUDGET WORK SESSION.

IT IS WEDNESDAY, JULY 19TH, 2023.

WE ARE CONVENING, UH, AT NINE O'CLOCK IN THE MORNING IN CITY HALL IN THE COUNCIL CHAMBERS AND CITY HALLS LOCATED AT 3 0 1 WEST SECOND STREET IN AUSTIN.

AND WE HAVE A QUORUM OF THE AUSTIN CITY COUNCIL PRESENT.

UH, AS I INDICATED, THIS IS A WORK SESSION THAT IS CALLED FOR THE PURPOSE OF, OF TALKING ABOUT THE BUDGET.

AND WITH THAT, I WILL RECOGNIZE OUR CITY MANAGER.

LET'S SEE.

IS THIS ON? ALRIGHT, IT IS, UH, MAYOR MEMBERS OF COUNCIL.

I'M, UH, MANAGER.

YOU HAVE MORE THAN THREE MINUTES.

ALL RIGHT, VERY GOOD.

VERY GOOD.

BUT I'LL TRY TO, I'LL TRY TO GIVE BACK THE BALANCE OF MY TIME TO ED AND HIS STAFF.

I'M VERY PLEASED TO BE ABLE TO PRESENT, UH, THE OPERATING BUDGET FOR FISCAL YEAR 24 TO ALL OF YOU.

BEFORE I BEGIN WITH, FOR SOME OF THE SPECIFICS, I JUST WANNA TAKE THIS MOMENT TO THANK ALL THE DEPARTMENT DIRECTORS, THE ASSISTANT CITY MANAGERS, FINANCIAL STAFF WITHIN EACH OF OUR CITY DEPARTMENTS, OF COURSE, OUR MAYOR AND COUNCIL BOARDS AND COMMISSIONS, AND ESPECIALLY OUR BUDGET TEAM IN THE FINANCIAL SERVICES DEPARTMENT LED BY CARRIE LANG.

THIS WAS TRULY A COLLABORATIVE EFFORT TO GET US WHERE WE ARE TODAY.

THE BUDGET I'M PROPOSING IS REALLY FOCUSED ON THREE THEMES, GETTING BACK TO BASICS IN CITY GOVERNMENT SERVICES, ADVANCING COUNCIL PRIORITIES AND SHEPHERDING, CRITICALLY IMPORTANT ONCE IN A GENERATION PROJECTS FOR OUR COMMUNITY, AND A SAMPLING OF THE HIGHLIGHTS THAT IS IN THIS BUDGET THAT ALL OF YOU BEGAN TO SEE ON FRIDAY.

AND, UH, MANY PEOPLE HAVE DELVED INTO THAT AS AS ONCE IT WENT ONLINE ON SUNDAY.

BUT LET ME JUST KIND OF HIGHLIGHT WHAT I THINK ARE SOME OF THE IMPORTANT INITIATIVES THAT ARE IN THE BUDGET.

ONE IS WE'RE FINDING, UH, WE'RE FUNDING, UH, STAFFING TO IMPROVE SECURITY AND CLEANLINESS OF OUR LIBRARIES AND PARKS.

WE ARE FUNDING THE STAFF TO IMPLEMENT, UH, THE, TO IMPLEMENT, UH, THE KROLL REPORT AND TO CONDUCT PHASE, UH, TO MOVE US INTO PHASE D OF THAT STUDY, SEVERAL POSITIONS, UH, IN E M S TO EXPAND RECRUITING EFFORTS AND TO ADDRESS THE PAN.

UH, THE, TO ADDRESS THE PANDEMIC VACANCY RATES, EXPANSION OF ENHANCED LIBRARY CARD, ADDITIONAL SAGE STR SHADE STRUCTURES FOR OUR PARKS, UH, STAFFING TO OPEN THE GOODNIGHT RANCH FIRE STATION AND EMS STATION, 16 FIREFIGHTERS AND 12 E M S, UH, CADET, OR C EMS PARAMEDICS, ADDITIONAL CASEWORKERS AND CONTRACTUAL FUNDING FOR THE DOWNTOWN COMMUNITY COURT FUNDING TO BEGIN THE IMPROVING OF PARKLAND OPEN THROUGH A LAND MANAGEMENT PROGRAM.

AND WHAT WE'VE ASKED THE STAFF IS, WHILE THIS IS A MODEST FIRST ATTEMPT, IS TO TRY TO BEGIN TO DEVELOP A FIVE YEAR PROGRAM SO THAT WE CAN MAKE, WE KNOW WHAT THE SUBSEQUENT INVESTMENTS WILL NEED TO BE OVER THE NEXT FIVE YEARS.

UH, WE ARE PROPOSING AN INCREASE TO THE GENERAL FUND RESERVES FROM 14 TO 17%.

AND AS YOU KNOW, WE'VE, AS WE'VE TALKED TO EACH OF YOUR OFFICES, WE'RE EXPECTING TO HAVE ADDITIONAL DISRUPTIONS TO OUR CITY, UH, GOVERNMENT IN TERMS OF WEATHER RELATED EVENTS.

AND IT'S IMPORTANT FOR US TO GET TO THOSE RESERVES TO THE RIGHT LEVEL SO THAT WE CAN, UH, RESPOND TO THE PUBLIC'S NEEDS AT THAT TIME.

THE, UH, INVESTMENT IN GENERATIONAL PROJECTS OR THE CONVENTION CENTER PROJECT CONNECT AND EX AIRPORT EXPANSION.

THE STATISTIC THAT YOU ALL MIGHT, UH, BE INTERESTED IN IS THE SAN ANTONIO AIRPORT SEES ABOUT 10 MILLION PASSENGERS A YEAR.

THE AIRPORT AT AUSTIN BERGSTROM SEES OVER 20 MILLION PASSENGERS A YEAR.

IT IS A PHENOMENAL GROWTH THAT THAT FACILITY HAS EXPERIENCED.

I WAS HERE WHEN WE OPENED IT UP IN 1999, AND WE NOW NEED TO MAKE A SIGNIFICANT INVESTMENT SO WE CAN KEEP UP WITH THAT GROWTH AT THAT FACILITY, A CIVILIAN WAGE INCREASE OF 4%.

WE INCREASE, WE INCREASE THE LIVING WAGE FROM $20 TO $20 AND 80 CENTS.

AND BY DOING IT THIS WAY, AND WE'LL, WE'LL MEET, WE'LL BEAT THE $22, UH, HOUR STANDARD BY 25.

BUT BY DOING IT IN THE MANNER WHICH WE ARE PER, UH, RECOMMENDING, IT KEEPS THE PROBLEM OF COMPRESSION FROM TAKING PLACE.

INCREASED CITY CONTRIBUTIONS TO THE THREE PENSION SYSTEMS. THERE WAS LEGISLATION THIS YEAR TO FIX THE, THE CITY OF AUSTIN PENSION SYSTEM AS WELL AS THAT OF POLICE.

AND OUR CITY EMPLOYEES WILL SEE A 1% INCREASE FROM 8% TO 9% TO THE PENSION SYSTEM.

ONE OF THE THINGS THAT'S ALWAYS A DIFFICULT WHEN WE PUT A BUDGET TOGETHER IS THE HEALTH PREMIUMS. AND THIS CITY HAS DONE A PHENOMENAL JOB IN MANAGING ITS HEALTHCARE COSTS.

SO WE'RE ABLE TO RECOMMEND NO INCREASES TO THE HEALTH PREMIUMS FOR OUR CITY EMPLOYEES.

THIS IS THE FIFTH TIME IN THE PAST SIX BUDGET YEARS.

WE, WE'VE BEEN ABLE TO DO THAT.

AND THE WAY WE'RE ABLE TO DO THAT THIS YEAR IS THAT WE'RE GOING TO CREATE, UH, OR HAVE A PROGRAM THAT'S CALLED MEDICARE ADVANTAGE.

I'M A MEMBER OF MEDICARE ADVANTAGE THROUGH, UH, THROUGH A SYSTEM THAT'S PRIVATE, AND IT'S ONE THAT IT HELPS, UH, IT'LL HELP OUR, UH, PEN, IT'LL HELP OUR,

[00:05:01]

UH, UH, BENEFIT FUND BY MOVING, UH, RETIREES INTO THAT BECAUSE IT SAVES A CONSIDERABLE SUM OF MONEY.

BUT WE DO THIS ON A VOLUNTARY BASIS IN 24, AND HOPEFULLY WE'LL BE ABLE TO MAKE THAT PERMANENT IN 25.

AND THIS WAS SOMETHING THAT AFSCME ASKED US TO HAVE TIME SO THAT THEY COULD ADJUST TO THIS STANDARD.

AND SO, WE'LL, WE'LL, I'LL OFFER THIS ON A VOLUNTEER BASIS, AND HOPEFULLY OUR RETIREES WILL TAKE ADVANTAGE OF THAT, UH, INCREASING, UH, THE INCOME LIMIT TO MAKE IT EASIER FOR CITY EMPLOYEES TO ACCESS THE CHILD CHILDCARE BENEFIT.

THE COUN PREVIOUS COUNCILS HAVE ALLOCATED DOLLARS, A MILLION DOLLARS OR SO FOR CHILDCARE, AND IT HAS NOT BEEN ACCESSED AT THE RATE THAT WE THOUGHT IT WOULD.

SO WE'RE GONNA CHANGE THOSE ELIGIBILITY LIMITS SO WE CAN HAVE MORE OF OUR EMPLOYEES ACCESS THAT FUND TO HELP THEM WITH THEIR CHILDCARE COST.

AND WHILE THE BUDGET INCREASES THE CITY TAXES, WE ARE PROPOSING THE BUDGET AT THE ROLLBACK RATE.

UH, A TYPICAL RESIDENT FOR AUSTIN IS GONNA HAVE A 2% IN INCREASE OR ABOUT $8 A MONTH.

AND ED, UH, AND HIS TEAM WILL GET INTO MORE DETAIL ABOUT THAT.

UH, AND IF YOU'RE RETIRE, IF YOU'RE A, A SENIOR CITIZEN, AS I AM, WE'LL SEE EVEN LESS OF AN INCREASE IN TERMS OF YOUR, UH, IMPACT OF THIS CITY INCREASE.

AND SO BEFORE I, UH, TURN IT OVER TO ED AND ERIC FOR A MORE DETAILED PRESENTATION, LET ME, UH, STATE SOMETHING THAT'S REALLY IMPORTANT.

UH, I WANNA STRESS THE IMPORTANCE OF CONTINUED PHYSICAL FISCAL DISCIPLINE AS WE MOVE FORWARD, UH, WITH, UH, WITH YOUR BUDGET DELIBERATIONS.

UH, WHILE THE PROPOSED BUDGET IS BALANCED IN 24, YOU WILL NOTE THAT IN FUTURE YEARS, WE BEGIN TO RUN DEFICITS AS WE BEGIN TO HIT THE CONSTRAINTS OF THE 3.5% LIMIT THAT WE HAVE IN OUR, IN OUR TAX RATE.

AND SO AS WE, UH, UH, CHOOSE WHAT INVESTMENTS TO MAKE, WE NEED TO DO IT WITH THAT VISION IN MIND OF WHAT IT LOOKS LIKE TO 3, 4, 5 YEARS OUT SO THAT WE CAN ENSURE THAT WE CAN LIVE WITHIN OUR MEANS.

UM, AND SO WHAT HE WOULD ASK YOU TO BE VERY JUDICIOUS IN REGARDING NEW AND ONGOING INVESTMENTS, AND NOW WE MOVE THE APPROVAL.

IS THERE A SECOND ? LET ME TURN IT OVER TO TED .

GO AHEAD.

UH, GOOD MORNING, MAYOR AND COUNCIL.

UM, IT IS A PLEASURE TO BE HERE TODAY.

MY NAME IS ED VAN NINO, THE CHIEF FINANCIAL OFFICER FOR THE CITY.

AND AS YOUR CHIEF FINANCIAL OFFICER, THIS IS ALWAYS ONE OF MY MOST EXCITING POINTS IN THE, UH, IN THE YEAR, THE DAY THAT WE FORMALLY ROLL OUT AND PRESENT TO YOU THE CITY'S BUDGET PLAN FOR THE NEXT FISCAL YEAR.

UM, I MAY BE BIASED IN THIS, BUT, UM, IN MY OPINION, THIS IS PROBABLY THE MOST IMPORTANT DOCUMENT THAT COUNCIL APPROVES EVERY YEAR.

IT'S A DOCUMENT THAT REFLECTS YOUR PRIORITIES, UH, POLICY PRIORITIES, AND, YOU KNOW, IF, IF WE GOT IT RIGHT, IF TRULY WILL REFLECT THE THINGS THAT YOU HAVE TOLD US OVER THE LAST YEAR AND IN PREVIOUS YEARS, THAT THESE ARE THE KIND OF PRO PROGRAMS AND POLICIES YOU WANT TO SEE IMPLEMENTED, THIS THEN BECOMES THE FUNDING THAT WE HAVE AVAILABLE TO IMPLEMENT YOUR PRIORITIES OVER THE, OVER THE COURSE OF THE YEAR.

NOW, I KNOW I'LL HEAR FROM SOME OF MY COLLEAGUES THAT, HEY, THERE'S A LOT OF OTHER IMPORTANT DOCUMENTS THAT WE PRODUCE IN THIS CITY.

I DON'T KNOW IF THE BUDGET'S, UH, THE MOST IMPORTANT.

SO I'LL BE DIPLOMATIC AND SAY IT'S ONE OF THE MOST IMPORTANT DOCUMENTS YOU'LL APPROVE, UM, IN ANY GIVEN FISCAL YEAR.

AND WE'RE REALLY EXCITED TO, UM, PRESENT IT TO YOU TODAY.

I DO WANNA MAKE A FEW INTRODUCTIONS.

I'M JOINED TO MY LEFT BY OUR BUDGET OFFICER, CARRIE LANGE.

AND I, I JUST REALLY WANT TO, UH, UH, SAY WELCOME BACK, CARRIE, WE ARE SUPER HAPPY TO SEE YOU IN THAT SEAT.

NOBODY MORE HAPPY THAN ME TO SEE YOU IN THAT SEAT TODAY.

AND TO HER RIGHT? MY LEFT IS OUR, UM, DIVISION CHIEF, UM, IN OUR BUDGET UNIT, ERIC NELSON, UM, WHO HAS, HAS REALLY STEPPED UP AND, UM, DONE A GREAT JOB GETTING US TO THIS POINT, UM, WHEN, WHEN CARRIE WAS OUT FOR A, A, A COUPLE MONTHS.

SO, UM, YEAH, SO LET ME GET INTO IT.

LET'S GO TO THE NEXT SLIDE.

JUST KIND OF TALK ABOUT WHAT WE'RE, UH, HAVE IN LINE FOR YOU TODAY.

I WANT TO FIRST COME OFF AND TALK ABOUT OUR FISCAL YEAR 24 BUDGET TIMELINE.

IT'S A LONG TIMELINE.

I JUST WANNA GIVE YOU A SENSE OF, UH, WHERE WE CAME FROM AND WHERE WE'RE GOING FROM.

UH, TODAY.

UM, I WILL TALK ABOUT OUR ALL FUNDS OVERVIEW.

THIS IS THE 50,000 FOOT OVERVIEW OF THE CITY'S BUDGET, THAT, THAT, THAT TOTAL AMOUNT OF MONEY THAT WE HAVE SPENDING SPENDING.

AND, UM, AND KIND OF WHERE WE'RE ALLOCATING IT TO ERIC WILL THEN COME UP AND TALK TO YOU IN MORE DETAIL ABOUT OUR GENERAL FUND, UM, BUDGET AND HIGHLIGHTS.

UM, AND THEN CARRIE'S GONNA WRAP US UP WITH OUR CAPITAL BUDGET AND NEXT STEPS.

WE ABSOLUTELY INTEND FOR THERE TO BE, UH, TIME AVAILABLE AT THE END OF THIS FOR THE CITY COUNCIL TO ASK US QUESTIONS AND TO, UM, UM, JUST HAVE A DISCUSSION.

UM, MAYBE BEFORE I GO TO THE NEXT SLIDE, JUST HANG ON ON, ON THIS SLIDE FOR A BIT.

I JUST WANT TO TALK A LITTLE BIT ABOUT REALLY WHAT OUR HOPE AND INTENTION OF TODAY'S MEETING IS.

YOU'RE GONNA SEE IN A, IN A IN A SECOND.

THIS IS NOT THE ONLY WORK SESSION, RIGHT? THIS IS NOT THE ONLY TIME WE'RE GONNA BE HERE TALKING TO YOU ABOUT THE BUDGET.

WE HAVE MULTIPLE WORK SESSIONS PLANNED.

UM, AND SO REALLY WHAT WE'RE HOPING TO GET TO TODAY IS, IS, IS

[00:10:01]

KIND OF LIKE SETTING THE TABLE.

THIS IS LIKE SETTING THE THANKSGIVING TABLE AND SEEING EVERYTHING THAT, THAT'S AVAILABLE TO US TO DISCUSS.

WHAT WE WANT TO, YOU KNOW, HOPEFULLY GET FROM COUNCIL TODAY IS, YOU KNOW, WHAT ARE YOUR INITIAL THOUGHTS AND REACTIONS TO THE BUDGET? ARE THERE, YOU KNOW, WE'D LOVE TO HEAR WHAT YOU LIKE ABOUT THE BUDGET, BUT TO, THERE'S THINGS TO THE EXTENT THAT THERE'S THINGS YOU'D STILL LIKE TO SEE MAYBE ADDRESSED IN THIS BUDGET.

WE'D LIKE TO START HEARING ABOUT THOSE TODAY.

AND THIS IS NOT YOUR ONLY OPPORTUNITY TO DO THAT.

BUT THAT'S REALLY WHAT WE'RE HOPING TO DO, TO DO TODAY.

IT'S A LITTLE BIT OF A HIGHER LEVEL DISCUSSION.

UM, AND, AND OF COURSE WE HAVE OUR BUDGET QUESTION PROCESS.

IT'LL BE AN OPPORTUNITY FOR YOU TO ASK MORE DETAILED QUESTIONS ABOUT THE BUDGET.

OF COURSE, IF YOU HAVE QUESTIONS TODAY, WE'LL DO OUR BEST TO ANSWER THEM.

BUT JUST REMEMBER THAT WE DO HAVE ADDITIONAL WORK SESSIONS PLANNED WHERE WE'LL DIVE INTO, UH, THE DEPARTMENT BUDGETS IN MORE DETAIL, AND WE'LL HAVE THOSE DIRECTORS AVAILABLE AT THOSE MEETINGS.

UM, TO SPECIFICALLY RESPOND TO YOUR QUESTIONS ABOUT INDIVIDUAL DEPARTMENT BUDGETS, LET'S DO THE TIMELINE, WHICH CAN PROBABLY BE SHORT CUZ I THINK I SAID MOST OF WHAT I WANTED TO SAY ALREADY ON THE NEXT SLIDE.

UM, YOU KNOW, THIS IS REALLY JUST TO SAY THIS TAKES A LONG TIME.

THIS IS NOT SOMETHING WE JUST, YOU KNOW, DID LAST WEEK.

OH GOSH, WE GOTTA DO THE BUDGET, LET'S GET IT DONE.

AND NO, WE'VE BEEN AT THIS, UM, SINCE JANUARY.

HONESTLY, THIS YEAR WE HAD A REQUEST FROM OUR JOINT INCLUSION COMMITTEE TO GET STARTED EVEN EARLIER.

AND SO WE WERE DOING SATURDAY BUDGET DISCUSSIONS WITH OUR JOINT INCLUSION COMMITTEE BACK IN DECEMBER OF 2022, TALKING ABOUT THE 2024 BUDGET PROCESS IN THOSE EARLY MONTHS.

WE DO A LOT OF ENGAGEMENT, UM, WITH OUR BOARDS AND COMMISSIONS, UM, GIVING THEM AN OPPORTUNITY TO PROVIDE FEEDBACK OF WHERE, ABOUT WHERE THEY WOULD LIKE TO SEE THIS DOCUMENT GO.

UM, YOU MAY RECALL BACK ON MAY 2ND, WE DID OUR FINANCIAL FORECAST PRESENTATION TO COUNCIL.

AND THAT PERIOD OF, YOU KNOW, EARLY MAY TO, UM, MIDDLE OF JUNE IS WHERE STAFF IS REALLY WORKING WITH ALL OF OUR DEPARTMENTS TO LOOK AT THE POLICY INPUT WE'VE RECEIVED AND TRYING TO CRAFT A BUDGET THAT WE FEEL IS, UH, FINANCIALLY RESPONSIBLE, BALANCED THIS YEAR, UM, UH, SUSTAINABLE INTO THE FUTURE.

AND, AND SOMETHING THAT ADDRESSES YOUR, UM, COUNCIL PRIORITIES.

UM, WE'RE HERE TODAY ON JULY 19TH, DELIVERING IT TO YOU, OF COURSE.

UM, YOU KNOW, TYPICALLY WE WOULD, UH, BE, UH, POSTING THE, UH, THE DOCUMENT ONLINE RIGHT NOW AS I'M TALKING.

WE'D BE PUTTING IT UP ONLINE.

UH, THIS YEAR WE HAD SOME REQUESTS TO GET THAT ELECTRONIC VERSION OF THE DOCUMENT OUT EARLIER, SO WE POSTED THAT ACTUALLY ON SUNDAY.

AND SO I KNOW MANY OF YOU, PROBABLY MOST OF YOU HAVE ALREADY, UH, TAKEN A LOOK AT THE BUDGET AND ARE GONNA BE FAMILIAR WITH A LOT OF THE THINGS WE'RE TALKING ABOUT TODAY.

AS I MENTIONED, WE HAVE MULTIPLE WORK SESSION SCHEDULED.

UM, WE'LL BE BACK ON JULY 26TH.

THE IDEA ON THAT DAY IS TO DIVE INTO THE NEXT LAYER OF DETAIL ON OUR GENERAL FUND DEPARTMENT.

UM, ON AUGUST 1ST WE'LL DO THE SAME THING, BUT FOR OUR ENTERPRISE DEPARTMENTS, YOU DO SEE AUGUST 3RD AND EIGHTH ON HERE.

BUT AS THE, UH, THE MAYOR, UH, MENTIONED IN HIS MESSAGE BOARD, BOARD POST, WE'RE KIND OF LOOKING AT THOSE AS OPTIONAL.

WE'LL TAKE INPUT FROM YOU ABOUT WHETHER OR NOT YOU THINK WE NEED THOSE ADDITIONAL WORK SESSIONS, BUT THEY MAY BE CANCELED.

UM, AUGUST 10TH.

THE IDEA FOR AUGUST 10TH IS REALLY JUST TO NOT HAVE STAFF PRESENTATIONS, BUT BE, HAVE IT TO BE YOUR TIME TO ASK US ADDITIONAL QUESTIONS AND TO HAVE A DISCUSSION AMONGST YOURSELVES ABOUT DIFFERENT BUDGET AMENDMENTS THAT MAYBE HAVE FLOATED UP, UH, DURING THAT PERIOD.

AND THEN ON AUGUST 16TH, WE'LL BE BEFORE YOU TO SEEK YOUR APPROVAL OF THE FISCAL YEAR 2024 BUDGET, WHICH WILL GO INTO EFFECT ON OCTOBER 1ST.

AND WE CAN ADVANCE TWO SLIDES AND, AND JUMP INTO WHAT DOES THIS, WHAT DOES THIS TOTAL CITY BUDGET LOOK LIKE? UM, IT'S A 5.5 BILLION BUDGET THAT WE'RE PROPOSING FOR FISCAL YEAR 2024.

OF COURSE, THAT INCLUDES OUR GENERAL FUND BUDGET, WHICH IS ABOUT ABOUT A QUARTER OF OUR TOTAL CITY BUDGET.

UM, AND ERIC WILL GET MORE INTO THE GENERAL FUND BUDGET.

YOU KNOW, THE, THE, THE LARGEST PORTION OVERALL OF OUR BUDGET, A LITTLE BIT MORE THAN 40% GOES TO THE FACT THAT WE OWN, UM, ELECTRIC AND A WATER UTILITY.

THOSE ARE BIG EXPENSIVE OPERATIONS TO RUN.

NOT ALL CITIES, UM, RUN THOSE OPERATIONS.

BUT IN THE CITY OF AUSTIN WE DO.

AND, AND THAT'S 41% OF OUR TOTAL BUDGET.

I WON'T READ 'EM ALL, BUT YOU CAN SEE WE ARE, WE ARE A FULL SERVICE CITY.

WE HAVE A LOT OF ENTERPRISES.

WE RUN A CONVENTION CENTER, WE RUN AN AIRPORT.

UM, WE HAVE A, A, A TRANSPORTATION AND PUBLIC WORKS DEPARTMENT WATERSHED, UH, YOU KNOW, DRAINAGE PROTECTION AND WATER QUALITY PROGRAMS. UM, SO WE TRULY ARE A, A FULL SERVICE OPERATION.

THE INTERNAL SERVICES PORTION OF THIS PIE CHART SPEAKS TO, UM, FOLKS LIKE CARRIE, ERIC, AND MYSELF, AND, AND ANN MORGAN, ALL THESE SUPPORT FUNCTIONS THAT SUPPORT THE ENTIRE ORGANIZATION IS WHAT'S IN THAT INTERNAL SERVICE FUNCTION.

UM, AND THEN, UH, YOU KNOW, YOU ALWAYS HAVE TO HAVE SOMETHING TO ROUND OUT YOUR PIE CHART.

OTHER EXPENSES, UM, SOME OF THE BIGGEST FUNDS IN THAT AREA ARE, ARE EMPLOYEE BENEFITS FUND AND, UM, OUR, OUR NEW PROJECT CONNECT THE AUSTIN TRANSIT PARTNERSHIP.

AND THE MONEY THAT WE ALLOCATE TO THAT PROGRAM ARE THE TWO OF THE BIGGEST PIECES OF THAT.

UM, OTHER PORTION OF THE PIE CHART, LOOKING AHEAD ON THE NEXT SLIDE, THESE ARE WHAT WE CALL CITYWIDE COST DRIVERS.

SO THESE ARE THINGS THAT REALLY FLOW THROUGH THE ENTIRE ENTERPRISE.

THEY TOUCH

[00:15:01]

ALL OF OUR ENTERPRISES WHEN, WHEN WE MAKE THESE TYPES OF CHANGES.

SO, UM, ONE OF OUR BIGGEST COST DRIVERS EVERY YEAR IS THE EMPLOYEE WAGE INCREASE.

WE ARE PROPOSING A 4%, UH, INCREASE FOR OUR CIVILIAN WORKS WORKFORCE THIS YEAR.

UM, THAT 4% WE DID LAST YEAR WAS THE HIGHEST, UM, INCREASE WE HAD OFFERED IN OVER 20 YEARS.

THIS WILL BE THE SECOND CONSECUTIVE YEAR WHERE WE'RE AT THAT 4% LEVEL.

OF COURSE.

UM, INFLATION'S BEEN VERY HIGH RECENTLY AND, AND THE, UH, LABOR COSTS HAVE BEEN MOVING UP.

SO WE FEEL THIS INCREASE IS NECESSARY TO KEEP US COMPETITIVE IN THE LABOR MARKET SO WE CAN CONTINUE TO ATTRACT AND RETAIN, UH, THE BEST QUALITY EMPLOYEES THAT WE CAN.

UM, OF COURSE WE HAVE BEEN STRUGGLING IN MANY AREAS TO ATTRACT EMPLOYEES.

UM, BUT WE, WE BELIEVE THAT THIS WILL, UH, AT LEAST KEEP US COMPETITIVE IN THE MARKET.

AND WE'RE NOT THE ONLY CITY THAT ARE STRUGGLING TO ATTRACT EMPLOYEES RIGHT NOW.

IT IS JUST A VERY TIGHT LABOR MARKET.

UM, WE ARE PROPOSING TO INCREASE THE LIVING WAGE FROM $20 AN HOUR TO $20 AND 80 CENTS AN HOUR.

YOU MAY RECALL FOR THE FIRST TIME IN MANY YEARS, WE INCREASED OUR LIVING WAGE, UM, DID A SUBSTANTIAL INCREASE FROM $15 PER HOUR TO $20 PER HOUR, EFFECTIVE OCTOBER 1ST OF FISCAL YEAR 23.

WE'RE PROPOSING TO TAKE THAT UP ANOTHER 80 CENTS IN FISCAL YEAR 24.

UM, WE DO PROJECT THAT BY OCTOBER OF 2025, WE WILL GET TO $22 AN HOUR, WHICH HAS BEEN A PRIORITY OF THE CITY COUNCIL.

UM, LET'S MOVE ON TO THE NEXT ONE.

THIS, UH, THIS IS, UH, SPEAKING ABOUT OUR SWORN COMPENSATION COSTS.

THESE ARE COSTS THAT, UM, ARE ALREADY INCURRED AND ARE GONNA BE FLOWING FORWARD INTO THE FISCAL YEAR 24 BUDGET.

SO THIS ISN'T THE MONEY THAT WE ARE ANTICIPATING WILL BE NEEDED FOR, UM, UH, LABOR CONTRACTS.

WE'RE STILL IN NEGOTIATIONS WITH ALL OF OUR ASSOCIATIONS, BUT THESE ARE THINGS THAT HAVE ALREADY GONE INTO PLACE IN FISCAL YEAR 23 THAT ARE CARRYING FORWARD INTO FISCAL YEAR 24, INCLUDING, UH, 2.9 MILLION, UH, IN E M S, UM, FOR THE FULL YEAR COST OF THE, OF THE ONE YEAR AGREEMENT THAT WAS, UM, SIGNED FOR FISCAL YEAR 23 IN THE POLICE ASSOCIATION.

YOU MAY RECALL THAT THERE WAS AN EXTENSIVE DISCUSSION, UM, AMONGST THIS DIOCESE ABOUT, UH, A ONE YEAR, UM, AGREEMENT IN OUR POLICE DEPARTMENT TO, UM, HOLD THEM OVER UNTIL WE CAN GET TO A CONTRACT WITH THEM AND TO PROVIDE, UM, INCENTIVES FOR OUR EMPLOYEES TO COME HERE AND TAKE JOBS AS POLICE OFFICERS AND FOR US TO TRY TO RETAIN THE OFFICERS.

WE HAVE, UM, SOME ASPECTS OF THAT PROPOSAL.

WERE A 4% ACROSS THE BOARD INCREASE AND AN ADDITIONAL STEP INCREASE AT YEAR 23.

THOSE THINGS WERE APPROVED IN MAY I BELIEVE, OF LAST YEAR.

AND SO IN THE FISCAL YEAR 24 BUDGET, WE NEED TO ANNUALIZE THOSE COSTS.

UM, THIS AMOUNT ACTUALLY REFLECTS THE FULL YEAR COST, BUT, UM, THE, THE INCREMENTAL AMOUNT IS THAT, IS THE ADDITIONAL AMOUNT WE NEED TO PUT INTO THE BUDGET FOR THOSE INCREASES.

AND THEN ALSO PART OF THAT, UH, PAY INCENTIVE PACKAGE WAS A LUMP SUM INSTEAD OF PAYMENT OF $2,500 IN JANUARY, 2024, THE FIRST OF TWO LUMP SUM INCENTIVE PAYMENTS.

THE SECOND ONE THOUGH, WILL BE HITTING IN, UH, THE FISCAL YEAR 25 BUDGET.

UM, WE'RE CURRENTLY WORKING WITH, UH, THE AUSTIN FIRE ASSOCIATION THROUGH AN ARBITRATION PROCESS.

WE'RE CURRENTLY AT THE TABLE WITH EMS NEGOTIATING, UM, UM, A LONG-TERM CONTRACT AND, AND STILL HAVING DISCUSSIONS ABOUT WITH THE POLICE ASSOCIATION ABOUT GETTING BACK TO THE TABLE TO SEEK A LONG-TERM, A CONTRACT WITH THE POLICE ASSOCIATION.

AND, AND AGAIN, WE DO HAVE, UM, MONEY INCLUDED IN THE GENERAL FUND BUDGET IN ANTICIPATION THAT WE WILL BE ABLE TO GET TO LABOR AGREEMENTS WITH ALL THREE ASSOCIATIONS.

LET'S GO ON TO THE NEXT SLIDE.

UM, A ANOTHER BIG COST DRIVER FOR THE CITY AND ANY YEAR, BUT PARTICULARLY IN THIS YEAR.

BUT IN ANY YEAR, UM, WHEN WE HAVE WAGE INCREASES, WHEN WE INCREASE THE NUMBER OF EMPLOYEES WE HAVE, YOU'LL SEE INCREASES TO OUR RETIREMENT CONTRIBUTIONS.

WE HAVE THREE RETIREMENT SYSTEMS, ONE FOR OUR POLICE OFFICERS, ONE FOR OUR FIREFIGHTERS, AND ONE FOR OUR GENERAL EMPLOYEES AND PARAMEDICS.

UM, FOR THE POLICE SYSTEM, WE, UH, IMPLEMENTED THE STATE LEGISLATURE APPROVED, UM, REALLY IMPORTANT REFORMS TO THE POLICE SYSTEM, UH, NOT THIS SESSION, THE PRIOR SESSION THAT HAS SUBSTANTIALLY IMPROVED THE FINANCIAL OUTLOOK FOR THE POLICE RETIREMENT SYSTEM.

UM, AND, UM, OH, I'M SORRY.

I JUMPED AHEAD.

ONE SLIDE.

JUST GO TO THE NEXT SLIDE.

WE'LL COME BACK TO THIS ONE.

I APOLOGIZE.

I, MY SLIDES IN FRONT OF ME IN IN IN REVERSE ORDER.

CAN YOU ADVANCE IT? ONE, OH, THERE WE GO.

I'M SORRY.

GO BACK.

WE'LL GET IT TOGETHER.

UM, YEAH, SO SPEAKING ABOUT OUR POLICE RETIREMENT SYSTEM, YOU CAN SEE ON THE TABLE HERE A 7.3 MILLION INCREASE IN THE CONTRIBUTIONS TO THE POLICE RETIREMENT SYSTEM.

THAT IS SOMETHING THAT'S REQUIRED BY STATE STATUTE.

I DO WANNA REMIND THE COUNCIL THAT THE POLICE EMPLOYEES, UM, LAST YEAR ALSO SAW A 2% INCREASE IN THEIR CONTRIBUTIONS.

SO THIS IS NOT JUST A, A ONE-SIDED CORRECTION TO THESE RETIREMENT SYSTEMS. IT'S A MULTIFACETED CORRECTION THAT RESULTED IN INCREASED CITY CONTRIBUTIONS, INCREASED

[00:20:01]

POLICE OFFICER CONTRIBUTIONS, LOWER BENEFIT HERE AND, AND OTHER CHANGES IN THE 88 SESSION.

THE SESSION THAT WE JUST GOT THROUGH THE CITY OF AUSTIN, UH, UH, EMPLOYEES RETIREMENT SYSTEM, UM, SAW REFORMS SIMILAR TO WHAT WE DID WITH THE POLICE DEPARTMENT.

UM, AND SO INCREASED CONTRIBUTIONS TO THE CITY SYSTEM AS WELL.

AND, UM, THE EMPLOYEES WILL SEE A 1% INCREASE IN THEIR CONTRIBUTIONS TO THE SYSTEM THIS YEAR AND ANOTHER 1% NEXT YEAR.

SO, UM, THIS IS A GOOD NEWS STORY, UM, CUZ IT PUTS OUR RETIREMENT SYSTEMS BACK ON TRACK TO BEING FINANCIALLY SUSTAINABLE AND STABLE AND ENSURING THAT THOSE IMPORTANT BENEFITS ARE AVAILABLE TO OUR EMPLOYEES, UM, WHO ARE EITHER CURRENTLY RETIRED OR WHO WILL BE RETIRING.

NOW, LET'S GO BACK ONE AND TALK ABOUT THE EMPLOYEE AND RETIREE, UH, BENEFITS.

WE'RE REALLY HAPPY AND JUST KUDOS TO THE HEALTH OR TO THE, UM, HUMAN RESOURCES DEPARTMENT FOR THE WORK THEY'VE BEEN DOING TO LOOK AT PLAN DESIGN AND HOW WE CAN CONTINUE TO PROVIDE A GREAT BENEFIT TO OUR EMPLOYEES, BUT ADJUSTING THE PLAN DESIGN IN WAYS THAT HELPS, KEEPS PREMIUMS DOWN.

UH, THIS WILL BE THE FIFTH YEAR IN THE LAST SIX THAT WE'VE HAD A 0% PREMIUM INCREASE.

WE DID DO A 5% INCREASE IN FISCAL YEAR 23, BUT THE FOUR YEARS PRIOR AND FOR FISCAL YEAR 24 PROPOSED, UM, NO PREMIUM INCREASE.

LOOKING AHEAD, A BIG PART OF HOW WE'RE GETTING TO THAT NO PREMIUM INCREASE IS BY OFFERING A NEW MEDICARE ADVANTAGE PROGRAM TO OUR RETIREES.

WE'RE REALLY EXCITED ABOUT THIS.

UM, WE, WE BELIEVE IT'S GONNA PROVIDE A BETTER LEVEL OF BENEFITS TO OUR RETIREES AT A LOWER PREMIUM FOR THEM.

AND IT'S, IT'S JUST ONE OF THOSE THINGS THAT WE CAN DO TO HELP KEEP THOSE PREMIUM COSTS DOWN FOR OUR RETIREES.

UM, YOU CAN SEE THE CITY CONTRIBUTIONS TO THE, UH, SYSTEM ARE GOING UP SUBSTANTIALLY WHILE ACTIVE AND RETIREE, UM, CONTRIBUTIONS ARE ESSENTIALLY STAYING FLAT.

NOW WE CAN ADVANCE TWO SLIDES.

I THINK THAT CONCLUDES MY COMMENTS.

UM, ERICSSON COME UP AND TALK TO YOU IN DETAIL ABOUT THE GENERAL FUND AND, UM, I WILL BE AVAILABLE TO COME BACK IF YOU HAD ANY QUESTIONS ABOUT THESE SLIDES.

MAYOR, ARE WE, UM, YEAH, ARE WE, ARE WE HOLDING OUR QUESTIONS TILL AFTER THE PRESENTATION? WELL, UH, I, I'LL ASK THEM WHAT THEY THINK IS THE BEST WAY TO DO THAT AND SO THAT I, I WAS ANTICIPATING THAT'S WHAT WE WOULD DO JUST IN CASE YOU'RE ASKING A QUESTION THAT MIGHT BE ANSWERED BY FUTURE PARTS OF THE PRESENTATION, BUT I'M, I'M, THIS IS OUR WORK SESSION, SO HOWEVER YOU WANT TO APPROACH, IT'S FINE WITH ME.

OKAY.

WELL, I JUST HAD A, A QUICK QUESTION ON, UM, ON WHAT YOU LAID OUT.

MR. VANDY KNOW THE, WHAT IS THE, THE CITY'S CURRENT VACANCY RATE FOR OUR DEPARTMENTS.

THE CITYWIDE VACANCY RATE'S IN THE 15 TO 16% RANGE, I BELIEVE FROM THE, THE LAST REPORT I SAW.

OKAY.

MM-HMM.

, THANK YOU.

AND I'LL VERIFY THAT FOR YOU, BUT IT'S, IT'S IN THAT RANGE.

THANK YOU.

UH, GOOD MORNING COUNCIL MEMBERS.

I'M ERIC NELSON, DIVISION CHIEF WITH FINANCIAL SERVICES BUDGET AND PERFORMANCE.

I'M GONNA TAKE A DEEPER DIVE INTO THE GENERAL FUND PORTION OF THE BUDGET.

SO WE'LL START WITH, UH, THE REVENUE SITUATION.

AS YOU CAN SEE, UH, PROPERTY TAX CONTINUES TO BE OUR MAJOR SOURCE OF REVENUE.

IT'S ACTUALLY COME DOWN A BIT, UM, AS SALES TAX GROWTH HAS ACCELERATED AND AS A RESULT OF THE LEGISLATURE'S REVENUE CAP, BUT IT STILL IS OUR LARGEST AND PROBABLY MOST STABLE SOURCE OF REVENUE.

UM, OTHER SIGNIFICANT SOURCES, AGAIN, ARE SALES TAX, UM, WHICH WE'VE SEEN PRETTY EXPLOSIVE GROWTH IN IN THE PAST SEVERAL YEARS, AND WE'LL DIVE DEEPER INTO IN A FEW SLIDES.

WE HAVE THE TRANSFERS FROM OUR UTILITIES, AND THEN WE HAVE OUR, OUR CATCHALL OTHER CATEGORY.

UM, IN TERMS OF THE YEAR OVER YEAR INCREMENTS, PROPERTY TAX WILL GROW BY A LITTLE BIT LESS THAN 20 MILLION.

UH, THAT DOES ASSUME THE VOTER APPROVAL RATE, UM, WHICH IS THE MAXIMUM RATE WE CAN GO TO WITHOUT TRIGGERING AN AUTOMATIC ELECTION.

UM, ONE OTHER THING I'D NOTE IS THAT THAT INCREMENT AT THE VOTER APPROVAL RATE IS PRETTY SMALL.

UM, AND AGAIN, THAT'S A CONSEQUENCE OF THAT STATE REVENUE CAP.

WE JUST DON'T HAVE, UM, THE FREEDOM ANYMORE TO, TO GENERATE, UH, AS A SIGNIFICANT AMOUNT OF REVENUE WHEN WE GO TO THAT MAXIMUM TAX RATE.

UH, SALES TAX, AGAIN, WE'LL DIG INTO MORE, BUT WE'RE EXPECTING A LITTLE LESS THAN 13 MILLION IN ADDITIONAL SALES TAX.

UH, THE UTILITY TRANSFERS LINE BEARS A LITTLE BIT MORE EXPLANATION.

WE ARE ESTIMATING THAT THE AUSTIN ENERGY TRANSFER IN FY 23 WILL BE REDUCED BY 10 MILLION, UH, FOR, UH, A ONE TIME CHANGE.

AND THAT WILL BE ON

[00:25:01]

THE AGENDA FOR YOU TOMORROW.

SO FORGIVE OUR PRESUMPTUOUSNESS, BUT ANOTHER BUDGET, WE'VE ESTIMATED THAT, THAT YOU WILL APPROVE THAT TOMORROW, AND THAT'S WHY YOU'RE SEEING, UH, SUCH A LARGE INCREASE THERE.

UH, WITHOUT THAT CHANGE, IT WOULD ONLY BE A 2 MILLION INCREASE.

THAT'S ALL FROM AUSTIN WATER AS WE ARE, UH, PROJECTING THAT THE AE TRANSFER WOULD OTHERWISE REMAIN FLAT.

UM, WE'LL DIG MORE INTO THE OTHER REVENUE AS WELL, BUT WE'RE SEEING A SLIGHT DECLINE THERE AND, UM, THAT'S A FUNCTION MAINLY OF INTEREST.

AND, UM, UH, A TRANSFER THAT'S GOING AWAY.

UH, IN TOTAL WE'RE GETTING ABOUT, UH, 3.3% REVENUE GROWTH VERSUS OUR ESTIMATE, UM, WHICH, YOU KNOW, SEEMS FAIRLY STABLE, BUT WHEN WE LOOK OUT AT OUR PROJECTIONS FOR EXPENDITURES, UH, JUST OUR BASE EXPENDITURES, WE'RE GROWING AT ABOUT 3.6% A YEAR.

AND SO AS WE'LL SEE IN A FEW SLIDES, OBVIOUSLY, UM, THOSE TRAJECTORIES ARE GONNA CROSS EACH OTHER AT SOME POINT AND WE'LL RUN INTO A STRUCTURAL IMBALANCE.

UH, NEXT SLIDE PLEASE.

DIGGING MORE INTO THE PROPERTY TAX.

THIS SLIDE JUST SHOWS YOU A BIT OF THE HISTORY WITH WHAT WE'VE EXPERIENCED WITH TAXABLE VALUE GROWTH IN THE CITY.

AND IT ILLUSTRATES THE FUNDAMENTAL DYNAMIC WITH PROPERTY TAX, WHICH IS GENERALLY SPEAKING, AS VALUES GO UP, THE RATE WILL COME, WILL COME DOWN.

UM, OUR PROPERTY TAX, EVEN WITH THE, UH, ONE-TIME JUMP IN F Y 21 ASSOCIATED WITH PROJECT CONNECT, UM, HAS COME RIGHT BACK DOWN AND IS, UH, NEAR ITS ITS LOWEST LEVELS IN, UH, OVER 30 YEARS.

UM, AND THE OTHER THING TO NOTE IS JUST THAT WE'VE HAD SOME PRETTY REMARKABLE PROPERTY VALUE GROWTH IN AUSTIN OVER THIS TIMEFRAME.

UM, BACK IN 1991, TOTAL VALUE WAS 17 BILLION, AND THIS YEAR WE'RE PROJECTING IT'LL BE OVER 240.

AND EVEN IN THE LAST 10 YEARS, TAXABLE VALUES HAVE, UH, ALMOST TRIPLED.

FOR THE RATE ITSELF WE'RE PROJECTING THE ACTUAL TAX RATE W WILL BE AT 42.42 CENTS.

THAT'S A 3.85 CENT DECLINE.

AGAIN, IT IS AT THE VOTER APPROVAL RATE, SO IT'S OUR MAXIMUM INCREASE, BUT THE RATE IS DECLINING, UM, AS A RESULT OF THE VALUE GROWTH, WHICH DRIVES THE RATE DOWN, THE RATE HAS THREE COMPONENTS.

THE, THE O AND M PIECE IS THE PART WE RETAIN TO FUND, UH, GENERAL FUND MAINTENANCE AND OPERATIONS EXPENDITURES.

THE PROJECT CONNECT CHUNK, WE'RE COMMITTED TO TRANSFERRING TO ATTP EVERY YEAR TO SUPPORT THAT PROJECT.

AND 8.44 CENTS GOES TO SERVICE OUR, UH, GEO DEBT AND, AND OTHER ELIGIBLE DEBT.

UM, WITH RESPECT TO THE VALUE GROWTH, UH, WE'RE PROJECTING 11.6% GROWTH THIS YEAR.

THAT'S BASED ON, UM, THE NOTICED ROLES FROM THE APPRAISAL DISTRICTS WITH AN EXPECTATION FOR SOME PROTEST LOSS.

UM, I DO WANT TO NOTE, YOU MAY HAVE SEEN THE NEWS ABOUT THE RECENT BILL PASSED BY THE LEGISLATURE.

UM, I DON'T KNOW HOW THE APPRAISAL DISTRICTS ARE GOING TO INTERPRET AND IMPLEMENT THAT IN THE NEXT WEEK BEFORE OUR CERTIFICATION IS DUE.

I THINK IT'S GONNA BE CHALLENGING FOR THEM, UM, BUT, UH, KNOWING MARIA TCA, SHE'LL FIGURE IT OUT.

UM, BUT THAT SAID, I WOULD EXPECT THAT GROWTH RATE TO COME DOWN A LITTLE BIT.

UM, OUR, YOU KNOW, OUR TAXABLE VALUE OVERALL IS VERY STRONG OF OUR NEW PROPERTY.

TAXABLE VALUE, UM, HAS DECLINED BY ALMOST 40% IN THE LAST TWO YEARS, AND WE'RE, UM, AT THE LOWEST LEVEL SINCE FY 17, THAT, THAT'S IMPORTANT FOR SEVERAL REASONS.

ONE IS JUST, UH, AN INDICATOR ABOUT THE STATE OF THE ECONOMY, BUT TWO, THAT IS WHAT I LIKE TO CALL OUR FREE MONEY, UM, BECAUSE IT'S NOT SUBJECT TO THE LEGISLATURE'S REVENUE CAP.

SO WE'RE GETTING OUR FULL, UH, FULL TAX RATE APPLIED TO THAT NEW VALUE.

UM, AND IT'S NOT BEING CAPPED.

AND SO WHEN THAT COMES DOWN, THAT'S WHY, THAT'S PART OF THE REASON WHY THAT PROPERTY TAX INCREMENT, UM, IS, IS SO SURPRISINGLY LOW.

WHEN WE TRANSLATE THAT RATE AND THAT VALUE GROWTH INTO AN ACTUAL, UH, TANGIBLE IMPACT FOR OUR TAX PAYERS, WE COME UP WITH THESE FIGURES.

UM, WE'RE SEEING A VERY MODEST INCREASE PROJECTED OF ONLY ONE AND A HALF PERCENT FOR OUR, OUR TYPICAL HOMEOWNER.

AND THAT'S SOMEONE WHO LIVES IN, UH, A HOMESTEAD WHO DOES NOT RECEIVE THE SENIOR DISABLED EXEMPTION.

UM, THE, THE SENIORS IN DISABLED HOMESTEADS, IT'S AN EVEN, PARDON ME, AN EVEN SMALLER INCREASE, LESS THAN 1%.

AND THAT'S THE YEAR OVER YEAR CHANGE.

BUT I THINK WHAT'S INTERESTING IS, UH, THAT THESE LEVELS ARE BOTH STILL BELOW WHERE THEY WERE IN FY

[00:30:01]

21 AND, AND WE PICKED FY 21, NOT JUST BECAUSE IT MAKES US LOOK GOOD, BUT, UH, BECAUSE THAT WAS THE YEAR THAT PROJECT CONNECT WAS APPROVED.

AND SO WE HAD ALMOST A 20% INCREASE IN THE TAX RATE, UH, THAT YEAR.

SO IT'D BE TOUGH TO GET BELOW THAT LEVEL.

BUT SINCE THAT TIME, UM, BASED ON YOUR ACTIONS ON THE TAX RATE, HOMEOWNERS IN AUSTIN ARE PAYING LESS THAN THEY WERE, UH, THREE YEARS AGO.

PART OF THAT'S BEEN DUE TO YOUR ACTION ON EXEMPTIONS.

UH, THE GENERAL HOMESTEAD EXEMPTION WAS INCREASED TO THE MAXIMUM 20% IN FY 22.

AT THAT TIME, THE SENIOR EXEMPTION WAS INCREASED TO 113,000, AND AS YOU KNOW, IN JUNE, YOU INCREASED IT AGAIN TO 124,000.

AND, UH, THOSE ACTIONS HAVE REAL CONSEQUENCES IN TERMS OF, UH, RESTRAINING, UM, THE GROWTH IN PEOPLE'S PROPERTY TAX BILLS.

THIS IS TRYING TO PUT THE, THE SIZE OF THAT PROPERTY TAX BILL IN CONTEXT VERSUS, UH, OUR PIERCE CITIES IN, IN, UH, TEXAS ROAD.

UM, AGAIN, YOU CAN SEE THE IMPACT OF THAT ONE TIME JUMP IN FY 21 AS ASSOCIATED WITH PROJECT CONNECT.

BUT, UM, PEG VERSUS INCOME, YOU SEE WE'VE COME RIGHT BACK DOWN AND, AND AUSTIN'S IN THE MIDDLE OF THE PACK IN TERMS OF OFFERING, UM, UH, A REASONABLE BILL.

GIVEN THE LEVEL OF INCOMES IN THE COMMUNITY, I NOW WE'LL MOVE ON, UH, TO SALES TAX.

MY MAIN PURPOSE IN IN THIS SLIDE IS TO REMIND EVERYONE THAT SALES TAX CAN AND DOES GO NEGATIVE.

UM, DURING THE, UH, FINANCIAL CRISIS, UH, WE HAD ALMOST, UH, 10% YEAR OVER YEAR DECLINE AFTER A YEAR OF, UM, ALMOST NO GROWTH.

AND WE WERE VERY BLESSED DURING C O D, BUT EVEN THEN WE DID GO SLIGHTLY NEGATIVE, UM, BY ALMOST A PERCENT.

OF COURSE, SINCE COVID THINGS HAVE EXPLODED, UM, THERE'S BEEN A LOT OF, UH, QUANTITATIVE EASING, UM, EXTRA DOLLARS CIRCULATING IN THE ECONOMY AND, UH, THAT DROVE DROVE, UH, AN EXPLOSION IN SALES TAX REVENUE.

WE'RE SEEING THAT COME DOWN VERY QUICKLY NOW.

UM, WE'RE PROJECTING ENDING THE YEAR AT THIS YEAR, FY 23 AT 6.2%, AND WE'RE LOOKING AT A THREE POINT A HALF PERCENT GROWTH RATE, UH, FOR FY 24.

UH, 3.5% MAY SEEM LOW COMPARED TO SOME OF THOSE RECENT NUMBERS, BUT AGAIN, UH, WE'RE REALLY SEEING SOME SIGNIFICANT DISTORTIONS BECAUSE OF COVID.

UM, IF WE LOOK AT THIS CHART, THIS SHOWS WHAT WE'RE GETTING EVERY MONTH IN TERMS OF OUR PAYMENTS.

UM, WE, OUR RECENT PEAK WAS BACK IN, UM, APRIL OF LAST YEAR BECAUSE WE WERE STILL COMPARING VERSUS A PRIOR YEAR THAT WAS SUFFERING FROM SOME EFFECTS OF SHUTDOWNS.

BUT SINCE THAT TIME, UH, THESE NUMBERS HAVE MOVED IN ALMOST A STAIR STEP PATTERN EVERY FOUR MONTHS, YOU CAN SORT OF SEE THE LEVEL STEP DOWN.

AND, UH, IN THE LAST THREE MONTHS, WE'VE SEEN THAT FALL TO THE, THE 3% RANGE.

UH, WHEN WE DEVELOPED THE BUDGET, WE DIDN'T HAVE THE JULY PAYMENT.

UH, IT JUST CAME IN LAST WEEK.

AND TO BE HONEST WITH YOU, I WAS EXTREMELY RELIEVED TO SEE THAT IT HAD A FOUR AT THE BEGINNING INSTEAD OF ANOTHER THREE OR WORSE.

SO YOU MAY REMEMBER, OH, SORRY, COULD WE GO BACK? MY BAD.

UH, YOU MAY REMEMBER DURING THE FORECAST PRESENTATION, WE HAD JOHN HAWKINS PREPARING ANALYSIS AND, UH, HE WAS PRETTY PESSIMISTIC ABOUT THE STATE OF THE ECONOMY.

UM, I THINK WE'RE STARTING TO SEE THAT WITH THE LACK OF NEW VALUE ON THE PROPERTY TAX SIDE, AND NOW WE'RE STARTING TO SEE IT PLAY OUT IN THE ACTUAL SALES TAX RECEIPTS.

YOU KNOW, INFLATION WILL HELP SALES TAX IN THE SHORT TERM BECAUSE, UM, PEOPLE DON'T CHANGE THEIR BEHAVIOR, BUT PRICES ARE HIGHER.

BUT WHEN IT STARTS TO EAT INTO REAL INCOME GROWTH AND PEOPLE DO CHANGE THEIR BEHAVIOR, AND WE START TO SEE, UH, A STEEP DROP OFF.

THANK YOU.

FRANKLY, UTILITY TRANSFERS TEND TO BE A MUCH MORE STABLE SOURCE OF REVENUE, WHICH IS NICE FOR THOSE OF US WHO HAVE TO FORECAST THESE THINGS.

UH, WE'VE DISCUSSED HOW AUSTIN ENERGY, WE'RE ASSUMING THERE WILL BE THIS ONE-TIME REDUCTION IN 23, BUT HAD THERE NOT BEEN THAT REDUCTION, WE'RE ASSUMING IT WOULD BE FLAT IN F Y 24 AT 115 MILLION AS, UM, Y'ALL AS A BODY WORKED OUT WITH AE WHEN YOU WERE DISCUSSING THEIR LATEST RATE CASE.

AUSTIN WATER HAS SOME PROPOSED FEE INCREASES AND, UH, WE'LL SEE THERE.

THEIR TRANSFERRED TICK UP ABOUT 2 MILLION IN F Y 24.

THANK YOU.

THIS JUST PUTS THOSE NUMBERS IN CONTEXT.

UH, WE'VE SEEN UTILITY TRANSFERS D DECLINE

[00:35:01]

AS A SHARE OF THE GENERAL FUND, THAT 11.7% NUMBERS A LITTLE BIT DISTORTED BY THE ONE TIME AE CHANGE, BUT WE'RE PROJECTING IT WILL BE 12.2% IN F Y 24 DOWN FROM 17.2.

UH, THE TRANSFER'S GROWN ABOUT 15% IN THE LAST 10 YEARS, AND THAT'S COMPARED TO SALES TAX THAT IS ABOUT DOUBLED AND PROPERTY TAX THAT'S GROWN CLOSE TO 90%.

SO THE TRANSFER REALLY HASN'T KEPT UP.

UM, AND THEREFORE IT'S DECLINED AS A SHARE LOOKING INTO THE OUT YEARS BECAUSE OF SOME RATE INCREASES IN POPULATION GROWTH.

UM, AND, AND THE FACT THAT WE DON'T THINK SALES TAX WILL BE AS ROSY AND WE DON'T THINK, UM, OR WE NO LONGER HAVE THE CAPABILITY TO GENERATE AS MUCH PROPERTY TAX REVENUE, IT WILL CREEP UP A BIT, WE'RE PROJECTING AS A SHARE, BUT STILL REMAIN FAR, FAR BELOW WHERE IT WAS 10 YEARS AGO.

I DO ALSO WANT TO NOTE THAT, UH, FINANCIAL POLICY, UH, SETS A CAP ON THE AE TRANSFER AT, AT 12% OF AVERAGE THREE YEAR REVENUE.

AND, UH, BASED ON YOUR DISCUSSIONS WITH AE, WE'RE ACTUALLY CALCULATING OUT INTO THE FUTURE AT ONLY 11.6%.

THIS IS DIGGING A LITTLE INTO THAT OTHER REVENUE CATEGORY, A BIT OF A CATCHALL.

UM, THE, THE MAIN STORY HERE HAS BEEN, UH, THE EXPLOSION IN, IN INTEREST RATE GROWTH AND, AND THEREFORE REVENUE.

UM, THAT'S REALLY SKYROCKETED.

YOU SEE THAT IN THE FY 23 ESTIMATE.

UH, WE ALSO HAVE, UH, OTHER CITY OPERATIONS HAVE, HAVE REALLY RETURNED TO, TO FULL STRENGTH AND, AND FULL UTILIZATION AFTER THE PANDEMIC.

AND WE, SO WE'VE SEEN, UM, UH, THIS REVENUE JUMP UP LOOKING AT F Y 24, HOWEVER, WE'RE LOSING, UH, A 3.8 MILLION TRANSFER FROM DSD THAT WE'VE HAD FOR THE PAST TWO YEARS THAT WAS TO REPAY, UH, THE GENERAL FUND RESERVES FOR, UH, ESSENTIALLY A LOAN THAT WE GAVE THEM WHEN WE ESTABLISHED DSD AS AN ENTERPRISE DEPARTMENT TO GIVE THEM SOME ENDING BALANCE CUSHION AS THEY GOT GOING.

THANKFULLY, THEY, THEY'VE DONE VERY WELL AS THE ECONOMY HAS BOOMED AND DEVELOPMENT FEES HAVE COME IN.

AND SO COUNSEL ASKED THAT THEY REPAY THAT LOAN.

SO WE DID THAT OVER A PERIOD OF TWO YEARS, BUT NOW WE'LL BE LOSING THAT 3.8 MILLION TRANSFER.

THANK YOU.

SO WHEN WE COMBINE ALL, UH, THIS REVENUE SITUATION, UM, WITH, WITH WHERE WE'RE AT IN EXPENDITURES, OF COURSE WE PRESENTED A BALANCED BUDGET IN F Y 24.

WE'LL ALWAYS FIND A WAY TO DO THAT.

BUT FOR PLANNING PURPOSES AND DISCUSSION PURPOSES, WE ALSO FORECAST OUT WHERE WE THINK REVENUE AND EXPENDITURES ARE LIKELY TO BE.

THIS REPRESENTS A PRETTY BASE FORECAST, UH, JUST ASSUMING WHAT WE'RE GONNA NEED TO DO TO, TO MEET COUNCIL PRIORITIES THAT HAVE BEEN ESTABLISHED ALREADY AND, UH, TO KEEP THE LIGHTS ON, AS ED LIKES TO SAY.

AND, UM, WE'RE BALANCED IN 24.

WE HAVE A SLIGHT SURPLUS FOR 25, BUT THEN THINGS START TO GO NEGATIVE.

AND SO WE HAVE A PROJECTED 20.6 MILLION DEFICIT BY FY 28.

UM, I DON'T THINK THIS IS THE SAME STORY WE'VE BEEN, WE'VE BEEN SAYING FOR, UH, SEVERAL YEARS NOW, EVER SINCE THE RATE CAP.

UM, AND SO IT'S A FAMILIAR DYNAMIC AND WE'LL CONTINUE TO WORK TO TRY TO ALIGN OUR EXPENDITURE AND, UH, REVENUE CURVE SO WE REACH STRUCTURAL STABILITY.

CAN YOU, CAN WE INTERRUPT YOU REAL QUICKLY? SURE.

COUNCIL MEMBER ALISON AL ALTER.

THANK YOU.

UM, GOOD MORNING.

I WAS WONDERING WHAT THIS ASSUMES IN TERMS OF PUBLIC SAFETY STAFFING OVER TIME.

SURE.

IT ASSUMES, UH, THE OPENING OF ANOTHER FIRE STATION IN, IN F Y 25, AND THEN, UM, FOR THE PAST, UH, TWO OR THREE YEARS WE'VE BEEN ASSUMING THAT WE WOULD START ON THE POLICE STAFFING PLAN.

SO THIS INCLUDES 190 OFFICERS BEING ADDED IN F Y 25 THROUGH FY 28.

IF SO, IT INCLUDES 190 POLICE OFFICERS.

YEAH.

STARTING TO BE, AND IF YOU, THAN FISCAL YEAR 25, ALTHOUGH NOT ALL 190, CORRECT? YEAH, IT'S A STEREOTYPE.

I THINK IT'S 35, 45, 55, 55.

AND, UM, IF, IF YOU REMOVE THOSE, I THINK WE'D BE ROUGHLY BALANCED BY 28.

ANOTHER WAY TO LOOK AT IT, IF YOU DID WANT TO DEVOTE THAT TO THE STAFFING PLAN, YOU'D HAVE ABOUT, UH, FOUR, UM, FOUR AND A HALF MILLION DOLLARS A YEAR.

UM, BUT THEN YOU WOULD HAVE THE DEFICIT, OR IF YOU DON'T ADD ANYTHING BEYOND WHAT IT TAKES TO JUST MEET BASIC EXPENDITURES, WAGE INSURANCE PROJECTIONS, THEN, THEN HOPEFULLY WE'D BE ROUGHLY IN BALANCE.

THANK YOU.

AND, AND I WAS SIMPLY ASKING WHAT THE ASSUMPTION OKAY.

WAS ON THAT, SO THAT I WOULD UNDERSTAND THAT.

THANK YOU.

[00:40:03]

UH, MOVING OVER TO THE EXPENDITURE SIDE, UH, WE SAW THE ALL FUNDS PIE CHART WHERE THE GENERAL FUND IS ABOUT 24% OF THE CITY AS A WHOLE, AND THEN THIS DIGS INTO WHAT THE COMPONENTS OF, UH, THAT GENERAL FUND SLICE ARE.

UM, OUR PUBLIC SAFETY DEPARTMENTS, UM, TAKE UP, UH, UH, A LARGE CHUNK, AND THEN OF COURSE WE HAVE PAR PARKS AND MUNICIPAL COURT ANIMAL SERVICES AND, UH, THE, THE OTHER DEPARTMENTS THAT I'M SURE YOU'RE FAMILIAR WITH, CAN WE INTERRUPT AGAIN? SURE.

IT'S MY UNDERSTANDING COUNCIL MEMBER HARPER MADISON HAS A QUESTION.

ACTUALLY, MAYOR, I DIDN'T HAVE A QUESTION.

I ACTUALLY JUST WANTED TO ENCOURAGE MY COLLEAGUES TO JUST HOLD THEIR QUESTIONS TO THE END.

I THINK IT WOULD BE HELPFUL FOR US TO JUST GET THROUGH THE PRESENTATION AND WRITE, JOT DOWN OUR QUESTIONS AND ASK THEM AT THE END.

THANK YOU.

UH, SO DIGGING IN A LITTLE BIT ABOUT, UH, WHAT'S NEW AND WHAT WE ADDED IN AUSTIN PUBLIC HEALTH, WE'RE GOING TO BE ADDING SEVEN POSITIONS IN THE SUPPORTING BUDGET FOR, UH, THE DOVE SPRINGS PUBLIC HEALTH FACILITY.

AND WE'VE ALSO ADDED 1.2 MILLION, UH, FOR FULL YEAR OPERATIONS OF THE SOUTHBRIDGE SHELTER AT MUNICIPAL COURT.

WE'VE ADDED ABOUT 650,000 TO INCREASED CASE MANAGEMENT AND, UH, REHABILITATIVE SERVICES AT THE DAC AND ANIMAL SERVICES, UH, TRYING TO MAKE AN INVESTMENT THERE, UH, TO IMPROVE THEIR OPERATIONS.

THERE'S FOUR TEMPORARY TO PERMANENT POSITIONS, UM, BEING CONVERTED, AND THAT WILL HA ALLOW, UH, MORE TIME SPENT ON JUST THE DAILY CARE AND FEEDING OF THE ANIMALS.

AS WE ALL KNOW, THE SHELTERS ALWAYS OPERATING AT OR NEAR CAPACITY.

THERE'S $100,000 IN ONE TIME FUNDING FOR AN ANIMAL ANIMAL BEHAVIORIST SERVICES CONTRACT.

WE'RE GONNA TRY THAT FOR A YEAR.

AND, UH, BASED ON HOW IT GOES, THEN WE MAY TRY TO HIRE THAT ON A FULL-TIME BASIS.

THERE'S $100,000 IN THE DOG, UH, EXCUSE ME, FROM THE CAPITAL REHABILITATION FUND TO FUND A DOG KENNEL RUN, UM, AT THE SHELTER.

I JUST WANNA POINT OUT ALSO THAT THE, UH, CAPITAL REHABILITATION FUND TRANSFER FROM THE GENERAL FUND IS FULLY FUNDED PER FINANCIAL POLICY THIS YEAR AT AT 10 AND A HALF MILLION DOLLARS.

AND THIS IS JUST ONE EXAMPLE OF, OF THE, UH, PROJECTS THAT WE'RE ABLE TO DO BECAUSE WE'RE MEETING THAT POLICY, UH, JUST TO, TO KEEP UP THE FACILITIES WE ACTUALLY HAVE.

UM, AND FINALLY, THERE'S SOME MONEY IN THERE SO THAT THEY CAN UPGRADE THEIR, UH, MANAGEMENT SOFTWARE AT THE SHELTER FOR PARD.

UH, WE'RE ADDING, UH, OVER A MILLION DOLLARS IN FUNDING FOR IMPROVED SECURITY AND SAFETY, UM, AS WELL AS FOR SOME GROUNDS MAINTENANCE.

AND TO BEGIN IMPLEMENTING A LAND MANAGEMENT PLAN, UH, THERE'S $1 MILLION IN ONE FUNDING, UH, IN ONE TIME FUNDING FOR THE AUSTIN CIVILIAN CONSERVATION CORPS.

THAT'S BEEN ROLLED OVER FROM THE PRIOR YEAR.

THERE'S $800,000 IN ONE-TIME FUNDING FOR FIELD LIGHTING UPGRADES.

AND, UH, WE ALSO HAVE ANOTHER 210,000 FOR SHADE STRUCTURES THAT'S IN RESPONSE TO AN I F C FROM YOU COUNSEL.

UH, THERE'S 100,000 FOR A, AN ADULT CHANGING TABLE AT ZILKER PARK, WHICH, UH, SEVERAL BOARDS AND COMMISSIONS HAVE BEEN ASKING FOR, FOR, UH, SEVERAL YEARS.

SO WE'RE HAPPY TO FINALLY, UH, BE ABLE TO FUND THAT.

AND FINALLY, THERE'S A QUARTER OF A MILLION DOLLARS FOR, UH, A RETAINING WALL AT DEEP BETTY POOL THAT, UH, IS IN A STATE OF DISREPAIR AND CREATING A SAFETY ISSUE.

SO WE'RE GONNA GET THAT, UH, FIXED RIGHT AWAY, UH, AT THE LIBRARY AGAIN IN RESPONSE TO RECOMMENDATIONS FROM A NUMBER OF BOARDS AND COMMISSIONS.

WE'LL BE EXPANDING THE ENHANCED LIBRARY CARD PROGRAM TO THREE NEW LOCATIONS.

WE'RE ADDING FIVE POSITIONS, I THINK IT'S, UH, TWO SECURITY POSITIONS FOR LIBRARY FACILITIES AND, UH, THREE MAINTENANCE AND CUSTODIAL POSITIONS, UM, TO IMPROVE SECURITY AND CLEANLINESS AT THE LIBRARIES.

AND WE HAVE, UH, ABOUT $2 MILLION IN TOTAL CAPITAL EXPENDITURES TO, UH, MAKE UP FOR SOME SHORTFALLS AND SOME CAPITAL FUNDING.

AND, UH, TO DO SOME ROOF AND HVAC PROJECTS AT OTHER LOCATIONS.

HOUSING WILL BE ADDING THREE POSITIONS AS THEY TRANSITION TO A STANDALONE DEPARTMENT.

UH, THAT'S REALLY RESTORING POSITIONS THAT, UH, WERE ELIMINATED WHEN HOUSING AND PLANNING MERGED, BUT NOW THAT THEY'RE GOING BACK ON THEIR OWN FEET, WE'RE ADDING, UM, SOME SUPPORT STAFF BACK FOR HOUSING FOR PLANNING.

UH, AGAIN, THEY'RE GETTING THREE POSITIONS, UM, TO PROVIDE SOME ADMINISTRATIVE SUPPORT AS WELL AS FIVE PLANNING POSITIONS TO HELP THEM WITH THEIR CORE MISSION.

WE ALSO HAVE 3 MILLION IN ONE TIME FUNDING, UH,

[00:45:01]

TO DO UPDATES TO THE CITY'S VARIOUS COMPREHENSIVE PLANS, INCLUDING IMAGINE AUSTIN.

UH, WITHIN PLANNING, WE, WE HAVE SOME FUNDING FOR THE CLIMATE EQUITY PLAN, INCLUDING, UH, TWO POSITIONS AND THEN, UH, SOME ONE-TIME FUNDING FOR A NUMBER OF INITIATIVES THAT WERE RECOMMENDED IN THAT PLAN.

AND OUR PUBLIC SAFETY DEPARTMENTS WE'RE ADDING STAFF IN BOTH, UH, FIRE AND EMS TO STAFF THE GOODNIGHT RANCH.

WE HAD SOME POSITIONS AT THE AIRPORT, 1.1 MILLION IN FUNDING FOR ZOL MONITORS, WHICH ARE DEFIBRILLATORS AND AMBULANCES.

UH, WITH RESPECT TO POLICE, AS THE CITY MANAGER MENTIONED, WE HAVE 11 CIVILIAN POSITIONS BEING ADDED TO IMPROVE, UH, TRAINING AND REPORTING AT THE ACADEMY.

AND THAT'S IN RESPONSE TO A KROLL REPORT RECOMMENDATION FROM AN EARLIER PHASE.

BUT WE ALSO HAVE FUNDING, UH, TO INSTITUTE, OR EXCUSE ME, TO, UH, CONDUCT KROLL REPORT, PHASE D.

SOME OTHER THINGS WE'RE PLANNING TO DO.

WE HAVE $7 MILLION AS A DOWN PAYMENT ON THE PURCHASE OF THE BEN WHITE FACILITY.

UH, WE, WE HAVE THE FUNDING TO COMPLETE THE CITY'S PURCHASE OF GENERATORS, WHICH WILL COME BEFORE YOU TOMORROW AS WELL, WHERE WE HAVE SOME FUNDING TO HAVE A CONTINGENCY FOR ANY EMERGENT RE EMERGENCY RESPONSE AND SUPPLIES WE MAY NEED.

UH, WE HAVE 200,000 OUTTA THE GENERAL FUND FOR CULTURAL DISTRICT PLANNING.

UH, THAT'S IN RESPONSE TO, UH, A COMMISSION RECOMMENDATION.

AND, UH, WE HAVE 200,000 FOR THE AFRICAN AMERICAN CULTURAL DISTRICT, PHASE ONE.

AND THEN WE'LL ALSO BE DOING PHASE TWO OF THE MEXICAN AMERICAN HERITAGE CORRIDOR OUT OF THE HISTORICAL PRESERVATION FUND.

FINALLY, ABOUT HALF A MILLION DOLLARS FOR IMPLEMENTING THE CITY'S BRANDING INITIATIVE.

UH, AS JESUS MENTIONED, WE HAVE, UH, THE GENERAL FUND ENDING SCHEDULED TO END THE YEAR AT A 17% RESERVES LEVEL.

THIS REPRESENTS AN INCREASE FROM 14 TO 17%, THE CURRENT POLICY'S 14.

UM, HOWEVER, G F O A BEST PRACTICE IS TWO MONTHS.

UH, WE HAVE A RECENT REPORT FROM THE CITY AUDITOR THAT RECOMMENDED, UH, A TWO MONTH RESERVE LEVEL.

AS ED MENTIONED, WE'VE SEEN UTILIZATION OF OUR RESERVES INCREASE, OF COURSE, UH, IN OUR RESPONSE TO COVID.

BUT AS RECENTLY AS A COUPLE MONTHS AGO, UH, COUNCIL APPROVED A TRANSFER FROM THE RESERVES TO AUSTIN RESOURCE RECOVERY, UH, TO FUND ITS, UH, BUDGET OVERAGES ASSOCIATED WITH WINTER STORM MARA.

AND FINALLY, HIGHER RESERVE LEVELS ARE ALWAYS VIEWED FAVORABLY BY RATINGS AGENCIES, AND ESPECIALLY IN AN ENVIRONMENT OF HIGHER INTEREST RATES.

UH, IT'S IMPORTANT TO GET THOSE RATINGS AS HIGH AS WE CAN.

SO THAT CONCLUDES, UH, THE GENERAL FUND PORTION.

WE'LL BE MOVING ON ENTERPRISE.

I DON'T KNOW IF YOU WANT TO PAUSE HERE, QUESTION HERE.

WOULDN'T BE A BAD TIME.

COUNCIL MEMBER FUENTES.

THANK YOU.

THE THREE POSITIONS FOR, TO RESPOND TO MEDICAL EMERGENCIES AT THE AIRPORT, IS THAT THE, UM, EXPANSION OF THE EMS UNIT AT THE AIRPORT, THE PILOT PROGRAM? CORRECT, YES.

OKAY.

IS THAT NOW GONNA BE A, A FUNDED ACTIVITY AT THE AIRPORT OR WILL IT STILL REMAIN AS A PILOT? IT'S GONNA BE FUNDED BY THE AIRPORT.

RIGHT.

SO EMS WILL BE MADE WHOLE, BUT THE STAFF WILL BE AT THE AIRPORT.

AT THE AIRPORT, OKAY.

BUT THAT'LL BE A PROGRAM, UH, A STAFFING STRUCTURE AT THE AIRPORT MOVING FORWARD.

THAT'S MY UNDERSTANDING.

GREAT.

WELL, THAT'S GREAT NEWS.

I'M GLAD, UM, TO SEE THAT INCLUDED IN THE BUDGET.

WE HAVE SEEN ALREADY INSTANCES WHERE HAVING EMS AT THE AIRPORT HAS MADE A LIFESAVING DIFFERENCE, SO I'M PLEASED TO SEE THAT INCLUDED IN THE, IN THE BUDGET.

UH, THE OTHER QUESTION I HAD IS ON THE 1 MILLION FOR EMERGENCY RESPONSE CONTINGENCY.

CAN YOU ELABORATE A LITTLE BIT MORE ON WHAT, ON THE DETAILS OF THAT? SURE.

WELL, BECAUSE IT'S A CONTINGENCY, WE DON'T HAVE A SPECIFIC BUDGET, BUT, UH, IT, IT'S MEANT TO ADDRESS, UH, ANY EMERGENCY SUPPLIES THAT MAY NEED TO BE PURCHASED.

WE'VE JUST EX EXPERIENCED, UM, THESE CHALLENGES IN THE LAST FEW YEARS WITH THE WINTER STORMS. AND WHEN THAT COMES UP, WE NEED SUPPLIES FOR OUR, UH, RESILIENCY CENTERS, OR I KNOW WE'VE HAD INSTANCES WHERE WE'VE BROUGHT WATER IN, AND THIS PROVIDES US AN EASY BUDGETED SOURCE OF FUNDING TO TAP, UM, IF THAT HAPPENS.

IF NOT, IT COULD BE ROLLED OVER AND MAINTAINED IN A FUTURE YEAR.

OKAY, GREAT.

WELL, UH, CITY MANAGER, I'M VERY HAPPY TO SEE, UM, SUCH A FOCUS ON RESILIENCY IN THIS PROPOSED BUDGET.

AND I, I WANTED TO HIGHLIGHT THAT AS ANOTHER, UH, POSITIVE STEP FORWARD BECAUSE WE KNOW THAT WITH CLIMATE CHANGE WORSENING, WE ARE GONNA HAVE MORE DISASTERS IN OUR CITY AND MORE EXTREME WEATHER EVENTS.

SO I'M PLEASED TO SEE THAT ALSO INCLUDED.

THANK YOU.

THANK YOU.

THANK YOU.

COUNCIL MEMBER, COUNCIL MEMBER HARPER MADISON.

THANK YOU MAYOR FOR RECOGNIZING ME.

I APPRECIATE IT.

THANK YOU FOR YOUR PRESENTATION.

I REALLY APPRECIATE IT.

IT'S BEEN VERY THOROUGH.

I'M HAPPY TO SEE YOU, CARRIE.

UM, SO A COUPLE OF QUESTIONS.

ANIMAL SERVICES

[00:50:01]

SPECIFICALLY, UM, I HAVE HEARD SOME REALLY EXTREME STORIES ABOUT ANIMALS BEING INJURED AND THEN KEN KENNEL FOR 23 HOURS AND THEN BECOMING BEHAVIORALLY PROBLEMATIC AND THEN UNADOPTABLE.

SO I, I HAD A SPECIFIC QUESTION ABOUT THIS KENNEL RUN, UM, THING THAT YOU MADE MENTION OF.

WHAT DOES THAT MEAN EXACTLY? WELL, I DON'T KNOW MUCH MORE DETAIL BEYOND WHAT'S HERE, BUT I THINK IT'S AN EXPANSION.

SO I WOULD HOPE IT WOULD HELP WITH THOSE ISSUES BECAUSE IT'LL PROVIDE MORE SPACE FOR DOGS TO EXERCISE AND THEREFORE, UM, I NOT BE CONFINED IN AS SMALL SPACES EXIST NOW, THAT WOULD BE BENEFICIAL BECAUSE WHAT I'M NOT SEEING IS WE'RE NOT ADDING A LOT OF STAFFING AND OR VOLUNTEER OPPORTUNITIES.

AND SO IF, YOU KNOW, THESE DOGS ARE LOCKED UP FOR 23 HOURS A DAY RIGHT, OF COURSE THEY BECOME BEHAVIORALLY PROBLEMATIC.

RIGHT.

UM, THE OTHER QUESTION I HAD ABOUT THAT WAS COUCH MEMBER, ONE OF THE THINGS I WANTED TO JUST MENTION TO YOU ABOUT THE, ABOUT THE ANIMAL SHELTER IS WE'RE, WE'RE RIGHT NOW ENGAGING SOMEONE TO DO A THOROUGH REVIEW AWESOME.

ON THE SHELTER.

THAT'S FANTASTIC.

TRY TO IDENTIFY ALL THE ISSUES THAT NEED TO GET ADDRESSED.

THAT'S FANTASTIC.

WE'VE PLACED FUNDING IN THIS BUDGET TO HELP WITH THE DOG MANAGEMENT OR THE, SO DOES THAT SPEAK TO THIS ANIMAL MANAGEMENT SOFTWARE? I DON'T KNOW WHAT THAT MEANS.

WELL, IT'S, IT'S, IT'S IN EFFECT TO TRY TO DEAL WITH SOME OF THE ISSUES THAT PEOPLE HAVE RAISED IN ALL THOSE EMAILS THAT WE'VE GOTTEN.

OKAY.

AND WE, AS SOON AS THAT REPORT GETS DONE, WE'LL, WE'LL SHARE THAT WITH COUNSEL TO KIND OF SHOW YOU AWESOME.

WHAT IT IS THAT WE'VE IDENTIFIED THAT NEEDS TO GET DONE, AND THEN WE'LL BEGIN TO SYSTEMATICALLY ADDRESS IT.

THANK YOU.

I REALLY APPRECIATE THAT.

THEN THE OTHER QUESTION I HAD, UH, THE NEW FIRE STATION, WHERE IS IT LOCATED? UH, I THINK IT'S, IS IT GOODNIGHT RANCH DISTRICT HERE? PARDON? D TWO? YEAH, IT'S GOOD NIGHT.

RANCH SOUTH.

SOUTHEAST.

SOUTHEAST.

OKAY.

THEN MY LAST QUESTION, UM, SO THE PHASE ONE FOR UM, AA YES.

THAT YOU MENTIONED.

UM, CAN YOU SPEAK TO THAT AT ALL? I REALLY CAN'T, TO BE HONEST WITH YOU.

UM, I CAN GET SOME MONEY.

IS THAT SOMETHING I COULD GET SOME FOLLOW UP ON? YEAH, OF COURSE.

THAT'D BE GREAT.

OF COURSE.

UM, BUT THAT JUST WHAT, I'M SORRY, I LIED.

I DO HAVE ONE MORE QUESTION.

, THE CARVER AND UNIVERSITY HILLS, UM, THOSE ARE OBVIOUSLY IN DISTRICT ONE.

UM, WE ALREADY HAVE SOME FUNDING THAT'S BEEN ALLOCATED, UM, TO BOTH OF THOSE.

SO I'M JUST CURIOUS ABOUT WHAT THE ADDITIONAL FUNDING LOOKS LIKE FOR BOTH LIKE UNIVERSITY HILLS LIBRARY, FOR EXAMPLE.

WE JUST HAD A, A GRAND OPENING, GRAND REOPENING.

I'M CURIOUS WHAT ELSE IS HAPPENING THERE? UH, DON'T QUOTE ME ON WHICH ONE'S WHICH, BUT I BELIEVE ONE IS AN HVAC REPLACEMENT AND ONE IS, UM, A ROOF REPAIR ISSUE.

MY GUESS IS THE CARVER IS THE ONE WITH HVAC.

OKAY.

BECAUSE IT'S BEEN SYSTEMATICALLY A PROBLEM.

OKAY.

UM, OH, CROW REPORT.

CAN YOU EXPAND ON THAT AT ALL? WELL, WE HAVE THE 11 CIVILIAN POSITIONS BEING ADDED AND THAT'S IN RESPONSE TO RECOMMENDATIONS FROM EARLIER PHASES OF THE CROW REPORT.

THEY'RE GONNA BE FOCUSED, UH, ON IMPROVING, UM, TRAINING AT OUR ACADEMY.

AND THEN CROW REPORT, PHASE D I BELIEVE IS FOCUSED ON, UM, LOOKING AT MESSAGING AND COMMUNICATIONS, UM, TO UNDERSTAND UNDERLYING ATTITUDES IN THE DEPARTMENT WHO EXECUTES THAT, UH, COUNCIL MEMBER WHAT, WHAT SEVERAL THINGS.

ONE IS, UH, WE KNOW THAT THERE'S NEEDS TO BE A LOT OF ATTENTION ON THE ACADEMY.

SO THAT PROCESS, WELL, SO FOR WHAT'S WORTH MANAGER, YOU KNOW, UM, THE KROLL REPORT WAS A DIRECT, UM, UH, REFLECTIVE OF A PIECE OF POLICY THAT I BROUGHT FORWARD.

NO, I UNDERSTAND.

WHEN WE HAD A PROBLEM WITH OUR POLICE ACADEMY.

RIGHT.

AND SO I'M VERY CURIOUS TO KNOW EXACTLY WHO, WHAT, WHEN, WHERE.

RIGHT.

I WOULD JUST LIKE TO HAVE MORE DETAILS.

THAT'S RIGHT.

AND WE'LL, AND AND THAT'S SOMETHING THAT YOU CAN FOLLOW UP WITH ME ON.

YOU SPEND A LOT OF TIME COMING BY MY OFFICE , I'VE BEEN GOING BY A OF ALL THE OFFICES.

I KNOW, I KNOW.

SO THAT'S INFORMATION THAT I WOULD REALLY LIKE TO HAVE MORE INFORMATION ON.

NO, WE'D BE HAPPY TO PROVIDE THAT TO.

THANK YOU.

I APPRECIATE IT.

AND MAYOR, I'D LIKE TO JUST REAL QUICK, I JUST WANTED TO MENTION THAT ON, WE'RE, WE'RE TAKING REALLY GOOD NOTES ON THIS COUNCIL MEMBER AND SO SOME OF THESE, UH, TOPICS THAT ARE REALLY MORE OPERATIONAL, WE'RE GONNA HAVE OUR OPERATIONAL EXPERTS HERE ON AUGUST 26TH, AND WE'RE GONNA HAVE ADDITIONAL PRESENTATIONS JULY 26TH, I'M SORRY FOR THAT ON JULY 26TH.

AND SO JUST WANNA MAKE SURE WE'RE GONNA GET BACK TO SOME OF THESE SPECIFIC OPERATIONAL QUESTIONS THAT YOU HAVE EITHER AT THAT WORK SESSION OR THROUGH THE COUNCIL BUDGET QUESTION PROCESS.

I APPRECIATE IT.

THE OTHER, THE OTHER QUESTION THAT IF YOU WOULDN'T MIND TAKING SOME, UM, NOTES ON IS THE ARR ALLOCATION.

I KNOW THAT THERE'S BEEN SOME CONVERSATION ABOUT DOING A COMBINATION OF AUSTIN RESOURCE RECOVERY

[00:55:01]

AND UM, ANOTHER ONE OF OUR DEPARTMENTS, I CAN'T RECALL WHICH ONE, FLEET SERVICES, UM, TO TAKE A SPACE, UH, AND DO LIKE A CO-LOCATED THING.

SO I'M JUST WONDERING WHAT ARE THE IMPLICATIONS THERE FOR THIS ARR ALLOCATION? SO IF YOU JUST WANNA JOT THAT DOWN ALSO AND HAVE THAT BE SOMETHING YOU FOLLOW UP WITH ME ON.

SURE.

I MEAN, THE REAL QUICK ANSWER THOUGH IS THAT THAT'S NOT IN THIS BUDGET WE'RE WORKING ON THAT, THAT WOULD BE THE JOINT, UH, FLEET AND AUSTIN RESOURCE RECOVERY SERVICE CENTER AT THE JOHNNY MORRIS SITE.

RIGHT.

UM, WE CAN SPEAK MORE ABOUT THAT IF YOU WOULD LIKE, BUT WE ARE, WE ARE STILL WORKING ON THAT.

WE'RE MOVING IT FORWARD AND, UM, DO HOPE TO HAVE SOME FUNDING AND, UH, RECOMMENDED FUNDING IN A FUTURE BUDGET OR MIDYEAR TO MOVE FORWARD WITH THAT PROJECT.

I'D LIKE THAT VERY MUCH.

AND, AND FOR WHAT IT'S WORTH, YOU KNOW, AS THE CHAIR OF THE, UH, HOUSING COMMITTEE, I WOULD, UH, I WOULD ENCOURAGE THAT IF THAT'S SOMETHING THAT YOU HAVE BEFORE OUR NEXT MEETING OR THE FOLLOWING MEETING, THAT THAT'S SOMETHING YOU COULD PRESENT THERE.

UM, SO YOU DON'T NECESSARILY HAVE TO KEEP IT EXCLUSIVE TO THE BUDGET PROCESS.

OKAY.

YEAH.

THANK YOU.

WE CAN GIVE YOU A QUICK UPDATE ON THAT.

I APPRECIATE IT.

THANK YOU.

THANK YOU.

COUNCIL MEMBER.

COUNCIL MEMBER RYAN ALTER THE MAYOR PROAM AND COUNCIL MEMBER FUENTES ON SLIDE 28, THE NEW INVESTMENTS YOU IDENTIFIED 7 MILLION TO FUND DOWN PAYMENT ON TO PURCHASE THE BEN WHITE FACILITY.

I'M JUST CURIOUS WHY WE'RE USING GENERAL FUND INSTEAD OF SOME CO OR OTHER.

UH, MY UNDERSTANDING IS THAT THAT, UH, PURCHASE IS NOT DEBT ELIGIBLE.

UM, BECAUSE I THINK BECAUSE WE'RE ALREADY LEASING IT, I CAN SPEAK TO IT BETTER THAN I CAN.

YEAH.

SO UNDER HEALTH BILL 1869, YOU REMEMBER WHERE THAT PASSED LAST YEAR.

IT PUT RESTRICTIONS ON WHAT CITIES AND COUNTIES, NOT JUST AUSTIN, BUT ACROSS TEXAS, CAN ISSUE CERTIFICATES OF OBLIGATION FOR AND ADMINISTRATIVE USES.

WE CAN NO LONGER ISSUE CERTIFICATES OF OBLIGATION FOR.

AND SO WE NEED TO LOOK TO OTHER FINANCING MECHANISMS OR WE'D HAVE TO WAIT UNTIL WE KNEW OUR DO OUR NEXT BOND ELECTION, UM, TO, TO GET VOTER APPROVAL TO DO THAT, YOU KNOW, GIVEN HOW EXPENSIVE IT IS FOR US TO LEASE PROPERTY, WE'RE REALLY LOOKING FOR WAYS THAT WE COULD GET OUTTA LEASES, GET INTO PURCHASE PROPERTY, AND, AND THAT LEASE MONEY WE USED TO SPEND, UH, IS, IS, YOU KNOW, MONEY THAT WE'RE USING TO PAY DOWN THE NEW FACILITY.

SO THAT'S WHAT THE 7 MILLION IS, IS FOR, OBVIOUSLY THE FACILITY'S GONNA COST US MORE THAN THAT IF WE'RE ABLE TO ACQUIRE IT.

BUT THIS GIVES US, I THINK, NEEDED FLEXIBILITY IN ORDER TO TRY TO COME UP WITH A FINANCING STRUCTURE THAT WILL WORK WITH THE CONSTRAINTS WE HAVE TO WORK WITHIN.

GOT IT.

AND QUICK, QUICK QUESTION.

WHICH FACILITY IS IT? THIS IS THE, UH, THE FACILITY THAT THE CITY CURRENTLY LEASES.

IT'S, IT'S THE ONE OFF OF, UH, BEN WHITE.

BEN WHITE TWO 90, WHERE NEAR THE MEXICAN CONSULATE.

UH, OKAY.

THANK YOU.

AND I'M CURIOUS WHAT WE ARE DOING, UH, I KNOW MANAGER MENTIONED IN THE, YOUR, YOUR OVERVIEW LETTER IN THE BUDGET, BUT AS IT RELATES TO NINE ONE ONE CALL TAKERS, WHAT IS IN THE BUDGET, IF ANYTHING, NEW OR ADDITIONAL TO ADDRESS OUR NINE ONE ONE CALL TAKER? THAT CHALLENGE? SO THE, THE, WE DON'T HAVE ADDITIONAL FUNDING IN THE, IN THE BUDGET, YOU KNOW, BEYOND THE FUNDING THAT'S NEEDED TO RUN THE CENTER.

BUT OUR, UM, POLICE DEPARTMENT, OUR ASSISTANT CITY MANAGER OF REPUBLIC SAFETY AND HR DEPARTMENT ARE WORKING ON A, UM, ON A, UM, UM, A CAREER PROGRESSION PLAN, LIKE A, A, A PLAN TO ADDRESS SALARIES AND STAFFING SHORTAGES IN THAT AREA.

UM, I DON'T KNOW THAT WE HAVE AN UPDATE FOR YOU RIGHT NOW ABOUT WHERE WE ARE WITH THAT, BUT IT'S POSSIBLE WE'LL BE ABLE TO PUT THAT IN PLACE EVEN PRIOR TO THE BEGINNING OF THE FISCAL YEAR.

DON'T, NOT FOR SURE, BUT WE ARE WORKING ON IT ACTIVELY.

UM, WE MAY NEED TO PUT ADDITIONAL FUNDING IN THE BUDGET IN FUTURE YEARS TO PAY FOR IT, BUT GIVEN THE, UM, EXTRAORDINARILY HIGH VACANCY, RIGHT, RIGHT, RIGHT.

THEY HAVE, RIGHT NOW, THERE'S A SUFFICIENT SAVINGS FOR US TO IMPLEMENT THAT EVEN MID-YEAR IF WE CAN GET IT, GET IT READY IN PLACE.

BUT, YOU KNOW, REALLY A PLAN TO INCENTIVIZE OUR, UM, YOU KNOW, CRITICALLY IMPORTANT NINE ONE ONE CALL TAKERS TO STAY IN THAT PROFESSION, UM, FOR A LONG TIME.

AND THIS MAY BE, UH, JULY 26TH.

QUESTION.

IF SO, I'M HAPPY TO WAIT.

BUT AS IT RELATES TO THAT PARTICULAR TOPIC, WE HAD A MEETING A WHILE BACK ABOUT, YOU KNOW, WE ARE PAYING THE RATE, WE'RE PAYING FOR OUR CALL TAKERS, BUT THEN WE ARE HIRING, OR WE'RE, WE'RE EMPLOYING OUR SERGEANTS AT OVERTIME RATES THAT ARE BASICALLY THREE TIMES WHAT WE'RE PAYING OUR CALL TAKERS.

WAS THERE ANY KIND OF ANALYSIS DONE ON IF WE INCREASE THE WAGE THAT WE MIGHT ACTUALLY HAVE A NET SAVINGS BECAUSE WE'RE NOT GOING TO BE SPENDING TIME AND A HALF ON OUR SWORN POLICE OFFICERS.

DID, DID WE DO ANY KIND OF COST BENEFIT ON THAT OR ARE WE TRYING TO SEE IF THE CURRENT PAY STRUCTURE INCENTIVES WILL GET US WHERE WE'RE TRYING TO GO? WELL, I CAN SAY IF WE'VE DONE IT, I'VE NOT, I'VE NOT SEEN IT.

IT'S NOT BEEN LED BY, UM, MY DEPARTMENT.

LET ME CIRCLE BACK WITH HUMAN RESOURCES AND OUR

[01:00:01]

ACM OVER THAT FUNCTION, BRUCE MILLS, AND WE CAN PROVIDE MORE INFORMATION AT THE NEXT, ON THE 26TH, WE CAN PROVIDE YOU MORE DETAIL.

BUT THE PRELIMINARY RESULTS ARE, WE, WE'VE, UH, BECAUSE THE, THE HOUSE WAS A LITTLE ON FIRE.

WE, WE WENT TO THE EMERGENCY BASIS.

WE ARE DEALING STUFF WITH PAY, AND WE CAN GET YOU THAT DETAIL IN TERMS OF THE PIPELINE IS BEGINNING TO GET FILLED WITH WHAT THE, THE, UH, THE, THE, THE PAY STRUCTURES WE'RE PUTTING IN PLACE.

BUT THERE'S MORE DETAIL THAT WE CAN PROVIDE TO YOU ON THE 26TH.

PERFECT.

THANK YOU.

UM, MAYOR PROTI.

THANK YOU, MAYOR.

UM, I HAVE A QUESTION ON SLIDE 26, THE FIVE POSITIONS TO SUPPORT PLANNING EFFORTS, ARE THOSE ANY OF THE POSITIONS THAT WERE SPECIFIED AS E T O D PLANNING? UH, I'M NOT SURE.

I'D HAVE TO GET BACK TO YOU.

I KNOW THAT THEY'RE ALL PLANNERS, UM, BUT I'M NOT SURE WHICH, UH, SPECIFIC AREAS THEY'RE GONNA SUPPORT.

OKAY.

I KNOW WE HAD CHATTED ABOUT THAT, SO IT'S UNDER YOUR RADAR.

I DIDN'T MISS THE, THE E T O D PLANNERS.

I KNOW THAT, UM, OUR PLANNING DIRECTOR HAD SPECIFIED THE NEEDS FOR, UM, THE WORK THAT WE'RE DOING WITH PROJECT CONNECT TO DO THE E T O D PLANNING.

WE'LL GET YOU THAT DETAIL.

OKAY.

THAT SOUNDS GOOD.

AND I HAD QUESTIONS ABOUT THE LAND MANAGEMENT PLANNING FOR THE PARKS.

UM, THE PARKS FOUNDATION HAD SAID THERE WAS A NEED FOR FOUR FTES.

DO WE KNOW IF THAT'S HOW MANY HAVE BEEN INCLUDED? ACTUALLY, WE HAVEN'T ADDED ANY FTES.

WE HAVE THE FUNDING SO THEY CAN APPLY TO TEMPORARIES IN THE SHORT TERM, AND THEN WE CAN LOOK IN FUTURE YEARS, UM, TO, TO TRY TO FIND FUNDING FOR, FOR FULL-TIME POSITIONS.

AND COUNCIL MEMBER TH THIS, THIS IS SOME, ONE OF THE THINGS THAT, UH, WE CONTINUE TO WORK WITH OUR DEPARTMENTS.

THE PARKS DEPARTMENT HAS VACANCIES, AND BECAUSE THIS IS A PRIORITY, WE WILL, WE CAN GO BACK AND CLASS RECLASSIFY POSITIONS TO DEAL WITH THAT ISSUE.

WE DO HAVE FUNDING TO DEAL WITH THE ISSUE OF LAND MANAGEMENT, WHAT IT TAKES.

WE ALSO ASKED THEM TO GO BACK AND, UH, CONNECT THAT WORK TO WHAT'S BEING DONE AT THE BALCON CANYONLANDS PRESERVE.

AND TO CONNECT WITH THAT WITH THE WATER DEPARTMENT HAS A SUBSTANTIAL AMOUNT OF LAND.

SO THAT WHEN WE DO THAT, WE KIND OF HAVE THE SYNERGY FROM THAT, THAT EFFORT TO GET THE LAND BACK TO WHERE IT NEEDS TO BE.

SO IT DOES ITS NATURE INTENDED IT FOR MM-HMM.

.

AND SO, AND IT, AND I THINK THAT FIVE YEAR PLAN THAT THE PARKS DEPARTMENT WILL COME FORWARD WITH OVER THE COURSE OF THIS FISCAL YEAR, THE FISCAL YEAR, YOU'RE ABOUT TO 24 FISCAL YEAR IS WE'LL KNOW WHAT THE INVESTMENTS HAVE TO BE IN TERMS OF PEOPLE AND IN TERMS OF RESOURCES, UH, CONTRACTUAL OR CIP, IF IT'S WHAT'S NEEDED TO BE ABLE TO DO THE CAPITAL INVESTMENT SO THAT THOSE THINGS GET DONE.

IT'S, IT'S REALLY GOOD TO HEAR.

CUZ I KNOW WE'VE BEEN ABLE TO PURCHASE A LOT OF ACREAGE OF LAND OVER THE YEARS, BUT I KNOW THERE'S A LOT OF CONCERN FOR THE WILDFIRE RISK, RIGHT.

AS WE'VE SEEN, YOU KNOW, THROUGH SOME OF THE PLANNING THAT OUR FIRE DEPARTMENT'S DOING AND OUR PARKS DEPARTMENT REALLY CARES THAT THERE'S A LOT OF AREAS OF MY DISTRICT HAVING PARK SPACE AND, UM, AND THAT WATER QUALITY PROTECTION LAND WHERE THE DEBRIS STILL HASN'T BEEN CLEANED UP AND PEOPLE ARE VERY SCARED AS WE SEE HEAT ROUTINELY OVER A HUNDRED DEGREES THESE DAYS ABOUT, YOU KNOW, WHAT EXACTLY DOES THAT PLAN LOOK LIKE? DO WE HAVE STAFF TO BE ABLE TO IMPLEMENT THOSE PLANS? AND SO I FEEL LIKE THE CLOCK'S REALLY TICKING AND CAN'T WAIT TILL NEXT YEAR.

YEAH.

BUT I REALIZE THAT'S WHAT THIS BUDGET PROCESS IS ABOUT, AND WE CAN BRING THOSE REPORTS WHEN THEY'RE DONE IN MIDYEAR, JUST SO YOU KIND OF KNOW HOW, WHAT OUR THINKING IS ABOUT THAT.

SO YOUR CO COUNCIL'S CONNECTED TO THAT.

I, I APPRECIATE THAT.

AND MY LAST QUESTION WILL BE ABOUT THE SECURITY STAFF MEASURES FOR PARKS AND LIBRARIES.

UM, IS THERE A COMPREHENSIVE LIST OR SHOULD WE JUST ASK THROUGH Q AND A OF EXACTLY WHAT THOSE ALLOTMENTS ARE EXPECTED TO BE? YEAH, I THINK BOTH.

WE'RE HAPPY TO GIVE YOU THE LIST THROUGH THE Q AND A.

OKAY.

I'LL ASK FOR IT.

THANK YOU FOR THE PUBLIC'S.

UH, FOR PURPOSES OF THE PUBLIC, THERE'S A Q AND A.

AND I'M NOT GONNA BE ABLE TO, OFF THE TOP OF MY HEAD GIVE YOU THE, THE SITE, BUT WHEN YOU KEEP HERE, WHEN YOU HEAR US REFER TO THE Q AND A, YOU HEAR STAFF OR YOU HEAR COUNSEL REFER TO THE Q AND A, THERE'S A, A QUESTION AND ANSWER SITUATIONS SITUATION SET UP SO THE COUNCIL CAN ASK QUESTIONS THAT IS, UH, VIEWABLE BY THE PUBLIC.

SO IF THE PUBLIC WANTS TO SEE WHAT'S BEING ASKED AND SEE WHAT THE ANSWERS ARE TO THOSE QUESTIONS, AND BEFORE THE END OF THIS WORK SESSION, I'LL MAKE SURE I ANNOUNCE THAT IN A WAY, UH, THAT, THAT PEOPLE WILL BE ABLE TO LOOK AT IT AS WELL.

SO THANK YOU FOR THAT, MAYOR PROAM.

I APPRECIATE THAT.

AND JUST BEFORE WE MOVE ON TO THE NEXT PERSON, I WANTED TO FLAG THAT I HAVE ANOTHER JUST QUESTION OR REQUEST ABOUT FTES IN GENERAL, BUT SINCE THERE'S MORE PRESENTATION TO BE HAD, I WILL HOLD THAT UNTIL THE END IN CASE IT'S GOING TO BE ANSWERED.

GREAT.

UM, THANK YOU.

I'LL, I'LL RECOGNIZE COUNCIL MEMBER FUENTES THEN COUNCIL MEMBER CADRE, THEN COUNCIL MEMBER ALISON ALTER.

THANK YOU.

I JUST HAD, UH, ONE MORE QUESTION FOR, FOR STAFF ON THE LIVING WAGE.

I'M GLAD TO SEE THAT THE PROPOSED BUDGET INCLUDES AN INCREASE, WHICH HAS US, IT'S 2080.

UM, AGAIN, VERY PROUD THAT WE HAVE ONE OF THE HIGHEST MUNICIPAL MINIMUM WAGES IN THE COUNTRY AND THAT SHOWS OUR COMMITMENT TO OUR, OUR CITY WORKFORCE.

WE'VE SEEN PROGRESS IN, IN REDUCING OUR VACANCY RATE, BUT IT'S STILL AT 15 TO 16% IS STILL PRETTY HIGH.

UM,

[01:05:01]

WHAT IS THE PLAN TO GET TO 22? I JUST WANNA CLARIFY, I THINK ED YOU MENTIONED THIS EARLIER, BUT FOR, UM, FOR THOSE WHO ARE WATCHING, WE WOULD BE AT $22 IN OCTOBER OF 2024 FOR FISCAL YEAR 25.

OR IS THAT IN, I THINK YOU SAID OCTOBER OF 2025 FOR, UH, WHICH WOULD BE FISCAL OR FY 26.

SIX.

OKAY.

SO, UH, A STAFF'S RECOMMENDATION WOULD BE THAT WE INCREASE THE LIVING WAGE IN LINE WITH THE ACROSS THE BOARD.

UM, ONE THAT GETS YOU TO THE 22 HOUR LEVEL AND JUST, UM, TWO MORE YEARS.

AND, UH, TWO, IT, UH, AVOIDS A LOT OF DISTORTIONS AND COMPLICATIONS WITH THE COMPRESSION ISSUES THAT, UM, HR HAD SOME CHALLENGES WITH LAST YEAR IN INSTITUTING SUCH A BIG LEAP TO THE $20 HOUR PER HOUR, UH, LIVING WAGE.

MM-HMM.

.

AND I WANTED TO SHARE COUNCILMAN REAL QUICK, I JUST THINK IT'S SUCH A GREAT NEWS STORY AND I APPRECIATE YOUR QUESTION.

UM, BUT JUST WANTED TO BRING UP THIS GRAPH SINCE THE BEGINNING OF THE FISCAL YEAR, WHAT'S BEEN GOING ON WITH THE CITYWIDE VACANCY RATE? IT WAS, YOU KNOW, NEARLY 18% AT THE START OF THE FISCAL YEAR AND WE'VE BROUGHT IT DOWN TO JUST 14.4%.

SO I WAS SAYING 15 TO 16% CUZ THAT'S WHERE IT'S BEEN.

BUT, UM, WE CONTINUE TO MAKE REALLY STRONG PROGRESS TO GETTING THAT VACANCY RATE DOWN TO WHERE, WHERE, YOU KNOW, TRADITIONALLY WOULD BE IN A NORMAL LABOR MARKET WE WOULD BE IN, IN THAT 8% RANGE.

WE'RE NOT THERE YET, BUT WE'RE MAKING GREAT PROGRESS.

AND I THINK THE, UH, YOU KNOW, THE PAYS THAT, YOU KNOW, PAY INCREASES WE'VE BEEN ABLE TO DO INCREASING THE LIVING WAGE IS HELP BRING DOWN THOSE LOWER WAGE, UM, VACANCY RATES AND THE THINGS WE'VE BEEN DOING IN THE CALL CENTER, ET CETERA.

UM, YOU KNOW, SO WE'RE MAKING PROGRESS ON IT.

UM, YOU KNOW, BUT WE'RE NOT QUITE WHERE WE WANNA BE AT.

UM, AND I THINK ERIC MENTIONED THIS, BUT IN REGARDS TO THE PLAN TO GETTING TO THE $22 AN HOUR, IT'S WORKING WITH OUR HUMAN RESOURCES DEPARTMENT TRYING TO FIGURE OUT A WAY TO GET THERE WHILE AT THE SAME TIME DEALING WITH THE, THE, THE VERY KIND OF SIGNIFICANT AND EXPENSIVE COMPRESSION ISSUES THAT OCCUR, YOU KNOW, IF WE TRY TO DO IT TOO RAPIDLY.

AND SO THAT'S WHY WE'RE PROPOSING TO RATCHET IT UP EACH FISCAL YEAR A LITTLE BIT CUZ THAT HELPS US IN THE CONTEXT OF OTHER WAGE INCREASES, AVOID THE COMPRESSION, UM, THAT, THAT CAUSES THE PRICE TAG OF, OF INCREASING THE LIVING WAGE TO GO UP VERY RAPIDLY.

AND, AND COUNCIL MEMBER, THE OTHER, THE OTHER THING IS SOMETIMES YOU HAVE TO USE FORCING MECHANISMS TO GET, TO GET ATTENTION.

AND I THINK WHEN THE, WHEN, UH, ED AND THE BUDGET OFFICE DID A 20, ANY VACANCY OLDER THAN 24 MONTHS IS GONNA GET SWEPT.

THAT CREATED AN ENORMOUS INCENTIVE FOR PEOPLE TO GET OFF THE DIME AND BEGIN TO FIGURE OUT WHICH WERE THE MOST KEY POSITIONS SO THAT THEY COULD MOVE WITH QUICKLY.

ONE OTHER THING WE'D MENTIONED THAT WE'VE BEEN WORKING AT WITH THE HUMAN RESOURCES DEPARTMENT, THE REBECCA KENNEDY AND JOE CANALES, IS THAT WE'RE GONNA WANT TO ADDRESS SOME OF THE CIVIL SERVICE RULES SO THAT WE CAN MOVE QUICKER, NOT CONSISTENT WITH WHAT THE, THE, THE BASIC REGULATORY REQUIREMENTS ARE.

BUT THERE'S THINGS THAT WE CAN DO TO STREAMLINE THAT FUNCTION SO THAT WE CAN ADD STAFF AT A FASTER CLIP THAN WE'VE BEEN DOING IN THE PAST.

AND THAT'S A, THAT'S A, A VENUE THAT'S A, AN OPPORTUNITY FOR US TO COME BACK TO COUNCIL AT THE APPROPRIATE TIME.

GOOD DEAL.

THANK YOU.

AND I'M, I'M VERY HAPPY TO SEE THE PROGRESS ON US, REDUCE THE CITY, REDUCING THE VACANCY RATE, AND THAT JUST GOES TO SHOW, UM, THE IMPACT THAT WE CAN HAVE AS WE CONTINUE TO RAISE OUR LIVING WAGE.

THANK YOU.

THANK YOU.

COUNCIL MEMBER CADRE.

COUNCIL MEMBER ALTER, THEN COUNCIL MEMBER VELA.

GREAT.

THANK YOU, MAYOR.

UM, JUST QUICK QUESTION.

UM, DOES THE, DOES THE FIRE YEAR FIVE YEAR FORECAST INCLUDE, UH, THE DECREASED PROPERTY TAX REVENUE FROM THE BILLS THAT'S, THAT WERE PASSED AND THE ALLEGED DURING THE SPECIAL SESSION? SO AS I UNDERSTAND AND WE'RE STILL PROCESSING IT, BUT THAT, THAT BILL SHOULD NOT AFFECT OUR REVENUE.

CORRECT.

IT WILL HAVE A, A SLIGHT EFFECT ON, UH, THE DISTRIBUTION AND VALUES BETWEEN, UH, RESIDENTIAL AND, AND OTHER FORMS OF PROPERTY, BUT IT SHOULD NOT AFFECT THE CITY'S REVENUE.

WELL, YOU MIGHT SEE EVEN IN, UM, 24 IS A, A SLIGHT UPTICK IN THAT, IN THAT TYPICAL RATE PAYER BILL, UM, WE'RE AT ABOUT 11.9% PROJECTED GROWTH.

AND, UH, HOMESTEADS ARE CURRENTLY CAPPED AT 10%.

THIS BILL WOULD CAP OTHER PROPERTY AT 20%.

UM, SO, YOU KNOW, MAYBE OVERALL GROWTH COMES DOWN BY A FEW TENTHS OF A PERCENTAGE POINT, BUT WE THINK THAT WOULD BE PRETTY, UH, MINIMAL AND AGAIN, IT, IT WON'T AFFECT, UH, CITY GENERAL FUND REVENUE AS I UNDERSTAND IT AT THIS MOMENT.

GREAT.

GREAT.

THANK YOU.

COUNCIL MEMBER ALLISON ALTER, THEN COUNCIL MEMBER VELA.

THANK YOU.

UM, MY COLLEAGUES HAVE BROUGHT UP A LOT OF ISSUES THAT ARE IMPORTANT TO ME AS WELL, SO THANK YOU, UM, FOR YOUR QUESTIONS.

UM, COUNCIL MEMBER FUENTES, I JUST WANNA ADD THAT IF WE WERE ADDING 80 CENTS A YEAR, UH, WHEN WE GOT TO FISCAL YEAR 26, WE WOULD BE ABOVE 22.

SO I DON'T KNOW THAT IT MEANS THAT WE'RE EXACTLY AT 22, BUT WE WOULD BE REACHING THAT GOAL IN THAT YEAR.

I DON'T KNOW IF THAT'S THE RATE WE WOULD BE INCREASING IT AT, BUT, UM, I THINK THAT'S JUST SOMETHING TO KEEP IN MIND AS WE'RE, AS WE'RE ASSESSING

[01:10:01]

THE PROGRESS THAT WE'RE MAKING.

UM, I WANTED TO, UM, ECHO COUNCIL MEMBER HARPER MADISON'S DESIRE TO HAVE MORE INFORMATION ABOUT THE SPECIFICS THAT GO INTO THE 11 POSITIONS FOR THE ACADEMY AND THE PLAN THERE.

UM, MOVING FORWARD, WE LOST OUR DIRECTOR.

THERE'S CHANGES GOING ON AND I REALLY APPRECIATE, AND I'M EXCITED TO SEE THE RESOURCING AND THE EMPHASIS ON FIXING THE ACADEMY.

UM, WE HAVE A REAL RETENTION ISSUE AND I THINK PART OF THAT IS GETTING, UM, THE ACADEMY RIGHT AND, AND DOING THE TEACHING AT THE LEVEL THAT WE NEED IT.

UM, BUT I WOULD LIKE TO HEAR MORE ABOUT THAT.

UM, LIKE COUNCIL MEMBER RYAN ALTAR, I'VE BEEN HAVING LOTS OF CONVERSATIONS ABOUT 9 1 1 AND REALLY DO WANNA SEE KIND OF THE PLAN TOGETHER, THE PLAN FOR THE STEPS AND THE PROGRESSION, BUT ALSO ALL OF THE PIECES, UM, KIND OF TOGETHER FOR THAT.

UM, YOU KNOW, THAT IS FIXABLE AND AS MY COLLEAGUE MENTIONED, WE ARE SPENDING A LOT OF MONEY TO HAVE, UM, HIGHLY TRAINED OFFICERS IN THOSE ROLES AND, AND THE WEAR AND TEAR, ET CETERA OF THAT, UM, HAS PROBLEMS AS WELL.

AND SO IT'D BE MUCH BETTER TO GET PEOPLE INTO THOSE, INTO THOSE, UM, ROLES.

UM, WITH RESPECT TO, UM, THE POLICE DEPARTMENT AS WELL, UM, THERE IS FUNDING FROM THE VICTIMS OF CRIME ACT FOR VICTIM SERVICES, UM, COUNSELORS, UM, THAT'S FOR SEX CRIMES, DOMESTIC VIOLENCE AND CRISIS RESPONSE.

UM, I UNDERSTAND THAT GRANT IS EXPIRING FOR THOSE 10 POSITIONS.

CAN YOU TELL ME WHAT THE FUNDING PLAN IS FOR THOSE 10 PEOPLE? I HAVE TO GIVE YOU A FULL BREAKDOWN.

I THOUGHT IT WAS FIVE AND WE WERE GONNA BE ABLE TO COVER THREE WITH THEIR EXISTING BUDGET, BUT IF YOU'RE TELLING ME IT'S 10, I'LL HAVE TO GET BACK TO YOU.

I WOULD LIKE SOME CLARITY ON THAT.

SURE.

UM, WE HAD UNDERSTOOD THAT THERE WERE 10 POSITIONS.

OKAY.

AND THAT THEY WERE LIKELY TO BE ABLE TO FUND FIVE, WHICH LEAVES FIVE POSITIONS UNFUNDED.

THAT WOULD BE, UM, SERVING VICTIMS OF SEX CRIMES, DOMESTIC VIOLENCE AND CRISIS RESPONSE.

UM, ALL OF WHICH HAVE HIGH LEVELS OF, UM, INCIDENCES IN OUR COMMUNITY.

AND WE WANNA MAKE SURE THAT WE'RE PROVIDING THOSE SERVICES AND THAT THE PEOPLE WHO ARE IN THOSE ROLES ARE ABLE TO CONTINUE IN THEIR JOBS AS WE'VE ALREADY INVESTED IN THEM, WE'VE ALREADY RECRUITED THEM.

UM, AND WE ABSOLUTELY NEED THESE SERVICES.

AND WE MADE PROMISES WITH RESPECT TO VICTIM SERVICES WHEN WE DID SETTLEMENTS WITH THE SEXUAL ASSAULT SURVIVORS.

UM, AND I BELIEVE THAT AS PART OF THOSE SETTLEMENTS, THERE'S A REQUIREMENT, UM, TO BE PROVIDING, UM, THESE TYPES OF SERVICES.

SO I WANNA MAKE SURE, UM, THAT THOSE POSITIONS ARE ACCOUNTED FOR.

UM, SO IF WE CAN HEAR ABOUT THOSE ON THE SURE.

26TH, I HAVE ALSO ASKED ABOUT IT IN, UM, THE, THE Q AND A ON THAT.

UM, AND THEN FOR PARKS, IF WE CAN, UM, MAKE SURE THAT ON THE 26TH OR IN ONE OF THESE OTHER SESSIONS, WE DO A DEEP DIVE INTO THE PARKS BUDGET ALSO.

UM, I'M PARTICULARLY INTERESTED IN THE MAINTENANCE AND OPERATIONS SIDE AND WHAT WE'RE DOING TO KEEP OUR PARKS CLEAN AND MAINTAINED AND SAFE.

UM, BUT THEN THERE'S ALSO AN, AN UPCOMING CLIFF FOR OUR PARKLAND DEDICATION MONEY, UM, AND UNDERSTANDING HOW THOSE FEES ARE BEING HANDLED IN THIS BUDGET AND WHAT, UM, WHAT ARE THE ASSUMPTIONS IN THE BUDGET IN TERMS OF FUNDING, UM, FOR PARKLAND DEDICATION AND HOW WE'RE HANDLING THAT.

WHICH IS A LITTLE TOO COMPLICATED FOR A Q AND A QUESTION, BUT I THINK IT'S REALLY CRITICAL FOR US ALL TO UNDERSTAND MOVING FORWARD.

UM, AND THEN I ALSO, I'VE REQUESTED IN THE Q AND A THAT WE BE ABLE TO SEE THE UNMET NEEDS FOR EACH DEPARTMENT.

UM, BUT ON THE 26TH I WOULD PARTICULARLY BE INTERESTED IN UNDERSTANDING THE UNMET NEEDS FOR THE EMS DEPARTMENT.

UM, WAS PLEASED TO SEE SOME INVESTMENTS, THE, YOU KNOW, MAKING THE AIRPORT MORE PERMANENT AND THE GOODNIGHT RANCH, UM, INVESTMENT, ET CETERA.

UM, BUT I THINK THERE WERE SEVERAL OTHER NEEDS THAT ARE REALLY IMPORTANT IF WE WANNA KEEP, UM, RESPONSE TIMES DOWN, UM, SUCH AS THE, THE C4, THE HOTLINE, UM, MAKING SURE THAT WE ARE FUNDING, UM, THOSE POSITIONS BECAUSE THOSE ALLOW OUR AMBULANCES TO STAY IN CIRCULATION.

UM, BUT ALSO, UM, SOME TRAINING STUFF SO THAT WE CAN END THE VACANCIES.

UM, AND THEN FINALLY, I'M NOT SURE THIS IS A BUDGET CONVERSATION, BUT I DO WANNA FLAG THAT, YOU KNOW, ONE OF THE THINGS WE HAVE BEEN DOING IS CHANGING OUR HR, UM, LEADERSHIP AND OUR HR, UM, DEPARTMENT PROCESSES AND PROCEDURES.

UM, RECRUITING AND RETAINING FOLKS IS NOT JUST ABOUT THE WAGE, IT'S ALSO ABOUT THE PROCESS FOR HIRING.

[01:15:01]

UM, AND, AND SO I WOULD LIKE TO HEAR MORE ABOUT THAT IF THAT'S INAPPROPRIATE AS PART OF THE BUDGET DISCUSSION.

YOU KNOW, WE CAN MOVE THAT TO AUDIT AND FINANCE, BUT I THINK WE SHOULD REALLY HAVE A CONVERSATION BECAUSE IT'S NOT JUST, YOU KNOW, WHAT WE'RE PAYING PEOPLE, IT'S ALSO HOW THEY COME INTO THE SYSTEM, HOW LONG IT TAKES, WHERE THE BALLS ARE BEING DROPPED, UM, ET CETERA.

SO I THINK THAT WOULD BE IM IMPORTANT MOVING FORWARD.

YEAH, WE, AND MY PREFERENCE WOULD BE, SINCE THAT'S AN OPERATIONAL ITEM, IS TO BE ABLE TO TALK TO YOU ABOUT HOW WE ARE FROM AN OPERATIONAL STANDPOINT, ARE TRYING TO DEAL WITH THAT.

AND WE CAN DO THAT AT AUDIT FINANCE.

THANK YOU.

COUNCIL MEMBER.

COUNCIL MEMBER BAYLA.

JUST A, A QUICK COUPLE OF COMMENTS.

I, I JUST WANTED TO SAY, I, I APPRECIATE THE, THE TREATMENT OF CITY EMPLOYEES IN THE BUDGET.

UH, I THINK THAT'S A REAL HIGHLIGHT.

4% RAISE, UH, MINIMUM WAGE GOING FROM 20 TO 2080, UH, TWO AND A HALF MILLION DOLLARS IF, IF, UM, THAT NUMBER'S CORRECT IN THE COMPRESSION, UH, TO GET THOSE KIND OF, YOU KNOW, JUST ABOVE THE $20, UH, TO A, A FAIR AMOUNT.

UH, NO INCREASED MEDICAL, UH, COSTS.

UH, YOU KNOW, JUST I THINK IN TERMS OF THE WAY THAT WE'RE TREATING, UH, OUR CITY EMPLOYEES AND HOPEFULLY THE IMPACTS THAT IT'LL HAVE ON RECRUITMENT AND RETENTION.

UH, I, I JUST WANTED TO GIVE Y'ALL PROPS.

I THINK THAT, THAT THOSE ARE REALLY STRONG EFFORTS AND, UH, THEY'RE GREATLY, UH, APPRECIATED.

UM, HOMELESS FUNDING BREAKOUT.

OOH, JUST HARD TO SEE.

CAUSE I KNOW IT'S JUST A MULTI-DEPARTMENTAL APPROACH.

AND, AND IF, IF WE COULD GET THAT, I KNOW THIS IS NOT A KIND OF A QUESTION FOR NOW, BUT, YOU KNOW, WE CAN GET JUST THE BETTER IDEA OF WHAT WE'RE SPENDING ON HOMELESSNESS.

IT, IT'S, IT'S JUST, THERE'S SO MANY BUCKETS THAT, UH, WE'RE, WE'RE STRUGGLING TO, TO REALLY KIND OF, UH, ITEMIZE IT.

UM, AND THEN WHAT IS OUR, OUR CURRENT RESERVE LEVEL, IT'S 14% OF ONGOING GENERAL FUND EXPENDITURES.

UH, AND SO GOING FROM 14 TO 17%, WHAT IS THAT DOLLAR FIGURE? IT'S ABOUT 40 MILLION.

THAT'S ABOUT A 40 MILLION INVESTMENT, HUH.

I WOULD SAY, UH, JUST IT'S, IT'S NOT WORTH TRANSFERRING THAT MONEY INTO RESERVES.

IT'S MORE, WE'RE CAPTURING MORE OF WHAT'S ALREADY SITTING THERE.

YEAH.

UM, AND THE OTHER MONEY FOR RENTAL ASSISTANCE.

I KNOW THAT WAS A REAL BIG ITEM LAST YEAR, UH, AND I CAN'T REMEMBER THE EXACT TOTALS, BUT I THINK WE WERE AT ABOUT 6 MILLION, 7 MILLION IN PROVIDING, UH, YOU KNOW, RENTAL ASSISTANCE.

WHERE ARE WE THIS YEAR IN TERMS OF, UH, OF, OF THAT MONEY? I THINK THAT WAS A ONE TIME ITEM, AND I'M NOT SURE IF IT WAS EXPENDED.

AND SO WE DON'T HAVE THAT IN AS A ONE TIME SPEND FROM THE GENERAL FUND, BUT WE COULD GET YOU A BREAKDOWN FROM HOUSING OF WHAT THEY PLAN TO SPEND ON RENTAL ASSISTANCE.

I, I WOULD LIKE TO SEE THAT AND, AND MAKE A COMPARISON, UH, TO, TO NEXT YEAR.

I MEAN, I KNOW THAT, THAT, YOU KNOW, RENTAL INCREASES, UH, HAVE, HAVE SLOWED, BUT WE'RE STILL, UH, IN A REAL TIGHT SITUATION.

AND I KNOW PEOPLE ARE STILL STRUGGLING TO STAY IN THEIR, IN THEIR HOMES.

AND JUST LIKE LAST YEAR, THIS IS THE SAME CONVERSATION WE HAD.

I KIND OF SEE THAT AS A ANTI HOMELESSNESS FUNDING, YOU KNOW, PROBABLY HONESTLY THE BEST IN TERMS OF VALUE, YOU KNOW WHAT I MEAN? IF WE CAN, YOU KNOW, KEEP PEOPLE IN THEIR APARTMENT, SURE.

SEEMS TO COST A LOT LESS TO, YOU KNOW, UH, UH, GIVE THEM A COUPLE MONTHS RENT THAN IT DOES TO TAKE CARE OF THEM AT, YOU KNOW, ONE OF OUR, UH, EMERGENCY SHELTERS.

UM, AND THEN, UH, IN TERMS OF SPAY AND NEUTERING, UH, ALSO I'D LIKE TO SEE WHERE WE ARE WITH SPAY, UH, AND NEUTER, HOW MUCH WE'RE INVESTING IN, IN THAT AREA, HOW MUCH WE'RE PUTTING INTO THAT AREA.

I KNOW THAT THE NUMBER OF, UH, UH, SPAY AND, AND AND NEUTER PROCEDURES THAT WAS DONE OVER THE PANDEMIC, IT REALLY DROPPED.

UH, AND, AND I THINK, UH, THAT, THAT'S CONNECTED TO THE EXPLOSION OF, UH, UH, OF ANIMALS THAT WE HAVE RIGHT NOW.

AND, AND THE STRUGGLES AT THE AUSTIN ANIMAL CENTER, UH, IS, IS HAVING WITH CAPACITY.

AND SO I, I REALLY THINK WE NEED TO, UH, WE NEED TO GET THAT PROGRAM BACK ON TRACK.

I'M ALSO HEARING FROM CONSTITUENTS THAT, YOU KNOW, WE'RE LOOKING AT, YOU KNOW, I THINK WITH, UH, EMANCIPATE AND SOME OF THE OTHER FOLKS THAT WE WORK WITH, WE'RE LOOKING AT, YOU KNOW, MONTH LONG, MAYBE MULTI-MONTH LONG APPOINTMENTS FOR SPAY AND NEUTER, YOU KNOW, AND WE'VE REALLY GOT TO, YOU KNOW, GET PEOPLE, GET, LET THEIR PETS, YOU KNOW, WHEN THEY'RE READY TO GO.

WE GOTTA BE READY TO, TO, TO HELP 'EM AND, AND HOPEFULLY EASE SOME OF THE PRESSURE ON THE, UH, AUSTIN, UH, ANIMAL CENTER.

UM, AND I THINK THAT IS ALL THE MAJOR QUESTIONS I HAVE FOR NOW.

JUST ONE QUICK COMMENT.

I KNOW THAT, AND I'M LOOKING AT THE SOBERING CENTER.

I'M ON THE, THE, THE BOARD VIA THE, THE CITY COUNCIL FOR THE SOBERING CENTER.

AND THAT'S ANOTHER PLACE WHERE, YOU KNOW, I THINK THAT'S AN EXCELLENT PARTNERSHIP.

I KNOW THAT THEY'RE REACHING OUT TO CENTRAL HEALTH FOR, UH, ADDITIONAL,

[01:20:01]

UH, UH, FUNDING FOR, YOU KNOW, POTENTIAL, UH, SUBSTANCE ABUSE.

I JUST WANNA MAKE SURE THAT, THAT, YOU KNOW, WE ARE GIVING THEM ENOUGH MONEY TO, TO BREATHE AND, AND MAKING SURE THAT WE'RE FUNDING THEM ENOUGH SO THAT THEY HAVE THE CAPACITY TO GO OUT AND GET PRIVATE GRANTS AND TO GO OUT AND NEGOTIATE THAT, YOU KNOW, UH, ARRANGEMENT WITH, UH, YOU KNOW, UH, CENTRAL HEALTH.

UH, IT, IT'S A, IT'S A GREAT, UH, ORGANIZATION, A A GREAT FACILITY.

I THINK IT'S BEEN VERY SUCCESSFUL.

AND I JUST WANNA MAKE SURE THAT, YOU KNOW, THAT, THAT WE, UH, UH, HELP GET THEM TO KIND OF THE, THE NEXT LEVEL AS WE, UH, TACKLE, UH, SUBSTANCE ABUSE CHALLENGES AND, AND, AND HOMELESS CHALLENGES.

THANK YOU.

THANK YOU, COUNCIL MEMBER.

WE'RE GETTING READY TO GO.

UM, COUNCIL MEMBER FUENTES.

THANK YOU.

MY QUESTION IS, UM, RELATED TO GENERAL FUND OPERATIONS.

SO BEFORE WE MOVE TO ENTERPRISE, UM, THIS QUESTION IS FOR THE CITY MANAGER, UH, MANAGER.

THERE ARE SOME, UM, PROPOSED STRUCTURAL CHANGES WITHIN, UM, THIS PART OF OUR BUDGET, INCLUDING THE MOVING OF THE EQUITY OFFICE, THE S AND B R OFFICE, AND THE CIVIL RIGHTS OFFICE.

AND WANTED TO SEE IF YOU COULD SPEAK PUBLICLY AS TO THE RATIONALE BEHIND THE CHANGES IN THOSE STRUCTURES.

YEAH, LET ME, UH, WHAT HAPPENS IN AN ORGANIZATION WHEN YOU HAVE OFFICES THAT ARE RELATIVELY SMALL, IT'S, IT'S HARD FOR THOSE OFFICES TO GET AIRTIME.

AND I CAN TELL YOU IN THE SIX MONTHS I'VE BEEN HERE, THAT THAT'S, UH, THAT, THAT NOTHING COULD BE TRUER THAN THAT.

I MEAN, IT'S JUST, IT'S, IT'S, THEY DON'T HAVE THE GRAVITY TO BE ABLE TO PUSH AN AGENDA THAT NEEDS TO GET DONE WITHIN AN ORGANIZATION.

THE, THE BRINGING TOGETHER OF THE EQUITY OFFICE, THE CIVIL RIGHTS OFFICE, AND THE OFFICE OF, OR THE DEPARTMENT OF SMALL, UH, MINORITY BUSINESS AFFAIRS, IS TO BRING SOME KIND OF MASS TO THAT, THAT EFFORT.

ALL IN THE SAME VEIN OF TRYING TO OPEN DOORS WHERE DOORS HAVE BEEN CLOSED IN THE PAST, RESPONDING TO COMPLAINTS WHERE PEOPLE HAVE BEEN DISCRIMINATED AGAINST BECAUSE OF THE, EITHER BECAUSE OF THEIR RACE, CREED, OR FAITH.

UH, AND ALSO WHEN WE TALK ABOUT EQUITY, IT'S HOW CAN WE, UH, PREACH THE GOSPEL OF BEING OPEN AS A COMMUNITY TO ALL PEOPLE AND NOT, NOT SEE IT THROUGH ANY SPECIFIC LENS.

THOSE ARE THE, THAT'S THE WORK THAT NEEDS TO GET DONE.

SOME OF IT IS ECONOMIC, SOME OF IT IS SOCIAL.

BUT I THINK THAT'LL GIVE US FOCUSED ATTENTION.

WE'LL HIRE A DIRECTOR TO, TO ORCHESTRATE HOW THOSE THREE OFFICES SHOULD WORK TOGETHER.

WE HOPE TO GET SOME SYNERGY THAT CAN GET US SOME PRO PROGRESS INTO THOSE SPECIFIC AREAS.

OR MAYBE IT'S BEEN RESISTANT TO GETTING THAT PROGRESS MADE CUZ WE SIMPLY HAVE NOT HAD ENOUGH MASS WITH RESPECT TO RE UH, SUSTAINABILITY AND RESILIENCE.

I, IT'S A GREAT OPPORTUNITY.

WE'RE GONNA BE DEVELOPING PLANS, AND I THINK THERE ARE PLANS TO BE DEVELOPED IN, IN THE CONTEXT OF WHAT WE NEED TO DO AS A CITY, AS AN ORGAN, AS A, AS A COMMUNITY.

BUT TO THINK ABOUT THAT IN A SUSTAINABLE WAY, THINK ABOUT THAT IN AS A RESILIENT CITY SO THAT WE CAN COME BACK OFF THE TURF WHEN THOSE EVENTS HAPPEN.

THEY'RE GONNA HAPPEN MORE READILY HERE IN THE FUTURE.

SO THAT'S THE INTENT OF IT.

AND, UH, AND I'M LOOKING FORWARD TO ANSWERING THE QUESTIONS THAT HAVE BEEN RAISED BY THOSE INDIVIDUAL ADVOCATES THAT ARE CONCERNED.

THIS IS THE BEGINNING OF THAT CONVERSATION.

UH, AND I JUST WILL SAY ONE THING, UH, IN TERMS OF WHAT HAS BEEN OUR HISTORY IN THE PAST, UM, AND I'M TRYING TO REORIENT US IN THE, IN A, IN AN ERA THAT I WAS HERE BEFORE WE, WE DEVELOPED AS A PROFESSIONAL STAFF RECOMMENDATIONS, AND THEN THAT BEGAN THE COMMUNITY CONVERSATION, COMMUNITY ENGAGEMENT WE CALL IT NOW.

UH, I THINK WE SOMEHOW GOT THAT INVERTED AND WE DID COMMUNITY ENGAGEMENT AS A BLANK, AS A KIND OF A WHITEBOARD, AND THEN WE DEVELOPED A PROGRAM FROM THAT.

THAT'S NOT A, A PROCESS THAT I'M FAMILIAR WITH, AND I DON'T THINK IT GETS AS MUCH BENEFIT BECAUSE WHAT YOU END UP DOING IS BOILING THE OCEAN AND NOTHING GETS DONE.

SO HOW CAN WE REDIRECT WHAT NEEDS TO GET DONE AND LET'S GET AFTER IT? AND, UH, THERE ARE MANY THINGS THAT, UH, THAT HAVE LANGUISHED BECAUSE WE SIMPLY HAVEN'T HAD THE RIGHT FOCUS.

AND I'M HOPING TO GET THAT DONE OVER THE COURSE OF THIS NEXT FISCAL YEAR.

UH, THANK YOU FOR THOSE COMMENTS MANAGER, AND CERTAINLY I APPRECIATE YOU SHARING THAT THIS, YOU VIEW THESE CHANGES AS THE BEGINNING OF A CONVERSATION.

YOU KNOW, EQUITY IS A VALUE NEAR AND DEAR TO, TO MY HEART AND, AND TO WHAT I DO AS A POLICYMAKER.

AND ONE THAT I KNOW THAT THE TEN ONE ERA OF THIS COUNCIL, OF THIS, UH, CITY'S CHAPTER HAS BROUGHT TO THE FOREFRONT.

WE'VE SEEN, UH, A MORE EQUITABLE AUSTIN, UM, AS A RESULT OF THE CHANGE IN REPRESENTATION.

AND SO I WANNA MAKE SURE THAT AS WE MOVE FORWARD AS A CITY, THAT WE CONTINUE TO PRIORITIZE, UM, EQUITY AND INCLUSION, UM, AND, AND ENSURING THAT WE'RE HAVING INCLUSIVE CONVERSATIONS.

YEAH, I MEAN, I'VE, I'VE HEARD SOME COMMENTS ABOUT, UH, ABOUT ME SPECIFICALLY.

I'M NOT GONNA SAY IT'S A BAND CLUB NECESSARILY , BUT I WANT, I WANT IS THE COUNT JUST A LITTLE.

I DON'T LIKE TO REFLECT ON MY PAST CUZ YOU KNOW, IT'S HARD TO DO THAT.

BUT I WAS BORN IN 52 IN BROWNSVILLE, TEXAS.

AND IN TEXAS, HISPANICS DIDN'T EXACTLY GET A FAIR SHAKE, AND I'M FAMILIAR WITH THAT.

I EXPERIENCED IT MYSELF, MY FAMILY MEMBERS EXPERIENCED IT.

I REMEMBER MY DAD GETTING FRUSTRATED BECAUSE HE COULDN'T GET PROMOTED, NOT BECAUSE WHAT HE DIDN'T KNOW ENOUGH BECAUSE HE WAS NAMED GARZA.

[01:25:01]

I'M FAMILIAR WITH THAT, AND I INTEND TO MAKE SURE THAT WE FOCUS THESE THREE DEPARTMENTS IN THE DIRECTION THAT NEEDS TO GET DONE.

AND WHEN PEOPLE HAVE QUESTIONS ABOUT EITHER MY MORAL COMPASS OR MY OWN ETHICS, I ASK THEM TO JUST MAKE AN APPOINTMENT.

AND LET'S ENTERED INTO THAT CONVERSATION.

THANK YOU.

COUNCIL MEMBER HARPER MADISON, THANK YOU FOR THE RECOGNITION.

I'LL TRY TO KEEP IT BRIEF.

I WANTED TO JUST SAY I'M, I'M REALLY APPRECIATIVE AND WANNA HIGHLIGHT MY APPRECIATION FOR THE ADDITIONAL FUNDING FOR THE DECK.

I THINK IT'S CRITICAL.

UM, I WANTED TO ASK, ARE THERE ANY OTHER COUNCIL REQUESTS THAT WERE NOT INCLUDED, UM, IN THE GENERAL FUND NEW INVESTMENTS? AND IF SO, WHAT WERE THEY? UH, I CAN PROVIDE YOU A BREAKDOWN.

I WOULD JUST SAY YES, THERE ARE SEVERAL.

PARTIALLY THAT'S BECAUSE, UH, THE COSTING ON MANY OF THEM IS STILL UNDER DEVELOPMENT, BUT FRANKLY, THERE ARE JUST SOME THAT, THAT WE COULDN'T AFFORD TO FUND.

UM, BUT WE CAN PROVIDE A, A BREAKDOWN OF ALL OF THE OUTSTANDING IFCS AND THEIR STATUS.

THAT'D BE GREAT.

UH, I GUESS Q AND A IS GONNA BE NICE AND THICK.

UM, AND SO THEN, UH, YOU MENTIONED 17% EARLIER.

UH, AND I'M CURIOUS IF YOU CAN TALK ABOUT THE HISTORIC RELATIONSHIP BETWEEN OUR RESERVE FUNDS AND OUR HISTORIC FISCAL RATINGS, AND HOW DOES THAT RELATIONSHIP LOOK OVER TIME? LET ME STEP INTO THAT.

SO, YOU KNOW, UH, UH, RESERVE LEVELS ARE CERTAINLY SOMETHING THAT THE RATING AGENCIES LOOK AT GOING FROM 14 TO 17%, NOT GONNA GET US BACK TO AAA RATED OVERNIGHT.

OKAY.

UM, IN RECENT YEARS, WE'VE HAD TWO RATING AGENCIES.

FITCH AND MOODY HAVE DOWNGRADED US.

WE WERE ONE OF THE FEW CITIES IN THE NATION THAT WAS TRIPLE RATE A RATED BY ALL THREE AGENCIES.

UM, BUT AS A RESULT OF GROWING PENSION LIABILITIES, WHICH I'VE TALKED ABOUT EARLIER, RIGHT.

AND WE'VE, WE'VE TAKEN AGGRESSIVE STEPS TO REMEDY THAT, UM, AS A RESULT OF THOSE GROWING PENSION LIABIL LIABILITIES, BUT ALSO, UH, SPECIFICALLY IN OUR FITCH DOWNGRADE, UM, REFERENCES TO THE LACK OF EXPENDITURE FLEXIBILITY THAT WE NOW HAVE UNDER A, UM, BINDING FIRE ARBITRATION THAT THE RATING AGENCY VIEWED THAT AS A SIGNIFICANT COST DRIVER FOR THE CITY.

THAT THIS BODY IS THAT THE BINDING WHAT ARBITRATION? I'M SORRY.

FIRE ARBITRATION.

THE BINDING FIRE ARBITRATION.

OKAY.

WHERE, WHERE, UH, UH, UH, EITHER THE FIRE OR CITY CAN ASK FOR A BINDING ARBITRATION IF WE CAN'T GET TO A CONTRACTUAL AGREEMENT.

BUT THAT WAS SPECIFICALLY REFERENCED AS, YOU KNOW, THAT'S A BIG COST DRIVER IN OUR GENERAL FUND.

AND THE CITY COUNCIL NO LONGER HAS CONTROL OVER THAT COST DRIVER BECAUSE OF THE BINDING ARBITRATION PROCESS.

SO THOSE ARE THE TWO FACTORS THAT REALLY WERE CALLED OUT IN OUR, UM, IN OUR DOWNGRADE.

BUT AS WE LOOK FOR A WAY TO GIVE BACK TO A TRIPLE A RATED, UM, CREDIT WITH ALL THREE OF OUR RATING AGENCIES SO THAT WE CAN, UM, GET THE LOWEST POSSIBLE INTEREST RATES.

UM, YOU MAY HAVE HEARD THIS, THIS NUMBER BEING TALKED ABOUT 1.8 BILLION OF AUTHORIZED, BUT YET UNISSUED VOTER APPROVED BONDS, UM, THE HIGHER OUR INTEREST RATES, UH, THE MORE MONEY THAT COSTS OUR TAXPAYER TO SERVICE THAT DEBT OVER TIME.

AND SO THAT'S A, THAT'S A BIG NUMBER AND A POTENTIAL, UM, BIG SAVINGS IF WE CAN KEEP OUR CREDIT RATING HIGH.

AND SO WE'RE LOOKING FOR EVERYTHING WE CAN DO TO GET BACK TO THAT AAA CREDIT.

AND INCREASING OUR RESERVES ISN'T GONNA DO IT ON ITS OWN, BUT IT'S A, IT'S A, IT'S PART OF WHAT THE RATING AGENCIES ARE GONNA LOOK AT.

IT'LL CERTAINLY BE WELL RECEIVED BY THEM WHEN, WHEN THE COST OF BORROWING GOES UP.

THAT MEANS WHEN WE'RE TRYING TO SCOPE A PROJECT, YOU'VE GOTTA MAKE ADJUSTMENTS TO THAT PROJECT, RIGHT.

SO THAT YOU CAN FIT WITH THE BUDGET.

THAT'S WHY IT'S IMPORTANT TO, FOR THOSE RATING, THE RATING AGENCIES AND WHAT THEY SAY TO, WE SECURE A BETTER INTEREST RATE, UH, WITH THE, WITH THE, A BETTER CREDIT RATING.

AND ALSO THE FACT IS, IS THAT WHEN WE PUT THE THREE AND A HALF PERCENT CAP THAT WAS DONE FORCED BY THE LEGISLATURE MM-HMM.

, THAT ALSO LED TO SOME SKEPTICISM BY THE RATING AGENCIES OF WHETHER WE HAD THE FINANCIAL WHEREWITHAL, UH, YOU WE'RE TRYING TO BUILD THE FUND, THE, THE RESERVE FUND UP.

WE'RE ALSO BUILDING UP THE RESERVE FUND FOR AUSTIN ENERGY.

WHEN WE LOOKED AT, AND I KNOW WE'RE GONNA GET INTO THE ENTERPRISE FUND HERE IN A MINUTE, THOSE WERE, THOSE WERE NOT IN THE SHAPE THAT WE NEEDED THEM IN.

GIVEN WHAT OUR, I HATE TO INTERRUPT YOU, BUT THAT LEADS ME TO THE QUESTION, WHAT WAS OUR RATING WHEN WE HAD AAA, LIKE WHEN WE WERE AT THE TOP IN THOSE RATED YEARS? WHAT'S THE DIFFERENCE BETWEEN WHAT OUR RESERVES ARE NOW AND WHAT THEY WERE THEN? SURE.

UM, WE HAD, AND AGAIN, THAT'S A QUESTION THAT YOU CAN FOLLOW UP WITH.

OKAY.

I MEAN, IT'S JUST SOMETHING I, I WANNA, WHY DON'T, WHY DON'T WE DO THE ANALYSIS AND THEN COME BACK AND TALK.

THAT'D BE GREAT.

I APPRECIATE THAT.

AND THEN I HAVE ONE LAST QUESTION.

UM, OUR ADDITIONAL, UM, PLANNING STAFF.

SO DURING OUR MOST RECENT HOUSING AND PLAN PLANNING COMMITTEE MEETING, WE WORKED WITH CITY STAFF TO DEVELOP THIS PRIORITIZATION CHART AND A TIMELINE FOR LDC AMENDMENTS.

I WANNA KNOW HOW THESE ADDITIONAL EIGHT POSITIONS WITHIN THE PLANNING DEPARTMENT WILL IMPACT THE CURRENT TIMELINE REPORTED BY STAFF FOR COMPLETING THE INITIATED CODE AMENDMENTS, AND WILL STAFF BE ABLE TO EXPEDITE THOSE CODE AMENDMENTS? GOOD MORNING COUNSEL.

VERONICA BRUNO, ASSISTANT CITY MANAGER, UM, OVER THE PLANNING DEPARTMENT.

[01:30:02]

SO THE CURRENT PLAN WITH THE FIVE ADDITIONAL STAFF, AND I, WELL, I'LL PREFACE IT WITH, UH, AS YOU KNOW, WORKING WITH YOUR, I THOUGHT YES, AT EIGHT.

I'M SORRY, DID I IT IS A TOTAL OF EIGHT.

THERE ARE THREE THAT WOULD MAKE THE PLANNING DEPARTMENT WHOLE FROM THE SEPARATION OF PLANNING AND HOUSING, AND THEN THERE'S AN ADDITIONAL FIVE NEW FTES.

SO THE INITIAL THREE ARE TO, UH, HELP WITH THAT ADMINISTRATIVE SUPPORT IN THE SEPARATION OF THE DEPARTMENTS.

THE INITIAL FIVE ARE PLANNERS, UH, THEY WILL BE ASSIGNED THROUGHOUT THE ORGANIZATION.

AND I WAS GONNA PREFACE WITH, UH, ABSOLUTELY THE CODE AMENDMENT PROCESS THAT WE'VE BEEN WORKING CLOSELY WITH THE HOUSING AND PLANNING COMMITTEE ON, AS WELL AS THE FULL COUNCIL IS OUR PRIORITY.

AND WE WILL CONTINUE TO EXPEDITE THOSE AMENDMENTS AND PRIORITIZE, UH, WITH THE, WITH THE GUIDANCE OF COUNCIL.

UH, THE FIVE POSITIONS THAT THEY ARE, UH, THAT THIS BUDGET HAS INCLUDED WOULD INCLUDE ONE PRINCIPLE PLANNER AND ONE SENIOR PLANNER FOR THE ZONING TEAM, WHICH HAS BEEN SIGNIFICANTLY UNDERSTAFFED, UM, AND HAS HAD SOME, UH, SOME VACANCIES AS WELL AS WELL AS A LONG RANGE PLANNER.

ONE PRINCIPAL PLANNER FOR LONG RANGE PLANNING AND ONE SENIOR PLANNER FOR THE CODE AMENDMENT PROCESS SPECIFICALLY.

ALSO ONE, UH, SENIOR PLANNER FOR THE CODE AMENDMENT DEVELOPMENT.

SO WE WILL BE FOCUSING TWO OF THOSE FIVE ON CODE AMENDMENTS.

THE ADDITIONAL THREE WILL GO TO HELP THE OTHER PLANNING, UH, PRIORITIES IN THE DEPARTMENT.

AND OF COURSE, ALL OF OUR PLANNING STAFF IS FOCUSED ON THE, ON THE CODE AMENDMENT PROCESS.

THANK YOU.

I REALLY APPRECIATE THAT.

AND THEN MY LAST QUESTION IS ABOUT, UM, SALARY COMPRESSION.

I'M NOT SURE WHO'S THE BEST PERSON TO SPEAK TO THAT.

UM, I APPRECIATE THE TREMENDOUS WORK THAT YOU GUYS HAVE BEEN PLACING ON, UH, RAISING THE MINIMUM WAGE FOR CITY EMPLOYEES.

AND WE CAN SEE THE IMMEDIATE IMPACT, I MEAN, WITH SO MANY OF THE ROLES, UM, THAT WE ONCE STRUGGLED TO HIRE FOR.

BUT I KEEP HEARING OVER AND OVER AND OVER ABOUT OUR STAFFING SHORTAGES.

AND SO THIS IS SOMETHING THAT'S SUPER IMPORTANT TO ME, I'D LIKE TO SAY, IS THERE A WAY TO MEASURE HOW WE HANDLE THE IMPACTS THAT THESE WAGE INCREASES HAVE ON SALARY COMPRESSION? UM, ARE WE DOING A GOOD JOB? HAVE WE ADDRESSED SOME OF OUR PROJECTED COMPRESSION ISSUES? UM, AND I'M PARTICULARLY INTERESTED TO KNOW, CONSIDERING WE DISCUSSED THIS DURING OUR LAST BUDGET PROCESS, HOW FAR HAVE WE COME MM-HMM.

BETWEEN THAT PROCESS AND THIS ONE FOR SALARY COMPRESSION SPECIFICALLY.

SO IN JANUARY, UH, HR INSTITUTED, UM, THE COMPRESSION ADJUSTMENTS ASSOCIATED WITH THE MOVE TO THE $20 AN HOUR LIVING WAGE.

SO OBVIOUSLY 15 TO 20, UH, DOLLARS AN HOUR IS A 33% INCREASE.

WE CAN'T AFFORD TO GIVE EVERYONE IN THE CITY A 33% INCREASE.

SO THEY HAD TO, TO PICK, UH, A SPOT TO KIND OF FADE THAT COMPRESSION OUT TO NOW THEY COULD PROVIDE A MORE DETAILED BREAKDOWN.

I THINK IT'S IN THE NEIGHBORHOOD OF ABOUT A $70,000 A YEAR MARK.

AND SO FROM THE LIVING WAGE UP UNTIL THAT, UM, SPOT, THEY MADE ADJUSTMENTS TO, UM, INCREASED SALARIES AND, UH, MAINTAINED SOME DISTANCE BETWEEN SUPERVISORS AND GRADES.

UM, SO THAT WAS ALL INSTITUTED IN JANUARY.

THE FUNDING THAT COUNCIL MEMBER VELA MENTIONED THAT'S IN THIS BUDGET IS FOR THE ANNUALIZATION ASSOCIATED WITH THAT.

I MAY REMEMBER, I THINK HRS, UH, INITIAL, UM, NUMBER WAS 10 MILLION FOR THE COMPRESSION LAST YEAR.

UH, WE WERE ABLE TO PROVIDE SEVEN AND A HALF MILLION IN FUNDING ON THE DYES.

WE STARTED IN JANUARY, SO WE GOT 75% OF THE YEAR, AND NOW WE'RE ADDING THE NEXT TWO AND A HALF, UH, TO GET TO THAT 10 MILLION ANNUAL COST WITH RESPECT TO THE MOVE TO $20 AND 80 CENTS.

AGAIN, IN, NICE THING ABOUT DOING THE 4% IS WE DON'T DROP ANOTHER, UH, PAY GRADE.

SO THE COMPRESSION ISSUES ARE MUCH LESS SEVERE.

THANK YOU.

I APPRECIATE IT.

COUNCIL MEMBER CADRE THEN COUNCIL MEMBER ALISON ALTER.

YEAH, I'LL MAKE IT REALLY QUICK.

UM, I, I NOTICED THAT I, I DIDN'T SEE ANY FUNDING FOR THE, FOR THE MENTAL DIVERSION CENTER, UH, FOR THE PILOT.

UH, SO I, I GUESS MY QUESTION IS JUST THE THOUGHT PROCESS BEHIND, BEHIND THAT.

I'M NOT FAM OH, SORRY.

LET ME, UH, THE DIVE DIVERSION CENTER IS SOMETHING THAT THE COUNTY CORRECT HAS, UH, ASKED, UH, TO, TO DEVELOP.

IT'S MY UNDERSTANDING THAT IT, UH, THAT THE DETAIL OF WHAT THAT'S GONNA BE AND HOW IT'S GONNA WORK IS IN THE PROCESS OF BEING WORKED OUT.

WHAT I'VE INDICATED TO THE PEOPLE THAT HAVE ASKED, UH, WHETHER THE CITY IS GOING TO HAVE, UH, DOLLARS TO APPROPRIATE FOR THAT CENTER IS I'VE ASKED, I'VE INDICATED TO THEM THAT THAT IS A, IN MY JUDGMENT, A HEALTHCARE COST.

AND IT'S A HEALTHCARE COST THAT THE COUNTY HAS, UH, THE COMPLETE RESPONSIBILITY FOR IN THIS INSTANCE.

AND THAT THEY HAVE AN AGENCY, THAT THEY APPROVE THEIR BUDGET, THAT THEY COME FORWARD TO THEM EVERY YEAR TO APPROVE A TAX RATE FOR CENTRAL HEALTH AS WELL AS THEIR BUDGET.

AND THAT THAT,

[01:35:01]

UH, SOURCE OF FUNDING IS THERE, SHOULD THEY BE WILLING TO WORK WITH CENTRAL HEALTH TO GET THAT DONE.

AND THEN THE CITY'S WILLING TO CON CONSULT, PROVIDE PROFESSIONAL EXPERTISE, HOW THIS SHOULD WORK, HOW SHOULD WE SHOULD COOPERATE BECAUSE IT, AND IN THE END, IT'S A PUBLIC, IT'S PART OF OUR PUBLIC SAFETY FUNCTION, BUT I DON'T KNOW THAT IT WOULD BE APPROPRIATE FOR US TO FUND SOMETHING THAT WE THINK THEY'RE COMPLETELY CAPABLE OF DOING.

OKAY.

GREAT.

THANK YOU.

COUNCIL MEMBER ALLISON ALTER.

THANK YOU.

UM, I JUST WANTED TO SPEAK AS CHAIR OF AUDIT AND FINANCE TO THE RESERVES QUESTION.

UM, WE'VE BEEN TALKING ABOUT IT A LITTLE BIT IN, IN THE COMMITTEE.

UM, MY VICE CHAIR AND I INITIATED A SPECIAL PROJECT WITH THE AUDITORS TO GIVE US A VIEW AT WHAT OTHER CITIES WERE DOING.

AND I THINK, YOU KNOW, FOR ME, I INITIATED THAT BECAUSE I NEEDED MORE INFORMATION BECAUSE IT SOUNDED LIKE A LOT OF EXTRA MONEY TO BE PUTTING INTO THE RESERVE.

UM, BUT I WOULD REALLY ENCOURAGE FOLKS TO READ THAT SPECIAL PROJECT REPORT.

IF YOU HAVEN'T READ IT, I THINK IT IS VERY IMPORTANT TO UNDERSTAND THE IMPORTANCE OF GETTING TO, UM, THAT 17%, WHICH IS TWO MONTHS WORTH OF RESERVE.

UM, THIS IS NOT AN ARBITRARY NUMBER THAT OUR STAFF PICKED OUT AND SAID, OH, WE'VE GOT THIS EXTRA MONEY.

LET'S, LET'S SCROLL IT AWAY.

IT IS REALLY AN ACCOUNTING STANDARD THAT IS OUT THERE.

UM, SEVERAL OF OUR PEER CITIES ARE AT THAT OR EXCEEDING THAT LEVEL.

UM, SO, YOU KNOW, IF WE ARE GOING TO HAVE A CONVERSATION ABOUT THE RESERVE POLICY, IT WOULD JUST REALLY ENCOURAGE FOLKS TO MAKE SURE THAT THEY READ THAT SPECIAL PROJECT AND DIGEST THAT, UM, THE, YOU KNOW, THE RATINGS OF THE CITY IS NOT SOMETHING THAT WE TAKE LIGHTLY.

AND I WILL SAY THAT OURS WERE, UM, DOWNGRADED LATER THAN OTHER CITIES BECAUSE WE HAD THE AAA RATING, BUT IN PART BECAUSE OF THE ARBITRATION ISSUE AND THE PENSION ISSUES AND THE THREE AND A HALF PERCENT.

UM, AND SO THINGS THAT WE CAN DO LIKE THIS RESERVE, WHICH REALLY IS ABOUT, YOU KNOW, NOT SPENDING MONEY THAT WE DON'T HAVE, UM, ARE IMPORTANT FOR GETTING US BACK UP TO AAA.

WE HAVE A LOT OF BOND ISSUANCES THAT ARE OUT THERE.

UM, AND THE RATINGS DO AFFECT THINGS.

MY HOPE IS THAT WE WILL REACH AN AGREEMENT WITH THE FIRE ASSOCIATION, UM, AND PERHAPS THAT WILL ALSO EASE SOME OF THE PRESSURE ON THE RATINGS, UM, FROM THE RATING ORGANIZATIONS IF WE CAN DEMONSTRATE THAT WE CAN NAVIGATE, UM, THROUGH THE BINDING ARBITRATION WITH THE SUPREME COURT RULINGS, ET CETERA.

THERE ARE, THERE'S SOME DIFFERENT DYNAMICS THERE.

UM, AND SO I THINK THIS IS, YOU KNOW, AT THIS POINT, ABSENT FULLY UNDERSTANDING, UM, YOU KNOW, WHAT, WE'RE NOT FUNDING THAT WE NEED TO BE, BE FUNDING, WHICH WE HAVE TO HAVE THAT CONVERSATION.

I DO THINK THAT WE SHOULD TAKE VERY SERIOUSLY, UM, THIS RECOMMENDATION.

AND I WOULD ENCOURAGE ALL OF YOU TO, UM, READ THAT SPECIAL PROJECT REPORT THAT THE AUDITOR'S OFFICE DID FOR MYSELF AND THE VICE CHAIR OF CUSTOMER POOL.

YEAH.

JUST TO TAG ON TO WHAT, UM, MY COLLEAGUE AND CHAIR, THE AUDIT AND FINANCE COMMITTEE SAID, UM, I WAS REALLY GLAD TO SEE, UH, OUR STATUS IN THAT, UM, SPECIAL AUDIT.

IT WAS REALLY IMPORTANT.

THAT'S OUR SAVINGS ACCOUNT, AND IT'S UNNECESSARY, UH, RESERVE FOR US TO HAVE.

AND I WOULD POINT TO THE FACT THAT FOR ME, I DON'T THINK THAT TWO MONTHS OF RESERVES IS REALLY THAT MUCH.

IT'S, IT'S WHAT WE'RE AIMING FOR AND IT'S WHAT IS CONSIDERED TO BE BEST PRACTICE.

BUT WHEN YOU LOOK AT THE SIZE OF OUR BUDGET AND THE FACT THAT THERE'S REALLY LITTLE WE CAN CONTROL WHEN THE ECONOMY TAKES ANOTHER DIVE, TWO MONTHS COULD BE SPENT VERY QUICKLY.

SO I APPRECIATE HAVING THAT RESERVE AS A HEDGE, AND I WOULD URGE EVERYBODY TO THINK ABOUT IT AS, AS OUR SAVINGS ACCOUNT.

THANKS.

THANK YOU.

AS WE GO INTO THE DISCUSSION ON ENTERPRISE HIGHLIGHTS, UH, FOR THE PUBLIX IS WATCHING THIS AND WANTS TO FOLLOW ALONG ON THE BUDGET, UH, WE HAVE A SERIES OF MEETINGS THAT WE'RE GOING TO BE TALKING AT WORK SESSIONS THAT WE'RE GONNA BE TALKING ABOUT THIS.

AND YOU MAY HAVE HEARD REFERENCE A COUPLE OF TIMES TO THE 26TH.

THE 26TH.

THE WAY THIS IS GONNA BE DONE IS, IS ON JULY 26TH, WE'RE GOING TO BE ABLE TO TAKE A DEEPER DIVE INTO THE GENERAL FUND.

AND THEN ON AUGUST 1ST, WE'RE GONNA TAKE A DEEPER DIVE INTO ENTERPRISE FUND.

SO THIS IS THE FIRST DAY TO HAVE THE CONVERSATION.

I THINK IT'S BEEN A, IT'S THE WAY WORK SESSION OUGHT TO WORK.

WE'VE HAD A LOT OF QUESTIONS AND A LOT OF OF FEEDBACK.

AND ALSO WE WILL SEE, HAVE THE OPPORTUNITY PURPOSEFULLY SET UP SO THAT WE WILL HAVE, HAVE ADDITIONAL, UH, ANSWERS AND MORE DETAILED ANSWERS COME BACK TO US FOR THE PUBLIC NOTE.

JULY 26TH AND AUGUST 1ST FOR THOSE TWO DIFFERENT, UH, WORK SESSIONS, THEY WILL ALSO BEGIN AT

[01:40:01]

NINE O'CLOCK.

IN ADDITION, YOU'VE HEARD REFERENCE TO THE MESSAGE, UH, I'M SORRY, YOU'VE HEARD TO THE Q AND A, YOU'VE HEARD REFERENCE TO THE Q AND A A NUMBER OF TIMES.

THAT PROCESS HAS ALREADY STARTED WHERE COUNSEL CAN ASK QUESTIONS AND GET ANSWERS, UH, IN A PUBLIC FORUM.

AND, AND THE, THE Q AND A IS A LIVING DOCUMENT.

IT'S, IT, IT, IT WILL CONTINUE UNTIL A BUDGET HAS PASSED.

SO IF THE PUBLIC IS INTERESTED IN THAT, UH, YOU CAN ALSO GO AND LOOK AT THOSE.

BUT I'M GONNA ASK, THE, I'M TRYING TO GET TO THAT IS NOT AN EASY THING.

AND SO I'M GOING TO ASK THE FOLKS FROM FINANCE, IF YOU WOULD, TO, IF YOU CAN RIGHT NOW, AND IF NOT, WE'LL COME BACK LATER.

BUT GIVE THE SITE SO THAT PEOPLE CAN GO TO THAT SITE.

AND WHAT I'LL DO, UH, IS I'LL ALSO, FOR THOSE THAT PAY ATTENTION TO THE MESSAGE BOARD, WHICH IS SOMETHING THAT THE COUNCIL, UH, IS ABLE UNDER THE PUBLIC INFORMATION ACT, OPEN MEETINGS LAW TO COMMUNICATE WHEN WE'RE NOT IN SESSION, UH, WE POST THINGS ON THE MESSAGE BOARD.

I WILL, UH, PUT ON THE MESSAGE BOARD THAT Q AND A SITE, BUT WE'LL, WE'LL ANNOUNCE IT A LITTLE BIT LATER IN THIS MEETING.

AND THEN, UH, AFTER THE MEETING, OR MAYBE DURING THE MEETING, MAYBE SOMEBODY ON MY STAFF WILL GO AHEAD AND PUT THAT UP THERE.

SO WITH THAT FILIBUSTER ON WORK SESSIONS, UH, I'LL TURN IT BACK TO YOU, UH, AND MAYOR AND COUNCIL ON THE ENTERPRISE FUNDS.

UH, JUST SO YOU KNOW, CAUSE IT'S GONNA BE A LITTLE DIFFERENT.

WE'VE ASKED IN INTEREST OF TIME, AND BECAUSE WE KNOW YOUR TIME'S VALUABLE AND WE WANT TO GET TO YOUR QUESTIONS, ERIC'S GONNA GO THROUGH THIS IN MUCH MORE SUMMARY FASHION, UH, SO THAT, UH, WE HIT THE HIGHLIGHTS AND THEN WE CAN GET AN OPPORTUNITY FOR YOU GUYS TO ASK US QUESTIONS ABOUT THE, THE VARIOUS ENTERPRISE FUNDS.

SO WITH THAT, ERIC, UH, YOU'RE, YOU'RE SET TO GO AND YOU'VE GOT FIVE MINUTES.

A CONVENTION CENTER.

WE STILL HAVE ONE NEXT , UH, ONE THING I, WELL, A COUPLE OF THINGS HERE, BUT ONE, UH, THEY'RE FTES ARE DECREASING BECAUSE, UH, THE CITY MANAGER INSTITUTED A LONG-TERM VACANCY REDUCTION PROCESS.

IT RESULTED IN 30 POSITIONS THAT HAVE BEEN VACANT FOR LONGER THAN TWO YEARS BEING ELIMINATED.

IT SAVED THE CITY 3 MILLION OVERALL, AND IT'S PART OF WHAT'S DRIVING OUR SUCCESS WITH GETTING THAT VACANCY RATE DOWN.

UM, OTHER THAN THAT CONVENTION CENTER IS GEARING UP FOR THEIR EXPANSION.

AND WE'VE SEEN, UM, UH, UH, A BIG RECOVERY IN HOTEL OCCUPANCY TAX, UM, WHICH TRANSLATES INTO ALL THE, UM, VARIOUS, UH, FUNDS THAT BENEFIT FROM THAT.

AUSTIN ENERGY, UH, IS PROPOSING A 2%, UH, RATE INCREASE THIS YEAR, MAINLY TO CONTINUE TARGETING THEIR FINANCIAL METRICS.

THEY'RE ON TRACK, UH, NOW TO GET THEIR RESERVE FUNDS FULLY FUNDED BY FY 26 AND REACH THEIR OPERATING FUND, UH, RESERVE GOAL BY FY 28.

UM, BECAUSE FUEL PRICES ARE EXPECTED TO DECLINE, THAT 2% INCREASE IN RATES IS ONLY ADDING ABOUT 1% TO THE, UH, TYPICAL RATE PAYERS MONTHLY BILL, UH, FOR ENERGY.

UM, ON THE EXPENDITURE SIDE, THEY'LL BE ADDING, UH, SEVERAL POSITIONS, BUT THEY'RE ALL CONVERSION OF, UH, TEMPORARY TO PERMANENT POSITIONS.

UM, AND THERE WILL BE COST OFFSETS FOR THAT.

AUSTIN RESOURCE RECOVERY IS STILL EMERGING FROM, UH, ITS RESPONSE TO WINTER STORM.

MARA, THEIR EXPENDITURES ARE GOING DOWN BECAUSE THEY HAD SUCH A LARGE ONE-TIME EXPENDITURE, UH, THIS YEAR TO RESPOND TO THAT STORM.

UM, THEY'LL BE INCREASING THEIR RATES EVEN THOUGH THE GENERAL FUND DID GIVE THEM, UH, OVER 15 MILLION, UH, THAT REPRESENTED 75% OF THEIR TOTAL SPEND ON WINTER STORM.

MARA, THEY HAVE A, A FUND BALANCE DEFICIT.

THEY NEED TO MAKE UP ASSOCIATED WITH THAT OTHER 5 MILLION.

THAT'S, UM, A BIG REASON FOR THE RATE INCREASE.

UH, IT'S ABOUT 5.2% TO THE TYPICAL CUSTOMER.

THEY ALSO HAVE A SHARE OF THE CLEAN COMMUNITY FEE, WHICH IS GOING TO INCREASE A LITTLE BIT FOR ACTIVITIES LIKE STREET SWEEPING BECAUSE OF THEIR NORMAL COST DRIVER TRAJECTORY.

UH, AVIATION, THEY'VE SEEN, UH, A BIG RECOVERY IN PASSENGER GROWTH AND THEY'RE PLANNING THEIR TERMINAL EXPANSION.

THEY HAVE, UH, A RAMP UP IN EXPENDITURES, UH, ASSOCIATED WITH BOTH OF THOSE.

AND THEIR REVENUE TENDS TO TRACK THAT BECAUSE THEY BILL OUT TO THE CONCESSIONAIRES AND AIRLINES.

AWESOME.

WHAT WATER YOU MAY RECALL, UH, COMMISSION AN EXTERNAL REVIEW THAT REPORTED BACK IN JANUARY ABOUT IMPROVEMENTS THE UTILITY COULD MAKE TO, UH, BECOME MORE RESILIENT.

THEY'RE, UH, PROPOSING A RATE INCREASE THIS YEAR, AND THEY'RE GONNA USE THE PROCEEDS FROM THAT TO TARGET THESE RESILIENCY IMPROVEMENTS.

UM, THEY HAVE, UH, A REAL FOCUS ON RECRUITMENT AND RETENTION FOR THEIR EMPLOYEES AND GETTING SOME NEW ENGINEERS, UH, AND, UH, THEY HAVE OTHER INVESTMENTS TO THE SYSTEM ITSELF TO MAKE IT MORE RESILIENT.

NOW THAT RATE INCREASE IS ACTUALLY THE FIRST ONE SINCE FY 17.

AND

[01:45:01]

THEN WE DECREASED RATES IN F Y 18.

SO, UH, THAT FY PROPOSED RATE FOR THE TYPICAL, TYPICAL CUSTOMER, PARDON ME, UH, $83 AND 44 CENTS.

WELL, IT WAS $83 EVEN IN FY 17.

SO, UM, YOU KNOW, OVER SEVEN YEARS, THAT'S, THAT'S VERY MODERATE GROWTH.

UH, DEVELOPMENT SERVICES MERGED WITH, UH, THE CODE COMPLIANCE DEPARTMENT THIS YEAR.

UM, YOU CAN SORT OF SEE THE RESULTS OF SOME EFFICIENCIES FROM THAT WHERE CODE IS PROJECTING, IT CAN, UH, REDUCE ITS CLEAN COMMU COMMUNITY FEE SLIGHTLY.

UM, THERE'S TWO AND A HALF MILLION DOLLARS IN DSD FOR A STUDY TO CONTINUE WORKING ON PROCESS IMPROVEMENT SO THAT WE CAN, UM, MAKE, MAKE THAT, UH, PERMITTING PROCESS FASTER.

TRANSPORTATION AND PUBLIC WORKS, UH, HAVE MERGED INTO ONE NEW DEPARTMENT.

UM, THEY ARE NOT PROJECTING ANY CRE INCREASE IN THEIR TRANSPORTATION USER FEE.

AND WE ALSO WANT TO POINT OUT ON THIS SLIDE THAT, UH, WE'RE TRANSFERRING OUT 47 POSITIONS FROM THESE DEPARTMENTS TO CREATE A NEW CAPITAL DELIVERY SERVICES DEPARTMENT.

UM, CARRIE WILL GET INTO THE CAPITAL BUDGET LATER, BUT YOU CAN SEE WE HAVE A VERY AGGRESSIVE, UH, RAMP UP IN APPROPRIATIONS OVER THE NEXT SEVERAL YEARS.

AND THAT NEW CDS DEPARTMENT IS GONNA HELP US DELIVER IT.

WATERSHED PROTECT, UH, YEAH, EXCUSE ME.

WATERSHED PROTECTION IS ALSO PROPOSING ITS FIRST RATE INCREASE SINCE FY 17, WHICH WILL LEAD TO ABOUT A 9% JUMP IN THEIR REVENUE.

UM, THEY CONTINUE TO HAVE CREEK CLEANUP COSTS AND, AND THEY'RE ALSO GONNA ADD 11 POSITIONS, UM, TO WORK ON CLEANUP AND, UM, AND THEIR INFRASTRUCTURE PROJECTS.

THIS IS FINALLY A SUMMARY OF PRETTY MUCH EVERYTHING WE'VE SEEN SO FAR IN TERMS OF THE COST IMPACT TO A TYPICAL RESIDENT.

UM, YOU KNOW, IF WE SKIP DOWN TO THE BOTTOM LINE, VERY MODERATE INCREASE OF, OF 2%, WE TALKED ABOUT THE, THE FEE INCREASES IN THE RESPECTIVE ENTERPRISE DEPARTMENTS AND WE HAVE THAT, THAT VERY MODERATE INCREASE IN THE PROPERTY TAX BILL OVERALL.

UM, IT'S TRACKING TO, TO, UH, A PRETTY MODERATE YEAR FOR OUR TYPICAL, UH, RESIDENT.

GOOD MORNING COUNSEL.

CARRIE LANG, BUDGET OFFICER.

I AM HAPPY TO BE IN FRONT OF YOU ALL TODAY AND I'M JUST GONNA TAKE A LITTLE POINT OF PRIVILEGE TO AGAIN, THANK ERIC AND THE BUDGET AND PERFORMANCE TEAM FOR DOING AN EXCELLENT JOB WHILE I WAS OUT.

UM, I APPRECIATE YOU ALL SO MUCH AND I WILL WITH THAT, I WILL GET GOING WITH THE CAPITAL BUDGET HIGHLIGHTS.

UM, AS ERIC SAID, WE DO HAVE, UM, A ROBUST CAPITAL BUDGET PROGRAM AND THIS SLIDE IN PARTICULAR TALKS ABOUT OUR SPENDING PLAN.

I DO WANNA NOTE THAT EACH YEAR FOR THE CAPITAL BUDGET, WE DO, UM, SHOW NEW APPROPRIATIONS IN THE, UH, IN THE BUDGET PROCESS AND GET THOSE APPROPRIATIONS APPROVED FOR EACH FISCAL YEAR.

THE ACTUAL APPROPRIATIONS FOR FISCAL YEAR 24 THAT WE ARE PROPOSING IS 1.8 BILLION.

UM, BUT AS YOU CAN SEE, WHEN WE LOOK AT OUR SPENDING PLAN WAS ACTUALLY PLANNED TO BE SPENT FOR FISCAL YEAR 24 IS AT 1.6 BILLION.

UM, AUSTIN, UM, AVIATION, AUSTIN ENERGY AND AUSTIN WATER CONTINUE TO BE THE LARGEST PORTIONS OF OUR SPENDING PLAN.

AS YOU, AS ERIC MENTIONED, THE EXPANSION OF THE AIRPORT AS WELL AS, UM, ONGOING, UM, WORK AT AE AS WELL AS AUSTIN WATER SHOWS THAT INCREASE.

BUT YOU'LL ALSO SEE AN INCREASE IN, UM, SOME OF OUR PUBLIC IMPROVEMENT BOND SPENDING, UH, TRANSPORTATION AND MOBILITY IN PARTICULAR, UM, IS SHOWING SOME INCREASES THERE.

AND SO WE'LL GO INTO A LITTLE BIT MORE DETAIL ABOUT THAT OVER THE NEXT COUPLE OF SLIDES.

THIS SLIDE IN PARTICULAR WANTED TO SHOW YOU ALL AND TALK TO YOU ALL A LITTLE BIT ABOUT SOME OF THE HISTORY AND, AND SHOW HOW WE'VE BEEN SPENDING HISTORICALLY COMPARED TO WHAT WE'RE ANTICIPATING OVER THE NEXT FIVE YEARS.

UM, OVER THE LAST FIVE YEARS OR SO, WE'VE SPENT ABOUT 922 MILLION ON AVERAGE IN C I P SPENDING.

BUT WHEN YOU LOOK FORWARD OVER THE NEXT FIVE YEARS, WE'RE ANTICIPATING ABOUT A 2.5 BILLION AVERAGE ANNUAL SPEND.

AGAIN, WE HAVE A NUMBER OF, UM, PUBLIC IMPROVEMENT BOND PROGRAMS THAT ARE BEING, UM, RAMPED UP AND WE'RE STARTING TO SEE THE SPENDING TRANSPORTATION AND MOBILITY AND PRIMARILY, BUT WHEN YOU LOOK AT THOSE OUT YEARS, YOU'LL SEE AVIATIONS EXPANSION AS WELL AS THE CONVENTION CENTER.

AND THESE ARE THE GENERATIONAL PROJECTS THAT THE CITY MANAGER HAS MENTIONED IN HIS REMARKS ON THINGS THAT WE'RE TRYING TO DO TO MAKE SURE THAT WE'RE DOING, UM, IMPROVEMENTS TO OUR INFRASTRUCTURE THAT WILL IMPACT US FOR SEVERAL YEARS.

THE TEAM HAS TALKED ABOUT THIS SLIDE IN SEVERAL DIFFERENT INSTANCES WHERE WE TALK ABOUT, AND ED MENTIONED OUR AU UM, AUTHORIZED BUT SSUE BALANCE OF 1.6 BILLION.

IT'LL BE 1.6 BILLION

[01:50:01]

AFTER THE SEPTEMBER, 2023 SALE.

UH, WE WANTED TO MAKE SURE THAT WE KEPT THIS DISCUSSION IN FRONT OF YOU AS WE LOOKED AT WHAT OUR ACTIVE BOND PROGRAMS ARE DOING.

UM, AND JUST TO GIVE YOU ALL A REMINDER, THAT 2022 BOND, THAT IS OUR HOUSING BOND, THAT WAS $350 MILLION, UM, WE STILL HAVE A NUMBER OF DOLLARS, A HEALTHY BALANCE FOR OUR TRANSPORTATION AND MOBILITY BONDS.

THE 2018 BOND WAS THE COMPREHENSIVE BOND THAT INCLUDED LIBRARIES, PARKS, UM, THINGS LIKE OUR PUBLIC SAFETY AREAS, TRANSPORTATION AS, AND FLOOD MITIGATION.

UM, AND SO WHEN WE LOOK AT WHERE WE ARE AND HOW WE'RE SPENDING, WE WANNA MAKE SURE WE KEEP THIS IN AGAIN, IN THE FOREFRONT OF YOUR MIND.

UM, AS YOU SEE THE INCREASED SPENDING PLANS OVER THE NEXT COUPLE OF YEARS, IT'S BECAUSE WE'RE TRYING TO DRAW DOWN AND SPEND THESE BOND DOLLARS IN A MEANINGFUL WAY AND GET THESE PROJECTS COMPLETED.

UM, WE WILL BE PUTTING A, A SLIDE UP TOWARD THE END OF THIS PRESENTATION THAT SHOW, UM, AUSTIN FINANCE ONLINE WEBSITE, UM, TALK ABOUT THE, THE COUNCIL BUDGET QUESTIONS, BUT THERE'S ALSO A WEBSITE ATTACHED TO THAT THAT SHOWS OUR CAPITAL DELIVERY, UM, AND WHERE OUR PRO OUR, UH, CAPITAL PROGRAMS AND BONDS ARE BEING, OUR PROJECTS ARE, ARE SHOWING SOME PROGRESS.

AND SO YOU CAN GO THERE AND TRACK DATA TRACK, UM, WHAT PROGRESS WE'RE MAKING AND UPDATES ON THOSE PROGRAMS THROUGH THAT WEBSITE.

AND I'M SORRY.

YEAH.

COUNCILOR VELA, SORRY TO INTERRUPT.

I I JUST REAL QUICK.

THE, THE 2020 AND 2022, UH, ARE THE HOUSING, UH, BONDS? I, IS THAT CORRECT? 2020 AND 20.

2020 IS THE HOUSING.

2022, EXCUSE ME.

IS THE HOUSING BOND 2020 IS, UM, TRANSPORTATION? NO, EXCUSE ME.

TRANSPORTATION AND HOUSING.

UH, TRANSPORTATION AND HOUSING.

MM-HMM.

, UH, NO.

20 20, 2400 60 MILLION IS THE BIKE LANE AND ACTIVE MOBILITY ONE.

MOBILITY 2022 IS THE HOUSING.

MM-HMM.

2022 IS HOUSING.

AND 18 HAD SOME HOUSING.

18 HAD HOUSING AS WELL.

OKAY.

UH, AND THEN THE 2020 IS, UH, UH, TRANSPORTATION, ACTIVE MO MOBILITY, TRANSPORTATION AND MOBILITY.

GOT IT.

THANK YOU.

THAT ONE IS, YEAH.

AND PROJECT CONNECT HAD ALSO ANTIS DISPLACEMENT DOLLARS, BUT THAT'S PROBABLY NOT IN THIS CHART.

RIGHT.

THE, THE TIER I WILL HAVE TO DOUBLE CHECK TO MAKE SURE.

I'M NOT SURE.

I'LL, I'LL CHECK AND MAKE SURE AND GET BACK WITH YOU ON THAT.

THANK YOU.

JUST WANTED TO CLARIFY.

MM-HMM.

, NEXT SLIDE PLEASE.

SO THIS IS JUST A QUICK OVERVIEW OF SOME OF THE CAPITAL SPENDING HIGHLIGHTS FOR FISCAL YEAR 24.

UM, AGAIN, AVIATION IS BEGINNING THEIR EXPANSION PROJECTS AND THAT INCLUDES THEIR BAGGAGE HANDLING SYSTEM.

UM, THIS SYSTEM IS ANTICIPATED TO INCREASE THE SCREENING CAPACITY AT THE AIRPORT, UM, AND WILL INCREASE FUNCTIONALITY AND SECURITY CONSTRUCTION IS ANTICIPATED TO BEGIN THIS FISCAL YEAR.

SO THEY'RE JUST STARTING THAT, UH, EXCUSE ME, FISCAL YEAR 24.

LIKEWISE, CONVENTION CENTER IS STARTING THEIR EXPANSION PROJECT IN FISCAL YEAR 24.

UM, AS YOU ALL KNOW, IN 2019, COUNCIL APPROVED A 2% INCREASE TO THE HOTEL OEE TAX RATE.

AND THAT, UM, IS WHAT IS USED TO FUND THESE, UM, THIS EXPANSION IN PARTICULAR AUSTIN WATER, THE WATER CREEK, WALNUT CREEK WATER TREATMENT EXPANSION.

THIS, UM, ORIGINAL BILL WAS IN 1977.

IT'S HAD TWO MAJOR EXPANSIONS SINCE THEN.

THIS EXPANSION WILL INCREASE THE, UM, CURRENT 75 MILLION GALLONS PER DAY CAPACITY TO A HUNDRED MILLION GALLONS PER DAY, UM, FOR THAT TREATMENT PLANT.

AND THEN AUSTIN ENERGY, THEIR, THEIR 117 MILLION, UM, SPENDING PLAN IS FOR, UM, THEIR RESILIENCY PROGRAM.

ABOUT 6 MILLION OF THAT FOR FISCAL YEAR 24, AND THEN THE NORTH, THE NEW SOUTHEAST SUBSTATION FOR AE.

WHEN WE LOOK AT TRANSPORTATION AND PUBLIC WORKS, AGAIN, THE 20 16, 20 18 AND 2020 BOND PROGRAMS, THE TRANSPORT, THERE'S TRANSPORTATION AND MOBILITY PROGRAMS. THAT INCLUDES A NUMBER OF PROJECTS, STREET REHABILITATION, URBAN TRAIL EXPANSION, SAFE ROUTE TO SCHOOL, SIDEWALK, UM, REHAB, AND NEW CONSTRUCTION, UM, AND INTER INTERSECTION IMPROVEMENTS, BIKEWAYS AND VISION ZERO.

SO THERE ARE A NUMBER OF DIFFERENT PROJECTS INCLUDED IN OUR TRANSPORTATION AND MOBILITY.

AND THEN WHEN WE LOOK AT THE WATERSHED, THE CONFLUENCE PROJECT THAT CONSTRUCTION BEGAN IN MAY OF THIS YEAR, MAY, 2023, AND IT WILL RESTORE CREEK HEALTH AND FUNCTIONALITY.

FIRE AND E M S CONTINUE TO HAVE THEIR, UM, FIRE AND E M S STATIONS.

UH, THE CANYON CREEK IS ANTICIPATED TO START CONSTRUCTION, UM, WITH COMPLETION IN FALL OF 2024.

AND THEN STATIONS ONE, THREE, AND 22.

THOSE CONSTRUCTIONS ARE ONGOING.

THEY ALL BEGAN IN 2023 AND WILL CONTINUE THROUGH EITHER THIS LATER THIS YEAR OR THROUGH, UH, 2024 FOR THOSE THREE STATIONS.

SO THEN AS WE LOOK AT HOUSING, UM, AND THEIR SPENDING PLAN, THE AFFORDABLE

[01:55:01]

HOUSING, UM, PORTION OF THEIR SPENDING PLAN INCLUDES 30 MILLION OF THE 2022 BOND DOLLARS.

AND THEN THE HOUSING TRUST FUND ANTICIPATES $16.4 MILLION FOR DISPLACEMENT PREVENTION.

PARKS AND RECREATION HAS A NUMBER OF, UH, PROJECTS THAT THEY WILL BE SPENDING ON IN THIS NEXT FISCAL YEAR, INCLUDING THEIR AQUATICS VISION PLAN, WHICH, UM, INCLUDES A POOL AT COLONY PARK, UH, RE RECONSTRUCTION, UH, RENOVATIONS FOR GIBBONS POOL.

AND THEN, UM, IN ADDITION TO THAT, THE, UM, CULTURAL CENTER, THE MEXICAN AMERICAN CULTURAL CENTER.

PHASE TWO IS BEGINNING, UM, CONSTRUCTION WITH COMPLETION, ANTICIPATING IN FISCAL YEAR 2025.

AND THEN FINALLY, UM, I BELIEVE ERIC MENTIONED EARLIER THAT THE CAPITAL REHABILITATION FUND IS, UM, FULLY FUNDED PER POLICY LEVEL FOR FISCAL YEAR 24 AT 10.5 MILLION.

IT INCLUDES A NUMBER OF PROJECTS ACROSS SEVERAL DIFFERENT DEPARTMENTS, UM, INCLUDING, UM, SOME E M S RENOVATIONS FOR AUSTIN PUBLIC HEALTH, SOME SECURITY IMPROVEMENTS.

PARKS AND RECREATION CONTINUES TO HAVE SOME IMPROVEMENTS IN SYSTEMS, MECHANICAL AND ENGINEERING SYSTEM ASSESSMENTS, UM, WINDOW REPLACEMENTS AT GUS GARCIA.

AND THEN LIBRARY HAS VARIOUS PROJECTS ACROSS THEIR, UM, FACILITIES THROUGH THIS CAPITAL, CAPITAL REHABILITATION FUND.

AGAIN, BUILDING SERVICES.

THEY, THEY MANAGE A NUMBER OF THE PROJECTS THAT WILL BE HAPPENING ACROSS THE CITY FOR OUR, OUR INFRASTRUCTURE AND FACILITIES, UM, AND WORK VERY CLOSELY WITH THE SEVERAL DEPARTMENTS TO MAKE SURE THAT THESE PROJECTS TAKE PLACE IN A TIMELY MANNER.

AND COUNCIL MEMBERS, UH, COUNCIL MEMBERS, LET ME JUST, UH, THAT'S A GREAT PRESENTATION, CARRIE, I JUST AS A, A KIND OF A NOTE THAT WE NEED YOUR HELP ON, UH, WE STOOD UP, UH, CAPITAL DELIVERY DEPARTMENT OFFICE THIS YEAR.

AND ONE OF THE THINGS THAT WE'VE BEEN ABLE TO RECOGNIZE IS THAT WHEN WE'VE DONE ESTIMATES FOR SOME PROJECTS THAT, UH, ENDED UP ON A BOND PROGRAM, IT DIDN'T HAVE NEARLY ENOUGH ADEQUATE FUNDING BECAUSE THERE WASN'T ENOUGH PRE-PLANNING THAT WHAT NEEDED TO BE DONE.

SO THAT WHEN WE COMMITTED TO THE VOTERS THAT WE GET A FACILITY COMPLETED, WE FIND THAT WE'RE SHORT, SHORT ON FUNDS AND WE'VE GOTTA GO BACK AND ASK FOR MORE BONDING AUTHORITY TO COMPLETE IT.

SO WE'RE GONNA, UH, WORK WITH, UH, THE PLAN, THE ACTUALLY PART OF OUR, UH, CAPITAL DELIVERIES TO WORK WITH DEPARTMENTS TO MAKE SURE THAT WHEN WE DO HAVE A BOND PROGRAM, THE ESTIMATES ARE DONE IN A RIGOROUS WAY SO THAT WE KNOW EXACTLY WHAT IT IS THAT THE VOTERS ARE VOTING ON SO THAT WE CAN DELIVER THAT PRODUCT.

UM, WE'LL WORK OBVIOUSLY WITH THE, THE, THERE'S A BOND OVERSIGHT COMMITTEE THAT WE'LL WORK WITH, ET CETERA.

AND THE OTHER THING IS, WE MENTIONED HOUSING BONDS.

I, WE'VE ALREADY BEGUN HAD, WE HAVEN'T BROUGHT 'EM ON BOARD YET, BUT THERE'S GONNA BE AN AUDIT OF OUR HOUSING DEPARTMENT IN TERMS OF HOW WE SPEND THOSE DOLLARS.

AND IT'LL BE PROGRAMMATIC AS WELL AS FINANCIAL SO THAT WE CAN UNDERSTAND HOW ALL THOSE DOLLARS ARE USED TOWARD BENDING THE COST CURVE.

WITH RESPECT TO AFFORDABILITY, I DON'T HAVE AN ANSWER FOR YOU YET, BUT IT SEEMS TO ME THAT THAT'S SOMETHING THAT'S, THAT'S NEEDED SO THAT WE CAN AT LEAST UNDERSTAND WHETHER WE'VE GOT THE RIGHT ROADMAP TO GET THE WORK DONE THAT NEEDS TO GET DONE.

THOSE ARE JUST A LITTLE BIT TWO THINGS THAT ARE RELATED TO OUR CAPITAL DELIVERY.

THANK YOU.

UH, COUNCIL MEMBER VELA, THEN COUNCIL MEMBER FUENTES AND COUNCIL MEMBER HARFORD MADISON.

I JUST WANTED TO SAY THAT I, UH, APPRECIATE THAT THOSE OBSERVATIONS AND COMMENTS ABOUT THE BONDS, UH, THINKING BACK AND, OH LORD, I HOPE I'M, I'M, BUT I REMEMBER WHEN WE FIRST TRIED TO DO THE MEXICAN AMERICAN CULTURAL CENTER, THAT WAS VASTLY, UH, UNDERFUNDED AND, AND IT JUST TOOK YEARS BECAUSE THAT FIRST ESTIMATE WAS OFF.

AND THEN I KNOW WE'VE DISCUSSED VARIOUS PUBLIC SAFETY PROJECTS THAT GOT DELAYED ADMINISTRATIVELY.

I THINK THAT'S A PROBLEM FOR THE CITY FROM THE VOTER'S PERSPECTIVE, I THINK IT REALLY BECOMES AN ISSUE CUZ IT'S LIKE, DIDN'T WE VOTE FOR THESE BONDS? AND WASN'T THIS SUPPOSED TO BE A, A PART OF IT? AND, AND PEOPLE, YOU KNOW, SO I I JUST APPRECIATE THOSE OBSERVATIONS AND, AND, UH, IT'S DEFINITELY SOMETHING THAT NEEDS TO BE ADDRESSED.

THANK YOU.

COUNCIL MEMBER.

COUNCIL MEMBER FUENTES AND COUNCIL MEMBER HARPER MADISON AND COUNCIL MEMBER RYAN ALTER.

THANK YOU.

AND, AND TO BUILD OFF OF COUNCIL ELLA'S COMMENTS, YOU KNOW, COLLEAGUES, I, I CERTAINLY APPRECIATE THE CITY MANAGER'S ATTENTION AND PRIORITIZATION OF MOVING OUR BOND PROJECTS AS QUICKLY AS POSSIBLE.

WE KNOW THAT WE HAVE BILLIONS OF DOLLARS OF NEEDS IN OUR CITY WITH SIDEWALK CONNECTIVITY, WITH HAVING A ROBUST TRANSPORTATION NETWORK.

UM, SO WE ALL HAVE A VESTED INTEREST TO ENSURE THAT WE'RE ABLE TO DELIVER THESE PROJECTS IN A TIMELY FASHION SO AUSTINITE CAN SEE THE IMPROVEMENTS IN THEIR NEIGHBORHOODS AND SO THAT WE CAN GET MORE PROJECTS IN THE PIPELINE.

UM, UH, AND I, SO PART OF THE EFFORT CITY MANAGER THAT I APPRECIATE YOUR LEADERSHIP ON WAS THE CREATION OF THIS CAPITAL DELIVERY SERVICES DEPARTMENT.

CAN NOW THAT THAT, UH, DIVISION IS OUT OF THE ENTERPRISE, UM, FUNDING OR OUT OF THE ENTERPRISE DEPARTMENT, HOW IS THE CAPITAL SERVICES DELIVERY DIVISION BEING FUNDED? AT THIS POINT? IT'S BEING FUNDED BY THE PROJECT.

SO, UM, SIMILAR TO HOW, HOW WE'VE MANAGED THEM PRIOR TO IT BEING A DEPARTMENT.

YOU,

[02:00:01]

UM, THE, THE CAPITAL DELIVERY DEPARTMENT WILL CHARGE BACK TO THE PROJECTS THAT IT IS SUPPORTING.

UM, AND, AND THERE IS A, A METHODOLOGY AND ALLOCATION THAT'S PUT IN PLACE TO, TO ESTABLISH WHAT THOSE, WHAT THOSE CHARGES ARE BACK TO THE PROJECTS.

OKAY.

SO THAT WORK IS CURRENTLY UNDERWAY? YEAH.

YES.

AND IT'S BEING, IT'S, WE'RE FUNDING IT THE WAY IT WAS FUNDED BEFORE.

WE'VE JUST PULLED IT OUT OF THE DEPARTMENT WHERE IT WAS CREATED AN OFFICE, AND IT'S THE SAME FUNDING MECHANISM WE'VE USED IN THE PAST.

OKAY, GOOD.

AND, UM, SO DOES THAT HAVE AN IMPACT TO THE COST OF SERVICE? IT, IT SHOULD HAVE ALL, I MEAN, UH, I WOULDN'T, WOULDN'T THINK SO.

IT, IT SHOULD NOT HAVE AN IMPACT BECAUSE IT, IT WAS, UM, CALCULATED IN THE COST OF SERVICE WHEN THE PROJECTS WERE CREATED.

AND SO IT'S, AS THE CITY MANAGER MENTIONED, IT'S JUST PULLING THAT FUNCTION OUT INTO ITS OWN DEPARTMENT TO BETTER MANAGE THE PROJECT SEPARATELY.

OKAY.

THANK YOU.

COUNCIL MEMBER HARPER MADISON, AND COUNCIL MEMBER RYAN AL, THANK YOU FOR THE RECOGNITION MAYOR.

BUT THE PROBLEM WITH GOING THIRD AFTER TWO BRILLIANT COLLEAGUES IS THAT THEY ALREADY ASKED ALL MY QUESTIONS.

AND SO, UH, I'M, I'M, MY QUESTIONS HAVE BEEN RESOLVED.

THANK YOU.

IT MAY TAKE BRILLIANCE TO NOTICE THAT.

SO THERE YOU GO.

UM, SO THREE BRILLIANCE IN A ROW, THEN WE'LL GO TO COUNCIL MEMBER RYAN AL ALTER.

YOU GOT A LOT ON YOUR SHOULDERS.

NOW, AFTER , NOT VERY BRILLIANT.

COUNCIL MEMBER ALISON ALTER, I HAVE A QUESTION REGARDING D S D, I DON'T KNOW WHO CAN TAKE, BUT REALLY MY QUESTION IS, WELL, TWO QUESTIONS.

FIRST ON THE 5 CENT DECREASE OR THE, THE DECREASE THAT WERE, THAT'S IN YOUR CHART, WHAT'S THE TOTAL COST? WHAT, WHAT DOES THAT NET OUT TO IN TERMS OF HOW MUCH THAT FEE DECREASE? IF WE KEPT IT STATIC, HOW MUCH MORE WOULD WE HAVE? I DON'T WANNA QUOTE YOU A NUMBER OFF THE TOP OF MY HEAD.

I HAVE ONE IN MIND, BUT I'M NOT SURE IT'S ACCURATE.

I'D RATHER JUST GET FINE YOU A RESPONSE IN THE Q AND A.

THE OTHER THING WE HAVE TO BE CAREFUL OF, UM, ESPECIALLY NOW THAT THEY'RE IN DS D DSD IS VERY CAREFUL WITH ITS FEE MODEL BECAUSE WE HAVE, WE CAN'T HAVE OUR, UH, OUR FEES EXCEED OUR COST OF SERVICE.

AND SO WHEN CODE RAN ITS VERSION OF THAT MODEL FOR THEIR DIVISION, THAT THAT'S THE NUMBER THAT THAT SHOT OUT.

SO THAT'S WHY, THAT'S PART OF THE REASON THEY'RE, UM, DECREASING IT.

SO IF YOU WANTED THEM TO KEEP THE MONEY, YOU MIGHT HAVE TO HAVE THEM AT EXPENSES TO JUSTIFY IT TOO.

SURE.

WELL, AND THAT KIND OF LEADS TO MY SECOND QUESTION ON WHEN I WAS REVIEWING THE MORE DETAILED SPREADSHEETS IN THE BUDGET.

D S D IS GETTING FOR THE FIRST TIME IN FIVE YEARS, AT LEAST AS IT'S IN ONE, UH, TABLE, A FOUR PLUS MILLION DOLLAR GENERAL FUND TRANSFER.

ALTHOUGH THEIR, THEIR FUND ITSELF HAS BEEN GETTING GENERAL FUND EVERY YEAR.

BUT IN, IN THE MID SECTION TABLE IT SHOWS BASICALLY ZEROS AND THEN A A FOUR SIX.

HOW COME? RIGHT? YEAH.

WHAT'S HAPPENING? I UNDERSTAND WHY THAT'S CONFUSING.

SO ON THE ONE HAND, THEY'RE TRANSFERRING OUT TO PAY US BACK WHERE, WHERE WE HAVE LENDED THEM FUNDING OUTTA RESERVES.

HOWEVER, THERE'S AN ANNUAL, UH, TRANSFER.

SO THIS ISN'T THE FIRST YEAR.

THAT MAY BE THE INCREMENTAL INCREASE, BUT THE GENERAL FUND TRANSFERS FUNDING TO DSD EVERY YEAR.

CUZ AS I SAID, THEY HAVE TO BE VERY CAREFUL THEIR COST MODEL.

SO WHEN WE WAIVE FEES OR THEY HAVE, UH, FUNCTIONS LIKE URBAN FORESTRY THAT, UH, DON'T GENERATE REVENUE THROUGH FEES, THE GENERAL FUND DOES A TRANSFER TO COVER THOSE COSTS.

OKAY.

WELL AT, AND IT'S ON PAGE TWO 20.

SO IF Y'ALL COULD JUST ALSO AS WE GET TO NEXT WEEK, I WOULD JUST LIKE TO UNDERSTAND WHY THEY ARE GETTING SUCH A SIGNIFICANT GENERAL FUND TRANSFER WHEN THE PREVIOUS, IT HAD BEEN BASICALLY ZERO AND, AND, AND BACKING UP AND LOOKING AT OUR, OUR ENTERPRISE FUNDS, THOSE IN THEORY ARE SUPPOSED TO BE WHOLLY CONTAINED, RIGHT? THEY'RE SUPPOSED TO BE SEPARATE FROM THE GENERAL FUNDS.

SO WHAT IS, IS IT, IS IT JUST FEE WAIVERS THAT IS DRIVING THIS? OR WHY IS D S D DIFFERENT THAN OUR OTHER? LET LET, I THINK WE CAN GET YOU A DETAILED ANSWER.

HERE'S THE, MY MY BEST GUESS.

I BET THERE ARE SOME GENERAL FUND FUNCTIONS THAT DSD IS DOING THAT THE GENERAL FUND IS OBLIGATED TO PAY FOR.

GOT IT.

AND NOT, NOT OUR DEVELOPMENT FEES, BUT WE'LL GO BACK AND YEAH, EXACTLY.

VERIFY THAT AND GET YOU A, A, A MORE COMPLETE ANSWER.

MM-HMM.

, THAT'S ALL I GOT.

THANK YOU.

THANK YOU.

COUNCIL MEMBER.

COUNCIL MEMBER.

ALISON ALTER, AND THEN COUNCIL MEMBER POOL.

THANK YOU.

UM, A COUPLE QUESTIONS.

UM, I'M PLEASED THAT WE ARE FULLY FUNDING THE CAPITAL REHABILITATION POLICY.

UM, WHERE WOULD WE FIND THE LIST OF PROJECTS FOR THAT? IS IT, IS IT CAPTURE? WE HAVE PROJECT LISTED IN THE PAST.

IT WAS IN THE BUDGET.

I'LL HAVE TO CHECK.

I'M NOT SURE IF IT'S ITEMIZED IN THE BUDGET, BUT WE'LL CHECK.

AND IF IT'S NOT, WE'LL DO A Q AND A TO MAKE SURE YOU'LL HAVE THE FULL LIST.

OKAY, GREAT.

UM, AND, AND THAT POLICY THAT,

[02:05:01]

YOU KNOW, WE STARTED TO FULLY IMPLEMENT, I THINK MY FIRST YEAR ON COUNCIL HAS BEEN REALLY, REALLY CRITICAL FOR US TO DO THE MAINTENANCE ACROSS THE BOARD FOR A LOT OF DEPARTMENTS MM-HMM.

.

UM, AND SO I'M, I'M REALLY INTERESTED THOUGH IN SEEING THE SPECIFICS THERE ON THAT, UM, WHEN WE DO THE ENTERPRISE, UM, DISCUSSION ON AUGUST 1ST, IF WE CAN HAVE WATERSHED PROTECTION, TALK ABOUT HOW THIS BUDGET ALIGNS WITH WHAT THEY'RE PLANNING FOR THEIR STRATEGIC PLAN, UM, RAIN THE WATER, OR, I'M NOT SURE EXACTLY WHAT THE PLAN WAS CALLED, BUT, UM, I WANNA MAKE SURE THAT WE'RE, WE, WE'VE GOT THE FEE LEVEL AT THE RIGHT LEVEL TO BE ABLE TO ADDRESS STRATEGICALLY WHAT THEY THINK THEY NEED TO BE DOING TO PROTECT OUR WATERSHEDS.

UM, SO I WOULD LIKE THAT AT THAT MEETING.

UM, I JUST WANNA FLAG FOR MY COLLEAGUES THAT I AM SOMEWHAT CONCERNED ABOUT THE RATE INCREASE FOR AUSTIN ENERGY COMING SO QUICKLY AFTER THE PAST RATE INCREASE.

I UNDERSTAND THE DESIRE TO, UM, SPREAD THIS OUT OVER TIME.

UM, BUT I DO HAVE A QUESTION OF WHETHER WE SHOULD BE WAITING ON THAT AND PLACED UNTIL NEXT YEAR OR UNTIL WE SEE IF THE PSA CHARGES ARE GONNA GO DOWN.

UM, I DO SUPPORT DOING THAT OVER TIME, BUT, BUT WE DID JUST, UM, RAISE RATES SUBSTANTIALLY THERE.

UM, SO I WANNA LOOK AT THAT MORE CAREFULLY.

UM, AND THEN, UM, DOES THE BUDGET FOR AUSTIN RESOURCE RECOVERY ADDRESS THE AIR CONDITIONING CHALLENGES THAT WE'VE BEEN EXPERIENCING FOR OUR DRIVERS? I WILL HAVE TO CHECK WITH A R R AND ARE YOU AWARE? GO AHEAD.

UM, YEAH, WE'LL HAVE TO CHECK ON THAT.

ACTUALLY, I STARTED THINKING ABOUT THE, THE AIR CONDITIONING CHALLENGE WITH THE FIRETRUCK, WHICH IS A FLEET ISSUE AND THEY ARE ADDRESSING THAT, BUT WE'LL HAVE TO CHECK ON THE AR ISSUES.

WE'LL GO BACK, WE'LL DOUBLE CHECK, BUT I THINK THE MEMO OR THE EMAIL, I SAW A THOUGHT THAT WAS, WE'RE DOWN THE ROAD TO TRY TO GET THAT MATTER ADDRESSED, BUT WE'LL, WE'LL GET THAT IN FRONT.

I KNEW THERE WAS A PLAN AND, AND WE HAD HAD THE DISCUSSION LAST BUDGET.

RIGHT.

UM, BUT I THINK THERE WAS SOME FURTHER DISCUSSION ABOUT MAYBE THAT WASN'T ADDRESSED.

AND SO I JUST WANTED TO MAKE SURE THAT IF THERE WERE CAPITAL COSTS THAT NEEDED TO BE, UM, INVESTED IN ORDER TO ADDRESS THAT CHALLENGE, UM, YOU KNOW, GIVEN THE HEAT WE'RE HAVING, I WANTED TO MAKE SURE THAT, OKAY, SO I DON'T NEED TO ADD ANYTHING ELSE TO THE Q AND A.

YOU GUYS WILL CHECK THAT BACK TO ME.

OKAY.

UM, GREAT.

THANK YOU VERY MUCH.

COUNCIL MEMBER POOL.

THANKS.

I JUST WANTED TO GO BACK A LITTLE BIT, UM, TO SOMETHING THAT COUNCIL MEMBER VELA WAS SAYING, AND I HAD WALKED OFF THE D AND WAS COMING BACK AND YOU WERE TALKING ABOUT THE CADENCE FOR THE BONDS ISSUANCE.

COULD, COULD YOU JUST CATCH ME UP ON THE PIECE THAT I MISSED? UM, UH, I THINK THAT WAS BASICALLY THAT WE'LL PASS A BOND.

IT TAKES, BUT A BOND, BUT BECAUSE OF, YOU KNOW, OF CONCERNS OR LIKE, OH, WELL WE BONDED 20 MILLION AND, AND ACTUALLY IT TURNED OUT TO BE 30 MILLION AND SO HOW ARE WE GONNA FILL THAT GAP? LIKE, YOU KNOW, AND THEN 12 YEARS LATER WE'RE FINALLY, YOU KNOW, GETTING THE, THE PROJECT GOING.

UH, UH, THAT'S BEEN, UH, I MEAN AS A CIVILIAN, YOU KNOW, I, I NOTICED THAT, LIKE I SAID, YEARS AGO AND, AND NOW AS A COUNCIL MEMBER, I'VE SEEN IT HAPPEN IN THE DISTRICT A COUPLE OF TIMES.

THANKFULLY WE WERE ABLE TO RESOLVE THOSE WITH SOME COS BUT, UH, BUT I JUST, I APPRECIATE THE, UH, IDENTIFICATION OF THAT AS A PROBLEM AND, AND THE, THE SEARCH FOR, FOR SOLUTIONS.

THANKS FOR BRINGING THAT UP.

I HAD NOTICED THAT TOO.

I SERVED ON, UM, TWO CITIZEN BOND REVIEW COMMITTEES AT THE COUNTY LEVEL BACK YEARS AGO, AND THEN ONE FOR THE CITY.

AND THERE WAS A DISTINCT DIFFERENCE BETWEEN HOW THE CITY, UM, LINED UP ITS BOND PROPOSALS VERSUS HOW THE COUNTY DID.

AND THE COUNTY ALSO TURNED DIRT FASTER THAN THE CITY HAS HISTORICALLY.

AND I THINK IT MIGHT BE TIED UP IN THE FACT THAT THE COUNTY WOULDN'T GREEN LIGHT A BOND FOR A PROJECT UNTIL IT WAS READY UHHUH.

SO FOR, TO HAVE THE DIRT TURNED SO THAT THEY WEREN'T SELLING THE BONDS OR EVEN GOING TO THE COMMUNITY SAYING THAT THEY NEEDED IT REALLY FAR IN ADVANCE.

SO I, AND I DO THINK CITY MANAGER, THAT WOULD BE A USEFUL THING FOR US TO LOOK AT THE METHODOLOGY AND THE PROCESS THERE.

YEAH.

YOU KNOW, IT'S HARD, IT'S HARD FOR ME TO HEAR THAT THE COUNTY'S DOING SOMETHING BETTER IN THE CITY, BUT UH, THE, UH, SO, BUT, BUT THAT, THAT IS AN ISSUE, THAT'S AN ISSUE THAT I THINK WE DO NEED TO ADDRESS.

ONE OF THE THINGS JUST CUZ YOU'RE GONNA, YOU WILL GET MAYBE SOME POLITICAL PUSHBACK AT SOME POINT, AT LEAST IT'S MY UNDERSTANDING.

SOME OF OUR CITY BOND ADVISORY COMMITTEES, WE, WE WOULD MAKE RECOMMENDATIONS FOR WHAT THE FUNDING NEEDED TO BE IN ORDER TO INCLUDE MORE PROJECTS.

THAT WAS JUST A RED LINE DONE TO SAY, WE CAN ONLY GIVE YOU THIS MUCH MONEY.

AND I'VE TOLD THE STAFF THAT WE'RE THAT TO HAPPEN.

AGAIN,

[02:10:01]

WE'RE NOT, NOT THAT WE WANT TO BE DISRESPECTFUL, WE'RE GONNA SIMPLY SAY WHEN WE GO TO THE AUSTIN CITY COUNCIL WITH OUR RECOMMENDATION, IT'S GONNA BE WITH THE FUNDING THAT'S REQUIRED.

NOT WHAT YOU'RE RECOMMENDING, BUT SOMETHING DIFFERENT THAN WHAT YOU'RE RECOMMENDING BECAUSE, UH, OTHERWISE WHAT YOU'RE GONNA END UP DOING IS WE'RE GONNA APPROVE SOMETHING AND THEN IT'S NOT GONNA GET DONE.

SO ESSENTIALLY WE'LL TRUE THINGS UP MORE IN ADVANCE SO THERE'S MORE UNDERSTANDING AND EXPECTATION AND MORE ACCURATE UNDERSTANDING IN THE COMMUNITY WHAT THE TIME WILL BE AND THE COSTS INVOLVED.

I THINK THAT'S GREAT.

THANKS.

AND, AND JUST A QUICK FOLLOW UP COMMENT.

UM, IT'S MY APOLOGIES, MAYOR, THE, THE SCHOOL DISTRICT, I MEAN, I THINK THE 2018 BOND, THEY'VE JUST ABOUT, YOU KNOW, DONE, UH, I MEAN I'M JUST THINKING ABOUT THE, THE DIFFERENT SCHOOLS AND THE RENOVATIONS AND THE PROJECTS AND THAT WAS LIKE A BILLION DOLLAR BOND THAT THEY'VE BASICALLY, YOU KNOW, DROPPED THAT BILLION DOLLARS.

AND LIKE I SAID, I'M NOT SURE THEY'RE A HUNDRED PERCENT DONE, BUT THEY'RE GETTING PRETTY CLOSE TO IT.

YEAH.

COUNCIL MEMBER FUENTES, THEN THE MAYOR PRO TIM.

YEAH, I WOULD JUST, YOU KNOW, THERE, MY DISTRICT IS ON THE OUT OTTER EDGE OF THE CITY, SO I INTERACT QUITE A BIT WITH THE COUNTY AND MOBILITY NEEDS AND IN THE AREA.

AND I CAN TELL YOU THERE'S A LOT OF NEEDS IN THE COUNTY THAT HAVE GONE UNFUNDED.

SO I WOULD CAUTION US AGAINST USING THE COUNTY'S MODEL OF HOW TO FUND PROJECTS.

SHE SAVED YOU, YOU KNOW, WHAT WE WANT IS TO ENSURE THAT OUR COMMUNITY SEE PROGRESS AND IMPROVEMENTS IN OUR NEIGHBORHOODS WHILE WE ARE ACTIVELY IMPLEMENTING NEW STRATEGIES TO BE ABLE TO DELIVER OUR PROJECTS IN A TIMELY FASHION.

I THINK THAT, UM, YOU KNOW, IF IF THE, IF THE COUNCIL WOULD'VE HELD BACK, UH, FROM COMING FORWARD WITH BOND PROJECTS, WE WOULDN'T SEE THE PROGRESS THAT WE'RE SEEING TODAY, EVEN IF IT'S A LITTLE SLOWER.

I, I WOULD WANT US TO FOCUS ON HOW DO WE ITERATE, HOW DO WE GET BETTER AND GETTING THE BOND PROJECTS OUT THE DOOR.

UM, YOU KNOW, CASE IN POINT, THE 2020 BOND, UH, MOBILITY BOND THAT COMES THAT THE MAYOR PRO TEM BROUGHT FORWARD, UH, THAT HAD, UH, CRUCIAL FUNDING FOR ROSS ROAD OUT IN DELL VALLEY AND THAT CONSTRUCTION WE'RE ALREADY SEEING PROGRESS ON THAT WORK.

AND SO HAD WE WAITED AND SAID, LET'S WAIT TILL EVERYTHING IS, YOU KNOW, HAS A P E R WITH IT, UM, WE WOULDN'T BE SEEING THAT PROGRESS.

SO I JUST WANTED TO ADD THAT CONTEXT, ESPECIALLY FOR COMMUNITIES THAT HAVE BEEN LONG TIME UNDER INVESTED IN LONG TIME NEGLECTED THAT WE'RE TRYING TO MAKE WHOLE THESE BONDS TRULY MATTER AND MAKE A DIFFERENCE.

MAYOR PRO TIM, I'VE GOT TO JUMP ON THE BOND BANDWAGON.

I'M LOVING THIS CONVERSATION.

UM, WE HAD A PRESENTATION A COUPLE MONTHS AGO AT THE MOBILITY COMMITTEE TRYING TO LOOK AT OUR BONDS MOST SPECIFICALLY AROUND TRANSPORTATION, BUT OBVIOUSLY THERE'S A LOT OF OTHER NEEDS THAT ARE, UM, BEING COVERED BY VOTER APPROVED BONDS.

I WAS SURPRISED TO LEARN THERE WAS SOME FROM 2006 THAT HADN'T GOTTEN OUT THE DOOR YET.

UM, I KEEP HEARING ABOUT THE EAST 51ST STREET PROJECT.

I DON'T KNOW IF THAT'S ONE THAT YOU'RE REFERENCING, COUNCIL MEMBER VELA, BUT PEOPLE ARE VERY EXCITED ABOUT THAT.

I THINK THAT ONE CAME FROM 2012.

UM, THE YBC TRAIL, UM, THE WYATT OAK HILL TO BARTON CREEK IS SOMETHING THAT, UH, MY DISTRICT CARES A LOT ABOUT AND IS IT'S, IT'S HIT SNAGS ALONG THE WAY THAT ARE NO FAULT OF THE TRANSPORTATION PLANNERS AND THE FOLKS TRYING TO GET THAT PROJECT COMPLETED, BUT THE COST DOES GO UP AND IT GETS HARDER AND HARDER TO FULFILL SOME OF THESE PROJECTS.

UM, WE ALSO HAVE STARTED SEEING SOME QUESTIONS ABOUT HOW OUR INCREASE IN MINIMUM WAGE, UH, AFFECTS OUR CONTRACTS.

AND I THINK THAT'S SOMETHING THAT THE CITY MANAGER WAS POINTING TO EARLIER ABOUT THE NEED TO MAKE SURE THAT AS WE EXPECT OUR CONTRACTS TO FULFILL THE NEEDS OF MINIMUM WAGE, UM, THAT THAT AFFECTS THE BOTTOM LINE OF SOME OF THE BIDS THAT HAVE GONE OUT IN YEARS PAST.

UM, BUT I WANNA END BY KIND OF MENTIONING THAT EVEN THOUGH WE HAVE REALLY, REALLY HIGH PROFILE BONDS THAT PEOPLE ARE VERY EXCITED ABOUT, WE SOMETIMES EVEN HAVE TO DO CODE AMENDMENTS AND MAKE SURE THEY'RE GETTING THROUGH THE PERMITTING PROCESS QUICKLY.

AND SO I THINK THAT'S SOMETHING THAT MAYBE OTHER ENTITIES, DEPENDING ON WHERE THEY'RE LOCATED, MAY NOT NECESSARILY HAVE TO, YOU KNOW, GO THROUGH OUR DEVELOPMENT SERVICES PROCESS.

AND SO I'M EXCITED THAT'S SOMETHING THAT THE MAYOR AND MANAGER HAVE IDENTIFIED AND ARE WORKING THROUGH.

UM, BUT I ALSO WANTED TO MAKE SURE I FLAGGED BEFORE, UH, WE MOVE ON TO OTHER TOPICS THAT I HAD BROUGHT UP EARLIER, THE, THE FTES LIST.

I KNOW PAGE SIX 18 HAS A REALLY, REALLY GOOD SUMMARY PERSONNEL CHART OF LIKE WHICH FTES ARE IN WHICH SECTION.

SO YOU CAN KIND OF FOLLOW THE MATH OF IF THEY'RE BEING MOVED FROM ONE DEPARTMENT AND MOVED INTO ANOTHER ONE, YOU CAN KIND OF FOLLOW THAT PAPER TRAIL, BUT I WASN'T SURE IF THERE'S A MORE CONCISE METHOD OF UNDERSTANDING EXACTLY WHERE THOSE MOVING PARTS ARE.

SAY THAT PAGE AGAIN.

SIX 18, IT'S CALLED THE PERSONNEL SUMMARY AND IT'S A REALLY GOOD LIST.

LET ME SEE IF I STILL HAVE IT OPEN.

I MOVED MY WINDOWS SOMEWHERE ALONG THE WAY TO LOOK AT SOMETHING ELSE, BUT IT GOES THROUGH GENERAL FUND, FULL-TIME EMPLOYEES OR FULL-TIME POSITIONS, AT LEAST ENTERPRISE FUNDS, INTERNAL SERVICES, SPECIAL REVENUE AND GRANTS.

SO IT'S A REALLY EASY WAY OF TRACKING, UM, YOU KNOW, WHERE POSITIONS HAVE GONE.

LIKE THE CODE DEPARTMENT HAS BEEN MOVED WITHIN DEVELOPMENT SERVICES.

THERE'S SOME GOING ON WITH CAPITAL,

[02:15:01]

UH, DELIVERY AND SO THEY DON'T ALWAYS ADD UP EXACTLY, BUT IT KIND OF GIVES YOU A GOOD PICTURE OF IF SOMETHING'S BEEN ZEROED OUT, IT PROBABLY GOT MOVED SOMEWHERE ELSE, BUT IT DOES FLAG THEM INTO EXACTLY WHICH FUND THEY'RE COMING OUT OF.

SO I FOUND THAT SUMMARY TO BE HELPFUL, BUT I MIGHT NEED A LITTLE BIT MORE CLARIFICATION ON THAT, ON THAT TOPIC BEFORE WE GET TO VOTING.

THANK YOU MAYOR PROAM, COUNCIL MEMBER RYAN HOLTER COME UNRELATED TO BONDS.

I JUST WANTED TO, UH, ASK THE MANAGER KIND OF IN THE VEIN OF THE CONVERSATION WE HAD YESTERDAY RELATED TO HOMELESSNESS.

YOU TALKED ABOUT THE DOLLAR NOT BEING THE PERFORMANCE METRIC, RIGHT? JUST, JUST INVESTING ISN'T DOESN'T MEAN SUCCESS, RIGHT? AND SO, UM, WHAT I AM CURIOUS ABOUT IS KIND OF HOW WE ARE POINTING THESE INVESTMENTS TOWARDS GOALS, RIGHT? YOU KNOW, WHAT ARE WE, HOW ARE WE GOING TO MEASURE THE SUCCESS OF THIS BUDGET? RIGHT.

WELL, I MEAN, I THINK, UM, EVERY DEPARTMENT OUGHT TO HAVE A SET OF PERFORMANCE METRICS THAT'S, UH, SO THOSE INVESTMENTS ARE DRIVING TOWARD A, AN OUTCOME.

UM, AND AND TO THE DEGREE THAT WE, THOSE METRICS ARE FUZZY, WE NEED TO BE MORE CONCRETE AND MORE SPECIFIC.

AND THEN WE NEED TO THROUGH THE, YOU KNOW, THE OVERSIGHT FUNCTION THAT THE COUNCIL PLAYS, WHICH IS VITAL, WHICH IN A DAY WE USED TO GO BEFORE AUDIT AND FINANCE AND WORK THROUGH THE METRICS OF EACH DEPARTMENT THAT WE WOULDN'T DO 'EM ALL AT THE SAME TIME, BUT WE WOULD DO THOSE METHODICALLY.

CAUSE THEN DEPARTMENTS UNDERSTOOD THAT, YOU KNOW, THEY WERE BEING MEASURED AGAINST THAT STANDARD.

UM, I, I, SOME SOMEWHERE ALONG THE WAY, I DON'T THINK WE'VE BEEN AS, UH, AS, UH, WE HAVEN'T FOCUSED ENOUGH ATTENTION ON THAT.

SO I THINK WE WANT TO TRY TO FOCUS MORE ATTENTION ON THAT, UH, DURING THIS COURSE OF THIS NEXT FISCAL YEAR.

THE SECOND THING I'D SAY, WHEN YOU HAD THESE MAJOR PROGRAMS, LIKE FOR INSTANCE, HOUSING HOMELESS, AS AN OUTSIDER LOOKING IN, IT LOOKED TO ME THAT THE MEASUREMENT OF SUCCESS WAS THE DOLLARS THAT WE SECURED DOLLARS FOR SOME FUNCTION.

AND I, AND I THOUGHT WE ALWAYS HAD, WE HAD INSUFFICIENT KNOWLEDGE TO KNOW WHAT IS IT THAT CAUSED HOMELESSNESS? WHY WERE WE, WHEN WE SPENT THIS KIND OF MONEY, WHAT WAS THE EXPECTATION THAT IT WOULD BEND THE CURVE WITH THE NUMBER OF PEOPLE THAT EXPERIENCED HOMELESSNESS? I NEVER SAW REPORTS ABOUT THAT, BUT I THINK WE NEED TO GET BETTER ABOUT WORKING ON THAT WITH RESPECT TO HOUSING.

WHAT ARE REALLY THE ELEMENTS THAT CAUSE A PROBLEM WITH AFFORDABILITY AND, UH, RENTAL SUBSIDIES AND ALL THE, LIKE, ARE IMPORTANT, BUT WHAT COMPONENT DO THEY PLAY IN THE OVERALL EXERCISE TO MAKE THIS CITY MORE AFFORDABLE? THAT, AGAIN, IS GONNA GET PART OF A STUDY SO WE CAN UNDERSTAND THAT AND THEN WE KNOW THE LANE WE'RE IN AND THAT'S WHERE WE MAKE INVESTMENTS AND WE KNOW THAT THERE ARE OTHER EITHER PRIVATE NOT-FOR-PROFITS THAT ARE PLAYING IN THAT SPACE THAT CAN HELP US, OR THE PRIVATE SECTOR CAN HELP US.

SO WE JUST NEED TO FIGURE OUT THE ROLE FOR EACH AND, AND NOT NECESSARILY SEND THE SIGNAL TO THE ENTIRE COMMUNITY THAT WE CAN SOLVE ALL THESE PROBLEMS ON OUR OWN.

YEAH.

WELL I THINK IT WOULD BE REALLY HELPFUL IF DEPARTMENTS DO HAVE WHAT THEY BELIEVE THESE ADDITIONAL INVESTMENTS WILL HELP THEM WITH.

FOR INSTANCE, LET'S, LET'S SAY DSD, RIGHT? RIGHT.

THE, THE, THE AMOUNT, THE REVIEW TIME IS SIX MONTHS AND WE THINK WITH THIS ADDITIONAL INVESTMENT, WE'RE GONNA GET IT TO FIVE MONTHS OR, YOU KNOW, PICK YOUR DEPARTMENT, RIGHT? JUST JUST SO WE KNOW KIND OF WHAT WE'RE BUYING HERE.

AND THEN WHEN WE COME BACK IN A YEAR TO REVIEW, WE CAN SEE HOW WE DID, I THINK, AND YOU PICKED DSD.

ONE OF THE THINGS THAT I, THAT I'VE MENTIONED TO THE DSD, UH, DIRECTOR AND SOME OF THE EMPLOYEES IS THEY SHOULD SEE THEMSELVES AS A KEY COMPONENT IF IN OF, UH, OF, UH, A REVIEW PROCESS THAT ADDS ADDITIONAL HOUSING UNITS TO OUR COMMUNITY.

THEY ARE PART OF THE AFFORDABILITY EQUATION.

AND TO THE DEGREE THAT THEY SEE THEMSELVES AS TRYING TO, TO BEND THE CURVE WITH RESPECT TO THAT, THAT TAKE, THAT TAKES THEM OUT OF THE REGULATORY MODE.

AND THEN I'M IN THE BUSINESS OF MOVING PROJECTS THROUGH MY SYSTEM OR THROUGH THEIR SYSTEM SO THAT WE CAN GET MULTIFAMILY OR SINGLE FAMILY OUT DONE FASTER OR OFFICE BUILDINGS.

THE CASE MAY BE, AND I THINK SOMETIMES WE, IT JUST, IT IS CHANGING THE LENS OF HOW THEY SEE THEIR JOBS, THE CAPITAL DELIVERY.

THEY, THEY ARE NOT JUST BUILDING LIBRARIES AND THEY'RE BUILDING A GREAT CITY AND THEY NEED TO THINK OF THEMSELVES AND THAT, THAT I'M CONTRIBUTING TO A GREAT CITY AND WHAT IT AND, AND THE LIVABILITY OF THAT CITY.

SO IT'S, IT'S TO TAKE THAT KIND OF OWNERSHIP.

YEAH.

AND THAT'S, WE JUST NEED TO CHANGE THAT ATTITUDE.

AND I THINK THE LAST COMMENT I'D MAKE IS BUILD ON WHAT YOU SAID IN TERMS OF KIND OF PICKING OUR LANE.

YEAH.

UH, SOME OF OUR LANE WILL BE WITHIN THE CITY STRUCTURE, BUT SOME OF OUR LANE IS, TO YOUR POINT IN DISCUSSION, THE COUNTY, RIGHT.

SOME OF THE THINGS, THE COUNTY'S JOBS AND SO THE DEGREE TO WHICH WE CAN HAVE THAT REGIONAL BUY-IN, RIGHT.

UM, I KNOW WE'LL JUST CONTINUE THOSE CONVERSATIONS, BUT MORE TO COME ON METRICS.

WE'LL, WE'LL, WE'LL DEFINITELY DO THAT.

CAN I JUST TAKE A QUICK MOMENT FOR JUST PLEASE

[02:20:01]

ED HERE, , , JUST A LITTLE BIT OF SHAMELESS MARKETING ON THIS TOPIC BECAUSE A LOT OF YOU ON THE DIA WILL REMEMBER US, UH, WHAT WE CALLED STRATEGIC DIRECTION 2023.

THAT WAS THE FIRST, AT LEAST TO ANY OF OUR MEMORIES, THAT WAS THE FIRST ORGANIZATIONAL STRATEGIC PLAN THAT'S BEEN PUT IN PLACE FOR THIS ORGANIZATION, INDIVIDUAL DEPARTMENTS AND INDIVIDUAL PROJECTS.

UM, HAD HAD PLANS, BUT WE DIDN'T HAVE ONE AS A CITY.

AND IT WAS A GREAT FIRST START, BUT IT WASN'T PERFECT.

AND THE, UH, CITY AUDITOR'S OFFICE RECENTLY DID AN AUDIT ABOUT SD 23, MADE A LOT OF GREAT RECOMMENDATIONS ABOUT, YOU KNOW, RECOMMENDATIONS ABOUT HOW WE SET GOALS, HOW WE MA MONITOR PROGRESS, HOW WE REPORT ON THAT, UM, AND HOW WE INCORPORATED INTO OUR, OUR BUDGET PROCESS, HOW WE FOLLOW UP AND HOLD OURSELVES ACCOUNTABLE FOR RESULTS.

AND WE'RE REALLY EXCITED ABOUT IT.

WE'RE IMPLEMENTING ALL OF THOSE CHANGES.

YOU KNOW, SD 23 ROUNDED OUT THAT LAST BUDGET CYCLE, AND SO WE'RE IN A TRANSITIONAL PROCESS RIGHT NOW.

YOU'LL SEE A LITTLE BIT OF THIS IN THIS DOCUMENT, BUT WHEN YOU LOOK, UH, WHEN WE GET TO NEXT YEAR, WHEN YOU GET TO THE FISCAL YEAR 25 BUDGET, WE'VE ALREADY STARTED WORKING ON ALL THIS.

BUT CERTAINLY BY 25, I THINK YOU'RE GONNA SEE A BUDGET DOCUMENT WHERE THAT THAT CONNECTION BETWEEN ORGANIZATIONAL GOALS AND PERFORMANCE AND HOW WE'RE BUDGETING AND HOW WE'RE IMPROVING IS GONNA BE MUCH CLEARER IN THE NEXT BUDGET AS WE, AS WE FULLY IMPLEMENT THOSE AUDIT RECOMMENDATIONS.

GREAT.

THANK YOU.

WE'RE DONE.

WOULD Y'ALL LIKE TO CLOSE? SURE.

UM, JUST TO REITERATE THAT WE WILL BE BACK BEFORE YOU, UM, ON TUESDAY TO TALK ABOUT, TO DO A DEEP DIVE INTO THE GENERAL FUND AND OUR GENERAL FUND DEPARTMENTS WILL BE HERE.

WE'LL BE TALKING ABOUT THE BUDGET, SOME MORE DETAIL OF WHAT'S INCLUDED.

WE'VE HEARD YOUR COMMENTS AND YOUR QUESTIONS.

UM, AND WE WILL MAKE SURE TO INCORPORATE SOME OF THOSE RESPONSES.

UM, AND THEN WE'LL COME BACK ON AUGUST 1ST WITH THE ENTERPRISE DEPARTMENTS WHERE WE'LL DO THE SAME KIND OF DEEP DIVE, UM, FOR THOSE ENTERPRISE DEPARTMENTS.

I BELIEVE WE HAVE A SLIDE THAT SHOWS THE, UM, WEBSITE THAT IS AVAILABLE.

UM, IF NOT, WE'LL GET THAT UP VERY QUICKLY AS SOON AS POSSIBLE SO THAT YOU ALL CAN SEE, SAY AGAIN.

OKAY.

THAT THAT WEBSITE HAS BEEN EMAILED, THE WEBSITE HAS BEEN EMAILED.

WE WILL MAKE SURE WE, UM, DO SOME COMMUNICATION SO THAT THE PUBLIC IS AWARE OF, OF COURSE, OF WHAT THOSE WEBSITES ARE.

SO THEY COULD SEE THE COUNCIL BUDGET QUESTIONS, SO THEY COULD SEE THE CAPITAL, UH, PROJECTS WEBSITE AS WELL AS ON AUSTIN FINANCE ONLINE, THE PROPOSED BUDGET.

IF THEY HAVE NOT SEEN THAT, UM, IT IS AVAILABLE ELECTRONICALLY ONLINE.

UM, MY STAFF AND I ARE HAPPY TO WORK WITH YOU THROUGH THESE NEXT SEVERAL WEEKS, UM, ALONG WITH THE CITY MANAGER AND THE, UH, CITY DEPARTMENTS TO, TO GET US TO THE END GAME OF, UH, AUGUST 16TH, WHERE WE WILL BE, UH, WELL YOU ALL WILL BE APPROVING THE FISCAL YEAR 24 BUDGET WITH THAT, THAT IS ALL THAT WE HAVE FROM THE FINANCIAL SERVICES DEPARTMENT.

GREAT, THANK YOU.

UM, AND I'LL, I'LL MENTION THAT ON THE MESSAGE BOARD.

I'VE PUT THE LINK FOR THE Q AND A IF ANYBODY WANTS TO DO THAT, AND, AND, UH, OR MY STAFF HAS PUT THE, THE LINK, SO IF ANYBODY, IF ANY MEMBER OF THE PUBLIC WANTS TO DO THAT, UH, BY LOOKING AT THE QUESTIONS AND ANSWERS THAT COUNCIL MEMBERS, UH, HAVE, ARE ASKING AND WHAT THE ANSWERS ARE.

DID YOU HAVE YOUR HAND UP? ALL RIGHT.

COUNCIL MEMBER AL ALTER.

OKAY.

MAY, I JUST WANTED TO ASK IF YOU COULD CLARIFY THE TIMING FOR THE PUBLIC HEARING PORTIONS THAT ARE COMING UP.

UM, I DON'T HAVE THAT RIGHT IN FRONT OF ME, BUT, UH, THE ON THE DON'T, THE FIRST, YEAH, THE FIRST WE HAVE THAT IT WILL BE AT 10 O'CLOCK IS MY, MY MEMORY.

UH, WE TRIED TOS SCHEDULE THIS SO THAT, UM, PEOPLE THAT MIGHT NOT BE ABLE TO BE AVAILABLE AT 10 O'CLOCK WOULD BE ABLE TO BE AVAILABLE IN THE AFTERNOON.

SO ON THE FIRST IT'S AT THREE O'CLOCK, SO WE TRY TO CREATE A MORNING AND AN AFTERNOON AGAIN TO BE CONVENIENT TO THE PUBLIC.

THE, YOU CAN, JUST BECAUSE IT'S A GENERAL FUND TOPIC ON THE 26TH, DOESN'T MEAN YOU CAN'T TALK ABOUT ENTERPRISE FUNDS.

IT IS TO ALLOW PEOPLE TO, UH, GIVE INPUT ON ANY ASPECT OF THE BUDGET.

ON THE FIRST, IT IS MY MEMORY IS THAT ON THE FIRST WE ARE ALSO GOING TO BE, IS IT THE FIRST THAT WE VOTE ON THE MAXIMUM TAX RATE? THE FIRST YES.

ON AUGUST 1ST, WE'RE ALSO VOTING ON THE MAXIMUM TAX RATE.

THE LAW REQUIRES THAT THERE BE A SPECIFIC PUBLIC HEARING FOR THAT.

UM, THAT DOESN'T MEAN YOU CAN'T TALK ABOUT OTHER THINGS, BUT THAT'S WHY WE'VE SET IT ON THE FIRST.

THAT IS SET FOR THREE O'CLOCK.

UH, WE WILL HAVE A PUBLIC HEARING ON THE MAXIMUM TAX RATE, BUT ALSO ALLOW FOR COMMENT, EVEN IF YOU DON'T WANNA TALK ABOUT THE TAX RATE.

THAT WILL BE PART AND PARCEL OF WHAT WE DO AT THREE O'CLOCK.

WITH, WITH REGARD TO ANYTHING IN THE BUDGET.

SO LET ME SAY THAT AGAIN.

JULY 26TH AT 10 O'CLOCK PUBLIC, THERE WILL BE A PUBLIC COMMENT PERIOD.

WE'LL START WITH A

[02:25:01]

PUBLIC COMMENT PERIOD ON JULY 26TH AS TO ANY PART OF THE BUDGET ON AUGUST 1ST AT THREE O'CLOCK, WE WILL HAVE A, UM, PUBLIC HEARING ON THE MAXIMUM TAX RATE AND ANY PUBLIC COMMENT THAT SOMEONE WANTS TO PROVIDE WITH REGARD TO, UH, THE BUDGET OVERALL.

DOES THAT HELP? ALL RIGHT.

COUNCIL MEMBER PUENTES, THANK YOU.

AND JUST WANTED TO PROVIDE SOME COMMENTS TO STAFF FOR NEXT WEEK'S PRESENTATIONS.

UM, WHAT I'M HOPING TO GET A DEEPER DIVE ON IS THE HOUSING AND PLANNING BUDGETS AND TO TALK THROUGH WHAT THOSE INVESTMENTS LOOK LIKE.

SO I KNOW, UH, CARRIE YOU MENTIONED, OR MAYBE IT WAS, UM, ACM , YOU MENTIONED THE DIVISION OF ROLES WITHIN THE PLANNING DEPARTMENT AND THE FOCUS ON THE LAND DEVELOPMENT CODE UPDATES.

SO I JUST THINK HAVING A FOCUS CONVERSATION ON HOUSING AND PLANNING, I SPECIFICALLY WANT TO HEAR MORE ABOUT OUR ANTI DISPLACEMENT INITIATIVES AND WHAT WE'RE DOING TO HELP AUSTINITE STAY IN THEIR HOMES.

UM, ALSO WANTED TO HAVE, UM, A FOCUSED CONVERSATION ON CHILDCARE AND WHAT WE'RE DOING ON THAT END.

UH, SO JUST WANTED TO FLAG THOSE TWO, UH, BIG TICKET ITEMS FOR DISCUSSION.

GREAT.

THANK YOU.

ONE, ONE OTHER THING I I WANNA MAKE SURE I WAS CLEAR ABOUT IS, UM, WHEN I SAID THAT ON AUGUST 1ST, THE PUBLIC COMMENT WOULD BE THE HEARING AND THE PUBLIC COMMENT WOULD BE AT THREE O'CLOCK, THE MEETING WILL START AT 10, WE WILL HAVE THE MEETING BEGIN AT 10, BUT WE WANTED TO GIVE PEOPLE AN OPPORTUNITY IF THEY WERE NOT AVAILABLE IN THE MORNING, THEY COULD TALK TO US IN THE AFTERNOON.

AND SO WE SET A DAY FOR THAT.

IF THEY CAN'T TALK TO US IN THE AFTERNOON, THEY COULD COME IN THE MORNING.

WE WANTED TO SET A DAY FOR THAT.

SO I ANTICIPATE THAT ON THE FIRST, UH, WE WILL PROBABLY, UH, BE DONE AND HAVE TO TAKE A RECESS AND COME BACK AT THREE O'CLOCK FOR THAT PUBLIC HEARING AND PUBLIC COMMENT.

AND AFTER THE PUBLIC HEARING, WE WILL VOTE ON THE MAXIMUM TAX RATE, UH, BECAUSE WE'RE NOT GONNA VOTE ON THAT BEFORE WE HAVE THE PUBLIC HEARING.

ALL RIGHTY.

WITHOUT OBJECTION.

UH, VERY BY THE WAY, VERY GOOD WORK SESSION AND THANK YOU TO THE STAFF.

VERY COLLABORATIVE, UH, WORK SESSION.

THANK YOU TO TO, TO THE MANAGER AND THE STAFF.

UH, WITH REGARD TO ALL WE'VE HEARD TODAY AND WITHOUT OBJECTION, UH, THE CITY COUNCIL IS ADJOURNED.

IT'S 11:27 AM THANKS EVERYBODY.

A BOX, A BOX OF FROZEN WITH.