[00:00:10]
[CALL TO ORDER]
AFTER TWO O'CLOCK.I BELIEVE THAT WE HAVE A QUORUM OF THE COMMISSION PRESENT.
SO, UM, STEVE, DO YOU WANNA CALL THE ROLL? YES, SIR.
UH, RODRIGUEZ, HE IS, UH, HE'S PRESENT VIRTUALLY.
UH, COMMISSIONER RODRIGUEZ? YES, I'M HERE.
COMMISSIONER DIAZ HERE PRESENT.
SO WE HAVE A REQUIREMENT OF THE COMMISSION PRESIDENT.
I'LL CALL THE FUND OVERSIGHT COMMITTEE MEETING TO ORDER, UH, THE FIRST ORDER OF BUSINESS
[1. Approval of the minutes of the Regular meeting of the Bond Oversight Commission on June 21, 2023.]
BEING APPROVAL OF THE MINUTES.I'M ASSUMING THAT WE DO NOT HAVE ANY, UH, CITIZENS SIGN UP, IS THAT CORRECT? CORRECT.
UM, I'M, AGAIN, I'M ASSUMING THAT COMMISSION MEMBERS DO NOT HAVE A COPY OF THE MINUTES.
IS THAT CORRECT? IT'S ON MY COMPUTER.
DO YOU HAVE, HAVE YOU HAD A CHANCE? HAS THE COMMISSION HAD A CHANCE TO REVIEW THE MINUTES? UH, LET ME ASK IT THAT WAY THEN.
THE FIRST ORDER OF BUSINESS WILL BE REVIEW OF THE MINUTES.
ARE THERE ANY COMMENTS, CORRECTIONS, OR QUESTIONS ON THE MINUTES? UH, I ACTUALLY HAVE ONE QUESTION.
UH, ON THE MINUTES PREVIOUSLY, THERE WAS TALK ABOUT THE ART IN PUBLIC SPACES AS FEATURE ITEM, AND IT'S NO LONGER ON THE CURRENT AGENDA.
I WAS WONDERING IF THAT'S BEEN TABLED FOR A SPECIFIC DATE OR, YES, WE DID.
UH, I DID REARRANGE THE AGENDA, UH, PARTICULARLY FOR THE DISCUSSION TODAY, AND WE'LL TRY TO GET BACK TO THE REGULAR REVIEW OF DEPARTMENTS WHEN WE GET THROUGH THAT DISCUSSION.
ARE THERE ANY OTHER QUESTIONS, COMMENTS ON THE MINUTES? IF NOT, IS THERE A MOTION TO APPROVE THE MINUTES? SO MOVED.
ALL THOSE IN FAVOR SIGNIFY BY RAISING YOUR HAND.
SEEING NONE MINUTES ARE APPROVED UNANIMOUSLY.
UH, SECOND ORDER OF BUSINESS IS
[2. Staff briefing on Capital Improvement Program Financials.]
A STAFF BRIEFING ON THE CAPITAL IMPROVEMENT PROGRAM.I'M DEPUTY C F O FOR THE CITY OF AUSTIN.
UH, UM, THANKS FOR HAVING US HERE TODAY.
I AM ALSO JOINED BY BELINDA WEAVER, OUR CITY'S TREASURER.
AND TINA VAN, WE, WHO ALL OF YOU KNOW VERY WELL, UM, ARE ONE OF OUR BUDGET PERFORMANCE MANAGERS, AND SHE PARTICULARLY OVERSEES OUR C I P.
SO, UM, WE ARE ALL GONNA BE PRESENTING TOGETHER, DOING A LITTLE PINCH HITTING, UH, UH, IF THE, UM, IF THE SITUATION CALLS FOR IT, UM, DO WE HAVE A CLICK? DO YOU DO IT? OR, OH, RIGHT IN FRONT OF MY FACE.
KIM, QUESTION, WOULD YOU LIKE FOR US TO HOLD YOUR QUES OUR QUESTIONS UNTIL YOU FINISH? UM, I THINK SO, BECAUSE THERE'S QUITE A BIT THAT WE COVER IN THIS.
SO THERE, IT MAY BE THAT YOU HAVE A QUESTION AND WE'D END UP COVERING IT AT THE END.
BUT, UM, YEAH, THAT WOULD BE WANTED TO CLARIFY.
SO, UM, THIS PRESENTATION WAS ORIGINALLY PROVIDED TO THE COUNCIL'S AUDIT AND FINANCE COMMITTEE.
UM, THE, WE, THERE WAS, UH, THERE'S BEEN, THERE'S REGULARLY CONVERSATION ABOUT, UM, UM, FUTURE BOND PROGRAMS, EXISTING BOND PROGRAMS, THIS, AND, AND EVERYTHING IN BETWEEN.
UM, SO WE WANTED TO MAKE SURE THAT, UM, THROUGH OUR AUDIT FINANCE COMMITTEE, THAT OUR COUNCIL WAS AWARE OF THE CURRENT STATE OF AFFAIRS ON IN TERMS OF OUR, UM, BOND PROGRAMS, THE SPENDING, UM, AS WELL AS OUR BOND SALES, AND HOW ALL OF THOSE RELATE RELATIVE TO OUR CREDIT RATINGS AND THE SORTS.
SO, UM, WE'RE, THIS IS AN UPDATED VERSION OF THAT PRESENTATION.
SO, UM, THE NUMBER, IT'S BY AND FAR, IT'S THE SAME PRESENTATION, BUT THE NUMBERS HAVE BEEN UPDATED BECAUSE WE'VE HAD A BOND SALE SINCE THEN.
[00:05:01]
UM, AND, UM, THERE'S BEEN MANY MORE MONTHS OF, OF, OF CAPITAL SPENDING AND THIS SORT.SO, UH, FIRST START OUT WITH JUST KIND OF THE KEY OBJECTIVES AND TAKEAWAYS FOR TODAY'S PRESENTATION.
UM, FIRST WE, WE NEED TO NOTE THAT THE OFF-CYCLE BOND PROGRAMS, UM, THAT HAVE OCCURRED THERE IS DEFINITELY AN IMPACT OF THOSE.
UM, SO TYPICALLY A BOND PROGRAM, A A VOTER APPROVED BOND PROGRAM HAPPENS APPROXIMATELY EVERY SIX YEARS, UM, THE LAST ONE BEING IN 2018, BUT THEN THERE HAVE BEEN A COUPLE OFF-CYCLE, UM, PROPOSITIONS PUT FORWARD TO THE VOTERS AS WELL, THINGS LIKE THAT.
BUT ALSO COMBINATION OF OUR CONSTRUCTION MARKET CONDITIONS, UM, AND AGGRESSIVE SPENDING PLANS, UM, HAVE, ARE, HAVE AN OVERALL IMPACT ON WHERE WE ARE IN TERMS OF OUR SPENDING.
UM, WE HAVE $1.6 BILLION IN AUTHORIZED, BUT UNISSUED VOTER APPROVED BONDS, YOU'LL HEAR US, UM, USE THE TERM ABUS AUTHORIZED, BUT UNISSUED, BASICALLY THAT MEANS THAT THE VOTERS HAVE APPROVED X MILLION DOLLARS OF BONDS, UH, IN, IN ANY GIVEN PROPOSITION, BUT WE HAVE NOT NECESSARILY ISSUED THEM.
SO, UM, THE CITY MANAGER, BECAUSE OF WHERE WE ARE IN TERMS OF OUR C I P, THE CITY MANAGER HAS, UM, CREATED A CAPITAL DELIVERY SERVICES DEPARTMENT, UM, WHICH Y'ALL ARE FAMILIAR WITH.
AND, AND MR. SNOW, THE DIRECTOR OF THAT DEPARTMENT IS HERE WITH US TODAY AS WELL.
UM, BUT OVERALL, RE RE WITH ALL OF THESE, THESE ITEMS THAT I'VE GONE THROUGH, NO MATTER WHAT WE ARE GOING TO BE AS STAFF OR ACROSS ALL THE DEPARTMENTS, WE'LL CONTINUE TO FOCUS ON COMPLETING THEIR CURRENT BOND PROGRAMS AS QUICKLY AND EFFECTIVELY AS POSSIBLE.
SO WE'RE GONNA START OUT FIRST WITH OUR, UH, C I P SPENDING OVERVIEW.
UM, THE, YOU'LL SEE HERE THAT WE ACTUALLY HAVE, UH, A LOT OF COMMON TERMS. UM, THIS IS A REQUEST WE'LL SOMETIMES GET FROM OUR COUNCIL MEMBERS TO HELP OUR PUBLIC, UM, WHO DOESN'T NECESSARILY DEAL WITH ALL OF THIS INFORMATION ON A REGULAR BASIS.
SO I'M NOT GONNA SIT HERE AND READ THROUGH EACH OF THEM.
UM, BUT THIS IS A, A GOOD REFERENCE POINT FOR THE TYPE OF TERMS THAT YOU'LL HEAR TODAY.
SO FROM AN OVERVIEW, SO THIS CHART PROVIDES KIND OF AN OVERVIEW OF OUR ENTIRE C I P.
UM, AND SO THAT'S NOT JUST BOND PROGRAMS, THAT INCLUDES THINGS LIKE AUSTIN ENERGY, AUSTIN WATER, UM, OUR AVIATION DEPARTMENTS, BOTH, ALL THREE OF WHICH HAVE VERY SIGNIFICANT CAPITAL PROGRAMS, BUT THEN ALSO OUR PUBLIC IMPROVEMENT BONDS, WHICH ARE THE VOTER APPROVED BONDS AND, AND OTHER, WHICH IS A SMATTERING OF DIFFERENT SOURCES.
SO THE VAST MAJORITY OF OUR PROGRAM IS PR, IS DEFINITELY DRIVEN BY THOSE ENTERPRISE FUNDS, WATER, ENERGY, AND AVIATION.
UM, BUT THEN ALSO VOTER APPROVED BOND PROGRAMS. UM, YOU'LL NOTICE IN THIS GRAPH HOW OUR C A P HAS GROWN SIGNIFICANTLY OVER THE YEARS.
UM, THIS CERTAINLY HAS AN IMPACT ON OUR STAFF WITHIN EACH OF THE DEPARTMENTS THAT ARE RESPONSIBLE FOR BRINGING THESE PROJECTS FORWARD, BUT IT ALSO HAS AN IMPACT ON OUR CONSULTING COMMUNITY, OUR CONTRACTING COMMUNITY, THOSE INDUSTRIES.
AND, AND THEN ALSO THE CITY'S FINANCIAL PLANNING.
UM, SO IN THE LAST FIVE YEARS OF ACTUAL SPENDING, UM, PLANNED THROUGH 20 FROM F Y 23 THROUGH F Y 28, UM, THAT UC PLANNED, AND BEFORE THAT IT WAS ACTUAL, UM, OVER THE PRIOR FIVE FISCAL YEARS, THE CITY HAS AVERAGED AROUND NOT WELL OVER $900 MILLION IN ANNUAL C I P SPENDING.
UM, AND IN F Y 24 WE'RE ESTIMATING OVER 1.6 BILLION.
UM, AND THIS, A LOT OF THIS IS DUE TO THE CITY RAMPING UP TRANSPORTATION IMPROVEMENT PROJECTS COMING FROM THOSE VOTER APPROVED BOND PROGRAMS. UM, BUT THE, OVER THE FINAL FOUR YEARS OF THE FORECAST, WE'RE ALSO EXPECTING TO SEE A MARKED INCREASE IN THE IN INFRASTRUCTURE INVESTMENT WITH PLANNED SPENDING OF OVER TWO AND A HALF BILLION DOLLARS.
UM, TWO OF THE MAIN DRIVERS FOR THAT ARE FROM THE AIRPORT AS THEY ARE.
THEY HAVE A NUMBER OF EXPANSION PROJECTS, UM, EITHER UNDERWAY OR IN THE WORKS, UM, AND ALSO A CONVENTION CENTER AS THEY'RE PLANNING TO TEAR DOWN AND REBUILD AN EXPANDED CONVENTION CENTER.
SO, SO HERE'S A LITTLE BIT OF HISTORY ON OUR, UM, WHAT HAS BEEN APPROVED IN PRIOR YEARS.
SO YOU CAN SEE IN 2006, 2012, AND IN 2018, WE HAD COMPREHENSIVE BOND PROGRAMS. UM, BUT YOU ALSO SEE SOME OFF-CYCLE PROGRAMS. SO IN 2010, THERE WAS A TRANSPORTATION PROPOSITION, 2013, A HOUSING, 20, UH, 16, THERE WAS A MOBILITY, UM, PROPOSITION.
AND AGAIN, IN 2020, AND THEN IN 2022, THERE WAS A HOUSING.
SO OUT OF 1, 2, 3, 4, 5, 6, 7, 8 DIFFERENT TIMES WE'VE GONE TO THE VOTERS.
FIVE OF THOSE WERE FOR OFF CYCLE PROGRAMS. AND SO I, I REFERENCED THAT BECAUSE OF MY, THE, ONE OF THE BULLET POINTS I, I NOTED AT THE BEGINNING ABOUT HOW OFF-CYCLE BOND PROGRAMS IMPACT OUR OVERALL PLANS WHEN IT COMES TO VOTER APPROVED BOND PROGRAMS.
[00:10:03]
SO THIS NEXT SLIDE, UM, TELLS, GIVES YOU AN AN IDEA OF HOW THOSE, THOSE VOTER APPROVED BOND PROGRAMS ARE DIVIDED AMONGST THE DIFFERENT, UM, PROJECT TYPES AND CATEGORIES.SO WE'VE BEEN REALLY FORTUNATE, THE VOTERS HAVE EXPRESSED THEIR SUPPORT, UM, FOR US TO MAKE VERY SIGNIFICANT INVESTMENTS IN OUR CAPITAL INFRASTRUCTURE AND, AND FACILITIES THREE AND A HALF BILLION DOLLARS OF TOTAL PUBLIC IMPROVEMENT BOND AUTHORIZATION.
THAT IS A BIG NUMBER, BUT THAT IS REFLECTIVE OF A COMMUNITY THAT UNDERSTANDS HOW IMPORTANT THOSE KIND OF INVESTMENTS ARE.
UM, SO IN FROM 2006 TO 2013, THOSE BOND PROGRAMS AVERAGED AROUND 230 MILLION.
BUT IN 2016, IN HONOR, WE ACTUALLY SEE SAW A SIGNIFICANT INCREASE IN HOW MUCH WE ARE ASKING THE VOTERS TO APPROVE AT ANY GIVEN TIME.
SO THESE NEXT SEVERAL SLIDES, UM, ARE GONNA, ARE GONNA DIG INTO WHERE WE ARE IN TERMS OF, OF APPROPRIATION VERSUS, UM, SPENDING AND, AND, UH, BALANCES.
SO THIS IS BY, BY CATEGORY, SO IT'S NOT NECESSARILY BY BOND PROGRAM YEAR, BUT IT'S OVERALL.
UM, AND YOU CAN SEE WHERE THE, THE LARGEST AMOUNTS OF AVAILABLE FUNDING ARE IN YOUR MOBILITY AND TRANSPORTATION FUNDS.
UM, LIBRARIES, MUSEUMS, CULTURAL FACILITIES AND AFFORDABLE HOUSING.
TRANSPORTATION AND AFFORDABLE HOUSING ARE THE, ARE THE AREAS THAT HAD THE MOST RECENT VOTER APPROVED, UM, BOND PROPOSITIONS FROM 2020 AND 2022.
SO THESE FOLLOWING CHARTS ARE WHERE WE'RE GONNA DIG INTO IT ON A, A BOND PROGRAM BY BOND PROGRAM BASIS.
SO, UM, IT LOOKS AT OUR SPENDING FROM INCEPTION TO DATE, FROM WHEN WE FIRST APP APPRO APPROPRIATED THE DOLLARS, UM, TO NOW, UM, OF THE ACTUAL SPENDING AND THEN WHAT OUR ANTICIPATED SPENDING PLANS ARE FOR THE FUTURE YEARS.
UM, AGAIN, IT'S IMPORTANT TO NOTE THAT WHEN WE'RE LOOKING AT THESE FUTURE SPENDING PLANS, WE NEED TO BE THINKING ABOUT OUR INTERNAL CAPACITY TO DELIVER THESE PROJECTS AND EXTERNAL CAPACITY.
WHAT DOES THE CONSTRUCTION OF THE CONSULTING COMMUNITY AND INDUSTRY LOOK LIKE? WHAT DOES OUR SUPPLY CHAIN, UM, LIKE SITUATION LOOK LIKE? ALSO, WHAT DOES IN, HOW IS INFLATION IMPACTING THE PRICES OF ALL OF THESE GOODS AND SERVICES? SO IN 2016, UH, $720 MILLION WAS APPROVED.
UM, THAT WAS, UH, THAT INCLUDED $482 MILLION FOR THE CORRIDOR PROGRAM.
UM, YOU'LL SEE THAT, UM, IT WAS SET UP TO BE AN EIGHT YEAR BOND LIFECYCLE.
CURRENTLY, WE'RE LOOKING AT IT BEING AROUND 12 YEARS, UM, WITH THE FINAL YEAR OF, UH, ISSUANCE OF ISSUING THE DEBT, UM, NOT TAKING PLACE UNTIL 2028.
UM, NEXT IS THE 2018 BOND, WHICH WAS 925 MILLION.
IT WAS OUR LAST COMPREHENSIVE BOND PROGRAM.
IT WAS PROJECTED TO BE AN EIGHT YEAR BOND LIFECYCLE.
CURRENTLY, IT'S LOOKING LIKE IT WILL BE A 10 YEAR BASED ON THE, IN INCEPTION TO DATE AND PLANNED SPENDING.
THIS WAS, UH, JUST A, A, UM, TRANSPORTATION, UM, FOCUSED BOND.
UM, SIX YEAR BOND LIFECYCLE LIFECYCLE PLANNED, UM, CURRENTLY PROJECTED TO BE ABOUT AN EIGHT YEAR PROGRAM.
UM, THE FI WITH THE FINAL YEAR OF ISSUANCE IN 2028.
THEN FINALLY, THE 2022 BOND, WHICH IS AFFORDABLE HOUSING.
THEY JUST HAD THIS, IT WAS LATE SPRING.
UM, SO THAT'S WHY YOU'RE NOT SEEING, UM, A LOT OF, OF, IT'S LITERALLY ONLY BEEN NOT EVEN SIX MONTHS.
UM, SO, UM, I DO KNOW THAT THEY, THE SPENDING HAS STARTED, UM, THEY'RE ENCUMBERING FUNDS, UM, WITH VARIOUS DEVELOPER PROJECTS FOR HOUSING PROJECTS AND THE SORTS.
SO THEY ARE MOVING FORWARD ON THOSE FOR SURE.
SO WITH EACH OF THOSE PRIOR BOND PROGRAMS, I TALKED ABOUT HOW THEY HAD A PARTICULAR INTENDED LIFECYCLE, BUT WHAT IT'S ACTUALLY LOOKING LIKE IN LIKE A 10 YEAR OR 12 YEAR.
UM, SO WHAT ARE WE DOING ABOUT THAT? WHAT ARE WE DOING TO ENSURE THAT WE ARE BEING AS EFFICIENT AND EFFECTIVE WITH OUR CAPITAL DELIVERY? WELL, THAT'S WHERE JAMES SNOW AND HIS GROUP COMES IN.
SO INTERIM CITY MANAGER, GARZA, HE ACTUALLY, HE NAMED CAPITAL DELIVERY AS ONE OF THE TOP PRIORITIES FOR THE CITY.
UM, AND HE IS CLOSELY MONITORING IT IS A, A HOT TOPIC OF CONVERSATION FOR HIM.
UM, HE CREATED THE CAPITAL DELIVERY SERVICES.
UH, WE'RE DOING TWO MEETING, LET MOMENT, LEMME FIGURE OUT WHAT I CAN DO IT WITH.
I'M SORRY, I THINK WE LOST SOUND.
OH, NO, WE HAD A, A, SOMETHING HAPPEN HERE IN THE ROOM.
[00:15:01]
MARCH OF THIS, OF THIS YEAR, THE CAPITAL DELIVERY SERVICES DEPARTMENT WAS CREATED.UM, AND IT HAS A DEDICATED SINGULAR FOCUS OF SHOCKING CAPITAL DELIVERY.
UM, BUT NOW YOU HAVE JAMES AND HIS CREW WORKING INCREDIBLY HARD TO, TO IMPROVE HOW WE GO ABOUT WITH OUR, HOW WE GO ABOUT OUR DESIGN PHASES, OUR, OUR, UM, AND OUR CONSTRUCTION PHASES TO ENSURE THAT PROJECTS AREN'T SITTING LIKE, IT'S NOT LIKE IT TAKES, UH, SIX YEARS FOR DESIGN OR SOMETHING LIKE THAT.
THEY'RE, THEY'RE PARTICULARLY FOCUSED ON IMPROVING THOSE TIMELINES MASSIVELY.
UM, SO THEY'RE, AND WITH THAT, THEY'RE ADOPTING A CONCEPT OF SPEED, BUT NOT, WITHOUT, NOT, UH, SACRIFICING QUALITY.
UM, ALSO CHALLENGING ALL OF OUR EXISTING PROCESSES TO FIND WAYS TO EXECUTE OUR PROJECTS IN HALF THE TIME.
UM, AND THEY ALSO ARE DEVELOPING AND IMPLEMENTING A CONSISTENT APPROACH TO CAPITAL DELIVERY ACROSS THE CITY OF AUSTIN.
UM, THERE ARE FOLKS RESPONSIBLE CAP FOR CAPITAL DELIVERY TASKS AND, UM, JOBS IN EVERY DEPARTMENT.
SO HOW DO WE ENSURE THAT EVERYBODY IS WORKING FROM THE SAME PLAYBOOK, IS USING THE SAME PROCESSES OF THE SORT SO THAT WE'RE CONSISTENT.
UM, AND ALSO FINALLY PROVIDING A PROACTIVE AND TRANSPARENT REPORTING ON PROJECTS.
AND I HAVE TO SAY, EVERYTHING THAT I AM SEEING COMING FROM JAMES AND HIS CREW, IT IS, IT IS A, A HUGE CHANGE IN IMPROVEMENT, UM, IN HOW WE'RE LOOKING AT OUR PROJECTS, HOW WE'RE LOOKING AT THE DESIGN PROCESS, HOW WE'RE LOOKING AT THE REPORTING PROCESS.
THEY HAVE ALREADY MADE REALLY SIGNIFICANT IMPROVEMENTS RIGHT OUT THE GATE.
SO WE'VE FOCUSED A LOT ON OUR BOND VOTER APPROVED BOND PROGRAMS, BUT WE HAVE TO ALSO INCLUDE OUR NON VOTER APPROVED DEBT.
SO THAT INCLUDES THINGS LIKE OUR CERTIFICATES OF OBLIGATION AND OUR, UM, OUR CONTRACTUAL OBLIGATIONS.
UM, SO WE HAVE QUITE A BIT OF THOSE NON-VOTER APPROVED BONDS TO BE APPROVED OR TO BE ISSUED IN THE COMING YEARS.
OVER 250 MILLION FROM CERTIFICATES OBLIGATION.
AND SOME OF THOSE PROJECTS ARE, UM, COME FROM WALL CREEK, WHICH IS SUPPORTED BY THE WALL CREEK TURS.
UM, WE HAVE NEW FIRE AND E M S STATIONS, UH, AND RENOVATIONS, VARIOUS TRANSPORTATION PROJECTS.
UM, THERE'S GOING TO BE A SIGNIFICANT RENOVATION OF TOWN LAKE CENTER JUST ACROSS THE WAY IN BARTON SPRINGS.
UM, AND ALSO A DOMESTIC VIOLENCE SHELTER.
YOU ALSO, AND CERTIFICATES OF OBLIGATION ARE VERY SIMILAR TO YOUR PUBLIC IMPROVEMENT BONDS IN THE KIND OF THINGS THAT IT, IT IT PAYS FOR.
UM, BUT YOUR CONTRACTUAL OBLIGATIONS, THAT IS A MUCH SHORTER TERM DEBT.
IT'S USED FOR, UM, EQUIPMENT, UM, AND VEHICLES AND, AND THE SORTS.
SO THAT'S WHY YOU SEE THAT THE VAST MAJORITY OF THE OVER A HUNDRED MILLION DOLLARS IN, IN, IN CONTRACTUAL OBLIGATIONS TO BE ISSUED IS ASSOCIATED WITH FLEET AND EQUIPMENT.
UM, AND ALSO, UM, TECHNOLOGY, HUMAN CAPITAL MANAGEMENT SYSTEM TRYING TO IMPROVE INTERNALLY HOW WE GO, HOW THE VARIOUS IT SYSTEMS THAT THE CITY USES.
SO, UM, IT'S SYSTEMS ARE NOT GETTING ANY CHEAPER.
UM, THE ABILITY TO PAY FOR THEM BECOMES MORE AND MORE CHALLENGING.
AND FORTUNATELY, UM, THE, THE STATE HAS, UH, RECOGNIZES THAT, UM, THE, THE ABILITY TO FINANCE THEM IS, IS A, IS A NECESSARY THING NOW.
SO THERE'S ALSO SOME PENDING OPERATIONAL NEEDS THAT WE ARE LOOKING AT COS TO BE THAT FUNDING SOURCE IN THE COMING YEARS.
SO THERE IS A CONCERTED EFFORT ACROSS THE CITY FOR US TO, UM, GET OUT OF LEASED SPACES.
UM, WE'VE HAD STUDIES DONE THAT DEMONSTRATE THE COST OF UTILIZING LEASED VERSUS OWNED SPACES, UM, AMONGST OFFICE BUILDINGS AND WAREHOUSE SPACE AND THE SAVINGS ARE SIGNIFICANT.
UM, SO WE HAVE BEEN ACTIVELY WORKING TO ADDRESS THAT.
UM, THAT'S HOW YOU SEE THE PERMITTING AND DEVELOPMENT CENTER, UM, THAT WAS ACHIEVING A, UM, CONSOLIDATION OF ALL THOSE STAFF, BUT ALSO GETTING FOLKS OUT OF LEASE SPACE.
UM, AND SO WE HAVE A NUMBER OF PROJECTS PLANNED TO, TO HANDLE THAT.
UM, WE ALSO HAVE A, THIS LAST SPRING, THE CITY COUNCIL APPROVED THE CREATION OF A PUBLIC FACILITIES CORPORATION, UM, A P F C.
IT GIVES US SOME ADDITIONAL OPTIONS ON HOW WE CAN DELIVER CERTAIN CAPITAL PROJECTS, UM, AND IDEALLY FOR LOWER COSTS.
UM, SO IT, IT JUST, IT OPENS THE DOOR FOR MORE, MORE PROCUREMENT METHODS AND DELIVERY METHODS.
UM, BUT THAT P F C WOULD ALSO BE UTILIZING COS UM, SOME OF THE SPECIFIC PENDING PROJECTS.
UH, NORTHEAST SERVICE CENTER, UM, I'LL BE PRESENTING TO THE AUDIT FINANCE COMMITTEE ON THAT NEXT WEEK.
THAT'S A BRAND NEW, UM, SERVICE CENTER FOR AUSTIN RESOURCE RECOVERY, WHO HANDLES ALL THE, UM, GARBAGE RECYCLING ORGANICS, UM, AS WELL AS FLEET UM, SERVICES.
WE ALSO NEED TO LOOK AT REPLACING DOWNTOWN FIRE, E M SS AND POLICE STATIONS.
UM, AND WE ALSO HAVE VARIOUS FACILITY ACQUISITIONS, UM, THAT ARE EITHER IN THE WORKS OR SOON TO BE IN THE WORKS.
[00:20:01]
UM, SO EACH OF THESE WOULD REQUIRE, COS I BRING ALL OF THIS UP BECAUSE YOU LOOK AT THE, ALL OF THE VOTER APPROVED BONDS THAT WE HAVE, UM, ON, LIKE, ON THE, ON THE BOOKS EITHER ISSUED OR AUTHORIZED, BUT UNISSUED PLUS THE CEOS AND THE, AND THE CONTRACTUAL OBLIGATIONS, EITHER THEY ARE DEFINITELY BEING ISSUED OR ARE LIKELY TO BE ISSUED IN THIS IN THE FUTURE.THERE'S A LOT OF DEBT BEING, UH, CONTEMPLATED, UM, BY THE, BY THE CITY.
SO WE HAVE TO BE PARTICULARLY CONSCIOUS OF HOW THAT SPENDING CARRIES OUT, HOW THE DEBT ISSUANCES CARRY OUT, HOW THAT IMPACTS OUR, UM, OUR, JUST OUR, OUR TAX, OUR DEBT SERVICE TAX RATE, HOW THAT IMPACTS OUR CREDIT RATINGS, THINGS LIKE THAT.
SO WITH THAT IN MIND, I'M GONNA ACTUALLY TURN IT OVER TO BELINDA WEAVER, OUR TREASURER, TO TALK ABOUT, UH, THE TAX RATE IN OUR GEO DEBT.
UH, GOOD AFTERNOON COMMISSIONERS, BELINDA WEAVER.
UM, SO KIM HAS TALKED A LITTLE BIT ABOUT THE CAPITAL IMPROVEMENT PROJECTS.
UM, I'M GONNA TALK TO YOU A LITTLE BIT ABOUT THE FUNDING BEHIND THAT.
UM, SO FIRST OFF, UH, FOR OUR GENERAL OBLIGATION THAT, UM, IT IS PAID FOR THROUGH OUR PROPERTY TAX.
UM, THE CITY'S PROPERTY TAX IS ACTUALLY COMPRISED OF THREE COMPONENTS.
UH, THE FIRST IS OPERATIONS AND MAINTENANCE THAT FUNDS THE GENERAL FUND.
THEN WE HAVE AN AUSTIN TRANSIT PARTNERSHIP PORTION, AND THAT IS DEDICATED TAX REVENUE THAT WAS APPROVED IN THE 2020 TAX RATE ELECTION AND IS TRANSFERRED TO AUSTIN TRANSIT PARTNERSHIP FOR FUNDING A PROJECT CONNECT.
AND THEN FINALLY, THE LAST PORTION FUNDS DEBT SERVICE COMING DUE IN THE FOLLOWING FISCAL YEAR.
AND THAT'S THE DEBT SERVICE TAX RATE.
AS YOU CAN SEE HERE, THE FISCAL YEAR 24, UM, CITY TAX RATE WAS 44.58 CENTS.
OF WHICH 8.81 CENTS WAS THE, UM, OR IS THE DEBT TAX RATE.
THIS HERE IS JUST A HISTORICAL LOOK AT THE DEBT SERVICE TAX RATE AND THE TAXPAYER IMPACT ON THE TYPICAL HOMEOWNER.
UM, JUST NOTING THAT THE TAX IMPACT FOR BOND PROGRAMS PRIOR TO 2016 HAVE BEEN, UM, PRETTY MUCH REALIZED BECAUSE THE MAJORITY OF THOSE BONDS HAVE BEEN ISSUED.
HOWEVER, THE TAX IMPACT FOR THE 2016, THE 2018, THE 2020 AND THE 2022 BOND PROGRAMS WILL CONTINUE ON INTO FUTURE YEARS.
AND THAT'S BECAUSE THERE ARE STILL A SIGNIFICANT AMOUNT OF BONDS, UM, THAT ARE REMAINING TO BE ISSUED.
SO HERE WE JUST HAVE SOME QUICK FACTS ON THE CITY'S GENERAL OBLIGATION DEBT.
UM, THIS SHOULD LOOK PRETTY FAMILIAR.
UH, WE HAD A DISCUSSION ON THIS BACK IN JUNE.
UM, BUT, UH, JUST TO REVISIT IT, UH, WE CURRENTLY HAVE 1.7 BILLION IN OUTSTANDING GENERAL OBLIGATION DEBT AS OF TODAY.
UM, IT IS ISSUED ONCE PER YEAR.
GENERALLY WE HAVE THE SALE IN SEPTEMBER AND WE HAVE THE CLOSING IN OCTOBER.
UM, WE DID JUST RECENTLY HAVE OUR GEO SALE, UH, MID-SEPTEMBER, UM, AND OUR IN FACT LAST WEEK.
UH, AND THEN AGAIN, THE GEO DEBT, UH, IS BACKED BY PROPERTY TAXES IN THE FULL FAITH AND CREDIT OF THE CITY.
ALSO NOTATED HERE IS THAT 1.6 BILLION IN AUTHORIZED BUT UNUSED DEBT THAT, UH, KIM REFERENCED EARLIER.
AND IT'S BROKEN OUT BY BOND PROGRAM.
AS YOU CAN SEE, THE VAST MAJORITY OF THAT BALANCE IS FROM OUR 2016 AND LATER BOND PROGRAMS. AND SO THIS IS JUST A SNAPSHOT OF THE HISTORICAL PUBLIC IMPROVEMENT BOND ISSUANCES.
SO THOSE PUBLIC IMPROVEMENT BONDS ARE WHAT ARE TIED TO THAT AUTHORIZED, BUT AN ISSUED BALANCE, AND THIS IS JUST TO KIND OF GIVE YOU A PERSPECTIVE OF HOW MUCH WE'RE WE'VE BEEN ISSUING IN THE LAST EIGHT YEARS.
AND WHEN LOOKING AT THESE ISSUANCE AMOUNTS, UM, WE CAN LOOK AT IT FROM A COUPLE PERSPECTIVES.
THE FIRST IS, IF WE WERE TO LOOK OVER THE LAST FIVE YEARS, UM, AND TAKE AN AVERAGE OF THAT, IT WOULD BE A LITTLE ABOVE 150 MILLION A YEAR ON AVERAGE.
AND IF WE WERE TO ISSUE AT THAT AVERAGE AMOUNT, UM, OVER THAT 1.6 BILLION AND AUTHORIZED, BUT UNUSED, IT WOULD TAKE US ABOUT 11 YEARS TO GET THAT FULLY AUTHORIZED AMOUNT ISSUED.
UM, YOU CAN ALSO LOOK AT IT FROM THE PERSPECTIVE OF THE HIGHEST, UM, ISSUANCE AMOUNT, WHICH WAS IN, UM, 2022 AT 200 MILLION.
UM, AT THAT ISSUANCE AMOUNT, IT WOULD TAKE US, UM, ABOUT EIGHT YEARS TO GET THE REMAINING AUTHORIZATIONS ISSUED.
AND THIS IS JUST A REMINDER, I KNOW WE DISCUSSED THIS IN OUR ANNUAL, UH, PRESENTATION TO Y'ALL ON OUR GEN, OUR GENERAL OBLIGATION BOND SALE, BUT, UM, WE DO ISSUE ON A REIMBURSEMENT BASIS.
UM, SO WE DO UTILIZE REIMBURSEMENT RESOLUTIONS TO APPROPRIATE FUNDS TO PROJECTS WITHOUT HAVING TO ISSUE THOSE BONDS UP FRONT.
[00:25:01]
ISSUANCES ARE ON ACTUAL EXPENDITURES OUT THE DOOR.SO SOME FINANCIAL POLICY AND CREDIT RATING CONSIDERATIONS IN REGARDS TO OUR GENERAL OBLIGATION DEBTS, UM, AND BOND ELECTIONS.
FIRST IS THERE ARE CITY, CITY COUNCIL ADOPTED FINANCIAL POLICIES.
THEY ARE ADOPTED ANNUALLY AND THERE ARE A COUPLE THAT ARE SPECIFIC TO THE TIMING OF BOND ELECTIONS.
UM, AND THOSE INCLUDE, UM, THAT THERE WOULD BE AN ESTIMATED TWO YEARS OF AUTHORIZED, BUT AN ISSUED BONDS REMAINING BEFORE AN ELECTION WOULD BE HELD.
AND, UM, THE SECOND IS THAT THE TOTAL AMOUNT OF BOND ELECTION PROPOSITIONS RECOMMEND RECOMMENDED WILL NOT EXCEED THE CITY'S ABILITY TO ISSUE BONDS WITHIN A SIX YEAR PERIOD.
SO BASED ON THESE POLICIES AND THE SPENDING PROJECTIONS THAT KIM PREVIOUSLY DISCUSSED WITH YOU, UM, THE EARLIEST AND NEW BOND ELECTION WOULD BE PROPO THAT WOULD BE PROPOSED WOULD BE IN 2026.
AND THEN FINALLY, SOME CREDIT RATING AGENCY CONSIDERATIONS.
UM, I HAVE LISTED HERE THE CITY'S CURRENT GEO CREDITED RATINGS.
UM, AS YOU CAN SEE, S AND P HAS THE CITY, UH, AAA, UH, RATED THAT, UH, WAS REAFFIRMED IN THIS YEAR'S BOND CYCLE.
UM, MOODY'S AND FITCH, UH, HAVE THE CITY'S GEO CREDITED AT ONE NOTCH BELOW AAA.
SO MOODY'S IS AT AA ONE AND FITCH IS AT AA PLUS.
UM, I DID WANNA NOTE THAT PRIOR TO 2020, THE CITY WAS AAA RATED ACROSS THE BOARD WITH ALL THREE CREDIT RATING AGENCIES.
UM, IN 2020, MOODY'S DOWNGRADED THE CITY FROM AAA TO AA ONE.
AND THEN IN 2021, FITCH DOWNGRADED THE CITY FROM AAA TO AA PLUS.
AND BOTH DOWNGRADES RE REFERENCED ELEVATED FIXED COSTS AS A COMPONENT OF THE DOWNGRADE.
AND INCLUDED IN THOSE FIXED COST METRICS, UH, WAS, OR EXCUSE ME, IS THE DEBT REQUIREMENTS OF THE CITY.
SO THAT IS A COMPONENT OF THAT, UH, METRIC.
AND UM, WE, WE JUST WANT TO THE COMMISSION TO BE AWARE THAT, YOU KNOW, THESE FUTURE DEBT, DEBT DEBT ISSUANCES THAT THE CITY EMBARKS UPON MUST BE CAREFULLY MANAGED RELATIVE TO AAA CREDIT RATING STANDARDS.
WE ARE STILL HIGHLY RATED, UM, WE'RE AAA BY S AND P.
WE'RE JUST ONE NOTCH BELOW THAT WITH MOODY'S AND FITCH, BUT AAA IS KIND OF THAT, THAT GOAL.
UM, AND YOU KNOW, THAT'S JUST BECAUSE IT WOULD SAVE THE CITY ON BORROWING COSTS AND THAT WOULD TRANSLATE INTO SAVINGS FOR THE TAXPAYERS.
SO TO, TO WRAP THINGS UP, JUST KIND OF A REVIEW, WHAT HA WHAT I OPENED WITH ON THE VARIOUS OBJECTIVES AND TAKEAWAYS OF THIS PRESENTATION.
SO, UM, OFF-CYCLE BOND PROGRAMS ARE CONSTRUCTION MARKET CONDITIONS AND SPENDING PLANS HAVE A REAL IMPACT ON, ON, ON HOW, HOW THESE PROGRAMS ARE CARRIED OUT.
UM, WE HAVE $1.6 BILLION IN AUTHORIZED BUT UN ISSSUED VOTER APPROVED BONDS AT THIS TIME.
UM, THE CITY MANAGER CREATED THE CAPITAL DELIVERY SERVICES DEPARTMENT TO MAKE SIGNIFICANT, UH, IMPROVEMENTS IN OUR PROJECT DELIVERY.
AND THEN, BUT NO MATTER WHAT, AGAIN, STAFF WILL CONTINUE TO FOCUS ON DELIVERING AND COMPLETING EACH OF THE BOND PROGRAMS THAT THE VOTERS APPROVED.
UM, AND WITH THAT, I'LL JUST OPEN IT UP FOR ANY QUESTIONS.
I KNOW THAT WAS QUITE A BIT OF INFORMATION,
QUESTIONS FROM THE COMMISSION? YES, SIR.
QUESTION ON THE ED? SURE, GO AHEAD.
UH, I HAD A COUPLE, UM, AND I APOLOGIZE IF I MISSED THIS 'CAUSE IT WAS RIGHT OFF AT THE START, BUT THE IMPACT OF THE OFF-CYCLE BOND PROGRAM, YOU SAID THAT WAS A FACTOR, BUT I DIDN'T FOLLOW, SINCE WE HAVE BEEN DOING SO MANY OFF CYCLE, WHAT THE IMPACT IS THERE THAT WE ARE TO BE CONCERNED ABOUT IT, IT JUST, IT IMPACTS OUR ABILITY TO CONTINUE TO DELIVER ON THESE PROGRAMS. IT'S A CAPACITY ISSUE.
SO, UM, WE HAVE 1.6 BILLION IN AUTHORIZED ONE END ISSUED.
IF YOU LOOK AT THE, WITH ALL OF THE OFF-CYCLE BOND PROGRAMS AS OPPOSED TO JUST THE, THE REGULAR CYCLE EVERY SIX YEAR ONES, THERE'S A, THERE'S A BIG GAP BETWEEN THAT.
SO IF WE WERE STICKING WITH OUR POLICY AROUND, UM, WHEN WE DO NEW BOND PROGRAMS, OUR AUTHORIZED BUT ISSUED LEVELS WOULD BE MUCH LOWER.
UM, IT ALSO JUST, IT GIVES US, WE'RE NOT, WE'RE NOT HAVING TO DO DEAL WITH AS MANY PROJECTS AT ALL AT ONE TIME KIND OF A THING.
SO WHEN YOU'VE GOT INTERNAL CAPACITY, UH, LIMITATIONS EXTERNAL WITH YOUR CONSULTANT CONTRACTING INDUSTRIES AND THE SORT, HAVING JUST CONTINUING TO ADD MONEY, UM, AND AUTHORIZATION, IT'S, IT'S FANTASTIC THE SUPPORT THAT OUR COMMUNITY HAS FOR MAKING THOSE INVESTMENTS, BUT WE AREN'T NECESSARILY ABLE TO JUST CHURN THEM OUT AS FAST AS WE CAN IF WE WERE TO BE ON JUST OUR TYPICAL, UM,
[00:30:01]
COMPREHENSIVE BOND PROGRAMS CYCLE.BUT IS SOMETHING THAT THE CITY COUNCIL COULD ADDRESS BY EXPANDING THE CAPACITY OF THE CITY OFFICES? I GUESS WHAT I'M LOOKING AT HERE IS CLEARLY WE ARE NO LONGER ON A SIX YEAR CYCLE IF YOU LOOK AT, AT HOW THIS HAS HAPPENED, RIGHT? AND SO I'M, I'M WONDERING IF WHAT REALLY WE OUGHT TO BE TALKING TO THE CITY COUNCIL ABOUT IS EXPANDING OUR CAPACITY TO NOT EXPECT SIX YEAR CYCLES SO THAT WE CAN NOT HAVE AN OFF CYCLE BOND IS, UH, ELECTION BEING, UM, UNEXPECTED AND A DELAY IN DELIVERY.
WE WE'RE ONLY ONE FACTOR THOUGH, IN THAT DELIVERY, LIKE I MENTIONED, THERE'S THE EXTERNAL, THERE'S THE CONSULTANT CONTRACTING MEETING, THERE'S LABOR SUPPLY CHALLENGES, THERE'S SUPPLY CHAIN THINGS.
SO THERE'S A LOT OF OTHER FACTORS.
SO EVEN IF WE WERE TO SIGNIFICANTLY EXPAND OUR INTERNAL STAFFING AROUND THAT, THAT DOESN'T MEAN THAT WE WOULD BE ABLE TO, TO ACCELERATE THE PROGRAMS TO THAT.
BUT THAT WOULD BE ONE OF THE FACTORS.
I GUESS I'M, WHAT I'M JUST LOOKING AT, TO BE HONEST WITH YOU, IS YOU TALK ABOUT A, A CYCLE, BUT WHEN YOU THEN YOU SHOW WHAT WE'VE DONE, THERE'S NO CYCLE
SO I'M JUST TRYING TO FIGURE OUT IF WE NEED TO ADJUST FOR REALITY AND NOT, YOU GUYS, YOU NEED, I'M NOT SUGGESTING THAT YOU GUYS NEED TO, BUT YOU NEED HELP IS WHAT IT SOUNDS LIKE.
IF WE WANT TO CONTINUE TO HAVE OFF CYCLE ISSUANCE.
I I THINK IT'S ALSO IMPORTANT TO UNDERSTAND THE FINANCIAL IMPACT OF THAT THOUGH.
LIKE, UM, BELINDA, WHEN SHE WAS TALKING ABOUT THE ABUS MM-HMM.
SO THAT THAT AND THE PENSIONS.
BUT WE'VE BEEN, THE PENSIONS, WE'VE BEEN ACTIVELY ADDRESSING LIKE THE, UM, THE, THE, UH, POLICE PENSION AND THE REGULAR EMPLOYEES TENSION HAVE BEEN ADDRESSED THROUGH THE LEGISLATURE.
UM, AND UM, WE'RE MAKING SIGNIFICANT IMPROVEMENTS THERE.
THE DEBT SIDE OF IT, THAT'S SOMETHING WE DON'T NEED THE LEGISLATURE TO, TO, TO MAKE THOSE CORRECTIONS.
THAT'S SOMETHING THAT WE SHOULD, WE NEED TO BE VERY COGNIZANT OF, UM, INTERNALLY.
AND THAT'S JUST TO KIND OF FOLLOW UP ON WHAT KIM STATED, YOU KNOW, THIS, THAT IS TRUE.
WE'VE, WE'VE BEEN FOCUSED ON THE PENSIONS, BUT WE DON'T WANT TO COMPLETELY IGNORE OTHER METRICS THAT ARE FACTORED INTO THIS LEVERAGE COMPONENT.
UH, AND THEN ONE OTHER QUESTION THAT I'LL SURE QUIT TALKING FOR A LITTLE BIT ANYWAY, UM, YOU HAD A SLIDE ABOUT THE COUNCIL ADOPTED FINANCIAL POLICIES.
WHAT, WHEN WERE THOSE POLICY POLICIES ADOPTED? THEY'RE APPROVED ANNUALLY, UM, DURING THE BUDGET CYCLE.
BUT THOSE SO APPROVED AND REAPPROVED YEAH, THOSE HAVE BEEN IN PLACE FOR, I LIKE AS LONG I'VE BEEN WITH THE CITY FOR 20 YEARS NOW.
THEY'VE BEEN
AND I WAS HERE BEFORE THAT AND THEY WERE HERE
I, I WANNA FOLLOW UP IN A COUPLE OF WAYS.
ONE, HOW DO THOSE FINANCIAL POLICIES JIVE WITH THE OFF-CYCLE FUND ELECTIONS? UM, THEY DON'T, THEY'RE UM, THE, SO WHAT WAS THE PROCESS THAT COUNSEL USED HAVING ADOPTED THE FINANCIAL POLICY TO CALL A BOND ELECTION THAT WAS IN VIOLATION OF THE POLICY? UH, WELL, I, I DON'T WANNA, I DON'T WANNA SPEAK FOR THE COUNCIL AND, AND WHAT WAS DRIVING NO, I I'M NOT ASKING HOW THEY MADE THE DECISION.
WHAT IS, WHAT'S THE PROCESS? UM, SO IN, IN LOOKING AT THE VALUE OF FINANCIAL POLICIES, AND WE'RE LOOKING AT A POLICY THAT'S SPECIFIC, AND WE'RE LOOKING AT INSTANCES WHERE THE POLICY WAS NOT FOLLOWED.
SO WHAT'S THE PROCESS FOR THE CITY HAVING A FINANCIAL POLICY AT, YOU KNOW, DID, DOES SOMEBODY HAVE TO MAKE A MOTION TO VALIDATE THE FINANCIAL POLICY OR DO, IS THAT JUST NEVER DISCUSSED IN THE BOND ELECTIONS CALLED? WELL, WHENEVER THERE'S A, A FINANCIAL KIND OF AN ACTION BEING TAKEN THAT MIGHT HAVE A, A POLICY RELATED TO IT, WE MAKE SURE THE COMMUNICATE THAT TO THE COUNCIL MEMBER SO THEY CAN TAKE THAT INTO ACCOUNT, UM, AS PART OF THEIR DECISION MAKING PROCESS.
BUT ALSO IN THE BUDGET DOCUMENT EACH YEAR, IN THE FINANCIAL POLICY SECTION, YOU CAN LOOK IN THE, AND IT, WE ACTUALLY SPECIFICALLY NOTE WHICH POLICIES WE'RE NOT IN COMPLIANCE WITH.
UM, SO WE ARE OPEN AND TRANSPARENT ABOUT THAT, UM, TO THE PUBLIC.
IT IS NOT AN ORDINANCE OR A LAW, BUT IT IS A POLICY.
BUT THOSE FINANCIAL POLICIES ARE INCREDIBLY IMPORTANT.
THAT IS SOMETHING THAT THE RATING AGENCIES ABSOLUTELY LOOK TO.
UM, WHAT ARE, WHAT ARE THE POLICIES THAT WE HAVE IN PLACE? WHAT ARE WE IN COMPLIANCE WITH OR NOT? UM, THAT IS ALL ABSOLUTELY PART OF THEIR, UM, THE BODY OF INFORMATION THAT THEY LOOK AT WHEN THEY DO OUR, OUR RATING EACH YEAR.
SO THE, I GUESS WHAT I'M TRYING TO, TO STRUGGLE TO ASK IS THE COUNCIL DOESN'T
[00:35:01]
HAVE TO TAKE SOME OTHER SPECIFIC ACTION NO.TO SAY, UM, WE ARE GONNA CALL THIS FIRST, WE'RE GONNA SET ASIDE THIS POLICY AND THEN WE'RE GONNA CALL THE ELECTION.
THEY DON'T, THE, IN CALLING THE ELECTION, THERE'S NO COUNCIL ACTION REQUIRED.
NO, BY THE POLICY, THERE'S NO OFFICIAL ACTION.
IT'S JUST, IT'S JUST ONE OF THE VARIOUS PIECES OF INFORMATION THAT THEY MAY CONSIDER.
AND THE, THE, WE'VE TALKED A LOT ABOUT IN THE QUESTION AND IN YOUR PRESENTATION ABOUT OFF-CYCLE BOND PROGRAMS. AND WE NEVER REALLY SPECIFICALLY, I DON'T THINK DEFINED WHAT AN OFF-CYCLE BOND PROGRAM IS.
IT'S, IT'S BASICALLY, IT'S WHEN IT'S NOT A COMPREHENSIVE PROGRAM.
SO LIKE OUR 20 12, 20 18, UM, THOSE WERE COMPREHENSIVE BOND PROGRAMS. THE OFF-CYCLE ONES ARE SINGLE PROPOSITIONS.
SO, UM, IN 2020 THERE WAS THE, UH, THE TRANSPORTATION ONE IN 2022, THERE WAS A HOUSING ONE.
UM, THOSE TWO ALONE WERE OVER, UM, $800 MILLION, UM, THAT WERE APPROVED.
UM, AND RELATIVE TO OUR LAST COMPREHENSIVE BOND PROGRAM, WHICH WAS 925 MILLION.
SO THOSE TWO OFF-CYCLE PROPOSITIONS ALONE WERE ALMOST EQUAL TO A COMPREHENSIVE PROGRAM.
SO, AND THEN JUST KIND OF, UH, FOLLOWING UP, YEAH.
AND THEN 2016 WAS 720 MILLION AND THAT WAS, UM, SINGULARLY FOCUSED ON MOBILITY.
THE OTHER QUESTION THAT I, I ALSO WANTED TO, THAT ED ASKED THAT I WANTED TO FOLLOW UP ON, I THINK THE POINT THAT, THAT YOU WERE TRYING TO MAKE WAS THERE, THERE SEEMS TO BE AN ISSUE, UH, IN TERMS OF OUR ABILITY INTERNALLY, UH, TO DO THE THINGS THAT ARE NECESSARY TO IMPLEMENT THE CAPITAL PROGRAM.
NOW YOU'VE RAISED THE EXTERNAL, UH, FACTORS THAT ARE PART OF THAT AS WELL.
SO THERE'S INTERNAL FACTORS AND THERE ARE EXTERNAL FACTORS.
AND THE QUESTION THAT I THINK THAT ED WAS ASKING IS, SO FOR THAT INTERNAL PORTION, UM, IF THERE'S SEEMS TO BE A LIMITING FACTOR, HAVE WE CONSIDERED EXPANDING OUR INTERNAL CAPACITY? WELL, I WOULD, I WOULD TURN TO JAMES TO SPEAK TO THAT BECAUSE, UM, THAT IS, THAT IS HIS, HIS FOCUS.
UH, SINCE BEEN, UH, GIVEN THIS OPPORTUNITY SIX MONTHS AGO, WE'VE BEEN LOOKING AT ALL OUR PROCESSES, PROCEDURES AND LOOKING AT HOW WE CAN BE MORE EFFICIENT AND EFFECTIVE TO DELIVER THE PROJECTS.
SOMETIMES IT'S NOT JUST ADDING PEOPLE, AS KIM WAS SAYING, IT'S ALSO THE RESOURCES OF OUR CONSULTING COMMUNITY.
AS WE ALL KNOW, JUST LOOKING OUTSIDE, THERE'S A LOT OF WORK GOING ON IN THIS, IN THE CITY.
AND TO BE ABLE TO CONTRACT TO GET RESOURCES IN PLACE IS ONE OF THE CHALLENGES.
UH, SINCE I WAS BEEN GIVEN THE OPPORTUNITY TO TAKE OVER THIS DEPARTMENT, WE'VE BEEN LOOKING VERY STRANGELY AT HOW TO DO IT.
BUT WHAT I DON'T WANNA DO IS JUST ADD A BUNCH OF PEOPLE.
AND THAT'S WHAT WE TEND TO DO IS LIKE WELL THROW LABOR FORCE AT IT.
WE FIRST DOING, WE'RE DOING ANALYSIS OF LOOKING AT HOW WE DELIVER PROJECTS, HOW WE CAN DO IT MORE EFFICIENTLY, EFFECTIVELY, AND THEN LOOK AT THE RESOURCES NECESSARY.
WE ARE LOOKING AT, AND WE'VE PUT IN SOME OF THE, OUR BUDGET FOR F Y 24 IS CONTRACTUAL SERVICES AND FOR STAFF AUGMENTATION.
'CAUSE THE OTHER THING TOO IS NOT SAYING THAT THERE'S A BUST COMING, UH, IN THE NEXT 10 YEARS, WE'RE GONNA SPEND PROBABLY BETWEEN 17 TO $20 BILLION.
HOWEVER, I DON'T WANT TO PLAN FOR THE HIGH TIMES AND THEN ALL OF A SUDDEN HAVE TO LAY A BUNCH OF PEOPLE OFF LATER ON.
SO WE ARE TAKING THAT STRENUOUS LOOK AT IT.
AS KIM SAID, WE HAVE IDENTIFIED CERTAIN THINGS.
WE'RE WORKING WITH OUR PARTNER DEPARTMENTS SINCE IT'S ONE OF THE KEY THINGS THAT CONSIDERS THERE'S, THIS DEPARTMENT HAS BEEN CHARGED AND MADE ACCOUNTABLE FOR DELIVERY OF THE CAPITAL PROGRAM.
IT'S ABOUT $7 BILLION, NOT COUNTING THE AIRPORT EXPANSION, EVERYTHING LIKE THAT.
BUT WE HAVE, WE, WE TAKE A TEAM APPROACH TALKING TO D S D, TALKING TO THE ASSET OWNERS.
SO LIKE THAT TO SAY HOW WE CAN DO THINGS MORE EFFICIENTLY, EFFECTIVELY WORK TOGETHER, UH, OVER THE LAST COUPLE YEARS, NOT TO ANYBODY'S FAULT, WE CREATED SOME SILOS AND PART OF THIS DEPARTMENT'S TRYING TO BREAK DOWN THAT SILO AND WORK TOGETHER.
UH, WE WILL BE REPORTING BACK TO YOU AS FAR AS HOW WE'RE MOVING FORWARD WITH OUR PLANS, BUT RIGHT NOW WHAT WE'RE TRYING TO DO IS FOCUS ON SEEING WHAT'S IN FRONT OF US AND MAKING A, A REASONABLE PLAN.
THE OTHER QUESTION I WOULD LIKE TO REFER TO THAT YOU'RE ASKING EARLIER IS BASED OFF WHAT KIM TALKED ABOUT, UH, A TYPICAL MUNICIPALITY HA STAYS ON A CYCLE FOR BONDS.
[00:40:01]
OF, YOU KNOW, SAN ANTONIO'S FIVE YEAR CYCLE.WHEN YOU GET OUT OF CYCLE, LIKE KIM SAYS, THEN WE HAVE, WE DON'T HAVE THE RESOURCES TO MEET WITH WHAT WE'RE DOING.
THAT'S WHAT THE VOTERS TOLD US AND THAT'S WHAT WE'RE TRYING TO ADDRESS.
BUT WHAT WE'RE TRYING TO DO, AND UH, INNER CENTER MANAGER GARZA ASKED ME TO DO IS LOOK AT GETTING US BACK INTO A CYCLE PREDICTIVE.
SO ONE, NOT JUST THE FINANCIAL, BUT ALSO THE RESOURCES AND HAVE A PLANNING.
WE DON'T WANT TO, WE WE'RE GIVEN TRUST BY THE VOTERS TO DELIVER ON CERTAIN THINGS.
WE WANNA MAKE SURE THAT WHAT WE ASK FOR, WE CAN ACTUALLY DELIVER ON AND NOT ASK FOR MORE, BUT ACTUALLY BE ABLE TO DELIVER, UH, AS WE PUT THE PROCESS IMPROVEMENTS IN PLACE, WORKING WITH THE ASSET OWNERS, WE'LL BE ABLE TO DO THAT.
BUT RIGHT NOW, WHAT WE'RE KIND OF DOING IS THE 2026 IS OUR NEXT KIND OF GOAL AND MARK ON THAT AND TRYING TO GET BACK TO A NORMAL CYCLE.
I UNDERSTAND THE REASONS, SOME OF THE REASONS WHY WE GOT OUT OF CYCLE, BUT AGAIN, MONEY ISN'T ALWAYS SOLVES THE PROBLEM EITHER.
YOU HAVE TO BE ABLE TO ACTUALLY DELIVER ON WHAT YOU WANT.
NO, AND I JUST WANT, I MEAN, I, I UNDERSTAND WHAT YOU'RE SAYING.
I GUESS WHAT I'M, I JUST WANNA MAKE SURE YOU'RE, YOU GUYS HEAR WHAT I'M SAYING, WHICH IS THOSE DECISIONS ARE MADE BY THE POLITICIANS, RIGHT? YES SIR.
THEY'RE, THEY HAVE SHOWN US, AND I'VE BEEN AN ADVOCATE FOR THAT AS FULL DISCLOSURE FOR THESE OFF CYCLE MM-HMM.
AND SO AT SOME POINT I WOULD THINK THAT IF, IF THAT'S GOING TO BE REALITY, WE OUGHT TO ADJUST OUR SERVICE DELIVERY SO THAT THERE MAY BE OTHER IMPEDIMENTS, BUT IT'S NOT OUR INTERNAL STRUCTURE.
AND SO I HEAR WHAT YOU'RE SAYING ABOUT THE CITY, THE CURRENT CITY MANAGER WANTING TO GET BACK TO A CYCLE OR OTHER CITIES, BUT MY EXPERIENCE IN AUSTIN, TEXAS IS THAT WE DON'T DO IT THAT WAY JUST 'CAUSE OTHERS DO.
SO I JUST WANT US TO BE THINKING ABOUT THAT.
AND FRANKLY, VERY TRANSPARENTLY, IF THIS COMMISSION NEEDS TO BE SUGGESTING TO THE COUNCIL MEMBERS THAT THEY NEED TO ADDRESS THAT INTERNALLY SO THAT THE RESOURCES ARE THERE, YOU KNOW, WE'RE PART OF WHAT WE WANT TO DO IS, IS FIGURE OUT WHAT ARE THE THINGS THAT ARE BREAKING, WHAT CAN WE HELP BREAK DOWN TO GET THE VOTER APPROVED PROJECTS ON THE GROUND INSTEAD OF FOUR YEARS ON A CYCLE THAT'S EXTENDED BY FOUR YEARS ON THE INTENDED CYCLE.
I DON'T, I DON'T WANT YOU TO TAKE AS A CRITIQUE OF, OF THE SITUATION, BUT IT'S A MORE A, AN OBSERVATION OF REALITY AND WANTING TO MAKE SURE THAT WE UNDERSTAND WHAT REALITY IS SO WE CAN RESPOND TO THAT.
I DIDN'T TAKE IT AS A CRITICISM, BUT I, I'D LIKE TO GO BACK TO YOUR LAST PART ABOUT THE REALITY.
WHAT WE NEED TO HAVE IS, STAFF'S ROLE IS TO ADVISE AND MAKE RECOMMENDATIONS TO THE POLICY OWNER, UH, AND THE POLITICIANS ON WHAT'S REALISTIC.
THE THING IS, IS THAT THE THING, WHAT WE DON'T WANT TO DO IS NOT BE ABLE TO DELIVER ON EXPECTATIONS AND ADDRESS OUR, ADDRESS OUR NEEDS.
WE DON'T HAVE A, UM, AS, AS THE TREASURER TALKED ABOUT, YOU KNOW, WE DON'T WANT TO GET US IN A SITUATION THAT WE CAN'T SOLVE THE PROBLEMS ANYMORE 'CAUSE WE'VE LEVERAGED OURSELVES TO A POINT THAT WE CAN'T, THAT IT'S COSTING MORE TO SOLVE THE PROBLEM THAN IT IS ACTUALLY ADDRESSING THE PROBLEM.
AND, BUT NO, I AGREE WITH YOU AND THAT'S WHAT WE'RE LOOKING AT, UH, THE IDEA THAT, UH, YOU KNOW, WE WE'RE LOOKING AT THAT APPROACH.
NOT SAYING, UH, IT'S JUST THE REASON WHY PEOPLE GET IN THE CYCLICAL APPROACH IS TO DO THE PLANNING.
ONE OF THE THINGS THAT OUR ASSESSMENT FOUND, AND THIS IS WHAT WE'RE TRYING TO SOLVE, AND THIS'S, THE REASON ONE OF THE THINGS THAT WE CAN COME AND TALK TO THE COMMISSION PROBABLY, UH, LATER IN, UH, CALENDAR YEAR 2024, IS ACTUALLY A BOND DEVELOPMENT PROCESS.
UH, WHAT HAS HAPPENED IN THE PAST YEARS SINCE 16, 18 AND 20, WHAT WE'VE HAD IS WE'VE HAD VERY, UM, OPTIMISTIC CONCEPTS AND NOT REALLY PROJECTS.
SO WHAT HAPPENS IS WE'RE SPENDING THE FIRST TWO YEARS REALLY DOING WHAT WE SHOULD HAVE DONE PRIOR TO THAT IS SCOPING, GIVING YOU A REALISTIC SCHEDULE AND COST.
AND THE PROBLEM IS, IS TI AS IT WAS ALLUDED TO IN THIS PRESENTATION, TIME IS MONEY.
SO IF WE SPEND THE FIRST TWO YEARS OF A BOND CYCLE JUST SCOPING, THAT'S TWO YEARS OF INFLATION AS WE SAW IN 20 22, 20 23, THAT CAN BE A 30% SWING.
NOW WE CAN'T DELIVER ON THE PROMISES THAT WE, WE CAME TO THE VOTERS SAYING, IF YOU VOTE FOR THIS, WE'RE GONNA DELIVER.
SO WHAT WE ARE DOING IS WE'RE MAKING AN ADJUSTMENT OF HOW WE DO PROJECT INITIATION AND DEVELOPMENT, UH, LOOKING AT THE 2026 BOND AS THE NEXT REALISTIC TO COME AND MAKE SURE THAT WE HAVE FULLY VETTED, UNDERSTOOD PROJECTS SO WE CAN EXECUTE ON THOSE NEEDS.
AND AS WE GO FORWARD, AND IF THE CYCLE CHANGES, AND I UNDERSTAND THAT COULD POSSIBLY IS MAKE SURE THAT WE DO THE DELIBERATE PLANNING UPFRONT SO WE CAN MAKE SURE WE EXECUTE.
I, I DON'T BELIEVE IN, UH, EVERYTHING HAS TO BE SEQUENTIAL.
WHAT WHAT WE HAVE TO DO IS WE DO SEQUENTIAL PLANNING SO WE CAN EXECUTE, EXECUTE IN PARALLEL, ALL WAS DONE.
BUT IF WE DON'T DO THAT PLANNING UP FRONT, WHICH HAPPENED IN 16, 18, 20, NOT ANYBODY'S FAULT, BUT THE IDEA IS THAT WHAT WE ENDED UP WAS GETTING BOGGED DOWN AND TRYING TO FIGURE OUT HOW TO DELIVER CERTAIN THINGS.
AND UM, YES, AUSTIN IS, UH, AN INCREDIBLE CITY LIVE IN, BUT WE ALSO HAVE SOME CHALLENGES THAT OTHER CITIES HAVE AS FAR AS ENVIRONMENTALLY AND STUFF LIKE THAT, THAT WE HAVE TO LOOK AT TO MAKE SURE THAT MAKES IT A LITTLE BIT MORE DIFFICULT TO DELIVER HERE.
AND WE WANNA MAKE SURE THAT WHEN WE COME TO YOU ALL WITH ADVICE,
[00:45:01]
WE CAN SAY, WE CAN ACTUALLY DELIVER ON WHAT WE'RE DOING.AND JUST IF THAT HELPS TO ADD TO THAT LIGHT, JUST WHAT, WHAT JANE IS TALKING ABOUT.
MANY, MANY TIMES OVER, UM, FROM THE FINANCIAL PERSPECTIVE, HAVING THAT VERY, LIKE MORE CONSISTENT PLANNING CAPABILITY AROUND IT GIVES US THE ABILITY TO, TO BE ABLE TO DO THE, OUR BOND SALES IN A MORE, LIKE A MORE CONSISTENT MA MANNER.
SO IT, WE'RE NOT HAVING BIG PEAKS AND VALLEYS.
IT SHOWS THOSE CREDIT RATING AGENCIES.
IT SHOWS THE MARKET THAT WE HAVE A VERY CONSISTENT APPROACH AND TO OUR FINANCES.
BECAUSE IF, IF WE KEEP HAVING BIG PEAKS AND VALLEYS, WE KEEP HAVING VERY LARGE OUTSTANDING, UM, AMOUNTS TO BE ISSUED IN THE FUTURE, IT WILL IMPACT OUR CREDIT RATING, IT WILL IMPACT THE COST OF BORROWING, IT WILL IMPACT THE TAXPAYER.
SO THAT'S WHY WE ARE ALSO ACTIVELY COMMUNICATING THAT WITH COUNCIL MORE SO NOW THAN WE EVER HAVE TO MAKE SURE THAT EVERYONE IS AWARE OF WHAT IS THE FINANCIAL IMPACT, BECAUSE WE GET IT, FOLKS WANT THESE PROJECTS, THEY'RE IMPORTANT PROJECTS AND THEY CAN DO AMAZING THINGS FOR OUR COMMUNITY.
BUT IF IT'S AT THE EXPENSE OF OUR FINANCIAL HEALTH AS AN ENTIRE ORGANIZATION, AS A COMMUNITY, IT'S, THAT'S A, THAT'S NOT A DECISION I WANT TO PUT OUR COUNCIL IN.
UM, YEAH, I UNDERSTAND THAT THE, UH, THE OFF CYCLE ELECTIONS ARE, YOU KNOW, KIND OF THROWING A WRENCH, THE, IN THE SYSTEM, RIGHT? IT'S, IT'S NOT ONLY ADDING, YOU KNOW, THE EXTRA FINANCIAL BURDEN, IT'S ALSO AFFECTING, YOU KNOW, YOUR CAPACITY, YOUR THROUGHPUT AND EVERYTHING ON IT.
BUT AS FAR AS THAT GOES, UM, I AGREE WITH YOU A COUNCILMAN WHERE, UM, YOU KNOW, THERE'S GONNA HAVE TO BE SOME, UH, NIMBLENESS IN IT.
BUT FOR THAT THOUGH, DO WE HAVE ANY UH, KIND OF WAY TO, YOU KNOW, GATHER THINGS LIKE, YOU KNOW, HOW THINGS WILL AFFECT OUR CAPACITY, HOW THINGS WILL AFFECT THAT THROUGHPUT, SOME, SOME SORT OF GUARDRAILS AND INDICATORS THAT, YOU KNOW, WE ARE, WE'RE REALLY DOING SOMETHING, YOU KNOW, VERY DANGEROUS HERE THAT'S, YOU KNOW, LIKELY TO SLIDE US OVER INTO LIKE A LOWER RATING AND THOSE KIND OF THINGS.
ARE THOSE, ARE THERE THINGS LIKE THAT, THAT WE HAVE THAT ARE AVAILABLE FOR, YOU KNOW, FOR THE COUNCIL TO BE ABLE TO LOOK AT BEFORE THESE BONDS MAKE IT THROUGH? UM, I MEAN IT'S, WE HAVE SOME, WE'VE WE'VE UH, PRETTY COMPLICATED FINANCIAL MODELING, UM, TOOLS THAT WE'RE ABLE TO LOOK AT THAT AND LOOK AT HOW IT AFFECTS VARIOUS METRICS THAT THE RATING AGENCIES WILL LOOK AT ON A REGULAR BASIS.
UM, SO I THINK THAT REALLY THOSE, THOSE METRICS, UM, YOU'RE GONNA HAVE TO RATTLE SOME 'EM OFF.
'CAUSE NOT MY MIND IS BLANKING OUT HERE, BUT THOSE ARE THE THINGS THAT CAN SERVE AS THOSE GUARDRAILS.
SO THOSE ARE THINGS WHERE WE COULD REPORTING TO COUNCIL AND TELL, OKAY, HERE'S WHERE WE ARE ON THIS.
IF YOU ADD THIS MUCH MORE, IT TIPS YOU OVER ON THIS METRIC BECAUSE EACH OF THE RATING AGENCIES HAS, UM, KIND OF RANGES, UM, FOR EACH OF THOSE METRICS AND, AND HOW YOU SCORE AND HOW THAT RELATES TO CREDIT RATING.
OH, OH, I, I WAS JUST GONNA ADD, BUT IN ADDITION TO THAT, YOU KNOW, THERE'S ALSO THE HUMAN COMPONENT, RIGHT? LIKE YOU, WE CAN'T, THERE'S A CERTAIN LIMIT OF THINGS WE CAN DO IN PARALLEL.
AND SO ARE THERE ANY METRICS, ANY KIND OF GUARDRAILS WE CAN PUT ON FACTORING THAT IN? WAIT, UH, THAT'S PART OF WHAT THE, MY DEPARTMENT'S LOOKING AT IS WE'RE TRYING TO PUT TOGETHER A REALISTIC MODEL.
ONE THAT IS, YOU KNOW, SCALABLE AND DIFFERENT LIKE THAT SO THAT WHEN WE HAVE THE DISCUSSIONS ABOUT FUTURE BONDS, WE CAN SAY, THIS IS WHAT WE CAN DELIVER.
IF YOU WANT TO DELIVER MORE THAN THAT, THEN THIS IS WHAT WE NEED TO DO TO DO THAT.
UH, THIS IS A GOOD CHALLENGE TO HAVE AS FAR AS A COMMUNITY THAT'S WILLING TO INVEST IN OUR FUTURE TO MAKE SURE THIS IS A GOOD PLACE.
THIS IDEA AS FAR AS STAFF IS TRYING TO PUT TOGETHER SOMETHING THAT'S AGILE AND CAN AND ADDRESS THOSE NEEDS, UH, THAT'S ONE OF THE REASONS WHY IT WAS CREATED WAS TO COME THIS DEPARTMENT WAS CREATED, WAS TO HAVE THAT OTHER SIDE, NOT JUST THE FINANCIAL, BUT SAYING WHAT IS OUR CAPACITY TO DELIVER? AND IF WE HAVE TO ADJUST, WE CAN ADJUST, BUT LET'S HAVE THE DISCUSSION BEFORE WE GO TO A BOND VOTE SO THAT WE CAN MAKE AN EDUCATED AND, AND WELL-FORMED DECISION.
AGAIN, I DON'T THINK WE'VE MADE BAD DECISIONS.
I JUST DIDN'T THINK WE HAVE SOME OF THE INFORMATION THAT WE NOW ARE GONNA BE ABLE TO PROVIDE SAYING HOW BEST TO MOVE FORWARD WITH IT.
I'M, AND I'M GENUINELY EXCITED AS WE TALK ABOUT OUR CAPITAL PROGRAM, BOND PROGRAMS AND, AND THE SORT GOING FORWARD.
HAVING THIS PARTNERSHIP WITH THE CAPITAL OF YOUR SERVICES DEPARTMENT, I THINK IS, IS A HUGE STEP FORWARD FOR THE ORGANIZATION AND FOR THE COMMUNITY BECAUSE WE'RE GONNA, LIKE, WE HAVE RIDICULOUS AMOUNT OF DATA AND REPORTING AVAILABLE TO US.
HE IS TAKING LIKE C THE CITY TO THE NEXT LEVEL IN TURN FROM THE CAPITAL PROJECT REPORTING PERSON.
SO JOINING ALL THAT TOGETHER, WE'RE GONNA BE IN A SUCH A BETTER SITUATION TO BE ABLE TO REPORT TO COUNCIL, REPORT TO THE COMMUNITY AND MAKE BETTER DECISIONS GOING FORWARD ON HOW WE GO ABOUT THESE PROGRAMS EXISTING OR PROPOSED.
AND SOME OF THE AGILITY WE'RE TRYING TO DO TOO, BASED OFF CASTLE DIRECTION IS ONE OF THE KEY PHRASES I USE IS DIG ONE'S APPROACH.
AS WE KNOW THERE'S CERTAIN RESOLUTIONS COMING, CAN WE DO UNDERGROUND, YOU KNOW, PUT THE UTILITIES UNDERGROUND BECAUSE WE NEED, WHAT WE'RE TRYING TO DO IS ALSO PROVIDE COMPLETE PROJECTS, NOT JUST SINGULAR.
SO WE'RE GONNA DO A STREET, WELL, WHEN YOU DO A STREET, THEN YOU FAKE DRAINAGE, YOU AFFECT UTILITY LOCATION, STUFF
[00:50:01]
LIKE THAT.WHAT WASN'T THOUGHT ABOUT WHEN WE WERE JUST DOING THE STREET.
SO NOW WHAT WE'RE TRYING TO DO IS A DEPARTMENT SAYING, WELL, WHEN WE GO TO FROM SIDEWALK TO SIDEWALK TO A PROJECT, WHO ALL CAN BE WORKED AT THAT TIME, I'M WORKING WITH THE DIRECTORS FROM THE ENTERPRISE DEPARTMENT SAYING, OKAY, WE'RE GONNA GO DO THIS WORK.
IS THERE WORK IN YOUR, UH, ASSET MANAGEMENT CYCLE THAT CAN BE DONE AT THE SAME TIME? 'CAUSE WHAT WE DON'T WANNA DO TOO IS MAKE THIS A PLACE DIFFICULT FOR PEOPLE TO ENJOY.
BECAUSE ALL THEY SEE IS CITY TRUCKS KEEP ON GOING IN AND RIPPING UP THEIR ROADS, RIPPING UP THEIR STUFF, AND THEY CAN'T EVER ENJOY WHAT WE'RE DOING BECAUSE WE CONTINUOUSLY ARE DOING SOME TYPE OF WORK.
SO WE'RE TRYING TO, ALSO, AT THIS TIME TOO, IS COME TOGETHER AS A TEAM AND SAY, HOW DO WE COORDINATE THIS TO MAKE SURE WE ADDRESS AS MANY ISSUES AS POSSIBLE AND TOUCH IT ONCE AND NOT JUST COME BACK EVERY SEEMS LIKE, LIKE I SAID, SOME PEOPLE TELL ME THERE'S ALWAYS A TRUCK IN OUR, THERE'S ALWAYS WORK BEING DONE AND I CAN'T ENJOY THAT NEW SIDEWALK, THAT NEW URBAN TRAIL, THAT NEW NEW INFRASTRUCTURE BECAUSE SOMETHING IS BREAKING UP OR SOMETHING'S GOING ON.
SO THAT'S WHAT WE'RE TRYING TO DO COLLECTIVELY AS A TEAM, THE CITY WORKING WITH ALL THE DEPARTMENTS.
'CAUSE WE WANNA MAKE SURE THAT WE CAN ENJOY WHAT, YOU KNOW, IS GREAT ABOUT AUSTIN, THE OUTSIDE BEING ABLE TO DO DIFFERENT THINGS AND NOT JUST CONTINUOUSLY DISRUPT IT.
ACTUALLY, MY FIRST QUESTION IS A TWO PART QUESTION.
UM, WHAT WAS THE LAST BOND THAT, UH, WAS DELIVERED ON SCHEDULE? AND THEN IT LOOKS LIKE THESE BONDS HAVE AN EIGHT YEAR PROJECTED, UH, DELIVERY SCHEDULE AND IT'S TAKING US 12 YEARS.
UM, I THINK YOU'VE ALREADY EXPLAINED THAT TWO OF THOSE YEARS COULD BE BETTER USED TO ADVANCE, UM, THE DESIGN PROCESS.
BUT WHAT CAN WE DO FOR THE OTHER TWO YEARS THAT WE'RE FOLLOWING BEHIND? WELL, I'VE BEEN WITH THE CITY 14 YEARS AND I DON'T THINK IF YOU SAY COMPLETELY SPENT ALL THE MONEY, WE HAVE NOT DONE THAT IN ANY OF THE, ANY OF THE BOND CYCLES THAT YOU SAW.
PART OF IT IS, I CALL ITS COINS AND THE CUSHIONS AT THE END IS LIKE, YOU KNOW, YOU, YOU HAVE CERTAIN THINGS YOU FIND OUT THAT IT DID NOT COST AS MUCH TO DO THE PROJECT AND STUFF LIKE THAT.
AND YOU KNOW, SOME, SO LIKE YOU LOOK AT 2006, I THINK THERE'S, THERE'S 4 MILLION LEFT.
SPREAD OVER LIKE MULTIPLE PROGRAMS. SO IT'S LIKE, IT'S A BIG NUMBER TO SOME, BUT IF YOU LOOK AT IT, IT'S PROBABLY IN 55 POTS.
SO IT'S LIKE, WELL HOW DO I BRING THAT ALL TOGETHER? HOW TO BE ABLE TO EXPEND THAT.
SO THAT'S PART OF WHAT WE'RE DOING TOO, IS UH, LOOKING AT HOW DO WE GO BACK AND USE THAT MONEY THAT WE HAVE THERE OR WHAT WE'VE ALREADY DECIDED TO MAKE SURE THAT WE DON'T KEEP ON HAVING THOSE COINS IN THE CUSHIONS OUT THERE.
UM, SECOND IS THAT WE, PART OF THIS ROLE IN THIS DEPARTMENT IS TO STAY FOCUSED ON WHAT WE'RE SUPPOSED TO DO.
UH, PART OF THE IDEA OF BEING MORE DELIBERATE IN A PROJECT PROJECT DEVELOPMENT IS KEEPING US FROM HAVING SCOPE CREEP AND SO MANY CHANGES IN THE PATH.
AND THAT KIND OF CAUSES SOME OF THE PROBLEMS TOO.
A PROJECT THAT WE CAME TO YOU, WHICH WAS A CONCEPT THOUGHT AT THE BEGINNING, ALL OF A SUDDEN GOT REALLY BIG OR SMALL OR DIVERTED AND THAT JUST CONTINUED TO ESCALATE THE PROBLEM.
OR WE NEVER FINISHED CERTAIN THINGS OUT.
UH, WHAT HAS HAPPENED, AND I'M WORKING WITH, UM, THE ENTERPRISE DEPARTMENTS ON IT, WE'RE AT 90% OF A PROJECT ALL OF A SUDDEN WATER OR AE COMES IN AND SAY, OH, WELL WE WANT TO BE PART OF THAT TOO.
WELL NOW THAT'S ANOTHER TWO YEARS 'CAUSE THEY JUST STARTED THE PROCESS.
SO WE'RE TRYING TO DO TOO, IS IN THIS NEW NEW APPROACH IS SAYING IF THIS IS THE SCOPE, THIS IS THE SCOPE, WE, WE, WE GOTTA MOVE FORWARD WITH THIS.
AND IF THAT'S IMPORTANT, WE'LL FIND ANOTHER WAY TO GET THERE.
BUT IF WE KEEP ON CHANGING THE PROJECTS AND KEEP ON SHIFTING SCOPE, WE'LL NEVER GET ANYTHING DONE.
OR WE'LL HAVE EVERYTHING AT 80%, NOTHING AT A HUNDRED PERCENT.
AND SO WHAT WE'RE TRYING TO DO IS GET BACK TO THAT FOCUS ON THAT.
I HOPE THAT ANSWER YOUR QUESTION, UM, YOU KNOW, I, I CAN'T SAY FOR PRIOR YEARS, BUT I WILL TELL YOU THAT THE ONE THING, I DON'T WANNA GET LOST IN THIS, THE STAFF HAS DONE AN INCREDIBLE JOB AS FAR AS DELIVERING, YOU KNOW, WE, WE WERE GIVEN A LOT OF TRUST, A LOT OF MONEY TO GET THINGS DONE.
SO IT'S NOT THAT THEY DON'T WANT TO GET IT DONE, IT'S SOME OF THE THINGS THAT EITHER SELF-IMPOSED OR OTHERWISE THAT WE NEED TO JUST OVERCOME.
BUT THEY'VE DONE INCREDIBLE WORK.
A LOT OF THINGS HAVE BEEN DELIVERED, YOU KNOW, AND, AND AS YOU SEE THE, THE YEARS THAT WE'RE TALKING ABOUT SPENDING, THERE'S GONNA BE A LOT SPENT IN THE NEXT COUPLE YEARS.
SO WE'RE, WE'RE RAMPING UP TO GET THERE.
I JUST DON'T WANNA GET THAT LOST IN THAT LARGE, IN THAT LARGE CHUNK BECAUSE AGAIN, WHEN YOU, WHEN YOU'RE ASKING, REMEMBER 2 16, 16 WAS THE LARGEST BOND WE EVER WENT FOR AND IT WAS A COLLECTION OF THINK THE LAST 20 YEARS OF BONDS THEN WE FOLLOWED.
IF YOU LOOK AT THOSE NUMBERS, THOSE ARE HISTORICAL NUMBERS.
WE'VE NEVER PUT, I DON'T, I'M, I'M TURNING TO THE FINANCIAL STAFF ON THIS.
I DON'T THINK WE'VE, WE'VE GONE OUT TO THE VOTERS.
IT'S GOT APPROVED THAT MUCH, THAT MUCH BOND CAPACITY OR THAT MUCH DEBT IN, UH, FOR PROJECTS.
AND I THINK IN THE LIFE CYCLE OF, IN THE WHOLE LIFE OF THE CITY UNTIL THAT POINT, I MEAN, YOU COULD ADD THAT ALL UP AND THAT WOULD'VE BEEN OVER THE 150 YEARS PRIOR TO THAT.
WE, YOU KNOW, WOULDN'T AGGREGATE TO THAT.
SO IT MEANS WE HAVE A LOT TO ADDRESS, BUT IT'S ALSO, YOU KNOW, IT IS A KIND OF, I HATE TO USE THE WORD 'CAUSE EVERYBODY'S USING THIS NOW HISTORICAL TYPE OF APPROACH ON CERTAIN THINGS.
[00:55:01]
YOU SAID, WE HAVE TO CHANGE OUR PROCESSES TO, TO MEET THE NEW, NEW REALITY AND WE'RE MAKING THAT HAPPEN.WAS THERE, WAS THERE A SECOND QUESTION OR TO THE QUESTION WAS THE STANDARD CYCLE, THE, THE STANDARD CYCLE SHOULD BE SIX YEARS.
UH, THAT'S, AGAIN, MUNICIPALITIES HAVE THAT STANDARD.
HAVE WE EVER MET THAT STANDARD? UH, NO.
'CAUSE AGAIN, LIKE I SAID, SOMETIMES WE HAVE THAT LEFTOVER MONEY AND STUFF LIKE THAT, BUT RIGHT NOW WE'RE NOT.
WE ARE TRYING TO GET BACK TO THAT STANDARD.
AND AS WE COME FORWARD WITH YOU, THAT WOULD BE THE EXPECTATION IS ANYTHING WE BRING TO YOU AS A PROJECT SHOULD BE DONE.
AND I SAID, THERE'S, THERE'S ALWAYS DOWN CHANGE, BUT GET TO THE STANDARD BETWEEN 90, 95% OF THE PROJECTS THAT YOU APPROVED IN A BOND CYCLE WILL BE DONE WITHIN FIVE TO SIX YEARS OF THAT BOND APPROVAL.
AND THEN THE SECOND QUESTION I HAVE IS, UM, ON ONE OF THE SLIDES YOU SPOKE ABOUT, UM, THAT THE EARLIEST BOND WOULD BE IN 2026 AND THERE'S A CRITERIA THAT ESTABLISHES WHEN WE SHOULD BE GOING OUT FOR ANOTHER BOND.
WOULD YOU REVIEW THAT CRITERIA WITH THIS AGAIN, PLEASE? YEAH, SO THE FINANCIAL POLICY SAYS THAT YOU WOULDN'T BE GOING OUT FOR ANOTHER BOND PROGRAM UNTIL YOU HAVE TWO YEARS OR LESS OF, UM, SPENDING REMAINING ON THE PRIOR.
SO, UM, BECAUSE OF THE, WHAT WE'RE LOOKING AT IN TERMS OF THE, UM, REMAINING ISSUANCES ON THOSE, THOSE VOTER PROOF BOND PROGRAMS, UM, IT WOULD BE 2026 BEFORE WE GET TO A POINT WHERE WE HAVE, WE'RE AT A TWO YEAR MARK OR LESS ON THAT FROM, PARTICULARLY FROM THE 2018 BOND.
SO WHAT YOU'RE SAYING IS THE, THE COINS IN THE COUCH LIKE WE WERE JUST TALKING ABOUT, SO THAT 4 MILLION PLUS ANY OTHER OUTSTANDING, UM, PIECES LEFT OVER FROM ANY OF THE OTHER PREVIOUS BONDS WE HAVE TO GET TO NOW.
IT'S SO, SO FOR EXAMPLE, 2006 IS, FOR ALL INTENTS AND PURPOSES DONE, 2012 IS ESSENTIALLY THE SAME.
SO, UM, WE'RE LOOKING AT 2018.
SO THAT FINANCIAL POLICY IS WRITTEN WITH THE IDEA OF A COMPREHENSIVE BOND PROGRAM IN MIND, NOT THE OFF CYCLES.
SO, BUT BECAUSE OF THE, LIKE, SO EVEN WITH THE 2018 WITH WHERE WE ARE ON SPENDING WITH THAT, AND THEN IT, BUT, AND THEN THE, THE PACE OF SPENDING ON 2018 IS FURTHER COMPOUNDED BECAUSE OF THOSE ADDITIONAL OFF-CYCLE BOND PROGRAMS. SO IT JUST PUTS US, UH, THAT MUCH, UM, FURTHER BEHIND.
SO THAT'S WHY WE'RE LOOKING AT, AT 2026 AS THE STUDENTS THAT WE WOULD, UM, RECOMMEND ANOTHER COMPREHENSIVE BOND PROGRAM.
I WANTED TO GO BACK TO THE CAPACITY ISSUE FROM A DIFFERENT ANGLE.
I KNOW THAT, UM, WE ARE LOOKING AT THE BOND PROGRAM AND THIS COMMISSION HAS LOOKED IN THE PAST AT THE ISSUES THAT IT SEEMED TO BE AFFECTING PROJECTS, SLOWING DOWN PROJECTS.
AND ONE OF THE THINGS THAT THE COMMISSION HAS, UH, DISCUSSED AT DIFFERENT TIMES IS SETTING ASIDE OR SETTING UP TEAMS FROM THE, OUR EXISTING CITY RESOURCES TO WORK SPECIFICALLY ON BOND PROJECTS.
BASICALLY THE BARRING FROM PETER TO PAY PAUL.
THE PROBLEM WITH BARRING FROM PETER TO PAY PAUL, IT'S A GOOD STRATEGY A LOT OF TIMES, BUT NOT WHEN PETER'S BROKE
THEY, THE DOLLARS HAVE NEVER HIT THE STREET.
THEY'RE WRAPPED UP IN THOSE SAME PROCESSES THAT THE CAPITAL PROGRAM IS WRAPPED UP IN.
SO WHEN WE TALK ABOUT LOOKING AT EXTE, EXPANDING OUR CAPACITY, WHETHER IT'S THROUGH OUTSIDE FIRMS OR STAFF, OR HOWEVER YOU DO IT, YOU KNOW, IT STILL TAKES DOLLARS.
I THINK THERE IS ADDITIONAL INFORMATION THAT MAY SUGGEST, UH, THE NEED FOR THAT.
I MEAN, HOPEFULLY WE COULD FIND THE SOLUTION THROUGH CHANGING PROCESSES.
UH, BUT IT IS A PROBLEM THAT EXISTS NOT ONLY IN CAPITAL DELIVERY, WHICH IS WHAT WE'RE LOOKING AT, BUT THERE'S ALSO AT LEAST ANECDOTAL EVIDENCE TO SUGGEST THAT IT EXISTS ON THE OPERATING SIDE.
AND THERE'S CERTAINLY PLENTY OF,
[01:00:01]
UH, EVIDENCE FROM THE COMMUNITY THAT IT EXISTS IN THE SERVICES THAT THEY'RE GETTING WITH THOSE PROCESSES.SO I DON'T WANNA LEAVE THE, I DON'T WANNA LEAVE THE SUBJECT OF, UM, EXPANDING OUR CAPACITY, UM, WITHOUT AT LEAST REMARKING ABOUT THE OPERATING SIDE OF IT.
PART OF THE REASON, I'M SORRY, PART OF THE REASONS WHY THIS DEPARTMENT WAS CREATED WAS TRYING TO RELIEVE SOME OF THAT PRESSURE, BECAUSE WHAT HAPPENS WAS DIRECTOR ASSET, OWNER DIRECTORS WERE KIND OF SAYING, WELL, I HAVE TO WORRY ABOUT TRYING TO DELIVER MY CAPITAL PROGRAM AND ALSO MY, AND MAINTAINING THE SERVICES THAT I DO.
SO BY CREATING THIS DEPARTMENT, IT TAKES THAT RELIEF OFF THEM AS FAR AS RESOURCE DEMAND, UH, ALL THE RESOURCES IN THIS DEPARTMENT WERE EXISTENCE IN ANOTHER DEPARTMENT.
SO, AND WAS DOING THAT FUNCTION ANYWAY.
AND AS WE MOVE FORWARD, THAT WILL HELP US RELIEVE SOME OF THE, THE STRESS AND TENSION, SORRY, THE ROBBING PETER TO PAY PAUL IN THIS CASE.
YOU KNOW, WE'LL BE ABLE TO FOCUS ON CERTAIN THINGS AND, AND PROBABLY MITIGATE THAT IN IN THE FUTURE.
ANY OTHER QUESTIONS FROM THE COMMISSION? ONE, ONE QUESTION ON THE, THE HISTORICAL ISSUANCES THAT YOU'VE LISTED BY YEAR, DO YOU HAVE A PROJECTION OF WHAT THOSE WILL BE IN THE COMING YEARS? I KNOW, YOU KNOW, I HEAR THAT IF WE BECOME MORE EFFICIENT OR WE WOULD ANTICIPATE WITH THE DEBT LEFT TO BE ISSUED, THAT PERHAPS THAT NUMBER SHOULD GO UP, BUT I'M NOT SURE IF THERE'S A PROJECTION OF THAT.
WELL, WE HAVE SPENT PROJECTIONS, UM, THAT FOR EACH BOND PROGRAM, UM, AS THEY STAND RIGHT NOW, I THINK THAT CAPITAL DELIVERY IS WORKING WITH THOSE RESPECTIVE DEPARTMENTS TO REFINE, UM, THOSE PROJECTIONS.
UH, SO THEORETICALLY THEY COULD GO UP, BUT, UH, WE DON'T HAVE THAT, THAT INFORMATION AT THIS TIME.
I'LL SAY YES TO THAT
A LOT OF PEOPLE FORGET THAT THE, THE MAIN, THE MAIN TREND IS WHAT WORK WAS ASSOCIATED WITH MONEY AND WAS THE WORK PERFORMED.
SOMETIMES WHAT WE DO IS WE GOT INTO THE, LET'S JUST TALK ABOUT THE MONEY, AND WE'RE TRYING TO SAY, WELL, WE, YOU HAVE TO HAVE THAT ASSOCIATION.
SO WORKING WITH, WITH THE DEPARTMENTS NOW, THE ASSET OWNERS, WE'RE GOING THROUGH THAT PROCESS.
WE'RE GONNA DO THAT THROUGH THIS YEAR THROUGH THE CAPITAL BUDGET, AND THEN WE'LL BE ABLE TO GIVE A MORE, I'LL SAY, PRECISE OR ACCURATE ANSWER SHOULD I SAY, UH, GOING FORWARD.
AND THAT'S PART OF THE CONSISTENCY KIM TALKED ABOUT EARLIER, IS TO HAVE A MORE CONSISTENT APPROACH KNOWING THAT WE ARE SPENDING, YOU KNOW, WE, WE FEEL COMFORTABLE THAT WE'RE GONNA SPEND THAT MONEY AND THE WORK ASSOCIATE WILL GET DONE.
I HAVE ONE MORE QUESTION, JUST I GUESS MORE TO REITERATE AND MAKE SURE I'M UNDERSTANDING CORRECTLY.
I THINK ONE OF THE, ONE OF THE CONCERNS THAT YOU DISPLAYED WERE MORE FOR, BY THE TIME THAT THE BONDS GET FUNDED, THEY AREN'T COMPLETELY FLESHED OUT.
SO WE TO BE ABLE TO, YOU KNOW, ACTUALLY SAY THAT THEY'VE BEEN DONE OR THAT THE MONEY'S BEEN DONE.
IS THAT RIGHT? WELL, WHAT I WAS SAYING BEFORE IS SOMETIMES WE'VE GONE, UH, TO COUNSEL WITH, WE WANNA GET THINGS DONE AND SOMETIMES WE, UH, WE WERE GIVEN SHORT NOTICE TO SAY, LET'S MOVE FORWARD WITH SOMETHING INSTEAD OF HAVING THE TIME TO PLAN AND SAY, THIS HAS BEEN A FULLY VETTED PROJECT AND VETTED MEANING THAT WE, WE, IT'S NOT THAT WE JUST DO THE FLY THE SEAT BY, YOU KNOW, FLY BY THE SEAT OF OUR PANTS, BUT RATHER IT'S MORE OF HAVING THE TIME TO DO THE PROPER INVESTIGATION AND MAKE SURE WHAT'S INVOLVED.
LIKE I SAID, AUSTIN IS A EXCITING PLACE TO LIVE, BUT SOMETIMES CAN BE A DIFFICULT PLACE TO BUILD BECAUSE WE, WE CHERISH OUR ENVIRONMENT, WE CHERISH DIFFERENT THINGS, AND THAT SOMETIMES WHEN WE START GOING THROUGH THE PROCESS OF DESIGNING ANYTHING WE FIND OUT THERE, IT WASN'T JUST AS SIMPLE AS DRAWING SOMETHING ON THE BOARD.
WHEN YOU GO ON THE GROUND AND YOU LOOK AT IT, THERE'S CHALLENGES THERE.
AND SO WHAT WE'RE TRYING TO DO IS MAKE SURE WE IDENTIFY THOSE CHALLENGES EARLIER IN THE PROCESS.
SO WHEN WE COME TO YOU, WE FEEL VERY COMFORTABLE THAT WHEN WE SAY IT'S GONNA TAKE FIVE YEARS AND THIS IS WHAT'S GONNA BE DELIVERED, IT'S GONNA TAKE FIVE YEARS AND THAT'S WHAT IT'S GONNA DELIVER.
INSTEAD OF COMING BACK AND SAYING, OH, WELL WE DIDN'T KNOW THIS.
WE BE, BECAUSE WE WERE HASTILY TRYING TO DELIVER SOMETHING INSTEAD OF SPENDING A LITTLE TIME TO MAKE SURE THAT WE WERE COMFORTABLE.
AND I GUESS MY QUESTION IS, HOW ARE WE ABLE TO INFORM AND HOW IS THE COUNCIL, UH, ABLE TO KNOW WHEN IT IS, UH, WHEN IT IS FLESHED OUT TO APPROPRIATE DEGREE TO MAKE IT EASIER FOR YOU? THAT'S PART OF WHAT WILL BE WORKING WITH COUNCIL AND START SHOWING IS, IS THAT, IS, UH, WHAT DOES THAT PROCESS LOOK LIKE? WHAT, WHAT, WHAT ARE WE GONNA MOVE FORWARD WITH? UH, WE'RE NOT GONNA MAKE IT ELONGATED JUST TO ADD MORE TIME AND SAY THIS, BUT WE'RE JUST TRYING TO PUT THE PROCESS IN PLACE THAT WE HAVE A, UH, A BETTER ESTIMATE TO THEM ON CERTAIN THINGS THAT WE FEEL COMFORTABLE WITH SO WE CAN DELIVER.
UH, I'M, AGAIN, NOT TRYING TO ELONGATE THE PROCESS, BUT WHAT WE'RE TRYING TO DO IS EVERY, LIKE, THE TIME WE SPEND UP FRONT MAKES IT A LOT EASIER TO DELIVER AND, AND ON THAT DEMAND AND MAKING SURE THAT IT'S ALSO WHAT WE'RE
[01:05:01]
TRYING TO DO TOO IS NOT COMPLICATED.SET EARLIER IS DOING FOUR DIFFERENT PROJECTS IN THE SAME AREA WITHOUT TALKING TO EACH OTHER AND FIGURE OUT, WELL, WE COULD DO ONE PROJECT AND, AND THAT'S SOME OF THE THINGS WE WERE JUST LOOKING AT.
AND, AND I, I DON'T THINK, MY CONCERN IS MORE ABOUT A LOGGING ANY PROJECT IS, UH, I GUESS MY CONCERN IS LIKE, AT WHICH POINT OF THE BOND SHOULD THIS BE DONE, RIGHT? SO LIKE THERE IS A POINT WHERE, YOU KNOW, WHERE THE PUBLIC VOTES ON IT, BUT YOU KNOW, BY THE TIME THE PUBLIC VOTES ON IT, THAT BECOMES PART OF THE ISSUE WHERE IT'S LIKE, IF IT'S NOT FLESHED OUT FULLY AT THAT POINT, THEY'RE VOTING ON SOMETHING THAT, YOU KNOW, HONESTLY, THE, THE BUDGET THEY'RE UP LOCATING FOR IT IS KIND OF, YOU KNOW, FLUFFY NUMBERS.
SO HOW DO WE, HOW ARE WE ABLE TO SEPARATE THAT OUT BETWEEN, YOU KNOW, WHEN THEY APPROPRIATE THE FUNDS TO IT, TO KNOW THAT THEY'RE FUNDING SOMETHING THAT IS FULLY FLESHED OUT AND RESEARCHED WELL MOVING FORWARD? WHAT WE'RE TRYING TO DO, AND KIM ALLUDED TO ONE OF THE PROJECTS WE JUST GAVE HER WAS IDEAS THAT WE SPENT THE TIME CAME UP AND GAVE THEM A CERTAIN, HERE YOU GO.
UH, GOING FORWARD, THE PLAN IS THAT THOSE PROJECTS THAT WE BRING TO COUNCIL WILL BE AT THAT STAGE.
WE'RE, WE'RE NOT GONNA BRING ANYTHING FORWARD, NOT IN THAT STAGE, OR WE'LL BE MORE DELIBERATE IN THOSE ACTIONS.
SO IT, IT, AGAIN, IT WASN'T A LACK OF STAFF TRYING TO DO THE RIGHT THING.
AND I DON'T WANT TO GET LOST ON HERE.
IT'S JUST THE IDEA IS THAT IS NOW WE'VE HAD TIME TO LOOK AT THIS AND SAY, HOW DO WE MOVE THAT FORWARD AND GIVE YOU A, YOU KNOW, GIVE THE EXPECTATION THAT THIS HAS BEEN FULLY VETTED.
SO MY DEPARTMENT IS INVOLVED IN ALL THAT AND WE'RE WORKING WITH THE ASSET OWNERS, SO WHEN WE BRING THOSE PROJECTS, YOU'LL COMFORTABLE THAT THAT'S WHAT WE SAY.
WE STARTED DOING THAT WITH A LOT OF PROJECTS MOVING FORWARD.
UM, EVERY MONTH NOW WE HAVE WHAT WE CALL A PROJECT HEALTH ASSESSMENT.
WE START THE FIRST ONE THIS TOMORROW WHERE WE'RE GOING THROUGH AND WE'RE ALSO DOING COMPASS CHECKS AS WE GO TO, TO MAKE SURE THAT IF THERE'S THINGS THAT WE'RE UNFORESEEN, THAT HOW CAN WE RESOLVE THOSE THINGS AND GET THOSE DONE QUICKLY.
SO IT, IT'S, YEAH, AT LATER TIME I CAN COME BACK AND BRIEF YOU ALL AS FAR AS THE PROCESS, ANYTHING LIKE THAT TO GIVE YOU A LITTLE BETTER UNDERSTANDING AND ALSO ASK YOU FOR YOUR SUPPORT ON CERTAIN THINGS.
'CAUSE I KNOW THAT'S THE MISSION OF THIS IS TO HELP US DO A MONITORING FUNCTION, BUT ALSO HELP US, UH, ELEVATE SOME ISSUES THAT WE MIGHT NEED TO HELP WITH.
AND JUST TO KIND OF, TO ADD TO THAT, LIKE WHEN, WITH WHAT HE'S DOING, HISTORICALLY, WE'VE HAD A NUMBER OF INSTANCES, PARTICULARLY WITH LARGE SCALE PROJECTS THAT, OH, WE ESTIMATE IT'S GOING TO BE 20 MILLION.
AND THEN WE ACTUALLY START GETTING IN A LITTLE BIT INTO DESIGN.
WE'RE LIKE, OH NO, IT'S MORE LIKE 25 OR 30 MILLION.
AND THEN IT'S THE, HEY, FINANCE
SO HE, HE'S, WHAT HE'S AND HIS ENTIRE TEAM ARE DOING IS, IT'S A, IT'S, IT'S GOING TO MEAN BETTER PROJECTS.
IT'S GOING TO BE MEAN, BETTER FINANCIAL PLANNING, IT'S GOING TO MEAN FAR BETTER DELIVERY.
IT'S JUST ALL THE THINGS ARE GOING TO BE SO MUCH BETTER GOING FORWARD THAT, UM, I'M JUST, I'M, IT GIVES ME SO MUCH MORE COMFORT KNOWING HOW, WHAT OUR APPROACH IS GOING, GOING FORWARD NOW.
UM, AND AGAIN, NOT TO LIKE, TO SAY LIKE ALL OF OUR STAFF, THEY ARE CONSTANTLY WORKING AS HARD AS I POSSIBLY CAN TO DELIVER THESE PROJECTS IN THE CIRCUMSTANCES THAT THEY'RE, THEY HAVE.
SO I DON'T WANT IT TO COME ACROSS THAT UP UNTIL NOW, STAFF HAS JUST BEEN WORKING WILLY-NILLY, NOT DOING, UH, NO, NO, NO.
THEY HAVE BEEN BUSTING THEIR TAIL, UH, TO TRY AND BRING FORWARD THESE PROJECTS TO THE BEST OF THEIR ABILITY.
BUT WE'RE ABOUT TO GIVE EVERYBODY FAR BETTER TOOLS AND INFORMATION TO BE WORKING FROM.
AND IT'S GOING TO, IT'LL IMPROVE EVERY ACROSS THE BOARD.
UH, MY DEPARTMENT OR MY TEAM, SHOULD I SAY, HAS BEEN GIVEN THE OPPORTUNITY TO HELP, UH, WORK WITH YOU ALL ON A, A MONTHLY BASIS.
SO AS WE GO THROUGH AND CREATE OUR WORK PLAN AND TALK TO DIFFERENT THINGS, THIS WILL GIVE US OPPORTUNITIES TO HAVE MORE DISCUSSIONS.
AND, UH, I, I LOOK FORWARD TO WORKING WITH YOU ALL TO GIVE US, UH, I IDEAS ON HOW TO DO THIS BETTER.
BOTH, EITHER IN DELIVERY, IN COMMUNICATION, AND COMING TO COUNCIL WITH THE RIGHT THINGS.
'CAUSE AGAIN, IT'S, IT'S A TEAM, YOU KNOW, IT'S, IT'S ONE CITY, ONE TEAM, ONE APPROACH, AND THAT'S WHAT WE'RE FOCUSING ON.
SO I LOOK FORWARD TO WORKING WITH Y'ALL.
I APPRECIATE THE QUESTIONS THAT YOU, YOU GAVE US TODAY.
'CAUSE THAT'S JUST GONNA MAKE US BETTER.
AND I WANTED TO, TO FOLLOW UP ON THAT, TO, TO EXPLAIN MY UNDERSTANDING FROM OUR DISCUSSIONS IS THAT WE ARE GONNA BE IN FUTURE MEETINGS DISCUSSING THESE PROCESSES IN A LOT MORE, UM, DETAIL, UM, IT STEP BY STEP SO THAT I KNOW IN YOUR DISCUSSION WITH AUDIT AND FINANCE, YOU TALKED ABOUT SOME OF THE AREA, IT DOESN'T APPEAR THAT WE ARE UNDERESTIMATING THE CONSTRUCTION SIDE IN TERMS OF TIME OR DOLLARS.
WE HAVE, WE HAVE MORE INFORMATION ABOUT WHAT PARTICULAR STEPS IN THE PROCESS MAY HAVE CAUSED ISSUES IN THE PAST.
AND WE'LL BE GETTING INTO THOSE IN MORE DETAIL.
ONE, ONE FINAL QUESTION THAT I HAD AT
[01:10:01]
ONE POINT IN TIME, THE CITY WAS, UH, COLLECTING AND REPORTING ON CAPITAL PROJECTS COMPLETED ON TIME AND OWNED BUDGET.IS THAT STILL BEING DONE? YES.
UH, WE, BUT WE'RE LOOKING AT A WAY TO ROLL THAT OUT TO Y'ALL TO BE A LITTLE, IT WASN'T TRANSPARENCY ISSUE, IT'S JUST MORE, AGAIN, A LOT OF DATA, A LOT OF THINGS GOING ON.
WE'RE TRYING TO ORGANIZE IT SO WE CAN PROVIDE IT IN A TIMELY MANNER.
OUR, OUR, OUR EXPECTATION GOING FORWARD IS TO BE ABLE TO MEET THAT GOALS ON TIME, ON BUDGET, AND, AND WHATEVER WE GIVE YOU AS A PERFORMANCE BASELINE, WE'RE GONNA HOLD TO THAT BASELINE.
AND HOW IS ON TIME AND ON BUDGET DEFINED, SO WHEN A PROJECT IS BEING BROUGHT FORWARD, GOING FORWARD, THERE'LL BE WHAT I CALL PERFORMANCE BASELINE, SAYING THAT WE'RE GONNA DELIVER THIS SCOPE AND THIS TIME FOR THIS MONEY.
AND WHEN WE BRIEF THAT TO COUNSEL, THAT IS WHAT I CALL THE PERFORMANCE BASELINE, WHICH WILL BE HELD TO, AND THE IDEA IS THAT THAT'S WHEN WE SAY IT'S GONNA TAKE FIVE YEARS AND X AMOUNT OF DOLLARS, IT'S GONNA TAKE FIVE YEARS IN THAT AMOUNT OF DOLLARS.
NOW, THERE WILL BE, I WILL SAY THAT THE EXPECTATION IS TO GET TO SOMEWHERE AROUND 95, 90% ACCURACY ON THAT.
BUT THE IDEA IS TO GET TO THAT STANDARD THAT WE FEEL VERY COMFORTABLE, WE HAVE THE TEAM IN THE CITY TO DO IT AGAIN.
WHAT WE'VE BEEN ABLE TO DO IS CREATING THIS DEPARTMENT IS TO ACTUALLY PUT MORE LASER FOCUS ON IT TO, TO MAKE IT HAPPEN.
KIND OF TAKE SOME OF THE DISTRACTIONS OUT AND JUST SAY, FOCUS, THIS IS WHAT OUR MISSION IS.
THIS IS OUR CORE THING THAT WE DO.
AND WE WORK WITH THE ASSET OWNERS TO MAKE IT HAPPEN.
AND TO EXPLAIN A LITTLE BIT TO THE COMMISSION, THE IMPORTANCE OF THE DEFINITION, EVERY PROJECT IS COMPLETED ON BUDGET BECAUSE THE CITY'S NOT ALLOWED TO SPEND MONEY OVER BUDGET.
THE PROBLEM IS THAT THE BUDGET CAN BE AMENDED.
AND WHAT STARTED OFF AS A $20 MILLION PROJECT ENDS UP AS A $50 MILLION PROJECT, BUT STILL OWN BUDGET AS OF THE DAY BEFORE IT WAS COMPLETED BECAUSE WE AMENDED THE BUDGET AND INCREASED IT.
SO THE, THE, THE ESSENCE OF THE ISSUE IS HOW ARE THOSE TWO TERMS DEFINED? WHAT IS ON TIME AND ON BUDGET? AND, AND AS JAMES EXPLAINED, WHAT THEY'RE TALKING ABOUT IS WHAT I TELL YOU IN THE BEGINNING IS THE SCHEDULE IS THE SCHEDULE THAT DETERMINES ON TIME.
WHAT I TELL YOU IN THE BEGINNING IS THE COST IS WHAT DETERMINES ON BUDGET.
SO THANKS, THANK YOU FOR THE CLARIFICATION ON THAT.
ANY OTHER QUESTIONS? THANK YOU ALL SO VERY MUCH.
UNFORTUNATELY, I GET TO STAND, SIT UP HERE FOR THE NEXT PART OF THIS PRESENTATION.
WELL, I, I'M TRYING TO, I I DIDN'T DRINK AS MUCH WATER AS I NEEDED TODAY.
AS, AS I MENTIONED IN ONE OF MY LAST ANSWERS TO Y'ALL IS THAT WE'VE BEEN GIVEN THE OPPORTUNITY TO WORK WITH YOU ON A FULL-TIME BASIS.
SO, UH, OUR DEPARTMENT WILL BE WORKING WITH YOU AS FAR AS FACILITATING THIS, THIS COMMISSION.
AND PART OF THAT IS WORKING WITH YOU.
WE, WE OBVIOUSLY NEED TO TALK ABOUT, UH, A WORK PLAN.
SO DO WE HAVE THE SLIDES? ABOUT 30 YEARS AGO, I WAS, I WAS STATIONED AT FORT HOOD JUST UP THE ROAD AND I FORGET WHAT'S THE NEW NAME? I APOLOGIZE.
UM, I HAD SOMEONE SIT ME DOWN AND TALK ABOUT, UH, WHEN, WHEN YOU PUT THINGS TOGETHER AND YOU TRY TO PUT A PLAN TOGETHER, WHAT YOU NEED TO DO IS GET A PICTURE OF SUCCESS.
UH, AND PART OF THE REASON WHY I USE THE PICTURE IS AS A GOOD VISUAL TERM AS FAR AS, YOU KNOW, IT'S, LET'S SKETCH ME A PICTURE AND THEN LET'S FIGURE OUT WHAT IT LOOKS LIKE.
AND AS WE GO THROUGH THIS PROCESS, WE CAN ALWAYS REFINE, YOU KNOW, WHAT DID YOU MEAN PINK? OR DID YOU MEAN FUSIA? YOU KNOW, AS WE GO THROUGH THIS PROCESS.
SO WHAT I WANT TODAY IS KIND OF START WITH Y'ALL AND ASK YOU THE QUESTIONS AS FAR AS THE PICTURE SUCCESS FOR THE, FOR THIS COMMISSION.
UH, I KNOW THERE ARE SOME NEW MEMBERS.
AND WHAT I WANNA BE ABLE TO DO IS TAKE THIS OPPORTUNITY TO KIND OF LEVEL, SET THAT AND LOOK AT THAT.
UM, WE, THIS IS KIND OF SOME ASKING SOME QUESTIONS SO WE CAN MOVE FORWARD.
'CAUSE THE, ULTIMATELY WHAT WE WANNA DO IS CREATE A WORK PLAN THAT ADDRESSES, UH, THE MISSION OF THIS, OF THIS, UH, COMMISSION.
MAKE SURE THAT WE CAN WORK TOGETHER AS A PARTNER TO MAKE THIS HAPPEN.
SO WE'LL TALK ABOUT OBJECTIVES, WE'LL TALK ABOUT THE CHARTER, AND THEN WE'LL TALK ABOUT NEXT STEPS.
AGAIN, THIS IS GONNA BE MORE, IT SEEMS VERY SIMPLE, BUT IT'S REALLY KIND OF, IT'S GONNA BE SOME GIVE AND TAKE BECAUSE WE, WE HAVE SOME QUESTIONS THAT WE WANT TO UNDERSTAND IT.
THIS IS NOT THE END OF THE DISCUSSION.
'CAUSE I KNOW EACH ONE OF YOU ARE HERE 'CAUSE YOU WANT TO, YOU WANT TO HELP US DO OUR JOB AS A CITY TO MAKE SURE THAT WE CAN DELIVER ON THESE PROMISES THAT, THAT WE'VE BEEN GIVEN IN THIS OPPORTUNITY.
SO JUST WANT TO TALK TO YOU ABOUT SOME OF
[01:15:01]
THOSE IDEAS THAT YOU HAVE.UH, SO LIKE I SAID, OBJECTIVES, UNDERSTAND THE MISSION.
WE'LL DO, UH, WE'LL TALK ABOUT UNDERSTANDING WHAT'S REQUIRED TO INFORM YOU INTO MONITOR BONDS, AND THEN UNDERSTAND WHAT ARE THE NEXT STEPS AND ACTIONS.
SO WE'LL TAKE A MOMENT AND, UH, LET YOU READ THAT.
SORRY, MY EYES ARE GETTING OLD.
YOU USED TO BE ABLE TO READ THIS, READ THE SCREEN.
UP IN FRONT OF YOU IS THE CHARTER, AND WE'VE HIGHLIGHTED SOME WORDS THAT WE WANT TO KIND OF LOOK AT.
'CAUSE AGAIN, WE WANNA MAKE SURE WE'RE, YOU KNOW, AS KIM GAVE YOU TERMS AT THE BEGINNING OF OUR PRESENTATION, I, PART OF THIS IS WHAT, AND WHAT, UH, THE CHAIR TALKED ABOUT EARLIER IS TRYING TO MAKE SURE WE FEEL COMFORTABLE WHAT, WHAT WE'RE TALKING ABOUT HERE.
UM, THE WAY THAT WE SEE, AND THIS IS THE ORDINANCE, IS IF YOU LOOK AT PART B, IT SAYS MONITOR AND REVIEW.
AND THEN THE OTHER PARTS IS ADVISE COUNSEL ON PROPO, UH, PROPOSED BONDS AND IMPLEMENTATIONS OF PROJECTS APPROVED.
NOW, I'LL TAKE A MOMENT HERE AND YOU KNOW, JUST MAKE SURE WE FEEL COMFORTABLE WITH WHAT THAT SAYS AND UNDERSTANDING, BECAUSE I, I WANNA MAKE SURE WE'RE CLEAR ON THAT.
AND, UH, CHAIR, I'LL, I'LL ASK YOU IF YOU WANT TO ARTICULATE ANY, ANY ON THIS OR YOUR EXPECTATIONS.
NO, UM, I, I THINK I HAVE QUESTIONS ABOUT THE WORDING OF THE ORDINANCE IN COMPARISON TO PRACTICE.
UM, AND I'LL FOCUS FIRST OF ALL ON SHALL ADVISE THE COUNCIL ON PROPOSED BONDS.
UM, I THINK IT HAS BEEN THE PRACTICE OF COUNSEL TO APPOINT, UH, A DIFFERENT SET OF PEOPLE, UM, THAT ACTUALLY MAKE A RECOMMENDATION ON, UM, WHAT GOES INTO A BOND ELECTION.
AND I, I HAVE A QUESTION AS TO WHAT THE ROLE OF THE BOND OVERSIGHT COMMISSION IS AND WHAT THE ROLE OF THE, UH, I THINK THAT'S THE BOND ADVISORY COMMITTEE OR SOMETHING LIKE THAT.
I BELIEVE IT'S THE BOND BOND EXECUTIVE ADVISORY TASK FORCE.
AND, UH, BUT THE ROLES OF THE TWO ARE, UM, AND WHETHER THAT'S HOW THAT, HOW THAT IMPACTS EFFECTIVENESS AND EFFICIENCY.
SO WHAT I'LL TAKE ON THAT GOING FORWARD AS PART OF US AS STAFF IS LISTENING AND THEN MAKING A RECOMMENDATION, UH, WE'RE IN THE PROCESS.
UH, OUR DEPARTMENT'S BEEN GIVEN THE OPPORTUNITY TO LOOK AT HOW WE DESIGN THE NEXT BOND IMPLEMENTATION PROCESS.
SO THAT'LL BE ONE OF THE QUESTIONS WE'LL ASK AS FAR AS THAT.
'CAUSE OBVIOUSLY, YOU KNOW, IT, IT WOULD SEEM THAT THEY'RE, UH, THE SAME MISSION GIVEN TO TWO DIFFERENT GROUPS.
I DO THINK IT'S, I DO THINK WHAT IT IS I THINK WE CAN DO IS I THINK IT NEEDS TO BE INCORPORATED AND SEQUENCED IN THERE.
I THINK YOU HAVE A VOICE IN THAT.
UM, UH, I WILL BE COMING BACK AFTER BRIEF TO C M O WHAT OUR PROCESS WOULD LOOK LIKE FOR A 26 BOND OR 2026 OR ANY BOND PROCESS GOING FORWARD.
AND IN THAT I'LL HIGHLIGHT WHERE WE S SEE OR MAKE A RECOMMENDATION OF HOW, 'CAUSE I DO THINK IT'S IMPORTANT YOU HAVE A VOICE.
'CAUSE OBVIOUSLY YOU'RE GONNA BE, THE SECOND PART OF THIS IS THE MONITORING AND REVIEWING IS BEING ABLE TO MAKE SURE THAT YOU UNDERSTAND WHAT'S BEING PRESENTED AND HAVE A VOICE IN HOW WE LOOK AT PUTTING THIS TOGETHER.
I, I DIDN'T, NO, I DIDN'T EXPECT THAT TO BE A RES RESOLVED ON THE SPOT QUESTION, BUT SINCE YOU ASK IF THERE WERE ANY ISSUES, THAT'S WHAT WE'LL LOOK AT.
BUT, UM, I'M SORRY, I DIDN'T MEAN TO BE SO QUICK WITH MY ANSWER.
NO, THAT THAT'S, WE, WE, WE'VE BEEN LOOKING AT THAT ALREADY.
THAT'S THE THING IS WE STARTED LOOKING AT, BECAUSE AS I MENTIONED BEFORE, I KIND ALLUDED THAT WE'RE LOOKING AT IT POSSIBLY 2026 BOND, CHANGING THE WAY WE DID IT BEFORE, LOOKING AT DIFFERENT THINGS.
SO WHEN WE COME TO IT, WE CAN, LIKE YOU SAID BEFORE, IS WHEN WE SAY ON TIME ON BUDGET AND WHAT THE SCOPE IS, WE ARE VERY COMFORTABLE AS A GROUP OF WHAT THAT IS SO WE CAN MOVE FORWARD AND ACTUALLY DELIVER.
SO UNFORTUNATELY WE'VE BEEN SPENDING THE LAST FOUR OR FIVE MONTHS LOOKING AT CERTAIN THINGS, AND THAT WAS ONE OF THE DIRECTIVES THAT'S BEEN GIVEN, IS CAN WE LOOK AT HOW WE DO BOND DEVELOPMENT SO WE CAN BE SUCCESSFUL IN THE EXECUTION.
SO MAYBE I'M LEANING A LITTLE BIT FORWARD, I APOLOGIZE ON THAT, BUT, YOU KNOW, I, THAT'S SOMETHING WE'RE ALREADY IN CONSIDERATION OF, BUT WE WILL ADD THAT IN TO ASK THAT QUESTION SPECIFICALLY.
'CAUSE I DO THINK IT BEGS THE QUESTION OF HOW'S, HOW'S THIS WORK TOGETHER, IF I MAY? YES, MA'AM.
UM, UH, TWO OBSERVATIONS, UM, ON THE MONITORING, I REALLY APPRECIATE
[01:20:01]
THE PRESENTATIONS THAT THE JUNIOR AND YOUR TEAM, UM, HAVE SHARED WITH US.UM, AND PERHAPS, UM, I NEED A LITTLE MORE TRAINING TO KNOW HOW I CAN KIND OF FIND THIS INFORMATION ON MY OWN.
UM, YOU KNOW, KIND OF THE SELF-SERVICE DASHBOARD SOMEWHERE WHERE I CAN, UH, GO BACK AND REFER TO IT.
UM, SO THAT AS I DO MY WORK IN IN THE COMMUNITY, I CAN GO BACK AND, AND, AND, AND SEE WHAT, WHAT'S BEEN, UH, ALREADY DISCUSSED.
MAYBE A, A, UH, A DASHBOARD THAT'S, UH, COMMUNITY BASING THAT'S EASIER TO, TO READ AND MONITOR.
SO THEN, UM, ALONG WITH THAT, YOU KNOW, THE CITY SEEMS TO PACKAGE THESE BONDS, YOU KNOW, KIND OF FROM A MARKETING PERSPECTIVE OF LET'S DO A PARKS BOND, LET'S DO A HOUSING BOND, LET'S DO A THIS BOND.
UM, BUT TO YOUR POINT, A LOT OF THESE ACTIVITIES INTERSECT WITH TRANSPORTATION AND WITH OTHER INFRASTRUCTURE AND, AND, UH, SO I GUESS MAYBE WE NEED TO KIND OF, UH, PULL BACK THE ONION A LITTLE BIT AND, UM, DECIDE HOW TO, UH, NOT NECESSARILY JUST PRIORITIZE THE BONDS, BUT HELP THE PUBLIC UNDERSTAND THAT WHEN WE SAY WE WANNA DO THE ROAD IMPROVEMENTS, FOR EXAMPLE, AND, AND BURY THE LINES THAT THEN WE'RE TALKING SIDEWALKS AND ROADS AND WATER AND A WHOLE BUNCH OF OTHER THINGS.
SO SOMEHOW WORK ON THE, THE MARKETING AND THE PACKAGING OF THE BONDS TO BE A LITTLE MORE, UM, UH, THOROUGH SO THAT THE PUBLIC UNDERSTANDS THAT, THAT WE'RE NOT JUST BUYING ONE PIECE, BUT WE'RE ALSO BUYING A LOT OF, OF, UH, OTHER IMPROVEMENTS THAT MAKE THAT ONE PIECE POSSIBLE.
I, I APPRECIATE THE SUGGESTION.
UH, THERE IS A DASHBOARD OUT THERE, BUT WE'LL LOOK AT HOW WE CAN BEST COMMUNICATE IT BETTER AND SHOW IT OUT.
ALSO, SOME OF THE THINGS IS WHERE CAN WE FIND IT OR GET IT OUT TO WHERE IT'S MORE EASILY FOUND.
UH, BUT I, I APPRECIATE YOUR OTHER, AGAIN, THE APPROACH THAT WE'RE LOOKING AT IS, WE ARE HOPING THAT IN THE, IN THE NEXT BOND WHEN WE COME TO YOU IS I'LL SAY MORE, UH, COMPREHEND, YOU KNOW, FIRST OF ALL IT'LL BE A COMPREHENSIVE BOND, WHICH WE'VE HAD, YOU KNOW, 16 AND, AND 20 WE'RE SPECIFICALLY MOBILITY FOCUSED.
SO I BELIEVE THAT MY, THE EXPECTATION I'M HEARING IS THAT 2026 WILL BE MORE COMPREHENSIVE, HAVE PARKS, LIBRARIES AND SUCH, AND THERE, BUT WHEN WE CAN, WHAT WE'LL DO AS FAR AS THE BOND DEVELOPMENT, I, I HEAR YOU LOUD AND CLEAR.
WE'LL MAKE SURE I COMMUNICATE IS IF SOMETHING IS A MORE COMPREHENSIVE PROJECT, SAYING THAT IT'S NOT JUST A ROAD PROJECT, BUT, BUT OTHER THINGS ARE BEING DONE WITH THAT SO THAT YOU CAN UNDERSTAND ALL THAT'S INVOLVED AS FAR AS WHAT THAT PROJECT'S GONNA AFFECT AND WHAT THE OUTCOME IS.
A GOOD EXAMPLE OF THAT, JUST FROM AN HISTORICAL PERSPECTIVE, FROM THE CON, THE CURRENT CONVENTION CENTER WAS BUILT AS A BOND ISSUE.
THERE WERE THEN A LOT OF RELATED COST INVOLVED IN STREET CHANGES AND OTHER INFRASTRUCTURE CHANGES, UH, THAT WEREN'T A PART OF THE CONVENTION CENTER PER SE, BUT TO, TO THE POINT THAT COMMISSIONER WAS MAKING, UH, YOU KNOW, UNDERSTANDING WHAT, SO THERE WAS A BIG PUBLIC ARGUMENT ABOUT WHETHER THE BOND BOND, UM, APPROVED BONDS HAD BEEN, UM, EXCEEDED WHEN YOU ADDED IN ALL THE OTHER AUXILIARY COSTS BECAUSE THEY HAD, IT HADN'T BEEN PRESENTED AS A PACKAGE AT THE TIME.
AND WE'LL TAKE THAT IN CONSIDERATION WHEN WE COME BACK TO, BECAUSE SOMETIMES IT MIGHT NOT, NOT, MIGHT BE IN THAT, EXCUSE ME, SPECIFIC SCOPE, BUT THERE MIGHT BE A TANGENTIAL PART TO IT.
UM, I GUESS ONE OF MY QUESTIONS IS GONNA BE, AND IT'S GONNA BE SOMETHING THAT'S NOT HIGHLIGHTED, BUT IT'S, UH, REGARDING HOW WE ARE GONNA BE MEASURING EQUITY OF THIS.
'CAUSE I KNOW YOU, YOU KNOW, YOU HAVE SEVERAL BONDS AND MAKE SURE THAT IT'S EQUITABLE TO PEOPLE AROUND, BUT ALSO, YOU KNOW, THERE IS ANOTHER DIMENSION TO IT.
WHEREAS LIKE, WHAT IF IT'S ONLY ONE? YOU KNOW, WHAT IF ONE AREA IS MOSTLY BENEFITING FOR SEVERAL BONDS THAT EACH IN THEIR OWN HAVE SMALL, YOU KNOW, GIVE SMALL, UH, OFFSETS TO OTHER AREAS IN THE COMMUNITY.
BUT THEN ULTIMATELY THERE ARE AREAS OF THE COMMUNITY THAT GET UNDERSERVED.
SO HOW DO WE MEASURE, HOW DO WE KEEP TRACK THAT, YOU KNOW, WHAT WE'RE DOING IN GENERAL IS EQUITABLE TO THE COMMUNITY AS A WHOLE? THAT'LL BE IN CONSIDERATION WHEN WE BRING THE NEXT ONE FORWARD.
[01:25:01]
LOOKING AT A PRIORITIZATION MATRIX TO MAKE SURE THAT WE INCLUDE CERTAIN THINGS BEFORE WHAT HAS HAPPENED.IS IT JUST BEEN ABOUT THE ASSET WE'RE TRYING TO SAY IS ASK THE OTHER QUESTIONS IS ONE IS JUST NOT THE INDIVIDUAL ASSET.
IS THERE A WAY TO COMBINE MULTIPLE PROJECTS TOGETHER TO MAKE IT ONE, THEN LOOK AT COUNCIL PRIORITIES, EQUITY ISSUES AND STUFF LIKE THAT.
SO THEN WHEN WE COME TO YOU, WE'LL SAY, THIS IS WHAT'S ALL BEEN CONSIDERED INSTEAD OF JUST BEING A ONE, YOU KNOW, ONE POINT CONSIDERATION.
'CAUSE IT IS IMPORTANT, WE HAVE A LOT OF CHALLENGES AND OPPORTUNITIES IN THE CITY THAT WE NEED TO MAKE SURE THAT WE CAN INCORPORATE THAT INTO THE CAPITAL PROGRAM.
SOME OF THE, TO ADDRESS ANOTHER, SOME OF THE METRICS THAT WE TALKED ABOUT EARLIER WERE DEVELOPED BEFORE WE WENT TO A A 10 MEMBER DISTRICT, UH, COUNCIL SYSTEM.
AND SO I, I'M NOT AWARE OF HOW THOSE METRICS HAVE BEEN CHANGED, BUT TO, TO ADDRESS THAT ISSUE OF HOW THINGS ARE DIVIDED UP, YOU KNOW, GEOGRAPHICALLY BY DISTRICT, HOW INVESTMENTS ARE DIVIDED UP GEOGRAPHICALLY BY DISTRICTS.
BUT THAT'S THE REALITY OF, OF TODAY AND THAT, SO I'M ASSUMING THAT THAT INFORMATION IS AVAILABLE, WE'LL WORK ON THAT AND PROVIDE THAT.
IT, THERE'S A LOT OF GOOD WORK THAT HAS BEEN DONE PRIOR TO THIS, ESPECIALLY IN SOME OF THE PRIORITIZATION WHEN WE LOOKED AT THE CORRIDORS AND STUFF LIKE THAT.
SO WE'RE GONNA TAKE THOSE MILES, BUT WE'LL, WE'LL VET THOSE THROUGH.
'CAUSE WE WANNA MAKE SURE THAT WE, LIKE I SAID, WE LOOK AT THIS IN MULTIPLE PERSPECTIVES AND NOT JUST SINGULAR SO THAT WE CAN PROVIDE THE MOST, UH, COMPLETE BOND PACKAGES AND PROJECTS AND ALSO MAKE SURE THE EQUITY AND AND DISTRIBUTION IS WHERE, AND WE'LL MAKE RECOMMENDATIONS TO COUNCIL BASED OFF WHAT COUNCIL GIVES US AS GUIDANCE OFF OF THAT, WE'LL, WE'LL MOVE FORWARD.
BUT YES, THAT'LL BE ONE OF THE CONSIDERS.
LIKE YOU SAID, THINGS HAVE CHANGED, UH, FROM, UH, WHERE WE'RE AT LARGE TO NOW WE HAVE DISTRICTS AND TRYING TO LOOK AT, AT THE LAST COUPLE OF BOND PROJECTS WE'VE BEEN WORKING AT THAT.
BUT WE'LL CONTINUE THAT PROCESS AND, AND MAKE SURE THAT WE, WE HAVE THAT TOP OF MIND ED.
SO REAL QUICK, UH, FIRST OF ALL, I'M GONNA APOLOGIZE BECAUSE I HAVE TO LEAVE IN JUST A SECOND.
UM, SO I HATE TO BE THE ONE THAT SAYS SOMETHING THEN WALKS OUT THE ROOM, DON'T MIND DO IT.
UM, A ON THAT OBLIGATION LIST IS, AND YOU ALLUDED TO THIS, IT'S ENSURE EQUITY, UH, TIMELINESS.
AND I WANNA MAKE SURE WE DON'T, AND AS PART OF OUR ROLE, WE DON'T LOSE SIGHT OF THAT.
THE MONITOR TO ME IS A LITTLE DIFFERENT CONCEPT AND A LITTLE DIFFERENT VERB THAN INSURE.
AND I THINK THAT'S PART OF WHAT WE WERE TALKING ABOUT TODAY IS WHAT DO WE NEED TO DO TO HELP CHANGE PROCESSES, NOT JUST MONITOR PROCESSES WHEN APPROPRIATE.
SO AS WE KIND OF FIGURE OUT THE ROLE, I THINK AN IMPORTANT PART WILL BE MAKING SURE WE PICK UP A THERE, EVEN THOUGH I FULLY RECOGNIZE WE HAVE NO ACTUAL POWER, WE JUST HAVE THE POWER OF SAYING THIS IS, YOU KNOW, WE'VE LOOKED AT THIS, THIS IS WHAT'S IMPORTANT AND THERE'S SOME IMPLICIT POWER THERE.
SO, WELL, I LOOK FORWARD TO THE DISCUSSION.
UM, 'CAUSE AGAIN, I'M EXCITED TO LISTEN TO Y'ALL LEARN FROM YOU AND FIGURE OUT HOW WE TOGETHER CAN WORK TOGETHER TO MAKE THIS HAPPEN.
SO APPRECIATE IT AND APPRECIATE YOUR TIME.
THE OTHER PART OF THAT, UH, D IS APPROVED IN BOND ELECTIONS AND AS WE DISCUSSED IN DURING THE PRESENTATION AT SOME POINT IN TIME, PUBLIC SAFETY FACILITIES.
AND IT SOUNDS LIKE NOW INCREASINGLY OTHER FACILITIES ARE BEING TAKEN OUT OF THE BOND ELECTION CATEGORY.
SO, UM, THAT HAS A IMPACT ON, UM, YOU KNOW, WHAT IS THE, WHAT IS THE VOTER APPROVED AND WHAT IS THE NON-VOTER APPROVED AND HOW DO YOU SORT, WHAT GOES INTO WHICH BUCKET? AND AS ONE BUCKET GROWS, UH, THAT'S ANOTHER, IT'S ANOTHER PART OF, UH, THE WAY THE ORDINANCE WAS OR ORIGINALLY WRITTEN THAT MAYBE RAISES SOME QUESTIONS.
OKAY, WELL WE'LL TAKE THAT INTO CONSIDERATION.
HAVE A GREAT PARTNER THERE AND KIM AND HER TEAM MM-HMM.
OBVIOUSLY THIS IS SPECIFICALLY, YOU KNOW, I CONSIDER THIS AS VOTER IMPROVED BONDS, BUT I CAN GET BACK WITH HER TO FIND WHAT IT IS.
'CAUSE AGAIN, YOU KNOW, WELCOME THE IDEAS, SEE HOW WE CAN INCORPORATE SO THAT WE CAN MAKE SURE WE'RE EFFECTIVE AND EFFICIENT.
ANYTHING ELSE? CHAIRMAN? UM, I WAS JUST NOTIFIED THAT WE ONLY HAVE FIVE MEMBERS RIGHT NOW WITH THE DEPARTURE WE JUST HAD, SO WE DROPPED DOWN BELOW OUR QUORUM.
IS THAT THREE? WELL WE STILL GOT IT.
IS SANTIAGO ON OR DID HE DROP OFF? I BELIEVE HE DROPPED OFF.
THERE ARE FIVE MEMBERS PRESENT.
SO YOU'VE GIVEN US A LOT TO CONSIDER TODAY AND YOU KNOW, THIS IS NOT A, YOU KNOW, FINITE DISCUSSION
[01:30:01]
SAYING WE'RE DONE.PART OF WHAT YOU ASKED US TO DO WAS TO KIND OF BROACH THE SUBJECT, PUT IT OUT THERE.
WHAT I'D LIKE TO DO IS MAYBE IF WE CAN CONFIRM WHAT'S, WHAT YOUR EXPECTATION IS FOR THE NEXT MEETING.
DO WE CONTINUE THIS DISCUSSION WITH YOU? YOU KNOW, SO WE CAN SET THAT UP AND THEN, YOU KNOW, AGAIN, I RECOMMENDATION WOULD BE HOPEFULLY BY THE END OF NEXT MEETING WE CAN CONFIRM A WORK PLAN FOR THE YEAR.
THIS WAS TO KINDA GET YOU ALL THINKING ABOUT CERTAIN THINGS THAT YOU POSSIBLY WANNA SEE AND LOOKING AT THIS AND THEN COME BACK AND THEN MAYBE WE CAN DISCUSS THAT AND WE CAN, UH, PUT TOGETHER A DRAFT WORK PLAN SO WE CAN MOVE FORWARD.
WE CAN'T MAKE A DECISION AS A COMMISSION WITHOUT A QUORUM.
BUT, UH, MY INTENT AS CHAIR IS TO INCLUDE IN THE NEXT AGENDA, UH, CONTINUATION OF THIS DISCUSSION.
AND, UM, IN LIGHT OF THE INFORMATION THAT'S BEEN, THAT WAS PRESENTED TO AUDIT AND FINANCE, UM, THERE WERE SEVERAL THINGS THAT WE HAD SCHEDULED TO DO, UM, PRESENTATIONS BY DEPARTMENTS.
CLEARLY THE PRESENTATIONS THAT WE HAVE RECEIVED FROM DEPARTMENTS AND REALITY ARE NOT ON THE SAME PAGE.
AND I DON'T SEE THE POINT IN OR INTEND TO CONTINUE WITH THOSE PRESENTATIONS UNTIL WE FINISH THIS DISCUSSION AND UNTIL WE FIGURE OUT HOW BEST WE CAN MONITOR THE PROGRESS ON THE CAPITAL PROGRAM.
IN SUMMARY, THOSE PRESENTATIONS HAVE ALL SAID, WE'RE GONNA BE FINISHED ON TIME.
WE'RE GONNA BE FINISHED AS ORIGINALLY SCHEDULED.
AND CLEARLY THE PRESENTATION THAT WE RECEIVED TODAY AND AUDIT AND FINANCE RECEIVED IN APRIL SAID THAT IS NOT THE CASE.
SO THERE'S A DIS AND I, YOU KNOW, I KNOW THAT YOU HAVEN'T SEEN THOSE PRESENTATIONS WE GOT PREVIOUSLY, BUT, UM, I DON'T THINK THAT IT'S PRODUCTIVE TO CONTINUE GETTING THOSE PRESENTATIONS UNTIL WE HAVE A BETTER CONCEPT OF, YOU KNOW, WHAT OUR MISSION IS AND HOW BEST WE CAN MONITOR AND WHAT INFORMATION WE, I MEAN, I'M SURE DEPARTMENTS WILL PROVIDE US WITH THE INFORMATION THAT WE ASK FOR, AND IT'S UP TO US TO FIGURE OUT WHAT WE NEED TO ASK FOR.
AND SO THAT'S WHAT I, THAT'S HOW I'LL STRUCTURE THE AGENDA FOR THE NEXT MEETING.
I THINK, UH, HAVING THIS MORE HOLISTIC VIEW TODAY HAS BEEN VERY HELPFUL.
I'M SORRY, I THINK HAVING THE MORE HOLISTIC VIEW THAT WE GOT TODAY HAS BEEN VERY HELPFUL AND I FULLY SUPPORT CONTINUING THE DISCUSSION INSTEAD OF DOING IT JUST BY DEPARTMENTS.
I THINK THERE SHOULD BE SOME KIND OF, UH, PROCEDURE, SOME KIND OF GUIDELINES THAT WE FOLLOW, WE DEVELOPMENT PROCESS TO GET TO WHERE WE, I KNOW AND, AND I CAN, YOU KNOW, UH, INDIVIDUALLY I CAN TALK ABOUT MY OWN PER MY, THIS IS NOT MY FIRST TIME AT THIS PARTICULAR BALL GAME,
I ALSO, WE ALSO HAD A PROBLEM WITH, UH, THE CAPITAL IMPROVEMENT PROGRAM THAT I WAS, THAT, UH, THAT WAS ONE OF MY RESPONSIBILITIES.
AND SO I BEEN THERE AND DONE THAT.
THAT'S, THAT'S THE FIRST TIME I'VE SEEN IT.
IF YOU, IF IF, WHICH ONE, WHICH ONES IN HERE ARE THE ONES THAT ARE STOLEN OUT? THE, THE, IF YOU REMEMBER THERE WAS A POINT AT WHICH WE ACTUALLY ASK FOR THAT.
CAN YOU TAKE ALL OF THOSE PROJECTIONS AND ADD THEM ALL TOGETHER SO THAT WE HAVE AN OVERALL VIEW? AND THAT'S SOMETHING THAT I DON'T THINK THAT WE EVER REALLY GOT.
DO WE HAVE TO ADJOURN THE MEETING? WILL WE LACK A QUORUM OR DOES THE MEETING JUST ADJOURN ITSELF? BECAUSE YOU NO LONGER HAVE A QUORUM.
THE MEETING ADJOURNS AS SOON AS THERE'S LESS THAN SIX PEOPLE.
SO, SO AS OF THREE 30 QUORUM HAS ENDED, WE JUST WANNA GIVE YOU THE OPPORTUNITY TO CLOSING THOUGHTS SO THAT WE CAN LOOK, SO WE CAN PLAN FORWARD FOR THE NEXT MEETING.
THANK YOU VERY MUCH ALL OF YOU.
I HOPE THAT WE, I REALLY WOULD AM HOPING TO ENCOURAGE PEOPLE TO ATTEND
[01:35:01]
IN PERSON NEXT TIME AS WELL BECAUSE I THINK IT MAKES FOR A MUCH BETTER, UM, DISCUSSION, PARTICULARLY WHEN WE'RE TRYING TO GET TO WHAT ARE WE DOING HERE AND WHAT ARE WE TRYING TO ACCOMPLISH.