[CALL TO ORDER]
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GOOD MORNING.MY NAME IS ALISON ALTER AND I'M CHAIR OF THE AUDIT AND FINANCE COMMITTEE.
I'M JOINED TODAY ON THE DAAS BY VICE CHAIR POOL AND COUNCIL MEMBER RYAN ALTER.
UH, I KNOW THAT COUNCIL MEMBER FUENTES IS, UM, ON CITY BUSINESS ELSEWHERE.
UM, THIS MORNING WE HAVE A A LOT ON OUR AGENDA AND WE ARE GONNA BOUNCE AROUND A LITTLE BIT TO ACCOMMODATE SCHEDULES.
SO, UM, PLEASE BEAR WITH ME AND GIVE ME A SHOUT OUT IF WE, IF WE MISS SOMETHING IMPORTANT ALONG THE WAY.
UM, OUR PLAN IS TO BREAK, UH, AT 10 OR JUST BEFORE 10, DEPENDING ON WHERE WE ARE IN ITEMS TO GO INTO EXECUTIVE SESSION TO COVER THE CYBER ITEMS. WE WILL TAKE OTHER ITEMS AS MUCH AS WE CAN UP, UP UNTIL THAT POINT.
UM, BUT WE DO WANNA MAKE SURE THAT WE HAVE THE TIME THAT WE NEED, UM, FOR THE CYBER RELATED AUDIT AND, UH, RESOLUTION REPORTS.
UM, WE'RE GONNA BEGIN, UM, AND I GUESS I SHOULD SAY IT WAS 9 33.
[Public Communication: General]
WE ARE GOING TO BEGIN WITH, UH, PUBLIC COMMUNICATION AND WE HAVE ONE SPEAKER THIS MORNING.UM, STEVEN APODACA, YOU'LL HAVE THREE MINUTES.
WELCOME, GOOD MORNING CHAIR AND MEMBERS OF THE AUDIT AND FINANCE COMMITTEE.
MY NAME IS STEVEN, AKA I SERVE AS CHAIR OF THE COMMUNITY TECHNOLOGY AND TELECOMMUNICATIONS COMMISSION.
I'M HERE IN SUPPORT OF A FC 0 0 3.
THE PROPOSED VISIONS OF THE COMMISSION'S BYLAWS.
UH, THE BYLAW UPDATES WERE CRAFTED IN CLOSE PARTNERSHIP WITH CITY STAFF AND TELECOMMUNICATIONS AND REGULATORY AFFAIRS, TARA, WHO SERVE AS OUR CONTACT POINTS AND LIAISONS, AS WELL AS THE CLERK'S OFFICE TO ENSURE THAT WE'RE FULLY ALIGNED WITH ANY CITY POLICIES AND PROCEDURAL REQUIREMENTS.
SO, I'M PLEASED TO SHARE THAT EVERY MEMBER OF OUR COMMISSION VOTED IN FAVOR OF THESE RESOLUTION OF THESE REVISIONS AT OUR OCTOBER MEETING, REFLECTING OUR SHARED COMMITMENT TO STREAMLINED ADOPTION OF THESE UPDATES.
TO MY KNOWLEDGE, THIS IS THE FIRST TIME ANY BY THESE BYLAWS HAVE BEEN MODIFIED SINCE THE COM OUR COMMISSION'S INCEPTION AS TECHNOLOGIES EVOLVED.
SO, AS SCOPE OF OUR WORK, THE PROPOSED UPDATES ARE NOT AN EXPANSION OF OUR MANDATE, BUT RATHER ALEC A REFLECTION OF WHAT WE'RE CURRENTLY ACTIVELY DOING IN SUPPORT OF AUSTIN'S TECHNOLOGY AND COM TELECOMMUNICATIONS GOALS.
IN OTHER WORDS, THESE CHANGES FORMALIZE OUR CURRENT STATE OF OUR COMMISSION'S ROLE AND RESPONSIBILITIES, ENSURING OUR BYLAWS ACCURATELY REFLECT OUR ONGOING WORK WITHIN THE CITY.
ONE EXAMPLE OF THIS ALIGNMENT IS THE ADDITION OF LANGUAGE EMPHASIZING OUR COMMITMENT TO DIGITAL EQUITY.
THE COMMISSION IS LONG FOCUSED ON MAKING INTERNET ACCESS FAIR, AFFORDABLE, AND ACCESSIBLE TO ALL RESIDENTS, A PRIORITY THAT IS NOW MORE CLEARLY ARTICULATED IN THE REVISED BYLAWS.
ANOTHER KEY UPDATE IS THE INCLUSION OF EMERGING TECHNOLOGIES LIKE ARTIFICIAL INTELLIGENCE, WHERE WE'RE ALREADY ENGAGED IN DISCUSSIONS AND EFFORTS TO HELP US TO NAVIGATE THE OPPORTUNITIES AND CHALLENGES THESE TECH, THESE TECHNOLOGIES PRESENT.
ADDITIONALLY, THE REVISED BYLAWS SIMPLIFY OUR NAME TO TECHNOLOGY COMMISSION.
THIS CHANGE MAKES OUR IDENT IDENTITY MORE APPROACHABLE, SIGNALING THAT OUR WORK ENCOMPASSES A WIDE ARRAY OF TECHNOLOGY ISSUES THAT IMPACT EVERYDAY AUSTINITES FROM BROADBAND ACCESS, LEADING PRACTICES AROUND EMERGING TECHNOLOGIES TO DIGITAL SKILLS AND TRAINING.
ANOTHER FORMALIZATION OF THE REVISIONS IS OUR SUPPORT FOR THE GRANT FOR TECHNOLOGY AND OPPORTUNITIES PROGRAM, OTHERWISE KNOWN AS GT OS, WHICH WE'RE CURRENTLY, WE ARE ALREADY ACTIVELY INVOLVED IN.
THE UPDATED BYLAWS OUTLINE OUR CURRENT PRACTICE OF SELECTING VOLUNTEER REVIEWERS AND ADVISING ON FINAL AWARD ALLOCATIONS, WHICH HELP EXTEND TECHNOLOGY ACCESS AND RESOURCES ACROSS OUR COMMUNITY.
BECAUSE THESE UPDATES MERELY CODIFY OUR EXISTING WORK, WE ANTICIPATE NO PROCEDURAL CHANGES WITHIN THE CITY AS A RESULT COMMISSION PARTNERS.
BUT WE'RE FULLY AWARE WE CANNOT DIRECT THE STAFF'S WORK, AND IT'S SIMPLY A STEP TOWARDS ENSURING THAT THE COMMISSION'S BYLAWS REFLECT THE ACTUAL WORK WE'RE DOING TODAY AND THE WAY WE'RE ALREADY SERVING OUR COMMUNITY.
SO WE APPRECIATE YOUR SUPPORT IN, UH, ADVANCE THESE BYLAW UPDATES, WHICH WILL HELP US CONTINUE PROVIDING MEANINGFUL AND EFFECTIVE SERVICE TO CITY COUNCIL AND AUSTIN'S RESIDENTS.
AND WE APPRECIATE YOUR SERVICE LEADING THE COMMISSION, AND WE'LL TAKE THE THOSE ITEMS UP SHORTLY.
ANY OTHER PUBLIC SPEAKERS? NOPE.
UM, SO, UM, WHAT WE'RE GONNA DO IS WE'LL, WE'LL TAKE UP, UM, THE ITEMS THAT WE HAVE, UM, IN ORDER NOW UNTIL WE HIT ABOUT THAT 10 O'CLOCK TIME, AND WE'LL SEE WHERE WE'RE AT, UM, IF WE NEED TO ADJUST AT ANY POINT IN TIME.
[1. Approve the minutes of the Audit and Finance Committee meeting of October 9, 2024.]
ENTERTAIN A MOTION TO APPROVE THE MINUTES AUDIT AND FINANCE COMMITTEE MEETING FROM OCTOBER 9TH, MOVE BY COUNCIL MEMBER RYAN AL ALTER, SECONDED BY VICE CHAIR POOL.UM, WITH NO OBJECTIONS, WE'LL ADOPT AND APPROVE THE MINUTES.
[2. The re-appointment of Dr. Kelly Crook to the City of Austin Employees Retirement System board.]
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ITEM, UM, RELATES TO THE CITY OF AUSTIN EMPLOYEES RETIREMENT SYSTEM BOARD.UM, DIANA THOMAS, DID YOU WANNA PRESENT THIS ITEM, PLEASE? GOOD MORNING.
COMMITTEE MEMBERS, DIANA THOMAS.
UH, I HAVE BEFORE YOU AN ITEM TO REAPPOINT DR. KELLY CROOK TO THE CITY OF AUSTIN EMPLOYEES RETIREMENT SYSTEM.
CROOK'S TERM ENDS IN DECEMBER, AND SHE HAS BEEN AN ACTIVE MEMBER OF THE BOARD OF TRUSTEES AND WOULD LIKE TO CONTINUE.
HAPPY TO ANSWER ANY QUESTIONS.
HAPPY TO MAKE THE MOTION TO APPROVE THE CONTINUATION OF DR.
CROOK ON KOHLER'S BOARD, SECONDED BY COUNCIL MEMBER RYAN ALTER, UM, WITH NO OBJECTIONS, WE WILL FORWARD THAT, UH, REAPPOINTMENT TO THE FULL COUNSEL AS APPROVED BY THOUGHT AND FINANCE COMMITTEE.
AND, UM, THANK YOU TO, UH, COUNCIL MEMBER POOLE FOR HER SERVICE OVER THESE MANY YEARS ON THE EMPLOYEE RETIREMENT SYSTEM BOARD HERSELF.
[3. Community Development Commission and Community Technology and Telecommunications Commission proposed bylaws amendments.]
IS THE COMMUNITY DEVELOPMENT COMMISSION AND COMMUNITY TECHNOLOGY AND TELECOMMUNICATIONS COMMISSION PROPOSED BYLAWS.STEPHANIE HALL, ASSISTANT CITY CLERK.
I'M HERE TO PRESENT TWO BYLAW AMENDMENTS FROM TWO DIFFERENT COMMISSIONS TODAY.
THE REDLINE VERSIONS ARE IN BACKUP FOR REFERENCE, AND THERE'S ALSO A SPREADSHEET THAT KIND OF DETAILS THEM.
SO I'M JUST GONNA BRIEFLY GO OVER THEM.
IF YOU HAVE ANY QUESTIONS, PLEASE LET ME KNOW.
THE COMMUNITY DEVELOPMENT COMMISSION HAS AMENDED PARTS OF THE ARTICLE THREE REGARDING MEMBERSHIP.
UH, THEY HAVE REMOVED THE REFERENCE TO ORGANIZATIONS.
THIS IS, UH, TO ALIGN WITH SOME LEGAL REQUIREMENTS AS WELL AS TO KIND OF MAKE THE PROCESS MORE EFFICIENT FOR SELECTING MEMBERS OF THE RELATED NEIGHBORHOODS.
THE CITY CLERK'S OFFICE HAS NO ISSUE WITH THESE AMENDMENTS, BUT WE WOULD DEFER TO THE STAFF DEPARTMENT, WHICH I DO BELIEVE IS HERE IF YOU HAVE ANY QUESTIONS OR NEED ANY ADDITIONAL CLARIFICATION.
AND THEN THE COMMUNITY TECHNOLOGY AND TELECOMMUNICATIONS COMMISSION HAS AMENDED THEIR BYLAWS AS CHAIR OUTLINED MUCH BETTER THAN I POSSIBLY COULD.
THEY DO HAVE SOME SUBSTANTIAL CHANGES, UH, AS IN CHANGING THEIR NAME AND CHANGING SOME OF THEIR PURPOSES AND FUNCTIONS AS THE CHAIR REFERENCED, THE CLERK'S OFFICE, AGAIN, HAS NO ISSUES WITH THIS, BUT SINCE THEY ARE SUBSTANTIAL, WE WOULD JUST DEFER TO THE STAFFING DEPARTMENTS IF THERE'S ANY IMPLICATIONS ON THERE.
AND THEN JUST A NOTE FOR BOTH OF THESE AMENDMENTS, FOR BOTH COMMISSIONS, IT WOULD REQUIRE AN ORDINANCE BECAUSE IT DOES IMPACT THEIR OUTLINES IN CITY CODE.
SO IF THE RECOMMENDATIONS MOVE FORWARD, WE WOULD ALSO BRING FORWARD ORDINANCES TO AMEND THOSE RELATED SECTIONS OF CODE.
AND I DO BELIEVE STAFF IS HERE IF YOU HAVE ANY QUESTIONS ON EITHER OF THOSE COMMISSIONS OR WOULD LIKE TO HEAR FROM THEM.
ARE THERE ANY STAFF YOU WANT TO, UM, SPEAK TO THIS ITEM? HUAN, GOOD MORNING.
I'M A PROGRAM MANAGER FOR COMMUNITY TECHNOLOGY AT ECONOMIC DEVELOPMENT, AND WE ARE THE LIAISONS TO THE COMMUNITY TECHNOLOGY COMMISSION.
UH, WE DO NOT HAVE ANY OBJECTIONS TO THE CHANGES, HOWEVER, WE WOULD LIKE TO HAVE TWO POINTS OF CLARIFICATION ON THE RECORD, IF THAT'S POSSIBLE.
UM, FOR ONE ARTICLE ONE ON SECOND PAGE, UH, IT NUMBER THREE, UH, BELOW THAT IT SAYS, THE COMMISSION SHALL SUPPORT THE GRANT FOR TECHNOLOGY OPPORTUNITIES.
GRANT GT OS IN THE FOLLOWING WAYS.
NUMBER TWO, UNDER THAT SAYS, APPOINT COMMISSION MEMBERS TO SERVE AS NON-VOTING, UH, CHAIRS.
THAT SHOULD BE CHAIR, THAT'S A TYPO THERE.
WE WANNA MAKE SURE, UH, THAT, THAT'S CLEAR.
AND NUMBER THREE, APPOINT COMMISSION MEMBERS TO SERVE AS VOTING REVIEW PANEL MEMBERS AS NEEDED.
HISTORICALLY, THERE HAVE BEEN NO MORE THAN TWO COMMISSIONS AS VOTING MEMBERS ON THE PANEL BECAUSE WE WANNA MAKE SURE THAT THE COMMUNITY HAS AN OPPORTUNITY TO SERVE ON THE PANEL.
AND, UM, WE'VE REVIEWED THESE WITH THE CHAIR AND THERE IS AGREEMENT ON IT, AND ALL CHANGES CURRENTLY REFLECT THE CURRENT PRACTICES.
SO THANK YOU THAT THOSE ARE THE TWO ITEMS. THANK YOU.
UM, ARE THERE OTHER POINTS? LET, MAYBE LET'S TAKE ONE OF THE GO AHEAD.
GOOD MORNING COUNCIL MEMBERS, DONNA STER WITH AUSTIN PUBLIC HEALTH, AND IT'S A DIFFERENT COMMISSION ON THE COMMUNITY DEVELOPMENT COMMISSION, BUT WE SUPPORT THE AMENDMENTS.
AND ALSO, UM, IT HAS BEEN VOTED IN SUPPORT AT THE COMMUNITY DEVELOPMENT COMMISSION BY THE COMMISSION MEMBERS AS WELL.
UM, SO I THINK WE NEED TO TAKE THESE UP SEPARATELY, I BELIEVE, TO MOVE THEM FORWARD, OR CAN WE DO IT IN ONE? YOU CAN DO THEM TOGETHER, ESPECIALLY IF YOU'RE MOVING FORWARD WITH BOTH
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OF THEM.SO I'LL ENTERTAIN A MOTION TO MOVE THESE FORWARD, MAKING SURE THAT THE TYPOS THAT WERE MENTIONED BY MS. HARMON ARE ADDRESSED FOR THE COMMUNITY TECHNOLOGY COMMISSION.
MOVED BY VICE CHAIR POOL, SECONDED BY RYAN ALTER, UM, WITH NO OBJECTIONS.
WE WILL APPROVE THESE TO MOVE ON TO COUNSEL WITH THE APPROPRIATE ORDINANCES AS REQUIRED.
SO I'M GUESSING THAT MAY TAKE A MEETING OR TWO TO, TO GET TO US.
AND THANK YOU, UM, FOR ANYONE WHO'S SERVING ON THOSE COMMISSIONS, WHO'S STILL IN THE ROOM AS WELL.
[4. Approval of the 2025 Audit and Finance Committee meeting dates.]
MOVE FORWARD WITH SETTINGS AND MEETING DATES FOR THE AUDIT AND FINANCE COMMITTEE MEETING.UM, AUDITOR WILL SPEAK TO THAT.
SO YOU HAVE, UH, SHOULD HAVE IN THE BACKUP A LIST OF POTENTIAL DATES.
UM, THESE ARE VERY TENTATIVE, OBVIOUSLY.
UM, SEVERAL OF YOU WILL NOT BE ON THE COMMITTEE NEXT TIME.
UM, BUT WE WANTED TO GET SOME DATES RESERVED AND ROOMS RESERVED SO THAT WE HAD KIND OF PLACEHOLDERS ON THE CALENDAR.
SO WE USED THE, THE APPROVED COUNCIL CALENDAR FOR 2025 TO COME UP WITH THESE DATES.
UM, OBVIOUSLY WE'LL ADJUST THEM AS NEEDED, BUT STARTING MEETINGS, UH, IN FEBRUARY AND, UM, YEAH, MOVE MEETING THROUGHOUT 2025 WITH A COUPLE OF BLANK MEETING DATES JUST FOR BREAKS AND OR, UM, TRYING TO MERGE MEETINGS.
UM, MR. ALTER, DID YOU HAVE ANY CONCERNS ABOUT THESE DATES AT THIS POINT?
UM, SO VICE CHAIR POOL MOVES APPROVAL SECONDED BY COUNCIL MEMBER RYAN ALTER, WITH NO OBJECTIONS.
WE WILL APPROVE, UM, THAT PROPOSED CALENDAR.
UM, I WILL JUST NOTE FOR FOLKS WITH NO MEETING IN JANUARY, OUR DECEMBER MEETING IS GOING TO BE PACKED.
UM, SO PLEASE BE PREPARED, UM, FOR THAT AND, AND BE IN ATTENDANCE.
AND I BELIEVE THAT'S ON DECEMBER 11TH, IS THAT CORRECT? YES, THAT SOUNDS RIGHT.
WE'LL BE SAD TO DO IT WITHOUT Y'ALL.
YOU'LL HAVE TO READ THROUGH IT.
UM, SO WE NOW, UM, HAVE ABOUT 15 MINUTES AND, UM, I'M GONNA GO AHEAD
[6. Update on resolution relating to the Austin Fire Department’s overtime costs]
AND WE'RE GONNA, UM, POSTPONE ITEM SIX, UM, TO THE NEXT MEETING, WHICH IS THE FIRE DEPARTMENT'S OVERTIME COSTS.UM, AND AT THIS POINT, I DON'T KNOW IF THE AUDITOR, WE CAN GO WITH ITEM FIVE, THE EMPLOYEE REIMBURSEMENT AUDIT, OR WE, OR WE CAN GO AHEAD WITH THE SMALL BUSINESS LOCAL PREFERENCE PROGRAM.
DO YOU HAVE A, SINCE I THINK YOUR STAFF NEED TO BE HERE.
YEAH, YOUR STAFF'S GONNA BE HERE EITHER WAY.
SO, IF, UM, MR. SCARBOROUGH WOULD LIKE TO
[7. Update on Program Enhancements Pilot for Local and Small Business Procurement Programs.]
GO AHEAD WITH THE UPDATE ON THE PROGRAM ENHANCEMENTS FOR THE LOCAL AND SMALL BUSINESS PROCUREMENT PROGRAM, WE'LL LET YOU DO THAT.SO YOU DON'T NEED TO WAIT AROUND.
GOOD MORNING COMMITTEE CHAIR ALTER, UH, MEMBERS OF THE COMMITTEE.
UH, JAMES SCARBOROUGH FINANCIAL SERVICES DEPARTMENT.
I AM YOUR CHIEF PROCUREMENT OFFICER.
I AM RETURNING TO DO A QUICK, UH, UPDATE REGARDING THE ENHANCEMENTS THAT WE MADE LAST YEAR TO THE CITY'S, UH, LOCAL BUSINESS AND SMALL BUSINESS PROCUREMENT PROGRAMS. SO, AS YOU MAY RECALL, AND, AND THERE'LL BE A NUMBER OF CONTENTS IN THIS PRESENTATION THAT YOU'VE SEEN BEFORE, SO I WON'T, UH, SPEND TOO MUCH TIME, UM, UH, REHASHING WHAT, UH, HAS ALREADY BEEN PRESENTED PREVIOUSLY.
BUT, UM, IN, UM, 20, UM, 19 AND 2020, UH, THE CITY CONDUCTED ITS MOST RECENT DISPARITY STUDY IN SUPPORT OF THE, UH, THE CITY'S MINORITY AND WOMEN OWNED BUSINESS ENTERPRISE PROGRAM.
THE RESULTS OF THAT, UH, DISPARITY STUDY, UM, UH, SHOWED THAT THE, UH, THE CITY'S, UM, PERFORMANCE, UM, IN DOING BUSINESS WITH WOMEN AND MINORITY OWNED COMPANIES HAD IMPROVED TO A, A, UH, AN EXTENT TO WHERE, UM, SOME CHANGES TO THE PROGRAM WERE MERITED.
UM, AS A RESULT OF THOSE CHANGES, UM, COUNCIL EXPRESSED INTEREST IN ENHANCING OTHER PROCUREMENT PROGRAMS TO POSSIBLY OFFSET ANY, UM, REDUCTION IN THE, UH, IN THE, IN ANY GOALS OR ANY OTHER ELEMENTS OF THE MWBE PROGRAM.
THAT IS WHEN WE BRING, BROUGHT FORWARD THE FINANCIAL SERVICES DEPARTMENT, BROUGHT FORWARD, UH, SOME, UH, RECOMMENDATIONS TO, UH, MAKE CHANGES TO OUR LOCAL AND SMALL BUSINESS PROGRAM, UM, IN PURSUIT OF, UH, COUNCIL'S REQUESTS.
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THOSE, UM, UH, ENHANCEMENTS, WE HAD, UH, SEVERAL MEETINGS WITH, UH, STAKEHOLDERS AND MEMBERS OF THE BUSINESS, UH, COMMUNITY.WE'VE ALSO PRESENTED, UH, UM, MULTIPLE TIMES TO THE AUDIT AND FINANCE COMMITTEE, AS WELL AS PRESENTING TO THE BUSINESS COMMUNITY MOST RECENTLY, UH, IN THE, UH, SMALL BUSINESS CONFERENCE THIS PAST SEPTEMBER.
THE RESULT OF THE, UH, FEEDBACK, UM, WAS VERY POSITIVE.
UM, UH, PREDOMINANTLY THERE WAS AN INTEREST THAT, UM, ANY CHANGES THAT WE MAKE TO THE EXISTING PROGRAMS DID NOT NEGATIVELY IMPACT THE MWBE PROGRAM.
UM, THERE WAS A, UH, PREFERENCE THAT WE MAINTAIN THE, UH, SBA SMALL BUSINESS SIZE STANDARD WHEN WE RECOGNIZE CERTIFICATIONS OF, UH, OTHER ENTITIES, UM, AND THAT WE, UH, DEFINE, UH, A COMPANY AS BEING LOCAL BASED ON THEIR HEADQUARTERS ONLY, BUT THAT THE AREA FOR THE LOCAL, LOCAL PRESENCE BE EXPANDED TO, UH, TO A LARGER AREA TO, TO GREATER AUSTIN SPECIFICALLY, THERE WAS ALSO AN INTEREST IN MAINTAINING THE PROGRAMS BEING SEPARATE SO THAT, UM, ONE COULD WORK, UM, UH, AND A ANOTHER WOULD WORK, BUT, BUT THEY WOULD COMPOUND IN THEIR BENEFIT IF BOTH PROGRAMS APPLIED.
THERE WAS ALSO AN INTEREST, UH, TO INCLUDE SUBCONTRACTORS, IF POSSIBLE, AND, UM, ENCOURAGEMENT TO, UH, EXPLORE FUTURE ENHANCEMENTS AS THESE PROGRAMS CONTINUE TO MATURE.
UM, SOME CONCERNS INCLUDED, UM, THE POSSIBILITY THAT PROGRAMS ENHANCEMENTS MAY NOT IMPACT ALL GROUPS EQUALLY.
AND, UM, WITH REGARD TO THE INCLUSION OF PROFESSIONAL SERVICES, UM, UH, SPECIFICALLY PROFESSIONAL SERVICES ASSOCIATED WITH CONSTRUCTION AS NOT BEING APPLICABLE TO THESE ENHANCEMENTS.
SO THE PROGRAMS, UM, HAVE BEEN ENHANCED NOW FOR ONE YEAR, AND WE DO HAVE ONE YEAR'S WORTH OF DATA REGARDING THESE ENHANCEMENTS FOR THE LOCAL BUSINESS PROGRAM.
THE, UM, UM, PRIOR DEFINITION WAS LIMITED TO THE AUSTIN FULL PURPOSE JURISDICTION ONLY.
NOW, UH, FOR THE LAST YEAR, IT HAS BEEN GREATER AUSTIN OR FIVE COUNTY MSA.
AGAIN, WE, UH, LIMITED THE DEFINITION OF LOCAL FROM, UH, HEADQUARTERS OR BRANCH OFFICE TO NOW JUST HEADQUARTERS.
UM, WE ARE, UM, CONTINUING TO PROVIDE THE SAME, UH, PREFERENCES, UM, UH, IN, IN INCENTIVES IN THE SOLICITATIONS FROM THREE TO 10%, DEPENDING ON THE TYPE OF CONTRACT THAT WE'RE SOLICITING FOR.
UM, PREVIOUSLY SUBCONTRACTORS, UM, UH, AND THE INCLUSION OF SUBCONTRACTORS, UM, WERE INCLUDED FOR THE PURPOSES OF THIS ENHANCEMENT.
SINCE WE EXPANDED TO THE FIVE COUNTY MSA, WE DID NOT INCLUDE SUBCONTRACTORS, UM, FOR THE LAST YEAR OF THE ENHANCED, UM, PROGRAM.
UH, EXCLUDED HAVE CONTINUED TO BE, UH, CONSTRUCTION OVER A HUNDRED THOUSAND AND PROFESSIONAL SERVICES, ALL FOR THE SMALL BUSINESS PROGRAM.
UH, THE ENHANCEMENTS, UM, UM, PREVIOUSLY WE, UM, HAD NO, UH, PREFERENCE PROVIDED AT THE, UM, FORMAL THRESHOLD.
SO ANYTHING OVER $50,000, THERE WAS NO, UM, SMALL BUSINESS PROGRAM.
WE APPLIED IT AT THE INFORMAL PROGRAM ONLY.
GOING FORWARD FOR THE LAST YEAR, WE HAVE RECOGNIZED CERTIFICATIONS THAT INCLUDE THE SMALL BUSINESS SIZE STANDARDS, THAT INCLUDES CITY OF AUSTIN CERTIFICATIONS, STATE OF TEXAS, HISTORICALLY UNDERUTILIZED BUSINESS CERTIFICATIONS AND FEDERAL GOVERNMENT SBA CERTIFICATIONS.
WE ARE EXTENDING TO THOSE COMPANIES, UH, THE SAME PREFERENCES THAT WE PROVIDE TO LOCAL COMPANIES.
SO IF YOU ARE LOCAL AND SMALL, YOU GET THE BENEFIT OF BOTH PREFERENCES.
WE ARE ALSO NOT INCLUDING SUBCONTRACTORS FOR THE TIME BEING, AND THE PROGRAM ENHANCEMENTS ARE NOT SUBJECT TO CONSTRUCTION OVER A HUNDRED THOUSAND OR PROFESSIONAL SERVICES.
SO, AS YOU CAN SEE HERE, FOR OUR PRIMARY SOLICITATION METHODS, THE INVITATION FOR BIDS AND THE REQUEST FOR PROPOSALS IN THE CATEGORIES THAT WE'VE DEFINED HERE, FROM 50 TO A HUNDRED THOUSAND, A HUNDRED THOUSAND TO 500,000 AND 500,000 TO 50 MILLION, YOU CAN SEE WHERE THE LOCAL DISCOUNTS AND POINTS INCENTIVES ARE IDENTIFIED.
THESE SMALL DISCOUNTS AND POINTS INCENTIVES ARE IDENTIFIED AND TOGETHER THE IMPACT TO THE COMPETITION IF BOTH LOCAL AND SMALL CHARACTERISTICS ARE IDENTIFIED.
SO WHAT DID THAT RESULT? WE INITIATED A TWO YEAR PILOT TO LOOK AT THE ENHANCEMENTS TO MAKE SURE THAT THEY WERE WORKING TO MAKE ADJUSTMENTS WHERE NECESSARY.
BEFORE WE BRING TO COUNCIL RECOMMENDATIONS FOR LONGER TERM POLICY.
SO FAR, WITH THE ENHANCED LOCAL AND SMALL PREFERENCES, THE CITY CONDUCTED 115 SOLICITATIONS.
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RECEIVED 443 RESPONSES.OF THOSE 443 RESPONSES, 124 OR ABOUT 28% WERE FROM LOCAL OFFERS.
54 OR ABOUT 12% WERE FOR SMALL OFFERS.
THE RESULT OF THOSE SOLICITATIONS WERE 149 CONTRACTS, ABOUT 40% OR 58 WERE TO LOCAL COMPANIES, AND 17 OR 11% WERE TO SMALL COMPANIES.
OVERALL, THE ENHANCEMENTS TO THESE PROGRAMS TO CHANGED THE OUTCOMES OF THE SOLICITATION FOUR TIMES OR 3.4%.
SO SOME TAKEAWAYS, SOLICITATION PARTICIPATION DID NOT NEGATIVELY SUFFER AS A RESULT OF THESE CHANGES.
IN FACT, WE HAD A SLIGHT IMPROVEMENT IN PARTICIPATION FROM 3.7 TO 3.9.
OFFERS PER SOLICITATION, ALSO SOLICITATION COMPETITIVENESS, UM, RECOGNIZED NO MAJOR IMPACTS.
AGAIN, ONLY 3.5% OF THE SOLICITATION OUTCOMES WERE ACTUALLY CHANGED.
WHAT WE RECOGNIZED WAS THE, THE BENEFIT WAS THE HIGHER, UM, PARTICIPATION AND THEREFORE HIGHER OUTCOME OF, OF LOCAL AND SMALL PARTICIPANTS, PARTICULARLY FROM THE LOCAL OFFERS.
LOCAL PARTICIPATION WAS MEANINGFUL AT 28%.
THEIR OUTCOMES WERE SIGNIFICANT AT 40% OF THE RESULTING CONTRACTS.
SMALL PARTICIPATION WAS LIMITED, BUT THEIR OUTCOMES WERE PROPORTIONATE.
THEY MADE UP 12% OF THE OVERALL RESPONSES AND 11% OF THE RESULTING CONTRACTS.
SO FROM THE FIRST YEAR OF THESE ENHANCEMENTS, UM, WE RECOMMEND, UM, UM, CONTINUING, UM, WITH THE, UH, ENHANCEMENTS, UM, IN PART AND MAKING A FEW ADJUSTMENTS FOR THE SECOND YEAR, SECOND AND FINAL YEAR OF THE, UH, OF THE PILOT CONTINUE THE LOCAL PROGRAM AS IS AT ROUGHLY A THIRD OF OUR, OF OUR TOTAL OFFERS.
AND, UM, UH, OVER 40% OF THE RESULTING CONTRACTS.
WE FEEL THAT THAT PROGRAM IS PERFORMING AS WE CONTINUE, UH, TO EXPAND OUR OUTREACH.
WE FEEL LIKE THOSE NUMBERS WILL MAINTAIN, IF NOT IMPROVE FURTHER, WE DO RECOMMEND, UM, UH, MAKING SOME ADJUSTMENTS TO THE SMALL PROGRAM, UM, TO ENHANCE, UH, IT FURTHER, UH, ADD ADDING ADDITIONAL CERTIFICATIONS, UH, TO THE CITY CERTIFICATION STATE AND FEDERAL.
WE WOULD, UH, ALSO LOOK AT, UM, RECOGNIZING REGIONAL CERTIFYING AUTHORITIES.
UH, THERE ARE TWO, UH, PREDOMINANT, UH, UH, SUCH ASSOCIATIONS LOCATED IN NORTH TEXAS AND IN SOUTH TEXAS.
UM, WE'RE ALSO LOOKING AT, UH, THE CERTIFICATION, UM, UH, UH, ORGANIZATIONS THAT ARE MAINTAINED BY OTHER LOCAL GOVERNMENTS.
UH, SPECIFICALLY WE ARE, ARE LOOKING AT, UM, CITY OF HOUSTON.
UM, WE ARE ALSO, UM, RECOMMENDING THAT WE DECOUPLE THE, UM, APPLICATION OF THE SMALL BUSINESS, UH, PREFERENCE, UM, FROM THE LOCAL BUSINESS PREFERENCE WHEN THE LOCAL PROGRAM IS NOT ALLOWED, AS YOU RECALL FROM PREVIOUS PRESENTATIONS.
UM, THERE ARE MORE LEGAL CONSTRAINTS ON WHEN WE CAN AND CANNOT APPLY THE LOCAL PROGRAM.
INITIALLY, WE RECOMMENDED THAT WE APPLY THE LOCAL AND SMALL AT THE SAME TIME SO THAT THAT ONE PROGRAM WOULD NOT BE BE PREFERRED OVER OVER THE OTHER.
BASED ON OUR FIRST YEAR OF DATA.
HOWEVER, WE SEE THAT THE LOCAL PROGRAM IS PERFORMING MORE STRONGLY THAN THE SMALL PROGRAM.
SO WE WOULD RECOMMEND TO OFFSET THAT BY, UM, APPLYING THE SMALL PROGRAM MORE BROADLY, UH, INCLUDING, UM, UH, IN INSTANCES WHEN THE LOCAL PROGRAM WOULD NOT OTHERWISE BE ALLOWABLE.
WE ARE ARE ALSO EXAMINING THE INCLUSION OF SUBCONTRACTORS IN PREFERENCE, UM, UH, SMALL BUSINESS SUBCONTRACTORS WHEN NO MBE AND WBE GOALS, UM, APPLY.
THAT WOULD BE, UM, ROUGHLY THE MAJORITY OF OUR GENERAL PROCUREMENT SOLICITATIONS.
UM, WHEN THERE ARE NO MB AND WB GOALS, THERE WOULD BE NO, UM, NEGATIVE INCENTIVES TO CHOOSE, UM, NON-CITY CERTIFIED FIRMS OVER CITY CERTIFIED FIRMS. SO, UM, WE ARE LOOKING AT, UM, UH, THE POSSIBILITY OF ADDING SUBCONTRACTOR PREFERENCE TO THE SMALL BUSINESS PROGRAM.
WE JUST HAVE TO DETERMINE, UM, THE, THE, THE SHAPE OF, OF THAT INCLUSION TO MAKE SURE THAT, UM, WE PROVIDE PROPER INCENTIVES, UM, BUT WE DON'T INCENTIVIZE, UM, UH, OFFERS IN A WAY THAT WILL BE CONTRARY TO A COMPETITOR PROCESS.
WE ALSO WOULD, UM, UH, RECOMMEND FURTHER EXPANDING OUR OUTREACH ON, ON BOTH PROGRAMS. SO OVERALL COUNCIL MEMBERS, UH, IN A NUTSHELL, THE PROGRAMS ARE WORKING.
UH, WE ARE STILL GATHERING BASELINE DATA.
WE BELIEVE THAT A COUPLE OF SMALL ADJUSTMENTS ON THE SMALL BUSINESS PROGRAM ARE MERITED.
OTHERWISE, UH, WE LOOK FORWARD TO CHECKING BACK WITH THE, UH, COMMITTEE IN ANOTHER
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SIX MONTHS TO LET YOU KNOW HOW THE BACK END OF THE, UH, PILOT IS PERFORMING AND, UM, PREPARATIONS FOR MAKING SOME, UH, FORMAL RECOMMENDATIONS FOR, UH, POLICY CHANGES WITH REGARD TO BOTH PROGRAMS. WITH THAT, DO YOU HAVE ANY OTHER QUESTIONS I'LL BE GLAD TO ANSWER THEM AT, AT THIS TIME? THANK YOU.COUNCIL MEMBER RYAN ALTER, I JUST HAVE ONE.
WHEN WE LOOKED AT THIS WHENEVER IT WAS LAST TIME, UM, WE HAD SOME DISCUSSION ABOUT SOME OF OUR REGIONAL GOVERNMENTAL ENTITIES AND SEEING IF, IF THEY MIGHT ALSO, UM, EITHER PIGGYBACK ON OUR EFFORTS OR JUST DO SOMETHING IN THIS REGARD.
I'M CURIOUS, HAVE THOSE CONVERSATIONS OCCURRED OR, OR WHERE ARE WE IN THAT? YEAH.
COUNCIL MEMBER, THAT'S, THAT'S CORRECT BECAUSE, UH, PARTICULARLY THE LOCAL, UH, PROGRAM, UM, IDENTIFIES A, UM, UH, A GEOPOLITICAL AREA THAT INCLUDES OTHER GOVERNMENTS, UM, BY OTHER GOVERNMENTS RECOGNIZING A PROGRAM OR SOMETHING, UH, SUBSTANTIALLY LIKE IT.
UM, WE BELIEVE THAT OUR PROGRAM WOULD BENEFIT FROM THAT.
WE, UM, MADE, UH, UM, UH, OVERTURES TO OUR COLLEAGUES IN THE, UH, OTHER PROCUREMENT ORGANIZATIONS WITHIN THE, UH, UH, FIVE COUNTY MSA.
BUT WE'VE HAD, UH, UH, INTEREST AND WE ARE FOLLOWING UP WITH THOSE, WITH THOSE DISCUSSIONS ALSO BECAUSE WE ARE, UM, RECOGNIZING THE CERTIFICATIONS, UM, PROVIDED BY OTHER ENTITIES LIKE THE STATE OF TEXAS, FEDERAL, UM, AND NOW WE'RE LOOKING AT REGIONAL CERTIFYING ORGANIZATIONS.
THE MORE THAT WE, UM, INCLUDE CERTIFICATIONS, UM, IN ADDITION TO CITY CERTIFICATIONS, THE MORE LIKELY THAT THESE OTHER ENTITIES WOULD BE INTERESTED IN, UM, EITHER SHARING OR ADOPTING A VERY SIMILAR VERSION OF THE CITY'S PROGRAM, AGAIN, TO OUR BENEFIT AND TO THEIR BENEFIT.
SO IN A NUTSHELL, WE ARE FOLLOWING UP WITH THESE OTHER, OTHER GOVERNMENTS WE HAVEN'T HAD, UM, TRACTION JUST YET.
I'VE APPRECIATED WORKING WITH YOU ON THIS, UM, INITIATIVE AND, AND I THINK IT'S, YOU KNOW, IMPORTANT TO DO THE PILOT PART FIRST AND GET IT RIGHT AND THEN, UM, MAKE IT A MORE PERMANENT PROGRAM.
SO I APPRECIATE, UM, THE CARE WITH WHICH YOU AND YOUR STAFF ARE APPROACHING COMMITTEE CHAIR ALTER.
THANK YOU FOR YOUR LEADERSHIP IN THIS REGARD.
IT'S BEEN A PLEASURE WORKING WITH YOU AS WELL.
AND, UH, WE LOOK FORWARD TO THE, THE PROGRAM ACHIEVING THE, UH, THE, UH, POLICY OBJECTIVES THAT YOU AND THE COMMITTEE HAVE SET FORTH FOR US.
[8. Executive Session]
NOW WHAT WE'RE GONNA DO IS WE'RE GONNA GO INTO OUR EXECUTIVE SESSION.WHEN WE COME OUT OF THE EXECUTIVE SESSION, WE'LL TAKE UP, UM, THE REMAINING ITEMS, WHICH ARE THE, UM, FUTURE ITEMS AND THE EMPLOYEE RE REIMBURSEMENT AUDIT.
UM, SO THE COMMITTEE WILL NOW GO INTO CLOSED SESSION TO TAKE UP ONE ITEM PURSUANT TO SECTIONS 5, 5, 1 0 7 6 AND 5 5 1 0 8 9 OF THE GOVERNMENT CODE.
THE COMMITTEE WILL DISCUSS SECURITY AUDIT MATTERS RELATED TO ITEM EIGHT, DISCUSS AN UPDATE ON CYBERSECURITY ITEMS, INCLUDING A PENETRATION TESTING AUDIT, PRIOR AUDIT RECOMMENDATIONS IN FISCAL YEAR 25, BUDGET ITEM 16 RELATED TO CONTRACT EFFICIENCIES.
IS THERE ANY OBJECTION TO GOING INTO EXECUTIVE SESSION ON THE ITEM ANNOUNCED? HEARING NONE, THE COMMITTEE WILL NOW GO INTO EXECUTIVE SESSION, SO IF YOU'RE PARTICIPATING IN THAT, PLEASE MEET US IN THE EXECUTIVE SESSION.
WE ARE OUT OF CLOSED SESSION AND CLOSED SESSION.
WE TOOK UP AND DISCUSSED SECURITY AUDIT MATTERS RELATED TO ITEM EIGHT.
DO YOU NEED ME TO REPEAT THAT FOR THE RECORD? UM, WE ARE OUT OF CLOSED SESSION AND CLOSED SESSION.
WE TOOK UP AND DISCUSSED SECURITY AUDIT MATTERS RELATED TO ITEM EIGHT.
[5. Employee reimbursements audit.]
TAKE UP, UM, THE AUDIT BRIEFING ON EMPLOYEE TRAVEL REIMBURSEMENT.UH, IN THIS AUDIT, WE LOOKED AT THE EMPLOYEE TRAVEL REIMBURSEMENT PROCESS AND LET'S SEE, UH, JUST AT, AT A HIGH LEVEL.
SO THAT PROCESS INVOLVES EMPLOYEES TRAVELING ON OFFICIAL CITY BUSINESS.
UH, THOSE EMPLOYEES CAN BE REIMBURSED FOR WORK-RELATED EXPENSES, AND THE CITY HAS A TRAVEL POLICY TO OUTLINE THOSE RULES.
OUR FIRST FINDING IS THAT THE CITY UPDATED ITS TRAVEL POLICY EARLIER THIS YEAR, REPLACING A POLICY FROM 2001.
WE IDENTIFIED TRAVEL POLICY BEST PRACTICES AND COMPARED THEM WITH THE CITY'S POLICIES.
THE NEW POLICY INCLUDES 90% OF THE BEST PRACTICES, WHICH IS A MARKED IMPROVEMENT FROM THE TWO 2001 POLICY.
HOWEVER, ONE OF THE MISSING BEST PRACTICES WAS TO REGULARLY ASSESS AND UPDATE THE POLICY TO ENSURE IT REMAINS CURRENT.
FOR OUR SECOND FINDING, WE LOOKED AT A SAMPLE OF TRAVEL REQUEST, BOTH ADVANCES AND REIMBURSEMENTS TO IDENTIFY
[00:30:01]
ANY COMPLIANCE ISSUES.WE DID NOT SEE ANY ISSUES WITH THE CITY'S TRAVEL ADVANCES FOR REIMBURSEMENT REQUESTS.
WE NOTED EMPLOYEES DID NOT CONSISTENTLY FILE THEM TIMELY, AND THOSE LATE REQUESTS WERE MORE LIKELY TO EXPERIENCE PROCESSING DELAYS.
UH, SPECIFIC TO THE REIMBURSEMENT, 60% OF OUR SAMPLED REQUESTS WERE NOT SUBMITTED TO FINANCIAL SERVICES ON TIME.
THESE LATE REQUESTS TOOK LONGER TO APPROVE, WHERE ONLY 37% WERE APPROVED WITHIN ESTABLISHED TIMEFRAMES.
BY CONTRAST, 67% OF REQUESTS SUBMITTED ON TIME WERE APPROVED WITHIN THE TIMEFRAMES.
THIS INDICATES THE LATE REQUESTS MAY HAVE HAD OTHER ISSUES THAT CREATED A TIME CONSUMING BACK AND FORTH.
UH, IN THAT APPROVAL PROCESS, THE MAIN PROBLEM AREAS WE SAW WERE DATE AND SIGNATURE ISSUES ON THE DOCUMENTATION.
UH, WE REACHED OUT TO DEPARTMENT STAFF TO FIND OUT WHY THERE WERE DELAYS.
UM, MOST OF THE RESPONSES FELL INTO, UH, ONE OF THESE THREE CATEGORIES SHOWN HERE, EMERGENCY DEPLOYMENTS, UH, SUCH AS FOR FIRE OR AE STAFF.
UH, FOR THE OTHER REASONS WE NOTED THE NEW POLICY HAS BEEN HELPFUL TO CLARIFY SOME OF THE ISSUES AND FINANCIAL SERVICES, UH, HAS PROVIDED TRAINING FOR TRAVEL STAFF AND THEY SET UP A TEAM'S CHANNEL, UH, REALLY TO, TO SHARE TRAVEL RELATED QUESTIONS AND ANSWERS AMONG ALL DEPARTMENTS.
AND SO THAT HAS HELPED AS WELL.
WE ISSUED TWO RECOMMENDATIONS TO ADDRESS THESE ISSUES, AND MANAGEMENT HAS AGREED, UH, THAT IS THE PRESENTATION.
IS THERE ANY KIND OF MANAGEMENT RESPONSE AT ALL POINT THAT THEY WANNA MAKE? YOU DON'T HAVE TO.
I JUST, IF YOU WANNA DO ONLY IF YOU HAVE QUESTIONS.
COLLEAGUES HAD ANY QUESTIONS? UM, THANK YOU.
I APPRECIATE, UM, THIS WORK AND I'M GLAD THAT THE NEW POLICY IS IN PLACE AND, UM, HOPE THAT IT ADDRESSES THE CHALLENGES THAT WE ARE EXPERIENCING.
[9. Identity items to be discussed at future meetings.]
SO THE LAST ITEM THAT WE HAVE, THANK YOU.UM, THE LAST ITEM WE HAVE ARE IDENTIFY ITEMS TO BE DISCUSSED AT FUTURE MEETINGS.
WE, WE HAVE QUITE A LIST OF ITEMS, UM, FOR NEXT MONTH AS WE DISCUSS TODAY, WE POSTPONE THE FIRE OVERTIME DISCUSSION.
THAT'LL BE ON THE, UM, DECEMBER AGENDA ALONG WITH TWO ITEMS FROM MY OFFICE.
ONE, UH, JUST AN UPDATE ON THE STATUS OF ALL OF OUR AUDIT RECOMMENDATIONS.
UM, AND THE OTHER IS OUR, UM, I GUESS BIANNUAL TWICE A YEAR UPDATE RELATED TO OUR INTEGRITY UNIT WORK.
UM, THEN WE ALSO, SORRY, MY, MY LIST DIED EARLIER, SO THAT'LL BE MY SECOND TIME.
UM, BUT WE ALSO HAVE UPDATES ON THE HUMAN CAPITAL MANAGEMENT SYSTEM, THE, UM, STRATEGIC, WHAT IS THAT CALLED, THE CITY'S STRATEGIC PLAN.
AND I'M SURE I'M MISSING, I KNOW THERE'S A BOARD COMMISSIONS ITEMS, THERE'S A LOT MISSED REGULATIONS.
AND I'M NOT SURE IF WE NEED TO DO THE MCS INTERVIEWS.
DO WE NEED TO DO, UM, THE MCSI BELIEVE MY, MY CONVERSATION WITH THE CLERK EARLIER TODAY IS JUST, UM, THERE AREN'T CURRENTLY APPLICANTS, SO IT'LL JUST DEPEND ON, ON WHETHER OR NOT APPLICANTS COME IN BEFORE THAT DATE.
SO, SO THE BOTTOM LINE IS THAT THAT IS RIGHT NOW A PACT MEETING.
BELIEVE WE'VE ASKED TO GO TO NOON ON THAT DAY, IS THAT CORRECT? POSSIBLE? UH, YEAH.
I BELIEVE WE HAVE, AND WE CAN, I, I KNOW WE HAVE THE SPACE RESERVED UNTIL NOON AND WE CAN CHECK AND MAKE SURE COUNCIL MEMBERS ARE AVAILABLE TILL NOON.
AND AGAIN, HOPEFULLY WE'LL GO QUICKLY AND, AND WE'LL SEE.
UM, WE'LL TALK TO THE COUNCIL MEMBERS THAT ARE CONTINUING ON THE COMMITTEE AND SEE WHAT THEY WANT TO HAVE PUSHOVER INTO THE NEW YEAR AND, AND WHAT NEEDS TO DEFINITELY BE ON THIS AGENDA, UM, THAT MAKES IT FORWARD.
UM, AND I KNOW THERE'S SOME OTHER, OTHER THINGS IN THE AIR AS WELL, SO, UM, DOES ANYONE HAVE ANYTHING THEY WANNA ADD FOR THE AGENDA OR, OR ANYTHING? OKAY.
UM, WITH THAT THEN WE WILL ADJOURN THIS MEETING AT 11:27 AM THANK YOU EVERYONE.