Aug 19, 2020 Audit and Finance Committee

UM, SO I'M NOW GOING TO MOVE TO WHAT IS ITEM FIVE ON OUR AGENDA? UM, IF THE CITY'S ATTORNEY CITY ATTORNEY'S OFFICE WOULD LIKE TO, UM, SHARE WITH US THE ANNUAL REPORT REGARDING ENFORCEMENT OF LOBBY REGULATIONS, THIS IS LYNN CARTER WITH THE CITY ATTORNEY'S OFFICE, UM, TO REPORT GIVE YOU THE ANNUAL REPORT ON THE LOBBYING REGULATIONS.

[5. City Attorney’s Annual Report regarding enforcement of Lobbyist Regulations, Chapter 4-8 of the City Code. (Law Department)]

UM, I PROVIDED NOT, IT'S NOT REALLY CRUCIAL, BUT I PROVIDED SOME BACKUP DOCUMENT.

I DON'T KNOW.

CTM CAN PUT THAT UP.

UM, YEAH, THIS ISN'T HI, THIS IS CTM.

YOU'RE LOOKING FOR A PDF.

YES.

THEN, UM, THEN THAT'S ACCEPTABLE.

COMING UP AND WHILE, AND WHILE WE'RE WAITING FOR THAT, I JUST WANT TO THAT, UH, MAYOR ADLER HAS JOINED US.

GOOD MORNING, STEVE.

SO, UM, THIS REPORT DATED AUGUST 17 OF 2020 IS FOR THE LAST TWO QUARTERS.

THE, BECAUSE OF THE PANDEMIC, THE, UH, DEADLINE FOR LOBBYISTS TO FILE FOR THE FIRST QUARTER OF 2020 WAS EXTENDED TO MAY 30TH OF 2020.

UM, SO MAINLY OVER THE PAST YEAR, LOBBYISTS APPEAR TO HAVE BEEN, UH, COMPLIANT WITH THEIR FILINGS, YOU KNOW, FROM THE, FROM WHAT WE CAN TELL, UM, THE TOTAL REGISTRANT'S HAS NOT CHANGED MUCH, UM, BETWEEN, UM, 101 TO 110 OVER THE PAST YEAR, WE'VE HAD BUSINESS ENTITY REGISTRANTS RANGE FROM 14 TO 17, THAT'S BEEN FAIRLY CONSISTENT.

UM, THE MOST RECENT QUARTERLY REPORT THAT WAS DUE JULY 10TH, WE HAD EIGHT LOBBYISTS THAT DID NOT FILE TIMELY.

AND I AM NOT SURE WHY THAT IS OTHER THAN THEY ASSUME SINCE THEY'VE FILED MAY 30TH, MAYBE THERE WAS ANOTHER EXTENDED DEADLINE, BUT, UM, ALL FILED BY JUNE 2ND.

SO AS SOON AS THEY, SHORTLY AFTER THEY WERE NOTIFIED, UM, THEY PROMPTLY FOLLOWED THEIR REPORTS, UM, ANNUAL REGISTRATION FEES.

UH, ONCE THE CITY ATTORNEY'S OFFICE GETS ELECTRONIC FILING ON TIME THAT THIS ANY ISSUE WITH LATE PAYMENT OF ANNUAL REGISTRATION FEE SHOULD BE RESOLVED BECAUSE LOBBYISTS WILL NOT BE ABLE TO FILE A REPORT WITHOUT PAYING ALL THESE DO.

BUT UNDER THE SYSTEM THAT WE CURRENTLY HAVE, UM, THE CITY CLERK'S OFFICE ALLOWS A LOBBYISTS TO PAY THE REGISTRATION FEE.

FOR EXAMPLE, IF IT'S DUE IN JANUARY, AS LONG AS THEY PAID IT BY MAY 30TH, WHEN THEIR REPORT WAS DUE,

[00:05:01]

SO WE HAD ONE LOBBYISTS THAT HAD NOT PAID REGISTRATION FEES AS A JANUARY.

THAT LOBBYIST IS WITH, UH, AN EMPLOYER.

UM, AND I LEARNED ON FRIDAY AFTER SENDING, UM, A NOTICE THAT BOUNCED BACK BY EMAIL CONTACTED THAT LOBBYIST BY LINKEDIN.

HE SAID, HE'S NO LONGER EMPLOYED WITH THAT EMPLOYER, BUT WILL ENSURE THAT THE EMPLOYER PAYS THE REGISTRATION FEE.

SO WE'LL CONTINUE TO FOLLOW UP ON THAT.

UM, WE ALSO HAD ONE LOBBYIST, UM, THAT DOES BROOKE'S OFFICE LEARNED AND DISCOVERED IT IN EARLY AUGUST THAT HE HAD NOT BEEN REPORTING CLIENT COMPENSATION.

HE HAS WAY HE FILLED IT OUT.

WAS I DECLINED, REFUSED TO REPORT.

MY COMPENSATION IS BELOW THE REQUIRED THRESHOLD.

AND THE WAY THE FORM APPEARS, IF YOU DON'T CLICK ON THE CATEGORIES, IT, IT SAYS, IF YOUR COMPENSATION IS 500,000 OR ABOVE, YOU HAVE TO DISCLOSE THE EXACT AMOUNT.

SO, UM, I ASSUME THE EXPLANATION IS THAT THERE WAS CONFUSION OVER THAT, BUT, UM, THERE WAS A PROMPT REPLY TO MY, UM, LETTER THAT THE AMENDED REPORTS WOULD BE FILED.

THOSE WERE FILED YESTERDAY.

UM, SO, UM, I'M ASSUMING THAT CLIENT COMPENSATION WAS THEN REPORTED.

UM, BUT IT'S NOT POSTED YET.

UM, JUST CHECK BEFORE THIS MEETING.

SO HOPEFULLY THAT ISSUE IS CORRECTED, BUT THE CITY ATTORNEY'S OFFICE WILL FOLLOW UP WITH THE AUDIT AND FINANCE COMMITTEE, IF THAT HAS NOT BEEN CORRECTED WITH THOSE, UM, THREE NEW QUARTERLY REPORT FILINGS.

UM, SO IF THEY'RE, UM, LATE FEES, THERE ARE NO OUTSTANDING LATE FEES AT THIS TIME.

UM, THAT IS PRETTY MUCH IT FOR, FOR THE ANNUAL REPORT.

IF THERE ARE ANY QUESTIONS, I'M HAPPY TO ANSWER QUESTIONS.

THANK YOU, MS. CARTER, DOES ANYONE HAVE ANY QUESTIONS SEEING AS THERE ARE NO QUESTIONS? UM, THANK YOU, MS. CARTER FOR THAT BRIEFING.

UM, WE DO NOT NEED TO TAKE ANY ACTION ON THAT.

ITEM IS MY UNDERSTANDING.

IT'S JUST, WE NEED TO HEAR THAT ON AN ANNUAL BASIS.

SO THANK YOU VERY MUCH MS. CARTER COUNCIL MEMBER POOL.

THANKS CHAIR.

I JUST GOT A NOTE THAT IT DOESN'T SEEM THAT OUR MEETING IS COMING OUT OF OUR ATX SEN, BUT MAYBE SOMEONE IN CTN CAN CHECK THAT OUT.

FALLS ARE AB GUYS.

I'M HAPPY TO LOOK INTO THAT IF YOU GIVE ME ONE MINUTE.

ABOUT, UM, THE ISSUES BEFORE US TODAY, THAT WE ACKNOWLEDGED THAT COUNCIL, UM, ANTICIPATED THAT THERE WERE CHALLENGES AND ASK THE AUDITOR TO TAKE A DEEPER DIVE INTO WHAT WAS GOING ON AT D CENTERS SO THAT WE WOULD HAVE, UM, A STRONGER BASE FROM WHICH WE COULD MAKE CHANGES, UM, OR, UM, MAKE ADJUSTMENTS.

THANK YOU, COUNCIL MEMBER POOL.

YEAH.

YOU BET.

I THINK IT'S ON ACX AND TO A POSSIBLE YES MA'AM SO I WILL PASS THAT, THAT CHANNEL INFO BACK OUT.

THANKS.

GREAT.

WELL, UM, THEN I THINK WE'RE GOING TO MOVE ON, UM, TO THE CULTURAL CENTERS, UM, BEFORE WE GET STARTED, UM, TALKING ABOUT THE CULTURAL CENTERS, MILLENNIUM YOUTH AND MEXICO CARD FE.

UM, I JUST WANTED TO REMIND FOLKS THAT, UM, THESE AUDIT REPORTS FOLLOWED A COUNCIL RESOLUTION PUT FORWARD BY MAYOR PRO TEM GARZA, UM, AND OTHER COLLEAGUES, AND WERE PASSED UNANIMOUSLY BY THE COUNCIL.

UM, SO THAT, YOU KNOW, AS WE THINK

[00:10:01]

SO COUNCIL HAD ALREADY IDENTIFIED A NEED FOR CHANGE, UM, WANTED MORE DETAILS TO BASE OUR FUTURE DIRECTION ON.

SO AS WE TAKE IN THE INFORMATION TODAY, I WOULD JUST ENCOURAGE US TO USE THIS AS AN OPPORTUNITY, UM, FOR A RESET, WHICH I THINK WAS THE INTENTION UNDERLYING, UM, THE RESOLUTION AND ASKING THE AUDITOR, UH, TO MOVE FORWARD WITH, WITH THE WORK AND USE THIS INFORMATION, UM, CONSTRUCTIVELY, UM, TO IMPROVE THE FUNCTIONS OF THESE VARIOUS CENTERS.

UM, SO WITH THAT, I WOULD INVITE, UM, THE AUDITOR

[2. Cultural Centers audit requested through Council Resolution No. 20190619-086. (City Auditor’s Office)]

TO BEGIN WITH ITEM NUMBER TWO, THE CULTURAL CENTERS OVERVIEW, PLEASE.

GREAT.

SO, UM, AS COUNCIL MEMBER ALTER CHAIR ALTER MENTIONED, UM, LAST YEAR YOU REQUESTED THROUGH RESOLUTION THAT WE LOOK AT, UM, VARIOUS CITY CULTURAL CENTERS TO DETERMINE IF THEY'RE OPERATING EFFECTIVELY AND SERVING THE COMMUNITY AS INTENDED.

SO WE REVIEWED SIX FACILITIES FOR THIS WORK, UM, AND OUR TEAM IS GOING TO GO THROUGH THOSE, UM, IN MORE DETAIL, BUT THESE INCLUDE, UM, THE FOUR CULTURAL CENTERS THAT ARE OWNED AND MANAGED BY THE CITY.

UM, THOSE ARE THREE MANAGED MY PART TO NAME THEM SPECIFICALLY, SORRY.

I THOUGHT I HAD THAT PIECE OF PAPER ON TOP, BUT, UM, THE ASIAN AMERICAN RESOURCE CENTER, THE, UH, EMMA ESPERANTO'S MEXICAN AMERICAN CULTURAL CENTER AT THE GEORGE WASHINGTON, CARVER MUSEUM, CULTURAL AND GENEALOGY.

I'M GOING TO SAY MORE WORDS NOW, THE AFRICAN AMERICAN CULTURAL AND HERITAGE FACILITY.

AND THEN, SO THOSE ARE ALL, UM, CITY OWNED AND OPERATED THE HERITAGE FACILITY.

THE LAST ONE I MENTIONED IS ACTUALLY, UM, OPERATED BY EDD THE ECONOMIC DEVELOPMENT DEPARTMENT.

UM, AND THEN WE ALSO INCLUDED TWO BASED ON THE RESOLUTION THAT ARE, UM, HAVE KIND OF A MORE COMPLEX STRUCTURE.

SO THE MILLENNIUM YOUTH ENTERTAINMENT COMPLEX, UM, AND MEXICO CITY MUSEUM.

SO MEXICO CITY MUSEUM IS OWNED AND MANAGED BY A NONPROFIT.

UM, AND THE MILLENNIUM YOUTH ENTERTAINMENT COMPLEX IS OWNED BY THE CITY, BUT IT'S MANAGED THROUGH AN AGREEMENT.

IT GOES THROUGH A NONPROFIT COMMUNITY DEVELOPMENT CORPORATION THAT THEN CONTRACTS OUT OPERATIONS.

SO WE'RE GOING TO TALK MORE ABOUT ALL OF THAT, BUT I JUST WANTED YOU TO KNOW KIND OF THE SCOPE OF THE WORK THAT WE'RE TALKING ABOUT TODAY.

UM, BECAUSE OF THE SCOPE OF THE RESOLUTION AND ASKED I THINK, 17 QUESTIONS ABOUT ALL OF THESE CENTERS, UM, PLUS THE WAY THAT OUR FINDINGS FELL OUT, WE'VE ORGANIZED OUR WORK INTO THREE REPORTS, AND THAT'S WHY WE HAVE THREE ITEMS BEFORE YOU TODAY.

SO NEYHA SHARMA YOUR MANAGER.

I THINK ANYHOW IS ON, WELL, SHE'S ON THE CALL AT LEAST AUDIO.

UM, SHE MANAGED ALL OF THIS WORK.

UM, HENRY KAITUMA HE'S HERE FOR SURE.

I CAN SEE HIM.

UM, HE WAS THE OVERALL LEAD, UM, AND TYLER MEYER'S LEAD OR WAS THE KIND OF, UM, COLD LEAD ON ALL OF THESE PROJECTS.

AND HE WILL PRESENT THE FIRST AUDIT, WHICH IS THE CITY CULTURAL CENTERS AUDIT.

SO, UM, I THINK CTM, YOU HAD THAT UP EARLIER, UH, BUT IF YOU CAN PULL UP THAT PRESENTATION AND TYLER MEYERS WILL KICK US OFF.

GREAT.

I'LL JUST WAIT UNTIL IT LOOKS LIKE WE'RE READY TO GO.

AS COREY MENTIONED, MY NAME IS PILAR MYERS AND I WAS ONE OF THE AUDITOR'S IN CHARGE FOR THE CITY CULTURAL CENTERS AUDIT.

THIS REPORT COVERS THE FOUR CITY OPERATED CULTURAL CENTERS.

THREE OF THESE CENTERS ARE MANAGED BY THE PARKS AND RECREATION DEPARTMENT.

THEY ARE THE ASIAN AMERICAN RESOURCE CENTER, THE MEXICAN AMERICAN CULTURAL CENTER AND THE GEORGE WASHINGTON, CARVER MUSEUM CULTURAL AND GENEALOGY CENTER.

THE AFRICAN AMERICAN CULTURAL AND HERITAGE FACILITY IS MANAGED BY THE ECONOMIC DEVELOPMENT DEPARTMENT.

OUR WORK RESULTED IN 10 FINDINGS.

CITY COUNCIL REQUESTED THIS AUDIT THROUGH OUR RESOLUTION IN 2019.

THIS RESOLUTION INCLUDES QUESTIONS WHICH REQUIRED US TO REVIEW CITY PRACTICES, WHERE A NUMBER OF AREAS, WE THEN ORGANIZE THESE AREAS INTO DIFFERENT OBJECTIVES.

OUR WORK FOCUSED ON COLLECTING INFORMATION ABOUT CITY PRACTICES IN ORDER TO ANSWER THE QUESTIONS AND THE RESOLUTION.

IN ADDITION, WE SURVEYED MEMBERS OF THE AUSTIN COMMUNITY SEEK THEIR OPINIONS ON AREAS INCLUDED IN THIS AUDIT.

WE ALSO REVIEWED GOVERNANCE STRUCTURES OF CULTURAL CITIES OR CULTURAL CENTERS, AND PEER CITIES HAS RECOVERED VARIOUS OBJECTIVES.

IN THIS AUDIT.

WE HAVE MORE FINDINGS THAN YOU GENERALLY SEE IN OUR OTHER OVERALL, WE FOUND THAT INEFFECTIVE STRATEGIC DIRECTION AND INEFFICIENT OPERATIONS THREATENED THE CITY'S ABILITY TO FURTHER CULTURAL OPPORTUNITIES.

[00:15:01]

IN THIS PRESENTATION, WE WILL HIGHLIGHT THESE CRITICAL ISSUES ALONG WITH OUR RECOMMENDATIONS INTENDED TO ADDRESS THEM.

OUR FIRST FINDING NOTES ISSUES WITH STRATEGIC PLANNING IS FINDING HIGHLIGHTS THAT THE 2018 BOND FUNDING WAS ALLOCATED WITHOUT KEY DOCUMENTS IN PLACE FOR MOST CULTURAL CENTERS.

THIS TABLE SHOWS THE AMOUNT OF BOND FUNDING RECOMMENDED BY THE BOND TASK FORCE ALONGSIDE THE ALLOCATED AMOUNTS, FURTHER AND NOTES THAT THE MEXICAN AMERICAN CULTURAL CENTER WAS THE ONLY CENTER WITH AN UPDATED FACILITY PLAN.

WHEN FUNDING WAS RECOMMENDED AND ALLOCATED THE ASIAN AMERICAN RESOURCE CENTER, AND THE CARVER MUSEUM DID NOT HAVE UPDATED PLANS AT THIS TIME BY NOT ENSURING FACILITY FACILITIES HAVE UPDATED PLANS.

CURRENT AND FUTURE SPACE NEEDS CAN NOT BE STRATEGICALLY CONSIDERED WHEN ALLOCATING BOND FUNDS.

OUR RECOMMENDATION IS THAT THE PARK DIRECTOR SHOULD ENSURE A CENTERS HAVE UPDATED FACILITY PLANS AND THAT THE EDD DIRECTOR INITIATE A STRATEGIC PLANNING PROCESS FOR THE HERITAGE FACILITY THAT INCLUDES FACILITY NEEDS.

NEXT SLIDE, PLEASE WANTING TO HIGHLIGHTS ISSUES.

WE NOTED REGARDING FACILITY MAINTENANCE DURING OUR REVIEW, WE NOTED PART HAD ALREADY IDENTIFIED SOME MAINTENANCE AND ADA COMPLIANCE ISSUES, BUT THESE ITEMS WERE NOT ADDRESSED.

THE PRIMARY REASON FOR NOT ADDRESSING THESE ISSUES WAS DUE TO INADEQUATE STAFFING AND A LACK OF FUNDING.

THIS TABLE SHOWS THE IDENTIFIED NUMBER AND ESTIMATED COSTS OF BOTH ACCESSIBILITY AND MAINTENANCE ITEMS. AT THE TIME OF THIS AUDIT PART DID NOT HAVE A TIMELINE TO ADDRESS THESE IDENTIFIED ISSUES, NOT ADDRESSING MAINTENANCE ISSUES MAY LEAD THE COMMUNITY TO BELIEVE THAT THE CITY DOES NOT CARE ABOUT MAINTAINING ITS FACILITIES AS WELL AS POSING ACCESSIBILITY ISSUES AT CERTAIN FACILITIES.

OUR RECOMMENDATION IS FOR THE PART DIRECTOR TO WORK WITH THE CITY MANAGER AND BUDGET OFFICE TO IDENTIFY AND PRIORITIZE NECESSARY FUNDING FOR CULTURAL CENTERS.

NEXT SLIDE, PLEASE FINDING THREE COVERS ISSUES WE NOTED CONCERNING SPACE USE AT THE VARIOUS CENTERS.

THERE ARE MANY TYPES OF SPACES AVAILABLE AT EACH CENTER AND WE FOUND THAT CENTERS ARE NOT FULLY UTILIZING ALL THESE SPACES EFFECTIVELY.

FINDING FIVE COVERS ISSUES RELATED TO PROGRAM PLANNING AT CULTURAL CENTERS.

WE FOUND THAT THE COMMUNITY IS LIMITED FROM USING SOME OF THESE SPACES DUE TO SEVERAL CONSTRAINTS.

FIRST, SOME SPACES WERE NOT LISTED ON CENTER WEBSITES AS USABLE OR RENTABLE.

THIS MAY HAVE PREVENTED COMMUNITY MEMBERS FROM USING ALL AVAILABLE, ALL AVAILABLE SPACES AT SOME CENTERS.

SECOND, CERTAIN ADJACENT ROOMS CAN NOT BE USED AT THE SAME TIME DUE TO SPILLOVER NOISE.

OTHER POTENTIAL COMMUNITY SPACES WERE CONVERTED TO OFFICE AND STORAGE SPACE AND ARE NO LONGER ABLE TO BE USED BY THE COMMUNITY.

THIRD, WE FOUND THAT SINNERS MAY NOT HAVE EFFECTIVE WAY TO TRACK FACILITY USE THIS LIMITS, THE ABILITIES OF CENTERS TO REPORT ON AND MAKE DECISIONS.

ACCORDING TO USAGE TRENDS.

LASTLY, FACILITY OPERATING HOURS MAY NOT BE ALIGNED WITH THE COMMUNITY NEEDS.

FOR INSTANCE, 88% OF USAGE DURING FISCAL YEAR 19 AT THE HERITAGE FACILITY OCCURRED OUTSIDE NORMAL OPERATING HOURS.

OUR RECOMMENDATION WAS FOR BOTH THE PART AND ADD DIRECTORS TO ENSURE USE OF FACILITY SPACE IS OPTIMIZED.

NEXT SLIDE, PLEASE FINDING FOR HIGHLIGHTS, POTENTIAL BARRIERS RELATED TO ACCESSIBILITY.

HOLD ON.

UH, CAN WE GO TO THE NEXT SLIDE PLEASE, OF HIGHLY FINDING FOR HIGHLIGHTS, POTENTIAL BARRIERS RELATED TO ACCESSIBILITY WITH ACCESSIBILITY, MEANING BOTH THE ABILITY TO NAVIGATE TO THE CENTER AND TO PARTICIPATE IN PROGRAMS. IN OUR SURVEY, WE ASKED ABOUT TWO TYPES OF BARRIERS, BARRIERS THAT EXIST FOR SOME COMMUNITY MEMBERS VIA AFFORDABILITY, INCLUDING RENTAL FEES AND PROGRAM FEES AND TRANSPORTATION OPTIONS, INCLUDING TRANSIT AND PARKING AVAILABILITY.

NEXT SLIDE, PLEASE, ALMOST COMMUNITY MEMBERS BELIEVE THAT FEES ARE AFFORDABLE.

SOME EXPRESS CONCERNS.

THE SURVEY RESULTS SHOW THAT COMMUNITY, THE COMMUNITY CONSIDERED RENTAL FEES TO BE THE LEAST AFFORDABLE FOR TRANSIT OPTIONS.

MOST COMMUNITY MEMBERS WERE GENERALLY SATISFIED WITH THE CARVER MUSEUM AND THE HERITAGE FACILITY.

SOME EXPRESS CONCERNS ABOUT ACCESSING THE ASIAN AMERICAN RESOURCE CENTER AND THE MEXICAN AMERICAN CULTURAL CENTER.

DURING THIS AUDIT, WE LEARNED THAT THE CITY IS ALREADY WORKING ON ADDRESSING SOME OF THESE CONCERNS.

NEXT SLIDE, PLEASE

[00:20:03]

WE FOUND THAT WHILE OFFERED PROGRAMS THAT ALL CENTERS ALIGNING WITH EACH CENTER'S MISSION, INEFFECTIVE MANAGEMENT OF THIS PROCESS NEGATIVELY IMPACTS THE ACCURACY AND RELIABILITY OF INFORMATION USED IN DECISION MAKING AND MAY DUPLICATE WORK.

WE NOTED THAT THE PROGRAM PLANNING PROCESS WAS NOT CONSISTENTLY FOLLOWED.

FOR INSTANCE, SINNERS HAVE NOT CONSISTENTLY ENGAGED WITH THE COMMUNITY IN THE PREP PLANNING PROCESS.

AND AT LEAST ONE THIRD OF THE COMMUNITY MEMBERS BELIEVE THAT PROGRAM PROGRAMMING IS PLANNED WITHOUT THEIR INPUT.

ALSO, THE PROGRAM PLANNING PROCESS USED BY STAFF IN EFFECT CREATES A DUPLICATE WORKFLOWS.

FURTHER PARDES OVERSIGHT OF THIS PROCESS DID NOT ENSURE DOCUMENTS USED FOR DECISION MAKING AND BUDGETING WERE COMPLETED.

WE RECOMMEND THAT PART ENSURE THE PROGRAM PLANNING PROCESS IS BOTH EFFECTIVELY AND EFFICIENTLY MANAGE.

EDD SAID THEY PLAN TO INCORPORATE PROGRAM PLANNING NEEDS INTO THE STRATEGIC PLAN PROCESS MENTIONED IN FINDING ONE NEXT SLIDE, PLEASE FINDING SIX COVERS PERFORMANCE MEASUREMENT ISSUES FOR THE CULTURAL CENTERS.

WE FOUND THAT THESE KEY MEASURES ASSOCIATED WITH CULTURAL CENTERS, LACK GOALS OR TARGETS.

WE ALSO FOUND THAT SOME PERFORMING PERFORMANCE MEASURES WERE BASED ON SMALL SURVEY SIZES WHILE OTHER CONTAINED INACCURATE INFORMATION.

ALL OF THESE ISSUES TOGETHER MAY REDUCE PARTS ABILITY TO DETERMINE IF CULTURAL CENTER PROGRAMS AND SERVICES ARE SUCCESSFUL.

NEXT SLIDE, PLEASE, FOR INSTANCE, PAR TRACKS AND REPORTS FOR STANDARD PERFORMANCE MEASURES FOR CULTURAL CENTERS.

HOWEVER PART HAS NOT ESTABLISHED TARGETS FOR THESE PERFORMANCE MEASURES AT EACH CULTURAL CENTER.

WE ALSO FOUND CALCULATIONS IN SOME OF THE TRACKING SPREADSHEETS THAT RESULTED IN PUBLISHING AND ACCURATE DATA WITHOUT HAVING TARGETS AND ENSURING PERFORMANCE MEASURES ARE ACCURATE.

ART CANNOT TELL WHETHER CULTURAL CENTERS ARE MEETING THEIR GOALS FOR EDD.

WE NOTED THAT DEPARTMENTS HAVE NOT ESTABLISHED ANY PERFORMANCE MEASURES RELATED TO THE HERITAGE CENTER WE RECOMMEND.

NEXT SLIDE, PLEASE FINDING SEVEN SUMMARIZES ISSUES WITH FEE ASSESSMENTS AT THE CULTURAL CENTERS WE FOUND THAT CENTERS DID NOT CONSISTENTLY CHARGE FEES AS OUTLINED IN THE FEE SCHEDULE, AS WELL AS HAVING INCONSISTENT PRACTICES ACROSS THE VARIOUS CENTERS.

THESE LISTS, THESE ISSUES LED TO UNCOLLECTED REVENUE AT EACH CENTER.

OUR ANALYSIS OF FEES CHARGED AT CENTERS IN FISCAL YEAR 2019 SHOWED UNDER CHARGES OF AT LEAST $20,000 AT PARKS AND RECREATION CENTERS, AND AT LEAST $130,000 AT THE HERITAGE FACILITY REASONS FOR CHARGING UNDERCHARGING, WHERE THAT PART STAFF WAS INCONSISTENTLY LOWERING FEES BASED, BASED ON DIRECTION FROM THEIR MANAGEMENT AND STAFF, EXCUSE ME AND STAFF SOMETIMES CHARGE OUTDATED FEES AT A RATE APPROVED BY COUNCIL.

IN PRIOR YEARS FOR THE HERITAGE FACILITY MANAGED BY EDD, THE STAFF WAS ALLOWING THE USE OF THE SPACE WITHOUT CHARGING ANY USERS.

DESPITE THE FEE SCHEDULE OUTLINING RENTAL FEES, WE RECOMMENDED THAT THE PARTNER DRE DIRECTOR TAKES STEPS TO ENSURE FEES ARE CHARGED CORRECTLY, CORRECTLY, AND CONSISTENTLY, AND THAT THE EDD DIRECTOR FOLLOW THOSE.

ALTHOUGH THE CITY'S ESTABLISHED PROCESS FOR WAIVING FEES, NEXT SLIDE, PLEASE.

I NEED EIGHT DISCUSSES DISCUSSES ISSUES CONCERNING THE PARKS AND RECREATION DEPARTMENTS AND ADMINISTRATION OF ITS REC TRACK SOFTWARE CULTURAL CENTER STAFF USES REC TRACK TO REGISTER USERS FOR PROGRAMS, RESERVED SPACE FOR RENTALS AND PROCESS CERTAIN TYPES OF PAYMENTS.

WE FOUND MULTIPLE AREAS IN WHICH PART COULD IMPROVE THE SECURITY OF THE SYSTEM AND PREVENT UNAUTHORIZED USE.

TAKE STEPS TO INCREASE IT SECURITY FOR REC TRACK.

WE FOUND THAT OUT OF THE FIVE RECOMMENDED IT SECURITY PROCEDURES HARD HAD NOT IMPLEMENTED FOR THESE PROCEDURES.

FOR INSTANCE, THE SYSTEM DID NOT REQUIRE STRONG PASSWORDS AND DID NOT ENSURE THAT ROLES AND PRIVILEGES WITHIN THE SYSTEM ALIGNED WITH JOB DUTIES.

THESE ISSUES MAY EXPOSE THE REC TRACK SYSTEM TO UNAUTHORIZED ACCESS.

SINCE THIS APPLICATION CONTAINS IMPORTANT BUSINESS RECORDS FOR EACH CENTER, WE RECOMMENDED THAT THE PAR DIRECTOR

[00:25:01]

I THINK NINE COVERS ISSUES WE OBSERVED RELATED TO STAFF TRAINING.

WE NOTED THAT SOME CULTURAL CENTER STAFF DID NOT RECEIVE CUSTOMER SERVICE AND CULTURAL SENSITIVITY TRAINING.

THE LACK OF FULLY TRAINED STAFF IN THESE AREAS MAY REDUCE PART, MAY REDUCE STAFF'S ABILITY TO CREATE POSITIVE RELATIONSHIPS WITH THE COMMUNITY.

NEXT SLIDE, PLEASE, SPECIFICALLY, WE NOTED THAT ONLY A FEW MEMBERS OF THE TEMPORARY STAFF AT CULTURAL CENTERS RECEIVED RECOMMENDED TRAINING WHEN REVIEWING THE COMMUNITY SURVEY, THERE APPEAR TO HAVE BEEN SOME NEGATIVE INTERACTIONS BETWEEN THE COMMUNITY AND STAFF AT CULTURAL CENTERS.

IN ADDITION TO THE COMMUNITY SURVEY, WE ALSO CONDUCTED A STAFF SURVEY.

WE HEARD FROM STAFF MIRROR STAFF MEMBERS THAT THE CUSTOMER SERVICE TRAINING THEY RECEIVED WAS USEFUL STAFF AT THE HERITAGE FACILITY DO NOT RECEIVE CUSTOMER SERVICE AND CULTURAL SENSITIVITY TRAINING.

WE CONDUCTED A PEER CITY ANALYSIS OF CULTURAL CENTER GOVERNANCE AND OPERATIONS, AND THE RESULTS OF THAT WORK ARE PRESENTED.

AND FINDING 10, WE FOUND THAT MOST CITY OWNED CENTERS ARE RUN BY NONPROFITS AND THAT MOST CITIES HAVE A DEPARTMENT LEVEL ARTS AND CULTURAL AGENCY.

FOR OUR COMPARISON, WE USE FOUR BASIC MODELS OF GOVERNANCE, GOVERNANCE OF CULTURAL CENTERS THAT ARE BASED ON THE OWNERSHIP AND OPERATION OF THE FACILITY.

EACH MODEL HAS ITS ADVANTAGES AND DISADVANTAGES ARE REVIEW SURVEYED SEVEN CITIES THAT CONTAIN 22 SIMILAR CULTURAL CENTERS OUT OF THESE 22 CULTURAL CENTERS, 16 OR ABOUT 73% ARE RUN BY NONPROFITS SIX OR ABOUT 27% ARE GOVERNMENT RUN AND NONE WERE FEE FOR SERVICE.

AS MENTIONED EARLIER, ALL FOUR OF THE CULTURAL CENTERS ARE RUN BY THE CITY OF AUSTIN AND WE AND WOULD BE CONSIDERED GOVERNMENT RUN.

WE ALSO LOOKED AT WHO OVERSEES THESE CULTURAL CENTERS WITHIN THE CITY ADMINISTRATION HERE.

CITY STAFF INFORMED US THAT SIX OF THE SEVEN CITIES HAVE A DEPARTMENT LEVEL ARTS AND CULTURE AGENCY AS DISCUSSED EARLIER.

THREE CENTERS IN AUSTIN ARE RUN BY THE MUSEUM AND CULTURAL PROGRAMS DIVISION WITHIN PARD.

AND THE HERITAGE FACILITY IS RUN BY THE CULTURAL ARTS DIVISION IN EDD.

NEXT SLIDE, PLEASE MANAGEMENT FROM PARD EDD AND CITY MANAGEMENT AGREED WITH OUR RECOMMENDATIONS.

THIS CONCLUDES OUR PRESENTATIONS ON THE CITY CULTURAL CENTERS AUDIT.

AND WE'RE HAPPY TO TAKE QUESTIONS AT THIS TIME.

UM, I'M GOING TO INVITE A STAFF FROM PART AND THEN FROM EDD TO RESPOND BEFORE WE TAKE QUESTIONS AND MS. MCNEELY, WOULD YOU LIKE TO GO FIRST, PLEASE? I MEAN, BEFORE YOU GET STARTED, I JUST WANTED TO NOTE THAT IT LOOKS LIKE THERE, IF YOU'RE ON ATX N TWO, WE ARE CURRENTLY, I BELIEVE ON ATX N ONE AND TWO, BUT ATX N TWO, MAYBE SWITCHING OVER TO AN APH MEDIA AVAILABILITY.

I'M NOT, I DON'T HAVE THAT CONFIRMED.

SO IF YOU ARE ON ATX N AND YOU WANT TO STAY WITH US, UM, YOU MAY NEED TO SWITCH TO HEX N ONE.

UM, YES, I THINK WE ARE ALSO NOW BROADCASTING ON CHANNEL SIX.

I THINK THAT'S BEEN GREAT.

THANK YOU, MS. MCNEELY, PLEASE GO AHEAD.

THE RECREATION DEPARTMENT, I CONCUR WITH THE AUDITOR'S OFFICE THAT WE AGREE WITH THE RECOMMENDATIONS, AND IN SOME CASES THERE ARE THINGS THAT ARE ALREADY UNDERWAY TO ADDRESS THE, UM, THE CHALLENGES THAT WERE NOTED IN THE AUDIT REPORT.

AND IN ORDER FOR US TO ASK OR TO ANSWER SOME SPECIFIC QUESTIONS REGARDING CULTURAL CENTERS, WHEN IT IS THE APPROPRIATE TIME, I WOULD ASK THAT WE MOVE, UM, MY ASSISTANT DIRECTOR, LUCAS MASSEY FROM ATTENDEE TO PARTICIPANT, UM, WHEN, WHEN WE ARE, UM, WHEN THE COUNCIL MEMBERS ON THE AND FINANCE COMMITTEE WOULD LIKE TO ADDRESS CERTAIN OR SPECIFIC QUESTIONS.

THE RECOMMENDATIONS AND WE'RE IN THE PROCESS OF MOVING FORWARD TO ADDRESS ALL THE ISSUES.

THANK YOU, MS. MCNEELY.

UM, MS. HOLT, ROB, ARE YOU OKAY? YES.

YES.

GOOD MORNING.

COUNCIL MEMBER ALTER THE ECONOMIC DEVELOPMENT DEPARTMENT ALSO AGREES WITH

[00:30:01]

THANK YOU FOR THE ANSWER, ANY SPECIFIC QUESTIONS AND OPEN IT UP FOR QUESTIONS, BUT I JUST WANT TO, UM, REITERATE WHAT I SAID EARLIER BECAUSE OF THE HEX N SWITCHES.

UM, I THINK IT'S REALLY IMPORTANT TO NOTE THAT THE SERIES OF AUDITS THAT WE'RE HEARING TODAY FOLLOWED FROM A COUNCIL RESOLUTION, WHERE WE ACKNOWLEDGED THAT THERE WERE, UM, AS A NEED FOR SOME CHANGES AND WE'RE SEEKING MORE DATA AND MORE INFORMATION SO THAT, UM, WE COULD IMPROVE, UM, AND OVERSIGHT IN THESE PARTICULAR CENTERS.

AND I HOPE THAT WHAT WE'RE HEARING TODAY AND WHAT WE'RE LEARNING WILL ALLOW US TO HAVE AN APPROPRIATE RESET, UM, AND, AND MAKE THOSE IMPROVEMENTS, UM, TOGETHER INFORMED BY THIS ADDITIONAL INFORMATION THAT THE AUDITOR'S OFFICE HAS BROUGHT IN RESPONSE TO THAT RESOLUTION.

SO COLLEAGUES, UH, COUNCIL MEMBER POOL, IF YOU'D LIKE TO GO FIRST.

YEAH.

I JUST WANT TO TRUST THIS OUT TO BOTH, UM, DIRECTOR MCNEELY, DIRECTOR HALT, ROB, IF, IF THE TWO OF YOU, SINCE THERE'S A SEPARATION OF RESPONSIBILITY AMONG THE FACILITIES, UM, UH, I'D LIKE YOU ALL TO COLLABORATE IN YOUR ASSESSMENTS OF THAT.

THEY'RE VERY, THE DIFFERENT FACILITIES ARE UNDER YOUR CONTROL AND PREPARE SOME KIND OF A RESPONSE ON WHAT RECOMMENDATIONS YOU HAVE TO REDUCE THE, THE SEPARATION.

UM, THE RECOMMENDATION THAT THE AUDIT HAS GIVEN US THIS TO HAVE, UH, ONE ENTITY HAVING HAVE THE OVERSIGHT SO WE CAN REDUCE THE LACK OF STANDARDIZATION THROUGHOUT.

SO IF YOU TO, I'M SURE YOU WERE PLANNING TO COLLABORATE.

ANYWAY, I JUST WANTED TO ASK IF THAT WAS THE CASE.

YES.

UM, COUNCIL NUMBER COOL.

WE'VE HAD ONE MEETING AND WE PLAN TO CONTINUE DIALOGUE, UH, TO SEEK DIRECTION FROM MANAGEMENT ON THE BEST PATH FORWARD.

GREAT, THANKS.

UM, UM, DIRECTOR MCNEELY, I CONCUR, UM, WE ARE HAPPY TO WORK WITH EDD AND ALSO TO SEEK, UM, ADVICE AND DIRECTION FROM OUR CITY MANAGEMENT.

AND W WE'RE HAPPY TO DO THAT.

WE'VE ALREADY, LIKE SHE SAID, WE'VE ALREADY MET ONCE AND WE'RE HAPPY TO MEET MORE TIMES TO BE MORE COMMITTED IN OUR, IN OUR DELIVERY.

THAT'S GREAT.

AND I THINK IT'S A REALLY GOOD TIME FOR US TO KIND OF REFRESH OUR OPERATING AGREEMENTS WITH THE VARIOUS ENTITIES.

UM, BUT AS WE KNOW, SYSTEMS OVER TIME CAN CREATE AND, AND SORT OF ERODE A LITTLE BIT AND YOU THINK YOU'VE GOT REALLY GOOD STRONG PLANS AND PLANS IN PLACE, AND THEN, YOU KNOW, COME TWO DECADES LATER AND YOU FIND OUT THAT THINGS HAVE SHIFTED AROUND AND YOU DIDN'T EVEN NOTICE.

SO I THINK THIS IS A REALLY POSITIVE OPPORTUNITY FOR, UM, THE CITY WITH REGARD TO THE SPECIFICALLY THE CULTURAL CENTERS TO, UM, TO FIND SOME NEW, INNOVATIVE WAYS OF OPERATING AND REACHING OUT INTO THE COMMUNITIES EVEN MORE DEEPLY.

SO THANK YOU TO YOU BOTH ON YOUR STAFF OR THE CHICKEN ON THIS ADDITIONAL KIND OF EXCITING OPPORTUNITY.

THANKS, PAUL.

I JUST WANT TO NOTE THAT, UH, RECOMMENDATION 16 DOES ASK THE CITY MANAGER TO COME BACK WITH RECOMMENDATIONS, UM, IN, WITHIN THE YEAR, UH, ABOUT THE GOVERNANCE STRUCTURES AND, AND ALTHOUGH THE CITY MANAGER HIMSELF IS NOT HERE, UM, AS, AS REPRESENTATIVES I'M, I, I UNDERSTAND THAT THAT WOULD BE THE PROCESS MOVING FORWARD, COUNCIL MEMBER FLANAGAN.

THESE, UM, WHAT OTHER CITIES ARE DOING, NOT BEST PRACTICES.

UM, AND I APPRECIATE CHAIR YOUR, UM, CONTINUED EFFORTS TO REMIND THE PUBLIC THAT THE COUNCIL IS WORKING VERY HARD TO GET THROUGH AUDITS ON A LOT OF AREAS.

AND, UM, YOU KNOW, I THINK WE KNOW THAT THAT TYPE OF OVERSIGHT IS REALLY IMPORTANT.

I'M GLAD TO BE ON THIS COMMITTEE TO CONTINUE THAT LEVEL OF OVERSIGHT.

I'M PARTICULARLY INTERESTED IN THE, THE PEER CITY REVIEW INFORMATION.

YOU KNOW, PART OF THE CHALLENGE WHENEVER WE GET UP HERE, CITY REVIEW IS WE NEVER REALLY HEAR IF THOSE PEER CITIES ARE DOING IT WELL, WE JUST HEAR WHAT THEY'RE DOING.

AND, AND I DON'T KNOW THAT IT'S NECESSARILY EVIDENCE THAT WE SHOULD COPY THE WORK OF PEER CITIES WITHOUT KNOWING IF THEY MIGHT BE HAVING SIMILAR CHALLENGES WITH, WITH THEIR CULTURAL CENTERS, UM, IN THE, IN THE NONPROFIT, WHICH SEEMS TO BE THE MAJORITY OF HOW PEER CITIES OPERATE CULTURAL CENTERS.

UM, COREY, CAN, CAN YOU GIVE A LITTLE MORE DETAIL ON WHAT THAT LOOKS LIKE IN, IN OTHER CITIES? IS IT INDIVIDUAL NONPROFITS PER CENTER? IS IT A NONPROFIT KIND OF LIKE AN ENDOWMENT OR FOUNDATION THAT WORKS WITH CULTURAL CENTERS? HOW DOES IT WORK WITH OTHER TYPES? I MEAN, SOME CITIES HAVE MUSEUMS, SOME CITIES HAVE OTHER TYPES OF THINGS.

WE HAVE A HISTORY CENTER THAT I PROBABLY MORE LIKE A MUSEUM THAT'S PART OF THE LIBRARY DEPARTMENT.

SO JUST A LOT OF COMPLEXITY.

SURE.

SO I'LL SAY A COUPLE OF THINGS, ONE YOU'RE RIGHT.

THAT, UM, WE ACTUALLY ARE PRETTY CAREFUL TO TRY TO CALL

[00:35:01]

SO WHAT WE'RE DOING IS WE'RE LOOKING OUT AND WE'RE SEEING WHAT OUR PEERS ARE UP TO AND HOW THEY'RE HANDLING THE SAME THINGS, BUT WE DON'T TYPICALLY MAYBE NEVER, UM, WE DON'T AUDIT THEM TO SEE IF THEY ARE HAVING THE SAME ISSUES THAT WE'RE HAVING OR WHAT KIND OF THINGS ARE CAUSING PROBLEMS FOR THEM.

SO IT'S JUST, IT'S BENCHMARK INFORMATION.

IT'S NOT NECESSARILY, THIS IS A BETTER MODEL OR THE RIGHT MODEL.

SO I WOULD SAY JUST GENERALLY ABOUT WHENEVER WE'RE DOING PEER CITY RESEARCH, WE'RE NOT TRYING TO SAY THIS IS THE ONLY WAY TO DO IT.

WE'RE TRYING TO GATHER INFORMATION ABOUT HOW OTHER PEOPLE ARE.

AND I THINK YOU, YOU KNOW, THAT AND UNDERSTAND THAT.

SO THEN I WOULD SAY THE NEXT PIECE OF THAT.

SO FOR THESE PARTICULAR PEER CITIES AND THESE PEER CENTERS, SO LOOKING AT THE, THE OTHER CENTERS THAT WE LOOKED AT, I THINK 16 OF THE 22 ARE RUN BY NONPROFITS OF THOSE 15 ARE ACTUALLY SOMETHING THAT'S CALLED USER RUN, WHICH MEANS THAT SOME GROUP IN THE COMMUNITY, UM, IS THE PRIMARY USER OF THE FACILITY.

AND THAT GROUP HAS CREATED A NONPROFIT AND RUNS THE CENTER.

THEY CERTAINLY HAVE SUPPORT FROM THE CITY.

THEY HAVE FINANCIAL SUPPORT FROM THE CITY.

THEY HAVE MAYBE A $1 LEASE FROM THE CITY.

THEY HAVE VARIOUS WAYS THAT THEY ARE ABLE TO CONTINUE THE WORK, UM, OF THE CULTURAL CENTER.

SO THEY'RE NOT OUT ON AN ISLAND ON THEIR OWN, A NONPROFIT RUNNING THIS ENTIRELY INDEPENDENT OF THE CITY, BUT THEY ARE THE KIND OF PRIMARY DECISION MAKER FOR ALL THINGS THAT HAPPEN IN THE CENTER.

I WOULD SAY THAT'S WHERE 15 OF THE 22, UM, I DON'T KNOW IF I ANSWERED YOUR QUESTION OR NOT, BUT DON'T, BUT, BUT IN OTHER CITIES, OTHER CITIES HAVE MULTIPLE CULTURAL CENTERS LIKE WE HAVE WITHIN A SINGLE CITY AND, AND THOSE ARE RUN BY SEPARATE INDEPENDENT GROUPS LIKE THIS ONE, NONPROFIT FOR THE CENTER, ANOTHER NONPROFIT FOR THAT CENTER, I BELIEVE.

SO I THINK NEYHA HAS MORE INFORMATION ON THAT CONSTANT MEMBERS THAT CORRECT THAT EACH CENTER HAVE THEIR OWN NONPROFITS, WHICH RUN THOSE CENTERS OR IT TOOLS.

IT IS.

WE FOUND ONLY THAT THERE ARE, THEY HAVE ONLY ONE CENTER, WHICH IS CULTURAL CENTERS, BUT OTHER FIVE HAVE MULTIPLE HAVE CULTURAL CENTERS.

WHAT IS THE, WHAT IS THE ROLE THAT OUR BOARDS AND COMMISSIONS HAVE PLAYED IN OVERSIGHT FOR THESE CULTURAL CENTERS? BECAUSE MOST OF THEM ALSO HAVE A RELATED COMMISSION, RIGHT? YES, THAT'S CORRECT.

SO OUR UNDERSTANDING IS THAT THESE MANAGEMENT PRESENT THE REPORTS AND LIKE THEY'LL PROVIDE THE VARIOUS REPORTS OF ATTENDANCE AND OTHERS PERFORMANCES OF THESE CULTURE CENTERS TO THE OVERSIGHT BODY.

BUT WE DIDN'T LOOK IN DETAIL, LIKE WHAT ACTUALLY IS THEY ARE DOING WITH THIS? LIKE WHAT EXTENT THEY ARE PARTICIPATING IN THE OPERATION? I MEAN, I THINK IT WOULD HAVE BEEN NICE TO HAVE ASSISTANT CITY MANAGER SHORTER AS PART OF THIS CONVERSATION.

UM, YOU KNOW, IT'S, IT'S A LITTLE CHALLENGING, I THINK, FOR, FOR THE PARKS DEPARTMENT.

AND I, YOU KNOW, I HAVE ALWAYS BEEN A LITTLE CONFUSED ABOUT WHY SOME THINGS LIVE IN PARKS AND WHY SOME THINGS LIVE IN EDD.

AND WHEN YOU GET DOWN TO THE METRICS BY WHICH THOSE DEPARTMENTS ARE MEASURED, NEITHER ARE REALLY MEASURED ON THE THINGS THAT IMPACT CULTURAL CENTERS, RIGHT.

WHEN YOU'RE TALKING ABOUT LIKE PARKS SCORE OR, OR, UM, WHAT IS THE, THE W THE, I CAN'T REMEMBER THE PHRASE ABOUT LIKE, WHEN, WHEN THERE ISN'T A WALKABLE PARK IT'S LIKE DISADVANTAGED OR UNDER BUILT ISN'T CAUSE NUMBER ALTER CAUSE PEOPLE, DO YOU REMEMBER WHAT THAT PHRASE IS? IT'S ESCAPED MY MIND, THE THING WHERE THERE'S NOT LIKE, NOT A NEARBY PARK.

I SAID, I READ YOUR LIT PARK'S DEFICIENT.

YEAH.

OF THEIR OWN AT, AT VARYING LEVELS AND VARYING SCALE.

IT'S LIKE, I DON'T WANT TO SAY IT, YOU KNOW, THE CULTURAL CENTERS DON'T SPEAK TO THOSE METRICS.

AND SO, YOU KNOW, I CAN UNDERSTAND THE DESIRE FOR SOME CITIES TO HAVE A SEPARATE DEPARTMENT THAT WOULD BE FOCUSED ON THESE THINGS, BECAUSE THEN YOU COULD HAVE METRICS THAT ARE DRIVEN TO THAT.

AND THEN I THINK IN EDD, THIS IS IT'S ALWAYS BEEN KIND OF A WEIRD FIT IN THAT DEPARTMENT.

MORE, I THINK, ASSIGNED TO THEM BECAUSE OF THE WAY WE MANAGE HOTEL TAX AND THE CULTURAL MONEY FROM HOTEL TAX THAN ANY KIND OF REAL ECONOMIC DEVELOPMENT COMPONENT.

I DON'T KNOW THAT I'M THINKING THAT A WHOLE SEPARATE DEPARTMENT IS A GOOD IDEA EITHER.

AND I'M, I'M FRANKLY MORE INTERESTED IN EXPLORING THESE NONPROFIT MODELS AND EVEN, EVEN TO CONTEMPLATE HOW WE MIGHT WORK AT A REGIONAL LEVEL THROUGH NONPROFITS.

AND WE, WE HAVE, WE OFTEN TALK ABOUT GENTRIFICATION AND DISPLACEMENT MOVING MEMBERS OF THE COMMUNITY AND TO SURROUNDING COMMUNITIES, BUT THESE CULTURAL CENTERS WERE OFTEN APPROVED AND BUILT BY THOSE RESIDENTS BEFORE THEY MOVED INTO PFLUGERVILLE OR KYLE OR BUDA.

AND SO THERE'S STILL A LOT OF KIND OF REGIONAL INVESTMENT, EMOTIONAL INVESTMENT INTO THESE CENTERS.

AND I WOULD IMAGINE THAT SOME OF OUR SURROUNDING NEIGHBORS HAVE BUILT CENTERS

[00:40:01]

UM, SO I'M, I'M INTERESTED IN THINKING THROUGH THAT AT THAT LEVEL.

AND IT PROBABLY, TO ME, IT WOULD BE NOT CITY MANAGED, BUT TO HAVE A LOT MORE OF A FOCUSED OVERSIGHT ROLE OVER A CONTRACTUAL AGREEMENT WITH A NONPROFIT THAT THEN MANAGED THESE CENTERS SO THAT THERE COULD BE VERY CLEAR METRICS THAT HAD A VERY CLEAR SIGNPOST ABOUT WHEN THOSE METRICS WERE BEING MEASURED AND KIND OF CONSEQUENCES.

IF YOU DON'T MEET THE METRICS.

AND RIGHT NOW, I THINK IT HAS BEEN KIND OF GLOMMED ON TO OTHER DEPARTMENTS AND WE NEVER MEASURE THOSE DEPARTMENTS BY THESE METRICS.

SO THAT'S THE WORK THAT I'M INTERESTED IN GETTING INTO ON THIS.

THANK YOU, COUNCIL MEMBER FLANAGAN, I'M GOING TO GO TO COME TO MEMBER TOVO.

UM, THANKS VERY MUCH.

THIS IS REALLY USEFUL.

THIS IS A USEFUL CALL.

THIS IS A USEFUL AUDIT, AND I THINK RAISES, YOU KNOW, MULTIPLE ISSUES THAT WE CAN CAN AND SHOULD DISCUSS IN THE MONTHS TO COME.

UM, ONE THING THAT SEVERAL OF YOU HAVE TOUCHED ON THAT I JUST WANT TO ARTICULATE IS THAT THERE'S, THERE'S DEFINITELY CORRESPONDENCE BETWEEN THE KIND OF PROGRAMMING AND WORK THAT GOES ON WITHIN OUR CULTURAL CENTERS AND THE KIND OF WORK THAT IS GOING, TAKING PLACE IN OUR LIBRARIES.

UM, AND, AND I, I THINK THERE DOES NEED TO BE CONVERSATIONS MORE BROADLY ACROSS, ACROSS, UH, THESE DEPARTMENTS.

AND I'LL JUST OFFER ONE EXAMPLE WHEN WE WERE TALKING WITH OUR STAFF ABOUT WHAT THEY WERE DOING IN THIS TIME OF PANDEMIC, IN TERMS OF VULTURE VIRTUAL PROGRAMMING.

IT SEEMED TO ME THAT OUR LIBRARY SYSTEM COULD LEARN FROM SOME OF THE KINDS OF REALLY INNOVATIVE VIRTUAL PROGRAMMING THAT'S GOING ON AT OUR ASIAN AMERICAN RESOURCE CENTER.

AND SO, YOU KNOW, I DON'T KNOW EXACTLY WHAT THAT LOOKS LIKE, BUT I DO KNOW THAT, YOU KNOW, AS OUR LIBRARY NOW HAS A GALLERY AND OTHER KINDS OF PROGRAMMING THAT WE WOULD HAVE ORDINARILY SEEN IN OUR CULTURAL CENTERS, THERE'S PROBABLY A WAY TO A, PROBABLY A WAY ON A NEED TO THINK ABOUT THIS DIFFERENTLY AND THE HISTORY CENTER, WHICH HAS PRIMARILY SERVED AS LIBRARY FUNCTIONS WITH SOME PROGRAMMING AND SOME GALLERY SPACE.

I THINK TWO IS, IS WITH THE MOVE TO THE FOC.

I'M GOING TO HAVE AN OPPORTUNITY TO REALLY BRIDGE INTO CULTURAL AND EDUCATIONAL PROGRAMMING IN A WAY IT JUST DOESN'T HAVE THE SPACE TO DO SO IN THE PAST.

AND THEN AGAIN NEEDS TO BE IN CONVERSATION WITH A CULTURAL, WITH OUR CULTURAL CENTERS, SO THAT WE'RE SHARING IDEAS AMONG AMONG THOSE.

SO THAT'S JUST SOME COMMENTS I WANTED TO JUST TALK.

UM, I HAD SOME REAL SPECIFIC QUESTIONS QUICKLY ON PAGE 11.

THERE IS A COMMENT ABOUT FACILITIES THAT I NEED TO GET BACK TO, BUT I THINK IT IS, I THINK IT WAS A POINT THAT THE WEBSITES, SOME SPACES ARE NOT LISTED ON CENTER WEBSITES, WHICH MAY REDUCE COMMUNITIES.

I AGREE WITH THE POINT, UM, THAT ABSOLUTELY, YOU KNOW, THAT INFORMATION SHOULD BE READILY AVAILABLE ON CENTER WEBSITES, BUT IT'S, I BELIEVE THAT, I MEAN, SOME OF OUR CENTERS ARE SO ARE SO WELL USED THAT IT'S VERY DIFFICULT TO ACTUALLY FIND RENTAL SPACE.

I KNOW THE ASIAN AMERICAN RESOURCE CENTER FOR EXAMPLE, IS, IS VERY WELL OCCUPIED.

AND SO I JUST WANT TO ASK YOU IF THAT MATCHED WITH YOUR FINDINGS, THAT THE FACT THAT THEY'RE NOT NECESSARILY ADVERTISING ALL THEIR SPACE, DOESN'T, IT DOESN'T NECESSARILY EQUATE TO A LACK OF, UM, USAGE.

THAT'S A QUESTION FOR OUR AUDITOR.

SURE.

AND I DEFINITELY THINK, YOU KNOW, THERE'S LIKE A BALANCING ACT THAT THE CULTURAL CENTERS HAVE BETWEEN LIKE HOW MUCH OF THEIR TIME DO THEY SPEND DOING RENTALS AND HOW MUCH OF IT IS MISSION DRIVEN AND PROGRAM PROGRAMMATIC, OR LIKE IT'S A MEXICAN AMERICAN CULTURAL CENTER WITH THE LATINO ARTISTS ACCESS PROGRAM, BUT WE DID JUST FIND IT LIKE IT IS A BARRIER TO THE COMMUNITY WHEN THEY JUST DON'T KNOW WHAT IS AVAILABLE AT THE CENTER.

I MEAN, AT THE, YOU KNOW, NOT HAVING, LIKE KNOWING THAT THERE IS A KITCHEN AT THE MEXICAN AMERICAN CULTURAL CENTER AVAILABLE TO USE ALONGSIDE YOUR EVENT.

I THINK IT COULD BE AN IMPORTANT FACTOR WHEN YOU'RE MAKING DECISIONS ABOUT, YOU KNOW, RENTAL, LIKE MAYBE I'M GOING TO RENT THAT CITY CENTER, BUT THERE ARE SOME, LIKE WE ALSO FOUND THERE WAS A SIGNIFICANT AMOUNT OF OVERLAP BETWEEN THE COMMUNITY MEMBERS WHO ARE WANTING TO RENT THE SPACE AND, AND THE TYPES EVENTS THAT THEY WERE HAVING.

LIKE MAYBE THEY WEREN'T MISSION, LIKE THEY WERE NOT DEVELOPED BY THE CENTER STAFF, BUT THEY WERE STILL IN SOME WAYS MISSION DRIVEN AND THAT THERE WERE, YOU KNOW, IT WAS A, AN EVENT PREDOMINANTLY JUST, YOU KNOW, CELEBRATE SOMETHING, SOME ASPECT OF MEXICAN AMERICAN HERITAGE OR, YOU KNOW, SOME, SOME, SOME SIMILAR TYPE OF EVENT.

I SEE.

ABOUT, ABOUT ELIMINATING BARRIERS, NOT, NOT NECESSARILY A COMMENTARY ON HOW WELL USED OUR FACILITIES ARE.

SO IT'S REALLY, SO THAT, THAT COMMENT, THAT FINDING WAS REALLY

[00:45:01]

RIGHT.

AND, AND, AND LIKE THIS.

ABSOLUTELY.

AND THEN, AND THEN THESE, THIS FINDING KIND OF GOES IN AND, UM, YOU KNOW, BUT THERE'S A LOT OF DETAIL HERE, BUT SOME ROOMS ARE HEAVILY USED, SOME ROOMS AREN'T HEAVILY USED.

AND, UH, THAT IS SOMETHING WE NOTE.

UM, BUT YOU KNOW, PART OF THAT MAY BE WHY SOME OF THESE ROOMS THAT WERE NOT HEAVILY USED OR AS USED AS MUCH AS THEY COULD BE, OR I THINK WE USE THE WORD OPTIMIZED, UH, THEIR USAGE.

UM, MIGHT'VE BEEN BECAUSE THEY WEREN'T LISTED ON THE WEBSITE.

IT'S THAT LEVEL OF DETAIL.

I'M NOT SEEING THAT LEVEL OF DETAIL REPORT.

IT'S NOT NECESSARILY BECAUSE IT'S NOT THERE.

I MAY JUST NOT HAVE LANDED ON IT YET.

BUT IF, IF THAT LEVEL OF DETAIL ABOUT WHICH ROOMS AT DIFFERENT FACILITIES IS NOT IN THE REPORT AND THE FINAL REPORT, IF YOU WOULD MAKE SURE WE GET SOME OF THAT DETAIL, THAT'D BE USEFUL.

I'M LOOKING AT PAGES NINE AND 10 AND 11 AND NOT NECESSARILY, UM, IT'S NOT NECESSARILY, UH, MAYBE THIS JUMPING OUT AT ME NOW.

I'M SORRY.

I DO SEE IT ON PAGE NINE NOW.

UM, I WANT TO ADD A QUESTION ABOUT THE ASIAN AMERICAN RESOURCE CENTER.

I THINK THIS IS FOR OUR PART DIRECTOR.

SO WE DO HAVE, IT WAS MY UNDERSTANDING THAT THERE IS A NONPROFIT, A FIVE OH ONE TWO THREE, UM, THAT IS IN PLACE HELPING WITH BOTH FUNDRAISING AND PROGRAMMING.

AND JUST WANTED TO ASK YOU TO SPEAK, SPEAK TO THAT.

SO COUNCIL MEMBER TOBA, THERE, THERE'S A NONPROFIT THAT IS IN PLACE.

IT'S NOT SPECIFICALLY AFFILIATED WITH THE ASIAN AMERICAN RESOURCE CENTER.

IT'S A NONPROFIT THAT CARES DEEPLY ABOUT, UM, ASIAN AMERICAN ISSUES.

AND ONE OF THOSE IS THE, UH, IS THE ASIAN AMERICAN RESOURCE CENTER.

UH, WE DO WORK WITH THEM, UH, IN, IN SOME CASES ON CERTAIN TYPES OF EVENTS OR CERTAIN TYPES OF OPPORTUNITIES THAT MIGHT BENEFIT THE ASIAN AMERICAN COMMUNITY SPECIFICALLY AT THE ASIAN AMERICAN RESOURCE CENTER.

BUT IT'S NOT A NONPROFIT IN THE WAY THAT, AND IT JUST IS JUST BY WAY OF EXAMPLE, IT'S NOT A NONPROFIT IN THE WAY OF THAT TRAIL FOUNDATION WHO HAS ADOPTED THAT PARTICULAR SPACE AND IS ACTIVELY FUNDRAISING ONLY FOR THAT SPACE AND IN DOING SO IN A VERY STRATEGIC AND PLANNED WAY.

BUT I DO NOT WANT TO IN ANY WAY, SHAPE OR FORM THE AMOUNT OF SUPPORT THAT THEY PROVIDE IN STAKEHOLDER RELATIONS AND COMMUNITY ENGAGEMENT AND PROVIDING US INSIGHTS INTO WHAT IT IS THAT THE COMMUNITY IS LOOKING FOR, BUT IT'S NOT AS IT'S NOT AS WELL OILED MACHINE, OR IT, MAYBE IT HAS EVERY POTENTIAL TO BE.

BUT I THINK THAT THEIR, THEIR MISSION IS NOT SPECIFIC TO THE ASIAN AMERICAN RESOURCE CENTER.

IT'S IT'S TO OTHER, UM, OTHER TYPES OF ISSUES AND OTHER TYPES OF CHALLENGES OR OTHER TYPES OF INITIATIVES WITHIN THAT WITHIN THE COMMUNITY.

SO I THINK I NEED, AND THIS IS PROBABLY SOMETHING I NEED TO JUST TAKE OFFLINE AND UNDERSTAND BETTER THE EVOLUTION OF THAT RELATIONSHIP, BECAUSE AT ONE POINT THE FOUNDATION WAS LOCATED AT THE ASIAN AMERICAN RESOURCE CENTER AND WAS ACTIVELY PROGRAMING THAT SPACE.

AND THAT'S, YOU KNOW, IT WAS MY, I MEAN, THAT'S MY MEMORY OF IT, UNLESS AS AN OBSERVER, I WASN'T UNDERSTANDING IT WELL WAS THAT THEY WERE VERY MUCH WORKING TOGETHER ON THE SUCCESS OF THE ASIAN AMERICAN RESOURCE CENTER.

SO I'M NOT, AGAIN, I'M NOT UNDERSTANDING OF THINGS HAVE CHANGED IN THE LAST SEVERAL YEARS OR UNDERSTANDING THAT YES, THINGS HAVE CHANGED AND I'M HAPPY TO TALK OFFLINE ABOUT THE SUGAR THAT, AND HOW THAT PROGRESSED FROM WHAT YOU REMEMBER TO WHERE WE ARE NOW.

AND I'M REALLY MINED BY THREES, WHICH THAT, THAT WAS, THIS IS A QUESTION FOR MISSILE RUM.

ARE THEY STILL LOCATED AT THE ASIAN AMERICAN RESOURCE CENTER? SO THERE'S STILL A STAFF MEMBER ONSITE AT THE ASIAN REC AND RESOURCE CENTER.

I'M GOING TO ASK LUCAS MASSEY TO ANSWER THAT QUESTION.

I'M NOT A HUNDRED PERCENT SURE, SURE.

WE CAN, WE CAN TAKE THAT OFFLINE, BUT THAT, IT JUST SURPRISED ME AS WE WERE TALKING ABOUT THE GOVERNANCE, BECAUSE THAT WAS, UM, YOU KNOW, THE MODEL THAT WE WERE STRIVING FOR AT THE ASIAN AMERICAN RESOURCE CENTER.

AND SO I NEED TO BETTER UNDERSTAND THAT, ESPECIALLY IF ONE OF THE RECOMMENDATIONS OR, OR IF WE'RE LOOKING AT PEER CITIES THAT HAVE NONPROFITS THAT ARE VERY, UM, INVOLVED.

I WANT TO UNDERSTAND THE EVOLUTION OF THOSE EXPERIMENTS HERE IN AUSTIN, BECAUSE WE HAVE NOW HAD SEVERAL ONE WITH A PRIVATE MANAGEMENT CONTRACT AT THE MILLENNIUM CENTER, UM, RELATIONSHIP WITH THE FOUNDATION AT THE ASIAN AMERICAN CENTER.

UM, AND THEN ONE, I WOULD LIKE TO ASK ABOUT THAT.

I THINK I NEED TO, AND THAT IS, UH, ECONOMIC DEVELOPMENT.

THERE WAS A REFERENCE TO AN ORGANIZATION ON PAGE 12, THERE'S A REFERENCE TO AN ORGANIZATION THAT WAS TO HAVE RUN THE PORTAGE FACILITY.

[00:50:01]

SO WHEN THE CENTER WAS ORIGINALLY CONTEMPLATED AS A RESULT OF THAT AFRICAN AMERICAN QUALITY OF LIFE STUDY, IT WAS ORIGINALLY ENVISIONED THAT THE FACILITY, BUT ARTS NO LONGER EXISTS.

AND SO THAT THE EVOLUTION OF IT BEING MANAGED BY THE CITY, BUT ORIGINALLY THE CONSTRUCTION AND THE CONCEPT CAME OUT OF THE AFRICAN AMERICAN QUALITY OF LIFE REPORT.

UM, I WANT TO JUST UNDERSCORE THE IMPORTANCE OF THE RECOMMENDATION, THAT TEMPORARY STAFF THAT THE AUDITOR MADE ABOUT TEMPORARY STAFF, UM, RECEIVING TRAINING.

I THINK THAT'S REALLY IMPORTANT, ESPECIALLY SINCE SOME OF OUR FACILITIES.

I KNOW BECAUSE SOME OF, SOME OF THE STAFF HAVE FROM TIME TO TIME BEEN IN TOUCH WITH COUNCIL.

I KNOW SOME OF THOSE TEMPORARY STAFF ARE ACTUALLY ON STAFF FOR A PERIOD FOR A LONG PERIOD OF TIME AT SOME OF OUR CULTURAL FACILITIES.

AND SO THEY ARE, YOU KNOW, THEY ARE STAFF WITH WHOM OUR PUBLIC INTERACTS WITH, UM, A LOT AND FOR LONG PERIODS OF TIME, EVEN THOUGH THEY MAY NOT BE IN PERMANENT POSITIONS.

AND SO I THINK THAT'S REALLY IMPORTANT THAT THEY RECEIVED THE SAME KIND OF THE SAME LEVEL OF TRAINING THAT OUR, THAT OUR OTHER CULTURAL FACILITIES STAFF DO.

AND THEN MY LAST QUESTION IS ONE FOR THE AUDITOR ON PAGE 29.

UM, THERE'S A REFERENCE TO OTHER IN PEER CITIES, CULTURAL FACILITIES BEING S BEING FUNDED IN PART BY HOTEL OCCUPANCY TAXES, AS I'M REMEMBERING.

I THINK THE ONLY FACILITY THAT RECEIVES HOTEL OCCUPANCY TAXES AND SUPPORT IS THE HERITAGE FACILITATED THE AFRICAN AMERICAN CULTURAL HERITAGE FACILITY.

IT'S ALL GOOD.

IT'S A BIT NUANCED BECAUSE THE FACT THAT THE ARTISTS ACCESS PROGRAM IS FUNDED THROUGH HOTEL ART OCCUPANCY TAX, AND THE CULTURAL CENTERS MENTIONED IN THIS REPORT.

I THINK IT'S THE ASIAN-AMERICAN RESOURCE CENTER AND THE CARVER MUSEUM, UH, RISK, YOU KNOW, THEY HOST SOME OF THOSE REHEARSALS AND PERFORMANCES.

AND SO IN SOME WAYS ARE FUNDED THROUGH HOTEL OCCUPANCY TAX GUYS.

IF I MAY ADD THAT IF I MAY ADD THAT WAS A RESULT OF A COUNCIL APPROVED ACTION, I BELIEVE THREE YEARS AGO TO EXPAND, UM, SPACES FOR ROOMS AND ARTISTS TO REHEARSE.

AND SO OF COURSE, NONE OF OUR HOTEL OCCUPANCY TAX WAS SET ASIDE.

UH, THE PARKS DEPARTMENT HAS BEEN ABLE TO ACTUALLY LEVERAGE THAT OVER THE THREE YEAR TIME SPAN TO GIVE, UH, ADDITIONAL ACCESS, BUT THE CULTURAL AFRICAN AMERICAN CULTURAL HERITAGE FACILITY AT ONE TIME WAS MANAGED BY THE CONVENTION CENTER, BUT NOW HAS BEEN TRANSFERRED TO ECONOMIC DEVELOPMENT AND IS 100% SUPPORTED BY THE GENERAL FUND.

THAT WAS PART OF THE TRANSFER IN F Y 17.

THANK YOU FOR THAT CLARIFICATION.

I REALLY ASSUMED THAT THE AFRICAN AMERICAN HERITAGE FACILITY WAS STILL BEING SUPPORTED IN PART BY HOTEL OCCUPANCY TAXES.

OF COURSE, WE CAN PROVIDE THAT INFORMATION TO YOU.

I'LL HAVE TO THINK ABOUT THAT CHANGE.

THIS IS KATE BURDOCK.

BETTER UNDERSTAND WHY.

OH, I ALSO WORKED ON THESE PROJECTS.

THE MEXICO TEAM MUSEUM IS RECEIVING OPERATIONAL FUNDS FROM THE HOTEL OCCUPANCY TAX.

UM, THANK YOU.

SO THIS, IT SEEMS LIKE, UM, UM, I WOULD, WHAT IS THE BEST WAY TO GET REALLY SPECIFIC, SPECIFIC INFORMATION, MAYBE JUST THROUGH OUR, OUR BUDGET DOCUMENTS, BUT IT SOUNDS LIKE THINGS HAVE CHANGED A BIT AND THAT IT'S NOT NECESSARILY CONSISTENT IN TERMS OF FUNDING FOR OUR CULTURAL FACILITIES.

SOME ARE GETTING, IT SOUNDS LIKE SOME ARE GETTING HOTEL OCCUPANCY TAX DOLLARS THROUGH THE ARTIST ACCESS PROGRAM.

AT LEAST ONE IS GETTING IT THROUGH FOR SOME OPERATIONS FUNDING.

UM, AS YOU MENTIONED, THE EMMA VEDANTAS MEXICAN AMERICAN CULTURAL CENTER IS THE AFRICAN AMERICAN HERITAGE FACILITY USED TO, BUT NO LONGER DOES.

SO IT SOUNDS LIKE THERE ARE LOTS OF THINGS SHIFTING, AND I WOULD LIKE TO BETTER UNDERSTAND, I AGREE, COUNCIL MEMBER FLANAGAN WITH YOUR POINT THAT IT WOULD HAVE BEEN GREAT TO HAVE ASSISTANT CITY MANAGER SHORTER HERE TO REALLY UNDERSTAND, WELL, I THINK WE NEED TO, I THINK WE NEED TO LOOK AT, AT OUR PATTERN OF FUNDING OF OUR CULTURAL FACILITIES AND SEE WHETHER IT'S CONSISTENT ACROSS THE BOARD.

UM, AND SO I GUESS THE QUESTION, MY QUESTION FOR THE I'M SORRY, I STILL HAVE THE SAME QUESTION FOR THE AUDITOR, BUT IT SOUNDED LIKE SOMEBODY ON THE CALL HAD KNOW THAT THAT WAS ME COUNSEL, UM, CITY AUDITOR.

I JUST WANTED TO SAY, I THINK THERE ARE TWO OPTIONS FOR MORE INFORMATION.

SO IF WE HAVE THE INFORMATION ALREADY, BECAUSE WE'VE COLLECTED IT DURING THE COURSE OF THE AUDIT,

[00:55:01]

IF WE DON'T ALREADY HAVE THAT INFORMATION THAT'S WORK, WE COULD DO AS A SPECIAL REQUEST TO PUT TOGETHER INFORMATION ABOUT HOW HOTEL OCCUPANCY TAXES ARE USED PARTICULAR TO THESE CENTERS, OR IF YOU HAVE A BROADER REQUEST.

SO I WOULD JUST SAY, KEEP THAT IN MIND.

UM, IF AN, I DON'T KNOW IF WE HAVE ALL THE SPECIFICS THAT YOU'RE ASKING FOR ABOUT HOW THE, THE CENTERS ARE FUNDED, IF WE DO, WE'LL PROVIDE IT, IF WE DON'T, IT MIGHT BE A GOOD OPPORTUNITY FOR A SPECIAL REQUEST.

THAT'S A GREAT SUGGESTION.

THANKS SO MUCH, COREY.

UM, AND THEN, UM, SO MY, MY LAST QUESTION IS THE ONE THAT I PREFACE THIS QUESTION WITH, WHICH IS, AS YOU LOOKED AT, WHAT WERE SOME OF THE PEER CITIES, I THINK IT'S NOTED ON PAGE 29, WHAT WERE THE PEER CITIES THAT ARE USING, UM, HOTEL OCCUPANCY TAXES, IF YOU DON'T HAVE IT RIGHT NOW, IF YOU COULD PROVIDE THAT TO US SO THAT WE CAN GET A SENSE OF HOW THOSE HOTEL OCCUPANCY TAXES ARE BEING USED TO SUPPORT OUR CULTURAL CENTERS AND OTHER PEER CITIES, UM, THOSE MIGHT OFFER US SOME SUGGESTIONS FOR, YOU KNOW, FOR HOW WE'RE, HOW WE'RE USING OURS HERE.

THANK YOU VERY MUCH.

THANKS EVERYONE FOR, FOR THIS GOOD WORK.

THANK YOU, MAYOR ADLER.

GOT IT.

UM, I THINK THIS IS A REALLY GOOD AUDIT TOO, AND OBVIOUSLY THERE'S A LOT OF QUESTIONS THAT HAVE BEEN RAISED, UH, OVER THE LAST SEVERAL YEARS.

AND I APPRECIATE THE, THE, THE RESOLUTIONS ASKING FOR THIS AUDIT.

SO MAYBE GET TO SOME OF THE QUESTIONS.

IT SEEMS TO ME THE THRESHOLD QUESTION IS SOMETHING THAT, THAT, THAT SEVERAL, UH, UH, OUR COLLEAGUES ON THE COUNCIL COME BACK TO AND THAT'S THE GOVERNANCE ISSUE.

UH, AND, AND, AND IT SEEMS TO ME THAT, UH, THAT OUGHT TO BE KIND OF A THRESHOLD QUESTION THAT WE, THAT WE ASK OUR, SHOULD THESE BE OPERATING IN AND WHERE ARE THEY, SHOULD THEY BE OPERATING? AND, UH, WE HAVE, UH, A FOUNDATION MODEL, UH, THAT CONTRIBUTES TO THE SUPPORTS THAT OF THE ASIAN AMERICAN RESOURCE CENTER.

WE ACTUALLY HAVE A NONPROFIT THAT RUNS, UM, MEXICO DAY.

UH, WE HAVE THE CITY, UM, UH, DIRECTLY, UH, INFLUENCING.

WE HAVE SOMEWHERE, THE QUALITY OF LIFE COMMISSION TAKES A MORE ACTIVE ROLE, UH, ABANDON THEN, AND THEN OTHERS.

UH, AND I DON'T KNOW WHAT THE RIGHT ANSWER IS.

I MEAN, THERE'S THE QUESTION THAT, UH, COUNCIL MEMBER TOVO RAISED THAT THERE'S, THERE'S FUNCTIONS THAT, UM, UH, HAPPEN ACROSS THESE, UM, UH, FACILITIES, UH, AND ACROSS OF LIBRARIES AS WELL.

UH, SO THERE WILL BE REASONS WHY YOU WANT TO HAVE, UH, NOT ISOLATED OR SILOED FUNCTIONS, SO THAT THEY'RE ALL INTEGRATED AND SUPPORTIVE OF ONE ANOTHER.

AT THE SAME TIME, IF YOU'RE TRYING TO SET UP SET METRICS FOR INDIVIDUAL FACILITIES THAT THERE'S, UH, AN ENTITY OR BODY THAT IS, THAT IS MOST CLOSELY BEING EVALUATED OR JUDGED, THEN RESPONSIBLE FOR HELPING TO SET THE METRICS THAT WE USE TO EVALUATE, UH, THAT MIGHT SPEAK MORE TO HAVING A NONPROFIT OR SOMETHING THAT IS, THAT IS JUST MANAGING, UH, AND, AND OPERATING THAT FACILITY.

SO I DON'T KNOW WHAT THE RIGHT ANSWER IS, BUT IT SEEMS TO ME THAT A LOT OF THE QUESTIONS THAT FOLLOW IN A LOT OF THE ISSUES THAT RAISED GO TO THAT THRESHOLD, UH, GOVERNANCE ISSUE, UH, AND AT NIGHT.

AND I THINK THAT WHILE WE HAVE, WE KNOW WHAT HAPPENS IN DIFFERENT CITIES ACTUALLY KNOWING WHAT WORKS BEST, UH, MAKES SENSE TO ME.

UM, AND I THINK THAT THAT OUGHT TO BE KIND OF A DEEPER DIVE, WHERE SHOULD THE MONEY COME FROM AND HOW SHOULD THE MONEY HAPPEN? UM, YOU KNOW, WHERE MEXICO FIRE DAY IS, UH, UH, FUNDING THE OPERATIONS, BUT HAVING DIFFICULTY COMING UP WITH THE ADDITIONAL CAPITAL FOR THE EXPANDED PLAN THAT WE HAD ALL WANTED TO DO, UM, UH, ASIAN AMERICAN RESOURCE CENTER HAS A FOUNDATION.

I THINK THIS MORE ACTIVELY INVOLVED IN MAKING SURE THAT THERE'S PROGRAMMING FACILITIES THAT OPERATE AS IN SOME OF OUR OTHER, UH, HERITAGE CENTER.

SO JUST TO SAY THAT, I DON'T KNOW HOW YOU GET FROM HERE TO THERE.

AND MAYBE THAT'S PART OF THE QUESTION THAT GOT SOME OF PIVOT WAS ASKING, BUT I THINK THAT THE THRESHOLD QUESTION FOR US IS GOVERNANCE.

ASK A COUPLE OF QUESTIONS MYSELF.

UM, WHY GO TO CUT BEFORE I GO TO COUNCIL MEMBER POOL? I JUST WANTED TO, UH,

[01:00:01]

UM, SO I THINK THAT, UM, YOU KNOW, THE GOVERNANCE ISSUES ARE IMPORTANT AND IT SOUNDS LIKE, UM, THERE MAY BE ONE OR TWO SPECIAL PROJECTS THAT, UM, MAY WE MAY WANT TO PURSUE OUT OF THIS, BUT GET A LITTLE BIT MORE INFORMATION.

UM, FROM SOME OF THE OTHER CITIES, I APPRECIATED A COUPLE OF MEMBER FLANAGAN RAISING THAT.

UM, AND THEN ALSO THE QUESTIONS THAT COUNCIL MEMBER, UM, TOVO RAISED.

UM, YOU KNOW, ONE OF THE THINGS WE DON'T KNOW IS THEY MAY HAVE A NONPROFIT MODEL, BUT THE MONEY MAY BE ALL COMING FROM THE CITY.

UM, AND YOU KNOW, THAT WOULD BE, YOU KNOW, IT'S A VERY DIFFERENT MODEL.

IF YOU HAVE A NONPROFIT AND THEY'RE RAISING ALL THE MONEY AND DOING, YOU KNOW, MOST OF THE WORK, OR IF IT'S STILL GOING TO BE SUBSIDIZED SUBSIDIZED BY THE CITY, YOU KNOW, HOW MUCH INVOLVEMENT SHOULD YOU BE HAVING FROM THE CITY? SO I THINK WE NEED TO GET A LITTLE BIT MORE, UM, INFORMATION ON THAT.

UM, BUT I THINK THOSE BEST PRACTICES ARE GOOD.

UM, MY OFFICE WILL MAKE SURE THAT WE GET IN TOUCH WITH ACM SHORTER AND GONZALEZ, AND HOPEFULLY ALSO, UM, DIRECTORS HOPE ROBIN MCNEELY CAN ALSO PASS THAT UP.

IS, DOES CROSS MULTIPLE, UM, ACM, UM, CATEGORIES.

SO WE JUST NEED TO MAKE SURE THAT THE INTERESTS WE HAVE ON LOOKING AT THE GOVERNANCE STRUCTURES AND IN THAT LAST RECOMMENDATION IS REACHING THOSE PEOPLE WHO NEED TO MAKE, TO MAKE THAT, UM, PIECE HAPPEN.

UM, AND THEN I DID WANT TO ASK ABOUT, UM, RECOMMENDATIONS SEVEN FOR PART, UM, TO ENSURE THAT THE FEES ARE APPROPRIATELY CHARGED AND TRACKED.

UM, THIS SAYS THAT IT WON'T BE IMPLEMENTED UNTIL MAY OF 2021.

THAT SEEMS LIKE A MUCH SIMPLER TASK THAN NEEDING TO TAKE THAT MUCH TIME.

UM, I KNOW SOMETIMES WE'VE HAD THE TIMING, BUT, UM, WOULD YOU BE ABLE TO SPEAK A LITTLE BIT TO, THAT HAS BEEN REALLY, YEAH.

I THINK THIS IS A QUESTION THAT'S BEST ANSWERED BY OUR ASSISTANT DIRECTOR LUCAS MASSEY, AND WHEN HE'S FINISHED WITH IT RESPONSE, IF THERE'S SOMETHING I NEED TO ADD, I ABSOLUTELY.

WELL, YES, GOOD AFTERNOON.

COUNCIL MEMBER, WE'VE ALREADY TAKEN CORRECTIVE ACTION TO CORRECT SOME OF THE SIMPLER THINGS LIKE, UH, THE MS. CHARGING OF, OF A FEE.

UH, I THINK THE, THE LONGER TIME PERIOD IS FOR US TO DO A COMMUNITY ENGAGEMENT OR TO REACH BACK OUT TO, TO MAKE SURE WE WENT THROUGH OUR PROCESS TO MAKE SURE THE FEES ARE, UM, MORE IN LINE WITH, UH, THE, THE NEEDS AND WANTS OF THE COMMUNITY.

I WOULD JUST LIKE TO MAKE SURE THAT WE GET THAT, YOU KNOW, THE BASIC STUFF ON THAT.

UM, I THINK THERE, THERE ARE SOME CONTRADICTIONS IN THIS REPORT, SO THERE'S PARTS WHERE WE'RE SAYING THE FEES ARE TOO HIGH, AND THEN WE'RE UPSET THAT WE'RE, THAT WE'RE WAIVING THE FEES.

AND I THINK THAT THEY'RE, YOU KNOW, UM, FOR A SITUATION LIKE THIS, WHERE WE'RE REALLY TRYING TO SUPPORT THE CULTURAL WORK, THERE MAY BE, UM, MORE OPPORTUNITY FOR THOSE WAIVERS.

SOME OF THOSE MAY BE FROM, I DIDN'T SEE AN ANALYSIS OF WAIVERS THAT WERE, UM, DONE BECAUSE OF THE CITY COUNCIL.

AND I KNOW THAT CERTAIN CENTERS, WE TEND TO WAIVE A LOT OF THE FEES AND I WASN'T SURE HOW THAT, UM, WAS INCORPORATED INTO THE ANALYSIS OF THE FEES.

SO I KNOW WE'RE ALWAYS WAIVING FEES FOR THE AARC.

I DON'T KNOW ABOUT THE OTHER CENTERS AS MUCH.

I KNOW I GET ASKED A LOT, UM, FOR STUFF FOR, FOR THE AARC.

SO THAT WOULD BE ANOTHER, ANOTHER PIECE OF THAT, UM, COUNCIL MEMBER POOL.

DID YOU WANT TO ADD SOMETHING? YEAH.

THANKS CHAIR.

UM, WE'RE START WANTING TO COMMENT ON THE CO ON THE GOVERNANCE PIECE.

CAUSE I, Y I THINK IT'S TRUE THAT WE SHOULD BE LOOKING FOR SOME KIND OF STANDARDIZATION, BUT I ALSO WANT TO ACKNOWLEDGE THAT EACH ONE OF THESE FACILITIES WAS FOUNDED WITH A PARTICULAR UNIQUE MISSION AND WHATEVER WE DO TO STANDARDIZE PRACTICES ACROSS THEM.

IF WE DECIDE TO DO THAT, WE CAN'T LOSE SIGHT OF THE PARTICULAR DELIVERY AND MISSION OF EACH OF US SPECIFICALLY IN THE CULTURAL CENTERS.

UM, SO I THINK THERE'S ROOM FOR THAT THERE'S ROOM TO HAVE UNIQUE ENTITIES AND MISSIONS WITHIN THE LARGER, UM, STANDARDIZATION.

AND, UM, SO THAT THE UNDERPINNINGS ON ALL OF THESE CAN TRACK ACROSS ALL OF THEM.

AND THEN PEOPLE THEY'RE MUCH MORE PREDICTABLE.

I WAS CONCERNED TOO, HERE IN THE, UH, IN THE UPDATE THAT STAFF HAD TAKEN IT UPON THEMSELVES TO WAIVE FEES OR TO LOWER THEM WITHOUT THAT GOING THROUGH ANY KIND OF, I GUESS WE WOULDN'T KNOW ABOUT IT WITHOUT, DURING THIS DIVE ON AN AUDIT AND THAT THAT'S CONCERNED, AND I'M SURE THAT THE DIRECTORS WILL TAKE, UM, IT SOUNDS LIKE THE DIRECTORS HAVE ALREADY TAKEN STEPS TO ADDRESS THAT.

UM, I WAS GOING TO ASK OUR AUDITOR CAN THE AUDIT AND FINANCE COMMITTEE AS, AS AN ENTITY REQUEST, A SPECIAL AUDIT.

[01:05:03]

SO THE, UM, I GUESS THE, MAYBE THE LANGUAGE IS A LITTLE COMPLEX, BUT, UM, A SPECIAL REQUEST CAN COME FROM ANY TWO COUNCIL MEMBERS.

SO IF YOU WANT MORE INFORMATION ABOUT A PARTICULAR PARTICULAR TOPIC, THIS GROUP CAN ABSOLUTELY REQUEST THAT IF YOU'RE ASKING FOR MORE AUDIT WORK.

SO YOU WANT FINDINGS, CONCLUSIONS, RECOMMENDATIONS, THAT KIND OF THING.

THEN THAT IS REALLY A REQUEST OF THE FULL COUNCIL.

UM, COLLEAGUES AND, AND THAT PARTICULAR, UM, FACILITY ASSESSMENT.

SO, BUT THIS GROUP CAN DEFINITELY REQUEST ADDITIONAL WORK, UM, MORE ALONG THE SPECIAL REQUESTS THAT WE DO, UM, THAT ANSWER QUESTIONS AND PROVIDE INFORMATION, BUT DON'T NECESSARILY HAVE CONCLUSIONS AND RECOMMENDATIONS.

ALL RIGHT.

SHARE.

THAT MIGHT BE SOMETHING THAT WE WANT TO KIND OF ORGANIZE AND THEN, AND THEN SEND OVER TO THE CITY AUDITOR.

AND THEN, UM, THE LAST THING I WANTED TO SAY ASIDE FROM, OF COURSE, THE THANKS TO STAFF FOR TAKING THE TIME, THIS WAS ONE OF THE LONGER, UH, AUDITS.

IT LASTED OVER A YEAR, SO GOOD WORK ON HENRY'S AND MAY HAS, UM, PARTS.

UM, IT'S ALSO A CONCERN TO ME THAT, UM, WE ARE LETTING, UH, WE'RE RAISING MONEY THROUGH BONDS FOR FACILITIES THAT WE DON'T HAVE, UH, ACCURATE UP TO DATE OR EVEN EXISTING MASTER PLANS.

AND SO I THINK THAT THERE SHOULD BE A FULL STOP PROHIBITION ON ANY FACILITY GOING OUT AS PART OF A BOND FOR BOND PROJECT, UNLESS, AND UNTIL THE CITY HAS INVESTED THE MONEY AND THE STAFF WORK TO COME UP WITH A MASTER PLAN FOR IT, I THINK THAT WILL HELP IN LARGE PART, UH, STAY CURRENT ON WHAT'S GOING ON FOR DIFFERENT CENTERS AND BE ABLE TO CORRECT THEM.

UM, MORE QUICKLY, THIS WOULD BE A APPARENTLY MASSIVE, UH, RE CORRECTION OF MISSION.

AND IT WOULD BE EASIER, I THINK ON EVERYBODY, IF WE WERE TO MAKE THOSE CORRECTIONS IN S IN SMALLER INTEGERS AND DO THEM MORE FREQUENTLY.

SO LET'S SEE ABOUT HAVING SOME KIND OF A CITY POLICY ON PUBLIC SECURITY ISSUANCES FOR FACILITIES THAT YOU HAVE TO HAVE AT AN UPTODATE PLANNING DOCUMENT TO GUIDE, AND TO GIVE AN IDEA ABOUT HOW MUCH MONEY IS NECESSARY FOR A LUNCH.

THANKS, THANK YOU, COUNCIL MEMBER POOL.

UM, I WANTED TO MAKE, UM, WHEN THAT'S COMMENT, YOU KNOW, THROUGHOUT ALL OF THE AUDITS THAT WE'RE GOING TO HEAR TODAY, THERE ARE REFERENCES TO MAINTENANCE AND ADA ACCESSIBILITY, AND AS SOMEBODY WHO HAS BEEN CHAMPIONING THE FACT THAT WE NEED TO INVEST IN OUR DEFERRED MAINTENANCE.

UM, AND I KNOW THAT COUNCIL MEMBER POOL HAS BEEN LEADING ON THE ADA ACCESS, UM, YOU KNOW, IN OUR PARKS.

UM, I JUST WANT TO CALL ATTENTION THAT THIS IS A BROADER PROBLEM AND NOT SPECIFIC TO THESE PARTICULAR, UM, CENTERS.

UM, WE HAVE OVER, I THINK IT'S $300 MILLION WITH MCKAYLA.

YOU CAN CORRECT ME IF I'M WRONG IN DEFERRED MAINTENANCE, LESS THERE'S THE ADA ACCESSIBILITY.

UM, AND, AND SO, UM, I JUST WANT TO BE REALLY CLEAR THAT, UM, YOU KNOW, PART IS WORKING WITH VERY LIMITED DOLLARS TO ADDRESS, UM, THESE SHIFTS AND IT HAS TO BALANCE IT ACROSS THE WHOLE CITY, UM, IN ALL OF ITS PROPERTIES WHERE THOSE MAINTENANCE NEEDS ARE.

UM, AND, YOU KNOW, AS WE'RE, AS WE'RE MAKING DECISIONS, MOVING FORWARD, AS WE'RE THINKING ABOUT WHERE OUR DEFERRED MAINTENANCE DOLLARS GO, UM, NOT HAVING THEM HAS REAL CONSEQUENCES AND EFFECTS, UM, PEOPLE'S LIVES.

UM, BUT THAT, YOU KNOW, PART IS ABLE TO DO WHAT THEY'RE ABLE TO DO BASED ON THE FUNDING THAT COUNCIL, UM, GIVES THEM.

UM, AND, YOU KNOW, TO THE EXTENT THAT THE BACKLOG, SINCE FOR MANY YEARS BEFORE WE HAD THE DEFERRED MAINTENANCE, WE WERE DOING NOTHING FOR DEFERRED MAINTENANCE BEYOND, YOU KNOW, SOME SMALL MARGINAL THINGS AND NOTHING MAY BE AN EXAGGERATION, BUT COMPARED TO THE SCALE OF WHAT WE'RE DOING, UM, YOU KNOW, WE, WE JUST NEED TO KEEP THAT IN MIND AS WE'RE MAKING FUNDING DECISIONS AND, AND STUFF.

AND I DON'T KNOW MR. MCNEELY, IF YOU WANT TO SPEAK TO THE MAGNITUDE OF THE CHALLENGES FOR ADA AND DEFERRED MAINTENANCE WITHIN PART, UM, SO THAT WE CAN BE CLEAR, UM, ABOUT WHAT THE CHALLENGES THAT WE'RE DEALING WITH.

SO I THINK THAT YOU'VE ARTICULATED THE CHALLENGES QUITE WELL.

COUNCIL MEMBER ALTER THAT, UM, ON A, ON A KIND OF A MOVING FORWARD NOTE, UM, WE, WE DID RECEIVE FUNDING, BOND FUNDING FOR, UM, FOR DEFERRED MAINTENANCE SORTS OF THINGS.

WE DID DEFER.

WE DID RECEIVE BOND FUNDING FOR ADA ITEMS, AND WE'VE ALSO HAVE OBVIOUSLY THE GENERAL BOND FUNDING FOR DIFFERENT PROJECTS THAT WE CAN ABSOLUTELY ADDRESS CERTAIN ISSUES WITHIN OUR PARK SYSTEM, AS WE RE RENOVATE OR REDEVELOP A SPACE, WHICH WILL BE ABLE TO SIGNIFICANTLY INCREASE ACCESSIBILITY IN CERTAIN AREAS.

UM, I WILL ALSO TELL YOU THAT WE HAVE AN ASSET MANAGEMENT PROGRAM THAT IS IN ITS FINAL STAGES OF GETTING APPROVED.

WE'VE BEEN WORKING WITH OUR, OUR IT,

[01:10:01]

IT'S A, IT'S A, UM, AN ASSET MANAGEMENT SYSTEM, BUT IT ALLOWS US TO ASSESS EVERY FACILITY AND THEN WILL HELP US BE ABLE TO PRIORITIZE THINGS.

AND I THINK THAT WITH THAT SYSTEM, UM, TO COUNCIL MEMBER POOLS, UH, POINTS ABOUT HAVING GUIDING DOCUMENTS TO BE ABLE TO, UH, PROVIDE REALLY GOOD INFORMATION ABOUT THE DIFFERENT NEEDS OF DIFFERENT FACILITIES, NOT JUST FOR THESE CULTURAL CENTERS, BUT FOR ALL THE PARTS.

UM, THOSE ARE THINGS THAT ARE ON THE HORIZON THAT I THINK ARE VERY POSITIVE AND THAT WILL CONTRIBUTE GREATLY TO, UM, MANAGING AND TO BETTER ADDRESSING SOME OF THE ISSUES THAT YOU HAVE SEEN IN THIS AUDIT AT CULTURAL CENTERS AND THROUGHOUT THE PARKS AND RECREATION DEPARTMENT.

SO YOU, YOU ARTICULATED OUR CHALLENGE WELL, BUT I WANTED YOU TO KNOW THAT, UM, WE'RE NOT JUST THROWING OUR HANDS IN THE AIR.

WE HAVE MULTIPLE SYSTEMS AND MULTIPLE THINGS HAPPENING TO HELP ADDRESS THOSE ITEMS. GREAT.

I, I READ ABOUT THE ASSET MANAGEMENT SYSTEM AND WAS VERY EXCITED ABOUT THAT AS A TOOL FOR US.

SO THANK YOU VERY MUCH.

UM, I THINK MOST OF YOU ARE STAYING FOR THE, FOR THE NEXT AUDIT.

IF THERE ARE NO MORE QUESTIONS, UM, WE'RE GOING TO MOVE ON TO THE MILLENNIUM USE.

UM, AND WE WILL STILL END AT 1130.

IF WE DON'T GET TO THE MEXICO DAY ONE TODAY, WE WILL.

UM, THAT'S WHY WE KIND OF MOVED THINGS AROUND.

IF WE DON'T GET TO MEXICALI DAY, WE'LL MOVE ON TO OUR NEXT MEETING,

[4. Millennium Youth Entertainment Complex audit requested through Council Resolution No. 20190619-086. (City Auditor’s Office)]

BUT WE WILL BEGIN THE PRESENTATION ON THE MILLENNIUM, UM, YOUTH ENTERTAINMENT COMPLEX.

THAT SOUNDS GREAT.

UM, WE, SO THE MILLENNIUM YOUTH ENTERTAINMENT COMPLEX WAS INCLUDED IN THE RESOLUTION AS SOMETHING FOR US TO REVIEW.

UM, NEYHA SHARMA WHO MANAGED ALL OF THIS WORK IS GOING TO PRESENT THE AUDIT TODAY.

SO, UM, AND I THINK THERE'S A PRESENTATION, UM, TO THE CTM AAV SUPPORT.

UM, THERE'S A PRESENTATION TIED SPECIFICALLY TO THIS ONE AS WELL.

OKAY, GOOD MORNING, CONCENT MEMBERS.

MY NAME IS AS YOU HEARD ABOUT IT BEFORE, AND I WAS THE AUDIT MANAGER FOR THE MILLENNIUM YOUTH ENTERTAINMENT COMPLEX AUDIT, REFERRED TO AS MILLENNIUM FOR THIS PRESENTATION.

THE MILLENNIUM IS A CITY OWNED FACILITY, WHICH OFFERS ENTERTAINMENT, ACTIVITIES, AND SPACES FOR RENT.

THE CONSTRUCTION OF THIS FACILITY WAS FUNDED THROUGH A HARD LOAN TO SATISFY HER LOAN REQUIREMENTS.

THE CITY CREATED THE AUSTIN ROSEWOOD COMMUNITY DEVELOPMENT CORPORATION.

THIS ENTITY IS A NONPROFIT ORGANIZATION, WHICH WE WILL REFER TO AS BOARD FOR THIS PRESENTATION.

AS SHOWN IN THIS SLIDE, THERE ARE SEVERAL PARTIES INVOLVED IN THE ACTIVITIES OF THE MILLENNIUM.

FOR INSTANCE, DEPART IS RESPONSIBLE FOR ONE, A CHINK OF AGREEMENT WITH THE BOARD AND FOR PROVIDING ADMINISTRATIVE SERVICES TO THE BOARD.

IN ADDITION, ART ALSO MANAGES MILLENNIUM CAPITAL AND OPERATING BUDGETS.

THE BOARD IS RESPONSIBLE FOR OVERSEEING AGREEMENTS WITH SMG SMG NOW CALLED E S M E S M GLOBAL IS A FOR PROFIT ENTITY THAT MANAGES, OPERATES AND MARKETS MILLENNIUM.

THIS ENTITY IS CALLED MANAGEMENT COMPANY FOR OUR PRESENTATION.

THIS AUDIT, WE LOOKED AT WHETHER THE MILLENNIUM IS OPERATING EFFECTIVELY TO MEET COMMUNITY NEEDS.

WE IDENTIFIED VARIOUS ISSUES RELATED TO GOVERNANCE AND OPERATIONS OF THE MILLENNIUM.

THESE ISSUES ARE ORGANIZED IN FIVE FINDINGS.

DID I STOP PRESENTATION? WE'LL DETAIL.

THESE FINDINGS.

AS MENTIONED EARLIER, THERE ARE VARIOUS KEY PLAYERS INVOLVED IN THE ACTIVITIES OF THE MILLENNIUM FOR OUR FIRST FINDING.

WE NOTED STRANGE RELATIONSHIPS AND A LACK OF TRUST AMONG THESE KEY PLAYERS.

IN ADDITION, A LACK OF TRUST WAS ALSO PERCEIVED BY THE COMMUNITY MEMBERS AND OTHER STAKEHOLDERS, THE STRAINED RELATIONSHIPS, AND A LACK OF TRUST AMONG STAKEHOLDERS CREATED AN ENVIRONMENT WHICH IF LEFT UN ADDRESSED WOULD FURTHER IMPACT THE ABILITY OF FACILITY TO MEET ITS MISSION.

OUT ITS OVERSIGHT RESPONSIBILITIES FOR THE FACILITY OPERATIONS.

WE NOTED SEVERAL FACTORS WHICH APPEARED TO HAVE CONTRIBUTED TO STRANGE RELATIONSHIPS AND A LACK OF TRUST.

FOR INSTANCE, THE BOUGHT DID NOT EFFECTIVELY CARRY

[01:15:01]

WE WILL DISCUSS THIS IN DETAIL, IN OUR FINDINGS TO, FROM OUR SURVEY AND INTERVIEW OF STAKEHOLDERS, THERE SEEMS TO BE A LACK OF TRUST BETWEEN STAKEHOLDERS.

IT APPEARS SOME STAKEHOLDERS PERCEPTIONS ARE INFLUENCED BY HISTORY.

BY EXAMPLE, THE COMMUNITY PERCEPTION FOR THE FUTURE OF FACILITY IS THAT THE CITY IS PLANNING TO SELL IT, SHUT IT DOWN, OR REPURPOSE IT TO FURTHER GENTRIFY EAST AUSTIN.

NEXT SLIDE PLEASE.

YES, THE STRAINED RELATIONSHIP AND LACK OF TRUST APPEARS TO BE NEGATIVELY AFFECTING THE ABILITY OF KEY PLAYERS TO CREATE A COMMON VISION FOR THE FACILITY OPERATIONS NEEDS AND THE FUTURE.

WHAT IS INSTANCE? IT TOOK OVER THREE YEARS TO RENEW THE CITY AGREEMENT WITH THE BOARD.

FOR THIS FINDING, WE RECOMMENDED THAT THE CITY MANAGER SHOULD WORK WITH ALL KEY STAKEHOLDERS TO BREAK COMMUNICATION BARRIERS AND BUILD TRUST.

SECOND FINDING.

WE NOTED AT THE MILLENNIUM AGREEMENTS WITH ARE NOT EFFECTIVELY MONITORED.

AS A RESULT, THE CITY HAS LESS ASSURANCE THAT COMMUNITY NEEDS ARE MET.

IN ADDITION, PROVIDING FUNDING TO THIRD PARTY WITHOUT OVERSIGHT MAY LEAD TO NEGATIVE PUBLIC PERCEPTION THAT THE CITY IS NOT GOOD STEWARD OF PUBLIC FUNDS.

WE FOUND THAT PARK MANAGEMENT DID NOT MONITOR THE PERFORMANCE OF THE BOARD.

FOR INSTANCE, THE PARK DID NOT INSURE BOTH SUBMITTED THE REQUIRED REPORTS.

WE ALSO FOUND SIGNIFICANT GAPS IN THE WAY BOARD MONITORED IT'S AGREEMENT WITH THE MANAGEMENT COMPANY.

FOR INSTANCE, THE BOARD MEETING DID CARDS SHOWED THAT ONLY SEVEN MEETINGS WERE HELD BETWEEN CALENDAR YEAR, 2012 TO 2019.

BASED ON INTERVIEWS WITH STAKEHOLDERS AND REVIEW OF BOARD RECORDS, WE NOTED THAT THE BOARD DID NOT REVEAL THE REPORTS SUBMITTED BY THE MANAGEMENT COMPANY FOR THE COMPLETENESS AND ACCURACY ARE DISCUSSED ITS PERFORMANCE.

THE MILLION MILLENNIUM AGREEMENTS WERE NOT EFFECTIVELY MONITORED PARTIALLY DUE TO UNCLEAR ROLES AND RESPONSIBILITIES OF KEY PLAYERS IN THE AGREEMENT OR INSTANCE, FIVE MANAGEMENT INDICATED THAT MONITORING ROLES AND RESPONSIBILITIES ARE NOT CLEARLY STATED IN THE CITY AGREEMENT WITH THE BOARD.

IN ADDITION, NOT ALL THE BOARD MEMBERS WERE AWARE OF THEIR MONITORING RULES.

WE NOTED THAT THE GOVERNANCE STRUCTURE OF THE BOARD ALSO PRESENTED CHALLENGES.

FOR INSTANCE, THE BOARD INDICATED, BUT STAFF WERE, UM, WHITE ON THE BOARD INCLUDED PART STAFF, SORRY, BY SERVING ON THE BOARD PART WAS RESPONSIBLE FOR MONITORING THE BOARD AGREEMENT, WHICH CREATED POTENTIAL CONFLICT OF INTEREST DURING THIS AUDIT CITY CONSOLE ADDRESS THE ISSUE OF HAVING CITY STAFF ON THE BOARD BY REMOVING ALL CITY STAFF AND APPOINTING COMMUNITY MEMBERS INSTEAD TO ADDRESS THE NOTED ISSUES, REALLY COMMENDED THAT THE CITY MANAGER SHOULD EVALUATE THE CURRENT GOVERNANCE STRUCTURE OF THE MILLENNIUM.

NEXT SLIDE, PLEASE, FOR OUR CARD FINDING, WE NOTED THAT THE CITY HAS, HAS NOT ADDRESSED ISSUES IDENTIFIED FOR THE MAINTAINERS OF THE FACILITY ACKNOWLEDGING NEED OR ASSESSABILITY REQUIREMENTS.

THE MANAGEMENT COMPANY ANNUALLY SUBMIT IDENTIFIED CAPITAL MAINTAINERS ITEMS AND ASSOCIATED COSTS TO THE CITY IN FISCAL YEAR, 2019 CAPITAL EXPENDITURE NEEDS IDENTIFIED FOR THE FACILITY.

WE'RE ABOUT $500,000 ON SALE APPROVED, APPROXIMATELY $280,000 TO ADDRESS SOME OF THE IDENTIFIED NEEDS.

ACCORDING TO CITY STAFF, THIS AMOUNT HAVE NOT BEEN APPLIED BECAUSE THERE IS NO ENFORCEABLE AGREEMENT BETWEEN THE CITY AND THE BOARD.

IN ADDITION, IN FISCAL YEAR, 2016, DOES IT IDENTIFY SEVERAL ISSUES RELATED TO ADA COMPLIANCE? ACCORDING TO PARK MANAGEMENT, THE PRELIMINARY ESTIMATED COST TO ADDRESS THE ISSUE WAS

[01:20:01]

ABOUT $500,000.

FROM OUR SURVEY, AN INTERVIEW OF HOLDERS, WE NOTED THAT WHILE THE MAJORITY OF STAKEHOLDERS BELIEVE THAT THE FACILITY IS WELL MAINTAINED, SOME EXPRESS CONCERNS THAT UPGRADES ARE NEEDED, PARTICULARLY IN SKATING GRADE AND MOVIE THEATER.

FROM OUR COMMUNITY SURVEY, WE NOTED THAT MAJORITY OF COMMUNITY MEMBERS EXPRESSED SATISFACTION WITH ACTIVITIES, OFFERED A DEFENSIBILITY, HOWEVER, SOME COMMUNITY MEMBERS AND OTHER STAKEHOLDERS NOTED A NEED TO UPGRADE THE THEATER TECHNOLOGY AND IMPROVE THE QUALITY OF VIDEO GAMES TO ATTRACT MORE YOUTH.

SINCE IT IS CRITICAL TO MAINTAIN THE FACILITY, INFRASTRUCTURE AND TECHNOLOGY TO PROVIDE EFFECTIVE SERVICES TO THE COMMUNITY.

NEXT SLIDE, PLEASE, IN THIS FINDING FOR THE AGREEMENT BETWEEN THE BOARD AND THE MANAGEMENT COMPANY, WE NOTED SOME ISSUES RELATED TO PERFORMANCE EXPECTATIONS.

NEXT SLIDE, PLEASE, AS SHOWN IN THE GRAPHICS ON THIS SLIDE, THE MANAGEMENT COMPANY DID NOT MEET TARGETS FOR REVENUE AND ATTENDANCE IN THE LAST THREE YEARS, THE MANAGEMENT COMPANY AND THE BOARD MEMBERS INDICATED THAT OUTDATED TECHNOLOGY AND ADDRESS MAINTAINING ISSUES MAY HAVE IMPACTED THE MANAGEMENT COMPANY ABILITY TO MEET TARGETS.

NEXT SLIDE PLEASE.

SO NO, IT DID THAT.

THE MANAGEMENT COMPANY OF MILLENNIUM ALSO DID NOT IMPLEMENT SOME PERFORMANCE REQUIREMENTS.

IN ADDITION, WE NOTED SOME PERFORMANCE EXPECTATIONS WERE NOT SPECIFIC ENOUGH IN THE AGREEMENT, WHICH MAKE IT DIFFICULT TO MEASURE SUCCESS.

IN OUR RECOMMENDATION FOR FINDING TWO, WE RECOMMENDED THAT THE CITY MANAGER SHOULD WORK WITH STAKEHOLDERS TO ESTABLISH CLEAR EXPECTATIONS, WHICH INCLUDE PERFORMANCE EXPECTATIONS.

NEXT SLIDE PLEASE FINDING IS RELATED TO ACCESSIBILITY OF THE FACILITY.

IN OUR COMMUNITY SURVEY.

WE START COMMUNITY MEMBERS INPUT FOR TWO ASPECTS RELATED TO ACCESSIBILITY, WHETHER FEE CHARGE IS AFFORDABLE FOR THE COMMUNITY AND WHETHER THE FACILITY OPERATING HOURS ARE ALIGNED WITH THE COMMUNITY NEEDS.

NEXT SLIDE, PLEASE WHY MOST COMMUNITY MEMBERS SAID FEES WERE AFFORDABLE.

SOME OF THE MEMBERS EXPRESSED CONCERN THAT THE FEES ARE HIGHER, ESPECIALLY FOR LOW INCOME FAMILIES.

IN OTHER COMPARISON OF FEES CHARGED BY THE MILLENNIUM FOR SOME OF THE ENTERTAINMENT ACTIVITIES TO THE FEES CHARGED BY LOCAL PRIVATE FACILITIES.

WE NOTED THAT THE MILLENNIUM FEES ARE RELATIVELY LOWER FOR THE FACILITY OPERATING HOURS BY MOST RESPONDENTS, BELIEVE THAT OPERATING HOURS MEET THEIR NEED.

SOME EXPRESS CONCERNS.

FOR INSTANCE, THE MILLENNIUM DID NOT OPEN DURING SCHOOL HOLIDAYS ARE AT A TIME AND WE NEED FOR TEENS, YOUTH, ADULTS, OR PARENTS, REALLY COMMENDED THAT THE CITY MANAGER SHOULD WORK WITH STAKEHOLDERS TO ADDRESS THE BARRIERS HIGHLIGHTED IN OUR FINDING.

ADDRESSING SOME CRITICAL MAINTENANCE NEEDS OF THE MILLENNIUM AND TO DEVELOP A DRAFT AGREEMENT.

WE HAVE THREE ADDITIONAL OBSERVATIONS FOR THIS AUDIT OR OUR FIRST OBSERVATION.

WE NOTED THAT BASED ON TERMS OF THE AGREEMENT BETWEEN THE CITY AND THE BOARD, THEN THE FACILITY EXPENSES ARE GREATER THAN THE OPERATING REVENUE.

THE CITY PROVIDES ADDITIONAL FUNDING TO RUN THE FACILITY AS SHOWN IN THIS SLIDE.

THE FACILITY CONSISTENTLY OPERATED AT AN AVERAGE NET LOSS OF APPROXIMATELY $703,000 EACH YEAR AND REQUIRED AN ANNUAL OPERATING CONTRIBUTION FROM THE CITY.

NEXT SLIDE PLEASE.

BUT OUR SECOND OBSERVATION AS MENTIONED EARLIER DURING THIS RD DID CONSULT, RESTRUCTURE THE BOARD, THE CURRENT BOARD AND PART MANAGEMENT NOTED THAT THERE HAVE BEEN IMPROVEMENTS IN WORKING RELATIONSHIP BETWEEN THEM.

THIS HAS ALLOWED BOTH PARTIES TO WORK TOGETHER ON

[01:25:01]

THE THIRD OBSERVATION IS ABOUT THE PIECE IT IS WORK.

IN OTHER PIECE, IT IS RESEARCH.

WE DID NOT FIND A CITY THAT OWNS AND OPERATES AN ENTERTAINMENT CENTER LIKE MILLENNIUM.

WE ALSO DID NOT FIND A CULTURE CENTER RUN BY A NONPROFIT THAT CONTRACTED OUT MANAGEMENT OFFICE CENTER TO A, FOR PROFIT AND COMPANY.

NEXT SLIDE PLEASE, CITY MANAGEMENT AND PARK MANAGEMENT AGREED WITH ALL OUR FINDINGS AND RECOMMENDATIONS.

THIS COMPLETES MY PRESENTATION, HENRY AUDIT IN CHARGE FOR THIS AUDIT, AND I'M HAPPY TO ANSWER ANY QUESTIONS.

THANK YOU, MS. SHARMA, LET ME GO BACK TO THE PANEL.

UM, SO I'M GONNA LET, UH, MANAGEMENT RESPOND, UM, BUT I FORGOT TO TAKE A VOTE TO ACCEPT THE OTHER AUDIT.

I'VE BEEN SORT OF THINKING OF THESE AS ALL ONE AUDIT, BUT THEY HAVE BEEN SEPARATED INTO SEPARATE AUDIT.

SO IF I CAN GET A MOTION TO ACCEPT THE AUDIT THAT WE HEARD BEFORE FOR THE CITY CULTURAL CENTERS, MOTION BY COUNCIL MEMBER FLANAGAN, SECONDED BY COUNCIL MEMBER POOL, ALL THOSE IN FAVOR, THAT'S UNANIMOUS ON THE DYESS.

SORRY ABOUT THAT.

UM, SO, UM, MS. MCNEELY, DID YOU WANT TO RESPOND OR ONE OF YOUR STAFF RESPONSE TO, UM, THE MILLENNIUM YOUTH COMPLEX AUDIT THESE, THEN WE'LL TAKE QUESTIONS I CONCUR WITH THE AUDITOR'S FINDINGS, UH, AND, UH, AND THE RECOMMENDATIONS AND THE DEPARTMENT HAS ALREADY BEGUN WORKING THROUGH SOME OF THOSE ISSUES.

I WILL ABSOLUTELY SAY THAT.

AND I NEED YOU TO KNOW THAT, UM, SUZANNE, UH, PIPER, WHO IS OUR CHIEF ADMINISTRATIVE OFFICER, SHE'S ON THE LINE TO HELP WITH THIS PARTICULAR AUDIT AND ALSO IN THE ATTENDEE LIST.

I NOTICED THAT, UM, DR.

COURTNEY ROBINSON, WHO IS THE CHAIRPERSON OF THE, UH, AUSTIN ROSEWOOD COMMUNITY DEVELOPMENT CORPORATION, WHO HELPS, UH, UH, MANAGE THE MILLENNIUM IS ALSO ON THE LINE.

AND I, I THINK THAT SHE WILL CONCUR WITH ME THAT I, SINCE HER APPOINTMENT TO THE BOARD AND THE, AND OUR NEW STRUCTURE THAT WE HAVE BEEN WORKING, UM, MORE IN PARTNERSHIP AND, UH, WHILE OUR RELATIONSHIP IS STILL IN THE DEVELOPMENT STAGES, UH, THINGS ARE MUCH IMPROVED FROM PERHAPS WHEN THIS PARTICULAR AUDIT STARTED WITH REGARDS TO DEVELOPING TRUST IN OUR ABILITY TO, UM, TO WORK MORE COHESIVELY.

AND I JUST WANTED TO MAKE SURE THAT, UH, THE COUNCIL MEMBERS WERE AWARE OF THAT.

AND, UM, ALSO THANK DR.

ROBINSON FOR HER, HER LEADERSHIP AND FOR HER WILLINGNESS TO, UM, TO WORK WITH THE PARKS AND RECREATION DEPARTMENT TO RESOLVE THE DIFFERENT ISSUES THAT WE'VE WE'VE, UM, WE'VE UNCOVERED.

THANK YOU, MS. MCNEELY I'M ARE WE ABLE TO MOVE, UM, DR.

ROBINSON AND THE OTHER STAFF MEMBER IN TO BE ABLE TO SPEAK WITH US? I DIDN'T WANT TO GIVE, UM, DR.

ROBINSON JUST A MINUTE, IF, IF SHE WOULD LIKE TO SAY ANYTHING ABOUT THE AUDIT BEFORE WE MOVE INTO QUESTIONS, I THINK I'M UN-MUTED AND YOU CAN HEAR ME.

MAYBE WE CAN HEAR YOU, BUT NOT TO YOU.

TO THE MILLENNIUM CENTER.

SEE IF I DO THIS NOW WE CAN SEE ALL RIGHTY.

UM, GOOD MORNING.

AND THANK YOU FOR ALLOWING ME A FEW MOMENTS TO TALK ABOUT THE MILLENNIUM NEEDS CENTER.

IT'S DEFINITELY BEEN A JOURNEY.

I WAS APPOINTED TO CHAIR IN SEPTEMBER.

UM, WE HAVE A LOT OF THINGS TO WORK THROUGH.

UM, WE CONCUR WITH THE AUDIT AND THE ITEMS THAT WERE FOUND IN THE AUDIT.

AND WE WANT TO ASSURE THE COUNSEL THAT WE ARE WORKING DILIGENTLY, UM, BOTH WITH THE MANAGEMENT COMPANY AND THE COMMUNITY.

AND THIS BOARD IS DEDICATED TO ENSURING THAT WE, UM, BRING THE MILLENNIUM BACK TO ITS GLORY IS HOW WE SORT OF TALK ABOUT IT IN THE SENSE THAT THIS IS A COMMUNITY ASSET.

WE KNOW HOW IMPORTANT IT IS TO THE COMMUNITY.

THERE'S A LOT OF SENTIMENTAL VALUE AROUND THIS PARTICULAR ASSET, AND WE WANT TO ENSURE THAT WE SUPPORT THE COMMUNITY IN THE NEIGHBORHOOD, BUT THAT WE ALSO BRING BACK, UM, COMMUNITY MEMBERS WHO HAVE MOVED INTO PFLUGERVILLE AND MAINER AND OTHER PARTS OF THE CITY, BECAUSE THIS CENTER WAS REALLY DEVELOPED FOR USE IN THE COMMUNITY.

AND WE WANT TO ENSURE THAT WE'RE BRINGING THOSE YOUTH BACK

[01:30:01]

WE HAVE SOME NEW IDEAS, UH, IN TERMS OF HOW WE ENVISION THE OPERATIONS OF THE CENTER AND WHAT WE BRING TO THE CENTER.

ONE OF THOSE THINGS IS THE VIRTUAL LEARNING SPACE.

WE NOTICED THAT DURING THE PANDEMIC, UM, THERE WERE LOTS OF KIDS WHO DID NOT HAVE ACCESS TO TECHNOLOGY.

DIDN'T HAVE ANY PLACES TO GO TO GET EDUCATIONAL SUPPORT.

AND WE WANT TO ENSURE THAT WE ARE THAT PLACE WHERE YOU CAN STILL COUNT ON THE MILLENNIUM TO BE A SAFE PLACE AND A SECURE PLACE IN A PLACE WHERE THEY CAN GROW AND LEARN AND HAVE FUN.

AND WE ALSO WANT TO NOTE THAT WE ARE ISSUE.

WE RECOGNIZE THAT THE MILLENNIUM ISN'T LIKE ANY OTHER CITY ASSET, AND WE CAN'T FIND A STRUCTURE ANYWHERE THAT IS LIKE THIS PARTICULAR STRUCTURE, BUT WE DO RECOGNIZE THAT WE HAVE SOME FUNDING CHALLENGES, AND WE NEED TO FIGURE OUT HOW TO BRIDGE THE GAP AND HOW TO MAKE OUR FUNDING A LITTLE MORE EQUITABLE IN TERMS OF HOW WE'RE OPERATING.

UM, THE MILLENNIUM HAS TO RAISE A LOT OF MONEY TO JUST MEET ITS BASIC NEEDS.

UM, AND IF YOU ALL, HAVEN'T BEEN THERE RECENTLY, UM, THIS BOARD HAS BEEN ABLE TO GET OUR SKATING RINK REPAIRED, AND WE'RE WORKING WITH PAR TO WORK ON THE THEATER AREA, BUT THERE ARE SIGNS THAT YOU'RE STILL WALKING INTO THE 1990S.

AND SO WE OF COURSE WANT TO ENSURE YOU JUST NEEDED YOURSELF ABOUT THAT.

WE JUST WANT TO ENSURE, UM, THAT WE CAN MAKE THIS A SPACE THAT IS, UM, IMPORTANT FOR THE YOUTH IN THIS COMMUNITY, BOTH LOCALLY IN THE NEIGHBORHOOD AND REGIONALLY.

THANK YOU, DR.

ROBINSON.

I APPRECIATE YOU BEING HERE.

AND AGAIN, JUST FOR, FOR CONTEXT, THIS AUDIT IS STILL COMING OUT OF THAT SAME RESOLUTION.

UM, AS A COUNCIL, WE, UH, TOOK STEPS, TOOK STEPS TO CHANGE, UM, THE MAKEUP OF THE, OF THE ROSEWOOD CORPORATION.

UM, I THINK LAST YEAR AND DR.

ROBINSON HAS NOW TAKEN OVER AS THAT, THAT CHAIR.

SO AGAIN, YOU KNOW, WE HAVE THINGS IN PROGRESS.

THIS AUDIT IS PROVIDING US VERY USEFUL INFORMATION THOUGH, UM, TO GUIDE US AS WE, UM, TAKE THE APPROPRIATE NEXT STEPS.

UM, THERE'S STILL, YOU KNOW, AS, AS WE SHOULD KNOW, THAT THERE'S STILL SOME, UM, VAGUENESS IN THE RECOMMENDATIONS AND WE WILL HAVE TO TAKE, UM, YOU KNOW, THINK CAREFULLY THROUGH OUR NEXT STEPS.

UM, BUT I'M VERY PLEASED, UM, FROM WHAT I'VE LEARNED ABOUT THE IMPROVED RELATIONS, WHICH I THINK, UM, ARE REALLY IMPORTANT FOR, FOR SUCCESS MOVING FORWARD.

UM, WHEN I OPEN IT UP TO MY COLLEAGUES, IF YOU HAVE QUESTIONS ON THIS AUDIT ON IT, COUNCIL MEMBER TOGO, AND THEN CALLED THEM NEVER FUN AGAIN.

UM, THANKS VERY MUCH THIS TOO, I THINK IS A VERY USEFUL AND INSTRUCTIVE AUDIT.

UH, MY FIRST QUESTION IS REALLY FOR DR.

ROBINSON, IF SHE IS SORRY A MINUTE AGO, BUT NOW I'M NOT SURE IF SHE'S STILL ON THE CALL.

OH, I CAN HEAR YOU.

THANKS SO MUCH.

AND THANKS SO MUCH FOR THE GOOD WORK THAT YOU AND YOUR FELLOW BOARD MEMBERS WERE DOING.

UM, IN PARTICULAR, I WAS LOOKING AT SOME OF THE RECOMMENDATIONS FROM STAKEHOLDERS ABOUT HOURS AND THINGS OF THAT SORT.

AND AS A, AS A MOM, WHO'S CALLED ABOUT THE ROLLER SKATING AND TRYING TO FIGURE OUT HOURS, UM, THERE I SHARE, AND I HAVE EXPERIENCED SOME OF THE SAME STAKEHOLDER CONCERNS THAT WERE RAISED BY SOME OF, SOME OF THE ATTENDEES.

UM, HAS THE BOARD TALKED ABOUT, TALKED ABOUT THAT ISSUE IN PARTICULAR AND ABOUT POTENTIALLY HAVING SUNDAY HOURS, UM, AND MORE EXTENSIVE OPPORTUNITIES FOR KIDS, UM, DURING, DURING AFTERSCHOOL HOURS AND AISD SCHOOL SCHEDULE AND OTHER OTHER TIMES, ABSOLUTELY.

I'M A MOM AS WELL, SO I TOTALLY GET IT.

UM, WE, UM, HAVE TALKED EXTENSIVELY ABOUT THE HOURS.

WE WOULD REALLY LIKE TO BE OPEN SEVEN DAYS A WEEK AFTER SCHOOL, ON SCHOOL HOLIDAYS.

UM, AND ON THE WEEKEND, WHAT OUR MANAGEMENT COMPANY IS SAYING TO US THAT THERE AREN'T THE FUNDS TO HAVE STAFF AVAILABLE TO FUND THAT TO THE STAFF, THE MILLENNIUM PROPERLY.

UM, AND SO THOSE ARE THE THINGS THAT WE'RE WORKING THROUGH IS THAT HOW DO WE ENSURE THAT WE HAVE THE FUNDING FOR STAFFING TO HAVE THE CENTER OPEN DURING ALL THE TIMES AND WOULD SHOW IN WHICH CHILDREN COULD BE THERE IN THE EVENINGS AFTER SCHOOL, ON THE WEEKEND? UM, AND ON SCHOOL HOLIDAYS, HAVE I LOOKED AT, I MEAN, WOULD THINK IT'S SUCH AS, I MEAN, I DON'T, I'M SURE THAT THIS IS EXACTLY

[01:35:01]

SOME OF THE CHALLENGE, THE BOARD'S WRESTLING, BUT IT'S SUCH A, IT'S SUCH A CIRCLE BECAUSE IF YOU'RE CLOSED FOR HALF THE WEEKEND, WELL, THEN YOU'RE GOING TO LOSE A LOT OF REVENUES.

YOU WOULD OTHERWISE HAVE LOTS OF US ON THE CALL.

IT PROBABLY BEEN TO PLAY LAND ON A SUNDAY AND IT'S PACKED.

AND, YOU KNOW, SO, I MEAN, THERE'S DEFINITELY A LOT OF FAMILIES WHO WANT TO GO SKATING, UM, OTHER BOWLING AND OTHER THINGS, UH, ON A SUNDAY.

SO I GUESS I'M JUST WONDERING HOW, WHETHER THE MANAGEMENT, WHETHER, UM, YOU'RE KIND OF PUSHING THE MANAGEMENT COMPANY TO REALLY LOOK AT, AT ADJUSTING THEIR HOURS SO THAT WITHIN THEIR SAME STAFF OPERATING BUDGET, THEY CAN KIND OF SHIFT IT AROUND TO WHEN THE TOP AREAS MIGHT BE.

I'M LOOKING ALSO AT THE STAKEHOLDER COMMENT THAT PRIVATE PARTIES ON FRIDAYS OFTEN EVER INTERFERE WITH FAMILY SKATING.

AND, YOU KNOW, THAT CONCERNS ME CAUSE IT'S NOT LIKE THEY'RE OPERATING AT A PROFIT.

I MEAN, THEY'RE, THEY'RE LOSING MONEY ANYWAY.

SO LET'S KEEP THOSE HOURS, THOSE REALLY POPULAR HOURS.

AND I OPINION YOU SHOULD BE KEEPING MOST AVAILABLE FOR FAMILIES, UM, AND OTHERS WHO WOULD USE THEM.

SO I HAVE TO, IN THIS MOMENT BE TRANSPARENT IN THAT, UM, OUR MANAGEMENT COMPANY HAS REALLY BEEN OPERATING SORT OF ON THEIR OWN, UM, BECAUSE THEY DIDN'T REALLY HAVE THE OVERSIGHT OF THE BOARD, EXCUSE ME.

UM, SO WE HAVE SPENT A LOT OF TIME LOOKING AT OUR CONTRACT, UM, LINING UP EXPECTATIONS, ROLES, RESPONSIBILITIES TO, UM, TO GET US OUT OF THE HAMSTER WHEEL AND GET US OUT OF, UM, AND WE'RE HOPING THAT WE CAN REOPEN, UM, THERE IS A BUDGET SHORTFALL, SO WE'RE TRYING TO ADDRESS THAT AS WELL.

UM, WE'RE HOPING THAT WE CAN REOPEN AND THESE THINGS CAN BE ADDRESSED PRETTY QUICKLY.

THAT'S GREAT.

THANK YOU AGAIN, THAT'S A HARD ROLE TO STEP INTO.

AND SO THAT CONCERNS ME A LOT.

I APPRECIATE IT AGAIN, APPRECIATE THE WORK THAT YOU AND THE BOARD ARE DOING.

WHAT YEAR ARE WE IN WITH THE CONTRACT WITH SMG? OUR CONTRACT WITH SMG DOESN'T EXPIRE UNTIL 2024, BUT THE BOARD IS ALREADY TALKING ABOUT WHAT THE FUTURE MIGHT BE IN TERMS OF MANAGEMENT OF THE FACILITY.

AND IT'S SUCH AN UNUSUAL THING FOR A CITY FACILITY TO HAVE A CONTRACT MANAGED BY A NONPROFIT.

AND SO I, I DO HAVE A QUESTION FOR OUR PART STAFF, WHY THAT ARRANGEMENT WAS, UM, PURSUED, BUT DO YOU, IS THERE AN ABILITY WITHIN THE CONTRACT THAT SMG THAT, THAT THE CDC HAS WITH SMG TO END THE CONTRACT EARLY, OR ARE THOSE SOME OF THE QUESTIONS YOU'RE STILL TRYING TO DETERMINE? SO ONE OF OUR NEWLY APPOINTED BOARD MEMBERS IS AN ATTORNEY AND SHE IS, UM, HELPING US SORT THROUGH THOSE THINGS.

SO THANK YOU.

THANKS SO MUCH.

AND THEN I GUESS THAT'S MY LAST, MY LAST QUESTION.

WELL, NO, I HAVE TWO QUESTIONS FOR, UH, DIRECTOR OF, FOR DIRECTOR MCNEELY.

ONE IS THE ONE WHO JUST ASKED ABOUT IF YOU COULD HELP ME UNDERSTAND, UM, KIND OF WHAT SOME OF THE CONVERSATIONS WERE AROUND AROUND THIS FACILITY AND WHY THIS, THIS PARTICULAR GOVERNANCE ARRANGEMENT WAS WHAT, WHAT THE COUNCIL DECIDED TO PURSUE.

I JUST DON'T KNOW OF ANY OTHER EXAMPLE, WHERE WE HAVE OUR CITY, A CITY PUNCH, BUT A CONTRACT FOR A CITY FACILITY BEING MANAGED BY ANOTHER ENTITY IN WHICH MEETING.

AND SO THAT'S JUST SEEMED VERY UNUSUAL.

AND THEN MY OTHER QUESTION IS THE ONE I ASKED DURING THE BUDGET AS THE AUDIT REPORT INDICATES IN 2018, UM, THE COUNCIL WAS INFORMED ABOUT THE FACT THAT THE THEATER WAS NOT ABLE TO SHOW REVIEWS, UM, YOU KNOW, WHICH IS CLEARLY A HUGE GAP THAT WE WOULD HAVE TO ADDRESS.

WE ALLOCATED THE FUNDING TO DO THAT.

UM, AND IT TOOK A LONG TIME FOR THE WORD TO CYCLE BACK THAT, THAT THERE WAS A CONTRACT THAT WAS KEEPING, WE'RE NOT A CONTRACT THAT'S VIEWED TO, WELL, I DON'T KNOW WHAT TO CALL IT.

UM, YOU COULDN'T, THERE WAS NO CONTRACT IN PLACE THAT WOULD ALLOW THAT MONEY TO BE SPENT.

AND SO, YOU KNOW, I, I APPLAUD THE PARKS DEPARTMENT FOR MAKING SURE THAT THOSE THINGS GOT SORTED OUT BEFORE WE PUT TAX THEIR DOLLARS INTO MAKING THOSE IMPROVEMENTS.

ON THE OTHER HAND, NOW WE'VE HAD TWO YEARS WHERE THE MOVIE THEATER AND THE, AND THE FACILITY GENERALLY HASN'T BEEN ABLE TO HAVE THE REPAIRS IT NEEDS TO SERVE, SERVE ITS COMMUNITY.

WELL.

AND SO HOW DO WE, SO THOSE ARE TWO QUESTIONS, I GUESS THE FIRST IS ABOUT THE, THE HISTORICAL GOVERNANCE STRUCTURE AND THE RATIONALE FOR IT.

AND THEN THE SECOND IS WHERE YOU, LIKE HOW, BECAUSE OF THIS GOVERNANCE, IT SEEMS LIKE, LIKE OUR STAFF MAY NOT BE, MAY NOT HAVE GOTTEN THE INFORMATION IT NEEDED TO REALLY ACT ON IN THIS CASE, THE COUNCIL'S WILL TO MAKE THOSE REPAIRS.

[01:40:01]

AND I WANT TO BE SURE THAT, THAT I UNDERSTAND WHY THAT HAPPENED, BUT ALSO, YOU KNOW, WHAT IT SOUNDS AS IF WE'RE ON THE PATH TO NOT HAVING THAT HAPPEN AGAIN.

BUT I WANT TO BE ASSURED OF THAT, I GUESS.

SO TO ANSWER YOUR FIRST QUESTION, THE GOVERNANCE STRUCTURE WAS PUT IN PLACE AS IT RELATES TO, UM, THE HEAD LOAN.

AND SO YOU HAVE TO GO BACK MANY, MANY YEARS AS TO WHEN IT WAS DECIDED THAT WE WOULD, WE WOULD BUILD THE MILLENNIUM AND FOR THE PURPOSE.

AND THERE WAS A RELATIONSHIP WITH HAD, AND HAD REQUIRED A CERTAIN THINGS.

AND THAT'S HOW THE COMMUNITY DEVELOPMENT CORPORATION, THE AR CDC, AUSTIN RESIDENTS, ME DEVELOPMENT CORPORATION WAS ESTABLISHED.

WE HAVE SINCE PAID OFF THE HUD LOAN AND THERE HAS BEEN AN, UM, SUGGESTION OR IDEAS THAT PERHAPS IT'S NOT NECESSARY TO HAVE.

UM, THE AR ARE YOU STILL THERE? I APOLOGIZE.

IT WENT OUT AND I DIDN'T KNOW IF IT WAS ME OR IF IT WAS SOMEONE ELSE.

I APOLOGIZE.

AND SO THERE HAS BEEN SOME QUESTIONS AS TO WHETHER THAT GOVERNANCE STRUCTURE NEEDS TO REMAIN IN PLACE, OR IS THERE A DIFFERENT RELATIONSHIP VIA A NONPROFIT RELATIONSHIP OR A DIRECT CONTRACT RELATIONSHIP? IF THAT IS, IF THAT'S AN ACTION, BUT WE'VE NOT, WE'VE NOT EXPLORED THAT ENOUGH TO DETERMINE THE MOST APPROPRIATE GOVERNANCE STRUCTURE.

HENCE THIS AUDIT IS TELLING US, WE MIGHT WANT TO TAKE A LOOK AT THAT, UM, WITH THE, UH, COUNCIL'S DECISION TO APPOINT, UM, AND REESTABLISH THE, UH, THE ARC DC WITH THE CURRENT BOARD MEMBERS, UH, THINGS HAVE, UH, OUR, OUR ABILITY TO WORK TOGETHER HAS REALLY IMPROVED.

AND SO TO ANSWER YOUR SECOND QUESTION, THE $280,000, OR PLUS $280,000 PLUS WAS ALWAYS AVAILABLE TO THE PARKS AND RECREATION DEPARTMENT TO BE ABLE TO PERFORM THE WORK AT THE, AT THE MILLENNIUM, THE PREVIOUS BOARD, BECAUSE WE DIDN'T HAVE THE LEVEL OF TRUST, OR THERE WAS NOT A POSITIVE RELATIONSHIP.

THE PREVIOUS BOARD DID NOT HAVE CONFIDENCE THAT THE PARKS AND RECREATION DEPARTMENT WOULD MANAGE THAT PROJECT IN A WAY THAT WOULD BE SATISFACTORY TO THE MILLENNIUM.

AND SO WHAT THEY HAD ASKED US TO DO IS TO PLEASE, UH, BE ABLE TO, UM, TRANSFER THAT MONEY TO, FOR THE ABILITY FOR THE AR FOR THE COMMUNITY DEVELOPMENT CORPORATION, TO WORK DIRECTLY WITH THE MANAGEMENT COMPANY, TO THEM, SPEND THEM TO SPEND THOSE FUNDS, BUT IN ABSENCE OF AN AGREEMENT, WHICH EXPIRED IN 2016, AND FOR MULTIPLE REASONS, WE WERE NOT ABLE TO, TO HAVE THAT AGREEMENT BE, BE APPROVED.

WE WEREN'T ABLE TO TRANSFER THE MONEY.

AND THERE HAD BEEN A RESISTANCE TO THE PART TO PARTAKING ON THE PROJECT.

BUT AS DR.

ROBINSON HAS, UM, HAS STATED THERE WAS A SITUATION WHERE THEY WERE, THERE WAS AN EMERGENCY, UH, PROJECT WITH THE STATE, UM, THE SKATING RINK AND, AND THE BASKETBALL COURTS.

AND BECAUSE WE HAVE, UM, BEEN ABLE TO IMPROVE OUR PARTNERSHIP, THE PARKS AND RECREATION DEPARTMENT WAS ABLE TO MANAGE THAT PROJECT AND COMPLETE THE SKATING RINK AND THE BASKETBALL COURT ON BEHALF OF THE AR CDC AND THE MILLENNIUM.

AND WE DID THAT IN, UM, IN COOPERATION WITH THE MANAGEMENT COMPANIES, SO THAT THEY, AS A STAKEHOLDER WERE ABSOLUTELY TELLING US WHAT THEIR NEEDS ARE.

AND WE MANAGED THE PROJECT.

AND BECAUSE THAT WORKS SO WELL, WE ARE IN THE PROCESS OF DOING THE EXACT SAME THING WITH THE $280,000, UH, FOR THE THEATER UPGRADES.

AND SO WE ARE WORKING DIRECTLY WITH THE MANAGEMENT COMPANY AS THE STAKEHOLDER TO UNDERSTAND THE NEEDS.

WE'RE COLLECTIVELY PUTTING TOGETHER THE SCOPE OF WORK, WHICH I WOULD EXPECT TO BE DONE AT THE END OF THIS MONTH.

AND THEN WE'LL BE ABLE TO, UM, TO PUT THAT OUT TO BID AND GO THROUGH THE PROCESSES FOR PROJECT MANAGEMENT AND FOR FACILITY IMPROVEMENTS, AND BE ABLE TO GET THAT DONE.

AND IN ADDITION, JUST SO YOU ALL KNOW WITH REGARDS TO THIS LAST BUDGET, WITH SOME DEFERRED MAINTENANCE, THE PARKS AND RECREATION DEPARTMENT HAS ADDITIONAL FUNDING, THAT IT WILL BE ABLE TO INVEST IN THE MILLENNIUM.

AND CERTAINLY WE WILL CONSULT WITH THE COMMUNITY DEVELOPMENT CORPORATION TO DETERMINE WHAT THE PRIORITY NEEDS ARE, SO THAT WE'RE ABLE TO ADDRESS THOSE NEEDS WITH THE, WITH THE AVAILABLE FUNDING.

SO I THINK THOSE ARE PRETTY, YEAH, ADDITIONAL DETAIL THAT YOU NEED.

I'M HAPPY TO PROVIDE IT, BUT I THINK THAT THAT COVERS IT.

IT DOES.

THANK YOU SO MUCH CUSTOMER, WE'RE FINE AGAIN.

WELL, I THINK COUNCIL MEMBER POOL REALLY ARE KEVIN AND PATELLA REALLY WENT THROUGH ALL OF THE ITEMS. I'VE, YOU KNOW, I, I'M MOSTLY CONCERNED ON THE GOVERNANCE STRUCTURES AND, AND I THINK, YOU KNOW, THERE'S WAYS FOR US TO SOLVE SHORT TERM ISSUES WITH BUDGET.

AND I THINK COUNCIL MEMBER TABLEAU REALLY RAN THROUGH WHERE THOSE REALLY FAIL WHEN WE HAVEN'T ALSO ADDRESSED THE LONGTERM GOVERNANCE PIECE.

SO, UM, I DON'T HAVE ANY MORE TO ADD RIGHT NOW, BUT I AM VERY INTERESTED IN THINKING THROUGH HOW TO, HOW TO GET THE GOVERNANCE PIECE, UH, FAR MORE SUSTAINABLE.

[01:45:03]

UH, MAYOR ADLER, DID YOU HAVE ANY QUESTIONS YOU HAVE DONE HERE? YEAH.

CHARGE, IT'S HARD TO FIND THE BUTTON.

UM, I THINK THAT OBVIOUSLY THIS HAS BEEN SOMETHING THAT HAS COME BACK TO THE COUNCIL.

IT'S GOOD TO HEAR THAT THE, UH, THE MONEY FOR THE, FOR THE EQUIPMENT IS NOW GOING TO BE PUT INTO PLACE.

AND, UH, WHEN YOU LOOK AT THE NUMBERS, IN TERMS OF ATTENDANCE, IT WOULD BE REALLY NICE TO HAVE SOMETHING THAT, THAT FELT LIKE IT WAS A PATH THAT WOULD INCREASE THE, THE USABILITY, THE NUMBER OF USERS THAT ARE USING THAT, UH, AND LISTENING TO THE CONVERSATIONS IN THE COMMUNITY THAT SEEMS TO BE A SIGNIFICANT NEED.

I KNOW THE CONTRACT RUNS THROUGH 2024, 2025.

I HOPE THAT WE'RE TAKING A LOOK AT WHETHER OR NOT, UH, AND TO WHAT DEGREE THAT, UH, IS A CONTRACT THAT, UH, UH, SHOULD REMAIN IN FORCE IN THE FORM THAT IT'S IN.

I, I WOULD HOPE THAT WE'RE EXPLORING THE POSSIBILITY OF TAKING A LOOK AT WHAT WOULD BE THE OPTIMUM SITUATION AND EVEN ENGAGING WITH THE MANAGEMENT COMPANY, UH, ON THAT, UM, UH, UNLESS, AND TO THE DEGREE THAT THAT'S NO LONGER, UH, A BARRIER OR A STICKING POINT TO BE ABLE TO GET TO THE COMMUNITY, EVERYTHING THAT, THAT THAT'S NEEDED.

THANK YOU, MAYOR COUNCIL, A NUMBER OF HOLES THAT YOU HAVE, ANYTHING YOU WANTED TO ADD AT THIS POINT? NOPE.

EXCELLENCE AND ADVANCEMENT FOUNDATION.

UM, SO I WANTED TO, UM, YOU KNOW, JUST ASK IF, UM, IF APPROPRIATE, I DON'T KNOW IF IT IS APPROPRIATE, BUT JUST WANT TO MAKE SURE THAT WE ARE ALSO MAKING OUR CITY LEGAL STAFF AVAILABLE TO HELP REVIEW THE CONTRACT, TO SUPPORT THE BOARD AS IT LOOKS AT ITS OPTIONS.

UM, SINCE WE HAVE STAFF WHO FOCUS ON CONTRACTS, IS THAT SOMETHING WE CAN DO OR HAVE DONE MS. MCNEELY? SO WE HAVE, UM, WE HAVE HAD OUR CITY LAW DEPARTMENT INVOLVED IN IT, IN THE DEVELOPMENT OF THE CONTRACT, BUT IT HAS BEEN DEEMED THAT IT'S NOT APPROPRIATE FOR US AS A CITY ENTITY TO WRITE THE CONTRACT AND THEN PROVIDE LEGAL GUIDANCE ON BEHALF OF THE CITY TO ENTER THE CONTRACT, BUT THEN CAN PROVIDE LEGAL GUIDANCE ON BEHALF OF THE CITY, TO THE COMMUNITY DEVELOPMENT CORPORATION.

AND SO THERE WOULD BE A CONFLICT AND IN THAT PARTICULAR SITUATION.

SO THAT IS WHY, UM, UH, CHAIR, UH, DR.

ROBINSON HAS BEEN ABLE TO EFFECTIVELY ADD A NEW BOARD MEMBER THAT IS A HAVE, THAT HAVE LEGAL EXPERIENCE.

AND PRIOR TO THAT, THEY WERE USING, UM, UH, AN INDIVIDUAL WHO IS DONATING THEIR TIME TO REVIEW THE CONTRACT, UH, TO MAKE SURE THAT IT WAS MEETING THE NEEDS OF THAT, OF THE COMMUNITY DEVELOPMENT CORPORATION.

UM, SO I THINK THAT WE'VE RESOLVED THAT ISSUE.

UM, THERE IS LEGAL COUNSEL NOW ACTUALLY ON THE BOARD THAT CAN HELP WITH COMMUNITY DEVELOPMENT CORPORATION AND THEY'LL NO LONGER, AND I I'LL LET DR.

ROBINSON OBVIOUSLY SPEAK TO THIS, BUT I DON'T BELIEVE THEY'LL HAVE TO SEEK OUT, UM, DONATED TIME.

AND IN THE MEANTIME THAT THE CITY OF AUSTIN, UH, LAW DEPARTMENT, WE DO, UH, ON OCCASION, THEY DO ATTEND THE CDC BOARD MEETINGS TO MAKE SURE THAT WE'RE PROVIDING INFORMATION OR INPUT AND BEING AS HELPFUL AS POSSIBLE.

BUT FOR US TO REVIEW THE CONTRACT FROM THE EYES OF THE CDC, IT DOESN'T, IT'S, IT'S A CONFLICT.

IF THAT MAKES SENSE.

I GUESS I WAS WONDERING IF IT WAS POSSIBLE TO REVIEW IT, UM, TO SEE WHAT OPTIONS THERE WERE, UM, TO MAYBE HAVE A FRESH START.

AND I, I THINK WHAT MS. MCNEELY IS TRYING TO EXPRESS LIKE THE COMPLICATEDNESS OF, UM, THE RELATIONSHIP BETWEEN THE CITY AND THE BOARD AND THEN THE BOARD TO THE MANAGEMENT COMPANY.

SO THERE'S A RELATIONSHIP BETWEEN THE BOARD AND THE MANAGEMENT COMPANY THAT EFFECTIVELY THE CITY IS NOT TECHNICALLY SUPPOSED TO BE INVOLVED IN.

UM, WHICH SOUNDS CRAZY WHEN I SAY IT OUT LOUD, BUT THAT IS HOW IT IS STRUCTURED.

AND SO WE, WE AS A BOARD, UM, HAVE TO GET LEGAL HELP TO EXAMINE THE CURRENT MANAGEMENT CONTRACT AND STRUCTURE.

UM, THAT IS A CONVERSATION THAT IS ALREADY IN PLACE.

WE HAVE SOMEONE WITH LEGAL EXPERIENCE WHO, UM, IS REVIEWING THE CONTRACT.

AND IF WE NEED TO, WE WILL BRING IN ADDITIONAL SUPPORT AROUND THAT CONTRACT BECAUSE WE RECOGNIZE THAT THERE MAY BE OTHER WAYS TO OPERATE, UM, IN A MORE HOLISTIC AND EFFECTIVE WAY.

UM, I'M ALSO THE FOUNDER AND CEO OF A NON OF A NONPROFIT ORGANIZATION IN TOWN, THE

[01:50:01]

AND WE HAVE OTHER NONPROFIT PEOPLE ON OUR BOARD.

AND SO WE'RE REALLY EXAMINING WHETHER A NONPROFIT, UM, ENTITY MIGHT, MIGHT BE BETTER SUITED THAN A, FOR PROFIT ENTITY TO OPERATE THE FACILITY.

BUT THIS IS ALL BEGINNING TALKS.

THIS IS ALL SORT OF THE BEGINNING OF HOW DO WE ENSURE THAT THE YOUTH IN THIS COMMUNITY ARE GETTING WHAT THEY NEED.

AND SO THAT'S, THAT'S WHERE WE ARE IN CONVERSATIONS.

THERE'S BEEN A, THERE'S BEEN SO MANY THINGS, BUT, UM, MCNEELY, I THINK CAN ATTEST THAT WE, UM, WE, WE APPRECIATE THEIR, THEIR SUPPORT, WE'VE USED THEIR SUPPORT, BUT WE'RE ALSO TRYING TO ENSURE THAT WE'RE RESPECTING THE GOVERNANCE THAT'S BEEN SET UP FOR THESE ENTITIES.

ROBINSON SUMMARIZED IT NICELY.

SO OBVIOUSLY, THERE'S, THERE'S A LOT OF COMPLICATIONS OF HOW THIS IS SET UP TO SAY THE LEAST.

CAN YOU EXPLAIN THE NEXT STEPS? BECAUSE AS I UNDERSTOOD IT, YOU WERE GOING TO BE COMING TO US IN JUNE WITH A NEW AGREEMENT, AND THAT MAY BE COMING FORWARD BECAUSE WE STILL HAVE TO HAVE AN AGREEMENT AMONGST THE PARTIES.

UM, EVEN IF WE HAVEN'T FULLY LANDED ON WHERE WE WANT TO ULTIMATELY GO WITH THE GOVERNANCE STRUCTURE.

SO CAN YOU SPEAK TO WHAT YOU'RE ANTICIPATING WHEN THAT IS COMING AND HOW MUCH FLEXIBILITY THAT WILL INCLUDE TO MORE AS WE RESOLVE MORE OF THE ISSUES? UM, I, MY SENSE IS THAT WE ARE AGREEING THAT WE NEED TO HAVE AN, WE HAVE TO HAVE SOMETHING IN PLACE, EVEN IF IT'S INTERIM.

UM, BUT CAN YOU TELL US WHAT THAT PATH IS AND WHEN WE WILL SEE THAT AND WHAT THAT'S GONNA LOOK LIKE? ABSOLUTELY.

SO WE HAVE FINALIZED AN AGREEMENT WITH THE CITY.

IT IS READY FOR A VOTE.

IT WAS HELD BACK BECAUSE OF THIS AUDIT.

THE THOUGHT WAS THAT IN THE AGREEMENT THAT WE, THAT WAS AGREED UPON BETWEEN THE CITY AND THE BOARD, THAT THERE WERE SOME THINGS LEFT OUT IN TERMS OF EXPECTATIONS AND ROLES AROUND MAINTENANCE, AND SOME OTHER SORT OF WHAT WE THINK ARE WHAT THE BOARD THINKS ARE SMALL THINGS.

AND SO WE ARE HOPING THAT THIS AGREEMENT IS VOTED UPON AND THEN THE CITY AND THE BOARD CAN REALLY SIT DOWN AND TALK ABOUT EXPECTATIONS AND ROLES AND POSSIBLY, UM, PROVIDE AN AMENDMENT AMENDMENT, A SMALL AMENDMENT TO THE AGREEMENT, BECAUSE WHAT, WHAT WE'RE LOOKING AT, WE FEEL LIKE NOW ARE SMALL THINGS BECAUSE THE RELATIONSHIP HAS IMPROVED DRAMATICALLY.

AND SO WHEN WE TALK ABOUT EXPECTATIONS, I THINK THAT EACH PARTY, UM, WILL COME TO THE TABLE IN GOOD FAITH.

WOULD YOU LIKE TO ADD ANYTHING TO THAT? OR IF, IF THE, UH, YEAH, I CONCUR WITH WHAT DR.

ROBINSON SAID, IF FOR SOME REASON, OUR CANCEL, UM, IS NOT COMFORTABLE WITH VOTING ON THE AGREEMENT.

THEN CERTAINLY OUR ATTORNEY AND THE CITY OF AUSTIN AND THE ATTORNEY WITH, WITH THE AR CDC, ALONG WITH DR.

ROBINSON AND THE BOARD AND MYSELF AS THE, AS THE LIAISON, THE CITY LIAISON CAN WORK ON THOSE MINOR TWEAKS PRIOR TO BRINGING IT TO COUNCIL.

BUT EITHER WAY, WE WANT TO EXPEDITE THIS RELATIONSHIP, THIS FORMAL AGREEMENT, THIS FORMAL RELATIONSHIP, SO THAT WE CAN GET TO DOING THE GOOD THINGS FOR THE COMMUNITY.

AND NOT THAT THE AGREEMENT'S NOT A GOOD THING FOR THE COMMUNITY, BUT I THINK, YOU KNOW WHAT I'M SAYING, IT'S THE LEGAL PART OF IT.

WE WANT TO, WE WANT TO GET DOWN TO THE WORK OF PROVIDING THE SERVICES AND PROVIDING THE GOOD THINGS TO THE COMMUNITY.

SO I'M HOSTING THIS MEETING.

I MAKE SURE DR.

ROBINSON, I HAVE A CONVERSATION AND STRATEGIZE, AND, AND IT'LL BE VERY SOON THAT THE COUNCIL SEE IN AGREEMENT TO VOTE ON THE AUDITOR'S OFFICE, WANTS TO PROVIDE ANY INSIGHT ON THAT PATH AND FROM, FROM YOUR WORK.

I THINK DR.

I THINK OUR CONCERNS, WELL, THERE WERE TWO CONCERNS.

ONE WAS FINALIZING THE AGREEMENT BEFORE WE'D HAD THIS CONVERSATION WITH YOU GUYS ABOUT KIND OF THE HISTORY AND WHERE WE'RE AT AND WHAT'S BEEN HAPPENING.

UM, WE FELT LIKE IT'S BEEN SINCE 2016, SO A FEW MORE MONTHS, UM, BACK WHEN IT CAME UP BEFORE COUNCIL IN JUNE A COUPLE OF MORE MONTHS BEFORE IT GOT FINALIZED, DIDN'T SEEM MAYBE OUT OF THE BALLPARK, BUT, UM, I DO THINK DR.

ROBINSON VOICED IT NICELY.

OUR CONCERNS WERE THAT THERE ARE SOME SPECIFIC KIND OF ROLES AND RESPONSIBILITIES THAT COULD BE CLARIFIED, WHO DOES WHAT WHO'S RESPONSIBLE FOR, WHAT WHO'S PAYING FOR, WHAT, UM, WITHIN THAT AGREEMENT, IF THAT'S DONE FROM, YOU KNOW, WE HAVE THE AUDIT FINDINGS.

SO OUR WORK HAS DONE REALLY.

UM, WE THINK THAT THE PARTIES COULD GO FORWARD WITH THAT INFORMATION.

AND IF THE CONTRACT DOESN'T HAVE THAT IN IT, AND THEY NEED TO DO AN AMENDMENT LATER, THAT'S FINE.

IT'S A SEVEN YEAR CONTRACT.

SO THAT WAS ONE OF THE REASONS I THINK THAT WE WERE KIND OF RAISING THE,

[01:55:01]

UM, COULD WE BE MORE CLEAR ABOUT THE ROLES AND RESPONSIBILITIES ON THIS CONTRACT? SO COUNCIL MEMBER FLANAGAN KIND OF FEELING, YOU'RE GOING TO SAY WHAT I WAS GOING TO SAY, BUT GO AHEAD.

YOU JUST NEVER KNOW.

UM, YOU KNOW, I'M, I'M, MY, MY CONCERNS ABOUT GOVERNANCE REALLY ARE ABOUT THE COUNCIL.

YOU KNOW, IF WE'RE, IF THERE'S PROCUREMENT, I DON'T KNOW WHY WE WOULDN'T FOLLOW A NORMAL PROCUREMENT, WHICH DOES REQUIRE A COUNCIL RATIFICATION.

AND IT, YOU KNOW, MY UNDERSTANDING OF, OF THE, THE KIND OF THE MIDDLE MIDDLE MAN OR THE MIDDLE PERSON IS RELATED TO SOME OLD FUNDING, A REQUIREMENT BASED ON SOME MORE FUNDING THAT NO LONGER EXISTS.

SO I DON'T KNOW WHY WE WOULD CONTINUE THAT PROCESS, OR AT LEAST I'M OPEN TO HEARING FROM THE COMMUNITY WHY THEY THINK WE SHOULD CONTINUE THAT PROCESS.

BUT ULTIMATELY THE PUBLIC THINKS THIS IS A CITY RUN AND CITY CONTROLLED AND CITY OPERATED FACILITY, BUT IT KIND OF WEIRDLY ISN'T AND THAT CONFLICT IS CAUSING A LOT OF PROBLEMS THAT IS, I BELIEVE, BREEDING ADDITIONAL MISTRUST WITH THE CITY WHEN, WHEN WE HAVE AN OPPORTUNITY TO COURSE CORRECT.

AND I THINK THE COUNCIL WILL BE UNIFIED IN WANTING TO COURSE CORRECT, BUT IT DOES REQUIRE THAT WE NEED TO BE INVOLVED.

SO THAT WAS NOT EXACTLY WHAT I WAS GONNA SAY.

UM, SO I GUESS WHAT I'M WONDERING IS, UM, WHY WE'RE DOING A SEVEN YEAR CONTRACT.

IF THE CONTRACT WITH SMG IS ONLY TIL 20, 24 OR 2023, UM, BECAUSE IT SEEMS LIKE THAT IS JUST ADDING ONE MORE LAYER OF COMPLICATION FOR MAKING A TRANSITION, WHICH MAY OR MAY NOT NEED TO, TO WAIT, UM, UNTIL, UM, THAT CONTRACT HAS TO BE RENEWED.

UM, AND OBVIOUSLY WE COULD AMEND IT ONCE WE HAVE THE PLAN AND EVERYTHING IN PLACE FOR WHAT COMES NEXT, BUT, UM, I'M NOT SURE WHY WE'RE MAKING IT THAT LENGTH OF TIME FOR THE AGREEMENT.

WELL, THE CO THE AGREEMENT ISN'T BETWEEN, UM, THE CITY AND SMG, THE AGREEMENT IS BETWEEN THE CITY AND THE BOARD.

AND SO THEN THE BOARD HAS A SEPARATE AGREEMENT WITH SMG THAT EXPIRES IN 2024.

AND SO THAT AGREEMENT DOESN'T REALLY HAVE ANYTHING TO DO WITH OUR AGREEMENT WITH THE CITY.

SO, SO I'M SEEING IT SLIGHTLY DIFFERENTLY.

I'M SEEING IT, THAT WE HAVE A CONTRACTUAL RELATIONSHIP THAT, UM, HAS AN OPPORTUNITY TO BE LOOKED AT AGAIN, BECAUSE, UM, THE RE THE OBLIGATIONS FOR THE HUD FUNDING ARE OVER.

AND SO THAT WE MAY, AS PART OF THE RELOOK, AND I DON'T KNOW WHERE IT LANDS, AND OBVIOUSLY HAVING THE COMMUNITY INVOLVEMENT AND HAVING A NONPROFIT FROM OUR, ALL OF OUR PRIOR CONVERSATIONS SEEM TO BE A ROAD FORWARD.

I'M JUST NOT UNDERSTANDING WHY WE WOULD, UM, COMPLICATE THINGS AND HAVE A, HAVE AN AGREEMENT THAT GOES BEYOND THE CONTRACT, RATHER THAN MAKING SURE THAT WE HAVE TO, UM, CLEARLY LOOK AT THIS AND TAKE ADVANTAGE OF IT BEFORE A NEW CONTRACT IS SIGNED WITH ANOTHER OPERATOR, OR WITH THAT OPERATOR AGAIN, WHERE WE DON'T HAVE A SAY ON THAT CONTRACT.

THAT'S A MEMBER.

I UNDERSTAND WHAT YOU'RE SAYING.

I THINK YOU MAKE A VALID POINT.

AND SO IF YOU COULD ALLOW, UM, DR.

ROBINSON AND MYSELF AND OUR, YOU KNOW, OUR LEGAL TEAMS TO BE ABLE TO DISCUSS THAT, AND CERTAINLY TAKE THAT INTO CONSIDERATION.

I UNDERSTAND WHAT YOU'RE SAYING.

AND, AND I JUST WANT TO CLARIFY, UM, THE SPIRIT WITHIN WHICH I AM OFFERING THAT IS TO PROVIDE FLEXIBILITY, TO PROVIDE THE SOLUTIONS THAT I WAS HEARING, UM, THAT WE WERE TALKING ABOUT.

UM, NOT BECAUSE I'M NOT FOR HESITANCY FOR HAVING THE COMMUNITY INVOLVED, BUT FOR, UM, BUILDING IN THAT FLEXIBILITY, UM, THAT WILL ALLOW US TO MAKE THE KINDS OF TRANSITIONS THAT I WAS HEARING, HEARING YOU SAY, UM, WERE, WERE, UM, PART OF, PART OF THE VISION MOVING FORWARD TO, TO MAKE THIS FACILITY REALLY SERVE, SERVE THE COMMUNITY.

ALL RIGHT.

SO ARE THERE ANY OTHER COMMENTS BEFORE WE FINISH? SO I'M GOING TO TAKE A MOTION TO APPROVE, UM, THIS AUDIT MAY OR AD THERE MAKES THE MOTION, COUNCILMEMBER FULL SECONDS, ALL THOSE IN FAVOR, IT'S UNANIMOUS ON THE DYESS.

UM, GIVEN THE TIME, UM, MS. JOKES, CAN WE POSTPONE THE MEXICALI DATE TILL THE NEXT? SO I'M COMFORTABLE GETTING THAT.

WE DO HAVE A PRETTY CROWDED AGENDA FOR NEXT MONTH AS WELL.

UM, THAT, THAT SEEMS TO BE THE CASE ALL THE TIME, BUT WE HAVEN'T MET IN A WHILE.

SO I THINK THAT'S THE CONTRIBUTING FACTOR.

UM, IF FOLKS ARE AVAILABLE, I THINK IT'S A FIVE MINUTE PRESENTATION.

[02:00:01]

NOT, THEN WE'RE HAPPY TO BRING IT BACK IN SEPTEMBER.

DO WE HAVE ENOUGH OF US WHO ARE ABLE TO STAY SOBER? I JUST, I'M GOING TO NEED TO LEAVE TO GO TO ANOTHER MEETING THAT STARTED A FEW MINUTES AGO, AND WE'D LOVE TO HAVE PARTICIPATE IN THIS CONVERSATION.

UM, IF IT, IF IT TRULY IS FIVE MINUTES, I'LL BE A LITTLE LATER TO THAT ONE, BUT IF WE COULD DO IT AT THE NEXT MONTH, I THINK THAT WOULD BE A GOOD IDEA.

OKAY, WELL, WE'LL DO IT AT THE NEXT MONTH.

AND IF WE NEED TO ADD A, WE CAN LOOK TO SEE IF WE NEED TO ADD A HALF HOUR TO THAT MEETING OR SOMETHING, UM, TO MAKE SURE WE CAN GET AS MUCH DONE.

UM, SO THANK YOU EVERYONE.

[6. Identify items to be discussed at future meetings.]

I THINK THE OTHER THING WAS JUST, UM, WHAT'S COMING UP ON THE AGENDA.

MS. STOKES, DO YOU WANT TO SPEAK TO SURE.

JUST THE UPCOMING AGENDA NEXT MONTH.

UM, WE WILL HAVE, WE'VE DELAYED THE SCHEDULE A LITTLE BIT FOR OUR AUDIT PLAN.

SO WE'LL BRING A DRAFT AUDIT PLAN AT THE END OF SEPTEMBER.

WE USUALLY BRING THAT IN AUGUST, BUT WITH BUDGET AND EVERYTHING ELSE GOING ON, UM, IT MADE SENSE TO DELAY THAT A LITTLE BIT.

SO WE'LL HAVE OUR DRAFT AUDIT PLAN FOR YOU GUYS.

UM, BY THEN I WILL MET WITH, WITH MOST COUNCIL MEMBERS INDIVIDUALLY, UM, TO COLLECT INPUT ON THAT.

AND THEN WE ALSO HAVE OUR THREE OH ONE AUDIT COMING FORWARD.

UM, I BELIEVE OUR CODE REPEAT OFFENDER AUDIT SHOULD BE READY FOR THAT.

UM, AND WE HAVE A CODE CHANGE THAT WE'LL TALK TO YOU MORE ABOUT OVER THE NEXT FEW WEEKS, BUT IT'S REALLY A MINOR TWEAK TO CODE, UH, RELATED TO OUR INVESTIGATIONS.

SO ALL OF THAT PLUS MEXICO CITY, UH, WILL BE COMING IN SEPTEMBER.