FISCAL YEAR. SO I'M SHOWING A ZERO ON THIS ONE.
[00:00:02]
BUT IT WILL BE CARRIED FORWARD.AND IN THE NEXT BUDGET YOU'LL YOU'LL SEE THOSE NUMBERS COMING UP.
YEAH, WE'LL CARRY IT OVER. YEAH, YEAH.
WE'RE BASICALLY SOME OF THESE FUNDS THAT ARE NOT EXPENDED WILL BE CARRIED OVER.
IF THEY'RE COMMITTED, THEY'LL BE CARRIED OVER.
AND WE'RE BASICALLY TAKING THAT PROJECT AND JUST RENEWING IT FOR THE FOLLOWING FISCAL YEAR.
AND THEN THOSE FUNDS THAT HAVE NOT BEEN EXPENDED ARE AVAILABLE FOR FOR THE NEXT FISCAL YEAR AS WELL.
HOW MUCH OF THE OF THE 500,000.
15 MINUTES. ALL RIGHT, I'M GOING TO CALL THIS MEETING TO ORDER.
AUGUST 29TH. THIS IS A SPECIAL MEETING OF THE ADDENBROOKE CITY COUNCIL BUDGET WORK SESSION.
[CALL TO ORDER, ESTABLISH QUORUM]
I DO SEE, VISIBLY, THAT WE HAVE A QUORUM, WITH THE EXCEPTION OF COUNCIL MEMBER DAN DIAZ.YOU MENTIONED HE'S GOING TO BE A LITTLE LATE TODAY, BUT, HE SAID HE WILL JOIN US.
[Prayer.]
WE'RE GOING TO START THE MEETING WITH THE PRAYER WITH, COUNCIL MEMBER GARCIA.LORD, WE ASK THAT YOU CONTINUE TO BLESS THIS CITY AS WE CONTINUE TO MOVE FORWARD.
LORD, WE ASK THAT YOU BLESS OUR CITIZENS, BLESS OUR STAFF, AND BLESS OUR CITY LEADERS.
[Pledge of Allegiance.]
IN JESUS NAME WE PRAY.AMEN. PLEASE JOIN ME IN THE PLEDGE OF ALLEGIANCE.
ONE NATION UNDER GOD, INDIVISIBLE, WITH LIBERTY AND JUSTICE FOR ALL.
ALL RIGHT. ITEM TWO. CERTIFICATION OF PUBLIC NOTICE.
[2. CERTIFICATION OF PUBLIC NOTICE]
YES, SIR. MAYOR. THE MEETING WAS POSTED IN ACCORDANCE WITH TEXAS OPEN MEETINGS ACT ON AUGUST 25TH, 2023 AT 3:20 P.M..[3. DISCLOSURE OF CONFLICT OF INTEREST]
SIR. VERY WELL, THANK YOU.ITEM THREE IS DISCLOSURE OF CONFLICT OF INTEREST.
YES, SIR. UNDER STATE LAW, A CONFLICT OF INTEREST EXISTS IF A COUNCIL MEMBER OR A CERTAIN MEMBERS OF THAT PERSON'S FAMILY HAS A QUALIFYING FINANCIAL INTEREST IN AN AGENDA ITEM, IF THERE IS A CONFLICT OF INTEREST, THE MEMBER CAN'T PARTICIPATE OR VOTE ON THE ITEM.
ARE THERE ANY CONFLICTS TO DISCLOSE?
[00:05:02]
NO, SIR. NO, SIR. ALL RIGHT.[PUBLIC COMMENTS]
THANK YOU. ITEM FOUR IS A PUBLIC COMMENTS.PUBLIC COMMENTS ARE LIMITED TO THREE MINUTES.
PLEASE NOTE THE PUBLIC COMMENT PERIOD IS NOT INTERACTIVE.
THE COUNCIL MAY NOT RESPOND TO PUBLIC COMMENTS.
AT THIS TIME. COUNCIL, THERE ARE TWO PUBLIC COMMENTS.
THE FIRST PUBLIC COMMENT IS MISS FERN MCCLARTY.
THE TAX RATE, NEEDS TO BE LOWERED FOR THE SAKE OF THE TAXPAYERS.
I DID NOT SAY YOU PROMISED BECAUSE A LOWER TAX HAS ONLY BEEN DISCUSSED BEFORE.
MORE EXPENDITURES MEANS MORE POLITICAL CONTRIBUTIONS.
THEY DID NOT SAY, THIS IS WHAT YOU SHOULD DO.
ASKED TO CREATE THE MOST EFFECTIVE BUDGET TO MEET THE NEEDS OF THE PEOPLE WITHIN THE REVENUE ANTICIPATED, THEY WERE NOT ASKED TO USE THEIR EXPERIENCE OR THEIR EXPERTISE TO CREATE THE BEST FINANCIAL PRODUCT POSSIBLE.
SO WHAT THE COUNCIL IS GETTING IS A BUDGET CONTAINING EVERYTHING, AND A STATEMENT SAYING THAT IT WILL REQUIRE THE, THE TAX RATE TO STAY THE SAME AND THE EXISTING TAX RATE, AND THAT THE MONEY FROM THE SAVINGS.
THIS IS NOT A BALANCED BUDGET.
IF THIS WERE MY BUDGET, I WOULD PRIORITIZE THE PROJECTS CUT UNTIL I CREATED A BALANCED BUDGET.
THIS IS HOW MUCH WE'RE GOING TO SPEND.
IT IS AS IF WHEN YOU GET ELECTED, YOU SOMETIMES LOSE ALL THE AWARENESS OF THE FINANCING ENVIRONMENT THAT IS THAT YOU'VE BEEN LIVING IN. WE ARE IN A RECESSION.
GAS, FOOD PRICES ARE GOING THROUGH THE ROOF.
OUR PROPERTY VALUES WENT PAST THE ROOF.
AND YOU PROPOSE POSSIBLY TO INCREASE TAXES IF YOU DO NOT LOWER THE TAX RATE, LEAVING IT WHERE IT IS AMOUNTS TO RAISING TAXES. THE APPRAISAL DISTRICT IS STILL PROCESSING, PROTEST ON PROPERTIES.
THE IDEA THAT YOU WOULD CONSIDER A 3% STAFF SALARY INCREASE IS UNBELIEVABLE, BECAUSE YOU ARE GOING TO VOTE FOR THE EXISTING APPRAISAL DISTRICT BOARD, AND THEY WILL INCREASE PROPERTY VALUES BEYOND ANY RISE THE CITY RAISES, THAT THE CITY COULD GIVE LOWER EVERYONE'S TAXES AND REDUCE THE TAX RATE BY 4 TO $0.05.
WHY IS IT SO DIFFICULT TO UNDERSTAND HOW TAXES MEANS MORE POVERTY? AND THIS IS THE CITIZENS THAT ARE HERE IN EDINBURG WHO WERE MORE CONCERNED WITH.
AND I'M HOPING YOU'LL KEEP THAT THEM IN MIND.
THE SECOND PUBLIC COMMENT IS MISS FERMI, BUT SHE WOULD LIKE TO SPEAK ON ITEM FIVE A.
ALL RIGHT. THAT BEING THE CASE, WE'RE GOING TO MOVE ON TO ITEM FIVE.
THE ONLY ITEM WE HAVE ON OUR AGENDA TODAY, WHICH IS OUR BUDGET.
THIS IS A PRESENTATION OF THE FISCAL YEAR 2023 2024 CITY MANAGER'S PRELIMINARY PROPOSED BUDGET.
AND I DO WANT TO STATE, I GUESS FOR THE RECORD, WE DID HAVE A MEETING LAST WEEK.
BUT WE DECIDED TO HAVE THIS JUST AS A FOLLOW UP.
YES, SIR. MAYOR, WE'RE HAVING THIS MEETING AS REQUESTED BY COUNCIL.
I KNOW THAT IN THE PREVIOUS, BUDGET WORK SESSION, WE DID HAVE SOME RECOMMENDATIONS MADE BY COUNCIL FOR US AS CITY MANAGEMENT AND THE DIRECTOR OF FINANCE AND THE FINANCE TEAM TO GO BACK AND REASSESS, SOME OF THE EXPENDITURES AND REQUESTS OF BEING ABLE TO ALLOCATE SOME OF THE OTHER FUNDING, MECHANISMS THAT WE HAVE IN ORDER TO FUND SOME OF THE REQUESTS.
WE DID MEET. AND AT THIS TIME I WOULD LIKE TO, TURN OVER THE THE PODIUM TO THE DIRECTOR OF FINANCE THAT WILL GO OVER THE BUDGET HIGHLIGHTS AND SOME OF THOSE CHANGES WITH COUNCIL. AND OF COURSE, WE'RE HERE IF YOU HAVE ANY QUESTIONS.
AND I BELIEVE OUR FINANCIAL ADVISOR MAY BE PRESENT AT THIS TIME AS WELL.
[00:10:05]
GOOD AFTERNOON, MAYOR AND COUNCIL.WE DIDN'T PROVIDE ALL THIS INFORMATION TO TO MAYOR AND COUNCIL AND UPPER MANAGEMENT.
AND I'M HERE AT YOUR, AT YOUR, WHEREVER YOU WOULD LIKE TO DO.
WELL, I'LL, I GUESS, OPEN IT UP TO COUNCIL, BECAUSE I KNOW WE HAD QUITE A BIT OF DISCUSSION LAST MEETING AND, I BELIEVE THERE WERE SOME QUESTIONS ABOUT ASKING FOR JUST ADDITIONAL INFORMATION TO, I GUESS, HELP US BETTER EVALUATE.
I'LL SAY IT THAT WAY IN TERMS OF WHAT WAS BEING PROPOSED.
AND. WELL, I THINK FOR STARTERS, I JUST FOR THE RECORD, WANT TO REFLECT THAT.
COUNCIL MEMBER DAN DIAZ JUST JOINED THE MEETING.
MAYBE FOR STARTERS, MR. ALONSO, I THINK IT'S IMPORTANT.
MAYBE JUST TO CLARIFY THE BUDGET PROCESS AND WHAT'S BEING PROPOSED.
I KNOW. OBVIOUSLY WE HAVE TO WE HAVE TO ESTIMATE REVENUES.
RIGHT. I KNOW WE TALKED ABOUT UTILITY.
THAT'S WHAT, OUR PROPERTY TAXES FUND.
BUT I THINK I JUST THINK IT'S IMPORTANT TO CLARIFY ON THAT BUDGET PROCESS.
IS THAT CORRECT? THAT IS ON THE 25TH OF JULY, WE THE CERTIFIED VALUES.
SO THE APPRAISAL BOARD ALREADY CERTIFIED THOSE VALUES.
SO THERE'S NO CON, CONTESTING OF ANY VALUES ANYMORE AT THIS TIME.
THERE ARE A NUMBER OF, OF PROPERTIES UNDER PROTEST.
THEY DON'T, FINALIZE EVERYTHING.
BY JULY 25TH, THERE'S A PERCENTAGE THEY NEED TO CERTIFY.
BUT OTHER THAN THAT, EVERYTHING PERCENTAGE.
IS THAT JUST FOR INFORMATION? I'M NOT SURE WHAT THE NEW PERCENTAGE IS, BUT IT'S, IT'S I THINK IT'S ABOUT 90% OR SO.
BUT I THINK IT'S IMPORTANT TO CLARIFY THAT'S NOT ALL WE USE TO, TO OBVIOUSLY ALIGN OUR EXPENDITURES.
AND THEN WE PROJECT BASED ON TRENDS AND BASED ON HISTORICAL INFORMATION.
THE BIGGEST GENERATORS ARE OUR PROPERTY TAXES, SALES TAX, FRANCHISE TAX.
AND THEN WE HAVE ALL THE ACTIVITIES THAT THE SERVICES THAT THE CITY PROVIDES.
THEN WE GO TO THE EXPENDITURES.
AND IT'S A PROCESS THAT WE START WITH.
[5. BUDGET A.]
YEAR'S, WHAT THEY WOULD LIKE OR WHAT THEY NEED, AND A LISTING AND IT IS VETTED HERE WITH THE MAYOR AND COUNCIL.AND THERE ARE SOME ITEMS THAT ARE, THAT ARE OPERATIONS THAT THAT NEED TO BE BUDGETED BECAUSE LIKE ELECTRICITY, FUEL, THERE'S, A LOT OF ITEMS, PERSONNEL SO THAT WE START OFF WITH, WHAT WE NEED.
AND THEN THERE'S SOME ITEMS THAT, THAT ARE MAY BE SOMETHING THAT COULD BE PUT OFF TO A NEXT YEAR OR MIGHT BE SOMETHING THAT, THAT WE CAN, SHARE WITH OTHER DEPARTMENTS, EQUIPMENT OR WHAT HAVE YOU.
SO IT'S A LENGTHY PROCESS OF TRYING TO DETERMINE THE NEEDS OF, OF, DEPARTMENT DIRECTORS AND OF THE CITY TO PROVIDE THE SERVICES THAT, THAT, THAT THE CITY REQUIRES.
GREAT. AND I THINK IT'S PART OF THAT EVALUATION.
WE ALSO TAKE INTO CONSIDERATION, COMMITMENTS THAT THE CITY HAS, THINGS THAT WE'RE NOT OBVIOUSLY.
[00:15:02]
IS THAT CORRECT? THAT IS CORRECT.CORRECT. AND THERE'S A REQUIREMENT THAT WE HAVE BASED ON THOSE DEBT OBLIGATIONS.
YES. CAN WE TOUCH ON THAT? YES. WE START OFF WITH WITH OUR DEBT REQUIREMENTS.
THOSE ARE COMMITMENTS THAT WE MADE.
BONDS THAT HAVE BEEN ISSUED LEASES, ANY LIABILITIES THAT THE CITY IS COMMITTED TO.
AND THAT'S A FIRST ITEM THAT WE LOOK AT.
THOSE ARE PRETTY MUCH, SET IN STONE.
THEY'RE COMMITMENTS THAT NEED TO BE HONORED.
SO WE'RE WE START OFF WITH A DEBT SERVICE AT AN INS REQUIREMENTS.
AND AFTER THAT WE GO TO THE MAINTENANCE AND OPERATIONS.
WE TRY TO FUND AS MUCH AS WE CAN OUT OF OUT OF THE REVENUE, THE CURRENT REVENUE AND ANY ITEMS THAT THAT ARE, NOT OPERATIONS OR THAT ARE, OF A OF A HIGHER AMOUNT.
WE LOOK AT, WE VISIT WITH OUR FINANCIAL ADVISORS, LOOK AT OPTIONS OF ISSUING SOME DEBT IF THEY ARE NEEDED AND IF THE CITY CAN, CAN AFFORD THEM.
SO IT'S, FIRST MAINTENANCE OPERATIONS.
AND I THINK JUST AND I HAVE HERE WITH ME AND I KNOW THIS PUBLIC INFORMATION I THINK SINCE 2018.
WHAT IS THE TOTAL AMOUNT OF DEBT THAT HAS BEEN ISSUED PRIOR TO THIS LEADERSHIP BEING ON THE COUNCIL? OKAY. LET ME SEE.
WE HAVE. WE HAVE THAT NUMBER HERE.
YEAH. BECAUSE WHAT I DID, WHAT I CALCULATED WAS, AND I THINK OUR FINANCIAL ADVISORS HERE, HERE, PROBABLY HE CAN, SHED SOME LIGHT ON THIS, BUT I JUST THINK IT'S IMPORTANT BECAUSE. EXPENDITURES ARE A KEY COMPONENT RIGHT, OF BALANCING OUR BUDGET.
BY PREVIOUS POLITICAL LEADERSHIP THAT HAS TO BE TAKEN INTO ACCOUNT.
RIGHT. AND AND, MR. VARELA, IF YOU COULD JUST SHARE WITH US WHAT'S THE TOTAL AMOUNT OF DEBT RIGHT NOW? THE OUTSTANDING DEBT ON THE GENERAL FUND, ON THE GENERAL FUND IS ABOUT 118 MILLION.
YEAH. SO WE DID ISSUE THE CIB AND THE WATER BEFORE THAT.
YEAH. YEAH. BUT PRIOR TO THAT MAJORITY ABOUT 100 MILLION.
YEAH ROUGHLY. IS THAT IS THAT A SAFE ESTIMATE.
YEAH. AND THEN THE BIG SIGNIFICANT THING WAS PRIOR TO Y'ALL'S ARRIVAL, I THINK, SIGNIFICANT CAPITAL LEASES HAD HAD HAD BEEN UNDERTAKEN LIKE PRIOR TO YOUR ARRIVAL. RIGHT. WELL, THAT'S A WHOLE NOTHER ONE.
I WAS GOING TO BRING THAT ONE UP NEXT.
AND THEN WE HAVE HOW MUCH IN CAPITAL LEASE? A LITTLE OVER 49 MILLION.
SO IN THE LAST THREE YEARS PRIOR TO 2021.
SO PRIOR TO DECEMBER 2021 WAS 149 MILLION THAT WAS ISSUED IN DEBT.
WELL, THAT'S IN CAPITAL LEASE.
IF YOU ADD THOSE TOGETHER, IT'S 149 MILLION.
AND WHAT WAS OUR DEBT SERVICE PRIOR TO THAT BOND ISSUANCE? ALL THAT DEBT. DO WE HAVE AN IDEA? I'D HAVE TO. I KNOW I ALWAYS HAVE QUESTIONS THAT ARE BEYOND TIME TO LOOK THAT UP.
I HAVE TO ASK BECAUSE I JUST WANT TO PUT PERSPECTIVE HERE.
RIGHT? I THINK, IF I'M NOT MISTAKEN, IT WAS ABOUT 30 MILLION, 30 TO 40 MILLION.
AND YEAH, I MEAN, RIGHT NOW JUST FOR THE GENERAL FUND AND NOT LOOKING AT THE UTILITY SIDE, THE GENERAL FUND IS PROBABLY AROUND, A DEBT SERVICE OF ABOUT 8 MILLION NET, RIGHT.
WHICH IS ABOUT 13.5 PENNIES THIS CURRENT FISCAL YEAR.
ONE THING I WOULD POINT OUT, THOUGH, IS THAT I KNOW THAT THEY'RE UTILIZING ABOUT 500,000.
RIGHT? SO I JUST SORT OF CAUTION YOU ALL THAT WHEN IT GOES AWAY.
WHEN HE GOES AWAY, THEN IT KIND OF RIGHT.
IF WE DON'T HAVE ANTICIPATED GROWTH NEXT YEAR, THEN IT SORT OF YO YOS BACK, RIGHT? BUT HOPEFULLY NOT.
NO, NOT I DON'T AND I UNDERSTAND.
I'M JUST I WANTED TO LAY OUT BECAUSE TO BE FAIR TO ALL THE DEPARTMENTS, THE EXPENDITURES IN OUR BUDGET RIGHT NOW, YES, IT INCLUDES ALL THE DEPARTMENTS, BUT A GOOD PORTION OF IT INCLUDES ALL THIS DEBT SERVICE, DEBT SERVICE AND AND CAPITAL LEASE PAYMENTS THAT ARE COMING OFF THE TOP RIGHT.
AND I KNOW IT'S FOR PROJECTS THAT WE NEED.
FOR THE FOR THE HUNDRED MILLION FOR, FOR THE, FOR THE PROJECTS IN BONDS.
YES. OKAY. THE CURRENT DEBT SERVICE FOR THIS NEXT YEAR IS, IT'S, 8,161,007 786.
THAT'S THE TOTAL AMOUNT OUT OF OUR DEBT OF OUR BUDGET BOND PAYMENTS WE'LL BE MAKING.
AND HOW MUCH IS IN CAPITAL LEASE AND THE GENERAL FUND THAT WE HAVE HERE.
[00:20:08]
GENERAL FUND. WE HAVE, A TOTAL OF, 21,064,588 AND TOTAL DEBT ISSUED THIS THIS YEAR.WE'LL BE PAYING 3,063,953.41, A LITTLE OVER 3 MILLION.
AND, THAT, CAPITAL LEASE PAYMENTS FOR 23, 24.
I GUESS MY POINT OF ALL THIS IS, AS WE PLAN OUR BUDGET, WE PLAN REVENUES, RIGHT? WE LOOK AT EXPENDITURES.
ONE OF THE FIRST THINGS WE GOT TO LOOK AT IS THIS DEBT SERVICE.
IS THAT CORRECT? THAT IS CORRECT.
BOBBY, IF YOU COULD JUST SORRY.
THAT'S GOOD. THE THE REGULAR BONDS ARE GENERALLY OVER 20 YEARS, OVER 30 YEARS.
SO THAT'S WHEN WE DID THE WHEN WE DID THE CIB LOAN.
IT'S OVER. THE UTILITY SHOULD HAVE BEEN SUPPORTING IT.
BUT WE'RE HAVING TO UTILIZE THE GENERAL FUND.
AND THAT'S ONE OF THE THINGS WE'VE BEEN TALKING IS THAT THE UTILITY RATE STUDY IS VITAL TO THE CITY.
YOU HAVE MORE NEEDS AS UTILITY NEEDS IS GETTING STRETCHED.
SO THAT'S ONE THING I WOULD EMPHASIZE.
UTILITY RATES. UTILITY RATES NEED TO BE LOOKED AT.
RIGHT. AND WE'VE I THINK UNDERTAKEN WE'VE HIRED I BELIEVE A FIRM.
AND I THINK THAT'S ABOUT TO BEGIN.
ANYWAY, COUNCIL, I JUST WANTED TO HAVE OUR FINANCE TALK JUST KIND OF COVER THAT.
THEY GOT SOME IMPORTANT AS WE'RE, OBVIOUSLY EVALUATING ALL OUR, OUR BUDGET PROCESS AND AND BY THE WAY, WE'RE NOT, THIS IS NOT FOR ACTION TONIGHT, I THINK NEXT MEETING ON TUESDAY. THAT'S WHERE WE'RE HAVING TO ADOPT A OR APPROVE A PROPOSED TAX RATE.
YES. AT THAT MEETING ON TUESDAY.
THANK YOU FOR, JOHN, FOR FOR MAKING MAKING LIGHT OF A LOT OF THIS STUFF AND AND BOBBY THE PHASE.
I DON'T EVEN KNOW IF IT COULD BE ANSWERED, BUT.
PERTAINING TO ALL THE DEBT THAT WAS THAT WAS ACCUMULATED PRIOR TO, TO THE CHANGE OF LEADERSHIP HERE.
ON THIS PAPER, REFERRING TO THE PROJECTED PROPERTY TAX ON THIS ONE HERE.
AND SO I'LL JUST GO TO THE TOP.
AND WE'VE GOT ALL THESE LINE ITEMS. RIGHT. AND MARY WAS GOOD AT EXPLAINING WHAT DIANE'S NO TAX LEVY AT THE END OF THIS.
RIGHT. UNDER ALLOCATION FOR DEBT SERVICE.
COULD YOU EXPLAIN WHAT THAT IS, PLEASE? YES, I KNOW WHAT IT IS, BUT I JUST WANT WANT FOR EDUCATION PURPOSES.
YES. THIS IS THE CALCULATION THAT WE THAT THE THAT WE DO TO RAISE ENOUGH MONEY TO PAY THE COMMITMENTS THAT WE HAVE SO THAT THE ALLOCATION FOR DEBT SERVICE, THAT'S THE AMOUNT THAT THAT IS ALLOCATED TO FOR THESE PAYMENTS THAT WE'RE MAKING ANY BOND PAYMENTS THAT WE'RE MAKING.
SO THAT'S MONEY THAT WE OWE AT THIS TIME.
FOR THE NEXT YEAR. THAT'S PART OF THE BUDGET.
THAT'S A LINE ITEM THAT GOES IN THE DEBT SERVICE LINE ITEM.
NO. IT JUST HAPPENS TO BE KIND OF KIND OF THE SAME WHAT WE HAVE AVAILABLE.
YEAH OKAY. THAT'S THE MORTGAGE PAYMENT.
RIGHT. THAT'S IT. SO I KNOW THAT, SOME OF THE PAPERWORK WE HAVE.
SAYS THAT IF WE IF WE MAINTAIN OUR CURRENT RATE AND OUR CURRENT TAX RATE WITHOUT ANY RAISING OUR.
ABILITY TO DO ANY SORT OF NEEDS OR PROJECTS OUTSIDE OF WHAT WE ALREADY HAVE ALLOCATED, AND TO RUN THE DAY TO DAY OPERATIONS ABOUT THE SAME, ABOUT 7 MILLION, IS THAT CORRECT? THAT CAPACITY. YEAH, YEAH.
BUT EVEN THAT 7 MILLION IT'S IT'S IT'S A STRETCH.
WE DEFERRED PRINCIPAL AND AGAIN I GO BACK TO THE UTILITIES AND YOU KNOW THE 500,000.
BUT IF YOU'RE LOOKING AT WAS IT THIS SHEET YOU'RE LOOKING AT.
SO IT WAS, YEAH, IT'S ANOTHER ONE.
SO MY REAL QUESTION IS ONE ON THE SCREEN.
NO, NO OKAY. YEAH. THAT'S WHAT WE'RE LOOKING AT.
OKAY. COUNCILMAN. SO IT SHOULD BE A TAX RATE IMPACT.
YEAH OKAY. YEAH I SEE IT HERE.
SO MY REAL QUESTION I DON'T EVEN KNOW IF ANYONE CAN ANSWER THIS.
[00:25:05]
MAINTAIN THERE'S A CERTAIN TAX RATE AND WE PROJECT THAT IF THERE WAS ANY NEW PROJECTS WE COULD ONLY SPEND ABOUT, LET'S JUST SAY 7 MILLION UNDER 7 MILLION.YEAH. MY QUESTION IS THIS IN THE IN THE TIMES THAT ALL THIS OVER 100 MILLION THAT WAS ISSUED IN DEBT WAS THAT THAT NUMBER THEN WAS THAT WHAT WAS WAS THAT THE.
WHAT'S THE TERM DEBT CAPACITY OR AT THE TIME? OR IS THAT EVEN CONSIDERED? I WASN'T THERE AT THE TIME, BUT, BUT I THINK YOU WERE THERE FOR THAT PART OF IT EITHER.
WELL, MY POINT IS, HOW DO YOU GO FROM 7 MILLION WITH OUR BOOKS AND OUR BALANCING AND OUR GROWTH AND OUR EVERYTHING, TO SPENDING ALMOST 100 MILLION? IN JUST A COUPLE YEARS.
HOW DOES THAT HAPPEN? WELL, TO BE FAIR, I DON'T THINK I KNOW.
IT'S A POLICY MATTER, I GUESS.
CORRECT? CORRECT. AND YOU'RE RIGHT.
I'M JUST WONDERING WHAT WAS WHAT WAS THE ADVICE THEN WHAT WERE THE NUMBERS THEN.
WELL, I MEAN, HOW DID WE WHAT ONE THING WAS THAT ONE THING I WOULD SAY JUST FROM A HIGH LEVEL.
YOU'RE PROBABLY THE FASTEST GROWING CITY OR EXPECTED TO GROW.
I MEAN, YOU GUYS COULD GO PRACTICALLY TO SAN MANUEL, RIGHT? OTHER CITIES, MCALLEN, OTHERS.
THEY'VE BEEN THEY'VE BEEN PRETTY MUCH BUILT.
THEY DON'T HAVE ANYWHERE TO GO.
RIGHT. SO YOU HAVE GROWING PAINS THAT YOU NEED TO ADDRESS.
SO I'M NOT HERE TO SELL YOU ANYTHING BUT THAT.
I MEAN, YOU'RE A GROWING CITY.
AND YOU HAVE THE UNIVERSITY, THE THE MEDICAL FACILITIES.
YEAH. YEAH. WE WE YEAH, I UNDERSTAND WE HAVE THE UNPRECEDENTED, UNPRECEDENTED GROWTH.
RIGHT. AND AND IN DEALING WITH IT, LIKE THE MAYOR SAID, IT'S JUST I THINK IT'S JUST FACTS THAT WE NEED TO GET OUT, THAT A LOT OF THIS DEBT IS WHAT WE INHERITED, AND WE WE'RE TRYING TO MAKE THE MOST OF IT AND, AND JUST FIGURE OUT TO BE, YOU KNOW, RESPONSIBLE IN THE HANDLING OF ALL THIS.
AND ONE THING I WOULD POINT OUT, AND I'M PROBABLY DELVING INTO THE NO SIDE, I'M PRIMARILY THE THE INS SIDE OF THINGS, BUT I KNOW FROM OTHER CITIES THAT WE DEAL WITH THE AMBULANCE THAT USED TO BE NOTHING FOR A CITY.
NOW EACH ONE OF THE CITIES IS HAVING A.
SIGNIFICANT MONEY? A LOT MORE THAN YOU THOUGHT BEFORE.
INTO WHAT? AMBULANCE? MS. YEAH. MS IS NOW.
THAT USED TO BE A TRUE CAPACITY, RIGHT? RIGHT. I MEAN, THOSE ARE PRESSURES YOU HAVE NOW, RIGHT? AND, YOU KNOW, FIRE AND POLICE, THE RAISES, ETC..
THERE'S A PUSH FOR MINIMUM WAGE TO GROW.
I MEAN, THERE'S JUST POST COVID POST COVID RAISE.
SO YOU HAVE PRESSURES TO TO BUILD THE CAPACITY YOU NEED.
YOU HAVE BUILT YOU HAVE THE OPERATING PRESSURES YOU HAVE.
SO YOU KNOW STAFF HAS TO DEAL WITH IT.
BUT I'M YOU GOT TO MAKE ARPA AND THOSE KIND OF THINGS, THOSE MONIES ARE ONLY HERE FOR SO LONG.
YEAH. THE GENERAL FUND HAS TO PICK IT UP.
AND SO IT HAS TO HAVE A LOT OF GOOD PLANNING.
THANK YOU. DOES ANYBODY ON COUNCIL HAS ANY OTHER QUESTIONS FOR MR. ALONSO? I GUESS THE REVISED OR UPDATED INFORMATION.
AGAIN, THE HIGHLIGHTS ARE HERE, RIGHT? AND FOR THE MOST PART, MAYBE SOME OF THOSE.
AND I'M TALKING ABOUT THE GENERAL FUND IN PARTICULAR RIGHT NOW, BUT HAS ANY OF THOSE CHANGED IN ANY WAY? THERE WERE SOME CHANGES.
MAYBE HIGHLIGHTS, PERSONNEL, BUT NO INCREASE IN EXPENDITURES.
NO INCREASE. IT WAS A SAME AMOUNT OF EXPENDITURES THAT WE HAD LAST TIME, LAST BUDGET WORKSHOP.
AS FAR AS, PERSONNEL, THERE WAS, AN ADDITION AS REQUESTED FOR A PROJECT COORDINATOR UNDER CITY MANAGER'S OFFICE, AND THERE WAS A MULTI JOURNALIST THAT WAS WAS NOT FUNDED.
AS FAR AS, AS FAR AS THE, PERSONNEL THAT'S ON THIS NOW.
YES IT IS. GOT IT. AND THE CAPITAL, CAPITAL EXPENDITURES WERE PRETTY MUCH KEPT THE SAME.
THERE WAS SOME ADDITIONS, SOME, SOME THINGS REMOVED.
[00:30:01]
THIS COUNCIL, WE WORKED AND WE KNOCKED OFF $0.04.THAT'S WHAT AFFECTS THIS YEAR'S BUDGET.
IT WAS ALREADY IT WAS ALREADY ACCOUNTED INTO LAST YEAR'S BUDGET.
SO THAT'S THIS WILL AFFECT THIS YEAR'S BUDGETS AND OUR FUNDING NOW.
I MYSELF HAVE BEEN KICKING AROUND TRYING TO GET ANOTHER $0.02 TO DO A $0.06 IN THE YEAR, BECAUSE IF EVERYBODY REMEMBERS BACK THEN I WAS FIGHTING TEN $0.12, WHICH WAS MIGHT HAVE BEEN A DREAM DREAM NUMBER.
BUT, COUNCIL'S GOT TO DO ITSELF, AND I'D STILL LIKE TO SEE THE BUDGET WE'RE CREATING NOW.
ARE WE ARE WE ABLE TO GIVE SOME MORE RELIEF? CAN WE WITH WITH WHAT WE'RE ABLE TO DO? CAN WE MOVE SOME STUFF AROUND AND MAKE SURE WE GET ANOTHER SET AND A HALF? $0.02. BECAUSE IT'S DOABLE OR.
WELL, I THINK THAT'S WHAT WE'RE HERE TO TALK ABOUT IT.
WE HAVE TO TAKE A VOTE ON A PROPOSED TAX RATE.
DOESN'T MEAN WE ADOPTED THAT DAY.
AND THE FINAL VOTE WILL BE ON THE SECOND MEETING IN SEPTEMBER, I THINK ON THE 19TH.
WELL, THAT'S WHERE WE ACTUALLY ADOPT THE TAX RATE.
LOOKING AT THE SAME SHEET THAT COUNCILMAN DIAZ ALLUDED TO EARLIER, WHICH IS IS THIS ONE, RIGHT? I MEAN, WE'RE SEEING WHERE WE'RE AT 60, WE'RE SEEING AT THE $0.64 WHERE OUR TAX LEVY WILL BE $43 MILLION.
AND ALL OF OUR WE'LL MAKE SURE EVERYBODY UNDERSTANDS THAT OUR MORTGAGE LIKE TO SAY OUR, DEBT SERVICE FEES IS THE SAME AS LIKE IF MY HOUSE PAYMENT, MY CAR PAYMENT AND ALL THAT STUFF. THOSE FAMOUS, I'M GOING TO HAVE MY FIXED COSTS.
I'M GOING TO HAVE ALL THE TIME AS A, AS OUR ALMOST $8 MILLION.
RIGHT. AND THERE'S WAYS TO DO IT.
WE JUST GOT TO MAKE SURE STAFF CAN GET IT DONE RIGHT.
WELL, ONE THING I WOULD MENTION JUST AS AN ASIDE, BUT SO WHEN THE INCREASE OF FOUR PENNIES OCCURRED.
THAT WAS TO THE INS FOR THE, THE, THE VOTE OR WHATEVER THEY DID FOR THE DRAINAGE BONDS.
SO WHEN THE COUNCIL DROPPED FOUR PENNIES BACK, THAT WAS PRIMARILY ON THE NO SIDE.
THE OPERATIONS OF THE OF THE CITY.
SO WHEN YOU GOT RAISED IN THE FIRST PLACE, IT WAS ON THE INS SIDE.
AND I AND I APPRECIATE YOU MENTIONED THAT BUT I DON'T THINK THAT WAS THE CASE.
I DON'T THINK I WAS DONE APPROPRIATELY IN TERMS OF THE INS.
WE HAD A GROWTH RATE, WHICH IS WHY I ADVOCATED LAST YEAR THAT WE REDUCE, THAT WE WERE GROWING AT SUCH A RAPID RATE THAT THERE WAS NOT A NEED TO INCREASE THE TAX RATE, BUT THE PREVIOUS COUNCIL INCREASED IT ANYWAY.
AND THAT'S WHY WE ADVOCATED LAST YEAR.
WE GOT TO GIVE THAT BACK TO OUR RESIDENTS.
AND OF COURSE, I BROUGHT IT UP TO COUNCIL AND FORTUNATELY THEY ALL AGREED.
I KNOW MAYOR PRO TEM WANTED TO DO $0.10.
I SAID, OKAY, LET'S AT LEAST GIVE BACK WHAT I THINK WAS, YOU KNOW, INCREASE IN OUR RESIDENTS AND AND WE ARE GROWING FAST, BUT WE HAVE TO BE FISCALLY RESPONSIBLE NONETHELESS, BECAUSE WE DO HAVE TO OPERATE OUR CITY AND WE'RE GROWING.
BUT I'M NOT SURE IF THAT'S EXACTLY HOW IT TOOK PLACE.
I THINK WHAT WE'RE LOOKING AT NOW IS, I MEAN, I PERSONALLY ALSO WOULD LIKE TO STILL SEE SOME TAX RELIEF, BUT I ALSO UNDERSTAND WE HAVE SOME COMMITMENTS, THAT WE HAVE TO ADHERE TO.
AND SO I WANT TO MAKE SURE THAT OUR STAFF PROVIDES US WITH ALL THE INFORMATION BECAUSE REMEMBER, OUR BUDGET, THIS IS A ONE YEAR BUDGET, BUT WE CAN'T LOOK AT IT AS ONE YEAR BUDGET BECAUSE SOME OF OUR COMMITMENTS, SOME OF OUR PROJECTS GROW BEYOND ONE YEAR.
IT GROWS BEYOND ANY OF OUR TERMS. THAT'S WHY WE CAN'T EVEN LOOK AT IT AS A ONE YEAR.
WE HAVE TO LOOK AT THE OVERALL IMPACT ON OUR CITY.
RIGHT. AND SOME OF THESE PROJECTS WERE NOT.
AND SO FOR ME, WHEN DISCUSSIONS I HAVE WITH OUR CITY MANAGER, I SAID, YOU KNOW, PART OF THE REASON WHY I WOULD FAVOR TAX RELIEF RIGHT NOW ALSO IS BECAUSE ADOPTING.
THE EXISTING RATE, THE CURRENT RATE WHEN WE HAVE $50 MILLION IN OUTSTANDING BONDS FOR PROJECTS.
YOU KNOW, I HAVE A HARD TIME WITH THAT.
YOU KNOW WHAT I MEAN? LIKE APPROVING AND NOT PROVIDING SOME KIND OF RELIEF AND MAYBE GETTING CREATIVE WHEN SOME OF THESE PROJECTS ARE REALLOCATING SOME OF THOSE FUNDS TO SOME OF THE NEEDS THAT WE HAVE.
I THINK THAT'S WHY WE'VE LOOKED AT THE.
ARPA, SOME OF THOSE FUNDING SOURCES.
THE CAPITAL LEASE, THE AND OF COURSE, THE EXISTING BONDS.
THAT HAVE BEEN ISSUED SINCE 2018.
[00:35:03]
BUT, BUT I HEAR MAYOR PRO TEM, I THINK THE ISSUE HERE IS I JUST WANT TO MAKE SURE WE'RE, WE'RE LOOKING AT ALL THE COMMITMENTS FROM THE CITY.BECAUSE NEXT YEAR, AS WE PLAN OUR BUDGET, WE ARE GROWING, AND WE'RE VERY FORTUNATE FOR THAT.
BUT I'M NOT SURE IF IT'S GOING TO BE ENOUGH TO KEEP UP WITH THE GROWTH.
RIGHT. SO WE JUST NEED TO BE MINDFUL OF THAT AS WE EVALUATE WHAT WE LIKE TO DO.
GO AHEAD. I DON'T MEAN TO BEAT YOU UP, BOBBY, BUT I'M GONNA HAVE TO AGREE WITH THE MAYOR.
WHEN THEY WENT TO $0.68, I WAS AN EMPLOYEE OF THE CITY.
AND THAT 2018 YEAR WAS PRETTY FAT.
SO THEY MIGHT HAVE BEEN TO PAY OFF SOME DEBT OR SOMETHING LIKE THAT.
BUT THE EQUIPMENT THAT WAS COMING IN AND THE, THE STUFF THAT WE WERE GETTING, THE GIANT TVS THAT WERE BEING PUT IN AS MONITORS AND STUFF LIKE THAT, YOU KNOW, COMING FROM THE ACCOUNTING BACKGROUND, ARE PROBABLY MORE CONSERVATIVE ON MY SPENDING.
THE CITY WAS FAT, FAT AND HAPPY, AND THE MONEY WAS FLOWING OUT THERE.
SO THERE ARE SOME ISSUES THAT I THINK WE'RE TRYING TO STEP BACK.
AND FOR THE RECORD, AND I KNOW YOU WEREN'T EITHER, BUT JUST TO I KNOW THE MAYOR TOOK THE FIRST ELEMENT TO SAY IT, BUT BUT EVEN EVEN IF YOU WERE IT'S IT'S IT'S NOT YOUR RESPONSIBILITY HOW WE SPEND THE MONEY.
YOU JUST ACCOUNT FOR IT AND TELL US WHERE IT WHERE THE BOND SIDE OF IT.
BUT IT'S OUR RESPONSIBILITY FOR FOR RESPONSIBLE SPENDING.
YEAH. EVEN THOUGH WE GET BEAT UP SOMETIMES.
I MEAN, WE GOT SOME BONDS AND WE GOT SOME BONDS OUT TO GET SOME SOME DRAINAGE DONE.
REALLY NEEDED DRAINAGE WORK DONE.
THE CITY STILL FLOODS HERE AND THERE, BUT IT'S NOT AS BAD AS IT DID AT ONE TIME.
AND THAT'S THAT'S ANOTHER PAIN WE'VE GOT TO GO THROUGH.
BUT UNLESS WE LET'S WE START RETRACTING OURSELVES.
WE CLOSE OUR PURSE STRINGS, WHICH I DO AT MY OWN, MY OWN FAMILY BUDGET.
SOMETIMES I GOT TO, YOU KNOW, TIGHTEN THAT PURSE STRING BECAUSE WE HAD SOMETHING DISASTER.
AND WE'VE GOT TO MAKE UP THAT MONEY SOMEWHERE ELSE.
SO THAT'S ALL I'M TRYING TO DO.
A LITTLE, LITTLE FORCED CLOSE THE PURSE STRING AND, BECAUSE.
KILL ME. YOU ALWAYS COME BACK, YET YOU GOT TO CLOSE THE FIRST STRING FIRST.
YEAH. AND AND FOR FOR MY OPINION.
AND I APOLOGIZE FOR COMING IN A LITTLE LATE.
I TONIGHT WAS MEET THE TEACHER.
SO I WENT OVER THERE FOR A LITTLE BIT.
BUT AS I WALKED IN I COULD HEAR FERNE'S COMMENTS.
AND I MYSELF WANT, YOU KNOW, WANT TO BE ABLE TO OFFER RELIEF.
BUT WHAT I'VE ASKED CITY, CITY STAFF IS TO LET ME KNOW THE NEEDS FROM EACH DEPARTMENT.
SO. THERE'S A GROWTH THAT THAT WE'RE ALL WE ALL KNOW IS HAPPENING IN THE CITY.
THERE'S A NUMBER ABOUT A 4000 LOTS THAT ARE GOING TO BE.
MADE OR COMPLETED WITHIN THE NEXT YEAR OR SO.
AND SO I WANT TO MAKE SURE THAT WE ARE COVERING THOSE NEEDS.
MOST, MOST EVERYONE IS COVERED FOR PD BECAUSE THERE'S, THERE'S, YOU KNOW, THERE'S FORMULAS.
HOW MANY COPS PER YOUR POPULATION, HOW MANY GREEN GREEN SPACES PER YOUR POPULATION.
ONCE THAT RUNS OUT, THAT'S NOT GOING TO BE THERE ANYMORE.
AND WE'RE UTILIZING THOSE HUNDREDS.
OF MILLIONS, MILLIONS OF DOLLARS TO FUND THINGS THAT WE'RE GOING TO HAVE TO FUND WITH OUR BUDGET.
AND YEAH, THERE'S YOU CAN YOU CAN ARGUE THERE'S GOING TO BE SOME GROWTH TO COVER SOME OF THAT.
BUT WE'VE GOT THIS MONEY THAT'S IT'S A ONE TIME DEAL.
AND SO WITH THE GROWTH, WITH THE, THE GROWTH IN POPULATION LOT SERVICES NEEDED, THERE'S ALSO GROWTH IN, IN SALES AND FUNDING.
I JUST WANT TO MAKE SURE THAT WE LOOK AT ALL OF THOSE NEEDS.
WELL, I STATED IT AT THE LAST MEETING.
[00:40:03]
AND THAT'S WHAT'S HAPPENED.SO NOW IT'S UP TO US TO, TO OBVIOUSLY DETERMINE WHETHER WE WANT TO MAKE ANY CHANGES OR APPROVE AS RECOMMENDED OR, YOU KNOW, COME UP WITH OTHER OPTIONS.
SO ANYBODY ELSE ON COUNCIL? AND THE OTHER THING I WANTED TO ADD, SO SOME OF THE SOME OF THE PROJECTS THAT WERE STARTED, THAT WE HAVE TO FINISH ARE NOW WAY OVER BUDGET BECAUSE OF POST COVID PRICING, SUPPLY CHAIN ISSUES.
AND IT'S JUST ALL THOSE DIFFERENT NEEDS.
I JUST THINK WE NEED TO TAKE INTO CONSIDERATION, BEFORE WE, WE DISCUSS ANY, ANY DEEP, DEEP CUTS.
ALL RIGHT. ANYBODY ELSE HAS ANY, OTHER COMMENTS? MISS AYALA, IS THERE ANY OTHER COMMENTS OR INFORMATION? I KNOW MISS FERN, YOU HAD A COMMENT, BUT I DON'T KNOW IF YOU WANT TO MAKE IT NOW OR.
YOU CAN MAKE YOUR COMMENT NOW.
AND AND JUST SO YOU KNOW, NEXT WEEK IT'LL BE IS IT A PUBLIC HEARING MR. ALONSO. NEXT WEEK THE THE THE THE ACTION ITEM TO TO PROPOSE A TAX RATE AND THEN THE HEARING IS ON THE 19TH, SEPTEMBER 19TH.
BUT AGAIN WE'RE GOING THROUGH THIS PROCESS RIGHT NOW.
SO YOUR COMMENTS DOESN'T HAVE TO BE AS PART OF OUR MEETING.
YOU CAN ALWAYS CALL ANY ONE OF US.
AND I JUST WANT THE PEOPLE TO UNDERSTAND THAT LAST YEAR'S TAX RATE AT $0.64, WOULD BRING IN THE $40,469,409, AND THEN THE ADDITIONAL NEW HOMES AND THINGS WE HAVE WAS AN ADDITIONAL 4,084,881.
NOW IT'S CALLED THE NO NEW REVENUE TAX, WHICH MEANS YOU COULD ACTUALLY LOWER THE TAX RATE $0.06 AT FROM WHAT IT IS RIGHT NOW TO 0.574, AND BRING IN THE EXACT AMOUNT OF MONEY YOU BROUGHT IN THIS YEAR AT AT THE 64, BECAUSE OF ALL THE NEW HOMES AND NEW BUSINESSES AND THINGS.
SO THERE'S A $0.06 DIFFERENCE THERE THAT I WANT YOU ALL TO LOOK AT AND THINK ABOUT.
BUT SOMETHING THAT AND I KNOW THAT, I THINK WE HAVE A THREE STORY GARAGE THAT DOESN'T REALLY NEED TO BE BUILT, POSSIBLY THIS YEAR AND NEXT YEAR COULD.
WE DON'T KNOW WHEN THE COURTHOUSE IS EVEN GOING TO OPEN.
SO THAT'S SOMETHING WE CAN PUSH DOWN THE ROAD A LITTLE.
WELL, AND IF I MAY, JUST IF YOU DON'T MIND ME JUST INTERJECTING.
SINCE YOU'RE NOT IN PUBLIC COMMENT, WE CAN INTERJECT RIGHT AT THIS.
THIS IS ON THE AGENDA. BUT, SO I'M GLAD YOU MENTIONED THAT, BECAUSE THAT GOES BACK TO MY POINT.
I DIDN'T HIGHLIGHT ANY PARTICULAR PROJECTS FOR FOR THAT.
I MEAN, BECAUSE THERE'S SO MANY OF THEM, ALL THAT DEBT INCLUDES THAT PARKING GARAGE.
I KNOW, BUT WE'RE, REQUIRED TO, YOU KNOW, FOLLOW THROUGH ON THAT.
THE THE LEADERSHIP AT THE TIME VOTED ON THAT.
AND SO, YOU KNOW, I WILL TELL YOU, WE DO NEED SOME PARKING.
THROUGH WITH THE, WITH THAT PARKING GARAGE.
IT'S NOT LIKE ONE OF THESE ITEMS. RIGHT. LIKE, FOR EXAMPLE, WE GET A CAPITAL OUTLAY FROM OUR STAFF, WHICH I REALLY APPRECIATE.
IT'S A IT'S A FIVE YEAR PLAN, RIGHT, OF ALL THE NEEDS.
FOR RIGHT NOW, IF THE PARKING GARAGE WAS IN HERE AS AN EXAMPLE, LIKE YOU'RE STATING, DEFINITELY, THAT'S HOW WE CAN EVALUATE WHAT DO WE NEED TO DO IT NOW? DO YOU KNOW, UNFORTUNATELY I SAY UNFORTUNATELY, JUST FROM THE STANDPOINT OF WE ACTUALLY DO NOT HAVE A CHOICE, YOU KNOW, THAT THAT WE'RE ACTUALLY.
MR. ALONZO, ARE WE PAYING DEBT SERVICE ON THAT ALREADY ON THAT PARKING GARAGE? YES. SO WE'RE ALREADY THERE'S ALREADY DEBT SERVICE.
WE'RE ALREADY PAYING. THE BONDS WERE ISSUED.
AND BUT, YOU KNOW, JUST NOW WE'RE FINALIZING THE PLANS.
RIGHT. AND SO IT'S WHAT WE'RE HAVING TO WORK WITH.
AND I'M NOT COMPLAINING. I'M JUST TELLING YOU THE FACTS.
AND, YOU KNOW, BELIEVE ME, I WISH WE COULD PICK AND CHOOSE WHAT WE CAN MOVE FORWARD ON.
BUT ON THAT ONE PARTICULAR CASE, IT'S.
WELL, WE MUST SOMETHING THAT I, YOU KNOW, IT BROUGHT UP.
BUT OUR THING IS THAT THE PEOPLE, ALL THE PEOPLE THAT LIVE HERE IN EDINBURG, IN THE CITY OF EDINBURG, HAVE A NEED RIGHT NOW BECAUSE THE GAS, THE FOODS. I DON'T KNOW IF YOU SHOP OR YOUR WIFE SHOPS, ASK HER WHAT THE BILL IS OR LOOK AT YOUR CREDIT CARD AND IT IS HURTING SO MANY PEOPLE, ESPECIALLY THE ONES THAT ARE ON FIXED INCOME.
[00:45:08]
JUST LOOK AT MCCALL ROAD OVER THERE NORTH OF 107.WE'RE FIXING TO HAVE A HUGE ONE RIGHT THERE, AT HOUSES PROPERTY AND RIGHT ACROSS.
I'M FLOORED. WHAT IN THE WORLD DO YOU MEAN? SO PEOPLE ARE HURTING HERE IN EDINBURG.
THE ONES THAT Y'ALL ASKED TO VOTE FOR, Y'ALL TO PUT YOU UP THERE.
AND I'M ASKING YOU TO LOOK THERE AND AND THINK OF THEM.
THANK YOU, THANK YOU, THANK YOU FOR IT.
SO YEAH I HAVE A QUESTION FOR BOBBY.
BOBBY, REALISTICALLY, CAN WE DO A SIX CENT TAX REDUCTION? I WOULD PROBABLY SAY PROBABLY NOT.
I DON'T I MEAN, I'LL DEFER TO JOHN, BUT IS THAT CAPABLE? WELL, I'M GOING TO ANSWER THAT.
COUNCIL MEMBER THAT'S OKAY BECAUSE I KNOW THAT'S PUTTING THEM ON THE SPOT.
I WILL SAY WE POSSIBLY COULD ENTERTAIN THAT, BUT WE'D HAVE TO CUT FROM OUR BUDGET, YOU KNOW, SO MANY THINGS, INCLUDING EXISTING OPERATIONS TO ACCOMPLISH THAT. SO COULD IT BE DONE? IT COULD. WE WOULD JUST HAVE TO MAKE SOME VERY TOUGH DECISIONS, YOU KNOW, TO, TO, TO BALANCE THE BUDGET.
BUT, I MEAN, FROM A FINANCIAL STANDPOINT, YOU TAKE OUR DIRECTION, RIGHT? IF WE ASK YOU TO, YOU KNOW, ISSUE SO MUCH DEBT, AS LONG AS WE GIVE YOU THE FUNDS TO DO IT, OBVIOUSLY THEY'RE GOING TO DO IT.
BUT BUT I THINK IT'S IT'S ACTUALLY A QUESTION FOR US.
I MEAN, CAN WE DO THAT? I MEAN, BECAUSE WE'RE THE ONES THAT HAVE TO MAKE THAT DETERMINATION.
BECAUSE IT COULD BE DONE TO ANSWER YOUR QUESTION.
IT CAN. IT'S JUST THAT IT'S GOING TO WHAT ARE YOU WILLING TO SACRIFICE FOR IT? SOME TOUGH DECISIONS TO MAKE.
I DON'T KNOW ALL THE INTRICACIES OF THE GENERAL OF THE NO SIDE LIKE JOHN WOULD OR STAFF WOULD, BUT JUST IN THOUGHTS OF I KNOW YOU ALL HAVE RAISES COMING, ETC.
HOW DO YOU GET THERE? I THINK, AND IF I MAY CONTINUE COUNCIL MEMBER, I THINK LAST YEAR WHEN WE DECIDED THAT $0.04 WAS JUST NOT, I MAKE THE STATEMENT THAT IT WAS TRUE THAT I DID WANT TO GIVE THAT BACK BECAUSE THAT'S HOW MUCH IT WAS RAISED.
BUT WE DIDN'T DO THAT WITHOUT EVALUATING ALL OUR NEEDS.
REMEMBER, WE HAD A SERIES OF BUDGET WORK SESSIONS AND WE KEPT ON ASKING, CITY MANAGER, ARE WE ABLE TO DO THIS? YOU KNOW, CAN WE DO THIS? AND WE DID AN EVALUATION AND MAKING SURE THAT OUR DEPARTMENTS ARE NOT GOING TO SUFFER, THAT WE CONTINUE TO HAVE THE SAME LEVEL OF SERVICES, IF NOT MORE.
BUT YEAH, SO WE HAVE TO DO THE SAME THING, YOU KNOW, TO ACCOMPLISH THAT.
I MEAN, IF WE JUST DO THIS LIKE WE DO A FAMILY ANALOGY, THE, OUR OFFICERS ARE SWORN PERSONNEL.
WE GIVE THEM A 3% RAISE TO HELP THEM OFFSET THE COSTS OF WHAT'S GOING ON IN OUR PRICINGS.
NOW, IF WE TAKE THE $0.06 AND DROP IT OFF.
SO THE CITY DESERVES SOME TYPE OF RAISE, TOO, IT'S OBVIOUSLY WE'RE OUR EXPENSES.
OUR GAS WENT UP, OUR EVERYTHING ELSE WE'RE DOING, OUR EMPLOYEE COSTS GONE UP.
SO SOMEWHERE IN THERE THERE'S GOING TO BE A PERCENTAGE.
SO IF WE'VE DROPPED THE IF YOU DROP ANOTHER PENNY AND A HALF, WE ACTUALLY GO TO A FOUR AND A HALF CENT RAISE FOR THE CITY, WHICH IS CLOSE TO THE THREE, WHICH IS A LITTLE BIT OVER THE INFLATION.
NO, INFLATION IS LIKE SIX, SIX AND A HALF RIGHT NOW.
DEPENDING WHEN YOU WANT TO LOOK AT.
WELL, LET ME SEE IF I WAS THE EMPLOYER.
IT'S A 3%. AND IF I WAS A GUY LOOKING FOR THE JOB, IT'S A 9% WHAT NUMBERS WE PULL FROM SOMEWHERE.
BUT THERE IS AN INFLATION INDEX THAT WE'RE AT.
WELL, YOU HAVE A WHOLE FLEET OF POLICE VEHICLES.
NO, WE GOTTA HAVE GAS. I MEAN, SO WE'VE GOTTA LOOK AT APPLES TO APPLES THING.
YOU GUYS COST MORE THAN YOU KIND OF LOOK AT IT THE SAME.
AT LEAST MY THOUGHT, WHAT I'M THINKING IS I CAN'T GO WITH A CITY WITH ZERO ZERO RAISE GROWTH.
IT WAS A ZERO. WE COULD MAKE A BIG ARGUMENT.
HEY, THAT'S NOT FAIR THAT THE LAND VALUE WENT UP, BUT EVERYTHING ELSE STAYED.
WATCH THE NEWS BEFORE I CAME 399 ON TRENTON.
AND AND IT HAPPENED TO BE IN TRENTON.
IN JACKSON? YEAH. I LIKE GOING BACK TO MS. IT DIDN'T GO IT DIDN'T GO UP BY 3.5%.
NO. SO WE HAVE TO HAVE SOMETHING.
SO 6% IS PROBABLY NOT REAL IN MY VIEW.
[00:50:03]
IT'S NOT REALISTIC.IT'D BE LOVE TO BEAT HAPPEN BUT IT'S NOT REALISTIC.
YEAH. TO YOUR POINT. AND THAT I UNDERSTAND THE NO NO NEW NO NEW REVENUE TAX RATE.
BUT I AND PLEASE CORRECT ME IF, IF, IF I MISS MISSPEAK THIS BUT.
DOES NOT INCLUDE DOES NOT CONSIDER INFLATION AND THE COST OF DOING BUSINESS AT THE TIME.
IT'S JUST TELLING YOU A NUMBER WHERE YOU CAN GET THE SAME BUDGET OF THE YEAR BEFORE.
SO IT DOES NOT ACCOUNT FOR INFLATION.
IT DOES NOT ACCOUNT FOR GROWTH IN THE CITY.
IT'S TELLING YOU IF YOU CHARGE THIS YOU COULD MAKE THE EXACT SAME BUDGET.
AND I'VE ALWAYS SAID THIS. WELL, WHERE'S THE ADJUSTMENT FOR CITY BUDGET? BECAUSE OUR COST OF DOING BUSINESS TO DO THE SAME BUSINESS HAS GONE UP.
AND THAT'S NOT EVEN CONSIDERING THE GROWTH IN THE CITY, THE POPULATION GROWTH.
SO NOW, WITH THE SAME BUDGET AND KEEPING A NO NEW TAX REVENUE, HOW DO YOU ADDRESS THOSE NEEDS? HOW DO YOU PICK UP THE TRASH? HOW DO YOU POLICE THE AREA? HOW DO YOU DO THAT IF YOU DON'T ADD TO YOUR BUDGET? BECAUSE THAT'S WHAT THAT TAX AND IT'S A IT'S A NUMBER TO EVALUATE AND TO UTILIZE.
BUT IT DOESN'T MEAN THAT THAT'S THE NUMBER YOU HAVE TO BE AT TO RUN THIS FOLLOWING YEAR, BECAUSE EVERYTHING GOES UP AND, AND IT'S A TOOL TO KIND OF SET AND KIND OF GAUGE WHERE YOU'RE WHERE YOU WANT TO BE.
LIKE, LIKE SHE SAYS, THERE'S ALWAYS I ALWAYS SAY, WELL, WHERE IS THE ADJUSTMENT FOR CITY? IS THERE A PERCENTAGE? IS THERE ANYTHING TO SHOW LIKE THE OVERALL INCREASE IN COST? I GUESS MY NEXT QUESTION, BOBBY WOULD BE IS.
YOU KNOW, WE HIRED YOU TO GO OVER OUR FINANCIALS AND WHAT YOU ALL HAVE DONE A GREAT JOB.
AND, MR. CHOHAN, YOU'VE DONE A GREAT JOB AS WELL.
GETTING US BACK ON TRACK AND ON, ON BUDGETING.
WHAT I WOULD LIKE TO KNOW IS THAT AFTER REVIEWING WHAT YOU HAVE REVIEWED, WHAT WOULD YOU RECOMMEND SHOULD WE DO WITH TAX BREAK? WHAT WOULD YOU RECOMMEND BY LOOKING AT OUR FINANCIALS? BECAUSE YOU'RE THE ONE THAT HAS ACTUALLY DUG DEEPER INTO THEM.
WELL, I DON'T KNOW IF WE'VE DUG DEEPER.
THAT'S WHERE AGAIN, LIKE CHIEF SAID, THE COST OF LIVING.
FOR EMPLOYEES, POLICE AND FIRE THE OTHER COMMITMENTS.
YOU HAVE THE EMERGENCY MS SERVICES THAT USED TO BE A SMALLER FIGURE.
AGAIN, I DON'T WANT TO GIVE YOU A YES OR NO ANSWER.
I PROBABLY WOULD DEFER TO TO JOHN AND STAFF, BUT.
I KIND OF DON'T THINK THERE'S A WHOLE LOT.
BUT AGAIN, Y'ALL ARE WHITTLING DOWN THINGS IN THE BUDGET WITH CITY MANAGEMENT.
I WOULD PROBABLY DEFER TO HIM, BUT.
I WOULD ON THE SIDE OF TAKING A BREATH AND ASSESSING THINGS.
BUT AGAIN, IT'S A POLICY MATTER FOR THE COUNCIL.
MY PREFERENCE IS TO, YOU KNOW, BE AS MINIMAL AS POSSIBLE.
BUT AGAIN. I HATE TO PUT ON JOHN BUTT AND KICK IT SOMEWHERE, BUT AGAIN, WHEN WE'RE FINANCIAL ADVISORS, WE'RE PRIMARILY ON THE DEBT SIDE OF THINGS.
AND AGAIN, COUNTYWIDE, EVERY CITY HAS THIS, EMERGENCY SERVICES PROBLEM.
NOW, THAT USED TO NOT BE A DOLLAR FIGURE FOR ANYBODY.
NOW EVERYBODY HAS THAT ON THEIR BOOKS.
AND THEN COST OF LIVING FOR EVERYBODY IS A STRETCH AS WELL.
BUT AGAIN I DON'T WANT TO GIVE YOU A YES OR NO ANSWER WITHOUT THE BEST ADVICE.
BUT AGAIN, I THINK JOHN AND STAFF ARE GOING TO KNOW BEST WITH THE IN CONCERT WITH YOU.
BUT AT THE END OF THE DAY, I MEAN.
IF YOU CUT TWO TOO MUCH, IT'S GOING TO.
IT'S DIFFICULT TO TO GET BACK ON THAT TREADMILL.
IT'S, WE CAN CUT MORE, IT JUST SOMETHING GOES AWAY.
AND IF IT'S IF IT'S, OPERATIONS ALREADY, IF IT'S LIKE SOME OF THE ITEMS THAT EITHER, FUEL, ELECTRICITY PERSONNEL, WE CAN WE CAN ADJUST THAT BUDGET.
BUT, I MEAN, WE HAVE TO DO AWAY WITH WHAT WE HAVE NOW, WHAT WE'RE PRESENTING RIGHT NOW.
I THINK IT'S A IT'S A IT'S A FAIR BUDGET.
[00:55:04]
SO IF WE WERE TO DROP THE TAX RATE ONE $0.02, WOULD THAT DRAMATICALLY CHANGE AS FAR AS WHAT YOU'RE WHAT YOU WERE MENTIONING, LIKE, CUTTING IT IN HALF, WE WOULD BE ABLE TO DO THAT.THE DECISION. THAT'S THE DIRECTIVE WE RECEIVE.
IT WOULD MEAN LOOKING AT GOING ANOTHER LEVEL OF LOOKING AT ALL OTHER RESOURCES TO MAYBE MOVE SOME OF THESE ITEMS, LOOKING AT SAVINGS SOMEWHERE. IT MIGHT MEAN WAIT, WAIT TILL DON'T BUY A TRUCK THIS YEAR.
MAIN PROVIDE SOME MAINTENANCE FUNDS WHERE THE SOME OF THE COSTS ARE MINIMIZED.
BUT I THINK WE CAN WE CAN LOOK AT THAT.
DEFINITELY LOOK AT THAT. IF THAT'S THE.
IF WE WERE TO DO A $0.01, ARE WE GOING TO BECOME ANOREXIC OR.
NO NO WE'RE NOT AT THAT LEVEL YET.
NO. YOU KNOW EARLY ON THERE'S THERE'S A WAY WE CAN, YOU KNOW, WE CAN START PLAYING WHAT THEY TALKED ABOUT ARPA FUND. WE CAN DO SOME OF OUR ONE TIME EXPENDITURES AND PULL THEM OUT OF ARPA INSTEAD OF INSTEAD OF THE GENERAL FUND THIS YEAR.
THAT'S PART OF WHAT OUR FOR THE THE ARPA FUNDS WERE TO MAKE YOU HEALTHIER THAN WHAT YOU WERE, WAS TO HELP YOU RECOVER FROM THE THE STUFF WE LOST IN, WHAT WE LOST DURING DURING COVID.
YOU COULD ALMOST GO TO TWO, AS ONE WAS AT 1.1.3.
IN A MILLION. IT'S JUST UNDER A MILLION.
AND WHAT ARE WE JUST OVER JUST UNDER 700,000 IF WE DO A CENT.
SO I MEAN, I WAS TRYING TO KICK THE NUMBERS AROUND MYSELF AND I THINK WE COULD DO A SEVEN AND A HALF AND WE COULD PULL A MILLION OUT OF ARPA, PAY A ONE TIME ONE OF OUR ONE TIME, A COST THAT WE HAVE COMING UP.
IS THAT GOING TO AFFECT US BEING ABLE TO HAVE WIGGLE ROOM IF WE WERE TO DO A TAX DECREASE? IT WILL AFFECT US.
WE WOULD NEED TO LOOK AT ONCE AGAIN AT ALL RESOURCES.
AND AND IT MIGHT MEAN SOME ASSURANCES.
AND OUR FRENCH NOW IT REFERS BACK TO HIM.
BUT I THINK THAT, WE WOULD NEED TO LOOK AT, ASSESSING, WHERE WE'RE AT AND, AND HOW MUCH WE'RE GOING TO BE OVER, DEPENDING ON HOW MUCH THAT THAT AMOUNT IS. THEN WE ASSESS ONCE AGAIN, ARE THERE CURRENT RESOURCES THAT WE CAN USE ARPA, CAPITALIST MONEY? OR DOES IT MEAN THAT WE NEED TO LOOK AT LONG TERM TO COVER THOSE AND INCLUDE THEM IN, ON A BOND ISSUANCE OR, OR SOME KIND OF OTHER FINANCING? YEAH, BUT THE PROBLEM WITH THE EXTRA FINANCING, WE INCREASE OUR INS, RIGHT? SO ONCE WE INCREASE OUR EARNS, WE'RE GOING TO HURT OUR MO.
AND THAT'S OUR FIRST STEP WOULD BE TO LOOK AT THE RESOURCES WE HAVE RIGHT NOW AND MAXIMIZE THOSE.
AND THEN THE REST WE WOULD IT WOULD BE PLANNED, ISSUANCES OR PLANNED, LONG TERM, WHERE WE LOOK AT, AT HOW IT'S GOING TO AFFECT US, NOT ONLY, TODAY AND TOMORROW, BUT IN THE NEXT TWO YEARS.
WE'LL BE SITTING HERE NEXT YEAR, THIS TIME TRYING TO DEAL WITH WHERE WHERE WE COVERED THAT.
NOW WE'RE GOING TO PULL IT UP THROUGH THE BUDGET THIS YEAR.
IS THAT 1.2 OR 1.1 THAT WAS FROM LAST YEAR, OR WE WOULD BE HURTING THIS YEAR, BUT WE DEALT WITH IT.
WE HAD THE MONEY, WE RECOVERED IT.
THE NEXT QUESTION I'D HAVE FROM MR. ALONSO, WHAT IS OUR OUR OUR RESERVE FUND.
20. RIGHT NOW, IF WE MOVE SOME OF THESE ITEMS THAT THAT, MOVE TO MAYBE FUNDED BY ARPA, THE, THE CURRENT FUND BALANCE WOULD BE ABOUT 30%, 30.02.
SO WE HAVE AND WE'RE REQUIRED AT 25%.
SO WE HAVE A TEN IS A REQUIREMENT.
AND BUT I MEAN I LIKE THE 30% 28% BECAUSE THAT GIVES THAT THAT QUESTION.
IF WE IF WE GO OVER BUDGET SOMEWHERE ELSE, WHICH, YOU KNOW, IT'S PART OF THE REASON THAT PROJECTS WE WANT TO HIRE A PROJECT MANAGER TO STAND MORE ON TOP OF THAT, OR DEAL DIRECTLY WITH THAT. HOPEFULLY THAT'S WHAT THAT POSITION WILL DO, IS, IS BRING THAT DOWN.
[01:00:03]
BUT THAT'S WHERE THAT WOULD THAT FUND WOULD, WOULD COME IN.YOU KNOW, WE HAVE THAT WE HAVE THAT MILLION DOLLARS THAT WE OWN.
I THINK THIS IS THE LAST YEAR, FOR MY NOT MISTAKEN, WHERE WE BELIEVE IT'S TO BE THE LAST YEAR.
THAT'S A ONE TIME AND IT'S DONE FEE.
IF YOU TAKE THAT MILLION DOLLARS AND YOU TAKE IT OUT OF ARPA AND YOU DROP IT 1%, YOU'RE BACK.
OUR INSURANCE COSTS THIS YEAR WAS OVER 500,000.
YEAH, BUT WE ALREADY HAVE IT IN THE BUDGET.
IT'S ALL BUDGET RIGHT NOW. WE'RE TRYING TO FIND SOMETHING TO KICK SO YOU CAN LOWER IT.
THAT'S MY POINT, THAT ALL THOSE INCREASES WERE COVERED BY THE TAX RATE.
YEAH. THEY'RE ALREADY COVERED IN THE BUDGET.
THE CURRENT BUDGET, THE PROPOSED BUDGET A PAY PLAN ADJUSTMENT WAS.
YES. SO WHAT WE REALLY NEED TO DO IS YOU JUST NEED TO PULL $1 MILLION OUT OF IT.
AND ONE OF THE MILLION DOLLARS IS AVAILABLE THAT COULD BE PULLED WITH ARPA.
THAT'S NOT A TIME PAYMENT. AND THAT'S NOT A RECURRING.
THAT'S NOT A RECURRING. IT'S A ONE TIME.
IF IT WAS THREE YEARS INTO IT, YOU HAD TO BE REOCCURRING.
WE REALLY WOULD HURT OURSELVES JUST KICKING THAT CAN DOWN THE ROAD.
AND I GUESS ONE OF MY THINGS WOULD BE IS AS FAR AS GRANTS, WOULD IT AFFECT OUR GRANTS? I KNOW NOW THERE SEEMS LIKE THERE'S A MATCH FOR EVERYTHING.
IS THAT GOING TO BE COME INTO EFFECT? IF WE WERE TO, IT COULD BE, WE CONTINUALLY KEEP LOOKING FOR RESOURCES AND OTHER, TO MATCH TO LEVERAGE THOSE FUNDS.
BUT DEFINITELY IF THERE'S A MATCH AND WE DON'T HAVE IT IN THE BUDGET RIGHT NOW, THAT WE WOULD NEED TO LOOK FOR FUNDING TO DO THAT, RESOURCES OR OTHER, MAYBE INCREASING SOME RATES OR, THE FUNDING, WE WOULD NEED THE FUNDING IT DOES, WE CAN'T COMMIT TO THAT UNLESS WE HAVE THE FUNDING AVAILABLE.
I GUESS THIS WOULD BE A QUESTION FOR MARISSA.
SO I KNOW YOU'RE THE ONE THAT'S IN CHARGE OF THE GRANTS.
ARE YOU SEEING MORE AND MORE IT BEING MATCH? AND IT'S GOING UP FROM 25% TO 35% TO 40.
ARE YOU SEEING THAT MORE AND MORE CURRENTLY? GOOD EVENING. MARISSA. I'M THE DIRECTOR OF GRANTS ADMINISTRATION.
NOW. I CAN SAY THAT THERE IS NOW A BALANCE BETWEEN THERE BEING A MATCH AND THERE NOT BEING A MATCH.
THEY'RE LOOKING MORE AT DISADVANTAGED AREAS AND COMMUNITIES WHERE IF YOU HAVE IF YOU FIND PROJECTS THAT ARE WITHIN THOSE AREAS, THEN YOU DON'T NEED TO PROVIDE A MATCH.
SO THAT IS HOW WE ARE LOOKING AT THESE GRANTS.
AND LOOK, WHEN WE HAVE PROJECTS OR WHEN WE'RE STRATEGIZING PROJECTS, WE TRY TO LOCK IN INTO THOSE AREAS THAT ARE BEING THAT ARE PART OF THE ELIGIBILITY AND PART OF THE NO MATCH, JUST TO MAXIMIZE, YOU KNOW, TO BE ABLE TO, YOU KNOW, NOT HAVE TO COMMIT TO TO THE, THE MATCH. SO I KNOW THAT YOU SAID MATCHES HAVE BEEN I'M SORRY COUNCIL MEMBER.
AND LIKE ALL YOUR EDA GRANTS ARE AT 50% MATCH.
BUT ANYTHING ELSE? IT'S BEEN 20 TO 25%.
DO YOU SEE IT GOING UP THIS UPCOMING OR NEXT YEAR? IT'S I THAT'S NOT THERE'S NO WAY TO TELL THAT OR GAUGE THAT OTHER THAN WHAT I'VE SEEN IN THE NEW GRANTS.
IT SEEMS LIKE THEY'RE TRYING TO PROMOTE MORE OF OF NO MATCH.
THERE ARE SOME THAT STILL HAVE IT, BUT I CAN SAY THAT I'VE SEEN MORE WITHOUT IT.
OKAY. AND COUNCIL MEMBER THROUGHOUT THE YEAR BEFORE THE PROCESSES, BEFORE THEY GO OUT AND APPLY FOR A GRANT THAT THAT WE TRY TO LOOK FOR THE FUNDING.
AND THEN IT WAS BROUGHT TO COUNCIL TO SEE IF THEY PURSUE THAT, THAT GRANT.
DURING THE YEAR, THINGS FLUCTUATE.
WE HAVE TO TRY TO TRY TO LEVERAGE, GRANT FUNDS, ESPECIALLY WHEN IT'S A 20% MATCH.
OKAY. AND JUST TO COUNCILMAN, DELEON'S POINT, WHAT HE'S TRYING TO GET AT IS IF WE'RE INCREDIBLY LEAN AND THERE'S AN OPPORTUNITY TO GET A PROJECT PAID FOR OR HALF OF IT PAID FOR, THE CITY HAS TO PROVIDE THE OTHER HALF.
[01:05:04]
NORMALLY, GRANTS ARE FOR LARGER PROJECT, YOU KNOW, LARGER $500 MILLION PROJECTS.SO IF WE DON'T HAVE A BUDGET OR IF WE'RE EXTREMELY LEAN AND DON'T HAVE A BUDGET TO.
HAVE THE MATCH, THEN WE CAN'T EVEN APPLY FOR THE GRANT.
THAT'S WHY WE HAVE A FUND BALANCE.
AS LONG AS WE DON'T GO BELOW THE 25%, WE HAVE SOME FUNDS THERE.
BUT IT DEPENDS ON THE AMOUNT THAT THAT'S REQUIRED.
SO JUST TO REMIND THE PUBLIC, YOU KNOW, THIS IS AN OPERATIONS BUDGET OUR DAY TO DAY.
AND SO THE IT MAY BE LEAN BECAUSE WE HAVE TO BE WE GOT TO BE EFFICIENT WITH OUR TAXPAYER MONEY.
BUT WE DO HAVE OTHER FUNDING SOURCES THAT IS ALLOWING US TO DO SOME INFRASTRUCTURE IMPROVEMENTS, SOME DRAINAGE, SOME, YOU KNOW, STREET IMPROVEMENTS, SOME MUCH NEEDED PROJECTS.
SO SO I JUST WANT THE PUBLIC TO KNOW.
AND THAT IS FROM MY STANDPOINT, I THINK THAT'S WHY, YOU KNOW, I'M LOOKING AT SOME KIND OF A TEXTURE BECAUSE THERE IS SOME, AREAS THAT WE'RE ADDRESSING MAYBE NOT EVERYTHING WE NEED TO ADDRESS, BUT THERE ARE THESE OPPORTUNITIES RIGHT NOW.
IF WE DIDN'T HAVE THESE OTHER FUNDING SOURCES, IT'D BE VERY DIFFICULT FOR US.
YOU KNOW, WE'D HAVE TO BE LOOKING AT OUR EXISTING OPERATIONS BUDGET TO COVER SOME OF THESE THINGS, RIGHT? SO WE WE JUST HAVE TO KEEP THAT IN MIND.
AND THE TOP THREE THINGS THE RESIDENTS TOLD US, REMEMBER OVER 22,100 PEOPLE.
IS THAT CORRECT, MISS AYALA? HOW MANY RESIDENTS? THERE WAS APPROXIMATELY 2100.
SO ALL I'M SAYING TO COUNCIL IS JUST, YOU KNOW, KEEP THAT IN MIND.
ASIDE FROM TAX RELIEF, THOSE ARE MY PRIORITIES, RIGHT? BUT, YOU KNOW, WE JUST NEED TO KEEP THAT IN MIND, BUT ALSO KEEP IN MIND THAT THIS OPERATIONS BUDGET IS FOR THE DAY TO DAY OPERATIONS OF OUR CITY.
WE HAVE THE, BONDS THAT HAVE BEEN ISSUED.
THERE'S ABOUT 100 MILLION IN BONDS THAT WERE ISSUED FOR ALL SORTS OF PROJECTS THROUGHOUT OUR CITY.
WE HAVE THE ARPA MONEY, WHICH IS THE AMERICAN RESCUE PLAN ACT.
WE STILL HAVE A BALANCE OF ABOUT, I THINK ABOUT 16 MILLION.
AND WE HAVE A CAPITAL LEASE PROGRAM THAT HAS.
WHAT IS THE BALANCE ON THAT? ON THE CAPITALIST. IT WAS ABOUT A 4 MILLION, A LITTLE OVER 4 MILLION.
THOSE ARE SOME OF THE THINGS THAT WE NEED TO LOOK AT IF WE, AGAIN, WANT TO PRIORITIZE TAX RELIEF.
BECAUSE TO ME, IF WE'RE GOING TO PRIORITIZE TAX RELIEF, THAT MEANS WE USE ALL RESOURCES AVAILABLE.
OUR TAX RATE IS JUST ONE COMPONENT OF OUR, YOU KNOW, OPERATING THE CITY.
SO WE HAVE ALL THESE OTHER FUNDING SOURCES.
SO I THINK WHEN WE LOOK AT THE TAX RATE, WE JUST NEED TO KEEP THAT IN MIND.
I JUST WANT TO MAKE SURE EVERYBODY UNDERSTANDS THAT.
THERE'S TWO DIFFERENT THOUGHTS I HAVE RIGHT NOW.
BUT I MEAN, WE HAVE WHAT, $2.5 MILLION SET FOR.
CHECK AND SEE AS PART OF THE ARPA MONEY.
IF NOT, IT WOULD BE THROUGH A CO.
AND IF NOT IT WOULD BE THROUGH A CO FUTURE CO.
SO HAVE WE NOT FOUND OUT IF WE CAN USE IT THROUGH ARPA.
NO WE WOULD WE HAVE WE HAVE TO DO AN EVALUATION AND VET IT THROUGH THE GRANTS ADMINISTRATION.
SO WE WOULD HAVE TO TAKE SEVERAL DAYS.
IT WOULD PROBABLY TAKE A COUPLE OF DAYS BECAUSE THEY NEED TO INPUT INPUT IT IN THE SYSTEM, TAKE A LOOK AT IT, VET THE PROJECT AND THEN WE'LL NEED TO KNOW THIS WEEK BECAUSE WE YES, WE'RE GOING TO PROPOSE TAX RATE NEXT TUESDAY SO WE CAN GET THAT INFORMATION FOR YOU PRIOR TO THE MEETING.
JUST TRYING TO HIGHLIGHT, I GUESS, WHAT THE MAYOR WAS SAYING ABOUT DRAINAGE STREETS AND LIGHTS.
I MEAN, IT IS A PRIORITY TO US, NOT ONLY JUST THE TAX RELIEF.
IT'S SOMETHING WE'VE BEEN DISCUSSING, TRYING TO GET SOME.
RIGHT. SO THAT'S PART OF, YOU KNOW, WE'RE TRYING TO BUDGET BUDGET PROPERLY.
RIGHT, VINCE. LIKE $2.5 MILLION A YEAR IS WHAT YOU COULD DO.
I MEAN, IF THE THE WEATHER WENT RIGHT AND ALL THAT STUFF.
SO WE'RE WE'RE PUSHING THAT THAT RIGHT NOW.
AND, JUST GO BACK WITH COUNCIL MEMBER DE LEONA ON THE ON THE GRANT SIDE.
[01:10:01]
SO WE'RE GOING TO KNOW WHETHER THERE IS A A MATCH AT THE TIME WE DECIDE TO APPROVE IT.PART OF THAT, WHEN I WAS IN PD, I HAD TO FIND THE GRANT.
A LOT OF THAT STUFF I HAD TO FIND WITHIN MY OWN BUDGET, THERE ARE CERTAIN CERTAIN BIG THINGS, LIKE THE GRANT TO THE BUILDING OR SOMETHING LIKE THAT, THE CITY COUNCIL WOULD FIND. BUT WHEN IT CAME DOWN TO, LIKE, STONE GARDEN GRANT OR SOMETHING LIKE THAT, IF IT HAD SOME TYPE OF MATCH, I HAD TO DIG IT OUT OF MY BUDGET.
SOME OF THE TRAFFIC WARRANT, TRAFFIC, TRAFFIC.
CAN'T THINK, CAN'T THINK OF ALL THE NAMES RIGHT NOW.
I'M DRAWING A BLANK, BUT THE SEAT BACK, AND WE DID SEAT BELT ENFORCEMENT AND ALL THAT TYPE OF STUFF.
DWI ENFORCEMENT FROM THE FROM THE STATE.
I THINK WE'VE DONE IT WITH, WITH SEWERS AND STUFF TOO.
WHEN ASKING WHERE THE MONEY COMING TO COME FROM ON THE GRANT.
THEY HAD TO TELL US WHERE THEY'RE GOING TO DIG IT FROM.
THAT JUST PUTS THEM BACK INTO RESPONSIBILITY OF.
YOU WANT THIS, BUT HOW ARE WE GOING TO DO IT? YOU'VE GOT TO HELP US TO.
I HAD A QUESTION JUST ON AN ITEM HERE ON THE BUDGET HIGHLIGHTS.
I THINK I HAD ASKED, CITY MANAGER, I KNOW WE WERE ABLE TO FIND AN ANSWER TO THIS.
I THINK THERE'S ABOUT 300,000 THAT REPRESENTS OUR COMMITMENT, RIGHT, AS PART OF THAT PROJECT.
SO MY QUESTION IS, CAN THAT BE COVERED THROUGH ARPA OR THROUGH, ANY OTHER FUNDING SOURCE OTHER THAN THE, GENERAL FUND? THAT'S SOMETHING WE WOULD HAVE TO AGAIN, LOOK TO SEE IF IT WOULD QUALIFY AS AN ELIGIBLE PROJECT UNDER THE ARPA PROJECT.
WELL, WE CAN DO THAT AT THE SAME TIME AS WE DO THE STREET WINDS AS WELL.
LET US KNOW AND SEND US A NOTIFICATION, PLEASE, IF WE CAN DO THAT.
I DON'T HAVE ANY OTHER QUESTIONS.
ANYBODY ELSE? MISS AYALA, IS THERE ANYTHING ELSE THAT NEEDS TO BE BROUGHT UP AT THIS AGAIN TODAY? IT'S JUST PRESENTING AN UPDATE, RIGHT? TO, THE BUDGET.
I KNOW THAT, WE HAVE IT HERE, WHAT'S BEING PRESENTED AND COUNCIL AGAIN, JUST KNOW THAT AT THE NEXT COUNCIL MEETING ON THE 5TH SEPTEMBER, 5TH SEPTEMBER, WE WILL NEED TO ADOPT THE PROPOSED TAX RATE.
SO ANY OTHER QUESTIONS OR ANYTHING THAT WE NEED TO CONFER WITH, CITY STAFF, PLEASE, GET WITH THEM.
THE SOONER THE BETTER, SO THAT WE'RE PREPARED FOR NEXT TUESDAY, BECAUSE WE ARE GOING TO NEED TO ADOPT, A PROPOSED TAX RATE, NOT OUR BUDGET, BUT, IS THERE A FOLLOW UP BUDGET? YOU KNOW, KIND OF DISCUSSION WE'RE GOING TO HAVE ON TUESDAY OR.
NO, THE ACTION ITEM IS TO PROPOSE A TAX RATE.
YES. CORRECT. NOT NECESSARILY.
IT'S THANK CORRECT. IT'S NOT ADOPT.
IT'S JUST PROPOSING THE TAX RATE.
THE ADOPTION WILL BE ON SEPTEMBER 19TH.
YEAH, BUT BUT WE DO NEED TO TAKE A VOTE ON THE PROPOSED TAX RATE.
YEAH. WE CAN TRY TO PROVIDE THAT PRIOR TO THE NEXT MEETING.
BUT IF IT CAN'T IT MIGHT END UP HAVING TO STAY THE SAME.
SO WHAT. RIGHT. I CAN'T MAKE AN HONEST.
WHERE WE'RE LEAVING IT RIGHT NOW.
OKAY. WHAT I WANT TO DO AND WHAT I HAVE TO DO IS, IS WHAT'S GOING TO HAPPEN ON THAT DAY.
ANYBODY ELSE ON COUNCIL HAVE ANY OTHER QUESTIONS OR COMMENTS? ANYTHING ELSE, MR. ALONSO, AT THIS TIME? AGAIN, THIS IS JUST FOR PRESENTATION DISCUSSION, TODAY AND WE'LL TAKE ALL THIS INFORMATION.
I REALLY APPRECIATE ALL THIS SUPPLEMENTAL INFORMATION SUBMITTED TO US.
I WOULD JUST ASK COUNCIL, PLEASE TAKE A LOOK AT ALL THIS SUPPLEMENTAL INFORMATION ON THE THERE WAS, SOME INFORMATION RELATED TO, THE CAPITAL LEASE PROGRAM, THE AMERICAN RESCUE PLAN ACT, AND OF COURSE, OUR, OUR PROPOSED BUDGET.
THE BUDGET WILL BE ADOPTED ALONG WITH THE TAX RATE ON THE 19TH.
YES. WE'LL HAVE A PUBLIC HEARING ALSO FOR THE FOR THE BUDGET AND THEN ADOPTION.
IF, IF, YOU ALL WOULD LIKE TO ADOPT ON THE 19TH AND THAT TAX RATE ALSO, ON THE 19TH, WE'D LIKE TO ADOPT THE, AND I DO WANT TO LET COUNCIL KNOW AND JUST MAYBE TO CONFIRM, MR. ALONSO, ON THE PROPOSED TAX RATE.
WE'RE TAKING ACTION NEXT WEEK.
YOU HAVE TO PUBLICIZE THAT, CORRECT?
[01:15:02]
YES. AND WE'LL NEED TO.I'M NOT SURE. RIGHT? I MEAN, I BUT IT WON'T BE CITY STAFF PUTTING US OUT ON ON ON BLAST.
IT'S REQUIRED FOR THEM TO LIST MAYOR AND COUNCIL, THEIR, THEIR VOTE ON WHAT THE TAX RATE IS.
ALL RIGHT. WELL, IF THERE'S NO OTHER DISCUSSION, THANK YOU EVERYBODY.
CITY STAFF THAT HAS BEEN WORKING REALLY HARD ON THIS.
AND I WANT TO THANK ALL THE DEPARTMENTS AGAIN, BECAUSE THIS IS A VERY OPEN AND TRANSPARENT PROCESS.
WE WANT TO ALSO INFORM THE PUBLIC ON HOW WE'RE DECIDING, WHAT WE'RE TRYING TO DO.
SO, JUST AGAIN, AS A REMINDER, COME PREPARED NEXT TUESDAY.
AND IF YOU CAN GET US THAT INFORMATION ON THE ARPA, I THINK THAT WILL GO A LONG WAY.
YES. YOU KNOW, THE REQUIREMENT.
AND, WE'LL BE PREPARED FOR NEXT MEETING.
SO, YES, THANK YOU TO EVERYONE.
SO, I KNOW THAT A LOT OF US HAVE BEEN SPENDING A LOT OF TIME WITH STAFF.
MAYBE TOO MUCH, BUT THANK YOU.
THANK YOU, EVERYONE, FOR WHAT EVERYONE'S BEEN PUTTING IN.
I WANT TO THANK THE COUNCIL FOR MAKING THE TIME TO MEET WITH THE STAFF AND MEET WITH THE CITY MANAGEMENT, TO BECOME INFORMED AND TO ALLOW US THE OPPORTUNITY TO ADDRESS ANY QUESTIONS AND PROVIDE THE INFORMATION THAT YOU MAY HAVE.
SO THANK YOU SO MUCH FOR THE OPPORTUNITY.
ALL RIGHT. THERE'S NO OTHER DISCUSSION.
CAN I HAVE A MOTION TO ADJOURN? MOTION TO ADJOURN? WE HAVE A MOTION.
IS THERE A SECOND? WE HAVE A SECOND.
ALL THOSE IN FAVOR, PLEASE RAISE YOUR RIGHT HAND.
WE'RE ADJOURNED. AND IT IS 715.
* This transcript was compiled from uncorrected Closed Captioning.