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COUNCIL MEMBERS IN[Special Called Budget And Fiscal Affairs]
ATTENDANCE, WE HAVE COUNCIL MEMBER AMY PECK, COUNCIL MEMBER ABBY CAYMAN.COUNCIL MEMBER TIFFANY D. THOMAS, VICE MAYOR PRO TEM MARTHA CASTEX.
COUNCIL MEMBER EDWARD J. POLLARD.
AND STAFF FROM COUNCIL MEMBER NAN HUFFMAN'S OFFICE.
DAVID ROBINSON'S OFFICE, LETITIA PLUMMER'S OFFICE, AND SALLY ALCORN'S OFFICE AND CARLOS ROS'S OFFICE.
IF THERE ARE ANY MEMBERS OF THE PUBLIC WHO ARE HERE IN PERSON AND WOULD LIKE TO PARTICIPATE IN THE PUBLIC COMMENT SECTION, THERE'S A SIGNUP SHEET AT THE FRONT TABLE TO MY LEFT, TO YOUR RIGHT.
MY STAFF MEMBER CAROLINA WILL BE MONITORING THE SPEAKER'S LIST.
BEFORE WE START AND HAVE PRESENTATIONS FROM DIRECTOR TANTRA EMAIL AND DEPUTY DIRECTOR MELISSA DEBOWSKI TO PROVIDE THE FY 23 THROUGH 27 CAPITAL IMPROVEMENT PLAN.
ARE THERE ANY REMARKS BEFORE WE START SEEING NONE? GOOD MORNING, LADY.
I'M HERE JOINED BY MELISSA DUB, BOSKY, UH, PRESENTING THE PROPOSED CAPITAL IMPROVEMENT PLAN FOR THE FISCAL YEAR 2023 TWO 2000, UH, 2027.
I KNOW WE ALSO HAVE THE SLIDES ON THE SCREEN, AND I HOPE YOU ALL HAVE THE COPY OF THE PRESENTATIONS.
LET'S START WITH THE FIRST SLIDE, PLEASE.
JUST TO GIVE THE OVERALL OVERVIEW.
THE CAPITAL IMPROVEMENT PLAN THAT IS IN FRONT OF YOU IS FOCUSED ON THE, THIS YEAR, CIP WILL BE ONGOING.
HURRICANE HARVEY RECOVERY, AND ALSO THE CONTINUATIONS ON THE INVESTMENT IN FLEET.
AGAIN, REMINDER, THIS IS THE ROLLING FIVE YEAR PLAN OF THE PROJECTED, UH, OF PROJECTS.
UM, THIS PLAN, AGAIN, IS A LIVE DOCUMENT AND SUBJECT TO CHANGE DUE TO THE ENVIRONMENTAL FACTORS, FUNDINGS, BUDGET SHIFTING PRIORITIES, SCHEDULING, CITIZENS INPUT, UH, WITHIN THE FISCAL YEAR.
ANOTHER ONE THAT, UH, NEED TO REMIND YOU ALL WHEN YOU DO LOOK INTO THE, UH, THE CAPITAL PLAN BOOK, UH, OR THE CAPITAL PLAN ON THE WEBSITE, IT HAS FOUR, FOUR COMPONENTS IN THAT PLAN, UM, FROM THE PUBLIC IMPROVEMENT PLAN OR PIP, WE ALSO INCLUDE THE BUILT HOUSTON FORWARD, PREVIOUS KNOWN AS THE REBUILT HOUSTON ENTERPRISE FUND PROGRAMS AND COMPONENT UNITS.
AGAIN, FOUR, UM, COMPONENTS IN THE CIP NEXT SLIDE.
SO AGAIN, THIS IS AN EXAMPLE OF WHAT IS INCLUDED IN THAT FOUR COMPONENTS.
LET'S START WITH THE PUBLIC IMPROVEMENT PROGRAMS. THE PUBLIC IMPROVEMENT PROGRAMS, THOSE ARE TYPICALLY THE, THE, THE FUNDING THAT IS IN THE GENERAL FUND THAT COVERS THE GENERAL FUND DEPARTMENTS SUCH AS THE FIRE DEPARTMENTS, GENERAL IMPROVEMENTS, HEALTH, HOUSING, LIBRARY PARKS, POLICE SOLID WASTE.
THE SECOND COMPONENTS IN THE CIP IS THE BUILT HOUSTON FORWARDS, WHICH IS REBUILT HOUSTON.
UH, AGAIN, THIS IS INCLUDING THE STORM DRAINAGE AND STREET INFRASTRUCTURES.
UH, IF YOU LOOK AT THE BOOK OR, OR THE WEBSITE, THIS IS UNDER THE TABS THAT STATES STORM DRAINAGE AND STREETS AND TRAFFICS.
THE THIRD COMPONENT IN HERE IS THE ENTERPRISE FUND PROGRAMS. AS YOU ALL KNOW, THIS IS A CLOSED FINANCIAL SYSTEMS. WE DO HAVE AIRPORTS AND THE COMBINED UTILITY SYSTEMS FOR THE HU UH, CITY OF HOUSTON.
SO THOSE ARE, UM, PROGRAMS THAT ARE IN THE CITY OF HOUSTON'S FOR THE ENTERPRISE FUNDS.
LAST COMPONENT IN THE CIP IS THE COMPONENT UNITS.
UM, SO YOU'VE SEEN THIS AS THE LEGALLY SEPARATE ORGANIZATIONS FROM THE CITY OF HOUSTON THAT ARE FINANCIALLY CLOSELY RELATED.
AGAIN, THIS INCLUDED IN THE, UM, ANNUAL COMPREHENSIVE FINANCIAL REPORT.
SO SOME OF THOSE EXAMPLES OF THIS COMPONENT UNITS SUCH AS THE TURS, HOUSTON ZOOS, HOUSTON PARKS BOARD, UM, THAT YOU SEE AS THESE PLANS ARE, UM, PRESENTED TO YOU SEPARATELY, UH, WITH THE CITY COUNCIL APPROVAL.
SO I TALKED ABOUT THE FOUR COMPONENTS THAT IS INCLUDED IN THE CIP.
UH, IT ALSO INCLUDES FOUR FUNDING SOURCES.
UH, WE TALKED ABOUT THE PUBLIC IMPROVEMENT PROGRAM PREVIOUSLY.
SO THOSE ARE FUNDED OUT OF THE PUBLIC IMPROVEMENT PROGRAMS, WHICH IS GENERAL FUND SUPPORTED DEBT.
UH, ALSO INCLUDED IN THIS IS THE OTHER COMMUNITY DONATIONS, CONTRIBUTIONS, AND GRANTS FOR THE BUILT HOUSTON FORWARDS OR REBUILD HOUSTON.
THE FUNDING SOURCE FOR THIS IS REVENUES FROM THE DRAINAGE UTILITY CHARGE AND DEVELOPER IMPACT FEES.
ALSO INCLUDED IS THE AT VALOREM TAX THAT WAS PREVIOUSLY WENT TO PAYING THE DEBT SERVICE FOR THE STREET AND DRAINAGE PROJECTS.
UM, SO AGAIN, THIS IS BASED ON THE CAPTURED REVENUES FROM THE 11.80 CENT EQUIVALENT, UM, BASED ON THE BUILT HOUSTON FORWARD CHARTER AMENDMENT, ALSO INCLUDED AS THE FUNDING SOURCE IN THE BUILT HOUSTON IS THE METRO AND TAX DOT.
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ITEMS IN HERE IS FOR THE ENTERPRISE FUND PROGRAMS. AGAIN, THE FUNDING SOURCES INCLUDED TO FUND THIS.PROGRAMS ARE ESSENTIALLY COMING FROM THOSE REVENUES IN THOSE ENTERPRISE FUNDS.
SO YOU HAVE THE CUS REVENUES DERIVED FROM THE WATER CUSTOMERS AND GRANTS, UH, AIRPORT.
IT COMES FROM THE AIRLINES PARKING FEES, FAA GRANTS.
UM, WE ALSO HAVE REVENUES THAT MAY FUND PROJECTS DIRECTLY, UH, OR SUPPORT ASSOCIATED DEBT.
THE LAST PIECE IS THE COMPONENT UNITS.
I GUESS FUNDING SOURCE FOR THIS IS VARIES.
UM, SO AGAIN, THE ONE THAT IS MOST, UM, DIRECT IS THE TURS PROGRAM.
SO THE TURS PROGRAMS ARE ESSENTIALLY FUNDED OUT OF THE TAX INCREMENT.
UH, WE ALSO HAVE PROFIT DONATIONS THAT CAN BE SUPPORTED FOR, UM, FUNDING SOURCE FOR THIS COMPONENT UNITS PROJECTS.
SO FOR THE CIP PLAN COMPARISON, MELISSA DUB, WE'LL GO OVER THE DETAILS WITH THE COMPARISON FROM WHAT WAS INCLUDED IN THE LAST CI PS 2220, UH, 2 26.
AND THEN WHAT IS IN THIS CURRENT CI THE PROPOSED CIP.
CAN YOU HEAR ME OKAY? MM-HMM
UH, SO ON SLIDE FIVE, WE HAVE A PLAN COMPARISON THAT COMPARES THE PREVIOUSLY ADOPTED CIP TO THE CURRENT PROPOSED CIP.
UM, YOU CAN SEE THAT THE TOTAL PROPOSED FY 23 THROUGH 27 CIP IS 10.3 BILLION, AND THAT INCLUDES ALL FUNDING SOURCES.
THE ENTERPRISE PROGRAMS COMPRISE 8.6 BILLION OF THAT, WHICH INCLUDES THE BUILD HOUSTON FORWARD, UM, AS IS INCLUDED IN THAT FIGURE, THE PUBLIC IMPROVEMENT PROGRAMS TOTAL 799 MILLION, AND THE COMPONENT UNITS ARE JUST AROUND A BILLION.
UH, SO WHEN YOU COMPARE THE DIFFERENT CATEGORIES COMPARED TO THE PREVIOUSLY ADOPTED CIP, YOU CAN SEE THE INCREASE IN THE PUBLIC IMPROVEMENT PROGRAM.
UM, AND THAT'S PRIMARILY DRIVEN BY COVID RELATED COST, COST ESCALATIONS THAT WEREN'T PREVIOUSLY INCLUDED IN THE PREVIOUS FIVE YEAR PLAN.
THE REBUILD HOUSTON PROGRAM, YOU CAN SEE, UM, HAS GONE UP SLIGHTLY AS WELL DUE TO THE ONGOING REPAYMENT OF PRE-BUILT HOUSTON DEBT, UM, AND AN ANTICIPATED INCREASE IN GRANT FUNDING.
UM, FOR THE AIRPORT, UH, SYSTEM, YOU CAN SEE A PRETTY SUBSTANTIAL INCREASE IN THEIR PLAN AMOUNT FROM THE PREVIOUSLY ADOPTED CIP.
UM, AND AS YOU MIGHT RECALL, THEIR FY 22 TO 26 CIP WAS LOWER THAN THE CIP BEFORE THAT DUE TO THE, UM, PANDEMIC RELATED EMPLOYMENTS DROPPING.
UM, THERE WERE SOME DELAYS IN PROJECTS.
SO NOW THOSE PROJECTS THAT WERE PREVIOUSLY DELAYED IN THE 22 TO 26 CIP ARE NOW ROLLING INTO THE 23 TO 27 PROPOSED CIP.
AND THOSE PROJECTS ARE, UM, THAT INCREASE IS PRIMARILY DRIVEN BY THE DOMESTIC REDEVELOPMENT PROGRAM AT TERMINALS A AND TERMINAL D, AS WELL AS THE WEST CONCOURSE, UM, EXPANSION AT HOBBY AIRPORT.
SO ON SLIDE SIX, UM, JUST A LITTLE BIT OF MORE INFORMATION ON THE CONSTRUCTION ESCALATIONS RELATED TO COVID.
AS I MENTIONED, INCLUDED IN THE PUBLIC IMPROVEMENT PROGRAM, UM, COSTS THAT ARE INCLUDED IN THIS PROPOSED CIP, THERE HAVE BEEN, UM, ESTIMATED INCREASES DUE TO, UH, COVID RELATED, UM, MATERIAL COSTS AND PROJECT AND COMPLETION DELAYS.
UH, SO IN LINE WITH THE MARKET, UH, WE ARE ANTICIPATING THAT WE'RE GOING TO HAVE TO, UM, HAVE SOME INCREASED COSTS RELATED WITH PROJECTS IN THE CIP.
AND SO THOSE, UM, COSTS ARE INCLUDED FOR THE PROJECTS THAT ARE, UM, WERE PREVIOUSLY PLANNED IN FISCAL YEAR 22 AND PROJECTS PLANNED IN 23, AND WE'RE WORKING WITH THE GENERAL SERVICES DEPARTMENT TO CONTINUE TO MONITOR, UM, ANY FUTURE INCREASES THAT, UM, WE'LL NEED TO PLAN FOR AS WE, UM, AS WE MOVE FORWARD WITH THE CIP ON SLIDE SEVEN, UM, THIS IS A SLIDE THAT, UH, GIVES YOU A VIEW OF THE STREET AND DRAINAGE DEBT THAT WE'VE BEEN PAYING DOWN OVER TIME SINCE THE INCEPTION OF THE BUILD HOUSTON FORWARD PROGRAM.
UH, SO YOU CAN SEE WHERE THE, WHERE THE DASH LINE IS SHOWING, UH, WHERE WE ARE NOW IN FISCAL YEAR 22, UM, WE HAVE PAID OFF A TOTAL OF 1.6 BILLION, WHICH IS, UM, COMPRISED OF BOTH PRINCIPAL AND INTEREST.
SO WE'VE, UH, NOW ECLIPSED THE $1 BILLION IN PRINCIPLE REPAID AND REPAID AROUND $622 MILLION IN INTEREST.
UM, AND CURRENTLY AS OF, UH, AS OF, UM, THE END OF FISCAL YEAR 22, WE STILL OWE 773 MILLION, AND OF THAT 630 MILLION AS PRINCIPAL.
AND SO AS, AS WE MENTIONED BEFORE, AS WE PAY DOWN THE DEBT SERVICE, UM, THAT'LL BE MORE, UM, UH, A VALOREM DOLLARS FREED UP TO GO TO THE PAY AS YOU GO PROGRAM FOR STREET AND DRAINAGE PROJECTS.
ON SLIDE EIGHT, UM, THERE'S A STILL A VERY LARGE COMPONENT TO HURRICANE HARVEY RECOVERY INCLUDED IN THIS PROPOSED CIP.
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ON THE PUBLIC IMPROVEMENT PROGRAM SIDE, WE'RE PLANNING $173 MILLION OF APPROPRIATIONS.UM, PRIMARILY THE APPROPRIATIONS ARE GOING TO BE RELATED TO THE MUNICIPAL COURT'S REPLACEMENT PROJECT.
UH, WE'RE CURRENTLY WORKING WITH, UM, FEMA AND THAT PROJECT IS UNDER REVIEW BY THEM AND MOVING THROUGH THE FEMA PROCESS IN ORDER TO GET THAT, UM, THAT PROJECT OBLIGATED AND, AND MOVING FORWARD.
UM, YOU CAN SEE THERE'S A VARIETY OF OTHER, UM, FACILITIES AT THE CITY THAT WERE IMPACTED BY HARVEY THAT WE CONTINUED TO WORK ON REPAIRING, UM, SOME FACILITIES AT THE REASONER COMPLEX.
UM, THE POLICE HEADQUARTERS HAD SOME DAMAGE TO THE, TO THE, UH, EXTERIOR OF THE BUILDING FIRE STATION 1 0 4, UM, WHICH WAS, UM, SEVERELY FLOODED DURING HARVEY IS, UM, IS PROGRAMMED IN THE FIVE-YEAR WINDOW, AS WELL AS IMPROVEMENTS TO CITY HALL AND CITY HALL ANNEX.
UM, AND THE, THE FINAL, UM, UH, PROJECT RELATED TO THE LIBRARY DEPARTMENT IS THE AFRICAN AMERICAN LIBRARY AT THE GREGORY SCHOOL, UH, WHERE WE ANTICIPATE $3.5 MILLION OF ADDITIONAL APPROPRIATIONS, AND THERE'S A VARIETY OF PARKS PROJECTS AS WELL.
UM, SAGEMONT PARK AND, UM, TIGER FOUR PARK, AS WELL AS A VARIETY OF, OF OTHER SMALLER PARKS.
AND THERE'S MORE DETAILS IN THE, IN THE CAPITAL PROJECT PROFILE BOOK ON THOSE.
SO, MOVING ON TO SLIDE NINE, UM, THE HOUSTON PUBLIC WORKS DEPARTMENT ALSO SUFFERED DAMAGE DUE TO HURRICANE HARVEY.
UM, AS YOU KNOW, THERE WERE, UH, DAMAGES TO WATER AND WASTEWATER FACILITIES, PRIMARILY TO THE WASTEWATER FACILITIES.
UM, AND THOSE DAMAGE ASSESSMENTS ARE, ARE CURRENTLY ONGOING AS WE WORK WITH FEMA, UM, THROUGH THAT PROCESS.
UM, THERE ARE ALSO A HOST OF MITIGATION OPPORTUNITIES, UM, THAT WE'RE PLANNING TO FUND THROUGH FEMA AND TEEM, UM, RELATED TO THE, UM, RELOCATION AND CONSOLIDATION AND MITIGATION OF HARDENING OF THOSE FACILITIES.
UM, AND THEN, AS YOU ALL ARE AWARE OF MOST OF THESE PROJECTS ALREADY, THERE'S UM, THE ONGOING HAZARD MITIGATION GRANT PROGRAM, UM, THAT WILL FUND, UM, PROJECTS IN INWOOD FOREST, THE, THE NORTH CANAL DOWNTOWN, THE LAKE HOUSTON DAM PROJECT, AS WELL AS MEMORIAL CITY.
UM, AND WE'RE ALSO PURSUING, UM, COMMUNITY DEVELOPMENT BLOCK BLOCK GRANT MITIGATION, UM, PROJECTS THROUGH HAC AND THROUGH HARRIS COUNTY AND THE GLO.
UM, SO TO GO OVER THE TIMELINE FOR THE REST OF THE CIP ON SLIDE 10, UM, SO LAST FRIDAY, WE, UM, UPLOADED THE PROPOSED FY 23 THROUGH 27 CIP ON THE SHAREPOINT SITE, WHICH HOPEFULLY ALL YOUR OFFICES GOT THOSE, UM, GOT THOSE LINKS IN THE EMAIL FROM MARTA.
UM, WE'RE HERE TODAY AT THE BUDGET AND FISCAL AFFAIRS COMMITTEE.
UH, WE'RE ASKING THAT THE CIP AMENDMENTS ARE DUE, UM, TO MARTA AND THE SOFT COPY IN THE TEMPLATE THAT SHE SENT OUT IN THE EMAIL LAST FRIDAY.
UM, IF YOU COULD SEND THEM IN BY THIS COMING FRIDAY THE 24TH, AND THEN WE'LL PLAN TO HAVE COUNSEL ACTION ON THE PROPOSED CIP ON JUNE 29TH, UM, AND THE FOLLOWING WEEK, JULY 6TH AS WELL.
UM, SO ON SLIDE 11, THERE IS A OVERVIEW OF THE BOND ELECTION HISTORY RELATED TO THE GENERAL OBLIGATION BONDS GOING BACK TO THE, UH, EARLY NINETIES.
UM, SO YOU SEE THE LAST TIME WE ASKED FOR A BOND ELECTION WAS IN 2017, AND SO WE'RE ANTICIPATING THAT, UM, TYPICALLY WE DO THOSE BOND ELECTIONS EVERY FOUR TO SIX YEARS.
SO WE'RE ANTICIPATING THAT WE, UH, WILL BE LIKELY GOING TO THE VOTERS WITH THE BOND ELECTION IN, UH, THIS COMING NOVEMBER.
AND THERE WAS ONE THING I WANTED TO CIRCLE BACK ON, ON SLIDE FIVE.
I'M SORRY I MISSED IT IN MY EXCITEMENT OF TALKING ABOUT THE AIRPORT.
UM, ON THE COMBINED UTILITY SYSTEM, YOU'LL NOTICE A PRETTY SIZABLE INCREASE FROM THE PREVIOUSLY ADOPTED CIP THERE AS WELL.
AND THAT IS DUE TO, UM, MORE PROJECTS BEING ADDED, UH, IN RELATION TO THE CONSENT DECREE AND THE INCREASE IN THE WATER, UM, FEES THAT THIS BODY PASSED LAST YEAR.
SO YOU'LL SEE SOME OF THOSE PROJECTS REFLECTED IN THIS CIP.
UM, AND THEN LASTLY, I JUST WANTED TO, UM, THANK, UM, JUST NOT JUST MY TEAM IN THE FINANCE DEPARTMENT WHO A LOT OF THEM ARE HERE IN THE AUDIENCE TODAY, WHO HAVE WORKED A LOT OF LATE NIGHTS, WEEKENDS, WORKING ON PUTTING THIS PLAN TOGETHER, BUT ALSO OUR, UM, OUR PARTNER DEPARTMENTS THAT WE WORK WITH, PUBLIC WORKS AIRPORT, GSD HITS FLEET, AND ALL OF THE OTHER DEPARTMENTS AT THE CITY.
IT'S A LOT OF WORK WENT INTO THIS, SO THANK YOU TO THEM.
I'D LIKE TO ACKNOWLEDGE WE HAVE BEEN JOINED BY COUNCIL MEMBER CAROLYN, EVAN SHABAZZ, AND COUNCIL MEMBER JACKSON, AND WE'RE ALSO BEEN JOINED BY OUR PHENOMENAL FIRE DEPARTMENT CHIEF SAN PENA.
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SINCE WE DON'T HAVE THE AUTOMATIC QIN SYSTEM, IF YOU RAISE YOUR HAND, I'LL GO TO YOU FOR QUESTIONS.AND FIRST QUESTION COMES FROM COUNCIL MEMBER ABBY CAYMAN.
AND, UM, DIRECTOR AND MELISSA, THANK YOU BOTH FOR THE PRESENTATION.
UM, I'M STILL COMBING MY WAY THROUGH, UH, THE ACTUAL CIP, UM, PROPOSALS.
I KNOW THAT THERE'S A LOT OF GOOD STUFF, CHIEF PENA, UM, WITH THE FIRE DEPARTMENT, UM, IN OUR BUILDINGS AND POLICE AND PARKS.
THAT'S AS FAR AS I'VE REALLY MADE IT.
BUT, UM, A FEW QUICK QUESTIONS.
THE, UH, YOU FLAGGED THE INCREASING, UH, CONSTRUCTION COSTS.
UM, ONE, I, I KNOW THAT IN ADDITION TO THE CONSENT DECREE, UM, WE'VE HAD TO INCREASE COSTS RELATED TO THE CIP BECAUSE OF ALL OF THESE, UM, EXTERNAL FACTORS.
ARE YOU AWARE OF ANYTHING THAT HAS BEEN SO COST PROHIBITIVE BECAUSE OF THE ESCALATING PRICES THAT THINGS HAVE ACTUALLY HAD TO GET BUMPED, UM, FROM, IN A SIGNIFICANT WAY, UH, FROM THE CURRENT CIP PLAN? DOES THAT MAKE SENSE? YES.
UM, SO ON THE PUBLIC IMPROVEMENT PROGRAM SIDE, NO, THAT HASN'T BEEN THE CASE.
UM, WE'VE BEEN ABLE TO, UM, ABSORB THOSE INCREASES SO FAR, BUT LIKE I MENTIONED, WE REALLY ONLY LOOKED AT PROJECTS THAT WERE PROGRAMMED IN FY 22 AND FY 23.
UM, SO IT'S, YOU KNOW, WE'RE GONNA CONTINUE TO MONITOR THOSE AND, UM, AND COULD GET TO THAT POINT.
BUT AT THIS POINT, WELL, I, YEAH, I APPRECIATE THAT WE'VE BEEN ABLE TO ABSORB THE COSTS THUS FAR.
I RECOGNIZE WE MAY NOT BE ABLE TO, THAT MAY NOT BE SUSTAINABLE, BUT I KNOW IN DISTRICT C, UM, WE HAVE PROJECTS THAT HAVE BEEN BUMPED FOR OVER 10 YEARS THAT WE CAN'T EVEN GET TO.
'CAUSE THEY'RE SO COST PROHIBITED.
SO I WOULD HATE TO LOSE MORE AT THIS POINT.
UM, SO IF Y'ALL CAN JUST KEEP US SURPRISED OF HOW WE'RE DOING, UH, THAT WOULD BE VERY MUCH APPRECIATED.
AND THEN, UH, ON THE MUNICIPAL COURTS, UM, THE ASTERISK THAT YOU FLAGGED, UH, THOSE REPAIRS DESPERATELY NEEDED, I KNOW WE'RE WORKING WITH FEMA, THE 1 25, IS THAT ON THE CITY'S SIDE OR IS THAT FEMA? I KNOW THERE, THE REASON I ASK IS THERE HAVE BEEN SO MANY CHALLENGES WITH FEMA MOVING THIS FORWARD.
IF FOR SOME REASON WE ARE NOT ABLE TO WORK IT OUT WITH FEMA, ARE THOSE R DOLLARS, ARE WE EXPECTING THOSE DOLLARS TO COME IN? HOW, JUST WHAT'S THAT ALLOCATION? MM-HMM
SO THE 125 MILLION IS THE TOTAL PROJECT COST ESTIMATE AT THIS POINT.
UM, WE ARE PLANNING TO GET SOME OF THAT REIMBURSED BACK THROUGH FEMA, UM, FOR THE ELIGIBLE PROJECT COST.
AND THAT'S WHAT WE'RE WORKING, UH, THROUGH THE PROCESS WITH FEMA TO MAXIMIZE THOSE REIMBURSEMENTS.
UM, DID YOU SAY THAT THE BOND ELECTION WOULD HAPPEN THIS NOVEMBER OR NEXT NOVEMBER, LIKE IN 2022? IN IN 2022? YES.
YEAH, SO IT WOULD COME TO, YOU KNOW, THERE'S A, THERE'S A, THERE'S A WHOLE HOST OF STEPS BETWEEN NOW AND THEN THAT WE WOULD HAVE TO GO THROUGH TO, UM, PRESENT THAT TO THE, TO THIS BODY FOR APPROVAL.
AND THEN, UM, FOR THE TIMELINE FOR THE CIP JUNE 29TH THROUGH JULY 6TH, DOES THAT MEAN THAT IT'S GOING, THE PROPOSAL IS FOR IT TO BE VOTED ON JUNE 29TH AND THE JULY 6TH IS JUST IN CASE IT'S TAGGED.
SO ONE THING THAT JUMPED OUT TO ME IS THE CIP PLAN COMPARISON, WHERE AIRPORT SYSTEM WENT UP 6% AND EVERY OTHER CATEGORY WENT DOWN.
ONE OF THE THINGS THAT I REMEMBER FROM THE GENERAL FUND, UH, PRESENTATIONS WAS AIRPORT WAS FLUSHED WITH CASH, I THINK, TO THE TUNE OF $2 BILLION.
SO WHY ARE WE TAKING MONEY FROM BUILD HOUSTON FORWARD COMPONENT UNITS, PUBLIC IMPROVEMENT PROJECTS AND GIVING IT TO AIRPORT? SO IT'S, IT'S NOT THAT THE, UM, THE DOLLARS ON THE DIFFERENT CATEGORIES WENT DOWN.
THOSE PERCENTAGES REPRESENT A SHARE COMPARATIVE, WELL, COMPARING, I'M COMPARING FUTURE 22 TO 26, WHICH WAS LAST YEAR'S BOOK MM-HMM
COMPARED TO THIS YEAR, AND HOUSTON AIRPORT WENT UP 6%.
SO THERE'S SOME REASON WHY WE GAVE ALLOCATION TO HOUSTON AIRPORT HIGHER AND CUT EVERYBODY ELSE.
SO, BECAUSE IT DOESN'T JIVE WITH WHAT I HEARD DURING THE GENERAL FUND PRESENTATION.
SO I WOULD SAY THAT NO ONE IS, IS CUT.
I THINK IF YOU COMPARE THE PUBLIC IMPROVEMENT PROGRAM 710 MILLION IN FY 22 TO 26, IT WENT UP TO 799 MILLION.
YOU KNOW WHAT I MEAN? IF I COULD, IF I COULD CLARIFY.
SO, YOU KNOW, I'M TRYING TO BE, UM, CAREFUL.
SO WE DON'T USE, UM, WE DON'T MIX THE FUNDING SOURCE.
SO WE ARE NOT GIVING THE GENERAL FUND DOLLARS TO FUND, UM, AIRPORTS PROJECTS, FOR EXAMPLE.
SO THE AIRPORT PROJECTS DOES GO UP AS YOU STATE, AS YOU SEE IN THIS COMPARISON.
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THOSE ARE FUNDED, LIKE YOU SAY, FROM THE AIRPORT SYSTEM.UH, BUT YES, THE ALLOCATION WISE, WHEN YOU LOOK AT COMPARISON WITH THEIR FUNDING SOURCE, UM, YOU DO SEE SOME MOVEMENT IN HERE.
AND I THINK WHAT MELISSA MENTIONED EARLIER, LIKE LET'S SAY THE COMPANY UTILITY SYSTEM, IT HAS INCREASING IN HERE BECAUSE OF, BASED ON THOSE, UM, PROJECTS LISTED FOR THE CONSENT DECREE, AND AGAIN, NEEDED INFRASTRUCTURE, UH, BASED ON THE WATER RATE STUDIES.
BUT THOSE ARE FUNDED OUT OF THE K UTILITY SYSTEM AND THE SAME WITH THE AIRPORT.
THOSE INCREASES IS PART OF THE MASTER PLAN OF THE, OF THE AIRPORTS, WHICH IS GONNA BE PAID OUT OF THE FAAS OR AIRLINES AND, AND AIRPORT REVENUES.
UM, FOR THE GENERAL FUND, AGAIN, AS WE ALL KNOW, GENERAL FUNDS RESOURCES IS LIMITED.
SO WE DO HAVE INCREASES IN HERE.
BUT AGAIN, UM, I THINK GOING BACK TO COUNCIL MEMBER CAYMANS IS PRIORITIES NEEDED.
AND SO WE ARE ABLE TO ABSORB SOME OF THOSE ESCALATION, CONTRACT ESCALATION COST AND, AND FOCUS ON THOSE THAT IS ALREADY EXISTING IN THE FISCAL YEAR 22 CIP.
SO I'LL LEAVE BEFORE I GO TO COUNCIL MEMBER CAYMAN, THEN POLLARD, UH, ENTERPRISE PRO PROGRAMS TOTAL 8.6 BILLION INCLUDING BUILD HOUSTON FORWARD.
SO THERE COULD HAVE BEEN A DECISION MADE TO GIVE MORE OF AN ALLOCATION TO BUILD HOUSTON FORWARD VERSUS THE AIRPORT, BUT YET FOR SOME REASON WE DECIDED TO GET IT TO THE AIRPORT.
AND I'M STILL TRYING TO FIGURE OUT WHY, BECAUSE YOU COULD HAVE GIVEN IT TO BUILD HOUSTON FORWARD.
AGAIN, THIS IS ON THE, UM, GOING BACK TO THE FUNDING SOURCE.
SO FOR THE PURPOSE ENTERPRISE FUND, RIGHT? FOR THE PURPOSE OF YEAH.
WHICH INCLUDES HOUSTON BUILDING HOUSTON FORWARD.
SO FOR THE PURPOSE OF REPORTING, THE DEFINITION OF ENTERPRISE FUND IS ESSENTIALLY THE COMBINED UTILITY SYSTEM AND THE HOUSTON AIRPORT SYSTEM, BECAUSE THOSE ARE SELF-SUSTAINING.
UM, WE COMBINE THE BUILD BUILT HOUSTON FORWARD ESSENTIALLY, THOUGH, EVEN THOUGH THOSE ARE NOT ENTERPRISE FUNDS, BUT FOR THE PURPOSE OF, UM, PRESENTING IT, IT'S, IT'S COMBINED REPORTED AS AN ENTERPRISE FUNDS PROGRAMS, EVEN THOUGH IT IS NOT AN ENTERPRISE FUND.
IF YOU LOOK AT THE OPERATING BUDGET, THOSE, UM, DEDICATED DRAINAGE, UH, THOSE ARE SPECIAL FUNDS.
AND SO, UM, TO SEPARATE THOSE BUILD HOUSTON FORWARDS FROM, LET'S SAY THE GENERAL FINAL PUBLIC IMPROVEMENT PROGRAMS, WE DO COMBINE THEM AS REPORTING AS AN ENTERPRISE PROGRAMS. SO THE 8.6 BILLION THAT YOU SEE IN HERE WILL BE A COMBINATIONS OF BUILT HOUSTON FORWARD UTILITY SYSTEM AND HOUSTON AIRPORT SYSTEM.
BUT THOSE ARE BASED ON THEIR FUNDING SOURCES SEPARATE AS DEFINED ON SLIDE FOUR.
SO WE ARE NOT TRYING TO FIND, YOU KNOW, WE ARE NOT USING THE AIRPORT TO FUND BUILT HOUSTON FORWARD.
WE ARE NOT USING COMBINED UTILITY SYSTEM TO PAY FOR AIRPORTS.
THOSE ARE SEPARATE IN THAT FUND.
UM, THE FUNDING SOURCE COUNCIL MEMBER ABBY CAYMAN, UM, THANK YOU CHAIR.
I ALSO JUST WANTED TO POINT OUT SLIDE SEVEN, UH, WE DON'T, YOU KNOW, CHAIR, WE ALWAYS GET INCREASING COSTS, UM, PROJECTS BEING BUMPED.
UH, CITY DOESN'T HAVE ANY MONEY, BUT THE FACT THAT WE'RE PAYING OUT DOWN DEBT LIKE THIS, I THINK IS TERRIFIC.
SO I JUST WANNA POINT THAT OUT.
UM, I MEAN, IT'S JUST JOB WELL DONE ALL THE WAY AROUND AND WHAT'S GONNA BE AVAILABLE IN THE COMING YEARS BECAUSE OF THAT, UM, IS A REALLY BIG DEAL.
AND THEN I CHERRY JUST WANTED TO EMPHASIZE, UM, THE OPPORTUNITY FOR PUBLIC COMMENT.
UM, BECAUSE THIS IS MOVING SO QUICKLY, JUST SO RESIDENTS ARE AWARE AND PAYING ATTENTION.
UM, I, I KNOW AT LEAST IN SEA WE HAVE A LOT OF, UM, RESIDENTS THAT FOCUS ON THIS, ESPECIALLY THE PROJECTS THAT AREN'T INCLUDED.
SO IT'S THEIR OPPORTUNITY TO, UM, CHIME IN AND AT LEAST ELEVATE THOSE PROJECTS.
COUNCIL MEMBER, ED POLLARD, THANK YOU CHAIR.
AND, UH, GOOD AFTERNOON TO EVERYONE.
THANK YOU BOTH FOR THE PRESENTATION.
UM, JUST FOR A FURTHER CLARIFICATION, UM, WHAT THE MAYOR PRO TEM WAS STATING, UM, SO THE PUBLIC IMPROVEMENT PROGRAM, THOSE DOLLARS ARE MOSTLY, UH, THROUGH THE GENERAL FUND, CORRECT? THAT'S ITS REVENUE.
IT'S, IT'S A CORRECT REVENUE SOURCE.
AND SO WHEN IT COMES TO THE HOUSTON AIRPORT SYSTEM, NONE OF THE MONEY THROUGH THE HOUSTON AIRPORT SYSTEM IS, IS WITH THE GENERAL FUND, IT'S ALL ENTERPRISE DOLLARS, CORRECT? CORRECT.
AND SAME WITH THE COMBINED UTILITY SYSTEM, IT'S ALL ITS OWN SELF-SUSTAINING MONEY.
SO THERE COULD BE NO MONEY FROM THOSE TWO REVENUE SOURCES THAT COULD BE GIVEN TO THE PUBLIC IMPROVEMENT PROGRAM? NO, YOU DON'T.
SO I MEAN, UNLESS IF THERE'S ANY, CERTAIN CIRCUMSTANCES, BUT YOU DON'T BUILD LIBRARY IN
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A DISTRICT THAT IS NOT AT THE AIRPORT, UM, USING THE AIRPORT MONEY.AND SO THOSE LIBRARY, UM, SOLID WASTE VEHICLES OR UM, UH, PUBLIC SAFETIES, THOSE ARE FUNDED OUT OF THE GENERAL OBLIGATION DEBT, AND THAT IS PART OF OUR DEBT SERVICE TRANSFER THAT YOU SEE IN OUR BUDGET.
AND SO, JUST ONE THING I WANTED TO ADD TO THAT, IT'S NOT JUST OUR OWN, UH, SEPARATION BY FUNDS THAT FUND THOSE SEPARATE PROGRAMS, BUT THERE'S ALSO FAA REGULATIONS ABOUT REVENUE DIVERSION FROM THE AIRPORT SYSTEM, AS WELL AS OUR MASTER BOND ORDINANCES, OUR AGREEMENTS THAT WE HAVE WITH OUR BOND HOLDERS THAT STATE THAT COMBINED UTILITY SYSTEM REVENUES STAY WITH THE SYSTEM.
AND SAME THING FOR THE AIRPORT COUNCIL MEMBER TIFFANY THOMAS.
SO I'M IN THE SUMMARY BOOK AND I'M LOOKING AT A STORM DRAINAGE TAB.
AND, UM, AM I INTERPRETING THIS CORRECTLY THAT THE PROJECTS THAT ARE LISTED, THOSE ARE GONNA BE DEFERRED AGAIN IN THIS CYCLE? YES.
IS IT THE SAME FOR STREET TRAFFIC? YES.
SO ON STREET TRAFFIC AND CONTROL, WHICH IS PAGE TWO OF THAT SECTION, THERE'S A, UH, AILEY FOREST AREA PROJECT THAT'S LISTED, BUT THERE WE RECEIVED CDBG MITIGATION FUNDS, $8 MILLION OR SO TO DO THIS PROJECT.
IS IS THIS AN ADDITIONAL PROJECT? THIS IS, THIS IS, UH, DAVID WARDLOW FROM HOUSTON.
CAN YOU ALL HEAR ME? OKAY? UM, YEAH, IT'S A SEPARATE PROJECT.
WHAT'S, UH, SHOWN AS DEFERRED IS THE, UH, NEIGHBORHOOD IMPROVEMENTS THE NEIGHBORHOOD.
THE, THE PROJECT WE GOT CDBG FUNDING IS THE BOONE IN HACKBERRY PARK.
AND THEN THAT'S THE, THE SEPARATE PROJECT CONNECTION PIECE TO THE, TO THE PARKS FOR THE DRAINAGE.
SO AGAIN, THIS, THIS ENTIRE IS GONNA DEFER FOR ANOTHER CYCLE, THESE PROJECTS.
UM, THAT'S STREET TRAFFIC, THAT'S WATER STORM DRAINAGE.
AND THEN I JUST NEED CLARITY ON ONE, LIKE THE TURE OF ONE PROJECT.
IT'S, IT'S RICHMOND PLAZA, BUT THEN IT SAYS RICHMOND PLAZA SOUTH.
WHICH PROJECT? WHAT IS, WHICH AREA IS THAT? MY BRA METAL RICHMOND? NO, NO.
SO RICHMOND PLAZA IS ACTUALLY IN, OKAY.
SO, UM, BRA METAL PHASE TWO IS PLANNED.
SO WHERE DOES THAT FALL WITHIN THE CONTEXT OF THIS REPORT? SO WHEN THE PRE-ENGINEERING WAS DONE FOR THE BRIAR MEADOW AREA, A NUMBER OF SUB-PROJECTS WERE IDENTIFIED ONLY THE FIRST WAS EVER PROGRAMMED IN THE CIP.
SO THAT HAS NOW BEEN DESIGNED AND CONSTRUCTED.
THE REMAINING SUB-PROJECTS HAVE NOT ENTERED THE CIP FOR DESIGN OR CONSTRUCTION.
SO THE NORTH PROJECT IS ALREADY COMPLETE.
THERE'S A SWAT PROJECT DONE IN THE SOUTH, THEN THE RICHMOND TO DUNVILLE STREET PROJECT SHOULD ALREADY BE IN QUEUE FOR THIS FISCAL 23.
SO FOR THAT, SO WHEN WE DID THE CIP MEETING AND IT SAYS PLANNED ON THERE, BUT IT'S STILL NOT LISTED IN ANY OF THIS FOR THE NEXT CYCLE.
HOW DO I INTERPRET THAT? SO I'M, I'M NOT SURE WHAT YOU'RE REFERRING TO IN THE MEETING, BUT, UM, IN THE CIP MEETING WHEN WE DID OUR CD CIP MEETINGS YEAH.
AND WE WENT THROUGH THE SLIDES RIGHT.
TO LET THE PEOPLE KNOW WHAT THEIR PROJECTS WERE AND WHAT WAS BEING DEFERRED.
AND SO BRI METAL HAD THREE RIGHT.
LARGE PROJECT NORTH SOUTH, THEN THE RICHMOND DEAL, SO IT SAYS PLANNED.
SO IF IT'S NOT, IT'S STILL NOT SHOWING UP ON ANY OF THIS.
HOW DO I INTERPRET THAT? 'CAUSE I NEED, I HAVE AT LEAST 12 EMAILS FROM BROAD METAL SOUTH RESIDENTS TODAY ABOUT A WATER MAIN LEAK.
SO I NEED TO KNOW, I NEED LANGUAGE ON HOW I'M INTERPRET INTERPRETING THIS SO I CAN COMMUNICATE EFFECT ABOUT WHAT WE'RE DOING.
UM, SO FIRST I WOULD SAY LIKE A, A NUMBER OF PROJECTS THAT HAVE BEEN PLANNED IN OUR, ON OUR CITY, THERE'S A LOT OF SUB PROJECTS THAT HAVE NOT ENTERED THE CIP.
UM, AND THAT THAT'S TRUE FOR, FOR BRIAR MEADOW SOUTH AND I THINK EAST SURE ARE THE TWO THAT, THAT DID NOT ADVANCE AT THIS POINT IN TIME.
THE OTHER THING I WOULD ADD IS IF THERE'S AN ISSUE TODAY WITH THE EXISTING INFRASTRUCTURE, LIKE THE WATER MAIN, WE WANNA MAKE SURE WE'RE ADDRESSING THAT AS QUICKLY AS WE CAN.
UH, BEYOND THAT, I KNOW IN THE TOWN HALL MEETING, WE WOULD'VE PRESENTED BOTH ON THE PROJECT THAT WAS JUST COMPLETED FOR THE RECONSTRUCTION NORTH OF RICHMOND, AS WELL AS THE SWAT PROJECT.
I BELIEVE THAT IS, WAS UNDER CONSTRUCTION AT THAT TIME.
UH, TO ADDRESS THE MOST ACUTE, UH, DRAINAGE CONCERNS IN THE OTHER PART OF THE NEIGHBORHOOD.
SO I'LL HAVE A FOLLOW UP TO MY QUESTION, THEN WE'LL GO TO COUNCIL MEMBER CAYMAN, AND THEN BACK TO COUNCIL MEMBER THOMAS.
SO ENTERPRISE FUND IS IN THREE CATEGORIES ON PAGE FIVE.
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BUILD HOUSTON FORWARD CUS AND HOUSTON AIRPORT FOR A TOTAL OF 8.6 BILLION.CAN ANY OF THE 8.6 BUILD BILLION GO TO ONE FUND OR DO YOU HAVE TO ALLOCATE IT ACCORDING TO, I'M TRYING TO GET AT FAA REGULATIONS AND THINGS LIKE THAT.
COULD YOU HAVE GIVEN REBUILD HOUSTON 8.6 IN THE OTHER TWO CATEGORIES? ZERO.
WHAT IS, WHAT ARE YOU RESTRICTED TO GIVE THE AIRPORT BASED ON FAA OR WHAT YOU TOLD COUNCIL MEMBER POLL? I'M NOT UNDERSTANDING THAT PART OF IT.
SO I WOULD SAY THAT THE FAA HAS, HAS REGULATIONS ABOUT HOW REVENUES CAN BE USED.
THEY HAVE TO BE FOR AN AIRPORT USE.
SO IS EVERY DOLLAR IN THE 2.344 THAT WE ALLOCATED, MANDATED BY FAA? IT'S FOR THE AIRPORT USE MANDATED BY FAA, THE AIRPORT USE, I MEAN, IT'S, IT'S A COMBINATION OF AIRLINE REVENUES, UH, OTHER NON-AIR AIRLINE REVENUES, GRANTS THAT THEY ANTICIPATE TO GET.
BUT THE GRANTS HAVE TO SPECIFICALLY BE USED AT THE AIRPORT.
UM, I THINK SOME OF THOSE GRANTS AREN'T NECESSARILY CONTROLLED BY THE FAA, THEY MIGHT BE CONTROLLED BY THE FEDERAL DEPARTMENT OF TRANSPORTATION, BUT OKAY.
IT'S, IT'S RESTRICTED FOR AIRPORT USE.
UM, IN LINE WITH, UM, COUNCIL MEMBER THOMAS'S QUESTIONING JUST ON SOME OF THE DEFERRED PROJECTS, THIS IS ONLY A LIST OF, UM, WHAT IS NEWLY DEFERRED FOR THIS CYCLE.
IS THAT CORRECT OR DOES THIS, IN HOW FAR BACK DOES THIS GO? RIGHT.
FOR EXAMPLE, WE HAVE IN MULTIPLE DISTRICTS RIGHT.
PROJECTS THAT HAVE BEEN DEFERRED FOR YEARS.
SO I'M JUST WONDERING HOW FAR BACK THIS DEFERMENT LIST GOES.
THANK YOU FOR THE QUESTION FOR CLARIFICATION.
WHAT'S LISTED HERE ARE THE PROJECTS THAT USED TO BE IN THE CIP AT SOME POINT IN TIME AND HAVE HAD TO BE REMOVED FROM THE FIVE YEAR WINDOW.
SO THEY HAD A COUNCIL COMMITMENT TO THEM IN THE CIP AT SOME POINT, BUT HAVE NOT BEEN ABLE TO BE DELIVERED YET.
SO THAT'S WHY THEY'RE LISTED HERE.
AND THAT'S A DIFFERENTIATION BETWEEN SOMETHING THAT'S PLANNED THAT NEVER GOT TO THE CIP YET VERSUS ONE OF THESE DEFERRED PROJECTS THAT USED TO BE PROGRAMMED FOR CONSTRUCTION AND IS NOT CURRENTLY IN THE BOOK.
I, I APPRECIATE THE CLARIFICATION.
'CAUSE AGAIN, UM, THIS HAS BEEN AN ONGOING ISSUE AND I THINK ONE OF THE CHALLENGES WE HAVE IS COUNCIL, RIGHT? WITH CIP AND THE LIMITED DOLLARS THAT WE DO HAVE IN SEEING PROJECTS CONSISTENTLY DEFERRED.
AND I DON'T THINK ANYONE IS SUGGESTING THAT THE DEPARTMENTS AREN'T DOING ALL THAT THEY CAN.
AND I APPRECIATE ALL OF Y'ALL'S WORK, BUT I THINK IT'S IMPORTANT TO NOTE, UM, THIS IS A MULTI-YEAR PUNTING, UH, THAT WE, WE CONTINUE TO SEE AS IT RELATES TO INFRASTRUCTURE, UM, ON FLEET AND OTHER DEPARTMENTS.
I DON'T SEE LISTS OF DEFERRED, UM, ONLY FOR, I COULD BE MISSING IT, BUT, UM, FOR EXAMPLE, FLEET, I DON'T SEE A LIST OF ANYTHING DEFERRED.
UM, BUT THEN STREET AND TRAFFIC CONTROL I SEE DEFERRED.
IS THAT BECAUSE THERE ARE NONE, AGAIN, HFD I'M GONNA ASSUME, UM, THERE'S DEFERRALS, UH, BUT I DON'T SEE THOSE LISTS INCLUDED.
SO I WOULD SAY THAT ON THE, ON THE FLEET, UM, THE AMOUNT OF MONEY THAT WE'VE ALLOCATED TO THE FLEET REPLACEMENT AND THE OTHER DEPARTMENTS IS, UM, BASED ON WHAT WE CAN, UH, AFFORD BASED ON OUR REVENUE LIMITATIONS.
UM, AND I THINK IT'S A SIMILAR, UH, SITUATION FOR THE STREETS AND DRAINAGE.
I THINK THE DIFFERENTIATION IS THAT IN THE STREETS AND DRAINAGE SECTIONS, THERE WERE PROJECTS THAT WERE PREVIOUSLY INCLUDED AND ADOPTED, CIP THAT ARE NO LONGER THERE.
AND THAT'S NOT THE CASE IN THE OTHER SECTIONS.
AND THEN CHAIR, ONE LAST QUICK QUESTION JUST FOR FLEET, UM, BECAUSE I KNOW RIGHT.
WE'RE DEALING WITH, UH, CHALLENGES WITH SUPPLY RIGHT NOW, INCREASED COST OF VEHICLES, ALSO SKYROCKETING GAS, HIS FLEET RE-LOOKED AT THIS GIVEN EVERYTHING WE'RE DEALING WITH, UM, WHETHER IT'S, I KNOW A LOT OF THESE ARE EMERGENCY SAFETY VEHICLES, BUT WE'VE TALKED A LOT ABOUT LEASE PROGRAMMING, EXPANDING THAT A LITTLE BIT FASTER OR, UM, HYBRID ELECTRIC, ET CETERA, BECAUSE OF THE INCREASED COST THAT WE'RE SEEING RIGHT NOW.
HAS THERE BEEN ANY TWEAKING OR REEXAMINATION? SO, UH, CERTAINLY WE, UH, LOOKED AT THAT WHEN WE PREPARED THE CIP AND WORKED WITH THE FLEET DEPARTMENT.
UM, THERE ARE, UH, UH, IN SPECIFICALLY IN FY 23, UH, WE INCLUDED, UM, SOME ADDITIONAL ALLOCATION FOR ANTICIPATED COST ESCALATIONS FOR PURCHASES.
UM, OF COURSE ONCE WE GO THROUGH THE PROCUREMENT PROCESS, WE'LL HAVE A BETTER IDEA OF COST ESTIMATES, BUT WE HAVE, UM, INCLUDED THAT IN THIS PLAN HERE.
I JUST REQUEST THAT, UM, IF FLEET COULD GIVE US A RESPONSE ON WHAT WAS ACTUALLY SHIFTED
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IN TERMS OF CHANGES TO MOVE TOWARDS AN EXPANSION OF ELECTRIC OR HYBRID OR JUST WHAT THE ACTUAL ADJUSTMENTS WERE GIVEN THE, UM, COSTS AND SUPPLY CHAIN ISSUES.COUNCIL MEMBER TIFFANY D. THOMAS.
CAN YOU JUST CLARIFY, DIRECTOR EMO, UM, AROUND THE BOND, AGAIN ABOUT THE BOND ELECTIONS? YES, MA'AM.
AND THE ANTICIPATED DIRECT USE FOR THE PS.
SO, UM, IF WE BACK UP A LITTLE BIT ON THE BOND ELECTION, ESSENTIALLY WE'RE TALKING ABOUT THE PUBLIC IMPROVEMENT PROGRAM.
SO YOU'RE TALKING ABOUT THE, UH, THE GENERAL BOND OBLIGATION, THE GENERAL OBLIGATION BOND, UH, THAT THE GENERAL FUND WOULD WOULD PAY.
UM, SO TYPICALLY BOND ELECTIONS AMOUNT IS AN ESTIMATES, UH, TO CARRY YOU OR FOR THE NEXT FOUR TO SIX YEARS.
WHEN WE DID THE LAST, UM, BOND ELECTION, WHICH IS ON, ON, UH, 2017, SO THIS IS ON PAGE 11 FOR EVERYBODY ELSE.
SO AT THE TIME IN 2017, THE PLAN IS TO CARRY, UM, PROJECTS, UH, FOR THE NEXT FIVE YEARS.
SO THAT FIVE YEARS IS GONNA BE IN 2022.
SO WHAT YOU SEE IN HERE IS ESSENTIALLY LISTS OF PROJECTS FOR PARKS, PUBLIC SAFETY, JOB IMPROVEMENTS, PUBLIC LIBRARIES.
THIS, WHAT WE HAD ASKED BACK THEN, THIS IS ESSENTIALLY YOUR, UM, CREDIT CARD LIMIT FOR, FOR A SIMPLER TERMS THAT WE HAD USED.
NOW, THERE WILL BE A POINT IN TIME WHERE WE ARE NOW REACHING THAT MAX, WE HAD USED THEM BECAUSE WE HAD GONE THROUGH THE CIP EVERY SINGLE YEAR.
AND SO NOW WE ARE AT THE POINT WHERE WE HAVE TO DETERMINE ON WHAT WOULD BE THE NEXT LIMIT THAT WE WANT TO GET THE VOTER TO AUTHORIZE US TO ISSUE BOND FOR THIS, UM, CATEGORY OF PROJECTS.
SO WE WILL BE LOOKING INTO THAT EXERCISE, UM, SO THAT WE CAN BE READY FOR NOVEMBER BOND ELECTIONS, LIKE EXACTLY HOW MUCH WE WANT TO REQUIRE, UH, ASK THE VOTERS FOR TO CARRY THOSE CAPITAL PROJECTS IN.
THE NEXT COULD BE THREE, COULD BE FOUR, COULD BE FIVE YEARS.
THAT WILL BE ONE OF THE DISCUSSIONS THAT WE WILL PRESENT.
AND JUST FOR CLARIFICATION, SO YOU SAID IN 2017 WAS THE LAST BOND, UM, ELECTION AND SO THERE WASN'T ANY DOLLARS PROJECTS FOR STREETS AND DRAINAGE DURING THAT TIME, RIGHT? BECAUSE REMEMBER I THINK IT SAID 2011, AM I RIGHT? WE PASSED THE PAY AS YOU GO CONCEPT.
WITH THE REBUILT HOUSTON, WHEN YOU HAVE THE PAY AS YOU GO CONCEPT, THEN WE DON'T ISSUE DEBT ANYMORE.
AND THAT'S WHY WE HAVE THE BUILT HOUSTON FORWARD.
SO IF YOU GO TO SLIDE FOUR ON THE FUNDING SOURCE ON THE BUILT HOUSTON FORWARD, I THINK THIS IS PART OF THE DISCUSSIONS WE HAD EARLIER, RIGHT? WHICH WE COMBINE THEM AS A REPORT PURPOSE AS PART OF THE ENTERPRISE FOR, UH, PROGRAMS REBUILT HOUSTON OR BUILT HOUSTON FORWARD.
ONE IS THE 11.80 CENTS EQUIVALENT FROM THE AEM TAX.
UH, THE OTHER ONE IS DEVELOPER IMPACT FEES AND THE DRAINAGE CHARGES, UM, SORRY, THE DRAINAGE UTILITY CHARGE.
SO THOSE ARE THE FUNDING SOURCE TO FUND THIS STREET AND DRAINAGE.
SO WE DON'T, WE DON'T LONG, WE NO LONGER ISSUE DEBT, BUT INSTEAD THOSE, UM, 11.80 CENT EQUIVALENT ON THE VAR TAX, WE USE THAT TO PAY OFF THE DEBT.
AND SO THAT'S WHEN YOU SEE ON PAGE SEVEN THE DEBT THAT HAS BEEN PAID ALL THIS TIME AND ANY REMAINING, AND THAT'S WHY WE CALL IT CAPTIVE REVENUE TRANSFER.
UM, ANY REMAINING AMOUNT FROM THAT 11.80 CENTS TO PAY THAT, UH, THE STREET AND DRAINAGE DEBT, ANY REMAINING AMOUNTS, WE, WE TRANSFER THAT TO THE CAPITAL FUNDS TO PAY FOR THIS BUILT HOUSTON FORWARDS.
SO THAT'S WHY THE PAY AS YOU GO, BECAUSE IT'S BASED ON WHAT WE HAD GOTTEN FROM THE A TAX PAY THE DEBT FIRST, ANY REMAINING AMOUNT IS GONNA BE PAY AS YOU GO FOR CAPITAL PROJECTS.
SO WE NO LONGER ISSUE DEBT SINCE THEN.
I I'M, I'M HOPING IT IT HELPS YOU A NOT MORE CONFUSING
IT'S CONFUSING
ANY REMAINING IS WHAT YOU USE TO PAY FOR THE CAPITAL PROJECTS.
THAT'S WHY IT'S PAY AS YOU GO.
SO GOING BACK TO I THINK COUNCIL MEMBER, UM, THOMAS, RIGHT, WITH THE DEFERRAL, THAT'S ONE OF THE, UM, CHALLENGES THAT PUBLIC WORKS HAVE TO DEAL WITH BECAUSE, BECAUSE THIS PAYS U GO AMOUNT IS
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VARIES EVERY SINGLE YEAR BECAUSE IT DEPENDS ON THE TAXABLE VALUE, IT DEPENDS ON YOUR TAX RATE THAT GOT APPROVED THAT YEAR, RIGHT? DEPENDS ON THE, THE, THE STREET AND DRAINAGE DEBT.UM, NOW THAT IT'S GOING LOWER ON THE STREET AND DRAINAGE DEBT, THEN YOU PROBABLY WILL HAVE MORE CAPTURE REVENUES THAT CAN BE USED TO PAY FOR THOSE CAPITAL PROJECTS.
BUT EARLIER IN THE YEARS, BECAUSE OF THOSE LIMITED RESOURCES AND THE VARIOUS AMOUNT THAT YOU MAY GET EVERY SINGLE YEAR THAT CAUSED PUBLIC WORKS TO PRIORITIZE THEIR PROJECTS AND WHAT WAS PREVIOUSLY PLANNED WILL NOT HAVE TO BE DEFERRED BECAUSE THOSE FUNDING IS NO LONGER AVAILABLE.
SO THAT'S ONE OF THE CHALLENGES THEY HAVE TO DEFER THE STREET AND DRAINAGE, UH, PROJECTS BECAUSE OF THE FUNDING SOURCE.
WE HAVE NO OTHER COUNCIL MEMBERS.
BUT BEFORE WE ADJOURN, UM, THE SWAT PROGRAM, DID WE HAVE ANY ADDITIONAL NEWS ON THE SWAT PROGRAM THAT YOU'D LIKE TO ANNOUNCE OR SHOULD I, SO OUR SWAT PROGRAM IS $20 MILLION DIVIDED BY 11 COUNCIL DISTRICTS.
SO ROUGHLY 1.8 MILLION PER DISTRICT.
THE MAYOR HAS DOUBLED THAT AND ADDED ADDITIONAL $20 MILLION.
SO NOW THE ALLOCATION WILL BE AROUND 3.64 MILLION PER COUNCIL DISTRICT.
SO, UM, THAT'S A, A BIG PART OF WHAT COUNCIL MEMBER JACKSON YOU CAN USE FOR THE, UM, FOR THE NUMBER OF, UH, OPEN DITCHES THAT WE HEARD ABOUT OVER THE LAST COUPLE OF YEARS.
AND THAT'S SOME OF THE STUFF THAT COUNCIL MEMBER CAYMAN CAN SLIDE OVER TO DISTRICT E BECAUSE WE HAVE A LOT OF
SO THE MAYOR, THE MAYOR RECOGNIZED THE NEED ON, ON INFRASTRUCTURES NEEDED, UM, AND, AND YOU KNOW, UM, ON THE STREET AND DRAINAGE PROJECTS NEEDED.
UM, SO WE WILL BE USING THE FUND BALANCE IN THE GENERAL FUND TO PAY FOR THIS ADDITIONAL SWAT PROJECT.
SO YOU WILL SEE SOME OF THOSE INCLUDED IN THE
RIGHT? AND REMEMBER AMENDMENTS A DUE THIS FRIDAY THE 24TH? YES.
WE'LL MA'AM, WHATEVER YOU, I FEEL LIKE TAKING, TAKING PROJECTS FROM YOUR DISTRICT AND PUTTING IT INTO MINE, BUT YOU PROBABLY WON'T BE HAPPY ABOUT IT.
BUT, YOU KNOW, ALLOCATIONS OF PROJECTS THAT ARE WITHIN YOUR CIP THAT YOU SEE THE NEED TO POSSIBLY MOVE UP IN THE PROCESS AND THE OTHER ONE WOULD BE REDUCED.
SO WITH THE FUNDING SOURCE THAT YOU ASK FOR MONEY, IDENTIFY THE EXPENSE SIDE OF IT, WHERE YOU'RE GONNA PULL IT FROM.
SO MAKE SURE THAT'S ALLOCATED JULY ONE.
UH, WE WILL PUT THE AMENDMENTS TOGETHER AND WE WILL TAG IT AND WE WILL TAKE IT UP AGAIN ON JULY 6TH.
JUNE 29TH AND THEN AGAIN ON THE SIXTH.
RIGHT? SO AMENDMENTS AT THE COUNCIL MEETING ON JUNE 29TH WITH A TAG AMENDMENTS DUE ON THE 24TH, 24TH, 29TH AND THEN JULY 6TH FINAL VOTE.
AM I MISSING ANYTHING? WITH THAT BEING SAID, NEXT, BFA COMMITTEE MEETING WILL BE ON TUESDAY, JULY 5TH AT 11 AT 10:00 AM MEETING ADJOURNED.