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AND I'M VICE MAYOR PROTE.[ Economic Development Committee]
MARTHA CASTEX TATUM, CHAIR OF THE ECONOMIC DEVELOPMENT COMMITTEE.AND I'LL CALL THIS MEETING TO ORDER.
I DO WANT TO WELCOME ALL COMMITTEE AND COUNCIL MEMBERS, UH, STAFF, GUESTS IN ATTENDANCE, UM, JOINING US TODAY.
WE DO HAVE, UH, COUNCIL MEMBER JACKSON IN THE CHAMBERS COUNCIL MEMBER SHABAZZ, UH, COUNCIL MEMBER GALLEGOS AND STAFF FROM COUNCIL MEMBER CAYMAN'S OFFICE, STAFF FROM COUNCIL MEMBER KNOX'S OFFICE, STAFF FROM COUNCIL MEMBER PLUMMER'S OFFICE, AND ALSO STAFF FROM COUNCIL MEMBER PECK'S OFFICE COUNCIL MEMBERS.
IF YOU WOULD JUST HOLD YOUR QUESTIONS UNTIL THE END OF THE PRESENTATIONS IF YOU'D LIKE TO ASK ANY QUESTIONS.
UM, WE CAN IN, YOU'RE ON THE, UM, LINE, YOU CAN UNMUTE AND WE ALL KNOW THAT DRILL, UH, COUNCIL MEMBERS.
THE FIRST, UH, PRESENTATION THAT WE HAVE TODAY IS FROM, UH, DIRECTOR DIAZ WITH THE HOUSTON AIRPORT SYSTEM AND PRINCIPAL EXECUTIVE PROGRAM MANAGER STEVE ANDERSON.
AND THEY WILL PRESENT ON THE IAH TERMINAL REDEVELOPMENT PROGRAM.
WE ARE READY FOR YOUR UPDATE, DIRECTOR, MADAM CHAIR, UH, MEMBERS OF THE ECONOMIC DEVELOPMENT COMMITTEE STAFF.
WE'RE, WE'RE VERY HAPPY TO BE HERE THIS AFTERNOON.
UH, WHAT WE THOUGHT WE WOULD DO IS A TWO-PART PRESENTATION.
AND THE FIRST PART, WHAT WE'D LIKE TO DO IS GIVE YOU A STATUS AS WE NORMALLY DO ON A QUARTERLY BASIS WITH THE PROGRESS THAT'S BEING MADE ON THE INTERNATIONAL TERMINAL REDEVELOPMENT PROGRAM.
YOU'RE GONNA SEE A LOT OF EXCITING NEW SLIDES AND VIDEOS AND THE PROGRESS THAT'S BEING MADE, UH, MILESTONES THAT WE HAVE ACHIEVED AND WILL ACHIEVE TOWARD THE END OF THIS YEAR, MAJOR MILESTONES, BUT IT'S A, IT'S A SNAPSHOT OF THE PRESENT AND THE NEAR FUTURE SINCE I, TRIPP WILL PROBABLY WIND UP BY THE END OF NEXT YEAR.
AND THEN WE'LL MOVE ON TO TALK ABOUT THE FUTURE, TO TALK ABOUT THE HUGE INVESTMENT THAT STILL LIES BEFORE US.
UM, THE, THE, THE MAJOR PROGRAMS AND HOW WE, UM, SOME RECOMMENDATIONS THAT WE HAVE FOR HOW WE MIGHT BE MANAGING OR WANNA MANAGE THOSE PROGRAMS COMING FORWARD IN THE FUTURE.
UM, AND THE ACTIONS THAT WOULD BE NEEDED, UM, AND THE TIMING FOR THESE ACTIONS WE BROUGHT TO COUNCIL, UM, OVER THE NEXT, UH, MONTH OR SO.
SO WITH THAT, UM, I'D LIKE TO TURN IT OVER TO, UM, STEVE ANDERSON, WHO IS OUR EXECUTIVE PROGRAM MANAGER OVER THE INTERNATIONAL REDEVELOPMENT PROGRAM, TO GIVE YOU A, A STATUS ON WHERE WE ARE WITH THAT, WITH THAT PROGRAM.
UH, GOOD AFTERNOON, MADAM CHAIR.
GOOD AFTERNOON, COUNCIL MEMBERS.
UM, IF WE COULD HAVE THE PRESENTATION, PLEASE.
WE'VE GOT A HARD COPY AT THE, AT THE DESK IF YOU, IF YOU WANNA KEEP GOING.
THEY'RE, THEY'RE WORKING ON IT.
UM, SO IN ON PAGE TWO, THE CONTENTS PAGE JUST GIVES KIND OF A BRIEF OVERVIEW OF WHAT WE'LL BE GOING THROUGH, WHICH IS CONSTRUCTION PROGRESS, OBVIOUSLY AN OVERVIEW OF
WE'LL THEN GIVE A BRIEF BUDGET UPDATE AND TALK A LITTLE BIT MORE AROUND THE, UM, UPCOMING COUNCIL ACTIONS.
SO MOVING ON TO, IF WE COULD JUST GO TO SLIDE FOUR, I BELIEVE IT IS, WHICH SHOWS THE, UM, IH TERMINAL REDEVELOPMENT PROGRAM OVERVIEW.
UM, THIS IS IN ESSENCE SHOWING THE SCOPE THAT IS INCLUDED WITHIN THE PROGRAM.
UH, WHAT IT IS REALLY MADE UP OF IS TWO LARGE PROGRAMS WITH A NUMBER OF ENABLING PROJECTS.
'CAUSE MAYBE, WOULD YOU LIKE ME TO WAIT OR GO AHEAD.
UM, SO IT'S GOT A NUMBER OF ENABLING PROJECTS.
UM, ONE OF THE, THERE'S A NUMBER OF THEM THAT ARE COMPLETE, WHICH IS THE NEW C NORTH RELOCATION AND CONSTRUCTION OF THE UTILITIES AND APRON WORKS THE INFRASTRUCTURE DIVISION OFFICE BUILDING THAT HAS THE PROGRAM DESIGN AND CONSTRUCTION TEAMS CO-LOCATED WITH THE INFRASTRUCTURE DIVISION.
WE HAVE THE DETENTION POND THAT IS, UM, A HUGE, UH, PIECE OF REAL ESTATE THAT HAS REALLY HELPED MITIGATE A LOT OF THE FLOODING AT THE AIRFIELD AND IN THE SURROUNDING AREA.
AND WE HAVE THE RADIO CONTROLLED RAMP CONTROL TILE THAT IS COMPLETE.
THE OTHER ENABLING PROJECT IS OUR, OUR WATER UTILITIES PROJECT.
THAT IS, IN ESSENCE, UH, TO HELP PROVIDE ADDITIONAL WATER, UM, CONTROL AND PROVISION TO THE CENTRAL TERMINAL AREA, HELPS US CONTROL THE PRESSURE, BUT WHEN THERE ARE AD HOC INCIDENCES THAT AFFECT OUR WATER SUPPLY, AS WELL AS PROVIDE US WITH A HIGHER PRESSURE SYSTEM TO ALLOW FOR THE NEW FACILITIES TO COME ONLINE, THE TWO MAJOR PROJECTS ARE OUR NORTH TERMINAL CONCOURSE PROJECT, WHICH IS THE REFURBISHMENT OF TERMINAL D, AS WELL AS THE
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CONSTRUCTION OF A NEW GATE CONCOURSE.UM, AND WE'VE GOT SOME GREAT PROGRESS PHOTOS TO TALK YOU THROUGH THAT, AS WELL AS THE CONSTRUCTION OF THE NEW CENTRAL PROCESSOR AND SOME EXPANDED PARKING AND OUR NEW BAGGAGE FACILITY.
SO, MOVING ON TO, UH, SLIDE FIVE.
UH, THIS IS JUST A BRIEF OVERVIEW, UM, OF OUR PROGRESS TO DATE AND OUR MILESTONES.
UH, THE NEXT BIG, UH, MILESTONES THAT WE HAVE UP AND COMING IS THE COMPLETION OF THE REFURBISHMENT OF TERMINAL D.
UH, THAT'LL BE FINISHED IN OCTOBER THIS YEAR.
UM, AND THEN WE MOVE ON TO THE CONSTRUCTION COMPLETION OF THE CENTRAL PIER.
UH, THE NEW, UH, SORRY, WEST PIER.
UH, AND THEN FOLLOW SHORTLY BY THE COMMISSIONING AND ACTIVATION ELEMENTS.
UM, IN, IN, AT THE END OF THE YEAR.
WE THEN HAVE THE ADDITIONAL PARKING THAT WE ARE CONSTRUCTING TO REPLACE SOME OF WHAT WAS LOST WHEN WE DEMOLISHED THE DE PARKING STRUCTURE.
AND THAT'LL BE OPENING IN JANUARY NEXT YEAR.
UM, AND THEN WE HAVE THE NEW CENTRAL PROCESSOR OPENING IN 2024.
SO, JUST A KIND OF A BRIEF OVERVIEW OF WHAT WE'LL BE OPENING.
UH, TERMINAL D IN AND OF ITSELF, UM, IS GONNA HAVE ALL NEW FINISHES, FIXTURES, FLOORING, UM, NEW LIGHTING, A NEW AIR FILTRATION SYSTEM, UH, WHICH IS GONNA BE SIGNIFICANT, OBVIOUSLY, ALONG WITH SOME BRAND NEW SEATING GATE COUNTERS AND A WHOLE NEW LOOK AND FEEL TO TIE IN WITH THE NEW PIER.
UM, WE'LL BE OPENING A BRAND NEW FACILITY WITH STATE OF THE ART AIR FILTRATION DESIGNED TO LEAD SILVER, WHICH MAKES IT SORT OF 27% MORE ENERGY EFFICIENT, ALONG WITH, UH, BRIGHT, AIRY SPACES, SOME FANTASTIC ART INSTALLATIONS AND CONCESSIONS.
AND THEN WE HAVE OUR NEW PROCESSOR OPENING, UH, WHICH AGAIN IS LEAD SILVER EQUIVALENT, WHICH WILL HAVE STATE-OF-THE-ART TECHNOLOGY IN OUR TICKETING HALL AND SOUTH BACKDROP TECHNOLOGIES CO-LOCATING ALL OUR INTERNATIONAL CARRIERS INTO ONE FACILITY, A NEW STATE-OF-THE-ART 17 LANE SECURITY CHECKPOINT, AND A REALLY IMPRESSIVE OCULUS FEATURE IN THE OVAL AND THE FLOOR.
UH, THAT'LL BE A REAL EYE-CATCHING MOMENT FOR OUR INTERNATIONALLY ARRIVING PASSENGERS.
UM, AS WELL AS, AGAIN, GREAT ART INSTALLATIONS.
JUST WANNA TAKE A MOMENT TO RECOGNIZE THE SAFETY OF THE PROGRAM AND OF THE TEAM.
UH, THE TEAM HAVE, UH, ACHIEVED OVER 3 MILLION MAN HOURS.
UM, ON THE PROGRAM TO DATE, WE HAVE A REPORTABLE INJURY RATE OF 0.25 AGAINST AN INDUSTRY STANDARD OF 2.39 AND A, UM, REALLY IMPRESSIVE LOST TIME INJURY RATE OF ZERO AGAINST AN INDUSTRY STANDARD OF 1.2.
SO FANTASTIC WORK DONE BY ALL OUR CONTRACTORS AND THE TEAM ON SAFETY.
UH, WE HAD A SAFETY WEEK, UM, THAT WAS CELEBRATED ON ONE OF OUR PROJECTS, HENSEL PHELPS, A A NATIONWIDE, A HUGE CONTRACTOR THAT'S DELIVERING THE FIS AND ICP PROJECT, CHOSE OUR PROJECT TO BE THEIR SAFETY WEEK, UM, SITE FOR, UH, THE WHOLE OF THE NATION.
AND WITHIN THAT, WE WERE FORTUNATE ENOUGH TO HAVE MAYOR TURNER JOIN US, AND SAFETY AWARDS WERE PRESENTED FOR LEADERSHIP IN THE WORKPLACE.
AND IT WAS A REALLY GREAT EVENT.
AND YOU CAN SEE SOME OF THE PHOTOS THERE.
AND SO I'M GONNA TAKE YOU THROUGH A QUICK OVERVIEW TO REMIND EVERYONE OF WHAT WE'RE DESIGNING.
SORRY, YOU CAN GO AHEAD WITH THE VIDEO.
AND SO WE HAVE A NEW EXPANDED, UH, INTERNATIONAL RIVAL.
SO DO NOT ONLY DOES IT PROVIDE THE LATEST IN WAY FINDING AND SAFETY MEASURES, BUT IT EXPANDS OUR ROADWAY CAPACITY BY 30%.
AND IT'S GONNA HAVE A REAL GREAT FRONT DOOR ENTRANCE TO, UM, OUR NEW INTERNATIONAL TERMINAL WITH A REALLY DRAMATIC, UM, FORECOURT AND, UM, OVERARCHING COVER, WHICH YOU CAN SEE SOME OF THE ARTWORK, WHICH WILL BE SEEN THROUGH THE GLASS AS YOU ENTER THE NEW TICKETING HALL.
THERE'S THE OCULUS I MENTIONED EARLIER, WHICH IS A HUGE OVAL SPACE THAT ALLOWS NATURAL LIGHT TO COME IN, IN ALL THE WAY FROM THE CEILING, ALL THE WAY DOWN INTO ARRIVALS, BIG EXPANSIVE TICKETING SPACE WITH OUR LATEST BACKDROPS AND HUGELY, UM, OPEN AIRY SPACE FOR OUR PASSENGERS AND HOPEFULLY DE-STRESS THE, THE PASSENGER EXPERIENCE.
WE HAVE THE LATEST IN OUR SELF-SERVICE BACKDROP THAT'LL BE, UM, INSTALLED AS WELL AS TICKETING FACILITIES WITHIN THE PASSENGER TICKETING AREA.
UM, IF IT'S EASIER, WE CAN JUST MOVE ON FROM THE, FROM THE VIDEO TO THE NEXT SLIDE.
UM, WHILST WE TRY AND DO THAT, IF YOU WOULD LIKE TO GO TO SLIDE 11.
SLIDE 11 SHOWS US SOME OF THE PROGRESS PHOTOS, UM, ASSOCIATED WITH THE TERMINAL D REFURBISHMENT.
UH, SO REALLY EXCITING TO SEE.
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NEW FLOORING AND CARPETING GOING DOWN THE HOLD ROOM GATE, UH, PORTALS.THE NEW DESKS ARE BEING INSTALLED.
UM, NEW CEILING IS GOING IN AND IT'S REALLY TRANSFORMING THE SPACE AND IT'S REALLY BRIGHTENING UP WHAT IS A VERY OLD FACILITY, AND WE'RE PRETTY EXCITED WITH THE WAY, UM, IT'S COMING TOGETHER.
AND IF YOU MOVE ON TO SLIDE 12, YOU CAN SEE SOME OF THE NEW FLOORING, UH, THAT'S BEEN INSTALLED IN THE CONNECTOR AND A REFURBISHED, UH, GATEHOUSE, VERTICAL CIRCULATION CORE THAT TAKES YOU DOWN TO THE AIRCRAFT WITH NEW LIGHTING, NEW LED LIGHTING, NEW FLOORS AND WALLS.
SO IT'S REALLY COMING TOGETHER NICELY IF YOU MOVE ON TO SLIDE 13.
SLIDE 13 SHOWS US WHAT OUR NEW, UM, WHAT WE'RE CALLING THE SEA KNUCKLE.
IT'S OUR NEW, UM, ENTRANCE TO THE D WEST PIER THAT'LL HAVE ALL OUR CONCESSIONS AND REALLY EXCITING HARMONY IN THE STAGE.
UM, AND SO GREAT PROGRESS IS GOING ALONG IN TERMS OF CREATING THE WHITE BOXES FOR OUR CONCESSIONAIRES.
AND WE'RE PRETTY EXCITED ABOUT HOW THE SPACE IS GONNA COME TOGETHER.
FOUND A LOT OF SURPRISES AS WE DEMOLISHED THE FLOORING AND WALLS ABOUT A NUMBER OF LAYERS, BUT WE'RE PRETTY EXCITED WITH THE, THE PROGRESS OUR CONTRACTORS IS MAKING AND OVERCOMING THOSE CHALLENGES.
SLIDE 15 SHOWS US WHAT THE NEW, UH, THE RENDERINGS OF WHAT THE NEW P WILL LOOK LIKE.
UM, AND YOU CAN SEE BOTH FROM AN EXTERNAL INTERNAL PERSPECTIVE.
AND THEN AS WE MOVE ON TO SLIDE 16, YOU'LL SEE THE LIGHTNESS OF, UM, THE ACTUAL AERIAL DRONE FOOTAGE THAT WE HAVE.
SO IN SLIDE 16, YOU CAN SEE THE CONCOURSE IS FULLY DEVELOPED IN ITS ENTIRE FORM WITH THE, THE ROOF'S ELEMENTS ALL GETTING COMPLETE.
THE, UM, ALL THE FACADES, UM, ARE GOING IN BOTH AROUND THE VERTICAL CIRCULATION CORE AND ALL THE GLAZING.
IN TERMS OF SLIDE 17, WE'LL SHOW YOU A SIDE BY SIDE OF HOW THE PROGRESS HAS BEEN MADE WITH THE, THE, THE WHOLE CONCOURSE IN AND OF ITSELF.
SLIDE 18 HAS SOME GREAT RENDERINGS, SORRY, GREAT PHOTOS OF THE ACTUAL STRUCTURE ITSELF.
I'LL JUST WAIT FOR THE SLIDES TO CATCH UP.
UM, SO IF YOU GO TO SLIDE 18, THE NEXT SLIDE PLEASE.
UM, YOU CAN SEE, UM, THE GLAZING SYSTEMS THAT ARE GOING IN IN TERMS OF THE, UM, THE HIGH ELEMENTS AS WELL AS THE WHOLE STRUCTURE OF ITSELF AND THE AMOUNT OF ACTIVITY.
WE'RE REALLY IMPRESSED WITH OUR CONTRACTORS AND THE, AND THE PACE WITH WHICH THEY'RE NOW MOVING.
AS YOU GO OUT ON SITE, YOU SEE ALL THIS REALLY BUSY YEARS, A LOT OF PEOPLE OUT THERE DESPITE THE HEAT, AND WE'RE DOING EVERYTHING WE CAN TO HELP THOSE OPERATIVES.
AND I JUST WANNA TAKE A MOMENT TO THANK ALL THOSE WORKING OUT ON THE HEAT RIGHT NOW AND, AND MAKING THIS PROJECT SUCH A GREAT SUCCESS.
UM, BUT AS YOU CAN SEE, GOOD PROGRESS BEING MADE THERE.
AND, AND OBVIOUSLY THESE PHOTOS ARE A LITTLE BIT OLD, BUT WE'VE GOT SOME GREATER, GREATER PROGRESS SINCE THEN.
HERE'S A REAL SHOT OF THE, UM, ARRIVALS LEVELS STERILE CORRIDOR LEVEL, AND SHOWING YOU THE SHEER EXPANSE OF WHAT THE, THE NEW PIER IS GONNA LOOK LIKE.
NEXT SLIDE SHOWS THE PROGRESS WE'RE MAKING ON THE VERTICAL CIRCULATION CORES THAT CONNECT THE AIR BRIDGES TO THE FACILITY.
UM, AND THE FACADES ARE, IN FACT, A LOT OF THEM ARE LARGELY CLOSED UP NOW, THIS IS A, A RELATIVELY OLD PHOTO OF A NUMBER OF WEEKS AGO.
UM, AND SO FANTASTIC PROGRESS HAS BEEN MADE THERE.
WE EVEN HAVE SOME, THE AIR BRIDGES THAT HAVE BEEN INSTALLED.
UM, SO IF WE GO TO THE NEXT SLIDE, PLEASE.
HERE WE SEE, UM, THE STERILE CORRIDOR.
UM, WE, WE PRESENTED A NUMBER OF TIMES, UM, THE PROGRESS THAT WAS MADE THERE WITH SOME REALLY INNOVATIVE CONSTRUCTION TECHNIQUES, UM, LIFTING HUGE PIECES TOGETHER, BUT IT'S COMING TOGETHER NICELY.
WE JUST LEFT SOME KEY PIECES OFF AS WE LET THE NATURAL LIGHTS AND AIR AND UNTIL THE AIR CONDITIONING GETS CONNECTED.
SO THE NEXT, THE NEXT ELEMENT, AND YOU'LL REMEMBER FROM SOME OF THE PRESENTATIONS PREVIOUSLY IS OUR WEST WALL, UM, WITHIN THE NEW PIER WAS DESIGNED IN A UNIQUE WAY.
IT WAS DESIGNED TO PROVIDE A FEATURE AS WELL AS MITIGATE SOME OF THE HEAT AND SOLAR GAIN FROM THE WEST WALL.
AND WE HAVE THIS MODELED DEFECT WALL, UM, AND WE ARE PRETTY EXCITED ABOUT THAT.
AND NOW WE ARE ABLE TO SEE IT IN REAL.
YOU CAN SEE THE, THE GLASS COMPONENTS HAVE GONE IN, UM, AND IT'S REALLY TAKING SHAPE.
AND WE'VE GOT SOME GREAT PHOTOS OF THAT JUST NOW IN A, IN A SMALL VIDEO.
AND THEN YOU CAN SEE TWO OF THE AIR BRIDGES THAT HAVE BEEN INSTALLED, UM, READY TO GO FOR COMMISSIONING.
THERE'S ONE OF OUR TEAM MEMBERS, UM, PART OF ELIANA'S TEAM ACTUALLY REALLY EXCITED ABOUT THE WALL AND THE WAY IT'S LOOKING.
SO WE HAD A HUGE, UH, CELEBRATING MOMENT AS THAT WALL GOT COMPLETE.
AND HERE'S A BRIEF VIDEO THAT KIND OF, UM, SHOWS YOU WHAT WE'VE DONE WITH INSTALLATION, UM, OF OUR BOARDING BRIDGES, UM, AND THE, THE WALL ITSELF.
SO THIS IS A REAL IMPORTANT KEY MOMENT TO HAVE AIR BRIDGES BEING INSTALLED.
YOU CAN THERE, SEE THE, THE DIFFERENT COMPONENTS OF THE, OF THE WALL UNIT, SYSTEM FEATURE WALL UNIT SYSTEM GOING IN.
UM, WITHIN THAT WE ALSO HAVE SOME GREAT, UM, LED LIGHTING ON THE INSIDE OF IT THAT REALLY TAKES, UH, OVERNIGHT.
IT, IT, IT ALLOWS US TO PROJECT DIFFERENT COLORS AND IMAGES, UM, FROM THE INSIDE OF THE WALL.
IF YOU WOULD LIKE TO SKIP THE VIDEO, IT'S BASICALLY, IT'S, IT'S ALMOST DONE.
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IT'S JUST SOME VIDEOS OF THE AVERAGES BEING LOWERED IN.WE DON'T HAVE THAT REALLY GOOD HIGH SPEED INTERNET IN THE CHAMBER, SO WE APPRECIATE YOUR PATIENCE.
OKAY, SO IF WE, UH, MOVING ON TO SLIDE 26.
SLIDE 26 JUST SHOWS THE TWO RENDERINGS OF WHAT OUR NEW CENTRAL PROCESS WILL LOOK LIKE ALONG WITH OUR OCULUS, LIKE YOU TO TAKE A LOOK AT THAT OCULUS.
AND I'M GONNA SHOW YOU THE PROGRESS HAS BEEN MADE ON SITE WITH THAT.
SO MOVING ON TO THE NEXT SLIDE, SLIDE 27.
THIS IS, UM, SHOWING THE PROGRESS OF THE NEW CENTRAL PROCESSOR.
WHAT YOU'RE SEEING IS THE STEEL WORK GOING IN, UH, IN FRONT OF THE OLD TERMINAL E FACILITY.
UM, AND THE, THE DIRT PATCH IN FRONT WILL BECOME OUR NEW ARRIVALS AND DEPARTURES, UH, FORECOURT.
UH, WE'RE REALLY, REALLY IMPRESSED WITH THE WORK THAT'S GOING ON HERE.
THIS SITE IS REALLY CONSTRAINED.
WE'VE GOT OPERATIONS AND PEOPLE HAPPENING NORTH, SOUTH, EAST, WEST, UH, BELOW US EVEN.
AND THEN WE HAVE HEIGHT RESTRICTIONS ABOVE US WITH THE SKYTRAIN AND THE TOWER.
SO IT'S A REALLY CONSTRAINED SITE.
IT'S, IT TAKES A HUGE AMOUNTS OF SKILL TO CONSTRUCT THERE.
AND AS YOU CAN SEE IN THE BOTTOM RIGHT HAND CORNER, THERE'S AN, A SCREENSHOT OF THE ACTUAL SHAPE OF THE OCULUS THAT'S BEING FORMED, UH, AS THE STEELWORK IS GOING IN AND THEY'RE MOVING INCREDIBLY FAST.
AND SO WE'RE REALLY IMPRESSED WITH THE WORK THAT'S HAPPENING ON SITE, BOTH WITHIN THE BUILDING AND WITHOUT.
UH, SO WHAT THIS SLIDE SHOWS, AND IT'S JUST TRYING TO ILLUSTRATE SOME OF THE INTRICACIES AND THE RISKS OF WHAT WE'RE TRYING TO CONSTRUCT.
THESE ARE SIGNIFICANT HUGE STEEL GIRDERS, 85,000 POUNDS STEEL BEAMS. THERE'S FIVE OF THEM.
THEY STRADDLE A OPERATIONAL TUNNEL, ALLOWS US TO BUILD THE STEEL ABOVE IT AND PROTECT SOME KEY UTILITIES.
AND AGAIN, THIS WILL REQUIRE SIGNIFICANT SURGICAL PRECISION TO DROP THESE INTO PLACE, UM, AND TO INSTALL IT SAFELY AND AGAIN, SHOWS THE, THE COMPLEXITY OF WHAT WE'RE TRYING TO ACHIEVE.
SLIDE 29, ANOTHER EXCITING SLIDE.
IT DOESN'T LOOK THAT AMAZING, BUT THE BLUE AND YELLOW, THERE IS A BAGGAGE SYSTEM.
AGAIN, A HUGE CRITICAL PIECE TO OPENING A NEW TERMINAL.
AND IT'S ONE OF THE HIGH RISK AREAS.
SO WE CAN SEE THE BAGGAGE SYSTEM GOING IN ON THE RIGHT.
THEN, UH, AGAIN, NOT A, NOT A VERY IMPRESSIVE PHOTO, BUT WHAT IT SHOWS IS OUR TIERS A AND OUR TENANT SPACE.
SO BEING FORMED AND FITTED OUT.
AND THAT'S, THAT'S HUGELY IMPORTANT FOR, FOR THE OPENING.
UM, AND THEN THE NEXT ONE IS ANOTHER VIDEO.
IT'S A DRONE FOOTAGE THAT SHOWS PROGRESS, UM, OF THE SITE, UM, AND HOPES TO GIVE YOU A FLAVOR.
WE'VE HAD A NUMBER OF, UH, A NUMBER OF PROGRESS, UH, SINCE THEN.
BUT ON, ON THE RIGHT THERE, YOU SEE, THAT'S THE SITE BEING PREPARED.
ALL THE PILES ARE DONE FOR OUR NEW BAGGAGE FACILITY HERE.
WE HAVE THE FLY THROUGH OF THE ACTUAL NEW CENTRAL PROCESSOR.
THERE'S THE NEW PARKING DECK THAT WE'VE INSTALLED.
AND THE CONSTRUCTION, YOU CAN SEE THE CONCRETE'S BEEN POURED LARGELY COMPLETE NOW.
UM, SO WE'RE PRETTY EXCITED ABOUT THAT.
AND THIS WILL REALLY PROVIDE A PRESSURE RELIEVER FOR THE PARKING, UM, CONSTRAINTS THAT WE HAVE.
SO VERY EXCITED FOR, FOR THE PROGRESS THERE.
AND AS WE FLY THROUGH, YOU CAN SEE THE CRANE AND THE SITE.
YOU CAN SEE OPERATIONS HAPPENING ON THE LEFT AND RIGHT.
UH, YOU CAN SEE HOW MUCH STEEL PROGRESS HAS BEEN MADE SINCE THEN.
UH, THOSE BIG WHITE BLOCKS, THEY'RE LIKE LEGO, THEY'RE BIG POLY, UH, ELEMENTS TO FILL IN THE BASEMENT, UM, AS WE CONSTRUCT THESE HUGE FOOTINGS.
AND THEN FILL IN THE, THE WALL, THE, THE SPACE PRIOR TO CLOSING IT UP.
UM, VERY CONSTRAINED SITE TO GET THE STEEL AND THE CRANE MOVEMENTS.
WE'VE GOT AN OPERATIONAL A PM ON THE, ON THE LEFT THERE.
AND, AND THAT'S A HUGE CONSTRAINT FOR US AS WE CONSTRUCT THE BUILDING.
YOU CAN SEE THE FOUNDATION WORK FOR OUR NEW ARRIVALS CURB, UH, AS THE WALL IS THE DEPARTURES CURVE.
THAT'LL BE CONSTRUCTED ABOVE THAT ON THE RIGHT THERE, THAT BIG GRAY PIECE.
THAT'S AN OPERATIONAL UNITED BAGGAGE SYSTEM.
SO HUGELY CRITICAL THAT WE WORK SAFELY AROUND THAT AND KEEP THAT OPERATIONAL.
AND HERE YOU CAN SEE THERE'S AN EXISTING FOOTING IN THE, IN THE MIDDLE OF THE PICTURE THERE THAT WE ARE REUSING.
UM, AND YOU CAN JUST LOOK AT THE, THE, THE SIZE OF THE, THE SPACE WHEN YOU LOOK AT THE OPERATIVES WORKING THERE AND THE WORK WE ARE HAVING TO DO, UM, IN SUCH A CONSTRAINED AREA, UH, TO BUILD LARGE SCALE CONSTRUCTION.
SO HENCE THE PHELPS ARE DOING A REALLY IMPRESSIVE JOB CONSIDERING THE RISKS AND THE SAFETY BOX WITHIN A BOX.
AND IT'S A, AS I MENTIONED WITH THE QUBITS, A BOX WITHIN A BOX.
IT'S REALLY COMPLICATED AND THE TEAM ARE DOING AN AMAZING JOB.
AND I, I JUST WANNA, THE, THE CONSTRAINTS AND THE SURPRISES WE FOUND IN THE UNDERGROUND HAVE BEEN SIGNIFICANT, BUT THE TEAM HAVE, HAVE ROLLED WITH IT AND BEEN REALLY FLEXIBLE.
SO, BRIEF OVERVIEW OF SOME OF THE ENABLING PROJECTS THAT ARE COMPLETE, UM, AND ALMOST
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COMPLETE.SO THIS NEXT SLIDE, PLEASE, IS THE, UM, PARKING STRUCTURE.
THE ADDITIONAL TWO LEVELS WE'RE CONSTRUCTING ON TOP OF THE SEA PARKING GARAGE.
UM, HUGE PROGRESS BEEN MADE THERE.
UM, YOU CAN SEE A GREAT SHOT THERE OF THE GUYS POURING CONCRETE, UM, ON THE RIGHT, BUT ON THE LEFT YOU CAN SEE A HUGE AMOUNT OF IT'S ALREADY POURED.
UM, AND SO THAT'S MAKING GREAT PROGRESS.
HERE WE HAVE THE, UM, BASICALLY THERE ARE TWO WATER TANKS.
UH, THEY EACH 1.2 MILLION GALLONS OF WATER.
SO 2.4 MILLION GALLONS WILL BE HOUSED AND STORED ON SITE, UH, SUPPLIED BY A WELL THAT THEY'VE DUG WITH THE PUMPING STATION THAT, UH, OBVIOUSLY CHLORINATE AND TREATS THE WATER.
THIS WILL PROVIDE US WITH A SIGNIFICANT BACKUP SHOULD THE WATER PRESSURE DROP OR ANYTHING CATASTROPHIC.
SO IT REALLY PROTECTS US, OUR CENTRAL TERMINAL AREA, BOTH FROM A OPERATIONAL STANDPOINT OF TOILETS AND THE LIKE, BUT MORE IMPORTANTLY, FROM OUR FIRE SUPPRESSION SYSTEMS, UM, THE, WE'LL BE ABLE TO PUMP ABOUT FOUR AND A HALF THOUSAND GALLONS A MINUTE.
UM, SO IT'S A HUGE, HUGE PIECE OF, UM, WORK THAT'S BEING DONE THERE.
AND THESE ARE PRETTY FASCINATING, THE WAY IN WHICH THEY CONSTRUCT, THESE ARE CONCRETE AND THEY PUT A STEEL RING AROUND IT, UM, OF CABLES, AND THEN THEY PUT MORE CONCRETE OR SHOT CREEK ON AND THEY DO IT AGAIN.
UM, AND IT'S, IT'S GONNA LAST A HUNDRED YEARS, SO IT'LL BE THERE LONG, LONG, LONG TIME.
AGAIN, HERE'S OUR REGIONAL DETENTION POND.
UM, IT'S, UH, YOU KNOW, 2.2 MILLION CUBIC FEET.
UM, AND WE'VE ALREADY SEEN THROUGH SOME OF THE HUGE RAINS THAT WE'VE HAD OVER THE LAST COUPLE OF MONTHS, THIS REALLY FILL UP AND, AND HAVE A HUGE IMPACT ON OUR ABILITY TO CONTROL THE, THE OUTFLOW OF, OF WATER AS IT COMES OFF THE AIRFIELD INTO THE SURROUNDING AREA.
SO WE'RE REALLY IMPRESSED WITH HOW IT'S OPERATED, AND AGAIN, IT WAS A GREAT COORDINATED PROJECT.
THAT, THIS ONE, AGAIN, I'VE MENTIONED IT BEFORE, ONE OF MY PROUDEST ELEMENTS OF THE PROGRAM IN TERMS OF THE COMPLEXITY OF THIS, THIS WAS A RADIO TOWER ON TOP OF THE OLD PARKING STRUCTURE THAT WE HAD TO RELOCATE THAT HAD NOT ONLY 25,000 RADIO SUBSCRIBERS, BUT IT HAD NUMEROUS FEDERAL AND LOCAL, UM, AND STATES, UM, ENTITIES ALL UTILIZING IT.
AND IT WAS A MASSIVELY COLLABORATIVE EFFORT, UH, TO RELOCATE THAT WITH NO IMPACT AT ALL TO ANY OPERATIONS.
SO REALLY IMPRESSED WITH THE TEAM THERE.
AND SO WE'LL COME TO AN ICHIP UPDATE.
UM, THE ICHIP, UM, HAS PROGRESSED WELL.
UH, WE'VE BEEN ABLE TO MITIGATE A SIGNIFICANT COST IMPACTS THROUGHOUT THE, THE PROGRAM.
HOWEVER, DUE TO THE HYPERINFLATIONARY ENVIRONMENT THAT WE'RE SEEING SPECIFICALLY ON A LOT OF THE MEP ELEMENTS, UM, WE'RE, WE'VE SEEN SOME CHALLENGES THAT WE'VE HAVEN'T BEEN ABLE TO MITIGATE.
WE'RE SEEING AS AN INDUSTRY, THERE'S A 23% INCREASE IN OUR IN MARKET CONDITIONS ON ALL ELEMENTS, AND WE'VE BEEN ABLE TO MITIGATE THAT DOWN TO ABOUT 2.3%, WHICH IS A $31 MILLION INCREASE THAT WE'VE REALLY HAD TO, UH, BE A VICTIM TO, SO TO SPEAK.
IN TERMS OF THE, THE COVID SURGE AND THE, THE, THE UKRAINE WAR AND THE ELEMENTS THAT HAVE REALLY IMPACTED NOT ONLY STAINLESS STEEL, BUT A LOT OF THE MECHANICAL ELECTRICAL, BOTH IN TERMS OF THE COST, BUT THE LEAD TIMES.
AND SO WE'RE SEEING A, A $31.4 MILLION INCREASE THERE.
WE'VE INVESTED FURTHER IN $8.7 MILLION IN TRAFFIC MITIGATION AS WE USE OUR SOPHISTICATED TRAFFIC, UH, APPROACH, WHICH IS TO MODEL WHAT WE PLAN TO DO, TEST IT, AND THEN WE PUT THE TRAFFIC MITIGATIONS IN PLACE, UH, SO THAT WE CAN CONTINUE TO KEEP OUR PASSENGERS MOVING WHILE WE TRY AND DO THE SURGICAL CONSTRUCTION, UM, BORDER ON ALL SIDES BY VEHICLES MOVING.
AND THEN WE HAVE A LOT OF UNFORESEEN CONDITIONS.
YOU CAN SEE THAT BOTH IN TERMS OF EACH SITE, THE COMPLEXITIES OF WHERE WE'RE TRYING TO WORK THE CUBE WITHIN A CUBE.
UM, AND WE'VE FOUND A NUMBER OF UN UNFORESEEN CONDITIONS THAT HAVE HAD A $27 MILLION IMPACT, UM, FROM EVERYTHING FROM UNKNOWN UTILITIES TO DUCT BANKS THAT HAVE HAD TO BE RELOCATED TO OLD SHEET PILING THAT'S BEEN LEFT.
WE FOUND, UH, A NUMBER OF SIGNIFICANT ELEMENTS THAT WE'VE HAD TO CORRECT AND REMOVE PRIOR TO, UH, COMPLETING OUR WORKS.
AND AS WELL AS, YOU KNOW, WE'VE GOT A LOT OF OPERATIONAL NEEDS IN TERMS OF THE PHASING AND, UH, AND SHUTDOWNS THAT WE'VE HAD TO DO.
SO NOT ONLY ARE WE SEEING, UM, HUGE INCREASES IN THE INDUSTRY, WE'VE BEEN REALLY IMPRESSED WITH OUR CONTRACTORS TO MITIGATE THE COST TO THE ONLY WHAT WE'VE SEEN ON THE SCREEN.
BUT YOU CAN SEE IN THE BOTTOM RIGHT A SNAPSHOT OF SOME OF THE INDICES OF WHAT WE'VE SEEN IN TERMS OF INCREASES IN THE VARIOUS CONSTRUCTION ELEMENTS, UM, THROUGHOUT THE NATION.
THE NEXT SLIDE IS JUST THE GRAPHIC OF THE 1.36 MILLION, UH, BILLION DOLLARS BUDGET, WHICH HAS GONE UP TO $1.43 BILLION AGAINST THE THREE ELEMENTS THAT I JUST TALKED THROUGH.
NOW WE'LL CONTINUE TO MONITOR AND MITIGATE, UM, AS BEST WE CAN.
WE'VE, WE'VE MITIGATED AND ABSORBED OVER $29 MILLION IN ESCALATION ALREADY WITHOUT ANY COST INCREASE, UH, THROUGH SOME STRATEGIES AND THROUGH, UM, ELEMENTS THAT WE ARE PROVISIONED FOR.
UH, AND WE'RE GONNA CONTINUE TO, YOU KNOW, WORK WITH OUR CONTRACTORS TO MITIGATE THE COSTS AND, AND THE GOOD WORK THAT THEY'RE DOING.
SO SOME OF THE UPCOMING COUNCIL ACTIONS, UM, ONE MORE PLEASE.
UM, WE HAVE THE, UM, UH, MICHEL INTENTIONAL TERMINAL CONSTRUCTION MANAGER, RISK AND ARCHITECT ENGINEER, UM, FUNDS TO COMPLETE THE WORKS IN TERMS OF THE FINISHING THE PEER AND THE, THE COST INCREASES.
WE ALSO THEN HAVE OUR, UM, MAINTENANCE MEMORANDUM WITH THE TSA FOR OUR NEW
[00:25:01]
SECURITY CHECKPOINT BE COMING THROUGH, UM, IN, IN JUNE THIS YEAR.AND THEN WE HAVE IN THE, IN Q3, WE HAVE OUR FIS, UM, CONSTRUCT CONTRACTOR AND DESIGNER ADDITIONAL COSTS COMING THROUGH, AS WELL AS OUR YEARLY PMSS APPROPRIATION THAT'S WITHIN OUR BUDGET.
AND THEN THE CLOSE OUT OF OUR, UM, PER, UH, PROJECT MANAGEMENT BUILDING AS WELL AS, UH, WE HAD A UNITED REIMBURSABLE AGREEMENT THAT WE'VE BEEN ABLE TO, UM, DELIVER 13 MILLION UNDER, UH, WHAT WE ORIGINALLY PROVISIONED.
AND SO WE'LL BE DE APPROPRIATING THAT AND HANDING THOSE FUNDS BACK.
AND THEN IN 24, 25, WE'LL BE BACK WITH OUR, UM, YEARLY PMSS APPROPRIATION AND ALSO JUST CLOSE OUT OF OUR PROJECTS AS THEY COMPLETE.
GEEZ,
EVERY TIME YOU AND DIRECTOR DIAZ COME TO GIVE US AN UPDATE, I'M JUST BLOWN AWAY BY THE PROGRESS AND WHAT'S HAPPENING.
UM, BUT AS A, UH, PASSENGER, I KNOW THAT WE GET A LOT OF CALLS AND COMPLAINTS ABOUT THE CURRENT CONSTRUCTION, UM, YOU KNOW, AND, AND I'M TELLING PEOPLE, YOU KNOW, HANG ON, IT'S GOING TO GET BETTER.
AND SO I'M, I'M ALWAYS HAPPY WHEN YOU COME, UH, TO GIVE US AN UPDATE SO I CAN REALLY BE CONFIDENT WHEN I'M SAYING, HANG ON.
IT IS DEFINITELY GOING TO GET BETTER.
UM, WE DO HAVE A COUPLE OF COUNCIL MEMBERS IN THE QUEUE.
WE'LL START WITH, UH, COUNCIL MEMBER ALCORN.
THANK YOU CHAIR, AND THANKS FOR THE PRESENTATION.
I, I'M IMPRESSED WITH SLIDE 37.
UM, YOU'RE, YOU'RE SAYING THAT YOU'VE ABSORBED THE $29 MILLION IN ESCALATIONS.
REFRESH MY MEMORY FROM THE VERY BEGINNING OF THIS PROJECT, WHAT WAS THE ORIGINAL BUDGET? SO THE ORIGINAL BUDGET WAS 1.3 BILLION.
AND SO WE'RE, WHEN WE THINK ABOUT IT, WE ARE ABOUT 130 MILLION.
AND THEN ON SLIDE, UM, 39, SO ALSO, UM, COUNCIL MEMBER, SOME OF THAT INCREASE HAS ALSO BEEN ADDED ADDITIONAL SCOPE.
UM, SO IT HAS AN ALL COST INCREASE, NOT JUST OKAY, GOT IT.
CAN YOU EXPLAIN ON, ON SLIDE 40, THE, UH, 39, SORRY, THE, THE $12 MILLION PROGRAM MANAGEMENT SUPPORT SERVICES TEAM.
SO THAT, THAT IS, UM, SO WE HAVE A, A TEAM THAT, THAT, UM, IS SUPPLIED BY TWO OF OUR, UM, UH, TWO CON TWO CONSULTANTS, BASICALLY WITH THEIR PARTNERS WITH MWB.
YOU WANNA MAKE THE DISTINCTION BETWEEN TURNER TOWNS AND THE OTHER FIRMS. SO WE HAVE, I'M AN EXECUTIVE PROGRAM MANAGEMENT FIRM THAT'S THREE PEOPLE THAT'S, THAT MANAGES THE PROGRAM.
UH, WITH, UNDER THAT, THERE ARE TWO PROGRAM MANAGEMENT SUPPORT SERVICES TEAMS. UM, AND EACH, THOSE TEAMS PROVIDE THE FULL SUITE OF PROJECT MANAGEMENT MEMBERS, SO PROJECT MANAGERS, SAFETY, CONSTRUCTION INSPECTORS, WHATEVER WE NEED SCHEDULERS.
UM, AND SO THE WAY IN WHICH WE'VE APPROACHED THE APPROPRIATION FOR THAT TEAM IS EVERY YEAR WE COME BACK AGAINST OUR SET BUDGET WITHIN THE 1.3 OR ANOTHER $1.4 BILLION.
UM, AND SO THIS IS JUST OUR YEARLY APPROPRIATION.
IT'S NOT NECESSARILY INCREASE, IT'S JUST FOR THE TEAM FOR THE NEXT YEAR.
AND THEN WE COME BACK THE NEXT YEAR AND WHATEVER WE HAVEN'T SPENT, WE NET OFF AND ASK FOR THE NEW AMOUNT.
AND I, AND I WILL ADD, I, I FLEW IN ON MONDAY AND, UM, MADE A REALLY EASY TRIP IN SEA TO THE UBER LINE.
UM, GENTLEMEN, THANKS FOR BEING HERE.
AND, UM, AND I THINK YOU PASSED REALLY LIGHTLY AND QUICKLY OVER THAT, UH, 10% INCREASE DIRECTOR WHEN YOU MENTIONED THAT BECAUSE THERE WAS NOT ONLY, UH, HAVE THE PRICES HELD ADMIRABLY, I THINK THERE HAVE BEEN SOME EARLY VERY ADVANTAGEOUS PURCHASES, THE STEEL PACKAGE.
I KNOW YOU'VE MENTIONED TO ME BEFORE THEY GOT LOCKED IN, BEFORE PRICES ESCALATED, AND THE SUPPLY CHAIN, UH, SOME OF THOSE CHALLENGES CAME ABOUT.
SO NOT TRYING TO DEFEND YOU HERE, BUT JUST WONDERING, SINCE PART OF THAT ESCALATION WAS ALSO A REACTION AS, AS YOU HAVE EXPLAINED TO COUNCIL, AND IT'S A TOUGH THING TO EXPLAIN, BUT OPERATIONALLY WE MADE SOME FUNDAMENTAL CHANGES TO THE PROGRAMMING.
UM, SO MAYBE YOU COULD TALK ABOUT THAT BEFORE.
I HAVE A QUICK FINAL QUESTION, SO, SURE.
AND, AND I, AND I'M GONNA SPEAK ABOUT THIS, UH, A LITTLE BIT MORE EXTENSIVELY IN MY PART OF THE PRESENTATION.
UM, BUT WE'VE HAD SOME SIGNIFICANT CHALLENGES, NOT THE LEAST OF WHICH HAS BEEN, UM, TO YOUR POINT, UM, MADAM CHAIR, THE, THE FACT THAT MOVING PASSENGERS, UM, DURING THIS MAJOR CONSTRUCTION PROJECT HAS BEEN DIFFICULT.
UM, WE LIKE TO SAY THAT IT'S LIKE THE, YOU KNOW, THE, THE MARATHON RUNNER, UH, THAT'S BEING, THAT'S HAD, UH, HEART SURGERY BEING PERFORMED WHILE SHE'S RUNNING A MARATHON.
IT, IT, IT'S OF THAT, OF THAT, UH, ANALOGY.
AND, AND WHAT WE NEED TO DO IS BE BECAUSE OF THESE THINGS, UM, WE, WE HAD TO RETHINK A A LOT AND ACT QUICKLY.
SO, UM, BASED ON, YOU KNOW, OUR EXECUTIVE PROGRAM, MANAGEMENT TEAM GETTING TOGETHER AND IN THE VERY EARLY DAYS OF COVID AND UNDERSTANDING THAT WE NEED TO TAKE SOME ACTION.
[00:30:01]
FOR EXAMPLE, AMONG THE THINGS, SWITCH GEAR, YOU WOULD THINK, YOU KNOW, SWITCH GEAR FOR THESE BUILDINGS, SWITCH GEARS IS BIG, THE BIG CIRCUIT BREAKER BOXES THAT, BUT THEY'RE BIG, THEY'RE BIG CIRCUIT BREAKER BOXES.AND, AND YOU KNOW, YOU DON'T GO TO HOME DEPOT AND BUY ONE OF THESE PIECES OF CIRCUIT BREAKERS.
UM, THEY'VE GOTTA BE FABRICATED AND, AND THEY TAKE A LONG TIME.
AND WE'RE NOT THE ONLY ONES IN LINE FOR THESE.
EVERY BUILDING THAT EVER GETS BUILT HAS TO HAVE ONE OF THESE CIRCUIT BREAKERS OF A DIFFERENT SIZE AND DIMENSION, THE STEEL.
UM, SO A LOT OF THESE FORWARD, UM, ADVANCED PURCHASES THAT WERE MADE REALLY SAVED US.
AND, AND BY THE WAY, WE DID ALSO HAVE TO MAKE SOME CHANGES WHEN WE REALIZED WE COULD NOT GET STAINLESS STEEL, WE HAD TO MOVE TO SOME OTHER MATERIALS.
AND SO IT WON'T BE AS BEAUTIFUL AS WE WOULD LIKE IT TO BE, BUT IT WILL BE.
I MEAN, THE OVERALL IMPACT WILL STILL BE THE SAME.
SO THE QUICK QUESTION, KNOWING, KNOWING THAT OUR MAYOR PRO TEM IS RIGHT BEHIND ME IN THE QUEUE, WOULD YOU SAY OUT LOUD THAT WE ARE STILL ON TIME AND ON BUDGET? YES.
SO YOU DO HAVE SOME CHALLENGES OUT THERE.
I WAS THERE THREE DAYS LAST WEEK, INCLUDING LAST THURSDAY WHEN WE LOST, I GUESS IT WAS ELECTRICITY AND SEE AND HAD TO SEND EVERYBODY OVER TO BE, AND AIR CONDITION WAS OUT.
SO, UH, I, I EMPATHIZE WITH YOU ON YOUR CHALLENGES THAT YOU HAVE THERE.
I REMEMBER THIS BEING A LOT LESS EXPENSIVE THAN 1.3.
AND I'M GONNA GO BACK TO OUR INFAMOUS MEETING.
WHEN I FIRST MET MR. ANDERSON, IT WAS AT THE MARRIOTT WHEN YOU INTRODUCED THE FRAMEWORK OF THIS AND DAYS OF THE, WHAT I CALL THEM, THE FIVE WISE GUY, WISE MEN.
AND IT WAS ALL PROJECT MANAGERS.
YOU WERE GONNA HAVE FIVE PROJECT MANAGERS.
UM, AND MR. ANDERSON WAS ONE OF 'EM.
I THINK WE HAD FIVE AT THE TIME.
I THINK YOU'RE THE ONLY ONE LEFT.
BUT I THINK THE SCOPE HAS CHANGED A LOT, WHICH CAUSED THE, CAUSED THE ES EX ESCALATION IN THIS.
SO IT WAS A LOT LESS EXPENSIVE THIS THAN THIS THAN 1.3.
IT'S ALMOST SOUNDS LIKE THE WATER TREATMENT FACILITY, EVERY TIME WE EXPAND OUR SCOPE, OF COURSE IT'S GONNA COST US MORE MONEY.
BUT I THINK YOU'RE WORKING OFF OF A, CORRECT ME IF I'M WRONG, A DIFFERENT BENCHMARK WHEN YOU SAY 1.3 UP TO 1.4, BECAUSE ORIGINALLY WHEN WE TALKED ABOUT THIS, IT WASN'T AS GRANDIOSE.
IT WASN'T, WE DIDN'T HAVE THE FIS THAT WAS A SEPARATE, IT WAS, IT WAS A LOT DIFFERENT.
AND I'M, SO HOW LONG HAVE YOU BEEN HERE NOW, MR. ANDERSON? IT IS EIGHT YEARS.
SO IT WAS, YEAH, SORIO COUNCIL MEMBER.
BECAUSE I THINK LET'S, LET'S, SO LET'S TELL THE WHOLE STORY.
PRIOR TO 20 18, 20 19, THE PROGRAM WAS 1.5 BILLION 0.7, 1.7, 1.7, AND IT WAS TO BUILD A BRAND NEW TERMINAL.
THE, THE IDEA THERE WAS WE WERE GONNA TAKE DOWN THE OLD TERMINAL D AND WE WERE GONNA BUILD A BRAND NEW TERMINAL.
AND, UM, AT THAT TIME, I RECALL, UM, SITTING IN A BRIEFING ON THIS, ON THIS PROJECT, AND NOT, THINGS WEREN'T MAKING SENSE TO ME.
I'LL GIVE YOU A COUPLE OF EXAMPLES.
THE FIS WASN'T BEING ADDRESSED.
WE HAD ROADWAYS, UH, THAT WERE BEING MADE PART OF THAT.
UM, WE REALLY DIDN'T HAVE AN UNDERSTANDING OF WHO WAS GONNA USE THOSE ROADWAYS.
THE ROADWAYS FOR PICKUP OF THE INTERNATIONAL WASN'T CHANGING, THE CURBS WEREN'T CHANGING WHATEVER.
AND, AND I BASICALLY SAID, MIA CULPA, I'M RESPONSIBLE FOR THIS.
SO I CAME BACK, I, I, I, I MADE THIS POINT TO THE MAYOR BACK IN 20 18, 20 19.
I SAID, WE'VE GOT TO MAKE A CHANGE IN DIRECTION.
AND SO WE SENT OUR PLANNERS BACK AND WE SAID, LOOK, WE'VE GOTTA HAVE A COMPREHENSIVE SOLUTION.
THE SOLUTION THEY CAME BACK TO ESSENTIALLY SAID, KEEP THE TERMINAL D AS IT IS, BUILD A NEW PROCESSOR BUILDING, TEAR DOWN THE PARKING GARAGES, BUILD A NEW PROCESSOR BUILDING, AND WE CAN LOWER, WE COULD STILL LOWER THE PRICE FROM 1.7 TO 1.3.
SO IT WAS 2019 THAT WE ESTABLISHED A BUDGET AT THE NEW BUDGET AT 1.3 BILLION.
AND SO NOW WE ARE BACK UP TO 1.43, WHICH IS ESSENTIALLY 130 MILLION, WHICH IS 10%.
AND I KNOW THAT WE HAVE A, UM, I'M NOT SURE IF IT'S A REISSUANCE OR A NEW ISSUANCE ON THE 28TH.
WE'RE PRICING THE BONDS ON THE 28TH.
SO, AND THAT IS, HOW MUCH IS THAT? $750 MILLION.
UM, A PIECE OF THAT IS TO FIND, TO COMPLETELY FIX THE FINANCING FOR IP.
AND THEN THERE ARE SOME REFUNDINGS THAT WE'RE DOING ON SOME, UM, ORIGINAL BONDS.
20, UH, UH, 20, UH, UH, UH, OH 3 20, 20 20 0 2 BONDS THAT WERE AT, AT THE TIME IN HIGH INTEREST ENVIRONMENTS THAT WE'RE GOING TO TAKE OUT WITH LOWER DEBT.
SO SEVEN 50 NEW ISSUANCE, NEW MONEY OR REISSUANCE ON THE 28TH.
SO ABOUT 550 OF THAT IS NEW MONEY.
[00:35:01]
AND ABOUT 200 AND 250 MILLION OF THAT IS, IS THE REISSUANCE, OR, I'M TRYING TO, I'M TRYING TO UNDERSTAND THE DEBT SERVICE ON THE ENTIRE SCOPE OF THE AIRPORT.THE DEBT SERVICE DEBT, SIR, HOW MUCH DO WE OWE HOW WE HAVE BONDS OUT THERE? SO TODAY WE ARE AT ABOUT 2.4, 2.3 2.4 BILLION.
SO WE ADD, AND, AND BY THE WAY, IT'S NOT, YOU DON'T ADD SEVEN 50 BECAUSE 250 OF THAT IS ALREADY OUTSTANDING.
SO BE, WE'LL BE CLOSE TO $3 BILLION, 2.8, $2.9 BILLION.
3 BILLION DEBT SERVICE AND NO, THAT, THAT'S OUTSTANDING DEBT.
SO IF THE DEBT SERVICE, IF YOU WANT TO QUICK YEAH, I MEAN, I DON'T HAVE THE ACTUAL DEBT SERVICE NUMBERS, THAT'S FINE.
BUT JUST TAKE AMATE AND TAKE A A, A CONSTANT OF 10% AND YOU'RE ABOUT $30 MILLION A YEAR.
SO ABOUT 30 MILLION RIGHT? PER YEAR TERM.
AND THEN THAT 30 MILLION, WHAT WE DO IS WE APPLY, UH, PFCS TO WRITE DOWN THE AMOUNT OF ACTUAL PAYMENTS.
SO WE USUALLY COME OUT WITH A NET, UM, PAYABLE DEBT SERVICE FROM OPERATING REVENUES OF ABOUT 250 TO TWO 75 MILLION.
AND, AND THE WORK HAS TO BE DONE.
I MEAN, IT'S GONNA BE A PHENOMENAL PROJECT.
I, I HATED SITTING IN LINE FOR AN HOUR, GONNA PICK UP MY DAUGHTER LAST WEEK, BUT I HIT IT AT A BAD TIME.
UH, LIKE YOU SAID, IT'S LIKE A MARATHON RUNNER RUNNING WITH A HEART TRANSPLANT.
BUT, UM, WHAT, WHAT WORRIES ME IS ABOUT, UM, YOU KNOW, THE DEBT THAT WE KEEP INCURRING, BUT THE PAYMENT SCHEDULE THAT GOES WITH IT.
I'D LOVE TO SEE MORE INFORMATION ON THE FINANCES OF IT.
AND WHAT IS OUR, OUR BOND RATING GOING INTO THE 28TH OF A PLUS? A PLUS A ONE.
WE WE'RE GONNA MOVE ON TO OUR NEXT PRESENTATION.
YOU DON'T CARE ABOUT THANK YOU.
NEXT, UM, DIRECTOR, WE'RE READY FOR YOUR PRESENTATION.
ON THE MAJOR PROGRAMS MANAGEMENT APPROACH, FOLLOW UP.
UM, OKAY, DIRECTOR, JUST WANT KNOW REAL QUICK, SINCE YOU TALKED ABOUT THAT MOMENT, IT, THE MEA CULPA, THE MOMENT WHEN THE LIGHT BULB WENT OFF, IT WAS GONNA BE LEVEL OF SERVICE, WAS GONNA BE C MINUS OR A D, IT WAS UNSATISFACTORY.
YOU COULDN'T GO FORWARD WITH IT.
WHAT'S KEEPING YOU UP AT NIGHT NOW? IS THERE ANYTHING THAT WE NEED TO BE WORRIED ABOUT? I'M ABOUT TO TELL YOU
SO, UM, WE'VE HAD A NUMBER OF SUCCESSES.
I MEAN, DESPITE OF COVID AND THE DISRUPTION TO SUPPLY CHAIN AND, AND ALL OF THE DIFFICULTIES OF CONSTRUCTING IN ON THE CDE CIRCUIT, UM, ON WORKING WITH OUR PARTNERS AT UNITED THAT WERE BUILDING THIS EARLY BACK STORAGE BUILDING.
WE ARE BUILDING, YOU KNOW, THE NEW INTERNATIONAL TERM WITH THE PROCESSORS IN THE CENTER OF, OF A ROADWAY, UM, THAT, THAT DELINEATES THE NORTHBOUND SIDE FROM THE SOUTHBOUND SIDE ON THAT CIRCUIT.
WITH ALL OF THESE CHALLENGES, WE ARE NOW SEEING THE LIGHT AT THE END OF THE TUNNEL, AS MR. ANDERSON HAS POINTED OUT.
LATER, UM, THIS SUMMER, YOU WILL BE INVITED OUT FOR OUR FIRST OPENING, WHICH WILL BE THE NORTH, UM, UH, GATE CONCOURSE, WHICH IS THE RE LIFEING AND RENEWAL OF THE, OF THE EXISTING CONCOURSE BUILDING WITH THE NEW GATES AND ALL OF THE NEW, UH, FINISHES IN THAT, IN THAT CONCOURSE.
UM, AND THEN BY THE END OF THE YEAR, YOU WILL SEE THE ACTUAL OPENING OF THE NEW D WEST PIER.
AND THOSE TWO COMPONENTS WILL BE FINISHED.
AND, AND IN EARLY PART OF 2024, YOU'LL SEE THE PARKING GARAGE OPEN.
AND THEN OVER THE COURSE OF THE YEAR, THE PROCESSOR BUILDING WILL BE FINISHED.
AND I TRIP IS BEHIND US, BUT WHAT LIES AHEAD AND WHAT KEEPS ME UP AT NIGHT TO ANSWER YOUR QUESTION, IS THAT NOW WE'RE ON THE AB CIRCUIT, WHICH IS IF YOU COME UP JFK OR YOU COME ACROSS, UH, WEST, UM, UM, THE, THE, UM, THE, THE PARKWAY COMING INTO THE AIRPORT, UM, WHAT YOU SEE IS THAT ESSENTIALLY WE HAVE TWO CIRCUITS.
IF YOU'RE GOING INTO TERMINAL A, TERMINAL B, AND THERE'S A CD CIRCUIT, IF YOU GO INTO, UM, TERMINAL C, D, OR E, WE'RE NOW GONNA FOCUS OUR ATTENTION ON THE AB CIRCUIT TO SAY WHAT I THINK A WEEK OR TWO WEEKS AGO, UNITED AIRLINES KING BEFORE YOU AND MADE THEIR PRESENTATION, THEY'RE GOING TO COMPLETELY REPLACE TERMINAL B, I MEAN COMPLETELY.
THEY'RE GONNA CREATE 36 NEW NARROW BODY GATES ON THE NORTH TO HANDLE H THREE 20 NEOS AND 7 37 MAXES.
AND THEY'RE GONNA THEN BUILD 14 GATES ON THE SOUTH
[00:40:01]
AND A NEW PROCESSOR BUILDING.THE, THE TERMINAL B IS GONNA BE COMPLETELY RENOVATED AND EXPANDED, AND WITH AN ESSENTIAL SUPPLEMENTAL PROCESSOR FOR DEPARTING TRAFFIC AND NEW CURBS TO BASICALLY CONTAIN ALL THE VEHICLES.
AT THE SAME TIME, WE ARE GOING TO BE REBUILDING TERMINAL A.
THERE IS SIGNIFICANT PENT UP DEMAND FOR TRAVEL AND THE TERMINAL A CARRIERS HAVE ALSO, AND ALSO DO WANT TO EXPAND THEIR OPERATIONS IN HOUSTON.
SO THEY'RE ASKING FOR AN ADDITIONAL 17 GATES.
HOW DO WE PUT 17 GATES INTO TERMINAL A? WE HAVEN'T FIGURED IT OUT YET.
WHY? IT'S NOT THAT YOU CAN'T BUILD BUILDINGS, BUT UNDERSTANDING HOW AIRPORTS WORK, YOU START OUT WITH THE AIRFIELD, YOU THEN FOCUS ON THE TERMINAL AND THE GATES.
YOU COME INTO THE TERMINAL ITSELF WITH THE PROCESS.
AND THEN YOU'VE GOTTA LOOK AT THE ROADWAYS AND THE CURBS.
AND THE FIRST PROBLEM THAT WE'RE HAVING, WHERE WE'RE ENCOUNTERING IS THAT THE CURB CAPACITY ISN'T, MA DOESN'T MATCH WHAT WE HAVE TODAY IN TERMS OF GATE CAPACITY.
SO ONE OF THE VERY FIRST THINGS WE'VE GOTTA DO IS WE'VE GOTTA EXPAND THE CURBS OF TERMITE FOR 23 GATES, BUT IN FACT WE NEED 30 GATES.
SO WE'VE GOTTA GO BEYOND THAT.
AND SO WHAT WE NEED TO DO IS WE NEED TO START THINKING VERY, VERY CAREFULLY AND CLOSELY ABOUT HOW WE PROPOSE TO MANAGE THE TERMINAL A, TERMINAL B.
IT WAS REFERENCED EARLIER TO THE FACT THAT WE'VE GOT THE CENTRAL UTILITY PLANT.
IT'S GONNA BE ABOUT A HUNDRED MILLION DOLLARS AND WE'RE READY.
WE'LL BE BRINGING TO COUNCIL A CONTRACT FOR ROUGHLY A HUNDRED TO $110 MILLION FOR THE REBUILD EX COMPLETELY REPLACEMENT OF MANY OF THOSE CHILLERS, NEW ELECTRICAL SWITCH GEAR, NEW CABLING, ADDITIONAL POWER, TAKING OUT SOME OF THOSE OLD INEFFICIENT, UH, STEAM BOILERS AND REPLACING THEM WITH MODERN ELECTRICAL, UM, CHILLERS TO MAKE SURE THAT WE HAVE THE CAPACITY, NOT JUST FOR WHAT WE HAVE IN PLACE TODAY, BUT WHAT WE WILL BE PUTTING IN PLACE TOMORROW, INCLUDING UNITED AIRLINES.
MAJOR EXPANSION OF TERMINAL B.
AND THEN WE'VE GOT THE SKYWAY, 25 YEARS OLD, WE HAVE TO REPLACE IT.
YOU GOT THE SUBWAY, YOU ALL KNOW.
AND I MEAN, WE, WE JOKE ABOUT IT.
IT'S A MICKEY MOUSE TRAIN, BUT IT'S, YOU KNOW, IT'S UH, IT, IT, WE HAVE A MICKEY MOUSE TRAIN CIRCA 1969 AND WE'VE GOTTA DO SOMETHING ABOUT THAT TO MOVE PEOPLE.
AND THEN, UM, YOU KNOW, WE RECENTLY CAME BEFORE COUNCIL AND WE PRESENTED A SEVEN GATE EXPANSION AT HOBBY, $500 MILLION, ANOTHER $500 MILLION, SEVEN MORE GATES FOR INTERNATIONAL SERVICE.
SOUTHWEST IS LOOKING TO MAKE SIGNIFICANT, UM, INCREASES IN THE SERVICE THAT THEY PROVIDE OUT OF HOUSTON INTO LATIN AMERICA.
AND THEN WE HAVE, OF COURSE, UM, ONE OF THE PROJECTS THAT WE ARE REALLY LOOKING AT IS FOR RESILIENCE AND BACKUP.
WE WANT A 35 TO 50 MEGAWATT SOLAR FARM THAT WE REALLY THINK WE NEED TO DROP INTO INTERCONTINENTAL, JUST TO MAKE SURE THAT WE HAVE THE BACK OF RESILIENCY FOR ALL THIS INVESTMENT THAT WE'RE MAKING.
AND NOT JUST BE BUILDING GENERATORS ALL OVER THE PLACE, DROPPING GENERATORS IN TO HAVE A BACKUP FULL SERVICE FOR EVERYTHING THAT WE'RE DOING.
NOW, AS YOU START THINKING ABOUT THE TIMELINE FOR THIS, IT'S UPON US UNITED AIRLINES IS MOVING FORWARD WITH THEIR TERMINAL B.
UM, WE ARE STILL IN THE PLANNING STAGES, BUT IN THE FINAL PLANNING STAGES OF TERMINAL A.
BUT THINK ABOUT THE CONSTRUCTION THAT WILL BE GOING ON.
IF YOU THINK THIS IS A BIG DEAL, YOU AIN'T SEEN ANYTHING YET, AS THEY SAY, IT'S GONNA BE VERY, VERY DIFFICULT.
WE NEED SOME REALLY TOP MINDS ENGINEERING EXPERTISE PROFESSIONALS TO HELP US THINK THROUGH HOW WE'RE GOING TO DO THIS.
SO WHAT I'D LIKE TO DO IS, IF YOU TURN TO THE NEXT PAGE, FIRST TALK ABOUT HOW ARE WE ORGANIZED TODAY? BECAUSE THAT WAS ONE OF THE QUESTIONS COUNCIL MEMBER ALCORN, THAT YOU BROUGHT UP ABOUT, YOU KNOW, THE PROGRAM MANAGEMENT SUPPORT SERVICES.
TODAY WE HAVE AN EXECUTIVE PROGRAM MANAGEMENT TEAM, UM, THAT ORIGINALLY HAD FIVE, AND WE'VE GOT, GOT IT DOWN TO THREE INDIVIDUALS THAT WE'RE WORKING RIGHT NOW.
BUT IT'S, IT WAS, UM, SIX INDIVIDUALS ACTUALLY BECAUSE WE HAD SOMEONE WHO WAS ALSO WORKING,
[00:45:01]
UM, WITH THE, UH, INFRASTRUCTURE DIVISION, HELPING THEM OUT AND THEN BELOW THIS EXECUTIVE PROGRAM.'CAUSE WHAT I WANTED TO DO WITH MY EXPERIENCE, I KNEW THAT YOU CAN'T HAVE AN ORGANIZATION THAT IS FOCUSED ON THE END GOAL WHEN THEY'RE CONSTANTLY DEALING WITH THE DAY-TO-DAY PROBLEMS IN THE ORGANIZATION.
WHO'S GETTING WHAT CONTRACTS, WHO'S BEEN PAID, WHO HASN'T BEEN PAID.
AND, AND I WANTED KNOW, UM, I I I WANTED THEM TO FOCUS ON THE FUTURE, KEEPING THEIR EYES AHEAD.
THAT'S WHY WE HAD THIS EXECUTIVE PROGRAM MANAGEMENT TEAM.
BUT AT THE SAME TIME, WE DON'T HAVE THE STAFF WITHIN THE HOUSTON AIRPORT SYSTEM.
WE DON'T HAVE THE EXPERTISE IN SCHEDULE, WE DON'T HAVE THE EXPERTISE IN COST ESTIMATING.
WE DON'T HAVE THE EXPERTISE IN PROJECT MANAGEMENT OR INSPECTORS.
WE JUST DON'T HAVE THAT EXPERTISE.
SO THESE PROGRAM MANAGEMENT, SUPPORT SERVICES COMPANIES PROVIDE THOSE SERVICES.
AND THEN, UM, THROUGH THE PROGRAM MANAGEMENT SUPPORT SERVICES, WE HAVE ALL OF THE PROFESSIONAL COMPANIES, THE ARCHITECTS AND DESIGNERS, THE CONTRACTORS, UM, AND THE SERVICE SPECIALISTS, WHETHER IT'S, UM, INTRANET OR WHETHER IT'S, UM, ANY OF THE DIFFERENT, UM, SUBSTANTIAL, UM, BAGGAGE HANDLING SYSTEMS THAT WE, WE HAVE TO BRING TOGETHER TO CREATE, UM, ABILITY A FACILITY.
AND SO THAT'S HOW WE'RE MANAGED TODAY.
AND TURNER AND TALENTED IS THE EXECUTIVE PROGRAM MANAGEMENT TEAM.
SO LET'S TURN TO THE NEXT SLIDE.
AND AS I'VE SAID, I'VE GONE THROUGH THESE, THE INTERNATIONAL TOUR REVIEW DEVELOPMENT PROGRAM THAT IS PRETTY MUCH PASSING INTO OUR REAR VIEW MIRROR.
WE'VE GOT THE, THE EXPANSION OF THE SKYWAY, THE SUBWAY, THE UTILITY PLANT, AND THE SOLAR.
UH, WE'VE GOT THE DOMESTIC EXPANSION PROGRAM FOR TERMINAL A.
AND THEN WE'VE GOT UNITED AIRLINES.
UM, AND WHAT WE BELIEVE MAKES THE MOST SENSE IS TO TAKE THE, UM, EXCEPTIONAL WORK AND EXPERIENCE THAT WE HAVE DEVELOPED WITH TURNER AND TOWNSEND AND EXPAND THAT MODEL TO NOW COVER ALL OF THESE OTHER PROGRAMS THAT WE ARE ABOUT TO LAUNCH.
WE THINK, AND I'LL SHOW IN A MINUTE, THAT BY DOING SO, WE WILL SAVE BETWEEN THREE TO $5 MILLION A YEAR OVER ALTERNATIVES.
WHAT ARE THE ALTERNATIVES? WELL, WE HAVE THREE MAJOR PROGRAMS, REMEMBER THAT WE HAVE TODAY THE I TRIP THAT'S BEING MANAGED.
AND THEN WHAT WE HAVE IS THE, UH, DOMESTIC REDEVELOPED PROGRAM, WHICH CONSISTS OF TERMINALS A AND TERMINAL B BEING DONE TOGETHER.
AND THEN WE HAVE WHAT WE CALL THE MAJOR PROJECTS SOUTHWEST DOWN AT HOBBY, THE SKYWAY, THE SKY TRAIN, THE, IN THE CENTRAL UTILITY PLANT AND THE SOLAR FARM.
THAT'S A BILLION DOLLARS TERMINAL AID TERMINAL BE TOGETHER PROBABLY CLOSE TO $4 BILLION.
NOW, WHAT WE COULD DO IS WE COULD CREATE AND, AND PUT OUT RFP FOR PROGRAM MANAGEMENT, SUPPORT SERVICES FOR UNITED, HAVE ANOTHER PROGRAM MANAGEMENT, SUPPORT SERVICES FOR TERMINAL A, HAVE ANOTHER PROGRAM MANAGEMENT SUPPORT SERVICES FOR THESE MAJOR PROGRAMS OF THAT THAT ADD UP TO A BILLION DOLLARS.
BUT THEN WHO WOULD MANAGE THEM? ME? 'CAUSE THEY WOULD ALL REPORT TO ME.
I CAN'T HAVE THAT I, THAT, THAT'S, THAT JUST IS TOO MUCH FOR ME TO HANDLE BETTER WE THINK.
OR I THINK THAT WHAT WE DO IS WE KEEP IN PLACE OUR EXECUTIVE PROGRAM MANAGEMENT TEAM IN PLACE UNDER MR. ANDERSON AND THEN HAVE AN EXPANSION OF THE TURNAROUND TOWNSEND.
AND AS YOU WILL SEE IN THE NEXT SLIDE, GO FROM SIX FULL-TIME EQUIVALENTS TO NINE FULL-TIME EQUIVALENTS INSTEAD OF HAVING THREE OR FOUR PROGRAM MANAGEMENT TEAMS OF FOUR OR FIVE PEOPLE EACH.
AND THAT'S A SIGNIFICANT SAVINGS BY THE WAY, THE LEARNING CURVE OF BRINGING IN NEW, NEW COMPANIES.
UM, HOW WE WOULD HANDLE 'EM, HOW WOULD WE COORDINATE, HOW WE WOULD GET THEM TO UNDERSTAND OUR PROCESSES, HOW THE SYSTEMS THAT WE WOULD USE FOR COLLECTING INFORMATION, UM, WHETHER IT'S COSTS, WHETHER IT'S SCHEDULING, UM, ALL OF THE RFIS REQUESTS FOR INFORMATION, ALL OF THE DOCUMENTATION THAT GOES BACK AND FORTH.
UM, JUST COORDINATING ALL OF THAT WOULD BE DIFFICULT AND TAKING IT FROM SIX FULL-TIME EQUIVALENTS TO NINE AND BASICALLY CREATING WHAT WE WOULD CALL A INSTEAD OF A REDEVELOPMENT PROGRAM, INTERNATIONAL REDEVELOPMENT PROGRAM, DOMESTIC REDEVELOPMENT PROGRAM, AND JUST CALL IT THE HOUSTON AIRPORT SYSTEM REDEVELOPMENT PROGRAM.
ELEVATING IT UP ONE LEVEL AND CREATING THESE ELEMENTS, AS WE WOULD CALL THEM, AS AS PROGRAMS.
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AND BY DOING SO, WE THINK THAT IT WOULD SAVE TIME.WE HAVE THE EXPERTISE, IT WOULD SAVE TREMENDOUS AMOUNT OF DOLLARS, THREE TO FIVE YEARS, OVER A EIGHT YEAR PERIOD IS BETWEEN 24 AND $40 MILLION OF SAVINGS IN PERSONNEL COSTS.
AND FOR THESE REASONS, WE BELIEVE THAT THE BEST APPROACH FORWARD IS TO EXPAND THE EXISTING PROGRAM MANAGEMENT TEAM THAT WE HAVE IN PLACE.
WE WOULD STILL HAVE THE, UM, PROGRAM MANAGEMENT SUPPORT SERVICES.
THOSE WERE, WE'RE GONNA BE PUTTING OUT RFPS AND WE'RE GONNA BE EXPANDING IT FROM TWO TO THREE.
SO, AND THAT'S REALLY WHERE THE BULK OF THE MONEY IS SPENT.
RECALL THAT, AND, AND COUNCIL MEMBER MARTIN, YOU MAY REMEMBER THAT IN EMBEDDED IN THAT $1.4 BILLION IS APPROXIMATELY $125 MILLION FOR PROGRAM MANAGEMENT.
BUT THAT DOESN'T GO TO TURNER TOWNSEND, THAT'S THE SUPPORT SERVICES.
TURNER TOWNSEND, UM, IS ABOUT WHAT, 16 MILLION, $16 MILLION.
AND, AND WHAT WE'RE SAYING IS THAT IN THE FUTURE, AND YOU SHOULDN'T BE SURPRISED WHEN WE COME FORWARD AND WE, YOU KNOW, WE EXPAND IT, THAT FOR THE NEXT EIGHT YEARS, PROGRAM MANAGEMENT, SUPPORT SERVICES, ALL THE PERSONNEL WILL PROBABLY WIND UP COSTING ABOUT THE SAME, ANOTHER 125 TO A HUNDRED, ANOTHER 140 MILLION IN PERSONNEL CLASS TO MANAGE ALL OF THESE, THESE PROGRAMS. AND, AND THE EFFICIENCY, THE EFFECTIVENESS OF HAVING A SINGLE ENTITY COORDINATING ALL OF THIS, WE THINK WILL RESULT.
AND WE STAND THE BEST CHANCE OF GETTING THROUGH THE DEVELOPMENT OUT ON THE WEST SIDE OF THE AIRPORT WITH THE LEASE.
AND I'M NOT GONNA SAY, I'M NOT GONNA SIT HERE AND SAY THERE AREN'T GONNA BE ANY PROBLEMS ON THE ROADWAYS.
THERE WILL BE, YOU CAN COUNT ON IT, BUT, BUT TO BE ABLE TO LEARN FROM WHAT WE HAVE JUST GONE THROUGH ON THE EAST SIDE ON WILL CLAYTON PARKWAY APPROACH AND THE TERMINAL E AND TERMINAL C AND TERMINAL D REDEVELOPMENT, TAKE ADVANTAGE OF THAT TO MITIGATE AND REALLY ADVANCE, UM, AS FAST AS WE POSSIBLY CAN.
ALL OF THE WORK THAT LIES AHEAD AND MADAM CHAIR, I YIELD.
AND, UM, I'LL TAKE HAPPY TO ANSWER ANY QUESTIONS.
UH, DO WE HAVE ANY QUESTIONS FROM COUNCIL MEMBERS? UH, MAYOR PRO, TIM MARTIN, JUST, JUST A QUICK ONE.
SO THE, I TALKED ABOUT THE FIVE WISE MEN, THEY WERE ALTERNATIVE TOWNS AND GUYS, WEREN'T THEY? YES.
AND LOOKING AT IT TODAY THAT, DID THAT WORK OUT FOR US? BECAUSE THEY ALL LEFT.
WELL, SO WHAT, YOU KNOW, HERE'S THE BEAUTY OF THIS.
UM, ONE OF THE POSITIONS IS MANAGER OF DESIGN.
WE DON'T NEED A MANAGER OF DESIGN ANYMORE.
WHY KEEP A MANAGER OF DESIGN? PART OF THE BEAUTY OF HAVING THESE LARGE PROGRAMS IS AS YOU DON'T NEED OR YOU FINISH A PHASE OF THE DEVELOPMENT, YOU LET THAT PERSON GO.
UM, ANOTHER, UH, PERSON WAS, WE WERE DOING EXTENSIONS OF STAFF HELPING OUT WITH INFRASTRUCTURE.
WELL, WE'VE PULLED THAT PERSON OUT BECAUSE WE, WE DID A, A SEPARATE, UM, CONTRACT SEPARATELY.
WE DID AN RFP AND WE DID A SEPARATE CONTRACT FOR EXTENSION OF STAFF HELP AT THE AIRPORT SYSTEM.
SO THESE THE BEAUTY OF THESE PROGRAMS, AND THEY'RE EXPENSIVE.
BUT THE BEAUTY IS, IS AS YOU DON'T NEED INDIVIDUALS, YOU DON'T KEEP THEM AROUND.
YOU JUST LET THEM, YOU JUST LET THE ORGANIZATION FIND GREENER PASTURES OR SOME OTHER JOB THAT THEY ARE, THAT THEY HAVE GOING FORWARD.
AND THE TURNER TOWNSEND CONTRACT IS FOR HOW MUCH? 16.
16 MILLION TERM OF HOW MANY YEARS? EIGHT YEARS.
10 YEARS, 16 MILLION, 10 YEARS.
THAT'S ALL THE QUESTIONS THAT WE HAD.
DIRECTOR, THANK YOU FOR YOUR PRESENTATION.
UM, IF THERE ARE NO FURTHER QUESTIONS, UH, WE WILL MOVE ON TO OUR NEXT AGENDA ITEM.
THE NEXT ITEM ON OUR AGENDA, UH, LYNN HENSON, PLANNING AND DEVELOPMENT DIVISION, MANAGER OF COMMUNITY AND REGIONAL PLANNING, AND SAMUEL DK, RICE MANAGEMENT COMPANY, INVESTMENT MANAGER OF STRATEGIC INVESTMENTS.
WE'LL PRESENT THE ANNUAL REPORTING ON THE ION DISTRICT COMMUNITY BENEFITS AGREEMENTS.
GOOD TO SEE YOU, MS. HENSON AND MR. DK.
VERY HAPPY TO HAVE YOU HERE TODAY.
LOOKING FORWARD TO, UH, THIS REPORT, COUNCIL MEMBERS AND STAFF, Y'ALL MAY REMEMBER WHEN WE VOTED ON THE CBA ABOUT
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A YEAR AGO, WE ASKED THAT, UM, THE, THEY COME BACK AND GIVE US A REPORT WITHIN A YEAR.SO, UM, THIS IS THE REPORT THAT THEY HAVE PREPARED FOR US, AND WE ARE READY TO HEAR FROM YOU NOW.
THANK YOU AND GOOD AFTERNOON, VICE MAYOR PROM AND CHAIR CASTEX TATUM.
AND TO THE COUNCIL MEMBERS, I AM LYNN HENSON, DIVISION MANAGER OF THE COMMUNITY AND REGIONAL PLANNING SECTION OF THE PLANNING DEPARTMENT.
AND TODAY I'M HERE TO PROVIDE THE ANNUAL REPORT TO YOU ON THE ION DISTRICT CBA.
AND I AM JOINED HERE TODAY WITH SAM DK, INVESTMENT MANAGER, STRATEGIC INVESTMENTS WITH RICE MANAGEMENT COMPANY.
UM, FOR THE PRESENTATION TODAY, I'LL GO OVER A LITTLE BACKGROUND ABOUT THE CBA, UM, REPORT ON THE COMMITMENTS FOR THE CITY OF HOUSTON.
AND TURN IT OVER TO MR. DK TO GO THROUGH THE COMMITMENTS FOR THE DEVELOPER.
IN NOVEMBER OF 2021, CITY COUNCIL PASSED AN ORDINANCE AUTHORIZING THE CREATION OF THE COMMUNITY BENEFITS AGREEMENT BETWEEN THE CITY OF HOUSTON AND RICE MANAGEMENT COMPANY RELATING TO THE ION DISTRICT PROJECT, CITY COUNCIL APPROVED THE COMMUNITY BENEFITS AGREEMENT IN NOVEMBER OF 2021.
THIS COMMUNITY BENEFITS AGREEMENT SOUGHT TO ATTRACT, RETAIN, AND GROW CITY'S TECHNOLOGY, INNOVATION, TALENT, AND BUSINESS BASE, RECOGNIZING THE NEED TO CONTINUE TO DIVERSIFY AND ADD NEW BUSINESSES LIKE THE TECH INDUSTRY.
THE STRATEGIC PARTNERSHIP DIRECTS INVESTMENTS RELATING TO THE ION DISTRICT AND COLLABORATES WITH LEADING NATIONAL AND LOCAL INNOVATIVE ORGANIZATIONS.
THE DISTRICT BRINGS INNOVATORS, INVESTORS, EMPLOYEES, RESIDENTS, AMENITIES, ALL TOGETHER TO PROMOTE THE CROSS-POLLINIZATION OF NEW IDEAS, PRODUCTS, SERVICES, AND FOSTER THE CREATION, ATTRACTION AND GROWTH OF THRIVING BUSINESSES.
IN HOUSTON, THE ION DISTRICT OFFERS PUBLIC AND COMMUNITY SPACE OFFICE SPACES THAT CATER TO THE EVOLVING NEEDS OF GROWING TECH ORIENTED TENANTS, RETAIL THAT SERVES DISTRICT RESIDENTS, WORKERS, VISITORS, AND NEIGHBORING COMMUNITIES, AND REGULAR ACTIVITIES, EVENTS, AND PROGRAMMING.
MORE OF WHICH MR. DK WILL SHARE WITH YOU IN HIS PRESENTATION.
AS REQUIRED BY THE CBA, THE CITY AND RICE MANAGEMENT COMPANY ARE PROVIDING THIS ANNUAL REPORT TO YOU TODAY.
THE COMMUNITY ADVISORY COUNCIL OR THE CAC WAS CONFIRMED BY CITY COUNCIL IN FEBRUARY, 2022.
THE CAC IS COMPRISED OF NINE MEMBERS THAT ARE REPRESENTATIVE OF AREA RESIDENTS, BUSINESS OWNERS, ORGANIZATIONS WITH DIRECT SPECIALIZED EXPERIENCE, MWBE BUSINESSES OR BUSINESS CIVIC ORGANIZATIONS, INDIVIDUALS WITH EXPERIENCE IN REAL ESTATE, FINANCE OR BANKING, AND INDIVIDUALS WITH SPECIALIZED WORKFORCE DEVELOPMENT EXPERIENCE.
THE CAC ALSO INCLUDES SIX EX OCO MEMBERS, INCLUDING DIRECTORS OR THEIR DESIGNEES OF THE OFFICE OF BUSINESS OPPORTUNITY, THE DEPARTMENT OF NEIGHBORHOODS, THE COUNCIL MEMBER, CAROLYN EVANS SHABAZZ, DISTRICT D'S OFFICE, THE MAYOR'S OFFICE, THE PLANNING DEPARTMENT, WHICH SERVES AS THE SECRETARY AND THE PRINCIPAL DEVELOPER THE CAC PROVIDES THE PRINCIPAL DEVELOPER IN THE CITY WITH DIRECT EXPERIENCE, KNOWLEDGE, PROGRAMMATIC GUIDANCE, INDUSTRY SPECIFIC RELATIONSHIPS AND CONTACTS TO MAXIMIZE THE SUCCESSFUL EXECUTION AND IMPLEMENTATION OF THE CBAS GOALS AND OBJECTIVES.
THE ION DISTRICT IS LOCATED IN MIDTOWN, JUST SOUTH OF HOUSTON'S DOWNTOWN.
IT IS ROUGHLY BOUND BY ISABELLA RUTH, I 69 WHEELER AND AUSTIN STREETS.
IT IS LOCATED IN THE 1939 FORMER SEARS DEPARTMENT STORE, AND WAS RENOVATED TO ENCOMPASS COMMERCIAL EDUCATIONAL ACCELERATOR AND RETAIL SPACES WITHIN THE HISTORIC, NOW HISTORIC BUILDING, NOW OWNED BY RICE.
THE 266,000 SQUARE FOOT INNOVATION HUB PROVIDES NOT ONLY COMMERCIAL EDUCATIONAL ACCELERATOR AND RETAIL SPACE, BUT IT ALSO PROVIDES
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PUBLIC SPACE THAT CAN BE ACCESSED AND UTILIZED BY THE COMMUNITY.THE CBA LISTS SIX CITY COMMITMENTS AND 19 PRINCIPAL DEVELOPER COMMITMENTS.
NOW, I WILL GO THROUGH THE CITY OF HOUSTON COMMITMENTS, PROVIDE AN UPDATE BEFORE TURNING IT OVER TO MR. DK, THE CITY OF HOUSTON'S COMMITMENT, MWBE BONDING EDUCATION AND SUPPORT.
THIS COMMITMENT WAS TO ENHANCE THE AWARENESS OF MWBE CONTRACTORS AND BONDING REQUIREMENTS AND PROVIDE OR CONNECT THEM TO RESOURCES TO OBTAIN AND OR INCREASE THEIR BONDING CAPACITY OVER A THREE YEAR PERIOD IN FALL OF 2021, OBO, IN COLLABORATION WITH THE US DEPARTMENT OF TRANSPORTATION, LAUNCHED A SIX WEEK BONDING AND BUSINESS CAPACITY BUILDING PROGRAM.
15 LOCAL COMPANIES PARTICIPATED.
RICE PARTICIPATED IN THE STAKEHOLDER MEETING HELD BEFORE THE LAUNCH TO ENSURE A SUCCESSFUL PROGRAM.
EACH PARTICIPANT OF THE PROGRAM WAS PAIRED WITH THE SURETY PROFESSIONAL TO ASSIST THEM WITH BUILDING CAPACITY.
THERE CONTINUES TO BE AN OPPORTUNITY TO BUILD ON THE SUCCESS OF THIS PROGRAM TO INCLUDE A BONDING EXPERT TO PROVIDE ADDITIONAL TECHNICAL ASSISTANCE TO LOCAL BUSINESSES.
ITEM B-M-W-B-E OUTREACH COMMITTED TO ASSISTING THE PRINCIPAL DEVELOPER WITH THE PERFORMING OUTREACH OF MWBES BY UTILIZING THE CITY'S VARIOUS OUTLETS, INCLUDING BUT NOT LIMITED TO, PERFORMING TARGETED OUTREACH CAMPAIGNS TO THE CITY'S POOL OF CERTIFIED MWBES, INCLUDING CONTRACTING OPPORTUNITIES IN THE OFFICE OF BUSINESS OPPORTUNITIES, REGULAR E-BLASTS, AND CO-HOSTING EVENTS AND PROJECT INFORMATIONAL SESSIONS WITH THE PRINCIPAL DEVELOPER.
THESE OPTIONS AND PLATFORMS REMAIN READILY AVAILABLE.
COMMITMENT C, THE HOMESTEAD PROTECTIONS AND EXEMPTION SUPPORT.
THE CI, THE CITY WAS TO CONDUCT RESEARCH AND ASSESS THE PERCENTAGE OF ACTIVE HOMESTEAD EXEMPTIONS IN TARGETED NEIGHBORHOODS, AND DEVELOP AN OUTREACH PLAN TO DO ONE OF TWO THINGS, EDUCATE AND INFORM PROPERTY OWNERS OF THE BENEFIT OF THE OVER 65 AND HOMESTEAD EXEMPTIONS, THEREBY REDUCING THE PROPERTY TAX BURDEN FOR ELIGIBLE HOMEOWNERS AND TO PROVIDE ASSISTANCE WITH COMPLETING AND SUBMITTING THE REQUIRED APPLICATIONS TO PROPERTY OWNERS AS NEEDED.
INITIAL ANALYSIS HAS BEEN PERFORMED BY THE OFFICE OF ECONOMIC DEVELOPMENT AND THE PLANNING DEPARTMENT.
THAT RESEARCH INDICATED THAT 35% OF OWNER-OCCUPIED HOMES ARE UTILIZING HOMESTEAD EXEMPTIONS MAPS WERE CREATED TO HIGHLIGHT THESE AREAS.
THE PLANNING DEPARTMENT IS DEVELOPING AN EDUCATIONAL OUTREACH PLAN THAT WILL BE EXECUTED LATER IN THE SUMMER OR IN THE FALL.
THIS IS A FREE PROGRAM PROVIDING INFORMATION ON ESTATE PLANNING AND OTHER TOPICS.
THE GOAL IS TO HOST AND PARTNER AS NEEDED WITH THE PRINCIPAL DEVELOPER.
ANY OF THESE ON ANY OF THESE RELEVANT WORKSHOPS.
THE WORKSHOPS ARE TARGETED TO ADDRESS THE NEEDS OF THE SURROUNDING COMMUNITIES.
AMOS, AS IT IS CALLED IN SHORT, IS SPONSORED BY THE DEPARTMENT OF NEIGHBORHOODS AND COMMUNITY PARTNERS THAT PARTNER MONTHLY, AND THEY'VE BEEN DOING SO SINCE 2019.
SINCE EXECUTION, THERE HAVE BEEN NUMEROUS SESSIONS AND MORE THAN 500 PARTICIPANTS, ALL EIGHT PARTICIPATING PARTNERS SHARED WITH THEIR RESPECTIVE COMMUNITY NETWORKS.
DON SPECIFICALLY SENDS INFORMATION VIA EMAIL, SOCIAL MEDIA CHANNELS, OR THEIR WEBSITE.
AND THESE SESSIONS, SOME OF THESE SESSIONS ARE TAPED AND ARE AVAILABLE ON YOUTUBE.
THE AREAS OF FOCUS INCLUDE WILL CLINICS, ESTATE PLANNING, PROPERTY TAX EXEMPTIONS, HOME BUYER EDUCATION, AND MORE.
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THE PARTNERS AND NONPROFITS THAT PARTICIPATE IN SOME OF THIS EDUCATION AND PROVIDE A SAMPLE OF WHAT WAS PROVIDED IN APRIL OF 2023.FIRST HOME BUYER ORIENTATION AND WORKSHOP, ASSET BUILDING CITY SERIES BY NEIGHBORHOOD RECOVERY, CDC INHERITED PROPERTY, CLEAR TITLE, DEFERRED TAXES, AND OTHER PROBATE CONCERNS, AC ASSET PROTECTION SERIES.
ALSO IN APRIL BY THE TSU EARL CARL INSTITUTE FOR LEGAL AND SOCIAL POLICY, HARRIS COUNTY TAX OFFICE, AND HARRIS COUNTY APPRAISAL DISTRICT, HOA FORECLOSURES ASSET PROTECTION SERIES BY LONE STAR, LEGAL AID AND PERSON IN VIRTUAL COFFEE.
AND CONVERSATIONS WITH CITY OF HOUSTON.
DEPARTMENT REPRESENTATIVES, COMMUNITY EMPOWERMENT BY THE CITY OF HOUSTON'S DEPARTMENT OF NEIGHBORHOODS.
COMMITMENT, E TURNAROUND, HOUSTON TURNAROUND, HOUSTON READINESS JOB FAIRS TARGET THE NEEDS OF THE SURROUNDING COMMUNITIES TURNAROUND.
HOUSTON OFFERS ACCESS TO JOB TRAINING, RESUME WRITING, SOCIAL SERVICE AGENCIES AND EDUCATIONAL INSTITUTIONS.
THESE SERVICES, AS WELL AS THESE SERVICES INCLUDE COUNSELING AND INTERVENTION AS WELL, AND ARE AVAILABLE TO HARD TO EMPLOY HOUSTONIANS IN ORDER TO TURN THEIR LIVES AROUND.
OBO CONTINUES TO PARTNER WITH WORKFORCE SOLUTIONS TO HURT, TO HOST TURNAROUND HOUSTON JOB AND READINESS FAIRES.
BASED ON PREVIOUS EVENTS, WE ARE TARGETING AT LEAST 40 HIRING EMPLOYERS AND FIVE RESOURCE ORGANIZATIONS TO ATTEND TO PROVIDE A SAMPLE OF THESE EVENTS INCLUDES IN DECEMBER OF 2022, THE TURNAROUND HOUSTON JOB FAIR AT GALTON'S BURNETT BAIN COMMUNITY CENTER, WHERE OVER 400 ATTENDEES PARTICIPATED.
AND IN APRIL OF 2023, THE JOB IN READINESS FAIR.
I DO WANNA ACKNOWLEDGE THAT THERE WERE MORE THAN NINE JOB AND READINESS FAIRS PROVIDED IN 2022.
ITEM F IS THE COMPLETE COMMUNITIES IMPROVEMENT FUND REPOSITORY.
THE COMPLETE COMMUNITIES IMPROVEMENT FUND WAS THE INITIAL FUNDING MECHANISM CONSIDERED TO SERVE AS A GRANT MAKING ORGANIZATION FOR THE PURPOSES OF ADMINISTERING AND DISPERSING COMMUNITY CAPACITY BUILDING FUNDS PROVIDED BY THE PRINCIPAL DEVELOPER.
THE GRANT MAKING ADMINISTRATION DISBURSEMENT CAPACITY CONTINUES TO BE EXAMINED.
WE ARE EXPLORING OPTIONS AND CAN MAKE AN UPDATE ON THE FUNDING MECHANISM OF THE SELECTION AT A FUTURE MEETING.
UM, IF YOU'D LIKE INFORMATION ON THE ION DISTRICT BY THE CITY OF HOUSTON, PLEASE VISIT LET'S TALK HOUSTON.ORG/ION DISTRICT, UH, CAC.
GOOD AFTERNOON, COUNCIL MEMBERS.
UH, UH, IT'S A PLEASURE TO BE HERE TODAY AND PRESENT TO YOU THE FIRST YEAR COMMUNITY INVESTMENT REPORT.
UH, BEFORE I BEGIN, I'D LIKE TO JUST, UH, UH, ACKNOWLEDGE, UH, SOME OF MY COLLEAGUES WHO HAVE JOINED ME TODAY, UH, FROM THE ION DISTRICT, BOTH PARTNERS, UH, AND, UH, AND ACTIVE WORKING COLLEAGUES OF MINE.
LET'S START ON, UH, SLIDE FIVE.
I'D LIKE TO GIVE, UH, A BIT OF AN UNDERSTANDING OF WHAT THE ION DISTRICT IS.
WE'VE HEARD A LOT OF TALK ABOUT INNOVATION, UH, BEING AN INNOVATION HUB AND A PLACE FOR PEOPLE TO GATHER A COMMUNITY SPACE.
UH, IT IS ULTIMATELY A BUILDING THAT TAKES PARTNERSHIPS TO MAKE WORK.
AND THIS PAGE HERE, UH, GIVES YOU A BIT OF UNDERSTANDING OF THE BREADTH OF PARTNERS AND SPONSORS THAT ARE COMING TOGETHER TO MAKE THIS BUILDING SUCH A SUCCESSFUL LOCATION.
WHAT I ALWAYS LIKE TO POINT OUT TOO ABOUT THE ION DISTRICT IS THAT, UH, PRIOR TO THE CONCEPTION OF THE ION DISTRICT, WE HAD THE OLD SEARS, AS WE ALL KNOW, UH, DEAR SEARS AND, AND, UM, THE FIESTA.
UH, AND TODAY, WHAT I LIKE TO TELL PEOPLE IS THAT WE WENT FROM A PROPERTY THAT WAS SUPPORTING TWO MAJOR CORPORATIONS, UH, TO A PROPERTY THAT'S SUPPORTING OVER 300 DIFFERENT BUSINESSES.
UH, AND WE'RE STILL ON THE WAY TO GROWING
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OUR, OUR BUILDING COUNT.UM, SO I JUST WANTED TO START THERE TO GIVE AN UNDERSTANDING OF THE SCALE OF WHAT IS IS HAPPENING TODAY IN THE ION DISTRICT AND WHAT IT TAKES TO REALLY MAKE THIS DISTRICT HAPPEN.
IF WE CAN GO TO THE NEXT SLIDE, I'LL, I'LL JUST TALK BRIEFLY ABOUT WHAT OTHER ASPECTS, UH, ARE PRESENT THEMSELVES IN THE DISTRICT.
THE DISTRICT IS A MIXED USE DISTRICT.
UH, IT INCLUDES RETAIL SPACES, WHICH WE ARE PROUD TO SAY THAT OUR RETAIL SPACES ARE UNIQUELY HOUSTON.
THEY'RE ALL HOUSTON OWNED AND OPERATED, UH, AND, UH, WE'RE VERY, VERY PROUD OF THAT.
UH, THE ION DISTRICT IS, IF NEXT SLIDE IS ALSO A PLACE THAT CELEBRATES HOUSTON'S RICH CULTURE IN THE ARTS, UH, WE HAVE AN ACTIVE ARTS PROGRAM THAT WE CALL IT ION ARTS.
UM, I'LL, UH, BUT IF WE CAN GO ON TO SLIDE NINE, I REALLY WANT TO DIVE INTO THE ION DISTRICT CBA, THIS COMMITMENT.
AND I'LL SAY THAT WE, UH, WHEN I TALKED ABOUT PARTNERSHIPS, REALLY ONE OF THE GREATEST PARTNERS WE'VE HAD FROM DAY ONE HAS BEEN THE CITY OF HOUSTON.
UH, UH, DAY ONE FROM, FROM THE MAYOR TO THIS COUNCIL HAS BOUGHT INTO WHAT, UH, HOUSTON'S FUTURE I IS.
AND THAT'S WHAT WE ARE, WE'RE TRYING TO BUILD ALONG THE WAY.
WE WANT TO MAKE SURE THAT THE DISTRICT IS A WELCOMING AND INVITING PLACE THAT OFFERS ECONOMIC OPPORTUNITY TO ALL.
UH, SO AS A RESULT OF THAT, THE ON DISTRICT CBA IS A COMMITMENT THAT, THAT IS COMPOSED OF $15.3 MILLION IN DIRECT COMMUNITY INVESTMENTS THAT WE SPEND OVER THE NEXT THREE TO FIVE YEARS.
UH, AND PROJECT BASED OPPORTUNITIES THAT ENCOMPASS, UH, RANGE FROM INCLUSIVE HIRING INITIATIVES TO CONTRACTING OPPORTUNITIES AND COMMUNITY ACCESSIBILITY.
UH, I, I WON'T, UH, IF WE CAN GO AHEAD AND MOVE ON TO THE NEXT SLIDE.
I'LL TALK A LITTLE BIT ABOUT THE HIGHLIGHTS.
UM, THERE ARE A FEW THINGS IN, UH, THE FIRST YEAR THAT WERE REQUIRED OF US.
THIS IS A VERY COMPLEX AGREEMENT, UH, WITH A NUMBER OF DIFFERENT COMMITMENTS.
WE MENTIONED 19 SEPARATE COMMITMENTS THAT COVER A RANGE OF, OF, UH, OF AREAS.
THE TWO CORE AREAS ARE DIRECT COMMUNITY INVESTMENTS AND PROJECT BASED OPPORTUNITIES, AND WITHIN THOSE, UH, INCLUDE ECONOMIC OPPORTUNITIES, COMMITMENTS FOR ECONOMIC OPPORTUNITIES, HOUSING, AFFORDABILITY, AND, AND COMMUNITY DEVELOPMENT.
UH, YEAH, SO WITH DIRECT COMMUNITY INVESTMENTS, ONE OF THE HIGHLIGHTS IN WHAT WAS REQUIRED OF US WITHIN 180 DAYS THIS YEAR WAS TO ESCROW $5 MILLION AT A, AT EITHER A COMMUNITY DEPOSITORY INSTITUTION OR, UH, UH, UTILIZE THE CITY'S, UH, COMPLETE COMMUNITIES FUND.
BUT WE DECIDED THAT WE WOULD INVEST, UH, IN A MINORITY DEPOSITORY INSTITUTION THAT WE'RE ALL FAMILIAR WITH UNITY NATIONAL BANK, AND I BELIEVE THEY'RE HERE TODAY, WAVE.
UH, THEY ARE THE ONLY MINORITY DEPOSITORY INSTITUTION HERE IN THE STATE OF TEXAS.
AND WE FELT THAT THAT WOULD BE A STRONG COMMITMENT BY US TO INVEST IN UNITY NATIONAL BANK AS OUR ESCROW PARTNER.
UH, ADDITIONALLY, WE WERE REQUIRED TO SUBMIT A REQUEST FOR PROPOSALS FOR A TECH WORKFORCE TRAINING PROVIDER.
UH, WE DID INITIATE THAT REQUEST FOR PROPOSALS IN, IN, UH, AT THE BEGINNING OF MAY OF, OF LAST YEAR.
WE RECEIVED 18 RESPONSES TO THAT PROPOSAL, UH, FROM ORGANIZATIONS ACROSS THE COUNTRY, STRONG, STRONG INTEREST IN THAT.
AND WE ARE PLEASED TO SAY, UH, WE HAVE MADE AN ANNOUNCEMENT THAT, UH, UH, WE ARE BRINGING, UH, PERLIS, UH, TO THE CITY OF HOUSTON, UH, WHICH IS A NATIONAL BRAND, UH, THAT HAS A LOT OF EXPERIENCE.
AND I'LL TOUCH ON THAT A LITTLE BIT LATER IN MY PRESENTATION.
UM, ADDITIONALLY, WE WERE TO, UM, RELEASE A REQUEST FOR PROPOSALS FOR A SUPPORTIVE HOUSING PROJECT.
UH, THOSE OF YOU THAT ARE FAMILIAR WITH THE SUPPORTIVE HOUSING SPACE, SUPPORTIVE HOUSING, IS REALLY FOCUSED ON INDIVIDUALS THAT ARE HOMELESS OR AT RISK OF HOME BEING HOMELESS.
UH, IT'S REALLY PARTNERED WITH, UH, WRAPAROUND SERVICES.
AND SO WE ARE IN THE PROCESS OF IDENTIFYING A PROJECT THAT WE CAN SUPPORT.
UH, AND I, I HOPE TO BE ANNOUNCING TO YOU ALL IN THE NEAR, UH, FEW MONTHS ABOUT OUR SELECTION THERE.
UH, PROJECT BASED OPPORTUNITIES, THESE ARE THINGS THAT YOU ALL DEAL WITH ON A DAY, UH, WEEKLY, DAILY BASIS, UH, HERE AT THE CITY.
THOSE ARE CONTRACTING OPPORTUNITIES FOR NWBE FIRMS. UM, WE ARE EXCITED THAT WE HAVE, ARE ABLE TO, ON ONE OF OUR MAJOR PROJECTS, UH, THAT IS COMING TO CONCLUSION.
UH, WE WERE ABLE TO, UM, UH, I'LL SPEAK TO THAT A LITTLE BIT LATER, BUT WE'VE HAD, UH, SIGNIFICANT AMOUNT OF SUCCESS ON THAT FRONT.
UM, AND, AND INCLUDING OUTREACH.
AND I MENTIONED THE LEASE SPACE EARLIER, AND OF COURSE, IN TERMS OF COMMUNITY ACCESSIBILITY, WE'VE HAD OVER, UH, 130 COMMUNITY BASED EVENTS JUST LAST YEAR.
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UH, THE NUMBER HAS SWELLED EVEN THIS YEAR, AND THESE EVENTS ARE OFTENTIMES, MOST OF THE TIME IS OPEN AND FREE TO THE COMMUNITY.MANY OF YOU HAVE HAD THE OPPORTUNITY TO ATTEND OUR EVENTS, UH, BUT LET'S GO TO THE NEXT SLIDE.
UH, COMMITMENT A, WHICH I MENTIONED, WELL, WE'RE BRINGING PERLIS, UH, THEY'RE NATIONAL PROVIDER, UH, HUGE TRACK RECORD.
ONE OF THE THINGS THAT WE SAID IS THAT WE'RE NOT JUST LOOKING FOR PEOPLE THAT ARE GOING TO TRAIN PEOPLE, BUT PEOPLE THAT HAVE EXPERIENCE PLACING PEOPLE INTO GOOD PAYING JOBS.
AND THIS IS AN ORGANIZATION THAT HAS A EXCELLENT TRACK RECORD NATIONALLY, 85% OF THEIR GRADUATES ARE PEOPLE OF COLOR.
UH, 80% OF THE GRADUATES ARE ABLE TO BE PLACED INTO A JOB WITHIN ONE YEAR OF GRADUATING.
UH, AND THOSE JOBS ON AVERAGE ARE AROUND 56, NORTH OF $56,000 A YEAR.
UH, THEY'RE OPERATING OUT OF DALLAS, WHICH, YOU KNOW, HURT ME, UH, THAT THEY HAD SUCH A, A, A DEMAND OF HOUSTONIANS ON A WAITING LIST IN, IN, IN, IN, FOR THE DALLAS PROGRAM.
UH, SO WE'RE EXCITED TO BE OPENING THAT UP.
UH, LOOK TO HEAR MORE INFORMATION ABOUT THAT PORTAL WHEN IT OPENS UP, THEY, I KNOW THEY JUST ARE IN THE PROCESS OF HIRING A, A, A NEW HOUSTON BASED MANAGING DIRECTOR AND ROLLING OUT THEIR ENROLLMENT PROCESS.
AND WE HOPE THAT WILL KICK OFF IN THE FALL OF THIS YEAR.
INCLUSIVE TECH ACCELERATOR PROGRAM.
THE ACCELERATOR PROGRAMS ARE ESSENTIALLY, UH, PROGRAMS THAT ASSIST, UH, STARTUPS AND FOUNDERS HELP, UH, CONNECT THEM TO RESOURCES, WHETHER IT'S TECHNICAL ASSISTANCE OR EVEN CAPITAL, TO HELP THEM GROW AND NURTURE THEIR BUSINESS.
THIS PARTICULAR INCLUSIVE TECH ACCELERATOR IS FOCUSED ON BLACK AND BROWN, UH, INDIVIDUALS AND WOMEN, UH, WHO ARE TRYING TO GET INTO THE TECH SPACE.
AND WE HAVE BEEN PROUD PARTNERS WITH DIVIV INC.
WHO ALSO REPRESENTED HERE TODAY.
UM, THEY'RE A DYNAMIC ORGANIZATION.
IF YOU'VE HAD AN OPPORTUNITY TO ATTEND ANY OF THEIR PROGRAMS AT THE ION OR OUTSIDE OF THE ION, UH, THEY HAVE BEEN INCREDIBLY SUCCESSFUL.
SOME OF THESE DATA POINTS ARE A LITTLE, UM, THEY'RE, YOU KNOW, AS OF MAY OR MARCH OF THIS YEAR.
UH, SO, UH, THE COMPANIES RAISED A TOTAL OF $10.1 MILLION IN CAPITALS.
I'M OUT OF CADENCE DOING THAT.
UH, UH, AND, AND THESE COMPANIES THAT HAVE GONE THROUGH THESE COHORTS, THESE ARE SMALL ENTREPRENEURS, STARTUPS, UM, UH, HAVE IN INCREASED THEIR EMPLOYEE COUNT BY 43 INDIVIDUALS.
UM, ONE OF THE OTHER COMMITMENTS THAT'S FOCUSED ON ECONOMIC OPPORTUNITIES.
WHEN WE TALK ABOUT SMALL BUSINESSES, WE TALK ABOUT INDIVIDUALS THAT ARE LOOKING FOR JOBS.
ONE OF THE OTHER BARRIERS THAT WE'VE SEEN IN THIS SPACE IS ACCESS TO CAPITAL.
AND SO ONE OF THE COMMITMENTS THAT WE DID MAKE AS PART OF THIS COMMUNITY BENEFITS AGREEMENT WAS TO BE A, UH, A ANCHOR INVESTOR IN A MINORITY TECH INVESTMENT FUND.
UH, AND WE ARE WORKING WITH THE CITY TO IDENTIFY A FUND MANAGEMENT ENTITY THAT COULD MANAGE THIS FUND.
BUT WE ANTICIPATE THAT THIS FUND WILL BE SUCCESSFUL IN HELPING BRIDGE THE GAP WHERE MINORITIES AND WOMEN REPRESENT LESS THAN 5% OF VENTURE CAPITAL DOLLARS.
UH, WE SEE THIS FUND AS AN OPPORTUNITY TO START BRIDGING THAT GAP.
UM, UH, AND IN TERMS OF AFFORDABLE HOUSING FUND, YOU KNOW, THERE'S AN ACUTE NEED IN MANY NEIGHBORHOODS ACROSS THE CITY, BUT, UH, OBVIOUSLY, UH, IN THE THIRD WARD, UH, NEIGHBORHOOD, THERE'S DEFINITELY ACUTE NEED, UH, FOR AFFORDABLE HOUSING AND TO MAINTAIN AND PRESERVE AFFORDABLE HOUSING.
WE'RE LOOKING AT OPPORTUNITIES TO LEVERAGE THIS FUNDS HERE TO SUPPORT THE CREATION OF NEW AFFORDABLE HOUSING UNITS.
UH, AND, UH, I THINK WE'VE GOT SOME EXCITING PROJECTS THAT ARE, UH, HOPEFULLY WE'RE GONNA BE ABLE TO ANNOUNCE PRETTY SOON THAT WE ARE, UM, UH, THAT WE'RE LOOKING AT SUPPORTING, UH, TO BRIDGE THE GAP, UH, AND TO CREATE THOSE NEW U UNITS OF AFFORDABLE HOUSING.
HOUSING COUNSELING AND EVICTION PROTECTION GRANTS.
UH, SO THE THOUGHT PROCESS HERE IS THAT HOUSING IS IMPORTANT, BUT ALSO THE SERVICES THAT HELP PEOPLE OBTAIN HOUSING OR MAINTAIN HOUSING ARE ALSO IMPORTANT.
AND SO THIS, UH, PARTICULAR COMMITMENT IS FOCUSED ON THOSE SERVICES, AND WE, UM, DECIDED TO FOCUS OUR, OUR INVESTMENT IN THIS AREA IN THREE PARTICULAR NEIGHBORHOODS.
UH, THE, UH, GREATER THIRD WARD NEIGHBORHOOD, UH, THE FIFTH WARD, GR AND, UH, CASHMERE GARDENS NEIGHBORHOOD, AND THEN MAGNOLIA PARK.
AND I BELIEVE WE ACTUALLY HAVE SOME REPRESENTATION, UH, FROM THE ANO CENTER, UH, MAYBE HERE TODAY.
BUT, UH, THOSE ARE THE ANO CENTER FIFTH WARD, UH, COMMUNITY REDEVELOPMENT CORPORATION IN HOUSTON AREA URBAN LEAGUE.
UH, THE ORGANIZATIONS THAT WE SELECTED TO KIND OF COVER THOSE NEIGHBORHOODS OF
[01:20:01]
EMPHASIS, AS I MENTIONED, THIS IS A VERY, VERY IMPORTANT PROGRAM.WE'VE BEEN ABLE TO SERVE OVER 123 FAMILIES JUST IN THE FIRST YEAR ALONE, UH, WITH THIS GRANT.
I MENTIONED THE IMPORTANCE OF THAT EARLIER, PARTNERING HOUSING WITH SUPPORTIVE SERVICES.
UH, WE ARE ACTIVELY, UH, IN DUE DILIGENCE WITH A FEW.
WE RECEIVED, UH, FOUR, UH, RESPONSES TO OUR REQUEST FOR, UH, PROPOSALS FOR SUPPORTIVE HOUSING.
AND WE'RE CURRENTLY IN DUE DILIGENCE AND HOPING TO MAKE AN ANNOUNCEMENT ABOUT THAT, UH, LATER THIS SUMMER ABOUT THE PARTICULAR, UM, UM, ORGANIZATION WHICH WE WILL BE SUPPORTING A NEW HOUSING, UH, DEVELOPMENT.
HOMELESS SERVICES, OBVIOUSLY A, A VERY, VERY IMPORTANT, UM, UH, PROGRAM.
UH, WE ARE LOOKING AT, UH, THIS PAST YEAR, WE'RE ABLE TO SUPPORT COVENANT HOUSE, WHICH IS, UH, FOCUSED ON HOMELESS YOUTH.
UH, WE ARE ALSO BRANCHING OUT OUR, UH, POTENTIAL INVESTMENT TO OTHER HOMELESS SERVICE PROVIDERS.
UH, AND WE'RE LOOKING AT A POTENTIAL PARTNERSHIP, UH, THAT WILL HELP US ADDRESS SOME OF THE HARDEST TO HOUSE INDIVIDUALS FOLLOWING, UH, THE BEST PRACTICES, UH, AS IDENTIFIED IN THE WAY HOME INITIATIVE.
THIS IS AN OPPORTUNITY FOR US TO BE REALLY STRATEGIC HERE.
AND WE'VE, UH, UM, YOU KNOW, THIS IS KIND OF ONE OF THOSE CATCHALLS FOR COMMUNITY-BASED, UH, INITIATIVES.
AND, UH, ONE OF THE BENEFITS OF HAVING A GREAT, UH, COMMUNITY ADVISORY COUNCIL IS THE ABILITY TO GET SOME OF THEIR GUIDANCE AND THOUGHTS FROM THEIR EXPERTISE ABOUT AREAS OF FOCUS AS THEY ENGAGE MEMBERS OF THE COMMUNITY.
UM, WE ARE WAITING FOR FORMAL RECOMMENDATIONS FOR, FROM THAT, UH, COUNCIL, UH, BEFORE WE EXPEND ANY DOLLARS AT THIS TIME, AS I MENTIONED, UM, WE HAD, WE WERE REQUIRED TO, UH, UH, ESCROW, $5 MILLION IN, UH, AND SET ASIDE.
WE HAVE ACTUALLY TO DATE ESCROWED OVER $10 MILLION AT UNITY NATIONAL BANK.
UM, SO WE'VE ACTUALLY DOUBLED OUR COMMITMENTS, UH, THERE.
SO WE MOVE ON TO PROJECT BASED OPPORTUNITIES.
UH, YEAH, I WON'T TAKE TOO LONG ON THE HORIZONTAL CONTRACTING.
WE HAVEN'T HAD A LOT OF INFRASTRUCTURE RELATED, UH, SPENDING HERE, BUT IT IS OUR INTENTION AS I MOVE TO THE NEXT SLIDE, MWV VERTICAL CONTRACTING, THAT WE ARE GOING TO HAVE THE SAME IN INTENTIONAL APPROACH ABOUT ENGAGING MWBE FIRMS IN OPPORTUNITIES, UH, TO, TO TAKE PART IN THE DEVELOPMENT OF THE DISTRICT.
HERE'S AN AREA WHERE, UM, WE, UH, THIS PAST, UH, YEAR, WE HAVE BEEN WORKING ON BUILDING A DISTRICT GARAGE.
UH, WE ENGAGED 19 MWBE FIRMS, UH, AS, AS SUB SUBCONTRACTORS AND FOR PROFESSIONAL SERVICE, UH, FOR THE GARAGE, UH, IN A DOLLAR AMOUNT THAT TOTALS ABOUT $16.9 MILLION.
AND, UH, WE ARE CLOSING IN ON A SIGNIFICANT ATTAINMENT, UH, FOR THAT PARTICIPATION.
AS OF, UH, THIS PRINTING, IT WAS AT 23.3%, AND WE'RE MARCHING
OBVIOUSLY, WE'VE MADE SOME PROGRESS SINCE THEN AS WE CLOSE OUT ON THAT, UH, BE ABLE TO REPORT EXACTLY WHAT OUR ATTAINMENT WAS ON THAT.
BUT ONE OF THE KEY FEATURES, NEXT SLIDE OF SUCCESSFUL MWB PARTICIPATION HAS TO DO WITH WHAT YOU DO ON THE FRONT END AND ON THE BACK END.
AND ONE OF THE COMMITMENTS THAT WE MADE WAS TO HAVE AN MWB ADVISOR WHO WOULD BE CONTRACTED BY US TO GIVE US STRATEGIC GUIDANCE ON OUR MWB OUTREACH AND PROGRAMS, AND TO PROVIDE TECHNICAL ASSISTANCE TO MWBE FIRMS THAT ARE LOOKING TO BE ENGAGED IN THE PROJECT.
WHY IS THAT IMPORTANT? BECAUSE WHEN YOU HAVE LARGE, COMPLEX PROJECTS, AS THE DIRECTOR WAS JUST MENTIONING EARLIER IN HIS PRESENTATION, THOSE ARE OPPORTUNITIES THAT COULD POTENTIALLY BE FOR SOME MWE FIRMS. BUT OFTENTIMES, YOU KNOW, IN, IN MAJOR PROJECTS, THEY COULD FALL THROUGH THE CRACKS.
AND SO HAVING A DEDICATED PERSON THAT IS FOCUSED ON TECHNICAL ASSISTANCE, HELPING THEM NAVIGATE THE PROCESS, THAT IS OFTEN COMPLEX, BECAUSE AS A SMALL BUSINESS OWNER, YOU GOTTA BE FOCUSED ON YOUR BUSINESS.
AND SO HAVING SOMEONE TO PROVIDE THAT LEVEL OF ASSISTANCE TO YOU IS INCREDIBLY IMPORTANT.
AND THAT WAS ONE OF OUR COMMITMENTS THAT WE WANTED TO HIGHLIGHT, IN PARTICULAR, OUTSIDE OF OUR ATTAINMENT GOAL COMMITMENT.
UH, IN ADDITION TO THAT, ONE OF THE SPECIFIC THINGS THAT WE WANTED TO CALL OUT IS AS A COMMITMENT, WAS OUR COMMITMENT TO OUTREACH.
OFTENTIMES, WE'VE HEARD IN, UH, FROM PAST, UH, DISCUSSIONS OR PAST PROJECTS OF HOW NWE FIRMS WOULD FIND OUT ABOUT AN OPPORTUNITY TOO LATE AND SO EARLY, OFTEN AND ALWAYS, UH, IN TERMS OF OUTREACH HAS BEEN ONE OF OUR MANTRA.
UH, AS WE'VE EN GONE THROUGH OUR, UH, ENGAGING MWB FIRMS, WE'VE EVEN PARTNERED WITH THE GREATER HOUSTON PROCUREMENT FORUM TO
[01:25:01]
HOST A NUMBER OF MWB OUTREACH EVENTS AT THE ION.UM, AND THEY, IF YOU HAVEN'T HAD A CHANCE TO ATTEND THOSE, THEY'RE REALLY, REALLY GREAT.
UM, AND, UM, AND WE'RE, WE'RE JUST EXCITED TO NOT ONLY OFFER OPPORTUNITIES AT THE ION DISTRICT THROUGH THAT PROGRAMMING, BUT ALSO SHOWCASE OPPORTUNITIES FOR MWB FIRMS ACROSS THE CITY.
UH, MW CONTRACTING, UH, MONITORING I MENTIONED ON THE FRONT END IS IMPORTANT, AND THE BACK END IS IMPORTANT AS WELL.
UH, YOU, YOU KNOW, IT'S IMPORTANT BECAUSE OFTENTIMES A COMPANY MAY BE ENGAGED TO DO WORK.
IT DOESN'T GO, IT GOES THROUGH THE PROCESS AND SOMEHOW FALLS THROUGH THE CRACKS.
AND SO, MONITORING THESE CONTRACTS ARE INCREDIBLY IMPORTANT TO ENSURING THAT MWB FIRMS ARE PAID ON TIME, AND THAT THEY'RE ACTUALLY PAID FOR THE WORK THAT THEY WERE DONE, UH, THAT THEY, UH, COMPLETED, UH, UH, INCLUSIVE HIRING.
UH, ONE OF THE GREAT THINGS, AGAIN, ABOUT, UH, THE COMMUNITY ADVISORY COUNCIL IS THAT THEY HELPED US ALONG THE WAY AS WE WERE CRAFTING OUR STRATEGY FOR DOING INCLUSIVE HIRING.
UM, AND SO WHAT WE ARE DOING RIGHT NOW IS, IS GOING THROUGH AN INTENTIONAL EFFORT WITH EMPLOYERS WHO ARE IN OUR NETWORK, WHAT WE CALL CORE EMPLOYERS OURSELVES, WHO ARE THE OWNERS OR FOLKS THAT HAPPEN TO BE TENANTS IN THE, AND UNDERSTANDING WHAT THE NEEDS ARE, WHAT THEY'RE LOOKING FOR, AND THEN HOW TO PREPARE PEOPLE TO OBTAIN THOSE JOBS.
MWB REAL ESTATE INVESTMENT OPPORTUNITIES.
THIS WAS ONE OF THOSE THINGS THAT WE, UH, WAS A COMMITMENT THAT WE, WE THOUGHT IS A WONDERFUL OPPORTUNITY TO DO SOMETHING THAT OTHER PLACES REALLY AREN'T DOING, WHICH IS FOCUS ON WEALTH BUILDING.
UH, AND SO AS WE LOOK AT THE NEXT PHASE OF DEVELOPMENT, THIS IS AN AREA THAT WE'RE GONNA BE FOCUSED ON, IS CREATING OPPORTUNITIES FOR INVESTMENT, UH, FOR, UH, INDIVIDUALS WHO WOULD LIKE TO DO THAT.
SMALL, UH, BUSINESS LEASE SPACE OPPORTUNITIES I MENTIONED EARLIER ABOUT, UH, RETAIL OPERATORS WHO ARE ALL HOUSTON BEST IN CLASS LOCAL OPERATORS, UH, A LOT OF THEM ARE INCREDIBLY SUCCESSFUL, UM, EVEN AS, AS A DISTRICT IS STILL DEVELOPING.
WE ARE ENGAGING HOUSTON BASED, LOCAL BEST IN CLASS OPERATORS, UH, TO, UM, TO, UM, UH, OPERATE OUR RETAIL SPACES.
INNOVATION FOCUSED PROGRAMMING, UH, FOR MINORITY RESIDENTS, BUSINESSES, ENTREPRENEURS.
UH, I, I MENTIONED EARLIER, MANY OF YOU HAVE HAD THE OPPORTUNITY TO ATTEND OUR EVENTS AT THE ISLAND.
IF YOU HAVE NOT, PLEASE, YOU ARE ALWAYS WELCOME, UH, TO ATTEND THOSE.
UH, WE, YOU CAN FIND OUT ALL OF THIS INFORMATION AT ION DISTRICT, UH, DOT COM.
AND IN FACT, WE DO HAVE A COMMUNITY FOCUSED WEBSITE WHERE YOU CAN TRACK OUR PROGRESS, SO YOU DON'T HAVE TO WAIT TILL THE ANNUAL REPORT.
YOU CAN TRACK OUR PROGRESS IN REAL TIME AT COMMUNITY@IONDISTRICT.COM, WHICH WAS NOT A REQUIREMENT THAT WE SET UP.
WE DECIDED THAT THAT WAS A TRANSPARENT AND IMPORTANT THING TO DO TO DEMONSTRATE OUR COMMITMENT TO FULFILLING OUR, OUR, UH, OUR COMMITMENTS.
SO, UH, BACK TO, UH, INNOVATION FOCUSED PROGRAMMING.
WE HAVE A NUMBER OF DIFFERENT, UH, EVENTS THAT WE HOST.
SOME ARE HOSTED THEIR PRIVATE EVENTS.
AND, UH, UH, COUNCIL MEMBER, UH, RECENTLY HOSTED, UH, AN EVENT FOR, UH, UH, COUNCIL MEMBER SHABAZZ, UH, HOSTED AN EVENT FOR HER, UM, OUR SUPER NEIGHBORHOOD AND, AND CIVIC LEADERS AT THE ION TO REALLY, IT WAS NOT A INNOVATION FOCUSED EVENT, BUT IT WAS A, IT WAS A COMMUNITY FOCUSED EVENT ABOUT COMMUNITY BUILDING AND CIVIC DEVELOPMENT.
AND WE THOUGHT THAT WAS A ADDITIVE TO THE ENVIRONMENT AND, AND TO THE COMMUNITY.
SO, UH, THANK YOU FOR, YOU KNOW, HOSTING YOUR EVENT AT THE ION AND, AND BRINGING, YOU KNOW, FOLKS THAT MAY NOT HAVE COME INTO THE ION TO THAT, TO THAT SPACE.
LASTLY, UH, AS I MENTIONED, WE MAKE THIS SPACE AVAILABLE FOR PUBLIC USE.
OUR COMMITMENT WAS TO DO THAT AT LEAST ONCE A MONTH.
I CAN TELL YOU WE ARE DEFINITELY EXCEEDING THE ONCE A MONTH, AND WE NOT ONLY ARE WE EXCEEDING THE ONCE A MONTH, UH, OUR COMMITMENT WAS TO PROVIDE A SPACE AT A MINIMUM OF 400 SQUARE FEET, UH, UH, AVAILABLE FOR COMMUNITY-BASED, UH, UM, UH, MEETINGS.
UM, AND WE HAVE DEFINITELY MADE THAT SPACE, UH, OPEN TO MUCH LARGER AREAS IN THE BUILDING.
UM, BUT THAT WAS OUR COMMITMENT, AND WE HAVE FULFILLED THAT.
LASTLY, I WILL SAY THAT, UH, SUSTAINABILITY IS A BIG TOPIC TODAY.
AS WE, WE THINK ABOUT CLIMATE CHANGE AND THE EFFECTS OF CLIMATE CHANGE, WE ARE COMMITTED TO DOING OUR PART, AND THAT WAS ONE OF OUR COMMITMENTS THAT ANY BUILDING OVER 150,000 SQUARE FEET, WE WOULD SEEK LEAD CERTIFICATION.
WE FOUND OUT LAST YEAR THAT THE ION ACHIEVED LEAD GOLD CERTIFICATION, AND WE'RE VERY, VERY PROUD OF THAT.
WE SERVE WIRE SCORED CERTIFIED, AND WELL CERTIFIED, WHICH DEALS WITH THE WELLNESS FACTOR IN, UH, THE BUILDING.
UH, LOOKING AHEAD, OUR FOCUS IS GOING TO BE
[01:30:01]
ON, UH, YOU KNOW, THIS, THIS YEAR IS VERY MUCH OF A SHAPING YEAR, AND THERE WERE SOME INVESTMENTS THAT WE MADE ALONG THE WAY, BUT THIS YEAR IS ABOUT LAUNCHING PROGRAMS AND MAKING MORE SIGNIFICANT INVESTMENTS.AND SO, UH, THOSE ARE GONNA BE ACROSS THE SPECTRUM OF ECONOMIC OPPORTUNITIES, HOUSING, AFFORDABILITY, AND OPPORTUNITIES.
AND WITH THAT, I WILL CLOSE, BECAUSE I KNOW YOU ALL HAVE HAD A LONG DAY, AND I'M PREPARED TO ANSWER YOUR QUESTIONS.
SAM, THANK AND, UH, MANAGER HENSON, THANK YOU SO MUCH FOR, UM, THE PRESENTATION.
I, I, I HAVE TO SAY HOW SUPER IMPRESSED I AM WITH THIS.
UM, THERE WAS A SPIRITED CONVERSATION, UM, WHEN WE INITIALLY, UH, BROUGHT THIS TO COUNCIL AND TOOK THE VOTE ON THIS, UM, BETWEEN THE COMMUNITY AND RICE AND THE ION DISTRICT.
UM, EVERYONE HAD, UM, OPINIONS OF WHAT WE SHOULD DO AND HOW WE SHOULD DO IT.
AND WE HAVE BIG HOPES FOR THE CBA BEING A TRANSFORMATIVE MODEL ACROSS THE COUNTRY.
AND FROM THE BRIEFING AND FROM THE PRESENTATION TODAY, I CAN HONESTLY SAY THAT, UM, YOU HAVE LAID A FOUNDATION THAT HAS SET IN PLACE AN OPPORTUNITY FOR US TO FAR EXCEED WHAT THIS CVA SET OUT TO DO.
UM, THIS PRESENTATION AND THE REPORT TODAY, IT GIVES ME A, A GREAT DEAL OF HOPE FOR HOUSTON.
UM, IT GIVES ME A GREAT DEAL OF HOPE FOR BUSINESS OWNERS.
IT GIVES ME A GREAT DEAL OF HOPE FOR, UM, PEOPLE WHO HAVE BUSINESSES THAT CONSTANTLY REACH OUT TO US ABOUT MWBE PARTICIPATION.
UM, WE TALK ABOUT IT EVERY WEEK AT CITY COUNCIL.
UM, WE TALK ABOUT HOW DO WE MOVE THESE BUSINESSES FROM SUBS TO PRIMES? UM, HOW DO WE MAKE SURE BUSINESSES HAVE FUNDS SO THAT THEY CAN BUILD CAPACITY? ALL THOSE QUESTIONS THAT WE ASK OVER AND OVER CAN BE FOUND IN SOME CAPACITY AT THE ION.
THIS IS A PLACE OF HOPE FOR THE FUTURE OF HOUSTON.
THANK YOU SO MUCH FOR LAYING THIS TREMENDOUS FOUNDATION FOR THE CITY.
UH, WE DO HAVE A COUPLE OF COUNCIL MEMBERS IN QUEUE.
UH, WE'LL START WITH COUNCIL MEMBER CAYMAN WITH ANY QUESTIONS.
UM, FIRST TO THE PLANNING DEPARTMENT AND TO RICE AND SAM, THE ENTIRE TEAM BEHIND YOU.
UH, THERE, UH, CHAIR, AS YOU SAID, UM, THIS WASN'T JUST LIP SERVICE.
THIS IS A CONCRETE RESULT THAT IS, GOES ABOVE AND BEYOND ANYTHING I THINK WE'VE EVER SEEN AT THE CITY IN TERMS OF A CBA, THE SUCCESS OF IT, AND WHERE WE'RE HEADED WITH IT.
SO I JUST WANTED TO, UM, PAUSE FOR A MOMENT TO COMMEND THAT, BECAUSE FAR TOO, WE DON'T GET TO SEE THIS A LOT.
AND THIS IS, I THINK, THE START OF SOMETHING GREAT.
SO, AGAIN, TO THE DEPARTMENT, BUT ALSO TO RICE UNIVERSITY AND TO THE TEAM BEHIND THIS, AND THE, UM, I MEAN, WE, WE'VE BEEN MEETING ON EFFORTS WITH VENTURE CAPITALISM INVESTMENTS THAT ARE TAKING PLACE UNDER THIS INITIATIVE.
UH, I WANNA LIFT UP THOUGH, ONE OF MY FAVORITE THINGS ABOUT THIS, THE SUSTAINABILITY ASPECTS AS WELL, AND WHAT Y'ALL HAVE DONE TO INCORPORATE, UM, THE WAYS IN WHICH THE CITY IS TRYING TO LEAD IN OTHER AREAS.
AND YOU'VE BROUGHT IT ALL TOGETHER UNDER THE ION.
SO AGAIN, THANK YOU AND CONGRATULATIONS.
I CAN'T WAIT TO SEE WHAT IS NEXT AND WHAT THE NUMBERS SHOW, WHAT THE INVESTMENTS ARE, HOW IT IS.
I'M ALWAYS HESITANT TO SAY TRICKLE DOWN
BUT AGAIN, THESE INVESTMENTS ARE GETTING WHERE THEY NEED TO BE, AND THEY'RE LIFTING UP COMMUNITIES THAT HAVE NEEDED TO BE LIFTED UP FOR SO LONG.
I WOULD ENCOURAGE US, UM, ESPECIALLY ON THE SUSTAINABILITY.
UM, I SEE THAT WE'RE DOING LEAD, UH, THE GARAGE GRAPHICS EVEN HAD A LOT OF VEGETATIVE FACADE, VEGETATIVE.
I'M GONNA PUSH GREEN STORM WATER INFRASTRUCTURE AS MUCH AS I POSSIBLY CAN.
SO WHATEVER WE CAN DO TO SUPPORT THOSE EFFORTS FROM A STRUCTURAL PERSPECTIVE AS WELL, UM, I'M ALL IN ON IT.
SO, CONGRATULATIONS AND THANK YOU BOTH.
THANK YOU, COUNCILMAN, COUNCIL MEMBER CA IN WHEN I HAD THE BRIEFING YESTERDAY AND THEY TALKED ABOUT THE LEAD CERTIFICATION, I KNEW YOU WERE GONNA CHIME
UH, NEXT WE HAVE A QUESTION FROM STAFF, FROM COUNCIL MEMBER SHABAZZ'S OFFICE.
UH, FIRST LET ME SAY IT'S A PLEASURE TO SEE YOU, SAM, AND YOUR TEAM.
UH, COUNCIL LADY EVAN SHABAZZ WANTED TO SAY A FEW WORDS TO YOU, BUT SHE HAD TO RUN TO ANOTHER MEETING, SO SHE HONORED ME SPEAKING TO YOU.
AS YOU WERE SAYING, ON MAY 13TH, WE HOSTED OUR FIRST SMALL BUSINESS AND,
[01:35:01]
UH, CIVIC ENGAGEMENT SYMPOSIUM, AND IT COULD NOT HAVE GONE BETTER.YOUR EVENTS TEAM WAS EXEMPLARY.
UH, THEY SERVICED US AS WELL AS HOPE, UH, AS WE COULD HAVE HOPED.
AND, UH, WE LOOKED VERY MUCH FORWARD TO, UH, WORKING WITH YOU.
AGAIN, AS YOU KNOW, WE ARE CONSIDERED THE DISTRICT OF DESTINATION, AND WE CONSIDER YOU A SIGNATURE DESTINATION IN OUR DISTRICT.
SO AGAIN, WE'RE PLEASED TO HAVE YOU HERE.
THANK YOU FOR SUCH A WONDERFUL PRESENTATION, AND WE LOOK FORWARD TO PARTNERING WITH YOU AGAIN.
I KNOW JAN WILL APPRECIATE THAT.
JAN IS HERE TODAY, IS THE EXECUTIVE DIRECTOR OF THE ION.
THE, UH, THE EVENT TEAM, UH, REPORTS TO HIM.
UH, SAM, UH, THANK YOU FOR THE, UH, PRESENTATION.
I KNOW THAT, UH, IT WAS NOT TOO LONG AGO WHEN WE WERE DEBATING THIS HERE YEAH.
UH, AND YOU GOT A LITTLE INTENSE, UH, IN REGARDS TO MANY FELT LIKE THIS IS JUST GONNA BE A SHINY CASTLE UP ON THE HILL BY RICE UNIVERSITY.
AND, UH, THE, UH, THE SURROUNDING COMMUNITY, COMMUNITY MEMBERS WERE NOT GOING TO BE ABLE TO TAKE PART IN ANYTHING.
UH, BUT WITH YOUR PRESENTATION, OF COURSE, ION HAS PROVED THAT WRONG.
UM, YOU KNOW, I I, I'VE ATTENDED SEVERAL EVENTS THERE AT THE ION, AND IT'S JUST SO EXCITING TO SEE MEMBERS OF THE COMMUNITY, THEY'RE IN THE ION, UH, IN REGARDS TO, YOU KNOW, DO DOING BETTER IN REGARDS TO WHATEVER FIELD THAT THEY ARE IN, THE INNOVATION OR WHATEVER IDEAS THAT THEY MIGHT HAVE.
UH, THE LOCAL RESTAURANTS AND BUSINESSES THAT ARE THERE AT THE ION.
UH, LIKE COUNCIL MEMBER CAME AND STATED THE, THE, THE GARAGE.
I MEAN, THAT ALONE, I WAS AT AN EVENT AND WE WERE LOOKING TOWARDS THE GARAGE, AND I WAS JUST LIKE, WE COULDN'T BELIEVE, LIKE, IS IS THAT GREENERY ON THE SIDE OF THE GARAGE? AND WE WERE JUST LIKE, YEAH, IT IS.
YOU KNOW? AND IT WAS LIKE, HOPE.
HOPEFULLY THE OTHERS
UH, SO AGAIN, THANK YOU, UH, AGAIN.
UM, IT, IT, IT, IT WAS NOT SO LONG AGO, LIKE I STATED, UH, WHERE THERE WAS A LOT OF DEBATE, A LOT OF PEOPLE COMING IN AND THEY HAD QUESTIONS AND WONDERING HOW THIS IS GOING TO IMPACT THEIR COMMUNITY, BUT OBVIOUSLY IT'S FOR THE BEST.
UH, SAM, IF YOU WOULDN'T MIND, I'M INTERESTED IN KNOWING HOW WE ADVERTISE THE PROGRAMMING AT THE ION.
UM, TALK A LITTLE BIT ABOUT THE ENGAGEMENT.
ARE WE GETTING A LOT OF PARTICIPATION FOR THE PARTICULAR PROGRAMS MM-HMM
UM, ARE WE USING SOCIAL MEDIA? ARE WE PUSHING ANYTHING OUT THROUGH THE NEIGHBORHOODS? TALK TO US A LITTLE BIT ABOUT THE ENGAGEMENT AND HOW WE'RE, WE'RE GETTING THE WORD OUT ABOUT WHAT'S HAPPENING AT THE ION.
UH, SO WE'RE, WE'RE, WE HAVE A ROBUST, UH, OUTREACH PROGRAM, UH, WHICH IS MAINLY FOCUSED ON, ON, ON THE WEB PRESENCE AND UTILIZING OUR PARTNERS, UH, WITH THE EVENTS TO GET THE WORD OUT.
UM, YOU, YOU COULD FIND OUT ABOUT THE EVENTS ON ION DISTRICT.COM, AS I'VE MENTIONED.
UM, WE, WE UTILIZE HEAVY PRESENCE ON SOCIAL MEDIA, THE, UH, ION DISTRICT HANDLE AND ION HANDLE.
UM, UH, I THINK IT'S ACTUALLY HERE.
UM, I HAVE, YEAH, ON THE BACK OF HERE, UH, YOUR PRESENTATION THERE, IF YOU GO TO THE BACK, UM, UH, WE ALSO HAVE, AS I MENTIONED, A LOT OF THE WORK THAT WE DO IN THE BUILDING IS DONE THROUGH PARTNERSHIPS.
AND OUR PARTNERS HAVE DEEP ROOTS AND, AND IN DIFFERENT COMMUNITIES ACROSS HOUSTON.
AND SO WE REALLY LEVERAGE THOSE RELATIONSHIPS.
'CAUSE, YOU KNOW, I TELL PEOPLE ALL THE TIME, YOU MAY HAVE INROADS THAT I DON'T HAVE, AND SO I'M GONNA USE THAT LEVERAGE TO BRING PEOPLE INTO THE BUILDING THAT NORMALLY MAY NOT KNOW THAT THIS IS FOR THEM.
SO, UH, WE'RE GONNA CONTINUE TO DO THAT AS WE CONTINUE TO ONBOARD MORE AND MORE PARTNERS IN THE DISTRICT.
AND WHAT OPPORTUNITIES DO YOU HAVE FOR HOSTING TOURS? OR ARE WE PROVIDING, UM, PUBLIC TOURS OF THE FACILITY? IS THAT AVAILABLE TO THE, TO HOUSTONIANS? UH, THAT'S ACTUALLY ONE OF MY TITLES.
UH, NO, I, YOU KNOW, I, A LOT OF US, UH, ON MY TEAM, UH, WE, WE PROVIDE TOURS TO INTERESTED PARTIES, AND WE DON'T HAVE A FORMAL KIND OF TOUR PROCESS.
MOST PEOPLE JUST, THEY, THEY SAY, HEY, SAM, I'M INTERESTED IN, IN LOOKING AT THE BUILDING AND, AND KNOWING WHAT'S GOING ON HERE.
AND I SAY, OKAY, LET ME FIND SOME TIME AND YEAH, FIND SOME TIME.
SO, UH, YOU KNOW, I LIKE TO SAY WE ARE THE, WE'RE A CLASS A OFFICE BUILDING.
WE'RE THE MOST PUBLICLY ACCESSIBLE CLASS A OFFICE BUILDING IN THE CITY OF HOUSTON.
UM, AND I'M PROUD TO SAY THAT BECAUSE NO OTHER BUILDING IN THIS CITY THAT OFFERS THE LEVEL OF PROGRAMMING THAT IS ACCESSIBLE TO THE PUBLIC THAN WE DO, UH, TODAY, FREE AND OPEN TO THE PUBLIC, UH, WHERE YOU DON'T, NOT REQUIRED TO BUY SOMETHING TO COME IN, UH, WHERE YOU'RE NOT REQUIRED TO, YOU KNOW, UH,
[01:40:01]
YOU KNOW, YOU KNOW, JUMP THROUGH HOOPS, YOU KNOW, TO, TO COME IN.UH, WE HAVE FOLKS THAT COME IN THERE AND WORK BECAUSE THEY'RE LOOKING FOR AN EXCITING, COOL PLACE TO WORK, A SAFE PLACE TO WORK.
UH, SO, UM, IT'S HIGHLY ACCESSIBLE.
COUNCIL MEMBER GALLEGOS, YOU HAD ANOTHER QUESTION? YES, I, I FELT THE MENTION, UM, I, I, YOU KNOW, GOING THROUGH YOUR, YOUR REPORT HERE, YOU HAVE AFFORDABLE HOUSING, HOUSING, COUNSELING, UH, SUPPORTIVE HOUSING, HOPELESSNESS SERVICES, UM, AS YOU KNOW, WITH THE, UM, THE EX THE, UM, REALIGNMENT OF 45 ALONG THE GEORGE R. BROWN CONVENTION CENTER, UH, SEARCH, I UNDERSTAND, OR AT LEAST AS FAR AS I REMEMBER, THEY MIGHT HAVE TO MOVE, UH, BECAUSE OF THE EXPANSION OF THE FREEWAY.
UH, SO I DON'T KNOW IF THAT, IF THEY'RE A PARTNER OF Y'ALL'S AND, AND IF NOT, MAYBE THEY MIGHT BE ABLE TO COME IN AND HELP Y'ALL WITH THESE PROGRAMS. I MEAN, THAT, THAT, THAT MIGHT BE SOMETHING THAT Y'ALL MIGHT WANNA LOOK AT.
SO JUST THROWING IT OUT THERE, UH, WE'RE CURRENTLY WORKING WITH SEARCH ON A, UH, PROPOSAL, UH, UH, FOR UM, SERVICES.
AND SO I HOPE TO HAVE A FURTHER ANNOUNCEMENT ABOUT THAT LATER THIS SUMMER.
WE DO HAVE TWO PUBLIC SPEAKERS WHO HAVE SIGNED UP TO SPEAK TODAY.
ARE THERE MEMBERS OF THE PUBLIC IN THE CHAMBER WHO WISH TO MAKE COMMENTS? UM, IF YOU ARE HERE, UH, YOU WILL HAVE TWO MINUTES TO SPEAK.
THE FIRST, UH, SPEAKER RASHEEM MUHAMMAD, MR. RASHEEM HAM, ARE YOU HERE? OKAY, THE NEXT PUBLIC SPEAKER IS GABRIELA LUNA.
IS SHE ONLINE? GABRIELA LUNA, MR. DOUG SMITH.
WE'LL GO AHEAD AND LET YOU SPEAK AND WE'LL SEE IF OUR OTHER SPEAKER IS ONLINE COMING UP.
MR. SMITH, YOU'VE BEEN HERE A WHILE.
YEAH, IT'S BEEN A LONG DAY FOR ALL IT HAS.
AND THIS WILL BE QUICK, I PROMISE.
UH, I'VE BEEN HERE A COUPLE OF TIMES, UH, SEEING IF WE COULD GET, UH, LANE STRIPING, UH, DONE BY THREE 80 DISTRICTS AND BY TOURS.
AND I RECEIVED AN ANSWER, UH, THROUGH YOUR DEPARTMENT.
AND THE WORDING WAS MOBILITY IMPROVEMENTS SUCH AS STRIPING, CROSSWALKS, SIGNALIZATION, ET CETERA, ARE FINANCED AND CONSTRUCTED UNDER THE CITY'S TERMS AND THREE 80 PROGRAMS. SO I THINK, UH, AND IT GOES ON TO SAY IN ACCORDANCE WITH RELEVANT STATUTES, IN AGREEMENT TERMS IN THE, UH, POLICIES.
UH, THEY THOUGHT I WAS ASKING TO HAVE IT DONE IN MY AREA, AND THE ANSWER IS NO.
UH, IT NEEDS TO BE DONE IN THE WEST CHASE AREA, UH, BY THE WEST CHASE THREE 80, AND IT NEEDS TO BE DONE BY UPTOWN TOURS, UH, ON WEST PARK RIGHT NEAR THE, UH, NEW TRANSIT CENTER AT THE SOUTH END THERE, UH, IN WEST CHASE.
THERE ARE PROBABLY OTHER AREAS NOW THAT I KNOW IT'S A POSSIBILITY, BUT I'D REALLY LIKE TO SEE THAT PROCEED.
IT SOUNDS LIKE IT CAN LEGALLY BE DONE, AND IT WAS GOOD NEWS TO RECEIVE THAT.
SO WE APPRECIATE YOUR ENGAGEMENT, MR. SMITH.
AND THEN I HAVE ONE MORE THING.
I HAD ANOTHER QUESTION REGARDING THE, UH, TMC THREE.
AND WHAT WAS THE JUSTIFICATION FOR THAT? AND THEY HIGHLIGHTED TWO THINGS.
UH, ONE, THE REASON THEY WERE ABLE TO DO, UH, THE NEW TURS UNDER THE EXISTING STATUTE WAS BECAUSE OF UNSANITARY UNSAFE CONDITIONS, WHICH I FIND A LITTLE HARD TO ACCEPT GIVEN THE AREA THAT WE'RE TALKING ABOUT IN THE MEDCENTER.
UH, THE OTHER ONE WAS THE PREDOMINANCE OF DEFECTIVE OR INADEQUATE SIDEWALK OR STREET LAYOUTS.
I THINK THAT CAN APPLY TO MANY AREAS IN THE CITY.
AND, UH, THAT'S PROBABLY THE MOST LOGICAL ONE TO DO, BUT I JUST HAD TO POINT THAT OUT.
THANK YOU SO MUCH FOR YOUR ENGAGEMENT.
IF THERE ARE NO OTHER COMMENTS OR QUESTION, I WANT TO THANK EVERYONE FOR JOINING US TODAY.
AND BEFORE WE ADJOIN, I'D LIKE TO REMIND EVERYONE THE NEXT SCHEDULED ECONOMIC DEVELOPMENT COMMITTEE MEETING WILL BE WEDNESDAY, JULY 19TH AT 2:00 PM.
IF YOU'RE INTERESTED IN RECEIVING INFORMATION ON THE ECONOMIC DEVELOPMENT COMMITTEE MEETINGS, PLEASE CONTACT THE DISTRICT K OFFICE AT DISTRICT K@HOUSTONTX.GOV.
AND THE TIME IS 3 49 AND THIS MEETING IS ADJOURNED.