[Budget and Fiscal Affairs on January 6, 2026.]
[00:00:18]
FIRST, BFA MEETING OF THE YEAR.I'M SALLY ALCORN, CHAIR OF THE BUDGET AND FISCAL AFFAIRS COMMITTEE, AND WE ARE GO JOINED HERE BY WILL JONES AND MELISSA DEBOWSKI, WHO ARE GONNA GO OVER THE MONTHLY FINANCIAL REPORT.
ALSO JOINED BY MY COLLEAGUES, COUNCIL MEMBER JOAQUIN MARTINEZ, MAYOR PRO TEM MARTHA CASTEX.
TATUM, COUNCIL MEMBER WILLIE DAVIS.
AND COUNCIL MEMBER JULIAN RAMIREZ, STAFF AND VICE MAYOR PRO TEM AMY PECK.
AND COUNCIL MEMBER MARIO CASTILLO, STAFF FROM COUNCIL MEMBER ED POLLARD'S OFFICE AND COUNCIL MEMBER ABBY CAYMAN'S OFFICE.
WE WILL GET RIGHT STARTED WITH THE MONTHLY FINANCIAL REPORT.
THE FLOOR IS YOURS, MR. JONES.
UH, THANK YOU AND HAPPY NEW YEAR.
UH, GOOD MORNING, MADAM CHAIR, COUNCIL MEMBERS AND STAFF.
I'M HERE TODAY TO PRESENT THE MONTHLY FINANCIAL REPORT FOR THE PERIOD ENDING NOVEMBER 30TH, 2025.
IN THE GENERAL FUND, THE CONTROLLER'S OFFICE IS PROJECTING AN ENDING FUND BALANCE OF 336 MILLION OR 13.2% OF EXPENDITURES, LESS DEBT SERVICE AND PAY AS YOU GO FOR FY 26.
THIS IS 17.5 MILLION LOWER THAN THE PROJECTION OF THE FINANCE DEPARTMENT.
THE DIFFERENCE DUE TO A LOWER REVENUE PROJECTION THAN THE FINANCE DEPARTMENT.
BASED ON OUR CURRENT PROJECTIONS, THE FUND BALANCE WILL BE APPROXIMATELY 144.8 MILLION ABOVE THE CITY'S TARGET OF HOLDING 7.5% OF TOTAL EXPENDITURES, EXCLUDING DEBT SERVICE AND PAY AS YOU GO AND RESERVE.
WE HAVE INCREASED OUR REVENUE PROJECTION BY 2.6 MILLION FROM LAST MONTH'S REPORT DUE TO THE REALLOCATION OF APA FUNDS FOR REVENUE REPLACEMENT PURPOSES.
WE HAVE INCREASED OUR EXPENDITURE PROJECTION BY 3.4 MILLION FROM THE OCTOBER REPORT WITH SIGNIFICANT CHANGES AS FOLLOWS, AN INCREASE OF 2 MILLION IN SOLID WASTE DEPARTMENT DUE TO HIGHER THAN ANTICIPATED HEAVY TRASH PICKUP SERVICES, AN INCREASE OF 1.3 MILLION IN POLICE TO RESTORE CRITICAL VACANT POSITIONS WE'RE PROJECTING NO CHANGES, UH, FROM LAST MONTH IN THE ENTERPRISE FUNDS.
SO, UH, FOR THE COMMERCIAL PAPER AND BONDS, THE CITY'S PRACTICE HAS BEEN TO MAINTAIN NO MORE THAN 20% OF THE TOTAL OUTSTANDING DEBT FOR EACH TYPE OF DEBT IN A VARIABLE RATE STRUCTURE, WHICH IS IN LINE WITH THE RATING AGENCY'S GUIDANCE OF 25% FROM TIME TO TIME.
THE CITY'S ENTERPRISE CREDITS HAVE EX EXCEEDED THIS THRESHOLD ON AN INTERIM BASIS AS THEY HAVE UNDERTAKEN LARGE CAPITAL IMPROVEMENT PROJECTS OR MAJOR EXPANSIONS.
SO, MOVING ON, I DO WANT TO TOUCH BASE ON THE 2025 ACT FOR A REPORT YOU, SO ON DECEMBER 19TH, 2025, THE CONTROLLER'S OFFICE OFFICIALLY FILED THE FY 2025 ANNUAL COMPREHENSIVE FINANCIAL REPORT, ALSO KNOWN AS THE AFER WITH THE CITY SECRETARY'S OFFICE.
AND THIS REPORT IS NOW AVAILABLE ON THE CITY CONTROLLER'S WEBSITE.
UM, HAPPY TO REPORT THAT THE INDEPENDENT AUDIT RESULTED IN ZERO FINDINGS.
UM, SO WHEN YOU LOOK AT THE PRIMARY GOVERNMENT FINANCIAL POSITION, WHICH INCLUDES ALL FUNDS, UM, THE CITY'S NET POSITION, WHICH IS A BROAD INDICATOR OF THE OVERALL FINANCIAL CONDITION AT THE END OF FY 2025, THE TOTAL NET POSITION, INCLUDING GOVERNMENTAL ACTIVITIES, WHICH IS INCLUDES THE GENERAL FUND AND THE BUSINESS TYPE ACTIVITIES, WHICH ARE ENTERPRISE FUNDS, TOTAL 10.3 BILLION, AN INCREASE OF 1.5 BILLION FROM LAST YEAR, OR FROM 24 GOVERNMENTAL ACTIVITIES, ACCOUNT FOR 3.5 BILLION.
OF THAT 10.3 AND THE BUSINESS TYPE ACTIVITIES ACCOUNT FOR 6.9 BILLION, APPROXIMATELY 1 BILLION OF THE OVERALL INCREASE, UM, IS IN NET, IN THE NET POSITION IS ATTRIBUTABLE TO THE NET INVESTMENT IN CAPITAL ASSETS.
SO THESE ARE OUR BUILDINGS, OUR, YOU KNOW, ROADS, BRIDGES, UM, SO, AND AT YEAR END NET INVESTMENT IN CAPITAL ASSETS TOTAL APPROXIMATELY 11.8 BILLION.
AND SO AGAIN, WHILE THESE ARE ESSENTIAL TO DELIVERING CITY SERVICES, THEY ARE NOT AVAILABLE FOR GENERAL SPENDING.
SO LOOKING AT THE, THE UNRESTRICTED UNRESTRICTED NET POSITION DEFICIT, UH, THE CITY CONTINUES TO REPORT AN UNRESTRICTED NET POSITION DEFICIT, WHICH PRIMARILY REFLECTS LONG-TERM OBLIGATIONS SUCH AS PENSIONS.
UH, RETIREE HEALTHCARE COMPENSATED ABSENCES AT THE END OF FY 25, THE UNRESTRICTED DEFICIT TOTAL 3.7 BILLION, REPRESENTING AN IMPROVEMENT OF 420 MILLION FROM THE PRIOR YEAR.
HOWEVER, THE GOVERNMENTAL ACTIVITIES ACCOUNT FOR AN UNRESTRICTED DEFICIT OF 4.5 BILLION, AND THIS IS OFFSET BY POSITIVE UNRESTRICTED, UH, BALANCE OF 817 MILLION IN YOUR BUSINESS TYPE FUNDS, WHICH IS YOUR ENTERPRISE FUNDS.
UM, BUT YOU KNOW, THOSE ENTERPRISE FUNDS ARE RESTRICTED, SO YOU CAN'T USE THOSE
[00:05:01]
FUNDS TO OFFSET, UM, THE UNRESTRICTED DEFICIT WE HAVE IN THE GENERAL FUND.UM, ON THE PENSION SYSTEMS, UM, THE HOUSTON FIREFIGHTERS RELIEF AND RETIREMENT FUND MOVED FROM A SMALL NET POSITION ASSET OF APPROXIMATELY 427,000 TO A MODEST NET POSITION LIABILITY OF 1.3 MILLION IN FY 25.
THEY REMAIN 99.8% FUNDED FOR THE HOUSTON POLICE OFFICER'S PENSION SYSTEM.
THEY EXPERIENCED AN INCREASE IN NET PENSION LIABILITY LIABILITY RISING FROM APPROXIMATELY 374 MILLION TO 501 MILLION, AND IS 94.3% FUNDED.
AND THE HOUSTON MUNICIPAL EMPLOYEES SINCE, UH, SYSTEMS SHOWED AN IMPROVEMENT WITH THIS NET POSITION LIABILITY DECLINING FROM 1.5 BILLION TO 1.2 BILLION AND A FUNDED RATIO OF 79.6%.
OVERALL, THE CITY'S TOTAL PENSION LI LIABILITIES DECLINED BY APPROXIMATELY 114 MILLION FROM 1.8 BILLION FY 2024 TO 1.7 BILLION IN FY 25.
AND LOOKING AT THE OPE, THE CITY'S OPE LIABILITY DECLINED TO 1.7 BILLION FROM 1.93 BILLION, AND THEN PRIOR YEAR, SO KIND OF WRAPPED IT ALL UP WHILE THE CITY'S NET POSITION INCREASED BY 1.5 BILLION, FFY 25, THAT IMPROVEMENT WAS LARGELY IN, UM, INVESTMENT IN CAPITAL ASSETS.
AND IT'S NOT REALLY A, A FLEXIBILITY FOR THE BUDGET.
UM, SO AGAIN, THOSE ARE YOUR STREETS, BUILDINGS, BRIDGES, UM, AND AND REPRESENT LONG-TERM INVESTMENTS THAT SUPPORT SERVICE DELIVERY, BUT BUT CANNOT BE USED TO FUND OPERATIONS OR CLOSE BUDGETARY GAPS.
AND WITH THE GENERAL FUND, WE ARE STILL SEEING A DECLINE IN REVENUE AND AN INCREASE IN EXPENDITURES.
SO THERE STILL NEEDS TO BE A STRONG FOCUS ON LONG-TERM FINANCIAL PLANNING, UH, TO GET TO A STRUCTURAL BALANCE.
AND EXPENDITURE CONTROL, UH, REMAINS CRITICAL.
SO IN, IN THE UPCOMING WEEKS, WE LOOK FORWARD TO SHARING, UM, OUR POPULAR ANNUAL FINANCIAL REPORT, WHICH IS A, A MUCH SIMPLIFIED VERSION OF THE AFER TO MAKE IT FRIENDLY FOR THE CITIZENS AND EASY FOR THEM TO PICK UP.
UM, SO WE'LL, WE'LL, WE'RE STILL WORKING ON THAT, BUT LAST YEAR WAS OUR FIRST YEAR.
SO WE LOOK FORWARD TO CONTINUING THAT TREND.
I DO WANT TO GIVE SPECIAL THANKS TO MY TEAM IN THE CONTROLS OFFICE, FINANCIAL REPORTING FOR THEIR MONTHS OF HARD WORK.
CERTAINLY WANNA RECOGNIZE THE FINANCE DEPARTMENT FOR THEIR COLLABORATION AND TO ALL THE OTHER DEPARTMENTS FOR HELPING US GET TO THE FINISH LINE.
WILL, I LOOK FORWARD TO DIVING IN THE FOR, AND I THOUGHT THAT THAT, THAT REPORT Y'ALL DID THAT SIMPLIFIED.
IT WAS GREAT LAST YEAR, SO I WAS GONNA ASK YOU IF YOU WERE GONNA DO IT AGAIN.
SO THANK YOU FOR THAT QUICK RUNDOWN.
THIS IS THE FIVE PLUS SEVEN FINANCIAL REPORT FOR THE PERIOD ENDING NOVEMBER 30TH, 2025.
FISCAL YEAR 26 PROJECTIONS ARE BASED ON FIVE MONTHS OF ACTUAL RESULTS AND SEVEN MONTHS OF PROJECTIONS FOR THE GENERAL FUND.
OUR REVENUE PROJECTION IS 41.9 MILLION LOWER THAN THE ADOPTED BUDGET, AND 2.6 MILLION HIGHER THAN THE PRIOR MONTH.
THE VARIANCE FROM THE PRIOR MONTH PROJECTION IS DUE TO AN INCREASE IN INTERGOVERNMENTAL TO REFLECT THE UTILIZATION OF UNALLOCATED ARPA FUNDS FOR THE PURPOSE OF REVENUE REPLACEMENT TO TOUCH ON SALES TAX.
THE SALES TAX RECEIPTS FOR THE MONTH OF OCTOBER WERE 78.7 MILLION, OR ABOUT 6% HIGHER THAN THE SAME PERIOD LAST YEAR, AND REPRESENTS ABOUT 9% HIGHER THAN WHAT WE HAVE BUDGETED FOR THAT PERIOD.
TO MEET THE CURRENT ESTIMATE OF 902 MILLION, THE REMAINING PERIODS WOULD NEED TO COME IN ABOUT 3.65% BELOW THE PRIOR YEAR.
SO WE'LL CONTINUE TO MONITOR THAT.
UM, NO CHANGES ARE RECOMMENDED AT THIS TIME.
ON THE EXPENDITURE SIDE, OUR PROJECTION IS 9.5 MILLION HIGHER THAN THE ADOPTED BUDGET, AND 3.4 MILLION HIGHER THAN THE PRIOR MONTH WITH THE VARIANCE DUE TO THE $2 MILLION INCREASE FOR THE SOLID WASTE DEPARTMENT FOR HEAVY TRASH PICKUP AND $1.3 MILLION INCREASE FOR POLICE TO RESTORE, UH, CRITICAL POSITIONS WITH THE REVENUES AND EXPENDITURES TOGETHER, WE'RE CURRENTLY PROJECTING THE ENDING FUND BALANCE TO BE 353 MILLION, WHICH IS ABOUT 800,000 LOWER THAN THE PRIOR MONTH, AND REPRESENTS 13.9% OF ESTIMATED EXPENDITURES, NOT INCLUDING DEBT SERVICE AND PAY AS YOU GO.
THAT FUND BALANCE IS 162 MILLION ABOVE THE TARGET OF HOLDING 7.5% OF EXPENDITURES, NOT INCLUDING DEBT SERVICE AND PAY AS YOU GO.
UH, WE'RE ALSO PROJECTING NO CHANGES TO THE ENTERPRISE SPECIAL REVENUE AND OTHER FUNDS.
UM, AND I JUST WANTED TO, UH, TOUCH ON THE AUDIT AGAIN.
UM, DEFINITELY ECHOING EVERYTHING THAT, UM, MR. JONES SAID.
UM, THE FY 25 AUDIT WAS REALLY SUCCESSFULLY, IT WAS A CLEAN AUDIT WITH ZERO FINDINGS, WHICH IS ONE OF OUR KEY PERFORMANCE INDICATORS THAT WE TRACK IN THE FINANCE DEPARTMENT.
UM, THERE WERE DEFINITELY SOME CHALLENGES, UH, WITH THIS PARTICULAR AUDIT.
WE DID TRANSITION TO A NEW AUDIT FIRM, WHICH IS RECOMMENDED TO TRANSITION TO A NEW AUDIT FIRM FROM TIME TO TIME BY THE GFOA.
SO AFTER GOING THROUGH AN RFP PROCESS, THIS IS OUR FIRST YEAR WITH OUR CURRENT AUDIT PARTNER, UH, WHO IS WEAVER.
UM, OF COURSE, WHEN YOU GO THROUGH, UH, A TRANSITION PROCESS WITH THE NEW AUDITOR, THEY
[00:10:01]
DO HAVE A LOT MORE QUESTIONS.THEY'RE DIGGING, THEY'RE TRYING TO UNDERSTAND.
UM, SO THE TEAM DID A REALLY GREAT JOB.
UM, BOTH THE CITY DEPARTMENTS, THE FINANCE DEPARTMENT, OF COURSE, THE CONTROLLER'S OFFICE ALSO WORKS HAND IN HAND WITH THE NEW PARTNER, UM, WHICH WITH THE NEW PARTNER, LIKE I MENTIONED, THERE IS SIGNIFICANTLY, UM, MORE ADDITIONAL SCRUTINY AS YOU ONBOARD THE NEW, UH, AUDIT FIRM.
OF COURSE, WE HAVE TO ADOPT TO THEIR FIRM'S METHODOLOGY AND THE APPROACH WITH THE NEW AUDITOR.
UM, THERE WERE ALSO, OF COURSE, YOU KNOW, SEVERAL RETIREMENTS, UM, IN KEY POSITIONS AT THE CITY, UM, DUE TO THE VME RPO, BUT DUE TO JUST NORMAL ATTRITION.
UM, AND SO WE DID HAVE, UH, THE REST OF THE TEAM REALLY STEPPED UP TO THE CHALLENGE.
UM, THE FINANCE DEPARTMENT'S FINANCIAL REPORTING AND OPERATIONS DIVISION, UM, HELPS TO LIAISE WITH THE OTHER DEPARTMENTS AT THE CITY AND WORKS HAND IN HAND WITH THE CONTROLLER'S OFFICE.
THEY ALSO HANDLED THE SINGLE AUDIT PROCESS, UH, WHICH PERTAINS TO THE FEDERAL AND STATE GRANTS, UM, WHICH WAS ALSO COMPLETED AND FILED TIMELY.
UM, AS I MENTIONED, UH, WE HAD THE NEW AUDIT PARTNER AND THEY WERE VERY COMPLIMENTARY OF THE, OF THE TEAM WITH THE NEW, UH, FIRM, THE AUDIT PARTNER, SAYING THAT THE TEAM WAS VERY IMPRESSED WITH THE CITY'S ACCOUNTING SYSTEM AND ENVIRONMENT.
UM, AND SO I, I FEEL REALLY GOOD ABOUT THE COLLABORATION WE HAD BOTH INTERNALLY AND WITH OUR, OUR PARTNER.
UM, SO CONGRATULATIONS TO WILL AND HIS WHOLE TEAM AS WELL.
IT WAS A, IT WAS A TASK TO GET HERE AND WE DEFINITELY HAVE LESSONS LEARNED, SO WE'RE, WE'RE ALREADY PLANNING TO MEET, TO TALK ABOUT THOSE TO, TO GET READY FOR NEXT YEAR.
AND, AND THANKS FOR GETTING IN ON TIME.
I KNOW AT TML THIS YEAR, THEY MADE A BIG STRONG PUSH THAT THEY'RE GONNA BE SO SERIOUS ABOUT PEOPLE THAT FILED THESE LATE.
GETTING DONE ON THE, ON THE, UM, THE ARPA REVENUE REPLACEMENT.
IS THIS THE END OF THE END OF THE ARPA, UH, OPERATING THE FUNDS THAT WE CAN USE FOR OPERATING? SO WE'RE GONNA CONTINUE TO MONITOR, UM, ANY TIME THAT WE FEEL LIKE THE FUNDS WILL NOT BE EXPENDED BY DECEMBER 31ST, 2026.
WE STILL HAVE THE OPPORTUNITY UNDER THE RULES, UM, PUT OUT BY THE TREASURY DEPARTMENT THAT WE CAN STILL PUT TOWARDS REVENUE REPLACEMENT, BUT WE ARE DOWN TO, YOU KNOW, THE SMALLER AMOUNTS.
IS THAT, AND IS THAT THE, UM, IS THAT THE DESIRED PLACE FOR ANY ARPA FUNDS THAT ARE UNSPENT TO GO FOR REVENUE REPLACEMENT, NOT FOR OTHER TYPE ACTIVITIES OR OTHER PROJECTS? THE OTHER PROJECTS WOULD'VE HAD TO BEEN OBLIGATED BY DECEMBER 31ST, 2024.
SO ALL WE'RE LEFT WITH IS REVENUE REPLACEMENT FOR ANY OF THESE UNENDED FUNDS.
UM, DEPUTY DIRECTOR JONES, ON THE, ON THE, DO YOU HAVE ANY INFO OR ANY, EITHER OF YOU HAVE ANY INFORMATION ON THE, UM, CRITICAL VACANT POSITIONS AT HPD, THE $1.3 MILLION INCREASE MM-HMM
OR IS THAT, DO I NEED TO JUST CHECK WITH HPD? I THINK HPD COULD PROBABLY GIVE YOU A, A BETTER SENSE FROM THE OPERATIONAL SIDE OF IT.
UM, BUT WE DID, YOU KNOW, GO THROUGH THAT REQUEST WITH THEM, THE ADMINISTRATION, AND THEY WERE POSITIONS THAT THEY FEEL ARE CRITICAL TO SUPPORTING POLICE OPERATIONS.
UM, I DO WANNA WELCOME COUNCIL MEMBER FRED FLICKINGER AND STAFF FROM COUNCIL MEMBER TIFFANY THOMAS' OFFICE TO THE HORSESHOE AND COUNCIL MEMBER CAYMAN IS ONLINE AND STAFF FROM COUNCIL MEMBER EVAN SHABAZZ'S OFFICE.
UM, DO ANY OF MY COLLEAGUES HAVE ANY ADDITIONAL QUESTIONS ABOUT THE MONTHLY FINANCIAL REPORT? UM, KATE WITH COUNCIL MEMBER CAYMAN'S OFFICE, THANK YOU SO MUCH FOR YOUR PRESENTATION.
UM, AND THANK YOU FOR THE REPORT.
UM, WHEN CAN WE SEE COMING TO THE FULL COUNCIL THE BUDGET AMENDMENTS THAT WERE VOTED OUT OF THE LAST BUDGET IN A FISCAL AFFAIRS COMMITTEE? I'LL HAVE TO FOLLOW UP WITH THE ADMINISTRATION ON THAT.
SEEING NO OTHER QUESTIONS, WE WILL MOVE ON.
THANK YOU VERY MUCH FOR YOUR PRESENTATIONS.
WE WILL SEE YOU TOMORROW AND WE WILL MOVE ON TO OUR NEXT AGENDA ITEM.
I'D LIKE TO WELCOME HOUSTON PUBLIC WORKS AS DEPUTY DIRECTOR SAMIR LANKY AND ASSISTANT DIRECTOR DAVID WARDLOW TO PRESENT AN OVERVIEW AND HISTORY OF STORMWATER FUND SPENDING.
AS YOU, AS YOU KNOW, THERE'S BEEN A LOT OF DISCUSSION ABOUT THIS FUND RECENTLY, SO WE'RE INTERESTED IN DIGGING IN A LITTLE DEEPER.
THANK YOU CHAIR, COUNCIL MEMBERS AND STAFF.
I'M THE CHIEF FINANCIAL OFFICER FOR HOUSTON PUBLIC WORKS.
I'M JOINED BY OUR ASSISTANT DIRECTOR AT HOUSTON PUBLIC WORKS, DAVID WARDLOW, WHICH EVERYBODY KNOWS WHO HE IS.
UM, LET'S GO AHEAD AND MOVE TO THE NEXT SLIDE.
SO JUST TO GIVE YOU SORT OF AN OVERVIEW OF THE BREADTH OF WHAT PUBLIC WORKS, UH, IS IN CHARGE OF, WE'VE GOT 16,000 MILES OF STREETS, 3,900 MILES OF STORM DRAINS.
WE TREAT 170 BILLION GALLONS OF WATER ON AN ANNUAL BASIS, 2,500 TRAFFIC SIGNALS, 2,900 MILES OF ROADSIDE DITCHES, 6.2 MILLION WATER BILLS SENT PER YEAR, 550 PERMITS.
UH, WE HANDLE $3.5 BILLION WITH A B ON AN ANNUAL BUDGET
[00:15:01]
WITH ABOUT 4,000 EMPLOYEES IN PUBLIC WORKS.SO THE FOCUS AND PURPOSE TODAY IS TO KINDA LOOK AT STORM WATER FUNDING THE HISTORY, UH, OF THE, UH, STORM WATER, AS WELL AS ITS, UM, HISTORICAL REVENUE SPENDING AND ITS OPERATIONAL USES.
THIS IS BASED ON THE BRIEFING THAT WAS REQUI, UH, REQUESTED BY CITY COUNCIL.
FATHER, JUST TO MENTION, THE STORMWATER FUND WAS ESTABLISHED IN THE EARLY NINETIES, ROUGHLY ABOUT 1992.
SO THE PURPOSE, AND TO GIVE YOU CONTEXT OF STORM WATER FUNDING, IT SUPPORTS DRAINAGE OPERATIONS AND MAINTENANCE CITYWIDE, UH, MAINTAINS OPEN AND CLOSED DRAINAGE SYSTEMS. AND WE'RE GONNA GO THROUGH A FEW PICTURES TO PRESENT TO YOU THAT, TO YOU AS WELL, UH, PROTECTS PUBLIC SAFETY AND REDUCES FLOOD RISK.
AND THE FUND ITSELF PRIMARILY ACTS AS LIKE A PASS THROUGH ACCOUNT.
PLEASE SPENT A LITTLE BIT OF TIME ON THIS SO THAT WE HAVE A, A, A GOOD OVERVIEW OF HOW THE STORM WATER GETS IT FUNDING.
IT'S A LOT OF STUFF THAT GOING ON HERE, BUT FOCUSING ON THE BIG BOX RIGHT THERE IS STORMWATER FUND.
IT RECEIVES PRIMARILY ITS REVENUE FROM THE COMBINED UTILITY SYSTEM, WHICH IS HOUSTON WATER.
IT ALSO GETS A, UH, PORTION OF ITS REVENUE FROM THE DDSR OF GROUP.
AND IT'S IMPORTANT TO NOTE THAT STORMWATER IS OUTSIDE OF THE DDSR OF GROUP.
AND THEN HISTORICALLY SPEAKING, THERE HAS BEEN SOME FUNDING THAT HAS BEEN PROVIDED FROM THE GENERAL FUND, WHICH HAS BEEN DISCRETIONARY, PRIMARILY RELATED TO THE STORM WATER ACTION TEAM OR, UH, UH, SWAT PROJECTS.
UM, IT'S ALSO IMPORTANT TO NOTE THAT THE COMBINED UTILITY SYSTEM, WHICH WAS FORMED IN 2004, ALLOWS FOR 8% OF ITS GROSS REVENUES TO BE TRANSFERRED FOR DRAINAGE RELATED PURPOSES.
AND IT'S ALSO IMPORTANT TO NOTE THAT WHEN THAT TRANSFER HAPPENS ON A PRACTICAL BASIS, FIRST THE UTILITY WILL PAY FOR ITS OPERATIONS AND MAINTENANCE THAT'LL PAY FOR THE FIRST LIEN DEBT.
THE SECONDLY DEBT, ALL OF THAT.
AND AT THE VERY BOTTOM BUCKET WE HAVE A FUND CALLED 83 0 5, WHICH IS A, WE CALL IT A, EITHER A SAVINGS ACCOUNT OR A GENERAL PURPOSE FUND.
THEN THAT FUNDING GETS TRANSFERRED INTO THE STORM WATER FUND FOR DRAINAGE RELATED PURPOSES.
OKAY, MOVE ON TO THE NEXT SLIDE, DAVID.
UM, THIS GRAPH IS JUST TO GIVE YOU THAT HISTORICAL PERSPECTIVE ON THE REVENUES COMING INTO THE STORMWATER FUND, AND IT ALIGNS COLORWISE WITH THAT PREVIOUS GRAPH.
SO YOU CAN SEE THE HEAVIER RELIANCE OF THE STORMWATER FUND ON THOSE TRANSFERS FROM THE COMBINED UTILITY.
UM, AS YOU CAN SEE, UH, A SIGNIFICANT UPTICK IN THE LAST FEW YEARS THAT IS PRIMARILY DRIVEN BY THE IMPLEMENTATION OF THE ROADSIDE DITCH REESTABLISHMENT PROGRAM.
SO KUDOS TO EVERYBODY IN GETTING THAT PROGRAM STOOD UP AS WELL AS MORE RECENTLY, UH, TAKING ON THOSE, UH, ACTIVITIES, UH, FROM THE DEPARTMENT OF NEIGHBORHOODS.
AND WHAT WE'RE LIKELY GONNA GET ASKED ABOUT HERE TOO IS THE INCREASE LEVEL OF ACTIVITY, UH, IN, UH, REMOVING OF, UH, DANGEROUS BUILDINGS.
OKAY, LET'S MOVE ON TO THE NEXT SLIDE.
YEAH, SO GIVE YOU A QUICK OVERVIEW ON THE EXPENSES.
UM, STORM WATER FUND DOES MANAGE A CLOSED STORM SEWER DRAINED SYSTEM MAINTENANCE, AND THEN YOUR OPEN DITCH DRAINED SYSTEM MAINTENANCE, UM, AS WELL.
AND SOME OF THE DETAILS BEHIND THAT, IT'LL HANDLE THINGS LIKE STORM WATER COLLECTION, WHICH IS INSPECTION, CLEANING, FLUSHING, AND REPAIR, JUNK AND INSPECTION REMOVAL.
UM, LET'S MOVE ON TO THE NEXT SLIDE.
YOU CAN KIND OF SEE SOME OF THE DEBRIS AND OTHER JUNK THAT'S BEEN ACCUMULATED THAT BLOCKS THE JOINTED SYSTEM THERE AS WELL.
PRETTY GOOD REPRESENTATION THERE AS WELL.
OKAY, MOVE ON TO THE NEXT SLIDE.
WE CAN MOVE ON TO THE NEXT SLIDE.
AND THIS IS SOME OF THE DEMOLITION WORK, UM, THAT'S BEEN DONE AS WELL.
UM, YOU CAN SEE SOME OF THESE INTERNAL, UH, CREWS THAT HAVE BEEN USED FROM HOUSTON PUBLIC WORKS FOR, UH, UH, SOME OF THESE BUILDING DEMOLITIONS, UM, RECENTLY THAT HAVE BEEN CONDUCTED.
SO, UM, IT ALSO SUPPORTS FUNCTIONS AND INTERNAL TRANSFERS WITHIN THE TRO WATERFRONT AS WELL.
ALL RIGHT, SO NOW WE'VE KIND OF WALKED THROUGH WHAT, HOW WE PAY FOR THE STORMWATER FUND AND THE ACTIVITIES THAT THE STORMWATER FUND ENGAGES IN, WHICH IS REALLY THOSE O AND M HEAVY ACTIVITIES.
THIS IS THE BREAKDOWN OF THOSE EXPENSES.
UM, AND APOLOGIES FOR TRYING TO PRESENT A LOT OF INFORMATION IN ONE GRAPH.
UM, BUT, UH, ANY DISTANCE AWAY FROM ZERO IS POSITIVE HERE, RIGHT ABOVE THE LINE, WE'RE TRYING TO SHOW THOSE ACTIVITIES THAT ARE REALLY THOSE SERVICE PROVIDING FUNCTIONS.
SO THE WORK THAT IS ONGOING FOR THE STORM SEWER MAINTENANCE AND, AND OPERATIONS, THE OPEN SYSTEMS OF DITCHES AND BASINS, VEGETATION MANAGEMENT, OUR STORM WATER QUALITY ENFORCEMENT GROUP.
AND THEN YOU SEE IN 2026 BUDGET, THAT ALLOCATION OF 25 MILLION FOR THE INCREASED LEVEL OF DEMOLITION ACTIVITY.
BELOW THE LINE IS KIND OF THE OPERATIONS OR THE, KINDA THE MORE BACK OFFICEY KIND OF STUFF.
SO THE ONGOING DEBT SERVICE THAT COMES OUTTA THE STORMWATER FUND AS WELL AS ADMINISTRATIVE IN SUPPORT.
UM, AGAIN, YOU SEE THAT UPTICK COMING FROM EARLY 23
[00:20:01]
GOING INTO 24 5 AND SIX FOR THE IMPLEMENTATION OF THE ROADSIDE DITCH REESTABLISHMENT PROGRAM.THAT'S WHAT'S REALLY DRIVING THAT INCREASE IN THE ORANGE BAR THAT YOU SEE, RIGHT.
AS WELL AS EFFECTS OF INFLATION AND OTHER FACTORS, UH, DRIVING A LITTLE BIT OF COST INCREASE.
WE DID HIGHLIGHT HERE, UH, THE AMENDMENT, UH, THAT WAS PASSED FOR THIS BUDGET, UH, 7.02 FOR THE 20 MILLION FOR A ROADSIDE DITCH THERE, JUST TO GIVE YOU AN INDICATION THAT THAT THAT INCREASE FROM 25 TO 26 WAS JUICED A LITTLE BIT IN THE BUDGET, UH, BY THAT AMENDMENT.
UM, THIS IS TO GIVE YOU AN IDEA OF THE FTES THAT ARE WITH HOUSED WITHIN THE STORMWATER FUND ITSELF.
UM, SO WHAT'S IN THE BACKGROUND? SO THE AREA KIND OF GRAPHIC IS THE BUDGETED LEVEL OF FTE POSITIONS.
THE BARS IN FRONT ARE THOSE ACTUAL POSITIONS.
UH, SO YOU CAN SEE WE HAVE THE ACTUAL 3 25.
UM, WE DID ALSO NOTE THOUGH IT IS NOT IN THE STORMWATER FUND, THE FTES THAT THE STORMWATER FUND IS PAYING FOR IN 2301, UH, DUE TO THE CONSOLIDATION OF THE INSPECTORS FROM, UH, DEPARTMENT NEIGHBORHOODS.
SO YOU CAN KIND OF SEE WE INCREASED THE STAFFING LEVEL IN THE STORMWATER FUND BECAUSE OF THE DITCH REESTABLISHMENT PROGRAM GOING INTO 25.
AND THAT'S PRETTY FLAT GOING TO 26.
RIGHT? THE INCREASE FOR 26 IS REALLY DUE TO THAT CONSOLIDATION, UH, OF DON.
THIS PRIMARILY FOCUSES ON, UM, PREVIOUS DEBT THAT WAS ISSUED FOR STORMWATER, UH, STORMWATER RELATED CAPITAL NEEDS.
AND AS YOU CAN SEE, THAT'S BEEN GOING ON SINCE ABOUT 2007.
AND THE, UH, MAJOR TRICKLE DOWN, UH, WILL TAKE PLACE IN 2031 WITH, UH, PRETTY SIGNIFICANT DROP OUT IN THE 2040 TIMEFRAME.
AND AGAIN, THIS IS PREVIOUS DEBT THAT IS CONTINUING TO BE PAID DOWN OVER A PERIOD OF TIME.
WE'LL SEE THAT DROP OFF, UM, UM, OVER THE NEXT FEW, FEW YEARS.
ALRIGHT, WE WANTED TO GIVE YOU A PICTURE, JUST SOME ILLUSTRATIONS.
IT'S A LITTLE DIFFICULT TO TRY TO COMBINE ALL THE ACTIVITIES AND GIVE YOU SOME SENSE OF THIS, BUT THE STORMWATER FUND IS DOING WORK CITYWIDE, RIGHT? IT SUPPORTS THE PROPER AND EFFICIENT OPERATION OF THE DRAINAGE SYSTEM ACROSS THE CITY.
SO WE WANT TO GIVE YOU A GRAPHIC OF THIS IS THE WORK ORDERS FROM THE LAST FIVE YEARS OF ACTIVITY FROM 21 THROUGH 25, UH, KIND OF ILLUSTRATING THAT WE'RE DOING, YOU KNOW, DEPENDING ON THE TYPES OF DRAINAGE SYSTEMS THAT SERVE EACH AREA OF THE CITY, UH, MORE CLOSED SYSTEM OR OPEN SYSTEM WORK.
UH, BUT YOU'RE SEEING THAT AS WELL AS VEGETATION, UH, CONTROL THROUGHOUT, THROUGHOUT THE CITY.
SO, AGAIN, A FEW KEY TAKEAWAYS.
STORM WATER FUND SUPPORTS A WIDE RANGE OF DRAINAGE ACTIVITIES.
SPENDING IS FOCUSED ON OPERATIONS, MAINTENANCE AND RISK REDUCTION.
THE FUND OPERATES AS A PASS THROUGH ACCOUNT ALIGNED WITH APPROVED USES AND THE ACTIVITY SUPPORT PUBLIC SAFETY AND FLOOD RESILIENCE.
THAT CONCLUDES OUR PRESENTATION AND WE'LL TAKE QUESTIONS.
THANK YOU VERY MUCH, MAYOR PRO TEMP, THANK YOU FOR YOUR PRESENTATION.
AND I KNOW THAT YOU'RE AWARE OF THE DECISION THAT WE HAVE TO MAKE THIS WEEK.
WHAT I'M TRYING TO FIGURE OUT, IF YOU CAN WALK ME THROUGH, WE HAD, UM, ONE SLIDE THAT TALKED ABOUT THE DAWN CONSOLIDATION, THE TRANSFER TO 2301.
I KNOW THAT WE DEPENDED A LOT ON DEPARTMENT OF NEIGHBORHOODS FOR DEMOLITIONS.
UM, WHEN WE TALKED ABOUT THE TRANSFER AND THE MOVING OF INSPECTORS, UM, TO PUBLIC WORKS, UM, WAS ANY OF THAT DISCUSSION ALSO TO INCLUDE US MOVING THOSE, UH, THE PROCESS OF, OF DEMO, UM, TO THIS FUND AS WELL? BECAUSE WE, IT SEEMS LIKE WE MOVED THE DEPARTMENT OF NEIGHBORHOOD FUNCTIONS AND SO A BIG FUNCTION OF DEPARTMENT OF NEIGHBORHOODS WAS DEMOLITION.
SO DOES THAT ALSO TRANSFER TO OUR ABILITY TO PAY FOR THE FUNCTIONS OF THE DEPARTMENT OF NEIGHBORHOOD IF WE MOVED ALL THE PEOPLE THERE? DO WE ALSO TRANSFER THE FUNCTIONS OF THE DEPARTMENT OF NEIGHBORHOODS TO BE ABLE TO PAY? THE SHORT ANSWER IS YES.
THAT WAS THE IDEA WHEN TRANSFERRING OVER THE EMPLOYEES THAT THE FUNCTIONS WILL BE TAKEN OVER AS WELL.
THANK YOU STAFF FROM COUNCIL MEMBER CAYMAN'S OFFICE.
LOOKING AT SLIDE, LET'S SEE, SLIDE 10, THE STORMWATER FUND EXPENSE OVERVIEW.
UM, I SEE FY 26 IS THE FIRST YEAR WITH DEMOLITION BEING FUNDED BY THE STORMWATER FUND.
IS THAT CORRECT? IT, WE HAVEN'T USED THIS FUND BEFORE FOR DEMOLITION.
IT, IT, THAT'S THE FIRST YEAR WHERE IT'S BEEN SORT OF CALLED OUT FOR BUILDING DEMOLITION.
BUT I WILL TELL YOU THAT HISTORICALLY SPEAKING AND IN PRACTICE, UM, HOUSTON PUBLIC WORKS HAS, UH, REMOVED BUILDINGS THAT HAVE BEEN DESTROYED BY FIRE,
[00:25:01]
FOR EXAMPLE.UH, WE HAVEN'T SPECIFICALLY CALLED IT OUT WITHIN THE BUDGET.
AND SO IN ORDER TO BE A LITTLE BIT MORE TRANSPARENT, IT'S BEEN CALLED OUT VIA A DIFFERENT COST CENTER OR A DIFFERENT ACCOUNT SO THAT PEOPLE ARE ACTUALLY ABLE TO SEE THAT THIS FUNDING IS BEING USED FOR A DANGEROUS BUILDING DEMOLITION.
BUT I WILL TELL YOU THAT IN PRACTICE, HISTORICALLY SPEAKING, UH, FIREFIGHTERS OR THE FIRE DEPARTMENT HAS CALLED HOUSTON PUBLIC WORKS TO HELP REMOVE BUILDINGS THAT HAVE BEEN, UH, HEAVILY DAMAGED BY FIRE PREVIOUSLY.
THANK YOU MADAM CHAIR AND THANK YOU BOTH FOR THE PRESENTATION.
UH, QUESTION BEFORE, THE CONSOLIDATION OF DEPARTMENT OF NEIGHBORHOODS UNDER PUBLIC WORKS, WHEN DEPARTMENT OF NEIGHBORHOODS, UH, DEMOED BUILDINGS, HOW, HOW WAS THAT PAID FOR? WHAT FUND DID THAT COME OUT OF BUILDING INSPECTION PERMITTING? RIGHT.
I'M, I'M NOT EXACTLY SURE WHERE THAT WAS, BUT WE CAN GET THAT ANSWER FOR YOU.
IT, THE, THE TRANSFER IN WAS TO THE TRANSFER IN THIS YEAR, UM, IN THIS YEAR'S BUDGET, UH, SHOWS THAT IT, UM, GOES INTO THE PERMITTING SEC.
IT'S A TRANSFER INTO THE PERMITTING TO HPC, WHICH HAD NEVER BEEN DONE BEFORE.
SO I'M ASSUMING THAT MELISSA, THAT THAT MAYBE CAME FROM CODE ENFORCEMENT BUILDING AND, YOU KNOW, PERMITTING.
SO THERE ARE A COUPLE DIFFERENT AVENUES HISTORICALLY, DON SOME OF THEIR DEMOLITIONS WERE DONE USING DEBT THAT WAS ISSUED CERTIFICATES OF OBLIGATION, WHICH WE REPAY WITH GENERAL FUND DOLLARS.
UH, THAT'S PROGRAMMED IN THE CIP IN PREVIOUS YEARS.
UM, AND THEN ALSO, LIKE YOU MENTIONED, THE, THE BUILDING INSPECTION FUND, I BELIEVE WAS ALSO PART OF IT.
AND SO WE'RE NO LONGER RELYING ON THAT SOURCE SOURCE OF FUNDING.
WE'RE, WE'RE GONNA TAKE IT OUT OF STORM WATER.
WE DO HAVE TO, UM, FINISH USING THE CERTIFICATES OF OBLIGATION THAT WE'RE ALREADY ISSUED, THE DEBT THAT WAS ALREADY ISSUED, UM, BECAUSE IT WAS ISSUED FOR THAT SPECIFIC PURPOSE.
AND WE CAN GET YOU A FIGURE ON HOW MUCH THAT IS LEFT.
UM, AND LET ME ASK YOU A QUESTION ABOUT, UM, SOMETHING OUT OF FY 26, UH, BUDGET.
THE BIG BUDGET BOOK WE GOT HAD A BULLET BULLET POINT, UH, ON THE STORMWATER FUND PAGE THAT SAID INCLUDES AN ADDITIONAL 25 MILLION FUNDING TO FUND THE DEMOLITION OF UNSAFE BUILDINGS ON BEHALF OF DEPARTMENT OF NEIGHBORHOODS.
UM, THIS ITEM ON THE AGENDA TOMORROW IS FOR HOW MUCH, ONCE AGAIN, THE SPENDING AUTHORITY COVERS MORE THAN ONE FISCAL YEAR, RIGHT? SO IT'S CURRENT YEAR SPENDING, WHICH I THINK IS THE 25 PLUS, IT HAS SOME CAPACITY TO CONTINUE INTO THE FOLLOWING FISCAL YEAR.
SO I THINK THAT'S WHY YOU SEE THE $30 MILLION NUMBER THAT'S ON.
THAT'S, THAT'S MY UNDERSTANDING OF WHAT THE ITEM IS, UH, ON, ON COUNCIL'S AGENDA.
AND THE BULLET POINT SAID, ADDITIONAL $25 MILLION FUNDING, AND THIS AGAIN, IS ON THE STORMWATER FUND PAGE, ADDITIONAL IMPLIES THAT THERE'S ALREADY FUNDS THAT ARE BEING USED TO DEMOLISH UNSAFE BUILDINGS.
WHERE WERE THOSE FUNDS COMING FROM? WELL, I THINK THAT'S SAMIR KIND OF ILLUSTRATED WITHIN THE STORMWATER FUND ITSELF.
THE DEPARTMENT HAD BEEN ASKED TO PERFORM SOME OF THESE DEMOLITIONS BEFORE WITH ITS OWN IN-HOUSE RESOURCES, PRIMARILY SOME CONTRACTOR JUST WITHIN THIS ROUTINE OPERATIONS GETTING A REQUEST FROM ANOTHER DEPARTMENT.
IN THIS CASE IT'S 25 MILLION SPECIFICALLY SET ASIDE IN THE BUDGET TO PERFORM THAT FUNCTION THROUGH CONTRACTORS.
THAT'S WHY IT'S TAGGED SPECIFICALLY AS ADDITIONAL 25 MILLION FOR THAT PURPOSE.
SORRY TO INTERRUPT, BUT THAT, THAT GOES, KIND OF GOES TO YOUR OTHER QUESTION.
I THINK WHAT MELISSA SAID WAS SOME OF THE COS STILL NEED TO BE USED AND, AND, AND SOME OF THE ONES THAT DON'T HAVE A NEXUS WITH DRAINAGE, UM, I'M ASSUMING WILL COME FROM THE COS OR THE BUILDING INSPECTION FUND.
AND, AND LET ME, YOU MAY NOT BE ABLE TO ADDRESS THIS, BUT WHEN, WHEN THIS ITEM OR AN EARLIER VERSION OF IT FIRST APPEARED ON AN AGENDA, IT WAS BACK IN OCTOBER AND WE INQUIRED ABOUT IT AT THAT TIME, I BELIEVE WE WERE TOLD, UH, HEY, THIS IS FOR, UH, ASBESTOS ABATEMENT IN, IN BUILDINGS THAT NEED TO TO COME DOWN.
UM, AND I'M WONDERING ABOUT THE, THE NEXUS, IF THERE IS A NEXUS BETWEEN THE, THE BUILDINGS THAT DIRECTOR MACKAY SPOKE ABOUT IN, IN DECEMBER THAT ARE ADJACENT TO OUR, OUR DITCHES AND THAT THAT, THAT ARE RESPONSIBLE FOR MATERIAL GOING TO THE DITCHES, WHETHER THOSE BUILDINGS ALL CONTAIN ASBESTOS OR HOW MANY OF THEM CONTAIN ASBESTOS, I THINK WE COULD FOLLOW UP WITH YOU ON THAT.
BUT OBVIOUSLY IF WE'RE GONNA DEMOLISH A BUILDING, WE HAVE TO REMEDIATE THE SITUATION THAT'S THERE FOR, FOR HASTI MATERIALS AND THAT WOULD INCLUDE ASBESTOS REMOVAL IF WE'RE GONNA TAKE THE BUILDING DOWN.
[00:30:01]
MEMBER, VICE CHAIR CASTILLO.AND THANK YOU BOTH FOR THE INFORMATION TODAY.
SO LOOKING AT THE SLIDES, OBVIOUSLY WE SEE DEBRIS IN DITCHES AND YOU KNOW, WE'VE SEEN AND HEARD THE EXAMPLES PREVIOUSLY OF, UH, ABANDONED DANGEROUS BUILDING COLLAPSING INTO A DITCH OR DANGER OR DAMAGING, UM, INLET INFRASTRUCTURE.
WHAT PROCESS WILL TAKE PLACE THAT WILL DETERMINE WHEN THIS POT OF MONEY IS USED TO BRING DOWN A BUILDING THAT IS IMPACTING DRAINAGE? I, I THINK IDEALLY THERE HAVE BEEN, UM, IDENTIFIED, ALREADY IDENTIFIED DANGEROUS BUILDINGS THAT ARE OUT THERE THAT ARE IMPACTING DRAINAGE, UH, GENERALLY.
AND SO THERE IS A PLAN IN PLACE, UM, TO KIND OF GO THROUGH AND IDENTIFY WHICH HAS A, IN TERMS OF PRIORITY.
UM, AND SO ONCE THAT TAKES PLACE, SO ESSENTIALLY THERE'S A LIST OF DANGEROUS BUILDINGS THAT ARE OUT THERE THAT NEED TO BE TAKEN DOWN THAT ARE IMPACTING DRAINAGE CURRENTLY.
AND SO PUBLIC WORKS IS WE MOVING FORWARD WITH PROBABLY MOST LIKELY THE, UH, UH, MOST HIGH PRIORITY BUILDINGS.
UM, AND THEN MOVING FORWARD THAT WAY.
SO THERE'S A LOT OF BUILDINGS THAT ARE OUT THERE AND SO WE JUST NEED TO IDENTIFY WHICH ARE THE HIGHEST PRIORITIES AND MOVE FORWARD THAT WAY.
LET'S SAY COUNCIL MEMBER, YOU'VE GOT THE RESOURCE FOLKS HERE.
I, I KNOW THAT DISCUSSION IS GOING ON RIGHT NOW ABOUT WHAT CRITERIA WE USE TO SPECIFICALLY IDENTIFY, WHICH IN THAT LIST HAVE THAT LOGICAL NEXUS WITH STORMWATER, WHICH ONES WOULD HAVE TO RELY ON OTHER FUNDING SOURCES.
BUT, UM, TO OUR UNDERSTANDING, A LARGE NUMBER OF THEM CORRECT.
SO, UM, I THINK WHILE THAT WORK IS ONGOING, UH, WE UNDERSTAND YOUR INTEREST IN IT.
COUNCIL MEMBER CASTILLO, I DO THINK THAT THAT, UM, THAT IS, UH, MORE OF THESE ARE MORE OF THE FINANCIAL PEOPLE, BUT I THINK THAT OPERATIONAL QUESTION WAS BROUGHT UP SEVERAL TIMES IN OUR DISCUSSION BEFORE THE HOLIDAYS.
SO I THINK THEY'RE, HOPEFULLY RANDY IS SOMETHING BEING WORKED ON TO, UM, THAT KIND OF CRITERIA.
YOU DON'T HAVE TO GET INTO IT NOW, BUT, UM, WE'D PROBABLY LIKE TO SEE SOMETHING IN WRITING.
AND, AND I'LL BE, I'LL BE VERY BRIEF ON THAT.
UH, WE HAVE A FLOW CHART THAT IS ACTUALLY IN DEVELOPMENT.
I'M HOPING TO HAVE THAT COMPLETED AND CERTIFIED TO GIVE TO EVERYBODY NEXT WEEK.
BUT IN LARGE PART, LIKE EVERYTHING THAT WE DO THAT'S RELATED TO INSPECTION, WE RELY ON OUR INSPECTORS AND, AND THE INSPECTORS WILL HAVE A, A VERY RIGOROUS PROCESS OF DOCUMENTATION THAT GOES INTO THE DECISION MAKING PROCESS THAT CLEARLY DEMONSTRATES THAT THERE IS AN EXISTING NEXUS.
AND IF THERE IS NO EVIDENCE OF SUCH, THEN WE WOULD USE THE OTHER CONTRACTS THAT HAVE BEEN MENTIONED SO FAR.
ANY ADDITIONAL QUESTIONS? OKAY.
THANK YOU FOR THE PRESENTATION.
UM, I DON'T HAVE A LOT OF QUESTIONS BECAUSE, UM, I MET WITH THE MAYOR'S OFFICE LAST WEEK AND GOT ALL MY QUESTIONS ANSWERED, BUT I WAS HOPING THAT YOU COULD TALK, UM, A LITTLE BIT MORE ABOUT THE CAPACITY, UM, FOR PUBLIC WORKS FOR MAINTAINING DITCHES.
THE BIGGEST TAKEAWAY FOR ME FROM THAT MEETING WAS THAT IF WE VOTE THIS CONTRACT DOWN AND NOW WE HAVE THIS ADDITIONAL OR $25 MILLION THAT WE'RE NOT SPENDING ON THIS, THAT WE DON'T NECESSARILY HAVE THE CAPACITY THEN TO SHIFT IT INTO, UM, MAINTENANCE OF MORE DRAINS, UM, AND STORM MAINTENANCE AND WHAT WE'RE CURRENTLY DOING RIGHT NOW ANYWAY, BECAUSE SO MUCH OF THAT WOULD GO INTO JUST KIND OF MAINTAINING THOSE DITCHES THAT ARE HAVING THE ILLEGAL DUMPING ANYWAY.
SO CAN YOU TALK A LITTLE BIT MORE ABOUT THAT? YEAH, TAP IN.
CAN I TAP IN ON THAT? GO AHEAD AND TAKE A SEAT.
YEAH, THIS CHAIR LOOKS MORE COMFORTABLE.
UM, NO, THAT, THAT'S A GREAT QUESTION.
WELL, I THINK ONE OF THE THINGS THAT YOU SAW IN, UH, IN SAMIR'S PRESENTATION HERE SHOWED THE RESOURCES THAT ARE FROM A PERSONNEL STANDPOINT THAT ARE BEING FUNDED BY STORMWATER RIGHT NOW.
WHAT YOU SAW WAS THE ACTUAL VERSUS THE BUDGETED.
AND THAT GAP IS WIDENING AS WE INCREASE THE REVENUE INTO THE FUND AS WELL AS THE EXPENSES GOING OUT OF IT.
UH, THIS PARTICULAR ITEM THAT'S KIND OF BROUGHT THE, THE GENESIS OF THIS CONVERSATION IS ONE FOR OUTSIDE CONTRACT HELP TO COME IN AND DO THAT BECAUSE WE DO NOT HAVE INTERNAL RESOURCES.
AND IN FACT, IF YOU THINK ABOUT FOR INSTANCE, THE EXAMPLES OF WHERE WE SUPPORT HFD TO DEMOLISH A BUILDING AFTER A FIRE, TYPICALLY BECAUSE THE MATERIALS ARE FLOWING INTO OTHER PLACES, ET CETERA, UM, WE'RE ACTUALLY TAKING OUR FOLKS OFF TASK WHO ARE DEDICATED TO DRE ESTABLISHMENT AND OTHER REGULAR MAINTENANCE ACTIVITIES TO GO IN AND SUPPORT THAT.
SO WE WANT TO HAVE ADDITIONAL OUTSIDE CAPACITY RIGHT NOW WHILE WE'RE VERY AGGRESSIVELY TRYING TO HIRE INTERNAL STAFF TO HELP SUPPORT THE REST OF THOSE OPERATIONS.
WE'RE A LITTLE BIT RIGHT NOW IN A CHICKEN AND EGG SORT OF SITUATION OF WHICH ONE ARE WE GONNA BE ABLE TO GET FIRST IN ORDER TO MOVE FORWARD.
CAPACITY IS A PROBLEM BECAUSE INTERNALLY, UH, THE DEPARTMENT'S AT THE LOWEST NUMBER OF FTES THAT WE'VE HAD IN PROBABLY A DECADE.
UM, THERE'S A LOT OF REASONS FOR THAT, BUT WE'VE ALSO, THROUGH THE RESTRUCTURE, WE'VE BECOME VERY AGGRESSIVE IN OUR HIRING OPPORTUNITIES AND WE'VE GOT A LOT OF TALENT THAT'S VERY INTERESTED IN JOINING US.
IT'S JUST A MATTER OF TIME AND HOW WE CAN GET THOSE FOLKS SPUN
[00:35:01]
UP AND READY TO GO.UM, GOING BACK TO VICE CHAIR CASTILLO'S QUESTION, UM, ABOUT THE CRITERIA ON WHICH WE'RE DETERMINING THE NEXUS FOR THE IMPACT OF FLOODING.
UH, I THINK YOU SAID THAT THAT CRITERIA MAY BE AVAILABLE, EXCUSE ME, THE FOLLOWING WEEK.
IS THAT CORRECT? YEAH, THAT OUR GOAL IS, UH, I'VE SEEN EARLY DRAFTS OF IT AND WE WANNA MAKE SURE THAT IT IS THOUGHT THROUGH ALL THE WAY AND, AND POLISHED IN A PRESENTABLE FORMAT.
SO MY TARGET IS WITHIN HOPEFULLY THE NEXT SEVEN TO 10 DAYS, WE'LL BE ABLE TO DISTRIBUTE THAT TO COUNCIL.
AND I THINK ONE OF THE QUESTIONS I HAVE WITH THAT IS, THIS IS COMING BACK TO COUNCIL TOMORROW, UH, FOR A VOTE AND WE HAVEN'T YET SEEN THAT CRITERIA.
SO THE TIMING OF THIS IS A LITTLE, UM, I'M NOT COMFORTABLE YET.
UH, IN TERMS OF ENGAGEMENT, WHEN WE HAVE A BIG POL POLICY SHIFT OR A SHIFT IN HOW WE'RE UTILIZING FUNDS, THERE'S NORMALLY STAKEHOLDER ENGAGEMENT DIRECTOR.
CAN YOU SPEAK TO WHAT ORGANIZATIONS THE DEPARTMENT OR THE ADMINISTRATION WORKED WITH BEFORE THIS WAS PROPOSED OR WHILE THIS WAS BEING PROPOSED? WELL, I THINK A LOT OF THE GENESIS OF THIS GOES ALL THE WAY BACK TO WHEN WE PROPOSED THIS YEAR'S FISCAL BUDGET IN THE FIRST PLACE.
I MEAN, THIS WAS SOMETHING THAT WAS CLEARLY IDENTIFIED UPFRONT AS WE WANTED TO INCLUDE THAT BECAUSE OF THE, UH, INCLUSION OF THE DEPARTMENT OF NEIGHBORHOODS INTO PUBLIC WORKS.
WE KNEW THAT, AND THIS GOES TO THE MAYOR PRO TEMS QUESTION, RIGHT? MOVING THE PEOPLE OVER WAS ONE THING, BUT WE WERE TAKING ALL OF THE THINGS THE PEOPLE WERE DOING AT THE SAME TIME, YOU KNOW, THAT INCLUDED NOT JUST BUILDING DEMOLITION THAT INCLUDED, YOU KNOW, BANDIT SIGNS THAT INCLUDED UH, YOU KNOW, JUNK MOTOR VEHICLES AND ALL OF THOSE THINGS ARE THE SAME SORTS OF ACTIVITIES THAT OUR COMMERCIAL INSPECTORS COULD HAVE BEEN DOING.
BUT WE HAD THIS SEPARATION BETWEEN COMMERCIAL AND RESIDENTIAL, RIGHT? SO, SO TO THAT END, UM, SO THAT'S NOTICE.
BUT DID WE ENGAGE WITH THE BUILDERS AND CONTRACTORS TO END OF, A LOT OF THE REASON AND WHY WE MADE THAT INTEGRATION IN THE FIRST PLACE WAS BROAD COMMUNITY ENGAGEMENT FROM THE ADMINISTRATION.
I WON'T SPEAK FOR THE ADMINISTRATION ON WHO THEY WENT TO.
MY JOB IS TO PROVIDE THE OPERATIONAL NEXUS ON HOW WE'RE GONNA GET IT DONE.
SO, AND THAT WAS THE OPPORTUNITY.
SO YOU'RE NOT AWARE OF WHICH ORGANIZATIONS, IF ANY, THE CITY MET WITH IN THIS PROPOSAL? AND THE REASON I BRING THAT UP, I COULDN'T ANSWER THAT QUESTION FOR YOU.
AND THE REASON I BRING THAT UP, IT'S NOT, LOOK, WE HAVE BLIGHTED BUILDINGS.
WE NEED TO DEAL WITH DANGEROUS BUILDINGS.
WE'VE HAD BUILDINGS ABANDONED THAT HAVE CAUGHT ON FIRE EVEN IN DISTRICT C, BUT IT'S THE QUESTION AS TO WHETHER OR NOT THE FUND FOR STORM WATER FUND CAN BE USED IN THIS MANNER.
SO WE MOVED, YOU KNOW, CONSOLIDATION IS IMPORTANT, IT'S EFFICIENT, IT'S EFFECTIVE.
WE MOVED ON OVER, BUT WE DIDN'T NECESSARILY HANDLE THE FUNDING FOR THAT.
AND NOW WE'RE TRYING TO USE A NEW TYPE OF FUNDING.
UH, AND THAT'S REALLY WHERE MY QUESTIONS HINGE.
UH, HOW MUCH, AND THIS MAY BE MORE SO TOWARDS STAFF, UM, WE TALKED A LOT ABOUT SWAT AT THE LAST COUNCIL MEETING THAT WE ALL HAVE ALL OF THESE UNIDENTIFIED, EXCUSE ME, IDENTIFIED DRAINAGE PROJECTS THAT DO NOT YET HAVE A FUNDING SOURCE.
IS THERE ANY WAY TO QUANTIFY OR CALCULATE A BALLPARK OF OUTSTANDING BUT IDENTIFIED OR UNFUNDED DRAINAGE PROJECTS THAT THE CITY WANTS TO DO? WHETHER THAT'S SWAT, WHETHER THAT'S CIP, I MEAN, I CAN THINK OF MILLIONS OF DOLLARS IN DISTRICT C PROJECTS ALONE THAT HAVE BEEN IDENTIFIED EVEN THAT WE HAVE DESIGNED FOR.
DO WE KNOW HAVE A WAY TO ESTIMATE THAT? UM, I BELIEVE THAT'S SOMETHING THAT WE CAN TAKE A LOOK AT AND ESTIMATE.
UM, I KNOW THAT A LOT OF THE CIP AND O AND M IS ALREADY BUILT INTO THE CIP BUDGET AS WELL.
UM, SO WE CAN START THERE, BUT THEN, UM, WE CAN TAKE A LOOK AND SEE WHAT WE CAN IDENTIFY, UM, JUST FROM A CITYWIDE PERSPECTIVE AND PROVIDE SOMETHING TO YOU.
'CAUSE AGAIN, AND I'LL, I'LL WRAP UP CHAIR.
UM, WE HAVE A LOT OF FUNDING NEEDS AT THE CITY AND THIS IS ONE FUND THAT IS SPECIFICALLY FOR DRAINAGE.
SO SECURING THE DITCHES, CLEARING OUT DITCHES.
I'M SO GLAD WE BROUGHT UP THE NEW DITCH REESTABLISHMENT PROGRAM, WHICH WAS A BIG STEP FORWARD FOR THE CITY AND WE HAVE TO FUND THAT.
UH, BUT WE, WHEN WE TALK ABOUT THE DOLLARS NEEDED TO INVEST SO THAT WE'RE NOT KICKING THE CAN DOWN THE ROAD ON DRAINAGE, THAT'S WHAT THIS IS FOR AS WELL.
AND THAT YOUR COUNCIL MEMBER, YOUR POINTS, YOUR POINTS WELL TAKEN.
I I WILL JUST HIGHLIGHT WHERE THE STORMWATER FUND HAS BEEN UTILIZED IN THE PAST IS FOR THE MAINTENANCE OF THE SYSTEM, RIGHT? WE HAVE NOT USED THAT TOWARDS LARGE SCALE CIP AND EXPANSION.
UM, IT'S GONE TOWARDS THAT MAINTENANCE PART.
AND I THINK WHERE WE FIND PROJECTS THAT TYPICALLY UNFUNDED, IT'S BECAUSE THEY BECOME LARGE CIP PROJECTS.
BUT, BUT I UNDERSTAND WHERE YOU'RE COMING FROM.
THANK YOU STAFF FROM COUNCIL MEMBER THOMAS'S OFFICE.
THANK YOU FOR YOUR PRESENTATION.
[00:40:01]
THAT THERE IS A WIDE RANGE OF COST DEPE, YOU KNOW, TO DEMOLISH THESE BUILDINGS BOTH FOR RESIDENTIAL AND COMMERCIAL.BUT WITH THAT, ARE YOU ABLE TO PROVIDE A DOLLAR AMOUNT THAT WE'RE LOOKING AT FOR COST PER DEMOLITION AND HOW MANY BUILDINGS YOU MIGHT BE ABLE TO DEMOLISH THAT HAVE BEEN IDENTIFIED THAT IMPACT THE STORM WATER DRAINAGE SYSTEM? YEAH, THE ANSWER IS NO.
UH, I DON'T THINK WE CAN GIVE YOU A COST BASE EVEN OFF THE MORE THAN 2000 WE HAVE ON THE LIST BECAUSE EACH PROPERTY IS, IS SO UNIQUE.
YOU KNOW, TO THE POINT DAVID MADE EARLIER ABOUT ASBESTOS ABATEMENT, FOR INSTANCE, WE DON'T KNOW WHICH BUILDINGS ARE GONNA REQUIRE ADDITIONAL REMEDIATION.
UM, BEFORE WE EVEN GET IN THERE.
SOME OF 'EM ARE GONNA HAVE ADDITIONAL, UM, UH, HAZARDOUS, UM, YOU KNOW, SURVEY THAT IS REQUIRED TO BE TAKING PLACE AS WELL.
SO IT, IT'S REALLY DIFFICULT FOR US TO GIVE YOU AN ESTIMATE ON THAT.
YOU, YOU DID GIVE AN ESTIMATE AT THE, AT THE COUPLE WEEKS AGO.
IF WE JUST TOOK DOWN JUST AN ORDINARY HOUSE, YOU'RE LOOKING PROBABLY SOMEWHERE BETWEEN 15 TO 20,000 TO GET THAT OUT.
UM, BUT WE HAD JUST THE DEMOLITION PART, JUST JUST THE DEMOLITION PART, RIGHT.
BUT WE'VE HAD SOME ORDINARY HOUSES THAT WE THOUGHT WERE 15 TO 20,000 THAT YOU GET IN THERE AND ALL OF A SUDDEN IT BECAME 50 TO 60,000 BECAUSE OF OTHER THINGS THAT YOU FIND, RIGHT? SO, UM, THAT'S JUST ON A HOUSE SIDE.
ON THE COMMERCIAL SIDE, IT'S SIGNIFICANTLY MORE EXPENSIVE.
UH, YOU'LL, YOU'RE TALKING TYPICALLY SIX FIGURES ON UP FOR EACH DEMOLITION THERE, UH, EMS ROAD FOR INSTANCE, RIGHT? THAT WAS $250,000 THAT IT TOOK US TO DO THAT ONE.
UM, SO BASICALLY THIS YEAR'S STORM WATER FUND WENT UP ABOUT $66 MILLION FROM WHAT WE, WHAT WE'VE USED TO HAVE, UH, 41 OF MILLION OF THAT ATTRIBUTED TO THE DITCH REESTABLISHMENT PROGRAM.
CERTAINLY A VALID EXPENDITURE, UH, $25 MILLION FOR THIS.
THIS NUMBER WENT OVER, LIKE I SAID EARLIER TO THE BUILDING INSPECTION FUND THE TRANSFER DIRECTLY AND, AND, AND UNDERSTAND THIS COMES FROM HOUSTON WATER TO STORM WATER TO, OR, YOU KNOW, TO BUILDING, YOU KNOW, THAT'S THE TRANSFER.
THERE WAS ALSO AN $18 MILLION INCREASE, OR I'M SORRY, 18 MILLION INCREASE, 25 MILLION FOR PERMITING, $18 MILLION INCREASE.
I GUESS JUST A NORMAL INCREASE IN THE FINANCIAL MANAGEMENT PART AND THEN $16 MILLION INCREASE FROM SPECIAL REVENUE FUND.
IS THAT D-D-S-R-F-I-I NEED TO GO BACK AND CHECK ON THAT ONE, DAVID.
YEAH, SO I, I KIND OF BROKE DOWN WHERE THE INCREASES WERE COMING FROM, FROM THE CUS.
SO AN ADDITIONAL $60 MILLION COMING OUT OF THE CSI APPRECIATED VERY MUCH YOUR EXPLANATION.
SAMIR, IF YOU GO BACK TO THE, THE BUSY SLIDE, UM, HELEN, UM, WITH, WITH THAT, THAT ALL WATER, YOU'RE SAYING ALL WATER AND WASTEWATER OPERATIONS AND MAINTENANCE COVERED FIRST? CORRECT.
FIRST AND FOREMOST, FIRST LIEN, CUS DEBT, NEXT SECOND LIEN CUS DEBT NEXT.
AND THEN THERE'S LEFTOVER FUNDS.
SO IT'S FROM THESE LEFTOVER FUNDS THAT ARE, ARE GOING, GOING INTO THE STORM WATER FUND TO, FOR THIS.
SO WE CAN BE ASSURED WITH ALL OUR VAST, INCREDIBLY GROWING, MONUMENTAL CONSENT DECREE RELATED EVERY SINGLE THING WE NEED TO BE SPENDING WITH ALL OUR LEAKS AND ALL OUR PROBLEMS IN THE CUS, WE ARE A HUNDRED PERCENT CONFIDENT THAT WE CAN TAKE AN ADDITIONAL $60 MILLION.
THIS IS, LET'S JUST SAY THE 25.
TOTALLY ALSO UNDERSTAND WE DON'T, THAT WOULDN'T BE EVEN BE IN THERE FOR, WE DON'T HAVE THE CAPACITY TO DO FOR DRAINAGE.
BUT WE'RE DOING, IT'S NOT, IT'S NOT THE LEAST BIT SHORTSIGHTED TO TAKE THAT 25 MILLION FROM OUR WATER.
AND, AND IF I MAY ADD COUNCIL MEMBER, UM, THE OPERATING BUDGET FOR THE COMBINED UTILITY SYSTEM IS AN EXCESS OF TWO AND A HALF BILLION ON AN ANNUAL BASIS.
AND THE AND THE FUND BALANCE IS 1.3 BILLION, CORRECT? I LOOKED IT UP.
I MEAN THE CUS ON PAPER LOOKS LIKE IT HAS A JILL DOLLARS
AND THIS IS WHY WE ARE GOING TO THE WATER SYSTEM ON SEVERAL THINGS IN OUR, IN OUR, IN OUR BUDGET.
BUT WE ALSO ARE A CITY THAT HAS OUTDATED INFRASTRUCTURE, LEAKY PIPES LOSING BILLIONS OF DOLLARS OF GALLONS OF WATER.
SO MY ISSUE ISN'T SO MUCH, 'CAUSE I I HAVE A BETTER UNDERSTANDING THAT WE'RE NOT TAKING AWAY FROM DRAINAGE PROJECTS.
'CAUSE WE DIDN'T HAVE THAT 25 MILLION IN THERE OR THE CAPACITY TO DO THE EXTRA DRAINAGE MAINTENANCE.
[00:45:01]
MY ISSUE NOW IS THE CUS IS THE WATER SYSTEM BECAUSE EVENTUALLY WHAT HAPPENS WHEN YOU'RE NOT SPENDING ENOUGH ON EVERYTHING WE SHOULD BE DOING IN THE WATER SYSTEM, THE RATES GO UP.WE NEED TO GO ASK THE RATE PAYERS FOR MORE MONEY BECAUSE WE'RE, WE'RE SPENDING WHAT WAS DESIGNATED FOR THIS US AND I APPRECIATE THE 8% WE'RE ALLOWED TO USE 8%.
UH, I DON'T THINK ANY OF THIS IS ILLEGAL.
I MEAN, I I TRUST THAT, THAT THIS IS, THAT THIS IS A LEGAL USE OF FUNDS.
MY, MY BIGGEST CONCERN IS, IS THE ISSUES IN HOUSTON WATER.
AND, AND MAYBE YOU, I I THINK YOU CAN ANSWER THAT IN ANY WAY YOU WANT TO.
I KNOW RIGHT NOW WE'RE TAKING CARE OF ALL OUR BUSINESS.
THERE'LL NEVER BE ENOUGH MONEY TO TAKE CARE OF EVERYTHING WE NEED TO DO.
BUT, UM, I THINK THAT THAT'S KIND OF WHERE MY, UH, WHERE MY, MY UH, NERVOUSNESS ABOUT THAT HAS KIND OF SHIFTED FROM A DRAINAGE TAKING MONEY AWAY FROM DRAINAGE TO TAKING MONEY AWAY FROM THE, FROM HOUSTON WATER.
MADAM CHAIR, YOUR, YOUR POINT'S TAKEN VERY WELL.
UH, AND I WANT, I WANT TO ASSURE EVERYONE, YOU KNOW, WE'VE HAD THESE CONVERSATIONS WELL IN ADVANCE, EVEN A PROPOSING LAST YEAR'S BUDGET TO GET TO THAT POINT.
THOSE WERE THE VERY QUESTIONS WE ASKED.
A LOT OF IT HAD TO DO WITH, AND THE QUESTION COMES UP EACH BUDGET CYCLE.
UH, VICE MAYOR PRO TEM USUALLY BRINGS THIS ONE UP, RIGHT? WHAT'S GOING ON WITH ALL THIS MONEY THAT'S SITTING IN A PARTICULAR FUND BALANCE? AND OUR ANSWER IS ALWAYS, WE DON'T HAVE SAVINGS.
WE DON'T REALLY HAVE A FUND BALANCE, EVERYTHING WE COULD DEDICATE TOWARDS SOMETHING.
BUT YOU GET TO A POINT IN A PARTICULAR FISCAL YEAR WHERE YOU SAY, BUT WE'RE NOT GOING TO SPEND IT THIS PARTICULAR FISCAL YEAR RIGHT NOW BECAUSE WE DON'T HAVE THE CAPACITY TO DO ANYTHING.
AND AT THE SAME TIME, THERE'S NOT A SINGLE PROJECT WE ARE NOT GOING TO DO AS A RESULT OF DEDICATING IT TO THIS SIDE.
SO LET'S SEE WHAT WE CAN DO WITH SOME OUTSIDE HELP RIGHT NOW.
LET'S SEE WHAT PROBLEMS WE CAN SOLVE.
NOW WE KNOW IT'LL TAKE SOME TIME TO RECOUP MONEY OFF OF LIENS, BUT WE'RE ALSO SATISFIED THAT THE RESULT OF THAT PROCESS MEANS THAT WE DON'T HAVE TO REPLENISH THIS FUND EVERY SINGLE YEAR FROM STORMWATER MONEY WITH 25 MILLION YEAR OVER YEAR OVER YEAR.
WE'D LIKE TO KICKSTART THE PROGRAM NOW SO THAT IT CAN BECOME EFFECTIVELY SELF-SUSTAINING THERE ON OUT.
AND AS WE BUILD THE DEPARTMENT, WE CAN DO MORE OF THOSE PROJECTS THAT COME FORWARD.
AND WE DEPLETE THE FUND BALANCES THESE HUGE CAPITAL PROJECTS LIKE A NEW EAST PLANT LIKE EXPANSION OR REPLACEMENT OF OUR PIPE SYSTEM.
THAT STARTS TO COME DOWN AS WE INCREASE OUR INTERNAL CAPACITY TO COMPLETE THE PROJECT TOO.
UH, I'M, I'M A LITTLE CONCERNED ALSO WHEN, HEY, WE'VE BEEN KNOCKING DOWN FIRE BUILDINGS WITH THIS FUND FOR A LONG TIME.
I MEAN, WHAT, YOU KNOW, I MEAN, HOW MANY, LIKE, HOW MUCH STORMWATER MONEY HAS BEEN SPENT KNOCKING DOWN BUILDINGS? I MEAN, IT'S ONE TO, ARE THESE ONE-OFFS OR 10 A YEAR OR, YOU KNOW, I DON'T, I DON'T APPRECIATE JUST LIKE, OH, WE'RE NOW JUST CALLING IT OUT.
WE'VE BEEN DOING IT ALL ALONG.
'CAUSE THAT WAS CERTAINLY NOT ANYTHING I WAS AWARE OF THAT WAS BEING USED, UM, FOR THE STORMWATER FUND.
SO CAN YOU GIVE A LITTLE BIT MORE, UM, EXPLANATION ON THAT, DO YOU THINK? I MEAN, IS THIS A REGULAR PRACTICE FOR YEARS, YEARS THAT YOU'VE BEEN OUT? IT IS A REGULAR PRACTICE.
IS IT JUST FIRE BUILDINGS, BUILDINGS THAT HAVE CAUGHT ON FIRE? IT'S REALLY ANY, ANYTIME THAT WE'VE BEEN CALLED ON TO SUPPORT USING THE STORMWATER FUND.
THE STORMWATER FUND, NOT A PUBLIC WORKS FUND FUND.
YOU ALWAYS GO STRAIGHT TO THE STORMWATER FUND WHEN YOU'RE CALLED ON TO DEMOLISH SOMETHING THAT'S UNSAFE.
I THINK IT'S BEEN THE EASY WAY IN THE PAST AND THIS PRECEDES ALL OF US IN MANY CAPACITIES.
IT'S BEEN THE EASY WAY IN THE PAST WHEN YOU COME ACROSS ITEMS THAT WEREN'T BUDGETED TO GO TO THE REVENUE SOURCE THAT HAS CAPACITY TO PAY FOR IT.
AND STORM WATER HAS BEEN THAT SOURCE.
AND, AND, AND LIKE COUNCIL MEMBER CA AND SAYS, THERE IS NO DOUBT THESE BUILDINGS NEED TO COME DOWN.
AND, YOU KNOW, I, I UNDERSTAND AND APPRECIATE YOU'RE LOOKING UNDER EVERY ROCK FOR, FOR THAT MONEY.
UM, I WANNA TALK A LITTLE BIT ABOUT THE DEBT.
OBVIOUSLY THIS WAS ALL PRE, UH, REBUILD HOUSTON DEBT THAT WAS ISSUED BECAUSE WE STOPPED ISSUING DEBT FOR, FOR STORM DRAINAGE, UM, WHEN WE PASSED REBUILD HOUSTON.
SO WHAT, WHAT IS THE TOTAL DEBT ASSOCIATED WITH THIS DEBT SERVICE? I'D HAVE TO GET THE, I DO HAVE, I DO HAVE THE NUMBER.
UM, I'D HAVE TO GET BACK TO YOU, BUT, UM, MELISSA'S GOT IT.
SO THIS, THIS DEBT IS SEPARATE FROM THE DEBT THAT GETS PAID OUTTA THE 11.80 CENTS.
SO THIS IS A SEPARATE, IT'S ABOUT 235 MILLION THAT WAS ISSUED OVER SEVERAL SERIES.
WAS IT ISSUED LIKE FROM THE CUS? IS IT CUS DEBT? IT'S GO DEBT GENERAL OBLIGATION DEBT.
YEAH, IT'S GENERAL OBLIGATION DEBT.
IT WAS ISSUED IN SEVERAL SERIES 2004, TWO, I REMEMBER.
YEAH, IT WAS IN THE EARLY TWO THOUSANDS.
AND AND WHAT DID YOU SAY THE NUMBER? 205 MILLION, TWO 35 MILLION WAS THE TOTAL AMOUNT ISSUE.
BUT IT'S, YOU CAN SEE IT'S BEEN PAID DOWN SINCE.
AND ALRIGHT, THAT'S, IT'S BEEN STEADY.
WE LOOKED BACK OVER THE YEARS THE ABOUT 16 MILLION AND THIS YEAR IT'S JUMPING TO 25 MILLION.
[00:50:02]
THE DEBT SERVICE AND OTHER USES LINE.IS THAT JUST A FUNCTION OF, IT'S BASED ON THE AMORTIZATION OF THE DAM BECAUSE IT WAS ISSUED? THERE'S NOTHING ABOUT THAT? NO.
UM, AND I WILL SAY, AND I APPRECIATE VERY MUCH THAT YES, THE 25 MILLION WAS IN THE BUDGET BOOK.
AND YOU KNOW, REALLY WHEN I READ THAT, I THOUGHT THERE MUST BE SOME BIG DRAINAGE ISSUE WITH SOME BUILDING IN THE WAY.
YOU KNOW, I WILL ALSO SAY THERE WAS A TAX INCREASE IN THE BUDGET BOOK.
THERE WAS AN $18 MILLION SAVINGS ON CONTRACT SPENDING IN THE BUDGET BOOK.
THERE'S ALL KINDS OF THINGS IN THE BUDGET BOOK THAT, THAT WE GET TO SCRUTINIZE AS OUR RIGHT.
WE DID NOT GIVE UP OUR RIGHT TO SCRUTINIZE THE SPENDING.
AND THIS MIGHT BE MY SPEECH FOR TOMORROW.
I'M JUST GONNA GET IT OUT TODAY.
WE, WE DON'T LOSE OUR RIGHT TO SCRUTINIZE SPENDING, UM, WHEN ITEMS COME BEFORE US IN, IN, IN THESE, THIS MATTER.
UM, JUST BECAUSE WE PASSED THE BUDGET BOOK.
I WON'T SAY IT AGAIN TOMORROW.
I, I REALLY, REALLY APPRECIATE.
OH, WE GOT MORE COUNCIL MEMBERS IN THE QUEUE.
THANK YOU GUYS FOR YOUR PRESENTATION.
QUESTION I HAVE IS, UH, HOW MANY LIENS? OH, APPROXIMATELY ARE WE LOOKING AT? UH, DIRECTOR, MY GOT HOW MANY, YOU KNOW, I KNOW THERE ARE SEVERAL BUILDINGS APPROXIMATELY.
SO HOW MANY LIENS ARE WE EXPECTING? YEAH, I MEAN, SIMPLY PUT, IF WE DEMOLISH IT, A LIEN WILL BE PLACED THERE.
SO IF YOU LOOK AT THE LIST OF THE BACKLOG WE CURRENTLY HAVE, RIGHT? THERE'S MORE THAN 2000 ON THERE.
IF WE END UP DOING ALL 2000 OF THOSE, THEN THERE WOULD BE 2000 LIENS OUT THERE.
NOW, I WILL TELL YOU THAT WHEN WE GO THROUGH THE PROCESS OF BUILDING DEMOLITION, THERE IS A, IT'S NOT A SHORT PROCESS.
UM, THERE'S A LOT OF INVOLVEMENT WITH OWNERSHIP AND OTHERS, ET CETERA.
MANY TIMES WHEN WE FINALLY GET TO THE DOORSTEP OF WE'VE GOT THE DEMOLITION ORDER IN HAND, IT'S NOT UNCOMMON FOR AN OWNER TO STEP UP AND SAY, I'M GONNA TEAR IT DOWN MYSELF BECAUSE THEY CAN FIND SOMEONE TO DO IT CHEAPER OR WHATEVER.
RIGHT? SO, UM, NONE OF THAT'S EVEN A PROMISE THAT JUST BECAUSE IT'S ON THE LIST AND WE HAVE AN ORDER, WE'RE GOING TO ACTUALLY ACCOMPLISH THE WORK.
BUT WE GO THROUGH THE PROCESS TO GET THERE.
WE DO NOT LEAN ANY OF THE WORK THAT GOES INTO PREPARING TO DEMO A BUILDING.
WE ONLY DO IT AFTER THE BUILDING IS DEMOED ITSELF.
SO THEN WHAT IS THE PAY ITEMIZED FROM THAT? YEAH.
A HUNDRED PERCENT OF OUR EXPENSE.
WOULD WOULD THAT ALSO INCLUDE SOME OF THAT PROPERTY THAT WE KNOW ONUS IS GOING TO WALK AWAY FROM OR WHATEVER IT IT, IF IF WE PERFORM WORK ON THE PROPERTY, WE ARE GOING TO LEAN A HUNDRED PERCENT OF THE COST OF THE WORK DONE ON THAT PROPERTY? CORRECT.
SO WE TALKING IN 2000 AT LEAST COULD BE.
AND IT'S MY UNDERSTANDING THERE'S WORK BEING DONE THAT, THAT, THAT WE'RE GOING TO SPEED UP THE LIEN PROCESS AND GET THIS MONEY BACK INTO THE ACCOUNT.
WELL WE'D ALL LIKE TO SEE MORE ON THAT PROBABLY TOO.
UM, COUNCIL MEMBER CAYMAN, THANK YOU.
UH, EARLIER AS I WAS COMING IN, UH, OUR OFFICE HAD ASKED A QUESTION ABOUT, 'CAUSE NOW WE HAVE AN ALLOCATED SEGMENT FOR DEMO RIGHT IN THE FUND IN THE BACK AND FORTH WITH CHAIR ALCORN.
JUST NOW THOUGH, TO, JUST TO CLEAR UP THE RECORD, WERE WE ALREADY USING THE STORMWATER FUND FOR DEMOLITIONS? IF SO, HOW MANY? AND FOR EXAMPLE, ON AVERAGE COMPARED TO WHAT WE'RE NOW ALLOCATING? SO CAN YOU CLARIFY THAT? 'CAUSE NOW I'M YEAH, YEAH.
THE ANSWER IS WE HAVE USED IT BEFORE.
IT IS DIFFICULT FOR US TO QUANTIFY BECAUSE OF THE WAY THOSE TRANSACTIONS TOOK PLACE.
UH, AND, AND THAT IS, AND THIS IS THE POINT I MADE IN DECEMBER, TO ME IT WAS IMPORTANT THAT WE WERE MUCH MORE UPFRONT AND TRANSPARENT WITH WE WANT TO DEDICATE THIS HERE NOW.
AND EVERYONE KNOWS WHERE IT'S COMING FROM BECAUSE WE DON'T TRACK THAT.
AND THERE'S A, I MEAN THIS IS JUST ONE OF MANY ACTIVITIES WITHIN THE DEPARTMENT FOR MANY YEARS THAT IT'S NOT THAT WE DID IT WRONG OR IMPROPERLY, IT'S JUST THAT WE COULD HAVE BEEN, UM, MORE UPFRONT WITH HOW THOSE THINGS HAD TAKEN PLACE.
THE SIMS BUILDING THAT I SHOWED YOU IN DECEMBER, FOR INSTANCE, WAS ONE THAT FOR SURE I CAN TELL YOU WAS USED THAT UTILIZED STORMWATER FUNDING IS BY WAY OF A CHARGEBACK.
UM, THE PICTURES THAT DAVID SHOWED HERE WHERE WE SUPPORTED HFD OPERATIONS, ALL OF THOSE USED STORMWATER FUNDING.
BUT HOW MANY MORE, YOU KNOW, I CAN ONLY TELL YOU, I KNOW THAT WE ASSIST HFD DOZENS OF TIMES A YEAR AND THAT'S WHERE THE FUNDING SOURCE HAS TRADITIONALLY BEEN.
AND IT WOULD BE HELPFUL TO UNDERSTAND FURTHER THE SCOPE OF THE SIMS PROJECT.
'CAUSE WE KEEP LEANING ON THAT A LOT.
'CAUSE MY UNDERSTANDING IS IT WASN'T JUST THE BUILDING, RIGHT? THERE WAS A, A LARGER, IT WAS CLEARING THE ROADWAY, CLEARING THE DITCH.
UH, THERE WAS A DITCH, THERE WAS AN ENCLOSED SYSTEM.
WE REMOVED THE FOUNDATION OF THE STRUCTURE ITSELF.
THERE WAS A LOT OF TRASH THAT WAS HAULED OUT OF THE BUILDING.
UH, REGRADING THE LAND ITSELF SO THAT THE SHEET FLOW WOULD WORK WELL AFTER THE FACT.
SO AGAIN, IT'D BE HELPFUL TO UNDERSTAND
[00:55:01]
THE SCOPE OF SOME OF WHAT WE'RE SAYING AS PRECEDENT FOR THIS.UH, BECAUSE AGAIN, I RAISED THE QUESTION, JUST BECAUSE WE DID IT DOESN'T MEAN WE SHOULD HAVE
WE WANT TO BE MORE TRANSPARENT, BUT THAT DOESN'T MEAN JUST 'CAUSE WE WERE DOING IT ONE WAY, DOESN'T MEAN WE SHOULD BE DOING IT NOW.
AND THIS IS A VERY IMPORTANT CONVERSATION TO HAVE.
UH, SO IT'D BE HELPFUL TO HAVE THOSE CONTEXTS OF THOSE EXAMPLES.
WITH THE AMOUNT ALLOCATED, NOW WE HAVE A BACKLOG OF 2000.
I'M ASSUMING THAT NOT ALL 2000 ARE GONNA QUALIFY, GIVEN THE CERTAINLY NOT PARAMETERS AND NEXUS THAT WERE, I I'VE, I'VE SEEN PROPERTIES MYSELF WE'RE ABSOLUTELY, CERTAINLY NOT.
AND BUT COMPARED TO HOW MUCH WE'RE ALLOCATING NOW VERSUS IF WE WERE DEMOING A FEW EACH YEAR BEFORE, I'D LIKE TO UNDERSTAND EVEN IF IT'S A BALLPARK, HOW MUCH MORE WE'RE NOW GONNA BE ALLOCATING.
DOES THAT MAKE SENSE? SO JUST BECAUSE ONE, WE WERE DOING SOMETHING BEFORE, DOESN'T MEAN WE SHOULD BE, BUT IT'D BE HELPFUL TO UNDERSTAND WHAT WE, HOW MANY WE WERE UTILIZING PREVIOUSLY, EVEN IF IT WAS THREE.
YEAH, NO, I UNDERSTAND WHAT YOU'RE SAYING.
YOU KNOW, AND PUBLIC WORKS HAS NOT BEEN THE BUILDING DEMO DEPARTMENT IN THE PAST.
THE DEPARTMENT OF NEIGHBORHOODS WAS, THEY SPENT ABOUT A MILLION AND A HALF PER YEAR TYPICALLY ON THAT.
WHICH WAS, AGAIN, WHEN WE PRESENTED THIS PREVIOUSLY 25 MILLION, WAS THE, A LITTLE BIT OF THE WOW FACTOR FOR THE CITY AS A WHOLE, AND PARTICULARLY TO PROPERTY OWNERS WHO HAVE NEGLECTED IT FOR SO LONG.
THIS WAS A, A CLEAR INDICATION TO THEM THAT THE CITY WAS GONNA BE SERIOUS ABOUT ENFORCEMENT AND MOVING FORWARD ON THIS BECAUSE WE WERE DEDICATING REAL DOLLARS BEHIND IT.
AND GOING BACK AGAIN TO OUR, OUR, WHAT WE'RE SAYING NOW IS, HEY, SINCE WE CONSOLIDATED DON, WE NEED TO USE THESE FUNDS.
BUT BEFORE I, I JUST WOULD LIKE A BETTER UNDERSTANDING OF WE WERE USING THE FUND BEFORE, BUT DON WASN'T INVOLVED THEN.
SO IT'S NOT REALLY MATCHING UP FOR ME RIGHT NOW.
THAT BECAUSE WE'RE CONSOLIDATING THE DEPARTMENT OF NEIGHBORHOODS, THAT WAS A FUNCTION THAT THEY PERFORMED.
SO WE'RE NOW GONNA USE THESE FUNDS BECAUSE WE'VE CONSOLIDATED AND NOW THIS IS WITHIN THE DOMAIN OF PUBLIC WORKS.
BUT WE WERE USING WHAT YOU'RE SAYING, SOME OF THESE FUNDS BEFORE, EVEN THOUGH DON WAS NOT WITHIN THIS.
AND SO I, I I SEE, I SEE WHERE YOU'RE COMING FROM.
UH, I WAS VERY ARTFUL WHEN I SAID IS WE SUPPORT HFD AND KNOCKDOWN BUILDINGS.
THAT'S NOT A TYPICAL BUILDING DEMOLITION PROCESS.
UM, THAT'S WHERE WE HAVE SUPPORTED IN THE PAST.
BUT GOING THROUGH THE PROCESS OF YOU GIVE PROPERTY OWNERS NOTICE TIME TO CURE, ET CETERA, THAT WAS A DEPARTMENT OF NEIGHBORHOODS PROCESS.
WE ABSORBED THEIR PEOPLE, WE ABSORBED THE PROCESS AS WELL.
AND THIS WAS THE FUNDING SOURCE WE IDENTIFIED AND ABSORBING THE PROCESS ON HOW TO MOVE FORWARD ON ACTIVITIES THEY DID PREVIOUSLY.
THEIR CONTRACTS WERE, AS DIRECTOR DSKY MENTIONED, UM, YOU KNOW, GEO OBLIGATIONS AND OTHER, OTHER FUNDING SOURCES.
THE BUILDING INSPECTION FUND, WHICH IS PRETTY WELL TAPPED OUT AT THIS POINT, WAS A, A, A SOURCE OF THAT ASSISTANCE AS WELL.
STORMWATER DID NOT SUPPORT THE DEPARTMENT OF NEIGHBORHOODS PRIOR TO THE CONSOLIDATION.
UM, AND I THINK JUST FOR CLARITY AS WELL, UM, BECAUSE PUBLIC WORKS ALWAYS HAD HANDLED, UH, HABITABILITY, RIGHT? WHICH WAS COMMERCIAL PROPERTIES.
AND THAT'S WHERE SOME OF THE CONFUSION, EVEN AS A STAFFER, LIKE WHO DO YOU SEND OUT, UH, TO INSPECT.
AND I, I THINK THAT MOVEMENT WHERE DEPARTMENT NEIGHBORHOODS WERE MOVING INTO PUBLIC WORKS WAS, UH, DEEPLY APPRECIATED BY SEVERAL DISTRICT COUNSELORS BECAUSE AT TIMES YOU WOULD ALWAYS GO BACK AND FORTH.
UM, SO THERE WAS DOLLARS ALREADY BEING UTILIZED FROM STORMWATER FOR DEMO OR FOR FENCING OR FOR WHATEVER NEEDED TO DO TO AT LEAST, UH, GET A HANDLE ON WHAT WAS GOING ON IN THE PROPERTY.
I THINK FOR ME, I THINK IT'D BE GOOD TO UNDERSTAND HOW MUCH OF IT WAS BEING UTILIZED ALREADY.
UM, AND THEN, UH, JUST, UH, FOR, I THINK IT'S AS, AS WE MOVE FORWARD ALSO, UM, THAT NEXUS IDENT IDENTIFYING THAT PROCESS.
I KNOW YOU'RE STILL TRYING TO, UM, FINALIZE IT, BUT ANY, ANY, UH, VERBIAGE THAT YOU COULD SHARE WITH US NOW JUST TO KIND OF SET SOME EASE WOULD PROBABLY BE HELPFUL AS WELL.
I APPRECIATE THIS CONVERSATION.
I KNOW, I KNOW WHERE, UH, THE CHAIRWOMAN, UM, HAS BEEN FOCUSED ON AND, AND WE'RE NOT GETTING RID OF ANY PROJECTS BECAUSE OF THIS, THESE DOLLARS.
UM, I WILL SAY THAT I'M SUPPORTIVE OF THIS, UH, BECAUSE WE DO HAVE SEVERAL BUILDINGS.
WE HAVE HAD, UH, FIRES WHERE SQUATTERS HAVE BEEN, WE LOST A FIREFIGHTER LAST YEAR, UH, ACTUALLY A YEAR PRIOR, UH, BECAUSE OF THESE, THESE TYPES OF, UH, BUILDINGS THAT HAVE BEEN LEFT, UH, VACANT.
UM, AND SO, UH, JUST SO KIND OF FI UH, SHARING SOME OF THOSE LAST, YOU KNOW, UM, YOU KNOW, DETAILS WOULD BE HELPFUL AS WELL IN MAKING DECISION TOMORROW AS WELL.
[01:00:01]
CHAIR.AND, UH, DIRECTOR, JUST SO I'M CLEAR, SO WE'RE STILL BEING ASKED TO VOTE ON THIS, UH, ITEM TOMORROW BEFORE WE GET THE CRITERIA THAT YOU'RE IN THE PROCESS OF DEVELOPING.
IT'S ON THE AGENDA FOR TOMORROW.
THAT'S, THAT'S ABSOLUTELY TRUE.
AND, UM, WHEN, WHEN YOU DEVELOP THE CRITERIA AND YOU'VE ESTIMATED THAT IT WILL BE SEVEN TO 10 DAYS, WILL COUNCIL BE ASKED TO APPROVE THAT CRITERIA? OR ARE YOU JUST GONNA BE INFORMING US? THESE ARE THE GUIDELINES THAT WE'LL BE USING? YEAH, GENERALLY.
GENERALLY AND VERY RESPECTFULLY, WE, WE DON'T COME AND BRING TO COUNCIL OUR OPERATIONAL, UH, PROCESSES FOR APPROVAL.
IT WOULD BE AN ON AN INFORMED BASIS.
I THINK ALL OF US HAVE A MUCH BETTER UNDERSTANDING OF THE STORMWATER FUND AND ITS USES AND ITS, AND ITS REVENUE SOURCES AND, AND HOW WE'RE SPENDING IT.
SO REALLY APPRECIATE YOUR ATTENTION TO THIS AND, UM, ANY PUBLIC SPEAKERS THAT WE HAVE.
JACK VALINSKY IS ONLINE ON THE MONTHLY FINANCIAL REPORT.
ON THE MONTHLY FINANCIAL REPORT.
AND FEEL FREE TO, FEEL FREE TO GO JACK YOU ON SIX.
YOU KNOW, IT'S LIKE YOU'RE MUTED.
IT TAKES ME RIGHT BACK TO COVID
UM, I JUST HAVE A VERY SIMPLE QUESTION IN THE, UH, PRESENTATION ABOUT THE STORMWATER FUND.
UM, IT WAS, THERE WAS JUST A BULLET POINT THAT SAID IT IMPROVES PUBLIC SAFETY.
AND I WANTED TO, WHILE THEY'RE STILL HERE, MAYBE FIND OUT WHAT THEY MEAN BY THAT.
UH, I THINK BY MAINTAINING OUR STORMWATER SYSTEM, I MEAN, THAT IS A PUBLIC SAFETY ISSUE, BUT ANY, I THINK THAT'S, THEY'RE NODDING.
SO I THINK THAT'S, THAT'S THE, THE PUBLIC SAFETY ISSUE TO MAINTAIN ADEQUATELY MAINTAIN OUR DRAINAGE SYSTEM.
YOU KNOW, FLOODING IMPACTS SAFETY AND THAT'S, SO IT'S NOT REALLY ABOUT CRIME.
I THINK OF PUBLIC SAFETY AS ABOUT CRIME AND LAW ENFORCEMENT, RIGHT? THIS IS PUBLIC HEALTH.
THIS IS MORE PUBLIC HEALTH, PUBLIC SAFETY, PUBLIC KEEPING EVERYBODY SAFE FROM ALL THINGS.
THANK YOU DOUG SMITH AND WELCOME BACK AND HAPPY NEW YEAR.
A COUPLE OF COMMENTS THAT CAME UP DURING THE MEETING TODAY WERE KINDA SHOCKING.
2000 BUILDINGS THAT NEED TO BE DEMOLISHED.
THAT'S A LITTLE BIT DIFFICULT TO BELIEVE.
AND THEN THE COMMENTS YOU MADE, UH, THE, UH, THERE'S A $1.7 BILLION, UH, AMOUNT OF MONEY AVAILABLE IN THE, UH, CONSOLIDATED, UH, FUND, THE WATER FUND.
AND MY QUESTION REGARDING THAT WAS, IF, IF THERE'S ALL THAT MONEY THERE, WHY ISN'T MORE WORK BEING DONE ON THE EAST PLANT? WHICH SEEMS TO NEED PROBABLY ALL OF THAT, UH, IF NOT MORE, UH, OR WHAT THEY'RE DOING.
BUT IN ANY CASE, UM, ON PAGE THREE OF THE, UH, REPORT TODAY, THERE'S SOME COMMENTS THAT I, OR SOME FIGURES THAT I JUST WANTED TO MENTION.
THEY TALK ABOUT UTILIZATION OF THE UNALLOCATED ARPA FUNDS FOR REVENUE REPLACEMENT.
I MENTIONED THIS BEFORE, NOT FOR A COUPLE YEARS PROBABLY, UH, BUT IT'S GONNA BE VERY INTERESTING TO SEE HOW THEY REPORT THAT BECAUSE THE CITY DID NOT LOSE ANY REVENUE, UH, DURING COV.
UH, THERE WAS A VERY SMALL DROP AND THEN IT CONTINUED RIGHT BACK UP.
SO I DON'T KNOW HOW THAT'S GONNA BE REPORTED, BUT I'LL BE INTERESTED TO SEE, 'CAUSE THEY ALLOCATED A LOT OF MONEY, UH, TO THAT ACCOUNT.
AND ALSO, I TALKED ABOUT THIS LAST MONTH AND I JUST DIDN'T QUITE UNDERSTAND IT.
THE $52 MILLION DROP IN PROPERTY TAX, I THINK THAT RELATES TO YOUR PROPOSAL TO INCREASE, UH, PROPERTY TAXES THAT DIDN'T GET, UH, VOTED ON.
WAS THAT INCLUDED IN THE BUDGET? I DIDN'T REALIZE IT WAS INCLUDED IN BUDGET.
SO BECAUSE OF VALUATIONS, THIS WAS ONE OF THE YEARS WHEN OUR, BOTH THE STATE AND LOCAL CAP WOULD ALLOW US TO HAVE RAISED THE TAX RATE 1.70 CENTS OR SOMETHING LIKE THAT.
IT WOULDN'T HAVE REQUIRED A VOTE.
THAT'S WHAT WE WERE ALLOWED TO RAISE IT.
AND THAT NOT, THAT'S WHAT WE WERE ALLOWED TO RAISE IT BASED ON THE, THE TAX CAPS.
SO THE REVENUE, THE REVENUE PROJECTIONS
[01:05:01]
IN THE BUDGET BOOK BOOK INCLUDED THAT 52 MILLION.SO WE BASICALLY VOTED ON THAT DURING THE, DURING AND WE DECIDED NOT TO DO IT.
WELL THEN, THEN WHEN THE TAX RATE DISCUSSION CAME UP, WE, WE CHANGED.
I DIDN'T REALIZE THAT YOUR PROPOSAL WAS IN THE BUDGET.
UH, I, IT WAS IN THE BUDGET, IN THE FORM OF INCREASED, UM, IN THE, IN THE LINE ITEM OF PROPERTY TAX.
AND THE FINAL QUESTION, UH, THERE'S A LINE IN HERE, $2 MILLION INCREASE IN SOLID WASTE MANAGEMENT DEPARTMENT FOR HEAVY TRASH PICKUP.
UH, I DON'T KNOW WHERE THAT MONEY WENT.
UH, ALL I KNOW IS IT DIDN'T GO TO MY NEIGHBORHOOD.
UH, WE HAD SOMEBODY FROM SOLID WASTE COME TO OUR SUPER NEIGHBORHOOD MEETING IN NOVEMBER AND HE INDICATED THAT THERE WERE TRUCKS IN OUR AREA, UH, AND WE EXPECTED THINGS WOULD BE PICKED UP.
AND WE HAVE SEEN NOTHING FOR THREE MONTHS, UH, AS FAR AS THAT'S CONCERNED.
AND IF ANYBODY, UH, COULD DO SOMETHING TO GET THOSE TRUCKS INTO THE ALE NEIGHBORHOOD, IT CERTAINLY WOULD BE APPRECIATED.
AND, AND WE WILL BE HEARING FROM DIRECTOR HASSAN AT THIS COMMITTEE IN FEBRUARY 3RD.
UM, FOR, THAT'S HIS SIX MONTH, YOU KNOW, UPDATE ON, ON SOLID WASTE.
ALSO, SAMIR TO, TO DOUG'S POINT AND UM, I WOULD LIKE SOME INFORMATION ON, UH, I KNOW WE HAVE, OR MELISSA TOO, WE HAVE REQUIREMENTS ON THE CUS FUND BALANCE, UM, BOTH IN OUR FINANCIAL POLICIES AND PROBABLY DEBT, DEBT COVENANTS AND ALL KINDS OF THINGS.
SO I'D LIKE A BETTER UNDERSTANDING OF, OF WHAT'S REQUIRED WITH OUR ONE POINT, YOU KNOW, TO KEEP MAINTAIN A SUCH A HIGH FUND BALANCE IN THE CUS.
I THINK THERE IS REASONING FOR THAT.
AND I CAN SHARE THAT WITH YOU, DOUG, WHEN, WHEN I GET THAT.
UH, I DIDN'T THINK, UH, I DIDN'T REALIZE THIS WAS GONNA BE ON THE STORMWATER FUND TODAY.
I SAW SAMIR AND DAVID GONNA BE HERE, AND I THOUGHT, OH GREAT, WE'RE GONNA GET AN EXPLANATION ON THE D-D-S-R-F.
I STILL, I STILL WOULD LIKE TO UNDERSTAND WHY WE END THE YEAR WITH A HALF A BILLION DOLLARS OF UNSPENT MONEY IN THE D-D-S-R-F, UH, WHEN THERE WAS SO MUCH TO BE DONE.
AND I HEARD A COMMENT ABOUT CAPACITY.
WELL, IF IT'S CAPACITY, THEN MAYBE WE CONTRACT IT OUT TO PEOPLE TO GET IT DONE, WOULD BE MY COMMENT.
THANK YOU VERY MUCH FOR YOUR INTEREST.
UM, COLLEAGUES, THAT BRINGS US TO THE END OF OUR MEETING.
WE'RE GONNA TRY ONE MORE TIME.
I THINK THERE WAS A, HE, HE WAS HAVING AN ISSUE UNMUTING AND THAT MIGHT BE ON OUR END.
SO I APOLOGIZE, JACK, IF YOU WANNA EMAIL COMMENTS, I'M HAPPY TO GET THOSE OUT TO EVERYONE, BUT I APPRECIATE YOUR, WE CAN'T GO IN THE CHAT.
UM, COLLEAGUES ON FEBRUARY 3RD, UH, LIKE I SAID, WE'LL HAVE THE DIRECTOR OF SOLID WASTE COME AND GIVE HIS KIND OF UPDATE ON THINGS GOING ON AT SOLID WASTE.
AND ALSO WE'RE GONNA HAVE A DISCUSSION ON THE OPEN SPACE ORDINANCE, WHICH IS THE FEES DEVELOPERS PAY, UM, THE IN LIEU OF FEE FOR PARK SPACE, WE'RE GOING TO BE TAKING A LOOK AT REVISING AND IMPROVING THAT ORDINANCE.
SO THIS IS GONNA BE THE FIRST OF A SERIES OF MEETINGS ON THAT, ON THAT TOPIC.
APPRECIATE EVERYONE'S ATTENTION.
HAPPY NEW YEAR AND SEE YA IN A COUPLE HOURS.