* This transcript was created by voice-to-text technology. The transcript has not been edited for errors or omissions, it is for reference only and is not the official minutes of the meeting.
          [Super Neighborhood Alliance Meeting on May 11, 2026.]
          [00:00:08]
          CAN EVERYBODY, IS THE MIC WORKING? OKAY, GREAT. 
          ALRIGHT, SO I'M CHERYL O'BRIEN. 
          LETICIA IS IN ROUTE. 
          SO I AM FORMALLY OPENING THE MEETING TONIGHT, AND THIS MEETING WAS SPECIFICALLY REQUESTED TO BE IN PERSON BY THE CITY. 
          SO I WANT TO REMIND EVERYONE THE SIGN IN SHEETS ARE ON THE TABLE OVER THERE. 
          IT'S VERY IMPORTANT THAT IF YOU'RE HERE AS A REPRESENTATIVE FROM YOUR SUPER NEIGHBORHOOD COUNCIL, PLEASE SIGN IN, PUT YOUR SUPER NEIGHBORHOOD NUMBER IN THERE SO THAT IT HELPS US KEEP TRACK FOR OUR ATTENDANCE RECORDS THAT WHO'S HERE. 
          SO, WITH NO FURTHER ADO, I'M GOING TO IMMEDIATELY TURN THE MEETING RIGHT ON OVER TO STEVEN DAVID, HE'S WITH THE CITY AND STEVEN, COME ON UP AND HAVE AT IT. 
          THE MEETING IS YOURS, . 
          GOOD EVENING EVERYBODY. 
          UH, SO WHAT I DECIDED, WHAT I WANTED TO COME HERE AND I, COUNCIL MEMBER ALCORN, UH, TO WORK WITH Y'ALL ON IS WE'VE RECENTLY, UH, RECENTLY RELEASED THE BUDGET, AS Y'ALL KNOW. 
          UM, WE'VE STARTED OUR BUDGET PRESENTATIONS, WHICH TOMORROW AT 9:00 AM IS THE FIRST ONE THAT COUNCIL MEMBER ALCORN WILL HOST. 
          UH, I IMAGINE SOME OF Y'ALL ARE GONNA BE THERE, BUT WHAT I WANTED TO BE ABLE TO DO WAS COME TO THIS ORGANIZATION, WHICH IS GONNA BE REPRESENTATIVE OF OBVIOUSLY ALL OF THE, THE COMMUNITIES THAT Y'ALL REPRESENT AND WALK YOU THROUGH THE SAME BUDGET PRESENTATION THAT WE'VE GIVEN ALL OF THE COUNCIL MEMBERS, UH, HERE TO BE ABLE TO ANSWER ANY QUESTIONS THAT YOU MIGHT HAVE ABOUT IT. 
          UH, THERE'S A COUPLE OF DIFFERENT WAYS THAT I'D LIKE TO MAYBE APPROACH THIS AND MAYBE WE COULD USE A LITTLE BIT OF A DEMOCRATIC THING AND SEE IF YOU WANT ME TO GO THROUGH A FAST PRESENTATION AND LEAVE MORE TIME FOR ANSWERING QUESTIONS OR IF YOU WANT ME TO GIVE THE SAME DETAILED PRESENTATION THAT WE GAVE COUNCIL MEMBERS. 
          AND THEN WE CAN, UH, DO A SHORTER Q AND A. 
          WHAT IS Y'ALL'S PREFERENCE? ONE SHOW OF HANDS FOR, UH, A DETAILED PRESENTATION. 
          DETAILED PRESENTATION. 
          SHOW OF HANDS. 
          PERFECT. 
          ALRIGHT, THAT'S MUSIC TO MY EARS. 
          SO, UH, WHAT I WANNA WALK YOU THROUGH AT A HIGH LEVEL IS REMIND Y'ALL WHAT THE CITY OF HOUSTON IS AND WHAT IT IS NOT. 
          UH, SO AT A HIGH LEVEL, WE ARE THREE FUNDS. 
          WE HAVE THE GENERAL FUND, UH, WHICH IS ABOUT 12,500 EMPLOYEES. 
          UH, IT IS A $3 BILLION BUDGET AND THAT ENCOMPASSES POLICE, FIRE, LIBRARIES, PARKS, HEALTH, AND UH, WHAT WE WOULD CALL OUR CORPORATE FUNCTIONS. 
          THESE ARE IT GENERAL SERVICES, THE THINGS THAT ARE INTERNAL SUPPORT FUNCTIONS. 
          WE HAVE OUR ENTERPRISE FUND FOR AIRPORTS. 
          IT'S ABOUT 1400 EMPLOYEES, $740 MILLION BUDGET. 
          THAT IS EXCLUSIVELY THE THREE AIRPORTS THAT WE HAVE. 
          BUSH HOBBY AND ELLINGTON. 
          AND THEN WE HAVE THE ENTERPRISE FUND FOR PUBLIC WORKS THAT IS COMPRISED OF SIX DIFFERENT FUNDS. 
          UH, SO THIS ISN'T JUST ONE FUND. 
          WE'VE GOT WATER AND SEWER, WE HAVE STREETS AND DRAINAGE. 
          WE HAVE OUR, UH, PERMITTING FUND, ALSO KNOWN AS THE BUILDING INSPECTION FUND. 
          THAT'S ABOUT 4,400 EMPLOYEES, ALSO A THREE AND A HALF BILLION DOLLARS BUDGET. 
          CITY OF HOUSTON HAS A VERY INTERESTING AND UNIQUE PERSPECTIVE OR SITUATION IN THE STATE OF TEXAS. 
          SO EVERY JURISDICTION IN THE STATE OF TEXAS SITS UNDERNEATH WHAT WE CALL SB TWO, WHICH IS ALSO KNOWN AS THE STATE'S REVENUE CAP. 
          AND THE STATE'S REVENUE CAP IS THREE AND A HALF PERCENT GROWTH. 
          YOU ARE CAPPED AT THREE POINT HALF PERCENT GROWTH FROM LAST YEAR'S REVENUE. 
          PRETTY SIMPLE EQUATION. 
          THERE'S SOME NUANCES TO IT, UH, THAT MAKE IT A LITTLE MORE COMPLICATED. 
          BUT THEN THE CITY OF HOUSTON ALSO HAS ITS OWN REVENUE CAP. 
          SO WE'RE THE ONLY CITY WITH TWO CAPS ON OUR REVENUE. 
          CITY OF HOUSTON'S ONE IS MORE RESTRICTIVE. 
          SO, UH, AT A VERY HIGH LEVEL, UH, IN 2004, THE REVENUE CAP WAS PASSED. 
          IT WAS AMENDED IN 2006. 
          AND WHAT IT SAYS, AND THIS IS PROBABLY THE MOST DETAIL I'M GONNA GET INTO 'CAUSE THIS IS AN IMPORTANT ONE FOR Y'ALL, WE HAVE A CALCULATION. 
          SO WE ARE ALLOWED TO GROW OUR REVENUE, THE LESSER OF FOUR POINT A HALF PERCENT GROWTH, WHICH IS HIGHER THAN THE STATES, BUT FOUR POINT A HALF PERCENT GROWTH OR INFLATION PLUS POPULATION GROWTH AS A PERCENTAGE. 
          AND WHAT THAT MEANS IS THAT IF INFLATION WAS 2% AND POPULATION GROWTH WAS THREE AND A HALF, THAT WOULD BE 5.5%. 
          WE COULD ONLY GO TO FOUR POINT A HALF. 
          BUT IF INFLATION IS 2% AND POPULATION'S ONLY 1%, WE CAN ONLY GO UP TO THREE. 
          AND SO THE CHALLENGE WITH THIS FORMULA IS AROUND POPULATION GROWTH. 
          AND THIS IS AN IMPORTANT ONE THAT I THINK Y'ALL FEEL SPECIFICALLY. 
          SO POPULATION GROWTH CAN ONLY BE, UH, VERIFIED BY THE CENSUS BUREAU FEDERAL GOVERNMENT. 
          UH, AND WHAT THEY DO IS THEY DO POPULATION GROWTH ON A TWO YEAR LAGGING INDICATOR. 
          SO WHAT THAT MEANS IS THAT WE ARE GOING TO SET THIS YEAR'S TAX RATE. 
          2026 ON 2024 IS POPULATION GROWTH. 
          SO WHAT THAT MEANS IS EVERYBODY THAT MOVED INTO YOUR COMMUNITIES IN 25 AND EVERYBODY THAT MOVED INTO YOUR COMMUNITIES IN 26 CANNOT BE ACCOUNTED FOR IN REVENUE. 
          SO WE'RE SERVING THEM, WE'RE GIVING, YOU KNOW, POLICE CALLS, 9 1 1 CALLS, NEW SOLID WASTE CUSTOMERS, NEW WATER AND SEWER CUSTOMERS. 
          WE CANNOT COLLECT A VALOREM TAXATION ON THEM BECAUSE WE ARE CAPPED. 
          AND SO THAT IS WHERE IT BECOMES THE MOST RESTRICTIVE PROPERTY TAX CAP ACROSS THE STATE OF TEXAS FOR ANY JURISDICTION. 
          AND SO THAT'S WHERE THE CITY OF HOUSTON GETS DISADVANTAGED A LITTLE BIT. 
          THE OUTCOME OF THIS AND WHAT YOU'RE SEEING, AND IT'S A LITTLE BIT SMALL HERE, BUT WHAT YOU SEE A LITTLE BIT , THE, UH, THE TAX RATE 
          [00:05:01]
HAS CONSISTENTLY BECAUSE OF OUR LOCAL TAX CAP HAS CONSISTENTLY DECREASED, WHICH IS NETTED ABOUT A BENEFIT EVERY YEAR TO THE AVERAGE PROPERTY. 
          THE AVERAGE HOUSE, EXCUSE ME, VALUE OF HOME IS ABOUT $340,000. 
          UH, AND THAT HAS EQUATED TO ABOUT A $400 A YEAR SAVINGS TO THE HOMEOWNER. 
          UM, BUT WHAT IT HAS CAUSED IS EACH CAP EACH YEAR, OUR TAX RATE HAS TO DECREASE. 
          SO WHEN I FIRST STARTED AT THE CITY OF HOUSTON BACK IN 2011, TAX RATE WAS 63 CENTS. 
          NOW IT IS 51. 
          AND SO WHAT THAT MEANS IS FOR WHEN WE HIT OUR REVENUE CAP, THAT'S A GREAT THING TO HIT THE REVENUE CAP BECAUSE IT MEANS THAT WE'RE GROWING IN A, IN A REALLY AWESOME WAY. 
          WHEN WE DON'T HIT THE REVENUE CAP IS THE PROBLEM BECAUSE THAT MEANS THAT WE'RE NOT GROWING AT THE EX EXPECTED THING. 
          AND SO NOW WE HAVE TO HAVE A CONVERSATION AROUND DO WE INCREASE THE TAX RATE? DO WE HAVE, UH, DO WE JUST ACCEPT LESS REVENUE? SO IT CREATES THIS, UH, NEGATIVE INCENTIVE ON THE WAY THAT THE CITY OF HOUSTON FUNCTIONS. 
          LAST THING THAT I'M GONNA SHOW YOU BEFORE I DIVE INTO THE VERY HIGH LEVEL, AND THEN I'LL CUT MYSELF OFF, I'M GONNA TALK TO YOU ABOUT WHAT WE'RE DOING, WHAT WE'RE NOT DOING, AND THEN SHOW YOU WHAT THE GENERAL FUND IMPACT WILL BE. 
          BUT I WANNA SHOW YOU THIS SLIDE BECAUSE THIS IS ALSO IMPORTANT. 
          WE DON'T ALWAYS LIKE TO COMPARE OURSELVES TO OTHER CITIES 'CAUSE WE KNOW WE'RE THE BEST. 
          BUT, UH, IT IS IMPORTANT TO GIVE OURSELVES CONTEXT AROUND WHAT OTHER CITIES ARE FACING WITH REGARD TO, UM, THE WAY IN WHICH MONEY FLOWS INTO THEIR GENERAL FUND. 
          THE CITY OF HOUSTON, THE WAY THAT I WOULD FRAME IT, I'M A FINANCE PERSON BY, UH, BY EDUCATION AND PROFESSION. 
          SO WE WOULD CALL THIS A, UH, A LACK OF REVENUE DIVERSITY. 
          MORE IMPORTANTLY, WE DON'T HAVE A SUSTAINABILITY OR RESILIENCE FEATURE BUILT INTO OUR GENERAL FUND. 
          SO THE CITY OF HOUSTON'S GENERAL FUND, ABOUT 80% OF IT COMES FROM, UH, PROPERTY TAXES AND SALES TAX. 
          EVERYTHING ELSE IS, UH, JUST, IT FALLS OFF AND IT'S ALL THESE SORT OF LITTLE NITPICKY FEES THAT Y'ALL DEAL WITH THAT GO INTO OUR GENERAL FUND. 
          UM, OTHER CITIES ACROSS THE STATE HAVE VERY DIVERSIFIED REVENUE STREAMS, AND THAT'S WHAT THIS BUDGET YEAR IS GOING TO ATTEMPT TO RECTIFY AND ALIGN OURSELVES WITH OTHER CITIES. 
          BUT FOR EXAMPLE, SAN ANTONIO, THE, THE BLUE BAR IS REPRESENTATIVE OF THE TAX RATE ITSELF. 
          THE GREEN BAR IS REPRESENTATIVE OF A GARBAGE FEE. 
          YELLOW IS REPRESENTATIVE OF A WATER UTILITY TRANSFER, AND ORANGE IS REPRESENTATIVE OF AN ELECTRICITY OR A NATURAL GAS UTILITY TRANSFER. 
          SO WHEN YOU LOOK AT PLACES LIKE SAN ANTONIO, DALLAS, AUSTIN, FORT WORTH, EL PASO, THEY HAVE DIVERSIFIED REVENUE SOURCES. 
          SO THAT MEANS IF THE ECONOMY, ALL OF A SUDDEN WE FIND OURSELVES IN AN UNPLANNED WAR AND OIL GOES UP TO BE VERY EXPENSIVE, AND WE START TO SEE CONSUMER, UH, INDICATORS SHOWING THAT WE'RE DROPPING OFF ON PRICES. 
          'CAUSE GAS IS TOO EXPENSIVE. 
          THERE'S RESILIENCY IN OTHER FUNDING STREAMS THAT COME IN. 
          AND AS SALES TAX BEGINS TO DIP, CITY OF HOUSTON DOESN'T HAVE THAT RESILIENCY. 
          IF WE SEE A HOUSING BUBBLE BURST LIKE WE SAW IN 2009, 2008, 2009, OR IF WE SEE ANOTHER GREAT RECESSION AND THE THE HOUSING MARKET BOTTOMS OUT, THEN WE DON'T HAVE THAT RESILIENCY. 
          50% OF OUR GENERAL FUND REVENUE IS TIED UP WITH, UH, AD VALOREM TAXATION. 
          SO THE CITY OF HOUSTON, BY, IF YOU TAKE A LOOK, GENERALLY THE ONLY REVENUE STREAM THAT COMES IN BESIDES SALES TAX IS AD VALOREM. 
          AND SO WHAT WE SEE HERE IS A OVERRELIANCE ON TWO VERY WHAT CAN BE VERY FICKLE REVENUE STREAM SALES TAX AND, AND PROPERTY TAX. 
          SO WE HAVE A LACK OF REVENUE DIVERSITY, WHICH IS A BIG CHALLENGE AND A BIG DISADVANTAGEOUS THING FOR THE CITY. 
          SO, UH, I'M NOT GONNA TALK ABOUT THIS IS JUST FOR WHAT IT'S WORTH. 
          THIS IS THE, UH, THIS IS HOW WE POST UP POINTS ON THE SCOREBOARD. 
          THIS IS OUR GOVERNING MILESTONES, BASICALLY AT A VERY HIGH LEVEL CITY OF HOUSTON, WHEN WE CAME IN, WE TOOK YEAR ONE AS A YEAR OF LEARNING. 
          I, THIS WAS GOING THROUGH THIS EXERCISE AND LOOKING AT WHAT WE DID WAS A WHOLE A LIST OF A WHOLE BUNCH OF HOUSTONIAN TRAUMAS AND READING ABOUT WHAT HAPPENED. 
          SO WHEN WE CAME IN, THERE WAS, UH, FIRST WEEK WAS COLLEGE FOOTBALL PLAYOFFS, WHICH IS A GOOD THING. 
          HAD A WHOLE BUNCH OF NEW PEOPLE INSIDE THE CITY. 
          UM, BUT THEN WE HAD A FREEZE THAT LASTED, I THINK FOUR DAYS. 
          AND WE HIT, GOT DOWN AS LOW AS 14 DEGREES. 
          THEN WE HAD THE 264,000 UNINVESTIGATED POLICE INCIDENT REPORTS. 
          THEN WE HAD THE HIGH WATER BILL CRISIS, THEN WE HAD KINGWOOD FLOODS, THEN WE HAD THE DIRECT SHOW, THEN WE HAD HURRICANE BARREL. 
          AND THAT WAS THE FIRST SEVEN MONTHS OF THE ADMINISTRATION, RIGHT? SO IT WAS A VERY HECTIC TIME, BUT YEAR ONE WOULD BEST BE DESCRIBED AS A YEAR OF LEARNING. 
          WE TOOK THE TIME TO HIRE AN OUTSIDE CONSULTING FIRM. 
          THEY CAME IN AND GAVE US A FRESH SET OF EYES OF ABOUT WHAT THE, THE CITY OF HOUSTON'S GOOD AT, WHAT WE'RE BAD AT, WHERE OUR STRENGTHS ARE, WHERE OUR WEAKNESSES ARE, AND MORE IMPORTANTLY, HELPING US DEVELOP A ROADMAP FOR PRIORITIZATION OF WHAT WE WANT TO EXECUTE ON. 
          AND THEN YEAR TWO WAS THAT YEAR OF IMPLEMENTATION AND EXECUTION. 
          WE DID THINGS LIKE AN ACT, A HIRING FREEZE. 
          WE HAD AN OVER-RELIANCE ON, UM, WELL, OUR WORKFORCE, ABOUT 32% OF OUR WORKFORCE WAS ELIGIBLE FOR RETIREMENT. 
          SO WE OPENED UP, WHICH IS VERY, VERY HIGH INDUSTRY STANDARD IS USUALLY EIGHT TO 10%. 
          SO ABOUT ONE IN EVERY THREE EMPLOYEES COULD HAVE ON A BAD DAY, JUST SIGNED UP AND WALKED. 
          AND WE COULD HAVE DONE NOTHING ABOUT IT AT ALL. 
          AND SO WHAT WE WERE ALLOWED, WHAT WE DID WAS WE OPENED UP VOLUNTARY RETIREMENT AND WE SAID, YOU'RE NOT GONNA GET PUNISHED IF YOU DON'T TAKE IT, BUT IF YOU DO TAKE IT, WE'RE GONNA GIVE YOU THREE MONTHS INCENTIVE. 
          UM, AND WE ARE GOING TO PAY FOR YOUR ACTIVE EMPLOYEE BENEFIT RATES FOR THE NEXT FIVE YEARS. 
          INSTEAD OF YOU GOING TO RETIREE BENEFIT RATES, ABOUT 1,056 EMPLOYEES TOOK IT. 
          THAT REDUCED OUR LIABILITY BY ABOUT 11%. 
          IT GAVE A PLAN, DIGNIFIED EXIT FOR FOLKS THAT WERE READY TO TAKE IT ALREADY. 
          AND WHAT IT GAVE US WAS AN OPPORTUNITY TO REDUCE COSTS. 
          [00:10:01]
1056 PEOPLE EQUALED ABOUT A MIL, UH, A HUNDRED MILLION DOLLARS A YEAR IN SALARY. 
          AND THAT ALLOWED US TO RETHINK THE WAY THAT THE ORGANIZATION EXECUTES AND ALLOWED US TO RESHAPE OUR ORGANIZATION IN A WAY THAT MADE MORE BUSINESS SENSE. 
          UM, THAT, SO THAT WAS EXAMPLES LIKE THAT WHERE YEAR TWO, AND WE ARE NOW AT YEAR THREE, WHERE WE'RE TALKING ABOUT FISCAL YEAR 27 AND EFFECTIVELY THE OPERATING PREMISES THAT WE CAN'T CONTINUE TO DO BUSINESS THE SAME WAY. 
          SO I'M GONNA SKIP THAT ONE. 
          SO WHAT WE'RE NOT DOING THIS FISCAL YEAR, WE ARE NOT GOING TO BE RAISING AD VALOREM TAXES. 
          SO PROPERTY TAX INCREASE IS NOT ON THE BOARD. 
          WE ARE PLANNING FOR ANOTHER 51 CENT TAX RATE. 
          WE ARE NOT, UH, EXPANDING GOVERNMENT PROGRAMS. THIS IS PROBABLY THE MOST PAINFUL OF THE THINGS THAT WE'RE DOING. 
          WE HAVE A WHOLE LOT OF IN, IN THE WINGS THINGS THAT WE WOULD LIKE TO LAUNCH. 
          FOR EXAMPLE, WE'VE BEEN WORKING, UH, WITH THE MAYOR ON A NEW SIDEWALK PROGRAM. 
          THERE ARE 2,800, EXCUSE ME, 2300 ROAD MILES ACROSS THE CITY OF HOUSTON. 
          LARGELY THE BURDEN OF, UH, LOW TO MODERATE INCOME COMMUNITIES THAT DO NOT HAVE SIDEWALKS. 
          AND WE WANT TO GO AND BUILD SIDEWALKS, BUT YOU HAVE TO BE ABLE TO ALLOCATE MONEY TO DO THAT. 
          AND WE THINK WE NEED TO PRIORITIZE BUDGET STABILITY OVER THE, THE NET NEW PROGRAMMING. 
          SO WE'RE NOT EXPANDING GOVERNMENT PROGRAMS. THIS WOULD BE CONSIDERED A MAINTENANCE BUDGET. 
          IF I WAS GOING TO HAVE A CONVERSATION WITH Y'ALL ABOUT THIS, LIKE I AM, WE ARE NOT RETI RELYING ON ONE-TIME TRANSFERS. 
          SO A LOT OF MAYORS, I WAS A PART OF THIS, SALLY, YOU AND I WERE PART OF ADMINISTRATIONS THAT DID THIS, WHERE THEY CLOSED BUDGET GAPS BY DOING THINGS LIKE LAND SALES. 
          UM, IT'S A, IT WAS A GOOD QUICK WAY TO SOLVE A BUDGET GAP, ESPECIALLY WHEN THE BUDGET GAP IS SMALL. 
          UM, BUT IT DOESN'T AFFECT THE OVERALL SYSTEMIC CHALLENGE. 
          THE CITY OF HOUSTON HAS ALWAYS HAD A STRUCTURALLY IMBALANCED BUDGET. 
          UM, EACH MAYOR, I THINK HAS HAD A REALLY WONDERFUL SET OF WINS UNDERNEATH THEM. 
          IF YOU GO BACK TO MAYOR PARKER, UH, IF YOU GO BACK TO MAYOR WHITE, HE WAS ABLE TO FEND OFF A WHOLE, BRING A WHOLE BUNCH OF SORT OF CORPORATE EXCELLENCE. 
          HE CAME FROM THE CORPORATE SIDE AND HE BROUGHT A WHOLE BUNCH OF SORT OF BUSINESS ACUMEN INTO THE SEAT. 
          MAYOR PARKER CAME IN AND SHE DID REBUILD HOUSTON, WHICH PUT THE, ESTABLISHED THE LOCKBOX. 
          UM, YOU TALK TO MAYOR TURNER, UH, GO TO MAYOR TURNER, AND HE WAS ABLE TO DO, UM, ONE WEATHER US THROUGH A HURRICANE, UH, H THE BIGGEST HURRICANE, BUT ALSO DO PENSION REFORM, WHICH GAVE, ALLOWED, FREED UP BILLIONS OF DOLLARS OF UNFUNDED LIABILITY WITHIN OUR PENSION SYSTEM. 
          AND, BUT NOW WE'RE AT THE POINT, UH, WHERE WE HAVE SUCH A SIGNIFICANT, UH, BUDGET DEFICIT THAT WE NEED TO BE ABLE TO DO SYSTEMIC CHANGE. 
          UM, AND WE NEED TO BE ABLE TO HAVE THAT SORT OF FISCAL REFORM. 
          AND MORE IMPORTANTLY, AND THIS IS GONNA BE A THING THAT I THINK ALL OF Y'ALL ARE GONNA HAVE QUESTIONS ABOUT, AND I'M HAPPY TO GIVE A DETAILED ANSWER AS TO WHY, BUT WE ARE NOT DEFERRING INFRASTRUCTURE OBLIGATIONS. 
          WE ARE NOT GONNA BE, UH, GOING SLOWING DOWN ON ANY OF OUR CONSENT DECREE WORK. 
          UH, IN FACT, RANDY IS WORKING ON A PRESENTATION THAT HE'LL BE GIVING TO CITY COUNCIL VERY SOON ABOUT THAT. 
          UM, HOW WE ARE EITHER ON TIME OR AHEAD OF TIME AND EVERY ASPECT OF OUR CONSENT DECREE. 
          UH, WE ARE NOT GOING TO BE DEFERRING CIP WE ARE NOT DELAYING ANY PROJECTS WHATSOEVER. 
          AND THIS IS GONNA BE AN IMPORTANT THING. 
          SO WHAT ARE WE DOING? I'M GONNA BREAK THIS OUT AT A VERY HIGH LEVEL, THEN I'M GONNA JUMP TO THE SLIDE AND THEN IT'S QUESTION TIME. 
          UH, JUMP TO THE, THE BUDGET SLIDE. 
          SO AT A HIGH LEVEL, WE ARE DOING TWO SIMPLE CONCEPTS THAT WE'RE GONNA, ARE GONNA REQUIRE A LOT OF ANSWERS. 
          I I'M SURE. 
          BUT CONCEPT NUMBER ONE IS ONE A AND ONE B. 
          WE ARE DECLARING SOLID WASTE AS A PUBLIC UTILITY UNDER CHAPTER 1502 OF THE LOCAL GOVERNMENT CODE. 
          WE ARE ALLOWED TO DECLARE A NUMBER OF THINGS THAT CITIES DO AS A UTILITY. 
          UH, FOR EXAMPLE, WATER IS A UTILITY, SEWER IS A UTILITY, ELECTRICITY, NATURAL GAS, SOLID WASTE. 
          THESE ARE ALL THINGS THAT THIS PARTICULAR STATE LAW ENVISIONS AS BEING DECLARED A UTILITY. 
          WE HAVE NOT DONE SOLID WASTE. 
          OTHER CITIES HAVE, WE ARE DECLARING IT. 
          SOLID WASTE IS A UTILITY. 
          NOW WHAT THAT DOES FROM A PRACTICAL PERSPECTIVE IS IT PICKS IT UP OUT OF GENERAL FUND AND PUTS IT INSIDE THE UTILITY FUND. 
          THAT'S IT. 
          THE SECOND THING THAT WE ARE DOING IS WE ARE ESTABLISHING A $5 ADMINISTRATIVE FEE. 
          AND I'LL, I I'M HAPPY TO EXPLAIN WHY WE'RE USING THE TERMINOLOGY OF ADMINISTRATIVE FEE. 
          I KNOW THAT THERE ARE SOME FOLKS THAT ARE UPSET ABOUT IT, BUT THERE IS A LOGIC BEHIND IT. 
          I PROMISE YOU IT'S NOT JUST MADE UP WORDING. 
          UM, BUT WE ARE DOING A $5 ADMINISTRATIVE FEE, AND THE HIGH LEVEL OF THAT IS THAT WE'RE GONNA KEEP IT AT $5 FOR TWO YEARS. 
          AND THERE'S TWO REASONS FOR THAT. 
          ONE, WE FULLY RECOGNIZE THAT THIS IS THE FIRST TIME THAT THE CITY OF HOUSTON IS GOING TO HAVE A FEE RELATED TO SOLID WASTE. 
          THE COST OF DOING SOLID WASTE IN THE CITY OF HOUSTON IS $25 PER HOUSEHOLD PER MONTH. 
          THAT IS A THING THAT WE'VE STUDIED. 
          WE, UH, HAVE RELEASED THE STUDY. 
          IT'S ONLINE. 
          YOU CAN GO TO FINANCE, IT'S CALLED THE BURNS AND MCDONALD'S STUDY. 
          AND WHAT THEY SAY IS THAT IT CAN BE ANYWHERE. 
          IF YOU WANNA DO ALL THESE EXTRA ADDED BENEFITS, IT CAN GO REALLY HIGH. 
          BUT TO DO CORE FUNCTION WITHIN THE THE, WITHIN THE SOLID WASTE DEPARTMENT, IT IS $25 PER HOUSEHOLD PER MONTH. 
          MAYOR WHITMEYER DOES NOT BELIEVE THAT WE CAN GO FROM ZERO TO 25. 
          MORE IMPORTANTLY IN THAT, HOUSEHOLDS CAN TOLERATE THAT KIND OF, THAT KIND OF INCREASE. 
          MORE IMPORTANTLY, WE ARE IN FULL REFORM MODE WITHIN THE DEPARTMENT ITSELF. 
          SO WHEN LARRY CAME IN, THERE'S A WHOLE BUNCH OF THINGS THAT ALL OF Y'ALL ARE ACUTELY AWARE OF. 
          BUT FOR EXAMPLE, UH, WE WERE ON PAPER ROUTING. 
          WE DIDN'T HAVE GPS DEVICES IN OUR VEHICLES. 
          THERE WEREN'T PERFORMANCE METRICS, THERE WASN'T ROUTING. 
          WE DIDN'T USE GOOGLE MAPS IN OUR TRUCKS. 
          AND THAT'S NOT A, THAT'S NOT CASTING ASPERSIONS ON THE DRIVERS THEMSELVES, RIGHT? THERE'S ON TOP OF THAT, WE HAD SIGNIFICANT AMOUNTS OF NEGLECT WITH OUR, OUR FLEET. 
          UM, YOU KNOW, A USEFUL LIFE OF A SOLID WASTE VEHICLE IS SEVEN YEARS AND ABOUT 200, 250,000 MILES. 
          AVERAGE AGE IS NINE OR 10 YEARS NOW. 
          AND IT'S LIKE 350 
          [00:15:01]
TO 400,000 IS THE AVERAGE FOR OUR VEHICLES. 
          WE HAVE OLD VEHICLES AND THEN MAYBE STATED A DIFFERENT WAY. 
          IF WE COMPARE OURSELVES TO CITIES THAT ARE AS BIG AS US LIKE LA AND PHOENIX, UM, ON AVERAGE, THEIR SOLID WASTE DEPARTMENTS ARE DEALING WITH FIVE TO 10 BREAKDOWNS PER DAY. 
          WE'RE DEALING WITH 40 TO 45 BREAKDOWNS PER DAY, WHICH IS ABOUT OUR QUARTER OF OUR FLEET IN THE FIELD. 
          UM, AND THEN ON TOP OF THAT, WE HAVE NEGLECTED FACILITIES. 
          SO ALL OF THOSE THINGS HAVE CULMINATED INTO A SOLID WASTE DEPARTMENT AS YOU KNOW IT. 
          BUT WHEN LARRY CAME IN, THE FIRST THING THAT HE TOOK UNDER HIS, UNDER HIS ARM WAS, I'VE GOTTA MODERNIZE EVERYTHING. 
          SO WE NOW HAVE GGPS DEVICES IN ALL OF OUR SOLID WASTE VEHICLES. 
          BUT MORE IMPORTANTLY, WE HAVE GPS DEVICES IN ALL OF OUR SUPERVISORS VEHICLES. 
          ONE OF THE THINGS THAT WE HAVE COME TO FIND IS THAT, UH, OUR SUPERVISORS, A LOT OF OUR SUPERVISORS GET ON SIX 10, GO AROUND THE LOOP A FEW TIMES AND THEN GO BACK TO IT AND DON'T STEP A FOOT INTO A NEIGHBORHOOD. 
          SO THEY'RE NOT ABLE TO KEEP PERFORMANCE METRICS ON THE DRIVERS THEMSELVES. 
          BUT WE ALSO HAVE THOSE DEVICES INSIDE THE TRUCKS. 
          AND THEN MORE IMPORTANTLY, LAST YEAR, UH, I KNOW THAT WE MADE BIG HAY ABOUT IT, BUT I DON'T KNOW IF IT GOT TO Y'ALL. 
          WE MADE THE SINGLE LARGEST MUNICIPAL PURCHASE OF SOLID WASTE VEHICLES THAT THE CITY OF HOUSTON'S EVER PURCHASED. 
          IT WAS 50 AND THAT REPLACED ABOUT A QUARTER OF OUR FLEET. 
          WE DIDN'T GET RID OF ANY OF OUR VEHICLES, WE JUST MOVED THOSE NEW ONES TO THE FRONT AND MOVED THE, UH, THE OLD ONES AS BACKUPS TO THE NEW ONES. 
          BUT MORE IMPORTANTLY, 38 OF THOSE TRUCKS BECAME DEDICATED TO RECYCLING, WHICH WAS THE BIG PAIN POINT THAT WE HAD. 
          GARBAGE STARTED TO GET BACK ON TIME. 
          THAT OF COURSE, THERE ARE TIMES WHEN WE MISS IT AND THAT'S WHY WE'RE MODERNIZING OUR TECHNOLOGY SO WE CAN CATCH WHEN OUR DRIVERS ARE MISSING IT. 
          BUT MORE IMPORTANTLY, SO WE CAN VALIDATE THAT THE PERSON WHO'S CALLING AND SAYING, YOU MISSED MY TRASH, ACTUALLY HAD THEIR TRASH MISSED AND THEY WEREN'T LIKE, OH DANG, I NEED TO JUST GO PUT IT OUT REAL QUICK. 
          I FORGOT TO. 
          UH, AND THEN THE, THE LAST THING THAT WE, UH, SO, SO WE'RE WORKING THROUGH THIS MODERNIZATION AND SO THE PERSPECTIVE THAT MAYOR WHITMEYER HAD WAS ONE, I DON'T WANNA CREATE HOUSEHOLD SHOCK FOR GOING FROM ZERO TO 25 BUCKS, BUT ALSO $5 IS THE VALIDATED AMOUNT THAT IT COSTS TO ADMINISTER THE DEPARTMENT ITSELF. 
          $5 PER HOUSEHOLD PER MONTH. 
          AND THAT IS A REASONABLE COST AS WE REBUILD THE DEPARTMENT TO GET IT MORE ON TIME. 
          MORE IMPORTANTLY, WHAT THAT $5 REPRESENTS IS ABOUT $24 MILLION OF REVENUE. 
          AND NOW WE CAN ISSUE WHAT'S CALLED A REVENUE BOND, WHICH MEANS IT IS A DEDICATED FUNDING STREAM FOR THINGS LIKE NEW GARBAGE TRUCKS AND IMPROVED FACILITIES TRANSFER STATIONS. 
          SO I'M SURE YOU'RE GONNA HAVE A TON OF QUESTIONS ABOUT THAT AND I CAN ANSWER THOSE TOO, THE SEC. 
          SO THAT'S ONE A, ONE B GOT A LITTLE BIT LONGER THAN I CARED TO GET, SO I APOLOGIZE. 
          I'LL GO REAL FAST NOW. 
          UH, RIGHT OF WAY RENTAL FEE. 
          THIS IS ALSO CALLED A FRANCHISE FEE. 
          UM, THIS IS A STANDARD THING ACROSS THE STATE OF TEXAS AND HONESTLY ACROSS THE UNITED STATES. 
          WE DO IT LOCALLY RIGHT NOW. 
          SO FOR EXAMPLE, CENTER POINT, NATURAL GAS, CENTER POINT ELECTRICITY, ALL THOSE TELEPHONE POLES THAT SIT IN SIDEWALKS CENTER POINT ACTUALLY HAS TO PAY THE CITY OF HOUSTON'S GENERAL FUND TO THE TUNE OF ABOUT A HUNDRED MILLION DOLLARS A YEAR. 
          TO OCCUPY THE RIGHT OF WAY, RIGHT OF WAY IS CONSIDERED MID SIDEWALK TO MID SIDEWALK. 
          CONVENIENTLY WE JUST CALL IT CURB TO CURB, BUT THAT IS CONSIDERED THE PEOPLE'S RIGHT OF WAY. 
          THIS IS THE CONCEPT THAT WHEN YOU INCORPORATE AS A CITY, THERE ARE CERTAIN THINGS THAT WON'T BE TAXED BECAUSE IT'S A CORE FUNCTIONING OF THE CITY. 
          SO WHAT THAT MEANS IS THAT THE GENERAL FUND OF THE CITY OF HOUSTON IS CONSIDERED THE PEOPLE'S FUND. 
          THIS IS WHERE EVERYTHING SITS. 
          IT'S WHERE WE PUT ALMOST EVERYTHING EXCEPT WHEN WE DECIDE TO SPEND THINGS OFF AS A FEE FOR SERVICE OR WHAT OTHERS WOULD CONSIDER AN ENCLOSED BUSINESS. 
          SO GENERAL FUND CENTERPOINT PAYS THE GENERAL FUND TO OCCUPY THE RIGHT OF WAY. 
          UH, WE ALSO HAVE AT T COMCAST, OTHER UTILITIES, TELECOM, UTILITIES THAT PAY RIGHT OF WAY FEES AS WELL. 
          AND THEN ON TOP OF THAT, WE CHARGE PRIVATE BUSINESSES THAT UTILIZE OUR RIGHT OF WAY FOR THEIR PRIVATE BUSINESS GAINS. 
          SO FOR PROFIT, PROFIT PURS PURPOSE. 
          SO FOR EXAMPLE, IF YOU ARE A SOLID WASTE HAULER, A WASTE MANAGEMENT, A, UM, A-B-F-I-A REPUBLIC, YOU AND YOU ARE HAULING AWAY TRASH AND YOU'RE USING CITY STREETS TO GET TO THAT BUSINESS, YOU ARE PAYING US TO DO THAT. 
          WE DO THAT ALL THE TIME. 
          IT'S SOMETHING THAT WE ACTUALLY, IT'S ONE OF THE MOST FUN GAMES THAT WE HAVE AT CITY HALL. 
          THIS IS A LITTLE BIT OF A DEEP CUT OF A NERD THING. 
          IT IS MORE FUN THAN YOU WOULD EXPECT TO READ THE NAMES OF THE COMPANIES THAT THESE FOLKS DECIDE TO NAME THEMSELVES. 
          MY PERSONAL FAVORITE IS A, A COMPANY GUIDE DECIDED TO OPEN A BUSINESS AND A TRASH BUSINESS CALLS IT DUTY CALLS. 
          SO, YOU KNOW, UH, THE, UH, SO THAT IS A NORMAL THING THAT WE SEE. 
          HOWEVER, THE CITY OF HOUSTON HAS NEVER HELD ITSELF TO THE SAME STANDARD THAT WE HOLD OTHER THINGS LIKE CENTERPOINT UTILITY AND TELECOM UTILITY, AND THE WATER AND SEWER SYSTEM DOES NOT PAY A RIGHT OF WAY FEE INTO THE GENERAL FUND FOR OCCUPYING IT IS A UTILITY NO DIFFERENT. 
          IT IS AN ENCLOSED BUSINESS. 
          IT'S TECHNICALLY SEPARATE FROM THE GENERAL FUND, NOT TECHNICALLY IT IS SEPARATE FROM THE GENERAL FUND, BUT, AND THERE ARE MEMOS THAT WE'VE SEEN GOING BACK AS FAR AS 25 YEARS, UM, SAYING WE SHOULD BE DOING THIS. 
          BECAUSE IF YOU GO AND LOOK, YOU'VE GOT AUSTIN, AUSTIN, UH, ENERGY, AUSTIN WATER, DALLAS WATER FORT WORTH, EL PASO, SAN ANTONIO, EVERYBODY MAKES THEIR U THEIR UTILITY COMP COMPENSATE THE GENERAL FUND FOR THE PURPOSES OF OCCUPYING THAT RIGHT OF WAY. 
          AND THE CITY OF HOUSTON'S JUST NEVER DONE IT. 
          SO THAT IS WHAT WE ARE GOING TO BE DOING. 
          WHAT THAT DOES NOT MEAN IS IT DOES NOT MEAN WATER RATES GO UP. 
          AND I CAN GIVE A VERY TECHNICAL ANSWER FOR Y'ALL, I'LL WAIT FOR THE Q AND A ON THIS. 
          UM, BUT THERE'S A VERY TECHNICAL REASON AS TO WHY THIS WON'T IMPACT WATER AND SEWER RATES AND WHY IT 
          [00:20:01]
WON'T DELAY PROJECTS. 
          UM, AND I HAVE A SLIDE FOR IT TOO, SO I MIGHT BE UTILIZING THAT. 
          SO THE THING THAT I'M GONNA END ON IS SHOWING YOU WHAT THIS DOES TO THE GENERAL FUND OUTLOOK. 
          AS Y'ALL KNOW, THIS IS OUR STRUCTURAL BALANCED, STRUCTURALLY BALANCED BUDGET, UN STRUCTURALLY BALANCED BUDGET. 
          UM, AND WHAT WE SEE HERE IS THE RED LINE THAT YOU CAN SEE IS WHAT OUR DO NOTHING BUDGET GAP IS IF WE DO NOTHING THIS FISCAL YEAR, WE ARE GOING TO HAVE A $209 MILLION BUDGET GAP FOR FY 27, A $334 MILLION BUDGET GAP FOR FY 28, 3 81 FOR 29 AND 4 46 FOR FY 30. 
          SO WHEN YOU HEAR COUNCIL MEMBERS ASK THE QUESTION, BY FY 30, DO WE REALLY HAVE A HALF A BILLION DOLLAR BUDGET GAP? THE ANSWER IS YES. 
          THAT IS THE PROJECTED BUDGET GAP IF WE DO NOTHING, UM, WHICH IS WHY IT'S IMPORTANT THAT WE HAVE TO DO SOMETHING THIS YEAR. 
          UM, MORE IMPORTANTLY, AND THIS IS GONNA BE THE CONVERSATION THAT IS, I CAN'T STRESS THIS ENOUGH, FY 28, IF WE DO NOTHING IS WHEN WE GO NEGATIVE CASH BALANCE. 
          SO WHAT THAT MEANS IS SOMEONE IN MY POSITION HAS TO THINK ABOUT WAYS IN WHICH WE STOP DOING CITY SERVICES. 
          UM, SO WHERE WE CAN CUT OUT, WE HAVE TO, I MEAN, EFFECTIVELY THAT'S LAYOFF TERRITORY. 
          AND ONE OF THE THINGS, THERE ARE TWO THINGS THAT MAYOR WHITMEYER CAME IN AND SAID, I DON'T, THESE ARE THE TWO THINGS THAT WE CANNOT TOUCH UNTIL THE CITY OF OF HOUSTON HAS DONE EVERYTHING IN ITS POWER TO, UH, MAKE SURE THAT WE CAN GET TO A STRUCTURALLY BALANCED BUDGET. 
          THE FIRST IS I'M NOT GOING TO INCREASE PROPERTY TAXES. 
          AND THE SECOND IS, I'M NOT GOING TO LAY OFF CITY EMPLOYEES TO CLOSE OUR BUDGET GAP. 
          AND SO THIS IS WHAT THAT REPRESENTS. 
          IF WE DO NOTHING NOW WHAT THESE TWO ACTIONS DO IS THEY, UH, EFFECTIVELY GIVE US TWO AND A HALF YEARS OF STABILITY BEFORE WE HAVE TO GO DO THE NEXT THING. 
          SO THE WAY THAT WE'VE BEEN FRAMING IT IS IF FISCAL STABILITY IS, UH, BUILDING, LIKE BUILDING A HOME THIS FISCAL YEAR IS LAYING THE FOUNDATION, UM, THIS ISN'T GOING TO SOLVE THE PROBLEM. 
          YOU'RE NOT GONNA SEE LIKE A VICTORY, UH, A VICTORY LAP OR A MISSION ACCOMPLISHED BANNER FLYING BEHIND US. 
          BUT THIS IS THE FIRST TWO IMPORTANT STEPS THAT WE HAVE TO TAKE TO BE ABLE TO CREATE THAT FOUNDATION OF STABILITY SO WE CAN BUILD ON IT MOVING FORWARD. 
          AND WHAT THIS DOES, SO WHERE WE WERE TALKING ABOUT A $209 MILLION BUDGET GAP FOR FY 27, WE'RE NOW SEEING A $25 MILLION BUDGET GAP. 
          WE'RE SEEING 334 FOR FY 28, IT'S GONNA BE REDUCED TO ABOUT 92 MILLION. 
          AND SO WE'VE PUT THESE BUDGET GAPS BACK INTO SUSTAINABLE TERRITORY WHERE WE CAN BEGIN TO HAVE, I CAN CLOSE A HUNDRED MILLION DOLLARS BUDGET GAP. 
          WE'VE, UH, WE REDUCED A HUNDRED MILLION DOLLARS OF SALARY COST WITH THE VOLUNTARY RETIREMENT. 
          THERE ARE STILL ABOUT 2000 ELIGIBLE, 2000, UH, EMPLOYEES THAT ARE ELIGIBLE FOR RETIREMENT, WHICH REPRESENTS ABOUT 19%. 
          THE, THE SAY THE NORMAL RATIO IS BETWEEN EIGHT TO 10%. 
          WE CAN STILL WORK THROUGH THAT, THAT CATEGORY. 
          WE'VE ALSO, WE WERE ABLE TO CUT $122 MILLION JUST THROUGH, THROUGH DOING LIKE NO-BRAINER DUST STUFF. 
          AND I KNOW, UM, SO FOR EXAMPLE, IF YOU NEEDED ANYTHING IN THE CITY OF HOUSTON THAT WAS A NON-EMERGENCY, YOU CALL 3 1 1, RIGHT? YOU WANT INFORMATION ABOUT WHEN YOUR, WHERE YOUR WARRANT SAT, IF YOU HAVE A WARRANT, WHEN YOUR COURT DATE IS HOW TO GET TO THE COURTHOUSE TO OPEN A SERVICE REQUEST, ALL THE THINGS THAT Y'ALL NOR KNOW HOW TO DO. 
          BUT YOU DIDN'T CALL 3 1 1 IF YOU HAD A WATER BILL ISSUE, RIGHT? YOU CALL WATER BILL CALLING CENTER. 
          SO WE MERGED THOSE CALLING CENTERS BECAUSE IT MADE NO SENSE. 
          THERE WERE NOT ENOUGH THREE ONE ONE CALL TAKERS AND THERE WERE WAY TOO MANY WATER BILLING CUSTOMER SERVICE REPRESENTATIVES, UM, FOR THE AMOUNT OF WORK THAT THEY WERE DOING. 
          AND SO WE MERGED AND WE CROSS TRAINED EVERYBODY, AND NOW YOU JUST CALL 3 1 1 AND THAT'S IT. 
          AND SO THERE'S A LOT OF SMART THINGS THAT WE WERE ABLE TO DO THAT WE CAN CONTINUE TO DO THOSE THINGS, BUT YOU CAN'T WHEN WE'RE STARING, WHEN WE'RE LIKE A YEAR AND A HALF AWAY FROM GOING OFF THIS SORT OF FISCAL CLIFF. 
          AND SO WHAT THIS REPRESENTS, AGAIN, IS THE FIRST STEP TOWARDS A STABLE BUDGET MOVING FORWARD. 
          WE IN EFFECT THE, SO I'LL GIVE YOU RAW NUMBERS HERE BY DECLARING SOLID WASTE TO UTILITY, WE MOVE IT OUTTA THE GENERAL FUND, PUT IT INTO THE, THE UTILITY FUND, BALANCE UTILITY FUND. 
          AND THAT'S GONNA FREE UP ABOUT $117 MILLION OF OVERHEAD WITHIN THE GENERAL FUND. 
          THE, UH, RIGHT OF WAY, THE, UH, 5% OF, UH, GROSS REVENUES COMBINED UTILITY SYSTEM RIGHT OF WAY FEE WILL BRING $104 MILLION NEW REVENUE INTO THE GENERAL FUND. 
          SO IT'LL HAVE AN OFFSET OF ABOUT $220 MILLION. 
          AND THAT IS GONNA BE A GO FORWARD NUMBER. 
          THIS ISN'T A ONE-TIME THING. 
          THIS IS GOING TO BE A SUSTAINABILITY THING MOVING FORWARD. 
          UM, HAVING SAID THAT, I JUST TALKED REALLY FAST AND ACTUAL, UH, SO I'LL PAUSE AND ANSWER ANY QUESTIONS THAT YOU MIGHT HAVE. 
          MY UNDERSTANDING IS THAT WE'VE GOTTA GO TO THE MICROPHONE FOR THE QUESTION FOR THE BENEFIT OF EVERYBODY IN THE BACK AND BEFORE WE START ASKING QUESTIONS. 
          GOOD AFTERNOON EVERYONE. 
          GOOD EVENING. 
          HEY, MY NAME IS LETICIA GRANT. 
          I'M THE CHAIR OF THE SUPER NEIGHBORHOOD ALLIANCE. 
          I WANNA FIRST OF ALL, THANK EVERYBODY FOR BEING HERE AND JUST A COUPLE OF THINGS WHEN WE GO TO ASK QUESTIONS AT THE MIC, FIRST OF ALL, WE HAVE TO ASK QUESTIONS AT THE MIC GOODS NUMBER ONE. 
          BUT IN ADDITION TO THAT, IF WE CAN RESERVE THE QUESTIONS FIRST, COMMENT SECOND. 
          SO IF YOU HAVE A COMMENT, IF YOU CAN HOLD YOUR COMMENT UNTIL ALL THE QUESTIONS HAVE BEEN ASKED AND ANSWERED, THAT WOULD BE AMAZING. 
          SO THANK Y'ALL SO MUCH FOR BEING HERE AND I WILL TURN IT ON OVER. 
          THANKS SO MUCH. 
          THANK YOU. 
          ONE MINUTE FOR EACH QUESTION. 
          OKAY. 
          CAN YOU GO BACK TO THE FIRST SLIDE WHERE YOU WERE SHOWING THE DIFFERENT CITIES AND THE WAY THE MONEY 
          [00:25:01]
COME IN YEAH. 
          AND HOW WE DIDN'T HAVE BUT THAT ONE COLOR. 
          YES, MA'AM. 
          YEAH. 
          GO BACK TO THAT ONE, TWO, KEEP GOING. 
          THERE WE GO. 
          DON'T COUNT THIS AS MY TIME. 
          OKAY. 
          UH, NOW YOU HAVE ONE COLOR THERE, BUT WE DO GET MONEY FROM, AS YOU SAID, COMCAST AND THE DIFFERENT UTILITIES. 
          THAT'S RIGHT. 
          THAT'S VERY INTERESTING. 
          BUT WHY THAT ISN'T SHOWING UP ON THERE AS ANOTHER COLOR BECAUSE IT'S A TINY SPECK AND WHATEVER. 
          MORE IMPORTANT, MORE IMPORTANTLY, UH, THE UTILITY. 
          THIS IS CONSIDERED THE, UH, NATURAL GAS, UH, NATURAL GAS OR ELECTRICITY. 
          AND THAT'S A FAIR POINT. 
          BUT THE, UH, THE WATER AND SEWER UTILITY ARE THE ONES THAT I REFERENCED. 
          I MISSPOKE WHEN I WAS DOING IT. 
          SO WATER IS WATER UTILITY A SEWER. 
          CORRECT. 
          BUT I'M JUST SAYING IN THE GI KNOW THAT IN THE YEAH, FUND, GROSS FUND, YOU GET THE COMCAST ATT THAT'S RIGHT. 
          THAT'S ALL A PART OF OUR, OUR GENERAL FUND, UH, BALANCE. 
          MM-HMM . 
          AND SO I WAS WONDERING WHY THAT WASN'T IN THERE. 
          'CAUSE I KNOW THE CITIES HAVE THAT. 
          I AGREE THAT YOU SHOULD BE MOVING THIS STUFF TO THE OTHER FUND BECAUSE YOU GOT MORE MONEY IN THERE. 
          YOU GOT OUR BILLIONS OF DOLLARS. 
          AND I KNOW THAT DON'T MAKE IT LOOK BETTER, BUT IT WOULD HELP A LOT IF YOU ALWAYS SUNSET SOME OF THE TURS IN THE VERY WEALTHY NEIGHBORHOODS WHERE THEY DON'T NEED TO BE. 
          BECAUSE TURS IS SUPPOSED TO BE FOR LOW INCOME NEIGHBORHOODS, BUT THEY'RE NOT. 
          THEY'RE FOR PROFITING MAKING A BUNCH OF MONEY. 
          AND THAT NEEDS TO BE SUNSET. 
          THAT WILL HELP YOU ALL A LOT IN REDUCING YOUR FUND. 
          THANK YOU, . 
          THANKS, TAMARA. 
          . 
          HEY, JACK. 
          OKAY, I HAVE TWO QUESTIONS QUICKLY. 
          YES, SIR. 
          NUMBER ONE IS CAN WE GET A CHART OF EVERY DEPARTMENT BEING FUNDED OR, AND OR BEING DEFUNDED SO WE KNOW WHAT THE BUDGET LOOKS LIKE? NUMBER TWO. 
          YEAH. 
          HOW CAN YOU TELL ME THAT TAKING OUT $200 MILLION A YEAR OUT OF THE WATER FUND IS NOT GONNA AFFECT THE WATER FUND AND FIXING THINGS AND DOING WITH THE CONSENT DECREE, ET CETERA, ET CETERA, $200 MILLION. 
          IF WE HAD THAT MONEY LYING THERE, THEN WHY DIDN'T WE GET A RATE DECREASE? IT'S A GOOD QUESTION. 
          I'LL ANSWER IT A COUPLE OF DIFFERENT WAYS. 
          THE FIRST ONE IS THE BUDGET'S ALREADY UPLOADED. 
          SO YOU'VE GOT, YOU CAN GET THE FULL DOCUMENTS THAT YOU HAVE AND IT, I THINK IT'S LIKE THE FIRST TAB IN IS A GENERAL FUND OUTLOOK, AND YOU CAN SEE ALL THE DEPARTMENTS. 
          SO YOU CAN GO RIGHT THERE AND SEE WHAT THE FY 27 BUDGET IS AND WHAT THE FY 26 ADOPTED BUDGET WAS. 
          UM, SO THAT YOU CAN DO THAT COMPARISON RIGHT NOW. 
          IT'S AVAILABLE ONLINE. 
          UM, AND I'VE ALSO GOT MY HANDY DANDY BUDGET BOOK IN THE BACK, JACK, IF YOU, YOU WANNA GRAB IT, YOU CAN JUST HAVE IT. 
          UH, THE, I'LL ANSWER THE SECOND QUESTION IN A COUPLE OF DIFFERENT WAYS. 
          I'M GONNA TALK TO YOU ABOUT IT FROM A FISCAL PERSPECTIVE, BUT I'M ALSO GONNA TALK TO YOU ABOUT IT FROM OUR OPERATIONAL PERSPECTIVE. 
          SO THE ANSWER, THE, THE LAWFUL LEGAL ANSWER ABOUT WATER RATES IS THAT WE CAN'T DECREASE WATER RATES WHEN WE'RE UNDER, UM, WHEN WE DO A FEE STUDY AND A RATE STUDY AND ALL OF THOSE THINGS. 
          BUT MORE IMPORTANTLY, OUR WATER RATES ARE ALSO TIED TO A CONSENT DECREE. 
          IT'S JUST A LITTLE BIT DIFFERENT, RIGHT? SO, BUT WHAT YOU'VE GOTTA THINK ABOUT, AND, UM, I DON'T MEAN THIS IN A NEGATIVE WAY, BUT THE THING THAT YOU'VE GOTTA PUT YOUR FRAME OF MIND IN IS THAT WE SET WATER RATES, UH, AT, IN A SNAPSHOT IN TIME. 
          AND WHAT THAT SNAPSHOT IN TIME NECESSARILY LOOKS AT IS WHAT IS THE COST OF RUNNING THE FUNCTION ITSELF? THE SOLID WASTE IS A GREAT EXAMPLE. 
          THE $25 PER HOUSEHOLD PER MONTH IS AN, IS A REALLY SOUND FISCAL ANALYSIS OF WHAT IT COSTS TO RUN SOLID WASTE. 
          BUT THE NECESSARY ASSUMPTION IS THAT SOLID WASTE IS BEING, BEING RUN EFFICIENTLY, WHICH I DON'T THINK ANYBODY SAYS THAT. 
          SO WHEN WE TALK ABOUT AS WE BUILD INEFFICIENCY THAT $25 MOST LIKELY WILL GO DOWN IN COST. 
          WELL, WHEN WE ARE SETTING RATES, YOU HAVE TO ASSUME AT THE TIME THAT THE, THE FUNCTIONING OF THE DEPARTMENT IS BEING DONE EFFICIENTLY OR AT LEAST IT'S JUST THAT THIS IS THE COST. 
          SINCE THEN, THERE HAVE BEEN A WHOLE BUNCH OF CHANGES THAT HAVE BEEN MADE. 
          AND I'M GONNA SHOW YOU A SLIDE. 
          I'VE GOT A SLIDE FOR THIS. 
          UH, AND IT'S, I THINK IT'S AN IMPORTANT ONE. 
          IT'S PROBABLY ONE OF THE MOST IMPACTFUL SLIDES OF THIS PRESENTATION IF I DO SAY SO MYSELF. 
          SAYS THE GUY WHO MADE THIS PRESENTATION. 
          SORRY GUYS. 
          . 
          . 
          OKAY, HERE WE GO. 
          ACTUALLY, I'M GONNA SHOW YOU TWO SLIDES, UM, BECAUSE I THINK THIS IS GONNA ADDRESS OTHER QUESTIONS AS WELL. 
          OUR COMBINED UTILITY SYSTEM, WE HAVE TO LOOK AT TWO DIFFERENT THINGS. 
          WE HAVE TO LOOK AT WHAT'S CALLED DEBT, DEBT SERVICE COVERAGE RATIO. 
          SO THIS IS EFFECTIVELY KEEPING ENOUGH MONEY TO PAY YOUR DEBTS. 
          AND THEN WE ALSO HAVE TO LOOK AT WHAT'S CALLED OPERATING CASH RESERVES. 
          SO ON A DEBT SERVICE COVERAGE RATIO, WE NEGOTIATE WITH OUR BOND HOLDERS THROUGH AN ORDINANCE CALLED THE MASTER BOND ORDINANCE. 
          AND WE, THEY BASICALLY SAY WHAT MAKES THEM COMFORTABLE WITH THE RATES THAT THEY'RE GIVING WHEN THEY PURCHASE OUR DEBT, UH, FOR BEING ABLE TO, WHAT WE HAVE TO CARRY TO MAKE THEM COMFORTABLE SO THEY'LL CONTINUE TO PURCHASE DEBT FROM US. 
          UH, THAT RATE AS SET BY THE AGREEMENTS IS BETWEEN 120% AND 135%. 
          SO WHAT THAT MEANS IS, FOR EVERYONE A HUNDRED DOLLARS OF DEBT, WE NEED TO CARRY OUT A MAXIMUM 135 BUCKS. 
          WE CURRENTLY CARRY 215% AND THERE'S A REASON FOR IT, AND I'LL WALK YOU THROUGH IT. 
          BUT THE SECOND ONE THAT I WANNA BE ABLE TO TALK THROUGH IS WHAT'S CALLED REQUIRED CASH RESERVES. 
          SO THIS IS NOT RELATED TO DEBT, THIS IS RELATED TO OPERATIONS. 
          THIS IS ABOUT HOW WE DO OUR BUSINESS EVERY DAY, RUNNING THE WATER AND SEWER SYSTEM. 
          WE HAVE TO CARRY BY ORDINANCE 60 DAYS OF CASH RESERVE. 
          MEANING IF ALL FUNDING STOPPED POP, THERE WAS A LINE. 
          NO HOUSTONIAN PAID EVER AGAIN BY ORDINANCE. 
          WE HAVE TO KEEP IT RUNNING FOR SIX. 
          WE HAVE TO HAVE ENOUGH CASH TO KEEP IT RUNNING FOR 60 DAYS CASH POLICY AS WE'RE FURTHER REFINED 
          [00:30:01]
BY PUBLIC WORKS. 
          BECAUSE 60 DAYS IS KIND OF RIDICULOUS. 
          I DON'T KNOW WHY THEY DIDN'T CHANGE THE ORDINANCE, THEY JUST REFINED IT FURTHER BY POLICY IS 300 DAYS. 
          CURRENTLY, UH, PUBLIC WORKS CARRIES 550 DAYS CASH BALANCE OPERATING. 
          SO IT MEANS WE HAVE 250 MORE DAYS. 
          NOW, SOME WOULD SAY THAT'S FINE, GOOD, WHATEVER. 
          LET'S KEEP IT IN THERE. 
          BUT THE CONVERSATION THAT WE'RE TRYING TO HAVE WITH THIS BUDGET CYCLE IS THAT WE ARE SAYING WE'RE HEARING 550 DAYS. 
          THERE'S A REASON FOR IT THAT I'M GONNA WALK YOU THROUGH IN A SECOND. 
          BUT MORE IMPORTANTLY, WE ARE TALKING ABOUT FISCAL CLIFFS IN OUR GENERAL FUND. 
          SO WE'RE TALKING ABOUT CLOSING LIBRARIES AND CLOSING PARKS AND STOPPING TO DO ALL THE THINGS. 
          SO WE HAVE TO HAVE A RATIONAL CONVERSATION ABOUT WHAT IS THE VALUE OF THE MONEY IF WE KNOW THAT WE CAN COMMIT TO CONTINUING TO DO ALL OF THE WORK THAT WE'RE EXPECTED TO DO ON OUR WATER AND SEWER FUND, AND IS IT WORTH CLOSING DOWN ALL OF THE LIBRARIES AND ALL OF THE PARKS AND ALL OF THE THINGS THAT GO WITH IT. 
          SO I'M GONNA GET OFF MIC AND WALK YOU THROUGH THIS BECAUSE THERE'S VERY IMPORTANT OPERATIONAL CONTEXT THAT I WANT Y'ALL TO HAVE. 
          SO IF YOU NOTICE BETWEEN 2016, CAN Y'ALL HEAR ME IN THE BACK? YEAH. 
          TECHNOLOGY MAN. 
          TECHNOLOGY, THANK YOU, DOUG . 
          SO IF YOU GO FROM 2016 TO 2021, YOU SEE GENERAL FLATNESS WITHIN OUR CASH RESERVES. 
          IT MEANS ON AN OPERATIONAL PERSPECTIVE, WE ARE TAKING IN ABOUT AS MUCH MONEY AS WE ARE SPENDING. 
          AND THAT MEANS THAT WE KEPT ANYWHERE BETWEEN 700 TO ABOUT $810 MILLION IN A CAUTION CALLING THIS FUND BALANCE, FUND BALANCE IS A LITTLE BIT DIFFERENT HERE. 
          OUR FUND BALANCE IN THE GENERAL FUND IS CONSIDERED SAVINGS. 
          LIKE ANY, LIKE ANY OF Y'ALL SAVINGS ACCOUNT. 
          THIS IS CONSIDERED, UM, LIKE A SET OF PROGRAMMING IN OUT YEARS. 
          IT MEANS THAT WE'VE GOT ABOUT $800 MILLION OF, OF PLANNED PROJECTS JUST FOR Y'ALL'S EDIFICATION. 
          THAT REPRESENTS ABOUT 15, 20 YEARS OF PROJECTS. 
          AND WHAT THE CITY OF HOUSTON HISTORICALLY HAS DONE IS SAID, WE WANT TO GO AHEAD AND FULLY APPROPRIATE THE PROJECT. 
          SO THAT MEANS O OTHER THAN SHORT OF THE VERY, VERY BIG, BIG DEBT STUFF THAT WE PUT FORWARD, WE WERE PLANNING FOR 15 YEARS OF WORK VIA CASH PAYMENTS AND WE WERE APPROPRIATING AND SOCKING IT AWAY, WHICH IS FROM A FINANCE PERSPECTIVE, A VERY UNSOUND USE OF, OF LIQUIDITY. 
          UM, BUT THERE WAS A, I WOULD SAY A LITTLE BIT OF LIKE A, A CAUTIOUS APPROACH. 
          MAYOR TURNER, UH, WITH CAROL HADDOCK AS DIRECTOR AND RANDY MACKEY AS, UH, THE CHIEF OPERATING OFFICER, THEY DID A REALLY INTERESTING AND CLEVER THING. 
          UM, STARTING IN 21, BETWEEN 21 AND 22, YOU'LL SEE THIS D THIS SUPER PEAK. 
          WHAT THEY DID WAS THEY SAID, WE'RE GOING TO DRIVE HUGE AMOUNTS OF EFFICIENCY INTO THE DEPARTMENT. 
          THEY GOT A NEW WORK ORDER SYSTEM. 
          THEY STARTED DOING AUTOMATED ROUTING. 
          THEY ESTABLISHED NEW PERFORMANCE METRICS BECAUSE IT'S RIGHT AROUND THE TIME THAT THEY STARTED DOING OUTCOME-BASED BUDGETING. 
          AND SO TO GET YOUR TIE, YOUR BUDGET TO PERFORMANCE METRICS IS THE NECESSITY THAT WE HAVE HAVE. 
          AND SO WE BEGAN TO SEE EMPLOYEES DOING MORE WORK WITH LESS MONEY. 
          AND WE STARTED TO GO AFTER, IF Y'ALL, Y'ALL HAVE ALL HEARD THE, THE EYE POPPING STAT THAT WE LEAK 38 BILLION GALLONS OF WATER, WHICH IS THE SAME AMOUNT THAT FORT WORTH CONSUMES EACH YEAR. 
          THAT IS WHEN THEY STARTED DOING THE 3% REPLACEMENT PROGRAM AND THEY TARGETED THE WORST PIPES. 
          SO THEY SAID, WE'RE GOING AFTER THE WORST ONES FIRST. 
          AND WE BEGAN TO SEE AN INCREASE IN THE CASH BALLOTS, NOT BECAUSE WE WERE DOING LESS WORK, WE WERE DOING MORE WORK, WE WERE DOING IT MORE EFFICIENTLY. 
          AND SO THAT WAS FROM 20 TO 21. 
          AND THEN YOU SEE IT SORT OF LEVEL OFF. 
          AND THEN WHEN WE CAME INTO OFFICE, WE WENT FROM, UH, ROUGHLY LIKE, UH, 1.2 TO ABOUT 1.3 BILLION, WHICH THAT'S LEVELED OFF. 
          AND WHAT THAT REPRESENTS IS A COUPLE OF DIFFERENT THINGS. 
          SO ONE, IT'S, I'LL SAY THIS AND YOU KNOW, YOU CAN ROLL YOUR EYES IF YOU WANT, BUT IT'S KIND OF THE WHITMEYER EFFECT ON ON THE STATE OF TEXAS. 
          AND THEN MORE IMPORTANTLY, WE DECIDED TO GO AND DIVE IN FOR MORE DIVERSIFICATION OF PROJECT FUNDING SOURCES. 
          SO THE STATE OF TEXAS BASICALLY SAID, I MEAN, BECAUSE THE STATE OF TEXAS, THE STATE OF TEXAS, THEY SAID, WE LOVE WHITMEYER. 
          WE, UH, WE WANT YOU TO DO BUSINESS. 
          WE'VE GOT MORE TRUST IN THE CITY. 
          NOW, UM, WE'VE GOT TRUST IN WHITMEYER BECAUSE OF THE 52 YEARS OF PUBLIC SERVICE. 
          BUT REALLY WHAT THAT CAME OUT TO WAS LESS ABOUT THE, THE PUBLIC DIALOGUE AND MORE ABOUT WE'RE GOING TO OFFER YOU, UH, LOANS. 
          AND THEY DID THIS IN THE LEGISLATIVE SESSION AS WELL. 
          WE'RE GOING TO OFFER YOU OPPORTUNITIES FOR FUNDING SOURCES THAT YOU DIDN'T NECESSARILY, THAT ANY, NOT ALL CITIES HAD BEFORE. 
          SO FOR EXAMPLE, WE'VE ALWAYS BEEN ABLE TO TAKE OUT, UH, TEXAS WATER DEVELOPMENT BOARD LOANS ANYWHERE BETWEEN LIKE TWO TO 3%, UH, INTEREST RATES, WHICH IS WAY MORE FAVORABLE THAN WE CAN ISSUE THOSE DEBTS ON OURS IS GONNA BE ANYWHERE BETWEEN FOUR TO SIX. 
          BUT MORE IMPORTANTLY, WE STARTED GETTING OPPORTUNITIES FOR 0% INTEREST SO WE COULD TAKE DEBT OUT AT 0% INTEREST. 
          AND SO ADDITIONALLY, THE FEDERAL GOVERNMENT OPENED UP WHAT'S CALLED WIA. 
          SO THIS IS THE WATER WATER INFRASTRUCTURE FUNDING ACT, UH, BUT WIA LOANS, AND THESE ARE FEDERAL LOANS SIMILAR TO THE TEXAS WATER DEVELOPMENT BOARD ONES FOR SPECIFICALLY FOR WATER AND SEWER. 
          AND WE BEGAN TAKING THOSE LOANS OUT. 
          AND SO WE SAW THIS HEADROOM CREATE. 
          AND WHAT THAT MEANT WAS THAT INSTEAD OF CARRYING WHAT WE WERE SEEING ABOUT AVERAGE OF 800, WE WERE CARRYING ABOUT 1.3, $1.4 BILLION OF FUND BALANCE. 
          AND SO WE SAID THIS WAS THE HEAD SPACE THAT WE NEEDED THIS ONE, THIS ONE, I LIKE THIS ONE BETTER. 
          I SOUND WAY BETTER ON THIS ONE. 
          . 
          UH, THIS WAS THE HEAD SPACE THAT WE NEEDED, UM, TO BE ABLE TO GO AND CREATE THAT REVENUE DIVERSITY THAT WE'RE CREATING FOR OURSELVES WITH THE 5% 
          [00:35:01]
TRANSFER. 
          SO JACK, WHENEVER WE SAY FOR A CAMERA THAT THIS ISN'T GOING TO IMPACT PROJECTS UNDER THE AUSPICE THAT LEGALLY WE CAN'T LAWFULLY, WE CANNOT DECREASE WATER RATES. 
          THE FACT OF THE MATTER IS, IS THAT WE ARE MORE EFFICIENT AS A DEPARTMENT WHEN THOSE RATES WERE NEGOTIATED. 
          AND SO WHAT WE'RE SAYING IS THAT THAT 5% TRANSFER IS REPRESENTATIVE OF ABOUT A HUNDRED MILLION BUCKS. 
          WE HAVE CREATED THAT HEAD SPACE TO MAKE THAT TRANSFER AND KNOW THAT WE ARE NOT GOING TO IMPACT OR SLOW DOWN ANY OF OUR PROJECTS. 
          THAT WAS A SUPER LONG ANSWER. 
          I'M GONNA TAKE A QUICK DRINK OF WATER, BUT THAT WAS, THAT'S THE ANSWER TO THE QUESTION, JACK. 
          YES, MA'AM. 
          OKAY, THANK YOU. 
          UH, I REPRESENT EAST HOUSTON CGAS SUPER NEIGHBORHOOD 49 50, AND WHAT WE ARE HEARING FROM OUR COMMUNITY, PEOPLE HAVE, ARE USED TO STRETCHING, STRETCHING BUDGETS. 
          YES MA'AM. 
          BUT WHAT THEY LOOK FOR FROM THE CITY IS EFFICIENCY. 
          WHAT I MEAN BY THAT, IT LOOKS LIKE THAT'S A PSYCHOLOGIST TERM CALLED FEAR AND RELIEF STRATEGY. 
          MM-HMM. 
          YOU FAMILIAR WITH IT IS WHEN YOU CAUSE DISCOMFORT AND THEN YOU PROVIDE A, A SOLUTION OR A RELIEF FOR A FEE, THAT'S WHAT WE FEEL LIKE WE'RE A VICTIM OF. 
          SO WE ARE SITTING HERE PAYING MORE TO THE POLICE DEPARTMENT AND SOME IS RIGHTFULLY DESERVED, BUT WE DON'T ISSUE TICKETS WHEN PEOPLE LITTER THE MAYOR, WE'VE, I'VE, I'VE SUGGESTED THIS TOO MANY TIMES. 
          THERE IS A $500 FEE FOR A FIRST TIME LITTERER, SO THAT INCLUDES CIGARETTE BUTTS. 
          SO IF THE CITY IS ABOUT EFFICIENCY, LET'S TAP THAT RESOURCE. 
          PEOPLE ARE LITTERING. 
          YOU GET A TWOFER, YOU GET TO CLEAN UP THIS CITY BECAUSE LITTERING IS A GATEWAY TO ILLEGAL DUMPING, AND YOU GET TO GET RESOURCES FROM THE PEOPLE THAT ARE INTENTIONALLY LITTERING. 
          MM-HMM . 
          SO I WOULD LIKE FOR YOU TO TAKE THAT BACK, STEVEN, BECAUSE WE'VE BEEN TALKING ABOUT THIS FOR QUITE SOME TIME AND PEOPLE IN KNOW HERE KNOW HOW TO BALANCE THE BUDGET. 
          I WOULDN'T WANT YOUR JOB, BUT THERE'S AN EFFICIENT WAY TO DO THIS WITHOUT CHARGING A FEE. 
          THANK YOU. 
          I YIELD BACK. 
          YES, MA'AM. 
          THANK YOU. 
          YEAH. 
          ARE YOU OKAY IF I MAKE A COMMENT ABOUT ILLEGAL DUMPING? SURE, GO AHEAD. 
          GO AHEAD. 
          OKAY. 
          UM, SO ONE OF THE THINGS THAT, THAT WE'VE BEEN TRYING TO APPROACH ILLEGAL DUMPING WITH IS THE CITY OF HOUSTON HISTORICALLY, AND I WORKED UNDER MAYOR PARKER AND I WORKED UNDER MAYOR TURNER, AND SO I'VE BEEN ABLE TO SEE PERSPECTIVES AND JACK IN THE DEPARTMENT OF NEIGHBORHOODS. 
          I KNOW THAT YOU FELT THIS TOO. 
          UM, CITY OF HOUSTON HAS ALWAYS TAKEN A COMPLIANCE PERSPECTIVE, NOT A PUNISHMENT PERSPECTIVE. 
          THAT'S GENERALLY HOW IT'S OPERATED. 
          UH, THAT WHEN CASES ARISE, WHEN ILLEGAL DUMPING CASES ARISE TO THE POINT IN WHICH POLICE CAN INVESTIGATE IT, MEANING THERE'S GONNA BE SOME CLASS A OR CLASS B NEXUS THERE OR FELONY NEXUS, UH, THAT'S USUALLY TIED TO, UM, ILLEGAL DUMPING INSIDE OF A DITCH. 
          THERE'S LIKE A BATTERY LEAKING OR SOME OIL, THINGS LIKE THAT, RIGHT? THERE'S AN ENVIRONMENTAL PERSPECTIVE, AND THEN THEY UPGRADE THAT TO A FEDERAL, UH, A FEDERAL FELONY. 
          UM, SO THE CITY OF HOUSTON'S ALWAYS HAD A PERSPECTIVE AROUND, UM, COMPLIANCE OVER PUNISHMENT. 
          HOWEVER, AND THIS STARTED UNDER MAYOR TURNER, IT'S CONTINUING UNDER MAYOR WHITMEYER AND DEFINITELY UNDER CHIEF DIAZ. 
          THE PERSPECTIVE IS THAT SORT OF ENOUGH IS ENOUGH, AND I THINK WE HEAR FROM ALL OF Y'ALL, UH, A LOT ABOUT THAT. 
          ENOUGH IS ENOUGH. 
          AND SO THERE HAS BEEN A REINVESTMENT ON THE HPD SIDE OF THE CAMERAS THAT HAVE BEEN WORKING. 
          THE, SO THE, THE WORK WITH CONSTABLE ALLEN ROSEN WAS FUNDED EXCLUSIVELY BY ARPA ARPA MONEY HAS RUN OUT. 
          UM, AND IT, WHILE HE DID GREAT WORK, IT'S EXPENSIVE WORK. 
          AND SO WE ALSO FOUND THAT OUR HPD ENVIRONMENTAL UNIT, WHICH AGAIN GOES FOR LIKE THOSE CLASS A'S CLASS B'S THAT COULD BE UPGRADED INTO FELONY, ACTUALLY HAD A VERY HIGH HIGHER SUCCESS RATE THAN THE BENCHMARKING THAT WE SAW WITH THE CONSTABLE'S OFFICE. 
          UM, AND SO WHAT WE HAVE DONE AND WHAT CHIEF DIAZ IS DOING IS PUSHING MORE MONEY INTO THAT GROUP AND EXPANDING THE BOTTOM SIDE OF IT AS WELL. 
          AND SO WE'RE SAYING WE'RE GONNA GO AFTER LESSER CRIMES, UM, FOR THE PURPOSES OF DOING THAT. 
          AND, AND MAYOR WHITMEYER HAS MADE THIS COMMITMENT IN FRONT OF, IN FRONT OF A MICROPHONE, AND HE SAID THAT BEFORE, WE'RE GOING ALL IN ON ILLEGAL DUMPING TO BE ABLE TO NOT JUST ADDRESS IT FROM A, UM, AN ABATEMENT PERSPECTIVE, UM, WHICH IS GOING TO BE PART OF THAT NEXUS OF SOLID WASTE BEING INSIDE OF THE UTILITY, ESTABLISHING A REVENUE STREAM SO WE CAN ISSUE MORE MONEY. 
          WE'RE NOT JUST GONNA GO BUY SINGLE SIDE LOADERS, RIGHT? WE'RE GONNA BUY THE TRUCK AND TRAILERS THAT IT TAKES TO GO PICK UP THE ILLEGAL DUMPING, ALL OF THAT WORK THAT GOES INTO IT. 
          BUT ADDITIONALLY, UM, WE ARE WORKING WITH HPD TO BE ABLE TO GO THROUGH GOING AFTER THE, THE FOLKS THAT ARE THE HABITUAL, UH, THE HABITUAL ILLEGAL DUMPERS AND CATCH THEM ON CAMERA AND BE ABLE TO PROSECUTE IT. 
          IT IS A VERY DIFFICULT THING TO PROSECUTE. 
          AND I'M, I THINK ALL OF Y'ALL KNOW THAT, RIGHT? THERE'S A LOT OF RULES THAT GO INTO HOW YOU WRITE THE TICKET. 
          I MEAN, THAT'S, YOU KNOW, DEPARTMENT OF NEIGHBORHOOD CODE ENFORCEMENT INSPECTORS WHEN THEY WERE THE ONES DOING ILLEGAL DUMPING, YOU DO NOT CARE ABOUT THIS. 
          I WOULD EXPECT NO ONE IN THIS ROOM TO CARE ABOUT THIS TYPE OF STUFF. 
          BUT THERE IS A VERY NUANCED DIFFERENCE BETWEEN EARLY PLACED HEAVY TRASH, MISSED, HEAVY TRASH, ILLEGAL DUMPING, AND NUISANCE ON PROPERTY. 
          LIKE STATE LAW IS SUPER SPECIFIC ABOUT THIS, AND WE HAVE TO ALL LEARN WHAT THESE THINGS MEAN. 
          IT DOESN'T MEAN ANYTHING TO Y'ALL. 
          IT DOESN'T MATTER WHETHER IT'S ON THE CURB OR ON A PRIVATE PROPERTY. 
          IT'S ILLEGAL DUMPING SOMEONE CAME AND DUMPED THEIR BOAT. 
          IT DOESN'T MATTER IF IT'S IN A DITCH OR NOT. 
          UH, IT'S A VISUAL BLIGHT. 
          AND SO THOSE ARE THE THINGS THAT WE HAVE WORKED REALLY HARD TO MOVE OUTTA THE WAY. 
          IT'S THE BUREAUCRATIC APPROACH TO 
          [00:40:01]
A GENERAL NEIGHBORHOOD PROBLEM. 
          I DON'T THINK ANYBODY IN THIS ROOM CARES ABOUT THOSE DISTINCTIONS. 
          UH, I HAD 'EM IN MY HEAD, SO THANKS FOR LETTING ME GET 'EM OUT. 
          BUT, UM, THAT'S AN IMPORTANT FACET OF THAT, IS THAT WE HAVE TO BE ABLE TO APPROACH IT. 
          SO I'M NOT, I DON'T THINK THAT THAT'S A FULL SATISFACTORY ANSWER TO YOUR COMMENT. 
          IT'S NOT. 
          I OWN, I POSSESS A CRIMINAL JUSTICE DEGREE. 
          YEAH. 
          AND A IT'S A CLASS C MISDEMEANOR TO LITTER. 
          YEAH. 
          IT'S A SOCIAL PROBLEM. 
          I AGREE. 
          AGAIN, IF YOU TAKE CARE OF THE SOCIAL PROBLEM, IT'S A GATEWAY. 
          SO WHEN YOU START MAKING PEOPLE INTOLERANT OF LITTERING, THEN THEY'RE MORE PRONE. 
          IT'S A DETERRENT NOT TO LEGAL ILLEGALLY DUMP. 
          SO YOU START AT THE FOREFRONT. 
          YOU DON'T START AT THE END. 
          THANK YOU. 
          I AGREE. 
          HI, MY NAME IS BEVERLY AJA. 
          HI BEVERLY. 
          I'M WITH SUPER NEIGHBORHOOD 68. 
          YES, MA'AM. 
          WE AS RESIDENTS OF HOUSTON ARE ALWAYS SEEM TO BE THE ONE PAYING OUT. 
          BUT WHAT ARE THE BENEFITS? IN 2012 WHEN, UM, MAYOR PARKER WAS MAYOR MM-HMM . 
          WE STARTED PAYING FOR A DRAINAGE FEE. 
          IT WAS $3 FOR SOME AND $5 FOR OTHER. 
          THAT'S STILL ON OUR UTILITY BILL. 
          WHAT HAS HAPPENED TO THAT MONEY THEN WHEN, UM, THE LATE MAYOR TURNER CAME INTO OFFICE, THE FIRST THING HE WAS GOING TO DO WAS BRING IN NEW TRUCKS, DUMP TRUCKS, TRUCKS FOR, UH, SOLID WASTE TRUCKS, TRUCKS FOR, UH, RECYCLING. 
          WHAT HAPPENED TO THOSE TRUCKS? I THOUGHT I SAW A FEW. 
          NOW WHEN MAYOR MEYER HERE, THEY'RE TALKING ABOUT RAISING THE RATES AGAIN. 
          WE HAD WATER RATES, RATES EVERY YEAR FOR FIVE YEARS, AND WE ARE YET PAYING. 
          BUT WHEN WE HAVE PROBLEMS, IT'S DIFFICULT TO GET SERVICE WHEN THERE'S, THERE'S BROKEN WATER LINES, PEOPLE ARE BEING OVERCHARGED FOR FROM THE WATER METERS. 
          I HAVE A FRIEND THAT GOT $600 A WATER BILL JUST RECENTLY. 
          SHE LIVES ALONE. 
          SO WHAT ARE YOU DOING TO HELP US? IF WE GOING TO JUST MEAN, IF YOU'RE GONNA RAISE THE RATES, AT LEAST BENEFIT US. 
          I'M NOT FOR THIS BUDGET. 
          I'M SORRY. 
          I'LL, UH, OKAY. 
          I I'M GONNA ANSWER THAT AT A HIGH LEVEL AND THINK I'M GONNA TRY AND DIVE, DIVE IN A LITTLE BIT ON IT. 
          UH, SO THE THING THAT I'LL SAY IS THAT GOVERNMENT ISN'T PERFECT IN THE WAY THAT IT APPLIES. 
          AND I, YOU, YOU REFERENCED MULTIPLE ADMINISTRATIONS AND I THINK THAT WE'VE BEEN DEALING WITH CHALLENGES FOR MANY DECADES. 
          SO I DEFINITELY UNDERSTAND YOUR FRUSTRATION AROUND THAT. 
          UM, BUT IT IS INCUMBENT UPON GOVERNMENT TO DRIVE EFFICIENCY INTO WHAT IT DOES, RIGHT? MODERNIZATION OF TECHNOLOGY, BUT MORE IMPORTANTLY, HOLDING ITSELF ACCOUNTABLE TO THE PERFORMANCE METRICS THAT ARE NORMAL THAT YOU WOULD EXPECT. 
          HOW MANY TIMES DID A, UH, HOW MANY PIPES HAS A CITY OF HOUSTON EMPLOYEE REPAIRED? HOW MANY PIPES HAVE THEY SNAKED TO GET RID OF SANITARY SEWER OVERFLOWS THAT ARE ON THE PUBLIC SIDE? UM, WHAT ARE THAT, WHAT'S THAT WORK THAT THEY'RE GOING INTO? AND ARE THEY DOING IT WITH THE SAME SORT OF VIGOR THAT YOU WOULD EXPECT YOU DO, YOU'RE, I'M SURE YOU DO IN YOUR JOB EVERY DAY. 
          AND THAT'S STUFF THAT WE HAVE TO WORK VERY, VERY HARD TO DO. 
          I'LL SAY THAT OUTCOME-BASED BUDGETING WAS PROBABLY ONE OF THE MORE BRILLIANT THINGS THAT I THINK MAYOR TURNER BROUGHT IN TO THE CITY OF HOUSTON, BECAUSE WHAT IT SAID IS, YOUR FUNDING IS TIED TO SUCCESS OF YOUR PERFORMANCE METRICS. 
          NOW, THAT DOESN'T ANSWER TO YOUR QUESTION ABOUT THE, THE, THE MORE COST BEING EXTRACTED OUT OF THE CONSUMER. 
          THAT IS ONE OF THE REASONS WHY, UM, IT IS ONE OF THE REASONS WHY MAYOR WHITMEYER SAID THE COST, THE COST OF A FULL TILT GARBAGE FEE IN THE CITY OF HOUSTON IS 25 BUCKS. 
          IF WE BENCHMARK THAT ACROSS THE STATE OF TEXAS AND IN THE REGION, YOU'LL SEE THAT THAT IS ABOUT A LITTLE UNDER MIDDLE OF THE PACK. 
          I MEAN, YOU'RE SEEING GARBAGE FEES AS HIGH AS 65 BUCKS IN AUSTIN, LOWEST IN THE STATE COMPARED TO WHERE WE'RE AT IS $14, UH, IN FORT WORTH. 
          SO WE'RE COMING IN AT FIVE. 
          BUT THE, THE, THE POINT THAT I'M TRYING TO MAKE IS THAT, UM, WE ARE AT A, WE'RE AT A NEXUS WHERE WE ARE HAVE DRIVEN A LITTLE OVER $200 MILLION OF EFFICIENCY INTO THE GOVERNMENT. 
          WE CAN, I CAN DEMONSTRABLY SHOW YOU AND, AND HAPPY TO TAKE AN OFFLINE CONVERSATION AND, AND WALK YOU THROUGH EXACTLY WHAT WE'VE DONE FROM AN OPERATIONAL PERSPECTIVE, BECAUSE I SIT IN THE POSITION WHERE WE HAVE TO OVERSEE THAT STUFF. 
          UM, WE'VE DRIVEN ABOUT $200 MILLION OF EFFICIENCY INTO THE CITY OF HOUSTON, AND THE BITES AT THE APPLE ARE THINNER AND THINNER AND THINNER. 
          AND SO AT SOME POINT WE HAVE TO HAVE A CONVERSATION ABOUT THE FACT THAT THERE'S A STRUCTURAL IMBALANCE AND WE NEED TO UNDERSTAND WHETHER OR NOT, UM, THE CITY OF HOUSTON, UH, IS WE HAVE TO HAVE THE CONVERSATION ABOUT WHAT WE WANT THE CITY OF HOUSTON TO DO. 
          IT'S ONE OF THE REASONS WHY, UM, THE MAYOR WANTED TO SUPPRESS THE, THE $25 FEE, UM, FOR A FULL GARBAGE FEE INTO A $5 ADMINISTRATIVE FEE. 
          THE MONEY THAT WE ARE COMING FROM IS EFFICIENCY. 
          SAY THE MONEY THAT WE'RE PULLING THE RIGHT OF WAY, UH, FEE FROM IS EFFICIENCY, SAVINGS, AND MONEY THAT Y'ALL HAVE ALREADY PAID TO THE CITY. 
          I DON'T THINK THAT ANY OF Y'ALL CARE WHETHER YOU'RE PAYING A PERMITTING FEE, YOUR PROPERTY TAXES OR A WATER BILL, YOU'VE PAID THE CITY OF HOUSTON. 
          WELL, THAT TRANSFER OF $104 MILLION IS COMING FROM MONEY Y'ALL HAVE ALREADY PAID. 
          AND WE JUST HAPPEN TO BE DOING THE FUNCTION OF WATER AND SEWER MORE EFFICIENTLY. 
          AND WE'VE CREATED THAT HEAD SPACE FOR OURSELF, WHICH I THINK IS A GOOD THING. 
          I THINK THAT THAT'S EXACTLY WHAT YOU WOULD WANT OUT OF A GOVERNMENT IS WE'RE NOT, WE'RE NOT CHARGING YOU THAT 104 MILLION BUCKS. 
          WE'RE FINDING EFFICIENCIES FOR OURSELVES. 
          AND SO I I, I DON'T THINK THAT THAT'S A PERFECT ANSWER THAT YOU WERE LOOKING FOR, 
          [00:45:01]
BUT I THINK IT'S AN IMPORTANT ONE BECAUSE THE CITY OF HOUSTON IS DRIVING MORE EFFICIENCY AND WE'VE BEEN WORKING REALLY HARD AT IT. 
          YES, SIR. 
          HI, GREG SERGI MEMORIAL SUBARU NEIGHBORHOOD. 
          I REALLY APPRECIATE YOU TRYING TO STABILIZE THE BUDGET AND BEING OUT HERE TO ALSO COMBAT SOME MISINFORMATION THAT'S BEEN GOING AROUND. 
          YOU KNOW, FOR EXAMPLE, UH, TOO MANY PEOPLE THROW AROUND THE TERM SUBSIDY READY TO, THE $6 PER MONTH REIMBURSEMENT APPROXIMATELY FOR 50,000 HOMES, UH, FOR NOT HAVING CITY TRASH PICKUP. 
          BUT IF ANYTHING, THAT SUBSIDY RUNS THE OTHER WAY. 
          IF ALL THOSE HOMES WERE USING CITY TRASH, THE BUDGET DEFICITS WOULD INCREASE BY OVER $10 MILLION. 
          THAT IS A SUBSIDY. 
          SO, BUT IF ANYONE WANTS TO DISAGREE WITH MY ANALYSIS, I'M WILLING TO TALK TO YOU ABOUT AFTERWARDS. 
          MY QUESTION KIND OF RELATES TO WHAT JACK WAS ALSO SAYING ABOUT REVOLVING ON THE CUSI. 
          I'M NOT SURE I COMPLETELY UNDERSTAND THE PROPOSAL AND , I HAVEN'T TOUCHED FUND ACCOUNTING SINCE COLLEGE . 
          SO PLEASE CORRECT ME IF I'M WRONG, . 
          SO, THROUGH OUR PAYMENTS TO THE CITY FOR WATER AND SEWER TO GATHER WITH ANY FEDERAL AND STATE GRANTS AND LOANS, THE CUS HAS DONE PRETTY WELL IN TERMS OF GETTING LIQUIDITY AND ALSO DOING CAPITAL PROJECTS. 
          LET ME FINISH MY QUESTIONS, DOUG. 
          IT'S NOT GONNA TAKE THAT LONG. 
          SO THIS, YOU'RE TRYING TO MOVE THE UNRELATED GARBAGE COLLECTION COSTS OF A HUNDRED MILLION DOLLARS PER YEAR FROM THE GENERAL FUND TO THE C US WITHOUT ANY CONSIDERATION RECEIVED BY THE CUS FROM THE CITY. 
          THE ONLY REIMBURSEMENT AT THIS POINT WOULD BE THE $5 PER MONTH FOR THE, FROM THE 383,000 RESIDENTIAL CUSTOMERS, CUSTOMERS OF CUS PAID INTO THE FUND FOR WATER AND SEWER PROJECTS AND EXPENSES. 
          BUT NOW, AREN'T WE, NOW, AREN'T WE RATING THE CUS FUNDS OR THE WHY THE CITY INDIRECTLY TRANSFERRING ALL THE RESPONSIBILITIES AND COSTS TO THE U UH, CUS AND I MISSING SOMETHING? DOUG? IT'S A QUESTION. 
          YOU'RE OUTTA TIME. 
          THE, AT A HIGH LEVEL, THE ANSWER, UH, I, WHAT I WOULD ANSWER YOUR QUESTION AS IS FROM A LEGAL ANALYSIS, THE ANSWER IS NO, I'M NOT. 
          I'LL TRY TO ADDRESS THE WAY THAT YOU COUCHED IT A LITTLE BIT. 
          BUT, UM, THE ANSWER IS THAT THERE, BECAUSE THE MAYOR, THE COST IS STILL THE COST OF THE, THE SOLID WASTE DEPARTMENT. 
          IT'S ABOUT $107 MILLION OPERATIONALLY, AND THEN THERE'S ABOUT $9 MILLION OF DEBT SERVICE. 
          THAT COST IS STILL EXISTENT. 
          AND SO, YES, WHAT THE MAYOR HAS SAID IS I ONLY WANT, UH, THE USER, THE SOLID WASTE CUSTOMER, UH, TO PAY $5 PER MONTH PER HOUSEHOLD, PER MONTH. 
          UH, THERE IS STILL $20 OF COSTS THAT EXIST PER HOUSEHOLD PER MONTH THAT THE CITY OF HOUSTON IS CHOOSING TO SUBSIDIZE ON BEHALF OF, OF THE SOLID WASTE USER CURRENTLY. 
          AND THAT IS A TEMPORARY SUBSIDY. 
          SO WHAT THE MAYOR, WHAT WE'VE LAID OUT IS THAT IT WILL BE $5 PER HOUSEHOLD PER MONTH FOR TWO YEARS, TWO FISCAL YEARS. 
          UM, AND AT THAT POINT, THE EXPECTATION THAT THE MAYOR HAS SET WITH CITY COUNCIL IS SET IT PUBLICLY MULTIPLE TIMES, IS THAT BEFORE IT GOES FROM $5 AFTER THAT, THE EXPECTATION IS THAT STARTING AN FY 29, IT WOULD GO TO $10. 
          AND THEN EACH YEAR AFTER THAT $5 INCREASE UNTIL IT GETS TO THE FULL COST OF $25 PER HOUSEHOLD, PER MONTH, UM, WHAT THE MAYOR HAS COMMITTED IS ONE, UH, BEFORE IT GOES, EACH TIME THAT IT INCREASES, IT WILL BE A VOTE OF CITY COUNCIL. 
          SO THAT'LL BE THE OPPORTUNITY FOR ALL OF THE, THE USERS WHO WOULD BE BURDENED BY THIS COST TO COME UP AND TALK ABOUT IT EXACTLY THE WAY THAT YOU ARE RIGHT NOW AND BE ABLE TO MAKE YOUR CASE TO CITY COUNCIL. 
          AND I THINK THERE NEEDS TO BE A WHOLE FISCAL CONTEXT AROUND THAT TOO. 
          UH, BUT ADDITIONALLY, WHAT THIS FUND ENVISIONED, SO I I I BENCHMARKED EVERY SINGLE FUND ACROSS, EXCUSE ME, EVERY SINGLE CITY ACROSS THE CITY OF HOUSTON, STATE OF TEXAS, UH, TO UNDERSTAND WHAT FEES THEY CHARGE AND HOW OFTEN AND, UM, WHAT DISCOUNTS THEY PROVIDE. 
          SO WHEN YOU LOOK AT THE STATE OF TEXAS, WE HAVE, UH, AGAIN, I'LL SAY FORT WORTH AS LOW AS 14 A MONTH. 
          AUSTIN IS HIGH AS 65. 
          BUT IF WE LOOK REGIONALLY, PASADENA IS 34 SUGAR LANDS, 24 LAKE CITIES, 22 PARA LAND 23. 
          THESE ARE JUST CITIES, RIGHT? IT DOESN'T, THOSE DON'T INCLUDE THE UNINCORPORATED AREAS THAT HAVE MUNICIPAL UTILITY DISTRICTS. 
          WE BENCHMARKED THOSE. 
          THOSE ARE ANYWHERE BETWEEN 23 TO $35 PER HOUSEHOLD PER MONTH. 
          UM, BASICALLY, UNLESS YOU LIVE IN THE CITY OF HOUSTON OR YOU HAVE ACREAGE IN WHICH YOU LIKE BURN YOUR TRASH, YOU DON'T PAY A GARBAGE FEE, RIGHT? THAT'S JUST THE CITY OF HOUSTON HAS NEVER HAD ONE CHOSEN NOT TO HAVE ONE. 
          UM, I, WE ALSO BENCHMARKED, SO IF THE CITY OF HOUSTON WAS TO THROW ITSELF UP LIKE THIS AND DO A FULL FREIGHT GARBAGE FEE, IT BE $25 PER MONTH. 
          BUT THAT $5, WHAT WE SAID WAS WE WANTED TO UNDERSTAND ALL OF THE DISCOUNTS THAT ARE PROVIDED, UH, THAT OTHER CITIES PROVIDE SO LOW TO MODERATE INCOME HOUSEHOLDS, UH, SENIORS, UH, PRESENCE OF A DISABILITY VETERAN STATUS. 
          THOSE ARE DISCOUNTS THAT OTHER CITIES HAVE CONTEMPLATED FOR THEMSELVES. 
          AND SO WHEN WE LOOK AT THESE AND WE ACTUALLY LOOK AT THE RATES THAT PEOPLE IN THEIR SPECIAL, UNIQUE CIRCUMSTANCE HAVE, NOBODY'S EVEN CLOSE TO FIVE. 
          THE LOWEST 
          [00:50:01]
IS 10. 
          WHICH IS WHY WE WERE COMFORTABLE SAYING, YEAH, A FEE IS PAINFUL. 
          I'M NOT DISAGREEING WITH THAT AT ALL. 
          NOBODY WILLINGLY SAYS, YEAH, GO AHEAD AND GIVE ME A NEW FEE. 
          BUT IT IS STANDARD IN EVERY JURISDICTION IN THE STATE OF TEXAS AND ACROSS THE UNITED STATES FOR FEE FOR A, A FEE RELATED TO SOLID WASTE TO BE LEVY BECAUSE IT'S CONSIDERED A USE. 
          UM, THERE'S A LOT OF CONVERSATION ABOUT IT BEING REGRESSIVE. 
          I'M NOT TOTALLY IN DISAGREEANCE WITH THAT, BUT THE FACT OF THE MATTER IS, IS THAT'S WHAT IT'S, AND SO BY HAVING A $5 FEE AND, AND HAVING IT STABILIZING IT FOR TWO YEARS, THAT ALLOWS US TO HAVE THE ARTICULATE CONVERSATION WITH THE PUBLIC ABOUT WHAT DO WE WANT TO DO WITH REGARDS TO DISCOUNTS? WHAT SPECIAL CIRCUMSTANCES DO WE WANT TO ACCOUNT FOR? AND WE'VE ALREADY DONE THAT WITH THE WATER FUND, BY THE WAY. 
          NOT FOR NOTHING. 
          THERE'S THE WATER FUND. 
          THE WATER FUND IS INTENDED FOR PEOPLE WHO CANNOT MAKE THEIR THEIR WATER PAYMENTS. 
          AND ANOTHER QUESTION, AND THIS IS JUMPING AHEAD A LITTLE BIT, MAYBE SOMEBODY'S GOT THIS QUESTION, I'VE HEARD, WELL, WHAT HAPPENS IF YOU DON'T PAY YOUR FEE? WELL, IT'S THE SAME THING THAT HAPPENS IF YOU DON'T PAY YOUR TAXES. 
          9 1 1 STILL SHOWS UP, RIGHT? LIKE, JUST BECAUSE YOUR TAX DELINQUENT DOESN'T MEAN 9 1 1 STOPS SHOWING UP TO YOUR HOME, WE WILL STILL PICK UP GARBAGE. 
          AND THAT'S A STANDARD THING FOR EVERY SINGLE CITY. 
          THERE'S NO CITY IN THIS LIST IN THE STATE OF TEXAS THAT I'M AWARE OF THAT SAYS, IF YOU DON'T PAY YOUR GARBAGE FEE, WE WILL NOT PICK UP YOUR GARBAGE. 
          THE CITY OF HOUSTON DOES WHAT IT ALWAYS DOES. 
          AND I'M GOING BACK TO MY COMMENT TO JACK, THE CITY OF HOUSTON GOES FOR COMPLIANCE. 
          THEY PUT PEOPLE ON PAYMENT PLANS AND THEY DO IT AS LOW AS POSSIBLE. 
          SO THAT, THAT'S SORT OF THE WAY THAT THE CITY APPROACHES IT. 
          SO I DON'T NECESSARILY LIKE THE WAY THAT YOU'RE COUCHING IT SAYING IT'S RATING A FUND. 
          I DON'T THINK THAT IT IS. 
          UM, AND THE REASON WHY I DON'T THINK THAT IT IS, IS BECAUSE WE'RE NOT TAKING AWAY FROM PROJECTS THAT EXIST. 
          WE ARE, WE'VE DRIVEN EFFICIENCY INTO THE DEPARTMENT AND WE'VE CREATED THE LIQUIDITY WITHIN THAT DEPARTMENT, WITHIN THAT, THAT FUND TO BE ABLE TO ALLOW FOR WHAT THE STATE SAYS IS ALREADY AVAILABLE TO YOU. 
          SURE. 
          NO, ACTUALLY, LET ME, I'M SORRY. 
          CAN I, CAN YOU GIMME, LIKE, I THINK WE'RE DONE. 
          THIS IS ABOUT TO BE A SUPER DETAILED FINANCE QUESTION FOR ALL YOU FINANCE BROS OUT THERE. 
          AND, AND BROS, CONGRATULATIONS. 
          FOR THOSE WHO DON'T, I'M SORRY, YOU'RE GONNA FALL ASLEEP. 
          UH, WATER RATES ARE CALCULATED ON TWO THINGS, OPEX AND CAPEX. 
          SO THIS IS GONNA BE OUR OPERA AND DEBT. 
          UM, THIS IS GONNA BE OUR OPERATIONAL SPEND, HOW MUCH WE GO INTO DEBT, AND THEN WHAT OUR DEBT SERVICE PAYMENTS CURRENTLY ARE. 
          THIS IS A NORMAL THING. 
          IT'S HOW EVERYONE CALCULATES THEIR RATES EFFECTIVELY. 
          WHAT IS THE COST FOR RUNNING THE DEPARTMENT WATER AND SEWER IN THIS EXAMPLE, AND HOW DO DOES THAT TRANSLATE INTO RATES? WELL, WHENEVER THE CITY OF HOUSTON WENT INTO A CONSENT DECREE, THEY HAD TO SAY, WHAT IS OPEX? WHAT IS CAPEX? WHAT IS DEBT SERVICE? ALSO, WHAT'S THE FEDERAL GOVERNMENT ADDING TO US? AND THAT NUMBER FOR Y'ALL'S IDENTIFICATION IS 2 BILLION BUCKS. 
          SO THEY SAID, YOU GOTTA COVER ALL THIS PLUS 2 BILLION OVER THE COURSE OF X NUMBER OF YEARS. 
          AND I CAN'T REMEMBER IT OFF THE TOP OF MY HEAD. 
          UM, THE THING THAT IS IMPORTANT ABOUT THIS IS THE WAY IN WHICH IT'S CALLED THE FLOW OF FUNDS. 
          UM, THAT'S A VERY DISTINCT DEBT FINANCE TERM. 
          SO WHEN YOU ARE TALKING ABOUT, UM, RATES, BECAUSE YOU INCLUDE ALL OF THOSE THINGS, UM, THE LIEN HOLDERS ARE PART OF THAT RATE CALCULATION. 
          SO Y'ALL ALL, IF YOU HAVE A MORTGAGE, YOU KNOW ABOUT THIS, RIGHT? YOU'VE GOT A FIRST LIEN ON YOUR HOME. 
          BUT IF YOU'VE EVER DONE LIKE, UH, IMPROVEMENT TO YOUR HOME AND, UH, YOU PAID A CONTRACTOR TO DO A 20 $30,000 IMPROVEMENT TO YOUR HOME AND YOU COLLATERALIZE PART OF YOUR HOME, THAT'S CALLED A MECHANICS LIEN. 
          THAT IS CONSIDERED LIKE A THIRD TERTIARY LIEN THAT, UH, FOLKS, SO IF, IF THE GOVERNMENT, YOU OWE THE GOVERNMENT MONEY, GOVERNMENT GETS THE FIRST, YOUR MORTGAGE COMPANY GETS THE FIRST CUT, GOVERNMENT GETS THE SECOND CUT, THE MECHANICS LIEN OR THE, THE DEVELOPER BUILDER CONTRACTOR GETS THE, THE LAST LITTLE BIT AND THEN IT GOES DOWN. 
          WELL, CITY OF HOUSTON HAS DEBT STRUCTURED JUST LIKE THAT. 
          WE'VE GOT FIRST LIEN HOLDERS, SECOND LIEN HOLDERS, THIRD LIEN HOLDERS, AND THEN IT GOES ALL THE WAY DOWN TO THE FLOW OF FUNDS, GOES ALL THE WAY DOWN TO WHAT'S CALLED THE BOTTOM BUCKET. 
          BOTTOM BUCKET IS UNRESTRICTED UNENCUMBERED FUNDS. 
          AND THOSE BOTTOM BUCKET FUNDS ARE WHERE WE'RE PULLING THE 5% FROM, WHICH IS PART OF THE OPERATIONAL EFFICIENCY. 
          SO BY DESIGN OF WHERE WE PULL THE MONEY FROM, IT WILL NEVER BE CALCULATED INTO A RATE STUDY. 
          SO THIS WILL BY DESIGN NOT INCREASE YOUR RACE, YOUR RACES, YOUR RATES IN FUTURE RATES STUDIES. 
          AND THAT'S THE REASON WHY THIS IS JUSTIFIED. 
          THAT'S A SUPER COMPLICATED ANSWER. 
          I APOLOGIZE AS Y'ALL WAKE UP AND GO. 
          WHAT DID HE SAY? UH, THERE, THERE IS A VERY DETAILED FINANCE EXPLANATION AS TO WHY THIS IS AN IMPORTANT THING, IS THAT WE ARE PULLING FROM BOTTOM BUCKET FUNDING, WHICH IS REPRESENTATIVE OF US DRIVING OPERATIONAL EFFICIENCY. 
          THANKS FOR WAITING. 
          THANK YOU SO MUCH. 
          YOU'RE, YOU'RE FINE. 
          MY NAME IS LINDSEY WILLIAMS. I'M, UH, PRESIDENT OF SUPER NEIGHBORHOOD 64 AND 88, WHICH IS GREATER EASTWOOD, LAWNDALE WAYSIDE. 
          YOU KNOW ME FROM THE TRAINS. 
          TRAINS, YES. 
          . 
          UM, I'M ASKING A QUESTION ON RE ON BEHALF OF ONE OF OUR RESIDENTS. 
          UH, ASK FOR ME TO, TO, UH, PUT THIS OUT HERE. 
          UH, WE HAVE SEEN SOLID WASTE WORKERS ASK FOR SAFETY EQUIPMENT AT CITY HALL, AND I'M SURE THEY'RE UNDERPAID. 
          COULD YOU TELL US WHY NONE OF OUR $5 FEE IS USED TO PROTECT OR PAY THE WORKERS OF SOLID WASTE? THAT WAS QUICK. 
          THANK YOU. 
          BOY, THAT'S A LOADED QUESTION. 
          . 
          WELL, HERE'S A, THIS IS A WAY TO THINK ABOUT IT. 
          UM, HOW DO I WANNA FRAME THIS? UH, BY NATURE OF 
          [00:55:01]
THE UTILITY OF US DECLARING IT A PUBLIC UTILITY, IT IS BEING LIFTED OUT OF GENERAL SERVICE OR GENERAL FUND AND PUT INTO THE FUND ITSELF. 
          THE $5 FEE DOES NOTHING TO FULLY COMPENSATE THE COST OF SOLID WASTE. 
          WE ARE STILL, BUT WHAT IT DOES DO IS IT ALLOWS US TO IDENTIFY A REVENUE STREAM TO BEGIN DOING CAPITAL PURCHASES FOR THE STUFF THAT YOU'RE TALKING ABOUT. 
          THIS ISN'T JUST ABOUT NEW TRUCKS, IT ISN'T JUST ABOUT TRANSFER STATIONS, WHICH I HAVEN'T TALKED ABOUT TRANSFER STATIONS, BUT I'M GONNA TALK A LITTLE BIT ABOUT IT, UM, ABOUT DRIVER SAFETY AND EFFICIENCY. 
          UM, BUT THIS WILL ALLOW US TO DO THOSE CAPITAL PURCHASES. 
          'CAUSE RIGHT NOW, WHEN WE DO DEBT ISSUANCE, THERE'S THREE TYPES OF DEBT FUNDS. 
          SO THERE IS THE, THE, IF YOU'RE REMEMBERING THE, UH, THE THREE BUCKETS, WE'VE GOT GENERAL FUND DEBT, WHICH IS CONSIDERED GENERAL GOVERNMENT DEBT. 
          WE HAVE AIRPORT DEBT, WHICH IS AIRPORT DEBT, AND THEN WE HAVE PUBLIC WORKS DEBT, WHICH IS BROKEN OUT INTO THOSE LITTLE FUNDS. 
          SO WE HAVE DRAINAGE, NOT DRAINAGE DEBT ANYMORE, BUT WE GO CASH IN HAND WITH THAT. 
          BUT WE'VE GOT WATER AND SEWER DEBT THAT WE PAY FOR. 
          UM, SOLID WASTE AS IT EXISTS SITS INSIDE GENERAL FUND OR GENERAL GOVERNMENT DEBT. 
          SO THAT MEANS THAT THEY ARE COMPETITIVE WITH ALL OF THE OTHER DEPARTMENTS. 
          SO WHEN WE ARE THINKING ABOUT SOLID WASTE AND SOLID WASTE EQUIPMENT, WE ARE SAYING, WE'VE GOT A VERY OLD FLEET. 
          WE GOTTA BUY NEW TRUCKS. 
          WE HAVE TRANSFER STATIONS THAT AREN'T WORKING. 
          WE GOTTA DO THOSE IMPROVEMENTS. 
          BUT WE'RE ALSO HEARING WE NEED MORE COP CARS, WE NEED MORE AMBULANCES, WE NEED MORE FIRE TRUCKS. 
          UH, WE NEED TO GO IMPROVE THE ROOFS AT OUR LIBRARIES. 
          WE NEED TO PURCHASE MORE, REFRESH THE COMPUTER EQUIPMENT FOR OUR LIBRARIES. 
          ALL OF THESE THINGS ARE COMPETITIVE. 
          AND I, I MEAN, I, THIS IS LITERALLY SOMETHING, UH, THE COUNCIL MEMBER ALCORN IS GONNA HAVE TO DEAL WITH OUT OF HER COMMITTEE. 
          WE CALL IT OUR CIP PROCESS. 
          Y'ALL ARE QUITE FAMILIAR WITH THAT. 
          UM, I JUST SAT DOWN AND APPROVED THE, UH, THE NEXT CIP ISSUANCE WITH THE MAYOR OF, UM, WHERE WE HAVE $4 BILLION OF REQUESTS OVER THE NEXT SIX YEARS, AND WE CAN AFFORD 1 BILLION OF IT. 
          RIGHT? THERE IS ALWAYS, IT IS CONSTANT FAMINE INSIDE THE, THE DEBT ISSUANCE. 
          AND WE HAVE ABOUT A HUNDRED TO $125 MILLION A YEAR THAT THE GENERAL GOVERNMENT GETS TO ISSUE DEBT ON AND PLAY WITH. 
          AND SO YOU'VE GOTTA ASK, THE, THE QUESTION HAS TO BE ASKED IS, IN A, IN A WORLD OF PRIORITIES, HOW DO YOU PRIORITIZE IT? AND UH, THAT'S ONE OF THOSE THINGS THAT WE HEAR FROM THE SOLID WASTE, UH, SOLID WASTE EMPLOYEES. 
          IT, THEIR SAFETY IS PARAMOUNT. 
          THERE IS NO QUESTION ABOUT THAT WHATSOEVER. 
          BUT WHAT WE'VE SEEN IS, UM, AS BUDGETS GET SQUEEZED, UH, HERE'S A GREAT EXAMPLE. 
          UM, THE CITY OF HOUSTON ALLOWED THE SOLID WASTE DEPARTMENT TO REMOVE ITSELF FROM THE MAINTENANCE ROLES OF OUR GENERAL SERVICES DEPARTMENT. 
          SO GENERAL SERVICES IS RESPONSIBLE FOR ALL THIS STUFF, RIGHT? THERE'S A , MAYBE A BAD EXAMPLE. 
          THERE'S A BROKEN ELEVATOR IN THE BACK AND THEY'VE GOT REPAIR THAT, AND THERE'S ALL THESE THINGS THAT GENERAL SERVICES MAINTAINS. 
          WELL, SOLID WASTE FACILITIES WAS ONE OF THEM. 
          FLEET MANAGES THE FLEET, BUT THE FACILITIES, THEY ARE MANAGED BY GENERAL SERVICES. 
          WELL, UH, THEY WERE ALLOWED TO SAY, WE'RE GONNA, WE THINK THAT GENERAL SERVICES CHARGES US TOO MUCH TO DO THE REPAIRS AND THE MAINTENANCE OF OUR FACILITY. 
          SO WE ARE GOING TO, UH, MAINTAIN THEM OURSELVES. 
          AND AT THAT TIME, THAT ADMINISTRATION SAID, OKAY, THAT'S FINE. 
          AND WHAT HAPPENED WAS THE VERY NEXT FISCAL YEAR, AND I'M, I CAN SHOW IT TO YOU IN A BUDGET BOOK FIRST THING THAT WAS CUT, MAINTENANCE OF THE FACILITIES. 
          SO WHAT WE'VE SEEN, WE HAVE FIVE TRANSFER STATIONS ACROSS THE CITY OF HOUSTON. 
          THESE ARE STRATEGICALLY PLACED LOCATIONS. 
          THIS IS NORTHEAST, NORTHWEST, SOUTHEAST, SOUTHWEST AND CENTRAL. 
          TWO OF THEM WORK, TWO OF THEM ARE OPERATIONAL AND IT'S SOUTHEAST AND SOUTHWEST. 
          SO WHAT THAT MEANS IS THAT IF YOU'RE IN A COMMUNITY NORTH OF I 10, YOUR GUYS ARE PICKING UP THEIR TRASH. 
          THEY'RE DRIVING DOWN USUALLY AN HOUR TO AN HOUR AND A HALF, UH, BASED ON AVERAGE DRIVE TIMES THAT WE'VE BEEN CALCULATING. 
          THEY DROP OFF AT THE TRANSFER STATION, AND USUALLY THEY'RE, IF, DEPENDING ON A HEAVY TRASH DAY, THEY'RE EITHER A THIRD TO ABOUT A HALF DONE WITH THEIR ROUTE, THEY DUMP IT, THEY WAIT IN THE LINE ABOUT 30 MINUTES LONG, THEN THEY GO ABOUT AN HOUR, HOUR AND A HALF BACK UP TO Y'ALL'S COMMUNITY, PICK IT ALL UP AGAIN, AND THEN GO BACK AND DO THE THING. 
          AND WHAT THAT CREATES IS THEY FLOW DOWN OF CATASTROPHE FOR FUNDING. 
          IT CREATES, IT PUTS EXTRA MILES ON TRUCKS. 
          IT MAKES THESE DRIVERS WORK LONGER HOURS IN A DAY. 
          IT PUTS THEM IN UNSAFE POSITIONS, JUST LIKE YOU'RE SAYING. 
          THE MOST DANGEROUS THING, A VE A HEAVY VEHICLE, YOU DIDN'T ASK THIS, BUT THE MOST DANGEROUS THING A HEAVY VEHICLE CAN DO IS MAKE A LEFT TURN. 
          IT'S ONE OF THE REASONS WHY YOU LIKE FEDEX AND UPS IS REV REVOLUTIONIZE IT. 
          THEY DO THREE RIGHT TURNS BEFORE THEY EVER DO A LEFT TURN. 
          UM, AND SO NOT ONLY THAT, IT PUTS THE MILES ON THE TRUCKS, IT MAKES THESE GUYS WORK LONGER HOURS, IT MAKES THEM HAVE HIGHER OVERTIME. 
          SO WE ARE HAMMERING OUR CAPEX SIDE OF THINGS. 
          WE'RE PUTTING A BIGGER DEFERRED LIABILITY ON MAINTENANCE OF OUR FACILITIES, BUT WE'RE ALSO CAUSING OPERATIONAL COSTS TO GO UP, WHICH CAUSES US TO HAVE LESS MONEY FOR MAINTENANCE OF THOSE FACILITIES. 
          AND SO I, I SAY THAT TO SAY, AND GIVE A LONG-WINDED ANSWER TO YOUR, YOUR QUESTION ABOUT WE, WE CAN NOW PRIORITIZE THOSE THINGS BECAUSE WE'RE FULLY FUNDING IT IN THE, IN THE UTILITY. 
          BUT THAT NEW REVENUE STREAM, THAT $5 IS REPRESENTATIVE OF US HAVING A DEDICATED REVENUE STREAM TO EXCLUSIVELY SOLID WASTE. 
          SO WE CAN GO AND WE CAN IMPROVE THOSE TRANSFER STATIONS AND OPEN 'EM BACK UP THOSE THREE TRANSFER STATIONS. 
          I WOULD ENCOURAGE Y'ALL TO JUST GO DRIVE BY 'EM EVERY ONCE IN A WHILE. 
          ONE OF 'EM IS THE GMER SITE, ANOTHER ONE IS IN THE, I CAN'T REMEMBER THE OTHER ONES. 
          NOT THE JUDO WAY SITE, BUT IT'S NORTHWEST AND NORTHEAST. 
          THERE'S ONE THAT HAS LIKE A 25 FOOT 
          [01:00:01]
HOLE IN THE ROOF. 
          THERE'S OTHERS WHERE THERE'S LIKE WIRING EXPOSED. 
          THERE WAS LIKE SIX INCHES OF STANDING WATER. 
          I, NO, NO KIDDING. 
          I WENT TO THE GMER SITE AND LIKE THREE BORE RAN BY ME AND I WAS LIKE, WHERE ARE WE? AND THIS IS, THIS IS REAL. 
          IT'S LIKE THE REALITY OF HOUSTON THAT WE HAD TO DEAL WITH. 
          AND SO THESE ARE, THIS REPRESENTS US BEING ABLE TO PUT MONEY IN DEDICATED STREAMS RIGHT TO THAT STUFF IMMEDIATELY. 
          THANKS LINDSAY. 
          IT WAS GOOD TO SEE YOU. 
          READY? YEAH. 
          I'M, HI, I AM LISA HINES. 
          LISA, I'M, UM, I'M THE VICE PRESIDENT OF 64 88. 
          UM, I WANNA TELL YOU ABOUT MY FRIEND AND NEIGHBOR HAROLD, OKAY. 
          WHO IS ON SOCIAL SECURITY AND RECEIVING MEDICARE. 
          AND HE JUST GOT HIS FOOD STAMPS CUT. 
          AND HE LIVES IN A HOUSE THAT IS, UM, FALLING DOWN AND HE'S GETTING SOME PUBLIC ASSISTANCE TO HELP WITH THAT. 
          UM, BUT HE MAKES IN A FULL MONTH, UM, IN A FULL YEAR, WOULD I MAKE IT A MONTH MM-HMM. 
          ON MY RETIREMENT INCOME? I THINK THE TAXATION PROCESS IN TEXAS IS INHERENTLY REGRESSIVE. 
          AND I THINK THE FACT THAT, UM, WE ARE ROLLING OUT A $5 TAX FEE DOESN'T COMPORT WITH YOUR OWN STUDY ABOUT WHAT IT WOULD TAKE, UH, TO REALLY MAKE THE, UM, TRASH ISSUE GO AWAY. 
          AND, UM, IT, IT'S A POLITICAL PLOY, UH, BECAUSE WE ALL KNOW THAT THAT FEE IS GOING TO HAVE TO GO UP AS A PASTOR FACING, UH, WORKING WITH PEOPLE WHO WERE FACING AMPUTATION. 
          YOU DON'T DO AN INCH AT A TIME IF YOU HAVE TO CUT ABOVE THE KNEE. 
          YOU CUT ABOVE THE KNEE. 
          AND I WOULD SUGGEST THAT THE CITY NEEDS TO DO THE SAME THING. 
          I CAN AFFORD IT AND I WOULD BE WILLING TO PAY A SUBSIDY FOR MY NEIGHBORS WHO CAN'T. 
          THANK YOU. 
          SO WE DO INTEND, UH, THANK YOU, LISA. 
          I APPRECIATE THAT. 
          WE DO INTEND ON CREATING A SOLID WASTE FUND THE SAME WAY THAT WE HAVE A WATER FUND. 
          AND THIS'S GONNA BE TO HELP FOLKS EXACTLY IN YOUR NEIGHBOR'S SITUATION WHERE THERE ARE PEOPLE WHO CANNOT MAKE THAT AND THEY CAN DRAW DOWN FROM THAT. 
          AND IT'S USUALLY INTENDED FOR LOW TO MODERATE, LOW TO MODERATE INCOME HOUSEHOLDS, BUT ALSO PEOPLE WHO JUST HAVE HAD A TERRIBLE SET OF MONTHS, RIGHT? IT'S ALSO A TEMPORARY USE, NOT JUST A PERMANENT ONE. 
          UM, I DISAGREE WITH THE IDEA THAT WE SHOULD JUST GO TO 25 BUCKS, AND THAT'S THE, THE PERSPECTIVE OF, OF THE MAYOR. 
          THE, THE IDEA HERE IS THAT 25 GOING FROM ZERO TO 25 IS A HOUSEHOLD SHOCK, RIGHT? THAT IS $300 A YEAR, $5 A MONTH IS $60 A YEAR. 
          NOBODY WANTS TO IMPOSE A FEE ON THEMSELVES. 
          I'M NOT DISAGREEING WITH THAT NOTION, AND I, I DON'T, I HOPE YOU HEAR ME WHEN I SAY THAT, BUT THE IDEA THAT WE HAVE, THE PERSPECTIVE THAT THE MAYOR HAS ON THIS IS THAT $5 IS A START. 
          IT'S A, IT'S A REQUIRED START, RIGHT? WE HAVE STATE AND ORDINANCE LAW, WE HAVE STATE LAW AND ORDINANCES THAT NECESSITATE THAT WHEN SOMETHING BECOMES A UTILITY, YOU HAVE TO CHARGE SOMETHING FOR IT. 
          AND THE SOMETHING IS CALCULATED IN A RATE STUDY. 
          AND, UH, I WOULD LOVE TO TALK TO YOU ABOUT THE RATE STUDY. 
          IT DOES SAY THAT $25 PER HOUSEHOLD PER MONTH IS THE COST TO PROVIDE SERVICES THAT WE CURRENTLY PROVIDE. 
          IF YOU WANTED TO GO UP AND FLEX UP AND DO THINGS THAT THE CITY OF HOUSTON DOESN'T TYPICALLY CHARGE FOR, THEY LARGELY CALLED IT THE CLEAN CITY FEES. 
          THAT'S SOMETHING THAT'S ELSE THERE. 
          I I DON'T NECESSARILY AGREE WITH THE NOTION THAT IT'S A POLITICAL PLOY. 
          I THINK THAT IT'S TRYING TO BE RESPECTFUL OF THE FACT THAT THERE IS GOING TO BE A FEE IN EXISTENCE THAT HAD NOT BEEN THERE BEFORE. 
          AND WE WANTED TO BE SENSITIVE TO PEOPLE'S POCKETBOOKS WHILE ALSO BEING ABLE TO DO THE THING THAT GOVERNMENT NEEDS TO DO, WHICH IS PURCHASE MORE OF SOLID WASTE VEHICLES, REPLENISH THAT SERVICE, BUT MORE IMPORTANTLY, START TO ESTABLISH LONG-TERM FISCAL STABILITY THAT GIVES US THE OPPORTUNITY, THE, WE, SO WE DON'T HAVE THE EXISTENTIAL CONVERSATION EVERY YEAR ABOUT WHAT LIBRARIES ARE WE GONNA CLOSE? WHAT, UH, WHAT PARKS ARE WE NOT GOING TO OPEN? WE HAVE 30, UH, WHAT, 37 SWIMMING POOLS ACROSS THE CITY OF HOUSTON. 
          WHAT SWIMMING POOLS ARE WE NOT GONNA OPEN THIS SUMMER? BECAUSE THAT COSTS MONEY TOO. 
          SO WE'RE TRYING TO STRIKE THE BALANCE BETWEEN THE TWO. 
          BUT I, I APPRECIATE YOU COMING UP. 
          PLEASE, IT WAS GOOD TO SEE YOU. 
          MY NAME'S KEN ROGERS. 
          YES, SIR. 
          PRESIDENT OF GREATER THIRD WAR SUPER NEIGHBORHOOD NUMBER 67. 
          UM, I LOVE YOUR SLIDE. 
          MY QUESTION IS, HOW MANY OF THOSE CITIES PICK UP ONCE A WEEK LIKE HOUSTON DOES? OH, I DON'T DISAGREE WITH YOU THAT THIS ISN'T GONNA BE ENOUGH. 
          UH, I, I, SO LET ME, LET ME FRAME YOU A LITTLE BIT IF YOU'RE OKAY WITH THIS. 
          YEAH. 
          UH, SO THIS IS THE STRUCTURE OF THE, THE DETAIL OF THE FEE. 
          UM, SO FOR Y'ALL, IN THE BACK ORANGE IS REPRESENTATIVE OF THE SUBSIDY, UH, THAT WE WOULD BE PROVIDING GREEN AS REPRESENTATIVE OF WHAT THE USER WOULD BE. 
          UH, THE, THE SOLID WASTE CUSTOMER WOULD PAY FOR $5 FOR TWO YEARS AND THEN PRESENTED TO GO UP, UH, UP TO 25. 
          SO THE THING THAT YOU'VE HEARD ME SAY IS THAT THE COST OF SOLID WASTE IS $25 PER HOUSEHOLD PER MONTH. 
          BUT WHAT I SAID AT THE BEGINNING WAS THAT BY DESIGN, THAT FEE STUDY HAD TO IMAGINE THAT THE DEPARTMENT AS IT RUNS TODAY IS EFFICIENT. 
          AND IT'S NOT NOBODY, NOBODY HERE AGREES. 
          SO AS WE DRIVE EFFICIENCIES, THIS COST IS GONNA GO DOWN, IT WON'T BE 
          [01:05:01]
$25 PERL PER MONTH ANYMORE. 
          I THINK IT'LL BE CLOSER TO 20 TO 21. 
          AND THE QUESTION THAT THE POLICY MAKERS GET TO ASK IS, DO WE WANT TO KEEP IT AT 25? DO WE WANNA STOP AT 21 AND KEEP SERVICE, KEEP AN EFFICIENT SET OF SERVICES AS WE HAVE IT TODAY, RIGHT? SO THIS IS GONNA BE YOUR CURRENT, UH, GARBAGE RECYCLING, HEAVY TRASH, UH, SCHEDULE, YARD WASTE SCHEDULE. 
          OR DO WE WANT TO ADD AN EXTRA TRAFFIC, KEEP IT AT 25 AND ADD A SECOND TRASH DAY? MAYBE, MAYBE WE DO HEAVY TRASH, UH, TWICE A TWICE A MONTH INSTEAD. 
          I THINK THERE'S A LOT OF DIFFERENT QUESTIONS THAT THE POLICY MAKERS ARE GONNA HAVE TO HAVE, BUT I COULD TELL YOU FROM AN OPERATIONS AND A FISCAL PERSPECTIVE, THIS IS ABOUT AS EXPENSIVE AS BASIC GARBAGE SERVICE COULD BE IN THE CITY OF HOUSTON. 
          AND AS WE DRIVE EFFICIENCY INTO THE DEPARTMENT, THAT NUMBER WILL GO DOWN AND THAT WILL GIVE FLEXIBILITY TO CITY COUNCIL AND TO THE MAYOR TO BE ABLE TO SAY, WHAT DOES ENHANCED TRASH SERVICE? WHAT IS LIKE, YOU KNOW, BECAUSE IF YOU LOOK AT A MUD, UM, YOU'RE TALKING ABOUT TWO, TWO TRASH DAYS A WEEK RECYCLING ON THE FIRST PART OF THE WEEK, HEAVY TRASH UP TO A CERTAIN POINT. 
          WE DO NINE CUBIC YARDS. 
          MOST MUDS DO LIKE FOUR TO FIVE CUBIC YARDS, BUT, UH, YOU KNOW, AT THE BACK HALF OF THE WEEK. 
          SO COULD WE GET TO THAT SERVICE? I THINK WE ABSOLUTELY COULD, BUT IT'S GONNA TAKE OPERATIONAL TIME AND THAT'S PART OF THE REASON WHY WE WANT TO KEEP IT AT FIVE BUCKS. 
          IS THERE ANYBODY ELSE THAT WANTS TO ASK A QUESTION FIRST? OKAY. 
          WE'VE GOT SOME PEOPLE THAT WANT TO ASK A SECOND QUESTION. 
          SO YEAH, I JUST WANNA ASK THE FIRST QUESTION. 
          , HI ANDREW MICKELSON, SUPER NEIGHBORHOOD 30. 
          YES, SIR. 
          UH, IT WAS BROUGHT UP EARLIER ABOUT THE, UH, UH, IF THERE'S PRIVATE TRASH SERVICE, THERE'S A FEE CREDITED BACK ON THE WATER BILL, UH, FOR, FOR THOSE CUSTOMERS THAT DON'T YEAH. 
          SPONSORSHIP PROGRAM. 
          SO IS THE CITY GOING TO DO AWAY WITH THAT, WITH THIS FEE GOING IN? SO FOR EVERYBODY, AND THEN THE OTHER QUESTION THAT I HAD WAS, UM, ARE THE THE $5 FEE GOING TO HIT ALSO HIT THOSE PEOPLE THAT GET PRIVATE TRASH SERVICE? THAT'S A GOOD QUESTION. 
          SO BY DESIGN, WE CAN'T CHARGE A FEE FOR A SERVICE. 
          WE DON'T PROVIDE, UH, BY, BY LAW WE CAN'T DO THAT. 
          SO THEY, THEY, THROUGH THE CONTRACT THAT THE CITY OF HOUSTON ESTABLISHED, THIS PROGRAM GOES BACK LIKE 25, 30 YEARS. 
          BUT IN EFFECT, FOR THOSE OF Y'ALL HAVE NOT, WHO'VE NOT HEARD OF THIS BEFORE, THERE ARE COMMUNITIES IN HOUSTON THAT HAVE ENTERED INTO AN AGREEMENT WITH THE CITY OF HOUSTON AND SAID, BY LAW THE CITY OF HOUSTON UNDER STATE LAW AS WELL AS FEDERAL LAW, WE HAVE TO, WHEN YOU INCORPORATE, YOU HAVE TO PROVIDE A CERTAIN SET OF SERVICES. 
          AND SO WE CAN'T JUST LIKE HAVE A CONVERSATION TOMORROW. 
          YOU SAY, STEVEN, I DON'T WANT YOU TO PICK MY TRASH UP ANYMORE. 
          AND WE GO, OKAY. 
          LIKE THERE HAS TO BE A CONTRACTUAL AGREEMENT BECAUSE THERE IS A CORE SERVICE TIED TO THIS. 
          IT'S THE SAME WAY THAT YOU CAN'T JUST SAY, COPS, I DON'T WANT YOU TO COME TO MY HOUSE ANYMORE. 
          RIGHT? IT'S JUST A THING. 
          UM, SO THE, WHAT THE SPONSORSHIP PROGRAM ENVISIONS IS THAT COMMUNITIES, AGAIN, LIKE 25, 30 YEARS AGO, IF COMMUNITIES CHOSE TO OPT OUT OF THE SOLID WASTE SYSTEM, THEY WOULD ENTER INTO A CONTRACT, TYPICALLY THROUGH THEIR HOA, UM, TO EXIT THE SERVICE OF THE CITY OF HOUSTON. 
          AND THE CITY WOULD HAVE TO GIVE SOMETHING IN RETURN. 
          AND SO WHAT THAT WAS DETERMINED TO BE WAS $6 PER HOUSEHOLD PER MONTH. 
          SOME FOLKS CALL IT SUBSIDY. 
          THE PROGRAM IS TECHNICALLY CALLED A SPONSORSHIP. 
          IN EFFECT, WHAT IT IS, IS IT'S A CONTRACT IN WHICH THE CITY OF HOUSTON MUST GIVE SOMETHING TO SOMEONE WHO THEY ARE NO LONGER SERVING. 
          UM, AND SO THAT IS THE EXTRACTION OF THE FUNDS THAT GO INTO THOSE COMMUNITIES. 
          THERE ARE ABOUT 50,000 HOMES ACROSS THE CITY OF HOUSTON. 
          WE HAVE A POTENTIAL OF 450,000 CUSTOMERS. 
          UH, THERE ARE 400,000 CUSTOMERS THAT DON'T HAVE THAT, UH, SORT OF CON CONTRACTUAL AGREEMENT. 
          SO THE CITY OF HOUSTON, UH, DOESN'T SERVE ABOUT 50,000 CUSTOMERS, UH, THROUGH THAT SPONSORSHIP PROGRAM TO THE TUNE OF ABOUT $6 MILLION A YEAR, FOUR TO $6 MILLION A YEAR. 
          UM, DON'T QUOTE ME ON THAT, THAT MIGHT BE ROUGH, BUT IT'S ANYWHERE BETWEEN FOUR AND SIX. 
          AND, UH, THE, I'LL SAY TWO THINGS. 
          ONE, I ABSOLUTELY THINK THAT THAT POLICY CONVERSATION NEEDS TO BE HAD AT CITY COUNCIL. 
          UH, I DON'T THINK THAT THE CURRENT CYCLE AS WELL AS THE CURRENT EFFICIENCY OF THE SOLID WASTE DEPARTMENT IS GOING TO ANYWHERE ANYWAY, COMPARE TO THE PRIVATE SERVICE THAT THESE COMMUNITIES CHOOSE TO HAVE. 
          BUT I ALSO THINK THAT THERE IS NO WAY IN THE CURRENT STATE THAT THE CITY OF HOUSTON COULD PULL THE PLUG ON A PROGRAM LIKE THAT AND POTENTIALLY ABSORB 50,000 NEW CUSTOMERS WITHOUT HAVING CATASTROPHIC EFFECT ON ALL CONSUMERS IN THE CITY OF HOUSTON, UH, OR WHO RECEIVE SOLID WASTE SERVICE. 
          SO AT A HIGH LEVEL, UM, THAT PROGRAM EXISTS, UH, WAY LONGER THAN WE ANY OF US HAVE BEEN AT THE CITY. 
          BUT, UH, THAT PROGRAM EXISTS, IT WILL CONTINUE TO EXIST. 
          AND BECAUSE IT'S A CONTRACTUAL AGREEMENT AND BECAUSE WE DO NOT SERVE THEM, WE CANNOT CHARGE THEM A FEE FOR SOMETHING THAT WE DON'T SERVE THEM FOR. 
          GOOD. 
          OKAY. 
          NEVER. 
          OKAY. 
          ONE MINUTE. 
          YEAH. 
          IT'S RAINWATER. 
          I GOT IT. 
          , UH, HEY, LOOK, I'M, UH, MR. RAINWATER FROM, UH, SUPER NEIGHBORHOOD 41 PRESIDENT, 41. 
          UH, MY QUESTION TO YOU IS THIS, WHY IS IT NOT, UH, BUSINESS AS WELL AS RESIDENTIAL, WHY CAN'T WE DO A BUSINESS? YOU KNOW, THE BUSINESSES GET A DIFFERENT FEE THAN, UH, RESIDENTIAL BECAUSE, UH, THE STATE HAS ALLOWED OUR COMMUNITIES TO 
          [01:10:01]
HAVE BUSINESSES WITHIN THEM, LIKE HALFWAY HOUSES AND MM-HMM . 
          DIFFERENT TYPES OF THINGS, AND THEY PUT, GENERATE A WHOLE LOT OF TRASH. 
          AND SO THOSE NEIGHBORHOODS ARE BEING PUNISHED IN A WAY. 
          UM, THAT'S A GOOD QUESTION OF, OF, OF PICKUP THAT YOU GOTTA DO. 
          BECAUSE WHEN THOSE PEOPLE MOVE OUTTA THOSE HOUSES, THEY PUT A WHOLE LOT OF TRASH OUT AND STILL YOU HAVE TO PICK IT UP. 
          AND SO THEY'RE PAYING THE SAME $5 THAT THIS MAN'S PAYING YEAH. 
          THAT I'M PAYING, BUT THEY'RE RUNNING A BUSINESS MAKING, YOU KNOW. 
          YEAH. 
          A LOT OF MONEY. 
          AND SO FOR WHAT IT'S WORTH, MR. RAINWATER, THAT SHOULDN'T BE HAPPENING. 
          UM, SO IF THEY ARE A COMMERCIAL ESTABLISHMENT, LIKE A BOARDING HOME OR A HALFWAY HOUSE, THEY ARE A BUSINESS WITH A CERTIFICATE OF OCCUPANCY, WHICH DEFINES THEM AS A, UH, WHICH, AND THEY'RE DEFINED AS A COMMERCIAL ESTABLISHMENT. 
          THE CITY OF HOUSTON, SOLID WASTE DEPARTMENT DOES NOT SERVE COMMERCIAL ESTABLISHMENTS. 
          THEY DON'T SERVE APARTMENTS. 
          SO IF THAT'S OCCURRING, CONTACT YOUR COUNSELOR OR CONTACT THE MAYOR'S OFFICE, FLAG THAT PLACE QUIETLY. 
          WE, WE DO ANONYMOUS STUFF LIKE THAT. 
          BUT THAT IS SOMETHING THAT WE SHOULD NOT BE PICKING UP THEIR GARBAGE IF THEY ARE A BUSINESS. 
          BUT IT, IT OCCURS. 
          AND THE REASON THAT IT DOES IS THAT THEY'RE NOT STICKING A SIGN OUT SAYING, WE ARE BUSINESS. 
          WELL, YEAH, OF COURSE NOT. 
          BUT IF THEY'RE OPERATING AS A, IF THEY'RE LEGITIMATELY OPERATING AS A BOARDING HOME, THEY HAVE A LICENSE THAT THE CITY OF HOUSTON GIVES THEM. 
          SOME DO, BUT SOME DO NOT. 
          SO THOSE THAT DON'T, IT'S A WHOLE OTHER HOST OF PROBLEMS. PEOPLE IN THESE COMMUNITIES. 
          AND I'M SURE SOME OF YOU PRESIDENT, YOU KNOW THAT THERE ARE THOSE THINGS IN YOUR NEIGHBORHOOD. 
          YES, SIR. 
          THEY'RE NOT GONNA COME UP AND TELL YOU THAT. 
          BUT THE THING IS, THEY'RE SUPPOSED TO BE LICENSED. 
          YES, SIR. 
          BUT THE STATE AND THE CITY, THEY DON'T DEAL WITH THESE THINGS. 
          AND LIKE I SAID, AGAIN, YOU CAN TELL THERE'S NO HOMEOWNER THAT'S PUTTING OUT 18 MATTRESSES, TWO SOFAS AND STUFF EVERY OTHER WEEK. 
          THERE'S NOT A HOMEOWNER DOING THAT. 
          BUT THAT'S WHAT YOU ARE HAVING IN, UH, DIFFERENT COMMUNITIES. 
          THANK YOU. 
          I UNDERSTAND. 
          BUT THAT'S, THAT'S THE THING. 
          SO WE NEED TO, YOU KNOW THAT, SIR. 
          OKAY, LAST QUESTION. 
          HI, GOOD EVENING. 
          MY NAME IS SYLVIA ARVAS. 
          I'M THE PRESIDENT FOR THE BRAVE OAK SUPER NEIGHBORHOOD COUNCIL 36. 
          AND SO, UH, HAVE A GOOD QUESTION ABOUT THESE HOMEOWNERS THAT CHOOSE THE PRIVATE. 
          I LIVE IN A COMMUNITY AND ALSO REPRESENT A NUMBER OF COMMUNITIES THAT HAVE PRIVATE SERVICE PICKUP. 
          SO YOU'RE SAYING THAT THEY'RE NOT GOING TO BE ABLE TO BE CHARGED FOR THIS ADDITIONAL SERVICE. 
          HOW IS THE CITY GOING TO BE ABLE TO IDENTIFY THOSE HOMEOWNERS? SO WE HAVE A, A REALLY COMPREHENSIVE LIST. 
          SO THIS IS PART OF THE AUTOMATION OF THE ROUTES THEMSELVES. 
          SO WE, WE, THIS IS NOT TO SOUND OVERLY CREEPY, BUT LIKE WE KNOW WHO Y'ALL ARE AND, UH,  AND, AND WE, AND WE DO, BUT WE HAVE ALL OF YOUR ADDRESSES AND IT'S PUT INTO THE DATABASE THAT WE HAVE OF THE, THE, THE HOMES THAT WE SERVE. 
          SO WE DO KNOW WHO Y'ALL ARE. 
          UM, AGAIN, TRY NOT TO BE SUPER CREEPY ABOUT THAT. 
          WE'RE LOOKING FOR YOU IF IT GOES UP. 
          . 
          YES MA'AM. 
          HEY STEVEN. 
          UH, THIS IS THE, THAT'S THE LAST QUESTION. 
          I JUST WANNA SAY WITHOUT SOUNDING PANDERING, UH, THIS IS THE FIRST TIME THE SUPER NEIGHBORHOOD ALLIANCE HAS EVER HAD AN ADMINISTRATION THAT WAS WILLING TO DO THIS. 
          AND UH, I THINK WE ALL THANK YOU FOR THAT. 
          THANK YOU. 
          DISTRACT MYSELF. 
          THANK Y'ALL. 
          I APPRECIATE IT. 
          THANK YOU, STEVEN. 
          THANK YOU. 
          ALRIGHT GUYS, THANK YOU GUYS. 
          THANK YOU. 
          THANK YOU SO MUCH, STEVEN, FOR YOUR TIME. 
          THANK YOU FOR BEING HERE. 
          THANK ALL OF YOU FOR ME. 
          I WAS GONNA SAY THE TIME, OH YEAH, , WE WOULD, WE WOULD LOVE TO HAVE OUR REGULAR MEETING AFTER THAT, BUT I'M SURE EVERYONE IS ABSOLUTELY EXHAUSTED AT THIS POINT. 
          NUMBER ONE, IF YOU HAVE NOT SIGNED IN BEFORE YOU LEAVE, WE ASK THAT YOU DO SIGN IN AT THE TABLE OVER THERE SO THAT WE CAN RECOGNIZE YOUR SUPER NEIGHBORHOOD AS BEING PRESENT. 
          THAT'S NUMBER ONE. 
          NUMBER TWO, IF ANYBODY HAS ANY BURNING ANNOUNCEMENTS, RAISE. 
          OKAY? I WANNA MAKE YOU ALL AWARE. 
          JANE CAHILL WEST, UH, MANY OF YOU ALL REMEMBER JANE. 
          UH, SHE JUST SENT ME A TEXT, A VERY DISTURBING TEXT. 
          THERE WAS A DRIVE-BY SHOOTING AT A RESIDENCE'S HOME AND THEY WAITED FOR THE POLICE TO COME FOR 12 HOURS. 
          AND WHEN THE OFFICERS GOT THERE, THEY TOLD THEM THAT UH, THEY COULD NOT PICK UP EVIDENCE THAT THEY HAD TO DO IT THEMSELVES. 
          AND HPOU TOLD CHANNEL TWO'S REPORTER, THEY DON'T WORK ON WEEKENDS. 
          NOW, THIS IS VERY DISTURBING BECAUSE SEE, I DON'T ONLY LIVE FAR FROM WHERE YOU ALL SAW THE SHORT-TERM RENTAL SHOOTOUT THAT OCCURRED LAST NIGHT. 
          SO I'M HOPING SOMEBODY CAN GET TO THE MAYOR. 
          'CAUSE I NEED TO KNOW HOW THE HELL YOU GONNA TELL A PERSON THAT HAD A, A DRIVE-BY SHOOTING. 
          THEY GOTTA GATHER THE EVIDENCE. 
          THEY SELF, UH, THE POLICE AND THE FIRE DEPARTMENT BOTH GOT RAISES. 
          I'M DISTURBED THAT THEY DON'T WANNA WORK ON WEEKENDS. 
          THANK YOU. 
          TOMORROW, WHERE WAS THAT? THIS WAS ON DICKEN ON, UH, UH, THE SHOOTOUT THAT WAS IN MY NEIGHBORHOOD WAS ON DICKENS STREET. 
          BUT WHERE THIS HAPPENED, I WAS ON CHANNEL TWO. 
          I DON'T 
          [01:15:01]
REMEMBER THE ADDRESS, BUT THEY, I MEAN THAT'S UNCONSCIONABLE. 
          YEAH, BUT I WANNA MAKE Y'ALL AWARE OF IT 'CAUSE I DIDN'T KNOW THE POLICE DON'T INVESTIGATE ON WEEKENDS. 
          WHAT THE HELL? OKAY. 
          CAN YES, COME ON. 
          THANK YOU. 
          HI EVERYBODY, I'M SALLY ALCORN. 
          I'M ONE OF YOUR LARGE COUNCIL MEMBERS. 
          I THINK I KNOW MOST OF YOU AND I CHAIR THE BUDGET AND FISCAL AFFAIRS COMMITTEE. 
          WE ARE HAVING A BUDGET TOWN HALL. 
          IF YOU WANNA HEAR STEVEN AGAIN, UH, AT 10:00 AM AT THE FONDE REC CENTER, HE'LL BE DOING THIS PRESENTATION. 
          PLEASE TELL YOUR COMMUNITIES, YOU KNOW, GET THAT OUT IF THEY WOULD LIKE TO HEAR THIS. 
          I THINK HE DID A GREAT JOB OF EXPLAINING SOME PRETTY COMPREHENSIVE STUFF. 
          UM, ALSO YOUR 2 CENTS, I DO THIS WITH THE KINDER INSTITUTE AT RICE. 
          THANK YOU. 
          WE'RE GETTING GREAT RESPONSES. 
          I READ A LOT OF THE COMMENTS AT CITY HALL. 
          EVERYTHING FROM, I'LL PAY MORE FOR BETTER SERVICE TOO. 
          IF YOU CHARGE ME ONE MORE DIME, I'M GONNA KILL YOU. 
          YOU KNOW, LIKE I GOT 'EM ALL. 
          IT'S A VERY, VERY MANY, UH, DIFFERENT COMMENTS. 
          BUT PLEASE FILL OUT THE YEAR 2 CENTS THING. 
          AND ANOTHER THING THAT'S HAPPENING THIS WEEK I'VE TALKED TO A FEW OF YOU ABOUT IS, YOU KNOW, WE'RE LOOKING AT THE OPEN SPACE ORDINANCE. 
          THIS IS THE PARK DEDICATION FEE. 
          UM, IF YOU'RE, UM, CONCERNED ABOUT PARKS IN YOUR AREA THAT NEED A LOT OF HELP AND ATTENTION, UH, THIS IS ONE OF OUR FUNDING SOURCES. 
          NOW, RIGHT NOW WE'RE LOOKING AT THE, THE, THE CITY. 
          THIS HAS WAS A PROGRAM STARTED IN 2007. 
          IT CHARGES MULTIFAMILY AND SINGLE FAMILY DEVELOPERS, $700 PER RESIDENCE FOR A FEE IN LIEU OF PARKS. 
          YOU CAN DONATE PARK LAND OR HAVE PRIVATE PARK ON YOUR, ON YOUR AREA, OR YOU CAN PAY THE FEE. 
          WE'VE RAISED ABOUT A HUNDRED MILLION DOLLARS SINCE 2009 WITH THAT FEE. 
          WE'VE IMPROVED OVER 190 PARKS AND WE'VE PURCHASED 65 ACRES IN NEW PARKLAND. 
          THE FEE HAS BEEN $700 FOR 20 YEARS. 
          UM, ONE A ALSO SOMETHING ABOUT THAT, UM, ABOUT THAT PROGRAM IS THERE ARE ABOUT 20 PLUS SECTORS, PARK SECTORS AND THE, ALL THE MONEY COLLECTED WITHIN EACH SECTOR STAYS IN PARKS WITHIN THAT, THAT SECTOR, THAT EXACT SECTOR. 
          SO IT'S, YOU CAN MORE, YOU KNOW, AFFLUENT AREAS OF TOWN HAVE MORE DEVELOPMENT, MORE PARK MONEY, BETTER PARKS, WHERE THERE'S SOME AREAS OF TOWN THAT DON'T GET THAT MONEY. 
          SO ONE OF THE CHANGES THAT'S BEING PROPOSED IS THAT 30% OF THE MONEY THAT'S COLLECTED WITHIN EACH SECTOR WILL BE DIS ABLE TO BE DISTRIBUTED CITYWIDE. 
          THAT'S A GREAT CHANGE THAT THE ADMINISTRATION'S PUTTING FORWARD. 
          WE'RE ALSO LINING UP THE OPEN SPACE ORDINANCE WITH, WITH, UM, SOME STATE, RECENT STATE LEGISLATION. 
          THAT'S, THAT'S OCCURRED. 
          WHAT I'M ADVOCATING FOR, WE'RE NOT GONNA DO IT RIGHT NOW. 
          WE'RE GONNA LET THE BUDGET PASS AND GO, GO GET ON DOWN THE ROAD A LITTLE BIT. 
          BUT I AM ADVOCATING FOR AN INCREASE TO THAT FEE ON. 
          SO IF ANYBODY WOULD LIKE TO, THERE'S A PUBLIC HEARING AT TWO 30. 
          I KNOW LETITIA'S COMING, SOME OTHERS AT THE, AT PUBLIC HEARING AT TWO 30 AT PLANNING COMMISSION THIS THURSDAY. 
          AND THERE'LL BE OTHER OPPORTUNITIES AS WELL. 
          BUT I'M GOING TO BE THERE ADVOCATING FOR AN INCREASE TO THE FEE. 
          JUST CPI ALONE WOULD INCREASE IT TO $1,113. 
          UM, APPRAISED VALUES WOULD INCREASE IT TO LIKE 1400, BUT THE MAX THE STATE WILL ALLOW US TO GO TO IS LIKE 1265. 
          SO IF YOU'RE INTERESTED IN ADVOCATING FOR PARKS IN YOUR AREA, THE PUBLIC HEARING IS AT TWO 30 THIS THURSDAY. 
          I INVITE YOU TO COME, YOU HAVE A COUPLE MINUTES TO SAY, PLEASE PROVIDE MORE FUNDING FOR THE PARKS, UM, AT THE PLANNING COMMISSION IN THE CITY HALL ANNEX ON THE PUBLIC LEVEL. 
          AND AGAIN, WE'RE NOT, THE ADMINISTRATION IS NOT PUTTING FORTH A FEE INCREASE RIGHT NOW. 
          UM, YOU KNOW, WE'RE GOING THROUGH THE BUDGET AND EVERYTHING, BUT MAYOR WHITMEYER IS OPEN TO EXPLORING A FEE INCREASE, BUT HE NEEDS TO HEAR FROM STAKEHOLDERS, BOTH RESIDENTS AND OF COURSE THE DEVELOPMENT COMMUNITY. 
          SO I IMAGINE A COUPLE MONTHS OR SO AFTER THE BUDGET, UH, PROCESS, WE'LL COME BACK AND, AND LOOK AT OPENING UP THE FEE. 
          BUT FOR NOW, WE'LL FOR SURE DO THE 30% THING AND, AND LINE THAT UP. 
          SO, THANKS YOU GUYS. 
          OH, AND THE, SORRY, ANOTHER BUDGET TOWN HALL. 
          THERE'S ONE THIS, THIS, THIS SATURDAY FOND REC CENTER AT 10:00 AM AND A VIRTUAL ONE, MAY 20TH AT 6:00 PM AND ALL THAT INFORMATION WILL BE UP ON MY WEBSITE. 
          THANKS. 
          THANK YOU. 
          ALRIGHT, CAN WE HAVE A MOTION TO ADJOURN? MOTION TO ADJOURN. 
          AND A SECOND. 
          SECOND. 
          ALRIGHT, Y'ALL HAVE A GREAT NIGHT. 
          THANK YOU AGAIN FOR COMING GIRL. 
          I WAS COMING FROM ON. 
          I'M SO GLAD YOU.
* This transcript was created by voice-to-text technology. The transcript has not been edited for errors or omissions, it is for reference only and is not the official minutes of the meeting.