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[WORK SESSION]

[00:00:09]

GOOD AFTERNOON AND WELCOME TO THIS MEETING OF THE DENTON CITY COUNCIL TODAY, TUESDAY, AUGUST 5TH, 2025. IT IS 2 P.M. WE DO HAVE A QUORUM, SO WE'LL CALL THE MEETING TO ORDER. AND WE DID GET ADVANCE NOTICE THAT THAT COUNCIL MEMBER BECK WON'T BE JOINING US TODAY. HE'S OUT OF TOWN. SO THAT TAKES US TO. IN PERSON OR. OR. LET'S SEE. NO, SORRY. GOT IT. CITIZEN COMMENTS ON THE CONSENT AGENDA. ANY CITIZEN COMMENT. THANK YOU VERY MUCH. THAT TAKES US TO REQUEST FOR CLARIFICATION ON AGENDA ITEMS LISTED ON LISTED ON THIS AGENDA FOR PUBLIC, HEARING OR INDIVIDUAL CONSIDERATION. SO PUBLIC HEARING OR INDIVIDUAL CONSIDERATION ANY QUESTIONS OR CLARIFICATION.

[A. Receive a report, hold a discussion, and give staff direction regarding the prevention of inquiries of an applicant’s criminal history prior to making conditional offers of employment unless a law requires an earlier inquiry. [Estimated Presentation/Discussion Time: 1 hour]]

SEEING NONE. THAT TAKES US TO OUR FIRST WORK SESSION. AND THAT'S THREE A ID 251178 RECEIVE REPORT WHOLE DISCUSSION AND GIVE STAFF DIRECTION REGARDING THE PREVENTION OF INJURIES. PARDON ME INQUIRIES OF AN APPLICANT'S CRIMINAL HISTORY PRIOR TO MAKING CONDITIONAL OFFERS OF

EMPLOYMENT. UNLESS A LAW REQUIRES AN EARLY INQUIRY. >> GOOD AFTERNOON, MAYOR AND COUNCIL CHRISTY FOGLE, CHIEF OF STAFF. AS A REMINDER, COUNCIL MEMBER MCGEE PRESENTED A TWO MINUTE PITCH TO CONSIDER A WORK SESSION TO DISCUSS PREVENTION OF INQUIRIES OF AN APPLICANT'S CRIMINAL HISTORY PRIOR TO MAKING CONDITIONAL OFFERS OF EMPLOYMENT. ON FEBRUARY 4TH. ON FEBRUARY 14TH, AN ISR WAS PUBLISHED IN THE AGENDA COMMITTEE, THEN ROUTED THE PITCH TO A WORK SESSION. WHILE THIS IS THE MOST RECENT ITERATION OF THIS PITCH, COUNCIL DID CONSIDER AN ORDINANCE LAST JUNE AS WELL AS AN ALTERNATIVE PROGRAM PROPOSED BY THE CHAMBER AT THAT TIME. IN LIEU OF THE ORDINANCE, COUNCIL PROVIDED DIRECTION TO THE CHAMBER TO IMPLEMENT THEIR PROPOSED PROGRAM, WHICH CONSISTED OF QUARTERLY MEETINGS FOR BUSINESSES INTERESTED IN PURSUING FAIR CHANCE HIRING EFFORTS, INCLUDING THE FEDERAL GOVERNMENT'S WORK OPPORTUNITY TAX CREDITS AND THE STATE'S FIDELITY BONDING PROGRAM. THE PROGRAM ALSO INCLUDED PROMOTIONAL INCENTIVES LIKE INCLUDING A FAIR CHANCE HIRING FRIENDLY INDICATOR ON THE CHAMBER'S BUSINESS LISTINGS. IN DECEMBER OF 2024, THE CHAMBER PROVIDED AN UPDATE TO COUNCIL, CITING A DELAY IN THE IMPLEMENTATION OF THEIR PROPOSAL. UNFORTUNATELY, AARON CARNEY WITH THE CHAMBER WAS PLANNING TO BE HERE THIS AFTERNOON FOR TODAY'S PRESENTATION, BUT IS DEALING WITH SOME HEALTH RELATED ISSUES AND IS NOT ABLE TO JOIN US.

PRIOR TO THIS PRESENTATION, SHE DID RELAY THAT THE CHAMBER DOES NOT HAVE ANY CURRENT PLANS TO IMPLEMENT THIS PROGRAM. FAIR CHANCE HIRING IS THE POLICY OR PRACTICE OF NOT CONSIDERING AN APPLICANT'S CRIMINAL HISTORY UNTIL LATER IN THE HIRING PROCESS. THE NATIONAL EMPLOYMENT LAW PROJECT CITES THAT ABOUT 37 STATES AND 150 LOCAL GOVERNMENTS HAVE FAIR CHANCE HIRING REGULATIONS FOR THEMSELVES AS PUBLIC EMPLOYERS, AND THAT 15 STATES AND 22 LOCAL GOVERNMENTS EXTEND THOSE LAWS TO PRIVATE EMPLOYERS WITHIN THEIR JURISDICTION. THERE IS NO FEDERAL OR STATE LAW PROHIBITING AN EMPLOYER FROM INQUIRING ABOUT AN APPLICANT'S CRIMINAL HISTORY PRIOR TO MAKING A CONDITIONAL OFFER, THOUGH SOME LAWS REQUIRE A BACKGROUND CHECK FOR CERTAIN POSITIONS LIKE PEACE OFFICERS, CRIMINAL JUSTICE, INSURANCE, CHILD CARE, AND IN ENERGY INDUSTRY POSITIONS. TITLE SEVEN OF THE CIVIL RIGHTS ACT OF 1964 PROHIBITS FACIALLY NEUTRAL EMPLOYMENT PRACTICES THAT CAUSE A DISCRIMINATORY IMPACT. THE EEOC ADVISES THAT AN EMPLOYER THAT REJECTS EVERYONE WITH A CONVICTION FROM ALL EMPLOYMENT OPPORTUNITIES IS LIKELY ENGAGING IN TITLE SEVEN DISCRIMINATION, AND THE EEOC HAS ALSO INTERPRETED TITLE SEVEN TO MEAN THAT EMPLOYERS CAN REQUEST CRIMINAL HISTORY INFORMATION, PROVIDED IT DOES NOT RESULT IN UNEQUAL TREATMENT WITH RESPECT TO A PROTECTED CLASS, AND THAT TO AVOID DISCRIMINATION, EMPLOYERS SHOULD CONDUCT AN INDIVIDUALIZED ASSESSMENT OF CANDIDATES. CRIMINAL RECORD. THE EEOC BEST PRACTICE RECOMMENDATION SUGGESTS THAT EMPLOYERS CONSIDER ASKING CRIMINAL HISTORY QUESTIONS LATER IN THE HIRING PROCESS. THE CITY OF DENTON AS AN EMPLOYER, DOES NOT REQUIRE IT, DOES NOT INQUIRE ABOUT CRIMINAL HISTORY, OR CONDUCT A BACKGROUND CHECK UNTIL AFTER A CONDITIONAL OFFER OF EMPLOYMENT IS MADE. BUSINESSES MAY UTILIZE FAIR CHANCE HIRING PRACTICES OR POLICIES BASED ON THEIR INTERNAL REQUIREMENTS OR UTILIZATION OF BEST PRACTICES BASED ON THE NLP DATA. MOST LOCAL GOVERNMENTS HAVE ENACTED THAT HAVE ENACTED FAIR CHANCE HIRING LAWS ONLY APPLY TO THEIR ORGANIZATION AS AN EMPLOYER, AND AN EVEN GREATER NUMBER LIKELY

[00:05:01]

UTILIZE THESE PRACTICES OUTSIDE OF FORMAL REGULATION. THIS CHART HERE LISTS THE JURISDICTIONS IN TEXAS THAT HAVE ENACTED SOME SORT OF ORDINANCE. IF COUNCIL WISHES TO MOVE FORWARD WITH AN ORDINANCE, SOME CONSIDERATIONS INCLUDE DEFINITIONS OF RELEVANT TERMS AND CONDITIONS, THE APPLICABILITY AND EXEMPTIONS COULD INCLUDE EXEMPTING GOVERNMENTAL AGENCIES LIKE THE COUNTY SCHOOL DISTRICTS, COLLEGES, AND UNIVERSITIES POSITIONS THAT HAVE FEDERAL, STATE, OR LOCAL REQUIREMENTS TO DISQUALIFY BASED ON CRIMINAL HISTORY AND BUSINESSES WITH LESS THAN 15 FULL TIME EMPLOYEES. THE REQUIREMENTS AND ADMINISTRATION OF THE ORDINANCE. THE INVESTIGATION PROCESS. THE CITY DOES NOT HAVE THE CAPACITY TO CONDUCT INVESTIGATIONS, BUT IMPLEMENTATION COULD FOLLOW THE CITY'S EXISTING NONDISCRIMINATION ORDINANCE AND PENALTIES FOR THOSE THAT VIOLATE OR DO NOT COMPLY WITH THE ORDINANCE. SO SEEKING COUNCIL DIRECTION TODAY. OPTION ONE IS MOVE FORWARD WITH AN ORDINANCE AT COUNCIL'S DIRECTION. STAFF CAN PUBLISH AN ISR WITH THE DECISION POINTS OF AN ORDINANCE, AND THEN COME BACK AT A FUTURE WORK SESSION TO WORK THROUGH THOSE. OPTION TWO MOVE FORWARD WITH AN INTERNAL POLICY FORMALIZING THE CITY'S FAIR CHANCE HIRING EFFORTS. OR OPTION THREE DO NOT MOVE FORWARD WITH

THE PITCH. WITH THAT, I WILL TURN IT BACK TO THE MAYOR. >> THANK YOU VERY MUCH.

QUESTIONS FOR STAFF. I'LL GO. REPRESENTATIVE FROM DISTRICT FIVE, THEN. MAYOR PRO TEM.

>> MARY, YOU WANNA TAKE IT ALL? GO IN DIRECTION? EVERYTHING? >> YES, PLEASE.

>> OKAY, SO I WOULD LIKE TO START OUT BY SAYING MY DIRECTION IS FOR OPTION TWO. LET'S GO AHEAD AND MOVE FORWARD WITH A POLICY THAT APPLIES TO THE CITY. BECAUSE WE ALREADY DO THIS. THIS IS ALREADY THE PRACTICE INTERNAL POLICY ONLY. AND AS FOR THE REST OF MY DIRECTION, I WANT TO GIVE ME SOME TIME TO LAY OUT HOW WE GOT HERE. SO. EUNICE HUSBAND CAME FORWARD TO US IN THE SUMMER OF 2022. AND HE SAID THAT THIS WAS A PROBLEM. AND HE WAS RIGHT. I LOOKED INTO IT. I DID EXTENSIVE RESEARCH INTO IT AND FOUND THAT 83 MILLION PEOPLE IN AMERICA HAVE A CRIMINAL RECORD.

I UNDERSTAND THAT WHEN YOU BREAK DOWN THE POPULATION, A LOT OF PEOPLE IN TEXAS HAVE CRIMINAL RECORDS. PEOPLE ARE HAVING DIFFICULTY FINDING BETTER EMPLOYMENT, UPSCALING THEIR PERSONAL EMPLOYMENT. IT'S A LOT EASIER TO GET A JOB AT SCHLOTZSKY'S THAN GET A JOB AT, FOR EXAMPLE, AT THE COMPANY I WORK AT. SO WHAT DID I DO? I REACHED OUT TO PEOPLE IN THE COMMUNITY THAT I TRUST, AND I WAS ENCOURAGED TO GO AND TALK TO THE CHAMBER OF COMMERCE BOARD, AND I PITCHED THIS TO THEM, AND IT SEEMED THE MOOD IN THE ROOM THAT DAY WAS WAS POSITIVE. THAT MOOD QUICKLY TURNED TO NEGATIVE, AS I WAS MADE AWARE OF SOME BACKROOM CONVERSATIONS THAT HAPPENED AMONGST THEIR BOARD. THAT'S FINE. SO WE MOVE FORWARD. HERE WE ARE THREE YEARS LATER.

ONE OF THE INITIAL THINGS I WANT TO SAY IS IT'S IMPORTANT FOR ME TO OWN UP TO THE MISTAKES I'VE MADE. I MADE A MISTAKE LAST YEAR, SHORTLY BEFORE THE ELECTION. I BELIEVE THAT THE VOTES WERE THERE TO ENACT AN ORDINANCE THAT WOULD FIT WITHIN OUR NDO. I SHOULD HAVE DONE THAT. I ABSOLUTELY SHOULD HAVE DONE IT. I DIDN'T DO IT BECAUSE THE CHAMBER OF COMMERCE PRESIDENT CAME TO ME AND SAID, HEY, BRANDON, I WANT TO WORK WITH YOU IN ORDER TO DO THIS.

FOOL ME ONCE. SHAME ON ME. WON'T GET FOOLED AGAIN. WHY DID I WANT TO WORK WITH HER? BECAUSE I HAD BEEN ASKING FOR PARTNERSHIP IN THIS. FOR AT THAT TIME, MORE THAN A YEAR. I WAS EXCITED THAT THEY WANTED TO WORK ON THIS IN GOOD FAITH, AGAINST THE JUDGMENT, THE ADVICE OF PEOPLE THAT I TRUST, WHO TOLD ME THEN FOLKS WAS NEVER GOING TO WORK WITH YOU. I SAID, LET'S DO IT.

SO I SETTLED FOR THE COMPROMISE PROGRAM, AND I'M SURE YOU ALL REMEMBER THAT NIGHT WE SAID IN CHAMBERS, AARON AND APRIL STOOD AT THE DAIS AND THEY COMMITTED TO DOING A PROGRAM, A VOLUNTARY PROGRAM THAT THEY WANTED, WHICH THEY WOULD HELP EDUCATE BUSINESSES. I ALSO CONNECT EMPLOYERS WHO WANTED TO DO THIS TO RESOURCES, AND PERHAPS ONE OF THE MOST IMPORTANT ONES, TO PUBLISH A LIST OF SECOND CHANCE EMPLOYERS ON THEIR WEBSITE. FOR ANYONE IN THE CITY WHO IS

[00:10:04]

ALREADY HERE LOOKING FOR BETTER EMPLOYMENT, OR PEOPLE WHO POTENTIALLY WANT TO COME TO THE CITY, I WAS ACTUALLY EXCITED ABOUT THAT BECAUSE THAT'S A GOOD THING. THE WHOLE PURPOSE OF THIS WAS NEVER TO HAVE AN ORDINANCE. IT WAS ALWAYS TO MARRY EMPLOYEES WITH EMPLOYERS AND EMPLOYERS WITH POTENTIAL STATE AND FEDERAL DOLLARS AVAILABLE FOR THEM IF THEY MOVE FORWARD AND HIRE SOMEONE WHO IS IN NEED OF A SECOND CHANCE. YOU NEED ONLY TO DO A SIMPLE GOOGLE, A SIMPLE GOOGLE SEARCH AND FIND THE NUMBER OF DUMB REASONS THAT YOU CAN GET A FELONY IN AMERICA TODAY. MY FAVORITE ONE IS, I GUESS I'M TELLING MYSELF A LITTLE BIT I WON'T CALL THE STATE, BUT IN A PARTICULAR STATE, DRIVING 25 MILES OVER THE SPEED LIMIT IS A FELONY. I WON'T LIE TO YOU, I BROKE THAT ONE SUNDAY MORNING ON THE WAY TO WORK. THERE ARE ANY NUMBER OF DUMB REASONS IN THIS COUNTRY THAT ONE CAN GET A FELONY. BUT ONE THAT I'M SURE THAT WE ARE KEENLY AWARE OF IN THE CITY OF DENTON IS, AS IT RELATES TO MARIJUANA. WHY HAVE I BEEN PUSHING TO DO AS MUCH AS WE CAN LEGALLY ALLOWED TO, OF COURSE, WITH RESPECT TO DECRIMINALIZATION, IT IS BECAUSE I DO NOT BELIEVE THAT SOMEONE SHOULD BE HELD ACCOUNTABLE FOR SOMETHING FOREVER. WHAT MAKES THIS COUNTRY THE BEST PLACE TO LIVE, WORK, AND RAISE A FAMILY IS THAT YOU CAN COME BACK FOR ANYTHING HERE. YOU CAN PAY YOUR DEBT TO SOCIETY AND YOU CAN COME BACK FROM IT. REMEMBER, 80 MILLION PEOPLE IN THIS COUNTRY HAVE HAD HAVE A CRIMINAL HISTORY FOR A NUMBER OF DIFFERENT REASONS. I DON'T KNOW WHERE I WOULD BE IF I HAD BEEN CAUGHT DOING SOME OF THE STUPID THINGS THAT I DID. I'M SURE WE ALL DID AS CHILDREN THERE. BUT FOR THE GRACE OF GOD GO I. THAT IS WHY I HAVE BEEN BANGING THE TABLE ON THIS SINCE THAT DAY THAT EUNICE HUSBAND CAME CAME TO SPEAK TO US. THIS HAS BEEN PERSONALLY IMPORTANT FOR ME BECAUSE I DO BLUE COLLAR WORK. I WORK WITH A WHOLE LOT OF GOOD MEN AND GOOD WOMEN, AND I KNOW THAT SOME OF THEM HAVE DONE SOME THINGS, BUT I THANK GOD I WORK FOR AN EMPLOYER WHO IS ABLE TO LOOK PAST SOME FAULTS AND GIVE GOOD PEOPLE LIKE ME AN OPPORTUNITY TO TAKE CARE OF OUR FAMILIES.

THAT'S WHAT THIS IS ALL ABOUT. YOU SEE, COMMUNITIES THAT HAVE GREATER, GREATER INSTANCES OF EMPLOYMENT ARE SAFER COMMUNITIES. THE MORE PEOPLE THAT ARE WORKING, THE COMMUNITY WILL BE SAFER. AND I JUST RAN A CAMPAIGN LAST YEAR, GOING TO RUN ONE NEXT YEAR, AND EVERYBODY ON STAGE IN THOSE CAMPAIGNS SAID THAT PUBLIC SAFETY IS THE NUMBER ONE THING THAT WE SHOULD BE ENSURING AS ELECTED LEADERS IN THIS COMMUNITY, IF WE'RE REALLY SERIOUS ABOUT PUBLIC SAFETY, ONE OF THE WAYS TO TACKLE THAT IS NOT SIMPLY TO INFLATE ALREADY OVERINFLATED POLICE BUDGETS, BUT IT IS TO INVEST IN COMMUNITY PROGRAMS, MAKING SURE THAT WE MARRY EMPLOYEES TO EMPLOYERS IS A WAY THAT WE CAN ACHIEVE GREATER SAFETY ON OUR STREETS. THAT'S WHAT WE ALL SAID WE WERE HERE FOR. THAT'S CERTAINLY WHAT I'M HERE FOR. I WAS EXCITED WHEN THE CHAMBER PRESIDENT PITCHED A PARTNERSHIP. I TOOK THAT DEAL AGAINST THE ADVICE OF PEOPLE THAT I LOVE AND TRUST. AND TODAY, I'M HAPPY TO ISSUE A PUBLIC APOLOGY TO THEM AND SAY THEY WERE RIGHT, I WAS WRONG. I CAN ONLY SPEAK OF MY DEALINGS WITH CHAMBER OF COMMERCE BOARD LEADERSHIP. WHEN I SAY THEY WERE NOT HONEST ACTORS, THEY NEVER INTENDED TO BE HONEST ACTORS. THE GOAL FOR THEM WAS ALWAYS TO DELAY, TO DISTRACT AND TO DEFEAT. WHY? BECAUSE SOME PEOPLE IN THIS COMMUNITY HAVE THE OPINION THAT GOVERNMENT'S JOB IS NOT TO TELL BUSINESS WHAT TO DO. WILL I SAY THAT'S BULL JIVE? CONGRESS JUST PASSED AND THE FEDERAL GOVERNMENT JUST SIGNED A BILL, A SPENDING BILL THROUGH THE RECONCILIATION PROCESS. AND THAT BILL IS LITTERED WITH ANY NUMBER OF WAYS THAT GOVERNMENTS TELL BUSINESSES HOW TO OPERATE. DO IT ALL THE TIME. WE HAVE MANY OF OUR OSHA STANDARDS TODAY

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BECAUSE GOVERNMENTS TELL BUSINESS HOW TO OPERATE. OUR 40 HOUR STANDARD WORKWEEK CAME ABOUT IN THE EARLY PART OF THE LAST CENTURY, BECAUSE GOVERNMENTS TOLD BUSINESS HOW TO OPERATE. I DRIVE A TRUCK FOR A LIVING. THERE ARE A LOT OF BAD TRUCKING COMPANIES IN AMERICA.

IF NOT FOR GOVERNMENT TELLING BUSINESS HOW TO OPERATE A LOT OF BAD EMPLOYEES IN AMERICA WHO WOULD MAKE US DRIVE 100 HOURS A WEEK SO THAT THESE COMPANIES CAN GET ALL THEY CAN AND CAN ALL THEY GET. BECAUSE IN AMERICA, THIS THING IS ABOUT MONEY, AND YOU HAVE TO HAVE IT IN ORDER TO BE SUCCESSFUL. MY GOAL IS TO MAKE SURE THAT REGULAR PEOPLE IN DENTON HAVE AS MUCH AS THEY NEED IN ORDER TO TAKE CARE OF THEIR FAMILY. THE CHAMBER OF COMMERCE BOARD LEADERSHIP WAS NEVER AN HONEST ACTOR. MULTIPLE TIMES I MET WITH THEM TRYING TO FIGURE OUT HOW TO GET THEIR I'M. I HEAR YOU SAYING I'M SORRY THAT MISS CARTER IS NOT HERE BECAUSE SHE'S SICK. PERHAPS IT'S FITTING THAT SHE'S NOT HERE. BECAUSE WHAT I HEARD YOU SAY IS THEY HAD NO PLANS TO MOVE FORWARD WITH THIS.

SO THAT MEANS THAT WHEN THEY STOOD AT THAT CHAMBER, WHEN THEY STOOD AT THAT, THAT LECTERN AND CHAMBER, THAT MEANS THAT SHE WASN'T HONEST. WELL, I COME FROM THAT MEANS THAT THEY LIED, BUT THEY DIDN'T REALLY LIE BECAUSE THEY WERE NEVER GOING TO DO IT. I'M BOO BOO THE FOOL BECAUSE I BELIEVE THEM ONCE AGAIN. FOOL ME ONCE, CAN'T GET FOOLED AGAIN. I'M GLAD I KNOW MORE. I'M A BETTER COUNCIL MEMBER THAN I WAS THEN. I'M BETTER AT THIS PROCESS OF GOVERNING. MY PLEA TO PEOPLE IN THE COMMUNITY IS. WHEN YOU MEET WITH ME AND YOU ASK TO MEET WITH ME PRIVATELY, DON'T COME AT ME WITH NO BS. BE HONEST WITH ME BECAUSE I'LL BE HONEST WITH YOU AND I WILL HELP YOU ACHIEVE YOUR GOALS SO MUCH AS THOSE GOALS HELP PEOPLE IN THE CITY OF DENTON. IF YOU WANT TO MEET WITH

ME, HAPPY TO DO IT, PLEASE BE HONEST. >> SORRY.

>> IT IS IN THE SPIRIT OF MAKING SURE THAT WE DO THE BEST WE CAN FOR DENTON, THAT I'M GOING TO MOVE FORWARD AND I'M GOING TO PITCH A COMPROMISE. AND I'M PITCHING THIS COMPROMISE BECAUSE FOR THE PEOPLE WATCHING AT HOME, IT'S CLEAR WHO ALL OF US UP HERE WORK FOR. I'VE NEVER BEEN BEHOLDEN TO THE CHAMBER. OR ANY OTHER SPECIAL INTEREST GROUP. AND I'M PROUD OF THAT FACT. I WORK FOR REGULAR PEOPLE. IT FEELS GOOD. IT FEELS VERY FREEING NOT TO BE OWNED BY SOMEBODY, TO BE ABLE TO SAY WHAT I WANT AND DO WHAT I WANT. SO. MAYOR, IF YOU'RE OPEN, I WOULD LIKE TO PITCH A COMPROMISE ON THIS AND SEE IF WE CAN GET SOME DIRECTION AS WE GO AROUND.

LISTEN TO OTHER FOLKS. >> YEAH, YEAH. THAT'LL BE IT'LL GIVE. PEOPLE CAN REACT

ACCORDINGLY. YEP. >> OKAY. AND FULL DISCLOSURE, I THOUGHT ABOUT THIS OVER THE WEEKEND WHILE I WAS WORKING. I TOOK THIS EARLIER TO THE MAYOR AND THE CITY MANAGER TO GAUGE CAPACITY. SHE AGREED THAT WE DO HAVE CAPACITY TO DO SOMETHING IN A LIMITED WAY. AGAIN, I ALSO TOOK THIS TO THE MAYOR. I APPRECIATE THE OPPORTUNITY TO BE ABLE TO PITCH THIS TODAY. AS I'VE SAID MULTIPLE TIMES, I'LL SAY IT ONE MORE TIME. THE GOAL OF THIS WAS NEVER THE STICK. IT WAS ALWAYS THE CARROT. I'M TRYING TO MARRY EMPLOYEES WITH EMPLOYERS AND WHERE POSSIBLE, EMPLOYERS WITH STATE AND FEDERAL DOLLARS THAT ARE ALREADY AVAILABLE. THIS IS WHY WE PAY TAXES. THIS MONEY IS HERE. LET'S GO GET IT. SO, THE CHAMBER OF COMMERCE SAID THAT THEY WANTED TO DO A VOLUNTARY OPT IN PROGRAM. MISS CITY MANAGER WORK CAPACITY EXISTS. I WOULD LOVE TO SEE THE CITY DO SOMETHING ELSE. DO SOMETHING SIMILAR IN A LIMITED CAPACITY. OBVIOUSLY I LEAVE TO YOU HOW THAT IS DONE. IT WOULD BE GREAT IF ON OUR OUR CITY WEBSITE WE CAN PUBLISH THE INFORMATION. WE CAN MAKE SURE THE INFORMATION IS AVAILABLE FOR EMPLOYERS WHO DO WANT TO DO THIS. TO MOVE FORWARD WITH THIS, THEY CAN REACH OUT TO THE CITY, GET THE INFORMATION ABOUT WHERE CURRENT LAWS, STATE AND FEDERAL LAWS EXIST. THEN THEY WHERE THEY HAVE CAPACITY TO CAN HIRE SOMEONE AND WE CAN HELP MATCH THEM UP WITH RESOURCES THAT ARE ALREADY AVAILABLE FROM THE STATE GOVERNMENT AND FROM THE FEDERAL GOVERNMENT. THIS IS ALWAYS ABOUT TRYING TO HELP PEOPLE INCREASE

[00:20:06]

EMPLOYMENT IN THE CITY OF DENTON AT A TIME WHERE, WHILE MANY PEOPLE ARE EMPLOYED, NOT EVERYBODY IS FULLY EMPLOYED. RIGHT? SO IF WE CAN DO SOMETHING LIKE THAT, IT WOULD BE GREAT.

PERHAPS YOU CAN CREATE SOME SORT OF SEAL CITY OF DENTON STAMP OF APPROVAL THAT IF AN EMPLOYER GOES THROUGH WHATEVER PROCESS BY WHICH THEY CAN SET UP TO DO THIS, THEY CAN PUT SOMETHING ON THEIR WEBSITE TO SHOW, HEY, NOT ONLY ARE WE A SECOND CHANCE EMPLOYER, BUT WE'RE CERTIFIED BY THE CITY OF DENTON, SOMETHING LIKE THAT. AND THEN PERHAPS WHERE PEOPLE WERE COMPANIES VOLUNTARILY OPT IN, WE CAN PUBLISH ONLINE. HERE ARE THE SECOND CHANCE EMPLOYERS IN THE CITY SO THAT PEOPLE KNOW. WHO IS WILLING TO HIRE PEOPLE WHO NEED SECOND CHANCES, AND THEY CAN NOT WASTE TIME IN THE JOB APPLICATION PROCESS AND GO THERE DIRECTLY. SO, MAYOR, I APPRECIATE THE OPPORTUNITY TO GO ON A LITTLE BIT ABOUT WHAT'S WHAT'S TRANSPIRED HERE. AND

THAT'S THAT'S MY PITCH. >> OKAY. MAYOR PRO TEM. >> THANK YOU, STAFF, FOR WORKING ON THIS. I APPRECIATE YOU ALL FOR THE COUPLE OF YEARS YOU ALL HAVE SPENT ON THIS. THANK YOU

MAYOR. >> THANK YOU, COUNCIL MEMBER MCGEE, FOR PROVIDING BACKGROUND AS ONE OF THE NEWER PEOPLE, I'VE SPENT ACTUALLY PROBABLY HOURS WATCHING OLD VIDEO OF SIFTING THROUGH ALL OF THE PUBLIC COMMENT ON THESE PROPOSALS. LISTEN TO EVERYBODY WHO WAS ON COUNCIL, INCLUDING A FORMER COUNCIL MEMBER, WATTS, AND HEARING WHAT EVERYBODY WAS SAYING ABOUT THE PROPOSAL. I WOULD ALSO LIKE TO SUPPORT OPTION NUMBER TWO. ONE THING I HEARD WAS, YOU KNOW, WE SHOULD BE LEADING BY EXAMPLE. AND SO IF WE'RE ALREADY DOING IT, WE MIGHT AS WELL FORMALIZE IT. SO I'LL BACK UP OPTION NUMBER TWO AS WELL. AND I'M DEFINITELY OPEN TO THE NEW PROPOSAL. CERTAINLY CONNECTING VOLUNTARY IS GENERALLY GOING TO BE THE MOST EFFECTIVE IN TERMS OF ACTUAL OUTCOME. AND SO PART OF IT IS US ALSO EDUCATING BUSINESSES ON, YOU KNOW, HOW MANY PEOPLE ARE YOU MISSING OUT ON IF YOU ARE JUST REJECTING BASICALLY EVERYBODY WITH A CRIMINAL RECORD? I THINK IT'S LIKE A THIRD OF THE POPULATION OR SOMETHING LIKE THAT. I HAVE FAMILY MEMBERS WITH OR A FAMILY MEMBER WITH CRIMINAL RECORD WHO'S DEALING WITH THE WHOLE PROCESS OF TRYING TO FIND HOUSING AND TRANSPORTATION AND JOB AND MAINTAIN ALL THAT WHILE JUGGLING PAROLE AND THAT KIND OF THING. BUT ONE OF THE THINGS I DID WAS I DID LISTEN TO A PODCAST. I WAS DIGGING AROUND FOR ANYTHING I COULD FIND ON THIS TOPIC, AND I FOUND A PODCAST OF A MEDIUM SIZED BUSINESS, IT SOUNDED LIKE. AND THEY ACTUALLY DISCOVERED THAT ONCE THEY CHOSE TO START DOING FAIR CHANCE HIRING, THAT ACTUALLY DID GIVE THEM A LITTLE BIT OF A COMPETITIVE ADVANTAGE, BECAUSE THERE ARE SOME EMPLOYEES WHO SEE THAT AND ACTUALLY LIKE TO SEE THAT THEY ACTUALLY WILL BE ATTRACTED TO AN EMPLOYER WHO IS WILLING TO GIVE PEOPLE A SECOND CHANCE, EVEN WHEN THAT PERSON THEMSELVES DOESN'T HAVE A CRIMINAL RECORD. SO IT DOES HAVE POTENTIAL TO BE A AN ADVANTAGE FOR A BUSINESS, A COMPETITIVE ADVANTAGE EVEN FOR FOLKS WHO DON'T HAVE A CRIMINAL RECORD. SO JUST, YOU KNOW, FINDING SOME OF THAT INFORMATION, SOME OF THE BENEFITS, HOW IT CAN BENEFIT BUSINESSES AS WELL TO AT LEAST CONSIDER FOLKS AND MAYBE ADJUST SOME OF THEIR PRACTICES TO, YOU KNOW, DO THEIR BEST TO, YOU KNOW, DELAY ANY JUDGMENT ON SOMEBODY UNTIL THEY'VE HAD A CHANCE TO TALK WITH THEM AND, YOU KNOW, AT LEAST CONSIDER THEM. I THINK THAT WOULD BE A GOOD COMPONENT OF THIS NEW

PROPOSAL. >> OKAY. ANYONE ELSE? REPRESENTATIVE DISTRICT FOUR.

>> THANK YOU. THIS PROJECT WAS HERE WHEN I GOT HERE. SO THIS HAS BEEN RATTLING AROUND WITH THIS FOR A LITTLE BIT MORE THAN MORE THAN TWO YEARS, I SAID, THEN I WILL REITERATE TODAY THAT THE EMPLOYER SHOULD BE THE FINAL AUTHORITY ON HOW AND WHO TO HIRE. IT'S THEIR BUSINESS. IT'S IN THEIR BEST INTEREST TO DO WHAT'S IN THEIR BEST INTEREST. AS FAR AS AS FAR AS THE CHAMBER, THE CHAMBER REPRESENTS BUSINESS AND THEY WANT THE WHOLE PURPOSE OF THE CHAMBER IS TO BRING MORE AND MORE BUSINESS INTO THE COMMUNITY. THE CHAMBER REPRESENTS BUSINESS, AND THE BUSINESS COMMUNITY SIMPLY DOESN'T LIKE THIS, SIMPLY DON'T LIKE IT. I DON'T KNOW HOW HOW MUCH MORE CLEAR THAT COULD BE. AND AS FAR AS OPTING NOT TO CHECK CHECK OUT PEOPLE, THEY CAN DO THAT NOW. THEY'VE ALWAYS BEEN ABLE TO DO THAT SINCE DAY ONE. ANYBODY CAN CAN MAKE THEIR CHOICE AS THE AS THE PROFESSIONAL IN HIRING FOR THAT COMPANY. THEY CAN SAY, WE'RE GOING TO DO A BACKGROUND CHECK. WE'RE NOT GOING TO DO A BACKGROUND CHECK. THEY'VE ALWAYS BEEN ABLE TO DO THIS. MAYOR PRO TEM MAKES AN INTERESTING POINT. ONCE THEY STARTED, ONCE THE EMPLOYER STARTED TO DO THAT, THEIR CHOICE, THEY MADE THE CHOICE TO DO THAT. AND I THINK THAT'S THAT'S THE WAY THAT IT THAT IT OUGHT TO BE. WE HAVE A FREE ENTERPRISE SYSTEM HERE, AND WE'RE JUMPING RIGHT IN THE MIDDLE OF THAT BY, BY BY INTERFERING WITH A COMPANY, A

[00:25:04]

HIRING MANAGER'S ABILITY TO MAKE A FREE CHOICE AND, AND DO WHAT'S BEST FOR THEIR COMPANY. IN A PREVIOUS LIFE, I USED TO USED TO TALK WITH WITH KIDS THAT THAT MIGHT BE MAKING BAD CHOICES. AND THE ANALOGY THAT I USED BACK THEN WAS, IF YOU LOOK AROUND BEFORE YOU DO SOMETHING, CHANCES ARE YOU'RE DOING SOMETHING YOU SHOULDN'T BE DOING. YOU ALWAYS SEE THAT THAT THAT BURGLAR GUY WITH THE MASK ON. HE ALWAYS HE ALWAYS LOOKS AROUND. IT'S BECAUSE HE'S GETTING READY TO DO SOMETHING BAD. I SUGGEST THAT WE SPEND THIS TIME AND ALL THIS ENERGY ON ENCOURAGING YOUNG PEOPLE NOT TO COMMIT CRIMES. WE'RE KEEPING SCORE. IF YOU COMMIT A CRIME, YOU WILL GET CAUGHT. WE HAVE A WHOLE AGENCY WHOSE ONLY PURPOSE IS TO CATCH PEOPLE WHO COMMIT CRIMES. DON'T

DO THE CRIME. I'M A HARD THREE. >> REPRESENTATIVE DISTRICT ONE. >> OPTION TWO FOR ME. AND I WANT TO MAKE NOTE THAT HOW PROUD I AM OF THE CITY ONCE AGAIN, AND HOW I APPRECIATE MY WELL BEING HERE, BECAUSE THE CITY IS DOING THIS. WE'RE ALREADY WE'RE ALREADY ON STRIDE TO BE AS FAIR AS POSSIBLE, AND I'LL USE ONE EXAMPLE, IS THAT WE HAVE OUR OUR SHELTER, OUR HOMELESS SHELTER, AND THE WORK THAT HAS BEEN DONE TO MAKE SOME CHANGES, YOU KNOW, TO LOOK AT THINGS DIFFERENTLY, THINK OUTSIDE THE BOX, EVEN MORE SO TO EVEN FIND SPACE FOR OUR SOME FOLKS THAT WERE IN A HOMELESS SHELTER POPULATION TO GET A JOB WITH THE CITY OF DENTON, THE ANIMAL SHELTER AND OTHER LOCATIONS. AND SO THEY'RE ALREADY ON TASK AND ON STRIDE TO, YOU KNOW, JUST SHOWCASE THAT. AND I CERTAINLY DO APPRECIATE THAT. SO WE'RE ALREADY DOING THAT. WE CAN, LIKE YOU SAID, CODIFY THAT AS NUMBER TWO. SO THANK YOU ALL FOR MAKING SURE THAT THAT HAPPENS. I DO WANT TO REITERATE THAT THE OTHER THING THAT I WANT TO SAY ABOUT THE WHOLE THING IS THAT THERE'S THIS CONCEPT THAT THAT'S CALLED MARGINALIZED AND MARGINALIZING PEOPLE. OH, AND WE HAVE TO HELP THE MARGINALIZED. ALL THE MARGINALIZED ARE GOING TO NEED SOME HELP, AND WE'RE GOING TO HAVE TO DO WHATEVER IT IS THAT WE NEED TO DO TO HELP THOSE PEOPLE. OH, AND THEN THERE'S GRANTS AND BLAH, BLAH, BLAH FOR THE MARGINALIZED PEOPLE, AND IT'S JUST BRINGING ME TO THAT CONCEPT BECAUSE WE'RE SAYING THAT WE WANT TO HELP THE MARGINALIZED BY KEEPING THEM MARGINALIZED. SO WE CAN SAY THAT WE ARE HELPING THE MARGINALIZED. I DON'T UNDERSTAND THE PSYCHOLOGY, THE PSYCHOLOGY BEHIND THAT. IF WE REALLY WANT TO HELP THE MARGINALIZED, WE WILL TAKE SOME OF THOSE OBSTACLES OUT FROM IN FRONT OF THESE PEOPLE AND GO AHEAD AND LET THEM DO THEIR THING AGAIN, WE ARE A CAPITALISTIC SOCIETY AND WE OWN BUSINESSES. I'VE HAD A SMALL BUSINESS BEFORE. AT LEAST A COUPLE OF THEM, AND I GUESS I CAN, YOU KNOW, HIRE WHO I WANT TO HIRE. BUT IF I HAVE A BUSINESS WHERE I'M IN FINANCE AND THIS PERSON WAS PUT IN JAIL BECAUSE THEY WERE A CRACKHEAD. DOES THAT COMPUTE AS A PERSON THAT CAN COME INTO MY BUSINESS AS A FINANCIAL PROFESSIONAL THAT GOT HUNG UP AND GOT CAUGHT UP AND GOT PUT AWAY FOR A COUPLE OF YEARS OR THREE YEARS OR WHATEVER FOR FRAUD, FOR, YOU KNOW, DOING SOMETHING ALONG THOSE LINES. BUT THEN I KNOW I MAY NEED THAT TALENT, THAT SKILL. I DON'T KNOW HOW THAT WORKS. I DON'T KNOW THE THOUGHT PROCESS OF SOMEONE THAT DOES NOT WANT TO HELP THE MARGINALIZED COMMUNITY THAT FEEL ABOVE AND BEYOND THE MARGINALIZED COMMUNITY WHILE CONTINUING TO MARGINALIZE THEM.

AND THEN WE GO ALL OUT OUR WAY FOR THE HOMELESS. WE'RE ABOVE AND BEYOND IN DOING AS MUCH IMPOSSIBLE THAT WE CAN. WE'RE ROLLING OVER, AND THEN YOU HAVE SOMEBODY THAT'S FULLY CAPABLE,

[00:30:01]

AND THEY'RE SAYING THIS EVEN FROM THE FEDERAL GOVERNMENT, WE WANT YOU TO GET OFF OUR MONEY AND WE WANT YOU TO GO TO WORK. THAT'S EXACTLY WHAT THEY'RE SAYING. AND THEN WE HAVE THIS WHOLE SEGMENT HERE THAT IS SAYING, OH, BUT NOT AT OUR JOB. I DON'T GET IT. SO I'M GOING TO GO AHEAD AND STEP DOWN OFF MY LITTLE HIGH HORSE THAT I'M ON RIGHT NOW. I'M JUST THINKING ABOUT OUR TEMPERATURE OF OUR COUNTRY RIGHT NOW. I'M THINKING ABOUT I'M THINKING ABOUT THE CHAMBER OF COMMERCE REPRESENTING BUSINESSES AND BUSINESSES, BEING PROUD TO SAY, HEY, YOU KNOW WHAT? THIS IS SOMETHING THAT WE MIGHT BE ABLE TO DO AND WE MIGHT EVEN BE ABLE TO GET A GRANT OR FINANCING ASSISTANCE TO HELP US DO THIS PROPERLY. THAT IS WHAT I'M HOPING THAT THE COMMUNITY WOULD SAY. WE SAY WE ARE INCLUSIVE. THAT'S OUR CORE. THAT'S ONE OF OUR CORE STANDARDS. WE'RE INCLUSIVE SOCIETY IN THIS CITY. WE SAY THAT ALL THE TIME. I KNOW I DO ANYWAY, IF YOU'RE GOING TO COME TO A CITY AND FEEL WELCOMED AND FIND YOUR SPACE TO DO YOUR THING, COME TO DENTON. THAT'S WHAT WE SAID. BUT NOT IN MY BUSINESS, NOT IN MY JOB, NOT IN MY HOME, NOT NEXT TO ME, NOT THIS, NOT THAT. OVER THERE WITH THOSE PEOPLE. WELL, WHO ARE THOSE PEOPLE? YOU KNOW WHO THOSE PEOPLE ARE? THOSE ARE THE MARGINALIZED PEOPLE. SO ANYWAY, THANK YOU ALL FOR GIVING ME THAT TIME AGAIN. OPTION TWO I APPRECIATE IT, BRANDON. YOU'RE DOING A GREAT JOB WITH THIS. THANK YOU FOR CONTINUING TO PUT THIS IN FRONT OF US BECAUSE WE

NEED TO HEAR IT. THANK YOU. >> ANYONE ELSE? REPRESENTATIVE DISTRICT SIX.

>> YEAH. COUNCILPERSON JESTER, I JUST I FEEL LIKE I HAVE TO SAY, AS A FORMER MEMBER OF THE BOARD OF DIRECTORS OF THE CHAMBER OF COMMERCE, THAT I DON'T THINK THAT WE CAN CLAIM WHAT PEOPLE'S INTENTIONS ARE ARE NOT, ARE NOT BEING PSYCHIC. AND I THINK THAT A YEAR AGO, THEY, FROM WHAT I UNDERSTAND FROM PEOPLE INVOLVED IN THE CHAMBER, WERE PLANNING ON DOING EXACTLY WHAT THEY SAID THEY WOULD. HOWEVER, MASSIVE THINGS CHANGED THE DISCOVER DENTON, YOU KNOW, HALF OF THEIR.

STAFF, ETC. WERE PULLED AWAY. SO THINGS CHANGED AND BOARD MAKEUP CHANGES. AND SO THEY HAVE THE ABILITY TO CHANGE THEIR MIND, JUST LIKE PEOPLE DO. THAT DOESN'T MEAN THAT THAT DOESN'T NECESSARILY MEAN THAT PEOPLE ARE LIARS OR OR DIDN'T HAVE GOOD INTENTIONS AT THE TIME. SO I JUST FELT LIKE THAT WAS IMPORTANT TO SAY. I THINK PERSONAL ATTACKS REALLY AREN'T THE BEST WAY TO LEAD IN OUR CITY. WE'VE TALKED ABOUT THIS MULTIPLE TIMES, SO I WON'T GO INTO THE REASONS AGAIN, BUT I'M GOING TO BE MY DIRECTION IS OPTION THREE. THANK YOU.

>> OKAY. TWO. THE REPRESENTATIVE FROM DISTRICT FOUR. SO WHEN YOU SAY THREE, JUST TO CLARIFY, ARE YOU SAYING THE PROPOSAL THAT THAT'S THE CITY DO WHAT WAS IDENTIFIED? I DON'T WANT TO CHANGE ANYTHING. YOU SAID YOU'RE YOU'RE AGAINST THE CITY DOING WHAT WAS PROPOSED AS WELL.

>> I'M AGAINST THE PITCH. >> THE PITCH. >> I'M AGAINST. I'M AGAINST THE

ENTIRE PROJECT A TO Z. >> OKAY. REPRESENTATIVE FROM DISTRICT SIX. IS THAT THE SAME

FOR YOU AS WELL? >> YOU KNOW, MY, THAT IS NOT EXACTLY THE SAME. I WOULD SAY THAT RIGHT NOW MY DIRECTION IS OPTION THREE, HOWEVER, I THIS PITCH WAS REVISED TODAY. I THINK IT'S SOMETHING THAT I COULD BE ON BOARD WITH, BUT I JUST HAVEN'T HAD TIME TO CONSIDER IT OR TO TALK TO PEOPLE AND GET INPUT. SO IT'S A DIFFERENT PITCH. IT IT'S SOMETHING THAT I WOULD CONTEMPLATE, BUT SINCE WE HAVE TO GIVE DIRECTION TODAY, MY DIRECTION WOULD BE OPTION THREE, JUST BECAUSE I HAVEN'T HAD A CHANCE TO TEASE OUT EXACTLY WHAT IT ENCOMPASSES, WHAT IT MEANS, WHAT TIME IT WOULD TAKE, ETC. SO UNFORTUNATELY, BECAUSE OF THE TIMING, I'M GOING TO SAY OPTION THREE. HOWEVER. I WOULD SAY I WELL, I GUESS I'LL JUST LEAVE IT AT THAT. I THINK OPTION TWO IS POTENTIAL, BUT HAVING JUST HEARD IT FOR THE FIRST TIME TODAY, I JUST DON'T KNOW ENOUGH TO MAKE

THAT DECISION. SO OPTION THREE IS MY DIRECTION. >> CERTAINLY. AND MAYOR FORGIVE ME, OPTION THREE FITS BEST WITH WITH THE WAY I FEEL. MY POSITION IS THAT THE CITY HAS NO BUSINESS

[00:35:03]

TELLING A PRIVATE BUSINESS HOW TO RUN THEIR BUSINESS. >> GOT IT. OKAY.

>> YEAH, YEAH, I CAN I CAN GET ON BOARD WITH THE MODIFIED VERSION AND HEARING THE ROOM. I THINK THE, THE CONSENSUS IS AND I'LL SAY THIS OUT LOUD SO PEOPLE CAN CORRECT ME WHERE I'M WRONG.

IT AUTHORIZES WHAT I'M ENVISIONING IS AUTHORIZING THE CITY MANAGER TO GO FORWARD AND LINK UP A WEBSITE THAT SAYS WHERE PEOPLE CAN GET INFORMATION, AND THEN ALSO, OVER TIME, GENERATE A PROGRAM WHERE BUSINESSES LIKE A I DON'T WANT TO CALL OUT ANYBODY BUT ANY, ANY, ANY BUSINESS THAT THAT WOULD QUALIFY WOULD BE RECOGNIZED. WE HAVE THAT A SIMILAR SITUATION THAT AT CONFERENCES YOU'LL SEE PET CITY OR PET FRIENDLY BUSINESSES AND THEY'LL GET A DECAL IN THEIR WINDOW. SO PEOPLE KNOW AND KIND OF SO AND I COULD ENVISION IN THE FUTURE A DTV OR SOMEBODY FEATURING THAT SAYING, HEY, HERE'S THESE BUSINESSES HERE IF YOU WANT TO BE ONE. HERE'S HOW I CAN DO THAT. I DID NOT HEAR ANYTHING THAT WAS MANDATORY AND HEAVY HANDED, AND THAT'S REALLY WHAT'S CRITICAL FOR ME. ALL OF IT IS OPT IN. AND SO THAT IS WHERE I CAN GET ON BOARD WITH, BECAUSE I THINK THAT'S REALLY PRESERVES EXACTLY A BALANCE OF BUSINESSES THAT SEE THE WORLD THAT WAY. AND I JUST THINK IT WILL BE BETTER. I THINK THE CITY PRESCRIBING SOMETHING TO SOMEONE GETS THEM MOTIVATED TO CIRCUMVENT THAT THOSE BOUNDARIES. BUT GIVING A BUSINESS AN OPPORTUNITY TO CREATE AND EXPLORE AND BE UNIQUE IN THEIR OWN WAY IS, IS REALLY, I THINK, WHAT WE PUT FORWARD, THE INFRASTRUCTURE FOR PEOPLE TO THEN CREATE. I THINK THAT'S THAT'S GREAT. AND I THINK WE'VE WE'VE SEEN THAT PLAY OUT. FAST FORWARD A COUPLE OF MONTHS AND IN OCTOBER EVERYONE WILL WILL WILL BE HALLOWEEN, TEXAS IN THEIR OWN SPECIAL WAY. WE JUST CREATE INFRASTRUCTURE. WE BRING THEM HERE. YOU YOU REEL THEM IN.

AND I THINK THAT PARTNERSHIP WITH BUSINESSES IS WHAT WE NEED MORE OF. SO I CAN GET ON BOARD WITH THAT. AND THEN BUT I HEAR AN OPPORTUNITY FOR THE CITY MANAGER TO COME BACK, CHECK IN.

HERE'S WHAT I'M THINKING. HERE'S, YOU KNOW, TO SHARE YOUR THOUGHTS AS AS IT EVOLVES. BUT THERE IS MAJORITY SUPPORT AT LEAST TO MOVE THAT FORWARD. REPRESENTATIVE DISTRICT FOUR.

MAYOR, USING YOUR DECAL ANALOGY, I WOULD HATE TO CREATE A SITUATION WHERE WHERE SOME BUSINESSES ARE REFERRED TO AS THE GOOD GUYS AND SOME BUSINESSES ARE REFERRED TO THE BAD GUYS. THE GUYS WITH THE DECALS ARE THE GOOD GUYS, AND THE GUYS WITHOUT THE DECALS ARE THE BAD GUYS. I THINK THAT WOULD CREATE SOMETHING OF A OF A CLASS SYSTEM, AND I THINK THAT'D BE VERY, VERY DANGEROUS HERE. AGAIN, THIS IS NOT THE CITY'S BUSINESS. BUSINESS IS PRIVATE.

BUSINESS IS NOT THE CITY'S CONCERN. WE'RE TALKING ABOUT FREE ENTERPRISE. AND I THINK I THINK A PRIVATE OWNER SHOULD BE ABLE TO RUN HIS OR HER BUSINESS AS, AS THEY SEE FIT.

>> I AGREE, AND I, WE ABSOLUTELY AGREE. AND I THINK THIS AFFORDS THAT OPPORTUNITY. AND I THINK IT'S HAPPENING ALREADY. AND SO THAT'S THAT'S HOW I CAN GET COMFORTABLE I DON'T DISAGREE, I DON'T SEE THE CITY PLAYING A HEAVY HAND IN THIS. WE'RE WE'RE DISSEMINATING INFORMATION NO DIFFERENT THAN. YOU NAME IT. STUFF THAT'S NOT ON OUR, IN OUR PURVIEW THAT WE WILL SHARE INFORMATION. HEY THE NEIGHBORING CITY THIS OR THIS IS GOING ON OR WATCH OUT FOR THAT OR THIS. I MEAN, WE SHARE AND DISSEMINATE INFORMATION AND GIVE PEOPLE GUIDANCE ON THINGS THAT WE DON'T MANAGE ON A REGULAR BASIS. IF THERE'S FEDERAL GRANTS, IF THERE'S ONE IS INTERFAITH MINISTRIES. THAT'S NOT A PART OF THE CITY. BUT WE TELL THEM, WE TELL PEOPLE WHEN THEY'RE GIVING AWAY FANS. THAT'S NONE OF OUR BUSINESS. NONE WITH THE CITY, NO CITY DOLLARS OTHER THAN THE GRANTS, THE DONATIONS WE GIVE THEM. BUT WE DO SHARE THAT BACK TO SCHOOL. WE HAVE NOTHING TO DO WITH THE SCHOOLS. BUT I'M BEEN HAMMERING, TELLING PEOPLE TO DROP OFF BACKPACKS. AND SO THE CITY'S ROLE OF DISSEMINATING INFORMATION IS A REAL THING TO ME. THAT'S I CAN GET COMFORTABLE WITH IT. RESPECTING AND ACKNOWLEDGING YOUR POINT THAT YES. NO, I DON'T. I IF IT WAS MANDATING SOMETHING TO A BUSINESS, IT'S A HARD NO FOR ME. BUT BUT GIVING PEOPLE THE ENVIRONMENT TO WORK, I CAN GET THEIR REPRESENTATIVE DISTRICT SIX.

>> YES. I HAVE A QUESTION. COULD COULD WE CLARIFY WHEN WE SAY WE'RE ALREADY DOING THIS. WHAT WHAT WE MEAN BY THAT? APOLOGIES THAT I DIDN'T CATCH THAT EARLIER. YES.

>> SO THE CITY WE CERTAINLY IN OUR HR POLICIES WHEN WE HIRE OUR EMPLOYEES WE DO NOT. GO AHEAD AND ELIMINATE THEM RIGHT OFF THE BAT. WE WHEN WE GET DOWN TO A FINAL THREE, FINAL TWO, WHATEVER IT IS, WE DO OUR BACKGROUND CHECK. BUT TO BE HONEST, IT'S YOU WOULDN'T WANT TO DO THAT

[00:40:04]

ANYWAY FOR MONEY. I MEAN, IT COST US TO DO BACKGROUND CHECKS, SO WE WAIT UNTIL WE HAVE A CANDIDATE TO DO THE BACKGROUND CHECK. WE DON'T AUTOMATICALLY ELIMINATE ELIMINATE PEOPLE FROM INTERVIEWING FOR A JOB. AND SO IT'S CALLED BAN THE BOX BECAUSE IN YOUR APPLICATION YOU DON'T ASK DO YOU HAVE A FELONY? WE WAIT AND INTERVIEW PEOPLE. AND IF THEY'RE QUALIFIED FOR THE JOB, WE DON'T ASSUME THAT THEY HAVE A RECORD OR THAT THEY'VE COMMITTED A CRIME. WE WAIT, FIND OUR CANDIDATE, DO OUR BACKGROUND CHECK, AND FROM THAT POINT, THEN IF SOMETHING POPS UP, THEN WE

MAKE SOME DECISIONS. BUT OKAY, YEAH. >> I THINK I'M CONFUSED AS TO WHAT THE CURRENT PITCH IS. CAN I JUST GET A COUPLE OF SENTENCES OF WHAT THE CURRENT PITCH IS? BECAUSE ALL OF THE RESEARCH I'VE DONE IN THE PAST WAS ON THE PITCH THAT WAS PITCHED TO A YEAR OR TWO AGO. SO I'M, I'M A LITTLE CONFUSED IF WE'RE TALKING ABOUT THE CITY IMPLEMENTING THE BAN THE BOX, IF WE'RE TALKING ABOUT JUST CREATING A WEBSITE WHERE PEOPLE CAN GO, PEOPLE SAY THEY

WON'T LOOK AT CRIMINAL HISTORIES FIRST. WHAT WHAT IS THE PITCH? >> SO FOR US IT'S JUST INTERNALIZING A POLICY THAT WE'RE ALREADY DOING IT. BUT WE MAKE A FORMAL POLICY. I'LL LET YOU EXPLAIN. BUT WE CAN SET ON OUR WEBSITE LINK, LINK OUR OUR HIRING. JUST LINK THAT THERE ARE OTHER RESOURCES OUT THERE THROUGH WORK WORKFORCE OFFICE, WORKFORCE OFFICE WHERE THEY TALK ABOUT THESE KINDS OF PROGRAMS AND DOING THINGS. ALL WE'RE TALKING ABOUT IS THE CITY LINKING TO THAT. FOR BUSINESSES TO GET ON THAT WEBSITE, AND TO LOOK AT THE RESOURCES THAT ARE AVAILABLE TO BUSINESSES SO THAT THEY HAVE RESOURCES TO LOOK AT WHAT THEY CAN DO TO NOT JUST AUTOMATICALLY KICK SOMEONE OUT. WHO SAYS, I AND MANY PEOPLE, I'LL BE HONEST WITH YOU, MANY PEOPLE IN MY HISTORY, WHEN I'VE INTERVIEWED THEM HAVE SAID, YOU KNOW, JUST TO BE HONEST WITH YOU, I'VE, I HAVE A RECORD OF THIS, BUT IT COULD BE TEN, 15 YEARS OLD. I'VE INTERVIEWED SOMEBODY THAT HAD COMMITTED SOMETHING WHEN THEY WERE LIKE 16 AND THEY WERE 28 YEARS OLD. AND SO THERE'S A LOT OF THINGS THERE THAT GIVE THEM INFORMATION, CRITICAL IDEAS THAT THEY CAN USE IN THEIR BUSINESS PRACTICE. ALL WE WOULD BE DOING IS CREATING A LINK TO THE WORKFORCE COMMISSION

SO THEY COULD GET THOSE RESOURCES. >> WHICH IS TO PUT A LINK ON THE CITY'S WEBSITE AS TO WHERE TO GET INFORMATION REGARDING WHERE TO GET JOBS OR A GOOD PLACE TO

GET JOBS. IF YOU'VE HAVE A RECORD. I MEAN, I'M JUST I'M. >> SO, SO SORRY.

>> HOLD ON, HOLD ON. >> GO AHEAD. >> SO I THINK IT'S I THINK WHERE YOUR CONFUSION IS, IS WE HAVE THESE THREE OPTIONS. RIGHT. AND THERE IS A MAJORITY FOR OPTION TWO AND NOT LISTED ON THIS BECAUSE IT WAS CONSIDERED OUTSIDE OF THE PITCH. AND THE MEETING IS A FOURTH OPTION PITCHED BY COUNCIL MEMBER MCGEE FOR THE CITY TO DO SOMETHING THAT LOOKS SIMILAR TO WHAT THE CHAMBER PITCHED, BUT IS MODIFIED FOR THE CITY.

>> OKAY, SORRY WITH THAT INFORMATION. IT'S JUST IT'S NOT FLESHED OUT ENOUGH FOR ME TO MAKE A DECISION. SO I'M GOING TO STAND ON THE OPTION THREE. BUT IF IT WANTS TO BE BROUGHT BACK AT ANOTHER TIME WHERE IT'S MORE SPECIFIC, I THINK THAT WOULD BE SOMETHING THAT MIGHT BE

AMENABLE. >> YEAH, ABSOLUTELY. OKAY. ALL RIGHT.

>> DID YOU GET THE ANSWER YOU NEEDED OR. NO? >> I HAVE.

>> MAYOR PRO TEM. >> I'M GOING TO I'M GOING TO TAKE ANOTHER WHACK AT SORT OF TRYING TO FLESH THIS OUT FOR YOU A LITTLE BIT. SO, I MEAN, THE WAY I WAS VIEWING IT IS, YOU KNOW, WE CAN DO CHOOSE FROM ONE OF THESE OR WE BUT THERE IS A FOURTH OPTION NOW. SO WE'RE I THINK NOBODY EVEN WENT WITH ANYWAY. SO THERE'S MULTIPLE OPTIONS WE CAN PICK. YOU COULD CHOOSE TO PICK ONE OR CHOOSE TO SUPPORT TWO. SO IN MY CASE I SUPPORTED OPTION TWO WHICH IS UP THERE. AND ALSO THE NEW OPTION. SO IF YOU CHOOSE TO SUPPORT OPTION TWO, YOU COULD CHOOSE TO NOT SUPPORT THE NEW OPTION UNTIL YOU LEARN MORE OR SOMETHING LIKE THAT. DOES THAT HELP AT ALL. SO IT'S NOT IT DOESN'T HAVE TO BE AN OR OR OR OR IT COULD BE AN AND IN SOME CASES OR YOU COULD

CHOOSE TO SUPPORT ONE THING BUT NOT THE OTHER YET. >> YEAH, I THINK THAT'S THAT'S UPON REFLECTION, I THINK THAT'S A CLARIFICATION. IT'S OPTION FOUR BASICALLY IS WHAT I HEARD, EVEN IF IT WASN'T YOUR FIRST PREFERENCE. THAT'S THAT'S WHAT I HEARD THE MAJORITY SAY. AND PEOPLE CAN CORRECT ME WRONG AND WELL AND LET ME, LET ME BE CLEA, BECAUSE I WAS THE INTERNAL

[00:45:03]

POLICY SIDE OF THINGS, THAT GETS A LITTLE PROBLEMATIC FOR ME BECAUSE THEN THAT HAS TO COME BACK FOR A VOTE AND THAT CAN AND DRAFT A POLICY AND, AND ALL THOSE THINGS. WE'RE ALREADY DOING IT. I, I ENVISION THAT TO BE SOME STATEMENT OF FACT, LIKE, HEY, HERE'S HERE'S WHAT WE DO.

LIKE WE CAN LEAD ON THAT THAT WAY. AND, BUT AND I AND I'LL YIELD TO EVERYONE TO RESPOND TO THAT. BUT THAT'S BUT THE EXTERNAL BUSINESSES IS REALLY WHAT I'M LOOKING AT. AND WE AND WHEN I HEAR WE'RE DOING THAT ALREADY WE DON'T HANDLE EMPLOYMENT CASES. WE DON'T HANDLE EMPLOYMENT ISSUES. THERE'S NO PART OF ANYTHING IN THAT ORDINANCE THAT WE CURRENTLY WOULD AMEND THIS TO. THAT GIVES US THE EMPLOYMENT LAW IS EXCLUSIVELY FEDERAL. SO IF SOMEONE BROUGHT A FEDERAL THING TO US, WE WOULD REDIRECT IT TO THE EEOC. WE WOULDN'T DO ANYTHING. SO THAT'S IN ESSENCE, THAT'S WHAT I SEE IS THE CITY'S DOING IT ALREADY. WE DON'T HAVE JURISDICTION TO TAKE UP FEDERAL CASES. SO WE'RE DOING THAT ALREADY. SOMEONE COMES IN, THEY SAY THEY'RE DISCRIMINATED IN HOUSING. WE'LL NEGOTIATE, DO THOSE THINGS. BUT THERE THERE'S SOME GRAY THERE. BUT BUT EMPLOYMENT IS STRICTLY FEDERAL. AND SO WE WOULD GET THEM CONNECTED TO THE RIGHT PEOPLE TO MAKE SURE THEY CAN BE HEARD. THAT'S THAT'S MY UNDERSTANDING.

AND MY POSITION IS I'M NOT FOR A FORMALIZED INTERNAL POLICY. I'M FOR SHOUTING TO THE WORLD WHAT WE DO. AND BUT I DON'T I DON'T WANT TO I DON'T WANT TO CONFUSE PEOPLE WITH, HEY, THERE'S THEY'RE VOTING ON IT. IT'S THIS PEOPLE JUST TO ME, PEOPLE ARE EASILY THAT THAT JUST DOESN'T TRANSLATE WELL. SO THAT'S MY THOUGHT REPRESENTATIVE DISTRICT SIX.

>> WELL, I JUST HAVE CONCERN THAT OPTION FOUR WAS NOT POSTED. I MEAN, AM I WRONG ON THAT?

>> NO. IT JUST IT WAS JUST TODAY. SO NO. >> STAFF POSSIBLE TO EVEN VOTE

ON IT THEN. >> WE'RE NOT VOTING. WE CAN'T VOTE IN HERE. WE'RE GIVEN

DIRECTION. >> OKAY. >> BUT YES. SO YOU COULD GIVE DIRECTION TO SAY EXPLORE THIS NEW OPTION THAT WAS PRESENTED IN THE WORK SESSION.

>> I. >> OKAY, WELL I THINK YOU HAVE YOU HAVE THE DIRECTION. SO WE CAN JUST MOVE FORWARD. AND WE'LL SEE IT WHEN IT COMES BACK. THANK YOU.

>> SO TO CLARIFY, WE HAVE A MAJORITY OR CONSENSUS ON OPTION FOUR FOR THE CITY TO LOOK AT

DOING AN OPTIONAL PROGRAM. >> WELL, NOT A PROGRAM. I WANT TO BE REAL CLEAR HERE. THIS IS THIS IS LOOKING AT PUTTING UP THE WORKFORCE COMMISSIONS AND THE RESOURCES THAT ARE AVAILABLE THROUGH THE WORKFORCE COMMISSION AND LINKING IT IN OUR WEBSITE AND TALKING ABOUT WHAT BUSINESSES CAN DO TO BE IF THEY WANT TO LOOK AT THIS ON A FAIR CHANCE, HIRING AND THEN LOOKING AT OTHER RESOURCES THAT BUSINESSES CAN VOLUNTARILY GO ON TO OUR WEBSITE, GET THAT INFORMATION AND GO THROUGH AND THEN LOOK AT DOWN THE ROAD, IF THERE IS ANYTHING WE CAN DO TO RECOGNIZE THOSE BUSINESSES THAT ARE DOING IT, CERTAINLY NOT TO CREATE A HAVE AND HAVE NOTS OR A GOOD AND A BAD, BUT THAT'S THAT'S WHAT WE WOULD DO. I DIDN'T HEAR OR DID I HEAR ENOUGH

FOR NUMBER TWO? >> NO, NO. SO I WAS LEVERAGING NUMBER TWO TO GET WHAT I NEEDED TO COMMUNICATE WHAT I DID TO COUNCIL MEMBER JESTER'S POINT THAT THERE IT WASN'T FOR WASN'T UP THERE, I GET IT. BUT IT WAS A MODIFIED VERSION OF TWO THAT I WAS SPEAKING TO, WHICH WOULD BE FOUR. SO NOW THAT THAT VERNACULAR IS OUT THERE, THEN I'M JUST GLOMMING ON TO THAT TO SAY FOUR. BUT I WANT TO RECOGNIZE THE COUNCIL MEMBER. MCGEE.

>> IS THERE SUPPORT FOR OPTION TWO? I'M JUST A LITTLE OKAY. NO. >> NOT BY MY COUNT.

>> OKAY. I WILL JUST SAY I APPRECIATE YOU ALL ENTERTAINING THIS. AND TO MY COLLEAGUE, WE ARE COUNCIL. JUST BECAUSE STAFF PUTS TWO OPTIONS ON THE BOARD, WE CAN MAKE UP OUR OWN OPTION ANYTIME WE WANT. THIS BODY NEED NOT ALWAYS CONSIDER SOMETHING THAT HAS BEEN POSTED IN ADVANCE.

THAT'S THE BEAUTY OF HAVING A DELIBERATIVE PROCESS. THERE'S NOT ONLY THREE OPTIONS, THERE'S 5011 MILLION OPTIONS. IF THAT'S WHAT WE WANT. WE GET TO DO THIS BECAUSE WE ARE COUNCIL. AND THE LAST THING I WILL SAY IS TO MY TO MY FRIEND MR. HOLLAND, I AM I APPRECIATE YOU. YOU KNOW, WE ARE PERSONAL FRIENDS, BUT I GOT TO TELL YOU, YOU TALKED ABOUT BUSINESSES, THE POTENTIAL HARM

[00:50:01]

IN A BUSINESS, PUTTING A BADGE ON THEIR WEBSITE. ESSENTIALLY, YOU'RE SAYING YOU'RE CONCERNED ABOUT BUSINESSES BEING DISCRIMINATED AGAINST. I SURE WISH YOU HAD THAT LEVEL OF CONCERN FOR DISCRIMINATION FOR PEOPLE WHO LOOK LIKE ME, BECAUSE THE BADGE THAT I'M WEARING EVERY DAY, I DON'T GET TO TAKE IT OFF. I'VE BEEN WEARING IT PROUDLY FOR 40 YEARS. AT SOME POINT, YOU GOT TO BE CONCERNED ABOUT THE PEOPLE BEING DISCRIMINATED AGAINST TOO, RATHER THAN JUST THE BUSINESSES.

BROTHER. >> I HAVE A SPONSOR. >> YEAH, MAKE IT SHORT, BECAUSE YOU'RE NOT. YOU'RE SUPPOSED TO SPEAK DIRECTLY TO THE CHAIR. I WILL. WE'RE DOING ALL THE THINGS

SO SUCCINCTLY BECAUSE WE'RE MOVING ON. >> THANK YOU.

>> THANK YOU I HAVE GREAT I HAVE GREAT FUN AND RAPPORT SITTING NEXT TO BRANDON MCGEE. I RESENT THE IMPLICATION. I ABSOLUTELY RESENT THE IMPLICATION. MY FAMILY RAISED ME IN SUCH A WAY THAT THAT PEOPLE ARE PEOPLE AND WE JUDGE THEM BY THEIR BY THEIR CHARACTER RATHER THAN THE COLOR OF THEIR SKIN. AND I THANK MY MOM AND DAD FOR THAT. I RESENT THE IMPLICATION.

>> THANK YOU. SO DO YOU HAVE WHAT YOU NEED? >> YES, SIR.

>> GREAT. THANK YOU VERY MUCH. THAT TAKES US TO. THAT'S OUR ONLY WORK SESSION TODAY. SO THE

[1. Closed Meeting:]

CITY COUNCIL WILL NOW, AT 2:52 P.M, CONVENE IN CLOSED MEETING TO DELIBERATE THE CLOSE MEETING ITEM SET FORTH ON THE AGENDA, WHICH INCLUDE THE FOLLOWING ITEM A ID 251167. DELIBERATIONS REGARDING PERSONNEL MATTERS UNDER TEXAS GOVERNMENT CODE SECTION 551.074, ITEM B, ID 251169. DELIBERATION REGARDING PERSONNEL MATTERS UNDER TEXAS GOVERNMENT CODE SECTION 551.07 4DC I'D I C I'D. 251396. DELIBERATION REGARDING PERSONNEL MATTERS UNDER TEXAS GOVERNMENT CODE SECTION 551.074, ITEM D I'D 251397 DELIBERATION REGARDING PERSONNEL MATTERS UNDER TEXAS GOVERNMENT CODE SECTION 551.074 AND THEN ITEM E, I'D 251364 CONSULTATION WITH ATTORNEYS UNDER TEXAS GOVERNMENT CODE SECTION 551.071. AND WE'LL SET THE ROOM.

>> WE'LL START WITH. >> E, RIGHT?

[AFTER DETERMINING THAT A QUORUM IS PRESENT, THE REGULAR MEETING OF THE CITY OF DENTON CITY COUNCIL WILL CONVENE AT 6:30 P.M. IN THE COUNCIL CHAMBERS AT CITY HALL, 215 E. MCKINNEY STREET, DENTON, TEXAS AT WHICH THE FOLLOWING ITEMS WILL BE CONSIDERED:]

>> SEE? GOOD EVENING. AND THE CITY COUNCIL HAS NOW, AT 6:31 P.M, RECONVENED FROM THE CLOSED SESSION, AND NO OFFICIAL ACTION WAS TAKEN. THAT TAKES US TO. OUR REGULAR AGENDA FOR THIS EVENING.

AND FIRST THING ON THE AGENDA IS PLEDGES TO THE UNITED STATES AND TEXAS FLAG. PLEASE STAND WITH ME

IF YOU'RE ABLE. >> PLEDGE ALLEGIANCE TO THE FLAG OF THE UNITED STATES OF AMERICA AND TO THE REPUBLIC FOR WHICH IT STANDS. ONE NATION UNDER GOD, INDIVISIBLE, WITH LIBERTY AND

JUSTICE FOR ALL. >> HONOR THE TEXAS FLAG. I PLEDGE ALLEGIANCE.

>> TO THEE, TEXAS. ONE STATE UNDER GOD, ONE AND INDIVISIBLE. THANK YOU.

[2. PROCLAMATIONS/PRESENTATIONS]

>> AND THEN WE HAVE ONE PROCLAMATION. SO IF YOU ARE HERE WITH THE FOLKS FROM GUN SAFETY

AWARENESS MONTH, YOU CAN MEET ME DOWN AT THE PODIUM. >> HI, HOW ARE YOU? GOOD. THANKS

FOR HAVING ME. >> YES. >> FOR SURE.

>> SO OKAY, SO YOU CAN TELL US WHAT WE'RE RECOGNIZING. >> SURE. THANK YOU. MY NAME IS ERIC GONZALEZ. I'M THE PROGRAM MANAGER FOR INJURY PREVENTION AT COOK CHILDREN'S. WE HAVE BEEN WORKING TO RECOGNIZE AUGUST AS GUN SAFETY AWARENESS MONTH. I'D JUST LIKE TO HIGHLIGHT THAT OUR PROGRAM DOES NOT FOCUS ON WHETHER YOU SHOULD OR SHOULD NOT OWN A GUN. THIS IS JUST ABOUT REDUCING THE AMOUNT OF UNINTENTIONAL GUN INJURIES THAT WE SEE EVERY YEAR AT COOK CHILDREN'S. SO OVER THE LAST TWO OR SO YEARS, WE'VE GONE FROM TWO CITIES ACROSS THE DFW METROPLEX, JOINING US ON OUR EFFORTS TO FOUR CITIES TO SIX CITIES THIS YEAR, JOINING US ON OUR EFFORTS TO REDUCE THE AMOUNT OF UNINTENTIONAL GUN INJURIES WE SEE EACH YEAR. AND SO WE REALLY APPRECIATE THE CITY OF DENTON AND ALL OTHER CITIES JOINING US THIS YEAR IN OUR EFFORTS. THANK

YOU, MR. MAYOR. >> AND SO IS THERE IS THERE STUFF ON THE IS THERE A

PARTICULAR WEBSITE. >> PEOPLE CAN. >> GO TO?

>> SURE. ABSOLUTELY. SO AIM FOR SAFETY. ORG IS OUR WEBSITE. YOU'RE WELCOME TO READ MORE ON WHAT OUR AIM FOR SAFETY TEAM DOES, SEE OUR PROMO VIDEOS THAT WE CREATED OVER THE LAST YEAR,

[00:55:02]

AND WE'RE ADDING THREE NEW VIDEOS THAT WE CREATED LAST MONTH ON HOW TO INSTALL CABLE LOCKS ON DIFFERENT TYPES OF FIREARMS TO HELP KEEP YOUR GUNS SAFE AT HOME AS WELL. AND IF ANYONE'S INTERESTED, WE HAVE RESOURCES AVAILABLE TO THE COMMUNITY FREE OF CHARGE, SO

JUST REACH OUT TO US AND WE'RE HAPPY TO HELP YOU OUT. >> GREAT. THANK YOU, THANK YOU.

YEAH APPRECIATE THAT. >> SO WE HAVE A PROCLAMATION BY THE MAYOR OF THE CITY OF DENTON, TEXAS TO ALL WHOM THESE PRESENTS SHALL COME. GREETINGS. WHEREAS THE CITY OF DENTON IS COMMITTED TO ENSURING THE SAFETY OF ALL RESIDENTS AND UNSECURED, UNSECURED GUNS POSE CLEAR SAFETY RISKS, PARTICULARLY WHEN GUNS ARE NOT SECURELY STORED AND ARE ACCESSIBLE. UNSUPERVISED.

UNSUPERVISED MINORS, WHICH SIGNIFICANTLY INCREASE THE RISK OF DEATH AND OR INJURY. AND WHEREAS 4.6 MILLION MINORS IN THE UNITED STATES LIVE IN HOMES WITH AT LEAST ONE LOADED GUN UNLOCKED FIREARM MARKING THE IMPORTANCE OF RESPONSIBLE GUN OWNERSHIP, SAFE STORAGE. SAFE STORAGE PRACTICES, AND AWARENESS OF PREVENTION STRATEGIES AND CRITICAL STEPS IN REDUCING PREVENTABLE TRAGEDIES. AND WHEREAS, BETWEEN 2020 AND 2024, COOK CHILDREN'S FORT WORTH MEDICAL CENTER. TREATED 303 GUN RELATED INJURIES. SO LET ME SEE HERE. LET ME START OVER. BETWEEN 2020 AND 2024, COOK CHILDREN'S FORT WORTH MEDICAL CENTER TREATED 3303 GUN RELATED INJURIES, SO EDUCATING COMMUNITIES TO PARTICIPATE IN GUN SAFETY AND HANDLING AND STORAGE IS PROVEN, ACTIONABLE AND MEANINGFUL WAY TO CREATE SAFER HOMES AND NEIGHBORHOODS ACROSS OUR CITY, STATE AND COUNTRY. NOW, THEREFORE, I, GERALD HUDSPETH, MAYOR OF THE CITY OF DENTON, TEXAS, DO HEREBY DECLARE AND PROCLAIM AUGUST 2025 AS GUN SAFETY AWARENESS MONTH IN

THE CITY OF DENTON. IF WE GIVE THEM A HAND. >> ALL RIGHT. THANK YOU, THANK YOU. I MEAN, SHE'LL GET A PICTURE FOR US AND GET THAT TO YOU.

EXCELLENT. >> THANK YOU VERY MUCH. >> APPRECIATE YOU BEING HERE.

THANKS FOR WHAT YOU DO. THANK YOU. YES. OKAY. >> SO MUCH RIGHT NOW.

[3. PRESENTATIONS FROM MEMBERS OF THE PUBLIC]

>> AND IF WE COULD IS THERE ONE SPEAKER IF YOU COULD PLAY THE VIDEO FOR ADDRESSING COUNCIL

PLEASE. >> THE DENTON CITY COUNCIL HAS ADOPTED RULES OF PROCEDURE, INCLUDING A CODE OF CONDUCT THAT APPLIES TO THE PUBLIC AS WELL AS COUNCIL MEMBERS. THESE RULES WERE ENACTED TO PROMOTE AN ORDERLY PROCESS AND TO PRESERVE DECORUM. SPEAKERS WILL HAVE FOUR MINUTES TO GIVE A SCHEDULED REPORT AND FOUR MINUTES TO GIVE AN OPEN MIC REPORT. A BELL WILL RING WHEN TIME HAS EXPIRED. IF THE REMARKS ARE NOT CONCLUDED BY THAT TIME, THE SPEAKER WILL BE ASKED TO STOP SPEAKING IF THE SPEAKER DOES NOT CEASE AND A SECOND REQUEST IS MADE, THE MAYOR MAY REQUEST TO HAVE THE SPEAKER REMOVED FROM THE CHAMBER. SPEAKERS SHOULD NOT APPROACH THE DAIS. IF A SPEAKER HAS MATERIALS FOR THE COUNCIL, PLEASE NOTIFY THE CITY SECRETARY IN ADVANCE FOR SCHEDULED REPORTS. THE COUNCIL MAY INITIATE DISCUSSION OR ASK QUESTIONS FOR NONSCHEDULED OPEN MIC REPORTS. THE COUNCIL MAY LISTEN, HOWEVER, BECAUSE NO NOTICE OF THE SUBJECT OF THE OPEN MIC REPORT HAS BEEN PROVIDED TO THE PUBLIC IN ADVANCE. THE TEXAS OPEN MEETINGS ACT PROHIBITS DISCUSSION OR DECISION BY THE COUNCIL ON NONSCHEDULED ITEMS. AS A RESULT, THE COUNCIL MAY ONLY PROCEED AS FOLLOWS ON NONSCHEDULED ITEMS PROPOSED TO PLACE THE ITEM ON A FUTURE AGENDA. MAKE A STATEMENT OF FACTUAL POLICY OR A RECITATION OF EXISTING POLICY. SPEAKERS ARE ASKED TO DIRECT ALL REMARKS AND QUESTIONS TO THE COUNCIL AS A WHOLE, AND NOT TO ANY INDIVIDUAL MEMBER. PLEASE REFRAIN FROM MAKING ABUSIVE, PERSONAL, IMPERTINENT, PROFANE OR SLANDEROUS REMARKS. ANYONE WHO VIOLATES THE COUNCIL RULES OF PROCEDURE MAY BE IMMEDIATELY REMOVED FROM THE CHAMBER. THANK YOU IN ADVANCE. COPIES OF THE

RULES OF PROCEDURE ARE AVAILABLE FROM THE CITY SECRETARY. >> OKAY. THANK YOU. AND WE HAVE TERRY JOHNSON. YOU CAN COME DOWN AND GIVE YOUR NAME. YOU'LL HAVE FOUR MINUTES.

>> HELLO, I'M TERRY JOHNSON. I'M WITH HEALTH SERVICES OF NORTH TEXAS HERE IN DENTON. MY OFFICE

[01:00:02]

ADDRESS IS 4401 NORTH I-35, SUITE 312. I'M HERE TODAY BECAUSE IT'S NATIONAL HEALTH CENTER WEEK, AND NORMALLY THE CITY OF DENTON PROVIDES A PROCLAMATION BASED ON MY REQUEST, BUT I DIDN'T REQUEST IT THIS YEAR. I WANTED TO DO SOMETHING DIFFERENT. WE'RE SO THANKFUL FOR ALL OF THE CITY OF DENTON SUPPORT THROUGH THE YEARS. HSA IS CELEBRATING 35 YEARS OF BEING YOUR LOCAL COMMUNITY HEALTH CENTER. THE COMMUNITY HEALTH CENTER MODEL OF CARE HERE IN THE UNITED STATES OF AMERICA IS CELEBRATING 60 YEARS OF PROVIDING QUALITY, EFFECTIVE CARE TO 35 MILLION PATIENTS. HERE IN DENTON. WE'RE PROVIDING CARE TO 20,000 PATIENTS. HEALTH SERVICES OF NORTH TEXAS INVITES YOU TO COME TO OUR NATIONAL HEALTH CENTER WEEK EVENT ON THURSDAY. SO IN TWO DAYS AT THE DENTON CENTER AT 5:00, WE'LL HAVE AN EXHIBITION THAT BRINGS TO LIFE THE PAST, PRESENT AND FUTURE OF COMMUNITY HEALTH CENTERS AND SPECIFICALLY HSA IN OUR WORK TO CARE WELL FOR THE CITY OF DENTON COMMUNITY MEMBERS. WE'LL ALSO BE HONORING FORMER CONGRESSMAN MICHAEL C BURGESS, AS HE SERVED FOR 22 YEARS AS OUR REPRESENTATIVE, AND HE WAS A TREMENDOUS ADVOCATE FOR THE COMMUNITY HEALTH CENTER MODEL OF CARE FOR US. SO HE'LL BE OUR KEYNOTE SPEAKER, AND WE INVITE YOU TO COME AND EXPERIENCE THE INCREDIBLE WORK THAT'S BEING DONE TO CARE WELL FOR THE CITY OF DENTON RESIDENTS. THANK YOU VERY MUCH.

I APPRECIATE YOU AND THANK YOU. >> ALL RIGHT. AND IS THERE IS THERE A WEBSITE PEOPLE CAN GO TO

IF THEY HAVE QUESTIONS OR THAT SORT OF THING? >> YES.

>> OKAY. >> HEALTH SERVICES NT.ORG OKAY. HOWEVER THE EVENT IS NOT ON

THERE. MAY I LEAVE THESE HERE. >> YOU CAN LEAVE IT WITH THE CITY SECRETARY THERE AND SHE'LL

MAKE SURE SHE GETS IT DISSEMINATED. >> THANK YOU. YEAH I RESPECT YOU

ALL AND APPRECIATE YOUR TIME. >> THANK YOU VERY MUCH. APPRECIATE IT. YES. 5:00 THIS

[4. CONSENT AGENDA]

THURSDAY. SERVED IN OKAY. AND THAT TAKES US TO CONSENT AGENDA. I'LL TAKE A MOTION. NOTHING WAS

PULLED. REPRESENTATIVE FROM DISTRICT SIX. >> COUNCILPERSON JESTER. MOVE

APPROVAL AS PRESENTED. >> SENATOR FROM DISTRICT FIVE. >> SECOND.

>> WE HAVE A MOTION AND A SECOND. ANY OTHER DISCUSSION? SEEING NONE, LET'S VOTE ON THE SCREEN. THAT PASSES 6 TO 0. THAT TAKES US TO OUR FIRST. OPEN. NO PUBLIC HEARING TO GET THERE. AND

[A. Hold a public hearing to consider amending and updating the Water and Wastewater Land Use Assumptions and Capital Improvements Plan, and the imposition of increased water and wastewater impact fees for designated service areas and discuss amending Ordinance No. 2019-008 regulating the City’s water and wastewater impact fees.]

THAT IS ITEM FIVE A, WHICH IS ID 251140. HOLD A PUBLIC HEARING AND CONSIDER AMENDING AND UPDATING THE WATER AND WASTEWATER LAND USE ASSUMPTIONS AND CAPITAL IMPROVEMENTS PLAN.

>> GOOD EVENING MAYOR COUNCIL STEVEN GAY, GENERAL MANAGER, WATER, UTILITIES AND STREET OPERATIONS. I'M HERE TODAY TO PRESENT OUR WATER AND WASTEWATER IMPACT FEE STUDY FOR THE PUBLIC HEARING. THIS IS THE FINAL STEP BEFORE SEEKING ADOPTION ON AUGUST 19TH OF THE STUDY. THIS IS THE SAME PRESENTATION THAT WE DELIVERED TO COUNCIL ON JULY 15TH, SO I'LL GO PRETTY QUICKLY THROUGH IT, BUT OBVIOUSLY I'LL BE AVAILABLE FOR QUESTIONS. AND SO WITH THAT I'M GOING TO GO AHEAD AND GET STARTED. SO WHEN WE DO THE IMPACT FEE STUDY. SO THIS PRESENTATION IS GOING TO DISCUSS OUR LAND USE ASSUMPTIONS AND GROWTH PROJECTIONS. WE'RE GOING TO DEFINE WHAT A SERVICE UNIT IS. WE'RE GOING TO DISCUSS THE CAPITAL IMPROVEMENT THE IMPACT FEE CAPITAL IMPROVEMENT PLANS DISCUSS OUR SERVICE AREA COMPARISONS. AND THEN WE'LL GET INTO THE IMPACT FEE CALCULATIONS. AND A SPECIAL NOTE THERE HIGHLIGHTED THAT THE HUNTER AND COLE OFF SITE IMPACTS ARE DETAILED IN THE APPENDICES IN THE REPORT. SO WHEN WE LOOK AT THE POPULATION GROWTH PROJECTIONS, LAND USE ASSUMPTIONS, WE WORK REALLY CLOSELY WITH OUR FOLKS OVER IN DEVELOPMENT SERVICES, AND WE UTILIZE A COMPREHENSIVE LAND USE PLAN TO HELP INFORM THOSE PROJECTIONS. BUT NOT ONLY DO WE RELY ON THAT DATA, WE ALSO WE ALSO ENGAGE WITH STAFF TO FIND OUT WHAT'S COMING THROUGH THE SYSTEM, WHAT THEY'RE SEEING AS FAR AS GROWTH, WHAT TYPE OF GROWTH, WHERE THE GROWTH IS GOING TO BE. AND THEN WE ENGAGE WITH THE DEVELOPMENT COMMUNITY.

[01:05:05]

THOSE DEVELOPMENTS THAT WE KNOW OF TO UNDERSTAND THEIR PHASING SCHEDULES AND THEIR THEIR BUILD SCHEDULES. AND ONCE WE UNDERSTAND WHERE ARE WE GOING TO, WHERE WE'RE GROWING AND HOW RAPIDLY WE'RE GROWING, WE HAVE TO KIND OF UNDERSTAND WHAT IS A SERVICE UNIT. SO THE AMERICAN WATER WORKS SERVICE UNIT SERVICE UNITS ARE BASED ON THE METER METER SIZING. AND THE AMERICAN WATER WORKS ASSOCIATION'S BEST PRACTICE. NOW, THE AMERICAN WATER WORKS ASSOCIATION SETS THE FIVE METER AS THE BASE FOR SINGLE FAMILY RESIDENCE, WHICH MEANS THAT A 5/8 METER CAN PROVIDE ENOUGH WATER TO SUPPORT A SINGLE FAMILY RESIDENT. NOW, 81% OF DENTON'S CURRENT METER COUNT AND 58% OF THE METERS INSTALLED IN THE LAST TWO YEAR PERIOD ARE OF THE FIVE METER SIZE. NOW, WHEN WE COMPARE THAT TO OUR THREE QUARTER INCH METER, WHICH IS THE NEXT SIZE UP OVER THAT SAME TWO YEAR PERIOD OF TIME, ONLY 8% OF THE METERS INSTALLED ARE OF THE THREE QUARTER INCH, AND 26% OF THEM ARE THE 5/8 METER SIZE. SO WHILE THIS WHILE THE TREND IN THAT LARGER METER IS INDICATIVE OF MAYBE A LARGER HOME, WHILE THAT TREND SHOWS THE AVERAGE HOME SIZE IS INCREASING, THE FIVE METER IS STILL THE STANDARD, AND THAT'S WHY IT WAS CHOSEN AS OUR BASE SERVICE UNIT. SO HOW DOES THAT IMPACT THE COMMERCIAL BUSINESSES? SO WHEN WE TALK ABOUT A 5/8 METER, IF YOU LOOK AT THE CHART, IT'S CAPACITY IS ROUGHLY 20 GALLONS PER MINUTE.

WELL, A LARGER RETAIL STORE OR BIG BOX STORE MIGHT NEED MORE DEMAND. SO THEY MAY NEED MORE WATER TO FLOW THROUGH THAT. SO THIS CHART SHOWS THAT SAY IF IT'S A TWO INCH METER, IT'S EQUIVALENT TO ROUGHLY EIGHT OF THE 5/8 METERS. SO THEREFORE THAT ONE CONNECTION WOULD REPRESENT EIGHT SERVICE UNITS. SO THEREFORE IT WOULD BE MULTIPLIED BY EIGHT. ONCE WE UNDERSTAND OUR SERVICE UNITS, THEN WE MOVE INTO THE CAPITAL AND THE WATER IMPACT. AND THIS IS THE WATER IMPACT FEE CAPITAL IMPROVEMENT PROGRAM. SO WE HAVE TO UNDERSTAND WE UNDERSTAND WHERE WE'RE GROWING. WE UNDERSTAND HOW QUICKLY WE'RE GROWING. WE UNDERSTAND WHAT A SERVICE UNIT IS. NOW WE NEED TO UNDERSTAND WHAT KIND OF TREATMENT CAPACITY AND CONVEYANCE DO WE NEED TO SUPPORT THAT FUTURE GROWTH. SO THIS MAP REPRESENTS THE BLUE LINE IS INFRASTRUCTURE THAT WAS IDENTIFIED IN PREVIOUS IMPACT FEE STUDIES THAT STILL HAS CAPACITY LEFT IN IT. THE RED LINES ARE ALL THE INFRASTRUCTURE THAT'S NEEDED TO SUPPORT THE FUTURE GROWTH. SIMILARLY, ON THE WASTEWATER SIDE, THE GREEN LINES REPRESENT INFRASTRUCTURE THAT STILL HAS CAPACITY LEFT IN IT. THE RED LINES ARE ALL INFRASTRUCTURE, WHETHER IT'S CONVEYANCE OR IT'S TREATMENT FACILITIES THAT ARE NEEDED TO SUPPORT THE GROWTH DURING THE STUDY PERIOD. NOW, IT'S IMPORTANT TO HIGHLIGHT THAT OUR SERVICE AREA IS DICTATED BY OUR CERTIFICATE OF CONVENIENCE AND NECESSITY, AND THAT'S WHAT'S ISSUED BY THE PUBLIC UTILITIES COMMISSION OF TEXAS. AND THAT SERVICE AREA EXTENDS WELL BEYOND THE CITY'S CORPORATE LIMITS. SO NOW WHEN WE LOOK AT WE START LOOKING AT WHAT DOES OUR EXISTING SERVICE. SO THE SERVICE AREAS OR THE IMPACT FEE AREAS, THE SO THE IMPACT FEE UPDATE IS NOT GOING TO ALTER THE EXISTING WATER SERVICE AREAS. AND SO THAT WAS ESTABLISHED YEARS AGO TO WHERE THEY IDENTIFIED THIS DONUT IN THE CENTER OF THE CITY WHERE WE HAD A LOT OF INFRASTRUCTURE, AND THEY DEVELOPED A FEE FOR THAT AREA. THAT ONE BE KIND OF MOVES OUT AWAY FROM THE CENTER OF THE CITY AND REQUIRES MORE INFRASTRUCTURE. THERE'S LESS INFRASTRUCTURE THAT'S INSTALLED, AND IT WILL REQUIRE MORE INFRASTRUCTURE TO PROVIDE SERVICES. AND THEN THAT SERVICE AREA. TWO, WE HAVE WE HAVE RELATIVELY LITTLE INFRASTRUCTURE THERE. SO OBVIOUSLY HIGHER COST TO BRING SERVICES TO THAT AREA.

IT'S ALSO IMPORTANT TO PUNCTUATE OR TO HIGHLIGHT THAT THOSE THOSE RED DASHED LINES ON THIS MAP REPRESENT THE INFRASTRUCTURE THAT HUNTER AND COAL ARE OBLIGATED THROUGH THEIR THEIR AGREEMENT TO DELIVER. AND THOSE WERE TAKEN OUT OF OUR IMPACT FEE CALCULATION. SO WHEN WE LOOK AT OUR CURRENT SERVICE AREA FOR OUR WASTEWATER FACILITY, WE HAVE ONE PLANT. AND IT MADE A LOT OF SENSE FOR US TO HAVE ONE SERVICE AREA FOR THE WASTEWATER TREATMENT FACILITIES AND OR THE CONVEYANCE, BECAUSE ALL THE CONVEYANCE WENT TO THE ONE SINGLE PLANT. WELL, THAT PLANT IS CURRENTLY OPERATING NEAR 90% OF ITS UTILIZATION. IT'S RATED AT 21 MILLION GALLONS A DAY IN TEXAS, COMMISSION ON ENVIRONMENTAL QUALITY HAS THIS 7590 RULE, WHICH MEANS THAT WHEN A PLANT REACHES 75% OF ITS DESIGNED CAPACITY, YOU MUST ENTER INTO DESIGN FOR ADDITIONAL CAPACITY. WHEN YOU HIT 90% OF THE DESIGN CAPACITY, YOU MUST BE UNDER CONSTRUCTION. GOOD NEWS,

[01:10:05]

WE'RE A WELL UNDER UNDERWAY ON THAT TO EXPAND THE PLANT FROM 20 MILLION GALLONS A DAY TO 30 MILLION GALLONS A DAY. BUT UNFORTUNATELY, WE RECOGNIZE THAT IF WE DON'T DO SOMETHING DIFFERENT, WE'RE GOING TO RUN OUT OF CAPACITY AT OUR DISCHARGE POINT, BECAUSE WE'RE ONLY ALLOWED TO DISCHARGE UP TO 30 MILLION GALLONS A DAY AT THIS PLANT SITE. SO. WE SAID, WELL, HOW DO WE SOLVE THE PROBLEM? WHEN WE LOOK AT WHEN WE LOOK AT WASTEWATER FLOWS, WE LOOK AT BASINS. RIGHT. AND SO BASINS ESSENTIALLY A GEOGRAPHICAL AREA WHERE THE TOPOGRAPHY ALLOWS THE WATER TO FLOW WITHIN THAT BASIN. IN OUR SERVICE AREA WE HAVE THREE BASINS. WE HAVE THE CLEAR CREEK BASIN, THE CONCRETE BASIN AND THE HICKORY CREEK BASIN. SO WHEN WE IN THIS ITERATION OF OUR IMPACT FEE STUDY, WE SAID, WELL, WHAT IF WE MOVED THE CONVEYANCE AND TREATMENT FACILITIES BECAUSE WE ALREADY OWN LAND UP IN THE CLEAR CREEK BASIN, WHICH IS PERMITTED FOR DISCHARGE, AND WE OWN LAND IN THE HICKORY CREEK BASIN, WHICH WAS INTENDED FOR WASTEWATER TREATMENT FACILITY.

ADDITIONALLY, YOU SEE THAT WE CAN GLEAN ADDITIONAL CAPACITY AT THOSE DISCHARGE POINTS, ROUGHLY BETWEEN 20 AND 40 MILLION GALLONS A DAY. SO WHEN WE DO THE CALCULATIONS. SO NOW WE UNDERSTAND WHAT OUR GROWTH LOOKS LIKE. WE UNDERSTAND WHAT OUR SERVICE UNITS ARE. WE UNDERSTAND THE KIND OF INFRASTRUCTURE THAT'S NEEDED TO SUPPORT THE GROWTH. HOW DO WE DO THE CALCULATION TO, YOU KNOW, DETERMINE WHAT EACH SERVICE UNIT IS GOING TO COST US. SO EACH PROJECT IS LOOKED AT INDIVIDUALLY AND EVALUATED. AND I'LL TALK ABOUT THAT IN JUST A MINUTE. THIS SLIDE REPRESENTS IF WE JUST HAD SINGLE SERVICE AREAS FOR THE WATER AND THE WASTEWATER. SO THEY WOULD LOOK AT ALL THE PROJECTS AND THEY WOULD SAY IF ALL THE PROJECTS WE NEED X AMOUNT OF CAPACITY AND WE EXPECT TO GROW BY THIS NUMBER OF SERVICE UNITS PER YEAR, AND WE DIVIDE THE BOTTOM NUMBER TO THE TOP NUMBER, WE COME UP WITH A VALUE. BUT WE DON'T HAVE ONE SINGLE SERVICE AREA. SO IN THE WATER SIDE WE HAVE THE THREE SERVICE AREAS. SO WHAT THEY DO IS THEY LOOK AT EACH SERVICE AREA AND THEY SAY WITHIN THIS REGION WE EXPECT TO NEED THIS MANY PROJECTS, TEN PROJECTS TO BUILD THE INFRASTRUCTURE TO SUPPORT THE GROWTH. AND OF THOSE TEN PROJECTS, IT'S GOING TO HAVE X AMOUNT OF CAPACITY. AND OVER THE STUDY PERIOD TEN YEARS, WE EXPECT TO UTILIZE SO MUCH OF THE CAPACITY. NOW, IF YOU RECALL IN THAT LAST SLIDE WHERE I SHOW THAT THOSE BLUE LINES AND THE GREEN LINES WHERE WE STILL HAD CAPACITY LEFT OVER, THOSE ARE THAT'S CAPACITY THAT'S STILL ALLOCATED IN THOSE LINES. SO YOU DON'T USE ALL THE CAPACITY THAT'S IN THE STUDY. RIGHT. OKAY. AND I'LL TALK I CAN TALK A LITTLE BIT MORE ABOUT THAT IN A MINUTE. SO WHEN WE DO WHEN WE DO THE ANALYSIS. SO THIS IS WHAT WE'RE LOOKING AT FOR A MAXIMUM RECOVERABLE IMPACT FEE ON THE WATER SIDE BASED OFF THE SERVICE AREA IS PRESENTED HERE. AND THEN WE LOOKED AT BREAKING UP THE SERVICE AREAS IN ON THE WASTEWATER SIDE WE HAVE THE MAXIMUM RECOVERABLE IMPACT FEE FOR THE BASINS RIGHT. HICKORY CREEK, CLEAR CREEK AND PECAN CREEK. AND REASON PECAN CREEK IS SO HIGH IS WE'RE OUT OF CAPACITY. WE HAVE TO ADD THAT CAPACITY TO THAT PLANT. SO WE MET WITH THE DEVELOPMENT COMMUNITY IN 2024. WE MET WITH THEM TWICE IN 2025. THE MOST RECENT MEETING WAS IN JULY. WE ALSO MET WITH THE CAPITAL IMPROVEMENT ADVISORY COMMITTEE, AND IN BETWEEN MEETING WITH THE CAPITAL IMPROVEMENT ADVISORY COMMITTEE AND THAT MEETING WITH THE DEVELOPMENT COMMUNITY, WE TOOK A STEP BACK. WE REEVALUATED OUR NUMBERS. WE LOOKED AT OUR POTENTIAL FOR COLLECTION, IMPACT FEE COLLECTION, THE IMPACT ON WE ON THE DEVELOPMENT COMMUNITY, WHAT THESE IMPACT FEES WOULD MEAN TO THEM. WE LOOKED AT OUR ABILITY TO RECOVER COSTS THROUGH THE SALE OF NEW WATER. WE ALSO LOOKED AT THE VALUE OF GROWTH WITHIN WITHIN OUR COMMUNITY AND NOT WANTING TO STIFLE THAT. AND WE FELT COMFORTABLE COMING TO YOU WITH A WITH A RECOMMENDATION FOR THAT 75% COST RECOVERY, WHICH IS INDICATED HERE ON THE SLIDE. SO BUT HOW DOES THAT COMPARE TO OTHER CITIES? WELL, THERE WAS ANOTHER THING I WANT TO SAY THAT, YOU KNOW, BY TAKING THIS APPROACH, WE BELIEVE IT'S BALANCED AND WILL ENSURE THAT THE DEVELOPMENT PAYS FOR DEVELOPMENT. AND DENTON'S WATER AND WASTEWATER IMPACT FEES REMAIN COMPETITIVE. WITH COMPARISON CITIES, THOSE THAT ARE EXPERIENCING SIMILAR PRESSURES, THEY HAVE A NEED FOR VERY EXPENSIVE INFRASTRUCTURE, TREATMENT FACILITIES, CONVEYANCE, AND THEY'RE GROWING RAPIDLY. AND THAT THESE FUTURE, THAT FUTURE RATE PAYERS BEAR THE COST OF ADDITIONAL CAPACITY. SO WHEN YOU LOOK AT THIS CHART, WE SELECTED NEW BROWNSVILLE, PFLUGERVILLE AND GEORGETOWN BASED OFF OF THEIR CURRENT IMPACT FEES AND THE AVERAGE OF OUR 100% IMPACT FEE. WE REMAIN COMPETITIVE WITH NEW BROWNSVILLE AND PFLUGERVILLE, AND WITH THE

[01:15:04]

75% RECOMMENDATION THAT STAFF IS RECOMMENDING, WE REMAIN COMPETITIVE WITH GEORGETOWN, PFLUGERVILLE AND NEW BRAUNFELS. SO IN SUMMARY, IN OCTOBER OF 2022, WE MET WITH THE PUBLIC UTILITIES BOARD. THEY GAVE US INITIAL DIRECTION TO MOVE FORWARD WITH THE STUDY. IN JULY OF 24, DEVELOPER MEETING TO SHARE OUR UPDATES. THAT WAS THE FIRST MEETING WE HAD WITH THE DEVELOPMENT COMMUNITY IN JULY. IN 24, WE RECEIVED DIRECTION FROM COUNCIL TO MOVE FORWARD. WE HAD IN FEBRUARY AND JUNE WE MET WITH THE OF THE CAPITAL IMPROVEMENT ADVISORY COMMITTEE TWICE AND PRESENTED THE DATA TO THEM AGAIN. WE MET WITH THE DEVELOPMENT COMMUNITY ON JULY 1ST, AND WE ALSO IN THE JUNE THE, I GUESS THE JUNE 25TH MEETING WAS WITH THE CAPITAL IMPROVEMENT ADVISORY COMMITTEE, WHERE THEY VOTED SIX ZERO TO FOR THE 100% COST RECOVERY. AFTER THAT MEETING, WE DID MEET WITH THE DEVELOPMENT COMMUNITY. WE REVISED OUR RECOMMENDATION, AND THAT'S WHAT WE PRESENTED TO STAFF ON THE 15TH. SO OUR NEXT STEPS, WE WELL OUR ADOPTION STEPS IN WAS A HOLD ON A SECOND. IN JUNE OF 25. WE DID OUR PUBLIC NOTICE IN JUNE, JUNE 25TH, WE HAD THE ADOPTION OF THE RECOMMENDATION FROM CASSEY. WE HAD THE WORK SESSION WITH CITY COUNCIL ON JULY 15TH AND THE PUBLIC HEARING TODAY, AND WE WILL BE SEEKING ADOPTION ON THE

19TH. AND WITH THAT, I WILL STAND FOR ANY QUESTIONS AND OR. >> OKAY, THANK YOU VERY MUCH.

AND I'LL OPEN THE PUBLIC HEARING. ANY QUESTIONS FOR STAFF REPRESENTATIVE FROM DISTRICT

SIX. >> HI, COUNCILPERSON JESTER, THANK YOU FOR THE INFORMATION.

AND I IT'S. >> YES, MA'AM. >> THERE'S A LOT TO ALL OF THIS.

THE MEETING WITH OR THE MEETINGS THAT HAVE BEEN HELD WITH THE DEVELOPMENT COMMUNITY. HOW WERE THOSE INVITEES DECIDED UPON? SOME OF THE THINGS I'VE HEARD ARE DEVELOPERS THAT ARE HERE THAT ARE SAYING, WE STILL DON'T KNOW WHAT THE PROPOSED AMOUNTS ARE, ETCETERA. HOW WAS THAT

CREATED? >> WE REACHED OUT TO OUR PARTNERS IN DEVELOPMENT SERVICES AND THEY COORDINATED THE MEETINGS WITH THEM. WE SHOWED UP TO GIVE THE PRESENTATIONS.

THAT'S I CAN'T REALLY SPEAK TO, YOU KNOW, WHAT THAT COMMUNICATION VEHICLE WAS, BUT WE PARTNERED WITH DEVELOPMENT SERVICES. THEY HAVE ALL THE CONTACTS WITH THE DEVELOPERS.

>> OKAY. WELL I'LL FOLLOW UP WITH DEVELOPMENT SERVICES. THANK YOU VERY MUCH. APPRECIATE IT.

>> OR IS THERE IS THERE SOMEONE HERE FROM DEVELOPMENT SERVICES TO ANSWER THAT QUESTION? DID HE

KNOW. THE QUESTION IS THE LIST HOW THAT WAS GENERATED? >> COME ON.

>> SCOTT MCDONNELL DIRECTOR OF DEVELOPMENT SERVICES MAYOR COUNCIL. GOOD EVENING. THE LIST.

WHAT WE TYPICALLY DO ON ANY AND ALL OF OUR TOWN HALLS IS WE HAVE PEOPLE THAT ARE SIGNED UP VIA EMAIL AND THROUGH OUR LISTSERV, WHICH IS OUR COMPUTER SOFTWARE, WE SEND IT OUT TO ANYONE THAT HAS MADE APPLICATION AND CONTACT WITH THE CITY. SO OUR DEVELOPERS, CONTRACTORS,

ENGINEERS, DESIGN PROFESSIONALS. >> MAY I FOLLOW UP WITH THE QUESTION, MAYOR? THANK YOU. SO

WOULD THAT BE WITHIN THE PAST YEAR OR HAVE EVER ACTIVE ACTIVE. >> ACTIVE IN OUR SYSTEM?

>> OKAY. AND IS THERE SOME KIND OF DENTON DEVELOPMENT BOARD THAT MEETS QUARTERLY? I DIDN'T KNOW ABOUT THIS, BUT I'VE HEARD ABOUT THIS RECENTLY. ARE YOU FAMILIAR WITH THIS?

>> COULD YOU REPEAT THAT? I'M SORRY. >> THERE'S SOME KIND OF

DEVELOPMENT COMMUNITY BOARD THAT MEETS QUARTERLY. >> WE HAVE A MONTHLY MEETING.

MAYBE IS WHAT YOU'RE REFERRING TO. SO WE HAVE A JUST A DENTON AREA DEVELOPERS ALLIANCE. WHAT WE HAVE IS A CROSS SECTION OF OUR COMMUNITY. SO WE HAVE SOME HOME BUILDERS, COMMERCIAL BUILDERS, REALTORS, ENGINEERS, ARCHITECTS, DESIGN PROFESSIONALS. AND WE JUST KIND OF TALK THROUGH HOW IT IS THAT WE CAN PROVIDE SERVICE IN A MORE EFFECTIVE AND EFFICIENT MEANS.

SO THOSE THAT USE OUR SYSTEM ARE MOST FREQUENT FLIERS. AND THEN WE JUST WALK THROUGH EACH TOPIC.

WE BRING IN EACH OF THE DEPARTMENT HEADS INDIVIDUALLY, SO THEY CAN TALK ABOUT ANY OF THE ITEMS THAT THE DEVELOPMENT COMMUNITY IS EXPERIENCING CHALLENGES WITH. SO IT'S JUST A

CROSS SECTION OF OUR COMMUNITY JUST FOR BUSINESS IMPROVEMENT. >> AND AS FAR AS THE IMPLEMENTATION OF THESE NEW FEES, WE'VE TALKED ABOUT SOME KIND OF PROCESS. SO THOSE THAT HAVE ALREADY PLATTED OR HAVE PRELIMINARY PLANS, THOSE THAT HAVE ALREADY INVESTED SIGNIFICANT AMOUNT OF MONEY, WE'RE NOT JUST TOTALING THEIR PROJECT BECAUSE OF THESE NEW

IMPACT FEES. IS THAT STILL WHAT OUR GOAL? >> AND I'LL LET STEVEN SPEAK TO

[01:20:02]

THE FACT THAT WE'RE LOOKING AT NOTHING BEFORE JANUARY 1ST. SO JANUARY 1ST EFFECTIVE DATE. AND THEN WE'RE ALSO TRYING TO AND I HAVEN'T WORKED THROUGH THE DETAILS ON THE ORDINANCE, JUST THOSE THAT ARE REALLY IN THE PROCESS BY SEPTEMBER 1ST OR SOMETHING THAT WE HAVE AT LEAST A CARVE OUT IF WE CAN. SO JUST HAVEN'T GOT THOSE DETAILS AND HAVEN'T WORKED THROUGH IT WITH

LEGAL. >> AND IS THAT SOMETHING THAT WILL BE ON A CASE BY CASE BASIS, OR IS THAT GOING TO BE IN THE ORDINANCE SAYING IF YOU'RE AT THIS PLACE, YOU'RE GOING TO BE

GRANDFATHERED IN. >> IT WILL BE A HARD STOP IN THE ORDINANCE?

>> OKAY, GREAT. WELL, THANK YOU SO MUCH. I APPRECIATE ALL OF THE INFORMATION.

>> MAY I JUST A LITTLE BIT MORE CLARITY BECAUSE I PREPARED FOR THIS QUESTION BASED OFF OF THE WORK SESSION. IT'S OUR UNDERSTANDING WHEN THE PLAT IS RECORDED, THE IMPACT FEES ARE ASSESSED. SO IT LOCKS IN THE IMPACT FEE AT THAT TIME AT THAT POINT IN TIME. SO WHATEVER IMPACT FEE IS IN PLACE AT THE TIME WHEN A PROPERTY OWNER SAY, OH, 100 ACRES AND I GO IN NEXT MONTH AND I RECORD MY FINAL PLAT FOR THAT PARCEL, IT LOCKS IT IN UNDER THE IMPACT FEE EFFECT AT THAT TIME, THAT THAT LOCK LIVES WITH THE PROPERTY UNTIL THEY REPLAT THE PROPERTY.

SO IF THEY KEEP WITH THEIR ORIGINAL PLANS THAT THAT RECORDED PLAT, THEY WILL BE SUBJECT TO THE IMPACT FEES THAT WERE ASSESSED DURING THAT PERIOD OF TIME. DOES THAT MAKE SENSE? IT DOES. AND THE IMPACT FEES AREN'T COLLECTED UNTIL THE DEVELOPER ACTUALLY COMES IN AND SAYS, OKAY, I WANT TO PULL MY PERMITS AND I'M GOING TO BUILD MY PROJECT. I PULL MY PERMIT,

THEN THEY PAY FOR THEIR IMPACT FEES. AT THAT TIME. >> I GUESS MY CONCERN IS MY UNDERSTANDING IS THE TIME PERIOD. OF COURSE, IT'S DIFFERENT FOR EACH PROJECT, BUT THAT IT CAN TAKE SOMETHING LIKE SIX MONTHS TO ACTUALLY GET THAT FINAL PLAT. SOMETIMES BECAUSE OF

CIRCUMSTANCES OUTSIDE OF THE PERSON APPLYING CONTROL. >> YEAH, AND WE'RE NOT INTENDING TO RECOMMEND IMPLEMENTATION OF THIS UNTIL JANUARY 1ST OF 2026. THAT'S PART OF OUR RECOMMENDATION. SO THAT SHOULD PROVIDE A WINDOW OF TIME FOR THEM TO COME IN AND DO THAT RECORDED PLAT. AND THAT'S WHY WHEN YOU LOOK AT THE ORDINANCE, I BELIEVE THAT THE MAYOR MENTIONED THIS DURING THE WORK SESSION. IT'S LIKE IT WAS LIKE THIS, THIS, THIS DATE SOUP OF ALL THESE DIFFERENT IMPACT FEES. THE PURPOSE OF THAT IS TO LOCK IN THAT, HEY, IF I HAVE MY RECORDED PLAT DURING THIS PERIOD OF TIME, WE CAN CROSS-REFERENCE AND GO BACK AND SAY, WHAT WAS THE IMPACT FEE AT THAT TIME? SO THE FOLKS AT DEVELOPMENT SERVICES CAN ASSESS THE

APPROPRIATE IMPACT OR CHARGE THE APPROPRIATE IMPACT FEE. >> OKAY. WELL, THAT SOUNDS LIKE ENOUGH LEAD TIME TO BE FAIR TO THOSE THAT HAVE ALREADY INVESTED A LOT OF TIME AND MONEY INTO PROJECTS, WORKING WITH US IN GOOD FAITH. AND SO THAT'S JUST THE CONCERN IS EVERYONE IS TREATED FAIRLY. SO JANUARY OF 2026 SOUNDS, YOU KNOW, WE'LL WE'LL CONTINUE TO FLESH THAT OUT AND MAKE SURE WE'RE BEING AS FAIR AS POSSIBLE AND AS TRANSPARENT AS WE CAN. THANK

YOU. >> REPRESENTATIVE DISTRICT FIVE. >> MAYOR, SINCE WE ARE POSTED

FOR DIRECTION, CAN I GIVE SOME DIRECTION FOR US TO. >> IT'S A.

>> IT'S A DIRECTION. YEAH. >> YES. >> GO AHEAD. YOU WANT.

>> TO CHECK. ARE WE GOOD. YOU'RE GOOD. OKAY. SO WHEN WE DISCUSSED ROADWAY IMPACT FEES A YEAR AND A HALF AGO. WE DISCUSSED WE WERE AT 20% OF THE OLD MAXIMUM. WE WENT TO 20% OF THE MAXIMUM. ONE OF THE THINGS THAT I REMEMBER WE DISCUSSED AND THAT DURING THAT WORK SESSION WAS A STAIR STEP UP TO THAT FEE. IS THERE ANY PARTICULAR REASON WHY STAFF DID NOT RECOMMEND US STAIR STEPPING UP TO 75% OF THE NEW MAXIMUM HERE? BECAUSE MY UNDERSTANDING IS THAT THE LEGISLATURE JUST PASSED A LAW AND THE GOVERNOR SIGNED IT, SAYING THAT WE CAN NOW ONLY REVIEW IMPACT FEES EVERY THREE YEARS. SO CAN YOU JUST TALK A LITTLE ABOUT THAT, IF YOU DON'T MIND, PLEASE?

>> STEVEN. >> GREAT QUESTION, COUNSELOR MCGEE. WHAT YOU'RE REFERRING TO IS THE ROADWAY IMPACT FEES, WHICH WERE NOT THE WATER AND WASTEWATER IMPACT FEES. THE WATER AND WASTEWATER IMPACT FEES ARE CURRENTLY AT 100% COST RECOVERY. THE DISTINCTION BETWEEN WATER AND WASTEWATER AND THE AND ROADWAYS IS IT COSTS A SIGNIFICANT AMOUNT OF MONEY MORE FOR US TO BUILD A WATER TREATMENT FACILITY, AND TAKES A LOT MORE TIME FOR US TO BUILD THE INFRASTRUCTURE THAT WE NEED TO BUILD BEFORE THE DEVELOPMENT OCCURS. AND SO WE DID CONSIDER IF WE COULD STAIR STEP IT, BUT BASED OFF OF OUR FUNDING AND HOW WE WOULD HAVE TO COVER THE DEBT SERVICES REQUIRED TO BUILD THOSE PROJECTS, WE FELT THAT IT WOULD PLACE AN UNDUE BURDEN ON OUR

[01:25:04]

EXISTING RATEPAYERS. >> I APPRECIATE THAT ANSWER. I AM, I AM SENSITIVE TO THAT, BUT I'M ALSO MINDFUL OF THE FACT THAT. GIVEN THE INCREASING NUMBER OF LAWS COMING DOWN FROM THE STATE LEGISLATURE ALLOWING. ALLOWING DONUT HOLES IN OUR CITY FROM PEOPLE WHO JUST WANT TO OPT OUT FOR WHATEVER REASON, I'M APPLYING THAT TO THIS. I'M CONCERNED THAT JUMPING ALL THE WAY TO THESE FEES IMMEDIATELY, WITHOUT A LITTLE BIT MORE OF A LEAD TIME, WILL ESSENTIALLY GIVE US A BIT OF A MORATORIUM ON BUILDING. IF I'M A DEVELOPER, WHY WOULD I BUILD IN THE CITY OF DENTON WHEN I CAN SIMPLY GO RIGHT OUTSIDE THE CITY OF DENTON AND THE ETJ, WHERE IT'S THE WILD, WILD WEST? I DON'T HAVE TO FOLLOW ANY OF OUR DEVELOPMENT CODE. A LIMITED NUMBER OF THINGS IN OUR DEVELOPMENT CODE AND RULES, AND SO MUCH CHEAPER BECAUSE THEY DON'T HAVE THESE FEES OUTSIDE THE CITY. ERGO, PEOPLE WHO LIVE OUTSIDE THE CITY WILL COME INTO THE CITY, USE ALL OF OUR RESOURCES AND WILL ONLY LEAVE US HALF OF THE TAX DOLLAR, I.E. THE SALES TAX DOLLAR. GO RIGHT BACK OUT TO THEIR HOMES AND THE COUNTY JUST OUTSIDE THE CITY BOUNDARIES AND DROPPED THE OTHER HALF OF THEIR TAX DOLLAR, THE PROPERTY TAX DOLLAR THERE. WHAT I'M TRYING TO DO IS I WANT

TO MAKE SURE PEOPLE LIVE, WORK AND PLAY IN THE CITY. >> GREAT. GREAT COMMENT SIR. I APPRECIATE THAT. I WOULD SAY THAT OUR CERTIFICATE OF CONVENIENCE AND NECESSITY THAT'S ISSUED BY THE PUBLIC UTILITIES COMMISSION OF TEXAS, OBLIGATES US TO PROVIDE SERVICE IN AREAS THAT ARE OUTSIDE OF OUR CORPORATE LIMITS. I WILL ALSO SAY THAT WE ARE AT A TIPPING POINT WITH OUR AVAILABLE CAPACITY, AND IF WE DO NOT HAVE THE FINANCIAL RESOURCES TO BUILD THE INFRASTRUCTURE THAT WE NEED TO SUPPORT THE GROWTH. YOU'RE TALKING ABOUT A FINANCIAL MORATORIUM. THE NEXT STEP WOULD ACTUALLY BE A PHYSICAL MORATORIUM. WHEN I WOULD COME TO YOU AND OR TEXAS COMMISSION ON ENVIRONMENTAL QUALITY WOULD COME IN AND SAY, YOU'VE RUN OUT OF CAPACITY IN YOUR PLANT AND YOU CAN NO LONGER BUILD. AND THAT DOES HAPPEN. AND SO WE I HEAR YOU, I RECOGNIZE THE IMPACT. THAT'S WHY WE TOOK A STEP BACK. WE REEVALUATED IT. WE STEPPED BACK FROM THE 100% COST RECOVERY, WHICH HAS BEEN VERY TRADITIONAL WITHIN THIS ORGANIZATION AND IN MOST UTILITIES. AND WE SAID AS A AS AN ACKNOWLEDGMENT TO THAT IMPACT, WE FEEL WE CAN NAVIGATE THIS, STAY AHEAD OF THE GROWTH AND THE DEVELOPMENT WITH THAT

75% COST RECOVERY. >> I'M OBVIOUSLY SENSITIVE TO YOU ALL NEEDING TO RECOVER 100%

OF THE COST TO BUILD THE INFRASTRUCTURE. >> WELL, IT'S THE RATEPAYERS.

>> THE RATEPAYERS. YES. OF COURSE, I'M I'M ALSO JUST SENSITIVE TO THE FACT THAT THESE COSTS ARE SIMPLY GOING TO BE PASSED ON TO THE WORKING PEOPLE WHO BUY THESE HOMES. IN MY CONVERSATIONS, YOU KNOW, CONFERENCES WITH DEVELOPERS, THEY SAY THAT THE CITY OF DENTON ALREADY HAS AMONG THE HIGHEST IMPACT FEES TOTAL. I'M SORRY, TOTAL FEES IN IN THE STATE.

WE'RE JUST ADDING ON AT WHAT POINT AT SOME POINT WE'VE GOT TO WE'VE GOT TO STRIKE A BALANCE.

>> YEAH. >> I DON'T I DON'T DISAGREE WITH YOU, SIR. AND I CAN'T SPEAK TO THE OTHER FEES. I CAN TELL YOU THAT THE THIS MECHANISM WAS ADVOCATED FOR BY THE DEVELOPMENT COMMUNITY TO PUT IN PLACE THE LOCAL GOVERNMENT CODE 395 TO ENSURE THAT ALL DEVELOPMENT WAS TREATED, CREATED EQUALLY. THIS PROCESS THAT WE FOLLOWED FOLLOWS THAT LOCAL GOVERNMENT CODE STRICTLY AND ENSURES THAT EQUITABLE DISTRIBUTION OF THOSE COSTS. I CAN'T SPEAK TO THE OTHER FEES THAT ARE CHARGED BY THE ORGANIZATION. I CAN TELL YOU THAT BASED OFF OF OUR ANALYSIS, OUR PROJECTIONS, THE NEED FOR INFRASTRUCTURE, THIS IS WHAT WE NEED TO CONTINUE TO STAY AHEAD

OF GROWTH. >> I I'LL, I'LL BE DONE AFTER THIS. BUT OBVIOUSLY I AGREE WITH YOU. BUT FORMER DEPARTMENT DIRECTOR, FORMER ENGINEER ALWAYS REMINDED US TO THINK ABOUT THINGS HOLISTICALLY. SO I CAN ONLY THINK ABOUT WATER WASTEWATER, IMPACT FEES. I HAVE TO THINK ABOUT ALL OF THEM, BECAUSE THIS COUNCIL ESSENTIALLY HAS PURVIEW OVER ALL OF THEM.

SO, MAYOR, IF APPROPRIATE, MIGHT WE HEAR FROM DAVID LEDDY? >> YEAH, I'M GOING TO GET THERE.

YES, I WANTED TO BECAUSE HE GETS ONE SHOT AT IT. SO I WANTED HIM TO HEAR WHAT WE'RE WHAT EVERYONE IS SAYING SO THAT HE CAN DO IT ALL AT ONCE. REPRESENTATIVE FROM DISTRICT ONE.

>> MR. >> I CERTAINLY DO APPRECIATE THIS DISCUSSION. I DO UNDERSTAND THAT WATER IS LIKE GOLD. NOW WE JUST HAVE TO BE VERY MINDFUL OF WHERE WE'RE PUTTING IT, HOW WE'RE USING IT AND CLEANING IT. AND, YOU KNOW, PUTTING THINGS INTO IT. SO THIS IS SOMETHING

[01:30:04]

THAT WE, YOU KNOW, THIS IS A THIS IS A BE READY. SO YOU DON'T HAVE TO GET READY TYPE SITUATION. WE'RE AT 90%. THIS IS WE'VE GOT TO WE'VE IT'S KIND OF LIKE A WE DON'T HAVE A CHOICE TYPE THING. THE IMPACT ON YOU KNOW COMMUNITIES YOU KNOW GROWING COMMUNITIES LIKE OURS.

WE JUST SAW WHERE ALL OF THOSE WATER LINES ARE GOING. THOSE ARE IS SOMETHING THAT I, AS A LAYPERSON, WOULDN'T, COULDN'T HAVE IMAGINED THAT WE HAVE TO STRETCH IT OUT. SO I REALLY APPRECIATE US, YOU KNOW, BEING FORTHRIGHT IN LOOKING INTO THE TO THE FUTURE ON THIS. I WANT TO ALREADY BE READY. SO WHEN IT'S TIME FOR US TO I DON'T WANT TO GET READY. BUT I CERTAINLY DO AGREE WITH I'D LIKE FOR YOU ALL TO CONSIDER AMENDING AND UPDATING ALL OF THIS, AND FOR US TO AGREE WITH IT, I WOULD LIKE I WOULD PREFER TO BE PREPARED AND WHATEVER COST THAT IS, YOU KNOW, LIKE EVERYTHING ELSE IS GOING UP. COST OF EVERYTHING. I DON'T KNOW HOW THIS IS GOING TO IMPACT ME AND MY OWN PERSONAL FUNDING, BUT I DO WANT TO HAVE CLEAN WATER. I WANT TO HAVE ENOUGH WATER. I WANT TO BE ABLE TO TURN THE WATER ON, AND I WANT IT TO BE CLEAN. I WANT IT TO BE, YOU KNOW, AS FRESH AS POSSIBLE. SO THANK YOU ALL FOR BRINGING THAT TO US.

>> OKAY. ANYONE ELSE? JUST LET ME LET ME GET THERE. WELL, FIRST, WHO CAN SPEAK TO HOW LONG IT TAKES TO GET THROUGH THE DEVELOPMENT PROCESS FROM APPLICATION TO FINAL PLAT. ALL RIGHT. AND BASED ON THE WEBSITE THAT THAT ZONING COMPLIANCE THERE'S APPLICATION. THEN THERE'S A PRELIMINARY PLAT ENGINEERING PLANS FINAL PLAT. AND SO WHAT'S THAT TIME FRAME.

>> IT CAN, IT CAN IT CAN VARY GREATLY JUST BASED UPON THE CONDITIONS OF THE SITE. BUT ANYWHERE FROM, YOU KNOW, PROBABLY 3 TO 4 MONTHS FOR A FINAL PLAT OR THE COMPLETE

PROCESS CAN TAKE A YEAR. >> OKAY. HELP ME. SO WHEN I'M LOOKING AT IT AND AGAIN, I'M FLYING BLIND. SO I NEED YOUR HELP. SO THE IT SAYS APPLICATION PROCESS. YOU HAVE 30 DAYS TO DO THAT. AND THEN THERE'S 15 DAYS FOR REVIEW AND 15 DAYS. SO THERE'S A NUMBER OF KIND OF PAUSES IN THERE. SO YOU FACTORED THAT INTO TO THIS 3 TO 4 MONTH TIME FRAME.

>> YES. SO WHAT YOU'RE READING ON THE DAYS IS THAT BY STATE LAW, WE HAVE CERTAIN NUMBER OF DAYS THAT WE MUST REACT. SO TYPICALLY THE DELAYS WE CAN GET THROUGH THE PROCESS QUICKER.

TYPICALLY IT'S THE DELAY ON THE APPLICANT SIDE HAVING TO MAKE CORRECTIONS OR SUBMIT THE PLANS AGAIN. SO WE MAY LOSE 30 DAYS, 60 DAYS, 90 DAYS IN BETWEEN SUBMISSIONS. BUT THE CITY IS

WORKING OFF OF A OFF OF A VERY STRICT CALENDAR. >> GOT IT. OKAY. THANK YOU. AND THEN LET ME GET BACK TO MY NOTES. OKAY, STEVEN. SO I MY I THANK YOU FOR THE ANSWERS TO MY INITIAL QUESTIONS. MY FOLLOW UP QUESTIONS ARE THESE I DID NOT FEEL LIKE THERE WAS A COMPLETE ANSWER PROVIDED OR ENOUGH FOR ME TO TRACK ALONG WITH THE JUMP IN. THE POPULATION.

>> YES, SIR. >> SO CAN YOU HELP ME UNDERSTAND THAT I GET IT OR STEP ME THROUGH IT BECAUSE YOU SAID THERE'S ANOTHER CALCULATION YOU USE, BUT ALL OF IT SEEMS TO TIE BACK TO YOU HAVE TO HAVE A POPULATION NUMBER THAT THEN INFORMS THESE OTHER NUMBERS. AND SO WHILE I TAKE YOUR POINT TO THE OTHER NUMBERS ARE IMPORTANT, BUT DOESN'T IT ALL FEED OFF THE

POPULATION? >> IT KIND OF DOES. POPULATION IS A DRIVER, BUT WITH POPULATION COMES COMMERCIAL AND INDUSTRIAL GROWTH. AND SO WHEN WE DO OUR OUR PROJECTIONS, WE'RE LOOKING AT NOT JUST THE NUMBER OF PEOPLE THAT ARE GOING TO BE HERE. THAT'S WHY WE, WE, WE TAKE A STEP BACK AND WE SAY, YEAH, WE'RE GOING TO GROW BY POPULATION. BUT WE KNOW THAT A SINGLE FAMILY RESIDENCE IS EQUALS THAT 20 GALLONS PER MINUTE ON A METER. AND WE CAN CALCULATE OUT HOW MUCH THAT METER, HOW MUCH WATER IS NEEDED AND THE CAPACITY IS NEEDED TO SERVE THAT, THAT ONE RESIDENT. AND WITHIN THAT RESIDENT IS TYPICALLY 3.25 PEOPLE. RIGHT. WE CAN DO THAT MATH. BUT ALONG WITH THAT COMES COMMERCIAL AND INDUSTRIAL. AND LIKE OUR THE EXAMPLE THAT I GAVE YOU EARLIER ON THAT, THAT TWO INCH METER, THAT TWO INCH METER IS THE EQUIVALENT OF EIGHT SERVICE CONNECTIONS. AND SO THAT WOULD BE EIGHT TIMES THREE. AND SO THAT WOULD INCREASE YOUR POPULATION IF YOU WERE BASING IT STRICTLY OFF OF POPULATION.

THAT'S WHY WE DON'T THE POPULATION IS AN INDICATOR THAT DRIVES THE COMMERCIAL AND

[01:35:04]

INDUSTRIAL DEVELOPMENT THAT LOOKS AT OUR CAPACITY. AND THEN WE CALCULATE OUR NEEDED CAPACITY BASED OFF OF THAT. AND HOPEFULLY THAT ANSWERS YOUR QUESTION. I CAN TELL YOU THAT, YOU KNOW, WHEN YOU ASK THE QUESTION ABOUT THOSE PROJECTIONS, WE WENT BACK AND WE LOOKED AND WE SAID, HEY, YOU KNOW, ON THE 2019 OR THE 2018 IMPACT FEE STUDY, WHAT WAS THE PROJECTION AND WHERE DID WE LAND? AND FOR PERSPECTIVE, IS THAT WAS PROJECTED AT A 2.3 GROWTH RATE ON BOTH WATER AND WASTEWATER. KEEP IN MIND WE'RE IN 2025. WE STILL HAVE THREE YEARS LEFT OF THAT STUDY.

CURRENTLY, WE ARE AT 3.6% ON THE WATER, WHICH IS 57% ABOVE WHAT WE PROJECTED IN 2018 2019. WE'RE 4.1% ABOVE ON THE WASTEWATER, WHICH IS 78% HIGHER THAN WE PROJECTED IN THE 2018 STUDY. AND IN THE MIDST OF ALL THAT, WE HAD A GLOBAL PANDEMIC THAT SLOWED ALL OF OUR GROWTH. SO WHEN WE LOOK AT THE TOTALITY OF ALL THE INFORMATION AND THE DATA, AND WE CAN LOOK BACK HISTORICALLY AND WE CAN LOOK AT COMMUNITIES LIKE GRAPEVINE AND PLANO, AND I HAVE A LIST OF OTHERS THAT THEY WENT THROUGH, GROWTH PERIODS. AND IF YOU LOOK AT FOR A SINGLE DECADE, THEIR AVERAGE ANNUAL GROWTH WAS BETWEEN 25 AND 40% A YEAR IN SOME OF THESE COMMUNITIES. SO IT DOES HAPPEN, AND WE ARE SEEING

THOSE SIGNS OF THAT EXPONENTIAL GROWTH. >> OKAY. YEAH. NO THANK YOU. AND I STILL I'M NOT YOU KNOW THE COST OF EVERYTHING HAS GONE UP. THE INTEREST RATES, ALL THOSE THINGS. RIGHT. IT'S LIKE BUT EITHER WAY I APPRECIATE THAT VERY THOROUGH. THE OTHER THE OTHER THING I HAD IS HELP ME RECONCILE THE OUR CCN. RIGHT. IS THAT RIGHT. YEAH.

>> CERTIFICATE OF CONVENIENCE. >> AND YES. SO, SO OUTSIDE OF THE CITY VERSUS INSIDE THE CITY,

DO WE CHARGE A DIFFERENT IMPACT FEE. >> NO, WE CHARGE THE SAME IMPACT FEE BECAUSE IT'S BASED OFF OF THE INFRASTRUCTURE. BUT IF WE'RE PROVIDING A SERVICE OUTSIDE OF OUR CORPORATE LIMITS FOR OUR WATER AND OUR WASTEWATER, WE CHARGE A HIGHER RATE FOR THE WATER AND WASTEWATER SERVICES. SO THE IMPACT FEE IS BASED OFF OF. AND TO PUT IT IN PERSPECTIVE, AND I HAVE A I HAVE A I'M TRYING TO FIND IT HERE. THERE WAS A GREAT SLIDE. OKAY.

SO WHEN WE LOOK WE LOOK AT OUR CERTIFICATE OF CONVENIENCE AND NECESSITY WHICH EXTENDS OUT INTO OUR ETJ. RIGHT. AND WE LOOKED AT THE AMOUNT OF INFRASTRUCTURE THAT'S GOING TO BE REQUIRED. AND SO THIS WOULD JUST TALK ABOUT THE WATER SIDE OF IT. SO ROUGHLY 13% OF THE ENTIRE CONVEYANCE.

RIGHT. THAT'S NOT THE TREATMENT PLANTS. THAT'S NOT THE PUMPS. THAT'S JUST THE CONVEYANCE.

THAT'S THE PIPES. 13% OF THAT EXISTS OUTSIDE OF OUR OUR CERTIFICATE OF CONVENIENCE AND NECESSITY AND WHICH REPRESENTS ROUGHLY 6% OF THAT TOTAL COST. SO THAT IMPACT FEE THAT'S CHARGED IN THAT AREA REPRESENTS ABOUT 6% OF THE OVERALL COST, IF THAT MAKES SENSE. SO IF YOU SEE IN THE IN THAT WHEN WE GO BACK TO THAT ONE MAP AND WE SHOWED AND I CAN GO BACK TO IT IF YOU'D LIKE TO. BUT IF I GO BACK AND I SHOW AS AN EXAMPLE ON THE WATER SIDE, YOU LOOK AT ONE A, ONE A IS THE BUILT OUT AREA WITHIN OUR CORPORATE LIMITS. AND THAT'S WHERE WE HAVE THE MOST GENEROUS IMPACT FEE, BECAUSE WHY WE HAVE THE INFRASTRUCTURE IS THERE TO SUPPORT IT. I HOPEFULLY THAT

ANSWERED YOUR QUESTION. I DON'T KNOW IF IT DID. >> NO, NO. YEAH THAT'S MY UNDERSTANDING. BUT BUT HERE'S HERE'S FROM A POLICY PERSPECTIVE I UNDERSTAND THE COST OF INFRASTRUCTURE. BUT WE ALSO HAVE TO UNDERSTAND THAT THE PEOPLE IN THE CITY ARE PAYING TAXES.

>> YES, SIR. >> THE PEOPLE OUTSIDE OF THE CITY ARE NOT PAYING TAXES.

>> BUT THEY'RE PAYING FOR THE WATER AT AN ESCALATED RATE THAN THE PEOPLE WITHIN THE CITY.

>> BUT. I'LL TELL YOU, I HAVE A HARD TIME NOT CHARGING THEM MORE.

>> WE CAN HAVE THAT CONVERSATION WHEN WE DISCUSS RATES. >> IF YOU. WELL, NO, NO, NO, I MEAN THE I THINK THEY SHOULD TO LEVEL THE PLAYING FIELD IF, IF IN THE CITY YOU HAVE A 0.59% OR.

NO, IT'S, IT'S MORE THAN THAT BECAUSE DEPENDING ON WHERE YOU ARE IN THE SCHOOL DISTRICT, THE CITY IS DENTON TAXES $0.59, THE COUNTY $0.18. SO LET'S SAY I'M TERRIBLE AT MATH. SO WE'LL JUST SAY 75 BECAUSE THAT'S A GOOD RANDOM NUMBER. SO 75% PER MEGA GIGA. THAT'S MY CATCH ALL FOR

EVERYTHING. >> AND THE MEGA GIGA. >> AND THEN THAT'S A HEAD START YOU HAVE OUTSIDE THE CITY VERSUS INSIDE THE CITY. THEN YOU THEN YOU ADD THE IMPACT FEE, THEN YOU ADD THE OTHER THINGS. BUT THEN SO THAT'S I MEAN, WE'RE NOT GOING TO SOLVE IT TODAY. YOU'RE

[01:40:04]

NOT GOING TO TELL ME, HEY, IT'S OKAY. AND I GET IT, BUT I DON'T I'M GOING TO TELL YOU I'M NOT GOING TO BE SUPPORTIVE UNTIL I UNDERSTAND IT, BECAUSE WE SHOULD LEVEL THAT PLAYING FIELD. AND WE SHOULD ALSO INCENTIVIZE PEOPLE TO BUILD IN THE CITY. WE DON'T WANT TO INCENTIVIZE PEOPLE. I WANT TO TAKE CARE OF PEOPLE OUT THERE. BUT THEN THAT'S MY FOLLOW UP QUESTION TO THAT. ARE WE IS THERE A MANDATE? HARD. NO WAY AROUND IT THAT THEY HAVE TO PAY OUR FEES AND.

>> THEY CONNECT TO THE INFRASTRUCTURE 100%. THEY HAVE TO PAY OUR FEE.

>> SO WHAT. >> HAPPENS IF THEY RECEIVE FOR SERVICE FROM US? THEY HAVE TO PAY IF THEY CHOOSE NOT TO. THEY CHOOSE TO DRILL, POKE A HOLE IN THE GROUND AND PUMP WATER OUT OF IT, AND THEN AND BUILD THEIR OWN WASTEWATER TREATMENT FACILITY, THAT WE WILL PROTEST BECAUSE IT'S GOING TO IMPACT OUR WATERSHED. THEY DON'T HAVE TO PAY THOSE FEES. ABSOLUTELY.

YOU'RE ABSOLUTELY RIGHT. BUT WHAT I CAN TELL YOU ABOUT THE IMPACT FEE STUDY, WHICH IS GOVERNED BY THE LOCAL GOVERNMENT CODE, IT IS VERY PRESCRIPTIVE ON HOW WE CONDUCT THE STUDY, AND IT ALLOWS US TO LOOK INTO OUR EXTRATERRITORIAL JURISDICTION TO ASSESS THAT. AGAIN, THE DEVELOPMENT COMMUNITY, WHEN THEY PETITIONED FOR. SO THEY WANTED ALL DEVELOPERS TO BE TREATED EQUALLY WITH REGARDS TO THE IMPACT FEES. AND THAT'S THAT'S THE PROCESS THAT WE FOLLOWED.

I'M NOT DISAGREEING WITH YOUR YOUR YOUR POSITION. I CAN TELL YOU THAT THE LOCAL GOVERNMENT CODE DOESN'T ALLOW US AT THIS POINT TO DO ANYTHING DIFFERENTLY THAN WHAT WE'VE DONE. THAT'S OUR

UNDERSTANDING. >> SO BUT YOU CAN HAVE A ZONE. >> WE HAVE WE HAVE SERVICE

AREAS. >> YES. SERVICE AREAS BASED ON WHAT'S THE CRITERIA TO ESTABLISH

A SERVICE AREA. >> WE IDENTIFY THE AMOUNT OF INFRASTRUCTURE. SO LIKE WHEN I GO OVER TO THE WASTEWATER SERVICE AREA, WE LOOKED AT IT AND WE SAID, HEY, IT MAKES A LOT OF SENSE. WE'RE RUNNING OUT OF CAPACITY AT ONE LOCATION. WE CAN WE CAN EXPAND, WE CAN CREATE OR HELP GROWTH WITHIN, SAY, THE CLEAR CREEK BASIN BY ADDING THIS INFRASTRUCTURE UP HERE. AND SO WHEN WE DO THE STUDY, IT LOOKS SPECIFICALLY AT THAT AREA AND SAYS, HEY, IF I'M GOING TO BUILD A TREATMENT FACILITY, IF I'M GOING TO BUILD A CONVEYANCE SYSTEM, I'M GOING TO BUILD ALL THAT. THAT'S ALL THE INFRASTRUCTURE I NEED TO SERVE. THIS IS HOW MUCH IT COSTS. AND THEN I DO THE MATH AND IT COMES UP FOR THE IMPACT FEE FOR THAT AREA.

>> SO CAN YOU NOT CREATE A SERVICE AREA FOR THE ETJ? >> I WOULD HAVE TO GET BACK TO

YOU ON THAT. I CAN'T ANSWER THAT QUESTION RIGHT NOW. >> YEAH, I'D LIKE TO HAVE THAT ANSWER BECAUSE AND THAT'S WHY WE ARE PUTTING OUR WE ARE TAXPAYER AS OUR FOCUS. I GET IT THAT WE WANT TO BE A GOOD CITIZEN, BUT THE TAXPAYER DOESN'T HAVE A CHOICE. LIKE THEY CAN'T JUST GO DRILL A HOLE IN THE GROUND. THEY COULD. BUT BUT THAT'D BE VERY BAD.

>> BAD FOR US. >> SO THEY DON'T HAVE THAT OPTION.

>> YEAH. >> AND OUT THERE WE'RE PUTTING IN INFRASTRUCTURE THAT MAY OR MAY NOT BE UTILIZED, BUT WE'RE CHARGING THE PEOPLE IN THE CORE OF THE CITY AS THOUGH IT IS GOING TO BE. I JUST SO I'LL GET OFF OF THAT. SORRY, I JUST I DON'T WANT ADVANTAGE TO PEOPLE

OUTSIDE OF THE CITY IN NO WAY. >> WELL AND. >> NOT NOT, NOT NOT $0.59, NOT $0.02, NOT $0.01. IF YOU'RE IN THE ETJ, YOU'RE THERE FOR A PURPOSE AND YOU HAVE FREEDOM.

AND FREEDOM CAN ALSO LOOK LIKE INCONVENIENCE. IF YOU'RE IN THE CITY, YOU HAVE REGULATIONS, YOU HAVE BUREAUCRACY, YOU HAVE THINGS MOVING VERY SLOW, BUT YOU ALSO HAVE A GREAT LIBRARY AND A

COOL GROCERY STORE. >> YOU KNOW, A COUPLE OF THEM. YEAH.

>> WELL, AND I CAN TELL YOU THAT AND I YOUR POINT IS WELL TAKEN. I UNDERSTAND WHERE YOU'RE COMING FROM, SIR. AND IT'S DIFFICULT TO DECOUPLE THE FACT THE ETJ VERSUS OUR CERTIFICATE OF CONVENIENCE AND NECESSITY. THERE'S AN OBLIGATION THAT THIS UTILITY ASSUMED OR THIS ORGANIZATION ASSUMED WHEN IT PETITIONED THE TC AND SAYS, WE WANT TO HAVE OUR OUR CCN COVER THIS AREA. SO NOW THEREFORE, WE HAVE AN OBLIGATION TO PROVIDE SERVICES WITHIN THAT AREA WHICH HAPPENS TO EXTEND INTO THE ETJ. I UNDERSTAND YOUR POINT ON THE ON THE COST. AND I HEARD YOU LOUD AND CLEAR, SIR.

>> YEAH. AND THEN LASTLY, SO I'M GONNA GET OUT OF THE WAY BUT A COUPLE OF THINGS. SO I THANK YOU FOR THE REPORT THAT SAID, IF THE FUNDS AREN'T USED IN TEN YEARS, WE REFUND THOSE. BUT DO WE DO WE

DO THEY GET INTEREST ON THE MONEY WE'VE HELD FOR TEN YEARS? >> THERE'S A PROCESS IN THE LOCAL GOVERNMENT CODE 395 THAT COVERS THE ENTIRE REFUNDING, AND I WOULD HAVE TO RESEARCH THAT TO GET THAT ANSWER TO YOU. ASK IF WE ACCRUE INTEREST, WHICH WE ANSWERED THAT QUESTION. BUT THIS

IS A LITTLE NUANCE THAT I WASN'T AWARE OF. >> SO NO WORRIES. SO IF YOU

COULD PLEASE. >> YES, SIR. AND YEAH, I DIDN'T ASK. AND FULL DISCLOSURE FOR EVERYONE, I DIDN'T ASK IT TIMELY. SO IT MAKES SENSE THAT YOU DON'T HAVE IT. THAT'S NO PROBLEM. AND THEN THE LAST THING IS THE OBVIOUSLY THE WINDOW BY WHICH WE'RE SUPPOSED TO GET THINGS DONE. WE'RE PLANNING FIVE YEARS. I WANT TO KNOW, IS IT THE PURVIEW, CAN THIS COUNCIL SAY, MAKE THAT DECISION ON WHAT'S INCLUDED IN THE NEXT FIVE YEAR FISCAL, NEXT FIVE YEAR FEE

[01:45:06]

STUDY? SO IF WE SAY EXCLUDE IT, IT'S NOT GOING TO HAPPEN BECAUSE BOTH PLANTS ARE GOING TO BE BUILT AND THE MONEY IS GOING TO BE SPENT. BUT IF IT'S NOT, CAN WE MAKE THAT DECISION AS WE THE, THE WHOEVER'S IN COUNCIL AT THE TIME TO SAY EXCLUDE THAT PLANT IN THE NEXT FIVE YEAR PLAN? LIKE CAN YOU SAY NO, WE DON'T WANT THAT INCLUDED IN THE CALCULATION.

>> I THINK THAT THAT I'M GOING TO LOOK AT MACK FOR ADVICE FROM A LEGAL PERSPECTIVE OF WHETHER OR NOT I MEAN, WE CAN IN THE IMPACT FEE STUDY, WE CAN BRING, JUST LIKE SO WHAT WE DO IS THIS, THESE IMPACT FEES, THESE THIS INFRASTRUCTURE IS ACTUALLY THE MASTER PLANS THAT THIS BODY HAS APPROVED. SO CITY COUNCIL HAS APPROVED THE INFRASTRUCTURE THAT MAKES ITS WAY INTO THE IMPACT FEE STUDY. AND THOSE PROJECTS ARE LISTED. SO I THINK BY VIRTUE OF THAT AND MAYBE REFINING IT, WE MAY BE ABLE TO, BUT I DON'T WANT TO MISSPEAK TO SAY WHETHER, YOU KNOW, DEFINITIVE. YES SIR OR

NO, SIR. >> YEAH. NO. AND I'LL EMAIL YOU. I DON'T WANT I DON'T WANT YOU TO HAVE TO ANSWER IT FROM HERE. I'LL EMAIL YOU THE QUESTION, BUT SUCCINCTLY PUT. SO FOR THOSE TRACKING ALONG MY ISSUE IS IF I, IF WE TELL SOMEONE WE'RE GOING TO GET SOMETHING DONE IN FIVE YEARS AND WE'RE CHARGING YOU ACCORDINGLY AND LIFE HAPPENS, I'M NOT SAYING IT COULD BE OUT OF OUR CONTROL, BUT LIFE HAPPENS AND WE'RE UNABLE TO FINISH. IN THAT FIVE YEARS WE HAVE COLLECTED THAT MONEY. I THINK WE SHOULD THEN ADJUST THAT NEXT FIVE YEARS TO SAY, HEY, THAT'S ON US, AND WE'RE NOT GOING. TO REQUEST THAT MONEY AGAIN, OR WE'RE NOT GOING TO GO DOWN THE

ROAD, WE'RE GOING TO MOVE FORWARD. >> YEAH. WELL, SIR, JUST REAL QUICK. WE DON'T COLLECT MONEY UNTIL THE PERMIT IS ISSUED. SO WE DON'T WE ASSESS THE FEE. WE SAY THIS IS WHAT IT'S GOING TO COST YOU. WE DON'T COLLECT A DIME FROM THE DEVELOPER UNTIL

THEY WALK IN TO SAY, I'M CONNECTING TO THIS PIPE. >> WELL, LET ME MAYBE I WAS UNCLEAR. LET ME BACK OUT. LET ME, LET ME LET ME TAKE A BROADER VIEW.

>> RIGHT. >> I TAKE ISSUE IF WITH US SAYING WE'RE GOING TO DO SOMETHING THAT WE KNOW WE CAN'T DO OR, YOU KNOW, OR NOT, FACTOR IN THE RIGHT CONTINGENCIES, THAT'S SO WHEN WE'RE BUILDING SOMETHING, WE SAY WE HAVE TO BAKE IN THESE CONTINGENCIES, JUST IN CASE LIFE HAPPENS ALONG THE WAY TO GIVE US TIME. I WANT US TO DO THE SAME HERE. I DON'T WANT US TO REPRESENT ANYTHING THAT WE HADN'T DOUBLE, TRIPLE, QUADRUPLE CHECKED. AND I'M SAYING TO THE PEOPLE I TALK TO, PINKY SWEAR, WE'RE GOING TO GET THESE TWO DONE IN FIVE YEARS.

AND IF WE DON'T, I'M GOING TO I WANT TO BE HAVE AN ABUNDANTLY CLEAR RECORD THAT I SAID, HEY, I DON'T KNOW IF WE CAN GET THESE DONE IN FIVE YEARS. AND SO WHAT WE'RE TELLING PEOPLE WE'RE GOING TO DO, WE NEED TO DO IRRESPECTIVE OF WHEN WE CHARGE THE FEES. I'M MORE FOCUSED ON OUR WORD. OUR WORD IS BOND. AND IF WE SAY WE'RE GOING TO DO IT, WE'RE GOING TO DO IT COME HELL OR HIGH WATER. AND SO IF THAT'S NOT THE CASE, THEN WE HAVE TO OWN UP TO THAT, THAT NEXT PHASE AND SAY, HEY, WE'RE NOT GOING TO DOUBLE DIP. WE THE INTEREST RATES WENT THROUGH THE ROOF OUTSIDE OF A FORCE MAJEURE. THEN WE'RE JUST WE HAVE TO MOVE ON. WITHOUT THAT, WE HAVE THE MONEY.

WE'LL MAKE IT WORK. 100% SO THAT THAT'S THAT'S NOT MY I'M NOT SELLING THAT THAT TO YOU. THAT'S MY WORLDVIEW. AND SO IRRESPECTIVE OF WHEN WE COLLECT IT, I EXPECT US TO DO THOSE CALCULATIONS, KNOW THOSE THINGS, HAVE THOSE CONTINGENCIES IN PLACE. AND ABSENT ANYTHING

REALLY, REALLY WEIRD, HIT THOSE TARGETS. >> UNDERSTOOD.

>> YEAH. REPRESENTATIVE DISTRICT FOUR. >> THANK YOU. I WAS GOING TO ASK THIS QUESTION A MINUTE AGO, AND I DECIDED NOT TO. AND I'VE DECIDED TO ASK IT AGAIN. SLIDE SLIDE 15. AT SOME POINT PRIOR TO JUNE. THE DECISION WAS MADE TO CHARGE IMPACT FEES AT 100%.

>> YES, SIR. >> AND THEN ON JUNE 25TH, THE CAPITAL IMPROVEMENT ADVISORY

COMMITTEE VOTED SIX TO NOTHING TO REDUCE THAT TO 75. >> NO, SIR. NO, THE CAPITAL IMPROVEMENT ADVISORY COMMITTEE SUPPORTED STAFF'S RECOMMENDATION, WHICH WAS 100% COST RECOVERY AT THE TIME. ON JULY 1ST, AFTER WE MET WITH THE CAPITAL IMPROVEMENT ADVISORY COMMITTEE, WE MET WITH THE DEVELOPMENT COMMUNITY AND WE ADJUSTED OUR RECOMMENDATION TO

THE 75%. >> OKAY, OKAY, SO MY QUESTION IS, WHY WAS 25? WHY WAS THE 25%

REDUCTION CHOSEN? WHY NOT 15? WHY NOT 35%? >> WE DID. SINCE WE DID THE MATH, WE LOOKED AT THE DEBT SERVICES. WE LOOKED AT WHAT WE WOULD WE COULD EXPECT TO RECOVER THROUGH THE IMPACT FEE. WE LOOKED AT THE GROWTH PROJECTIONS. WE DID A LOT OF ANALYSIS AND DETERMINED THAT BY THAT 25% REDUCTION, WE COULD ENSURE THAT GENERATIONAL EQUITY

[01:50:02]

THAT THE THAT THE INDIVIDUALS COMING IN THE FUTURE, THE FUTURE SALE OF WATER WILL COVER OUR DEBT SERVICES AND THAT WE COULD WITHSTAND THAT 25% REDUCTION TO ACKNOWLEDGE THE PRESSURE THAT IT

WAS PUTTING ON THE DEVELOPMENT COMMUNITY. WE HEARD THEM. >> OKAY. SO IS THE REDUCTION MORE OF A REACTION TO THE DEVELOPMENT COMMUNITY OR TO A TO A REAL NUMBER?

>> TO REAL NUMBER? WE ACTUALLY DID THE MATH ON IT. WE RAN DIFFERENT MULTIPLE SCENARIOS TO DETERMINE WHAT WE COULD WITHSTAND. SO THROUGH OUR PROFORMA WE WORKED WITH OUR FINANCE TEAM SAY, WELL HEY, IF WE HAD THIS TYPE OF COLLECTION, IF WE REDUCED IT BY THIS, COULD WE DO IT? IF WE HAD THIS, THIS NUMBER, THIS NUMBER, AND WE AND WE CAME UP TO THAT 25% WAS

PALATABLE. >> OKAY. ALL RIGHT. THANK YOU. THANK YOU MAYOR.

>> YES. ANY OTHER QUESTIONS FOR STAFF? THANK YOU STEPHEN. VERY VERY WELL DONE. WE HAVE DAVID

LADY. IF YOU CAN GIVE YOUR NAME, YOU'LL HAVE FOUR MINUTES. >> YES, SIR.

>> MAYOR, MEMBERS OF THE COUNCIL, I'M DAVID, LADY, DIRECTOR OF GOVERNMENT AFFAIRS FOR THE DALLAS BUILDERS ASSOCIATION. WE APPRECIATE THE RESIDENTIAL DEVELOPMENT CONSTRUCTION COMMUNITY HERE IN THE DALLAS FORT WORTH REGION TEN COUNTY REGION. OBVIOUSLY, DENTON IS ONE OF OUR FLAGSHIP CITIES. YOU HAVE RECEIVED A LETTER FROM ME PRIOR TO YOUR LAST WORK SESSION ON THIS ITEM. BUT IN SHORT, DALLAS IS CONCERNED ABOUT THE IMPACT ON HOUSING AFFORDABILITY, MAINLY THE POSSIBLE PRICING OUT OF FAMILIES TO MOVE INTO DENTON AND HOUSING ATTAINABILITY, THE REDUCTION OF THE NUMBER OF HOMES THAT MAY BE BUILT THAT COULD RESULT FROM THE WATER AND WASTEWATER IMPACT FEES THAT HAVE BEEN PROVIDED TO YOU IN THE STUDY AND IN THE STAFF PRESENTATIONS. IT IS IMPORTANT TO REMIND YOU AGAIN THAT ANY INCREASE IN THE COST WILL ULTIMATELY BE PASSED ON TO THE HOME BUYER AND THE PROPOSED IMPACT FEES THAT THAT ARE STARTED STATED IN THE STUDY ARE STILL STARTLING WHEN COMPARED TO NEARBY CITIES. IT'S ALSO IMPORTANT TO REMIND YOU THAT WHEN YOU HEAR THE CONVERSATION WELL, IT FALLS ON THE BURDEN OF THE FUTURE RATEPAYERS. THESE INDIVIDUALS THAT WILL BE FACING THE ASSESSMENT OF THESE IMPACT FEES ARE ALSO YOUR FUTURE RATEPAYERS. IT IS IMPORTANT TO NOTE THAT THE AMOUNT PAID BY THE HOME BUYER WILL BE HIGHER THAN WHAT IS LISTED BY YOU IN THE STUDY THAT IS ASSESSED DUE TO THE COST TO FINANCE THE DIFFERENCE IN THE FEE AND THEN ALSO ROLLED INTO THE MORTGAGE.

SO IN SHORT, AT EVEN AT 75% OF THE MAXIMUM, WHEN COMBINED WITH THE ROADWAY IMPACT FEES THAT ARE ALREADY DONE IN THE PAST TWO YEARS, IT WOULD ADD NEARLY $180 TO THE MONTHLY MORTGAGE PAYMENT, REGARDLESS OF THE SALES PRICE OF THE HOME AT 100%. WHEN YOU ROLL OUT SIX MONTHS OR 30 OR 30 YEARS OF THE MORTGAGE, LIKE AT 100%, THAT COMES OUT TO MORE THAN $84,000, AT 75% AT 30 YEARS.

THAT COMES OUT TO MORE THAN $64,000 THAT WILL BE ROLLED INTO THE FINANCING, AND THAT'S WHAT'S PAID FOR BY THE HOME BUYER AND THE FUTURE HOME BUYERS AND RESALE HOME. THE INCREASE IN THE CONSTRUCTION COSTS RESULTING FROM THE IMPACT FEES WILL RESULT IN LESS AFFORDABLE HOUSING BECAUSE OF TWO FACTORS ONE. IF THEY CANNOT PENCIL IN THE PROJECT NUMBERS TO MAKE IT WORK, THEY WILL BUILD LESS HOMES AND THEN THAT'S LESS SUPPLY AND THAT'S INCREASED DEMAND. OR TO MAKE IT PENCIL IN, IF THEY CAN FIND A WAY TO DO IT, THEY HAVE TO INCREASE THE PRICE OF THE HOMES. YOU HAD RECEIVED A LETTER FROM US BEFORE, AND WE ADVISE THAT YOU CONSIDER IMPLEMENTING THESE AT 50% OF THE MAXIMUM RATE YOU HAD MENTIONED EARLIER, THE IDEA OF PHASING IT IN. I THINK THAT WOULD BE GOOD TO YOU COULD START PHASING IN AT 50%, MOVE UP AND SEE WHERE YOU GO FROM THERE.

I THINK IT IS IMPORTANT TO REMIND YOU THAT STATE LAW DOES GO INTO EFFECT ON SEPTEMBER 1ST, AND NO MATTER WHAT YOU DO HERE, THE NEXT TIME YOU ADDRESS THESE FEES, THERE WILL BE AN AUDIT STRUCTURE THAT'S REQUIRED BY LAW. SO ANY PROJECT THAT HAS NOT BEEN DELIVERED, SOMEONE CAN MAKE THE CLAIM, HEY, THIS CAME IN AND THIS WASN'T DELIVERED AND I GET IT. HEY WE DON'T WE DON'T PULL THE FEE UNTIL YOU DO THE PERMIT. YOU KNOW, WE DON'T PULL UNTIL IT'S ASSESSED. IT DOESN'T MATTER YOUR OVERALL RATE THAT YOU'RE BASING THIS ON IS BASED ON THE CAPITAL IMPROVEMENT LIST YOU HAVE. IF YOU DON'T FEEL YOU CAN GET ALL THOSE PROJECTS COMPLETED IN TIME, THEN YOU SHOULD ALSO CONSIDER LOWERING THE RATE ON THAT TOO. IF YOU GET THEM ALL DONE. KUDOS TO YOU. I WILL TELL YOU THAT IS A RARE EXCEPTION. FROM WHAT I SEE, I DON'T OFTEN SEE IT. WHENEVER THAT ROLLS INTO THE NEXT STUDY, IT RAISES QUESTIONS. I DO, I DO, I KNOW HEARD SOMETHING EARLIER ABOUT THE TEN MINUTE OR THE TEN YEAR REFUND POLICY. IF A PROJECT IS NOT DONE, I WOULD INVITE YOU TO GO INSIDE OF CHAPTER 395. THERE ARE OTHER OPTIONS WHERE THEY CAN ASK FOR A REFUND IN A CLOSER TIME FRAME. AND IN REGARDS TO CHAPTER 395, IT WAS STATED HEY, THIS IS A DEVELOPMENT COMMUNITY THAT WANTED THE CHAPTER. WE DIDN'T NECESSARILY WANT IMPACT FEES OR YOU WOULDN'T SEE US UP HERE COMPLAINING ABOUT THEM. OFTEN A CONCERN ABOUT THE IMPACT OF PRICE. OUR INVOLVEMENT IN CHAPTER 395 WAS TO FIND SOME SAFEGUARDS AND PROTECT THE DEVELOPMENT COMMUNITY AND THE

[01:55:04]

HOME BUYERS WHO END UP PAYING THE PRICE. I STAND FOR ANY QUESTIONS YOU MAY HAVE TO OFFER.

>> OKAY. ANY QUESTIONS? SEEING NONE, REPRESENTATIVE DISTRICT FIVE. JUST ONE SECOND.

>> MY APOLOGIES. I DIDN'T KNOW WE WERE GOING TO GET TO ASK SOME QUESTIONS. YOU JUST TALKED ABOUT

AN AUDIT PROCESS THAT'S COMING IN STATE LAW? >> YES, SIR.

>> I'VE NOT HEARD ABOUT THAT. ARE YOU KNOWLEDGEABLE ENOUGH TO KIND OF JUST EXPLAIN THAT?

>> BARELY. THEY'LL LIST. I DON'T HAVE IT IN FRONT OF ME. I WOULD PROBABLY ADVISE YOU TO LOOK AT

WITH YOUR. >> JUST GENERAL COUNSEL. >> I THINK I WANT I THINK THEY LOOK AT HOW THE FUNDS ARE EXPENDED, HOW THEY WERE HELD, AND HOW THE PROJECTS ARE DONE.

JUST KIND OF A ROUGH, ROUGH VERSION OF IT. SO THEY'RE GOING TO BE LOOKING AT HOW THE FUNDS WERE HELD, WHAT WAS ASSESSED, BASICALLY WHAT CAME OUT OF THE ACCOUNTS OVER A CERTAIN NUMBER

OF TIME. >> ALL RIGHT. OKAY. >> THANKS.

>> OKAY. >> THANK YOU. >> VERY MUCH.

>> APPRECIATE IT. ONE OTHER CARD, AMY. AND THIS IS A PUBLIC HEARING. IF YOU CARE TO SPEAK, YOU CAN FILL OUT A CARD AND THEN. YOU CAN SPEAK WHILE IT'S OPEN.

>> GOOD EVENING, MAYOR AND COUNCIL MEMBERS. >> 109 NORTH ELM, DENTON 76201 I'M AMY BISSETT, AND I JUST WANT TO COME UP AND SAY BRIEFLY, AS YOU ALL KNOW, I, I HAVE REPRESENTED A NUMBER OF DEVELOPMENT PROJECTS, QUITE FRANKLY, HUNDREDS OVER THE LAST NINE YEARS HERE IN DENTON. I'M NOT STANDING UP HERE SAYING THAT I AM OPPOSED TO IMPACT FEE INCREASES. I CAN TELL YOU THAT WE NEED NEW WASTEWATER INFRASTRUCTURE TO COME ONLINE IN THE NEAR FUTURE. I AM SEEING ECONOMIC DEVELOPMENT PROJECTS GO AWAY BECAUSE THERE'S NOT SEWER CAPACITY TODAY. SO I WANT TO START BY SAYING THAT. HAVING SAID THAT, I THINK THAT IT'S VERY IMPORTANT FOR YOU TO CONSIDER THE TIME FRAME WITH WITHIN WHICH THIS BECOMES EFFECTIVE. I WANT TO MAKE CLEAR FROM MY STANDPOINT WHAT WHAT THAT PROCESS LOOKS LIKE FROM THE TIME THAT A DEVELOPER SUBMITS THEIR FIRST FORMAL APPLICATION, WHICH IS EITHER A ZONING CHANGE OR A ZONING COMPLIANCE PLAN, TYPICALLY, IF IT INVOLVES A ZONING CHANGE, YOU'RE LOOKING AT 12 TO 18 MONTHS MINIMUM TO GET TO A FINAL PLAT BEING FILED. THE FINAL PLAT FILING IS THE VERY LAST STEP IN THE PROCESS. BEFORE A BUILDING PERMIT IS ISSUED, YOU GO THROUGH ZONING. LET'S SKIP ZONING FOR A SECOND. YOU GO THROUGH ZONING COMPLIANCE PLAN, WHICH IS 2 TO 3 MONTHS, AND THEN YOU GO THROUGH CIVIL ENGINEERING PLANS, WHICH IS ANOTHER 3 TO 4 MONTHS. AND THEN YOU GO THROUGH FINAL PLAT, WHICH IS ANOTHER 2 TO 3 MONTHS. AND THAT'S RELATIVELY AGGRESSIVE. THE QUICKEST THAT I'VE PERSONALLY SEEN IT DONE IS ABOUT EIGHT MONTHS FROM START TO FINISH, AND THAT WAS ON AN AGGRESSIVE TIMELINE. I SHARE ALL OF THAT. JUST TO ASK YOU TO CONSIDER, I THINK, THE EFFECTIVE DATE AND WHAT GRANDFATHERS YOU IN UNDER THE CURRENT IMPACT FEES IS ONE OF THE MOST IMPORTANT CONSIDERATIONS THAT YOU HAVE TONIGHT, ESPECIALLY CONSIDERING WE HAVEN'T SEEN EXACTLY HOW THAT'S GOING TO BE APPLIED YET. THERE WAS THERE WAS NOT A DRAFT ORDINANCE IN THE BACKUP FOR TONIGHT'S HEARING. SO WE DON'T KNOW EXACTLY WHAT'S BEING PROPOSED AS WHAT WILL TRIGGER THAT. I WOULD SUGGEST HAVING A GOOD LOOK AT THAT TO DETERMINE, OKAY, WE HAVE PROJECTS THAT ARE IN THE PIPELINE. YOU'RE GOING TO HEAR AN ALTERNATIVE ESSA PLAN NEXT MONTH. THERE THERE ONE OF MY PROJECTS, THERE ARE ABOUT HALF $1 MILLION IN. AND AFTER THAT ESSA PLAN IS APPROVED. THEN WE START THE ZONING COMPLIANCE PLAN PROCESS. SO THERE'S NO WAY THAT THEY CAN MAKE IT THROUGH FINAL PLAT BY THE END OF THE YEAR. I WOULD SAY APRIL 1ST, JUNE 1ST, I WOULD JUST REALLY TAKE A LOOK AT THE PROJECTS THAT ARE IN THE PIPELINE WHERE MONEY HAS ALREADY BEEN SPENT AND PLANS HAVE ALREADY BEEN DEVELOPED, AND ALLOW THOSE DEVELOPERS AN OPPORTUNITY TO MAKE IT THROUGH THE PROCESS BEFORE THE NEW EFFECTIVE DATE. THEY HAVE BUILT THEIR THEIR THE PROJECT BUDGETS AND THEIR FINANCING AROUND THE FEES AS THEY ARE TODAY. AND THESE PROJECTS WILL BE DETRIMENTALLY AFFECTED IF NOT STOPPED IN THEIR TRACKS. IF THE EFFECTIVE DATE IS TOO EARLY. SO I WOULD JUST ASK TO COUNCIL MEMBER JESTER'S QUESTION EARLIER, LIKE WHAT IS THE REAL TIMELINE TO HAVE SOMETHING BECOME EFFECTIVE? OR IS THERE A TRIGGER, DATE OR TRIGGER ACTIVITY THAT THAT GRANDFATHERS YOU IN, SUCH AS AN APPROVAL OF A ZONING COMPLIANCE PLAN OR ANOTHER PROJECT TYPE THAT ALLOWS YOU TO FINISH THE PROCESS WITHIN

A CERTAIN AMOUNT OF TIME UNDER THE EXISTING FEES? >> THANK YOU.

>> OKAY. THANK YOU VERY MUCH. THIS IS A PUBLIC MAYOR PRO TEM. DO YOU HAVE A QUESTION FOR.

>> SORRY, AMY. AMY, I WAS A LITTLE SLOW. YEAH. THANKS FOR TALKING TO US. THAT WAS SOMETHING I'VE BEEN WONDERING TOO, IS, YOU KNOW, IF SOMEBODY HAS, YOU KNOW, ALREADY DONE THE MATH ON A POTENTIAL PROJECT AND THEY'VE JUST NOW STARTED IT. CAN THEY GET TO PLAT PRIOR TO THIS

[02:00:01]

GOING INTO EFFECT? AND SO WHAT I'M HEARING, DID YOU SAY SOMETHING LIKE MARCH, APRIL ISH

FOR SOMEBODY? LET'S SAY THAT JUST STARTED THE ENTIRE PROCESS. >> I WOULD SAY FOR SOMEBODY WHO'S STARTED A PROCESS AT ZONING, THAT IS NOT GOING TO BE ENOUGH TIME. I WOULD SAY FROM THE DATE THAT YOU ADOPT, IF YOU ADOPT IN TWO WEEKS, YOU I WOULD SAY YOU NEED A MINIMUM OF EIGHT MONTHS TO TRULY ALLOW PROJECTS THAT ARE ALREADY IN THE PIPELINE, THOSE THAT ARE IN THE MIDST OF A ZONING CASE TODAY WOULD EVEN NEED A LITTLE BIT LONGER THAN THAT.

>> OKAY, SO LIKE EIGHT MONTHS ISH, MINIMUM. >> 8 TO 12. YES. YEAH. THANK

YOU, THANK YOU. >> ALL RIGHT. THANK YOU VERY MUCH. APPRECIATE IT. THIS IS A PUBLIC HEARING. IF ANYONE CARES TO SPEAK YOU CAN COME DOWN, FILL OUT A CARD. SEEING NONE, I'LL CLOSE THE PUBLIC HEARING. REPRESENTATIVE FROM DISTRICT FIVE.

>> QUESTION FOR STAFF EITHER. STEVEN'S GOT EITHER ONE. EITHER ONE OF YOU. WHO DREW THE SHORT

STRAW? >> HE PROBABLY. HE PROBABLY KNOWS THE ANSWER. I'M GOING TO END UP TURNING AROUND TO HIM ANYWAY. STEVEN GAY, GENERAL MANAGER, WATER UTILITIES.

>> SO SINCE WE'RE POSTED FOR DIRECTION, I'LL BE TRANSPARENT. AND I, I APPRECIATE DAVID. HE KIND OF WENT RIGHT TO WHERE I WAS GOING. GIVEN THAT WE CANNOT REVIEW THESE EXCEPT BUT EVERY THREE YEARS NOW, I WAS THINKING IN ORDER TO MAKE SURE THAT WE ACTUALLY RECEIVE THE DEVELOPMENT THAT WE ARE ANTICIPATING, THAT WE START AT 50 AND STAIR STEP UP. I'M TALKING HARD DOLLARS, NOT NECESSARILY PERCENTAGE. I'M I'M FLEXIBLE ON THAT. BUT HAVING SAID THAT, I ALSO TAKE AMY'S COMMENT TO HEART ABOUT MAYBE NEEDING TO DELAY THE EFFECTIVE DATE. CAN YOU JUST KIND OF GENERALLY SPEAKING, JUST COMMENT ON BOTH OF THOSE? WHAT DOES IT DO TO IN TERMS OF NUMBERS TO YOUR PLANS TO ANTICIPATE FOR GROWTH, NEEDING TO BUILD INFRASTRUCTURE? IF WE WERE TO DELAY A START DATE BY 4 OR 5 SIX MONTHS, AS AMY SUGGESTED, OR IF WE WERE TO START AT MAYBE 50% OF THE NEW MAXIMUM AND STAIR STEP UP FOR A COUPLE OF YEARS. AND THAT THIRD YEAR, ANTICIPATING WE WOULD BE AT THAT 75% FOR RECOVERY AND THEN LETTING THE NEXT COUNCIL THEN TAKE THE BALL FROM THERE AND RUN, CAN YOU JUST KIND OF TALK THROUGH THOSE THINGS AND HOW.

>> THEY WOULD AFFECT ANSWER THE SECOND QUESTION MORE EASILY THAN THE FIRST QUESTION, BECAUSE WE HAVEN'T LOOKED AT THAT IMPACT. SO WE WOULD HAVE TO DO AN ANALYSIS. I DON'T FORESEE ANY CHALLENGES IF THE TIMELINE IS FOR ADOPTION OR IMPLEMENTATION IS EXTENDED SLIGHTLY. I DON'T FORESEE THAT, BUT I'D HAVE TO LOOK AT IT. WITH REGARDS TO YOUR SECOND. WE LOOKED AT THE STEP UP AND IT DOESN'T IT DOESN'T WORK MATHEMATICALLY FOR US WITH REGARDS TO THE RECOVERY. AND I WILL SAY THAT WITH THE NEW LEGISLATION, YOU WOULD HAVE TO ADOPT, THIS BODY WOULD HAVE TO ADOPT THE IMPACT FEES AT THE MAXIMUM RECOVERABLE RATE OR AT A RATE, AND THEN WE CAN ADJUST THEM THEM UP. I THINK THAT'S A CAVEAT. IN THE NEW STATE LEGISLATION. SO YOU CAN'T ADOPT IT AT 50% AND SAY THAT I'M GOING TO STEP IT UP NEXT YEAR AT 50%. YOU HAVE TO ADOPT IT AT 100% AND SAY, THIS IS MY IMPLEMENTATION SCHEDULE. BUT WE READ THAT IN THE LEGISLATION. WE EVALUATED WHETHER OR NOT WE COULD WE COULD DO THAT EASILY AND STILL DELIVER OUR PROJECTS. AND THE ANSWER WAS

NO. SO HOPEFULLY THAT ANSWERS YOUR QUESTION, SIR. >> WHAT I HEARD YOU SAY IS THAT WE WOULD HAVE TO APPROVE COLLECTING 75% AND THEN APPROVE BEING ABLE TO COLLECT 75%, BUT

ONLY ACTUALLY COLLECT. >> THE MAXIMUM. >> RECOVER 60% THE SECOND YEAR

75. THAT WOULD BE ON US, OUR OWN VOLITION. >> OKAY.

>> IT WOULD HAVE TO BE IN THE ORDINANCE WHEN YOU ADOPTED IT. >> SURE.

>> YES. >> I'M AND CORRECT ME IF I'M WRONG. WHAT I HEARD YOU SAY ABOUT DELAYING IT 4 OR 5 MONTHS. YOU SAID THAT DOESN'T CAUSE YOU MUCH CONSTERNATION.

>> NO, I WOULD HAVE TO LOOK AT IT. I DIDN'T FORESEE ANYTHING, BUT I WOULD NOT MAKE A DEFINITIVE STATEMENT AT THIS POINT. BUT I'M WILLING TO TAKE A LOOK AT IT TO SEE WHAT WE CAN

DO. >> YEAH, I'D BE I'D BE INTERESTED IN THOSE, I GUESS.

MAYOR, WITHOUT EITHER OF THOSE ANSWERS, I GUESS I CAN'T REALLY GIVE MUCH DIRECTION. AND ALSO, WE'RE GOING TO HAVE ANOTHER PUBLIC HEARING ON THIS. SO YEAH, I GUESS I WILL, I WILL WAIT TILL THEN. THANK YOU FOR ALL THIS. I APPRECIATE THE INFORMATION. THANK YOU SCOTT.

>> THANK YOU COUNCIL OKAY. >> ANYONE ELSE. SO NO VOTE HERE. THE NEXT MEETING ON THIS WILL BE PLUG THIS INTO YOUR PALM PILOTS. IT'S GOING TO BE AUGUST 19TH 2025 WOULD BE OUR NEXT MEETING ON THIS TOPIC. AND I THINK THAT'S I SEE IS THAT RIGHT ITEM FOR INDIVIDUAL CONSIDERATION. SO IT'S NOT A PUBLIC HEARING BUT BUT IT WILL BE IT WILL BE HERE. IT WILL BE SAME FORMAT JUST A DIFFERENT MECHANISM TO SPEAK. SO EITHER WAY EIGHT, EIGHT, 19 IS THE NEXT ONE. AND JUST FOR MY

[02:05:04]

FEEDBACK, FOR EVERYTHING THAT I TOUCHED ON THOSE THINGS ALREADY. BUT. I WOULD ASK IF THERE'S A MECHANISM FOR US TO SEND NOTICES OR PUT IN THE PAPERWORK THAT THE FEES ARE PENDING. IS THAT

DOABLE? OR ARE WE HAVING A DISCUSSION? >> I THINK.

>> WE CAN WORK. >> OUT. YEAH, YEAH, BECAUSE THAT'S THAT'S MY THOUGHT. IF SOMEONE COMES IN TOMORROW AND PULLS AN APPLICATION AND SAYS, HEY, I'M GOING TO BUILD A GIANT THING AND WE DON'T, I THINK WE SHOULD ON THERE SOMEWHERE IN THE FINE PRINT OR SOMEWHERE TO SAY, HEY, PLEASE BE NOTIFIED, YOU KNOW, FEES PENDING, SOMETHING TO MAKE THEM AWARE, TO ASK THE QUESTION OR SOMETHING. I DON'T KNOW IF IT'S I DON'T KNOW WHAT THOSE LOOKS LIKE. I DON'T KNOW WHAT IT'S LIKE TO NOTICE THOSE THINGS, BUT I JUST I DON'T WANT TO CATCH PEOPLE FLAT FOOTED.

[B. Hold a public hearing and consider approval of a resolution of the City of Denton stating no objection to 2100 Spencer Road (TX) Owner LP’s 4% housing tax credit application to the Texas Department of Housing and Community Affairs for proposed rehabilitation of the Waterford at Spencer Oaks Apartments to provide affordable rental housing; and providing an effective date.]

THAT'S MY THING. SO OKAY. THAT CONCLUDES ITEM A TAKES US TO FIVE B WHICH IS A PUBLIC HEARING AS WELL. AND THAT IS ID 251039. HOLD A PUBLIC HEARING AND CONSIDER APPROVAL OF A RESOLUTION OF THE CITY OF DENTON'S STATING NO OBJECTION TO 2100 SPENCER ROAD, TEXAS OWNERS LLP, LP 4% HOUSING TAX CREDIT APPLICATION TO THE TEXAS DEPARTMENT OF HOUSING AND COMMUNITY AFFAIRS FOR PROPOSED REHABILITATION OF THE WATERFORD AT SPENCER OAKS APARTMENTS.

>> GOOD EVENING. >> MAYOR AND COUNCIL. JESSIE KENT, DIRECTOR OF COMMUNITY SERVICES. I'M HERE TO TALK TO YOU TODAY ABOUT OUR 4% HOUSING TAX CREDIT APPLICATION. SOME OF YOU MAY REMEMBER, OR EVERY YEAR WE DO A REVIEW OF 9% HOUSING TAX CREDIT APPLICATIONS AND 4% IN LINE WITH OUR POLICY AND PROCESS. IN JANUARY. 4% APPLICATIONS CAN OCCUR AT ANY TIME IN THE YEAR. AND SO WE REVIEW THEM. WE REVIEW THEM AS SUCH FOR THESE 4% APPLICATIONS, THE STATE REQUIRES A RESOLUTION OF NO OBJECTION FROM THE CITY COUNCIL. THE PROJECT THAT WE'RE CONSIDERING TODAY IS A ALREADY EXISTING DEVELOPMENT. WATERFORD SPENCER OAKS IS ON SPENCER ROAD, A LITTLE PAST DME AND THE LAKE LEWISVILLE WATER TREATMENT PLANT. IT IS A ALREADY AFFORDABLE HOUSING DEVELOPMENT. SO THIS IS NOT CHANGING. IT'S NOT ADDING ANY NEW DEVELOPMENT.

IT ALREADY EXISTS. IT WAS AWARDED IN 1996. IT HAS REACHED THE END OF ITS 30 YEAR AFFORDABILITY PERIOD. THEY'RE SEEKING A RENEWAL AND THEY WILL DO A REFURBISHMENT OF THEIR OF THE COMPLEX, THE DEVELOPERS HERE AS WELL, IF YOU HAVE QUESTIONS ABOUT THE SCOPE AND WHAT THEY'RE DOING, THEY'RE HAPPY TO SPEAK TO THOSE AS WELL. BUT FOR THE SCOPE OF WORK, THEY'RE GOING TO BE DOING A COMPLETE REWORK. THEY SAY OF THE EXISTING UNITS, THERE'S 208 UNITS IN THIS COMPLEX, AND THEY'LL BE PUTTING ABOUT $80,000 INTO EACH UNIT AS PART OF THEIR, THEIR, THEIR REFURBISHMENT. THIS WILL, THIS THIS PROJECT IS CURRENTLY ON THE TAX ROLLS. THEY HAVE PARTNERED WITH A COMMUNITY HOUSING DEVELOPMENT ORGANIZATION OR CHOUTEAU AND SO WOULD BE RECEIVING A 50% PROPERTY TAX EXEMPTION IF MOVE FORWARD WITH THIS PROJECT. AGAIN, THEY HAVE 208 TOTAL UNITS WITH A MIX OF 50% AND 60% AFFORDABLE UNITS. YOU CAN SEE A RENTAL RANGE OF THE UNITS HERE. THERE ARE ALREADY INDIVIDUALS THAT ARE INCOME QUALIFIED THAT ARE LIVING IN THESE, LIVING IN THESE UNITS, AND THE DEVELOPER HAS A PLAN TO KIND OF WORK THROUGH THE RENOVATIONS AND HAS A DISPLACEMENT PLAN TO MAKE SURE THAT PEOPLE CAN STAY IN THEIR UNITS AND THEY'RE REFURBISHED IN A WAY THAT IT DOESN'T DISPLACE PEOPLE. STAFF WOULD RECOMMEND APPROVAL OF THE RESOLUTION OF NO OBJECTION FOR THIS PROJECT IS IT ALIGNS WITH OUR POLICY AND REHABBING EXISTING AFFORDABLE HOUSING DEVELOPMENTS. AND I'LL STAND FOR ANY QUESTIONS.

>> THANK YOU ALL. >> THANK YOU. I'LL OPEN THE PUBLIC HEARING AND ANY QUESTIONS

FOR STAFF. DID I HEAR YOU SAY 80,000 PER UNIT? >> THAT WAS WHAT THE DEVELOPER SAID THEY'RE DOING WITH THEIR FULL REWORK. SO PUTTING IN REPLACING THE FLOORS, THE COUNTERTOPS, THE REPLACING THE REFRIGERATORS, LOOKING AT REPLACING HVAC UNITS. SO IT SHOULD BE A SIGNIFICANT INVESTMENT INTO THE UNITS TO HELP MAKE THEM A HIGHER QUALITY WHILE NOT INCREASING THE RENTS FOR LOW INCOME QUALIFIED HOUSEHOLDS.

>> AND YOU SAID 280 UNITS, 80,000 PER UNIT, 22 MILLION. >> I'M SORRY. TWO 208 I'M SORRY

I DON'T HAVE THE CALCULATOR, BUT I'LL TRUST. >> YEAH. NO, I GOT IT. YEAH,

[02:10:03]

YEAH. 208 UNITS, 80,000 EACH. >> YES, SIR. >> OKAY. REPRESENTATIVE FROM

DISTRICT FOUR. >> I GET 16 MILL. JUST FYI. THIS IS THE FIRST TIME. JESSE. THANK YOU. THIS IS THE FIRST TIME THAT I'VE. THAT I'VE HEARD A REQUEST LIKE THIS. IT'S A SPENCER OAKS.

SEEMS TO ME TO BE A RELATIVELY NEW PROPERTY. YOU TELL ME. IT'S 30 YEARS OLD. TIME FLIES WHEN YOU'RE HAVING FUN. I GUESS. WHAT? WHAT'S THE DOWNSIDE OF THIS? IF THIS WERE TO NOT IF

THIS WERE NOT TO BE APPROVED, WHAT'S THE DOWNSIDE OF THIS? >> SO IF THIS WERE NOT TO BE APPROVED, THE PROPERTY WOULD LOSE ITS AFFORDABILITY REQUIREMENTS. SO IT WOULD REVERT TO MARKET RATE DEPENDING ON THE I'M NOT EXACTLY SURE WHAT THE UNITS IN ITS CURRENT STATE WOULD GET FOR MARKET RATE, BUT THE AFFORDABILITY PROTECTIONS WOULD GO AWAY. THE RENOVATIONS PROBABLY WOULD NOT HAPPEN. I COULD ASK THE DEVELOPER IF THEY WANT TO SPEAK ABOUT WHAT THEY WOULD DO IF THEY WERE NOT TO RECEIVE THE RESOLUTION OF NO OBJECTION AND RECEIVE THE TAX

CREDIT MONEY. >> BUT BUT IT WOULDN'T MAKE I MEAN, OBVIOUSLY THE PROPERTY'S NOT GOING TO GET ANY BIGGER OR TALLER OR ANYTHING. NO, SIR. ONE WAY OR ANOTHER. NO, SIR. I'D

LIKE TO HEAR. I'D LIKE TO HEAR THAT, PLEASE. THANK YOU. >> GOOD EVENING. WILL MOYERS, ASSISTANT VICE PRESIDENT, APRIL HOUSING, 2014. SILVER MOON, MISSOURI CITY, TEXAS. I GUESS TO REPEAT THE QUESTION, IT WAS WONDERING IF WE WERE NOT TO MOVE FORWARD WITH THE REQUEST FOR THE NO OBJECTION AND NOT MOVE FORWARD WITH PRESERVING THE AFFORDABLE HOUSING. IN THAT INSTANCE, WE WOULD JUST CONTINUE TO OPERATE THE PROPERTY AS IS UNTIL THE AFFORDABILITY PERIOD EXPIRES. THERE'S NO PROTECTION TO CAP THE RENTS AT AN AFFORDABLE RATE, AND AT THAT POINT, WE WOULD NEED TO SORT OF REEVALUATE THE OPERATIONS OF THE PROPERTY WITHOUT THE AFFORDABLE

RESTRICTIONS IN PLACE. OKAY. >> THAT'S THAT'S FINE. THANK YOU, THANK.

>> YOU, THANK YOU, THANK YOU VERY MUCH. JESSIE. WHAT IS IT? WHAT PERCENTAGE OF THE PROPERTIES ON THE TAX ROLL RIGHT NOW? SO 50% IS WHAT'S AFTER THE FACT PROPOSED.

>> 100% IS WHAT IT IS ON RIGHT NOW AFTER IT'S DIFFICULT TO SAY WHAT THE ANNUAL AMOUNT WOULD BE AFTER RENOVATIONS. THEY INCREASE THE PROPERTY VALUE THROUGH THESE PROJECTS. SO I THINK STAFF ESTIMATE BETWEEN ABOUT 50 AND $60,000 A YEAR IS WHAT'S COMING OFF OF THE TAX ROLL.

>> AND WHO CAN YOU CAN YOU THE TARRANT COUNTY AUTHORITY. WHAT'S WHAT'S THE STORY THERE.

>> SO THE DEVELOPER IS PARTNERING WITH THE TARRANT COUNTY I CAN'T REMEMBER THEIR NAME, BUT A COUNTY KYOTO TO ACHIEVE THE TAX EXEMPTION FOR THE PROJECT. THE DEVELOPER WAS, I THINK ALREADY IN IN NEGOTIATION WITH THIS CHHOTO AND DA WAS NOT INTERESTED IN

PARTNERING ON THIS PROJECT. >> THAT'S MY UNDERSTANDING AND. HERE.

>> THAT'S YOUR UNDERSTANDING. >> MY APOLOGIES. SO I'M RELATIVELY NEW TO APRIL HOUSING.

SO I BELIEVE THAT DECISION HAD ALREADY BEEN MADE PRIOR TO MY INVOLVEMENT IN THE PROJECT. WE DID, FROM WHAT I UNDERSTAND IS WE DID REACH OUT TO THE HOUSING AUTHORITY TO ISSUE THE TAX EXEMPT BONDS, AS WELL AS BE A GP PARTNER IN THE DEAL. IT WAS MY UNDERSTANDING THAT THE HOUSING AUTHORITY DID NOT WISH TO PARTICIPATE IN THIS PROJECT, MIGHT NOT HAVE ALIGNED WITH THEIR GOALS AT THE TIME. MAYBE THEIR FOCUS WAS MORE ON NEW CONSTRUCTION FROM FROM WHAT I UNDERSTAND. SO WE HAVE A LONG STANDING PARTNERSHIP WITH THE DENTON. DEVELOPMENT COUNCIL OF TARRANT COUNTY DCT ON SEVERAL OTHER PROJECTS IN THE METRO AREA. SO WE REACHED OUT TO PARTNER WITH THEM ON THIS PARTICULAR PROJECT. SO THAT'S THAT'S WHY WE'RE WE'RE WE'RE

PARTNERING WITH THEM. >> AND WHAT IS THAT DOLLAR FIGURE THAT WOULD LEAVE DENTON AND GO TO TARRANT COUNTY. HOW MUCH HOW MUCH WAS THE PARTNERSHIP AGREEMENT. HOW MUCH MONEY? THERE'S SOME THERE'S SOME TRANSFER OF FUNDS THAT WOULD THEN GO TO THE CHODO FOR STRUCTURING THE DEAL OR THE CREDITS OR HOWEVER YOU. I'M NOT SAYING IT WELL, BUT YOU KNOW

WHAT? I'M, YOU. >> KNOW, SO YEAH, I'M NOT EXACTLY SURE WHAT THAT FIGURE IS. THE FEE AMOUNT IS WE CAN GO BACK AND LOOK, I DON'T HAVE THAT DOLLAR AMOUNT IN FRONT OF ME.

[02:15:01]

>> ALL RIGHT? NO. NO WORRIES. SHAME ON ME FOR NOT ASKING EARLIER. AND THEN, JESSIE, HELP

ME UNDERSTAND WHY THEY ON HERE TWICE. >> SO THERE.

>> IS ON THE AGENDA. TWICE. >> YES, SIR. THERE ARE TWO OPTIONS. THERE ARE TWO ITEMS. ONE IS FOR THE RESOLUTION OF NO OBJECTION, WHICH THEY NEED TO APPLY FOR THE 4% HOUSING TAX CREDIT WITH. THE SECOND IS FOR THE MULTIFAMILY REVENUE BONDS THAT WILL FUND THE PROJECT AS PART OF KIND OF THE TOTAL PACKAGE OF FUNDING FOR THIS. AND IN THE NEXT TWO PRESENTATIONS, NOT TO NOT TO SKIP AHEAD, BUT THE NEXT TWO PRESENTATIONS WILL DEAL WITH THOSE THOSE BOND

ITEMS. >> YEAH. WHY ARE THEY STACKED LIKE THAT. WHY WOULDN'T WOULDN'T

IT WOULDN'T NORMALLY COME BACK A WEEK LATER. >> I DON'T KNOW THAT THEY WOULD NORMALLY COME BACK A WEEK LATER. WE HAVEN'T DONE A MULTIFAMILY HOUSING REVENUE BOND IN A LONG TIME. SO WE I WOULD LIKE TO SAY THAT WE ARE REEVALUATING OUR LIGHT TECH PROCESS. WE HAVE A WORK SESSION LATER IN THE YEAR IN NOVEMBER WHERE WE'RE LOOKING AT NOT ONLY HOW ARE WE DEALING WITH SITUATIONS LIKE THIS, ARE HOW ARE WE PARTNERING WITH TOTO? SHOULD THAT BE PART OF OUR REQUIREMENT FOR DENTON LOCAL CHODOS? HOW DO WE INCORPORATE THE PFC? ALL THOSE THINGS ARE COMING BEFORE COUNCIL IN NOVEMBER FOR FURTHER DISCUSSION AND DIRECTION.

>> THANK YOU. ALL RIGHT. ANY OTHER QUESTIONS FOR STAFF? SEEING NONE, I HAVE ONE CARD.

CHRIS WATTS. IF YOU CAN COME DOWN AND GIVE YOUR NAME, YOU'LL HAVE FOUR MINUTES.

>> TO BE DONE ONE. >> OF THESE BEFORE. DO YOU NOT HAVE A.

>> I THOUGHT I ONLY HAD THREE MINUTES. SO A MINUTE GET A LOT SAID IN A MINUTE. MY NAME IS CHRIS WATTS. I'M HERE, LIVE IN DENTON, AND I'M HERE TO TALK ABOUT NOT THIS PROJECT PARTICULARLY, BUT I'VE HEARD SOME NEW INFORMATION HERE THAT IS INTERESTING. THIS IS A GREAT EXAMPLE OF TWO THINGS. ONE IS WHY WE NEEDED THE CITY TO DEVELOP A PUBLIC FACILITY CORPORATION, AND THE CONSEQUENCES OF THAT, BECAUSE WE HAVEN'T FOR OVER A YEAR AND A HALF SINCE IT'S BEEN APPROVED BACK IN MARCH OF 2024. SO I'M GLAD I HAVE EXTRA TIME. COUNCIL MEMBER JESTER MAYOR PRO TEM, Y'ALL WERE NOT HERE DURING THE TIME OF THE THREE YEARS WE TRIED TO GET THIS APPROVED AND TALKED ABOUT IT AND DISCUSSED IT, DISCUSSED IT. SO MY COMMENTS AREN'T NECESSARILY DIRECTED TO YOU ALL PERSONALLY, BUT GENERALLY AS THE BODY BUT AS A RECORD. WHEN IT GOT APPROVED, COUNCIL MEMBER BYRD VOTED FOR IT. MAYOR HUDSPETH VOTED FOR IT.

COUNCIL MEMBER HOLLAND VOTED FOR IT. I WAS ON COUNCIL AT THE TIME. I VOTED FOR IT. COUNCIL MEMBER MELTZER AT THE TIME VOTED AGAINST IT. COUNCIL MEMBER MCGHEE VOTED AGAINST IT, AND COUNCIL MEMBER BECK VOTED AGAINST IT. THIS IS WHY WE NEED ONE. TWO REASONS. BECAUSE, NUMBER ONE, WE HEARD THAT THIS DEVELOPMENT IS GOING OUTSIDE OF THE CITY. THE BUDGET FOR THE DEVELOPMENT FEE IN THE BUDGET IS $8 MILLION. SO SOMEONE'S GETTING PART OF THAT MONEY. AND USUALLY THE PARTNERS DO GET A LION'S SHARE OF SOME OF THAT, OR IT'S SPREAD OUT OVER TIME. AND THE BUDGET, IT SAYS $1 MILLION FOR NOW, 7 MILLION DEFERRED. SECONDLY, BECAUSE OF THE DYSFUNCTION, THE INEFFICIENCY AND THE DELAY FOR A YEAR AND A HALF, WE MISSED THE OPPORTUNITY TO TAKE PART IN THAT AMOUNT OF MONEY. IT'S GOING OUTSIDE THE CITY AGAINST THE DENTON CITY TAXPAYERS. APPARENTLY, DENTON HOUSING AUTHORITY REFUSED TO PARTICIPATE IN THE PROJECT, WHICH WAS ONE OF THE REASONS I BROUGHT THIS UP. AND I WILL TELL YOU, I'LL CORRECT SOMETHING THAT WAS SAID AND IT'S PROBABLY NOT VERY WELL KNOWN. THE DENTON HOUSING AUTHORITY IS BUYING CURRENTLY EXISTING MULTIFAMILY PROPERTIES, ABOUT 500 TO 800 UNITS IN THE LAST THREE YEARS, AND TAKING THEM OFF THE TAX ROLLS. WE HAVE NO IDEA WHAT THE AFFORDABILITY GUIDELINES ARE FOR THAT. SO SECONDLY, THE MOST IMPORTANT THING WHY WE NEEDED AND WHY WE NEED A PUBLIC FACILITY CORPORATION AND WHY WE'VE MISSED AN OPPORTUNITY HERE. AND FOR THE PROJECTS YOU'RE GOING TO VOTE ON IN THE AGENDA ITEM COMING UP IS IT TAKES AWAY THE VOICE OF THE PEOPLE. WE DON'T HAVE A SEAT AT THE TABLE TO TALK WITH THESE PEOPLE ABOUT HOW DO WE STRUCTURE THIS, THAT MAXIMIZES THE BENEFIT TO THOSE IN OUR COMMUNITY WHO ARE HOUSING INSECURE? THAT'S THE MOST IMPORTANT PART. WE ARE ACCOUNTABLE TO THE VOTERS. IN FACT, I HEARD A SPEECH TODAY IN THE WORK SESSION FOR TEN MINUTES ABOUT WE NEED TO HAVE WORK CITIES OR SAFE CITIES. WE WANT PEOPLE TO HAVE AN OPPORTUNITY TO THRIVE. BUT YET SOME ON THIS COUNCIL AT THAT TIME VOTED AGAINST US BEING ABLE TO PARTICIPATE FINANCIALLY IN THE PROCESS BECAUSE WE'RE LOSING TAX DOLLARS. THE PROJECT, THE OTHER PROJECT, YOU'RE GOING TO VOTE ON $435,000 A YEAR, THIS 160 MILLION NOW ABOUT 160 MILLION WHEN IT GETS FINISHED, 160,000 WHEN IT GETS FINISHED. SO WE'VE GOT TO TAKE OWNERSHIP OF THE MOST IMPORTANT PUBLIC POLICY THAT FACES OUR COMMUNITY. WE HAVE TO BE ACCOUNTABLE AND WE HAVE TO BE RESPONSIBLE. AND FOR THAT VERY REASON IS WHY I PROPOSED IT THREE YEARS AGO AND IT FAILED. HOW MUCH MONEY DID WE LOSE IN PARTICIPATION

[02:20:04]

OPPORTUNITIES, AND HOW MUCH WERE OUR CITIZENS SILENCE THROUGH THEIR ELECTED OFFICIALS VOICES TO PROVIDE THE BEST OPPORTUNITY TO CRAFT AN AFFORDABLE HOUSING PROGRAM THAT MEETS THE NEEDS OF OUR COMMUNITY. SPECIFICALLY, WE HAVE TO TAKE BACK. WE GOT TO TAKE THAT OWNERSHIP. IT'S NOT TAKING IT BACK. WE'VE NEVER HAD IT. WHAT YOU DO ON THIS PROJECT IS UP TO YOU IF YOU WANT TO SEND THE MONEY OUTSIDE THE CITY. AND SECONDLY, THE LAST THING IS I THOUGHT THIS WAS A PURCHASE. I DIDN'T UNDERSTAND THAT THEY'RE GOING TO CONTINUE TO OPERATE THE PROPERTY. I THOUGHT IT WAS A PURCHASE, BUT BUT WHAT THE BUDGET SAID. SO I STAND FOR ANY QUESTIONS.

>> IS THIS FOR THE SPEAKER, REPRESENTATIVE DISTRICT FIVE. >> MAYOR, I TAKE YOUR POINT.

USED TO BE MAYOR. THE MAYOR APPOINTS PEOPLE TO THE HOUSING BOARD. DO YOU HAVE A. DO YOU HAVE A THEORY AS TO WHY THEY WOULD HAVE CHOSEN NOT TO DO THIS? I DON'T ASK THAT QUESTION

WITH ANY, ANY, ANY INTENTION IN MIND. I ACTUALLY DON'T YOU KNOW. >> DO YOU THINK? I HAVE NO IDEA.

ONCE THOSE APPOINTMENTS ARE MADE, THE CITY COUNCIL NOR THE MAYOR HAS ANY SAY AND IT'S REALLY THEIR DECISION. I DON'T FAULT THEM FOR WHATEVER DECISION THEY MAKE. BUT THIS IS A GREAT EXAMPLE OF WHY I PROPOSED IT, BECAUSE THEY DIDN'T WANT TO WORK WITH THEM. IF SOMEBODY ELSE IN THE CITY OF DENTON ORGANIZATION DIDN'T WANT TO WORK WITH THEM, THEY'RE GOING OUTSIDE. AND I BELIEVE YOU, COUNCIL MEMBER MCGEE. AND ONE OF THE DISCUSSIONS WE HAD, EVEN THOUGH YOU VOTED AGAINST IT, YOU WERE OPPOSED TO THESE KIND OF PROJECTS BEING FUNNELED OUTSIDE OF THE CITY. AND THE MONEY GOES TO AN ORGANIZATION. NOTHING AGAINST THE ORGANIZATION. THEY DON'T KNOW THE CITY OF DENTON. THEY DON'T KNOW THE NEEDS FOR OUR CITIZENS WHO ARE STRUGGLING WITH HOUSING INSECURITY. 60% OF DENTON RESIDENTS ARE ALICE HOUSEHOLDS. FOLKS, WE GOT TO DO A BETTER JOB. HOW MANY MILLIONS OF DOLLARS HAVE WE LEFT ON THE TABLE BECAUSE WE DIDN'T APPROVE IT THREE YEARS AGO? WE APPROVED IT A YEAR AND A HALF AGO AND IT HASN'T EVEN BEEN IMPLEMENTED.

IT'S BEEN CREATED AT THE STATE. I UNDERSTAND IN TWO WEEKS THE BYLAWS ARE COMING UP FOR ADOPTION. WE CANNOT KEEP DOING THIS BECAUSE $14 MILLION BUDGET DEFICIT PROJECTION, THESE TWO PROJECTS THAT ARE ON THE AGENDA TODAY, ONE EIGHT $8 MILLION DEVELOPMENT FEE, I'M SURE THE OTHER ONE, WHICH IS A BIGGER UNITS NEW CONSTRUCTION IS I'M GOING TO SAY IT'S THE SAME.

THAT'S $16 MILLION AND THE CITY HAS NO RIGHT TO OR OPPORTUNITY TO EVEN TAKE ADVANTAGE OF THAT.

BUT AGAIN, MOST IMPORTANTLY, OUR CITIZENS ARE LEFT SILENT BECAUSE THE VOICES THAT THEY ELECT TO MAKE SURE THAT THEY MAXIMIZE THE BENEFITS FOR THE COMMUNITY, THEY'RE SILENT BECAUSE WE DON'T HAVE A SEAT AT THE TABLE. YOU CAN MAKE YOUR DECISION ON THIS ONE, BUT I WILL SAY THERE SHOULD NOT BE ANOTHER ONE OF THESE REQUESTS BEFORE THIS COUNCIL EVEN FOR APPROVAL, TO CONSIDER APPROVAL UNTIL THIS PUBLIC FACILITY CORPORATION GETS IMPLEMENTED AND BEGINS TO WORK WITH DEVELOPERS TO TRY TO MAXIMIZE THE GOAL THAT WE HAVE FOR OUR CITIZENS WHO STRUGGLE EVERY DAY WORKING TWO JOBS TO MAKE ENDS MEET. ON THIS PARTICULAR ONE, THERE'S NOT ONE UNIT FOR 30% AREA MEDIAN INCOME, NOT ONE. ON THE ONE COMING BEFORE US. I THINK THERE'S ABOUT 15 IN THE OTHER ONE. BUT GUESS WHAT? YOU BECOME A PARTNER THROUGH A PFC, YOU CAN ASK, YOU CAN NEGOTIATE, YOU CAN COMPROMISE, YOU CAN COLLABORATE. NOT FOR A ZERO SUM GAME WHERE SOMEBODY WINS AND SOMEBODY LOSES, BUT WHERE EVERYBODY WINS. COUNCIL MEMBER JESTER, YOU'RE AN ATTORNEY. WHAT WOULD HAPPEN TO ONE OF YOUR CLIENTS IF YOU SAID, YOU KNOW, WE WANT YOU TO COME INTO A SETTLEMENT AGREEMENT, INTO A NEGOTIATION, BUT YOU CAN'T TALK. YOU HAVE NO VOICE.

THAT'S IT. I KNOW I'M OUT OF TIME. I'M JUST GOING TO DO WHAT OTHER PEOPLE HAVE DONE. YOU ASK A QUESTION AND BY GOLLY, I'M GOING TO TAKE IT AND RUN WITH IT. ALL RIGHT. THANK YOU ALL

VERY MUCH. THANK YOU, MAYOR, I APPRECIATE. >> YOUR TIME. THANK YOU.

>> AS HE TAKES HIS SEAT. CAN I FINISH, PLEASE, SIR? >> I THOUGHT YOU HAD ANOTHER

QUESTION FOR. >> YEAH. >> GO AHEAD.

>> NO. YOU CAN. IT'S JUST A COMMENT. WHY ARE YOU TAKING YOUR SEAT? IT'S FINE. I, I TAKE YOUR POINT. THAT PROJECT I BELIEVE YOU WERE REFERENCING WAS A DEAL THAT WAS STRUCTURED WITH THE MARBLE FALLS HOUSING AUTHORITY. WHEN YOU FIRST GOT REELECTED, I FIRST GOT ELECTED. IT'S RIGHT DOWN THE STREET FROM MY HOUSE. AND YES, I WAS OPPOSED TO THOSE DOLLARS GOING OUT OF THE CITY.

WHAT I WAS ALSO OPPOSED TO WAS THE STRUCTURE OF THE BOARD OF THAT PFC. AS I REMEMBER IT, I WAS CONCERNED THAT THE BOARD WOULD ONLY BE THE AT LARGE MEMBERS, AND IT WOULDN'T BE ALL

[02:25:03]

SEVEN OF US. AND THEN WE HAD A DISCUSSION ABOUT US APPOINTING MORE CITIZENS TO THE BOARD. SO YEAH, I WAS OPPOSED TO IT THEN. THAT DOESN'T NECESSARILY MEAN I'LL BE OPPOSED TO IT IN THE FUTURE. I'M HAPPY THAT THE STATE MADE SOME CLEANUPS IN THE RULES, BECAUSE I DO THINK PEOPLE OBVIOUSLY, AS YOU PROBABLY WOULD KNOW, WERE TAKING ADVANTAGE, YOU KNOW, OF THE PFC STRUCTURE. SO NOW THAT THAT HAS BEEN CLEANED UP, I'M, I'M, I'M NOT OPPOSED TO TAKING A LOOK AT IT AGAIN, JUST NOT NECESSARILY WITH THE BOARD STRUCTURE THAT WE HAD WHEN WE FIRST PROPOSED IT A COUPLE OF YEARS AGO. SO THANK YOU FOR PROPOSING IT. THANK YOU FOR RAISING THESE CONCERNS TO US. IT

MAKES A LOT OF SENSE. >> ANY OTHER QUESTIONS FOR STAFF, THE PUBLIC HEARING, IF ANYONE CARES TO SPEAK AND FILL OUT YOU CAN SPEAK AND FILL OUT A CARD AFTER THE FACT. SEEING NONE, I'LL CLOSE THE PUBLIC HEARING, I WILL. I'LL JUST TELL YOU I'M GOING TO STRUGGLE WITH SUPPORTING THIS BECAUSE OF THE. IT JUST SENDS A BAD MESSAGE. THE. I'M NOT CRAZY ABOUT SENDING MONEY TO TARRANT COUNTY AT ALL. AND THE REPAIRS FOR ME AREN'T, AREN'T SIGNIFICANT ENOUGH TO WARRANT THE REQUEST. BUT THEN, MOST IMPORTANTLY, I SHOULD HAVE ASKED THIS QUESTION IN ADVANCE.

BUT IF YOU STEP THROUGH WHAT WE'VE ALREADY APPROVED, JUST TAKING A HOLISTIC LOOK AT THE NUMBER OF UNITS THE CITY OF DENTON IS HAS IN WORKS. THERE'S UNICORN LAKE, THERE'S THERE THERE'S THE ONES THAT ARE APPROVED ON I-35 NEAR. MCCORMICK OR SOMETHING THERE. THOSE ARE GOING TO BE PENDING THE ONES PENDING ON TEASLEY DRIVE, TEASLEY LANE, THE ONES NORTH OF TOWN THAT WE JUST APPROVED BEHIND NEAR THE NEAR THE SHELTER. I MEAN, THEY'RE ABSOLUTELY ALL OVER THE PLACE, EITHER OUT OF THE GROUND OR PENDING PHASES OF THE GROUND.

THIS IS A REMOTE AREA. I GET IT, THEY'RE ALREADY THEY'RE ALREADY THERE. THERE'S CERTAINLY JOBS AROUND THERE. WALMART, TARGET I GET IT. I'M NOT SAYING IT'S NOT, BUT THEY'RE ALREADY IN THE GROUND. THIS IS NOT NEW CONSTRUCTION. WE'VE APPROVED A SIGNIFICANT AMOUNT. I MEAN I DON'T KNOW THE NUMBER OF UNITS THAT ARE THAT ARE PENDING, BUT IT WOULD STUN AN ELEPHANT WITH LUKE 28. THERE'S SOME THERE BY THE NEW TACO BELL AND MCDONALD'S THERE THAT THAT WERE APPROVED. I MEAN, THERE'S A MASSIVE A NUMBER APPROVED. AND THIS IS JUST NOT WISE TO CONTINUE DOWN THIS PATH.

IT JUST PEOPLE DON'T MAYBE PEOPLE DON'T TRACK ALONG BECAUSE THEY DON'T REMEMBER WHAT'S APPROVED BECAUSE IT'S NOT OUT OF THE GROUND YET, BUT I JUST CAN'T GET ON BOARD WITH THOSE. WITH THAT AMOUNT OF MONEY GOING TO OUT OF OUR OUR NOT ONLY OUT OF THE CITY, OUT OF THE COUNTY, THAT JUST WHERE DOES THAT END? SO AND IT'S DIFFERENT THAT THEY DIDN'T I MEAN, THIS IS THE THEY DIDN'T HAVE ANY MEETINGS WITH US. THEY DIDN'T SEND ANY MESSAGES. THEY DIDN'T HEY, JUST NO COMMUNICATION. IT JUST I GET IT, THEY DON'T HAVE TO, BUT I'M NOT WILLING TO SPEND. AND FOR THOSE TRACKING ALONG TO $19 MILLION VALUATION ON THE DENTON COUNTY APPRAISAL DISTRICT'S WEBSITE, THEY SHOWED THAT THAT CITY OF DENTON TAXES IS JUST OVER $100,000. YOU'D CUT THAT IN HALF FOR A NUMBER OF TIME, FOR A PERIOD OF TIME. AND YEAH, AS A UNIT MIX PROVIDED.

>> YES, SIR. >> YEAH. WHICH PAGE IS THAT? I'LL LOOK AT THAT WHILE WE'RE. I

WAS LOOKING AT THIS. OKAY. >> THANK YOU. >> 77%, 60% OR BELOW AND 23%,

50% OR BELOW, RIGHT. >> YEAH. OKAY. GOT IT. YEAH. THAT'S I JUST WANTED TO BE CLEAR IN MY POSITION WE ARE UNTIL WE RECONCILE ALL THE MULTIFAMILY WE HAVE PENDING OUTSIDE OF SOMETHING REALLY EXTRAORDINARY, I'M NOT GOING TO GO OUT OF MY WAY TO SEND WHATEVER NUMBER OF MILLION DOLLARS TO, TO TARRANT COUNTY, AND THAT NUMBER SHOULD BE TOP OF MIND, NOT FOR YOU, BUT THAT NUMBER SHOULD BE TOP OF MIND. I GET IT, BUT OKAY, REPRESENTATIVE DISTRICT FOUR.

>> THANK YOU. MAYOR. QUESTION FOR YOU. AS A MATTER OF FACT, YOU DID. YOU LOOKED ON THE

APPRAISAL SITE. YES, SIR. 18 MILL. >> $19 MILLION. 19. YES, SIR.

>> I'M PRESUMING THAT INCLUDES THE LAND. >> YES, SIR.

>> CAN YOU CAN YOU BACK THE PROPERTY OUT OF THAT NUMBER? >> LET'S SEE.

>> BETTER YOU THAN ME. >> SO? I DON'T KNOW WHAT I'M LOOKING AT AS FAR AS, LIKE, ALL

[02:30:09]

THE. SO IT'S LAND MARKET VALUE IS. 6 MILLION. >> 6 MILLION.

>> YES. >> 577158 OKAY. SO THE RENOVATION IS GOING TO COST SUBSTANTIALLY MORE THAN THE THAN THE, THAN THE, THAN THE BUILDINGS ON THE GROUND RIGHT

NOW. >> YEAH. YEAH. WELL I DON'T KNOW.

>> THAT'S WHAT THEY SAID. >> I MEAN YOU CAN'T YOU CAN'T LOSE THE LAND. SO THE LAND IS

GOING TO BE THERE. >> YEAH. >> ON THE OTHER HAND I APPRECIATE APARTMENTS, PROPERTY KEEPING UP. YOU KNOW, THEY THEY TEND TO THEY TEND TO DETERIORATE AND THEY'RE GOING TO THEY'RE GOING TO SPEND A LOT OF MONEY TO, TO FIX IT UP. YOUR POINT IS

WELL TAKEN THOUGH. >> YEP. >> THANK YOU.

>> THANK YOU. REPRESENTATIVE DISTRICT ONE. >> AND THAT IS WHAT THE. THAT'S THE DIRECTION THAT I WAS THINKING. I DO HEAR EVERYBODY'S COMMENTS IN REGARDS TO, YOU KNOW, THE RELATIONSHIPS THAT WE MAY HAVE MISSED OUT ON. BUT THE FACT REMAINS IS THAT THOSE THAT COMPLEX IS STILL THERE. AND I WOULD MUCH RATHER HAVE A COMPLEX IN MY DISTRICT PARTICULARLY.

THAT'S MY AREA OF CONCERN PARTICULARLY, AND I AM NOT INTERESTED IN HAVING DILAPIDATED HOUSING IN MY AREA. WE HAVE OTHER AREAS IN OUR COMMUNITIES. THIS IS PART OF THE CORE OF THE COMMUNITY. IT IS LISTED AND LOCATED ON A ROAD THAT DOES NOT HAVE ANY OTHER HOUSING ON IT UNTIL YOU GET ON THE OTHER SIDE OF 288, WHICH OVER THERE IS PREMIUM. THAT'S ACROSS THE STREET FROM THE LANDFILL, ACTUALLY. BUT I CERTAINLY AM NOT INTERESTED IN HAVING ANY ANY DILAPIDATION OF LIVING STANDARDS IN THE CORE OF OUR CITY. IF WE CAN ACCEPT IT AND GROW WITH IT ON THE OUTSKIRTS. AND AS WE AS HE'S NOTED THAT THERE ARE NUMEROUS APARTMENT COMPLEXES THAT HAVE COME UP BASED ON DEMAND, WE'RE ALREADY BEHIND. WHEN I GOT ON BOARD 7000 UNITS IN THE COMMUNITY, THAT'S A LOT OF SPACES. AND SO FOR US TO GET DOWN TO THE NITTY GRITTY AND KIND OF NITPICK A LITTLE BIT TO THE ATOM SCOPE OF ALL OF THIS, IT STILL REMAINS THAT THAT SPACE IS GOING TO BE THERE. AND I WOULD MUCH RATHER SEE THAT IT'S IN TOP CONDITION FOR ALL. FOR A NUMBER OF YEARS. THE GENTLEMAN JUST STATED IT WILL BE VERY DIFFICULT TO UP TO KEEP THAT PLACE UP IF WE HAD. IF WE DO NOT DO THIS FOR THEM. I GOT ALL OF THAT. I GOT I GOT WHAT THE MAYOR SAID, BUT I HOPE THAT WE WILL TAKE THE OPPORTUNITY TO MAKE SURE THAT OUR ENTIRE COMMUNITY

IS ALWAYS UP TO STANDARDS. THANK YOU. >> SO, JESSE, IS THAT YOUR UNDERSTANDING THAT THE CITY OF DENTON IS BEHIND IN ITS NUMBER OF APARTMENT UNITS?

>> I'M NOT SURE. OFF THE TOP OF MY HEAD, MAYOR, WHERE WE'RE AT IN THE COUNCIL'S GOALS FOR

AFFORDABLE HOUSING. >> NO, NO, NOT AFFORDABLE HOUSING. APARTMENT UNITS, JUST

UNITS. >> OH, I'M SORRY, I COULDN'T SPEAK TO THAT. OFF THE TOP. I

CAN FIND THE ANSWER FOR COUNCIL. >> AND IS IT YOUR UNDERSTANDING THAT IF WE DON'T APPROVE THIS,

THEY'RE GOING TO LET THE APARTMENTS BECOME DILAPIDATED? >> IF WE DON'T APPROVE THIS? THE THINGS THAT I KNOW FOR SURE WILL HAPPEN IS THAT THE UNITS WILL NO LONGER BE FIXED. AFFORDABLE INCOME RATE UNITS. BUT OTHER THAN THAT, I MEAN, I WOULD EXPECT THAT THE PROPERTY OWNER WOULD STILL MAINTAIN IT TO THE PROPERTY DEVELOPMENT CODE. BUT ALL I KNOW FOR SURE IS THAT THE

THEY WOULDN'T BE AT THAT FIXED RATE ANYMORE. >> RIGHT. BUT THE WORD WAS

DILAPIDATED. WOULD THEY ALLOW THEM TO BECOME DILAPIDATED? >> I.

>> SO WE WOULD CONTINUE TO OPERATE THE PROPERTY TO THE BEST OF OUR ABILITY, BUT BY ALLOWING TO APPROVE THIS RESOLUTION TO GO FORWARD, WE WOULD BE ABLE TO INPUT A SIGNIFICANT AMOUNT OF CAPITAL INTO THE PROPERTY TO DO THE MAJOR CRITICAL REPAIRS, DEFERRED MAINTENANCE, RENOVATE THE UNITS TO BRING THEM UP TO A MORE MARKETABLE STANDARD. IT WOULD ALLOW FOR RESIDENTS, NEW RESIDENTS TO WANT TO MOVE TO THE PROPERTY, AS WELL AS RETAIN AND MAINTAIN THE CURRENT RESIDENTS THAT ARE THERE. AS WE PREVIOUSLY DISCUSSED, IF WE'RE NOT ABLE TO INFUSE THIS PROJECT WITH THE FUNDS NEEDED TO UPDATE AND PRESERVE THE PROPERTY FOR THE NEXT 30 YEARS AND EXTEND THAT

[02:35:05]

AFFORDABILITY FOR THE NEXT 30 YEARS, WE WILL HAVE TO, YOU KNOW, ESSENTIALLY ADDRESS HANDLING, YOU KNOW, MAJOR OPERATIONAL CHALLENGES AND KEEPING UP WITH CAPITAL EXPENDITURES WITHOUT THE USE OF THESE FUNDS. AND OVER TIME, THAT MAKES IT MUCH MORE DIFFICULT TO MAINTAIN THE PROPERTY. AND TO YOUR POINT, COUNCILWOMAN, THAT IT COULD POTENTIALLY RESULT IN A, IN A, IN A SUBSTANDARD PROPERTY AND A SUBSTANDARD QUALITY OF LIVING FOR THE

RESIDENTS THAT LIVE THERE. >> SO YOU WOULD ABSENT THIS, YOU'RE WILLING TO OPERATE A

SUBSTANDARD UNIT. IS THAT WHAT I HEARD YOU SAY? >> NO, SIR. I'M JUST SAYING WITHOUT THE FUNDS NEEDED TO IMPROVE THESE UNITS AND BRING THEM UP TO A CURRENT STANDARD, AS WE STATED THIS, THIS PROPERTY IS NEARLY 30 YEARS OLD. THERE'S A LOT OF CAPITAL IMPROVEMENTS THAT NEED TO BE DONE TO BRING THESE UNITS UP TO A HIGHER QUALITY STANDARD OF LIVING. WE ARE, YOU KNOW, PUTTING A SUBSTANTIAL INVESTMENT INTO THIS PROPERTY TO MAINTAIN AND PRESERVE THIS ASSET AND KEEP IT AFFORDABLE FOR THE NEXT 30 YEARS.

>> OKAY. BUT TO BE FAIR, WHEN YOU WHEN, WHEN THE WHEN THE COMPANY BOUGHT THIS IS NOT A GUARANTEE. THE 4% IS IT. IT'S YOU'RE GUARANTEED TO RECEIVE THE 4% CREDIT.

>> IF WE RECEIVE THE RESOLUTION. YES, SIR. THAT'S A REQUIREMENT FROM TDHCA IN ORDER TO MOVE

FORWARD. >> THEN I'LL THEN I'LL BACK THAT UP A LITTLE BIT. YOU'RE NOT GUARANTEED AT THIS PHASE TO GET IT. SO YOU IT WAS A CALCULATED RISK. YOU KNEW COMING IN. HEY THIS MAY NOT PASS. AND WE HAVE THIS ASSET AND WE'LL HAVE TO. ALL THOSE THINGS ARE KNOWN

COMMODITIES AS I UNDERSTAND IT. THAT'S JUST DOING BUSINESS. >> RIGHT. SO THIS THIS, THIS THIS PROPERTY WAS BOUGHT AS PART OF A LARGER PORTFOLIO. AS WE WERE DOING THE EVALUATIONS, WE SINGLED THIS PROPERTY BECAUSE OF ITS LOCATION, BECAUSE OF ITS ACCESS TO EMPLOYMENT CENTERS. IT WAS REACHING THE END OF ITS AFFORDABILITY. AND THIS WAS AN ASSET THAT WE CHOSE AS PART OF

OUR MISSION TO PRESERVE AND CONTINUE THE AFFORDABILITY. >> GOT IT. AND IS THERE A COMMITMENT ON YOUR END OR IS THERE SOMETHING DOCUMENTED THAT YOU YOUR ENTITY WILL WILL NOT SELL IT, THAT YOU'LL OWN IT FOR THE NEXT 30 YEARS? IS THAT OR DO YOU HAVE FREEDOM TO SELL IT ONCE

YOU GET THE CREDITS? >> NO. SO ONCE WE RECEIVE, IF WE RECEIVE THE CREDITS, WE WILL BE IN A IN A LONG TERM COMMITMENT WITH THE TDHCA TO MAINTAIN AND OWN THE PROPERTY FOR THE NEXT 30

YEARS AND MAINTAIN ITS AFFORDABILITY. >> OKAY, SO YOU CAN'T SELL IT?

>> NO. OKAY. AND IT'S NOT THAT'S NOT OUR MISSION. WE'RE WE'RE PART OF OUR APRIL HOUSING MISSION IS TO BE A LONG TERM OWNER OPERATOR OF AFFORDABLE HOUSING.

>> OKAY. THANK YOU. >> OKAY. >> ALL RIGHT. ANY OTHER

QUESTIONS? SEEING NONE THEN. REPRESENTATIVE DISTRICT FIVE. >> THANK YOU VERY MUCH. MAYOR.

YOUR POINT IS TAKEN. COUNCILMEMBER HOLLAND, YOUR POINT IS TAKEN TO HAVING SAID THAT, I'M GOING TO MAKE THE MOTION. AND HERE'S WHY. OBVIOUSLY, PART OF IT IS WHAT MY COLLEAGUE MISS BYRD SAID. HERE'S THE OTHER PART. I DON'T I DON'T LOVE THAT WE'RE SENDING THIS MONEY TO YET ANOTHER HOUSING AUTHORITY TO DO A PROJECT IN THE CITY OF DENTON THAT OBVIOUSLY IS NOT IDEAL. WE WANT THESE DOLLARS SPENT RIGHT HERE AT HOME. BUT HERE'S WHERE WE ARE. WHAT OTHER CHOICE DO WE HAVE? THIS STRUCTURE IS ALREADY HERE, STANDING. THERE'S ALREADY PEOPLE HERE. MR. CHAIR, TO YOUR MR. MAYOR. TO YOUR POINT. THERE ARE APARTMENT COMPLEXES GOING UP ALL OVER THE CITY OF DENTON, AND SOME OF THEM, IN FACT, ARE AFFORDABLE. BUT THIS COUNCIL, THE LAST COUNCIL, THE COUNCIL BEFORE THAT HAS SAID THAT AFFORDABLE HOUSING IS A PRIORITY TO US. WHY ARE WE RUNNING AWAY FROM WHAT WE ALREADY PUT ON PAPER? THIS IS IMPORTANT TO US.

SO HERE'S WHAT WE'RE LOOKING AT. IF WE DON'T ALLOW THIS TO GO FORWARD AND ALLOW THEM TO SEEK THIS TAX CREDIT IN ORDER TO DO THE RENOVATIONS, TO CONTINUE TO MAKE THIS AN ATTRACTIVE PLACE TO LIVE, BECAUSE THIS PLACE WAS BUILT 30 YEARS AGO, THEY'RE JUST GOING TO RAISE THE RENT. WHAT DO YOU THINK THEY'RE GOING TO DO? NOT ONLY IS IT GOING TO ALL REVERT TO MARKET MARKET RATE HOUSING, BUT THEY'RE JUST GOING TO RAISE THE RENT ON THE PEOPLE WHO ARE ALREADY LIVING THERE IN THE MARKET RATE UNITS. IS THAT WHAT WE REALLY WANT? DO WE REALLY WANT TO KEEP PRICING PEOPLE OUT OF THEIR HOMES IN AN ENVIRONMENT WHERE INFLATION IS STILL NOT AT THE 2% GOAL, WHERE IT'S HARD TO CONTINUE TO GET BETTER EMPLOYMENT? THAT'S NOT WHAT WE SHOULD BE DOING. YEAH, I

[02:40:04]

DON'T LOVE DOING THIS. WE DON'T HAVE MANY OPTIONS AT THIS POINT. I TAKE I TAKE FORMER MAYOR WATTS'S POINT. WE PROBABLY NEED TO CONSIDER DOING A PFC AND THAT'S FINE. BUT WE'RE NOT THERE ON THIS PROJECT, AND I DON'T WANT TO MAKE THE PEOPLE WHO LIVE IN THIS PARTICULAR UNIT SUFFER JUST BECAUSE WE'RE TRYING TO PROVE A POINT, A POINT WELL TAKEN. HAVING SAID THAT, WE ARE HERE. THESE PEOPLE LIVE HERE TODAY. I AM NOT GOING TO TAKE A VOTE THAT ALLOWS THESE FOLKS TO RAISE THE RENT ON THESE PEOPLE, AND THESE PEOPLE HAVE TO MOVE SOMEPLACE ELSE. THAT'S NOT FAIR.

THE LOWEST COMMON DENOMINATOR ARE REGULAR PEOPLE IN THE CITY. WE HAVE TO THINK ABOUT WHAT THE DECISIONS THAT WE MAKE, ULTIMATELY WHAT THAT IMPACT IS ON THEM. YEAH. I DON'T LOVE THIS. I DON'T KNOW WHY THE HOUSING AUTHORITY DIDN'T APPROVE THIS. I UNDERSTAND THERE ARE SEPARATE BODY THAT DOESN'T ANSWER TO US. THAT'S UNFORTUNATE, BUT WE ARE HERE.

I'M APPEALING TO MY COLLEAGUES. WE SHOULD NOT GET IN THE WAY OF THEM GOING TO SEEK THE FUNDS IN ORDER TO DO THIS. I'M HAPPY TO HEAR YOU SAY THAT. IF YOU ENTER INTO THIS DEAL, THEN YOU WILL HAVE TO MAINTAIN YOU HAVE TO MAINTAIN OWNERSHIP OF THIS PROPERTY FOR 30 YEARS. THAT IS WHAT YOU SAID, RIGHT? OKAY. GO AHEAD. ARE YOU GOING TO SAY SOMETHING.

>> JUST TO CLARIFY, THEY THEY COULD SELL IT, BUT THEN THEY WOULD HAVE TO REPAY ALL THE TAX

BENEFITS. >> YEAH I WAS ABOUT TO SAY THEY CAN SELL.

>> IT I. >> TECHNICALLY YES, BUT OUR CONDITION IS.

>> THAT'S NOT WHAT YOU SAID THOUGH. >> RIGHT?

>> YEAH I. OKAY. I KNOW YOU'RE NOT GOING TO. I LOVE YOU TO PUT SOMEWHERE ON A PIECE OF PAPER THAT SAY YOU'RE NOT GOING TO SELL IT FOR 30 YEARS. AGAIN, I KNOW YOU'RE NOT GOING TO DO THAT. I GET IT, I GET IT. BUT GIVEN THAT THAT WAS A COMMITMENT THAT WAS MADE, I UNDERSTAND.

ANYWAY, THE POINT IS, I'M MAKING THE MOTION BECAUSE WE HAVE TO PROTECT THE PEOPLE WHO ARE ALREADY HERE TODAY, APARTMENT COMPLEXES IN DENTON, THEY RUN DOWN FAST. IF YOU DON'T BELIEVE ME, DRIVE DOWN MCKINNEY. WHEN WE LEAVE HERE TO 1610 EAST AND SEE WHERE I LIVE IN AN OLDER APARTMENT COMPLEX. TO LAST THING I'LL SAY IS TO MISS BIRD'S POINT. I UNDERSTAND THE NUMBERS.

I DON'T KNOW WHAT THE NUMBERS ARE. THEY MIGHT NOT, IN FACT, BEAR OUT THAT WE NEED MORE MULTI FAMILY. OKAY, FINE. BUT I WILL SPEAK OF THE MULTIFAMILY COMPLEX THAT I LIVE IN IS BUSTING AT THE SEAMS AND PEOPLE ARE STRUGGLING IN MY APARTMENT COMPLEX. I CAN NO LONGER PARK IN FRONT OF MY APARTMENT COMPLEX. I HAVE TO PARK IN THE FRONT AND WALK TO THE BACK BECAUSE EVERY PARKING SPACE IS FULL. THAT'S HOW I CAN JUDGE THE NEED. AND THE CITY OF DENTON STILL BEING HIGH, PARTICULARLY FOR PEOPLE AND WHO NEED AFFORDABLE HOUSING. YEAH, WE NEED PEOPLE AT 30. THESE FOLKS ARE 50 AND 60. WE'VE GOT TO DO THE BEST WE CAN. SO WITH THAT, MAYOR, I MAKE THE MOTION

TO APPROVE THIS, TO ALLOW THEM TO SEEK THESE CREDITS. >> REPRESENTATIVE DISTRICT ONE.

AND THEN I'LL COME BACK TO YOU, REPRESENTATIVE DISTRICT ONE. >> OH. JUST ONE. YES.

>> I SECOND. >> REPRESENTATIVE, DISTRICT SIX. >> I'D LIKE TO MAKE A MOTION TO TABLE THIS VOTE. I WOULD LIKE TO SEE IF IT WOULD BE POSSIBLE TO APPROACH THE DENTON HOUSING AUTHORITY TO SEE IF THAT'S SOMETHING THAT WE CAN WORK OUT HERE. I DON'T KNOW THAT THERE IS A PRESSING TIME FRAME, BUT AT LEAST GIVING US A COUPLE OF WEEKS TO SEE IF THERE ARE BARRIERS THAT CAN BE WORKED OUT TO MAKE THIS A WIN WIN FOR EVERYONE. SO THAT WOULD BE MY MOTION THAT WE TABLE THIS VOTE FOR A TIME ALLOWABLE TO SPEAK TO THE DENTON HOUSING AUTHORITY TO SEE IF IT'S POSSIBLE TO KEEP THIS IN THE CITY. SO WE DESPERATELY NEED THOSE FUNDS.

>> GOOD AFTERNOON, MAYOR AND COUNCIL. MY NAME IS PAIGE MEBANE. I'M COUNSEL FOR THE DENTON HOUSING AUTHORITY, DENTON HOUSING AUTHORITY'S AFFILIATE. LEGACY DENTON PUBLIC FACILITY CORPORATION IS SERVING AS THE ISSUER ON THIS PROPERTY, ALTHOUGH THEY ARE NOT SERVING IN THE OWNERSHIP. HOWEVER, THERE IS NOT AN OPPORTUNITY AT THIS TIME UNDER THE CURRENT TAX CREDIT APPLICATION TO CHANGE THE OWNERSHIP STRUCTURE. THERE HAS ALREADY BEEN AN INDUCEMENT RESOLUTION. IT WOULD CAUSE A LOSS OF THE CURRENT BOND RESERVATION TO TRY TO CHANGE THE

OWNERSHIP STRUCTURE. AT THIS PHASE OF THE DEVELOPMENT. >> COULD IT NOT BE REAPPLIED

FOR? >> IT WOULD HAVE TO BE WITHDRAWN. IT COULD BE REAPPLIED FOR IN THE NEXT BOND CYCLE, BUT IT WOULD LOSE THE CURRENT RESERVATION.

>> OKAY. >> REPRESENTATIVE FROM DISTRICT ONE.

[02:45:08]

>> I JUST WANTED TO MAKE A QUICK CLARIFICATION THAT WHEN I SAID UNITS THAT ALSO INCLUDE SINGLE FAMILY HOMES, A UNIT IS A SPACE WHERE PEOPLE LIVE. WE HAVE BEEN SEEING MASSIVE GROWTH IN VERY QUICKLY IN OUR COMMUNITY, IN SINGLE FAMILY DEVELOPMENT, AS WELL AS MULTIFAMILY DEVELOPMENT.

AND, YOU KNOW, JUST WANTED TO CLEAR THAT UP. I WASN'T TALKING ABOUT UNITS PER MULTIFAMILY, 7000 UNITS IN MULTIFAMILY IS MASSIVE. WE'RE TALKING ABOUT THE ENTIRETY OF THE CITY NEEDING MORE HOUSING. WE KNOW WE NEED MORE AFFORDABLE HOUSING, AFFORDABLE HOUSING, AFFORDABLE HOUSING, AFFORDABLE HOUSING. WE HEAR THAT. WE KNOW THAT HERE'S AN OPPORTUNITY TO KEEP KEEP UP WITH THAT MANTRA THAT WE HAVE. SINCE WE'RE INCLUSIONARY, LET'S GO AHEAD AND DO THAT.

>> THANK YOU. >> IS THERE A SECOND WE HAVE A MOTION ON THE FLOOR. IS THERE A

SECOND TO TABLE? >> I'LL SECOND. >> MOTION BY REPRESENTATIVE FROM DISTRICT SIX. SECOND BY REPRESENTATIVE FROM. DISTRICT FOUR. AND THAT'S TO AND THAT'S A ACTION CERTAIN I FORGET THE PROPER THING. BUT IT'S FOR AN ACTION TO HAVE A CONVERSATION WITH THE HOUSING AUTHORITY. UNDERSTANDING THERE'S A REPRESENTATIVE BUT WE WE'VE NOT WE CAN'T DO THAT LIVE. SO THAT'S MOTION. SECOND DISCUSSION I'LL JUST SAY THIS. LOOK NO FURTHER THAN JUST WHAT HAPPENED. WHETHER IT WAS INTENTIONAL OR UNINTENTIONAL. THERE IS A REPRESENTATION THAT, YES, WE'RE GOING TO OWN IT FOR 30. IT'S JUST, HEY, WE'LL TELL YOU WHATEVER YOU NEED TO HEAR TO GET YOU TO WHATEVER WE NEED TO GET TO, TO MOVE ON. AND I JUST THAT'S JUST NOT RIGHT. LET'S JUST I, I AM GOING TO BE SUPPORTIVE OF THIS, TO WAIT AND GET SOME FACTS STRAIGHT. AND BECAUSE I'M LOOKING AT THE CITY PROVIDED MAP ON AFFORDABLE HOUSING OF MULTIFAMILY IN THE AREA AND, AND I THINK THAT WORD IS GETTING OVERUSED A LOT FOR, FOR JUST TO ADVOCATE TO DO STUFF. BUT THERE ON THERE, NOT TOO FAR FROM THE SAME LOCATION, WE THERE'S TWO PHASES THERE OF 1851 BRINKER ROAD. SO THAT ONE'S NEW AND THERE'S TWO PHASES.

THERE'S A FRONT PHASE AND THEN THERE'S A BACK PHASE. SO THOSE UNITS ARE BRAND NEW AND THAT'S AN AFFORDABLE UNIT. AND THEN JUST UP THE ROAD THERE 3500 QUAIL CREEK DRIVE. THAT'S ALSO ON BRINKER I DON'T KNOW. THAT'S LET'S SEE HOW MANY. I WON'T BELABOR THE POINT WITH HOW MANY UNITS THAT IS. THAT'S PROVIDENCE PLACE APARTMENTS THERE. THOSE ALL THOSE AFFORDABLE SAME SAME GENERAL AREA. AND SO AND IF ANYONE WANTS TO LOOK AT THE MAP TO SEE ALL THAT'S JUST IN THAT AREA, IF YOU LOOK AT ALL THE SO AND THEN THE OTHER ARGUMENT THAT I JUST DON'T SUBSCRIBE TO, WE HAVE BUILT WE HAVE STANDARDS AND THEY'RE GOING TO HEAR THOSE STANDARDS OR WE'RE GOING TO COME IN AND WE'RE GOING TO CORRECT THOSE ACTIONS. NO ONE'S HOUSE IS GETTING DILAPIDATED. NO ONE'S HOUSE IS GOING TO GET LET GO. NONE OF THOSE THINGS ARE GOING TO HAPPEN. THAT'S NOT AN OPTION.

EVERYTHING I'VE HEARD IS JUST IT'S JUST I'D RATHER HEAR ACCURATE DATA ON WHY WE SHOULD MOVE FORWARD THAN JUST BUZZWORDS AND THINGS LIKE THAT TO TRY TO ELICIT AN EMOTIONAL RESPONSE VERSUS LET'S MAKE A GOOD DECISION, SOUND DECISION BASED ON FACTS THAT ARE WELL RESEARCHED AND DON'T DON'T MOVE. AS MUCH AS THE DATA HAS BEEN MOVING TODAY. SO WITH THAT, I'M GOING TO BE SUPPORTIVE TO GET TO MORE INFORMATION. REPRESENTATIVE FROM DISTRICT FIVE.

>> HERE'S A NOT EMOTIONAL RESPONSE FOR YOU. HE'S NOT GOING TO CORROBORATE THIS, BUT I'LL SAY IT AGAIN. IF WE DON'T MOVE FORWARD WITH THIS, THEN FOLKS DON'T RAISE THE RENT. NO ONE SPOKE TO THAT. THEY'RE JUST GOING TO RAISE THE RENT ON THE PEOPLE WHO ALREADY LIVE THERE.

SO. TO THE MOTION. SIR. I'M SORRY, I FORGET YOUR NAME. CAN YOU SPEAK TO THE OR. JESSE, CAN ONE OF Y'ALL SPEAK TO THE MOTION? IS THERE A PROBLEM WITH DELAYING?

>> I THINK THAT WE'RE WITHIN. WE COULD COME BACK FOR A RESOLUTION OF NO OBJECTION AT A NEAR TIME

DATE THAT WOULDN'T PUT IN DANGER YOUR LOTTERY NUMBER. >> IT IT WOULD. IT COULD POTENTIALLY COULD. SO WE. SO WE ARE UP AGAINST A DEADLINE TO FOR OUR BOND RESERVATION THAT'S

[02:50:02]

ALREADY BEEN APPROVED. WE ARE UP AGAINST HAVING TO CLOSE THE PROJECT BY SEPTEMBER. IF WE ARE TO CHANGE THE NONPROFIT PARTNER AT THIS TIME, IT WOULD FORCE US TO HAVE TO WITHDRAW OUR APPLICATIONS AND START THE PROCESS OVER AGAIN AND THEN RESUBMIT FOR THE BOND LOTTERY,

WHICH WOULD, YOU KNOW, PUSH US BACK ANOTHER YEAR. >> OKAY, I HEAR YOU, BUT.

BROTHER, HELP ME OUT. READ THE ROOM. OKAY. READ THE ROOM. WHERE ARE YOU? WHERE ARE YOU AT RIGHT NOW? MISS JESTER SAID SHE WANTS TO DELAY UNTIL WE CAN HAVE A CONVERSATION WITH THE HOUSING AUTHORITY. WE'RE NOT TO A PLACE WHERE YOU HAVE TO HAVE. WHERE YOU HAVE TO WORK WITH ANOTHER PARTNER. WE'RE NOT THERE YET. WE JUST WANT TO HAVE A CONVERSATION. SO IF YOU'RE TELLING ME THAT YOU CAN'T MOVE FORWARD AT A LATER DATE, YOU HAVE TO MOVE FORWARD TONIGHT.

READING THE ROOM, I DON'T KNOW HOW WELL THAT'S GOING TO WORK OUT FOR YOU. SO I'M GOING TO ASK YOU AGAIN, HOW MUCH IS THIS GOING TO HURT YOUR PROJECT? CAN YOU WAIT UNTIL WE HAVE A CHANCE

TO HAVE A CONVERSATION AND THEN COME BACK? >> YES, SIR. WE CAN WAIT. I

MISUNDERSTOOD THE INITIAL QUESTION, I APOLOGIZE. >> OKAY, MAYOR, I APPRECIATE THE OPPORTUNITY TO SPEAK, AND I APPRECIATE THE MOTION MADE BY COUNCIL MEMBER JESTER.

>> MAYOR PRO TEM. >> I GUESS I'M NOT CATCHING YOUR NAME EITHER. I'M SO SORRY. SO? SO LET'S SAY THAT THAT YOU ARE AWARDED THE CREDITS. AND, JESSE, YOU MAY EVEN KNOW THE ANSWER TO THIS. LET'S SAY HE DOES SELL. CAN CAN YOU REMIND US IF THIS DEAL STILL WOULD APPLY TO THE PROPERTY OR DOES IT IS IT STICKING WITH BASICALLY THE ENTITY THAT'S ASKING FOR IT. SO THE BUSINESS. IF THEY WERE TO SELL THE PROPERTY, THEY WOULD BE REQUIRED TO PAY BACK THOSE MILLIONS OF DOLLARS TO THE IRS FOR BREAKING WITH THE AFFORDABILITY PERIOD. RIGHT. SO THAT WOULD THEN REFUND IT TO THE IRS. THE AFFORDABILITY WOULD NOT BE THERE FOR A DIFFERENT

PROJECT. >> OKAY. SO IT DOES NOT TRANSFER.

>> NO, AS I UNDERSTAND. >> I APOLOGIZE. I MAY I MAY I ADD. THE PROPERTY IF IT IS RE SYNDICATED IT AT SOME POINT IT WILL STILL MAINTAIN ITS 30 YEAR AFFORDABILITY PERIOD, EVEN IF 15 YEARS, 20 YEARS DOWN THE ROAD, WE DO DECIDE TO SELL OUR INTEREST OUT. THE AFFORDABILITY WILL NOT GO AWAY JUST BECAUSE THE PROPERTY CHANGES HANDS, IT WILL STILL RETAIN ITS AFFORDABLE AFFORDABILITY FOR 30 YEARS, REGARDLESS OF WHO THE OWNER IS. I JUST WANTED TO STATE THAT.

>> THANK YOU. APPRECIATE IT. MAYOR PRO TEM, IS THAT EVERYTHING YOU HAD?

>> YEAH, THAT'S ALL I HAD. >> THANK YOU. GOT IT. REPRESENTATIVE FOR DISTRICT ONE.

>> AND WITH THE GENTLEMAN SAYING WITH HIM SAYING THAT THAT STILL GOES TO MY POINT IS THAT WE ARE DOING THE NUANCE OF HOW THIS IS TAKING PLACE, WHICH WE DON'T. THIS COULD BE A ONE TIME THING, AND WE CAN BE MORE MINDFUL AND THOUGHTFUL IF THIS SCENARIO COMES UP AGAIN. MY ISSUE IS, AND I THINK THAT ANY OTHER LAYPERSON THAT'S OUT THERE THAT IS LOOKING FOR AN AFFORDABLE PLACE TO LIVE IS THERE STILL HAS TO BE A PLACE AVAILABLE FOR THEM. I'M THINKING ON BEHALF OF THE PEOPLE OUT THERE RIGHT NOW, I KNOW THAT THERE IS SOME STUFF GOING ON IN HERE THAT THAT WE'RE QUESTIONING AND ALL OF THAT. WE GET ALL OF THAT. BUT BOTTOM LINE, WHAT IS IT THAT THE PEOPLE NEED? WE SAID THAT WE WERE GOING TO DO OUR VERY BEST TO GIVE THE PEOPLE WHAT THEY NEED, AND IF THEY NEED A PLACE THAT THEY CAN AFFORDABLY STAY AT. AND IT'S A NICE NEW, RENOVATED LOCATION THAT'S BEEN THERE, WE KNOW IT CAN HOLD UP FOR 30 YEARS. WHAT IS IT THAT THE COMMUNITY NEEDS? NOT THE LITTLE CHECKS AND BALANCES AND THINGS LIKE THAT THAT'S OCCURRING RIGHT NOW. AND THIS MAY BE JUST A ONE TIME THING, BECAUSE NOW WE'RE MORE MINDFUL AND WE SHOULD KNOW BETTER FROM THIS POINT. WE CAN THINK BETTER. WE HAVE PRECEDENT. NOW, I WOULD PREFER TO HAVE AN AFFORDABLE LOCATION THAT'S GOING TO LAST. I DON'T KNOW IF THEY'RE GOING TO SELL IT OR NOT. I WANT IT TO BE NICE FOR A PERSON TO GO AND LIVE THERE. THAT'S THE BOTTOM LINE FOR ME. THANK YOU.

>> OKAY. ANYONE ELSE? OKAY. WE HAVE A MOTION TO POSTPONE TO AN ACTION CERTAIN. AND THAT'S TO HAVE A CONVERSATION WITH THE DENTON COUNTY HOUSING AUTHORITY. THERE'S A MOTION AND A SECOND.

ANY OTHER DISCUSSION? SEEING NONE. LET'S VOTE ON. AND AGAIN THIS IS THE VOTE MOTION TO POSTPONE OUR TABLE UNTIL AN ACTION CERTAIN. LET'S VOTE ON THE SCREEN.

[A. Consider approval of a resolution of the City of Denton approving the issuance and sale by Legacy Denton Public Facility Corporation of Multifamily Housing Revenue Bonds (Roselawn Village) Series 2025 to provide affordable rental housing; and providing an effective date.]

[02:55:18]

THAT PASSES 4 TO 2. THAT TAKES US TO OUR NEXT ITEM. THESE ITEMS FOR INDIVIDUAL CONSIDERATION.

SIX A I'D 251315. CONSIDER APPROVAL OF A RESOLUTION OF THE CITY OF DENTON APPROVING THE ISSUANCE AND SALE BY LEGACY DENTON PUBLIC FACILITY CORPORATION OF MULTIFAMILY HOUSING REVENUE BONDS. THIS IS ROSELAWN VILLAGE SERIES 2025. THE TO PROVIDE AFFORDABLE RENTAL HOUSING AND PROVIDE AN EFFECTIVE DATE. AND DID YOU SAY THERE'S ONE PRESENTATION FOR.

>> YES MA'AM. THERE'S ONE PRESENTATION FOR ITEM 15 AND 16 BECAUSE ITEM 16 WAS DEALING WITH THE BOND ISSUANCE FOR THE WATERFORD SPENCER'S OAKS. AND THAT HAS BEEN POSTPONED. I THINK

IT WOULD MAKE SENSE TO POSTPONE. >> WHAT DO I NEED TO DO THERE? MACK. OKAY. SO WE'LL TAKE THAT

ONE UP IN A BIT. SO I'LL JUST CALL A. >> GOOD EVENING. MAYOR AND COUNCIL JESSE KENT, DIRECTOR OF COMMUNITY SERVICES. AS WE'VE TALKED A LITTLE BIT, THERE ARE THE TWO TYPES OF HOUSING TAX CREDITS. WHAT'S PERTINENT FOR THE 4% HOUSING TAX CREDITS? THAT IS THAT THE AT LEAST 50% OF THEM MUST BE FUNDED BY A PARTICULAR BOND. THE MULTIFAMILY HOUSING REVENUE BONDS, MULTIFAMILY HOUSING REVENUE BONDS ARE REQUIRED TO FINANCE AT LEAST 50% OF THE COST OF A 4% HOUSING TAX CREDIT. THERE IS A VOLUME CAP ON PRIVATE ACTIVITY BONDS THAT ARE ALLOWED AT THE STATE, BUT ONCE AN AGENCY THAT IS ABLE TO ISSUE THOSE AS A CONDUIT ON A CONDUIT BASIS AND AN ORGANIZATION IS APPROVED FOR THE THOSE PRIVATE ACTIVITY BONDS, THEY HAVE TO GO THROUGH AND APPROVE THE ISSUANCE, THE CONDUIT ISSUANCE OF THOSE, THE ORGANIZATION THAT ROSELAWN HAS CHOSEN TO PARTNER WITH IS DENTON HOUSING AUTHORITY. THEY ARE CONDUIT ISSUER OF THESE BONDS AS THE GOVERNING BODY FOR DAR, YOU ARE AS THE GOVERNING ELECTED BODY.

EXCUSE ME. YOU ARE REQUIRED TO APPROVE THE ISSUANCE. AGAIN, THIS IS FOR ROSELAWN VILLAGE.

THIS THIS PROPERTY WAS APPROVED BACK IN FEBRUARY BY COUNCIL FOR A 4% HOUSING TAX CREDIT. AGAIN, THIS IS TO HELP FUND THE ISSUANCE OF THE FUNDING NECESSARY FOR THE CONSTRUCTION OF ROSELAND VILLAGE ON FEBRUARY 18TH. THAT'S WHEN COUNCIL HEARD AND APPROVED A RESOLUTION OF NO OBJECTION FOR ROSELAWN VILLAGE. ON JULY 10TH, THE HOUSING AUTHORITY HELD A PUBLIC HEARING REGARDING MULTIFAMILY HOUSING REVENUE BOND CONDUIT ISSUANCE. FOR BOTH DEVELOPMENTS. THERE WERE NO NO PUBLIC COMMENTS MADE AT THAT PUBLIC HEARING, AND TODAY WE'RE CONSIDERING THE APPROVAL OF THE MULTIFAMILY HOUSING REVENUE BONDS. STAFF RECOMMENDS APPROVAL OF THIS RESOLUTION WITH THE POSTPONEMENT OF THE OTHER. OKAY. THANK YOU. ANY QUESTIONS FOR STAFF? SEEING NONE I DON'T HAVE ANY CARDS, SO I WILL TAKE A MOTION. MAYOR PRO TEM.

>> THERE WE GO. THANK YOU. I'D LIKE TO MOTION TO APPROVE THIS ITEM.

>> OKAY. IS THERE REPRESENTATIVE FROM DISTRICT FIVE? >> MY APOLOGIES, I BELIEVE

SECOND. THANK YOU, MAYOR TURPIN. >> WE HAVE A MOTION AND A SECOND TO APPROVE ANY OTHER DISCUSSION.

SEEING NONE. I'LL JUST SAY THIS. THIS IS HATE TO DO THIS TO YOU, BUT CAN YOU PULL UP THE MAP OF

THE PARK THERE. >> OF DENIA PARK? >> YES, SIR.

>> LET'S SEE WHAT WE CAN DO. >> GOOGLE MAPS. >> OH, NO. WE GOT IT BOOKMARKED.

>> YOU'RE HILARIOUS. >> OKAY. YEAH, THAT'S. THAT'S GOOD. SO ZOOM IN RIGHT WHERE YOU ARE. THERE. SO THAT'S THAT'S WHERE IT WOULD GO IF I AM I CORRECT?

[03:00:01]

>> YES, SIR. IT'S IN THIS THIS PARCEL HERE. >> AND ROSELAWN IS ONE LANE EACH

WAY. >> ROSELAWN IS ONE LANE EACH WAY RIGHT NOW. BUT I BELIEVE THEY'RE REQUIRED TO MAKE PROPERTY IMPROVEMENTS AS PART OF THE DEVELOPMENT PROCESS. SO I THINK

THEY ARE REQUIRED. >> YEAH, I WANT TO HAVE THAT CONVERSATION BECAUSE I, I NEED

TO KNOW THE TIMING OF THAT. >> SURE. >> GOOD EVENING, MR. MAYOR. MY NAME IS NICK WALSH. I'M WITH THE DEVELOPER OF THE NRP GROUP. GOOD TO SEE YOU ALL AGAIN. AND ROSELAWN IS REQUIRED BY THE CITY TO BE. WE HAVE TO ACTUALLY WE ARE REALIGNING THE ROAD SO YOU CAN KIND OF SEE I'M GOING TO ZOOM IN FOR YOU HERE PLEASE. SO IF YOU SEE THIS PORTION HERE WE ARE ACTUALLY GOING TO THE ROAD IS GOING TO BE COMPLETELY REALIGNED. SO THERE'S NOT THIS SHARP CURVE THAT YOU'RE SEEING. SO WE WILL BE COMPLETELY RECONSTRUCTING FROM SCRATCH THE ROAD ALONG THIS AREA. AND THEN THE OH NO I'M CLICKING DOWN. AND THEN THE REMAINDER OF THIS ROAD AS WELL WILL BE. WILL BE IMPROVED, WILL BE IMPROVED. IN ADDITION TO US BEING RESPONSIBLE UNDER CITY ORDINANCE FOR ACTUALLY CONSTRUCTING THAT NEW PORTION ROAD, REALIGNING IT, REBUILDING AND EXPANDING THE ROAD AS IT EXISTS TODAY. WE ALSO HAD TO PAY INTO THE TRANSPORTATION FUND AND IMPACT FEES TO THAT, AND SO THAT THOSE DOLLARS WILL BE USED TO DO ADDITIONAL IMPROVEMENTS IN THE AREA THAT HAVE BEEN IDENTIFIED THROUGH THE TRAFFIC ANALYSIS.

THERE'S, YOU KNOW, WITH OUR PROJECT AS WELL AS THIS EAGLE CREEK PROJECT. YOU KNOW, I THINK THERE'S DOLLARS GOING INTO THAT FUND TO MAKE IMPROVEMENTS GENERALLY IN THIS NEIGHBORHOOD, YOU KNOW, POTENTIALLY A TRAFFIC LIGHT TRAFFIC. THIS IS JUST NOT WORKING. I TRIED MY BEST. YES.

TRAFFIC. OTHER IMPROVEMENTS IN THE AREA. SO PRETTY DECENT INVESTMENT IN TERMS OF WHAT HAS TO HAPPEN AS REQUIRED UNDER NORMAL CITY ORDINANCE FOR OUR PROJECT.

>> RIGHT. SO HOW MUCH OF THAT IMPROVEMENT. IT'S JUST ALONG YOUR PROPERTY. SO DOES THAT

CONNECT TO I DON'T. >> KNOW RIGHT NOW. I'LL TELL YOU. SO THE DENTON ISD HAS UNDER CONSTRUCTION GRAVEL STREET. SO THAT IS CURRENTLY UNDER CONSTRUCTION. AND THAT IS ACTUALLY GOING THAT'S ALONG THE SOUTHERN BORDER OF DANIA PARK. AND THAT'S GOING TO BE THE NEW ACCESS FOR BORMAN ELEMENTARY SCHOOL, WHICH IS BEING REPLACED. AND SO THAT'S UNDER CONSTRUCTION. SO WE WILL BE GOING FROM THAT GRAVEL STREET ALL THE WAY DOWN. AND THE ENTIRE EXTENT OF OUR PROPERTY. SO FROM GRAVEL TO ROSELAWN CIRCLE, WHICH IS SO.

>> AGAIN, SO GRAKLE. >> IS GRAKLE IS GOING TO COME RIGHT HERE ALONG THE SOUTHERN BORDER OF THE BORMAN ELEMENTARY SCHOOL PROPERTY AND DANIA PARK. OKAY. AND SO WE'RE GOING TO GO ALL THE WAY FROM THAT GRAKLE, OH MY GOSH, FROM GRAKLE ALL THE WAY DOWN AND AROUND THE CORNER TO

ROSELAWN CIRCLE. >> OKAY. AND SO WHAT'S YOUR YOUR TIMING ON THAT IS THAT HAS TO BE

DONE BEFORE YOU OPEN. >> CORRECT. THAT THAT WILL TAKE PLACE DURING CONSTRUCTION.

>> OKAY THEN. JESSIE, DO YOU KNOW ABOUT THE REST OF THAT. THAT WHAT IS THAT?

>> BERNARD BERNARD STREET. >> YES. SO IF THEY TAKE US TO THE PARK. IS BERNARD'S ALREADY PART OF IT? ALREADY REDONE. AND IT STAYED ONE LANE. THAT'S A NEIGHBORHOOD, I GET IT, BUT YEAH, YOU CAN SEE WHERE I'M GOING. I JUST DON'T KNOW IF WE HAVE PLANNED CONSTRUCTION THERE.

AND SO IF YOU IF YOU ZOOM OUT A LITTLE BIT BECAUSE THE, THE ISSUE IS I'M HAVING FOR CONSISTENCY PURPOSES IS JUST ON THE OTHER SIDE OF THE PARK WHERE YOU HAVE THE FOLKS ON BONNIE BRAE THAT DIDN'T WANT THAT MULTIFAMILY BY THEIR HOUSE BECAUSE OF INFRASTRUCTURE PROBLEMS. RIGHT. LIKE IT'S NOT FAR AWAY AS THE CROW FLIES, IT'S DIRECTLY ACROSS THE STREET. AND SO OVER HERE WE SAID NO, RIGHT. AND WE'VE SAID CONSTANTLY NO, BECAUSE THE INFRASTRUCTURE IS NOT IN PLACE. AS SOON AS YOU PUT THE INFRASTRUCTURE IN PLACE, WE'RE GOOD TO GO. BUT OVER HERE WE'RE LIKE, HEY, THIS NEIGHBORHOOD'S NOT ORGANIZED. MAYBE THERE ARE LESS AFFLUENT.

WHATEVER. WE'RE GOOD TO GO. >> THE DEVELOPER DID WHEN THEY WERE GOING THROUGH THE PROCESS OF RECEIVING THE HOUSING TAX CREDITS, THEY DID HOLD A NEIGHBORHOOD MEETING WITH THE NEIGHBORHOOD ASSOCIATION, AND THE NEIGHBORHOOD ASSOCIATION WAS IN FAVOR OF THE DEVELOPMENT, DID A GREAT JOB OF SPEAKING TO THEM, AND THEY WERE IN FAVOR OF THE DEVELOPMENT MOVING FORWARD.

>> AND I MEAN, YOU HAVE TO HEAR MY HEART, THOUGH, RIGHT? AND YOU HAVE TO DRIVE IT. BUT WHAT I WOULD REPRESENT TO YOU IS THE PEOPLE ON BERNARD STREET AREN'T IN THAT MEETING. IT'S A IT'S A DIFFERENT GROUP OF PEOPLE THAT THAT DON'T MAKE DANIA RECREATION MEETINGS. RIGHT. THEY JUST BUSY.

AND SO PUTTING THAT TRAFFIC THERE I JUST MY PERSONAL I'M NOT TELLING YOU ANYTHING. I'M JUST VOICING WHEN THEY WHEN THEY SEE MAYOR. NO, THEY'RE GOING TO WONDER WHY. AND SO I WANT TO CLEARLY COMMUNICATE. YES. SO. YEP. ALL RIGHT. AND THE SAME SAME ISSUE GOES I GET IT. I'M

[03:05:03]

NOT GOING TO ASK YOU TO PULL UP THE MAP, BUT I AM GOING TO ASK IT TO BE IN THE FRIDAY REPORT.

IF YOU CAN LINK THAT MAP TO THE CITY OF DENTON'S MULTIFAMILY. PARDON ME. YEAH. MULTIFAMILY AFFORDABLE HOUSING MAP. IT'S RIGHT THERE. YOU CAN SEE. I MEAN, IT'S JUST. AND DOES THAT MAP CAPTURE PENDING PROJECTS. RIGHT. AND SO A LIST OF PENDING PROJECTS BECAUSE IT'S JUST. WE ARE I WANT TO RECONCILE THOSE TWO BECAUSE I THINK WE'RE AT A POINT WHERE NORTH OF BECAUSE WHEN WAS THIS WHEN WAS THIS. WHEN WAS THIS APPROVED. THE INITIAL CREDIT.

>> IS IN FEBRUARY, FEBRUARY 18TH I THINK IT WAS OKAY. >> GOT IT. OKAY. GOT IT. SO I'M

FINE. I JUST WANTED TO HAVE A CLEAR RECORD. MAYOR PRO TEM. >> OKAY. ALL RIGHT. THANK YOU.

YEAH, I WAS AT THAT MEETING. I REMEMBER YOU PRESENTING, AND IT DID FEEL LIKE THE GENERAL TEMPERATURE WAS OKAY WITH IT, IN PART BECAUSE WHAT IS THE CURRENT ZONING OF THIS PROPERTY?

>> IT IS ZONED MULTIFAMILY. SO THEY COULD ANYONE COULD DEVELOP BY RIGHT ON THIS PROPERTY.

>> AND SO I THINK THAT WAS CERTAINLY A FACTOR. AND I WOULD AGREE, PROBABLY NOT MANY PEOPLE FROM BERNARD STREET WERE THERE. PROBABLY BECAUSE I RECOGNIZE THAT, YOU KNOW, WHO SHOWS UP AND WHO DOESN'T IN THOSE NEIGHBORHOOD MEETINGS. BUT I THINK UNDERSTANDING WHERE THE ZONING ALREADY IS, IT SEEMED LIKE THE NEIGHBORHOOD KIND OF PREFERRED IF THERE'S GOING TO BE SOMETHING THERE ANYWAY, WE WOULD RATHER IT BE AFFORDABLE. THAT WAS SORT OF THE TEMPERATURE THAT I HEARD, AND IT'S ALREADY ZONED MULTIFAMILY AS WELL. FOR THE RECORD.

>> NO GREAT INSIGHT. I DO APPRECIATE THAT. BUT JUST AGAIN, VISUALLY, AS I DRIVE, I LEAVE THEIR APARTMENT COMPLEX, MULTIFAMILY COMPLEX I LEAVE THERE, I GO DOWN BERNARD ALL THE WAY DOWN, AND THEN YOU TURN RIGHT TO GO TO FORT WORTH DRIVE, AND YOU'RE NEVER GETTING OUT OF THERE, EVER. OR YOU CAN GO STRAIGHT AND GO TO THE SERVICE ROAD. AND THAT'S RISKY.

PROPOSITION TWO. OR YOU CAN GO BACK TOWARDS THE UNIVERSITY. I JUST, YOU KNOW, I MEAN, I JUST HAVE CONCERNS AND IT'S NOT THEIR PROJECT. RIGHT? THERE'S THAT'S A GENERAL GEOGRAPHIC AREA ISSUE THAT I'M GETTING HUNG UP ON AND, YOU KNOW, SO I GET IT. THANK YOU. OKAY. VERY GOOD. WE HAVE A MOTION I THINK. DID WE DO THAT OR. NO. WE HAVE A MOTION IN A SECOND. GREAT. LET'S VOTE ON THE SCREEN. AND THAT PASSES 5 TO 1. YES. AND THAT TAKES US TO ITEM B. JUST I CAN JUST. YEAH OKAY.

[B. Consider approval of a resolution of the City of Denton approving the issuance and sale by Legacy Denton Public Facility Corporation of Multifamily Housing Revenue Bonds (Waterford at Spencer Oaks) Series 2025 to provide affordable rental housing; and providing an effective date.]

SO I'LL CALL IT. AND THEN IT'S ITEM B I'D 251316. CONSIDER APPROVAL OF A RESOLUTION OF THE CITY OF DENTON APPROVING THE ISSUANCE AND SALE OF LEGACY DENTON PUBLIC FACILITY CORPORATION OR MULTIFAMILY HOUSING REVENUE BONDS SERIES 2025 TO PROVIDE AFFORDABLE RENTAL HOUSING AND PROVIDING AN EFFECTIVE DATE, AND THAT HAS BEEN POSTPONED TO AN ACTION CERTAIN. THAT TAKES US TO WE GET THERE OKAY. THANK YOU. THAT TAKES US TO ITEM C I'D 251343.

[C. Consider adoption of an ordinance of the City of Denton, a Texas home-rule municipal corporation, authorizing the approval of a first amendment to a Professional Services Agreement between the City of Denton and Kimley-Horn and Associates Inc., amending the contract approved by City Council on June 6, 2023, in the not-to-exceed amount of $14,952,000.00; said first amendment to provide additional engineering design and construction phase services for the Pecan Creek Water Reclamation Plant (PCWRP) Expansion Project for the Wastewater Department; providing for the expenditure of funds therefor; and providing an effective date (RFQ 7574-027 - providing for an additional first amendment expenditure amount not-to-exceed $18,840,500.00, with the total contract amount not-to-exceed $33,792,500.00). The Public Utilities Board recommends approval (5 - 0).]

CONSIDER ADOPTION OF AN ORDINANCE OF THE CITY OF DENTON, TEXAS HOME RULE MUNICIPAL CORPORATION AUTHORIZING THE APPROVAL APPROVAL OF A FIRST AMENDMENT TO THE PROFESSIONAL SERVICES AGREEMENT BETWEEN THE CITY OF DENTON AND KIMBERLY HORN.

>> I GUESS. >> GOOD EVENING, COUNCIL MEMBERS, MAYOR JASON DONALD, WATER UTILITIES PROJECT MANAGER. THIS EVENING, WE'RE SEEKING APPROVAL OF A CONTRACT AMENDMENT WITH KIMLEY-HORN AND ASSOCIATES FOR THE DESIGN OF THE PECAN CREEK WATER TREATMENT PLANT. UP TO 30 MILLION GALLONS PER DAY. TREATMENT. THE CURRENT PLANT WAS BUILT IN 1961 WITH A CURRENT CAPACITY OF 21 MILLION GALLONS PER DAY. TREATMENT. WE'RE BUMPING UP AGAINST 85% MAXIMUM CAPACITY. AS STEPHEN MENTIONED EARLIER, WE HAVE A REQUIREMENT TO BE IN DESIGN FOR EXPANSION AT 75% MAXIMUM CAPACITY AND WITH IN IN CONSTRUCTION BY 90%. THIS CONTRACT WAS APPROVED BY CITY COUNCIL JUNE OF 2023. FOR THIS SPECIFIC REASON, THE DISCHARGE PERMIT WAS REQUIRED TO GO TO 30 MGD THAT HAS BEEN TAKEN CARE OF AND APPROVED WITH T-C-E-Q, A CONDITION. A CONDITION ASSESSMENT WAS PERFORMED TO DEVELOP THE ASSET INVENTORY AND ESTABLISH THE CRITERIA TO SEE IF

[03:10:02]

WE'RE IN REGULATORY COMPLIANCE FOR THE EQUIPMENT AND INFRASTRUCTURE. WE ARE NOT. IT WILL REQUIRE SOME REHAB OF THE EXISTING PLANT, AFTER WHICH WE DID A COST COMPARISON TO REHAB THE EXISTING PLANT AND EXPAND TO 5 MILLION GALLONS A DAY FOR A TOTAL OF 26 VERSUS BUILDING A COMPLETELY NEW PLANT. THAT EXERCISE SHOWED US, SHOWED US THAT WE WOULD SAVE APPROXIMATELY $133 MILLION BY BUILDING A COMPLETELY NEW PLANT OVER REHABBING AND EXPANDING FIVE MGD, AND IT WAS RECOMMENDED THAT WE GO AHEAD AND BUILD THE 30 MGD. THIS IS A BRIEF OVERVIEW OF THAT COST EXERCISE, SHOWING THE REHAB OF THE PLANT AT 82.5. EXPANSION TO FIVE MGD AT 390.

CONNECTING THE TWO PLANTS TOGETHER WOULD BE 12.7. AND THEN SOON THEREAFTER, WE WOULD HAVE TO COMPLETELY REBUILD THE 21 TO 26 FOR 152, FOR A TOTAL OF 6.36, WHEREAS IF WE BUILT THE 30 RIGHT OFF THE BAT, WE WOULD CARRY 5.8 TO KEEP THE CURRENT PLANT IN OPERATION FOR THE NEXT FIVE YEARS AND A TOTAL OF 4.98 TO BUILD THE 30 MGD NEW PLANT WITH A SAVINGS OF 132.9 MILLION AND ABOUT TWO AND A HALF YEARS QUICKER TIME FRAME. THE CURRENT CONTRACT HAS A NEW SEWER INTERCEPTOR HEADWORKS BAR SCREEN, THE FIVE MGD. WE MENTIONED SOLID HANDLING, UV DISINFECTION, AND A 30 MILLION GALLON EQUALIZATION EQUALIZATION BASIN. THAT CONTRACT IS 14.9 MILLION CURRENTLY. WE'RE SEEKING TO EXTEND THAT TO ADD A TOTAL OF 25 MGD, ADD SOME BIOLOGICAL NUTRIENT REMOVAL, AEROBIC DIGESTERS, INCREASE OUR NON POT WATER SYSTEM, CHEMICAL FEEDS FOR THE NEW SYSTEMS AND NEW OPERATIONS AND SCALE BUILDING FOR THE OPERATORS ON SITE, AND FULL EMERGENCY BACKUP GENERATORS IN CASE OF EMERGENCIES. ALSO INCLUDED IS CONSTRUCTION, CONTRACT ADMINISTRATION AND OUR POWER AND ENVIRONMENTAL ASSESSMENT SERVICES. FROM KIMLEY-HORN. THIS WOULD ADD 18.8 MILLION FOR A TOTAL OF 33 792,500.

>> OKAY. THANK YOU VERY MUCH. QUESTIONS FOR STAFF REPRESENTATIVE DISTRICT FOR.

>> YOUR BUILDING. THANK YOU. YOU'RE BUILDING AT THE CURRENT SITE?

>> YES, SIR. JUST SOUTH OF THE CURRENT PLANT IS AN OPEN AREA THAT'S USED FOR DRYING BEDS THAT

WILL BE FILLED IN AND BUILT ON TOP OF. >> SO YOU YOU WILL BUILD AND

THEN AND THEN THE OTHER PLANT IS DEMOLISHED. >> THE EXISTING PLANT WILL BE TAKEN OFFLINE. AND THERE WILL BE ANOTHER PROJECT TO DEMOLISH AND REMOVE THAT AND LEAVE THAT LAND

FOR USE IN THE FUTURE. >> I SEE. OKAY, OKAY. THANK YOU. YES, SIR.

>> ANY OTHER QUESTIONS FOR STAFF? IF NOT, I'LL TAKE A MOTION. MAYOR PRO TEM.

>> A MOTION TO APPROVE. >> REPRESENTATIVE FROM DISTRICT FOR.

>> SECOND, PLEASE. >> WE HAVE A MOTION AND A SECOND. ANY OTHER DISCUSSION? SEEING NONE. THIS VOTE ON THE SCREEN. THANK YOU VERY MUCH. THAT PASSES SIX ZERO. OH, JUST AS EXCUSE. IS IT JASON? YEAH. JASON, CAN I BORROW YOU FOR A SECOND AT THE PODIUM?

>> OH. >> OH, THE ELEPHANT IN THE ROOM. >> CONGRATULATIONS. WELL DONE, I

WASN'T SURE. >> CONGRATULATIONS. >> HOW LONG HAVE YOU BEEN.

>> WITH THE CITY? 23 YEARS. OH, MAN. OUTSTANDING MAN. WERE YOU? >> YOU'VE BEEN DUCKING THE

PODIUM. >> I WAS, I WAS IN PARKS. >> YEAH. THERE YOU GO. OKAY. GOT IT, GOT IT. WELL, THANK YOU VERY MUCH. WELL DONE. SURE, SURE. HONORED TO HAVE YOU. SO YOU CAN REMEMBER THE FIRST TIME YOU PRESENTED TO US. AND THEN WE'LL GET A PICTURE HERE.

>> THANKS FOR GOING EASY ON ME. >> YEAH. AND WE'LL SEE YOU IN 2051.

>> NEXT TIME YOU GET, YOU'LL GET MULTIFAMILY UNITS TO PRESENT. ALL RIGHT. THAT TAKES US TO.

ITEM SIX D. SO THIS IS OUR LAST ITEM. SO START START COLLECTING YOUR CONCLUDING ITEMS. OR

[D. Consider adoption of an ordinance of the City of Denton, a Texas home-rule municipal corporation, authorizing the City Manager to execute a contract with Bean Electrical, LLC, EAR Telecommunications LLC dba EAR TC, Durable Specialties, Inc., and MasTec North America, Inc., for traffic signal construction services for the Traffic Department; providing for the expenditure of funds therefor; and providing an effective date (RFQ 8801 - awarded to Bean Electrical, LLC., EAR Telecommunications LLC dba EAR TC, Durable Specialties, Inc., and MasTec North America, Inc. for three (3) years, with the option for two (2) additional one (1) year extensions, in the total five (5) year not-to-exceed amount of $7,100,000.00).]

ORGANIZING THEM. SO THIS IS SIX D I'D 251348. CONSIDER ADOPTION OF ORDINANCE OF THE CITY OF DENTON TEXAS A HOME RULE MUNICIPAL CORPORATION AUTHORIZING THE CITY MANAGER TO EXECUTE A CONTRACT WITH BEAN ELECTRICAL, LLC FOR TELECOMMUNICATIONS, LLC AND IRTC

DURABLE SPECIALTIES, INC. AND MASTEC NORTH AMERICA, INC. >> GOOD EVENING, MAYOR CITY

[03:15:05]

COUNCIL SCOTT MCDONALD, DIRECTOR OF DEVELOPMENT SERVICES WE'RE HERE TO SPEAK REGARDING A REQUEST FOR QUALIFICATIONS FOR TRAFFIC SIGNAL CONSTRUCTION SERVICES. THE PURPOSE IN THIS IS REALLY TO HAVE A GREATER POOL OF CANDIDATES TO PULL FROM TO BE MORE EFFECTIVE, EFFICIENT AND ECONOMICAL. WHEN WE DO TRAFFIC SIGNALS THROUGHOUT THE CITY, WE HAVE THE FOLLOWING SIX INTERSECTIONS, WHICH ARE DESIGNED, FUNDED AND READY FOR CONSTRUCTION AND UNDER CONSTRUCTION. AND WE HAVE AN ADDITIONAL FIVE OTHER INTERSECTIONS THAT WILL BE WORKING THROUGH. BASICALLY THE TRAFFIC SIGNAL CONSTRUCTION SERVICES, THE FIVE YEAR EXPENDITURE VARIES EACH YEAR, BUT ULTIMATELY ENDS UP AT THAT 7.1 MILLION. THE REQUEST FOR QUALIFICATIONS WAS SENT TO 503 PROSPECTIVE SUPPLIERS, INCLUDING 14 DENTON FIRMS. WE RECEIVED THE FOUR QUALIFIED AND WE ARE ULTIMATELY LOOKING FOR THE RECOMMENDATION TO AWARD THE CONTRACT AS STATED. NOT TO EXCEED AMOUNT OF 7.1 MILLION. I'LL STAND FOR ANY QUESTIONS.

>> OKAY. THANK YOU VERY MUCH. REPRESENTATIVE DISTRICT SIX. >> HI.

>> HI. >> GOOD EVENING. >> GOOD EVENING.

>> COUNCILPERSON JESTER. FOR THE LAYPERSON, INCLUDING MYSELF. WHY ARE THESE SO EXPENSIVE?

>> SIGNALS ARE VERY COMPLICATED. SO THERE'S AN AWFUL LOT OF TECHNOLOGY THAT GOES INTO IT.

YOU KNOW, THE SIZE OF THE FOUNDATION THAT GOES INTO THE GROUND. WE HAVE TO WIRE, INTERCONNECT, ETC, ETC, LET ALONE ALL THE COMPONENTS JUST ARE EXPENSIVE.

>> ALL RIGHT. THANK YOU. >> MAYOR PRO TEM. >> HI MR. MCDONALD. SO I ASKED A QUESTION PRIOR TO THE MEETING. I WAS TRYING TO GET CLARIFICATION ON THE AMOUNT THAT WE'RE LOOKING AT THE 7 MILLION, AND WE SEE THE SIX FUNDED INTERSECTIONS AND THE FIVE UNFUNDED INTERSECTIONS. AND I ASKED IF THE 7 MILLION INCLUDES THE UNFUNDED INTERSECTIONS OR NOT. AND SO I THINK IT STILL HASN'T FULLY CLICKED IN MY HEAD. ARE WE WITH THIS? ARE WE FUNDING THOSE

ADDITIONAL INTERSECTIONS OR. >> IT'S ULTIMATELY PROVIDING FUNDING FOR ALL OR POTENTIALLY ALL OF THOSE SIGNALS AND MAYBE DIFFERENT COMPONENTS WITHIN THAT? SO IT MAY NOT BE ALL OF THE SIGNAL. IT MAY BE THE CITY'S WORKING ON PORTIONS OF IT. WE MAY USE A SUBCONTRACTOR ON SOME PORTIONS OF IT, BUT IT WILL BE POTENTIALLY FOR ALL OF THE SIGNALS THAT ARE LISTED.

>> OKAY. AND THEN SO FOR THE ONES THAT ARE ALREADY FUNDED, LIKE IS THE TOTAL ACTUAL PROJECT COST HIGHER THAN THIS NUMBER WE'RE SEEING BECAUSE THERE'S ALSO THIS OTHER FUNDING

SOMEWHERE. >> ELSE WOULD BE. >> YES, IT WOULD BE OKAY. OKAY.

>> THIS IS JUST THE REQUEST TO USE THESE PARTICULAR CONTRACTORS TO A SUM NOT TO EXCEED $7.1

MILLION. >> ALL RIGHT. GOT IT. >> THANK YOU.

>> REPRESENTATIVE DISTRICT FOUR. >> MR. MAYOR, I WANT TO POINT OUT TO COUNCIL MEMBER JESTER THAT THAT WE'RE RECYCLING A SIGNAL. I THINK I'M CORRECT HERE TAKING THE EXISTING SIGNAL FROM UNIVERSITY DRIVE AND I-35 SERVICE ROAD, PICKING IT UP AND MOVING IT TO ROBESON RANCH ROAD TO PUT A SIGNAL THERE. SO WE'RE GOING TO RECYCLE. IS THAT CORRECT, MR. MAYOR?

>> THAT'S MY UNDERSTANDING. YES. >> YEAH. YEAH. SO WE'RE GOING TO WE'RE GOING TO RECYCLE. IT'S A GOOD USED SIGNAL POLE. AND WE'RE GOING TO REUSE THAT. AND I'M VERY IMPRESSED THAT SOMEBODY HAD

THE FORETHOUGHT TO DO THAT. WAS THAT YOU MAYBE. YEAH. >> IT WAS MY IDEA I JUST FORGOT

OKAY. >> ALL RIGHT. >> AWESOME. THAT IS GREAT.

THAT'S THAT'S REALLY THAT'S REALLY GOOD. ANYONE ELSE? SEEING NONE. REPRESENTATIVE DISTRICT.

>> SIX I MOVE APPROVAL AS PRESENTED. AND THANK YOU. >> THANK YOU.

>> BACK TO YOU, REPRESENTATIVE DISTRICT, FOR. >> SECOND, PLEASE.

>> WE HAVE A MOTION AND A SECOND. ANY OTHER DISCUSSION? SEEING NONE, LET'S VOTE ON THE SCREEN. THAT PASSES SIX ZERO TAKES US TO CONCLUDING ITEMS. ANY CONCLUDING ITEMS?

[7. CONCLUDING ITEMS]

REPRESENTATIVE DISTRICT SIX, >> COUNCILPERSON. JESTER. FOR THOSE STILL WITH US, I JUST WANT TO SAY ONE BIG THANK YOU AGAIN TO ALL OF STAFF AND ALL OF THE CONTRIBUTIONS AND ALL OF THE GRACE THAT THEY GIVE COUNCIL. AS WE WORK THROUGH THINGS, AS WE ASK QUESTIONS, AS WE SOMETIMES TABLE THINGS. BUT I JUST WANTED TO SINCERELY SAY THAT YOUR WORK IS RECOGNIZED, ALL OF THE EFFORTS THAT YOU MAKE SO THAT WE CAN TRY TO MAKE THE BEST DECISIONS WE CAN. SO I JUST

WANTED TO GIVE STAFF A SHOUT OUT. THANK YOU. >> THANK YOU. REPRESENTATIVE

DISTRICT FOUR. >> MAYOR I WENT TO THE BLACK FILM FESTIVAL SHOWING OF SLY LIVES, THE SLY STONE, SLY AND THE FAMILY STONE DOCUMENTARY. IT WAS IT WAS EXCELLENT. LEARNED A LOT ABOUT ABOUT A YOUNG MAN FROM DENTON, TEXAS THAT THAT MADE GOOD IN IN ROCK AND ROLL. AND IT

[03:20:03]

WAS IT WAS A GREAT EXPERIENCE AND I APPRECIATE ALL THE PEOPLE THAT HELPED PUT THAT TOGETHER.

ALSO, SINCE OUR LAST MEETING, THE TEXAS OKLAHOMA KIWANIS DISTRICT CONVENTION MET AT THE CONVENTION CENTER. AND AMONG IT WAS IT WAS A TERRIFIC TIME. WE HAD 400 KIWANIS MEMBERS FROM TEXAS AND OKLAHOMA. BUT THE THING THAT I WAS MOST IMPRESSED WITH WAS THE DENTON FIRE DEPARTMENT DRUM AND BUGLE CORPS PERFORMING ON SATURDAY, ON SATURDAY NOON, AND GARY WEILAND, DENTON FIREFIGHTER WHO WHO PUT ON A REALLY, REALLY GOOD TALK AND REALLY, REALLY TORE THE PLACE DOWN. IT WAS IT WAS A GREAT EXPERIENCE AND I HOPE THEY COME BACK SOON.

>> OKAY. REPRESENTATIVE DISTRICT FIVE. >> AUGUST 6TH, 1965. 60 YEARS AGO TOMORROW. WE'RE COMING UP ON TH ANNIVERSARY OF THE SIGNING INTO LAW BY PRESIDENT JOHNSON OF THE VOTING RIGHTS ACT. YEAH, I THINK WE SHOULD NOT GLOSS OVER THAT, GIVEN WE LIVE IN A STATE THAT HAS THE MOST OPPRESSIVE VOTER SUPPRESSION LAWS IN AMERICA, IT IS IMPORTANT TO US. IT SHOULD BE IMPORTANT FOR ALL OF US TO RECOGNIZE WHERE WE'VE COME FROM, BECAUSE IT HELPS INFORM US OF HOW WE GOT HERE AND WHERE WE NEED TO GO. WE'VE GOT A LOT MORE WORK TO DO ON TEXAS TO MAKE SURE THAT EVERYBODY IS ENSURED THE RIGHT TO VOTE, BUT TOMORROW, I JUST STOPPED TO PAUSE TO RECOGNIZE THE WORK THAT HAPPENED 60 YEARS AGO. IN PART, I SIT HERE BECAUSE OF THE WORK THAT HAPPENED DURING THE CIVIL RIGHTS MOVEMENT 60 YEARS AGO, RECOGNIZING THAT

TONIGHT. >> OKAY. ANYONE ELSE CONCLUDING WITH THIS? SO I AGREE THAT THE SLY, SLY STONE EVENT WAS GREAT TO WATCH AND BE A PART OF. AND SO THANK YOU TO ALL THAT HELPED PULL THAT TOGETHER. EVERYONE THAT ATTENDED AND THEN DENTON BLACK FILM FESTIVAL AND THEN SCHOOL STARTS NEXT WEEK. SO PLEASE BE REMINDED OF THE FLASHING LIGHTS AROUND THE SCHOOLS AND THE SCHOOL ZONES. SLOW DOWN, WATCH OUT FOR THE KIDS, WATCH OUT FOR THE CYCLISTS AND ALL THOSE THINGS AND JUST KIND OF GET BACK IN THAT MINDSET THAT WE NEED TO BE CAREFUL OF ALL THOSE THINGS. AND, AND SO AND EVERYONE HAVE A GREAT YEAR. AND TO THE TEACHERS, LET'S MAKE SURE WE TAKE CARE OF THEM AND FULFILL ALL THEIR AMAZON LISTS, WISH LISTS, AND ALL THOSE THINGS YOU CAN DO TO SUPPORT THEM. AND THEN LASTLY, OUR MONDAY, AUGUST 11TH, MLK JUNIOR CENTER. THE MLK CENTER IS HAVING A BACK TO SCHOOL EVENT THAT DAY AND THEN A DANCE THAT NIGHT. SO IF FOR THOSE THAT MAY BE IN NEED, I KNOW THEY'RE GOING TO HAVE QUITE A FEW BACKPACKS AND THOSE SORT OF THINGS. AND SO AGAIN, THAT'S MONDAY, AUGUST 11TH. OKAY. SO WITH THAT AT 901, THAT'LL CONCLUDE

* This transcript was compiled from uncorrected Closed Captioning.