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[00:00:03]

GOOD AFTERNOON, EVERYBODY.

[1. DECLARATION OF A QUORUM AND CALL MEETING TO ORDER]

THANK YOU FOR BEING HERE.

IT IS 5:00 P.M.

I'M OFFICIALLY CALLING THE CITY COUNCIL MEETING FOR SEPTEMBER 9TH TO ORDER.

THANK YOU FOR THE COUNCIL BEING HERE.

THANKS STAFF FOR BEING ATTENDANCE.

THOSE IN ATTENDANCE.

GLAD TO HAVE YOU.

AND FOR THOSE THAT MAY BE WATCHING THIS IN THE COMMUNITY.

GLAD TO HAVE YOU WITH US THIS AFTERNOON.

WE DO HAVE A QUORUM.

NELLIE LET'S HAVE A ROLL CALL, PLEASE.

MAYOR DR. BROWN.

PRESENT.

MAYOR PRO TEM COLLINS.

PRESENT.

COUNCIL MEMBER LEWIS.

PRESENT.

COUNCIL MEMBER SCHUSTER.

HERE.

COUNCIL MEMBER QUIROGA.

PRESENT.

COUNCIL MEMBER LISTOWSKI.

PRESENT.

COUNCIL MEMBER ROBB.

PRESENT.

THANK YOU.

WE DO HAVE A QUORUM.

THANK YOU.

WE'RE AT THE POINT OF OUR AGENDA FOR AN INVOCATION I'D LIKE TO MAKE A COMMENT AND THEN WE'LL BOW OUR HEAD FOR PRAYER.

APPROXIMATELY 120 OR 121 DAYS AND ONE DAY AGO AS OF YESTERDAY, WAS THE ANNIVERSARY OF THE 1900 STORM HERE IN GALVESTON, AND THERE IS STILL CONSIDERED THE LARGEST NATURAL DISASTER IN THE HISTORY OF THE UNITED STATES.

I THINK WHAT RINGS TRUE FOR MOST GALVESTONIANS, THOUGH, IS THE PERSEVERANCE, FORTITUDE AND VISION OF OUR FOREFATHERS OF BRINGING THIS ISLAND BACK, RAISING THE ISLAND AND BRINGING IT BACK TO A PRODUCTIVE COMMUNITY THAT IT WAS PRIOR TO THE STORM.

SO IN HONOR OF THOSE INDIVIDUALS THAT AND OUR FOREFATHERS THAT BROUGHT OUR ISLAND BACK TO THE VIABILITY THAT IT IS TODAY, WOULD YOU PLEASE BOW YOUR HEAD? DEAR LORD, I PRAY THAT YOU GUIDE US ALWAYS SATISFY THE NEEDS THAT NEED TO BE MET DURING THIS MEETING.

STRENGTHEN US AS WE MAKE TOUGH DECISIONS.

I PRAY THAT WE HAVE THE FORTITUDE AND VISION OF OUR FOREFATHERS, AND I PRAY THAT WE ARE LIKE A SPRING WHOSE WATERS NEVER FAIL.

I PRAY THAT WE WILL BE FRUITFUL.

PLEASE GUIDE US FARTHER SO THAT THIS MEETING CAN BE PRODUCTIVE AND LET US BE EFFECTIVE AND DECISIVE.

AMEN.

AMEN.

THANK YOU VERY MUCH LET'S HAVE PLEDGE ALLEGIANCE, PLEASE.

I 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.

COUNCIL, IS THERE ANY CONFLICTS OF INTEREST THAT ANY COUNCIL MEMBER WOULD LIKE TO DECLARE? HEARING NO RESPONSE WE WILL MOVE TO ITEM SIX, PLEASE.

[6. PRESENTATIONS/REPORTS OF COUNCIL, OFFICER BOARDS, AND CITY MANAGER]

NELLIE.

ITEM SIX PRESENTATIONS REPORTS OF COUNCIL OFFICER BOARDS AND CITY MANAGER 6A PURSUANT TO THE TEXAS GOVERNMENT CODE SECTION 551.0415 THE CITY COUNCIL MAY REPORT ON ANY OF THE FOLLOWING ITEMS. THANK YOU, NELLIE.

IS THERE ANYONE HERE FROM.

I'M SORRY, MIKE.

YOU LOOK LIKE YOU WANTED TO SAY SOMETHING.

COME RIGHT FORWARD.

OH, OK, VERY GOOD, WE'LL YEAH, WE'LL BE.

MIKE'S READY TO DO THAT, HE'S.

IS THERE ANYONE HERE THAT IS REPRESENTING THAT GROUP? COME FORWARD, IF YOU WOULD.

I KNOW YOU CONTACTED ME.

THANK YOU FOR BEING HERE TODAY.

IT'S SO NICE TO HAVE YOU.

AND I'D LIKE TO READ THE FOLLOWING PROCLAMATION.

WHEREAS IT IS THE PRIVILEGE AND DUTY OF THE AMERICAN PEOPLE TO COMMEMORATE THE TWO HUNDRED AND THIRTY FOURTH ANNIVERSARY DRAFTING OF THE CONSTITUTION OF THE UNITED

[00:05:04]

STATES OF AMERICA WITH APPROPRIATE CEREMONIES AND ACTIVITIES.

WHEREAS IT IS FITTING AND PROPER IN LAW 915 MIC].

THEREFORE ME THE MAYOR AND THE CITY COUNCIL OF THE CITY OF GALVESTON HEREBY PROCLAIM WELL, I JUST WOULD LIKE TO THANK EVERYBODY FOR PARTICIPATING IN THIS COMMEMORATION WITH US.

I KNOW THAT THERE ARE PROCLAMATIONS DONE EVERY YEAR, BUT THIS IS ONE THAT I THINK IS IMPORTANT AND WE APPRECIATE YOU SHARING IN IT WITH US.

THANK YOU.

THANK YOU VERY MUCH.

COUNCIL, IS THERE ANY OTHER ANNOUNCEMENTS OR REMINDERS THAT COUNCIL WOULD LIKE TO MENTION? THANK YOU.

LET'S MOVE TO ITEM 6B, PLEASE.

NELLIE.

ITEM 6B CITY MANAGER'S [INAUDIBLE] QUARTERS ENDED MARCH 31ST AND JUNE 30TH 2021.

MIKE.

[LAUGHTER] NOW.

THIS IS A REPORT THAT [INAUDIBLE] THAT MAKES AVAILABLE TO MAYOR AND COUNCIL AND ALSO THE CITIZENS OF GALVESTON, HOW OUR IDLE CASH IS BEING INVESTED.

AT THE PRESENT TIME, IT IS EARNING PROBABLY ABOUT WHAT THEY MAY BE GETTING ON THEIR PERSONAL SAVINGS ACCOUNTS, WHICH IS TO SAY PRACTICALLY NOTHING.

BUT IT IS IN SAFEKEEPING AND IS AVAILABLE TO US ON 24 HOURS NOTICE SHOULD IT BE NEEDED FOR STORM REACTION OR WHATEVER.

AND I WILL THROW IT UP TO YOU IF YOU HAVE ANY QUESTIONS.

THANK YOU, MIKE, ANY QUESTIONS, COUNCIL? THANK YOU, MIKE, VERY MUCH.

LET'S MOVE TO ITEM SEVEN, PLEASE.

[7. COMMUNICATIONS AND PETITIONS]

ITEM SEVEN COMMUNICATIONS AND PETITIONS CLAIMS 21-057 THROUGH 21-064 ARE ON THE SCREEN.

THANK YOU, NELLIE.

WE ARE NOW MOVING TO ITEM 8 OUR PUBLIC HEARING ITEMS, COULD WE HAVE 8A

[8.A. Conduct A Public Hearing On September 9, 2021 On The FY 2022 Proposed Budget As Required By State Law.]

PLEASE NELLIE? ITEM 8A CONDUCT A PUBLIC HEARING ON SEPTEMBER 9TH, 2021 ON THE FISCAL YEAR 2022 PROPOSED BUDGET AS REQUIRED BY STATE LAW.

COUNCIL, AS WE DISCUSSED AT WORKSHOP TODAY, WE ARE OPENING OUR PUBLIC HEARING ON OUR BUDGET TODAY AND ON THE TAX RATE TODAY.

THIS ITEM 8A IS TO OFFICIALLY OPEN THAT PUBLIC HEARING.

IT IS 5:08 P.M.

AND I'M OFFICIALLY OPENING THE PUBLIC HEARING ON ITEM 8A CONCERNING THE PROPOSED BUDGET.

IS THERE ANYONE THAT WOULD LIKE TO MAKE A COMMENT IN THE AUDIENCE ABOUT THAT? JANELLE, HAVE WE RECEIVED ANY COMMENTS ON THAT PARTICULAR ITEM? WE'VE NOT RECEIVED ANY WRITTEN COMMENTS ON THIS ITEM, BUT WE HAVE TWO PEOPLE ON THE ZOOM CALL.

IF THEY'D LIKE TO MAKE A COMMENT, THEY CAN DO SO AT THIS TIME.

I'LL UNMUTE THEM.

THANK YOU VERY MUCH.

THEY DON'T WANT TO MAKE A COMMENT.

NO COMMENTS.

ALL RIGHT.

THANK YOU VERY MUCH.

IT IS NOW 5:09 P.M.

I'M GOING TO CLOSE THE PUBLIC HEARING ON ITEM 8A WHICH IS FOR THE PROPOSED BUDGET.

WE'RE MOVING TO ITEM 8A ONE NELLIE, PLEASE.

ITEM 8A ONE CONSIDER FOR ACTION AN ORDINANCE OF THE CITY OF GALVESTON, TEXAS, ADOPTING THE ANNUAL GOVERNMENTAL AND PROPRIETARY FUNDS BUDGET FOR THE FISCAL YEAR BEGINNING OCTOBER 1ST, 2021 AND ENDING SEPTEMBER 30, 2022.

MAKING APPROPRIATIONS FOR THE CITY OPERATIONS AND CAPITAL PROJECTS FOR SUCH FISCAL YEAR, AS REFLECTED IN SUCH BUDGET.

AUTHORIZE IN VARIOUS OTHER TRANSFERS.

APPROVING AND ACCEPTING THE FISCAL YEAR 2022 CAPITAL BUDGET.

APPROVING AND ADOPTING THE FISCAL YEAR 2022 THROUGH 2026 CAPITAL IMPROVEMENTS

[00:10:06]

PLAN.

AND MAKING VARIOUS FINDINGS AND PROVISIONS RELATED TO THE SUBJECT AND PROVIDING FOR AN EFFECTIVE DATE.

THANK YOU, NELLIE.

THAT GOES ALONG WITH THIS ITEM, IF COUNCIL ELECTS TO MOVE FORWARD WITH THE BUDGET APPROVAL, IS ITEM 8A TWO THAT GOES ALONG WITH THIS.

COULD YOU READ THAT PLEASE? NELLIE.

ITEM 8A TWO CONSIDER FOR ACTION A MOTION RATIFYING THE PROPERTY TAX INCREASE REFLECTED IN THE FISCAL YEAR 2022 BUDGET.

ALL RIGHT, COUNCIL.

THIS IS A PUBLIC HEARING ITEM.

IT IS 5:10 P.M.

I'M GOING TO OPEN THE PUBLIC HEARING ON ITEM 8A ONE AND A 8A TWO.

IS ANYONE THAT WOULD LIKE TO MAKE A COMMENT ON THIS.

JANELLE IS THERE ANYONE ONLINE.

ALL RIGHT.

IT IS 5:10 P.M.

5:11 P.M.

I'M GOING TO CLOSE THE PUBLIC HEARING ON 8A ONE AND 8A TWO BRING THAT BACK FOR COUNCIL.

YES, COUNCILMAN COLLINS.

I MOVE THAT WE ADOPT THE GOVERNMENT AND PROPRIETARY FUNDS BUDGET FOR THE FISCAL YEAR.

THAT'S ITEM 8A ONE, SHOULD WE DO THIS IN TWO MOTIONS, MIKE? YES.

IT SHOULD BE TWO MOTIONS THEN I MOVE THAT WE ADOPT THE ANNUAL BUDGET UNDER 8 A ONE.

ALL RIGHT.

IS THERE A SECOND TO THAT? I'LL SECOND THAT MOTION.

MIC] OK, THERE YOU GO.

ALL RIGHT WE HAVE A MOTION AND A SECOND ON THAT ITEM, THIS IS 8 A ONE.

THERE'S A MOTION.

COUNCIL ALSO AS WE VOTE THIS WILL BE A RECORD VOTE, MEANING JANELLE WILL CALL AND GET EACH COUNCIL MEMBERS RESPONSE TO THIS MOTION.

ANY DISCUSSION AT THIS POINT? MARIE.

I PERSONALLY WOULD LIKE TO SEE US DEFER THIS MOTION TO THE NEXT MEETING BECAUSE I WOULD LIKE THE CITY TO LOOK AT.

I'VE BEEN REVIEWING THE NUMBERS IF WE CAN'T GO A CENT OR TO LOWER.

WE HAVE CURRENTLY, I THINK, 129 DAYS IN RESERVE.

SO EVEN IF WE WENT DOWN TO ONE HUNDRED AND TWENTY, THAT WOULD GIVE US FUNDS.

WE HAVE AN UNBELIEVABLE AMOUNT OF OPENINGS IN PERSONNEL RIGHT NOW, WHICH I KNOW OF CERTAIN POSITIONS THAT HAVEN'T BEEN FILLED FOR MONTHS.

AND I WOULD LIKE TO HAVE THE CITY COME BACK AND LOOK AT HOW WE MIGHT NOT BE ABLE TO LOWER THE TAX RATE.

SO JUST I WILL NOT BE VOTING FOR THIS, SO I WOULD LIKE TO SEE THIS DEFERRED TO THE NEXT MEETING.

OK, MIKE, YOU WANT TO SAY A FEW WORDS ON THIS? COULD I JUST SPEAK TO HOW THE PERSONNEL BUDGET IS DEVELOPED? WE TAKE INTO CONSIDERATION VACANCIES WHEN WE PROPOSE THE BUDGET.

WE DON'T STRIP DEPARTMENTS CLEAN OF ALL OF THE DOLLARS NECESSARY TO FILL A POSITION.

BUT WE DO CALCULATE BASED ON HISTORY AND TURNOVER RATES THE LIKELIHOOD THAT, SAY, NINE POSITIONS ARE FILLED ON A 10 PERSON BUDGET.

WE DO THAT EVERY TIME WE DO PERSONNEL BUDGETS, SO THAT HAS BEEN CONSIDERED.

AND I JUST WANTED TO CLARIFY THAT POINT.

ONE OTHER QUESTION COUNCILWOMAN ROBB MAY SIMPLY HAVE MISSPOKEN.

I BELIEVE YOU SAID 129 DAYS, DON'T WE HAVE? I CHECKED THAT AFTER MY MISSTEPS THIS MORNING, AND I BELIEVE WE HAVE CLOSE TO 120 AS OF THE END OF THIS FISCAL YEAR.

NEXT YEAR IS SET AT 111.

IF WE COLLECTED ALL THE REVENUE AND SPENT THAT AMOUNT OF MONEY, WE WOULD END NEXT YEAR WITH ROUGHLY THE SAME FUND BALANCE.

BUT IT'D BE A LARGER BUDGET AT THIS POINT THAT REDUCES THE NUMBER OF DAYS.

SO THE BUDGET IS SUPPORTING 111 OF FUND, 111 DAYS OF FUND BALANCE IN GENERAL FUND.

THAT'S RIGHT.

ALL RIGHT.

BUT WE CURRENTLY HAVE BECAUSE WHEN I DID CALCULATIONS, I CAME UP WITH OVER A HUNDRED AND TWENTY.

SO WHAT TODAY YOU WERE NOT ABLE TO GIVE US WHAT THE DAILY BURN RATE IS.

IT WAS ONE HUNDRED AND SIXTY FOUR THOUSAND DOLLARS A DAY THIS YEAR.

OK.

YEAH.

I CAME UP WITH A LOWER NUMBER WHEN I WENT THROUGH IT.

AGAIN.

I WILL NOT BE VOTING TO APPROVE IT.

[00:15:02]

I WOULD LIKE TO SEE THIS STAFF COME BACK.

IT SEEMS THAT EACH YEAR SINCE THERE'S BEEN A TAX CAP, WE'VE COME AND JUST COME UNDER THE TAX CAP SO THAT WE DID NOT HAVE TO HAVE AN ELECTION AND WE ARE TAXING OUR CITIZENS OFF THE ISLAND.

SO I THINK WE NEED TO LOOK AT WHAT WE CAN DO TO SHAVE OFF A COUPLE MORE CENTS.

I UNDERSTAND WE MAY NOT BE ABLE TO GO TO A NO NET REVENUE TAX RATE, BUT I THINK WE COULD CERTAINLY LOOK AT ONE TO TWO CENTS LOWER.

OK, JOHN.

MIKE, EXPLAIN TO ME WHY WE HAVE 120 DAYS IN REVENUE IN RESERVES CURRENTLY, BUT OUR 2021 BUDGET, EXCUSE ME, 2022 BUDGET, WE'LL HAVE ONLY ONE HUNDRED AND ELEVEN DAYS.

THE BOTTOM NUMBER IN THAT EQUATION IS A MOVING TARGET, AND THAT'S HOW YOU CALCULATE YOUR DAILY BURN RATE.

THE ESTIMATED SPENDING FOR THIS YEAR WOULD BE THE BASIS FOR THE DAILY BURN RATE THIS YEAR, AND THAT'S ONE HUNDRED AND SIXTY FOUR THOUSAND DOLLARS OR SO A DAY.

THAT'S BASED ON THE M&O TOTAL WITHOUT ONE TIME EXPENDITURES.

AND YOU USE THAT SAME NUMBER EACH YEAR WHEN YOU DO THE CALCULATION.

SO WE HAVE NINETEEN AND A HALF MILLION DOLLARS FUND BALANCE.

THAT'S PERHAPS A BETTER WAY TO THINK OF IT, AND IT IS IN EXCESS OF THE CITY MINIMUM.

BUT ONCE YOU BEGIN TO SPEND IT DOWN, THE CONSIDERATION THERE HAS TO BE GIVEN TO WHAT REVENUE IS GOING TO TAKE THE PLACE OF IT IN THE FUTURE ONGOING REVENUE SPEAKERS] .

MORE TO POINT JOHN, YOUR EXPENSES ARE MORE NEXT YEAR, SO YOUR BURN RATES MORE NEXT YEAR.

SO YOU DON'T HAVE AS MANY DAYS UPON A DAYS CALCULATION, ALTHOUGH YOUR FUND BALANCE DOES NOT DROP.

YEAH.

BECAUSE REMEMBER, YOU HAVE A LOT OF CAPITAL PROJECTS PROGRAMED IN THE NEXT YEAR AND YOU HAVE FINANCIAL OBLIGATIONS WITH THOSE WHEN YOU START THEM.

AND IT'S NOT, I THINK CITY MANAGER IS SAYING THE SAME THING, I'M ABOUT TO SAY IT'S NOT ALL CASH AND WE HAVE A LOT OF GRANT PROJECTS THAT WE GET THAT REQUIRE US TO FRONT THE MONEY UP FRONT.

AND THAT'S WHERE THAT CASH COMES FROM TO PAY CONTRACTORS AND WHAT HAVE YOU.

WHILE WE WAIT ON REIMBURSEMENT IS THE FUND BALANCE IN OUR MAJOR OPERATING FUNDS SO THAT FUND BALANCE NUMBER IS NOT JUST SITTING THERE DRAWING DUST, IT'S ACTIVELY WORKING TO MAKE SURE OPERATIONS ARE SMOOTH AND PROJECTS ARE IMPLEMENTED.

OK.

I MEAN, YOU KNOW WHAT MARIE IS SAYING, YOU KNOW, I DEFINITELY AGREE WITH, I MEAN, OVER THE LAST THREE YEARS SINCE I'VE BEEN ON COUNCIL, I MEAN, WE ALWAYS COME BACK TO THE BUDGET THAT IS RIGHT BELOW THE NUMBER WE NEED BEFORE WE HAVE TO GO OUT FOR A VOTE ON THIS.

AND IT'S DISAPPOINTING.

I KNOW Y'ALL PUT IN SOME VERY HARD WORK ON THESE BUDGETS AND Y'ALL DEFINITELY ARE TRYING TO MAKE THIS AS LEAN AS POSSIBLE.

BUT IT'S DISAPPOINTING TO GO BACK TO OUR CONSTITUENTS, SAY, YOU KNOW, THIS IS THE BEST WE CAN DO AND WE CONTINUE.

THEY CONTINUE TO PAY HIGHER AND HIGHER TAXES BASICALLY EACH YEAR.

AND SO IT WOULD BE NICE IF WE COULD FIND A LITTLE BIT IN THAT BUDGET TO KIND OF GIVE BACK.

SO.

I WOULDN'T MIND DEFERRING THIS TO SEE IF THERE'S ANY ROOM IN THERE THAT YOU CAN SQUEEZE OUT OF IT FOR ANOTHER YOU KNOW UNTIL THE NEXT MEETING, BUT.

[LAUGHTER] WE'RE DOWN PEOPLE.

WELL, YEAH.

OKAY, ANY OTHER COMMENTS COUNCIL ON THIS PARTICULAR ITEM? YES, WILLIAM.

WHERE WOULD THAT MONEY BE FOUND TO MAKE THAT TWO CENT, YOU KNOW, REDUCTION.

IT WOULD COME FROM PROPOSED PAY INCREASES IN ALREADY AWARDED PAY INCREASES THIS YEAR? I'D ASK FOR COUNCIL TO ROLL THOSE BACK AND I'D ROLL BACK THE TWO PERCENT PAY INCREASE FOR EMPLOYEES.

I MEAN, THOSE ARE THE MOST OBVIOUS ONES BECAUSE THOSE ARE THE NEW EXPENDITURES OR THE TWO PERCENT FOR EMPLOYEES, THE $15 AN HOUR MINIMUM.

THE COUNCIL APPOINTEES PAYING IN NEW POSITIONS.

THOSE WOULD BE THE FIRST ONES I WOULD GO AFTER.

AND BRIAN, WHERE DO YOU SEE THIS IS GOING IN THE FUTURE, I MEAN, IS IT GOING TO BE EVERY YEAR WHERE WE'RE HITTING THIS NUMBER? I MEAN, DO YOU EVER SEE US TRYING TO REDUCE THE TAXES HERE AND TRY TO GET UNDER THIS MINIMUM.

AT SOME POINT YOU'RE GOING TO BOTTOM OUT BECAUSE YOUR WHOLE GENERAL FUND BUDGET IS GOING TO BE NOTHING BUT POLICE AND FIRE.

IT'S WHERE YOU'RE HEADED.

HOW FAR AWAY ARE WE FROM THAT? I MEAN, WELL.

IS THAT A 100 THING? IS THAT A 10 YEAR THING? IS IT A TWO YEAR? I WOULD HAVE TOLD YOU BEFORE THIS YEAR, YOU WERE PROBABLY 10 YEARS AWAY.

BUT GIVEN THE HUGE GROWTH THAT WE HAD THIS YEAR AND WITH THE COMPRESSED CAP AND

[00:20:04]

THE LIBRARY, I THINK YOU'RE MAYBE WITHIN FOUR TO FIVE YEARS OF THAT.

WELL, I THINK THAT'S A BIT DRAMATIC.

WITH THE AMOUNT OF DEVELOPMENT THAT WE HAVE GOING ON IN THIS ISLAND THAT IS CONTINUING TO GROW LARGE PROJECTS.

I THINK THAT WE SHOULD GO BACK AND SHARPEN THE PENCIL AND SEE WHERE WE MIGHT BE ABLE TO SAVE OUR CITIZENS.

THIS IS.

THE YEAR TO DO THAT WOULD BE WHEN YOU HAVE THE NEW GROWTH ON YOUR TAX ROLLS, NOT PEOPLE PROMISING TO DO NEW GROWTH.

AND WE DON'T HAVE THAT NEW GROWTH.

WE'VE HAD A LOT OF NEW GROWTH.

WE HAVE HAD A LOT.

WHAT'S OUR NEW GROWTH TOTAL MIKE.

THIS WAS A GOOD YEAR FOR NEW CONSTRUCTION, BUT IT ADDS UP TO LESS THAN TWO PERCENT INCREASE ON THE RIGHT.

WE'RE NEVER GOING TO GET THE FOUR AND FIVE PERCENT THAT THESE OTHER CITIES ARE GETTING, WE DON'T HAVE ENOUGH RAW LAND RESIDENTIALLY TO DO IT.

YOU JUST DON'T.

WELL, I'M JUST SAYING I THINK WE SHOULD DEFER THIS.

I'D LIKE TO SEE IF WE COULD GO BACK AND SHARPEN OUR PENCILS, AND I WILL NOT BE SUPPORTING THIS.

SO.

IF I COULD JUST ADD A COMMENT.

WE BEGAN TO TALK ABOUT THIS BUDGET YEAR IN JUNE, AND THIS IS OUR FIFTH MEETING NOW WHERE WE HAVE DISCUSSED IT, AND IT'S BEEN COVERED IN WORKSHOPS SINCE THAT TIME, AND THE STAFF DID SHARPEN THEIR PENCILS CITYWIDE TO BE ABLE TO LIVE WITH THE TAX RATE THAT WE HAVE.

AND THAT'S WHY YOU HAVE THE BUDGET IN FRONT OF YOU.

EVERY DEPARTMENT HEAD WAS ASKED TO ECONOMIZE.

WE DIDN'T GET REQUESTS FOR EXTRAVAGANT THINGS.

THEY MAKE THE MOST USE OF THEIR MONEY.

AND I GUESS THE LAST THOUGHT I'D LEAVE YOU WITH IS TAKING, A STEP BACK ON THE TAX RATE IS PERMANENT.

IF YOU REDUCE IT IT'S NEVER GOING TO COME BACK TO THAT NUMBER.

SO IT'S HASTENING THE DAY THAT THE COUNCILMAN JUST ASKED THE CITY MANAGER ABOUT.

THAT WILL COME EVEN SOONER IF WE CANNOT JUSTIFY OR SUPPORT THE NOTION OF GOING UP TO THE VOTER APPROVAL RATE.

KEEP IN MIND, THE DESIGN OF THE TAX GAP IS TO MOVE PEOPLE TO CONSUMPTIVE TAXES, AND THAT'S WHAT WE'RE TRYING TO DO AS BEST WE CAN.

BUT THAT MEANS YOU SHIFT THINGS TO FEES AND FINES AND OTHER THINGS TO COVER THESE THINGS.

AND THAT'S THE DIRECTION I THINK THE STATE WANTS TO GO BECAUSE THE STATE OPERATES ON A CONSUMPTIVE TAX SALES TAX.

IT DOESN'T OPERATE ON AD VALOREM TAX, AND THEY'D LIKE TO SEE CITIES AND SCHOOL DISTRICTS.

I DON'T KNOW HOW SCHOOL DISTRICTS WOULD EVER DO IT, BUT THEY'D LIKE TO SEE CITIES DO THAT FOR SURE AND COUNTIES.

SO WE'RE MOVING TOWARDS THAT, BUT WE'RE NOT GOING TO GET THERE IN ONE FELL SWOOP.

AND WE'RE KIND OF IN A BAD POSITION.

AND A LOT OF OLDER CITIES ARE, YOU KNOW, WE'RE NOT LIKE WE.

WE GET A LOT OF REDEVELOPMENT AND WE GET A LOT OF YOU CAN SEE THAT IN OUR VALUES.

THEY SHOT UP, BUT WE DON'T GET TO TAKE ADVANTAGE OF THAT.

AND SO IT DOESN'T FALL UNDER OUR OUR TAX CAP.

IT FALLS, YOU KNOW, IT FALLS.

I MEAN, IT STAYS UNDER THE CAP.

IT DOESN'T FALL OUTSIDE OF IT.

SO WHEN WE HAVE HUGE, TREMENDOUS AMOUNTS OF GROWTH LIKE WE DID THIS PAST YEAR, THE CITY DOESN'T GET TO BENEFIT FROM THAT.

BUT KEEP IN MIND, ALL THAT REDEVELOPMENT BROUGHT A LOT OF PEOPLE AND A LOT OF DEMAND FOR MORE SERVICES.

AND SO WE HAVE TO BE ABLE TO SERVICE THE POPULATION THAT'S HERE.

JUST BECAUSE WE'RE NOT BUILDING NEW HOUSES DOESN'T MEAN WE'RE NOT GETTING INCREASED SERVICE LOAD FROM A LOT OF THESE HOMES THAT WERE PREVIOUSLY VACANT.

OR NONEXISTENT IN TOWN AND SOME OF THEM.

WE HAVE COUNCILMAN COLLINS.

THEN WE'LL DO BILL AND THEN MARIE.

COUNCILMAN COLLINS.

YEAH.

TWO POINTS, MR. MAXWELL, FIRST OF ALL, IF I UNDERSTAND IT, THE COST OF PUBLIC SAFETY HAS GONE UP ABOUT NINE PERCENT THIS YEAR OVER LAST YEAR.

THAT'S HOW I READ THE NUMBER.YEAH, IT IS.

AND YEAH, IT'S SIGNIFICANT.

AND SO IT'S CERTAINLY GREATER THAN THE 3.5.

AND I UNDERSTAND THE STATE'S DESIRE TO TO GET US TO A CONSUMPTIVE, ON STRICTLY CONSUMPTIVE PLATFORM.

BUT RIGHT, THIS SECOND, THE COST OF PUBLIC SAFETY IS GREATER THAN THE TOTAL AMOUNT OF MONEY WE TAKE IN, IN AD VALOREM TAX.

THAT IS CORRECT.

SO I MEAN, EVERY NICKEL YOU PAY IN PROPERTY TAX GOES TO PUBLIC SAFETY.

AND I'M NOT SUGGESTING THEY SHOULDN'T.

BUT THAT'S JUST THE FACT OF THE MATTER.

AND SECOND, IF THE LEGISLATURE TRULY WANTS US ON A STRICTLY CONSUMPTIVE TAX, THEN WE NEED A 10 AND A QUARTER CENT SALES TAX.

AND, YOU KNOW, UNTIL THE LEGISLATURE IS WILLING TO GIVE US THAT, I DON'T SEE HOW WE CAN LIVE WITHOUT AD VALOREM TAXES.

IT'S GOING TO BE DIFFERENT FOR EVERY CITY.

YOU'RE RIGHT.

YOU KNOW, IF I WAS LEAGUE CITY, I WOULD SAY WE'RE NEVER GOING TO MAKE IT ON A CONSUMPTIVE TAX BECAUSE THEY DON'T HAVE NEAR THE SALES TAX BASE THAT WE HAVE HERE.

IT'S GOING TO BE DIFFERENT FOR EVERY CITY.

THAT'S WHY SOMETIMES THESE STATE LAWS ARE NOT A GOOD ONE SIZE FITS ALL.

[00:25:02]

THE THREE AND A HALF PERCENT HAS PUT THE CITY.

I MEAN, THE COUNTY HAD TREMENDOUS NEW CONSTRUCTIVE GROWTH THIS YEAR.

WE DID NOT.

AND ALTHOUGH THIS WAS A STELLAR YEAR FOR US, BUT I THINK THIS IS GOING TO BE ONE OF THOSE HIGH POINTS IN OUR.

[LAUGHTER] WELL, AS I SAID THIS MORNING THAT, YOU KNOW, IT WAS A GOOD GROWTH YEAR FOR US.

BUT WE'RE TALKING, WE'RE COUNTING HOUSES IN FIVES AND 10S, YOU KNOW, AS OPPOSED TO LAGO MAR, WHICH IS A 4000 HOME DEVELOPMENT.

THAT'S A NICE TO HAVE.

BUT WE DON'T HAVE IT.

WE DON'T HAVE THAT.

WE DON'T HAVE ROOM FOR IT.

BILL.

I JUST WANT TO KNOW, IS IT GOING TO HURT DIFFERING TO THE NEXT MEETING? THAT'S ONE THING.

SECOND THING IS I UNDERSTAND WHAT YOU'RE SAYING ABOUT PUBLIC SAFETY.

I WAS THE DIRECTOR FOR SAFETY FOR 10 YEARS AND I UNDERSTAND THE, YOU KNOW, THE RESPONSIBILITY OF OUR FIRST RESPONDERS.

BUT THERE IS METHOD TO THE MADNESS WHERE YOU CAN LOOK AT THESE AND CUT THE BUDGET EVEN THERE FURTHER.

WITH THE IDEA OF MAKING SURE THAT PUBLIC SAFETY IS, YOU KNOW, ALL OF OUR CITIZENS ON THE ISLAND ARE COVERED, SO I LIKE TO LOOK AT THAT A LITTLE BIT MORE FURTHER AND SEE WHAT WE CAN FIND IN THERE TO MAYBE CUT A LITTLE BIT MORE.

ARE YOU PROPOSING CUTTING PUBLIC SAFETY? IS THAT WHAT YOU'RE SAYING? WE CAN, IF WE DO IT RIGHT? ABSOLUTELY.

I'M GOING TO GIVE A GOOD EXAMPLE.

WHEN YOU HAVE A STORM AND COMMUNICATION GOES OUT, WHO GETS THE FIRST CHOICE OF COMMUNICATION? IT'S CALLED LINE LOAD CONTROL.

NOT EVERYBODY HAS ACCESS TO TELECOMMUNICATIONS BECAUSE THE TELECOMMUNICATION WORLD CANNOT HANDLE THAT KIND OF A LOAD.

SO YES, YOU CAN LOOK AT IT AND IT'S A POSSIBILITY YOU CAN CUT IT.

I JUST WOULD ASK THE QUESTION, WHERE DOES COUNCIL WANT US TO CUT? I'LL HAVE TO LOOK AT IT AGAIN.

I HAVEN'T HAD TIME TO LOOK AT THE LINE ITEM.

IN A WEEK'S TIME DEVELOPING A COMPREHENSIVE PROPOSAL LIKE THAT.

I'M NOT SURE THAT CAN BE DONE IN A WEEK'S TIME.

IT SOUNDS SIMPLE, BUT TO NOT DO ANY HARM.

AND THAT'S A KEY PRINCIPLE OF WHAT WE DO.

WE HAVE BEEN LOOKING TO THIS FOR MORE THAN THREE MONTHS, SO I DON'T UNDERSTAND.

I DON'T UNDERSTAND THE EMPHASIS ON TRYING TO DO THIS WITH A WEEK LEFT.

WE'VE BEEN LOOKING AT THIS CAREFULLY FOR THREE MONTHS, RIGHT? I HAVE ANYWAY.

LET'S LET WE HAVE COUNCILWOMAN ROBB AND LISTOWSKI.

ONE, I WOULD NEVER SUPPORT LOWERING CUTTING BACK ON PUBLIC SAFETY.

BUT AS I GO THROUGH THIS AND I'VE GONE THROUGH IT AND I'VE GONE THROUGH IT AND THERE IT LOOKS LIKE THERE ARE AREAS WHERE WE COULD SKINNY, OUR BUDGET DOWN AND NOT TO MENTION WHEN WE LOOK AT OUR RESERVES AND I UNDERSTAND WHY WE HAVE RESERVES WE'RE ON A BARRIER ISLAND AND WE WILL EXCEED OUR DAYS.

SO EVEN IF WE TOOK IT FROM ONE HUNDRED AND TWENTY TO ONE HUNDRED AND TEN, WE WOULD BE ABLE TO COME UP WITH A CENT.

THERE WOULD BE WAYS THAT WE CAN DO IT.

SO WE HAVE TWO THINGS THAT HAVE INCREASED.

WE'VE HAD OUR APPRAISALS INCREASE AND WE'VE HAD QUITE A FEW NEW DEVELOPMENT, NEW BUILDING.

I KNOW IN MY DISTRICT I CHECK ON THAT ON A REGULAR BASIS.

SO WE HAVE BROUGHT IN ADDITIONAL NUMBERS AND I'M JUST SAYING WE'RE CONSTANTLY BURDENING OUR CITIZENS BECAUSE OUR ISLAND TAKES A LOT OF WHATEVER, NOT ABUSE, BUT A LOT OF USE FROM TOURISTS AND WHO PAYS THE BRUNT OF THAT OUR CITIZENS, AND ONCE AGAIN, WE ARE DOING THE SAME THING.

I JUST THINK IT'S WORTH US.

YES, IT'LL BE ONE WEEK.

YES, I KNOW IT'S A LOT OF WORK.

SORRY, WE DON'T GET PAID TO DO THIS JOB.

TO READ THROUGH THE BUDGET DOES NOT TAKE A NEW YORK MINUTE.

AND I WOULD JUST LIKE US TO LOOK TO SEE WHERE WE MIGHT BE ABLE TO SHARPEN OUR PENCILS AND ACTUALLY TAKE THE BURDEN OFF OUR CITIZENS.

THIS IS THE DOUBLE WHAMMY.

THEIR APPRAISALS WENT UP ANYWHERE FROM 30 TO 60 PERCENT, AND NOW WE'RE INCREASING THEIR TAXES ON TOP OF IT.

OH, RIGHT AFTER WE DID A TRASH INCREASE, WHICH WE NEEDED TO DO.

SO WE JUST KEEP ON LAYERING BURDEN AND BURDEN BURDEN.

AND THEN I'LL HEAR EVERYONE SAY WE WANT MORE MIDDLE INCOME.

WELL, WHEN YOU'RE TAXING PEOPLE TO DEATH, THERE CAN'T BE A MIDDLE INCOME.

[00:30:04]

AND I JUST THINK TO TAKE ONE MORE WEEK TO LOOK AT THIS, I'LL BE GLAD TO SIT FIVE DAYS IN A ROW, 20 HOURS A DAY TO READ THROUGH TO GIVE SUGGESTIONS, TO WORK WITH EACH OF YOU TO LOOK AT WHAT CAN BE DONE.

BUT I JUST THINK THAT IT'S REALLY ODD.

AND I COMMENTED, YOU'VE HAD WRITTEN COMMENTS FROM ME LAST YEAR ON THIS VERY SAME THING.

THIS ISN'T SOMETHING THAT'S JUST NILLIE WILLY.

I MEAN, WE HAVE TO LOOK AT WHAT, WE GET ELECTED TO REPRESENT OUR CITIZENS.

AND I THINK WE NEED TO LOOK AT HOW WE MIGHT BE ABLE TO SHAVE THIS DOWN.

WHEN I'VE TALKED TO SO MANY PEOPLE TODAY IN BETWEEN OUR WORKSHOP AND NOW TALKING ABOUT HOW MUCH THEIR APPRAISALS WENT UP AND THE BURDEN, YOU SEE COMMENTS ON FACEBOOK, YOU SEE.

AND A LOT OF PEOPLE JUST WENT THROUGH THEIR PROTESTS.

AND GUESS WHAT? THE PEOPLE WHO HIRED COMPANIES, SOME OF THEM THEIR APPRAISALS, WENT UP ONE PERSON TO ONE HUNDRED AND TWENTY SEVEN THOUSAND.

THEIR APPRAISAL WENT UP.

AND I JUST THINK IT WOULD NOT HURT US OR DO AN INJUSTICE TO TAKE ONE MORE WEEK TO LOOK AT THIS WHERE WE CAN LOWER MAYBE A PENNY, MAYBE A HALF A PENNY, MAYBE WE TAKE THREE DAYS OUT OF THE RESERVE.

AND I KNOW BRIAN GAVE THE ARGUMENT LAST YEAR, YOU NEVER WANT TO TAKE FOR YOUR SAVINGS AND SO FORTH.

AND YEAH, THERE IS SOME ARGUMENT TO THAT.

BUT THERE'S ANOTHER ARGUMENT TO WE'RE TAXING OUR PEOPLE RIGHT OFF THE ISLAND.

AND I JUST I THINK WE NEED TO LOOK AT THAT.

I THINK WE NEED TO LOOK AT HOW WE CAN SHAVE ANOTHER PENNY TWO PENNIES OFF THIS BECAUSE OUR CITIZENS ARE THE ONES THAT ARE BEING AFFECTED.

AND IN MANY CASES, IT'S BECAUSE OF THE TOURISTS.

AND IT'S NOT RIGHT.

THEY SHOULDN'T HAVE TO PAY FOR THAT.

A PENNY.

IF I COULD.

COUNCIL MEMBER A PENNY IS 829 THOUSAND DOLLARS IN THIS PARTICULAR BUDGET, AND WE'RE NOT AFRAID OF HARD WORK.

WE SPENT A LOT OF HARD HARD WORK DEVELOPING THE DOCUMENTS TO GIVE TO YOU, SO YOU COULD LOOK AT WHERE THE MONEY WAS GOING AND MAKE SOME OVERALL CHOICES OF YOUR OWN.

IF YOU WANT TO CUT THE BUDGET THERE'S, I THINK, THE PAGE WE WERE LOOKING AT THIS MORNING.

PAGE 72 SHOWS YOU HOW THE GENERAL FUND BUDGET WAS CONSTRUCTED, AND IF WE DECONSTRUCT IT, WE'D START THERE.

THAT'S WHERE THE CITY MANAGER WAS STARTING AWHILE AGO, WHEN HE WAS ENUMERATING THE THINGS THAT WE'D HAVE TO LOOK AT.

WELL, IF WE TOOK SEVEN DAYS OUT OF RESERVES, THAT WOULD BE A MILLION DOLLARS.

AND THAT MILLION DOLLARS BECOMES CURRENT EXPENSE THAT YOU HAVE TO EITHER COME UP WITH CURRENT INCOME TO REPLACE NEXT YEAR OR SAVINGS TO BE IDENTIFIED.

AND THAT'S WHERE THE TRACK GETS TREACHEROUS.

YOU START TAKING YOUR FUND BALANCE DOWN.

WE SHOULD LOOK AT HOW.

FUND BALANCE IS NOT A REVENUE SOURCE.

JOHN, DID YOU WANT TO SAY SOMETHING? YOU KNOW, MIKE, I KNOW YOU DO A TON OF WORK PUTTING THIS BUDGET TOGETHER.

I GUESS THE ONLY THING I DON'T LIKE IS THAT WE GET TO THIS POINT EACH YEAR AND WE'RE BASICALLY ALMOST FORCED TO ACCEPT THIS BUDGET.

YOU KNOW, WE GET TO THIS POINT.

WE GO THROUGH THIS PROCESS, WE SAY, YOU KNOW, WE'LL SET THE RATE AT THIS, BUT WE ALWAYS HAVE THE CHANCE TO LOWER IT.

BUT WE NEVER LOWER IT.

IT ALWAYS COMES TO IT.

YOU KNOW, LAST YEAR IT CAME TO US, YOU KNOW, WE HAD THIS TAX CAP PUT IN PLACE LAST YEAR, IT CAME TO US, WE ACCEPTED THAT RATE, AND WE NEVER REALLY GET ANY OPTIONS ON IF WE WANT TO GO A DIFFERENT ROUTE, WE ALWAYS GET.

YOU KNOW LAST YEAR WE GOT THE SAME THING WE'RE GETTING THIS YEAR, BASICALLY, AND WE'RE KIND OF NOT FORCED TO APPROVE IT.

BUT WE AREN'T PRESENTED WITH ANY OTHER OPTIONS.

THIS IS THE OPTION THAT WE HAVE BEEN PRESENTED WITH.

OUR ONLY OPTION.

AND IT'S KIND OF WE GET TO THIS POINT AND IT'S KIND OF TAKE IT OR LEAVE IT.

THAT'S THE ONLY THING I DON'T LIKE HERE.

I WISH WE WOULD BE PRESENTED SOME OPTIONS, EVEN IF THEY'RE, YOU KNOW, THOSE OPTIONS, THAT MIGHT NOT BE THE BEST, BUT IT GIVES US A CHANCE TO GO THIS IS AN OPTION, BUT THIS IS PROBABLY NOT THE BEST OPTION FOR GALVESTON.

SO I'M GOING TO GO WITH WHAT'S PRESENTED OVER HERE.

AND SO THAT'S THE ONLY THING I DON'T REALLY LIKE ABOUT THIS PROCESS.

WE GO THROUGH THIS STEP AND IT'S JUST KIND OF SOMEWHAT FORCED DOWN OUR THROATS AND

[00:35:01]

WE ACCEPT IT EACH YEAR.

AND IF WE'RE GOING TO GO DOWN THIS PATH OF EVERY YEAR DEALING WITH THIS TAX CAP AND ALWAYS COMING IN RIGHT UNDER THE GUN, RIGHT UNDER THE VOTER APPROVAL RATE, THEN WE EITHER NEED TO SET SOME THINGS IN MOTION TO MAKE OUR CONSTITUENTS AND OUR CITIZENS AWARE OF THAT, AND WE NEED TO PUT AN [INAUDIBLE] IN PLACE TO FIGURE OUT HOW TO LOWER OUR TAX RATE.

AND I HAVEN'T SEEN THAT YET.

I MEAN, THIS IS OUR SECOND YEAR GOING THROUGH THIS THREE AND A HALF PERCENT AND IT'S RELATIVELY NEW TO US.

BUT YOU KNOW, WE'RE GOING TO CONTINUE GOING DOWN THIS PATH WITHOUT ANOTHER PLAN IN PLACE.

AND SO I'D LIKE TO SEE SOMETHING.

UNFORTUNATELY, WE HAVE COUNCIL MEMBER LISTOWSKI IS THAT YOU'RE DEALING WITH A VERY OLD CITY WITH NOT A LOT OF NEW CONSTRUCTIVE GROWTH AND COST ARE ESCALATING.

SO IT'S ALMOST TO DO WHAT YOU'RE WANTING TO DO AND MAKE THE PROGRESS THAT IS EXPECTED BY THE COUNCIL IS ALMOST IMPOSSIBLE.

IT'S JUST IT BECOMES MATH AT THAT POINT.

SO ARE WE GOING TO ACCEPT THAT, JUST ACCEPT THAT AND GO WITH THIS? WELL, NO, NO, NO.

ARE WE GOING TO? NO, I WOULD THINK THE FIRST PLACE YOU'D WANT TO BACK OFF IS IN YOUR CAPITAL IMPROVEMENT PLAN AND YOU WOULD STOP DOING THOSE PROJECTS.

THAT'S WHERE YOUR MONEY'S GOING.

I MEAN, ALL OF OUR GENERAL FUND MONEY PRETTY MUCH IS GENERAL OPERATIONS, AND IT'S ALMOST ENTIRELY PUBLIC SAFETY.

SO HOW MUCH MONEY IS THERE THAT'S NOT RESTRICTED IN THE CAPITAL IMPROVEMENT PLAN? WELL, IT'S PARTLY [INAUDIBLE] AGAIN, IT COMES DOWN TO THE MATHEMATICAL CALCULATION.

IF YOU REDUCE THE GENERAL FUND BUDGET, YOU ALSO REDUCE THE CAPITAL IMPROVEMENT PLAN BECAUSE IF YOU REDUCE THE REVENUE AND YOU REDUCE THE SIZE OF THE BUDGET, THE EIGHT PERCENT ON THE OTHER SIDE SHRINKS.

SO IT'S WHAT I'M TELLING YOU.

IT'S ALL SILOED MONEY AND IT MAKES IT VERY DIFFICULT.

MIKE'S GONE THROUGH ALL THIS, SO IT'S NOT.

YOU CAN'T JUST SAY CUT THAT BECAUSE IT HAS RIPPLE EFFECTS THROUGHOUT THE ENTIRE BUDGET, WHICH IMPACTS THE SERVICES.

SO, YOU KNOW, UNLESS I'M MISSING SOMETHING HERE, IS THERE A LEVEL OF SERVICE THAT WE'RE OVERACHIEVING ON THAT YOU WOULD LIKE US TO BACK DOWN ON? I GUESS THAT'S WHAT I'M ASKING, YOU.

NO.

BUT I GUESS MY THOUGHT HERE IS WE'RE GOING TO CONTINUE GOING DOWN THE SAME PATH EACH YEAR.

MIKE IS GOING TO BRING US A BUDGET THAT IS RIGHT UNDER THE VOTER APPROVAL RATE.

DO YOU EVER SEE THAT NOT HAPPENING? YOU KNOW, I WOULD HONESTLY TELL YOU, WE WILL PROBABLY NEVER BE AT THE NO NEW REVENUE RATE, I'M NOT ASKING ABOUT THE NO NEW REVENUE RATE.

I'M ASKING ABOUT THE RIGHT UNDER THE VOTER, YOU KNOW, TO GO TO A VOTE.

I WOULD TELL YOU THREE AND A HALF PERCENT, ARE WE EVER GOING TO GET BELOW THE THREE AND A HALF PERCENT EACH YEAR? IF I COULD TAKE A STAB AT IT.

THE PURPOSE WHEN WE COME TO YOU IN JUNE AND JULY AND SOME YEARS IN MAY TO DISCUSS THE ISSUES WITH THE BUDGET IS TO SURFACE CONCERNS LIKE THAT SO THEY CAN BE TAKEN INTO CONSIDERATION IN DEVELOPING THE BUDGET.

AND WHEN WE DON'T HEAR THAT OBJECTION OR THAT DIRECTION, THE BUDGET IS PULLED TOGETHER BASED ON AVAILABLE REVENUE, WHICH IS THE RATE SET CLOSE TO THE VOTER APPROVAL RATE.

NOW, ONE OF THE THINGS WE HAVEN'T SAID HERE BECAUSE THE TAX RATE IS COMING NEXT, BUT THIS TAX RATE OF SIX POINT ONE FIVE CENTS LESS IS ACTUALLY KNOCKING 11 PERCENT OFF PEOPLE'S TAX BILLS.

SO WE'RE NOT OFFSETTING THE ENTIRE APPRAISAL, BUT THAT'S IN EFFECT WHAT IT'S DOING IS KNOCKING THEIR TAXES DOWN.

IT'S A MATHEMATICAL FORMULA FOR US AND THAT WE DON'T HAVE THESE OTHER CITIES ARE ABLE TO CONTINUE TO MEET THESE EXPECTATIONS AND ALSO AND THEY'RE ALSO ABLE TO PAY THEIR EMPLOYEES THE INCREASED WAGES AND BUY THE NEW EQUIPMENT AND ALL THE THINGS THAT ARE REQUIRED BECAUSE THEY'RE GETTING NEW CONSTRUCTIVE GROWTH.

WE DON'T GET THAT NEW CONSTRUCTIVE GROWTH.

SO WHEN MY EXPENSES GO UP, YOU CAN ONLY CUT YOUR WAY TO THIS SO LONG AND THEN YOU'RE HAVING TO REDUCE EXPENDITURES.

AND I FULLY UNDERSTAND THAT.

AND THAT'S KIND OF WHERE WE'RE AT AS A CITY RIGHT NOW, UNLESS WE CAN.

AND SO THAT'S WHY WE REALLY NEED TO BE FOCUSED ON INCREASING THAT CONSUMPTIVE SIDE.

WE SHOULD ONLY BE DOING THINGS THAT INCREASE SALES TAX.

WE SHOULD BE SHIFTING THINGS TO FEE BASED USER FEES.

AND THAT'S WHERE I'M GOING WITH THIS.

YEAH.

WHERE IS THAT PLAN? DO WE HAVE A PLAN TO IMPLEMENT THAT TO GO THAT ROUTE? I MEAN, BECAUSE IF WE DON'T, WE'RE GOING TO CONTINUE TO SEE THIS EACH YEAR.

WE'VE DONE THAT.

WE'VE BROUGHT THINGS TO YOU IN THE PAST, THINGS LIKE THE COMMERCIAL DUMPSTER ORDINANCE, THINGS LIKE THE GOLF CART PROPOSAL, THINGS LIKE THE SHORT TERM RENTAL FEE PROPOSALS.

THESE ARE THINGS THAT ARE GOING TO OFFSET THESE EXPENSES THAT COUNCIL MEMBER ROBB HAS HONED IN ON EXACTLY RIGHT.

WE HAVE A LOT OF EXPENSES HERE THAT PAY TO POLICE AND ISLAND.

YOU KNOW, IF I ONLY HAD TO MAINTAIN INFRASTRUCTURE FOR THE 50,000 PEOPLE THAT LIVED HERE, WE'RE GOLDEN.

I GOT YOU NO NEW REVENUE AND PROBABLY A LITTLE BIT MORE.

BUT THAT'S NOT THE CASE.

AND WE HAVE TO PROVIDE SERVICES BECAUSE OUR RESIDENT SERVICES STEP UP WHEN THE ISLAND'S FULL AND BECAUSE THEY HAVE ISSUES TOO AT THE SAME TIME AND THEY HAVE TO WORK WITH AROUND THE CROWDS AND EVERYTHING ELSE.

WE HAVE A LOT OF EXPENSES ASSOCIATED WITH THAT AND WE HAVE A LOT WE HAVE SOME REVENUE THAT COMES IN WITH THAT TOO.

BUT A LOT OF YOUR REVENUE GETS PIECED OFF INTO IDC AND OTHER AREAS, WHICH IS GREAT.

[00:40:03]

WE'VE GOTTEN SOME TREMENDOUS PARK IMPROVEMENTS AS A RESULT OF SALES TAX THAT IS PROBABLY ALMOST 60 PERCENT GENERATED BY TOURISTS, WHICH IS A GREAT THING.

BUT WE'RE NEVER GOING TO GET THERE LIKE SOME OF THESE OTHER CITIES, IT'S HARD TO BENCHMARK IT AND I KNOW IT'S A TOUGH PILL TO SWALLOW.

WE'RE AN OLD CITY WITH OLD INFRASTRUCTURE AND WHEN COSTS GO UP, I MEAN, WE'RE A CONSUMER.

I DON'T PRINT MONEY.

WE'RE A CONSUMER.

SO WHEN FUEL GOES UP AND MARIE IS RIGHT, AND COUNCIL MEMBER ROBB IS RIGHT.

IT'S EXPENSIVE RIGHT NOW.

BUT YOU KNOW, MY APPRAISAL WENT UP.

THIRTY FIVE OR 40 PERCENT, BUT MY TAXES AREN'T GOING TO GO UP THIRTY FIVE OR 40 PERCENT, THEY'RE GOING TO GO UP THREE PERCENT BECAUSE THAT'S WHERE WE'RE HONING THAT IN.

SO YES, THE APPRAISALS WENT UP, BUT EVERYBODY'S TAXES ARE CAPPED AND ESPECIALLY IF THEIR HOMESTEADS THEY ARE CAPPED TOO, WHICH IS REALLY WHO WE SHOULD BE FOCUSED ON IS OUR RESIDENTS THAT OWN PROPERTY HERE AND LIVE HERE.

BUT I JUST DON'T SEE US EVER GETTING 100 PERCENT TO THE NO NEW REVENUE.

WILL WE HIT A POINT WHERE WE DON'T HAVE TO GO UP THREE AND A HALF PERCENT.

GOD, I HOPE SO, BUT IT'S NOT GOING TO HAPPEN IN A YEAR WHEN.

I DON'T SEE THOUGH.

IT'S NOT GOING TO HAPPEN IN A YEAR WHERE GAS PRICES HAVE GONE UP A BUCK, 50 A GALLON CARS HAVE DOUBLED IN PRICES AND GARBAGE TRUCKS HAVE DOUBLED IN PRICES.

WHEN WILL THE POLICE AND FIRE ASSOCIATIONS NOT ASK FOR A RAISE? EXACTLY.

I MEAN, THAT'S MY POINT HERE.

AS I SEE US, I SEE YOU BRINGING A BUDGET TO US EACH YEAR.

THAT'S RIGHT, UNDER THE THREE AND A HALF PERCENT.

UNLESS IN JULY, IN ONE OF OUR WORKSHOPS, THE COUNCIL SAYS STRUCTURE IT DIFFERENTLY TAKE X AMOUNT OF THE REVENUE GROWTH AND SET IT ASIDE FOR A CUT IN THE TAX RATE.

ALL RIGHT LET'S.

BUT I MEAN, AND I WILL TELL YOU THAT'S THE WHOLE CRUX OF IT IS THAT EVERYBODY'S PRICES ARE GOING UP AND I FEEL, I MEAN, MINE ARE GOING UP, YOU'RE GOING UP, YOU KNOW THAT, YOU KNOW, THE COST OF MATERIALS.

I'M ONE OF THE LARGEST BUYERS OF MATERIALS ON THE ISLAND.

BUT WHEN ASPHALT GOES UP TWO AND THREE TIMES THE COST.

I STILL GOT TO BUY ASPHALT.

I STILL GOT TO BUY FUEL.

I STILL GOT TO BUY TIRES, I STILL GOT TO BUY CARS.

AND FOR THESE OTHER CITIES, IT'S GREAT.

THEY HAVE ALL THIS NEW CONSTRUCTIVE GROWTH THAT'S GOING TO PAY FOR ALL THAT EXPENSE.

I DON'T HAVE IT.

SO I RUN OUT OF WIGGLE ROOM REAL QUICK AND WE'VE REDUCED I MEAN, YOU CAN'T SAY WE HAVEN'T REDUCED THE CIVILIAN SIDE OF THE GENERAL FUND BUDGET IS GREATLY REDUCED SINCE I'VE BEEN HERE.

MIKE WILL TELL YOU THAT IT'S WE'VE CUT IT EVERY SINGLE YEAR, BUT IT COMES A POINT WE HAVE A LEVEL OF SERVICE THAT IS EXPECTED TO PROVIDE AND THERE'S A COST TO PROVIDING THAT SERVICE AND THAT COST GOES UP EVERY SINGLE YEAR.

I'VE GOT TO GET THAT MONEY SOMEPLACE.

I'D LIKE TO GET MORE OF IT FROM USER FEES, BUT THAT HITS PEOPLE HARD TOO.

SO, ALL RIGHT.

LET'S BRIAN, IF.

AND I'M SORRY TO DRAG ON.

I'D LIKE TO INTERJECT HERE.

I WANT TO GET A PROCEDURAL KIND OF CLARIFICATION HERE.

WE HAVE A MOTION TO APPROVE THIS BUDGET ON THE AGENDA HERE.

WE'RE COMING OF THE TAX RATE.

IF WE APPROVE THIS BUDGET, DOES THAT MEAN WE HAVE TO APPROVE THE TAX RATE OR DOES THAT? CAN WE DO THOSE SEPARATELY AT A DIFFERENT TIME? HOW DOES THAT WORK? LET ME GIVE YOU MY BEST UNDERSTANDING OF THE RULES THAT WE'VE GOT.

THE STATE REQUIRES THAT THE BUDGET BE ADOPTED PRIOR TO THE TAX RATE BEING ADOPTED WITH THE ASSUMPTION THAT THE TAX RATE SUPPORTS THE SPENDING THAT'S IN THE BUDGET.

THE QUALIFICATION, THOUGH, IS NOW THE NUMBER OF VOTES NECESSARY TO APPROVE THESE TWO ACTIONS ARE DIFFERENT.

A SIMPLE MAJORITY WILL APPROVE THE BUDGET, BUT IT TAKES A 60 PERCENT MAJORITY OR FIVE VOTES TO APPROVE THE TAX RATE.

SO UNLESS THE ENTIRE COUNCIL IS READY TO VOTE ON A TAX RATE AND A BUDGET, YOU COULD GET IN A DARK HOLE REALLY FAST BY ADOPTING THE BUDGET AND THEN JUST GOING TO THE TAX RATE.

OKAY I WANT COUNCIL TO BE AWARE OF THAT, TOO, BECAUSE THESE GO TOGETHER HAND IN GLOVE.

AND I THINK WE NEED TO TAKE THAT IN CONSIDERATION.

I WANT TO MAKE A FEW COMMENTS ON THIS.

I KNOW THERE WAS MORE INPUT ON THIS, BUT I WANT TO MAKE A FEW COMMENTS.

I THINK ALL THE COUNCIL MEMBERS IN THEIR OWN WAY FOLLOW THIS BUDGET ALL THE WAY THROUGH.

AND MIKE'S RIGHT, WE'VE HAD MANY MEETINGS ON THIS PARTICULAR ITEM IN THE BUDGET.

AND I THINK SOMETIMES IT'S ALMOST INFERRED THAT COUNCIL, I MEAN THAT STAFF IS PUTTING TOGETHER A BUDGET AND TRYING TO JUST EKE UNDER THIS PARTICULAR RATE THAT DOESN'T HAVE TO GO TO THE VOTERS.

THE MATTER OF THE FACT IS I'VE WATCHED THEM GO THROUGH THIS BUDGET THIS YEAR.

STAFF HAS ALWAYS BEEN LOOKING AT WHAT WE CAN DO TO CUT EXPENSES TO MAKE THIS BUDGET AS LEAN AS POSSIBLE FOR THE BENEFIT OF THESE CITIZENS OUT THERE.

I WANT THE CITIZENS TO KNOW THAT WE'RE CUTTING THE RATE OVER SIX CENTS AT THIS PARTICULAR POINT IN TIME, AND WE'LL PROBABLY CONTINUE TO CUT THAT AS WE GO ALONG.

BUT I THINK WE NEED WHEN THE CITIZENS LOOK TOWARDS US, IT'D BE EASY TO SAY WE'RE JUST

[00:45:01]

GOING TO GO TO THIS THE NO NEW REVENUE RATE AND LET'S LET STAFF FIGURE IT OUT.

BUT WE'RE GOING TO GIVE YOU THE LOWEST POSSIBLE RATE POSSIBLE.

WITH THESE APPRAISED VALUES BEING HIKED AS THEY ARE.

WE'RE NEVER GOING TO GET THAT RATE DOWN TO MAKE A DEMONSTRABLE DIFFERENCE IN SOME OF THESE INDIVIDUALS TAX BILLS BECAUSE OF THE APPRAISED VALUES.

I DON'T WANT US TO BE PENNY WISE AND AND A POUND FOOLISH.

AND I THINK WHAT STAFF HAS DONE HERE, IN MY ESTIMATION, HAS PUT TOGETHER A VERY LEAN BUDGET.

THIS IS A BUDGET THAT DOES NOT SUPPORT A LOT OF FLUFF IN THIS OR ANY FLUFF IN THIS BUDGET.

AND THEY HAD BEEN REDUCING EXPENSES EVEN BEFORE THIS BUDGET TIME.

SO THIS BUDGET IS A VERY LEAN BUDGET, AND IT'S A BUDGET THAT NOT ONLY GIVES AS MUCH RELIEF AS WE POSSIBLY CAN AT THIS POINT TO THE TAXPAYER, BUT ALSO GIVES STABILITY FINANCIALLY TO THE CITY.

AND THAT'S VERY IMPORTANT TO CONSIDER IN THESE BUDGETS IS LOOKING AT THE FUTURE AND THE STABILITY THAT WE HAVE FOR THIS COMMUNITY.

I'M GOING TO BRING THIS ITEM TO A HEAD HERE ANYMORE.

I'D LIKE TO HAVE JUST SHORT COMMENTS IF WE COULD PLEASE.

WE'VE HAD A LOT OF DISCUSSION.

I THINK JUST ONE COMMENT TO MAKE FOLLOWING WHAT MR. LOFTIN SAID.

DON'T VOTE FOR THIS ONE IF YOU DON'T INTEND TO VOTE FOR THE NEXT ONE.

AND ONE OTHER THING I WANT TO MENTION THE 120 DAYS AND COUNCIL MEMBER ROBB IS GOOD TO HONE IN ON THAT.

THAT'S IMPORTANT.

NOW IF WE HIT A HUNDRED, IF WE HAVE A GOOD YEAR NEXT YEAR SALES TAX, LET'S JUST SAY SALES TAX BEATS EXPECTATIONS.

AND WE HAVE A BETTER YEAR NEXT YEAR IF WE'RE OVER 120 DAYS AND PROJECTED TO GO OVER 120 DAYS IN THE FOLLOWING YEAR.

MY RECOMMENDATION TO COUNCIL IS TO NOT USE THAT MONEY TO OFFSET GENERAL FUND EXPENSES, BUT TO USE THAT MONEY FOR ONE TIME CAPITAL PROJECTS.

THAT, TOO, HELPS YOU REDUCE THE TAX RATE.

ONCE WE GET TO THAT 120 DAY MARK, I'M ALL IN FOR DOING THAT.

IF WE NEED A NEW FIRE PUMPER AT THAT POINT OR I NEED A LADDER TRUCK AT THAT POINT, BY ALL MEANS, IF WE'VE GOT IT IN FUND BALANCE AND WE'RE OVER 120 DAYS, DO THAT, DON'T BUILD IT INTO THE BUDGET.

THAT'S GOING TO KEEP THE TAX RATE UP.

BUT WE'VE GOT TO GET THERE FIRST.

WE'RE NOT THERE YET.

CAN I ASK A QUESTION ABOUT ABOUT THE FUND BALANCE.

JUST TAKE, FOR INSTANCE, THE WINTER STORM.

WE HAD A LOT OF OVERTIME.

CORRECT.

AROUND THAT.

WHERE DOES THAT MONEY COME FROM? DOES THAT COME OUT OF THIS FUND? YES.

I MEAN, SO THAT'S THE WAY I'VE ALWAYS UNDERSTOOD IT.

WE TARGET 120 DAYS.

LEGALLY, WE ARE REQUIRED TO KEEP 90 DAYS BY STATE LAW, RIGHT? BUT WE TARGET 120 DAYS BECAUSE THERE MIGHT BE A STORM WHO KNEW IT WAS GOING TO BE AN ICE STORM.

BUT I MEAN, YOU KNOW, THERE COULD BE A STORM NEXT MONTH.

THAT'S THE BIGGEST REASON, PLUS.

TWO OR THREE OF THEM EASILY.

BUT THE MORE IMPORTANT REASON TO MAINTAIN THESE FUNDS AND MIKE TOUCHED ON IT, AND IT'S IMPORTANT TO REMEMBER THIS IS THAT SO MUCH OF OUR FUNDING IS REIMBURSABLE FUNDING AND WE HAVE TO HAVE CASH TO FRONT IN ORDER TO GET REIMBURSED IF I DON'T HAVE THE CASH TO FRONT.

WE CAN'T DO THE PROJECTS.

I CAN'T DO PUMP STATIONS.

I CAN'T DO.

WE HAVE TO FRONT ALL THAT MONEY AND WAIT FOR REIMBURSEMENTS.

ALL RIGHT.

LET'S WE HAVE THE ITEM BEFORE US.

WE'RE GOING TO HAVE TWO MORE COMMENTS, JOHN AND THEN MARIE.

WELL, JUST EXPLAIN TO ME ONE MORE TIME HERE ON THE VOTES, ON THESE TWO ITEMS, ONE MORE TIME.

THE STATE LAW REQUIRES THAT THE BUDGET PASSED OR BE PASSED IN SOME FORM BEFORE THE TAX RATE IS APPROVED, AND THEY EXPECT THAT THE TAX RATE IS BASED ON THE BUDGET, AND THAT'S THE REASON FOR THE SEQUENCING LIKE THAT.

THE BUDGET IS APPROVED AT THIS POINT, ACCORDING TO STATE LAW, WITH A SIMPLE MAJORITY VOTE OF COUNCIL, WHICH COULD BE FOUR VOTES.

BUT THE TAX RATE NOW, IF YOU'RE INCREASING THE REVENUE, IF YOU'RE NOT ADOPTING THE NO NEW REVENUE RATE AND YOU'RE INCREASING TAXES, THAT TAKES A 60 PERCENT MAJORITY, WHICH FOR THIS COUNCIL IS FIVE VOTES.

SO FOUR COUNCIL MEMBERS ARE ENOUGH TO APPROVE THE BUDGET, BUT NOT ENOUGH TO APPROVE THE RATE THAT GOES WITH IT.

OK, AND SO, SCENARIO HERE, YOU APPROVE THE BUDGET AND THEN DON'T APPROVE THE RATE.

WHAT HAPPENS IN THAT SCENARIO? I THINK YOU HAVE TO AGREE ON THE RATE.

I THINK YOU HAVE TO AGREE ON THE RATE.

CONSIDER DOING SOMETHING WITH THE BUDGET.

I MEAN, REALLY IF THAT'S WHERE YOU'RE STUCK.

THEN WE NEED YOUR GUIDANCE.

AND MARIE, WE'RE GOING TO WIND THIS UP REAL QUICKLY, PLEASE.

I JUST WANT TO MAKE A COMMENT AND THIS IS FROM TODAY'S YOUR HANDOUT, YOUR WORKSHOP.

I WANT TO MAKE TWO COMMENTS.

ONE, IT WAS, I THINK, THE LAST MEETING THAT WE WERE TOLD TO SET A TAX RATE THAT

[00:50:06]

WE COULD COME DOWN FROM.

SO THAT WAS LESS THAN 15 DAYS AGO, 10 DAYS AGO THAT WE WERE TOLD TO SET A RATE THAT YOU COULDN'T GO ABOVE IT, BUT YOU COULD COME DOWN.

SO TO SAY WE'VE HAD MONTHS AND MONTHS UPON MONTHS.

I THINK I QUESTION THAT STATEMENT.

WHEN YOU LOOK AT THE PIE CHART OF THE CITY THAT YOU GAVE US BECAUSE WE KEEP SAYING PUBLIC SAFETY, PUBLIC SAFETY.

HARD TO READ THIS NUMBER, BUT I THINK IT'S 60 PERCENT.

SO IT'S 60 PERCENT OF THIS YEAR'S BUDGET.

SO WE KEEP SAYING, WELL, THE BUDGET IS PUBLIC SAFETY, PUBLIC SAFETY, THAT ISN'T THE CASE.

60 PERCENT.

I'VE BEEN TO TML MEETINGS.

I LISTEN TO THEIR WEBINARS, A LOT OF CITIES, THEIR PUBLIC SAFETY IS SEVENTY FIVE PERCENT.

WE KEEP SAYING HERE THE MANAGER KEEPS SAYING THAT WE DON'T HAVE ANY FUTURE GROWTH.

WELL, THAT SIMPLY ISN'T TRUE.

YES, IT'S NOT ON THE TAX RATE YET, BUT WE KNOW WE JUST BROKE GROUND ON A HUNDRED MILLION DOLLAR CRUISE TERMINAL.

WE KNOW WE JUST APPROVED LAST MEETING A 75 TO $100 MILLION DOLLAR CONDO PROJECT.

WE KNOW IN MY DISTRICT, I THINK RIGHT NOW, CURRENTLY THERE'S AT LEAST A HUNDRED HOUSES THAT ARE IN THE PROCESS OF BEING BUILT.

THAT'S ALL NEW DEVELOPMENT.

AND AGAIN, YOU CAME TO US AND YOU SAID, WELL, WE CAN SET IT AT THIS, WHICH IS THE MINIMUM SO YOU DON'T HAVE TO GO TO TAX, BUT WE CAN ALWAYS GO DOWN.

AND I AGREE WITH WHAT JOHN PAUL SAID.

BUT THEN WE'RE NEVER GIVEN ANYTHING ON WHAT CAN GO DOWN.

AND THAT WAS A VERY SHORT TIME AGO THAT WE SET THAT NUMBER, AND I WOULD JUST LIKE TO DEFER THIS WHEN I CAN'T SUPPORT IT.

AND I THINK WE COULD GO THROUGH THESE NUMBERS AND LOOK AT WHERE WE CAN SAVE FUNDS.

AND WE ALREADY KNOW SALES TAX IS ABOVE.

WE ALREADY KNOW A NUMBER OF THINGS ARE HIGHER THAN WHAT THEY WERE PUT IN THE FORECAST.

SO I'M JUST SAYING IN THE BEST INTEREST OF MY CITIZENS, WHICH A LOT OF THEM DON'T EVEN HAVE HOMESTEADS, SO A LOT OF THESE PLACES THAT ARE BEING BUILT AREN'T HOMESTEADED, THESE ARE FULL PROPERTY TAX VALUE.

I WILL NOT BE ABLE TO VOTE IN FAVOR OF EITHER OF THESE.

I THINK WE SHOULD DEFER ONE MORE WEEK, SHARPEN OUR PENCIL AND LOOK AT WHERE WE CAN ADJUST.

OK, WE HAVE THE MOTION BEFORE US FOR APPROVAL OF THE BUDGET.

THIS IS A RECORD VOTE.

LET'S GO AHEAD AND VOTE, PLEASE.

JANELLE.

BROWN.

YES.

COLLINS.

AYE.

LEWIS.

AYE.

SCHUSTER.

AYE.

QUIROGA.

NO.

LISTOWSKI.

NO.

ROBB.

NO.

OK, FOUR VOTES IN AFFIRMATIVE, SO THE BUDGET DOES PASS.

WE'RE MOVING TO ITEM.

8A 2, PLEASE NELLIE CONSIDER FOR ACTION A MOTION RATIFYING THE PROPERTY TAX INCREASE REFLECTED IN THE FISCAL YEAR 2022 BUDGET.

ALL RIGHT, THIS IS A PUBLIC HEARING ITEM.

IT'S 5:53 P.M.

I'M GOING TO OPEN THE PUBLIC HEARING ON THIS PARTICULAR ITEM.

THIS IS A CONTINUATION OF 8A..

YES, SIR.

YOU'VE ALREADY HAD YOUR PUBLIC HEARING.

WELL, WE WERE TAKING THEM AS TWO SEPARATE MOTIONS.

IT DOESN'T REQUIRE ANOTHER PUBLIC HEARING, THOUGH IT DOES NOT.

ALL RIGHT.

THANK YOU.

THANK YOU, MIKE.

BUT IT DOES REQUIRE THAT THE WORDING OF THE MOTION BE A SPECIFIC WAY THAT'S IN YOUR STAFF REPORT.

ALL RIGHT.

VERY GOOD.

SO WE ARE BACK TO COUNCIL ON THIS.

I'D ENTERTAIN A MOTION TO START THE DISCUSSION ON THIS COUNCIL.

WELL, YES, I WOULD.

I'D BE MORE THAN HAPPY TO, BUT THERE'S A SPECIFIC LANGUAGE.

I BELIEVE THAT THE LANGUAGE IS I MOVE THAT WE RATIFY THE PROPERTY TAX INCREASE REFLECTED IN THE FY 2022 BUDGET.

I SO MOVE.

IS THERE A SECOND TO THAT? AND WE HAVE A SECOND BY COUNCILMAN SCHUSTER.

[00:55:02]

LET'S HAVE DISCUSSION ON THAT.

COULD YOU EXPLAIN WHAT THIS ACTUALLY MEANS, MIKE IN PRACTICAL? THIS IS THIS IS ONE OF A NUMBER OF REQUIREMENTS THAT HAVE BEEN LAYERED ON TOP OF OTHER REQUIREMENTS THIS HAS BEEN IN PLACE SINCE 2007 OR SO FOR.

TO JUST CONFIRM THAT WHEN YOU'RE NOT ADOPTING THE THE NO NEW REVENUE RATE THEY USED TO CALL IT THE EFFECTIVE TAX RATE THAT YOU HAVE TO RECOGNIZE THAT WITH A SEPARATE SPECIAL MOTION AFTER THE PASSAGE OF THE BUDGET THAT SAYS WHAT THE MOTION SAYS THAT YOU'RE AFFIRMATIVELY RATIFYING THE PROPERTY TAX REVENUE INCREASE CONTAINED IN THE BUDGET.

OKAY.

ANY DISCUSSION ON THIS COUNCIL? ALL RIGHT.

OPEN IT UP FOR DISCUSSION OR QUESTIONS OF STAFF.

I HAVE A QUESTION MY WHERE DOES THIS RIGHT RANK US ALONG GALVESTON COUNTY WITH THE REST OF THE CITIES? DID YOU PRESENT US TO THAT LAST WEEK? I HAVEN'T.

I HAVEN'T LOOKED AT THAT.

ALL RIGHT, LET'S HEARING NO FURTHER DISCUSSION.

DO WE NEED A RECORD VOTE ON, OK, ALL THOSE IN FAVOR, PLEASE CAST YOUR VOTE, OR OPPOSED.

OK, IT'S FOUR TO THREE THAT DOES PASS, THANK YOU.

OH, IT'S THE TAX RATE.

YEAH, IT'S THE TAX.

RATE THIS ONE IS JUST THE FOUR VOTES.

ALL RIGHT.

LET'S MOVE TO ITEM 8B IF WE COULD PLEASE, NELLIE.

[8.B. Conduct A Public Hearing On The Proposed Property Tax Rate Of $0.4985 Per $100 Of Taxable Value For Tax Year 2021 To Receive Public Comment On The Rate.]

ITEM 8B CONDUCT A PUBLIC HEARING ON THE PROPOSED PROPERTY TAX RATE OF ZERO POINT FORTY NINE EIGHT FIVE PER ONE HUNDRED OF TAXABLE VALUE FOR TAX YEAR 2021 TO RECEIVE PUBLIC COMMENT ON THE RATE, IT IS 5:57 P.M.

I'M GOING TO OPEN THE PUBLIC HEARING.

MAY I ASK A QUICK PROCEDURAL QUESTION ARE WE TALKING ABOUT THE TAX YEAR 2021? WELL IT SAYS 2021 IN THE ON THE AGENDA.

[INAUDIBLE] IT SAYS PUBLIC HEARING, BUT ON THE AGENDA, IT SAYS TAXABLE VALUE FOR THE TAX YEAR 2021, IT IS TAX YEAR 2021 FISCAL YEAR IN THE TAX YEAR, OFF BY A YEAR SPEAKERS] BY A YEAR.

YEAH, IT'S ALWAYS BEEN THAT WAY SO IT'S THE 2021 TAX YEAR.

THAT'S WHAT FUNDS FISCAL YEAR 2022.

YEAH.

OK, THANK YOU VERY MUCH.

OKAY, IT'S 5:57 PM.

I'M GOING TO OPEN THE PUBLIC HEARING ON ITEM 8B FOR THE PUBLIC HEARING FOR THE PROPOSED PROPERTY TAX RATE.

IS THERE ANY COMMENTS FROM ANYONE IN THE AUDIENCE ON THIS? HEARING NONE.

ANYONE ONLINE, JANELLE, THAT WOULD LIKE TO SAY ANYTHING? OK.

IT'S 5:58 P.M.

I'M GOING TO CLOSE THE PUBLIC HEARING ON THIS PARTICULAR ITEM, AND WE'RE GOING TO MOVE TO ITEM 8B 1 PLEASE.

ITEM 8B 1, CONSIDER FOR APPROVAL AN ORDINANCE OF THE CITY OF GALVESTON, TEXAS LEVYING AD VALOREM TAXES FOR TAX YEAR 2021 IN THE AMOUNT OF 49 CENTS AND EIGHT POINT FIVE ZERO ZERO MILLS UPON EACH $100 OF PROPERTY VALUATION FOR THE TAX YEAR 2021, MAKING VARIOUS FINDINGS AND PROVISIONS RELATED TO THE SUBJECT.

ALL RIGHT, THANK YOU VERY MUCH.

I'M GOING TO OPEN THE PUBLIC HEARING AT 5:58 P.M.

ON THIS PARTICULAR ITEM.

ITEM 8B 1 DOES ANYONE IN THE AUDIENCE LIKE TO MAKE A COMMENT.

ANYONE ONLINE, PLEASE, JANELLE? NO COMMENTS.

I'M GOING TO CLOSE THE PUBLIC HEARING AT 5:59 P.M.

AND BRING THAT BACK TO COUNCIL, COUNCIL.

IS THERE A SECOND TO THAT? SECOND AND A SECOND BY COUNCILMAN COLLINS.

I'D OPEN THAT UP FOR DISCUSSION, JOHN.

SO IF THIS MOTION FAILS IT'LL COME BACK TO US NEXT MEETING OR WHAT'S THE PROCEDURE? MAYBE THE CITY ATTORNEY NEEDS TO HELP US OUT WITH THAT PROCEDURE.

YEAH, IT WOULD NEED TO COME BACK BECAUSE, AS I UNDERSTAND IT, MIGHT BE RUN

[01:00:03]

IN TANDEM? SO NEXT WEEK IS THE NEXT CITY COUNCIL AGENDA.

IF THE MOTION FAILS, IT WOULD HAVE TO COME BACK.

DEPENDS ON THE MOTION, EITHER TO APPROVE IT OR NOT APPROVE IT AND THE OUTCOME OF THAT MOTION.

I'M NOT SURE THAT THAT ANSWERS THE QUESTION FOR ME.

SO, YEAH, WE HAVE TO BRING IT BACK CLEARLY, IF THE MOTION TO APPROVE FAILS, THEN EITHER A DIFFERENT TAX RATE NEEDS TO BE PRESENTED AT ANOTHER HEARING OR IF THERE'S A MOTION.

WELL, I GUESS IF THE MOTION TO APPROVE FAILS, IF THERE IS A MOTION TO NOT APPROVE THE TAX RATE AND THAT PASSES, THEN OF COURSE WE DON'T HAVE TO COME BACK WITH ANOTHER TAX RATE BECAUSE WE [INAUDIBLE] I HAVE TO PROPOSE A TAX RATE THAT SUPPORTS THIS BUDGET.

I CANNOT LEGALLY BRING YOU A TAX RATE THAT DOESN'T SUPPORT THE BUDGET.

[INAUDIBLE] I MEAN, IF A DIFFERENT TAX RATE CAME BACK OR WE APPROVED A DIFFERENT TAX RATE, WOULD THE BUDGET BE, YOU KNOW, COME BACK TO US AGAIN? OR WOULD YOU JUST REVISE THE BUDGET? THE BUDGET CAN BE AMENDED.

I THINK THAT'S WHAT YOU'D HAVE TO DO IS SAY, IF YOU'RE CUTTING THE RATE, WHERE ARE YOU GOING TO AMEND THE BUDGET TO REFLECT THE LOWER RATE? DAVID.

OK, THEN I'M GOING TO HAVE TO PUT THOSE OF YOU WHO VOTED NO ON THE BUDGET ON THE SPOT TONIGHT BECAUSE WE DON'T HAVE THE OPPORTUNITY NEXT WEEK TO DECIDE WHERE TO CUT THE BUDGET.

I MEAN THAT THAT WORK NEEDS TO BE DONE BETWEEN NOW AND THEN.

IF WE'RE GOING TO APPROVE A BUDGET LESS THAN THE ONE THAT'S BEEN PROPOSED HERE, ONE THAT WOULD COMPORT TO ANY TAX RATE LOWER THAN THIS ONE.

THERE HAVE TO BE CUTS MADE IN THE SUMMER.

SO I NEED I NEED PEOPLE TO TELL ME WHERE WE'RE GOING TO CUT THIS.

DON'T YOU SAY SHARPEN YOUR PENCILS AND GO FIND SOMETHING THAT'S NOT HOW IT WORKS? AND CAN I ASK A QUESTION OF OF MICHAEL? WHAT ARE THE RAMIFICATIONS IF A BUDGET IS NOT ADOPTED OR TAX RATE NOT ACCEPTED? AREN'T THERE SOME STATE? I HATE TO USE THE WORD SANCTIONS, BUT WHAT ARE THE RAMIFICATIONS? THERE'S NO BUDGET OR PROPERTY TAX POLICE, IF YOU WILL.

BUT THE FEAR ALWAYS IS THAT GENERAL TAXPAYER SUIT COULD CHALLENGE THE ENTIRE TAX LEVY OR THE BUDGET ITSELF.

AND OF COURSE, THE THE DANGER IS GREATER IF THERE'S A CHALLENGE TO THE TAX LEVY BECAUSE OF THE EXTENSIVE WORK IT TAKES TO BUILD PEOPLE AND COLLECT THE REVENUE.

SO YOU'RE JUST YOU'RE OPENING YOURSELF TO NO MAN'S LAND.

MY QUESTION STANDS, WHERE DO YOU WANT TO CUT THIS? DO WE WANT TO START LAYING PEOPLE OFF BECAUSE THAT'S NEXT.

I MEAN, BECAUSE I'M NOT SURE AT THIS LATE DATE WE COULD JUST DECIDE TO CANCEL THE TRANSPORTATION DEPARTMENT AND GARNER SOME SAVINGS THERE.

WE CAN'T START SELLING BUSSES.

WE CAN'T JUST DECIDE CLOSE PARKS AND DECIDE NOT TO SUPPORT [INAUDIBLE] WE COULD.

BUT, YOU KNOW, IS THAT WHAT WE WANT TO DO? WHAT DO YOU WANT TO SEE CUT MARIE? WHERE DO YOU WANT THE MONEY TAKEN OUT OF THIS BUDGET? I STILL SAY WE COULD TAKE SOME DAYS OUT OF THE RESERVE THAT WOULD ALLOW US TO CUT THE TAX RATE.

I THINK WE KNOW WE ALREADY HAVE DEVELOPMENT ON THE BOOKS THAT WOULD MAKE THE DIFFERENTIAL.

YOU ALL WENT THROUGH THE SAME THING LAST YEAR.

LAST YEAR YOU WERE TOLD YOU WERE GOING TO HAVE 111 DAYS IN RESERVE.

AND NO, WE HAVE 120 DAYS IN RESERVE.

SO I THINK IT COULD BE TAKEN FROM THE RESERVE AND WE WOULDN'T HAVE TO CUT ANYONE.

I THINK THAT WE COULD LOWER THIS ASCENT AND STILL BE IN EXCESS OF OUR REQUIRED RESERVE.

AND TO THE BENEFIT OF OUR CITIZENS BECAUSE TO SAY WE'RE LOWERING THE TAXES IS CRAP, QUITE FRANKLY, BECAUSE WE AREN'T THERE APPRAISALS WENT UP SO HIGH.

THAT'S WHERE I THINK IT COULD COME FROM.

I DON'T I DON'T HEAR ANYBODY SAYING WE'RE LOWERING TAXES THIS IS THE RATE AND PEOPLE UNDERSTAND GENERALLY THE DIFFERENCE BETWEEN THE TAX THEY PAY AND THE TAX RATE.

BUT IF YOU'RE TALKING ABOUT TAKING, WHAT DID YOU SAY, $850000 TO TAKE A PENNY OUT OF THIS, I DID HEAR REFERENCE TO ONE PENNY AND THAT'S WHAT IT WOULD BE.

THAT'S WHAT THAT PENNY WOULD BE, RIGHT? ALL RIGHT.

SO $850000 IS THERE $850000 IN THE RESERVE FUND THAT WE COULD TAKE OUT PERMANENTLY.

IT'S NOT JUST JUST GO BACK TO 90 DAYS AND THEN, YOU KNOW, IF WE RUN UP TO A CAPITAL PROJECT THAT NEEDS TO BE FUNDED IN ADVANCE, WE SIMPLY DON'T.

GO AHEAD, DAVID.

OK, SO GO BACK TO A 100, WHATEVER YOU KNOW, GO BACK TO 110 DAYS.

[01:05:03]

IT DOESN'T MATTER WHAT IT IS.

BUT THEN THEN YOU KNOW, WHEN A STORM HITS AND YOU NEED YOU NEED THE EMERGENCY CREWS OUT THERE, WE JUST DON'T PUT THEM OUT THERE.

WE RUN UP AGAINST A CAPITAL MANAGER ON THAT WE RUN UP AGAINST.

WE HAVE A CAPITAL PROJECT THAT NEEDS FUNDING.

WE JUST SKIP IT.

I'M LESS CONCERNED ABOUT THAT, DAVID, AND I'M MORE CONCERNED ABOUT YOU'RE GOING TO USE YOUR SAVINGS ACCOUNT TO PAY FOR ONGOING EXPENSES AND HOW ARE YOU GOING TO FUND THIS NEXT YEAR? WELL, ONCE YOU DO IT, YOU'RE DONE.

YOU'RE DONE, YOU'RE DONE.

NO, I MEAN, THAT'S IT, BECAUSE NOW YOU'RE GOING TO HAVE TO DOUBLE THAT CUT NEXT YEAR.

THERE'S ONLY WAY YOU CAN DO IT.

YOU'RE GOING TO HAVE TO DO IT AGAIN.

THAT'S EXACTLY RIGHT.

THAT'S MATH.

THAT'S NOT POLICY.

THAT'S NOT BRIAN.

THAT'S MATH.

AND AND THERE IS A TIMING CONCERN, I THINK.

AND AGAIN, I GET IN TROUBLE PRACTICE AND TRYING TO PRACTICE LAW SOMETIMES.

SO IF I SOUND LIKE I'M DOING THAT, I DON'T CERTAINLY DON'T INTEND TO.

BUT I THINK THAT THE PROPERTY TAX CODE DOES SPECIFY THAT THE RATE NOW HAS TO BE SET WITHIN SEVEN DAYS AFTER THE PUBLIC HEARING THAT YOU JUST HAD.

RIGHT MEAN, WE HAVE NO MATTER WHAT WE DO, WE NEED TO FIX THIS BY NEXT WEEK.

THAT'S WHY I'M ASKING PEOPLE TODAY, WHAT DO YOU WANT TO CUT? MARIE WANTS TO CUT THE RESERVE FUND.

MARIE WANTS TO BE SURE WE DON'T HAVE ANY MONEY FOR EMERGENCIES IN CASE THE STORM HITS IN OCTOBER.

I GET THAT.

BUT BECAUSE I MEAN, WHICH WHICH PART OF THE CITY GENERALLY SUFFERS THE MOST WHEN A STORM HITS? I THINK ALSO, I THINK IT'S I THINK IT'S A VERY DANGEROUS WAY OF MANAGING YOUR FINANCES BY TAKING YOUR RESERVE FUNDS, ESPECIALLY A CITY LIKE GALVESTON, WHERE WE'RE SUBJECTED TO SO MANY STORMS AND EMERGENCY SITUATIONS AND START TAKING YOUR RESERVE FUNDS AWAY SO THAT YOU CAN MAKE A ONE PERCENT OR ONE CENT TAX CUT.

AND THE PROBLEM IS, NEXT YEAR WE'RE GOING TO BE SUBJECT TO THE SAME THING.

DO WE CONTINUE TO DO THAT TYPE OF THAT TYPE OF DECISION MAKING, WHICH IS UNDERMINING, I THINK, THE ENTIRE FINANCIAL STABILITY OF OUR CITY? MARIE.

WE'LL TALK ABOUT MAKING MISS QUOTES, COUNCIL MEMBER COLLINS, WE COULD TAKE SEVEN DAYS OF OUR RESERVE, WHICH WOULD LEAVE US 113 DAYS IN THE RESERVE AND LOWER OUR TAX RATE BY A CENT WHICH WOULD BENEFIT OUR CITIZENS.

WE WOULD STILL HAVE SUFFICIENT RESERVES IN CASE OF AN EMERGENCY.

WE ALSO HAVE AND IN CASE OF HURRICANES, WE HAVE ESTABLISHED CREDIT LINES.

WE HAVE THINGS THAT ARE WE NEVER THINK ABOUT WHAT'S THE BEST FOR OUR CITIZENS.

AND THAT'S ALL I'M ASKING THE COUNCIL TO DO.

THE ONLY THING YOU THINK OF IS THE BEST FOR THE CITIZENS IS LOWERING TAXES.

I ACTUALLY THINK ABOUT THE CITY AS A WHOLE.

I DO, AND I THINK ABOUT PUBLIC SAFETY.

I THINK ABOUT SECURITY AFTER A STORM, YOU KNOW, SO TO SAY I DON'T TAKE THE CITIZENS INTO CONSIDERATION, THAT'S THAT'S PRECISELY WHAT I'M DOING.

I THINK ABOUT THE CITY AS A WHOLE.

THAT'S NOT APPARENT.

I LISTENED TO THE SAME ARGUMENT LAST YEAR, I WAS NOT ON COUNCIL.

I COMMENTED AS A CITIZEN.

WE WERE TOLD LAST YEAR WE WOULD HAVE 110 DAYS IN THE RESERVE IF THEY KEPT THE TAX RATE WHERE IT WAS TO GO BACK TO JOHN PAUL'S COMMENT.

IT ALWAYS COMES DOWN TO THIS AT THE LAST MINUTE AND WE NEVER LOOK.

WE ALWAYS GO RIGHT UNDER WHAT THE TAX CAP IS, AND I DON'T THINK THAT'S IN THE BEST INTEREST OF ALL OF OUR CITIZENS ON THE ISLAND.

ALL RIGHT.

COUNCILMEN, WE HAVE A MOTION ON THE FLOOR AND WE HAVE A SECOND.

WANT TO BE CLEAR, MIKE, I WANT TO BE CLEAR, BRIAN.

DONNA.

IF THIS MOTION PASSES, THEN WE MOVE FORWARD WITH THE SUGGESTED RATE, IF THIS MOTION FAILS, THEN IT IS BACK ON THE AGENDA FOR NEXT MEETING.

IS THAT CORRECT? OK NO COUNCILMAN COLLINS HAS ASKED FOR INPUT ON HOW WE WOULD CUT THIS TAX RATE.

COUNCILMAN COUNCILWOMAN ROBB WANTS TO DO THAT THROUGH THE RESERVE FUNDS ON THAT AND UTILIZING SOME OF THOSE FUNDS.

VERY GOOD.

LET'S DO OUR RECORD VOTE.

PLEASE, MA'AM.

BROWN, AYE.

COLLINS, AYE.

LEWIS, AYE.

[01:10:01]

SCHUSTER, AYE.

QUIROGA, NO.

LISTOWSKI ALL RIGHT, IT'LL BE BACK ON OUR AGENDA FOR NEXT MEETING COMING UP.

VERY GOOD COUNCIL I WANT TO MAKE A COMMENT TO IF IF WE'RE GOING TO LOOK AT THIS BUDGET.

I THINK THIS NEEDS TO BE DONE AS A COUNCIL, NOT AS INDIVIDUAL COUNCIL MEMBERS.

SO WE NEED TO DISCUSS THIS OPENLY.

AND I THINK THAT'S SOMETHING COUNCILMAN COLLINS MENTIONED.

WE NEED TO KNOW WHERE THESE CUTS WOULD COME, SO WE WILL HAVE IT BACK ON OUR AGENDA NOW IF WE'RE GOING TO AMEND OUR BUDGET.

DO WE NEED THE BUDGET BACK ON OUR AGENDA ALSO? YES.

OK.

MAYOR, I WOULD ASK.

PROBABLY THE EASIEST THING TO DO IS IF YOU WOULD TELL ME THE TARGET YOU WANT ON YOUR TAX RATE, I'LL BRING YOU BACK THE CUTS.

BECAUSE ARBITRARILY MAKING CUTS FROM PEOPLE WHO DON'T OPERATE THE CITY IS VERY DANGEROUS.

AND IF YOU TELL ME WHAT YOU WANT YOUR TAX RATE TO BE, I'LL BRING YOU BACK A BUDGET THAT MATCHES YOUR TAX RATE.

WELL, I'D LIKE TO SEE A CUT ONE TO TWO CENTS.

BUT ONE CENTS SEEMS LIKE IT WOULD BE THE EASIEST TO DO BECAUSE WE COULD USE OUR RESERVE FUNDS.

YOU WOULD NOT HAVE TO MAKE CUTS, IT WOULD STILL LEAVE LEAVE US WITH EXCESS RESERVE AND AS A MATTER OF FACT, IT WOULD LEAVE US WITH WHAT WAS SAID.

IT WAS GOING TO BE LAST YEAR AND NOBODY HAD A PROBLEM WITH THAT.

I HAVE A COMMENT IN THERE.

YES SIR, GO RIGHT AHEAD.

YEAH, I LIKE YOUR IDEA OF THE COUNCIL AS A WHOLE, LOOKING AT IT WITH ALL THE MONEY, I'M GETTING PAID.

I'LL SPEND TWO OR THREE DAYS LOOKING AT THIS THING.

SO IF WE NEED TO SPEND 8 HOURS OR 16 HOURS A DAY AND GO THROUGH EACH LINE ITEM BUDGET FOR EACH DEPARTMENT, SO BE IT.

WELL, ALL RIGHT.

LET'S DO THIS.

WE HAVE IT ON THE AGENDA FOR BOTH ITEMS NEXT.

MEETING JOHN, I'M SORRY.

I WOULD AGREE WITH MARIE.

I MEAN, I WOULD LIKE TO SEE THAT OPTION.

I MIGHT.

YOU MIGHT BRING ME BACK THAT OPTION, AND I MIGHT NOT WANT TO MAKE THOSE CUTS AND I MIGHT BE RIGHT BACK HERE AT THE TAX RATE THAT WAS PROPOSED TODAY.

BUT AT LEAST I'D LIKE TO SEE THE OPTION.

ALL RIGHT, WE HAVE WE'RE GETTING ON A SLIPPERY SLOPE IF COUNCIL STARTS INTERVENING ON LINE ITEMS IN A BUDGET BECAUSE I DEFER TO THE ATTORNEY ON THAT IF THAT BECOMES A CHARTER ISSUE OR NOT.

IT'S A FORMULA FOR DISASTER DOING THAT.

ALL RIGHT.

LET'S MOVE FORWARD.

YES, SIR.

DOES THAT MEAN THAT BRIAN IS GOING TO LOOK AT IT AND COME BACK WITH A SUGGESTION? I WILL BRING YOU BACK TWO PROPOSED BUDGETS, ONE WITH A ONE CENT CUT AND ONE WITH A TWO CENT CUT.

IS THERE ANYTHING THAT WE CAN LOOK PRIOR TO TO SEE WHAT YOU'RE GOING TO CUT? I'LL HAVE TO DIVE INTO IT, I HAVEN'T.

IT'LL BE IN YOUR PACKET MATERIAL BILL.

WE'LL HAVE THAT ON THAT FRIDAY TOMORROW SENDING OUT THE AGENDA TOMORROW, BUT THE PACKETS DON'T HAVE TO GO OUT TOMORROW.

NO THEY COULD GO OUT MONDAY.

OH YEAH, WE'LL HAVE THEM ABOUT THREE DAYS BEFORE.

OK, OK.

VERY GOOD.

LET'S MOVE TO ITEM 9 PUBLIC COMMENT.

[9. PUBLIC COMMENT]

I HAVE ONE PUBLIC COMMENT THAT GENTLEMAN, THAT IS IN THE AUDIENCE.

RANDALL KOPFER RANDALL.

COME ON FORWARD, SIR.

THANK YOU FOR YOUR PATIENCE.

THANK YOU, MAYOR BROWN AND COUNCIL.

I'M RANDALL KOPFER, PRESIDENT OF THE SHORT TERM RENTALS ASSOCIATION OF GALVESTON.

AND I AM DELIGHTED AND PROUD TO WELCOME COUNCIL MEMBER LEWIS TO THE CITY COUNCIL.

IT WAS MY PLEASURE MEETING YOU DURING YOUR CAMPAIGN AND I LIVE IN DISTRICT ONE AND I'M HAPPY TO HAVE YOU ABOARD AND REPRESENTING OUR DISTRICT.

THE COUNCIL HAS RECEIVED MY WRITTEN COMMENTS ON ITEM 10 A.

AND WITH THAT, I'LL SAY THANK YOU VERY MUCH.

THANK YOU, RANDALL.

THAT WAS SHORT AND SWEET.

APPRECIATE THAT.

VERY GOOD.

ANY WE HAVE WRITTEN COMMENTS, JANELLE ONE.

IS THAT RIGHT? YES, SIR.

WE HAVE ONE FROM STEVE MULLINS.

PLEASE KEEP IN MIND MOST SHORT TERM RENTAL OWNER AND OPERATORS ARE INDIVIDUALS, NOT BUSINESSES.

SOME OF US HAVE INVESTED CONSIDERABLE AMOUNTS AND OFTEN LIFE SAVINGS INTO PROPERTY.

WE SPEND COUNTLESS HOURS MAINTAINING THE PROPERTY, MARKETING THE PROPERTY TO GUEST AND MANAGING THE RENTAL PROCESS.

WE PAY PROPERTY TAXES, HOTEL OCCUPANCY TAXES, GENERATE BUSINESS FOR LOCAL CONTRACTORS AND BUSINESSES, AND HELP BRING TOURIST DOLLARS TO THE ISLAND.

ADDING A YEARLY RENEWAL FEE IS ANOTHER PINCH BY GOVERNMENT.

THANK YOU, JANELLE, AND IS THERE ANYONE ONLINE THAT WOULD LIKE TO MAKE A

[01:15:01]

COMMENT? WE HAVE A COUPLE OF PEOPLE ON ZOOM AND I WILL UNMUTE THEM NOW IF THEY'D LIKE TO MAKE A COMMENT.

WOULD YOU REQUEST HAVE YOU REQUESTED IF THEY WANT TO COMMENT? THEY THEY WOULD NOT LIKE TO COMMENT.

OK, VERY GOOD.

WE ARE NOW MOVING TO ITEM 10, PLEASE.

[10.A. Consider For Approval An Ordinance Of The City Of Galveston, Texas, Amending "The Code Of The City Of Galveston 1982, As Amended”, Chapter 19, “Licenses, Permits And Business Regulations”, Article VI, “Short Term Rentals” By Clarifying Section 19- 113 “Short Term Rentals” To Require Registration Of A Dwelling Prior To Its Use As A Short Term Rental And Section 19-114, “Registration” To Provide For An Annual Registration Fee And Yearly Registration Expiring In December Of Each Calendar Year; Making Various Findings And Provisions Related To The Subject; Providing For An Immediate Effective Date. (Robb/Brown)]

10 A PLEASE.

ITEM 10 A CONSIDER FOR APPROVAL AN ORDINANCE OF THE CITY OF GALVESTON, TEXAS, AMENDING THE CODE OF THE CITY OF GALVESTON, 1982 AS AMENDED CHAPTER 19 LICENSES, PERMITS AND BUSINESS REGULATIONS.

ARTICLE SIX SHORT TERM RENTALS BY CLARIFYING SECTION 19-113 SHORT TERM RENTALS TO REQUIRE REGISTRATION OF A DWELLING PRIOR TO THE USE AS A SHORT TERM RENTAL IN SECTION 19-114 REGISTRATION TO PROVIDE FOR AN ANNUAL REGISTRATION FEE AND YEARLY REGISTRATION EXPIRING IN DECEMBER OF EACH CALENDAR YEAR, MAKING VARIOUS FINDINGS AND PROVISIONS FOR RELATED TO THE SUBJECT PROVIDING FOR ALL IMMEDIATE, EFFECTIVE DATES.

ALL RIGHT, THANK YOU VERY MUCH.

THIS IS AN ITEM THAT WE HAVE BEEN DISCUSSING QUITE A BIT AND COUNCILS PUT A LOT OF ATTENTION TO.

MARIE, YOU BROUGHT THIS FORWARD.

AND IF I MAY, BEFORE COUNCILMAN COUNCILWOMAN ROBB SPEAKS, YOU HAVE BEEN PROVIDED AN UPDATED OF THE ORDINANCE THAT WAS PRESENTED IN THE PACKET.

EVERYONE SHOULD HAVE RECEIVED A COPY.

IT IS JUST AN UPDATED SUBSTANTIVELY.

IT'S THE INFORMATION IS THE SAME.

IT'S JUST THAT AN ORDINANCE FORM AND THERE WAS.

SOME WORDING IN TERMS OF INSTEAD OF USING THE WORD PROPERTY, WE'VE ACTUALLY USED THE WORD SHORT TERM RENTAL AND SO THAT'S BEEN UPDATED THROUGHOUT THE ORDINANCE.

AND AGAIN, THAT'S WHAT'S BEFORE YOU TO REVIEW.

ALL RIGHT.

VERY GOOD.

LET'S GET A MOTION ON THE FLOOR PLEASE.

I MOVE TO APPROVE.

I'LL SECOND THAT, ANY DISCUSSION.

I JUST WANT TO MAKE ONE COMMENT.

THANK YOU.

BRYSON FOR YOUR INPUT.

THAT WAS A VERY GOOD CATCH.

THAT CHANGE HAS BEEN MADE.

AND I MEAN, SHOULD I EXPAND MORE ON WHY THIS CAME FORWARD OR I THINK EVERYONE IS? I THINK WE'RE PRETTY WELL UP TO DATE MARIE, THANK YOU.

VERY GOOD.

WE HAVE A MOTION AND A SECOND ON THE FLOOR.

[INAUDIBLE] I'M HITTING IT, BUT IT'S NOT GOING [INAUDIBLE] I'M SECOND ON THAT SO SO ALL THOSE CAST YOUR VOTE.

YAY OR NAY, PLEASE.

IT IS UNANIMOUS, THANK YOU VERY MUCH.

MOVING TO ITEM 11 CONSENT ITEMS, PLEASE.

[11. CONSENT ITEMS]

ITEM 11 CONSENT ITEMS THE FOLLOWING ITEMS SHALL BE CONSIDERED FOR ACTION AS A WHOLE UNLESS ONE OR MORE COUNCIL MEMBERS OBJECTS.

THE CITY MANAGER IS AUTHORIZED TO EXECUTE ALL NECESSARY DOCUMENTS UPON FINAL APPROVAL BY THE CITY ATTORNEY.

CONSENTS ITEMS 11A- 11I ARE ON THE SCREEN.

COUNCIL IS THERE ANY CONSENT ITEM THAT A COUNCIL MEMBER WOULD LIKE TO BRING FORWARD ON THEIR OWN? OKAY HEARING NONE, I'M GOING TO MAKE A MOTION FOR APPROVAL OF CONSENT ITEMS 11 A THROUGH 11 I IS THERE A SECOND.

I'LL SECOND.

HAVE A SECOND BY JOHN PAUL.

YES, MA'AM.

OH, THERE WE GO.

PLEASE CAST YOUR VOTE.

YAY OR NAY, PLEASE.

IT IS UNANIMOUS.

VERY GOOD.

LET'S MOVE TO ITEM 12A, PLEASE.

[12.A. Consider For Approval A Resolution Of The City Council Of The City Of Galveston, Texas, Submitting The Names Of Five (5) Nominees Or Less For Election To The Galveston Central Appraisal District Board Of Directors; Directing The City Secretary To Send A Certified Copy Of This Resolution To The Galveston Central Appraisal District; Providing For Findings Of Fact And Providing For An Effective Date. (Brown)]

ITEM 12 A CONSIDER FOR APPROVAL A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF GALVESTON, TEXAS, SUBMITTING THE NAMES OF FIVE NOMINEES OR LESS FOR ELECTION TO THE GALVESTON CENTRAL APPRAISAL DISTRICT BOARD OF DIRECTORS DIRECTING THE CITY SECRETARY TO SEND A CERTIFIED COPY OF THIS RESOLUTION TO THE GALVESTON CENTRAL APPRAISAL DISTRICT, PROVIDING FOR FINDINGS OF FACT AND PROVIDING FOR AN EFFECTIVE DATE.

COUNCIL THIS IS AN ITEM THAT HAS COME ON OUR AGENDA.

[01:20:02]

WE CURRENTLY HAVE NOMINATED AND HE IS SERVING MR. TOM FARMER AS THE ON THE BOARD OF THE CENTRAL APPRAISAL DISTRICT.

I TALKED TO MR. FARMER, VISITED WITH HIM.

HE WOULD LIKE TO CONTINUE TO SERVE.

HE'S DONE A GREAT, IN MY OPINION, DONE A GREAT JOB REPRESENTING GALVESTON ON THAT BOARD, AND I WOULD MAKE THE MOTION FOR APPROVAL OF THE RESOLUTION NOMINATING TOM FARMER TO SERVE ON THE CENTRAL APPRAISAL BOARD OF DIRECTORS.

IS THERE A SECOND? I'LL SECOND.

ANY DISCUSSION? ALL THOSE, PLEASE CAST YOUR VOTE, YAY OR NAY, PLEASE.

THAT IS UNANIMOUS, THANK YOU 12B, PLEASE.

[12.B. Discuss And Consider Approving The Establishment Of A Joint Committee With The Park Board To Research And Present To Council Recommendations Concerning Software Management Systems And Other Best Practices Concerning Short Term Rentals. (Brown)]

ITEM 12 B DISCUSS AND CONSIDER APPROVING THE ESTABLISHMENT OF A JOINT COMMITTEE WITH THE PARK BOARD TO RESEARCH AND PRESENT TO COUNCIL RECOMMENDATIONS CONCERNING SOFTWARE MANAGEMENT SYSTEMS AND OTHER BEST PRACTICES CONCERNING SHORT TERM RENTALS.

THANK YOU.

I PUT THIS ON THE AGENDA.

AS COUNCIL MAY KNOW, WE HAVE A JOINT COMMISSION THAT IS NOT HAS NOT MET AS YET AT THE PARK BOARD.

IT'S A JOINT COMMISSION OF THE PARK BOARD AND THE CITY AND SOME INDUSTRY REPRESENTATIVES TO DISCUSS SOFTWARE.

WHEN WE STARTED THIS SHORT TERM RENTAL DISCUSSION, I DON'T KNOW IF COUNCIL REMEMBERS.

WE TALKED ABOUT TAKING IT IN PHASES.

WE STARTED WITH THE VCA'S AND ADDRESSED THAT SITUATION.

I THINK VERY NICELY WITH OUR ORDINANCE CHANGES.

WE NOW HAVE THE SECOND PHASE OF THIS WAS ANNUAL REGISTRATION, AND WE HAVE NOW COMPLETED THAT PHASE OF IT, AS WITH OUR VOTE TODAY.

THE THIRD PHASE OF THIS WILL BE MOVING INTO POLICIES AND POSSIBLE ORDINANCE CHANGES FOR SHORT TERM RENTALS.

BUT THIS PARTICULAR ITEM HERE IS TO RECOGNIZE OFFICIALLY THE CITY'S PARTICIPATION WITH THIS JOINT COMMISSION AND LOOKING FORWARD TO THE RECOMMENDATIONS FOR A SOFTWARE PROGRAM.

THIS GOES ALONG WITH THE ANNUAL REGISTRATION, SO I WOULD MAKE A MOTION TO APPROVE US PARTICIPATING TO JUST WORKING WITH THEM FOR RECOMMENDATIONS FOR SOFTWARE MANAGEMENT SYSTEMS. IS THERE A SECOND TO THAT? SECOND.

ALL RIGHT, WE HAVE A SECOND FOR THAT.

IF WE MOVE FORWARD WITH ORDINANCE CHANGES AND THINGS LIKE THAT COUNCIL, THAT WILL BE A SEPARATE COMMITTEE.

AND IT WILL BE A SEPARATE INVOLVEMENT THAT COUNCIL WOULD WEIGH IN ON HOW WE WOULD WANT TO APPROACH THAT IN THE FUTURE.

SO THAT DOES NOT INVOLVE ORDINANCE CHANGES OR ANYTHING WITH THIS PARTICULAR GROUP, DAVID.

YEAH, I DON'T THINK WE NEED THIS MOTION RIGHT HERE.

IT DOESN'T HURT ANYTHING BUT WHAT YOU SAID WE NEED.

WE NEED TWO APPROACHES TO THIS.

THE FIRST IS SOFTWARE SELECTION, AND THAT'S NOT REALLY THE CITY'S TASK.

AND I'M SORRY.

WELL, THERE'S MR. FRAZIER RIGHT THERE.

BRYSON, I WAS JUST ABOUT TO USE YOUR NAME SAYING YOU'D YOU'D WALKED OUT THE DOOR.

WELL, I'M GLAD.

GLAD YOU DID.

COME ON, COME ON UP HERE YOU TALKING TO HOPE AND MR. KOPFERS WALKED OUT AS WELL.

THIS IS THE MOTION TO CREATE THE TASK FORCE, BUT WE HAVE THIS TASK FORCE IN PLACE.

[INAUDIBLE] I MEAN, IT'S REALLY JUST YOU HOPE DEAN, OUR DIRECTOR OF IT, AND SOME FOLKS FROM THE THE INDUSTRY TO TALK ABOUT THE SOFTWARE PLATFORM BECAUSE THE MAYOR HAS JUST MENTIONED THAT WE NEED A SECOND GROUP AT SOME POINT IN THE NEAR FUTURE TO TALK ABOUT LOOKING AT OTHER CITIES, WHAT THEY DO ENFORCEMENT AND EVENTUALLY COME TO A RATE FOR, YOU KNOW, A RENEWAL RATE AND THAT SORT OF THING.

AND THAT'S WHERE WE NEED THE CITIZEN INVOLVEMENT.

BUT THIS WE'RE TALKING ABOUT TODAY AS FAR AS I'M CONCERNED, AND I'VE BEEN ENGAGED IN THESE CONVERSATIONS WITH YOU AND EVERYBODY ELSE ON THIS THAT IF YOU AND HOPE AND THE SHORT TERM RENTAL INDUSTRY FOLKS WHO ARE GOING TO BE THE FRONT END USERS OF THIS COME TO AN AGREEMENT ABOUT WHAT WE NEED.

THE SOFTWARE SELECTION SHOULD BE YOUR PROBLEM, NOT THE CITIES.

ON THE OTHER HAND, THE ORDINANCES AND THE FEES AND WHAT WE DECIDE TO ENFORCE, THAT'S OURS.

THAT'S THAT'S NOT THE PARK BOARD'S TO ENFORCE.

AM I RIGHT ABOUT THAT? I BELIEVE THAT YOUR CHARACTERIZATION THAT IS ABSOLUTELY CORRECT.

WHETHER IT'S ONE TASK FORCE OR TWO SEPARATE TASK FORCE CAN BE COUNCIL'S DECISION.

I DON'T NEED TO WADE INTO THOSE WATERS, BUT THE CURRENT TASK FORCE THAT WE HAVE RIGHT NOW, YES, THE FIRST STEP WILL BE LOOKING AT THE SOFTWARE.

AND YOU'RE RIGHT, COUNCILMAN COLLINS.

IT WOULD BE ULTIMATELY THE PARK BOARD'S DECISIONS.

THE SOFTWARE WILL BE TAKEN TO THE BOARD OF TRUSTEES FOR CONSIDERATION.

BUT OF COURSE, WE DEFINITELY WANT THE CITY'S INPUT ON THAT BECAUSE IT'S GOING TO

[01:25:02]

BE INTERFACING WITH SOME CITY SYSTEMS. I, FROM A PERSONAL STANDPOINT, DON'T NECESSARILY MIND HAVING THE INDUSTRY FOLKS AS PART OF THE CONVERSATION, BUT ULTIMATELY THEY DON'T MAKE THAT DECISION WHEN IT COMES TO SOFTWARE, THEIR INVOLVEMENT WITH ENFORCEMENT AND OF COURSE, MY INVOLVEMENT WITH THE TASK FORCE WHEN IT COMES TO ENFORCEMENT.

I WILL BE AS INVOLVED OR NOT AS INVOLVED, AS COUNCIL WOULD LIKE.

WELL, AND I THINK MR. MAXWELL IS NO LONGER WITH US, BUT BUT HE'S ALREADY DIRECTED HOPE TO WORK WITH YOU ON THIS SOFTWARE SELECTION BECAUSE FROM THE CITY'S POINT OF VIEW, WE JUST NEED TO BE SURE THAT WHATEVER YOU SELECT, WE CAN INTERFACE FOR GATHERING DATA AND INTERFACING WITH THE POLICE AND THE MARSHAL'S OFFICE AND SO FORTH.

AND I THINK THAT'S UNDERWAY, RIGHT.

IT IS THE REASON I PUT THIS ON HERE, DAVID, IS THAT I JUST WANTED COUNCIL TO FORMALLY APPROVE THIS, THAT WE KNOW WHERE WE'RE GOING WITH THIS.

AND SECOND PART OF THIS IS AS I'VE ALREADY TALKED WITH BRYSON HERE TO PRESENT TO COUNCIL RECOMMENDATIONS WHAT THEIR RECOMMENDATIONS ARE FOR CONCERNING THIS BECAUSE WE ESTABLISHED ANNUAL REGISTRATION AND I THINK IT'D BE GOOD TO KEEP COUNCIL IN THE LOOP ON THAT.

ABSOLUTELY, ABSOLUTELY.

AND WE'RE NOT THE FIRST CITY TO HAVE TO DEAL WITH THIS.

THERE ARE WE DON'T NEED TO REINVENT THE WHEEL, RIGHT? THERE'S GOOD PRACTICE ALREADY OUT THERE THAT WE CAN LOOK AT.

YES, MARIE.

WELL, I HAVE TO SAY I AGREE WITH COUNCIL MEMBER COLLINS, WORLD STOPPED SHAKING.

ANYWAY I MEAN, I DON'T UNDERSTAND WHY WE'RE DOING EMOTION ON THIS, AND I ALSO DON'T UNDERSTAND WHY WE'RE NOT COMBINING TOGETHER WHAT WE'RE GOING TO LOOK AT AS FAR AS AN IMPACT FEE WITH THE REGISTRATION FEE.

I THINK ALSO PART OF THE TEAM, I KNOW MR. BUCKLEY OR JIM BUCKLEY WAS PART OF THAT DECISION TEAM.

SO I MEAN, I TRULY DON'T UNDERSTAND.

WELL, NO, YOU'RE NOT WRONG.

WE NEED WE DO NEED TO HAVE THAT SEPARATE CONVERSATION.

I'M JUST I JUST WOULD BE FEARFUL ABOUT COMBINING A GROUP THAT'S LOOKING AT ENFORCEMENT FEES WITH A GROUP THAT'S DOING THE SOFTWARE SELECTION BECAUSE THOSE TWO, THOSE TWO THINGS, WHATEVER WE DECIDE TO ENFORCE, WE'LL ENFORCE WHATEVER FEE THAT IS BRYSON CAN IMPLEMENT AND BILL FOR.

THEY'RE NOT.

THERE IS A SLIGHT TIE TOGETHER BECAUSE THE SOFTWARE WOULD BE PART OF THAT PROJECT.

I MEAN, IT IS, BUT I MEAN, AT THE SAME TIME, IT'S NOT THE SAME FUNCTION AND WHERE THE IT PORTION OF IT COMES IN HOPE IS A PIECE OF THAT.

BUT WHAT WE NEED TO BE DISCUSSING ON THIS SIDE, IN MY OPINION, IS WHAT AND HOW WE ENFORCE AND WHAT WE CHARGE.

WELL, THIS IS OK BECAUSE IT'S TWO SEPARATE ITEMS, AND I AGREE WITH MARIE HERE THAT WE NEED TO LOOK AT THE WHOLE POLICY ORDINANCE SITUATION AND HOW THAT COUNCILMAN COLLINS MENTIONED CITIZENS.

THAT HASN'T BEEN DETERMINED AS YET ON HOW WE WOULD STRUCTURE THAT.

THAT IS A WHOLE SEPARATE ISSUE, BUT I WANTED TO SEPARATE OUT THAT WE HAVE A COMMITTEE THAT WILL BE BRINGING BACK RECOMMENDATIONS FROM TO COUNCIL ON WHAT THE SOFTWARE SYSTEM, HOW IT WOULD BE MANAGED AND SO FORTH AND SO ON.

I THINK IT'S REALLY IMPORTANT THAT COUNCIL KNOWS THAT FROM THE STANDPOINT THAT WE'LL BE GETTING A LOT OF QUESTIONS AS THIS SYSTEM GOES INTO PLAY, AND I THINK IT'D BE GOOD FOR COUNCIL TO BE AWARE OF THAT.

ABSOLUTELY.

LET'S GO AHEAD AND VOTE ALL THOSE [INAUDIBLE].

THANK YOU.

CAST YOUR HERE WE GO.

ALL THOSE IN FAVOR.

ALL RIGHT, VERY GOOD, IT IS SIX TO ONE, IT DOES PASS, THANK YOU VERY MUCH.

ALL RIGHT.

MOVING TO ITEM 12 C IF WE COULD PLEASE.

[12.C. Discuss And Consider An Addition To The City Board Application. (Quiroga/Robb)]

ITEM 12 C DISCUSS AND CONSIDER IN ADDITION TO THE CITY BOARD APPLICATION AND COUNCILWOMAN COUNCILMAN COUNCILMAN QUIROGA.

I'M SORRY QUESTION PERTAINING TO ADD TO THE APPLICATION ALL APPLICATIONS.

TALKING TO MY CONSTITUENTS OUT THERE, THEY ALWAYS HIT ME BECAUSE THEY READ THE NEWSPAPER OF TWO TWO PEOPLE THAT WERE ELECTED TO BOARDS HAD QUESTIONABLE BACKGROUNDS.

THIS WOULD HERE WOULD INCREASE A ANOTHER LEVEL OF A BLANKET SO THAT WE CAN LOOK AT IT.

SO WE WON'T HAVE TO HAVE ALL THE QUESTIONS THROWN.

WHY THIS? WHY THAT OR WHY THIS INDIVIDUAL MAY BE PENDING A LAWSUIT THAT IT'S NOT MENTIONED IN THE ORIGINAL APPLICATION? SO I THINK IT'S A GOOD IDEA THAT'S JUST ANOTHER LAYER TO PROTECT.

[01:30:02]

NOT ONLY THE CITY, BUT TO ENSURE THE CONSTITUENTS THAT WE'RE DOING OUR DUE DILIGENCE WHEN WE SELECT PEOPLE TO ANY BOARD.

ALL RIGHT.

ARE YOU MAKING A MOTION TO THAT? I'LL MAKE A MOTION THAT WE APPROVE IT AS IS.

IS THERE A SECOND? II HAVE A MOTION AND A SECOND.

I HAVE A QUESTION, BILL, I'LL BE HONEST, I HAVE CONCERNS WITH THIS.

IF I HEAR WHAT YOU'RE SAYING, YOU WANT APPLICANTS TO THE PLANNING COMMISSION OR WHARFS BOARD TO LIST ANY CIVIL LAWSUITS THEY'VE EVER HAD.

I SHOULD'VE BEEN HERE WITH THE WITH THE EXCEPTION OF, YOU KNOW, FAMILY LAW MATTERS.

YEAH BUT, WE HAD ONE THAT PEOPLE ARE STILL QUESTIONING.

WHY DID WE PUT SOMEBODY ON THE PARK BOARD THAT HAS A PENDING LITIGATION IN NEVADA? SO THIS IS, YOU KNOW, I DON'T KNOW WHAT THE EXTENT OF THAT CASE IS.

I DIDN'T LOOK INTO IT, BUT IT BRINGS UP A QUESTION BECAUSE ONCE WE PUT THEM ON ON THE BOARD, WHAT IS THE CONFLICT OF INTEREST IF THEY DO HAVE ONE, DO THEY INFLUENCE? DO THEY INFLUENCE OTHER MEMBERS? SO THIS IS THE REASON WHY.

I HAVE THIS INSERTED, OK, AND THIS DOESN'T HAVE TO BE IT CAN BE A LAWSUIT HAS NOTHING TO DO WITH THE CITY OR ANYTHING LIKE THAT.

WELL, WHEN YOU HAVE, IT'S A POSSIBILITY IT ALL DEPENDS ON THE SUIT.

OK.

QUESTIONS DISCUSSION ON THAT.

YES, JOHN, I'VE GOT A LITTLE BIT OF AN ISSUE WITH THAT IN THE SENSE THAT.

WHY WOULD THAT MATTER IF SOMEBODY WAS IN A LAWSUIT? IF SOMEONE BROUGHT A LAWSUIT AGAINST ANOTHER PERSON, WHY WOULD THAT MATTER ON THEM BEING ON THIS BOARD OR NOT? IT'S ALMOST LIKE WE ARE GUILTY BEFORE THEIR CASE IS HEARD.

I'VE GOT A LITTLE BIT OF AN ISSUE WITH THAT.

IT'S NOT PROVING INNOCENCE OR GUILT, IT'S LETTING YOU KNOW THE POSSIBILITY OF A LAWSUIT, WHETHER IT'S ASSERTIONS BEING DONE AGAINST ANY INDIVIDUAL OR NOT.

WE NEED TO KNOW TO MAKE THAT DECISION THAT MAY, LIKE I SAY, EMBARRASS THIS COUNCIL OR ASSIGN TO.

OR ELECTED TO.

THAT'S WHAT I'M LOOKING AT THIS TO MORE OR LESS CERTIFY.

IT DOESN'T HAVE TO BE.

IT CAN BE ANY LAWSUIT.

BUT WE NEED TO KNOW WHAT THE CIRCUMSTANCES [INAUDIBLE] WE'RE NOT PASSING JUDGMENT.

EACH ONE OF US IS GOING TO HAVE TO VOTE ON IT, WHETHER YOU WANT THAT PERSON ON THE BOARD OR NOT.

YES, MARIE.

WELL.

I IT'S EITHER ON OUR COUNCIL APPLICATION OR IT'S IN THE QUESTIONS THAT THE NEWSPAPER ASKS WHEN YOU'RE RUNNING FOR COUNCIL AND ONE OF THE QUESTIONS IS, ARE YOU INVOLVED IN ANY LAWSUITS OR HAVE YOU EVER BEEN SUED BY A GOVERNMENTAL ENTITY? OR I MEAN, THAT QUESTION IS ON SOMETHING THAT CITY COUNCIL MEMBERS DO.

AND BECAUSE LET'S SAY.

SOMEONE'S IN A LAWSUIT WITH THE APPRAISAL BOARD OR A CAT OR, YOU KNOW, IT'S.

IT.

AND I DON'T THINK IT'S A BAD IDEA.

I DON'T THINK THE QUESTIONS YOU'RE SAYING FOR THE COUNCIL, PEOPLE ARE TOTALLY DIFFERENT FROM A MIC].

JANELLE, HOW DOES THE APPLICATION READ NOW OR NELLIE? HOW DOES THAT READ THE QUESTIONNAIRE? ON THE BOARD APPLICATION, YES, IT SIMPLY ASKED IF YOU HAVE BEEN CONVICTED OF ANY FELONIES? NO, IT DOESN'T SAY FOR CITY COUNCIL.

I MEAN, LET ME LOOK AT IT FOR CITY COUNCIL, FOR RUNNING FOR NO FOR COMMISSIONER OR BOARD APPLICATIONS.

GIVE ME ONE SECOND.

COUNCILMAN COLLINS THE CHARTER PROHIBITS PEOPLE WHO HAVE BEEN CONVICTED OF A FELONY FROM SERVING ON COUNCIL.

THAT'S RIGHT, AND THE BOARD.

BUT NOW WE WANT TO HOLD BOARD AND COMMISSION MEMBERS TO A HIGHER STANDARD THAN ELECTED MEMBERS OF COUNCIL, BECAUSE THAT'S WHAT THIS WOULD DO.

WELL, DON'T YOU THINK THEY NEED TO MEET THAT STANDARD? IT'S A HIGHER STANDARD THAN YOU WERE HELD TO, AND I JUST WANT TO CLARIFY CONVICTION OF A FELONY IS A CRIMINAL CONVICTION.

THIS IS A CIVIL, A CIVIL QUESTIONS THAT YOU'RE SEEKING.

WE'RE NOT ASKING FOR CRIMINAL HISTORY, CORRECT? YOU KNOW, WE APPOINT A LOT OF BUSINESS PEOPLE, A LOT OF BUSINESS OWNERS.

YOU KNOW, WE DEPEND ON THEM FOR MANY OF OUR MOST IMPORTANT BOARDS AND

[01:35:06]

COMMISSIONS.

AND THERE'S PROBABLY NOT AN ACTIVE BUSINESS OWNER IN THIS CITY WHO HASN'T BEEN SUED AT ONE TIME OR ANOTHER.

I MEAN, WHO ARE YOU AFTER HERE? I'VE NEVER BEEN SUED.

YOU'RE NOT AN ACTIVE BUSINESSMAN.

WE HAVE? THE CURRENT BOARD APPLICATION SAYS, HAVE YOU BEEN CONVICTED OF A FELONY IN ANY STATE WITHOUT YOUR CIVIL RIGHTS HAVING BEEN RESTORED? RIGHT? OK.

JUST YES OR NO? ANY FURTHER DISCUSSION ON THIS COUNCIL? CAN YOU PUT THE MOTIONS ON THE BOARD, PLEASE? AND WE HAVE A SECOND BY COUNCILWOMAN ROBB, ALL RIGHT.

PLEASE CAST YOUR VOTES, YAY OR NAY, PLEASE.

[INAUDIBLE] I KNOW I'M STILL THINKING.

I THINK.

I GOT A COIN WE CAN FLIP.

OK, IT MOTION FAILS, MOTION FAILS.

VERY GOOD.

ALL RIGHT.

MOVING TO ITEM 12 D, PLEASE MA'AM.

[12.D. Discuss And Consider For Action Alternate Times For City Council Meetings. (Quiroga/Brown)]

ITEM 12 D DISCUSS AND CONSIDER FOR ACTION ALTERNATE TIMES FOR CITY COUNCIL MEETINGS.

COUNCILMAN QUIROGA.

I THINK WE SHOULD GO AHEAD AND MOVE THIS UP TO TWO O'CLOCK.

THE DAY IS TOO LONG.

LIKE THIS MORNING, WE'RE HERE FOR WHAT? SIX HOURS TO FOUR OR FIVE HOURS, AND WE HAVE A LONG BREAK AND THEN WE HAVE TO COME IN AT FIVE O'CLOCK.

I THINK WE SHOULDN'T MOVE IT UP BACK TO WHERE IT WAS BEFORE TWO O'CLOCK IN THE AFTERNOON.

ALL RIGHT.

IS THAT YOUR MOTION, THAT'S MY MOTION? YEAH.

ALL RIGHT, WE HAVE MOTION FOR MOVING NOW YOU'RE KEEPING THE WORKSHOP WHERE IT IS MOVING THE REGULAR MEETING TO 2:00 P.M.

CORRECT.

OK.

IS THERE A SECOND TO THAT? IS THERE.

[INAUDIBLE] IS THERE A SECOND TO THAT? I'LL SECOND JUST FOR SOME DISCUSSION ON THAT.

THAT'S ALL RIGHT.

VERY GOOD.

WE HAVE A MOTION.

LET'S OPEN IT UP FOR DISCUSSION, JOHN.

SO WE, YOU KNOW, WE WENT TO FIVE O'CLOCK TO HAVE MORE TRANSPARENCY AND GET, YOU KNOW, OUR CITIZENS HERE AT AN HOUR THAT THEY COULD, YOU KNOW, PROBABLY NOT MISS WORK AND.

WE DON'T HAVE ANYBODY IN OUR AUDIENCE RIGHT NOW, SO I DON'T KNOW IF THAT'S WORKING.

YOU KNOW, I'M KIND OF INDIFFERENT HERE.

I DON'T KNOW ABOUT THE TWO O'CLOCK, BUT YOU KNOW, OUR MEETINGS USED TO BE AT WHAT 1:15 I WOULD BE OK WITH GOING BACK WITH THE ONE 15.

I DON'T WANT I DON'T WANT THE TWO JUST BECAUSE I'D LIKE TO GO RIGHT INTO OUR MEETING.

I DON'T WANT TO HAVE TO BE AS EFFICIENT AS POSSIBLE HERE.

BUT I'D LIKE TO HEAR FROM Y'ALL AND WHAT Y'ALL THINK OF THAT AND MAYBE WILLIAM TOO, WILLIAM? ALL RIGHT.

I THINK I BROUGHT THIS COUNCIL WAY BACK IN JANUARY, AND ORIGINALLY WHEN I PROPOSED IT, I WAS IN SUPPORT OF A ONE ONE O'CLOCK WORKSHOP, FIVE O'CLOCK MEETING, AND I KIND OF DID THAT FOR MORE PERSONAL REASONS BECAUSE AS A WORKING PERSON, IT WAS.

YOU CAN TAKE A HALF DAY FROM 8:00 TO 11:30 AND COME TO A MEETING INSTEAD OF A FULL DAY.

SO THAT DOES INCREASE PARTICIPATION.

BUT I WAS WILLING TO, YOU KNOW, COMPROMISE ON THAT.

AND HONESTLY, HAVING THE STRUCTURE RIGHT NOW REALLY DOESN'T DO MYSELF ANY FAVORS.

BUT I KIND OF GOT TO REMEMBER I'M NOT DOING IT FOR MYSELF, SO I'M ACTUALLY DOING IT FOR PEOPLE THAT DO HAVE TO WORK AND I GET IT.

WE DON'T HAVE ANYBODY IN THE AUDIENCE TODAY, BUT ALSO THERE'S NOT TOO MUCH EXCITEMENT TO GET PEOPLE HERE TODAY.

AND THEN ALSO, WE DO HAVE A PANDEMIC GOING ON AND THIS IS OUR THIRD MONTH.

I BELIEVE WE MET IN PERSON.

SO FOR ME, WE JUST HAVE THE OPTION OF NEVER HAVING TO HAVE A PERSON USE A DAY OF WORK TO COME TALK TO THEIR GOVERNMENT.

AND THAT'S JUST WHERE I STAND ON IT.

COUNCILWOMAN LEWIS, YOU WANTS TO SAY SOMETHING.

OK.

OK.

[01:40:01]

I'M JUST THINKING ABOUT EVEN THOUGH THERE'S NO ONE IN THE AUDIENCE, I WOULD LIKE THE OPPORTUNITY TO BE THERE FOR THOSE WHO DO WORK DURING THE DAY AND POSSIBLY WOULD LIKE TO LISTEN TO CITY COUNCIL.

AND I'M HOPING THAT AS TIME GOES ON WITH THE PANDEMIC GIVING THAT WE'LL HAVE MORE PEOPLE PARTICIPATING AND I'M GOING TO ENCOURAGE SOME PEOPLE TO PARTICIPATE.

BUT I LIKE THE FIVE O'CLOCK TO BENEFIT THE PUBLIC.

YOU'RE SPEAKING IN FAVOR OF KEEPING IT, AS IS.

YES.

ALL RIGHT, DAVID.

YEAH, I HAVE TO AGREE WITH WITH COUNCILWOMAN LEWIS.

I I'M REALLY OF TWO MINDS OF THIS ON THIS BECAUSE THE ROOM IS EMPTY.

BUT AS AS WILLIAM POINTS OUT, WE'VE BEEN IN COVID PROTOCOLS AND THIS IS ONLY THE THIRD, AS YOU SAY, THIRD MONTH, MAYBE FOURTH MEETING THAT WE'VE HAD IN PERSON.

AND THIS IS WE JUST SENT ALL OUR COMMISSIONS AND BOARDS BACK INTO ZOOM JUST SO THEY'RE NOT IN THE ROOM TOGETHER.

WE'VE DONE THIS FOR SUCH A SHORT TIME.

I DON'T THINK THAT WE'VE GIVEN IT.

I DON'T THINK WE'VE GIVEN IT A FAIR CHANCE.

YOU KNOW, WHEN WHEN WE TALKED ABOUT GOLF CARTS, DAYTIME OR NIGHTTIME, WE WERE GOING TO HAVE A ROOM FULL.

[INAUDIBLE] AND YOU KNOW, WHEN WE GET AROUND TO THE SHORT TERM RENTAL ORDINANCE, WE'RE GOING TO HAVE A ROOM FULL OF PEOPLE TALKING ABOUT THAT.

SO WHEN WE HIT THE THE THE HOT BUTTON ITEMS, PEOPLE DO SHOW UP, BUT I BUT THAT'S NOT THE CONCERN OR CONCERN IS THE AVERAGE CITIZEN WHO WANTS TO JUST COME AND MAKE THEIR THEIR VOICE KNOWN.

WE DID THIS SO THAT WORKING PEOPLE WOULD HAVE AN OPPORTUNITY TO DO IT, AND I DON'T THINK WE'VE GIVEN IT A FAIR CHANCE.

MARIE.

AGAIN, I HAVE TO AGREE WITH COUNCIL MEMBER COLLINS.

BUT I MEAN, I DO THINK WHEN WE HAVE HAD HOT ISSUES OR COUNCIL CHAMBER WAS FULL, AND I DON'T THINK AS MANY OF THOSE PEOPLE WOULD HAVE BEEN ABLE TO COME.

I THINK IT WOULD MAKE MORE SENSE IF WE WOULD START WORKSHOP AT ONE AND THEN DO COUNCIL AT FIVE OR START A WORKSHOP AT TWO OR SOMETHING WHERE IT COULD BE CONTINUOUS VERSUS HAVING THE SEPARATION BETWEEN THE DAY.

BUT IF WE TAKE AWAY OR WE MOVE OUR MEETINGS TO DAYTIME.

I THINK WE WOULD BE THE ONLY COUNCIL IN THE COUNTY THAT HAD DAYTIME MEETINGS.

BUT SO.

FAIR TIME TO COMMENT.

BILL.

WE CAN YOU KNOW, IF WE HAVE HOT ISSUES OR WHATEVER, I THINK WE CAN MORE OR LESS COME BACK AND CHANGE IT IF WE KNOW WE'RE GOING TO HAVE A BUNCH OF HOT ITEMS. BUT RIGHT NOW WE'RE HERE, THERE'S NO ONE IN THE AUDIENCE.

YEAH, WE SHOULD HAVE IT WHERE IF IT'S FULL? I UNDERSTAND THAT.

BUT HOW OFTEN DO WE HAVE THAT RIGHT NOW? IS IT THE PUBLIC THAT CAN'T COME IN OR HAVE THEY HAVE TO WEAR THEIR MASK? OK, SO.

IT'S ONE OF THOSE THINGS, IT'S HALF A DOZEN ONE OR THE OTHER.

YES, MA'AM.

YES, MARIE.

I CAN'T REMEMBER THE EXACT TIMES, BUT IT SEEMS LIKE WHEN I WAS ON COUNCIL PREVIOUSLY, WE STARTED THE MEETINGS AT THREE OR FOUR, BUT WE HELD PUBLIC COMMENT TILL FIVE SO THAT PEOPLE WOULD BE ABLE TO ATTEND.

AND MAYBE YOU CAN REMEMBER BRIAN.

YEAH, WE DID SO MANY DIFFERENT THINGS DURING THAT TIME, I DON'T.

BUT THE ONLY PROBLEM IS YOU NEED TO VOTE ON THINGS AND IF YOU WANT YOUR PUBLIC INPUT BEFORE YOU VOTE, IT DOESN'T DO ANY GOOD TO START THE MEETING EARLY.

AND THAT'S REQUIRED BY LAW NOW.

MM HMM.

AND THERE'S BEEN A LOT OF CHANGES.

BEFORE YOU BEFORE COUNCIL CONSIDERS ANY ITEM, YOU HAVE TO ALLOW PUBLIC COMMENT.

SO PUBLIC COMMENT HAS TO GO BEFORE ANY OF YOUR ACTION ITEMS. SO WHAT ABOUT THE THOUGHT OF MOVING A WORKSHOP CLOSER, SIMILAR TO WHAT BILL SAID? EXCUSE ME, WILLIAM SAID.

I KNOW I ALWAYS WANT TO ASK YOU, WHAT DO YOU PREFER? BUT, YOU KNOW, MOVING THEM CLOSER TOGETHER.

SO AGAIN, YOU KNOW, JOHN PAUL WORKS GIVES THEM A HALF A DAY TO WORK, BILL WE THINK HE WORKS AND GIVES HIM A HALF A DAY TO WORK.

BUT I MEAN, IT WOULD IT WOULD.

IT WOULD TIE THEM TOGETHER INSTEAD OF GIVING AN IN BETWEEN TIME.

I MEAN, I REMEMBER ONE DAY WE HAD CANCELED OUR WORKSHOP UNTIL 3:30 AND COUNCIL AT 5:00.

AND FOR ME, THAT'S LITERALLY ENOUGH TIME TO RUN HOME, LET THE DOGS OUT AND COME BACK.

[01:45:17]

SO MAYBE TYING WORKSHOP CLOSER BY KEEPING OUR MEETINGS AT 5:00 TO HAVE OUR CITIZENS COM MENT.

ALL RIGHT.

WELL, WE HAVE A MOTION ON THE FLOOR COUNCILMAN QUIROGA DOES.

IT'S BEEN SECONDED TO KEEP OUR WORKSHOPS AS THEY ARE STARTING IN THE MORNING AND TO THEN CONVENE OUR REGULAR MEETING AT 2:00.

NOW, IF THIS IS TURNED DOWN, WE CAN ENTERTAIN AN ALTERNATIVE MOTION.

SO OK, LET'S LET'S GO AHEAD ALL THOSE IN FAVOR OF COUNCILMAN QUIROGA MOTION.

[INAUDIBLE] ALL RIGHT, I KNOW WE LOST, BUT I MEAN, HERE WE GO.

ALL RIGHT.

COUNCIL, I'D ENTERTAIN AN ALTERNATE MOTION OR WE CAN MOVE ON.

HALF A DAY, BUT YOU KNOW, REALLY, IT'S NOT REALLY ABOUT ME.

AND HONESTLY HAVING THAT BREAK, IT DOES ALLOW US A LITTLE TIME TO DECOMPRESS.

THINK A LITTLE BIT.

AND THEN ALSO WE START AT ONE AND LET'S SAY WE HAVE A SIX HOUR WORKSHOP, THEN OUR FIVE HOUR WORKSHOP, THEN WE STARTING A MEETING AT 6:00.

SO IT DOES MAKE IT A LITTLE EASIER, BUT I'M FINE WITH KEEPING IT THE WAY IT IS UNLESS COUNCIL FEELS OTHERWISE.

ALL RIGHT, I DON'T HEAR AN ALTERNATE MOTION.

IT IS 6:46 P.M.

WE HAVE GONE THROUGH OUR AGENDA AND WE ARE NOW OFFICIALLY ADJOURNED.

THANK YOU.

* This transcript was compiled from uncorrected Closed Captioning.