8.A. Consider For Approval An Ordinance Of The City Of Galveston, Texas, Abandoning Approximately 4,796 Square Feet Of Alley Right-Of-Way Located At Commonly Known Address, Adjacent To 2910 Mary Moody Northen Boulevard / 53rd Street And 3020 Mary Moody Northen / 53rd Street; Adjacent Properties Are Legally Described As M. B. Menard Survey, Tract 83, 0.501 Acres; And M. B. Menard Survey, Tract 84, 1.210 Acres; In The City And County Of Galveston, Texas; Planning Case Number 26P-002; Making Various Findings And Provisions Related To The Subject. (C. Gorman)

[8.A. Consider For Approval An Ordinance Of The City Of Galveston, Texas, Abandoning Approximately 4,796 Square Feet Of Alley Right-Of-Way Located At Commonly Known Address, Adjacent To 2910 Mary Moody Northen Boulevard / 53rd Street And 3020 Mary Moody Northen / 53rd Street; Adjacent Properties Are Legally Described As M. B. Menard Survey, Tract 83, 0.501 Acres; And M. B. Menard Survey, Tract 84, 1.210 Acres; In The City And County Of Galveston, Texas; Planning Case Number 26P-002; Making Various Findings And Provisions Related To The Subject. (C. Gorman)]

ITEM 8.A PLEASE. ITEM 8.A CONSIDER FOR APPROVAL AN ORDINANCE OF THE CITY OF GALVESTON, TEXAS, ABANDONING APPROXIMATELY 4796FT² OF ALLEY RIGHT-OF-WAY.

LOCATED AT COMMONLY KNOWN ADDRESS ADJACENT TO 2910 MARY MOODY NORTHERN BOULEVARD, 53RD STREET AND 3020 MARY MOODY, NORTHEN 53RD STREET. ADJACENT PROPERTIES ARE LEGALLY DESCRIBED AS M.B.

MENARD SURVEY TRACT 83 0.501 ACRES AND M.B. MENARD SURVEY TRACT 84 1.210 ACRES IN THE CITY AND COUNTY OF GALVESTON, TEXAS. PLANNING CASE NUMBER 26P-002.

MAKING VARIOUS FINDINGS AND PROVISIONS RELATING TO THE SUBJECT.

VERY GOOD. WE HAVE CATHERINE GORMAN FROM THE DEVELOPMENT SERVICES.

GOOD EVENING. THE APPLICANT AND THE ADJACENT PROPERTY OWNERS ARE REQUESTING AN ABANDONMENT OF APPROXIMATELY 4796FT² OF ALLEY, RIGHT-OF-WAY WITHIN THE LARGE BLOCK BORDERED BY AVENUE U.

MARY MOODY, NORTHERN BOULEVARD AND FORT CROCKETT BOULEVARD.

THE APPLICANT IS THE OWNER OF BOTH TRACTS ON EITHER SIDE OF THE ALLEY, AND IS SEEKING ABANDONMENT OF THE FULL WIDTH.

PLANNING COMMISSION AND STAFF ARE RECOMMENDING APPROVAL. VERY GOOD.

COUNCIL, ANY QUESTIONS FOR MS. GORMAN? IT IS 5:29 P.M.

I'M GOING TO OPEN THE PUBLIC HEARING ON ITEM 8.A IS THE APPLICANT OR ANYONE HERE WOULD LIKE TO MAKE A COMMENT?

[00:30:04]

COME FORWARD IF YOU WOULD, PLEASE. HI. HOW ARE YOU? [LAUGHTER] OH, I JUST YOU KNOW, WE PURCHASED THE BOY SCOUT BUILDING.

I DON'T KNOW, NOVEMBER OR SOMETHING LIKE THAT. MY TIME RUNS TOGETHER, AND THAT'S GOING TO.

THAT WAS AN AREA THAT WE NEEDED TO SETTLE UP BECAUSE WE NEEDED TO OBVIOUSLY HAVE THE LAND, BUT MORE SO PUT A. FENCE ACROSS THE FRONT LIKE SHE HAS IT BENT ON HEALTHY LIVING ALREADY.

TO SECURE THE PROPERTY BETTER. SO WHEN I WAS TOLD I COULDN'T DO THAT BECAUSE IT'S A RIGHT-OF-WAY, I'M LIKE, WELL, WHAT'S NEXT? AND CATHERINE TOLD ME AND I WAS LIKE, OKAY, WELL, THAT'S FINE THAT'S IT'S GOING TO BETTER HELP MY WIFE'S BUSINESS BENT ON HEALTHY LIVING.

THE OTHER BUILDINGS SHE'LL BE PUTTING 4 NEW STUDIOS IN THERE FOR PILATES, YOGA BAR AND A PERSONAL TRAINING AREA AND THE OLD BOY SCOUT BUILDING.

SO ANYWAY, THAT'S ALL I GOT TO SAY. VERY GOOD.

THANK YOU VERY MUCH. THANKS FOR BEING HERE. ANY QUESTIONS OF THE APPLICANT COUNCIL? ANY OTHER COMMENTS ON THIS PARTICULAR ITEM? HEARING NO RESPONSE.

IT'S 5:31. I'M GOING TO CLOSE THE HEARING. I'LL MOVE FOR APPROVAL MAYOR I'LL SECOND THAT. ALL RIGHT. WE HAVE A MOTION FOR APPROVAL FROM COUNCILWOMAN ROBB, SECONDED BY COUNCILWOMAN LEWIS.

IS THERE ANY DISCUSSION? ALL THOSE IN FAVOR? AND COUNCIL MEMBER FINKLEA.

DAVID, THANK YOU. WE HAVE HIS HAND UP. THAT IS UNANIMOUSLY APPROVED.

THANK YOU, HOWIE. MOVING TO ITEM 8.B, PLEASE.

[8.B. Consider For Approval An Ordinance of the City of Galveston, Texas, Designating The Property Located At 2116 Ursuline / Avenue N And Legally Described As Abstract 628 M.B Menard Survey, Lot 11 Southeast Block 18 Galveston Outlots, In The City and County Of Galveston, Texas Requesting The Historic Preservation Officer Record The Property's Landmark Designation In The Official Public Records Of Real Property In Galveston County, The Tax Records Of The City Of Galveston And Central Appraisal District, And the Official Zoning Maps Of The City Of Galveston, Texas; Designating The Site As Historically Or Archeological Significant Site In Need Of Tax Relief To Encourage Its Preservation; Planning Case Number 26P-008; Making Various Findings And Provisions Related To The Subject. (R. Annan)]

ITEM 8.B, CONSIDER FOR APPROVAL AN ORDINANCE OF THE CITY OF GALVESTON, TEXAS, DESIGNATING THE PROPERTY LOCATED AT 2116 URSULINE AVENUE N AND LEGALLY DESCRIBED AS ABSTRACT 628 M.B. MENARD, SURVEY, LOT 11, SOUTHEAST BLOCK 18 GALVESTON OUTLOTS IN THE CITY AND COUNTY OF GALVESTON, TEXAS, REQUESTING THE HISTORIC PRESERVATION OFFICER RECORD THE PROPERTY'S LANDMARK DESIGNATION IN THE OFFICIAL PUBLIC RECORDS OF REAL PROPERTY IN GALVESTON COUNTY.

THE TAX RECORDS OF THE CITY OF GALVESTON AND CENTRAL APPRAISAL DISTRICT, AND THE OFFICIAL ZONING MAPS OF THE CITY OF GALVESTON, TEXAS, DESIGNATING THE SITE AS HISTORIC, HISTORICALLY OR ARCHEOLOGICAL SIGNIFICANT SITE IN NEED OF TAX RELIEF TO ENCOURAGE ITS PRESERVATION.

PLANNING CASE NUMBER 26P-008. MAKING VARIOUS FINDINGS AND PROVISIONS RELATED TO THE SUBJECT.

WE HAVE MS. GORMAN AGAIN, CATHERINE. THE CHARLES HOWARD HUEMAN HOUSE WAS BUILT IN 1923.

THE HOUSE BELONGED TO CHARLES HUEMAN, WHO WAS THE FIRST FULL TIME PARCEL CARRIER APPOINTED TO THE CITY OF GALVESTON'S POST OFFICE.

HE SERVED FOR 43 YEARS AND RETIRED AT THE AGE OF 70.

HE'S REMEMBERED FOR HIS LOVE OF PEOPLE AND THE CARRYING ON THE TRADITION OF USING A DELIVERY WHISTLE.

A LANDMARK COMMISSION, PLANNING COMMISSION AND STAFF ARE RECOMMENDING APPROVAL. THANK YOU VERY MUCH.

ANY QUESTIONS FOR MS. GORMAN? VERY GOOD. IT IS 5:32 P.M.

I'M GOING TO OPEN THE PUBLIC HEARING ON THIS PARTICULAR ITEM ON 8.B.

ANYONE IN THE AUDIENCE REPRESENTING THIS OR THE APPLICANT? COME FORWARD IF YOU WOULD, PLEASE, SIR. GOOD AFTERNOON.

SO THIS IS MY GRANDMOTHER'S HOUSE. THE APPLICANT I THINK SHE EXPLAINED EVERYTHING.

IT'S I THINK IT FITS ARCHITECTURALLY AND LIKE SHE SAID IT WAS BUILT FOR CHARLES HUEMAN.

HE WAS AT ONE TIME THE ONLY PARCEL DELIVERY MAN FOR THE CITY OF GALVESTON.

USING A HORSE AND A WAGON WHEN HE STARTED OUT AND TRANSITIONED TO A MODEL T CAR AND LIKE SHE SAID WITH THE WHISTLE, HE WAS BACK THEN, THEY USED TO USE A WHISTLE TO ANNOUNCE DELIVERY OF PARCELS.

AND IN THE NEWSPAPER, IT ANNOUNCED THAT HE WAS THE LAST PERSON TO ACTUALLY BE USING A WHISTLE IN GALVESTON.

I THINK THAT'S ABOUT IT. I JUST THINK IT FITS ALL THE CRITERIA OF A LANDMARK.

VERY GOOD. THANK YOU VERY MUCH, SIR. ANY OTHER APPLICANT OR ANY OTHER INPUT, I SHOULD SAY, ON THIS PARTICULAR ITEM? VERY GOOD. IT IS 5:34 P.M.

I'M GOING TO CLOSE THE PUBLIC HEARING ON 8.B, BRING IT BACK TO COUNCIL FOR ACTION.

YES, BOB. SO MOVE RAWLINS AND LEWIS AT THE SAME TIME. VERY GOOD.

ANY DISCUSSION ON THAT? ALL THOSE IN FAVOR? THAT IS UNANIMOUSLY APPROVED.

THANK YOU. ITEM 9, PLEASE, NELLIE. ITEM 9 PUBLIC COMMENT.

[9. PUBLIC COMMENT]

9.A AGENDA ITEMS AND 9.B NON-AGENDA ITEMS. THIS IS THE TIME FOR PUBLIC COMMENT IF YOU WOULD LIKE TO MAKE PUBLIC COMMENT.

IF YOU DO, WE HAVE SOME FORMS IN THE BACK THAT YOU CAN FILL OUT.

WE GIVE YOU THREE MINUTES FOR THIS. I WOULD SAY THAT IF YOU FEEL THAT NOBODY'S RESPONDING TO SAY QUESTIONS,

[00:35:10]

YOU HAVE ACCORDING TO THE OPEN MEETINGS ACT, WE CANNOT RESPOND TO YOU.

BUT REST ASSURED, COUNCIL AND STAFF IS TAKING NOTES AND COULD POSSIBLY GET BACK WITH YOU, IF THAT NEEDS TO BE.

I'M GOING TO CALL FIRST ON ANGELA GONZALEZ. MS. GONZALEZ. GOOD AFTERNOON GOOD AFTERNOON EVERYONE. MY NAME IS ANGELA GONZALEZ. I AM CO-OWNER OF GONZALO'S AMERICAN BISTRO, LOCATED AT 415 9TH STREET.

THIS BUILDING HISTORICALLY WAS SMOOTH TONY'S FOR 20 YEARS.

YOU MAY RECOGNIZE IT AS THAT. MY HUSBAND AND I HAVE OWNED IT FOR FOUR YEARS.

IT HAS A FIVE-STAR RATING ON GOOGLE. WE'RE VERY PROUD OF THAT.

WE'RE PROUD OF THE HOME. WE'RE PROUD TO BE LOCALS OF GALVESTON AS WELL.

OUR HOME RESIDENCE IS 5028 AVENUE P. TODAY, I'M SPEAKING SPECIFICALLY ABOUT OUR DISTRICT AND THE NEED FOR ACCESSIBLE PARKING. WHEN SHRINERS WAS BUILT, EXPANDED, I SHOULD SAY THERE WAS AN ALLOWANCE FOR 12 PUBLIC PARKING SPACES THAT WENT FROM 8TH AVENUE TO 9TH AVENUE ON POST OFFICE THAT WERE ABSORBED IN THE EXPANSION OF THE SHRINERS MERGER FROM HOUSTON INTO GALVESTON. I UNDERSTAND THAT THAT'S PART OF GROWTH.

I'M NOT HERE TO CONTEST THAT. I'M HERE TO SPEAK TO THE IMPACT OF THAT.

I'M HERE TO TELL YOU THAT OUR BUSINESS BEING FOUR STARS AND FIVE STARS, EXCUSE ME.

AND BEING AROUND FOR FOUR YEARS. MY HUSBAND IS A CHEF OF MOODY GARDENS OF SAN LUIS.

WE ARE EMBEDDED IN THIS COMMUNITY. WE ARE LOOKING AT CLOSING OUR DOORS DUE TO THE LACK OF PARKING.

THERE'S NOTHING MORE THAT WE CAN DO TO PROVIDE PARKING.

WE ARE SURROUNDED BY TWO PARKING GARAGES. ONE IS FOR SHRINERS, IT IS PRIVATE.

IT'S A MEDICAL PARKING GARAGE. WE HAVE NOT BEEN GRANTED ACCESS TO THAT.

IT WAS A REAL MESS WHEN IT STARTED, BUT ALL STAYED IN MY THREE MINUTES.

ON THE OTHER SIDE OF US IS ANOTHER PARKING GARAGE THAT IS UTMB SHRINERS, BUT WE DON'T HAVE ACCESS TO ACCESS TO THAT.

IT IS GROSSLY UNDER UTILIZED. I CANNOT PAY MY WAY INTO IT.

I CANNOT OFFER ANYTHING TO ENHANCE MY BUSINESS OR TO GROW BEYOND WHAT IT IS.

I'M ASKING CITY COUNCIL TO PLEASE. I AM BEGGING YOU.

WITH MY FAMILY'S LIFE ON THE LINE, ALL THAT WE HAVE GIVEN TO THIS RESTAURANT AND THANK YOU. I NEARLY FORGOT THAT. I STARTED MY OWN PETITION BECAUSE I FIGURED YOU NEEDED MARKET STUDY.

WE HAVE 108 SIGNATURES OVER THE LAST WEEK OF PEOPLE THAT HAVE COME IN AND HAVE RIPPED ME TO SHREDS ABOUT THE PARKING.

AND MY RESPONSE TO THEM IS, PLEASE DIRECT IT TO CITY COUNCIL.

THAT SAID IN TEXT MESSAGE, THE PARKING IS DIFFICULT.

I CANNOT FORESEE MYSELF WORKING THERE.

IT'S ON 9TH BETWEEN MARKET AND POST OFFICE. THE DIRECT REQUEST IS TO PLEASE TAKE A LOOK AT THE PARKING AROUND THERE AND ADJUST IT TO BE EQUITABLE OF WHAT IS OFFERED TO SURROUNDING RESTAURANTS LIKE SUNFLOWER BAKERY, WHICH IS NEARLY FIVE BLOCKS AWAY, ONLY FIVE BLOCKS AWAY. THANK YOU. THANK YOU VERY MUCH, MS. GONZALEZ. APPRECIATE THAT. DANA TRAYLOR BALDWIN, DANA.

MS. BALDWIN? IS DANA BALDWIN? OKAY. ALL RIGHT.

GAIL CANTINI, GAIL. HELLO 4625 CADUCEUS PLACE, GALVESTON, 77551. AND IT IS MY HUSBAND'S BIRTHDAY, SO HE REALLY, REALLY DOESN'T WANT ME HERE TODAY. [LAUGHTER] FIRST OF ALL, I WANT TO SAY THANK YOU.

IT WAS SO WONDERFUL TO HEAR WHAT YOU SAID TODAY AND SO MUCH OF YOUR WORK.

PERFECTLY RIGHT ON. THANK YOU. IT REALLY IS TOUCHING TO SEE A COMMUNITY THAT CARES, CARES ABOUT PARKING, CARES ABOUT FLOODING, CARES ABOUT SO MANY THINGS YOU HAVE TO DEAL WITH.

BUT I CAME TODAY FOR A VERY DIFFERENT REASON.

I CAME TO SAY THANK YOU. PLEASE CONSIDER LOOKING AT THE HISTORIC PRESERVATION OF THAT WONDERFUL MONUMENT AT BROADWAY IN 25TH.

IT CANNOT BE IN A SITUATION WHERE IT IS NOT PRESERVED, AND IT CAN'T BE IN A SITUATION WHERE THERE'S NOT AN ONGOING PLAN FOR MAINTENANCE.

[00:40:10]

SO WHEN WE THINK ABOUT OUR COMMUNITY, WE HAVE TO THINK LONG RANGE.

WE ALSO NEED TO BE LOOKING. AND I'M SURE THAT BRIAN HAS DONE THIS WITH HIS STAFF.

HE'S PROBABLY LOOKED AT SOME OF THE NATIONAL FUNDING SOURCES FOR LONG TERM MONEY THAT CAN HELP MAINTAIN OUR MONUMENTS AND SOME OF OUR STATE RESOURCES FOR MAINTAINING. I REALIZE IT'S A STATE OWNED PROPERTY, BUT I THINK AT THE SAME TIME, WE HAVE TO DO SOMETHING THAT CREATES A LONG-TERM PLAN.

THIS IS A CRITICAL RESOURCE IN GALVESTON. IT'S NOT MINOR.

IT IS MAJOR AND IT'S MAJOR TO THE COUNTRY, NOT JUST GALVESTON, BECAUSE OUR HISTORY IS SO GREAT.

AS A MEMBER OF THE DAR, I DON'T SPEAK FOR THEM, BUT I CAN TELL YOU THAT THERE ARE MANY PEOPLE WHO WILL LINE UP TO HELP YOU IF YOU NEED HELP. SO PLEASE COUNT ON US. DON'T LET IT DOWN.

I'M SORRY. I HAVE AN INFECTION THAT CAUSES MY VOICE TO GO AWAY AS WELL.

BUT THANK YOU SO MUCH FOR ALL YOU DO. WE APPRECIATE IT.

THANK YOU.

ALL RIGHT. ANY OTHER PUBLIC COMMENTS? COME FORWARD.

YES. YES, MA'AM. I'D LIKE TO I'D LIKE TO COMMENT ALSO ON WHAT GAIL HAD TO SAY.

I'M IN DAR WITH HER. BUT I'M ALSO I'M SUSAN POLK, AND I'M THE PRESIDENT OF THE SIDNEY SHERMAN CHAPTER, DAUGHTERS OF THE REPUBLIC OF TEXAS. AND FIRST OF ALL, I'D LIKE TO THANK MAYOR BROWN FOR ALLOWING US TO DECORATE THE MONUMENT ON MARCH THE 2ND.

IT BROUGHT A LOT OF ATTENTION TO IT. THE GALVESTON DAILY NEWS COVERED A LOT ABOUT THAT.

AND THERE WAS A LOT OF PUBLIC COMMENT. WE HAD PEOPLE DRIVING BY, HONKING AND WAVING AND THANKING US FOR BEING OUT THERE.

AND THAT WAS THE GOAL WAS TO BRING ATTENTION TO IT.

AND YOU ALSO SAID THAT WE COULD DECORATE IT ON SAN JACINTO DAY.

SO WE WILL BE DOING THAT APRIL 21ST. I'D ALSO LIKE TO THANK COUNCILMAN ALEX PORRETTO BECAUSE WE'VE BEEN IN CONVERSATION ABOUT THE MONUMENT AND ITS OWNERSHIP AND ITS RESTORATION AND MAINTENANCE GOING FORWARD.

AND WE'RE JUST KIND OF AT A PLACE WHERE, YOU KNOW, THE PEOPLE IN THIS ROOM CAN, CAN DO SOMETHING THAT THE CITY CAN BE PROUD OF OR IT'S JUST ANOTHER STORY OF WHAT USED TO BE.

AND WE DESERVE BETTER THAN WHAT USED TO BE. AND YOU ALL KNOW THAT THIS IS YOUR MONUMENT TOO.

I JUST WANTED TO SAY A LITTLE BIT ABOUT THE HISTORY OF IT.

I WASN'T SURE I WAS GOING TO DO THIS, BUT JUST THE IMPORTANCE.

IN THE EARLY 1890S, THE DAUGHTERS OF THE REPUBLIC OF TEXAS, WHICH IS FOUNDED RIGHT HERE IN GALVESTON, OUR CHAPTER IS THE FOUNDING CHAPTER. THEY APPROACHED HENRY ROSENBERG AND THEY UNDERSTOOD SOMETHING CRITICAL THAT HISTORY DISAPPEARS IF NOBODY FIGHTS TO PRESERVE IT. THEY URGED HIM TO HONOR THE HEROES OF THE TEXAS REVOLUTION.

AND HE LISTENED. AND SO ROSENBERG LEFT A $50,000 BEQUEST.

THAT'S NEARLY $2 MILLION IN TODAY'S MONEY, NOT TO A FAMILY MEMBER, BUT TO THE CITIZENS OF TEXAS, TO ITS HEROES AND TO EVERY PERSON THAT WOULD EVER DRIVE DOWN BROADWAY.

AND ON APRIL 21ST, 1900, SAN JACINTO DAY, THE SIDNEY SHERMAN CHAPTER.

ORGANIZED THE DEDICATION 10,000 PEOPLE ATTENDED IN 1900.

THE GOVERNOR ACCEPTED THE MONUMENT ON BEHALF OF THE STATE OF TEXAS.

AS IF IT WERE A KEY TO THE CITY. IT WAS THE FIRST MONUMENT EVER BUILT TO HONOR THE TEXAS REVOLUTION, PREDATING SAN JACINTO MONUMENT BY 36 YEARS. THAT 34 FOOT TALL STRUCTURE HAS SURVIVED THE 1900 STORM, WHICH WAS JUST A FEW MONTHS LATER. EVERY HURRICANE AND CHALLENGE SINCE THEN AND WHAT HAS IT HAS NOT SURVIVED IS NEGLECT. SO 10 YEARS FROM NOW, 2036 IS THE BICENTENNIAL WE UNFORTUNATELY.

OH, BY ALL MEANS. IS THE BICENTENNIAL FOR TEXAS AND THAT MONUMENT SHOULD BE AT THE CENTER OF IT.

I AGREE. [APPLAUSE] ANY FURTHER PUBLIC COMMENT?

[00:45:02]

YES, MA'AM. COME FORWARD. MIGHT BE A LITTLE TOO TALL FOR ME HI MY NAME IS LACEY. I LIVE HERE ON THE ISLAND AND I REALLY LIKE TO SHOP LOCAL.

I SHOP DOWNTOWN ALL THE TIME. BUT LAST MONTH I PAID $86 IN PARKING JUST TO GO GET LUNCH.

GRAB THINGS FROM SUNSET REFILLERY. GET MY CLOTHES HEMMED.

ALL THE NORMAL THINGS. IF THERE'S ANY WAY YOU GUYS COULD CONSIDER SOMETHING FOR LOCALS, LIKE 20 MINUTES FREE SO I CAN RUN IN AND GRAB SOMETHING.

OR MAYBE, LIKE, EVERY MONTH, LOCALS GET A COUPLE HOURS FREE FOR PARKING, AND ONCE YOU'VE USED YOUR MONTHLY YOUR HOURS, THEN THAT'S IT. THAT WOULD BE REALLY HELPFUL.

SO THANK YOU VERY MUCH. APPRECIATE THAT. [APPLAUSE] ANY OTHER COMMENTS? VERY GOOD. WE'RE GOING TO MOVE TO ORDINANCES NOT REQUIRING PUBLIC HEARINGS.

[10.A. Consider an ordinance of the City of Galveston, Texas, amending the total operating budget for Fiscal Year ending September 30, 2025, by adjusting various budget accounts in the amount of two million four hundred sixty- one thousand two hundred seventy dollars ($2,461 ,270) to properly record expenditures related to personnel costs in the Police Department and Developmental Services ($145,504), contractual services in the Fire Department, Taxation, and Governmental Services ($109,000), untapped expense reimbursements in the Street Department and City Auditor Department ($760,000), and bank services fees in Municipal Court ($50,000), additional funding for the Separation Pay Fund ($330,766), property sales service fee ($86,000), litigation claims ($80,000) and operating transfers to the Technology Improvement Fund ($500,000) and the Health and Life Insurance Fund ($400,000); making various findings and provisions related to the subject; and providing for an effective date. (C. Ludanyi)]

10.A PLEASE. ITEM 10.A CONSIDER AN ORDINANCE OF THE CITY OF GALVESTON, TEXAS AMENDING THE TOTAL OPERATING BUDGET FOR FISCAL YEAR ENDING SEPTEMBER 30TH, 2025. BY ADJUSTING VARIOUS BUDGET ACCOUNTS IN THE AMOUNT OF $2,461,270 TO PROPERLY RECORD EXPENDITURES RELATED TO PERSONNEL COSTS IN THE POLICE DEPARTMENT AND DEVELOPMENT SERVICES OF $145,504.

CONTRACTUAL SERVICES IN THE FIRE DEPARTMENT. TAXATION AND GOVERNMENTAL SERVICES $109,000 UNTAPPED EXPENSE REIMBURSEMENTS IN THE STREET DEPARTMENT AND CITY AUDITOR DEPARTMENT, $760,000. AND BANK SERVICES FEES IN MUNICIPAL COURT OF $50,000.

ADDITIONAL FUNDING FOR THE SEPARATION PAY FUND OF $330,766.

PROPERTY SALES SERVICE FEE $86,000. LITIGATION CLAIMS $80,000, AND OPERATING TRANSFERS TO THE TECHNOLOGY IMPROVEMENT FUND OF $500,000, AND THE HEALTH AND LIFE INSURANCE FUND OF $400,000.

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

CSILLA, I'M GLAD TO HAVE YOU BACK. HELLO AGAIN.

SO THE BUDGET AMENDMENT FOR THE YEAR ENDING SEPTEMBER 30TH, 2025 IS THE FINAL CLOSING BUDGET AMENDMENT FOR THE LAST FISCAL YEAR, THE PREVIOUS FISCAL YEAR. THIS AMENDMENT IS $2,461,270.

THROUGH VARIOUS DEPARTMENTS THROUGHOUT THE CITY.

WE REVIEWED SOME OF THESE ITEMS THIS MORNING, BUT I AM HAPPY TO ANSWER ANY OTHER QUESTIONS RELATED TO THE AMENDMENT.

VERY GOOD. ANY QUESTIONS FROM MS. LUDANYI AT ALL? I WOULD ENTERTAIN A MOTION COUNCIL. I HAVE A QUESTION YES, MA'AM. SO AT THE LAST MEETING, YOU HAD SAID IT WAS THE FINAL AMENDMENTS FOR THE YEAR END.

AND YET NOW WE HAVE A WHOLE SERIES OF OTHER AMENDMENTS.

BY LAST MEETING, DO YOU MEAN LAST MONTH? YES, LAST COUNCIL MEETING.

SO AT THE LAST COUNCIL MEETING, AS WE WERE PREPARING, I PRESENTED THE FOURTH QUARTER REPORT AND THERE WAS NO BUDGET AMENDMENT.

BUT I AS A PART OF THE FOURTH QUARTER REPORT, I DISCUSSED THE ITEMS THAT WOULD BE ON THE FINAL BUDGET AMENDMENT THAT I WAS BRINGING THIS MONTH. SO THERE WAS NO BUDGET AMENDMENT LAST MONTH.

WE WERE JUST PREPARING FOR WITH THE DISCUSSION OF THE FOURTH QUARTER REPORT.

AND SO OUR ACFR HAS TO BE DONE BY FRIDAY? YES, MA'AM.

SO WHY ARE WE SO FAR BEHIND? SO TYPICALLY COUNCIL WOULD GET THIS AMENDMENT IN THE JANUARY TIME RANGE.

AS A RESULT OF THE SOFTWARE TRANSITION ON OCTOBER 1ST, THERE WERE A LOT OF CLOSING ITEMS THAT WERE TRANSITIONING BETWEEN THE TWO SOFTWARE THAT SLOWED THE WHOLE PROGRESS ON EVERYTHING. IT IS CERTAINLY BEEN A VERY STRESSFUL TIME UPSTAIRS BECAUSE EVERYBODY HAS BEEN WORKING EXTRA HARD TO GET IT DONE.

WE IT IS CRUNCH TIME AND I DON'T THINK ANYBODY WOULD CONSIDER WHERE WE'RE AT IDEAL.

BUT IT IS ALSO A SYMPTOM OF A REALLY BIG SOFTWARE TRANSITION THAT I THINK WE'VE BEEN VERY SUCCESSFUL AT.

AND SO THE TEAM, I'M VERY PROUD OF THEM. THEY'VE DONE A REALLY GOOD JOB AND THEY'VE BEEN DOING DOUBLE DUTY. SO YEAH. SO WHO IS PREPARING OUR ACFR? IS THAT DONE IN-HOUSE? SO ALL OF THE WORK FOR THE ACFR IS DONE IN-HOUSE.

THE CITY PREPARES EVERYTHING AND VERIFIES EVERYTHING.

UP THROUGH YESTERDAY, THE WHOLE TEAM WAS MAKING SURE EVERY SINGLE PAGE IS RECONCILING.

ALL OF THE INFORMATION PRESENTED IS GENERATED BY CITY STAFF, THE PHYSICAL REPORT WHERE YOU'RE CREATING THE TABLES AND PUBLISHING IT THIS YEAR AND NEXT YEAR IS BEING DONE BY OUR AUDITORS, AND THAT'S TO RELIEVE SOME OF THE CAPACITY ISSUES IN ACCOUNTING AS A RESULT OF THE SOFTWARE TRANSITION. ISN'T THAT UNUSUAL TO HAVE YOUR AUDITOR? IT IS NOT.

WE ARE REALLY, REALLY IN A GREAT POSITION IN GALVESTON BECAUSE OUR TEAM TYPICALLY HAS THE CAPACITY AND THE ABILITY

[00:50:02]

TO DO THAT. MANY, MANY CITIES, ESPECIALLY SMALL CITIES, BARELY EVEN REVIEW THEIRS.

SO GALVESTON CAN BE REALLY PROUD OF THE LAST EIGHT YEARS WHERE WE HAVE BEEN ASSEMBLING OUR OWN AS A RESULT OF THE SOFTWARE TRANSITION, ONE OF THE DISCUSSIONS WE HAD AMONG MANAGEMENT WAS, WHERE CAN WE EASILY GAIN CAPACITY TO ALLOW OUR EMPLOYEES TO FOCUS ON THE THINGS THEY NEED TO FOCUS ON? AND IT IS A VERY COMMON THING TO CONTRACT WITH YOUR AUDITORS TO PREPARE THE PHYSICAL REPORT, THE TABLES, THE ORGANIZATION OF IT, WITHOUT COMPROMISING THE INDEPENDENCE OF THAT AUDITOR.

AND SO THAT WAS AN EASY STEP FOR US TO TAKE, TO ALLOW OUR ACCOUNTING STAFF TO HAVE THE ABILITY TO MANAGE THE NUMBERS VERY APPROPRIATELY AND NOT HAVE TO WORRY ABOUT MAKING SURE EVERYTHING IS IN THE CORRECT PLACE IN THE TABLE. AND SO THAT'S MORE OF AN ADMINISTRATIVE TASK.

AND WE WILL DEFINITELY BE BRINGING IT BACK IN HOUSE AFTER THE 26 AUDIT.

SO 25 IS PREPARED BY THE AUDITORS. 26 WILL BE AS WELL.

BUT I WOULD TELL YOU MY AUDIT, MY ACCOUNTING TEAM UPSTAIRS WOULD MUCH RATHER HAVE IT IN-HOUSE BECAUSE THERE'S BEEN A LOT OF BACK AND FORTH.

AND SO IT IS WAY EASIER FOR THE TEAM TO BE PREPARING IT AS WELL.

IT'S JUST, YOU KNOW, YOU DON'T WANT TO HIRE SOMEONE FOR A YEAR JUST BECAUSE THERE'S CAPACITY ISSUES.

IT JUST SEEMS LIKE THE FOX GUARDING THE HENHOUSE.

I MEAN, IT TAKES AWAY THE INDEPENDENCE OF THE AUDITOR.

IT THE AUDITOR IS NOT REVIEWING ANY OF THE PREPARATION PORTION, THEIR REVIEW.

THEY'RE DOING A FINANCIAL AUDIT AND THEY ARE DOING A PHYSICAL ACTIVITY OF PREPARING A BOOK.

BUT THE ACTUAL DATA THAT GOES INTO THE REPORT IS STRICTLY GENERATED BY THE CITY AND REVIEWED BY THE CITY.

SO THERE'S NO THEY ARE NOT PREPARING THE NUMBERS FOR US.

WE'RE DOING THAT AND THEY'RE AUDITING THAT. HISTORICALLY, UNTIL MIKE LOFTIN GOT HERE, THIS WAS THE WAY IT WAS DONE ALWAYS.

MIKE'S THE ONE THAT BROUGHT IT IN-HOUSE FOR US AND CSILLA HAS KEPT IT UP.

THIS THIS WAS A CAPACITY ISSUE THIS LAST YEAR.

ABSOLUTELY. BUT IT IS VERY COMMON. COUNCILMAN PORRETTO.

I UNDERSTAND IT'S NOT IDEAL. THANK YOU TO YOUR TEAM FOR GETTING IT.

THE ONE THING THAT TO ME, IT FEELS LIKE, AND I'M UNDERSTANDING FROM YOU, IT'S NOT ON PURPOSE, BUT ANY AMENDMENTS THAT WE WOULD WANT OR SEE CHANGES IN PROBABLY COULD HAVE HAPPENED IN JANUARY.

AND IT'S. NO DOUBT. IT'S A LITTLE TIME. YOU KNOW, YOU COULD SEE HOW SOMEONE COULD SAY, OH, WOW, IT'S KIND OF LIKE WE'RE GETTING BACKED INTO A CORNER IF WE CHANGE ANYTHING.

OR WANT TO MAKE ANY CHANGES, IT'S, IT REALLY PUTS THE CITY IN A BAD POSITION.

NO DOUBT, I THINK THAT THE TIME CRUNCH WE'VE BEEN UNDER HAS BEEN UNCOMFORTABLE FOR EVERYONE.

AND SO IT'S NOT OUR IDEAL SOLUTION AS WELL. IT'S JUST THERE'S ONLY SO MANY HOURS IN A DAY UNFORTUNATELY.

SO BUT THE SO THE TRANSITION TO WORKDAY IS GOING TO BE COMPLETED FROM BANNER.

AND THEN MOVING FORWARD, WE PROBABLY SHOULD NOT HAVE THIS HAPPEN NEXT.

THAT IS CORRECT. WE WILL BE ONLY IN WORKDAY FOR FISCAL YEAR 26.

AND SO THERE'S NOT GOING TO BE ALL OF THOSE JOURNAL ENTRIES BETWEEN THE TWO FISCAL YEARS AND THE TWO SOFTWARE.

THAT IS CORRECT. OKAY. THAT'S THAT WAS MY CONCERN IS.

YEAH. KIND OF HAVE YOU WE ALL KIND OF HAVE OUR BACK IN THE IN THE CORNER RIGHT NOW.

AND IT IT'S UNCOMFORTABLE FROM A FIDUCIARY STANDPOINT.

ABSOLUTELY.

HE HAD HIS HAND THEN WE'LL OPEN UP DISCUSSION. GOT A SECOND, COUNCILWOMAN LEWIS.

GO RIGHT AHEAD BEAU. CSILLA, JUST FOR UNDERSTANDING.

WHAT? CAN YOU EXPLAIN WHAT YOU MEAN BY BACK AND FORTH BETWEEN? LIKE THE JOURNAL ENTRIES OR THE DISCUSSIONS WITH THE AUDITORS OR BOTH? BOTH OKAY. RIGHT NOW WE ARE ONLY DOING ACTIVITIES IN WORKDAY SINCE OCTOBER 1ST.

ALL OF OUR ANYTHING FINANCIAL THAT'S OCCURRING IS HAPPENING IN WORKDAY, BUT SOME OF THOSE ITEMS ACTUALLY APPLY TO FISCAL YEAR 25.

SO FOR EXAMPLE, SALES TAX THAT THE CITY RECEIVED IN OCTOBER WAS RESEEDED INTO WORKDAY.

BUT WE ACTUALLY HAVE TO ACCRUE THAT BACK TO FISCAL YEAR 25 IN BANNER.

AND SO THERE ARE LOTS OF TRANSACTIONS LIKE THAT WHERE IN A NORMAL YEAR, WHEN YOU'RE IN THE SAME SOFTWARE, IT'S MUCH SIMPLER TO DO THAT. BUT RIGHT NOW WE'RE MOVING BETWEEN TWO SOFTWARE TO CLOSE OUT THAT FISCAL YEAR.

OKAY, SO THAT'S THE FIRST PART OF THE QUESTION.

THE SECOND PART IS THE AUDITORS COME IN, LAST YEAR THEY CAME IN AUGUST AND THEY DO INTERIM AUDIT AND THAT'S WHERE THEY TEST.

SO THEY SAY, WE WANT THIS MANY TICKETS AND THIS MANY JOURNAL ENTRIES AND THIS MANY RECEIPTS.

AND THEY TEST TO MAKE SURE ALL OF THOSE ARE BEING HANDLED CORRECTLY.

AND THEN STARTING JANUARY, THEY CLOSE OUT THE YEAR, THEY FINISH THE AUDIT AND THEY'RE HERE FOR TWO WEEKS.

BUT NOW LUCKILY, WE ARE IN A SITUATION WHERE THEY GO BACK TO THEIR OFFICES AFTER THAT AND ALMOST EVERYTHING IS HANDLED VIA EMAIL OR UPLOADING

[00:55:03]

SYSTEM WHERE WE'RE UPLOADING DOCUMENTS AND JOURNAL ENTRIES FOR THEM TO REVIEW.

AND SO AS A PART OF THE DISCUSSION, SINCE THE BEGINNING OF JANUARY, AS WE'VE BEEN FINISHING OUT THE AUDIT, THE ACCOUNTING TEAM IS IN CONSTANT COMMUNICATION WITH THE AUDITORS AS WE'RE TALKING ABOUT, HEY, YOU'VE SET UP THIS SCHEDULE THIS WAY. IS THIS CORRECT? WE HAVE CONCERNS WITH HOW IT'S BEING DONE BECAUSE THIS IS NOT HOW WE WOULD NORMALLY DO IT.

AND SO BECAUSE THEY'RE PREPARING FOR THE FIRST TIME, THEY'RE NOT NECESSARILY DOING IT HOW WE'RE USED TO DOING IT.

AND SO THAT'S PART OF THE DISCUSSION IS MAKING SURE WE'RE ALL ON THE SAME PAGE.

AND THE NUMBERS REFLECTED IN OUR SYSTEM MATCH THE REPORT THEY'RE GENERATING FOR US.

AND THIS IS DUE TOMORROW? IT'S DONE. RIGHT? YOU GOT A COPY OF IT? YOU GOT A COPY OF IT THIS MORNING. SO YES, IT IS DUE TOMORROW, [LAUGHTER] BUT IT IS DONE, YES. THANK YOU. YOU'RE WELCOME. ANY FURTHER DISCUSSION COUNCIL? IS THIS DISCUSSION ON THE, YES, SIR. WE DID. GO RIGHT AHEAD. I JUST WANT EVERYONE TO TAKE A DEEP BREATH.

WE'RE NOT HERE TO WATCH THIS PLACE BURN DOWN TO THE GROUND.

THESE POLITICAL DISSIDENTS WANT TO MAKE SURE THAT WE'RE GOOD FIDUCIARIES.

WE'RE JUST ASKING QUESTIONS FOR THE PUBLIC. SO THAT'S WHAT WE'RE HERE FOR TO ANSWER.

IT'S OKAY. TAKE A DEEP BREATH, GUYS. DAVID I JUST WANT TO CHECK.

DID YOU HAVE ANY QUESTIONS ON THIS, SIR? NO, I'VE REVIEWED THIS WITH BRIAN EARLIER THANK YOU.

OKAY. THANK YOU VERY MUCH. WE HAVE A MOTION FOR APPROVAL AND A SECOND.

ALL THOSE IN FAVOR? IT IS UNANIMOUSLY APPROVED.

THANK YOU. THANK YOU. THANK YOU. ITEM 10.B, PLEASE.

[10.B. Consider For Approval An Ordinance By The City Council Of City Of Galveston, Texas, Dissolving And Abolishing The Galveston County Municipal Utility District No. 30 And Making Certain Findings Related Thereto As Required By Law; As Applicable Levying An Annual Ad Valorem Tax, Within The Limitations Prescribed By Law, For The Payment Of The Bonds Of The District Hereby Assumed By The City; Authorizing And Approving Execution And Delivery Of All Instruments Necessary And Related Thereto; Authorizing And Approving All Procedures And Other Matters Incident And Related Thereto; And Providing For Findings Of Fact And An Effective Date. (City Manager)]

ITEM 10.B, CONSIDER FOR APPROVAL, AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF GALVESTON, TEXAS, DISSOLVING AND ABOLISHING THE GALVESTON COUNTY MUNICIPAL UTILITY DISTRICT, NUMBER 30 AND MAKING CERTAIN FINDINGS RELATED THERETO AS REQUIRED BY LAW, AS APPLICABLE LEVYING AN ANNUAL AD VALOREM TAX WITHIN THE LIMITATIONS PRESCRIBED BY LAW FOR THE PAYMENT OF THE BONDS OF THE DISTRICT, HEREBY ASSUMED BY THE CITY, AUTHORIZING AND APPROVING EXECUTION AND DELIVERY OF ALL INSTRUMENTS NECESSARY AND RELATED THERETO.

AUTHORIZING AND APPROVING ALL PROCEDURES AND OTHER MATTERS, INCIDENT AND RELATED THERETO, AND PROVIDING FOR FINDINGS OF FACT AND AN EFFECTIVE DATE.

THANK YOU VERY MUCH, NELLIE. WE HAVE RUSTY WALLACE.

YES, SIR. GOOD AFTERNOON, MAYOR AND COUNCIL MEMBERS.

I'M RUSTY WALLACE, I'M A BOARD MEMBER OF MUD 30.

I'M ALSO HERE WITH THE PRESIDENT OF THE BOARD, RANDY TOMLINSON.

I'VE MET WITH BRIAN AND SOME OF THE STAFF EARLIER ABOUT THIS TRANSITION.

IT'S KIND OF A UNIQUE OPPORTUNITY FOR BOTH PARTIES, QUITE HONESTLY.

I DO WANT TO STATE FOR THE RECORD THAT THE MUD DOES HAVE SOME ONGOING MAINTENANCE, AN ONGOING MAINTENANCE PROJECT THAT WE'RE IN THE PROCESS OF BIDDING OUR ENGINEERS PREPARED THAT AND THE MUD WOULD LIKE TO SEE THAT TO THE END.

AND WE'VE TALKED TO STAFF ABOUT THAT. WE'VE ALSO MET WITH I MET WITH THE PUBLIC WORKS FOLKS ALONG WITH THE MUD'S ENGINEER ON SITE.

SO A LOT OF THAT HAS BEEN DONE AND I'M HERE TO ANSWER ANY QUESTIONS THAT YOU GUYS MIGHT HAVE.

VERY GOOD. ANY QUESTIONS FROM MR. WALLACE? ALEX.

DOES THAT MEAN YOU'RE RECOMMENDING A DEFERRAL OR IS THAT? NO AND WE'VE DISCUSSED THIS WITH STAFF. SO WE'VE, WE HAVE A PROJECT THAT WE HAVE A SCOPE OF WORK WHERE.

IN THE WORKS. WE JUST WANT TO MAKE SURE THAT THEY GET DONE.

AND THERE'S AN UNDERSTANDING WHICH WE HAVE WITH STAFF THAT, YOU KNOW, WE WANT TO, WE'LL FINISH IT.

THE FUNDS ARE THERE FOR THE MUD TO PAY FOR IT.

AND I THINK WE'LL WORK OUT THE MINUTE DETAILS OF THAT.

BUT.

THE MUD, THE BETWEEN CONSTRUCTION AND PROPERTY VALUES.

THE VALUES IN THAT MUD HAVE MORE THAN DOUBLED SINCE 2020, AND THAT CREATED A SURPLUS FOR US.

NOW, ADMINISTRATIVELY, IT COSTS US ABOUT $250,000 A YEAR JUST TO OPERATE THE MUD.

SO THE BIG LOSER ARE THE ATTORNEYS AND THE ACCOUNTANTS [LAUGHTER].

I CAN GET DOWN WITH THAT. YEAH. SO AND WHAT HAS HAPPENED, BECAUSE IT'S NOT THAT WE NECESSARILY OVER COLLECTED, WHICH IS WHAT IS LEFT. AND I DON'T KNOW IF YOU GUYS DISCUSSED THIS IN YOUR WORKSHOP, BUT YOU KNOW, WE WOULD HAVE, WE WOULD END UP SPENDING A GOOD PORTION OF THE MONIES THAT ARE THERE.

SO IT'S JUST A REALLY, IT'S AN ANOMALY. THEN IT'S, I THINK TO THE BENEFIT.

[01:00:02]

I MOVED TO APPROVE. I'LL SECOND. WE HAVE A MOTION FOR APPROVAL.

COUNCILWOMAN ROBB. SECOND BY COUNCILMAN PORRETTO YES. I WANT TO POINT OUT TO YOU ALL ALSO FROM THE STATUTE THAT THIS DOES REQUIRE A TWO THIRDS VOTE TO PASS.

UPON PASSING IT, WE WOULD ASSUME ALL OF THEIR ASSETS AND LIABILITIES.

ALL RIGHT. VERY GOOD. ANY QUESTIONS OF MR. WALLACE OR TREVOR? YES. RUSTY, JUST TO BE CLEAR, YOU'RE SAYING YOU WANT TO FINISH THAT PROJECT BEFORE THE ACTUAL TRANSFER? WELL, I THINK WE'VE TALKED TO STAFF, AND I THINK THIS IS SOMETHING THAT WE CAN I THINK WE CAN DO THE TRANSFER.

WE JUST WE'RE WORKING ON AND WE DON'T HAVE A DEFINITIVE AGREEMENT ON HOW THE, THE CONTRACTS THAT WE WOULD HAVE WOULD BE ACCEPTED AND HOW THE CONTRACTOR WOULD BE PAID. SO WE'RE, WE'RE WORKING THAT WITH STAFF NOW.

SO I JUST WANTED TO STATE THAT FOR THE RECORD.

SO THERE'S NO MISUNDERSTANDING THAT. AND IT'S A BUDGETED ITEM.

OUR ESTIMATED COST IS ABOUT $140,000. HOPEFULLY IT'S LESS, BUT.

YOU'LL GOT IT WORKED OUT TO WHERE THERE'S REALLY NO IMPACT ON THE TRANSFER. THERE WOULD BE NO IMPACT OTHER THAN, YOU KNOW, THE CONTRACTOR NEEDS TO GET PAID AT THE END OF THE DAY, AND WE'RE GOING TO OVERSEE THE MUD WILL OVERSEE OR THE MUD'S ENGINEER WILL OVERSEE THE WORK.

SO THAT'S KIND OF WHAT'S GOING ON. YOU KNOW, JUST FOR THE RECORD, FOR THE PEOPLE WHO ARE WATCHING, WOULD YOU SAY WHERE THIS MUD IS? IT CONSISTS PRIMARILY OF THE HOMES THAT ARE IN SUNSET COVE AND SOME OF THE HOMES THAT ARE ALSO ALONG THE BEACH FRONT.

SO I AM GOING TO JUMP IN BEHIND YOU HERE [LAUGHTER] YES, SIR. I'M RANDY TOMLINSON, I'M THE PRESIDENT OF THE MUD OR MUD 30.

SO WE'RE OUT ON THE WEST END. SO AS RUSTY HAS EXPLAINED TO YOU, WE'VE BEEN IN THE FORTUNATE SITUATION WHERE WE HAVE HAD EXCESS FUNDS THIS PAST YEAR. WE HAD A ZERO-TAX RATE THIS PAST YEAR. AND SO WE'RE IN A POSITION WHERE WE CAN PAY OFF OUR BONDS.

HOWEVER, WE'RE ALSO IN AN AGREEMENT WITH THE CITY TO REIMBURSE US APPROXIMATELY $400,000 EVERY YEAR THROUGH 2031.

SO IT'S NOT ONLY GOING TO SAVE THE CITY THOSE FIVE SIX YEARS WORTH OF REIMBURSEMENTS, YOU ALSO HAVE ACCESS TO OUR EXCESS FUNDS CURRENTLY TODAY.

OUR BONDS WILL BE PAID OFF IN 2032. WE HAVE ABOUT $1.9 MILLION IN BONDS OUTSTANDING RIGHT NOW.

SO WE'RE IN A FORTUNATE POSITION FOR BOTH US AND THE CITY.

VERY FORTUNATE. SO THAT'S WHERE WE ARE. MY, MY WHEN YOU ASK WHEN WILL THIS BE EFFECTIVE? I GUESS THAT'S THE QUESTION. WHEN DO WE SAY THE BOARD MEMBERS CAN RESIGN? WE CUT THE LAWYERS LOOSE AND ALL OF OUR OTHER CONSULTANTS AND THE CITY TAKES OVER.

IT'S OUR PREFERENCE TO GO AHEAD, AS RUSTY SAID, TO COMPLETE ALL OF OUR REPAIRS AND MAINTENANCE THAT WE HAVE ONGOING RIGHT NOW.

WE EXPECT THAT THAT WOULD PROBABLY BE ACCOMPLISHED BY JUNE OR IN THAT EARLY TIME FRAME.

BUT I GUESS, YOU KNOW, AT WHAT POINT DO YOU BECOME SIGNATORIES ON THE BANK ACCOUNTS AND TAKE THOSE FUNDS.

THAT'S IMPORTANT TO KNOW. [LAUGHTER]. BUT I'M HAPPY TO ANSWER ANY OTHER QUESTIONS ANY QUESTIONS AT ALL? COUNCIL. THANK YOU VERY MUCH APPRECIATE IT.

WE HAVE A MOTION FOR APPROVAL AND A SECOND. ANY MORE DISCUSSION? ALL THOSE IN FAVOR? THAT IS UNANIMOUSLY APPROVED.

VERY GOOD. THANK YOU. THANK YOU. LET'S MOVE TO ITEM 11, PLEASE.

[11. CONSENT ITEMS]

ITEM 11 CONSENT ITEMS 11.A THROUGH 11.LL 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.

I WANT TO PULL 11.GG FOR SEPARATE DISCUSSION.

AND IS THERE ANY OTHER SEPARATE. ANYBODY WANT TO PULL THAT ITEM SEPARATELY? I'D LIKE TO PULL ITEM 11.A FOR DISCUSSION ALL RIGHT. WOULD LIKE TO 11.C 11.C. OKAY. VERY GOOD. I'M GOING TO MAKE A MOTION THEN FOR THE APPROVAL OF THE CONSENT ITEMS FROM 11.A TO 11.LL EXCLUDING 11.A, 11.C AND 11.GG. IS THERE A SECOND. SECOND. HAVE COUNCILWOMAN LEWIS SECOND THAT ANY DISCUSSION.

ALL THOSE IN FAVOR? THAT IS UNANIMOUSLY APPROVED.

LET'S START WITH 11.A, PLEASE. 11.A CONSIDER FOR APPROVAL EXCEPT IN THE CITY AUDITOR'S REPORT ON INTERNAL SERVICE FUNDS.

[11.A. Consider for approval accepting the City Auditor's Report on Internal Service Funds AU2026-5. (G. Bulgherini)]

BEAU YOU IN? YES. I JUST WANTED TO REVIEW WITH THE PUBLIC THAT WE HAD VERY GOOD OPEN DISCUSSION

[01:05:08]

CONCERNING THE CITY AUDITOR'S REPORT AND HIS FINDINGS.

WITH THAT DISCUSSION, THE CITY COUNCIL AND THE CITY MANAGER WILL MOVE TO CREATE POLICY THAT WILL HELP US MANAGE THE INTERNAL SERVICE FUNDS. AND JUST WANTED TO MAKE SURE THAT THE PUBLIC KNEW THAT THAT DISCUSSION HAPPENED AND THAT WAS THERE AT WORKSHOP. VERY GOOD. AND I WANTED TO THANK ON 11.A I WANT TO THANK GLENN BULGHERINI, OUR CITY AUDITOR, AND HIS STAFF FOR BRINGING THIS FORWARD AND DOING A GOOD AUDIT, AS THEY ALWAYS DO.

IT WAS VERY INFORMATIVE. IT BROUGHT UP THE TOPIC OF OUR INTERNAL SERVICES FUND AND FUND BALANCES RESERVES FOR THOSE FUNDS TO LIGHT, AND IT'S SOMETHING THAT WE'RE GOING TO GROW AND EVEN BE BETTER BY GET BETTER BY HERE AT THE CITY AS COUNCIL MEMBER RAWLINS SAID, WE'LL BE LOOKING COMING UP HERE VERY QUICKLY WITH ONE OF THESE ITEMS. ON LOOKING AT WHAT WE'RE GOING TO DO WITH SETTING POLICY FOR THIS, THAT'S GOING TO BE VERY IMPORTANT.

I'LL SECOND THAT COMMENT. THANK YOU. I'D LIKE TO GIVE A SHOUT OUT TO CARRIE AND MASHA TOO.

SO ALL THREE DID A FINE JOB. DID A VERY GOOD JOB.

ALL RIGHT. ALL THOSE IN FAVOR? WE GOT A MOTION TO APPROVE.

THAT'S RIGHT.

BEAU. AND WE HAVE A SECOND. WHO WAS THE SECOND ON THAT? COUNCILWOMAN ROBB. ALL THOSE IN FAVOR? THAT IS UNANIMOUSLY APPROVED.

ITEM 11.C PLEASE. 11.C CONSIDER FOR APPROVAL TO RECEIVE 11 SETS OF ENHANCED PROTECTION ARMORED PLATES FOR DESIGNATED SWAT OPERATORS VALUED AT

[11.C. Consider for approval to receive eleven sets of enhanced protection armored plates for designated SWAT Operators valued at $44,120.00, gifted to the Galveston Police Department by the Galveston Community Police Foundation. (D. Balli)]

$4,120. GIFTED TO THE GALVESTON POLICE DEPARTMENT BY THE GALVESTON COMMUNITY POLICE FOUNDATION.

COUNCILWOMAN ROBB. YEAH, I'LL MAKE A MOTION TO APPROVE.

AND I ALSO JUST VERY MUCH WANT TO THANK THE GALVESTON COMMUNITY POLICE FOUNDATION FOR THIS GENEROUS DONATION OF ARMORED PLATES THAT ARE SO NEEDED.

AND YET WE STILL NEED MORE. SO I WOULD LIKE EVERYONE IN THE CITY OF GALVESTON TO CONSIDER BECOMING A DONATOR OR A MEMBER OF THE GALVESTON COMMUNITY POLICE FOUNDATION, WHICH WAS FOUNDED TO ASSIST THE POLICE WITH BASICALLY THEIR WISH LIST. THINGS THAT THE CITY IS UNABLE TO FUND.

IT IS A 501C3 AND I VERY MUCH WANT TO THANK THEM FOR THEIR DONATION.

I'LL SECOND WHO WAS SECOND ON THAT? COUNCILWOMAN. COUNCILMAN RAWLINS. OKAY. SECOND ALL RIGHT. VERY GOOD. WE'LL FIGHT OVER THAT. SO.

VERY GOOD. WE HAVE A MOTION AND A SECOND ON THAT.

ALL THOSE IN FAVOR OF 11.C THAT IS UNANIMOUSLY APPROVED.

ITEM 11.GG. THANK YOU. ITEM 11.GG CONSIDER APPROVAL OF THE FUND BALANCE POLICY.

[11.GG. Consider approval of the Fund Balance Policy. (C. Ludanyi)]

WE HAD DISCUSSED THIS AT LENGTH AT CITY COUNCIL AND HAD A VERY GOOD DISCUSSION.

COUNCILMAN PORRETTO HAS RESEARCHED THIS THOROUGHLY AND I'M GOING TO TURN TO HIM AND LET HIM GIVE US A MOTION ON THAT.

I'D LIKE TO MAKE. I'D LIKE TO MAKE A MOTION TO DEFER ITEM 11.GG FOR A FUTURE DATE TO BE BROUGHT UP BY CITY COUNCIL.

I'LL SECOND THAT. WE ALL SECOND I GUESS THIS OPENS UP DISCUSSION. IT DOES YES.

SO THIS FUND BALANCE POLICY AND WAS BROUGHT UP BY THE AUDIT OF THE COST SAVING MEASURES FOR THE INTERNAL SERVICE FUNDS. I THINK IT POINTED OUT THAT CONTROLS ARE IN A BETTER PLACE THROUGH THE RESEARCH THAT BEAU AND MARIE AND MYSELF HAVE, HAVE ACCOMPLISHED.

I THINK IT REALLY DOES A SERVICE TO THE TAXPAYERS TO CLEARLY UNDERSTAND HOW MUCH IN RESERVES THAT WE DO NEED HOW MUCH IS APPROPRIATE. AND I THINK WHAT WE HAVE AGREED ON IS THAT THE MAYOR MIGHT LIKE 120 DAYS AND I MIGHT LIKE 30 DAYS.

AND CSILLA'S COMFORTABLE WITH 30 DAYS, BUT I MIGHT WANT A LITTLE MORE.

AND INSTEAD OF GOING BACK AND FORTH CONSTANTLY TO FIGURE OUT, YOU KNOW, THIS 4 VOTES WHEN TO,

[01:10:02]

YOU KNOW, WHO WINS OUT ON THE ARGUMENT. IT SHOULDN'T BE AN ARGUMENT WHEN WE'RE TALKING ABOUT TAXPAYER DOLLARS, WE SHOULD REALLY GO OUT. AND I THINK THE NEXT COUNCIL SHOULD REALLY IDENTIFY A SCOPE OF WORK FOR A FIRM TO COME IN AND DO AN ANALYSIS ON ALL OF OUR FUNDS AND THE POLICIES THAT WE HAVE IN RESERVES.

AND I THAT'S THE REASON WHY I WANTED TO DEFER THIS ITEM.

AND I THINK IT'S AN APPROPRIATE DEFERRAL BECAUSE WE HAVE ALL HAVE IDEAS OF, OF HOW WE DO THINGS.

THE ONLY THING THAT'S VERY, VERY CLEAR IS THAT WE NEED TO KEEP 90 DAYS IN OUR GENERAL FUND RESERVE BY THE CHARTER.

AND I THINK WE COULD USE A LITTLE MORE CLARITY AND HAVE A PROFESSIONAL COME IN AND GIVE US THE HARD LINE DATA NUMBERS THAT COULD IDENTIFY THE AMOUNTS. BOB. YEAH, IT WAS A LOT. IT WAS A COMPLICATED TOPIC AND A LOT.

THERE'S A LOT TO IT, A LOT OF MOVING PARTS. BUT IN THE END, IT HAS TO DO WITH THE MOST EFFICIENT WAY OF USING OUR MONEY AND THE BEST PRACTICES, AND AT THE SAME TIME, KEEPING ENOUGH RESERVES TO BE ABLE TO GET US THROUGH ANY, ANY CONTINGENCIES.

YOU KNOW, WE'RE PRETTY VULNERABLE HERE ON THE COAST, AND WE WANT TO MAKE SURE THAT WE CAN WE'VE GOT THE ABILITY TO SEE THROUGH ANY CONTINGENCIES THAT HAPPEN. IT'S KIND OF WHAT THIS IS ABOUT IS, IS MAKING SURE WE HAVE THAT SAFEGUARD.

PLUS WE'RE USING OUR MONEY AS, AS EFFICIENTLY AS POSSIBLE FOR THE TAXPAYER.

AND EVERYBODY IN THE ROOM IN THE WORKSHOP AGREED ON THAT.

AND I THINK AND SO WE'RE JUST GOING TO DIG A LITTLE BIT DEEPER.

YOU KNOW, WE DON'T HAVE THE TIME OR THE EXPERTISE TO GET TO THE BOTTOM OF EVERYTHING, BUT WE'RE GOING TO HIRE SOMEBODY THAT WILL AND THEY'LL, THEY'LL BRING US SOME OPTIONS. AND WITH THE METHODOLOGIES ALL BEHIND THEM IN THE BACKGROUND AND GIVE US ALL THE DECISION READY DOCUMENTS, WE NEED TO MAKE THIS DECISION THE NEXT TIME. I WANT TO MAKE.

GO AHEAD, BEAU. I JUST WANT TO MAKE SURE THAT AS FAR AS THAT STATEMENT, BOB, THAT WE WANT TO.

I WANT TO MAKE SURE THAT IT'S AN UNDERSTANDING BY ME THAT IT'S NOT OUR MONEY.

IT'S THE TAXPAYERS MONEY. AND WE'RE JUST DOING OUR BEST TO MANAGE IT IN THE MOST EFFICIENT WAY POSSIBLE.

THAT'S RIGHT. I'M GOING TO MAKE A COMMENT. I MADE THIS EARLIER AT THE WORKSHOP.

YOU KNOW THIS, THESE DECISIONS SETTING THIS POLICY IS VERY IMPORTANT FOR THE COMMUNITY AND FOR THE CITY.

WE DO WELL WITH THE MANAGEMENT OF OUR FINANCES, BUT OCCASIONALLY WE CAN SEE WHERE WE CAN DO EVEN BETTER.

AND SETTING A POLICY TO MANAGE THESE FUND BALANCES OR RESERVES IS VERY, VERY IMPORTANT TO MOVING FORWARD, NOT ONLY FROM AN ACCOUNTING STANDPOINT, BUT FROM A TRANSPARENCY STANDPOINT.

I PERSONALLY FEEL WE HAVE SOME CANDIDATES IN THE AUDIENCE HERE THAT ARE RUNNING FOR CITY COUNCIL.

WE HAVE PEOPLE HERE AT THE DAIS THAT'S RUNNING AGAIN FOR CITY COUNCIL.

THIS IS GOING TO BE A DECISION ON THIS POLICY THAT WILL HAVE IMPLICATIONS ON THE BUDGET THAT'S COMING UP THAT THE NEW CITY COUNCIL WILL TAKE ON.

AND SO BECAUSE OF THAT, I THINK IT'S VERY IMPORTANT THAT A NEW CITY COUNCIL, WHOEVER IS ELECTED TO CITY COUNCIL, THEY ADDRESS THIS. AND THAT'S WHAT WE'RE DOING.

WE'RE SETTING THE STAGE FOR THE NEW CITY COUNCIL TO STEP FORWARD AND MOVE FORWARD WITH SOME OF THE THOUGHTS THAT WE'RE LEAVING WITH YOU TODAY.

ALL RIGHT. LET'S GO AHEAD. AND ALL THOSE IN FAVOR.

THAT IS UNANIMOUSLY APPROVED. THANK YOU VERY MUCH.

LET'S MOVE TO OUR ACTION ITEMS 12.A, PLEASE. 12.A DISCUSS AND CONSIDER A MOTION DIRECTING THE CITY MANAGER TO REISSUE RFP FOR THE RESTORATION OF THE TEXAS

[12.A. Discuss and consider a motion directing the City Manager to Reissue RFP for the Restoration of the Texas Heroes Monument (Porretto/Rawlins/Robb)]

HEROES MONUMENT. YOU KNOW, THIS IS AN ITEM THAT A LOT OF OUR ITEMS THAT WE HAVE DISCUSSION BECAUSE THERE'S A DIFFERENCE OF OPINION. THIS IS ONE ITEM THAT EVERY COUNCIL MEMBER IS BEHIND 110%.

AND I'M GOING TO TURN THIS OVER TO COUNCILMAN PORRETTO.

I'D LIKE TO MAKE A LIKE TO MAKE A MOTION TO APPROVE ITEM 12.A.

SECOND IT WAS MENTIONED BY MEMBERS. THIS MONUMENT HERE IS ICONIC TO GALVESTON.

AND THIS MONUMENT HERE REPRESENTS GALVESTON. I DON'T CARE WHO OWNS IT.

I DON'T CARE THAT WHAT THE SITUATION IS. WE NEED TO WORK OUT A METHOD AND WE'RE DOING THAT WITH COUNCILMAN PORRETTO'S MOTION.

WE NEED TO WORK OUT A METHOD TO TAKE CARE OF THIS BECAUSE IT'S A MEMBER OF OUR FAMILY.

WE'VE GOT TO MAINTAIN THAT IN THE BEST POSSIBLE CONDITION.

OKAY.

AND A LOT OF US TOO ABOUT THE ONGOING MAINTENANCE BECAUSE WE DON'T WANT TO HAVE TO HAVE A 10 YEAR GAP OF SPENDING COME BACK AND SOMETHING,

[01:15:08]

YOU KNOW, FINGERS MISSING OR SOMETHING OF THE SORT.

NOT THAT A FINGER IS MISSING ON IT, BUT THE, THE ADC, WHICH WAS THE CULTURAL ARTS COMMISSION AND THE HISTORIC PRESERVATION ARTS AND HISTORIC PRESERVATION BOARD COMBINED INTO THE ARTS DEVELOPMENT COMMISSION.

THOSE HAVE BEEN ONGOING TALKS RIGHT NOW TO WORK OUT A LONG-TERM MAINTENANCE AND IDENTIFICATION PLAN NOT ONLY FOR OUR PUBLIC ART, BUT ALSO INCLUDING OUR MONUMENTS AS WELL, WHICH IS A FORM OF HISTORICAL PUBLIC ART.

SO WE ARE WORKING WITH THE HOUSTON ENDOWMENT.

WE APPLIED FOR A GRANT FOR THAT FOR THE NON-CITY OWNED SIDE OF THINGS.

AND THEN FOR THE CITY OWNED THINGS, WE HAVE THE ABILITY TO USE HOT TAGS FOR THE IDENTIFICATION, WHICH MEANS GIS LOCATION. I THINK BOB BROUGHT UP A GOOD POINT.

SOME OF THE MONUMENTS COULD BE MOVED TO BETTER HIGHER TRAFFIC LOCATIONS SO THEY CAN GET THE APPRECIATION THAT THEY, THEY DESERVE. BUT WE, THE CITY IS CURRENTLY ONGOING.

THESE BOARDS ARE CURRENTLY ONGOING AND GOING TO GIVE RECOMMENDATIONS TO CITY COUNCIL TO DO THESE BIGGER PROJECTS THAT REQUIRE THE TIME.

THE CONSERVATIONISM AND REALLY DIGGING INTO WHO OWNS IT.

THAT'S ANOTHER THING. ME AND MS. POLK SPOKE A LOT ABOUT THE OWNERSHIP.

SHE DID HER OWN RESEARCH AND IT KIND OF THERE'S KIND OF A GAP THROUGH SOME OF IT.

WE DO KNOW HENRY ROSENBERG GAVE US THE 50 GRAND BACK IN, YOU KNOW, LONG TIME AGO.

AND, YOU KNOW, THIS IS, THIS IS SOMETHING THAT I THINK ALL OF COUNCIL WOULD APPROVE.

I'M NOT SPEAKING FOR COUNCIL, BUT WE DO WANT TO TAKE OWNERSHIP OF THE MONUMENT.

AND IF WE DO THAT, I THINK WE CAN GET A LOT OF PEOPLE ON BOARD.

AND REALLY MAKE IT THE CENTER OF THE, YOU KNOW, REPUBLIC OF, OF TEXAS' HISTORY IN GALVESTON.

SO THANK YOU. JUST WANTED TO ADD TO THAT, WE WERE LIMITED IN THE FACT THAT WE COULD ONLY TALK ABOUT THIS MONUMENT TODAY BECAUSE IT WAS HOW THE AGENDA WAS PUBLISHED. BUT WE FEEL THIS PASSIONATE ABOUT ALL OF OUR MONUMENTS.

SO ALTHOUGH THIS MOTION JUST LISTED THE ONE AND JANELLE TOLD US WE COULDN'T ADD THE OTHER ONES.

WE PLAN TO TAKE CARE OF ALL OF THE MONUMENT. YEAH, I AGREE.

EVERYBODY SAID THAT. AND IT'S TRUE THAT WE ALL AGREE THAT THE TEXAS HEROES MONUMENT.

IT IS THE MOST IMPORTANT MONUMENT IN TOWN. IN FACT, GALVESTON HISTORICAL FOUNDATION SAYS IT'S UP THERE WITH THE CENOTAPH IN SAN ANTONIO AND THE DALLAS STATE FAIR. IT'S RIGHT UP THERE. IT'S THE TOP THREE IN THE STATE, AND IT DESERVES THE BEST WE CAN GIVE IT.

AND SO DO ALL THE OTHER MONUMENTS. I'VE COUNTED IN MY RESEARCH, AT LEAST 12 RIGHT NOW, THAT THAT ARE PUBLIC MONUMENTS THAT THE CITY MAY OR MAY NOT HAVE THE RESPONSIBILITY TO TAKE CARE OF, BUT THEY ARE IMPORTANT HISTORICAL MONUMENTS.

THEY TELL THE STORY OF OUR CITY AND THROUGH THESE MONUMENTS.

AND SO IN THE NEXT MEETING, I'M GOING TO BE BRINGING A MOTION TO DIRECT THE STAFF TO DEVELOP A PLAN FOR ALL OF THOSE MONUMENTS, HIRE A CONSULTANT TO DO AN ASSESSMENT OF ALL OF THEM.

WHAT'S THE BEST PRACTICES, WHAT ARE THE PRIORITIES? AND WE'LL GET A SYSTEM IN PLACE LIKE A LOT OF OTHER CITIES, PHILADELPHIA DOES THIS.

A LOT OF OTHER CITIES TO HAVE A REGULARLY SCHEDULED BUDGET ITEM TO TAKE CARE OF ALL OF OUR PUBLIC MONUMENTS.

ANY FURTHER COMMENTS? ALL THOSE IN FAVOR? THAT IS UNANIMOUSLY APPROVED.

THANK YOU VERY MUCH. ITEM 12.B, PLEASE. ITEM 12.B CONSIDER FOR ACTION IF NECESSARY.

[12.B. Consider for action, if necessary, a motion giving direction to staff related to litigation as discussed in Executive session. (Rawlins/Robb)]

A MOTION GIVING DIRECTION TO STAFF RELATED TO LITIGATION AS DISCUSSED IN EXECUTIVE SESSION.

ARE THERE ANY MOTIONS COUNCIL? LET'S MOVE TO ITEM 12.C PLEASE.

[12.C. Discuss and consider appointments to the following City boards, commissions, and committees: 1. Ethics Commission - Districts 4, 5, and 6 2. Finance, Fiscal Affairs, and Investment Committee - District 3 3. Galveston Island Redevelopment Authority 4. Parks and Recreation Advisory Board - District 6 5. Tax Increment Reinvestment Zone No. 13]

ITEM 12.C DISCUSS AND CONSIDER APPOINTMENTS TO THE FOLLOWING CITY BOARDS, COMMISSIONS AND COMMITTEES.

WE HAVE THREE POSITIONS ON THE ETHICS COMMISSION.

WE HAVE. [LAUGHTER] THAT WAS QUICK. WE HAVE DISTRICT 4.

ALEX, DO YOU HAVE ANYONE? I HAVE AN APPLICANT.

THEY NEED TO FILE THEIR PAPERWORK AND WE WILL PUT THEM ON THE NEXT MEETING FOR APPROVAL.

ALRIGHTY. DISTRICT 5, BEAU. SAME RESPONSE OKAY. YOU'VE GOT WE'LL PUT THAT ON FOR THE NEXT MEETING.

DISTRICT 6. AND I'M GOING TO MOVE MINE TO THE NEXT MEETING AS WELL.

OKAY. WE'LL MOVE THAT TO THE NEXT MEETING THEN.

FINANCE FISCAL. FISCAL AFFAIRS INVESTMENT COMMITTEE, DISTRICT 3, BOB.

[01:20:01]

YES. I'D LIKE TO NOMINATE BRIAN KELLY. HE'S A CPA.

HE'S BEEN A CPA FOR 46 YEARS. HE OWNS HIS OWN BUSINESS HERE.