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[CALL TO ORDER]

[00:00:02]

REALLY? GOOD AFTERNOON. TODAY IS TUESDAY, DECEMBER 6TH YEAR, 2022 WERE IN COUNCIL CHAMBERS AT 2 22 NORTH TENNESSEE STREET. IN THE CITY OF MCKINNEY, TEXAS, AND FIRST ORDER BUSINESSES, PUBLIC COMMENTS OF WHICH I DO NOT SHOW ANYONE WHO'S SIGNED UP. WE WILL MOVE ON TO INFORMATION SHARING.

[Proclamation for City of McKinney Employee Learning Week]

THE FIRST ITEM IS A PROCLAMATION FOR CITY OF MCKINNEY EMPLOYEE LEARNING WEEK.

YOU'RE ON YOUR OWN. CITY OF MCKINNEY PROCLAMATION, WHEREAS THE ASSOCIATION FOR TALENT DEVELOPMENT HAS DECLARED DECEMBER 6TH THROUGH THE 10TH AS EMPLOYEE LEARNING WEEK, WHEREAS THE CITY OF MCKINNEY INTERNAL LEADERSHIP PHILOSOPHY RECOGNIZES THAT EMPLOYEES ARE THE ORGANIZATION'S MOST VALUABLE ASSET. WHEREAS UNLEASHING THE FULL POTENTIAL OF ENGAGED AND TALENTED INDIVIDUALS WITHIN THE ORGANIZATION HELPS THE CITY ACHIEVE ITS STREETS, ITS STRATEGIC PRIORITIES. AND WHEREAS A STAFF THAT CONTINUES TO GROW AND LEARN IS BETTER PREPARED TO FIND A NEW AND CREATIVE WAY TO BETTER SERVE THE CITIZENS OF OUR COMMUNITY. AND WHEREAS THE CITY OF MCKINNEY'S CULTURE HIGH PERFORMANCE STRIVES TO DEVELOP LEADERS AT ALL LEVELS OF THE ORGANIZATION WHEREAS THE CITY IS AUTHENTICALLY COMMITTED TO DEEPENING THE WIDESPREAD UNDERSTANDING OF THEIR UNIFYING CORE VALUES OF RESPECT, INTEGRITY, SERVICE AND EXCELLENCE. AND WHEREAS THE CITY OF MCKINNEY PROVIDES EMPLOYEES WITH MORE THAN 70 CLASSES, WORKSHOPS AND SEMINARS EACH YEAR FOR THEIR PROFESSIONAL GROWTH NOW, THEREFORE, I GEORGE FULLER, BY THE POWER VESTED IN ME AS MAYOR OF THE CITY OF MCKINNEY, TEXAS, TO HEREBY PROCLAIM THE WEEK OF DECEMBER 6TH THROUGH 10TH 2020 TO A CITY OF MCKINNEY EMPLOYEE LEARNING WEEK IN MCKINNEY, TEXAS, WITNESSED MY HAND AND SEAL THIS DECEMBER 6TH 2022. WELL THANK YOU, MR MAYOR.

AND UM IN THE CITY MCKINNEY. WE'RE VERY PROUD OF THE TRAINING PROGRAMS, THE QUALITY TRAINING PROGRAMS WE OFFER ALL OF OUR EMPLOYEES. AND THE CULTURE OF LEARNING AND CONTINUOUS GROWTH THAT WE'VE CREATED OVER THE LAST FIVE OR SIX YEARS. AND ALONG THE WAY WE ARE SORT OF, I THINK, HELPING TO SET THE CITY APART. AND PREPARE OUR EMPLOYEES FOR SUCCESS AND, MORE IMPORTANTLY, HELP MAKE SURE THAT THEY'RE DOING THE VERY BEST JOB POSSIBLE SUPPORTING THE CITIZENS IN OUR COMMUNITY, WHICH IS WHY WE EXIST . NONE OF WHAT WE'RE DOING WOULD BE POSSIBLE. WOULDN'T BE POSSIBLE WITHOUT GREAT SUPPORT FROM YOU, MR MAYOR AND THE ENTIRE COUNCIL. SO THANK YOU.

AND THE SAME THING APPLIES TO OUR CITY MANAGER, MR GRIMES. SO THANK YOU, SIR. AND I WANT TO SINGLE OUT THIS GUY ON MY RIGHT HERE. JOHN CUNNINGHAM, THE CITY'S TRAINING ADMINISTRATOR.

ABSOLUTELY NOTHING THAT WE'RE DOING THE CITY WOULD BE POSSIBLE WITHOUT THE GREAT WORK OF JOHN CUNNINGHAM, WHO'S BEEN UNDER STAFF NOW FOR ABOUT FIVE YEARS AFTER 13 YEARS WORKING AT THE DISNEY CORPORATION, DOING SORT OF GOLD STANDARD CUSTOMER SERVICE AND TRAINING AT DISNEY, SO THANK YOU TO JOHN FOR ALL YOU'RE DOING. APPRECIATE IT. JUST A PICTURE OF QUICK BUT SHE HAS A FORMAL COPY.

MAKE IT HAVE PAINFUL WILLS. MY. ALRIGHT. NEXT ORDER OF BUSINESS IS TO DISCUSS REGULAR MEETING AGENDA ITEMS IF THE ANYONE ON COUNCIL HAS AN ITEM THAT WE'D LIKE TO DISCUSS WITH STAFF. HERE PRIOR TO OUR MEETING AND VOTE TONIGHT. ANYTHING ANYONE LIKE TO DISCUSS. SEE NONE WILL MOVE TO

[Discuss City Refuse Rates and Upcoming Request For Proposal]

OUR WORK SESSION ITEMS 221099 DISCUSSED CITY REFUSE RATES AND UPCOMING REQUEST FOR PROPOSAL.

MR TILTON. GOOD AFTERNOON, MR MAYOR. VERY MUCH. ON THE WORK SESSION. REALLY NEW TONIGHT WORK. RAIDS AS WELL AS SOME ENCLOSURE LOCATION. ON THE FIRST THREE. OUR BOY HERE, CONTRACTUALLY OBLIGATED.

[00:05:02]

NUMBER FOUR IN THE AGENDA. THE LAST TIME WE TALKED WAS IN JULY. I WAS ACTUALLY PURCHASED I JUST WAS. AND FINALLY GET. OTHER WASTE MANAGEMENT PLAN. SO. LATER.

THE FIRST ONE IS SERVICE. I'M SURE THE COUNCIL RECALLS WHEN WASTE CONNECTIONS. ABOUT TWO YEARS AGO AT THIS POINT IN TIME. THE CITY COUNCIL ADOPTED IN 25% INCREASE IN COMMERCIAL SERVICES.

AT THAT POINT IN TIME, WE FOUND THAT WE WERE ABOUT 40% BELOW THE MARKET. 25% WAS TO BE SPLIT OVER A THREE YEAR PERIOD. THE FIRST UNIT. YOU SEE THEIR JULY 1 2021. JANUARY 1 2022 HAVE OBVIOUSLY ALREADY BEEN IMPLEMENTED. THE DIRECTION OF THAT TIME TO PASS ALONG. THOSE INCREASES TO THE BUSINESS OWNERS. THIS IS THE FINAL 5% OF THAT NEGOTIATED INCREASES. 25% INTO EFFECT JANUARY ONE. 23 I JUST WANT TO REITERATE FOR THE COUNCIL. YOU DO NOT PASS THAT ON. COMMERCIAL CUSTOMERS. THE CITY WILL HAVE TO ABSORB THAT COST AFTER NOT RECOMMEND THAT IT'S STILL VERY COMPETITIVE. WE'RE STILL UNDER THE MARKET IN THOSE RATES. STAFF WOULD RECOMMEND PASSING OUT THAT 5% ON WHEN YOU SAY WE'RE STILL UNDER THE MARKET, THAT MEANS WE'RE STILL SUBSIDIZING THE CITY IS SUBSIDIZING. NO, SIR. WHAT I MEANT BY THAT IS IF WE WERE TO DO A MARKET SURVEY EVEN IF PASSING ON THIS ADDITIONAL 5% THE COMMERCIAL RATES THAT ARE BUSINESSES ARE PAYING ARE STILL COMPETITIVE, IF NOT UNDER WHAT AREA BUSINESSES ARE PAYING FOR THEIR RESPECTIVE EQUAL SERVICES.

SO WE ARE SUBSIDIZING THE DOWNTOWN. I WANT TO MAKE SURE THAT CLEAR ABOUT THAT. BUT THESE ARE THESE ARE COMMERCIAL SERVICES, NOT IN THE DOWNTOWN. WE HAVE NOT HISTORICALLY, NOR WOULD YOU BE SUBSIDIZING AS LONG AS YOU'RE PASSING ON THIS PARTICULAR 5. SO YOU SAID THREE YEARS AGO, WE WERE HOW FAR BEHIND NOT BEHIND. I MET UNDER MARKET MARKET BECAUSE WE WERE UNDER CONTRACT WITH WASTE CONNECTIONS, CONTRACTUALLY OBLIGATED. THEY WERE TO PROVIDE THE SERVICE. WE HAVE GONE THROUGH WITH A RATE STUDY THEIR ANALYSIS OF THEIR CLAIMS ON WHAT THEY WERE LOSING THINGS OF THAT NATURE. IT WAS THE COUNCIL'S DETERMINATION TO SAY, EVEN THOUGH WE'RE CONTRACTUALLY OBLIGATED WE THINK IT'S FAIR. IT'S GOOD BUSINESS TO KEEP ALL KIND OF ALL PARTIES HERE AND FAIR ATMOSPHERE TO GRANT YOU A 25% INCREASE ON THE COMMERCIAL SIDE, AND THAT WAS BROKEN OUT OVER THREE YEAR PERIOD. UM THIS SLIDE HERE IS REALLY INTRODUCING SOME NEW OPTIONS. ZERO COST TO THE CITY. WHAT YOU SEE THERE IN LIGHT GREEN? OUR RECYCLING SERVICES ON THE COMMERCIAL SIDE. THEY'RE ALREADY OFFERED. SO BASICALLY WHAT YOU SEE IS THE SIZE OF THE RECYCLING BANNER ENCLOSURE AND THE NUMBER OF TIMES THAT ITS SERVICE PER WEEK WHAT WASTE CONNECTIONS AS SEEN FROM THE CUSTOMER BASE IS A REQUEST TO HAVE A LITTLE MORE FREQUENCY AND SOME OF THOSE, SO WHAT WE'VE DONE IS WORKED WITH OUR CONSULTANT, THE CITY'S CONSULTANT BURNS AND MCDONALD. TWO PRICES ACCORDINGLY. SHOULD THE COUNCIL WANT TO PASS BASICALLY ADOPT THOSE THAT THOSE ARE JUST OPTIONS FOR OUR BUSINESS, COMMUNITY AND STAFF'S OPINION? THERE'S NO REASON NOT TO DO THIS. IT JUST ALLOWS THEM MORE OPTIONS. THEY WILL STILL SELECT AND CONTRACT DIRECTLY WITH WASTE CONNECTIONS FOR THE SERVICES, BUT THEY'RE PRICED ACCORDINGLY AND IN LINE WITH RATES THAT HAD ALREADY BEEN REVIEWED. BY THE CITY COUNCIL.

THE NEXT ONE IS FOR RESIDENTIAL RATES. WE'VE TALKED ABOUT COMMERCIAL UM, ONE OF THE THINGS THAT WAS PART OF THE RENEGOTIATION WITH WASTE CONNECTIONS IS WE ALLOWED THEM TO HAVE A C P. I INCREASE EACH YEAR, SO WE HAVE INFORMATION ON THE 2022 RATE IS A 3.97% INCREASE TO THE CONTRACTORS PORTION OF THE RATE 2023. I WANT TO BE CLEAR ABOUT WHAT THIS MEANS, WHERE IT SAYS ESTIMATED THERE ON THE SECOND MAIN BULLET POINT. PER THE CONTRACT. IT IS THE JANUARY CPI OF ANY GIVEN YEAR THAT WE BASICALLY INCREASE ON SO OBVIOUSLY WE DO NOT HAVE THE 2023 C P I INCREASE YET THE OCTOBER ONE IS 5.84% SO GIVEN THE ENVIRONMENT, IT'S PROBABLY GOING TO BE IN THAT 5 TO 6% RANGE COME JANUARY, AND I WANTED TO GET SOME FEEDBACK FROM THE COUNCIL ON IF THOSE RESIDENTIAL RATES SIMILAR TO COMMERCIAL SHOULD BE PASSED ON, WE WILL BE PAYING THE CONTRACTOR THAT 2022 C B INCREASE. UM WE WILL BE PAYING THE 2023 C P INCREASED

[00:10:06]

WHATEVER FINAL AMOUNT THAT IS AGAIN IN THAT 5.84% RANGE. EVEN IF WE HAD IT, BOTH OF THOSE TOGETHER. IT'S A 90. 96 CENT INCREASE OR A 9.81% INCREASE IN THE CHART AT THE BOTTOM HERE, THE SLIDE WHICH SHOW THAT WE WOULD STILL BE IN SECOND PLACE IN TERMS OF BEST PRICING FROM ARE COMPARABLE COMMUNITIES. THE CITY OF ALLEN, UM, IS PLANNING ON ANOTHER INCREASE IN 2023 AS WELL, UM, FROM A STAFF PERSPECTIVE, I WOULD RECOMMEND THAT THE CITY PASS THESE ALONG IN LARGE PART BECAUSE WE HAVE ALL SEEN WHEN WE ISSUE OUR FB PRICING FOR MOST THINGS, UNFORTUNATELY, IS GOING UP. AND WHEN WE GET THAT PRICING IN SIX MONTHS FROM NOW I AM SUSPECTING THAT WILL BE HIGHER THAN WHAT WE'RE CURRENTLY PAYING, AS WELL AS EVERY OTHER COMMUNITY THAT HAS GONE ON TO RFP. YOU KNOW, IN THE LAST SEVERAL YEARS, PRICING IS UP, AS YOU CAN CERTAINLY SEE FROM SOME OF OUR SISTER CITIES THAT HAVE BEEN OUT TO RFP MORE RECENTLY. AND WHAT SOME OF THAT PRICING HAS BEEN. STEVE IS YEAH . YEAH, I THINK YOU ANSWERED MY SECOND QUESTION. BUT MY FIRST QUESTION IS IN OUR CITY WHERE I THINK THIS MAINLY LOOKS LIKE IS A BIG GREEN BEEN IN A SMALLER BLUE BIN FOR RECYCLED ONCE A WEEK. IS THAT WHAT THESE SISTER CITIES GET TO OR DO THEY HAVE A DIFFERENT, BETTER OR WORSE LEVEL OF SERVICE THAN WHAT WE HAVE AS AN EXAMPLE, I WOULD SAY GENERALLY, AND IT'S SPEAKING EQUIVALENT AS ONE EXAMPLE AND ONE OF THE REASONS WHY THE CITY OF ALLEN IS A LITTLE BIT LESS. THEY HAVE THE SAME TYPE OF SERVICE, BUT THEY'RE RECYCLING IS ONLY PICKED UP EVERY OTHER WEEK. THERE'S NOT A LITTLE BIT LESS. THIS IS A LITTLE BIT MORE.

MY MISSING THAT WHO DID NOT FOR THE INCREASING OKAY, BUT THAT WAS THE SECOND PART IS THAT THESE OTHER CITIES ARE PROBABLY FACING AN INCREASE LIKE WE ARE ABSOLUTELY ESPECIALLY IF THEY HAVE NOT GOT TO THERE ARE THERE ARE PEOPLE YET WHEN THEY GET TO IT. I MEAN, MAYBE THEY'RE GONNA PULL SOME MAGIC OUT. BUT I DON'T. I DON'T THINK SO. THEY'RE PROBABLY GOING TO SEE THE INCREASES AS WELL. MAYBE THAT'S WHAT HAPPENED TO RICHARDSON. RIGHT JUST RECENTLY HAD TO REDO IT. OKAY. ALL RIGHT. THANK YOU FOR THAT. UM NEXT COUPLE SETS OF SLIDES HERE IS ON OUR CURRENT DUMPSTER ENCLOSURES. THIS IS NOW SHIFTING A LITTLE BIT MORE SPECIFIC TO THE DOWNTOWN AREA.

WE CURRENTLY HAVE FOUR LOCATIONS AS YOU CAN SEE ON THE MAP IN THE UPPER RIGHT HAND CORNER OR NORTHWEST CORNER THAT IS CENTRAL PARK AT HERNDON AND WOOD STREET . THAT WAS ONE LOCATION THAT WE HAD RECOMMENDED TO THE CITY COUNCIL TO POTENTIALLY LOOK TO PUT ANOTHER ENCLOSURE LOCATION.

WE CURRENTLY OBVIOUSLY DID A CENTRAL PARK, SO IT'S IN OUR PARK SYSTEM. APPRECIATE DIRECTOR KOWSKI AND RYAN WILLINGHAM AND ERIC WORKING TOGETHER. WE HAVE A PLAN THAT IS A VIABLE SITE FOR AN ADDITIONAL ENCLOSURE. I'LL HAVE A RENDERING OF IT HERE IN JUST A SECOND, BUT I THINK THAT IS A GOOD NEWS STORY BASED ON THE PREVIOUS DIRECTION FROM THE COUNCIL, ONE THAT'S NOT QUITE AS CLEAN CURRENTLY WEST OF THIS BUILDING IS OUR EXISTING ALCOHOL . IT'S CITY HALL ENCLOSURE LOCATION. WE CURRENTLY RENT THAT LOCATION. AT LEAST EXCUSE ME EAST AND IT IS ABOUT $5000 A YEAR FOR US TO LEASE IT. ONE OF THE PIECES OF DIRECTION FROM THE COUNCIL WAS THAT WE WANTED TO SEE IF WE COULD PURCHASE THAT. THE WOMAN THAT OWNS IT DOES NOT HAVE AN INTEREST IN SELLING IT ARE CURRENTLY THERE RUNS OUT AND APRIL OF 2023. SO WE'RE GOOD UNTIL AT LEAST THEN. AFTER THAT, WE START TO RUN A RISK IF SHE EVER DECIDES NOT WANT TO RENEW THAT LEAST STAFF LOOKED AT A COUPLE OPTIONS IN THE AREA AND THERE IS ONE POTENTIAL LOCATION. UM AND YOU'LL SEE IT HERE ON THE MAP. IT IS BASICALLY IN THE PARKING LOT NORTH AND EAST OF CITY HALL AT THE CORNERS OF JOHNSON AND HUNT. UM IT'S BASICALLY THE BACK END OF THE FIRE DEPARTMENT AUTHORS THE FIRE DEPARTMENT LOT, AND THEN THERE'S ADDITIONAL PARKING LOT BEHIND THAT WE WOULD HAVE THE ABILITY TO PUT A DUMPSTER LOCATION IN THERE. IF YOU'D LIKE TO. THIS IS GOING BACK TO CENTRAL PARK. THIS PARTICULAR ONE IS 265 FT. NORTH. THE EXISTING LOCATION THAT WE HAVE HERE AT CITY HALL IS OUR PROPERTY. WE'VE TALKED WITH PLANNING. ONE COULD GO THERE IF THAT WOULD BE ACCEPTABLE, UM TO THE CITY COUNCIL. BUT OBVIOUSLY WE WANTED TO GET YOUR FEEDBACK THERE BECAUSE THIS IS NOT QUITE WHAT THE ORIGINAL PLAN WAS. AT THE LAST TIME WE DISCUSSED THIS SAVES US $5000. IT'S NOT SO MUCH , BUT YES, IT WOULD. WE WOULD HAVE THE WE WOULD HAVE A COST OF PUTTING IN THE ACTUAL ENCLOSURE.

BUT WE WOULD NOT NEED TO AT LEAST THIS ON AN ANNUAL BASIS. HOW MUCH FURTHER IS IT STEVE THAN THE CURRENT LOCATION AND 65 FT. THAT'S FROM CURRENT CITY HALL FROM THE CURRENT DUMPSTER LOCATION, OKAY, I'M SORRY. I THOUGHT IT WAS CITY HALL. SO IT'S A LITTLE BIT FARTHER. UM THIS ACCESS DRIVE. YOU'RE LOOKING EAST. ONE OF THE REASONS THAT THIS PARTICULAR SITE WAS SELECTED. WE'VE ALSO WORKED WITH WASTE CONNECTIONS OR WHETHER IT BE WASTE CONNECTIONS OR DIFFERENT HALLER. AFTER WE GO TO THE RFP PROCESS, THIS SITE COULD BE SERVICED LACK OF A BETTER TERM FAIRLY EASILY BY ANY OF THE CONTRACTORS DO MOST PEOPLE TAKE THEIR TRASH TO THESE DUMPSTERS.

[00:15:06]

SIT IN THE BACK OF THEIR PICKUP BACK OF THEIR CAR. JUST ARE THEY'RE NOT WALKING. WHAT HOW DO THEY WOULD SAY HOW THEY THROW THIS AWAY? YES AND YES, ALL OF THE ABOVE. I THINK BASED ON THE LOCATION THAT THAT A BUSINESS OWNER, MAYBE TO THE EXISTING DUMPSTER. IN THIS CASE, I'VE SEEN PEOPLE DRIVE A PICKUP TRUCKS. I HAVE PEOPLE WALK. THERE ARE ALSO WANT TO BE I GUESS I'LL CALL IT A CART. BECAUSE TYPICALLY WHAT? WHAT YOU MAY THINK OF AS A CARD IS TECHNICALLY CALLED A TOASTER, MEANING THINGS YOU PUT IN, SO THEY ALSO JUST HAVE REFUSE CARDS, WHICH IS REALLY A CART TO TRANSFER YOUR YOUR REFUSE IN THIS CASE FROM YOUR BUSINESS TO THESE LOCATIONS AND FOLKS USE THOSE AS LOCATIONS WERE CHARGING THEM BUT WERE HEAVILY SUBSIDIZING. IN THE DOWNTOWN. THAT IS CORRECT. WE ARE SUBSIDIZING THE DOWNTOWN SERVICE TO THE TUNE OF ABOUT $17,000 A MONTH, AND WE'RE REALLY NOT CHARGING THE DOWNTOWN, RIGHT? I MEAN THEY ARE CHARGED IF THEY HAVE AN ACCOUNT. PART OF PART OF THE CHALLENGE IS THE NUMBER OF NUMBER OF FOLKS THAT DON'T HAVE AN ACCOUNT. RIGHT? RIGHT. OKAY. AND IN THAT WHOLE TIMELINE. I DIDN'T WANT TO TAKE UP THIS PRESENTATION WITH THAT, BASED ON THE PREVIOUS DIRECTION FROM THE COUNCIL. WHAT WE'RE GOING TO DO IS WE'RE GOING TO GET OUR ACTUAL PRICING, SO IT'S NO LONGER JUST BASED ON THEORY ABOUT WHAT WHAT THE DIFFERENT SERVICES MAY COST SPECIFICALLY IN THE DOWNTOWN AND WE WILL BRING THAT BACK TO THE CITY COUNCIL FOR DISCUSSION. WE POTENTIALLY TALKED ABOUT A PID.

IT'LL BE A WHOLE DIFFERENT UPDATE. NEXT TIME I TALK WITH THE COUNCIL WILL BE ALSO BASED ON THE ACTUAL PRICING THAT WE'VE GOTTEN FROM THE RPG AS WELL. ASSURANCE OR WHAT? WHAT THINGS HAVE WE PUT IN PLACE TO MAKE SURE THAT THE NEIGHBORS WELL ARROGANT AND HIS STAFF AND MIKE MORRISSEY. THEY'RE THEY'RE DOWN THERE EVERY MORNING. SO TO SAY IT DOESN'T HAPPEN, YOU KNOW, WOULDN'T BE WOULDN'T BE THE CASE, BUT, UM, WE MONITOR IT. THE POLICE DEPARTMENT FROM TIME TO TIME. IF YOU NEED TO NEEDS TO BE INVOLVED, WE'VE HAD BUSINESSES WHO HAVE THEIR OWN PRIVATE DUMPSTER LOCATIONS. THAT PROBLEM COMES UP FROM TIME TO TIME. SO IS THERE A PERFECT SOLUTION? NO, BUT IT IS ABSOLUTELY SOMETHING THAT WE MONITOR. GREAT. UM AND LASTLY, WE JUST WANTED TO UPDATE THE CITY COUNCIL ON OUR RFP PROCESS . UM, YOU GAVE US DIRECTION, WHICH WE APPRECIATED BASICALLY IN JULY OF THIS YEAR TO MOVE FORWARD WITH THE CREATION OF THAT IT'S READY TO GO. AND THE TIMELINE FOR THAT WE'RE ACTUALLY READY TO ISSUE IT SO LONG AS THE COUNCIL CONCURS. NEXT WEEK, WE WOULD HAVE A PRIEST AND MIDDLE MEETING LATTER PART OF DECEMBER WITH INTERESTING CONTRACTORS DEADLINE FOR THOSE QUESTIONS FROM THE CONTRACTORS TO BE SUBMITTED IN JANUARY. AH PROPOSAL OPENING IN FEBRUARY EVALUATION IN MARCH AND ULTIMATELY RECOMMENDATION BACK TO THE COUNCIL. THIS IS FIRST, DEPENDING ON HOW LONG THAT NEGOTIATIONS TAKE FIRST OR SECOND MEETING IN APRIL OF NEXT YEAR. STEVE IS THE. I'M SURE THAT WE'RE CURRENTLY RENTING. IS THAT PIECE OF PROPERTY THAT IS LOCATED ON HIS HEAD. IT'S BIGGER THAN THE ENCLOSURE AREA. IS THAT A DEVELOPABLE PIECE OF PROPERTY, IS IT ERIC, PLEASE CORRECT ME.

IF I'M WRONG. YOU HAVE THE IN THE WOMAN'S MIND. YES, SHE THINKS IT'S PROBABLY DEVELOPABLE, AND THAT'S WHAT SHE'S HOLDING IT FOR A BIG PICTURE. CORRECT. IS THAT WHAT YOU SAID? THE MISS WALDRON'S THE OWNER OF THIS PROPERTY. SHE OWNS THE PARKING LOT, WHICH THE CITY LEASES FOR STAFF TO PART AH, MY CONVERSATIONS WITH HER. HER INTENT IS TO DEVELOP THAT. AND, UM. THE PORTION THAT WE'RE LEASING FOR THIS ENCLOSURE IS JUST THAT SIZE, SO IT'S JUST A SLIVER. BUT SHE HAS NO INTENTION TO PART WITH THAT. AND THE PARKING THAT WE CURRENTLY ARE.

LEASING WILL NO LONGER NEED THAT ONCE WE BUILD ACROSS. HIGHWAY. IS THAT CORRECT? RIGHT IT'S KIND OF COMPLICATED BECAUSE WE LEASED THIS BUILDING OVER HERE FOR I T AND MISSES WOOLRIDGE INTO THAT WHOLE PROPERTY THAT THEY'RE SPEAKING OF. BUT IN OUR LEASE WITH THE BUILDING NEXT DOOR COMES THE LEASE OF THE PARKING SPACES FOR THE FOR THE EMPLOYEES , SO THOSE TWO TRACKS ARE SOMEWHAT TIED TOGETHER BETWEEN THAT OWNER. AND MISSES WOOLRIDGE SO. THE ANSWER TO YOUR QUESTION IS DEPENDING ON WHAT THAT OWNER DOES WITH HER ON THAT PARKING LOT IS WHETHER SHE WILL DEVELOP IT. YEAH. BUT OBVIOUSLY. THE OWNER OF THAT BUILDING NEEDS PARKING FOR WHOMEVER IS IN IT WHEN THE CITY IS GONE. THANK YOU. IT'S COMPLICATED. APPRECIATE IT. THAT WAS ALL THAT I HAD. IF THERE'S ANY QUESTIONS , OTHERWISE I WANT TO MAKE SURE I DO HAVE THE, UH, DIRECTION.

CORRECT WHAT YOU WILL SEE THEN AT YOUR NEXT MEETING IN TERMS OF THE FEW ORDINANCES PASSING OUT

[00:20:04]

OF THOSE RESIDENTIAL AND COMMERCIAL RATES THAT WE TALKED ABOUT, WE WILL ALSO ADD NEW CATEGORIES FOR THOSE COMMERCIAL RECYCLING SERVICES THAT ARE NOT YET AVAILABLE AND APPROPRIATE PRICING. AS WAS SHORT ON THE SLIDE. TREAT ANYONE TAKE ISSUE WITH ANY OF THAT. THANK YOU SO MUCH FOR YOUR TIME. ADAM 221097 PROVIDE FEEDBACK ON DATA ANALYSIS AND RECOMMENDATIONS OF

[Provide Feedback on Data Analysis and Recommendations of Economic and Planning Systems (EPS) for the Neighborhood Preservation Plan]

ECONOMIC AND PLANNING SYSTEMS FOR THE NEIGHBORHOOD PRESERVATION PLAN, JANINE HI.

TEKIN DIRECTOR OF HOUSING COMMUNITY DEVELOPMENT THIS EVENING. I AM EXCITED TO PRESENT ECONOMIC AND PLANNING SYSTEMS WHO HAS BEEN CONTRACTED BY THE CITY TO WORK ON OUR NEIGHBORHOOD PRESERVATION STUDY. I THINK YOU ALL ARE FAMILIAR WITH THAT STUDY . WE'VE BEEN BEEN WORKING ON THAT HAVING NEIGHBORHOOD MEETINGS DOING SURVEYS. THIS WAS ACTUALLY SUPPOSED TO COME TO YOU FOR YOUR CONSIDERATION ON THE 15TH OF NOVEMBER, THE LAST FOCUS GROUP THAT WE HAD FIRST PART OF NOVEMBER WE RECEIVED FEEDBACK FROM THE NEIGHBORHOODS THAT THEY WANTED MORE OPPORTUNITY TO GIVE INPUT ON THE DATA ANALYSIS AND SOME OF THE RECOMMENDATIONS THAT UPS WILL BE BRINGING FORWARD THIS EVENING. SO WE HAD ANOTHER MEETING WITH THE NEIGHBORHOODS ON THE 28TH OF NOVEMBER, AND THE FEEDBACK FROM THAT MEETING HAS BEEN INCORPORATED INTO PRESENTATION. SO WITHOUT FURTHER ADO, ANDREW KNUTSON AND RACHEL XINMIN FROM ECONOMIC PLANNING SYSTEMS. THANK YOU, JEANINE. UH MAYOR AND MEMBERS OF COUNCIL. WE'RE HAPPY TO BE HERE THIS AFTERNOON. THIS REPRESENTS THE CULMINATION OF A TREMENDOUS AMOUNT OF RESEARCH BOTH IN TERMS OF LISTENING, AS WELL AS PAIRING THAT WITH BEST PRACTICES AND TECHNICAL ANALYSIS. SO ANDREW HUDSON, RACHEL XINMIN WAS THINKING GENETIC RACHEL COMBINATION THERE A LITTLE BIT OF BOTH STAFF AND CONSULTANTS HERE, AND WE DO I SAY THAT IN JUST BUT WE DO WANT TO BUILD ON THE WORK. THE STAFF IS DOING MUCH OF THE CONVERSATIONS THAT WE'VE HAD WITH THEM OR ABOUT IDEAS THAT ARE REFLECTED THE BEST PRACTICES AND THEY ARE SAYING WE HAVE THAT GOING OR IT'S IN THE WORK, SO SOME OF WHAT WE'RE TALKING ABOUT WILL BE AMPLIFYING CURRENT EFFORTS OF JENNY AND HER STAFF. SOME OF IT WILL BE TALKING ABOUT SOME NEW IDEAS HERE. UM WHAT UM. THE FIRM ECONOMIC AND PLANNING SYSTEMS. YOU CAN SEE THE EIGHT LINES OF BUSINESS WE HAVE ON THE SCREEN HERE AND AFFORDABLE HOUSING, HOUSING PRESERVATION. ALL OF THAT REPRESENTS ONE OF THESE LINES OF BUSINESS. WE'VE BEEN DOING HOUSING WORK FOR THE OFFICE HAS BEEN OPENED FOR 22 YEARS AND HOUSING HAS BEEN A BIG PART OF THAT FROM DAY ONE. IN ADDITION, WE WANT TO JUST TOUCH ON MARKET ANALYSIS. WE UNDERSTAND HOW MARKETS AFFECT SUPPLY AND DEMAND, AND THAT'S A BARK PRESSURE IS A VERY INTERESTING PART OF WHAT'S GOING ON IN EAST MCKINNEY, ALSO PUBLIC FINANCE WATER SOURCES OF FUNDS THAT CAN BE BROUGHT TO BEAR ON THE CHALLENGES AND HOW DO WE THINK ABOUT SOURCES AND USES IN TERMS OF WHAT REVENUES ARE AVAILABLE AND HOW TO DEPLOY THEM AND THEN FINALLY P THREE PUBLIC PRIVATE PARTNERSHIP WE HAD FOUR P IN THERE WITH THE NONPROFIT BUT WHAT ARE THE DIFFERENT ROLES OF THE SECTORS? AND HOW DOES EVERYONE GET ALIGNED IN TERMS OF DOING THEIR PART? WHY ARE WE DOING PRESERVATION STUDY AND TOUCHING ON MARKET. THERE'S A LOT OF PRESSURE AND WHEN YOU TALK TO LANDOWNERS, PARTICULARLY LANDOWNERS WHO ARE HAVE RECENTLY ACQUIRED PROPERTY IN THIS AREA THERE'S A TREMENDOUS AMOUNT OF PRESSURE IN THE ANECDOTAL STORIES ABOUT DOOR KNOCKING ARE TRUE. THERE IS A TREMENDOUS AMOUNT OF PRESSURE FOR INVESTORS TO ACQUIRE LAND, WHETHER IT'S LARGE SCALE FOR REDEVELOPMENT OF SCALE, OR WHETHER IT'S SMALL SCALE AND INVESTOR INVESTING IN INDIVIDUAL UNIT BY UNIT. EFFORTS ON THE PART OF LANDLORDS AND DEVELOPERS, SO LOTS OF ACQUISITION THE PRICE PRESSURE IS SIGNIFICANT. WE'VE GOT ALL THAT DATA IN THE EXISTING CONDITIONS ON SO AND YOU WILL SEE APPLICATIONS FOR REDEVELOPMENT IN THE NEAR FUTURE . WE HAVE A LITTLE BIT OF A CHALLENGE WITH CAPITAL MARKETS THESE DAYS, SO THE COST OF FUNDS IS A LITTLE HIGHER. BUT AS SOON AS CAPITAL MARKETS STABILIZED, WE'RE GOING TO SEE A TREMENDOUS AMOUNT OF APPLICATION FOR REDEVELOPMENT HERE. SO HOW DO WE GET AHEAD OF THAT? HOW DO WE ENSURE THE FOURTH BULLET DOWN THAT AS DEVELOPMENT COMES IN THIRD BULLET DOWN AS DEVELOPMENT COMES IN, THERE IS SOME RESPECT FOR EXISTING CHARACTER AND PRESERVATION OF THAT AND ACCOMMODATION OF THOSE INTERESTS . AND THEN ALSO, WHAT DO WE DO WITH THE EXISTING? HOW DO WE AMPLIFY THE VOICES OF THE EXISTING RESIDENTS AND RECOGNIZE THEIR NEEDS AND GIVE THEM A STRONGER FOOTHOLD? GIVEN THE PRESSURE THAT THEY'RE FACING IN TERMS OF THE MARKET. SO THE WAY WE WENT ABOUT THIS WAS REALLY A THREE PRONGED EFFORT. WE STARTED WITH THE DATA ANALYSIS, SO THE DEMOGRAPHICS ECONOMICS UNDERSTANDING FROM THE DATA PERSPECTIVE. WHAT WHAT WE'RE SEEING IN TERMS OF TRENDS AND EXISTING CONDITIONS IN THE AREA AND THEN PAIRED THAT WITH

[00:25:03]

SIGNIFICANT OUTREACH. UM AND WE HAD A SEPARATE OUTREACH CONSULTANT ON THE TEAM HAS BEEN WORKING WITH THE COMMUNITY THROUGHOUT THIS WHOLE PROCESS. TO UNDERSTAND WHAT WHAT'S THE COMMUNITY SAYING? WHAT ARE THEY SEEING? AND WHAT WHAT ARE THEY PRIORITIZING IN TERMS OF WHAT THEIR NEEDS ARE AND HOW DOES THAT PAIR WITH THE DATA AND SO THE TWO OF THOSE TOGETHER REALLY HELP US UNDERSTAND? WHAT ARE WHAT ARE THE KEY CONDITIONS THAT NEED TO BE ADDRESSED? AND WHERE ARE THE KEY OPPORTUNITIES AND SO THOSE PIECES COMBINED REALLY GOT US TO TODAY. WE'RE REALLY TALKING ABOUT WHAT ARE THE TOOLS AND STRATEGIES THAT WE SHOULD BE IMPLEMENTING, UM TO ADDRESS THE NEEDS AND TO PRESERVE THE COMMUNITIES AND THE EXISTING RESIDENTS AND CREATE STABILITY FOR THOSE RESIDENTS AS THIS MARKET PRESSURE BUILDS IN AS NEW DEVELOPMENT COMES IN. AND SO IDEALLY, WE'RE GETTING TO THIS THIS STRATEGY THAT IDEALLY WE ARE GETTING TO THIS STRATEGY, WORKING THROUGH THE VARIOUS TOOLS AND POLICIES TODAY, BUT REALLY STARTING AND ENDING WITH THE COMMUNITY FEEDBACK, SO WE REALLY KICKED OFF THIS PROJECT BACK IN MARCH WITH BIG COMMUNITY CONVERSATION OUT AT ALL SETTLERS. AND THEN THROUGH THE FOCUS GROUPS AND THE ADDITIONAL COMMUNITY MEETING THAT DNA MENTIONED AND THROUGHOUT THE PROCESS REALLY GETTING OUT THERE. UM TALKING WITH COMMUNITY MEMBERS. WE DID A COMMUNITY SURVEY AS WELL AND THEN, LIKE I SAID, PAIRING THAT WITH THE DATA AND PUTTING THEM ALL TOGETHER LOOKING AT BEST PRACTICES LOOKING AT THE CONTEXT HERE IN MCKINNEY AND UNDERSTANDING WHAT ARE THE BEST TOOLS AND STRATEGIES THAT MEET THE NEEDS AND ARE DOABLE AND ARE MOST LIKELY TO ACHIEVE THE OUTCOMES THAT WE'RE GOING FOR. THE IMPORTANT PART OF WHERE WE ARE IN THE PROCESS IS THAT WE ARE THROUGH THE COMMUNITY LISTENING . WE'RE THROUGH THE TECHNICAL. WE'RE ASSEMBLING THE ACTION PLAN AND YOUR VOICES ARE CRITICAL AS WE DO THAT, SO THE TIMING OF THIS MEETING HAS BEEN PLACED RIGHT IN TIME TO INCORPORATE YOUR VOICE IN THE FORMATION OF THIS ACTION PLAN. AH KEE QUESTION FOR TODAY'S SESSION. FIRST DEALS WITH SECTORS YOU KNOW, HOW DO WE IDENTIFY WHAT THE PUBLIC SECTOR CAN DO? AND SHOULD DO? WHAT SHOULD THE PRIVATE SECTOR DO? WHAT ARE THEIR ROLES AND THEIR OPPORTUNITIES AND HOW WE LEVERAGE THEIR EXPERTISE? AND THEN THE PRICE NONPROFITS ALSO IN TERMS OF THEY PLAY A KEY ROLE IN WHAT'S GOING ON? HOW DO WE ALIGN ALL OF THE ENERGIES AND TALENTS OF THESE DIFFERENT SECTORS? SECOND IS WHAT'S EFFECTIVE MOST WHAT IS GOING TO BE THE MOST EFFECTIVE TOOLS, ESPECIALLY EARLY ON THEN DOWN THE ROAD, AND THEN THAT GETS INTO PRIORITIES. WHAT DO WE WANT TO PUT AT THE TOP OF THE LIST? HOW DO WE LOOK AT TIME? TIME IS NOT OUR FRIEND. IN THE CASE OF EASTERN MCKINNEY, WE NEED TO START ADOPTING STRATEGIES QUICKLY AND START FUNDING THEM. BECAUSE IT'S ONLY GOING TO THE PRESSURE IS ONLY GOING TO INCREASE. SO HOW DO WE THINK ABOUT THE PRIORITIZATION OF THE ACTION PLAN? SO THAT'S WHERE WE'RE PLANNING TO GO. UM. AND SO LIKE WE MENTIONED EARLIER, WE'RE REALLY BUILDING ON THE WORK THAT HAS BEEN DONE TODAY. WE WEREN'T STARTING FROM THE BEGINNING.

WHEN WE STARTED THIS PROCESS, THERE WERE TOOLS IN PLACE, AND THERE ARE TOOLS THAT HAVE COME ONLINE OR BEING TALKED ABOUT AS WE'VE GONE THROUGH THIS PROCESS. SO PART OF THIS IS UNDERSTANDING OF THE EXISTING TOOLS THAT THE CITY HAS, WHICH ARE RELEVANT TO THE NEEDS AND USE MCKINNEY AND WHICH ARE CAN BE USED. SO, FOR EXAMPLE, YOU KNOW THE TAX FOR CLOSED LAND DISPOSITION POLICY.

IT'S A REALLY GREAT POLICY. UNFORTUNATELY THERE HASN'T BEEN A LOT OF LAND AVAILABLE TO UTILIZE THROUGH THAT. SO WHILE IT'S A GREAT TOOL TO HAVE, AND WE WANT TO MAKE SURE IT'S STILL THERE, WE RECOGNIZE THAT IT'S NOT AN IMMEDIATE TOOL TO BE USED IN THIS AREA AND THEN SOME OF THE AFFORDABLE HOUSING DEVELOPMENT STRATEGIES. ARE ALSO REALLY GREAT POLICIES BUT UNDERSTANDING THAT WE'RE LOOKING TO NOT CONCENTRATE AFFORDABLE HOUSING IN THIS AREA. WHAT WE'RE TRYING TO FOCUS ON IS REALLY STABILIZING THE EXISTING RESIDENTS AND MAKING SURE THAT AS NEW DEVELOPMENT COMES IN, IT'S NOT JUST MARKET RATE IS NOT JUST CONTINUING TO PUT PRESSURE ON THE MARKET, BUT WE'RE LOOKING FOR A DIVERSITY. RESIDENTS AND DEVELOPMENT WHILE ALSO ENSURING THAT THE EXISTING RESIDENTS ARE ABLE TO STAY AND BE STABLE IN THEIR HOMES AND SO PART OF WHAT YOU'LL SEE AS WE MOVE THROUGH IS ENHANCING SOME OF THESE STRATEGIES. UM AND THEN SOME OF WHAT WE'LL SEE OUR NEW STRATEGIES TO BRING IN AS WELL TO MAKE SURE THAT WE'RE USING THE BEST TOOLS THAT WE HAVE AVAILABLE TO US FOR THE NEEDS OF USE MCKINNEY SO. THERE'S A LOT OF WORDS ON THIS SIDE. THERE'S THE WHOLE EXISTING CONDITIONS REPORT. UM THAT THIS IS A SUMMARY OF THIS IS REALLY JUST TO EMPHASIZE THE DATA ANALYSIS THAT WENT INTO CREATING, UM THE DRAFT ACTION PLAN THAT YOU'LL SEE AND THEN AGAIN BECAUSE COMMUNITY AND PUT THAT WENT INTO

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THIS AND THEN ALSO HAS BEEN USED TO REFINE SOME OF THE STRATEGIES AND SO REALLY DID THE KEY PIECES . UM ARE JUST THAT WHAT WE SEE IN THE DATA IS WHAT YOU'VE ALL BEEN HEARING WHAT THE RESIDENTS HAVE BEEN SAYING, UM THERE AREN'T REALLY A LOT OF SURPRISES. UM THE RESIDENTS OF MCKINNEY ARE JUST MORE VULNERABLE TO DISPLACEMENT. FOR A NUMBER OF REASONS, ONE OF WHICH IS MARKET PRESSURE. UM INCREASING SALE PRICES. WE MENTIONED THE FACT THAT PEOPLE ARE GETTING KNOCKS ON THEIR DOORS WITH OFFERS TO JUST BY THEIR HOUSES. UM WITH LOWER INCOMES. THERE'S A GREATER VULNERABILITY TO THAT INCREASING PROPERTY VALUATION BECAUSE OF THE INCREASING PROPERTY TAX BURDEN. UM AND THEN ALSO WITH MORE OLDER HOMES AS REPAIR KNEES COME UP, THERE IS A LOWER ABILITY TO MEET THOSE NEEDS AT AN INDIVIDUAL HOUSEHOLD LEVEL.

UM AND THEN AT A LARGER SCALE. ASIDE FROM THE INDIVIDUAL RESIDENTS, THIS IS ALSO AS WE KNOW, ONE OF THE LAST AREAS IN THE CITY, WITH WITH LARGE DEVELOPMENT OPPORTUNITIES, AND SO WHEN, WHEN WE HAVE DEVELOPERS LOOKING FOR NEW DEVELOPMENT OPPORTUNITIES THERE ARE ATTRACTED TO EAST MCKINNEY BECAUSE THAT'S WHERE THE LAND OPPORTUNITIES ARE AND SO RECOGNIZING THAT PRESSURE THAT'S COMING COMING IN RECOGNIZING THE NEEDS OF THE EXISTING RESIDENTS.

HOW DO WE BALANCE THESE AND MAKE SURE THAT WERE WERE PUTTING THE STRUCTURES IN THE PROGRAMS IN PLACE? UM. TO ALLOW FOR THE MARKET AND ALSO ALLOW THESE RESIDENTS TO STAY IN THEIR HOMES. SOMETHING THAT I WANT TO JUST MENTION IS ENCOUNTERED IN TALKING WITH DEVELOPERS AS THEY CONSIDERED OPPORTUNITIES HERE AND SPECIFICALLY THE MULTI FAMILY DEVELOPER THAT HAS BUILT THE EXISTING PROPERTIES AND IS NOW JUST UNDER CONSTRUCTION. WITH THE NEW PROPERTY JUST TO STATE THE OBVIOUS HERE, THERE'S AN AMENITY THAT IS VERY UNIQUE. DOWNTOWN MCKINNEY IS A HISTORIC HUB. THAT'S A VIBRANT AS WE WALKED IT. THE NUMBER OF VACANCIES ARE VERY LOW FOR A HISTORIC RETAIL NODE LIKE DOWNTOWN MCKINNEY. USUALLY VACANCIES WILL RUN SIGNIFICANTLY HIGHER JUST BECAUSE IT'S A NICHE MARKET THAT'S HARD TO GET CRITICAL MASS CRITICAL MASSES HERE. THE EXPENDITURE POTENTIAL IS HERE. THE DOLLARS ARE FLOWING IN AND IT CREATES A ENTERTAINMENT SLASH SENSE OF PLACE. THAT IS VERY UNIQUE AND THE MARKET CAN SENSE THAT AND THERE'S PREMIUMS TO BE HAD, AND THOSE PREMIUMS ARE GOING TO BE GENERATED AND WALKING DISTANCE OR EVEN SHORT DRIVING DISTANCE IN EAST MCKINNEY SO WITHOUT LABORING THE POINT BECAUSE IT IS A SUCCESS, THE SUCCESS THAT THE COMMUNITY SHOULD BE PROUD OF, AND IT HAS A RIPPLE EFFECT OF GREATER CHALLENGE. SO THIS IS A SLIDE THAT YOU'RE GOING TO SEE QUITE A BIT OF AS WE POPULATED.

THE LEFT SIDE IS GOING TO BE GROUNDED IN WHAT WE HEARD FROM THE COMMUNITY. AND THOSE ARE THOSE FIVE BULLETS THERE. THE MIDDLE AS WE POPULATED IN THE NEXT 5 10 MINUTES WILL BE POLICY FRAMEWORK FOR THE CITY TO CONSIDER. AND THEN THE RIGHT SIDE IS ULTIMATELY ACTION ITEMS. SO THE ACTIONS ARE NESTED IN THE POLICIES AND THE POLICIES ARE NESTED IN WHAT THE COMMUNITY HAS SAID. SO I THINK IT'S A VERY SOLID FOUNDATION FOR APPROACHING THIS KIND OF A PROJECT AND THEN SPECIFICALLY WHAT WE HAVE HEARD IMPROVE THE QUALITY OF HOUSING ONE TO MITIGATE THE INCREASE IN HOUSING COSTS. PEOPLE ARE GETTING TAXES OUT OF THEIR HOMES , EVEN IF THE HOME ITSELF IS PAID FOR KEEPING PACE WITH THE TAXES IS A CHALLENGE NUMBER THREE HOW DO YOU ENABLE RENTERS TO MOVE INTO HOMEOWNERSHIP? UM THAT IS A CHALLENGE EVERYWHERE, BUT PARTICULARLY ACUTE CHALLENGE IN OUR STUDY AREA NUMBER FOUR MANAGING THE IMPACTS OF NEW DEVELOPMENT AND THE PRESSURES THEY REPRESENT, AND NUMBER FIVE MANAGING THE IMPACTS OF SPECULATIVE PURCHASERS. SO WE'LL WALK THROUGH THESE IN THE SAME ORDER. UM AND WE'LL JUST START AT THE TOP AND PRETEND THAT THEY'RE SHOWING UP ONE AT A TIME AS WE TAXI THEM. SO IN TERMS OF IMPROVING HOUSING QUALITY, THIS IS ONE OF THOSE AREAS WHERE WE'RE REALLY LOOKING TO BUILD ON EXISTING PROGRAMS AND RESOURCES . UM AND SO LOOKING AT THE EXISTING REHABILITATION PROGRAM THAT THE CITY RUNS WITH CDBG FUNDING, LOOKING AT OPPORTUNITIES FOR ADDITIONAL FUNDING, UM FEDERAL FUNDING IS REALLY GREAT FOR A LOT OF HOUSING PROGRAMS THAT ALSO COMES WITH A LOT OF REQUIREMENTS AND SO WHERE WE HAVE OPPORTUNITIES TO DIVERSIFY FUNDING SOURCES, WE CAN ALSO POTENTIALLY BROUGHT IN SCOPES AND SCALES OF PROGRAMS AND THEN ALSO ONE OF THE THINGS THAT WE'LL SEE THROUGHOUT THIS, UM, IS LOOKING NOT JUST AT FUNDING OPPORTUNITIES BUT ALSO AT EDUCATION OPPORTUNITIES TO MAKE SURE THAT RESIDENTS KNOW ABOUT THESE PROGRAMS AND UNDERSTAND HOW TO ACCESS THEM BECAUSE THAT'S SOMETHING THAT WE'VE HEARD IS A CHALLENGE AND ACTUALLY IMPLEMENTING SOME OF

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THESE AND ONE OF THE PIECES THAT WE'RE REALLY LOOKING AT IN TERMS OF HOUSING QUALITY IS MAKING SURE THAT WE'RE ADDRESSING BOTH HOME OWNERSHIP AND THEN ALSO RENTAL HOUSING. GIVEN THE HIGH NUMBER OF RENTERS IN THIS AREA, AND ONE OF THE CHALLENGES ALSO IS THAT IT'S NOT NECESSARILY RENTERS IN APARTMENT BUILDINGS, BUT A LOT OF RENTERS IN SINGLE FAMILY STRUCTURES. AND SO HOW DO WE ADDRESS QUALITY ISSUES THERE ? UM WHERE THE PRESIDENT IS NOT THE OWNER. AND SO THERE'S CHALLENGES IN ACCESSING UM SOME OF THE PROGRAMS BECAUSE OF THAT. IN TERMS OF MITIGATING HOUSING COSTS. UM, AS WE'VE ALREADY SAID, AND AS YOU'LL CONTINUE TO HEAR PROPERTY TAXES WILL CONTINUE TO BE A CHALLENGE AND SO LOOKING AT A VARIETY OF WAYS TO ADDRESS THAT CHALLENGE, WHETHER AGAIN, UM. LOOKING AT EDUCATION EFFORTS TO HELP RESIDENTS ACCESS EXISTING PROGRAMS AND THEN ALSO ADDITIONAL STRATEGIES THAT CAN BE USED AND THEN ALSO THINKING THROUGH, UM LONG TERM AFFORDABILITY AND HOW WE CAN ENSURE YOU KNOW, SOME PROGRAMS HAVE TIME HORIZONS. UM WHERE THEY CAN BE UTILIZED. BUT HOW DO WE UNDERSTAND? NOT JUST FOR THE NEXT FIVE YEARS OR 10 YEARS OR 15 YEARS, BUT OVER THE LONG TERM, HOW DO WE ENSURE STABILITY IN THESE NEIGHBORHOODS? UM SIMILARLY IN TERMS OF HELPING MORE RESIDENTS ACHIEVE HOMEOWNERSHIP. UM. UNDERSTANDING THOSE LONG TERM AFFORDABILITY OPTIONS. UM WHETHER AGAIN WE'LL TALK ABOUT PARTNERSHIPS AS WE MOVE THROUGH, SO WORKING MORE AND CONTINUING WORK WITH ORGANIZATIONS LIKE HABITAT FOR HUMANITY THAT'S BEEN DOING A LOT OF WORK AND EAST MCKINNEY AND THEN ALSO LOOKING AT ADDITIONAL OPPORTUNITIES TO ENSURE THAT YOU KNOW RESIDENTS CHILDREN. IF THEY WANT TO STAY IN EAST MCKINNEY, THERE ARE OPPORTUNITIES FOR THEM AS WELL. IN TERMS OF THE LAST TWO ARE MORE FOCUSED ON THE DEVELOPMENT SIDE, SO IN TERMS OF MANAGING THE IMPACTS OF NEW DEVELOPMENT, RECOGNIZING WHAT'S COMING IN AND WHERE THERE ARE LARGE SCALE DEVELOPMENT OPPORTUNITIES, UM RECOGNIZING WHAT DOES THAT MEAN FOR THE EXISTING RESIDENTS IN THE EXISTING COMMUNITY? WHAT TYPES OF DEVELOPMENT DO THEY USE MCKINNEY RESIDENTS WANT TO SEE WHAT DO YOU KNOW? WE AS THE CITY YOU WANT TO SEE? AND HOW DO WE BLEND THOSE THINGS? AND WHAT OPPORTUNITIES MIGHT THERE BE TO WORK TOGETHER WITH DEVELOPERS COMING IN WITH THE RESIDENTS TO CREATE, UM THE COMMUNITY THAT EVERYONE CAN THRIVE IN. UM AND THEN THE LAST PIECE OF MANAGING THE IMPACTS OF SPECULATIVE BUYERS, UM, LOOKING AT OPPORTUNITIES FOR LAND ACQUISITION WHERE AVAILABLE AND THEN ALSO PART OF THIS EDUCATION AND RESOURCE COMPONENT. UM SO THESE ARE REALLY THE POLICY. AND STRATEGY BUCKETS. AND SO THE NEXT SLIDE IS GOING TO HAVE A LOT AND WE'RE GOING TO WALK THROUGH IT. SLOWLY. UM THESE ARE ALL THE WORDS SLIDE. EVERY SINGLE WORD. IT'S HERE, BUT UM WE'LL WALK THROUGH IT IN THE SAME ORDER. UM AND SO STARTING AT THE TOP, AND WE CAN WE CAN CHAT THROUGH ANY OF THESE AS WE GO. WE DO WANT TO MAKE SURE WE GET THROUGH THEM ALL. AND THIS IS, AS WE NOTED, BASED OFF OF THE DATA ANALYSIS, THE COMMUNITY OUTREACH WORKING WITH STAFF THROUGHOUT THIS PROCESS. UNDERSTANDING. WHAT SOME OF THE EXISTING RESOURCES ARE WHAT SOME OF THE BEST AVAILABLE RESOURCES ARE AND WHAT SOME OTHER COMMUNITIES ARE DOING MATCHING THE TOOLS AND STRATEGIES. TO THE NEEDS, UM. AND THIS IS THIS IS FOR DISCUSSION. SO THIS IS THE DRAFT. AND THEN AS WE MOVE THROUGH, TAKING YOUR FEEDBACK AND THE COMMUNITIES FEEDBACK AND REALLY WORKING UP THE FINAL PRESERVATION PLAN. SO WE'LL START AT THE TOP. UM SO CONSIDERING. HOW WE CAN IMPROVE HOUSING QUALITY AND LOOKING AT BOTH FUNDING AND REHAB OPPORTUNITIES. SO ONE OVERARCHING IDEA, UM, IS TWO ADOPTED HERS FOR EAST MCKINNEY. SO THERE IS THE DOWNTOWN TOURS, WHICH HAS BEEN VERY SUCCESSFUL AND CAPTURES A LITTLE BIT OF THIS AREA. UM, BUT WE TALKED ABOUT EITHER. UM. EXPANDING THAT TOURIST VERSUS ADOPTING A NEW ONE AND BECAUSE THERE ARE DISTINCT NEEDS IN EAST MCKINNEY , WE THINK UM, AND INDEPENDENT TERMS IS PROBABLY BEST SUITED TO MEET THOSE NEEDS. UM AND ESPECIALLY UNDERSTANDING THE MARKET OPPORTUNITIES IN THIS AREA AND DEVELOPMENT OPPORTUNITIES IN THIS AREA, HAVING THAT STRUCTURE IN PLACE, UM. TO ALLOW THESE COMMUNITIES TO HAVE SOME OF THE VALUE RE INVESTED IN THE COMMUNITY IS A SIGNIFICANT OPPORTUNITY. AND THEN, UM. THIS SECOND TWO PIECES THERE ARE REALLY FOCUSED ON HOW TO ACTUALLY IMPROVE THE HOUSING

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QUALITY, AND SO LOOKING AT EXPANDING THE EXISTING REHAB PROGRAM, BUT ALSO, AS WE NOTED EARLIER, EXPANDING EDUCATION AND RESOURCES AROUND IT, SO JUST INCREASING THE UPTAKE OF RESIDENTS AND UNDERSTANDING WHERE THERE MIGHT BE, UM BARRIERS. SO, FOR EXAMPLE, YOU KNOW, GETTING THE LOAN. THERE'S A LIEN ON YOUR PROPERTY, AND THAT CAN CAN CREATE A BARRIER FOR PEOPLE. AND SO WHETHER IT'S UM EVALUATING THE PROGRAM STRUCTURE OR ENHANCING EDUCATION OF WHAT THAT MEANS IN THE REPAYMENT PROCESS OR LOAN FORGIVENESS PROCESS. UM. TO INCREASE THE ACCESSIBILITY OF THE PROGRAM TO RESIDENTS AND THEN ALSO UM, BUILDING ON THE STRUCTURE IN PLACE FOR A RENTAL REHABILITATION PROGRAM. THERE ARE ADDITIONAL CHALLENGES WITH THAT, UM BECAUSE WE CAN. HAVE THE FUNDS TO INVEST IN THE PROPERTIES, BUT WE WANT TO MAKE SURE THAT THERE ARE STRUCTURES IN PLACE. ONCE THAT INVESTMENT HAPPENS, IT IS STILL AN AFFORDABLE PROPERTY FOR THOSE RESIDENTS, AND THE LANDLORD OR OWNER DOESN'T SAY OH, WELL, I JUST INCREASE THE QUALITY OF THIS HOUSING. I CAN NOW CHARGE, YOU KNOW, 1.5 2 TIMES AS MUCH.

THAT'S WHAT WE WANT TO AVOID. AND SO HOW CAN WE INCREASE THE QUALITY OF HOUSING FOR RESIDENTS WITHOUT INCREASING THE COST OF HOUSING? UM AND SO THERE THERE ARE A COUPLE OF DIFFERENT WAYS TO DO THAT AND RESTRICTIONS OR CONDITIONS THAT CAN BE PUT ON THE FUNDING. BUT CONSIDERING SOME OF THOSE TO HELP ENSURE THAT THE HOUSING REMAINS AFFORDABLE FOR THESE RESIDENTS, BUT ALSO THE QUALITY IS INCREASED, AND SOME OF THAT CAN BE PAIRED WITH SOMETHING LIKE A RENTAL INSPECTION PROGRAM. SOMETIMES THAT'S USED IN CONJUNCTION WITH A LICENSING PROGRAM JUST TO KNOW WHICH UNITS TO INSPECT. AGAIN. THERE ARE CHALLENGES WITH THE DISPERSED RENTAL INVENTORY. BUT THIS IS SOMETHING UM THAT CAME UP THROUGH THE SURVEY. THAT SURVEY THAT WE DID IN TERMS OF QUALITY AND THEN ALSO WAS REALLY HURT IN THE LAST COUPLE PIECES OF COMMUNITY OUTREACH IN TERMS OF THE RENTAL REHAB AND INSPECTION , UM AND JUST LIKE COMMUNITY, EMPHASIZING CONCERNS OVER THE QUALITY OF RENTAL UNITS. OKAY, UM. LET ME JUST DO A TIME. CHECK WITH THE MAYOR AND FIND OUT WE DO HAVE WE CAN GO THROUGH THE BALANCE OF THESE ACTION ITEMS AND EXPLAIN THEM. WE ALSO WANT TO HEAR WE'RE BIG BELIEVERS IN COLLABORATION. SO WE WANT TO LISTEN. BELIEVE IT OR NOT MORE THAN WE WANT TO TALK. SO UH, DOES IT HELPFUL? DO YOU WANT HIGHER LEVEL ON THESE IDEAS? AT WHAT POINT WOULD YOU LIKE TO WEIGH IN? CERTAINLY TIME IS AN ISSUE, BUT THIS IS GOING EXTREMELY IMPORTANT TOPIC. AND THERE'S A LOVE TO GET TO SOME DISCUSSION ON IT. I DON'T KNOW HOW EVERYONE ELSE FEELS HERE, WHETHER WE NEED HER TO GO THROUGH AND GO THROUGH EACH OTHER MORE. WE HAVE THE ABILITY TO READ THROUGH THIS PRETTY QUICKLY AND THEN AND THEN ENTER INTO DISCUSSION. IT MIGHT BE MORE WASTED 20 MINUTES, EXPLAINING THE PROBLEM THAT WE ALREADY KNEW THAT WAS EXISTED SO WE COULD HAVE WE COULD HAVE SKIPPED THAT AND ONTO THE SOLUTIONS. AND THEN WE'RE GONNA SAVE A LOT OF TIME NOW. OUR APOLOGIES, USUALLY SOLIDIFYING THEIR BASIS FOR ACTION HELPS, PARTICULARLY FOR PEOPLE WHO MIGHT BE WATCHING ON CAMERA. AH! WE CAN ACCELERATE THE PACE TO ENSURE WE CAN ACCELERATE THE PACE AGAIN. THIS IS A VERY IMPORTANT TOPIC, BUT I THINK IF WE CAN GET TO DISCUSSION WOULD BE GREAT, BUT CERTAINLY IT'S INFORMATIVE AND AS STATED. THERE'S PEOPLE OUT THERE THAT I'M SURE GETTING SOMETHING FROM IT, BUT ALRIGHT, LET'S GET TO DISCUSSION QUICK AS WE CAN. SO AT A MACRO LEVEL WERE LOOKING AT A COUPLE OF DIFFERENT SORT OF BUCKETS OF TOOLS AND STRATEGIES . ONE IS INDIVIDUAL LEVEL STRATEGIES TO HELP STABILIZE EXISTING RESIDENTS. SO THINGS LIKE ENHANCING THE REHAB PROGRAMS OR PROPERTY TAX RELIEF . THOSE ARE INDIVIDUAL RESIDENT LEVEL STRATEGIES. THEN THERE ARE BROADER STRATEGIES IN TERMS OF HOW DO WE CREATE THE STRUCTURES THAT ENSURE THIS STABILITY OVER TIME? SO UM, UTILIZING THE COMMUNITY LAND TRUST THAT'S IN PROCESS AND PARTNERING WITH OTHER ORGANIZATIONS LIKE HABITAT FOR HUMANITY THAT ARE DOING THIS WORK. UM YOU KNOW, CREATING SOMETHING LIKE A RENTAL INSPECTION PROGRAM THAT WILL EXIST AND SO UM ENSURING THAT STABILITY OVER TIME AND THEN THE THIRD PIECE IS HOW DO WE WORK WITH NEW DEVELOPMENT AS IT COMES IN, UM AND ENSURE THAT THE EAST MCKINNEY IS PRESERVED, AND THOSE EXISTING RESIDENTS ARE STABILIZED AND NEW DEVELOPMENT IS HAPPENING. SO THOSE ARE THE SORT OF INDIVIDUAL BROADER LONG TERM AND THEN NEW DEVELOPMENT COMING IN AND TYPES OF STRATEGIES. EXPLAIN WHAT IT TAX RELIEF PROGRAM IS. WHAT IS THE TAX RELIEF? AND HOW DOES IT WORK

[00:45:02]

AND KNOWING THAT I THINK IT'S 60% OF THE HOMES OVER THERE? IN THE EAST SIDE. IN OUR RENTAL HOMES. THE BOTTOM TO RENT THEM TO OTHER PEOPLE THERE. IT'S A VERY LOW NUMBER OF ACTUALLY HOME OWNERSHIP. SHOCKING TO ME, BUT THIS IS SOMETHING. AND SO HOW DO YOU HAVE YOU GIVE RELIEF? TAXES IN A FAIR WAY THAT DOESN'T OFFEND PEOPLE WHO ARE NOT GIVING. THANKS REALLY? AND I WANT TO ADD TO THAT. ANOTHER WAY TO ANOTHER. LOOK AT THAT IS. HOW WE GIVE RELIEF TO THE OWNER OF THE PROPERTY. BUT HOW DO WE GET THAT RELIEF ENSURING THAT THAT GETS PASSED ON TO THE RENTER, RIGHT? IT DOESN'T HELP US DOESN'T HELP WHAT WE'RE TRYING TO ACCOMPLISH IF WE GIVE TAX RELIEF TO AN OWNER THAT THEN JUST KICKS OUT THE CURRENT TENANT AT THE RATE THEY WERE TRYING TO BE ABLE TO KEEP THEM AND PRESERVE THEIR ABILITY TO STAY AND LIVE IN THE COMMUNITY THAT THEY'RE IN. FOR THEM TO JUST RENT OUT OF THE MARKET. YOU KNOW, WE'RE JUST INCREASING PROFITABILITY FOR AN ABSENTEE OWNER, INVESTMENT PROPERTY LANDLORD, WHICH AGAIN? CAPITAL MARKET CAP PLUS MARKET, I GET IT. BUT HOW DO WE? HOW DO WE DO THAT? HOW DO WE ACHIEVE WHAT WE'RE TRYING TO ACHIEVE? AND YEP, NO THAT THAT EXISTS. SO THERE'S A NUMBER OF WAYS TO PROVIDE TAX RELIEF AND THE ALL OF THE RECOMMENDATIONS THAT YOU'RE GOING TO HEAR CAN BE STRUCTURED IN A CONTINUUM WHERE A SMALL AMOUNT OF RELIEF WOULD BE COUPLED WITH A SMALL AMOUNT OF CONTRIBUTE CONTRIBUTION TO THE CIVIC GOOD. SIGNIFICANT AMOUNT OF RELIEF WOULD BE COUPLED WITH THE SIGNIFICANT CONTRIBUTION TO THE CIVIC NEEDS . AND FOR EXAMPLE, UH, THE SHORT ANSWER WOULD BE A CLT. A COMMUNITY LAND TRUST THAT CAN TAKE TITLE TO THE PROPERTY ELIMINATES THE TAX BURDEN. AND THAT'S THE BEST, MOST EFFECTIVE, SIMPLEST AND IT'S IN THE WORKS WITH THE CITY RIGHT NOW, SO IT'S A TOOL THAT'S GOING TO BE THAT IS UNDERWAY IN TERMS OF BEING DEVELOPED. IF I TAKE TITLE TO THE LAND, RIGHT, RIGHT, AND SO AND IT, THEN THE OWNER OF THE RESIDENTS THEN WOULD BE ABLE TO PAY TAXES ON THE ON THE STRUCTURE. BUT THE LAND IS WHAT'S APPRECIATING SIGNIFICANTLY. THAT'S ONE SPECIFIC SCENARIO. IT GETS INTO THE WEEDS IN TERMS OF HOW THAT COULD PLAY OUT, BUT IT'S A VERY EFFECTIVE TOOL TO ENABLE EXISTING RESIDENTS WHO ARE UNDER TREMENDOUS AMOUNT OF PRESSURE AND WITHOUT MUCH RESOURCES. WHAT DOES THAT LOOK LIKE, THEN? SOMEWHAT WOMAN. I'M JUST GOING TO MAKE AN EXAMPLE. LADY LIVES IN THE HOUSE FOR 40 YEARS, SHE'S ON SOCIAL SECURITY. PROPERTY TAXES ARE CRAZY. THERE IS NO MORTGAGE. DOES SHE SELL HER LAND TO THE LAND TRUST, GET SOME CASH AND THEN HAS TAX RELIEF BECAUSE SHE'S ONLY USING MAYBE NEWFOUND MONEY TO PAY TAXES ON AN OLDER STRUCTURE STRUCTURE. EXACTLY THE STRUCTURE IS KIND OF MINIMIZED IF YOU WILL, SO THE STRUCTURE IS DECOUPLED TAX BASED VALUE ON REPLACEMENT VALUE, OR WE'RE JUST NOT A STRUCTURE THAT IS SOMEWHAT DATED AND SMALL IN SIZE. THEY'RE NOT REPLACEMENT VALUE MARKET VALUE OF THAT STRUCTURE, ABSENT THE LAND VALUE, AND THEN WHAT DOES THAT LOOK LIKE IT? HER POTENTIAL DEATH. DOES THE LAND TRUST THEN OWNING CONTROL THE WHOLE THING OR MIGHT HURT AIR STILL CONTROLLED THE STRUCTURE AND THE OCCUPATION OF THAT STRUCTURE. UH TYPICALLY THE DEED , THE IMPROVEMENTS WOULD GO WHEREVER HER DESCENDANTS WOULD GO TO HER DESCENDANTS. THE LAND WOULD REMAIN IN THE CLT. THERE CAN BE TERMS WRITTEN IN SO THAT THE CLT COULD GET FIRST RIGHT OF REFUSAL AND COULD CASH OUT, UH, PAY CASH TO THE HEIRS AND BRING THAT STRUCTURE INTO THE CLT. SO DIFFERENT WAYS TO STRUCTURE IT. AND IN ALL OF THESE, THE GOAL AND THE TRICK IS TO BE ABLE TO PROVIDE ENOUGH INCENTIVES TO ENABLE PARTNERSHIP WITH THE PRIVATE SECTOR ENTITIES. IN THIS CASE, THE INDIVIDUAL OWNERS DON'T KNOW THAT WE'D WANT TO. I JUST CAN'T EXPLAIN THAT FOR A SECOND. WHAT OUR GOAL IS RIGHT NOW IS TO PRESERVE THE ABILITY FOR PEOPLE LIVING THERE TO STAY TO BE ABLE TO CONTINUE TO LIVE THERE. I DON'T KNOW THAT THE GOAL OF THE COUNCIL IS TO IN PERPETUITY CREATE A ESSENCE. I'LL CALL IT A RENT STABILIZATION PRODUCT, LIKE LIKE NEW YORK CITY OR SOMETHING LIKE THAT. I KNOW. I KNOW. IT'S NOT A RENT STABILIZATION OF RENT CONTROL. I DON'T KNOW THAT IN PERPETUITY. THAT'S WHAT WE'RE TRYING TO DO. I THINK WHAT WE'RE TRYING TO DO IS PRESERVE THE ABILITY FOR THOSE THAT LIVE THERE TO BE ABLE TO REMAIN THERE. ENJOY THE AMENITIES AND LIVE IN THE COMMUNITY HAVE BEEN LIVING IN, SO THAT'S HELPFUL. I THINK IT'S AGAIN. THAT'S MY OPINION HEIRS TO BUY THAT LAND BACK, KEEP THE HOME IF THEY CHOOSE TO, BUT NOT NECESSARILY. AT THAT POINT, IT WOULD GO TO MARKET VALUE. MANY OF THE I DON'T KNOW HOW EVERYONE ELSE. FIELDS HERE. THIS IS A VERY HELPFUL YEAH, I HAVE NO DESIRE TO SAVE FOR THIS CERTAIN FAMILY IN PERPETUITY. THEY HAVE A THEY'RE NOT PAYING PROPERTY TAXES ON THIS THING. THAT'S JUST NOT RIGHT. I THINK THERE'S GOT

[00:50:02]

TO BE SOME BIG MECHANISM AT THE DEATH OR THE SEPARATION OF THE PROPERTY FROM THE OCCUPANT WHO WERE TRYING TO HELP THAT, UM THE LAND TRUST BE ABLE TO HAVE SOME OPTIONS THERE, AND I THINK IN ANY CASH EVENT, IT WOULD BE LIKE A DEVELOPMENT AGREEMENT. BASICALLY IN THE E. T. J ANY WHEN THAT STRUCTURE CHANGES OWNERSHIP. IF THEY SELL THAT STRUCTURE, THEY IT THEN ENTERS THE. THE YOU KNOW THE MARKET IF YOU WILL WANT TO MAKE A REMARK THAT I THINK IT IS AWFULLY CHALLENGING TO SAY THAT WE'RE GOING TO IMPROVE THESE RENTAL HOUSES IN MY MIND WHAT I SEE. WE JUST DON'T KNOW IF YOU GUYS KNOW YOU PROBABLY DO. WE JUST APPROVED A NEW WORKFORCE HOUSING PROJECT THROCKMORTON IN 3 80. THOSE ARE GOING TO BE NICE RENTALS THERE ALL OF A SUDDEN GOING TO BE IN THIS MARKET. OKAY. NOW, IF I'M LIVING OVER THERE IN A HOUSE THAT'S OF POOR QUALITY, BAD INSULATION, BAD WATER, BAD AIR CONDITIONER, AND I LOOK OVER HERE TO SAY I COULD MOVE OVER HERE THEN I HAVE AN OPPORTUNITY. YOU KNOW IF THE LANDOWNER IS TRULY CASH POOR AND CAN'T FIX THE I'D LIKE THAT LANDOWNER TO SELL THAT RENTAL PROPERTY TO SOMEBODY WHO CAN REHAB IT AND THEN RE MONETIZE THAT I JUST I JUST THINK THAT IS A REAL SLIPPERY SLOPE TO IMPROVE THE POSITION OF SOMEONE WHO IS IN A POSITION TO OWN RENTAL PROPERTY. I'D LIKE THE FREE MARKETS TAKE A BETTER TURN ON THAT THAN HAVE US START. SUBSIDIZING IT. I WOULD BE IN FAVOR OF SOME LEVEL OF INCREASED CODE ENFORCEMENT ON THESE HOUSES SO THAT WE ARE ABLE TO KEEP THESE SLUMS FROM MANIFESTING. AND I ALSO MADE THE COMMENT THAT IT WOULD REVERT AS A CASH TRANSACTION. I DON'T KNOW THAT IT ALSO, AND I KNOW WE'RE GETTING INTO THE WEEDS ON HOW WE WOULD ACTUALLY MONITOR AND OVERSEE IT, BUT THAT IF THE TENANT CHANGES AGAIN WHAT WE SET OUT AND FROM THE BEGINNING, YOU KNOW, MY ADVOCATION HAS ALWAYS BEEN FOR PROTECTING RESIDENTS THAT LIVE THERE NOW. AND ALLOWING THEM TO BE ABLE TO REMAIN IN THERE WITHOUT THE COST OF RISING VALUES TO PUSH THEM OUT. THAT'S EXTREMELY IMPORTANT. UM BUT IF THAT RESIDENT WAS OUT THAT THAT RENTAL RESIDENT MOVES OUT, AND NOW IT IS A VACANT PROPERTY TO BE RENTED TO SOMEBODY ELSE. UM IS THERE AN APPETITE? ON THIS COUNCIL TO KEEP THAT PARTICULAR HOME IN THIS PROGRAM, OR DOES IT THEN REVERT TO AGAIN A MARKET PRODUCT. BUT YOU'RE BACK TO A BASICALLY OWNER OCCUPIED THINGS , RIGHT? I'M JUST TALKING ON THE OWNER OCCUPIED, RIGHT? RIGHT OKAY, AS I SAY THAT, PAUL DESTROYING ME THAT OF COURSE, WE'RE ALSO TALKING ABOUT MAKING SURE THAT WE MAINTAIN THE LEVEL OF OBTAINABLE HOUSING IN THE COMMUNITY. SO YEAH. YEAH, I THINK THE THING WITH THE CLT IS YOU'VE OBVIOUSLY GOT THE LAND, WHICH THERE'S ALSO SOME I MEAN, YOU'RE TRYING TO ENCOURAGE HOME OWNERSHIP. BUT THERE'S SOME BENEFITS TO HOMEOWNERSHIP THAT ULTIMATELY THE HOMEOWNER WON'T NECESSARILY HAVE THAT THAT THAT FEE SIMPLE OWNER MAY HAVE.

THERE'S STILL THERE'S STILL ON THE GROUND LEASE. THERE'S STILL SOME LIMITATIONS TO THAT. AND SO LONG AS THEY'VE MADE THIS LEASE AGREEMENT WITH THE COMMUNITY LAND TRUST, THERE'S SOME LIMITATIONS. ON WHAT THEY'D BE ABLE TO DO WITH THE HOUSE. I THINK THE EXAMPLE WITH HABITAT AS THERE IS A LIKE A SOFT SECOND THAT'S PLACED ON THE HOUSE. SO IF THEY DIDN'T DOES SELL DURING A PERIOD OF TIME THAT THERE'S SOME RECOUPING OF THAT. UM THAT'S A GOOD THING AND MAINTAINING AFFORDABILITY AND ATTAINABLE HOUSING. BUT IT'S ALSO A BAD THING BECAUSE IT TAKES AWAY FROM THE BENEFITS OF HOMEOWNERSHIP BECAUSE IF THEY'RE GOING TO TAKE A RISK AND BUY A HOME THEN THEY SHOULD GET THE BENEFIT OF HOME APPRECIATION AND ALL OF THOSE THINGS THAT COME WITH IT, BUT ULTIMATELY THEY'RE ALLOWED TO DO THAT BENEFIT THROUGH SOME WORK IN THE CITY THAT WANTS TO BE COMPENSATED FOR IT. ONE WAY TO APPROACH THAT JUST WOULDN'T BE THAT. SAME THOUGHT AND BUT THE WAY I'M THINKING THROUGH, THIS IS PERSON NOW THAT THAT OWNS A HOME. THEY SELL THE LAND TO THE CLT GUILTY NOW OWNS THAT PROPERTY. THEY'RE NOT PAYING TAXES ON THE LAND WHILE APPRECIATES. 20 YEARS GO BY 10 YEARS AGO BY FIVE YEARS. WHATEVER THAT NUMBER IS, THEY NOW GO TO SELL THAT PROPERTY. THERE'S A THERE'S A CASH EVENT. THE CASH EVENT. THEY THINK THE CLT THE LAND WOULD REVERT TO THEM OR THEY PURCHASED THE LAND. AT THAT TIME. TO ME, THE PRICE OF THAT LAND WOULD BE WHAT IT WAS PURCHASED BY THE CLT AT THE TIME, PLUS THOSE TAXES THAT WERE FOREGONE THAT THEY DIDN'T PAY FOR THAT ENTIRE PERIOD OF TIME. THEY OWNED IT. THEY WOULD HAVE THE BENEFIT, THOUGH. OF COURSE, THE APPRECIATION OF EVERYTHING ABOVE THAT SO AT THE END, THE CLT IS RECOUPING THE TAXES THAT WERE THAT WERE NOT PAID. AND. AND THAT OWNER IS STILL GETTING TO PARTICIPATE IN THE APPRECIATION OF THE HOME, BUT IN ESSENCE, THEY'RE PAYING BACK

[00:55:03]

WHAT WAS SUBSIDIZED BY THE CLT. I GUESS MY UNDERSTANDING OF A CASH EVENT FOR THE OWNER OF THE HOME WOULD NOT BE AN UNWINDING OF THE. GROUND LEASE WITH THE COMMUNITY LAND TRUST. THAT'S A DISCUSSION WE HAVE RIGHT NOW. THERE'S A THERE'S A LOT OF DIFFERENT WAYS WE COULD APPROACH IT IN MY CORRECT IN THAT. EXACTLY SO THERE COULD BE AN UNWINDING. THEY'RE ALSO CANNOT BE COMMENT I MADE BEFORE IS FOR ME ANYWAY. ONE OF SEVEN, BUT I'M NOT THINKING I WASN'T THINKING ANYWAY. IN TERMS OF THIS BEING IN PERPETUITY WAS AGAIN TO PROTECT RESIDENTS THAT LIVE IN THE COMMUNITY. TODAY THAT NECESSARILY 50 YEARS FROM NOW WE'RE 100 YEARS FROM NOW, IF THAT'S THE CASE THAT WE'RE JUST PROTECTING THE EXISTING RESIDENTS FROM A POTENTIAL TAX BURDEN THAT EXISTS. THEN WE'VE WE'VE THROWN OUT. I GUESS THE OTHER GOALS OF THIS UM WHICH IS TO KIND OF MAINTAIN WHAT THE COMMUNITY IS AND THE CULTURE OF THE COMMUNITY. SO IF YOU IF YOU'VE IF YOU'VE IF YOU LIMIT. THE LENGTH OF TIME THAT THIS PROGRAM EXISTS. THEN YOU POTENTIALLY LIMIT THE IMPACT THAT THE PROGRAM HAS TO JUST THAT. JUST THAT GOAL, JUST THE GOAL OF PROTECTING TAX. HMM. REDUCTION DURING THAT OWNERSHIPS DURING THAT OWNERS, UM. TIME OWNING THE HOME, SO I THINK THERE'S OTHER THINGS THAT COME FROM A CLT THAT WE GET BENEFIT FROM IT OUT AND AGAIN, AS I HAVE STATED THAT WAS MY THINKING NOW CERTAINLY CAN COULD CHANGE WITH DELIBERATION DISCUSSION, BUT, UM THERE IS THERE IS A WAY TO ACHIEVE THAT, TOO. WITH A WITH A USING THE CLT AND SOME OF THE OTHER PROGRAMS ARE TALKING ABOUT DOESN'T NECESSARILY HAVE TO BE ON THESE PARTICULAR HOMES THAT ARE THAT ARE EMBEDDED IN THE IN THE OTHERWISE BEING REDEVELOPED AREA. AND I'LL JUST NOTE ONE OF THE THINGS THAT WE'VE HEARD THROUGHOUT THE PROCESS IN TERMS OF THE COMMUNITY OUTREACH, GIVEN THAT THESE ARE THE HISTORIC NEIGHBORHOODS ABUSED MCKINNEY AND THAT SORT OF MULTI GENERATIONAL CHARACTER OF THESE AREAS, AND IT'S THE CURRENT RESIDENTS WHO ARE FEELING THE PRESSURE THE MOST JUST BECAUSE THIS IS WHERE THE MARKET HAS MATURED TO AT THIS POINT. BUT THE FACT THAT A LOT OF THESE FAMILIES HAVE BEEN IN THESE NEIGHBORHOODS FOR DECADES IS A PIECE OF THE COMMUNITY THAT THEY IS. THE RESIDENTS ARE LOOKING TO PRESERVE. AND SO OBVIOUSLY THERE'S THE BROADER POLICY QUESTIONS OF WHAT TOOLS AND WHAT STRATEGIES AND IN WHAT WAY, BUT IN TERMS OF THE NEIGHBORHOOD PRESERVATION THAT IS SOMETHING THAT WE HEARD FROM THE COMMUNITY AND FROM THE RESIDENTS THAT THEY WANT THEIR CHILDREN AND THEIR GRANDCHILDREN. THEY WANT TO MAINTAIN THAT LEGACY OF THESE FAMILIES IN THESE NEIGHBORHOODS I THINK FROM I SPENT STANDPOINT , I HAVE TO AGREE WITH JUSTIN UNTYING IN THE EVENT OF A SALE OR SOMEONE'S DEATH AND TYING THE CLT FROM THE OWNERSHIP OF THE STRUCTURE ITSELF ONLY SOLVES A PROBLEM FOR OUR GENERATION, AND THAT'S IT. SO MY QUESTION IS, HOW DO WE MAINTAIN GENERATION TO GENERATION AND ONE OF THE BEST WAYS TO INCREASE GENERATIONAL WEALTH? THIS PASS ON HOMEOWNERSHIP? SO I WOULD LIKE TO SEE US REALLY REACH FOR THAT BETTER, UM, AND AS WE'RE CREATING THESE POLICIES, SO. BUT BUT I'M NOT SAYING DISAGREE THAT BUT FOR THEM TO I DON'T KNOW THAT THERE EVER THERE EVER GAINING GENERATIONAL WEALTH AND HOME OWNERSHIP IF THERE'S NEVER THE ABILITY FOR A TRANSACTION AT MARKET VALUE. OTHERWISE THERE'S JUST BASICALLY RIM CONTROLLED LIVING. I MEAN, GET UP A LITTLE BIT DIFFERENT IN THAT IT'S AN OWNERSHIP PRODUCT, BUT I MEAN THERE. GRANTED I'M NOT SAYING THAT YOU PRECLUDE THE ABILITY TO BUY IT OUT OF THE TRUST OUTRIGHT, BUT TO FORCE IT OUT. THERE'S A DIFFERENT THING. AND SO UM, THERE'S ALWAYS YOU KNOW THE FLEXIBILITY TO END THE LEASEHOLD AGREEMENT AT A MARKET RIGHT? BUT IF YOU REQUIRE THAT THEN YOU'VE JUST PUSHED THE SPECULATORS DOWN THE ROAD 10 YEARS. AND SO IF YOU'RE JUST IF THAT'S ALL YOU'RE DOING, THEN YOU'RE GOING TO HAVE ALL OF THE SALE EVENTS WHEN BUT REMEMBER, BUT REMEMBER, MY COMMENTS WERE ALL AND MAYBE YOU'LL MISS THIS. BUT MY COMMENTS WERE TOWARDS RIGHT NOW THE ABSENTEE OWNER THAT'S RENTING THE PROPERTY TO SOMEBODY. WE HAVE TWO THREADS GOING ON TO THE TWO PRODUCTS. THERE'S THOSE THAT OWN THE HOME. THAT'S YOUR GENERATIONAL THAT WE'RE WANTING TO BUILD. I WAS TALKING ABOUT THE 60 TO 70% OF ABSENTEE LANDLORDS RIGHT NOW THAT ARE NUMBER ONE, KEEPING THEM FROM HAVING A. WELL FOR THEM. IT'S NOT A RING CONTROL.

THEY'RE KEEPING THEM FROM HAVING A PRODUCT. THAT THAT THERE NEVER PAYING TAXES ON. AND THEN ONCE THAT TENANT LEAVES OR EVEN BOTHERED, HENCE THEIR INCREASING THE RENT TO MARKET VALUE. THAT'S NOT A THAT'S NOT ACHIEVING GENERATIONAL WEALTH FOR RIGHT, BUT THAT'S ALSO NOT THE CLT.

WOULD BE IF THE CLT WAS PER SCENE. THE PROPERTY UNDER THAT HOUSE THAT'S NOT OWNED ITS OWN,

[01:00:01]

BUT IT'S NOT THE TENANT GESSO CLT. THE AGREEMENT WOULD NOT BE WITH THEORETICALLY AND I DON'T KNOW IF WE'VE PRECLUDED THIS IN THE DOCUMENTS MARK YOU CAN ANSWER, BUT IT WOULD TYPICALLY HAVE AN HONOR AN OWNER OCCUPIED I THINK WE WOULD HAVE A CLT WHERE YOU'VE GOT A RENTER IN THERE. SO I THINK THAT THERE'S SOME OTHER THINGS THAT THEY'VE TALKED ABOUT. WITH THAT WE'VE WE'VE. HITS THE IDEA OF CREEPING INTO RENTAL UNITS LIKE THE REHAB PROGRAMS BECAUSE YOU DO HAVE SOME ISSUES WHEN YOU'RE PROVIDING REHAB? YOU'RE NOT GETTING JUST PROVIDED SOMEBODY WHO YOU MAY NOT, OR SOME OTHER TYPE OF TAX RELIEF THAT EXISTS, BUT BUT I DON'T THINK THAT A RENT A LANDLORD AND RENTER. OBLIGATION COULD OCCUR IN THE CLT. IS THAT CORRECT? MARK? I DON'T KNOW. THAT IS PRECLUDED. WE'D HAVE TO PRECLUDE IT. YEAH I THINK RIGHT. I THINK IT'S SOMETHING THAT COULD BE TAILORED. AND THAT'S YEAH ASSUMED IT WAS WHEN WE CREATED IT BECAUSE YOU'VE GOT A OWNER. AND A LEASE AGREEMENT. YOU DON'O IDENTIFY THAT THERE'S NO SUBLEASING IF YOU WILL. YOU KNOW , I GUESS I WAS UNDER THE ASSUMPTION THAT WAS IN THE CLT.

WHEN IT SOUNDS LIKE WE AGREE ON THE SAME THING. WE'RE JUST HAVING TWO. WE HAVE TWO DIFFERENT PRECONCEPTIONS. JUST CLARIFY FOR OUR CONSULTANT. SO I THINK WHAT YOU'RE SAYING IS THE CLT CAN BE TAILORED AND SLICED AND CUT IN DIFFERENT WAYS TO DO DIFFERENT THINGS. NUMBER ONE IS YOU COULD KEEP FOLKS IN THEIR HOUSE. THAT WE'RE WORRIED ABOUT. THEY MAY WANT TO SELL IT TO THE CLT. TAKE THE CASH. IMPROVE THE HOME WHATEVER AND STAY IN THAT HOME BECAUSE THAT'S A GREAT PROGRAM TO KEEP THEM IN THE HOME AND THAT DEALS WITH THAT ISSUE, BUT YOU COULD ALSO DO A CLT TWO WITH MCKINNEY HOUSING AUTHORITY. THIS CLT BUYS THE LAND PARTNERS WITH MCKINNEY HOUSING AUTHORITY , AND THEY'RE GOING TO RENT IT FOR ITS AFFORDABLE BECAUSE THERE'S NO PROPERTY TAX ON IT.

UM YOU CAN ALSO DO A DEAL WITH HABITAT FOR HUMANITY TO GET HOME OWNERSHIP, AND THAT'S A CLT DEALS AND THE CLT CAN BE. IT'S A GREAT TOOL TO BE USED IN DIFFERENT WAYS. BUT THE COUNCIL HAVE TO TELL US IS WHAT WAYS DO YOU WANT TO USE IT RIGHT. AND I THINK THAT'S WHAT EXACTLY HOPING TO GET YOU WON'T HAVE ALL THE ANSWERS TODAY, BUT SO LET ME MAKE THIS STATEMENT. SEE IF THERE IS AGREEMENT ON HERE THAT WE WOULD WE WOULD PROVIDE THE ABILITY FOR PEOPLE THAT ARE LIVING IN THEIR HOMES. NOW THOSE PEOPLE THAT OWN THE HOMES AND OCCUPIED LIVING IN THEIR HOMES.

CLT PURCHASE. WE WOULD WE WOULD PURCHASE IT. THEY WOULD BE THERE . THEY WOULD NOT PAY TAXES THAT SOLVES THAT PROBLEM FOR THAT SPECIFIC. YOU KNOW? UNDER OWNER OCCUPIED HOMES. ON THE RENT AND THE RENTAL PROPERTY. WE WOULD HAVE A ANOTHER PROGRAM, WHETHER IT'S PARTNERED WITH THE HOUSING AUTHORITY, OR, HOWEVER, THAT IS DONE WHERE WE ARE ABLE TO PROVIDE THE OWNER OF THE RENTAL PROPERTY, TOO. BE ABLE TO CONTINUE TO RENT THE PROPERTY TO THOSE THAT ARE RENTED TO NOW, AT THE RATE THAT THE RENTING TO NOW MAYBE THAT INCREASES WITH CPR WHATEVER THAT IS. UM BUT THAT IN THOSE PROPERTIES, THERE MIGHT BE A REVERSION BACK TO MARKET ON A ON A CASH TRANSACTION IF THAT OWNER SELLS THE PROPERTY BECAUSE AGAIN THAT WASN'T. SERVING OR SATISFYING OUR GOAL OF GENERATIONAL WEALTH BUILDING AND HOME OWNERSHIP. AM I. THE ONLY THINGS I WOULD ADD TO THAT ARE THE OCCUPANT OF THE OWNER OCCUPIED HOUSE THAT SELLS THE LAND TO THE CLT WOULD STILL PAY TAXES ON THE STRUCTURE, WHICH IS A SMALLER PART. ON THE RENTERS. YOU KNOW, I JUST HAVE A REAL TOUGH TIME. WITH THE CITY GETTING IN BED WITH WITH LANDLORDS WHO HAVE SUB STANDARD HOMES THAT THEY'RE RENTING. I'D RATHER THAN JUST SELL OUT. UM TO THE CITY AGENCY. YEAH THE WHOLE THING AND THEN LET LET THE CITY TAKE IT FROM THERE. SO WE'RE NOT WORRIED ABOUT WHAT LANDLORD DOES INCREASING THE WRITTEN NOT FIXING THE AIR CONDITIONING THIS AND THAT WE JUST GOT IT. AND IF THE CLT EVER WANTS TO GET RID OF THE RENTAL PROPERTY, WE SELL IT. YOU DON'T LIKE THAT IDEA? I GUESS I DON'T MIND THAT IDEA, BUT WE DON'T. WE DON'T HAVE A CITY AGENCY, THE CITY THAT KNOWN ANY RENTAL PROPERTY SO LIKE YOU EITHER LOSE IT OR PLEASE PARTICIPATE IN IT. AT THIS POINT. I JUST CAN'T GET GET MY HEAD AROUND GETTING INTO THESE PEOPLE THAT ARE THESE SUB STANDARD RENTAL HOMES. I JUST THINK IT'S A MESS. RIGHT IT IS THERE A PRETEND POTENTIAL WAY TO CREATE A PARTNER EITHER IN THE FORM OF AN ACTIVE, VIBRANT HOUSING AUTHORITY OR SOME OTHER ENTITY THAT CAN ACT ON BEHALF OF LOVE TO HEAR OUR STAFFS INPUT ON THAT THE ONES WHO WOULD BE IN CHARGE OF THE BLOCKING TACKLING ON IT, BUT I'D CERTAINLY LOVE TO HEAR THAT SUCKER. COME ON UP. SO THIS IS THIS IS REALLY INTERESTING. AND WHAT TO? WELL I'LL GET TO GET TO THAT QUESTION. WE HAVE THE MCKINNEY HOUSING FINANCE CORPORATION. WE HAVE LOTS OF NONPROFIT PARTNERS

[01:05:03]

, SO THAT'S DEFINITELY DOABLE. UM WHAT? WHAT THE CRUX OF THE QUESTION IS, AS FAR AS I'M CONCERNED IS THE GOAL OF CITY COUNCIL. TO, UM. MITIGATE THE IMPACT ON CURRENT RESIDENTS. OF DEVELOPMENT PRESSURES IN THE EAST SIDE OR IS THE GOAL OF CITY COUNCIL. TO MAINTAIN NATURALLY OCCURRING AFFORDABLE HOUSING. IN EAST MCKINNEY AND MAINTAIN THE CHARACTER IN GENERATIONAL NATURE OF THE NEIGHBORHOOD BECAUSE THE ANSWER TO THAT QUESTION IS REALLY GOING. TO DIRECT US IN ONE OR 21 OF TWO DIRECTIONS. DO WE WANT TO MAINTAIN NATURALLY OCCURRING AFFORDABLE HOUSING, WITH THE WITH THE EMPHASIS BEING ON AFFORDABLE HOUSING? AND OR DO WE JUST WANT TO MAKE SURE THAT THE RESIDENTS THAT HAPPENED TO BE THERE RIGHT NOW ARE NOT IMPACTED BY THE DEVELOPMENT THAT'S OCCURRING, AND MAYBE THIS ISN'T TO BE ANSWERED THIS EVENING OR THIS AFTERNOON, BUT IT SEEMS THAT THAT'S KIND OF THE CRUX OF THE QUESTION AND WHERE THESE ARE GOING. UM YOU KNOW, WE HAVE NONPROFIT AGENCIES. WE HAVE ACCESS TO NON PROFITS. WE HAVE THE HOUSING FINANCE CORPORATION WITH MHM SO WE CAN DO WHATEVER WHATEVER IT IS THAT YOU WANT US TO DO. WE CAN FIGURE THAT OUT.

WE CAN MAKE THAT HAPPEN. BUT WE REALLY NEED TO KNOW WHAT ARE THE GOALS. SO I. I WAS SAY A COUPLE OF THINGS FROM MY POINT OF VIEW, BECAUSE I DO THINK I THINK THAT THERE. THERE IS VALUE IN PROTECTING UM, THE EXISTING AFFORDABLE RENTAL MARKET THAT IS OUT THERE. THAT IS BOTH, UM MULTIFAMILY RENTALS THAT ARE SUBSIDIZED THROUGH MHM THROUGH MCKINNEY HOUSING FINANCE THROUGH UM, ANY OF THE PUBLIC PROVIDERS THAT ARE CURRENTLY DOING THAT WE HAVE A NUMBER OF AFFORDABLE UNITS THAT ARE SUBSIDIZED IN THAT WAY. BUT WE ALSO HAVE A NATURALLY OCCURRING AFFORDABILITY THAT EXISTS. AND THE INCREASE IN TAXES AND THE ALTERNATE USES THAT HAVE COME UP OVER THE LAST FIVE YEARS. THEORETICALLY IS CHANGING THAT, AND THAT MAKES IT LESS AFFORDABLE TO LIVE THERE AND LESS AFFORDABLE TO WORK IN MCKINNEY TO LIVE AND WORK IN MCKINNEY AND SO, FINDING SOME WAY THAT WE CAN MAINTAIN SOME AMOUNT OF OTHER HOUSING STOCK.

WHETHER THAT IS. CONTINUING LIGHT TECH PRODUCTS, WHETHER THAT IS EXPANDING MHS OFFERING WHETHER THAT IS THROUGH PROVIDING TOOLS TO LANDLORDS WHO WILL PROVIDE, UM, RENTAL ASSISTANCE IN SOME WAY, I GUESS THAT'S ULTIMATELY CREATING A NEW PRODUCT THAT I THINK YOU'LL HAVE TALKED ABOUT JOHNNY WHERE YOU DO HAVE THIS IDEA OF UM, AN INSPECTION PROGRAM. THEY HAVE TO MEET CERTAIN AFFORDABILITY IF THEY GET FUNDS. UH, UM, IN SOME WAY, SO BUT THAT AT LEAST ALLOWS FOR AFFORDABLE HOUSING STOCK TO EXIST. IN AND I DON'T THINK WE LIMITED TO EAST MCKINNEY, HOWARD AND SAY OLDER MCKINNEY EAST OF 75. THERE WAS A LOT OF THAT STOCK AROUND WHERE I LIVE, TOO.

THAT RIGHT NOW IT'S AFFORDABLE. IN FIVE YEARS. IT'S NOT AND THEN WHEN IT'S GONE, IT'S GONE. AND IF WE CAN FIND WAYS TO UM, IMPROVED QUALITY WHILE MAINTAINING AFFORDABILITY. THEN I THINK THAT THOSE ARE EFFORTS THAT WE SHOULD MAKE. THE EFFORTS ON THE HOMEOWNERSHIP SIDE ARE DIFFERENT BECAUSE WHAT WE'VE SEEN IN THE DATA THAT THEY HAVE PRESENTED UM AND YOU CAN SEE IT IN IN AH, PRETTY MUCH IT. ANY ANECDOTAL EXPERIENCE IN OLD MCKINNEY IS THAT THE YOU COULD FIND HOMES 789 YEARS AGO. 451 $180,000, AND RIGHT NOW THAT MINIMUM IS PROBABLY AROUND 275 TO 300. IF YOU CAN FIND THAT THERE MAY BE ONE OUT THERE ON THE MARKET. MOST OF THE TIME.

IT'S 3 50 TO 400. AND THAT IS AN OLD MCKINNEY THAT IS AN EAST MCKINNEY THAT IS IN ANYWHERE IN MCKINNEY. WE HAVE SEEN THE BARE MINIMUM HOUSING PRODUCTS SELL. RISE FROM A REASONABLE AMOUNT TO AN UNREASONABLE AMOUNT AND UM, FINDING WAYS THAT PEOPLE CAN STILL FIND HOMEOWNERSHIP IN THIS MARKET. WITHOUT TAKING AWAY TOO MANY OF THE BENEFITS OF HOMEOWNERSHIP IS VALUABLE. I THINK THAT'S WHAT THE CLT DOES. UM BUT AGAIN, IT'S COUPLED WITH OTHER PROGRAMS THAT ARE

[01:10:03]

PROVIDING AFFORDABILITY SO THAT WE HAVE HOUSING STOCK THAT IS AFFORDABLE RENTAL AND SUBSIDIZED . WE HAVE HOUSING STOCK THAT IS AFFORDABLE RENTAL THAT IS, IS NATURALLY OCCURRING. AND WE'VE CREATED RESOURCES. WE'VE GOT AN AFFORDABLE HOME OWNERSHIP PROGRAM, AND WE HAVE A MARKET RATE. OR I GUESS A MARKET PRODUCT THAT'S OUT THERE, SO ULTIMATELY, PEOPLE WHO LIVE HERE HAVE CHOICES AND RESOURCES TO CHOOSE WHAT'S BEST FOR THEM, AND THAT'S NOT WHERE WE'RE PUSHING THEM INTO PRODUCTS. BUT WE HAVE HOUSING STOCK THAT IS VIABLE FOR THE WORKFORCE THAT LIVES HERE.

WHICH IS YOU KNOW, IN IN EAST MCKINNEY THAT CAN BE ANYWHERE FROM $15 AN HOUR TO YOU KNOW HUNDREDS OF THOUSANDS OF DOLLARS AND THEY BUT RIGHT NOW, OUR OPTIONS ARE NOT ACROSS THE BOARD LIKE THAT, AND I THINK THAT THERE ARE WAYS THAT WE CAN YOU KNOW, PROVIDE PROGRAMS THAT ULTIMATELY PROVIDE THOSE RESOURCES THAT PROVIDE THOSE OPTIONS. SO THAT'S MY HEARING.

UH BENEFIT OR UTILIZE THE CLT UTILIZED PARTNERS. AND AH. HEARING SLIGHTLY DIFFERENT THINGS, SOMEONE COUNCIL BUT AN INTERESTING ENGAGING BUT PROBABLY ONE STEP REMOVED FROM ACTUAL ENGAGEMENT WITH RENTAL PROPERTY OWNERS SLASH LANDLORDS. BUT USING THE CLT IN ALL OF THE DIFFERENT FACETS THAT CAN BE TAPPED WITH A PARTNERS TO CREATE MANY OPTIONS. THAT'S PART OF WHAT I'M HEARING IS THAT WE NEED A MULTIFACETED PROGRAM. I'M OPEN TO A LOT OF THINGS I WANT TO MAKE ONE WON'T MAKE THIS LONG. 10 YEARS AGO. REALLY 12. WE WERE IN A INSANELY TERRIBLE HOUSING MARKET, RIGHT? WORST I'VE EVER SEEN. I MEAN, YOU KNOW, PEOPLE COULDN'T GIVE AWAY THEIR HOUSES AND WHAT HAS IT BEEN SINCE COVID. IT'S BEEN INSANE THE OTHER WAY, SO I DON'T WANT TO GET TOO CAUGHT UP IN MANAGING FOR MOMENTS BECAUSE THE MARKET WILL WHIPSAW YOU IF YOU DO, UM THE YOU KNOW WHAT ONE GUARDRAIL ? I WANT TO GIVE YOU THIS IS ONLY ME IS I'M GOING TO BE VERY RELUCTANT TO BENEFIT ANY OWNER OF THE SUB STANDARD PROPERTY ON THIS THING, I WANT THEM TO SELL IT AND GET RID OF IT, WHETHER IT'S TO A PUBLIC CORPORATION OR HOPEFULLY TO SOMEBODY ELSE, BUT UM YOU KNOW, WE DON'T KNOW. WHAT THE NEXT FEW YEARS HOLD, SO I WANT TO STAY FLEXIBLE. I DO ALSO WANT TO SAY THAT WE ARE COMPETING AGAINST A PROGRAM WHICH ANY RESIDENT OVER 65 CAN DEFER THEIR PROPERTY TAXES. I BELIEVE IN 8% SIMPLE RATES, SO I'M NOT LOOKING TO GET INTO A TERRIBLE AMOUNT OF COMPETITION WITH THAT, BUT I DO RECOGNIZE THE DIFFICULTIES THAT HAS, AND I KIND OF LOVE THE IDEA OF BEING ABLE TO SELL THE LAND TO THE CLT. BEING ABLE TO LIVE OUT THEIR DAYS AND MY STRONG GUESSES. WHATEVER STRUCTURES LEFT AFTER THAT IS NOT GOING TO BE A TERRIBLY ROBUST BUYOUT FOR THE CLT OR WHATEVER. SO THOSE ARE THE COMMENTS I WANT TO MAKE OTHER THAN THE LAND VALUE. LAND VALUE WE BOUGHT THE CLT BOUGHT IT. I THINK CLT OUGHT TO HOLD THE LAND VALUES WE CASH THE OWNER OUT OF THE LAND, WHICH IS JUST A TRANSACTION OWNER GOT FAIR MARKET VALUE, AND THAT'S REALLY IT. IT'S WE'RE NOT FORCING ANYBODY TO DO IT. IT'S A IT'S A VOLUNTARY WAY TO GO AND I COULD SEE A BIG BENEFIT TO A RETIREE WHOSE CASH STRAPPED TO BE ABLE TO DO THAT, BECAUSE YOU KNOW WHAT? THE DIGNITY THEY WANT TO MEET TO GENERALIZE, BUT THE DIGNITY THAT THEY WANT TO MAINTAIN IS THE ABILITY TO STAY IN THEIR OWN PLACE AND NOT HAVE TO KNOCK ON THEIR KIDS DOOR AND THAT DOES IT. AND PERHAPS, COUPLE WHAT? YOU'VE JUST ARTICULATED WITH REHAB DOLLARS, TOO. SO THAT NOT ONLY DO THEY HAVE REVENUE FROM THE SALE OF THE LAND, BUT THE CITY PROGRAM RELATED TO REHAB, PERHAPS YOU KNOW, THAT'S A LONGER WALK, BUT THE CASH OUT OF THE LAND CERTAINLY GIVES THEM FLEXIBILITY TO DO A LOT OF THINGS. I WANT TO MAKE ONE OTHER COMMENT THAT AGAIN. I HAVE BEEN PUSHING THIS FOR YEARS MYSELF, SO I'M I THINK I'M A UNKNOWN ADVOCATE TO DO SOMETHING ALONG THE LINES OF WHAT WE'RE TALKING ABOUT THE SAME TIME THERE'S GOT TO BE A BALANCE. THERE'S GOT TO BE A BALANCE WITH THE REST OF MCKINNEY, THE REST OF RESIDENTS. YOU KNOW, THE SITUATION IS NOT INDICATIVE JUST TO OUR INDIGENOUS ONLY TO EAST MCKINNEY OR OLD MCKINNEY. IT'S INDIGENOUS TO THEIR FAMILIES AND IN SITUATIONS LIKE THIS ACROSS THE COMMUNITY. TO THOSE RESIDENTS THAT ARE NOT IN THAT SITUATION.

THERE'S GOT TO BE A BALANCE WITH THEM TO THE DEVELOPMENT OF THIS EAST SIDE IS ULTIMATELY GOING TO PROVIDE ADVIL OR, UM, TAX VALUE AND WHATNOT THAT SUBSIDIZES PROPERTY TAXES FOR EVERYBODY AND AS IT SHOULD, BECAUSE THAT'S WHAT THE MARKET DOES, AND THE MARKET HAS DONE THAT EVERY OTHER ASPECT OF THE CITY. SO WHEN I WHEN I YOU KNOW, PROPOSED. STEPS IN THIS DIRECTION. YEARS AGO, IT WAS IT WAS REALLY MUCH MORE ABOUT PROTECTING THOSE WHO LIVE IN THERE AT THIS TIME, ALLOWING THEM TO RIDE THE WAVE OF PROPERTY VALUE, APPRECIATION AND WHATNOT. THAT THAT WAS. THE GOAL IS FOR ME. OF COURSE I'M ONE OF SEVEN. SO UM, BUT WHATEVER WE DO , THERE'S GOT TO BE A BALANCE.

UM THIS IS NOT A THIS IS IT'S THIS EAST MCKINNEY IS NOT A COUNTRY TO ITS OWN OR AREA TO

[01:15:08]

ITS OWN IN THE CITY. THERE'S A LOT OF RESIDENTS THAT IMMEDIATELY WOULD BE SAYING, HOLD ON. I'M NOT A NO MCKINNEY BUT I'VE GOT THAT SITUATION OVER HERE ON THE WEST SIDE OR OR UP NORTH OR WHEREVER IT MIGHT BE SO WHATEVER WE DO, IT'S GOT TO BE BALANCED AND IT'S AN AND IT CAN'T CAN'T BE SOMETHING THAT IS UNFAIR. SO ONE SPECIFIC QUESTION BUILDING ON THAT. DO YOU WANT TO PILOT SOME OF THESE PROGRAMS IN EASTERN MCKINNEY AND WITH THE ATTENTION TO GROW OR DO YOU WANT TO APPLY BROADER RIGHT OUT OF THE SHOE? I DON'T I DON'T KNOW THAT WE HAVE ENOUGH INFORMATION FOR ME TO ANSWER THAT QUESTION, THOUGH I LOVE A KEY IN ON THE WORD PILOT PROGRAM TO IDENTIFY.

YOU KNOW, A MAYBE A VIABLE VEHICLE THAT WE LOOK AT HERE AND THEN MAYBE APPLIED BUT AGAIN.

I'M ALL FOR. THERE'S A LOT OF THINGS THAT I'M HEARING A LOT OF THINGS THAT ARE VERY, VERY CONVINCING AND PERSUADING AT THE SAME TIME. I WANT TO REMAIN GROUNDED IN IN WHAT WE LOOK AT TO BE A BALANCED AND FAIR, EQUITABLE THING FOR THE ENTIRE COMMUNITY. CAN'T CAN'T JUST PUT ONE ASPECT OF THE COMMUNITY AND OFFICIAL AND IGNORE ITS IMPACT ON EVERYBODY ELSE? UM, SO THERE IS ALSO A BALANCED THERE IS ALSO A REASON WE'RE DOING THIS RIGHT NOW FOR EAST MCKINNEY AND THE ISSUES ARE BROADER AND SEEN THROUGHOUT THE COMMUNITY. THERE DEFINITELY CONCENTRATED AND AMPLIFIED IN THESE COMMUNITIES. AND SO STARTING HERE NO DOUBT THAT POINT AND THEN LOOKING AT WHAT WORKS AND WHAT MEETS THE NEEDS OF THE RESIDENT THESE TYPES OF CHALLENGES MOST AND THEN HAVING THE OPPORTUNITY TO BROADEN THAT OUT. I THINK IT'S A GREAT OPPORTUNITY. SO WHAT I'M WHAT I'M GOING TO SUGGEST IS THIS IS A ROBUST CONVERSATION WITH A WHOLE LOT OF DISCUSSION NEEDS TO HAPPEN. I THINK THAT THIS IS GOING TO WARRANT A WORK SESSION ALL TO ITS OWN MEN. AND SO I WOULD LIKE TO SCHEDULE THAT BECAUSE WE DO HAVE A TIME. AGREED CAN WE HIT FOUR AND FIVE QUICKLY AND GET DIRECTIONS ON ONE OTHER BIG IDEA FOR MANAGED DEVELOPMENTS OF NEW DEVELOPMENT ? SO WE'VE GOT APPLICATIONS THAT WILL BE COMING IN. SO WE ARE WANTING TO TALK ABOUT DEVELOPER AGREEMENTS. YOU KNOW? WHAT DOES THE AREA NEED IN TERMS OF INFRASTRUCTURE? SOME REALLY BASIC BUILDING BLOCKS. HOW DO WE LAYER ONTO THAT? SOMETHING'S AROUND, PLACE MAKING. HOW DO WE LAYER ONTO THAT SOMETHING'S AROUND AFFORDABLE HOUSING, SO WE WOULD LIKE TO SEE AFFORDABLE HOUSING BE PART OF THE APPROVAL . HOW YOU MITIGATE THE IMPACTS OF THAT NEW DEVELOPMENT AS PART OF THE DEVELOPER AGREEMENTS, AND AS PART OF THAT THE TRES IS PARTICULARLY HELPFUL. WE KNOW THAT IN DALLAS AND FORT WORTH, UH. CITIES THAT ARE THOSE TWO CITIES THAT ARE APPROVING DEVELOPMENT WITHIN THE TERMS ARE ABLE TO SET ASIDE REQUIRE DEVELOPERS TO SET ASIDE 20% OF NEW PRODUCT AS AFFORDABLE. SO AND THAT'S MIXED WITHIN THE DEVELOPMENT. ONE OF THE THINGS THAT WE'VE HEARD LOUD AND CLEAR FROM THE STAFF, AND I WOULD BE REMISS IF I DIDN'T REPEAT. THIS IS THAT WE ARE NOT. WE ARE LOOKING TO MAKE. THE COMMUNITY HAS ROBUST AND DIVERSE AS POSSIBLE, AND WE'RE NOT LOOKING TO CONCENTRATE ALL OF MCKINNEY'S AFFORDABLE HOUSING IN ONE LOCATION. THE 20% SET ASIDE, DOES A GOOD JOB OF MIXING THAT SO THAT'S SOMETHING I THINK THAT COULD BE VERY POWERFUL. AND THEN IT'S HARNESSING THE PRIVATE SECTOR. UM NUMBER FIVE. THE SPECULATIVE BUYERS ULTIMATELY WITH THE TOURIST FUND, IT COULD ACQUIRE LAND, AND IT COULD THEORETICALLY OUTPACED THE DOOR KNOCKERS. I MEAN, THAT'S THAT'S WHAT WE WOULD LIKE TO SEE.

THERE'S SOME STAFF CHALLENGES WITH THAT, BUT WE HAVE FULL CONFIDENCE IN GENERAL, AND I KNOW SHE LIKES TO VOLUNTEER WEEKENDS. SO, UH, OKAY, MAYBE WE CAN. YOU WANTED TO GET BACK ON THAT YOU WANTED TO GET TO THOSE TWO POINTS. THAT'S FOR EDIFICATION PURPOSES OR TO GET SOME SOME DIRECTION RIGHT NOW, ON THE LEAST THOSE TWO THINGS BECAUSE WE HAVE EXACTLY WE DO HAVE TIME CONSTRAINTS AS DEVELOPMENT IS HAPPENING AT RECORD PACE OVER THERE, SO YOU'RE LOOKING FOR DIRECTION ON THOSE AND WE CAN GET SOME DIRECTION ON THAT. I'M NOT ROOM PAPER AUTHORS. I DON'T KNOW THAT THAT'S A. I MIGHT LOOK AT THE BOUNDARIES OF OUR EXISTING TOURISM. HAVE A CONVERSATION ABOUT EXPANDING THEM, BUT I'M NOT INTERESTED IN TERRORIST THREE. WOULD YOU BE INTERESTED IN HEARING MORE ABOUT WHY? I MEAN WE REALIZED TIME IS SHORT.

YOU PROBABLY ARE DONE HEARING US TALK. I WOULD, I WOULD SUGGEST, UNFORTUNATELY, DON'T THINK THAT YOU'RE GONNA BE ABLE TO GET DIRECTION ON THAT TODAY. BASED ON JUST A FEW COMMENTS I'VE HEARD BECAUSE I DO THINK THERE. WE NEED TO HAVE A BETTER EDUCATION AS TO WHY YOU'RE PROPOSING ACTORS AND I THINK YOU KNOW RIGHT NOW WE'RE HEARING TOURISM. MAYBE SOME ARE HEARING THAT JUST IN THE FORM OF HOW IT HELPS OBTAINABLE AFFORDABLE HOUSING. BUT REALLY, WE HAVE AN ISSUE OVER THERE IN INFRASTRUCTURE AND WHOLE LOT OF OTHER THINGS, WHICH IS, YOU KNOW, SO I WOULD SUGGEST WE IT DOESN'T EVEN THOUGH WE'RE WE. I KNOW YOU HAVE AN ISSUE TIMEWISE YOUR WE DO AS A CITY OVER THERE. I THINK THIS NEEDS A WORK SESSION. I THINK WE NEED THE

[01:20:05]

TIME FOR YOU TO EDUCATE US ON ON EXACTLY WHAT THAT TOURISTS WOULD LOOK LIKE BEFORE WE SAY THAT WE'RE NOT INTERESTED OR ORANGE INTERESTED. BEER, SO AND THAT'S GONNA HAPPEN TO HAPPEN. VERY QUICK. I SUGGEST DECEMBER 25TH. I DON'T THINK ANYONE HAS ANYTHING ELSE SCHEDULED DON'T HAVE ANY OTHER MEETINGS AT SEVEN. NORMAL SO BUT IT DOES NEED TO BE QUICK, OBVIOUSLY BECAUSE THINGS ARE HAPPENING OVER THERE, BUT AH! WHAT EVERYONE AGREE WITH THAT THAT WE THIS SUBJECT NEEDS DEEP DISCUSSION. YES. YEAH, AND IT SO I'M GONNA PUT IT BACK TO YOU TO SAY YOU WON'T GET DIRECTION ON US FROM THAT, BUT OUR DIRECTION DO IS YOU NEED TO GIVE US ALL THE REASONING BEHIND THOSE LAST TWO ITEMS. WE WOULD WELCOME THAT STAFF WILL WORK WITH YOU ON SCHEDULING THE WORK SESSION AS QUICK AS POSSIBLE. OKAY THAT SOUNDS TRUE. WE'LL MAKE SURE WE HAVE AMPLE TIME. THANK YOU VERY MUCH MATERIAL, AND WE APPRECIATE THE FEEDBACK. 221098 CONSIDERING

[Consider and Discuss the Possibility of a Municipal Management District (MMD) for the Honey Creek Development]

DISCUSS POSSIBILITY OF MUNICIPAL MANAGEMENT DISTRICT FOR THE HONEY CREEK DEVELOPMENT. THANK YOU, SIR. WE ARE HERE TONIGHT TO I'LL NEED TO EXCUSE MYSELF FOR JUST A MINUTE. ABSOLUTELY PLEASE CARRY ON. THANK YOU, SIR. WE ARE HERE TONIGHT TO TALK ABOUT SPECIAL DISTRICTS. IF YOU'LL RECALL, WE'VE TALKED A BIT ABOUT SPECIAL DISTRICTS, PUBLIC IMPROVEMENT DISTRICTS BEING ONE OF THEM. THE COUNCIL BACK IN SEPTEMBER OF LAST YEAR ADOPTED A PIT POLICY SINCE THAT TIME. THE DEVELOPER OF THE HONEY CREEK PROPERTY HAS APPROACHED STAFF ABOUT A DIFFERENT TYPE OF SPECIAL DISTRICT, A MUNICIPAL MANAGEMENT DISTRICT. SO HE IS HERE TONIGHT. JAKE WAGNER WITH REPUBLIC PROPERTY GROUP IS HERE TO TELL YOU A LITTLE BIT ABOUT THAT CONCEPT ABOUT THE PROPERTY ABOUT HIS COMPANY IN ABOUT THE STEPS NECESSARY IF THE COUNCIL IS INTERESTED IN SUCH A DISTRICT, SO WITH THAT, I'M GOING TO STEP ASIDE. AND WILL STAND READY FOR ANY QUESTIONS AT THE END OF HIS PRESENTATION. THANK YOU, MICHEL. GOOD AFTERNOON. THANK YOU ALL FOR THE TIME TODAY IN THE OPPORTUNITY WANTED, UH, THANKS STAFF AS WELL FOR THE LAST 60 DAYS OR SO WORKING THROUGH AN APPROACH FOR HONEY CREEK AND HOW WE COULD USE FINANCING DISTRICT AS PART OF THAT WE STARTED ABOUT UH, 100,000. FT WERE PROBABLY ABOUT 30,000 FT NOW, BUT I'VE HAD A VERY PRODUCTIVE COUPLE MONTHS REALLY EXPLORING THIS OPTION THAT WE THINK HAS A LOT OF MERIT BASED ON WHAT WE'VE HEARD IN SOME OF THE BACKGROUND AND THE CHALLENGES ASSOCIATED WITH THE PROJECT. I'M GOING TO PRIORITIZE BREVITY OVER DETAIL AND TRY AND GO THROUGH THIS QUICKLY FOR TIME'S SAKE, BUT CERTAINLY WANT TO ALLOW TIME FOR DISCUSSION FEEDBACK AND CAN GET BACK INTO DETAIL. GELS, GELS, DISCRETION. I'M NOT GOING TO DIVE DEEP INTO OUR COMPANY, BUT IN OUR BACKGROUND, BUT I DO HAVE A KIND OF A SHORT VIDEO OF OUR WALSH PROJECT, WHICH IS IN WEST FORT WORTH THAT, I THINK ILLUSTRATES A LITTLE BIT OF OUR APPROACH AS A COMPANY.

MHM.

AH I WOULD LOVE TO TAKE YOU ALL OUT THERE AND TOUR SOMETIME. IT'S QUITE A TRACK, SO I THOUGHT AT LEAST 30 SECONDS SAVES SOME OF THAT FOR NOW, BUT WANTED TO GIVE YOU AT LEAST A SENSE OF MAYBE WHAT WOULD BE IN OUR MIND AND HOW WE WOULD APPROACH UM, HUNTING CREEK. WE ARE MASTER PLANNED COMMUNITY DEVELOPERS WERE BASED IN DALLAS. WE ONLY OPERATE IN THIS MARKET, AND THAT'S BEEN HISTORICALLY EXCLUSIVELY. UM, WHAT WE HAVE HAVE DONE, UM, WANT TO TALK ABOUT A DISTRICT IN AN NMD SPECIFICALLY, WHICH IS A MUNICIPAL MANAGEMENT DISTRICT.

WE HAVE EXPERIENCE USING DIFFERENT TYPES OF DISTRICTS IN THE PAST FRESH WATER SUPPLY DISTRICTS MUDS PITT'S WE'LL TALK ABOUT WHY AN MMD IS POTENTIALLY THE BEST OPTION IN OUR MIND FOR THIS PROJECT AGAIN. IT'S REALLY THE SAME PURPOSE AND INTENT OF ANY DISTRICT WHETHER IT'S IN YOUR PIT POLICY OR OTHERWISE, IT'S FUNDING. VERY EXPENSIVE INFRASTRUCTURE AND ENHANCEMENTS THAT REALLY MAKE THE PLACE COME ALIVE. DISTRICTS JUST IN GENERAL HAVE BECOME MUCH MORE PREVALENT IN THE DEVELOPMENT INDUSTRY OVER THE LAST SEVERAL YEARS. I KNOW Y'ALL ARE AWARE OF THAT THROUGH

[01:25:04]

THE PIT POLICY AND A LOT OF THE DISCUSSIONS Y'ALL HAVE HAD AS A AS A MID YEAR THIS YEAR. RC ELKO NATIONAL MARKET ANALYSTS THAT PUTS OUT REPORTS, UM, PUT OUT THEIR REPORT OF THE TOP 50 COMMUNITIES NATIONALLY. AND AS PART OF THAT, UM, REGISTERED THAT 84% OF THEM ARE USING SOME SORT OF FINANCING VEHICLE OF SOME TYPE. THOSE DIFFER AROUND DIFFERENT PARTS OF THE COUNTRY.

BUT AS PART OF THAT 100% OF THE ONES IN TEXAS HAD ONE SO 15 OUT OF 15. SAID. ANOTHER WAY THIS ILLUSTRATES, I THINK THE IMPORTANCE OF FINANCING DISTRICTS AS PART OF LARGE SCALE COMMUNITIES AT THE SAME TIME. UH YOU KNOW, THE LIKELIHOOD OF HONEY KREKAR THIS PROJECT BEING ON THIS LIST WITHOUT SOME SORT, SORT OF DISTRICT IS PROBABLY UNLIKELY. SO MOVING MOVING TOWARDS HUNTING BRICK AND REALLY, JUST THE OPPORTUNITY HERE OF THIS PROJECT, YOU KNOW, TWO PLUS BILLION DOLLARS AND ASSESSED VALUE, POTENTIALLY MIXED. USE RESIDENTIAL COMMERCIAL CORPORATE RELOAD POTENTIAL OFFICE. UM, THIS IS OUR PRELIMINARY MASTER PLAN.

IT'S BEEN ONE OF PROBABLY ABOUT 100 SANTIAGO THAT YOU'VE GONE THROUGH. BUT IT REALLY IS JUST THAT ILLUSTRATING THE SCALE OF THE PLACE BUT ALSO THE IMPORTANCE TO THE CITY ON THE NORTHERN SIDE OF THE CITY THAT IT'S JUST WEST OF 75. ADJACENT TO THE 3 80 FUTURE 3 80 BYPASS.

UM SO THE DISTRICT THE PURPOSE AND INTENT IS REALLY WHAT I TALKED ABOUT ITS INFRASTRUCTURE . IT'S ENHANCEMENTS TO MAKE IT NICER AND THEN ITS ZONING AND LAND USE TO MAKE IT A COHESIVE PLAN RIGHT. THE GOAL WOULD BE TO HAVE FUTURE COMMERCIAL CORPORATE RELOADS BUSINESS PARKS IN THE FUTURE. REALLY ALL STARTS WITH A PROPER FRAMEWORK UPFRONT AND QUALITY RESIDENTIAL, AND THAT'S WHERE WE WOULD, UM, BE FOCUSED STARTING THE PROJECT, SO I'LL GO THROUGH EACH ONE OF THESE SPECIFICALLY, BUT CERTAINLY UM, THERE ARE BIG INFRASTRUCTURE NEEDS IN THIS AREA, NOT ONLY FOR THE PROJECT BUT ALSO, UM, FOR THE CITY AND IN ROUGH NUMBERS THAT STARTS WITH A LOT OF HELP PARKWAY. OBVIOUSLY EAST TO WEST . BUT THERE'S OTHER UTILITIES AND MAJOR ITEMS THAT WOULD NEED TO BE PUT IN. YOU KNOW, IT'S ROUGHLY MAYBE AROUND $100 MILLION OF COSTS FOR THOSE THINGS AS PART OF CREATING A DISTRICT THAT WOULD PROVIDE A VEHICLE WHERE WE COULD FINANCE AS MUCH AS IT WOULD ALLOW WITHIN THE PROPERTY BOUNDARIES THROUGH INVESTING THOSE DOLLARS AND THEN GETTING REIMBURSED THROUGH A LEVY OF ASSESSMENTS ON OUR PART. AH ENHANCEMENTS, YOU KNOW MORE MORE AMENITIES, BIGGER AMENITIES, ENSURING QUALITY PARKS, OPEN SPACE TRAILS AND EVERYTHING ELSE. YOU KNOW, NOT ALL OF THIS CAN BE FINANCED BIO DISTRICT, BUT THE INTENT WOULD BE COMMITTING TO VERY SPECIFIC, QUANTIFIABLE AMENITIES THAT WOULD ENHANCE THE PLACE. THIS IS A SNAPSHOT OF JUST THREE OF OUR LAST PROJECTS, ALL WITH DISTRICTS, DIFFERENT TYPES OF DISTRICTS AND JUST THE BULLETS OF ENHANCEMENTS THAT WERE INCLUDED IN EACH ONE OF THOSE.

UM I WOULD SAY THAT PRETTY CONFIDENTLY THAT WE WOULDN'T HAVE BEEN ABLE TO AFFORD A THIRD OF THESE THINGS AND HAVE A VIABLE BUSINESS PLAYING WITHOUT A DISTRICT TO HELP FINANCE THE OVERALL PROJECT. I WOULD ALSO SAY THAT I'M I'M NOT AWARE OF ANY REQUIREMENTS THAT WE HAD TO DO ANY OF THOSE THINGS. SO WE DID ALL OF THOSE AT OUR CHOICE AND THE WAY WE WANTED TO CREATE THE PLACE AND ENHANCE IT, BUT COULDN'T HAVE DONE IT WITHOUT SOME SORT OF DISTRICT TO HELP DO THAT. AND FINALLY, YOU KNOW, ZONING AND LAND USE FRAMEWORK SO AS THE PROPERTY EXISTS TODAY, UM THE MAJORITY OF THE PROPERTY IS IN ABOUT AN OLD 19 EIGHTIES PD ORDINANCE. THERE'S ANOTHER DIFFERENT ORDINANCE ON ANOTHER PORTION. THERE'S SOME PORTIONS THAT HAVE NO ZONING ON THEM AT ALL. AND THERE'S OTHER PORTIONS THAT AREN'T INDEXED. SO YOU HAVE KIND OF A HODGEPODGE OF A LAND USE FRAMEWORK THAT WOULD BE CHALLENGING TO USE TO CREATE A COHESIVE PLACE. SO OUR OUR INTENT AS PART OF THIS DISTRICT AND OVERALL PROPOSAL WOULD BE TO TAKE THE PROPERTY IN ITS ENTIRE ENTIRETY. UM ANNEX IT ALL IN AND REZONE IT UNDER ONE NEW, COHESIVE DOCUMENT THAT'S MODERN UNDER THE NEW UDC STANDARDS. UM WHICH I THINK ARE FANTASTIC, BY THE WAY. AND IN DOING THAT IT WOULD ALLOW US TO HAVE A VERY WIDE VARIETY OF PRODUCT OFFERINGS. UM AND REALLY APPROACH THE HOUSING AFFORDABILITY OR ATTAIN ABILITY , WHICH IS A CONTINUING CHALLENGE IN THIS MARKET, BUT TO REACH THE WIDEST INCOME. RANGE THAT WE CAN. EXAMPLE OF HOW WE HAVE DONE THAT IN THE PAST IN OUR WALSH WALSH COMMUNITY. THAT PHASE ONE THAT DELIVERED IN 2017

[01:30:03]

WAS LARGELY YOUR SUBURBAN WOULD SEE. IT WAS TOO EXPENSIVE AND THE AVERAGE HOME PRICE WAS OVER HALF A MILLION DOLLARS. WE HAD VERY FEW BELOW 2500 SQUARE FEET, AND WE JUST WEREN'T HITTING THAT KEY AFFORDABILITY FACTOR FOR THAT AREA. SO IN 2021 . WHEN WE CAME IN WITH OUR NEXT PHASE, WE INTRODUCED A LOT OF THOSE NEW OFFERINGS TO GET THAT TO MORE AFFORDABLE TO APPEAL TO A WIDER SEGMENT OF THE MARKET. AND YOU CAN SEE HOW MANY ADDITIONAL OPTIONS WERE IN THERE THAT THE CONCLUSIONS OF THAT YOU KNOW, DESPITE 2017 TO 2021 WHEN THERE WAS STILL MASSIVE APPRECIATION IN THE MARKET. WE GOT OUR AVERAGE HOME PRICE IN THAT NEIGHBORHOOD DOWN ABOUT $25,000. PROBABLY MORE IMPORTANTLY, WE GOT OUR ENTRY POINT DOWN ABOUT $40,000 SO A PLACE LIKE WALSH. AS NICE AS IT IS, IS HIGHLY MONETIZED THAT IT IS WITH A PID. GETTING A $237,000 HOUSES IS WAS PRETTY, UM, PRETTY CHALLENGING, BUT PRETTY IMPORTANT. ESPECIALLY WHEN YOU LOOK AT WHERE PRICES HAVE BEEN. UM, JUST AS IMPORTANTLY, A THIRD OF THE OPTIONS IN PHASE TWO WERE BELOW 450,000. NOT THAT THAT'S DEEMED AFFORDABILITY OR NOT. IT'S RELATIVE, RIGHT, BUT WE ARE CONSTANTLY TRYING TO DO THAT IN THE MISSING MIDDLE OPTIONS THAT I THINK THE UDC ZONING CAN, UM, ADDRESS VERY EFFECTIVELY WOULD BE IMPORTANT. PART OF THIS. UM I'M GONNA SKIP THIS ONE FOR BREVITY. I'M GONNA GO TO UH, THE M M D JUST OVERVIEW AND ANALYSIS OF WHAT? WHAT? THIS IS NUTS AND BOLTS. UM I'D SAY WE DON'T HAVE A DISTRICT OF CHOICE. WE'VE USED DIFFERENT TYPES. UM DEPENDING ON THE SITUATION. THE PROJECT THE TIME YOU KNOW, WE LOOK AT CREATIVE SOLUTIONS AS TO WHAT WE THINK MAKES SENSE. WE HAVE LANDED ON THE M M D REALLY BASED ON LISTENING TO SOME OF Y'ALL OTHER PEOPLE IN THE CITY OF UNDERSTANDING THE GOALS RIGHT IN TRYING TO PAIR THAT WITH A SOLUTION, AND SO WE BELIEVE THE MMD IS PROVIDES SEVERAL BENEFITS AND, UM, MAKES THE MOST SENSE AT THIS POINT IN TIME, I WILL WALK THROUGH THAT. BUT USING YOUR THE PIT POLICY, AT LEAST AS A BASELINE REALLY ACTS. IN WORKS VERY SIMILAR TO A PID FUNDS IMPROVEMENTS. THROUGH LEVYING ASSESSMENTS. IT'S UNDER THE SAME PID STATUTE, UM, SAME ATTORNEY GENERAL OVERSIGHT. UM AND CITY MAINTAINS CERTAIN CONTROLS THROUGH DEVELOPMENT AGREEMENT AND ZONING, SO IT IS VERY SIMILAR TO THE WAY THE PIT OPERATES, UM THERE ARE SOME BENEFITS, WHICH GETTING INTO THOSE IS WHERE I THINK YOU START TO SEE THAT THE DISTINCTIONS FIRST AND FOREMOST REDUCING THE CITY'S RISK IN LIABILITY, AND SO FROM A CREATION STANDPOINT, UM, YOU KNOW, IN THE PAIR, THE CITIES THAT CREATING BODY FOR THE PITS CITIES THE ULTIMATE AUTHORITY IN DOING THAT, UM, WITH THE NMD. IT'S ACTUALLY CREATED THROUGH THE STATE LEGISLATURE AND THAT WOULD BE DONE IN THE UPCOMING SESSION NEXT YEAR. ALTHOUGH IT'S DONE WITH CITY SUPPORT, AND SO THE CITY HAS TO SUPPORT IT, AND IT'S PURSUANT TO WHATEVER CONTROLS ARE IMPORTANT TO YOU ALL THERE WOULD BE IN A DEVELOPMENT AGREEMENT, PRESUMABLY ZONING.

HAVING THOSE IN PLACE AS PART OF THAT. BUT FROM A YOU KNOW, ISSUE OR LIABILITY IN THE M M D. IT IS. IT'S AN INDEPENDENT BOARD. THAT THE DEVELOPER WOULD SELECT VERSUS THE CITY ACTUALLY BEING THE BOARD MEMBERS TO IT. UH BUT IN A PEDICURE, THE CITY AS THE ULTIMATE AUTHORITIES ISSUING BONDS, LIVING ASSESSMENTS COLLECTING THOSE ASSESSMENTS AND, UM AND YOU KNOW, FOR EXAMPLE, IF A RESIDENT IS UNABLE TO PAY THEIR ASSESSMENTS, YOU KNOW THE CITY HAS THAT OBLIGATION TO FORECLOSE. ON ONE OF ITS RESIDENTS, WHICH IS NOT A GREAT SITUATION IF THE UNLIKELY EVENT OF A DEFAULT. RIGHT THEN IT'S THE CITY'S BALANCE SHEET, THE CITY'S DEBT. YOU KNOW, THAT IS THAT IS DEFAULTING. SO IN THE M M D IT BEING A SEPARATE INDEPENDENT DISTRICT. IT TAKES ON ALL THOSE RESPONSIBILITIES, YOU KNOW, LEVYING COLLECTING ASSESSMENTS. CITY CAN STILL MAINTAIN THE CONTROLS THAT ARE IMPORTANT TO YOU THROUGH A DEVELOPMENT AGREEMENT. BUT SINCE YOU'RE NOT THE BOND ISSUER, UM IT'S NOT YOUR DEBT. IT GIVES YOU SOME INSULATION FROM THAT RISK AND OBLIGATIONS TO DO ALL THOSE THINGS OR DEAL WITH SOME OF THE CHALLENGES. UM. IN THE IN THE BED, YOU KNOW, AS THE ULTIMATE AUTHORITY, THE CITY'S RESPONSIBLE FOR RESOLVING ANY AND ALL ISSUES KNOWN OR UNKNOWN IN THE FUTURE. UM THAT TRANSITIONS OVER TO REALLY DEVELOPER AND DISTRICT BOARD. IN THE M M D WITH WITH CITY INVOLVEMENT OR WITHOUT CITY

[01:35:02]

INVOLVEMENT TO THE EXTENT UM, THAT THAT YOU ALL WOULD WANT THAT BEING SAID YOU HAVE SOMEBODY IN CHARGE AND SOMEBODY TO POINT TO AND SOMEBODY TO CALL . YOU KNOW IF YOU GET A CALL, THERE'S SOMEBODY SIDE BY SIDE WITH YOU THAT IS ULTIMATELY RESPONSIBLE WITH YOUR SUPPORT.

RATHER THAN THE OTHER WAY AROUND. LASTLY, JUST JUST GENERAL ADMINISTRATION. UM ALL THE ONGOING RESPONSIBILITIES THAT WOULD BE ENTAILED IN IN A PINHEAD ARE REALLY TRANSFERRED OVER TO A DISTRICT BOARD. PURSUANT TO THE ONES THAT YOU WANT TO KEEP. UM, JUST THE TIME THE MONEY THE RESOURCES THAT WOULD BE SPENT. UM CAN ALL BE MITIGATED IN THIS SCENARIO? AND THE INTENT BEING THAT YOU KNOW, IT WOULD REQUIRE NO MORE OF YOUR TIME OR RESOURCES TO OVERSEE.

THIS PROJECT WITH THE DISTRICT THAT IT WOULD ANY OTHER LARGE SCALE PROJECT IN THE CITY. BUT THE DEVELOPMENT AGREEMENT CONCEPT IS VERY IMPORTANT AS AS PART OF THIS, UM BECAUSE IT GENERALLY WITH THE INTENT IT GIVES YOU THE ABILITY TO KIND OF CHERRY PICK THE CONTROLS AND THE THINGS THAT ARE IMPORTANT TO YOU. A LOT OF THOSE COULD BE CUT AND PASTE FROM THE PIT POLICY THAT YOU HAVE. SAID ALL OF THOSE YOU KNOW, IN WRITING AGREED TO UP FRONT SO THAT THE RULES ARE SET AND THEN WE GO OPERATE BY THOSE LIMITATIONS BECAUSE YOU STILL HAVE THE STATE YOU KNOW, STATE STATUTE ATTORNEY GENERAL OVERSIGHT. IN EITHER CASE, AND SO KEEPING CERTAIN CONTROLS, YOU KNOW, LETTING THE STATE HANDLE ONES THAT YOU DON'T WANT TO MESS WITH WHICH THEY WOULD DO ANYWAY , AND ULTIMATELY RELIEVING A LOT OF THE LIABILITY AND ADMINISTRATION, WHICH IS WHICH IS COST FOR YOU ALL. IS THE OVERALL INTENT TO THIS. UM I'M GOING TO SKIP A COUPLE OF THESE JUST FOR TIME WE CAN COME BACK IF WE ALL WOULD LIKE TO UH, TALKING ABOUT CREATION. SO I MENTIONED HOW THE MMD AND THE LEGISLATIVE SESSION STATE ACTUALLY APPROVING THIS WITH THE CITY PROVIDING CONSENT. AND SO THE FIRST STEP TO THIS PROCESS WOULD BE A FORMAL CONSENT FROM THE CITY OF FORMER RESOLUTION THAT IS AN EXPRESSION OF SUPPORT , WHICH WOULD GENERALLY BE A COUPLE PAGE DOCUMENT. WE'VE HAD DISCUSSIONS WITH STAFF, I LET THEM SPEAK FOR THEMSELVES, BUT IT'S A IT IS A SHORT DOCUMENT THAT GENERALLY WOULD SAY WE SUPPORT UH, THEIR EFFORTS TO GO CREATE THIS DISTRICT LEGISLATIVELY PROVIDED THEY SATISFY DEVELOPMENT AGREEMENT.

ZONING, WHATEVER THE THINGS THAT ARE IMPORTANT TO YOU. WITH THAT DOCUMENT IN HAND. THEN WE AS THE DEVELOPER WITH SANTIAGO LANDOWNER GO TO THE STATE. AND TRY AND GAIN SUPPORT DOWN AT THE STATE LEVEL TO ACTUALLY GET IT CREATED. SO WE TAKE THE RISK. WE SPEND THE TIME MONEY RESOURCES ULTIMATELY TO DO THAT. FOLLOWING CREATION WHICH MEANING STATE APPROVES IT. IN THE CITY APPROVED THE DEVELOPMENT AGREEMENT ZONING WHATEVER THEN THE INDEPENDENT. THE DISTRICT BOARD WOULD THEN WORK ON THE SERVICE AND ASSESSMENT PLANS. THE BUDGETING ALL THE ONGOING REQUIREMENTS FOR SETUP AND IN MANAGEMENT. UM. FROM A TIMELINE STANDPOINT AND A LITTLE BIT MORE DETAIL. THIS IS AH, IT'S VERY OPPORTUNE TIMING WITH THE LEGISLATIVE SESSION COMING UP IN 2023, I THINK THAT AGAIN AT THIS MOMENT IN TIME, IF IT WEREN'T IF WE WERE A YEAR FROM NOW, AND WE WERE WAITING ANOTHER YEAR. OUR APPROACH MAY BE DIFFERENT. UM WE SEE IT AS AN OPPORTUNITY, THOUGH. UH FOR A PROJECT THAT HAS BEEN UNDER DISCUSSION FOR SO LONG TO REALLY GET IT GOING, GET IT GOING FAST AND DO IT THE RIGHT WAY. DOING THAT THROUGH THE LEGISLATURE, BUT IT ALSO CREATES A LITTLE BIT OF TIME URGENCY. SO YOU KNOW THAT THAT FIRST STEP IS Y'ALL PROVIDING A FORMAL CONSENT? FOR US TO TAKE DOWN TO AUSTIN TO GO TRY AND START THIS PROCESS AT THE LEGISLATURE GAINED SUPPORT. IDEALLY THAT WOULD BE SOMETHING THAT WE WOULD HAVE BY THE END OF THE YEAR TO GIVE US THE BEST CHANCE TO BE SUCCESSFUL DOWN IN AUSTIN. I THINK YOU KNOW IF IT HAD TO BE IN JANUARY. I THINK THE WINDOW STARTS TO CLOSE. BUT UH, IDEALLY WHERE WE FEEL A LITTLE BIT BEHIND. THEY'VE ALREADY NOT THAT THAT'S A REASON TO DO IT OR NOT, BUT REGISTERING THE TIMING OF IT. SO I SEE THIS CONSENT AS WE'RE AT 30,000 FT TODAY, SO THERE'S A LOT OF DETAILS. WE DON'T HAVE FLUSHED OUT, BUT WE ARE WORKING ON THEM. UM BUT THERE'S REALLY NO DOWNSIDE TO ME, AT LEAST FROM MY PERSPECTIVE OF PROVIDING A CONSENT. IT JUST PRESERVES THE OPPORTUNITY. IT KEEPS IT ALIVE. IF THE CONCEPT IS SOMETHING YOU THINK MAY MAKE SENSE BECAUSE ALL THE RISK MONEY INVESTMENT DOWNSIDE WOULD BE ON US TO GO, ACTUALLY GO GO TO THE STATE AND

[01:40:02]

GET AND GET IT CREATED, WHICH IS ALSO NOT A SURE THING. BUT SOMETHING WE WOULD GET TO WORK ON. SO FOLLOWING THAT, WE WOULD, WE WOULD, UM PROPOSED LEGISLATION TO THE STATE START GAINING SUPPORT. SEND Y'ALL ZONING APP DEVELOPMENT AGREEMENT TO CONSIDER AT THAT POINT THAT OPENS THE WINDOW FOR US TO WORK TOGETHER ON THOSE TWO THINGS. UM WE EITHER GET THE DISTRICT BY THE STATE IN JUNE OR NOT. THAT'S WHEN THE SESSION ENDS. I THINK WE COULD LIKELY HAVE A ZONING AND DEVELOPMENT AGREEMENT PLACE WITH YOU ALL OVER THAT PERIOD OF TIME. THE PROGRESS WE'VE MADE TOGETHER SO FAR, BUT IF WE DIDN'T, UM, THAT DISTRICT'S NEVER EFFECTIVE UNTIL YOUR REQUIREMENTS ARE SATISFIED SO IT WOULD JUST DISSOLVE. OVER A PERIOD OF TIME IF WE COULDN'T GET THERE UM. SENSITIVE SENSITIVITIES, COMPARISONS PLAYING DEVIL'S ADVOCATE. I WANT TO HIT A COUPLE OF CONCERNS. MAYBE THAT WE'VE HEARD COMPARING THIS TO A PIT POLICY AS A BASELINE, BUT YOU DON'T HAVE TO DO ANYTHING RIGHT. WHAT DOES THIS LOOK LIKE? IF YOU DON'T DO ANYTHING THE PROPERTY WILL DEVELOP OVER TIME DEVELOPERS WILL COME IN AS THE MARKET ALLOWS. SO NO DISTRICT IS KIND OF THE CURRENT CONDITION AND UM THERE IS EXISTING ZONING. IT'S KIND OF A HODGEPODGE. VERSUS UPDATING IT FOR THE UDC, MODERNIZING IT. THERE'S NO TIMELINE RIGHT NOW FOR MAJOR INFRASTRUCTURE LOT. HOW YOU KNOW , IT WOULD JUST BE BUILT WHEN DEVELOPERS COME IN AND DO IT. VERSUS SETTING A TIMELINE TO THAT A COMMITMENT TO FUND THAT HAVING A DEVELOPMENT AGREEMENT THAT ENSURES, YOU KNOW, ENHANCEMENTS AND ALL THESE OTHER THINGS. THERE'S NO DEVELOPMENT AGREEMENT IN PLACE TODAY. THERE'S VERY LITTLE, IF ANY ENHANCEMENTS REQUIRED TODAY FOR THE ZONING SO THAT THIS PRODUCT COULD BE PROJECT COULD BE SO MANY DIFFERENT THINGS VERSUS GETTING THOSE COMMITMENTS ENSURING THEM. AND THEN SOME OF THE PRIVATE STANDARDS. ASSESSMENTS UM, SO THESE ARE ROUGH, ROUGH GAS OF WHAT ASSESSMENTS COULD BE BASED ON THE NEW ZONING CLASSIFICATIONS IN THE UDC AGAIN, THEIR THEIR THEIR GUESSES THERE JUST THAT, BUT GIVES YOU A SENSE, YOU KNOW, I'D SAY IT'S A LOT OF UNKNOWNS.

THE THINGS THAT ARE KNOWN AS YOU KNOW, WE WOULDN'T EXCEED A DOLLAR FIVE ON THE TOTAL TAX EQUIVALENT. BASED ON YOUR PIT POLICY, HAVING SOME OF THE MIDDLE MISS MISSING MIDDLE HOUSING GETS US TO SOME SMALLER ASSESSMENTS. AND AT THE END OF THE DAY, IF WE'RE ABLE TO, YOU KNOW, DO EXACTLY WHAT WE DID IN WASH AND GET SOME OF THOSE PRICE POINTS WAY DOWN. I MEAN A $40,000 DECREASE IN WHAT A HOME COSTS. MORE THAN OFFSETS WHAT WHAT ANY MONTHLY RATE WOULD BE.

I AM MENTIONING IT BECAUSE ADDED COST OBVIOUSLY IS A FACTOR. HEARD A LOT OF SENSITIVITIES.

QUESTIONS ON DISCLOSURES. UM I'M GOING TO MOVE PAST THIS UNLESS WE WANT TO TALK ABOUT IT, BUT WE HAVE A PIT AND WASHED THIS OUTLINES HOW WE WORK IN WELSH. WE DON'T HAVE ISSUES. WE'RE VERY COMFORTABLE WITH IT. IF WE WERE OPERATING THIS DISTRICT, WE WOULD BE VESTED IN TRANSPARENCY AND SETTING EXPECTATIONS AND ALL THE SAME THINGS YOU WOULD. I'M HAPPY TO COME BACK TO IT, THOUGH, AND GET INTO MORE DETAIL. UH, LAST SLIDE. SO, UM KIND OF IN SUMMARIZING THAT THIS IS THE LEAST THE WAY I LOOK AT IT, UM WHY DOES THIS NOT MAKE SENSE CONCERNS FROM THE CITY? UM AT LEAST TO ME. THERE'S A YOU WOULD HAVE AN INDEPENDENT BOARD. ENTITY INSIDE CITY LIMITS OPERATING GRANTED, IT WOULD BE PURSUANT TO A DEVELOPMENT AGREEMENT AND THE ROLES THAT YOU STATE, SO I'M NOT AWARE OF ANY LEGAL ISSUES THAT WOULD CREATE. I'M NOT AN ATTORNEY. UM BUT, UH , THAT'S MORE OF A PERCEPTION THING TO ME, BUT IT IS CERTAINLY AN ISSUE THAT I WANT TO REGISTER, YOU KNOW, FOR MORE DISCUSSION. FOR Y'ALL TO HAVE, UM LIVING ASSESSMENTS IS BY NATURE. CONTRARY TO AFFORDABILITY, INABILITY THAT'S A REALLY IMPORTANT THING FOR Y'ALL REALLY IMPORTANT THING FOR US. I THINK WE CAN MITIGATE THAT THREW OFF OF THE PRODUCT TYPES.

THE MISSING MIDDLE HOUSING. AND THEN I'M I'M VERY COMFORTABLE AND THE DISCLOSURES. I'M HAPPY TO, UM FURTHER DISCUSS THOSE AND SO THE BENEFITS SIDE TO ME. I WOULD JUST LUMP ALL OF THIS AND CHARACTERIZE ALL OF THIS AS CERTAINTY, RIGHT? YOU'RE GETTING THE ENTIRE PROPERTY ZONED UNDER THE NEW UDC CODE. IT'S MODERN. IT'S COHESIVE. THERE ARE MORE STANDARDS TO IT. IT WOULD FACILITATE A HOLISTIC PROJECT. YOU'RE GETTING INFRASTRUCTURE. YOU KNOW, GOING QUICKER, HOWL OTHER INFRASTRUCTURE, NOT ONLY A FUNDING MECHANISM. FOR PRIVATE ENTITIES TO FUND IT, BUT YOU HAVE A PLAN RIGHT? IT'S GOING TO HAPPEN QUICKER VERSUS NOT HAVING A PLAN WITHOUT IT. REDUCING THE LIABILITY AND OBLIGATIONS THAT WOULD OTHERWISE BE THERE. AH IN GENERALLY JUST PROVIDING MORE CERTAINTY AND HAVING A PLAN WHERE WE'RE REALLY NO PLAN EXISTS TODAY AND HAS BEEN UNDER DISCUSSION FOR A VERY, VERY LONG PERIOD OF TIME. UM THERE'S THIS ISN'T A PERFECT SOLUTION IS

[01:45:02]

PROBABLY NOT A PERFECT SOLUTION THAT BEING SAID. I THINK IT IS A VERY, VERY BIBLE ONE THAT WE FEEL LIKE HAS A LOT OF MERIT. WE'D LOVE AS THAT FIRST STEP OF THE PROCESS FOR Y'ALL TO CONSIDER. APPROVING A CONSENT AT YOUR NEXT COUNCIL MEETING TO SEE IF WE CAN REALLY MAKE IT VIABLE AT THE STATE AND WORK WITH THE STAFF ON ALL THE DETAILS. SO WITH THAT, BE HAPPY TO ANSWER ANY QUESTIONS. I HAVE SOME QUESTIONS SO TURN IT BACK TO A MAP THAT IS KIND OF TOWARDS THE END OF THE FIRST OF YOUR THAT MAP. THAT KIND OF SHOWED WHAT THE. OKAY, RIGHT THERE. I MEAN, IF YOU GO BACK THAT THAT ONE RIGHT THERE. SO WHERE? WHERE WOULD YOUR PRODUCT GO? BECAUSE YOU'RE NOT DEVELOPING EVERYTHING . YOU'RE DEVELOPING A CERTAIN PART OF THIS CORRECT. UM ARE YOU OR ARE YOU DEVELOPING AT ALL? SO OUR CURRENT AGREEMENT IN SANTIAGO AND FEEL FREE TO JUMP IN, BUT OUR CURRENT AGREEMENT THIS STARTED WITH ABOUT A 400 ACRE PORTION, WHICH IS, WHICH IS THIS? SO THAT'S THAT'S WHAT OUR CURRENT AGREEMENT CONTEMPLATES WITH. SANTIAGO IS THE LANDOWNER AS WE GOT INTO THIS, AND WE STARTED FOCUSING ON INFRASTRUCTURE CHALLENGES AND ZONING CHALLENGES. THEY WERE REALLY THE SAME CHALLENGES FOR THE 400 AS THEY WERE FOR THE WHOLE PROPERTY. AND SO WE WERE LOOKING AT IT IN THE IN THE CONTEXT OF THE WHOLE THING, RATHER THAN TRYING TO TAKE A SMALL PIECE OUT, WHICH IS A DISSERVICE TO WHAT THE PLAN WOULD BE. SO AS IT EVOLVED, I MEAN TO PUT IT, UH WHERE WE ARE. WE ARE DISCUSSING BROADENING OUR INVOLVEMENT OR REARRANGING OUR PARTNERSHIP, DEPENDING ON HOW THIS GOES WITH NO CONCLUSION TO THAT YET, AS OF TODAY, IT'S THE 400 ACRES. IS THAT FAIR TO SECTION SO THERE'S MM D BASICALLY IS FOR THE ENTIRE PORTION. IT'S NOT JUST FOR THE PORTION THAT YOU'RE OVER YOUR URINE ESSENCE TALKING FOR THE WHOLE PROPERTY. CORRECT YEAH. IN DISCUSSIONS WITH WITH STAFF AND REALLY AGREE IT'S IT IS A IF YOU'RE GONNA GO THROUGH THIS, YOU'RE GOING TO CREATE A VEHICLE. YOU'RE GOING TO REZONE. YOU'RE GOING TO PUT IN A FRAMEWORK. IT REALLY MAKES SENSE. IF YOU'RE GOING TO DO IT AT ALL TO DO IT FOR EVERYTHING AND HAVE IT BE HOLISTIC RATHER THAN JUST A PIECE. THE MMD IS IT. IS IT LIKE A PID THAT IT BASICALLY TAX BASICALLY PUTS A.

A TAX ON ON ON PROPERTY. WHETHER IT'S COMMERCIAL, WHETHER IT'S RESIDENTIAL. IT'S THE SAME CORRECT. IT'S AN ASSESSMENT RATHER LET'S SAY ASSESSMENT. YES IT'S THE SAME WHETHER IT'S WHETHER IT'S A COMMERCIAL PIECE OR WHETHER IT'S A RESIDENTIAL PIECE. IT'S JUST THE SAME ASSESSMENT ON EACH I BELIEVE COURAGE AND ROSS MARTIN WITH WEDNESDAY WHO'S OUR FINANCING? DISTRICT ATTORNEY IS HERE TO HELP ANSWER. SO TELL ME IF I'M MISSTATING, BUT, UM, THERE WOULD BE A CAP ON THE ASSESSMENT BASED ON WHAT THE PIT POLICY WOULD SAY . BUT I THINK ASSESSMENTS COULD VARY AS LONG AS THEY'RE BELOW THAT CAP. WITHIN THOSE BOUNDARIES. YES HI, EVERYONE.

I'M ROSS MARTIN WITH WEDNESDAY. THE ASSESSMENT CAN VARY OVER RESIDENTIAL AND COMMERCIAL, BUT IT'S ON A BENEFIT BASIS. SO IF A PROPERTY HAS BENEFITED BY THE IMPROVEMENTS, IT NEEDS TO BE ASSESSED, AND THAT ASSESSMENT HAS TO BE. IT DOESN'T HAVE TO BE SPECIFIC TO ANY METHODOLOGY, BUT THAT METHODOLOGY DOES HAVE TO BE EQUAL AND IT WILL BE REVIEWED BY THE ATTORNEY GENERAL AS PART OF THEIR BOND. DUAL PROCESS. SO YOU SO I GUESS I'M NOT REALLY SURE. SO IF YOU HAVE A UH, COMMERCIAL BUILDING THAT JUST IS OFFICE BUILDING, YOU KNOW, AND PEOPLE USING IT THERE AND STUFF LIKE THAT IS THAT IS THAT BENEFITING MORE THAN THE SIX HOUSES THAT IT WOULD HAVE TAKEN THE SAME PROPERTY? IT WILL BE, IT WILL BE ASSESSED BASED ON ITS BENEFIT OF THE IMPROVEMENT, SO IF IT DOESN'T LET'S SAY, FOR EXAMPLE, IT DOESN'T REALLY USE MUCH UTILITY YOU CAN SEE YOU CAN SEE A LOWER ASSESSMENT BASED OKAY. BUT GENERALLY SPEAKING, THEY'RE DONE SO THAT THE BENEFIT IS EQUAL BETWEEN RESIDENTIAL AND COMMERCIAL. IF THEY'RE ASSESSED, SO THERE HAS TO BE SOME TRYING TO EXPLAIN HOW TO DO IT. YOU HAVE TO PROVE UP. HOW YOUR BENEFIT BASIS IS CALCULATED AND HOW IT IS EQUIVALENT AND WHETHER YOU DO THAT ON A ASSESSED VALUE BASIS OR PER ANCHORAGE BASIS. IT HAS TO BE ROUGHLY EQUIVALENT IN SOME MANNER WITH THAT METHODOLOGY, AND THE DOES LOOK VERY CLOSELY TO SOMEBODY, UM, BUYS A PIECE OF PROPERTY IN THE ASSESSMENT IS $24,000. THEY CAN PAY THAT UPFRONT. BE GONE WITH ANY PAYMENT CORRECT. AND FROM THE FIRST PERSON WHO BUYS PROPERTY TO THE LAST PERSON. THE SAME ASSESSMENT APPLIES. WE'RE NOT INCREASING IT. WE'RE NOT DECREASING IT. IT'S THE SAME ASSESSMENT. CORRECT WELL, SO THE ASSESSMENTS CAN BE DONE IN PHASES, AND THERE IS THE POTENTIAL THAT ONE PHASE WOULD HAVE US HIGHER ASSESSMENT THAN

[01:50:01]

ANOTHER. BUT ONCE THE ASSESSMENT IS IN PLACE, IT CANNOT BE RAISED. THERE IS A RATE IT WOULD NOT EXCEED. THERE ARE SOME AREAS IF THEY DON'T PROVIDE AS MUCH BENEFIT, FOR EXAMPLE, COULD BE LOWER. SO THE ASSESSMENT YOU SAID WOULD NEVER GO PAST 1.5 ATTACKS EQUIVALENT OF A DOLLAR FIVE, WHICH IS FROM YOUR AND THAT'S WITH THE CITY'S TAX INCLUDED. CORRECT OKAY, SO THE CITY TAX RIGHT NOW IS 50.45. IF THE CITY TAX WENT UP TO 55, NO MATTER WHAT, YOU GUYS DID YOU YOU CAN'T GO OVER THE ONE OH, FIVE. SO YOU'RE GOING TO HAVE TO LIVE 50 CENTS THAT. I THINK THAT'S I THINK THAT'S GENERALLY THE CONCEPT AND I THINK THAT'S PROBABLY A DETAILED WORKING THROUGH THE PROS AND CONS OF THAT. FORMULA WITH STAFF. OVER THE NEXT SIX MONTHS. BUT YES, THAT'S THE CONCEPT. OKAY? THAT'S ALL THE QUESTIONS I HAVE. I THINK THE FEAR IS, IS THAT YOU'VE GOT THIS TAX ON TOP OF THE CITY TAX, AND I WOULD ASSUME THAT EVERYBODY THAT COMES INTO YOUR DEVELOPMENT. YOU MAKE SURE THEY KNOW THAT THEY HAVE AN ADDITIONAL TAX ASSESSMENT. YES YEAH. YEAH, THE YOU KNOW THE ASSESSMENT. THE CONCEPT OF THE ASSESSMENT. UM IS IT IS IT IS SET, SO IT'S SET FROM DAY ONE. IT'S NOT A TAX THAT RISES OR FALLS. YOU KNOW, YOU CAN SET A TAX RATE, BUT THAT AMOUNT IS GOING TO RISE AND FALL WITH THE VALUE AS VALUES FLUCTUATE AN ASSESSMENT AT ONE TIME YOU CAN PAY IT OFF FROM DAY ONE. YOU CAN PAY IT OFF EXTRA COST OF EUR BUYING PROPERTY FOR SO IN ITS IN ITS REALLY, UM WE HAVE HAD ZERO AGAIN. WE'VE DONE SEVERAL DIFFERENT DISTRICTS. UM WE HAVE HAD ZERO ISSUES WITH RESIDENTS AT THE LEVEL OF ENHANCEMENTS THAT I WOULD PRESUME WOULD BE REQUIRED IN THE DEVELOPMENT AGREEMENT AND THAT WE WOULD WANT TO PUT IN WE'VE NEVER HAD ANY RESIDENTS QUESTIONING WHERE THERE ARE ASSESSMENTS ARE GOING BECAUSE IT'S VERY EVIDENT. GOOD I JUST WANT TO SAY I APPRECIATE YOU GOING DOWN THE ROAD OF AN MMD VERSUS A PID. YES, I DO, TOO. I WOULD SUPPORT THIS. I MEAN, I'M I DON'T KNOW WHAT WHAT, WHAT WE'RE LOOKING FOR HERE, BUT I THINK IT'S A IT'S A UNIQUE NEVER MIND. EVERYTHING'S GONNA CHANGE. DON'T DON'T DON'T . DON'T GREAT BEHIND YOU. YOU DON'T SEE HIM, BUT BUT THERE'S A MAN IN A BLACK CLOAK WITH A WITH A JUST SAY VERY JUST WANT TO SAY VERY BRIEFLY. I CAN'T SAY ENOUGH POSITIVE THINGS ABOUT STAFF. AND MICHAEL. I MEAN, OVER 60 DAYS. THIS WAS A NON EXISTENT CONCEPT, AND WE'VE GOTTEN IT. TO THIS POINT NEW AND IT'S DIFFERENT AND YOU KNOW THAT'S GOOD STRATEGIC MOVE. YES TO SAY RIGHT BEFORE MR QUIT SPEAKS JUST TO CLARIFY. TONIGHT WAS JUST INFORMATION SHARING ON YOUR DECEMBER 20TH AGENDA. YOU WILL SEE A CONSENT RESOLUTION. YOU'RE CONSENTING TO RPG. TAKING ACTION DOWN IN AUSTIN TO GET THIS BILL CREATED THAT WOULD AUTHORIZE THE MMD AGAIN ALL YOU'RE DOING REALLY THROUGH THIS CONSENT RESOLUTION IS BUYING MORE TIME TO EXPLORE DEVELOPMENT AGREEMENT. ANNEXATION AND ZONING. SO TONIGHT JUST INFORMATION SHARING DECEMBER 20TH. THAT AGENDA ITEM WILL FORMALLY CONSENT TO THE CREATION OF THE M M. D IF CERTAIN CONDITIONS CAN CAN BE SATISFIED. I APPRECIATE YOU CHECKING YOUR SICKLE AT THE DOOR BEFORE YOU CAME IN. SO THANK YOU. THANK YOU VERY MUCH. GOOD, INFORMATIVE PRESENTATION. YES

[Discuss CIP Projects Eligible for Funding under the Transportation Infrastructure Initiative and Economic Development Program by MEDC and MCDC Sales Tax Revenues for FY 2022-2023]

221100 DISCUSSED THE PROJECTS ELIGIBLE FOR FUNDING UNDER THE TRANSPORTATION INFRASTRUCTURE INITIATIVE AND ECONOMIC DEVELOPMENT PROGRAM. BY M. E D. C AND D C SALES TAX REVENUES FOR FISCAL YEAR 2022 23. OKAY MAYOR , COUNCIL MEMBERS. THANK YOU FOR HAVING ME HERE THIS AFTERNOON.

IT'S GREAT TO BE BACK WITH YOU. UM WELL, BASICALLY DOING A LITTLE HOUSEKEEPING WERE GREENGARD REGARDS TO THE CAPITAL IMPROVEMENTS PLAN TODAY? UM IN JUNE, THE COUNCIL ADOPTED A RESOLUTION THAT CREATED THE CAPITAL IMPROVEMENTS PLAN OR EXCUSE ME, THE TRANSPORTATION INFRASTRUCTURE INITIATIVE AND ECONOMIC DEVELOPMENT PROGRAM. THIS IS A PROGRAM IN CONJUNCTION WITH DC THAT BASICALLY UM, USES 50% OF THE ANNUAL SALES TAX RECEIVED BY THE M E, D C AND M C D. C EXCEEDING THE AMOUNT COLLECTED IN FY 21 22 FOR ECONOMIC DEVELOPMENT. SO AND WHEN WE CAME TO YOU IN JUNE AND WE, THE COUNCIL PASSED A RESOLUTION WE WERE ESTIMATING ABOUT $20 MILLION FOR THE CDC EACH SO TOTAL ABOUT 40 MILLION. THE ACTUAL, UM, SALES TAX RECEIPTS ENDED UP CLOSER TO 21.2 MILLION OR 42.4 MILLION TOTAL. UM AND SO THAT IS THE BASELINE

[01:55:03]

THAT WILL BE USED, MOVING FORWARD TO EVALUATE HOW MUCH MONEY THAT 50% WHICH WOULD COME TO ECONOMIC DEVELOPMENT PROJECTS FOR CAPITAL IMPROVEMENT PROJECTS. UM, SO THIS GRAPHIC JUST SHOWS YOU IN, UH ACCUMULATE OVER TIME. THE YELLOW IS THE CDC REVENUE AND THEN THE BLUE WOULD BE THAT INCREMENTAL INCREASE OVER TIME. SO FOR THE CAPITAL IMPROVEMENT PROGRAM FY 23 THROUGH 27. WE WERE ESTIMATING ABOUT 16 MILLION. THE FACT THAT THIS LAST YEAR'S SALES TAX CAME IN A LITTLE HIGHER, ACTUALLY PICK UP A LITTLE BIT IF OUR SALES TAX CONTINUES TO BE STRONGER. AND WE ESTIMATED ABOUT ONE MILLION WOULD BE AVAILABLE AT THE END OF FY 23. UM SO FOR THAT RESOLUTION. THE STAFF WAS TO DEVELOP A LIST OF PROJECTS THAT WOULD BE ELIGIBLE FOR ECONOMIC DEVELOPMENT FUNDING, AND WE WOULD BRING THAT LIST OF PROJECTS TO YOU FOR APPROVAL, AND THEN WE WOULD GO SHARE THAT WITH THE IMMEDIACY AND CDC BOARDS AND THEN BRING ANY FEEDBACK BACK TO YOU. SO HERE IS THE LIST OF PROJECTS THAT WE PUT TOGETHER. UM THERE IS CURRENTLY IN THE ADOPTED C I P YOU CAN SEE SEVERAL PROJECTS UNDER CONSTRUCTION. SUMMER OUT FOR BID WILL BE COMING TO YOU FOR AWARD SUMMER UNDERSIGNED SOMEWHERE IN STUDY PHASE AND SOME HAVEN'T BEEN FUNDED YET. UM SO IMPORTANT TEMPER THERE AT THE BOTTOM IS 165 MILLION. THAT'S JUST IN THE CURRENTLY ADOPTED SIP THAT WE HAVE TO FUND AND THAT NUMBER IS ONLY GOING TO COMMUTE TO GO UP AS WE SEE INFLATION AND YOU ADD ELEMENTS TO ANOTHER PROJECTS TO THIS LIST OVER TIME. SO THIS IS REALLY JUST A KIND OF STUDYING THE SEQUENCE OF EVENTS THAT YOU'LL START TO SEE ON AN ANNUAL BASIS WILL BRING THIS LIST TO YOU AND THEN TAKE IT OUT TO THE BOARDS. UM ON THE NEXT PAGE. IF YOU'RE CURIOUS ABOUT IN THE PROJECTS, THIS IS A GRAPHICAL REPRESENTATION OF ALL THOSE DIFFERENT PROJECTS. WE DID SHARE. THIS LIST WITH THE EXECUTIVE DIRECTORS OF BOTH THE E D. C AND C, D. C, UM THE UM ASKED THAT THEY'RE THE FUNDING BE FOCUSED ON COLLIN MCKINNEY PARKWAY. WE HAVE A PROJECT THAT JUST BID FROM LAKE FOREST OUT TO TINA. THEY'VE GOT PROPERTY NEAR THEM, SO THEY'D LIKE TO SEE THAT MONEY EARMARKED TOWARDS THAT PROJECT. THE CDCS COMMENT WAS WE HAVE A COUPLE OF PROJECTS NORTH OF 3 80 SOME ARTERIALS THERE THAT THEY DIDN'T NECESSARILY SEE THE CORRELATION TO ECONOMIC DEVELOPMENT. PART OF THAT RESOLUTION. TAKING YOU BACK WAS A STUDY THAT WE HAD CONDUCTED BY CONSULTING FIRM THAT TIED BASICALLY THE MASTER THOROUGHFARE PLANE THAT'S ADOPTED BY THE CITY TO ECONOMIC DEVELOPMENT. SO ANY PROJECT ON OR ANY ANY ROADWAY THAT'S ON OUR MASTER THOROUGHFARE. PRINT IS THEN ACTUALLY BY DEFAULT, ELIGIBLE FOR FUNDING. SO UM, SO THIS IS THE LIST THAT WE ARE BRINGING YOU TWO FOR APPROVAL.

IT'S ON THE CONSENT AGENDA FOR APPROVAL TONIGHT. I'M HERE TO ANSWER ANY QUESTIONS. IF YOU GUYS APPROVED THE RESOLUTION TONIGHT, I WILL THEN BE MEETING WITH THE BOARDS, GET THEIR INPUT AND EDUCATE THEM AS WELL. HAPPY TO TAKE. YOU JUST WANTED TO ADD THAT THIS IS THE EXERCISE WE'RE GOING TO DO EVERY YEAR. MHM AND WELL, WE DON'T HAVE A LOT OF MONEY THIS YEAR. WE WANTED TO GO THROUGH THE EXERCISE TO GET YOU KNOW THAT IT'S REQUIRED, UM IN THE RESOLUTION, AND IT'S SOMETHING THAT WE NEED TO DO. AND, UH WE? WE MADE SURE HE WANTED TO GET INPUT FROM BOTH THE EAST AND THE SEEDS, OF COURSE AS WELL. I'D LIKE TO ASK ONE QUESTION. YOU KNOW, WE'VE GOT A LOT OF HELP PARKWAY FROM TRINITY FALLS TO HARDEN. WE DON'T MAKE THEM CONNECTION TO LIKE FOREST. IS THERE A REASONING BEHIND THAT? BECAUSE I'VE ALWAYS THOUGHT THAT WAS A MAJOR ARTERY TO GET TRAFFIC EAST AND WEST. PART OF IT IS ALL WHY WE DON'T SHOW THAT FUNDING. IT'S ALL TIED UP IN THESE CONVERSATIONS THAT WE'RE HAVING WITH RPG AND WITH GEORGIA GROUP AND THAT PAST DEVELOPMENT AGREEMENT THAT NEVER GOT EXECUTED, RIGHT, SO WE DON'T HAVE ANY FUNDING TOWARDS LOUD. HOW PARKWAY TODAY. SO IF WE ADDED THE ENTIRE, UM, LIMITS OF THAT PROJECT THAT 165 GHOST OVER 200 MILLION, AND IT'S STILL UNFUNDED. CERTAINLY COULD BE ADDED IN FUTURE YEARS. EVERY YEAR. WE WILL UPDATE THIS WHEN WE UPDATE THE SIP AND BRING IT TO YOU FOR CONSIDERATION. ANY OTHER QUESTIONS. I APPRECIATE IT, GERRI. THANK THANK YOU, GARY. ALL RIGHT. WE ARE NOT GOING TO GO INTO EXECUTIVE SESSION. NOW WE'RE GONNA UM WELL RESEARCH RECESS. WHAT'S THAT? OKAY SO I'LL DO THAT. AND THEN WE'RE GONNA JUMP IMMEDIATELY INTO OUR MUT. YEAH. YEP. AFTER YEAH. ALL RIGHT, UM, I'M GOING TO SKIP COUNCIL, THE A'S ON

[EXECUTIVE SESSION]

[02:00:04]

UPDATES OR ANYONE THAT WANTED TO SAY SOMETHING. I'M SORRY EXECUTIVE SESSION, ACCORDING TO TEXAS GOVERNMENT CODE SECTION 55171 CONSULTATIONS WITH THE TURNING ON ANY WORK SESSION SPECIAL SESSION REGULAR SESSION AGENDA ITEM REQUIRING CONFIDENTIAL ATTORNEY CLIENT ADVICE AND ASSIST STATED BY DELIBERATION DISCUSSION SAID ITEMS AS NEEDED. SECTION 55174 PERSONNEL MATTERS. PRESIDING JUDGE EMPLOYMENT AGREEMENT SECTION 55187 DELIBERATION REGARDING ECONOMIC DEVELOPMENT MATTERS PROJECT 20 OH NINE TUBS, BREWERY AND ENTERTAINMENT DESTINATION PROJECT. BLUE SKY PROJECT ARROGANT AND THERE WILL YEAH. MOTION TO RECESS REMOVED.

ON FAVOR. I. APPRECIATE YOU NEED HOW LONG TOO. TWO MINUTES AND WE WILL JUMP RIGHT AND WE HAVE TWO MOTIONS. I BELIEVE. IF I MAY. I'D LIKE TO MAKE A MOTION THAT WE AMEND THE CHAPTER 3 80 AGREEMENT WITH THE EXISTING CHAPTER. 3 80 AGREEMENT TUBS AS DISCUSSED IN THE EXECUTIVE SESSION. I'LL SAY IT AGAIN. ALL THOSE IN FAVOR. I OPPOSED. EVERYONE IS HERE. OTHER THAN COUNCILMAN, CLEARLY A. WE'RE JUST GONNA RUN UP. AND WE HAVE A.

VERY NIFTY. WE APPROVED JUDGE PETTIS CONTRACTORS DISCUSSING EXECUTIVE SESSION. ONE SECOND.

GO AHEAD, 1ST AND 2ND ALL IN FAVOR. SECOND WAS COUNCILMAN GOT THIS? I. IN FAVOR. POST MOTION PASSES. MOTION TO ADJOURN. OKAY ALL IN FAVOR. I WILL TAKE A SHORT RECESS. WHY WE PREPARE OUR TECHNOLOGICAL APPARATUS FOR OUR

* This transcript was compiled from uncorrected Closed Captioning.