Nov 05, 2024 City Council Regular Meeting

[00:00:02]

GOOD AFTERNOON.

[CALL TO ORDER]

IT'S 3 0 1 IN THE AFTERNOON.

IT'S TUESDAY, NOVEMBER 5TH, 2024.

OTHERWISE KNOWN AS ELECTION DAY.

WE'LL ALL BE HAPPY WHEN THIS ONE IS BEHIND US.

WE'RE IN 2 22 NORTH TENNESSEE STREET, GREAT CITY OF MCKINNEY.

FIRST ORDER OF BUSINESS IS INFORMATION SHARING.

ITEM 2 4 2 1 3 2 PROCLAMATION FOR THE BILLY JEAN KING CUP EVENT.

AND IF, UH, CITY STAFF WILL MEET ME UP FRONT.

YES, YOU.

HOW IS THAT DECIDED? .

ALRIGHT.

WHEREAS THE CITY OF MCKINNEY IS HONORED TO HOST THE 2024 BILLIE JEAN KING CUP BY GAME BRIDGE PLAYOFF AT THE COURTS OF MCKINNEY, GABE NESBIT PARK ON NOVEMBER 16TH THROUGH 17TH, MARKING A MOMENTOUS EVENT WHERE TOP FEMALE ATHLETES FROM UKRAINE AND AUSTRIA WILL COMPETE.

AND WHEREAS THE BILLIE JEAN KING CUP IS THE WORLD'S LARGEST WOMEN'S INTERNATIONAL TEAM SPORTS COMPETITION FOR WOMEN WITH MORE NATIONS COMPETING THAN, THAN IN ANY OTHER SUCH EVENT.

AND WHEREAS DUE TO ONGOING CONFLICT IN UKRAINE THAT PREVENTED THE HOSTING OF THIS MATCH IN THEIR OWN COUNTRY, MCKINNEY IS PROUD TO OFFER A WELCOMING VENUE ENSURING THESE TALENTED ATHLETES CAN COMPETE ON THE WORLD STAGE.

AND WHEREAS THIS EVENT HIGHLIGHTS MCKINNEY'S COMMITMENT TO HOSTING TOP TIER TOURNAMENTS AND PRESTIGE EVENTS, ENHANCING MCKINNEY'S REPUTATION AS A PREMIER SPORTS DESTINATION.

AND WHEREAS THE CITY COUNCIL AND CITIZENS OF MCKINNEY WELCOME

[Proclamation for Arbor Day]

WITNESS MY HAND AND SEAL THIS FIFTH DAY OF NOVEMBER, 2024.

ONE SECOND.

OKAY, GREAT.

THANK YOU FOR, FOR GIVING US A MINUTE HERE.

BUT YEAH, WE JUST WANNA SAY WE'RE CERTAINLY REALLY EXCITED THAT THE CITY HAS BEEN BEHIND THIS TENNIS CENTER SINCE DAY ONE.

AND IF IT WASN'T FOR THE SUPPORT OF, YOU KNOW, THE CITY COUNCIL, THE PARKS AND RECS AND, AND ALL THE COMMUNITY, WE WOULDN'T HAVE ONE OF THE NICEST PUBLIC FACILITIES, IF NOT IN TEXAS, MAYBE IN THE COUNTRY.

SO WE'RE REALLY PROUD NOT JUST TO HAVE A, A PRO EVENT COME TO TOWN, BUT ALSO ONE THAT'S COMING TO SUCH A GOOD CAUSE AS YOU MENTIONED.

SO, UH, THANK YOU ALL VERY MUCH.

AND THAT'S IT.

THANK YOU.

DID YOU GET SOME NERVOUS AND LEAVING? ALL RIGHT.

NEXT IS, UH, AGENDA ITEMS FOR THE CITY COUNCIL TO DISCUSS OR ACTUALLY PUBLIC COMMENTS.

I'M SORRY.

AND WE DO HAVE, UM, FLOW.

YOU WOULD COME UP, JUST START TALKING.

HELLO, MY NAME IS REEN HENRY.

I LIVE AT 9 0 5 SOUTH MARY STREET HERE IN MCKINNEY, TEXAS.

I CAME TO COMPLAIN ABOUT MY HOME.

I FILLED OUT AN APPLICATION FOR THE CITY TO, TO GET SOMEONE TO DO MY HOUSE.

MY HOUSE IS DESTROYED.

THE PEOPLE WHO DID IT, THAT IT'S A HUGE

[PUBLIC COMMENTS ON (Non-Public Hearing) AGENDA ITEMS]

THE HOUSE IS FALLING IN.

YOU HAVE PICTURES THERE THAT YOU CAN LOOK AT TO SEE HOW THE WALLS ARE COMING APART.

MY HOUSE IS DESTROYED.

SO YOU ALL GOTTA DO SOMETHING ABOUT THAT.

'CAUSE THE SISTER CITY HIRED THESE PEOPLE TO FIX MY HOUSE AND THEY DIDN'T DO IT.

AND I'M GETTING UPSET.

I'M GOING TO THE NEWSPAPERS.

IF THEY DON'T DO SOMETHING, I'M GOING TO THE WORLD.

I'M TELLING YOU, BECAUSE I WORKED HARD FOR THAT HOUSE.

IT'S JUST ME.

NOBODY BUT ME.

AND I WORKED HARD FOR THAT HOUSE.

I PAID FOR MY HOUSE AND MY CAR.

AND THEY COME IN AND THEY ARE DESTROYED IT.

YOU SHOULD SEE IT.

YOU, YOU HAVE THE PICTURES UP THERE, YOU CAN LOOK AT IT.

I DON'T KNOW WHAT TO DO ABOUT IT.

I MEAN, A HOLE IS HUGE AND THE WALLS ARE CRACKING.

I DON'T KNOW WHAT TO DO.

I DON'T TELL MY SON.

MY SON DON'T KNOW IT.

AND

[00:05:01]

HE DOESN'T EVEN LIVE HERE.

AND I HAVEN'T, HE DON'T KNOW WHAT I'M GOING THROUGH AND I DON'T.

BUT HE'S GOT HIS OWN PROBLEMS. BUT I'M ASKING YOU ALL TO PLEASE HELP ME FIX MY HOUSE, BABY.

THEY HAVE DESTROYED MY HOME AND I CAN'T HARDLY TAKE IT.

TOMORROW I'LL BE 90, MY BIRTHDAY AND I'M TIRED.

I NURSE 61 YEARS AND I KNOW PEOPLE, THEY CAN DO BETTER THAN THIS.

AND I'M BEGINNING TO GET ANGRY.

IT'S NOT GOOD FOR ME TO GET ANGRY.

I'VE TAKEN A LOT AND I'M NOT GONNA CHECK ANYMORE.

I'M GONNA GO THROUGH WHOEVER I NEED TO.

SO I'M MESSING YOU ALL.

PLEASE HELP ME GET SOMEBODY IN THERE AND FIX MY HOME.

THIS IS MY HOME.

I WORKED HARD FOR THAT HOUSE BY MYSELF.

MY HUSBAND DIED IN THE EIGHTIES AND I PAID MY HOUSE IN MY CAR AND EVERYTHING I DO WITHOUT FOOD TO PAY FOR THAT.

I DON'T WANNA CRY BECAUSE I'M, I'M GETTING ANGRY.

BUT THIS IS, I'M NOT FUSSING AT YOU.

I'M JUST LETTING YOU KNOW HOW I FEEL AND I KNOW IT CAN DO, IT CAN BE DONE BETTER.

I HAD A GOOD HOUSE.

I, MY FOUNDATION WAS GOOD.

THE HOLE IS HUGE.

HE, HE WAS TALKING TO ME IN MY LIVING ROOM WHILE SOMEONE WAS DIGGING AT BIG HOLE IN MY, THE WINDOWS.

YOU GOT PICTURES UP THERE.

I, I GAVE YOU PICTURES.

THERE'S PICTURES OF SOME OF IT, SOME OF MY HOUSE.

IT'S BAD AND, AND I CAN'T TALK AS FAR.

JUST TRY TO GET SOMEBODY TO HELP ME FIX MY HOUSE.

PLEASE.

THANK YOU.

SO FLO, SO YOU, SO YOU KNOW, UM, THE, WE HAD AN INSPECTION COMPANY GO OUT YESTERDAY AND WE DON'T HAVE THE RESULTS BACK YET, BUT WE DO HAVE AN INSPECTION COMPANY THAT'S GONE OUT THAT THE CITY, THE GUY THAT CAME OUT THERE YESTERDAY, THEY, THEY WERE THERE YESTERDAY TO INSPECT AND, UM, JUST ONE, WHAT'S THAT? JUST ONE GUY? YES, YES.

IT'S A HOME INSPECTOR.

YES.

AND HE WILL BE PROVIDING US THE RESULTS MAYBE TODAY.

ANY, ANY TIME NOW.

AND WE WILL ABSOLUTELY LOOK AT IT.

AND, AND BECAUSE I HAVEN'T GONE TO THE CITY, HAVEN'T GONE TO THE NEWSPAPERS, I HAVEN'T GONE ANYWHERE, BUT I'M READY TO START BLASTING.

WELL, LET US GET THE REPORT AND WE'LL, AND WE'LL GET WITH YOU.

REVIEW.

ALL RIGHT.

THANK YOU VERY MUCH.

THANK YOU ALL FOR BEING NICE BY LISTENING.

OKAY, THAT'S ALL I HAVE.

THAT'S SIGNED UP NOW.

UH, REGULAR AGENDA.

IS THERE ANYTHING THAT ANYONE WOULD LIKE TO DISCUSS, DISCUSS WITH STAFF WHILE THEY'RE HERE? IF NOT, WE'LL MOVE ON TO OUR WORK SESSION.

ITEM 24 21 33, INFORMATIONAL UPDATE REGARDING SHORT TERM RENTALS IN MCKINNEY.

GOOD AFTERNOON,

[CONSENT AGENDA]

UH, I'M HERE TO GIVE AN UPDATE ON SHORT-TERM RENTALS.

SO WE'RE GATHERED HERE TODAY TO TALK ABOUT SHORT-TERM RENTALS, WHICH HAVE INCREASED, UH, PRECIPITOUSLY IN THEIR PREVALENCE OVER THE PAST FIVE TO 10 YEARS.

AND WE WANNA TAKE A CLOSER LOOK TO SEE WHAT THE CURRENT STATE OF THEM IN THE CITY OF MCKINNEY IS.

SO FIRST DEFINING SHORT TERM RENTALS.

HARDER THAN YOU MIGHT THINK BECAUSE THE CITY OF MCKINNEY DOES NOT ACTUALLY CURRENTLY HAVE A DEFINITION FOR SHORT TERM RENTALS IN OUR ZONING CODE.

THAT SAID, FOR SORT OF A COMMON LANGUAGE DEFINITION, A GOOD ONE WOULD BE THAT SHORT-TERM RENTALS ARE RESIDENTIAL UNITS THAT ARE RENTED OUT ON A SHORT-TERM BASIS, USUALLY LASTING LESS THAN A MONTH.

[Conduct a Public Hearing to Consider/Discuss/Act on a Request to Rezone the Subject Property from “AG” - Agricultural District to “C2” - Local Commercial District, Located on the West Side of Trinity Falls Parkway and Approximately 3,400 feet North of the Intersection of the Trinity Falls Parkway and Laud Howell Parkway, and Accompanying Ordinance]

HOW WE CURRENTLY APPROACH SHORT-TERM RENTALS IS THAT WE DO NOT CONSIDER THEM DIFFERENT FROM THE RESIDENTIAL USE THAT THEY RECEIVED A BUILDING PERMIT FOR.

SO IF YOU WERE TO SAY, USE A SHORT TERM, OR EXCUSE ME, USE A DUPLEX UNIT AS A SHORT TERM RENTAL AS FAR AS ADMINISTRATION AND REGULATION GOES, A DUPLEX IS A DUPLEX IS A DUPLEX.

WHETHER IT IS A, UH, OWNER OCCUPIED UNIT, LONG-TERM RENTER OCCUPIED OR SHORT-TERM RENTAL.

THE ONE EXCEPTION TO THAT IS THAT SHORT-TERM RENTALS ARE REQUIRED TO PAY THE HOTEL OCCUPANCY TAX NUISANCE ISSUES FOR SHORT-TERM RENTALS ARE HANDLED THROUGH CODE ENFORCEMENT.

AND AGAIN, BECAUSE THEY'RE NOT ANY DIFFERENT FROM OTHER RESIDENTIAL USES, THEY'RE HANDLED IN THE EXACT SAME WAY.

AND KIND OF THE CONTEXT FOR WHY WE'RE HERE TODAY.

BACK IN 2016, STAFF WAS DIRECTED TO MONITOR NUISANCE COMPLAINTS AND CASE LAW RELATED TO SHORT TERM RENTALS.

AND THIS IS KIND OF OUR UPDATE SINCE THEN FOR KIND OF 30,000 FOOT OVERVIEW.

UH, THIS IS A SNAPSHOT

[Conduct a Public Hearing to Consider/Discuss/Act on a Request to Rezone the Subject Property from “BN” - Neighborhood Business District to “PD” - Planned Development District, Generally to Modify the Development Standards and to Allow for Warehouse and Commercial Uses, Located at 100 East Leland Avenue]

UH, AGAIN, THIS

[00:10:01]

SO A PRETTY SIGNIFICANT INCREASE.

UM, AND AS YOU CAN SEE, THEY ARE HEAVILY CONCENTRATED IN OUR HISTORIC DISTRICT WHEN IT COMES TO SHORT-TERM RENTALS.

THERE ARE A COUPLE SPOTS THAT ARE WORTH TAKING A REALLY CLOSE LOOK AT.

ONE IS HOW THEY INTERFACE WITH TOURISM IN THE CITY OF MCKINNEY, WHAT THEIR IMPORTANCE IS, UH, ANY POTENTIAL NUISANCE ISSUES THAT CAN ARISE BECAUSE OF THEM.

AND WE REALLY WANT TO DISCUSS THE UNCERTAIN LEGAL AND REGULATORY ENVIRONMENT BECAUSE IT IS VERY MUCH NOT SET IN STONE AT THE MOMENT.

BUT BEFORE WE GET TO THAT, I WANNA TALK ABOUT WHAT WE USE THAT HOTEL OCCUPANCY TAX FOR.

SO IT HELPS FUND CONSTRUCTING AND IMPROVING CONVENTION CENTERS.

UH, IT FUNDS THE MCKINNEY CONVENTION AND VISITORS BUREAU, WHICH DOES INCLUDE VISIT MCKINNEY.

UH, IT CAN BE USED FOR PROMOTION OF THE ARTS AS WELL AS HISTORIC PRESERVATION AND RESTORATION.

THESE ARE THE, JUST ABOUT THE ONLY THINGS THAT CAN BE USED TO FUND, AND THAT IS BY STATE LAW.

BUT ALL OF THESE, UH, IMAGES HERE ARE OF, UH, PROJECTS OR EVENTS THAT WERE IN PART FUNDED EITHER DIRECTLY OR INDIRECTLY THROUGH THE HOTEL OCCUPANCY TAX.

AS FAR AS COLLECTING SAID TAX, UM, THE CITY'S CURRENT APPROACH IS WE WORK WITH AIRBNB, THE LARGEST VENDOR OF SHORT TERM RENTALS TO COLLECT HOTEL OCCUPANCY TAX AS A LUMP SUM, COLLECTED AS A LUMP SUM.

THEY DON'T GIVE US DATA ON HOW MANY PEOPLE OR WHERE THEY ARE, ET CETERA.

IT'S JUST THE AMOUNT.

WE DON'T HAVE A DATABASE OF SHORT-TERM RENTALS.

AND BECAUSE OF THAT, IT'S HARD TO JUDGE THE GAP BETWEEN THE POTENTIAL HOTEL OCCUPANCY TECHS WE COULD BE COLLECTING AND WHAT WE'RE ACTUALLY COLLECTING.

AND COMPLIANCE IS RELIANT ON PROPERTY OWNERS TO REMIT GOING FORWARD.

HOWEVER, THE CITY IS GOING TO BE WORKING WITH OTHER VENDORS TO HELP COLLECT THAT HOTEL OCCUPANCY TAX.

UH, MOST VENDORS ARE RIGHT NOW HESITANT TO COLLECT AND REMIT HOTEL OCCUPANCY TAX.

I KNOW FINANCE IS WORKING ON A PROPOSAL TO CHANGE ORDINANCE TO HELP FACILITATE THAT.

UM, AND FINANCE IS ALSO CURRENTLY CONTRACTING WITH A VENDOR CALLED GOV OS TO HELP IDENTIFY SHORT-TERM RENTALS IN MCKINNEY.

AND THIS WOULD BE A TRUE DATABASE, UM, OVER TIME RATHER THAN JUST THAT SNAPSHOT, IT WOULD LIST ALL THE ADDRESSES AND DETERMINE WHEN THEY'VE LIKELY BEEN OCCUPIED.

SO WE HAVE AN IDEA OF WHAT THE DIFFERENCE BETWEEN POTENTIAL AND ACTUAL HOTEL OCCUPANCY TAX IS.

AND THEN DEPENDING ON HOW THAT SHAKES OUT, THERE'S A POTENTIAL TO EXPAND THE CONTRACT TO INCLUDE A CENTRALIZED PAYMENT PORTAL THROUGH GOV OS FOR HOTEL OCCUPANCY TAX.

BUT THAT'S NOT SET IN STONE OR ANYTHING, JUST AN OPTION DESPITE, UH, GROWING IN PREVALENCE.

DEFINITELY AND PRECIPITOUSLY OVER THE PAST FIVE YEARS, IT SHOULD BE MENTIONED THAT SHORT TERM RENTALS STILL ONLY PLAY A RELATIVELY SMALL PART IN THE HOTEL OCCUPANCY TAX REVENUE.

UM, THE BLUE IS TRADITIONAL HOTELS, THE ORANGE BEING SHORT TERM RENTALS, SO DEFINITELY ON THE RISE, BUT THEY'RE STILL JUST A FRACTION OF THE INCOME IN COMPARING HOTELS AND SHORT TERM RENTALS AND, UM, HOW THEY WORK TOGETHER IN TANDEM TO FACILITATE TOURISM IN MCKINNEY.

THE GIST OF IT IS THAT WE HAVE MORE HOTEL ROOMS OVERALL AT MORE PEOPLE ARE STAYING IN HOTELS, BUT THE PEOPLE WHO STAY IN SHORT-TERM RENTALS TEND TO STAY IN THEM LONGER AND PROVIDE MORE REVENUE PER UH, STAY.

ANOTHER INTERESTING QUIRK IS THAT PEOPLE TEND TO BOOK HOTELS CLOSER TO THEIR VACATION, WHERE OUR SHORT-TERM RENTALS TEND TO BE BOOKED FURTHER IN ADVANCE.

BOTH OF THEM DO PEAK IN DEMAND IN APRIL AND MAY NOT COINCIDENTALLY AROUND BYRON NELSON.

MOVING ON TO NUISANCE LAW AND HOW IT'S ENFORCED REGARDING SHORT-TERM RENTALS, UM, WE DO NOT HAVE ANY CODES SPECIFIC TO SHORT-TERM RENTALS CURRENTLY.

UH, AGAIN, NUISANCE LAWS ARE JUST ENFORCED THE SAME AS THEY WOULD BE FOR ANY OTHER, UM, RESIDENTIAL USE.

SO IF CODE RECEIVES A COMPLAINT, THEY WILL RESPOND TO SAID COMPLAINT.

THE ONLY EXCEPTION TO THAT IS AFTER HOURS NOISE COMPLAINTS, WHICH ARE DONE THROUGH UH, POLICE DEPARTMENT.

WHEN TALKING ABOUT REGULATION IN MCKINNEY,

[00:15:01]

SO ANYWHERE THAT CAN ACCOMMODATE A RESIDENCE CAN USE THAT RESIDENCE AS A SHORT-TERM RENTAL.

THAT SAID, OUTSIDE THE CITY'S UH, AUTHORITY, MANY HOMEOWNERS ASSOCIATIONS DO HAVE RESTRICTIONS THAT PREEMPT THE USE OF HOMES AS SHORT-TERM RENTALS.

[Conduct a Public Hearing to Consider/Discuss/Act on a Request to Rezone the Subject Property from “PD” - Planned Development District to “PD” - Planned Development District, Generally to modify the Development Standards and Allow for Commercial Uses, Located on the Northeast Corner of Collin McKinney Parkway and Piper Glen Road, and Accompanying Ordinance]

AND ANECDOTALLY, HCD DID SAY THAT THE VAST MAJORITY OF COMPLAINTS THEY GET REGARDING SHORT TERM RENTALS HAVE BEEN FROM NON HOA NEIGHBORHOODS.

NOW I WANNA TAKE A STEP BACK AND LOOK AT HOW OTHER CITIES ARE APPROACHING SHORT-TERM RENTALS.

FIRST I WANNA LOOK AT FRISCO FOR THEIR ORDINANCE FOR SHORT-TERM RENTALS.

THEIR PRIMARY ADMINISTERING DEPARTMENT IS THEIR CODE ENFORCEMENT DEPARTMENT.

THEY DO HAVE A SPECIFICALLY DEFINED USE IN THEIR CODE, BUT THEY DON'T RESTRICT LOCATION THROUGH THEIR ZONING CODE.

THEY DO REQUIRE REGISTRATION DONE THROUGH A THIRD PARTY VENDOR.

THEY HAVE A PERMIT THAT THEY MADE SPECIFICALLY FOR SHORT TERM RENTALS THAT NEEDS TO BE APPLIED FOR.

AND THAT'S DONE THROUGH THE CITY'S ONLINE PORTAL.

THEY DON'T REQUIRE ANY SORT OF INSPECTION THOUGH.

THEY DO REQUIRE THAT EACH, UM, SHORT TERM RENTAL HAVE A 24 HOUR AVAILABLE CONTACT MOVING ON TO PLANO.

LIKEWISE, THEY ADMINISTER IT THROUGH THEIR CODE ENFORCEMENT DEPARTMENT.

THEY DO HAVE A DEFINED USE IN THEIR CODE, BUT UNLIKE FRISCO, THEY DO RESTRICT WHERE THEY CAN BE, UM, BASED ON ZONING.

SO IN PLANO, UH, THEY'RE RESTRICTED TO NON-RESIDENTIAL DISTRICTS, WITH THE EXCEPTION OF THEIR OFFICE DISTRICT.

YOU CAN HAVE SHORT-TERM RENTALS IN PLANO IN THEIR RESIDENTIAL DISTRICTS, BUT ONLY IF THEY'RE IN A HERITAGE DISTRICT, WHICH IS LIKE SIMILAR TO OUR HISTORIC DISTRICT.

AND ANOTHER CAVEAT WITH THOSE IS THEY REQUIRE LIVE-IN MANAGEMENT.

SO MORE LIKE A TRADITIONAL, UH, BED AND BREAKFAST RATHER THAN THE SHORT TERM RENTALS.

WE'VE GENERALLY BEEN DISCUSSING.

LIKE FRISCO, THEY REQUIRE REGISTRATION THROUGH A THIRD PARTY VENDOR.

UH, BUT PLANO DOESN'T HAVE LIKE A SPECIFIC, UH, SHORT TERM RENTAL PERMIT LIKE FRISCO DOES.

THEY REQUIRE A SELF INSPECTION PRIOR TO APPROVAL.

[Conduct a Public Hearing to Consider/Discuss/Act on a Request to Rezone the Subject Properties from “AG” - Agricultural District and “ML” - Light Manufacturing District to “I1” - Light Industrial District Located on the South side of McIntyre Road and Approximately 200 feet East of the Intersection of North McDonald Street and McIntyre Road, and Accompanying Ordinance]

FINALLY, DALLAS, DALLAS, UH, ADMINISTERS LIKE THE OTHER TWO THROUGH THEIR CODE COMPLIANCE DEPARTMENT.

UH, THEY DO HAVE A DEFINED USE IN THEIR CODE AND LIKE PLANO, THEY RESTRICT YOU LOCATION BASED ON ZONING.

UH, THEY RESTRICT IT TO THEIR OFFICE, MULTIFAMILY AND CENTRAL AREA DISTRICTS.

THE CENTRAL AREA BEING ESSENTIALLY THEIR DOWNTOWN, THEY REQUIRE REGISTRATION, BUT IT'S DIRECTLY THROUGH THEIR CODE COMPLIANCE DEPARTMENT RATHER THAN A THIRD PARTY VENDOR.

THEY HAVE A PERMIT SPECIFICALLY FOR, UM, SHORT TERM RENTALS.

AND THEY REQUIRE NOT JUST A SELF INSPECTION, BUT A FULL INSPECTION BY CITY STAFF AND LIKE THE OTHERS.

THEY DO REQUIRE THAT 24 HOUR CONTACT.

THE LEGAL ENVIRONMENT IN WHICH THESE OTHER CITIES HAVE COME UP WITH THEIR ORDINANCES IS VERY COMPLEX AND IT HAS BEEN CHANGING FREQUENTLY.

UM, UNFORTUNATELY MUCH OF WHAT CITIES CAN AND CANNOT DO IN REGARDS TO SHORT-TERM RENTALS IS DEVELOPING.

IT IS NOT CLEAR.

WE DO KNOW A FEW THINGS FOR SURE, THOUGH WE KNOW THAT CITIES CANNOT BAN SHORT TERM RENTALS CITYWIDE AND CITIES CANNOT, UH, REQUIRE THEM TO BE OWNER OCCUPIED OR OWNED BY A CITY RESIDENT.

AND CITIES ALSO CANNOT RETROACTIVELY ENFORCE NEW RULES ON EXISTING SHORT-TERM RENTALS.

CITIES CAN REQUIRE THEM TO BE REGISTERED AND LICENSED OR PERMITTED.

LOOKING AT TWO RECENT CASES, UH, HINO VERSUS CITY OF NEW ORLEANS WAS A FEDERAL CASE, UH, THAT FOUND THAT REQUIRING SHORT-TERM RENTALS TO BE OWNER-OCCUPIED IS UNCONSTITUTIONAL.

AN ONGOING CASE STARTED IN DECEMBER, 2023 IS DALLAS SHORT-TERM RENTAL ALLIANCE VERSUS THE CITY OF DALLAS.

[Conduct a Public Hearing to Consider/Discuss/Act on Amendments to the ONE McKinney 2040 Comprehensive Plan, Including Updates to the Future Land Use Plan, Land Use Diagrams, Placetype Definitions, Individual District Strategies, and Minor Text Updates; and Accompanying Ordinance (REQUEST TO BE TABLED)]

IT'S UNDER TEMPORARY INJUNCTION.

UM, IN ADDITION TO WHAT WE DISCUSSED, THEY LIMITED SHORT-TERM RENTALS TO ONE PER DWELLING UNIT, HAD MINIMUM STATE LENGTHS, UH, REQUIRED A FULL CERTIFICATE OF OCCUPANCY.

UM, SO CURRENTLY THEY'RE UNABLE TO ENFORCE THEIR

[00:20:01]

SO BRING IT AROUND TO SUMMARIZE.

CODE DOES ACTIVELY ENFORCE NUISANCES LAW, THOUGH IT IS JUST NO DIFFERENT FROM HOW THEY ENFORCE IT FOR ANY RESIDENCE.

UH, WE DO COLLECT HOTEL OCCUPANCY TAX.

WE'RE

[Conduct a Public Hearing to Consider/Discuss/Act on a Request by the City of McKinney to Update, Amend and Adopt a New Version of the Engineering Design Manual that Establishes Standard Engineering Practices and Minimum Engineering Criteria for Projects Within the City of McKinney (City), Texas, and its Extraterritorial Jurisdiction (ETJ), Including the Adoption of Reasonable Specifications Relating to the Construction of Each Street or Road Based on the Amount and Kind of Travel thereon and Adequate Drainage for Each Street or Road in a Subdivision in Accordance With Standard Engineering Practices, and Accompanying Ordinance (REQUEST TO BE TABLED)]

WITH THAT, UH, STATE VARIETY QUESTIONS, THERE'S UH, THERE'S ALSO A TREND RIGHT NOW.

I KNOW SEVERAL IN THIS COMMUNITY, PEOPLE THAT ARE DOING SHORT TERM RENTALS OF THEIR POOLS, OF THEIR BACKYARDS.

HOW DOES ANY OF THAT, UH, OR DO YOU, HAVE YOU IDENTIFIED ANY OTHER CITIES, UM, UH, REGULATING THAT TO ANY EXTENT OR NOT? FROM OUR SISTER CITIES, ESPECIALLY THE ONES THAT WE TOOK A DEEP DIVE ON, WE DIDN'T REALLY FIND ANYTHING SPECIFIC TO, UM, THOSE KIND OF RENTALS.

AND THERE'S THE OTHER ONES LIKE THE PET WATCHING RENTALS AND THE LIKE.

IT WAS HARDER TO FIND EXAMPLES OF ORDINANCES REVOLVING AROUND THOSE.

AND THE CASE LAW AROUND THOSE IS EVEN LESS CLEAR THAN FOR REGULAR SHORT-TERM RENTALS.

HOW OFTEN ARE NUISANCE CALLS? UM, HOW OFTEN ARE NUISANCE ISSUES CALLED INTO

[COUNCIL AND MANAGER COMMENTS]

UH, THAT IS THEIR AREA OF EXPERTISE.

GOOD AFTERNOON, MR. MAYOR AND COUNSEL.

I'M CHRIS SMITH, THE CODE COMPLIANCE MANAGER.

WE, SINCE WE DON'T ACTUALLY TRACK SHORT TERM RENTALS, WE DON'T KNOW EXACTLY HOW MANY NOISE COMPLAINTS ARE RELATED TO THEM.

WE DO HAVE A COUPLE THAT WE GET FREQUENT COMPLAINTS ABOUT.

UM, SOME YOU MAY BE AWARE OF SOME OF THOSE.

UH, IN GENERAL WE GET VERY FEW NOISE COMPLAINTS OVERALL.

UH, SO THEN VERY FEW RELATED TO WHAT WE BELIEVE MIGHT BE AN STR, BUT HISTORICALLY WE HAVEN'T TRACKED THOSE PROPERTIES AS AN STR.

SO IT'S REALLY HARD TO SAY AT THIS POINT.

SO IF WE REQUIRED PERMITTING FOR OUR SHORT TERM RENTALS AND WE GOT REPEAT OFFENDERS, WHAT CAN WE LEGALLY DO? UH, UH, GENERAL OTHER CITIES ARE, COULD REVOKE THAT PERMIT.

I'M NOT SURE.

IT WOULD DEPEND REALLY ON IF MCKINNEY ADOPTED ANY ORDINANCE RELATED TO SHORT-TERM RENTALS AND WHAT THE DETAILS WERE.

UM, WHEN DISCUSSING THE ABILITY OR THE EXTENT OF OUR ABILITY TO REGULATE THIS WOULD NEED TO BE A DISCUSSION WITH THE LEGAL TEAM.

UM, THE CASES THAT ARE CURRENTLY ONGOING IN DIFFERENT COURTS OF APPEALS, NOT ONLY ARE THEY UNRESOLVED, BUT SOME OF THE ONES THAT ARE HAVE CONFLICTING, UM, RESULTS.

SO WE REALLY DON'T HAVE A CLEAR PICTURE ON THE EXTENT OF WHAT WE COULD DO.

IN YOUR LAST SLIDE, YOU MENTIONED THAT HOTEL OCCUPANCY TAXES ARE COLLECTED, WE'RE ABLE, COULD YOU EXPLAIN THAT TO ME AND HOW MANY OF THESE ARE ACTUALLY PAYING THOSE TAXES? I THINK THAT'S PART OF THE ISSUE.

WE DON'T KNOW FOR SURE, UM, WHAT THE DIFFERENCE IS BETWEEN WHAT WE'RE ACTUALLY COLLECTING AND WHAT WE COULD BE COLLECTING.

THAT'S PART OF THE REASON WHY FINANCE IS COLLECTING MORE DATA AND TRYING TO GET A DATABASE OF SHORT-TERM RENTALS.

I BELIEVE.

UH, WE HAVE A REPRESENTATIVE FROM FINANCE HERE IF YOU WANT TO TALK JUST A LITTLE MORE ABOUT IT.

YES, SIR.

GOOD AFTERNOON.

CHANCE MILLER COUNTY MANAGER.

UM, SO KIND OF YOU SAW THE DATA, I DON'T KNOW IF WE CAN GO BACK A FEW SLIDES.

I CAN AT LEAST GIVE YOU A LITTLE BIT MORE INFORMATION ON THIS TO REALLY GET THE NUMBERS.

SO THAT LITTLE ORANGE BAR THAT SHOWS THAT WE COLLECTED 360,000 SO FAR IN THIS PHYSICAL YEAR, ABOUT 95% OF THAT IS AIR AIRBNB, WHO WE HAVE A CONTRACT WITH THAT LEGALLY EVERY MONTH HAS TO REMIT TO US THE LUMP SUM OF THEY, THEY'LL COLLECT IT FROM THE HOMEOWNERS, THEN THEY'LL REMIT IT TO US.

WE DO NOT HAVE THAT AGREEMENT WITH ANY OTHER, UM, COMPANY THAT DOES SHORTTERM RENTALS OR ANYTHING LIKE THAT, WHICH IS WHAT WE'RE PURSUING.

AND WE'LL HAVE SOME RECOMMENDATIONS, UM, HERE SOON ABOUT THAT.

UM, IF THEY DON'T DO IT THAT WAY, WE GET VERY LITTLE PEOPLE THAT ARE SELF, YOU KNOW, SENDING US THEIR, HOW MUCH THEY SHOULD BE SENDING ON THEIR BEHALF, SUCH LIKE THAT.

SO, UM, IF THERE'S ANYTHING ELSE I'D LIKE I CAN, I'LL HAPPILY ANSWER INTO MORE DETAIL.

BUT OUR BIGGEST, YOU KNOW, LIKE I SAID, 360,000, ABOUT 355,000 OF THAT IS FROM ACTUALLY AIRBNB.

SO, UM, I'LL BE HAPPY TO ANSWER ANY OTHER QUESTIONS THOUGH, CURRENT INVENTORY

[00:25:01]

OKAY.

DO, I'M SORRY, I DIDN'T HEAR YOU.

THE CURRENT INVENTORY YOU'VE IDENTIFIED OF 355 UNITS, SO IT'S ROUGHLY A THOUSAND DOLLARS A I I I WOULD SAY SO.

THAT'S IT.

SAME.

YEAH, NO, I, I UNDERSTAND JUST ANECDOTALLY HERE.

YES.

MM-HMM.

.

THANK YOU.

YEP, NO PROBLEM.

SO ARE YOU ASKING US FOR DIRECTION AT THIS POINT IN TIME? THIS IS REALLY JUST MEANT TO BE AN UPDATE.

WE'RE, WE'LL COME BACK LATER WHAT WE HAVE ALL OF THAT DATA AND AT THAT POINT WE'LL WANT DIRECTION ON, UH, WHERE TO GO.

BUT FOR NOW, THIS IS JUST AN INFORMATIONAL UPDATE AND I CAN ADD A LITTLE BIT.

IF YOU MOVE, WE HAD A COUPLE COUNCIL MEMBERS REQUESTED THAT WE BRING THIS ITEM.

IT'S BEEN SOME YEARS SINCE WE ACTUALLY LAST VISITED THE, UM, STR DISCUSSION MIGHT GO, MIGHT GO BACK TO 2017.

COUNCIL, NOBODY ON THIS DAY I DON'T THINK WAS PRESENT WHEN THE LAST CONVERSATION WE HAD.

UM, WE'VE, WE'VE GROWN OBVIOUSLY.

AND, UM, WE, WE WANTED TO BASICALLY EXPLAIN TO THE COUNCIL WHAT'S OUR POLICY STANCE TODAY, WHAT'S OUR APPROACH HAS BEEN RELATIVELY LAISSEZ-FAIRE, UH, RELATIVELY ARM'S LENGTH.

AND THE QUESTION FOR THE COUNCIL IS, BASED ON THE INFORMATION YOU'VE BEEN GIVEN, UH, DO, IS THERE ANY INTEREST IN CHANGING ANYTHING BE GIVEN WITHIN THE CONSTRAINTS THAT WE HAVE, UH, WITH STATE LAW.

UM, WE'D WANNA KNOW THAT, SO WE COULD BRING THAT BACK.

IF YOU CHOOSE NOT TO MAKE THAT DECISION TODAY, THAT'S FINE.

WE'LL COME BACK WITH SOME ADDITIONAL INFORMATION AS WE GET IT AND YOU CAN MAKE THAT DECISION LATER.

BUT THE MAIN THING IS THAT THIS COUNCIL'S BEEN APPRISED OF WHAT'S OUR CURRENT POSITION WITH RESPECT TO STRS.

I THINK, UH, WE SHOULD PROBABLY WAIT TILL THE DALLAS CASE AND SETTLE IT UNTIL WE KNOW WHAT DIRECTION WE COULD GO.

I'D HATE TO MAKE ANY POLICY THAT'S GONNA BE OVERTURNED WITH A, A COURT CASE THAT'S PENDING RIGHT NOW.

YEAH.

I I WOULD, I WOULD THINK THAT TO BE TRUE ON REGULATION, BUT ON, ON COLLECTING AND WHAT WE CAN DO TO, TO, UM, BETTER CAPTURE.

UH, AND I STARTED TO GO DOWN THE ROAD ASKING A MINUTE AGO ABOUT, YOU KNOW, AGAIN, ANECDOTALLY A THOUSAND DOLLARS TO A UNIT.

AND MY SECOND FOLLOW UP QUESTION WAS GONNA BE, UM, DO WE HAVE AN UNDERSTANDING OR, OR, OR SURE THERE IS A A THERE'S DATA OUT THERE THAT WOULD IDENTIFY IN THE PRICE MARKET THAT WE ARE FOR SHORT TERM RENTALS, WHAT AN ANNUALIZED ESTIMATED HOT TAX WOULD BE FOR A UNIT.

I'M TRYING TO GAUGE WHAT WE, WHAT THE QUESTION WAS ASKED BEFORE.

WE DON'T KNOW WHAT THE DELTA IS BE BETWEEN WHAT WE'RE COLLECTING AND WHAT WE COULD BE COLLECTING.

SO WE KNOW THERE'S 355 UNITS RIGHT NOW.

WE KNOW, AGAIN, AVERAGE WISE WE'RE COLLECTING A THOUSAND.

WOULD, WOULD THE EXPECTATION BE 2000, 5,000, 3000 A YEAR? I'M NOT AWARE OF ANY BALLPARK ESTIMATES.

UH, CHANCE DO YOU I MEAN, WE WOULD, WE WOULD BE ABLE TO IDENTIFY THERE, THERE'S A NATIONAL AVERAGE ON HOW MUCH SHORT TERM RENTALS ARE RENTED.

WE CAN EVEN EVEN BREAK THAT DOWN BY REGION.

THEN WE ALSO CAN IDENTIFY WHAT'S THE AVERAGE PRICE HERE.

SO THAT WOULD THEN GIVE US A FAIRLY RIGHT, A FAIRLY GOOD GUESS AS TO WHAT HOT TAX COULD BE.

I, I KNOW WE HAVEN'T DONE IT YET, BUT WE COULD DO THAT.

I, I HAVEN'T, FROM WHAT I'VE HEARD FROM, WE WE'RE OBVIOUSLY CONTACT OR CONTRACTING WITH A COMPANY THAT IS GONNA BE SCRAPING THE DATA OF ALL THE SHORT TERM RENTAL RENTAL COMPANIES AND IT'S ABLE TO SEE WHICH DAYS ARE BOOKED AND GIVING US A GOOD ESTIMATE OF WHAT WE SH WHAT WE COULD BE COLLECTING IN THE CITY.

AND WE'LL COMPARE THAT TO WHAT WE ACTUALLY ARE AND SEE WHAT WE'RE MISSING AND WHERE THAT GAP IS.

UM, NOW HOW WE COMPARE IT TO OTHER, YOU KNOW, UH, MAYBE OTHER CITIES THAT ARE IN A SIMILAR SITUATION AS US.

I HAVEN'T DONE THAT DATA.

FROM WHAT I HEAR, IT VARIES A LOT BY, YOU KNOW, JUST A, A MILLION THINGS THAT COULD CHANGE WHAT THAT MEANS.

I DON'T KNOW IF Y'ALL HAVE LOOKED INTO ANYTHING, UM, FROM FINANCE'S POINT OF VIEW, WE'RE TRYING TO FIND, FIGURE OUT WHAT, UH, IS POSSIBLE WE SHOULD BE COLLECTING COMPARED TO WHAT WE'RE ACTUALLY COLLECTING.

AND WE'RE HOPING TO HAVE THAT DATA IN THE NEXT, YOU KNOW, THREE MONTHS OR SO AND THEN WE'LL HAVE A BETTER IDEA OF WHAT WE CAN DO MOVING FORWARD TO CLOSE THAT GAP.

AND, UM, ON THE, ON THE COURT CASES THAT ARE PENDING THAT IDENTIFY WHAT A CITY CAN AND CAN'T REGULATE.

I DON'T REMEMBER IF ONE OF THOSE THINGS WAS OUR ABILITY TO REQUIRE REGISTRATION THAT IS PERMITTED.

THAT'S THE SAFE HARBOR, MR. MAYOR COUNSEL REGISTRATION, WHICH WOULD ALLOW THE DATA TO BE GATHERED MUCH EASIER.

YEAH.

SO CERTAINLY I THINK THAT'S A DECISION WE COULD MAKE.

AND I'M NOT ADVOCATING ONE WAY OR THE OTHER.

I AGREE WITH THAT BECAUSE STIR AND THEY'RE NOT PAYING TAXES THEN WE CAN PRETTY MUCH ASSUME THEY'RE NOT ON AIRBNB.

RIGHT.

UH, THE OTHER THING THAT I WOULD LIKE TO SEE IS THE 24 HOUR CONTACT, UH, BE MANDATED TOO.

UH, I THINK THAT WOULD GIVE THE OWNERS OF THE PROPERTY SOME ADDED INCENTIVE TO MAKE SURE THAT THERE'S NOT NOISE NUISANCES BECAUSE CHANCES OF THEM GETTING WOKE UP AT TWO IN THE MORNING OR ABOUT A HUNDRED PERCENT IF THERE'S NOISES, SO THAT THEY MAY BE, SO TO ME I'D HAVE AN APPETITE FOR AT LEAST THOSE TWO THINGS.

IF, IF MARK, YOU DON'T THINK WE'RE GOING IN LEGAL JEOPARDY WITH THOSE TWO THINGS.

I THINK WAITING AS, AS COUNCIL

[00:30:01]

BUT A REGISTRATION, WE COULD REQUIRE A NUMBER, RIGHT? YES.

I MEAN JUST A YES.

CONTACT NUMBER.

CORRECT.

CAN, THERE WAS ONE SLIDE WHERE IT WAS, YOU CAN'T PUT RULES ON EXISTING.

CORRECT.

SO IF THEY'RE OPERATING THAT, CAN YOU MAKE THEM, CAN YOU REQUIRE THEM TO REGISTER IF THEY'RE OPERATING AS AN SDR TODAY? YES.

BUT YOU CAN'T, YOU KNOW, SOME OF THOSE CITIES ARE PUTTING RESTRICTIONS ON WHERE THEY CAN BE LOCATED.

IT CAN BE AND THAT SORT OF THING.

BUT YOU CAN DO THE, WE'RE GONNA REQUIRE YOU TO REGISTER.

YES.

AND FROM A, FROM A OTHER CITIES HAVE IT IN THEIR CODE, A DIFFERENT DESIGNATION, THE THRESHOLD.

IT'S NOT THAT WE NECESSARILY WANT THE USE OUT OF CERTAIN AREAS, WE'RE MORE LOOKING FOR A BETTER CAPTURING OF, OF HOT TAX.

A BETTER UNDERSTANDING OF COMPLIANCE ISSUE.

YES.

OR NUISANCE ISSUES.

YEAH.

I THINK THE LAND USE ISSUES ARE UP FOR GRABS IN THE COURTS RIGHT NOW.

RIGHT.

AS TO WHAT YOU CAN DO AND WHEN AND HOW MANY PEOPLE AND ALL THOSE THINGS.

BUT THE HOT TAX ISSUE, I THINK IS, UH, MORE OF A SAFE HARBOR BECAUSE THERE'S, THERE'S, BY REQUIRING THE REGISTRATION, WE'RE NOT PLACING ANY BURDEN ON THEM NECESSARILY.

WE'RE JUST WANTING YOU TO PAY THE TAXES THAT ARE, THAT YOU'RE RESPONSIBLE FOR.

'CAUSE YOU'RE A TAXPAYER MCKINNEY AND, AND ENSURING THAT, THAT YOU'RE, YOU'RE COMPLYING WITH OUR CODE AND CORRECT OUR CODE ISSUES.

WHAT WE DO HAVE A DESIGNATION FOR LIKE A BED AND BREAKFAST RIGHT.

IN OUR CODE.

I DUNNO WHAT, I'LL LET CAMERAS YES WE DO.

UM, IT IS SELDOM USED AND IT DOES REQUIRE THAT LIVE IN, UH, MANAGEMENT.

SO IT DOESN'T REALLY CAPTURE, UM, WHAT WE'RE REALLY TALKING ABOUT TODAY WITH THESE SHORT TERM RENTALS.

RIGHT.

BUT WHAT, WHAT WOULD BE THE, WHAT'S THE THRESHOLD THAT ONE WOULD, IF YOU CAN DO A SHORT TERM RENTAL WITHOUT DOING THE BED AND BREAKFAST? SUPI ASSUME IT'S AN SUP.

WHY WOULD YOU DO THE BED AND BREAKFAST? SUP? ONE REASON I CAN THINK OF IS THAT THE OWNER DOESN'T ACTUALLY LIVE HERE.

UM, I THINK THAT'S A PRETTY FREQUENT OCCURRENCE.

SO THEY, THEY COULDN'T EVEN IF THEY DID WANT TO, UM, BUT THINK JENNIFER HAS TELL ME FOOD PREPARATION WOULD BE ONE OF THEM.

YEAH.

I THINK THE, THE BIG ANSWER TO YOUR QUESTION IS THERE REALLY IS NOT MUCH OF AN INCENTIVE FOR SOMEBODY TO DO THE BREAD AND BREAKFAST ANYMORE OR BED AND BREAKFAST ANYMORE UNLESS THEY'RE WANTING TO TRULY OPERATE IT AS AN INN, WHICH WOULD REQUIRE, UM, THEM TO PROVIDE THE FOOD SERVICE AND HOUSEKEEPING, WHICH IS OBVIOUSLY NOT PART OF AN AIRBNB.

SO THOSE ARE THE MAJOR THRESHOLDS.

BUT WHAT WE'VE SEEN IN THE LAST, YOU KNOW, EIGHT YEARS IS I THINK NEXT TO NONE COMING IN FOR THE, UM, BED AND BREAKFAST BECAUSE PEOPLE ARE MOVING TO THAT NEWER MODEL.

YEAH, I THINK WE HAVE A FEW, AND THE ONLY REASONS I KNOW WE HAVE THEM IS BECAUSE I HEAR THE COMPLAINTS ON THE NUISANCE MM-HMM.

THAT THAT'S ASSOCIATED WITH THEM FOR THEY FOR THE BED AND BREAKFAST.

FOR BED AND BREAKFAST BECAUSE THEY KNOW THEIR BED AND BREAKFAST, THEY KNOW THEIR GUESTS AND PEOPLE GET IRRITATED WITH THEM AND DON'T GET AN EMAIL THAT'S SAYING, HEY, LETTING BREAKFAST DOWN THE STREET WAS TOO LOUD.

YEAH.

YEP.

BUT THEY'RE NEVER GONNA DO THAT WITH AN STR BECAUSE YEAH, WE, WE AGREE.

AND THAT'S WHAT REALLY WHAT WE'RE SEEING NOW, UM, IS MORE OF THE AIRBNBS, THE CHASE.

UM, THANK YOU FOR THE INFORMATION.

I WOULD LIKE TO ASK THAT YOU COORDINATE WITH MR. HOUSER AND HIS STAFF AND DO A THOROUGH INVESTIGATION OF THIS AND ANALYSIS FROM THE DEFINITION OF HOTEL, WHETHER OR NOT THAT EXISTS IN OUR CODE IN RELATION TO THE HOTEL OCCUPANCY, TAX EXPO, FACTO LEGISLATION, GOVERNMENT TAKING, UH, PRIOR RIGHTS.

UH, I HAVE A WHOLE BORING LIST I COULD SHARE WITH YOU TODAY, BUT I'D LIKE TO HEAR IT ALL JOINTLY, UH, WHEN THESE GUYS COME BACK WITH THEIR INFORMATION.

I DO SIR.

YEAH, ABSOLUTELY.

READ THE WORK WITH CAMERA.

THANK YOU.

THANKS FOR THE GOOD WORK.

THANK YOU SIR.

ANY OTHER QUESTIONS SIR? I THINK YOU HAVE DIRECTION WITH REGARD TO UM, REGISTRATION, THAT TYPE OF THING AND WE'LL WAIT ON THE OTHER.

UNDERSTOOD.

WE WILL GET ON IT.

THANK YOU.

THANKS CAMERON.

THANK YOU.

ANY COUNCIL LIAISON UPDATES THAT NEED TO BE SHARED NOW.

NOT MOVING TO EXECUTIVE SESSION.

ACCORDANCE TO TEXAS GOVERNMENT CODE SECTION 5 5 1 0 7 1.

CONSULTATIONS WITH ATTORNEY ON ANY WORK SESSION, SPECIAL SESSION OR REGULAR SESSION.

AGENDA ITEM REQUIRED CONFIDENTIAL ATTORNEY-CLIENT ADVICE AND NECESSITATED BY LIBERATION OR DISCUSSION OF SET ITEMS. SECTION 5 5 1 0 7 1.

PENDING OR CONTEMPLATED LITIGATION

[00:35:01]

SECTION 5 5 1 0 7 2.

DELIBERATIONS ABOUT REAL PROPERTY DOWNTOWN CITY OWNED PROPERTY REDEVELOPMENT WILL BE ACTION AFTER, UH, PROTECTION.

PROTECTION.

YEAH.

OKAY.

ARE WE RECORDING? YES SIR.

SIR, I THINK WE HAVE ACTION.

YES.

ON EXECUTIVE SESSION, MR. PREMIER MAYOR, I WOULD LIKE TO MAKE A MOTION THAT WE APPROVE A SETTLEMENT AGREEMENT IN REGARDS TO THREE 10 EAST UNIVERSITY DRIVE AS DISCUSSED IN EXECUTIVE SESSION.

SECOND IN FAVOR, AYE.

AYE.

OPPOSED? A DAY? I I NA MR. MAYOR PRETTY STRADDLED POLITICAL DEFENSE THERE.

MOTION TO MAKE A MOTION WE ADJOURN.

SECOND.

ALL IN FAVOR? AYE.

AYE.

YOUR ADJOURN.

WE'LL TAKE ABOUT FIVE MINUTES OR SO TO GET THE, UH, GET SET UP FOR JURORS.