Sep 27, 2022 Work Session and Regular Meeting

CLOSE EXECUTIVE SESSION OF EDISON CITY COUNCIL PURSUANT TO SECTION 5 5171 TEXAS GOVERNMENT CODE TO CONDUCT A PRIVATE CONSULTATION WITH THIS ATTORNEY ON A MATTER IN WHICH THE DUTY OF THE ATTORNEY TO THE GOVERNMENTAL BODY UNDER THE TEXAS DISCIPLINARY RULES OF PROFESSIONAL CONDUCT OF THE STATE BAR OF TEXAS.

CLEARLY CONFLICTS WITH CHAPTER 5 51 TEXAS GOVERNMENT CODE PERTAINING TO GJ SEATING, A C VERSUS F N H CONSTRUCTION, A C AND HUS INSURANCE COMPANY CAUSE NUMBER DC 20 49 1 30 FOURTH JUDICIAL DISTRICT, DALLAS COUNTY, TEXAS, AND MAYOR.

UH, APOLOGIZE.

UH, BUT CAN WE ALSO ANNOUNCE, CAUSE I, THERE'S GONNA BE A BRIEF DISCUSSION, UH, ON WORK SESSION ITEM NUMBER ONE.

NO ACTION TAKEN, SO WE'RE GOING TO GO THROUGH THIS WORK SESSION AND THEN, UH, WORK SESSION.

UH, UNDER THAT SAME VERY SECTION, YOU'RE RIGHT.

UH, SAME SECTION.

WE WILL, SO YOU DON'T NEED TO REREAD IT FROM THE SECOND ITEM, UH, CONCERNING WITH MAINTENANCE OF RESIDENTIAL SCREENING, WAR BEING ADDISON EDISON BRIEFLY.

SO, UH, RIGHT NOW IS 6:32 PM WE ARE ENTERING TO EXECUTIVE SESSION.

SO ALL RIGHT.

RIGHT NOW, 7:22 PM WE ARE EXITING THE EXECUTIVE SESSION.

SO, UH, GQ, YOU WANNA MAKE A, A MOTION FOR THE FIRST EXACT EXECUTIVE SESSION? I, YES, MA, I WILL.

ON GONNA COUNSEL, I'D LIKE TO MAKE A MOTION TO APPROVE SETTLEMENT IN G J SEATING, LLC, V F AND H CONSTRUCTION LLC IN HUDSON INSURANCE COMPANY, THE TOWN OF ADDISON CAUSE NUMBER DC DASH 20 DASH ELEVEN FOUR NINE A HUNDRED AND THIRTY FOURTH JUDICIAL DISTRICT, DALLAS COUNTY, TEXAS, TO RESOLVE ALL CLAIMS WITH F N H CONSTRUCTION LLC, G J SEATING, LLC, AND HUDSON INSURANCE COMPANY, PURSUANT TO THE TERMS PRESENTED BY LEGAL COUNSEL AND EXECUTIVE SESSION, AND TO AUTHORIZE THE IN INTERIM CITY MANAGER TO EXECUTE DOCUMENTS TO EFFECT, TO EFFECTUATE THE SETTLEMENT RECORD.

SO I MOTION FROM GIL SECOND ON IN FAVOR TO APPROVE THIS SETTLEMENT, YOU SAY, HI, I OPPOSE.

SO FOR THE SECOND ITEM WE DISCUSSED, YOU KNOW, THERE'S

[1. Present and Discuss Maintenance of Residential Screening Walls in Addison.]

NUMBER ITEM ITEM NUMBER ONE, PRESENT DISCUSS MAINTENANCE OF THE RESIDENTIAL SCREENING WAS IN ADDISON, JENNA, MAYOR COUNCIL, JANET TIDWELL, DIRECTOR OF PARKS AND RECREATION.

THE PURPOSE OF THE PRESENTATION THAT I'M MAKING TONIGHT IS TO, UM, BRING UP A POLICY DISCUSSION BEFORE COUNCIL REGARDING WHO MAINTAINS RESIDENTIAL SCREENING WALLS AND ADDISON.

UM, THE TOWN CURRENTLY MAINTAINS MASONRY PERIMETER SCREENING WALLS FOR SINGLE FAMILY RESIDENTIAL THAT MEET THE FOLLOWING CRITERIA.

SO IT'S WALLS THAT ARE ON PRIVATE PROPERTY, BUT THERE'S A WALL MAINTENANCE EASEMENT IDENTIFIED ON A PLAT.

THERE ARE WALLS THAT ARE ON TOWN, PROPERTY AND WALLS THAT HAVE BEEN HISTORICALLY MAINTAINED BY THE TOWN, BUT NOT FIT THE ABOVE CRITERIA.

UM, RECENTLY TOWN STAFF WAS APPROACHED BY REPRESENTATIVES OF A NEIGHBORHOOD THAT ASKED WHO WAS RESPONSIBLE FOR MAINTENANCE OF THE WALLS AROUND THEIR HOA.

AFTER RESEARCH, I INDICATED THAT THE WALLS ARE ON PRIVATE PROPERTY AND WOULD NOT BE THE TOWNS TO MAINTAIN.

AND AT THAT TIME, THE HOA MADE US AWARE OF A CONVERSATION THAT A FORMER STAFF MEMBER HAD HAD DURING A MEETING THAT, UM, COMMITTED TO MAINTAINING THOSE WALLS, WHICH IS A POLICY DECISION THAT SHOULD BE MADE BY COUNCIL AND NOT STAFF.

SO I'M BRINGING THAT, UM, THIS ITEM UP FOR DISCUSSION.

UM, BEFORE COUNCIL TONIGHT, JUST AS AN FYI, OUR PARKS MAINTENANCE BUDGET, UM, IS $20,000 A YEAR,

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UM, WHICH WOULD BE, UM, NOT SET IN A WAY TO MAINTAIN ALL OF THE RESIDENTIAL SCREENING WALLS IN ADDISON.

UH, TO GIVE YOU AN OVERVIEW OF THE RESEARCH THAT I DID, UM, I PUT TOGETHER A MAP THAT SHOWS THE AREAS OF TOWN WHERE THERE ARE MASONRY RESIDENTIAL SCREENING WALLS.

THIS IS A FIRST BLUSH AT RESEARCH.

WE NEED TO GO BACK AND DO MORE IN DEPTH RESEARCH, BUT THIS WILL GIVE YOU AN IDEA OF THE WALLS THAT WE DO MAINTAIN, THE WALLS THAT WE BELIEVE ARE ON PRIVATE PROPERTY, UM, AND THE WALLS THAT WE HAVE A FEW QUESTIONS ABOUT.

UM, THIS PART OF TOWN IS WEST ADDISON, AND YOU WILL SEE THAT THERE ARE, UM, A MAJORITY OF THIS AREA IS BLUE, WHICH MEANS THAT THE TOWN MAINTAINS THOSE WALLS.

CURRENTLY, UM, THE SURVEYS THAT I HAVE FOUND SHOW THAT THERE'S A WALL MAINTENANCE EASEMENT IN THOSE AREAS.

UH, THE YELLOW AREA, WE HAVE QUESTIONS.

UM, HISTORICALLY THERE'S RECORDS OF US MAINTAINING THOSE WALLS, BUT I CANNOT FIND AN EASEMENT.

AND THE WALLS ARE ON PRIVATE PROPERTY.

UM, AND THEN THE RED WALLS ARE EITHER, UM, SUSPECTED TO BE OWNED BY, UM, OR PUT IN BUILT BY COMMERCIAL THAT'S ADJACENT, UM, OR THEY ARE BELONG TO AN AREA THAT IS CURRENTLY MAINTAINING THEIR WALLS.

THIS IS A PHOTO OF EAST ADDISON, UM, THAT SHOWS THE WALLS THAT WE HAVE FOUND THAT ARE IN THIS AREA.

UM, THE COLOR CODES MADE THE SAME, SO THERE'S VERY LITTLE BLUE, BUT THOSE ARE WALLS THAT THE TOWN IS CURRENTLY MAINTAINING.

AND RED IS WALLS THAT WE HAVE FOUND THAT ARE ON PRIVATE PROPERTY, NOT TOWN PROPERTY, AND THERE IS NOT AN EASEMENT IN PLACE.

AND THEN, UM, THIS IS NORTH ADDISON THAT SHOWS THAT THERE ARE WALLS THAT THE TOWN DOES NOT MAINTAIN, UM, THAT ARE ON PRIVATE PROPERTY WITH NO WALL MAINTENANCE EASEMENT.

AND THIS IS AN EXAMPLE OF THE SURVEYS THAT I FOUND THROUGH THE RESEARCH THAT SHOWS THAT IN THE AREA ON THE EAST SIDE OF TOWN, THE RETAINING WALL IS IN PRIVATE PROPERTY.

YOU CAN SEE WHERE THE PROPERTY LINE IS, AND I MEAN, SORRY, SCREENING WALL, I DIDN'T MEAN TO SAY RETAINING WALL.

AND WHERE THE SCREENING WALL IS IS ON PRIVATE PROPERTY.

I HAVE FOUND MULTIPLE RECORDS ALSO WHERE THE TOWN HAS APPROVED PERMITS FOR HOMEOWNERS TO MODIFY THE WALL ON THEIR PROPERTY.

UM, AND THERE ARE MULTIPLE, MULTIPLE EXAMPLES OF INDIVIDUAL OWNERS MAKING MODIFICATIONS TO THE WALLS WITHOUT TOWN APPROVAL.

UM, THERE IS ONE SURVEY I'D LIKE TO POINT OUT THAT I FOUND THAT SHOWS A LITTLE PORTION OF THE WALL ON TOWN PROPERTY.

UM, AND I BELIEVE IT JUST WAS CONSTRUCTED IN THE WRONG PLACE.

IF YOU LOOK AT THE WAY THAT THE WALLS LINE LAID OUT, UM, THIS IS AN EXAMPLE OF A SURVEY IN, UH, THE WEST SIDE OF TOWN, AND IT SHOWS THAT THERE IS A WALL MAINTENANCE EASEMENT AND THAT THE WALL IS ON PRIVATE PROPERTY.

AND SO THAT'S HOW WE GET THAT, THAT MAP THAT I PUT TOGETHER THAT SHOWS THE BLUE LINES IN THE RED LINES.

WERE BASED OFF THE SURVEY INFORMATION THAT I FOUND.

UM, WITH THAT SAID, UM, WE UNDERSTAND THAT THIS IS THE, THE BEGINNING OF A DISCUSSION, AND THAT STAFF REALLY NEEDS TO GO BACK AND DO MORE RESEARCH TO LOOK INTO THIS AND BRING YOU MORE IN DEPTH INFORMATION SO YOU CAN GIVE US SOME DIRECTION ON HOW WE SHOULD MOVE FORWARD, UM, WITH THE WALLS.

SO I WOULD LIKE TO, UM, CLOSE WITH THAT, UNLESS YOU HAVE ANY ADDITIONAL DISCUSSION THAT YOU WOULD LIKE TO OFFER TO STAFF.

YEAH, YOU, WELL, I APPRECIATE YOU BRINGING, UH, THIS TO US AND THE AMOUNT OF TIME THAT YOU SPENT ON IT.

IT'S, UH, IT'S AN IMPORTANT ISSUE TO US.

UM, SO WE WANNA MAKE SURE THAT WE, UH, CROSS THE, UH, TS AND DOT THE I, UH, GET ALL THE INFORMATION THAT WE CAN.

UH, WE NEED TO DETERMINE THE, UH, CITY'S DOCUMENTED CONCERNS WITH THESE WALLS.

UM, AND OF COURSE, THE OWNERSHIP.

UH, SO, UH, YOU'RE LOOKING FOR A SPECIFIC DIRECTION FROM US.

I WOULD LIKE STAFF'S UNDERSTANDING IS THAT OUR NEXT STEP WOULD BE TO GO DO FURTHER RESEARCH, WHICH WOULD INVOLVE HIRING A CONSULTANT.

SO WE'LL NEED TO BRING A PROPOSAL BACK TO YOU, UM, FOR THAT CONSULTANT TO LOOK INTO, UM, WHAT, WHAT OBLIGATIONS DOES THE TOWN HAVE CURRENTLY? SURE.

BASED ON PROPERTY OWNERSHIP, WALL LOCATIONS, DESCRIPTIONS OF EASEMENTS.

UM, AND THEN ONE OF THE NEXT STEPS AFTER THAT WOULD BE IF WE DETERMINE WHAT OUR OBLIGATIONS ARE, WE NEED TO LOOK AT WHAT ARE THE CONDITIONS OF OUR OBLIGATIONS, WHAT CONDITION ARE THOSE WALLS IN? AND THEN WE WOULD BE LOOKING FOR COUNSEL TO GIVE US DIRECTION ON WHAT OUR NEXT STEPS SHOULD BE AT THAT POINT.

SO THAT, THAT SOUNDS, THAT SOUNDS FAIR.

I THINK WE MAY, I'D LIKE, I'D LIKE, I'D LIKE TO SEE SOME MORE INFORMATION BROUGHT TO, TO US.

SURE, YEAH.

WHETHER IT'S IN, UM, THAT WOULD PROBABLY BE IN ANOTHER SESSION.

SURE.

UM, AND I THINK THAT WOULD BE HELPFUL SO THAT WE CAN MAKE A DETERMINATION ON THIS.

NO, YOU'LL GET SOMEBODY THAT, SOME, YOU'LL BE ABLE TO HIRE

[00:10:01]

SOMEBODY AND A CONSULTANT TO GO AHEAD AND GET, GET THIS STUFF COLLECTED AND, AND FIGURE OUT EXACTLY WHAT SECTION OF WAL WALL IS ON WHOSE PROPERTY.

AND IF YOU CAN FIND THOSE MAINTENANCE, I MEAN, THERE'S A MAINTENANCE EASEMENT, BUT THERE'S PROBABLY, IF THERE WAS A MAINTENANCE EASEMENT, THERE MIGHT BE PAPERWORK SOMEWHERE THAT DESCRIBES WHAT THAT AGREEMENT WAS.

I THINK SOME OF THOSE THINGS PROBABLY GOT PUT IN ER, BUILT, BUILT A SEC, YOU KNOW, DID A DEVELOPMENT AND IT WAS PROBABLY NEGOTIATED.

SO THERE'S, THERE MIGHT BE SOMETHING THAT TALKS, TALKS ABOUT THE LANGUAGE OF WHO'S SUPPOSED TO MAINTAIN IT IS NOT ON THE PLATS.

UM, BUT YOU'RE RIGHT THERE, THERE'S FURTHER RESEARCH THAT NEEDS TO BE DONE TO SEE IF IT WAS DEFINED ON ANOTHER AGREEMENT AT A LATER DATE.

I HAVE A QUESTION.

IF, IF IT, THERE'S A WALL MAINTENANCE EASEMENT, DOES IT MEAN THAT IT'S NECESSARILY THE TOWN'S OBLIGATION? IT DOES NOT.

UM, A WALL MAINTENANCE EASEMENT JUST MEANS THAT SOMEBODY HAS THE ABILITY TO ACCESS THAT WALL TO MAINTAIN IT.

THAT COULD BE A NEIGHBOR, THAT COULD BE THE TOWN.

IN SOME OF THESE INSTANCES, WE ASSUME IT'S THE TOWN BECAUSE THE WALL'S ON PRIVATE PROPERTY AND WE ARE THE NEIGHBOR, SO WE'RE THE RIGHT OF WAY AND THE STREET.

UM, BUT THAT'S AN ASSUMPTION.

UM, AS I UNDERSTAND FROM TALKING TO OUR ATTORNEY, UH, AN EASEMENT CAN ALSO DEFINE THAT WE HAVE THE RIGHT TO MAINTAIN THE WALL, OR IT CAN DEFINE, WE HAVE THE OBLIGATION TO MAINTAIN THE WALL, AND WE CANNOT FIND THAT DESCRIPTION THAT DEFINES IF IT'S AN OPTION OR AN OBLIGATION.

AND THAT'S, HOPEFULLY WE'LL GET CLARIFICATION ON THAT.

SO I AGREE WITH IT.

YOUR, UH, YOU KNOW, WE NEED TO FIND OUT AND FURTHER MAKE SURE, UH, WHETHER CITY OWN THE LAND OR CITY HAS AN EASEMENT OF THE LAND, OR WHO BUILD THE WAR AND WHAT THE CITY IS OBLIGATED TO FIX THE WAR BEFORE WE REALLY DO IT, SINCE WE HAVE MAJORITY ARE ON THE WEST SIDE, LITTLE BIT ON THE NORTH SIDE, A LITTLE BIT ON THE EAST SIDE, BUT I, I UNDERSTAND SOME OF THOSE WAR RESPONSIBLE BY HOA A SOME AREA NEIGHBORHOOD DOES NOT HAVE HOA.

SO, UM, I WOULD SUGGEST, YOU KNOW, WE DO A LITTLE FURTHER STUDY BEFORE WE COME BACK TO DISCUSS FURTHER.

THANK YOU.

I AGREE THERE, BUT OUR GOAL AS A CITY, WE ALWAYS TRY TO HELP THE NEIGHBORHOOD, RIGHT? ABSOLUTELY.

SO I'D LIKE TO INVITE OUR, I INTERIM CITY MANAGER, UH, HOW MANY, HOW TO SPECIAL.

YOU KNOW, A LOT OF TIME, I BELIEVE IN THE PAST, YOU KNOW, UH, WHEN NEIGHBORHOOD HAS ISSUES, CITY ALWAYS, UH, COME OUT AND HELP OUT.

BUT, UH, WE JUST WANT TO USE THIS TIME TO CLARIFY ALL THOSE.

SO, UH, DO I HAVE A MOTION TO TABLE IT? NOT MOVE.

THIS IS A WORK SESSION.

DON'T HAVE, DON'T HAVE TO APPROVE.

DON'T HAVE TO TABLE, YOU KNOW, JANET, YOU KNOW WHAT, OKAY.

THE NEXT STEP IS YES, WE DO.

SO, YEAH, I GET IT.

OKAY.

SO YOU KNOW WHAT YOU'RE GOING DO.

[ Announcements and Acknowledgments Regarding Town and Council Events and Activities Present the 2022 Addison Foodservice Safety and Sanitation Awards Discussion of Meetings / Events]

LAST NIGHT WE HAD A, I KNOW WE HAD A WONDERFUL OCTOBER FEST TWO WEEKS AGO.

YES, SIR.

ACTUALLY, I PLEASED TO, UH, REPORT THAT SEPTEMBER 15 THROUGH 18, WE HAD APPROXIMATELY 40,000 PEOPLE JOIN US IN ADDISON CIRCLE PARK FOR THE 35TH ANNUAL ADDISON OCTOBER 1ST.

AND ALSO, I WANNA TAKE THIS OPPORTUNITY TO EXTEND A HUGE THANK YOU TO OUR AMAZING SPECIAL EVENT TEAM AND ALL THE EMPLOYEES AND VOLUNTEERS WHO WORK HARD TO MAKE THIS EVENT ONE OF THE BEST OCTOBER WEST CELEBRATION IN THE COUNTRY.

UH, ALSO PUBLIC SAFETY OPEN HOUSE IS OCTOBER 1ST, AND WE WANT TO ENCOURAGE EVERYONE TO JOIN THE ADDISON FIRE AND POLICE DEPARTMENTS AT THEIR PUBLIC SAFETY OPEN HOUSE ON OCTO, UH, OCTOBER 1ST FROM 10:00 AM TO 12:00 PM AT 47 98 AIRPORT PARKWAY.

SEVEN IS A FAMILY ORIENTED EVENT, AND, UH, A LOT OF GOOD LIKE POPCORNS, UH, COUSIN CANDY, A BOUNCES HOUSE, THAT'S MY FAVORITE.

WITH TATTOOS, STATIC DISPLAYS AND DEMONSTRATION.

ALSO, UH, SUSTAINABILITY DAYS.

OCTOBER EIGHT, UH, EVERYONE SHOOT MARK THEIR CALENDAR AND CLEAN UP THEIR CLOSET FOR, UH, ADDISON FAULT SUSTAINABILITY DAY AND SATURDAY OCTOBER 8TH FROM 9:00 AM TO NO AT ADDISON CONFERENCE AND THEATER CENTER PARKING LOT D SEVEN ALSO OFFERS DOCUMENT SHREDDING AND RECYCLING ONSITE AND IS FREE AND OPEN TO THE PUBLIC RESIDENT OR NON-RESIDENT.

YOU'RE WELCOME TO PAINT YOUR STAFF.

I MAY.

SO THIS YEAR WE CHANGED THE SITE FROM FESTIVAL WAY TO

[00:15:01]

MEDICINE CONFERENCE CENTER PARKING LOT.

YES, SIR.

OKAY.

ON THE RECYCLE, IS IT, UM, ON ELECTRONICS RECYCLING? YES.

WE HAVE THE LIST OF ITEMS THAT WE ACCEPTING ON THE WEBSITE ALL, BUT IT'S PRETTY EXTENSIVE.

THANK YOU, MA'AM.

UH, SO THE NEXT ONE IS PRESENTED 2022 EDISON, FULL SERVICE SAFETY AND SANITATION AWARDS.

SO SANDRA AND KEN, YOU WANT THE COME TO THE FRONT'S, THE EXODUS.

SO WHICH ONE YOU WANT? YOU WANNA SAY A FEW AWARDS? OH, SO THIS IS OUR SECOND ANNUAL FOOD SERVICE, UH, SANITATION SAFETY AWARDS.

WE STARTED THEM LAST YEAR.

IT'S IN RECOGNITION OF OUR RESTAURANTS AND HOW WELL THEY DO OF THE HIGH STANDARDS THEY MAINTAIN.

AND WE JUST WANNA MAKE SURE THAT THEY'RE RECOGNIZED FOR THAT, UH, BECAUSE IT IS VERY DIFFICULT TO RUN A RESTAURANT AND EVEN HARDER THESE DAYS TO KEEP PEOPLE WORKING.

AND SO WE HAVE THREE CATEGORIES.

WE HAVE FAST FOOD, FULL SERVICE, AND SANDWICH DELI THAT WE GIVE AN AWARD TO.

THEY WILL GET A PLAQUE, LOTS OF RECOGNITION, AND WE WILL WAIVE THEIR RENEWAL FEE FOR NEXT YEAR, WHICH, YOU KNOW, IS ALSO A FINANCIAL BENEFIT FOR THEM.

BUT WE'RE VERY HAPPY AND VERY EXCITED FOR THEM.

UH, THIS YEAR WE HAVE A TIE IN THE FAST FOOD CATEGORY.

SO THERE WOULD YOU LIKE TO START? SURE.

YOU KNOW, IT'S DIFFICULT TO DO BECAUSE YOU HAVE TO KEEP THE KITCHEN REAL CLEAN, CLEAN, CLEAN.

95 POINTS.

95 OR HIGHER AND AND HIGHER ALSO CANNOT EXCEED TWO PENALTY.

RIGHT.

TWO VIOLATIONS.

SO IT'S NOT EASY TO ACQUIRE.

SO, YOU KNOW, THE FIRST I WANT TO PRESENT THE FOUR SURVEY STANDING TO ONLY GARDEN.

THIS IS YOU.

YOU WANNA SAY A FEW WORDS? I'M GOOD.

THANK YOU.

HOPE YOU ALL ENJOY YOUR, WHAT'S YOUR NAME? AMANDA.

AMANDA? YES.

CONGRATULATIONS.

SO NEXT ONE IS A SANDWICH IN THE DAILY DUMP BROTHERS COFFEE.

THE WE HOW THERE LONG ENOUGH, OFTEN ENOUGH.

GUYS HAVE WORKED REALLY HARD FOR THIS.

GOOD FOR, AND SHAKE SHACK IS A SECOND TIME AWARD WINNER.

SO THEY WON LAST YEAR AND AGAIN THIS YEAR.

CONGRATULATIONS.

THANK YOU.

THANK YOU SO MUCH.

YOU KNOWS, IS VERY, UH, UH, INNOVATIVE.

SO SHE SET UP THIS NEW PROGRAMS, GIVE A LOT OF ENCOURAGEMENT TO THE FOOD STAFF SHIPMENT, SO, YOU KNOW.

GREAT JOB.

THANK YOU SO MUCH.

DO I HAVE ANYBODY WANNA SPEAK? IMA NO, SIR, I COMMENT.

NO, SIR.

I DID SEND YOU AN EMAIL EARLIER FROM ONE FOUND THE LADY.

SHE GOING? I DON'T SEE THEM HERE.

TALK ABOUT SCREEN DOOR.

[00:20:01]

SO SHE'S NOT HERE.

SO CONSENT AGENDA ITEM 2, 3, 4.

[ Consent Agenda All items listed under the Consent Agenda are considered routine by the City Council and will be enacted by one motion with no individual consideration. If individual consideration of an item is requested, it will be pulled from the Consent Agenda and discussed separately.]

DO I HAVE ANYTHING TO BE PULLED? I MOVE APPROVAL OF ITEMS TWO, THREE, AND FOUR SECOND.

OKAY.

SO I HAVE A MOTION FROM TOM BROWN.

SECOND ONE, CATHERINE WILLER, OR IN FAVOR? TO APPROVE THOSE THREE ITEMS, PLEASE SAY, AYE.

I OPPOSE.

[5. Present, Discuss, and Consider Action on an Ordinance to Amend the Town's Annual Budget for the Fiscal Year Ending September 30, 2022.]

SO ITEM FIVE, PRESENT, DISCUSS CONSIDERATION ON ORDINANCE TO AMEND THE TOWNS ANNUAL BUDGET FOR THE FISCAL YEAR ENDING SEPTEMBER 30, 20, 22.

STEVEN, MR. YES.

GOOD EVENING, MAYOR AND COUNSEL.

STEVEN LITMAN, CHIEF FINANCIAL OFFICER.

AND, UH, THIS EVENING FOR YOU, WE HAVE THE, UH, FISCAL YEAR 2022 END OF YEAR BUDGET AMENDMENT.

THIS IS THE SECOND BUDGET AMENDMENT FOR THE FISCAL YEAR.

AND WE HAVE TRADITIONALLY DONE A MID-YEAR BUDGET AMENDMENT GENERALLY IN APRIL OR MAY.

AND THEN WE COME BACK, UH, IF THERE'S ANY, ANY ADDITIONAL AMENDMENTS AT THE END OF THE YEAR, UM, UH, BEFORE SEPTEMBER 30TH.

AND, UH, UH, ASK FOR A END OF YEAR BUDGET AMENDMENT.

SO OUR PROCESS FOR AMENDING THE BUDGET.

SO, UH, REGULAR AMENDMENTS ARE AN ACCEPTED PRACTICE.

IT MEANS THAT WE'RE ACTIVELY MONITORING, UH, AND, UH, MANAGING THE FISCAL AFFAIRS OF THE TOWN.

IT HELPS US MITIGATE IMPACTS, UH, OF CHANGES IN CIRCUMSTANCES.

AND THEN IT, UH, IS TRANSPARENT.

AND THEN THE TOWN'S, UH, BUDGET, BUDGET AMENDMENT POLICY IS, UH, THE FOLLOWING.

THE TRANSFERS BETWEEN ACCOUNTS WITHIN ONE DEPARTMENT CAN BE APPROVED BY MYSELF.

THE, THE, UH, CHIEF FINANCIAL OFFICER, UH, TRANSFERS BETWEEN DEPARTMENTS, UH, OF LESS THAN A 5% CHANGE, UH, CAN BE DONE WITH THE APPROVAL OF THE CITY MANAGER.

AND THEN TRANSFERS BETWEEN FUNDS ARE MORE THAN A 5% CHANGE, UH, ARE BROUGHT FORWARD AS A FORMAL BUDGET AMENDMENT TO THE CITY COUNCIL.

UH, SO WITHIN THE GENERAL FUND, UH, FOR THE END OF YEAR BUDGET AMENDMENT, UH, WE HAVE, UM, A REVENUE, UH, INCREASE OF SALES TAX REVENUE OF $969,000.

AND THAT IS USED TO OFFSET THE EXPENSES FOR THE FOLLOWING.

WE HAVE WITHIN THE COUNCIL SPECIAL PROJECTS DEPARTMENT.

THERE WAS, UH, FUNDING APPROVED BY COUNCIL AND FISCAL YEAR 2021, UH, FOR METROCREST SERVICES, UH, OF $72,000.

UH, THIS IS THE REMAINING $10,000 THAT WAS SPENT IN THIS FISCAL YEAR, WHETHER IT WAS HOLIDAY AND THE PARK EXPENDITURES, WHICH, UH, THAT WAS, UH, NOT BUDGETED, UH, DUE TO COVID AND, AND, UH, AN ITEM THAT WAS NOT ADDED BACK TO THE BUDGET, UH, IN FISCAL 2022.

SO THIS IS TO ACCOUNT FOR THAT AS WELL AS ADVERTISING AND MISCELLANEOUS EXPENDITURES WITHIN THAT SAME DEPARTMENT.

UH, THEN WITHIN THE CITY MANAGER'S DEPARTMENT, THERE WAS, UH, $30,000 THERE FOR PERSONNEL COST.

UH, THERE WERE SEVERAL RETIREMENTS THIS YEAR.

SO, UH, THAT A HUNDRED THOUSAND DOLLARS THERE FOR PERSONNEL, UH, GOES, UH, TOWARDS PAYING OUT, UH, THOSE EMPLOYEES, UM, VACATION PAY AS THEY, AS THEY LEAVE IN ADDITION TO, UH, THE, UH, PAY REQUIRED, UM, UH, TO OVERFILL THOSE POSITIONS AS THERE AS THEY HAVE, UH, FOLKS THAT ARE BEING TRAINED TO BE FIREMEN.

UH, WITHIN THE PARKS DEPARTMENT, THERE ARE TWO ITEMS. ONE FOR WATER UTILITIES.

IT'S BEEN, UH, A VERY HOT AND DRY, UH, SPRING AND SUMMER.

UH, SO THE WATER USAGE, UH, IN THE PARKS DEPARTMENT EXCEEDED, UH, THE ORIGINAL BUDGET.

UM, AND SO THIS AMENDMENT HAS $150,000 IN THERE FOR THAT.

UH, THEN WE HAD A, A BUS, UM, SHELTER THAT WAS DAMAGED BY A MOTORIST.

UH, SO THERE'S $40,000, UH, IN THE BUDGET AMENDMENT FOR THAT.

UH, JUST A NOTE THAT THAT, UH, UH, WAS REIMBURSED BY THE MOTORIST'S, UM, UH, INSURANCE COMPANY.

UH, SO THAT'S A NET, UH, NO NET EFFECT TO THE TOWN.

BUT, UH, THIS ACCOUNTS FOR THE PARKS DEPARTMENT, UH, OUTLAY OF THOSE FUNDS.

UH, THEN, UH, THERE'S A SLIDE OVERAGE IN THE BUDGET IN THE EMERGENCY COMMUNICATIONS DEPARTMENT OF $14,000.

UH, THEN IN THE GENERAL SERVICES DEPARTMENT, UH, IN FISCAL YEAR 2021, THE TOWN, UH, CREATED A FACILITY MAINTENANCE FUND, UH, WHICH WAS SEATED WITH $500,000 ORIGINALLY FROM THE GENERAL FUND.

UH, IN FISCAL YEAR 2022, THERE WAS NOT A BUDGETED TRANSFER TO THAT FUND, UH, IN FISCAL YEAR 2023 AND BEYOND, THERE IS, UH, SO THE PLAN WAS IF THERE'S SAVINGS IN FISCAL YEAR 2022 TO TRANSFER SOME ADDITIONAL FUNDS OVER TO THAT FACILITY MAINTENANCE FUND.

UH, SO THAT'S WHAT THAT $500,000 REPRESENTS.

AND THEN THERE WAS, UH, SOME TEMPORARY PERSONNEL EXPENDITURES WITHIN GENERAL SERVICES AS WELL.

UH, $35,000, UH, FOR THAT.

UH, THEN AN ADDITIONAL NOTE IN THE GENERAL FUND.

SO PRIOR TO FISCAL YEAR 2021, THE TOWN WOULD

[00:25:01]

LET ALL OF THE EXCESS REVENUE OR SE OR, UH, EXPENDITURE SAVINGS ROLL INTO ITS FUND BALANCE AND THEN BUDGET A TRANSFER TO THE SELF-FUNDED SPECIAL PROJECTS FUND IN A FOLLOWING YEAR.

UM, OUR BOND RATING AGENCIES REALLY DIDN'T CARE FOR THAT BECAUSE IT LOOKED LIKE, UH, IN SOME YEARS THAT WE WERE SPENDING A LOT MORE THAN WE WERE BRINGING IN, UM, EVEN THOUGH WE WOULD TRY TO TRY TO EXPLAIN THAT.

SO, SO ONE OF THE SOLUTIONS TO THAT, AND WE DID THIS LAST YEAR, IS THAT, UH, BY TRANSFERRING, UH, ANY EXCESS REVENUE OR, UH, UH, FISCAL YEAR SAVINGS, UH, PRIOR TO THE CLOSE OF THE YEAR, UH, THAT ALLOWS US TO NOT HAVE THE APPEARANCE THAT WE'RE BUDGETING MORE, MORE, UH, THAN WE'RE BRINGING IN.

UM, SO BY UTILIZING THIS, THIS MODEL ONE, I THINK IT IS A LITTLE BIT MORE TRANSPARENT.

IT CREATES, UH, NOT AS BIG OF, UH, VARIANCES YEAR TO YEAR.

UM, AND IT ALSO ALWAYS ENSURES THAT OUR REVENUES ARE GONNA EXCEED OUR EXPENSES.

SO, UM, SO WITHIN, UH, THIS FISCAL YEAR 2022, UH, BUDGET AMENDMENT, UH, THERE IS A PROVISION IN THERE THAT AUTHORIZES THE CITY MANAGER TO TRANSFER UNEX EXPENDED APPROPRIATIONS AND EXCESS REVENUE FROM THE GENERAL FUND, UH, TO THE SELF-FUNDED SPECIAL PROJECTS FUND.

AND WITHIN THE BUDGET THAT WAS ADOPTED, UH, FOR FISCAL YEAR 2023, WE HAD AN ESTIMATE, UH, FOR OUR FISCAL YEAR 2022, UH, ANTICIPATED TRANSFER.

AND THAT AMOUNT WAS 1.4 MILLION.

SO, UM, THAT IS STILL, UH, A GOOD ESTIMATE OF WHAT WE WOULD ANTICIPATE OUR, UH, REVENUE AND, UH, SALARY, SAVE SALARY AND OTHER EXPENDITURE SAVINGS TO BE THAT CAN BE TRANSFERRED AT THE END OF, UH, FISCAL YEAR 2022.

UH, MOVING ON TO THE STREET SELF-FUNDED PROJECTS FUND, UM, UH, EARLIER IN THE YEAR, COUNCIL HAD A, UH, APP APPROVED A CHANGE ORDER, UH, FOR ADDITIONAL WORK THAT WAS GONNA BE DONE ON ADDISON ROAD.

THAT CHANGE ORDER WAS $900,000.

UH, WITHIN THIS SAME FUND THOUGH, WE'VE RECEIVED, UH, VARIOUS REIMBURSEMENTS.

UH, SO THERE IS A OFFSETTING REVENUE SOURCE OF $900,000.

AND WE RECEIVED, UH, REIMBURSEMENTS FROM UDR FOR WORK THAT'S HAPPENED OVER AT VITRUVIAN.

UH, WE HAVE RECEIVED, UH, REIMBURSEMENTS AS WELL FROM DALLAS COUNTY RELATED TO THIS, UH, UH, ADDISON ROAD PROJECT AS WELL.

UH, THEN IN THE SELF-FUNDED SPECIAL PROJECTS FUND, UH, THERE IS A, UH, $253,000 AMENDMENT REQUESTED.

UH, 135,000 OF THAT IS, UH, FOR, UH, MOVEMENT AND REPLACEMENT OF A TRANSFORMER THAT IS AT THE POLICE, UH, DEPARTMENT.

AND THEN THERE WERE VARIOUS, UM, OTHER, UH, FACILITY, UH, REPAIRS THAT WERE MADE.

CARPET, UH, AT THE POLICE DEPARTMENT.

THERE WERE SOME, UH, UH, HVAC REPAIRS THROUGHOUT THE TOWN THAT, UH, COUNTED FOR THE OTHER HUNDRED $18,000, UH, OF WHAT'S REQUESTED, SELF FUNDED SPECIAL PROJECTS FUND.

AND THEN WITHIN THE UTILITY FUND, AGAIN, WE HAD A VERY HOT AND DRY SPRING AND SUMMER.

UH, SO THE WHOLESALE WATER THAT WE PURCHASED, UH, UH, ENDED UP, UH, COSTING MORE DUE DUE TO OUR VOLUME BEING, UH, SIGNIFICANTLY HIGHER.

UH, SO ON THE EXPENSE SIDE, WE HAVE $250,000 TO ACCOUNT FOR THOSE ADDITIONAL, UH, WATER PURCHASES.

WE ALSO HAD, UH, SOME, UH, WATER, VERY LARGE WATER MAIN REPAIRS THIS FISCAL YEAR.

SO THERE'S AN ADDITIONAL $150,000, UH, UH, APPROPRIATED THERE FOR THAT.

AND THE GOOD NEWS ON THE REVENUE SIDE IS THOUGH THAT OUR, OUR WATER SALES REVENUE, BECAUSE IT'S BEEN A HOT, AGAIN, HOT AND DRY SPRING AND SUMMER, UH, HAS GREATLY EXCEEDED THE BUDGET.

AND EVEN WITH THIS $400,000, WE STILL HAVE ONE MONTH OF BILLING TO OCCUR THAT WE'RE STILL BEYOND OUR WATER SALES REVENUE, UM, THROUGH 11 MONTHS.

SO WE STILL HAVE ONE MORE BILLING CYCLE TO GO, AND WE'RE, WE'RE ALREADY EXCEEDING THE REVENUE THERE.

UH, SO GRAND TOTALS FOR THIS BUDGET AMENDMENT.

AGAIN, IN THE GENERAL FUND, UH, THERE IS A, UH, IMPACT ON THE EXPENSES, UH, $969,000.

UH, HOWEVER, OFFSETTING REVENUE OF THE SAME AMOUNT.

SO A IMPACT ON THE FUND BALANCE OF ZERO, UH, STREETS, SELF-FUNDED PROJECTS FUND, UH, REVENUES OF 900,000, UH, EXPENDITURES OF 900,000 THO.

SO AN IMPACT ON THE FUND BALANCE, AGAIN, OF ZERO, UH, IN THE SELF-FUNDED SPECIAL PROJECTS FUND, UH, EXPENDITURES OF $253,000.

UH, SAME, UH, CHANGE IN THE IMPACT ON THE FUND BALANCE.

AND THEN IN THE UTILITY FUND, WE HAVE, UH, $400,000 IN REVENUE AND $400,000 IN, IN EXPENSES.

SO A NET IMPACT ON THE FUND BALANCE OF ZERO.

SO THE TOTAL IMPACT IS THE $253,000 OFF FROM THE SELF-FUNDED SPECIAL PROJECTS FUND.

AND WITH THAT, I'LL BE HAPPY TO ANSWER ANY QUESTIONS ABOUT THE BUDGET AMENDMENT.

[00:30:02]

SO, UH, WE DO NEED A MOTION.

SECOND TO APPROVE THIS.