* This transcript was created by voice-to-text technology. The transcript has not been edited for errors or omissions, it is for reference only and is not the official minutes of the meeting. THE MEANING [00:00:01] ORDER. PLEASE [ Call Meeting to Order] STAND UP FOR THE FLAG PLEDGE ALLEG TO THE FLAG OF THE UNITED STATES OF AMERICA, AND TO THE REPUBLIC FOR WHICH IT STANDS. NATION ON THE UNDER GOD IN INDIVIDUAL WITH LIBERTY JUSTICE FOR ALL RIGHT'S. SPEND [ EXECUTIVE SESSION Closed (Executive) Session of the Addison City Council pursuant to: Section 551.074, Personnel Maters, Tex. Gov. Code, to deliberate the appointment, employment, evaluation, reassignment, duties, discipline or dismissal of a public officer or employee, pertaining to: City Secretary's annual evaluation; and, City Manager selection process Section 551.071 Consultations with Attorney, Tex. Gov. Code, Consultation with an attorney to seek advise of its 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 551, Tex. Gov. Code, pertaining to: Receive legal advice related to calling a special public meeting of the City Council to discuss Addison's housing policy. Section 551.087 Deliberation Regarding Economic Development Deliberations, Texas Government Code, to discuss or deliberate regarding commercial or financial information that the City Council has received from a business prospect or business prospects that the City Council seeks to have locate, stay, or expand in or near the territory of the Town of Addison and with which the City Council is conducting economic development negotiations, and/or to deliberate the offer of a financial or other incentive to such business prospect or business prospects: Discuss amending the Memorandum of Understanding (MOU) between Town of Addison, AMLI Residential and Stream Realty for the Transit Oriented Development Project.] SOME TIME IN THAT SESSION. RIGHT? EXECUTIVE SESSION OF THE CITY COUNCIL, PURSUANT TO SECTION 5 0 1 7 4 PERSONNEL MATTERS, GOVERNMENT, EMPLOYMENT, EMPLOYMENT EVALUATION, WE ASSIGNMENT DUTIES, DISCIPLINE OR DISMISSAL OF THE PUBLIC OFFICER OR EMPLOYEE PERTAINING TO CITY SECTOR'S ANNUAL EVALUATION AND CITY MANAGER SELECTION PROCESS, I THINK WE'RE ALREADY DONE WITH THE CITY MANAGERS SELECTION PROCESS. SECTION 5 0 1 0 71 CONSULTATIONS WITH ATTORNEY THAT OF GOVERNMENT CODE CONSULTATION WITH THE ATTORNEY TO SEEK ADVICE OF ITS ATTORNEY MATTER IN WHICH THE DUTY OF THE ATTORNEY TO THE GOVERNMENT BODY UNDER THE TEXAS THIS POINT. RULES OF PROFESSIONAL CONDUCT OF THE STATE BAR OF TEXAS CLEARLY CONFLICTS WITH CHAPTER 5 0 1, TEXAS GOVERNMENT PERTAINING TO RECEIVE LEGAL ADVICE RELATED TO CALLING A SPECIALIST. PUBLIC MEETING OF THE CITY COUNCIL TO DISCUSS EDISON'S HOUSING POLICY, SECTION 55 1 0 87 DELIBERATION REGARDING ECONOMIC DEVELOPMENT DELIBERATIONS, TEXAS GOVERNMENT CODE TO DISCUSS ALL DELIBERATE REGARDING COMMERCIAL OR FINANCIAL INFORMATION THAT THE CITY COUNCIL HAS RECEIVED FROM BUSINESS PROSPECT OR BUSINESS PROSPECTS THAT THE CITY COUNCIL SEEKS TO HAVE LOCATED, STAY OR EXPANDING OR NEAR THE TERRITORY OF THE TOWN OF EDISON, AND WITH WHICH THE CITY COUNCIL IS CONDUCTING ECONOMIC DEVELOPMENT NEGOTIATIONS AND OR TO DELIVER THE OFFER OF THE FINANCIAL OR OTHER INCENTIVE TO SUCH BUSINESS PROSPECT OR BUSINESS PROSPECTS. DISCUSS AMENDING THE MEMORANDUM OF UNDERSTANDING MOU BETWEEN CAR EDISON, FAMILY RESIDENTIAL, AND STREAM REALTY FOR THE ORIENTED DEVELOPMENT. RIGHT NOW IS 5:33 PM WE ARE ENTERING INTO EXECUTIVE SESSION. ALL RIGHT, LET'S MOVE. [ Reconvene in to Regular Session: In accordance with Texas Government Code, Chapter 551, the City Council will reconvene into Regular Session to consider action, if any, on matters discussed in Executive Session.] ALL RIGHT. RIGHT NOW IS 8:43 PM WE ARE EXITING THE EXECUTIVE SESSION. THERE ARE NO ACTIONS TAKEN. SO THE WORK [1. Present and Discuss Lessons Learned from the U.S. Customs and Border Protection and Airport Administration Facility Construction Project.] SESSION ITEM NUMBER ONE, PRESENT, DISCUSS LESSONS LEARNED ON THE US CUSTOM AND BORDER PROTECTION AND AIRPORT FACILITY CONSTRUCTION PROJECT. JOEL, THAT'S YOUR PRESENTATION. UH, GOOD EVENING, MARIN COUNCIL. I'M PAUL JENKINS FROM THE AIRPORT DIRECTOR. AND, UH, WITH US THIS EVENING IS MITCHELL MCINALLY, WHO IS THE CONSTRUCTION MANAGEMENT ENGINEER ON THIS PROJECT. I'M GONNA TURN IT OVER TO HIM AND LET HIM GO THROUGH THIS PRESENTATION AND, UH, LET, UH, PULL UP. THAT'S NOT IT. SORRY. JUST MINIMIZE IT. I THINK IT'S NEXT. UH, I MIGHT HAVE TO PULL IT UP ON. ALL RIGHT. NEXT, I'LL TURN IT OVER TO YOU. ALL RIGHT, WELL, GOOD EVENING, MAYOR AND COUNSEL. I APPRECIATE THIS OPPORTUNITY TO COME BACK TO YOU GUYS. IT'S ACTUALLY NOT A CHANGE ORDER, SO THIS IS A PERFECT OPPORTUNITY TO DISCUSS WITH YOU GUYS. UH, REAL QUICKLY, WHAT I WANNA DO IS KIND OF OVERVIEW. I SEE SEVERAL NEW FACES, UH, THAT WENT THROUGHOUT THIS PROCESS. SO KIND OF WANNA GO REALLY FAST ON, TALK ABOUT WHERE WE STARTED ON THIS PROJECT AND WHERE WE ENDED UP. AND WHAT WE SAW WERE KIND OF FOUR OF THE MAJOR KEY ITEMS THAT WERE LESSONS LEARNED AS PART OF THIS PROJECT. SO, START RIGHT OFF. LET'S TALK ABOUT THE NUMBERS. SO WHEN YOU LOOK ON THE SCREEN, UH, WHAT YOU SEE ON THE LEFT SIDE, THE PROJECT BUDGET, UH, WHEN THIS WAS FIRST ESTABLISHED WAS THAT 9 MILLION, UM, NUMBER. WHEN WE WENT THROUGH THE ENTIRE DESIGN, SEVERAL ITERATIONS OF DESIGN [00:05:01] BIDDING AND THEN ULTIMATELY CONSTRUCTION CLOSE OUT. THE PROJECT ACTUALLY CAME IN UNDER THAT AMOUNT AT THAT 8.859 MILLION PROJECT. AND AS YOU SEE ON THE RIGHT, IT'S A SUMMARY OF THAT FINAL RECONCILIATION CHANGE ORDER, UH, TO COMPLETE THE PROJECT. SO, FROM CONT STANDPOINT, UH, I'LL BE HONEST, THAT WAS A CLOSE AMOUNT, THAT'S LITTLE. FROM AN ENGINEERING SIDE, IT'S A LITTLE, LITTLE LOW, LIKE TO HAVE MORE BUFFER IN THERE. SO YOU'RE NOT GOING ALL THE WAY DOWN TO THE END. BUT ULTIMATELY, THE PROJECT WAS COMPLETED, UH, UNDER THAT INITIAL PROJECT BUDGET AMOUNT OF 9 MILLION. UH, SCHEDULE OVERVIEW FOR A LOT OF Y'ALL, THIS PROJECTS REALLY ULTIMATELY STARTED BACK IN 2015 WHEN ADDISON WAS, UH, NOTIFIED BY CUSTOMS AND BORDER PROTECTION AT THE CURRENT FACILITY AT ADDISON WAS NOT ADEQUATE TO CONTINUE CUSTOMS AND BORDER PROTECTION OPERATIONS, UH, THIS, UH, SITUATION, IT ULTIMATELY WENT ACROSS THE ENTIRE UNITED STATES. AND IT WASN'T JUST CBP PINPOINTING ADDISON AS A POTENTIAL OUTLIER, OR, HEY, WE JUST WANT A NICER BUILDING. THIS WAS ACROSS THE COUNTRY. THEY WERE SAYING THAT THE GENERAL AVIATION FACILITIES DIDN'T COME UP TO OUR CURRENT STANDARDS WE WERE GONNA PULL OUT. SO THIS WAS THE FIRST STEP ON MAY OF 2015. AND AS YOU CAN SEE, IT WAS A LOT OF THOUGHT PROCESS. THERE WAS A LOT OF PLANNING THAT WENT INTO WHERE DO WE GO FROM HERE? THIS ISN'T, IF YOU REMEMBER FROM THE OLD FACILITY, IT WAS EFFECTIVELY A CLOSET SPACE IN ONE OF THE CURRENT FBOS. SO TO GO FROM A SPACE NO BIGGER THAN WHAT JOEL AND I ARE ALMOST HANGING OUT RIGHT HERE TO A 3,500 SQUARE FOOT FACILITY, THAT TAKES A LOT OF PLANNING AND EFFORT AND ALSO WORKING WITH THE DEPARTMENT OF HOMELAND SECURITY TO BE ABLE TO IMPLEMENT WHAT THEY VIEWED AS A FEASIBLE SOLUTION. SO, AS YOU CAN SEE FROM MAY UNTIL ULTIMATELY SELECTING THE SITE TO JULY OF 2017, THERE WAS THAT PLANNING ASPECT OF ROUGHLY ALMOST TWO YEARS JUST TO GET TO THE POINT WHERE, HEY, WHAT DO WE GO FROM HERE? HOW DO WE PROCEED WITH AN ACTUAL TANGIBLE PRODUCT OF A, A BUILDING ITSELF? UH, GOING FROM THE SITE SELECTION IN JULY OF 2017, THE UH, CONSTRUCTION DOCUMENTS WERE COMPLETED BASED OFF THAT SITE SECTION IN OCTOBER OF 2018. AND THEN WE STARTED HAVING SOME FUN WITH THE PROJECT ABOUT JANUARY OF 2019. UH, WE OPENED THE BIDS AND FOR EVERYONE THAT WAS AROUND IN THAT TIMEFRAME, THEY, THEY, I'LL JUST BE HONEST, THEY WEREN'T CLOSE. THE, WHAT THE CONSTRUCTION ESTIMATES THAT CAME IN RELATIVE TO THE, THE ESTIMATE THAT WAS PROVIDED BY, UH, THE ARCHITECT AND THE ESTIMATING FIRM, UH, IT WAS IN A COUPLE THOUSAND. IT WAS MILLIONS OF DOLLARS THAT WAS OFF. SO THAT WAS A, A RED FLAG, WHITE FLAG MOMENT OR SCENE. WHAT DO WE HAVE TO GO FROM HERE? SO EVERYBODY, UH, WENT BACK TO THE DRAWING BOARD AND PUT OUR HEADS TOGETHER TO LOOK AT, UH, WHAT IS THE BEST OPTION MOVING FORWARD? THIS FACILITY HAS TO HAPPEN, IS SUCH A HUGE ECONOMIC ENGINE FOR THE, FOR THE AIRPORT. SO WHAT ARE OUR STEPS? UH, EVERYONE LOOKED AT? ARE THERE BITS AND PIECES OF THIS PROJECT WE CAN KIND OF PULL OUT AS A BETTER OPPORTUNITY TO MOVE FORWARD, UM, AS SEPARATE BID PACKAGES? AND ULTIMATELY, UH, WENT TO A REBID SITUATION WHERE THE CONTRACT WAS ULTIMATELY AWARDED TO JC COMMERCIAL. AT THAT POINT, PROJECT BROKE IN SEPTEMBER OF 2019 AND, UH, 2020 WAS A GREAT TIME TO DO CONSTRUCTION AND ANY PROJECT ACROSS THE COUNTRY WITH THE COVID PANDEMIC. UH, SEVERAL ITERATIONS WENT THROUGH THAT, UM, SUPPLY CHAIN ISSUES, UH, MATERIAL AVAILABILITY ISSUES, UH, BUT THEN ULTIMATELY IN APRIL 21 TOWN OF ADDISON WAS ACTUALLY ABLE TO MOVE OUT OF THEIR EXISTING FACILITY OVER AT THE CORNER OF KELLER SPRINGS AND ADDISON ROAD INTO THIS NEW BRAND NEW FACILITY. AND THEN IN DECEMBER, CBP WAS FINALLY ABLE TO OPERATE OUT OF THEIR OWN SPACE. AND WE ACTUALLY HAD THE OFFICIAL, UM, I GUESS FLIGHT AND CEREMONY WAS IN THAT DECEMBER OR FEBRUARY TIMEFRAME. FEBRUARY, UH, AND THEN EARLIER THIS YEAR IN APRIL, THE PROJECT WAS OFFICIALLY CLOSED OUT CONSTRUCTION CONTRACT WISE WITH JC COMMERCIAL. SO AS I KIND OF ALLUDED TO YOU EARLIER, THERE WAS A, THAT WAS A LONG TIMEFRAME. IF YOU LOOK FROM THE PROJECT STARTING IN, UH, 2015 ALL THE WAY UNTIL 2022, UH, THERE WAS A LOT OF LESSONS LEARNED THROUGHOUT THAT. BUT THIS IS WHAT WE SAW AS THE FOUR KIND OF MAJOR ITEMS THAT WE SAW AS THIS IS SOMETHING YOU COULD LEARN AND APPLY TO OTHER PROJECTS, NOT ONLY WITH THE TOWN JUST IN GENERAL, THAT SOMETHING TO JUST BE AWARE OF. SO FROM THAT, WE SAW, UH, WHAT WE SEE AS FOUR MAJOR INACCURATE COST ESTIMATING FROM THE GET GO. THIS WAS EVEN PRE PANDEMIC. THIS WAS AN ISSUE THAT SHOULD HAVE BEEN RESOLVED AND ULTIMATELY OVERCOME FROM THE BEGINNING, UH, AS A COST VALUE ENGINEERING ASPECT, SEPARATING DIFFERENT WORK PACKAGES. UH, AT THE TIME IT WASN'T EVIDENT OF WHAT WE WOULD, THE SITUATIONS THAT WERE BEING CREATED AND THE CHALLENGES WE HAD TO OVERCOME FROM THAT. UH, CLASS DETECTION. UH, I THINK A COUPLE OF YOU GUYS IN THE ROOM ARE AWARE WHAT THAT TERM IS, AND I'LL EXPLAIN THAT A LITTLE MORE DETAIL LATER. BUT I THINK THAT WAS AN OPPORTUNITY THAT WAS MISSED THAT ULTIMATELY COULD HAVE SAVED THE TOWN SEVERAL HUNDREDS OF THOUSANDS OF DOLLARS WHEN [00:10:01] WE WERE IN THE CONSTRUCTION SIDE OF THING. ANY ISSUE WITH THE PROJECT TECHNOLOGY WAS OUTPACING, UH, THE PROJECT AND THE FACT THAT THE PROJECT BROKE GROUND IN SEPTEMBER OF 2019 UNTIL WHEN IT'S COMPLETED IN APRIL. UH, WE JUST WERE ALWAYS BUYING THE EIGHT BALL ON BEING ABLE TO IMPLEMENT NEW SOLUTIONS THAT WERE GONNA BE EFFECTIVE. NOT JUST FROM ONE THAT BUILDING OPEN DAY ONE, BUT TO THEN EVEN FIVE YEARS BEYOND THAT. SO IT WAS TRYING TO OVERCOME THAT CHALLENGE. SO, REAL QUICKLY, I WANNA BE RESPECTFUL OF ALL TIME, BUT WHAT WE LIKE TO DO IS IDENTIFY WHAT WAS THE ISSUE THAT LED TO LESSON LEARNED AND ULTIMATELY WHAT WAS THE SOLUTION THAT WE WERE GONNA MOVE FORWARD WITH. UH, FEEL FREE TO ANYTIME. IF YOU HAVE ANY QUESTIONS, UH, FEEL FREE TO ASK ME. THIS ISN'T LIKE A FORMAL, WE COME BACK TO LATER. I'D LOVE TO HEAR Y'ALL'S FEEDBACK, UH, THROUGHOUT THIS. SO, UH, RIGHT OFF THE BAT COST ASSESSMENTS, UH, ONE OF THE BIG THINGS THAT WAS BEING SOLD, THIS IS A UNIQUE FACILITY, IS HIRING A SPECIALIZED, UH, COST ESTIMATING FIRM THAT WAS A PART OF THE ARCHITECT FROM THE ORIGINAL PART OF THE PROJECT. THEY WERE INVOLVED THROUGH EVERY DESIGN PACKAGE THAT WAS PROVIDED. AND THEN AFTER THE FIRST ROUND OF BIDDING, AS I LOOKED YOU EARLIER, IT WAS A MILLION DOLLARS BEING OFF. SO YOU KIND OF WONDER WHAT WHAT SERVICE WAS ULTIMATELY GIVEN, UH, TO THE, THE, TO THE TOWN FROM THIS, UH, ASPECT ON THE PROJECT. UH, SO THAT LED TO REBIDDING. UH, WHAT WE REALIZED WHAT, WHAT THE ULTIMATE ISSUE WAS. THE ENGAGEMENT WITH THE CONTRACT COMMUNITY FOR THESE TYPE OF PROJECTS JUST WASN'T THERE. WHEN WE REALLY DRILLED DOWN INTO IT. THE PRICING WAS ALMOST NOT A SCENARIO THAT SHOULD HAVE APPLIED TO SUCH A SPECIALIZED FACILITY FOR OUR CUSTOMS AND BORDER PROTECTION PROJECT. WHEN YOU REENGAGE THE CONTRACTING COMMUNITY, YOU UNDERSTOOD WHAT THE TRUE MARKET PRICES WERE AND THAT ABLE, THAT WAS ACTUALLY ALLOWED THE OPPORTUNITY TO GO LOOK AT WHAT ARE THE VALUE ENGINEERING OPPORTUNITIES ON THE PROJECT THAT ARE ACTUALLY FEASIBLE TO MOVE FORWARD WITH THIS PROJECT. UH, THIS CONTRACT WAS ULTIMATELY AWARDED THROUGH VARIOUS, UH, VALUE ENGINEERING ASPECTS. UH, THAT'S USUALLY THE LAST THING YOU WANT TO GET TO IN A PROJECT IS GET TO THE VALUE ENGINEERING STANDPOINT CUZ THAT'S WHERE YOU ALREADY HAVE AN ISSUE. YOU HAVE A BUDGET ISSUE, A CONSTRAINT. AND WHEN YOU'RE TRYING TO INCORPORATE THESE VALUE ENGINEERING OPTIONS IS TO MAKE THE PROJECT FEASIBLE AND WORK THAT ALSO LEADS TO OTHER LESSONS LEARNED. WHEN WE GET TO CONSTRUCTION FROM THAT STANDPOINT, UH, WHEN IT COMES DOWN TO IT, UH, WE HAD TO ACTUALLY PROCURE THAT APRON, AIRCRAFT APRON AS AIRCRAFT ARRIVED. THAT APRON HAD TO BE PULLED OUT OF THE ORIGINAL BID BECAUSE WE WERE ABLE TO GO GET ADDITIONAL FEDERAL FUNDS HAVING A SEPARATE PROCUREMENT PACKAGE. THAT WAS ACTUALLY ONE OF THE BENEFITS. IF YOU LEFT IT AS A PART OF THE PROJECT, $600,000 WOULD'VE NEVER BEEN ON THE TABLE FOR THE TOWN TO ACCEPT FROM THE FEDERAL GOVERNMENT FROM THAT STANDPOINT. ONE WAY TO OVERCOME THAT, HOW DO YOU HAVE CONTRACTORS MORE INVOLVED IS WITH FACILITY TYPE PROJECTS. UH, THE TOWN IS ALLOWED TO DO A CONSTRUCTION MANAGER AT RISK PROCUREMENT METHOD FOR THIS PROJECT. UH, WHAT THAT MEANS IS YOU HAVE A SEPARATE DESIGN ENGINEER ARCHITECT, ONE SIDE WORKING DIRECTLY WITH THE TOWN, AND YOU HAVE A CONTRACTOR THAT'S SELECTED INDEPENDENTLY THAT THEN ALSO WORKS DIRECTLY WITH THE TOWN. WHAT THIS DOES IS DURING THE DEVELOPMENT OF THE DESIGN DOCUMENTS, YOU'RE NOT RELYING JUST ON A COST ESTIMATOR. YOU ACTUALLY HAVE A CONTRACTOR WHO IS QUALIFIED GIVING YOU LIVE PRICING. SO BY THE TIME IT COMES BEFORE COUNCIL TO MAKE A DETERMINATION ON HOW TO MOVE FORWARD THE PROJECT, YOU KNOW, WHAT THE PRICING IS CAUSE THAT'S A GUARANTEED MAXIMUM PRICE. UH, THAT IT'S NOT A NEW PRACTICE OF PROCUREMENT. UH, WE'RE STARTING TO SEE THIS MORE ON THE MUNICIPALITY SIDE, UH, ESPECIALLY WITH THE FACILITIES AND THAT'S REALLY WHAT THE FOCUS IS. UM, STATE LAW DOES ALLOW THIS AND IT'S A GREAT, WE THINK A, UH, GREAT RISK MITIGATION FACTOR WHEN IT COMES TO FACILITY PROJECTS. THE BEAUTY IS YOU'RE GONNA HAVE CONTRACTOR INVOLVEMENT THROUGHOUT THE DESIGN. THEY'RE GONNA GIVE FEEDBACK, LIVE FEEDBACK ON THE ARCHITECT. WHAT YOU'RE PROPOSING IS WAY OUTTA THIS WORLD. YOU GOTTA DIAL THIS BACK IF WE'RE GONNA TRY TO AIM FOR THIS 9 MILLION BUDGET. SO BY THE TIME IT COMES BEFORE A COMMITTEE TO MAKE DETERMINATIONS ON, DO YOU GUYS LIKE TO LOOK AT THIS FACILITY? DO YOU LIKE THE COLORS, THINGS OF THAT NATURE. THAT'S WHAT YOU'RE FOCUSING ON, NOT CHOPPING OFF COMPONENTS OF THE BUILDING AND THAT'S WHAT YOU WANNA TRY TO AVOID. UM, THE ONE DOWNSIDE ON CMAR IS IT'S TYPICALLY NOT ALLOWED ON ROADWAY PROJECTS, WHICH YOU WOULD THINK LET'S HAVE HAND IN HAND. THERE'S OTHER PROCUREMENT OPPORTUNITIES FOR ROADWAY THAT, UM, ARE MORE WELL SUITED, LIKE DESIGN BUILDS, THINGS OF THAT NATURE. BUT LESSON LEARNED ON THIS WAS, I THINK C MARS NEED TO BE MORE CONSIDERED AS YOU MOVE FORWARD WITH MORE FACILITY TYPE PROJECTS FOR RENOVATIONS, NEW BUILDINGS, THINGS OF THAT NATURE THAT YOU HAVE THE CONTRACTOR WORKING HAND IN HAND WITH YOU. UH, SECOND ONE, AS PART OF THAT WAS SEPARATING THE WORK PACKAGES. WHEN WE STARTED SLICING AND DICING EVERYTHING UP TO BE ABLE TO TAKE ADVANTAGE OF THE DIFFERENT FUNDING SOURCES, UH, THERE WERE CERTAIN PARTS OF THE CONTRACT DOCUMENTS THAT WERE RELIANT ON OTHER PARTS OF IT THAT GOT PULLED OUT. UH, AS AN EXAMPLE, I BELIEVE IT WAS THE SECOND CHANGE ORDER IN THIS PROJECT WAS, AND WITH RESPECT TO THE, UH, EARTHWORK, UH, THE DEMOLITION SPEC, WHICH [00:15:01] WAS ONE INDEPENDENT PROCUREMENT PACKAGE ACTUALLY REFERENCE, UH, A SURVEY ITEM AND THE FACILITY PROJECT, WELL THOSE WERE COMPLETELY SEPARATE DOCUMENTS NOW. SO THE CONTRACTOR A ON DEMO HAD NO AWARENESS OF CONTRACTOR B, THAT THE SITE HAD TO BE RES SURVEYED, UH, TO ACCOUNT FOR THIS ADDITIONAL FILL MATERIAL. SO WHAT HAD HAPPENED IS WHEN WE GOT TO CONSTRUCTION, THE ENTIRE SITE NEEDED ALMOST, I BELIEVE IT WAS OVER, UM, $150,000 OF ADDITIONAL FILL THAT THE CONTRACTOR BIDDING THE PROJECT WAS NOT GONNA BE MADE AWARE OF UNLESS HE HAD THAT ESTIMATION FROM A SURVEY FILE. SO THAT WAS THE INITIAL CHALLENGE WE SAW, UM, RIGHT OFF THE BAT. UM, AND AS YOU CAN SEE THE PROJECT COST IMPACTS, UH, WE TRIED TO, THOSE ARE ALL STRICTLY BASED OFF CHANGE ORDERS. THIS WASN'T JUST US GOING THROUGH THIS IS WHAT ACTUAL APPROVED CHANGE ORDERS, UH, WERE THE RESULT OF THESE ISSUES. UH, PROBABLY THE MOST TECHNICAL ITEM ON HERE, CLASS DETECTION, UH, CLASS DETECTION, UH, IT'S HOPEFULLY STRAIGHTFORWARD, IS IN A BUILDING LIKE THIS. YOU HAVE ELECTRICAL CONDUITS, HVAC THINGS OF DIFFERENT NATURE THAT ARE JUST MOVING IN AND AROUND TO MAKE THIS, UH, SPACE A FUNCTIONING SPACE. HOWEVER, THERE'S OTHER THINGS TO CONSIDER, LIKE STRUCTURAL BEAM MEMBERS, UH, CLASH DETECTION WAS NOT PERFORMED ON THIS PROJECT AS A PART OF THE BIM MODELING OF IT. UH, ORIGINALLY IT WAS A $42,000 ITEM FOR THIS PROJECT ON TWO SEPARATE SPACES TO PERFORM CLASS DETECTION. UH, AT THE TIME WHEN YOU LOOK BACK AT IT, IT WASN'T REALLY BEING SOLD AS A BENEFIT. WHICH KIND OF HINDSIGHT YOU'RE LIKE, WHY WAS IT NOT LIKE YOU SEEM LIKE THAT'D BE GREAT OPPORTUNITY. $42,000 ON A 9 MILLION PROJECT. UH, WHAT ULTIMATELY COULD HAVE SAVED THE PROJECT OVER $135,000 IN ISSUES ON FITMENT AND CONSTRUCTION CONFLICT ISSUES. UH, THERE WAS SEVERAL CROSS MEMBERS IN THE BEAMS OF THE BUILDING THAT JUST WERE NEVER SHOWN UP IN THE DRAWINGS BECAUSE WHEN IT CAME DOWN TO THE WORK PACKAGES, WHEN IT CAME DOWN TO THE ASBUILT OR THE, UH, WORK SHOP DRAWINGS, THEY JUST WERE NEVER REFLECTED. SO THEN YOU HAVE HVAC ISSUES WITH DUCKS TRYING TO GO THROUGH A STEEL BEAM. WELL, THAT'S NOT POSSIBLE. UM, SEVERAL OF THAT, THOSE ISSUES CAME UP THAT JUST WEREN'T, IF THEY DID THE CLASS DETECTION, IF THEY PAID, IF THAT WAS ACTUALLY SOMETHING THAT WAS PROCURED, UH, THOSE COULD HAVE BEEN PREVENTED FROM THE GET GO. AND THEN EVERYONE KNOWS IN CONSTRUCTION, IF YOU HAVE AN ISSUE, YOU HAVE TO HAVE TIME TO THINK ABOUT HOW DO YOU SOLVE THAT ISSUE. IT CREATES DELAYS AND HAVE THIS PROJECT HAPPEN DURING THE PANDEMIC. THEN IT CREATED SUPPLY CHAIN MATERIAL ISSUE DELAYS. AND THAT JUST KEPT COMPOUNDING AS WE WENT THROUGH THE PROJECT. SO IT WAS SOMETHING AS SIMPLE AS JUST PERFORMING CLASS DETECTION ON THE PROJECT SEEMED LIKE A GREAT OPPORTUNITY. THERE'S A COST FACTOR, BUT I THINK IT WAS MORE OF A TIME THAT WAS A BIGGER ISSUE THAT WE WE ENCOUNTERED ON THIS PROJECT. UH, AND THE LAST ONE, THIS WAS THE LAST CHANGE ORDER I PRESENTED TO YOU GUYS AND IT WAS, UH, IN RELATION TO THE CUSTOMS AND BOARD PROTECTION TECHNOLOGY PACKAGE PRIMARILY, UH, CVP ACTUALLY UPDATES THEIR CAMERA AND SECURITY ACCESS PACKAGE EVERY SIX MONTHS. UH, IT'S AMAZING HOW A PROJECT CAN BE AFFECTED BY THE POLITICAL LANDSCAPE WHEN TARIFFS WERE IMPLEMENTED ON, UH, CHINESE IMPORTS TO THE EFFECT WHERE THEN IT AFFECTED Y'ALL'S PROJECT. EVERY CAMERA THAT WAS ORIGINALLY A PART OF THAT BID PACKAGE BECAME UNAUTHORIZED AS A PART OF IT. SO THEN IT BASICALLY REOPENED A CHANGE ORDER ENVIRONMENT TO THE PROJECT. UH, THE BIGGEST LESSON LEARNED ON THAT WAS THAT ITEM SHOULD HAVE BEEN AN ALLOWANCE PAY ITEM FROM THE GET GO. UH, WITH THE VOLATILITY, WHAT CBP WAS REQUIRING EVERY SIX MONTHS, IT MADE NO SENSE TO HAVE AN ITEM THAT IF YOU THINK ABOUT A BUILDING BEING CONSTRUCTED 15 MONTHS IS AGGRESSIVE WITH A BUILDING LIKE THIS. SO WITHIN A 15 MONTH TIMEFRAME, YOU'RE GONNA HAVE POTENTIALLY TWO TO THREE CYCLES OF YOUR TECHNOLOGY ALREADY BEING OUT OF DATE. SO IF THE PROJECT ORIGINALLY HAD A ALLOWANCE PAY ITEM THAT THE CONTRACTOR SUBMITS A PRICING PACKAGE THAT SAYS OF A, LET'S SAY A $300,000 TECHNOLOGY PACKAGE, HERE'S ALL THE APPROVED CBP ITEMS AND THEY MEET THE SPEC, THEY SUBMIT IT'S APPROVED, YOU MOVE ON. AND THAT DOESN'T BECOME AN ISSUE BECAUSE IT'S, IT'S ALWAYS CURRENT WITH WHAT'S BEING IMPLEMENTED. UM, THAT, THAT WAS HONESTLY THE BIGGEST CHALLENGE. AND IT, IT WAS ACTUALLY A ISSUE THAT RESULTED EVEN AFTER THE BUILDING WAS OPEN CUZ CBP WAS EVEN RUNNING TO THEIR OWN PROBLEMS WITH THEIR OWN PATCHING SOFTWARE. SO, UH, THAT WAS A SITUATION WHERE THE PROJECT SHOULD HAVE JUST PROVIDED THE BACKBONE INFRASTRUCTURE AND THEN ALLOW US TO ALLOW IT FOR YOU WAIT TO THE ABSOLUTE LAST MOMENT OF TIME TO PURCHASE ANYTHING FROM A COMPUTER TO WHATEVER, BECAUSE EVERYONE INTO YOUR CELL PHONE'S ALREADY OUTTA DATE THE MOMENT YOU BUY IT, IT'S LIKE A CAR DEPRECIATES AND IT'S THE WORST EXPERIENCE YOU HAVE. BUT TECHNOLOGY IS THE SAME WAY WHEN IT COMES TO BUILDING INFORMATION. AND ULTIMATELY THAT WAS A HUGE HINDRANCE AND A MY OWN PERSONAL THROW IN MY SIDE THROUGHOUT THE ENTIRE LENGTH THAT ENDED THAT PROJECT. SO, UH, OVERALL, THOSE ARE THE FOUR MAJOR [00:20:01] ARCHING THEMES THAT WE SAW THAT WERE WHAT YOU GUYS HAD TO BE PRESENTED FROM A COST AND TIME IMPACT. UH, TIME WAS THE BIGGEST CHALLENGE. THIS PROJECT, WHICH ORIGINALLY SLATE IS ONLY TAKE THE, I THINK IT WAS A 16 MONTHS TIMEFRAME. WELL, IF YOU LOOK AT SEPTEMBER, 2019 TO APRIL 22, THAT IS DEFINITELY NOT THE CASE. UM, AND THAT'S ULTIMATELY WHAT CAUSE THE BIGGEST CHALLENGES ASSOCIATED WITH THAT. SO WITH THAT, SO IS THE, IS THE CLASH CLASH DETECTION, UM, IS THAT A, IS THAT A BROADER TERM OR IS IT REFERENCING MORE OF A SPECIFIC, UM, LIKE BRANDED THING SOFTWARE OR SOMETHING IN THE CONSTRUCTION INDUSTRY? SO WHAT IT REFERENCES, ULTIMATELY IT'S A BUILDING INFORMATION MODEL OF BIM. YOU MIGHT HEAR THAT PHRASE BEING USED. AND WHAT IT IS, IS IT'S SEVERAL DAYS THAT IT TAKES EVERYTHING FROM YOUR MECHANICAL, ELECTRICAL, PLUMBING, STRUCTURAL, AND IT PUTS IT THROUGH A PROGRAM AND IT DETERMINES ARE THERE GONNA BE CONFLICTS AND IF THERE ARE WHERE THESE LOCATED AND HOW DO YOU OVERCOME THOSE OR ARE YOU MISSING OUTLETS IN CERTAIN ROOMS. UM, SO IT'S, IT'S, IT'S A SOFTWARE OF SORTS THAT IS, THAT IS ADMINISTERED BY THE BTC OR THE, IT'S THE, UH, ARCHITECT TYPICALLY OR THE ARCHITECT. THE ARCHITECT DOES IT. CORRECT. SO IS THAT A LESSON LEARNED FOR THAT OUR WHOLE ORGANIZATION, JOEL, THIS MIGHT BE SOMETHING FOR, FOR YOU THAT THE WHOLE ORGANIZATION CAN LEARN FROM NOT JUST THE AIRPORT. WELL, ABSOLUTELY, CUZ I DON'T THINK THE AIRPORT'S GONNA BUILD ANOTHER BUILDING ANYTIME SOON. CERTAINLY I DON'T WANT TO, BUT I THINK CERTAINLY THE TOWN HAS GOT SOME OLDER BUILDINGS AND, AND MAY NEED TO LOOK AT, UH, REPLACING THEM OR MOVING SOMEWHERE. AND, AND THIS IS SOMETHING IF, IF YOU EVER HAVE TO DO ANOTHER VERTICAL CONSTRUCTION PROJECT, ABSOLUTELY YOU WOULD WANT TO DO THIS. I THINK REALLY THE LESSONS LEARNED HERE ARE FOR THE REST OF TOWN, IF WE EVER DO ADDITIONAL VERTICAL CONSTRUCTION, AND BY VERTICAL CONSTRUCTION, I MEAN BUILDINGS, NOT ROADWAYS, YOU KNOW, JUST FLAT STUFF. SO, UH, YEAH, IT'S NOT SOMETHING WE'VE DONE A WHOLE LOT OF. YEAH. UH, SO, UM, THAT'S, THAT'S THE WHOLE POINT OF THE LESSONS LEARNED. SO IF WE HAVE TO DO THIS AGAIN, WE'LL, WE'LL KNOW BETTER AND DO BETTER. YEAH. IT SEEMS TO ME THAT, THAT THAT IS A REAL IMPORTANT LESSON BECAUSE THE TECHNOLOGY ONE, WITH THE C B P UPDATING THE TECHNOLOGY EVERY SIX MONTHS, THAT'S PROBABLY NOT AS COMMON FOR, YOU KNOW, OTHER TYPES OF BUILDINGS. THAT SEEMS TO BE VERY SPECIFIC. I THINK THAT COULD, IF YOU TOOK THE CVP COMPONENT OUT OF THAT, I THINK ANY BUILDING IS ALWAYS GONNA RUN INTO THAT CHALLENGE OF TECHNOLOGY. YOU WANNA MAKE SURE YOU'RE CUTTING EDGE, EVEN FROM COMMERCIAL SPACE TO A MUNICIPAL FACILITY. YOU, YOU'VE GOTTA JUST PROVIDE THE BACKBONE AND JUST TIME IT SO YOU'RE PROVIDING THE LATEST AND GREATEST. UM, AND THAT'S JUST MORE DRIVEN TOWARDS AN ALLOWANCE PAY ITEM IN LIEU OF HAVING A DIRECT COST PAY ITEM THAT WAS ORIGINALLY PROCURED AS A PART OF THE BID. OKAY. YEAH. AND I WANT TO THANK YOU AND CARVER FOR PUTTING IN ALL THE WORK YOU DID. I UNDERSTAND, UH, YOU LIVED IT FOR A LONG TIME AND UH, HAD TO PUT UP WITH ALL THE CHALLENGES THAT CAME ALONG WITH IT. BUT YOU, YOU HUNG IN THERE. UH, MAYOR, I HAD ASKED THAT, UH, WE MAKE SURE THAT THIS, UH, LESSONS LEARNED WAS, UH, WAS, WAS DELIVERED AND THAT, AND I'M GOING TO MAKE THE RECOMMENDATION OF COURSE, THAT WE, UH, WE USE THIS WHENEVER WE GO VERTICAL, WHENEVER THAT MAY BE. UH, THESE ARE, THESE ARE LESSONS THAT WILL SAVE US MONEY IN THE FUTURE. MM-HMM. , UH, AND, AND I'M, I'M, I'M, I'M GLAD WE'RE TAKING THE TIME TO TAKE A LOOK AT 'EM NOW. UM, SOME OF US SAW THESE CHALLENGES AS THEY WERE GOING ALONG. UH, UH, WE WEREN'T ALL THERE AT THE BEGINNING, BUT THERE WAS A, THERE WAS A POINT WHEN, WHEN WE WERE HALFWAY ACROSS THE HALFWAY ACROSS THE LAKE, WE HAD TO DECIDE AS A COUNCIL WE'RE GONNA CONTINUE WITH THIS PROJECT. AND, UH, WE MAKE THAT TOUGH DECISION. UM, SO, AND WE'RE ALL, WE'RE ALL HERE AT THIS POINT WITH, UH, WITH A BEAUTIFUL BUILDING AND, AND WE ARE GOING TO BE LEVERAGING IT AS A TOWN. SO I, I THINK WE MADE A, I KNOW WE MADE A GOOD DECISION TO GO FORWARD WITH IT, AND I'M PROUD OF THE COUNCIL THAT HELPED US. UH, YOU KNOW, THAT DEALING WITH THE FEDERAL GOVERNMENT, THEY HAVE MOST STRINGENT REQUIREMENTS BECAUSE NOBODY WANNA TAKE BLAME IN CASE SOMETHING HAPPENED. YOU'LL UNDERSTAND THE SCENARIO BEHIND IT. SO, UH, UH, BUT SINCE YOU ALREADY DID THIS GREAT JOB, SO YOU NOT ONLY WILL LEARN, BUT ALSO YOU LEARN. SO IN THE FUTURE, TAKE ANOTHER SIMILAR JOB, YOU KNOW, YOU CAN HELP SAVE A LOT OF MONEY, SO, AND IT MAKES IT MORE EFFICIENT. SO [00:25:01] YEAH, I THINK CLOSING ON THAT IS, IT'S, IT'S AMAZING LIKE ALL HAVE BUILT AT ADDISON, IT'S THE TALK OF THE TOWN, EVEN LOCALLY, BUT EVEN LOOKING BEYOND IT ALL, THE CVP NOW MAKES YOU ALL THE, THE CASE STUDY ON WHAT TO DO. UM, SO THE DOWNSIZE PEOPLE ARE ASKING ME TO DO IT AGAIN. I'VE ALWAYS CONTROLS LIKE NEW ONE, BUT . BUT IT IS ANOTHER FIRST JOB. YOU KNOW, YOU REMEMBER THE, UH, CONTROL TOWER? YES. THAT'S THE FIRST IS THE SECOND. YEAH. , CAN I ADD ONE MORE LESSON LEARNED? THIS IS FOR US, I MEAN, AS A COUNCIL, I THINK WE NEED TO UNDERSTAND OUR DESIGN CONTRACTS ON PROJECTS. KNOWING WHAT YOU KNOW, AS FAR AS THE ARCHITECT WHO, I MEAN HE, IF HE'S IN CHARGE OF ALL THE CONSULTANTS, DOES HE DO THE COORDINATION OF ALL THE, OF ALL THE DIFFERENT CONSULTANTS OR, YOU KNOW WHAT I'M SAYING? I DON'T, I THINK WE, I THINK THAT'S PART OF IT. YOU'RE TALKING ABOUT THE, THE BIM MODELING AND STUFF, YOU KNOW, I DON'T KNOW, I DON'T KNOW HOW MANY RVIS ARE ON THIS JOB. I'M GONNA GUESS A LOT. HUNDRED 74. YEAH, SO I MEAN TO, TO ME, I MEAN I'VE GOT A JOB NOW THAT'S GOT 245, RIGHT? SO TO ME THAT'S LIKE, SOME OF IT COMES, SOME OF IT COMES FROM WHEN THE THING, THE THING WAS OVER BUDGET, WE HAD A, WE HAD TO REBID IT. EVERYBODY'S IN A SCRAMBLING MODE. WE'RE LOOKING FOR BE STUFF. SO NOW WE'RE IN, NOW WE'RE INTO HAVING TO, YOU KNOW, NOT ONLY DESIGN IT, BUT NOW WE'RE TRYING TO, TRYING TO DETERMINE WHAT THESE VE ITEMS, WHAT THEY'RE GONNA DO TO THE OVERALL SCOPE OF THE JOB, RIGHT? SO THIS STUFF STARTS, STARTS SNOWBALLING, AND YOU KNOW, THE BEST JOB IS THE ONE THAT HARDLY HAS ANY CHANGE ORDERS OR RFIS ON THEM. SO, I MEAN, THERE'S OBVIOUSLY, BECAUSE OF THE PRICING AND, AND THAT TYPE OF STUFF, I MEAN, IT WAS KIND OF SURPRISING THAT, I MEAN, AND I, I SAID ON THE OTHER SIDE, I SAID ON YOUR SIDE OF THE THING WHERE I'M SAYING, WELL, DIDN'T, DIDN'T THE STRUCTURAL GUY LOOK AT THE ARCHITECTURAL PLANS OR, YOU KNOW, WHEN THEY DID THEIR DESIGN AND YOU, THIS WILL NOT PHYSICALLY WORK. AND SO THAT'S MY POINT AS FAR AS IS, YOU KNOW, WE NEED TO KNOW WHAT OUR CONTRACTS, YOU KNOW, WHAT THE, WHAT OUR DESIGN CONSULTANTS, WHAT THEY'RE GONNA BE DOING ON THE PROJECT. SO THAT'S ONE DEAL. THE ONLY OTHER THING IS, I'M HOPING WE'VE RUN INTO THIS BEFORE, I'M HOPING WE HAVE SOME GOOD ASBUILT PLANS SO WE KNOW WHERE EVERYTHING'S BURIED OUT THERE. HOPEFULLY WE NEVER HAVE TO DO ANYTHING. BUT INEVITABLY WE DO SOMETHING IN THIS TOWN AND WE'RE ALWAYS RUNNING INTO CHANGE ORDER AFTER CHANGE ORDER BECAUSE WE DON'T KNOW WHAT'S UNDERGROUND. AND I GET IT. BUT WE HAVE GOOD AS BUILTS, WE DO. OKAY, GOOD. . SO WHAT CAUSED THE LESSONS LEARNED EXERCISE? I WASN'T HERE WHEN THAT STARTED. WAS IT YOU? I HAD ASKED FOR IT, YES. CUZ WE, THERE WERE ENOUGH CHALLENGES ON THE PROJECT AND SO IT'S KIND OF THE FIRST TIME WHEN IT'S MAYBE A POLICY THAT WE ADOPT AND IT'S LESSONS LEARNED WHEN VERTICAL. THAT'S WELL THERE. WE, WE, I ALSO ASK FOR LESSONS LEARNED ON A LOT OF OTHER PROJECTS THAT WE HAVE CUZ IT'S ALWAYS UTILIZED. UH, IT CAN BE UTILIZED ESPECIALLY ON OUR FLAT WORK TOO, CUZ UM, WE ARE DOING THAT MORE, MORE OFTEN THAN, THAN NOT. SO. SO I HAVE A QUESTION ON SLIDE 10, JUST OUTTA CURIOSITY. UM, WHAT WAS THE PERCENTAGE, UH, BETWEEN THE FURNITURE AND THE ELECTRONICS FROM CBP? UH, THE ISH? YEAH, SAY THE FURNITURE WAS A REALLY SMALL PERCENTAGE. IT WAS PROBABLY LESS THAN, OKAY. 10,000. OKAY. THAT WAS A TIME ISSUE MORE THAN ANYTHING. UH, I DON'T THINK THE CONTRACTOR'S GONNA BE MY FRIEND AFTER THAT PROJECT, BUT , THERE'S A LOT OF OUT THERE. THAT'S ALL I HAVE. MORE QUESTION. NO, THANK YOU. APPRECIATE IT. APPRECIATE IT. THANK YOU. IMAGE YOU DON'T HAVE TO. NUMBER [2. Present and Discuss the Airport Quarterly Report for the Fiscal Year 2022 Fourth Quarter Ended September 30, 2022.] TWO, PRESENT. DISCUSS THE EDISON, UH, L FOR QUARTERLY REPORT. SO FISCAL YEAR 2022. FOURTH ENDS SEPTEMBER 30. WELL, GOOD EVENING, MAYOR COUNSEL. I'M JOEL JENKINSON, STILL, UH, AIRPORT DIRECTOR. UH, AND I'M PLEASED TO PRESENT TO YOU THE, UH, FOURTH QUARTER UPDATE ON THE, UH, FISCAL YEAR 2022 THAT ENDED SEPTEMBER 30TH OF THIS YEAR. AND I'M SAYING IT'S NOTHING BUT GOOD NEWS. SO, UH, I'M GONNA GO THROUGH THIS PRETTY QUICK. I'M GONNA COVER THE STATISTICS FOR THE FOURTH QUARTER OF FY 22 AIRCRAFT OPERATIONS, INTERNATIONAL OPERATIONS, FUEL FLOWAGE REVENUE, AND THE REAL ESTATE PORTFOLIO. [00:30:01] I'M ALSO GONNA REVIEW THE FULL YEAR RESULTS AND THEN I'M GONNA GO THROUGH WHAT PROJECTS AND WHAT PROGRESS WE HAVE GOING ON RIGHT NOW. SO OPERATIONS, YOU CAN SEE THE FOURTH QUARTER OF 22 LOOK A LOT LIKE THE FOURTH QUARTER OF 21 WITH SLIGHTLY FEWER, UH, ITINERANT OPERATIONS. THAT'S THE DARK BLUE. AND THE I, THE IFR ITINERANT OPERATIONS ARE GENERALLY NOT A HUNDRED PERCENT, BUT GENERALLY REFLECTIVE OF JET AND TURBINE AIRCRAFT OPERATIONS. SO A LITTLE BIT DOWN FROM, FROM THE FOURTH QUARTER OF 21, BUT STILL PRETTY STRONG. UH, AGAIN, THE INSTRUMENT OPERATIONS ARE DOWN ABOUT 4%. UH, THEY'RE UP ALMOST 19% OVER THE FOURTH QUARTER OF FY 20. TOTAL OPERATIONS WERE UP SLIGHTLY OVER LAST YEAR. UH, AND THEN, UH, 5% OVER FY 20. AND THAT'S, THAT'S FOURTH QUARTER RESULTS. AND YOU CAN SEE THE NUMBERS, UH, ON THE SIDE. SO GOOD STRONG NUMBERS, UH, NOT QUITE AS GOOD AS AS THE FOURTH QUARTER OF 21, BUT STILL VERY GOOD INTERNATIONAL OPERATIONS WERE DOWN A LITTLE BIT. UH, AND JUST ONE NOTE ON THAT, THE ARRIVALS IS WHAT WE LOOK AT MORE. THAT'S WHAT ACTUALLY COMES IN AND CLEARS CUSTOMS DEPARTURES. WE ONLY GET NOTIFICATIONS IF IT'S A PART 1 35, UH, CHARTER FLIGHTS. SO IF IT'S A PART 91 PERSONAL OPERATION, THEY DON'T HAVE TO FILE THROUGH OUR CUSTOMS OFFICER. AND WE HAVE QUITE A BIT OF THOSE. SO, UH, THAT'S WHY YOU SEE SOME LOWER NUMBERS THERE. UH, THERE'S A LOT MORE CHARTER GOING OUT TOWARDS THE END OF THE PANDEMIC, OUR POST PANDEMIC, SO MAYBE NOT QUITE AS MUCH. SO THE INTERNATIONAL RIVALS WERE DOWN A LITTLE BIT, ABOUT 11% FROM FY 21, BUT THEY'RE UP 60% OVER THE FOURTH QUARTER OF FY 20. UH, AND THE DEPARTURES, AGAIN, THAT'S, THAT'S NOT A COMPLETE NUMBER. IT DOESN'T REFLECT ALL EVERYTHING THAT COMES IN AND GOES OUT, BUT, UH, IT IS AN INDICATOR. SO IT WAS DOWN ALMOST 50% FROM THE FOURTH QUARTER OF LAST YEAR, BUT UP 70% FROM THE FOURTH QUARTER OF FY 20. SO, UH, FOURTH QUARTER OF FY 21 WAS, WAS QUITE STRONG. UH, AND, UH, YOU KNOW, IT'S, IT'S, WE DID FAIRLY WELL COMPARED TO THAT, BUT NOT QUITE AS WELL. OOPS, SORRY. UH, FUEL FLOWAGE AGAIN. UH, JET A IS THE BLACK AND THE AVIATION GASOLINE IS THE BLUE ON THESE SLIDES. SO YOU SEE THAT MOST OF THE FUEL WE SELL HERE IS JET FUEL. UH, AGAIN, THE FOURTH QUARTER OF FY 22 WAS DOWN SLIGHTLY FROM FY 21. AND THAT'S KIND OF WHAT YOU WOULD EXPECT LOOKING AT THE DROP IN INSTRUMENT OPERATIONS CUZ THOSE INSTRUMENT FLIGHTS ARE THE JETS AND, UH, IF YOU HAVE A LITTLE BIT FEWER OF THOSE, THEY'RE NOT GONNA BE BURNING QUITE AS MUCH JET FUEL. SO THE JET A WAS DOWN ABOUT 5% FROM THE FOURTH QUARTER OF LAST YEAR, BUT IT'S AGAIN, UP 33% FROM THE FOURTH QUARTER OF FY 20. AVIATION GASOLINE WAS DOWN VERY SLIGHTLY, UH, FROM THE FOURTH QUARTER OF 21 UP VERY SLIGHTLY FROM THE FOURTH QUARTER OF 20. AND TOTAL FUEL FLOWAGE, AGAIN, THAT TRACKS PRETTY CLOSE WITH THE JED A BECAUSE THAT IS WHERE MOST OF OUR FUEL IS SOLD. UH, I WILL NOTE THAT, UH, RUNWAY, UH, AT LOVE FIELD, THAT CLOSED BEGINNING, UH, OR AT THE END OF APRIL OF 2021, REOPENED IN JUNE OR AT THE END OF JUNE OF 2022. SO AT THE END OF THE THIRD QUARTER, THAT RUNWAY REOPENED, WHICH HAS PROBABLY SOMETHING TO DO WITH THE FACT THAT OUR FOURTH QUARTER OF 22 WAS NOT QUITE AS GOOD AS THE FOURTH QUARTER 21 CAUSE WE WERE BEING HELPED QUITE A BIT BY THAT RUNWAY CLOSURE AT LOVE FIELD. SO THE FACT THAT WE ONLY LOST 5% IS ACTUALLY PRETTY GOOD WHEN YOU CONSIDER THAT, UH, THEY REOPENED THEIR RUNWAY AND IT JUST KNOCKED A LITTLE BIT OFF. AND, UH, I EXPECT US REALLY TO RECOVER SOME OF THAT GOING FORWARD. UH, NOW WITH GALAXY OPEN, UH, REAL ESTATE REVENUE IS BIG SPIKES IN THE FOURTH QUARTER OF 19. AND THE FOURTH QUARTER OF, UH, FY 22, THAT FY 19 NUMBER WAS THE MILLION DOLLARS THAT GALAXY PREPAID IN LEASE, UH, REVENUE UPFRONT. SO THAT'S WHAT CAUSED THE SPIKE THERE. AND SIMILARLY, IN THE FOURTH QUARTER OF FY 22, UH, THERE WAS A $635,000 PAYMENT FROM A Q R D, UH, WHICH WAS TO, TO PAY US FOR THE RESIDUAL VALUE OF THE TWO HANGERS THAT, UH, WERE GROUND LEASED THAT WE TOOK POSSESSION OF AND WROTE A NEW GROUND LEASE TO THEM. SO THERE WAS VALUE IN THOSE HANGERS BEYOND JUST A REGULAR, IF IT WAS AN UNAPPROVED GROUND LEASE WITH JUST BARE DIRT, WE WOULDN'T HAVE GOT THAT $635,000. BUT THE STRUCTURAL VALUE OF THAT, THEY'RE GONNA RENOVATE THOSE HANGERS, PUT A LOT OF MONEY INTO 'EM. BUT THERE WAS SOME RESIDUAL VALUE IN THERE THAT WE GOT PAID FOR. UH, SO GOOD NUMBERS ALL AROUND THERE. AND, UH, UM, YOU KNOW, IT'S COMPARED TO PREVIOUS YEARS, UH, QUITE A BIT HIGHER. SO THE REAL ESTATE REVENUE, WHICH IS THE, THE BULK OF OUR, OUR REVENUE, UH, ABOUT 70 TO 80% [00:35:01] WAS UP ALMOST 70% OVER BOTH OF THE PAST TWO FOURTH QUARTERS. UH, FUEL FLOWAGE FEES, SIMILAR TO THE FUEL VOLUMES WAS DOWN 5% FROM THE FOURTH QUARTER OF 21, BUT UP ALMOST 29% FROM THE FOURTH QUARTER OF FY 20. AND SO OUR TOTAL REVENUE IS KIND OF A MIX OF THAT IS UP, UH, ALMOST 55% FROM THE FOURTH QUARTER OF FY 21 AND, AND TWO THIRDS OVER FY 20. SO VERY GOOD NUMBERS, VERY STRONG RESULT. UH, ON THE REAL ESTATE PORTFOLIO, WE'VE GOT 34 GROUND LEASE PROPERTIES. WE STARTED THE YEAR WITH 37, SO THERE WERE SEVEN GROUND LEASE REVERSIONS THROUGHOUT THE YEAR, AND FOUR NEW GROUND LEASES WRITTEN. SO THERE'S A BIG TURNOVER IN THE GROUND LEASES. UH, AND YOU CAN SEE THAT OUR, OUR TOTAL REVENUE EXCEEDED OUR BUDGET BY ABOUT 3%. AND, UH, ONE OF THE NUMBERS IN HERE, IF YOU LOOK IN THE MIDDLE OF THE SLIDE T HANGER REVENUE, THERE WAS ACTUALLY A, A FORMULA ERROR IN OUR, IN OUR BUDGET. IT WAS ABOUT A $700,000 OVER PROJECTION OF WHAT WAS ACTUALLY IN THERE. THE, THE, INSTEAD OF TOTALING AT THE END OF THE 12 MONTHS, THE 12 MONTHS HAD THE TOTAL OF ALL THE 11 PRIOR MONTHS IN THERE, AND THAT WAS PUT IN THE BUDGET. SO ONE CELL GOT DELETED IN, IN THE, IN THE BUDGET AND IT WENT IN LIKE THAT. AND, UH, SO THERE WAS, THAT'S THE REASON WHY WE ONLY, UH, REALIZED 52% OF WHAT THE BUDGETED REVENUE THERE WAS ACTUALLY, IF WE'D CORRECTED THAT ERROR, IT WOULD'VE BEEN RIGHT ON TARGET FOR FOR THAT. AND, UH, WE OVERCAME THAT, UH, ERROR WITH, UH, THE A QR D GROUND LEASE, UH, PAYMENT OF $635,000 PLUS. WE HAD, UH, SIGNIFICANTLY HIGHER FUEL FARM REVENUE THAN WAS BUDGETED. NOBODY WOULD'VE PROJECTED THE YEAR THAT WE HAD IN FUEL SALES. SO, AND AGAIN, SEVEN GROUND LEASES, WHICH WAS REALLY, UH, ABOUT 20% OF THE TOTAL PORTFOLIO TURNED OVER, UH, CAME BACK TO US. AND, UH, WE, UH, UH, DISPOSE OF THOSE IN VARIOUS WAYS. UM, SO TO GET INTO THE FULL YEAR RESULTS, UH, AND LIKE I SAID, WE'VE NEVER HAD A YEAR LIKE THIS BEFORE. THE INSTRUMENT OPERATIONS WERE UP 21% COMPARED TO LAST YEAR. UH, AND YOU, YOU'RE GONNA SEE THAT REFLECTED IN THE FUEL FLOWAGE NUMBERS. UH, THEY'RE UP ALMOST 37% OVER THE PREVIOUS YEAR, F Y 20, UH, AND TOTAL OPERATIONS ARE, THEY'RE ONLY UP 11%, UH, OVER F Y 21, BUT STILL IT'S A, IT'S A PRETTY GOOD INCREASE. WE'RE A LITTLE OVER 122,000 OPERATIONS FOR THE YEAR. AND THAT INSTRUMENT OPERATION NUMBER, UH, AT THE BOTTOM THERE, 50,000, THAT IS A BIG NUMBER. THAT'S OVER 4,000 A MONTH, AND THAT'S PRIMARILY THE JETS AND TURBO PRO TRAFFIC, AND THAT'S OVER 40% OF OUR TOTAL TRAFFIC WAS INSTRUMENT. SO THAT'S, THAT'S A BIG NUMBER. UH, US CUSTOMS INTERNATIONAL ARRIVALS, UH, OF 27% OVER LAST YEAR, UP 88% OVER FY 20, WHICH WAS THE PANDEMIC YEAR. AND IT SHUT DOWN INTERNATIONAL TRAFFIC QUITE A BIT. BUT IF YOU LOOK BACK AT FY 18 AND 19, WE'RE A LITTLE OVER 400 BOTH OF THOSE YEARS. THAT WAS KIND OF WHERE WE HAD BEEN FOR MANY YEARS, WAS A LITTLE OVER 400 INTERNATIONAL RIVALS. AND YOU COULD SEE IN FY 22, WE WERE ALMOST 650, 646 AT THE END OF THE YEAR. SO THAT'S A REALLY SIGNIFICANT INCREASE EVEN COMPARED TO WHAT OUR NORMAL HAD BEEN. UH, AND FY 21 AT 500 WAS THE PREVIOUS BEST WE'D EVER SEEN. JET VOLUME UP ALMOST 30% OVER FY 21 AND UP TWO THIRDS OVER FY 20. AGAIN, FY 20 WAS DOWN BECAUSE OF THE PANDEMIC AGAS VOLUME WAS UP ABOUT THREE AND A HALF PERCENT OVER F Y 21 DOWN A LITTLE BIT FROM FY 20, WHICH, UH, DURING THE PANDEMIC, THE FLIGHT SCHOOLS, UH, PRETTY MUCH HAD THE FIELD TO THEMSELVES AND, UH, HAD STUDENTS IN THE PIPELINE WHO CONTINUED THEIR TRAINING. SO WE HAD A LITTLE BIT MORE, UH, FLIGHT TRAINING ACTIVITY AND A LITTLE MORE AGAS BURNING THAN WE WOULD NORMALLY HAVE HAD, UH, AS A RESULT OF THAT. AND, UH, IT'S TAKEN THEM LONGER TO RECOVER IN THE FLIGHT TRAINING, UH, PART OF THAT. SO TOTAL FUEL VOLUME, UH, UP 27.5% OVER LAST YEAR IN ONE YEAR. AND IF YOU LOOK AT THE, UH, THE TOTAL NUMBERS FY 21, WE WERE JUST UNDER SEVEN POINT A HALF MILLION GALLONS. FY 22, WE WERE OVER NINE AND A HALF MILLION GALLONS. THAT'S 2 MILLION GALLONS INCREASE IN ONE YEAR. THAT IS A CRAZY NUMBER. THERE'S A LOT OF AIRPORTS AROUND HERE THAT DON'T MOVE 2 MILLION GALLONS IN A YEAR. AND WE SAW A 2 MILLION GALLON INCREASE. UH, AND THAT'S WHY ONE OF THE ITEMS WE'RE BRINGING TO YOU LATER TONIGHT IS AN EXPANSION OF THE FUEL FARM. UH, PLANNING FOR THAT, UH, REAL ESTATE REVENUES UP 28% OVER THE PREVIOUS TWO YEARS. UH, MR. DYER'S BEEN DOING AN EXCELLENT JOB FOR US, AND IT TAKES A LONG TIME TO REALLY, UH, GET YOUR REAL ESTATE REVENUES, [00:40:01] UH, INCREASING. IT'S SOMETHING WHEN YOU WRITE 40 YEAR GROUND LEASES WITH JUST CPI INCREASES TO GET THOSE REVENUES TO INCREASE. AND AGAIN, A BIG PIECE OF THAT WAS THE $635,000 FROM A QRD, BUT THAT WASN'T ALL OF IT THOUGH, WAS JUST A, A BIG CHUNK. FUEL FLOWAGE FEES, AGAIN, UP 27% OVER LAST YEAR, UP 56% OVER FY 20 TOTAL REVENUE UP 28% FROM LAST YEAR. SO 7.24 MILLION TOTAL REVENUE FOR THE YEAR. AND SO AS A GENERAL AVIATION AIRPORT, WE'RE OPERATING WELL IN THE BLACK AND, UH, NOT MANY GENERAL AVIATION AIRPORTS CAN DO THAT. SO SOME OF THE HIGHLIGHTS FROM THE YEAR, WE HAD RECORD TOTAL REVENUE, UH, 7.24 MILLION. THE PREVIOUS BEST YEARS WERE FY 19. AND I'LL POINT OUT THAT FY 19 INCLUDED THE MILLION DOLLARS FROM GALAXY ON THEIR UPFRONT LEASE PAYMENT. AND FY 21 AND FY 18 WERE FAIRLY SIMILAR, ABOUT $5.6 MILLION. UH, SO EVEN TAKING OUT THE 600,635,000 WE'RE AT 6.6 MILLION. SO EVEN WITHOUT THE A QRD PAYMENT, WE'RE STILL VERY CLOSE TO RECORD NUMBERS THERE. UM, RECORD FUEL FLUIDS, THE BEST YEARS WE'D HAD PREVIOUSLY WERE IN THE EARLY TWO THOUSANDS WHEN WE HAD 160 HUNDRED 70,000 ANNUAL OPERATIONS. A LOT OF SMALLER AIRCRAFT, A LOT OF SMALLER JET AIRCRAFT THAT'S NOISIER AND BURNS A LOT, UH, A LOT MORE FUEL FASTER, UH, JUST SMALLER INCREMENTS, UH, AND RECORD CUSTOMS CLEARANCES AND, AND NOTHING ELSE WAS EVEN CLOSE TO THOSE FY 21 LAST YEAR AT 500, 506. AND BEFORE THAT FY 10, UH, FY 10, THAT 460 ARRIVALS WAS DRIVEN, UH, MOSTLY BY THE CASH FOR CLUNK PROGRAM AND THE AUTO PARTS. SO COMING THROUGH. SO A FANTASTIC YEAR THERE FOR, UH, MULTIPLE, UH, CATEGORIES. AND OVERALL THE BEST YEAR WE'VE EVER HAD. WE'VE ALSO GOT A LOT GOING ON. WE OPENED UP THE NEW CUSTOMS AND BORDER PROTECTION FACILITY AND YOU HEARD FROM MITCHELL WHAT A JOURNEY THAT WAS. THAT REALLY STARTED IN MAY OF 2015. UH, A LOT OF PLANNING, BUT THE AIRPORT STAFF OCCUPIED THE SECOND FLOOR IN MAY OF 2021. UH, WE CLEARED THE FIRST INTERNATIONAL ARRIVALS IN FEBRUARY, UH, AND FROM FEBRUARY TO THE END OF THE YEAR, WE CLEARED ALMOST 400 INTERNATIONAL ARRIVALS THROUGH THERE. SO WE REALLY HAD A GOOD YEAR. THE FACILITY HAS BEEN VERY WELL RECEIVED BY USERS AND BY CUSTOMS. THEY'VE ACTUALLY BROUGHT PEOPLE HERE FROM OTHER AIRPORTS TO SHOW US THIS IS HOW YOU NEED TO DO IT. THE ADDISON DID IT RIGHT, SO, UH, THAT'S GOOD. THEY, THEY, THEY ASKED COULD THEY GO SEE THE ONE AT FORT WORTH, MEAM AND NOT TO THROW MEE HIM UNDER THE BUS. THEY DID WHAT THEY COULD, BUT THEY SAID, NO, DON'T GO LOOK AT MEAM. GO LOOK AT ADDISON. SO , UH, GALAXY FBO HAS BEEN COMPLETED AND IS NOW OPEN. UH, AND, UH, WHILE IT DIDN'T HAPPEN IN, IN UH, FY 22, I THINK YOU WERE ALL THERE FOR THE, UH, UH, THE FIFA WORLD CUP TROPHY TOUR. I BELIEVE THAT'S THE FIRST AIRBUS THAT'S EVER LANDED AT ADDISON. WE'VE HAD BOEING 7 37, BUT I DON'T THINK WE'VE EVER HAD AN AIRBUS LAND BEFORE. UH, VERY NICE TO SEE IN A VERY GREAT EVENT AND, UH, REALLY CAPPED OFF A GREAT WEEK FOR GALAXY TO FORMALLY ANNOUNCE THEIR OPENING. AND, UH, WE EXPECT GREAT THINGS TO THEM CAUSE THEY GOT A GREAT FACILITY, HUGE RAMP, BIG HANGERS, AND, UH, THEY'RE STARTING TO FILL 'EM UP PRETTY FAST. SO IT'D BE INTEREST TO SEE WHAT GOING FORWARD. UH, ATLANTA AVIATION IS IN PLAN REVIEW. I THINK WE'RE SCHEDULED FOR DR. DRC TO LOOK AT SOME OF THIS COMING UP. UH, BUT THIS WAS A GROUND LEASE THAT WAS APPROVED IN, UH, AUGUST OF 2020 AND THEY'RE TAKING SOME TIME WITH THE DESIGN. UH, ONE OF THE THINGS THAT WE'VE ADDED HERE IS YOU SEE THOSE THREE MAGENTA CIRCLES, THOSE ARE CONNECTORS TO THE TAXIWAYS. AND WE'RE GOING TO COOPERATE WITH ATLANTIC IN ORDER TO RECONSTRUCT THOSE TWO, UH, BETTER STANDARDS TO SERVE THE SIZE OF AIRCRAFT THAT ARE GONNA BE COMING IN. UH, SO THAT THAT WILL BE PART OF THE REDEVELOPMENT AND THOSE LIKELY WE'LL DO THOSE WITH A DEVELOPER PARTICIPATION AGREEMENT. SO THAT WILL PROBABLY BE COMING FORWARD, UH, LATER, UH, THIS YEAR. UM, AGAIN, GROUND LEASE REVVERS, UH, WE HAD SEVEN LAST YEAR. UH, THOSE WERE THE TOY BARN HANGER ON, UH, GLEN CURTIS, WHICH TRANSITIONED TO A COMMERCIAL LEASE. UH, THERE WERE THE TWO HANGERS AT 45 70 AND 45 72 CLAIRE CHANAL, WHICH WERE PART OF THE KAVANAUGH FLIGHT MUSEUM COMPLEX. THOSE TRANSITIONED FROM GROUND LEASES TO COMMERCIAL LEASES TO KAVANAUGH. UH, THERE ARE THE TWO SEPARATE GROUND LEASES ON HANGERS AT 45 82 AND 45 84 CLAT, WHICH BECAME THE A QR D GROUND LEASE. UH, AND THEN WE HAD A THROUGH THE FENCE GROUND LEASE FOR THE RAMP SERVING A FACILITY ON THE WEST SIDE OF THE, THE AIRPORT THAT, UH, THEY JUST NO LONGER DO, UH, AIRCRAFT OPERATIONS FROM THAT PROPERTY. SO THAT JUST EXPIRED. [00:45:01] UH, AND THERE'S BEEN NO RENEWAL ON THAT. SO THAT WAS ONE THAT JUST TURNED OVER. AND NOW WE OWN A PIECE OF RAMP THAT CONNECTS TO A BUILDING THAT DOESN'T HOUSE AIRPLANES. SO WHO KNOWS WHAT MIGHT BE DOWN THE ROAD FOR THAT. BUT THERE WAS ANOTHER THROUGH THE FENCE, GROUND LEASE RAMP FOR THE FACILITY ON ADDISON ROAD, UH, WHICH IS THE EAST END OF TAXI LANE UNIFORM, UH, WHERE WE ENTERED INTO A DEVELOPER PARTICIPATION AGREEMENT AND GOT SOME ADDITIONAL, UH, PAYMENT THAT BELONGED TO THE AIRPORT RECONSTRUCTED AS PART OF THAT. AND THEY GOT A 40 YEAR GROUND LEASE AND SOME NICE NEW RAMP OUT OF THAT. UH, I WILL NOTE THAT WE HAVE FOUR MORE GROUND LEASES THAT ARE GOING TO REVERT TO AIRPORT CONTROL THIS YEAR. SO A LOT OF THINGS WERE BUILT IN THE EARLY EIGHTIES, UH, ENTERED INTO 40 YEAR GROUND LEASES. AND THOSE GROUND LEASES ARE MATURING AND EXPIRING. SO WE'RE SEEING A BIG, UH, BUNCH OF THESE. WE'LL NEVER SEE AS MANY AS SEVEN AGAIN, I HOPE, KNOCK WOOD CAUSE THAT WAS PRETTY ROUGH. BUT FOUR IS STILL A PRETTY BIG NUMBER WITH A LOT COMING BACK TO US IN THIS YEAR. SO THE NEW GROUND LEASES THAT WE DID IN FY 22, THEY'RE ALL THE JUNE 28 COUNCIL MEETING AND I HOPE YOU'LL REMEMBER THOSE. BUT THE SCARBOROUGH WAS THE, THROUGH THE FENCE RAMP RECONSTRUCTION. THERE WAS THE A QR D EXPANSION, THEIR SKY SQUARED, WHICH THEY'RE GONNA BUILD A NEW 31,000 SQUARE FOOT HANGAR AND THEY STARTED WORK THERE. AND OF COURSE, SKY HARBOR WITH THE SIX ACRE LEASE IN THE FORMER JET PORT SITE, THEY'RE GONNA BUILD SIX HANGERS THERE TOTALING OVER A HUNDRED THOUSAND SQUARE FEET AND THEY'RE CHOMPING AT THE BIT TO GET STARTED. SO THEY'RE ALSO IN PLAN REVIEW. SO THIS IS THE A QR D PROJECT, UH, AT THE EAST END OF UNIFORM. AND THIS IS THE, UH, SCARBOROUGH RAMP WITH A COUPLE OF PHOTOS THERE. JUST TO REMIND YOU OF WHAT WAS GOING ON THERE. HERE'S THE SKY SQUARED AND WHERE THAT'S GONNA BE DEVELOPED. AND THEN HERE IS THE SKY HARBOR AND, UH, THE FAR RIGHT THERE DEMOLITION OF THE OLD JETPORT BUILDING TO MAKE WAY FOR THIS. SO, UM, THAT'S WHERE WE ARE WITH THE AIRPORT. WHEN WE WANT TO BUILD SOMETHING NEW, WE HAVE TO SCRAPE SOMETHING OLD. SO WE'RE IN REDEVELOPMENT MODE. ANOTHER PROJECT THAT WE DID WAS A RUNWAY REDESIGNATION AND PAVEMENT PRESERVATION. SO THE PROJECT FUNDING WAS AN F Y 20, UH, FEDERAL GRANT. UH, IT WAS ORIGINALLY 1.47 MILLION, BUT UH, THE BIDS ACTUALLY CAME IN BELOW, UH, WHAT WAS EXPECTED, WHICH IS UNUSUAL IN THIS ENVIRONMENT. SO WE WERE A LITTLE OVER A MILLION DOLLARS. WE GOT CRACKS SITTING ON THE RUNWAY AND TAXIWAY OFF AND ALL THE CONNECTOR TAXIWAYS. WE GOT SEAL COATS ON ALL OF THOSE PAVEMENTS. UH, AND WE CHANGED THE RUNWAY DESIGNATION FROM 1 5 33 TO 1 6 34 BECAUSE OF THE CHANGE IN MAGNETIC VARIATIONS CUZ THE NORTH POLE IS ON ITS WAY TO SIBERIA . UH, AND THAT CHANGES THE MAGNETIC HEADING WHEN YOU'RE ON THE GROUND HERE. AND SO WE'VE REPLACED, UH, SOME AIRFIELD GUIDANCE SIGNS. YOU SEE THE CENTER PICTURE THERE AS THEY'RE, THEY'RE CHANGING OUT THE OLD 3 3 1 5 SIGN PANELS WITH 34 16 PANELS. UH, AT THE FAR LEFT YOU SEE SOME CRACK CEILING OPERATIONS AND AT THE FAR RIGHT IS ONE OF THE THERMOPLASTIC, UH, UH, SURFACE PAINT AND HOLDING POSITION MARKETS THAT WE PUT IN TO ENHANCE SAFETY AT THE INTERSECTIONS WITH THE RUNWAY AND TAXIWAYS. SO THAT PROJECT IS FORMALLY CLOSED OUT, UH, IN THE DESIGN PHASE NOW, TAXIWAY BRAVO EXTENSIONS, THE PLAN IS TO CONNECT TAXIWAY BRAVO TO THE RUNWAY AT THE SOUTH END AND TO EXTEND TAXIWAY BRAVO NORTH. AND UH, ORIGINALLY THIS WAS TO EXTEND A TAXIWAY GOLF, BUT UH, FOR VARIOUS REASONS THAT DOESN'T MAKE SENSE. AND SO WE'RE PROBABLY GONNA PUSH THAT ALL THE WAY UP TO TAXIWAY HOTEL. UH, THIS WILL OPEN UP, UH, A PARCEL THAT WE OWN ON THE WEST SIDE FOR FU FOR DEVELOPMENT. AND WE'VE GOT SOMEBODY THAT WE'RE, UH, TALKING TO TO REDEVELOP THAT SITE. UH, VERY INTERESTED IN THAT. UH, THE, THE ISSUE RIGHT NOW WITH THIS ONE IS THAT, UH, UM, THE COST ESTIMATES ON WHAT THIS PROJECT ARE WITH THE PRICE OF CONCRETE AND OTHER CONSTRUCTION MATERIALS IS MORE THAN WHAT THE GRANT FUNDING IS THAT IT'S AVAILABLE. UH, SO WE MAY HAVE TO LOOK AT EITHER, UH, ALTERING THE SCOPE OR ACROSS OUR FINGERS AND HOPE FOR CONCRETE PRICES TO COME DOWN A LOT , WHICH IS NOT A GOOD STRATEGY. UH, WE DO HAVE, UH, TWO YEARS OF BIPARTISAN INFRASTRUCTURE LAW GRANTS THAT ARE ENTITLEMENT GRANTS THAT ARE ABOUT THREE QUARTERS OF MILLION DOLLARS EACH THAT WE CAN APPLY TO THIS PROJECT THAT STILL MAY NOT BE ENOUGH TO GET THE FULL SCOPE THAT WE'D HOPE TO GET OUT OF THIS. SO WE'RE HAVING A MEETING MONDAY TO START DISCUSSING CONTINGENCIES AND WHAT WE'RE GOING TO DO, AND WE'VE GONE TO FA AND TECH DOT AND ASKED FOR MORE MONEY. UH, THEY, TECH DOT HAS CERTAINLY SAID THEY DON'T HAVE MORE MONEY. FAA MAYBE HAS MORE MONEY, BUT THEY'RE PROBABLY NOT WANTING TO GIVE IT TO US, BUT WE'LL KEEP ASKING. SO WE ANTICIPATE THAT THE FINAL DESIGN WILL BE COMPLETED IN JANUARY OF 2023. AND THAT, UH, WE WILL GO OUT FOR BIDS IN MARCH OF 23. WE'VE BID OPENING IN MAY OF 23 IN CONSTRUCTION TO START SOON THEREAFTER. AND WE'D LIKE TO GET THIS DONE AS FAST AS WE CAN TO, UH, MAKE THAT LAND AVAILABLE ON THE WEST SIDE, [00:50:01] UH, FOR REDEVELOPMENT. AND IF WE GET A GROUND LEASE GOING ON THAT, THAT MAY BE HAPPENING AT THE SAME TIME WE'RE BUILDING THE TAXIWAY, THEY MAY BE BUILDING THEIR FACILITY OVER THERE. UH, WE HAVE AN AIRPORT MASTER PLAN UPDATE PENDING. UH, THE LAST TIME WE DID THIS WAS 2016, WE COMPLETED IT. WE ACTUALLY STARTED IT IN 2014. IT'S A LENGTHY PROCESS, UH, AND THE GRAPHIC YOU SEE THERE IS PART OF THE LAND USE THAT, UH, LABELS ALL OF OUR LEASES AND PROPERTIES AND, UH, THEY WERE COLOR CODED BY WHEN ALL THOSE LEASES WERE EXPIRING. SO THE RED COLORS ARE THINGS THAT, UH, COME BACK TO US. AND THE YELLOW WERE THINGS THAT WERE EXPIRING IN THE NEXT FEW YEARS. AND MOST OF THOSE LEASES HAVE COME BACK TO US OR WILL COME BACK TO US SHORTLY. UH, THE PURPLE COLOR THERE IS LEASES THAT ARE LONGER TERM THAT, UH, WE DON'T EXPECT TO EXPIRE IN THE 10 YEAR PLANNING PERIOD. ONE OF THE FIRST THINGS WE'LL HAVE TO DO IS SELECT A PLANNING CONSULTANT. WE'VE ALREADY HAD A COUPLE CONSULTANTS VISIT AND INTER EXPRESSED INTEREST. WE'LL GO THROUGH A SIMILAR, UH, SELECTION PROCESS LIKE WE DID FOR THE ENGINEERING, UH, PROJECTS. SO TECH STOP LIKES TO SEPARATE PLANNING AND ENGINEERING. UH, THEY DIDN'T USED TO, BUT NOW THEY DO. SO WE HAVE TO GO THROUGH SEPARATE SELECTION PROCESSES AND WE'LL PUT TOGETHER A, A STAFF TEAM TO UH, UH, REVIEW AND EVALUATE THOSE, UH, UM, SUBMISSIONS ON THAT. IT'S BASICALLY AN RFQ TYPE PROCESS. UH, SOME SCOPE ITEMS THAT WE'RE GOING TO ADDRESS IN THIS MASTER PLAN INCLUDE, UH, ALTERNATIVES ANALYSIS FOR THE RUNWAY PROTECTION ZONES, WHICH IS AREAS OFF THE END OF THE RUNWAY. UH, FA HAS EXPRESSED CONCERNS ABOUT THE LAND USES IN THE RUNWAY PROTECTION ZONES. UH, THEY WOULD REALLY LIKE TO SEE THEM EMPTY AND THAT'S REALLY NOT GOING TO HAPPEN HERE BECAUSE SOME OF THE PROPERTIES ARE RESTAURANTS AND ESTABLISHED BUSINESSES THAT HAVE BEEN THERE A LONG TIME. UH, THERE ARE THINGS THAT CAN BE DONE THAT THAT UH, WOULD BE LESS EXPENSIVE THAN TRYING TO SHUT DOWN RESTAURANTS AND SCRAPE THE RESTAURANTS AND BUY THE LAND. AND IT'S JUST NOT, THAT'S JUST NOT FEASIBLE. WE'VE ALREADY TOLD THE FA THAT AND, AND NO UNCERTAIN TERMS, UH, AIRPORT STORM WATER DRAINAGE STUDY UPDATING THE AIRPORT GIS AND UH, DETERMINING NEW NOISE EXPOSURE CONTOURS ON THE LAND USE MAP AND THE AIRPORT LAYOUT DRAWING SET. AND, UH, WE PREVIOUSLY LOOKED AT, UH, INCLUDING A AIRPORT PART ONE 50 NOISE STUDY WITH THIS, WE DON'T HAVE TO DO THAT IF WE AREN'T SPENDING MONEY TO EITHER ACQUIRE LAND FOR NOISE MITIGATION PURPOSES OR INSULATE BUILDINGS FOR NOISE MITIGATION. AS LONG AS WE'RE NOT SPENDING FEDERAL MONEY ON, ON NOISE MITIGATION PROJECTS, WE DON'T HAVE TO DO THE FULL PART ONE 50 STUDY, WE CAN STILL COLLECT ALL THE DATA AND DRAW NEW NOISE CONTOURS AND JUST SAY, HERE'S OUR NEW NOISE EXPOSURE MAPS. WE AREN'T GONNA SPEND FEDERAL MONEY ON, ON NOISE MITIGATION. WE'VE GOT SOME PRELIMINARY, UH, NOISE MODELING THAT WE'VE ACTUALLY DONE LOOKING AT THE, THE T O D CUZ THERE ARE SOME CONCERNS ABOUT THAT. THE NOISE CONTOURS, I CAN TELL YOU WITH VERY HIGH CONFIDENCE ARE GONNA SHRINK A LOT. SO VERY GOOD NEWS FOR THAT. AND KEN AND I NEED TO GET TOGETHER AND TALK ABOUT AIRPORT ZONING OVERLAY AND THAT THAT WILL BE ALSO ON THERE. UH, AND THAT IS THE END OF MY PRESENTATION, SO IF THERE'S ANY QUESTIONS WE'LL BE HAPPY TO ENTERTAIN. DON'T HAVE A QUESTION, BUT UH, HAVE A GOOD COMMENT BECAUSE OVER THE YEARS WE HAVE MADE SO MUCH IMPROVEMENT TO THIS AIRPORT. SO IF I DRIVE AROUND COMPARED TO OTHER G AIRPORT, IF NO COMPARISON. SO, UH, ALSO WITH CONVERSION OF CONTRACT LABOR TO IN-HOUSE STAFF LIKE YOUR AND HAVE SAVED US TREMENDOUS MONEY, YOU KNOW, EVERY YEAR. I MEAN AS FAR AS, SINCE I REMEMBER IN THE PAST, YOU KNOW, WE GIVE YOU, UH, THE UH, BONUS BASED ON THE PERFORMANCE. SO NOW WE SAVE ALL THE MILLION DOLLARS BY CONVERTING YOU INTO IN HOUSE. SO, UH, I APPLAUD YOU ALL BECAUSE IT MADE ME FEEL PROUD, YOU KNOW, EVEN THOUGH THE SOMEDAY AND WHEN I SEE GALAXY AND I FEEL THAT'S GREAT, GREAT DEVELOPMENT, I THINK, UH, IT WILL BRINGING EVEN MORE INTERNATIONAL FLIGHT AND A LOT OF BIG JET IN, YOU KNOW, AND I THINK COMPETITION IS ALWAYS HEALTHY, RIGHT? COMPETITION. SO I BELIEVE MIDDLE AIR WILL DO EVEN BETTER AND THEN CANNOT SEE, WILL INCREASE THE SALES. AND THEN ATLANTIC IS EXPANDING, SO EVERYBODY DOING BETTER. THIS IS A MARKER. EVERYBODY CAN BE MORE SUCCESSFUL. [00:55:01] YEAH. BIGGER PIE. YEAH. ANYTHING ELSE? SO, YEAH, SO, UM, SO YOU HAD THAT MUCH FUEL FLOW BACK IN THE EARLY TWO THOUSANDS? YEAH. UH, AND ABOUT A MILLION GALLONS A YEAR OF AGAS COMPARED TO NOW WE DO ABOUT 650,000. SO A LOT OF IT WAS SMALLER PLANES. WE HAD A LOT OF CARGO OPERATIONS USING L 20 FIVES AND FALCON TWENTIES. YEAH. WHICH THE JOKE ABOUT THOSE AIRPLANES, THEY'RE VERY EFFICIENT AT TURNING JET FUEL INTO NOISE. YEAH. SO WE'RE ACTUALLY KIND OF GLAD THAT WE DON'T HAVE THOSE ANYMORE. THE AIRPLANES THAT WE DO HAVE NOW ARE A LOT QUIETER. UH, THEY'RE A LOT MORE FUEL EFFICIENT, BUT THEY'RE BIGGER AND LONGER RANGE AND THEY TAKE BIGGER FUEL LOADS. YEAH. LIKE YOU SAY, QUIETER, MORE EFFICIENT. SO OUR INTERNATIONAL OPERATIONS, WE HAD ONE AND A HALF MONTHS LESS THAN A FULL YEAR. CAUSE IT OPENED IN, I MEAN THE, THE NEW CVP C UH, THE THAT'S RIGHT. NEW FACILITY. RIGHT. UH, AND YOU STILL KILLED THE RECORD FOR INTERNATIONAL OPERATIONS? WELL, WE WERE STILL HANDLING INTERNATIONAL OPERATIONS, SO WE, WE DID STILL HAVE THEM JUST IN THE NEW FACILITY OPENED KIND OF NOT IN THE SORT OF, IN THE MIDDLE OF THE YEAR, BUT, BUT ALMOST TWO THIRDS OF THE OPERATIONS WE HAD WERE IN THE NEW FACILITY. THAT'S SIGNIFICANT. THAT'S, THAT'S A LOT OF OPERATIONS. UM, HOW MUCH OF THAT WAS, UH, OFFSET FROM, UH, LOVE FIELD? I THINK PROBABLY QUITE A BIT OF IT WAS, UH, HOW MUCH IT'S, IT'S DIFFICULT TO SAY RIGHT NOW. UM, WE'LL SEE YOU NEXT YEAR. WE, WE DID HAVE A, A TENANT MOVE UP HERE FROM LOVE FIELD THAT IS SO FAR SINCE OCTOBER 1ST, I THINK THEY'VE DONE SEVEN INTERNATIONAL TRIPS. UM, SO IT'S GOOD TO HAVE THEM AND THEY'RE GONNA ADD TO OUR NUMBERS. UH, AND HAVING THAT FACILITY HAS BEEN, YOU KNOW, VERY GOOD FOR THEM. UM, ORLANDO CAME CLOSE TO GETTING THEM INTO ADDISON, BUT THEY WOUND UP IN FARMER'S BRANCH A LITTLE SOUTH OF US, SO IT'S CLOSE, BUT WE GOT THEIR FLIGHT DEPARTMENT, SO THAT'S GOOD. SO ON THE T HANGER, UH, EXCEL ERROR, THE 700 K DIFFERENCE, SO THAT WAS 700,000 MORE REVENUE THAT WE, YOU HAD EXPECTED. SO YOU HAD A BUDGET MORE OF 700,000? YEAH. WHAT WAS THAT SPENT ON? I MEAN, NO, WE ACTUALLY, THAT WAS, THAT WAS REVENUE BUDGET. THE, THE NUMBER SHOULD HAVE BEEN ABOUT 700,000 TOTAL. AND IT CAME IN ON THE BUDGET. WE HAD BUDGET AT 1.4 MILLION. SO, UM, WE ACTUALLY MADE WHAT WE SHOULD HAVE MADE ON IT. IT WAS JUST, IT WAS JUST A FORMULA ERROR AND A SPREADSHEET THAT WE USED TO PROJECT OUR REVENUE. SO, YOU KNOW, IT'S, IT WAS FAN OF MONEY . YEAH. SO IT SEEMED LIKE, I'LL HAVE TO GO BACK AND LOOK. I MUST HAVE MISSED. BUT AS FAR AS THE REVENUE THAT WE GENERATED IN LAST YEAR, THAT BASICALLY GOES INTO THE AIRPORT FUND AND, AND IT'S AVAILABLE FOR CAPITAL IMPROVEMENTS, WHICH THERE'S QUITE A BIG NEED FOR THOSE KIND OF THINGS. AND DEPENDING, UH, ON HOW THE BIDS COME ON, TAXIWAY BRAVO, AND WHAT THE SCOPE OF THAT PROJECT EVENTUALLY WINDS UP BEING, WE MAY HAVE TO USE MORE OF OUR OWN MONEY TO MAKE THAT HAPPEN, WHICH IT'S A DECISION WE'LL HAVE TO MAKE, UH, IF, IF IT'S WORTH IT TO US NOW TO, TO GET THAT FULL SCOPE VERSUS MAYBE CUTTING SOME SCOPE AND LOOKING FOR FUTURE GRANTS TO, UH, OFFSET THAT. NO, I ECHO WHAT AMER HOUSE SAID. THE AIRPORT IS A CROWN JEWEL. IT IS. YOU GUYS ARE DOING A GREAT JOB. IT'S, THERE'S NOT A LOT OF COMPARISON. GREAT JOB, MAYOR. I'D LIKE TO MAKE A COMMENT. YES. QUICKLY. I WILL MAKE IT QUICKLY. UH, I JUST WANNA MAKE SURE THAT WE ALL REALIZE THAT THE, ALL THE THINGS THAT ARE HAPPENING AT THE AIRPORT ARE NOT AN ACCIDENT. , OUR, OUR STAFF AND THE OPERATORS OF THE AIRPORT IN NEWER STAFF HAVE, HAVE WORKED HARD TO PUT THE LESSONS LEARNED FROM PAST EXPERIENCE THERE AT THE AIRPORT. AND, UH, MOVING, MOVING, UH, DOING GOOD TO MOVE US FORWARD. UM, AGAIN, THEY ARE WELL THOUGHT OUT, DELIBERATE DECISIONS BASED ON INFORMATION THAT WE HAVE, AND THAT'S HOW WE DO A LOT OF THINGS WITHIN TOWN, AROUND TOWN. SO, UH, I APPLAUD 'EM FOR THAT AND APPRECIATE IT. GREAT. THANK YOU. DONE. RIGHT. ITEM [3. Present and Discuss 2023 Board and Commission Appointments, Procedure, and Timeline.] THREE, PRESENT, DISCUSS 2023 BOARD AND COMMISSION APPOINTMENTS, PROCEDURE AND TIMELINE. IRMA, MAYOR AND COUNCIL. IRMA PARKER, CITY SECRETARY, AND I'M SORRY, I CAN'T DO IT AS A, A GOOD, UH, PROGRAM AS HE COULD WITH THE JOKES IN THERE, BUT MINE'S KIND OF DULL. IT'S THE APPOINTMENTS FOR, UH, THIS COMING THIS YEAR. UH, HISTORICALLY, THE CITY COUNCIL HAS REVIEWED THE STANDING BOARD AND COMMISSION MEMBERSHIP IN THE LAST QUARTER OF EACH CALENDAR YEAR. UH, [01:00:01] STAFF WILL PRESENT THE CURRENT MEMBERSHIP AND REQUEST DIRECTION FROM THE COUNCIL ON APPOINTMENT PROCESS TO INCLUDE, UH, THAT EACH COUNCIL MEMBER APPOINTS A MEMBER TO EACH RESPECTIVE BOARD, UM, WITH THE ELECTION, UH, COUNCIL MEMBER GARDNER AND RESNIK. UM, WE NEED TO FIGURE OUT WHERE, WHAT PLACE THAT THEY WOULD BE IN PLACE, ONE OR THREE THAT WERE CURRENTLY HELD BY COUNCIL MEMBER WILLISON AND COUNCIL MEMBER WALDEN. UH, THE PLACE HAS NO SIGNIFICANCE, EXCEPT THAT WAS A WAY TO COORDINATE AND KEEP RECORD OF WHO WAS AT WHAT, UH, POSITION. UM, AND THEN FOR, FOR THE, UM, UH, APPLICATIONS, WE WILL POST, UH, THOSE APP, THE, UH, NOTICE THAT WE WILL BE TAKING APPLICATIONS STARTING FRIDAY. IT'LL BE IN THE NEWSLETTER AND POSTED ONLINE. UM, AND MARY WILL BE TAKING CARE OF THAT. AND THEN WE'LL MAKE THE DEADLINE ON THE 30TH AND A LETTER WILL BE SENT TO EACH OF THE MEMBERS THAT WHOSE TERM IS EXPIRING OR THEY'RE OUT FOR REAPPOINTMENT, UH, SO THAT WE CAN PROVIDE THAT INFORMATION TO Y'ALL AT THE TIME OF, UH, APPOINTMENT IN DECEMBER, OUR ONLY COUNCIL MEETING IN DECEMBER. SO I, I COULD NOT FIND ANYWHERE WHERE, UH, THERE WAS ANY KIND OF HISTORICAL DATA THAT SAID HOW Y'ALL, UH, UH, POINTED THE PEOPLE TO WHEN THERE WAS TWO OPENINGS. WE'VE ONLY HAD ONE. UH, BUT I WANTED TO HAVE SOMETHING DOCUMENTED IN THE MINUTES AS WELL SO THAT, UH, BECAUSE IN MAY WE'LL HAVE THREE, WE KNOW. AND SO IF THERE'S, IF Y'ALL WANNA SET SOME KIND OF, UH, POLICY, UH, THIS WOULD BE THE TIME TO DO IT. ACTUALLY, THERE'S NO EXACT POLICY FOR WHO TAKE OVER WHOM BECAUSE THEY WERE, UH, ELECTED THE SAME TIME. YOU KNOW, IT'S NOT LIKE AN EXPIRED TERM, SOMEBODY FAILING SOMEONE. SO FOR SURE, YOU KNOW, HE OR SHE TAKE OVER THE, THAT POSITION. SO, UH, IT'S AN OPPORTUNITY. UH, YOU YOURSELF, YOU TAKE OVER MARLIN WILSON. YOU TAKE OVER, UH, PAUL WOODEN. I THINK THAT'S, THAT'D BE GOOD. THERE'S NO CONFLICT. OKAY. THAT SOUNDS GOOD. AND I'LL, THAT'S EASY. THAT'S HOW IT WAS SETTLED. SECOND CHOICE WAS FLIP A COIN, THAT'S THE OTHER ONE. AND THEN, AND THEN, AND THEN YOU HAVE THREE. YOU CAN'T FLIP A COIN. SO MARY WILL POST THOSE APPLICATIONS FOR THOSE POSITIONS. THEN WE WILL DO THE APPOINTMENT ON DECEMBER 13TH. YES, SIR. AND I WILL HAVE, UH, WHEN WE CLOSE OUT ON THE 30TH, I WILL, UH, SUBMIT TO COUNSEL ALL OF THE APPLICATIONS THAT WE HAVE. ALL RIGHT. CAN YOU REPEAT THAT? CAN YOU REPEAT THAT? JUST FOR THE RECORD? WHO'S TAKING WHO, WHICH ONE? DARREN TAKEOVER NUMBER ONE POSITION, WHICH IS MARTIN WILSON. ALI RENIK. TAKE OVER. PAUL WOOD'S NUMBER THREE POSITION. THANK YOU. THANK YOU. SO THANK ANY APPOINTMENTS RELATED IS YOU ARE NUMBER ONE AND I NUMBER THREE, IS THERE ANY OTHER SUGGESTIONS OF THINGS THAT YOU WOULD LIKE, UH, FOR US TO INCLUDE WITH THE APPOINTMENTS OR ANYTHING? NOPE. OKAY. THANK YOU. THANK YOU. SO I'D LIKE TO SAY YOU'VE ALREADY PROVIDED THE, UH, CITIZENS CANDY INFORMATION PREVIOUSLY. LAUREN DID. THANK YOU. THANK YOU. ALL [ Announcements and Acknowledgments Regarding Town and Council Events and Activities Discussion of Meetings / Events] RIGHT. UM, I'D LIKE TO INVITE, UH, INTERIM CITY MANAGER, KHOR TO MAKE SOME, UH, ANNOUNCEMENT. THANK YOU, MAYOR. GOOD EVENING, MAYOR AND COUNCIL. UH, I HAVE TWO ANNOUNCEMENT TO MAKE, UH, HOLIDAY IN THE PARK. ADD A RESIDENT ARE INVITED TO A HOLIDAY CELEBRATION ON SUNDAY, DECEMBER 4TH FROM 10:00 AM TO 1:00 PM AT HUDSON CIRCLE PARK. RESIDENT WILL ENJOY CHRISTMAS MUSIC, FOLLOWS WITH SANTA A HOLIDAY MARKETPLACE ACTIVITIES FOR CHILDREN AND MORE ADMISSION IS FREE. HOWEVER, GUEST RSVP ONLINE BY NOVEMBER 22ND IN ORDER TO RECEIVE THEIR COMPLIMENTARY MEAL AND KEEPSAKE. FOR THOSE WHO MISS THE DEADLINE MAY STILL ATTEND AND ENJOY THE F UH, FESTIVITIES. FOR MORE INFORMATION RESIDENT, UM, AND THE RSVP, THEY COULD VISIT THE WEBSITE AT PURCHASE START NET SLASH HOLIDAY 2022. THE SECOND ITEM IS DUE TO THE CONFLICT WITH THE THAN HOLIDAY, THE CITY COUNCIL WILL NOT MEET ON NOVEMBER 22ND. THE NEXT REGULAR SCHEDULED CITY COUNCIL MEETING WILL TAKE PLACE ON DECEMBER 13TH. THAT'S IT. MAY THANK YOU. IMA, DO WE HAVE ANYBODY REQUEST FOR SPEAKING IN THE PUBLIC COMMENT? NO, SIR, WE DO NOT. ALL RIGHT, THANK YOU. ALL [ 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.] RIGHT. I HAVE A CONSENT AGENDA FROM FOUR 12. DO WE HAVE ANYTHING, WANT [01:05:01] TO BE TOLD? SO, ITEM FOUR TO 12 AND MOVE FOR APPROVAL. MAYOR. MOTION MADE BY A SECOND BY WILLER OR IN FAVOR, PLEASE SAY AYE. THANK YOU. [13. Hold a Public Hearing, Present, Discuss, and Consider Action on an Ordinance Approving a Special Use Permit (SUP) for Property Located at 5100 Belt Line Road, Suite #430 that is Currently Zoned Planned Development (PD), Through Ordinance Nos. O12-002 and O20-08, to Allow a Restaurant with the Sale of Alcoholic Beverages for On-Premises Consumption. Case 1859-SUP/5100 Belt Line Road, Suite #430 (Hawkers).] REGULAR ITEM ITEM NUMBER 13, FOR THE PUBLIC HEARING PRESENT, DISCUSS AND CONSIDER ACTION ON ORDINANCE APPROVING A SPECIAL USE U FOR PUBLIC, LOCATED AT A 5,100 BARREL ANGLES, SUITE FOUR 30, THAT IS CURRENTLY ZONE PLANT DEVELOPMENT PD THROUGH ORDINANCE NUMBER 0 2 2 AND 0 2 0 0 8 TO ALLOW RESTAURANT WITH THE SALE OF ALCOHOLIC BEVERAGES FOR ON PREMISE CONSUMPTION. CASE NUMBER 1 8 5 9 U 5,100 YORK SUITE FOUR 30. YOU KNOW, HAWKERS. GOOD EVENING, MARION CITY COUNCIL. KEN SCHMIDT, DIRECTOR OF DEVELOPMENT SERVICES FOR THE TOWN OF ADDISON. SO THIS REQUEST IS FOR A, UH, PROPOSED RESTAURANT WITHIN THE VILLAGE ON THE PARKWAY DEVELOPMENT. UH, SUITE FOUR 30 IS IN THE SOUTHEAST QUADRANT OF THE PROJECT. UH, IT WAS A, A SPACE THAT HAS BEEN VACANT, UH, IN RECENT YEARS. IT'S NEVER SERVED AS A RESTAURANT SPACE, TO MY KNOWLEDGE. I BELIEVE IT WAS FORMALLY USED FOR, UH, MORE CIVIC ORIENTED USES. UH, THE APPLICANTS IS, UH, HAWKERS ASIAN STREET FOOD. UH, THEY ARE A, UH, UH, FOOD CONCEPT, UH, BORN OUT OF THE, UH, SOUTHEAST REGION OF THE UNITED STATES. UH, CERTAINLY, UM, UH, IT WAS ESTABLISHED IN ORLANDO IN 2011. UH, THEY'VE ESTABLISHED, UH, UH, LOCATIONS THROUGHOUT THE SOUTHEAST. THEY DO HAVE, UH, ONE EXISTING LOCATION IN TEXAS HERE IN, UH, DALLAS AND THE DEEP ELM DISTRICT. SO THIS, UH, PROPOSED LOCATION IN ADDISON WOULD BE, UH, THEIR SECOND LOCATION. UM, THIS, UH, PARTICULAR SITE IS OBVIOUSLY PART OF VILLAGE ON THE PARKWAY. UH, WE'VE HAD, UH, SEVERAL, UH, REZONING ACTIONS OVER THE YEARS, 2012. UH, AND THEN, UH, ONCE AGAIN, IN 2020, UH, WE'VE SEEN LOTS OF, UH, ACTIVITY, UH, WITHIN, UH, THE CENTER, UH, WITH A NEW INVESTMENT AND, AND CERTAINLY MOST OF THOSE BEING RESTAURANT ANCHORED. SO THIS IS A, UH, ONCE AGAIN, A NEW RESTAURANT CONCEPT. UH, THEY WILL HAVE ALCOHOL SALES. UH, SO, UH, THAT IS WHAT IS REQUIRING THIS, UH, SPECIAL USE PERMIT. UH, SO WITH THE PROPOSED PROGRAMMING, UH, THE INTERIOR SPACE, UH, PROVIDES, UH, JUST OVER 5,000 SQUARE FEET OF FLOOR AREA. AND THEN, UH, UH, THE, UH, UH, MOST PROMINENT MODIFICATION, UH, TO THIS SITE IS THEY, THEY WANT TO HAVE PATIO PROGRAMMING, UH, LIKE WHAT WE SEE WITH MOST RESTAURANTS, UH, PARTICULARLY COMING OUTTA THE PANDEMIC. UH, SO THEY WOULD ADD A PATIO THAT, UH, WRAPS THE, UH, WESTERN AND SOUTHERN EDGE OF THE SITE, UH, ADDING, UH, NEARLY 1500 SQUARE FEET OF SPACE. SO, UH, WITH THAT, THEY'LL HAVE SEATING FOR 162 INDOORS AND 105 ON THE PATIO. AND THEN THEIR HOURS OF OPERATIONS WILL BE PRETTY TYPICAL, UH, FOR VILLAGE ON THE PARKWAY, 11:00 AM TO 10:00 PM SUNDAY THROUGH THURSDAY, AND THEN 11 TO 11, UH, ON THE WEEKENDS. UH, SO, UH, WITH VILLAGE ON THE PARKWAYS, YOU KNOW, THERE'S A MIX USE PARKING RATIO THAT'S APPLIED, UH, TO THE, UH, ENTIRE SITE. UH, THIS, UM, PARTICULAR PROPOSAL DUE TO THE, SOME OF THE, UH, TREE MITIGATION CONSIDERATIONS THAT ARE PROPOSED WILL, UH, REMOVE ONE PARKING SPACE, BUT IT IS STILL WITHIN, UH, WELL WITHIN, UH, THE, UH, PARKING REQUIREMENTS THAT IS, UH, APPLIED FOR THE VILLAGE ON THE PARKWAY DEVELOPMENT. SO IT IS IN COMPLIANCE, UH, FOR PARKING CONSIDERATIONS. UM, THE, UH, PROBABLY THE MOST PROMINENT CHANGE THAT'S PROPOSED IN THE SITE, UH, RELATES TO, UH, TWO EXISTING TREES. ONE AT THE, UH, WESTERN FRONTAGE AND ONE AT THE SOUTHERN FRONTAGE. AND, UH, THIS WAS, UM, PART OF AN INTERESTING DISCUSSION WITH THE PLANNING ZONING COMMISSION. UH, WE HAD SOME, UH, MISCOMMUNICATION, UH, WITH OUR STAFF AND WITH THE APPLICANTS. IT, UH, RARELY HAPPENS, BUT IT DID HAPPEN IN THIS CASE. AND SO WE, WE KIND OF BUND THAT DISCUSSION WITH, WITH P Z. UM, UH, THE, THE ISSUE THAT CAME UP IS, UM, BETWEEN DISCUSSION WITH OUR STAFF AND THE APPLICANT, UH, THERE WAS, UH, UH, A THOUGHT THAT THE TREES, UH, ON THIS SITE WERE REMOVED PRIOR TO, UM, THIS APPLICATION, UH, BEING REVIEWED BY P Z AND COUNCIL. SO THE THOUGHT WAS THAT THE TREES WERE GONE, WHEN IN FACT, THEY'RE NOT. THEY'RE STILL THERE. SO [01:10:01] THERE IS AN OPPORTUNITY TO, TO, UM, REQUEST THAT THE APPLICANT PRESERVE THE TREES. SO THE ISSUE THAT'S COMING INTO PLAY HERE, UH, THERE'S TWO 14 INCH CPER TREES, ONE AT THE WESTERN EDGE, ONE AT THE SOUTHERN EDGE. AND THEY NEED TO BE REMOVED TO SUPPORT THIS SITE DESIGN BECAUSE, UH, THE PATIO AREA IS, UM, UH, IN A CONSTRAINED AREA. SO IF THEY EXPANDED THE PATIO OR ADDED THE PATIO, THERE WOULD BE NO SIDEWALK CLEARANCE AROUND THOSE TREES. SO IF THEY WANTED TO MAINTAIN THIS DESIGN, UH, IN ORDER TO HAVE APPROPRIATE SIDEWALK CLEARANCE, THE TREES WOULD HAVE TO GO. UM, WHAT, UH, THE APPLICANT HAS PROPOSED IS TO DO THAT AND THEN TO PROVIDE ONE EIGHT INCH KELP OR REPLACEMENT TREE, UH, BY CREATING A LANDSCAPE, UH, ISLAND, UH, AND ONE OF THE EXISTING PARKING SPACES AT THE SOUTHERN EDGE. AND THEN THE REMAINING MITIGATION WOULD BE PAID VIA CASH IN LIEU OF, BECAUSE, UH, VILLAGE ON THE PARKWAY BETWEEN, UM, THE EXISTING LANDSCAPE AND THE, THE PARKING CONSTRAINTS. IT'S, UH, ACTUALLY A PRETTY TIGHT SITE TO ADD NEW LANDSCAPE. SO THAT IS WHAT THE APPLICANT PROPOSED, AND THAT THAT WAS, THAT WHAT STAFF INITIALLY PRESENTED TO THE COMMISSION. UH, THE COMMISSION SHARED THAT THEY WERE CONCERNED ABOUT THAT AND, AND, UH, UM, WANTED TO WORK TO TRY TO PRESERVE THOSE TREES. UH, SO, UH, WHAT I HAVE SUGGESTED WITH THIS PARTICULAR CONSIDERATION, WHICH I DON'T LIKE TO CHANGE OUR RECOMMENDATION, BUT I THINK IT MERITS IT IN THIS CASE. AND I THINK WHAT THEY PRESENTED IN THEIR VISUALS ACTUALLY, UH, ILLUSTRATES THIS WELL, IS THAT, UM, AT THE WESTERN EDGE, UM, THERE IS, UH, PRETTY BAD PEDESTRIAN CONNECTIVITY. THERE'S ALWAYS ALREADY BEEN SOME TRUE REMOVAL. UH, BORA, UH, ACTUALLY REMOVED A TREE TO, TO ACCOUNT FOR THEIR PATIO. UM, SO, UH, WE WOULD SUGGEST, UM, FOR THIS PROJECT, PARTICULARLY SINCE THEIR MORE PROMINENT PATIO IS AT THE WESTERN EDGE, IT'S PROJECTING IT HAS BAR AREA ALLOW THAT TREE TO BE REMOVED, BUT THEN PRESERVE THE TREE AT THE SOUTHERN EDGE, WHICH HAS A LESS PROMINENT PATIO FEATURE AND IS ALREADY ILLUSTRATED IN THEIR RENDERINGS, UH, THAT YOU SEE HERE, THAT IT WAS ONCE ENVISIONED TO BE PRESERVED. SO, UH, WE FEEL THAT THAT IS A FAIR COMPROMISE. INSTEAD OF PLANTING AN ADDITIONAL TREE AT THE SOUTHERN EDGE, WE WOULD RECOMMEND THAT THAT TREE BE PLANTED IN A LANDSCAPE ISLAND AT THE WESTERN EDGE, UH, WHERE THERE'S, UH, A BETTER PLANTING AREA THAN THE CURRENTLY VERY CONSTRAINED SIDEWALK. UH, THE FACADE PLANS, AS YOU SAW ON THE RENDERINGS. AND THEN, UH, WITH THESE PLANS, UH, IT, IT'S CERTAINLY A, A, A UNIQUE, UM, ARCHITECTURAL TREATMENT. UH, THAT IS, UH, SOMETHING THE COMMISSION DISCUSSED AS WELL. NOT UNUSUAL FOR THIS PARTICULAR BLOCK. THE DOOR HAS A UNIQUE TREATMENT, THIRD DID AS WELL. SO WE DO FEEL THAT ITS UNIQUENESS ADDS VALUE TO THIS AREA, AND, AND IT'S AN APPROPRIATE TREATMENT, UH, FOR THIS BUILDING. UH, NO ISSUES WITH CODE COMPLIANCE AS FAR AS THE FACADE DESIGN OR, OR, UM, UH, ANY OF THE, UH, BUILDING ARTICULATION SHOWN. SO, UM, TYPICAL WITH ANY ZONING CASE, WE'VE, UH, PROVIDED NOTICE TO ADJACENT PROPER DONORS WITHIN 200 FEET. EIGHT WERE SENT. UH, AND, UH, NO FEEDBACK WAS PROVIDED. THE COMMISSION DID RECOMMEND APPROVAL OF THIS REQUEST BY A VOTE OF SIX TO ZERO. THAT DID INCLUDE REMOVAL OF BOTH TREES, WHICH BASED ON WHAT STAFF COMMUNICATED, THEY THOUGHT THEY WERE ALREADY REMOVED. SO, UH, THAT'S SOMETHING THAT WE'D LIKE YOU TO, UH, WEIGH IN ON. SO WITH THAT, STAFF DOES RECOMMEND APPROVAL WITH THE REQUEST WITH OUR TYPICAL CONDITION RELATED TO, UH, NOT HAVING, UH, TERMS OR GRAPHIC DEPICTIONS RELATED TO ALCOHOLIC BEVERAGES ON EXCUSE SIGNAGE. AND THEN PERMITTING THE REMOVAL OF THE EXISTING TREE AT THE WESTERN FACADE, BUT NOT AT THE SOUTHERN FACADE. AND THEN PLANT A REPLACEMENT TREE AT THE, IN A PARKING ISLAND AT THE WESTERN EDGE. SO THEY'RE GOING TO BE LOCATED ON THE WEST SIDE OF THE SIDE CAR, RIGHT? YESY CAR. YES. SO IT USED TO BE OUR ECONOMIC DEVELOPMENT. YEP. ACTUALLY METRO QUESTS CHAMBERS OFFICE. ALL RIGHT. UM, AND WE DO HAVE, UH, SOMEONE FROM HAWKERS ON THE LINE, UH, DON DEVICE. I SAW HIM, UH, IS ON VIA ZOOM. YEAH. UH, CAN YOU HEAR ME? OH, OKAY. GOOD EVENING. UH, SAY YOUR NAME, PLEASE. YEAH, MY NAME'S DOMINIC DIVAS. I'M A SENIOR DIRECTOR OF DEVELOPMENT FOR HAWKERS ASIAN STREET FOOD. WE'RE BASED OUT OF ORLANDO. YEAH, SO I JUST, UM, YOU KNOW, WANTED TO THANK YOU FOR TAKING THE TIME, UM, YOU KNOW, TO REVIEW THE SITE. UM, YOU KNOW, WE WENT THROUGH THE PLANNING AND ZONING COMMISSION AND, UH, I THINK, UH, RELATIVELY IT WAS WELL RECEIVED, OBVIOUSLY. UM, THERE WAS A LOT OF DEBATE, UM, ABOUT THE TREES. UM, YOU KNOW, I WANTED TO START WITH THAT. WE'RE, WE'RE REALLY EXCITED ABOUT THIS RESTAURANT. UM, WE CURRENTLY [01:15:01] HAVE A RESTAURANT IN DEEP M UM, AND DEEP M'S BEEN A LITTLE CHALLENGING ON MANY LEVELS, SO WE'RE REALLY EXCITED TO BE IN THE TOWN OF ADDISON. UM, IN, IN GENERAL, WE'RE JUST REALLY PUMPED FOR THIS LOCATION AND TO KIND OF REALLY BREAK INTO THE DALLAS MARKET. SO WE FEEL LIKE THIS WILL BE, UM, A GREAT OPPORTUNITY FOR US TO SHARE THE HAWKERS BRAND AND, UH, EXPERIENCE WITH THE TOWN. UM, WE, WE HAVE BEEN WORKING WITH THE TOWN ON THE TREE LOCATION AND MITIGATION. UH, WE STARTED AROUND MAY OF EARLIER THIS YEAR TO KIND OF WALK THROUGH AND TRY TO PROPOSE WHAT WE WILLING TO DO WITH THE PATIO AREA. UM, YOU KNOW, JOE HAS BEEN SUPER HELPFUL. THE STAFF HAS BEEN GREAT. KIND OF WALKING US THROUGH SOME OF THE LIMITATIONS AND CHALLENGE CHALLENGES OF THIS SITE. UM, THE, THE MAIN REASON WE REALLY WANTED TO RELOCATE THESE TREES, UM, AND, AND POSSIBLY PLANT THEM SOMEWHERE ON THE SITE, WHICH PROVED TO BE CHALLENGING TO FIND A LOCATION TO ACTUALLY RELOCATE THESE TREES TO, UM, IS TO CREATE A VERY INVITING PATIO AREA. SO NOT ONLY HAVE, OBVIOUSLY A BIG PROMINENT PATIO ON THE CORNER, UH, TO REALLY ACTIVATE IT, BUT ALSO PROVIDE A SAFE AREA FOR PEDESTRIANS TO BE ABLE TO WALK PAST IT. UH, BOTH ALONG THE WEST SIDE AND THE EAST SIDE. UM, YOU KNOW, BE REFERENCED VIORA EARLIER, UM, IN THE PRESENTATION, VIORA HAS A REALLY TIGHT EDGE OF THEIR PATIO. UM, THERE'S A POINT WHERE THEIR PATIO, UM, IS ABOUT THREE FEET AWAY FROM THE DRIVE AISLE. SO, SO OUR GOAL WAS TO MOVE THESE TREES OUT OF THE WAY SO THAT WE COULD HAVE A NICE, CLEAR PEDESTRIAN WALKWAY AND THEN REALLY ACTIVATE THE PROJECT, UM, SO THE PEOPLE COULD GO POSSIBLY FROM VIORA TO HAWKERS, UM, TO, TO SIDE CAR SOCIAL. UM, YOU KNOW, WE BELIEVE THIS IS A, AN EFFECTIVE USE OF THE OUTDOOR PATIO. UM, AND IT, AND IT REALLY ACTIVATES THE, THE CORNER. SO WE THINK IT'S A REALLY GOOD ADDITION, UM, YOU KNOW, TO, TO VILLAGE ON THE PARKWAY. UM, YOU KNOW, BECAUSE WE'RE GONNA BE RESTAURANTS SERVING ALCOHOL, BEER AND WINE, UM, THERE ARE SOME LIMITATIONS AS FAR AS HAVING GATES, UH, AND RAILINGS FOR A PATIO. SO THAT'S PROVEN TO BE REALLY CHALLENGING WHEN WE'RE TRYING TO NAVIGATE AROUND THE TREES. UM, I DO THINK HE LANDED ON A REALLY GOOD COMPROMISE. WHAT WE PROPOSED WAS DOING, REMOVING ONE OF THE PARKING SPOTS, AND THEN, UH, RELOCATING ONE OF THE TREES AND BUSHES TO THAT ISLAND. AND THEN PAYING TO MITIGATE WHATEVER TREES, UM, YOU KNOW, REMAINING, UM, WE'RE, WE'RE OPEN TO ALTERNATIVES OR WHATEVER WOULD BE PERMITTABLE. UM, YOU KNOW, POSSIBLY ADDING ANOTHER ISLAND INSTEAD. UM, CUZ WE THINK THAT THAT WOULD ALLOW US TO ACTIVATE BOTH THE WHOLE CORNER AND WE GET TO PRESERVE BOTH THE TREES. UM, OBVIOUSLY WE NEED TO TAKE THAT UP WITH THE LANDLORD AND PARKING CALCULATIONS AND THINGS OF THAT SORT. BUT, UM, OPEN THE SUGGESTIONS AND, AND, UH, FEEDBACK ON THE PROJECT. UM, LET ME KNOW WHAT QUESTIONS YOU HAVE. THANK YOU. ANY QUESTION? SO IT'S, IT'S REMOVING ONE OF THE EXISTING LARGER TREES, KEEPING ONE AND ADDING ONE, ONE BEING THE EIGHT INCH TREE IN THE PARKING SPACE. THAT'S THE STAFF RECOMMENDATION. WHAT GOT ADVANCED OUT OF THE COMMISSION? CAUSE THIS INFORMATION WAS REMOVING BOTH AND REPLANTING ONE AND THEN PAYING FEE IN LIEU OF, FOR THE REMAINDER. AND THE APPLICANT MENTIONED MAYBE TRYING TO DO SOMETHING ADDITIONALLY DIFFERENT, ADDING ANOTHER PARKING SPACES. SO WHAT'S THE LATITUDE ON THAT? I, I THINK WE STAFF WOULD BE AMENABLE, UH, TO THAT SCENARIO. WE, WE ALWAYS PREFER TO, TO PLANT TREES VERSUS COLLECTING CASH. SO IF THEY WERE TO RECLAIM ANOTHER PARKING SPACE AT THE WESTERN EDGE, SO IN, IN THIS AREA, AND PLANT THE SUMMER LOW SIZE TREE TO WHAT THEY'RE PLANTING DOWN HERE, WHICH IS AN EIGHT INCH TREE. UM, I THINK THAT'S A FAIR COMPROMISE TOO. THERE WOULD BE SOME EXCESS FEE IN LIEU OF MITIGATION REQUIRED. SO, UH, ABOUT 12 INCHES WORTH. SO PROBABLY ABOUT $2,000. UH, THAT WOULD GO INTO THE, THE TREE MITIGATION FUND. SO, SO IF THEY REMOVED THE TREE ON THE WEST SIDE, KEPT THE TREE ON THE SOUTH SIDE AND ADDED THE TREE ON THE SOUTH SIDE, THERE WOULD BE SOME CALIBER DIFFERENCE, AND THEY WOULD STILL HAVE TO PAY THAT IN THIS PLAN AS IT'S PRESENTED OR SUGGESTED BY STAFF. SO AS IT, AS IT'S SUGGESTED BY STAFF, THEY WOULD BE REMOVING ONE 14 INCH, PRESERVING ONE 14 INCH, AND THEN, UH, THEY WOULD MITIGATE THE 14 INCHES LOST WITH A EIGHT INCH TREE AND FOUR INCHES WORTH OF, UH, FEE IN LUA, WHICH WOULD BE ABOUT $800. OKAY. IT SEEMS TO ME THAT YOU HAVE STRUCK A GOOD COMPROMISE AND, UM, PARKING IS SO VALUABLE OVER THERE THAT I, I THINK ONE SPACE IS PROBABLY THE WAY TO GO. JUST MY OPINION. I THINK IT'S A COMPROMISE. DECIDED HAVE MAYOR, I'D LIKE TO MOVE FOR APPROVAL. NO, JUST HELP. THERE'S [01:20:01] A PUBLIC HEARING. OH, SORRY, I WON'T MOVE YET. LADIES AND GENTLEMEN, THIS ITEM IS LISTED A PUBLIC HEARING. IF ANYONE IN PUBLIC, WHICH TO SPEAK ON THIS ITEM, PLEASE DO SO. NOBODY, SINCE NO ONE IN PUBLIC WHICH TO SPEAK ON THIS ITEM ARE HEREBY CLOSE THE PUBLIC HEARING. OKAY. MAYOR FOR APPROVAL, PLEASE. I'LL SECOND THAT. SO I HAVE, THANK, HAVE A MOTION TO APPROVE IT BY ANIK. AND ONE SECOND. CAN I CLARIFY? YES. YEAH. WHAT YOUR MOTIONING IS, WHAT STAFF IS RECOMMENDING, CORRECT. THE STAFF RECOMMENDATION. ALL RIGHT. THAT'S THE MOTION YOU'LL MAKE. THAT'S YOUR, THE SECOND YOU MAKE OR IN FAVOR, PLEASE SAY I. OPPOSED. CONGRATULATIONS. BYE, DOMINIC . THANK YOU. I APPRECIATE IT. BYE BYE. [14. Hold a Public Hearing, Present, Discuss, and Consider Action on an Ordinance Amending Planned Development (PD) District Ordinance No. 016-003 for a 0.552 Acre Segment of a Property Located East of the Intersection of Runyon Road and Magnolia Street, in Order to Modify Use Regulations by Allowing Offsite Parking Lot (Restricted to Use by 14951 Midway Road – Nate’s Seafood & Steakhouse) as a Permitted Use. Case 1862-Z/18 Runyon Road.] [15. Hold a Public Hearing, Present, Discuss, and Consider Action on an Ordinance Amending the Development Plans for Planned Development (PD) District Ordinance No. 446 for a 0.945 Acre Property Located at 14951 Midway Road, to Account for Site Modifications Resulting from the Acquisition of Right-of-Way for the Midway Road Reconstruction Project. Case 1863-Z/14951 Midway Road (Nate’s Seafood & Steakhouse).] ITEM 14, HOLD PROPERTY HEARING, DISCUSS AND CONSIDER ACTION ON ORDINANCE AMENDING PLAN DEVELOPMENT PD, DISTRICT ORDINANCE NUMBER 0 1 6 0 3 FOR A A2 ACRE SEGMENT OF A PROPERTY LOCATED EAST OF THE INTERSECTION OF ROAD AND MAGONIA STREET. IN ORDER TO MODIFY USE REGULATIONS BY ALLOWING OFFSITE PARKING LOT RESTRICTED TO USE BY 14 9 51 MIDDLE RADIO ROAD, NATE SEAFOOD AND STEAKHOUSE AS A PERMITTED USE CASE NUMBER 1 8 6 2 Z 18. SO MAYOR, WITH THIS ITEM AND THE NEXT ITEM, I HAVE ONLY ONE PRESENTATION. THEY'RE TWO SEPARATE ZONING ITEMS, BUT IF YOU WOULD LIKE TO READ IN THE, I JUST READ THE 15 AS WELL. YES, SIR. HOLD A PUBLIC HEARING PRESENT, DISCUSS A CONSIDERATION ON AN AUDIENCE AMENDING THE DEVELOPMENT PLANS FOR PLAN DEVELOPMENT PD DISTRICT PARTIES NUMBER 4 46 FOR A 0.945 ACRE PROPERTY, LOCATED AT 1 49 51 MIDWAY ROAD TO ACCOUNT FOR SITE MODIFICATIONS RESULTING FROM THE ACQUISITION OF RIGHT OF WAY FOR THE MIDWAY ROAD RECONSTRUCTION PROJECT. HIS NUMBER 1 8 63 Z 4 9 5 1 MIDWAY ROAD. NATE, STATEHOUSE. GO AHEAD, KEN. THANK YOU, MAYOR. SO, UH, THIS, UH, PRESENTATION IS COVERING TWO REZONING REQUESTS, BOTH, UH, REQUESTED, UH, BY THE TOWN OF ADDISON. AND, UH, THIS IS TO ADDRESS, UM, UH, CONSIDERATIONS, UH, RELATED TO THE ACQUISITION OF RIGHT OF WAY, UH, FOR THE MIDWAY ROAD RECONSTRUCTION PROJECT, SPECIFICALLY AS IT IMPACTS, UH, A SITE LOCATED AT 14,000 9 51 MIDWAY ROAD, WHICH AS WE KNOW, IT'S, UH, NATE'S SEAFOOD AND STEAKHOUSE. AND THEN IF THIS REQUEST ALSO ADDRESSES, UH, A SEGMENT OF TOWN OWN LAND, UH, THAT WAS CONVEYED TO THE TOWN AS PART OF THE ADDISON GROVE PROJECT. UH, SO WITH THE FIRST REQUEST, UH, IT'S REALLY ADDRESSING, UH, NEEDED SITE MODIFICATIONS, UH, TO THE, UH, NATE'S SITE, UH, PARTICULARLY AT THE FRONTAGE OF THE BUILDING, AND THEN AT THE, UH, FRONTAGE, UH, OF, UH, MIDWAY ROAD. UM, DUE TO THAT, UH, RIGHT OF WAY ACQUISITION, UH, THE, UH, ENHANCED, UH, TRAIL AT THAT MIDWAY ROAD EDGE HAS RESULTED IN NEEDED MODIFICATIONS TO THE PARKING AS WELL AS TO, UH, THE FIRE LANE, UH, AT, UH, THAT MIDWAY ROAD FRONT EDGE. SO THAT SPACE HAS REGAINED THROUGH SOME MODIFICATIONS TO THE, UH, SIDEWALK APRON, UH, AT THE EASTERN EDGE OF THE BUILDING. AND THEN, UH, THE, THE PARKING SPACES AT THAT FRONTAGE, UH, ALL PARKING, UH, THAT CURRENTLY EXISTS AT THAT FRONTAGE, UH, WAS ABLE TO BE RETAINED AS A RESULT OF THESE SITE MODIFICATIONS. SO THE ZONING HISTORY OF THIS SITE TO REALLY, IT BEGAN AND, UH, UH, UH, MOST RECENTLY, OR, UH, AT LATEST 1978, IT WAS REZONED FROM LOCAL RETAIL TO, TO PD. AND THIS IS THE PD THAT REALLY GOVERNS, UH, THIS SITE. UH, IN ADDITION TO THAT PD, THERE'S A, AN S U, UH, THAT WAS APPLIED ACCOUNT FOR, UH, THE SALE OF ALCOHOL AT THAT RESTAURANT. UH, IN, UH, 1988, UH, THE SITE WAS CONVERTED TO NATES, UH, UNDER, UH, THE, UH, A NEW U. SO WITH THIS, UH, WE'RE SIMPLY AMENDING, UH, THE PLAN DEVELOPMENT, UH, FOR THIS PROPERTY AND, AND REALLY JUST TO ADOPT A NEW SITE PLAN. UH, NO CHANGES TO THE, THE PD TEXT OR REGULATIONS THAT APPLY. UH, THE NEXT ZONING CASE APPLIES TO THAT, UH, TOWN OWNED SEGMENT OF LAND, THAT L-SHAPED PROPERTY THAT CONSISTS OF, UH, VACANT LAND, BUT THEN ALSO, UM, UH, PARKING LOT, UH, AT THE EASTERN, UH, [01:25:01] FRONTAGE OF THAT PROPERTY. UH, SO THIS SITE ALSO WAS REZONED TO PD IN 1978, AND THEN LATER, UH, WITH THE, UH, SAM'S CLUB DEVELOPMENT, IT WAS, UH, HAD AN AMENDMENT TO THAT PD ZONING. AND THEN, UH, FINALLY IN 2016 WHEN THE ADDISON GROVE DEVELOPMENT WAS APPROVED, IT WAS REZONED TO A NEW PD. AND THEN, UH, AS PART OF A PLANNING PROCESS CONVEYED, UH, TO THE TOWN, UH, THIS REQUEST IS TO ALLOW FOR, UH, A SEGMENT OF THAT LAND, UH, TO BE, UH, UH, ALLOWED FOR USE FOR OFFSITE PARKING, PURELY FOR THE USE BY, UH, THE, UH, PROPERTY THAT IS HOME TO NATE SEAFOOD AND STEAKHOUSE. SO, UH, WITH THE PROPOSED SITE MODIFICATIONS TO NATES, YOU CAN SEE HERE, UH, WHERE THEY, UH, CONDENSED, UH, AND RELOCATED, UH, PARKING ON THE SITE IS EFFECTIVELY SHIFTING IT, UH, 4.5 FEET TO THE WEST. UH, AND THEN, UH, ALSO WITH THIS ACTION, UH, THEY MADE SOME NEEDED IMPROVEMENTS, UH, TO THE, UH, ACCESSIBLE PARKING ON SITE TO INCREASING IT FROM TWO TO FOUR TO MEET CODE REQUIREMENTS FOR ACCESSIBLE PARKING. THEY ALSO PROVIDED SOME LANDSCAPE IMPROVEMENTS AT THE PRIMARY ENTRYWAY FROM MID ROAD, CREATING SOME LANDSCAPE HIGHLANDS, UM, WITH THE L-SHAPED, UH, FORMER, UH, OR CURRENT TOWN LOT. UM, THERE IS, UH, AS MANY OF YOU KNOW, AN EXISTING PARKING LOT. IT'S DIFFICULT TO SEE HERE, BUT IT CURRENTLY IS PRIMARILY ACCESSED FROM THE, UH, SNUFFERS, UH, LAWANA SITE, UH, DOES NOT CURRENTLY HAVE ACCESS FROM THE NATE SITE. UH, SO WITH THIS ZONING ACTION, UH, IT WOULD, UM, AMEND THE ZONING, ALLOWING A NEW USE OF OFFSITE PARKING FOR A PORTION OF, UH, THAT LOT THAT WOULD BE CONVEYED TO, UH, THE NATE'S PROPERTY OWNERS AS PART OF THAT, UH, AGREEMENT. AND THEN WHAT IS CURRENTLY PAVED AS PARKING COULD, UH, BE UTILIZED AS PARKING, UH, FOLLOWING THE INSTALLATION OF, UH, UH, EMERGENCY ACCESS BALLARDS OR EMERGENCY ACCESS COMPLIANT GATE OR CHAINS IN ORDER TO RESTRICT ACCESS THROUGH THE SITE, UH, FROM, UH, BELTLINE TO MIDWAY. SO YOU CAN SEE HERE THAT THERE'S SEVERAL PLACES WHERE, UH, THOSE, UH, EMERGENCY ACCESS RESTRICTIONS WERE PROVIDED, UH, ONE AT THE, UH, FAR WESTERN EDGE, AND THEN ONE KIND OF CENTER TO THE SITE. SO IN ADDITION TO THAT, ACCESS WOULD BE PROVIDED THROUGH THE, UH, UH, AN EXISTING MEDIAN, UH, BETWEEN THE NATE SITE AND THIS SITE. SO THE ONLY ACCESS TO THIS SITE DIRECTLY WOULD BE FROM THE NATE SITE, NOT FROM THE OTHER LOTS, UH, TO THE NORTH. UM, IF THIS, UM, UH, PARKING AREA WERE EVER EXPANDED FURTHER NORTH, UH, CLOSER TO ADDISON GROVE, WHERE YOU HAVE THESE EXISTING TREES AND UNDEVELOPED LAND, UH, THEY WOULD BE REQUIRED IN ACCORDANCE WITH THIS ZONING ACTION TO INSTALL A, UH, MASONRY SCREENING WALL, UH, ALONG THE, UH, WESTERN, UH, AND SOUTHERN EDGE, WHICH THEY WOULD BE REQUIRED TO MAINTAIN. AND THEN ALSO ESTABLISH A LANDSCAPE PLANTING STRIP ON THE, UM, OUTWARD FACING SIDE OF THAT MASONRY SCREENING WALL THAT THE TOWN WOULD MAINTAIN. BUT THE WALL WOULD BE MAINTAINED BY THE APPLICANT, AND THAT WOULD ONLY BE INSTALLED IF THEY EXPANDED THE PAVEMENT AND PROVIDED ADDITIONAL PARKING BEYOND WHAT IS ALREADY THERE. SO THIS ACTION, UH, REALLY DOESN'T HAVE A TREMENDOUS IMPACT ON NATE'S AS FAR AS THEIR, UM, REQUIRED PARKING. THEY'RE ALREADY IN EXCESS OF THAT. SO THIS WOULD, UH, PUT THEM EVEN EVEN FURTHER IN EXCESS OF THAT. UH, AND IT WOULD BE, UH, OVERSUPPLY, UH, BUT THEY WOULD BE ABLE TO USE IT AND REALLY WOULD ONLY BE PERMITTED FOR THEIR USE. SO NO OTHER PROPERTIES OR, OR THEY COULD NOT PERMIT OTHER PROPERTIES TO, TO PROVIDE OFFSITE PARKING AT THAT LOCATION. SO WITH EACH OF THESE CASES, WE PROVIDED PUBLIC NOTICE IN ACCORDANCE WITH TOWN AND STATE REQUIREMENTS. UH, 13 NOTICES WENT OUT, UH, TO SURROUNDING PROPERTY OWNERS. UM, NO FEEDBACK WAS RECEIVED. UH, AT THE OCTOBER PLAN ZONING COMMISSION MEETING, UH, BOTH CASES WERE APPROVED BY A UNANIMOUS VOTE OF SIX TO ZERO. UH, SO WITH THAT, STAFF DOES RECOMMEND APPROVAL OF THE, UH, UH, REQUEST TO AMEND THE PD FOR THE NATE'S SITE, IMPROVEMENTS WITH NO CONDITIONS. AND THEN STAFF ALSO RECOMMENDS APPROVAL OF THE REQUEST TO REZONE A [01:30:01] PORTION OF THE, UH, POUND ADDISON GROVE LOT, UH, WITH THE CONDITIONS THAT, UH, NO VEHICLE CONNECTIONS ARE PROVIDED BETWEEN BELTLINE RUN IN OR, OR BELTWAY DRIVE OVER TO MIDWAY ROAD, UH, OFFSITE PARKING, UM, MAY ONLY BE USED TO, TO SUPPORT THE NATE'S PROPERTY. AND THEN, UH, IF THE PARKING AREA WERE TO EXPAND, ONCE AGAIN, THEY'D HAVE TO PROVIDE A, A SCREENING WALL TO SCREEN IT FROM THE, THE, UH, ADDISON GROVE NEIGHBORHOOD AND PROVIDE APPROPRIATE LANDSCAPING AS WELL. UH, WITH THAT, I'D BE HAPPY TO ANSWER ANY QUESTIONS. WE DO HAVE SHANNON HICKS, PUBLIC WORKS DIRECTOR, UH, WHO'S, UH, WORKED ON THIS ITEM, AND THEN ALSO THE PROPERTY OWNER FOR NATE'S, UH, BILL PARKS HERE AS WELL. ANY QUESTION? I HAVE A QUESTION ON SLIDE NINE, THE SHADED AREA, IS IT THE ENTIRE SHADED AREA ON THE LEFT? NO, IT'S ONLY A PORTION. UH, SO I'LL GO UP TO THIS AND IT'S KIND OF DIFFICULT TO SEE HERE THE LINE, THIS IS, THIS IS THE LINE, EVERYTHING, UM, TO THE LEFT, WHICH WOULD BE TO THE SOUTH, WOULD REMAIN, UH, THE TOWN'S PROPERTY, UH, FOLLOW ASSUMING APPROVAL OF, UH, THE ASSOCIATED AGREEMENT. IS THERE A PLAN FOR THAT PLAN? UH, THERE IS NOT, UH, SO THERE IS REALLY NO ZONING PROGRAM FOR THIS SPACE. AND THE, THE FIRST ZONING THAT WOULD BE APPLIED TO IT AS FAR AS PERMITTED LAND USES WOULD BE FOR THIS PORTION, UM, THE OFFSITE PARKING. UH, WE'VE DISCUSSED INTERNALLY SOME CONSIDERATIONS, BUT I THINK THAT WOULD BE A BROADER POLICY DISCUSSION WE'D HAVE TO HAVE WITH, WITH COUNSEL WITH REGARD TO RIGHT OF WAY AND THE, THE COST FOR NATES TO, TO MAKE THESE CHANGES. AND, AND DID WE, WERE WE ABLE TO SAVE A LOT OF MONEY BY TRADING THIS LAND? I CANNOT SPEAK TO THAT. OKAY. MAYOR COUNCIL, SHANNON HICKS, DIRECTOR OF PUBLIC WORKS AND ENGINEERING. UH, THE, THE VALUE OF THE PROPERTY THAT IS BEING, UH, CONVEYED AS PART OF THE AGREEMENT TO THE PIEDMONT, WHAT'S CONSIDERED AS AN OFFSET TO THE COSTS OF ALL OF THESE, UH, TO THE LAND COSTS AND THE MODIFICATIONS AS WELL. SO AS A, IN THAT RESPECT, IT DID SAY THE TOWN, UM, FROM HAVING TO CASH FUND THOSE, THAT LOOKS LIKE A WIN-WIN. CAUSE THAT'S NOT A VERY USABLE SPACE BACK THERE. KEN, JUST TO CLARIFY, THERE IS NOT A WAY FROM FELT LINE THROUGH THAT PROPERTY OVER TO MIDWAY, IS THAT CORRECT? UH, SO THERE'S BALLARDS BEING INSTALLED TO BALLARDS OR CHAIN, OR A GATE, UH, TO RESTRICT THIS ACCESS DRIVE, AND THEN THE OTHER ACCESS DRIVE WOULD BE RIGHT HERE AND THE SAME CONDITION IS PRESENTED. SO, YES, THAT'S CORRECT. OKAY. AND HOW ARE WE GOING TO, OR WHO IS GOING TO DETERMINE AND HOW ARE WE GOING TO DETERMINE WHAT KIND OF RESTRICTION IS GOING IN THERE? CAUSE I WOULD THINK THAT BALLARDS ARE MUCH MORE EXPENSIVE THAN A CHAIN. I THINK COST WILL BE A CONSIDERATION OF THAT. UM, SHANNON AND THE PROPERTY OWNER, I, I DO NOT BELIEVE HAVE WORKED THAT OUT YET. UH, WE ALSO HAVE TO HAVE THAT, UH, REVIEWED BY THE FIRE MARSHAL CUZ IT WILL BE, UH, NEEDED ACCESS, UH, SECONDARY ACCESS FROM A FIRE ACCESS STANDPOINT. UH, BUT WE DO FEEL WE CAN, WE CAN PROVIDE AN APPROPRIATE SOLUTION TO, TO RESTRICT ACCESS THERE. IF, IF YOU WANTED TO DO IT, YOU'D, YOU'D BE DOING SOME DAMAGE TO YOUR VEHICLE TO GET THROUGH THERE, RIGHT? YEAH. THANK YOU. RIGHT. NO MORE QUESTION, LADIES AND GENTLEMEN. THIS ITEM LISTED IN PUBLIC HEARING. IF ANYONE IN PUBLIC WISH TO SPEAK ON THIS ITEM, PLEASE DO SO. THIS BASICALLY THIS ITEM AND NEXT ITEM IS WE TOOK AWAY SOME LAND FROM THE PARKING THEM BACK, SOME PARKING, BUT I ACTUALLY HIGH NUMBER OF PARKING. SO FOR LONG RUN, YOU KNOW, IT'S GOOD FOR NATE, YOU KNOW. SO BILL, YOU HAVE NOTHING TO LOSE. . ALL RIGHT. UH, THIS IS NO IN PUBLIC, WHICH DOES SPEAK ON THIS ITEM. I HEREBY CLOSE THE PUBLIC HEARING. DO I HAVE MOTION? I MOVE, I MOVE APPROVAL OF ITEMS 14 AND 15 SECOND. OKAY, SO WE WANNA APPROVE BOTH AT THE SAME TIME. OKAY. THIS IS BOTH ITEM 14 AND ITEM 15. BOTH ARE PUBLIC HEARING. THIS IS NO ONE IN PUBLIC WISH TO SPEAK ON THIS ITEM ARE HERE BY CLOSE OF PROPER HEARING FOR ITEM 15 AS WELL. SO I HAVE MOTION MADE BY GOOGLE MOTION. LORI, LORI MADE A MOTION FOR BOTH ITEMS WHO SECONDED. SECONDLY, SECONDLY, WITH [01:35:01] FOR BOTH ITEM OR IN FAVOR, PLEASE SAY AYE. AYE. AYE. OPPOS, BILL, YOU CAN LEAVE. THANK YOU. BYEBYE. [16. Present, Discuss, and Consider Action on a Resolution Approving an Agreement with Garver, LLC for Professional Engineering Services for the Reconstruction of Jimmy Doolittle Drive and Authorizing the City Manager to Execute the Agreement in an Amount Not to Exceed $137,000.] ITEM 16 PRESENT. DISCUSS THE CONSIDERATION ON A RESOLUTION APPROVING AGREEMENT WITH THE GO I C FOR PROFESSIONAL ENGINEERING SERVICES FOR THE RECONSTRUCTION OF JIMMY DOLE DRIVE AND AUTHORIZING CITY MANAGER TO EXECUTE THE AGREEMENT NOT TO EXCEED I 37,000. YES, JOEL? HEY, GOOD EVENING, MARIN COUNT. I'M JOEL JENKINSON, AIRPORT DIRECTOR. THIS ITEM IS FOR ENGINEERING SERVICES FOR DESIGN AND BIDDING TO GET US TO CONSTRUCTION FOR JIMMY DO LITTLE DRIVE, WHICH IS THE STREET THAT PROVIDES ACCESS TO THE NEW US CUSTOMS AND AIRPORT ADMINISTRATION FACILITY. AND I THINK AS, AS COUNCIL IS WELL AWARE THE CONDITION OF THAT STREET, IT IS NOT CONSISTENT WITH, UH, WHAT WE WOULD LIKE TO SEE THERE. AND IT'S BADLY IN NEED OF RECONSTRUCTION. UH, THIS IS THE NEXT STEP WE NEED TO TAKE TO GET US INTO RECONSTRUCTION AND, UH, SIMPLY ASK FOR A YEAR CONCURRENCE. SO I REALLY LIKE GO, YOU KNOW, THEY HAVE DONE A GREAT JOB AND, UH, FOR THE US CUSTOM FACILITY AND, AND OUR ADMINISTRATION BUILDING AT THE AIRPORT. SO, UH, DO I HAVE ANY QUESTION? ANYBODY HAS QUESTION? NO, MA'AM. YOU, SO NO ONE HAS A QUESTION. DO I HAVE A MOTION? I MAKE A MOTION FOR ITEMS SIX. I'LL SECOND THAT. SO, MOTION FROM CATHERINE WHEELER. AND THE SECOND, OR IN FAVOR, PLEASE SAY AYE. AYE. AYE. OPPOS ITEM [17. Present, Discuss, and Consider Action on a Resolution Approving an Agreement with Garver, LLC for Professional Engineering Services for the Fuel Farm Expansion Project and Authorizing the City Manager to Execute the Agreement in an Amount Not to Exceed $198,800.] 17, PRESENT, DISCUSS CONSIDERATION ON RESOLUTION PROBING AGREEMENT WITH GO A C FOR PROFESSIONAL, UH, ENGINEERING SERVICES FOR THE FUEL FARM EXPANSION PROJECT, AND AUTHORIZING THE CITY MANAGER TO EXECUTE THE AGREEMENT IN AMOUNT NOT TO EXCEED 198,800. HEY, GOOD EVENING, MAYOR COUNCIL. JOEL JENKINSON, AIRPORT DIRECTOR. THIS ITEM IS SLIGHTLY MORE COMPLEX THAN THE LAST ONE. AND THIS WAS, UH, STARTED ABOUT A YEAR AGO, UH, WHEN I STARTED LOOKING AT THE NUMBERS ON FUEL FLOWAGE, RUNNING SOME CALCULATIONS ON HOW QUICKLY THOSE TANKS WERE BEING EMPTIED AND REFILLED. AND I REACHED OUT TO OUR FBOS AND ASKED THEM WHAT WERE THEIR THOUGHTS ON THE ADEQUACY OF THE FUEL STORAGE CAPACITY THERE? UH, AND AT LEAST ONE OF 'EM RESPONDED WITHIN SECONDS SAYING, PLEASE ADD MORE . SO THERE, WITH THE INCREASE IN FUEL VOLUMES THAT WE'VE SEEN OVER THE LAST YEAR, UH, WE CAN EXPECT THAT TO CONTINUE. UH, AND THE FUEL STORAGE VOLUME THAT WE HAVE AVAILABLE IS, UH, LESS THAN ONE WEEK OF FUEL SUPPLY. AND IT LEAVES US VULNERABLE TO SUPPLY DISRUPTIONS. IT ALSO DOES NOT ALLOW THE FBOS TO MANAGE THEIR FUEL PURCHASES TO GET THE BEST MARGINS ON THEIR FUEL. SO WHEN FUEL IS CHEAPER, YOU WANT TO BUY MORE AND FILL UP THE TANKS. THEY'RE DOING EVERYTHING THEY CAN RIGHT NOW JUST TO KEEP THE TANKS FULL AND KEEP MOVING THE FUEL. SO THIS IS THE FIRST STEP IN, UH, ADDRESSING THAT. AND IT'S MORE OF A CONCEPTUAL DESIGN AND FEASIBILITY. UH, THERE'S VERY LIMITED SPACE DOWN. THERE WOULD BE A VERY COMPLICATED PROJECT TO MOVE FORWARD ON THIS, BUT WE NEED TO ADD THE FUEL STORAGE. UH, WE, WE'VE HAD SOME PRELIMINARY DISCUSSIONS ON THIS AND, UH, WE, WE THINK IT'S A VIABLE PROJECT AND THIS WOULD BE, UH, JUST THE FIRST STEP IN MOVING FORWARD TO, UH, GET US TO WHERE WE CAN BRING FORWARD A COST ESTIMATE FOR CONSTRUCTION THAT WE WOULD HAVE SOME CONFIDENCE IN. UH, AND THIS IS PART OF OUR FY 23 BUDGET PROPOSALS TO SPEND SOME MONEY ON DESIGN THIS YEAR. SO WE COULD COME BACK IN FY 24 WITH A PROPOSAL FOR CONSTRUCTION WITH NUMBERS THAT WE WOULD HAVE SOME LEVEL OF COMFORT IN BRINGING TO YOU FOR APPROVAL. RIGHT NOW. UH, ANY NUMBER WE WOULD HAVE FOR CONSTRUCTION WOULD BE A GUESS BASED ON, UH, VARYING COMPLETE INFORMATION. SO THIS IS TO GET US TO THE POINT WHERE WE KNOW WHAT THE FULL DESIGN AND CONSTRUCTION WOULD COST. AND AGAIN, THIS IS NOT FULL DESIGN. THIS IS JUST PRELIMINARY DESIGN, FEASIBILITY AND CONCEPTUAL DESIGN TO GET US TO A POINT WHERE WE CAN THEN PROCEED TO FULL DESIGN AND THEN EVENTUALLY TO CONSTRUCTION. AND WITH THAT, I'LL ENTERTAIN ANY QUESTIONS. EXPANSION IS A GOOD BUSINESS, YOU KNOW, ESPECIALLY WE SELL MORE FUEL. SO, UH, I THINK WE, WE DO GOOD. SO WHAT'S THE CURRENT CAPACITY? UH, WE HAVE A TOTAL STORAGE VOLUME OF 350, 315,000 GALLONS. UH, 25,000 GALLONS OF THAT IS CURRENTLY USED FOR VEHICLE FUEL STORAGE. UH, WHICH THAT'S A TWO [01:40:01] COMPARTMENT TANK THAT IS 10,000 GALLONS FOR AUTOMOBILE GASOLINE THAT'S REALLY UNDERUTILIZED. AND, AND 15,000 GALLONS FOR DIESEL FUEL. UH, WE WOULD LIKELY WORK WITH ATLANTIC TO CONVERT THAT. AND, UH, THEY USE THE DIESEL, BUT THEY REALLY DON'T USE THE AUTOMOBILE GASOLINE THERE. UM, SO THAT IS ONE THING WHERE WE COULD, UH, CHANGE THE, THE USAGE OF THAT PARTICULAR TANK. AND THERE'D BE SOME MODIFICATION COSTS FOR THAT. SOME SOMETHING WE'LL LOOK AT, UH, OF THE REMAINING, WE HAVE 290,000 GALLONS OF FUEL STORAGE CAPACITY. 60,000 GALLONS OF THAT IS FOR AGA TANKS OF 15,000 GALLONS EACH. AND THE REMAINING 230,000 IS JED A STORAGE. AND UH, REALLY YOU LOOK AT THE 230,000 OF JET A STORAGE AND THAT WE MOVED 8.9 MILLION GALLONS OF JET A LAST YEAR. UH, AND I WILL NOTE THAT JUST BECAUSE A TANK IS 25,000 GALLONS DOESN'T MEAN YOU CAN PUT 25,000 GALLONS OF FUEL IN THERE. YOU HAVE TO LEAVE ROOM FOR EXPANSION AND YOU CAN'T EMPTY IT ALL THE WAY. SO REALLY THE USABLE VOLUME IS NO MORE THAN ABOUT 90% OF THAT. SO, UH, YOU HAVE TO TAKE THAT INTO ACCOUNT. SO WE REALLY NEED TO ADD, UH, ADDITIONAL JEDI STORAGE CAPACITY BASED ON THE VOLUME THAT WE'RE MOVING AND THE FACT THAT WE GOT MORE HANGERS IN PROGRESS AND MORE AIRCRAFT LIKELY TO COME HERE. SO, SO WHAT'S THE INCREASED CAPACITY PERCENTAGE? WE DON'T KNOW. UH, CUZ UH, WE, WE DON'T HAVE A DESIGN ON WHAT WE'RE LOOKING FOR. UH, NOMINALLY I'VE PUT FORWARD SOME IDEA, UH, JUST A SKETCH OF LIKE, THIS WAS MY, AND WHAT YOU SEE IN THAT IS JUST SOME, SOME, HERE'S WHAT I THINK MIGHT FIT THERE. WHAT DO YOU GUYS THINK? AND, AND THAT'S JUST A, A NOTIONAL, A SKETCH SKETCH JUST TO GET US STARTED. SO, UM, I DON'T THINK WE COULD QUITE DOUBLE, BUT WE COULD MAYBE COME CLOSE TO THAT. SO IT WOULD, IT WOULD JUST DEPEND ON, YOU KNOW, WHAT WILL ACTUALLY FIT THERE. UH, I THINK ONE THING THAT, UH, WE'LL LOOK AT ALL OUR TANKS RIGHT NOW ARE HORIZONTAL CYLINDRICAL TANKS. WE MAY LOOK AT VERTICAL TANKS, CEL SYMMETRICAL TANKS, UM, FOOTPRINT TO SMALLER AND FOR THE SAME SIZE OF VOLUME. SO MAYBE WE COULD SQUEEZE MORE IN THERE. JUST GONNA STAND THEM UP, JUST TAKE 'EM ON THE END. SO IN THIS ENGINEERING PROCESS, ARE YOU ALSO GONNA BE WORKING WITH THE FIRE CHIEF TO MAKE SURE THAT THERE ARE NO ISSUES WITH THEM? SHOULD THERE BE A PROBLEM? YEAH, OF COURSE. AND, AND WE'LL WORK WITH OTHER CITY DEPARTMENTS. ONE OF THE THINGS WE'RE GOING TO BE LOOKING AT IS WORKING WITH GENERAL SERVICES ON PUTTING, UH, FUEL STORAGE FOR, UH, CITY OR TOWN OF ADDISON FLEET VEHICLES TO REFUEL. UH, THEY HAVE TANKS UNDERGROUND AT THE FIRE STATION, NUMBER ONE THAT HAVE HAD ISSUES THAT ARE OLD, I THINK THEY'RE 40 YEARS OLD, PROBABLY NEED TO LOOK AT PULLING THOSE OUT THEIR UNDERGROUND TANKS. THIS WOULD PUT TANKS ABOVE GROUND. UH, IT WOULD BE A FAIRLY CONVENIENT, UH, LOCATION FOR A LOT OF THE, UH, TOWN OF ADDISON FLEET TO, TO COME IN AND GO OUT. UH, IT'S ALSO SECURED BY A GATE. IT'S INSIDE THE FENCE. UH, THAT PARTICULAR GATE IS ONLY ACCESSIBLE BY CITY, UH, STAFF. UH, SO, UH, I THINK THAT QUESTION CAME UP THAT, UH, YOU KNOW, THAT THAT IS A SECURED AREA AND I THINK GREATER USE BY CITY STAFF WOULD ADD TO THE SECURITY OF IT JUST BY GREATER ACTIVITY. AND A LOT OF THE VEHICLES THAT FUEL UP POLICE VEHICLES. SO I DON'T THINK ANYBODY'S GONNA WANNA DO ANYTHING WHILE THE POLICE ARE THERE FUELING UP . BUT JOEL, EARLIER THIS YEAR, OR MAYBE LAST YEAR, YOU HAD MADE MENTION OF BIOFUEL FUELS, PERHAPS THE USE OF BIO BIOFUELS. WELL, THAT'S SOMETHING THAT'S COMING IN THE AVIATION INDUSTRY, SUSTAINABLE AVIATION FUELS OR SOMETHING THAT'S COMING AND, UH, THAT WILL INTERMIX WITH JET FUEL AND WE DON'T KNOW WHEN THAT MIGHT COME. AND ONE OTHER THING THAT WE THINK MAY BE COMING WITHIN THE NEXT FIVE YEARS IS RIGHT NOW ALL THE AVIATION GASOLINE HAS TETRAETHYL LEAD. SO IT'S A LEADED FUEL. IT'S THE LAST COMMERCIALLY AVAILABLE LEADED FUEL IN THE UNITED STATES. THEY'RE WORKING VERY HARD AT PRODUCING A DROP IN REPLACEMENT, WHICH WOULD BE AN UNLEADED AVIATION GASOLINE THAT WOULD BE USABLE BY TODAY'S CURRENT FLEET. SO I THINK THEY'RE PRETTY CLOSE TO TO THAT. AND MAYBE IF THINGS GO WELL TWO TO THREE YEARS, UH, I THINK MORE LIKELY FIVE OR SIX YEARS BEFORE WE SEE THAT, WHAT I'M HOPING IS THAT THAT WON'T REQUIRE ANY SIGNIFICANT MODIFICATIONS TO THE FUEL STORAGE FACILITIES WE CURRENTLY HAVE. AND I THINK THAT'S WHAT THEY'RE WORKING TOWARDS. THAT'S GOOD NEWS. CAN YOU SPEAK A LITTLE BIT MORE TO THE SECURITY OF THE FUEL FARM IN GENERAL? SO ONCE YOU GET INSIDE THE FENCE, THE PERIMETER FENCE, IT'S ACCESSIBLE? YEAH. UH, THERE ARE CAMERAS ON THE F ON THE, ON THE, ON THE FACILITY, AND WE DON'T HAVE ANYBODY SITTING THERE WATCHING THE CAMERAS 24 7. THAT'S JUST NOT AN EFFICIENT USE OF PERSONNEL. UH, WHAT WE USE THE CAMERAS MORE [01:45:01] FOR ARE, IF SOMETHING HAPPENS AND WE'RE ALERTED TO THAT, WE CAN GO AND REVIEW WHAT HAPPENED AND REVIEW IF WE NEED TO, ANY SECURITY PROCEDURES. UM, THE ACCESS THERE, UH, THERE ARE, UM, COMMERCIAL FUEL TRUCK DELIVERY DRIVERS THAT ALL HAVE, UH, THE, UH, COMMERCIAL DRIVER'S LICENSE WITH A HAZMAT, UH, AUTHORIZATION, WHICH, UH, THERE WAS A LINK INCLUDED IN THE PACKAGE, UH, THAT SHOWS YOU HOW INTENSE THE BACKGROUND CHECKS ARE FOR THOSE KIND OF THINGS. YOU'RE DRIVING AROUND WITH 8,000 GALLONS OF FLAMMABLE LIQUID THAT, UH, UM, YOU, YOU WANT TO CHECK THOSE GUYS OUT BEFORE YOU GIVE THEM THAT LICENSE. SO, UH, THAT'S PART OF THE SUPPLY CHAIN THERE. UH, THERE IS, WITH THE VOLUME OF FUEL, WE'RE RECEIVING QUITE A BIT OF ACTIVITY OF, OF COMING AND GOING, BUT IT IS SECURED BY GATES WITH, WITH CODES. UH, WE, WE CAN POTENTIALLY IN INCREASE THE, UH, ACCESS CONTROLS WHEN WE DO THIS, UH, PROJECT TO SOMETHING THAT'S, UH, MORE CONSISTENT WITH THE CARD READER ACCESS LIKE WE HAVE ON OUR BUILDING. UH, THAT, THAT'S ONE THING THAT WE CAN CONSIDER AND LOOK AT. UH, ONE OF THE THINGS THAT WAS MENTIONED WAS ADDING A UTILITY BUILDING TO HELP PROTECT THE EQUIPMENT. UH, THAT UTILITY BUILDING COULD HAVE, UH, AGAIN, KEYPAD OR, OR CARD ACCESS THAT WOULD RESTRICT THE ACCESS RIGHT NOW TO THE ELECTRICAL AND CONTROL EQUIPMENT. SO THAT WOULD BE, UH, ALSO YOU COULD LOOK AT THAT AS NOT JUST A CONVENIENCE AND BETTER PROTECTING THE EQUIPMENT, BUT ALSO SECURITY ENHANCEMENT. UH, I THINK THERE'S, YOU KNOW, RIGHT NOW, HONESTLY, I, I THINK, UH, THE, THE, THE FUEL, UH, THE TANKS ARE, ARE DOUBLE WALL STEEL TANKS WITH THERMAL INSULATION. IT'S VERY HARD TO GET ANYTHING TO HAPPEN WITH THOSE TANKS. UH, THEY'RE DESIGNED TO WITHSTAND, I THINK IT'S A A 50 POUND, UH, IMPROVISED EXPLOSIVE DEVICE, WHICH IS, THAT'S A, THAT'S A PRETTY BIG BOMB, UH, WITHOUT RUPTURING THE PRIMARY TANK. SO, UM, I'M, I'M FAIRLY CONFIDENT THAT, UH, IT WOULD TAKE, UH, SOME REALLY HEAVY DUTY, UH, MILITARY GRADE EQUIPMENT TO ACTUALLY, UH, DO SIGNIFICANT DAMAGE TO, TO THE FARM. UH, AND THAT WOULD NOT GO UNNOTICED. I THINK SOMEBODY WALKING AROUND WITH A ROCKET LAUNCHER PROBABLY ATTRACTS SOME ATTENTION. UM, PROBABLY SO THE LOCATION OF THE FUEL FARM IS HELPFUL TOO BECAUSE IT'S, YOU KNOW, A HIGHLY VISIBLE AREA WHERE THERE'S TRAFFIC AND PEOPLE CAN SEE, YOU KNOW, IT'S NOT LIKE IT'S, IT'S NOT HIDDEN BEHIND BACK IN THE CORNER WHERE NOBODY'S EVER GONNA NOTICE ANYTHING GOING ON THERE. AND I THINK WITH GALAXY FBO RIGHT THERE, EVEN THOUGH THERE IS A FENCE IN BETWEEN THE FUEL AREA AND, AND GALAXY FBO, YOU'RE GOING TO SEE MORE ACTIVITY THERE AND MORE PEOPLE WILL, WILL NOTICE SOMETHING. AND YOU KNOW, FOLKS ON THE AIRPORT ARE ALWAYS PRETTY GOOD AT SAYING WHEN THEY SEE SOMETHING THAT LOOKS OUT OF PLACE AND LETTING US KNOW, UM, YOU KNOW, USUALLY IT'S THE FIRST AMENDMENT AUDITOR FOLKS THAT COME BY AND JUST CHECK AND WE SAY HELLO AND LET THEM GO ON THEIR WAY AND JUST WE ACKNOWLEDGE THAT THEY'RE THERE AND THAT THOSE USUALLY DO GET REPORTED TO US THOUGH. YEAH. ALSO, I WANT TO, UH, EXPRESS THAT JOEL MENTIONED THAT THEY'RE NOT MONITORING THE CAMERA, BUT WE ARE IN PROCESS OF I IMPLEMENTING OUR APPLICATION THAT ALLOW ALL THE OFFICER THEY COULD DIRECTLY CONNECT TO EVERY CAMERA WITHIN THE CITY INCLUDED FARM. NICE. ANY MORE QUESTIONS FOR JOEL? WELL, THE SECURITY TOPIC ON THE FUEL FARMS IS ONE THAT I'VE HAD SOME PEOPLE ASK ME ABOUT. OF COURSE, I'M NOT AN EXPERT ON THAT, BUT THAT'S MAYBE SOMETHING THAT WE SHOULD LOOK AT LATER AS LIKE A FORMAL STUDY OR SOMETHING LIKE THAT. THAT'S, THAT'S, THAT'S ALL I WANT TO KIND OF COMMENT ON TONIGHT'S TOPIC. YEAH, WE CAN CERTAINLY DO THAT. YEAH, I WAS GONNA SAY, CAN YOU CLEAR, I MEAN, SO YOU KNOW, WHEN YOU LOOK AT, YOU KNOW, AS FUEL PRICES GO HIGHER AND HIGHER, THEN OBVIOUSLY PEOPLE ARE MORE INTERESTED IN STEALING IT THAT ARE INCLINED TO DO THAT. UH, BUT CAN YOU TALK MORE ABOUT WHAT YOU WANTED TO PUT PUT OUT THERE? WELL, SO, UM, I'M NOT EXACTLY SURE OF WHAT THE CONCERNS OF, THERE WAS A REPORT WRITTEN, BUT THINGS LIKE, UM, SOMEBODY AND, AND YOU KIND OF ALLUDED TO THIS GOING DOWN ADDON ROAD ROAD HAD A FEW TOO MANY DRINKS AT WHATEVER PLACE GOING A HUNDRED MILES AN HOUR, WE OFF THE ROAD FLYING TO A TANK. WOW. RIGHT. OR SOMEBODY IN INTENTIONALLY A TERRORIST ACTIVITY TRYING TO SABOTAGE THE TANKS, BLOWING 'EM UP OR SOMETHING LIKE THAT. NOT REALLY STEALING GAS. I DON'T THINK THAT'S, THAT'S REALLY THE ANY ANYBODY'S CONCERN. IT'S JUST A MATTER OF DOING SOMETHING PRETTY CATASTROPHIC OR SOMETHING CATASTROPHIC HAPPENING. MY BIGGER CONCERN WOULD BE A PLANE AS WE HAD HAPPENED A FEW YEARS AGO, TAKE [01:50:01] OFF WHERE IT HAD A PROBLEM AND ENDED UP GOING INTO THE HANGER. IS THERE A POSSIBILITY OF THEM TURNING AND GOING INTO THE FUEL FARM? THAT'S MY BIGGER CONCERN, NOT ON PURPOSE. THE BIGGEST CONCERN IS THE RACETRACK GAS STATION OFF THE END OF THE RUNWAY, TO BE HONEST. I GET IT. THAT'S MORE IN LINE. I MEAN, YOU, YOU'RE REALLY NOT ALIGNED WITH THE RUNWAY. THERE'S BIG HANGERS IN FRONT OF IT THAT WOULD REALLY JUST BE AN ABSOLUTE FLUTE FOR SOMETHING LIKE THAT TO HAPPEN. AND AGAIN, THOSE, THOSE TANKS CAN TAKE A PRETTY HARD HIT AND NOT BE RUPTURED. UM, THE REPORT THAT YOU GAVE BACK TO US AS FAR AS WHAT THEY CAN WITHSTAND IS PRETTY SUBSTANTIAL, BUT MORE OF AN INTENTIONAL OR KIND OF INTENTIONAL ACT. IT'S KINDA THE ONE THING I WOULD OFFER ON, ON THAT IS IF, IF THERE WAS SOME KIND OF TARGET, I DON'T KNOW THAT THERE WOULD BE ANYTHING NECESSARILY THAT WE COULD DO TO PREVENT IT. IF SOMEBODY IS THAT WELL THAT'S, THAT'S WHAT I DON'T KNOW. I DON'T KNOW IF, IF IT'S COMMON OR ARE WE UP TO THE SPEC THAT WE SHOULD BE, YOU KNOW, WITH CURRENT PRACTICES, ADDITIONAL FENCE, HIGHER FENCES. I DON'T, I DUNNO. YEAH, I'M, I'M UNAWARE OF ANY ATTACKS ON FUEL FARMS LIKE THAT, TO BE BLUNT. THE VALUE OF THE FUEL FARM IS A FRACTION OF THE VALUE OF A LOT OF THE AIRPLANES. UH, AND IF YOU WERE TRYING TO ATTRACT ATTENTION, THE FUEL FARM WOULD BE A PRETTY POOR CHOICE. UM, SO AN INTENTIONAL ACT, IT WOULD, I THINK ALMOST BE A MENTAL ILLNESS. AND IN THAT CASE, I WOULD QUESTION THE CAPACITY OF SOMEBODY TO CARRY IT OUT SUCCESSFULLY. THAT'S A PRETTY DIFFICULT, UH, YOU CAN'T JUST GO THERE AND LIKE THE THING ON FIRE THAT'S NOT GONNA WORK. AND IT'S, IT'S JUST NOT REALLY POSSIBLE TO DO THAT. NOT TO MENTION, EVEN MENTION YOU DID THE FIRE DEPARTMENT IS A HALF A BLOCK AWAY AND WOULD GET THERE AND PUT IT OUT BEFORE IT DID ANY REAL DAMAGE. YEAH, THAT'S WHAT I WAS GONNA SAY. NOT TO MENTION, IT'S, IT'S NOT, WHY WOULD IT BE A TARGET? BECAUSE IT'S SORT OF SITTING OUT THERE, YOU KNOW, BY ITSELF AND THERE'S NOT USUALLY A LOT OF PEOPLE BY THE FUEL FARM. SO I DON'T, BUT IN ANY REGARD DOESN'T MATTER. IT'S UNDERGROUND OR ABOVE GROUND. AND IF SOMEBODY REALLY BAD, BAD ONE DO SOMETHING THEY CAN STILL DO. UM, I, WHEN WE DECIDE TO BUILD ABOVE GROUND, THE GOOD THING IS IF THERE'S LEAK OR ANY ISSUES, SO IT IS EASIER TO FIX. MM-HMM. . SO THAT'S A DIFFERENCE. INSTEAD OF, IF YOU HAVE A WHOLE A LEAK UNDERGROUND FOR YEARS, YOU MAY NOT KNOW, THEN THEY'LL CREATE ALL THE CONTAMINATION OF THE SOIL. THAT'S EVEN MUCH BIGGER PROBLEM. SO, UH, BUT I ALWAYS THINK PROBABLY TO ENHANCE THE SECURITY YOU NEED TO PUT SOME BIG, BIG COLUMN LIKE A HOW YOU CALL THE BOULDER. BOULDER, YEAH. TO, IN CASE SOMEBODY GET A DRUNK HIT INTO THE FENCE, IT'S NOT STRONG ENOUGH TO HOPE. SO THAT'S SOMETHING I WILL SAY THAT ONE DAY I WAS PASSING BY THERE AND I NOTICED THAT THERE WAS A CAR NEARLY HIDDEN IN THE SHRUBBERY, AND I WONDERED HOW HE GOT THERE, BUT HE DIDN'T EVEN TOUCH THE FENCE. HE JUST WOUND UP IN THE SHRUBBERY THERE. AND, UM, THAT WAS PROBABLY AN ACHIEVEMENT THAT POLICE ARE FAMILIAR WITH. SO I, I, I HONESTLY DON'T SEE THAT AS A SERIOUS ISSUE AS, AS FAR AS YOU'D HAVE TO GO THROUGH SO MANY THINGS TO GET TO IT. AND THERE'S, UH, CONCRETE WRAP STEEL PILLARS, UH, THAT ARE BEFORE YOU EVEN GET TO THE TANKS. SO, UH, YOU KNOW, IF YOU'RE COMING OFF THE STREET, YOU'D, YOU'D WIND UP HITTING ONE OF THOSE BEFORE YOU GOT CLOSE TO A TANK. SO I, I DON'T REALLY SEE A VEHICLE ACCIDENT OFF OF ADDISON ROAD AS BEING A, A, A CONCERN AT ALL. IT WAS JUST A, I DON'T KNOW WHAT ALL THE, ALL THE POSSIBILITIES COULD BE. YEAH. I'M GOOD AT HAVING MORE QUESTIONS. YEAH, NO, THE, THE ONLY OTHER CONTEXT I WOULD OFFER IS, IS I'M IN THE EMERGENCY FUEL BUSINESS, OFF-ROAD FUEL, UM, AND WITH FUEL PRICES HAVING GONE UP, WE HAVE SEEN SOME ISOLATED CASES OF FUEL THEFT, BUT IT'S, IT'S HAPPENING WITH REEFER TRAILERS, WHICH ARE SITTING BEHIND GROCERY STORES AND, AND IT'S, IT'S A VERY SMALL AMOUNT THAT IS JUST KIND OF PETTY, PETTY TYPE CRIME, BUT IT'S JUST BECAUSE PRICES HAVE SPIKED AND IT'S VERY ISOLATED, YOU KNOW, BUT WITH THE WAY OURS IS PROTECTED AT THE FUEL FARM AND THE DEFENSE AND ALL OF THAT, IT JUST, AIRPORTS ARE PRETTY, PRETTY GOOD ABOUT SAFETY. ALL RIGHT. WELL, QUESTION, RIGHT. DO I [01:55:01] HAVE A MOTION? MOTION APPROVAL OF ITEM 17? OKAY. MOTION. I JUST WANNA TO GET ALL THAT SO SECOND BY CATHERINE WHEELER OR IN FAVOR, PLEASE SAY AYE. AYE. OPPOSED? THANK YOU, JOE. THANK YOU MAYOR. I'M LEAVING. [18. Present and Discuss the Finance Department Quarterly Financial Report of the Town of Addison for the Fiscal Year 2022 Fourth Quarter Ended September 30, 2022.] ITEM 18 PRESENT, DISCUSS THE FINANCE DEPARTMENT FOR FINANCIAL REPORT OF TOWN OF ED FOR THE FISCAL YEAR 22. FIRST SUPPORT ENDING SEPTEMBER 30TH, 2022. STEVEN, I BELIEVE THAT'S ALL GOOD NEWS, . IT'S PRETTY GOOD. YES, I KNOW EVERYBODY'S BEEN WAITING REALLY, REALLY, UH, INTENTLY FOR THIS. GREAT. SO, UH, MAYOR AND COUNCIL, STEVEN GLITMAN, CHIEF FINANCIAL OFFICER, AND, UH, THIS EVENING WE HAVE THE, UH, FOURTH QUARTER FINANCIAL REPORT FOR FISCAL YEAR 2022. SO THIS ENCOMPASSES OCTOBER 1ST, 2021 THROUGH SEPTEMBER 30TH, 2022. I WILL PREFACE THAT, UM, THESE ARE NOT AUDITED NUMBERS, SO THE NUMBERS THAT WE GET IN OUR AUDITED FINANCIAL STATEMENTS WILL BE SLIGHTLY DIFFERENT THAN THESE, BUT THIS IS A VERY GOOD REPRESENTATION OF WHERE, UH, OUR FINANCIAL POSITION IS, UH, RIGHT NOW. UH, SO LOOKING AT OUR KEY REVENUE SOURCES, UH, AS YOU CAN SEE, VERY GOOD NEWS. UH, MOST EVERYTHING IS GREEN. UH, AD VALOR TAXES, 102% OF OUR BUDGET. UH, THE, THE BIG NEWS HERE IS NON-PROPERTY TAXES, WHICH IS, UH, SALES TAX AND MIXED BEVERAGE TAX, UH, 9% OVER WHAT WE BUDGETED. UM, SO, SO GREAT NEWS THERE. AND THEN ALL THE OTHER ITEMS, THERE ARE, UH, UH, TRENDING POSITIVELY. UH, SPECIAL EVENTS REVENUE CAME IN, UH, ABOUT $300,000 UNDER WHAT WAS BUDGETED. UH, BUT EVERY OTHER REVENUE SOURCE, UH, TREND TRENDED, UH, POSITIVELY FOR THE FISCAL YEAR. NOW, ON THE EXPENDITURE SIDE, UH, EVERYTHING, UH, CAME IN, UH, BELOW BUDGET. SO IN THE GENERAL FUND, UH, WE ENDED UP AT ABOUT 96.4% OF, OF THE BUDGET. UH, THE HOTEL FUND, ABOUT 91.3% OF THE BUDGET, UH, ECONOMIC DEVELOPMENT CAME IN AT 75% OF BUDGET. UH, THE AIRPORT WAS AT 93%, AND THEN THE UTILITY FUND WAS AT 94.1%. UH, PERSONNEL INFORMATION, UH, FOR THE, UH, FOURTH QUARTER THERE WERE 12 SEPARATIONS. 10 OF THOSE WERE FULL-TIME POSITIONS. UH, THERE WERE 12 NEW HIRES, 11 OF THOSE WERE FULL-TIME POSITIONS. AND IF YOU LOOK AT THE BOTTOM UNDER, UH, PUBLIC SAFETY SWORN POSITIONS, UH, ALL OF THE, UH, BUDGETED POSITIONS, UH, HAVE BEEN HIRED. UH, SO THERE ARE, UH, A FULL STAFF OF, UH, POLICE AND FIRE, UH, GOING ONTO ECONOMIC INDICATORS, UH, STARTING AT THE TOP LEFT, UH, UNEMPLOYMENT RATE FOR DFW. YOU CAN SEE WE'RE AT, UH, VERY LOW UNEMPLOYMENT RATES. UH, GOING TO THE RIGHT HOTEL REVENUE PER AVAILABLE ROOM. UH, YOU CAN SEE THERE IN ABOUT MARCH OF 2022. WE HAD A, A PRETTY STRONG UPTICK, UH, THAT CONTINUED. UH, WE DID HAVE A, A DOWN SWING THERE IN AUGUST OF 2022. UM, PROBABLY LESS BUSINESS TRAVEL WHEN, WHEN KIDS GO BACK TO SCHOOL. I KNOW I DON'T TRAVEL TRAVEL AS MUCH IN AUGUST, UH, BUT, BUT WE'VE SEEN A REBOUND THERE, UH, SEPTEMBER. AND WHAT'S NOT SHOWN HERE, UH, OCTOBER, WE'VE CONTINUED TO SEE STRONG, UH, UH, HOTEL, UH, REVENUE ONTO THE RIGHT, UH, THE HOTEL STATISTICS. UH, THIS HAS THE ROOM RATE IN THE, IN THE GREEN BAR, UH, REVENUE PER AVAILABLE ROOM, THE BLUE BAR. AND THEN OUR OCCUPANCY, AGAIN, YOU CAN SEE, UH, JUST IN AUGUST WE HAD A, HAD A SLIGHT DIP. UH, EVERYTHING ELSE IS TRENDED, UH, POSITIVELY COMPARED TO, UH, THE PREVIOUS FISCAL YEAR. UH, THE OCCUPANCY INDICATORS, UH, OFFICE OCCUPANCY WAS UP 1.7% FROM THE SAME QUARTER, UH, IN THE PREVIOUS YEAR. UH, RETAIL OCCUPANCY UP 1.3% FROM THE SAME QUARTER IN THE PREVIOUS FISCAL YEAR. UH, HOTEL OCCUPANCY UP 6.3% FROM THE SAME QUARTER OF THE PREVIOUS FISCAL YEAR. AND THEN OUR REVENUE PER AVAILABLE ROOM WAS JUST UNDER $60 FOR THE QUARTER. UH, SO, BUT THAT WAS A 26.2% INCREASE, UH, FROM THE SAME QUARTER FOR THE PREVIOUS FISCAL YEAR. AND THEN PERMITS ISSUED IN VALUATION. UH, JUST BELOW THAT YOU CAN SEE A PRETTY, PRETTY, UH, UM, SIGNIFICANT, UH, PERMITS ISSUED, UH, LITTLE OVER, UH, 1,200. UH, THE VALUE IS, IS FAIRLY, UM, UH, THE SAME OVER, OVER THE, UH, FOUR YEAR PERIOD. AND THEN WHEN YOU GO OVER TO THE QUARTERLY PERMIT ACTIVITY YEAR OVER YEAR, YOU CAN SEE THAT THAT'S FAIRLY CONSISTENT QUARTERLY QUARTER OVER QUARTER, UH, YEAR OVER YEAR AS WELL. UH, ECONOMIC DEVELOPMENT INCENTIVES, UH, THERE WERE SEVEN EXECUTED AGREEMENTS, UH, $358,000 PAID ON THOSE INCENTIVES. UH, THEN, UH, TO THE RIGHT OF THAT FOURTH QUARTER SALES TAX COMPARISON, [02:00:02] UH, WITH OUR COMPARISON CITIES AND, UH, SOME OF THOSE, UH, SPECIFICALLY FARMERS BRANCH, UH, THEY DID HAVE A PRETTY BIG, UH, AUDIT OR, OR A PRIOR PERIOD PAYMENT THAT SKEWS THEIRS A LITTLE BIT. BUT, UM, I'M NOT GONNA COMPLAIN ABOUT ANY, ANY INCREASE YEAR OVER YEAR. SO A 5% INCREASE THERE, I'LL TAKE THAT, UH, TAKE THAT EVERY TIME. UH, THEN, UH, MONTHLY SALES TAX COLLECTIONS FOR THE LAST THREE FISCAL YEARS. THE BLUE BARS OR FISCAL YEAR 2020, UH, GREEN BARS ARE 21. AND THEN THE PURPLE BARS OR FISCAL YEAR 2022, YOU CAN SEE THAT MOST MONTHS THROUGHOUT THIS FISCAL YEAR, UH, 2022 WAS THE, UH, HIGHEST SALES TAX OUT OF THOSE THREE, UH, FISCAL YEARS? UH, THERE ARE, THERE ARE, I THINK, UH, LET'S SEE, THREE MONTHS THAT, THAT WEREN'T. ONE OF THOSE WAS AN ANOMALY WITH A LARGE AUDIT PAYMENT, WHICH WAS JUNE OF, UH, 2022. UH, BUT OTHER THAN THAT, UH, WE SAW VERY STRONG, UH, SALES TAX THROUGHOUT THE FISCAL YEAR, UH, LOOKING AT THE TOTAL SALES TAX COMPARED TO, UH, FISCAL YEAR 2021. SO WE DID HAVE JUST UNDER 16 MILLION IN TOTAL SALES TAX COLLECTED, WHICH WAS 108.7% OF OUR BUDGET. UH, THAT WAS AN INCREASE, UH, FROM 14, UH, JUST UNDER 14.9 MILLION IN THE PREVIOUS YEAR. AND THEN OUR BREAKDOWN OF SALES TAX BY CATEGORY, UH, THE LARGEST CATEGORY THAT WE HAVE IS OTHER OR NOT PROVIDED, AND NONE OF THOSE CATEGORIES MAKE UP MORE THAN 4%, BUT IN TOTAL, THEY MAKE UP 25%. AND THEN GOING FORWARD, UH, WE HAVE RETAIL AT 19%. WE ADD ACCOMMODATIONS AND FOOD SERVICE AT 17%. UH, WE HAVE WHOLESALE TRADE AT 13%, UH, INFORMATION AT 10%, UH, MANUFACTURING, UH, AT 6% AS WELL AS PROFESSIONAL SCIENTIFIC TECHNICAL SERVICES. AND THEN CONSTRUCTION AT 4%. AND THEN GOING ON TO THE GENERAL FUND REVENUE, AGAIN, EVERYTHING IS, UH, EXCEEDED, UH, BASICALLY THE BUDGET. SO WE HAD JUST UNDER 44 MILLION IN TOTAL REVENUE, WHICH WAS 105.3% OF THE AMOUNT THAT WAS BUDGETED. AND THEN ON THE EXPENDITURE SIDE, UH, $40,250,000 IN EXPENDITURES FOR THE FISCAL YEAR, UH, UNDER, UH, BUDGET, UH, COMING IN AT 96.4% OF THE AMOUNT THAT WE BUDGETED. UH, THEN GOING ON TO THE HOTEL FUND, UH, TOTAL REVENUE, UH, CAME IN AT 97%, UH, OF THE TOTAL BUDGET. UH, THE GOOD NEWS IS THAT HOTEL TAX, UH, WAS SLIGHTLY OVER BUDGETED, 102.4%. UH, AND THEN OUR REVENUES CAME IN AT 91.3% OF THE TOTAL BUDGET, UH, FOR FISCAL YEAR 2022. GOING ON TO THE ECONOMIC DEVELOPMENT FUND, A TOTAL REVENUE, UH, SLIGHTLY EXCEEDED THE BUDGET, A HUNDRED 0.6%, UH, AND THEN EXPENDITURES WERE, UH, JUST 75% OF THE TOTAL BUDGET. AND THEN OUR AIRPORT FUND, AS YOU HEARD, JOEL, UH, EARLIER THE AIRPORT HAD A, HAD A BANNER YEAR, UH, OVERALL REVENUE, UH, THAT THEY BROUGHT IN 7,535,000 OR 106.7 OR 106.7% OF THE BUDGET AMOUNT, UH, OPERATING EXPENSES, UH, FOUR 4,835,000 OR 93% OF THE BUDGET AMOUNT. AND THEN THEY ALSO HAD ABOUT $850,000 IN CASH FUNDED CAPITAL PROJECTS. SO IN TOTAL, THEIR TOTAL EXPENDITURES, UH, WERE 83.9% OF THEIR BUDGET. AND THEN GOING ON TO THE UTILITY FUND, UH, WE HAD A VERY HOT AND DRY SUMMER. SO, UH, WHEN YOU LOOK AT THE WATER CELLS THAT ARE LISTED IN FOURTH QUARTER, YOU SEE WE ADD ABOUT 4 MILLION IN WATER SALES, WHICH MAKES UP, UH, ABOUT 45% OF THE TOTAL AMOUNT OF WATER SALES FOR THE FISCAL YEAR. UH, AND THOSE, UH, ARE WATER SALES THAT OCCURRED IN JULY, AUGUST AND SEPTEMBER. UH, SO IN TOTAL ARE, ARE OPERATING REVENUE OF 15.7 MILLION, WAS ABOUT 105.6% OF OUR BUDGET. AND THEN WHEN WE LOOK AT OUR OPERATING EXPENSE, UH, WE CAME IN AT 94.1% OF OUR BUDGET. AND THEN OUR STORM DRAINAGE FUND, THE REVENUE CAME IN FOR THE FISCAL YEAR AT 102.3% OF THE BUDGET, UH, OPERATING EXPENSE AT 80.4% OF THE BUDGET. UH, THEY DID HAVE ABOUT $352,000 IN CAPITAL EXPENDITURES. UH, AND IN TOTAL, THEIR EXPENSES WERE 67.1% OF THEIR TOTAL BUDGET. AND THEN LOOKING AT THE HOTEL OCCUPANCY TAX AGAIN, UH, YOU CAN SEE, UH, THE VAST RISE THAT WE HAD COMING, UH, BEGINNING IN MARCH OF 2022, UH, WHICH HAS CONTINUED, UH, THROUGHOUT THE REST OF THIS FISCAL YEAR, UH, WHEN COMPARED TO PREVIOUS QUARTERS IN, IN, UH, SEPTEMBER AND DECEMBER OF 21. YOU CAN SEE THAT WE'VE RECOVERED QUITE NICELY FROM, UH, THE EFFECTS OF COVID. AND THEN OUR INVESTMENT REPORT [02:05:01] SUMMARY. UM, THE BOOK VALUE OF OUR INVESTMENTS INCREASED BY JUST UNDER 10 MILLION. AND THE REASON FOR THAT IS, IS THAT WE SOLD BONDS AND RECEIVED THOSE PROCEEDS IN SEPTEMBER. UH, AGAIN, THE MARKET VALUE, THE SAME THING. WE HAD AN INCREASE BECAUSE OF THE BOND PROCEEDS THAT WE RECEIVED. UH, OUR INTEREST REVENUE FOR THE QUARTER, UH, WAS $376,000, WHICH WAS AN INCREASE OF ABOUT $115,000 OR 44% FROM THE PREVIOUS QUARTER. AND THEN OUR, UH, WEIGHTED AVERAGE YIELD TO MATURITY IS A 1.69%, WHICH WAS AN INCREASE OF ABOUT 52% FROM THE PREVIOUS QUARTER. SO AS, AS I'M SURE YOU'RE ALL AWARE THAT THE, UH, FEDERAL RESERVE IS RAISING INTEREST RATES VERY QUICKLY, WE DON'T RECOVER. WE DON'T, UH, CATCH UP QUITE AS QUICKLY BECAUSE WE HAVE A PORTFOLIO THAT SPANS, UH, YEARS IN SOME CASES. SO WE, UH, ARE CATCHING UP INCREMENTALLY TO THOSE, UH, THOSE INTEREST, UH, RATE INCREASES. SO, UH, AGAIN, UH, THE INVESTMENT, UH, REPORT WAS PREPARED IN ACCORDANCE WITH THE TOWN'S POLICY AND THE, UH, PUBLIC FUNDS INVESTMENT ACT. UH, WITH THAT, I'LL BE HAPPY TO ANSWER ANY QUESTIONS. YOU MAKE IT LOOK EASY. THAT'S THE WAY , SO YOU HAVE THAT'S WHAT I PLANNED. EVERYTH EASY, EXACTLY HOW WE PLAN. ANY QUESTION? ALL RIGHT. THIS IS A NO QUESTION. I HAVE A QUESTION ON SLIDE 14, FOR EXAMPLE, ON UTILITY FUND AND STORM WATER UTILITY. UM, SO WE, UH, PUT IN A RATE INCREASE TO PAY FOR FUTURE, UM, EXPENDITURES THAT WE HAVE TO FOR AGING INFRASTRUCTURE. SO THIS, UH, INCREASE IN THESE FUNDS, IS THAT, THAT, TO BE USED FOR THOSE? OH, ABSOLUTELY. SO WE'RE BANKING THIS ON PURPOSE, WELL, NOT SPECIFICALLY FOR THE UTILITY FUND. FOR THE STORMWATER FUND, THAT WAS THE INTENT THAT THE, THE REVENUE WAS EXCEEDING THE EXPENSES TO CASH FUND CAPITAL PROJECTS FOR THE UTILITY FUND. WE ACTUALLY HAD BASICALLY A FLAT BUDGET. IT WAS JUST SO HOT AND DRY DURING THE SUMMER THAT OUR REVENUE WAS SO MUCH HIGHER, UH, FOR THOSE THREE MONTHS THAT WE GENERATED MORE REVENUE THAN, THAN WE ANTICIPATE. BUT THOSE FUNDS CAN BE USED FOR, FOR CAPITAL PROJECT PURPOSES. ANIMAL QUESTION, MY LEADING IS AJOUR. * This transcript was created by voice-to-text technology. The transcript has not been edited for errors or omissions, it is for reference only and is not the official minutes of the meeting.