Jun 11, 2024 Work Session and Regular Meeting

AND SO KNOWING WE'VE GOT WHAT, 24, 22 AND, UH, DO ALL 22 HAVE MORE THAN 50 ROOMS? THEY DO, THAT'S WHY WE CHOSE THAT.

THEY DO.

AND SO KNOWING THAT WE HAVE 22, UH, HOTELS, WOULD YOU HAVE A FEEL FOR HOW MANY BOARD MEMBERS WOULD WE WOULD HAVE FOR, FOR THAT, THAT SIZE? YOU KNOW, WE HAVEN'T, MARY AND I HAVEN'T TALKED ABOUT THAT JUST YET, SO I, I COULDN'T, I COULDN'T TELL YOU, BUT OKAY.

UM, WE CERTAINLY, IF THAT'S SOMETHING, SOMETHING YOU WOULD LIKE US TO, UH, I WAS JUST CURIOUS, THESE OTHER, THESE OTHER CITIES THAT HAVE THIS OR ARE, UH, I'M CERTAIN THAT THEY'VE GOT QUITE A BIT MORE HOTELS THAN WE HAVE, SO I WAS JUST TRYING TO GET A FEEL FOR HOW BIG THE BOARD RIGHT BOARD WOULD BE.

WELL, WE, WE DON'T WANT IT TO BE TOO BIG JUST FOR, YOU KNOW, GOVERNANCE PURPOSES, BUT MOST OF 'EM, I'LL TELL YOU ARE EIGHT TO 15.

AND THEN CAN YOU GO BACK, UH, MAYBE TWO SLIDES ON THIS PROCESS? UH, ONE MORE SLIDE PLEASE.

YOU'VE GOT NUMBER ONE I GET, AND THEN YOU'VE GOT NUMBER TWO.

THE, OR WHO, WHO DECIDES THE, UH, WHETHER WE DO BY, UH, PETITION BY SIGNATURES, UM, WEIGHED BY OWNERS ARE, ARE WEIGHED BY, UH, 60% OF THE SURFACE AREA OF THE HOTELS.

WHO, WHO DECIDES WHICH APPROACH WE TAKE? YES, BUT WE TYPICALLY ASK, UH, EVERYONE INVOLVED TO, TO DO ALL THREE, JUST SO THERE'S NO OH, ALL THREE.

SO WE'VE DONE THAT IN EACH, IN EACH DISTRICT SO FAR.

AND WE LIKE THAT JUST BECAUSE WE DON'T WANT TO LEAVE ANY DOUBT AS TO THE SUPPORT DISTRICT, WHICH WOULD LEAD US TO THE LAST ONE.

RIGHT, RIGHT.

I MEAN, THAT KIND OF COVERS IT ALL.

THAT'S OKAY.

AND WE'RE LOOKING AT THIS FOR A PARTICULAR GEOGRAPHIC DISTRICT, IS THAT IT WOULD BE, OUR DISTRICT WOULD BE THE ENTIRE TOWN.

YEAH, WE'D INCLUDE ALL OF OUR HOTELS DEPARTMENT.

UM, THE 50 ROOM THRESHOLD THAT WE PUT ON IN THERE, OUR SMALLEST HOTEL IS 62 ROOMS, SO THAT, THAT INCLUDES ALL OF OUR HOTELS, BUT IT KEEPS OUT AN AIRBNB OR A AIRBNB IF SOMETHING SOMEBODY WAS, WE DON'T HAVE ANYTHING LIKE THAT NOW, BUT, UM, IT JUST WORKED FOR OUR COMMUNITY.

IF WE DID 75, WHICH A LOT OF CITIES DO, IT MEANT TWO OF OUR HOTELS COULDN'T PARTICIPATE AND WE DIDN'T WANT DO THAT.

WE WANTED EVERYBODY .

SO THE TWO, THE 2% IS 2% OF THEIR REVENUES.

STAYING MORE THAN 30 DAYS, THEY DON'T PAY A HOTEL TAX, THEY WOULDN'T PAY THIS ASSESSMENT.

ROOM REVENUES.

IT'S A 2% ASSESSMENT ON THE HOTEL ROOM NIGHT, THE ROOM, RIGHT.

TAXABLE ROOM, NIGHT TAXABLE.

SO THERE'S AN EXEMPTION THAT APPLIES AS WELL.

RIGHT, RIGHT.

SO YOU'VE GOT A, AN EXTENDED STAY WHERE, WHERE PEOPLE ARE

[00:20:01]

GOTCHA.

AND SO THAT, THAT'S JUST A PASS THROUGH TO THE GUESTS.

SO THE HOTEL DOESN'T, DOESN'T, DOESN'T COST THE HOTEL ANYTHING TO, TO PARTICIPATE IN THIS.

HAVE YOU SEEN ANY KIND OF, ANY KIND OF NEGATIVE IMPACT ON THAT? ANY PUSHBACK FROM GUESTS HAVING TO PAY AN EXTRA 2%? NOT OF TAX.

I MEAN, SOMETIMES WE DO, BUT THOSE ARE TYPICALLY THE GUESTS WHO ARE UPSET ABOUT THE HOTEL OCCUPANCY ATTACKS AS WELL.

UM, BUT SURPRISINGLY, WE, WE HEAR VERY, UM, VERY FEW COMPLAINTS ON THAT, VERY FEW COMPLAINTS FROM OUR HOTELS, YOU KNOW, OR EVEN IF THEY DO LOSE A LITTLE BIT OF BUSINESS, THE BUSINESS THAT THEY'RE BRINGING IN, UM, JUST KIND OF OUTWEIGHS THOSE CONSIDERATIONS.

TYPICALLY, THESE WARDS WILL SET A POLICY FOR THEMSELVES, AND THIS IS SOMETHING WE'LL ASK THIS BOARD TO DO AS WELL.

UM, A A MINIMUM THRESHOLD FOR THEIR EXPENDITURES.

SO MANY OF THE, SOME OF THE SMALLER DISTRICTS WILL DO SEVEN TO ONE.

SO FOR EVERY DOLLAR THEY'RE SPENDING, IT NEEDS TO GENERATE $7 IN HOTEL, HOTEL NIGHT REVENUE.

SO IT TYPICALLY DOESN'T COME UP BECAUSE WE REQUIRE THAT THRESHOLD.

WELL, YOU SEE, CITY OF DALLAS, CITY OF DALLAS IS ONE OF THE BIGGEST CITIES THAT WE COMPETE WITH.

THEY'VE GOT THIS ASSESSMENT, BUT PLUS THEY'VE GOT, UM, CONVENTION CENTER TAXES, AND THEY'RE, IF YOU, IF YOU'RE LOOKING AT APPLE APPLES, THEIR TAXES ALREADY MUCH HIGHER.

22% OR SOMETHING IS JUST 15.

SO IT'S, YEAH.

SO IT'S, IT'S CONSTRUCTIVE DOES BE DO IT CITYWIDE OR SPECIFIC AREAS? IT'S CITYWIDE.

THAT'S CORRECT.

ALMOST ALL OF THEM ARE SITTING LINE.

SO IF THE HOTEL BILLS $300 PER ON A $6 TAX, I'M SORRY, IT'S $300 FOR A ROOM LINE, IT'S $6 THAT WE'RE GONNA ADD ON PER RIGHT.

AND THEN THE HOTEL TAX, OUR HOTEL TAX GOES ON TOP OF THAT.

SO IT BY DEFAULT GENERATES A LITTLE BIT EXTRA IN THE HOTEL TAX, WHICH IS THE WEEKEND, WHICH IS 13 POINT HALF PERCENT.

WHICH IS 13 AND HALF.

AND THEN SIX, 13 AND HALF.

SO, AND THEN HELP ME, UM, DO WE CHARGE SALES TAX ON THE ROOM RATE ALSO? NO, SALES TAX.

SALES TAX IS NOT, SO BASICALLY WE'RE TALKING ABOUT THE ROOM RATE TIMES 15.5% IF WE APPROVE THIS HOT TAX.

AND ANOTHER 2% ON TOP OF THAT.

THERE'S NO OTHER, I'M JUST TRYING TO THINK OF SOME OTHER TAX OR FEE OR SOMETHING.

SOMETIMES PROPERTIES WILL CHARGE A, A STATE COST RECOVERY FEE.

UM, BUT THAT'S, THAT'S SOMETHING THEY CAN CHOOSE TO DO, UM, THAT THE STATE ALLOWS 'EM TO DO TO RECOVER FRANCHISE TAXES TO PASS OUT ALONG TO THE GUESTS THAT'S ON A HOTEL, A FACE FIVE.

AND DO WE KNOW WHAT THAT, THAT NUMBER LOOKS LIKE OR MIGHT BE? UM, THERE'S NO LIMIT ON IT.

IT JUST, OKAY.

DIFFERENT PROPERTIES DO IT DIFFERENTLY.

GOT IT.

WHY? THAT'S A GREAT QUESTION.

I THINK, AND I THINK, YOU KNOW, TO YOUR POINT, PEOPLE ARE GONNA SEE THEY'VE ALREADY, CITIES OF ACROSS TEXAS HAVE SEEN THE DISTRICTS THAT ARE UP AND RUNNING AND, AND THERE'S A LOT OF CITIES WHO ARE CONSIDERING IT, UM, AS WELL.

THEY HAVEN'T GOTTEN MOVING LIKE Y'ALL HAVE, BUT, BUT THERE WILL BE PEOPLE FOLLOWING, THAT'S FOR SURE.

I'VE GOT A QUESTION FOR STEVEN REAL QUICK.

I'M GONNA ASK WHILE YOU'RE WALKING UP .

SO, SO CAN YOU KIND OF GIVE US A NUMBER OF, UH, WHERE WE'RE AT WITH MAYBE, UH, HOTELS THAT ARE BEHIND ON PAYING THEIR HOT TAX? OH, WE HAVE, UM, MOST OF THEM ARE CAUGHT UP.

WE HAVE ONE THAT I THINK ABOUT SEVEN OR EIGHT MONTHS BEHIND.

UH, EVERY OTHER ONE, I BELIEVE WE'RE 21 OUT OF 22 WE'RE CAUGHT UP.

YES, WE HAVE SOME, SOMETIMES THERE, WHEN WE DO OUR QUARTERLY REPORT, WE MAY HAVE ONE OR TWO THAT NOT PAID TIME, WE'VE DONE THE REPORT, BUT THEY USUALLY GET PAID UP.

WE JUST HAVE ONE AND THEY'RE, THEY'RE PRETTY FAR.

HOTELS THAT HAVE ADEQUATE MEETING SPACE TO ACCOMMODATE CONVICTIONS OF LARGE GROUPS? WE, WELL, THE MARRIOTT IS ONE OF THE GROUPS AND THEY'RE HERE.

AND, UM, AND I, I THINK I HEARD THIS CORRECTLY, THAT, THAT THIS, THIS MIRRORS UP WITH HOT TAX.

IF SOMEBODY'S THERE IN THE ROOM FOR OVER 30 DAYS, THEN THAT THEY'RE EXEMPT.

CORRECT.

FROM THIS, IF YOU'RE EXEMPT FROM, FROM HOT TAX, YOU'RE EXEMPT FROM THIS ASSESSMENT.

I GOT IT.

UM, SOMEPLACE IN, UM, I CALL IT THE WHITE MEMO, THE BEGINNING SUMMARY MEMO.

YEP.

UM, IT TALKS ABOUT, IT SAYS THE PURPOSE IS TO ENHANCE MARKETING AND SALES INITIATIVES, WHICH DRAW CONVENTION AND GROUP BUSINESS.

DO, DO WE HAVE ANY KIND OF A SURVEY OR WHATEVER THAT OF OUR, OUR

[00:25:01]

THE, UM, THE RENAISSANCE IS THE OTHER ONE WITH LARGE SPACE, AND THEY ARE UNFORTUNATELY THE, UM, DIRECTOR BE HERE WITH US.

BUT, UM, THEY ARE VERY INVOLVED IN THIS.

AND ACTUALLY THEY WERE THE ONES, UM, THAT WE GOT THE IDEA FROM WORKING WITH THEM.

THEY'RE SUPER SUPPORTIVE OF THIS.

WE'RE VERY MUCH ADVOCATES OF THIS, UM, THESE FUNDS.

UM, I WOULD SAY I THINK IT'S CRUCIAL FOR US TO BE COMPETITIVE, UM, GET, UH, DEPRESSION FROM THE DALLAS MARKET TO BE COMPETITIVE WITH GOING NEW IN OUR SURROUNDING MARKETS UP NORTH.

UM, I HAVE REPRESENTED THE SAN ANTONIO MARKET BEFORE WHEN WE HAVE HAD IT.

IT'S A GREAT GOAL.

UM, I DON'T THINK I'VE EVER ONCE HAD A CUSTOMER COMPLAIN ABOUT, IT'S JUST LUMPED INTO WHAT THEY PAY OVERALL FROM AN OUT OCCUPANCY PERSPECTIVE.

UM, AND IT ALL BENEFITS US AS A TOWN AND AS RESULT, I THINK FROM, YOU KNOW, MARKETING AND SALES GOES HAND IN HAND, HAVE TO HAVE THAT MARKETING PIECE TO, UM, MARKET ADDISON.

WE NEED IT, UM, FROM THE SALES PERSPECTIVE TO HELP PULL THOSE CUSTOMERS AND WHY THEY WANT TO COME HERE, BUT HELP WITH THOSE OFFSET OF FUNDS, UH, TO GET HERE.

DON'T NEED, I'M JUST SAYING FROM A HOTEL PERSPECTIVE, A LARGE HOTEL PERSPECTIVE, I DO BELIEVE THAT THIS WOULD BE A GAME CHANGER FOR US, US TO BE COMPETITIVE.

AND I THINK THAT WE NEED TO, TO DO THAT TO LOOK FORWARD AND ESPECIALLY FOR, YOU KNOW, CONTINUE TO GROW WITH THOSE FUNDS.

NOW A QUESTION.

UM, ALL THE 2% YOU MIGHT HAVE SPOKEN TO ME ABOUT THE IMPACT.

UM, HOW DID WE COME TO THAT, THAT NUMBER AND THROUGH THE LEGISLATION, IS THERE A RANGE THAT'S ALLOWED FOR THAT ASSESSMENT? THERE'S NO PARTICULAR RANGE, BUT THAT'S JUST KIND OF INDUSTRY STANDARDS.

THAT'S WHAT EVERYONE'S, IT'S REASONABLE.

YOUR QUESTION, NOT THAT EVERYONE'S DONE.

YOU KNOW, YOU'RE NOT DRAWING TOO MUCH OPPOSITION FOR IT BEING TOO HIGH.

SO THAT'S, THAT'S WHY, WHY WE FIND IT.

SO WE SORT OF TOUCHED ON THIS, UM, MY FIRST QUESTION WAS HOW IS IT REALLY COLLECTED? UM, AND I THINK YOU TOUCHED ON IT, THAT, YOU KNOW, IT'S TRULY UP TO EACH INDIVIDUAL HOTEL TO, YOU KNOW, TRACK THEIR OWN REVENUE AND THEN SEND THAT 2%.

RIGHT? AND I'M, I'M ASSUMING THAT'S HOW THE HOTEL TAX WORKS AS WELL.

HAVE YOU EVER SEEN ANY MARKETS OR CITIES WHERE, YOU KNOW, MAYBE THAT 40% THAT DIDN'T VOTE FOR IT, OR THOSE FEW THAT DIDN'T VOTE FOR IT, JUST DON'T SEND IT IN THAT WE DO.

WE DO HAVE ISSUES WITH THAT AND UH, THAT'S PART OF MY JOB AS WELL IS AS HELPING THE, THE TPI AND THE, THE CBB OR THE CITY IN THOSE INSTANCES, UM, WORK WITH THOSE HOTELS TO GET BACK ON TRACK.

BUT YOU'RE ALWAYS GONNA HAVE, AS A HOTEL OCCUPANCY TAX, YOU'RE NOT GONNA HAVE 100% COMPLIANCE.

UM, AND IT'LL BE UP TO, AGAIN, THE CITY TO DECIDE HOW HEAVY HANDED YOU GUYS WANT TO BE IN.

SO DO WE HAVE A PROCESS FOR THAT? LIKE AN AUDIT PROCESS? YEAH, WE HAVE PROCESS, YES, WE DO , WE HAD, YEAH, WE HAVE AN ON STAFF.

UH, ONE OF OUR, UH, ACCOUNTING EMPLOYEES IS PAID OUT THE HOTEL FUND AND THEIR PRIMARY FUNCTION IS TO PERFORM THE HOTEL TAX AUDIT.

SO WE DIDN'T DO THAT REALLY DURING THE HEIGHT OF COVID, SO WE WERE NOT VERY HEAVY HANDED WITH THAT.

SO THAT'S WHY WE HAVE ONE THAT'S LIKE STILL CATCHING UP FROM THAT.

BUT, BUT WE DO, WE DO, I THINK WE TRIED TO DO ABOUT SIX A YEAR.

UM, SO PREVIOUSLY I THINK WE STARTED THIS PROGRAM IN 2015.

PRIOR TO THAT WE USED A FIRM THAT WOULD DO IT AND THEY WOULD ONLY GET DONE ABOUT TWO OR THREE A YEAR.

SO WE DO HAVE A PROCESS IN PLACE THAT WE DO.

YES.

THAT'S ONE OF THE THINGS THAT OUR INDUSTRY HAS ASKED FOR IF WE'RE GOING TO DO THESE PROJECTS.

AND THEN SO HOW MUCH OVERSIGHT, UM, YOU KNOW, OR CONTROL DOES THE TOWN HAVE ON THOSE DISPERSEMENTS? NO, UH, I HEARD YOU AND YOU SAID THERE'S AN EX OFFICIO THAT'LL BE ON THE BOARD THAT, YOU KNOW, WOULD REPRESENT THE TOWN, BUT HOW MUCH OVERSIGHT OR CONTROL DOES THE TOWN HAVE ON HOW THAT MONEY IS SPENT? RIGHT.

UM, SO AGAIN, THE, THE MONEY IS BOUND BY STATE LAW.

IT'S ALSO BOUND BY THE SERVICE PLAN.

Y'ALL WILL BE APPROVING THE SERVICE PLAN AND UPDATING IT, LOOKING AT IT, UH, ONCE A YEAR ANNUAL.

THE CHAPTER 3 72 REQUIRES THAT.

UM, BUT BEYOND THAT, AS FOR THE DAY TO DAY, HOW THE FUNDS ARE SPENT ON MOST OF THAT AUTHORITY IS GOING TO LIE WITH THE HOTELIERS.

AND WE, WE'VE DONE IT THAT WAY.

UM, JUST BECAUSE THAT'S,

[00:30:01]

UM, JUST BECAUSE THEY, YOU KNOW, THEY KNOW WHEN THEIR SLOW SEASON IS, WHEN THEIR SHOULDER SEASON IS.

UM, AND SO WE HAVEN'T HAD ANY TOO MANY COMPLAINTS FROM CITIES.

AND THEN I GUESS YOU COULD, IF YOU HAVE 22 HOTELS AND NEED AN EIGHT PERSON BOARD, YOU COULD ROTATE THAT WORD.

YEAH, THAT'S CORRECT.

YOU DEFINITELY.

AND THEN THIS IS MY LAST QUESTION.

UM, IS THERE ANY WAY THAT YOU COULD LEGALLY COLLECT THIS TAX ON THE EXTENDED DAY HOTELS OR, WELL, SO IF MOST OF THEIR BUSINESS IS BEYOND 30 DAYS, THEN PROBABLY NOT BECAUSE THEY'RE GONNA BE EXEMPT, BUT THEY'RE PROBABLY GOING TO HAVE, UM, THEY'RE PROBABLY GOING TO HAVE A NUMBER OF TRANSACTIONS THAT ARE SUBJECT TO HOTEL OCCUPANCY TAX IF THEY'RE UNDER, UH, 30 DAYS OR IF THERE'S AN INTERRUPTION IN PAYMENT, UM, FROM A GUESS THE CLOCK STARTS OVER.

SO THERE ARE GOING TO BE, IF YOU GO IN AND DO AN AUDIT ON AN EXTENDED STAY, UM, THERE PROBABLY ARE GONNA BE TRANSACTIONS WHERE THIS ASSESSMENT IS DUE.

THAT GETS BACK TO JUST THE TIME AND EFFORT DURING AN AUDIT.

THAT'S CORRECT.

ALRIGHT.

AND OH, I FORGOT ONE MORE QUESTION.

MARY, YOUR STAFF, ARE YOU STAFFED UP ENOUGH TO TAKE THIS ON? WE'LL BE TALKING MORE WITH YOU ABOUT THAT.

ON THAT POINT, THAT IS SOMETHING THAT THE CHIEF CAN HELP ON AS WELL FOR THE ADMINISTRATIVE, LIKE THE AUDITS IS THAT POTENTIALLY THAT'S A, THAT'S A BIG COST THAT, YOU KNOW, YOU GUYS ARE HAVING ISSUES WITH NEEDED FOR THE ADMINISTRATION.

I HAVE A QUESTION BACK ON THE SLIDE WHERE WE HAVE THE, UM, THESE FUNDS ALLOCATED TO MARKETING AND SALES.

THAT, THAT ONE OKAY.

ON THE SALES, UM, BULLET NUMBER THREE MM-HMM.

CREATE A SEPARATE HOTEL SUPPORT FUND.

WHAT, THAT'S ANOTHER FUND WITHIN.

WE, WE CURRENTLY, WITHIN OUR BUDGET HAVE MONEY EARMARKED FOR A, WHAT WE CALL A HOTEL SUPPORT PROGRAM, WHERE, UM, HOTELS THAT, UM, HAVE GROUP BUSINESS.

SO IT'S REALLY THE MARRIOTT AND THE RENAISSANCE THAT CAN APPLY FOR THESE FUNDS CAN COME TO US AND REQUEST SUPPORT WHEN THEY ARE COMPETING, UM, FOR GROUP BUSINESS.

UM, SO THOSE, THEY CAN COME TO US FOR $5,000 AT A TIME.

UM, THE TPI PROGRAM WOULD ALLOW 'EM TO REQUEST LARGER AMOUNTS AND MAKE THEM MORE COMPETITIVE WITH SOME OF THEM.

SO YOU JUST HAVE A SIMILAR ACTIVITY WITHIN THIS FUND? MM-HMM, .

UM, AND I HAVE ANOTHER, UM, ANOTHER QUESTION HERE ON, IT MIGHT BE A LITTLE BIT OF A, UM, ON WHAT YOU WERE ASKING ABOUT.

AND I, I KNOW THAT WE'RE CURRENTLY INVOLVED IN A MATTER WITH A HOTEL.

UM, DOES ANY OF THIS PLAY NEGATIVELY IN ANY WAY? UH, UH, IN CONFLICT, UH, POSITION THERE? NO.

I MEAN, THAT LAWSUIT'S SPECIFIC TO AN ORDINANCE THAT THE CITY PASSED.

UM, AND IT, YOU KNOW, IT'S ON APPEAL, IT'S BEING HEARD RIGHT NOW.

UM, SO WITHOUT GETTING INTO SPECIFICS, I DON'T HAVE ANY CONCERNS WITH THIS.

HAVING ANY EFFECT ON THAT AS WELL.

I HAVE A COUPLE QUESTIONS.

UM, SO IF WE'RE ADDING TO MARY'S STAFF, WOULD THAT BE PAID OUT OF THE FUNDS FROM THIS? WE, I'LL JUST .

SO THERE'S TWO THINGS.

ONE IS THE ADMINISTRATIVE COST HERE.

SO THAT'S REALLY, THAT 10% IS WHAT'S GOING BACK INTO THE HOTEL FUND.

ESSENTIALLY IT'S WHAT THE TOWN WOULD BE BILLING THIS T BID FOR THE TOWN SERVICES.

AND THEN, UM, AS WAS MENTIONED EARLIER, THIS, UH, ASSESSMENT IS TAXABLE.

SO BY DEFAULT IT'S GONNA GENERATE 2% MORE HOTEL TAX.

UH, SO ESTIMATES RIGHT NOW ARE ABOUT 105,000, UH, ADDITIONAL HOTEL TAX THAT WOULD GENERATE.

AND THEN YOU HAVE THIS, UH, WHICH IS ABOUT 150,000.

SO THOSE TWO TOGETHER.

TO SIGN A PETITION TO BE INCLUDED.

SO THE ASSESSMENT IS TAXED ALSO? IT IS.

ALRIGHT.

UM, SO WE HAVE A PLAN FOR A BOUTIQUE HOTEL, I WOULD SAY LIKE A SMALLER HOTEL IN THE TOV DISTRICT, KIND OF FROM THE GRAND PLAN.

AND IF IT IS LESS THAN 50 ROOMS, A BOUTIQUE, BOUTIQUE HOTEL MIGHT BE, IS THAT, HOW DO WE HANDLE THAT? IT IS LESS THAN 50 ROOMS. UH, IT'S NOT GOING TO BE INCLUDED IN THE DISTRICT.

WE HAVE SEEN SITUATIONS, I THINK SPECIFICALLY IN WACO WHERE, UM, A HOTEL VOLUNTARILY WANTED TO BE A PART OF THE DISTRICT.

SO WE HELPED THEM JOIN IF, IF THAT'S WHAT THEY LIKE.

BUT FOR ANY HOTEL THAT IS CONSTRUCTED AFTER THE CREATION OF THE DISTRICT, CHAPTER 3 72 REQUIRES THEM

[00:35:01]

SO THEY HAVE TO, THEY HAVE TO OPT IN REGARDLESS OF, AND THEY CAN'T PARTICIPATE.

SO THAT'S, THAT'S GOOD.

SO WHERE, WHERE DOES THIS, WHERE DID THIS COME FROM? DID IT COME FROM THE TOWN SUGGESTING THIS OR FROM THE HOTELS REQUESTING THIS? OR HOW DID ALL THIS START? UM, WHEN MARKETING CAME OR WENT, TOURISM WAS MOVED UNDER MARKETING.

UM, AMBER AND I WENT OUT AND, AND TALKED WITH THE HOTELS AND JUST TO, UM, I WANTED TO INTRODUCE MYSELF AND FIND OUT WHAT THEIR NEEDS WERE.

AND, UM, BOTH OF, UH, MARRIOTT AND THE RENAISSANCE MENTIONED THAT, THAT DALLAS HAS THIS GREAT FUND OF MONEY AVAILABLE TO 'EM, UM, THAT THEY CAN USE TO, UM, BE SUPER COMPETITIVE WHEN LOOKING AT BUSINESS.

SO WE, UM, STARTED TO STOCK THE FINANCE AND UM, FIGURE OUT IF THERE WAS A WAY WE COULD KIND OF SUPERCHARGE OUR, UM, OUR HOTEL SUPPORT PROGRAM THAT WE ALREADY HAD.

UM, AND THEN, UM, WE JUST, WE REALIZED THERE WERE A LOT OF CITIES OUT THERE THAT ARE DOING THIS PROGRAM.

FRISCO JUST ADOPTED THEIRS LAST YEAR, UM, AND WE THOUGHT, WELL, THEY'RE DOING IT.

WHY CAN'T, WHY CAN'T WE, WE'LL BE THE SMALLEST CITY THAT'S PART OF THIS, BUT UM, WE THINK IT MAKES SENSE FOR US GIVEN, UM, HOW, UM, THE TOURISM IS IN OUR COMMUNITY.

SO THIS IS BEING DRIVEN BY THE HOTELS? YEAH.

NOT BY THE TOWN.

SO MAYOR, YOU JUST NEED SOME DIRECTION FROM US THAT WE'D LIKE TO MOVE FORWARD.

YES SIR.

WELL I'M CERTAINLY SUPPORTIVE OF IT.

I AM, I AM.

AND WE DID NOT JUST VOTE, JUST SO YOU KNOW.

DON'T RAISE YOUR HAND .

SO DO YOU, DO YOU HAVE WHAT YOU NEED FROM US? YEAH, THAT'S IT.

ALSO PROUD TO DO THE EMPLOYEE RECOGNITION IF CHIEF FREEZE COULD COME UP FRONT.

YOU AT THE NEXT WEEK AND THIS, YEAH.

SO AT THIS POINT, UH, SO WE'RE RIGHT AT ALMOST SEVEN O'CLOCK, LET'S GO AHEAD AND TAKE A FIVE MINUTE BREAK AND THEN WE'LL UH, CONTINUE THE REGULAR MEETING IN THE OTHER ROOM AND THEN WE'LL FINISH UP THE, UH, WORK SESSION ITEMS AFTERWARDS.

IT IS SEVEN OH THREE AND WE'LL CALL TO ORDER OUR REGULAR MEETING AT THE ADDISON CITY COUNCIL ON JUNE 11TH.

WE DO HAVE A QUORUM PRESENT, UH, WITH SIX MEMBERS OF THE COUNCIL IN ATTENDANCE TONIGHT.

AND WE HAVE, UH, DEPUTY CITY MANAGER PASSION HAYES IS FILLING IN FOR OUR CITY MANAGER, DAVID GAINES, WHO'S OUT OUT OF TOWN ON VACATION WITH HIS FAMILY.

AND AS ALWAYS, WE'D LIKE TO START OUR MEETINGS WITH THE PLEDGES TO BOTH OF OUR FLAGS.

IF YOU PLEASE RISE.

I PLEDGE ALLEGIANCE TO THE FLAG OF THE UNITED STATES OF AMERICA FLAG AND TO THE REPUBLIC ALLEGIANCE STANDS, ONE NATION UNDER GOD, INDIVISIBLE, WITH LIBERTY AND JUSTICE FOR ALL HONOR OF THE TEXAS FLAG.

I TO BE TEXAS STATE, STATE UNDERGRAD ONE INDIVISIBLE.

THANK YOU VERY MUCH.

OUR FIRST ITEM WE HAVE IS ITEM NUMBER TWO, PROCLAMATIONS

[a. City Manager's Announcements]

PRESENTATIONS.

WE HAVE CITY MANAGER ANNOUNCEMENTS AND EMPLOYEE RECOGNITION FASHION.

THANK YOU MAYOR.

WE HAVE A FEW ANNOUNCEMENTS THIS EVENING.

FIRST, WE ARE EXCITED TO ANNOUNCE THAT VITRUVIAN NIGHTS LIVE MAKES A COMEBACK TO THE VITRUVIAN PARK AMPHITHEATER ON THURSDAY, JUNE 13TH.

FROM SEVEN TO NINE 30 THERE WILL BE OUTDOOR ACTIVITIES, FOOD, TRUCKS, AND LIVE MUSIC.

NEXT, WE ARE PROUD TO HOST AN ADDISON CIRCLE VISION PLAN, PUBLIC ENGAGEMENT MEETING ON THE FUTURE OF ADDISON CIRCLE PARK ON WEDNESDAY, JUNE 19TH FROM FIVE 30 TO SEVEN 30 HERE AT THE CONFERENCE CENTER.

LASTLY, PLEASE STOP BY BITTER SISTERS ON JUNE 20TH AT 6:00 PM FOR OUR NEXT SIPS AND SCOOPS, YOU'RE GONNA GET A BEHIND THE SCENES LOOK AT ADDISON'S FAVORITE BREWERY AND HEAR ON, HEAR MORE UPDATES ON WHAT'S HAPPENING IN ADDISON.

I'M

[b. Employee Recognition]

I AM DELIGHTED TO INTRODUCE OUR NEWEST TEAM MEMBER, CHRIS FREEZE, WHO JOINED THE TOWN YESTERDAY AS OUR POLICE CHIEF.

CHRIS WAS BORN IN GREENVILLE, TEXAS AND LATER MOVED TO GARLAND WHERE HE ATTENDED HIGH SCHOOL.

HE GRADUATED FROM GARLAND CHRISTIAN ACADEMY AND PURSUED HIGHER EDUCATION AT DALLAS BAPTIST UNIVERSITY.

HAVING LIVED IN TEXAS HIS ENTIRE LIFE.

CHRIS IS A DEVOTED COWBOYS FAN.

HE IS, HE'S A PROUD HUSBAND TO HIS WIFE KRISTEN, OF 14 YEARS.

AND TOGETHER THEY HAVE AN 8-YEAR-OLD SON NAMED HARRISON.

HE TAKES GREAT PRIDE IN HIS FAMILY AND CHERISHES THE TIME WITH HIS WIFE AND SON, KNOWN FOR HIS STRONG RELATIONSHIP BUILDING SKILLS.

CHRIS

[00:40:01]

HAS A DIVERSE BACKGROUND.

BEFORE HIS CAREER IN LAW ENFORCEMENT, HE SERVED AS A SCOUT PLATOON MEDIC IN THE HUNDRED AND FIRST AIRBORNE DIVISION OF THE US ARMY.

CHRIS IS PARTICULARLY PROUD OF MENTORING AND DEVELOPING YOUNG OFFICERS THROUGHOUT HIS CAREER, A COMMITMENT HE LOOKS FORWARD TO CONTINUING HERE IN ADDISON.

HE WAS DRAWN TO ADDISON BECAUSE IT OFFERS A UNIQUE OPPORTUNITY TO BE PART OF A CLOSE-KNIT COMMUNITY WHILE SERVING A VIBRANT BUSINESS IN THE RETAIL DISTRICT.

AN ASPECT OF CHRIS'S JOURNEY IS THAT HIS UNCLE BRAD FREEZE PROUDLY SERVED ADDISON FOR ALMOST 40 YEARS AS A POLICE OFFICER.

CHRIS SAYS THE ADDISON WAY TO HIM MEANS PRIORITIZING OTHERS AND KEEPING BOTH EMPLOYEES AND THE COMMUNITY AT THE FOREFRONT OF EVERY DECISION.

PLEASE JOIN ME IN RECOGNIZING CHIEF CHRISTOPHER FREEZE AND CHRIS IS GONNA SAY A FEW WORDS TO THE COUNCIL.

THANK YOU SO MUCH, MA'AM.

GOOD EVENING, MAYOR AND COUNCIL.

UM, I'M SO INCREDIBLY GRATEFUL TO BE GIVEN THE OPPORTUNITY TO BE A PART OF THE, UH, TOWN OF ADDISON AND I LOOK FORWARD TO CONTINUE TO BUILD UPON THE GREAT WORK THAT OUR OFFICERS HAVE DONE, UH, BEFORE ME EVEN GETTING HERE.

SO LOOK FORWARD TO WORKING WITH YOU CLOSELY AND THANK YOU AGAIN SO MUCH.

THANK YOU CHIEF AND WELCOME, WELCOME.

ALRIGHT, GOING RIGHT

[3. Public Comment. The City Council invites citizens to address the City Council on any matter, including items on the agenda, except public hearings that are included on the agenda. Comments related to Public Hearings will be heard when the specific hearing starts. Citizen comments are limited to three (3) minutes, unless otherwise required by law. To address the Council, please fill out a City Council Appearance Card and submit it to a staff member prior to the Public Comment item on the agenda. The Council is not permitted to take any action or discuss any item not listed on the agenda. The Council may choose to place the item on a future agenda.]

ONTO ITEM NUMBER THREE, PUBLIC COMMENT.

THIS IS THE OPPORTUNITY FOR FOLKS IN THE PUBLIC TO ADDRESS THE COUNCIL ON ITEMS THAT ARE EITHER ON THE AGENDA OR NOT ON THE AGENDA TONIGHT FOR UP TO THREE MINUTES.

AND IF THERE, I DON'T HAVE ANY APPEARANCE CARDS THAT HAVE BEEN PRESENTED TO ME, IF THERE'S ANYBODY IN THE AUDIENCE THAT WOULD LIKE TO, TO ADDRESS THE COUNCIL, PLEASE COME FORWARD AT THIS TIME.

AND SEEING NONE, WE'LL CLOSE THE PUBLIC COMMENT SECTION AND

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

MOVE ON TO ITEM NUMBER FOUR, WHICH IS OUR CONSENT AGENDA, WHICH CONSISTS OF ITEMS FOUR A THROUGH FOUR D.

IS THERE A MOTION OR THE ITEMS NEED TO BE PULLED? I MOTION TO, UH, APPROVE THE CONTENDED AGENDA.

SECOND.

THANK YOU DARREN AND NANCY FOR THE SECOND.

ANY DISCUSSION? ALL IN FAVOR? AYE.

AYE.

ANY OPPOSED? ALL RIGHT.

THE, THE CONSENT AGENDA IS APPROVED AND BELIEVE IT OR NOT, THAT IS ALL THE REGULAR MEETING, UH, ITEMS THAT WE HAVE.

WE'LL COME BACK AND DO ITEM FIVE AT THE VERY END AFTER WE, UH, FINISH THE WORK SESSION ITEMS. SO, SO NOW WE'RE GOING TO GO BACK INTO OUR WORK SESSION AND COMPLETE THOSE ITEMS WHEN WE LEFT OFF

[b. Present and discuss Addison Kaboom Town! 2024.]

AT ITEM SIX B.

PRESENT AND DISCUSS ADDISON KABOOM TOWN 2024 MAYOR.

AS ABBY WALKS TO THE PODIUM, I, UM, AM GONNA CHANNEL DAVID AND CONGRATULATE ABBY ON AN AMAZING TASTE ADDISON.

UM, WE HAD A LOT OF THINGS AGAINST US IN THIS PROCESS.

BAD WEATHER, MORE BAD WEATHER, AND MORE BAD WEATHER.

AND ABBY REALLY ROASTED THE OCCASION.

I'M JUST SO PROUD TO WORK WITH HER AND ALL THE GREAT WORK SHE'S DONE.

AND SHOUT OUT TO ALL OF OUR TALENT EMPLOYEES WHO WORKED HARD TO GET US WHERE WE WERE.

SO, UM, CONGRATULATIONS ON A GREAT EVENT.

UH, AND I, I KNOW YOU'LL COME BACK TO COUNCIL AND GIVE MORE OF AN UPDATE, BUT I WANNA SHOUT YOU OUT FOR THE GREAT WORK.

1500 WILL BE IN THE FINALE ALONE AND WE WILL ONCE AGAIN SIMULCAST ON STAR 1 0 2 0.1 FM TOWN WIDE.

YES.

SO WE'RE NINE DAYS POST TASTE AND, UM, LESS THAN 30 DAYS FROM KABOOM.

UM, WE'RE EXCITED TO HOST, UH, KABOOM TOWN, JULY 3RD.

WE WILL HAVE FLIGHTS, SITES, AND AN AMAZING NIGHT.

THAT WILL BE FROM 5:00 PM TO 11:00 PM OUR AIR SHOW WILL HIT THE SKIES AT 7:30 PM WITH FIREWORKS AT NINE 30.

SPEAKING OF FLIGHTS, UM, FOR THOSE OF YOU THAT DON'T KNOW, THE URBAN AREA THAT WE ARE POSITIONED IN WITH OUR BUILDINGS AND PEOPLE IN CLOSE PROXIMITY NARROWS OUR AEROBATIC BOX THAT WE ARE PERMITTED TO FLY IN IT, IT DICTATES THE TYPES OF PLANES THAT WE GET TO FLY IN THE AEROBATIC AEROBATIC BOX, AND YET WE'RE STILL ABLE TO PRODUCE SKY DIVERS, AEROBATIC FLIGHTS THAT INCLUDE SOME OF THE TOP STUNT PILOTS ACROSS THE COUNTRY, UM, TO INCLUDE THOSE THAT HAVE REPRESENTED TEAM USA FOR THE WORLD AEROBATIC CHAMPIONSHIPS, AS WELL AS FORMER US AND WORLD MEN'S FREESTYLE AEROBATIC CHAMPIONS.

SO WE'RE PROUD, UM, TO HAVE THAT AS A PART OF OUR KABOOM TOWN CELEBRATION.

NEW FOR THIS YEAR.

THIS IS THE GAME BIRD G BY GB ONE, UM, PILOT AND CREATOR PHILIP STEINBECK WILL ACTUALLY BE AT THE HELM FLYING THIS.

AND THIS IS A NEW EDITION TO THE SHOW THIS YEAR.

UM, STEINBECK IS ACTUALLY PARTNERS WITH STEWART WALTON OF THE WALTON FAMILY IN BENTONVILLE, ARKANSAS.

SO WE'RE EXCITED TO HAVE HIM JOIN THE TEAM.

AND THEN THE B 25 AND PITTS WILL HAVE FEMALE PILOTS AT THE HELM AND ADDITIONAL, UM, FEMALE CREWS JOINING THE SHOW THIS YEAR AS WELL, BY WAY OF SIGHT, WE ARE SUPER EXCITED TO BE RATED ONE OF THE TOP FIVE FIREWORKS SHOW BY USA TODAY THIS YEAR.

UM, OUR SHOW FEATURES 4,000 SHELLS

[00:45:01]

KABOOM TOWN TAKES PLACE ALL ACROSS TOWN AND WE'RE EXCITED TO HAVE, UM, A NUMBER OF OUR 200 RESTAURANTS PARTICIPATING THIS YEAR.

YOU'LL SEE EVERYTHING FROM WATCH PARTIES, PATIO PARTIES, MUSIC, HOLIDAY SPECIALS, AND EVERYTHING IN BETWEEN.

WE ARE STILL TAKING, UM, REGISTRATIONS FOR THOSE THAT ARE SIGNING UP.

YOU'LL START TO SEE A LOT OF THAT BEING HOSTED ON SOCIAL AND WE HAVE ABOUT A DOZEN TO DATE.

ALL OF THIS COMBINES TO CREATE AN AMAZING NIGHT.

WE DO HAVE A COUPLE OF CHANGES THAT WE'RE EXCITED TO PRODUCE THIS YEAR.

WE ARE CHARGING ADMISSIONS, SO ADMISSION IS $10 THIS YEAR.

UM, THAT IS GENERAL ADMISSION AND THAT GETS YOU ACCESS INTO ADDISON CIRCLE PARK.

WE DID KEEP THE PARTY AT ADDISON CIRCLE PARK FREE FOR OUR RESIDENTS.

AND SO RESIDENTS HAD ABOUT A THREE WEEK WINDOW WHERE THEY COULD SECURE THEIR TICKETS ONLINE.

AND THEN WE ALSO ARE PROVIDING TICKETS FOR ANY OF OUR HOTEL PACKAGES.

UM, THAT BOOK FOR JULY 3RD AND THAT WEEKEND THEIR PACKAGE INCLUDES, UM, ADMISSION FOR UP TO SIX, UM, AS WELL AS A BRANDED NET COOLEY, UM, THAT THEY CAN PICK UP AT THE FESTIVAL SITE.

UM, ANOTHER CHANGE IN THE INTEREST OF PUBLIC SAFETY.

WE ARE RESTRICTING, UM, NO COOLERS THIS YEAR.

ONE OF THE THINGS THAT WE HAD A CHALLENGE WITH OVER THE LAST COUPLE OF YEARS IS GLASS BOTTLES BEING BROUGHT IN BY WAY OF COOLERS.

WE WEREN'T ALWAYS CATCHING THOSE.

AND SO THE IN IN THE INTEREST OF PUBLIC SAFETY, NO COOLERS WILL BE PERMITTED THIS YEAR.

TICKETS WENT ON SALE TO THE GENERAL PUBLIC ON JUNE 5TH AT NOON.

UM, TO DATE WE HAVE ABOUT 12,000 TICKETS THAT ARE CURRENTLY SOLD INSIDE OF THE PARK.

WE'LL HAVE A NUMBER OF FESTIVITIES THAT WILL INCLUDE FOOD.

UM, THESE INCLUDE CONCESSIONAIRES FROM AROUND THE METROPLEX AS WELL AS SOME ADDISON ESTABLISHMENTS THAT WERE JUST WITH US NINE DAYS AGO.

UM, AT TASTE.

UM, EMERALD CITY BAND WILL PLAY ONCE AGAIN BEFORE AND AFTER THE FIREWORKS AS PART OF OUR ENTERTAINMENT.

UM, WE ARE ADDING A PATRIOTIC PLAYLAND, WHICH FEATURES OUR VERY OWN ADDISON OUTDOORS TRAILER, AS WELL AS LAWN GAMES AND THINGS OF THAT NATURE.

WE'LL HAVE GLOW VENDORS ON THE GROUNDS AND THEN WE WILL HAVE, UM, KABOOM BALLOONS BY WAY OF BALLOON ARTISTS AS WELL AS FACE TUNES TO INCLUDE FACE PAINTING ALL FREE OF CHARGE.

THE VIP AREA WILL BE BACK AGAIN.

IT HAS A LITTLE BIT OF A PATRIOTIC BARBECUE FEEL.

SO THE KABOOM SALOON VIP AREA WILL BE BACK AGAIN.

UM, THERE'LL BE RESERVED PARKING, RESERVED VIEWING AREA BOTH INSIDE AND OUTSIDE OF OUR THEATER AS WELL AS OUR CONFERENCE CENTER AREA.

UM, AND AGAIN, ACCESS TO THE AREA INCLUDES A CATERED MEAL AS WELL AS TWO BEER AND WINE TOKENS, UM, AND UNLIMITED NON-ALCOHOLIC BEVERAGES.

AND YEAH, WE'RE 21 DAYS AWAY.

ANY QUESTIONS? QUESTIONS FOR ABBY? I JUST HAVE, UH, ONE QUESTION.

WE SOLD 12,000 TICKETS SO FAR.

YES SIR.

WHAT'S THE MAXIMUM, UH, NUMBER OF TICKETS? THE CAPACITY OF THE PARK IS ABOUT 20,000 PUBLIC SAFETY WORKS VERY CLOSELY WITH US AND WHAT THEY FEEL COMFORTABLE WITH IS IT ABOUT 18.

SO ANYWHERE BETWEEN 18 AND 20.

SOUNDS GOOD.

THANKS.

HAVE YOU SOLD ANY TICKETS FOR THE IP THIS YEAR? IS THAT PART OF THE PROGRAM? IT'S NOT ACTUALLY PART OF THE PROGRAM.

VIP IS BY INVITATION ONLY, SO NO TICKETS ARE ACTUALLY SOLD FOR THAT.

ANYTHING ELSE, CHRIS? OKAY, THANK YOU.

SO ABBY, THE, THIS IS THE FIRST TIME WE WE'LL BE CHARGING ADMISSION TO THE PARK.

WHAT? YES SIR.

WHAT? AND I'M SURE I'LL GET THAT QUESTION MORE THAN ONCE AS AS TO WHY.

SO ONE OF THE THINGS THAT WE HAVE STRUGGLED WITH OVER THE LAST COUPLE OF YEARS IS WE WENT TO THE TICKETING SYSTEM AFTER COVID TO MANAGE CAPACITY OF THE PARK.

UM, WHAT WE WERE CHALLENGED WITH WAS DISTRIBUTING THE TICKETS AND IT WAS THE ACTUAL REDEMPTION RATE OVER THE LAST THREE YEARS.

THE ACTUAL REDEMPTION RATE WAS ONLY ABOUT 30%.

AND SO WHEN WE WEREN'T SELLING TICKETS AND YOU HAD TO ACQUIRE ALL OF YOUR TICKETS ONLINE, WE WERE SEEING PEOPLE THAT WERE SECURING THE TICKETS FOR FREE AND THEN NOT ACTUALLY SHOWING UP IF THERE WAS WEATHER, IF A BETTER OPPORTUNITY CAME UP, IF YOU WERE JUST PLAYING TIRED, YOU DIDN'T HAVE ANY SKIN IN THE GAME, IF YOU WILL.

AND SO IT WAS NOTHING TO NOT ACTUALLY SHOW UP.

AND SO WE HAD A LOT OF PEOPLE THAT WERE SHOWING UP AT THE GATES THAT WE ACTUALLY COULDN'T LET IN.

AND THE NUMBER OF TICKETS THAT WE WERE ACTUALLY PUTTING OUT INTO THE COMMUNITY SO THAT WE COULD FILL THE PARK AND ALLOW AS MANY PEOPLE TO ENJOY THE FESTIVITIES AS POSSIBLE WITH A 30% REDEMPTION RATE.

EVEN WITH THE NUMBER OF TICKETS THAT WE WERE PUTTING OUT, WHICH FAR EXCEEDED THE CAPACITY OF THE PARK, WE WEREN'T FILLING THE PARK AND ALLOWING EVERYBODY THAT COULD ENJOY THE FESTIVITIES TOO.

GOT IT.

IT'S, UM, IT'S A LIMIT OF SIX AND THAT WAS DONE FOR BOTH RESIDENTS, UM, AS WELL AS THE GENERAL PUBLIC AS WELL.

AND IS THERE A LIMITATION ON NUMBER OF TICKETS PEOPLE CAN BUY TO AVOID THE RESELLERS? IT IS, IT'S,

[00:50:01]

AND, AND THE QUESTION I DO GET EVERY YEAR IS HOW MUCH DO WE SPEND ON FIREWORKS? DO YOU KNOW? I DO KNOW IT'S $75,000.

IT'S GONE UP A LITTLE BIT, BUT THAT'S, THAT'S A GREAT DEAL.

IT IS.

WE GET A BARGAIN.

ALRIGHT.

UM, NO COOLERS THIS YEAR? YES SIR.

THAT'S, THAT'S A NEW THING ALSO, RIGHT? YES SIR.

HOW IS THAT GOING TO BE COMMUNICATED TO THE FOLKS? SO THEY DON'T BRING THEIR COOLERS TO THE GATE? IT WILL BE DONE ON SOCIAL MEDIA AS WELL AS THROUGH THE WEB PORTAL AND THEN WE'RE PUTTING INFORMATION ON OUR TICKETS AS WELL.

SO WHEN THEY BUY THE TICKET, THEY'RE GONNA SEE THAT INFORMATION? YES SIR.

ANYBODY ELSE HAVE QUESTIONS, HOWARD? DO CHILDREN NEED TICKETS? WHAT AGE DOES IT CUT OFF? YES.

AND SO THE ADMISSION PRICES $10 AND OR 10 YEARS OLD AND UP IS $10, TWO YEARS OLD TO NINE IS $5.

AND THEN ANYONE UNDER TWO, YOU STILL REQUIRE A TICKET, BUT IT IS FREE OF CHARGE.

GONNA FOLLOW UP.

UM, SO ARE WE ALLOWING ANYTHING TO COME IN? IF SOMEONE WANTED TO BRING WATER OR BEVERAGE, ARE THEY ALLOWED TO BRING THAT IN? NO.

OUTSIDE BEVERAGE.

UM, AND OR FOOD YOU ARE, UH, PERMITTED TO BRING IN AN EMPTY CONTAINER AS WE WILL HAVE THE AUTOMATIC REFILLABLE WATER STATIONS AVAILABLE.

RIGHT? THAT'S A VERY GOOD IDEA.

MM-HMM, .

ANYBODY ELSE? ALRIGHT, THANK YOU ABBY.

LOOKING FORWARD TO IT.

AND UH, REALLY GREAT JOB ON TASTE.

THAT WAS, THANK YOU.

THAT WAS AMAZING.

[c. Present and discuss the Proposed Annual Budget for the Town of Addison for Fiscal Year 2025 (beginning October 1, 2024, and ending September 30, 2025), including, but not limited to, the General Fund, Utility Fund, Stormwater Fund, Airport Fund, Hotel Fund, Economic Development Fund, Information Technology Fund, Capital Replacement Fund, Infrastructure Investment Fund, and Long-Term Planning. ]

STEVEN GLICKMAN, CHIEF FINANCIAL OFFICER.

ITEM NUMBER SIX C PRESENTED, DISCUSS THE PROPOSED ANNUAL BUDGET FOR THE TOWN OF ADDISON FOR FISCAL YEAR 2025, BEGINNING OCTOBER 1ST, 2024, AND ENDING SEPTEMBER 30TH, 2025.

INCLUDING BUT NOT LIMITED TO THE GENERAL FUND, UTILITY FUND, STORMWATER FUND, AIRPORT FUND, HOTEL FUND, ECONOMIC DEVELOPMENT FUND, INFORMATION TECHNOLOGY FUND, CAPITAL REPLACEMENT FUND INFRASTRUCTURE, INVESTMENT FUND, AND LONG-TERM PLANNING.

STEVEN, GOOD EVENING, MAYOR AND COUNCIL.

AND THIS EVENING WE HAVE, UH, KIND OF THE KICKOFF OF OUR BUDGET PROCESS.

SO I'M JUST GONNA GIVE AN OVERVIEW OF OUR PROCESS THIS YEAR.

AND, UH, WE HAVE JOEL, UH, WITH THE AIRPORT TO PRESENT, UH, THE AIRPORT'S, UH, PROPOSED BUDGET THIS YEAR.

UH, SO A LITTLE BIT CHANGE, UH, WITH OUR PROCESS IN THE PAST.

WE'VE, UH, HAD A BUDGET WORKSHOP IN EARLY AUGUST.

UH, COUNCIL GETS A, A PROPOSED BUDGET FROM THE CITY MANAGER IS REQUIRED BY THE CHARTER AT THE END OF JULY.

SO YOU HAVE JUST A, A FEW DAYS TO KIND OF SEE THAT PROPOSED BUDGET, UM, AND DIGEST THAT.

AND THEN WE START HAVING MEETINGS AND THROWING A LOT OF INFORMATION AT YOU.

UH, THIS YEAR WE WANTED TO KIND OF BREAK IT OUT, BREAK IT OUT A LITTLE BIT SO THAT YOU CAN SEE SOME PORTIONS OF THE BUDGET, UM, AT SOME COUNCIL WORK SESSIONS PRIOR TO THE ACTUAL PROPOSAL OF THE BUDGET.

UH, SO TONIGHT WE HAVE THE AIRPORT, UM, AT THE JUNE 25TH MEETING, WE'RE PLANNING ON HAVING THE CAPITAL IMPROVEMENT PLAN, UH, THE ECONOMIC DEVELOPMENT DEPARTMENT.

UH, AND THEN AT THE JULY 23RD MEETING, WE PLAN ON HAVING, UH, PARKS, PUBLIC WORKS AND DEVELOPMENT SERVICES.

THAT SOUNDS REALLY AMBITIOUS.

UH, SO I'M NOT SURE WE'LL GET ALL OF THEM IN AT THAT TIME.

BUT, UH, THAT WAY YOU'LL BE ABLE TO SEE A LOT OF THIS INFORMATION BEFORE YOU ACTUALLY GET A PROPOSED BUDGET.

UH, THEN WE DO HAVE OUR, UH, REQUIREMENT AGAIN IN THE CHARTER THAT YOU GET THE PROPOSED BUDGET ON JULY 20 OR JULY 31ST.

UH, AND THEN WE'LL HAVE THOSE BUDGET WORKSHOPS AND AT THAT POINT YOU WOULD'VE SEEN A GOOD PORTION OF THE BUDGET AND WE'LL STILL HAVE POLICE FIRE, UM, I THINK SPECIAL EVENTS AND A COUPLE OF OTHER DEPARTMENTS THAT WILL PRESENT AT THOSE BUDGET WORKSHOPS.

YOU'LL HEAR A LOT OF INFORMATION FROM ME AT THOSE WORKSHOPS AS WELL AS THE CITY MANAGER.

UM, UH, BUT THAT'S KIND OF THE PROCESS.

DOES ANYONE HAVE ANY QUESTIONS OR CONCERNS WITH, WITH KIND OF WHAT WE'RE DOING THIS YEAR? OKAY, THAT'S IT.

AND UH, I'LL BE HERE, UH, AS WELL.

BUT, UH, I'LL PASS IT OVER TO JOEL AND LET HIM, UH, GO FORWARD.

THANK YOU STEVEN, AND GOOD EVENING MAYOR AND COUNCIL.

I'M JOEL JENKINSON, AIRPORT DIRECTOR AND I WILL BE PRESENTING THE AIRPORT BUDGET AND I'M KIND OF EXCITED THAT WE'RE FIRST UP THIS YEAR.

UH, AND IF I SKIP OVER SOMETHING WHERE YOU HAVE A QUESTION, PLEASE FEEL FREE TO STOP ME AND ASK.

UH, I'VE GOT A LOT OF ACRONYMS IN THERE.

I TRY TO EXPLAIN 'EM AS I GO, BUT IF YOU DON'T UNDERSTAND SOMETHING I SAID AND NEED SOME CLARIFICATION, PLEASE GIVE ME THE OPPORTUNITY TO CLARIFY.

SO WE'RE GONNA START OFF WITH WHAT DID WE ACCOMPLISH SO FAR THIS YEAR? AND SOME OF THIS IS A WORK IN PROGRESS.

UH, WE'RE STILL WORKING ON IT, BUT WE'RE GONNA GET THERE.

UM, FIRST UP, THE EXTENSION OF TAXIWAY BRAVO ON THE WEST SIDE OF THE AIRPORT, UH, WHICH IS PHASE ONE.

AND RIGHT NOW BECAUSE OF WEATHER, WE HAVE A EXPECTED COMPLETION DATE OF NOVEMBER 22ND.

UH, THIS IS THE PARTIAL PARALLEL TAXIWAY ON THE WEST SIDE OF THE AIRPORT.

WE'RE ADDING 2000 FEET ON THE NORTH END AND CONNECTING IT TO

[00:55:01]

THE RUNWAY ON THE SOUTH END, AS WELL AS OPPOSITE OF TAXIWAY HOTEL.

UH, THIS WILL OPEN UP FIVE ACRES OF LAND THAT WE HAVE FOR DEVELOPMENT ON THE WEST SIDE AND WE EXPECT TO RELEASE AN RFQ FOR THAT REDEVELOPMENT LATER THIS YEAR.

UH, WE'VE ALSO COMPLETED DESIGN FOR RECONSTRUCTION OF JIMMY DO LITTLE DRIVE, WHICH GIVES ACCESS TO THE US CUSTOMS AND THE AIRPORT ADMINISTRATION BUILDING.

IF YOU'VE HAD THE MISFORTUNE OF DRIVING ON THAT STREET, YOU'LL UNDERSTAND WHY WE'RE DOING THIS.

UH, THIS WILL INCLUDE A MONUMENT SIGN, UH, THAT, UH, WILL KIND OF SET OFF THE AIRPORT AND PART OF THE BOUNDARY OF THE TOWN.

AND WE'RE KIND OF EXCITED ABOUT THAT.

WE'VE BEEN WORKING WITH JANET TIDWELL IN THE PARKS DEPARTMENT ON THAT SIGN AND UH, IT'S GONNA LOOK REALLY NICE.

I THINK.

UM, THIS PROJECT IS, UH, EXPECTED TO BE ADVERTISED LATE THIS MONTH.

WE ARE JUST WAITING ON LOCATION OF ONE MORE UTILITY, UH, WHICH IS THE GAS.

WE'RE, WE'RE RELOCATING ALL THE UTILITIES FIRST.

SO WHEN WE GET A CONTRACTOR OUT THERE, THEY'RE NOT GONNA HAVE TO WORRY ABOUT ANY KIND OF DELAYS OWING TO UTILITIES NEEDING TO BE MOVED.

AND THIS WAS A WISE DECISION 'CAUSE WE'VE BEEN DOING THIS FOR LIKE SIX MONTHS NOW.

UH, EARLIER THIS YEAR WE ADVERTISED A REQUEST FOR QUALIFICATIONS FOR REDEVELOPMENT OF 2.2 ACRES THAT WE HAVE OFF OF TAXI LANE SIERRA.

WE HAD FOUR RESPONDENTS.

AND OF THOSE, UH, WE SELECTED THRUST FLIGHT, WHICH IS A INCUMBENT FLIGHT SCHOOL, UH, AND MAINTENANCE, UH, TRAINING PROGRAM.

UH, AND WE HAVE EXECUTED A LETTER OF INTENT WITH THEM TO NEGOTIATE A GROUND LEASE.

AND THOSE NEGOTIATIONS ARE ONGOING AND WE'RE REALLY KIND OF WAITING ON A SITE PLAN AND LOOKING TO SEE WHAT THEIR, UH, INTENT IS ON, ON THE SITE LAYOUTS AND GO FROM THERE.

WE ALSO HAVE SOME DEVELOPER PARTICIPATION AGREEMENTS, UH, IN THE WORKS AND SOME HAVE BEEN COMPLETED.

THESE ARE, UH, AGREEMENTS WITH DEVELOPERS THAT ARE DOING OTHER WORK ON THE AIRPORT.

AND WE PIGGYBACK ON THIS, AND THIS IS FOR FLAT WORK ONLY.

SO ONLY PAVING IS WHAT WE'RE DOING.

UH, AND USUALLY THESE DEVELOPERS ARE BUILDING HANGERS WITH SOME RAMP SPACE AND WE HAVE SOME ADJACENT AIRPORT PAVEMENT THAT NEEDS TO BE RECONSTRUCTED.

SO WE CAN PIGGYBACK ON THERE AND HAVE THE DEVELOPER RECONSTRUCT THAT TO OUR STANDARDS AND WE PICK UP THAT COST.

THE BENEFIT TO THE DEVELOPERS, THEY GET A LITTLE BIT OF A TAX BREAK BENEFIT TO US IS THAT WE GET, UH, KIND OF LOWER PRICING THAT IS USUALLY AVAILABLE WHEN THEY'RE DOING LARGER QUANTITIES AND WE DON'T HAVE TO GO AND MANAGE THE PROJECT OURSELVES.

SO WE'VE DONE TWO OF THESE, UH, SKY SQUARED.

UH, THEY'VE RECONSTRUCTED THEIR APRON AND THE PIECE THAT WAS FOR US WAS A VEHICLE SERVICE ROAD.

AND THAT CONSTRUCTION IS COMPLETED.

UH, ADDISON HANGERS, LLC, THAT'S THE SKY HARBOR DEVELOPMENT.

UH, WE HAVE AN AGREEMENT PENDING WITH THEM TO RECONSTRUCT THE VEHICLE SERVICE ROAD BETWEEN TAXI LANE, VICTOR AND TAXI LANE UNIFORM.

AND THAT ALSO IS VERY MUCH IN NEED OF RECONSTRUCTION.

SO THAT'S PENDING.

WE'VE GOT TWO OR THREE MORE OF THESE IN THE HOPPER, AS YOU'LL SEE LATER ON THE PRESENTATION.

UH, THIS YEAR OUR, OUR, ONE OF OUR DECISION, OUR ONLY DECISION PACKAGE WAS AN INSURANCE ADMINISTRATION PROGRAM CALLED MY C-O-I-C-O-I CERTIFICATE OF INSURANCE.

UH, AND THAT WAS IMPLEMENTED AND, UH, IT CAME IN UNDER BUDGET.

I THINK WE SPENT A LITTLE OVER, RIGHT AROUND $20,000.

WE HAD A $30,000 BUDGET.

BUT WHAT THIS IS, WE HIRE A CONTRACTOR TO HELP TRACK ALL OF THE INSURANCE CERTIFICATES FROM, UH, ALL OF OUR HANGAR LEASES AND THINGS, CONTRACTS AND THINGS LIKE THAT.

AND IT REALLY IMPROVES OUR RISK MANAGEMENT.

AND YOU'LL SEE ONE MORE SLIDE ON THAT.

UH, ALSO AT THE SOUTH END OF THE RUNWAY IS SOMETHING CALLED AN ENGINEERED MATERIALS ARRESTING SYSTEM.

AND THOSE OF YOU WHO'VE BEEN HERE SINCE 2014 MAY REMEMBER THAT IS WHEN THAT PROJECT WAS CONSTRUCTED.

UM, WE HAD TO DO SOME MAINTENANCE ON THAT.

IT, IT'S NOT MAINTENANCE FREE, IT'S LOW MAINTENANCE, BUT IT'S NOT MAINTENANCE FREE.

UH, THE BED ITSELF CONSISTS OF 2,436 INDIVIDUAL, FOUR FOOT BY FOUR FOOT CONCRETE BLOCKS AND THERE'S A JOINT IN BETWEEN THEM.

AND THOSE JOINTS ARE SEALED WITH A TYPE OF TAPE.

AND THE TAPE THAT WAS OUT THERE HAD DECOMPOSED IN THE SUN.

WE PEELED IT ALL OFF, SCRAPED OFF THE ADHESIVE AND RETAPED ALL THE SEAMS. AND WE DID THAT ENTIRELY IN-HOUSE.

UH, WE ARE ALSO, UH, IN THE PROCESS OF UPDATING THE AIRPORT MASTER PLAN.

WE HAVE JUST NAMED, UH, A CONSULTANT.

WE DID THAT, UH, SELECTION THROUGH TXDOT AND THE CONSULTANT SELECTION COMMITTEE WAS COMPOSED OF AIRPORT AND TOWN STAFF.

UH, WE HAVE SELECTED, UH, WILPERT AS THE, THE, UH, CONSULTANT TO RUN THIS MASTER PLAN UPDATE, AND THEY ARE NEGOTIATING THEIR CONTRACT WITH TXDOT RIGHT NOW.

OUR OBJECTIVES

[01:00:01]

FOR, UH, FY 2025.

UM, OBVIOUSLY THE MASTER PLAN UPDATE IS A BIG PIECE OF THAT THAT TYPICALLY TAKES 18 TO 24 MONTHS FROM START TO FINISH.

WE DO PLAN A LOT OF COORDINATION WITH DEVELOPMENT SERVICES ON LAND USE AND ZONING OVERLAYS.

WE WILL UPDATE OUR NOISE EXPOSURE MAP, WHICH KIND OF TELLS WHERE THE AIRPLANES ARE MAKING NOISE AND HOW MUCH ON AN AVERAGE, UH, WE HOPE TO ADDRESS URBAN AIR MOBILITY SERVICES.

AND, UH, THE ELECTRIC VERTICAL TAKEOFF AND LANDING.

THERE'S A LITTLE ELECTRIC HELICOPTERS YOU SEE PROLIFERATING.

UH, WE THINK THAT'S COMING SOONER RATHER THAN LATER.

AND SO WE NEED TO BE ABLE TO PLAN FOR THAT.

UH, AND WE ALSO NEED TO ADDRESS A FACILITY FOR OUR AIRPORT MAINTENANCE TEAM.

THEY'RE IN AN OLDER FACILITY THAT WE HOPE TO REDEVELOP IN A FEW YEARS, AND SO WE NEED TO FIND A PERMANENT HOME FOR THEM.

WE ANTICIPATE COMPLETING CONSTRUCTION OF THE FIRST PHASE OF THE TAXIWAY OF BRAVO EXTENSION, AND WE HOPE TO PURSUE DESIGN AND CONSTRUCTION GRANTS FOR, UH, THE SECOND PHASE, WHICH WOULD BE TO EXTEND THAT TAXIWAY ALL THE WAY TO THE NORTH END TO MAKE IT A FULL LENGTH PARALLEL TAXIWAY.

AND WE'RE ALSO LOOKING AT, UH, EXPANDING OUR FUEL STORAGE CAPACITY.

UH, JUST LOOKING AHEAD AND, AND SEEING WHAT'S HAPPENING WITH THE, UH, AIRCRAFT AND THE FLEET BASED AT ADDISON.

AND WHAT ARE THE FUEL DEMANDS AND THE GROWTH AND DEMAND FOR FUEL.

UM, YOU'LL SEE, UH, A PROJECT IN THE CAPITAL HERE, THE, THE VERY LARGE NUMBER.

UM, PLEASE DON'T PANIC.

I DON'T THINK WE'RE GONNA HAVE THAT LARGE OF A PROJECT, BUT THAT WAS KIND OF A SCOPE BASED ON A MAXIMAL, UH, PROJECT SCOPE.

AND, AND HOPEFULLY WE'LL COME IN A LITTLE BIT LESS THAN THAT.

IT'S STILL GOING TO BE A BIG, INEXPENSIVE PROJECT, BUT PROBABLY NOT QUITE AS EXPENSIVE AS WHAT YOU'LL SEE IN THIS PRESENTATION.

UH, WE HAVE ALSO BEEN DISCUSSING WITH OUR ENGINEERS TO, UH, APPROACH THIS, UH, AND BID IT AS A-C-M-A-R PROJECT, WHICH IS CONSTRUCTION MANAGER AT RISK.

AND THE WAY THAT IS, YOU GO OUT FOR A BID, THEY'LL GIVE YOU A GUARANTEED MAXIMUM PRICE, UH, AND THEN THEY'LL HELP WITH COMPLETING THE DESIGN AND DOING THE CONSTRUCTION SO YOU KNOW EXACTLY WHAT YOU'RE GETTING GOING INTO IT.

AND, UM, WE HOPE TO BEGIN DESIGN AND CONSTRUCTION IN FY 2025.

SO WE'LL TALK A LITTLE BIT ABOUT MORE ON THAT ONE AS WELL.

UM, OTHER THAN THAT, WE'RE GOING TO CONTINUE TO MANAGE AND MONITOR OUR ONGOING REDEVELOPMENT PROJECTS.

IF YOU'VE BEEN AROUND THE AIRPORT, YOU'VE SEEN A LOT OF CONSTRUCTION.

UH, WE'RE ALSO GOING TO CONTINUE TO EXECUTE ON, UH, REDEVELOPMENT.

UH, WE'RE ABOUT FULLY BUILT OUT, SO ANY NEW DEVELOPMENT IS ACTUALLY A REDEVELOPMENT, REPLACING AN OLDER FACILITY.

UH, AND AS MENTIONED EARLIER, WE'RE GOING TO RELEASE A REQUEST FOR QUALIFICATIONS FOR REDEVELOPMENT OF A FIVE ACRE PARCEL ON THE WEST SIDE OF THE AIRPORT AT THE NORTH END OF DOOLEY ROAD.

AND ONE OTHER THING WE'RE LOOKING AT IS AIRPORT STAFF SUCCESSION PLANNING AND STAFF DEVELOPMENT IS, UH, UH, WE JUST LOOK AT THE, THE FOLKS AND KIND OF ASSESS WHAT THE NEEDS ARE GOING FOR THE FUTURE AND HOW WE CAN DEVELOP STAFF TO CONTINUE THE WORK THAT WE'VE BEEN DOING AND CARRY THAT ON.

WHEN SOME OF US RIGHT OFF IN THE SUNSET, UM, ON A INITIATIVE FROM FINANCE, THEY'VE ASKED US TO LOOK AT RESOURCE MAXIMIZATION.

UH, BASICALLY COST SAVINGS ARE THINGS TO DO THAT, THAT HELP US DO WHAT WE DO BETTER.

UH, AND AS I MENTIONED EARLIER, UH, OUR, ONE OF OUR THIS YEAR WAS A PARTNERSHIP WITH, WITH MY COI TO HELP US WITH OUR RISK MANAGEMENT ON TRACKING INSURANCE CERTIFICATES.

WE PREVIOUSLY HAD THIS, UH, ASSIGNED TO ONE OR TWO STAFF MEMBERS WHO COULD JUST DO IT AS NEEDED, UH, WHICH IT WAS NEEDED A LOT MORE THAN THEY HAD TIME TO FOCUS ON IT.

SO THIS HAS REALLY HELPED US OUT AND REALLY IMPROVED OUR RISK MANAGEMENT PROCEDURES.

ALSO, AS I MENTIONED, UH, OUR ENGINEERED MATERIALS ARRESTING SYSTEM NEEDED SOME MAINTENANCE.

AND WE WENT TO THE MANUFACTURER, WHICH IS A SOLE MANUFACTURER, AND THAT COMPANY, UH, GAVE US A QUOTE FOR REAPING USING AIRPORT STAFF LABOR OF $150,000.

AND THAT INCLUDED ABOUT A HUNDRED THOUSAND DOLLARS FOR MATERIALS, WHICH IS THE TAPE.

UH, AND ABOUT $50,000 FOR THEM TO SEND A SUPERVISOR DOWN FOR A WEEK TO ESSENTIALLY SUPERVISE, UH, OUR STAFF DOING THIS WORK.

UM, WE WENT AND BOUGHT SOME TAPE SAMPLES FROM THE COMPANY TO CONFIRM THAT THEY ARE IDENTICAL TO A COMMERCIALLY AVAILABLE PRODUCT THAT ACTUALLY DAVE FOSTER, OUR MAINTENANCE MANAGER, SHOWED THEM IN THE FIRST PLACE.

IT'S ESSENTIALLY A ROOFING TAPE AND IT'S A HIGH QUALITY ROOFING TAPE.

BUT, UH, WE FOUND THAT WE WERE ABLE TO PURCHASE ALL THE TAPE WE NEEDED FROM COMMERCIALLY, UH, AVAILABLE SOURCES FOR ABOUT $25,000.

AND THEN WE DID THE PROJECT, UH, SOLELY WITH IN-HOUSE LABOR.

[01:05:01]

WE KNEW HOW TO DO THIS BECAUSE WE'D SEEN THE ORIGINAL INSTALLATION.

WE ACTUALLY HAVE VIDEO OF THE ORIGINAL INSTALLATION, SO WE KNEW EXACTLY WHAT WE WERE DOING.

UH, AND WE SAVED ABOUT $125,000 JUST DOING IT IN HOUSE.

SO THAT REALLY GOES A LOT OF CREDIT TO THE AIRPORT MAINTENANCE STAFF AND PARTICULARLY OUR MAINTENANCE MANAGER, DAVE FOSTER.

HE REALLY DID AN EXCELLENT JOB WITH THIS.

UH, WE HAVE A COUPLE OF WHAT I'M GONNA CALL REVENUE DECISION PACKAGES.

'CAUSE WE'RE, WE'VE GOT A LOT OF CAPITAL PROJECTS TO, UH, ADDRESS AND SOME INFRASTRUCTURE THAT NEEDS ATTENTION, AND WE'RE GOING TO NEED A LITTLE BIT MORE CAPITAL TO DO THAT.

SO, UH, WE'VE GOT A COUPLE OF DECISIONS TO PROPOSE FOR ENHANCING OUR REVENUE.

AND THE FIRST ONE IS THE US CUSTOMS USER FEES.

RIGHT NOW, IF WE MAKE NO CHANGES, WE'LL RECOVER ABOUT 50% OF THE OPERATING COSTS OF PROVIDING THIS SERVICE.

SO WE'RE PROPOSING SOME MODEST CHANGES THAT WOULD INCREASE, UH, THE COST RECOVERY TO ABOUT 70%.

UM, THE BASE CLEARANCE FEES ARE, ARE BASED ON AIRCRAFT WEIGHT.

IT'S EASY TO DETERMINE.

IT CORRELATES FAIRLY WELL TO DIRECT OPERATING COSTS OF THE AIRCRAFT.

SO BIGGER AIRCRAFT COSTS MORE TO OPERATE.

SO YOU WANNA CHARGE 'EM A LITTLE BIT MORE.

AND WE HAD A, A THREE-TIER FEE STRUCTURE.

WE'RE GONNA PROPOSE MOVING THAT TO A FIVE TIER STRUCTURE.

I HAVE THAT ON THE NEXT SLIDE.

UM, WE'RE ALSO PLANNING TO INCREASE OVERTIME CHARGES.

WHEN A, WHEN AN AIRCRAFT COMES IN OUTSIDE OF THE NORMAL BUSINESS HOURS, CUSTOMS AND BORDER PROTECTION HAS TO SEND AN OFFICER OUT ON OVERTIME, THEN WE GET A BILL FOR THAT.

WE WERE PREVIOUSLY CHARGING A FLAT FEE OF $200, BUT OUR AVERAGE BILL FROM CUSTOMS, AND THIS IS JUST THE AVERAGE BILL, IT CAN VARY QUITE A BIT.

AVERAGE BILL FROM CUSTOMS AND BORDER PROTECTION IS $325.

SO EVERY TIME WE HAVE AN OVERTIME CALL OUT, WE'RE LOSING A LITTLE BIT OF MONEY.

SO WE'RE JUST PROPOSING TO UP THAT OVERTIME CHARGE TO COVER THE COST OF THE OVERTIME.

AND THE THIRD CHANGE IS WE HAVE A KIOSK OUT THERE AT THE CUSTOMS FACILITY THAT IS USED TO COLLECT FEES.

AND I WOULD SAY MOST OF THE USERS DO USE THE KIOSK, BUT RIGHT NOW IT'S RUNNING ABOUT 59 OR 60% OF THE FEES ARE COLLECTED THROUGH THE KIOSK.

AND IF THEY DON'T PAY AT THE KIOSK, THEN WE HAVE TO WORK WITH THE FINANCE TEAM, SEND THEM THE INFORMATION, AND SEND THE BILL AND GO THROUGH ALL THIS PROCESS TO COLLECT THE, THE FEES OWED.

UH, AND FINANCE DOES A GREAT JOB COLLECTING.

WE HAVE VERY HIGH COLLECTION RATE.

I THINK IT'S PROBABLY 98% OR MORE, BUT IT'S STILL A LOT OF WORK FOR STAFF TO GO DOWN AND CHASE THAT OUT.

SO WE'RE PROPOSING INSTITUTE $150 FEE, UH, NOT SO MUCH TO GENERATE REVENUE, BUT SIMPLY TO ENCOURAGE USERS TO PAY THE FEES WHEN THEY LAND.

AND IF THEY DON'T, WELL THEN THAT ADDITIONAL REVENUE WILL OFFSET SOME OF THE STAFF COST FOR COLLECTING THOSE FEES.

WE'RE LOOKING AT, UH, THIS WOULD INCREASE OUR FEE COLLECTIONS BY ABOUT $66,000 A YEAR.

UH, SO, AND THIS WOULD BE A RECURRING, UH, FEE.

UM, THIS IS THE, UH, CURRENT FEE STRUCTURE.

JUST SHOWING THIS HERE, UH, WE HAVE, UH, CURRENTLY THREE WEIGHT CATEGORIES.

UH, $100 FOR THE SMALLEST AIRCRAFT UNDER TWO 12,500 POUNDS, $200 NOW FROM 12,500 TO 50,000 POUNDS, AND THEN OVER 50,000 POUNDS IS $400.

AND WHAT WE'RE PROPOSING TO DO IS JUST TO SPLIT THOSE TWO, UH, HIGHER CATEGORIES IN HALF, UH, AND, UH, ADD A $300 AND A $500 CHARGE FOR THE UPPER END OF EACH, EACH HALF OF THAT.

AND THAT CHANGE WOULD ADD ABOUT $36,000 IN ANNUAL REVENUE BASED ON AN ESTIMATED 600 ANNUAL CLEARANCE, UH, INCREASE IN THE OVERTIME CHARGE TO COVER THE ADDITIONAL, UM, COSTS THAT, THAT, THAT, UH, WE INCUR FROM CUSTOMS. WE'LL GENERATE AN ADDITIONAL $30,000 IN REVENUE.

AND THAT'S, AGAIN, BASED ON, UH, ABOUT 600 ANNUAL CLEARINGS.

AND ABOUT 40% OF OUR CLEARINGS DO OCCUR AFTER HOURS AND INCUR OVERTIME CHARGES.

THE SECOND, UH, REVENUE ENHANCEMENT WE ARE PROPOSING TO CONSIDER IS AN INCREASE IN THE FUEL FLOWAGE FEE.

AND I UNDERSTAND THERE WAS ONE QUESTION WE ADDRESSED IN, IN THE COUNCIL QUESTIONS.

UH, THIS IS PRIMARILY TO KEEP PACE WITH INFLATION AND ALSO TO JUST ADDRESS THE GREATER CAPITAL NEEDS THAT WE HAVE.

OUR CURRENT FUEL FLOWAGE FEES, UH, FOR AN FBO IS 14 CENTS PER GALLON.

UH, AND THEN WE HAVE A SEPARATE RATE FOR WHAT WE CALL A NON-PUBLIC FUELER, UH, SOMEBODY THAT FUELS THEIR OWN AIRCRAFT ONLY.

AND WE HAVE TWO.

ONE IS A FLIGHT SCHOOL AND ONE'S A CORPORATE OPERATOR.

UH, AND THEY'RE AT A HIGHER RATE BECAUSE THEY DON'T HAVE TO PROVIDE PUBLIC SERVICES, AND THEY DO GET SOME ECONOMIC BENEFIT FROM PROVIDING THEIR OWN

[01:10:01]

FUEL.

SO THEY'RE AT 22 CENTS PER GALLON.

AND WHAT WE'RE PROPOSING IS TO INCREASE THIS INCREMENTALLY OVER THE NEXT THREE YEARS TILL WE GET UP TO, UH, KIND OF A RECOVERY OF WHAT WE'VE LOST TO INFLATION SINCE THE LAST TIME WE ADDRESSED THE FUEL FLOWAGE FEES.

SO THIS WOULD ADD, UH, APPROXIMATELY $170,000 A YEAR FOR EVERY 2 CENT INCREASE IN THE FUEL FLOWAGE FEE.

UH, 95% OF OUR FUEL A LITTLE BIT MORE THAN THAT ACTUALLY IS, UH, SOLD BY THE FBO.

SO THAT'S WHERE MOST OF THAT REVENUE DOES COME FROM.

UM, WE PROPOSE TO DO IT IN, IN INCREMENTS BECAUSE IT'S TOO BIG OF A JUMP TO DO ALL IN ONE ONE YEAR.

YOU GET A LITTLE MORE TIME TO ADJUST AND PREPARE FOR THAT.

NOW WE HAVE SOME OTHER DECISION PACKAGES, AND THESE ARE ABOUT SPENDING MONEY INSTEAD OF, UH, TRYING TO GET MORE MONEY.

UM, OUR FIRST PRIORITY IS, UH, TO, UH, FOR AN AIRPORT GIS ANALYST POSITION, UM, TO HELP US WITH THE, THE GIS SYSTEM.

AND THE AIRPORT IS A LITTLE BIT BEHIND SOME OTHER DEPARTMENTS IN IMPLEMENTING GIS.

AND WE'RE HAVING TO UPDATE OUR, OUR, OUR GIS DATA.

UH, AND WHAT WE'RE HOPING TO DO IS JUST IMPROVE THE DATA MANAGEMENT, UH, IN INCREASE RESPONSIVENESS.

AND THE GIS IS THE FOUNDATION OF THE IRIS ASSET MANAGEMENT TOOL.

SO IT'S VERY IMPORTANT FOR US TO HAVE REALLY GOOD GIS DATA IN OUR DATABASE.

OTHERWISE, THE IRIS, UH, ASSET MANAGEMENT TOOL IS NOT GOING TO GIVE US THE KIND OF INFORMATION WE NEED.

AND THIS IS A KEY FOCUS AREA FOR, UH, DEVELOPMENT AND MAINTENANCE AND ASSET MANAGEMENT.

UH, THE ANNUAL COST, AND THIS IS ALL IN FOR THIS POSITION, WOULD BE APPROXIMATELY $112,000.

THE SECOND PRIORITY WE HAVE IS TO ACQUIRE A COMPACT TRACK LOADER, ALSO KNOWN AS A SKID STEER WITH MULTIPLE ATTACHMENTS FOR AIRPORT MAINTENANCE.

AND WE WOULD PROPOSE TO ACQUIRE THIS PIECE OF EQUIPMENT TO REPLACE A BACKHOE THAT WE HAVE AND A ROLLER THAT WE HAVE.

UH, THAT'S JUST FOR STARTERS, THIS IS A VERY VERSATILE PIECE OF EQUIPMENT.

UH, IT'S MORE MANEUVERABLE, IT'S GOT SOME SAFETY ENHANCEMENTS COMPARED TO THE BACKHOE.

WE FEEL A LOT MORE COMFORTABLE USING THIS IN THE RUNWAY SAFETY AREA THAN WE WOULD, WE DON'T PUT THE BACKHOE IN THE RUNWAY SAFETY AREA RIGHT NOW UNLESS THE RUNWAY'S CLOSED, UH, HAS VISIBILITY AND MANEUVERABILITY PROBLEMS. AND IT'S A WHEELED VEHICLE THAT LEAVES RUTS, , WHICH WE HAVE TO FIX.

SO THERE'S A LOT OF GOOD, UH, UH, VERSATILITY AND SAFETY REASONS.

WE CAN DO A LOT MORE WITH THIS ONE PIECE OF EQUIPMENT WITH VARIOUS ATTACHMENTS.

AND THE COST OF THIS BE ABOUT $94,000, AND THAT'S BASED ON QUOTES THAT WE'VE RECEIVED FROM, UH, DEALERS.

THE THIRD PRIORITY IS TO, UH, REPLACE, UH, AN AN EXISTING AIRPORT STAFF VEHICLE THAT WAS REALLY NOT ON OUR INVENTORY.

AND SO IT'S NOT BEING REPLACED THROUGH THE SURF LIKE IT NORMALLY WOULD BECAUSE IT'S A, IT'S A VEHICLE THAT WE INHERITED FROM THE POLICE, UH, DEPARTMENT.

A COUP WELL, A FEW YEARS AGO NOW, AND IT WAS A 2013 MODEL, UH, POLICE CAR.

AND AS YOU MIGHT IMAGINE, IT'S A TAHOE THAT PROBABLY SAW A LOT OF GOOD USE WITH THE POLICE AND, UH, SEEN A LITTLE BIT MORE USE FROM US.

AND IT'S REALLY WEARING OUT.

AND, UH, WE WOULD LIKE TO REPLACE THAT WITH A, A NEW VEHICLE, SOMETHING A LITTLE SMALLER AND A HYBRID IS WHAT WE'RE LOOKING AT ON THAT.

SO WE'RE LOOKING AT A COST OF ABOUT $39,000 TO REPLACE THAT VEHICLE AND THEN MOVING TO OUR CAPITAL IMPROVEMENT PROGRAM.

UM, PLEASE DON'T PANIC WHEN YOU SEE THIS NEXT SLIDE.

I NEARLY FELL OUT WHEN I SAW THESE NUMBERS .

UM, WE HAVE AN EXISTING, UH, BULK FUEL STORAGE FACILITY WITH, UH, FUEL STORAGE CAPACITY OF 315,000 GALLONS, AND 290,000 OF THAT IS AVIATION FUEL STORAGE CAPACITY.

UH, A COUPLE OF YEARS AGO WHEN LOVE FIELD HAD A RUNWAY CLOSURE, WE STARTED SEEING A MASSIVE INCREASE IN VOLUMES.

UH, AND A COUPLE OF OUR FUEL PROVIDERS WERE A LITTLE BIT STRESSED IN KEEPING UP WITH, WITH THE DEMAND.

THEY WERE ABLE TO DO IT.

BUT, UH, WE REACHED OUT TO THEM AT THE TIME AND ASKED IF THEY WERE INTERESTED IN ADDITIONAL FUEL STORAGE CAPACITY.

AND OF COURSE THEY ALL SAID, YEAH, SURE, UH, WE WOULD REALLY, LIKE, WE WERE ASKING ABOUT THAT, JUST THINKING ABOUT THAT.

SO WE HAD A PRETTY POSITIVE RESPONSE THEN.

SO BASED ON THAT RESPONSE THEN, UH, WE STARTED LOOKING AT, UH, UM, DESIGN FOR A NEW FUEL FARM, OR ACTUALLY AN EXPANSION OF THE EXISTING FUEL FARM.

AND WE WERE QUICKLY TOLD BY THE FIRE MARSHAL, THE, THE EXISTING SITE IS TOO TIGHT, YOU JUST CAN'T ADD MUCH THERE .

SO WE WOULD BE BUILDING A SECOND FACILITY, UH, PROBABLY UP OFF OF WEST GROVE DRIVE, UH, JUST SOUTH OF THE SERVICE CENTER.

UM,

[01:15:01]

THIS IS AGAIN, BASED ON LOOKING AT, UH, INCREASES IN FUEL VOLUMES.

UH, WE'VE BEEN STEADILY INCREASING SINCE, UH, 2009.

UH, AND JUST LOOKING AT THAT, PROJECTING OUT ON THE AMOUNT OF NEW HANGAR SPACE THAT WE'LL HAVE COMING ONLINE, UH, WE, WE EXPECT THAT INCREASE TO CONTINUE.

UM, THESE NUMBERS WE SPENT, UH, ALREADY FROM LAST YEAR JUST UNDER $200,000 FOR THE PRELIMINARY ENGINEERING AND SITE LAYOUT AND THE COST ESTIMATES.

AND THESE ARE BASED ON COST ESTIMATES FOR A FACILITY THAT WOULD HAVE A LITTLE BIT MORE THAN 300,000 GALLONS IN FUEL STORAGE CAPACITY, WHICH IS PROBABLY A LITTLE BIT MORE THAN WE'RE GOING TO NEED.

'CAUSE ONCE OF COURSE, YOU LOOK AT WHAT THE COST IS AND YOU GO TO THE FBOS AND SAY, HEY, THIS IS WHAT WE CAN DO AND THIS IS WHAT IT WOULD COST.

THEY GO, WELL, THAT'S A LITTLE BIT MORE THAN WE'RE WILLING TO, TO BE IN FOR.

SO WE'RE GOING TO BE HAVING FURTHER DISCUSSIONS WITH THE FUEL OPERATORS ON WHAT REALLY IS THE RIGHT SIZE THAT WE NEED TO DO AND LOOK FOR THE FUTURE AND LEAVE US OURSELVES A LITTLE BIT OF ROOM TO ADD ADDITIONAL STORAGE CAPACITY IN THE FUTURE IF WE NEED TO.

SO THERE'S BE SOME EXPANDABILITY ON THIS SECOND FUEL FARM THAT WE'RE LOOKING AT.

UH, WE DID NOT HAVE THAT ON OUR EXISTING FUEL FARM.

IT WAS COMPLETELY BUILT OUT AND, UM, IT WAS HALF EMPTY FOR A COUPLE OF YEARS DURING THE, UH, LAST BIG RECESSION WE HAD.

SO AGAIN, THESE NUMBERS I THINK ARE QUITE A BIT HIGHER THAN, UH, WHAT WE ANTICIPATE.

AND WE WILL BE HAVING FURTHER DISCUSSIONS AND BRING THIS BACK TO YOU AT A FUTURE DATE WITH, UH, MORE REFINED SCOPE AND SOMETHING A LITTLE BIT MORE REALISTIC ON WHAT WE THINK.

I WILL ALSO MENTION THAT PART OF THE FUNDING FOR THIS, UH, WE WILL HAVE FOUR YEARS OF ENTITLEMENT FUNDS FROM THE BIPARTISAN INFRASTRUCTURE LAW AIRPORT IMPROVEMENT GRANT PROGRAM, TOTALING ABOUT $3.3 MILLION TO PUT TOWARDS THIS.

SO SOME OF THIS WILL BE FROM GRANT FUNDS, SOME OF THIS WILL BE FROM THE AIRPORT FUND, AND SOME OF THIS WILL BE PROBABLY DEBT SERVICE.

AND WE'LL BE WORKING WITH STEVEN CLOSELY ON HOW WE PAY FOR ALL OF THIS.

UM, THIS IS MUCH MORE COMFORTABLE , UH, 45 53.

GLEN CURTIS IS A FACILITY THAT WE ACQUIRED IN 2014.

UH, IT'S A HANGAR WHERE, UH, MARTIN AIR HAS BEEN FOR A LONG TIME, UH, AND IT'S A PRETTY GOOD HANGAR.

IT'S IN GOOD CONDITION, BUT THE ROOF NEEDS TO BE REPLACED.

UH, AND UH, THIS IS JUST SOMETHING TO, IT'S GOT A LOT OF GOOD USEFUL LIFE REMAINING.

WE JUST NEED TO TAKE CARE OF THE FACILITY AND REPLACE THE ROOF.

SO THIS IS $150,000 TO, TO REPLACE THAT ROOF ON THAT FACILITY.

AND, UH, NOW WE COME TO THE FUND SUMMARY, AND I WOULD LIKE TO TURN IT BACK OVER TO MR. GLICKMAN, WHO IS MUCH BETTER WITH THESE NUMBERS THAN I AM.

HEY, JOEL, CAN I ASK YOU A QUICK QUESTION? YEAH, ABSOLUTELY.

UM, ON THE BILLINGS FROM CUSTOMS FOR OVERTIME, YES, SIR.

DO WE HAVE ANY INPUT WITH CUSTOMS AS FAR AS, UH, WHEN, WHEN THEY'RE OPEN FOR REGULAR HOURS, NOT A NON OVERTIME? WE DID ASK THEM INITIALLY WHEN, WHEN WE HAD CUSTOMS, THEY WERE WORKING EIGHT TO FIVE MONDAY THROUGH FRIDAY.

UH, AND WE LOOKED AT THAT AND WE SAID, NOTHING EVER COMES IN, YOU KNOW, RARELY BEFORE NOON.

AND WE LOOKED AT VARIOUS REGULAR HOURS AND WE SETTLED ON 10:00 AM TO 7:00 PM MONDAY THROUGH FRIDAY FOR A COUPLE OF REASONS.

IF YOU SHIFT THAT ANY LATER IN THE DAY, SAY IF YOU WENT FROM NOON TO 9:00 PM YOU HIT A PREMIUM OF I THINK 15% FOR THE CUSTOMS OFFICER'S BASE PAY.

UH, AND THAT FAR OUTWEIGHS THE OVERTIME THAT WE GET.

AND ALSO, WE ALSO LOOKED AT WHEN, UH, THE AIRCRAFT WERE ARRIVING, UH, AND WE'RE CATCHING 60% IN THAT 10:00 AM TO 7:00 PM UH, MONDAY THROUGH FRIDAY WINDOW, IF YOU INCLUDE A WEEKEND DAY, UH, THEN YOU GET EVEN HIGHER, UH, PREMIUMS IN THE BASE SALARY OF THE CUSTOMS OFFICER.

AND IT JUST DIDN'T MAKE ECONOMIC SENSE.

SO WE CHOSE WHAT WE FIGURED WAS THE OPTIMUM HOURS FOR NORMAL HOURS.

AND LOOKING AT THE USAGE, IT DOES, I MEAN, JUST THAT SHIFT FROM TEN EIGHT FROM GOING, KEEPING IT OPEN UNTIL 5:00 PM TO PUSHING IT BACK THAT TWO HOURS, WE WENT FROM JUST UNDER 60% INCURRING OVERTIME TO ABOUT 40% INCURRING OVERTIME.

SO THAT WAS A PRETTY BIG SHIFT.

WE SEE A LOT BETWEEN FIVE AND 7:00 PM THAT'S GREAT.

I HAVE ANOTHER QUESTION, JOEL.

UM, WHEN WAS THE EXISTING FUEL FARM BUILT? IT WAS BUILT IN 2004 AND 2005.

UH, I ARRIVED HERE IN APRIL, 2007, AND IT WAS STILL NOT OPERATIONAL.

AND MY FIRST CHARGE WHEN I GOT HERE WAS MAKE IT WORK.

SO I WORKED WITH BASCO SERVICES AND WE SOLVED A COUPLE OF OPERATIONAL ISSUES AND GOT IT FUNCTIONAL BY THE END OF 2007.

[01:20:02]

OKAY, THANK YOU.

AND JOEL, WITH THE, UH, THE INCREASE IN THE CUSTOMS FEES, IS THAT IN PRETTY MUCH IN LINE WITH OUR COMPETITION OUT THERE? NOT THAT WE REALLY HAVE ANY COMPETITION, BUT YES.

UM, THE $200, UH, OVERTIME FEE WAS SOMETHING THAT WAS COMMON IN THIS AREA.

UH, LOVE FIELD DOES NOT CHARGE AN OVERTIME FEE, BUT, UH, THEIR BASE CLEARING FEES ARE QUITE A BIT HIGHER THAN OURS.

AND SO WE FACTORED THAT IN INITIALLY.

UH, WE ARE STILL, UH, CHEAPER FOR EVERYTHING, BUT A BUT SMALL PISTON AIRPLANES COMPARED TO LOVE FIELD BECAUSE THEY ALSO HAVE A LANDING FEE.

WE DON'T HAVE A LANDING FEE.

THEY CHARGE GENERAL AVIATION, PRETTY SIGNIFICANT LANDING FEE.

UM, PISTON AIRCRAFT.

I'M NOT TOO WORRIED ABOUT.

WE'VE CLEARED, UH, TWO THAT I KNOW OF SINCE I'VE BEEN HERE.

PEOPLE JUST DON'T FLY FROM, UH, OUTSIDE OF THE UNITED STATES ALL THE WAY TO ADDISON AND A PISTON AIRCRAFT.

IT'S A LONG STRETCH AND, AND LOVE FIELD IS REALLY WHO WE LOOK AT WHEN WE'RE COMPARING THAT.

THAT REALLY IS WHERE MOST OF THE, UH, CUSTOMS CLEARANCES, UH, ARE.

UH, MCKINNEY HAS US CUSTOMS, THEY'VE GOT A COUPLE OF BASE CUSTOMERS THERE THAT USE IT A BUT RIGHT NOW THEY'RE, THEY'RE NOT, UH, REALLY, THEY, THEY CLEAR A SMALL FRACTION OF WHAT WE DO.

UH, JUST A QUICK QUESTION ON THE FUEL EXPANSION.

SO RIGHT NOW YOU SAID WE'RE AT 315,000 GALLONS? WELL, WE HAVE 315,000 GALLONS OF, UH, TOTAL STORAGE CAPACITY.

WE HAVE ONE TANK THAT IS NON-AVIATION FUELS.

IT'S SPLIT BETWEEN AUTOMOBILE, GASOLINE, AND DIESEL.

UM, THE DIESEL SITE IS USED, THE AUTOMOBILE GASOLINE IS UNDER UNDERUTILIZED.

WE MIGHT LOOK AT CONVERTING THAT TO AN AVIATION FUEL.

UH, BUT ANOTHER ASPECT OF THIS PROJECT THAT I DID NOT MENTION, UM, IS THAT WHEN WE DO SOME IMPROVEMENTS TO THE EXISTING FUEL FARM AND BUILDING A SECOND FUEL FARM, WE ARE PROPOSING TO ADD, UH, GASOLINE AND DIESEL TANKS ABOVE GROUND TANKS TO SERVICE TOWN OF ADDISON FLEET VEHICLES.

AND TO GET RID OF THE UNDERGROUND STORAGE TANKS AT FIRE STATION ONE AND THE SERVICE CENTER, IT JUST MAKES SENSE TO PUT ALL THE FUEL IN, UH, THE SAME LOCATIONS.

AND I THINK IT WOULD REALLY BE HELPFUL FOR US TO BE ABLE TO GET RID OF THOSE UNDERGROUND STORAGE TANKS.

I THINK YOU MAY KNOW WE'VE HAD SOME ISSUES WITH FUEL QUALITY IN THOSE UNDERGROUND TANKS.

SO IF WE ADD THE, THE, UH, EXPANDED FUEL FARM, IS IT SAFE TO SAY, YOU KNOW, BASED ON, YOU KNOW, THE, UH, ANTICIPATING, YOU KNOW, THE GROWTH OF THE AIRPORT AND THE INCREASE IN PRICES THAT WE'D SEE MORE REVENUE AND PROFIT FROM THE FUEL CENTER , THAT'S A, THAT'S, YOU KNOW, WE'RE, WE'RE NOT REALLY TRYING TO SEE A LOT OF PROFIT FROM, FROM THE FUEL.

IT'S A, IT'S A FUNDAMENTAL THING THAT YOU HAVE TO PROVIDE TO HAVE A FUNCTIONAL AIRPORT IS YOU HAVE TO HAVE FUEL.

UM, WE'RE NOT THE ONES THAT ARE TRYING TO MAKE MONEY OFF OF THAT.

THAT REALLY IS OUR FBOS AND THAT'S ONE OF THEIR PRIMARY REVENUE SOURCES.

SO WE'RE VERY COGNIZANT OF WORKING CLOSELY WITH THE FBOS.

UH, WE'RE JUST TRYING TO PROVIDE THE INFRASTRUCTURE TO HELP THEM BE SUCCESSFUL.

IT'S JUST LIKE WHAT WE DO WITH PROVIDING A, A GOOD RUNWAY AND GOOD TAXIWAYS.

UH, WE'RE JUST TRYING TO SET THEM UP TO, TO SUCCEED.

AND SO WE'RE REALLY HERE TO SUPPORT THEM.

AND IF IT DOESN'T WORK FOR THEM, IT DOESN'T REALLY WORK FOR US EITHER.

SO IT, IT WILL GENERATE A LITTLE EXTRA REVENUE.

AND WE ARE LOOKING AT PROBABLY INCREASING TANK LEASE RATES A LITTLE BIT TO HELP OFFSET SOME OF THIS COST.

UH, BUT WE'RE NOT THERE YET AS FAR AS WHAT THOSE NUMBERS WILL LOOK LIKE.

AND WE REALLY HAVE TO ZERO IN ON WHAT'S THE SCOPE, AND THAT WILL BE INFLUENCED BY HOW MUCH MORE IT WILL COST.

I GET IT.

SO IT'S MORE DRIVEN BY THE FBOS AND KEEPING THEM HAPPY AND KEEPING THEM ON THE AIRPORT.

WELL, ABSOLUTELY.

WE, IF, IF WE DON'T HAVE SUCCESSFUL FBOS, UH, WE MIGHT AS WELL GO HOME.

YEAH, OKAY.

YOU KNOW, THAT THEY REALLY ARE THE MAIN DRIVERS OF, OF A LOT OF THE BUSINESS ON THE AIRPORT AND THEY'RE REALLY OUR, WHAT YOU WOULD CALL OUR ANCHOR TENANTS.

OR AT LEAST PAY FOR ITSELF, UH, THROUGH THE REVENUE IT GENERATES.

JUST A QUICK QUESTION, AND YOU MAY HAVE MENTIONED IT AND IT GOT PAST ME, BUT WHERE WOULD THIS SECOND FUEL FARM BE LOCATED? UH, WE ARE LOOKING AT A SITE, UM, ON WEST GROVE ROAD, IF YOU'RE FAMILIAR, WHERE XL PARKWAY COMES IN.

YES.

JUST SOUTH OF THE SERVICE CENTER.

IT'D BE ABOUT THERE.

WE HAVE A GATE THERE.

IT WOULD BE JUST NORTH OF THAT GATE.

SO, UM, LOOKING AT, AND THIS IS, YOU KNOW, THE, UH, AIRPORT, IT HAS ITS OWN FUND.

IT'S AN ENTERPRISE FUND.

SO IDEALLY WE WANT THIS FUND TO, UH, CAP RECAPTURE

[01:25:01]

UH, OUR OVERALL PROPOSED, UH, BUDGET THAT WE'RE LOOKING AT FOR FISCAL YEAR 2025 ON THE REVENUE SIDE IS 10,280,000.

NOW YOU SEE, AND YOU LOOK AT THOSE OTHER PREVIOUS YEARS, THAT LOOKS LIKE A HUGE INCREASE.

UM, AS JOEL MENTIONED THAT SOME OF THESE, UM, CAPITAL PROJECTS THAT ARE IN HIS, UH, UH, DECISION PACKAGES, UH, WOULD BE ELIGIBLE TO BE REIMBURSED THROUGH, UH, THAT BIPARTISAN INFRASTRUCTURE LAW.

SO THE MAIN INCREASE AS FAR AS THE REVENUE SIDE IS, IS IN THAT INTERGOVERNMENTAL CATEGORY.

UM, AND THAT IS A, A BIG INCREASE OF ABOUT $2.5 MILLION RELATED TO REIMBURSEMENTS THAT WE WOULD ANTICIPATE FROM THAT BIPARTISAN, UH, INFRASTRUCTURE LAW.

SO THAT'S WHAT REALLY DRIVES THAT REVENUE SIDE UP.

UH, ON THE OPERATING EXPENSE SIDE, UH, GOING UP TO 6,340,000, UH, ABOUT A 200, UH, AND $10,000 INCREASE FROM THE PREVIOUS FISCAL YEAR, UH, THE MAJORITY OF THAT INCREASE IS RELATED TO PERSONNEL SERVICES.

UM, UH, WHICH, WHICH COMES OUT TO ACTUALLY ABOUT 200,000, A LITTLE OVER $200,000.

UM, THEN WE HAVE A TRANSFER TO THE DEBT SERVICE FUND.

UH, SO THE, UH, TOWN, UH, ISSUED SOME, UH, DEBT FOR THE AIRPORT BACK IN 2013.

UH, THE, THE AIRPORT STARTED, UH, REPAYING THAT DEBT SERVICE.

UH, SO BASICALLY THIS IS A TRANSFER TO THE DEBT SERVICE FUND, UH, SO THAT THE AIRPORT IS REPAYING THAT DEBT INSTEAD OF, UH, THE, UH, PROPERTY TAX RATE.

AND THEN, UH, GOING ON TO THE OTHER SIDE OF THE EXPENDITURES, YOU CAN SEE THERE'S A LOT OF CAPITAL PROJECTS GOING ON AT THE AIRPORT.

UH, WE DO HAVE ONE, UH, FOR REGULATED, UH, UH, GARBAGE UTILITY BUILDING.

UH, THAT WAS ONE THAT WAS BUDGETED IN 2024, BUT WE ANTICIPATE THAT BEING, UH, IN 2025, UH, HAPPENING.

UH, WE HAVE SOME DEVELOPER PARTICIPATION AGREEMENTS THAT, THAT JOEL WENT OVER A FEW OF THOSE.

UM, THERE'S THREE OF THOSE LISTED.

HE WENT OVER THE AIRPORT FUEL EXPANSION.

SO $2 MILLION ANTICIPATED TO BE SPENT, UH, THROUGH THE AIRPORT FUND IN THE FISCAL YEAR 2025 BUDGET.

AGAIN, THAT WOULD BE REIMBURSED THROUGH THAT BIPARTISAN INFRASTRUCTURE LAW.

UH, THEN WE HAVE THE EAST SIDE AIRPORT SERVICE ROAD RECONSTRUCTION.

A LITTLE OVER A MILLION DOLLARS PORTION OF THAT WOULD BE REIMBURSED BY THAT BIPARTISAN INFRASTRUCTURE LAW.

AND THEN THE, UH, GLEN CURTIS ROOF REPLACEMENT THAT JOEL MENTIONED.

SO, UH, OVERALL TOTAL EXPENSE IS A LITTLE OVER $11 MILLION, UH, 11 MILLION, 76,000.

UH, AND THAT STILL LEAVES US WITH A WORKING CAPITAL BALANCE OF ABOUT $7,376,000, UH, OR ABOUT 116% OF OUR OPERATING EXPENSES.

SO, UH, THE TOWN'S, UH, POLICY IS THAT WE HAVE ABOUT 25% OF OUR OPERATING EXPENSES IN RESERVE, SO WELL ABOVE THAT THRESHOLD, UH, AT 116%.

AND THEN THE NEXT SLIDE.

UM, FIRST ANY QUESTIONS ABOUT THAT FUND SUMMARY AT ALL? ANYBODY? NO.

UM, THE NEXT SLIDE IS OUR LONG-TERM FINANCIAL PLAN FOR THE AIRPORT.

UH, SO THIS IS BASICALLY A 10 YEAR LOOK AT, UH, ALL THE REVENUES, EXPENSES, OBLIGATIONS THAT, THAT THE AIRPORT ANTICIPATES TO HAVE OVER THE NEXT 10 YEARS.

UH, THERE, THERE REALLY, AND I KNOW THERE'S A LOT GOING ON WITH THIS, SO A LOT OF, A LOT IN THE LEGEND, A LOT, A LOT OF COLORS AND, AND THINGS.

UH, THE, THE BARS ARE REPRESENT THE REVENUES, UH, THE AREA SPACES BEHIND THOSE BARS REPRESENT OUR EXPENDITURES.

AND THEN THERE'S TWO LINES ON THIS CHART.

THERE'S A DOTTED RED LINE, AND THAT'S OUR, UM, CASH REQUIREMENT, OUR WORKING CAPITAL REQUIREMENT OF THAT 25%.

AND THEN THERE'S A DARK BLACK LINE, AND THAT'S OUR ACTUAL, UH, CASH BALANCE THAT WE HAVE TO WORK WITH.

SO AS YOU FOLLOW THAT ACTUAL BLACK LINE ACROSS THAT 10 YEAR FORECAST, YOU CAN SEE THAT WE STILL REMAIN WELL WITHIN OUR EXISTING, UH, POLICY AS FAR AS, UH, OUR REQUIREMENTS GO.

NOW, AS JOEL MENTIONED, THE CAPITAL IMPROVEMENT PROJECT RELATED TO THE FUEL FARM, THERE'S A VERY LARGE NUMBER THAT, THAT HE PUT OUT THERE.

THIS MODEL HERE IS ANTICIPATING, UH, THAT WE WOULD, ONE, HAVE SOME FUNDS THAT WERE CASH FUNDING THROUGH THAT BIPARTISAN INFRASTRUCTURE LAW, BUT THEN THAT WE WOULD HAVE TO GO OUT AND SELL DEBT FOR THE REMAINDER OF THAT PROJECT.

IF THAT SCOPE WAS BROUGHT IN A LITTLE BIT AND IT WAS LESS, THEN OBVIOUSLY OUR EXPENSES WOULD BE A LITTLE BIT LESS.

AND THIS, UH, UH, YOU KNOW, OUR CASH BALANCES COULD BE HIGHER AT THE END OF THIS, UH, 10 YEAR FORECAST.

UM, BUT OVERALL, UH, THE AIRPORT IS SUSTAINABLE OVER THIS 10 YEAR PERIOD, UH, AS THE NEW DEBT SERVICE FROM THAT FUEL FARM EXPANSION IS ADDED.

BUT IT DOESN'T PUT STRESS OVERALL ON OUR OPERATING THRESHOLD, AND WE STILL REMAIN WELL WITHIN OR WELL ABOVE OUR REQUIRED AMOUNT.

AND THAT TAKES US TO THE END OF THE AIRPORT PRESENTATION.

UM, I'D BE HAPPY TO ANSWER ANY QUESTIONS AS I'M SURE JOEL WOULD AS WELL.

QUESTIONS FROM ANYBODY? I HAVE A COMMENT.

I REALLY DO LIKE THE FINANCIAL MODEL

[01:30:01]

OUT OF, UH, WHAT'S IT MUNI WORTH, UM, SHOWS, YES, A LOT ANSWERS A LOT OF QUESTIONS.

AND, UH, THE CASH BALANCE LINE, YOU ANSWERED THAT QUESTION ALSO.

SO THAT'S A REALLY, A REALLY GOOD VIEW.

GREAT, THANK YOU.

AND SO STEVEN, THE, UH, UM, THE, THE, THE MONEY, THE, THE, THE AMOUNT THAT GOES FOR THAT TRANSFERS TO THE DEBT SERVICE FUND? YES, SIR.

THAT'S THE ONLY THING THAT GETS TRANSFERRED OUT FROM THE AIRPORT FUND ANYWHERE ELSE, RIGHT? NOTHING GOES TO THE GENERAL FUND? THAT'S CORRECT.

WE DO HAVE, YOU KNOW, WE, SO WE HAVE FINANCIAL POLICIES THAT DON'T ALLOW US TO DO ADMINISTRATIVE TRANSFERS, BUT WHAT WE'VE DONE IN THE PAST, UH, SEVERAL YEARS IS WHETHER IT'S THE UTILITY FUND OR THE STORMWATER FUND OR THE AIRPORT FUND THAT WE'VE ASSIGNED CERTAIN PERSONNEL TO THOSE FUNDS, LIKE, YOU KNOW, THEY'RE GONNA USE HUMAN RESOURCES OR THEY'RE GONNA USE SOME CITY MANAGER'S OFFICE OR FINANCE DEPARTMENT.

UM, SO WE DO HAVE CERTAIN PERSONNEL THAT WE'RE ALLOCATING TO THESE FUNDS, BUT THEY'RE NOT TRANSFERRING MONEY DIRECTLY TO THE GENERAL FUND.

THEY'RE JUST PAYING A FOR A PORTION OF THAT EMPLOYEE.

THAT'S CORRECT.

GOTCHA.

ANY OTHER QUESTIONS? THAT ONE, CHRIS, FOR THE CURRENT DEBT THAT'S BEING TRANSFERRED OUT, THAT WAS, THAT WAS ISSUED BY THE TOWN AND THAT'S WHY IT'S BEING PAID BACK THAT WAY? CORRECT.

SO, SO BACK AND, AND I THINK THIS WAS FROM THE 2012, UH, BOND ELECTION, UH, THERE WAS $7 MILLION OUT THERE THAT WAS FOR AIRPORT LAND ACQUISITION.

UM, AT THAT POINT, THE AIRPORT DIDN'T HAVE THE FUNDS TO SERVICE THAT DEBT.

UM, SO IT MADE SENSE FOR THE TOWN, UH, TO SERVICE THAT DEBT.

IT WAS ISSUED AS A GENERAL OBLIGATION BOND.

THE AIRPORT'S BEEN DOING VERY WELL THE LAST FEW YEARS.

SO BACK IN 2023, UH, WE PROPOSED THAT THE AIRPORT START SERVICING THAT DEBT THEMSELVES RATHER THAN, UH, YOU KNOW, THE PROPERTY TAXPAYERS.

AND THEN MOVING FORWARD, ANY NEW DEBT, LIKE IF WE, IF WE ISSUE DEBT OR WHEN WE ISSUE DEBT FOR THE FUEL EXPANSION, IS THE IDEA THAT THAT'LL BE ISSUED NOW BY, BY THE AIRPORT AND HAVE IT BE SELF-SUPPORTIVE, OR IT IS SELF-SUPPORTED, BUT IT IS ISSUED WITH, IT'S BASICALLY, WE'VE DONE CERTIFICATES OF OBLIGATION, WHICH STILL HAVE THE FULL FAITH AND CREDIT OF THE TOWN.

SO IT'S NOT A REVENUE BOND BASED ON THE AIRPORT'S CREDIT WORTHINESS.

IT'S STILL BASED ON THE PROPERTY TAX BASE, BUT IT IS REPAID BY AIRPORT REVENUE.

AND YEAH.

BUT THE IDEA WOULD BE TO ISSUE AN AMOUNT THAT WOULD BE SUPPORTED BY AIRPORT OPERATIONS ABSOLUTELY.

RATHER THAN ANYWHERE ELSE IN THE TOWN.

ABSOLUTELY.

SO WE DO IT THAT WAY SO THAT WE GET THE LOWEST POSSIBLE INTEREST RATE, BECAUSE IF THE AIRPORT WAS TO SELL A REVENUE BOND, IT WOULD HAVE A HIGHER INTEREST RATE.

SO WE GET THE, THE CHEAPEST BORROWING COST, BUT THEN THEY'RE REPAYING IT.

ON TO ITEM SIX D, PRESENT AND DISCUSS CITY COUNCIL BOARDS, COMMISSIONS, AND LIAISON APPOINTMENTS.

ANYTHING ELSE FROM ANYBODY? ALRIGHT, JOEL, DID YOU HAVE ANYTHING ELSE FOR US? YOU'RE GOOD.

[d. Present and discuss City Council boards, commissions, and liaison appointments.]

THAT'LL BE VALENCIA EVENING MAYOR AND COUNCIL VALENCIA GARCIA, INTERIM CITY SECRETARY, HERE TO TALK TO YOU TONIGHT ABOUT COUNCIL NOMINATIONS AND LIAISON OPPORTUNITIES.

UM, SO THIS FIRST SLIDE SHOWS OUR CHART WITH OUR, UH, BOARD AND COMMISSION NOMINATIONS.

UH, SO THERE'S NO ACTION THAT NEEDS TO BE TAKEN ON THIS ANYTIME SOON.

UH, JUST WANTED TO SHOW YOU THE UPDATED PLACE ASSIGNMENTS, UM, WITH OUR NEW COUNCIL MEMBERS THAT HAVE COME ON BOARD.

UM, HISTORICALLY, PLACES ONE THROUGH THREE ARE NOMINATED BY COUNCIL MEMBERS THAT ARE ELECTED IN EVEN NUMBER OF YEARS.

UH, THREE THROUGH SEVEN ARE, UH, NOMINATED BY THOSE THAT ARE ELECTED IN ODD NUMBER OF YEARS.

SO THIS IS WHERE WE STAND NOW WITH OUR NEW COUNCIL MEMBERS ON BOARD.

UM, THESE DOMINATIONS WILL COME UP IN DECEMBER OF THIS YEAR.

UM, SO THAT'S WHEN THE TERM EXPIRES FOR BOTH, UM, PLANNING AND ZONING AND BOARD OF ZONING ADJUSTMENTS.

SO THAT IS THE CHART THERE.

AND THEN WE ALSO HAVE SOME LIAISON OPPORTUNITIES FOR OUR COUNCIL MEMBERS.

UM, SO EACH YEAR, AROUND JUNE OR JULY TIMEFRAME, UH, WE, UH, REVIEW OUR COUNCIL MEMBER LIAISON OPPORTUNITIES AND WE MAKE ASSIGNMENTS FOR THE YEAR.

SO, UM, RAMIR, I'LL TURN IT OVER TO YOU, MAYOR, TO, UH, THANK YOU VALENCIA.

AND CAN I JUST ASK YOU ONE FAVOR? UH, YEAH, THAT CHART, THE, THE, ON THE PREVIOUS SLIDE, UM, WOULD YOU BE ABLE TO SEND US THAT WITH ANOTHER COLUMN THAT SHOWS WHAT TERM THESE PARTICULAR PEOPLE ARE ON? ABSOLUTELY.

OKAY, THANK YOU.

THAT'S HELPFUL.

UM, I HAD A QUESTION ON THAT SAME SURE.

UH, WOULD IT BE POSSIBLE ALSO, UM, I MEAN ONE QUESTION THAT CAME TO MY MIND WHEN I WAS LOOKING AT THIS WAS, UM, THE INFORMATION, UM, LIKE

[01:35:01]

WHO WAS THE ORIGINAL, WHO THESE MEMBERS WHO THEY WERE ORIGINALLY APPOINTED BY, IS THAT HISTORY AVAILABLE? IT IS.

UM, SO WE'D HAVE TO LOOK FOR IT, BUT IT COULD GET A LITTLE, UH, DIFFICULT TO TELL WITH SOME OF THESE BEING, UM, RESIGNED, UH, PLACES.

AND THEN WE HAVE TO MAKE NEW APPOINTMENTS.

SO IT MAY BE HARD TO TELL WHO THE ORIGINAL IS, UH, DEPENDING ON HOW FAR BACK WE WANNA GO, BUT WE CAN LOOK AT THAT.

THANK YOU, VALENCIA.

OKAY, SO THE, UM, UH, MARTIN, I MAYOR, I JUST WANT TO, I CLARIFY, I THINK I KNOW WHAT YOU'RE ASKING.

YOU'RE TALKING ABOUT LIKE TWO COLUMNS BEING ADDED AND, AND A COLUMN FOR THE P AND Z WHEN THEY TERM OUT AND THEN THE SAME FOR BZA? IS THAT WHAT YES.

GOT IT.

MM-HMM, VERY GOOD.

SO THE LIAISON ASSIGNMENTS, UM, THIS IS SOMETHING THAT'S JUST AN, AN ADD ON TO WHAT THE, UH, COUNCIL MEMBERS DO THROUGHOUT THE YEAR.

AND, UH, SO WE'LL GIVE, I'LL GIVE YOU AN UPDATE ON WHERE WE'RE WITH THAT.

I'VE, I'VE SPOKEN TO EVERYBODY.

I WANTED TO FIND PREFERENCES OF WHAT PEOPLE WANTED TO DO, IF THEY WANTED TO CONTINUE TO SERVE IN WHERE THEY WERE, UH, IN THE LIAISON ASSIGNMENT THEY'VE HAD FOR THE PREVIOUS YEAR.

AND SO HERE'S THE RUNDOWN THAT WE HAVE ON THAT.

SO FOR THIS COMING YEAR, ADDISON ARBOR FOUNDATION WILL BE DAN LISIO, METROCREST CHAMBER OF COMMERCE WILL BE CHRIS D FRANCISCO, NORTH DALLAS CHAMBER OF COMMERCE WILL BE MYSELF.

WATER TOWER THEATER WILL BE MARLON WILLISON, METRO CREST SERVICES WILL BE NANCY CRAIG, AND GOING DOWN TO THE BOTTOM SECTION, WHICH IS, YEAH, UH, METROPLEX MAYORS.

THAT'S MAKES SENSE THAT I'M DOING THAT.

AND I, I WILL CONTINUE TO SERVE ON THE, UH, THE REGIONAL TRANSPORTATION COUNCIL.

THAT'S THE SEAT THAT WE SHARE WITH, UH, RICHARDSON ON THE, UH, AT THE, AT THE COG.

AND THAT'S A MONTHLY MEETING THAT WE, WE SHARE THAT.

AND THEN PERIODICALLY THAT SEAT IS CHANGED FROM THE, FROM RIGHT NOW WE HAVE THE PRIMARY SEAT AND RICHARDSON HAS THE SECONDARY, UH, THEY'RE THE, UH, THE BACKUP BASICALLY.

AND THEN, WE'LL, THAT'LL BE SWITCHED TO SOME POINT DOWN THE ROAD.

UH, THEN THE NORTH TEXAS COMMISSION, UH, DARREN SERVED ON THAT LAST YEAR, AND HE WILL CONTINUE TO DO THAT THIS YEAR.

SO THANK YOU FOR DOING THAT, DARREN.

AND YOU'LL SEE TEXAS MUNICIPAL LEAGUE AND THE, UH, THE TMRS, THE RETIREMENT SYSTEM BASICALLY, NOT THAT WE'RE ALL REALLY LIAISONS FOR THAT, BUT THAT'S SOMETHING THAT WE'RE ALL, WE ALL HAVE POTENTIAL TO, TO HAVE INVOLVEMENT WITH.

AND SO THAT'S WHAT I HAVE FOR LIAISON ASSIGNMENTS.

AND SINCE I'VE SPOKEN WITH EVERYBODY ABOUT THOSE, I ASSUME THAT EVERYBODY'S OKAY WITH THOSE.

VERY GOOD, BECAUSE WE'RE NOT VOTING, UM, .

IT'S, IT'S NOT A VOTING ITEM, BUT, UM, BUT THAT'S, UH, THAT'S WHERE WE'RE WITH THAT.

OKAY, GOOD.

DID YOU GET ALL ALL THOSE? OKAY.

VALENCIA? YEP, I GOT ALL OF THOSE.

UM, AND THEN WE'LL BRING IT BACK AT THE NEXT COUNCIL MEETING WITH THE RESOLUTION TO FORMALIZE THOSE.

IN THE REGULAR MEETING, WHICH IS ITEM FIVE ITEMS OF COMMUNITY INTEREST.

ALL RIGHT, WELL, THAT IS THE LAST OF OUR WORK SESSION ITEMS. SO THE LAST THING THAT WE HAVE TO DO IS THE LAST THING ON OUR AGENDA

[5. Items of Community Interest. The City Council will have this opportunity to address items of community interest, including: expressions of thanks, congratulations, or condolence; information regarding holiday schedules; an honorary or salutary recognition; a reminder about an upcoming event organized or sponsored by the Town of Addison; information regarding a social, ceremonial, or community event that was or will be attended by an Addison City Council member or an official; and, announcements involving an eminent threat to public health and safety in Addison that has arisen since posting this agenda.]

AND THIS IS AN OPPORTUNITY FOR COUNCIL MEMBERS TO, TO, TO, UH, BRING, YOU KNOW, ADDRESS ITEMS OF COMMUNITY INTEREST.

UH, THANKS, CONGRATULATIONS, CONDOLENCE INFORMATION, ANYTHING YOU'D LIKE TO SHARE WITH THE COUNCIL OR THE PUBLIC.

AND THEN I SEE ONE LIGHT LIT BY MARLON.

THANK YOU, MAYOR.

UM, YOU KNOW, ONE OF THE THINGS I WANTED TO SHARE WAS, UH, TASTE.

ADDISON ABBEY DID A GREAT JOB.

EVERYBODY THAT WAS ON DECK DID A GREAT JOB, BUT, UM, UH, AND, AND UNDER DIFFICULT CONDITIONS WITH THE WEATHER, BUT, BUT, UH, THE FIRST THING THAT POPPED INTO MY MIND WHEN I GOT OUTTA MY VEHICLE, WALKED INTO THE PARK IS HOW MUCH DIFFERENT, UM, IT LOOKED AND, AND, UH, HOW, HOW WELL THE SPACE WAS UTILIZED.

IT SOUNDS WEIRD, BUT I KIND OF WANTED TO, IT WAS SO INTERESTING TO ME.

I ALMOST FELT LIKE IF I DIDN'T EXPLORE EVERY SPACE I WAS MISSING SOMETHING.

MM-HMM.

, RIGHT? I MEAN, I WAS ALMOST LIKE, I NEED TO GO TO THIS CORNER AND EVERY CORNER AND, AND, UM, UH, WHAT I WOULD CALL LIKE OUR LITTLE CARNIVAL AREA WAS, WAS PRETTY COOL.

SO, UM, I WAS VERY, VERY IMPRESSED WITH THAT.

I JUST WANNA SHARE THAT THOUGHT.

THANK YOU, MARLON.

ANYBODY ELSE? I'LL JUST SAY LIKE, ALONG THOSE SAME LINES, I, I FELT THE SAME WAY ABOUT A LOT OF THOSE DIFFERENT SPACES, HOW THEY'RE BEING USED.

I PARTICULARLY LOVED THE, THE WINE GARDEN AND THE SPEAKEASY, AND I FEEL LIKE THOSE ARE SOME THINGS THAT WE COULD USE MORE OFTEN.

I MEAN, I FEEL LIKE WE COULD PROBABLY CLOSE OFF THAT LITTLE SECTION WHERE THE WINE GARDEN WAS AND DO THAT FOR LIKE, THE WHOLE MONTH OF JUNE OR SOMETHING.

INCORPORATE A, YOU KNOW, A COUPLE OF OUTDOOR EVENTS OR SOMETHING.

I JUST THOUGHT IT WAS A GREAT IDEA AND WELL RECEIVED.

THANKS CHRIS.

DARREN, JUST A SHOUT OUT TO ALL OF THE TOWN STAFF THAT DID ALL THE CLEANUP OVER THE LAST TWO WEEKS.

IT'S JUST SO MUCH.

UM, I WENT THROUGH A LOT OF AREAS IN ADDISON AND, UH, JUST EVERYBODY CHIPPING IN, IT'S JUST REALLY IMPRESSIVE.

AND

[01:40:01]

THEN THEY GO TO A TASTE AND, UM, SERVED THERE ALSO.

AND SOME OF 'EM ARE DOING, YOU KNOW, MANY, MANY HOURS AND JUST, JUST A LOT OF APPRECIATION FOR THAT.

THANK YOU GUYS.

THANK YOU DARREN.

NANCY, JUST TO FOLLOW UP WHAT DARREN WAS SAYING, IT'S AMAZING WHAT OUR STAFF IN OUR TOWN HAS DONE FOR ALL OF US, UM, AFTER THE STORMS. AND, UH, YOU DON'T HAVE TO DRIVE VERY FAR OUT OF ADDISON TO SEE THE DIFFERENCE OF WHAT KIND OF SERVICE THAT, UH, THAT WE GET HERE.

SO, UM, I WANNA THANK EVERYONE ON THE STAFF FOR THAT.

THANK YOU NANCY.

UH, WELL I WANNA PILE ON, BUT I'M GONNA PILE ON JUST A LITTLE BIT BECAUSE ABBY, IS ABBY STILL HERE? SHE STEPPED AWAY, BUT WE'LL PASS IT ON.