Jul 31, 2023 Town Council

[A. REGULAR MEETING – Call to Order (3:00 P.M.) ]

[00:00:07]

IT'S 3:00 HERE.

TODAY'S TOWN OF WESTLAKE BOARD OF TRUSTEES TOWN COUNCIL MEETING.

MONDAY, JULY 31ST, 2023.

WE'RE GOING TO START OFF WITH THE REGULAR MEETING CALL TO ORDER.

FIRST ITEM IS THE PLEDGE OF ALLEGIANCE.

PLEDGE]. WE MOVE ON TO CITIZEN AND PARENT COMMENTS. AMY, DO WE HAVE ANY? WE HAVE NONE. OKAY. WE'LL MOVE ON TO ITEMS OF COMMUNITY INTEREST.

[D. ITEMS OF COMMUNITY INTEREST ]

WE'LL LET THEM KNOW YOU SAID THAT.

GREETINGS, EVERYONE.

WE'VE GOT A FEW THINGS COMING UP.

AS YOU KNOW, BACK TO SCHOOL SEASON IS HERE, SO WE'VE GOT A TOWN COUNCIL MEETING ON MONDAY, AUGUST 7TH AT 4:00.

THEN OUR BOARD OF TRUSTEES MEETING FOR THE WESTLAKE ACADEMY STAFF ON TUESDAY, AUGUST 15TH AT 8 A.M.

OUR PLANNING AND ZONING MEETING IS TUESDAY, AUGUST 15TH AT 5 P.M.

IN THIS CHAMBER.

WESTLAKE ACADEMY'S FIRST DAY OF SCHOOL IS THURSDAY, AUGUST 17TH.

AND THEN WE'VE GOT MILITARY HEROES RUN COMING UP ON SATURDAY, AUGUST 19TH.

SO PUT ON YOUR RUNNING SHOES AND JOIN US FOR A 5K OR A 10K.

YOU ALL LOOK LIKE Y'ALL CAN HANDLE IT.

AND WE'VE GOT LABOR DAY COMING UP ON SEPTEMBER 4TH.

SO WE'LL BE CLOSED SCHOOL AND TOWN AND THEN COFFEE AND CONVERSATIONS WITH THE MAYOR ON TUESDAY, SEPTEMBER 5TH AT 8 A.M.

AT HIPSTER COFFEE ACROSS THE STREET.

ALL RIGHT. WE HAVE EXECUTIVE SESSION AT 3:30.

CAN WE CAN WE MOVE OVER TO OTHER ITEMS NOW? CAN WE OR DO WE HAVE TO WAIT THROUGH EXECUTIVE SESSION? WE CAN MOVE A COUPLE ITEMS UP.

DO YOU WANT TO GO INTO CONSENT OR SOMETHING RIGHT NOW AND JUST CRANK OUT CONSENT? YEAH. LET'S GO OVER TO ITEM G CONSENT AGENDA.

[G. CONSENT AGENDA ITEM(S) ]

SANDY, YOU WANT TO COME ON DOWN? SO QUESTIONS OR DO YOU WANT ME TO JUST GO THROUGH WHAT? JUST GO THROUGH IT? OKAY, SO WE HAVE THE COMPENSATION PLAN AND THE ONLY.

I ALWAYS MESS THIS UP DOWN SIDE.

RIGHT. THERE WE GO.

SO HERE IS THE SALARY SCHEDULE I HAD ON THE FIRST ROW, HAD SOME CHANGES THAT I NEEDED TO MAKE AND I WILL PROVIDE THOSE TO YOU.

I DIDN'T BRING THEM DOWN WITH ME THIS TIME, BUT THE MAIN CHANGE THAT WE HAVE.

WAIT, IS THIS OFF OF THE STRIVE AND PRESENTATION.

I HAD ANOTHER SLIDE IN THERE.

WHERE I SHOWED THE DIFFERENCE BETWEEN LAST YEAR AND THIS YEAR, SO I'LL JUST TALK THROUGH IT.

WE HAVE A CHANGE IN OUR INCOMING SALARY FOR OUR NEW HIRE TEACHERS.

IT WAS 57 [INAUDIBLE].

I CAN'T SEE UP INTO 58,000 NOW.

AND THEN, AS CASEY WILL DISCUSS WHAT THE CHANGE IN THE OVERALL PLAN WAS, AN AVERAGE OF 3% WITH THE STEP INCREASE.

SO THAT'S ON ANYBODY ON A SALARY SCHEDULE.

SO THAT TAKES CARE OF OUR TEACHERS SALARY AND THEN THE COUNSELOR SALARY SCHEDULE AS WELL.

FOR EVERYONE ELSE, THE PROPOSAL IS A 3% OFF OF BASE.

SO ARE THESE PUBLISHED RATES? DOES THIS INCLUDE THE 3%? ARE YOU SAYING THE 3% IS ON TOP OF THESE? NO, THIS THE 23-24 WHAT YOU ARE SEEING IN FRONT OF YOU WOULD INCLUDE THAT 3%.

SO THE PURPOSE OF THIS IS JUST TO SHOW THE REVISED PAY SCALES.

YES, SIR. OKAY.

AND THE OTHERS ARE ON RANGES, SO THOSE DID NOT CHANGE WITH ANYTHING.

[00:05:03]

OK. AND THE 3% WAS JUST UNIFORM ACROSS THE BOARD.

THERE WAS NO OTHER CHANGES OR.

CORRECT? JUST KEEP IN MIND THAT THE TEACHER SCHEDULE AND COUNSELOR SCHEDULE IS A 3% OFF OF MED.

SO IT'S REALLY 2.5% PLUS A STEP TO GET AN AVERAGE OF 3%.

SO ON THAT AVERAGE, LIKE ON THAT CHART, WHO ARE THE BIGGER WINNERS AND WHO'S THE PEOPLE GET THE LEAST TO MAKE THE AVERAGE OF THREE.

SINCE WE DO IT OFF OF MID IT GIVES A CONSISTENT RAISE FOR EVERYONE.

ALL RIGHT. ANY OTHER QUESTIONS ON THAT? NOT FOR ME. ALL RIGHT. ANYTHING ELSE ON CONSENT? ANNA? [INAUDIBLE] NOT FOR ME.

ALL RIGHT. CAN I GET A MOTION TO APPROVE IT FIRST? HAPPY TO MAKE A MOTION. A SECOND.

I'LL SECOND. ALL IN FAVOR? AYE. MOTION CARRIES.

ALL RIGHT. HOW MUCH TIME DO WE HAVE? DO YOU THINK WE HAVE TIME TO DO THE BUDGET AND TAX RATE PROCESS UPDATE, WADE? IN 25 MINUTES. THAT'S QUITE A FEW SLIDES I WOULDN'T THINK WE'D DO.

WHAT DO YOU THINK WE HAVE TIME FOR BEFORE 3:30? GOOD FOUNDATION. THIS FOUNDATION.

WANT TO TRY TO DO THE FOUNDATION.

NOW SHE'S NOT HERE YET. FOUNDATION'S NOT HERE.

WE THOUGHT THERE WERE GOING TO BE MORE SPEAKERS TODAY.

WELL, LET'S JUST GO ON PAUSE UNTIL 3:30.

ALL RIGHT. ALL RIGHT. WE'LL PAUSE IT.

[F.3. Receive an update regarding the Westlake Academy Modular Buildings and Gymnasium Projects 23-192 ]

GET OUT OF HERE. COME ON UP.

ABSOLUTELY. YOU'RE WELCOME.

YEAH, THANKS HAVING ME HERE TODAY.

THANKS FOR COMING, JEFF. IT'S REALLY EXCITING.

LAST TIME I WAS HERE WASN'T QUITE AS FUN AS TODAY.

SO THE REALITY IS, WE'VE DONE WONDERFUL.

AND IT'S ALL THANKS TO EVERYBODY IN THIS ROOM PARTICIPATING IN ALLOWING US TO DO THIS, JUST AS WE HAD ORIGINALLY HAD PLANNED.

THE DATE WE STARTED THE CONSTRUCTION OF THESE IN OUR MOD TO THE DAY WE HAD THEM ALL SET ON THE PROJECT WAS 75 CALENDAR DAYS.

75 WORK DAYS SINCE THEN THE 4TH OF JULY FELL JUST AFTER THAT WE'RE REALLY ONLY ON OUR 18TH REGULAR WORK DAY RIGHT NOW, AND WE'RE ABOUT TO SLAM THE DOOR ON THIS THING.

ALONG THAT WAY, YOU GUYS HAVE HAD US ADD SOME MORE THINGS IN.

WE DID SOME WATER MAINS, SOME SEWER MAINS, WE GOT SOME LANDSCAPING STUFF WE'RE DOING AND CARRYING ON A FEW OF THOSE THINGS.

WE'VE THROWN INTO THE MIX AND STILL MAINTAINING THE DATE.

WE ON OUR SIDE OF THE FENCE HAD PUT MORE WINDOWS IN THAN WE ORIGINALLY WERE DOING.

WE ADDED CLOSETS IN THE ROOMS FOR ALL OF THE TEACHERS TO PUT THEIR STUFF AWAY.

WE PUT CABINETS IN ALL OF THE ROOMS. WE'VE UPGRADED SOME OF THE FLOORING YOU'LL SEE AS WE GO THROUGH.

SO WE'RE REALLY EXCITED ABOUT THIS PROJECT AND BRINGING IT TO YOU.

WHILE THE CONTRACT SAYS, YOU KNOW, TO DO THERE ON THE AUGUST 14TH, JUST IN TIME FOR SCHOOL, WE DON'T ANTICIPATE THAT AT ALL.

WE ANTICIPATE GIVING YOU SOME SUBSTANTIAL COMPLETION NOTIFICATION BEFORE THE END OF THE WEEK.

WE CAN DO A QUICK WALKTHROUGH AND MAKE SURE THAT THE TEACHERS CAN COMFORTABLY MOVE INTO THEIR ROOMS WITHOUT ANY PROBLEMS. SO WE'RE REALLY EXCITED HOW QUICKLY THIS HAS COME TOGETHER FOR YOU.

ON THE OUTSIDE COMPONENTS I'VE BEEN IN CONVERSATIONS WITH WADE.

HE'S MADE IT REAL CLEAR THAT WE NEED TO ACCELERATE AND GET THE OUTSIDE DONE AT THE SAME TIME.

SO WE ANTICIPATE THAT THE FOLLOWING WEEK THEREAFTER, WE REALLY SHOULD BE PUTTING A BOW ON THE OUTSIDE.

WE'VE GOTTEN LANDSCAPERS AND STONE GUYS AND THE CONCRETE GUYS ALL PUMPED UP AND ARE ACCELERATING THEM TO MAKE THAT ALL HAPPEN IN THE NEXT TWO WEEKS.

SO WE'RE VERY CONFIDENT THAT WHEN THE SCHOOL KIDS RUN AROUND, THEY WON'T THEY SHOW UP AND THERE'LL BE A MOUND OF DIRT AROUND IT.

THEY'LL SHOW UP AND THEY'LL BE. SO WE'RE REAL THRILLED TO PROVIDE THAT TO YOU.

OKAY. JED, CAN YOU TALK TO US A LITTLE BIT ABOUT THE CLEANING OF THE PARKING LOT AS WELL? YEAH, WE STARTED DOING THE FIRST PASS OF THAT, BUT WITH THE CONCRETE HAPPENING OVER THE NEXT TWO DAYS AND THEN A LANDSCAPER COMING IN, IF WE NEED TO TAKE SOME NOWADAYS WITH THE WATER SHORTAGES, WE PROBABLY DO SOME STREET SWEEPERS INSTEAD OF TAKING THE OLD FIRE HOSES AND CLEANING IT UP PROPERLY, WE'LL DO THE BEST WE CAN WITH SOME DRIVE ON VEHICLES KIND OF A THING. GET THAT CLEANED UP.

AND I JUST WANT TO TELL YOU, I MENTIONED BEFORE THE MEETING STARTED, I JUMPED UP THERE YESTERDAY.

WE WERE DOING SOME WORK FOR ATHLETICS AND I POKED MY HEAD IN.

I CANNOT BELIEVE HOW GOOD THIS CLASSROOMS LOOK, RIGHT? I MEAN, THE CARPET, THE WINDOWS.

I WENT IN THE FIRST BUILDING OR CLOSE TO THE FOOTBALL FIELD AND IT'S JUST ABSOLUTELY AMAZING.

WE'VE ALSO ADDED IN THE DOUBLE SET OF SHADES FOR THEM TO COME DOWN.

SOME ARE LIKE THE ONES BEHIND YOU AND THEN A DARKER ONE BESIDE SO.

IF THEY WANT TO DARK IT DOWN, THEY CAN'T SEE THE SCREEN.

THERE'S DUAL SHADES ON EVERY WINDOW IN CASE THEY'RE FACING THE SUN OR SOMETHING LIKE THAT.

SO IT'S GOING TO BE EXEMPLARY.

EVERYBODY'S GOING TO LOVE IT. AND THANK YOUR GUYS FOR US, TOO, BECAUSE I TALKED TO ONE OF THEM I KNOW THEY'RE WORKING 24 /7 NIGHTS, ALL THAT.

BUT IT JUST I'M SO PLEASED THE WAY IT LOOKS.

I ACTUALLY JUST CAN'T BELIEVE.

HOW MANY LIKE HOW MANY GUYS GO INSIDE, LIKE 75 NOW OR.

YEAH, WE'RE RIGHT ABOUT 75.

BUT IT'S THE HOURS THEY'RE PUTTING IN.

I MEAN, THE GUYS, THE GUYS THAT WERE THERE YESTERDAY, YOU WERE SEEING, THEY WERE WITH US.

THEY HAD HIT THE 80 HOURS THIS WEEK.

MARK AND I SHUT THEM ALL OFF AND TOOK THEM TO PIZZA HUT.

THEY'RE LIKE, OKAY, ENOUGH ALREADY. SO THEY'RE DOING IT.

THEY'RE ALL THEY'RE ALL WORKING HARD TO MAKE THIS SUCCESSFUL FOR EVERYBODY.

DID YOU ALREADY PUT THE DOORS ON?

[00:10:02]

DID THEY GO ON YET? THEY ARE THERE.

THEY'RE PUTTING THEM IN. RIGHT NOW.

YEAH. THEY GOT THE FIRST FRAME SET IN ON THE SIDE WHERE YOU WERE WALKING THROUGH THERE.

AND THEN THEY GOT THE GLASS IN THE PARKING LOT.

THEY GOT THEY GOT 12 GUYS ON SITE RIGHT NOW WORKING IT.

SUPER. AND JUST TO ECHO WHAT KIM WAS SAYING, YOU KNOW, THESE BUILDINGS ARE REPLACING THOSE PORTABLES AND THEY'RE PERMANENT BUILDINGS FOR OUR SCHOOL.

WE ARE VERY GRATEFUL FOR YOUR HARD WORK.

THANK YOU. APPRECIATE IT.

THANK YOU VERY MUCH. ANY OTHER QUESTIONS, GUYS? GREAT JOB. DO YOU NEED ANYTHING FROM US TO FINISH OUT OR DO YOU THINK PRETTY MUCH GOT WHAT YOU NEED? I GOT TO GET WITH JASON.

SOMEBODY NEEDS WE NEED TO FIGURE OUT WHO'S THE MONITORING COMPANY FOR THE FIRE SYSTEMS. WHEN WE GO IN TO TEST WE'VE GOT TO BE ABLE TO HAVE A PHONE CALL, GO OUT.

DON'T KNOW IF YOU'RE HIRING OUR GUY OR IF YOU HAVE SOMEBODY IN PLACE.

I HADN'T COMMUNICATED THAT.

AND WE CAN DO THAT. WE'LL GET WITH YOU ON THAT AFTER THIS.

AND THEN SECURITY CAMERAS.

I HEARD THERE'S A DELAY.

WELL, PART OF THE ISSUE ON THE SECURITY CAMERAS AND OLIVER IS HERE ACTUALLY TO GIVE US AN UPDATE ON THE REST OF THAT PROJECT IF WE WANT TO HEAR THAT UPDATE, THEN HE CAN.

WE CAN TALK ABOUT IT, TOO. YES, SIR.

ALL RIGHT. THANK YOU, JED. YEAH, I JUST SPOKE WITH JASON, SO WE'LL GET WE HAVE THE FOUR CAMERAS THAT WE TOOK OFF THE OLD ONES.

SO WE'LL JUST PROBABLY WORK WITH TIM FERRISS, WHO'S DOING A LOT OF THE ELECTRONICS DOWN THERE AND WE'LL GET THOSE INSTALLED, THE NEW ONES.

AS FOR THE INSIDE, WE'RE GONNA HAVE TO BUY NEW ONES FOR THAT.

SO THAT'LL PROBABLY BE A BIT LONGER.

BUT WE AT LEAST GET MONITORING ON THE OUTSIDE.

OKAY. LOOK AT ALL THE DOORS.

IF THERE'S A BREAK IN, THEN WE KNOW WHO IT IS.

BUT THE OTHER ONE, IT WAS A PRODUCTION DELAY OR SOMETHING.

OR AVAILABILITY. HOW LONG ARE THE CAMERAS DELAYED? WE DON'T HAVE AN ACTUAL NUMBER ON THAT YET.

WE HAVEN'T PULLED THE TRIGGER BECAUSE WE'RE STILL WAITING ON THE FINAL BID TO COME IN.

REMEMBER, WE HAD TO GET THE.

OKAY. WE HAD TO GET THE GRANT IN FROM THE STATE.

ONCE WE GOT THE GRANT IN, WE CAN OKAY ALL THE BIDS.

OKAY. AND THEN THE FILM'S GOT TO GO IN FIRST, AND THEN WE CAN USE THE REMAINDER MONEY FOR THE CAMERAS.

SO REALISTICALLY, PROBABLY 1 TO 2 MONTHS.

IT DEPENDS HOW FAST THEY CAN GET THE FILM.

ANY OTHER QUESTIONS ON THE MODS OR CAMERAS? YOU WANT TO GO TALK ABOUT THE GYM AND OR PROGRESS IN THE GYM RIGHT NOW? YEAH, I HAVE SOME PICTURES IF YOU GUYS HAVEN'T LOOKED AT THE GYM YET.

IT'S REAL QUICK. YEAH, I HAVEN'T SEEN THAT.

OH. SO IT'S STILL ON SCHEDULE FOR IT'S ACTUALLY AUGUST 7TH.

THAT'S WHEN THE PROJECT IS ON SCHEDULE FOR EVERYTHING'S READY TO GO.

WE DO HAVE FOUR ITEMS THAT ARE GOING TO BE DELAYED PAST AUGUST 7TH.

IT'S A SCOREBOARD.

PLAY WITH THE SHIPPING OF A SCOREBOARD OR WHATEVER, BUT IT'LL BE INSTALLED.

THAT'S ABOUT A TWO DAY THING THEY'LL DO ON THE WEEKEND.

BLEACHERS. OCTOBER 8TH IS PRETTY, PRETTY LATE, BUT WE'RE GOING TO KEEP THE CURRENT BLEACHERS THERE ARE NOW WHEN THE NEW ONES COME IN, THAT'LL BE ABOUT A 48 HOUR, 24 TO 48 HOUR TURNAROUND. THEY'LL GET THOSE INSTALLED ON THE WEEKEND.

THERE'S SOME STORAGE SHELVING THEY'RE GOING TO PUT IN THE OLD CLOSETS A LITTLE BIT DELAYED ON THAT THEN.

HOW MANY TOTAL PARTITIONS FOR THE BATHROOMS THEY'RE GOING TO INSTALL TEMPORARY ONES.

SO IT'S NOT A HUGE DEAL. THERE'S NOT GOING TO LOOK AS GOOD AS THE PERMANENT ONES.

THOSE COME IN. THEY'LL BE SETTING AS WELL.

AND THEN ACTUALLY JUST FOUND OUT TODAY THE LOCKERS IN THE LOCKER ROOMS ARE ALSO DELAYED ABOUT 2 TO 3 WEEKS ON THAT ONE WAS SO THEY CAN PUT TEMPORARY LOCKERS IN THERE.

IF WE NEED THEM, WE CAN TALK TO I GOT TO TALK TO COACH PONDER ABOUT THAT.

IF THEY'RE NEEDED FOR THE VOLLEYBALL TEAM.

THEY GOT SOME GAMES COMING UP HERE SHORTLY IN PRACTICE.

SO IF THEY REALLY WANT LOCKERS, THEY CAN PUT TEMPORARY ONES IN.

IF NOT, THEN WE'LL HAVE TO WAIT UNTIL THE ACTUAL ONES.

HERE IS THE GYM FLOOR.

SO THEY REDID THE GYM FLOOR, RESURFACED IT, REPAINTED IT.

THAT GRAPHIC RIGHT THERE ON THE CENTER COURT, THAT'S BRAND NEW.

AARON DID IT UP AND THEN THE DONOR APPROVED IT.

SO THAT'S WHAT IT LOOKS LIKE NOW.

IT'S VERY NICE.

IT LOOKS VERY NICE. IF YOU HAVEN'T SEEN IT YET, YOU CAN GO DOWN THERE AND LOOK AT IT.

THAT'LL LAST, HE SAID.

COUPLE OF YEARS. PRETTY EXCITING.

AND HERE ARE THE BATHROOMS. SO DOWNSTAIRS ON THE LEFT PHOTO, YOU HAVE THE DOWNSTAIRS BATHROOM.

THAT'S THE NEW TILE BEHIND THE SINK.

SO OBVIOUSLY A MIRROR THERE, THE LOCKER ROOM IN THE MIDDLE PICTURE, THAT'S A NICE WHITE TILE IN THE LOCKER ROOMS AND THEN THE FAR RIGHT PICTURE.

THAT'S WHAT THE NEW LOCKER ROOMS LOOK LIKE.

OBVIOUSLY, THEY ARE DOING THE TAPING AND BEDDING NOW.

WE'RE STILL GOING TO PAINT IT AND THEN PUT NEW LOCKERS IN THERE.

BUT IT'S COMING ALONG REAL NICE.

IT'S GOING TO LOOK REAL GOOD BY THE END OF NEXT WEEK.

DEFINITELY SEE.

CHECK IT OUT. AND THEN THE BLEACHERS.

HOW FAR BEHIND ARE WE ON THE BLEACHERS? BLEACHERS. PENDING DELIVERY DATE FOR THE SHIP DATES OCTOBER 8TH.

SO, MID OCTOBER.

OKAY. BUT THAT'S.

HE SAID WE CAN GET THAT IN A WEEK.

AND I KNOW WE TALKED ABOUT THE MODULARS, BUT IF YOU HAVEN'T SEEN THE MODULARS, HERE ARE SOME PICTURES I TOOK THE OTHER DAY.

SO THESE ARE A LITTLE OUTDATED. I TOOK THEM LAST TUESDAY, BUT YOU CAN SEE THE CLASSROOMS WITH THE CARPETS DONE, THE HARDWOOD FLOOR BUILDING ON THE OUTSIDE, BATHROOMS LOOKING VERY GOOD.

ALL RIGHT. ANY QUESTIONS? QUESTIONS? ALL RIGHT. THANKS, OLIVER.

OKAY. WE HAVE EXECUTIVE SESSION AT 3:30.

[E. CLOSED EXECUTIVE SESSION (3:30 P.M.) ]

SO EXECUTIVE SESSION IS E 123-177 TOWN COUNCIL WILL CONDUCT A CLOSED SESSION PURSUANT TO TEXAS GOVERNMENT CODE ANNOTATED CHAPTER

[00:15:07]

AND WITH THAT WE'RE GOING TO BREAK.

EXECUTIVE SESSION STARTS AT 3:30.

ALL RIGHT. THANKS.

[F.1. 23-174 Receive an update regarding the Entrada Development ]

WE TOOK A LITTLE BREAK. WE'RE STARTING BACK UP AT 5:05 HERE AND WE'RE GOING TO START OFF WITH WORK SESSION F 123-174.

RECEIVE AN UPDATE REGARDING THE ENTRADA DEVELOPMENT.

GOOD EVENING, MAYOR AND COUNCIL.

SO I'M GOING TO GO THROUGH A PRESENTATION ON ENTRADA REALLY TO KIND OF GET INTO WHERE WE'RE AT TODAY AND LOOK AT THE PID VERSUS THE DEVELOPMENT PLAN. THE DEVELOPER IS ALSO HERE AND WE'LL BE ABLE TO ANSWER ANY QUESTIONS FROM THE COUNCIL AS WELL.

SO I'M GOING TO GO THROUGH THE LITTLE BIT OF THE HISTORY OF ENTRADA.

KIND OF WHERE WE'RE AT WITH THINGS TODAY.

AND THEN KIND OF DO A COMPARE CONTRAST WITH THE SERVICE AND ASSESSMENT PLAN AND THE DEVELOPMENT PLAN AND WHERE THINGS ARE AT WITH THAT. AND THEN WE'LL GET INTO POSSIBLE NEXT STEPS.

SO ENTRADA HISTORY, THE ZONING WAS APPROVED ABOUT TEN YEARS AGO.

COUPLE OF YEARS AFTER THAT, THE PID WAS CREATED, THE DESIGN GUIDELINES WERE APPROVED, THE DEVELOPMENT PLAN WAS APPROVED, AND THAT ALLOWED THE EARTHWORK AND THE DEVELOPMENT TO REALLY GET GOING AT THAT POINT.

ONCE WE GOT INTO LATE 2016, THE INFRASTRUCTURE WAS NEARING SUBSTANTIAL COMPLETION.

SO THE TOWN AND WORKING WITH THE DEVELOPER WENT AHEAD AND STARTED ISSUING BUILDING PERMITS.

THAT STARTED WITH CVS.

CVS AND PRIMROSE ARE THE FIRST TWO BUILDINGS TO TAKE OFF IN 2016, AND AFTER THAT ALL THE OTHER BUILDING PERMITS BEGAN BEING ISSUED.

AND ALSO THERE IN 2016, WE HAD A SLEW OF SITE PLANS APPROVED, 15 TO BE EXACT.

FROM THERE FORWARD FOR ZONING AMENDMENTS ALSO OCCURRED UP TO THIS POINT, THREE DEVELOPMENT PLAN AMENDMENTS.

AND WE'VE GOT 27 HOMES ON THE GROUND AS OF TODAY THAT ARE OCCUPIABLE.

SOME OTHER QUICK FACTS ABOUT THE DEVELOPMENT.

THE DEVELOPMENT WAS 85 ACRES, BUT IT EXPANDED WITH THE INCORPORATION OF THE CORE LOGIC PROPERTY LATE LAST YEAR.

SO NOW IT'S 107 ACRES.

SO IN TERMS OF ACREAGE, THAT DOES TAKE THE TOTAL ACREAGE, THE PERCENT TOTAL ACREAGE DEVELOPED DOWN A LITTLE BIT, BUT THAT'S AT 8.8%.

IN TERMS OF GROSS COMMERCIAL FLOOR AREA THAT PID SERVICE AND ASSESSMENT PLAN CALLS OUT FOR IN THE DEVELOPMENT, WE ARE AT 10% DEVELOPED ON THAT WITH 117,264FT² COMPLETED AT THIS POINT.

THAT ALSO INCLUDES THE RESTAURANTS ON RESTAURANT ROW.

SO THERE IS SOME UNFINISHED SPACE IN THERE, BUT THE BUILDINGS ARE DONE.

AND THEN ON THE RESIDENTIAL SIDE, WE HAVE 27 UNITS COMPLETE.

SO WE'RE AT 8.4% RIGHT NOW OF THE TOTAL ENTITLED RESIDENTIAL IN THE DEVELOPMENT.

AND THIS IS A MAP KIND OF TELLING YOU WHERE WE'RE AT AS WELL WITH THE DEVELOPMENT.

SO THIS IN THE GREEN HIGHLIGHTED AREAS, YOU CAN SEE WHERE CONSTRUCTION IS COMPLETE AND THE VERTICAL CONSTRUCTION IS COMPLETE AND EVERYTHING'S DONE. READY TO MOVE IN.

THE YELLOW HIGHLIGHTED AREAS ARE UNDER CONSTRUCTION.

YOU DO SEE THE REPOSITORY NEXT TO THE PARKING GARAGE THAT HAS HIT STALLED OUT.

AND WE'RE WE'LL SEE WHAT HAPPENS WITH THAT.

THE PERMIT IS STILL ACTIVE, BUT EVERYTHING ELSE YOU CAN SEE IS UNDER CONSTRUCTION ON HERE, INCLUDING BLOCKING UP BEHIND THE CVS PHARMACY AND SOME OTHER RESIDENTIAL LOTS AS WELL. NOW, THESE PURPLE AREAS ARE SITE PLANS THAT WERE APPROVED BETWEEN 2016 AND NOW THAT HAVE SINCE EXPIRED.

THESE ADD UP TO ACTUALLY A LOT OF SPACE.

AND THIS IS ALL COMMERCIAL, 765,605FT².

ACTUALLY, I SAY COMMERCIAL DOES INCLUDE SOME CONDO GROSS FLOOR AREA AS WELL.

[00:20:02]

BUT THESE HAVE ALL EXPIRED AND WOULD NEED TO COME BACK THROUGH COUNCIL TO BE REAPPROVED.

IN TERMS OF GOING BACK TO THE EXPIRED SITE PLANS.

I'M SORRY. SO YOU'VE GOT THE PLAZA MAYOR.

THIS JUST BREAKS IT DOWN A LITTLE BIT MORE TO GO INTO WHICH SITE PLANS WERE EXPIRED.

THE PLAZA MAYOR AT ONE TIME ALLOWED UP TO 150 CONDOMINIUMS. THOSE WERE APPROVED BY A SPECIFIC USE PERMIT AND THE SPECIFIC USE PERMITS ALL HAVE AUTOMATIC EXPIRATION PROVISIONS.

SO THOSE HAVE ALL SINCE EXPIRED.

YOU CAN ALSO SEE THE AMOUNT OF SQUARE FOOTAGE.

MOST OF THAT IS HOTEL SPACE BECAUSE THEY'RE ORIGINALLY TWO HOTELS APPROVED WITH THE PLAZA MAYOR AND THEN A CONDO BUILDING.

ON BEHIND THE RETAIL CORNER WAS A PRIVATE GUN CLUB THAT WAS ALMOST 300,000FT² THAT WAS SUPPOSED TO BE ON THE SUBLEVEL PRIVATE SHOOTING LANES AND PLACES TO BE ABLE TO STORE LUXURY ITEMS. AND THEN ON THE UPPER FLOORS AT GROUND LEVEL AND HIGHER WAS GOING TO BE SOME HIGH END RETAIL BOUTIQUE HOTEL AND SOME RESTAURANTS.

ALSO ON THE ORIGINAL DEVELOPMENT PLAN WAS AN AMPHITHEATER, WHICH WOULD HAVE HAD A 3,000 SEAT CAPACITY AND THEN 53,000FT² OF JUST ENCLOSED INDOOR SPACE.

AND THEN ON THE GAS WELL PAD SITE.

THIS IS ANOTHER ONE THAT EXPIRED THAT HAD ALMOST 70,000FT² OF RETAIL BUILDINGS, MAINLY ON THE PERIPHERY OF WHERE THE GAS PAD WAS GOING TO BE.

AND THEN, OF COURSE, THE PARKING GARAGE, WHICH IS THERE NOW, WOULD HAVE BEEN ON THE OTHER SIDE.

ALSO WANT TO JUST TO GIVE YOU SOME PERSPECTIVE OF AS YOU CAN SEE, A LOT OF THE STUFF IS STARTED AND STOPPED.

THESE ARE BUSINESSES THAT EITHER THE TOWN WAS WORKING WITH OR THE DEVELOPER WAS WORKING WITH THAT WOULD HAVE COME IN, BUT NEVER HAVE.

AND YOU CAN BROKE IT DOWN BY RESTAURANTS, HOTELS, AND THEN JUST GENERAL RETAIL AND OTHER TYPES OF USES.

SOME OF THESE ARE INCLUDED IN THE SITE PLANS I WENT OVER.

SOME OF THESE ARE ACTUALLY MORE RECENT THAT I PUT UP HERE ONLY BECAUSE THEY'RE JUST GOING SLOWER THAN NORMAL, AND THAT INCLUDES HUGOS INVITADOS, ALTHOUGH WE DO HAVE AN ACTIVE PERMIT ON THAT AS WE SPEAK.

BUT IT JUST GIVES YOU AN IDEA OF KIND OF SOME OF THE FRUSTRATIONS EVERYBODY'S HAD WITH JUST GETTING SOME OF THESE BUSINESSES ACTUALLY OPEN AND ON THE GROUND AND THE DEVELOPMENT.

SO NOW I WANT TO GET INTO.

THE PID VERSUS THE DEVELOPMENT PLAN.

THE DEVELOPMENT PLAN IS A ZONING INSTRUMENT AND IT TIES BACK TO THE ZONING ORDINANCE FOR THE ENTRADA DEVELOPMENT.

IT'S A MASTER PLAN THAT SHOWS WHAT THE LAND USES ARE SUPPOSED TO BE ON ALL OF THE PROPERTIES IN ENTRADA.

THIS SERVICE AND ASSESSMENT PLAN IS AN INSTRUMENT OF THE PID SHOWS LAND USE CATEGORIES THAT HELP TO CALCULATE INDIVIDUAL PROPERTY ASSESSMENTS IN ORDER TO REPAY THE PID DEBT.

IT IS NOT ANY TYPE OF LAND USE REGULATORY DOCUMENT AND UNFORTUNATELY, NEITHER THE DEVELOPMENT PLAN HAS NEVER REALLY BEEN CALIBRATED WITH THE PID SAP.

THEY DON'T REALLY EVEN ADDRESS ONE ANOTHER.

ONE WAS APPROVED BEFORE THE OTHER.

AND SO WE'VE KIND OF GONE OFF ON ONE TRACK OVER THE PAST 7 OR 8 YEARS WITH THE DEVELOPMENT PLAN VERSUS THE PID SERVICE AND ASSESSMENT PLAN. EXCUSE ME.

HEY, RON. SO WHY WAS IT THAT DONE? THAT SEEMS LIKE TO ME THOSE THINGS SHOULD BE RECONCILED DAY ONE.

SO WE HAVE A COMPREHENSIVE PLAN.

THAT'S A GOOD QUESTION.

ORIGINALLY, I'M NOT SURE IT WAS.

IT PREDATES WHEN I GOT HERE.

I WILL SAY THAT ONCE I GOT HERE, WE TALKED ABOUT IT OFF AND ON, BUT IT JUST NEVER IT JUST NEVER GOT TO A POINT WHERE WE DID IT.

AND I THINK, YOU KNOW, IT'S PROBABLY A GOOD CONVERSATION TO HAVE, WHICH WE'LL SEE AS WE GO THROUGH THESE NEXT FEW SLIDES.

JUST REAL QUICK, THIS IS THE LAND USE TABLE FOR THE DEVELOPMENT PLAN AND IT SHOWS YOU THE DIFFERENT LAND USE CATEGORIES THAT ARE ON THE DEVELOPMENT PLAN, THAT THESE ARE JUST CATEGORIES THAT THEN IN THE ZONING ORDINANCE YOU CAN GO BACK AND FIND SPECIFIC USES THAT ARE ALLOWED THAT WOULD FALL INTO ONE OF THESE CATEGORIES IN THE DEVELOPMENT PLAN LAND USE LEGEND. THESE ARE THE PID SERVICE AND ASSESSMENT PLAN LAND USE CATEGORIES.

THESE ARE A LITTLE DIFFERENT, ALTHOUGH PROBABLY MORE BROAD ON THE COMMERCIAL SIDE WHERE YOU REALLY ONLY HAVE FOUR COMMERCIAL CATEGORIES.

AND THEN ON THE RESIDENTIAL SIDE, THEY'RE BROKEN DOWN BY UNIT SIZE AND THEN CONDO VERSUS SINGLE FAMILY.

SO THIS IS THE CURRENT DEVELOPMENT PLAN THAT ACTIVE FOR ENTRADA.

AND YOU CAN SEE THE FUTURE RETAIL FUTURE RESIDENTIAL, COMMERCIAL.

THIS IS PART OF THE ZONING CHANGE THAT OCCURRED LATE LAST YEAR WHERE WE MOVED THE RESIDENTIAL OFF OF THE THE PART THAT SHOWS RETAIL NOW ON THE MAP DOWN TO THE PART THAT SHOWS FUTURE RESIDENTIAL.

SO WE'RE WORKING WITH THE DEVELOPER RIGHT NOW ON THOSE REQUESTS TO GET THE SITE PLANS APPROVED AND GET THE DETAILS ON THOSE.

[00:25:05]

SO THINK OF THIS AS THE PID DEVELOPMENT PLAN.

SO THIS IS THE SAP IN A LAND USE FORMAT.

SO THESE SHOW ALL THE DIFFERENT LAND USES IN THE PID BASED ON COLOR CATEGORY.

NOW WE'LL SAY WHERE IT SHOWS THE BLUE ON THE FAR SIDE OF THE MAP WHERE IT SAYS 80 SINGLE FAMILY UNITS THAT SHOULD SHOW AS YELLOW.

BUT RIGHT NOW THE PID SERVICE AND ASSESSMENT PLAN SHOWS THAT AS 80 SINGLE FAMILY UNITS.

AND THEN ON THE SAP FOR THE REMAINDER OF THE DEVELOPMENT, YOU CAN SEE IT THE PID STILL SHOWS 115 CONDOMINIUM UNITS IN THERE AND 132 SINGLE FAMILY UNITS.

THIS MAP SHOWS YOU WHERE THE PID SAP AND THE DEVELOPMENT PLAN HAVE DISCREPANCIES.

SO THE REDS AND THE YELLOWS ARE WHERE THE PID SAP AND THE DEVELOPMENT PLAN DON'T CONNECT.

THEY SHOW DIFFERENT OR CLASHING LAND USES.

SO YOU CAN SEE MAINLY IN THE MORE UNDEVELOPED PORTIONS OF THE DEVELOPMENT IS WHERE WE HAVE A LOT OF THESE DISCREPANCIES BETWEEN THE DEVELOPMENT PLAN AND THE PID SAP.

WHICH SHOULD BE RED AND YELLOW AGAIN.

WHERE YOU SEE BLUE THERE ARE ALSO MINOR DISCREPANCIES THERE, BUT NOT QUITE TO THE LEVEL OF WHERE YOU SEE RED AND YELLOW.

AND THIS SHOWS ACTUAL PID ASSESSMENTS BY LOT.

SO THE REDS AND THE ORANGE AND THE YELLOW ARE THE HIGHER PID ASSESSMENTS AND THE GREENS AND THE BLUES ARE THE LOWER PID ASSESSMENTS.

SO GENERALLY SPEAKING, THE RESIDENTIAL LOTS HAVE LOWER PID ASSESSMENTS, BUT THOSE ARE ANNUAL ASSESSMENTS, RIGHT? THAT'S CORRECT. THESE ARE ANNUAL ASSESSMENTS, BUT YOU'LL FIND THAT THE PREPAYMENTS ARE IN LINE PROPORTIONALLY WITH THE ANNUAL ASSESSMENTS.

SO I JUST WANTED TO SHOW YOU SOME CURRENT PROPOSALS THAT WE'RE DEALING WITH THAT ARE NOT IN COMPLIANCE WITH THE PID SAP.

AND THIS IS A HOTEL PROPOSAL THAT WE'VE GOTTEN.

WHEN I SAY PROPOSAL, WE DON'T HAVE A FORMAL APPLICATION.

WE'VE JUST BEEN WORKING WITH THEM WHERE THEY'D LIKE TO PLACE A HOTEL ON THE GAS WELL PAD SITE NEXT TO THE PARKING GARAGE.

SO THIS ACTUALLY DOESN'T COMPLY WITH THE DEVELOPMENT PLAN EITHER, ONLY IN THE LOCATION OF THE HOTEL AND THE SIZE, BUT ON THE PID SAP THIS SHOWS RETAIL ON THE MOST OF WHERE THE HOTEL IS SHOWN AND THEN WHERE YOU GET INTO THE ACTUAL OLD GAS WELL PAD SITE.

THERE'S NO ASSESSMENT AT ALL BECAUSE IT WAS ASSUMED ORIGINALLY THAT THERE WAS GOING TO BE A FUNCTIONING GAS WELL PAD SITE THERE.

AND THIS IS THE PHASE TWO EASTERNMOST PORTION OF THE DEVELOPMENT THAT HAS NOT BEEN DEVELOPED YET, WHERE WE MOVE THE RESIDENTIAL AWAY TO THE CORE LOGIC PROPERTY AND THIS IS THE SITE PLAN SUBMITTAL, OR AT LEAST A PORTION OF IT THAT WE GOT FROM THE DEVELOPERS SHOWING HOW THE RETAIL WOULD LAY OUT ON THAT PROPERTY.

AGAIN, THIS DOES NOT.

SO THE SAP SHOWS 80 RESIDENTIAL UNITS WITH AN INSTITUTIONAL USE AND SO THE SAP WOULD NEED TO BE UPDATED TO ACCOUNT FOR ALL THE RETAIL USES HERE.

SO I WENT THROUGH THAT PRETTY QUICKLY.

BUT THE NEXT POTENTIAL NEXT STEPS WOULD BE JUST TO CALIBRATE THE DEVELOPMENT PLAN WITH THE PID SAP.

THAT COULD BE PART OF A LARGER PROCESS THAT EXAMINES HOW THE DEVELOPMENT IS LAID OUT, MAYBE EVEN OPENING TO A RETHINK ON THE DEVELOPMENT IN TERMS OF WHAT THE TOWN AND THE DEVELOPER AND WHATEVER OTHER STAKEHOLDERS IN THE DEVELOPMENT MIGHT WANT TO SEE IF THERE'S ANY CHANGES AT ALL.

BUT IN ANY CASE, THE SAP ONLY GETS UPDATED ONCE A YEAR.

SO IT WOULD IT WOULD HAVE TO HAPPEN OVER THE NEXT 12 MONTHS CYCLE, WHATEVER THAT LOOKS LIKE.

IN THE INTERIM, WE'VE GOT PROPOSALS THAT ARE THAT ARE CONTINUALLY COMING FORWARD, AND THEY DON'T ALWAYS LINE UP WITH WHAT THE SAP SHOWS.

SO BASED ON WHAT WE KNOW NOW AND WHAT WE JUST WENT THROUGH TODAY, WHAT DIRECTION SHOULD THE TOWN TAKE ON THOSE? SHOULD WE GO AHEAD AND MOVE ON THOSE OR SHOULD WE SIT ON THEM UNTIL WE GET THE CALIBRATION PROCESS DONE BETWEEN THE DEVELOPMENT PLAN AND THE SERVICE AREA PLAN? SO WITH THAT, I'LL BE GLAD TO ANSWER ANY QUESTIONS.

SO YOU HAVE TWO DIFFERENT PLANS, THOSE TWO DIFFERENT WHICH ONE HAS PRIORITY? THE DEVELOPMENT PLAN IS FROM THE TOWN'S ABILITY TO APPLY LEVERAGE OR REQUIRE THINGS FROM THE DEVELOPER. THE DEVELOPMENT PLAN HAS MORE LEVERAGE OVER THE PID SERVICE AND ASSESSMENT.

WELL, I'M JUST AND I'M NOT TALKING ABOUT LEVERAGE.

I'M JUST TRYING TO WE'RE TRYING TO RECONCILE TWO THINGS.

AND DOES ONE NORMALLY HAVE PRIORITY OR IS IT? YOU KNOW, COOPERATION TO GET IT DONE.

YEAH. BECAUSE THE DEVELOPMENT PLAN, WE'VE AMENDED IT THREE TIMES IN ORDER TO ACCOMMODATE BOTH REQUESTS BY THE DEVELOPER AND ALSO SOMETIMES THOSE HAVE BEEN TOWN.

THE TOWN HAS PUSHED THOSE AS WELL.

[00:30:03]

BUT WHAT IT'S DONE, THOUGH, IS IT'S KIND OF ALLOWED US TO GET FURTHER AND FURTHER AWAY FROM WHAT THE PID SAP SHOWS OVER TIME.

YEAH. RON. WHEN THE ZONING CHANGES OCCUR, DOES THE PID THEN GET REDISTRIBUTED OR REASSESSED LINE WITH THOSE CHANGES? TRADITIONALLY IT IS NOT.

IT DOESN'T. OKAY.

SHOULD THAT NOT OCCUR? IS I WOULD SAY IT SHOULD OCCUR.

IT JUST HASN'T OCCURRED IN THE PAST.

BUT TO ME, THAT MAKES NO SENSE.

YOU CHANGE THE DEVELOPMENT PLAN AND THE PIDS THE SAME.

WE'RE GOING TO RUN INTO ISSUES.

HOW DOES THAT NOT HAPPEN? IT JUST WASN'T.

I WILL SAY THIS, THE FOCUS ON ENTRADA, I THINK, FROM THE TOWN'S PERSPECTIVE EARLY ON WAS ON DESIGN, DESIGN INTEGRITY AND DESIGN FIDELITY TO THE DESIGN GUIDELINES AND THE VISION OF THE DEVELOPMENT TO BE A TRUE EUROPEAN CATALONIAN FEELING VILLAGE.

AND SO WHATEVER COULD BE DONE, AT LEAST TAKING IT FROM THE TOWN'S PERSPECTIVE.

THAT TOOK PRECEDENCE OVER OTHER THINGS.

NOW, THERE ARE ALSO SOME TIMES WHERE WE WERE ALSO TRYING TO MEET THE DEVELOPER HALFWAY ON REQUEST THAT THEY HAD.

AND THE COMBINATION OF THOSE TWO THINGS TOGETHER I THINK ALLOWED US TO DEVIATE OFF COURSE A LITTLE BIT FROM WHAT THE PID SAP SHOWS.

THANK YOU. IF THERE'S NO MORE QUESTIONS, I'LL HAVE THE DEVELOPER COME UP.

YEAH, MIKE, COME ON UP.

THANKS. THANK YOU VERY MUCH, RON.

GOOD EVENING, MICHAEL BEATY 4110 RIVERWALK DRIVE FLOWER MOUND.

THAT WAS AN INTERESTING PRESENTATION.

THERE'S A LOT OF HISTORY.

NOT REALLY SURE WHAT YOU WANT TO TAKE ON THE NEXT STEPS GOING FORWARD.

SO HERE TO ANSWER ANY QUESTIONS YOU MAY HAVE.

HOW'S THE PROJECT GOING RIGHT NOW? HOW'S IT GOING WITH THE RESTAURANTS? HOW'S IT GOING? RESTAURANTS ARE GOOD, I THINK.

MR. SANDSONE, YOU ALL HAVE MET WITH THE ACTUAL RESTAURANT TENANTS.

THEY'RE REAL. THEY'RE COMING.

I SPOKE WITH MARK HOLM EARLIER TODAY.

HE SAID THAT HIS MEP PLANS ARE DUE TO HIM THIS WEEK AND HE'LL COMPLETE HIS SUBMITTAL.

HE'S READY TO GO. AND THAT'S FOR HUGOS.

THAT'S FOR HUGOS INVITADOS.

JIMMY KNEW I WAS LOOKING AT LIKE A VALENTINE'S DAY OPENING.

I HAVEN'T HEARD BACK. FOR FEBRUARY NOW FOR THAT ONE.

NO, FOR JIMMY NIWA.

HUGOS IS STILL NOVEMBER IS WHAT HE'S TELLING ME.

WE'LL SEE IF HE CAN MAKE IT OR NOT.

I'M OUTSIDE OF THAT CONTROL PROCESS OTHER THAN TO WRITE HIM A LANDLORD TENANT REIMBURSEMENT CHECK.

AND HE HAS THE ACCESS TO 114? RETAINING WALL IS FINISHED.

THEY HAVE THE ON SITE PRE-CON WITH TXDOT THIS WEEK.

OKAY. I DON'T KNOW IF THE SUBMITTALS WERE ACTUALLY FORMALLY ACCEPTED OR NOT THAT WERE MADE SIX WEEKS AGO TO TXDOT, BUT THAT WILL BE PART OF THE PRE-CON I BELIEVE.

AND DOES THE TOWN HAVE COPIES OF THOSE SUBMITTALS? I'M SORRY. I DON'T BELIEVE WE DO.

NO, I'M SORRY.

THE TXDOT SUBMITTALS DOES THE TOWN HAVE COPIES OF THEM? YES, I CAN SEND THEM TO PAT COOK.

WE HAVE THOSE RON? CAN WE? WELL, THE PERMIT DIDN'T EXPIRE.

WE RESEARCHED AND WE CAN'T FIND WHERE IT ACTUALLY EXPIRED.

AND THE SUBMITTALS WERE SENT TO PAT COOK WHEN WE MADE THAT SUBMITTAL TO TXDOT AS WELL.

CAN WE JUST GET COPIES OF THAT NEW SUBMITTAL? IS THAT. YES. YOU'VE RECEIVED THOSE COPIES? IF ANYTHING CHANGES, I'LL BE HAPPY TO FORWARD.

WHEN DO THOSE? WAS THERE A RESUBMITTAL OR IS THIS THE ORIGINAL SUBMITTAL? THE ORIGINAL SUBMITTAL.

AND THE ORIGINAL SUBMITTAL IS FROM LAST YEAR? NO, IT'S FROM SIX.

I THINK IT WAS SIX WEEKS AGO.

SIX WEEKS AGO. OKAY. THE SUBMITTALS THAT I'M TALKING ABOUT ARE LIKE MATERIAL SPECS, GRAVEL SIZE, ALL THE DETAILS FOR A TXDOT PROJECT.

THE PLANS HAVEN'T CHANGED SINCE LAST.

OKAY. AND THEN DO YOU GUYS HAVE ANY OTHER QUESTIONS YOURSELVES? IS THERE ANYTHING YOU'RE WAITING FROM THE TOWN ON? WELL, WE HAVE THE TWO PLACES WHERE WE'RE TRYING TO STRAIGHTEN OUT THE ROADS AND PHASE ONE, I NEED CIVIL ENGINEERING COMMENTS BACK ON THOSE.

WAITING ON THE REIMBURSEMENT FOR THE PARKING GARAGE, ANNUAL REIMBURSEMENT.

I THINK THE FLOW OF FUNDS IS TAKING PLACE WITH US BANK NOW.

WE'D LIKE THE OPPORTUNITY TO REVIEW SOME OF THE COMMENTS THAT WE RECEIVED REGARDING THE TWO SITE PLANS THAT WERE MADE EARLIER THIS YEAR.

WE DO AN INTERNAL CHECK ON THE SAP.

WE KNOW WE ARE OVER OR UNDER SOME OF THE THINGS THAT I THINK ARE CONCERNS TODAY CAN BE EASILY ADDRESSED MOVING FORWARD.

THERE'S A LIKE A PREPAYMENT OFF OF BLOCK H FOR REPLAT WHERE WE WENT FROM LITTLE LOTS TO BIG LOTS.

I THINK IT'S $55,000.

AND LAST YEAR I HAD TO MAKE A PREPAYMENT ON BLOCK F.

I BELIEVE IT WAS EITHER BLOCK G OR BLOCK F, WHICH WAS A COUPLE HUNDRED THOUSAND.

SO THAT HASN'T GONE COMPLETELY UNADDRESSED ON THE DEVELOPER SIDE.

AND MARY PETTY MAKES SURE THAT IT'S NOT.

[LAUGHTER] GOOD. BUT AS FAR AS LIKE THE PHASE TWO SUBMITTAL AND THE COMMERCIAL VERSUS THE RESIDENTIAL, THEY'RE ALREADY PUT TOGETHER A WORKSHEET.

[00:35:07]

RON, WE GOT ALL THAT FOLLOWS UP.

IS THERE ANY MORE QUESTIONS? NO, I JUST A COMMENT THAT I DID MEET WITH TWO OF THE RESTAURANTS AND HUGOS AND SUSHI ZO, SEEMED LIKE, YOU KNOW, THEY'RE EXCITED MOVING FORWARD.

HUGOS HAD SOME KITCHEN DESIGN DECISIONS TO MAKE, WHICH IS GOING TO DRIVE THEIR MEP FINAL SUBMISSION.

AND IT SOUNDED LIKE HE WAS PRETTY CLOSE TO THAT.

AND THEN, YEAH, I HEARD ABOUT THE SAME TIMELINE, SORT OF POSSIBLY END OF THE YEAR FOR HUGOS AND THEN MORE OF LIKE, YOU KNOW, JANUARY, FEBRUARY FOR JIMMY NIWA.

YEAH, RIGHT. YES, SIR.

SO ANYTHING WE CAN DO TO MAKE SURE THOSE GUYS KEEP MOVING FORWARD.

I'M ON MY TWICE A WEEK EMAIL LIST.

AGAIN, IT'S THE SAME RELATIONSHIP WITH MR. NIWA AS MARK HOLM.

I'M JUST THE LANDLORD WRITING A REIMBURSEMENT CHECK.

WHAT'S GOING ON WITH THE REPOSITORY SITE? I'VE SEEN LOAN DOCUMENTS SCHEDULED TO CLOSE IN AUGUST AND THEN LOOKING AT A SIX WEEK REMOBILIZATION FROM WHAT I'M BEING TOLD BY THE GENERAL CONTRACTOR.

AND THE LOAN DOCUMENTS FOR THE IS IT A NEW OWNER OR IS IT AN OLD OWNER? ARE THEY. IT'S THE SAME OWNER, AMR WESTLAKE STORAGE LLC WITH A NEW LENDER.

OKAY. AND TO GO WITH THE PRIVATE LENDER INSTEAD OF BANKS.

AND WHAT HAPPENED TO THE DO YOU KNOW WHAT HAPPENED PREVIOUSLY? BANK DIDN'T SHOW UP? THE BANK DIDN'T SHOW UP.

THEY HAD A LENDING COMMITMENT GOING BACK TO THE FALL.

ALL RIGHT. ANY OTHER QUESTIONS? ANYONE? ALL RIGHT.

THANK YOU. THANK YOU.

[F.2. Discussion regarding the Proposed FY2024 Town and Westlake Academy Budgets 23-190 ]

HOW LONG DO YOU THINK IT'S GOING TO TAKE? ABOUT, 30, 40 MINUTES.

YOU GUYS WANT TO TAKE A QUICK BREAK OR DO YOU WANT TO CHARGE RIGHT THROUGH? ALL RIGHT. LET'S GO RIGHT THROUGH.

ALL RIGHT, CASEY, BEFORE YOU GET GOING, I'D LIKE TO OPEN IT UP.

I WANT TO THANK CASEY AND THE REST OF THE STAFF.

THEY'VE DONE AN OUTSTANDING JOB ON REALLY WORKING HARD ON THIS BUDGET AND UNTANGLING THE WEB THAT WAS THE BUDGET FROM PREVIOUS YEARS.

THERE WAS A LOT OF LACK OF DETAIL IN THE PREVIOUS BUDGETS THAT WE'VE HAD TO DIG IN AND SPEND A LOT MORE TIME THAN THAN WE EXPECTED AND UNRAVELING THAT.

BUT I FEEL LIKE WE HAVE A VERY FIRM GRASP OF OUR CURRENT POSITION.

AND I THINK THAT'S THAT'S REALLY WHAT I WANTED THE MOST OUT OF THIS BUDGET.

WE ALSO COMPLETED SEVERAL BUDGET GOALS.

WE INCREASED THE STAFFING AT WESTLAKE ACADEMY, WHICH INCREASED THE STUDENT EXPERIENCE OUT THERE AS DIRECTED BY COUNCIL.

WE'VE CUT OUR OPERATING EXPENSES HERE AT TOWN HALL.

WE'VE ALSO HELD OUR CURRENT LEVEL OF SERVICES THAT WE PROVIDE OUR CITIZENS.

ALL THIS WHILE ADDING IF THIS BUDGET IS APPROVED, WILL ADD OVER $7 MILLION DOLLARS TO FUND BALANCE BY THE END OF THE YEAR, END OF FY 24. AND THEN WE ALSO BUILT THIS BUDGET ON THE CURRENT TAX RATE AS INSTRUCTED BY COUNCIL AS WELL.

SO WE FEEL REAL GOOD ABOUT THIS.

AND I KNOW CASEY'S GOT A LOT MORE DETAIL TO GO INTO WITH YOU ON EACH OF THIS, INCLUDING A LOT OF THE REVENUES AND EXPENDITURES.

SO BUT I DO WANT TO THANK STAFF AGAIN FOR THEIR EXCELLENT EFFORT THROUGHOUT THIS PROCESS.

THANK YOU, CASEY. THANK YOU.

ALL RIGHT. WE'LL GO AHEAD AND JUST GET INTO IT BECAUSE IT IS A FAIRLY LENGTHY PRESENTATION THIS EVENING.

SO WE'RE GOING TO START OFF WITH AN EXECUTIVE SUMMARY, JUST KIND OF HIGH LEVEL.

WHAT ARE THE TAKEAWAYS FROM THE BUDGETS THAT YOU ALL ARE GOING TO BE TALKING ABOUT TONIGHT? WE ARE INTRODUCING KIND OF A NEW WAY TO LOOK AT SOME THINGS WITH A PROFIT LOSS ANALYSIS.

WE'LL GO THROUGH AN UPDATE ON THE ACADEMY BUDGET.

WE'LL TALK PROPERTY TAXES, TOWN BUDGET, AND THEN WE'LL FOLLOW UP WITH WHAT THOSE NEXT STEPS ARE GOING TO BE.

AND THEN I'LL BE BACK LATER WITH A REPORT ON ALL THOSE DIFFERENT LEGAL STEPS THAT WE HAVE TO DO AND THE DIFFERENT OPPORTUNITIES THE PUBLIC HAS TO PARTICIPATE.

AND CASEY, LET ME JUMP IN HERE JUST FOR A SECOND, BECAUSE I WANT TO JUST SAY I'VE BEEN FORTUNATE TO WORK WITH THESE GUYS A LOT OVER THE LAST COUPLE OF WEEKS.

AND, YOU KNOW, SOME OF THIS STUFF IS A NEW CUT AT TRYING TO PULL OUT AND DISTILL CERTAIN THINGS FROM THE BUDGET, INCLUDING LIKE HOW TO LOOK AT THE SCHOOL AND WHAT THE CONTRIBUTIONS ARE IN WHAT CATEGORIES FROM THE TOWN.

SO SOME OF THE DIRECTIONAL STUFF IS A WORK IN PROGRESS, I WOULD SAY.

AND I THINK, YOU KNOW, THESE GUYS HAVE DONE A REALLY GOOD JOB OF GETTING IT TO THIS SPOT.

[00:40:01]

BUT OBVIOUSLY THAT BRINGS IN QUESTIONS.

ALL RIGHT. SO THIS IS A MAJOR DRIVER FOR THE TOWN OR THE SCHOOL.

WHAT'S BEHIND THAT NUMBER AND WHAT ARE THE THINGS THAT WE CAN DO TO IMPACT IT AS A GROUP? AND SO I THINK THERE'S MORE WORK.

I THINK WE ALL AGREE THERE'S A LITTLE BIT MORE WORK TO BE DONE.

BUT I THINK THIS IS A REALLY GOOD FIRST CUT AT IT.

BUT IF YOU WANT TO, YOU KNOW, PICK ANYBODY, ADD ME TO THE LIST OF PEOPLE BECAUSE SOME OF THIS IS AT MY DIRECTION.

SO JUST WANT TO PUT MYSELF ON THE LINE.

BUT JUST TO ECHO WHAT YOU'RE SAYING, VIC, I THINK THIS IS THE FIRST TIME WE'RE ACTUALLY GOING TO HAVE A VERY A BETTER, MORE ACCURATE LINE OF SIGHT TO WHERE OUR DOLLARS ARE GOING. WE'RE WORKING TOWARDS THAT FOR SURE.

AND AS WADE SAID, STAFF'S VERY PROUD OF ALL THE WORK AND PARTICIPATION THAT THEY HAD THE OPPORTUNITY TO DO IN BUILDING THIS BUDGET.

ALL RIGHT. SO THINKING ABOUT THE OVERALL PICTURE, WE ARE SAYING NEXT YEAR WE LOOK PRETTY GOOD IN GENERAL.

WE'RE ALSO CONSIDERING FISCAL YEAR 24 TO BE KIND OF OUR REAL TRUE BASELINE AS FAR AS WHAT OUR BUDGET PROCESS IS GOING TO LOOK LIKE GOING FORWARD.

WE'VE GOT A LOT MORE DETAILS INCLUDED IN ALL OF OUR BUDGET DOCUMENTATION.

WE'VE GOT A MUCH BETTER HANDLE ON WHAT THE PROCESS NEEDS TO BE.

AND AS VICTOR SAID, YOU KNOW, WE'RE ONLY GOING TO GET BETTER AS WE GET MORE INFORMATION AND AS WE START COMING UP WITH THE SCHEDULE FOR NEXT YEAR.

THE NEXT THING ON HERE THAT I WANT TO MAKE SURE THAT YOU ALL ARE AWARE FOR TODAY'S DISCUSSION.

THERE'S REALLY TWO THINGS THAT WE DO NEED FROM COUNCIL AS FAR AS DIRECTION GOES, AND ONE OF THEM IS A SIGN OFF ON A PROPOSED BUDGET FOR THE ACADEMY BECAUSE YOU'LL BE REQUIRED TO VOTE ON THAT NEXT WEEK.

AND THEN THE OTHER IS GOING TO BE A CONSIDERATION FOR A MAXIMUM TAX RATE THAT YOU'LL ALSO HAVE TO VOTE ON NEXT WEEK.

THAT'S NOT THE TAX RATE THAT YOU WILL ULTIMATELY APPROVE AND LEVY, BUT IT IS A REQUIREMENT BECAUSE IT HAS TO GO INTO A PUBLICATION.

ALL RIGHT. AND THEN AS WE GO THROUGH, I'M HOPING THAT YOU'LL FIND ME JUST A LITTLE REPETITIVE BECAUSE I WANT TO MAKE SURE THAT SOME OF THESE HIGH POINTS ARE REALLY HITTING HOME. THROUGHOUT THE SLIDES, YOU'LL SEE DIFFERENT THINGS BOLDED, HIGHLIGHTED, BOXED.

THOSE ARE GOING TO BE THE AREAS THAT I WANT YOU TO FOCUS ON IF YOU'RE MORE INTERESTED IN THE DETAILS.

THEY ARE ON A LOT OF THESE SCREENS, BUT DON'T GET BOGGED DOWN IN THEM IF YOU'RE ONLY LOOKING FOR THE HIGH LEVEL TAKEAWAY.

SO THIS FIRST SLIDE IS A REALLY GOOD EXAMPLE.

WHAT WE'RE SAYING IS THE ACADEMY PROPOSED BUDGET'S A LITTLE OVER 11 MILLION.

THE TOWN'S LOOKING AT ALMOST 26 MILLION.

AND OVERALL, ALL IN RIGHT NOW, WE'RE LOOKING AT A CONTRIBUTION TO FUND BALANCE AT THE END OF FISCAL YEAR 24 TO BE ABOUT 7 MILLION.

WITHIN THOSE DIFFERENT NUMBERS THAT YOU SEE RIGHT THERE, THOSE DO HAVE TRANSFERS IN AND TRANSFERS OUT BETWEEN THE ACADEMY AND THE TOWN.

AND I'LL GET INTO MORE DETAIL AS WE GO FORWARD SO THAT WE ALL ARE VERY CLEAR ABOUT WHICH WAYS THE TOWN IS SUPPORTING THE ACADEMY, EITHER DIRECTLY OR INDIRECTLY.

ALL RIGHT. AND SO HERE'S OUR FIRST EXAMPLE OF LOTS OF DETAIL.

BUT IF YOU ONLY NEED THE HIGH LEVEL POINTS, WHAT WE'RE SAYING HERE AGAIN IS OVERALL, WE'RE LOOKING AT ABOUT A 7 MILLION CONTRIBUTION TO FUND BALANCE OR FOR FOLKS THAT AREN'T REALLY INTO THE GOVERNMENTAL ACCOUNTING SIDE OF THINGS.

THIS IS OUR FIRST STAB AT A PROFIT LOSS SCHEDULE.

WE'VE NOT DONE ONE OF THOSE FOR THE ORGANIZATION BEFORE.

AND THIS IS REALLY INTERESTING FOR US BECAUSE NOT ONLY IS IT DIFFERENT TERMINOLOGY AND A DIFFERENT WAY OF LOOKING AT THINGS, BUT WE ARE COMBINING THE SCHOOL AND THE TOWN IN ALL OF THIS.

SO THIS IS WHENEVER WE'RE TALKING ABOUT $7 MILLION DOLLARS BEING CONTRIBUTED, THAT'S ALL IN.

THAT'S THE ENTIRE ORGANIZATION.

ALL RIGHT. AND THEN WHENEVER WE'RE TALKING ABOUT THE DIFFERENT REVENUES, I'M GOING TO START BY GOING THROUGH JUST THE ACADEMY SIDE OF THINGS, EFFECTIVELY GIVING YOU THEIR PROFIT LOSS STATEMENT, AND THEN WE'LL GO THROUGH THE TOWN'S PROFIT LOSS STATEMENT.

IF YOU ALL HAVE ANY QUESTIONS.

I KNOW THIS IS A LOT OF INFORMATION.

THERE'S TINY LITTLE DETAILS ON THESE SLIDES.

WE'LL MAKE SURE THESE SLIDES ARE AVAILABLE ON THE WEBSITE ALSO THIS WEEK SO ANYBODY ELSE IN THE PUBLIC CAN DIG IN IF THEY'VE GOT QUESTIONS.

BUT ON THIS SLIDE IN PARTICULAR, WHAT WE'RE LOOKING AT RIGHT HERE ON THE HIGHLIGHTED IS GOING TO BE A $4.6 MILLION DOLLAR IN-KIND CONTRIBUTION. THAT IS NOT DIRECT DOLLARS FROM THE TOWN TO THE ACADEMY.

THOSE ARE GOING TO BE THOSE SHARED SERVICES AND DEBT PAYMENTS THAT ARE BAKED INTO THE TOWN'S EXPENDITURES.

BUT TO GIVE YOU AN IDEA OF THE VALUE OF SERVICES BEING RECEIVED BY THE SCHOOL REVENUES AND DIRECT DOLLARS, WE'VE INCLUDED THAT THERE.

AND WITH THAT IN THERE, WHAT WE'RE SAYING IS THERE'S GOING TO BE ABOUT $15.6 MILLION DOLLARS OF REVENUE VALUE COMING INTO THE SCHOOL FOR FISCAL YEAR

[00:45:06]

WHEN YOU'RE TALKING ABOUT IN-KIND SUPPORT.

SO SOME OF THIS IS FOR DEBT SERVICE ON BEHALF OF THE SCHOOL THAT'S IN THERE.

YES. OKAY. BUT THE IN-KIND, IS THIS ALSO THE SALARIES AND HOURS DEDICATED BY TOWN STAFF TOWARDS SCHOOL PURPOSES. YES.

EFFECTIVELY, WHAT WE'VE CALCULATED AND AGAIN, THIS IS KIND OF NEW FOR US WITH FISCAL YEAR 23 BEING THE FIRST TIME THAT WE EVEN TRIED TO CAPTURE THE ACADEMY EXPENSES SEPARATELY IN THE TOWN BUDGET.

WHAT WE DID WAS WE TOOK A HARD LOOK AT WHAT DIRECT DOLLARS WERE WE TRANSFERRING FROM THE TOWN TO THE SCHOOL, WHAT TYPES OF REIMBURSEMENTS WE WERE DOING.

AND THEN THE OTHER THING WE LOOKED AT IS WHAT WE CALLED SHARED SERVICES.

SO THERE'S CERTAIN FUNCTIONS THAT THE TOWN PAYS FOR.

GOOD EXAMPLES ARE IT SECURITY FINANCE PERSONNEL.

WE PICK UP THE TAB OUT OF THE TOWN'S BUDGET.

RIGHT. AND SO YOU'LL SEE THAT AS PART OF IN-KIND.

RIGHT NOW I FOLLOW THAT. BUT SO HOW DID YOU DETERMINE HOW MUCH TO ALLOCATE FOR? SO IF THERE'S IT STAFF MEMBER THAT WORKS FOR BOTH TOWN AND SCHOOL, HOW DID YOU ALLOCATE BETWEEN THE TWO? SO THAT WAS PART OF THE PROCESS THAT THEY DID LAST YEAR IN SETTING UP THAT EXTRA DEPARTMENT WITHIN THE TOWN'S BUDGET FOR THE ACADEMY SIDE.

YEAH, IT'S REALLY KIND OF THROWING DARTS AT THIS POINT.

WE'RE GOING TO USE FISCAL YEAR 23 AS A BASELINE FOR THAT AND DO AN ACTUAL ALLOCATION STUDY ONCE WE HAVE REAL EXPENDITURES AND A YEAR'S WORTH OF THOSE TO SEE, OKAY, ARE THESE PERCENTAGE ASSUMPTIONS, RIGHT? WHENEVER WE'RE TALKING ABOUT THOSE ALLOCATED SERVICES, WHENEVER IT COMES TO PERSONNEL, WE'VE GOT UP TO 90% OF SPECIFIC PEOPLE ALLOCATED OUT.

WHENEVER IT COMES TO THE OPERATING EXPENDITURES.

SO AN IT SECURITY SUBSCRIPTION, WE DIDN'T DO ANY MORE THAN 50% ON THE OPERATING EXPENDITURES, BUT WE WILL BE REVIEWING THOSE.

LIKE I SAID, ONCE WE HAVE A YEAR'S WORTH OF ACTUAL DATA.

OKAY. ALL RIGHT.

THIS IS JUST MORE OF A GRAPHICAL REPRESENTATION.

AGAIN, I'M WANTING YOU TO THINK THAT I'M JUST A LITTLE REPETITIVE TODAY.

SO WHAT YOU SAW IN THE LAST SLIDE IS THE TABLE.

THIS IS PROBABLY A MORE PALATABLE WAY TO LOOK AT THINGS FOR FOLKS THAT DON'T LOVE SPREADSHEETS AS MUCH AS I DO.

THE TAKEAWAYS HERE ARE TO TEA FUNDS MAKE UP THE BULK OF OUR REVENUES ON THE SCHOOL SIDE.

AND IF YOU'LL RECALL FROM THE JUNE BUDGET WORKSHOPS, THE ALLOCATION AMOUNT DID NOT GO UP.

EVEN SO, THAT SEVEN AND ONE HALF MILLION THAT WILL BE GETTING FROM THE TEA FOR THOSE DIFFERENT BUCKETS, IT'S UNCHANGED FROM LAST YEAR.

THE ONLY THING THAT REALLY DRIVES THAT FROM YEAR TO YEAR IS A CHANGE AT THE LEGISLATIVE LEVEL OR ENROLLMENT.

THE NEXT THING ON HERE TO NOTE IS THAT TOTAL TOWN SUPPORT OF THAT 6.1 AND YOU'LL HEAR THAT A COUPLE OF TIMES.

SO THAT'S REALLY A COUPLE OF PIECES.

IT'S GOING TO BE THAT DIRECT TRANSFER.

SO THAT 1.5 CASH TRANSFER INCLUDES THE FOUNDATION STAFF.

THEY GET PAID OUT OF THE ACADEMY'S BUDGET AND WE TRANSFER MONEY OVER THERE TO COVER THEIR SALARIES.

AND THEN THE OTHER BIT IS JUST THAT 1.3 MILLION THAT WE HAD TALKED ABOUT WHENEVER IT COMES TO MAKING SURE THAT THE REVENUES EQUAL EXPENDITURES AND THAT THE SCHOOL IS PRESENTING A BALANCED BUDGET.

THE NEXT BIG THING. THAT VOLATILITY OF THAT 1.3 IS REALLY AROUND SALARIES AND NUMBERS OF TEACHERS AND THE PAY OF THE TEACHERS.

YES, SIR. AND I'VE GOT SOME MORE INFORMATION, SO WE'LL GET A LITTLE MORE DETAILS IN A LITTLE FURTHER IN.

THE NEXT THING ON HERE TO BE MINDFUL OF IS THE BLACKSMITH TARGET FOR NEXT YEAR.

IT IS UPPED A LITTLE BIT, NOT BY MUCH.

THAT'S SOMETHING ELSE THAT IS A GREAT SERVICE THAT THE FOUNDATION PROVIDES TO US.

WE'RE HOPEFUL THAT THEY MEET THAT TARGET.

WE ALSO UNDERSTAND THAT IF THAT DOESN'T HAPPEN, THEN THE TOWN WOULD COME IN AND HELP SUPPLEMENT THAT.

DID WE EVER DO AN ANALYSIS ON THE BLACKSMITH FUND OF THAT 1.1, 1.2 HAS BEEN THE NUMBER FOR ABOUT A DECADE OR SO? YOU KNOW, INFLATION ADJUSTED SHOULD WE'VE BEEN TARGETING HIGHER AND HIGHER, OBVIOUSLY, BECAUSE.

WELL, IT'S A VOLUNTEER ORGANIZATION.

SO I DON'T KNOW. YOU CAN APPLY AN INFLATION ADJUSTMENT TO IT.

YOU'RE BASICALLY SAYING THAT BECAUSE OF INFLATION, YOU WANT PEOPLE TO GIVE MORE, YOU CAN REQUEST IT.

YEAH, YEAH, YEAH. BUT I MEAN, WHAT I'M SAYING IS WHEN THE SCHOOL STARTED, THEY WERE COVERING, I DON'T KNOW, 15% OR 14%.

AND OVER TIME THE PERCENTAGE HAS DROPPED FOR A VARIETY OF REASONS.

YEAH, I THINK THE BETTER JOB THAT WE DO OF HANDLING THE FOUNDATION IS SOMETHING THAT'S ENCOURAGING PEOPLE TO GIVE AND DONATE TO THE EASIER IT WILL BE FOR THEM TO MEET THAT TARGET AND EXCEED IT.

RIGHT I AGREE.

ALL RIGHT. AND THEN TALKING ABOUT THE ACADEMY EXPENDITURES.

[00:50:02]

I'VE GOT THIS HIGHLIGHTED HERE BECAUSE I WANT YOU ALL TO REMEMBER NEXT WEEK YOU DO HAVE TO VOTE ON THE ACADEMY BUDGET.

YOU'LL ONLY BE VOTING ON THEIR OPERATING BUDGET, WHICH IS GOING TO BE THAT $11 MILLION DOLLARS.

UNLESS WE HAVE ANY DIRECTION TO CHANGE ANY OF THAT TODAY.

THE OTHER 6.1.

AGAIN, THAT'S GOING TO BE THOSE DIFFERENT SUPPORTS THAT COME FROM THE TOWN.

AND THIS IS JUST A DIFFERENT WAY TO LOOK AT IT ON THIS PAGE WHERE WE'VE GOT THE DEBT AND THEN WE'VE GOT ALL THE SHARED SERVICES IN THERE.

YOU'LL SEE ANOTHER WAY TO LOOK AT IT THAT WAY, YOU KNOW JUST AT EVERY STEP.

WHAT IS MAKING UP THAT AMOUNT OF MONEY? AND THEN AGAIN, YOU SEE THAT 11 MILLION JUST PRESENTED IN A DIFFERENT WAY.

SAME THING FROM THE SLIDE BEFORE, BUT WITH A DIFFERENT TWIST ON IT.

SO THE TAKEAWAYS FROM THIS SLIDE, REALLY WHAT WE WANT YOU TO FOCUS ON ARE THE PAYROLL.

PAYROLL TOTALS.

THAT DOES INCLUDE THE RAISES FOR THE TEACHERS.

WHAT WE DID FROM Y'ALL'S DIRECTION IS AN AVERAGE 3%.

SO IF THEY'RE ON THE STEP PLAN, THEY'D GET 2.5% PLUS THEIR STEP.

IF THEY'RE NOT, IT WOULD BE A FLAT 3%.

THIS ALSO INCLUDES THE EIGHT AND A QUARTER FTES THAT WERE APPROVED OVER THE SUMMER AND THEN THE OTHER OPERATING INCREASES ALL HAVE TO DO WITH THOSE DIFFERENT FUNCTIONAL THINGS THAT THE SCHOOL ACTUALLY DOES FOR ABOUT $250,000 OF AN INCREASE OVER LAST YEAR.

ARE YOU GOING TO PROVIDE A BREAKDOWN OF LIKE LAST YEAR WHEN WE WENT THROUGH THE BUDGET, I THINK IT WAS LIKE 100 PAGE DOCUMENT.

EVERYTHING WAS BROKEN OUT BY LINE ITEMS. I DON'T THINK WE'VE EVER SEEN THAT SO FAR THIS YEAR.

OKAY, WE WILL SEND THAT OUT AGAIN.

HAVE YOU SENT IT OUT? WE SENT IT OUT A COUPLE OF WEEKS AGO.

YES, SIR. OKAY. AND I THINK THE NEXT STEP FOR ALL OF US, I THINK, TO HAVE AN UNDERSTANDING OF IS LIKE, YOU KNOW, NOW THAT WE'VE GONE THROUGH THIS ANALYSIS, YOU'VE DISTILLED SORT OF THE MAJOR COMPONENTS OF WHAT DRIVES THE REVENUES AND EXPENSES OF THE SCHOOL AND, YOU KNOW, WHERE IS OUR FOCUS? I MEAN, ON THIS REVENUE SIDE, IT'S BASICALLY WHAT WE GET FROM THE STATE AND THEN THE FOUNDATION.

THERE'S DOESN'T SEEM TO BE A TON OF ADDITIONAL AREAS TO PUSH ON IN TERMS OF THAT SIDE OF THE.

YOU KNOW. SO IS IT REALLY MORE OF A FOCUS ON THE EXPENSE SIDE AT THE SCHOOL TO TRY TO MINIMIZE? I MEAN, WE HAVE A GAP, RIGHT? I MEAN, WE'RE YOU KNOW, THE TOWN IS FUNDING A DECENT AMOUNT.

SO WHERE I GUESS I DON'T WANT TO PUT YOU ON THE SPOT, BUT I THINK THE NEXT LEVEL OF UNDERSTANDING IS REALLY WHERE WE'RE GOING TO FOCUS TO TRY AND MINIMIZE THAT GAP EVERY YEAR GOING FORWARD.

AND IT SEEMS LIKE THE EXPENSE SIDE OF IT MAY BE DRIVING MORE OF THE VOLATILITY AROUND THAT THAN THE REVENUE SIDE.

IS THAT RIGHT? IT IS RIGHT NOW, ESPECIALLY OVER THE PAST COUPLE OF YEARS.

AGAIN, AT THE SCHOOL, PAYROLL IS GOING TO BE YOUR HEAVY PORTION OF YOUR EXPENDITURES.

AND ANYBODY WHO'S PICKED UP THE WALL STREET JOURNAL KNOWS THAT THE COST OF PEOPLE HAS GONE UP QUITE A BIT.

FEDERAL GOVERNMENT, STATE GOVERNMENT, THEY'RE A LOT SLOWER TO REACT TO THAT.

SO WE'RE NOT SEEING THOSE REVENUES THAT COME FROM THE STATE INCREASE AT THE SAME PACE IN WHICH WE NEED TO BE COMPETITIVE TO GET THE STAFF THAT WE NEED OVER THERE.

AND WHAT COMES FROM THE STATE? HOW IS THAT DETERMINED? I MEAN, I KNOW THAT'S A COMPLICATED QUESTION, BUT IS THERE ANY RISK OF THAT GOING DOWN OR UP? I WOULD HAVE TO DEFER TO MARLENE.

I DON'T KNOW THAT IT'S EVER ACTUALLY GONE DOWN, BUT I DO KNOW THAT IT'S THE SAME THIS YEAR AS IT WAS LAST YEAR.

THE REVENUE IS ESTIMATED BASED ON ENROLLMENT AND SPECIAL POPULATIONS.

SO WE GET ADDITIONAL LEVERAGES WITH SPED CTE, ANY OF THOSE SPECIAL POPULATIONS.

AND THEN SO EVERY SIX WEEKS WE SUBMIT ATTENDANCE RECORDS AND THEN THEY DETERMINE OUR REVENUE BASED ON THAT.

SO WHEN I PUT TOGETHER THE PROJECTIONS FOR THIS YEAR, IT'S BASICALLY GOING BY WHAT ENROLLMENT WE HAD AS OF OUR SUMMER PEIMS, WHICH WAS IN JUNE, AND THEN ESTIMATING OUT NOW IT CAN CHANGE BASED ON IF OUR ENROLLMENT GOES UP FROM 97.5 TO 99%, YOU KNOW, THAT WILL INCREASE OUR REVENUE. ARE THERE ANY PERFORMANCE METRICS IN THAT NUMBER? BUT THERE'S DETRIMENT ON DAILY ATTENDANCE, RIGHT? CORRECT. THAT'S A BIG DRIVER.

IT IS.

THAT'S AN ATTENDANCE ISSUE? WELL, I THINK THAT'S WHAT I WAS GOING BEFORE WITH.

THAT IS THE VALUE OF THAT $2,500 IN 2012.

AND SO IT'S CREATING A GAP OVER TIME.

YEAH, WE'RE KIND OF.

YOU'RE SAYING LESS ABOUT THE FOUNDATION AND MORE ABOUT WHAT WE'RE ASKING THE PARENTS.

YEAH. THE TARGET IN TERMS OF LIKE THEIR INDIVIDUAL CONTRIBUTION.

YEAH. FOR THE PRESERVATION OF THE VALUE OF WHAT $2,500 WAS BOUGHT IN 2012 WHICH IS TODAY.

[00:55:02]

SO AND VIC, NOT TO GET IN THE DETAIL AND I KNOW YOU KNOW THIS, BUT I MEAN WE'VE EXPLORED SOME OTHER CREATIVE WAYS TO ENHANCE REVENUE.

WE'RE NOT DONE WITH THOSE, YOU KNOW BUT WORK WITH OTHER PEOPLE.

THERE MAY BE. I'M JUST ON THIS SLIDE.

SO I KNOW YOU SAID YOU SENT THIS OUT.

I DON'T THINK I'VE SEEN BREAKDOWNS OF ALL OF THESE EXPENDITURES, BUT IS THERE A LIST OF THESE CONTRACTED SERVICES AND IS THERE LIST OF OTHER OPERATING COSTS.

THERE IS THAT IS BROKEN OUT SOMEWHERE.

YES. OKAY, I THINK IT MAY HAVE BEEN A LINK.

I THINK THERE WAS MAYBE A LINK IN AN EMAIL BECAUSE I OVERLOOKED IT.

IT WOULD HAVE BEEN. WELL, I SEE.

OKAY. YEAH, I THINK IT WAS LIKE A HYPERLINK IN THE PARAGRAPH THAT MAYBE TOOK YOU TO SOMETHING.

I ASSUMED WE WERE GOING TO DISCUSS THAT AT SOME POINT.

THAT WAS KIND OF MY IMPRESSION WAS WE WERE GOING TO GET INTO THE WEEDS IN ONE OF THESE MEETINGS AND GO THROUGH EVERYTHING IN FINER DETAIL.

BUT IT WAS JUST FOR US TO REVIEW ON OUR CORRECT.

OKAY. ALL RIGHT.

AND SO NOW I'M GOING TO FLIP OVER TO THAT DOESN'T I MEAN, I DON'T THINK THERE'S ANYTHING PROHIBITING US FROM DOING THAT.

NO. WELL, THE PROBLEM HAS BEEN IN PRIOR YEARS IS EXPENDITURES GET MADE AND THAT ISSUES WHERE FORMAL APPROVAL HADN'T BEEN GRANTED.

AND SO WE'RE TRYING TO CLEAN THIS UP.

AND SO WHAT I'M REALLY TRYING TO GET AN UNDERSTANDING OF AND ALSO WHEN WE GOT INVOLVED, WE HAD A LOT MORE CONSULTANTS, ESPECIALLY ON THE FINANCE DEPARTMENT [INAUDIBLE].

YEAH. AND SO AND WE'VE KNOWN THAT PEOPLE HAVE HIRED CONSULTANTS OR THEY BOUGHT SOFTWARE WITHOUT SEEKING FORMAL APPROVAL FROM THE BOARD.

AND SO WHAT I'M TRYING TO DO IS GET A HANDLE ON WHAT ARE THESE CONTRACTED SERVICES AT THE SCHOOL.

YOU SHOULD HAVE A LIST OF ANY CONSULTANTS, ANY THIRD PARTY PROVIDERS.

AND YOU KNOW, WE TALKED ABOUT THIS BEFORE, ABOUT HAVING A WRITTEN POLICY ABOUT WHAT AUTHORITY EITHER THE TOWN OF THE SCHOOL HAS IN MAKING PURCHASES THAT ARE NOT SPECIFICALLY IN THE BUDGET.

AND IF WE DON'T HAVE THEM LINE ITEMED, WE CAN'T HOLD THAT TO THAT STANDARD.

AND SO THAT'S SOMETHING I KNOW WE'VE TALKED ABOUT SEVERAL TIMES, AND THAT'S WHERE I WAS HOPING WE'D GET TO FOR THIS BUDGET AND WE'LL MAKE SURE THAT WE GET THOSE LINE ITEMS INTO Y'ALL'S HANDS THIS WEEK.

OKAY. ADDITIONALLY, JUST SO YOU'RE AWARE, WE DO HAVE PURCHASING POLICIES THAT HAVE BEEN DRAFTED THAT ADDRESS THOSE TYPES OF THINGS.

OKAY. DOLLAR THRESHOLD IF IT'S BUDGETED.

IF IT'S NOT, WHEN IT COMES TO COUNCIL, WHEN TOWN MANAGER, WHEN HEAD OF SCHOOL APPROVE IT, HOW IT GETS PURCHASED.

IS IT THROUGH BID? IS IT ON A P CARD, ALL OF THAT.

OKAY. WE'VE BEEN CIRCULATING THAT INTERNALLY.

THAT'S CORRECT. AND WE WERE GOING TO BRING THAT FORWARD TO COUNCIL SOMETIME IN AUGUST OR SEPTEMBER.

YEAH, I THINK THAT'D BE IMPORTANT BECAUSE I THINK, YOU KNOW, THIS IS, AGAIN, SOMETHING WE'VE TALKED ABOUT ON SEVERAL OCCASIONS.

YOU KNOW, IF THERE'S A SPENDING THRESHOLD, YOU KNOW, IN MY VIEW.

IT SHOULD NOT APPLY TO THINGS THAT WERE NEVER INVOLVED IN THE BUDGET.

AND I KNOW WE'VE TALKED ABOUT A $50,000 LIMIT TO MAKE PURCHASES, BUT IF IT'S NEVER BEEN PUT FORWARD IN A BUDGET PROPOSAL, I'M NOT SURE IF IT MAKES SENSE TO HAVE THAT SORT OF SPEND LIMIT BECAUSE YOU COULD JUST GO OUT AND SPEND $49,000 ON ANY HOST OF THINGS.

AND THAT. IN THE BUDGET.

THAT CONCERN SPECIFICALLY IS WHAT STAFF WORKED ON ADDRESSING BECAUSE IF YOU LOOK PREVIOUSLY IT WAS JUST AT THE ACCOUNT LEVEL, SO THERE WAS NO INSIGHT, THERE WAS NO DOCUMENTATION SAYING THIS ACCOUNT FOR CONTRACTED SERVICES AND THIS DEPARTMENT IS FOR THESE SPECIFIC SERVICES OR THESE SPECIFIC VENDORS AT THESE PROJECTED AMOUNTS, IT WAS JUST CONTRACTED SERVICES AT A DOLLAR AMOUNT.

SO DOING ANY KIND OF FORENSIC RESEARCH WAS VERY DIFFICULT FOR US.

AND THAT'S WHY WE WERE VERY THANKFUL TO BRING IN ALL THE DIFFERENT DEPARTMENT HEADS AND HAVE THEM COME IN AND SAY, THIS IS WHAT WE NEED, THIS IS WHAT WE'RE WORKING ON, THIS IS WHAT HAS BEEN IN THERE THAT WE DON'T THINK WE NEED.

AND THEN WE'VE ALSO STARTED COMPARING ALL OF THAT TO THE ACTUAL INVOICES THAT WE'RE GETTING IN TO MAKE SURE THAT THOSE THINGS JIVE WITH ONE ANOTHER, THAT WE'RE NOT MISSING SOMETHING AND THAT WE'RE NOT ALSO BUDGETING FOR SOMETHING THAT WE DON'T NEED.

NO, LOOK, I CAN APPRECIATE ALL THOSE THINGS, BUT I JUST WANT TO MAKE SURE WE'RE BEING VERY, VERY CLEAR ON THE DIRECTION WE'RE TRYING TO GO HERE, AND THAT IS MAKING SURE WE HAVE BETTER OVERSIGHT INTO WHERE EXPENDITURES ARE BEING MADE.

AND AS I SAID, WE'VE HAD INSTANCES WHERE MONEY HAD BEEN SPENT WITHOUT DUE AUTHORITY.

AND THAT'S JUST SOMETHING I THINK AS A COUNCIL WE WANT TO AVOID GOING FORWARD.

SO IF YOU'VE GOT A DRAFT OF THESE PURCHASING POLICIES, COULD YOU CIRCULATE THEM TO THE BOARD? ABSOLUTELY. I WANT TO MAKE SURE THAT UNLESS SOMETHING IS APPROVED IN THE BUDGET, THERE SHOULD BE NO AUTHORITY TO GO AND SPEND THE MONEY.

IT'S TALKING ABOUT VERY TIGHT CONTROL.

THAT'S [INAUDIBLE].

AND THAT'S WHY, YOU KNOW.

I REALLY WANT TO MAKE SURE WE CAN GO THROUGH THESE LINE ITEMS. AND IT WAS MY MISTAKE I GENUINELY THOUGHT WE'D BE DOING THIS IN ONE OF THE MEETINGS IS GOING THROUGH BECAUSE THIS IS WHAT WE DID LAST YEAR AND EVERYTHING WAS BROKEN OUT.

I MEAN, WE WENT THROUGH EVERY SINGLE FIRE STATION EXPENDITURE LAST YEAR AND I FEEL LIKE IT'S BEEN REALLY TOUGH APPROVING THIS BUDGET UNTIL WE GET INTO THOSE GRANULAR DETAILS.

[01:00:07]

I APPRECIATED IT.

WE DID IT A VERY, VERY HIGH LEVEL IN OUR FIRST MEETING, BUT I REALLY THOUGHT TODAY WAS GOING TO BE THE DAY OR THE NEXT MEETING WHERE WE WERE GOING TO GET INTO THE ABSOLUTE DETAILS OF WHAT EXACTLY THESE BREAK OUTS ARE, WHAT ARE THE CONTRACTED PARTIES, WHAT ARE THESE OTHER OPERATING COSTS? I MEAN, IT'S JUST VERY HARD TO GO INTO THIS FORMAL APPROVAL NEXT WEEK WITHOUT SITTING DOWN AND GOING THROUGH THOSE IN DETAILS.

SO WE'LL ENSURE THAT WE GET THAT LINK BACK OUT TO YOU DAVID.

IT'S TOO BIG OF A FILE TO SEND, BUT WE'LL DEFINITELY GET THE LINK OUT TO YOU SO THAT YOU CAN REVIEW.

AND THEN WE'D LOVE TO HAVE ANY OF THOSE QUESTIONS AS YOU'RE REVIEWING THROUGH THAT, BRING THOSE FORWARD AND WE'LL MAKE SURE THAT WE HAVE READY FOR AN ANSWER.

OKAY. BUT I THINK IT WOULD HAVE BENEFITED US TO DO THAT IN A MEETING.

I THINK THAT WOULD HAVE BEEN HELPFUL TO ALL OF US.

OKAY. WELL, AN THE TIME.

I MEAN, REMIND EVERYBODY WHAT THE TIMELINE IS FOR THE BUDGET APPROVAL, BECAUSE TONIGHT WE'RE WE'RE NOT APPROVING THE BUDGET TONIGHT.

CORRECT. WE'RE NOT APPROVING THE BUDGET TONIGHT.

THE ACADEMY AND THE TOWN HAVE DIFFERENT FISCAL YEARS, SO WE DO HAVE TO APPROVE THE ACADEMY'S BUDGET AT NEXT WEEK'S MEETING.

IT'S THE ONLY ONE WE HAVE IN AUGUST, AND IT HAS TO BE APPROVED BEFORE THE NINE ONE FISCAL YEAR START.

WE'VE GOT SOME MORE TIME ON THE TOWN SIDE THAT IS SCHEDULED FOR ADOPTION ON THE 9-11 MEETING.

ALL RIGHT. AND SO WE'LL GO THROUGH THE PROFIT LOSS OF THE TOWN REAL QUICK AND THEN WE'LL GET INTO THE ACTUAL ACADEMY BUDGET.

IT'S A LITTLE MORE DETAIL, NOT THE GRANULAR, BUT CLOSER.

WHAT I WANTED TO POINT OUT HERE ON THE TOWN SIDE, WE'RE LOOKING AT ALMOST $33 MILLION DOLLARS IN REVENUE.

WE'VE GOT OUR BIG REVENUES HIGHLIGHTED ON HERE, OUR FOUR MAJOR THINGS.

IF WE FLIP OVER TO THE NEXT SLIDE.

AGAIN, THE TAKEAWAYS HERE HAVE TO DO WITH THOSE MAJOR REVENUES FOR THE TOWN.

OUR NUMBER ONE REVENUE SOURCE IS OUR SALES TAX.

IT'S THE MOST VOLATILE.

IF WE WERE TO HAVE A RECESSION, YOU WOULD SEE THAT TANK.

WE HAD ISSUES CURRENT YEAR WITH ONE TIME INCREASES THAT ACTUALLY BENEFITED US QUITE A BIT AS FAR AS MAKING SURE WE HAD THAT BALANCED BUDGET BY THE PROJECTED FISCAL YEAR END.

SO WHAT WE'VE DONE FOR THIS NEXT YEAR IS JUST BACK OUT THOSE ONE TIME SWINGS AND LOOK AT A TREND LEVEL IN ORDER TO PROJECT ABOUT 9.1 FOR NEXT YEAR.

THE NEXT THING ON HERE, WHAT YOU'LL SEE IS OUR PERMITS AND FEES.

SO THAT IS A LOT LARGER NUMBER THAN WE HAD IN THE PREVIOUS YEAR.

AND MOST OF THAT HAS TO DO WITH THE DELOITTE DEVELOPMENT FEES.

WE'RE EXPECTING PRETTY LARGE SWINGS FROM THAT DEVELOPMENT FOR FISCAL YEAR 24 AND FISCAL YEAR 25.

THE NEXT THING ON HERE THAT YOU'LL SEE IS CHARGE FOR SERVICE.

SO WE'RE LOOKING AT ABOUT 5.7 MILLION IN CHARGES FOR SERVICE.

THE VAST MAJORITY OF THAT HAS TO DO WITH OUR UTILITY BILLS.

THOSE ARE CONSIDERED CHARGES FOR SERVICE.

WE SET THOSE FEES BASED ON THE COST TO PROVIDE THE SERVICE.

IT'S A REVENUE FOR US.

AND THEN THE FOURTH LARGEST REVENUE SOURCE THAT WE HAVE IS GOING TO BE OUR PROPERTY TAXES.

WE'RE PROJECTING 4.1 MILLION FOR FISCAL YEAR 24.

THAT'S BASED ON KEEPING THE TAX RATE FLAT RIGHT NOW.

IS THAT THE GROSS OR THE NET TAKING PROPERTY TAX? THAT'S THE GROSS. THAT'S GROSS.

OKAY. AND THEN WE REIMBURSE A HALF CENT AFTER THAT? NO. WHAT'S NEXT? SO THE HALF CENT FOR SALES TAX IS A REVENUE SOURCE FOR US.

THERE'S NOT A REIMBURSEMENT FOR IT.

PROPERTY TAX WE PAY, RIGHT? RIGHT. SO WE GIVE BACK OR REDUCE PROPERTY TAXES OF HOMEOWNERS BY USING A HALF A CENT OF THE SALES TAX.

SO HOW THE HALF CENT OF SALES TAX OR PROPERTY TAX RELIEF IS FACTORED INTO THE BUDGET? IT'S CONSIDERED A STRAIGHT SALES TAX REVENUE.

SO IT'S PART OF THAT 9.1 MILLION.

RIGHT. SO IS THIS PROPERTY TAX THE GROSS AMOUNT AND THEN WE REIMBURSE OR REDUCE IT? OR IS THIS THE NET TAKING AFTER THE REDUCTION? WE DON'T EVER DO A REIMBURSEMENT.

SO THERE ARE TWO SEPARATE REVENUE STREAMS. I UNDERSTAND, BUT WE REDUCE THE PROPERTY TAX TAKING BY OFFSETTING IT WITH SALES [INAUDIBLE] TAX THE HALF PENNY.

AND HOW WE DO THAT IS WE NEVER SET THE TAX RATE AT THAT HIGHER LEVEL.

IT'S ONLY DONE THROUGH CALCULATION.

SO WE RECEIVE THAT HALF CENT IN SALES TAX.

IT GOES TO THE GENERAL FUND, IT GOES INTO OUR CALCULATIONS FOR OUR PROPERTY TAX RATE SO THAT WE CAN LOWER THAT.

SO THE 4.1 IS THE ACTUAL CASH RECEIVED FROM THE PROPERTY TAX.

CORRECT. THAT IS BASED ON THE $0.16.

WHENEVER WE DO, THE COMPTROLLERS CALCULATION, WHEN WE'RE FACTORING IN THAT SALES TAX, PROPERTY REDUCTION, WHAT THAT DOES IS ADD TO THE WHAT'S CALLED

[01:05:06]

IT SAYS IF WE WERE TO GET RID OF THIS HALF CENT OF PROPERTY TAX OR OF SALES TAX, THAT'S REDUCING THE PROPERTY TAX, THEN WE WOULD NEED TO PUT HOW MANY CENTS ON TOP OF THAT $0.16 TO CAPTURE THE SAME AMOUNT OF REVENUE.

AND SO THIS, AS I SAID, DOES INCLUDE THAT 16.788 CENTS.

THAT IS THE CURRENT LEVY.

ALL RIGHT. AND THEN FLIPPING OVER TO EXPENDITURES, WE'VE GOT $25.9 MILLION DOLLARS PROJECTED IN EXPENDITURES FOR NEXT YEAR.

IF WE LOOK AT THE TWO MAJOR FUNCTIONS THAT WE'VE GOT LISTED UP HERE ON THE ACADEMY SUPPORT, THAT FIRST ONE THAT'S HIGHLIGHTED IN ITALICIZED IS THE ACTUAL DEBT PAYMENTS THAT WILL BE MAKING FOR THE DIFFERENT ISSUANCES FOR ACADEMY INFRASTRUCTURE.

AND THEN THE 4.3 MILLION THAT YOU SEE UP THERE IS GOING TO BE THOSE SHARED SERVICES.

SO THEY'RE GOING TO BE THE ALLOCATED COSTS AND THE DIRECT TRANSFER OVER.

AND HAVE WE SEEN THOSE DEBT SERVICE SCHEDULES? DID YOU SEND THOSE TO US? LIKE WHEN DOES SOME OF THIS DEBT START ROLLING OFF? WE'RE GOING TO BE 20 YEARS OLD.

WE DID. WE HAVE A COUPLE THAT'LL BE ROLLING OFF IN THE NEXT COUPLE OF YEARS.

AND I'VE GOT A SLIDE LATER WHERE WE'RE SHOWING WHAT WE ISSUED VERSUS WHAT'S OUTSTANDING.

ALL RIGHT. AND THEN LOOKING AT THE EXPENDITURES IN A DIFFERENT WAY, OUR PAYROLL, SIMILAR TO THE TOWN OR SIMILAR TO THE ACADEMY, THIS BUG IS DISTRACTING.

I HAVE A BUG IN MY EYESIGHT AND IT KEEPS PULLING FOCUS.

SO WHAT WE HAVE INCLUDED HERE IS A RAISE TO 3% THAT WE TALKED ABOUT OVER THE SUMMER.

AND THEN WE'VE ALSO GOT THOSE HEALTH CARE INCREASES.

BUT WE OFFSET A LOT OF THAT BY REDUCING THE ACTUAL FTE COUNT.

AND THEN OUR OPERATIONS FOR NEXT YEAR, WE'RE LOOKING AT $14.9 MILLION DOLLARS.

A LOT OF THAT ON CUTS HAS TO DO WITH SOME TRANSFERS.

SO KIND OF SHORING UP SOME OF THE UNNECESSARY MOVEMENT OF DOLLARS.

BUT ABOUT HALF OF THAT HAS TO DO WITH ACTUALLY STAFF TAKING PEN TO PAPER AND SAYING, DON'T KNOW WHY THAT'S BUDGETED.

I DON'T NEED THAT. AND SO WE WERE ABLE TO DO A LOT OF GOOD DUE DILIGENCE THIS YEAR.

AND THEN JUST TO GIVE YOU ALL ANOTHER WAY OF LOOKING AT IT, AND THIS, I UNDERSTAND, IS HARD TO READ.

THIS WOULD BE SOMETHING, ESPECIALLY IF YOU'RE TRYING TO WATCH ONLINE, THAT I HIGHLY RECOMMEND YOU GO PULL THE PRESENTATION LATER.

BUT JUST TO KIND OF GIVE YOU AN IDEA ABOUT ALL THE DIFFERENT FUNCTIONS THAT THE TOWN PROVIDES AND HOW MUCH THEY MAKE UP ALL OF OUR DIFFERENT EXPENDITURES.

SO I'VE GOT THE MAJOR ONES HIGHLIGHTED UP HERE.

WHENEVER WE TALK ABOUT GENERAL SERVICES, WE'RE REALLY TALKING ABOUT THINGS THAT CAN'T BE CATEGORIZED SPECIFICALLY IN A DEPARTMENT.

SO THINGS THAT ARE ALL ENCOMPASSING, LIKE MAYBE SOME ELECTRICITY FOR THIS BUILDING.

WE'VE GOT SO MANY DIFFERENT DEPARTMENTS THAT JUST DOESN'T MAKE A LOT OF SENSE TO NICKEL AND DIME THAT OUT.

AND THEN FOR FIRE.

WE'VE GOT ALL OF THEIR STUFF UP THERE THAT DOES INCLUDE THEIR DEBT PAYMENTS.

AND THEN FOR PUBLIC WORKS AGAIN, THAT'S GOING TO BE MOST OF OUR UTILITIES.

BUT THEN WE'VE GOT SOME OTHER FUNCTIONS OVER IN THE GENERAL FUND.

YES, MA'AM. YOU KNOW, FOR THE TOWN REVENUES, MAYBE NEXT WEEK, WOULD YOU BE ABLE TO GET US SOME INFORMATION ON THE TAX ABATEMENTS FOR THE CORPORATE CAMPUSES? YES, MA'AM. SOME KIND OF FORECAST WOULD BE NICE.

THANKS. WHAT'S THE TRANSFER OUT CATEGORY? SO IN GOVERNMENTAL ACCOUNTING, WE'VE GOT THOSE DIFFERENT FUNDS AND WE HAVE TO RECORD THE TRANSFERS IN AS REVENUES AND TRANSFERS OUT AS EXPENDITURES.

THE REST OF IT HAS TO DO WITH INTERFUND TRANSFERS THAT ARE NECESSARY.

SO A GOOD EXAMPLE IS WE HAVE SALES TAX BACKED DEBT AND WE TRANSFER THAT OUT OF ONE FUND INTO THE DEBT SERVICE.

WHY WOULDN'T WE JUST CALL THAT DEBT SERVICE? JUST BECAUSE THERE'S MULTIPLE TYPES OF TRANSFERS THAT ARE MAKING UP THAT AGGREGATE 4 MILLION.

BUT IT WOULD BE HELPFUL IF WE KNEW WHAT THOSE WERE.

SOME IS DEBT SERVICE TRANSFER.

I UNDERSTAND I'LL GIVE YOU SOME MORE DETAIL IN A FEW MORE SLIDES.

OKAY. YEAH, I MEAN, BECAUSE I'M JUST WHAT I WANT TO AVOID IS WHEN WE COME TO DO THE ACTUAL BUDGET PROCESS FOR THE TOWN, BECAUSE I'LL JUST KEEP ASKING THE SAME QUESTIONS.

FROM MY PERSPECTIVE. ANYWAY, I WANT TO SEE ALL THE DETAILS.

SO I WANT TO SEE THE LINE ITEMS. I WANT TO SEE THE LIST OF THE CONTRACTORS.

I WANT TO SEE THE LIST OF ADVISERS LIKE GRANULAR.

SO THIS IS HELPFUL.

[01:10:01]

DAVID, WHAT YOU'RE ASKING FOR, IF I'M CORRECT, IS YOU WANT TO WE WANT TO YOU WANT A COMPLETE, THOROUGH DISCUSSION OF EVERY LINE ITEM IN THE BUDGET.

YEAH. REASONABLE.

I MEAN, PENS AND PAPER IS FINE.

BUT, FOR EXAMPLE, LAST YEAR IS WE WERE GIVEN A BUNCH OF SALARIES AND WHAT PEOPLE GOT AND THEN THEY LEFT OFF THAT A WHOLE BUNCH OF PEOPLE AT $10,000 CAR ALLOWANCES.

AND, YOU KNOW, THAT'S JUST ONE OF MANY EXAMPLES.

AND I MEAN, LOOK, IF WE NEED CONSULTANTS AT THE TOWN, WE SHOULD HAVE A LIST OF APPROVED CONSULTANTS FOR THE YEAR.

AND I DON'T THINK THERE SHOULD BE DISCRETION TO JUST GO HIRE CONSULTANTS OR ACQUIRE SOFTWARE JUST BECAUSE IT FITS UNDER SOME MONETARY THRESHOLD.

SO I THINK, YOU KNOW, WE'RE JUST LOOKING FOR THAT REASONABLE COMPROMISE OF UNDERSTANDING ENOUGH OF THE LINE ITEMS THAT WE UNDERSTAND WHERE THE MONEY IS BEING SPENT.

AND FOR THE SCHOOL.

I JUST I DON'T HAVE ANY GRASP OF THAT HERE BECAUSE THAT'S THE ONE THAT'S MORE PRESSING.

BUT I DON'T UNDERSTAND.

DO WE HAVE CONSULTANTS? ARE WE USING THIRD PARTY VENDORS? WHAT SOFTWARE HAS BEEN APPROVED? WHAT ARE WE SPENDING ON THIS SOFTWARE? ONCE WE HAVE THAT RUNNING LIST? THIS SHOULD BE REALLY SIMPLE TO GO THROUGH THE BUDGET AND THE SALARIES ARE WHAT THEY ARE.

WE UNDERSTAND THAT THAT'S JUST A HEADCOUNT ISSUE AND THAT'S MOST OF IT.

BUT EVERYTHING ELSE WE SHOULD BE ABLE TO CATEGORIZE AND SORT OF A REASONABLE BASIS SO WE AT LEAST UNDERSTAND WHERE THE MONEY IS BEING SPENT.

AND THEN IF THERE IS A REQUEST FOR NEW SOFTWARE OR A NEW VENDOR, A THIRD PARTY CONSULTANT, WHATEVER IT MIGHT BE, THAT SHOULD JUST COME BACK TO COUNCIL AND JUST SAY, LOOK, THIS IS WHAT WE'RE PROPOSING.

I FEEL LIKE WE'VE STRUGGLED THIS PAST YEAR TO REALLY GET TO TERMS WITH THAT.

AND THAT'S WHERE I KEPT HOPING THIS IS WHERE WE GET THE BUDGET TO BE SO WE COULD GET INTO THOSE GRANULAR ITEMS. AND THEN IT JUST MAKES APPROVING THINGS GOING FORWARD A LOT SIMPLER.

THE BUDGET IS THERE.

WE'RE AT THAT GRANULAR LEVEL.

WE CAN GIVE YOU ALL THAT DATA.

WHAT WE WEREN'T AWARE OF IS THAT YOU WANTED TO ACTUALLY DISCUSS IT AT THAT GRANULAR LEVEL AT THESE MEETINGS.

AND IF THAT'S THE CASE, WE CAN BRING THAT FORWARD TO YOU, IF THAT'S WHAT COUNCIL WISHES TO DO.

I MEAN, I'LL DEFER TO OTHERS.

FOR ME IT WOULD BE VERY BENEFICIAL AND I THINK WE COULD MOVE THROUGH IT MUCH MORE QUICKLY IF WE SAT AND BROKE THESE OUT INTO MEANINGFUL CATEGORIES.

SO RATHER THAN JUST GROUPING A BUNCH OF THINGS UNDER OTHER OPERATING COSTS, WE UNDERSTAND WHAT THOSE ARE.

AND AGAIN, DOESN'T MATTER WHAT YOU'RE SPENDING ON PRINTER PAPER, IT'S NOT WHAT WE CARE ABOUT, IT'S HOW WE'RE CATEGORIZING THESE COSTS AND WHERE THE MONEY IS GOING.

AND SO I THINK WE COULD PRESENT AND WALK THROUGH THAT MORE QUICKLY AS A COUNCIL THAN JUST SENDING OUT, YOU KNOW, BIG DATA SETS BY A LINK IN AN EMAIL.

SO. IF WE CAN INCORPORATE THAT INTO NEXT WEEK, I THINK IT WOULD BE EXTREMELY HELPFUL, THEN WE CAN JUST MOVE RIGHT THROUGH AND APPROVE THE BUDGET.

AND IF YOU WANT, I'M HAPPY TO COME IN AND SIT WITH YOU SO YOU CAN JUST DESIGN SOMETHING THAT YOU'RE MORE THAN WELCOME TO PARTICIPATE IF YOU WANT.

YEAH, YEAH. I'M DEFINITELY AROUND.

I DON'T THINK ANYBODY I THINK WE'RE ALL SAYING THE SAME THING.

I DON'T THINK IT'S ALL HERE.

I THINK. YOU KNOW, IT WOULD HAVE BEEN NICE TO HAVE EVERYBODY'S WISH LIST KIND OF HEADING INTO THIS.

AND I THINK THAT'S KIND OF WHERE WE'RE MISSING THE MARK ON TODAY'S MEETING.

BUT I BELIEVE THE DATA IS THERE, AND I THINK THAT WE NEED KIND OF BOTH.

AND IN MY OPINION, WHICH IS WHY I WANTED SOME HIGH LEVEL TAKEAWAYS, BUT NOT AT THE EXPENSE OF GOING THROUGH THE DETAIL.

AND I THINK THEY HAVE IT AND WE SHOULD DEFINITELY GO THROUGH IT TO APPROVE IT.

I MEAN, I COULDN'T AGREE MORE.

WE'RE JUST MISCOMMUNICATING ON WHAT'S BEING PRESENTED TODAY.

BUT I THINK WE CAN EASILY THAT CAN BE DONE FIX THAT.

THAT'S YEAH, BY ALL MEANS WE'LL MAKE SURE THAT WE BRING FORWARD A DETAILED BUDGET FOR YOU AT OUR NEXT MEETING.

I MEAN THIS TO ME IS AN EXECUTIVE SUMMARY, RIGHT? THIS ISN'T LIKE THE BUDGET APPROVAL MATERIAL.

THIS IS LIKE WE DID AT THE BUDGET RETREAT.

SO WE LOOKED AT THE HIGH LEVEL AND WE KNEW DIRECTIONALLY, IS THIS WHERE WE WANT TO GO WITH THE VIEW THAT WE START GETTING FURTHER INTO THE DETAILS ONCE GENERAL DIRECTION HAD BEEN SET. AND THAT'S WHERE I FEEL LIKE WE JUST THIS SHOULD BE DEEPER.

WE JUST MISUNDERSTOOD THE DIRECTION.

SO WE SENT OUT ALL OF THE DETAIL, THINKING THAT THAT'S THE WAY YOU WANTED TO VIEW IT, BECAUSE YOU HAD SOME COUNCIL MEMBERS THAT WOULD WANT TO SEE AT A HIGHER LEVEL, SOME THAT WANTED TO DIG INTO DETAIL.

SO WE GAVE YOU ALL THE OPTIONS TO DO THAT ON YOUR OWN.

BUT IF WE WANT TO DO THAT IN A MEETING, WE'LL GET THAT DONE.

ALL RIGHT. I'M JUST KIND OF WRAPPING UP THE EXECUTIVE SUMMARY PROFIT LOSS PORTION OF THIS .

TAKEAWAY FOR REVENUES IN GENERAL FROM CURRENT YEAR PROJECTIONS VERSUS NEXT YEAR, YOU ARE SEEING A DECREASE.

AGAIN, THAT HAS TO DO WITH THAT ONE TIME SALES TAX PAYMENT AND THEN ALSO WITH THE FTE CUTS AND SOME OTHER PENCIL TO PAPER ON THE TOWN SIDE, THERE'S A DECREASE IN OVERALL SHARED

[01:15:03]

AND THEN JUST GOING BACK AGAIN, LIKE I SAID, I'M TRYING TO BE A LITTLE REPETITIVE.

SO AT THE BEGINNING, WHENEVER WE STARTED TALKING ABOUT THIS, THAT OVERALL TAKEAWAY WAS BASED ON THIS BUDGET INFORMATION THAT'S PRESENTED RIGHT NOW, WE'RE LOOKING AT CONTRIBUTING ABOUT $7 MILLION DOLLARS TO FUND BALANCE FOR NEXT YEAR.

THE $48 MILLION OF REVENUE, THAT'S INCLUDING THE 6.4.

6.6 MILLION OF IN-KIND.

CORRECT? OKAY.

SO IT'S NOT REALLY A REVENUE, THOUGH.

WHAT YOU'LL SEE HERE, I AGREE.

I THINK WE HAVE SOME ORGANIZATIONAL WORK TO DO ON THAT.

I AGREE WITH YOU.

I THINK WE NEED TO GO BACK AND REVISIT HOW WE'RE PRESENTING THAT.

AND SO IF WE LOOK GOING TOP TO BOTTOM, WHAT YOU'LL SEE IS THAT 48 OF TOTAL REVENUES AND THEN YOU SEE THE 37 OF TOTAL EXPENDITURES, WHICH GETS YOU TO THAT 11.

AND THEN WE DO BACK OUT THAT FOUR TO GET TO THAT SEVEN.

ALL RIGHT. AND NOW WE'RE GOING TO TALK A LITTLE BIT MORE DETAIL ABOUT THE ACADEMY BUDGET, BECAUSE, AGAIN, THIS IS SOMETHING THAT YOU ALL WILL HAVE TO VOTE ON NEXT WEEK.

AND SO AS WE'RE GOING THROUGH, OTHER THAN THE LINE ITEM DETAILS THAT WE'LL BE PROVIDING, IF THERE'S ANYTHING ON HERE THAT IS SURPRISING THAT YOU WOULD LIKE CHANGES ON THAT YOU'D LIKE MORE INFORMATION ON, PLEASE STOP ME AS I'M GOING THROUGH IT.

BUT LIKE I SAID AT THE BEGINNING, IF THERE'S SOMETHING IMPORTANT ON HERE, YOU'LL SEE SOMETHING HIGHLIGHTED, YOU'LL SEE SOMETHING BOXED, YOU'LL SEE SOMETHING BOLD.

SO FOR THE ACADEMY BUDGET, AGAIN, WE'RE LOOKING AT $11 MILLION DOLLARS.

THAT'S GOING TO BE THE AMOUNT THAT WE ARE VOTING ON NEXT WEEK UNLESS THERE'S ANY CHANGES FROM TODAY.

IT DOES INCLUDE THAT ROUGH 3% SALARY INCREASE.

IT'S GOING TO BE 2.5% FOR STEP AND THEN 3% FOR NON STEP.

IT ALSO HAS THE TRANSFER FROM THE TOWN AND IT'S GOT THE TRANSFER FOR THE FOUNDATION STAFF.

BUT IT DOES EXCLUDE THOSE SHARED SERVICES, THE DEBT AND THE CAPITAL THAT'S CAPTURED ON THE TOWN BUDGET.

THE ONLY THING THAT WE STILL HAD OUTSTANDING FROM OUR CONVERSATIONS IN JUNE IS AN UPDATE ON THE SPED PARAPROFESSIONAL.

IF THAT WAS SOMETHING THAT YOU ALL WERE STILL INTERESTED IN.

I KNOW THAT ROD HARDING HAS EXPRESSED A DESIRE FOR THAT TO BE FUNDED.

GOOD. YEAH, WE. I THOUGHT WE HAD THAT.

IT WAS DONE ALREADY.

YEAH, THAT SHOULD BE.

NOW WE'VE GOT IT ON RECORD, SO WE'LL ADD IT IN.

PERFECT. AND SO THAT WILL BE ONE CHANGE THAT YOU'LL SEE BETWEEN TODAY AND NEXT WEEK.

OKAY. AND SO WHENEVER WE'RE TALKING ABOUT TOWN SUPPORT, WE'VE GOT THAT 6.1 MILLION THAT YOU ALL HAVE BEEN SEEING KIND OF OVER AND OVER AGAIN.

THERE'S THREE MAJOR CATEGORIES HERE THAT'S GOING TO BE THAT DIRECT TRANSFER OF CASH FROM THE TOWN TO THE SCHOOL.

AND IF YOU RECALL, AGAIN, MEETING IN JUNE, WHAT WE DID WAS WE SAID THIS IS THE COST TO RUN THE SCHOOL.

AND THEN WE LOOKED AT THOSE REVENUES THAT WE CAN EXPECT.

AND THAT 1.3 IS EFFECTIVELY A PLUGGED IN NUMBER TO MAKE SURE THAT THEIR BUDGET IS BALANCED.

THE NEXT THING ON HERE THAT YOU'LL SEE AS PART OF THAT 6.1 IS GOING TO BE THE FOUNDATION STAFF.

AND THAT'S A TRANSFER BECAUSE WE'VE AGREED TO PAY FOR THAT.

AND THEN THAT LAST THING IS THAT IN-KIND AND THIS IS WHERE WE WANT TO MAKE SURE THAT WE'RE REALLY CLEAR ON WHAT THAT MEANS AND WHAT THE EXPECTATION IS AS FAR AS SERVICE LEVELS GOING FORWARD.

SO THERE'S THREE PARTS THAT MAKE UP THE IN-KIND CONTRIBUTION.

ONE IS THE ACTUAL SHARED SERVICES.

SO THOSE ARE GOING TO BE THE MARLENS OF THE WORLD.

JASON, IN IT HE'S GOT SOME STAFF THAT SUPPORTS THE SCHOOL.

WE'VE GOT SOME COMMUNICATIONS PERSONNEL OVER THERE.

ADDITIONALLY, WE'VE GOT SOME DIFFERENT CONTRACTS, DIFFERENT SOFTWARES AND DIFFERENT OTHER OPERATING COSTS THAT WE ALLOCATE OUT WITHIN THE TOWN BUDGET UNDER A WESTLAKE ACADEMY DEPARTMENT.

THE NEXT THING ON HERE, WHAT YOU'LL SEE ARE THOSE DEBT PAYMENTS.

SO THOSE ARE GOING TO BE THE ACTUAL DOLLARS THAT IT TAKES TO PAY FOR ANY OF THE OUTSTANDING DEBT RELATED TO THE ACADEMY INFRASTRUCTURE.

AND THEN THE LAST THING ON HERE IS SOME CAPITAL EXPENDITURES.

AND I'VE GOT A LIST OF THOSE COMING UP.

ALL RIGHT. SO WHENEVER WE LOOK AT THAT DIRECT CONTRIBUTION OF 1.3 MILLION, I DO WANT TO POINT OUT THAT IT'S ALMOST A $1 MILLION DOLLAR INCREASE OVER LAST YEAR.

LAST YEAR, IT WAS JUST A LITTLE OVER $405,000.

THAT WENT UP PRETTY SIGNIFICANTLY, MOSTLY IN ORDER TO MAKE SURE THAT $400,000 FROM LAST YEAR WAS STILL COVERED.

PLUS THEN WE HAD THOSE EIGHT FTES ADDED IN AND A FEW OTHER HIGHER COSTS THAT CAME IN.

AND THEN WHENEVER WE'RE TALKING ABOUT THE IN-KIND CONTRIBUTION.

SO THAT'S GOING TO BE THE SHARED SERVICES, THE DEBT AND THE CAPITAL.

[01:20:01]

SO THOSE SHARED SERVICES ARE PROJECTED TO BE TWO AND ONE HALF MILLION FOR NEXT YEAR.

A LOT OF THIS HAS TO DO WITH OUR FTE CUTS.

SEVERAL OF THEM HELPED DO CERTAIN THINGS OVER AT THE SCHOOL, SO WE WERE ABLE TO REDUCE THAT EXPENDITURE.

ADDITIONALLY, WHAT WE LOOKED AT WERE THOSE DIFFERENT ITEMS THAT MAKE UP DEPARTMENT 40, AS WE CALL IT, OR THE ACADEMY DEPARTMENT WITHIN THE GENERAL FUND. AND WHAT WE'RE LOOKING AT IS, ARE THESE TRUE SERVICES THAT DO SUPPORT THE SCHOOL OR NOT? AND THEN WHAT WE'LL DO AFTER NEXT YEAR IS REALLY START DIGGING MORE INTO DETAILS ABOUT NOT ONLY DO THEY SUPPORT THE SCHOOL, BUT AT WHAT LEVEL.

WE'VE GOT ALL KINDS OF IT SECURITY THINGS.

SO IF YOU THINK ABOUT DIFFERENT DRIVERS OF ALLOCATION REASONS.

ONE OF THOSE COULD BE USERS.

THERE WOULD BE A LOT MORE COMPUTER USERS OVER AT THE ACADEMY THAN THERE WOULD BE AT THE TOWN.

SO THOSE ARE GOING TO BE THOSE TYPES OF THINGS THAT WHENEVER WE DO A TRUE ALLOCATION STUDY THAT WE LOOK AT.

ALL RIGHT. AND THEN FOR DEBT PAYMENTS, WE'RE LOOKING AT ALMOST 1.8.

I DO WANT TO POINT OUT THAT THAT DOES INCLUDE PAYMENTS FOR THE 23 TAX NOTES THAT WE ISSUED CURRENT YEAR FOR THE MODULAR BUILDINGS.

AND SO THAT WILL ALSO COME UP AGAIN LATER WHENEVER I START TALKING ABOUT TAX RATE.

AND THEN THE CAPITAL EXPENDITURES.

SO WE'VE GOT ABOUT $350,000 IN VARIOUS CAPITAL EXPENDITURES.

AGAIN, THESE WERE THINGS THAT WE WENT BACK AND SAID, ARE THEY NECESSARY? ONE GOOD EXAMPLE UP HERE IS THE VANS THAT WERE BUDGETED CURRENT YEAR THAT WE DON'T THINK WE'RE GOING TO BE ABLE TO BUY BEFORE THE END OF THIS FISCAL YEAR.

SO WE'RE JUST ROLLING THAT $180,000 INTO THE APPROVED EXPENDITURES FOR NEXT YEAR.

WE'RE ALSO GOING TO REPLACE TWO HVAC UNITS OVER AT THE GYM.

WHY CAN'T WE JUST EXECUTE THAT NOW? THE 180, THE BUSSES AND VANS? WE'RE GOING THROUGH THE BIDDING PROCESS NOW.

WE'RE GOING THROUGH THE BIDDING PROCESS NOW.

SO BUT WE SHOULD BE ABLE TO EXECUTE THAT.

I THOUGHT THAT WAS A BUY BOARD.

THE PROBLEM IS. SPENT BUDGET ITEM.

I MEAN, WE CAN START THE BALL ROLLING NOW.

WHAT SHE'S TALKING ABOUT IS WE'RE NOT SURE THAT WE'LL BE ABLE TO TAKE DELIVERY.

WE HAVE TO TAKE DELIVERY AND MAKE THE PAYMENT WITHIN THIS FISCAL YEAR.

AND IF THAT CAN'T HAPPEN, IT HAS TO PUSH TO NEXT.

SO WE PUSH THAT MONEY TO NEXT YEAR JUST TO MAKE SURE, BUT WE'RE GOING TO WORK ON IT TODAY.

I THOUGHT THERE WAS A BUY BOARD FOR PURCHASE OF VEHICLES OR SOMETHING LIKE THAT THAT WE DIDN'T NEED TO DO THE BID PROCESS.

IS THAT CORRECT? THERE IS A BUY BOARD FOR VEHICLES.

WE STILL GO OUT AND AT LEAST GET A SECOND BID.

AND WE'VE SENT THAT OUT.

WE TALKED TO GARY. I'VE DONE AN EMAIL WITH GARY.

WE'VE GOT THE REQUIREMENTS ON THE VAN WE'VE SENT OUT AND ASKED FOR SOME BIDS FROM THESE BY BOARD VENDORS.

WE'RE WAITING ON THOSE BIDS TO COME BACK.

OKAY, EXCELLENT.

THANK YOU. ALL RIGHT.

THE THIRD THING ON HERE IS GOING TO BE A PHASED IN FURNITURE REPLACEMENT.

WE DID A SMALL PART OF THAT CURRENT YEAR.

WE'RE JUST GOING TO KEEP THAT ROLLING NEXT YEAR.

AND THEN THE LAST THING ON HERE IS A LITTLE LESS THAN $20,000 FOR THOSE IT PERIPHERALS THAT GET USED UP AND AREN'T EVER REALLY EXPECTED TO NOT WORK. SO IF SOMETHING HAPPENS, WE NEED TO HAVE DOLLARS PROGRAMED OVER THERE BECAUSE THE SCHOOL CAN'T OPERATE WITHOUT SOME OF ITS IT INFRASTRUCTURE.

IS THIS ALREADY IN THE BUDGET NUMBERS THAT YOU PREPARED? IT IS. IS IT IN ADDITION? THIS IS ALREADY INSIDE.

ALL RIGHT. AND THEN BEFORE WE MOVE ON TO OUR NEXT TOPIC, WHAT OTHER QUESTIONS ON THE ACADEMY BUDGET DO WE HAVE TODAY? WHAT'S THE NEXT TOPIC THE TAX RATE? YES. LOOK, I'LL TELL YOU, I KNOW WE ALL HAVE DIFFERENT OPINIONS AND COMING FROM DIFFERENT PLACES, I LOVE THIS FORMAT.

I AGREE WITH THESE GUYS.

I WANT TO LOOK, WE HAVE SCARS CLEARLY FROM WHAT WE INHERITED AND WHAT'S HAPPENED.

WE EXPECT YOU GUYS TO PUT THOSE CONTROLS IN PLACE AND BE ABLE TO ANSWER THESE QUESTIONS.

BUT I LOVE THESE FORMATS.

WE CLEARLY UNDERSTAND THE DRIVERS OF THE REVENUE AS WELL AS THE EXPENSE.

SO THIS IS YOUR FIRST BUDGET, BOTH OF YOU, FIRST BUDGET SEASON WITH US.

SO THANK YOU.

THANK YOU.

THANK YOU. WELCOME.

YEAH, THANKS, CASEY.

I JUST WANTED TO ADD, I THINK IT WOULD HELP AS LIKE AN ORGANIZATIONAL EXERCISE LIKE WHAT MIGHT HELP US ALL KNOW WHAT WE'RE GOING TO RECEIVE ON THESE. IF YOU DON'T HAVE THE FULL PACKET READY TO GO, MAYBE EVEN JUST OUTLINING WHAT YOU INTEND TO SHOW SO THAT EVERYBODY CAN TAKE A QUICK LOOK AND SAY LIKE, OKAY, THAT HAS BOTH THE SUMMARY LEVEL DATA AND THE GRANULAR DATA THAT I'M LOOKING FOR IS JUST AN EASIER SNAPSHOT THAN MAYBE OTHER MEANS OF HAVING PEOPLE HAVING TO COME IN AND HAVE CONVERSATIONS WITH YOU ABOUT WHAT THEY WANT TO SEE, JUST LIKE A DETAILED OUTLINE, THIS IS WHAT WE'RE HOPING TO COVER.

[01:25:01]

THIS A SUGGESTION.

AND THEN THE LAST COMMENT I HAVE, I'M THE [INAUDIBLE] SIMPLICITY.

BUT LOOK, WE MOST OF US GOT IN OFFICE A LITTLE OVER A YEAR AGO.

WE CLOSED OUT, CORRECT ME IF I'M WRONG, FOUR AND A HALF.

I THINK WE CAME INTO OFFICE.

THE BUDGET WE INHERITED WAS A $5 MILLION DOLLAR LOSS BUDGET.

THAT HAS CHANGED TO A BREAK EVEN, IF NOT A LITTLE GAIN.

AND THEN THIS ONE SHOWING WHERE $7 MILLION TO THE GOOD.

I AM VERY HAPPY ABOUT WHERE THIS IS GOING.

THE CONTROLS WE'RE GETTING IN PLACE, THE PROTOCOLS WE'RE GETTING IN PLACE AND ALL THE WORK YOU WERE DOING.

THANK YOU. THANK YOU.

I'M SURE OUR RESIDENTS THANK YOU AS WELL.

SO. ALL RIGHT.

SO WE'VE GOT AT LEAST A COUPLE OF CHANGES.

WE KNOW THAT WE NEED TO MAKE BAKING IN THE SPED PARA PROFESSIONAL AND GETTING YOU ALL MORE DETAILS.

NEXT MONDAY, WE ARE SLATED TO HAVE A PUBLIC HEARING ON THE ACADEMY BUDGET AND THAT'LL BE FOLLOWED BY A VOTE BY YOU ALL.

ALL RIGHT. AND NOW WE'RE GOING TO COMPLETELY SWITCH GEARS AND GO OVER TO TAX RATE STUFF.

SO THE CURRENT RATE FOR TAX YEAR 23, WHICH IS THE SAME FISCAL YEAR 23, IS GOING TO BE $0.16788.

WHENEVER WE ARE TALKING ABOUT TAX RATES, WHAT YOU'LL SEE TODAY ARE GOING TO BE PRELIMINARY CALCULATIONS.

WE HAVE THE TAX ASSESSOR COLLECTOR FROM TARRANT COUNTY DESIGNATED AS OUR OFFICIAL CALCULATOR.

THEY LEGALLY HAVE UNTIL AUGUST 4TH TO GET US THE FINAL CALCULATION AND MAKE SURE THAT OUR DEBT RATE SPECIFICALLY IS EXACTLY WHERE IT NEEDS TO BE.

SO BETWEEN NOW AND THE END OF THE WEEK, YOU'LL GET AN UPDATE ON THESE NUMBERS THAT YOU'RE ABOUT TO SEE, BUT THEY SHOULDN'T CHANGE TOO MUCH.

AND THEN ONE OF THE THINGS TO ALWAYS KEEP IN MIND IS AS A GOVERNING BODY, WE DO SET THE TAX RATE.

WE DO NOT SET THE APPRAISED VALUES THAT COMES FROM THE DIFFERENT APPRAISAL DISTRICTS.

THEY'RE COMPLETELY SEPARATE ORGANIZATION.

WE HAVE NO SWAY WITH THAT.

ON THESE THE APPRAISED VALUE OF PRETTY MUCH DOUBLED FOR EVERYONE.

WE HAVE A TOWN EXEMPTION AND OUR TOWN EXEMPTION IS ONLY LIKE 50,000 OR SOMETHING LIKE THAT.

SHOULD WE ADJUST THE TOWN EXEMPTION HIGHER TO OFFSET SOME OF THAT STUFF.

OTHER TOWNS HAVE DONE THIS STUFF.

LEGALLY THAT'S NOT AN OPTION FOR YOU THIS YEAR.

WE DO HAVE TO HAVE THAT VOTED ON BY JUNE EVERY YEAR BECAUSE THAT HAS TO BE PROVIDED TO THE ACTUAL TARRANT COUNTY.

OKAY. AND THAT'S STATE STATUTE.

MAYBE WE SHOULD LOOK AT THAT FOR NEXT YEAR AS AN OPTION TO OFFSET SOME OF THE STUFF.

THEY REALLY RECALIBRATED THESE APPRAISED VALUES ALMOST DOUBLE IN SOME PLACES.

SO JUST TO BE FAIR, IN MY OPINION, IT'S WORTH EXAMINING.

BUT. YEAH, BUT THE EXEMPTIONS ARE ALL DONE BY THE TAXING UNIT.

SO TARRANT HAS AN EXEMPTION AND EVERYONE GOT.

THE ITEM THAT WAS JUST PASSED AT THE STATE LEVEL DOES NOT AFFECT OUR SIDE OF THINGS.

IT ONLY IMPACTS THE SCHOOL DISTRICTS ON THEIR HOMESTEAD EXEMPTIONS.

AND SO OUR HOMESTEAD EXEMPTION IS I DON'T KNOW WHAT IT IS FOR WESTLAKE.

IT'S LIKE 50,000 OR 75,000 OR SOMETHING LIKE THAT.

AND AT THIS POINT IN TIME, WE STILL HAVE THE LEGISLATIVE AUTHORITY WITH YOU ALL TO INCREASE THAT.

BUT IT WOULD BEHOOVE US TO LOOK AT THAT, YOU KNOW, AND IT WOULD IT WOULD DECREASE OUR OVERALL TAXABLE VALUE THAT YOU SEE.

SO YOU SEE A MARKET VALUE ON THAT STATEMENT.

YOU SEE A TAXABLE VALUE.

BUT WE'RE ALSO HINDERED BY THAT THREE AND ONE HALF PERCENT CAP.

SO IT REALLY WON'T CHANGE OUR REVENUES, BUT IT WILL CHANGE THAT TAXABLE VALUE THAT.

ALL RIGHT. AND THEN JUST SOME INFORMATION THAT I THOUGHT THAT WOULD BE VERY IMPORTANT TO YOU ALL AND THE PUBLIC AS WELL.

WE GET THOSE VALUES FROM THE APPRAISAL DISTRICTS THAT ARE LEGALLY REQUIRED TO BE DELIVERED BY JULY 25TH EVERY YEAR.

THEY WERE LOVELY AND GOT THEM TO US A DAY EARLY.

SO WE WERE VERY HAPPY ABOUT THAT.

WHAT IS IMPORTANT TO NOTE ON HERE IS IN AGGREGATE, OUR TOTAL NET TAXABLE VALUE.

SO FOR ALL PROPERTY IN THE TOWN IS $2.5 BILLION DOLLARS.

AND THAT'S A PRETTY HEFTY INCREASE OVER PRIOR YEAR.

A LOT OF THAT DOES HAVE TO DO WITH COMMERCIAL AND IT ALSO HAS TO DO WITH A LOT OF NEW RESIDENTIAL THAT CAME ON TO OUR PROPERTY ROLLS FOR TAX YEAR 24.

ALL RIGHT. AND THEN THE LAST THING ON HERE, WHICH I'M SURE IS WHAT'S MOST CONCERNING TO ANYBODY THAT WOULD BE WATCHING THIS IS GOING TO BE THE AVERAGE HOME TAXABLE VALUE IS JUST

[01:30:02]

NOW, THE APPRAISED VALUES ARE CAPPED AT 10% YEAR OVER YEAR.

SO IF YOU'VE BEEN IN YOUR HOME WITH A HOMESTEAD EXEMPTION FOR LONGER THAN A YEAR, THEN YOU ARE CAPPED AT YOUR TAXABLE VALUE AT 10%.

THIS IS A LITTLE OVER THAT BECAUSE OF THAT NEW RESIDENTIAL CONSTRUCTION THAT WE HAD ADDED TO THE ROLL.

THE THING THAT YOU MIGHT ALSO WANT TO KNOW AS A HOMEOWNER IS THAT THE MARKET VALUE WENT UP 20% TO A LITTLE OVER 3.1 MILLION.

SO ONE OF THE BIG THINGS TO ALWAYS KNOW, WHENEVER YOU DO GET THAT TAX BILL IN THE MAIL, WHAT YOU'LL SEE FIRST IS GOING TO BE THAT HIGH NUMBER THAT IS YOUR MARKET VALUE, AND THEN YOU'LL START SEEING THAT TAXABLE VALUE THAT IS USED TO ACTUALLY CALCULATE YOUR TAX BILL THAT YOU HAVE TO PAY EVERY YEAR.

ALL RIGHT. AND NOW WHENEVER WE START TALKING ABOUT THE RATE ITSELF, THERE'S TWO PARTS THAT WE LEGALLY HAVE TO ADOPT.

YOU'LL HEAR THE TERMS I&S AND M&O, I&S IS INTEREST IN SINKING.

THAT IS THE PORTION OF THE RATE THAT IS SET SPECIFICALLY ONLY AT A LEVEL THAT WILL COVER OUR PRINCIPAL AND INTEREST REQUIREMENTS ON OUTSTANDING DEBT FOR THE NEXT FISCAL YEAR.

THE OTHER SIDE OF IT IS THE M&O OR THE MAINTENANCE AND OPERATIONS, AND THAT'S WHAT IS A LOT OF OUR GENERAL FUND REVENUE THAT WE TALKED ABOUT EARLIER, THAT 4.1 MILLION IS GOING TO BE ALL INCLUSIVE OF THOSE TWO PARTS.

THE OTHER FUN THING THAT WHENEVER WE START SEEING THE CONTROLLERS FORM THAT WE GET BACK FROM THE ASSESSOR COLLECTOR, YOU'LL SEE A LOT OF DIFFERENT RATES.

BUT ONE OF THEM TO BE REALLY MINDFUL OF IS ALWAYS GOING TO BE ON THAT M&O SIDE.

SO WADE MENTIONED THAT THERE'S A REVENUE CAP.

A FEW YEARS AGO, THE LEGISLATURE'S PUT IN A CAP OF 3.5% AGGREGATE REVENUE YEAR OVER YEAR ON EXISTING PROPERTY. SO THERE'S A FAIRLY COMPLEX CALCULATION THAT WE HAVE TO DO IN ORDER TO SAY IF THIS HOME WAS ON OUR TAX ROLL LAST YEAR AND IT'S ON THIS YEAR, AND IF THAT WAS THE ONLY PIECE OF PROPERTY WE HAD IN TOWN, THEN LEGALLY WE COULD ONLY INCREASE REVENUES 3.5% AND OUR RATE WOULD BE SET, HOWEVER, THAT ALGEBRA WORKS OUT.

ALL RIGHT. AND THEN WHENEVER WE ALSO TALK ABOUT THAT REVENUE CAP, ONE THING JUST TO BE MINDFUL OF, WHENEVER WE'RE TALKING LONG TERM, IT'S NOT A HUGE CONCERN THIS UPCOMING YEAR. BUT AS PROPERTY VALUES CONTINUE TO INCREASE, EVENTUALLY THAT RATE IS GOING TO HAVE TO START COMING DOWN JUST BECAUSE OF THE WAY THE MATH WORKS. IF PROPERTY VALUES GO UP, TAX RATES HAVE TO GO DOWN IN ORDER TO COLLECT THE SAME NUMBER OF DOLLARS.

SO JUST SOMETHING TO KIND OF KEEP IN THE BACK OF YOUR BRAIN FOR FUTURE YEARS.

ALL RIGHT. AND NOW WE'RE GOING TO START TALKING ABOUT I&S TAX RATES.

SO ONE OF THE HANDOUTS THAT YOU HAVE AT THE DAIS, IT'S ALSO ALREADY ATTACHED ON THE AGENDA IN THE PACKET IS A LOVELY LITTLE TAX RATE SCENARIO.

YOU'LL SEE A COUPLE OF BOXES THERE, ALL DIFFERENT COLORS.

BUT THE FIRST THING TO NOTICE IS THE SCENARIO ONE, AND THAT'S KEEPING EVERYTHING FLAT.

SO STARTING THERE, WHAT YOU'LL SEE IS AN I&S RATE OF SEVEN POINT ALMOST NINE CENTS.

SO THAT MATH HAS BEEN DONE, LIKE I SAID, IN ORDER TO COLLECT EXACTLY THE NUMBER OF DOLLARS WE NEED TO PAY OUR PRINCIPAL AND INTEREST REQUIREMENTS FOR NEXT YEAR.

WE'RE LOOKING AT THAT.

7.9 CENTS.

WE ARE LOOKING AT THAT FOR FOUR DIFFERENT ISSUANCES.

WE HAVE SEVERAL MORE ISSUANCES, BUT A LOT OF THOSE ARE PAID BY SALES TAX AND NOT PROPERTY TAX.

SO IT DOESN'T GET FACTORED INTO THE I&S RATE.

AND I'LL HAVE SOME MORE INFORMATION ON THOSE SPECIFIC ISSUANCES HERE IN A MOMENT.

BUT IN ORDER TO ENSURE THAT WE ARE LEVYING ENOUGH DOLLARS TO PAY FOR THE MODULAR BUILDING.

AND THAT TAX NOTE IS A SEVEN YEAR REPAYMENT THAT YEAR, ONE REPAYMENT HAPPENS NEXT YEAR OF ALMOST $600,000.

WHENEVER WE'RE TALKING ABOUT THE SPLIT BETWEEN I&S AND M&O, WE DID HAVE TO MOVE ONE AND A HALF CENTS FROM THE M&O PORTION OVER TO THE I&S PORTION, WHICH LEAVES US LESS WIGGLE ROOM AS FAR AS ANY KIND OF OPTION TO LOWER THE RATE.

ALL RIGHT. AND NOW WHENEVER WE'RE TALKING ABOUT THE DEBT REQUIREMENTS, THIS IS ONE WAY TO LOOK AT IT.

THIS IS TALKING ABOUT THE NUMBER OF DOLLARS THAT WILL BE GOING OUT THE DOOR NEXT YEAR FOR DEBT PAYMENTS.

SPECIFICALLY ON THE BOX TO THE RIGHT THE IMPORTANT TAKEAWAYS THERE ARE HOW THOSE DOLLARS ARE GOING OR HOW THOSE DEBT PAYMENTS ARE BEING FUNDED.

SO THE FIRST ONE UP THERE IS GOING TO BE THOSE SALES TAX REQUIRED OR SALES TAX BACKS REQUIRED.

SO ONLY 1.6 MILLION.

WE DIDN'T ADD ANYTHING FOR THIS NEXT YEAR.

AND IN FACT, WE'VE GOT SOME ROLLING OFF.

[01:35:01]

AND AGAIN, THAT DOES INCLUDE THE TAX NOTE FOR THE MODULAR BUILDINGS THAT WE JUST ISSUED.

AND THEN THE LAST IS GOING TO BE THE UTILITIES BACKED REQUIREMENTS.

SO ANY OF THOSE INFRASTRUCTURE ITEMS THAT WE DO SPECIFICALLY FOR WATER AND SEWER INFRASTRUCTURE, WE'RE ABLE TO PAY OUT OF OUR UTILITY FUND AND THAT GETS FACTORED INTO OUR RATE SETTING EVERY YEAR.

THE PROPERTY TAX BACK, THE 1.8 IS THAT'S SUPPOSED TO BE THE I&S OFFSET, CORRECT? THAT IS THE I&S PORTION.

THAT IS WHAT'S NEEDED. WHY DO YOU CALCULATE TO 1943 IF THE REQUIREMENTS IS JUST 1816? SO THE REQUIREMENTS ARE JUST PRINCIPAL AND INTEREST WE'RE ALLOWED TO CALCULATE, INCLUDING SOME AGENCY FEES.

AND AGAIN, THESE ARE PRELIMINARY.

SO I'M GOING TO ASK THAT WE WITHHOLD ALL JUDGMENT UNTIL WENDY SAYS BECAUSE SHE'S CERTIFIED AND IS VERY GOOD AT WHAT SHE DOES.

GOT YA. ALL RIGHT. ON THE NEXT SLIDE.

THIS IS JUST A DIFFERENT AGGREGATE PICTURE OF OUR DEBT IN GENERAL.

WE HAVE SEVERAL OUTSTANDING ISSUANCES OF VARIOUS AMOUNTS, VARIOUS REVENUE SOURCES, VARIOUS USES, AND THEN WE'VE GOT DIFFERENT REPAYMENT SCHEDULES. SO WHAT I WANT TO REALLY SHOW WITH THIS IS THE MAJORITY OF OUR OUTSTANDING DEBT IN NUMBER OF ISSUANCES HAS TO DO WITH THE ACADEMY, BUT THE MAJORITY OF ACTUAL OUTSTANDING DEBT HAS TO DO WITH THE UTILITIES RIGHT NOW.

AND SO WHENEVER YOU SEE ONE OF THESE BARS UP HERE THAT'S MOSTLY BLUE, THAT TELLS US THAT WE ARE NOT VERY FAR ALONG IN OUR REPAYMENT SCHEDULE.

AND SO WHENEVER WE'RE TALKING ABOUT DEBT YEAR OVER YEAR, WE'LL STILL BE SETTING I&S RATES, WE'LL STILL BE MAKING SURE THAT WE SET ASIDE SALES TAX DOLLARS AND WE'LL STILL BE FACTORING THE DEBT INTO OUR UTILITIES RATE ANNUALLY.

DO YOU ALL HAVE ANY QUESTIONS ON DEBT BEFORE WE GO? NO, BUT OPTICALLY, OBVIOUSLY, OUR PUMP STATION IS 25 YEARS OLD NOW.

PROBABLY GOING TO HAVE TO START PLANNING FOR ITS REPLACEMENT.

AND WE'RE ALREADY MAXED OUT IN OUR DEBT FOR THE PUMP STATION ALREADY.

DO THE WATER RATES NEED TO GO UP TO ACCOUNT FOR THIS.

THAT'S SOMETHING WE'LL DO IN THIS NEXT YEAR, RIGHT, AS WE DO ANOTHER RATE STUDY TO ENSURE THAT WE'RE PREPARED.

WE GOT TO GET A NEW DIRECTOR OF PUBLIC WORKS IN HERE WITH SOME ENGINEERING BACKGROUND.

HAVE A GOOD LOOK AT THOSE PUMP STATIONS AND GIVE US AN ACTUAL LIFESPAN FOR THOSE THINGS.

AND WHAT WE NEED TO DO AS FAR AS OUR ABILITY TO HAVE REDUNDANT SYSTEMS AS WELL.

RIGHT. I MEAN, IF WE DECIDE TO LIVE OFF OF CONTRACT SERVICES LIKE WE DO TODAY, RIGHT.

FOR ANY THE MAJOR LEAKS, MAJOR REPAIRS THAT ARE NEEDED.

YOU MIGHT WANT TO MAKE SURE YOU HAVE SOME REDUNDANT SERVICES IN PLACE BECAUSE IT'S GOING TO TAKE A LITTLE LONGER TO GET THOSE LEAKS FIXED BECAUSE WE'RE WAITING ON A CONTRACTOR TO COME IN. SO THOSE ARE ALL THINGS THAT WE NEED TO DISCUSS WHEN WE GO INTO THE PLANNING MODEL FOR NEXT YEAR.

AND PART OF THE REASON THAT STRATEGIC PLANNING IS SO IMPORTANT FOR US.

MOVING IN THAT DIRECTION.

MAKE SURE THAT YOU HAVE THE REVENUES TO COVER WHAT WE NEED.

ALL RIGHT. AND NOW WE'RE GOING TO GO THROUGH JUST A COUPLE OF DIFFERENT OPTIONS THAT WE THOUGHT YOU MIGHT WANT TO CONSIDER AS FAR AS DIFFERENT TAX RATES THAT YOU COULD SET.

THIS IS SUMMARIZED ON THAT PAGE THAT'S GOT THE DIFFERENT COLORED BOXES FOR YOU.

SO SCENARIO ONE IS WHAT THE BUDGET THAT YOU'RE SEEING TODAY IS BASED ON.

IT'S BASED ON A FLAT RATE OF $0.167880 AND WHAT THAT DOES, AS I SAID, IS MOVE ONE AND A HALF CENTS FROM THE MAINTENANCE AND OPERATIONS OVER TO THE DEBT PAYMENT TO ENSURE THAT WE'RE COVERING THAT NEW DEBT THAT WE'LL HAVE TO PAY FOR NEXT YEAR.

IT ALSO MEANS THAT WE'RE KEEPING THE M&O OR THE GENERAL FUND REVENUE PRETTY FLAT.

AND WE'RE ABLE TO DO THIS WITHOUT MAKING ANY SERVICE LEVEL CHANGES.

A LOT OF THAT HAS TO DO WITH THOSE CUTS THAT WE MENTIONED EARLIER IN BOTH PERSONNEL AND OPERATING COSTS ON THE TOWN SIDE.

EVEN IF WE KEEP IT FLAT, THOUGH, KIND OF THE TAKEAWAY HERE IS BECAUSE PROPERTY VALUES ARE GOING UP, THE AVERAGE HOMEOWNER IS PROBABLY GOING TO SEE $365 INCREASE ANNUALLY TO THEIR TOWN TAX RATE.

SO NOT MUCH IN THE GRAND SCHEME OF THINGS.

ALL RIGHT. ANOTHER OPTION FOR YOU TO CONSIDER IS SCENARIO TWO.

THIS INCREASES THE TAX RATE JUST A LITTLE BIT.

IT DOES PUT AN EXTRA SET AND A HALF OVER IN THE I&S SIDE SO THAT WE'RE COVERING THE DEBT THERE.

BUT IT DECREASES THE M&O RATE BY LESS THAN A CENT, AND SO WHAT THAT GETS US IS THE ABILITY TO CAPTURE ALL OF THE NEW CONSTRUCTION IN ADDITION TO ALL THE EXISTING CONSTRUCTION OR ALL THE EXISTING PROPERTY VALUE.

AND WHY THAT'S IMPORTANT IS FOR THAT REASON THAT I MENTIONED EARLIER.

AS WE KEEP GOING YEAR OVER YEAR, THAT 3.5% REVENUE CAP IS ON EXISTING PROPERTY VALUES, NOT ON NEW RATES.

[01:40:05]

IS THAT THE HIGHEST RATE WE CAN DO TO NOT BREACH THE THREE AND ONE HALF PERCENT LIMIT? IS THAT WHAT YOU'RE SAYING? IT IS NOT.

OKAY. SO THE PRELIMINARY RATES THAT WE'VE CALCULATED ARE SIGNIFICANTLY HIGHER THAN WHAT WE'RE CHARGING OR EVEN PROPOSING HERE WITH THE 17 CENT RATE.

WHENEVER WE'RE TALKING ABOUT VOTER APPROVED TAX RATES BECAUSE OF THAT SALES TAX, NOT REIMBURSEMENT, BUT THE HALF CENT THAT LOWERS THE RATE THE WAY THAT THE COMPTROLLER'S CALCULATION FACTORS THAT IN THAT SAYS, WELL, IF THE RESIDENTS OF WESTLAKE DECIDED THEY DIDN'T WANT THEIR SALES TAX DOLLARS TO DO THAT ANYMORE, WE COULD THEN THE NEXT YEAR RAISE THE TAX RATE IN ORDER TO RECAPTURE THOSE DOLLARS IN REVENUE.

AND SO BECAUSE OF THAT, WE'RE LEGALLY ALLOWED TO CHARGE ALMOST $0.30 WITHOUT VOTER APPROVAL.

BUT WE WOULD NOT RECOMMEND THAT EVER.

OKAY. BUT WOULD THAT NOT BREACH THE 3.5% THRESHOLD? IT WOULD. SO DO WE KNOW WHAT JUST OUT OF CURIOSITY, IF WE WERE TO HIT THAT THREE AND ONE HALF PERCENT LIMIT, DO YOU KNOW WHAT THAT RATE WOULD BE? I WANT TO SAY IT WAS AROUND $0.19, BUT I WILL GET YOU THAT A LOT OF HEADROOM. OKAY.

ALL RIGHT. AND THEN GOING WITH THIS NOMINAL INCREASE RESULTS IN AN INCREASE FOR THE AVERAGE HOMEOWNER OF $550 ANNUALLY.

ALL RIGHT. AND THEN THE THIRD SCENARIO THAT WE ARE PRESENTING TODAY IS IF YOU CHOSE TO LOWER TAXES, WHAT WOULD THAT LOOK LIKE? SO WHAT WE COULD DO IS MOVE THAT CENT AND A HALF OVER TO THE I&S RATE.

AND THEN WHAT WE WOULD DO IS WE WOULD DECREASE THE M&O JUST A LITTLE BIT TO MAKE IT ALMOST EXACTLY $0 YEAR OVER YEAR FOR M&O EXPENSES. AND YOUR AVERAGE HOMEOWNER WOULD STILL SEE AN INCREASE OF ABOUT $340 A YEAR.

AND SO WHENEVER WE'RE LOOKING AT KIND OF THE BENEFITS AND THE DIFFERENT OPTIONS HERE SIDE BY SIDE, REALLY WHAT YOU'RE SEEING IS 16.7 VERSUS 17.6 VERSUS 16.7.

SO REALLY NOT A WHOLE LOT OF DIFFERENCES IN WHAT IT IS WE'RE PROPOSING.

WHENEVER WE ARE TALKING ABOUT WHAT WE HAVE TO DO TODAY, WHAT WE'RE REALLY ASKING OF YOU ALL IS WHAT IS THE MAXIMUM TAX RATE YOU WOULD CONSIDER, NOT NECESSARILY THE ONE YOU WOULD VOTE ON ULTIMATELY ADOPT.

SCENARIO ONE SHOULDN'T THAT BE THE 4.143 MILLION TOTAL LEVY.

BECAUSE OTHERWISE YOU'RE INCREASING THE TAX RATE, BUT YOU'RE ACTUALLY DECREASING THE LEVY.

YES, I WOULD THINK THAT I TRANSPOSED THE FOUR AND THE ONE.

NO, NO. I JUST WANTED TO CHECK. I WAS.

BUT YOU CAN SEE HERE, FOR THE AVERAGE HOMEOWNER IN TOWN, THE BILL, NO MATTER WHAT SCENARIO YOU GO WITH, DOESN'T REALLY MOVE THE NEEDLE.

SO WHEN DO WE VOTE ON THIS? DID YOU SAY? SO THE MAXIMUM TAX RATE WOULD BE VOTED ON NEXT WEEK AND WE WOULDN'T VOTE ON THE ACTUAL TAX RATE UNTIL SEPTEMBER 11TH.

AND THAT'S THE $0.16 QUESTION.

THAT'S THE RATE WE'RE DISCUSSING.

OKAY. SO.

OKAY. AND SO WHAT STAFF WOULD RECOMMEND IS THAT SCENARIO TWO, WHICH IS THAT SLIGHT INCREASE IN ORDER TO MAKE SURE THAT WE'RE CAPTURING THAT NEW GROWTH THAT'S BEING ADDED TO THE ROLL.

WITHOUT HAVING THAT 3.5% CAP HIT US ON THAT NEW PROPERTY NEXT YEAR.

SO THAT WOULD BE THE 4.35 LEVY.

OKAY. BUT YOU BUDGETED SO FAR FOR SCENARIO ONE? CORRECT . AND SO AGAIN, ON YOUR SHEET HERE, I'VE GOT EACH ONE OF THOSE COMPARED TO THE CURRENT YEAR TAX RATE AND LEVY.

JUST ALL IN ONE SNAPSHOT.

I MEAN, THERE'S NO POINT IN RAISING TAXES WITH A $7 MILLION DOLLAR SURPLUS.

WELL, I WAS GOING TO SAY THE SAME THING.

I MEAN, THE SCENARIO ONE, I MEAN, YOU CAPTURE THE I&S THAT YOU NEED, KEEP THE RATE THE SAME.

IT'S BEEN THE SAME FOR FIVE YEARS.

FOUR YEARS. I MEAN, WITH THE 7 MILLION SURPLUS.

BUT WHAT DON'T WE KNOW? THE PUMP STATION WE JUST TALKED ABOUT.

THAT'S HAD THE WATER BILLS.

THAT'S ON WATER BILLS.

YEAH. AND SO, YOU KNOW, THAT'S THE THING IN MY MIND THAT.

ONE OF THOSE NOTES, IF YOU GO BACK, I THINK THERE WAS A 2017 LOAN NOTE ON YOUR GRAPH THAT SHOULD BE COMING TO HERE.

[01:45:03]

RIGHT. NEXT YEAR SHOULD BE OUR LAST PAYMENT ON THAT SO THAT'LL FREE UP A LITTLE BIT OF HEADROOM.

AND REALLY THE ACTUAL REASON TO RAISE THAT NOMINAL AMOUNT DOESN'T HAVE TO DO WITH THIS YEAR OR EVEN THE NEXT TWO YEARS.

WE ARE ANTICIPATING THAT INCREASE IN PERMIT FEES FROM DELOITTE, BUT THAT'S FINITE.

SO THIS IS JUST MAKING SURE THAT WE'RE SETTING OURSELVES UP NOT TO BE IN A POSITION TO MAKE SOME HARDER CHOICES IN 3 OR 4 YEARS.

I HAVE TO BE HONEST, CASEY, I'M LEANING TOWARDS SCENARIO ONE ONLY BECAUSE I FEEL LIKE NOW THAT WE HAVE A BETTER LINE OF SIGHT ON WHERE OUR DOLLARS ARE GOING, WE CAN ACTUALLY GET MORE VALUE PER DOLLAR IN THE NEXT YEAR OR TWO.

SO LOOKING FOR SAVINGS AND AND SEEING WHAT ELSE HAPPENS IN THE MARKET.

SO THAT'S WHERE I'M AT.

OKAY. ANYTHING ELSE? AND SO WHENEVER WE'RE TALKING ABOUT VOTING NEXT WEEK, AM I UNDERSTANDING THAT COUNCIL WOULD PREFER TO VOTE AS A MAXIMUM TAX RATE, THE CURRENT ONE THAT'S IN PLACE? OR DO WE WANT TO SAY THE MAXIMUM TAX RATE THAT YOU MIGHT CONSIDER IS SCENARIO TWO AND THEN HAVE MORE DISCUSSION WHENEVER WE GET THE NUMBERS BACK FROM THE ASSESSOR COLLECTOR .

YEAH. CAN YOU JUST ON YOUR SCENARIO TWO, CAN YOU JUST EXPLAIN THE I UNDERSTAND THE 0787 ON THE I&S, BUT WHAT'S THE LOGIC OF THE ARBITRARY NUMBER? LIKE WHY SET THE M&O WHERE IT'S 0.09.

SO WHAT WE'VE DONE THERE IS LOOK AT A NO NEW REVENUE MAINTENANCE AND OPERATIONS RATE.

AND SO WHAT THAT DOES IS IT SETS A TAX RATE THAT SAYS HERE'S ALL OF THE EXISTING PROPERTY ON YEAR ONE VERSUS YEAR TWO.

WE'RE CAPPED AT THREE AND ONE HALF PERCENT PLUS.

THEN HERE'S ALL THE NEW CONSTRUCTION THAT WAS ADDED TO THE OVERALL ROLL.

SO THAT TWO AND ONE HALF BILLION DOLLAR AMOUNT INCLUDES SOME PROPERTY THAT WAS NOT ON THE TAX ROLL THE PRECEDING YEAR.

AND IN ORDER TO MAKE SURE THAT WE'RE CAPTURING THAT AND NOT HAVING THAT GET CAPPED THE FOLLOWING YEAR AT THE THREE AND ONE HALF PERCENT, THAT IS THE NO NEW REVENUE M&O RATE THAT'S BEING PROPOSED THERE.

SO EFFECTIVELY WHAT THAT'S SAYING IS THAT THERE'S ABOUT $200,000 WORTH OF LEVY ON NEW CONSTRUCTION THAT HASN'T BEEN ON OUR ROLL PREVIOUSLY THAT WE COULD CAPTURE WITH THIS RATE.

OKAY. BUT YOU'RE ACTUALLY DECREASING THE M&O FROM LAST YEAR.

CORRECT. IS IT BECAUSE CERTAIN BONDS CAN BE FUNDED OUT OF I&S? IS THAT WHAT IT IS? THAT IT GIVES YOU MORE LATITUDE THAT WAY? IT'S A COMBINATION OF THINGS, BUT FOR THE MOST PART IT'S BECAUSE WE HAVE THESE VALUES THAT ARE RISING.

WHICH IS CAUSING THE TAX RATE TO COME DOWN JUST IN THE LONG RUN.

AND WE HAVE AN ABILITY FROM THE LEGISLATURE TO SAY FOR NEW CONSTRUCTION VALUE THAT'S ADDED TO OUR TAX ROLL YEAR OVER YEAR, WE'RE NOT PENALIZED AT THAT AGGREGATE REVENUE BECAUSE AS MORE PROPERTY COMES ONLINE, MORE SERVICES HAVE TO BE EXTENDED TO THOSE HOMEOWNERS OR BUSINESSES.

BUT A LOT OF THE THINGS COMING ONLINE HAVE THESE TEN YEAR TAX ABATEMENTS.

AND SO IT'S REALLY.

I MEAN, JUST FOR THE SAKE OF, WHAT, $200,000 IN REVENUE TO CHANGE THE HEADLINE RATE, I JUST DON'T KNOW.

IT'S NOT WORTH IT. IT'S NOT WORTH IT.

AGREED. ALL RIGHT, THEN.

I'VE HEARD FROM THE MAJORITY.

SO THAT'S WHAT WE'LL GO WITH.

AND THEN AGAIN NEXT MONDAY AT THE REGULAR MEETING, YOU'LL HAVE A MOTION WHERE YOU VOTE ON A MAXIMUM TAX RATE TO CONSIDER.

THAT RECORD VOTE WILL BE PUBLISHED IN THE PAPER SAYING YOU ALL VOTED ON A TAX RATE.

SO JUST TO WARN YOU, DO YOU HAVE TO PUT IT AS A TAX INCREASE? YES, BECAUSE THERE'S MORE REVENUE.

SO WE JUST.

CAN WE REALLY? YEAH. CAN WE JUST MAKE SURE THAT'S WELL EXPLAINED? YES. I'LL BE WORKING CLOSELY WITH JOHN AND AARON TO MAKE SURE THAT WE'VE GOT MESSAGING AROUND THAT.

BUT JUST TO WARN YOU ALL, BECAUSE IT'LL BE YOUR NAMES IN THE PAPER.

AND THERE'S ALSO A GREAT DIAGRAM THAT, YOU KNOW, AMERICAN DOLLAR SHOWING HOW MUCH GOES TO THE TOWN, IF YOU COULD INCLUDE THAT? I WILL WORK WITH THEM ON THAT.

[01:50:05]

AND SO AGAIN, WE'LL MAKE SURE THAT WE GET ALL THOSE LINE ITEM DETAILS BACK OUT TO YOU ALL.

HAPPY TO SIT DOWN AND ANSWER ANY QUESTIONS.

WE CAN PROGRAM THEM AND PRESENT THEM HOWEVER WE NEED TO NEXT WEEK.

AND ON THE TOWN SIDE, THERE'S A LITTLE MORE WIGGLE ROOM AS FAR AS THE TIMELINE BECAUSE YOU ALL AREN'T TAKING ANY ACTION UNTIL SEPTEMBER.

OKAY. SO ON HERE, THE HEADLINE ON REVENUES IS WE'RE LOOKING AT 32.9 MILLION IN REVENUES.

THAT HAS THAT $9.1 MILLION DOLLARS SALES TAX PROJECTION, THE 4.143 ON THE PROPERTY TAX.

AGAIN, THAT ASSUMES THE TAX RATE IS FLAT.

SO WE WON'T HAVE TO MAKE ANY CHANGES THERE.

BUT IT DOES INCLUDE DELOITTE DEVELOPMENT FEES.

WE'RE PROJECTING THOSE TO BE ABOUT $4 MILLION DOLLARS FOR NEXT YEAR.

AND AGAIN, THAT'S NOT A RECURRING REVENUE.

THAT'S ONLY GOING TO BE OVER THE NEXT COUPLE OF YEARS AS THAT DEVELOPMENT HAPPENS.

AND THEN WE'VE GOT THE WATER SEWER CHARGES THAT ARE GOING TO BE AT ABOUT 5.7.

AND WHAT WE DO EVERY YEAR AS FAR AS THE UTILITY FEES ARE, WE'LL COME BACK IF WE DECIDE TO CHANGE RATES FOR WHATEVER REASON, WE CAN COME BACK AND AMEND THOSE REVENUES TO BE IN LINE WITH WHAT THOSE FEES THAT WE CHANGE.

ALL RIGHT. AND THEN WHENEVER WE'RE LOOKING AT EXPENDITURES, WE'RE LOOKING AT ABOUT 25.9 MILLION IN EXPENDITURES.

THAT'S GOING TO BE ALL OF OUR FUNDS.

THAT INCLUDES THOSE SALARY INCREASES, INCLUDES THE DIFFERENT CHANGES THAT WE MADE TO PERSONNEL AS FAR AS SHORING UP AND THE 13% INCREASE ON HEALTH CARE.

AND IT INCLUDES THE 6.25 FTES THAT HAVE BEEN CUT.

THAT TOTAL 25 MILLION DOES INCLUDE THE ACADEMY EXPENSES THAT ARE INCLUDED IN THE TOWN BUDGET ON THE DETAILS UNDERNEATH THE TOWN SIDE OF THE BUDGET.

IN ADDITION TO ALL THOSE DIFFERENT DEPARTMENTS THAT YOU SAW EARLIER, COUNCIL, FIRE, FINANCE, IT, WHAT YOU'LL ALSO SEE IS THE DEPARTMENT LABELED WESTLAKE ACADEMY, AND THAT'S WHERE ALL OF THEIR DEBT PAYMENTS, THEIR SHARED SERVICES ARE GOING TO BE LOCATED.

AND THEN IF WE BACKED ANY OF THAT OUT, THE TOWN ONLY EXPENDITURES WOULD BE AT ABOUT 19.7.

JUST FOR YOUR OWN EDIFICATION, WE'RE ALL ONE ORGANIZATION.

SO 25 IS REALLY THE NUMBER.

ALL RIGHT. AND THEN WHENEVER WE'RE TALKING ABOUT THE DIFFERENT UPDATES, AGAIN, THINKING ABOUT THE TOWN, WE'VE GOT A LOT MORE FUNDS THAN THE SCHOOL DOES.

AND SO WE KIND OF HAVE TO HAVE CONVERSATIONS ABOUT EACH OF THEM.

AND THE REASON THAT'S IMPORTANT IS BECAUSE A LOT OF THOSE DIFFERENT FUNDS ARE IN PLACE BECAUSE THEY HAVE RESTRICTED REVENUES, MEANING THAT VERY SPECIFIC REVENUES CAN ONLY BE SPENT ON VERY SPECIFIC THINGS.

SO WHENEVER WE'RE SAYING WE'VE GOT A $7 MILLION DOLLAR SURPLUS FOR NEXT YEAR, THAT DOES NOT MEAN THAT IT'S FREE MONEY TO SPEND ON WHATEVER WE LIKE.

OUT OF THAT 7 MILLION, ONLY 3.9 OF IT IS TRULY UNRESTRICTED AND THAT'S ON THE GENERAL FUND SIDE OF THINGS.

MM. SO WHERE'S THE REST OF IT GO? SO THE REST OF IT HAS TO DO WITH THE DIFFERENT FUNDS THAT WE HAVE.

AND THERE MIGHT BE CERTAIN THINGS LIKE FOR SALES TAX, THAT HAS TO BE PROGRAMED INTO A DIFFERENT FUND BECAUSE IT'S THAT HALF CENT THAT IS SPECIFICALLY FOR ECONOMIC DEVELOPMENT.

IF WE DON'T HAVE EXPENDITURES THAT ARE IDENTIFIED AT THE TIME OF BUDGET, WE'RE NOT GOING TO PROGRAM DOLLARS IN THERE JUST TO HAVE THEM.

WHAT WE'RE GOING TO DO THEN IS COME BACK TO Y'ALL WITH A BUDGET AMENDMENT AND SAY WE HAVE BETTER INFORMATION, WE HAVE A NEW OPPORTUNITY.

THIS IS GOING TO BE A FORMAL REQUEST TO AMEND THE BUDGET.

THAT WAY WE'RE NOT, LIKE I SAID, JUST KIND OF PADDING THE BUDGET AND SITTING ON DOLLARS.

DO WE HAVE A BREAKDOWN OF THE 43 FOUR THE OF ALL THE MONEY THAT WE HAVE IN THE BANK ACCOUNT NOW WE HAVE 6 MILLION FOR THE UTILITIES.

WE HAVE 7 MILLION FOR WESTLAKE ACADEMY.

WE HAVE A BUNCH OF BREAKDOWNS.

IS THAT THE NEXT ONE ON A SLIDE COMING UP HERE? THAT WE DON'T HAVE AS PART OF THIS CASH BALANCE IS A LITTLE DIFFERENT THAN FUND BALANCE, BUT NOT BY MUCH.

YEAH, BUT CAN WE GET THAT JUST SO WE ALL CONCEPTUALLY CAN SEE? YEAH. WHEREAS WE HAVE $1 MILLION DOLLARS IN THERE FOR AN ART FUND.

$300,000 FOR ART.

OR SUBJECT. I THINK WE HAVE A LONE STAR.

THANK YOU FOR BRINGING THAT UP. YES.

AS PART OF THE PROPOSED BUDGET, EACH FUND WILL HAVE ITS FUND BALANCE, PROJECTIONS INCLUDED.

ALL RIGHT. AND THEN WHENEVER WE TALK ABOUT CAPITAL, THE CAPITAL ITEMS ON THIS PAGE ARE ALREADY INCLUDED IN THE BUDGET RIGHT NOW.

I'VE BROKEN THEM OUT REALLY JUST TO HELP UNDERSTAND ON HOW BETTER AN EXAMPLE OF RESTRICTED CASH IS.

[01:55:04]

THAT INCLUDES $50,000 FOR SELF-CONTAINED BREATHING APPARATUSES THAT NEED TO BE REPLACED OVER AT THE FIRE STATION.

IT INCLUDES SAM SCHOOL ROAD RECONSTRUCTION, ABOUT $250,000.

AND THEN RIGHT NOW, WE DO HAVE GLENWYCK FARMS IN THE ENTRYWAY INCLUDED AT $150,000.

BUT WE PUT THIS PRESENTATION WITH THESE NUMBERS TOGETHER ON THURSDAY.

AND THEN I THINK FRIDAY, WE GOT INFORMATION THAT THAT MAY NEED TO COME DOWN.

SO WE'RE GOING TO BE REFINING THAT NUMBER PARTICULARLY.

THAT NUMBER WAS ORIGINALLY $250,000 IN LAST YEAR.

DO YOU REMEMBER THAT YOU SAID THESE ARE ALREADY INCLUDED IN THE BUDGET? THEY ARE. WHERE DO THEY FALL UNDER? FACILITIES? NO, THESE ARE THE ALL RIGHT. WHICH PAGE ARE YOU LOOKING ON? I'M JUST LOOKING AT THE. YOU KNOW.

WANT TO KNOW WHERE THEY'RE BUDGETED BASICALLY.

IT'S JUST OTHER USES. IT'S IN THE.

SO FOR THE MOST PART IT'S OTHER USES OR IT'S OPERATING JUST IN DIFFERENT FUNDS.

ALL RIGHT. AND THEN THE NEXT THING ON HERE, WE'VE GOT A COUPLE OF ITEMS FOR UTILITY FUND.

WE STILL HAVE A LITTLE OVER $400,000.

SO OUR ENTIRE ALLOCATION OF ARPA FUNDS, WE HAVE NOT SPENT ONE OF THE QUALIFYING USES OF ARPA FUNDS IS WATER AND SEWER INFRASTRUCTURE. SO WE CAN BE USING THAT IF YOU ALL ARE GOOD WITH IT TO HELP OFFSET SOME OF THESE COSTS ON THE UTILITY SIDE SPECIFICALLY, THERE'S THE GENERATOR AND SOME EQUIPMENT REPLACEMENT THAT NEEDS TO HAPPEN OUT OF THE PUMP STATION.

WHERE DO ARPA FUNDS COME FROM? THE FEDERAL GOVERNMENT. THE FEDERAL GOVERNMENT.

WHAT AGENCY? SO THEY'RE DISPERSED TO US BY TATUM ON BEHALF OF THE FEDERAL GOVERNMENT.

BUT THAT WAS PART OF THE.

WAS THIS FROM THE INFRASTRUCTURE ACT OF? THIS PREDATES THE INFRASTRUCTURE ACT.

DID WE APPLY FOR THIS? NO, THIS WAS SOMETHING THAT THE FEDERAL GOVERNMENT DID A COUPLE OF YEARS AGO AND JUST SAID EVERYBODY GETS SOME BASICALLY.

BUT THERE WAS ONLY FOUR QUALIFYING USES FOR IT.

LUCKILY, WE'VE GOT SOME OF THOSE IDENTIFIED AND CAN USE THAT AND NOT HAVE TO WORRY ABOUT IT SITTING ON OUR BOOKS BECAUSE THERE'S ALSO SOME SPENDING TIMELINE RESTRICTIONS ON IT.

FOR THE PUMP STATION GENERATOR WADE, WHAT'S THE IS IT LIKE AN 18 OR 25 WEEK LEAD TIME? BUT WHAT'S THE TIMING ON THIS BEFORE THEY EXPIRE? IF WE DON'T SPEND IT, THEY TAKE IT BACK.

WE HAVE TO HAVE IT ALLOCATED. CORRECT.

BY 25.

YES. YEAH, WE HAVE TIME.

WE JUST WANT TO MAKE SURE, PARTICULARLY WITH SOME OF THESE LONGER LEAD TIMES ON SOME OF THE BIG STUFF THAT WE'RE PROGRAMING IT AS EARLY AS WE CAN AND JUST GETTING IT OFF OUR BOOKS, FILING OUR REPORT AND GOING ON.

ALL RIGHT. AND SO NEXT THING THAT WE CAN KIND OF START TALKING ABOUT, THINKING ABOUT THE 3.9 THAT'S UNRESTRICTED FROM THE GENERAL FUND, MOST OF THAT WE THINK IS ATTRIBUTED TO ONE TIME REVENUES, SPECIFICALLY SOME OF THOSE DELOITTE FEES.

AND SO WITH THAT IN MIND, WE'VE STILL GOT A LIST OF ITEMS THAT WE'D LIKE YOU TO CONSIDER.

THAT WOULD BE WHAT WE CONSIDER ONE TIME USES.

FOR THE MOST PART, WE CALL THEM INTERNALLY SLAS OR SERVICE LEVEL ADJUSTMENTS.

THESE ARE ADDITIONAL ASKS OVER EVERYTHING THAT YOU'VE ALREADY SEEN.

THEY ARE NOT CURRENTLY BAKED INTO ANY BUDGET.

AND SO ONE OF THE THINGS ON HERE THAT IS IMPORTANT TO NOTE ALSO, WE HAD A LIST THAT WE PRESENTED AS PART OF THE PACKET IN JUNE.

WE'VE REFINED THAT LIST THAT THERE ARE LESS ASKS AND WE'VE GOT SOME MORE INFORMATION FOR YOU.

WE DO HAVE SOME REPEATS ON THERE THOUGH, AS WELL.

AND THE ONLY REASON THOSE THINGS ARE ON THERE IS BECAUSE WE TOOK OUT THE THINGS THAT WERE OBVIOUS THAT WE PRETTY SURE THAT ALL OF COUNCIL WOULD AGREE UPON.

BUT BECAUSE THERE WAS NOT A MAJORITY OF COUNCIL AT THAT MEETING ON THE 22ND, WE JUST WANTED TO RUN IT PAST YOU ONE MORE TIME JUST TO MAKE SURE THAT WE HAVE A GOOD VOTE FROM COUNCIL ON THIS STUFF.

NOT AN ACTUAL VOTE, BUT AN ACTUAL DIRECTION FROM COUNCIL ON THESE ITEMS SO WE CAN MAKE SURE THAT WE'RE MARCHING IN THE RIGHT DIRECTION.

AND AGAIN, WE'VE GOT SOME MORE TIME ON THIS SINCE WE'RE NOT ADOPTING UNTIL SEPTEMBER.

SO IF COUNCIL NEEDS MORE INFORMATION OR LONGER DISCUSSION ON ANY OF THESE, WE'RE HAPPY TO HAVE THAT.

ALL RIGHT. AND SO THEN JUST.

SO THAT I'M NOT INUNDATING YOU ALL WITH A MILLION THINGS ON EVERY SINGLE SLIDE.

WE'VE BROKEN IT DOWN A LITTLE BIT.

AND IF YOU DO HAVE ANY QUESTIONS TODAY, WE'VE GOT SOME OF THE DEPARTMENT HEADS THAT THESE HAVE BEEN BROUGHT FORWARD BY THAT CAN ANSWER ANY MORE DETAILED QUESTIONS.

SO STARTING OFF WITH THE STRATEGIC PLAN REQUEST.

SURE. SO WE ACTUALLY HAD A MEETING THIS LAST WEEK WITH ONE OF THE VENDOR THAT WE COULD POSSIBLY CHOOSE FOR A STRATEGIC PLAN.

[02:00:06]

LOOK, I THINK WE COULD DO A HIGH LEVEL LOOK ON OUR OWN AND THERE'S A BIG PORTION OF THIS I THINK THAT WE CAN DO IN-HOUSE TO SAVE US SOME CASH AS WELL.

BUT I WOULD LIKE TO BRING IN A THIRD PARTY GROUP TO HELP US RUN THIS STRATEGIC PLAN.

SEVERAL DAYS OF THIS, THIS WOULD BE GETTING TOGETHER WITH SOME CITIZENS, GETTING TOGETHER WITH COUNCIL ON BOTH THE SCHOOL AND THE TOWN'S STRATEGIC PLAN FOR THE NEXT 3 TO 5 YEARS. AND THEN THEY WOULD ALSO GET WITH THE DIRECTORS AND HELP US WITH THE FORMULATION OF A WORK PLAN.

BUT REALLY, WE'RE LOOKING FOR MORE THAN JUST DIRECTION HERE.

WE'RE LOOKING FOR ACTUAL GOALS, OBJECTIVES, AND THEN LET STAFF START WORKING ON THOSE STRATEGIC INITIATIVES TO GET US TO THOSE GOALS AND OBJECTIVES.

A LOT OF THAT'S DONE IN HOUSE, BUT A LOT OF THE DISCUSSION AND THE BRINGING OUT OF THAT INTRICACY INSIDE THOSE INSIDE EACH ONE OF THOSE DISCUSSIONS IS I THINK AN OUTSIDE THIRD PARTY HELPS US WITH THAT.

EVERY THIRD PARTY THAT I'VE LOOKED AT TO BRING IN IS AROUND THIS PRICE RANGE, AND EACH OF THEM HAVE SOMEONE THAT'S SPECIFIC TO SCHOOL AND WITHOUT A HEAD OF SCHOOL RIGHT NOW, THAT WAS ONE OF THE THINGS THAT I WAS REALLY WORRIED ABOUT AS WELL.

I WANT TO BRING IN A COMPANY THAT WOULD BRING IN A SUPERINTENDENT FROM A SCHOOL DISTRICT OR SOMETHING LIKE THAT THAT THEY HAVE ON STAFF, AND THEY CAN ACTUALLY HELP US GET INTO THOSE INTRICACIES THAT WE MIGHT NOT ASK, WE MIGHT NOT THINK TO ASK OF OURSELVES, BUT THAT THEY WOULD AS WE THINK ABOUT THE FUTURE PLAN FOR THAT FOR THE SCHOOL, WHICH OBVIOUSLY HAS A HIGH IMPACT ON THE TOWN.

DO YOU THINK IT WOULD BE BETTER TO WAIT UNTIL WE HAD A HEAD OF SCHOOL IN PLACE BEFORE WE DO THIS EXERCISE? IT COULD BE, BUT REALLY, THE HEAD OF SCHOOL, I SEE HIM AS MUCH LIKE MYSELF AS THE CEO OF THE SCHOOL, RIGHT.

WHERE I'M THE CEO OF THE TOWN.

YOU GUYS ARE SETTING DIRECTION AND IT'S REALLY OUR JOB TO GET US TO THAT DIRECTION.

SO A GOOD DISCUSSION ON THE DELIVERABLES.

YES, WE NEED TO SEE, YOU KNOW, IF YOU'RE LOOKING AT KPIS AND THINGS LIKE THAT, THAT'S SOMETHING THAT'S DEFINITELY WITHIN THE WHEELHOUSE OF YOUR PRINCIPALS AND OF YOUR HEAD OF SCHOOL. BUT WHEN YOU'RE TALKING ABOUT WHETHER OR NOT YOU WANT TO HAVE 1500 KIDS OR 1000 KIDS AT THE SCHOOL, YOU'RE TALKING ABOUT WHAT BUILDINGS AND INFRASTRUCTURE YOU THINK YOU WOULD LIKE TO HAVE.

THAT'S REALLY A VOTE FOR THE BOARD AND A DECISION FOR THE BOARD OF DIRECTION THAT'S GIVEN TO US.

AND THEN WE GO OUT AND MAKE THOSE PLANS.

SO WE PAID FOR A SCHOOL STRATEGIC PLAN FROM 5 TO 6 YEARS AGO.

CAME UP BIG CAME OUT LIKE $55 MILLION.

UM, BUT I THINK IT WOULD BE WORTH LOOKING AT WHAT WE'VE ALREADY PAID FOR AT TIMES.

JUST FIVE YEAR OLD DATA IS PRETTY OLD IN STRATEGIC PLANNING.

I MEAN, THREE YEARS OUT IS A PRETTY GOOD GUESS, YOU KNOW? BUT ONCE YOU START GETTING FIVE YEARS OUT, IT GETS FOGGIER AND FOGGIER.

SO I'D BE.

WE WILL DEFINITELY DO THAT MAYOR.

WE'LL DEFINITELY GO OUT AND PULL UP WHAT WE HAVE BEFORE.

THE OTHER PIECE IS, I MEAN, BASICALLY WITH THE LAST TWO DEVELOPMENTS ARE APPROVED OR ABOUT TO BE APPROVED.

RIGHT. MOST OF THE NON HILLWOOD OWNED LAND HAS BEEN ACCOUNTED FOR AND DEVELOPED.

SO OBVIOUSLY.

[INAUDIBLE] AS PART OF THIS DISCUSSION.

I WOULD I'M SURE THEY HAVE A PLAN.

I'M SURE THEY DO HAVE A PLAN.

WE WE HAVE THE ABILITY TO CHOOSE SOME OF THAT DIRECTION FOR THEM THROUGH OUR ZONING.

RIGHT? SO I THINK IF WE DECIDE THAT WE WANT A CERTAIN PERCENTAGE ZONE FOR COMMERCIAL VERSUS RESIDENTIAL, IF WE WANT A CERTAIN AREA OF TOWN THAT'S GOING TO BE RESIDENTIAL VERSUS COMMERCIAL, WE DON'T WANT APARTMENTS, WE DON'T WANT THOSE KIND OF THINGS IN CERTAIN AREAS.

I THINK THAT'S ALL THINGS THAT WE CAN DO THROUGH OUR ZONING AND WHICH WOULD BE A PART OF THAT.

BUT IF THEY CHOOSE TO DO NOTHING, THEN THIS WILL JUST KIND OF AGE AND NOT BE OF MUCH VALUE.

THAT'S TRUE, BUT IT WOULD KEEP US FROM APPROVING SOMETHING THAT BUT I THINK IF THEY CAME TO US WITH A BIG PLAN, THEN I THINK IT WOULD MAKE SENSE TO THEN SIT DOWN AND LOOK AT THIS COMPREHENSIVELY.

BUT I DON'T THINK THEY'RE COMING TO US YET.

OKAY. THAT'S MORE ON THE COMPREHENSIVE PLAN PIECE WHEN WE TALK ABOUT THE DENSITIES AND THE ZONING.

I DO THINK AND I KNOW THEY MENTIONED ALREADY, IT'D BE GOOD TO SEE WHAT WE HAVE ON THE SCHOOL AND LAST COMPREHENSIVE.

HOW LONG AGO WAS THE LAST COMPREHENSIVE PLAN? THE MAYOR SAID FIVE YEARS AGO.

THE COMPREHENSIVE PLAN WAS 2015.

THE MAYOR MENTIONED A STRATEGIC PLAN FOR THE SCHOOL THAT WAS FIVE YEARS OLD.

YEAH, AND IT CAME OUT SUPER EXPENSIVE.

SO WE WERE TOLD IT WAS JUNK AND WE SHOULDN'T LOOK AT IT, BUT IT'S OUT THERE SOMEWHERE.

SO I THINK WE SHOULD LOOK AT THAT.

I WANT TO KIND OF UNDERSTAND WHAT THESE DOCUMENTS ARE.

AND I DO THINK WE NEED BEST FOR THE SCHOOL.

WE NEED TO COME UP WITH A PLAN FOR THE SCHOOL.

WHAT IS THAT SCHOOL GOING TO BE WHEN IT GROWS UP? YOU KNOW THE TOWN. AND LOOK, I WOULD.

[02:05:01]

WHY WOULDN'T THEY? RIGHT.

I DIDN'T KNOW THAT WE HAD A STRATEGIC PLAN FROM FIVE YEARS AGO FOR THE SCHOOL, SO I'D LIKE TO SEE THAT AS WELL.

I KNOW A LOT OF OLDER FOLKS IN MY NEIGHBORHOOD HAVE COMPLAINED ABOUT NOT HAVING ANY STREETLIGHTS, SO THAT'S SOMETHING TO THINK ABOUT WITH THE COMPREHENSIVE PLAN LATER ON.

SURE. OKAY. ALL RIGHT.

ANY OTHER QUESTIONS ON THE STRATEGIC PLAN OR THE COMPREHENSIVE PLAN PROPOSALS? OKAY. ALL RIGHT.

AND NOW ON PERSONNEL, THERE'S JUST TWO ASKS HERE WE HAVE A.

SO JUST TO CLARIFY, ARE YOU GOING TO LEAVE THIS OFF THE BUDGET FOR THE TIME BEING? CORRECT. OKAY. AND SOMETHING ELSE TO JUST KIND OF REITERATE ANY OF THESE THINGS THAT IF WE'RE NOT COMFORTABLE APPROVING THEM WITH THE ADOPTION OF THE BUDGET, IF WE GET MORE INFORMATION, MAYBE WE START GOING DOWN A PATH AND WE REALIZE THAT WE DON'T HAVE THE DOCUMENTATION THAT WE NEED TO MAKE GOOD DECISIONS.

AGAIN, WE CAN COME BACK AND AMEND FOR THESE DURING THE YEAR.

ALL RIGHT. AND SO ON THIS SLIDE, THESE HAVE TO DO WITH ALL THE PEOPLE THAT MAKE US UP.

AND SO THE FIRST THING ON HERE IS UPGRADING A CURRENTLY BUDGETED HOURLY POSITION TO BE THE PUBLIC WORKS DIRECTOR.

SO WE DIDN'T WANT TO MAKE INCREASES TO ANY OF THE PERSONNEL THAT'S ALREADY BUDGETED WITHOUT COMING TO YOU ALL AND MAKING SURE THAT YOU ALL WERE CLEAR ON WHAT THAT MEANS.

SO RIGHT NOW WE'VE GOT FOUR PEOPLE IN PUBLIC WORKS BUDGETED.

THE FTE COUNT WOULD STAY THE SAME.

WE'RE JUST UPGRADING ONE HOURLY POSITION TO A DIRECTOR POSITION.

SO THAT'S JUST A PROMOTION OF SOMEBODY WHO'S ALREADY THERE? NO, SIR. WE DON'T HAVE ANYONE IN THAT POSITION RIGHT NOW.

WE WOULD BRING SOMEBODY IN FROM OUTSIDE.

AND THIS INCLUDES TOTAL BENEFIT PACKAGE.

YES, THIS IS JUST AN INCREASE OVER WHAT'S CURRENTLY.

IT'S HARD TO RECRUIT THESE PUBLIC WORKS GUYS.

BUT YOU SAID THE FTE DOESN'T CHANGE.

CORRECT. THE COUNT OF PEOPLE DOESN'T COUNT.

WE WOULD SAY WE'RE NOT GOING TO FILL THE HOURLY POSITION.

INSTEAD, WE'RE GOING TO UPGRADE THAT POSITION TO BE A DIRECTOR.

SO IS THIS THE NET INCREASE OR IS? YES. OVER THE NET INCREASE? YES. SO THE ISSUE IS PUBLIC WORKS, GUYS ARE COVETED AND YET EVERY CITY TRYING TO ROB EACH OTHER TO GET IT.

SO THEY'RE HAVING TO MAKE THE JOBS MORE DESIRABLE TO MAKE IT HAPPEN.

SO. SO WHAT DO WE THINK THE SALARY IS? IT'S GOING TO BE IN THE 130 DIRECTOR SALARY RANGE.

SO FOR US IT'S AROUND THE 130 RANGE.

OKAY. AND THIS MAKES US MORE EFFICIENT.

HANDLE THIS. THIS ALLOWS US TO DO MORE OF THE PLANNING IN-HOUSE AND LESS OF OUR RELYING ON OUR OUTSIDE ENGINEERS TO HELP US WITH THINGS THAT WE SHOULD BE DOING IN-HOUSE ANYWAYS. OKAY.

DO WE KNOW WHAT WE SPEND ON OUTSIDE ENGINEERS? I CAN GET THAT NUMBER FOR YOU.

OKAY. ALL RIGHT.

AND THEN THE NEXT ITEM ON THIS LIST IS THE CLASS AND COMPENSATION STUDY.

SO THIS WOULD BE A COMPREHENSIVE LOOK AT ALL OF OUR SALARIES.

SO NOT JUST THE TOWN, NOT JUST THE SCHOOL, SOMETHING THAT COULD BE LOOKED AT.

NOT ONLY IS JUST THE COST AND OUR DIFFERENT PAY RANGES, MAKING SURE TEACHERS SALARIES COMPETITIVE, THE STIPENDS ARE WHERE THEY NEED TO BE.

PRINCIPALS ARE IN LINE WITH WHERE THEY NEED TO BE SO THAT WE'RE RETAINING AND RECRUITING WHO WE NEED.

SAME THING ON THE TOWN SIDE ARE THE CLASSIFICATIONS THAT WE HAVE IN PLACE, CORRECT.

DO WE NEED TO DO ANY REFINEMENT? DO WE NEED TO ADJUST ANY KIND OF MARKET RATE AGAIN, TO BE COMPETITIVE, PARTICULARLY FOR SOME OF THESE HARDER TO FILL POSITIONS ON THE STEM SIDE OF THINGS? BUT DO WE FEEL WE'RE NOT BEING COMPETITIVE? WE DON'T KNOW THAT. WE'VE NOT DONE THE STUDY YET.

AND THERE'S BEEN A LOT OF MOVEMENT OVER THE PAST SEVERAL YEARS.

BUT I FEEL LIKE WHEN WE GO THROUGH THE ACADEMY BUDGET, I MEAN, DIDN'T HR KIND OF DO THIS EXERCISE OF COMPARING.

THEY LOOKED AT KELLER SOUTHLAKE.

STIPENDS. SO THERE'S A THERE'S A DIFFERENCE BETWEEN THE COMPENSATION STUDY AND THE CLASS STUDY.

SO COMPENSATION WE DO GENERALLY EVERY YEAR WHEN WE'RE BRINGING FORWARD THOSE SALARIES FOR THE ACADEMY, JUST LIKE YOU SAID, WE'LL LOOK AT THE PEOPLE SURROUNDING DISTRICTS AND WE'LL BRING THOSE NUMBERS FORWARD TO YOU.

THE THING THAT'S DIFFICULT TO CAPTURE AND THE REASON THAT YOU NEED A CLASS STUDY IS ANY TIME YOU HAVE A SMALLER ORGANIZATION LIKE WESTLAKE ACADEMY OR THE TOWN, YOU HAVE PEOPLE THAT DON'T WEAR JUST A SINGLE HAT, RIGHT? SO YOU'RE PAYING TEACHERS 125% OF THE SALARY BECAUSE THEY'RE CAPTURING SOMETHING.

WE HAVE A LOT OF STIPENDS FOR EMPLOYEES THAT ARE THAT ARE COACHING FOOTBALL AND DOING THOSE KIND OF THINGS.

RIGHT. THAT'S THE PART THAT YOU NEED SOME HELP WITH THAT NOT EVERYBODY HAS.

AND A FULL CLASS STUDY ACTUALLY TAKES WHAT OTHER DISTRICTS ARE DOING AND THEY BREAK THOSE SALARIES DOWN FOR YOU AND THEY SHOW YOU, HEY, THAT PLUS A PORTION

[02:10:04]

BUT DON'T WE HAVE TWO PEOPLE IN H.R? WELL, THERE'S THAT. BUT THIS IS GOING TO BE A ONE WAY STREET BECAUSE THEY'RE EITHER GOING TO TELL US WE'RE NOT PAYING ENOUGH, SO WE HAVE TO INCREASE PAY OR IF THEY TELL US WE'RE PAYING TOO MUCH, WE'RE NOT GOING TO DECREASE THE PAY.

SO, I MEAN, AND THIS IS GOOD FOR, WHAT, ONE YEAR? WELL, I THINK WHAT YOU DO WITH THIS GENERALLY IS ONCE YOU GET A GOOD IDEA OF HOW TO CATEGORIZE YOUR PEOPLE, THEN ANNUALLY YOU CAN GO BACK ABOUT EVERY THREE YEARS IS WHEN THESE THINGS ARE DONE.

AND THEN ON THOSE OFF YEARS, WE'RE DOING IT INTERNALLY BECAUSE NOW WE'VE GOT HOW THE BREAKDOWN OF THAT POSITION SHOULD BE DIVIDED OUT AND THEN WE CAN GO OUT AND DO THE COMPENSATION STUDY AGAIN AS IT WAS.

THE BIG PART OF THIS DISCUSSION ALSO IS WITH THE BOARD AND WITH COUNCIL TO SAY, WHERE DO YOU WANT TO PAY? DO YOU WANT TO PAY AT THE 50TH PERCENTILE THE AVERAGE OR DO YOU WANT TO PAY AT THE 80TH PERCENTILE TO GET THE BEST OF THE BEST? DO YOU WANT TO PAY AT THE 66TH PERCENTILE? RIGHT. SO A LOT OF THAT DISCUSSION HAPPENS WITH THE COMP AND CLASS STUDY AS WELL, AND THAT JUST ALLOWS US TO SET THOSE THOSE ANNUAL INCREASES WHERE THEY NEED TO BE SO THAT WHEN WE'RE BRINGING FORWARD THESE ANNUAL INCREASES, THERE'S SOME THERE'S SOME MEAT BEHIND.

HAVE WE DONE ONE OF THESE BEFORE? I DON'T KNOW HOW LONG IT'S BEEN SINCE WE'VE ACTUALLY DONE A FULL COMP AND CLASS STUDY AND I DON'T SEE SANDY IN THE ROOM.

DOES ANYBODY WITH SOME HISTORY? SANDY, ARE YOU HERE? I DIDN'T SEE YOU SANDY, YOU'RE ALL THE WAY IN THE BACK.

BUT DO YOU FEEL LIKE THIS IS NECESSARY? I MEAN, I WOULD HAVE THOUGHT, YOU KNOW, MARKET FORCES KIND OF SELF CORRECT.

YOU KNOW, I'M A LITTLE HESITANT TO DO THIS AS WELL, DAVID, BECAUSE I'M NOT SURE THAT THE BENEFITS ARE THERE FOR US.

THERE'S 30 PEOPLE IN THE TOWN.

I MEAN, IF YOU FELT UNDER PAID, YOU'D KIND OF SAY SOMETHING, RIGHT? I MEAN, IT'S LIKE, YOU KNOW WHAT I'M SAYING? OR YOU'D LEAVE OR YOU'D SAY, HEY, I JUST GOT OFFERED.

YOU KNOW, I FEEL LIKE MARKET FORCES ARE PRETTY GOOD.

IT'S SELF REGULATING.

I DON'T KNOW IF AN EXTERNAL GROUP COMING IN FOR 30 GRAND IS.

WELL, THE OTHER THING TOO, IS IT'S APPLES AND ORANGES GIVEN OUR SIZE AND OUR STRUCTURE, IT'S GOING TO BE HARD TO MAKE THAT.

IT'LL BE SOMEWHAT SUBJECTIVE, I THINK.

YOU CAN'T COMPARE US TO TROPHY CLUB OR KELLER OR SOUTHLAKE.

WE HAD THREE SENIOR MANAGERS LEAVE THE TOWN FOR LESSER SALARIES.

SO 20 TO 30% LESS THAN THEY WERE MAKING HERE.

WE'VE MADE I MEAN, WE'VE MADE OUTSIZED INCREASES TO CERTAIN POSITIONS.

SO. HOW MANY TOTAL STAFF AT THE TOWN? ABOUT 30. ABOUT 42, 44.

19 AT THE FIRE STATION? NO. AND THEN THERE'S.

WELL, WHEN WE'RE FULLY STAFFED, IT SHOULD BE AROUND 40 PLUS THE FIRE STATION, PLUS THE.

NO, NO. THAT'S INCLUDING THE FIRE STATION.

SEE I DON'T THINK WE SHOULD NEVER DO ONE.

JUST MAYBE NOT THIS YEAR.

MAYBE IN A COUPLE MORE YEARS RECONSIDER.

WE'RE 50 WITH THE FIRE STATION, RIGHT? YEAH. YEAH. THERE'S ABOUT 30 IN TOWN HALL AND 19 IN THE FIRE STATION.

[INAUDIBLE] WE DO HAVE PEOPLE ON RANGES THAT HAVE UNIQUE POSITIONS THAT WOULD PROBABLY NEED TO BE STUDIED A LITTLE BIT MORE ON THE ACADEMY SIDE.

ON THE TOWN SIDE AS WELL.

AND THAT EXPLANATION OF PEOPLE WEARING MANY HATS WHEN I DO GO OUT AND TRY TO COMPARE AN ACCOUNTANT TO A SURROUNDING MUNICIPALITY, IT IS HARD BECAUSE HERE, YOU KNOW, THEY MAY SAY, OH, ALL I DO IS AP ALL DAY LONG, WELL, NOT HERE.

YOU KNOW, YOU'RE DOING AP, YOU'RE DOING OTHER STUFF.

DO WE HAVE PEOPLE COMING FORWARD AND SAYING THEY'RE NOT BEING COMPENSATED FAIRLY? YES, WE DO.

AND WE'VE HAD TURNOVER.

WHAT'S OUR TURNOVER AT THE TOWN LEVEL? THERE LATELY. I WOULD SAY IT'S PRETTY HIGH IN THE FINANCE AREA ESPECIALLY.

YEAH, BUT. OKAY.

BUT THAT'S NOT DUE TO PAY.

SO, SANDY, NOT TO PUT YOU ON THE SPOT, BUT I'M GOING TO CONTINUE ASKING [INAUDIBLE].

THOSE ARE NUMBERS WE HAVE TO KNOW.

[INAUDIBLE] AND I'M NOT SAYING WE'RE WELL PAID OR UNDERPAID, BUT THAT'S THE KEY DRIVER.

[INAUDIBLE] AND I THINK WE'VE HAD THE STUDIES BEFORE WE'VE STAYED PRETTY STEADY AT ABOUT 8 TO 10%.

BUT IF YOU LOOK AT SCHOOL DISTRICTS, IT'S A IT'S A NORM.

I MEAN, WE WANT OUR FOLKS TO STAY, BUT THERE ARE SO MANY FACTORS THAT GO IN OF EITHER SPOUSES MOVING.

[02:15:06]

BUT EVERYBODY GOES EVERYBODY HAS THOSE ISSUES.

SO IF WE IF YOU TOLD ME THE SCHOOL WAS 8 TO 10% AND I THIS YEAR WAS WINDING DOWN, I WAS COUNTING HEADS THAT LEFT AND IT WAS A HANDFUL AT THE TIME.

THAT'S FINE. THAT IS VERY MANAGEABLE BECAUSE I KNOW SOMEONE'S HUSBAND GOT TRANSFERRED OR WHATEVER.

BUT I WANT TO KNOW THESE NUMBERS AT THE TOWN.

YOU GUYS GO FORWARD.

IT'S REALLY HELPFUL BECAUSE THAT IS TO ME THAT IS A KEY INDICATOR OF HAVING SATISFIED EMPLOYEES.

ARE THEY HANGING AROUND? AND WE CAN GET YOU THOSE NUMBERS.

WE'RE COMPARING A YEAR THIS YEAR.

WE DID HAVE HIGH TURNOVER AT THE TOWN, BUT OF COURSE, THAT WAS FOR MANY DIFFERENT REASONS AND WAS WE'LL GO THROUGH IT.

AND WE KNOW MOST OF THE STORIES.

THE OTHER THING I WOULD SAY IS FROM MY MATH, YOU GUYS HAVE DONE ABOUT A 12% IMPROVEMENT IN THE STAFF HERE IN THE TOWN REDUCTIONS.

THAT'S GREAT.

WE NEED ONE. IS THERE ANOTHER SLIDE? WE'RE ALMOST DONE. HOME STRETCH.

PROMISE. ALL RIGHT, SO THE LAST GROUPING UP HERE HAS TO DO WITH TECHNOLOGY THINGS.

THE FIRST ONE ON HERE IS REPLACING OUR ERP SYSTEM.

WE SIGNED THAT CONTRACT IN 2003 FOR OUR FINANCIAL SYSTEM.

IT DOES NOT HAVE THE CONTROLS IN PLACE THAT I THINK A USEFUL SYSTEM SHOULD HAVE.

IT MAKES ME VERY NERVOUS AND I WOULD VERY MUCH LIKE TO REPLACE SOMETHING WITH ESTABLISHED CONTROLS.

NERVOUS TO THE TUNE OF $400,000? NO, A $400,000 IS NOT WHAT MAKES ME NERVOUS.

THE ABILITY TO MISPLACE SOMETHING FOR THINGS TO GET APPROVED OUTSIDE OF A SYSTEM DOES MAKE ME NERVOUS.

WE'RE WORKING ON PROCESSES TO COMPENSATE FOR THAT NOW, BUT A GOOD FINANCIAL SYSTEM HAS WORKFLOWS AND AUDIT TRAILS AND VERY CLEAR PROCEDURES.

SO IS THIS HOW MUCH OF THIS IS A ONE TIME FEE AND HOW MUCH IS THIS RECURRING? SO ALL OF THIS IS THE ONE TIME FEE WE WOULD EXPECT THAT ONCE IT GOES LIVE, THE AMOUNT THAT WE PAY NOW FOR SUPPORT THAT WE DO NOT RECEIVE WOULD JUST TRANSITION TO THE NEW COMPANY. THE AMOUNT THAT WE PAY.

SO THERE WOULD BE AN ANNUAL FEE GOING FORWARD.

YES. HOW MUCH IS THAT? SO RIGHT NOW, WE BUDGET $40,000.

AND THAT'S WHAT YOU THINK WOULD STILL BE.

YES. BUT JUST THE ONE TIME $400,000 FOR THE PURCHASE AND IMPLEMENTATION OF THE SOFTWARE.

AND THAT'S AN ESTIMATE RIGHT NOW.

A GOOD RULE OF THUMB TENDS TO BE 10 TO $15,000 PER USER.

AND DOES THAT INCLUDE IF THEY HAVE AN UPDATE, DO WE GET THE UPDATES FOR FREE OR.

SO THIS IS JUST THE OUTRIGHT PURCHASE, IF THERE WERE ANY KIND OF UPGRADES OR UPDATES.

SOME OF IT WOULD BE INCLUDED IN THE ANNUAL MAINTENANCE COSTS.

BUT IF THERE WAS A MAJOR UPGRADE, LIKE IF THEY WERE CHANGING PLATFORMS OR DOING SOMETHING ON THE BACK END THAT REQUIRED DIFFERENT INFRASTRUCTURE, THAT WOULD BE A DIFFERENT.

CAN WE GET A LEASE? SAY AGAIN? CAN WE GET A LEASE OR A PAY FOR SERVICE.

SOFTWARE AS A SUBSCRIPTION MODEL? WE'LL LOOK AT EVERYTHING.

LIKE I JUST I DON'T I DON'T UNDERSTAND THIS ENOUGH, LIKE SOME MORE DETAIL.

BUT WHAT I'M HEARING YOU SAY SOME OF THESE PROBLEMS THAT WE ALL HAVE HAD THAT YOU'RE KIND OF GETTING, YOU'RE HEARING ABOUT OUR CONTROL ISSUES.

THIS IS A THIS IS A SOLUTION FOR THAT.

I LIKE TO SAY ALL THE TIME THAT I WANT TO GIVE EVERYBODY BUMPERS TO BOWL A STRIKE.

AND IF I CAN CREATE A SYSTEM THAT MAKES SURE THAT THEY'RE ROLLING IT DOWN THE MIDDLE EVERY TIME, I'M ABSOLUTELY GOING TO RECOMMEND THAT.

OKAY. YEAH. AND FROM OUR CONVERSATIONS LAST WEEK, CASEY, IT SOUNDS LIKE THIS SOFTWARE NOT ONLY REPRESENTS AN UPGRADE IN TECHNOLOGY AND ACCURACY AND OVERSIGHT, BUT ALSO OF MAJOR TIME SAVINGS FOR YOU.

IS THAT RIGHT? ABSOLUTELY.

RIGHT NOW, IN ORDER TO ISSUE PAYMENT FOR ANYTHING THAT WE BUY, IT HAPPENS IN THREE DIFFERENT SYSTEMS. [INAUDIBLE] SO WOULD THERE BE LESS PEOPLE IN FINANCE? WE'RE NOT SAYING YES OR NO YET.

REMEMBER IN FINANCE THAT WE'RE NOT ONLY DOING ONE THING, WE'VE GOT STAFF THAT IS DEDICATED TO THE ACADEMY AND THE TOWN.

THEY WORK IN SEPARATE SYSTEMS. THEY HAVE SEPARATE FISCAL YEARS, THEY HAVE SEPARATE PROCESSES AND SEPARATE REPORTING.

AND THIS ERP WOULD JUST BE FOR THE TOWN? CORRECT. THE SCHOOL ACTUALLY JUST WENT LIVE WITH THEIR NEW ERP IN JULY OF THIS YEAR.

WHAT ARE THEY USING? THEY'RE GOING TO USE EFINANCE GOING FORWARD.

AND SO WHY WOULD WE NOT HAVE THE SAME SYSTEM? THERE ARE INNATELY DIFFERENT CONSIDERATIONS WHENEVER IT COMES TO THE BOOKS.

SO SPECIFICALLY, THE ACADEMY HAS A PRESCRIBED CHART OF ACCOUNTS THAT THEY HAVE TO DO.

THEY ALSO DO A LOT MORE GRANT REPORTING.

[02:20:01]

HOW MUCH WAS THEIR SYSTEM? WE DID A I THINK IT WAS ABOUT $80,000 FOR THE.

CONSULTANT AND TO LOOK AT OUR DIFFERENT OPTIONS.

WE DID LOOK AT THAT WAS $80,000 OVER FOR A FEW YEARS.

NO, I'M SORRY. IT WAS $30,000 RIGHT NOW.

WHEN WAS THAT, ACTUALLY? WHEN WAS THAT APPROVED? WE STARTED THAT IN 2021.

OKAY. AND SO THIS IMPLEMENTATION OF THE ERP WOULD REQUIRE A PERSON TO DO IT TOO.

CAUSE THAT'S WHAT WE LEARNED FROM POWER SCHOOL AND EVERYTHING ELSE.

POWER SCHOOL MY UNDERSTANDING WAS THAT WAS NOT EXACTLY IT DIDN'T GO SMOOTHLY AND WE WERE TOLD WE SHOULD PLAN ON TWO YEARS FOR IMPLEMENTATION AND THE POWER SCHOOL WE BUT MY UNDERSTANDING WAS WE HADN'T THE STAFF THAT CORRECTLY.

RIGHT? WE HAD REPORTS FROM OUR CONSULTANT THAT WE PAID THAT WE NEEDED TO INCREASE OUR STAFFING, BUT WE DID NOT HAVE THE FUNDING TO DO THAT.

CASEY ARE YOU CONFIDENT THAT WE COULD IMPLEMENT THIS WITHOUT HAVING TO PUT A SEARCH FIRM OUT TO GET YOUR ERP? YES, I GOT A COUPLE OF PROPOSALS BACK.

THERE ARE FIRMS THAT WILL ACTUALLY WRITE THE ERP, PUT IT OUT FOR BID ALL THE FUN STUFF, LINE UP DEMOS AND EVERYTHING, AND THEY COME AT THE LOW, LOW PRICE OF $70,000 AND I HUNG UP ON THEM.

OKAY, SO YOU SAID WE WOULD DO THOSE THINGS IN HOUSE.

THE COST OF FINANCE FOR SCHOOL WAS HOW MUCH UPFRONT EFINANCE AND POWER SCHOOLS, A STUDENT INFORMATION SYSTEM AS WELL AS THE ERP SIDE TO IMPLEMENT. IT WAS 140, $138,000.

THAT WAS FOR IMPLEMENTATION AND ONGOING.

I DON'T RECALL. IT'S AROUND 35 TO $40,000 A YEAR.

HOW DO WE PURCHASE THE SOFTWARE OR IS THAT A SUBSCRIPTION? IT'S 35 TO $40,000 PER YEAR.

OKAY. SO IT'S A HOSTED PLATFORM.

SO IT'S BASICALLY A SUBSCRIPTION.

BUT WHAT ARE WE. SO YOU SAID THEY'LL UPDATE THE SOFTWARE, BUT THERE'S NO IT'S NOT LIKE A SUBSCRIPTION SERVICE.

SO WE HAVEN'T GONE THROUGH THE RFP AND DEMO PROCESS YET.

WHATEVER WE BROUGHT FORWARD WOULD ALSO COME WITH AN ACTUAL FINANCING MODEL.

IN TERMS OF IMPLEMENTATION OR TRAINING.

IS THAT GOING TO REQUIRE OUTSIDE CONSULTANTS, PEOPLE TO HELP? IT WOULD DEPEND ON WHICH SYSTEM WE WENT WITH.

IF WE GOT SOMETHING THAT WAS MUCH MORE MATURE AND INVOLVED, IT COULD POSSIBLY REQUIRE THAT.

OKAY. OKAY.

SO YOU'LL JUST GET MORE INFORMATION ON THIS? ABSOLUTELY. AND THIS IS REALLY JUST KIND OF A PRELIMINARY APPROVAL TO SEE WHAT KIND OF UPGRADES, UPDATES Y'ALL WILL ALLOW FOR THE FINANCE SYSTEM.

OKAY. AGAIN, WE CAN COME BACK AND AMEND ONCE WE HAVE A PROPOSAL, IF EVERYBODY'S MORE COMFORTABLE WITH THAT.

THAT WAY WE HAVE THOSE DOLLARS IN FRONT OF YOU AND YOU WOULD SEE NOT ONLY THE PURCHASE PRICE, BUT ANY ADDITIONAL CONSULTANTS AND ANNUAL COST ALL TOGETHER.

OKAY. RIGHT.

AND THEN THE NEXT ITEM ON HERE IS AN IT AUDIT AND PENETRATION TESTING.

SO THAT WAS A RECOMMENDATION FROM COUNCIL.

WE'VE GOT ON HERE UP TO $30,000 BECAUSE THERE WAS SOME CONVERSATION LAST WEEK ABOUT SOMEBODY BEING ABLE TO DO IT FOR MAYBE A 10TH OF THAT.

SO WE ACTUALLY HAVE A VENDOR THAT WE'LL BE TALKING WITH LATER THIS WEEK THAT MR. SHINER BROUGHT TO US THAT IT WAS A FREE PEN TEST.

WE'RE JUST TRYING TO FIGURE OUT WE'VE GOT A COUPLE OF BIDS IN FROM THEM AND IT LOOKS LIKE IT'S NOT EXACTLY FREE.

IT IS CHEAPER.

WE JUST NEED TO FIGURE OUT EXACTLY WHAT THAT ENTAILS.

BUT I'VE REACHED OUT AND SO HAS JASON TO TWO DIFFERENT COMPANIES.

AND AT $30,000 MARK, WE'RE CONFIDENT WE CAN GET ONE A FULL IT AUDIT AND PENETRATION TESTING FOR $30,000.

BUT YOU'LL BRING IT BACK IF YOU FIND.

THAT'S CORRECT. OKAY. WHEN WE DO OUR ACTUAL AUDITS ? WELL, ONE OF THE THINGS THAT WE WOULD NEED TO WORK OUT AND JASON CAN TALK MORE PROFICIENTLY TO THIS THAN I CAN, IS THE SECURITY ASPECT OF THAT, RIGHT? BECAUSE YOU'RE INVITING SOMEONE IN MOST TRUE PENETRATION TESTS ARE DONE WITHOUT ANY KNOWLEDGE OF OUR SYSTEMS WHATSOEVER.

IT'S A TRUE OUTSIDE PENETRATION TEST.

THE IT AUDIT PORTION WOULD BE MORE OF OUR OUR SYSTEMS AND PRACTICES, NOT NECESSARILY AN INVITE INTO OUR SYSTEM TO DIG AROUND.

I THINK THAT'S THAT'S COUNTERPRODUCTIVE.

DO YOU AGREE? YES. WE DO HAVE.

I WILL TELL YOU, WE DO HAVE SERVICES NOW THROUGH THE FEDERAL GOVERNMENT THAT WE HAVE PENETRATION TESTING THAT HAPPENS EVERY WEEK.

AND IT'S FREE. THERE WAS JUST SOME CONCERNS FROM COUNCIL THAT WANTED FURTHER TESTING DONE.

IS THAT DONE WITH [INAUDIBLE].

YES, IT'S PART OF [INAUDIBLE] AND [INAUDIBLE].

NOW WE ALSO HAVE ANOTHER SERVICE THAT DOES TESTING INTERNAL AND EXTERNAL THAT WE WE CURRENTLY CONTRACT.

I THINK WE JUST NEED MORE INFO.

[02:25:01]

HOW OLD ARE THESE FIREWALLS? THESE ARE FOUR YEARS OLD.

WE HAD A THREE YEAR PAYMENT ON THEM.

AND THEN LAST YEAR, WE JUST HAVE TO HAVE TO PAY YEARLY ON THOSE THE WAY THOSE WORK, IF YOU DON'T PAY FOR THE SOFTWARE SUPPORT, THEY NO LONGER FUNCTION.

THE IT'S ALL SOFTWARE NOW.

IT'S BASICALLY A SUBSCRIPTION MODEL.

IT SHOULD HAVE BEEN BUILT INTO THE ONGOING BUDGET.

IT SHOULD BE IT WAS REMOVED LAST YEAR AND THEN WE'RE PUTTING IT BACK IN THIS YEAR SO WE CAN RENEW THE FIREWALLS WE HAVE NOW.

IT WOULD ACTUALLY BE MORE EXPENSIVE THAN DOING A REPLACEMENT.

A THREE YEAR LASE OR BUY.

WE COULD BUY THEM FLAT OUT, OR WE COULD DO A THREE YEAR LEASE FOR AROUND $67,000.

THE THE REASON IT WOULD BE MORE EXPENSIVE TO KEEP OUR CURRENT FIREWALLS IS THEY'RE OLDER.

SO IT'S REALLY A $67,000 OVER THREE YEARS.

ALL RIGHT. AND IF WE DON'T DO THAT, WE WILL NEED TO SPEND AROUND $70,000 TO RENEW THE FIREWALLS.

SO IT'S KIND OF AN EITHER OR.

NEXT. ANY OTHER QUESTIONS ON THIS ONE? ALL RIGHT. WE'RE AT THE FINISH LINE, Y'ALL.

SO WHAT WE'LL DO NEXT YOU ALREADY ADOPTED THE PAY PLAN FOR THE TEACHERS.

SO WE'RE GOOD ON THAT FIRST POINT THERE.

WE'VE GOT SOME TAKEAWAYS FROM TODAY, INCLUDING ADDING IN THE SPED PROFESSIONAL, GETTING YOU ALL OUT THOSE LINE ITEM DETAILS.

WE'LL DEFINITELY DO THAT THIS WEEK SO THAT YOU ALL HAVE THAT WELL AHEAD OF BUDGET.

WADE AND I'LL MAKE OURSELVES AVAILABLE IF YOU ALL NEED TO COME IN AND HAVE ANY MORE CONVERSATIONS.

AND THEN WE ARE ALSO SAYING THAT WE'RE GOING TO HAVE A FLAT TAX RATE KEEPING THAT IN THE BUDGET AS IT IS, AND THAT'S WHAT WE'LL VOTE ON NEXT WEEK.

SO WE WILL GET THE OFFICIAL TAX RATE CALCULATION BACK FROM TARRANT COUNTY BY THE END OF THIS WEEK.

AS SOON AS WE GET THAT, WE WILL SHARE THAT WITH COUNCIL SO THAT YOU ALL ARE AWARE OF THOSE DIFFERENT LEGAL CALCULATIONS THAT WE HAVE TO DO AND JUST MAKE SURE THAT WHERE WE'RE AT IS IN LINE WITH WHERE WE NEED TO BE.

WE MAY MAKE ADJUSTMENTS ON THAT INS RATE BEFORE WE ASK YOU ALL TO VOTE ON MONDAY.

SO WE ASK THAT YOU JUST BE FLEXIBLE WITH US BECAUSE OF THESE TIGHT DEADLINES THAT WE HAVE.

AND THEN AFTER THAT, WHAT WE'LL DO IS ON MONDAY, WE'LL HAVE THE PUBLIC HEARING FOR THE ACADEMY BUDGET.

Y'ALL WILL VOTE ON THAT AFTERWARDS.

THE NEXT ITEM ON YOUR AGENDA WILL BE THAT MAXIMUM TAX RATE THAT WE VOTE ON, AND THEN WE WON'T BE BACK IN FRONT OF YOU ALL IN AN OPEN MEETING, TALKING BUDGET UNTIL THE MEETING ON SEPTEMBER 11TH.

THEN I'LL BE BACK LATER BECAUSE I LOVE STANDING IN 3.5IN HEELS.

IT'S SUPER FUN TO TALK ABOUT ALL THOSE DIFFERENT MILESTONES THAT WE HAVE OVER THE NEXT TWO MONTHS, AND PARTICULARLY HOW CITIZENS AND PARENTS HAVE AN OPPORTUNITY TO PARTICIPATE IN THE PROCESS. THANK YOU.

ALL RIGHT, SHELLY, HOW LONG IS YOUR BRIEF? I JUST WANT TO TAKE A QUICK BREAK OR KEEP GOING THROUGH THE LAST THING.

WELL, THE TWO THINGS. [INAUDIBLE] TAKE A QUICK FIVE MINUTE BREAK.

ALL RIGHT. IT'S 7:27.

[I.2. Consider approving Resolution 23-39 appointing a member to the Planning and Zoning Commission; and take appropriate action RES 23-39 ]

WE'LL QUICKLY GO THROUGH I2 RESOLUTION 23-29 OR 39 CONSIDERING APPROVING RESOLUTION 23-39, APPOINTING A MEMBER TO THE PLANNING AND ZONING COMMISSION AND TAKING APPROPRIATE ACTION.

I BELIEVE PEOPLE ARE RECOMMENDED NISAR DID A RALLY.

CAN I GET IT FIRST? FIRST.

ALL RIGHT. CAN I HAVE A SECOND? I'LL SECOND. ALL IN FAVOR? AYE. ALL OPPOSED? NO OPPOSED. MOTION CARRIES.

IT'S CLOSED OUT. NEXT IS 23-1 78.

[I.1. 23-178 Receive a Quarterly Update from the Westlake Academy Foundation ]

THANK YOU SO MUCH.

OH. SO TELL ME HOW FAST OR SLOW? I'M READING THE ROOM. 10 11.

WE'RE GOOD. WE'RE GOOD.

NO, THERE'S A LOT OF GOOD STUFF.

SO YOU JUST STOP AND PLEASE JUMP IN AS WE NEED.

THE FOUNDATION, AS YOU KNOW, SERVES AS THE FUNDRAISING ARM FOR THE ACADEMY.

YOU'LL SEE PICTURED THE WHAT I LIKE TO CALL THE DEFENDERS OF DONORS DOLLARS.

RIGHT. THOSE ARE THE THAT STEWARDSHIP THAT THESE AMAZING VOLUNTEERS DO TO MAKE SURE THAT WE FOCUS ON THE SCHOOL AND WHAT STUDENTS AND AND

[02:30:07]

THIS SPRING WAS YOU'LL SEE WE FROM JANUARY THROUGH TO THE PRESENT CLOSING OUT BLACKSMITH ANNUAL FUND.

YOU CAN JUST GO DOWN OVERVIEW OF OUR SPRING AT A GLANCE WITH GRANT MAKING THE FINAL INSTALLMENT OF THE TEACHER GIFT CARD INITIATIVE.

THE GALA JUST SUCH A SHORT TITLE FOR SO MUCH WORK THAT WENT INTO THAT INITIATIVE, BUT THAT WAS A HUGE PART OF OUR SPRING.

AND THEN SOME YEAR END EVENTS WITH THE TEACHER OF THE YEAR AWARDS AT PART OF THE SENIOR ACTIVITIES WITH SENIORS AND KINDERS AND AND WE'LL GO INTO THAT HERE IN A BIT. WE ALSO JUST AS AN FYI, WE MOVED DOWN TO ROOM 401 IN THE ARTS AND SCIENCE BUILDING.

DON'T KNOW WHY WE NEVER KNOCKED DOWN THAT WALL IN OUR CURRENT OFFICE WHEN YOU SEE THE CONCESSION STAND FOOTPRINT.

THAT'S FANTASTIC.

SO YEAH, SO THAT LOOKS REALLY, REALLY NICE.

AND I THINK ALL OF OUR FANS ARE GOING TO BE EXCITED TO SEE THAT.

BUT IN ANY EVENT, WE NEED A NEW SPACE ON CAMPUS.

SO. SO WE FOUND A NICE SPOT, SO COME SEE US.

AND THEN WE'RE CERTAINLY RIGHT NOW LOOKING AT THE 23-24 SCHOOL YEAR.

THE BIG ONE WITH OUR BLACKSMITH ANNUAL FUND.

IS. IT WAS INTERESTING WHEN I PUT THIS TOGETHER, ONE BIG THING THAT WHEN WE LOOKED AT THE NUMBERS FROM BLACKSMITH GIVING DAY LAST YEAR WAS $1.17 WAS WAS PLEDGED AND RAISED.

WE'RE CURRENTLY AT $1.192.

99% OF THE MONIES THAT OUR FAMILIES COMMITTED WAS ON GIVING DAY.

SO WHEN I SAY THAT OUR WORK RIGHT NOW IS FOCUSED ON 23-24 PLANNING, IT IS ALL ON GIVING DAY AND REALLY ALL OF THE DIFFERENT PLATFORMS AND MESSAGING AND WAYS THAT WE CAN GET FOLKS GEARED UP AND READY BECAUSE THAT IT'S ONE DATA POINT.

WE'LL LOOK BACK AT LAST YEAR'S OR PRIOR YEAR'S, BUT WE'LL WE'LL TAKE A LOOK AND SEE.

BUT THAT THAT CERTAINLY IS, I THINK, THE TREND FOR OUR SCHOOL AND THAT'S A GOOD THING.

YOU CAN SEE OUR GAP THIS PAST YEAR WAS $2,685.

WE DO WORK WITH THE FINANCE DEPARTMENT TO GET THOSE NUMBERS IN TERMS OF REVENUE EXPENSES.

AND THERE'S THAT THAT'S THAT DELTA.

SO WE'RE CURRENTLY WAITING ON THOSE NUMBERS FOR THIS UPCOMING SCHOOL YEAR AND WE'LL SEE WHAT THAT DELTA IS.

AS IS ALWAYS NOTED, THESE ARE CHARITABLE DOLLARS, PHILANTHROPIC.

SO REGARDLESS OF WHAT WE ASK, IT WILL BE WHAT PARENTS WANT TO GIVE ARE ABLE AND ARE ABLE TO GIVE.

SO AND THEY GIVE A LOT.

THEY GIVE VERY GENEROUSLY.

SO WE'RE EXCITED ABOUT THAT.

THE FAMILIES 640 OF OUR STUDENTS WERE SUPPORTED BY THEIR PARENTS, IF THAT MAKES SENSE.

THE AVERAGE PER STUDENT TOTAL FOR ALL STUDENTS WAS $1,443.

SO WHAT THAT MEANS IS THAT FOLKS WHO GAVE THEIR GENEROSITY SUPPORTED THE KIDDOS WHOSE PARENTS DIDN'T.

FOR THOSE FAMILIES WHO SUPPORTED THEIR CHILDREN, THAT'S 640.

THE GIFT AVERAGE WAS $1,950.

WE HAD 152 NON DONOR FAMILIES, 36 OR 22.6% OF THOSE WERE IN OUR PRIMARY BOUNDARY.

116 OF THE 368 OF OUR SECONDARY BOUNDARY DID NOT GIVE, AND THAT TOTALED 31.5%.

IN TOTAL, 225 KIDS WERE SUPPORTED BY OUR BY OUR DONOR FAMILIES.

ANY QUESTIONS ON BLACKSMITH? PRETTY GOOD FOR A SCHOOL OUR SIZE WITH A POPULATION A PARENT POPULATION THAT REALLY DOESN'T MOVE THAT MUCH.

IT'S GOOD. HOW LONG HAVE WE HAD THE $2,500 THRESHOLD OR REQUEST? THE REQUEST.

IT'S REALLY BASED ON THE NUMBERS WE GET FROM FINANCE FOR WHAT THAT DELTA IS.

SO IT STARTED AT $1,800 AND THEN IT MOVED UP TO $2,000.

AND I WANT TO SAY IT'S BEEN $2,500 FOR THE PROBABLY PAST FIVE YEARS.

BUT IT REALLY, LIKE I SAID, THAT DELTA IS BASED ON REVENUES, EXPENSES, THE TRUE DELTA.

IF YOU LOOK I BROUGHT THIS UP HERE WITH ME WAS $2,685.

YOU LOOK AT OUR FUNDING GRAPHIC BASED ON SO $2,685.

SO WE WERE ABLE TO SAY $2,500 FROM OUR FAMILIES AND THEN THAT EXTRA $185 REALLY COMES IN THE FORM OF THE CORPORATE MATCHES.

WE'RE REALLY FORTUNATE TO GET SIGNIFICANT CORPORATE MATCHING.

THAT HELPS TO ALLEVIATE SOME OF WHAT WE HAVE TO ASK THE FAMILIES TO CONTRIBUTE THAT SAME INFLATION THAT'S AFFECTING THE SCHOOL AND THAT BUDGET IS

[02:35:07]

SO THAT'S GOING TO BE A BALANCE.

YEAH. THE GALA.

YOU WERE ALL AS I'M LOOKING UP HERE.

WERE THERE. SO IT WAS A PRETTY IT WAS OUR FIRST VENTURE IN TERMS OF COMBINING INTO ONE SIGNATURE EVENT FROM THE PREVIOUS BAJA AND GALLERY NIGHT. I HOPE YOU'LL AGREE IT WAS A WAS A GOOD TIME.

LOVED HAVING IT AT CIRCLE T YOU CAN JUST LOOK THROUGH ON HOW WE FARED ON SPONSORSHIPS, AUCTION AND SO FORTH.

THAT $215,000 IN UNRESTRICTED FUNDS IS WHAT IS USED TO PAY FOR ANY THE GRANTS THAT ARE FUNDED DURING THE COURSE OF THE YEAR.

ANYTHING EXTRA ROLLS UP INTO THE FOUNDATION'S ADMINISTRATIVE ACCOUNT, AND THAT'S WHAT'S USED FOR.

IT'S AVAILABLE FOR OPPORTUNITIES OR EMERGENCIES THAT COME UP AS THE SCHOOL AS THE SCHOOL IDENTIFIES.

I'M JUST LOOKING THROUGH THE A LOT.

DO YOU GUYS FOLLOW US ONLINE? ARE YOU ANY OF THE 50 NEW FOLLOWERS ON FACEBOOK OR INSTAGRAM WE HAVE HAD? THANK YOU, DR. WHITE.

I EXPECT GENTLEMAN NEXT TIME BECAUSE YOU'RE MISSING.

LOOK AT THE GOOD STUFF YOU'RE MISSING.

NO, NO SOCIAL MEDIA HERE.

SORRY, I'M NOT EITHER ENTERED THE BARN THAT WAY, SO.

NO, NO.

BUT WE FOR THOSE FOLKS WHO ARE BECAUSE FRANKLY, I'M NOT AS MUCH EITHER.

BUT I DO APPRECIATE THAT THERE IS A A GOOD PERCENTAGE OF OUR POPULATION THAT REALLY DOES APPRECIATE SEEING.

SO WE'RE GOING TO TO USE USE OUR DIFFERENT CHANNELS AND DRIVE, JUST DRIVE INTEREST AND SUPPORT.

WE DO APPRECIATE WE CONTINUE WITH THE ARTISTS IN RESIDENCE PROGRAM.

THE KIDS LOVE IT. THE FAMILIES LOVE IT.

YEAH AND THAT WAS A CONTINUATION FROM OUR GALLERY NIGHT DAYS.

AND THEN WHEN WE LOOKED AT OUR TEACHER GIFT CARD INITIATIVE, THAT IS A CONTINUATION FROM OUR BAJA DAYS.

SO THE TEACHER GIFT CARD INITIATIVE WAS THIS YEAR'S FUNDING ITEM.

AND AND IT DID RAISE $107,000 OF THE $117.

THERE WERE MONIES FROM PRIOR YEAR BAJA RESTRICTED TO THE GIFT CARDS THAT WE WERE ABLE TO TO BALANCE THAT OUT.

I WILL OFFER THAT IT IS NEVER TOO EARLY TO BEGIN DISCUSSION AND HAVE A DECISION ON WHAT THE GALA FUNDING ITEM WILL BE THAT IS IDENTIFIED FROM THE SCHOOL. SO THAT'S KIND OF JUST A HINT HINT.

SO APPRECIATE APPRECIATE THAT.

THE GIFT CARDS I JUST THEY DON'T SEEM THAT THEY WILL BE AN ONGOING WE WILL BE LOOKING AT ANOTHER FUNDING SOURCE FOR THAT.

UM, THOSE THE GRATITUDE POSTS AS WELL AS THOSE JUMBO POSTERS WE HAD AT THE EVENT.

THAT WAS REALLY OUR WAY TO PUT THE PURPOSE IN THE ROOM.

AND THE PURPOSE ARE TAKING CARE OF KIDS.

TEACHERS WERE ALREADY THERE.

AS MUCH AS WE'VE TRIED TO FIND WAYS TO HAVE KIDDOS AT THE EVENT, WE'VE HEARD FROM ENOUGH FOLKS WHO SAY THIS IS THE ONE NIGHT I'M TRYING TO GET AWAY FROM MY KIDS, SO PLEASE LEAVE THEM HOME.

SO THIS WAS THE NEXT BEST THING WAS TO PUT THEIR PUT THEIR PICTURES UP AND AND THESE REALLY ARE HEARTFELT FROM THE KIDS ON ON WHAT THEY LOVE ABOUT WESTLAKE ACADEMY.

SO THIS HAS A LOT OF LEGS AND WE WILL USE THOSE IMAGES.

THROUGHOUT THE FALL POST EVENT, WE HAD A MULTI WEEK ONLINE CAMPAIGN TO THANK OUR SPONSORS, LIVE AUCTION DONORS, AND THIS ALSO LIVES ON OUR WEBSITE. WITH THAT MONEY AGAIN, THE GRANTS CAME BECAUSE AT A GATHERING NIGHT LONG AGO, WE WERE RAISING MORE MONEY THAN WE NEEDED AND THEIR PARENTS ARE GIVING THOSE OR BEING SO GENEROUS IN THEIR SUPPORT BECAUSE THEY WANT TO SUPPORT THE SCHOOL.

SO THAT'S WHERE THE GRANTING CAME.

SO YOU'LL SEE $100,000 OF THAT IS FOR REQUESTS THAT THE SCHOOL MAKES.

WE ALSO MANAGE AN ENDOWMENT FUND.

AND AND THERE ARE TWO MRS. QUINN AND AND A FAMILY MEMBER ALSO A REVIEW GRANT REQUESTS AS WELL JUST SO THAT YOU YOU KNOW AS A PROCESS THAT TEACHERS OR A GROUP OF TEACHERS IDENTIFY A NEED OR A LOVE TO DO OR A LOVE TO HAVE, THEY'LL TALK TO THEIR PRINCIPAL, MAKE SURE IT'S GOING TO GET SIGNED OFF, WRITE IT UP.

PRINCIPAL SIGNS IT.

HEAD OF SCHOOL SIGNS IT.

PRIOR TO THAT, THOSE POSITIONS BEING HELD BY ONE PERSON.

IT THEN CAME OVER TO THE TOWN AND THE SUPERINTENDENT WOULD SIGN OFF.

SO ALL OF THOSE HAPPEN BEFORE IT GETS TO THE TO THE FOUNDATION BOARD.

YOU CAN JUST SEE IN THE SPRING, WE FUNDED SIX GRANTS TOTALING A LITTLE OVER $17,000.

FOR THIS LAST SCHOOL YEAR, WE HAVE FUNDED 12 GRANTS TOTALING $66,270.

[02:40:08]

ADDITIONALLY, THE FOUNDATION RECEIVES.

EXTERNAL GRANTS AS WELL AS DONATIONS WITH RESTRICTED PURPOSE.

AND YOU CAN SEE HOW THOSE WERE FUNDED THIS YEAR.

WE DO HAVE CURRENTLY TWO GRANTS THAT ARE PENDING, A J.P.

MORGAN CHASE FOR TECHNOLOGY AND FURNITURE UPDATES, AND WE SHOULD FIND OUT ABOUT THAT IN LATE SEPTEMBER OR EARLY OCTOBER.

AND THEN THE HUDSON FOUNDATION, $125,000, WHICH WE HOPE TO FIND OUT LATER THIS WEEK.

NOW THE J.P. MORGAN. IS THAT DALLAS FORT WORTH OR IS IT NATIONAL? HOW DO THEY DO THAT? THEY'RE IT'S OUT OF FORT WORTH.

OKAY. SO IT'S THEIR LOCAL.

IT'S THE LOCAL. AND THEN AS I MENTIONED, THAT WE DID THE WITH THE TEACHER GIFT CARD INITIATIVE.

SO THE MONEY THAT WE RAISED AT THE GALA, WE HAD ALREADY SPENT THREE TIMES IN THE THREE GIFT CARDS AND AND ESSENTIALLY JUST GOT BACK TO EVEN WITH THIS FOURTH ONE THAT TOTALED $10,700 AND THE $100 GIFT CARDS BEFORE BREAK.

ON THE BOARD. THE FOUNDATION BOARD IS LOOKING AT NOW WHAT WOULD BE A VIABLE FUNDING SOURCE.

AND TO CONTINUE THAT, WE HAVE IT BEGAN AS TEACHER RETENTION.

IT HAS CERTAINLY TURNED INTO MORE ANECDOTALLY.

I'VE HEARD THAT IT'S MORE OF LIKE A MORALE BOOSTER.

TEACHERS DON'T NECESSARILY STAY AT THE SCHOOL LIKE I CAN'T LEAVE BECAUSE I'M GOING TO GET THAT $100 GIFT CARD FOR SPRING BREAK.

THEY DO SEE IT AS WHEN WE GIVE IT AT DIFFERENT TIMES OF YEAR.

THOSE ARE THE PARTICULARLY CHALLENGING TIMES IN A SCHOOL YEAR.

GRADES ARE DUE OR IT'S THE END OF A SEMESTER AND REPORTS AND THOSE GIFT CARDS ARE A BIT OF JUST AN APPRECIATION AND A VALUE. SO THERE WE CERTAINLY DO WANT TO CONTINUE IT AND AND WE'LL BE LOOKING TO TO IDENTIFY A SUSTAINABLE FUNDING SOURCE FOR THAT. AND WE'VE HEARD FROM TEACHERS ACROSS THE ACROSS THE ACADEMY.

YOU CAN READ THROUGH JUST WHAT WHAT IT MEANS TO THEM.

AND THEN FINALLY, AS WE LOOK THROUGH, LIKE WE WERE SAYING, THE SPRING ACTIVITIES.

SO ONE OF THE GRANTS WAS A BEFORE SPRING BREAK SPA.

AND SO I'M ON THAT.

I WAS ON THE STAFF APPRECIATION COMMITTEE, SO JUST HELP TO PUT THAT TOGETHER.

BUT THE FOUNDATION DOES FUND A END OF YEAR KEEPSAKE LIKE A FRAME FOR THE KINDERS AND SENIORS.

AND THEY'RE BOTH WEARING CAPS AND GOWNS.

AND IT'S REALLY JUST A PRECIOUS KEEPSAKE, WHICH I KNOW SEVERAL OF YOU HAVE.

AND THEY'RE THEY'RE ADORABLE.

WE ALSO GIVE A ENGRAVED, PERSONALIZED PEWTER JEFFERSON CUP TO EACH SENIOR AS A JUST AS A GIFT AND WELCOME INTO THE ALUMNI ASSOCIATION, THE TEACHER OF THE YEAR AWARDS.

WE WORK WITH THE HOC TO SUPPORT THOSE WINNERS, PRIMARY AND SECONDARY, AS WELL AS THE RUNNER UP, RUNNERS UP RUNNERS.

RUNNER UPS.

AND YOU'RE SUPPOSED TO LAUGH AT THAT.

AND THEN IT'S JUST THE YEAR END, RIGHT? SO FOR US, WITH THE GALA BEING DONE, WE KNOW THAT THAT THERE ARE OTHER TEAMMATES WHO THAT'S THEIR BUSY TIME, RIGHT? WE ALL HAVE OUR SEASONS.

SO WE WERE ABLE TO DO SOME NICE MUSCLE AND JUST BRING IN THE FERNS AND HELP WITH THE CHAIRS AND JUST IT THAT FELT KIND OF NICE JUST TO GET UP AND MOVE.

SO WE HELPED WITH WITH JUST SOME OF THOSE YEAR END ACTIVITIES.

AND LIKE WE SAID, WE PACKED, WE PACKED AND MOVED AND WERE MOVED IN.

SO THAT'S REALLY THE, THE OVERVIEW THIS SUMMER HAS BEEN, LIKE I SAID, SPENT GETTING READY FOR 23-24 BLACKSMITH ANNUAL FUND.

YEAH. ANY QUESTIONS? WELL DONE. THE GALA WAS GREAT.

GREAT. THANK YOU.

THANK YOU. WE'RE STILL.

I KNOW CIRCLE T IS DECIDING ON A LOT OF IT SEEMS LIKE LAST YEAR OR MAYBE IN THE LAST FEW YEARS, A NUMBER OF THEIR EXTERNAL EVENTS MIGHT HAVE MADE IT A LITTLE CHALLENGING WITH THEIR INTERNAL EVENTS.

SO THEY'RE LOOKING AT THEIR CALENDAR.

WE'VE ALREADY KIND OF PUT IN SOME SOME DIBS IF IT'S POSSIBLE.

BUT WE'LL HOPE TO FIND OUT IF THAT'S STILL A VIABLE FUTURE SOURCE FOR US.

YEAH. YEAH.

THANKS FOR EVERYTHING YOU DO, SHELLY.

I KNOW IT'S NOT ALWAYS EXTREMELY TRANSPARENT WITH WHAT'S BEING ASKED.

BUT, YOU KNOW, ONE THING I'VE LEARNED TO APPRECIATE AFTER LOOKING INTO IT A LITTLE BIT THIS YEAR IS JUST YOU GUYS PUTTING YOUR HEAD DOWN AND GETTING THE JOB DONE YEAR OVER YEAR.

[02:45:01]

ONE IS YOU KNOW, IN HINDSIGHT, YOU KNOW, HAVING THE COMBINED EVENT VERSUS TWO SEPARATE EVENTS.

I MEAN, WHAT IS YOUR WHAT ARE YOUR THOUGHTS ON THE FUTURE THERE? YEAH, AND THAT'S A GREAT QUESTION.

IT DIDN'T RAISE AS MUCH THE SAME MONEY, RIGHT? SO BAJA AND GALLERY NIGHT SEPARATELY WOULD BE ROUGHLY HALF A MILLION GROSS AND THIS CAME IN AT $420.

SO A BIT SHY.

THERE ARE TIMES THAT.

BUT WE ALSO KNOW WE'VE GOT THE SAME A LOT OF TIMES IT'S THE SAME SPONSORS LIKE SO A FAMILY WHO SPONSORS BAJA AND ALSO SPONSORING THE GALA.

SO MAY THAT HAVE SOME OF THOSE MONIES MIGHT HAVE BEEN FREED UP BY SPONSORING JUST ONE TIME, MAYBE A LITTLE HIGHER.

AND THEN THEY GAVE THAT MONEY TO THE TO THE GIFT CARD INITIATIVE.

WHAT YOU FIND IS A LOT OF FAMILIES WILL SAY, HERE'S HOW MUCH I'M WILLING TO CONTRIBUTE TO THE SCHOOL.

SO HOWEVER YOU YOU WANT TO MIX IT UP AND PARSE IT BETWEEN 2 OR 1.

BUT I FEEL LIKE THERE IS MORE OPPORTUNITY TO LIKE THE SINGER SONGWRITER.

I MISSED THAT.

SO THAT WAS A GREAT BAJA PIECE.

I DON'T KNOW IF THAT WE NEED TO MAYBE MAKE THE THE GALA A LITTLE MORE BAJA.

YEAH, BUT FROM A PURE FUNDRAISING STANDPOINT, WE HAD WE HAD SOME INCREDIBLE GENEROSITY OF FAMILIES THAT FRANKLY MADE IT FEASIBLE. WE WOULDN'T HAVE RAISED THAT AS MUCH IF WE HAD TO, IF WE DIDN'T HAVE A LOT OF IN-KIND SUPPORT AND UNDERWRITING.

AND THE NEXT QUESTION IS SORT OF A STATEMENT AND A QUESTION, TOO, I THINK.

YOU KNOW, THE MORE OPPORTUNITIES THAT YOU HAVE TO BRING PEOPLE TOGETHER.

PEER PRESSURE AND ALCOHOL.

IT'S A BEAUTIFUL MIX.

IT'S SORT OF HALF JOKING WITH THAT.

BUT I MEAN, REALLY WHAT I MEAN, I GUESS WHAT WE'RE WE NEED TO BE THINKING ABOUT IS WHAT IS REALLY GOING TO HELP WITH RAISING THAT DONATION.

I MEAN, WE'RE ALL TALKING ABOUT MOVING THE NUMBER UP IN THE BUDGET.

YOU KNOW, WHAT'S MOST IMPACTFUL FOR YOUR ABILITY TO SELL INSPIRATION AND HOW CAN WE DELIVER MORE OF THAT SO THAT YOU CAN DO YOUR JOB? YEAH, I MEAN, LIKE WITH BLACKSMITH.

WHEN YOUR KID IS THERE LIKE YOU'RE SEEING IT.

SO I THINK IF WE CAN JUST CONTINUE TO FROM AS MANY ANGLES AS POSSIBLE.

SO SOMETIMES WHEN IT'S COMING FROM THE FOUNDATION, IT FEELS A LITTLE SELF-SERVING.

OH, WELL, YOU'RE GOING TO SAY EVERYTHING'S GREAT AND YOU'RE GOING TO SHOW THAT BECAUSE YOU WANT MY MONEY.

BUT I FEEL LIKE THERE IS GREAT AND MISSED OPPORTUNITY FROM THE BENEFACTOR, WHICH IS LIKE ON THE SCHOOL SIDE.

SO FROM THE SCHOOL TELLING THE STORY, THAT'S WHERE IF YOU'RE THANK YOU FOR ASKING BECAUSE THAT'S REALLY TO ME WHERE THE ACCOUNTABILITY IS.

THE FOUNDATION IS JUST FUNDING, RIGHT? BUT THE SCHOOL HAS THE RESPONSIBILITY TO SPEND IT.

SO HOW ARE YOU SPENDING IT? WHAT IS THE IMPACT? WHAT ARE WE SEEING IN THE CLASSROOMS? IF THIS IF WE DIDN'T HAVE THESE MONIES, WHAT WOULD GO AWAY? HOW WOULD OUR KIDS EDUCATION BE NEGATIVELY AFFECTED? BUT THEN CONVERSELY, TO YOUR POINT, IF WE HAD X, Y, Z MORE, LOOK WHAT WE WOULD DO.

SO IT IS SOMETIMES BEEN A LITTLE CHALLENGING TO GET THAT X, Y, Z MORE.

SO WE'VE ASKED THIS SO IT'S ONE ONE HISTORICALLY THAT'S BEEN THAT CONSERVATIVE.

BUT WE SAID, GOSH, IF, IF WE RAISE ONE TWO, WHAT'S THAT EXTRA 100,000 GOING TO GO FOR? WE RAISED ONE THREE.

WHAT'S THAT EXTRA 200,000 GOING TO GO FOR? IF SOMEONE SAYS, SHELLY, GOSH, I THINK I GOT $1 MILLION IN IT, IT'D BE GREAT.

AT WHAT WOULD THE SCHOOL DO WITH THAT MILLION DOLLARS? I HOPE WE WOULD HAVE A HAVE A LIST.

WE COULD DO THIS AND THIS.

SO IT'S IT'S SOME OF THAT DREAMING BUT THAT PLANNING.

SO I KNOW THERE WAS STRATEGIC PLAN TALK EARLIER BUT SOME OF THAT PLANNING AND PUTTING SOME REAL DOLLAR AMOUNTS TO SAY SHOW ME THE VISION AND I'M WILLING TO SUPPORT IT IF YOU CAN SHOW ME THAT VISION.

SO I THINK THAT'S THE PIECE WE'VE BEEN A LITTLE WE'VE STRUGGLED A BIT TO GET, AND I DON'T WANT TO HAVE TO MAKE, YOU KNOW, ONE WANTS TO OH, THE IPADS.

LIKE IT FEELS A LITTLE.

JUST NOT AS COMPELLING.

WE CERTAINLY OWE YOU THAT.

THE SCHOOL OWES YOU THAT. WE SHOULD HAVE IT.

YEAH, IT'S JUST A DIFFERENT IT'S INTERESTING.

A LOT OF SCHOOL LEADERS AREN'T USED TO, FRANKLY, HAVING PRIVATE DOLLARS AT THERE TO USE.

IT'S YOU'RE GETTING WHAT YOU THE HEAD COUNT MONEY FROM THE STATE AND THE DIFFERENT SO IT'S IT IS AN EXTRA ASK BECAUSE THESE ARE PRIVATE DOLLARS THERE'S A LITTLE BIT MORE OF A RESPONSIBILITY I MEAN THERE'S STILL A RESPONSIBILITY FOR PUBLIC DOLLARS AS WELL.

BUT WE NEED TO BE ABLE TO TELL THAT STORY THAT MUCH MORE TO INSPIRE.

YEAH, WELL, I THINK.

I MEAN, AT LEAST MY COMMITMENT IS TO TRY AND PARTNER WITH YOU GUYS BETTER.

YOU KNOW, JUST AS A SEAT ON COUNCIL AND JUST HOPE, YOU KNOW, HOPE TO BE ABLE TO PROVIDE MORE TOOLS FOR YOU TO SELL AND INSPIRE, YOU KNOW, DONORS TO COME OUT.

[02:50:04]

AND AND WE'RE JUST TALKING ABOUT SUSTAINING COSTS RIGHT NOW.

I MEAN, WE'RE NOT HAVING EVEN ADDED IN ANY REAL CAPEX FOR, YOU KNOW, OTHER INITIATIVES.

AND THAT'S GOING TO BE A WHOLE DIFFERENT CONVERSATION.

SO, I MEAN, IF WE CAN'T DO THIS, THEN I THINK IT'S PRETTY LOFTY TO THINK WE CAN DO MUCH ELSE WITHOUT A WINDFALL OF CASH.

YEAH. SO YEAH, THAT'S THE THAT'S THAT FUN DREAMING WHEN WE'RE AT ONE OF THESE COCKTAIL PARTIES AND YOU HAVE THE WHITEBOARD.

YEAH. SO IF WE.

IF WE CAN.

BUT, BUT IT'S STILL.

THE POINT IS WELL TAKEN.

THINGS JUST ARE COSTING MORE RIGHT NOW SO THAT THAT IS THE PUBLIC THAT'S THAT GOAL IS THE 1 TO 5 AND WE'VE ALREADY ALREADY HAVE IT ON A POSTCARD FOR BACK TO SCHOOL NIGHT TO SHOW FOLKS AND THIS IS WHAT WE HAVE TO DO.

BUT WHEN WE GET THOSE NUMBERS, PARENTS GET IT IF WE CAN, WHEN WE SHOWED THIS.

OKAY, I CAN.

IT ADDS UP WHAT WE GET FROM THE TOWN, WHAT WE GET FROM THE STATE.

THERE'S A DELTA. MY KIDS BENEFITING.

YEAH, WE HAD INITIATIVES LIKE WE WERE TALKING EARLIER ABOUT REPLACING THESE TWO SCHOOL BUSSES AND I THINK THAT'S GOING TO COST LIKE $180.

I MEAN, IF WE HAD A CAMPAIGN WHERE WE SAID THE TOWN WILL MATCH EVERY DOLLAR THAT GETS DONATED, I MEAN, WOULD SOMETHING LIKE THAT'S FANTASTIC.

OKAY, THAT'S FUN. I LOVE THAT KIND OF THING.

YEAH, YEAH, YEAH, YEAH.

AND AND IN FACT, WHEN I HEARD THE MAYOR TALK ABOUT, YOU KNOW, THE NEW VANS, I THOUGHT, OH, WELL, THAT WOULD HAVE BEEN A GREAT THAT'S A GREAT FUN.

THAT WOULD BE A GOOD ONE. IT'S A GOOD THING WE HELD OFF FOR TWO YEARS.

IT'S A GOOD THING. YEAH, YEAH, YEAH.

THAT'S A PLAN.

WE COULD AUCTION OFF LIKE THE ABILITY TO DESTROY THE OLD VANS.

OH, WE SHOULD LIKE SHOTGUNS OR SOMETHING.

LIKE, YOU PAY TO, LIKE, DESTROY THE OLD STUFF.

THAT'S AWESOME. I LOVE IT.

YEAH. SO THERE'S A LOT OF I THINK THERE'S A LOT OF THERE'S NO SHORTAGE OF OF IDEAS.

I KNOW THAT ALSO FROM THE FOUNDATION STANDPOINT, WE ARE A ONE AND A HALF PERSON OFFICE COUNT A LOT ON VOLUNTEERS, BUT WE ARE WELL, I AM JUST LOOKING TO TO TRY AND MAKE SURE WHAT WE DO, WE DO IT REALLY WELL, BUT TO TRY AND GO DEEPER.

SO MAYBE IT MIGHT SEEM A LITTLE MORE NARROW FOCUS BLACKSMITH AND GALA AND OR YOU KNOW, MAYBE WE'LL HAVE CONVERSATION AND, AND GO BACK TO THE THREE EVENTS.

BUT THAT DEPTH A BIT TO WHAT YOU'RE TALKING ABOUT MR. SANDSTONE, IS THAT THAT RELATIONSHIP BUILDING AND JUST DEEPER AND REALLY STRENGTHENING THOSE CONNECTIONS WITH THE SCHOOL ABOUT THAT.

THE MORE FREQUENT YOU GET PEOPLE TOGETHER, HAVING A REGULAR CADENCE TO IT, IT CREATES A VALUE OF FUN AND EXCITING.

YEAH, YEAH.

BUT IT ALSO REQUIRES US TO DO OUR JOB.

AND I DON'T KNOW THAT IN THE PAST I WOULD SAY THAT IT HAS ALWAYS BEEN AT A LEVEL THAT, THAT I'VE PERSONALLY BEEN COMFORTABLE WITH AND JUST UNDERSTANDING WHERE, YOU KNOW, WHAT THE GAP IS, YOU KNOW, WHERE THE MONEY'S GOING, ETCETERA.

I THINK I UNDERSTAND THAT MUCH BETTER NOW.

YEAH. WELL.

AND THEN SO AT SOME POINT THAT WOULD BE GREAT TO HEAR.

WHAT LIKE MAYBE WHERE WAS THAT DISCONNECT? SO IF THERE'S A JUST A DIFFERENT WAY TO TRY TO SAY SAY THINGS TO HELP FOLKS REALLY FEEL COMFORTABLE.

WESTLAKE ACADEMY POKER NIGHT? NO. ALL RIGHT, FINE.

SO WE DO HAVE LIKE NO OPTION IS OFF THE TABLE MAYOR.

YOU THINK ABOUT WHAT'S GOING ON, THE GYMS BEING REMODELED.

I KNOW IT'S A LITTLE DELAYED, WE HEARD, BUT WE GOT.

IT'S WORTH IT. IT LOOKS AMAZING.

YEAH. AND THEN, LIKE, DO WE HAVE ANY PLANS? AND I GUESS THIS IS FOR THE COUNCIL AS WELL AS YOU, WHAT PLANS DO WE HAVE FOR THE NEW MODULAR BUILDINGS TO MAKE A BIG IMPACT? HAVE A PARENT.

I MEAN, LET EVERYBODY SEE THOSE.

AND WHAT HAVE WE THOUGHT ABOUT, IF ANYTHING, ABOUT THAT AND THE NEW GYM AND LIKE PROMOTING WHAT WE'RE DOING FOR THE SCHOOL AND INVESTING IN THE SCHOOL AND 37TH BEST HIGH SCHOOL IN THE COUNTRY AND ALL THAT STUFF.

SO THAT'S WHERE WE USE ALL OF THAT DATA.

BUT THAT'S WHERE I THINK ALSO WHEN IT COMES FROM THE I MEAN, I KNOW AARON'S HERE, I'M SURE THAT SHE AND JOHN ARE ALL OVER THAT OF YOU KNOW HERE'S WHY HERE IS WHY WESTLAKE.

YEAH YOU KNOW AND THAT'S THAT'S THE INITIATIVE HERE'S WHY YOU WANT TO BE HERE HERE IS IT DOESN'T MATTER IF ANOTHER DISTRICT HAS OPENED THEIR DOORS TO ALL OF OUR RESIDENTS IN WESTLAKE. HERE'S WHY YOU WANT TO STAY AT WESTLAKE.

HERE'S THE ACADEMY.

YOU'LL SEE WE'RE USING ACADEMY ADVANTAGE A LOT.

THIS IS THE ACADEMY ADVANTAGE AND BEING ABLE TO ARTICULATE WHAT THOSE ADVANTAGES ARE WITH THE KIND OF EDUCATION YOU GET AT WESTLAKE ACADEMY.

THIS IS WHY YOU WANT TO SUPPORT.

[02:55:03]

SO ESPECIALLY WITH THE 20TH ANNIVERSARY, NOW'S THE TIME.

YEAH. SO LOTS OF THERE'S NO SHORTAGE OF IDEAS.

SO I APPRECIATE THE OPPORTUNITY TO TALK WITH YOU GUYS AND AND LADIES, LADIES AND GENTLEMEN.

AND AND I THINK THERE'LL BE JUST MORE GREAT FUTURE DISCUSSIONS.

I WILL IF I CAN PLANT ONE SEED FOR AN INITIATIVE FOR THE 20TH ANNIVERSARY IS AN ENDOWMENT BUILDING CAMPAIGN LOOKING AT SOME OTHER OTHER REVENUE THAT WILL THAT WILL BE SUSTAINABLE AND FOREVER MONEY.

RIGHT? UM, IS WHAT WOULD IT IF WE COULD DO SOME RESEARCH ON WHAT A GIFT AMOUNT WOULD BE TO NAME OUR CURRENTLY GENERICALLY NAMED BUILDINGS, THE MPH, THE SECONDARY BUILDING.

ANY NAME, ANY LOBBY, AND THEN PERHAPS A GARDEN LIKE A BLACKSMITH FOREVER GARDEN, AND YOU'VE GOT THE PAVERS.

AND SO IN ANY EVENT, THAT'S OPPORTUNITY FOR US TO LOOK AT NOT WHAT'S NOT HERE YET, BUT WHAT IS HERE.

AND AND THAT MIGHT BE A WAY TO THEN IF IT'S $1 MILLION, A MILLION, LIKE WHATEVER THOSE NUMBERS ARE AND WHAT DO THOSE ENDOWMENTS GENERATE FOR US IN ADDITIONAL REVENUES? SO IN ANY EVENT, THANK YOU.

THAT'S FANTASTIC. THANKS, SHELLY.

YEAH. THANK YOU, GUYS. THANK YOU.

ALL RIGHT. NO EXECUTIVE ITEM J.

NO, NOTHING FROM EXECUTIVE SESSION ITEM K, FUTURE AGENDA ITEMS. WE HAVE ANY ITEMS TO ADD RIGHT NOW? NOPE. [INAUDIBLE] YOU HAVE ANYTHING FOR US?

[H.1. 23-153 Receive a Budget and Tax Rate Process Update ]

PLEASE RECEIVE THE BUDGET AND TAX PROCESS UPDATE FROM CASEY.

IT'S JUST THE SCHEDULE FOR THE REMAINDER OF THIS SYSTEM.

I THOUGHT WE DID THAT. THIS ONE'S MUCH SHORTER.

FINE. THEN YOU JUST PASSED YOUR TAXES.

COME ON. THIS IS IN YOUR DNA.

DID WE JUST DO THIS? SO AS I SAID EARLIER, THIS IS REALLY JUST THE SCHEDULE, WHAT'S HAPPENING OVER THE NEXT TWO MONTHS, THE ITEMS THAT YOU ALL HAVE TO TAKE ACTION ON, THE DATES THAT CERTAIN THINGS HAVE TO BE PUBLISHED. AND AGAIN, THE OPPORTUNITY FOR THE PUBLIC TO WEIGH IN.

STAFF HAS WORKED WITH YOU ALL OVER THE SUMMER TO GET A LOT OF Y'ALL'S FEEDBACK AND MAKE SURE THAT WE'RE INCORPORATING IT INTO THE DIFFERENT BUDGETS.

BUT NOW WE HAVE THE FORMAL OPPORTUNITY FOR CITIZENS TO COME IN AND GIVE Y'ALL FEEDBACK AS WELL.

ALL RIGHT. AND THEN REALLY KIND OF THE LONG AND THE SHORT OF THIS ALL THE THINGS THAT WE'RE GOING TO BE DOING OVER THE NEXT COUPLE OF MONTHS, MOST OF THEM ARE LEGALLY REQUIRED AND NON-NEGOTIABLE. SO THERE ARE SOME THINGS THAT HAVE CONTINGENT DATES.

CERTAIN THINGS HAVE TO BE PUBLISHED A CERTAIN NUMBER OF DAYS AHEAD OF AN ACTION, FUN THINGS LIKE THAT.

BUT FOR THE ACADEMY, THERE'S A LOT FEWER STEPS BECAUSE THE ACADEMY IS NOT A TAXING ENTITY.

SO WE JUST HAVE TO HAVE THE TEACHER PAY SCHEDULE ADOPTED CURRENT YEAR BY 8/1.

Y'ALL DID THAT TONIGHT.

THE NEXT ITEM ON THE AGENDA IS GOING TO BE NEXT WEEK.

MONDAY, WE'VE GOT A PUBLIC HEARING FOR CITIZENS TO COME IN AND GIVE FEEDBACK ON THE ACADEMY BUDGET SPECIFICALLY, AND THEN Y'ALL WILL VOTE.

AND EVERY YEAR THAT HAS TO HAPPEN BEFORE THE FISCAL YEAR STARTS CURRENT YEAR.

THAT MEANS IT HAS TO HAPPEN BEFORE 9/1 NEXT YEAR.

IT'LL BE MUCH EARLIER. REMEMBER, WE ARE CHANGING THE FISCAL YEAR DATE, SO WE'LL BE HAVING THESE MEETINGS FOR THE ACADEMY BUDGET NEXT JUNE.

ON THE TOWN SIDE THE PROPOSED BUDGET HAS TO BE PUBLISHED FOR 30 DAYS PRIOR TO THE PUBLIC HEARING AND THE VOTE.

SO WE'VE GOT THE PUBLIC HEARING AND VOTE CURRENTLY SCHEDULED FOR SEPTEMBER 11TH, MEANING THAT WE'LL HAVE TO PUBLISH THAT ONLINE BY AUGUST 11TH.

AND ANY OF OUR PUBLIC HEARINGS.

THEY HAVE TO BE PUBLISHED IN THE NEWSPAPER AND ONLINE AT LEAST FIVE DAYS BEFORE THE PUBLIC HEARING HAPPENS.

AND ONE OF THOSE REQUIRED NOTICES WILL HAVE, AS I SAID EARLIER, YOUR RECORD VOTE ON THE MAXIMUM TAX RATE ALONG WITH THE PUBLIC HEARING DATES. AND SIMILAR SITUATION WHERE THE OR THE TOWN HAS TO ADOPT A BUDGET BEFORE THE FISCAL YEAR EVERY YEAR.

AND THE TOWN'S FISCAL YEAR STARTS ON 10/1.

THE TAX RATE IS WHERE ALL THE CRAZY FUN STUFF IS.

SO RIGHT NOW, WHAT WE'RE WAITING ON IS THE FORMAL CALCULATION FROM THE COMPTROLLER ON THE COMPTROLLER'S FORM, FROM THE TARRANT COUNTY TAX ASSESSOR COLLECTOR.

NOT ONLY DO WE HAVE TO COMPLETE THAT, BUT WE HAVE TO PUBLISH ALL OF THOSE DIFFERENT LEGAL RATES THAT ARE CALCULATED ON THERE.

THAT INCLUDES OUR NO NEW REVENUE RATE, OUR VOTER APPROVED TAX RATE AND OUR DE MINIMIS RATE.

[03:00:02]

WE'LL BE WORKING VERY CLOSELY WITH JOHN AND AARON ON THAT MESSAGING BECAUSE THIS IS VERY CONFUSING AND IT'S VERY EASY FOR SOMEBODY TO READ A NOTICE VERY QUICKLY AND MAKE IT LOOK LIKE, OH, WE'VE ADOPTED SOME RATE THAT'S GOING TO IMPACT THEM IN A CERTAIN WAY.

SO AS I SAID, WE'LL BE DOING A LOT OF MESSAGING AROUND THIS BECAUSE NOT ONLY ARE WE PUBLISHING THAT, BUT WE'RE PUBLISHING IT CONSISTENTLY FOR THE SEVEN DAYS PRIOR TO THE PUBLIC HEARING THAT WILL BE ONLINE ON OUR SITE SAYING COME TO THE PUBLIC HEARING FOR THE TAX RATE ON SEPTEMBER 11TH, THERE WILL BE TWO PUBLIC HEARINGS, ONE FOR THE BUDGET AND ONE FOR THE TAX RATE.

AND THEN THAT HAS TO BE VOTED ON AGAIN BEFORE 10/1 FISCAL YEAR START.

AND THEN HERE'S SOMETHING THAT WILL BE PUSHING OUT ALSO.

THIS IS JUST THE ACTUAL SCHEDULE.

AND THE TAKEAWAY FROM THIS SLIDE IS ON THE RIGHT, WE'VE GOT AT EACH ONE OF THESE ITEMS THAT WE HAVE TO CHECK OFF AND DO A NOTE ABOUT HOW THE PUBLIC CAN ACTUALLY GIVE US INPUT IF IT'S COMING TO A PUBLIC HEARING, SIGNING UP TO SPEAK, IF IT'S COMING TO A REGULAR MEETING AND SIGNING UP TO SPEAK AS PART OF CITIZENS OR PARENTS COMMENTS, OR IF IT'S JUST EMAILING OR PICKING UP THE PHONE, YOU HAVE THAT OPPORTUNITY TO DO THAT OVER THE NEXT COUPLE OF MONTHS AS WE GET CLOSER TO THOSE ADOPTIONS FOR THE DIFFERENT ENTITIES.

THAT'S IT. IT WAS SO MUCH SHORTER.

THANK YOU VERY MUCH. ANY QUESTIONS? GREAT JOB. GOOD JOB.

ALL RIGHT. THAT'S ADJOURNMENT AT 8:00.

* This transcript was compiled from uncorrected Closed Captioning.