[ ♪ MUSIC PLAYING ♪ ] >> Mayor Guajardo: GOOD MORNING EVERYONE. WELCOME TO CITY HALL, TO COUNCIL CHAMBERS. I'D LIKE TO CALL THIS MEETING TO ORDER. TODAY OUR INVOCATION WILL BE GIVEN BY PROFESSOR IMAM AREF MAZLOUM WITH CHRISTUS SPOHN HOSPITAL IN TAMUCC. >> GOOD MORNING, LADIES AND GENTLEMEN. IN THE NAME OF OUR CREATOR, GOD, OUR HOLY GOD, MOST MERCIFUL, OUR LORD. WE STAND BEFORE YOU TODAY IN HUMILITY AND GRATITUDE. WE ASK YOU TO BLESS THIS GATHERING AND TO GUIDE THE HEARTS AND MINDS OF OUR BELOVED MAYOR AND CITY COUNCILMEN AND WOMEN. WE ASK YOU TO GRANT THEM WISDOM, JUSTICE, AND COMPASSION IN THEIR DECISIONS. LET THIS COUNCIL BE A SOURCE OF UNITY AND SERVICE FOR ALL RESIDENTS, REGARDLESS OF THEIR BACKGROUND, RACE, OR BELIEF. MAY TRUTH PREVAIL OVER PERSONAL INTERESTS AND MAY THE WELFARE OF THE COMMUNITY BE PLACED ABOVE IT ALL. OUR LORD, PROTECT OUR CITY FROM HARM, ENRICH IT WITH PEACE AND PROSPERITY. INDEED, YOU ARE THE PEACE. FROM YOU COMES PEACE. AND TO YOU BELONGS PEACE. OUR LORD, HELP US ALL TO BE STEWARDS OF GOODNESS AND MERCY. INDEED, YOU ARE THE MOST MERCIFUL, MOST COMPASSIONATE. AMEN. >> Mayor Guajardo: AMEN. THANK YOU. THE PLEDGE OF ALLEGIANCE TO THE FLAG OF THE UNITED STATES AND TO THE TEXAS STATE FLAG WILL BE LED TODAY BY DEAN PRESLEY ISBELL. HE IS A 12th GRADER AT THE ARLINGTON HEIGHTS CHRISTIAN SCHOOL, A DISTINGUISHED SCHOLAR, NATIONAL HONOR SOCIETY MEMBER, AND AACH LION LEADERSHIP AWARDEE. >> PLEASE JOIN ME IN THE PLEDGE OF ALLEGIANCE . [PLEDGE OF ALLEGIANCE] PLEASE JOIN ME IN HONORING THE TEXAS FLAG. THANK YOU. >> Mayor Guajardo: THANK YOU, DEAN. MS. HUERTA, WOULD YOU PLEASE CALL ROLL. >> City Secretary: ERIC CANTU IS RUNNING LATE. [ROLL CALL] MAYOR AND COUNCIL, A QUORUM OF THE COUNCIL AND THE REQUIRED CHARTER OFFICERS ARE PRESENT TO CONDUCT THE MEETING. >> Mayor Guajardo: THANK YOU, MS. HUERTA. BEFORE I BEGIN TODAY'S MEETING, I WANT TO TAKE A MOMENT TO ADDRESS AN IMPORTANT ISSUE. THIS COUNCIL CHAMBERS IS A PLACE OF PUBLIC BUSINESS, A FORUM FOR CIVIC DISCUSSION, DECISION MAKING, AND SERVICE TO THE PEOPLE OF CORPUS CHRISTI. IT IS NOT A STAGE FOR PERSONAL ATTACKS DISRUPTIONS OR VULGARITY AND WE WON'T TOLERATE VIOLATIONS OF DECORUM. THERE HAVE BEEN REPEATED INSTANCES OF INDIVIDUALS USING PROFANITY, SHOUTING OVER OTHERS, AND SHOWING BLATANT DISREGARD FOR THE RULES THAT GOVERN OUR PROCEEDINGS. I HAVE ALLOWED SPACE FOR DIFFERING VIEWPOINTS AND I WILL CONTINUE TO WELCOME RESPECTFUL DISAGREEMENT BUT WE WILL NOT THIS COUNCIL OR THE PUBLIC WE SERVE TO BE DISRESPECTED. WE ARE HERE TO DO THE PEOPLE'S WORK. IF YOU WANT TO SPEAK ON A SPECIFIC AGENDA ITEM, YOU DO NOT NEED TO SIGN UP BEFOREHAND. I WILL ASK FOR PUBLIC COMMENT WHEN THE COUNCIL CONSIDERS THE ITEM. AT THAT TIME YOU MAY COME UP TO THE PODIUM AND SPEAK. I'LL ASK CITY ATTORNEY BUCK BRICE TO REVIEW THE COUNCIL MEETING RULES OF DECORUM. AND THESE RULES WILL ALSO BE DISPLAYED ON THE TELEVISION SCREENS ABOVE FOR YOUR VIEWING. [RULES OF DECORUM] >> Mayor Guajardo: THANK YOU. PLEASE STATE YOUR NAME AND THE CITY IN WHICH YOU LIVE BEFORE BEGINNING YOUR COMMENTS. CITIZEN COMMENTS ARE LIMITED TO THREE MINUTES WHILE NON-RESIDENT COMMENTS ARE LIMITED TO ONE MINUTE. A VISIBLE TIMER POSITIONED NEAR THE CITY SECRETARY'S DESK WILL HELP MANAGE THAT ALLOTTED TIME. IF YOU HAVE A PETITION OR ANY RELEVANT INFORMATION, PLEASE PRESENT IT TO THE CITY SECRETARY BEFORE SPEAKING AND SHE WILL DISTRIBUTE IT TO US. WITH THAT, WE'RE GOING TO GO ON TO SECTION F AND THAT IS OUR BOARD AND COMMITTEE APPOINTMENTS. MS. HUERTA. >> City Secretary: MAYOR, WE NEED TO ASK FOR PUBLIC COMMENT, PLEASE, BEFORE WE START THE APPOINTMENTS. >> Mayor Guajardo: IS THERE ANYBODY WHO WOULD LIKE TO SPEAK ON THESE BOARD AND COMMITTEE APPOINTMENTS BEFORE WE BEGIN? OKAY. >> City Secretary: SO THE FIRST BOARDS FOR YOUR CONSIDERATION, THEY'RE THE CORPUS CHRISTI B CORPORATION, OTHERWISE KNOWN AS THE TYPE B BOARD AND THE CORPUS CHRISTI BUSINESS AND JOB DEVELOPMENT CORPORATION. THAT'S THE TYPE A BOARD. THERE ARE THREE VACANCIES AND HISTORICALLY THE SAME PEOPLE SERVE ON BOTH TYPE A AND B. MARK LaRUE IS SEEKING REAPPOINTMENTS. >> I MAKE A MOTION. >> SECOND. >> Mayor Guajardo: WE HAVE A MOTION AND A SECOND. REBECCA, DO YOU WANT THIS ON THE SCREENS OR CAN WE -- >> City Secretary: JUST A VOICE VOTE, PLEASE. >> Mayor Guajardo: ALL IN FAVOR SAY AYE. >> [CHORUS OF AYES] >> Mayor Guajardo: ANY OPPOSED SAY NO. >> NO. >> City Secretary: WHO VOTED NO PLEASE? RAISE YOUR HANDS. TWO? SO IT'S STILL -- >> Mayor Guajardo: THE MOTION CARRIES . >> City Secretary: THAT LEAVES US WITH TWO VACANCIES TO FILL. >> Barrera: MAYOR, I WOULD LIKE TO NOMINATE CLAUDIA MOSTAGHASI AND [INAUDIBLE]. >> Mayor Guajardo: WE HAVE CLAUDIA MOSTAGHASI AND DUKE CONALCOHOLA. ANY OTHER NOMINATIONS? >> [OFF MIC] >> Mayor Guajardo: ALEX GARCIA AND BELA KHAN. ANY OTHER NOMINATIONS? I'M GOING TO GO AHEAD AND CLOSE NOMINATIONS. WE HAVE CLAUDIA MOSTAGHASI, DUKE CONCHOLA, ALEX GARCIA, AND BELA KHAN. I WILL START WITH COUNCILMAN SCOTT. PLEASE CHOOSE YOUR TWO. >> [OFF MIC] >> [OFF MIC] >> CLAUDIA MOSTAGHASI AND MR. KHAN. >> Mayor Guajardo: DUKE CANCHOLA AND BELA KHAN. >> Barrera: MOSTAGHASI AND CANCHOLA. >> MOSTAGHASI AND GARCIA. >> [OFF MIC] >> [OFF MIC] >> City Secretary: MOSTAGHASI AND CANCHOLA ARE APPOINTED TO THE TYPE A AND TYPE B BOARD. >> Mayor Guajardo: OKAY. >> City Secretary: NEXT WE HAVE THE ETHICS COMMISSION. THERE ARE THREE VACANCIES. MEMBERS ARE APPOINTED BY TWO-THIRDS VOTE OF THE FULL COUNCIL. AND THAT'S SIX VOTES. TREVOR MAC IS SEEKING REAPPOINTMENT AND HIS ATTENDANCE RATE IS IN YOUR PACKETS. >> MOVE TO REAPPOINT. >> SECOND. >> Mayor Guajardo: WE HAVE A MOTION AND A SECOND. ALL IN FAVOR SAY AYE. >> [CHORUS OF AYES] >> Mayor Guajardo: ANY OPPOSED SAY NO. THE MOTION CARRIES. >> City Secretary: THAT LEAVES US WITH TWO VACANCIES TO FILL. >> Mayor Guajardo: I'LL OPEN NOMINATIONS. WE HAVE TWO VACANCIES. WOULD ANYBODY LIKE TO NOMINATE? >> [OFF MIC] >> Mayor Guajardo: OKAY. ANY OTHER NOMINATIONS? WE'LL CLOSE NOMINATIONS AND START WITH COUNCILWOMAN VAUGHN. >> City Secretary: THERE'S TWO SLOTS AND TWO NOMINEES, MAYOR. >> [OFF MIC] >> City Secretary: DID YOU WANT TO NOMINATE? OKAY. >> [OFF MIC] >> Mayor Guajardo: SO ALL THREE. I'LL START HERE TO THE LEFT. COUNCILMAN SCOTT. >> Scott: MARTINEZ AND GUERRERO. >> [OFF MIC] >> Roy: MARTINEZ AND GUERRERO. >> Mayor Guajardo: MARTINEZ AND WILLINGHAM. >> Barrera: GUERRERO AND MARTINEZ. >> [OFF MIC] >> [OFF MIC] >> City Secretary: SO MARTINEZ IS APPOINTED. GUERRERO AND WILLINGHAM WE HAVE TO DO A RUNOFF. >> Mayor Guajardo: WE'LL START WITH COUNCILWOMAN VAUGHN. MARTINEZ -- WHO IS IT, REBECCA? >> City Secretary: IT'S GUERRERO AND WILLINGHAM. >> [OFF MIC] >> [OFF MIC] >> GUERRERO. >> Mayor Guajardo: GUERRERO. >> WILLINGHAM. >> [OFF MIC] >> [OFF MIC] >> City Secretary: OKAY. SO WE HAVE A TIE ON THAT ONE. WE'RE GOING TO HAVE TO BRING THAT BACK. MAYBE WHEN MR. CANTU GETS HERE, IF Y'ALL WISH TO REOPEN IT, WE CAN DO THAT THEN. >> Roy: CAN WE GET THE DICE OUT? [LAUGHTER] >> City Secretary: NEXT WE HAVE THE MARINA ADVISORY COMMITTEE. AND THERE'S ONE VACANCY ON THAT ONE. >> [OFF MIC] >> City Secretary: THERE'S ONE NOMINATION FOR GOTTBERG. ANY OTHER NOMINATIONS? YOU WANT TO CLOSE NOMINATIONS, MAYOR? >> Mayor Guajardo: CLOSE NOMINATIONS. >> City Secretary: IS THERE A MOTION TO APPOINT? >> [OFF MIC] >> Mayor Guajardo: WE HAVE A MOTION AND A SECOND. ALL IN FAVOR SAY AYE. >> [CHORUS OF AYES] >> Mayor Guajardo: ANY OPPOSED SAY NO. THE MOTION CARRIES. >> City Secretary: THAT LEAVES US WITH THE WATERSHORE AND BEACH ADVISORY COMMITTEE. THERE ARE TWO VACANCIES REPRESENTING THE FOLLOWING PREFERRED BUT NOT REQUIRED CATEGORIES. ONE AT-LARGE AND ONE CORPUS CHRISTI CONVENTION AND VISITORS' BUREAU REPRESENTATIVE. >> [OFF MIC] >> City Secretary: YOU NOMINATED WHO, MA'AM? DARDEN? >> Mayor Guajardo: ANY OTHER NOMINATIONS? >> [OFF MIC] >> City Secretary: THERE'S TWO SPOTS SIR. >> Mayor Guajardo: WE'LL CLOSE NOMINATIONS AND I WILL START WITH COUNCILWOMAN VAUGHN. >> City Secretary: YES, MA'AM. TWO. >> [OFF MIC] >> City Secretary: ONLY ROWELL? >> [OFF MIC] >> City Secretary: THERE'S TWO GIL. MR. HERNANDEZ. MS. VAUGHN WOULD LIKE TO NOMINATE ALLEN. SO SHE'S GOING TO GO AHEAD AND TAKE HER TWO VOTES. SO RAO AND ALLEN. >> [OFF MIC] >> Barrera: DARDEN AND ALLEN. >> Mayor Guajardo: DARDEN AND RAO. >> [OFF MIC] >> City Secretary: YOU'RE GOING TO LEAVE IT RAO AND ALLEN, RIGHT? >> Campos: YES. >> Roy: RAO AND ALLEN. >> Paxson: ALLEN AND DARDEN. >> ALLEN AND DARDEN. >> City Secretary: SO IT'S ALLEN AND RAO. THANK YOU VERY MUCH. >> Mayor Guajardo: THANK YOU, MS. HUERTA. OKAY. . WE'RE GOING TO MOVE ON TO SECTION H, BUDGET RELATED ITEMS 2 THROUGH 22. 2 IS A PUBLIC HEARING AND FIRST READING ORDINANCE ADOPTING THE CORPUS CHRISTI OPERATING BUDGET FOR FISCAL YEAR 2025-2026. >> GOOD MORNING, MAYOR AND COUNCIL. AMY CALLIE, DIRECTOR OF MANAGEMENT AND BUDGET. THIS FIRST ITEM IS AN ITEM TO APPROVE THE FIRST READING OF OUR FY26 OPERATING BUDGET. THE SLIDES THAT I HAVE TODAY I'LL GO THROUGH THEM PRETTY QUICKLY. THE MAJORITY OF THEM WE SAW ON THURSDAY AS WELL. SO OUR FY26 PROPOSED OPERATING BUDGET DOES ADDRESS THE CITY COUNCIL AND COMMUNITY PRIORITIES OF PUBLIC SAFETY, STREETS, ANIMAL CARE SERVICES, AND LIBRARIES. AND OUR FY26 IS $1.6 BILLION OPERATING. THAT'S $944 MILLION IN OPERATING AND $692.6 MILLION IN CAPITAL. OUR AUTHORIZED POSITIONS ARE SHOWN ON THIS SLIDE. AGAIN, THIS IS A SLIDE THAT WE REVIEWED ON THURSDAY OF LAST WEEK AS WELL. THE PROPOSED BUDGET DOES INCLUDE NO TAX RATE ADJUSTMENTS, SO THE PROPOSED BUDGET ASSUMES THE TAX RATE REMAINS FLAT FOR FY26. THERE IS A PROPOSED WATER RATE ADJUSTMENT, A PROPOSED WASTEWATER ADJUSTMENT, A PROPOSED STORMWATER ADJUSTMENT. NO PROPOSED RATE ADJUSTMENT FOR GAS. NO PROPOSED ADJUSTMENT FOR SOLID WASTE AND NO PROPOSED ADJUSTMENT FOR THE STREET USER FEE. THESE ARE THE AMENDMENTS FOR THE GENERAL FUND. WE DID ADD, AFTER OUR WORKSHOP LAST THURSDAY, WE ADDED FUNDING TO RESTORE THE CONSTITUENT RELATIONS COORDINATE POSITION FOR THE FULL YEAR. SO THE TOTAL PROPOSED GENERAL FUND REVENUES ARE $341,703,752 AND THE TOTAL PROPOSED EXPENSES IN THE GENERAL FUND ARE $346 MILLION. THE AMENDMENT FOR WASTEWATER INCLUDED THE EFFLUENT REUSE PROGRAM REVENUE . THE STREET MAINTENANCE FUND INCLUDED FUNDING FOR DEVELOPER PARTICIPATION AGREEMENTS. AGAIN, WE DID NOT -- WE BROUGHT FORWARD THE STREET USER FEE FOR DISCUSSION BUT WE DID NOT INCLUDE THAT IN THE PROPOSED BUDGET. THE RESIDENTIAL STREET RECONSTRUCTION FUND HAS A SLIGHT INCREASE TO REVENUES BASED ON THE MORE ACCURATE CERTIFIED PROPERTY TAX DETAIL. AND THE TIRZ REVENUES, THERE ARE DECREASES TO THE THREE TIRZ FUND REVENUES FOR THAT SAME REASON. WE ARE ADDING [LAPSE IN AUDIO] FOR THE CORPUS CHRISTI HOUSING AND FINANCE FUND WITH THIS PROPOSED BUDGET. WE HAVE AN ADJUSTMENT FOR THE EQUIPMENT VEHICLE REPLACEMENT FUND. A CAPITAL OUTLAY ADJUSTMENT FOR THE ENGINEERING FUND. AN ADJUSTMENT TO THE PROPERTY TAX REVENUES IN OUR DEBT SERVICE FUND. A CORRECTED WORKERS' COMPENSATION FINANCIAL STATEMENT. THIS DID NOT CHANGE THE PROPOSED FY26 REVENUES OR EXPENDITURES. IT WAS A CORRECTION TO THE FY24 ACTUALS. AND OUR TOTAL AMENDED AUTHORIZED POSITION COUNT WOULD BE 4,166 POSITIONS. THAT DOES INCLUDE 92 GRANT POSITIONS. LAST THURSDAY, WE DID HAVE OUR FINAL CITY COUNCIL BUDGET WORKSHOP. TODAY IS THE FIRST READING AND PUBLIC HEARING ON THE BUDGET. AND NEXT WEEK ON SEPTEMBER 9 WILL BE OUR PUBLIC HEARING AND SECOND READING ON THE BUDGET. STAND BY FOR ANY QUESTIONS. >> Mayor Guajardo: COUNCILMAN HERNANDEZ. >> Hernandez: JUST REAL QUICK. I KNOW AT THE END OF THE MEETING LAST WEEK FOR THE BUDGET WORKSHOP I MENTIONED THIS FUNDING FOR THE CITY SECRETARY'S OFFICE. AND THERE WAS -- WHAT IS THE NUMBER YOU HAVE THERE? >> $38,449 IS WHAT WE RESTORED INTO THE BUDGET AND THAT REFLECTS SEVEN MONTHS OF THAT POSITION. SO IT WAS A PARTIAL YEAR. AND THE SEVEN MONTHS IS WHAT WAS EXCLUDED INITIALLY, SO THAT DOES RESTORE THE FULL 12 MONTHS. >> Hernandez: THAT INCLUDES INSURANCE COVERAGE? >> YES, SIR. >> Hernandez: OKAY. ALSO IN THE BUDGET, WHEN YOU TRANSFER THE CAPITAL -- I'M SORRY, THE AMOUNTS TO THE STREET FOR THE TWO PLUS TWO PLUS ONE IN THE GENERAL FUND, THERE'S SOME CONFUSION AS TO WHAT THAT WAS CALCULATED. IF YOU COULD SEPARATE THAT IN THE BUDGET, ONCE WE APPROVE IT, TO WHERE YOU HAVE THE TWO PLUS TWO AND THE 1% IN SEPARATE LINE ITEMS. OKAY. THAT CREATED SOME CONFUSION WITH THAT FUNDING. OKAY. THANK YOU. >> YES, SIR. >> Mayor Guajardo: OKAY. I'M GOING TO GO AHEAD AND OPEN PUBLIC HEARING. IS THERE ANYONE IN THE AUDIENCE THAT WOULD LIKE TO MAKE PUBLIC COMMENT ON ITEM NO. 2? >> I'M GOING TO WAIT UNTIL YOU GET YOUR DOCUMENTS. THANK YOU. YOU HAVE THE TIMER? MY NAME IS JULIE ROGERS. I LIVE IN DISTRICT 1 AND MY LIBRARY IS LA RETAMA LIBRARY, THE MAIN LIBRARY IN CORPUS CHRISTI. I AM HANDING YOU A PETITION WHERE WE HAVE GROWN EACH WEEK BY OVER 100 PEOPLE WHO SUPPORT OUR LIBRARIES. WHAT THEY'RE SAYING IS DO NOT DEFUND OUR LIBRARIES. FOR TEN YEARS I HAVE BEEN AVOC ADVOCATING WE STOP UNDERFUNDING OUR LIBRARY BUT THIS YEAR WE TOOK A DIFFERENT ROUTE AND DECIDED WE WOULD DEFUND THEM. I APPRECIATE YOU PUTTING FUNDS BACK IN THE BUDGET FOR IT. IT IS ONLY THE FIRST READING SO I'M GOING TO KEEP HOLDING YOUR FOOT TO THE FIRE. I WOULD ASK THAT YOU ACTUALLY GIVE MORE TO THE LIBRARIES. I JUST CAME FROM THE LIBRARY BOARD MEETING. YOU ALSO GOT A DOCUMENT CALLED SUCCESS BY -- OR READING BEFORE SIX. THERE'S TWO GREAT PROGRAMS THAT GO ON. THIS ONE, THOUGH, IT'S A CHALLENGE TO READ BEFORE YOU GET SIX. 1,000 BOOKS BY SIX. AND IT'S VERY, VERY IMPORTANT. YOU'RE GOING TO NOTICE ON THAT FRONT PAGE IT SAYS REVAMPING. DO YOU KNOW WHY? BECAUSE WE DON'T HAVE ENOUGH FUNDING TO BUY THE HARDBACK BOOKS. WE'RE GOING TO PRODUCE IN-HOUSE, WHICH IS GOOD, IT'S GOOD THAT WE FIGURE OUT WAYS TO USE OUR CITY SERVICES AND TRY TO SAVE MONEY. BUT I'LL TELL YOU WHAT. FOR TEN YEARS THE LIBRARY SYSTEM HAS HAD TO FIGURE THINGS LIKE THIS OUT. AND IT'S JUST UNFAIR. YOU MIGHT WONDER WHY DOESN'T OUR LITERACY INCREASE? YOU KNOW WHY? BECAUSE WE DON'T INCREASE THE FUNDING TO OUR LIBRARIES. THANK YOU FOR HOLDING IT STEADY BUT THAT JUST ISN'T GOING TO DO ANYMORE. YOU HAVE TO DO BETTER THAN THIS. I DON'T WANT TO NEGLECT THAT I APPRECIATE YOU AND THE OTHER FOLKS, 615 WHO SIGNED THIS, THAT YOU'RE NOT GOING TO MAKE THESE CUTS. BUT YOU NEED TO START FUNDING THE LIBRARIES AND THAT WILL INCREASE OUR LITERACY RATE. WHEN YOU DO THAT, YOU'RE GOING TO INCREASE THE QUALITY OF LIFE IN CORPUS CHRISTI. YOU CERTAINLY ARE. DO YOU KNOW WHAT ELSE YOU'RE GOING TO INCREASE? PEOPLE'S ABILITY TO THINK CRITICALLY SO THAT THERE'S NOT ALL THIS MISINFORMATION THAT'S OUT THERE THAT WE KEEP HEARING. PEOPLE NEED TO BE ABLE TO THINK. IT STARTS WITH READING BEFORE YOU'RE SIX. PLEASE, FUND THE LIBRARIES PROPERLY. STOP DEFUNDING THEM. AND ONE MORE THING. WE OWN THE HART LIBRARY. KEEP IT. MAKE MONEY OFF OF IT. FBISD IS RESPONSIBLE FOR THEIR OWN LIBRARY, NOT US. >> Mayor Guajardo: THANK YOU, MS. TRAVIS. ANYONE ELSE ON ITEM 2? I'M GOING TO CLOSE PUBLIC HEARING. I'LL ENTERTAIN A MOTION TO APPROVE ITEM NO. 2. OH, COUNCILMAN HERNANDEZ. >> Hernandez: CORRECT ME IF I'M WRONG, AMY. WHAT IS OUR FUNDING THIS YEAR VERSUS LAST YEAR FOR THE LIBRARIES? >> SHOULD BE FAIRLY FLAT INCLUDING THE RESTORATION OF THE POSITION AND THE BOOKS. THE CURRENT ADOPTED BUDGET IS $6.2 MILLION IN FY25. AND SO IT IS INCREASING SLIGHTLY FOR PERSONNEL COSTS AND SUCH. BUT OTHER THAN THAT, THE OPERATIONS OF THE LIBRARY ARE FLAT. >> Zanoni: IT'S 6.2 RIGHT NOW IN THE CURRENT YEAR AND IT'S GOING TO GO UP TO 6.5. SO THERE WILL BE AN INCREASE IN THE LIBRARY BUDGET. >> Hernandez: BY 300? >> Zanoni: $300,000. NOT TO MENTION THE BIG BOND PROGRAM AT LA RETAMA. $2MILLION FOR FACILITY IMPROVEMENTS ON THAT LIBRARY. THAT'S UNDERWAY RIGHT NOW. >> Hernandez: OKAY. THANK YOU. >> Mayor Guajardo: COUNCILWOMAN VAUGHN. >> Vaughn: COMPARED TO LAST YEAR'S BUDGET, WE INCREASED HOW MUCH? >> IN TOTAL? WE WERE AT $1.8 BILLION FOR FY25. AND WE'RE AT $1.6 BILLION FOR FY26. >> Vaughn: SO WE DECREASED OVERALL CORRECT? >> CORRECT. >> Vaughn: JUST MAKING SURE. I DIDN'T WANT IT TO GO UP. >> Mayor Guajardo: OKAY. ANY OTHER QUESTIONS, COMMENTS? I'LL ENTERTAIN A MOTION. >> I MOVE FOR APPROVAL. >> SECOND. >> Mayor Guajardo: WE HAVE A MOTION AND A SECOND. ANY FURTHER DISCUSSION? REBECCA, WERE YOU PUTTING THIS ON? OKAY. OKAY. THE MOTION CARRIES. ITEM NO. 3 IS A PUBLIC HEARING AND FIRST READING ORDINANCE ADOPTING THE CORPUS CHRISTI FISCAL YEAR 2025-2026 CAPITAL BUDGET. >> THE ITEM YOU HAVE BEFORE YOU WOULD BE TO APPROVE THE FIRST READING OF OUR CAPITAL BUDGET. AS YOU KNOW WE DO DEVELOP A LONG-TERM, TEN-YEAR CAPITAL PLAN. TODAY WHAT YOU'RE APPROVING IS THE APPROPRIATION FOR YEAR ONE OF THAT PLAN. THAT IS THAT FIRST BOX ON THIS SLIDE. WE ALSO HAVE A SHORT-RANGE PLAN. THOSE ARE YEARS ONE THROUGH THREE. WHAT MAKES IT INTO THE SHORT-RANGE PLANS ARE PROJECTS THAT HAVE FUNDING ASSOCIATED WITH THEM. AND IT'S MORE ANTICIPATED THAT WE WILL MOVE IN THAT DIRECTION IN YEARS TWO AND THREE. AND THEN THE LONG-RANGE PLAN IS FOR YEARS FOUR THROUGH TEN. THOSE PROJECTS, WE KNOW WE NEED THEM. WE WANT THEM ON THE RADAR BUT WE DON'T NECESSARILY HAVE FUNDING IDENTIFIED YET TO EXECUTE THOSE PROJECTS OR WE KNOW THAT THEY WILL BE NEEDED IN FUTURE YEARS. SO OUR TOTAL CIP FUNDING BY DEPARTMENT IS SHOWN ON THIS SLIDE. THE TOTAL BEFORE YOU TODAY IS $764 MILLION. THAT MAKES UP VARIOUS FUNDING SOURCES. THE MAJORITY OF WHICH IS REVENUE BONDS. WE ALSO HAVE GENERAL OBLIGATION BONDS. WE HAVE GRANTS, TYPE A AND B ECONOMIC DEVELOPMENT FUNDING. THIS CHART IS A GREAT PICTURE TO SHOW HOW OUR DEPARTMENTS HAVE BEEN EXECUTING THESE PROJECTS OVER THE YEARS, SPECIFICALLY OUR BOND PROJECTS. THESE ARE THE PROJECTS THAT GO TO THE VOTERS AND THE VOTERS VOTE YES, LET'S DO THESE PROJECTS. WE HAVE BEEN EXECUTING THOSE EXPONENTIALLY. OUR FY25 CIP SCORECARD, THIS WOULD SHOW YOU THAT WE ARE ACTUALLY EXECUTING THESE PROJECTS IN A TIMELY MANNER. THE GOAL FOR FY25 WAS TO BE AT 80%. WE ARE AT 84 TO 85%, DEPENDING ON IF YOU LOOK AT PROJECT COUNT OR PROJECT FUNDING. BUT IT'S PRETTY ALIGNED AND BETTER THAN WHAT THE GOAL WAS FOR FY25. AND THEN OUR FY26 SUMMARY SHOWS THAT WE DON'T HAVE A LARGE NUMBER OF NEW PROJECTS. WE ARE CONTINUING TO EXECUTE THE PROJECTS IN OUR PLAN. AND I'LL STAND BY FOR ANY QUESTIONS. >> Mayor Guajardo: I DON'T SEE ANY QUESTIONS OR COMMENTS. I'M GOING TO GO AHEAD AND OPEN PUBLIC HEARING. IS THERE ANYONE IN THE AUDIENCE THAT WOULD LIKE TO MAKE A COMMENT ON ITEM NO. 3? OKAY. THERE BEING NO ONE, WE'LL CLOSE PUBLIC HEARING AND I WILL ENTERTAIN A MOTION TO APPROVE ITEM NO. 3. >> Barrera: I MOVE FOR APPROVAL. >> SECOND. >> Mayor Guajardo: WE HAVE A MOTION AND A SECOND. PLEASE SUBMIT YOUR VOTE. OKAY. THE ITEM CARRIES. ITEM NO. 4 IS A PUBLIC HEARING AND FIRST READING ORDINANCE SETTING A PROPERTY TAX RATE OF 0.599774 PER $100 VALUATION, WHICH IS EFFECTIVELY A .23% INCREASE OVER THE NO-NEW-REVENUE TAX RATE AND APPROVING THE TAX ROLL AS CALCULATED. >> GOOD MORNING, EVERYONE. DIRECTOR OF FINANCE AND PROCUREMENT HERE. JUMPING RIGHT INTO THE PRESENTATION. STAFF IS RECOMMENDING TO ADOPT THE PROPOSED TAX RATE OF .599774 PER $100 VALUATION. THIS IS A .001351 OR .23 MORE THAN THE NO-NEW REVENUE RATE AND IT'S WELL BELOW THE VOTER APPROVAL RATE. THIS NEXT SLIDE SHOWS WHAT THE TAX RATE FUNDING WILL BE USED FOR. ABOUT 95.7 GOES TO THE GENERAL FUND MAINTENANCE AND OPERATION. WE HAVE $11.3 MILLION USED TO FUND RESIDENTIAL STREETS. $6.6MILLION GOES TO THE TAX INCREMENT REINVESTMENT ZONE AND $62 MILLION GOES TO FUNDING DEBT SERVICE. I'LL STAND BY FOR ANY QUESTIONS AND STAFF RECOMMENDS APPROVAL. AGAIN, THIS IS A PUBLIC HEARING. >> Mayor Guajardo: COUNCILWOMAN CAMPOS. >> Campos: ON THE RESIDENTIAL STREETS, HOW DO WE -- I THINK YOU, COUNCILMAN HERNANDEZ HAS MENTIONED SOMETHING LIKE THIS ABOUT THE STREETS SO THAT WE CAN ALLOCATE. SO WE CAN MAKE SURE THAT WE HAVE A CERTAIN ALLOCATION OF TAX DOLLARS GOING JUST TO RESIDENTIAL STREETS. IS THIS WHERE IT WOULD BE DONE? BECAUSE RIGHT HERE YOU HAVE THE EQUIVALENT OF .4 OR $11.3 MILLION. HOW WOULD WE BE ABLE TO CHANGE -- WE WOULD HAVE TO THEN REDUCE SOMETHING FROM THE GENERAL FUND IN ORDER TO INCREASE THAT FOR RESIDENTIAL? >> CORRECT. IT IS ADOPTED BY COUNCIL TO FUND RESIDENTIAL STREETS. YOU CAN INCREASE THAT. IT IS A BUDGET DECISION AND SO IF YOU HAVE A BALANCED BUDGET YOU WOULD NEED TO ADJUST EXPENDITURES ACCORDINGLY. >> Campos: OKAY. OKAY. BUT I GUESS THAT WAS ONE OF THE THINGS THAT I WASN'T SURE OF IF WE WOULD BE ABLE TO DO IT AT SOME POINT. BUT IT HAS TO BE DONE PRIOR. LIKE, THAT'S WHY IT'S IMPORTANT TO HAVE THESE DISCUSSIONS WAY BEFORE. I KNOW THAT THIS IS KIND OF ALREADY LATE BUT I REMEMBER JUST HAVING OUR OWN INPUT SESSIONS AND WE JUST HAD IT THURSDAY. THERE'S JUST NO TIME TO MOVE ANY OF THIS MONEY. AGAIN, IT'S NOT ON YOU BUT IT'S ON US TO BE ABLE TO EDUCATE THE PUBLIC ABOUT INPUT. OKAY. THANK YOU, SIR. >> THANK YOU. >> Mayor Guajardo: THANK YOU, COUNCILWOMAN. ANYONE ELSE? OKAY. I'M GOING TO GO AHEAD AND OPEN PUBLIC HEARING ON ITEM NO. 4. IS THERE ANYONE IN THE AUDIENCE THAT WOULD LIKE TO MAKE COMMENT ON ITEM NO. 4? OKAY. THERE BEING NO ONE, WE'LL CLOSE PUBLIC HEARING. >> Barrera: MAYOR, I WOULD MOVE THAT THE PROPERTY TAX RATE -- >> Mayor Guajardo: SO DURING TODAY'S COUNCIL MEETING, THE CITY COUNCIL WILL VOTE ON THE FIRST READING OF THE PROPOSED PROPERTY TAX RATE OF 0.599774 PER $100 VALUATION FOR FISCAL YEAR 2026 AND AT THE SEPTEMBER 9, 2025 CITY COUNCIL MEETING BEGINNING AT 11:30 A.M. AT CITY HALL. THE CITY COUNCIL WILL VOTE ON THE SECOND READING OF THE PROPOSED TAX RATE OF 0.599774 PER $100 VALUATION. >> Barrera: I MOVE THAT THE PROPERTY TAX RATE BE INCREASED BY .599774 PER $100 VALUATION WHICH IS EFFECTIVELY A .23% INCREASE IN THE TAX RATE. >> Mayor Guajardo: DO WE HAVE A SECOND? >> SECOND. >> Mayor Guajardo: WE HAVE A MOTION AND A SECOND . ARE YOU GOING TO PUT THIS UP, REBECCA? PLEASE SUBMIT YOUR VOTES. THE MOTION CARRIES. ITEM NO. 5 IS AN ORDINANCE RATIFYING THE PROPERTY TAX INCREASE REFLECTED IN THE FISCAL YEAR 2025-2026 OPERATING BUDGET THAT WILL REQUIRE RAISING MORE REVENUE FROM PROPERTY TAXES THAN IN THE FISCAL YEAR 2024-2025 OPERATING BUDGET IN THE AMOUNT OF $6,061,319. >> THIS ITEM IS TO RECOGNIZE THE FACT THAT ALTHOUGH OUR TAX RATE IS STAYING FLAT, WE ARE COLLECTING OR BUDGETING TO COLLECT ADDITIONAL PROPERTY TAX REVENUES AND THAT'S PRIMARILY DRIVEN BY HIGHER CERTIFIED VALUES AND SOME NEW GROWTH. ABOUT $2.7 MILLION IS FROM NEW PROPERTY ADDED TO THE ROLLS. ARE THERE ANY OTHER QUESTIONS ON THIS ITEM? >> Mayor Guajardo: NOPE. I DON'T THINK SO. THANK YOU. I'M GOING TO GO AHEAD AND OPEN PUBLIC COMMENT. WOULD ANYONE LIKE TO COMMENT ON ITEM NO. 5? >> HELLO. I WAS HOPING TO MAKE IT FOR THE BUDGET ITEMS BEFORE SO I'M GLAD I WAS ABLE TO MAKE IT FOR THIS ONE -- MARK MINISTER, CORPUS CHRISTI. BECAUSE THE PROPERTY TAX PLAYS A HUGE ROLL. BECAUSE OF THE REVENUE TO THE OPERATING BUDGET. IT WAS 90-PLUS MILLION. FOR PROPERTY TAXES, THAT DIRECTLY CORRELATES WITH THE INDUSTRIAL DISTRICT AGREEMENTS, THE IDAs. WHEN YOU WERE TALKING ABOUT WHO OUR TAXES ARE GOING TO BE RAISED FOR, YOU'RE RAISING IT FOR RESIDENTS THROUGH THEIR PROPERTY TAXES WHO DON'T HAVE THE DEALS AND THE ABATEMENTS AND REDUCTIONS AVAILABLE THAT HUGE CORPORATIONS HAVE. AND THEY'RE SUPPOSED TO BE THE MAIN PEOPLE IN OUR ECONOMY AND THE PEOPLE WHO DRIVE OUR ECONOMIC GROWTH. BUT THEY ARE NOT PAYING THEIR FAIR SHARE BECAUSE THEY CAN GET SIGNIFICANT DEVALUATIONS THROUGH THEIR FAVORABLE INDUSTRIAL DISTRICT AGREEMENTS THAT RESIDENTS DO NOT HAVE AVAILABLE TO THEM. AND THESE CORPORATIONS HAVE -- ALSO, THE PROPERTY TAXES AT THE COUNTY, CITY LEVEL. AT THE FEDERAL LEVEL THEY HAVE ACCESS TO SO MANY MORE TAX BREAKS AND INCENTIVES THAN THE AVERAGE RESIDENTIAL HOMEOWNER WOULD BE WHOSE MAIN ASSET IS THEIR HOME. THE PLACE THAT THEY LIVE, NOT A FACILITY THAT IS USED FOR THEIR OPERATIONS. SO I JUST WANTED TO BRING THAT UP BECAUSE THAT'S VERY RELEVANT TO PROPERTY TAXES. >> Mayor Guajardo: THANK YOU. ANYONE ELSE? >> RACHEL CABALLERO, DISTRICT 1. I AM HERE TO OPPOSE THE TAX INCREASE ON BEHALF OF THE CORPUS CHRISTI TAXPAYERS' ASSOCIATION. CONSIDERING THE 17 RATE INCREASES THAT ARE BEING PROPOSED TODAY AND ALSO THE POSSIBILITY OF A CERTAIN PROJECT EITHER BEING PASSED OR NOT. OUR COMMUNITY CANNOT CONTINUE CONTINUOUSLY AFFORD THIS MONEY GRAB FROM A GOVERNING BODY THAT FOR SOME REASON IN THE LAST SIX YEARS HAS BEEN UNABLE TO BALANCE A BUDGET, NOT AMEND IT, AND MAKE SURE THAT IT IS ACCURATE. SO I WOULD ASK THAT YOU GUYS CONSIDER NOT APPROVING THIS TAX INCREASE. >> Mayor Guajardo: THANK YOU. ANYONE ELSE? WE'LL CLOSE PUBLIC COMMENT. DID YOU HAVE SOMETHING? I WILL CLOSE PUBLIC COMMENT AND I WILL ENTERTAIN A MOTION TO APPROVE ITEM NO. 5. >> Barrera: I MOVE FOR APPROVAL. >> SECOND. >> Mayor Guajardo: WE HAVE A MOTION. WE HAVE A SECOND RATIFYING THE PROPERTY TAX RATE. PLEASE SUBMIT YOUR VOTE. THE MOTION CARRIES. ITEM NO. 6 IS AN ORDINANCE AMENDING CORPUS CHRISTI CODE SECTION 6-15 TO UPDATE THE DAILY BOARDING FEES, COMMERCIAL PERMIT FEES, FIRST AND SECOND OCCURRENCE IMPOUNDMENT FEES, SPECIES APPROPRIATE VACCINE FEES, ADDING A THIRD OCCURRENCE IMPOUNDMENT FEE AND AMENDING SECTION 6-26 TO ADD A LEGAL PRESUMPTION REGARDING RABIES IMMUNIZATION. >> GOOD MORNING, MAYOR AND COUNCIL. DIRECTOR OF ANIMAL CARE SERVICES. THE FY26 FEE ADJUSTMENT SCHEDULE. ANIMAL CARE SERVICES BENCHMARKED OTHER CITIES IN TEXAS AND PERFORMED LOW-COST SERVICE ANALYSIS. THE PROPOSED CHANGES AND ADDITIONS ARE INTENDED TO ASSIST IN ACHIEVING THE COST RECOVERY LEVELS OUTLINED IN THE CITY GATE ASSESSMENT REPORT. ACS HAS NOT INCREASED FEES FOR DAILY BOARDING COMMERCIAL PERMITS AND FIRST OCCURRENCE SINCE MARCH 27, 2018. NOR THE FEES FOR SECOND IMPOUND OR SPECIES-APPROPRIATE VACCINES. THOSE WERE UPDATED JANUARY 20, 2015. ADDITIONALLY, ACS IS ADDING A THIRD OCCURRENCE IMPOUND FEE AND AMENDING TO SECTION 626 TO ADD A LEGAL PRESUMPTION REGARDING RABIES IMMUNIZATIONS. THE PROPOSED FEE ADJUSTMENTS INCLUDE GOING FROM DAILY BOARDING FROM $10 TO $15. FIRST IMPOUNDMENT FROM $30 TO $50. SECOND IMPOUNDMENT TO 50 TO $75. ADDING THE THIRD FOR $150. THE SPECIES-APPROPRIATE VACCINATIONS WILL GO FROM $10 TO $15. THE PROJECTED REVENUE WILL INCREASE $24,510 TO THE GENERAL FUND AND THE STAFF RECOMMENDS APPROVAL OF THE ANIMAL CARE SERVICES FEE ADJUSTMENTS. I'LL HOLD FOR QUESTIONS. >> Mayor Guajardo: COUNCILMAN CANTU. >> Cantu: THANK YOU. SO WHEN MY DOG GETS IMPOUNDED TODAY AND I GET MY DOG OUT TOMORROW. WHAT AM I PAYING, TOTAL FEES? >> YOU WILL BE PAYING -- THE FIRST IMPOUNDMENT FEE, WHICH IS THE $50. YOU'LL ALSO BE PAYING, IF THE DOG IS NOT MICROCHIPPED OR VACCINATED, YOU ADD THOSE TO THE $15 EACH VACCINATION. WE PUT A TOPICAL ON EACH ANIMAL FOR FLEA AND TICKS. YOU WILL BE PAYING THAT AS WELL. >> Cantu: SO MORE OR LESS AVERAGE? >> ABOUT $80. >> Cantu: FOR THE FIRST 24 HOURS. >> UH-HUH. >> Cantu: IF THIS PASSES, THE DAILY FEE WOULD BE $15? >> YES. >> Cantu: DO YOU GUYS HAVE A HARD TIME WITH PEOPLE TRYING TO PICK UP THEIR DOGS AND THEY DON'T HAVE THE MONEY FOR IT? >> WE DO HAVE THAT COME UP AND WE DO WORK WITH THEM. >> Cantu: AS IN WHAT WAY? >> WE'LL REDUCE FEES. WE'LL ASK WHY. IF IT'S A FIRST OCCURRENCE, WE TOTALLY UNDERSTAND. THINGS HAPPEN. IF IT'S A THIRD OCCURRENCE, WE NEED YOU IN COMPLIANCE TO HAVE YOUR ANIMAL STAY ON YOUR PROPERTY. >> Cantu: OKAY. AS AVERAGE, HOW MANY PEOPLE SAY THEY DON'T HAVE THE MONEY TO PICK UP THEIR DOGS? >> I WOULD HAVE TO GET THAT ANSWER FOR YOU. >> Cantu: IT'S A LOT YOU THINK MAYBE? >> NOT AS MANY AS YOU WOULD THINK. >> Cantu: OKAY. THANK YOU. >> Mayor Guajardo: COUNCILMAN ROY. >> Roy: SO, YOU KNOW, I RECENTLY, AS YOU KNOW, ADOPTED ANOTHER DOG. >> THANK YOU. >> Roy: AND, YOU KNOW, THE PROCESS -- I WENT NOT ONLY TO YOUR FACILITY BUT I ALSO WENT TO THE GULF COAST HUMANE SOCIETY. AND I THINK THE GULF COAST HUMANE SOCIETY CHARGES $125. >> IT IS A LOT MORE THAN WE CHARGE. >> Roy: AND YOU CHARGE $25. I BASICALLY PAID $25 WHEN I ADOPTED THIS DOG. AND YOU ACTUALLY -- I'M TRYING TO THINK. YOU DID ALL THE THINGS THAT YOU SAID YOU WERE GOING TO DO BEFORE IT WAS PICKED UP. OF COURSE YOU HAD TO RUN SOME TESTS TO SEE IF IT WAS HEARTWORM NEGATIVE OR POSITIVE. AT $25, WHEN'S THE LAST TIME YOU RAISED THAT OR ADJUSTED THAT FEE? THAT'S PRETTY LOW. >> IT IS. HOWEVER, WE DID LOOK AT THAT FEE AS WELL WHEN WE LOOKED AT THE OTHER MUNICIPALITIES, THE OTHER CITIES. AND BECAUSE ADOPTION RATES ARE SO LOW IN MUNICIPALITIES, EVERYONE IS ABOUT $25, $30. SO IF WE GO ANY HIGHER -- >> Roy: YOU'RE NOT GOING TO GET PEOPLE TO ADOPT. >> CORRECT. WE WANT TO HAVE GOOD HOMES FOR THESE ANIMALS. SO IF $25 IS WHAT WE NEED TO HAVE IT AT, THAT'S WHAT WE WERE STAYING AT. >> Roy: I WAS REALLY SURPRISED THE DISPARITY BETWEEN THE TWO. LIKE I SAID, THEY CHARGE $125 FOR THEIR ADOPTION. AND YOU'RE CHARGING $25. ALL RIGHT. THAT'S THE ONLY QUESTION I HAD. THANK YOU. >> Mayor Guajardo: I THINK THAT'S ALL THE QUESTIONS, KATY. THANK YOU. WE'RE GOING TO GO AHEAD AND OPEN PUBLIC COMMENT. IS THERE ANYONE IN THE AUDIENCE THAT WOULD LIKE TO MAKE A COMMENT ON ITEM NO. 6? OKAY. THERE BEING NO ONE, WE'LL CLOSE PUBLIC COMMENT. AND I WILL ENTERTAIN A MOTION TO APPROVE THE ORDINANCE. >> SO MOVE. >> SECOND. >> Mayor Guajardo: OKAY. WE HAVE A MOTION AND A SECOND. PLEASE SUBMIT YOUR VOTE. CAN SHE STILL VOTE? >> [OFF MIC] >> Mayor Guajardo: CAN YOU -- >> CAN I STILL VOTE? AYE. >> Mayor Guajardo: THE MOTION CARRIES. ITEM NO. 7 IS AN ORDINANCE AMENDING CORPUS CHRISTI CODE SECTION 9-35, PARKING RATES TO UPDATE THE PARKING RATES FOR SHORT-TERM AND COVERED PARKING AT CORPUS CHRISTI INTERNATIONAL AIRPORT. >> GOOD AFTERNOON, MAYOR AND COUNCIL. KIMBERLY MILLER, ASSISTANT DIRECTOR FOR THE AIRPORT. THE ITEM WE HAVE BEFORE YOU TODAY IS TO -- IT'S PART OF OUR -- SKIP TO THE NEXT SLIDE. WE HAVE A FIVE-YEAR PLAN FOR RATE STRUCTURE. WE ARE IN YEAR FOUR OF FIVE SO WE ARE PROPOSING TO RAISE SHORT-TERM AND THE COVERED PARKING FROM $13 AN HOUR TO $15 AN HOUR. THIS SCHEDULE WAS DEVELOPED IN THE BUDGET PROCESS OF 2023 AND IT HAD NOT -- WE HAD NOT HAD A RATE INCREASE SINCE 2019. SO WE DEVELOPED THIS PARTICULAR FIVE-YEAR STRUCTURE AS PART OF BRINGING OUR AIRPORT IN ALIGNMENT WITH OTHER AIRPORTS AS WELL AS GENERATING REVENUE TO SUPPORT THE GENERAL OPERATION. >> WE ALSO WANTED TO IMPLEMENT THREE YEARS OF FREE PARKING. PRIOR TO THAT, WE HAD 30-MINUTE, ONE-HOUR INCREMENTS OF PARKING, SO WE FELT LIKE IT WAS A GOOD INITIATIVE TO DO A THREE-HOUR FREE PARKING SO THAT WE COULD ENCOURAGE PEOPLE TO COME INTO THE PARKING LOT AND PARK, COME VISIT THEIR FAMILY, DROP OFF THEIR FAMILY, SO WE WILL CONTINUE THAT THREE-YEAR FREE PARKING. WE ALSO WILL BE KEEPING OUR FREE PARKING FOR DISABLED VETERANS AS WELL. WE ARE ASKING FOR APPROVAL ON THIS RATE INCREASE FOR THIS COMING FISCAL YEAR. IN YOUR PACKET, YOU ALSO HAVE SOME INFORMATION ON COMPARABLE AIRPORTS. WE LOOKED TO AIRPORTS TO THE SOUTH OF US AND TO THE NORTH OF US. OUR RATES DO ALIGN VERY WELL WITH THE TWO AIRPORTS ON THE BOTTOM PART OF THE SLIDE WHICH ARE McALLEN AND THE VALLEY. BUT JUST TO NOTE HERE ON THE FAR RIGHTEN PLANEMENTS, THEY DO HAVE ABOUT DOUBLE THE ENPLANEMENTS WE HAVE. OUR RATES ARE VERY MUCH IN ALIGNMENT WITH THESE OTHER TWO AIRPORTS. ANY QUESTIONS? >> Mayor Guajardo: NO, MA'AM. NO QUESTIONS. THANK YOU SO MUCH. I'M GOING TO GO AHEAD AND OPEN PUBLIC COMMENT. IS THERE ANYONE IN THE AUDIENCE THAT WOULD LIKE TO MAKE COMMENT ON ITEM NUMBER SEVEN. OKAY. THERE BEING NO ONE, WE'LL CLOSE PUBLIC COMMENT AND I WILL ENTERTAIN A MOTION TO APPROVE THARD ORDINANCE. >> Barrera: I MOVE FOR THE APPROVAL. >> SECOND. >> Mayor Guajardo: WE HAVE A MOTION AND A SECOND. PLEASE SUBMIT YOUR VOTE. THE MOTION CARRIES. ITEM NUMBER 8 IS AN ORDINANCE AMENDING CORPUS CHRISTI CODE SECTION 12-108 TO UPDATE FEES FOR SUNRISE BEACH RV PARK. >> NICK WINKELMANN, DIRECTOR OF WATER SYSTEMS. IF WE COULD PUT THE PRESENTATION. SO THIS IS A FEE INCREASE FOR SUNRISE BEACH RV PARK, IT IS ADJACENT TO THE WESLE WESLEY SEALE DAM. CCW ASSUMED OPERATIONS OF SUNRISE BEACH IN 2009. AS YOU CAN SEE, IT'S ADJACENT TO THE DAM. THE PARK HAS 150 CAMP SITES AND WE LAST UPDATED THE DAILY FEES IN 2020. THIS IS A BREAKDOWN OF SOME OF THE AMENITIES. SUNRISE BEACH OF COURSE HAS A LAKE VIEW. THERE'S UTILITIES TO EACH CAMP SITE. THOSE ARE INCLUDED IN THE PRICE. WE'VE GOT RESTROOM AND SHOWERS, ONSITE SECURITY, BOAT STORAGE, FISH CLEANING STATIONS, BASKETBALL COURT, LAUNDRY FACILITY AND OTHER OUTDOOR TABLES AND AMENITIES. THE PROPOSED FEE INCREASE, IT'S A FIVE-YEAR PLAN. THIS IS MEANT TO RECOVER ALL OF THE OPERATING COST FOR SUNRISE BEACH. YOU CAN SEE, THERE'S A LARGE INCREASE IN FISCAL YEAR '26, AND THEN A MODEST INCREASE AS WE MOVE FORWARD. TOWARDS THE END OF THE FIVE-YEAR PLAN, THERE ARE A COUPLE OF CAPITAL PROJECTS PLANNED THAT'S AN UPDATE TO THE RESTROOM AND OTHER FACILITIES AT THE PARK. AND THEN THERE'S THE PROPOSED BOAT RAMP, WHICH WE TALKED ABOUT DURING THE CIP REVIEW. SO, AGAIN, THESE -- THESE FEES WOULD COVER THE COST OF THOSE CAPITAL IMPROVEMENTS. THE STAFF RECOMMENDATION IS TO SUPPORT THE FIVE-YEAR RATE FEE ADJUSTMENT, SO THAT SUNRISE BEACH CAN BE SELF-SUSTAINING, AND ALSO WE CAN CONTINUE -- THE OTHER ADVANTAGE IS THAT CCW CAN CONTINUE TO MONITOR AND MAINTAIN THE PROPERTY CLOSEST TO THE DAM FOR SECURITY REASONS. WITH THAT, I'LL STAND BY FOR QUESTIONS. COUNCILWO MAN PAXSON. >> Paxson: THANK YOU, MAYOR. THANK YOU FOR THE PRESENTATION. THAT WAS A FUN AGENDA ITEM TO READ THROUGH. I KNEW CCW WAS VERY ACCOMPLISHED, BUT NOW YOU HAVE A WHOLE PARK UNDER YOUR PURVIEW, SO THAT'S INTERESTING. WERE WE ABLE TO LOOK AT THE BOAT RAMP THAT WAS INSTALLED RECENTLY AT THE LAKE THAT YOU REFERENCED? THIS IS THE SAME PROJECT? >> Winkelmann: YEAH, YOU HAD A QUESTION ABOUT THAT DURING OUR CAPITAL BUDGET REVIEW WORKSHOP LAST WEEK, SO THIS BOAT RAMP IS NOT A -- IT'S NOT A FLOATING BOAT RAMP AS YOU DESCRIBED, BUT IT IS PUSHED BACK INTO THE CAPITAL PLAN, SO THERE IS TIME TO EVALUATE IT AND SEE WHAT THAT EXISTING BOAT RAMP IS. SO WE PUSHED IT BACK IN -- WHAT YEAR IS THAT? WHAT FISCAL YEAR IS THE BOAT RAMP? >> '27. >> Winkelmann: FFISCAL YEAR '27. SO THE ACTION IS, WE JUST PUSHED IT BACK SO WE COULD DO MORE DISCOVERY ON IT? >> Winkelmann: WELL, WE PUSHED IT BACK, WE NEEDED TO MAKE SURE THAT THESE FEES WERE APPROVED SO WE COULD FUND THE BOAT RAMP PROPERLY. WE DON'T WANT TO FUND IT WITH REVENUE BONDS, THEY NEED TO BE FUNDED BY THE FEES OF THE PARK. >> Paxson: IS IT -- I'M SEEING IN THE PACKET WHERE YOU HAVE THE TABLE, EXPENSES AND REVENUE BREAKDOWN, BOAT RAMP, CIP 21, 116. IS THAT THE SAME PROJECT? >> YEAH, 21116 IS THE BOAT RAMP AND THE OTHER CAPITAL PROJECT IS THE REST NOOM AND OTHER FACILITY IMPROVEMENTS. >> Paxson: IT LOOKS LIKE IT'S STARTING IN '28, SELLING BONDS ENTWINE. I DON'T SEE ANYTHING UNDER '27 UNLESS I'M MISSING IT. . >> [OFF MIC BRABT. >> Winkelmann: OH, I'M SORRY. SO THE CAPITAL PROJECT STARTS IN '28, BUT OF COURSE YOU DON'T SELL BONDS UNTIL THE FOLLOWING YEAR. >> Paxson: OKAY. >> Winkelmann: REMEMBER, ON THOSE REVENUE BONDS, THERE'S THE FOLLOWING ADD-ON YEAR. >> Paxson: SURE. I WOULD JUST HATE TO EXPENSE WHAT LOOKS LIKE ULTIMATELY 70 $70,000 OR SO, I DON'T KNOW WHAT THE TOTAL THAT WE'RE LOOKING AT, THIS IS JUST A SNAPSHOT OF THIS ENTIRE PROJECT, BUT IF THERE'S ALREADY A PIECE THAT'S OUT THERE, WHETHER IT'S A FLOATING DOCK OR NOT, YOU KNOW -- >> I'LL LET YOU TALK TO -- >> SO THE BOAT RAMP THAT WAS IN QUESTION FROM THE TEXAS PARKS JUST ADJACENT TO US IS A DIFFERENT TYPE OF BOAT RAMP. THEY JUST EXTENDED, IT'S A ONE LANE -- THEY PUT DOWN KIND OF A GARAGE DOOR SO THAT YOU CAN DRIVE OVER. THE PROBLEM WITH SUNRISE BEACH AND THE AREA THAT WE HAVE, IT'S A STEEPER DROPOFF. IN TALKING TO THE PARKS -- TEXAS PARKS AND WILDLIFE, YOU WILL NEED TO DO A FEASIBILITY STUDY AND IT IS MADE TO ORDER. SO THE COSTS AREN'T ALL THE SAME. >> Paxson: SO MY CURIOSITY IS IF WE HAVE GUESTS OR PATRONS USING THIS SUNRISE BEACH PARK, I DON'T THINK IT WOULD BE TOO BURDENSOME FOR THEM TO GO AROUND TO THE BOAT RAMP THAT'S BEEN RECENTLY INSTALLED. ALSO, I THINK THAT THE LOCAL BUSINESSES IN THAT AREA WERE VERY ENCOURAGED BY THIS NEW INSTALLATION, AND I THINK THAT IF WE DEFER AND CONTINUE TO ALLOW FOLKS TO UTILIZE THAT RAMP, WE WOULD BENEFIT THEIR -- THAT ECONOMY AS WELL, SAVE US MONEY, THAT KIND OF THING. SO THAT'S MY INTEREST. >> SO THE BOATERS CAN DO THAT. THEY CAN RENT A PLACE TO PARK THEIR BOAT, PARK THEIR VEHICLE AND THEN WHEN THEY NEED TO ACCESS, IF OUR BOAT RAMP ISN'T ACCESSIBLE, THEY CAN ALWAYS DRIVE TO ANOTHER BOAT RAMP. >> Paxson: I THINK IT'S -- IN A NUTSHELL, IT'S A GREAT PROJECT, BUT I THINK THERE'S A PIECE THERE, AND I THINK THAT WE -- RIGHT NOW ARE IN A POSITION TO LOOK AT OUR BUDGET IN A NEEDS, NOT WANT. THAT'S THE -- THAT'S THE BOTTOM LINE FOR ME. THANK YOU. COUNCILMA N ROY? >> Roy: I'VE GOT TWO COUPLE QUESTIONS. ONE OF THE QUESTIONS IS, THE CURRENT OCCUPANCY, HOW MANY -- IF I REMEMBER, YOU HAVE SOME CAMPERS OR RESIDENTS OR WHATEVER THAT ARE THERE FOR A LONG-TERM BASIS, RIGHT? >> MONTHLY, YES. >> Roy: THEY GO MONTHLY. >> AND THEY CAN RENEW. SO YOU HAVE PEOPLE KIND OF DRIVE OUT AND COME BACK IN SO THEY CAN RENEW THEIR MONTH. >> Roy: SO WHAT PERCENTAGE OF YOUR CURRENT OCCUPANCY ARE THOSE MONTH-TO-MONTH? >> I DON'T HAVE THAT -- IT'S THE MAJORITY OF THE STAY, BUT I DON'T WANT TO GIVE YOU A BAD NUMBER. I DON'T HAVE THAT IN FRONT OF ME AT THIS POINT. >> Roy: IF I'M CORRECT, MOST OF THE PEOPLE THERE ACTUALLY -- THEY WORK IN THE AREA AND SO THEY BRING THEIR CAMPER THERE -- I MEAN, SOME OF THEM ARE MILITARY, SOME OF THEM ARE ONES THAT WORK IN THE OIL FIELD SERVICES BUSINESSES AND WHATNOT, BUT THEY'RE -- I MEAN, THEY'RE THERE BECAUSE OF EMPLOYMENT RIGHT? >> THAT IS TRUE. WITH THE OIL AND GAS PRODUCTION, WE'VE SEEN -- WE SAW A TICK UP ON STAYS SUCH AS THAT. WHEN THE LAKE HAS MORE WATER, YOU HAVE MORE ATTE ATTENDANCE THERE, BUT OIL AND GAS, PEOPLE COME IN AND OUT ALL THE TIME. >> Roy: I'M ASSUMING RIGHT NOW, BECAUSE RIGHT NOW YOU CAN'T LAUNCH AT THE LAKE, I'M ASSUMING THAT'S THE MAJORITY OF THE BUSINESS, I CAN'T IMAGINE -- UNLESS PEOPLE ARE JUST CAMPING, HANGING OUT, THEY DON'T WANT TO GO INTO THE WATER, BECAUSE THERE JUST ISN'T ANY, I MEAN -- RIGHT IF. >> TRUE. PEOPLE STILL ENJOY THE VIEW AND THE PARK IS ONE OF THE BEST KEPT PARKS IN THE AREA, SO THEY STILL LIKE TO BARBECUE, THEY STILL LIKE TO CAMP OUT, THEY STILL LIKE TO SEE AND FISH, SO WE HAVE THAT KIND OF TRAFFIC. >> Roy: BUT THE OTHER THING THAT CONCERNS ME, IF I LOOK AT THE -- IN TERMS OF THE HISTORY OF THAT PARTICULAR AREA, WE'VE HAD SEVERAL DROWNINGS THERE, RIGHT? >> THEY HAVE. AND THOSE WERE LAUNCHED OUT OF THE TEXAS PARKS AND WILDLIFE. >> Roy: OKAY. SO THEY WEREN'T LAUNCHED IN YOUR AREA. I KNEW THAT THERE WAS A FATHER AND SON ACCIDENT THAT HAPPENED. I THOUGHT THEY WERE STAYING AT SUNRISE. >> THAT PARTICULAR SITUATION, THEY LAUNCHED AT SUNRISE BEACH -- EXCUSE ME, AT THE STATE PARK. >> Roy: SO MY QUESTION, WHAT I'M REALLY LEADING TO IS THAT -- THE FUNDS THAT YOU MAY RAISE BY INCREASING THESE FEES, IS THERE ANYTHING THAT YOU'RE DOING TO IMPLEMENT SAFETY OR WHATEVER BECAUSE I -- THAT'S A REAL -- I'VE BEEN TO -- I'M FAMILIAR WITH THAT BEACH PRETTY WELL, AND THERE'S A PREME TREMENDOUS DROPOFF THERE AND IF YOU'RE NOT CAREFUL, IT'S NOT GOOD. >> YES, THERE IS. WE'RE WORKING WITH AN ORGANIZATION TO GIVE OUT FREE LIFE VESTS AND PROMOTING BOATER SAFETY AND AWARENESS OUT THERE. WE HAVE EMPLOYEES THAT, AGAIN, WITH SUNRISE BEACH, YOU HAVE THAT EXTRA SECURITY, YOU HAVE THAT EXTRA AWARENESS AND COMMUNICATION WITH THE BOATERS, AND SO WE DO HAVE A PROGRAM WE'RE PARTICIPATING IN THAT WITH THE FAMILY THAT THEIR SON PASSED AWAY. AND SO WE'RE WORKING WITH THEM TO HAND OUT LIFE JACKETS WHEN THERE ARE BOATERS COME AND GO, SO THAT'S A PROGRAM THAT WE DO. >> Roy: IS THERE STAFF THAT REGULATES THAT AND MAKES SURE THAT THAT'S GOING ON, LIKE WHEN YOU HAVE FAMILIES THAT ARE IN THE WATER, THAT THEY HAVE A LIFE JACKET OR IS THAT -- I MEAN, HOW ARE YOU ENFORCING THAT? >> WE'RE NOT -- YOU CAN'T SAY WE'RE ENFORCING, BUT WE'RE PROMOTING IT. WE HAVE THE LIFE JACKET STAND, WE MAKE SURE THAT THERE -- THAT THEY KNOW THAT THE BOATERS RULES AND RESTRICTIONS AND WHAT'S GOING ON WITH THAT. IT'S AN AWARENESS, IT'S COMMUNICATION, IT'S OUT THERE SEEING OTHER PEOPLE, THAT'S KIND OF WHAT WE OFFER. WE CAN'T REALLY REGULATE BOATER LAWS BECAUSE WE'RE NOT ON THE WATER AND WE DON'T HAVE THE PERSONNEL -- THE CITY OF CORPUS CHRISTI IS NOT IN CHARGE OF ENFORCEMENT OF RULES AND CONDITIONS ON BOATER SAFETY. THAT GOES TO PARKS AND WILDLIFE -- OR THE TEXAS PARKS AND WILDLIFE, THE GAME W WARDENS AND SUCH. BUT WE'RE OUT THERE BEING VISIBLE, SOMEONE HEY CAN TALK TO. AND ALSO, AGAIN, LIKE I SAID, WE HAVE A PROGRAM -- BECAUSE WE HAVE A BOAT RAMP OUT THERE AND WE HAVE A BOAT RAMP THAT IS REL MAINTAINED WHEN THERE'S WATER AND WE'RE TRYING TO INCREASE THAT -- THAT AMENITY, WE WOULD BE OUT THERE PROMOTING AND BEING UP FRONT TO PEOPLE THAT COME IN AND ENJOY THE LAKE. >> Roy: DIDN'T YOU SAY THAT THERE'S LIKE A GARAGE DOOR LAYING THERE THAT THEY'RE USING AS A BOAT RAMP? >> THAT IS THE PARKS AND WILDLIFE. THAT IS THE STATE PARK THAT IS ADJACENT, THE ONE THAT -- >> Roy: OKAY. >> THE ONE COUNCILWOMAN PAXSON WAS ASKING ABOUT THAT. >> Roy: SO SOME OF THESE FUNDS COULD GO TO INCREASED SAFETY? >> YES. >> Roy: THANK YOU. >> Mayor Guajardo: I'M GOING TO OPEN PUBLIC COMMENT. IS THERE ANYONE IN THE AD YINS THAT WOULD LIKE TO MAKE COMMENT ON ITEM NUMBER 8. . OKAY. THERE BEING NO ONE, WE'LL CLOSE PUBLIC COMM COMMENT AND I WILL ENTERTAIN A MOTION TO APPROVE THE ORDINANCE. >> MOTION TO APPROVE. >> Barrera: SECOND. >> Mayor Guajardo: WE HAVE A MEXICO AND A SECOND. PLEASE SUBMIT YOUR VOTE. THE MOTION CARRIES. ITEM NUMBER 9 IS AN ORDINANCE AMENDING CORPUS CHRISTI CODE SECTION 55-50 TO UPDATE WATER RATES. >> Molly: GOOD AFTERNOON, MAYOR, COUNCIL, DREW MOLLY HERE. THE WATER RATES PROPOSED FOR THIS FISCAL YEAR WERE PREPARED BY OUR RATE CONSULTANT NEU GEN ANDY McCARTNEY. THEY WERE BROUGHT ON ABOUT THREE YEARS AGO USING THE COST TO SERVICE APPROACH. NUGEN HAS WORKED OVER THE LAST THREE YEARS TO WHAT WE BELIEVE IS BRING EQUITY ACROSS ALL CUSTOMER CLASSES. AND SO I'M GOING TO TURN THIS OVER TO ANDY AND LET HIM WALK THROUGH SOME OF THESE SLIDES. ANDY? >> THANKS, DREW. GOOD AFTERNOON, MAYOR, COUNCIL, MEMBERS OF THE CITY EXECUTIVE LEADERSHIP TEAM. SO FOR THE FISCAL YEAR 2026, PROPOSED WATER RATES, ONE -- I WANTED TO HIGHLIGHT SOME OF THE SIGNATURE CH SIGNIFICANT CH. THERE WILL BE A MONTHLY CHARGE BECAUSE WE'RE INCLUDING $2 MILLION OF THAT 55.82 MILLION STORMWATER LEGACY DEBT, LAST YEAR INSTEAD OF WATER FUNDING ANY PORTION OF IT, THE WASTEWATER FUND BALANCE CARRIED THE WATERSIDE OF IT. SO WE'RE PHASING THAT IN AS PART OF A THREE-YEAR PHASE-IN PLAN TO MAKE IT MORE AFFORDABLE FOR THE CUSTOMERS. ALSO THE RATE BLOCK FOR THE IRRIGATION COMMERCIAL CUSTOMER CLASSES ARE NOW CHARGED FOR THAT FIRST 2,000-GALLON BLOCK OF WATER. BEFORE, THEY WEREN'T CHARGED ANYTHING EXPLICITLY FOR THAT. SO THE RESULTS OF THE WATER RATE STUDY -- OR THAT OUR PROPOSED REVENUE THROUGH OUR PROPOSED RATES ARE MEETING THE BUSINESS NEEDS OF CORPUS CHRISTI WATER, INCLUDING CASH OPERATING RESERVES AS WELL AS THE MOST IMPORTANT THING, YOUR DEBT SERVICE COVERAGE REQUIREMENTS FOR FISCAL YEAR 2026. SO HERE ARE THE INSIDE CITY RETAIL WATER MONTHLY MINIMUM CHARGES, AGAIN, THESE ARE DIFFERENTIATED FROM THE OUTSIDE BECAUSE THE OUTSIDE DOES NOT BENEFIT FROM ANY STORMWATER INFRASTRUCTURE, THEREFORE THEY DO NOT CARRY THE BURDEN OF ANY OF THAT. STORMWATER LEGACY DEBT, UNLIKE THE INSIDE CITY CUSTOMERS. AND SO YOU CAN SEE THE INCREASES THERE FOR THE FIVE-EIGHT TO THREE-FOUR INCREASING AS WELL AS THE CORRESPONDING INCREASES. AND THESE APPLY -- THESE MONTHLY MINIMUM CHARGES APPLY TO ALL THE CUSTOMER CLASSES, RESIDENTIAL COMMERCIAL IRRIGATION, AS WELL AS THE LARGE VOLUME CUSTOMERS. NEXT ARE THE OUTSIDE CITY RETAIL MONTHLY MINIMUM CHARGES FOR WATER. AGAIN, YOU SEE SLIGHTLY LOWER CHARGES OVERALL FOR -- PROPOSED FOR FISCAL YEAR 2026 ON THE INSIDE BECAUSE THEY DO NOT CARRY THE BURDEN OF THAT STORMWATER LEGACY DEBT BECAUSE THERE'S NO BENEFIT TO THEM FROM THE STORMWATER INFRASTRUCTURE THAT'S TYPICALLY INSTALLED ONLY INSIDE THE CITY LIMIT RATE. AND SO THAT'S WHY IT'S SMALLER. HERE ARE THE VOLUMETRIC RATES AND THESE ARE THE SAME FOR INSIDE CITY OR OUTSIDE CITY. AND SO THE RAW WATER CHARGE FOR THE RETAIL CUSTOMER CLASSES IS INCREASING FROM 95-CENTS PER THOUSAND GALLOP R LONS UP TO '1, THAT'S A 23 CENT INCREASE. A LOT OF THAT'S REFLECTED BECAUSE A LOT OF THE RAW WATER SUPPLY PROJECTS GOING ON FOR 2026. THE RESIDENTIAL, YOU'LL SEE THAT THE FIRST 2,000-GALLONS IS NOW GOING TO BE CHARGED 75 CENTS. EARLIER THIS YEAR, WE HAD DISCUSSED PROPOSING 1 DOLLAR FOR THAT. ONE DOLLAR WAS TOO MUCH OF A BURDEN AS WELL AS THE MONTHLY MINIMUM CHARGE INCREASES, SO WE BACKED OFF OF THAT. THE NEXT BLOCK FOR RESIDENTIAL GOES FROM 2001-GALLONS TO 6,000, THAT'S GOING TO INCREASE 12 CENTS, AND THEN FOR 6,001 GALLONS TO 15,000 GALLON, THAT'S GOING TO GO FROM 5.91 TO $7.11. AND EACH SUCCEEDING RATE BLOCK INCREASES AS WELL. FOR COMMERCIAL AND OTHER, AGAIN, 75 CENTS FOR THE FIRST 2,000 GALLONS, AND THEN ANYTHING ABOVE AND BEYOND 2000 GALLONS IS GOING TO BE CHARGED $4.06, THAT'S A 12-CENT INCREASE FROM THE 3.94. LARGE VOLUME CUSTOMERS PAY A FIXED AMOUNT OR TAKE OR PAY CHARGE, AND WE'RE PROPOSING THAT THAT INCREASES FROM $35,092.50 TO $45,500 AND THEIR VOLUME METRIC RATE FOR USEIC IN EXCESS OF $10 MILLION IS INCREASING FROM 394 TO 4.34. AND FINALLY IRRIGATION, THEY WILL PAY THE SAME FOR ALL GALLONS USED, AND WE'RE PROPOSING THAT THAT IS INCREASED FROM 7.88 TO 11.17. NEXT ARE THE CONTRACTUAL, THE WHOLESALE TREATED VOLUME CUS VOLUMETRIC WAITS. THE RAW WATER FOR SAN PATRICIO, SOUTH TEXAS WATER, TO INCREASE THAT WATER FROM 1.14 TO 1.33, THAT'S AN INCREASE OF 19 CENTS. FOR THE WHOLESALE TREATED WATER CUSTOMERS, THEY TAKE TREATED WATER RIGHT AT OWENS STEVENS. YOU'RE SEEING A DECREASE, WE HAVE TO DO TRUE-UPS SO WHEN WE COMPARE WHAT WAS BUDGETED LAST YEAR, COMPARED TO WHAT WAS ACTUALLY SPENT, THERE WAS A HUGE DECREASE, AND A LOT OF THAT WAS ATTRIBUTABLE TO CHEMICAL COST INCREASES, NOT MATERIALIZING, CHEMICAL COSTS HAVE BEEN VERY T DYNAMIC AND VOLATILE GOING BACK, I GUESS, TO 2020 DURING THE PANDEMIC AND THEN THE -- FOLLOWING THE SUPPLY CHAIN ISSUES FOLLOWING THE PANDEMIC, AND SO THAT'S WHY YOU SEE A DECREASE THERE. ON THE NETWORK, WHICH APPLIES TO VIOLET AND PORT A, SO THEY USE PART OF THE NETWORK SYSTEM OF STORAGE PUMPING AND TRANSMISSION MAINS, THAT'S INCREASING SIX CENTS. AGAIN, THEY GET TO TRUE-UP AS WELL, BUT THEIR COSTS ARE GOING UP. NEXT IS THE NONRATEPAYER WHOLESALE RAW WATER. THIS APPLIES TO SAN PATRICIO. THEY ALSO TAKE -- BEYOND TREATED WATER, THEY ALSO TAKE A LARGE AMOUNT OF RAW WATER AS WELL AS SE LE NEEZ AND FLINT HILL RESOURCES SO THEIR COSTS ARE GOING FROM 1.17 PER 1,000-GALLONS TO 1.36 WHICH IS 19 CENT PER THOUSAND GALLON INCREASE. NEXT I WANTED TO SHOW THE COMPOSITE RAW WATER, AND THIS APPLIES TO ALICE, BEEVILLE AND MATHIS. THE RATES ARE BY CONTRACT, UTILIZE EITHER THE ADOPTED BUDGET OR THE ACTUAL AUDITED COST. AND SO CORPUS CHRISTI WATER IN KUNGS SHUN WITH THE FINANCE DEPARTMENT COMES IN AND PERFORMS THE UPDATE IN DECEMBER, ONCE THE AUDITED NUMBERS ARE KNOWN, ESPECIALLY ALICE AND MATHIS BECAUSE THE CONTRACTS DETAIL OUT YOU WILL USE AUDITED NUMBERS TO COME UP WITH THEIR RATES. SO THOSE RAW WATER RATES ARE CALCULATED IN DECEMBER FOR JANUARY BILLING. SO WE'RE NOT PROPOSING ANY RATE CHANGE FOR THE COMPOSITE RAW WATER CUSTOMERS AT THIS TIME, BUT JUST WANTED TO SHOW THIS IN CASE THERE ARE ANY QUESTIONS WHY THOSE AREN'T CHANGING. THEY WILL CHANGE LATER, YOU'LL PROBABLY HAVE AN AGENDA ITEM COME DECEMBER TO VOTE ON THAT. SO SOME OF THE SAMPLE UTILITY BILL CHARGES FOR THE RESIDENTIAL CUSTOMER USING AN AVERAGE CONSUMPTION OF 6,000-GALLONS PERONTH, IF THEY HAVE A 5/8-INCH METER, THEIR MONTHLY WILL JUST FOR THE WATER PORTION OF THE UTILITY SERVICE WILL GO FROM $37.29 TO $42.07, THAT'S AN INCREASE OF $4.78. ON THE COMMERCIAL CUSTOMERS FOR A TYPICAL RESTAURANT USING 20,000 FALLONS OF WATER, -- GALLONS OF WATER, TYPICALLY THROUGH A 2-INCH WATER METER, ARE THEIR BILL WILL INCREASE BY $19.62. A LARGE VOLUME CUSTOMER USING 90 MILLION-GALLONS OF WATER A MONTH, TYPICALLY THROUGH A 10-INCH METER WOULD SEE THEIR BILL GO FROM $438,167 TO 501488. THAT'S A $63,321 A MONTH INCREASE AND FINALLY FOR WHOLESALE TREATED WATER, CUSTOMER USING 50 MILLION-GALLONS OF TREATED WATER, TAKING IT STRAIGHT FROM OWENS STEVENS WOULD SEE THEIR BILL ACTUALLY DECREASE FROM $163,875 TO $158,892, JUST UNDER A $5,000 A MONTH DECREASE, AND THAT'S REALLY BECAUSE OF THOSE RAW -- THE TREATED WATER TRUEUPS THAT BEHAVE TO DO THAT ARE SPELLED OUT IN THE CONTRACTS. AND SO WITH THAT, I WILL ENTERTAIN ANY QUESTIONS. >> Mayor Guajardo: OKAY. THANK YOU. DO WE HAVE ANY QUESTIONS OR COMMENTS? I DON'T SEE ANY -- OH, COUNCILMAN HERNANDEZ? >> Hernandez: YES, WE ARE DOING A CROSS-CONNECT WITH THE ROBSTOWN WATER DISTRICT NUMBER 3, I BELIEVE. IS THERE ANY RATES FOR THEM ASSOCIATED WITH ANY OF THIS? >> SO WE'RE IN THE PROCESS RIGHT NOW, COUNCILMAN, OF WORKING THROUGH THAT OPPORTUNITY TO HAVE A WATER SUPPLY AGREEMENT WITH ROBSTOWN, WDIC NUMBER 3, SO WE HAVEN'T REALLY GOTTEN TO -- WE DON'T HAVE AN AGREEMENT YET, BUT WE ARE TALKING TO THEM. THE WHOLE CONCEPT WOULD BE IF THEY HAD A NEED TO CONNECT TO OUR SYSTEM UNDER VARIOUS CIRCUMSTANCES, IF IT WAS SPG LIKE AN EMERGENCY, WE WOULD HAVE THE ABILITY TO PROVIDE WATER TO THEM, DEPENDING ON THE SITUATION AT HAND, WE WOULD CHARGE THEM FOR THE COST OF THE WATER TO DELIVER. AND FRANKLY, IT'S A BENEFIT THAT GOES BOTH WAYS. SO IN THE EVENT THAT WE HAD AN ISSUE IN OUR SYSTEM, WE COULD ACTUALLY HAVE ROBSTOWN BACKFEED OUR SYSTEM. SO IT'S A MUTUAL BENEFIT. NOW, THERE IS SOMETHING ELSE THAT I THINK YOU BROUGHT UP BEFORE THAT WE'VE TALKED ABOUT, AND THAT IS GIVEN THE FACT THAT WE'RE PUTTING SOME WATER INTO THE NUECES RIVER, THERE IS AN OPPORTUNITY UNDER CERTAIN CIRCUMSTANCES-- AND, AGAIN, WE'RE WORKING THROUGH THESE DETAILS , IN A WAY THAT WE COULD PROVIDE WDIC NUMBER 3 WITH WATE WATER. AND, AGAIN, IT'S IN MOTION, WE DON'T HAVE THESE DETAILS WORKED OUT. >> Hernandez: SO IS THIS SOMETHING YOU'RE GOING TO HAVE TO BRING BACK TO COUNCIL FOR A RATE ADJUSTMENT? >> Molly: NO. I MEAN -- NO. >> Hernandez: SO WE'RE NOT GOING TO PUT ANYTHING IN THIS RATE FOR -- TO IDENTIFY THAT OR HAVE SOME SORT OF CAVEAT? >> CAMILLE TERRACE, CCW. IF ANY CHARGES APPLIED, IT WOULDN'T BE THE RAW WATER, IT WOULD BE THE SAME STANDARD TREATMENT CHARGE THAT THE SOUTH TEXAS WATER PAYS OR SAN PATRICIO MUNICIPAL WATER TICKET, SO IT WOULD BE THE 180. IF WE COME TO A CONCLUSION THAT WE WOULD HAVE -- YOU KNOW, WE'LL BE -- WE'LL BE TREATING THE WATER AND DELIVERING THE WATER TO THEM. IF EVERYTHING IS COOL AND THEY CAN CONTINUE USING THE WATER, THEN WE WON'T HAVE ANY PAYMENT -- THEY WOULDN'T MAKE ANY PAYMENT TO US. BUT IT WOULD BE BASED ON THE SAME RATES AS ANY OTHER CUSTOMER BASE. >> Hernandez: OKAY. I WANT TO MAKE SURE THAT IT'S NOT SPECIFICALLY CALLED OUT, THAT AT SOME POINT WHEN ALL THOSE CONTRACTS ARE BROUGHT OUT, THAT THAT'S BROUGHT BACK TO COUNCIL FOR US TO APPROVE. >> Zanoni: YEAH. RIGHT. THAT DPREEMENT WOULD BE BROUGHT BACK ONCE IT'S FINALIZED. >> Hernandez: ONLY. >> Zanoni: IT'S NOT QUITE FINALIZED YET. YES SIR. >> Hernandez: ALL RIGHT. AND CAN YOU EXPLAIN WHY YOU ADDED THE 75 CENTS TO THE RESIDENTIAL FOR THE FIRST 2,000-GALLONS. I THOUGHT THAT WAS INCLUDED IN THE INITIAL MONTHLY MINIMUM CHARGE. YOU WEREN'T CHARGING THAT LAST YEAR. >> YEAH, THERE WAS NO CHARGE, BASICALLY, AND WHEN WE STARTED DOING THE RATES BACK FOR 2024, THAT DIDN'T GET APPROVED, WE COULD FIND NO INDICATION WHERE THE PREVIOUS CONSULTANT HAD BUILT THAT INTO THE MONTHLY MINIMUM CHARGE BASED ON OUR ALLOCATION OF COST TO DEVELOP THAT MINIMUM CHARGE OR TO EVEN GET CLOSE TO WHERE IT WAS. AND SO DURING THIS PERIOD WHERE WE'RE HAVING TO CONSERVE WATER, WE THOUGHT FOR TRANSPARENCY PURPOSES, WE NEED TO CHARGE SOMETHING FOR THAT WATER, AND THAT'S WHY BACK IN JUNE, WHEN WE MET WITH EVERYONE, WE HAD PROPOSED A DOLLAR, BUT THAT DOLLAR JUST SEEMED TOO MUCH WITH PHASING IN THE STORMWATER LEGACY DEBT ON THE WATERSIDE INTO THAT MONTHLY MINIMUM CHARGE, AND SO WE BACKED OFF TO 75 CENTS. BUT IT WAS NOT EXPLICITLY BUILT INTO THAT MONTHLY MINIMUM CHARGE. GOING BACK AND LOOKING AT HISTORY, THAT WE COULD TELL. >> Hernandez: OKAY. BECAUSE THAT WAS NEVER THE UNDERSTANDING. IN THE PAST, WE'D ALWAYS -- THAT FIRST INITIAL CHARGE ALSO INCLUDED VOLUME, SIMILAR TO WHAT THE INDUSTRIALS -- THEY HAD A CERTAIN CHARGE FOR THE CERTAIN FIRST TRANCHE OF WATER THAT WAS IN THE FIRST -- THAT INCLUDED THEIR METER FEE. >> YES. >> Hernandez: SO WHEN DID THAT COME ABOUT? WHEN DID WE -- WHEN DID YOU FIND THAT OUT? >> IT WOULD HAVE BEEN LAST YEAR WHEN WE WERE BUILDING THAT STORMWATER LEGACY INTO THE WASTEWATER AND LOOKING AT BUILDING IT INTO THE WATER, AND THE DECISION WAS MADE, POLICY DECISION, TO RECOVER IT THROUGH THE WASTEWATER FUND BALANCE BECAUSE WE HAD INCREASES ON THE WATERSIDE. >> Hernandez: OKAY. SO YOU DID -- YOU PUT THAT STORMWATER LEGACY DEBT IN WASTEWATER LAST YEAR, BUT YOU'RE PUTTING IT IN WATER THIS YEAR. >> A PORTION OF IT. ONLY $2 MILLION THIS YEAR. >> Hernandez: SO THERE'S STILL SOME IN WASTEWATER? I MEAN -- >> THE FUND BALANCE, THE REMAINING BALANCE OF THE 3.882 MILLION WILL BE ABSORBED BY WASTEWATER FUND BALANCE. >> Hernandez: SO AFTER THIS YEAR, WE SHOULDN'T HAVE ANY MORE? >> NEXT YEAR THE PLAN IS TO PHASE IN AN ADDITIONAL $2 MILLION WITH THAT RESIDUAL AMOUNT STILL BEING PICKED UP BY WASTEWATER FUND BALANCE, AND THEN AFTER THE THREE YEARS, THEN EACH FUND WILL BASICALLY BE RESPONSIBLE FOR HALF OF THAT STORMWATER LEGACY DEBT. >> Hernandez: HOW MUCH IS LEFT? >> IT GOES OUT IN -- THE THIRD YEAR, IT'S JUST OVER $5 MILLION, I BELIEVE. >> YEAH, IT'S $200 MILLION FOR THE NEXT 25 YEARS, AROUND 11 MILLION TO $12 MILLION FOR THE NEXT FIVE TO SIX YEARS, AND THEN IT STARTS DROPPING DOWN. BUT IT'S FOR THE NEXT 25 YEARS, OUR OBLIGATION FOR THE STORMWATER. THAT AND IN TOTAL, IT'S GOING TO BE $200 MILLION STILL REMAINING. >> Hernandez: OKAY. ALL RIGHT. THANK YOU. COUNCILMA N ROY? >> Roy: CAN YOU DO ME A FAVOR AND GO BACK TO THAT LAST SLIDE. I'M TRYING TO UNDERSTAND, YOU TALKED ABOUT REDUCING THE FEE AND YOU SAID THAT YOU BASE THAT DECISION -- AND I DIDN'T QUITE UNDERSTAND THAT. THERE'S A DECREASE FOR THE LARGE VOLUME -- THERE YOU GO. GO BACK. THAT'S IT. LARGE VOLUME, 90,000 GALLON WATER. >> OH. THAT'S THE WHOLESALE TREATED. >> Roy: THAT'S WHOLESALE. THERE IT IS. WHOLESALE TREATED. SO SAY, AGAIN, HOW THAT -- HOW DOES THAT WORK? HOW DID THAT COME UP WITH THE DECREASE? >> WELL, THEY EACH HAVE CONTRACTS, BECAUSE THEY TAKE WATER DIRECTLY FROM OWENS STEVENS AND THE CONTRACT STATES THAT THERE WILL BE A TRUE-UP CALCULATED OF -- BASED ON THE PRECEDING YEAR. AND SO WHEN WE'RE TRYING TO DEVELOP RATES FOR '26, WE HAD TO GO BACK. IT'S A LOOKBACK. SO YOU LOOK AT WHAT WAS THE BUDGET FOR '24 AND WE LOOK AT THE TREATMENT AREA OF THE WATER UTILITY AND COMPARE THAT TO WHAT WAS ACTUALLY SPENT. AND SO THAT'S THE REASON WHY THERE IS OVER A $4 MILLION DIFFERENTIAL OR DELTA BETWEEN WHAT WAS BUDGETED FOR THAT SECTION AND WHAT WAS ACTUAL LIQLY OCCURRED AND THE REASON FOR THAT WAS THE CHEMICAL COST DECREASED WAS A MAJOR REASON. BECAUSE WHEN THE BUDGET WAS BEING WORKED ON, PROBABLY IN '23, NOT JUST CORPUS CHRISTI WATER, BUT LOTS OF WATER UTILITIES WERE EXPERIENCING HEAVY INCREASES ON CHEMICAL PRICES, JUST BECAUSE OF THE NATURE OF THAT CHEMICAL INDUSTRY. >> Roy: RIGHT. >> AND SO THEY WERE BUILT IN TO BE CONSERVATIVE ON THE EXPENDITURE SIDE, AND THEN IT DIDN'T MATERIALIZE, SO WHEN WE DID THE TRUE-UP OR THE LOOKBACK, THERE WAS A LARGE DECREASE, SO BECAUSE OF THEIR CONTRACTS SAY WE HAVE TO DO THIS TRUE-UP, THAT'S WHAT WE HAVE TO DO AND FOLLOW. SO IT LOOKS KIND OF WEIRD SEEING A DECREASE FOR THAT SPECIAL CONTRACTUAL CUSTOMER CLASS, BUT IF YOU FOLLOW THE TERMS AND CONDITIONS AND THE CALCULATIONS, THAT'S HOW IT FALLS OUT. >> Roy: SO IF I UNDERSTAND THAT, AND JUST TO PUT IT IN SIMPLE TERMS, SO YOU BASICALLY SET A BUDGET AND YOU BASE THAT BUDGET -- BECAUSE -- AND I THINK AT THAT PARTICULAR POINT IN TIME, AND I MIGHT BE WRONG ON WHICH CHEMICALS, BUT THERE WAS A SHORTAGE, AND THEN WE HAD A PLANT TEMPORARILY SHUT DOWN RIGHT? >> YEAH. >> Roy: AND SO THE COST HAD WERNT OUT OF CONTROL. -- WENT OUT OF CONTROL. SO THE REALITY IS THEN THE COSTS HAVE COME BACK IN LINE AND NOW YOU'VE WENT BACK AND AUDITED IT, AND THAT'S THE DIFFERENCE. >> YES, SIR. USING THOSE ACTUAL AUDITED NUMBERS AS PER THE CONTRACT FOR THE TREATED WATER, WHICH IS SAN PATRICIO AND SOUTH TEXAS WATER. >> Roy: OKAY. THANK YOU. THANKS FOR THE CLARIFICATION. I JUST DIDN'T UNDERSTAND THAT. COUNCILWO MAN CAMPOS? >> Campos: THANK YOU, MAYOR. OKAY. WE HAVEN'T ADDRESSED THE ELEPHANT IN THE ROOM, WHICH IS -- OKAY. SO WE STARTED DOING THESE WATER RATE WITH YOUR COMPANY, NU GEM AND TRYING TO GET IT MORE EQUITABLE. >> YES, MA'AM. >> Campos: BUT WE'RE STILL FIGHTING THE OUTSIDE CITY LIMIT WATER USERS. I UNDERSTAND THAT THEY STILL HAVE THE APPEAL OUTSTANDING, AND SO HOW WILL THAT AFFECT US, THE INSIDE RESIDENTIAL RATEPAYERS, IF, YOU KNOW -- IF YAY, WE WIN OR NAY, THEY WIN? I MEAN, HOW IS THAT GOING TO AFFECT US AND OUR RATES HERE? >> WELL, I MEAN, YOU WOULD HAVE TO HAVE A FULL BLOWN CASE AT THE PUBLIC UTILITY COMMISSION AND WORST CASE SCENARIO, IF YOU LOSE, THEN THEY WOULD -- WHICH I BELIEVE THE CITY HAS SET ASIDE MONEY FOR THAT FOR A REFUND TO THE OUTSIDE CITY LIMIT CUSTOMERS. AND SO WHATEVER RATES GET APPROVED, YOU WOULD HAVE TO DO A CALCULATION BASED ON WHAT WAS APPROVED AND THEN WHAT WAS ACTUALLY BILLED. AND TYPICALLY, CREDIT THEM BACK OVER A PERIOD OF TIME THAT DIFFERENTIAL. >> Campos: BUT, I MEAN, BASED ON YOUR -- I MEAN, BECAUSE WE BASED OUR RATES ON YOUR INFORMATION. SO WOULD WE STAND -- I MEAN, AREN'T YOU STANDING BY WHAT YOU'RE -- >> OF COURSE. >> Campos: OKAY. SO WE SHOULD HAVE A GOOD CASE TO DEFEND THESE RATES BECAUSE THAT IS WHAT -- WHAT IS THAT? SCARY? >> [BACKGROUND. [♪MUSIC PLAYING♪] [. >> Campos: THAT'S WHAT WE'RE PAYING YOU FOR SO THAT WE CAN HAVE AN EQUITABLE RATE WATER RATE, SO WE WANT TO MAKE SURE THAT WE CAN DEFEND THIS. AND I BELIEVE I'VE HEARD FROM KAMIL THAT -- WHERE IS KAMIL? YEAH, THAT HE IS READY TO DEFEND. AND HE SAYS, OH, YEAH. I JUST DON'T WANT TO HEAR THAT, YOU KNOW, IT'S -- THAT WE'RE READY TO LOSE AND WE'RE READY TO SETTLE AND THAT WE HAVE MONEY TO PAY. YOU KNOW, THAT JUST -- >> Zanoni: THAT'S NOT THE CASE. COUNCILWOMAN, THAT'S NOT THE CASE. AND ANDY McCARTNEY AND HIS FIRM ACTUALLY HAVE TO TESTIFY AT THE PEC, SO HE MORE THAN ANYBODY, ANDY, IS OUR REPRESENTATIVE AT THE PEC. >> HALLOWEEN BACKGROUND MUSIC PLAYING [. >> Zanoni: HE WORKS AT THE COMPANY THAT DOES THE RATE. SO HE'S JUSTIFYING WHY WE SET THE RATES THAT WE DID. SO HE'S A KEY WITNESS, IF YOU WILL. >> YEAH, AND THE REGULATORY ATTORNEY'S LLOYD GOSSELINK WERE FULLY ON BOARD AND FELT WE WERE JUSTIFIABLE FOR WHAT WE DID. WE STARTED MOVING TOWARDS A CUSTOMER CLASS BASE COST OF SERVICE. WE'RE TRYING TO GET CUSTOMER THERE. >> Campos: YEAH. >> THEY'RE STILL OVERPAYING THEIR COSTS OF SERVICE. >> Zanoni: IF WE LOSE, COUNCILWOMAN, AS YOU POINTED OUT, THE INSIDE CITY LIMIT CUSTOMER HAS TO PAY THE DIFFERENCE. >> Campos: RIGHT. EXACTLY. SO I WANT US TO KNOW THAT AND TO HEAR THAT, THAT, YOU KNOW, IT'S STILL -- ALL THESE 20 YEARS WE HAVE NOT INCREASED SIGNIFICANTLY THEIR WATER RATES BUT YET, YOU KNOW, HERE WE ARE BACK AGAIN TRYING TO DO THE RIGHT THING AND THEY ALWAYS KEEP SAYING, WE'RE GOOD NEIGHBORS, WELL, THAT'S NOT A GOOD NEIGHBOR. SO, AGAIN, I'M JUST STANDING UP FOR OUR RESIDENTIAL RATEPAYERS AND I HOPEFULLY -- DO WE KNOW WHEN THAT WILL BE RESOLVED. >> Zanoni: NO, WE DON'T. THERE'S TWO YEARS WORTH OF CONTESTING AT THE PEC, AND MILES ISN'T HERE, I DID ASK FOR AN UPDATE. HE'S ON VACATION TODAY, BUT WE'RE PROBABLY -- IT'S PROBABLY GOING TO BE ANOTHER YEAR BEFORE IT'S RESOLVED. WE ASKED THAT BOTH CASES BE HEARD SIMULTANEOUSLY. >> Campos: OKAY. >> Zanoni: I'M NOT SURE OF THE DISPOSITION OF THAT. IF THEY'RE DOING BOTH SIMULTANEOUSLY OR NOT, BUT WE'LL GET THE COUNCIL AN UPDATE. IT'S STL VERY MUCH IN THE PROCESS, YOU KNOW. >> Campos: ALL RIGHT. WELL, THANK YOU. THAT'S ALL I HAD. COUNCILMA N CANTU? >> Cantu: I'M A LITTLE SCARED. THAT WAS CREEPY -- >> FELT LIKE HALLOWEEN, DIDN'T IT? >> Cantu: YEAH. SO WHAT I'M REALLY CONCERNED ABOUT IS THE RESIDENTIAL RATES, THE 5/8 AND THE 3/4. IT'S NOT VERY MUCH INCREASE; HOWEVER, IT'S A LOT FOR SENIORS AND PEOPLE WITH FIXED BUDGETS, YOU KNOW. I'M JUST TIRED OF OUR WATER RATES JUST KEEP ON GOING UP AND UP. YOU KNOW, FOR EXAMPLE, I HAVE A SMALL LITTLE BAR ON COSTORAS I'M A PARTNER IN, AND WE HAVE MEN'S AND WOMEN'S BATHROOMS, ONE ICE MACHINE AND TWO STATIONS FOR THE BARTENDERS. AND MY WATER BILL IS $520. THAT'S A LOT OF MONEY JUST TO OPERATE A SMALL LITTLE BUSINESS, YOU KNOW? AND THEN I GET A PHONE CALL THE OTHER DAY AND THIS LADY WHO'S ABOUT 80 YEARS OLD SAYS MY WATER'S BEEN TURNED OFF FOR TWO MONTHS BECAUSE SHE CAN'T PAY HER WATER BILL. AND SHE TRIES TO MAKE ARRANGEMENTS WITH THE CITY OF CORPUS CHRISTI, BUT THEY WANT MONEY DOWN. SO, YOU KNOW, IT JUST -- IT'S A SAD SITUATION OUT THERE NOW BECAUSE PEOPLE ARE REALLY STRUGGLING AND I JUST -- I JUST -- LIKE EVERY YEAR, THESE RATES JUST KEEP ON GOING UP AND UP, BUT -- ANOTHER THING I WANT TO SAY IS WHAT BLOWS MY MIND IS HOW WE DON'T HAVE ANY CONTRACTS WITH THE REFINERIES. THEY WANT US TODAY TO VOTE FOR INNER HARBOR PROBABILITIES AT A COST OF ALMOST $1.2 BILLION, BUT WE DON'T HAVE A CONTRACT WITH THEM, WITH NONE OF THEM. THEY COULD EASILY GO AND DO THEIR OWN WATER PLANT AND CANCEL WITH US AND, YOU KNOW, THE RESIDENTS PAY THE BILL. AND IT REALLY BLOWS MY MIND THAT WE HAVE NOT DONE ANYTHING ABOUT IT. YOU KNOW, I THINK THAT SHOULD HAVE BEEN DONE MONTHS AGO BEFORE THIS INNER HARBOR PROJECT EVEN CAME TO COUNCIL TODAY. BUT THAT'S MY OPINION. I REALLY HOPE THAT CITY STAFF IS WORKING ON THOSE CONTRACTS WITH THE REFINERIES, BECAUSE I MEAN, THEY NEED TO PUT SKIN IN THE GAME, TOO, YOU KNOW? IT'S -- THEY WANT A LOT, BUT, YOU KNOW, THEY NEED TO AT LEAST GIVE US SOMETHING, A SECURITY DOCUMENT SAYING, HEY, WE'RE IN THIS FOR THE LONG TERM, YOU KNOW, NOT JUST FOR A LITTLE BIT. SO THAT'S ALL MY COMMENTS. THANKS. COUNCILWO MAN CAMPOS? >> Campos: THANK YOU, MAYOR. WELL, THIS MAY NOT BE THE APPROPRIATE PLACE, I GUESS, TO COMMENT ON THIS, BUT THERE WAS A QUESTION RAISED ABOUT NONPAYMENT FOR A COMMERCIAL CUSTOMER. I DON'T KNOW AT WHAT POINT DO -- YOU KNOW, LIKE COUNCILMAN CANTU HAD RAISED THE ISSUE ABOUT RESIDENTIAL, BUT HOW LONG DO WE GO WITHOUT NONPAYMENT FOR COMMERCIAL? I KNOW THAT THERE'S -- IS IT THE SAME? DO WE TREAT EACH -- THE RESIDENT AND THE COMMERCIAL AND INDUSTRIAL THE SAME WAY, THE SAME? IS IT TWO MONTHS, THREE MONTHS, FOUR MONTHS? I MEAN, I DON'T KNOW. >> SURE. I CAN HONESTLY SAY THAT STAFF REVIEWS THAT ON A FREQUENT BASIS. PER COUNCILMAN CANTU'S COMMENT, WE WORK VERY HARD TO -- WITH ALL OUR CUSTOMERS, ESPECIALLY RESIDENTIAL ONES, TO SET UP A PAYMENT PLAN TO TRY AND GET THEM ON A PATH MOVING FORWARD. ADDITIONALLY, THERE ARE OUTSIDE CITY RESOURCES TO HELP WITH UTILITY FUNDING ALSO. I CAN ALSO SAY THAT WHEN IT COMES TO EITHER RESIDENTIAL OR COMMERCIAL CUSTOMERS, STAFF REACHES OUT TO THEM VIA E-MAIL PHONE. WE'VE ALSO VISITED THEM IN PERSON TO TRY AND GET THINGS ON THE RIGHT TRACK BEFORE WE HAVE TO MOVE TO CUT OFF THEIR WATER SERVICE. >> Campos: SO WE DON'T HAVE AN ACTUAL CUTOFF, IT'S CASE-BY-CASE, IS THAT WHAT YOU'RE SAYING. >> Winkelmann: WE REACH OUT TO THEM. TYPICALLY WHAT HAPPENS, COUNCILWOMAN, A PAYMENT IS MADE AND THEN WE HAVE TO WATCH THAT ACCOUNT VERY CLOSELY BECAUSE IT MAY FALL INTO ARREARS AGAIN THE FOLLOWING MONTH, SO WE'VE GOT TO WATCH -- IT TAKES A LOT OF EFFORT AND TIME. >> Campos: THE REASON THAT I BRING THIS UP IS BECAUSE THERE WAS A REQUEST FOR INFORMATION ON A PARTICULAR CUSTOMER OUTSIDE THE CITY LIMITS AND THEY -- THEY ARE OWING THE CITY AT THE TIME THAT THEY RECEIVED IT WAS $65,000 IN WATER DELINQUENT ACCOUNT, AND SO THAT'S WHY I'M JUST ASKING, AT WHAT POINT -- SO IT WOULD HAVE TO BE, AGAIN, SPECIFIC? I MEAN, YOU -- >> Winkelmann: WE LOOK AT ALL THE ACCOUNTS SPECIFICALLY, SO IN REGARD TO THAT SPECIFIC REQUEST, I'D HAVE TO SIT DOWN WITH YOU AND GO THROUGH IT AND LOOK THROUGH THE NOTES AND WHAT WE'VE DONE AS STAFF. >> Campos: OKAY. I JUST REMEMBER -- AND I DON'T THINK WE'VE -- I DON'T KNOW. YOU KNOW, BEFORE -- YOU KNOW, PETER GOT HERE, I KNOW THAT THAT -- WE HAD PETER COLLINS COME IN AND ACTUALLY WORK THOSE ACCOUNTS. WE HAD, YOU KNOW, THE BEEF COMPANY THAT WAS DELINQUENT. I DON'T KNOW, LIKE, I MEAN, I WANT TO SAY, IT WAS LIKE MAYBE A MILLION DOLLARS. IT WAS LIKE A WHOLE LOT. SO I JUST WANT TO MAKE SURE THAT WE DON'T CONTINUE TO HAVE AS MUCH AS I UNDERSTAND ABOUT THE -- YOU KNOW, THE RESIDENTIAL, THERE'S SOMETHING TO BE SAID ABOUT THE COMMERCIAL AND THE OUTSIDE CITY WATER USERS. NOT THAT, YOU KNOW, THEY NEED TO BE -- I JUST WANT US TO BE EQUAL, YOU KNOW, JUST IF THEY ARE GOING TO CUT OFF A RESIDENT AFTER THREE MONTHS, THEN WE NEED TO CUT OFF THAT COMMERCIAL OR INDUSTRIAL USER THE SAME. >> Winkelmann: RIGHT. AND THERE HAVE BEEN SOME LARGE COMMERCIAL CUSTOMERS CUT OFF. I CAN ALSO TELL YOU THAT, YOU KNOW, UNDER THE WORK BY REVA AND HER TEAM, OUR DELINQUENCY HAS REDUCED. >> Campos: OKAY. >> I DON'T HAVE THOSE NUMBERS WITH ME SPECIFICALLY, BUT, BOY, I'D LIKE TO SIT DOWN WITH YOU AND WE CAN GO THROUGH THEM. >> Campos: ALL RIGHT. THANK YOU. COUNCILMA N CANTU? >> Cantu: REAL QUICK. WHAT COUNCILWOMAN CAMPOS SAID, IS THERE -- IS THERE A DIFFERENCE FOR RESIDENTIAL AND COMMERCIAL ACCOUNTS, WHO GETS DISCONNECTED? LIKE COMMERCIAL -- LIKE RESIDENTIAL, LIKE DO THEY -- DO YOU GUYS CALL THEM AND SAY, HEY, ARE YOU GUYS -- YOU GUYS ARE PAST DUE, YOU NEED TO MAKE YOUR PAYMENT, YOU KNOW, OR WE'RE GOING TO DISCONNECT YOU, OR HOW DOES IT WORK? >> A DISCONNECT NOTICE GOES OUT TO ANY COMMERCIAL OR RESIDENTIAL CUSTOMER WHO'S REACHED THE MILESTONE FOR THAT. AND I BELIEVE IT'S AT 45 DAYS. >> Cantu: OKAY. >> AND WE'RE VERY CONSCIENTIOUS ABOUT MAKING SURE WE CAN MAKE CONTACT WITH THE CUSTOMER. WE PUT A TAG ON THEIR DOOR BEFORE WE TURN OFF THE WATER, AND WE'RE VERY, VERY WILLING TO WORK WITH A CUSTOMER FOR -- ON A PAYMENT PLAN. WE HAVE CERTAIN LEVELS OF AUTHORITY THAT CAN -- THAT WE CAN WORK ON, BECAUSE WE DON'T WANT OUR CUSTOMERS' WATER TURNED OFF, BUT WE ALSO HAVE TO MAINTAIN THE INTEGRITY OF THE SYSTEM AND WE HAVE TO PROTECT THE REVENUE AS WELL. WE'RE TRYING TO BALANCE THAT ON A DAILY BASIS, BOTH WITH THE RESIDENTIAL AND WITH THE COMMERCIAL CUSTOMER. >> Cantu: SO WHEN SOMEONE SAULS AND SAYS I WANT TO MAKE A PAYMENT PLAN, I DON'T HAVE NO MONEY, THOUGH, WHAT DO YOU GUYS DO, YOU WON'T BE ABLE TO HELP THEM, RIGHT? >> WELL, WE'LL TALK TO THEM AND USUALLY THERE IS A CER CERTAIN NUMBER THAT WE CAN WORK WITH, BUT WE ALSO HAVE A NUMBER OF OUTSIDE GROUPS THAT WE WILL REFER THEM TO. AND WE KEEP THAT LIST UPDATED AND EVERY CUSTOMER SERVICE REP HAS THAT LIST AND WE GET A LOT OF HELP FROM OUR OUTSIDE -- >> Cantu: SO YOU GUYS DO TELL THEM THERE'S OPTIONS OUT THERE OUTSIDE. >> YOU BET. THAT'S OUR -- THAT'S OUR -- ALWAYS OUR OBJECTIVE IS TO MAKE THEM WHOLE AND TO ALSO PROTECT THE REVENUE AND THE INFRASTRUCTURE OF OUR BILLING SYSTEM. >> Cantu: OKAY. I USUALLY GET LIKE ONE OR TWO E-MAILS A MONTH JUST ABOUT THAT. >> I'D LIKE TO ALSO SAY THAT THERE'S USUALLY ALSO ANOTHER SIDE Z TO THE STORY, AND WE MAKE SURE THAT WE LOOK AT IT OBJECTIVELY AND MAKE SURE WE RIGHT ANY WRONG WE'VE DONE AND THAT WE LISTEN TO THE CUSTOMER. >> Cantu: YEAH, FOR SURE. I THINK -- ESPECIALLY IN SMALL BUSINESSES, IF THEY'RE ABOUT TO BE DISCONNECTED, AT LEAST GIVE THEM TO THE END OF THE DAY TO PAY IT. I'VE BEEN THERE BEFORE. >> SURE. >> Cantu: AND, YOU KNOW, JUST GIVE THEM AN OPPORTUNITY TO GO AND PAY, BECAUSE ONCE THE CITY TRUCK PULLS UP -- >> THAT'S WHY WE MAKE MORE PHONE CALLS AND REACH OUT TO OUR COMMERCIAL CUSTOMERS PROBABLY, BECAUSE WE KNOW THEY'RE A VIABLE BUSINESS AND THAT THEY SERVE THE PUBLIC. SO WE HAVE STRICTER BUT YET MORE THOROUGH IN TALKING TO OUR COMMERCIAL CUSTOMERS, AND THAT DELINQUENCY RATE IS NOW DOWN ABOUT 2%. >> Cantu: NICE. >> AND OUR RESIDENTIAL RATE'S ABOUT SEVEN. >> Cantu: 7. >> WHICH IS A LOT LESS THAN IT WAS EIGHT YEARS AGO. >> Cantu: YEAH, YEAH. THANK YOU. >> I'M JUST GOING TO MAKE A SMALL PITCH OUT, TOO, SO THERE IS -- THERE IS SOME FUNDING THAT WE HAVE AVAILABLE THAT WAS MADE AVAILABLE, IT WAS PROBABLY TWO MONTHS AGO. >> Cantu: BECAUSE OF YOU. >> Molly: WELL, IT'S OVER AT MISSION 9-1-1, THEY GIVE US A REPORT EVERY MONTH, THEY HAVE TO MEET CERTAIN CRITERIA, BUT WE CERTAINLY WANTED TO TRY TO HELP SENIORS AND VETERANS SO MISSION 9-1-1 IS -- YOU KNOW, THEY'RE MAKING SURE FOLKS QUALIFY AND WE GET A REPORT. IN FACT, I JUST GOT ONE THE OTHER DAY. SO THERE IS FUNDING AVAILABLE TO THEM. >> Cantu: GOOD. >> Molly: I WOULD ENCOURAGE ANYBODY THAT'S CHALLENGED OR HAVING SOME FINANCIAL STRIFE TO REACH OUT TO THEM. >> Cantu: YEAH, FOR SURE. AND I THANK YOU FOR THAT. YOU DID A GREAT JOB HOSTING THAT EVENT AND RAISING ALL THAT MONEY, SO... >> Molly: ABSOLUTELY. >> Cantu: I THINK YOU RAISED 80,000? >> Molly: 87,000. >> Cantu: WOW. THANK YOU. >> Mayor Guajardo: AND ON THAT NOTE, AND REVA YOU SAID -- YOU DON'T HAVE TO GET UP, BUT OUR CUSTOMER SERVICE REPS, THEY REFER THOSE PEOPLE TO MISSION 9-1-1? I MEAN, ARE THEY ABLE TO DO THAT? SHE'S NODDING HER HEAD YES. ALL RIGHT. THANK YOU. COUNCILWOMAN PAXSON. >> Paxson: THANK YOU, MAYOR. I HAVE ANOTHER QUESTION, BUT TO PIGGYBACK ON THAT WHILE IT'S STILL FRESH IN EVERYONE'S MINDS, THAT 7% THAT'S STILL IN THAT DELINQUENT PERCENTAGE OF RESIDENTIAL, IS THERE -- BEING CONSCIENTIOUS ABOUT PEOPLE'S PRIVACY AND THINGS LIKE THAT, IS THERE CONSIDERATION TO LINKING THOSE AS WELL TO THAT GRANT, THANK YOU FOR MAKING THAT POSSIBLE? I'M SEEING HEADS NODDING. SO I'M GOING TO TAKE THAT AS AN AFFIRMATIVE. MAYBE WE CAN CLOSE THAT 7% GAP A LITTLE BIT THROUGH THAT. BUT MY QUESTION WAS IN THESE RATE PROPOSALS, DO THESE INCLUDE FUTURE ANTICIPATED DEBT SERVICE EXPENSES? >> FOR THE -- FOR THE OUTLYING YEARS. SO WE DO A MULTIYEAR FINANCIAL PLAN, AND SO WE GO OUT 10 YEARS FOR THAT. SO THAT'S WHERE FUTURE DEBT SERVICE IS INCLUDED IN THOSE OUTYEARS. >> Paxson: SO IT DOES. >> Zanoni: NOT IN THIS RATE. [SIMULTANEOUS SPEAKING]. >> Zanoni: THAT RATE THAT HE'S PROPOSING TODAY DOES NOT INCLUDE FUTURE DEBT ISSUANCES. >> RIGHT. ONLY WHAT YOU PLAN TO PAY AS FAR AS PRINCIPLE AND INTEREST FOR '26 DOES THAT GET -- >> Zanoni: CORRECT. >> IN RATE SETTING WE FOLLOW A MATCHING PRINCIPLE WHERE WE TWRIE TO MATCH THE REV -- TRY TO MATCH THE REVENUES TO THE EXPENDITURES THAT ARE GOING TO BE INCURRED IN THAT -- WHAT WE CALL THE TEST YEAR. SO THE TEST YEAR WOULD BE FISCAL YEAR 2026. >> Paxson: SO I KNOW THAT OUR RATES -- WE'RE BOUND TO KEEPING OUR RATES NOT AT A FOR PROFIT LEVEL, BUT FOR OPERATIONS RECOVERY BASICALLY. SO GOING THROUGH IN THE MEETINGS THAT WE'VE ENGAGED IN WERE VERY HELPFUL, I APPRECIATE ALL THAT, OUR CIP, THOSE TYPES OF TH THINGS, I GUESS THAT'S KIND OF MY QUESTION, THROUGH THOSE PROJECT-TYPE FUNDING, IS THAT ROLLED INTO WHAT WE CONSIDER AS BEING COVERED BY THESE RATES? >> LIKE ANDY STATED, UP TO THIS YEAR. SO YOUR FUTURE -- LIKE YOU'RE APPROVING PROJECTS FOR '26, ONE'S IN '27, '28, '29, ALL THE WAY TO 10 YEARS, THOSE ARE IN THE LONG-TERM PLAN, BUT WE ARE NOT FRONTLOADING THOSE COSTS INTO THE CURRENT RATE. THE CURRENT RATE ONLY COVERS THE CAPITAL EXPENSES THROUGH CIP THAT HAVE OCCURRED, THAT WE HAVE CONTRACTS, WE PAID OUT, WE SOLD THE DEBT. >> Paxson: CORRECT. >> ANYTHING FUTURE WILL COME IN THE FUTURE YEARS. >> Paxson: OKAY. BUT IT DOES, IT BASICALLY INCLUDES THAT CATEGORY? >> YES. >> Paxson: AS APPLICABLE PER YEAR, BUT IT DOES INCLUDE THAT CATEGORY. OKAY. THANK YOU. >> Mayor Guajardo: OKAY. I THINK THAT'S ALL THE QUESTIONS OR COMMENTS. I'M GOING TO OPEN PUBLIC COMMENT. IS THERE ANYONE IN THE AUDIENCE THAT WOULD LIKE TO SPEAK ON ITEM NUMBER 9? >> MARK MURNSTER, CORPUS CHRISTI. JUST FROM THE WORDS THAT THEY JUST SAID TALKING ABOUT THE FIRST 2000-GALLON, 75 CENT INCREASE AND THEY WERE TALKING ABOUT HOW IT WAS GOING TO BE $1 AND THEY DETERMINED THAT THAT WOULD BE TOO MUCH OF A BURDEN, HOW WAS THAT DETERMINED? LIKE IF $1 IS TOO MUCH OF A BURDEN, THEN DOES 25 CENTS REALLY MAKE THAT MUCH OF A DIFFERENCE? AND THEN CONSIDERING THAT IN CONTEXT WITH THE LARGE USERS OUTSIDE CITY LIMITS APPEALING THEIR RAILT INCREASE AND IT WAS ALSO MENTIONED THAT FOR THOSE OUTSIDE CITY LIMITS FOR THE STORMWATER DEBT THAT WE CURRENTLY HAVE OF 200 PLUS MILLION, BECAUSE THERE'S NO BENEFIT TO THEM THAT THEY DON'T HAVE TO PAY, SO THAT MAKES ME THINK IF RESIDENTS DON'T BENEFIT AND DON'T USE THE WATER, WHY DO WE HAVE TO FACE THE INCREASES, SO... >> Mayor Guajardo: THANK YOU. >> HI, ROBIN COX, DISTRICT 3, AND FIRST OF ALL, I ALWAYS BRING THIS UP, A SINGLE MOM COULD MAYBE HELP Y'ALL DO SOME STUFF BECAUSE YES, CANE BEEF WRAKED UP 2.4 MILLION IN WATER BILLS IN CORPUS CHRISTI. WE LET THAT GO? I'M AN APARTMENT OWNER, IF I GET ONE MONTH BEHIND AND I DO THANK THE REPS, THEY WILL CALL US AND TELL US, HEY, YOU'VE GOT SOME HIGH WATER USAGE. I'M TRYING TO MAINTAIN A BUSINESS AND EVERY TIME THE WATER RATE GOES UP AND HE SAYS YOU'RE GOING TO PHASE IT, PHASING IS A NICE WORD, THANK YOU FOR USING PHASING IT, BECAUSE IT STILL MEANS GOING UP. AND WHEN YOU SAY 25 CENTS, THAT'S LIKE WHEN YOU SELL A CAR AND THAT'S A TYPICAL SALES TACTIC, INSTEAD OF LET'S GO TO 10,000, LET'S GO TO 9,999. WE'RE NOT STUPID. IT'S STILL RAISING YOUR RATES. WE HAVE PEOPLE BARELY MAKING IT HERE, AND FOR EVERY TIME THE WATER RATE GOES UP, I HAVE A VACANT HOUSE RIGHT NOW. NOT ONE PERSON IS FLUSHING THE TOILET, WE HAVE IT UNDER REMODELING. WATER'S NOT BEING WATERED, NO ONE'S SHOWERING AND I STILL HAVE $150 WATER BILL. HOW? AND WHEN YOU LOOK AT YOUR BILL AND YOU SEE WASTEWATER AND WATER, WHAT, YOU'RE NOT SUPPOSED TO FLUSH YOUR TOILET BUT IT'S STILL THE SAME. OUR RATES ARE IMPOSSIBLE, WE'RE TRYING TO GET NEW BUSINESSES HERE, IF YOU'RE RUNNING A RESTAURANT AND YOU'RE PASSING THOSE ON, YOUR BILL'S GOT TO GO UP, APARTMENTS HAVE TO GO UP. WE'RE MAKING IT HARDER AND HARDER FOR PEOPLE TO LIVE HERE. WHY DON'T YOU SEE IF YOU CAN GET SOME SINGLE MOMS TO COME AND WE'LL SHOW Y'ALL WHERE TO MAKE THE CUTS BECAUSE THEY'RE NOT DOING A VERY GOOD JOB OF CUTTING THE WATER RATES. MAYBE WE CAN CALL THE CANES AND THEY WANT TO MAKE SOME BACK PAYMENTS. THANK YOU. . >> Mayor Guajardo: ANYONE ELSE? >> RACHEL CABALLERO, D1, I'M HERE AS PRESIDENT OF THE CORPUS CHRISTI TAX ASSOCIATION. OVER THE COURSE OF THE LAST SIX YEARS WE'VE HAD THIS SAME CITY MANAGEMENT DEALING WITH A LOT OF THESE ISSUES AND WE KEEP FINDING OURSELVES YEAR AFTER YEAR NRA DEFICIT AND HAVING TO FEED -- OR FEED THE BEAST BY TAKING FROM THE PEOPLE. AND AT SOME POINT WE'RE GOING TO HAVE TO FIX THIS NARRATIVE AND HIRE PEOPLE THAT ARE CONCERNED ABOUT PEOPLE FIRST. THIS COMMUNITY WE ALL KNOW IS A LOW SOCIOECONOMIC CITY. WE ALL KNOW THIS. SEVERAL PEOPLE SITTING BEHIND THIS DAIS HAS PROVEN TIME AND TIME AGAIN THAT THEY DON'T CARE ABOUT THAT ASPECT. AND WE NEED TO CARE. BECAUSE IF THE PEOPLE -- PEOPLE WALK AWAY FROM THIS COMMUNITY, THEN THERE ARE NO EMPLOYEES FOR INDUSTRY, THERE ARE NO EMPLOYEES FOREST RAWPTS, THERE ARE NO EMPLOYEES TO CLOSE ON HOMES. I MEAN, WE'RE GOING TO HAVE TO START USING SOME COMMON SENSE HERE AND HIRE STAFF THAT UNDERSTANDS AND HAS THE SAME GOAL TO HELP THE COMMUNITY HERE AND TRULY USE OUR REVENUE STREAMS THROUGH THE MULTIBILLION DOLLAR CORPORATIONS TO THE BENEFIT OF OUR COMMUNITY. LET'S GET THERE, PLEASE. THANK YOU. >> MICHAEL MILLER, DISTRICT 2, HERE TO SING COUNCIL CARE RIO KEY. NO, I WANTED TO COME TO THE MIC FOR THIS ITEM AND THANK PETER AND THE MAYOR FOR PUTTING THIS ON THE AGENDA AT THE BEGINNING OF THE MEETING, BECAUSE IT'S GOING TO MAKE MY JOB A WHOLE LOT EASIER LATER ON IN THE AGENDA. SO THANK YOU. >> Mayor Guajardo: THANK Y YOU. >> SUZIE LUNA SALDAÑA, CORPUS CHRISTI, TEXAS. I REALLY KNOW THAT IT IS VERY HARD TO RAISE THE RATES AND WHAT WE'RE HAVING TO PAY FOR THEM. AND THERE ARE SOME MISSIONS COMING, BUT I WOULD BE REMISED IF I DIDN'T TELL YOU THAT I APPRECIATED YOUR DEAL WITH 9-1-1. THEY HAVE REALLY DONE AN OUTSTANDING JOB AND PEOPLE HAVE BEEN TALKING TO ME ABOUT IT, OF BEING ABLE TO GET HELP WITH THEIR BILLS. SO IF ANYTHING ELSE, I WANT YOU TO KNOW THAT THAT IS WORKING. THANK YOU. >> Mayor Guajardo: THANK YOU. >> GOOD AFTERNOON, MAYOR AND COUNCIL, MY NAME IS JIM KLEIN. I LIVE IN DISTRICT 2, I WANTED TO REFER BACK TO ONE OF THE SLIDES THAT THE NEXTGEN FOLKS SHOWED US. LOOKING AT RESIDENTIAL RATES AND THOSE RESIDENTS WHO HUGE LARGE QUANTITY OF WATERS, THEIR RATES GO UP SIGNIFICANTLY. I DON'T THINK THAT'S A COST ANALYSIS, I THINK THAT'S REALLY DESIGNED TO BE A TE DER RENS TO EXECTIVE WATER USAGE. I JUST THINK THAT THAT SAME STANDARD SHOULD BE APPLIED TOWARDS LARGE VOLUME WATER USERS AS WELL, RATHER THAN BEING CHARGED -- I THINK THE PROPOSAL IS, WHAT, $4.34 PER THOUSAND GALLONS, IT SHOULD BE MUCH HIGHER THAN THAT IN THE SAME WAY THAT LARGE RESIDENTIAL USERS ARE CHARGED AT A LARGER RATE AS WELL. THANK YOU. >> Mayor Guajardo: THANK YOU. ANYONE ELSE ON ITEM NUMBER 9. >> GIL AGUIRRE, I'M ACTUALLY DISTRICT 5. I THOUGHT I WAS DISTRICT 3. BUT 5 AND 1. I WAS AT WORK WATCHING ON TV AND I'M LISTENING GOING, MAN, IT'S CRAZY AND I HEAR EVERYONE TALK AND I ALREADY SAID WHAT I WAS GOING TO SAY, BUT SCALPING, IF YOU BUY A TICKET FOR A CONCERT AND THEN YOU SELL IT FOR MORE MONEY, SCALPING, IF YOU HAVE A WATER -- SOME HURRICANE HITS AND WE NEED WATER AND WE START GETTING WATER FOR MORE MONEY, IT'S CALLED SCALPING, BUT HERE IT'S CALLED BUSINESS. YOU KNOW, I SAW Y'ALL DOING SOMETHING ON THE LAKE FOR $70,000 BOAT RAMP, I BUILD HOUSES. THAT'S A FOUNDATION WITH NO PLUMBING, NO BEAMS. IT'S JUST A 6-INCH SLAB. 60 GRAND? I'LL GO BUILD IT FOR YOU GUYS. HIRE ME, I'LL BUILD IT FOR 30. YOU KNOW? EVERYTHING THEY -- THEY'VE ALREADY SAID WHAT I WANT TO SAY, YOU GUYS KEEP RAISING THE PRICE ON THE LAKE, NO ONE'S GOING TO THE LAKE BECAUSE WE CAN'T GET OUR BOATS IN THERE. I HAVE FOUR PROPERTIES ON THE LAKE, THERE'S NO BOATS FOR THE PAST TWO YEARS. AND NOW YOU'RE PUTTING A LITTLE DOOR THERE TO BACK UP ON AND THAT'S ABOUT 80 GRAND. GUYS, WE NEED TO GET SOMEBODY OUT THERE THAT BUILDS STUFF SO WE ACTUALLY GET BIDS FOR STUFF BECAUSE YOU GUYS SAY, OH, FULTON, WHAT DO YOU WANT? 80MILLION. OH, IT'S 80 MILLION TO BUILD IT. THAT'S NOT THE WAY IT WORKS IN THE REAL WORLD, GUYS. LIKE YOU GUYS DRIVE ME CRAZY. THANK YOU, I LOVE YOU. YOU, I LIKED YOU A LOT. THE FOUR THAT ALWAYS VOTING FOR THE PORT, YOU SHOULD HAVE A SHIRT THAT SAYS "THE PORT." THANK YOU VERY MUCH, CAME FROM WORK TO DO THIS. I'M GOING BACK TO WORK NOW. >> Mayor Guajardo: THANK YOU. ANYONE ELSE? ITEM NUMBER 9? ALL RIGHT. WE'RE GOING TO CLOSE PUBLIC COMMENT AND I WILL ENTERTAIN A MOTION TO APPROVE THE ORDINANCE. >> Scott: MOVE TO APPROVE. >> Barrera: SECOND. >> Mayor Guajardo: WE HAVE A MOTION. WE HAVE A SECOND. PLEASE SUBMIT YOUR VOTE. THE MOTION FAILS. >> Zanoni: OKAY. MAYOR, WE'RE GOING TO HAVE TO AT THIS POINT CUT SPENDING IN THE WATER FUND. THAT RATE WAS -- THE RATE GENERATED, WHAT WAS IT, 8 MILLION OR 6 MILLION, NICK. >> Winkelmann: 20 MILLION. >> Zanoni: 20 MILLION. OKAY. SO WE HAVE TO CUT 20 MILLION OUT OF THE WATER OPERATION TO HAVE A BALANCED BUDGET. NICK DOES HAVE A LIST OF OPTIONS THAT WE CAN REVIEW WITH YOU. >> Winkelmann: WE DO. YES, WE DO. IF WE COULD SHARE THE SLIDE. SO FOR NO RATE INCREASE, WE'D HAVE TO REDUCE THE OPERATION'S BUDGET BY 20 MILLION. AGAIN, I DO WANT TO REITERATE THE OPERATION'S BUDGET FOR WATER WENT UP APPROXIMATELY 4%, I BELIEVE, PLUS OR MINUS, SO THE MAJORITY OF THE INCREASES ARE NOT ASSOCIATED WITH OPERATIONS. HOWEVER, IF WE WANT TO REDUCE -- HAVE NO RATE IMPACT, WE'D HAVE TO REDUCE THE OPERATIONS, AND HERE ARE SOME OF THE ITEMS WE'D HAVE TO DO TO COME UP WITH THE $20 MILLION. TOTAL POSITIONS ELIMINATED WOULD BE 86, THAT'S 26% OF OUR ENTIRE WATER POSITIONS FOR THE FUND. IT WOULD BE THE ELIMINATION OF OTHER ITEMS -- OTHER ITEMS WOULD BE THE ELIMINATION OF STREET CUT REPAIRS, SO IF WE HAD A WATER MAIN BREAK IN THE STREET, CCW, IF WE HAD THE PEOPLE WOULD FIX THE WATER MAIN BREAK, AND THEN WE WOULD REPLACE COAL PATCH ON THE STREETS. THE PERMANENT REPAIR WHICH IS CURRENTLY CONDUCTED BY PUBLIC WORKS, WE WOULD ELIMINATE THAT FUNDING TO PUBLIC WORKS. ADDITIONALLY, WE WOULD ELIMINATE RESOLUTION SPECIALISTS AT THE UTILITY BILLING OFFICE. THOSE ARE THE SAME PEOPLE THAT TALKED TO THE RESIDENTS AND THE COMMERCIAL CUSTOMERS THAT WE JUST TALKED ABOUT TO SET UP PAYMENT PLANS, TO SET UP -- TO ENSURE THAT THEIR WATER ISN'T CUT OFF. ALSO WE HAVE OUR ENGINE -- PLANNING AND ENGINEERING DEPARTMENT. THAT TEAM INSPECTS DEVELOPER PLANS AND INSPECTS CAPITAL PROJECTS. THAT'S ALSO THE TEAM THAT DESIGNED ALL OF THE WATER INFRASTRUCTURE ON AN EASTERN WELL FIELD WHICH ALLOWED US TO ESSENTIALLY HAVE EIGHT WELLS COMPLETED IN A SEVEN-MONTH TIME FRAME, SO THERE'S NO WAY THAT COULD HAVE HAPPENED IF THAT IS ELIMINATED, DEVELOP SERVICES WOULD HAVE TO HIRE ADDITIONAL STAFF, AS WOULD OUR ENGINEERING DEPARTMENT JUST TO MAKE SURE THOSE PLANS ARE REVIEWED AND THERE'S NOT A DETRIMENT TO THE WATER SYSTEM. WE HAVE FOUR POSITIONS IN OUR PUBLIC RELATIONS DEPARTMENT OR DIVISION, AND I THINK WE ALL AGREE HOW IMPORTANT THAT IS, COMMUNICATING WITH THE PUBLIC, EXPLAINING AND EDUCATING PEOPLE ON DROUGHT RESTRICTIONS, AND ALSO EDUCATING NOT JUST THE COMMUNITY, BUT ALSO AT SCHOOLS AND OTHER EVENTS. OWENS STEVENS, YOU KNOW, OBVIOUSLY STOP FLUORIDE. THAT IS NOT A REGULATORY REQUIREMENT. ADDITIONALLY, WE COULD STOP USING POTASSIUM PER MANGA NATE. THERE WOULD DEFINITELY BE A DEFINITE TASTE IN OUR WATER QUALITY. I THINK COUNCILMAN ROY MENTIONED THAT EARLIER, THERE WAS A FACILITY THAT BLEW UP AND THAT ACTUALLY HURT OUR SUPPLY OF POTASSIUM PER MANGA NATE. ADDITIONALLY WE USE SODIUM CHLORIDE, THAT PREVENTS NITRIFICATION AND IT HELPS US OUT OF WATER BOIL ORDERS. AND, OF COURSE, ONE OF THE BIGGEST CUTS WE WOULD HAVE TO MAKE IS TO OUR MAINTENANCE OF LINES STAFF. THAT STAFF ALONE IS SPOWNS FOR RESPONDING -- RESPONSIBLE FOR RESPONDING TO WATER MAIN BREAKS, IS RESPONSIBLE TO METER -- WE REPLACE BROKEN METERS, WE REPLACE -- WE DO SITE RESTORATION, THAT INCLUDES CURBS AND SIDEWALKS AND DRIVEWAYS THAT ARE IMPACTED BY WATER MAIN BREAK. TOGETHER, ALL THOSE POSITIONS, LIKE I SAID, IT'S 86 POSITIONS, IT'S 26% OF OUR WORKFORCE, IT'S A TREMENDOUS AMOUNT OF SERVICES THAT WOULD HAVE TO BE CUT DIMINISHED. THE OTHER THING I'D LIKE TO ADD IS ALL OF THESE ITEMS EITHER HAVE A DIRECT OR AN INDIRECT CORRELATION TO REGULATORY COMPLIANCE, SO, IN OTHER WORDS, IF -- JUST THINK OF THE CHEMICALS, ESPECIALLY THE SODIUM CHLORIDE, CUTTING IT, YOU WOULDN'T HAVE AN IMPACT TO REGULATORY COMPLIANCE. FIRST TIME WE HAVE FAILED SAMPLES AND WE GO INTO A WATER BOIL, WE'RE IN THE REGULATORY COMPLIANCE. WITH THAT, I'LL STAND BY FOR QUESTIONS. >> Zanoni: THAT TOTALS 20 MILL, NICK, ALL THOSE THINGS? >> Winkelmann: CORRECT. >> Zanoni: SO THAT'S IT. WE'RE GOING TO HAVE TO -- THAT WOULD BE THE RESULT OF NOT HAVING THAT RATE INCREASE. THESE ARE RECOMMENDATIONS I ASKED THE -- I ASKED NICK AND DREW TO PUT TOGETHER WHAT WE'D CUT. THIS IS THEIR BEST PROFESSIONAL RECOMMENDATION, WHICH WOULD HAVE -- IT HAS AN IMPACT, BUT IT WOULD HAVE THE LEAST IMPACT. >> Molly: THAT'S CORRECT. THE LEAST IMPACT, BUT STILL SIGNIFICANT IMPACTS. >> Zanoni: RIGHT. >> Molly: AND SERVICES THAT OUR CUSTOMERS ARE USED TO SEEING. >> Zanoni: UH-HUH. COUNCILWO MAN VAUGHN? >> Vaughn: HOW DID I GET BEFORE YOU, KAYLYNN, AND YOU'RE LEARNING HOW TO DO THESE LITTLE THINGS, AREN'T YOU, WHERE YOU CUT IT BACK? HOW MUCH IS THE FLUORIDE? I KNOW WE NEED THOSE OTHER CHEM CHEMICALS BUT THERE'S SOME CONTROVERSY ON THAT. >> Molly: SOME OF THE THINGS THAT WE REALLY WANTED TO DO -- FIRST OFF, WE DON'T WANT TO DO ANY OF THIS. I THINK IT'S PRETTY CLEAR. WE TRIED TO PRIORITIZE WHAT WOULD BE THE LEAST IMPACTFUL, EVEN THOUGH ALL THESE WOULD BE VERY IMPACTFUL. SO THE CHEMICALS, FLUORIDE, TO ANSWER YOUR QUESTION, IS ABOUT $500,000 A YEAR, AND THEN THE OTHER TWO, PO TAAS ITEM PERMANGANATE AND SODIUM CHLORIDE, IT'S ACTUALLY SODIUM PERMANGANATE, VERY EFFECTIVE CHEMICAL THAT'S USED AT THE FRONT PART OF OWENS STEVENS TO REDUCE [LAPSE IN AUDIO] -- WHICH CAN CAUSE PROBLEMS IN THE DISTRIBUTION SYSTEM, WHICH FRANKLY, KIND OF PLAGUE THE SYSTEM BACK IN THE 2016, '17 ERA WHERE THERE WERE LOTS OF BOIL WATER NOTICES THAT HAD OCCURRED. SO WE COULD CUT THIS OUT AND WE WOULDN'T SEE AN IMMEDIATE RESPONSE, BUT THERE WOULD VERY LIKELY OVER SOME TIME, IT WOULD START -- WE WOULD START TO SEE THAT. >> Vaughn: OKAY. WELL, I UNDERSTAND YOU HAVE TO HAVE THOSE OTHERS IN THERE, THE OTHER CHEMICAL. THE FLUORIDE, THOUGH, IS SUCH A BIG CONTROVERSY, SO I DON'T KNOW IF THAT WOULD BE A HUGE ISSUE OR NOT FOR OUR CITIZENS, I DON'T KNOW. >> Molly: WELL, YOU KNOW, ONE THING THAT IS IMPORTANT IS, YOU KNOW, THESE AREN'T REGULATORILY REQUIRED, SO FLUORIDE IS A BEST PRACTICE. >> Vaughn: YEAH. >> Molly: SO DOCTORS AND DENTISTS, YOU KNOW, THEY WILL COME UP HERE PERIODICALLY, ESPECIALLY IF THEY START HEARING THAT FLUORIDE COULD POTENTIALLY BE REDUCED OR ELIMINATED FROM OUR OPERATIONS. >> Vaughn: OKAY. AND ALL OF THESE POSITIONS WHICH YOU'RE SAYING 37 -- OR 34 ARE FILLED OUT OF 37. THESE ARE ALL NEW ONES? >> Molly: THESE ARE EXISTING. >> Vaughn: THESE ARE EXISTING. >> Molly: THESE ARE EXISTING POSITIONS THAT ARE FILLED TODAY. THERE ARE PEOPLE SITTING IN THOSE POSITIONS DOING THE WORK ASSOCIATED WITH THE -- >> Vaughn: WELL, WE ALL KNOW THAT WE DON'T NEED TO BE CUTTING THOSE POSITIONS, SO... OKAY. WELL, I'LL HEAR FROM EVERYBODY ELSE. COUNCILWO MAN PAXSON. >> Paxson: THANK YOU, MAYOR. THANK YOU GUYS FOR THE PRESENTATION. PETER, I CAN'T HELP BUT -- IT LOOKS LIKE A GREAT DEAL OF THOUGHT WAS GIVEN TO THE POTENTIAL THAT THIS ITEM MAY NOT PASS, SO I PERSONALLY AM A LITTLE DISAPPOINTED THAT I DON'T HAVE IT IN THE PACKET FOR PREVIEW PRIOR TO THIS. I THINK WE ALL COULD HAVE -- OF COURSE, I THINK ANY TIME YOU'RE GOING TO HIT A YES OR A NO, YOU HAVE TO THINK OF THE RAMIFICATIONS, AND THAT'S IN OUR MINDS, BUT THIS KIND OF FORETHOUGHT, YOU KNOW, THIS EQUATES TO 20 MILLION AND HERE'S OUR -- AT INITIAL GLANCE RECOMMENDATION OF HOW WE WOULD CLOSE THAT GAP. I DON'T FEEL -- I DON'T FEEL THAT SEEING IT AT THIS STAGE GIVES US QUITE THE TIME TO BE ABLE TO DELIBERATE ON THOSE RAMIFICATIONS, AND I THINK THAT PERHAPS THERE'S OTHER OPTIONS WE MAY BE ABLE TO LOOK AT. I KNOW OUR CIP ACROSS THE DEPARTMENTS THIS YEAR, AND I KNOW THAT THOSE ARE VERY IMPORTANT PROJECTS, BUT PERHAPS THAT'S SOMETHING WE EVALUATE. CERTAINLY -- >> CIP HAS NO EFFECT ON THE FISCAL YEAR 2026. LIKE I STATED. IT'S SPENT MONEY THAT AFFECTS 2026. FUTURE RATES WOULD HAVE THE NEW PROJECTS THAT YOU'RE APPROVING. SO YOU CAN CANCEL ALL OF CIP FOR WATER, IT WILL STILL HAVE A ZERO IMPACT ON FISCAL YEAR '26 RATES. >> Paxson: OKAY. THANK YOU FOR THAT. SO I THINK WHAT WE COULD DO AS OPPOSED TO DELIBERATING OVER A SLIDE WE'VE ONLY JUST NOW BEEN PRESENTED WITH, IS TO TAKE A WEEK, BR BRING A COUPLE OPTIONS, AND I KNOW OTHER PEOPLE HAVE TO TALK SO I'M NOT TRYING TO STEP AHEAD. I'M JUST SAYING MY PIECE. TAKE SOME TIME, LOOK AT THE OPTIONS WE HAVE, I KNOW WE'VE GOT CREATIVE OTHER FOLKS ON THIS TEAM AND SEE WHAT OUR OTHER PROSPECTS ARE. I THINK IT'S JUST THE PROSPECT OF INCREASING THESE RATES THAT WE DON'T HAVE THE APPETITE FOR THAT WE'RE HESITANT ON. AND I DO THINK THERE ARE OTHER OPTIONS THAT I WOULD PERSONALLY -- AND I THINK PROBABLY OTHERS WOULD LIKE TO LOOK AT. >> Zanoni: YEAH, COUNCILWOMAN, IF I CAN, SO THE DEPARTMENT, AS WE'VE WORKED WITH ANDY THROUGH THE SUMMER, THEY'VE BEEN MAIN TRAINING A LIST LIKE THIS. I ASKED THEM THIS MORNING TO PUT IT INTO A SLIDE SO WE COULD PUT IT ON THE SCREEN, SO THERE WAS NO SENSE FROM THE COUNCIL THAT THE RATES WOULD NOT HAVE BEEN APPROVED. WE WOULD HAVE SHARED THIS WITH THE COUNCIL IN THE WORKSHOPS, BUT WE DIDN'T GET ANY INDICATION THAT RATES WOULDN'T BE APPROVED, SO WE HAD THIS, BUT I DID ASK HIM TO PUT IT INTO A PRESENTATION FOR THIS MORNING. AND MAYOR, IF I COULD, CAN WE HAVE MAYBE DREW OR SOMEBODY, BUT THE RATE -- THE COST OF RUNNING THE BUSINESS THIS YEAR IS MORE FOR A COUPLE OF REASONS, MOSTLY BECAUSE OF OUR WATER SITUATION, SO, ONE, PUMPING MORE WATER THROUGH THE MARY RHODES PIPELINE COSTS MORE BECAUSE OF WE'RE BRINGING IN 84% MORE WATER THAN WE EVER HAVE, SO ELECTRICITY COSTS ARE UP. AND THEN WE BOUGHT FORMOSA, THE GUARANTEE CONTRACT FROM FORMOSA THAT DRIVES THE COST AS WELL. >> Molly: RIGHT. >> Zanoni: AND REMIND US IF YOU CAN OVER THE PAST YEAR OR EVEN THE YEAR BEFORE, WE REALLY HAVEN'T HAD A SIGNIFICANT OR ANY RATE INCREASE, SO WHAT WE'RE SEEING IS A COMPOUNDING OF -- IF WE WANT TO KEEP DOING EVERYTHING WE'RE DOING, ON THE OPERATING SIDE, THE RATE EVENTUALLY YOU HAVE TO HAVE A RATE ADJUSTMENT BUT... >> Molly: YEAH, AND I'LL LET KAMIL MAYBE SAY A WORD ON THAT. OH, WE DO HAVE AN OVERHEAD THAT WE CAN SHOW. WHEN YOU LOOK AT THE SAMPLE UTILITY BILLING HISTORY, IT HAS -- IT HAS BEEN PRETTY DARN FLAT. YOU KNOW, SO IF YOU LOOK GOING BACK TO 2020, YOU KNOW, IN FACT THE RATE IN 2020 FOR WATER FOR A 5/8-INCH METER USING 6,000-GALLONS IF YOU LOOK AT THAT NUMBER, $44.58, AND TODAY'S PROPOSED RATE IS $42.07. SO I WOULD SAY, YOU KNOW, IF YOU LOOK AT -- AND I KNOW WE DON'T ALWAYS LIKE TO DO THIS, BUT IF YOU DO COMPARE OURSELVES TO OTHER UTILITIES ACROSS THE STATE, YOU KNOW, I THINK OUR RATES HAVE BEEN -- WELL, I'LL JUST SAY IT, THEY'VE BEEN PRETTY FLAT. SO, YOU KNOW, THOSE ARE THE NUMBERS. >> Mayor Guajardo: YEAH. OKAY. SO, PETER, I THINK -- I REALLY CAN'T BELIEVE THAT THIS IS HOW WE'RE DOING THIS, THAT Y'ALL ARE GIVING US THIS -- THIS LIST OF ITEMS, IT'S THE FIRST TIME WE'VE ALL SEEN IT AND SAYING CHOOSE AND MAKE IT HAPPEN. I THINK THAT SHOULD HAVE BEEN A PART OF -- I UNDERSTAND WHAT YOU'RE SAYING, YOU MAY NOT HAVE HEARD SOMETHING. I HAD THIS CONVERSATION THIS MORNING WITH HEATHER, I DON'T KNOW IF SHE'S HERE OR NOT, BUT, YOU KNOW, YOU ALL NEED TO SAY, WE NEED TO HEAR FROM COUNCIL. IF WHEN THAT PRESENTATION IS MADE, THEN YOU SAY, OKAY, YOU'RE GOING TO HAVE A MENU OF THINGS THAT REALLY SHOULD BE E-MAILED TO US A COUPLE OF DIFFERENT OPTIONS OR SOMETHING, TO LET -- TO PREPARE US IN KNOWING, OKAY, THIS IS WHAT THIS MEANS. AND THAT WAS NEVER DONE, YOU KNOW, IN OUR WORKSHOP. I THINK THAT WOULD HAVE BEEN VERY HELPFUL FOR ALL OF US TO AT LEAST KNOW 20 -- I MEAN, YOU KNOW, NOT VOTING FOR THIS FOR VERY GOOD, VALID REASONS, IS GOING TO MEAN THIS. BUT ON THE SPOT, I THINK THAT'S A LITTLE BIT -- I JUST THINK THERE'S AN OBLIGATION TO LET THE K COUNCIL KNOW, YOU KNOW, WHAT THAT MEANS AND WHAT THAT MENU OF OPTIONS IS. LET ME GET -- OH, HE WALKED OUT. COUNCILMAN CANTU HAS A -- HE HAS A COMMENT. >> GR [OFF MIC] >> Mayor Guajardo: YOU'RE ON. GO AHEAD. >> Hernandez: OKAY. DREW AND PETER, YOU KNOW, THESE -- THE WAY YOU KIND OF OUTLINED THIS IS KIND OF THE WRONG WAY TO DO IT, RIGHT? YOU SHOULD LOOK AT IT ON SOME LINE ITEMS. I AGREE WITH COUNCILWOMAN VAUGHN. I VOTED AGAINST FIXING THE FLOOR THING ANYWAY BECAUSE I DIDN'T THINK IT WAS NEEDED. IT WAS JUST ADDED COST TO THIS -- I DON'T KNOW IF YOU RECALL THAT OR NOT. BUT THIS SHOULD BE DONE ON A LINE ITEM BASIS. I MEAN, YOU HAVE PROFESSIONAL SERVICES AS LINE ITEMS THROUGHOUT THE WATER DEPARTMENT AT 3.9 MILLION. YOU HAVE CLOTHING AT 219 MILLION. YOU HAVE TRAVEL AT 85,000 -- I'M SOR RISKER CLOTHING WAS 219,000. TEMPORARY SERVICES AT 391,000S, RENTALS AT 712,000. THERE ARE THINGS THAT WE CAN LOOK AT FROM -- YOU KNOW, ON A LINE ITEM BASIS THAT YOU DON'T HAVE TO FIRE PEOPLE OR RECOMMEND FIRING PEOPLE, THIS KIND OF REMINDS ME OF, LIKE, WELL, IF WE CAN'T APPROVE THE GENERAL BUDGET, WE NEED TO RELEASE FIREMEN AND POLICE OFFICERS. SO I GET THE -- YOU KNOW, THE SHOCK VALUE OF IT, BUT IT'S THE WRONG WAY TO GO ABOUT IT. WE SHOULD LOOK AT IT FROM A LINE ITEM BASIS AND WHERE WE CAN SAVE MONEY ON THOSE INDIVIDUAL ITEMS. AND, YOU KNOW, -- AND I JUST DID THAT IN THREE MINUTES OF LOOKING AT THE LINE ITEM BUDGET. SO THERE ARE PLACES WE CAN CUT THAT WON'T AFFECT PEOPLE'S INDIVIDUAL JOBS OR POSITIONS; HOWEVER, I THINK WE CAN ELIMINATE THE PR POSITIONS, I DON'T THINK WE NEED THAT. >> Campos: RIGHT. I CONCUR. >> Hernandez: BUT THERE'S -- THERE'S A WAY WE CAN GET THERE. AND THERE MAY BE A COMPROMISE. YOU KNOW, WE WERE SEEING -- YOUR RECOMMENDATIONS ARE 9% INCREASES, 14% INCREASES, IF WE CAN GET THIS DOWN TO WHERE IT EQUALS KIND OF OUR -- THE CPI OR THE -- YOU KNOW, WHATEVER THAT IS NET FOR THIS YEAR, 3%, AND THEN ALSO IF YOU RECALL, I MET -- I MADE A RECOMMENDATION SIX MONTHS AGO ABOUT TRYING TO RECOVER OUR RAW WATER COSTS. AND I HAD SPECIFIC DISCUSSIONS WITH YOU, DREW, AND I THINK KAMIL ABOUT INCREASE -- DOING A MIDYEAR ADJUSTMENT BECAUSE WE MOVED FROM HAVING MOST OF OUR WATER COME FROM LAKE CORPUS CHRISTI AND CHOKE CANYON TO LAKE TEXANA AND THE LITTLE COLORADO RIVER, WELL, THAT WATER COSTS MORE. SO WE HAD AN INCREASE THERE THAT WE DID NOT GO OUT AND GET BASED ON COST OF SERVICE BECAUSE WE DID NOT WANT TO DO A MIDYEAR ADJUSTMENT, AND YOU REMEMBER THAT. SO I WANT TO SAY THAT WE -- THIS -- WE'RE IN THIS POSITION BECAUSE WE DID IT TO OURSELVES, AND SO THERE -- I WANT TO SAY, GO BACK AND REDO THIS AND WE'LL TALK ABOUT THIS NEXT WEEK. THANK YOU. COUNCILMA N CANTU? >> Cantu: I JUST WANT TO SAY, I AM NOT FOR LETTING PEOPLE GO. WE'VE GOT TO FIND ANOTHER SOLUTION. I'M WITH COUNCILMAN HERNANDEZ ON THIS ONE, TO GO LINE ITEM BY LINE ITEM. I MEAN, I'M SURE WE'VE SPENT A LOT OF MONEY ON ADVERTISING. I'VE BEEN SEEING A LOT OF ADDS AND FACEBOOK POSTS AND STUFF, SO WE COULD ALWAYS FIND THE MONEY SOMEWHERE ELSE. BUT I WOULD LIKE TO BRING THIS BACK TO COUNCIL WITH OTHER OPTIONS PLEASE. THANKS. COUNCILWO MAN VAUGHN? >> Vaughn: WELL, I THINK WHAT WE NEED TO DO IS PROBABLY LOOK AT THE EXPENDITURES ON I'M NOT GOING TO BLAME YOU FOR THIS BECAUSE WE SHOULD NOT BE SITTING UP HERE IF WE DON'T HAVE ENOUGH SENSE TO ASK A QUESTION. AND WE ALL KNEW THAT THIS WAS GOING TO BE RAISED. I BLAME MYSELF AS WELL. I DO. WE SHOULD HAVE ASKED THE QUESTION. THAT IS NOT ON YOU, MR. ZANONI. IT'S ON US AND IF WE DON'T HAVE THAT MUCH SENSE WE SHOULDN'T BE SITTING UP HERE. THERE ARE SOME WAYS WE COULD CUT IT. I DIDN'T THINK ABOUT THE PURCHASE YOU MADE FOR MARY RHODES PUMPING MORE, OF COURSE THERE'S MORE COST. I THINK THE PROBLEM IS NEXT TIME I THINK WE NEED TO DO THE WORKSHOPS EARLIER. I DON'T THINK WE HAVE HAD ENOUGH TIME. WE HAVE BEEN SO FOCUSED ON DESAL. THAT'S JUST TAKEN EVERYTHING OVER. BUT I'M NOT GOING TO BLAME YOU FOR THAT. >> Zanoni: I APPRECIATE THAT, COUNCILWOMAN. THIS WAS ONE OF THE FIRST WORKSHOPS. LIKE I SAID, WE HAD THAT WORKSHOP AND THEN WE HAD THE WRAP-UP LAST THURSDAY. NOR I DIDN'T RECEIVE ANY PHONE CALLS. I DON'T THINK THIS TEAM DID. BECAUSE OF THAT WE DIDN'T THINK IT WAS NECESSARY TO CALL COUNCIL MEMBERS TO SEE WHAT DO YOU THINK ABOUT THE RATES. BECAUSE WE DIDN'T HEAR ANYTHING. AND SO THAT'S WHY WE DIDN'T. BUT WE KNEW, BASED ON PRIOR YEARS, THAT COUNCIL SOMETIMES DOES NOT APPROVE RATE ADJUSTMENTS AND SO WE HAD THE FORESIGHT TO HAVE A LIST, JUST IN CASE. THAT'S THE RIGHT THING TO DO BUT I DO APPRECIATE YOUR COMMENTS. >> Mayor Guajardo: COUNCILMAN ROY. >> Roy: I UNDERSTAND WHAT SOME OF THE COUNCIL MEMBERS ARE SAYING IN TERMS OF MAKING SURE THAT IF WE HAD ANY QUESTIONS. ON THE OTHER HAND, I REALLY FEEL, SO NOT ONLY ON THIS ISSUE BUT WE HAVE SOME OTHER THINGS THAT WE'RE VOTING ON, I JUST THINK IT'S PRUDENT THAT IF -- BECAUSE UNTIL WE VOTE ON IT, IT DOESN'T HAPPEN. AND TO ASSUME THAT, YOU KNOW, MAYBE ONE PERSON HAD A CONVERSATION, MAYBE THAT CONVERSATION WASN'T TAKEN SERIOUS. MAYBE, YOU KNOW, WHATEVER THE CASE IS. I DON'T THINK THIS COUNCIL PROBABLY UNDERSTOOD THE DIRECT IMPACT UNTIL WE SAW THAT SLIDE. I REALLY DO THINK THERE IS A COMPROMISE AND I DO THINK GOING FORWARD, WHETHER WE ASK FOR IT OR NOT, I THINK YOU NEED TO MAKE SURE THAT YOU HAVE THE INFORMATION THERE TO SAY IF WE DON'T DO THIS THEN THIS COULD BE THE -- THIS COULD BE THE ACTUAL RAMIFICATION. I THINK GOING FORWARD. AND I THINK GOING FORWARD, FOR ANYTHING THAT WE DO, I THINK THAT WOULD HELP US OUT. I DON'T THINK ANYBODY WANTS TO CUT JOBS BUT I DO THINK WE CAN LOOK AT SOME LINE ITEMS AND SHARPEN THE PENCIL. AND WE ACTUALLY SAID THAT. WE HAVE SAT UP HERE BEFORE AND SAID IF YOU DON'T THINK WE'RE GOING TO SIT HERE AND CONTINUE TO LOOK AT THINGS TO SHARPEN THE PENCIL AND GET OUR BUDGET DOWN, WE'RE FROM $1.8 BILLION DOWN TO 1.6. WE HAVE TO LOOK AT THOSE THINGS AND UNDERSTAND WHAT THE REPERCUSSIONS ARE IF WE DON'T GO WITH IT. PLEASE DO THAT IN THE FUTURE. IT WOULD HAVE BEEN GREAT INFORMATION TO HAVE IN MAKING THIS DECISION. THANK YOU. >> Mayor Guajardo: THANK YOU. COUNCILWOMAN CAMPOS. >> Campos: THANK YOU, MAYOR. I DO AGREE THAT WE PROBABLY COULD LEARN SOMETHING FROM THIS, WHICH IS TO LOOK CLOSER AT THE LINE ITEMS. BUT I ALSO BASICALLY LOOK AT THE RECOMMENDATIONS, THE FISCAL IMPACT, AND, YOU KNOW, WHEN I SEE THE FISCAL IMPACT FOR NOT PASSING IT, THE FINANCIAL IMPACT SAYS APPROXIMATELY $13 MILLION. I DON'T KNOW WHERE THE $20 MILLION CAME FROM BUT STILL, IF WE'RE NOT PASSING IT. YOU USUALLY GIVE US -- >> THE FISCAL IMPACT -- SORRY. THE FISCAL IMPACT IS THE INCREASE IN REVENUES FROM ONE YEAR TO THE OTHER. THAT'S ALL IT IS. WHAT YOU HAVE TO CUT DOWN WHEN YOU'RE LOOKING AT THE RATES, WE ALSO HAVE DEBT SERVICE COVERAGE AND OTHER EXPENSES THAT YOU CANNOT MAKE ADJUSTMENTS TO. I CANNOT BRING DOWN MY OBLIGATIONS OR I WILL DEFAULT ON DEBT. SO YOU HAVE TO RECOVER THOSE THROUGH OPERATING COSTS ADDITIONALLY. SO, YES, REVENUE MIGHT INCREASE ONLY BY THIS MUCH FROM YEAR TO YEAR BUT IF YOU'RE NOT GOING TO DO THE RATE INCREASE, THEN I HAVE TO -- I CANNOT CUT THAT DEBT SERVICE. I HAVE TO ADD THOSE CUTS BACK INTO OPERATING AND CUT THAT MUCH MORE OUT. >> Campos: OKAY. AND I DO -- LIKE I SAID, I DO AGREE WITH SOME OF MY FELLOW COUNCIL MEMBERS, LIKE I JUST SAID, THAT MAYBE WE CAN LEARN A THING OR TWO. BUT AGAIN WE HAVE BEEN VERY, VERY, VERY FOCUSED ON DESAL. I KNOW THE STAFF HAS, WE HAVE. SO, YOU KNOW, HOPEFULLY THIS IS A LESSON LEARNED. THANK YOU. >> Mayor Guajardo: COUNCILWOMAN PAXSON. >> Paxson: THANK YOU, MAYOR. IF I RECALL BACK TO MY ORIGINAL MEETINGS ABOUT THE RATES -- AND I THINK I HAD ANOTHER COUNCIL MEMBER -- BECAUSE WE WERE DOING MAYBE TWO PEOPLE AT A TIME, THAT KIND OF THING. I FEEL LIKE AT THE TIME WE HAD BROUGHT UP CONCERN. WE WERE ASKING A LOT OF QUESTIONS ABOUT THE IMPACT ON PARTICULARLY RESIDENTIAL AND THE LOCAL COMMERCIAL, THE SMALLER VOLUME BUT COMMERCIAL. SO IF THAT DIDN'T TRANSLATE OVER CLEAR, YOU KNOW, FOR OUR PART I APOLOGIZE FOR THAT. BUT I THINK THAT WAS THE DIRECTION WE WERE KIND OF ASKING ABOUT WAS TRYING TO INDICATE CONCERN FOR THAT CATEGORY. AND MAYBE THERE'S SOME OTHER WAY TO FOLLOW UP ON IT BECAUSE I KNOW THIS IS VERY COMPLEX. THIS IS A LOT OF WORK THAT Y'ALL HAVE TO PUT INTO THIS. I FULLY RECOGNIZE THAT. AND I THINK IT'S PRUDENT AND IT'S WISE TO SAY, YOU KNOW, THIS IS WHAT THAT LOOKS LIKE. IT DOES MAKE IT KIND OF DIFFICULT FOR US, YOU KNOW, TO GO, YOU KNOW, READ ALL THE PAGES AND THEN SAY, OH, IT'S A BRAND-NEW SLIDE WORTH $20 MILLION. LET'S LOOK AT THAT REAL QUICK. I DID WANT TO JUST MAKE THAT CLARIFICATION THAT I DON'T WANT ANYONE TO THINK THAT WE WENT THROUGH ALL THESE MEETINGS AND JUST WE'RE LIKE, DOO, DOO, DOO, WE'RE FINE. THAT WASN'T THE INTENTION SO I APOLOGIZE IF THAT WASN'T SUPER CLEAR BACK THEN. BUT I JUST THINK GOING THROUGH ALL THOSE PAGES THERE'S BEEN SEVERAL ITEMS TRANSFERRING IN AND OUT OF THE DEPARTMENT. THERE'S BEEN, YOU KNOW, KIND OF THE PAGE THAT COUNCILWOMAN VAUGHN REFERENCED. THERE'S SOME THINGS ON THERE. AND I KNOW IT'S GOING TO BE TIGHT. IT'S NOT GOING TO BE EASY. $20MILLION IS A BIG NUMBER BUT I JUST THINK THAT IT'S THE BETTER -- THE GOOD ROUTE TO LOOK AT THAT. AND I DON'T KNOW WHAT DOES THAT NEED TO DO FROM THIS POSITION. IS THIS SOMETHING WE MAKE A MOTION, KIND OF LIKE CANTU WAS SAYING, TO BRING IT BACK? HOW DO WE HAVE TO DO THAT? >> Zanoni: WE'RE HEARING YOU SO WE'LL DEVELOP SOME ALTERNATIVE REDUCTIONS. WE DON'T RECOMMEND EXCLUSIVELY LINE-ITEM REDUCTIONS BECAUSE IT'S TOUGH TO RUN THE BUSINESS. COUNCILMEMBER HERNANDEZ, WHEN YOU START TELLING EMPLOYEES TO BRING YOUR OWN CLOTHES, WE USED TO DO UNIFORMS. WE DON'T DO THAT ANYMORE. IT IMPACTS THE ENTIRE ORGANIZATION. WHAT WE RECOMMEND IS PROGRAM CUTS, WHERE YOU STOP DOING A PROGRAM ACROSS THE BOARD. IMPACT EVERY DIVISION IN THE OPERATIONS DEPARTMENT. THINGS LIKE RENTALS. IF WE SAY WE'RE GOING TO CUT THE RENTALS BUDGET, WE HAVE MAINTENANCE OF LINES, O.N. STEVENS WATER, WE HAVE THE MARY RHODES PIPELINE, THE DAM SO ALL THOSE OPERATIONS NOW DON'T GET TO RENT EQUIPMENT. THEN EVERYTHING BEGINS TO CASCADE TO, YOU KNOW, FAILURE. SO WHAT WE RECOMMEND ARE JUST WHOLESALE NOT DOING CERTAIN PROGRAMS ANYMORE, LIKE ADVERTISING. YOU COULD SAY, HEY, WE'RE NOT GOING TO SPEND ANY MORE ADVERTISING DOLLARS. THAT WOULD BE A GOOD ONE. THE PRIOR COUNCIL HAS TOLD US TO DO THAT, THEY WANTED MORE ADVERTISING. WE'LL BRING BACK A MENU OF OPTIONS FOR THE COUNCIL FOR NEXT TUESDAY. WE'LL SEND IT TO YOU AHEAD OF TIME. WE'LL WORK ON IT TOMORROW AND THURSDAY. >> Paxson: I KNOW WITH THE OPEN MEETINGS ACT, THAT MAKES THE DEADLINE KIND OF POSTING FOR TIGHT. IS THIS SOMETHING WE CAN SHOOT FOR THE FOLLOWING MEETING? I THINK THAT'S THE 23rd. >> Zanoni: THAT'S PART OF THE ADOPTED BUDGET. >> Paxson: FORGIVE ME. I DON'T REMEMBER THE DAYS. >> Zanoni: THAT'S A GOOD QUESTION. LET ME GET AN ANSWER FROM BUCK AND WE'LL TELL YOU. BUT THE ORDINANCE, WHICH WE'LL TALK ABOUT A RATE ADJUSTMENT, AND THE MATERIAL WE PROVIDE COUNCIL, IT'S NOT PART OF THE AGENDA PACKET, PER SE. IT COULD BE E-MAILED TO THE COUNCIL. >> Paxson: GOTCHA. GOTCHA. THANKS PETER. >> Mayor Guajardo: COUNCILMAN CANTU. >> Cantu: I WOULD LIKE TO MAKE A MOTION TO TABLE THIS. >> City Secretary: IT'S THE FIRST READING. THERE'S GOING TO BE A SECOND READING NEXT WEEK SO MY UNDERSTANDING IS FOR THE SECOND READING IT WOULD BE BROUGHT BACK. >> Zanoni: YEAH. WE WOULD PROVIDE COUNCIL WITH ADDITIONAL REDUCTION PROPOSALS AND THAT WOULD BE BROUGHT BACK NEXT TUESDAY. >> City Secretary: THERE'S NOT A NEED FOR A TABLING, SIR. >> Zanoni: YOU HAVE ALREADY DENIED IT SO IT'S BEEN MOTIONED DOWN. IT'S FAILED SO WE'LL BRING IT BACK NEXT WEEK WITH ALTERNATIVE REDUCTIONS IN THE OPERATION. >> Mayor Guajardo: GREAT. COUNCILMAN ROY. >> Roy: PETER, IN YOUR ANALYSIS AND LOOKING AT YOUR HOMEWORK, I GUESS, OR WHATEVER YOU CALL IT FOR NEXT WEEK, ONE OF THE THINGS I WANT TO MAKE SURE IS THAT CAN YOU GIVE US OPTIONS IN TERMS OF ONE OF THE THINGS THAT WAS SAID EARLIER IS THAT IN TERMS OF THE RATE THAT YOU FIGURED OUT THAT A DOLLAR WAS TOO MUCH SO YOU OPTED FOR 75 CENTS RIGHT? BECAUSE YOU FELT LIKE A DOLLAR WAS TOO MUCH OF A STRAIN ON THE RATEPAYER. IS THAT CORRECT? >> YES, SIR. YEAH. AND DURING THOSE ONE-ON-ONE MEETINGS WE DID RECEIVE THE MESSAGE. AND SO THAT'S WHY WE CUT BACK ON THAT DOLLAR THAT WE WERE PROPOSING. AND THEN WE WERE ALSO PHASING IN THAT WATER LEGACY. >> Roy: ALL I'M ASKING IS CAN YOU MAKE SURE, WHEN WE LOOK AT OUR OPTIONS, YOU KNOW, WHO KNOWS. MAYBE -- LIKE I SAID, WE KNOW SOMEHOW WE'VE GOT TO BE ABLE TO HAVE A COMPROMISE AND GET THIS THING DONE. BUT MAYBE LOOK AT 50 CENTS, 60 CENTS, JUST DON'T SHUT THAT DOWN AND TRY TO MAKE UP WHAT YOU'RE TRYING TO MAKE UP, THE $20 MILLION. I THINK THAT'S A TALL TASK. GIVE US SOME OPTIONS THERE TOO. >> Zanoni: IS THE COUNCIL INTERESTED IN ANY RATE INCREASE? IF NOT, WE'LL COME UP WITH THE $20 MILLION -- WE'LL COME UP WITH OPTIONS ON REDUCTIONS. BUT IF THERE'S NO APPETITE FOR ANY RATE INCREASE, WE KIND OF NEED TO KNOW THAT SO WE CAN TELL ANDY TO GET TO WORK. DO YOU WANT SOME LEVEL OF RATE INCREASE? >> Mayor Guajardo: I THINK YOU MAY BE DOING A HYBRID. AGAIN, I DON'T THINK ANYBODY UP HERE IS GOING TO SAY YES, NO. I THINK WE'RE GOING TO SAY WHAT ARE THE OPTIONS. AND IF YOU INCLUDE SOMETHING THAT IS A HYBRID THAT'S LOWER, ALONGSIDE SOME OTHER THINGS, WE CAN CONSIDER THEM IN A BETTER LIGHT. >> Zanoni: THAT'S GOOD. I JUST WANTED TO GET SOME DIRECTION. >> EVEN IF YOU HELD YOUR EXPENDITURES THE SAME, YOU'RE STILL GOING TO HAVE TO INCREASE YOUR REVENUES TO MEET DEBT SERVICE COVERAGE. IT'S ONE OF THE EVILS OF HAVING DEBT. >> Mayor Guajardo: COUNCILWOMAN VAUGHN. >> Vaughn: AND THEREIN LIES PART OF THE PROBLEM IS DEBT SERVICE. WE STILL HAVE TO PAY THAT. MY SUGGESTION IS THIS: SO MANY OF THEM UP HERE DON'T KNOW THE RAMIFICATIONS OF ALL THOSE CUTS THAT YOU SHOWED US, IF WE CUT FOR $20 MILLION. WE NEED TO KNOW THOSE RAMIFICATIONS, EXACTLY WHAT THEY ARE. MAYBE SOME WOULD LIKE TO MEET WITH SOME STAFF, MAYBE TWO OR THREE TOGETHER, BEFORE THAT MEETING, THIS WEEK AND LOOK AND SEE WHERE WE CAN OR CAN'T CUT. BECAUSE I THINK, BECAUSE OF THE DEBT SERVICE, THERE'S GOING TO HAVE TO BE SOME TYPE OF RATE INCREASE. DON'T SHOOT ARROWS UP HERE BUT THERE ARE THINGS WE CANNOT STOP. FLUORIDE, I'M NOT HUGE ON THAT BUT SOME PEOPLE MAY BE. JUST GIVE US SOME OPTIONS AND THE RAMIFICATIONS OF NOT DOING CERTAIN THINGS. >> Zanoni: WE CAN DO THAT AND WE'LL MEET WITH YOU LATER THIS WEEK. >> Vaughn: THANK YOU. >> Mayor Guajardo: COUNCILMAN HERNANDEZ. >> Hernandez: OKAY. JUST TO GIVE YOU THE REFERENCE ABOUT GIVING US SOMETHING MORE MODERATE IN TERMS OF IF YOU'RE GOING TO DO AN INCREASE BUT GIVE US OPTIONS ON THAT. BUT TO THAT POINT ON DEBT SERVICE, THAT'S A LARGE EXPENSE IN WATER. I HAVE BEEN HARPING ON THAT I THINK SINCE I HAVE BEEN ON COUNCIL ABOUT HOW MUCH DEBT WE'RE VOTING ON THAT WE'LL HAVE TO PAY LATER. RIGHT? AND NOW WE'RE HERE. I SEE TRANSFER TO DEBT IN THE UTILITY DEBT FUND, $35 MILLION. TRANSFER TO DEBT, $12 MILLION. BOND PRINCIPAL FOR THE LAKE TEXANA PIPELINE, $6 MILLION. BOND INTEREST ON MARY RHODES DEBT, $8 MILLION. YOU KNOW, IT IS QUITE A SIGNIFICANT AMOUNT OF HOW MUCH WE HAVE TO PAY. THERE'S ANOTHER ONE HERE FOR OTHER DEBT PRINCIPAL FOR THE BUREAU BUREAU OF RECLAMATIONS FOR $3 MILLION. WE ARE, YOU KNOW, THIS IS CHOICES THAT WERE MADE BY PREVIOUS COUNCILS THAT WE'RE HAVING TO DEAL WITH NOW. BECAUSE WE JUST, YOU KNOW, YOU BRING SOMETHING TO US IN TERMS OF A PROJECT BUT YOU DON'T SAY WHAT THE RAMIFICATION IS IN THE FUTURE IN TERMS OF WHAT THAT'S GOING TO DO TO RATES. I THINK THAT'S, YOU KNOW, SOME COUNCILS HAVE BEEN LACKING IS THE INFORMATION OF HOW MUCH THAT IS. YOU KNOW, OUR DEBT SERVICE, AS A PERCENTAGE OF OUR REVENUES, IS 33%. RIGHT? THAT'S A THIRD OF OUR BUDGET. IF WE CONTINUE TO PUT DEBT IN THE WATER SYSTEM, IT IS GOING TO INCREASE RATES. >> Zanoni: RIGHT. YEAH. YEARS AGO WHEN WE STARTED, THE SYSTEM WAS ON THE BRINK OF COLLAPSE AND WE'RE CORRECTING DECADES OF NEGLECT. THERE IS A COST. >> Hernandez: I UNDERSTAND BUT THERE'S MODERATION THAT WE COULD HAVE PURSUED. >> Zanoni: AND THAT'S WHAT WE'VE DONE. >> Hernandez: YOU'VE ACTUALLY REDUCED IT BY $200 MILLION THIS YEAR OVER LAST YEAR. >> Zanoni: RIGHT. >> Hernandez: YOU CAN ONLY SQUEEZE SO MUCH OUT OF A ROCK, RIGHT? OKAY. >> Zanoni: YES, SIR. >> Hernandez: DO YOU UNDERSTAND WHAT I'M SAYING? THANK YOU. >> I'VE LOOKED AT THE PERCENTAGE OF EQUITY IN THE SYSTEM BY LOOKING AT THE 2024 COMPREHENSIVE ANNUAL FINANCIAL REPORT AND COMPARING THAT TO THE 2014. AND YOUR EQUITY PERCENTAGE IN THE SYSTEM TEN YEARS AGO, 2014, WAS LIKE 30-SOMETHING PERCENT. SO YOU HAD -- WHAT YOUR DEBT, YOU DIDN'T HAVE THAT MUCH EQUITY IN THE SYSTEM. AND FOR 2024 WAS 49.6%. SO, YES YOU HAVE INCREASED YOUR DEBT BUT YOU HAVE BEEN REINVESTING IN THE SYSTEM AND SO YOU HAVE ASSETS THAT PROVIDE SERVICE NOW. SO, YOU KNOW, IT'S NOT JUST A DEBT ONLY ISSUE. YOU HAVE TO LOOK AT THE ASSET SIDE OF IT TOO. WHEN LOOKING AT -- YOU WOULD HAVE TO LOOK AT THE TOTAL BALANCE SHEET. SO THAT PERCENTAGE OF EQUITY. AND I TEACH A COURSE, ALONG WITH OUR PRESIDENT TO BE, AND WE HAVE A CALCULATION TO SHOW PEOPLE AS PART OF RATE SETTING THAT, YES, SOME DEBT IS APPROPRIATE. I MEAN, IT'S NOT WHAT YOU HEAR DAVE RAMSEY TALK ABOUT WHERE NO DEBT IS PREFERRED. BUT SOME DEBT IN A HIGHLY CAPITAL-INTENSIVE INDUSTRY LIKE WATER/WASTEWATER OR ELECTRIC IS NECESSARY. THAT WAY THE BENEFITS OF THOSE ASSETS GET PAID FOR BY FUTURE GENERATIONS. SO IT'S A GENERATIONAL EQUITY ISSUE THAT DEBT SERVES. >> Mayor Guajardo: OKAY. THANK YOU. THANK YOU VERY MUCH. SO THAT WILL BE DELAYED. AT THIS TIME IT'S 1:55. WE'RE GOING TO TAKE A 30-MINUTE LUNCH BREAK AND THEN WE WILL BE RIGHT BACK. [LUNCH] [RECESS] [RECESS] >> Mayor Guajardo: OKAY. WE ARE BACK FROM LUNCH AND WE'RE GOING TO PICK UP WHERE WE LEFT OFF, WHICH IS ITEM NO. 10. ITEM NO. 10 IS AN ORDINANCE AMENDING CORPUS CHRISTI CODE SECTION 55-54 TO UPDATE WATER LABORATORY CHARGES. >> NICK WINKLEMANN, DIRECTOR OF WATER SYSTEMS. CCW OPERATES A WATER LABORATORY AT THE O.N. STEVENS TREATMENT PLANT. WE HAVE INTERNAL CUSTOMERS AND EXTERNAL CUSTOMERS. THIS ORDINANCE UPDATES OUR FEES FOR EACH OF THE CURRENT CONSTITUENTS THAT WE TEST FOR. I WOULD LIKE TO ADD THAT THE FEE INCREASE IS ANYWHERE FROM 5% TO 10%. WE HAVE COMPARED OUR RATES TO PRIVATE LABORATORIES AND THAT'S WITHIN 5% OR SO OF A PRIVATE LABORATORY. CURRENTLY, OUR EXTERNAL CUSTOMERS, WE HAVE ABOUT 100 OR SO EXTERNAL CUSTOMERS. THOSE CAN BE OTHER MUNICIPALITIES AND THEY CAN ALSO BE INDIVIDUALS AS WELL. WITH THAT, I'LL STAND BY FOR QUESTIONS. >> Mayor Guajardo: I DON'T THINK WE HAVE ANY QUESTIONS. I'M GOING TO GO AHEAD AND OPEN PUBLIC COMMENT. IS THERE ANYONE THAT WOULD LIKE TO MAKE A COMMENT ON ITEM NO. 10? OKAY. THERE BEING NO ONE, WE'LL CLOSE PUBLIC COMMENT AND I WILL ENTERTAIN A MOTION TO APPROVE THE ORDINANCE. >> I MAKE A MOTION. >> Mayor Guajardo: WE HAVE A MOTION. WE HAVE A SECOND. PLEASE SUBMIT YOUR VOTE. THE MOTION CARRIES. ITEM NO. 11 IS AN ORDINANCE AMENDING CORPUS CHRISTI CODE SECTION 55-56 TO UPDATE TEMPORARY CONSTRUCTION WATER SERVICE CHARGES. >> CORRECT. SO THIS INCREASES THE FEE FOR WHAT WE CALL OUR CONSTRUCTION METERS OR OUR TEMPORARY METERS. THE METERS NOT ONLY HAVE A METER INSTALLED BUT ALSO A BACKFLOW PREVENTION TO PROTECT THE WATER SYSTEM. THE CURRENT FEE IS $600 AND THAT IS REFUNDABLE UP TO THE $25. WE KEEP $25 FOR A SET FEE. THE NEW FEE PROPOSED IS $1500 AND THEN REFUNDABLE WILL BE 1475 WITH A $25 SET FEE ASSESSED. THE REASON FOR THE INCREASE IS TO RECOVER MORE OF OUR COST IN CASE A METER IS LOST OR STOLEN OR NOT RETURNED. WE NEED TO BE ABLE TO HAVE THE FUNDS TO REPLACE THAT METER AND NOT AFFECT OUR OPERATIONAL BUDGET. STAND BY FOR QUESTIONS. >> Mayor Guajardo: OKAY. I DON'T SEE ANY QUESTIONS OR COMMENTS. I'M GOING TO OPEN PUBLIC COMMENT. WOULD ANYONE IN THE AUDIENCE LIKE TO COMMENT ON ITEM NO. 11? OKAY. THERE BEING NO ONE, WE'LL CLOSE PUBLIC COMMENT AND I WILL ENTERTAIN A MOTION TO APPROVE THE ORDINANCE. WE HAVE A MOTION AND A SECOND. PLEASE SUBMIT YOUR VOTE. OKAY. THE MOTION CARRIES. ITEM NO. 12 IS AN ORDINANCE AMENDING CORPUS CHRISTI CODE SECTIONS 55-70 AND 55-71 TO UPDATE WATER AND WASTEWATER UTILITY TAP FEES. >> IF WE COULD BRING THE PRESENTATION UP. >> Zanoni: IS THIS NO. 13? >> Mayor Guajardo: 12. >> Zanoni: SORRY. >> SO, CCW CONNECTS WATER AND WASTEWATER TO NEW CUSTOMERS. IT'S CALLED THE TAP FEE. WHAT WE'RE DOING IS WE'RE UPDATING THAT FEE TO ACCOMMODATE FOR THE COST OF THE INCREASED METER SETS AND ALSO THE COST FOR INCREASED LABOR AND ALSO JUST OTHER ITEMS. AS YOU CAN SEE FROM THE SPREADSHEET WE'VE GOT HERE. SO ONE THING I DO WANT TO POINT OUT IS A METER SET THAT'S GREATER THAN 2 INCHES, THAT WILL BE A COST OF SERVICE. WE'LL PROVIDE A QUOTE FOR THAT LARGER METER SO WE CAN GIVE THE CUSTOMER AN ACTUAL COST. ADDITIONALLY, I DO NEED TO POINT OUT THAT A NEW DEVELOPMENT, WHAT HAPPENS WITH A LARGE NEW DEVELOPMENT, WE WORK UNDER A PROGRAM CALLED A PRE-TAP WHERE THE DEVELOPER AND THEIR CONSTRUCTION CONTRACTOR WILL PRE-TAP THE WATER DISTRIBUTION LINE AND THEN WHEN IT'S READY, CCW COMES IN AND DOES WHAT WE CALL THE METER SET. THAT'S PROVIDING THE NEW WATER METER AND ALSO THE NEW AMI, WHICH ALLOWS US TO READ THAT METER ELECTRONICALLY. SO THAT'S DONE BY CCW. IN THAT CASE YOU SEE THOSE FEES ON THE TABLE AS SHOWN. AGAIN, THIS UPDATES OUR COST OF SERVICE AND WE WANT TO MAKE SURE WE SET THE FEES ACCORDINGLY. I'LL STAND BY FOR ANY QUESTIONS. >> Mayor Guajardo: THANK YOU. COUNCILWOMAN CAMPOS. >> Campos: WES, YOU DON'T HAVE WHAT WAS THE FEE BEFORE, DO YOU? 201. AND WHAT KIND OF CUSTOMERS USE MORE THAN 2 INCHES? >> TYPICALLY THEY'RE COMMERCIAL CUSTOMERS. >> Campos: OKAY. SO THAT'S NOT NORMALLY FOR -- >> A RESIDENT WOULD NOT -- TYPICALLY WOULD NOT HAVE A 2-INCH METER, CORRECT. >> Campos: YEAH. THAT SEEMS AWFULLY HIGH. WITH THAT, I MAKE A MOTION FOR APPROVAL. I THINK THERE'S STILL A QUESTION. >> Mayor Guajardo: COUNCILWOMAN PAXSON. SORRY. I ACCIDENTALLY HIT YOUR LIGHT. THERE YOU GO. >> Paxson: THANK YOU. IS THIS RECOMMENDATION -- SIMPLE QUESTION. WAS THIS RECOMMENDATION BASED ON MORE ACCURATE REFLECTION OF SERVICE COST TO US OR IS THIS BASED ON, YOU KNOW, LIKE OTHER CITIES TYPE THING. DID WE REFLECT ON COMPARABLES OR IS THIS A REFLECTION OF WHAT IT COSTS US TO FACILITATE? >> AS YOU CAN SEE THROUGH THIS ITEM AND THE PREVIOUS ITEM, WE'VE WORKED VERY HARD TO UNDERSTAND OUR COST OF SERVICE TO MAKE SURE WE'RE BILLING FOR THOSE SERVICES APPROPRIATELY. I DO WANT TO SAY THAT THE CITY HAD SOME VERY COMPETITIVE METER CONTRACTS SO THE PRIMARY COST ARE THE COST OF THE METERS THEMSELVES. WE DO A GREAT JOB GETTING COMPETITIVE CONTRACTS FOR THAT SO IT'S PURELY BASED ON -- THE MAJORITY OF THE COST IS PURELY BASED ON MATERIAL COST ONLY. >> Paxson: OKAY. SO IT'S JUST KIND OF -- WE'RE JUST REEVALUATING OUR TRUE COST AND THAT'S WHAT WE'RE LOOKING AT? >> YEAH. AND THERE'S A SERIES OF THESE AGENDA ITEMS ARE ALL ABOUT THAT. JUST LIKE THE LABORATORY FEES. THAT'S CORRECT. >> Paxson: THANK YOU FOR THAT CLARIFICATION. >> Mayor Guajardo: OKAY. I'M GOING TO GO AHEAD AND OPEN PUBLIC COMMENT. IS THERE ANYONE IN THE AUDIENCE THAT WOULD LIKE TO MAKE A COMMENT ON ITEM NO. 12? YES SIR. COME ON UP. >> HI. MY NAME IS JULIAN HERNANDEZ, DISTRICT 3. THIS IS MY FIRST TIME HERE SO I DON'T KNOW WHAT'S APPROPRIATE AND WHAT'S NOT APPROPRIATE. BUT ONE OF MY COMMENTS SEEING THIS -- AND I DON'T KNOW IF I CAN ASK QUESTIONS OR NOT. BUT WHAT PERCENTAGE OF AN INCH AND A HALF, 2-INCH, ANYTHING OVER 2-INCH IS OUT THERE AND HOW COME WE CAN'T CAPTURE A COST OF PLUS 2 INCHES ON A METER? >> Mayor Guajardo: YOU CAN'T ASK QUESTIONS OF US BUT OUR STAFF IS VERY OPEN TO SITTING WITH YOU AND HAVING THAT CONVERSATION. YOU CAN TELL US WHATEVER YOUR FEELINGS ARE ON THE ITEM. >> GOTCHA. I APPRECIATE IT. >> Mayor Guajardo: THANK YOU, SIR. >> GOOD AFTERNOON. MY NAME IS JIM KLEIN, DISTRICT 2 HERE IN CORPUS CHRISTI. I NEED CLARIFICATION ON THIS -- AND I KNOW YOU CAN'T RESPOND. BUT IN THE PRESENTATION, IT LOOKED AS IF THE FEE FOR HOOKUPS FOR THE SMALLEST GAUGE HOOKUPS IS GOING TO BE ZERO NOW, BEING ERASED $185. IN THE SAME FRAME THAT THE CITY WOULD COME OUT AND INSTALL THE METER. MY QUESTION IS HOW MUCH DOES IT COST TO SEND A CREW OUT TO INSTALL THE METER? IS THE COST GOING TO BE BORN BY THE REST OF THE CITY RATEPAYERS THEN? >> Mayor Guajardo: WE CAN'T ANSWER THE QUESTION BUT, NICK, IF YOU'LL PLEASE GET WITH MR. KLEIN AND THE OTHER GENTLEMAN AS WELL. WOULD ANYONE ELSE LIKE TO MAKE A COMMENT ON THE 12? WE'LL CLOSE PUBLIC COMMENT AND I WILL ENTERTAIN A MOTION TO APPROVE THE ORDINANCE. YES. COUNCILWOMAN VAUGHN. >> Vaughn: I'D LIKE FOR YOU TO ANSWER THAT QUESTION THAT HE JUST GAVE TO YOU ABOUT THE METER, THAT SMALLER ONE. >> SURE. SO WE DON'T DO 5/8 TAPS ANYMORE. IT'S MORE OF A LEGACY ITEM. THE 3/4-INCH IS MORE COMMON. >> Vaughn: IF Y'ALL WERE TO INSTALL SOMETHING -- I GUESS YOU WOULDN'T BECAUSE YOU DON'T DO THIS ONE. >> CAN YOU REPEAT THE QUESTION? >> Vaughn: HE SAID IF YOU WERE TO INSTALL IT, WHAT WOULD IT COST? >> ON A 3/4-INCH TAP, WE'RE SHOWING WHAT OUR COST OF SERVICE IS, THAT'S THE MATERIALS AND THE LABOR TO DO IT. >> Vaughn: OKAY. I HOPE THAT ANSWERED IT. THANK YOU. >> Mayor Guajardo: OKAY. THANK YOU. SO I WILL ENTERTAIN A MOTION TO APPROVE -- DID YOU MAKE A MOTION? >> [OFF MIC] >> Mayor Guajardo: DID WE HAVE A SECOND FOR THIS? COUNCILWOMAN. >> Paxson: THANK YOU, MAYOR. I JUST HAVE ONE MORE QUESTION. IS THIS THE LARGEST TAP -- SURELY IT'S NOT. I HAVE SEEN OTHER DOCUMENTS ON LARGER ONES. IS THAT NOT UP FOR RECOMMENDATION FOR CHANGE OR COULD YOU SPEAK TO THAT? >> OH, ABSOLUTELY. I DO NEED TO CLARIFY THAT, COUNCILWOMAN. SO THE TAP GREATER THAN 2 INCHES, RIGHT? SO THAT IS -- WE ACTUALLY DO A QUOTE ON THAT. WE LOOK AT THE CURRENT COST OF THE METER. THOSE METERS FLUCTUATE. YOU CAN GET A METER -- I MEAN, WE HAVE SOME METERS IN THE SYSTEM THAT ARE 16 INCHES. THAT COST FLUCTUATES A LOT MORE THAN A SMALLER METER. SO WE GET AN ACCURATE UP TO DATE COST ON THAT AND WE ESTIMATE THE LABOR FOR INSTALL. AN INSTALL ON A LARGER METER IS DIFFERENT A LOT BECAUSE OF THE CONDITIONS AND THE SITUATION. SO WE ACTUALLY VISIT THE SITE AND TAKE A LOOK AT IT AND WE PROVIDE A QUOTE. >> Paxson: OKAY. AND I'M SURE WE WOULD BE UTILIZING THE SAME FORMULA, AT LEAST, AS FAR AS HOW WE QUANTIFY OUR COST OF GOODS AND LABOR? >> CORRECT. WHAT CHANGES IS THE TIME COMPONENT. >> Paxson: SURE, SURE, BUT IT WOULD BE THE SAME FORM, BASICALLY? >> THE NUMBER OF HOURS MAY CHANGE AND OF COURSE THE COST OF THE MATERIALS, DEPENDING UPON THE SIZE, WOULD CHANGE. >> Paxson: ABSOLUTELY. THANK YOU. >> Mayor Guajardo: THANK YOU, NICK. SO WE HAVE A MOTION AND A SECOND. PLEASE SUBMIT YOUR VOTE. >> I'LL SECOND. >> Mayor Guajardo: OKAY. THE MOTION CARRIES. ITEM NO. 13 IS -- WELL, PETER -- >> Zanoni: WE'RE RECOMMENDING TO PULL ITEM 13 OR NOT CONSIDER IT TODAY. WE'LL BRING IT BACK NEXT WEEK WITH SOME OPTIONS. IT'S A RATE INCREASE AS WELL. >> Mayor Guajardo: OKAY. THANK YOU. ITEM NO. 14 IS ORDINANCE AMENDING CORPUS CHRISTI CODE CHAPTER 55 REGARDING RECYCLED/RECLAIMED EFFLUENT WATER REGULATIONS AND FEES PROVIDING FOR WAIVER OF EFFLUENT WATER SERVICE FEE. >> YES. SO THIS ORDINANCE CHANGE OF COURSE IS REFLECTIVE OF THE COMMENTS WE HAD AT THE BUDGET WORKSHOP. AND IT'S PARTICULAR IN REGARDS TO OUR EFFLUENT WATER SERVICE THAT WE PROVIDE AT THE OSO WASTEWATER TREATMENT PLANT. SO THE GOAL HERE IS OF COURSE TO RECOVER THE COST OF SERVICE. SO FOR ANY CUSTOMER THAT IS TAKING 300 GALLONS OR LESS, IT'S A $15 FLAT FEE. FOR ANY CUSTOMER TAKING 301 GALLONS TO 600 GALLONS, IT'S A $30 FLAT FEE. ONE THING I DO WANT TO SAY IS THAT THAT WOULD TAKE EFFECT JANUARY 1. THERE'S A NUMBER OF THINGS THAT WE HAVE TO HAVE ACCOMPLISHED AT THE OSO WASTEWATER TREATMENT PLANT, INCLUDING THE ABILITY FOR THE CUSTOMERS TO PAY VIA CREDIT CARD. >> WE WILL NOT ACCEPT CASH, WE DON'T WANT CASH ON HAND BUT WE'LL HAVE TO SET UP THE I.T. AND THE BILLING PROCESSES SO WE CAN PROCESS BILLING CARD ON SITE AS WELL. COUNCILWO MAN PAXSON. >> Paxson: THANK YOU, MAYOR. THIS SAYS $30 PER PERMITTED CUSTOMER FOR 300 TO 600-GALLONS OR DAILY AVAILABLE MAX. WHAT'S THE TOP THRESHOLD THAT YOU GUYS HAVE BEEN SEEING FOR USE? >> THE TOP THRESHOLD? WHAT WE SETTLED ON IS 600-GALLONS. I CAN'T SME SPEAK TO SPECIFICS, BUT TYPICALLY AS YOU KNOW, THERE'S ONLY SO MUCH WATER THAT'S AVAILABLE SO WE CAN ENSURE THAT IT MEETS THE REQUIREMENTS. AND WE DO HAVE A NUMBER -- THERE'S -- WE'RE PROCESSING 40 TO 45 CUSTOMERS A DAY. NOW, I WILL SAY THAT VARIES. THIS WAS A DIFFICULT EXERCISE BECAUSE THE NUMBER OF CUSTOMERS WILL VARY DEPENDING UPON THE RAINFALL, DEPENDING UPON THE CONDITIONS. OBVIOUSLY IT'S GOING TO BE MORE UTILIZED IN THE SUMMER MONTHS, IN THE HEAT OF THE SUMMER, WHEREAS, YOU KNOW, WE GOT A LITTLE BIT OF RAINFALL, OUR CUSTOMER BASES WILL SLOW DOWN. SO I DO WANT TO SAY THAT THIS IS A RATE, IF WE CONTINUE THE PROGRAM, THAT WE'LL HAVE TO LOOK AT CLOATIONLY NEXT BUDGET -- CLOSELY NEXT BUDGET YEAR, BECAUSE WE'LL HAVE A FULL YEAR'S WORTH OF DATA SO WE CAN BETTER PIN THAT DOWN AND DETERMINE OUR COST OF SERVICE. >> Paxson: WHAT IS THE MAX, IT SAYS UP TO 600-GALLONS OR DAILY AVAILABLE MAX. WHAT IS THE MAX THAT WE HAVE -- >> IT'S 20,000-GALLONS IS WHAT'S AVAILABLE EVERY DAY. >> Paxson: COLLECTIVELY, AS FAR AS IF SOMEONE WANTED TO COME AND USE THOTION 500-GALLON -- THOSE 500-GALLON BUCKETS, HOW MUCH WOULD YOU SELL TO ONE USER? >> IT WOULD BE UP TO 600-GALLONS DAILY PER CUSTOMER. >> Paxson: OKAY. SO THAT IS THE MAX, THAT'S THE TOP DAILY. >> I COULDN'T GO THROUGH AND THEN GET BACK IN LINE AND GO THROUGH AGAIN. >> Paxson: GOT YOU. I JUST WANTED TO CLARIFY THAT POINT, THANK YOU. >> Mayor Guajardo: AND NICK, WE'RE COVERING 66%, SO WHAT IS THE COST -- WHAT IS OUR COST NOW AT THAT POINT? >> Winkelmann: THE -- SO IT'S -- WE'D BE RECOVERING 66%, AND THAT'S LARGELY DUE TO STARTING IN JANUARY, RIGHT? SO WE'D HAVE THREE MONTHS WITH NO FEES. SO THAT'S WHY WE'D BE RECOVERING THE 66%. AND LET ME FIND THE COST. IT'S $366,825 OVER A 12-MONTH PERIOD. >> Mayor Guajardo: I'M SORRY -- WHAT DID Y'ALL SHOW US LAST TIME, WAS IT 75 PER 1,000-GALLONS, THE COST OF THIS WATER. >> TWO DIFFERENT WAYS OF LOOKING AT IT. IF YOU'RE GOING TO CHARGE PER GALLON, IT WOULD BE WHAT WE SAID, IT'S 7.5 CENTS PER GALLON OR $75 PER 1,000. WE'RE CHARGING -- WHAT WE CAME TO -- THE STATION'S MORE OF A SERVICE. IT'S NOT A -- THE WATER IS NOT BEING -- WE'RE NOT CHARGING FOR THE WATER, WE'RE CHARGING FOR THE SERVICE OF PROVIDING 300-GALLONS AND SERVICE OF PROVIDING UP TO 600-GALLONS. IT'S A DIFFERENT WAY OF LOOKING AT IT. WE'RE NOT CHARGING PER GALLON, WE'RE CHARGING A FLAT SERVICE FEE, SO IT'S A LITTLE BIT DIFFERENT. >> Mayor Guajardo: RIGHT. I SEE. OKAY. >> BUT, YES, THIS DOES NOT RECOVER 100%. WE WANT TO RUN THIS -- WE WANT TO RUN IT AS A PILOT AND SEE IF WE STILL GET THE UTILIZATION. BECAUSE IT MIGHT BE THAT IF WE START CHARGING THE FEE AND PEOPLE STOP UTILIZING IT. >> Mayor Guajardo: RIGHT. RIGHT. OKAY. COUNCILWOMAN VAUGHN? >> Vaughn: WELL, I DON'T LIKE FEES, BUT THIS RIGHT HERE, IT'S THE COST OF SERVICE. IT'S NO DIFFERENT THAN WHAT QUITE A FEW VOTED ON FOR PARKS AND REC, BECAUSE IT'S THE COST OF SERVICE OF PEOPLE THAT YOU HAVE. THIS IS A BARGAIN. IT'S $15, $30. TO DO MY YARD, JUST THE FRONT, IT'S 150 BUCKS. IT'S CRAZY, SO THIS IS A BARGAIN. SORRY. THANK YOU. >> Mayor Guajardo: UH-HUH. OKAY. THANK YOU. WOULD ANYONE LIKE TO MAKE PUBLIC COMMENT ON ITEM NUMBER 14. OKAY. THERE BEING NO ONE, WE'LL CLOSE PUBLIC COMMENT AND I WILL ENTERTAIN A MOTION TO APPROVE THE ITEM. ENTERTAINING THE MOTION. OKAY. DO WE HAVE A SECOND. >> Scott: SECOND. >> Mayor Guajardo: WE HAVE A SECOND. OKAY. PLEASE SUBMIT YOUR VOTE. THE MOTION CARRIES. ITEM NUMBER 15 IS AN ORDINANCE AMENDING CORPUS CHRISTI CODE SECTION 14-1313 TO AMEND THE ROOFING AND SIDING BUILDING PERMIT FEES, AND TO REMOVE BACKFLOW PREVENTION ASSEMBLY TESTER AND MECHANICAL CONTRACTOR FEES, SECTION 14-1341, TO AMEND AGREEMENT PROCESSING FEES AND SECTION 14-1313 14-1321 14-1341 14-1351 AND 14-1361 TO REMOVE PAST YEARS FROM THE FEE SCHEDULE. >> GOOD AFTERNOON, MAYOR AND COUNCIL. THIS WILL BE THE SHORTEST SLIDE DECK OF THE DAY. DEVELOPMENT SERVICES IS NOT RAISING ANY FEES. THE FEES THAT WE HAVE BEFORE YOU, WE ARE MODIFYING OUR REROOF FEE. WE'RE ACTUALLY LOWERING IT TO $33. WE NORMALLY HAD CHARGED 133. THAT 100 WAS FOR REQUESTED INSPECTION. AS YOU KNOW IN THIS AREA, YOUR WINDSTORM REQUIRED TO HAVE IT INSPECTED, SO IT'S A SECONDARY, BUT IF A CUSTOMER STILL WANTS IT, THEY CAN ASK FOR THAT. SO WE'RE LOWERING THOSE FEES TO 33. MECHANICAL CONTRACTOR, WE'RE FOLLOWING OTHER LEGISLATIVE MOVES, THE PLUMBING CONTRACTOR ELECTRICAL CONTRACTOR, THOSE WERE ALL REMOVED, SO WE WENT AHEAD AND DID THAT THIS YEAR SINCE THEY'RE ALREADY LICENSED THROUGH THE STATE. THE BACKFLOW MINIMUM, THOSE ARE IN CCW'S FEE SCHEDULE, SO WE DON'T HAVE THOSE IN THERE ANY MORE. OUR REIMBURSEMENT AGREEMENT, WE DO ABOUT 10 PER YEAR, IT VARIED BASED ON THE COST OF THE JOB. THIS WAY IT GIVES A CERTAINTY, WHAT WE DID IS WE TOOK THE AVERAGE OF THE LAST FIVE YEARS OF WHAT THEY COST AND THAT'S WHAT WE CAME UP WITH THE 25. SO THE 2500 IS A CONSISTENT CERTAIN FEE, AND I STAND BY FOR ANY QUESTIONS. >> Mayor Guajardo: THANK YOU. I DON'T SEE ANY QUESTIONS OR COMMENTS. THAT WAS WELL EXPLAINED, MR. DICE. I WILL OPEN PUBLIC COMMENT. IS THERE ANYONE IN THE AUDIENCE THAT WOULD LIKE TO MAKE COMMENT ON ITEM NUMBER 15 -- NO. YES 15. >> MICHAEL MILLER, DISTRICT 2, AND THAT'S WHY MICHAEL DICE IS MY FAVORITE DEPARTMENT HEAD AT THE CITY OF CORPUS CHRISTI. HE IS THE ONLY ONE, THE ONLY ONE THAT UNDERSTANDS THE ASSIGNMENT. WE'VE GOT TO REDUCE FEES. WE HAVE A BIG, HEAVY BURDEN ON US AS CITIZENS IN THE CITY OF CORPUS CHRISTI. WAY TO GO, MIKE. THANK YOU. >> Mayor Guajardo: GUYS, LET'S PLEASE REFRAIN -- MICHAEL DICE, YOU'RE BREAKING DECORUM. OKAY. ANYONE? OKAY. I'LL GO AHEAD AND CLOSE PUBLIC COMMENT, AND I'LL ENTERTAIN A MOTION TO APPROVE ITEM NUMBER 15. >> MOTION TO APPROVE. >> Campos: WHY IS THERE A SECOND AND NOT A MOTION. >> Mayor Guajardo: I DON'T KNOW. DO WE HAVE A MOTION AND A SECOND. >> Scott: WE DID. >> Mayor Guajardo: OKAY. PLEASE SUBMIT YOUR VOTE. OKAY. THE MOTION CARRIES UNANIMOUSLY. THANK YOU, MR. DICE. YOU ON THE NEXT. ITEM NUMBER 16 IS AN ORDINANCE AMENDING CORPUS CHRISTI CODE SECTION 13-3002 TO AMEND THE VACANT BUILDING DEFINITION, SECTION 13-3005, AMENDING THE COMPLIANCE PERIOD, SECTION 13-3006 ESTABLISHES REGISTRATION PROGRAM REQUIREMENTS FOR OWNERS OF VACANT BUILDINGS, ALLOW THE CITY TO ESTABLISH A VACANT BUILDING REGISTRATION FEE AND AN ANNUAL VACANT BUILDING INSPECTION FEE. >> Dice: WELL, I APPRECIATE THE KIND WORDS. HERE'S THE OTHER SHOE. SO WE ARE PROPOSING -- AND IT HAD BEEN PROPOSED IN THE PAST, WE'RE PROPOSING A VACANT BUILDING REGISTRATION FEE. VACANT BUILDING REGISTRATION'S CURRENTLY IN THE CODE. WHAT THIS DOES IS AFFECTS THE NUISANCE VACANT BUILDING THAT MAKES UP NEARLY 20% OF CODE VIOLATIONS, CASES AND THE PROPOSED -- THAT POSE RISK TO PUBLIC SAFETY AND FIRE. THESE NEGLECTED BUILDINGS STRAIN THE RESOURCES REQUIRING FREQUENT VISITS FROM PD, FIRE AND CODE. IN THE LAST 12 MONTHS, WE'VE HAD ALMOST 20,000 VISITS TO THE 1300 PROPERTIES, SO THIS -- AS A REMINDER, YOU MAY KNOW, OUR ABATEMENT BUDGET WAS CUT IN HALF IN FISCAL '25 FROM 600,000 TO 300,000 WHICH LIMITS OUR ABILITY TO MANAGE A LOT OF THESE ISSUES ON THESE PROPERTIES. SO WHAT THE VACANT BUILDING REGISTRATION PROGRAM HOPES TO DO IS GENERATE ENOUGH REVENUE TO OFFSET THOSE MAINTENANCE COSTS FOR ABATEMENT AND BOARDUPS, PROMOTE THAT PUBLIC SAFETY OF THESE VACANT BUILDINGS, AGAIN, WHICH BECOME FIRE HAZARDS, SQUATTERS, THINGS OF THAT NATURE, COMBAT THE BLIGHT AND DETERIORATION BECAUSE WE'LL BE ABLE TO ABATE, MOW THOSE YARDS, GET THE TRASH SCREENED UP. AGAIN, PRESERVE PROPERTY VALUES IN THE NEIGHBORHOOD STABILITY, OTHER PROGRAMS THAT ARE SUCCESSFUL ARE IN SAN ANTONIO AND EL PASO. AGAIN, THE CHALLENGE RIGHT NOW IS TO IDENTIFY THE CONTACTS THAT ARE RESPONSIBLE WITH THE VACANT BUILDINGS AND THE NUISANCE PROPERTIES CURRENTLY WITHIN THE CODE. THOSE CAN BE CITED FOR THOSE DIFFERENT ISSUES. WHAT WE'RE PROPOSING IN THE REGISTRATION IS GETTING THE OWNERS INVOLVED WITH US, MANDATE A POINT OF CONTACT, INCLUDE A PLAN OF ACTION FOR THOSE PROPERTIES, AND A TIMELINE TO BRING THE PROPERTY UP TO CODE AND REOCCUPY. AGAIN, WE BELIEVE THE BENEFITS, IT GIVES US A CLEAR COMMUNICATION WITH THE OWNERSHIP, SPEEDS UP RESOLUTION OF ANY UNSAFE CONDITION, MOST IMPORTANTLY COST RECOVERY FOR THE INSPECTIONS, THE ABATEMENTS, CLEANUPS BOARDUPS DEMOLITIONS. INITIATIVE SHIFTS ACCOUNTABILITY TO THE PROPERTY OWNER AND, AGAIN, HELPS US MANAGE THOSE VACANT PROPERTIES. SO THERE REALLY ISN'T A FINANCIAL IMPACT TO ANYONE OTHER THAN THE ABSENTEE PROPERTY OWNER. THE PROGRAM WOULD BE MANAGED BY CODE COMPLIANCE STAFF. NO NEW FUNDING. WE'RE LOOKING AT DOING A $250 REGISTRATION FEE FOR RESIDENTIAL AND COMMERCIAL WITH A $50 ANNUAL INSPECTION FEE. THOSE FIRST-TIME REGISTRANTS WILL BE PRORATED WITH THE PROGRAM BEGINNING IN JANUARY. SO WHAT I HAVE HERE IS JUST THE VACANT BUILDINGS AS WE'VE LISTED THROUGH THE DIFFERENT DISTRICTS. DISTRICT ONE IS THE WINNER, 456. D2 IS SECOND, D3 AND SO ON. SO, AGAIN, THESE FUNDS, THE PRIMARY USE OF THESE FUNDS IS TO MOW, CLEAR DEBRIS, DO ABATEMENTS, BOARD UP THESE NUISANCE PROPERTIES AND DEMOLITIONS. IT PROVIDES A SELF-SUSTAINING WAY TO HELP REDUCE THE BLIGHT, IMPROVE THE NEIGHBORHOOD'S SAFETY. SO THE IMPACT, THESE ARE PICTURES OF HOMES IN THOSE DISTRICTS. THIS IS D1, AGAIN, 33% OF OUR CASES ARE OUT OF D1, 29% OF OUR CASES ARE IN D2, THIS ONE HAS BEEN ABATED, BY THE WAY. D3, 20%, D4 IS 12. AND OUR NEWER DISTRICT IS ABOUT 6. SO IT WAS MENTIONED BEFORE, THE VACANT BUILDING ORDINANCE IS ALREADY IN CHAPTER 13. WHAT THIS WOULD DO IS MODIFY TO MAKE THE REGISTRATION MANDATORY FOR BUILDINGS VACANT OVER 30 DAYS. AND, AGAIN, A POINT TO EMPHASIZE, THESE ARE NOT HOUSES FOR SALE, THESE -- THESE ARE DEFINED IN THE CODE AS NOT HAVING UTILITIES, THESE ARE NUISANCE PROPERTIES. AS YOU CAN SEE FROM THE PICTURES, THOSE WOULD NEVER BE HOUSES FOR SALE. AGAIN, THE REGISTRATION IMPACT, ONCE REGISTERED, CITATIONS AND COMPLAINTS ARE SUSPENDED, SO WE WORK WITH THE PROPERTY OWNER TO MAKE SURE THEY ABIDE BY THE PLAN THEY'VE SUBMITTED. THAT THEY GIVE US THE WORKING DOCUMENT WE HAVE THAT WE CAN BUILD THAT COMMUNICATION AND TAKE CARE OF THOSE ISSUES. AGAIN, IT PROVIDES FOR THE ACCURATE CONTACT INFO, THE REHAB PLAN, MAINTAIN THE PROPERTY REGULARLY AND COMPLY WITH THOSE ENFORCEMENT MEASURES. PENALTIES, AGAIN, IF YOU DON'T REGISTER WITHIN THE 30 DAYS OF THE NUISANCE PROPERTIES, IT CAN BE CITED, ADDITIONALLY WITH THE OTHER CITATIONS IF YOU'RE NOT REGISTERED. OPERATION PLAN IS IMPORTANT. AGAIN, WE'LL CONTINUE TO INSPECT THE VACANT PROPERTIES, WE'LL IDENTIFY WITH INITIAL INSPECTION, WE'LL MAIL THAT CORRECTION NOTICE. WE'LL HAVE A 30-DAY FOLLOW-UP INSPECTION AND THEN WE CREATE THE ANNUAL INSPECTION PROGRAM. ANY MAINTENANCE INSPECTIONS THAT ARE NEEDED WILL BE AS -- AS REQUESTED. OBVIOUSLY, 311 WILL PROVIDE US ANY NOTIFICATIONS THAT, HEY, SOMEBODY RIPPED THIS OFF -- BOARD OFF AND NOW THERE'S PEOPLE IN THE HOUSE, THINGS LIKE THAT. WE GET THAT A LOT. AGAIN, NEW CASE FOR THE VACANT BUILDING REGISTRATION WILL BE ADDED TO OUR EXISTING SOFTWARE AND A NEW PERMIT TYPE AS WELL IN THAT SOFTWARE. SO, AGAIN, THIS LEVERAGES EXISTING STAFF AND SYSTEMS TO HOPEFULLY MAKE THIS AN EFFICIENT PROCESS. AND, AGAIN, I'LL THROW THAT NUMBER BACK OUT TO EVEN SEPARATE, IN THE LAST 12 MONTHS WE'VE HAD 16,500 CODE VISITS TO THESE 1300 PROPERTIES, AND MOST IMPORTANTLY, OUR HANDSOME UNIFORMED OFFICERS HAVE BEEN OUT TO THESE SITES 3300 TIMES. SO NUISANCE PROPERTIES, AGAIN, ARE NOT PROPERTIES THAT ARE FOR SALE, THEY'RE NOT SOMETHING THAT I'M IN BETWEEN RENTERS. THESE ARE VACANT, NUISANCE PROPERTIES, BUT I JUST THOUGHT THIS WOULD BE A GOOD WAY TO SHOW THE IMPACT. AND WITH THAT, I STAND BY FOR ANY QUESTIONS. COUNCILWO MAN VAUGHN? >> Vaughn: WELL, I DON'T LIKE ADDING ANY MORE RED TAPE. >> Dice: YES, MA'AM. >> Vaughn: AND SO JUST A FEW QUESTIONS. YOU GO OUT THERE 16,500 CODE VIOLATIONS, THEY'VE GONE OUT THERE 3300 TIMES. SO IT'S OBVIOUSLY -- YOU KNOW THEY'RE THERE. DO YOU KNOW WHO THE PEOPLE ARE THAT ARE LIVING IN THESE -- NOT LIVING, BUT OWN THEM, DO YOU KNOW THOSE PEOPLE? DO YOU HAVE NAMES? >> Dice: SOMEWHAT, YES. >> Vaughn: OKAY. WELL, YOU COULD GET THEM FROM THE APPRAISAL DISTRICT, IF YOU DON'T CORRECT? >> Dice: THOSE SOMETIMES ARE DEAD ENDS, BUT THAT'S HOW WE START THE PROCESS IS THROUGH NCAD. >> Vaughn: CAN YOU CITE THEM NOW? >> Dice: YES. >> Vaughn: SO WHAT HAPPENS WHEN YOU DO THAT, ARE YOU NOT GETTING MONEY REIMBURSED, IF Y'ALL ARE GOING TO GO OUT THERE AND CUT THE GRASS OR WHATEVER? >> Dice: SO IF WE ABATE THE PROPERTY AT ANY POINT, MOW, BOARD, TRASH, AT THAT POINT WE WOULD PUT A LEAN ON THE PROPERTY IF IT'S EVER SOLD. AT THAT POINT WE VERY RARELY, IF ANY, COLLECT LEANS. >> Vaughn: THIS IS REALLY HARD. YOU'RE GOING TO MAKE ME START REGISTERING MY HOUSE NEXT. >> Dice: NO, MA'AM ARE YOU A SHORT-TERM RENTAL. >> Vaughn: ARE YOU JUST DOING IT ON THAT? >> Dice: DIFFERENT. I UNDERSTAND THE POLICE ARE GOING OUT THERE BECAUSE THERE ARE HOMELESS PEOPLE IN THE HOUSES, IS THIS THE REASONS? >> Dice: HOMELESSNESS, SQUATTERS, A LOT OF THE TIMES WE HAVE VIOLATIONS OF STOLEN VEHICLES ON THE SITE WHERE WE GET A CALL FOR A JUNK VEHICLE AND IT TENDS TO BE -- THEY FIND OUT IT'S STOLEN. SO THERE'S A LOT OF ISSUES THAT PD DOES GET INVOLVED. AND IN THAT NUMBER, THAT DOESN'T A ACTUALLY INCLUDE THEIR DPO OFFICER COMING OUT WITH US TO DO INVESTIGATIONS. THOSE ARE JUST CALL. >> Vaughn: TELL ME IN A FEW WORDS HOW YOU THINK REGISTERING THESE HOUSES ARE GOING TO MAKE A DIFFERENCE OTHER THAN GETTING MONEY IN THERE? HOW IS THAT GOING TO HELP SO THESE PEOPLE DON'T HAVE TO GO BACK OUT THERE AGAIN. >> Dice: THE MAIN THING KINDER, GENTLER CODE COMPLIANCE. WE WANT TO MAKE SURE WE'RE WORKING WITH THE PROPERTY OWNER TO GET THEIR PROPERTY COMPLIANT. IN OTHER CITIES THAT ARE DOING THIS, THEY ACTUALLY WORK WITH THE DEVELOPMENT COMMUNITY AS WELL TO PARTNER WITH MAYBE LOWER INCOME DEVELOPERS ON VACANT LO TS. WE'VE HAD A NUMBER OF FIRES RECENTLY WHERE WE'RE DEMOING THESE BUILDINGS AND THEY'RE NOW EMPTY LOTS, SO THOSE ARE THINGS THAT COULD BE DONE. >> Vaughn: OKAY. >> Dice: THE WAY IT IS NOW IS WE JUST CITE AND MOVE ON AND HOPE THAT WE GET MONEY BACK. >> Vaughn: OKAY. >> Dice: BUT AT THIS POINT IN OUR ABATEMENT BUDGET IS GOING TO BE -- [LAPSE IN AUDIO] -- OUR ABATEMENT BUDGET WILL BE 80% GONE. >> Vaughn: WE'RE NOT GOING TO HAVE TO HIRE MORE PEOPLE TO DO THIS RIGHT? >> Dice: GNOME. >> Mayor Guajardo: MICHAEL, WHAT IS THE -- I MEAN, I GET WE'RE CHASING THE ISSUE, THE PROBLEM. >> Dice: YEAH. >> Mayor Guajardo: BUT I THINK -- THERE ARE MORE HOPES BEING VACATED -- I MEAN, WE'RE KIND OF ADDING TO THE INVENTORY. WHAT'S THE SOLUTION TO THE ROOT OF THE PROBLEM, OR DO YOU KNOW? >> Dice: I CAN ONLY SPECULATE. AGAIN, A LOT OF WHAT WE SEE AND ESPECIALLY IN D1, WE SEE A LOT OF GENERATIONAL HOMES, PEOPLE WHO HAVE PASSED AWAY OR MOVED ON WHO HAVE MULTIPLE HEIRS AND THEY'RE FIGHTING FOR HOMES. SOMETIMES HOMES ARE JUST FORGOTTEN ABOUT IN THOSE SITUATIONS. I CAN'T SPECULATE AS TO WHY, BUT, YOU KNOW, OUR GOAL IS TO MAKE SURE THAT THE NEIGHBORHOODS ARE SAFE AND THAT I DON'T HAVE TO HAVE, YOU KNOW, MARKLE'S CREW OUT THERE DOING SOMETHING WHEN THEY COULD BE DOING SOMETHING ELSE. I DON'T WANT TO HAVE CHIEF WADE'S CREW OUT THERE WHEN THEY COULD BE DOING SOMETHING ELSE. AND IF WE CAN PROVIDE A PROGRAM THAT HELPS GET SOME OF THESE VACANT BUILDINGS WORKING. IT'S NOT GOING TO BE THE SILVER BULLET, I'M NOT GOING TO STAND UP HERE AND TELL YOU IT'S GOING TO FIX EVERYTHING, BUT IT PROVIDES A MEANS FOR US TO, AGAIN, ABATE AND MAKE THE NEIGHBORHOOD SAFER. >> Mayor Guajardo: RIGHT. THANK YOU. COUNCILWOMAN CAMPOS. >> Campos: THANK YOU. THAT WAS A GOOD SEGUE TO WHAT I'M GOING TO MAKE A COMMENT ON BECAUSE, AS A MATTER OF FACT, DAVID LOWE, LONG TIME AGO, WE HAD A CONVERSATION ABOUT THESE ABANDONED PROPERTIES, AND THAT A LOT OF THESE DO HAVE TO DO WITH LEGACY, WITH THE FAMILIES AND I'M HOPING MAYBE WE COULD -- WITH THE $500 THAT WE'RE GOING TO -- IF WE PASS THIS. >> Dice: 300. >> Campos: OKAY. THAT WE FIND A WAY -- BECAUSE A LOT OF IT IS LEGAL. >> Dice: YEAH. >> Campos: BECAUSE THERE'S NOT A WILL, YOU KNOW, AND IF WE COULD FIND A WAY FOR THEM TO HAVE ACCESS, YOU KNOW, TO SOME KIND OF FREE LEGAL SERVICE THROUGH MAYBE THE -- MAYBE DEL MAR, I DON'T KNOW, BUT JUST ZERO THE BE ABLE TO CREATE SOMETHING LIKE THAT BECAUSE I FEEL THAT THAT IS PARTLY ONE OF THE LARGEST ISSUES IS THAT THERE'S NO WILL AND SO IT DOES END UP JUST STAYING THERE. >> Dice: CORRECT. >> Campos: SO HAS THAT EVER COME UP? HAVE YOU EVER TRIED TO FIGURE OUT SOMETHING LIKE THAT, THAT YOU COULD JUST -- YOU KNOW, TO A NONPROFIT THAT DOES THAT SORT OF THING? >> Dice: WE DO WITH NEIGHBORHOOD SERVICES. WE KNOW A LOT OF EXISTING PROGRAMS. WHEN IT COMES TO LEGAL WORK, WE DO REACH OUT AND SEE IF WE CAN GET PRO BONO FOR SOME OF THOSE ITEMS. AGAIN, IT GETS REALLY MIRED DOWN, ESPECIALLY IF YOU'VE GOT A LOT OF HEIRS, SO WE'RE TRYING OUR BEST, BUT THE MAIN THING, AGAIN, IS WORKING WITH THE -- WHOEVER IS THE OWNER OR OWNERSHIP TO MAKE SURE THAT THEY'VE GOT A PLAN AND A PATH FORWARD, AGAIN, TO MAKE THE NEIGHBORHOOD SAFER. >> Campos: WELL, AGAIN, THAT'S SOMETHING I -- I HOPE THAT WE'RE ALL LISTENING AND HEARING, THAT MAYBE THROUGH OUR SENIOR, YOU KNOW, CENTERS OR SOMETHING LIKE THAT, TO -- YOU KNOW, TO TRY TO HAVE A WILL OR SOMETHING THAT DETERMINES WHERE YOUR -- YOU KNOW, WHERE YOUR HOME OR YOUR RESIDENTS OR YOUR PROPERTY WILL BE HEIRED TO, SO, AGAIN, JUST TO -- YOU KNOW, PUTTING IT OUT THERE. THANK YOU. >> Dice: YES, MA'AM. COUNCILMA N HERNANDEZ? >> Hernandez: TO ME THIS IS CREATING A PROCESS CRIME. YOU DON'T SIGN UP, YOU GET A FINE. BUT IT DOESN'T REALLY CHANGE THE ISSUE. IF THEY'RE NOT ABIDING BY THE CURRENT LAWS, WHAT IS ONE MORE LAW THAT THEY'RE NOT GOING TO ABIDE BY. SO LET ME ASK THE QUESTION HERE, OUT OF ALL THESE PROPERTIES THAT YOU HAVE LEANS ON, HOW MANY HAVE YOU FORECLOSED ON? >> Dice: THAT, MY UNDERSTANDING, IS ZERO. >> Hernandez: OKAY. SO WE'RE NOT UTILIZING THE PROCESSES WE HAVE AVAILABLE TO US TO ADDRESS SOME OF THESE ISSUES, SO WHY CREATE ANOTHER LAYER OF BUREAUCRACY AND REGULATION THAT DOESN'T CHANGE THE PROCESS? IF WE PUT LIENS ON THESE PROPERTIES AND THEY DON'T PAY -- AND THEY DON'T PAY IN A TIMELY FASHION, YOU CAN GO FOR FORECLOSURE, I KNOW THIS IS A LEGAL PROCESS AND -- >> Dice: CORRECT. >> Hernandez: -- OBVIOUSLY THE MORE THAT YOU ABATE, THE MORE MONEY THAT GETS ASSIGNED TO IT, WE HAVE LIMITED RESOURCES, I GET IT. BUT UNTIL YOU START ENFORCING THINGS THAT YOU CURRENTLY HAVE ON THE BOOKS, CREATING MORE LAWS THAT THEY'RE NOT GOING TO ABIDE BY AREN'T GOING TO -- ISN'T GOING TO CHANGE THE ISSUE. SO I WILL -- AND THEN -- AND THIS IS A SLIPPERY SLOPE. AT WHAT POINT DO YOU STOP SAYING WE NEED TO REGISTER EVERYBODY'S PROPERTY? >> Dice: AGAIN, MY HOPE IS THAT WE DON'T HAVE TO REGISTER ANYONE'S PROPERTY. THE GOAL OF THIS IS TO MAKE SURE THAT WE'RE ENGAGED IN THE PROPERTY OWNER'S COME FORTH WITH A PLAN AND WE WORK WITH THEM. AGAIN, AS ONE OF THE CONCERNS YOU HAD ORIGINALLY WAS, WE'LL CONTINUE TO CITE. THIS PLAN DOES NOT CITE ONCE WE START THAT PROCESS. IT PROVIDES A PATH FORWARD OF ENGAGEMENT THAT HOPEFULLY THEY CAN -- LIKE I MENTIONED, THEY CAN EITHER FIND A DEVELOPER OR -- >> Hernandez: SORRY FOR INTERRUPTING. YOU CITE IF THEY DON'T REGISTER. >> Dice: CORRECT. BUT CITATIONS ARE -- WE -- AGAIN, THE MAIN ITEM, AND THIS WAS RIGHT UP FRONT, WE DON'T HAVE ABATEMENT BUDGET TO MAINTAIN ANY OF THESE PROPERTIES, SO WHAT THIS WILL DO IS HELP GIVE US THAT BUDGET. IT'S ASSESSING A FEE ON AN ABSENT PROPERTY OWNER, NOT ANYBODIES ELSE, ONLY THOSE ABSENT PROPERTY OWNERS, TO HELP GENERATE REVENUE THAT WE'RE ALREADY HAVING TO EXPEND ON THESE PROPERTIES. AS OF OCTOBER 1, WE WON'T BE ABLE TO MOW, BOARD, DEMO, ANYTHING FOR AN ENTIRE YEAR. >> Hernandez: WELL, WHAT YOU'RE RECOMMENDING HERE IS TO PUT A BANDAID ON A CANCER. AND INSTEAD OF SOLVING THE PROBLEM, YOU JUST -- YOU KNOW, YOU'RE KIND OF ADMINISTERING TO THE SYMPTOMS INSTEAD OF TRYING TO SOLVE THE PROBLEM. I CAN'T -- I CAN'T SUPPORT PROPERTY REGISTRATION. THIS WAS TRIED DURING THE HISTORICAL BUILDING ORDINANCE THAT WE PASSED NOT TOO LONG AGO, WE REMOVED IT FROM THERE. BECAUSE, AGAIN, THIS IS -- THIS IS SIMPLY JUST PROPERTY REGISTRATION AND IT'S PUTTING ADMINISTRATIVE BURDEN ON OURSELVES OF -- TO ADDRESS THINGS WE ALREADY HAVE THE TOOLS TO ADDRESS. SO I CAN'T SUPPORT THIS. THANK YOU. >> Mayor Guajardo: WHAT TOOLS ARE WE NOT ADDRESSING THESE HOMES WITH? ARE WE NOT USING? >> Dice: FROM THE CODE SIDE, WE ADDRESS WITH EVERYTHING THAT WE HAVE. ONCE IT GOES INTO A LEGAL PROCEEDING, THAT'S OUTSIDE OF MY PURVIEW. >> Mayor Guajardo: YEAH, BUT WHAT ARE THE TOOLS THAT HE'S REFERENCING. >> Dice: WE LIEN PROPERTY. ONCE THOSE PROPERTIES ARE LIENED, SO IF I COME OUT AND MOW THE GRASS AND PULL A JUNK VEHICLE AND IT COSTS THE CITY $500, WE PUT A LIEN ON THE PROPERTY FOR 500. THAT LIEN IS COLLECTED WHEN THAT PROPERTY IS SOLD. >> Mayor Guajardo: SO THE TAXPAYERS ARE PAYING FOR MOWING GRASS, ABATEMENT. >> Dice: YES. >> Mayor Guajardo: -- CLEARING DEBRIS, DEMOLITION, WE'RE PAYING FOR THAT. >> Dice: YES. >> Mayor Guajardo: SO THIS NEW POLICY SAYS WE'RE GOING TO HELP US COLLECT SOMETHING TO DO SOMETHING THAT BECOMES OUR PROBLEM. BECAUSE IF ANYONE IN THIS ROOM CALLS 311 AND SAYS I'VE GOT THIS UGLY HOUSE THAT'S VACANT AND, YOU KNOW, THE COMPLAINTS COME ABOUT, WHICH THEY DO, WE HAVE TO TRY TO DO SOMETHING ABOUT IT. >> Dice: YES, MA'AM. >> Mayor Guajardo: OKAY. THANK YOU. COUNCILMAN ROY? >> Roy: SO I'M ASSUMING THIS COVERS COMMERCIAL AND RESIDENTIAL PROPERTY? >> Dice: YES, SIR. >> Roy: BUT I WAS SURPRISED THAT YOUR ANSWER WHEN YOU SAID 0 PERCENT IN TERMS OF -- BECAUSE I'VE SEEN OTHER PROPERTIES THAT I'VE ACTUALLY DEALT WITH THAT EVENTUALLY THEY END UP GOING TO AUCTION. >> Dice: AGAIN, I'M BASING IT ON CONVERSATION THAT WE HAD WITH CITY ATTORNEY RISLEY, AND AT THIS POINT, THERE HAD BEEN ZERO COLLECTED. >> Scott: HE'S NOT HERE. WE'VE GOT A NEW SHERIFF NOW. >> SO OUR -- LOT LIENS ARE INFERIOR TO THE TAX LIEN, AND SO OFTEN ON THESE VACANT PROPERTY, THE TAX LIEN EXCEEDS THE VALUE OF THE PROPERTY, SO THERE'S NOTHING LEFT FOR OUR LIEN TO RECOVER. >> Roy: OKAY. SO IT IS -- THIS IS COMMERCIAL AND RESIDENTIAL? >> Dice: YES, SIR. >> Roy: AT SOME POINT IF -- YOU KNOW, BECAUSE I DO FIND IT HARD TO TRY TO UNDERSTAND IF THIS IS -- IF THIS IS -- ARE WE GOING TO SEE IMMEDIATE BENEFIT, YOU KNOW WHAT I MEAN? AND BECAUSE RIGHT NOW, I MEAN, I GET A LOT OF PHONE CALLS, AS YOU KNOW, DISTRICT ONE IS -- HAS MORE OF THESE VACANT HOUSES AND, YOU KNOW, IT IS -- A LOT OF THEM BURNED DOWN, A LOT OF THEM ARE FILLED WITH -- THAT HAVE PEOPLE DOING THINGS IN THERE THEY SHOULDN'T BE. >> Dice: CORRECT. >> Roy: -- AND IT'S AN EYE SORE. WHAT'S SAD IS THERE'S SOME NEIGHBORHOODS WITHIN DISTRICT ONE WHERE THE ENTIRE STREET HAS A REALLY BIG PRIDE IN TERMS OF OWNERSHIP, EXCEPT FOR ONE OF TWO HOUSES. AND I KNOW THAT IT'S A CHALLENGE TRYING TO FIND OUT WHO OWNS THOSE HOUSES BECAUSE A LOT OF TIMES IT GOES BACK TWO OR THREE GENERATIONS WHERE IT'S JUST BEEN WORD OF MOUTH. OH, THAT WAS GREAT GREAT GRANDMA SUZIE'S HOUSE OR SOMETHING AND THEN, YOU KNOW, WHAT HAPPENS IS THE HOUSE GETS IN SUCH A CONDITION THAT THEY CAN'T -- IT'S REALLY A HARD DEAL TO DEAL WITH BECAUSE THEY CAN'T GO OUT AND GET FUNDS TO HELP THEM BECAUSE THEY DON'T -- THEY CAN'T PASS THE TITLE, THEY CAN'T GET TITLE, THEY CAN'T GET A LOAN, THEY CAN'T DO ANYTHING, SO MOST OF THE TIME, THEY END UP JUST VACATING THE HOME AND LEAVING IT, WHICH DOES LEND IT TO THE FACT THAT I THINK IT'S GOING TO BE HARD FOR YOU TO GET THESE PEOPLE -- BECAUSE YOU PUT ANOTHER LAYER IN THERE, TO GET THEM TO BE COMPLIANT. THEY'VE ALREADY WALKED AWAY. THEY MAY NOT OWN IT, YOU'RE GOING TO GO BACK FOUR OR FIVE GENERATIONS TO TRY TO FIND SOMEBODY. >> Dice: AGAIN, WE KNOW THAT ANY TYPE OF NEW PROGRAM, ESPECIALLY DEALING WITH VACANT BUILDINGS AND HAVING LACK OF OWNERSHIP RESPONSIBILITY, IT'S GOING TO BE A SLOW PROCESS TO START MAINTAINING AND GETTING THAT COMPLIANCE. >> Roy: BUT THE TAX -- GOING IN TERMS OF THE -- FOLLOWING IT FROM A TAX PERSPECTIVE, BECAUSE THEY'RE -- YOU CAN GO TO AUCTION FASTER, RIGHT, FROM THAT? >> Dice: I WOULD ASSUME. IT'S OUTSIDE OF MY -- >> Roy: I'VE SEEN THIS. I'VE GOT PLENTY OF EXAMPLES. THERE WAS A PROPERTY OUT ON THE ISLAND THAT A DEVELOPER WAS TRYING TO DEVELOP. HE COULD NEVER -- WE ACTUALLY GOT DOWN TO CLOSING AND FOUND OUT THAT, OH, WELL, THE TITLE -- THE LAST OWNER DIDN'T OWN IT. AND SO IT JUST WENT OUT FOR AUCTION. I MEAN, THAT HAPPENS. >> Dice: YES. >> Roy: SO I MEAN, THAT'S ANOTHER WAY OF REMEDYING THESE THINGS IS IF THEY HAVE BACK TAXES, THE CITY HAS A RIGHT TO BE ABLE TO COLLECT ON THOSE AND TAKE IT TO SHERIFF'S SALE. >> Dice: AGAIN, I THINK BUCK POINTED IT OUT, THE LIEN IS A LITTLE DIFFERENT FROM THE TAX, SO A LOT OF THE TIME, AS BUCK SAID, IF THE TAX IS MORE THAN THE PROPERTY'S WORTH, WE DON'T COLLECT ANYTHING. AND I WOULD DEFER ANY TITLE QUESTIONS TO OUR TITLE EXPERT. >> Roy: WELL, AGAIN, I JUST THINK THIS IS A LOT OF WORK WHEN I THINK THAT WE'RE GOING TO SIT THERE AND BE IN THE SAME SITUATION THAT WE ARE NOW. I'M TRYING TO FIGURE OUT HOW YOUR SYSTEM IS GOING TO BETTER -- >> Dice: THE MAIN THING IS WE HOPE TO START GENERATING SOME REVENUE TO START MAINTAINING THE PROPERTIES. AT LEAST AT A BASE LEVEL. WE'RE DOING THE MINIMUM BOARDUPS, WE'RE DOING THE MINIMUM MOWINGS. IF WE WERE TO EVEN GET HAFER OF THE PROPERTIES AT -- HALF OF THE PROPERTIES AT THIS POINT REGISTERED AND COMPLIANT WITH THIS PROPOSED PROGRAM, THAT'S ALMOST DOUBLE WHAT WE CURRENTLY HAVE IN THE ABATEMENT BUDGET. >> Roy: IF THIS PASSES, AND I DON'T KNOW IF IT WILL, BUT IF IT DOES PASS, YOU KNOW, I THINK THIS IS SOMETHING THAT WE'D LIKE TO GET SOME DATA ON EVERY SIX MONTHS OR SOMETHING TO SEE HOW THIS THING IS PROGRESSING. >> Dice: ABSOLUTELY. SO WE ACTUALLY PRODUCE A MONTHLY CODE NEWSLETTER THAT WE SEND TO EVERYBODY. WE CAN INCLUDE THAT IN THAT NEWSLETTER AS WELL. >> Roy: THANKS. THAT'S ALL I HAD. COUNCILWO MAN PAXSON? >> Paxson: THANK YOU, MAYOR. HAVE WE ENGAGED OUR LOCAL -- OUR CORPUS CHRISTI ASSOCIATION OF REALTORS? I REALLY DO VALUE THEIR INPUT AND THIS IS SOMETHING THAT'S GOING TO STRONGLY IMPACT THAT INDUSTRY. >> Dice: I'LL BE HONEST, I HAVE NOT. >> Paxson: OKAY. OKAY. THAT -- THAT WOULD BE A BIG THING FOR MY OWN THOUGHTS ON THIS BECAUSE LIKE I SAID, IT DOES IMPACT THEM. AND FOR ME, I'VE GOTTEN A LOT OF PEOPLE REACHING OUT BECAUSE IN OUR DISTRICT YOU HAVE A LOT OF RENTAL PROPERTIES. AND I THINK WHETHER THIS WAS MADE FOR -- OR INTENDED PRIMARILY JUST FOR LIKE YOU SAID THOSE TROUBLE PROPERTIES -- >> Dice: CORRECT. >> Paxson: -- IT'S CAUSED KIND OF A BIG CONCERN ACROSS THE BOARD, AND I CAN'T -- I SLEIGHT THEM FOR HAVING THAT CONCERN. . >> Dice: NO, UNDERSTOOD. AND I THINK TO COUNCILMAN HERNANDEZ'S POINT, WE DON'T WANT TO BE THE REGISTRANT, WE WANT EVERYBODY TO REGISTER ALL OF THEIR PROPERTIES. WE WANT TO GET RID OF THIS PROGRAM EVENTUALLY. WHAT THIS WILL DO IS GIVE US A SHORT TIME TO FILL THE GAP THAT WE HAVE IN ABATEMENT THAT WE -- THAT WE'RE -- AGAIN, WE'RE GOING TO BE OUT OF FOR THE ENTIRE YEAR. SO WHEN WE HAVE THE NEIGHBORS THAT ARE COMPLAINTING WE CAN ONLY GO OUT WRITE A PINK SLIP AND DRIVE OFF. WE DON'T HAVE THE ABILITY TO TAKE CARE OF THOSE PROPERTIES, MAYBE THEY'RE ABSENT, MAYBE THEY'VE PASSED AWAY, SO THAT'S REALLY WHAT THIS IS FOR. THE HOMES THAT ARE FOR RENT, FOR SALE, THE HOME BUILDERS, THOSE HOMES ARE NEVER IN THOSE NUISANCE CATEGORIES. >> Paxson: BUT THEY -- YOU KNOW, VACANT PROPERTIES IMPACT THE REALTY WORLD. >> Dice: AND VACANT IS DEFINED WITHOUT UTILITIES. SO THERE IS A VERY SPECIFIC VACANCY DEFINITION IN THE CODE. >> Paxson: WELL, FOR ME, THAT'S AN IMPORTANT PIECE IS THERE INPUT THERE. AND I'M SORRY DISTRICT ONE. I KNOW DISTRICT 4 IS SECOND TO THE LEAST OUT THERE, BUT IT DOES HAPPEN. AND WE HAVE A FEW PROPERTIES THAT I KNOW THAT WE HAVE OUR KIND OF TROUBLED PROPERTIES. >> Dice: REPETITIVE, YES. >> Paxson: WHERE THERE'S NOT NECESSARILY A STRUCTURE, AND A LOT OF TIMES IN OUR CASE, IT'S JUST VACANT LOTS THAT ARE GOING UNDONE. SO I'M CURIOUS, IS THERE -- I THINK OTHER CITIES DO SOMETHING WHERE THERE MAY BE LIKE A PARTNERSHIP WITH THE COUNTY TYPE THING WHERE WE UTILIZE CERTAIN RESOURCES -- >> Dice: SO SOME CITIES, MUNICIPALITIES, COUNTIES WORK TOGETHER FOR LAND BANKING OF WHAT MAY COME IN ATTACKS, AUCTION, THINGS LIKE THAT TO BE REDEVELOPED. WE DON'T HAVE THAT HERE, BUT, AGAIN, I THINK THIS IS ONE STEP OF ENGAGEMENT WITH THOSE PROPERTY OWNERS TO GIVE THEM -- YOU KNOW, FOR THE FAMILY THAT MAY HAVE HAD SOMEBODY PASS AWAY, DON'T KNOW -- DOESN'T KNOW WHAT TO DO WITH THE PROPERTY, WE CAN MAKE THOSE CONNECTIONS EITHER THROUGH NEIGHBORHOOD SERVICES OR LOCAL PARTNERS, GEN, CBHVA, OTHERS LIKE THAT TO HELP -- >> Paxson: HAVE WE LOOKEDDALITY -- I DRIVE A LOT OF THE HIGHWAYS QUITE A LOT AND I DO FROM TIME TO TIME SEE INMATES THAT ARE PARTNERING WITH TXDOT DOING SOME CLEANUP TYPE THING. IS THAT -- THAT'S KIND OF A SECONDARY WHAT I WAS ALONG THE LINES OF, BECAUSE YOU'VE GOT THESE HUGE VACANT LOTS THAT ARE VERY OVERGROWN THAT MAY BE POTENTIAL? >> Dice: COULD BE POTENTIAL. AT THIS POINT, WE DON'T HAVE A PROGRAM FOR ACTIVE INMATES TO BE UTILIZED IN THAT -- AGAIN, THE CITY DOESN'T HAVE ACTIVE INMATES, WE WOULD HAVE TO WORK WITH THE COUNTY OR THE STATE, BUT THERE ARE SOME CITIES THAT UTILIZE THAT FOR CLEANUPS, NOT NECESSARILY, YOU KNOW, UTILIZING TOOLS AND MOWING AND THINGS LIKE THAT, BUT, AGAIN, WE'RE -- WE'RE AT OPTIONS TO LOOK AT ANYTHING TO HELP WITH THE PROBLEM. >> Paxson: OKAY. AND THEN, I DON'T KNOW, MAYBE THERE'S SOMETHING WE CAN DO. I KNOW THIS YEAR WE HAVE HEAVILY ENGAGED OUR LANDSCAPING INDUSTRY TYPE. MAYBE THERE'S SOME KIND OF PARTNERSHIP IN THE FORM OF OFFSETS OR SOME KIND OF SPONSORSHIPS OR SOMETHING LIKE THAT WHERE WE'RE NOT NECESSARILY HAVING TO EXPENSE, BUT WE'RE GIVING SOME OTHER LOCAL BUSINESSES SOME OPPORTUNITY TO PERHAPS STEP FORWARD AND, CALL ME SILLY, BUT THERE'S THIS ONE GROUP, THIS GENTLEMAN GOES TO DIFFERENT STATES AND HE KNOCKS ON DOORS. >> Dice: TIKTOK. E HE WAS ACTUALLY HERE FOUR MONTHS AGO. >> Paxson: WAS HE? DIEZ HE DID A COUPLE JOBS IN CORPUS. >> Paxson: WAS HE IN DISTRICT ONE? SO HE DOES THIS SERVICE FOR FREE. THE REASON I BRING IT UP IS BECAUSE HE IS FUNDED, BUT NONTRADITIONALLY. HE GETS SPONSORSHIPS, HE GETS THINGS LIKE THAT, AND THAT'S NOT THE CITY'S JOB, THAT'S NOT OUR ROLE, BUT WE HAVE A PROBLEM, WE NEED TO CLOSE A GAP. MAYBE THERE'S SOME ROOM TO ENGAGE CREATIVELY. >> Dice: I'M SURE ALL OF OUR CODE COMPLIANCE OFFICERS WOULD LOVE TO BE YOUTUBE STARS. >> Paxson: TELL THEM IT WAS A GREAT DAY IN COUNCIL TODAY. THANKS MIKE. COUNCILMA N SCOTT. >> Scott: TELL ME AGAIN HOW YOU DIFFERENTIATE BETWEEN TROUBLED AND RENTAL. >> Dice: VACANT IS DESCRIBED IN THE CODE AS WITHOUT UTILITIES FOR 30 DAYS. THERE MAY BE AN INSTANCE WHERE SOMEONE HAS DISCONTINUED UTILITIES BECAUSE THEY'RE GOING TO WORK ON THEIR HOME. THAT ENGAGEMENT, AGAIN, BEGINS WITH THE FIRST VISIT. BUT OVERWHELMINGLY I THINK YOU WOULD AGREE ANYBODY THAT'S SELLING OR RENTING A PROPERTY IS NOT GOING TO LET IT GOO TO SOME OF THE EXAMPLES YOU SAW. >> Scott: COULD BE OUT OF TOWN OWNERS MOVED ON, TRYING TO SELL IT. BUT I HEAR WHAT YOU'RE SAYING. DID YOU MENTION THE SUCCESSES OR FAILURES AND YOU SAID SAN ANTONIO AND EL PASO? >> Dice: CORRECT. >> Scott: DID YOU TALK ABOUT THEM AT ALL? >> Dice: THEY DO HAVE A PROGRAM THAT IS SOMEWHAT SUCCESSFUL. AGAIN, THEY HAVE -- THEY LEVERAGE A LOT OF OTHER TOOLS, BIGGER BUDGETS, BUT WHAT SAN ANTONIO IN PARTICULAR, THEY WORK WITH LOCAL DEVELOPMENT GROUPS TO MAKE SURE THAT ANY PROPERTIES THAT HAVE BEEN DEMOED OR VACANT -- JUST LAND, THAT THEY WORK WITH THE DEVELOPMENT COMMUNITY TO HOPEFULLY, YOU KNOW, REVIVE THAT, TO BUILD SOMETHING IN THAT PLACE. THERE ARE SOME LOW-INCOME -- THEY USE AN AMI TO BUILD CERTAIN HOMES FOR CERTAIN AMI. THEY HAVE THOSE TYPES OF PROGRAMS IN ADDITION TO A LOT OF THE OTHER PROGRAMS, SAY, THAT WE HAVE HERE. >> Scott: THAT WAS EL PASO OR SAN ANTONIO? >> Dice: SAN ANTONIO. >> Scott: THAT'S INTERESTING. I'D BE INTERESTED IN LEARNING MORE ABOUT THAT. MY POINT I WROTE IN MY NOTE WAS, I DON'T WANT TO PAY FOR IT RIGHT? I DON'T THINK WE WANT THE TAXPAYER TO PAY FOR MAINTAIN THESE, SO IF THERE'S A WAY YOU CAN GENERATE SOME INCOME AND THOSE WHO HAVE THE PROPERTY CAN PAY FOR IT, I THINK THAT WOULD BE AWESOME. I THINK IT'S NOT GOING TO BE EASY, YOU KNOW, BECAUSE I THINK THERE'S A REASON WHY THEY'RE VACANT OR -- YOU KNOW, AND RUNDOWN AND I'M NOT -- I KNOW WE HAVE ONE IN THE NEIGHBORHOOD THAT'S JUST BEEN THERE FOREVER BECAUSE THEY DON'T CARE. THE PEOPLE -- THEY JUST DON'T CARE. I HAD TWO MORE THOUGHTS. ONE, YOU MENTIONED -- SOMEBODY MENTIONED INMATES COULD GO OUT AND CLEANUP. I WROTE INMATES OR SENIOR CITY STAFF, I'M JUST THROWING SOME IDEAS OUT HERE, JUST SPIT BALLING, TRYING TO FIND WAYS, TRYING TO BE CREATIVE. AND ULTIMATELY I WAS GOING TO VOTE NO, BUT WHEN MICHAEL MILLER ENDORSED YOU, I'M JUST IN. >> Dice: I'M GOING TO WEAR THAT BADGE OF HONOR FOR A WHILE. >> Scott: I KIND OF AGREE WITH EVERETT. I'M GOING TO SUPPORT THIS, I DON'T KNOW IF IT PASSES. I WOULD LIKE TO KEEP TRACK OF IT, BECAUSE I'M NOT COMPLETELY SURE IT'S GOING TO WORK, BUT I TRUST -- I TRUST YOUR INTEREST AND I TRUST YOUR ABILITIES AND I'D LIKE TO GIVE IT A SHOT, SO THANKS. COUNCILMA N CANTU? >> Cantu: QUICK QUESTION: SO IF HOUSE IN DISTRICT 3 IS ABANDONED, GRASS IS TO THE ROOF, YOU SEND OUT LETTERS, NO RESPONSE. WHAT CAN WE DO WITH THAT PROPERTY? AND HOW LONG WOULD IT TAKE? >> Dice: SO, AGAIN, DEPENDENT UPON WHAT THE SITUATION IS, IF IT'S, SAY, A FIRE OR WE'VE HAD STRUCTURAL DAMAGE, AT THAT POINT WE HAVE A ROUTE TO GO THROUGH THE BUILDING STANDARDS BOARD AND, YOU KNOW, THAT THEY MAY OR MAY NOT DO DEMOLITION. IF IT'S SIMPLY ABATEMENT FOR TRASH, HIGH GRASS, WE CITE AT THIS POINT BECAUSE WE DON'T HAVE ANY ABATEMENT BUDGET. >> Cantu: YEAH. >> Dice: AND THEN THAT WORKS THROUGH THE COURT PROCESS. FOR US TO FIND OUT THE OWNERSHIP, WE DO HAVE A TEAM OF GREAT ADMINISTRATEDTIVE STAFF THAT DOES A LOT OF THE RESEARCH, BUT THERE ARE A NUMBER OF TIMES WHERE WE HIT THOSE DEAD ENDS. SO IT'S JUST A MATTER OF CONTINUALLY PRESSING FORWARD TO GET THAT INFORMATION AND HOPEFULLY CLOSE THAT LOOP. >> Cantu: OKAY. I REALLY DON'T THINK THEY'RE GOING TO PAY FOR THIS FEE. THEY'RE NOT TAKING CARE OF THEIR PROPERTY, SO I HIGHLY DOUBT THEY'RE GOING TO DO AN APPLICATION AND PAY WHATEVER YOU GUYS WANT THEM TO PAY. BUT I DO WANT TO DO A MOTION TO TABLE THIS, BECAUSE MY UNDERSTANDING IS THE REALTORS DO NOT LIKE THIS IDEA, THE LOCAL REALTORS ASSOCIATION, SO I'D LIKE FOR YOU GUYS TO GO BACK AND TALK TO THEM AND, YOU KNOW, SEE WHAT YOU GUYS COULD WORK OUT, BUT I'M GOING TO DO A MOTION TO TABLE IT, WHEREVER IT GOES, IT GOES, BUT... >> Dice: OKAY. >> SECOND. COUNCILWO MAN VAUGHN? >> Vaughn: WELL, I'VE LOST MY THING OF THOUGHT, MARK, GO OUT AND HELP THEM, MARK, INSTEAD OF CITY STAFF. I WAS GOING TO SAY A COUPLE OF THINGS. YOU KNOW, YOU SAID THAT ONCE YOU GET THIS PROGRAM, YOU COULD DO AWAY WITH IT, YOU KNOW WITH GOVERNMENT THAT VERY SELDOM HAPPENS, SO I WANT TO MAKE A SUGGESTION. LET'S TRY IT FOR A YEAR. SEE IF IT WORKS. BRING AN UPDATE BACK, AND IF IT'S WORKING, THAT'S GREAT. IF IT'S NOT, THEN WE CAN JUST SAY DON'T DO IT. I UNDERSTAND TALKING ABOUT THE REALTORS, I'M NOT DEAD SET ON TALKING TO THE REALTORS -- THIS IS ABANDONED PROPERTY THAT LOOKS ABSOLUTELY TERRIBLE AND THEY'RE PROBABLY NOT GOING TO COME BACK AND DO ANYTHING WITH IT, BUT CAN DEVELOPMENT SERVICES NOT JUST FILE A NUISANCE ABATEMENT ON IT. >> Dice: WELL, WE CAN DO ABATEMENT ACTIONS, BUT WE DON'T HAVE BUDGET. >> Vaughn: THAT'S THE REASON YOU CAN'T DO IT? OKAY. >> Dice: SO I CAN -- AT THIS POINT, I CAN WRITE A TICKET AND THEN IT CAN GO TO COURT, WHICH MAY OR MAY NOT. >> Vaughn: SO YOUR HANDS ARE TIED BASICALLY. >> Dice: WE'RE VERY LIMITED ON WHAT WE CAN DO. >> Vaughn: THAT'S NOT GOOD. WE DON'T WANT TO LOOK AT THAT. I WOULDN'T IF IT WAS IN MY NEIGHBORHOOD, I WOULDN'T WANT TO LOOK AT IT. >> Dice: AND, AGAIN, IN THE SITUATION OF LOOKING AT SOMETHING, IF WE WRITE A CITATION, THERE IS DUE PROCESS, IT GOES TO COURT, IT WILL REMAIN IN THAT CONDITION UNTIL -- >> Vaughn: AND ODDS ARE, YOU'RE NOT GOING TO GET YOUR MONEY BACK IF YOU GO OUT AND MOW IT EITHER, SO YOU'RE NOT GETTING ANYTHING. OKAY. THANKS. COUNCILMA N ROY? >> Roy: YOU KNOW, THIS IS A TOUGH ONE, AND I SAY THIS, AND I'M GOING TO ASK COUNCILWOMAN VAUGHN IF I CAN AMEND WHAT SHE'S SAYING AND MAYBE LOOK AT THIS, IF WE DO THIS, LOOK AT SIX MONTHS. I SAY THAT IT'S IMPORTANT. I THINK THAT BECAUSE THIS COUNCIL'S INVOLVED, IN ANOTHER YEAR, WE'RE GOING TO BE COMING UP FOR ELECTION, BUT I THINK WE NEED TO LOOK AT THIS THING OVER SIX MONTHS. I'M FAMILIAR ALSO WITH THE CORPUS CHRISTI ASSOCIATION OF REALTORS AND NOT LIKING TO REGISTER PROPERTIES, BUT IN THIS PARTICULAR CASE -- AND, AGAIN -- BEFORE I GET FURTHER, DOES THIS PERTAIN TO LAND, LOTS? THERE'S A LOT OF LOTS THAT THEY'VE GOT SIX, 10-FOOT GRASS, YOU KNOW, WHICH CAUSES RODENTS AND EVERYTHING ELSE. THEY MAY HAVE A SHED ON THERE, THEY MAY NOT EVEN HAVE A HOUSE. SO DOES THIS PERTAIN TO THOSE, TOO? >> Dice: THIS IS FOR BUILDINGS, VACANT BUILDINGS. >> Roy: IT'S FOR BUILDINGS. >> Dice: NOW, IT WILL GENERATE REVENUE THAT WE'LL BE ABLE TO USE FOR ABATEMENT ON VACANT LOTS BUT THIS REGISTRATION IS FOR BUILDINGS ONLY. >> Roy: I DON'T KNOW HOW IT'S A WIN/WIN. AGAIN, I'VE TACKED TO SO ME PEOPLE -- TALKED TO SO MANY PEOPLE THAT TAKE PRIDE IN THEIR NEIGHBORHOOD AND THERE'S ALWAYS ONE OR TWO THAT LET THEIR HOUSE GO, THEY DON'T KNOW WHO OWNS IT, AND IT'S AN EYE SORE AND IT'S DANGEROUS. THEIR CHILDREN, YOU KNOW, CAN GET IN THERE, THERE'S A LOT OF THINGS THAT CAN GO ON, AND THAT'S KIND OF WHAT I'M THINKING ABOUT, ESPECIALLY -- THERE'S NOT A STREET IN SOME SECTIONS OF DISTRICT ONE THAT I DRIVE DOWN THAT I DON'T SEE THIS PROPERTY. >> Dice: IT'S CITYWIDE. >> Roy: YEAH. AND I KNOW SOME OF THE THINGS THAT WE DID ON NORTH BEACH TO CLEAN SOME OF THOSE HOUSES UP YEARS AG DPOO WHEN I FIRST GOT -- AGO WHEN I FIRST GOT INVOLVED IN NORTH BEACH, THERE WERE A LOT OF THOSE HOUSES WE WERE ABLE TO TEAR DOWN. AND IT'S REALLY IMPROVED A LOT. SO THIS IS A TOUGH DECISION, BUT I'M INCLINED TO AT LEAST -- I KNOW IT'S A PROBLEM IN MY DISTRICT, TO SAY MAYBE IF WE GO AHEAD AND DO THIS, BUT LET'S TAKE A LOOK AT IT IN SIX MONTHS, OR EVEN NINE MONTHS. MAYBE NINE MONTHS IS BETTER. >> Mayor Guajardo: YEAH. >> Roy: SO, THAT'S IT. COUNCILMA N HERNANDEZ? >> Hernandez: OKAY. I NEED TO CLARIFY SOMETHING. THERE IS ONE PROPERTY THAT WE DID GO AFTER, AXUALLY, A GROUP OF PROPERTIES UNDER KINGSLY PROPERTIES FOR THE OLD GOLF COURSE WHERE WE DID FILE A FORECLOSURE -- ATTEMPTED TO FILE FORECLOSURE ON. AND IT -- YOU KNOW, STARTED PAYING ATTENTION, BUT THAT WAS A LEGAL DEPARTMENT ISSUE, RIGHT? YOU'RE KIND OF TRYING TO FIX SOMETHING THAT THE LEGAL DEPARTMENT'S NOT DOING. >> Dice: WELL, MY MAIN CONCERN IS NOT THE LEGAL DEPARTMENT NOT DOING SOMETHING, MY CONCERN IS THE PHONE CALL, YOU KNOW, ON SATURDAY NIGHT FROM MRS. CAMPOS THAT A NEIGHBOR HAS A SQUATTER AND SOME ILLEGAL ACTIVITY GOING ON THAT WE NOW HAVE TO HAVE PD GO OUT OR FIRE HAS TO GO OUT BECAUSE IT CAUGHT ON FIRE. >> Hernandez: BUT THAT DOESN'T CHANGE JUST BECAUSE YOU HAVE A REGISTRATION FEE. YOU'RE TRYING TO PUT MORE LAWS ON PEOPLE THAT ARE NOT ABIDING BY THE LAW TO BEGIN WITH. >> Dice: NOT ALL. BUT, AGAIN -- AND I UNDERSTAND YOUR POINT. WE'RE, AGAIN, TRYING TO NARROW THAT GAP. MY GOAL, LIKE I SAID IN THE BEGINNING, IS THAT WE DON'T HAVE THIS IN THE FUTURE. >> Hernandez: I UNDERSTAND. I UNDERSTAND. BUT, YOU KNOW, I THINK WHAT WAS THAT -- IT WAS A RONALD REAGAN QUOTE SAYS T THE CLOSEST THING FOR INFINITY IS A GOVERNMENT PROGRAM OR SOMETHING LIKE THAT, RIGHT? YOU KNOW, IT'S HARD TO GET RID OF THINGS ONCE YOU PUT THEM -- INSTITUTIONALIZE THEM. >> Dice: NO, I UNDERSTAND. >> Hernandez: AND UNTIL WE'RE WILLING TO DO THE LEGAL WORK -- YOU KNOW, BECAUSE WE HAD TO ENGAGE WITH LINE BARKER, JUST TO DO THAT ONE PORTION, AND THEY DON'T DO IT. THEY'RE GOING AFTER THE PEOPLE THAT DON'T PAY TAXES. PROBABLY A LOT OF THESE PROPERTIES ARE IN THE SAME BOAT LIKELY. >> Dice: MORE THAN LIKELY. >> Hernandez: MORE THAN LIKELY. SO WE'RE CREATING ANOTHER GOVERNMENT PROGRAM OF PROPERTY REGISTRATION THAT YOU'LL HAVE TO ADMINISTER FOR -- ON PROPERTIES THAT PEOPLE ARE NOT FOLLOWING THE LAWS TO BEGIN WITH, OR ORDINANCES TO BEGIN WITH. >> Dice: AND, AGAIN, NOT TO BEAT A DEAD HORSE, IT'S MODIFYING AN EXISTING PROGRAM TO MAKE IT BETTER. >> Hernandez: I'M JUST THINKING -- I DON'T WANT TO CREATE MORE BUREAUCRACY THAT PUTS MORE BURDEN ON THEM DO SOMETHING THEY'RE NOT DOING ANYTHING. >> Dice: UNDERSTOOD. >> Hernandez: NOT TO BEAT UP ON YOU, BUCK, BUT UNTIL THEY'RE WILLING TO GO AFTER THE NEXT STEP BECAUSE THEY'RE NOT PAYING THEIR LIENS ON THIS TYPE OF THING, IT'S JUST GOING TO CONTINUE, WHETHER YOU HAVE REGISTRATION OR NOT. THANK YOU. COUNCILMA N BARRERA? >> Barrera: FIRST OFF, I'LL VOLUNTEER. I'M GREAT WITH A WEED WEED EATER. >> Dice: WHAT'S THAT? IF WE HAD MONEY TO PAY YOU. >> Barrera: I'M HAPPY TO HELP WITH ABATEMENT. I'VE ALWAYS THOUGHT THE WORLD OF YOU, YOU DO AMAZING JOB COMING UP WITH THESE CREATIVE SOLUTIONS. I KNOW I HEAR FROM THE BUILDING COMMUNITY, THEY'RE REALLY HAPPY TO HAVE YOU. YOU KNOW, HOWEVER YOUR STOCK DID GO DOWN ONCE MICHAEL MILLER STARTED TO... (LAUGHING) I KNOW HE'S EXCITED ABOUT THAT. >> Dice: I CAN'T PICK MY FANS. >> Barrera: ANYWAY, WHAT IS IT -- YEAH, YOU WANT TO LOVE EVERYBODY. YOU KNOW, THE THING THAT I THINK ABOUT THIS IS THE ADJACENT PROPERTY OWNER. YOU KNOW, THAT'S ALWAYS BEEN MY DEAL, WHAT ABOUT THE RIGHTS OF THE NEIGHBORS WHO MAINTAIN THEIR PROPERTY? YOU KNOW, AND PARTICULARLY -- YOU KNOW, IN SOME OF THE OLDER NEIGHBORHOODS WHEN I WAS A DISTRICT COUNCILMAN, YOU'LL HAVE LIFELONG RESIDENTS THERE, SENIOR CITIZENS AND YOU'LL ZESEE ROSE BUSHES AND THINGS THEY TAKE CARE OF AND THE HOUSE NEXT DOOR IS AN ABSENT OWNER AND THEY'RE NOT TAKING CARE OF IT. I KNOW IT'S TIME, BUT THAT'S THE WHOLE THING. WE'VE HAD A COUPLE OF OCCASIONS WHERE IT'S A SAFETY ISSUE WHERE -- I MEAN, I HAD ONE, SAME THING, RIGHT, DOWN MOODY HIGH SCHOOL WHERE IT WAS A HOME THAT WASN'T REGISTERED AND THE HOUSE BURNED DOWN, AND -- WHAT IS IT -- THERE WAS AN AFFECT TO THE NEIGHBORING -- THE NEIGHBOR. AND SO I -- I -- I LIKE WHERE YOU'RE GOING WITH THIS, I KNOW ESPECIALLY WITH THE FACT THAT, YOU KNOW, WE'VE BEEN CUTTING BACK AND I THINK, YOU KNOW, THE PEOPLE IN CODE ENFORCEMENT, I MEAN, THEY DO GREAT WORK WITH THE LIMITATIONS THAT THEY HAVE. AND IT'S NOT A POPULAR POSITION TO BE IN. AND SO -- >> Dice: WE DON'T GET A LOT OF FAN MAIL. >> Barrera: YOU'RE RIGHT. YOUR TEAM IS JUST AMAZING AND I THINK THIS IS A CREATIVE WAY TO PURSUE IT. AND I DON'T -- I DON'T KNOW THAT RESPONSIBLE PROPERTY OWNERS ARE RESPONSIBLE, YOU KNOW, PEOPLE IN THE REAL ESTATE BUSINESS, THEY WANT THOSE PROPERTIES ABATED BECAUSE IF IT'S NEXT DOOR TO A PROPERTY THAT THEY'RE TRYING TO -- TO -- THEY'VE PUT OUT ON THE MARKET, THEN THEY KNOW THAT THOSE INDIVIDUALS, ALL IT DOES IS IT BRINGS DOWN THEIR PROPERTY VALUES. SO OBVIOUSLY, I SUPPORT THIS AND THANK YOU FOR BRINGING IT TO US. >> Mayor Guajardo: MICHAEL, QUICK QUESTION, DO WE KNOW HOW MANY OF THESE HOMES ARE INSIDE CITY LIMITS, OUTSIDE CITY LIMITS. >> Dice: APPROXIMATELY -- WELL, WE ONLY DO THINGS INSIDE THE CITY LIMITS. 1380 IS ON OUR CURRENT LISTING. >> Mayor Guajardo: OKAY. SO 13 D 1380 ARE ALL INSIDE? >> Dice: YES. >> Campos: [OFF MIC] >> Dice: I'M SORRY? >> Mayor Guajardo: DO THEY -- >> Vaughn: ARE THEY OUTSIDE PEOPLE THAT LIVE OUT OF. >> Dice: OH, DO THEY LIVE OUTSIDE. I THOUGHT YOU MEANT ARE THE HOMES. I DON'T HAVE THE BREAKDOWN. THERE IS QUITE A BIT THAT HAVE SOME OUTSIDE OWNERSHIP BUT I CAN GIVE YOU THAT ANSWER. WE HAVE A COMPLETE SPREADSHEET OF ALL OF THAT. AND THE INFORMATION WE GET IS FROM NUECES COUNTY APPRAISAL. COUNCILWO MAN PAXSON. >> DAVID BLACK MAN, POLICE DEPARTMENT. FIRST, COUNCILMAN HERNANDEZ, YOU'RE RIGHT, I THINK I BROUGHT THIS FORTH PROBABLY EIGHT YEARS AGO WITH TRACY AND IT DIDN'T GET A LOT OF TRACTION THEN, AND I WILL SAY THEN AND I'LL SAY NOW, IT'S SOMETIMES HARD DECISIONS ARE HARD TO MAKE, BUT I BELIEVE THAT THIS PROGRAM IS ACTUALLY A BENEFIT. AND THERE ARE A LOT OF PROPERTY OWNERS THAT OWN HOUSES THAT LIVE OUTSIDE THIS CITY. WE HAVE -- WE HAVE ABSENTEE SLUM LORDS THAT BUY BULK PROPERTIES, AND I'LL USE MR. WOOLSON AS AN EXAMPLE. THAT HE HAD OVER 100 PROPERTIES AND HE HAS SOLD THEM TO A CORPORATION OUT OF HOUSTON WHO HAS DONE NOTHING WITH THEM. I MET -- DURING THE TRANSFER, WHEN THEY TRANSFERRED THE PROPERTY NAMES AND HE ASSURED US BACK THEN -- ISN'T THAT CORRECT, TRACY -- THAT HE WOULD MAINTAIN THESE PROPERTIES. AND HE'S DONE NOTHING. SO WHAT WE END UP DOING IS WE END UP MAINTAINING THESE PROPERTIES FOR THEM AT SUCH A TIME WHERE WE CAN GET THEM TO THE BUILDING STANDARDS BOARD AND HAVE THEM DEMOLISHED. SO IF YOU HAVE THE PLEASURE OF DRIVING INTO DOUBT ON 286 AND YOU SEE THE TWO BURNED OUT PROPERTIES AT MORRIS AND CROSSTOWN. THAT WAS THERE. IT'S MARXMAN BROTHERS OUT OF HOUSTON. THERE'S A LOT MORE LIKE THAT, WHETHER YOU'RE GOING IN THE NORTH SIDE OR THE WEST SIDE OF CORPUS OFF AGNES AND MORGAN, THESE PROPERTIES ARE EVERYWHERE SO COUNCILMAN YOU'RE RIGHT. THERE ARE SOME SINGLE FAMILIES, THERE ARE SOME GENERATIONAL HOMES. THERE ARE A LOT OF PROPERTIES THAT PEOPLE FROM OUTSIDE THIS CITY PRAY ON THIS COMMUNITY, KNOWING THAT WE DO NOT HAVE THE STRENGTH TO HOLD THEM ACCOUNTABLE. AND IF IT COSTS THEM MONEY TO HAVE TO REGISTER THIS PROGRAM. I THINK THE GOAL OF THE PROGRAM IS NOT JUST TO GENERATE REVENUE, IT'S' THER -- YOU EITHER GET THESE HOUSES BACK INTO PRODUCTION, IT'S GOING TO COST YOU MONEY, OR YOU NEED TO DEMOLISH THEM. SO THAT'S KINDS OF THE LONG ANSWER TO A SHORT QUESTION, MAYOR. >> Mayor Guajardo: IT'S A GREAT ANSWER. THANK YOU. COUNCILWOMAN PAXSON? >> Paxson: MIKE, MY HAT'S OFF TO YOU AND YOUR TEAM. YOU ARE STEPPING UP TO THE PLATE ON A PROBLEM THAT IS SYSTEMIC AND THERE'S NOT A GREAT ANSWER FOR, SO I APPRECIATE THAT. I REALLY DO. I CAN'T SAY THAT ENOUGH. PERSONALLY, I DON'T LIKE THE IDEA OF PROPERTY REGISTRATIONS AND I CERTAINLY DON'T LIKE THOSE ATTACHED TO A FEE. THAT'S WHY -- YOU KNOW, THAT COUPLED WITH MY INTEREST AND MY REGARD FOR THE CORPUS CHRISTI ASSOCIATION OF REALTORS, THOSE ARE KIND OF MY TWO CORNERSTONES ON THIS ITEM RIGHT NOW, BUT TO ME, WHAT WE'RE, IN ESSENCE SAYING, IS YOU GUYS HAVE VERY ACCURATELY IDENTIFIED THERE IS A PROBLEM SAMPLE WITHIN A CATEGORY OF PROPERTIES. SO TO ME, I DON'T THINK THAT WE NEED TO APPLY A REGISTRATION AND ASSOCIATION WITH A FEE TO THE ENTIRE POPULATION OF THIS CATEGORY, I THINK IT WOULD BE MUCH MORE EFFICIENT, PERHAPS, KIND OF TO COUNCILMEMBER HERNANDEZ'S WORDS IS IF WE TAKE THOSE TOOLS THAT WE HAVE IN ORDINANCES RIGHT NOW AND WE HONE IN ON THOSE ONES THAT ARE TROUBLE CHILD. BECAUSE THAT'S KIND OF WHAT WE'RE ASKING TO DO IS -- YOU KNOW, YOU'RE SAYING WE WANT TO TRY TO PREVENT IT FROM HAPPENING, BUT IF THOSE AREN'T THE TROUBLED CHILD'S, I DON'T THINK WE NECESSARILY NEED TO GO DOWN THAT WHOLE PATH OF REGISTRATION AND FEE. TAKE THE WUNGS ONES WE KNOW ARE A TROUBLED CHILD AND HONE IN ON THEM. THERE'S A LOT OF THEM, BUT THEY'RE THE SAMPLE FOR THE POPULATION, THEY'RE NOT THE COMPLETE TOTAL. SO I THINK MAYBE -- MY PREFERENCE WOULD BE TO MOBILIZE WHAT WE ALREADY HAVE IN OUR TOOL SHED FOR FOLKS WHO ARE COSTING RESOURCES, WHO ARE -- LIKE WE JUST HEARD FROM THE POLICE DEPARTMENT, TAKING ADVANTAGE OF OUR RESOURCES. HONE IN ON THOSE WITH WHAT'S IN OUR ARYS NATURAL AND TAKE CARE OF THAT. I'M NOT IN FAVOR OF A REGISTRATION AND A FEE. AND I -- I SYMPATHIZE WITH THE THOUGHT OF LET'S TRY IT FOR A SHORT PERIOD OF TIME, BUT THE REALITY IS, WE HAVE THESE TOOLS AND THEY'RE NOT WORKING, ADDING ANOTHER LAYER I DON'T FEEL A LOT OF HOPE FOR, BUT I RECOGNIZE THAT YOU'RE TRYING TO FIX SOMETHING THAT CITIES EVERYWHERE ARE GRAPPLING WITH, AND I APPLAUD THAT. BUT MY PREFERENCE WOULD BE GO THROUGH THE ROUTE WE ALREADY HAVE, HONE IN ON THAT, WHATEVER WE CAN DO THERE, DON'T WORRY ABOUT BUILDING MORE THINGS FOR YOUR DEPARTMENT TO DO. THAT KIND OF THING. >> Dice: UNDERSTOOD. >> Paxson: BUT THANK YOU VERY MUCH MIKE. COUNCILMA N CANTU? >> Cantu: HOW MANY ABANDON HOMES DO WE HAVE IN CORPUS CHRISTI. >> Dice: ON VACANT BUILDING LIST WE HAVE 13,080. 1,003,180. >> Cantu: WOW. OKAY. QUICK QUESTION, CHIEF. DO YOU GUYS SUPPORT THIS? >> YES, SIR, COUNCILMAN. WE EXPEND A LOT OF HOURS WORKING HAND IN HAND. >> Cantu: SO YOU SUPPORT THIS. >> WE DO SUPPORT THIS, AND WE'RE GOING TO BE WORKING WITH THEM ON THIS. >> Cantu: PERFECT. I SUPPORT YOU GUYS, SO I'LL TAKE MY MOTION BACK. CAN I DO THAT. >> Mayor Guajardo: YEAH, YEAH. RETRACT. >> Cantu: RETRACT, THERE YOU GO. >> Mayor Guajardo: WELL, IT SOUNDS LIKE, YOU KNOW, WE'RE TAKING -- I'M NOT GOING TO BELABOR THIS. >> Barrera: I MOVE FOR APPROVAL. >> Mayor Guajardo: BUT WE'RE TAKING POLICE AND FIRE AWAY. THE TAXPAYER IS PAYING FOR PEOPLE WHO ARE NOT BEING RESPONSIBLE FOR THEIR OWN PROPERTIES. THESE ARE -- THIS DOESN'T AFFECT PROBABLY ANYONE IN THIS ROOM, SO TO ME, I -- IT'S A NO-BRAINER, I THINK WE TRY, IT IS A DIFFICULT -- IT'S A DIFFICULT PROBLEM. AND I'M SURE IT EXISTS EVERYWHERE, BUT IF YOU CAN, YOU KNOW, RECOVER -- WE DON'T HAVE THE MANPOWER TO JUST GO IN ON ONE PROPERTY AFTER ANOTHER AFTER ANOTHER. YOU HAVE TO ANSWER ALL OF OUR CALLS AND TRY TO ADDRESS THIS PROBLEM WITH VACANT HOMES. SO ANYHOW, OKAY. WE HAVE A MOTION, WE HAVE A SECOND. PLEASE SUBMIT -- OH, PUBLIC COMMENT. ANYBODY LIKE TO MAKE COMMENT ON ITEM NUMBER 16? >> HENRY WILLIAMS, DISTRICT ONE. LET'S SEE, IF YOU WOULD, COULD YOU TELL US WHAT THE CURRENT LAW STATES WITH REGARD TO THE VACANT BUILDINGS? YOU KNOW, WITH REGARD TO, YOU KNOW, THE FEES AND SO FORTH. >> Mayor Guajardo: THE CURRENT LAW, YOU WOULD LIKE THE CURRENT -- WELL, THE -- BUCK, MAYBE HE NEEDS TO TALK TO YOU ABOUT IT. >> THE REASON THAT I'M ASKING THAT IS THAT I AM IN DISTRICT ONE AND WE HAVE AN ELDERLY GENTLEMAN WHOSE 90 PLUS YEARS OLD, AND HE OWNS SEVERAL PROPERTIES. AND HE IS NOT ABLE TO KEEP THESE PROPERTIES UP, OKAY. AND WE HAVE A NEIGHBORHOOD ASSOCIATION HILLCREST RESIDENTS ASSOCIATION, AND WHAT I WOULD LIKE IS THAT IF HE IS IN VIOLATION OF THE LAWS, IF YOU COULD CONTACT US AND ALLOW US, YOU KNOW, TO HELP, YOU KNOW, WORK WITH THE CITY, OKAY, BEFORE THE FEES, THE LIENS AND ALL OF THAT BEGINS TO TAKE PLACE WHERE HE IS CONCERNED. DO YOU FOLLOW ME? >> Mayor Guajardo: WE DO. AND I THINK YOU CAN HAVE A GREAT CONVERSATION WITH STAFF AFTER AND THEY CAN CERTAINLY WORK SOMETHING OUT TO ADDRESS THAT. >> OKAY. THANK YOU. >> Mayor Guajardo: THANK YOU, SIR. >> DAVID LOWE, DISTRICT 2. IT'S WHAT I GET FOR SHOWING UP EARLY TO -- I THOUGHT I WOULD WAIT FOR WATER BUT MY NAME GOT MENTIONED, SO... YOU KNOW, MY FIRST ENTRANCE INTO THIS ISSUE WAS WHEN I WAS ON COUNCIL I HEARD SOMEBODY BRAGGING ABOUT HOW THEY NEVER MOWED THE VACANT LOTS THEY OWNED BECAUSE THE CITY WOULD DO IT CHEAPER AND THEY COULD JUST OCCASIONALLY PAY OFF THE LEANS. AND SO OUR RESPONSE WAS, WE TRIPLED THE MOWING COSTS TO MAKE SURE. AND SO I MEAN, I THINK IN A LOT OF WAYS, YOU'RE ALL RIGHT. YOU KNOW, I THINK -- I THINK STAFF'S POINT IS THEY WANT TO GIVE PEOPLE AN OPPORTUNITY TO COMPLY AND IF THEY DON'T START STACKING THE BILLS UP, YOU KNOW, ONE OF THE ISSUES ON LINEBARGER IS THEY GO DOWN THE LIST FROM THE TOP TO THE BOTTOM, SO THE OLDER NEIGHBORHOODS IN TOWN WHERE THE REAL ESTATE ISN'T WORTH AS MUCH, THOSE ARE THE LAST ONES TO GO ON THE AUCTION BLOCK AND GET SOLD OFF. AND SO THEY GET WORSE AND WORSE. YOU KNOW, I KNOW IN MY PERSONAL LIFE, THE NUMBER ONE THING THAT A COWORKER OR A FRIEND ASKED ME IS THEY'LL GO, EVENTUALLY THEY'LL CALL ME AND THEY'LL SAY, THERE'S THIS ONE HOUSE ON MY STREET AND WE ALL TALK ABOUT IT AND WHAT CAN WE DO ABOUT IT? AND SO I MEAN, I THINK IN A LOT OF WAYS, THIS IS -- THIS IS STACKING UP THE TILL, SO THEN YOU CAN GO AND TAKE IT AND TRY TO SELL IT TO SOMEBODY WHO WILL DO SOMETHING WITH IT BECAUSE IT IS A BLIGHT ON EVERYBODY ELSE'S PROPERTY VALUES AND THEIR LIVABILITY AND ALL THE CRIME THAT COMES WITH IT. IT'S A HUGE -- I MEAN, IF YOU TOTAL UP THE EXPENSE OF ALL THOSE POLICE AND FIRE CALLS, IT'S MILLIONS OF DOLLARS A YEAR COMING STRAIGHT OUT OF YOUR GUYS' BUDGET. BUT AS A PROPERTY OWNER, I CAN UNDERSTAND THE CONCERN. YOU KNOW, THIS CAME UP ON THE FIRST VACANT BUILDING ORDINANCE THAT WE DID DOUBT DOWNTOWN THAT ENDED UP HELPING OUT A LOT BUT THERE WAS A CONCERN AS TO HOW DO YOU DEFINE VACANT. IN MY BUSINESS, WE TURN OFF THE WATER AND GAS METERS WHEN A SPACE IS UP FOR LEASE BECAUSE NOBODY'S IN IT ALL THE TIME, SO IF THERE'S A LEAK, IT CAN DO A LOT OF DAMAGE. IT'S AN EXPENSE TO KEEP THE METERS ON. WE KEEP THE ELECTRICAL ON AND, OF COURSE, WE HAVE TO KEEP PAYING STORMWATER NO MATTER WHAT, SO I WOULD IMAGINE THAT, YOU KNOW, THERE IS PROBABLY THE CONCERN THAT YOU ARE HEARING IS PEOPLE WHO ARE CONCERNED ABOUT DIFFERENTIATING SOMETHING THAT IS NOT OCCUPIED AND IS FOR SALE AND RENT VERSUS SOMETHING THAT IS ABANDONED AND VACANT AND NOT BEING TAKEN CARE OF. AND SO I THINK IF YOU -- IF YOU ARE ABLE TO SEPARATE THOSE TWO GROUPS EFFECTIVELY, I DON'T THINK YOU HAVE ANY CONCERN BECAUSE, YOU KNOW, PROPERTY INVESTORS ABSOLUTELY WANT THEIR NEIGHBOR TO TAKES A GOOD OF CARE OF THEIR PROPERTY AS THEY DO. THEY WANT VALUES TO BE SUSTAINED, THEY WANT OUR COMMUNITY TO BE A NICE AND LIVABLE PLACE, SO, YOU KNOW, I THINK THERE'S A LOT OF INTEREST IN WORKING WITH Y'ALL ON THIS, SO THANK YOU. >> Mayor Guajardo: THANK YOU. ANYONE ELSE? >> RACHEL CABALLERO, D1, I'M HERE ON BEHALF OF THE CORPUS CHRISTI TAXPAYERS ASSOCIATION, JUST TO ADD TO MAYBE ANOTHER SUGGESTION IS THESE COMMERCIAL PROPERTIES, FOR EXAMPLE, DOWNTOWN, WE HAVE A LOT OF VACANT COMMERCIAL PROPERTIES, MAYBE WE CONSIDER FINING THESE COMPANIES WHO ARE NOT FILLING THEIR COMMERCIAL PROPERTIES FAST ENOUGH, WHETHER THEY HAVE UTILITIES, WASTEWATER OR ELECTRIC SERVICES PROVIDED TO THEM OR NOT. I MADE -- I HAD TO SEND A MESSAGE YESTERDAY TO CCPD ASKING BECAUSE THERE'S A VACANT PROPERTY DOWNTOWN THAT SHOULD BE VACANT AND IS NOT. SOMEBODY GOT AHOLD OF THE KEYS AND THEY ARE ENTERING AND LEAVING THE PROPERTY, SO WE'RE THINKING IT' IT'S EITHER A SQUATTING SITUATION OR A DRUG SCENARIO. SO I THINK THAT IT WOULD BE BENEFICIAL FOR -- IF THIS IS GOING TO BE CONSIDERED, THAT WE -- GOING BACK TO THE BEGINNING IS THAT WE FOCUS A LITTLE BIT ON THE RESIDENTS BUT WE ALSO HAVE TO FOCUS ON THE COMMERCIAL PROPERTY OWNERS THAT ARE ALLOWING THESE BUILDINGS TO STAY VACANT BECAUSE FOR MANY DIFFERENT REASONS, THEY DON'T LIVE HERE, THEY DON'T CARE, THEY HAVE MULTIPLE PROPERTIES THAT ARE COVERING THE RENTS AND UTILITIES, BUT WE'RE LOSING SALES TAX, WE'RE LOSING MIXED BEVERAGE, DEPENDING ON IF THERE'S A RESTAURANT IN THERE, SO IT'S SOMETHING TO CONSIDER TO INCLUDE COMMERCIAL PROPERTY OWNERS. THANK YOU. >> Mayor Guajardo: THANK YOU. ANYONE ELSE? OKAY. WE'LL CLOSE PUBLIC COMMENT. COUNCILWOMAN, YOU HAD A -- >> Campos: THANK YOU, MAYOR. YEAHING. YEAH. I JUST WANTED TO ASK, SINCE I'VE BEEN KIND OF ON THE CRIME PREVENTION, WHAT IS IT WE COULD DO WITH CRIME PREVENTION MONEY, AND SINCE CHIEF BLACKMAN, RIGHT, STATED THAT IS A BIG ISSUE, I'M WONDERING IF THERE'S ANYTHING THAT CAN BE WORKED OUT, CAN COME OUT OF CRIME, THE CRIME PREVENTION BUDGET TO HELP OUT WITH THESE PROPERTIES? YOU OPENED THE DOOR. >> I APPRECIATE YOU ASKING ME THAT. THANK YOU. COUNCILWOMAN, GREAT QUESTION, SO EVERY -- THE DPOS, EVERYBODY, THE POLICE OFFICERS WHO ARE -- THE DPOS WERE AN ORIGINAL FUNCTION OF THE CRIME CONTROL DISTRICT AND THESE ARE THE OFFICERS THAT WORK WITH CODE ENFORCEMENT, WORK ON THESE VACANT BUILDINGS, GET THESE CRIMINAL TRESPASS SIGNS, OUR BIKE PATROL PROGRAM, THE BIKE PATROL OFFICERS ARE THE ONES THAT CAN GO OFFROAD WHERE MANY OF THESE PROPERTIES ARE OVERGROWN, THESE HOUSES THAT ARE IN NEGLECT, THAT THEY CAN GET TO AND SO RIGHT NOW A LOT OF YOUR CRIME CONTROL MONIES THAT PAYS FOR SALARIES HAS BOUGHT EQUIPMENT AND STUFF, IT IS BEING UTILIZED TO ADDRESS THESE THINGS. >> Campos: WELL, I'M JUST WONDERING IF THERE'S MAYBE -- LIKE MICHAEL IS THINKING OUTSIDE THE BOX, I'M JUST CHALLENGING THE POLICE DEPARTMENT TO KIND OF WORK TOGETHER WITH THEM A LITTLE BIT MORE AND SEE WHAT WE CAN -- >> YES, MA'AM. AND, YOU KNOW, I'M GLAD YOU ASKED THE QUESTION, BECAUSE IT IS -- THE POLICE DEPARTMENT DOES HAVE TO BE INVOLVED IN THIS. >> Campos: UH-HUH. >> THIS IS NOT ONLY A DRUG ISSUE, IT'S A QUALITY OF LIFE ISSUE, AND WE SPEND A LOT OF TIME DEALING WITH QUALITY OF LIFE, SO WE'RE VERY MUCH INVOLVED IN THIS. LIKE I SAID, NOT ONLY THE POLICE DEPARTMENT BUT THE OFFICERS AT THE CRIME CONTROL DISTRICT HAS FUND AND WE WILL CONTINUE TO BE INVOLVED. >> Campos: WELL, LIKE I'M CHALLENGING, OR LIKE I BROUGHT UP LIKE I SAID BEFORE, SOME OF THESE FAMILIES THAT END UP, YOU KNOW, LIVING THE EARTH AND LEAVING THE EARTH AND DON'T HAVE A WILL, IF THERE'S A NONPROFIT OUT THERE THAT IS WILLING TO HELP OUT THESE FAMILIES, THAT WOULD BE GREAT. I DON'T KNOW OF ONE, BUT IF THERE IS, PLEASE, HELP US OUT. >> Mayor Guajardo: I'LL ENTERTAIN A MOTION TO APPROVE THE ORDINANCE. >> City Secretary: THERE'S A MOTION AND SECOND ON THE FLOOR. >> Mayor Guajardo: OH. I'M SORRY. LET'S SUBMIT OUR VOTE NOW. THANK YOU. OKAY. THE MOTION CARRIES. ITEM NUMBER 17 IS AN ORDINANCE AMENDING CORPUS CHRISTI CODE SECTION 18-2 OUTSIDE CITY LIMITS FIRE DEPARTMENT RESPONSE SERVICE FEE AND UPDATING THE RATE SCHEDULE FOR PERSONS OUTSIDE OF THE CORPUS CHRISTI CITY LIMITS. >> OKAY. THANK YOU, BRANDON WADE, FIRE CHIEF. THIS IS AN UPDATE TO THE OUTSIDE CITY LIMITS FIRE DEPARTMENT RESPONSE FEE, SO THIS IS FOR NONRESIDENTS, OR BUSINESSES THAT FALL OUTSIDE THE CITY LIMITS THAT ARE NOT COVERED EITHER BY THE CITY OR BY AN EMERGENCY SERVICE DISTRICT. AND THERE'S KIND OF SOME SMALL AREAS IN THE COUNTY THAT HAS THAT, AND WHEN THAT -- THERE'S AN INCIDENT THAT OCCURS, OFTENTIMES IT'S CORPUS CHRISTI FIRE DEPARTMENT THAT WILL RESPOND TO THESE OUTSIDE THE CITY LIMIT AREAS, SO WE NEEDED TO UPDATE SOME LANGUAGE THAT WAS INSIDE THE ORDINANCE AND ALSO UPDATE THE FEES WITH IT, THE CURRENT RATES. SO WITH THAT, WE HAD A METHODOLOGY THAT LOOKED AT THE RESPONSE READINESS FEE, SO THAT IS US JUST BEING READY EVERY DAY TO RESPOND THAT, YOU KNOW, THE TAX DOLLARS GO TO FOR THE CITY, BUT DOES NOT HAVE THAT SAME TAX FOR THOSE THAT ARE OUTSIDE THE CITY. WE ALSO LOOKED AT THE FEE FOR SERVICE, THE COST OF EQUIPMENT AND THEN THE MILEAGE. SO ALL OF THAT WENT INTO THE CALCULATION FOR THIS. SO WITH THE RESPONSE READINESS FEE, WHAT WE LOOKED AT IS THIS IS A FEE IN LIEU OF THE TRADITIONAL TAXES. OBVIOUSLY AGAIN THEY'RE OUTSIDE CITY LIMITS, AND THIS IS BASED ON TOTAL COST TO PROVIDING SERVICES IN A NUMBER OF TAX PARCELS WITHIN THE CITY LIMITS, AND YOU CAN SEE WHERE WE UPDATED THE NUMBERS TO BE MORE ACCURATE TO CURRENT TIMES. WITH THE FEE FOR SERVICE, THIS IS WHERE WE LOOKED AT THE HOURLY RATE FOR OUR FIREFIGHTERS, THE OFFICERS, THE DRIVERS, THE BATTALION CHIEFS, THE INDIVIDUALS THAT ARE GOING TO BE RESPONDING TO THE INCIDENT. AGAIN, WE NEEDED TO UPDATE THE SALARIES IN IT AND THE -- THEIR HOURLY RATES. SO, AGAIN, IT WILL BE DEPENDING UPON CALL WHEN YOU LOOK AT THIS. OBVIOUSLY, IF WE GO TO A FIRE IN THE COUNTY, YOU'RE GOING TO GET A LOT MORE RESOURCES THAN IF IT WAS, YOU KNOW, MAYBE A -- SOMEBODY THAT FELL OR GOT HURT AND A FIRE TRUCK IS GOING OUT TO GO PICK THEM UP. THAT'S A TOTALLY DIFFERENT RESPONSE THAN IT IS FOR A FULL FIRE RESPONSE. WITH THE COST OF EQUIPMENT, WHAT WE LOOKED AT WAS THE -- BASED ON THE FEMA SCHEDULE OF EQUIPMENT RATES, SO THE APPARATUS AND EQUIPMENT COST WILL VARY, AS I SAID, DEPENDING ON THE CALL TYPE AND HOW MANY RESOURCES WE SEND AND WHAT WE DO IS WE TAKE THE COST OF EQUIPMENT AND MULTIPLY IT BY THE NUMBER OF HOURS THAT WE'RE ENGAGED IN THE CALL. LAST, WE DO PUT A MILEAGE ON IT. AGAIN, OUR FOLKS ARE GOING OUTSIDE THE CITY IN RESPONSE, AND THAT IS WEAR AND TEAR ON THE EQUIPMENT THAT WE SEND, SO WE BASE THAT ON THE ANNUAL IRS RATE FOR MILEAGE. WITH THAT, THE NUMBER OF RESPONDING UNITS, AGAIN, AND THE MILEAGE RATE WE PUT IT FOR THERE, AND THAT'S AT 67 CREPTS. CENTS. AND WITH THAT, I STAND BY FOR ANY QUESTIONS. >> Mayor Guajardo: I DON'T THINK WE HAVE ANY QUESTIONS, CHIEF WADE. A AT THIS POINT I'M GOING TO OPEN PUBLIC COMMENT. IS THERE ANYONE THAT WOULD LIKE TO MAKE PUBLIC COMMENT ON ITEM NUMBER 17. OKAY. THERE BEING NO ONE, WE'LL CLOSE PUBLIC COMMEN COMMENT -- COUNCILMAN HERNANDEZ. >> Hernandez: CHIEF, I KNOW WE HAD TALKED ABOUT THIS PREVIOUSLY IN REGARDS TO THIS IS OUTSIDE THE CITY LIMITS SO WE WANT TO ADDRESS SOME OF THE THINGS THAT ARE OUTSIDE THE CITY LIMITS BESIDES JUST PEOPLE'S HOUSES. BUT THE INDUSTRIAL DISTRICTS. AND COULD YOU KIND OF SPEAK TO THAT. >> Chief Wade: I CAN FOR SURE. THIS IS FOR RESIDENTS THAT ARE OUTSIDE, BUT ALSO BUSINESSES THAT ARE OUTSIDE. AS YOU SPEAK ABOUT THE INDUSTRIAL AGREEMENTS, THERE ARE SOME INDUSTRY THAT ARE -- WITH THE IDA, THEY DO PAY, I THINK IT'S ROUGHLY 15% INCREASE AND IT WILL PROVIDE FOR SOME FIRE SERVICE, BUT THERE'S ALSO INDUSTRY THAT HAS THEIR OWN FIRE DEPARTMENT, WHERE THEY CONTRACT WITH THE REFINERY TERMINAL FIRE COMPANY AND IF WE RESPONDED TO THOSE THAT ARE CONTRACTING WITH SOMEBODY ELSE AND THEN THEY NEEDED OUR HELP AND THEY DIDN'T PAY THAT EXTRA 15%, THEN WE WOULD PROVIDE A CHARGE. OFTENTIMES, THEY HANDLE THEIR OWN EMERGENCIES INSIDE BECAUSE THEY HAVE EITHER THE REFINERY TERMINAL THERE WITH THEM OR THEY HAVE THEIR OWN FIRE DEPARTMENT, AND THEY USUALLY HANDLE IT. IT WOULD BE FOR THE ONES THAT DON'T HAVE THAT AND THAT DON'T PAY THE FEE. THAT'S THE ONES WE WOULD CHARGE. >> Hernandez: OKAY. THANK YOU. >> Chief Wade: YOU'RE WELCOME. >> Mayor Guajardo: OKAY, CHIEF WADE. THANK YOU. I'LL ENTERTAIN A MOTION TO APPROVE ITEM NUMBER 17. >> Cantu: SO MOVED. >> Barrera: SECOND. >> Mayor Guajardo: OKAY. WE HAVE A MOTION AND A SECOND. PLEASE SUBMIT YOUR VOTE. THE MOTION CARRIES. ITEM NUMBER 18 IS AN ORDINANCE AMENDING CORPUS CHRISTI CODE SECTION 18-20 AMBULANCE RATES AND UPDATING THE ADJUSTMENT OF AMBULANCE RATES, RATES AND SUPPLEMENTARY CHARGES SECTIONS. >> Chief Wade: OKAY, BRANDON WADE, FIRE CHIEF. I'M GOING TO BRING UP OUR ESTEEMED COLLEAGUE HERE CHIEF URBAN WHO SOUR RE IS OUR EXPERT IN AMBULANCE BILLING AND ANSWER ANY QUESTIONS YOU MAY HAVE. >> GOOD AFTERNOON, KENNY URBAN, CORPUS CHRISTI FIRE, DEPUTY CHIEF. I KNOW THERE'S ALWAYS A CONCERN WHEN IT TALKS ABOUT BILLING, ESPECIALLY WHEN RAISING OUR RATES ON EMS. AND SO I WANT TO GIVE YOU A LITTLE BIT OF A HISTORICAL CONTEXT AND KIND OF REITERATE, I KNOW WE'VE SPOKE ON THIS BEFORE ON WHAT THESE RATES MEAN AND HOW THEY'RE USED. SO BACK IN FISCAL YEAR '16 AND CHANGE IN FISCAL YEAR '17, OUR ORDINANCE, WE CHANGED THE ORDINANCE QUITE DRAMATICALLY THEN. REALLY TO HELP MATCH -- BETTER MATCH WHAT THE MEDICARE ALLOWABLES WERE SET AT THE TIME, AND WHAT WE'RE REALLY ALLOWED TO BILL WHEN IT COMES TO EMS BILLING. AT THAT TIME WE WERE -- IT HADN'T BEEN UPDATED IN NINE YEARS. I BELIEVE WE HAD 72 DIFFERENT CHARGES, THAT ORDINANCE WENT FIVE, 10 PAGES WITH THAT. AND IT'S REALLY NOT HOW -- AN EFFICIENT WAY TO BILL, SO WE UPDATED THAT. AND COINCIDENTLY IF FISCAL YEAR '16, THE CITYWIDE DID A FEE STUDY ON WHAT IT COSTS US TO PROVIDE CERTAIN SERVICES AND EMS WAS INCLUDED IN THAT. AND SO WE TOOK THAT OPPORTUNITY TO RESTRUCTURE OUR FEES AND WHAT YOU SEE NOW AND IN THAT STRUCTURE, AND THAT IS TO HELP SHOW, AND PART OF IT'S A TRANSPARENCY FOR US TO SHOW THE PUBLIC THIS IS HOW MUCH IT COSTS TO PROVIDE THE SERVICE. AND THE SOAB SHUNS IN THERE ON FEE ESCALATION, WE WANTED TO FIND -- OKAY, WE HADN'T UPDATED IT IN NINE YEARS AND WHICH CAN'T DO A FEE STUDY EVERY YEAR. THE BEST WAY TO DO THAT IS TO HAVE AN OBJECTIVE MEASURE ON HOW MUCH IT COSTS EACH YEAR TO PROVIDE THAT SERVICE. AND, YOU KNOW, THE WIDELY USED CONSUMER PRICE INDEX IS AVAILABLE TO US, AND SO WHAT WE DID AT THAT TIME IS WE TOOK A VERY SPECIFIC PART OF THE CONSUMER PRICE INDEX, WHICH IS THE SOUTHERN REGION MEDICAL CARE. AND SO IN OUR ORDINANCE THEN IT WAS VERY NOVEL, WE PROPOSED TO TAKE THE BASE RATES, WHICH WE HAD JUST PAID FOR TO GET CALCULATED, AND INCREASE THAT ANNUALLY BASED ON THE CONSUMER PRICE INDEX IN THE SOUTH REGION FOR MEDICAL CARE, VERY SPECIFIC TO OUR REGION AND VERY SPECIFIC TO THAT SERVICE. AND THAT WORKED WELL FOR US. SINCE THEN, OTHER CITIES AROUND THE COUNTRY AND OTHER SERVICES HAVE KIND OF USED THAT AS A BASE AND AS A BEST PRACTICE, SO MUCH SO THAT THE -- IT'S BEEN ADDRESSED IN THE FEDERAL GOVERNMENT -- NOT QUITE PASSED YET, AND SO THIS LAST LEGISLATIVE SESSION FOR TEXAS IN SENATE BILL 916, THEY PASSED SOME LANGUAGE THAT WOULD LIMIT MUNICIPALITIES AND OTHER GOVERNMENTAL ENTITIES THAT PROVIDED EMERGENCY MEDICAL SERVICES TO LIMIT THEIR ANNUAL FEE INCREASES TO THE AMBULANCE INFLATION FACTOR. AND THE AMBULANCE INFLATION FACTOR IS A CALCULATION BASED -- WHILE OUR ORDINANCE IS LOCAL TO US, THAT IS BASED ON CONSUMER PRICE INDEX MEASURES NATIONALLY, AND THAT IS PUBLISHED EVERY FALL BY THE CENTER FOR MEDICARE AND MEDICAID SERVICES. AND IN THIS LEGISLATION, THEY SAID THEY LIMIT IT TO YOU CAN ONLY USE THE AMBULANCE INFLATION FACTOR EVERY YEAR AND IT CAN BE NO MORE THAN 10% OF YOUR PREVIOUS YEAR'S RATES, WHICH VERY CLOSELY MATCHES WHAT OUR CURRENT ORDINANCE IS. IT JUST CHANGES THE ACTUAL PERCENTAGE FROM SOUTHERN REGION CONSUMER PRICE INDEX TO AMBULANCE INFLATION FACTOR THAT IS DONE FOR US, OURS IS LIMITED TO 5%. NOW LEGISLATION TH SAYS 101ST. ALL WE'RE DOING IS CHANGING THE LANGUAGE IN THAT OSHED NANS TO MATCH THE BILL. COINCIDENTALLY CALCULATING THE SOUTHERN REGION CPI FOR MEDICAL CARE IS 2.4%. THE CENTER FOR MEDICARE AND MEDICAID SERVICES AMBULANCE INFLATION FACTOR IS 2.4%. THIS YEAR REGARDLESS OF THOSE CALCULATIONS USED, IT WOULD COME UP WITH THE SAME NUMBER. AND SO WHAT WE'RE DOING TO CONTINUE TO SHOW THE COST OF SERVICE FOR PROVIDING MORNING EMERGENCY MEDICAL CARES WE'RE RAISING EACH OF THOSE RATES ACCORDING TO OUR ORDINANCE BY 2.4%, AND THESE ARE OUR BASE CHARGES AND THEN OUR SUPPLEMENTARY CHARGES AND ALL THOSE ARE SUBJECT TO THAT ANNUAL FEE ESCALATION. I KNOW, JUST TO ANSWER SOME CONCERNS THAT I KNOW ARE OUT THERE FOR Y'ALL AND THE PUBLIC, THESE REPRESENT THE COST, OUR GROSS CHARGES THAT WE WILL CHARGE. EACH PAYOR OR INSURANCE PAYOR HAS AN AMOUNT THAT IS ALLOWABLE AND THAT WILL CHARGE. MEDICARE HAS THEIRS, COMMERCIAL INSURANCE HAVE AN AVERAGE COMMERCIAL RATE AND THEY'LL BRING THAT GROSS CHARGE DOWN BY MANDATORY ADJUSTMENT AND THAT'S WHAT WE PAY. NO SURPRISE BILLING ACT SAYS WE CANNOT CHARGE THE REST OF IT TO THE PATIENT, THAT WOULD BE A NO SURPRISE BALANCE BILLING THAT WE'RE NOT ALLOWED TO DO. IF SOMEONE WHO'S UNABLE TO PAY THEIR BILL, THEY DON'T HAVE MEDICAL INSURANCE, THAT'S 24 TO 26% OF OUR POPULATION, WE HAVE ANOTHER ORDINANCE CALLED OUR CHARITY CARE BILL -- CHARITY CARE POLICY, AND IF THEY, YOU KNOW, MAKE LESS THAN 400% OF THE FEDERAL POVERTY LEVEL AND WITH NO INSURANCE, WE WRITE THEIR BILL OFF 100%. SO -- AND THAT IS SUBMITTED TO THE FEDERAL GOVERNMENT AND STATE GOVERNMENT FOR REIMBURSEMENT EACH YEAR. AND THAT'S THE END OF MY PRESENTATION. STAND BY FOR QUESTIONS. >> Mayor Guajardo: OKAY. I DON'T SEE ANY QUESTIONS OR COMMENTS. WE'RE GOING TO GO AHEAD AND OPEN PUBLIC COMMENT. IS THERE ANYONE IN THE AUDIENCE THAT WOULD LIKE TO MAKE COMMENT ON ITEM NUMBER 18? OKAY. THERE BEING NO ONE, WE'LL CLOSE PUBLIC COMMENT. >> Barrera: I MOVE FOR APPROVAL. >> SECOND. >> Mayor Guajardo: OKAY. WE HAVE A MOTION, WE HAVE A SECOND. PLEASE SUBMIT YOUR VOTE. OKAY. THE MOTION CARRIES. ITEM NUMBER 19 IS AN ORDINANCE AMENDING CORPUS CHRISTI CODE SECTION 36-7 RENTAL RATES AND RECREATION FEES AND SECTION 12-83 MARINA FEE SCHEDULE TO UPDATE FEES. >> GOOD AFTERNOON, MAYOR AND COUNCIL. I AM ROBERT DODD, THE DIRECTOR OF PARKS AND RECREATION. SO OUR FEE ADJUSTMENTS ARE BASED ON CHANGES IN THE LOCAL MARKET INFLATION INCREASED COST OF MATERIALS AND PERSONNEL. THIS IS WHAT WE BASE THIS ON. STAFF CONDUCTED REVIEWS WITH STAFF -- OTHER STATE MUNICIPALITIES AND DETERMINED THAT PARKS AND RECREATION FEES WERE USUALLY ON THE LOWER END OF THAT MARKET. AS WE MOVE FORWARD, THERE'S SOME MARINA CHANGES INCLUDE KATA MILES AN HOUR RAND SLIP RENTALS, ON/OFF TRAILERS AND SOME ELECTRICITY USAGE. AND PARKS AND RECREATION FEES AND POOL PARTIES LOCATED AT BILL WITT, CHANGES IN OUR AFTER HOUR KID POWER AS WELL AS SOME NEW FEES AT OSO BAY WETLANDS AND THE AMPHITHEATER AND CLASSROOM RENTAL OUT THERE AT THAT AREA. AND THAT'S -- IF THE THERE THERE'S ANY QUESTIONS ON THE MARINA OR ANYTHING, I'M HERE TO ANSWER. >> Mayor Guajardo: ROBERT, CAN YOU GO BACK TO THE FIRST PAGE, PLEASE. I'M SORRY, THE FIRST PAGE -- YEAH, THERE YOU GO. >> YES, MA'AM. >> Mayor Guajardo: YOU WANT TO GO TO THE NEXT ONE. >> THIS IS, AGAIN, COMMUNITY CENTERS LATCH KEY AFTER OUR KID POWER, SOME OF THOSE PRICE INCREASES, AND THE OSO BAY WETLAND PRESERVES. >> Mayor Guajardo: CAN YOU TELL US A LITTLE BIT MORE ABOUT THE -- THE INCREASES FOR LATCH KEY, WHAT DIRECTLY IS THAT GOING TO IMPACT. >> AFTER HOUR KID POWER, SO THIS IS CHILDREN ARE -- THEY GO FROM 3:00 TO 6:00 OR 3:30 TO 6:30 SO IT'S A THREE-HOUR DAILY THAT THEY GO TO THE SCHOOL USUALLY THAT THEY'RE AT, SO THAT'S THREE HOURS A DAY, 15 HOURS A WEEK, YOU KNOW, 60 HOURS A MONTH I WOULD ASSUME, AND THIS IS A DOLLAR -- OR $125 A MONTH. SO WE'RE LOOKING AT FOR A LICENSED PROGRAM THAT WE HAVE, THAT WE USE. WE'RE LBSED IN THOSE SCHOOLS IT'S ABOUT $2 AN HOUR IF THEY USE ALL 60 HOURS OF THAT MONTH. SOME OF THE OTHER FEES, TOO, THE DAILY DROP-IN AT AFTER HOUR KID POWER, LAST YEAR WE HAD 1300 REGISTERED PARTICIPANTS THAT WERE I IN THE AFTER HOUR KID POWER. WE HAD A TOTAL OF TWO DROP INS AT OUR 21 SCHOOLS OF THOSE 13. THE REASON WE'RE RAISING THAT FEE IS TO MAXIMIZE THE STATE FUNDING. THEY'RE GOING TO PAY UP TO $29. WE WERE AT 25, SO WE WERE ONLY GETTING 25. SO WE'RE GOING TO RAISE THIS TO 30 SO WE CAN MAXIMIZE THE STATE FUNDING AT -- I THINK THEY PAID $29. $29.50 SO WE CAN MAXIMIZE THOSE FEES AS WELL. COUNCILMA N CANTU -- HE'S GOT A QUESTION SO WE'LL WAIT FOR HIM TO COME BACK. >> Scott: HE ASKED ME TO LEAVE IT ON, MAYOR. I DON'T KNOW WHAT TO DO. COUNCILWO MAN VAUGHN? >> Vaughn: I'LL ASK ONE. THE LATCH KEY IS WHAT I WAS INTERESTED IN AS WELL. THAT'S NOT A BAD PRICE FOR A MONTH. >> $125. >> Vaughn: THAT'S REALLY ACTUALLY REALLY GOOD. DO THEY GET ANYTHING TO EAT DURING THAT PERIOD? IS. >> I THINK WE GIVE THEM SNACKS AND TH THINGS LIKE THAT. THEY GET SNACKS. A LOT OF TIMES SOMETIMES THE SCHOOLS HAVE TUTORIALS, WE'RE THERE, OUTSIDE ACTIVITIES, ACTIVITIES INSIDE THE CAFETERIA OR WHEREVER THEY'RE MEETING FOR THAT TIME THAT'S BETWEEN THE END OF SCHOOL AND WHEN THEIR PARENTS HAVE GOT TO PICK THEM UP. >> Vaughn: I JUST THINK THAT'S SO IMPORTANT. >> YES, MA'AM. >> Vaughn: THAT'S VERY CHEAP. THANK YOU. >> YES, MA'AM. >> Mayor Guajardo: WILL Y YOU -- >> I'LL MOVE ON. I GUESS I CAN HIGHLIGHT, YOU KNOW, THE VENDOR PERMITS HERE ON CC BEACH, GULF BEACHES, THOSE ARE FOR FOOD TRUCKS, MERCHANDISE VENDORSES, BEACH RENTAL EQUIPMENT. THIS IS -- THEY HAVE THE EXCLUSIVE RIGHT TO BE DOWN THERE DURING THIS. THERE'S A TOTAL OF 17 DIFFERENT PLACES BETWEEN -- I THINK THERE'S 11 AT GULF BEACHES, TWO AT McGEE BEACH AND SEVERAL AT NORTH BEACH, SO, AGAIN, THEY HAVE EXCLUSIVE RIGHTS TO THESE AREAS. AND I HAVE -- I KNOW THERE'S BEEN SOME DISCUSSION ON RAISING THAT FEE OR NOT, BUT I WANT YOU TO KNOW ON THE GULF BEACHES, THERE'S 11 LOCATIONS. BETWEEN MAY 26TH AND AUGUST THE TENTH OF THIS YEAR, WE HAD 540,000 VISITORS THERE, SO WE'RE PUTTING -- WE'RE SETTING THEM UP IN A PRETTY GOOD SPOT TO BE ABLE TO VEND THEIR PRODUCT. NORTH BEACH, WATER'S EDGE PARK AND McGEE BEACH WHICH HAS FOUR LOCATIONS, WE HAD, AGAIN, BETWEEN MAY 26 AND AUGUST 10TH, WE HAD 500,000 VISITORS THERE. AT COLE PARK, THERE'S TWO LOCATIONS. AGAIN, BETWEEN MAY 26TH AND AUGUST 10TH, WE HAD 445,000 VISITORS THERE, SO THIS IS -- THERE'S ALWAYS A WAITLIST, WE GO THROUGH -- WE HAVE A COMMITTEE THAT PICKS THE PLACES. WE USE OUR PARKS DEPARTMENT, ECONOMIC DEVELOPMENT AS WELL AS VISIT CORPUS CHRISTI TO PUT THESE VENDORS IN THAT AREA. SO WE MAINTAIN THE AREAS, WE PICK UP TRASH AROUND THAT AREA, THEY GET VERY GOOD CROWDS, SO THIS IS SOMETHING THAT THE VENDORS WANT TO BE AT AT ALL OF THESE LOCATIONS. >> Mayor Guajardo: OKAY. COUNCILMAN CANTU? >> Cantu: THANK YOU, MAYOR. LATCH KEY PROGRAMS, DOES THE STATE OR THE CITY HELP THE MOTHERS AND FATHERS FOR LATCH KEY, OR THEY JUST PAY FULL PRICE? IS THERE LIKE A WORK PROGRAM FOR -- LIKE A WORKFORCE PROGRAM TO HELP PAY LASH KEY LATCH KEY FOR PARENTS. >> THAT WAS THE STATE FUNDING I WAS REFERRING TO EARLIER, IT'S THROUGH WORKFORCE. >> Cantu: IS THERE A WAITING LIST FOR THAT? >> THERE'S A WAITLIST FOR OUR PROGRAM AFTER HOUR KID POWER, I DON'T KNOW FOR WORKFORCE. >> Cantu: THAT'S THE ONLY THING I DON'T LIKE, IS TO GO UP ON THE RATES ON LATCH KEY BECAUSE THERE'S A LOT OF SINGLE PARENTS TRYING TO MAKE IT AND DAY CARE'S VERY EXPENSIVE. >> YES, SIR. AND WE OFFER SCHOLARSHIPS AS WELL. YOU KNOW, AT $75 A MONTH. AGAIN, 125 FOR THE MONTH IS ABOUT $2 AN HOUR. IF THEY'RE NOT ABLE TO GO THROUGH WORKFORCE, WE DO OFFER SCHOLARSHIPS AT $75 A MONTH, SO I MEAN, WE WORK WITH QUITE A FEW DIFFERENT TYPES OF SITUATIONS. >> Cantu: AND THEN THERE'S NO CHANGES ON -- I DIDN'T HEAR YOU TALK ABOUT FOOD TRUCKS, RIGHT? NOTHING ON THE FOOD TRUCKS OR LOCATIONS FOR FOOD TRUCKS. >> YES, SIR. I'M SORRY. SO WE HAVE 11 LOCATIONS AT GULF BEACHES. >> Cantu: YES. OKAY. >> OKAY. AND MENTIONED EARLIER, WE HAD 540,000 VISITORS BETWEEN MAY 26TH AND AUGUST 10TH. SO, AGAIN, WE'RE MAINTAINING THE AREA, WE'RE PICKING UP TRASH THERE, AND WE GIVE THEM EXCLUSIVE RIGHTS TO THOSE AREAS ON THE GULF BEACHES. NORTH BEACH, WATER'S EDGE PARK AND McGEE BEACH IS FOUR LOCATIONS. AGAIN, AROUND 500,000 VISITORS IN THAT AREA, SO, YOU KNOW, IT'S QUITE THE PROCESS TO GET THESE VENDORS, AND THERE'S A LONG LIST OF PEOPLE THAT ARE WAITING TO GET ONTO THESE LOCATIONS. >> Cantu: DO YOU GUYS HAVE A PROBLEM WITH COLLECTING FOR LATCH KEY? >> CONNECTING FOR LATCH KEY, NO SIR. >> Cantu: NO? OKAY. OKAY. THANK YOU. COUNCILWO MAN PAXSON? >> Paxson: THANK YOU, MAYOR. ROBERT, I SAW THAT THERE SEEMS TO BE LIKE ON SLIDE 5 UNDER LATCH KEY, THERE'S A NEW ADMINISTRATION FEE, THERE'S A RENTAL PROCESSING FEE ON SLIDE 6, IT JUST SEEMS -- COULD YOU SPEAK TO THAT? BECAUSE WE'RE ALREADY PROPOSING GOING UP ON RATES, AND NOW WE'RE ADDING ADMIN FEES. >> RIGHT. THE THE ADMIN FEE FOR AFTER HOUR KID POWER, OBVIOUSLY WE GET THE PHONE CALLS, WE HAVE TO FILL OUT PAPERWORK, THERE'S LOTS OF THINGS TO GET READY. THE APPLICATION FEE ON THE PERMITS AND ON THE BOTTOM THERE, THAT'S -- IS THAT WHAT YOU'RE REFERRING TO, THE APPLICATION FEE, I'M SORRY ON THE BOTTOM OF PAGE SIX? >> Paxson: ON PAGE 6, THERE'S A RENTAL PROCESSING FEE THAT'S CALLED NEW. >> EXACTLY. YES MA'AM. AND THAT'S -- YOU KNOW, WHEN THESE PEOPLE WANT TO USE WEST GUTH AND -- WE GET SEVERAL PHONE CALLS, WE HAVE TO SCHEDULE, WE HAVE TO MAKE SURE THAT, YOU KNOW, THEY HAVE THE THINGS THAT THEY NEED TO HAVE THEIR PARTY, WE -- AGAIN, WE HAVE TO HAVE PEOPLE DOWN THERE TO CLEAN BEFORE AND CLEAN AFTER, BUT, YOU KNOW, THIS IS AN ADMINISTRATIVE COST. IT TAKES SOME TIME FROM OUR STAFF TO DO THAT. >> Paxson: BUT IN ADDITION TO THE RATE INCREASES, LIKE TO DO BOTH AT THE SAME YEAR? >> YES, MA'AM. I MEAN, I -- ONE IS IN THE OFFICE DEALING WITH THAT ISSUE AND WE HAVE SOME OTHERS -- YOU KNOW, THE OTHER IS FOR OUR STAFF THAT'S MAINTAINING THE AREA AND GETTING THE AREA READY. >> Paxson: OKAY. ON 5, I -- I FEEL LIKE I BROUGHT IT UP DURING THE WORKSHOP, AND I KNOW YOU GUYS ARE TRYING TO REFLECT BUSINESS COSTS, LIKE I GET THAT, BUT I -- I HAVE -- I JUST HAVE A HARD TIME DIGESTING THESE LATCH KEY AND YOUTH CAMP, THOSE KIND OF FEE INCREASES. I MEAN, I KNOW $14 A KID OR SO DOESN'T SOUND LIKE MUCH, BUT IF YOU'VE GOT THREE KIDS OR -- IT'S STARTING TO ADD UP, YOU KNOW. >> YES, MA'AM. AND I UNDERSTAND IT, AND I UNDERSTAND THAT WE DO HAVE ADDITIONAL CHILDREN THAT'S A CHEAPER. THE FIRST CHILD IS 125, THE NEXT CHILD IS 108. YOU KNOW, AND THAT'S -- I UNDERSTAND. BUT I STILL THINK WE -- WE HAVE A -- WE HAVE A LICENSED PROGRAM THAT WE'RE CERTIFIED BY THE STATE TO CARRY THIS PROGRAM OUT, AND AT MOST, IT'S GOING TO COST A LITTLE OVER $2 AN HOUR FOR EACH CHILD THERE. >> Paxson: WOULD YOU -- DO YOU HAVE -- AND MAYBE YOU DO, I DON'T KNOW. DO YOU HAVE A SLIDE ON THE END OF YOUR SLIDE DECK THAT SHOWS THIS YEAR VERSUS -- LIKE THE YEAR WE'RE CLOSING VERSUS THE PROPOSED INCREASES, WHAT THE DELTA IS THAT'S ON HAND RIGHT NOW? I DIDN'T BRING MY BUDGET BOOKS WITH ME TO LOOK AT A COMPARISON. MY END-ALL QUESTION WOULD BE, WE'RE ADDING TO OUR GRANTS DEPARTMENT, WE FILLED A ROLE, WE'VE ADDED A NEW ROLE, COULD YOU SURVIVE PAUSING A FISCAL YEAR ON THIS, EXCEPT MAYBE FOR YOU'VE GOT SOME FACILITIES HERE THAT ARE BRAND-NEW, SO WE NEED TO GET THOSE IN THERE, BECAUSE THEY JUST HAVEN'T EXISTED BEFORE, THAT'S DIFFERENT, BUT ON THESE RATE INCREASES, PAUSING THIS, GETTING OUR GRANT GUYS ON, SEEING WHAT WE COULD OFFSET -- >> ARE YOU SAYING PAUSE ALL OF OUR FEES, ALL OF OUR FEE INCREASES? >> Paxson: THE ONES FOR THE PROGRAMS. >> OH, JUST AFTER HOUR KID POWER. >> Paxson: YEAH. >> I WAS HEAR LAST WEEK WHEN Y'ALL WERE HAVING DISCUSSION, WE HAVE AN INTERNAL -- WE JUST -- WE JUST GOT A LADY SIGNED, WE HAVE AN INTERNAL GRANTS COORDINATOR IN OUR DEPARTMENT NOW THAT'S GOING TO WORK EXCLUSIVELY WITH PARKS AND RECREATION. AND, YOU KNOW, AFTER HOUR KID POWER HAS BEEN SELF-SUSTAINING FOR -- YOU KNOW, RIGHT BEFORE DURING COVID I THINK THEY HIT IT, AND COMING BACK THESE COUPLE YEARS THAT WE GOT BACK FROM COVID, YOU KNOW, THEY STRUGGLED A LITTLE BIT. BUT LATCH KEY IS SELF-SUSTAINING. COSTS ARE GOING UP AND -- >> Paxson: NO, I TOTALLY UNDERSTAND THAT. I'M JUST CURIOUS, YOU KNOW, FOR -- ON SECTION 2, SLIDE 4, FACILITY SETUP, SPECIAL USAGE FEE. WE GO FROM 100 TO 600. >> AND THAT'S -- THAT'S AT OUR SWIMMING POOL. THAT'S MOVING AND COUNCILMAN HERNANDEZ WILL KNOW ABOUT THAT, THAT'S MOVING 50-METER PULL AND TURNING IT INTO 100-METER PULL. >> Hernandez: 25 TO 50. >> 25-METER PULL TO A 50-METER PULL. WE HAVE TO TAKE THE BULKHEAD DOWN, AND IT'S ABOUT A -- I WOULD SAY A FOUR OR FIVE-HOUR PROCESS WHERE WE HAVE TO HAVE OUR LIFE GUARDS AND OUR -- OUR SUPERINTENDENTS DOWN AND IT'S $100, WHEN WE WENT THROUGH THIS EARLIER THIS YEAR WITH SOMEBODY THAT WAS HAVING A -- I DIDN'T REALIZE IT WAS THAT MUCH OF AN OVERTAKING, BUT $100 IS A STEAL FOR SURE. $600 IS PROBABLY MORE WITH THE PERSONNEL THAT WE HAVE THERE AND THE ISSUE OF HAVING TO MOVE THAT OUT OF THE NATATORIUM OUTSIDE IS JUST A HUGE TURNOVER. >> Paxson: HOW MANY TIMES A YEAR DO YOU HAVE TO DO THAT? >> WE DID IT THIS YEAR FOUR TIMES. >> Paxson: SO IT'S A VERY SMALL MARKET THAT'S INTERESTED. >> YES, MA'AM. IT'S A CERTAIN SEASON, I THINK. A SWIM SEASON. RIGHT NOW THEY'RE SWIMMING 25 METERS FULL. DURING MARCH/APRIL TO WHEN? MARCH/APRIL UNTIL THE START OF THE SUMMER THEY SWIM 50-METER. >> Paxson: ARE THESE GROUPS, ARE THESE LEAGUES FOR CUSTOMERS? >> I WOULDN'T CALL THEM LEAGUES. THEY ARE GROUPS OF SWIMMING ORGANIZATIONS OF YOUTH. >> Paxson: IT JUST SEEMS LIKE FOR THAT SINGLE DELTA RIGHT THERE, THAT'S A PRETTY STEEP CLIMB FOR ONE YEAR. >> YES, MA'AM. IT'S A HUGE TURNOVER TO DO THAT AT THE NATATORIUM. >> FOR THIS COST, IT IS 100% RECOVERY. SO WHEN WE TOOK WHAT IT COST FOR STAFF TO GO IN THERE AND CHANGE THAT FROM 25 TO 50, SOMETIMES IF WE NEVER WANT TO CUT OUR LAP SWIMMING HOURS. THEY'LL COME IN AT 8:00 AT NIGHT AND FINISH AT MIDNIGHT, SOMETIMES 1:00 IN THE MORNING. THERE'S 100% RECOVERY COST JUST TO GET THAT POOL UP AND READY. >> Paxson: ARE WE GOING TO LOSE THOSE FOUR WITH THIS KIND OF A HIKE? >> WE DON'T BELIEVE SO. >> Paxson: HAVE WE ENGAGED THEM AT ALL? >> THEY ARE AWARE WE WANT TO RAISE THESE PRICES. I DON'T KNOW IF THEY HAVE SEEN THE $600 YET BUT THEY ARE AWARE. >> Paxson: IS THAT SOMETHING WE CAN SAY IF YOU TRIED THIS RATE AND PEOPLE ARE SAYING I'M NOT SIGNING UP FOR THIS, MAYBE HALF IT. MAYBE GO BACK TO THE DRAWING BOARD. I'M NOT ARGUING THAT $600 ISN'T A TRUE COST BUT $100 TO $600 IS A BIG JUMP IN ONE SEASON. >> YES, MA'AM. >> Paxson: THAT WOULD BE MY OVERARCHING QUESTION IS ON THESE PROGRAMS AND THESE TYPE THINGS, IS THAT SOMETHING WE COULD TABLE UNTIL WE GET THOSE -- YOU SAID YOU'VE GOT A DESIGNATED GRANT WRITER NOW. MAYBE WE PAUSE ONE YEAR, GET THEM IN, GET SOME OF THIS COST RECOVERED. I DON'T HAVE IT IN FRONT OF ME WHAT THE DELTA IS BETWEEN 25-26, WHAT THAT VALUE IS THAT THEY COULD POSSIBLY RECOVER TO THE DEPARTMENT TO OFFSET. >> Mayor Guajardo: COUNCILWOMAN CAMPOS. >> Campos: THANK YOU, MAYOR. I JUST REALLY WANTED TO FOCUS ON THE LATCHKEY. WHAT ARE SOME OF THE HOOPS THAT YOU HAVE TO GO THROUGH TO QUALIFY FOR SOME OF THE PROGRAMS LIKE, YOU KNOW, IF THEY CAN'T AFFORD THESE PRICES? IF THEY CANNOT AFFORD THE 120 -- WELL, IT'S 109 NOW AND YOU'RE PROPOSING 125. >> SO 109 -- >> Campos: WHAT DO THEY HAVE TO GO THROUGH TO APPLY FOR THESE, FOR THE FEE? >> THE TEXAS WORKFORCE, CORRECT? >> Campos: NO, JUST PEOPLE IN GENERAL. IF THEY CAN'T AFFORD THIS LATCHKEY FEE, WHICH, YOU KNOW, SOME PEOPLE BELIEVE THAT IT IS VERY LOW, VERY REASONABLE. BUT IT MAY NOT BE TO A LOT OF OUR COMMUNITY. YOU KNOW, TO THE COMMUNITY LIVING HERE. JUST WONDERING WHAT IS IT THAT THEY WOULD HAVE TO GO THROUGH TO GET HELP? >> IT'S REALLY NOT A WHOLE LOT THEY HAVE TO GO THROUGH. IF THEY DON'T QUALIFY TEXAS WORKFORCE COMMISSION, WE HAVE A SEPARATE FORM THAT'S SIMILAR TO THAT THAT'S ALL INTERNAL DOCUMENT. WE LOOK AT EVERYTHING AND THAT'S WHERE WE COME UP WITH THAT SCHOLARSHIP RATE AT THE $75 AN HOUR. THERE'S NOT A LOT OF HOOPS TO GO THROUGH COUNCILWOMAN. IT'S -- I THINK THE HARDEST PART IS STILLING OUT THE PAPERWORK FOR SOME OF OUR PEOPLE. >> Campos: DO WE HAVE A BIG PERCENTAGE OF FAMILIES THAT CAN'T AFFORD THE LATCHKEY? >> NO, MA'AM. I THINK I WAS JUST CHECKING BEFORE I GOT IN HERE. I THINK WE USUALLY AVERAGE AROUND SIX PER MONTH. NOT FAMILIES, JUST SIX CHILDREN IN TOTAL THAT WOULD SAY THEY'RE ON SCHOLARSHIP. >> Campos: OKAY. REALLY? >> YES, MA'AM. >> Campos: OKAY. AND I'M JUST WONDERING WHAT ELSE THE DROP-IN -- OKAY. AND I DON'T WANT TO PUT YOU ON THE SPOT BUT I GUESS I AM, ROBERT. THE BEN GARZA GYM -- NOT THE BEN GARZA BUT THE JOE GARZA GYM THAT I HAD ASKED YOU ABOUT THAT THERE IS A COUPLE OF MONTHS WHERE THERE IS NO PROGRAM AND YOU SAID, WELL, IT'S BECAUSE THERE'S NO KIDS. MAYBE THERE'S NO KIDS BECAUSE THERE'S NO PROGRAM. SO HOW CAN WE FIX THAT? >> JOE GARCIA IS USED YEAR ROUND FOR OUR SENIOR PROGRAM. >> Campos: RIGHT. >> THEY'LL GO OVER THERE AND EAT. AN AFTER-SCHOOL PROGRAM IS TEN MONTHS OUT OF THE YEAR. THE NAME OF THE ORGANIZATION IS THE WEST SIDE HELPING HANDS OCCUPIES THE BUILDING ADJACENT TO THERE. SO OFFERING SIMILAR YOUTH SUMMER PROGRAMMING ON OUR PART MAY DUPLICATE SERVICES. SO THEY HAVE AN AREA THAT'S RIGHT THERE, THE WEST SIDE HELPING HAND, THAT OCCUPIES THAT BUILDING NEXT DOOR. >> Campos: I HAVE BEEN THERE AND THERE'S NOTHING GOING ON. I WENT INSIDE THE SENIOR CENTER AND THERE'S NOTHING GOING ON. >> THE SENIOR CENTER -- >> Campos: THERE'S NOTHING GOING ON ON THE REC SIDE. >> RIGHT. SO THE REC SIDE WE USE THE CAFETERIA THERE. THAT'S WHERE WE FEED OUR SENIORS DURING THE SUMMER MONTHS. WE ALSO HAVE SOME PROGRAMMING THERE FOR THE SENIORS AS THEY GO FROM -- >> Campos: I'M TALKING ABOUT FOR TEENAGERS AND FOR CHILDREN. >> YES, MA'AM. BUT, SO THE ONLY MONTHS WE DON'T HAVE AT JOE GARZA ARE JULY AND AUGUST. AGAIN, WE DIDN'T WANT TO DUPLICATE SERVICES WITH THE WEST SIDE HELPING HAND ASSOCIATION THAT'S RIGHT THERE ADJACENT. >> Campos: MAYBE I NEED TO REVISIT IT AGAIN BECAUSE I DIDN'T SEE ANYTHING GOING ON. HAVE YOU GONE? >> I HAVE NOT PERSONALLY GONE. >> Campos: SO MAYBE WE NEED FO PAY A VISIT. YEAH. >> YES, MA'AM. >> Campos: THANK YOU. >> Mayor Guajardo: COUNCILWOMAN VAUGHN. >> Vaughn: COUNCIL, WE SHOULD ALL LOOK AT THIS AUDIENCE RIGHT NOW. WE ARE LITERALLY PUTTING THEM TO SLEEP WITH ALL THESE BIG, LONG QUESTIONS. MINE'S VERY SHORT. DID YOU CONTACT THE VENDORS TO LET THEM KNOW THAT YOU WERE RAISING THE RATES? JUST ASKING. >> NO, MA'AM. WE HAVE NOT CONTACTED THEM. >> Vaughn: THEY MIGHT HAVE BEEN UP HERE PROTESTING IS THE REASON I'M ASKING YOU. I THINK IN THE FUTURE WE NEED TO DO THAT. I'M WITH COUNCILWOMAN PAXSON OVER THERE ON THE ADMINISTRATIVE FEE. YOU HAVE SOMEBODY IN YOUR OFFICE THAT'S AN ADMINISTRATOR. THEY ARE THERE ANSWERING THE PHONE. TO ME, THAT'S JUST NOT NECESSARY. THAT'S JUST ME. THANK YOU. >> YES, MA'AM. >> Mayor Guajardo: COUNCILMAN HERNANDEZ. >> Hernandez: TO CORRECT IT, AT THE NATATORIUM, IT'S 25 YARDS WIDE AND 50 METERS LONG. THE AMERICAN IS BY YARDS. INTERNATIONAL IS METERS. RIGHT? SO DURING THE OLYMPICS, WHICH IS IN THE SUMMER, THEY DO LONG COURSE, WHICH IS 50 METERS. AND SHORT COURSE IS 25 YARDS BECAUSE, YOU KNOW, WE'RE AMERICANS. WE LIKE DIFFERENT MEASUREMENTS. >> I'M A SINKER, NOT A SWIMMER. [LAUGHTER] >> Hernandez: I'M NOT GOING TO GO THERE. HOWEVER, I REFLECT ON THE IMPORTANCE OF SWIMMING, SO IF YOU'RE NOT A GOOD SWIMMER, I SUGGEST YOU TAKE SWIM LESSONS. >> YES, SIR. PARKS AND REC OFFERS THAT. >> Hernandez: IT WOULD BE FUNNY THAT YOU'RE RESPONSIBLE FOR SWIMMING LESSONS AND YOU STRUGGLE SWIMMING. THAT WOULD BE WEIRD. LOOKING AT THIS IN TERMS OF RESERVATIONS, THE SETUP FEE GOING FROM $100 TO $600, A LOT OF THIS SHOULD HAVE BEEN RECOVERED IN THE TERMS OF WHAT THAT DOES FOR IN SETTING THESE THINGS UP. AND MOST OF THESE THINGS ARE FOR USA SWIMMING EVENTS WHERE THEY BRING PEOPLE DOWN FROM, YOU KNOW, SAN ANTONIO, AUSTIN, AND UP FROM THE VALLEY TO PARTICIPATE IN A SWIM COMPETITION. THE LONG COURSE SWIMMING, WHETHER IT'S B OR A CHAMPIONSHIPS. THAT BRINGS A LOT OF MONEY TO THE CITY OF CORPUS CHRISTI IN TERMS OF HOTEL STAYS, RESTAURANTS, HOTEL OCCUPANCY TAX, THAT KIND OF STUFF. YOU KNOW, I HOPE THAT THIS IS NOT A DETERRENT FOR US TO BE, YOU KNOW, FOR US TO HOLD THESE EVENTS AT THE NATATORIUM. YOU KNOW, I WOULD ASK BEFORE THIS SECOND READING OF THIS THAT YOU PROVIDE A BREAKDOWN OF WHAT THAT SETUP COST IS. IT'S REMOVING THE BULKHEAD AND PUTTING OUT THE LINES. HOW DO YOU REMOVE THAT BULKHEAD? I'M ASSUMING YOU HAVE THE PULLEYS IN THE CEILING AND YOU SLIDE IT OVER AND YOU CHANGE OUT THE LANE LINES TO WHERE THEY'RE ALL THE WAY ACROSS THE POOL INSTEAD OF DOWN THE CENTER. >> RIGHT. >> Hernandez: I'D LIKE TO SEE THAT BEFORE APPROVING THIS THE NEXT CYCLE. BECAUSE, LIKE I SAID, THOSE THINGS DO PROVIDE A LOT OF MONEY TO THE CITY THROUGH THOSE EVENTS BECAUSE, YOU KNOW, 70% OF THOSE PARTICIPANTS AREN'T RESIDENTS OF CORPUS CHRISTI. >> YES, SIR. >> Hernandez: THANK YOU. >> Mayor Guajardo: OKAY. I THINK THAT'S ALL THE QUESTIONS AND COMMENTS, ROBERT. THANK YOU. I'M GOING TO OPEN PUBLIC COMMENT. IS THERE ANYONE IN THE AUDIENCE THAT WOULD LIKE TO COMMENT ON ITEM NO. 19? >> THIS IS A PERFECT EXAMPLE OF BUDGETS BEING MORAL DOCUMENTS AND OUR COUNCIL -- >> City Secretary: CAN YOU STATE YOUR NAME? >> ISABEL ARAIZA, DISTRICT 2. OUR COUNCIL CENTERING INDUSTRY BEFORE PEOPLE. YOU ARE NICKELING AND DIME WORKING-CLASS PEOPLE. AND MAYBE IT'S JUST A COUPLE OF BUCKS BUT YOU KNOW THE MINIMUM WAGE HAS NOT INCREASED SINCE 2009. SINCE 2009. AND MAYBE THE REASON WHY THERE'S ONLY SIX PEOPLE ASKING FOR A VOUCHER IS BECAUSE THEY CAN'T MAKE IT TO THE WORKFORCE TO FILL OUT THE APPLICATION, TO BE DENIED BY THEM TO THEN ASK FOR YOUR MONEY FOR THE PARKS AND RECREATION PROGRAM. AND IT'S NOT DUPLICATING SERVICES WHEN WE HAVE A PARKS AND RECREATION. WE SHOULD BE PROVIDING THOSE SERVICES TO OUR COMMUNITY AT AN AFFORDABLE PRICE. AND IF IT'S NOT AFFORDABLE, USE THE CRIME CONTROL AND PREVENTION DISTRICT MONEY BECAUSE THE CRIME RATES GO UP BETWEEN 3:00 AND 6:00 WHEN KIDS GET OUT OF SCHOOL AND THEY DON'T HAVE THINGS TO DO. THE GYM BACK THERE IS EMPTY. THAT NONPROFIT IS MAKING A LIVING OFF OF THOSE DUES. KIDS HAVE TO DRIVE ON A BUS ALL THE WAY DOWN TO LINDALE CENTER. WHEN WE WERE GROWING UP WE WALKED ACROSS THE STREET. IN THE SUMMER WE GOT UP IN THE MORNINGS AND WE WALKED -- >> MAYOR, LOUD AND BOISTEROUS. >> AND YOU'RE A POS. THIS IS BULL -- [PROFANITY] >> Mayor Guajardo: OH, MY GOD. WOW. [PROFANITY BY THE SPEAKER] >> SUSIE LUNA SALDANA, CORPUS CHRISTI TEXAS. YOU KNOW, I COME TO TALK TO YOU ABOUT LATCHKEY. AND THE REASON I'M COMING TO TALK TO YOU ABOUT IT IS BECAUSE YOU ONLY HAVE SIX PEOPLE THAT ARE APPLYING FOR THE SCHOLARSHIPS. YOU WANT TO KNOW WHY? BECAUSE THE OTHER PEOPLE CANNOT PAY TO BE IN LATCHKEY. $109 YOU THINK IS REASONABLE FOR YOU? IT IS NOT REASONABLE FOR OTHER PEOPLE. WE HAVE PEOPLE AND CHILDREN GOING HOME TO EMPTY HOUSES BECAUSE THEY CANNOT AFFORD LATCHKEY. SO YOU MAY BE ABLE TO PUT IT ON THE PEOPLE THAT ARE THE WORKING POOR. THEY NEED LATCHKEY BECAUSE THEY HAVE TO WORK THOSE EXTRA HOURS TO BE ABLE TO DO IT. WHEN YOU UP IT $25 FOR THEM, YOU'RE MAKING THEM WORK TWO TO THREE EXTRA HOURS. I WANT YOU TO THINK ABOUT THAT. THINK ABOUT THE FACT THAT LATCHKEY ITSELF NEEDS HELP TO PROVIDE LOWER PRICES SO THAT WE CAN GET THE KIDS THAT NEED TO BE THERE. I SEE THEM AT THEIR HOMES BECAUSE THEY CANNOT COME TO LATCHKEY. THEY CANNOT AFFORD TO PAY THOSE FEES. THEY MIGHT BE SMALL FOR YOU, THEY'RE LARGE FOR THEM. I WISH YOU WOULD TAKE THAT INTO CONSIDERATION. AND THE POLICE DEPARTMENT HAS NOTHING TO DO WITH IT BECAUSE THEY DO A DARN GOOD JOB. THANK YOU. >> Mayor Guajardo: THANK YOU. >> MAYOR, JUST A POINT HERE. I WANT TO MAKE SURE I GET THIS CORRECT. THE AFTER-HOUR DROP-IN RATE -- AGAIN, WE HAD 1300 PEOPLE SIGNED UP AND REGISTERED FOR OUR AFTER-HOUR KID PROGRAM LAST YEAR. THE DROP-IN RATE IS A DAILY RATE. IF YOU'RE NOT SIGNED UP, THIS PERSON CAN DROP THEIR KID OFF THAT DAY FOR $30. OR LAST YEAR IT WAS $25. IF THEY'RE NOT REGISTERED, THEY CAN DROP THEIR KID OFF FOR $20. LAST YEAR WE HAD TWO OF THOSE BECAUSE A LOT OF THEM JUST PAID THE MONTH. SO NOW WE HAD TWO DROP-INS WHERE PEOPLE WEREN'T REGISTERED, WEREN'T SIGNED UP. THEY DROPPED THEIR KID OFF AND PAID THAT AMOUNT. THE REASON WE'RE MOVING THIS TO $30 IS BECAUSE THE STATE FUNDING IS FROM WORKFORCE, THEY WILL PAY UP TO $29. SO WE MOVED THAT UP TO $30 JUST TO MAXIMIZE THEIR FUNDING. I DON'T KNOW WHERE THEY GOT SIX FROM BUT THERE WERE TWO DIFFERENT INDIVIDUALS THAT DROPPED THEIR KID OFF FOR ONE DAY AND PAID THE $25 LAST YEAR. >> Mayor Guajardo: WHAT IS IT -- >> YOU GET TO STAY THAT DAY. >> Mayor Guajardo: NO, THE STATE. >> $29 NOW. IF WE HAD A $25 DROP-IN RATE, THEY'RE GOING TO PAY US $25. BUT NOW THAT IT'S $29, WE'RE GOING TO RAISE IT TO $30 SO WE CAN MAXIMIZE THEIR FUNDING. >> Mayor Guajardo: COUNCILMAN ROY. >> Roy: I'M NOT UNDERSTANDING THIS. IF THE STATE PAYS YOU $29, YOU JUST GET THE MONEY FROM THE STATE. YOU'RE GETTING THE MONEY FROM THE STATE AND CHARGING? >> NO, SIR. THIS IS FOR PEOPLE THAT CAN GO TO WORKFORCE AND USE THE WORKFORCE -- >> Roy: SYSTEM? >> SYSTEM, YES. THEY CAN USE THE WORKFORCE SYSTEM. AND 85 -- I WOULD SAY THEY MAKE UP 15% OF OUR PEOPLE. 15% OF THEM ARE WORKFORCE. 85% ARE NON-WORKFORCE CHILDREN THAT GO TO AFTER-HOUR KID POWER. >> Roy: BUT YOU INCREASED THE FEE BECAUSE YOU'RE SAYING THE STATE PAYS YOU $29. >> RIGHT. >> Roy: AND YOU HAD TWO CASES WHERE PEOPLE DROPPED THEIR KIDS IN LAST YEAR. >> THAT WERE NON-WORKFORCE. >> Roy: AND YOU CHARGED THEM 25? >> THEY PAY THEIR $25 FOR THE STATE. >> Roy: WHAT DID THE STATE REIMBURSE YOU? >> THE STATE DIDN'T REIMBURSE US ANYTHING FOR THAT. >> Roy: THAT ONLY REIMBURSE YOU FOR WORKFORCE. >> YES, SIR. >> Roy: WORKFORCE HAS A LOT MORE STAFF. IS THERE ANY WAY THAT YOU COULD BRING -- OR HAVE THE WORKFORCE PEOPLE COME TO YOUR LATCHKEY PROGRAM FOR PARENTS THAT MIGHT BE ABLE TO GET THERE INSTEAD OF GOING ALL THE WAY DOWN TO WORKFORCE? >> I BELIEVE WE HAVE THEM COME OUT TO THE DIFFERENT SCHOOLS THAT WE HAVE. AND THEY'RE AVAILABLE DURING THE REGISTRATION OF AFTER-HOUR KID POWER. >> Roy: THEN THEY WOULD BE ELIGIBLE FOR A REDUCTION IF THEY QUALIFY. >> RIGHT. >> Roy: THANKS. I GOT IT NOW. >> Mayor Guajardo: ANY OTHER COMMENTS OR QUESTIONS? OH, I'M SORRY, ROBERT. COME ON UP. >> JULIAN HERNANDEZ. FIRST TIME HERE, SECOND TIME SPEAKING. FOR ONE, I WANTED TO THANK THE GENTLEMAN FROM THE AMBULANCE SERVICES BECAUSE AS A FIRST-TIME PERSON HERE IT'S HARD TO GRASP WHAT YOU GUYS ARE VOTING ON IN SUCH A SHORT PERIOD OF TIME. BUT WHEN I SAW THIS, OF COURSE I GOT SOME GRANDDAUGHTERS THAT ARE IN VOLLEYBALL. SO MY DAUGHTER DOESN'T HAVE THE TIME TO GO DOWN AND GET THE FEES FOR MY GRANDDAUGHTERS TO PAY FOR THE OFFSET. I SAY THIS -- OF COURSE WE PAY IT BECAUSE WE WANT SOMETHING FOR OUR GRANDDAUGHTERS. SO WE'RE PAYING THE $25 BECAUSE MY DAUGHTER CANNOT. I CAME DOWN HERE WITH SOME CONCERNS WHEN I WAS HEARING ABOUT THE WATER FEE. SO WHEN I WAS WORKING OUT OF TOWN, EVERY MONTH MY FEE, WITH NO ELECTRIC USE, NO ANYTHING -- BECAUSE I WAS OUT OF TOWN WORKING -- WAS 150 BUCKS. IT DOESN'T SOUND LIKE MUCH BUT TO MY DAUGHTERS THAT MAKE $15 AN HOUR, THAT'S AN EIGHT-HOUR SHIFT. EIGHT-HOUR SHIFT. WHEN WE ADD THESE EXTRA FEES TO THEM, OKAY, NOW THEY'RE WORKING -- IT'S TWO DAYS THEY HAVE TO WORK FOR FEES. NOW, I DON'T KNOW THE WHOLE EXPLANATION OF -- I JUST SAW VOLLEYBALL AND IT WENT FROM $125 TO $600. SHE'S GOT TWO GIRLS. WHAT ARE THEY GOING TO DO? WHERE DO YOU WANT THEM TO GO? I UNDERSTAND THE OFFSET BETWEEN THE 25 AND THE 29. OKAY. DO THEY OFFER A REDUCTION BECAUSE NOW THEY'RE GETTING $6 MORE. DO THEY HAVE -- HAVE THEY LOOKED INTO GIVING BACK THAT $6 FOR THE NEXT TIME THEY COME OR FOR THE SECOND PERSON COMING IN? THOSE ARE FOR THE ONES THAT ARE ON THE TEXAS WORKFORCE, NOT MY DAUGHTERS. NOT MY GRANDDAUGHTERS. SOMEBODY HAS TO PAY FOR THAT. SHE CAN'T DO IT BECAUSE SHE'S ALREADY STRAPPED. SHE'S NOT HERE BECAUSE SHE HAS TO WORK TWO JOBS. WE HAVE TO BABYSIT AND EVERYTHING ELSE JUST TO ALLOW HER TO MAKE ENDS MEET. THE AVERAGE PAY, LIKE SOMEBODY SAID, HASN'T GONE UP IN MANY YEARS. $15. FOR THE AVERAGE PERSON IN CORPUS CHRISTI, THAT'S PRETTY FAVORABLE. FOR THEM, THAT'S THE REALISTIC NUMBER THAT THEY'RE WORKING AT RIGHT NOW. SO WHEN WE ASK THEM TO PAY FOR MORE, WHAT ARE THEY SUPPOSED TO COME UP WITH? THEY CAN BARELY MAKE IT BY AND THAT'S NOT INCLUDING THEIR FOOD, THEIR TAXES. IF THEY USE WATER IN THAT UTILITY BILL, THAT BILL GOES UP FROM $150 TO $200. OKAY. NOW WE HAVE THE ELECTRIC BILL WITH THE AC. THAT'S NOT EVEN PROVIDING FOOD. THAT'S BECAUSE SHE DOESN'T HAVE THE TIME TO GO GET HELP. SO WHEN WE TALK ABOUT ALL THESE FEES, THIS IS MY FIRST TIME HERE. AND I GET EMOTIONALLY ATTACHED TO IT BECAUSE -- [TIMER] THANK YOU. >> Mayor Guajardo: THANK YOU, SIR. GO AHEAD. >> Paxson: PETER, JUST A POINT OF FACT. I THINK THAT WHAT WE ARE SEEING KIND OF PLAY OUT IS THERE SEEMS TO BE SOME BREAKDOWN AND CONNECTION OF RESOURCES. SO I THINK WE HAVE TO TAKE A VERY QUICK AND DETAILED FOCUS ON HOW DO WE CONNECT ALL THOSE RESOURCES. THEY MAY BE IN PLACE. THEY MAY NOT BE FULLY ACCESSIBLE SO WE MAY HAVE TO WORK ON SOME MESSAGING AND GO BACK TO THE DRAWING BOARD AND HOW WE CONNECT ALL THOSE PIECES SO WHAT WE'RE HEARING CAN ACTUALLY BE RESOLVED. >> Zanoni: YOU'RE TALKING ABOUT SCHOLARSHIP OR ASSISTANCE? >> Paxson: BETWEEN THE WORKFORCE VOUCHERS, THE SCHOLARSHIPS AND THAT SORT OF THING. CLEARLY SOMEWHERE IT'S BREAKING DOWN. >> Zanoni: YES, MA'AM. >> Mayor Guajardo: COUNCILWOMAN VAUGHN. >> Vaughn: OKAY. I CAN IDENTIFY WITH YOU. THANK YOU FOR COMING UP HERE. MY MOTHER HAD SIX KIDS. WE HAD TO STAY HOME BY OURSELVES AND SOME OF US WERE PRETTY SMALL, BUT I GET THAT. BUT SHE WORKED AND THAT'S WHAT HE'S SAYING HIS FAMILY DOES AND WE SHOULD CONSIDER THAT. YOUR BUDGET IS HIGH. IT WENT UP QUITE A BIT, I THOUGHT. I THINK WE HAVE TO GO BACK, LOOK AT IT, MAYBE TABLE THIS ITEM AND JUST MAYBE TWEAK IT ON SOME THINGS. AND I THINK WE HAVE TO TAKE THAT INTO CONSIDERATION. UNLESS YOU'VE BEEN THERE, MAYBE THAT DOESN'T SOUND LIKE A LOT TO SOME PEOPLE BUT FOR PEOPLE THAT ARE WORKING ALL THOSE HOURS, THEY DON'T GET TO SEE THEIR KIDS, IT'S A LOT. AND I THOUGHT IT WAS PRETTY CHEAP, THE AMOUNT. I DON'T KNOW WHAT THEY'RE MAKING SO FOR ME I THINK WE NEED TO MAKE A MOTION TO TABLE IT AND BRING IT BACK. >> SECOND. >> Mayor Guajardo: DO WE NEED TO TABLE, PETER? >> Zanoni: IF WE'RE TALKING ALL THE FEES IN THIS ITEM, THE TOTAL IS WHAT, ROBERT? >> Mayor Guajardo: I DON'T KNOW IF WE'RE TALKING ABOUT ALL THE FEES ON THIS ITEM. THERE ARE SO MANY. >> KID POWER? >> Zanoni: WHAT'S THE TOTAL FEES IN THE AFTER-HOUR KID POWER? >> Mayor Guajardo: YEAH. SO MAYBE WE JUST AMEND. >> $350,000. >> Zanoni: SO, AGAIN, BACK TO THAT BALANCED BUDGET. WE'LL BRING SOME OPTIONS FOR NEXT WEEK. WE'LL BRING SOME OPTIONS FOR NEXT WEEK. IT WILL BE A COMBINATION OF CUTTING THE BUDGET BY $350,000 OR HAVING A SMALLER FEE ADJUSTMENT OR SOMETHING. IF WE DON'T INSTITUTE THIS REVENUE CHANGE, THE BUDGET IS NOT BALANCED BY $350,000. >> Mayor Guajardo: IS IT BETTER IF WE AMEND? PUT THE ITEM THROUGH? >> Zanoni: JUST VOTE IT DOWN FOR NOW. APPROVE EVERYTHING EXCEPT THE AFTER SCHOOL PROGRAM AND WE'LL BRING SOMETHING BACK TO THE COUNCIL, SIMILAR TO THE WATER RATES FOR NEXT WEEK. >> Mayor Guajardo: DOES SOMEBODY WANT TO MAKE A MOTION? COUNCILMAN BARRERA. >> Barrera: I HAVE A QUESTION. I THINK THERE WAS A MISUNDERSTANDING WITH REGARD TO THE VOLLEYBALL. THAT'S FOR THE RENTAL OF THE FACILITY, NOT PER PERSON. >> Zanoni: RIGHT. THE NUMBER FOR THE VOLLEYBALL WASN'T $600. >> VOLLEYBALL WENT FROM -- >> Zanoni: $150 TO $380 FOR THE WHOLE TEAM. >> THAT'S PER TEAM. >> Barrera: AND THEN -- >> Zanoni: I THINK THE GENTLEMAN MISUNDERSTOOD THE NUMBER. >> THE INDIVIDUAL SPORTS PLAY IS FROM $5 TO $7. > >> Barrera: I KNOW BECAUSE CINDY'S GRANDCHILDREN HAD A HARD TIME GETTING INTO -- THERE'S A WAITING LIST FOR LATCHKEY, ISN'T THERE? >> YES, SIR. HUGE WAITING LIST. >> Barrera: HUGE WAITING LIST. THERE'S OBVIOUSLY A DEMAND. AND THEN WE HAVE A PROGRAM AVAILABLE TO THOSE. I JUST WANT TO ENSURE THE PUBLIC UNDERSTANDS THAT WE'RE NOT RAISING FEES JUST TO ARBITRARILY RAISE FEES. IN HOUSTON, TEXAS -- I WAS A SINGLE PARENT IN HOUSTON, TEXAS IN 1990. AND AFTER SCHOOL IN THE HARRIS COUNTY AREA WAS $90 BACK THEN A WEEK. >> $90 A WEEK? YES SIR. >> Barrera: THAT WAS THROUGH A PROGRAM THAT WAS THROUGH -- IT WAS A COUNTY PROGRAM BECAUSE WE WERE IN THE TOMBALL AREA. I'M JUST SAYING THAT I WOULD AGREE, JUST LIKE THE ANALOGY I MADE, THE COST I PAID FOR MY DAUGHTER'S WEDDING TO GET HERITAGE PARK IS STILL THE SAME COST IT IS TODAY. >> EXACTLY. YES SIR. >> Barrera: BUT WE DO HAVE PROGRAMS AVAILABLE FOR THOSE. THE SCHOLARSHIP PROGRAMS. THE CHALLENGE IS NOT THE SCHOLARSHIP PROGRAMS, THE CHALLENGE IS THAT WE DON'T -- THERE'S SUCH A HIGH DEMAND THAT WE CAN'T GET ALL THE STUDENTS IN THERE THAT WE CAN. I DON'T WANT TO LEAVE EVERYBODY WITH THE IMPRESSION THAT WE'RE PUTTING PEOPLE OUT ON THE STREET. WE ARE BECAUSE WE DON'T HAVE ENOUGH STAFF TO SUPPORT THEM. >> WE'RE IN 21 DIFFERENT SCHOOLS. 17 IN CCISD AND FOUR IN CALALLEN. >> Barrera: I DON'T WANT THE PUBLIC TO THINK WE'RE TRYING TO GOUGE PEOPLE. RICHARD IS 40 YEARS OLD. HE WAS IN THERE. AND SO OVER AT GALVAN. I JUST WANT TO, YOU KNOW, URGE THE COUNCIL AND THE PUBLIC THAT WE'RE JUST TRYING TO CATCH UP WITH THE TIMES BECAUSE WE HAVE THAT INFLATIONARY PRESSURE AS WELL. YOU KNOW -- AND WHAT DO WE PAY THOSE INDIVIDUALS THAT WORK IN THE AFTER-HOUR KID POWER? >> $14, $15 AN HOUR. >> Barrera: THAT'S THE INFLATIONARY PRESSURE WE HAVE TO DEAL WITH AND WE HAVE TO HAVE QUALIFIED INDIVIDUALS TO BE ABLE TO DO THAT. >> CERTIFICATIONS. AND JUST -- THANKS FOR MENTIONING THAT, SIR. AUSTIN PARKS AND RECREATION AT THEIR AFTER SCHOOL IS $220. WE'RE REALLY ON THE CHEAP END. I DON'T MEAN TO OFFEND ANYBODY BY SAYING THAT BUT WE'RE ON THE CHEAPER END OF THAT. >> Barrera: YEAH. I KNOW. FOR MY GRANDCHILDREN, THE COST IS EQUIVALENT TO WHAT IT WOULD COST ALMOST FOR A WEEK, IS WHAT'S TYPICAL. >> I MENTIONED I PAY $90 A WEEK FOR A GRANDCHILD. >> Barrera: BUT ONCE AGAIN YOU AND I ARE IN DIFFERENT FINANCIAL SCENARIOS BUT THE CHALLENGE IS IT'S SUCH A GOOD PROGRAM THERE'S A WAITING LIST. IT'S NOT THAT PEOPLE ARE DECIDING THEY CAN'T AFFORD IT. IF ANYTHING, WE NEED TO WORK ON A SCHOLARSHIP PROGRAM SO THAT WAY WE CAN PROBABLY ACQUIRE MORE FUNDS EITHER THROUGH THE FOUNDATION THAT WE HAVE FOR PARKS, THE PALS ORGANIZATION. ANYWAY, ALL RIGHT. THANK YOU. >> Mayor Guajardo: OKAY. WE'RE GOING TO GO AHEAD AND FINISH. WE'RE IN THE MIDDLE OF PUBLIC COMMENT. AND THEN WE HAVE A MOTION TO BE AMENDED. >> DAN McQUEEN, CORPUS CHRISTI. I WANT TO TALK BRIEFLY ABOUT THESE CHILDREN PROGRAMS. YEARS AGO AT THE YMCA BOYS AND GIRLS CLUB, SALVATION ARMY, I USED TO TEACH A FREE MARTIAL ARTS CLASS FOR THEM. I THINK WHEN WE TALK ABOUT MAKING CUTS INTO ANY OF THE YOUTH PROGRAMS, AS WE'RE WATCHING TECHNOLOGY MOVE FAST AND WE HAVE ECONOMIC ISSUES IN OUR CITY AND WE CONSIDER TO SEE A DECAY, WE NEED TO DOUBLE UP ON INVESTING IN THESE KIDS BECAUSE THAT'S TOMORROW'S FUTURE. IF YOU'RE NOT THINKING ABOUT THAT RIGHT NOW, THAT'S GOING TO BE THE BIGGEST PROBLEM IS THE COST THAT WE'RE GOING TO HAVE OF THESE INDIVIDUALS THAT AREN'T EDUCATED, THAT AREN'T ENGAGED IN SYSTEMS. AND I'LL GIVE YOU THE LESSON LEARNED. I AM FROM A SINGLE-PARENT MOM THAT WAS A TENTH GRADE DROPOUT. HAVE A GRADUATE DEGREE IN COMPUTER SCIENCE NOW, LEAD ENGINEER FOR SWAN, BLAH, BLAH, BLAH. IF I DIDN'T GO TO THE SALVATION ARMY WHEN I WAS A KID, FOR FREE, I PROBABLY WOULDN'T HAVE THAT VISION OF WHAT IS NEXT WHERE I NEED TO GO. HOW DO I MOTIVATE MYSELF. AND SO WE LOOK AT THESE LATCHKEY KID PROGRAMS AND WE LOOK AT PARKS AND REC BUDGET, I THINK THE MOST IMPORTANT THING YOU CAN DO, WHEN YOU BRING THIS BACK AND YOU LOOK AT THIS IS HOW WE CAN DOUBLE UP ON OUR CITY. HOW WE'RE GOING TO DOUBLE UP ON TEACHING AI IN SCHOOLS NOW. HOW ARE WE GOING TO DOUBLE UP ON THE FUTURE? I ASK ALL OF YOU BECAUSE I COMMEND YOU GUYS EVERY DAY AND I WATCH YOU ON YOUTUBE AND I DO ALL THIS AND I'M THINKING TO MYSELF I DON'T KNOW HOW YOU DO IT. I'M NOT GOING TO DO IT AGAIN EVER. AND I SAY TO MYSELF BUT WE HAVE A CITY HERE. AND I REALLY WANT TO KNOW WHAT YOUR VISION IS TEN YEARS FROM NOW. WHAT IS YOUR VISION 20 YEARS FROM NOW. AND WE'LL GET TO PUBLIC COMMENT LATER. I STILL GOT TIME ON THE CLOCK A LITTLE BIT SO I LIKE TALKING. YOU GUYS KNOW THAT. ADVANCED AIR MOBILITY IS THE FUTURE. IT'S AN INFRASTRUCTURE. I WOULD LOVE TO GET INVOLVED WITH SOME OF THE GROUPS AROUND HERE. I'M TIED UP IN AUSTIN. TIED UP IN SAN ANTONIO MOST OF THE TIME TALKING TECHNOLOGY. BUT WE'VE GOT TO LOOK AT HOW WE CAN FACILITATE THIS. I WOULD RECOMMEND IN ALL OF THE MARTIAL ARTS SCHOOLS THAT ARE OUT THERE, HEY, SEND SOME OF YOUR JUNIOR BLACK BELTS AND LET'S START VOLUNTEERING MORE. LET'S GET MORE INDUSTRY TO START SAYING I'M GOING TO SPONSOR THIS PROGRAM AT THIS PLACE. BECAUSE I KNOW THE COUNCIL UP HERE, YOU GUYS GOT PLENTY OF MONEY. YOU CAN DO THAT AND SO THAT'S ALL WE GOT TO DO. I'LL GIVE YOU A COUPLE OF SECONDS BACK. THANK YOU SO MUCH. >> Mayor Guajardo: THANK YOU SO MUCH. >> ROBIN COX, DISTRICT 3. I WAS RAISED BY TWO PARENTS THAT BOTH WORKED. MY MOM WENT TO WORK LATER. I KNOW SHE SAID -- DR. ARAIZA SAID PEOPLE GET IN A LOT OF TROUBLE. NOT IN MY HOUSE. MY DAD HAD A PADDLE THAT HAD THE LONG ARM OF THE LORD ON IT AND I KNEW I WAS GOING TO GET A SPANKING IF I DID ANYTHING WRONG. WE WERE LEFT ALONE A LOT AND I DON'T KNOW IF THIS WILL WORK BUT MAYBE LATCHKEY COULD GET TOGETHER WITH DEL MAR AND GIVE SOME OF THE STUDENTS THAT ARE GETTING DEGREES TO GET SOME CREDITS AND MAYBE THAT COULD DROP THE COST DOWN. I KNOW WHEN YOU HAVE SEVERAL CHILDREN EVERY LITTLE PENNY HELPS. MAYBE WE COULD REACH OUT TO DEL MAR. ALSO, LIKE MR. McQUEEN WAS SAYING, WE COULD REACH OUT TO THE REFINERIES WHO ARE ALWAYS WANTING TO GIVE BACK TO THE COMMUNITIES. MAYBE THEY WANT TO DONATE SOME MONEY AND HELP. AFTER ALL, THEY REALLY WANT TO GIVE BACK TO THE COMMUNITY WHERE INDUSTRY IS. I THINK IF WE ALL PUT OUR HEADS TOGETHER, LIKE HE SAID, THE KARATE SCHOOLS. I THINK SOME OF THE BALLET DEPARTMENTS MIGHT WANT TO DONATE THEIR TIME TO HAVE DANCERS COME. DRISCOLL HAS PEOPLE THAT ROCK BABIES. MAYBE WE COULD ALSO GET PEOPLE THAT WANT TO COME AND THAT HAVE TEACHING DEGREES. I HAVE A TEACHING DEGREE. MANY TEACHERS THAT ARE RETIRED MIGHT WANT TO VOLUNTEER THEIR TIME TO HELP KEEP THE COMMUNITY SAFE. BUT I THINK WE COULD REACH OUT TO DEL MAR AND WORK TOGETHER. THANK YOU. >> Mayor Guajardo: THANK YOU. ANYONE ELSE? OKAY. LET'S SEE HERE. SO WE'RE GOING TO TABLE OR JUST DELAY? >> Zanoni: I THOUGHT YOU WERE GOING TO APPROVE EVERYTHING EXCEPT FOR THE LATCHKEY OR THE AFTER-HOUR KID POWER. >> Mayor Guajardo: RIGHT. WE HAVE AN AMENDMENT. CORRECT. SORRY. GO AHEAD. >> Paxson: I WOULD LIKE TO MAKE THE MOTION TO APPROVE AMENDING THE COST SCHEDULES TO NOT INCLUDE THE LATCHKEY PROPOSALS. NOT INCLUDE THE ADMINISTRATION FEES. AND I DON'T KNOW IF THAT CAN BE PART OF IT BUT TO REEVALUATE THOSE OTHER -- LIKE YOU WERE SAYING THOSE JUMPS. APPROVE IT BUT EXCLUDE LATCHKEY AND ADMIN. >> Zanoni: THAT TOTALS $350,000 SO WE'LL BRING SOME OPTIONS FOR NEXT TUESDAY FOR COUNCIL TO CONSIDER. >> Mayor Guajardo: WE HAVE A MOTION. DO WE HAVE A SECOND? >> SECOND. >> Mayor Guajardo: WE HAVE A SECOND. PLEASE SUBMIT YOUR VOTE. >> City Secretary: THAT'S FOR THE MOTION TO AMEND, CORRECT? WE CAN DO A VOICE VOTE ON THE MOTION TO AMEND, I WOULD APPRECIATE IT. >> Mayor Guajardo: ALL IN FAVOR SAY AYE. >> [CHORUS OF AYES] >> Mayor Guajardo: ANY OPPOSED SAY NO. THE MOTION CARRIES. >> City Secretary: THEN WE PASS IT AS AMENDED AND I CAN DO A VOTE ON HERE. MR. CANTU, WERE YOU GOING TO VOTE SIR? >> Cantu: [OFF MIC] >> City Secretary: SORRY FOR THE DELAY. >> Mayor Guajardo: THE MOTION CARRIES. ITEM NO. 20 IS AN ORDINANCE AMENDING CHAPTER 43 OF THE CITY CODE OF ORDINANCES TO ESTABLISH A TRAINING SESSION FEE SCHEDULE FOR THE CORPUS CHRISTI POLICE DEPARTMENT FOR SESSIONS HELD AT THE CORPUS CHRISTI POLICE ACADEMY. >> MIKE MARKLE, POLICE DEPARTMENT. ITEM 20 IS OUR NEW ACADEMY. AS WE INTENDED UPON BUILDING IT IS TO PROVIDE TRAINING TO OUR SURROUNDING AREA. RATHER THAN SEND OUR FOLKS OFF TO TRAINING, WE'RE GOING TO BRING THEM HERE. WHAT WILL HAPPEN IS WE'LL BRING THE TRAINING IN WITH THESE FUNDS AND THOSE FOLKS WILL PAY, DEPENDING ON THE TIER OF TRAINING. LET ME MOVE FORWARD ON THIS SLIDE. THAT'S THE SHORT VERSION. I KNOW WE'RE CRUNCHED FOR TIME BECAUSE YOU HAVE PUBLIC COMMENT COMING UP. THIS IS NOT A COST TO THE CITY, PER SE. NOW, THIS IS THE FIRST YEAR. WE'RE GOING TO SHAKE THE TREE TO SEE HOW IT WORKS OUT. BUT TRAINING, LIKE INVESTIGATIVE SCHOOL FOR HOMICIDES OR ACTIVE SHOOTER, THOSE KIND OF THINGS, ACTIVE ATTACK. ALL THOSE KIND OF TRAININGS THAT WE HAVE TO HAVE, WE BRING IN SURROUNDING AGENCIES. THEY PAY FOR SEATS. NOT ONLY THAT, THERE'S A SAVINGS BECAUSE WE WILL OBTAIN FREE SEATS TO THOSE TRAININGS WHEN WE PROVIDE THAT VENUE. IT'S A WIN-WIN. AND IT'S PART OF THE OVERALL PLAN. >> Mayor Guajardo: WE DO HAVE A MOTION. WE'RE HALFWAY THERE. WE HAVE A MOTION AND A SECOND BUT WE DO HAVE TO OPEN PUBLIC COMMENT, SO THANK YOU, CHIEF MARKLE. WOULD ANYONE IN THE AUDIENCE LIKE TO MAKE A COMMENT ON ITEM NO. 20? THERE BEING NO ONE, WE'LL CLOSE PUBLIC COMMENT. WE HAVE A MOTION AND A SECOND. PLEASE SUBMIT YOUR VOTE. >> [OFF MIC] >> Mayor Guajardo: ROLAND DID. >> THANK YOU. >> Mayor Guajardo: THANK YOU, CHIEF MARKLE. THE ITEM CARRIES. OKAY. ITEM NO. 21. PUBLIC HEARING AND FIRST READING ORDINANCE AMENDING CORPUS CHRISTI CODE SECTION 55-709 DRAINAGE UTILITY CHARGE TO UPDATE THE STORMWATER DRAINAGE CHARGES. >> GOOD AFTERNOON, MAYOR AND COUNCIL. ERNIE DE LA GARZA, DIRECTOR OF PUBLIC WORKS. TODAY GOING OVER THE DRAINAGE UTILITY CHARGE AMENDMENT. A LOT OF THIS INFORMATION IS SIMILAR INFORMATION I PRESENTED DURING THE WORKSHOP. OUR BUDGET HERE FOR 2025 AND '26 IS 33.7, 32.2. WE ALSO WENT OVER OUR AUDITED LEVEL OF SERVICE RESULTS AS WELL AS OUR LINES OF BUSINESS, AS YOU SAW HERE. AND THEN WHAT WE'RE PRESENTING TODAY IS THE RATE CHANGE FROM THE 1032 TO THE 1159. THE RESIDENTIAL TIER 2 RATE. STAFF RECOMMENDS APPROVAL OF THE AMENDED DRAINAGE UTILITY FEE AS PRESENTED . A COUPLE OF ITEMS, THOUGH. MAYOR HAD ASKED ABOUT OUR COST OF SERVICE. WE DID THAT RESEARCH. CURRENTLY, WE'RE ESTIMATED IMPERVIOUS ON OUR CALCULATION FOR THE FEE. TO GO TO MEASURED IMPERVIOUS WOULD TAKE ABOUT 18 MONTHS AND ABOUT $600,000 COST TO GO FROM THE ESTIMATED TO THE ACTUAL MEASURED. WE DID RESEARCH A COUPLE OF CITIES, DO IT IN PHASED APPROACHES. AND SO THEY COULD DO RESIDENTIAL CUSTOMERS FIRST AND THEN THE NON-RESIDENTIAL SECOND WAS A BIT OF THE RESEARCH THAT WE HAD DID. BUT THAT WAS THE QUESTION THAT YOU HAD ASKED. SO THAT WAS WHAT WE RESEARCHED. >> Mayor Guajardo: OKAY. >> I STAND BY FOR ANY QUESTIONS. >> Mayor Guajardo: I DON'T SEE ANY QUESTIONS OR COMMENTS, ERNIE. SO -- >> [OFF MIC] >> Mayor Guajardo: OH, YOU'VE GOT ONE? COUNCILWOMAN VAUGHN. >> Vaughn: MR. ZANONI, YOU'RE KILLING US. PLEASE DON'T PUT ALL OF THESE FEES ON THE SAME AGENDA EVER AGAIN. EVER AGAIN. WE ARE GOING TO GET BEAT UP. >> Mayor Guajardo: YEAH. >> Zanoni: IT'S PART OF THE BUDGET PROCESS. >> Vaughn: I KNOW. I KNOW. IF WE COULD JUST SPLIT IT. THANK YOU. >> Mayor Guajardo: COUNCILMAN SCOTT. >> Scott: MA'AM, I'M REPRESENTING MY FELLOW COUNCILMEMBER ERIC CANTU WHO WAS INAPPROPRIATELY DELAYED AGAINST HIS WILL AND HE MISSED THE POLICE VOTE. I WOULD LIKE PERMISSION FROM HIM TO VOTE ON THE POLICE VOTE. I'M JUST REPRESENTING THE INTEREST ON MY FELLOW COUNCIL MEMBER. >> City Secretary: DOES ANYONE OBJECT TO THAT IF I RECORD HIS VOTE AS AN "AYE"? >> Mayor Guajardo: OKAY. IF THERE ARE NO MORE QUESTIONS OR COMMENTS, I'M GOING TO GO AHEAD AND OPEN PUBLIC HEARING ON THIS ITEM. IS THERE ANYONE IN THE AUDIENCE THAT WOULD LIKE TO MAKE COMMENT ON ITEM 21? >> [OFF MIC] >> Mayor Guajardo: YES, SIR. SURE. YOU CAN COME AROUND. >> JULIAN HERNANDEZ AGAIN. IS THIS THE FEE THAT'S ON THE UTILITY BILL? >> Mayor Guajardo: THIS IS THE DRAINAGE UTILITY CHARGE. SORRY. STORMWATER DRAINAGE. >> AM I ALLOWED TO TALK NOW? >> Mayor Guajardo: YOU CAN ASK QUESTIONS BUT WE CANNOT ANSWER QUESTIONS. BUT AFTER YOUR COMMENT, YOU CAN CERTAINLY MEET WITH STAFF. >> I MET -- I WAS GOING TO TALK TO HIM AFTERWARDS. IN THAT PACKET, I'M PART OF THE LARGE-SCALE UTILITY -- >> City Secretary: CAN YOU STATE YOUR NAME? >> JULIAN HERNANDEZ, DISTRICT 3. AS I MENTIONED -- I FORGOT MY TRAIN OF THOUGHT. SORRY. ABOUT UTILITY BILLS. THE STANDARD FEE AT $15 AN HOUR, I THINK SOMEBODY ELSE WITH THOSE THAT WORK ARE AT $15 AT HOUR. WHAT YOU SEE THERE, LARGE-SCALE UTILITY. THERE'S SOMETHING CALLED SWIP. I DON'T KNOW IF THAT'S -- THE LAST I HEARD IT WAS TO MAINTAIN THE STORM DRAINAGE SO WE HAVE GOOD WATER RUNOFF BUT YET IT'S FIXING A PROBLEM. THOSE ARE PROJECTS THAT WERE HERE IN CORPUS AND I DIDN'T GET A CHANCE TO PRINT OFF ANYMORE. BUT THERE'S NO SWITCH INVOLVED AND IF THERE ARE SWIP INVOLVED, WHICH PREVENTS THE SEDIMENT FROM RUNNING OUT SO WE DON'T HAVE TO CLEAN OUR DRAINAGE SYSTEM . BUT WE, THE TAXPAYERS, ARE GETTING CHARGED FOR THIS INSTEAD OF THE CONTRACTOR OR SOMEBODY BEING OVER THE CONTRACTORS TO MAKE SURE THEY'RE BEING IN CLINES. THERE'S A CITY FACILITY BEING BUILT RIGHT NOW. BY FEDERAL STANDARDS THEY'RE SUPPOSED TO BE INSPECTED AND THERE'S A WHOLE BUNCH OF STANDARDS BUT THEY'RE NOT. THERE'S DIRT THAT COMES OVER. ALL THE WORK BEING DONE ON EVERHART, STAPLES, THERE'S NO SWIP IN PLACE FOR THIS FOR ALL THIS DIRT AND SEDIMENT TO GET IN OUR PLANTS. I DON'T KNOW IF WE DON'T REALIZE THAT THERE ARE FEDERAL POLICIES IN PLACE TO PREVENT THAT STUFF FROM CLOGGING UP OUR SYSTEMS AND CLOGGING UP ALL THAT STUFF BUT YET WE THE PEOPLE, THE TAXPAYERS ARE GETTING TAXED FOR IT. THAT'S TWO HOURS MORE THAT MY DAUGHTER HAS TO PAY TO GET SOMETHING FOR HER KIDS. SO WE'RE ADDING TO THE EIGHT HOURS SHE HAS TO DO SO NOW IT'S TEN HOURS. WHEN THESE RATES GO UP, IT ADDS TO MORE HOURS THAT SHE HAS TO WORK THAT SHE CAN'T GO OUT AND DO ANYTHING LIKE THAT. THE LAST THING I'LL LEAVE IS WHAT GOT ME TO COME HERE TODAY WAS A SCARE TACTIC THAT, OKAY, THAT'S GOING TO CHARGE US $300 MILLION OR WHATEVER IT IS BY MR. ZANONI. AND TO SCARE US INTO THAT INSTEAD OF WORKING THROUGH IT AND FIGURING OUT A PLAN. I COMMEND THE COUNCIL HERE FOR CHALLENGING THOSE THAT ARE COMING OUT WITH THIS BUDGET INSTEAD OF HAVING THEM TO LOOK AT INSTEAD OF JUST WRITING A CHECK. WE THE TAXPAYER ARE TAXED SO BAD AND IT'S HURTING. FOR OUR KIDS, THAT'S WHO IS GETTING THE BRUNT OF IT AND FOR THE FAMILIES WHO HELP PROVIDE. I'M FORTUNATE AND BLESSED THAT I CAN DO IT BUT -- THANK YOU AGAIN. >> Mayor Guajardo: THANK YOU, SIR. ANYONE ELSE? YES SIR. COME ON UP. >> I WENT -- DALE SWATELA, 1. >> City Secretary: CAN YOU STATE YOUR NAME AND CITY, SIR? >> THE THING THAT WE HAD -- >> City Secretary: SIR, CAN YOU STATE YOUR NAME AND CITY. >> DALE SWATELA, CORPUS CHRISTI, PRECINCT 1. COUNCILMAN ROY WAS THE ONLY ONE WHO SHOWED UP. I THOUGHT THE WHOLE COUNCIL WOULD BE THERE. BUT I BROUGHT MY UTILITY BILLS BECAUSE THE STORMWATER FEE IS RIDICULOUS. IN 2022, I CAN REMEMBER THE FIGURES, IT WAS $10.71 A MONTH FOR STORMWATER. AND TWO YEARS LATER, TWO YEARS AND A MONTH OR TWO LATER, IT WAS $18.06. I'M PAYING $18.06 A MONTH FOR STORMWATER FEE. MY HOUSE DOESN'T EVEN HAVE ANY RUNOFF REALLY. ALL THE WATER FLOWS TOWARD THE BACK OF MY HOUSE. IT DOESN'T FLOW INTO THE STREET. AND MY SOCIAL SECURITY GOES UP 3% A YEAR. AND BUT THAT'S ALMOST -- IT'S A 75% INCREASE THAT Y'ALL ARE GIVING ME ALREADY AND NOW YOU'RE TALKING ABOUT GOING UP EVEN MORE? PLEASE CALL THE SOCIAL SECURITY OFFICE AND TELL THEM TO GIVE ME A 75% RAISE ON MY CHECK, PLEASE. PLEASE. THANK YOU. >> Mayor Guajardo: THANK YOU, SIR. ANYONE ELSE? MAYBE NOT. I'M SORRY. I THOUGHT SHE WAS COMING THIS WAY. OKAY. WE'RE GOING TO GO AHEAD AND CLOSE PUBLIC HEARING. COUNCILWOMAN VAUGHN. >> Vaughn: MR. ZANONI, WE'RE GOING TO HAVE THE SAME VOTE THAT WE DID A WHILE AGO. I JUST FEEL IT. IF WE DO NOT EXPLAIN TO THE PUBLIC WHY THESE ARE GOING UP AND WHAT THE STORMWATER DOES. PEOPLE DON'T UNDERSTAND HOW FAR BEHIND THIS CITY HAS BEEN OVER THE YEARS. SO IF WE COULD JUST HAVE HIM EXPLAIN IT. >> Zanoni: WE'LL HAVE ERNIE GO OVER THE SERVICE DELIVERY THAT WE'LL DO. >> SO THE LINES OF SERVICE, FOR EVERYONE HERE, LINES OF BUSINESS THAT ARE PROVIDED BY STORMWATER DEPARTMENT, PUBLIC WORKS. THAT FIRST LINE IS CALLED INLETS, CLEANING AND MAINTENANCE. SO WE HAVE ABOUT FOUR OR FIVE TRUCKS THAT DURING RAIN EVENTS HAVE THESE BIG VACUUMS. THEY'LL GO AND FIND A CLOGGED INLET. THEY'LL VACUUM THAT WATER OUT BEFORE ANY WATER GETS BACKED UP INTO PRIVATE PROPERTY AND DAMAGES PRIVATE PROPERTY. THAT'S THE INLET CLEANING AND MAINTENANCE LINE OF BUSINESS. RIGHT NOW WE HAVE 20,000 -- 21,000 INLETS CITYWIDE. WE HAVE FIVE TRUCKS AND FIVE CREWS. AND SO IN ONE YEAR WE'RE GETTING ABOUT 5400 OF THOSE INLETS MAINTAINED. SO THAT'S NOWHERE NEAR THE 20,000. BUT WE PRIORITIZE THE AREAS THAT ARE OF CONCERN. AND SO THAT'S WHAT THAT ONE LINE OF BUSINESS IS FOR. SO IF YOU GO INTO THAT BREAKDOWN, OUR STORMWATER BUSINESS -- LET ME SEE IF I CAN FIND IT HERE. OUR EXPENDITURES FOR JUST THE INLET CLEANING IS ABOUT $1.1 MILLION. MINOR CHANNEL MAINTENANCE, THAT'S YOUR REGULAR ROADSIDE DITCHES. SO YOU HAVE 235 MILES THROUGHOUT THE WHOLE CITY OF ROADSIDE DITCHES THAT THE PUBLIC WORKS MAINTAINS. WE'RE MAINTAINING ABOUT 15 MILES A YEAR. AND SO IT'S REALLY NOT THAT MUCH THAT WE'RE ABLE TO GET TO. AND THAT COSTS THE CITY -- LOOK HERE. IT'S CONVERGED WITH MAJOR AND MINOR CHANNELS. SO THAT MINOR AND MAJOR IS ALL TOGETHER $8.6 MILLION. SO THE MAJOR CHANNEL, IF YOU LOOK AT THE BIG DITCHES, WE HAVE 109 MILES OF THE BIG DITCHES THROUGHOUT THE CITY. AND THAT'S WHERE YOU SEE THOSE TOPS GETTING MOWED OR THE BOTTOM WITH THE TRACK HOES. THE REASON THAT NUMBER IS SO HIGH COMPARED TO ALL THE OTHERS IS JUST LIKE YOUR MAJOR ROADS IN THE CITY, YOU KNOW, STAPLES, EVERHART THAT HOLD THE MOST TRAFFIC, YOUR MAJOR CHANNELS HOLD THE MOST WATER DURING MAJOR RAIN EVENTS AND SO THOSE ARE THE ONES WE HAVE TO MAKE SURE ARE CLEAR AND AVAILABLE TO DRAIN WATER. VEGETATIVE MAINTENANCE YOU HAVE 1255 ACRES THROUGHOUT THE CITY AND IF YOU LOOK AT THE CYCLES BETWEEN YOUR ARTERIAL AND COLLECTOR AND OCEAN DRIVE RIGHT-OF-WAY, WE'RE MOWING ANYWHERE FROM 10,000 ACRES, CLOSE TO 10,000 ACRES OF THE ARTERIAL RIGHT-OF-WAY. 10,000 ACRES OF THE COLLECTOR RIGHT-OF-WAY, AND ABOUT A THOUSAND ACRES OF NORTH BEACH AND OCEAN DRIVE. SO THAT VEGETATIVE MAINTENANCE COSTS THE CITY $4 MILLION A YEAR. STREET CLEANING. WE HAVE A FLEET OF STREET SWEEPERS SWEEPING YOUR RESIDENTIAL STREETS FOUR TIMES A YEAR. YOUR COLLECTOR AND ARTERIAL STREETS 12 TIMES A YEAR. YOU HAVE A TOTAL OF 2,000 MILES TO SWEEP AND THEN WE'RE TRACKING, ON THE ARTERIAL CLOSE TO 7,000 MILES. ABOUT 2,000 MILES ON THE COLLECTOR STREETS. I'M SORRY. 6,000 MILES ON THE RESIDENTIAL. 2,000 ON THE COLLECTORS. ON YOUR MAJOR ARTERIALS, ABOUT 2,000 MILES ON THOSE ONES. SO YOUR STREET CLEANING COST OF SERVICE IS $2.9 MILLION A YEAR. YOUR FLOOD CONTROL MANAGEMENT AND YOUR ENVIRONMENTAL SERVICES -- SO ON FLOOD CONTROL WE ACTUALLY HAVE TWO PUMP STATIONS THAT PUBLIC WORKS STORMWATER MAINTAINS 24/7. THOSE ARE DOWNTOWN. IF THOSE GO OUT AND YOU HAVE A MAJOR HURRICANE, YOU PRETTY MUCH LOSE ALL THE PROPERTY DOWNTOWN. IN ADDITION TO THAT, YOU ALSO HAVE TRASH COLLECTION SYSTEMS IN THOSE PUMP STATIONS THAT COLLECT CLOSE TO TWO TONS OF TRASH A YEAR PULLING THAT TRASH OUT OF THE INLETS. SO YOUR FLOOD CONTROL MANAGEMENT IS ABOUT $1.4 MILLION A YEAR. YOUR ENVIRONMENTAL SERVICES, LIKE THE GENTLEMAN THAT JUST CAME UP AND GAVE COMMENT ON THE SWIP. ENVIRONMENTAL SERVICE DOES THAT INSPECTION. THEY MAKE SURE THE PERMIT PER TCEQ IS FOLLOWED. THEY INSPECT EITHER DEVELOPERS OR CONSTRUCTION PROJECTS AND PROVIDE A SERVICE IN ADDITION TO WHAT OUR ENGINEERING SERVICE INSPECTORS PROVIDE FOR THAT SWIP INSPECTION. THEY'RE INSPECTING VERY NEAR TO 7,000 INSPECTIONS PER YEAR. AND THAT GROUP COSTS THE CITY ABOUT $1.3 MILLION. AND SO THE QUESTION IS WHERE DOES THAT MONEY GO TOWARDS. THAT'S LINE ITEM BY LINE ITEM OF WHAT THE CITY IS PAYING FOR ON THOSE SERVICES FOR MOWING, SWEEPING, INLET CONTROL, MAJOR CHANNEL, MINOR CHANNELS, AND THEN ALSO YOUR ENVIRONMENTAL INSPECTION. A LOT OF THIS GOES UNSEEN. IT'S NOT ANYWHERE THAT'S, YOU KNOW, OUTSIDE OF THE RIGHT-OF-WAY IN A LOT OF INSTANCES BUT IT'S WORK THAT'S GETTING DONE EVERY DAY BY THE PUBLIC WORKS TEAM. ANY OTHER QUESTIONS? >> Mayor Guajardo: YES, COUNCILMAN HERNANDEZ. >> Hernandez: ERNIE, THE BUDGET YOU HAVE IS INCREASING FROM $32 MILLION TO $35 MILLION. BUT YOUR NET ENDING BALANCE MINUS YOUR RESERVE FOR COMMITMENTS IS GOING UP FROM $6 MILLION TO $10 MILLION. SO WHY ARE YOU ASKING FOR A RAISE IF IT'S ONLY GOING TO GO TO RESERVE BALANCE? >> WE DID AN EXERCISE AND WE DID AN ANALYSIS AT $10.32 AND THE $11.59. WE CAN SHARE THE SPREADSHEET OF THE ANALYSIS WITH YOU SO YOU CAN SEE OUR HOMEWORK. WHAT I TASKED THE TEAM WITH IS HOW IS IT THAT OUR OPERATING FEE AND SERVICES, WHICH IS EVERYTHING I JUST SUMMARIZED, IS NOT ENOUGH TO HANDLE, YOU KNOW, THE REVENUES ARE NOT ENOUGH TO HANDLE THE OPERATION EXPENSES. AND SO THE TEAM PRETTY MUCH EXPLAINED TO ME THAT WE HAVE A DEBT SERVICE THAT WE HAVE TO ACCOUNT FOR IN ADDITION TO OUR OPERATIONS. SO WE HAVE A CAPITAL IMPROVEMENT PROGRAM WHERE WE HAVE PROJECTS THAT STORMWATER ALSO PAYS FOR. BUT IN THE FORM OF DEBT SERVICE. AND SO THAT DEBT SERVICE MINUS THE 25% RESERVE -- SO IF YOU TAKE YOUR FUND BALANCE, WHICH IS THE ONE YOU'RE TALKING ABOUT, THE ONE THAT LOOKS TO BE HIGH. YOU KNOW, ONCE YOU SUBTRACT THE 25% RESERVE AND THEN THE REMAINDER OF THAT FUND BALANCE, YOUR FUND BALANCE STAYS PRETTY HEALTHY RIGHT UP TO 2027. AFTER 2027, WE END UP IN THE NEGATIVE AND THAT'S BECAUSE OF THE CIP PROGRAM. SO WE GO FROM WHAT YOU ARE SEEING IN YOUR BALANCE SHEETS ARE SOMETHING LIKE $14 MILLION IN '25, $15 MILLION IN '26. $11MILLION IN '27, SO ON AND SO FORTH. IF YOU SUBTRACT THE 25% RESERVE AND THEN YOU GO TO THE APPROPRIATE FUND BALANCE, THOSE NUMBERS ARE ACTUALLY $6 MILLION, $7 MILLION DOWN TO $2 MILLION. AND THEN NEGATIVE $3 MILLION WHEN THE FUND BALANCE CATCHES UP TO US. AND SO, AGAIN, THIS WAS A HEALTHY SPREADSHEET THAT WE DID TO TRY TO FIND THIS NUMBER AND FIND OUT WHERE THAT BREAK POINT WAS. THAT BREAK POINT WAS 27. 26 TO 27. THOSE ARE ESTIMATES AND THAT'S WHY WE'RE RECOMMENDING THE INCREASE FOR '26 BECAUSE WE'RE ESTIMATING THAT BREAK POINT IS '26 TO '27 BUT WE'RE GOING TO BE MORE EXACT WHEN WE GET THOSE DEBT PAYMENTS. >> Hernandez: SO THE NUMBERS YOU'RE TALKING ABOUT AREN'T JIVING WITH WHAT'S IN THE PROPOSED BUDGET BOOK. >> RIGHT. >> Hernandez: LET ME FINISH. WHAT YOU HAVE TRANSFERRING THE UTILITY DEBT SYSTEM HAS GONE DOWN FROM LAST YEAR FROM $1.4 MILLION TO $1.16 MILLION. AND THEN THE TOTAL GROSS BALANCE IS $18 MILLION. YOUR RESERVE FOR COMMITMENTS, WHICH IS YOUR 25% REQUIREMENT IS $8 MILLION, WHICH LEAVES YOU WITH $10 MILLION. IN THE PREVIOUS YEAR YOU HAD A GROSS BALANCE OF $14 MILLION WITH A RESERVE OF 25% OF THE -- WHICH IS THE $8 MILLION. YOU HAD A BALANCE OF $6 MILLION. SO YOU HAD AN INCREASE OF $4 MILLION BUT YOUR BUDGET -- YOUR REVENUES HAVE GONE UP $3 MILLION SO YOU HAVE A NEXUS HERE OF AN ADDITIONAL MILLION DOLLARS. SO IF YOU'RE SAYING YOU'RE SAVING UP MONEY TO PAY FOR FUTURE DEBT IN ONCOMING YEARS, IS THAT HOW WE NORMALLY DO IT? >> THAT'S WHAT I'M RECOMMENDING, YES SIR. >> Hernandez: BUT YOUR DEBT SERVICE WENT DOWN. >> Zanoni: COUNCILMAN, I THINK YOU LOOKED AT THE WRONG LINE. IT GOES FROM $5 MILLION TO $6 MILLION. >> Hernandez: IT SAYS MAINTENANCE SERVICE. >> Zanoni: WRONG LINE. TRANSFER UTILITY SYSTEM DEBT GOES FROM $6.4 MILLION -- >> Hernandez: EVEN WITH THAT ADDITIONAL INCREASE, YOU HAVE AN INCREASE IN YOUR RESERVE BALANCE. >> Zanoni: RIGHT. WHAT ERNIE IS SAYING IS IT'S GOING TO SMOOTH OUT FUTURE RATE INCREASES OR NOT AT ALL. PLUS, ERNIE, HIS FOCUS THIS YEAR HAS BEEN ON STORMWATER. WHAT COUNCILWOMAN VAUGHN ASKED FOR IS SERVICE DELIVERY. WE'RE NOT EVEN GETTING TO WHERE WE SHOULD BE IN TERMS OF MINOR -- >> Hernandez: ALSO THE 1/8TH CENT SALES TAX COMES INTO PLAY NEXT YEAR IN MARCH. >> Zanoni: THOSE ARE FOR INFRASTRUCTURE PROJECTS, NOT MAINTENANCE. >> Hernandez: MOST OF THE STUFF HE DOES IS INFRASTRUCTURE. >> Zanoni: NO, THIS IS A MAINTENANCE OPERATING FUND HERE. HE HAS SOME MINOR PROJECTS IDENTIFIED. >> Hernandez: I NEED TO SEE HOW THAT LOOKS LIKE IN THE FUTURE BECAUSE IT LOOKS LIKE YOU'RE BANKING MONEY HERE AND NOT PUTTING IT INTO PRODUCTION. >> I THOUGHT THE SAME THING, SIR. I HAD THE SAME REACTION WHEN I FIRST SAW OUR NUMBERS. THAT'S WHY I ASKED FOR THE EXERCISE BECAUSE WHEN I SAW WHAT YOU SAW, I SAID WE NEED TO REDUCE THE FEE. WHEN THEY SHOWED ME THE DEBT SERVICE, IT KIND OF UPSET ME BECAUSE LIKE YOU'RE SAYING THE OPERATING COST ISN'T WHAT'S COSTING US MONEY, IT'S THE DEBT SERVICE. >> Hernandez: WE DON'T USE NEWGEN FOR STORMWATER, DO WE? >> Zanoni: WE DO NOT. >> Hernandez: WE'RE NOT SEEING THE FUTURE OUTLAYS. YOU'RE GOING TO HAVE TO BRING THAT TO US FOR NEXT TIME. UNTIL THEN, I WON'T BE VOTING TO APPROVE THIS. >> UNDERSTOOD. THANK YOU, SIR. >> Mayor Guajardo: COUNCILWOMAN PAXSON. >> Paxson: THANK YOU, MAYOR. REAL QUICK. HAVE YOU EVER EVALUATED TAKING PART OF THE TYPE A SALES TAX UNDER THE COASTAL RESILIENCY PROVISIONS TO UTILIZE SOMETHING LIKE THIS, OFFSET? >> THE PROP F, WE DO HAVE PROJECTS IN THE PROP F -- I GUESS WITH THE FEE THAT COUNCILMAN HERNANDEZ WAS REFERRING TO IN THE CIP. THAT'S WHERE WE HAD MOVED A LOT OF PROJECTS TO THAT ARENA. RIGHT NOW WE STILL HAVE CIP PROJECTS. YOU WEREN'T HERE AT THE TIME BUT WE PUT TOGETHER A BRIDGE INSPECTION PROGRAM AFTER MUD BRIDGE. SO WE HAVE A CONSULTANT INSPECTING ALL THE BRIDGES IN TOWN, MAKING SURE THAT THEY'RE ALL STRUCTURALLY SOUND. WITH THAT COMES MAINTENANCE PROGRAMS EITHER FOR EROSION CONTROL, STRUCTURAL REPAIRS. IN ADDITION TO THAT, EROSION CONTROL ON THE CHANNELS AND THEN ALSO WHAT WE TALKED ABOUT THE SLIP LINE WORK WE'RE DOING ON THE ISLAND. THOSE ARE THE KIND OF PROJECTS THAT GO INTO THE CIP PROGRAM. THOSE ARE CONSTRUCTION TYPE PROJECTS THAT IN-HOUSE RESOURCES AT PUBLIC WORKS CANNOT DO AND IT DOES REQUIRE AN ENGINEER IN SOME INSTANCES SO THAT REQUIRES AS CONTRACTOR AS WELL. BUT IT'S COSTLY TO DO WORK ON BRIDGES. IT'S COSTLY TO DO WORK, SPECIALIZED WORK INSIDE INLETS OR STORM SYSTEMS THAT KEEP US FROM HAVING TO TEAR OPEN THE TOPS AND PULLING OUT THE RCP AND PUTTING IT BACK IN. THAT'S ALL SPECIALIZED WORK THAT'S IN THE CIP PROGRAM. THAT'S ALL SPECIALIZED WORK THAT ADDS TO OUR DEBT SERVICE. >> Paxson: CAN WE TAKE, UNDER THE PROVISIONS OF THE CLASSIFICATION OF THAT FUNDING, COASTAL RESILIENCY, IF WE COULD DO KIND OF LIKE A TRANSFER FOR SERVICES THAT YOUR DEPARTMENT DELIVERS TO OFFSET WHAT WOULD BE THE PROPOSED RATE INCREASE IN THIS BUDGET, WHICH I THINK IS ABOUT $3 MILLION? >> CORRECT. >> Paxson: TO OFFSET SOME OF THAT RATE DIFFERENCE. >> Zanoni: WE'LL HAVE TO SHOW YOU NEXT WEEK BUT I THINK THE ANSWER IS I DON'T THINK SO. NOT AT THIS POINT BECAUSE THERE WAS A LIST OF PROJECTS THAT THE VOTERS VOTED ON AND THOSE WERE TO BE CONSIDERED FIRST. AND THAT'S NOT WHAT ERNIE HAS IN HIS MIX HERE OR IN HIS LIST HERE. MAYBE IN THE FUTURE WHEN IT'S SATISFIED. >> Paxson: DOES THAT EXHAUST THE RESOURCE? >> Zanoni: THERE'S A LIST OF ITEMS THAT WE TOLD THE VOTERS WE WOULD DO THIS WITH THE COASTAL RESILIENCY. THEN IT SAYS ONCE THOSE ARE SATISFIED WE WILL ADDRESS OTHER ISSUES THAT COME UP. IT'S A PRIORITIZATION. WE'RE GOING TO TAKE CARE OF A SMALL LIST FIRST. >> Paxson: IF THIS IS SIMILAR TO HOW YOU KIND OF EXPLAINED THE RPP, THEN PERHAPS WHAT WE DO, RATHER THAN START THAT BUILDING NOW, IS COUNT FOR THOSE TO BE COMPLETED AND BUILD THAT IN THEN. SO WE KIND OF SHUFFLE THOSE YEARS DOWN A YEAR OR TWO TO COMPLETE THOSE PROJECTS. >> Zanoni: YOU COULD BUT THESE BRIDGES, WE HAD ONE COLLAPSE, LIKE MUD BRIDGE. SO YOU DON'T WANT TO -- >> YEAH, WE HAD THOSE PROJECTS, LIKE THE CITY MANAGER JUST MENTIONED, THOSE ONES WERE VOTED ON, SELECTED PROJECTS. YOU KNOW, SOME OF THEM ARE IN THE LONGER >> SOME OF THEM ARE IN THE LONGER RANGE, SOME IN THE SHORT RANGE. AN EXAMPLE IS OF THE CONTINUATION WHAT WE'RE DOING ON NORTH BEACH AFTER THE HARBOR BRIDGE IS COMPLETED WE'LL FINISH THAT WORK. THERE WERE SOME PROJECTS ALSO PUT INTO THAT PROGRAM. ONE WAS THE 664 PROJECT WHICH IS NO LONGER NEEDED BECAUSE TXDOT'S GOING TO DO THAT WORK FOR US. THERE'S SAVINGS TO THE CITY AND WE DON'T HAVE TO BUILD THAT PROJECT AFTER ALL. SO IN SOME INSTANCES, THERE IS A REEVALUATION, BUT WE START TO COMMIT TO COMPLETION OF THOSE PROJECTS AND THE CONSTRUCTION COST OF THOSE PROJECTS IS WHERE THOSE DEBT SERVICES ARE IMPACTING OUR FEE. >> Paxson: UH-HUH. WELL, I THINK KIND OF LIKE MR. HERNANDEZ -- OR COUNCILMAN -- EXCUSE ME -- HERNANDEZ IS SAYING IF WE CAN LOOK AT HOW WE SHUFFLE ALL THOSE DOWN, SEE IF THAT'S SOMETHING WE CAN APPROPRIATE RATHER THAN FRONT LOAD IT NOW, KIND OF SHUFFLE THAT STRATEGY. I'D BE INTERESTED TO SEE INFORMATION ON THAT FOR THE SECOND READING. >> De La Garza: YAM. >> Mayor Guajardo: OKAY. THANK YOU, ERNIE. WE'VE CLOSED PUBLIC HEARING SO I WILL NOW ENTERTAIN A MOTION TO APPROVE ITEM NUMBER 21. >> SO MOVED. >> SECOND. >> Mayor Guajardo: OKAY. WE HAVE A MOTION AND WE HAVE A SECOND. PLEASE SUBMIT YOUR VOTE. THE MOTION FAILS. OKAY. IT IS -- THANK YOU, ERNIE. YEAH. IT'S 5:26. YES -- OH, HOLD ON. COUNCILMAN CANTU. >> Cantu: QUICK QUESTION. WE HAVE A LOT OF PEOPLE HERE FOR PUBLIC COMMENT AND I APPRECIATE EVERYONE BEING HERE. I WANT TO ASK YOU, MAYOR, IS THERE ANY POSSIBLE WAY TO PUT EVERYTHING ELSE WE HAVE ON THE AGENDA FOR NEXT WEEK AND JUST DO THE MOST IMPORTANT ITEMS, 34 AND 35, BECAUSE I DO NOT WANT TO VOTE FOR 34 AND 35 AT MIDNIGHT? SO I WANT A CLEAR HEAD, I WANT TO HEAR EVERYBODY OUT, SO PUBLIC COMMENT WILL LAST UNTIL ABOUT 10:00. >> Mayor Guajardo: WELL, YOU KNOW WHAT? WE COULD DO QUICKLY IS AT LEAST LET'S SEE IF WE CAN PASS THAT -- THE CONSENT. >> Cantu: OKAY. >> Mayor Guajardo: LET'S PASS THE CONCEPT AND THEN WE'LL GO TO THAT QUESTION -- CONSENT AND THEN WE'LL GO TO THAT QUESTION. WOULD ANY COUNCILMEMBERS LIKE TO PULL ANY ITEMS BETWEEN 23 AND 32 ON OUR CONSENT AGENDA, SO WE CAN JUST PASS THIS -- >> WHICH ONES. >> Mayor Guajardo: ITEMS 23 THROUGH 32? >> ARE WE PULLING 30 AS -- >> Zanoni: R. >> City Secretary: YES, MA'AM, WE ARE. >> Zanoni: WE'RE GOING TO REMOVE ITEM 30. >> Mayor Guajardo: YEAH, ITEM 30'S REMOVED. >> Paxson: 31. >> Cantu: JUST 30, RIGHT? >> Mayor Guajardo: 30 IS THE ONLY ONE. OKAY. WITH THAT, I'M GOING TO ENTERTAIN A MOTION TO APPROVE CONSENT AGENDA WITH THE EXCEPTION -- OH, WE'RE PULLING 30. THE CONSENT AGENDA. DO WE HAVE A MOTION AND A SECOND? WE HAVE A MOTION. WE HAVE A SECOND. ALL IN FAVOR SAY AYE. >> SPEAKER 6: . (AYES.) >> Mayor Guajardo: ANY OPPOSED, SAY NO. THE MOTION CARRIES. THAT TAKES CARE OF OUR CONSENT AGENDA. COUNCILMAN CANTU, YOU'RE TALKING ABOUT. >> Zanoni: YOU KNOW, THAT ZONING CASE WAS ADVERTISED AND I DON'T KNOW IF MICHAEL DICE WAS HERE, IF WE DON'T HEAR IT TODAY, THEY HAVE TO READVERTISE IT AND IT TAKES 30 DAYS. >> Mayor Guajardo: IS THERE AN ISSUE WITH THAT ONE. >> Zanoni: I DON'T KNOW, WE'LL GET HIM UP HERE ON THE PODIUM. I THINK IT'S JUST A REGULAR ZONING CASE. CITY COUNCIL DISTRICT ONE. >> Mayor Guajardo: 33. >> Zanoni: IT WAS APPROVED BY THE PLANNING COMMISSION. >> Mayor Guajardo: LET'S JUST DO THAT REALLY QUICKLY. ITEM NUMBER 33 IS ZONING CASE ZN8769 GARY W CROOK, DISTRICT ONE. >> Zanoni: JUST A QUICK SUMMARY OF IT, DICE. >> Dice: QUICK SUMMARY, MICHAEL DYESS, EVERYTHING IN THIS AREA HAS BEEN REZONED TO OFFICE. THIS IS THE LAST ONE OF TWO PIECES OF PROPERTY THAT ARE LEFT THAT ARE ZONED RS-6. THIS IS A SPECULATIVE ZONING, HE DOES NOT HAVE -- I DON'T THINK THE OWNER SHOWED UP TODAY. HE DOESN'T HAVE A SPECIFIC USE OTHER THAN OFFICE. HE'S GOING TO BUILD MULTITENANT SPACE. AND THAT WAS THE ZONING CASE IN TWO SECONDS. >> Mayor Guajardo: WE HAVE A MOTION AND A SECOND. I'M GOING TO OPEN PUBLIC HEARING NOW, WOULD ANYONE LIKE TO MAKE COMMENT ON ITEM NUMBER 33, ZONING CASE? OKAY. THERE BEING NO ONE, WE'LL CLOSE PUBLIC HEARING. >> MOTION TO APPROVE. >> Mayor Guajardo: WE ALREADY HAVE IT. PLEASE SUBMIT YOUR VOTE. >> [OFF MIC] >> Mayor Guajardo: OKAY. THE ITEM CARRIES. I KNO[DISCUSSION OFF MIC] >> Mayor Guajardo: MEETING ON ITEM NUMBER 22, WHICH IS THE RPP, CAN THAT ONE GO NEXT WEEK. >> Zanoni: IT CAN GO NEXT WEEK, IT'S JUST THE ONE-READING RESOLUTION. >> Mayor Guajardo: WE'RE GOING TO PUSH ITEM NUMBER 22 WHICH IS A RESOLUTION PROVING THE 2027 THROUGH 2031 RAPID PAVEMENT PROGRAM THAT INCLUDES A LIST OF THE LOCAL COLLECTOR AND ARTERIAL STREETS THAT ARE PLANNED FOR STREET RECONSTRUCTION UTILIZING A PAVEMENT ONLY APPROACH. WE'LL HEAR THAT ON ONE READING NEXT WEEK. >> Zanoni: RIGHT. AND COUNCILWOMAN PAXSON WAS GOING TO BRING UP ON THAT ONE THE STREET USER FEE, BUT QUESTION JUST NEED SOME DIRECTION, IF NEXT WEEK YOU WANT A STREET USER FEE ON THE AGENDA. I DON'T -- >> Mayor Guajardo: I DON'T THINK -- >> Zanoni: WE'D HAVE TO POST IT, YOU KNOW, IF YOU WANTED IT ON FOR NEXT WEEK. >> Mayor Guajardo: I'M SORRY. >> Zanoni: WE SHOULD POST IT ON THE AGENDA THAT GOES OUT TOMORROW FOR NEXT TUESDAY IF THE COUNCIL -- WE CAN'T GET CLEAR DIRECTION, SO I JUST WANT TO CHECK ONE MORE TIME, COUNCILMAN PAXSON ASKED ME ABOUT IT. SO IF THE COUNCIL WANTS TO CONSIDER THAT STREET USER FEE, IT WOULD BE GOOD TO DIRECT US NOW TO PUT IT ON NEXT WEEK'S AGENDA AS PART OF THE BUDGET. IF NOT, THEN WE WON'T PUT IT ON. >> Mayor Guajardo: YEAH, I DON'T KNOW THAT YOU HAVE A FULL CONSENSUS, BUT MY COLLEAGUES CAN SPEAK UP IF THEY'D LIKE TO. IT'S NOT SOMETHING I WOULD -- >> Zanoni: I SEE SOME PEOPLE SHAKING THEIR HEADS. I MEAN, WE CAN PUT IT ON WITH THE OFFER. >> Scott: MARK SAYS PUT IT ON. >> Zanoni: OKAY. WE'RE GOING TO PUT IT ON. YOU DON'T HAVE TO APPROVE IT, I JUST WANT DIRECTION TO PUT IT ON OR NOT. >> Mayor Guajardo: WELL, IT'S TO CONSIDER. >> Zanoni: YEAH, OKAY. GOOD. >> Mayor Guajardo: THAT'S FINE. COUNCILMAN HERNANDEZ, DID YOU HAVE A COMMENT. >> Hernandez: I WAS GOING TO SAY THE SAME THING, WE NEED TO VOTE ON IT DIRECT LYSLY SINCE IT'S A FEE BEING APPLIED TO THE UTILITY BILL. >> Zanoni: THAT'S WHAT I WAS SAYING. WE'LL DO IT NEXT WEEK. AND WE PROBABLY WON'T DO THE UPDATE ON THE WATER SUPPLY, WE'RE PROBABLY TOO LATE. >> Mayor Guajardo: YEAH. DO WE NEED TO DO A -- THE UPDATE, THE WATER UPDATE. >> Zanoni: NO, WE'LL SKIP THAT. THE MEMO WENT OUT FRIDAY. >> Mayor Guajardo: I AGREE SO THAT WILL BE MIDNIGHT. >> Mayor Guajardo: WE'RE GOING TO HAVE PUBLIC COMMENT. WE HAVE 85. OKAY. 85 PUBLIC COMMENTS, SO WE'LL BE LISTENING TO PUBLIC COMMENT FOR ABOUT FOUR AND A HALF HOURS. JUST SO Y'ALL KNOW. GET COMFY. >> Zanoni: AND MAYOR, I'M SORRY TO INTERRUPT, BUT JUST IN CASE SOME OF THE AUDIENCE DOESN'T KNOW, WE DO HAVE AN OVERFLOW ROOM ON THE SIXTH FLOOR THAT IS SIMULCAST HERE, SO IF SOMEBODY WANTS TO SIT DOWN, YOU USUALLY CALL A COUPLE OF PERSON'S NAMES AHEAD OF TIME. IF SOME OF THE AD YENS DOESN'T WANT TO STAND ON THE SIXTH FLOOR THERE IS SEATING AND SIMULCAST. >> Mayor Guajardo: ARE WE AT CAPACITY HERE. >> Zanoni: WE DO HAVE THE FIRE MARSHAL WATCHING. WE WANT TO MAKE SURE WE'RE SAFE. >> WE HAVE 20 MORE. >> Mayor Guajardo: WE HAVE PLENTY OF ROOM. YOU KNOW, AND HONESTLY, TO BE -- YEAH, THERE ARE SEATS. THERE ARE SPORADIC SEATS HERE, SO IF ANYBODY'S AN USHER AT CHURCH, LET IT KICK IN NOW. BECAUSE WE'VE GOT MULTIPLE SEATS UP FRONT HERE. BUT I WOULD SAY THIS: YOU'RE WELCOME TO, YOU KNOW, GET UP AND WALK OUT AND COME BACK IF YOU'D LIKE, BUT WE ARE REALLY GOING TRY TO BE VERY, VERY EFFICIENT. SO I WILL BE CALLING OUT FIVE TO SEVEN NAMES, SO THAT YOU KNOW WHEN YOU'RE COMING UP. AND YOU'RE WELCOME TO COME STAND IN THE MIDDLE HERE, THE WHOLE POINT IS TO GET US MOVING. IF WE HAD ROOM TO SIT UP FRONT, I WOULD DO THAT, BUT RIGHT NOW WE'RE OBVIOUSLY TO CAPACITY. LET'S SEE. WE'RE GOING TO GO AHEAD AND DO FOUR AND A HALF HOURS OF PUBLIC COMMENT. WE'LL COME BACK AND DO THE TWO ITEMS LEFT ON THE AGENDA AND THEN WE'LL CLOSE THE MEETING. OKAY. OKAY. WE HANDLE SIGNIFICANT MATTERS CONCERNING TAXPAYER DOLLARS MAKING IT IMPERATIVE WE HOLD THE HIGHEST STANDARDS OF DECORUM. AND ADHERENCE TO OUR POLICIES. OUR CORE PRINCIPLES OF OPENNESS, TRANSPARENCY AND INCLUSIVENESS GUIDE OUR ACTIONS AND WE AIM TO ACHIEVE THEM WHILE RESPECTING OUR CITY COUNCIL POLICY, WHICH HAS BEEN IN PLACE FOR 30 YEARS. PUBLIC COMMENT SERVES AS ONE AVENUE FOR COMMUNICATION, BUT IT'S CERTAINLY NOT THE ONLY METHOD. YOU MAY ALSO REACH OUT TO YOUR COUNCILMEMBERS BY WAY OF PHONE, E-MAIL OR EVEN SCHEDULING AN IN-PERSON APPOINTMENT. I ALSO WANT TO TAKE A MOMENT TO ADDRESS AN IMPORTANT MATTER. THESE COUNCIL CHAMBERS -- IT'S A PLACE FOR PUBLIC BUSINESS, A FORUM FOR CIVIC DISCUSSION. DECISION-MAKING AND SERVICE TO THE PEOPLE OF CORPUS CHRISTI, IT IS NOT A STAGE FOR PERSONAL ATTACKS, DISRUPTIONS OR VULGARITY AND VIOLATIONS OF DECORUM WILL NOT BE TOLERATED THERE. HAVE BEEN REPEATED INSTANCES OF INDIVIDUALS USING PROFANITY, SHOUTING OVER OTHERS AND SHOWING PLAY TENT DISREGARD FOR RULES REGARDING OUR PROCEEDINGS. I WILL CONTINUE TO WELCOME RESPECTFUL DISAGREEMENT BUT I WILL NOT ALLOW THIS COUNCIL OR THE PUBLIC TO BE DISRESPECTED. I WANT TO REASSURE EVERYONE THAT FROM TIME TO TIME COUNCILMEMBERS MAY STEP AWAY FROM THE DAIS FOR BRIEF PERIODS. PLEASE KNOW THAT TELEVISIONS AND AUDIO ARE AVAILABLE IN THE BACK BEHIND US HERE, ENSURING THAT MEMBERS REMAIN FULLY ENGAGED AND ATTENTIVE TO THE DISCUSSION EVEN IF THEY'RE NOT PHYSICALLY SEATED AT THE DAIS. I'LL ASK CITY ATTORNEY MCBRYCE TO REVIEW THE COUNCIL RULES OF DECORUM AND THE RULES WILL BE DISPLAYED ON THE TELEVISION SCREENS FOR OUR AUDIENCE'S REFERENCE. >> [READING OF RULES DISPLAYED ON MONITOR] >> Mayor Guajardo: THANK YOU, MR. BRYCE. SO IF YOU'LL PLEASE STATE YOUR NAME AND THE CITY IN WHICH YOU LIVE BEFORE BEGINNING YOUR COMMENTS. CITIZEN COMMENTS ARE LIMITED TO THREE MINUTES WHILE NONRESIDENT COMMENTS ARE LIMITED TO ONE MINUTE. A VISESSABLE TIMER POSITIONED NEAR THE CITY CERTIFICATE'S DESK WILL HELP MANAGE THE ALLOTTED TIME. RESIDENTS OF CORPUS CHRISTI WILL BE GIVEN PRIORITY IN SPEAKING OVER NONRESIDENTS AND IF YOU HAVE A PETITION OR ANY RELEVANT IN ADDITION, PLEASE PRESENT IT TO OUR CITY SECRETARY BEFORE SPEAKING AND THEN SHE WILL DISTRIBUTE IT TO US. SO WITH THAT, WE WILL START WITH JULIE ROGERS, FOLLOWED BY ALMA GARZA, CALLEY WALKER, DALE SWITALLA, PATRICIA ANDERSON AND DAVID ROUSEY. >> READY TO HIT IT JULIE ROGERS, DISTRICT ONE. I WORE AN OG BUTTON THAT SAYS DESAL EQUAL DEAD BAY. AND I WORE IT TO HONOR EDDIE CANALES AND ALSO TO HONOR ALL THE PEOPLE WHO HAVE PARTICIPATED FOR THE LAST EIGHT YEARS TO VOICE OUR CONCERNS ABOUT BUILDING A DESAL PLANT IN THE IN INNER HARBOR. THAT'S HOW I STARTED COMING HERE, AND THAT'S WHEN WE DISCOVERED THAT PERHAPS INDUSTRY WASN'T PAYING THEIR FAIR SHARE, THAT THERE WERE IDAS, AND WE ASKED FOR A VOTE, AND WE ASKED FOR A VOTE MANY TIMES AND NEVER GOT ONE. AND THEN WE RAN A PETITION, AND THEN COVID CAME. AND EVEN THOUGH THE COUNCIL THEN COULD HAVE LET -- COULD HAVE RECOGNIZED THE PETITION, THEY DECIDED NOT TO. SO TODAY, I'M GRATEFUL THAT SOME COUNCILMEMBERS HAVE ASKED FOR A VOTE THAT WE ASKED FOR EIGHT YEARS AGO, AND THE REASON I STARTED COMING HERE AND DISCOVERED THAT -- IT WAS FOR QUALITY OF LIFE. I STARTED WORKING DOWN HERE IN 2007. THEN MY UNION, THE NATIONAL NURSES UNITED, PUT ME HERE IN 2015. AND BECAUSE I LOVE CORPUS CHRISTI, I DECIDED THAT WE WOULD RETIRE HERE. AND WHEN YOU MAKE THAT DECISION, WE -- I HAVE A DEAR FRIEND, DORA WILL BURN, AND SHE ASKS PEOPLE , ARE YOU GOING TO DIE HERE? AND I'M THANKFUL TO BE ABLE TO SAY, YES, I AM. NOW, WHO KNOWS WHAT FROM, BUT... [LAUGHTER] >> BUT THE UNIVERSE AND GOD HAS PUT ME HERE, AND I BEG OF YOU TO THINK OF QUALITY OF LIFE, THINK OF DEMOCRACY, THINK OF OUR FIRST AMENDMENT RIGHTS. FOR ME, QUALITY OF LIFE IS YOUR QUALITY OF LIFE DEPARTMENTS, IT IS THE LIBRARY, IT IS PARKS AND REC. I NOTICED TODAY THAT THERE ARE CUTS TO THE PARKS AND REC DEPARTMENT. WE'RE LOSING HOW MANY PART-TIME EMPLOYEES? TWO THINGS STAND OUT. FIRST OFF, THERE SHOULDN'T BE CUTS TO EMPLOYEES. THOSE 81 EMPLOYEES IN THE WATER DEPARTMENT, WE NEEDN'T LOSE THEM, BUT WE ALSO SHOULDN'T HAVE PART-TIME EMPLOYEES, THAT MEANS THEY DON'T HAVE BENEFITS. AND YOU CAN PUT THINGS IN DIFFERENT CORNERS, BUT EVERYTHING'S CONNECTED AND IT ALL ADDS UP. AND IF WE PUT THAT DESAL PLANT IN THE INNER HARBOR, WE'RE GOING TO SEE THAT HAPPEN BECAUSE WE WILL KILL THE BAY. PLEASE DON'T VOTE FOR IT. >> Mayor Guajardo: THANK YOU, MRS. TRAVIS. ALMA GARZA. >> I WAS GOING TO SPEAK TO 22, SO IT'S NOT GOOD AFTERNOON, IT'S GOOD EVENING NOW. I'M GOING TO WAIT UNTIL SHE PASSES THAT OUT. >> OKAY. GOOD EVENING. MY NAME IS ALMA GARZA. I RESIDE IN CORPUS CHRISTI, DISTRICT 5. I WAS BORN AND RAISED IN CORPUS CHRISTI 80 YEARS AGO. I'VE LIVED AT 6249 ST. DENNIS STREET FOR 25 YEARS AND MY HOME WAS BUILT IN 1985, WHICH MAKES IT A 40-YEAR-OLD HOME ON A 40-YEAR-OLD STREET. STREETS REPAIRS AT KINGS CROSSING BEGAN IN JUNE AND JULY AND RESIDENTS WERE EXCITED TO SEE THE HUGE VEHICLES PARKED IN FRONT OF THE NEWLY RENOVATED PARK. AT LAST, RELIEF FROM THE MULTIPLE POTHOLES LINING OUR STREETS. HOWEVER, WE SOON DISCOVERED THAT ST. DENNIS STREET WAS NOT TO BE REPAIRED DURING THIS CYCLE. WE BEGAN TO TRY TO FIGURE OUT WHY WHEN MULTIPLE STREETS ALL AROUND ST. DENNIS WERE SCHEDULED TO BE REPAIRED AND THE VEHICLES WERE PARKED AND BEING DRIVEN UP AND DOWN ST. DENNIS STREET FURTHER DAMAGING THE ALREADY DAMAGED STREET. THIS IS LIKE A TALE OF TWO STILL. THE ST TALE OF TWO ST. DENNIS STREET. THERE'S A ST. DENNIS STREET CONSTRUCTED IN 2006 AND THERE'S A ST. DENNIS STREET CONSTRUCTED IN 1985, SO THAT'S THE DIFFERENCE OF 21 YEARS. SO IF YOU LOOK AT THE FIRSTHANDOUT, YOU CAN CLEARLY SEE IN THE UPPER LEFT PHOTO, WHAT I CALL THE DIVIDE BETWEEN THE TWO ST. DENNIS STREETS. I WAS A PHOTOGRAPHER, I APOLOGIZE, BUT THE SHADY AREA IS THE NEWER SECTION THAT YOU CAN PROBABLY SEE. THE UPPER RIGHT PHOTOSHOWS WHAT THE 1985, 40-YEAR-OLD ST. DENNIS STREET LOOKS LIKE. AND FINALLY, A PHOTO OF SOME OF THE VEHICLES STATIONED IN FRONT OF THE PARK AND HAVE BEEN STATIONED THERE FOR SEVERAL MONTHS AND DRIVING UP AND DOWR DOWN THAT STREET AND WHAT THAT STREET LOOKS LIKE RIGHT NOW. IT'S RIGHT IN FROANT OF THAT BEAUTIFUL NEW PARK, THANK YOU FOR THAT RENOVATED PARK, BY THE WAY. THE SECOND HANDOUT SHOWS THE CURRENT PLAN. THE PARK IS SITUATED WHERE YOU SEE THE BLANK AREA SURROUNDED BY THE STREETS IN YELLOW. RIGHT ABOVE WHERE ANNA MASS ENDS IS WHERE THE 2006 ST. DENNIS STREET BEGINS. SO ON SUNDAY, I VISITED 34 HOMES ON ST. DENNIS STREET, WALKED THEM ALL MYSELF. THIS IS A 1985 PORTION, AND SPOKE TO 16 RESIDENTS AND LEFT FLYERS ABOUT THIS MEETING TODAY WITH THE OTHERS. I CAN ASSURE YOU THAT I HEARD THE SAME CONCERNS FROM ALL OF THEM, THEY THANKED ME AND ASKED ME TO CONVEY THEIR HOPE THAT YOU WOULD RESPOND POSITIVELY TO THE REQUEST TO REPAIR ST. DENNIS STREET NOW, RATHER THAN IN 2027, WHICH IS IN THE PLAN THAT YOU WERE TO APPROVE TODAY. SO WE SINCERELY HOPE YOU CONSIDER THAT WE DON'T HAVE TO SPEND ANOTHER TWO YEARS ON THAT HORRIBLE STREET. THANK YOU VERY MUCH. >> Mayor Guajardo: THANK YOU, MRS. GARZA. CALLEY WALKER. >> CALLEY WALKER, DISTRICT 2, CORPUS CHRISTI. THANK YOU, MAYOR AND COUNCIL. I'M HERE TODAY TO SPEAK IN SUPPORT OF THE INNER HARBOR SEAWATER DESALINATION TREATMENT PLANT. I HEAR OFTEN REGARDING THIS PLANT THAT IT'S ONLY BEING BUILT TO PROVIDE INDUSTRY WITH WATER. WELL, I'M NOT AWARE OF A SEPARATE TAP THAT SOMEHOW DIFFERENTIATES INDUSTRY WATER FROM RESIDENTIAL USE. I WANT TO BLUR THIS DISTINCTION FURTHER. I WAS BORN IN CORPUS CHRISTI, I WAS RAISED IN ORANGE GROVE WHERE I GRADUATED HIGH SCHOOL. I LEFT THE REGION FOR ABOUT A DECADE BECAUSE THERE WASN'T MUCH OPPORTUNITY FOR ME HERE AT THE TIME. I CAME BACK IN 2017 TO PURSUE A GRADUATE DEGREE AND WORK IN CORPUS CHRISTI AND BOUGHT A HOUSE HERE IN 2021. I VOLUNTEER FOR SEVERAL LOCAL NONPROFIT ORGANIZATIONS IN DIFFERENT CAPACITIES, GO TO CHURCH HERE, FREQUENT LOCAL BUSINESSES, A FEW RESTAURANTS A LITTLE TOO FREQUENTLY IF TRUTH BE TOLD, AND MY DAUGHTER IS A CCISD STUDENT. I VOTED FOR SEVERAL OF YOU HERE ON THIS COUNCIL, AND I AM INDUSTRY. I AM ALSO NOT SPECIAL. I WORK WITH MORE THAN 600 OTHER INDIVIDUALS WITH SIMILAR STORIES AND BACKGROUNDS TO MINE. SOME HAVE LIVED HERE CONTINUOUSLY, SOME HAVE LEFT AND COME BACK AND SOME HAVE UPROOTED THEIR FAMILIES TO MAKE A HOME HERE. SOME DO A LEVEL OF SERVICE IN THE COMMUNITY THAT PUTS MY OWN TO SHAME. MORE BROADLY, THERE ARE THOUSANDS AND THOUSANDS OF OTHER INDIVIDUALS WORKING AT PLANTS HERE LOCALLY IN THE COASTAL BEND WITH SIMILAR STORIES. AT OUR FACILITIES WE MAINING PRODUCTS THAT EVERYONE IN THIS CHAMBER USES IN THEIR DAILY LIVES, FROM RAW MATERIALS FOR MEDICAL SUPPLIES, FOOD PACKAGING AND TEXTILES TO REFREJ RANT, THANK GOD FOR THAT, TO TRANSPORTATION FUELS AND MORE. THOSE MANY THOUSANDS OF INDIVIDUALS REPRESENT TENS OF THOUSANDS OF RESIDENTS WHEN YOU ADD IN OUR FAMILIES. WE IMPACT EVEN MORE THROUGH SPENDING OUR MONEY WITH LOCAL BUSINESSES AND PAYING TAXES, SO WHEN I HEAR THAT WATER IS JUST FOR INDUSTRY, AS IF IT'S A PA JORTIVE, I'M CONFUSED BY WHAT PEOPLE THINK THAT MEAN. IT SOUNDS LIKE PEOPLE WHO WORK IN INDUSTRY DON'T MATTER. WE'RE WORKING TO IMPROVE SOCIETY. PLEASE DO THE LOGICAL THING, ADVANCE THIS PROJECT TO SHORE UP OUR FUTURE BOTH AS A RESIDENT AND AS EMPLOYEE OF INDUSTRY. THANK YOU. >> Mayor Guajardo: THANK YOU, MRS. WALKER. DALE SWITALLA. >> I'M DALE SWITALLA, I LIVE IN DISTRICT ONE. I'M HERE TO OPPOSE AGENDA ITEM 34 SPENDING $50 MILLION TO KIEWIT. ALSO I OPPOSE SPENDING AGENDA ITEM 35, $210 MILLION FOR CITY UTILITY, JUNIOR LEAGUE REVENUE IMPROVEMENT BONDS FOR TEXAS WATER DEVELOPMENT BOARD FOR INNER HARBOR DESAL. THE CITY IS ALREADY $2.5 BILLION IN DEBT WITHOUT THE DESAL PLANT. WE CAN'T AFFORD THIS INCREDIBLY EXPENSIVE DESAL PLANT. IF YOU GO AHEAD WITH IT, THERE WILL NOT BE ANY MONEY LEFT OVER FOR OTHER FASTER AND MUCH LOWER PRICED WATER ALTERNATIVES. THAT HANDOUT IN THE UPPER PART SHOWS THE CITY HAD ALREADY CONTACTED TECQ AND WAS GIVEN A WASTEWATER PERMIT FOR INTERSECTION OF NUECES BAY BOULEVARD AND EAST BROADWAY. IT'S THE SAME PERMIT THAT WE'RE USING NOW IN 2025. BUT THE LAST UPDATE DATE AT THE CENTER OF THAT TOP HALF OF THE THING SHOWS THE DATE IS JUNE 5TH, 2003. HOW MANY YEARS HAS IT BEEN PLANNED FOR CONTACT -- HOW MANY YEARS HAS IT BEEN PLANNED BEFORE CONTACTING TEQ ECQ FOR THIS? THE CITY HAS BEEN TRYING TO PUT THIS PLANT IN HILLCREST AT THE SAME STREET'S LOCATION FOR OVER 22 YEARS. HOWEVER I NEVER HEARD A WORD ABOUT IT UNTIL DECEMBER OF 2023 WHEN A SPEAKER AT BROOKS WORSHIP CENTER TOLD US ABOUT THE PLANS. MY NEIGHBORS IN THIS ROOM, DID ANY OF YOU KNOW ABOUT THIS DESAL PLANT IN 2003? I DON'T SEE ANY RAISED HANDS. THE LOWER PART OF THIS HANDOUT IS SHOWING THAT THE CITY IS THE OWNER-OPERATOR SINCE JANUARY 22ND, 2020, AND THAT LAND WHICH WAS PROMISED TO NEVER HAVE ANYTHING BUILT ON IT WHEN CLEARED IN THE EARLY '80S TO BE A BUFFER ZONE, BACK THEN THERE WERE MANY REFINERY EXPLOSIONS AND MANY NEW OIL TANKS THAT HAD JUST BEEN BUILT ALONG NUECES BAY BOULEVARD. THINGS I'VE LEARNED FROM RESEARCHING DESAL PLANTS: SEAWATER DESAL ARE ALWAYS MORE EXPENSIVE THAN ORIGINALLY PROPOSED. NO DESAL PLANT SEEMS TO PRODUCE ALL YEAR ROUND. THEY CLOSE FOR MAINTENANCE A COUPLE OF MONTHS A YEAR AT LEAST. AND WE WERE SENT -- WE SENT TWO COUNCILMEMBERS OR SOME COUNCILMEMBERS TO VISIT TWO THAT WERE CLOSED FOR THAT VERY PURPOSE. PLEASE LEARN FROM THAT. MANY DESAL PLANTS PRODUCE LESS THAN THE AMOUNT THEY PROMISED SO OUR 30 MGD MAY ONLY PRODUCE 25 MGD. THE SIXTH LARGEST IN USA IS TAMPA BAY DESIGNED FOR 25 MGD. IT PRODUCES ONLY 16 TO 20 MGD. IT HAS REACHED 25 MGD, BUT AVERAGES ONLY 20 MGD. THE FIFTH LARGEST IS KAY BAILEY HUTCHINSON DESAL PLANT OPENED IN 2007, BUT DIDN'T REACH CAPACITY UNTIL 2012, FIVE YEARS AFTER OPENING. >> Mayor Guajardo: THANK YOU, MR. SWITALLA. PATRICIA ANDERSON. >> GAIL ANDERSON, CORPUS CHRISTI. I STARTED DOING A DEEP DIVE ON INNER HARBOR BACK IN MARCH AND HAD MANY MISGIVINGS. AS I CONTINUED TO GIVE, THE RESEARCH DATA SHOWED THE INNER HARBOR WAS NOT THE MOST VIABLE PROJECT FROM A COST BENEFIT ANALYSIS. HERE ARE MY OBSERVATIONS. ONE, I LEARNED THE CITY WAS NOT PRESENTING ALL THE FACTS, ESPECIALLY IF THE FACTS WERE NOT FAVORABLE TO INNER HARBOR. DOES THAT INSTILL TRUST? TWO, ANOTHER POINT OF MISTRUST CAME WHEN THE CITY PRESENTED ALTERNATIVE WATER SOURCES, BUT DIDN'T ACTIVELY PURSUE THEM. THE CITY'S SOLE FOCUS HAS BEEN INNER HARBOR. GRANTED, THE PREVIOUS CITY COUNCIL HAD GIVEN THE GO-AHEAD TO PURSUE INNER HARBOR, BUT THE CURRENT SITTING CITY COUNCIL CLEARLY SAID WE NEED FASTER ALTERNATIVES IN ADDITION TO INNER HARBOR. THREE, THEN YOU HAVE TO ASK YOURSELF WHY DID THE CITY PICK THE WORST POSSIBLE DESAL LOCATION PRESENTED AT THE MARCH WORKSHOP? IT HAS THE MOST POTENTIAL FOR ENVIRONMENTAL DAMAGE. FOUR, A CORE SCIENTIFIC TENET IS THAT FINDINGS MUST BE REPEATABLE. THE SAME HOLDS TRUE FOR MODELING, OTHERWISE IT IS GARBAGE IN AND GARBAGE OUT. KIEWIT NEVER LET US LOOK AT THEIR MODEL OF INNER HARBOR, EVEN MORE IMPORTANTLY, THEY DIDN'T EVEN BOTHER TO MODEL THE TWO ADJACENT BAY SYSTEMS. WHERE'S THE TRUST? FIVE, INNER HARBOR'S INCREASED 545%, THAT'S ONLY A 10% DESIGN ESTIMATE. FOLKS, THAT'S NOT INFLATION, THAT'S SCOPE CHANGE. WHAT TRUST WE HAVE HAS FLOWN OUT THE WINDOW. NOW -- NOW THAT WE'VE LOST TRUST, WE NEED DETAILS. DID THE OPERATING EXPENSE REALLY GO FROM 60 MILLION TO 32 MILLION ANNUALLY? REALLY. SEVEN, FACTS HIDDEN FROM HILLCREST RESIDENTS FROM THE VERY BEGINNING. I ASKED THEM IF THEY TRUST THE CITY. THAT SHOULD HAVE BEEN OUR FIRST CLUE. WATCH HOW THE CITY TREATS ITS ELDERLY AND ITS MINORITIES. EIGHT, I'VE ASKED SOME HARD QUESTIONS TODAY, THAT SHOULD GIVE YOU PAUSE. CAN WE TRUST THE CITY? IS THE CITY PURSUING COST BENEFIT ANALYSIS ON ITS WATT WATER PROJECTS? HAS THE CITY DONE ITS DUE DILIGENCE REGARDING THE ENVIRONMENT? HAS THE CITY DONE THE BEST FOR HILLCREST? LASTLY, YOUR VOTE FOR INNER HARBOR TELLS US WHO YOU REPRESENT. YOUR VOTE FOR IS A FOR BIG BUSINESS OR BIG MONEY. A VOTE AGAINST IS FOR CITIZENS. YOU'RE PUTTING CITIZENS FIRST. THANK YOU. >> Mayor Guajardo: THANK YOU, MRS. SANDERSON. DAVID ROWSY. [APPLAUSE] >> Mayor Guajardo: OKAY. [APPLAUSE] >> Mayor Guajardo: THERE WILL BE NO CLAPPING. THERE WILL BE NO CLAPPING. THAT'S BREAKING DECORUM. YOU CAN WAVE YOUR HANDS IF YOU WANT TO. BUT LET'S, PLEASE -- I'M REALLY GOING TO PAUSE US. I'M ASKING EVERYONE TO PLEASE JUST ABIDE BY THE RULES. THERE IS NO CLAPPING. THERE'S NO YELLING, THERE'S NO -- F NONE OF THAT. LET PEOPLE SPEAK AND MOVE ON. WE HAVE FOUR AND A HALF HOURS, AND EVERY TIME WE DO THIS, THIS IS WHAT ESOO GOING TO HAPPEN, AND IT'S JUST NEEDLESS. LET'S JUST WORK TOGETHER AND GET THROUGH THIS. EVERYBODY'S VOICE SHOULD BE HEARD, SO PLEASE GIVE THE RESPECT -- IT'S NOT TO US, IT'S TO THE PERSON AT THAT PODIUM, WHICH WOULD INCLUDE ALL OF YOU. THANK YOU. MR. ROUSEY. >> NOW. DAVID ROUSEY, DISTRICT 4. MAYOR, MEMBERS OF THE CITY COUNCIL, MY NAME IS DAVID ROUSEY, FISHING GUIDE, RETIRED REAL ESTATE APPRAISER AND REAL ESTATE OWNER HERE IN THE CITY. THE MAJORITY OF PEOPLE IN THIS COMMUNITY ARE NOT AGAINST DESALINATION. IN FACT, YOU WOULD PROBABLY HAVE SOMETHING IN THE NIBD OF 90% SUPPORT FOR THIS PROJECT IF THE BRINE WERE PUMPED OFFSHORE. IN LINE WITH MANY BAD DECISIONS THAT HAVE COME TO LIGHT LATELY, THE COUNCIL IS ACTIVELY CONSIDERING ONE NOW THAT WILL CRUSH OUR TOURISM AND EVERYTHING RELATED TO OUR BAY SYSTEMS, WHOEVER VOTES YET FOR THIS INNER HARBOR DESAL AND BAY DISPOSAL HAS COMPLETELY LOST THEIR CONNECTION TO THEIR CONSTITUENTS, AND WHAT MAKES CORPUS CHRISTI THE EMERALD CITY. IT'S THE WATER AND EVERYTHING THAT IT TOUCHES, WHETHER ENVIRONMENTAL OR ECONOMIC, THE BAYS AND OCEAN ARE THE LIFEBLOOD OF THIS COMMUNITY, REPRESENTING $4.2 BILLION ANNUAL ECONOMIC IMPACT FOR TEXAS AND 1 BILLION OF THAT IS RIGHT HERE WHERE WE STAND AND PLEAD FOR SOME COMMON SENSE TO PREVAIL THIS EVENING. Y'ALL ARE CONSIDERING VOTING YES ON A PROJECT THAT WILL DISCHARGE BRINE AND CHEMICALS INTO A FRAGILE BAY SYSTEM ON THE ASSURANCE OF THE CONTRACTOR BUILDING IT AND THEIR CHOSEN ENVIRONMENTAL EXPERTS WHEN THERE ARE A MULTITUDE OF UNBIASED PROFESSIONAL OPINION WARNING THIS COUNCIL THAT IT WILL NOT WORK OR IS AT HIGH RISK ENVIRONMENTAL GAMBLE AT BEST. THIS ISN'T JUST RISKY, IT'S VERY RECKLESS. THE LAST TIME I STOOD BEFORE YOU I SPOKE IT WAS WITH REGARDS TO SEVEN SEAS DUMPING STRAIGHT INTO BAFFIN BAY. THEY VOTED NOT TO PUT THE POLLUTION INTO THE ECOSYSTEM. THEY'VE CHOSEN TO SEE THE BIG PICTURE AND THE LONG-TERM NEGATIVE IMPACT OF TAKING THE EASY WAY OUT. WE OUGHT TO BE ABLE TO CLAIM THE SAME. MAYOR AND CITY COUNCIL, DO YOURSELVES AND THIS COMMUNITY A FAVOR AND VOTE NO TO THIS $1.2 BILLION DEBACLE. IT WILL CRIPPLE ALL FORMS OF TOUR ISMS RELATED TO IT, DESTROY OUR BAYS AND WILL BE A RIDICULOUS FINANCIAL BURDEN TO THE TAXPAYERS. CONSIDERING THE OTHER SOURCES OF WATER WE KNOW THAT ARE AVAILABLE, GOING THROUGH WITH THIS PROJECT WOULD LEAVE A STAIN OF INCOMPETENCE WHEN OUR ECOSYSTEM FAILS AND LEGITIMATE QUESTIONS WILL ARISE OF WHO ARE THE REAL BENEFICIARIES IN THIS PROCESS. AT THIS PRICE, WE KNOW IT'S NOT THE COMMUNITY. WE VOTED YOU INTO THESE CITY COUNCIL SEATS TO MAKE SOUND DECISIONS FOR EVERYONE AND NOT JUST INDUSTRY. THE SAME INDUSTRY THAT USE 70% OF THE WATER AND HAS NO SKIN IN THIS GAME WHILE TAXPAYERS AND SMALL BUSINESSES CARRY THE RIDICULOUS ECONOMIC HARDSHIP. I URGE YOU TO SCRAP THIS PROBABILITY AND MARK IT UP AS AN EXPENSIVE LESSON, REVISIT DESALINATION WHEN THERE IS A BETTER PLAN TO GET THE POLLUTANTS OFFSHORE AND NOT DEVASTATING THIS COMMUNITY. THANK YOU AND PLEASE VOTE NO. >> Mayor Guajardo: THANK YOU. SEAN FLANAGAN, CARRIE MEYER, MELISSA ZAMORA, DAVID JOHNSON AND BRAD BARTLESON. >> MY NAME'S SEAN FLANAGAN. I LIVE IN DISTRICT 2, MAYOR, COUNCILMEN, PRIVILEGED TO BE HERE TO TALK TO YOU, CONTRARY TO WHAT MANY PEOPLE THINK, WE DON'T LIVE IN A DEMOCRACY IN THIS COUNTRY, STATE OR THIS CITY. WE LIVE IN CONSTITUTIONAL REPUBLICS. WE ELECT YOU ALL TO MAKE THE HARD DECISIONS THAT NEED TO BE MADE, AND THIS IS PROBABLY ONE OF THE HARDEST DECISIONS YOU'RE GOING TO HAVE TO VOTE ON IN A FEW HOURS FROM NOW. YOU'VE HEARD A LOT OF THINGS, I'M SURE YOU'RE GOING TO HEAR A LOT MORE THINGS. WHAT I WOULD LIKE TO SUGGEST TO THIS COUNCIL, SUGGESTION THAT WAS MADE BY AN EARLIER SPEAKER LAST WEEK, IS THAT WE HAVE A DAY OF FAST AND PRAYER FOR THE CITY AT SOME FUTURE DATE. Y'ALL TAKE THE LEAD ON THAT, BECAUSE LIKE I SAID, A LOT OF PEOPLE ARE GOING TO BE HAPPY, A LOT OF PEOPLE ARE GOING TO BE MAD ABOUT THIS. YOU CAN'T PLEASE EVERYBODY, YOU'VE GOT TO DO YOUR DUE DILIGENCE, YOU'VE GOT TO LISTEN TO THE RESOURCES YOU TRUST, AND AS WE ELECTED YOU, YOU'VE GOT TO MAKE THE DECISION THAT YOU THINK IN YOUR HEART OF HEARTS IS BEST FOR THE GOOD OF THIS CITY. AND I HAVE CONFIDENCE IN YOU THAT YOU ARE GOING TO DO THAT IN A LITTLE BIT, BUT TOMORROW AND THE NEXT DAY'S GOING TO COME ON UP AND WHATEVER WOUNDS THESE VOTES HAVE, WE'VE GOT TO HEAL THIS CITY AND MOVE FORWARD TO OTHER CHALLENGES THAT FACE US, SO I DO HOPE YOU BRING ACROSS THAT DAY OF PRAYER AND FAST SOMETIME IN SEPTEMBER. THANK YOU. >> Mayor Guajardo: THANK YOU, MR. FLANAGAN. CARRIE MEYER. >> GOOD EVENING, CITY COUNCIL. AND MAYOR G GUAJARDO. CARRIE MEYER, NORTH BEACH, DISTRICT ONE. I'M GOING TO TALK ABOUT THE WATER CRISIS AND THE CITY'S RESPONSE TO IT, WHICH I FIND TO BE LOPSIDED. THE CITY HAS MADE IT VOLUNTARY FOR HIGH VOLUME INDUSTRIAL USERS TO CURTAIL THEIR WATER USE. THEY DON'T HAVE TO CUT BACK. SOME HAVE VOLUNTARILY CUT BACK ON IRRIGATION AND OTHER NONESSENTIAL WATER USES, BUT MOST OF THE PLANTS ARE STILL PRODUCING AT 100% AND CHURNING OUT PRODUCT AND PROFIT, OF COURSE. YET THE CITY FINES THE INDIVIDUALS, THE INDIVIDUAL HOMEOWNERS AND THE RESIDENTS IF WE BREAK THE STAGE 3 WATER RESTRICTIONS, SUCH AS WATERING OUR LAWNS OR WASHING OUR CARS AT HOME. WE HAVE NOT BEEN ABLE TO LET OUR KIDS RUN THROUGH THE SPRINKLERS FOR YEARS NOW. SO BOTH FINANCIALLY AND THROUGH MANDATORY WATER RESTRICTIONS, THE MOMS AND POPS IN OUR CITY ARE PAYING FOR AND SACRIFICING FOR THIS PROPOSED PLANT, WHICH WILL ULTIMATELY BENEFIT THE WEALTHY INDUSTRIAL OWNERS, ESPECIALLY THE ONES WHO HAVEN'T EVEN BEEN BUILT YET. LOTS OF SMALL BUSINESSES IN CORPUS CHRISTI RELY ON A SAFE, HEALTHY BAY. I AM A PROFESSIONAL KAYAKING GUIDE. I JUST GOT OFF THE WATER, IN FACT, AND I OWN A KAYAK TOURING COMPANY BASED ON NORTH BEACH WHERE I ALSO LIVE. I ACTUALLY SWIM IN THE WATER THERE ON A REGULAR BASIS. I KITE BOARD, AND I'M IN THE WATER ALL THE TIME. OUR CITY'S NUMBER ONE AND NUMBER TWO TOURIST ATTRACTIONS, THE LEXINGTON AND THE AQUARIUM ARE LOCATED RIGHT AT THE ENTRANCE TO THE INNER HARBOR WHICH IS WHERE THIS DESAL PLANT IS PROPOSED TO BE BUILT. EVERY TIME A SHIP LOADED WITH CARGO GOES IN OR OUT OF THAT PORT, ALL THE SALT WATER IN THE INNER HARBOR FLOWS OUT INTO THE BAY, AND THEN WHEN THAT'S OVER, IT FLOWS BACK IN. THERE'S A LOT OF WATER MOVEMENT. THAT'S LIKE 100 FEET OR 200 FEET FROM WHERE PEOPLE ARE SWIMMING AT THE DOUBLE TREE BEACH FRONT HOTEL ON NORTH BEACH THAT WE JUST GAVE $400,000 TO TO CREATE LAS VEGAS STYLE LUCKURE SUITES THE TIRZ. I'M NOT AGAINST DESAL, I'M AGAINST THE LOCATION. I KNOW YOU HAVE THIS HUGE DECISION AND THERE'S SO MUCH PRESSURE ON YOU. I CAN TELL YOU THE MOMS AND POPS OF OUR CITY, MOST OF THEM I KNOW, THEY WANT YOU TO DO SMK ELSE FOR WATER. IMPROVE THE MARY RHODES PIPELINE, GET MORE WATER OUT OF EAST TEXAS. USE THOSE NEW WAY SIS RIVER WELLS, GO INTO THE EVANGELINE AQUIFER, THE HARBOR ISLAND PLANT SOUNDS PROMISING WITH IT GOING IN AND OUT OF THE GULF. YOU KNOW, SUCKING THE WATER OUT OF THE GULF AND PIPING THE BRINE BACK IN, THAT'S WHAT MAKES SENSE FOR DESAL. LASTLY, IF DESAL WERE SUCH A GREAT IDEA AND SO AFFORDABLE AND SUCH A BIG WIN, WHERE ARE ALL THE DESAL PLANTS UP AND DOWN THE TEXAS COAST. WHY ARE WE THE ONES HAVING TO MAKE THAT SACRIFICE. >> Mayor Guajardo: THANK YOU. MRS. ZAMORA. >> MELISSA ZAMORA, DISTRICT 2. I'M HERE TO VOTE NO ON DESALINATION, TO ENCOURAGE YOU TO DO THE SAME. I WISH WE HAD A CHANCE TO VOTE ON IT. THEN YOU WOULD SEE THE REAL DECISION FROM THE PEOPLE HERE. LET'S FIGURE OUT HOW WE CAN GET IT ON THE BALLOT. SAY NO TO DESALINATION IN HILLCREST, NO TO DESALINATION IN THE SHIP CHANNEL, IN THIS SHALLOW LOW WATER QUALITY BAY. THE RESIDENTS HAVE BEEN CONSERVING AS MUCH AS WE CAN. WE DESPERATELY NEED INDUSTRY TO CURTAIL. THIS DOES NOT MEAN WE WANT TO SEE PEOPLE LAID OFF, BUT WE WANT -- HOW ABOUT INSTEAD OF PUSHING THAT ON TO THE PEOPLE THAT ARE AGAINST DESAL, BECAUSE WE'RE NOT AGAINST JOBS, HOW ABOUT PUTTING THAT PRESSURE ONTO THE INDUSTRIES THAT ARE EMPLOYING THESE PEOPLE AND DEVELOPING SAFEGUARDS FOR THE EMPLOYEES NOW BEFORE THESE ISSUES GET WORSE. THEY KNOW ABOUT CLIMATE CHANGE, THEY KNOW THAT WE HAVE A WATER SCARCITY. WHERE IS THE SAFEGUARDS FOR THE EMPLOYEES IN CASE THEY'RE NOT ABLE TO CREATE THE PRODUCTS THAT THEY'RE MAKING IN THE CAPACITY THAT THEY HAVE BEEN? HOW ABOUT THEY WORK ON CREATING NEW WAYS TO MAKE THEIR PRODUCTS WITH LESS WATER OR REUSE. THEY WANT TO BE SUCH A PART OF OUR COMMUNITY, THEN WHY DO WE HAVE INDUSTRIAL DISTRICT AGREEMENTS, WHY AREN'T THEY A PART OF OUR CITY, WHY AREN'T THEY PAYING THEIR FAIR SHARE IN TAXES. I DON'T THINK ANYONE WANTS TO DRINK SHIP CHANNEL WATER. I HAVE LIVED HERE MY WHOLE LIFE AND KNOW THE QUALITY IN THAT AREA AND THE BAY'S NOT GOOD. WHY NOT HAVE THIS KIND OF PLANT OUT AT THE ISLAND WITH CLEANER WATER AND, OF COURSE, THAT WOULD NEVER HAPPEN, BUT WE CAN PUT IT IN HILLCREST, AND THAT MAKES SENSE. IT DOESN'T. THAT WAS SARCASTIC. THE INTAKE AND DISCHARGE ARE WAY TOO CLOSE TOGETHER. IT'S IN A CUL-DE-SAC. I REMEMBER THE MAYOR SAYING THAT, IT'S IN A CUL-DE-SAC AREA WITH NOT ENOUGH MIXING AND ALREADY HYPERSALINE ENVIRONMENT. AS I HAVE SOME EXPERIENCE WITH ENVIRONMENTAL SCIENCE, I WENT TO SCHOOL HERE AT A&M, I GOT AN ENVIRONMENTAL SCIENCE DEGREE, I'M NOW A SCIENCE TEACHER, I KNOW, AND OTHER SCIENTISTS KNOW, THE HOTTER WATER IS, IT'S GETTING HOTTER, BECAUSE OF GLOBAL WARMING, CLIMATE CHANGE, THERE IS LESS DISSOLVED OXYGEN. IF THE SALTIER THE WATER IS, THERE'S LESS DISSOLVED OXYGEN, WHICH MEANS THE FISH OR ANYTHING ELSE CAN'T SURVIVE WITHOUT THAT OXYGENATED WATER. IF IT'S GETTING HOTTER OR SALTIER, IT'S A LESS CHANCE OF OXYGEN SUPPLY. IT'S NOT HEARSAY HALL WHEN FOLKS BRING UP DEAD ZONES, WE ARE NOT IN THIS FOR THE MONEY. THIS IS NOT GOING TO BENEFIT ME IN A MONETARY WAY. TAKE A LOOK AT THE MAJORITY OF THE FOLKS THAT DO NOT WANT THIS. MOST ARE YOUNGER WHO HAVE MORE TIME TO LOSE, BUT I APPRECIATE OUR ELDER WHOSE ARE COMING UP AND FIGHTING FOR THE FUTURE THAT THEY MAY NOT SEE. THIS IS NOT AN INTERRUPTIBLE WATER SUPPLY. THANK YOU. >> Mayor Guajardo: THANK YOU, MRS. ZAMORA. DAVID JOHNSON. >> DAVID JOHNSON, DISTRICT 4, CORPUS CHRISTI, TEXAS. GOOD EVENING, MAYOR, COUNCILMEMBERS, CITY STAFF, MY FAMILY AND I MOVED HERE FROM ARLINGTON, TEXAS, ABOUT 17 YEARS AGO. I LIVED IN ARLINGTON ABOUT 20 YEARS. ARLINGTON'S A SIMILAR SIZE TO CORPUS CHRISTI, ABOUT 300,000 RESIDENTS, MORE OR LESS. THEIR WATER SUPPLY IS FROM NEARBY RESERVOIRS, SIMILAR TO CORPUS CHRISTI. I DON'T REMEMBER IN ALL THOSE 20 YEARS EVER HAVING A WATER BOIL IN CORPUS CHRISTI -- IN ARLINGTON TEXAS. YET I REMEMBER NUMEROUS WATER BOILS IN MY 17 YEARS HERE. I ALSO DON'T REMEMBER ANY WATER RESTRICTIONS IN ARLINGTON, TEXAS, NOT EVEN RECENTLY. TODAY, I LOOKEDDAED AT THEIR WEBSITE, YOU CAN STILL WATER YOUR YARD IN ARLINGTON A COUPLE OF DAYS A WEEK JUST LIKE WE USED TO HAVE HERE. SO WHAT'S THE DIFFERENCE BETWEEN ARLINGTON, TEXAS, AND CORPUS CHRISTI, TEXAS. THE MAIN DIFFERENCE IS THEY DON'T SELL 80% OF THEIR VERY VALUABLE RESOURCE TO BIG INDUSTRY. THE OTHER THING THAT'S DIFFERENT IS I BELIEVE THAT PREVIOUS COUNCILS HAVE GROSS MISMANAGEMENT BY PREVIOUS COUNCILS AND THE WATER DEPARTMENT, MISMANAGEMENT OF BOTH SUPPLY AND DEMAND. A PUBLIC UTILITY, A DEFINITION OF A PUBLIC UTILITY IS A COMPANY OR GOVERNMENT ENTITY THAT PROVIDES ESSENTIAL SERVICES TO THE GENERAL PUBLIC. THE GENERAL PUBLIC IS THE CITIZENS, NOT BIG INDUSTRY. THE PEOPLE THAT ARE SPEAKING HERE TONIGHT. SOME OF THE NEWER MEMBERS OF THIS COUNCIL INHERITED THIS MESS, SOME OF THE TENURED MEMBERS HELPED CAUSE AND CREATE THIS MESS. I THINK IT'S TIME FOR YOU ALL TO VOTE NO TO THIS BILLION DOLLARS BONDER. A COUPLE OF THINGS IN CLOSING, HUMAN BEINGS -- THE LADY WAS HERE TALKING ABOUT THE PRODUCTS THAT ARE CREATED BY BIG INDUSTRY IN THE COUNTRY -- IN THIS AREA. A PERSON CAN GO WITHOUT STEEL PRODUCTS TO SUSTAIN THEIR LIFE INDEFINITELY, THEY CAN GO WITHOUT PLASTICS INDEFINITELY. THEY CAN GO WITHOUT PETROLEUM PRODUCTS INDEFINITELY. THEIR QUALITIED OF LIFE SUFFERS, BUT THEY CAN DO WITHOUT THEM. A PERSON CAN GO WITHOUT FOOD FOR ABOUT A WEEK MAYBE. WATER, ONE TO TWO DAYS. SO I THINK WE NEED TO READJUST OUR BRIE ORTIES AND WHEN THE ELECTRIC GRID GETS INTO TROUBLE, THEY DO ROLLING BLACKOUTS. I'D LIKE TO WONDER WHY THE WATER DEPARTMENT -- WHERE IS THE WATER DEPARTMENT GUY TODAY, BY THE WAY? GOOD QUESTION, RIGHT? I LOST MY TRAIN OF THOUGHT WITH THAT SMART MOUTH COMMENT. THANK YOU FOR YOUR TIME TODAY. PLEASE HAVE A NICE AFTERNOON. >> Mayor Guajardo: THANK YOU. BRAD BARTLESON. >> PRESENTATION HERE. WHILE WE'RE WAITING, I'M BRINGING BAD NEWS, THEN GOOD NEWS. SO THE BAD NEWS, THE INNER HARBOR DESAL PLANT DESIGN COMPOUNDS TWO BASIC DESIGN ERRORS CLOSELY LOCATED. >> City Secretary: CAN YOU STATE YOUR NAME AND CITY, SIR. >> BRAD BARTLESON, DISTRICT 5, CORPUS CHRISTI. AND IN DOING SO IN A DEAD LEG CHANNEL, ASIDE FROM PERIODIC TIDAL MOVEMENT, THE ONLY MOVEMENT IS DRAW AND DISCHARGE VIA THE POWER PLANT INTO NUECES BAY. THIS COMPETES WITH OUR EDICT TO RELEASE LAKE CORPUS CHRISTI WATER TO LOWER NEW BAY SES BAY SALINITY. NO WONDER GHD WOULDN'T INCLUDE THIS IN THEIR MODEL AND WOULDN'T SHOW THEIR HOMEWORK. THE DEAD LEG CHANNEL IS HOME TO MULTIPLE HAZARDOUS SPILL OPPORTUNITIES WHICH COULD PLUG INNER HARBOR'S MEMBRANES AND CONTAMINATE CITY WATER. WHO ON THE COUNCIL WANTS TO STAND UP, TAKE RESPONSIBILITIES WHEN THIS OCCURS? TODAY YOUR CONSTITUENCY HAS VOTED THREE TO ONE AGAINST INNER HARBOR. WE ARE BLESSED WITH BETTER OPTIONS. PRIOR LEADERS DISPLAYED GREAT INSIGHT OF DRAWING FROM BOUNTIFUL SALT-FREE WATERSHEDS TO THE NORTH, BUILDING THE MARY RHODES PIPELINE OR MRP. IT'S SAVING OUR BUTTS TODAY. THE MRP CROSSES MULTIPLE WATERSHEDS ON ITS WAY NORTH, HOWEVER WE ONLY CURRENTLY CAPTURE AND STORY FROM CALETO CREEK AND NAVIDAD FLOWS, THE BLUE DOTS AND DRAW FROM THE COLORADO. MORE IMPORTANT EXISTS IN CAPTURING AND STORING A PORTION OF THE PEAK FLOWS FROM THESE OTHER STREAMS CROSSING THE MRP, THE YELLOW DOTS. NOW, TAKE THE GUADALUPE, CAPTURE AND STORE 10 PEAK FLOW EVENTS PER YEAR, YOU GET 18 MGD. CAPTURING PEAK FLOWS MEANS WE'RE REDUCING FLOOD IMPACT. TURNING HAZARD AND WASTE INTO PRODUCTIVE WATER. ADDING A PARALLEL LINE TO THE MRP IS ALREADY PROPOSED DOUBLING THE CAPACITY AND REDUCING THE RISK. COUPLING THIS WITH STORAGE PONDS RENDERS THE ABILITY TO MOVE WATER BETWEEN STORAGE POINTS, INSTEAD OF WASTING THE PEAK FLOW AT A FILLED STORAGE, WE WILL HAVE TRANSFERRED THE FLOW ALLOWING CAPTURE. THIS KILL BE EXTENDED TO OTHER RIVERS TYING THESE IN WITH OUR EXISTING STORMWATER SYSTEM RENDERS ANOTHER 29 MGD, FLOATING SOLAR GENERATES P POWER WHILE ELIMINATING EVAPORATIVE LOST. THIS IS ALL CITY OWNED FITS WITH OUR $700 MILLION INVESTMENT IN TREATMENT FACILITIES AS WE'RE CURRENTLY HIGHLY DEPENDENT IN ADVANCING THE MRP, EXPANDING IT FURTHER MEANS MORE WATER SOONER. AND WE HAVE GROUNDWATER OPTIONS TO ADD. COMPARE THAT TO A SINGLE POINT OF FAILURE, $1.2 BILLION FOR JUST 30 MGD INNER HARBOR THAT COULD TAKE, AGAIN, 14 YEARS TO BUILD. THANK YOU. >> Mayor Guajardo: THANK YOU, MR. BARTLESON. CAROLYN KAVULA. THERN WE'RE GOING TO HAVE ELLEE DA VASQUEZ, RACHEL CABALLERO, AUTUMN HENDRICK. DO WE HAVE CAROLYN HERE? >> GOOD EVENING. I'M CAROLYN KAVULA, CORPUS CHRISTI DISTRICT 2. AND I'M AFRAID I -- WELL, NOT AFRAID, BUT I'M NOT GOING TO BE QUITE AS IN DETAIL AS EVERYONE ELSE, BUT THESE ARE MY FEELINGS. I HAVE -- NUMBER ONE IS MY -- MY NUMBER ONE CONCERN IS THE COST. INITIALLY WE WERE TOLD IT WAS GOING TO P UNDER 300 MILLION AND NOW WE'RE TOLD 1.18 BILLION. WE HAVEN'T EVEN BEGUN CONSTRUCTION, SO I'M SURE IT'S GOING TO BE CONSIDERABLY MORE THAN THAT WHEN WE'RE DONE, IF WE'RE DONE. THE SECOND THING I'M CONCERNED ABOUT IS THE HARM IT'S GOING TO CAUSE TO OUR HILLCREST NEIGHBORHOOD. WE'VE BEEN TOLD THE PLANT WILL NOT BE NOISY AND IT'S NOT GOING TO EMIT ANY HARMFUL POLLUTANTS, BUT WE'VE HEARD THOSE CLAIMS BEFORE WITH OTHER PROJECTS, AND THEY USUALLY TURN OUT TO BE INACCURATE. THE CITIZENS RESIDING IN THIS AREA ARE ALREADY BEARING THE BRUNT OF INDUSTRY AND I DON'T KNOW HOW WE CAN EXPECT THEM TO ENDURE EVEN MORE. AND THIRDLY, THE IMPACTS ON OUR INNER HARBOR AND BAY ARE TOO UNCERTAIN TO RISK THE DAMAGE THAT DESALINATION DISCHARGE WILL CAUSE. THESE ARE JUST A FEW OF THE POTENTIAL PROBLEMS THAT I AM CONCERNED ABOUT. THERE'S MANY OTHERS. AND I ALSO KNOW THAT THERE'S VARIOUS OTHER SOURCES OF WATER THAT SHOULD BE PURSUED. I AGREE THAT DESALINATION MIGHT BE A VIABLE OPTION AT SOME TIME IN THE FUTURE, BUT NOW IS NOT THE RIGHT TIME AND THE INNER HARBOR IS DEFINITELY NOT THE RIGHT PLACE. THANK YOU. >> Mayor Guajardo: THANK YOU, MRS. KAVULA. ELIDA VASQUEZ? >> HELLO, MY NAME IS ELIDA VASQUEZ. I LIVE IN CORPUS CHRISTI, TEXAS. MYSELF AND MANY OTHER CORPUS CHRISTI RESIDENTS HAVE MADE IT A POINT TO COME HERE AND CONSISTENTLY TELL THE COUNCIL THAT DESALINATION IN OUR INNER HARBOR IS NOT THE RESOLUTION TO WATER PROBLEMS THAT HAVE BEEN MANUFACTURED THROUGH THE CITY'S MISMANAGEMENT OF POTENTIAL WATER SUPPLIES. HILLCREST RESIDENTS HAVE COME IN DROVES TO TELL YOU THAT THEY DO NOT WANT TO BE DISPLACED, BUSINESS OWNERS HAVE COME TO SAY THAT THIS PROJECT WOULD LEAVE THEM DESTITUTE. CITIZENS THAT ARE EXPERTS IN THEIR FIELDS HAVE COME FORWARD TO TELL YOU WHY THIS IS NOT AN EFFICIENT RESOLUTION OR USE OF OUR WATER BUDGET. AT EVERY MEETING FOR THE DURATION OF TIME THAT I HAVE BEEN COMING HERE TO MAKE COMMENT, THE MAJORITY OF COMMENTS ARE AGAINST DESAL IN OUR INNER HARBOR AND I KNOW THAT TODAY WILL BE NO DIFFERENT. WE NEED OUR PARKS, OUR LIBRARIES AND OUR BAY IN ORDER FOR THIS CITY TO PROSPER. CORPUS CHRISTI IS NOT THE SPARKLING DESAL PLANT IN THE BAY, WE HAVE PAID SO MUCH MONEY ALREADY FOR A FLAWED PORTION OF A DESIGN. WHY CONTINUE TO FUNNEL MONEY IN WHEN THEY CAN ALSO DECIDE TO RAISE OPERATION COSTS WHENEVER THEY WANT? YOUR CONSTITUENTS ARE THE REASONS YOU SIT IN THESE SEATS AND WE IMPLORE YOU TO VOTE NO TO DESAL IN OUR INNER HARBOR. THAT BEING SAID, I DO NEED TO SHAMELESSLY PLUG SEDENA, A CAREGIVER STORYING THAT IS DEBUTING SEPTEMBER 4TH THROUGH SIXTH AT 7:30 APPROXIMATE. IT'S SET IN SAN ANTONIO, THE PLAYWRIGHT WILL ALSO BE JOINING US ON FRIDAY FOR A POSTPERFORMANCE INTERVIEW. GET TICKETS AT WWW.SEDENA PRODUCTIONS.COM. THANK YOU AND AGAIN PLEASE SAY NO TO DESALINATION IN OUR INNER HARBOR. >> Mayor Guajardo: THANK YOU, MA'AM. RACHEL CABALLERO. >> RACHEL CABALLERO, D1, HERE AS RACHEL CABALLERO. MANY OF YOU HAVE UNDERESTIMATED HOW INTELLIGENT OUR COMMUNITY IS AND HOW MUCH WE LOVE IT. YOU'VE BEEN UNDERESTIMATING US FOR A VERY LONG TIME. WE HAVE BEEN LIED TO, WE HAVE BEEN MANIPULATED, WE WERE TOLD THAT THIS WATER WAS FOR US AND THE PERMIT TELLS US IT IS NOT. IT IS FOR INDUSTRY. OUR LAKES HAVE BEEN DRAINED, WE HAVE -- YOU HAVE MANIPULATED OUR COMMUNITY INTO BELIEVING OUR COMMUNITY THAT WE ARE GOING TO RUN OUT OF WATER. AND OUR COMMUNITY IS NOT. THERE IS A LAWSUIT CURRENTLY AGAINST THE CITY WHERE PEOPLE FORGED FEDERAL DOCUMENTS AND LIED. IN DEPOSITIONS. THIS IS WHY I'M GOING TO CONTINUE TO MAKE A STAND IN ENDING POLITICAL POLITICIANS WHO ARE NOT DRIVEN BY THE BEST INTEREST OF THIS COMMUNITY. THIS COMMUNITY CANNOT AFFORD THE $1.2 BILLION PRICE TAG, AND IF WE WERE FRANK, WE WOULD ASK OURSELVES WHY HAVEN'T THE REFINERIES BUILT THIS ON THEIR OWN? THIS IS AN EXPERIMENT. THERE'S VIDEO -- THIS IS ON RECORD. I WORK HERE, I LIVE HERE, TOO. I GO TO RESTAURANTS TOO MUCH, TOO. THIS IS OUR -- THIS IS OUR COMMUNITY. WE NEED FOR INDUSTRY TO BE BETTER PARTNERS. WE WANT TO WORK WITH INDUSTRY. I AM NOT AGAINST DESAL, BUT I REFUSE TO ALLOW OUR BAYS TO BE SACRIFICED. I REFUSE TO ALLOW THIS COMMUNITY TO BE SACRIFICED FOR INDUSTRY EXPANSION, AND I HAVE BEEN PRAYING FOR YOU GUYS ALL WEEK. I KNOW PEOPLE DON'T LIKE TO HEAR THAT STUFF, BUT I HAVE. AND FOR ANY ONE THAT STANDS UP TODAY AND VOTES AGAINST THIS, WE WILL SUPPORT YOU. WE WILL SUPPORT YOU IN FINDING OTHER PROJECTS. WE ARE HERE TO PROTECT THIS COMMUNITY. SO I ASK YOU ALL TO PLEASE DO THE SAME. THIS ISN'T A RIGHT FIT FOR OUR COMMUNITY RIGHT NOW, FREESE & NICHOLS TOLD YOU PEOPLE -- SOME OF YOU 15 YEARS AGO THAT DESAL WAS A BAD DEAL. YOU'RE STILL PAYING FREESE & NICHOLS AND NOW ALL OF A SUDDEN THEY'VE HAD A SHIFT CHANGE. THIS THING STARTED AT 227 MILLION AND NOW WE'RE AT 1.2 BILLION. AND PEOPLE THAT WERE AGAINST IT BACK THEN ARE FOR IT NOW, WHICH MAKES ME QUESTION HOW MUCH OF THAT PIECE THEY ARE GETTING. SO IF INDUSTRY WAS THE ECONOMIC DRIVER, OUR STREETS WOULD NOT BE FALLING APART, WE WOULDN'T BE CLOSING PARKS AND LIBRARIES. THANK YOU. >> Mayor Guajardo: THANK YOU, MRS. CABALLERO. AUTUMN HENSAK, AND THEN SANDRA MEYER. ARE YOU SANDRA? OKAY. >> HI, AUTUMN HENSAK, DISTRICT 2. THERE HAVE BEEN A LOT OF PEOPLE WHO ARE A LOT SMARTER THAN ME THAT HAVE SPOKEN TONIGHT AND WILL CONTINUE TO SPEAK ON THE ENVIRONMENTAL AND FINANCIAL COST OF THE INNER HARBOR PROJECT, BUT I JUST WANTED TO SHARE A STORY OF WHY THIS VOTE AGAINST INNER HARBOR IS SO IMPORTANT TO ME. I'M A GRANDPARENT KID, A GREAT GRANDPARENT KID, I WAS REALLY BLESSED TO BE RAISED BY MY GREAT GRANDPARENTS WHO RAN AN ADULT DAY CARE CENTER REALLY CLOSE TO THE HILLCREST NEIGHBORHOOD. I REMEMBER AS A KID I WOULD ALWAYS BEG MY NANNY TO TAKE ME FOR WALKS TO THE OLD CEMETERY BECAUSE I WAS A LITTLE FREAK, AND STILL KIND OF IN. I MEAN, I'M 30 YEARS OLD, I REMEMBER AS A KID WALKING THROUGH HILLCREST AND JUST BEING AMAZED BY ALL OF THE TREES, BY ALL OF THE BIRDS, ALL OF THE NEIGHBORS OUTSIDE TALKING TO ONE ANOTHER, AND THIS PAST WEEKEND I WAS REALLY LUCKY TO BE ABLE TO GO BACK TO HILLCREST AND TAKE ANOTHER WALK THIS PAST SUNDAY WITH SOME FRIENDS OF MINE. AND SOMETHING THAT REALLY STUCK OUT TO ME WAS A VINE OF PASSION FRUIT AND I THOUGHT, YOU KNOW, JUST HOW BEAUTIFUL THAT WAS THAT HEARING FROM OUR INDIGENOUS FRIENDS AND NEIGHBORS HERE, YOU KNOW, HEARING ABOUT HOW THE CARANCAHUA TRIBES WOULD GROW FRUIT ON THAT SAME AREA AND HOW I'VE HEARD FROM SO MANY ELDERS IN HILLCREST THAT THEY WERE REALLY LUCKY TO GET TO EAT THAT FRUIT, YOU KNOW, TALKING TO LAMONT ABOUT HOW HE GOT TO FISH DOWN THERE AS A KID, YOU KNOW? AND I JUST THOUGHT IT WAS SO BEAUTIFUL THAT AS WE'RE WALKING THROUGH, YOU KNOW, STAIR CASES WHERE HOUSES USED TO BE AND JUST BEING FILLED WITH THE VISUALS OF HOW THAT NEIGHBORHOOD USED TO LOOK, THAT THERE WAS THIS VINE OF PASSION FRUIT STILL GROWING, YOU KNOW, STILL HAD FRUIT. AND IT REMINDED ME A LOT OF ALL OF THE FOLKS I'VE BEEN SO BLESSED TO GET TO KNOW THROUGH, YOU KNOW, ORGANIZING AROUND A LOT OF DIFFERENT ENVIRONMENTAL ISSUES IN THIS CITY, BUT NAMELY THE INNER HARBOR DESAL FACILITY AND, YOU KNOW, I JUST WANTED TO BRIEFLY MENTION THAT, I THOUGHT IT WAS REALLY A TESTAMENT TO THE STRENGTH AND RESILIENCE OF HILLCREST, AND I KNOW, YOU KNOW, A LOT OF US IN THESE BLUE SHIRTS, YOU KNOW, GET ACCUSED OF BEING THE ANTI-EVERYTHING CROWD, BUT I WANTED TO REMIND Y'ALL THAT THERE ARE A LOT OF THINGS THAT WE STAND FOR, AND OUR NEIGHNEIGHBORS IN HILLCREST ARE AT THE TOP OF THAT LIST. I HOPE THAT TODAY EVERYONE VOTES ACCORDINGLY AND I APPRECIATE THE TIME. THANK YOU. >> Mayor Guajardo: THANK YOU, MRS. HENSAK. SANDRA MEYER. >> HI, SANDRA MEYER, CORPUS CHRISTI. I'M GOING TO TRY TO MAKE THIS EXTRA SHORT SINCE THERE'S SO MANY PEOPLE. THANK YOU ALL FOR WHAT YOU'RE DOING, I'M REALLY GLAD THAT Y'ALL ARE WILLING TO SERVE ON OUR COUNCIL. IF THIS WAS A FOOTBALL TEAM, Y'ALL ARE THE COACHES. THE CITY MANAGER IS THE QUARTERBACK AND THE CITY'S THE TEAM. BE OUR COACHES. AND WHAT I JUST PASSED OUT WAS JUST TO KIND OF REMIND YOU HOW FAR THE CITY HAS COME AND ALL THE GREAT THINGS THAT HAVE BEEN ACCOMPLISHED SINCE THE 2016, 2017, 2018 TIME PERIOD. AND I DON'T ENVY YOU FOR THE POSITION THAT YOU'VE GOT TONIGHT, BUT I JUDGE THAT Y'ALL ARE GOING TO MAKE THE RIGHT DECISION FOR THE COMMUNITY AND NOT GO BACKWARDS. THANK YOU. >> Mayor Guajardo: THANK YOU, MRS. MEYERS. MILA lepsure Mila lepsure AND THEN WE'LL HAVE JESSICA, TAILOR, CHRISTIAN CLOUDES AND ALEX BENAVIDES. >> HELLO, I'M NONE OF THE ABOVE. MY NAME IS HEATHER. I'VE BEEN HERE BEFORE. EVERYONE NEEDS TO HAVE YOUR MASK ON. IF YOU LOVE YOUR COMMUNITY, PUT YOUR MASK ON. YOU'RE THE CITY MANAGER, YOU SHOULD HAVE HAD MASKS FOR EVERYBODY. THERE IS KOAFDZ -- THERE IS KOAFDZ. >> MAYOR, BOIS STROWS AND SHOUTING AND LOUD. >> City Secretary: SHE'S NOT ON THE LIST, MAYOR. >> Mayor Guajardo: NO, I AM. DON'T TELL ME TO SHUSH. EVERYONE NEEDS TO HAVE THEIR MASK ON. IF EVERYONE DOES NOT HAVE THEIR MASK ON -- [SCREAMING] YOU DON'T FUCKING PUT YOUR EKS[EXPLETIVE] DON'T PUT YOUR HANDS ON ME. >> ALEJANDRO. GET THE [EXPLETIVE] >> CAP SURE THE FLAG. LEAVE THAT -- [SCREAMING AND EXPLETIVES] >> Mayor Guajardo: OKAY. WE'RE GOING TO GO BACK, EVERYBODY LET'S KIND OF REFOCUS. OKAY. GUYS, WE'RE GOING TO REFOCUS AND MOVE ON, JESSICA PALITSA. PARDON? OH, I'M SORRY. COME ON UP. >> HI, MY NAME IS MILA LEARNSURE AND I'M FROM CORPUS CHRISTI. WE NEED WATER, I LIVE HERE, I FISH HERE AND THIS IS MY COMMUNITY. MY FAMILY IS HERE AND WE NEED WATER. WE NEED IT TO RAIN, BUT WE CAN'T CONTROL THE WEATHER, SO PLEASE FIND A WAY TO HELP US GET THE WATER WE NEED. WE LOVE OUR COMMUNITY. VOTE YES ON INNER HARBOR DESALINATION. THANK YOU. >> Mayor Guajardo: THANK YOU, MILA. JESSICA PALITSA, THEN TAILOR GARCIA, AMANDA BRIE LAND, TRISTAN CLOUDES AND ALEX BENAVIDES. >> WELL, THAT WAS INTERESTING. PLEASE TAKE THAT KID TO HILLCREST AND SHOW HER WHAT Y'ALL HAVE DONE TO THAT NEIGHBORHOOD AND HAVE HER TALK TO PEOPLE THAT LIVE THERE. >> Mayor Guajardo: GUYS. PLEASE STOP. >> SORRY. >> Mayor Guajardo: YOU'RE BREAKING DECORUM. PLEASE STOP. >> I FIRST WOULD LIKE TO ASK. >> City Secretary: STATE YOUR NAME AND CITY, PLEASE. >> JESSICA PALITSA, DISTRICT 2 CARRY. DID Y'ALL GET A POWERBALL TICKET. THAT'S THE ONLY WAY Y'ALL ARE PAYING FOR DESAL. SO YOU CAN GO BUY A TICKET AFTER THIS IF YOU'D LIKE. IT'S NOT TOO LATE TO BACK OUT OF CONTINUING THE HILLCREST INNER HARBOR PLANTER. IT WILL JUST QUICHE GETTING MORE EXPENSIVE NOT ONLY FINANCIALLY, BUT WITH THE COST OF THE ENVIRONMENT, IT'S GOING TO BE TOO GREAT. DESAL HAS NEVER BEEN DONE IN A MOSTLY CLOSED BAY SYSTEM. DESAL HAS NEVER BEEN DONE IN A MOSTLY CLOSED BAY SYSTEM. SO PLEASE DO NOT LET CORPUS CHRISTI BAY BE PART OF A HYPER SALINE EXPERIMENT. WE IF DESAL IS REALLY FOR THE PEOPLE,S PUT IT ON OUR BALLOTS. BUT COVID RUINED THAT CHARTER. LASTLY, ABOUT HOW THEY DO DESAL OVER THERE IN THE MEDITERRANEAN. ISRAEL, IF YOU HAVEN'T LOOKED AT A MAP, IS CONNECTED TO THE MEDITERRANEAN. THEY HAVE A BAY BUT IT'S NOT CLOSED. THAT WOULD BE THE EQUIVALENT OF US DOING DESAL INTO THE GULF. SO I'M NOT SURE WHY THIS MEETING WAS HELD BECAUSE THAT'S NOT EQUIVALENT AT ALL. HE HAD MENTIONED THAT DESAL FOR THEM WAS A LAST RESORT. VERY LAST RESORT. YOU KNOW, IT IS DRY OVER THERE BUT THEY ALSO HAVE A LOT OF WASTEWATER CAPTURE. THEY CAPTURE ABOUT 90% OF THEIR WASTEWATER AND THE REST OF IT IS SLUDGE. THEY REDUCE ALL OF THEIR LEAKS AND ALL OF THESE OTHER THINGS THAT THEY CONSIDERED BEFORE EVER DOING DESAL. PLEASE, IT'S NOT TOO LATE TO TURN BACK. VOTE NO ON DESAL. THANK YOU. >> Mayor Guajardo: THANK YOU. TAYLOR GARCIA. >> I GUESS I'LL GO AHEAD. GOOD AFTERNOON, COUNCIL MEMBERS. HELLO AGAIN. MY NAME IS TAYLOR GARCIA. I RESIDE IN DISTRICT 2. WE CAN ALL AGREE WE NEED ANOTHER WATER SOURCE TO MEET GROWING DEMAND. HOWEVER, THE INNER HARBOR PROPOSAL IS RIDDLED WITH RED FLAGS. WATER IS NOT JUST ANOTHER COMMODITY, IT IS OUR SHARED NATURAL RESOURCE. TO PUT OUR BAY AND COMMUNITY AT RISK FOR UNCHECKED INDUSTRIAL GROWTH AND CORPORATE PROFIT IS SHORT SIGHTED AND DANGEROUS. I SPOKE ABOUT THIS AT THE LAST MEETING FOR THE BAFFIN DESAL THING AND LIKE SOME PEOPLE SAID SOME OTHER FOLKS MADE THE RIGHT DECISION AND THEY USED THEIR LOGIC AND SCIENCE. NONETHELESS, WHAT IS MOST ALARMING IS A LACK OF TRANSPARENCY. THIS COUNCIL HAS CONTINUED TO PUSH NARRATIVES AND MAKE CLAIMS WITHOUT PRESENTING REAL DATA. REQUESTS FOR MODELING HAVE BEEN STONEWALLED. THANK YOU, ONE OF Y'ALL THAT HAS ACTUALLY TRIED TO GET THE EVIDENCE. THERE ARE VALID SCIENTIFIC CONCERNS WITH BOTH THE COR MIX MODEL AND THE MIKE 3 MODEL. MODELS THAT WERE PAID FOR WITH OUR TAX DOLLARS. OUR TAX DOLLARS. BUT YET WE CAN'T SEE THEM. STRANGE. YET NEITHER HAS EVER BEEN SENT FOR INDEPENDENT REVIEW BY A PARTY WITH, ONCE AGAIN I'M HEAR SAYING NO VESTED INTEREST. IT IS STANDARD PRACTICE. WITHOUT INDEPENDENT REVIEW YOUR MODELS ARE NOT SCIENCE. THEY ARE SALES PITCHES. IT'S POLITICS. THEY'RE TRYING TO CONVINCE THE PEOPLE. IT'S A POLITICAL AGENDA. THE GULF TRUST, A BRANCH OF HART RESEARCH INSTITUTE, HAS IDENTIFIED AN EXPERT IN ESTUARY AND CIRCULATION. THE TEXAS CONSERVATION FOUNDATION HAS ALSO EVEN STEPPED IN TO OVERSEE AN INDEPENDENT REVIEW OF THIS. BUT THAT PROCESS CANNOT MOVE FORWARD WITHOUT THE CITY'S PARTICIPATION. SO I ASK WHY HAS THIS BEEN IGNORED? WHEN THE SCIENCE IS IGNORED AND DATA IS HIDDEN, THE PUBLIC IS LEFT TO WONDER WHO IS THIS PROJECT REALLY SERVING? NOT US. IN REGARD TO THE PRINTOUT THAT I HANDED YOU, THE MAP DOESN'T LIE. AT FULL CAPACITY, ACCORDING TO THE DATA, THIS PLANT WOULD DISCHARGE 66 MILLION GALLONS OF EFFLUENT INTO THE BAY EVERY SINGLE DAY WHILE RUNNING. IN A BAY SYSTEM WITH LIMITED NATURAL FLOW, THAT IS RECKLESS. ADD TO THAT THE INTAKE AND THE DISCHARGE LOCATION BEING IN CLOSE PROXIMITY TO EACH OTHER. THAT IS ALSO A GLARING RED FLAG. COMMON SENSE. NONE OF THIS ALSO CONSIDERS POTENTIAL UPSETS AND FOULING OF THE PLANT ITSELF. LET ME BE CLEAR. I'M NOT OPPOSED TO DESALINATION WHEN IT'S DONE RESPONSIBLY WITH ENVIRONMENTAL SAFEGUARDS AND TRANSPARENCY. BUT THIS PROJECT HAS BEEN ANYTHING BUT TRANSPARENT. THE COUNCIL HAS A DUTY TO PROTECT OUR RESOURCES FOR THE PEOPLE OF THE CITY, NOT TO PUSH NARRATIVES WITHOUT EVIDENCE. NOT TO ADVANCE A PROJECT OF THIS SCALE. $1.2BILLION WITHOUT DILIGENCE OR ACCOUNTABILITY. I URGE YOU TO PLEASE MAYBE RENEGOTIATE. DEMAND OFF-SHORE DISCHARGE WHERE IT BELONGS. THANK YOU AND GOD BLESS. >> Mayor Guajardo: AMANDA BRELAND. >> AMANDA BRELAND, CORPUS CHRISTI. SO, FOR THE RECORD, I AM NOT A PAID ORGANIZER. I DO THIS FOR THE LOVE OF THE GAME. I DO THIS FOR THE PEOPLE WHO DO NOT HAVE THE TIME, ENERGY, OR PRIVILEGE TO BE HERE. I DO THIS BECAUSE AS A LIFELONG CITIZEN OF THIS AREA I CANNOT STAY SILENT WHEN IT COMES TO AN ISSUE AS BIG AS SH ONE. THIS ONE. I AM SO SICK OF THIS AREA BEING SACRIFICED TO THE HIGHEST BIDDER. I MAY NOT HAVE THE NUMBERS OR SCIENCE AS OTHERS DO BUT I DO HAVE ENOUGH OF A CONSCIENCE AND DEEP LOVE OF MY COMMUNITY AND MY ENVIRONMENT TO KNOW THAT ALLOWING THIS DESALINATION PLANT TO BE BUILT WOULD HAVE A DEVASTATING EFFECT. WE ARE NOT GOING TO RUN OUT OF WATER SO WHAT IS THE [BLEEP] POINT OF THIS WHOLE THING ANYWAY? >> Mayor Guajardo: I'M SORRY. THERE'S NO PROFANITY. SO YOUR TIME ENDS, MA'AM. I'M SORRY. REBECCA. >> [OFF MIC] >> Mayor Guajardo: YOUR PROFANITY -- THANK YOU. >> [OFF MIC] >> Mayor Guajardo: MA'AM, THERE IS NO PROFANITY AND WE EXPLAINED THAT. >> DON'T TOUCH ME. YOU CANNOT TOUCH ME. DON'T TOUCH MY STUFF. >> Y'ALL ARE FULL OF -- [EXPLETIVE] [YELLING AND CURSING OFF MIC] >> Mayor Guajardo: OKAY. CAN I PLEASE GET EVERYONE'S ATTENTION? CAN I PLEASE HAVE EVERYONE'S ATTENTION? THIS IS SO NEEDLESS. THERE IS NO REASON THAT ANYONE THAT SHOULD HAPPEN NOT ONCE, BUT TWICE. NONE. IF YOUR PLAN IS TO COME UP AND ATTACK OR TO BREAK DECORUM AND TO USE PROFANITY, YOU MIGHT AS WELL JUST LEAVE NOW BECAUSE THIS IS A PLACE OF BUSINESS. IT DOESN'T MATTER WHAT SIDE YOU'RE ON. IT DOESN'T MATTER. YOU ALL HAVE A RIGHT TO BE HERE. YOU ALL HAVE A RIGHT TO YOUR THREE MINUTES. BUT YOU GOT TO DO IT THE RIGHT WAY. WE HAVE TO RESPECT ONE ANOTHER. THIS IS REALLY SAD. IT REALLY, REALLY MAKES ME SAD BECAUSE IT DOESN'T -- AGAIN, WE DESERVE TO LISTEN TO EVERYONE. BUT NOT THROUGH PROFANITY AND NOT THROUGH DISRESPECT. NO ONE TEACHES THAT. SO, PLEASE, LET'S MOVE FORWARD. I'M ASKING YOU JUST COME AND MAKE YOUR PUBLIC COMMENT. BE HEARD. THAT'S WHAT YOU'RE HERE FOR. IT'S 6:35. WE HAVE HOURS ON. THIS CAN'T KEEP HAPPENING AND IT'S UP TO YOU. SO WE'RE GOING TO MOVE FORWARD AND I'M ASKING AGAIN, JUST MAKE YOUR PUBLIC COMMENT. THE PASSION IS APPRECIATED BUT AT THE END OF THE DAY YOU'RE HERE TO BE HEARD AND THAT'S ALL WE WANT TO DO. SO WE'RE GOING TO GO ON. TRISTAN CLOUDIS. >> IT'S KIND OF HARD FOR PEOPLE TO BE HEARD WHENEVER YOU ESCORT THEM OUT OF THE BUILDING -- >> City Secretary: STATE YOUR NAME AND CITY, PLEASE. >> TRISTAN CLOUDIS, DISTRICT 3, CORPUS CHRISTI. MERRIAM-WEBSTER DEFINES THE CITY COUNCIL AS A LEGISLATIVE BODY OF A CITY. EACH ELECTED OFFICIAL HOLDING A POSITION ON THE COUNCIL HAS THE RESPONSIBILITY OF REPRESENTING THE INHABITANTS OF THE CITY. HOWEVER, THE CORPUS CHRISTI CITY COUNCIL HAS ALREADY FAILED TO REPRESENT ITS PEOPLE BY ENACTING HISTORICAL ENVIRONMENTAL RACISM THAT NEIGHBORHOODS LIKE HILLCREST HAVE FACED. BEING CUT OFF FROM THE REST OF THE COMMUNITY WITH THE CONSTRUCTION OF HIGHWAYS AND BRIDGES, LOW-BALL BUYOUTS AND NOW A PROPOSED PLANT THAT PUTS THE HEALTH AND SAFETY OF OUR BELOVED BAY AT RISK. IF I REMEMBER CORRECTLY, IT IS THE PEOPLE WHO MAKE UP A CITY. THIS INCLUDES OUR NEIGHBORS OF HILLCREST. THIS INCLUDES THE THOUSANDS OF WORKING-CLASS RESIDENTS WHO ALREADY PAY SKYROCKETING WATER RATES AND FINES WHILE CORPORATIONS GUZZLE MILLIONS OF GALLONS OF WATER A DAY. THIS INCLUDES EACH PERSON WHO HAS TO COME TO THIS CHAMBER TO SPEAK OUT AGAINST CORPORATE GREED. CORPORATIONS ARE NOT PEOPLE. AND DESPITE THESE REFINERIES BEING SO BIG YOU COULD CALL IT THEIR OWN CITY, IT SHOULDN'T BE REPRESENTATIVE OF CORPUS CHRISTI. AS CITY COUNCIL OFFICIALS, YOU HAVE THE POWER AND RESPONSIBILITY OF MAKING DECISIONS THAT HOLD THE PEOPLE OF THE CITY AT HEART. THIS PLANT IS RISKY. IT IS COSTLY AND THE PEOPLE WHO GREATLY OUTNUMBER THE CORPORATE REPRESENTATIVES HERE HAVE MADE IT CLEAR THAT WE DO NOT WANT DESALINATION. NOT NOW, NOT EVER. NO AMOUNT OF FLICKERING BILLBOARDS OR DRESSING YOUR KIDS UP IN PROPAGANDA IS GOING TO CHANGE THAT. I HOPE YOUR VOTE WILL BE MADE WITH THE RESIDENTS IN MIND NOT WITH THE POCKETS OF HEAVY INDUSTRY. THANK YOU. >> Mayor Guajardo: THANK YOU, MS. CLOUDIS. ALEX BENAVIDES. >> ALEJANDRO BENAVIDES, CORPUS CHRISTI. I HAD A COUPLE OF THINGS I WANTED TO SAY ABOUT DESALINATION. WITH EVERYTHING GOING ON I GOT A LITTLE FLUSTERED. IT'S VERY IMPORTANT THAT WHAT YOU'RE SEEING IS THE DESPERATION OF OVER A DECADE OF NOT LISTENING TO THE PEOPLE. WE HAVE THESE TALKS FOR US TO BE HEARD BUT THEY ARE CHECKS IN THE BLOCK. THAT'S IT. WE GO OUT AND WE LISTEN TO WHAT YOU ALREADY DECIDED ABOUT OUR BUDGET. AND WHEN WE SAY WE WANT NEW SIDEWALKS, WE WANT THESE SIDEWALKS TO GO TO PUBLIC FACILITIES SO THAT OUR DISABLED MEMBERS OF THE COMMUNITY COULD HAVE ACCESS. WHEN WE SAY THAT WE WANT OUR STRAY ANIMAL POPULATION IN CORPUS CHRISTI TO BE TAKEN CARE OF, THE BUDGET'S GOING TO HAVE US GET FEED FOR HAVING A HEART AND PUTTING OUT FOOD FOR ANIMALS SO THEY CAN CHARGE US FOR TAKING CARE OF AN ANIMAL THAT THE CITY WOULD NOT TAKE CARE OF. WE'RE SEEING PEOPLE'S ANGER AND IT MUST HURT YOUR EYES AND THAT'S WHY YOU DON'T WANT TO SEE IT. BUT COME OUT TO THE COMMUNITIES AND SERVE THE DISPLACED. SERVE THOSE WHO ARE OUT THERE WHO HAVE FOOD INSECURITIES, WHO DON'T HAVE PUBLIC WATER AREAS TO USE ON A REGULAR BASIS. THERE'S NOT ENOUGH FOR THEM. AND WE'RE WILLING TO THROW OURSELVES INTO BILLION-DOLLAR DEBT AND WE CAN'T EVEN AFFORD LIBRARIES, SIDEWALKS, HELP FOR THE DISPLACED, OR THE DISABLED, THE STRAY ANIMALS. THESE ARE ALL SAFETY ISSUES. EVERY SINGLE ONE OF THEM IS A SAFETY ISSUE AND YET OUR CITY COUNCIL DENIES US WHAT WE ASK FOR AND PUTS FEES UPON US FOR THE THINGS THAT WE DON'T WANT. AND WE CALL IT A BALANCED BUDGET AND WE EXPECT FOR THE CITIZENS TO BE QUIET. I VOTE NO FOR DESAL. IT'S NOT SOMETHING THAT OUR ECONOMY -- WE CAN'T AFFORD THE WATER. THE WATER IS NOT FOR US. WHAT ARE WE TRYING TO GO TO? IT SHOULDN'T BE A HARD VOTE. WE CAN'T AFFORD THE DEBT. CITIZENS WON'T BE ABLE TO AFFORD THE WATER. WE'RE LOSING EVERY OTHER ASPECT. A SOCIETY WITHOUT LIBRARIES AND YOU EXPECT FOR NO ONE TO BE UPSET. I'M SORRY THAT THEY HAD TO COME AND SCREAM IN THEIR DESPERATION SO THAT YOU CAN FINALLY HAVE MORE THAN JUST A CHECK IN A BOX. HEARD THEM TALK TODAY. HEARD THEM TALK TODAY. BUT THAT'S SO YOU CAN SEE OUR PAIN AND KNOW THAT WE'RE MAD AS HELL. THAT OUR CHILDREN, OUR GRANDCHILDREN ARE GOING TO HAVE TO BE PAYING FOR THIS $2 BILLION BLUNDER. AND IT'S RIDICULOUS. I VOTE NO. HEATH EARLIER HAD A FLAG AND IT WAS JUST ABOUT PEACE. VETERANS FOR PEACE. >> Mayor Guajardo: THANK YOU, MR. BENAVIDES. JENNY ESPINO. ARMON ALEX, FADDI AND THEN MARK MINISTER. >> JENNY ESPINO, CORPUS CORPUS CHRISTI D4. WHEN I'M ABLE TO MAKE IT TO PUBLIC COMMENT I SET MY SIGHTS ON HOUSING INJUSTICE OR THE BUDGETARY PRIORITIES OF THE CITY. THIS YEAR I WAS OUT OF TOWN FOR A MONTH SO I HAD THE MISFORTUNE OF WATCHING THE BUDGET SESSIONS FROM AFAR. THERE WAS A COMMON THEME AROUND DESAL AROUND THE INABILITY TO SEE PUBLIC SPENDING AS A REFLECTION OF THE WILL OF THE PEOPLE OR BUDGETS AS MORAL DOCUMENTS. I WATCHED AS COMMUNITY MEMBER AFTER COMMUNITY MEMBER ADVOCATED FOR MORE ROBUST INVESTMENT INTO HARM REDUCTION, CRIME PREVENTION, AND COMMUNITY ENRICHMENT THAT WASN'T JUST SUBSIDIZING THE POLICE DEPARTMENT. I WATCHED THE CITY FAIL TO RESPOND MEANFULLY TO ANY OF THOSE INCREDIBLY VALID CONCERNS ACTUALLY RAISED ABOUT WHAT COULD MAKE US FEEL AND BE SAFER IN THE CITY THAT WE LOVE AND ARE FIGHTING TO DEFEND. INSTEAD, OFFICIALS PRETENDED TO LISTEN AND RESPONDED WITH WHAT THE CITY WAS GOING TO DO NO MATTER WHAT. NO MATTER THE WILL OF THE RESIDENTS OR THE NUMBER OF PEOPLE BEGGING FOR QUALITY OF LIFE IMPROVEMENTS. SIMILARLY, I WATCHED FOR THE BETTER PART OF THE PAST DECADE AS RESIDENTS ACROSS THE POLITICAL SPECTRUM AND IDEOLOGY SPECTRUM BEG FOR CITY OFFICIALS AND STAFF TO CENTER THE NEEDS OF PEOPLE OVER GIANT CORPORATIONS WHO WILL SURVIVE WITH OR WITHOUT HANDOUTS FROM US. WE PRESENTED DATA. IT'S BEEN DISMISSED. WE BROUGHT FORWARD STUDIES. THEY HAVE BEEN IGNORED. WE ARGUED AGAINST DESALINATION DUE TO THE ENVIRONMENTAL IMPACTS. WE ARE CALLED OUTSIDE AGITATORS. AS IF YOU PEOPLE DO NOT SEE WHERE WE LIVE. I AM HAPPY TO SHOW MY BIRTH CERTIFICATES IF THAT WOULD HELP PROVE ANYTHING. WE ARGUE AGAINST DESAL ON THE BASIS THAT IT'S FINANCIALLY RECKLESS. THE CONCERNS ARE DISREGARDED EVEN BY ALLEGED FISCAL CONSERVATIVES ON THIS DAIS. SOME BELIEVE WE MAY BE ABLE TO APPEAL TO YOUR CONSCIENCE. IN ORDER FOR THAT TO WORK YOU MUST HAVE A CONSCIENCE. PEOPLE HAVE SHOWN SUCH DISREGARD FOR AND AT TIMES ANIMOSITY TOWARD THE INCREDIBLE PEOPLE OF HILLCREST. PEOPLE WHO HAVE ENDURED THE WORST OF THE CONSEQUENCES, OF THE DECISIONS THAT CAME BEFORE YOU. YOU CANNOT CHANGE THOSE DECISIONS BUT THOSE OF WITH A CONSCIENCE HAVE THE OPPORTUNITY TO COURSE CORRECT. DON'T DIG YOUR HEELS IN THE WAY SO MANY BEFORE YOU HAVE. WE KNOW MORE NOW THAN WE DID WHEN DESAL WAS FIRST PUT ON THE TABLE. DON'T TREAT PUBLIC COMMENT AS A FORMALITY TO GET THROUGH IN ORDER TO CARRY OUT YOUR OWN WILL INSTEAD OF THE RESIDENTS WHO OPPOSE DESAL. SAY NO. >> Mayor Guajardo: THANK YOU, MS. ESPINO. ARMON ALEX. >> EVENING, COUNCIL. ARMON ALEX. LIFELONG RESIDENT OF CORPUS CHRISTI. IF YOU CAN HEAR MY VOICE, I WANT YOU TO TAKE A MOMENT TO IMAGINE SITTING ON YOUR GRANDMOTHER'S PORCH. THE SAME PORCH HER GRANDMOTHER PROBABLY SAT ON, WEATHERED BY DECADES OF SUN. ITS WOOD CARRYING THE WEIGHT OF FAMILY STORIES. THE SMELL OF COFFEE OR SWEET TEA IN THE AIR. THAT PORCH IS MORE THAN WOOD AND NAILS. IT IS MEMORY. IT IS HISTORY. IT IS WHERE BIRTHDAYS WERE CELEBRATED, WHERE PRAYERS WERE WHISPERED. WHERE DREAMS FOR CHILDREN NOT YET BORN WERE FIRST SPOKEN ALOUD. NOW IMAGINE THAT SAME PORCH BUT STANDING IN HILLCREST. IMAGINE THE ROADS LEADING TO IT RIDDLED WITH POTHOLES, STREETLIGHTS OUT, AND THE NEIGHBORS DISAPPEARING EACH DAY ONE BY ONE. INSTEAD OF CHILDREN'S LAUGHTER, THERE IS ONLY THE ENDLESS HUM OF INDUSTRY. INSTEAD OF FRESH AIR, YOUR GRANDMOTHER BREATHES IN POLLUTION. FOLKS, THIS IS THE REALITY FOR THE DOZENS AND DOZENS OF PEOPLE THAT STILL CALL HILLCREST HOME TODAY. BUT MEMBERS OF THIS COUNCIL WANT TO SPEND BILLIONS OF DOLLARS TO BUILD A DESALINATION PLANT IN THEIR BACKYARD. NOT FOR US BUT FOR CORPORATIONS AND EXECUTIVES THAT WILL NEVER SIT ON THOSE PORCHES. THEY WILL NEVER SHARE A MEAL AT THOSE TABLES. AND THEY WILL NEVER CARE ABOUT OUR FUTURES. NEARLY $2 BILLION ESTIMATED TO JUST BUILD IT. $68MILLION EVERY SINGLE YEAR IN INTEREST ON THAT DEBT AND $32 MILLION MORE EVERY YEAR IN MAINTENANCE ALONE. THAT'S A VICIOUSLY POISONED INHERITANCE THAT MEMBERS OF THIS COUNCIL ARE SHOVING DOWN OUR THROATS AND PASSING ON TO OUR CHILDREN AND GRANDCHILDREN. THIS IS NOT FISCAL RESPONSIBILITY. THIS IS GAMBLING WITH WORKING-CLASS PEOPLE'S MONEY AND FUTURES. LOCKING US INTO GENERATIONAL DEBT FOR A PROJECT THAT ISN'T EVEN DESIGNED TO SERVE US. WHAT MESSAGE ARE YOU SENDING TO YOUR CONSTITUENTS TODAY? THAT OUR TAX DOLLARS WILL ALWAYS COME LAST TO CEO AND INDUSTRY DEMANDS? OUR NEIGHBORS IN HILLCREST HAVE CARRIED THE BURDEN OF BEING CORPUS CHRISTI'S SACRIFICE ZONE LONG ENOUGH. IT'S WRONG AND IT IS EVIL. IF YOU WOULDN'T ALLOW THIS PLANT IN YOUR NEIGHBORHOOD, WHY WOULD YOU FORCE IT INTO THEIRS OR ANY OTHER NEIGHBORHOOD, FOR THAT MATTER? BECAUSE NO ONE IS DISPENSABLE. CITY COUNCIL HISTORIES WILL REMEMBER THIS MOMENT. YOUR NAME ON THOSE SIGNS -- YOUR NAME ON THOSE PLACARDS IN FRONT OF YOU WILL BE EITHER TIED TO A DECISION THAT DEEPENED RACE-BASED INJUSTICE AND ASTRONOMICAL FISCAL DEBT OR TO A DECISION THAT FINALLY SAID ENOUGH. VOTE NO ON DESAL. >> Mayor Guajardo: THANK YOU, MR. ALEX. FATIMA RUSHADY. >> FATIMA RUSHADY, DISTRICT 1. THANK YOU FOR WHAT YOU DO AND CONTINUE TO DO BUT WHAT YOU ARE PLANNING TO DO IS INCOMPREHENSIBLE. DESAL NATION WOULD DESTROY OUR ECOSYSTEMS. HABITATS THAT HAVE HELPED US FOR MANY GENERATIONS AND GOD WILLING, MANY GENERATIONS TO COME. PEOPLE THAT HAVE BEEN DECEIVED BY DESAL CLAIM AND TRULY BELIEVE THE WATER IS FOR US. I KNOW THIS IS MOSTLY FALSE. BIG INDUSTRY NEEDS OUR WATER AND WE'RE PAYING FOR IT. EVEN IF THE WATER WERE FOR US, WHAT ABOUT THE BRINE? IT SEEMS ONE SOLUTION FOR IT CREATES MORE PROBLEMS. AND FOREVER CHEMICALS? SUPPORTERS OF DESAL SAY IT CAN BE REMOVED. OTHER EXPERTS, THE OPPOSITE. IS THIS A RISK WORTH TAKING? THIS ONLY SCRATCHES THE SURFACE OF THIS DIRE SITUATION. WE AS CORPUS CHRISTI CITIZENS ARE VERY LIMITED ON WATER. BUT BIG INDUSTRY CAN STILL USE MILLIONS PER DAY, PRACTICALLY UNRESTRICTED. I UNDERSTAND THAT WE NEED A SOLUTION BECAUSE RAIN IS VERY SCARCE HERE NOW. BUT I'VE READ STUDIES THAT SUGGEST REFINERIES MAY PREVENT RAIN FROM COMING DOWN DUE TO TINY AEROSOLS OF DUST AND CHEMICALS THAT CAN STIFLE RAIN-BEARING CLOUDS. MAYBE THIS IS THE REASON WE BARELY HAVE ANY RAINFALL BECAUSE WE HAVE OVER TEN MILES OF REFINERY ROW. SOMEONE COMMENTED THE OTHER DAY THAT WE'RE NOT GETTING ENOUGH RAIN BECAUSE MOTHER NATURE IS TIRED. PERHAPS SHE'S TIRED BECAUSE WE ARE WORKING AGAINST HER RATHER THAN WITH HER. AFTER ALL, BIG INDUSTRY HAS TAKEN OUR LAND. IT IS TAKING OUR WATER, POLLUTING OUR WATER, POLLUTING OUR AIR. TAKING HOMES FROM ONCE VIBRANT COMMUNITIES. AND TAKING LIVES DUE TO MEDICAL CONDITIONS. THEY KEEP TAKING AND TAKING. MOTHER NATURE IS TIRED. IT SEEMS THE GREED OF HUMAN BEINGS NEVER STOPS, AS IN THE BRIEF STORY I'M ABOUT TO TELL. A MAN SAT ALONE IN DEEP SADNESS AND ALL THE ANIMALS DREW NEAR HIM AND SAID WE DO NOT LIKE TO SEE YOU SO SAD. WE SHALL GIVE YOU WHATEVER YOU WISH. SO THE MAN ASKED FOR SIGHT FROM THE VULTURE, STRENGTH FROM THE JAGUAR, AND SECRETS OF THE EARTH FROM THE SERPENT. AND SO UNTIL ALL OF THE ANIMALS GAVE MAN ALL OF THEIR GIFTS. AND THE MAN LEFT. BUT THE OWL SAID TO THE ANIMALS, NOW MAN KNOWS MUCH. I'M AFRAID. I SAW A HOLE IN THE MAN. DEEP LIKE AN ENDLESS HUNGER. THAT MAKES HIM SAD AND MAKES HIM WANT. HE WILL TAKE AND TAKE UNTIL ONE DAY THE WORLD WILL SAY I AM NO MORE. I HAVE NOTHING LEFT TO GIVE. THANK YOU FOR YOUR TIME AND GOD BLESS YOU AND YOUR FAMILIES. >> Mayor Guajardo: THANK YOU, FATIMA. MARK MINISTER. >> MARK MINSTER, CORPUS CHRISTI. HOW DO YOU EXPECT PEOPLE TO REACT WHENEVER THE PUBLIC INPUT HAS BEEN SET UP THE WAY IT'S BEEN? . WE HAVE SEEN PUBLIC COMMENT CHANGES AND THESE BUDGET INPUT SESSIONS, I WENT TO MOST OF THEM. NOT A LOT OF RESIDENTS SHOWED UP. I FELT BAD FOR THE CITY STAFF WHO HAD TO STAND AROUND WITH THE OTHER CITY STAFF. I FEEL LIKE WAY MORE COULD BE DONE TO INCREASE ATTENDANCE. I HEARD Y'ALL SAYING AT ONE OF THE WORKSHOPS, OH, WE COULD HAVE DONE A BETTER JOB. LET'S DO THAT NEXT YEAR. THAT HAPPENED LAST YEAR. THE ATTENDANCE WAS POOR LAST YEAR. THE FORMAT WAS POOR LAST YEAR AND THE FORMAT WAS POOR AGAINST THIS YEAR. IT WAS ONLY SCHEDULED FOR AN HOUR. THERE WAS ONLY ENOUGH TIME FOR FOUR TO SIX TO SEVEN RESIDENTS TO GO UP FOR A QUESTION OR ANSWER. IN THAT TIME WHERE YOU HAD TIME FOR A QUESTION OR RESPONSE, THERE WAS ONLY TIME FOR FOUR TO SEVEN RESIDENTS BEFORE THE CITY COMMUNICATION STAFF SAID WE HAVE TIME FOR ONE MORE PERSON. EVEN THOUGH THERE WOULD STILL BE PEOPLE WHO PROBABLY WANTED TO GET UP IN LINE. THAT HAPPENED AT EVERY SESSION. THE POINT WAS THE COMMUNITY INPUT SESSION AND I DON'T KNOW HOW YOU EXPECT RESIDENTS THAT CAME, HOW THAT TRANSLATES TO CHANGES IN THE BUDGET. AT THE LAST INPUT SESSION THEY SAID THERE WAS A COMPLAINT ABOUT THE LIBRARY. THERE WAS $50,000 CUT OF EXPENSES AND WE MADE THAT CHANGE BACK. YOU HEARD RESIDENTS COMPLAIN ABOUT THE LIBRARIES BEING UNDERFUNDED. YOU GOT SO MANY COMPLAINTS, ALL YOU DID WAS MOVE THE FUNDING BACK TO THE UNDERFUNDED AMOUNT THAT IT WAS. IT DOESN'T MAKE ANY SENSE AT ALL. IT WAS SET UP TO BE THAT WAY. YOU DON'T WANT RESIDENTS TO GIVE INPUT. YOU DON'T WANT PEOPLE TO KNOW WHAT'S GOING ON. LIBRARIES, PARKS, FUNDING FOR YOUTH PROGRAMS, THAT'S WHAT WE NEED. WE NEED MORE COMMUNITY. IT'S SO OBVIOUS IN THE WORLD THAT'S WHAT WE NEED. WE DON'T NEED MORE PRIVATE COMPANIES OR PEOPLE. WE NEED COMMUNITY. AND WHAT WAS ONE OF THE MOST FRUSTRATING PARTS AT THE BUDGET INPUT SESSIONS WAS WHEN THEY WERE TALKING ABOUT THE HOMELESS SERVICES. LAST YEAR THERE WERE CUTS TO THE HOMELESS DEPARTMENT AND THIS YEAR THEY BROUGHT BACK ONE STAFF POSITION. LIKE THAT'S ENOUGH TO SOLVE A PROBLEM. THE CITY MANAGER SAID IT WAS A ONE-YEAR THING. TALKING ABOUT THE HOMELESS SERVICES FUNDING AND COMPLETELY DEFUNDING THE DEPARTMENT AND CALLING IT JUST A ONE-YEAR THING. AND TODAY JUST PRESENTATION AFTER PRESENTATION OF FEE INCREASES FOR RESIDENTS AND FOR WORKING-CLASS PEOPLE LIKE THE COST OF EVERYTHING ISN'T GOING UP. AND WE JUST -- WHEN YOU PUT ALL OUR ECONOMY TO INDUSTRY, WHAT DO YOU THINK IS GOING TO HAPPEN WHEN THAT INDUSTRY LEAVES? THINK ABOUT THE FUTURE. I SAVE THE REST OF MY COMMENTS FOR THE ITEM. >> Mayor Guajardo: THANK YOU, MR. MINSTER. ARACELY MARTINEZ AND GEORGE JOHNSON, MAGGIE PEACOCK, CHLOE TORRES, AND AARON LEBOWITZ. >> HELLO. MY NAME IS ARACELY MARTINEZ. I HAVE BEEN A RESIDENT HERE IN THE SPARKLING CITY BY THE SEA, OR SO-CALLED CORPUS CHRISTI, FOR OVER 40 YEARS NOW. AS I GO ABOUT MY DAILY ROUTINE -- I'M A LITTLE EMOTIONAL. I'M SORRY, JUST HEARING EVERYBODY'S THOUGHTS AND COMMENTS. I'M SORRY. AS I GO ABOUT MY DAILY ROUTINE AND DRIVE AROUND THIS CITY, I SEE FAMILIES VISITING THEIR LOVED ONES HERE FROM OUT OF TOWN OR JUST TOURISTS COMING DOWN TO COME FISHING OR JUST SPEND THE WEEKEND HERE IN OUR BEACHES. IT MAKES ME A BIT SAD THAT THIS REALITY MAY CHANGE AND THIS BILLION-DOLLAR DESAL PLANT, IF IT'S BUILT. WILL THE TOURISTS CONTINUE TO VISIT ONCE THE CITY HAS LOST ITS SPARKLE DUE TO THE BRINE THAT WILL BE DUMPED INTO OUR BAY? SORRY. WHICH WILL BE KILLING ANYTHING LIVING IN IT. I DON'T UNDERSTAND WHY THIS COUNCIL IS FOR THE BUILDING OF THIS DESAL PLANT AND CLAIM THE WATER IS FOR RESIDENTS. BUT WE ALL KNOW THAT MORE THAN 75% OF THE WATER IS FOR POLLUTING INDUSTRIES AND THAT HAVE ALREADY TAKEN OVER THE SCENERY AS WE DRIVE INTO CC TEXAS. WE, THE RESIDENTS, KNOW THAT IN ALL REALITY THIS DESAL PROJECT IS NOT FOR THE RESIDENTS. I WILL TELL YOU THIS. I JUST LOVE TO SEE HOW WE THE RESIDENTS OF CORPUS CHRISTI, TEXAS, WHETHER THEY LIVED HERE ALL THEIR LIVES OR HAVE LIVED HERE A SHORTER TIME HAVE COME TOGETHER TO PUSH BACK ON THIS DECISION TO BUILD A DESAL PLANT. BECAUSE WE ARE STRONGER TOGETHER. WE, THE PEOPLE, OVER CORRUPTION, OVER POLLUTERS. OH, AND ONE MORE THING. HILLCREST DESERVES TO BE REVITALIZED LIKE THE COURTS DEMANDED Y'ALL TO DO SO YEARS AGO. YOU THOUGHT WE HAD FORGOTTEN ABOUT THAT ONE, HUH? KNOW THIS. WE WILL NEVER GIVE UP ON THE IDEA OF FIGHTING FOR WHAT IS RIGHT, WHAT IS JUST, AND WHAT IS FAIR. VOTE NO ON THIS DESAL DEBT DISASTER AND END THIS PROJECT NOW. THANK YOU FOR YOUR TIME. >> Mayor Guajardo: THANK YOU, MS. MARTINEZ. GEORGE JOHNSON. >> GOOD EVENING. GEORGE JOHNSON, DISTRICT 2, I THINK NOW. I HEAR ALL THESE PEOPLE TALK ABOUT INDUSTRY. WELL, I'M ONE OF THEM. I'M A VERY SMALL MOM AND POP INDUSTRY. AND I CAN'T OPEN MY DOORS WITHOUT WATER. I CAN'T DO ANYTHING WITHOUT WATER. I WON'T MAKE A DIME WITHOUT IT. I'VE BEEN IN THIS BUSINESS FOR 30 YEARS AND I'VE TOLD MANY OF YOU AND I'VE TOLD MANY OF THE PEOPLE THAT ARE ON THIS ISSUE THAT I AM SCARED TO DEATH. I WAS ALIVE DURING THE '80s WHEN WE BUILT MARY RHODES PIPELINE. THAT WAS THE SAME KIND OF THING. PEOPLE WERE AGAINST IT AND PEOPLE WERE FOR IT. AND GUESS WHAT. IF WE HADN'T DONE IT, IF WE HADN'T MADE THOSE DECISIONS THEN, WE'D BE REALLY, REALLY UP A CREEK RIGHT NOW. SO, I DON'T CARE WHICH WAY YOU GUYS GO OR THINK BUT WATER IS VITAL TO EVERYONE IN THIS ROOM, TO INDUSTRY, TO EVERYTHING. THREE DAYS WITHOUT WATER, YOU'RE NOT GOING TO LIVE. BUT I CAN TELL YOU RIGHT NOW I CAN'T LIVE A DAY WITHOUT WATER. COVID ALMOST KILLED MY BUSINESS. I HAD 16 STORES BEFORE COVID. I HAVE EIGHT NOW. I HAD 85 EMPLOYEES BEFORE COVID. I HAVE 35 NOW. SO, I BEG OF YOU TO DO SOMETHING. I BEG OF YOU TO FIND EVERY RESOURCE AVAILABLE BECAUSE WITHOUT IT ALL THESE PEOPLE IN THIS ROOM WON'T BE SITTING HERE BECAUSE THEY WON'T HAVE JOBS. WE WON'T HAVE A CITY. ALL THOSE INDUSTRIES UP AND DOWN THE HARBOR, GUESS WHAT. ALL OF THEM PAY, EVERY ONE OF YOU. THEY PAY FOR EVERYTHING IN THIS CITY. YOU MAY NOT LIKE THEM BUT GUESS WHAT. THEY CONTRIBUTE MORE TO THIS CITY THAN ANYONE ELSE. AND IF YOU DON'T BELIEVE IT, THAT'S FINE. BUT I'M TELLING YOU RIGHT NOW WITHOUT WATER WE WILL NOT BE HERE. THIS CITY WILL NOT BE HERE. I MEAN, I CAN'T BELIEVE WE'RE AT THIS POINT RIGHT NOW. I CAN'T BELIEVE THIS HASN'T BEEN DONE YET. AND I BEG OF YOU TO DO SOMETHING. WHATEVER THAT IS, I DON'T KNOW. I'M NOT THE EXPERT. I HAVE FRIENDS ON BOTH SIDES OF THIS ISSUE. I HAVE VERY, VERY SMART FRIENDS ON EACH SIDE OF THIS ISSUE. AND I BELIEVE BOTH OF THEM. I BELIEVE THEY HAVE EVERYTHING IN THEIR POWER IN THEM TO WANT THIS TO BE GOOD. PLEASE MAKE A GOOD DECISION. >> Mayor Guajardo: THANK YOU, MR. JOHNSON. MAGGIE PEACOCK. >> WOW. YEAH. WE ARE IN A WATER CRISIS. WE ARE IN A MANUFACTURED WATER CRISIS. THE ANSWER IS CURTAILMENT OF INDUSTRY, WHO'S ACTUALLY NOT PAYING -- MAGGIE PEACOCK DISTRICT 2. INDUSTRY IS NOT PAYING TAXES. THEY'RE NOT PAYING US ANYTHING AND WE'RE PAYING FOR THEIR WATER. MAGGIE PEACOCK, DISTRICT 2. ABOUT FOUR YEARS AGO I ATTENDED MY FIRST ANTI-DESAL MOBILIZATION AT CITY COUNCIL. I REMEMBER SINGING AND CHANTING THE STATUS QUO HAS GOT TO GO WITH COMMUNITY LEADERS LED BY SYLVIA CAMPOS AND OUR BELOVED DR. ISABEL ARAIZA. BEING A PART OF THIS COMMUNITY HAS BEEN THE BIGGEST HONOR OF MY LIFE AND Y'ALL SHOULD FEEL THE BIGGEST HONOR BEING ABLE TO SIT ON THE DAIS AND LISTEN TO THESE COMMUNITY MEMBERS. LET ME REITERATE Y'ALL SHOULD FEEL HONORED TO HEAR AND EXPERIENCE THE LOVE AND THE SOLIDARITY AND THE STORIES THESE COMMUNITY MEMBERS SHOWCASE EVERY CITY COUNCIL MEETING. YEAH. AS Y'ALL KNOW THIS FIGHT HAS BEEN GOING ON FOR YEARS. A FIGHT THAT I HAVE HAD A PRIVILEGE OF LEARNING ABOUT THROUGH MOVEMENT ELDERS AND A FIGHT THAT HAS BEEN FOR THE PEOPLE AND NOT FOR SPECIAL INTEREST, WHICH THE OPPOSITION CANNOT SAY. WE KNOW THAT Y'ALL, THE BOUGHT-OUT POLITICIANS AND THE CITY STAFF AND THE LANDLORDS AND INDUSTRY GHOULS ARE SCARED. SO SCARED THAT Y'ALL HAVE BEEN DIGGING Y'ALL'S HEELS IN AROUND PROPAGANDA AND FRAMING OUR ENVIRONMENTAL JUSTICE MOVEMENT AS BOUGHT OUT. EVERY ACCUSATION IS AN ADMISSION. YEAH. THE ARREST OF DR. ARAIZA FURTHER PROVES THE POINT THAT THESE INDUSTRY SELLOUTS ARE SCARED. Y'ALL KNOW SHE'S THE PEOPLE'S MAYOR. SHE'S WITH THE PEOPLE. IT'S INSANE TO ME THAT PEOPLE BROUGHT GUNS INTO THESE CHAMBERS AND THEN WHEN DR. ARAIZA IS FILLED WITH THIS RIGHTEOUS INDIGNATION ABOUT HER COMMUNITY, SHE GETS ARRESTED. BUT YEAH. TODAY IS PROOF THAT THE PEOPLE ARE WINNING AND WE HAVE GOT TO WIN. THERE'S NOTHING ELSE UNDER THE SUN ABOUT DESALINATION WE CAN SAY. YOU HAVE ALL BEEN TOLD THE FACTS ABOUT HOW IT WILL KILL OUR BAY AND HOW IT IS THE TEXTBOOK RENDITION OF AN ENVIRONMENTALLY RACIST PROJECT. AND HOW THE PEOPLE WILL HAVE TO PAY FOR THIS BLUNDER, NOT INDUSTRY. AND ALL OF THIS IS BACKED UP BY STUDIES. YOU KNOW ALL OF THESE THINGS. SO YEAH. THIS CITY COUNCIL, ALL OF YOU SITTING UP ON THE DAIS HAVE THE OPPORTUNITY TO MAKE HISTORY TODAY. WE HAVE THE ANSWERS FOR THIS MANUFACTURED WATER CRISIS AT HAND. LIKE I SAID, AND IT REQUIRES LISTENING TO COMMUNITY MEMBERS. THE ANSWER IS NOT WASTING A BILLION DOLLARS ON A FALSE SOLUTION BUT CURTAILING THE WATER USAGE AND THE POWER OF THESE DISASTROUS CORPORATIONS WHO HAVE PUT US IN THIS PREDICAMENT IN THE FIRST PLACE. >> Mayor Guajardo: THANK YOU, MS. PEACOCK. CHLOE TORRES. >> CHLOE TORRES, DISTRICT 2. YEAH. I HAVE LIVED IN CORPUS CHRISTI ALL MY LIFE. I THINK THAT I DON'T SAY THAT IN EVERY COMMENT BUT I HOPE MY DEDICATION AND MY CONSISTENT PRESENCE HERE IS THE PROOF OF THAT. I WAS ALSO RAISED CATHOLIC AND ONE OF THE THINGS THAT MY PARENTS INSTILLED FOR ME REALLY YOUNG WAS A DISDAIN FOR UNNECESSARY SUFFERING. I CARRY THAT SO MUCH IN MY HEART AND MY SPIRIT. AND I HAVE MET SO MANY PEOPLE THROUGH THIS FIGHT TO SAVE OUR WATER RESOURCES. TO MAKE SURE THAT PEOPLE HAVE ENOUGH. I'M ALSO REALLY SCATTERED AND I HAVE SAID IN A PREVIOUS COMMENT THAT I'VE BEEN DOING THIS KIND OF COMMUNITY WORK FOR ALMOST A DECADE NOW AND IT'S BEEN A PRIVILEGE AND AN HONOR OF A LIFETIME. AND THROUGH THAT I HAVE BEEN ARRESTED TWO DIFFERENT TIMES FOR MY ACTIVISM. AND I HAD TO SEE ONE OF THE PEOPLE THAT I LOVE MORE THAN ANYTHING IN THIS WORLD BE ARRESTED AND BE WITH HER. GIVE HER WATER TO DRINK BEFORE SHE WENT IN. AND I JUST -- THAT IS THE LEVEL OF DEDICATION THAT WE HAVE. THAT IS OUR COMMITMENT TO OUR COMMUNITY AND I BRING UP UNNECESSARY SUFFERING BECAUSE IF YOU GO TO HILLCREST AND YOU SPEAK TO PEOPLE IN HILLCREST, THERE IS NOTHING BUT UNNECESSARY SUFFERING IN THAT COMMUNITY. AND THIS WOULD BE YET ANOTHER BURDEN THAT THEY HAVE TO BEAR. AND IN TERMS OF THERE IS A WATER CRISIS. THERE IS -- WE ARE LIVING THROUGH AN IMMENSE IMBALANCE AND FOR THOSE WHO ARE SAYING, YOU KNOW, WE'RE ANTI-JOBS, WE'RE NOT ANTI-LABOR. LABOR MAKES EVERYTHING RUN. BUT THOSE SAME PEOPLE THAT COME UP AND TALK TO YOU ABOUT LABOR, THEY'RE NOT THE ONES WHO ARE WORKING WITH UNIONS TO MAKE SURE THAT WORKERS HAVE HIGHER WAGES. THEY'RE NOT TALKING TO WORKERS ABOUT HOW WE NEED TO CREATE WITHIN OUR ECOLOGICAL LIMITS. THAT'S WHAT WE'RE TRYING TO POINT OUT, THAT THERE IS AN IMBALANCE. WE ARE NOT PRODUCING WITHIN OUR ECOLOGICAL LIMITS. NOT EVERYBODY NEEDS AN SUV. NOT EVERYBODY NEEDS THE NEWEST LABUBUE OR WHATEVER. WE'RE TALKING ABOUT SCALING BACK PRODUCTION. WE HAVE THE TECHNOLOGY, THE MATERIALS, AND WE HAVE THE PEOPLE TO MEET EVERY SINGLE PERSON'S BASIC NEEDS. AND THAT IS THE KIND OF ECONOMY AND CITY THAT WE WANT TO LIVE IN AND WORLD WE WANT TO LIVE IN. AND I HOPE YOU CAN SEE THAT THAT IS BEING CRIMINALIZED. THANK YOU. VOTE NO. >> Mayor Guajardo: THANK YOU, MS. TORRES. AARON LEBOWITZ. >> HELLO. GET MY NOTES. MY NAME IS AARON LEBOWITZ. I LIVE IN DISTRICT 3. I AM 21 YEARS OLD. I HAVE BEEN FOLLOWING THIS DESALINATION PROJECT AS CLOSELY AS I CAN FOR ABOUT FOUR YEARS NOW 2021-ISH. AS SOMEONE WHO IS ENTERING THE WORLD AS A FULL ADULT AT THIS MOMENT, I AM SCARED FOR MY FUTURE HERE IN CORPUS CHRISTI. I KNOW ABOUT ALL OF THE HEALTH CONCERNS THAT BIG INDUSTRY POSES TO CORPUS CHRISTIANS SPEWING TOXIC CHEMICAL WASTE INTO THE AIR FOR US ALL TO INHALE. AS WE ALL KNOW, THE MAJORITY OF THE WATER PRODUCED BY THIS PLANT WILL GO TO HEAVY INDUSTRY. LITERALLY FUELING THEIR BUSINESSES. WE CAN CREATE JOBS IN OTHER SECTORS BY INVESTING IN CLEAN ENERGY IN CITY-FUNDED HOMELESS SHELTERS, RAMPING UP CONSTRUCTION OF ROADS AND UTILITIES, AND REPLACING DANGEROUS, OUTDATED LEAD PIPES IN CERTAIN AREAS OF THE CITY. I AM SCARED THAT THIS PLANT WILL EMBOLDEN NEW INDUSTRY TO COME TO CORPUS, MAKING THIS PROBLEM EVEN WORSE THAN IT ALREADY IS. I AM SCARED THAT THIS PLANT WILL DUMP TOXIC WASTE INTO OUR BAY, MAKING OUR BEACHES TOO TOXIC TO SWIM IN. AND DESTROYING OUR FISHING INDUSTRY ON TOP OF THAT. I AM SCARED THAT THE CITY WILL NOT BE ABLE TO FOOT THIS MASSIVE BILL. AND I AM SCARED THAT I WILL HAVE TO LEAVE CORPUS CHRISTI TO PURSUE A LIFE WHERE MY FUTURE CHILDREN CAN GROW UP WITH CLEAN AIR, CLEAN NATURE, AND WELL-KEPT UTILITIES. I GOT A LITTLE BIT OF TIME LEFT SO I WANT TO TELL YOU A STORY MY MOTHER TOLD ME ABOUT WHEN SHE MOVED HER IN THE '70s. HER AND HER PARENTS WERE DRIVING OVER OUR ICONIC HARBOR BRIDGE AND SHE SAW SPARKLING LIGHTS ON THE MAINLAND. SHE THOUGHT, WOW. IT'S SO BEAUTIFUL. THE SPARKLING CITY BY THE SEA. SHE TOLD THIS TO HER PARENTS AND THEY LET HER KNOW THAT THOSE LIGHTS WERE ALL IN THE REFINERIES. SHE LOST HER WONDER FOR THOSE LIGHTS IN THAT MOMENT. LOOK AT WHAT OUR SPARKLING CITY HAS BECOME. THANK YOU. PLEASE VOTE NO AGAINST FUNDING THIS PLANT. HAVE A GOOD NIGHT. >> Mayor Guajardo: THANK YOU, MR. LEBOWITZ. MELINDA DE LA SANTOS AND THEN JAKE HERNANDEZ. >> [OFF MIC] I CAN'T SAY THAT? OH SORRY. I'M SORRY. I NEED SOME MORE WATER. SORRY. I HAVE SOME SLIDES. BY THE WAY, BEFORE THE SLIDES COME UP, I NEVER WANT TO DROP NAMES. I DROPPED A COUPLE OF Y'ALL'S NAMES. THERE'S CONSTRUCTION GOING ON AT THE HAMLIN AND THERE'S A DOG TRAPPED UNDER THE THING. AND I SAID I WAS YOUR FRIEND AND THEY WENT TO GO TAKE IT OUT. OKAY. >> Mayor Guajardo: YOUR NAME. >> MELINDA DE LA SANTOS, CORPUS CHRISTI. JUST SAY NO TO INNER HARBOR. NO BECAUSE THE HART RESEARCH INSTITUTE SAYS THE HIGH COST TO BUILD AND THE ENERGY TO DRIVE THE DESAL PROCESS OF SEAWATER HAVE BEEN PROHIBITIVE EXCEPT WHERE THERE WERE NO OTHER VIABLE OPTIONS. BECAUSE WE KNOW THERE ARE OTHER OPTIONS. BECAUSE THE HART INSTITUTE INCLUDED AN OFFSHORE LOCATION THAT INTAKE DISCHARGE WOULD BE THE BEST OPTION. JUST SAY NO BECAUSE THE EXPERTS ARE SAYING THERE ARE ENVIRONMENTAL CONCERNS AND THE EVALUATIONS USED BY THE CITY AND PROVIDED TO TCEQ UNDERSTATE THE ENVIRONMENTAL RISKS. OTHER EXPERTS ARE WARNING ABOUT THE HYPOXIA AND THE MODELS SUBMITTED TO TCEQ. IN NOVEMBER 2022, THE COST BENEFIT ANALYSIS STUDY PERFORMED FOR THE CORPUS CHRISTI BAY WATER SUPPLY OPTIONS STATE THERE ARE SEVERAL OPTIONS TO SECURE A STABLE, LONG-TERM SUPPLY OF FRESH WATER BUT THE CITY OF CORPUS CHRISTI AND THE PORT OF CORPUS CHRISTI HAVE BEEN, QUOTE, MOST AGGRESSIVELY INVESTIGATING SEAWATER DESALINATION. YET DEMAND PROJECTIONS WERE PRIMARILY DUE TO INDUSTRIAL GROWTH NOT MUNICIPAL WATER DEMAND. THE SAME STRATEGIES EVALUATED EVANGELINE, LA QUINTA, INNER HARBOR, HARBOR ISLAND, THE SOLAR PANELS WITH PARAMETERS SET TO 30 MGD AND COMMENCING ON 2030 TO 2060 AND ANALYZING THE SOCIAL, ENVIRONMENTAL IMPACTS REVEAL THESE KEY FINDINGS. WITHOUT THE HIGH RATE OF GROWTH IN THE PETROCHEMICAL INDUSTRIES THE COASTAL BEND WOULD NOT NEED SUCH LARGE VOLUMES OF ADDITIONAL WATER SUPPLY. THE LOWEST NET FINANCIAL COST WAS THE EVANGELINE GROUNDWATER PLUS GROUNDWATER CONSERVATION MEASURES. DESAL PLANTS ARE THE MOST EXPENSIVE. THEY ALSO REPRESENT NEGATIVE BENEFITS TO THE LOCAL HABITAT. DESAL PLANTS ARE RESPONSIBLE FOR ENERGY CONSUMPTION FROM THE LOCAL GRID. SOLAR PANELS SHOWED MERITS TO PRODUCE LIFE CYCLE COST AS WELL AS NET POSITIVE EXTERNALITIES. IN JULY 2025 AN ARTICLE IN SOUTHERN LIVING MAGAZINE WAS TITLED THIS COASTAL TOWN IS KNOWN AS THE SPARKLING CITY OF THE CITY. OUR CITY IS COMPOSED OF SO MUCH MORE THAN INDUSTRY. I EMPATHIZE WITH THE PRESSURE YOU HAVE RECEIVED FROM INDUSTRY, CONTRACTORS, CHAMBER OF COMMERCE, AND STATE OFFICIALS TO THE POINT OF HARASSMENT. PLEASE SAY YES TO OUR HILLCREST CITIZENS AND TO -- >> Mayor Guajardo: THANK YOU, MS. DE LA SANTOS. THANK YOU. JAKE HERNANDEZ. JAKE? >> JAKE HERNANDEZ, CITY COUNCIL DISTRICT 2. AT THIS TIME I DO HAVE SOMETHING PREPARED. AND EVEN STILL I FEEL LIKE I DON'T KNOW WHAT TO SAY TO YOU PEOPLE. SO I'M HERE TO SPEAK AND TO STAND IN SOLIDARITY WITH MY COMMUNITY AND VOICE MY DISSENT TO THE DESALINATION PROJECT IN THE HILLCREST COMMUNITY. AND I'M HERE TO ASK YOU TO VOTE NO ON THE ITEM TO COMMISSION A $50 BILLION DESIGN-BUILD FOR THE HILLCREST WATER TREATMENT PLAN AND CEASE ANY ADDITIONAL FUNDING AND EFFORT TOWARDS IT . THIS IS SOMETHING THAT I TRIED TO APPEAL TO YOUR HUMAN SIDE ON BEFORE. BY REMINDING YOU CONSISTENTLY THAT BUILDING THIS DESALINATION PLANT IN THE HILLCREST COMMUNITY IS DEFINITIVELY CONTINUING DECADES OF ENVIRONMENTAL RACISM THAT WE ARE LONG OVERDUE TO START MAKING REPARATIONS FOR. WE DO NOT NEED TO CONTINUE MAKING THE SITUATION WORSE FOR OUR NEIGHBORS WHO LIVE HERE. WE NEED TO START MAKING IT BETTER. WE NEED TO START REINVESTING IN THE COMMUNITY THAT OUR PAST ELECTED OFFICIALS HAVE TAKEN SO MUCH FROM. IT'S DISGUSTING THAT I HAVE TO COME UP HERE AND REITERATE THAT SO MANY TIMES. OH, I'LL CHILL OUT. AND I AM NOT GOING TO CHILL OUT. I'M JUST REALLY UPSET THAT I HAVE TO COME UP HERE AND APPEAL TO YOU. AND THE ONLY WAY I THINK Y'ALL CAN COMPREHEND AND THAT'S BY APPEALING TO THE FINANCIAL SIDE OF THIS PROJECT. SINCE CLEARLY SOME OF Y'ALL DON'T CARE ABOUT CONTINUING THIS SYSTEMATIC RACISM THAT THE RESIDENTS IN HILLCREST HAVE ENDURED. I HAVE TO TELL YOU THAT WE AS TAXPAYERS DON'T WANT TO PAY THE $1.2 BILLION. HONESTLY THAT IS LIKE ONE OF THE MOST FRUSTRATING THINGS FOR ME TO TALK ABOUT BECAUSE IT IS FARAWAY FROM THE ONLY REASON THAT I CARE ABOUT THIS PLANT. IT IS NOT THE MOST IMPORTANT TO ME. LIKE, I'M POOR AS HELL AND I PAY TAXES AND STILL, LIKE, MY BIGGEST CONCERN ISN'T HOW MUCH I'M GOING TO FINANCIALLY SUFFER FROM THIS. MY BIGGEST CONCERN IS THE INJUSTICE THAT Y'ALL ARE GOING TO ALLOW TO CONTINUE FOR THE RESIDENTS OF HILLCREST. SO IF I CAN WRAP UP HERE, I WOULD JUST SAY PLEASE, JESUS CHRIST PLEASE, VOTE NO ON THIS DESIGN-BUILD. THIS IS ABSOLUTELY INSANE. >> Mayor Guajardo: THANK YOU, MR. HERNANDEZ. MICHAEL MILLER. >> WHILE SHE'S PASSING THAT OUT, MICHAEL MILLER, DISTRICT 2. MAYOR AND COUNCIL, YESTERDAY I WOKE UP, HAD MY COFFEE. WE HAD NO PLANS SO I ASKED MY WIFE PERMISSION TO HAVE A LITTLE BIT OF ME TIME. SHE OBLIGED AND I WENT OUT TO THE GUN CLUB AND RELEASED ABOUT 250 ROUND OF TENSION. ON THE WAY HOME I DECIDED I NEEDED TO GATHER MY THOUGHTS FOR TUESDAY SO I HAMMERED OUT A TWO-PAGE DISSERTATION ON WHY THIS IS THE WRONG PROJECT FOR THIS COMMUNITY. I WENT THROUGH ALL OF DAVID LOBE'S POSTINGS. DAVID IS A SMART GUY. IN FACT, HE'S LIKE THE 28th OR 29th SMARTEST PERSON I KNOW. I CAN MAKE THE SMALLEST PASSING COMMENT THE REASON WHY NOT AND HE WILL SPEND 24 HOURS DIGGING THROUGH MUNICIPAL CODES AND STATE LAW AND COME BACK WITH A REBUTTAL THAT'S A 45-MINUTE READ JUST TO POKE HOLES IN MY ASSERTIONS. AFTER THAT I WOULD PROVIDE COMMENTARY ABOUT HOW HIS RESEARCH WAS IRRELEVANT AND TRY TO KEEP HIM FROM GOING DOWN THE RABBIT HOLE TOO FAR. IT'S AN ENDLESS PURSUIT. HE PUTS THE BAIT OUT THERE AND I AND OTHERS ARE QUICK TO BITE. SEVERAL TIMES I HAVE HAD TO STOP MYSELF AND ASK MYSELF A REALLY TOUGH QUESTION. ARE YOU FIGHTING FOR WHAT'S RIGHT OR ARE YOU FIGHTING JUST TO WIN AN ARGUMENT? EACH TIME AFTER CAREFUL THOUGHT AND CONSIDERATION I COME BACK TO THE SAME CONCLUSION BASED ON THE SAME SET OF FACTS. I PRINTED MY ORIGINAL TALK FOR YOU AND YOU CAN READ IT IF YOU LIKE. LAST NIGHT I DECIDED TO SCRAP THAT BOOK AND LOOK FOR A COMMONALITY AMONGST YOU. IN FRONT OF YOU IS A CREATIVE DESIGN MATRIX. IT'S A GREAT WAY TO EVALUATE A DECISION AND IT CUTS TO THE CHASE. SO WHAT DO WE ALL HAVE IN COMMON? THERE ARE TWO MAIN ISSUES AT THE CORE OF THIS DECISION. LOCATION AND PRICE. AT SOME POINT OVER THE LAST FIVE YEARS I HAVE HEARD ALL OF YOU SAY SOMETHING ALONG THE LINES OF I'M NOT CRAZY ABOUT THIS LOCATION. BUT IT WAS FOLLOWED UP WITH BUT IT'S THE MOST COST-EFFECTIVE LOCATION. FIVE YEARS AGO WE WERE TALKING ABOUT A $220 MILLION PLANT. IN 2023 THAT NUMBER NEARLY QUADRUPLED. A FEW MONTHS AGO IT DOUBLED STILL TO $1.2 BILLION WITH CONCEIVABLY NO END IN SIGHT. SINCE THEN I HAVE HEARD ALL OF YOU SAY WE'RE NOT CRAZY ABOUT THE PRICE. IF YOU FOLLOW THE MATRIX, THE DECISION IS CLEAR. IF WE HAD A GOOD LOCATION AND GOOD PRICE IT WOULD BE YES. IF WE HAD A GOOD LOCATION AND BAD PRICE, IT WOULD BE WORTHY OF FURTHER DISCUSSION. BUT TODAY WE FIND OURSELVES AT THE PERFECT CONFLUENCE OF BAD PRICE AND BAD LOCATION. THE CHOICE IS CLEAR TO ME BUT WE HAVE SO MUCH INVESTED. WE HAVE PERMITS, LOANS, CAMPAIGNS T-SHIRTS BUTTONS ET CETERA. ALL THAT IS GREAT BUT IT DOES NOT NEGATE THE SIMPLE FACT THAT THERE IS A BAD PROJECT IN A BAD LOCATION IN A BAD PRICE. IF YOU GET ON THE WRONG TRAIN, GET OFF THE TRAIN AT THE NEAREST STATION. LIKE THEY SAY ON YELLOWSTONE, THE TIME HAS COME TO TAKE THE INNER HARBOR DESALINATION PLANT TO THE TRAIN STATION. THE CHOICE IS CLEAR. VOTE NAY. RIGHT NOW WE'VE GOT 30 AGAINST. THREE ARRESTS AND ONE ST. DENNIS STREET. THANK YOU. >> Mayor Guajardo: THANK YOU, MR. MILLER. ADAM RIOS. OKAY. DAN McQUEEN. >> DAN McQUEEN, CORPUS CHRISTI. MAYOR COUNCIL STAFF. IT'S ALWAYS A PLEASURE. I LOOK AT YOU WITH SUCH PROMISE. I ASKED GOD. I SAID, GOD, CAN YOU GIVE US ONE MORE AND MAKE IT A FAB SIX? BECAUSE Y'ALL KNOW WHAT'S RIGHT FOR THE CITY. AND I LISTENED TO ONE OF OUR COUNCIL PEOPLE TODAY SAID -- HE SAID THAT'S ONE-THIRD THE TAXES, THE INTEREST IS ONE-THIRD OF THE BUDGET OF THE WATER. AND I'M THINKING TO MYSELF, MY GOD. HE'S STARTING TO SEE THE MATH. AND I'M THINKING TO MYSELF, MAYBE HE'S GOING TO SEE THE HISTORY OF HOW WE GOT HERE. THE REAL ESTATE DEALS THAT WERE DONE AND NOW BIG PROJECTS THAT PEOPLE THINK AT SOME POINT IN TIME WE'RE GOING TO GET TAX DOLLARS ON. AND IT'S GOING TO BE A CITY THAT'S GOT TAX REVENUE FROM IT. AND I LISTENED TO MARK MINSTER AND HE PUTS UP THE SLIDES AND I'M WATCHING YOU GUYS ON COUNCIL AND I'M SAYING THEY'RE NOT LOOKING. THEY'RE NOT PAYING ATTENTION. THEY DON'T SEE THE NUMBERS. THEY'RE NOT ASKING THOSE INDUSTRIES WHY THEY DON'T HAVE THE JOBS. THEY'RE NOT IMPACTING THEIR WATER BECAUSE THEY'RE NOT PAYING THEIR SHARE. NOBODY'S EVEN QUESTIONING THE INDUSTRIES RIGHT? AND SO PEOPLE KNOW I'M IN AUSTIN TO SAN ANTONIO RUNNING FOR CHIP ROY'S SEAT IN CONGRESS, AND THAT WILL BE MY FOCUS. AND I LOVE CORPUS CHRISTI. THAT'S WHY I'M HERE WITH YOU PEOPLE. BECAUSE I KNOW YOU'RE GOING TO DO THE RIGHT THING. YOU KNOW, I ASK MYSELF, I'M LOOKING AT THE TEXAS VENTURE FESTIVAL, CORPUS CHRISTI IS NOT ON IT. YET, DEL RIO IS. DEL RIO IS LOOKING AT A PLAN TO TURN THEIR -- AS A MATTER OF FACT, THEY JUST BROKE GROUND -- TO TURN THEIR WASTE INTO WATER. ANOTHER $250 MILLION PROJECT AND THEY'RE MOVING FORWARD. DEL RIO IS MOVING FASTER THAN CORPUS CHRISTI. BOY DOES THAT HURT MY GUT. IT REALLY DOES. AND I'M HOPING THAT AT SOME POINT IN TIME SOME OF YOU PEOPLE START OWNING THE HISTORY OF HOW WE GOT HERE. AND MY FOURTH NOVEL IS OUT. IT DIDN'T JUST HAPPEN. THERE WAS A ONE, TWO, AND A THREE RIGHT? AND BY GOD I HOPE YOU SEE A VISION OF WHERE WE NEED TO BE TOMORROW. I ASKED YOU EARLIER WHERE WILL CORPUS CHRISTI BE IN TEN YEARS OR 20 YEARS? WHAT'S YOUR VISION? HAVE YOU EVEN TALKED ABOUT IT? DO YOU HAVE A SOLID VISION ON WHAT'S GOING TO TURN THE ECONOMIC MODEL AROUND. WHAT'S GOING TO FIX STREETS. WHAT'S GOING TO DO ANYTHING FOR THE PEOPLE. I TALKED ABOUT, YOU KNOW, BOYS AND GIRLS CLUBS AND STUFF LIKE THAT BUT I DON'T SEE ANYBODY DOING ANYTHING IN THIS CITY TO PROMOTE OUR FUTURE. HAVE A BLESSED DAY. >> Mayor Guajardo: THANK YOU, MR. McQUEEN. ALAIN CHAVEZ. >> GOOD AFTERNOON. MY NAME IS ALAIN CHAVEZ, DISTRICT 2. A LOT OF THINGS HAVE HAPPENED TODAY. WE HAVE A LOT OF VOICES IN OPPOSITION TO THE DESALINATION PLANT. YOU ALL HAVE THE FACTS THAT YOU NEED TO KNOW. YOU FOR MANY YEARS HAVE SPOKEN WITH EXPERTS REGARDING THE POTENTIAL EFFECTS THAT THIS PLANT COULD HAVE IN OUR BAYS. FROM THE BEGINNING IT HAS BEEN PRETTY CLEAR FOR US AS RESIDENTS WHO IS TOWING WHAT LINE? WHO HAS BEEN ASKING QUESTIONS ON BEHALF OF THE PEOPLE AND WHO HAS BEEN COVERING FOR THE INDUSTRY? THESE THINGS, THEY MATTER A GREAT DEAL TO ME PERSONALLY AS A RESIDENT OF CORPUS CHRISTI. I LOVE THIS CITY. I LOVE THE PEOPLE WHO LIVE HERE. AND I'M COMMITTED, AS MY FRIEND CHLOE SAID EARLIER, TO KEEP FIGHTING FOR THIS CITY AND TO KEEP FIGHTING FOR THE THINGS THAT WE DESERVE. AND TO KEEP FIGHTING FOR THE FUTURE THAT IS SO CLOSE TO US. WE CONSTANTLY FACE GREED AS AN OBSTACLE. BUT TODAY COULD BE DIFFERENT. TODAY COULD BE A DAY WHERE WE SEE JUSTICE FOR THE HILLCREST COMMUNITY. THAT'S WHY I'M HERE SPEAKING. I WANT THAT SO BAD. I WANT TO SEE SOMETHING GOOD FOR THAT COMMUNITY AND IN MY FUTURE, IF GOD ALLOWS BEFORE I LEAVE THIS EARTH, I WANT TO SEE HILLCREST THE WAY THAT IT HAS BEEN TOLD TO ME BY MY ELDERS. I THINK ABOUT THAT ALL THE TIME HOW BEAUTIFUL IT WOULD BE TO FALL IN LOVE IN HILLCREST. TO GO CLUBBING IN HILLCREST. TO GET A HAIRCUT IN HILLCREST. AND IT FILLS ME WITH RAGE AND INDIGNITY TO KNOW THAT THESE THINGS DON'T MOVE SOME OF YOU. THEY JUST GO IN ONE EAR AND OUT THE OTHER. IT'S REALLY OBVIOUS TO US WHO IS LISTENING AND WHO'S NOT LISTENING. AND THAT'S ALL I HAVE TO SAY. SO PLEASE DO WHAT'S RIGHT. PLEASE GIVE JUSTICE TO HILLCREST. VERY SMALL AMOUNT THAT WE ARE ASKING. AND THEY DESERVE SO MUCH MORE. AND JUST KNOW THAT NO MATTER WHAT HAPPENS, WHETHER THIS IS IN FAVOR OF HILLCREST OR NOT, WE WILL CONTINUE TO FIGHT TO BETTER THAT COMMUNITY. BECAUSE THIS IS WHAT I WANT FOR MY FUTURE. I WANT TO SEE THESE THINGS IN MY LIFETIME. I WANT TO SEE HILLCREST THRIVE AGAIN. >> Mayor Guajardo: THANK YOU, MS. CHAVEZ. ARTURO LIMA. IS ARTURO LIMA HERE? NO? OKAY. HENRY WILLIAMS. AND THEN WE'LL HAVE CARLA FRANK, JULIAN HERNANDEZ, ALYSSA MATEZ. >> MAYOR, COUNCIL, CITY SECRETARY, CITY MANAGER, CITY ATTORNEY. THIS HAS BEEN A VERY SPIRITED MEETING, TO SAY THE LEAST. I WANT TO READ FROM THE SCRIPTURES. >> City Secretary: REVEREND WILLIAMS, CAN YOU STATE YOUR NAME AND CITY. >> HENRY WILLIAMS, CORPUS CHRISTI DISTRICT 1. I HAVE A VISION OF WHO WE ARE. YOU KNOW, WE'RE CORPUS CHRISTI. WE ARE THE BODY OF CHRIST. AND IT'S IMPORTANT THAT WE UNDERSTAND THAT WE CONDUCT OURSELVES ACCORDINGLY. HERE IN CITY COUNCIL MEETINGS, IT'S VITALLY IMPORTANT. WE MUST RESPECT THESE MEN AND WOMEN. YOU ALL ARE NOT THERE BECAUSE OF YOUR INITIATIVE, YOU'RE THERE BECAUSE GOD PLACED YOU THERE. AND HE HAS PLACED YOU THERE TO DO THE RIGHT THING AND TO ABIDE BY YOUR CONSCIENCES. CONCERNING WATER, WE'RE NOT GOING TO RUN OUT OF WATER BECAUSE WE DEAL WITH HE WHO CREATED WATER. GOD CREATED WATER THROUGH JESUS CHRIST. WE ARE NOT GOING TO RUN OUT OF WATER. WE NEED NOT BE FEARFUL IN THAT AREA. OKAY? YOU KNOW, WHEN MOSES WAS GUIDING HIS PEOPLE OUT OF EGYPT, GOD PROVIDED WATER IN THE DESERT. OKAY? HE WILL PROVIDE WATER HERE. HE WANTS US TO CONDUCT OURSELVES PROPERLY. I WOULD LIKE TO READ FROM DEUTERONOMY 11. AND THESE SCRIPTURES APPLY TO OUR VISION FOR OUR CITY. BUT THE LAND OF HILLS AND VALLEYS -- FOR US, WE DON'T HAVE HILLS AND VALLEYS BUT WE HAVE THE WATER HE HAS GIVEN US. WE HAVE OUR BAY. A GREAT BODY OF WATER. AND DRINKING WATER OF THE RAIN OF HEAVEN. A LAND WHICH THE LORD THY GOD GIVETH FOR THE EYES OF THE LORD THY GOD ARE ALWAYS ANOINTED. FROM THE END OF THE YEAR TO THE BEGINNING OF THE YEAR. IT SHALL COME TO PASS AND IF YE SHALL HARKEN DILIGENTLY TO MY COMMANDMENTS, I COMMAND YOU THIS DAY TO LOVE THE LORD YOUR GOD, TO SERVE HIM WITH ALL YOUR HEART, WITH ALL YOUR SOUL. AND I WOULD GIVE YOU RAIN IN YOUR LAND IN THE NEW SEASON. THE FIRST RAIN, THE LATTER RAIN THAT THOU MAYEST GATHER IN THINE CORN, WINE, AND OIL. IT SPEAKS AND HIS BLESSING UPON OUR CITY. THANK YOU. >> Mayor Guajardo: THANK YOU, SIR. CARLA FRANK. CARLA FRANK? OH SORRY. I DIDN'T SEE YOU. >> GOOD EVENING, COUNCILMEMBERS. MY NAME IS CARLA FRANK. I'M A RESIDENT OF DISTRICT 5. THE REVEREND IS GOING TO BE A HARD ACT TO FOLLOW. WHEN I WAS ASKED TO COME HERE TODAY, AND I'VE SPOKEN BEFORE THE COUNCIL PREVIOUSLY, IT'S BEEN QUITE A WHILE U NEVER EXPECTED THE NUMBER OF PEOPLE TO TURN OUT TODAY OR THE EMOTIONS THAT WE'VE SEEN AND THE URGENCY OF THIS ISSUE. I'M HERE TODAY TO TALK ABOUT THE WATER CRISIS IN OUR CITY AND DESAL. I TRUST YOU AND THE CITY LEADERS TO PROVIDE SECURE WATER SUPPLY AND IT'S NOT JUST THIS COUNCIL, AS WE'VE DISCUSSED, BUT IT'S BEEN GOING ON FOR 20 YEARS. IT'S BEEN MANY COUNCILS. THEY HAVE FAILED TO DO THAT. I CAN NO LONGER WATER MY GRASS. I CAN'T WASH MY HOUSE OR MY CAR. AND I CAN'T USE MY SPRINKLER SYSTEM THAT I SPENT THOUSANDS OF DOLLARS ON TO MAINTAIN A VERY EXPENSIVE LAWN. SO HOW DID WE GET HERE? I'M NOT THE WATER POLICE, AND I DO NOT DIG DEEP INTO THE CITY DATA REGARDING WATER, NOR SHOULD I HAVE TO DO THAT. THAT'S THE JOB OF THE CITY. I ONLY KNOW WHAT I READ IN THE PAPER AND WATCHED ON TV, AND THIS IS WHAT I HAVE BEEN TOLD. THE CITY HAS MAINTAINED -- HAS FAILED TO MAINTAIN THE MARY RHODES PIPELINE THAT WAS DEVISED TO PROVIDE WATER IN THIS TIME OF DROUGHT. THIS IS NOT THE FIRST DROUGHT WE'VE SEEN AND IT WILL NOT BE THE LAST. THE CITY HAS FAILED TO PUMP WATER THAT WE'VE PAID FOR. I CAN'T BELIEVE THIS, THROUGH CONTRACT OBLIGATIONS. AND THIS LACK OF WATER HAS LED TO THE LAKES BEING DRAINED. THIS IS A MISSED OPPORTUNITY THAT WE CAN NEVER GET BACK, LOST WATER GONE. GONE WATER I COULD HAVE USED TO WATER MY LAWN. UNTIL RECENTLY THE CITY HAS FAILED TO LOOK AT OTHER WATER OPTIONS LIKE GROUNDWATER. AND I AM SO GLAD THAT YOU ARE DO THAT. AND MR. ZANONI, THANK YOU FOR LOOKING AT THESE OTHER OPTIONS. THE CITY HAS SPENT MILLIONS OF OPTIONS LOOKING AT A DETALL PLANT LOCATED IN OUR CITY AND DONALD TRUMP BRINE IN OUR BAYS. LET ME REMIND YOU AS OTHERS HAVE, THIS IS A TOURIST CITY. IT ALMOST LOOKS LIKE THE CITY HAS BEEN PLAYING CHICKEN WITH MOTHER NATURE. AND NOW WE ARE AT A POINT OF NO RETURN, AND IN CRISIS MODE. SO WHAT IS WRONG WITH DESHALL? IT COSTS NORTH OF A MILLION DOLLARS. AND WILL CAUSE OUR WATER RIGHTS TO DOUBLE OR TIPPLE FOREVER. WE DO NOT HAVE TIME TO WAIT THREE PLUS YEARS FOR DESAL PLANT. WE NEED WATER NOW. IT WILL COST -- PLEASE VOTE NO ON THIS DESAL. THANK YOU SO MUCH. >> JULIAN HERNANDEZ? >> JULY JANUARY HERNANDEZ, DISTRICT 3. SO THIS IS PRETTY DIFFERENT FOR A NEW BY AROUND HEREs, AS YOU MENTIONED EARLIER. WHEN I CAME IN, THE REASON I'M HERE, I ASKED MYSELF, WHY AM I HERE? I'M HERE BECAUSE OF THE DESAL AND THEN I STARTED LOOKING AT THE AGENDA. I SAW THE AGENDA TWO DAYS AGO AND IT STARTED STIRRING STUFF IN ME, AND THAT'S WHY I CAME EARLIER, BECAUSE I CO COULDN'T T AT HOME. AND THAT'S ONE OF MY DAUGHTERS PRESENT HERE. SHE CAME TO SUPPORT ME. BUT MY THING WAS, OKAY, THE COST OF IT. YOU KNOW, I WORKED A LOT OUT OF TOWN SO I WOULD GET TIDBITS HERE AND THERE. AND THEN YOU HEAR EVERYBODY, WHERE IT STARTED FROM. AND PHREN WHERE WE'RE AT NOW. YOU KNOW, I WORKED IN THE UTILITY FIELD, EXTRA HIGH VOLTAGE PILINGS STUFF. AND ONE WE LOOKED AT, YEAH, WE'RE HURRICANE CITY HERE. WHAT HAPPENS WHEN WE START BUILDING IT IF THEY DO HAVE A HURRICANE COMES AND HITS IT? HOW MUCH MONEY ARE WE OUT THEN? DO WE HAVE THE MAI MAINTENANCE - THE PAPERS I PASSED OUT EARLIER, THE MAINTENANCE ISSUED WITH THE CITY. TALKED ABOUT WASTEWATER, BUT ALL THE STUFF TO VACUUM OUT OF THE SEWERS BECAUSE WE HOLD OUR PEOPLE ACCOUNTABLE, WE DON'T HAVE THE PEOPLE LOOKING OF IT. THE WATER GARDEN IS A GOOD EXAMPLE OF THAT. HOW OFTEN DO THEY SHUT DOWN? I REMEMBER WHEN IT WAS THIS HIGH WHEN I WAS A KID. IT MIGHT HAVE BEEN PERCEPTION BUT IT WAS TALL. OKAY. THE PICTURE THAT I SHOWED YOU THERE WITH AN ENGINEERING DESIGN ON THE CORNER OF FPID AND CAROL LANE AND ONE ON EVERHEART. IT WAS A STOP SIGNAL THAT KIND OF CUT ACROSS. IF YOU STILL HAVE THOSE PICTURES, I DREW IT IN THERE. THAT WAS A DESIGN THAT WE CAME UP WITH, SO IF YOU EVER GOT TO THAT INTERSECTION, YOU WOULD HAVE TO LOOK DOWN TO LOOK AT THE LIGHTS. HAZARD. SO THEY TOOK THEM DOWN. SO WE SPENT ALL THAT MONEY ON ENGINEERING THEN, PUT INTO EFFECT, AND JUST TO TAKE IT DOWN. SO WHAT ARE WE DOING HERE WITH THE PRICE TAG THAT MUCH BIGGER? I DO -- LAST THING. THE TARIFFS. THE FIELD THAT I WORK IN, TARIFFS HAVE A BIG PART IN. WE'RE LOOKING AT THIS NOW. OKAY. WHERE IS ALL THAT MATERIAL COMING FROM? IS IT COMING FROM U.S.? MORE THAN LIKELY NOT. OKAY. THAT BILL IS ONLY GOING TO GET BIGGER. SO WHAT ARE WE LOOKING AT AS FAR AS THE BILL WHEN WE GET DONE ENGINEERING IT? WHERE DO WE GO FROM THERE? THEN WE INVEST MORE MONEY JUST TO LOSE IT ALL. AND ARE WE WILLING TO DO THAT FOR -- ONE OF MY DAUGHTERS OVER THERE, ALONG WITH MY OTHER ONES AND MY GRANDCHILDREN? I DON'T KNOW. NOT BECAUSE WE DON'T NEED WATER. BECAUSE, YES, WE NEED WATER BUT THERE WAS A LOT OF EDUCATED PEOPLE, MORE THAN I, THAT GAVE DIFFERENT PLANS, REACHED OUT TO FIGURE OUT A DIFFERENT OPPORTUNITY THAN WHAT WE HAVE HERE IN TOWN. THANK YOU. >> THANK YOU, MR. HERNANDEZ. ELISA MATEZ. >> GOOD EVENING, MAYOR AND COUNCIL. MY NAME IS ELISHA, CORPUS CHRISTI TEXAS. I'M THE PLANT MANAGER FOR THE PLANT HERE IN CORPUS CHRISTI. WE HAVE APPROXIMATELY 400 EMPLOYEES THAT LIVE AND WORK IN THIS REGION. THEIR FAMILIES DEPEND ON THOSE JOBS. AND THEY DEPEND ON THEM. THE PRODUCTS THAT WE PRODUCE ARE THE FOUNDATION OF EVERYDAY PRODUCTS, SUCH AS PIPING FOR THE DELIVERY OF CLEAN WATER, FOOD PACKAGING, AND SANITARY MEDICAL SUPPLIES. THE COASTAL REGION NEEDS A WATER SUPPLY FOR OUR COMMUNITY TO THRIVE. WE ALL, THE COMMUNITY AND INDUSTRY, WILL BENEFIT FROM THE INNER HARBOR DESALLIZATION PROJECT, WHICH IS WHY I SUPPORT THE PROJECT. THANK YOU FOR YOUR TIME. >> THANK YOU SO MUCH. NOSA GONZALEZ. AND THEN ANDREA PRIOLE, JAMES PER KIN, SARAH DAWSON, LAMAR TAYLOR. >> GONZALEZ, DISTRICT 1. I'M SPEAKING HERE AS ONE OF YOUR FELLOW NORTH CORPUS CHRISTI NEIGHBORS TO OPPOSE THE INNER HARBOR DESALINATION PLANT. WATER, THE NEED FOR IT IS UNSPEAKABLY URGENT RIGHT NOW, YES. BUT AS SOMEBODY WHOSE FAMILY, ANCESTORS HAVE BEEN HERE IN THE COASTAL BEND FOR MANY HUNDREDS OF YEARS WORKING BOTH THE LAND AND THE WATERS WE CALL HOME, I BELIEVE THAT THE COST DESAL BRINGS NOT JUST FINANCIALLY BUT ENVIRONMENTALLY AND CULTURALLY IS TOO HIGH. ON ACCOUNT OF THE HILLCREST COMMUNITY, THOSE WHOSE LIFE EXPECTANCIES ALONG REFINERY ROAD IN NORTH CAR PUS IS AN AVERAGE 15 YEARS LESS THAN PEOPLE IN OTHER PARTS OF CORPUS CHRISTI DUE TO HEAVY REFINERY POLLUTION. IT IS MORALLY CORRUPT TOES FOR MY NEIGHBORS TO BEAR YET ANOTHER BURDEN IN THE NAME OF A FALSE SOLUTION, MOSTLY BENEFITING INDUSTRY, WHOSE WATER WILL FAR, FAR EXCEED THAT OF THE PEOPLE. AND THE PEOPLE WILL PAY THAT COST, NOT ONLY WITH ALREADY STRAINED POCKETS BUT THEIR BODIES. I ASK THAT THE COUNCIL WILL REMEMBER US IN THIS DECISION. THANK YOU. >> THANK YOU, MS. GONZALEZ. ANDREA PEEL. >> ANDREA PEEL, DISTRICT 2. I AM HERE TODAY TO SPEAK ABOUT AGENDA ITEM 34 AND TO ASK YOU TO VOTE NO ON IT. I'M ALSO VERY FLUSTERED TODAY. I'VE BEEN ORGANIZING IN MY COMMUNITY FOR ALMOST A YEAR NOW. NOT VERY LONG. VERY NEW TO ALL OF THIS AND VERY NEW TO THIS ISSUE AND DESALINATION. AND I HAVE BEEN SO BLESSED TO MEET SOME INCREDIBLE PEOPLE THAT HAVE GROWN UP AND LIVED IN HILLCREST ALL THEIR LIFE. AND THEY ALL DESERVE A BEAUTIFUL NEIGHBORHOOD. AND THAT IS JUST ONE OF THE MANY REASONS TO SAY NO TO THIS PLANT. NOT ONLY FOR THAT NEIGHBORHOOD, BUT FOR THE BAY, FOR OUR WATER BILLS TO NOT GO UP, FOR THE PRICE, WHICH LIKE MY FRIEND JAKE, I ALSO DON'T CARE ABOUT. I REALLY JUST CARE ABOUT MY HOME. I CARE ABOUT OTHER PEOPLE HAVING A HOME. AND A GOOD ONE AND A LIVABLE ONE WITH CLEAN AIR, CLEAN WATER. I GREW UP IN ALICE. AND THEN I EVENTUALLY STARTED TO COMING TO SCHOOL WE'RE HEN I GOT OLDER. CORPUS WAS ALWAYS THE PLACE TO COME. WE WOULD GO TO THE BEACH A LOT GROWING UP, I WOULD GO WITH MY MOM A LOT. STARTED LIVING IN CAR PUS MY DAD GOT INTO BIRDING AND I WOULD GO WITH HIM. TO KNOW THAT ALL OF THAT WILL MORE THAN LIKELY GO AWAY IF THIS PLANT GETS APPROVED. MAKES ME SO SAD. I WAS TALKING TO MY MOM ABOUT IT YESTERDAY AND I GOT EMOTIONAL. AND SHE WAS LIKE, DON'T CRY. AND I SO BADLY WANTED TO TELL HER BUT IT'S SO HARD TO STAND UP HERE AND LISTEN TO YOUR MOTHERS. IT TAKES STRENGTH TO CRY AND IT TAKES SPRENT STRENGTH TO BE VULNERABLE AND COME UP HERE AND WEAR MY HEART ON MY SLEEVE AND ASK Y'ALL TO LISTEN TO US. AND HONESTLY, ASIDE OF THAT, I DON'T THINK PEOPLE ARE WRONG FORGETTING UPSET AND FOR BEING DISRESPECTFUL BECAUSE I THINK THOSE PEOPLE WHO HAVE BEEN ORGANIZING AROUND THIS ISSUE FOR NEARLY TEN YEARS AND BRINGING THIS UP TO Y'ALL HAVE BEEN DISRESPECTED SO MUCH ALONG THE WAY. THEY'VE BEEN IGNORED. THEY'VE BEEN TARGETED ONLINE. AND NOW Y'ALL ARE ACTIVELY SILENCING THEM HERE IN THE DAIS. AND THAT IS SO SAD AND SO PATHETIC. I FEEL LIKE SOME OF Y'ALL AREN'T EVEN LISTENING TO ME ANYMORE. WHERE IS THE RESPECT TO US, TO RESIDENTS THAT DESERVE CLEAN AIR AND CLEAN WATER, LIVABLE HOME AND THRIVING COMMUNITY. THAT'S ALL I HAVE TO SAY. THANK YOU. PLEASE VOTE NO. >> THANK YOU. JAMES PERKINS? >> HOWDY. JAMES PERKINS, DISTRICT 2. I'M ASKING Y'ALL TO VOTE NO, NOT BECAUSE OF THE PRICE BUT BECAUSE OF THE ECOLOGICAL IMPACT THAT MAY HAPPEN TO THE BAY. ON TOP OF THAT, I MENTIONED IT BEFORE, BUT I GREW UP OVER THERE ON NAVIGATION. I GOT REAL BAD ASTHMA NOW BECAUSE OF THAT. AND IT'S THAT KIND OF IMPACT TO THE PEOPLE AROUND IT, YOU KNOW. AND THERE MIGHT BE A BUFFER ZONE. YEAH, THERE'S AN ACRE OF SPACE BETWEEN THE REFINERY AND THE HOUSE I GREW UP IN BUT THAT ACRE IN SPACE DOES NOTHING FOR THAT AIR POLLUTION, IT DIDN'T DO NOTHING FOR THE LIGHT POLLUTION. THOSE BUFFER ZONES REALLY ARE JUST TO APIECE -- TO KIND OF PLACATE THE PEOPLE WHO DON'T LIVE THERE. YOU DON'T GOT TO DEAL WITH IT. I GET IT. I DON'T LIVE THERE ANYMORE. IT'S REAL NICE BECAUSE I GET TO BREEZE EASY OVER HERE IN THE MID OF CORPUS CHRISTI. BUT THE PEOPLE WHO DON'T GOT THE MONEY TO MOVE OUT, WHAT ARE THEY GOING TO DO ABOUT IT BUT SUFFER? AND IT'S NOT -- UNDERSTAND WE WANT CORPUS CHRISTI TO BE A NICE, THRIVING CITY, BUT FOR A NICE, THRIVING CITY, YOU NEED A STRONG FOUNDATION. AND A FOUNDATION BUILT ON INDUSTRY, BUILT ON CAPITAL IS NOT A LASTING FOUNDATION. CAPITAL IS VERY -- RUNS DRY VERY QUICK. CAPITAL GOES BY VERY QUICK. ALL OF THESE INDUSTRY PEOPLE COMING YOU AND SAYING, OOH, THEY MAKE THE PRODUCTS AND MAKE WHAT WE NEED AND MAKE WHAT WE WANT. HEY, IT AIN'T GOING TO LAST. HOW MANY THINGS YOU BUY TODAY NOWADAYS THAT LAST FOR THE LAST YEAR? YOU'VE GOT CONSTANTLY REPLACE ALL OF YOUR DEVICES, ALL YOUR KITCHEN PRODUCTS, CONSTANTLY REPLACE ALL OF THIS STUFF. HOW MANY TIMES YOUR CAR BREAKDOWN, YOU REPLACE THE PARTS FOR IT. I ONLY GOT 100,0,000 MILE MILESN MINE AND REPLACE THE TRANSMISSION TWICE. WHAT DO I DO, REPLY ON THE PRODUCTS THE INDUSTRY PEOPLE ARE PUTTING OUT? IT AIN'T -- IT AIN'T JUST ABOUT US. IT AIN'T JUST ABOUT HILLCREST. THOUGH THOSE PEOPLE HAVE SUFFERED A LOT AND CONTINUE TO SUFFER. IT SAINT JUST ABOUT THE BAY AND THE ANIMALS THAT DON'T REALLY GET TO COME UP HERE AND SAY, HEY, Y'ALL ARE MUCKING UP MY PLACE. IT'S ABOUT THE FUTURE OF CORPUS CHRISTI. IT'S ABOUT DOWN THE LINE WHEN THEY LOOK BACK IN THE HISTORY BOOKS AND SAY, WELL, WHERE DID IT ALL REALLY GO WRONG? YOU DON'T WANT TO BE THE ONING N THAT LITTLE PARAGRAPH OF TEXT AND SAY THIS IS WHY CORPUS CHRISTI IS A GHOST TOWN. WE'VE GOT 300,000 PEOPLE. NOTHING TO DO EXCEPT FOR GO TO THE BEACH, GO FISHING, YOU KNOW, DO THOSE KAYAK TOURS. JUST GET OUT OF THE HOUSE AND GO ON THAT WATER. AND WITH THAT DESALINATION PLANT, NO MATTER WHERE YOU PUT IT, YOU'RE MUCKING UP ALL THE WATER. IT AIN'T GOOD. VOTE NO. IT AIN'T GOOD. 15 SECONDS, COOL. IF WE'RE REALLY WORRIED ABOUT WATER WHY DON'T WE TAKE THE WATER WE SOLD BACK FROM THE INDUSTRY? IT'S NOT A GREAT OPTION BUT THEY AIN'T REALLY USING IT TO MAKE GOOD STUFF. >> THANK YOU, MR. PERKINS. SARAH DAWSON. >> HELLO. SARAH DAWSON, DISTRICT 2. I'M GOING TO REPEAT WHAT SEVERAL OF MY FRIENDS AND COMMUNITY MEMBERS BEFORE ME HAVE ALREADY SAID VERY ELOQUENTLY. SO I'LL BE SUPER BRIEF. WE ALL SHOWED UP HERE AFTER WORK, NOT TO BE A NUISANCE BUT BECAUSE WE DEEPLY LOVE OUR CITY AND WE WANT TO PROTECT IT. WE KNOW INDUSTRY USES AT LEAST 70% OF WATER. WE KNOW THAT. KNOWING THAT, IT DOESN'T REALLY MAKE A WHOLE LOT OF SENSE THAT THE RESIDENTS ARE PUT ON STRICT WATER RESTRICTIONS WHILE THE INDUSTRY IS ALLOWED TO CONTINUE BUSINESS AS USUAL WHILE ALSO BEING ALLOWED TO EXPANDING UNCHECKED AND USE EXPONENTIALLY MORE WATER. I BELIEVE IF YOU TAKE CARE OF MOTHER EARTH, SHE WILL TAKE CARE OF YOU BACK. BUT IT MUST BE RESHIP CIPRO CALL. YOU SIMPLY CAN'T CARE ABOUT THE ENVIRONMENT WHILE ALSO FOCUSING ON A FOREVER GROWING INDUSTRY. YOU HAVE TO PICK ONE. WE ARE IN THIS CURRENT WATER CRISIS BECAUSE WE HAVEN'T BEEN TAKING PROPER CARE OF OUR HOME. I VOTE IT'S TIME TO START MENDING THAT. I KNOW WE ARE SO ENTANGLED THAT IT FEELS IMPOSSIBLE BUT WE HAVE TO TRY. WE CAN START BY TRULY PUTTING THE HEALTH AND WELL BEING OF OUR WRENS DENTS IN OUR BAYS FIRST BY NO LONGER NEGLECTING THE HILLCREST COMMUNITY AND VOTING NO TO THE DESALINATION PLANT. THANK YOU. >> THANK YOU, MS. DAWSON. LAMONT TAYLOR. >> GOOD EVENING. LAMONT TAYLOR, DISTRICT 1, CORPUS CHRISTI. FOR 20 YEARS COUNCILS KNEW ABOUT AND PARTICIPATED IN ENVIRONMENTAL RACISM IN HILLCREST. THEY KNEW ABOUT IT. AND YOU PERPETUATED THE PROBLEM OR KICKED THE CAN DOWN THE ROAD LIKE WE DIDN'T KNOW, WE DIDN'T KNOW. SOME OF YOU GUYS KNEW THAT THIS WAS HAPPENING OVER THERE. SOME OF YOU GUYS KNEW BECAUSE YOU'VE BEEN ON THE COUNCIL FOR EIGHT, SIX, FOUR YEARS. SO YOU KNEW WHAT WAS GOING ON OVER THERE. AND VOTING FOR THE ENCROACHMENT OF THAT NEIGHBORHOOD, PROVIDING OPPORTUNITIES FOR INDUSTRIES TO CONTINUE TO COME IN AND POLLUTE, AND THEN I GUESS THE STRAW THAT BREAKS THE CAMEL'S BACK IS THAT YOU COME IN AND YOU WANT TO PUT BRINE BACK IN THE HARBOR AND THEN EVENTUALLY DESTROY THE BAY. OKAY. THAT'S THE SOCIAL PART OF IT. NOW LET'S GO TO THE FINANCIAL PART OF IT. FROM 200, 500, 7, TO NOW $1.2 BILLION FOR ONLY 30MGD. $1.2 BILLION FOR 30MG IT MAKES NO SENSE ECONOMICALLY. SO VOTE NO. >> THANK YOU, MR. TAYLOR. JEN GRASSIA. JEN GRASSIA. ANNA O'REILLY. ANNA O'REILLY. ROBIN COX. AND THEN WE'LL HAVE ALBERTO, HECTOR AYELO, HUNTER BANKY, AND THEN LAIR MY FAME. LAIRY FAME. >> DEBRA COX, DISTRICT 3. I'M NOT GOING TO MAKE YOU CLAP OR SAY PROFANITY BECAUSE WE KNOW HOW CERTAIN MEMBERS OF COUNCIL AND MAYOR ARE ALL ABOUT NOT BREAKING THE LAW. SO I WANT TO SPEAK TO YOU ABOUT NOT THIS MOMENT, ABOUT LAST WEEK AT CITY COUNCIL WHEN RACHEL HAD THE COURAGE TO GET UP AND PLAY A CERTAIN VIDEO. I THOUGHT ABOUT BRINGING MY PHONE BY ACTING LIKE I WAS GOING TO PLAY SOMETHING AND SEE WHO WAS GOING TO JUMP AND RUN AND HIDE IN FEAR. I THOUGHT ABOUT IT REALLY HARD AND THOUGHT MAYBE I WAS HAS BEENSH LAST TIME. BUT THEN I THOUGHT ABOUT IT AND I WASN'T. I THOUGHT ABOUT MY DAD WHO WAS THE BRIGHTEST MAN AND SMARTEST MAN AND HOW HE RAISED ME. HE USED TO SAY, I'M NOT RAISING Y'ALL TO GET INTO HARVARD, I'M RAISING YOU TO GET TO HEAVEN. ONE OF THE THINGS WAS NOT TO LIE. ALWAYS TELL THE TRUTH AND THEN YOU DON'T HAVE TO BACKPEDAL. IT'S NOT TOO LATE FOR SOME OF YOU TO COME FORWARD AND TELL THE TRUTH. AND THEN I THOUGHT ABOUT WHEN I TUTOR MY STUDENTS, SOME OF MY STUDENTS HAD A HARD TIME WITH THE WORD IRONY AND WHAT IT MEANT. AND I'M REALLY QUICK ON USING ANALOGIES FOR THAT. I THINK ALL OF YOU NEED TO KNOW THE TRUTH. IRONY IS WHEN YOU COMMIT A CRIME AND THE PERSON, THE PEOPLE THAT YOUR CITIZENS HAVE TO PAY FOR IT. MOST OF YOU DON'T KNOW, THE COUNCIL UP HERE COMMITS A CRIME, YOUR TAX MONEY PAYS FOR THEIR ILLEGAL ADVICE. HOW WOULD YOU FEEL IF YOU WENT INTO A STORE AND YOU STOLE FROM DILLARD'S AND DILLARD'S PAID FOR IT? ANOTHER QUICK ANALOGY IS THAT, IS IF YOUR SPOUSE HAD AN AFFAIR AND YOU PAID FOR THE HOTEL ROOM. IT'S KIND OF THE SAME THING. I SAW ERIC SITTING HERE THE OTHER DAY AND THOUGHT, I WONDER WHICH ONE OF YOU IS GIVING HIM A CHECK TO WRITE A STORY IN HIS -- TO GO HIS WAY. IT'S NOT TOO LATE TO DO THE RIGHT THING. LET YOUR CONSCIENCE -- LET YOUR CONSCIENCE DO THE RIGHT THING. IF SOME OF YOU HAVE CHANGED YOUR MIND ABOUT WHAT YOU SAID IN DEPOSITION, THE MAIN THING TO DO IS DON'T LIE AND THEN YOU WON'T HAVE TO BACKTRACK OR THINK ABOUT WHAT YOU SAY. SO I WANT TO THANK YOUR TIME. GO AHEAD, WENT AHEAD AND CONTACTED TAYLOR CHER DAN TO SEE IF HE COULD BUY THE STORY ON THIS AND SENT THE THING BACK AND SAID HE COULDN'T BELIEVE IT, IT COULDN'T BE THIS CORRUPT. WE LOOK TODAY SOMETHING OUT OF A BAD SITCOM. I KNOW WE'RE ALL PASSIONATE RIGHT NOW BUT I DON'T WANT TO GO TO JAIL FOR ANY OF THIS. I CAN'T USE THE BATHROOM IN PUBLIC AND THAT WOULD BE IN A JAIL CELL. BUT I UNDERSTAND HOW SOME OF YOU GOT SO PASSIONATE AND UPSET BECAUSE I SEE SOME OF YOU ON YOUR PHONES, LOOKING THIS UP. WHEN WE'RE HEAR POURING OUR HEARTS OUT, MAYBE YOU'RE THINK R LOOKING AT THE PHONE AND THINKING I'M MISSING THE NEXT SALE AT JULIAN GOLD. THIS IS IMPORTANT STUFF. PLEASE DO THE RIGHT THING AND I THANK YOU ALL AND I'M SORRY Y'ALL HAVE TO PUT UP WITH SOME OF THE STUFF YOU PUT UP WITH BECAUSE I KNOW SOME OF YOU ARE TRULY HERE BECAUSE YOU WANT TO DO THE RIGHT THING. THANK YOU. >> THANK YOU, MS. COX. JEN -- JEN, COME ON UP. JEN GRASSIA. SHE WAS BEFORE. >> GOOD EVENING, GUYS. JEN GRASSIA, DISTRICT 2. I WANT TO -- Y'ALL CALLED ME BUT I WAS UP THERE EATING SNACKS ON THE SIXTH FLOOR, IF YOU WANT TO KNOW. THANK YOU TO TCE FOR THAT. I WAS HERE TO -- I KNOW SOME OF Y'ALL FROM CAMPAIGN TRAIL AND I'VE MET SOME OF Y'ALL AND TALKED TO Y'ALL. SOME OF YOU SUPPOSEDDER SUPPORTED ME ON MY JOURNEY WITH THE LBG SCHOOL. AND I KNOW YOU HAVE A TOUGH DECISION TODAY. I'M NOT JEALOUS OF YOU TODAY BUT I DO HAVE TO SAY THERE'S SO MUCH GOING ON IN THIS COMMUNITY. I'M FROM CORPUS. I WAS BORN HERE. ANY MORE LOCAL, I WOULD BE A SEAGULL EATING BECAUSE I'M FROM HERE. AND I KNOW -- ALL THE DIFFERENT GROUPS. KATHY, WE DID A SCHOOL DRIVE IN HILLCREST PARK. WE HAD TONS OF KIDS. WE MET FAMILIES. WE HAD DIFFERENT ORGANIZATIONS WITH THE YOUTH FOUNDATION. TAFFY WAS THERE. WE EVEN HAD 361 DAY, CEDRIC, SHOUT OUT TO MY BOY CED. WE'RE TRYING TO DO THINGS IN HILLCREST PARK AND WE'RE DOING THEM ALL THE TIME. HAD A BARBECUE LAST SUNDAY. JUST PLEASE THINK ABOUT THIS DECISION. PLEASE KNOW THAT EVERYONE HAS ALWAYS TOLD ME, YOU'RE NEVER GOING TO CHANGE WHAT'S IN CORPUS. YOU CAN'T CHANGE THEIR MIND, YOU CAN'T DO ANYTHING ABOUT IT. AND THEY'RE RIGHT. I CANNOT. I, YOU KNOW, BUT WE TOGETHER AS A COMMUNITY, WITH PEOPLE -- WHATEVER SIDE OF THE AISLE THAT WE ARE ON, WE CAN MAKE A FIRM DECISION AND RESPONSIBLE DECISION AND BRING IT HOME HOPEFULLY FOR THE PEOPLE OF CORPUS CHRISTI. SO I'D LIKE TO SAY -- NO DESAL, PLEASE, BUT IF YOU WANT SOME SNACKS, SIXTH FLOOR. THANK YOU. THANK YOU. >> THANK YOU, MS. GRASSIA. ALBERTO DAJEA. >> SORRY, WRONG PHONE. I HAD TO MOVE IT OVER. ALBERT, DISTRICT 3. VETERAN OWNED BUSINESS OF BAIT LIVE AND TACKLE, TEAM LIFE YOUTUBE. 200,000 SUBSCRIBERS AND GROWING AND PAYING ATTENTION TO WHAT'S BEING DONE HERE AT THE CITY COUNCIL. WANT TO THANK THOSE WHO ARE LISTENING TO US AND VOTING AGAINST THE INNER HARBOR DESAL PLANT. I'M PRO GROWTH FOR ALL. I WANT TO SEE EVERYONE RAISED UP AND BLESSED. BIG INDUSTRY DON'T HAVE THE SAME PROCESSES AND I'M ANGRY. I SEE THE HORRIBLE CONDITION MY GRASS OR MY PROPERTY HAS TURNED TO FOR MY GRANDSON WAS PLAYING WITH DIRT YESTERDAY AND SAID, THE THICK GRASS WE USED TO HAVE. I WORKED SO HARD TO GET IT THERE, SO MY KIDS, WHICH ENTHEY FALL, THEY HAVE CUSHION. A LOT OF THESE GUYS FOR INDUSTRY ARE COMING UP HERE DEDE FENDING THEIR JOB AND I UNDERSTAND THAT. BUT INDUSTRY SUED THE CITY OF CORPUS CHRISTI OASIS COUNTY APPRAISAL DISTRICT BECAUSE THEY WERE SUPPOSED TO PAY $2.5 BILLION IN PROPERTY TAXES FOR THEIR MULTI-MILLION DOLLAR OR BILLION DOLLAR OPERATIONS. THE CITY TURNED AROUND AND SETTLED FOR $998 MILLION. THAT'S A DIFFERENCE OF $1.5 BILLION IN LOST REVENUE, SO GUESS WHAT, WE ALL AS RESIDENTS AND TAXPAYERS ARE GOING TO HAVE TO COVER THAT DIFFERENCE TO MAKE UP FOR WHERE INDUSTRY IS COMING IN AND USING UP THE COMMUNITIES WHICH THEY DRAINED THE MAIN RESOURCES OF WATER, WHICH THE TAXPAYERS ARE, AGAIN, ARE FORCED TO PAY WITH THEIR PROPERTIES, LIVELIHOODS, AND MORE TO FILL IN THOSE FUNDING GAPS. WHY IS THIS IMPORTANT? IT IS IMPORTANT BECAUSE IF THEY ACTUALLY CARRIED THEIR PORTION OF WHAT IT TAKES TO CARRY THIS CITY WE WOULDN'T HAVE THE STREETS FALLING APART, CRAZY TAXES, CITY TAXES, LIGHT, PROPERTY AND EVERYTHING GOING UP. TIME TO HOLD THESE MULTIBILLION DOLLAR INDUSTRIES ACCOUNTABLE AS WE ARE HELD ACCOUNTABLE FOR EVERYTHING THEY TAKE FROM US. I SUBMITTED QUESTIONS TO THE CITY COUNCIL IN WHICH I ASKED, WHAT DOES THE PROJECT COST 10, 20, 30 YEARS DOWN THE ROAD. WITH ALL THE LAWSUITS AND FIXES OF -- AND REST STORE ASIAN OF RESTORATION OF THEPLANT BECAUSEF INNER HARBOR DESAL PLANT, WHAT WOULD BE THE NUMBERS ON TOP OF THAT $1.3 BILLION MYSELF PRICE TAG YOU'RE FORCING US TO TAKE IN. THOSE ANSWERS STILL ARE NOT ANSWERED -- THOSE ANSWERS AREN'T THERE. WE REMEMBER WHEN THIS COMES TO VOTING TO WHO SUPPORTED, THIS POOR MANAGEMENT OR FUND THE STREAMS OPTION THAT IS GOING TO DESTROY OUR BAY AS WELL. WE NEED WATER. I UNDERSTAND THIS. WE NEED IT NOW. WE DON'T NEED IT 30 YEARS FROM NOW WHEN THIS DESAL PLANT WILL NOT BRING ENOUGH WATER TO HELP THE CITY IN ANY KIND OF DROUGHT CONDITION. I GO TO THE STORE AND I BUY WATER. I HAVE A FAMILY. I'M NOT GOING TO BUY A $40 -- $40 A GALLON WATER. >> THANK YOU. HECTOR RAELA. HECTOR RAELA. HUNTER BINKY. >> GOOD EVENING, CITY COUNCIL, STAFF, AND MAYOR. PUT MY CHEATERS ON REAL QUICK. HUNTER BINKY PREDICT 3. BY THE WAY, IS THERE STILL A SALE GOING ON AT JULIAN AND GOLDS? SORRY. BACK TO PROGRESS HERE. FOR OVER TWO DECADES, SALT WARE FISHERIES ENHANCEMENT ASSOCIATION HAS BEEN COMMITTED TO THE CONSERVATION AND LONG-TERM PRESERVATION OF OUR LOCAL FISHERIES. IN RESPONSE TO ONGOING DISCUSSIONS SURROUNDING DESALINATION, COASTAL BEND, SCA HAS ONGOING OVERSIGHT. NUMBER ONE, RESEARCH. DO THE RESEARCH. DO THE SCIENCE. AS HIGHLIGHTED BY OUR PRIMARY LOCAL SCIENTIFIC PARTNER, THE HEART INSTITUTE, REGARDING CORPUS CHRISTI BAY, AN OFFSHORE LOCATION OF INTAKE AND DISCHARGE WOULD BE THE BEST OPTION TO MINIMIZE THE IMPACTS ON HABITATS AND WATER QUALITY. NUMBER TWO. RESTRICT. SCA URGES THE -- OF DESALINATION DISCHARGE TO PROHIBIT ANY RELEASE ON LAND OR INSHORE WATERS ALONG THE TEXAS COAST. THE ABSENCE OF COMPREHENSIVE LONG-TERM RESEARCH ON THE ECOLOGICAL IMPACTS OF THIS BYPRODUCT IN SHORT -- ENVIRONMENTS PERMITTING SUCH DISCHARGE WOULD BE BOTH IRRESPONSIBLE AND, IN OUR VIEW, A SIGNIFICANT FAILURE OF OVERSIGHT BY LOCAL OFFICIALS AND REGULATORY ISSUES. AGENCIES. NUMBER THREE. RESPONSIBILITY. OUR SURROUNDING BAY SYSTEMS OFFER UNIQUE AND CRITICAL ECONOMICAL ECOSYSTEMS THAT MUST BE PROTECTED BY DEGRADATION. AS A DEDICATED LOCAL CONSERVATION ORGANIZATION, SCA HAS ACTIVELY INVESTED IN SCIENTIFIC RESEARCH TO BETTER UNDERSTAND AND PRESERVE OUR BAYS' HEALTH AND REMAINS COMMITTED TO THE ADVOCATING FOR ITS LONG-TERM PROTECTION. SCA PLANS TO CLOSELY MONITOR REGIONAL DATA REPORTED TO THE TCEQ AND WILL HOLD REGULATORY AGENCIES DECISION-MAKERS DISCHARGERS ACCOUNTABLE TO ENSURE -- TO ENSURE NO ACTIONS COMPROMISE THE INTEGRITY OF OUR SYSTEMS. THANK YOU. HAVE A GOOD EVENING. >> THANK YOU, MR. BINKY. LAR IMY FAME. >> LARIMY FAME, CORPUS CHRISTI, TEXAS. JUST WANT TO PREFACE WITH, IT DOES A LOT TO MAKE ME ANGRY, SO CONGRATULATIONS. IN SPITE OF THAT, I WILL NOT BE BOISTEROUS AND I WILL DO MY BEST TO READ MY STATEMENT IN THE SPIRIT IN WHICH IT WAS PREPARED, BUT I WOULD LIKE TO SAY THAT IF YOU'RE GOING TO START ARRESTING PEOPLE FOR CUSSING AT YOU, YOU SHOULD PROBABLY GET OUT OF POLITICS. YOU CAN TRACE THE TOPIC OF NISSAN NATION GOING BACK TO 2014. IT'S OVER A DECADE OF THIS FIGHT. AND YOU'VE ONLY GOTTEN THIS FAR BECAUSE LEADERSHIP, HISTORICALLY, HAS WILLFULLY CLAWED AND CRAWLED AND RAM RODDED ITS WAY PAST PUBLIC OPINION, INPUT, AND OUTCRY, PASS PETITIONS, PASS WARNINGS AGAINST ENVIRONMENTAL IMPACTS, INSURMOUNTABLE INDUSTRIAL EXPANSION AND CLEAR EVIDENCE OF ENVIRONMENTAL RISESSISM. THE RESIDENTS OF HILLCREST HAVE CONSISTENTLY AND SHOWN UP SINCE DAY ONE TO SAY NO, THANK YOU, WE HAVE HAD ENOUGH. THAT ALONE SHOULD HAVE BEEN ENOUGH MUST HAVE TO PUT THIS TO BED. THAT SHOULD HAVE BEEN IT. TEN YEARS OF A VOICE THAT GROWS LOUDER AND LOUDER EACH YEAR TO SAY ENOUGH IS ENOUGH, STOP PRIORITIZING INDUSTRY OVER PEOPLE BECAUSE THIS IS WHO THAT WATER IS FOR. I KNOW IT. YOU KNOW IT. EVERYONE IN THIS ROOM NOTES IT. WE COME DOWN HERE WEEK AFTER WEEK IN LARGER AND LARGER NUMBERS TO TRY AND SPEAK SENSE AND TRUTH TO YOU. BUT THE MONEY AND THE SPECIAL INTERESTS ALWAYS SPEAK LOUDER. AND WE GET WRITTEN OFF AND DISREGARDED AND NOW ARRESTED TO THE POINT THAT I GENUINELY DO NOT BELIEVE YOU CARE TO LISTEN TO ANYONE OUTSIDE OF YOUR SPHERES OF INFLUENCE. AND THE INFLUENCE OF INDUSTRY IS POWERFUL BUT I PROMISE YOU OUR WILLPOWER, INFLUENCE TENFOLD. AND I DON'T WANT TO BE YOUR ENANY MRI AND YOU DO NOT WANT ME FOR AN ENEMY. WANT TO WORK TOGETHER WITH YOU, TO MAKE THIS PLACE SOMEWHERE THAT WE WANT TO LIVE AND BE FOR THE GOOD AND LONGEVITY OF OUR HOME. I WANT TO DO THAT TOGETHER. YOU HAVE AN OPPORTUNITY RIGHT HERE RIGHT NOW TO COURSE CORRECT, TO BEGIN THE PROCESS OF RECTIFYING INJUSTICE AND CORRUPTION. SO DO YOU HAVE THE STRENGTH OF CHARACTER TO DO THAT? SO FOR TODAY, I'LL PUT MY FAITH, MY HOPE, AND MY TRUST IN YOU IN THE NINE OF YOU. DON'T LET ME DOWN. >> THANK YOU, MR. FAME. RICHARD PITTMAN. AND THEN ROBERT LANDING. >> MAYOR, COUNCILMEMBERS, MY NAME IS RICHARD PITTMAN. I LIVE IN DISTRICT 4. IT'S BEEN A WHILE SINCE I'VE ACTUALLY COME BEFORE THE CITY COUNCIL, SO I KNOW SEVERAL OF YOU. SO I CAME TO CORPUS CHRISTI IN 1970. I WAS A YOUNG MAN. JUST GRADUATING FROM COLLEGE. I WAS LEAVING LUBBOCK, TEXAS. JUST HAD A BIG TORNADO THERE. THAT WAS IN MAY. I CAME DOWN HERE TO CORPUS CHRISTI IN AUGUST TO HURRICANE CELIA. I GOT TO EXPERIENCE BOTH OF THOSE IN A COUPLE OF MONTH'S PERIOD OF TIME. I WENT TO WORK FOR CENTRAL POWER AND LIGHT COMPANY AS A YOUNG ENGINEER. WHEN I CAME TO CORPUS CHRISTI, CORPUS CHRISTI HAD 204,000 PEOPLE. I'M TALKING ABOUT THE PEOPLE INSIDE THE CITY LIMITING. I'M GOING TO COMPARE THAT TO SAN ANTONIO. I'M GOING TO COMPARE THAT TO AUSTIN TEXAS. SO WE HAD AN UPTOWN AND DOWNTOWN THAT WAS THRIVING. WE HAD SHOPS. WE HAD BUSINESSES. WE HAD, OF THE TEN MAJOR ACCOUNTS FIRMS, THREE OF THEM WERE LOCATED UPTOWN. EVERY OIL COMPANY ENDED UP HAVING AN AREA OFFICE HERE. IT WAS TRULY THE SPARKLING CITY BY THE SEA. I MEAN, IT SPARKLED DURING THOSE DAYS. YOU COULD END UP WALKING DOWNTOWN. YOU COULD END UP BUYING CLOTHES. YOU COULD END UP GOING -- THEY DIDN'T HAVE A JULIAN AND GOLDS BUT YOU COULD GO TO A LOT OF THE NICE JEWELRY STORES. YOU COULD END UP HAVING LUNCH. SO THAT WAS IN 1970. IN 1970, AUSTIN HAD 260,000 PEOPLE. THESE ARE PLUS OR MINUS NUMBERS. I'M GETTING THEM ALL OFF THE INTERNET. BUT AUSTIN HAD 260,000 PEOPLE. SAN ANTONIO HAD 650,000 PEOPLE. SO I WANT TO MOVE AHEAD TO TODAY 2025. NOW CORPUS HAS 317,000 PEOPLE. THAT'S A GROWTH RATE OF 55% IN 55 YEARS. 1% PER YEAR GROWTH HERE. LET'S TALK ABOUT AUSTIN. THEY'VE GOT A MILLION PEOPLE NOW. SO THEY'VE HAD 270% GROWTH RATE. AND SAN ANTONIO HAS GOT A MILLION AND A HALF PEOPLE, OR 135% GROWTH RATE. LOY ARE ALL OF THESE CITIES GROWING MUCH MORE SO THAN OURS? YOU HAVE GOT TO HAVE SUSTAINED GROWTH IN A CITY FOR IT TO THRIVE AND SURVIVE. IT'S A FACT. THAT'S THE ONLY WAY YOU END UP WITH A HEALTHY TAX BASE. AND TO HAVE GROWTH, YOU'VE GOT HAVE WATER. ALREADY? [BELL ] CAN I SIGN UP AGAIN FOR... >> YOU CAN'T. >> VOTE FOR 34 AND 35. IT'S VERY IMPORTANT. >> THANK YOU, MR. PITTMAN. ALBERT LANDING. >> GOOD EVENING COUNCIL, MAYOR, ROBERT LANDING, CORPUS CHRISTI. BY PROFESSION, I MANAGE AND WORK IN LARGE CAPITAL PROJECTS. I'VE DONE THAT FOR A COUPLE OF DECADES. AND SO I'M NOT GOING TO MAKE AN EMOTIONAL PITCH TO Y'ALL BUT I AM -- I'M GOING TO STICK REALLY TO MORE TECHNICAL PROJECT MANAGEMENT SIDE OF THIS. WHERE WE'RE AT IN THIS PROJECT RIGHT NOW -- BEFORE I SAY THAT, TOO. WITH THE PROJECTS THAT I HAVE, AND THIS IS -- I REALLY FEEL FOR YOU. IF I HAD TO GO BACK AND REJUSTIFY THE PROJECT EVERY COUPLE OF MONTHS, I CAN'T IMAGINE HOW I WOULD GET IT DONE BECAUSE THAT'S NOT HOW YOU DELIVER WORLD CLASS PROJECTS BY REVISITING YOUR CREDITS EVERY COUPLE OF MONTHS, AS WELL AS THE WHOLE DECISION-MAKING PROCESS. AFTER YOU MAKE IT, GET TO AGO OR NO GO DECISION AND YOU MOVE. THAT'S HOW YOU DELIVER SOMETHING ON TIME, SAFELY, AND AT YOUR COST. SO IF WE DERAIL THIS THING NOW, WE'RE GOING TO LOSE TENS OF MILLIONS FOR THE RECYCLE. JUST FROM AE PROJECT MANAGEMENT STANDPOINT. ALL THE DRAWINGS, ALL THE ENGINEERING WORK THAT THEY PUT TOGETHER SO FAR, IT'S HALF COOKED. IT'S IN THE MIDDLE OF THE -- OF WHAT I WOULD CALL THE FRONTEND DESIGN FEED PROCESS. LOOK IT UP ON THE INTERNET. FRONTEND DESIGN, FEED, THIS IS A TYPICAL THING FOR LARGE CAPITAL PROJECTS. SO WE'RE GOING TO LOSE TENS OF MILLIONS IF WE RECYCLE ON THAT. SCHEDULE, WE WILL LOSE AT LEAST A YEAR ON THIS. A YEAR THAT WE DO NOT HAVE. I WAS UP IN THE HILL COUNTRY WITH THE FAMILY OVER THE WEEKEND. COMING BACK, JOKE CANYON IS ALMOST GONE. I'VE HEARD THE COMMENTS AROUND SCARE TACTICS AND FEAR MONGERING, THERE MAY BE SOME OF THAT GOING ON, NOT SAYING THAT IT'S NOT, BUT WE ARE GOING TO BE OUT OF WATER VERY SOON. I'M SCARED ABOUT IT. I AM. I'VE LIVED HERE FOR SIX YEARS. THIS IS MY HOME. I'VE HAD FAMILY MOVE DOWN HERE. I WANT TO STAY HERE. BUT IF WE CAN'T DO THIS, I'M GOING TO TELL MY BOSS, HEY, TRANSFER ME OUT. I'M GOING TO SELL MY HOUSE BEFORE THE REST OF YOU START CRUMBLING DOWN AND PEOPLE START MOVING BECAUSE IT'S GOING TO COME. SO WE TALKED ABOUT COST, SCHEDULE REPUTATION. ARE OTHER PEOPLE GOING TO WORK WITH US? ARE WE GOING TO GET MORE FUTURE GROWTH AND ANY INVESTMENT HERE IF WE CAN'T DELIVER SOME BASIC UTILITY THINGS. I GET IT. IT WAS A FOUNDATIONAL THING HERE. COUNCILMEMBERS TURNOVER EVERY TWO YEARS. HARD TO GET LONG-TERM THINGS DONE. EVEN IF YOU WERE AGAINST THIS BEFORE, JUST LOOK AT WHAT WE'RE WORKING WITH RIGHT NOW. A YEAR LOST, TENS OF MILLIONS. THIS THING, WE'VE LOOKS AT THE SCIENCE, LOOKED AT THE OTHER PARTS OF IT. WE'VE GOT TO KEEP OUR REPUTATION THERE. IF WE GET TO 60% ON THIS THING, WEREBED IT OUT. LOOK AT IT THEN. YOU'LL HAVE ANOTHER GO AT IT. THANK YOU. APPRECIATE IT. >> THANK YOU, MR. LANDING. JUDY ARNOLD. SUSIE SALDANO. AND THEN BECKY MULLER, ERIC PAIN, JAMES KLINE, ALAINA MARTINEZ. >> SUED DIFFICULT SALDANO, CORPUS CHRISTI, TEXAS. YOU KNOW, I COME BEFORE YOU TODAY AND I'M COMING REALLY SHOCKED. I'VE BEEN ATTENDING CITY COUNCIL MEETINGS, BELIEVE IT OR NOT, FOR THE PAST 60 YEARS. AND I'VE COME HERE AND THERE HAVE BEEN SOME EMOTIONAL FIGHTS AND SOME VERY ROUGH THINGS THAT ARE GOING. BUT NEVER EVER HAVE I SEEN THE DISRESPECT SHOWN DURING THIS MEETING. DURING THOSE 60 YEARS I'VE SEEN FIGHTS, I'VE SEEN ARGUMENTS, BUT THEY WERE ALL DONE WITH RESPECT. HOWEVER, LET ME LOOK AT YOU BECAUSE THE DISRESPECT STARTS RIGHT THERE. AND THAT PODIUM. I'VE SEEN IT FROM YOU ALL HERE ON THE PODIUM, BUT I SEE IT MORE OUT IN THE OPEN, IN THE COMMUNITY WHERE YOU DON'T ONLY BASH EACH OTHER, YOU BASH YOUR STAFF. IT'S A SHAME BECAUSE THAT PERPETUATES THE PEOPLE THAT ARE BEING THE WAY THEY'RE ACTING. YES, WHEN YOU GET UP AND TALK ABOUT THE QUORUM AND THE FACT THAT THIS IS A PLACE OF BUSINESS, IT IS, BUT YOU HAVE TO DEMONSTRATE THAT YOURSELVES. YOU HAVE TO SHOW THAT YOU CAN RESPECT EACH OTHER AND WHAT YOU ARGUE AND WHAT YOU FIGHT ABOUT IN THERE. THAT'S WHAT IT IS. YOU DON'T BRING IT OUT IN THE OPEN. AND UNFORTUNATELY, YOU HAVE. YOU HAVE BECAUSE I'VE SEEN IT. YOU'VE GOT STAFF THAT ARE LEAVING AND ARE NOT LEAVING BECAUSE THEY DON'T LIKE THEIR JOBS OR BECAUSE THEY DON'T LIKE THE MONEY THEY MAKE, THEY'RE LEAVING BECAUSE THEY'RE AFRAID OF THE EMOTIONAL TRAUMA AND THE POLITICAL ISSUES THAT ARE GOING ON. SO IF WE'RE GOING TO CHANGE WHAT'S GOING ON, IT'S TIME TO CHANGE WHAT YOU'RE DOING, TO CHANGE IT TO WHERE THE PEOPLE WILL SHOW YOU RESPECT, BUT NOT ONLY SHOW YOU RESPECT, YOU WILL TEACH IT TO OTHERS. BECAUSE THE YOUNG NEED TO SEE IT. AS AN EXAMPLE BEFORE THEY CAN FOLLOW IT. SO I ASK YOU, WHATEVER DECISION YOU MAKE, DO IT WITH DIGNITY, DO IT WITH RESPECT, AND REMEMBER THAT ALL OVER THE COUNTRY THEY'RE WATCHING US. AND WE'RE BECOMING A LAUGHING STOCK. AND I DON'T LIKE IT. BECAUSE I LOVE CORPUS CHRISTI. THAT'S WHY I'M STILL ATTENDING CITY COUNCIL MEETINGS, BECAUSE I LOVE THIS CITY AND I WANT TO SEE THE BEST FOR IT. BUT IT STARTS UP THERE WHERE YOU ARE. GOD BLESS YOU. >> THANK YOU. BECKY MULLER. >> BECKY MULLER, DISTRICT 4. I SIGNED UP TO SPEAK ON THE AGENDA ITEM, HOWEVER, SINCE I CAN SPEAK ON THE NONAGENDA ITEM I'M GOING TO DO THAT. PART OF IT IS TO TALK ABOUT EARLIER IT WAS SAID, THIS IS A PLACE OF BUSINESS. IT'S NOT A PLACE OF BUSINESS. IT'S A PLACE OF GOVERNMENT. IT IS OUR GOVERNMENT BUILDING. IT'S NOT A BUSINESS PLACE. YOU DON'T SELL ANYTHING FOR A PROFIT. YOU TAX US, WE PAY OUR TAXES. BUT IT IS NOT A BUSINESS. IT MAY BE DECIDED TO COME UP AND SPEAK ON A REGULAR PUBLIC COMMENT AS WELL, BUT IT IS NOT A BUSINESS. I'VE BEEN IN BUSINESS. AND WE NEED TO OPERATE MORE LIKE ONE SOMETIMES, BUT THAT'S NOT WHAT WE'RE DOING HERE TONIGHT. AND I WANTED TO JUST TALK ABOUT THE DECORUM. YOU KNOW, HATRED IS EVERYWHERE. AND I THINK IT'S GOING DOWNHILL FROM OTHER PLACES. AND IT'S NOT ALL THE CITIZENS' FAULT. SOME OF IT IS Y'ALL'S FAULT. IT'S THE ECONOMY. IT'S THE POISON COMING FROM OTHER PLACES. IT'S THE REDISTRICTING THAT WE HAD TO SUFFER THROUGH FOR 30 DAYS. SO REMEMBER, WE'RE NOT ALL PROFESSIONAL POLITICIANS. WE ARE CITIZENS. I'M A MOTHER. I'M A GRANDMOTHER. I'M A GREAT GRANDMOTHER. AND I CARE ABOUT MY CITY. AND TODAY HAS NOT BEEN PLEASANT FOR ANYONE, NOT YOU. I DON'T FEEL SORRY FOR YOU. Y'ALL SIGNED UP FOR THIS. I FEEL SORRY FOR THE FOLKS WHO ARE SO EMOTIONAL AND DISTRESSED ABOUT IT. THANK YOU FOR LETTING ME SPEAK NOW TOO MAYOR. >> THANK YOU. ERIC PAYNE? >> ERIC PAYNE, DISTRICT 2. FOR THE GREATER GOOD. THE DESAL PROJECT PROPOSED WILL NOT BENEFIT CORPUS CHRISTI. IT'S BEING LEVERAGED, PUSHED UPON US BY OUTSIDE BUSINESSES, NOT MEMBERS OF THE COMMUNITY, PEOPLE LEVERAGING ANXIETY ABOUT DROUGHT AND ECONOMY AND OTHER REAL PROBLEMS. BUT NOT OFFERING A REAL SOLUTION. THIS IS TO BE PAID WITH ON THE TAXPAYER'S TIME BUT THE BENEFITS WILL GO OUT OF CORPUS LARGELY, AND WHATEVER JOBS, CRUMBS THEY THROW TO US, WILL GREATLY OUTWEIGHED BY THE DAMAGE IT WILL CAUSE. DAMAGE TO OUR WATER, OUR AIR, OUR SOIL, OUR ECONOMY. AND IT WILL BE LEFT TO US TO CLEAN OUT. THOSE OUTSIDE INTERESTS ARE NOT CONCERNED WITH THAT. CORPUS CHRISTI MUST NOT BECOME A SACRIFICE ZONE ANY MORE THAN IT IS. AND THE IDEA OF GROWTH HAS BEEN -- IS ALWAYS OUT THERE AND IS USED TO JUSTIFY PROJECTS LIKE THIS. BUT THIS OLD TIRE IDEA, I'VE LIVED LONG ENOUGH TO SEE, IT IS NOT A REAL THING. IT DOESN'T REDISTRICT -- IT DOESN'T -- THE WEALTH IS CREATED BUT IT DOESN'T GO. DOESN'T GO OUT FAIRLY OR EQUITABLY. SIPHONED OUT TO A SMALL NUMBER OF PEOPLE AT THE TOP AND THE DAMAGE IS KICKED DOWN THE CAN AND LEFT BY THESE OTHER PEOPLE TO CLEAN UP. A BILLION DOLLARS IS OBVIOUSLY TOO MUCH TO SPEND ON THIS PROJECT. A BILLION DOLLARS OF CORPUS CHRISTI TAXPAYER MONEY GOING TO OUT OF -- GOING TO INTERESTS THAT ARE OUTSIDE OF CORPUS CHRISTI. PEOPLE NOT INVESTED IN OUR COUNTRY. PEOPLE WHO CAN JUST EASILY PICK UP AND MOVE AWAY. WE SHOULD BE INVESTING THIS MONEY IN OUR INFRASTRUCTURE, LIBRARIES, REVITALIZING DAMAGED COMMUNITIES UTILITIES THINGS LIKE THAT. THERE'S A LOT OF EMOTIONS, A LOT OF HEAT HAPPENING NOW, AND POTS BOILING OVER, SO TO SPEAK, AND THESE ARE PEOPLE WHO ARE MY FRIENDS, PEOPLE I AGREE WITH, BUT IN THIS MOMENT, I WANT TO SPEAK TO YOU, MEMBERS OF COUNCIL, MAYOR, AND I WANT TO -- [TIMER ] -- VOTE NO ON DESAL. >> Mayor Guajardo: THANK YOU, MR. PAYNE. JAMES KLINE. >> GOOD EVENING, MAYOR, CITY COUNCIL, I'M JAMES KLINE, I LIVE HERE IN CORPUS CHRISTI. I'M NOT GOING TO BELABOR THE POINT. I'M KIND OF TIRED. I SUSPECT YOU'RE KIND OF TIRED AS WELL. I HAVE SPOKEN A COUPLE TIMES. I'M STILL NOT CONVINCED THAT THE ENVIRONMENTAL CONSEQUENCES ARE GOING TO BE DISASTROUS FOR CORPUS CHRISTI BAY AND ALSO NOISE BAY. IT'S NOT GOTTEN NEARLY AS MUCH ATTENTION AS IT SHOULD. NUECES BAY ARE THREATENED BY THIS. I'M CONCERNED ABOUT THE PRICE. AS I SAID BEFORE, I'M A CHEAP SKATE. A BILLION DOLLARS IS WAY TOO MUCH. AS SOMEBODY ELSE SAID, IF THIS IS GOING INTO OPERATION, IT WITHOUT CREATE SOME OF THE MOST EXPENSIVE WATER EVER KNOWN TO HUMANITY. AND THERE ARE OTHER OPTIONS OUT THERE THAT ARE CHEAPER. I MENTIONED THERE BEFORE, THE IDEA OF REDUCING EVAPORATION RATE ON THE RESERVOIRS, THERE'S A COMPANY OUT OF HOUSTON, THIRD PILLAR, THIRD PILLAR, THIRD PILLAR, OUT OF HOUSTON, INSTALLING THESE AROUND THE COUNTRY AS WELL. WE CAN DO THIS -- THESE ARE STEPS WE CAN HELP TO IMPROVE THE WATER SUPPLY TO PRESERVE FOR THE PEOPLE OF CORPUS CHRISTI. THANK YOU SO MUCH FOR YOUR TIME. >> Mayor Guajardo: THANK YOU, MR. KLINE. ELENA MARTINEZ. >> GOOD EVENING, ELENA MARTINEZ, CORPUS CHRISTI, TEXAS, DISTRICT 4. I HAVE TALKED ABOUT DESALINATION BEFORE. I'VE TALKED NUMBERS, MADE REFERENCE TO THE ECOSYSTEM. TODAY I WANT TO TALK ABOUT PEOPLE. BECAUSE WE ARE HERE TO DO THE BUSINESS OF THE PEOPLE. WE HAVE THESE BEAUTIFUL HISTORIC HOMES DOWNTOWN THAT WE WORKED SO HARD TO PRESERVE. WE HAVE A HISTORICAL CEMETERY A FEW BLOCKS FROM HERE. WE HAVE A MONUMENT TO SELENA THAT SOMEONE PUT A LIFE JACKET ON DURING HURRICANE HARVEY. CORPUS CHRISTI ARE PROUD OF OUR HISTORY BUT CAN WE CLAIM THAT AS WE CONTINUE TO INCREMENTALLY DESTROY THE HISTORICAL HILLCREST NEIGHBORHOOD. WHY IS THAT HISTORY LESS IMPORTANT? IT'S NOT. AND THE MORE I LEARN ABOUT PEOPLE FROM HILLCREST, THE MORE I WISH I HAD KNOWN SOONER AND THE MORE I MOURN A NEIGHBORHOOD I NEVER GOT TO EXPERIENCE. PLEASE DO NOT WRITE OFF OR DISREGARD THE PEOPLE WHO GOT LOUD AND BOYCE CENTER ROUSE OR EVEN THE ONES WHO GOT ARRESTED. IMAGINE HOW PASSIONATE AND CONCERNED AND FRUSTRATED YOU WOULD HAVE TO BE TO BE WILLING TO BE ARRESTED TO MAKE YOUR POINT. THE COUNCIL TALKS ABOUT RESPECTING DECORUM BUT THE CITIZENS FEEL SO DISRESPECTED, THEY NO LONGER FEEL THE NEED TO BE RESPECTFUL AND CAN YOU BLAME THEM? ACCORDING TO AN ARTICLE PUBLISHED BY FORBS IN 2021, DISCUSSING THREE SEPARATE STUDIES, THERE'S A LINK BETWEEN PEOPLE WHO CUSS AND USE PROFANITY AND HONESTY. PEOPLE WHO CUSS ARE STATISTICALLY MORE HONEST. (LAUGHTER) NOT TO MENTION IMPLICATIONS. BY THE WAY, LAST WEEK COUNCILMAN ROY WAS QUOTED AND MADE A STATEMENT THAT HE DIDN'T SAY THAT. WELL, I WAS GOING TO LOOK IT UP. BUT SOMEONE BEAT ME TO IT. AND THERE IS A TIKTOK SHOWING HE DID, IN FACT, SAY WHAT ARE YOU GOING TO DO, GET MARRIED. AND I'D LIKE TO END WITH A QUOTE FROM HONOR PETRI WHO WORKS FOR WSP, AN INTERNATIONAL ENGINEERING COMPANY, WHO FOCUSES ON SUSTAINABLE INFRASTRUCTURE. WATER IS LIFE. A RESOURCE THAT PEOPLE ARE PREPARED TO START WARS FOR. IT GOES THROUGH A CYCLE, NOTHING DISAPPEARS, IT IS ALWAYS THERE IN ALL SORTS OF PLACES AND IN MANY DIFFERENT QUALITIES. THEREFORE, WE NEED TO BORROW WATER WISELY IN ORDER TO BE ABLE TO RETURN IT IN A CONDITION THAT CAN BE REUSED. THANK YOU. >> Mayor Guajardo: THANK YOU, MS. MARTINEZ. CARL CRUEL. IS CARL CRUEL HERE? OKAY. JACKSON LEWIS? AND THEN WE'LL HAVE JOHN HENZALIC, MARY PAULSON, HOOVER, PENA. >> GOOD EVENING. MY NAME IS JACKSON LEWIS. I'M FROM CITY COUNCIL DISTRICT 3. I MOVED HERE IN KINGSVILLE THREE YEARS AGO. I'M ORIGINALLY FROM KINGSVILLE. MY DAD IS A NAVY VETERAN, SERVED 20 YEARS. THAT'S THE REASON WE'RE IN THE COASTAL BEND TO BEGIN WITH. I MADE THIS NECKLACE AT CAMP QANQUA TEN YEARS AGO. THE SHIRT I'M WEARING IS A CLAYBURGH KENNY YOUTH PROGRAM SHIRT. I DID THAT ALSO, AGAIN, TEN YEARS AGO, AND THAT PROVIDED A LOT OF OPPORTUNITIES AND FUN FOR THE CHILDREN OF THE COASTAL BEND. WE GOT TO GO TO SEE THE DOLPHIN TOURS IN PART A, WE WENT TO THE TEXAS STATE AQUARIUM, AND MIGHT I JUST SAY, HOW GREAT OF AN HONOR IS IT TO HAVE THE AQUARIUM FOR THE STATE OF TEXAS HERE IN CORPUS CHRISTI. IT'S GREAT. THERE'S BOY SCOUT CAMPS. THERE'S DOLPHINS IN THE BAY. THERE'S... THE NATIONAL SEASHORE. SINCE MOVING TO CAR PUS I'VE GONE TO THE BEACH MORE TIMES IN THE PAST FEW YEARS THAN I HAVE IN MY ENTIRE LIFE. AND IT'S JUST A LOT OF FUN TO BE HERE IN CORPUS CHRISTI. THIS IS FUN. THIS PLACE IS GREAT. IT'S A SPARKLING CITY BY THE BAY, AND DESALINATION WILL CHANGE THAT FOREVER. NOT ONLY WILL WATER BE UNAFFORDABLE, THE ENVIRONMENT WILL BE DESTROYED, COMMUNITIES WILL CHANGE, AND NOTHING WILL STAY THE SAME. SO GOES THE GULF, SO GOES AMERICA, AND SO GOES THE WORLD. WE HAVE THE POWER TO CHANGE THE WORLD HERE WITH THIS DECISION TONIGHT. AND I WOULD LIKE TO SEE THAT DECISION MADE FOR THE BETTER. AND NOT SEE FURTHER DESTRUCTION. SO JUST BECAUSE... OF CORPORATE GREED. I MEAN, THERE HAVE BEEN MORE ELOQUENT SPEAKERS HERE TONIGHT AND THERE WILL CONTINUE TO BE MORE ELOQUENT SPEAKERS AFTER ME. AND IT JUST -- I WONDER HOW MUCH TIME IS SPENT ON THIS PUBLIC COMMENT WHEN IT DIDN'T NEED TO BE THIS WAY. WE DIDN'T HAVE TO BE HERE ALL NIGHT IF YOU HAD DONE THE RIGHT THING AND NIPPED IT IN THE BUD YEARS AGO. NO DESAL, PLEASE. LAST THING, I WANT TO GIVE A PERSONAL ANECDOTE AND SAY HOW GREAT CC7D WAS. ANOTHER GREAT THING ABOUT TEXAS, ABOUT QUAR CORPUS CHRISTI. THE GROUP I'M I'M FROM, WE ALL COME HERE AND CONGREGATE HERE IN CORPUS CHRISTI TO PARTICIPATE IN THE SEVEN-DAY FILM FESTIVAL. AND ISN'T THE CITY WORKING TOWARDS PUBLIC FUNDING AND GRANTS IN ORDER TO BRING BIGGER PRODUCTIONS HERE TO COUGH PUS? IT'S GOING TO GO AWAY WITH DESAL, SO PLEASE VOTE NO. OKAY. >> Mayor Guajardo: THANK YOU, MR. LEWIS. JOHN HANZLIK. >> JOHN HANZLIK, DISTRICT 5. MAYOR, COUNCIL, APPRECIATE YOUR TIME. I'M A LOCAL BUSINESS OWNER IN THE AREA. I'M PRO-DESAL. OBVIOUSLY I FEED MY FAMILY. THAT'S HOW MY PEOPLE TAKE CARE OF THEIR FAMILY. INDUSTRY IS KEY IN THIS AREA. MY FATHER WAS AN SLATER AT VALERO. IT WAS A GOOD LIVING. THAT'S WHAT CORPUS CHRISTI HAS TO OFFER. IF YOU'RE NOT A DOCTOR OR LAWYER, THE WAY I SEE IT, DOING SOMETHING FOR INDUSTRY IN THIS AREA, IS REALLY WHERE IT'S AT. AND I JUST KIND OF URGE Y'ALL TO MOVE FORWARD WITH THE PROJECT. Y'ALL ALREADY INVESTED MONEY INTO IT. LET'S GET IT TO 60%. AND IF YOU DON'T LIKE IT THEN, IT CAN GET REQUOTED. IT'S IMPORTANT. AND OBVIOUSLY THERE'S A LOT MORE SUPPORT FOR AGAINST THAN FOR RIGHT NOW. I DON'T FEEL LIKE THAT PROPERLY REPRESENTS THE CITY. I DON'T RUN ACROSS THAT IN MY CIRCLES. ALMOST NO ONE I KNOW IS AGAINST IT. I HAVE A THEORY OF WHY IT'S REPRESENTED THAT WAY HERE. I'LL KEEP IT TO MYSELF. I JUST URGE Y'ALL TO DO THE RIGHT THING AND VOTE ACCORDINGLY. THANK YOU. >> Mayor Guajardo: THANK YOU, MR. HANZLIK. MARY PAULSON. >> GOOD EVENING. MY NAME IS MARY PAULSON. I LIVE IN CORPUS CHRISTI, DISTRICT 5. I'M HERE AS A REPRESENTATIVE OF GCGV, GULF COAST GROWTH VENTURES. IT'S LOCATED IN GREGORY, TEXAS, THAT UP IS PORTS AROUND 600 DISTRICT JOBS AND PRODUCES MATERIALS THAT ARE USED FOR MEDICAL SUPPLIES, PACKAGING, PRESERVATION, TEXTILES AND MORE. WE SUPPORT THE CITY OF CORPUS CHRISTI INNER HARBOR DESAL PROJECT AS WELL AS THE CITY'S EFFORTS TO VET AND PURSUE TO PROTECT OUR REGION. AS A HIGH VOLUME WATER USER, DCCG HAS OUR OWN FACILITY TO REDUCE OUR OWN WATER USE. WHICH HAVE ALREADY GOTTEN SIGNIFICANTLY LOWER SINCE THE ORIGINAL PERMANENT ALMOST THROUGH DESIGNED WE'VE ALSO LENT OUR EXPERTISE TO THE MARY RHODES PIPELINE AND HAVE PROVIDED SUPPORT FOR INNER HARBOR PROJECT. MUCH HAS BEEN SAID IN THIS CHAMBER ABOUT INDUSTRIAL DISTRICT AGREEMENTS. WE CURRENTLY PAY APPROXIMATELY $25 MILLION IN TAXES EACH YEAR TO THE COMMUNITY IN WHICH WE OPERATE. WE ALSO VOLUNTARILY PAY A DROUGHT SURCHARGE PAYMENT IN ADDITION TO OUR WATER RATE TO FUND WATER INFRASTRUCTURE PROJECTS WHILE COMPLYING WITH EVERYTHING IN THE DROUGHT CONTINGENCY PLAN THAT IS REQUIRED OF EVERYONE IN THIS AREA. WE RECEIVE NO DIRECT SERVICES FROM CORPUS CHRISTI OUTSIDE OF WATER AS FAR AS THE CITY SUPPLIES. WE SUPPORT THE CITY'S CONTINUED EFFORTS TO DIVERSIFY WATER SUPPLY AND CREATE REDUNDANCY IN TREATMENT FACILITIES, INCLUDING THE FULLY-PERMITTED, STATE-BACKED INNER HARBOR TREATMENT PLANT AS IT IS A VIABLE AND QUICK OPTION THAT WE HAVE ON THE TABLE TO ENSURE THE SECURITY OF THIS REGION. I WOULD ALSO URGE YOU TO STAY THE COURSE WITH OUR CURRENT CONTRACTING STRATEGY. THROUGH THE 60% DESIGN PHASE. IF WE CHANGE COURSE NOW, YOU DON'T KNOW IF YOU'RE GOING TO GET SOMETHING BETTER BUT WE ARE CERTAINLY GOING TO GET A DELAY OF THE PROJECT BY AT LEAST ONE YEAR. AND REASONABLY HIGHER RISK OF COST GROWTH. THANK YOU FOR YOUR TIME. >> Mayor Guajardo: THANK YOU, MS. PULLSON. ALICIA HOOVER. ALICIA HOOVER. DANIEL PENA. >> HI. DANIEL PENA FROM DISTRICT 1. LIFELONG RESIDENT OF CORPUS. THIS IS OFF TOPIC FROM THE DESAL. AGAIN, I KNOW I BROUGHT IT UP LAST WEEK. THIS IS OVER THE CITY ORDINANCE FOR SECTION 319.5, THE CONNECTION FOR PROPANE FOR OUR FOOD TRUCKS. I DIDN'T GET TO FINISH LAST TIME SO I'M GOING TO FINISH WITH THE LAW THAT'S ON RECORD. THAT TEXAS NATIONAL RESOURCES CODE 113.054 -- I'M GOING TO READ FOR YOU THE RULE FOR WHAT'S IN THE BOOK. [INDISCERNIBLE] ORDER OR RULE ADOPTED BY A POLITICAL SUBDIVISION OF THE STATE RELATING TO ANY ASPECT OR PHASE OF THE LIQUEFIED PETROLEUM GAS INDUSTRY. THEY MAY PETITION THE EXECUTIVE DIRECTOR FOR PERMISSION [INDISCERNIBLE] IF POLITICAL SUBDIVISION CAN PROVE MORE EFFECT RULES ENHANCE PUBLIC SAFETY. WHICH ALSO STATES PER LEGAL REVIEW CITIES OR COUNTIES ARE NOT ALLOWED TO REQUIRE PERMITS OR HAVE PERMITTING PROCESSES FOR ANY PROPANE INSTALLATIONS, WHICH IS WHAT THEY DID AND WHAT THEY'RE DOING. IF YOU HAVE ANY INQUIRIES, I PASSED OUT A PACKET LAST WEEK WITH THE NUMBERS TO THE RAILROAD COMMISSION ATTORNEY, TO THE LAWYER WHO ACTUALLY WROTE THE LAW FOR THE STATE FOR THE RAILROAD COMMISSION. AND THE SAFETY NOTICE REPLY. IF YOU HAVE ANY QUESTIONS OR ANYTHING REGARDING THAT, BESIDES WHAT WE HAVE FOR CITY ORDINANCE. MY NEXT ISSUE IS I WAS WATCHING EARLIER AND I SAW MR. -- I BELIEVE IT WAS ROBERT DODD UP HERE TALKING TO PARKS AND REC ABOUT SOME OF THE THINGS FOR THE FOOD TRUCKS AND THE SPOTS THAT THEY HAVE FOR US ON THE GULF COAST AND THE WATER'S EDGE. LET ME TELL YOU THAT'S TOTALLY OPPOSITE OF THE E-MAILS I HAVE FROM HIM SAYING THEY HAVE CERTAIN GROUPS TO SELECT AND PICK THE TRUCKS THAT ARE ALLOWED TO GO OUT THERE. THAT IS NOT HOW IT WORKS. THEY WERE GRANDFATHERED IN IS WHAT I WAS TOLD. THEY WERE PICKED BY DOWNTOWN MANAGEMENT. THEY WERE PICKED BY MANAGEMENTS OF OTHER OFFICES AROUND TOWN. IT WAS HOW WE PROMOTED OUR BUSINESS, THE PERSON THAT HAD THE BEST FOLLOWING. ON THE SEASIDE OVER HERE BY THE LEXINGTON, THERE'S NO FOOD TRUCKS OVER THERE. WHAT I WAS TOLD IS YOU HAD TO GET A PETITION FROM ALL THE RESTAURANTS IN THE AREA TO BE ABLE TO GET -- TO BE ALLOWED OVER THERE. THEY SAID THERE WERE TWO SPOTS AND THEY HAVEN'T HAD NOTHING THERE IN ALMOST THREE YEARS SINCE WORKING ON THE PARKS. I HAVE OTHER RESTAURANTS WHO SAY THE SAME. WHEN YOU GO TO WATER'S EDGE, YOU'RE HAVING TO DEAL WITH THE ATTITUDES OF THE PEOPLE THAT WORK IN PARKS AND REC FROM MIKEY SCOTT, BRELIN AND SERGIO. THANK YOU. >> Mayor Guajardo: THANK YOU, MR. PENA. >> [OFF MIC] >> Mayor Guajardo: YES, YES, PETER. >> Scott: THIS IS ALL NEW TO ME. THIS IS A NEW EXPERIENCE, NEW PHENOMENON. I WOULD LIKE SOMEBODY TO BRIEF THE COUNCIL AND TELL US HOW IT WORKS, WHAT'S BEEN GOING ON. WHAT TRUCKS ARE AVAILABLE. HOW WE CHOOSE THEM. WHAT ARE THE COSTS. HOW DOES IT COMPARE WITH OTHER STATE AGENCIES. I THINK WE WANT TO BE FOOD TRUCK-FRIENDLY. >> Mayor Guajardo: THANK YOU. CAROLYN. >> Vaughn: I AGREE. I WOULD LIKE TO HAVE THAT CLARIFIED AND SEE WHAT HE SAID, IF THAT IS HAPPENING. I THINK WE NEED TO KNOW THAT AND I KNOW YOU WANT TO TOO. >> Zanoni: YEAH. WE'LL FIND OUT FOR THE COUNCIL. >> Mayor Guajardo: THANK YOU, PETER. COUNCILMAN ROY. >> Roy: THE OTHER THING I WANT YOU TO ADD TO THAT -- I HAVE TALKED TO MR. PENA SEVERAL TIMES -- ABOUT THE REGULATION OF THE PROPANE. I THINK THAT'S IMPORTANT. THAT PART AS WELL AS HOW THEY'RE SELECTED AS FAR AS REPRESENTING THESE DIFFERENT VENUES. >> Zanoni: WE'LL GET YOU THAT, COUNCILMAN. >> Roy: THANK YOU. >> Mayor Guajardo: PAT CRAIG. >> GOOD EVENING. PAT CRAIG FROM DISTRICT 5. I JUST WANT TO CHALLENGE SOME OF YOU THAT ARE -- YOU'VE ALL HAD YOUR MINDS MADE UP AND WE KNOW THAT. BUT THIS IS A CHANCE TO BRING TOGETHER THE COMMUNITY. VOTE AGAINST THE INNER HARBOR. THERE'S A LOT OF OTHER OPTIONS. IF YOU PUT AS MUCH ENERGY INTO THE OTHER OPTIONS IN EXPEDITING THEM, YOU'LL HAVE A LOT BETTER TEAMWORK BEHIND YOU. YOU HAVE THE COMMUNITY BEHIND YOU. THERE'S SOME GOOD IDEAS OUT THERE THAT HAVE COME FROM THE AUDIENCE. I DON'T KNOW IF THEY'VE BEEN ALLOWED TO LOOK AT THAT FROM THE CITY STAFF PERSPECTIVE OF WE NEED WATER. GO FIND OUT HOW WE CAN SAVE WATER. EVAPORATION IS A GREAT THING THAT YOU CAN KIND OF STOP -- SLOW DOWN. ANYWAY, BUT I CHALLENGE YOU TO, AS A COUNCIL, TURN AROUND ON THIS AND THEN PUT ALL YOUR ENERGY INTO OTHER WATER OPTIONS. THE INNER HARBOR IS NOT THAT ONE. THANK YOU. >> Mayor Guajardo: TH THANK YOU, MS. CRAIG. I THINK WE OVERLOOKED DANIEL PENA. ANOTHER DANIEL PENA? YES SIR. >> DANIEL PENA, CORPUS CHRISTI. HILLCREST. I'M ASKING YOU TO VOTE NO, SIMPLE AS THAT. THERE'S SOME FIGURES THAT STAY STUCK IN MY HEAD. I APOLOGIZE ABOUT THAT. BUT DO SOME SIMPLE MATH WITH ME. 100 MGD -- AND WE'RE GOING TO CALL IT 60% INDUSTRY. YOU GUYS ARE REALLY DOING BAD BY DOING THAT. YOU'RE MAKING THEM OUR ENEMIES. THEY COME UP HERE ACTING LIKE WE'RE PHYSICALLY ATTACKING THEM OR SAYING SOMETHING ABOUT IT. THAT'S YOUR DOING. ANYWAY, MINUS THE 60, YOU GOT 40 LEFT. SO IT'S REAL SIMPLE. FROM 40, 100, 40%. DIVIDE 40 INTO 5 BECAUSE YOU'RE SUPPLYING WATER FOR 500,000 PEOPLE. AND YOU DO THE MATH ON THAT, 300,000 PEOPLE, THAT REPRESENTS 24 MILLION GALLONS AND THE OUTSIDE SOURCE, ANOTHER 16. OKAY? SO, THE PROBLEM WITH IT IS REAL SIMPLE. YOU'RE GOING TO PUT A PLANT THAT FIRST OF ALL STAFF HAS SAID THAT 25 -- IT'S GONE FROM 20, 25 TO 35. THE NUMBER IS ALWAYS CHANGING ON THE SEAWATER DESAL. I DON'T KNOW WHERE WE'RE AT WITH THAT. ANYWAY, THE POINT IS THAT STAFF HAS STATED THAT EVEN IF THEY PUT THAT THING IN THE OPERATION TOMORROW, IT'S NOT GOING TO HELP AT ALL. NOTHING. ABSOLUTELY NOTHING. OKAY? SO WHAT I'M SAYING IS AT THE END OF THE DAY, 24% -- THAT'S WHAT THE CITY OF CORPUS CHRISTI, THE RESIDENTS SPENT. THAT'S WHAT THEY USE. 24MILLION GALLONS. BUT YOU'RE ASKING US TO FOOT THE BILL 100%. WE FOOT THE BILL ON 24% THAT WE USE BASED ON 100. I'M TRYING TO MAKE ROUND NUMBERS FOR YOU BUT AT THE SAME TIME THEY'RE ACCURATE. 100MILLION AND WE REPRESENT 40 AS A CITY. BUT YOU REPRESENT OTHER MUNICIPALITIES SO THAT BREAKS IT DOWN. SO ALL I'M ASKING YOU TO DO IS VOTE NO. IT DOESN'T MAKE SENSE. WE'RE HAVING TO PAY AND WE USE 24% OF THE WATER. YOU KNOW, THAT'S SIMPLE AS IT CAN GET. THERE'S OTHER FIGURES THAT I KNOW WE'RE NOT SUPPOSED TO DIRECT IT AT NOBODY BUT YOU GUYS HAVE BEEN IN THE MEDIA. I DON'T KNOW IF YOU REALIZE WHEN YOU TALK, PEOPLE ARE LISTENING. BIGGEST FIGURE IN MY HEAD IS 30 BILLION, BILLION, NOT MILLION, BUT 30 BILLION GALLONS OF WATER. AND GUESS WHAT. PUT THAT RIGHT NOW. GET 30 BILLION GALLONS AND PUT IT IN THE RESERVOIR AND SEE WHERE WE'D BE. CHECK OUR NUMBERS. PLEASE DO THE MATH. >> Mayor Guajardo: THANK YOU, MR. PENA. SUSAN UPSHAW. > >> SUSAN UPSHAW. CORPUS CHRISTI. I'M HERE TO TALK TO YOU ABOUT 251383. DO YOU KNOW WHAT THAT IS? YOU VOTED ON IT TODAY. IT'S CHARGING FOR RECLAIMED WATER. YOU DEMAND RESPECT BUT YOU ARE DISRESPECTFUL TO YOUR CITIZENS. I CAME EARLIER THIS SUMMER TO THANK YOU FOR THE SUCCESS OF YOU GIVING AWAY THE RECLAIMED WATER THAT YOU'VE BEEN DUMPING INTO THE BAY SO CITIZENS COULD KEEP THEIR TREES ALIVE. IT WAS UP TO THE CITIZENS TO GO GET THEIR OWN TRUCKS, THEIR OWN TOTES, THEIR OWN TRAILERS. AND THEY DID. YOU HAVE 500 PEOPLE THAT HAVE APPLIED FOR PERMITS. YOU AVERAGE 30 TRUCKS A DAY THAT SHOW UP UP TO FIVE HOURS TO WAIT IN LINE TO GET WATER. THEY'RE HELPING THEMSELVES. THEY'RE HELPING THEIR NEIGHBORS. THEY'RE DOING WHAT THEY CAN. WE'RE LOSING, IN MY NEIGHBORHOOD, OAK TREES THAT ARE 60 YEARS OLD. WE'RE LOSING MESQUITE TREES. I AM VERY FRUSTRATED. YOU VOTED ON THIS AND YOU DIDN'T GET A SINGLE PUBLIC COMMENT. THAT'S WHY I'M HERE TONIGHT. DO YOU KNOW WHY? BECAUSE I STARTED GETTING PHONE CALLS FROM FRIENDS THAT WERE WATCHING THE CITY COUNCIL MEETING. AND THEY CALLED ME AND THEY SAID YOU SAID YOU WENT AND YOU TALKED TO THEM BECAUSE THEY SAID THEY WERE GOING TO CHARGE. AND I SAID I WAS ASSURED THEY WERE NOT GOING TO CHARGE US FOR IT. THAT THEY APPRECIATED WHAT THE CITIZENS WERE DOING TO MAINTAIN THIS COMMUNITY. TO MAINTAIN THEIR HOMES. TO MAINTAIN THEIR LANDSCAPING. AND THEN IT'S ON THE AGENDA. THE REASON YOU DIDN'T GET PUBLIC COMMENT IS BECAUSE NOBODY KNEW. YOU HAD CITIZENS WHO WERE WATCHING IT ON YOUTUBE WHO THEN STARTED CALLING ME. I'M THE ONLY ONE WHO GOT IN AND MADE THE 4:00 DEADLINE. THERE ARE OTHER PEOPLE THAT SHOWED UP AND THAT ARE HERE AND THAT ARE WATCHING ONLINE. SO YOU WANT US TO BE RESPECTFUL BUT I FEEL LIKE YOU JUST JUMPED US. NOW, I'M SORRY. IN THE SPRING, A TRIP FOR ME WAS 660 GALLONS. IT WAS TWO TOTES. IT DOES ONE TREE. I HAVE SIX TREES. OKAY? SO THAT, FOR ME, MEANS THAT I HAVE TO GET TWO TRIPS NOW BECAUSE OF THE HEAT SO THAT I DO NOT LOSE MY MATURE TREES. MOST OF MY NEIGHBORS HAVE TWO MATURE OAK TREES. TO REPLACE AN OAK TREE, OKAY, IS $5,000. SO WHEN YOU CUT THIS OFF WHERE PEOPLE CANNOT -- [TIMER] I'LL SUBMIT IT TO YOU. IF YOU WANT US TO BE RESPECTFUL, YOU MUST BE RESPECTFUL TO US AND BE HONEST. >> Mayor Guajardo: THANK YOU, MS. UPSHAW. WILSON STRAIN. >> WILSON STRAIN. I LIVE IN DISTRICT 5. AND I'M TIRED. I'M SO INCREDIBLY TIRED OF WATCHING MY GOVERNMENT AT EVERY LEVEL EXCLUSIVELY BE USED AS A WEAPON BY CORPORATIONS. A WEAPON WIELDED TO STEAL FROM AND HARM WORKERS. WHY IS THIS EVEN BEING CONSIDERED? IS IT ONLY SO CEOs AND STOCK HOLDERS CAN SATIATE THEIR NEED FOR MORE OBSCENE RATES OF PROFIT? THERE SEEMS TO BE SOME CONFUSION AROUND WHAT THE CITY COUNCIL IS MEANT TO DO AND I WANT TO CLEAR THAT UP. DON'T WORRY. I WON'T SCREAM OR BE PROFANE WHEN I DO IT. I PROMISE. EVEN IF THAT WOULD BE ABSOLUTELY WARRANTED, I WOULDN'T WANT TO BREAK DECORUM. I DON'T WANT TO DISRESPECT THIS PLACE OF BUSINESS, AS YOU REFERRED TO IT, MAYOR. IT'S CLEARLY NOT A PLACE FOR PUBLIC GOOD AND IT'S BEEN MADE ABUNDANTLY CLEAR WHAT THE EXPECTATIONS OF BEHAVIOR ARE. I NOW KNOW I CAN'T DISRESPECT THIS GODAWFUL BUILDING BUT THIS COUNCIL CAN ENDLESSLY DISRESPECT HILLCREST AND WE THE PEOPLE ARE SUPPOSED TO JUST SIT HERE, BE QUIET, AND TAKE IT. IT'S ALWAYS AN EDUCATIONAL EXPERIENCE AND IT'S ALWAYS A PLEASURE. I WOULD HOPE Y'ALL KNOW THIS BUT OUR LOCAL GOVERNMENT IS SUPPOSED TO REPRESENT THE RESIDENTS THAT LIVE IN THE CITY. NOT JUST THE INTERESTS OF A HANDFUL OF ULTRA WEALTHY INDIVIDUALS THAT HAVE TURNED THEMSELVES INTO SOLDIERS FOR INDUSTRY, NOW BLINDED TO THE VERY REAL COST TO HUMAN LIFE. IF YOU PROGRESS FORWARD ON THE INNER HARBOR HILLCREST DESALINATION PLANT, YOU ARE MAKING OBVIOUS AND BLATANT DECLARATION TO THE PEOPLE IN CORPUS THAT YOU VALUE PROFITS FOR A MINUSCULE AMOUNT OF THE POPULATION OVER THE WELL BEING OF ALL PEOPLE. WHAT YOU DECIDE TO DO WILL DEMONSTRATE TO EVERYONE IF YOU ARE REALLY CIVIL SERVANTS OR JUST CON MEN WHO WILL -- OR JUST CON MEN WHO WILL EVENTUALLY AND PREDICTIVELY SHIFT BLAME. AFTER ALL THE NEGATIVE CONSEQUENCES ARE TOO BIG TO IGNORED THE CITIZENS WILL HAVE TO FOOT THE BILL. DON'T DESTROY THE ENVIRONMENT FOR MONEY. DON'T SELL OUT CORPUS RESIDENTS BY INCREASING OUR COST OF LIVING EVEN MORE AND BY BRINGING MORE DANGEROUS CHEMICALS INTO OUR NEIGHBORHOODS. VALUE PEOPLE MORE THAN YOU VALUE PROFIT. VOTE NO ON THIS DESALINATION PLANT. AND THANKS FOR PUTTING ON YOUR PRETENDING TO LISTEN FACE. LOVE IT. >> Mayor Guajardo: THANK YOU, MR. STRAIN. OKAY REBECCA. I THINK I'LL HAND IT OVER TO YOU. NO, THIS IS -- >> MAYOR? >> Mayor Guajardo: I'LL BE RIGHT THERE. THESE ARE NON-RESIDENTS, CORRECT? >> City Secretary: THE NEXT INDIVIDUALS ARE VIRTUAL. WE DO HAVE SOME NON-RESIDENTS BUT THEY'RE FURTHER DOWN THE LIST. >> Mayor Guajardo: RIGHT, RIGHT RIGHT. COUNCILMAN CANTU. >> Cantu: IS SUZANNE UPSHAW STILL HERE? >> Mayor Guajardo: DIDN'T SHE JUST SPEAK? >> Cantu: I WANT TO DO A STATEMENT OF FACT. IS SHE HERE? >> [OFF MIC] >> Cantu: JUST FOR THE RECORD, FIRST I VOTED AGAINST THIS. NUMBER TWO, PETER TOLD ME THE RECLAIMED WATER, IF YOU VOLUNTEER, LIKE VOLUNTEERING -- >> Zanoni: LIKE MS. UPSHAW DOES WATERING OF CITY TREES AND PARKS AND CHURCHES SO SHE'S KIND OF A GOOD SAMARITAN OF WATERING. SO WE DID -- NICK DIDN'T MENTION IT EARLIER TODAY BUT WE DID PUT IN THE ORDINANCE THAT IF A CASE IS MADE TO THE DIRECTOR OF CCW THAT I'M HERE TO GET WATER TO VOLUNTEER, IT'S NOT FOR ME, THAT THE FEES COULD BE WAIVED. >> Mayor Guajardo: MS. UPSHAW, WE'LL HAVE STAFF TALK WITH YOU ABOUT THAT. >> NO, LET ME JUST SAY. WHAT YOU'RE TELLING ME DIRECTLY IS TO KEEP MINE -- NOT DOING ANYTHING ELSE THAT I DO. JUST DOING MINE IS GOING TO COST ME $500 A MONTH. TO DO THE AMOUNT OF WATER I NEED SO I DON'T LOSE MY MATURE TREES. THAT'S HOW MUCH FEES ARE GOING TO COST ME PERSONALLY. THAT'S NOT HELPING MY NEIGHBORS. THAT'S NOT HELPING MY 95-YEAR-OLD NEIGHBOR ACROSS THE STREET. NOT DOING ANYTHING ELSE. I DON'T THINK YOU THOUGHT THIS THROUGH. >> Mayor Guajardo: MS. UPSHAW, WE HEARD YOU. I'M SORRY. WE CAN'T DO THIS FROM HERE. BUT I HEAR YOU. >> [OFF MIC] >> Mayor Guajardo: RIGHT. BUT WE DO HAVE A SECOND READING ON THIS SO -- THANK YOU, MA'AM. >> [OFF MIC] >> Mayor Guajardo: YOU'RE FINE. OKAY. THANK YOU. WE'VE GOT WEBEX. >> City Secretary: YES. THE FIRST PERSON IS SANDRA LOVE SANCHEZ. MS. SANCHEZ? HELLO? >> [INDISCERNIBLE] >> City Secretary: I CAN'T HEAR HER SO I'LL TRY AGAIN IN A MOMENT. BRITNEY YOUNG. >> YES. CAN YOU HEAR ME? >> City Secretary: YES, WE CAN. >> MY NAME IS BRITNEY YOUNG, CORPUS CHRISTI DISTRICT 3. SO BEFORE I BEGIN I WOULD LIKE TO SAY THE ESCALATION FOR ARRESTING SOMEONE FOR CURSING IS A LITTLE RIDICULOUS. IT'S NOT LITTLE, IT IS RIDICULOUS. THREE OFFICERS FOR ONE PERSON WHO WAS NOT BEING AGGRESSIVE AT THE PODIUM IS AN EXCESSIVE SHOW OF FORCE. I WORKED AND LIVED IN A COUNTRY THAT ACTIVELY SHUT DOWN DISSENT THROUGH POLICE FORCE AND VIOLENCE AND THIS IS NOT THE PATH WE SHOULD TAKE AS A CITY. I ENCOURAGE YOU TO REVISIT THE RULES OF DECORUM AND HOW WE APPLY THOSE RULES BECAUSE ARRESTING OUR CITIZENS FOR CURSING IS NOT HOW WE PUT DEMOCRACY IN PRACTICE. NOW I'M CALLING IN TODAY TO URGE YOU TO VOTE NO ON AGENDA ITEM 34 AND 35. I MADE PUBLIC COMMENT BEFORE ON THE ETHICAL ENVIRONMENTAL AND FINANCIAL IMPACT. I HOPE THIS WILL BE MY LAST PUBLIC COMMENT TO ENCOURAGE YOU TO VOTE NO ON FUNDING THIS PLANT. A PATTERN OF POOR DECISION MAKING BY CITY LEADERSHIP HAS DRIVEN US INTO THIS WATER CRISIS. LEADERSHIP HAS [INDISCERNIBLE] TO CONSUME AS MUCH WATER AS POSSIBLE AT THE EXPENSE OF THE PUBLIC. AND THE PROFITS MAKE FROM CONSUMING OUR WATER DOES NOT CIRCULATE BACK INTO OUR COMMUNITIES, UNLIKE SOMEONE WAS SAYING ABOUT THE IDRs EARLIER. SO WHAT WE DO SEE IS THAT INSTEAD WE KNOW THIS PLANT IS BUILT FOR -- WE KNOW THAT IF THIS PLANT IS BUILT, RESIDENTS WILL BE FOOTING THE FINANCIAL, ENVIRONMENTAL, AND SOCIAL BILL SO THOSE SECOND EVOLUTION WATER GUZZLERS CAN MAKE A PROFIT. THAT WAS A POKEMON REFERENCE. MAKING A BULLISH MOVE TO APPROVE FUNDING IS ENGAGING IN THE PATTERN OF POOR DECISION MAKING THAT GOT US INTO THIS SITUATION. SINCE THE CITY REFUSES TO CONDUCT A FAR-FIELD MODEL, I HOPE IT WILL CONDUCT A REALISTIC FAR-FIELD VIEW OF WHAT STATE THIS WILL LEAVE THE CITY IN FOR GENERATIONS TO COME IF THIS PLANT IS BUILT. THANK YOU. >> City Secretary: THANK YOU, MS. YOUNG. CHRISTINA ENGLISH. >> YES. >> City Secretary: MS. ENGLISH, GO AHEAD. >> CHRISTINA ENGLISH, CORPUS CHRISTI, DISTRICT 1. I WOULD LIKE TO THANK THE FIVE MEMBERS OF THIS COUNCIL WHO'VE STOOD UP TO THE PRESSURE OF BIG MONEY AND OLD INFLUENCE TO HEAR YOUR COMMUNITIES AND ASK IMPORTANT PREVIOUSLY-DISMISSED QUESTIONS. AS A COMMUNITY, WE'VE EXPRESSED A LITANY OF OBJECTIONS TO THIS PROJECT. FOR SOME OF US IT'S THE EXPERIMENTAL NATURE OF PLACING A DESAL PLANT IN A CLOSED WATER SYSTEM. SOME WONDER HOW PULLING FROM A PFOS CONTAMINATED SHIP CHANNEL ALSO BEING USED FOR BRINE DISCHARGE MIGHT IMPACT THE QUALITY AND SAFETY OF THE FINAL PRODUCT. MANY HAVE SERIOUS ENVIRONMENTAL CONCERNS. WE DON'T WANT TO LOSE MORE OF OUR FRAGILE COASTAL ENVIRONMENT TO INDUSTRY AND POLLUTION. THE DEAD ZONES THIS PROJECT IS EXPECTED TO CREATE WILL NEGATIVELY IMPACT OUR ABILITY TO ENJOY THE BAY. IT WILL KILL OUR FISH AND WILDLIFE. AND IN THE PROCESS IT WILL DO IRREPARABLE HARM TO THE LARGE PORTION OF OUR LOCAL ECONOMY THAT RELIES ON FISHING AND TOURISM. IT ALSO ROBS FROM FUTURE GENERATIONS WHAT WE'VE ALREADY HAD THE PRIVILEGE TO ENJOY. A LOT OF US OBJECT TO THE INDISPUTABLE FACT THAT THIS PROJECT IS TO SUPPLY INDUSTRY NOT RESIDENTS WITH THE WATER THEY NEED TO CONTINUE TO MAKE BILLIONS IN PROFITS THROUGH THE EXPLOITATION OF OUR CITY AND COMMUNITY. YET FAIL TO BE GOOD NEIGHBORS OR PARTNERS. MANY OF US OBJECT TO THE CONTINUATION OF A LEGACY OF ENVIRONMENTAL RACISM THAT PLAGUES THIS CITY AND TARGETS THE HILLCREST NEIGHBORHOOD. WE DON'T WANT TO SACRIFICE THE QUALITY OF LIFE OR HEALTH OF OUR NEIGHBORS BASED ON THEIR RACE OR INCOME BRACKET. AND STILL MORE OBJECT SIMPLY TO THE PRICE TAG AND WONDER WHAT WOULD MOTIVATE OR INCENTIVIZE A PERSON ON THIS DAIS. $1.2BILLION IS A HUGE PROJECT AND WE CAN'T EVEN BUILD A HOTEL IN THIS CITY WITHOUT SERIOUS ETHICAL CONCERNS SURFACING. PLEASE CONTINUE TO STAND IN THE STRENGTH YOU HAVE SHOWN RECENTLY. DEMAND UNBIASED SCIENCE. REQUIRE TRANSPARENCY AND PUT PEOPLE OVER PROFIT. DO NOT MOVE FORWARD WITH THE INNER HARBOR HILLCREST NEIGHBORHOOD DESALINATION PLANT. ALSO, SHAME ON SUBSTITUTE MILES FOR INTERRUPTING DR. ARAIZA AND FOR WEAPONNIZING YOUR POSITION TO VIOLATE HER RIGHTS. SHAME ON CCPD FOR THE ARRESTS THAT THEY MADE TODAY. YOU GUYS ARE COWARDS AND I'M EMBARRASSED. >> City Secretary: NEXT IS ELI McKAY. >> CAN YOU HEAR ME? >> City Secretary: YES, WE CAN. >> AWESOME. MY NAME IS ELI McKAY AND I LIVE IN BEAUTIFUL UPTOWN CORPUS CHRISTI, DISTRICT 1. WHAT A TIME TO BE ALIVE. TODAY HAS BEEN A VERY BIG DAY WITH THE COMMUNITY AS Y'ALL MADE DECISIONS THAT WILL SHAPE OUR QUALITY OF LIFE FOR A WHOLE LOT MORE THAN JUST THE NEXT FISCAL YEAR. AS SOMEONE WHO LIVES IN CORPUS CHRISTI, IN TEXAS, IN THE UNITED STATES OF AMERICA, I'M PRETTY USED TO GOVERNMENT AND ELECTED OFFICIALS MAKING DECISIONS THAT DIRECTLY HARM THE PEOPLE THEY'RE SUPPOSED TO PROTECT. I MAY BE USED TO IT BUT I REFUSE TO TOLERATE IT ANY MORE. AND I KNOW THAT I'M NOT ALONE BECAUSE CONSCIOUSNESS IS RISING AND I KNOW THAT EACH ONE OF YOU WHO MAY OR MAY NOT BE PAYING ATTENTION TO ME RIGHT NOW, CAN FEEL IT IN THAT ROOM WITH THE ENERGY TONIGHT. THE BODIES THAT FILL THAT ROOM BELONG TO SOME OF THE STRONGEST AND BRAVEST SOULS THAT I HAVE EVER KNOWN AND SPEAKING AGAINST DESAL FOR ALMOST A DECADE HAS NOT STIFLED THEIR PASSION BUT EMPOWERED IT. NO TO DESAL IN HILLCREST. NO TO DESAL THAT DISCHARGES IN THE CORPUS CHRISTI BAY. I'VE SPOKEN WITH Y'ALL MULTIPLE TIMES ABOUT THE SEVEN GENERATIONS PRINCIPLE AND SO I KNOW THAT YOU UNDERSTAND THE WEIGHT OF YOUR DECISIONS AND HOW THEY WILL IMPACT THE GENERATIONS TO COME. SO TODAY I'M GOING TO TELL YOU OF A PROPHECY THAT IS HAPPENING RIGHT NOW BEFORE OUR EYES. THIS PROPHECY SAYS WHEN THE EARTH IS RAVAGED AND THE ANIMALS ARE DYING, A NEW TRIBE OF PEOPLE SHALL COME UNTO THE EARTH FROM MANY COLORS, CLASSES, AND CREEDS. AND WHO BY THEIR ACTIONS AND DEEDS SHALL MAKE THE EARTH GREEN AGAIN. THEY WILL BE KNOWN AS THE WARRIORS OF THE RAINBOW. SO YOU CAN SEE AND YOU KNOW THAT PEOPLE ARE RISING ALL OVER THE COASTAL BEND. ALL OVER THIS PLANET. AND WE ARE GOING TO PROTECT MOTHER EARTH. AND, WHEN NECESSARY, WE WILL TAKE THE LEVERS OF POWER FROM THOSE UNFIT TO HOLD IT. THANK YOU TO THOSE OF YOU WHO WILL VOTE NO TO THE HILLCREST DESAL DISASTER AND PUT US ON A BETTER COURSE FOR WATER ALTERNATIVES. THANK YOU. >> City Secretary: THANK YOU, MS. McKAY. WE HAVE A NUMBER OF PEOPLE WHO ARE NOT ONLINE BUT JOHN WEBER -- I UNDERSTAND JOHN WEBER IS ONLINE. MR. WEBER. >> JOHN WEBER FROM OUT OF TOWN. MAYOR AND CITY COUNCIL, PLEASE PUT OFF THE VOTE ON THE INNER HARBOR UNTIL THE INDEPENDENT REVIEW OF THE FAR-FIELD DATA IS COMPLETE. WITHOUT THIS REVIEW WE DON'T KNOW IF THE PLANT WILL BE ABLE TO OPERATE AT 30 MGD OR 10 MGD OR LESS WITHOUT DAMAGING THE BAY AND/OR CLOGGING ITS PREFILTERS. KEEP IN MIND THAT DREW MOLLY IS AWARE THAT THE DATA USED IN THE MODEL FOR THE UPDATED PERMIT APPLICATION IS INCORRECT. ALSO MOLLY SITS ON THE BOARD OF THE TEXAS DESAL ASSOCIATION WITH THE KIEWIT AND DHD EMPLOYEE. THE KIEWIT WAS THE MOST EXPENSIVE. DREW MOLLY WAS THE LEAD SCORER. HE SHOULD HAVE RECUSED HIMSELF BECAUSE OF HIS BUSINESS RELATIONSHIP WITH KIEWIT AND GHD. I WOULDN'T WANT TO BE THE COUNCIL MEMBER WHO VOTED ON A PROJECT BEFORE DOING ALL THE DUE DILIGENCE. AS ALWAYS, HAVE A NICE EVENING. >> City Secretary: THANK YOU, MR. WEBER. NEXT IS JOHN SHEPHERD. >> JOHN SHEPHERD, AUSTIN, TEXAS. I REPRESENT THE TEXAS FOUNDATION FOR CONSERVATION WHOSE MISSION IS TO ENSURE THE PEOPLE OF TEXAS WILL ALWAYS HAVE ABUNDANT AND HEALTHY FISH AND WILDLIFE POPULATIONS TO ENJOY. WE DO RECOGNIZE THE NEED FOR NEW WATER SUPPLIES IN TEXAS, ESPECIALLY ALONG THE GULF COAST AND SEEK TO PROVIDE SCIENCE-BASED INFORMATION TO DECISION MAKERS. IN THE CASE OF THE INNER HARBOR DESAL PLANT, WE HAVE ENGAGED A RESEARCH SCIENTIST FROM THE UNIVERSITY OF FLORIDA WHOSE SPECIALTY IS THE STUDY OF ESTUARY AND COASTAL HYDRODYNAMICS TO PROVIDE AN OBJECTIVE AND UNBIASED ASSESSMENT OF THE MODELING ASSOCIATED WITH THE PERMITTING FOR THE INNER HARBOR PROJECT. IF THE INFORMATION IS MADE AVAILABLE, HE WILL ALSO REVIEW THE DATA ASSOCIATED WITH GHD'S MODELING THAT WAS PRESENTED TO COUNCIL ON JULY 15, 2025. REQUEST FOR INFORMATION RELATED TO THESE MODELING EFFORTS HAS BEEN SUBMITTED TO CITY STAFF AND WE HOPE THAT COUNCIL WILL SUPPORT OUR EFFORTS. >> City Secretary: THANK YOU, MR. SHEPHERD. >> THANK YOU. >> City Secretary: THANK YOU, SIR. AND WE DO HAVE TWO IN-PERSON NON-RESIDENTS. CHRIS CUELLAR. >> THIS IS A SUMMARY OF THE PRESS RELEASE THAT WE PROVIDED COUNCIL FOR RECORD. MAYOR COUNCIL STAFF RESIDENTS OF CORPUS CHRISTI -- >> City Secretary: STATE YOUR NAME AND CITY, SIR. >> CHRIS CUELLAR, NUECES COUNTY. AND ESPECIALLY A RESIDENT OF THE COUNTY OF NUECES. LOCAL LANDOWNERS HAND DELIVERED A PETITION TO THE TEXAS COMMISSION ON ENVIRONMENTAL QUALITY SEEKING THE CREATION OF THE NUECES GROUNDWATER CONSERVATION DISTRICT. THE PROPOSED DISTRICT'S MISSION IS TO PROVIDE FOR THE CONSERVATION, PRESERVATION FOR THE GROUNDWATER RESERVOIRS ALL IN ACCORDANCE WITH CHAPTER 26 OF THE TEXAS WATER CODE. WATER IS VITAL TO LANDOWNERS, MUNICIPALITIES INDUSTRY AND AGRICULTURE. THE PETITION EMPHASIZES THE NEED FOR LOCALLY-BASED MANAGEMENT TO PROTECT PRIVATE PROPERTY RIGHTS WHILE ENSURING LONG-TERM AVAILABILITY FOR FUTURE GENERATIONS. IF APPROVED, THE DISTRICT WILL BE GOVERNED BY AN ELECTED BOARD. ADOPTED RULES UNDER CHAPTER 36 AND DEVELOP A GROUNDWATER MANAGEMENT PLAN. THIS STEP REPRESENTS A MOVE TOWARDS TRANSPARENT, ACCOUNTABLE, AND SCIENCE-BASED GROUNDWATER MANAGEMENT IN NUECES COUNTY. THANK YOU. >> City Secretary: THANK YOU, MR. CUELLAR. MYRA ALANIZ. IS SHE STILL HERE? THERE SHE IS. >> MYRA ALANIZ, ROBSTOWN, TEXAS. TO THE COUNCIL MEMBERS WHO TRUSTED THEIR INSTINCTS AND ASKED THE TOUGH QUESTIONS, THANK YOU. YOUR CONCERNS ABOUT THIS DESALINATION PROJECT WERE RIGHT. THIS PLANT IS TOO EXPENSIVE AND GIVE LITTLE BACK. IF DESALINATION IS TRULY CRITICAL FOR INDUSTRY, THEY SHOULD BUILD AND FUND THEIR OWN FACILITY. INSTEAD, THEY WANT THE CC WATER TO SHOULDER THE COST AND THE RISKS WHILE THEY SECURE CHEAP WATER CONTRACTS AND GUARANTEED ACCESS TO MULTIPLE, UNINTERRUPTIBLE WATER SOURCES. THE PROJECT MIRRORS HOW INDUSTRY OPERATES IN OUR COMMUNITY. WHEN WATER RATES OR PROPERTY ASSESSMENTS INCREASE, THEY OFTEN SUE AND SETTLE FAVORABLE TO THEMSELVES. LEAVING THE COMMUNITY TO COVER SHORTFALLS FROM THE LOST REVENUES. THIS PROJECT IS A WIN FOR INDUSTRY AND STAKEHOLDERS, NOT FOR THE COMMUNITY. FAMILIES WILL FACE HIGHER WATER BILLS, WHICH MEANS LESS MONEY SPENT ON LOCAL RESTAURANTS, SHOPS, AND SMALL BUSINESSES. HIGHER UTILITY BILLS DON'T GROW AN ECONOMY, THEY CHOKE IT. PLEASE VOTE NO. >> City Secretary: THANK YOU, MS. ALANIZ. I UNDERSTAND THERE'S ONE MORE PERSON ON THE PHONE. IS SANDRA LOVE SANCHEZ, IS THAT YOU? >> YES, MA'AM. I'M HERE. >> City Secretary: I'M SORRY? >> YES. CAN Y'ALL HEAR ME? >> City Secretary: YES, MA'AM. GO RIGHT AHEAD. >> HELLO. MY NAME IS SANDRA LOVE SANCHEZ. I AM THE ENVIRONMENTAL LIAISON FOR THE KARANKAWA TRIBE OF TEXAS. FOR MORE INFO VISIT KARANKAWAS.COM. SINCE 2016 THE PEOPLE OF CORPUS CHRISTI HAVE BEEN FIGHTING THIS PROJECT. YEAR AFTER YEAR WE RAISED OUR VOICES BECAUSE DESALINATION IS WRONG FOR OUR WATER, PEOPLE, AND WRONG FOR OUR CITY'S FUTURE. FROM AN INDIGENOUS PERSPECTIVE WATER IS NOT A COMMODITY TO BE BOUGHT AND SOLD. WATER IS SACRED. WATER IS LIFE. MY PEOPLE WERE TAUGHT THAT WHEN YOU DISTURB THE BALANCE OF THE WATER YOU DISTURB THE BALANCE OF ALL LIVING THINGS. THE FISH, BIRDS, PLANTS, AND US AS HUMAN BEINGS. DESALINATION TAKES WATER FROM THE BAY AND RETURNS TOXIC BRINE. IT IS ALSO WRONG TO TARGET AND DISPLACE THE HILLCREST COMMUNITY. THIS NEIGHBORHOOD HAS ENDURED DECADES OF ENVIRONMENTAL RACISM, REFINERIES FREEWAYS AND POLLUTION ON ALL SIDES. TO ASK THEM TO BEAR ANOTHER BURDEN IS NOT PROGRESS, IT'S INJUSTICE. FINANCIALLY, DESALINATION WILL SINK CORPUS CHRISTI INTO DEBT WHILE PRIVATE OPERATORS WILL OWN AND PROFIT FROM THE WATER. WE HAVE SEEN THIS IN CALIFORNIA, THE CARLSBAD DESALINATION PLANT LEFT RESIDENTS PAYING HIGHER RATES WHILE A COMPANY TOOK CONTROL. THAT IS NOT SECURITY, THAT IS EXPLOITATION. HERE IS A DEEPER TRUTH. ORDINARY CITIZENS ARE TOLD TO CONSERVE. WE FACE RESTRICTIONS. WE ARE TOLD TO SHORTEN SHOWERS AND LIMIT WATERING OUR YARDS BUT INDUSTRY, THE BIGGEST WATER USER, FACES NO RESTRICTIONS AT ALL. THAT IS BACKWARDS. IF WE TRULY WANT TO BALANCE OUR WATER SUPPLY, THE SOLUTION IS SIMPLE. INDUSTRY MUST CONSERVE TOO. INDUSTRY HAS THE TECHNOLOGY TO RECYCLE AND USE ITS OWN WASTEWATER. INDUSTRY CAN BE REQUIRED TO CUT BACK DURING DROUGHT JUST LIKE WE ARE. IF CITIZENS CARRY THE BURDEN, INDUSTRY MUST CARRY ITS SHARE. THAT IS BALANCE AND THAT IS A REAL SOLUTION. ONE THAT PROTECTS OUR BAYS, PROTECTS OUR NEIGHBORHOODS, AND KEEPS OUR WATER IN THE PEOPLE'S HANDS INSTEAD OF TURNING IT INTO PRIVATE DESALINATION OPERATORS' HANDS. I URGE THIS COUNCIL TO SAY NO TO DESALINATION AND YES TO ACCOUNTABILITY. MAKE INDUSTRY FOLLOW THE SAME RULES AS CITIZENS. ONLY THEN WE WILL HAVE TRUE BALANCE. WATER IS LIFE. PROTECT THE WATER. PROTECT OUR PEOPLE. THANK YOU. >> City Secretary: THANK YOU, MS. SANCHEZ. MAYOR, THAT CONCLUDES THE PUBLIC COMMENT PERIOD. >> Mayor Guajardo: OKAY. GREAT. >> NO, I'M HERE. >> City Secretary: OH, I'M SORRY. WHO ELSE? >> I DIDN'T SIGN UP. I HAVEN'T BEEN HERE BEFORE BUT I HAVE BEEN HERE FIVE HOURS. I WORKED FOR TEN HOURS. CAN I HAVE THREE MINUTES? COULD I? >> City Secretary: IF YOU'RE HERE TO SPEAK ABOUT DESALINATION, YOU CAN SPEAK ON THE ITEM. THAT'S ITEM 34. IT'S NEXT. >> Mayor Guajardo: WE'RE GOING TO HEAR THE ITEM HERE IN JUST A MINUTE. >> MY APOLOGIES. >> Mayor Guajardo: YOU'RE FINE BUT WAS SOMEONE ON THE PHONE? >> I AM ON THE LINE. I SIGNED UP. YES. I SIGNED UP. >> City Secretary: WHAT'S YOUR NAME MA'AM? >> AMANDA GUERRA. >> City Secretary: GO AHEAD, MA'AM. >> OKAY. AMANDA GUERRA, DISTRICT 5. FIRST OF ALL I WANT TO SAY THANK YOU TO EACH OF YOU THAT ARE ON THE DAIS FOR THE TIME THAT YOU COMMIT TO THE CITY. SOME OF YOU ARE TRULY IN IT FOR THE COMMUNITY AND YOUR CONSTITUENTS AND OTHERS ARE IN IT FOR WHAT YOU CAN BENEFIT FOR YOURSELF. [LAPSE IN AUDIO] AND HE CAN CHANGE HEARTS AND REMOVE GREED FROM PEOPLE'S HEARTS. I AM NOT AGAINST DESAL. WHAT I AM AGAINST IS THE PRICE, THE LOCATION, AND THE CITIZENS GETTING STUCK WITH THE BILL AND WE ARE THE ONES WITH THE MOST RESTRICTIONS. IF WE RUN OUT OF WATER, I GUARANTEE YOU THAT INDUSTRY WILL NOT HAVE A PROBLEM PACKING UP AND LEAVING. THEY WILL LEAVE US WITH NO WATER AND A HUGE BILL. AND IF YOU VOTE TO GO THROUGH WITH THIS. TODAY ON THE FIRST READING ON THE BUDGET, IT APPEARS THAT WE THE CITIZENS ARE GOING TO RECEIVE RATE HIKES. I FOUND IT REALLY ODD THAT WHEN SOME COUNCIL MEMBERS WERE AGAINST SOME OF THESE RATE HIKES THE STAFF WAS READY WITH A CHART ON SERVICES WE WOULD LOSE ALONG WITH JOBS THAT WOULD BE LOST. THESE ARE THE SAME STAFF MEMBERS I HAVE SEEN COME SO UNPREPARED THAT WHEN THEY ARE ASKED QUESTIONS BY SOME COUNCIL MEMBERS USUALLY RESPOND WITH WE DON'T HAVE THOSE ANSWERS BUT WE CAN GET BACK TO YOU. I ALWAYS WONDER DO THEY DO THIS ON PURPOSE BECAUSE THEY DON'T WANT THE TRUTH ON PUBLIC RECORD BECAUSE WE KNOW THESE MEETINGS ARE RECORDED? TODAY WHEN IT CAME TO CUTTING 80-SOMETHING JOBS IN THE WATER DEPARTMENT THEY CAME PREPARED WITH THEIR LIST. THIS MUNICIPALITY, THE CITIZENS OF CORPUS CHRISTI SHOULD BE YOUR NUMBER ONE PRIORITY AND THIS WATER IS NOT FOR US, THE PEOPLE. IT IS FOR INDUSTRY. THEY SHOULD BUILD THEIR OWN DESAL AND LEAVE OUR WATER SOURCES ALONE. I AM ASKING THAT YOU VOTE NO FOR THE DESAL. THANK YOU. >> City Secretary: OKAY. THANK YOU, MS. GUERRA. OKAY MAYOR. I THINK THAT CONCLUDES THE PUBLIC COMMENT PERIOD. >> Mayor Guajardo: GREAT. THANK YOU. IT'S 9:08. WE'RE GOING TO TAKE A VERY QUICK RECESS AND THEN COME BACK AND DO THE TWO -- HAVE THE TWO ITEMS. >> [OFF MIC] >> Mayor Guajardo: WE'RE GOING TO COME RIGHT BACK AND WE'LL HAVE THE TWO ITEMS AND PEOPLE CAN SPEAK ON THE ITEMS AS WELL. THANK YOU. WE'LL BE RIGHT BACK. [RECESS] [RECESS ] >> IF EVERYONE COULD PLEASE TAKE THEIR SEATS, WE'RE GOING TO GET THE MEETING GOING AGAIN. WE'RE GOING TO RECONVENE THE MEETING. WE ARE IN SECTION L, INDIVIDUAL CONSIDERATION ITEMS. NUMBER 34, AND NUMBER 35. ITEM NUMBER 34 IS A MOTION ON AMENDMENT NUMBER FIVE TO THE DESIGN-BUILD CONTRACT WITH KIEWIT TRAIN STRUCTURE SOUTH COMPANY. >> OKAY. I'M BRETT, I'M THE PROGRAM MANAGEMENT OFFICE DIRECTOR FOR THE INNER HARBOR PROJECT. SO JUST A QUICK REMINDER, THIS ITEM WAS PREVIOUSLY BROUGHT TO COWS CRIMINAL ON JULY 29th TO APPROVE AMENDMENT NUMBER FIVE BUT COUNCIL VOTED TO POSTPONE THIS DECISION UNTIL WE WERE ABLE TO RECEIVE SOME RESPONSES FROM THE TEXAS WATER DEVELOPMENT BOARD, WHICH WE RECEIVED THE FIRST SET OF RESPONSES ON AU AUGUSTth, AND THEN AGAIN WE HAD SOME FOLLOW-UP RESPONSES THAT WE RECEIVED ON AUGUST 29th. SO IN ADDITION TO POSTPONING DECISION ON THIS AMENDMENT, WE WERE ALSO DIRECTED BY THIS COUNCIL TO SUSPEND WORK ON THE PROJECT. SO STARTING ON AUGUST 1st, A NOTIFICATION WAS SENT OUT TO KIEWIT AND FREES NICHOLS TO STOP WORK UNTIL AUGUST 26th WHICH WAS THE INTEND IT DATE FOR THE COUNCIL PRESENTATION AND WE PUSHED THIS BACK TO TODAY SO WE COULD GET THE RESPONSES. SO, I JUST WANT TO GIVE YOU A QUICK RECAP. SO THIS ITEM IS TO APPROVE AMENDMENT NUMBER FIVE TO KIEWIT IN THE AMOUNT OF $50 MILLION. THAT'S NOT TO EXCEED AMOUNT FOR THE DESIGN. AND THAT WILL TAKE US FROM A 10% DESIGN, WHICH IS WHERE WE CURRENTLY SIT, TO A 60% DESIGN WITH A DETAILED GUARANTEED MAXIMUM PRICE. SO JUST A QUICK RECAP. IN DECEMBER OF LAST YEAR WE EXECUTED TO CONTRACT WITH KIEWIT AND WE STARTED WHAT WE CALL PHASE ONE WHICH WAS BROKEN INTO TWO PARTS. WE HAVE PHASE 1A AND PHASE 1B. WE SENSE COMPLETED PHASE 1A WHICH BROUGHT US TO A 10% DESIGN COMPLETION. WE'RE CURRENTLY IN PHASE 1B WHICH IS TO PROCEED DESIGN UP TO 60%, WITH A GUARANTEED MAXIMUM PRICE. SO THIS AMENDMENT SCOPE INCLUDES, AGAIN, CONTINUING THE DESIGN DEVELOPMENT FROM A 10% TO A 60%. DURING THIS TIME WE WILL PRODUCE A COUPLE OF DELIVERABLES. THE FIRST BEING A 30% DESIGN WITH AN UPDATED COST MODEL. AND A 60% DESIGN WITH A GUARANTEED MAXIMUM PRICE WHICH WILL BE BROUGHT BACK TO CITY COUNCIL FOR REVIEW AND APPROVAL. IF APPROVED WE WILL PROCEED TO CONSTRUCTION. THE TIMELINE, AS YOU CAN SEE HERE, IN AUGUST WE WERE IN THE SUSPENSION OF WORK TIME, SO THERE WAS NO WORK PERFORMED ON THE PROJECT. SO IF APPROVED TODAY TO PROCEED WITH THE 60% DESIGN, WE WOULD START IN DECEMBER WITH A 30% DESIGN DEVELOPMENT. AND THEN IN NOVEMBER, WE WOULD GET THE UPDATED COST MODEL AND DESIGN DELIVERABLE. AND THEN KIEWIT WOULD PROCEED WITH THE 60% DESIGN DEVELOPMENT AND HAVE THAT DELIVERED TO US BY THE END OF FEBRUARY, AND THEN IN MARCH WE WOULD COME BACK TO CITY COUNCIL AND PRESENT THE GMP FOR CONSIDERATION. SO THE BIGGEST CHANGE HERE FROM WHAT YOU SAW LAST TIME IS WE WERE GOING TO BE DELIVERING THE GMP IN THE DECEMBER TIME FRAME, SO THIS CURRENT SUSPENSION HAS DELAYED THE PROJECT APPROXIMATELY THREE MONTHS. SO THIS IS THE CURRENT TIMELINE. THINGS MIGHT CHANGE, BUT THIS IS WHAT WE'RE GOING TO CURRENTLY ACHIEVE ASSUMING WE'RE ABLE TO GET APPROVAL TODAY AND CONTINUE MOVING THROUGH. NOW, ALTERNATIVELY, WE COULD DECIDE NOT TO PURSUE ANOTHER NUMBER FIVE AND NO FURTHER DESIGN DEVELOPMENT ON THE PROJECT. AND IF WE CHOOSE TO DO THAT, THERE'S A COUPLE NEXT STEPS. FIRST OF WHICH BEING WE WOULD ISSUE TERMINATION LETTER TOSS FREES FREESE AND NICHOLS AND KIEWIT. WE WOULD WORK WITH THE TEXAS WATER DEVELOPMENT BOARD TO DETERMINE THE LIABILITIES THAT WE HAVE. WE CURRENTLY HAVE CAPITAL EXPENSES THAT WE'VE ALREADY PAID TO KIEWIT AS WELL AS FREESE AND NICHOLS. PRINCIPAL INTEREST THAT WE'RE GOING TO HAVE TO PAY OVER THE NEXT TEN YEARS. WE ALSO SOMEWHERE TO EVALUATE THE VOLUNTARY DROUGHT SURCHARGE AS THAT CURRENTLY IS BEING USED TO PAY DOWN SOME OF THE DEBT FOR THIS PROJECT. WE HAVE SPEND DOWN REQUIREMENTS WITH THE IRS. WE DON'T FULLY UNDERSTAND THE IMPLICATIONS IF WE DON'T PROCEED WITH THE PROJECT, SO WE'RE GOING TO BE WORKING WITH THEM TO BETTER UNDERSTAND THAT AND DETERMINE THE IMPACT TO THE CITY. AND THEN LASTLY, WE ALSO NEED TO SEND DOWN NOTIFICATIONS OF OUR INTENT NOT TO PROCEED WITH ANY FUTURE BOND DRAWDOWNS, WHICH WE DO HAVE THAT AS ITEM 35 ON TODAY'S AGENDA. SO WE'LL HAVE TO REVIEW THAT AS WELL. SO THAT IS THE PRESENTATION. DO YOU HAVE ANY QUESTIONS? >> Mayor Guajardo: COUNCIL? QUESTIONS? >> WHO WANTS TO BE FIRST. >> Mayor Guajardo: COUNCILMAN ROY. >> Roy: I HAVE A QUESTION. AND PART OF IT -- I'VE GOT A COUPLE OF QUESTIONS. BUT NUMBER ONE, CAN YOU TELL ME RIGHT NOW, IS ANYBODY HERE FROM KIEWIT? >> WE HAVE A COUPLE KIEWIT MEMBERS THAT ARE FROM THE INGLESIDE OFFICE. WE DON'T HAVE ANY OF OUR TECHNICAL TEAM THAT HAVE BEEN WORKING ON THE PROJECT. THEY'RE HONORING THE SUSPENSION. THEY DIDN'T WANT TO COME IN FOR THIS MEETING BUT THEY'RE FULLY ENGAGED. THEY'RE READY TO CONTINUE PARTICIPATING. BUT THEY DID SEND SOME OF THE LOCAL MEMBERS HERE TO REPRESENT KIEWIT TODAY. >> Roy: I THINK PART OF THE REASON WHY WE'RE IN THIS SUSPENSION IS BECAUSE THERE ARE SOME QUESTIONS. AT LEAST I HAVE SOME QUESTIONS. I'M HOPING MY OTHER COUNCILMEMBERS HAVE QUESTIONS. SO THAT BEING SAID, WE DO HAVE SOMEBODY HERE FROM FREESE AND NICHOLS? >> THAT'S CORRECT. >> Roy: LET ME ASK MY FIRST QUESTION. I HAVE HEARD, AND I NEED CLARIFICATION ON THIS, THAT WE WENT THROUGH TWO PRESENTATIONS. ONE PRESENTATION LASTED PROBABLY ABOUT 45 MINUTES TO AN HOUR IN WHICH WE WERE BASICALLY WALKED THROUGH THE DESIGN BUILD. AND WE WERE TOLD THAT WHEN YOU GO THROUGH THIS PROCESS, WHEN YOU'RE AT THE 10% PHASE, THE COST IS A CERTAIN AMOUNT AND AS YOU GET FURTHER ON, 30% AND 60%, THEY HONE IN ON THE PRICE. BUT I HAVE HEARD THIS REPEATEDLY FROM STAFF, AND PETER, I'M GOING TO DIRECT THIS QUESTION TO YOU RIGHT NOW IN THE ABSENCE OF KIEWIT. HAVE YOU HEARD THIS BEFORE, THAT BASICALLY THE MINIMUM COST IS $1.2 BILLION? HAVE YOU BEEN INSTRUCTED OR HAS ANYBODY TOLD YOU AT THIS POINT IN TIME THAT THE MINIMUM COST FOR THIS PROJECT IS $1.2 BILLION? >> I HAVEN'T HEARD IT SAID THAT WAY COUNCILMAN. THE 10% DESIGN, IF YOU WANT TO CALL IT DESIGN, ESTIMATE, IS $1.2 BILLION. >> Roy: THE 10% DESIGN. >> RIGHT. THE PLAN -- THE FACILITY BECOME 10% DESIGN. >> Roy: OKAY. >> THAT -- SO KIEWIT GAVE US A PRICE OF 1.2 BILLION. >> Roy: I'M GOING TO DIRECT MY QUESTION TO DREW. DREW, CAN YOU TELL ME? BECAUSE WHAT I'VE HEARD FROM SEVERAL PEOPLE, AND I'VE HEARD IT FROM THE COMMUNITY AND I'VE HEARD IT FROM SOME STAFF, THAT THE MINIMUM COST THAT WE'RE GOING TO -- THAT THIS IS GOING TO COST IS $1.2 BILLION, THAT THAT'S THE MINIMUM. AND THAT OUR HOPES IN TERMS OF MAYBE BEING AT $900 MILLION OR WHATEVER THE CASE IS IS -- THAT'S NOT THE CASE. AND IF FREESE AND NICHOLS IS HERE, I'D LIKE THEM TO SPEAK TO THAT TOO. >> COUNCILMAN, I HAVE NOT HEARD THAT. I HAVE NOT HEARD THAT $1.2 BILLION IS THE MINIMUM. WHAT I DO KNOW IS, IS THAT AT 10% DESIGN, AT 10% DESIGN, YOU REALLY DON'T HAVE A LOT OF INFORMATION TO REALLY FULLY UNDERSTAND WHAT THE COST OF THIS PROJECT IS GOING TO BE. WHEN YOU TALK TO SOME OF THE OTHER EXPERTS, AND I'LL JUST GIVE YOU AN EXAMPLE. SOME OF THE BIG COMPANIES THAT DO MASSIVE CAPITAL PROJECTS AROUND THE WORLD, I'M TALKING ABOUT COMPANIES LIKE EXXON AND OXY AND BIG COMPANIES, THEY'LL TELL YOU THAT YOU REALLY HAVE TO GET TO 60% DESIGN BEFORE YOU REALLY HAVE COST CERTAINTY. AND SO THE PROJECT AT THIS POINT IN TIME IS ALL ABOUT BUILDING THE QUESTION SIGN AND TRYING TO VALUE ENGINEER AND DRIVE THOSE COSTS DOWN. >> I'M GOING TO ASK THE SAME QUESTION FROM FREESE AND NICHOLS SINCE THEY'RE HERE IF THEY CAN MAKE COMMENT, IF THEY'RE AWARE THAT THE MINIMUM COST IS WHAT I'VE HEARD -- I'VE HEARD THAT EVERYWHERE. OKAY. WE'RE NOT GOING -- YOU KNOW, THE MINIMUM COST IS $1.2 BILLION. >> NO, THE 1.2 IS NOT THE FLOOR. IT'S JUST A POINT IN A RANGE. AND IF YOU PICTURE THAT CHART THAT'S BEEN SHOWN, IT'S A RANGE THAT TAPERS MORE AND MORE NARROW. 1.2 IS A POINT IN THE RANGE, IT'S NOT A FLOOR. >> Roy: WHAT I THINK WOULD BE A SHAME IS THAT IF WE WENT AND GOT TO THIS 60% DESIGN AND ALL OF A SUDDEN SOMEBODY GOES, OKAY, WELL, SORRY, GUYS, BUT THE COST IS $1.2 BILLION AND THAT'S THE MINIMUM, BECAUSE EVERYTHING WE WERE TOLD, AND WE'VE HAD TWO PRESENTATIONS ON THIS, IS THAT THE COST IS SUPPOSED TO GO DOWN BASED ON -- HAVE MORE TRUER COST AS WE GO INTO THE DESIGN. IS THAT CORRECT? >> AS YOU CONTINUE DESIGN, YOU GET MORE COST CERTAINTY. RIGHT NOW YOU DON'T KNOW EVERYTHING, BUT AS YOU CONTINUE, YOU GO OUT TO THE MARKET, YOU GET MORE DESIGN COMPLETED, YOU GET COST CERTAINTY. >> Roy: BUT WHEN YOU TAKE A LOOK AT YOUR GRAPH AND EVERYTHING THAT YOU SHOWED, AND YOU SHOWED THAT SPIKE, IT WENT IN AN EL -- ELEVATED AND WENT BACK DOWN. I'M ASKING YOU, IS THAT A TRUE PROJECTION OF WHAT YOU THINK HOW THIS PROJECT IS GOING TO COME TO FRUITION? >> I THINK WITH EVERY PROJECT, YOU WILL HAVE UPS AND DOWNS IN CERTAIN AREAS BASED ON THE DESIGN. SO YOU'RE GOING TO GET SMARTER AS YOU TO. SO SOME AREAS WHERE YOU'RE GOING CARRY A NUMBER THAT'S MAYBE A LITTLE BIT LOWER, IT MIGHT GO UP AND OTHER AREAS MIGHT COME DOWN. AS DREW WAS MENTIONING EARLIER, WE'RE GOING TO CONTINUE THROUGH THE PROCESS WORKING ON VALUE ENGINEERING IDEA, OPTIMIZING THE DESIGN, AND FINDING WAYS TO DRIVE THE COST DOWN. SO THAT'S PART OF THAT PROCESS. >> Roy: AND IF WE GET TO THE 60%, IF WE GET TO THE POINT WHERE WE'RE AT 60%, WE ACTUALLY HAVE THE OPTION AT THAT POINT IN TIME THAT WE COULD -- IF FOR WHATEVER REASON WE DON'T HAVE CONFIDENCE IN KIEWIT, AND I TELL YOU RIGHT NOW I'M NOT HAPPY WITH THE FACT THAT THEY'RE NOT HERE. I UNDERSTAND WHAT YOU'RE SAYING AND UNDERSTAND THAT YOU'RE SAYING BECAUSE THEY WERE STANDING DOWN BECAUSE THEY WERE TOLD TO STAND DOWN, BUT YOU WOULD THINK THE AMOUNT OF MONEY WE PAID THEM YEAR TO DATE AND THE THINGS THAT THEY'VE DONE, THAT THEY WOULD SHOW UP HERE AT THIS COUNCIL AND BE ABLE TO ANSWER SOME QUESTIONS. SO THAT HASN'T HAPPENED. BUT I'M JUST TELLING YOU RIGHT NOW, IF THAT'S THE CASE, AT LEAST IN MY EYES, IF WE GET TO THAT 60%, IF THIS COUNCIL DECIDES TO GO FORWARD AND WE GET TO THAT 60%, THAT I PERSONALLY THINK THAT WHAT -- THERE'S A DIFFERENCE, I WOULD CONSIDER TAKING THIS OUT FOR SOME OTHER BID. >> THAT IS AN OPTION THAT WE COULD TAKE IF WE GOT TO THE 60% DESIGN AND WE DID NOT LIKE THE PRICE. >> Roy: BECAUSE IT MIGHT NOT MEAN A LOT TO SOME PEOPLE BUT IF WE COME IN, LET'S JUST SAY HYPOTHETICALLY WE'RE AT $900 MILLION. THAT BRINGS ME TO MY OTHER QUESTION. I'VE ONLY GOT A MINUTE LEFT. SORRY TO CUT YOU OFF. BUT CAN YOU GIVE US A SUMMATION, I DON'T CARE WHO DOES IT OUT OF THE THREE, BUT HOW DID WE GO FROM $220 MILLION TO $1.2 BILLION? I NEED TO UNDERSTAND HOW WE TRACKED FROM THAT POINT IN TIME. I KNOW THAT MAYBE WHEN WE WERE GIVING THE $220 MILLION WE DIDN'T CONSIDER THE WASTEWATER FACILITY. BUT CAN YOU GIVE US AN IDEA WHY THE COST WENT FROM $220 MILLION TO $1.2 BILLION? I THINK THAT'S ONE OF THE -- NUMBER ONE QUESTIONS THAT I HEAR FROM PEOPLE WHEN I'M WALKING DOWN THE STREET OR I'M AT THE STORE. HOW DID WE GET TO $1.2 BILLION? >> YES, SIR. I THINK I CAN DO THAT. SO STARTING WITH AN EXAMPLE THAT WE'VE GONE THROUGH BEFORE, HARD BID PROJECT AT OWENS STEVENS, AND I THINK WE WOULD AGREED A HARD BID PROJECT REALLY IS A TRUE TEST OF THE MARKET. YOU BID A PROJECT FOR IMPROVEMENTS AT OWENS STEVENS THAT CAME IN AT $50 MILLION. ONE BIDDER SO IT WAS NOT AWARDED. WENT OUT FORBID AGAIN A YEAR LATER. THIS WAS IN 2023. AND THAT BID CAME IN AT CLOSE TO $90 MILLION. THERE'S A TRUE TEST TO THE MARKET FOR A LESS COMPLEX WATER INFRASTRUCTURE PROJECT. IT ALMOST DOUBLED. THE 23 WAS BASED ON A 20MGD FACILITY. THE MARKET ALMOST DOUBLED OVER THE SAME TIME PERIOD WHICH GETS YOU CLOSE TO 450, $500 MILLION A AND YOU'RE ADDING 50% CAPACITY. SO WE HEARD A LOT OF MATH TODAY. GO THROUGH THAT ONE MORE TIME. 220 TIMES 2, BECAUSE WHAT WE'VE SEEN IN THE INDUSTRY IS ABOUT A DOUBLING, WHICH IS WILD. GETS YOU TO ABOUT 450. AND A 50% INCREASE ON TOP OF THAT, BECAUSE OF THE CAPACITY. WE'VE ALSO LEARNED A LOT TO GET FROM THE 757 TO WHERE WE ARE TODAY AT THE 1.2 BILLION. WE LEARNED A LOT ABOUT THE CONDITIONS FOR THE INTAKE AND THE DISCHARGE. THOSE ARE ALL GOING TO BE DONE TRENCHLESS WHICH MEANS IT HAS TO BE DONE WITH TUNNELING AND TRENCHLESS TECHNOLOGY. THAT'S PRETTY EXPENSIVE. WE'VE LEARNED A LOT ON THE TECHNOLOGY. WE'VE GOT A TECHNOLOGY PROVIDER, AQUA TECH, THAT'S PROVIDED THE CAPITAL COST. WE GOT A MORE FIRM NUMBER THERE. SO AS YOU GET SMARTER YOU REFINE THINGS, AND I MENTIONED A POINT IN THE RANGE. RIGHT? 224 FOR 20MGD WAS WITHIN THE RANGE, THAT 757 IS, AND THAT 1.2 IS. I KNOW THAT SOUNDS LIKE A CONTRADICTION, BUT I WOULD ENCOURAGE YOU WHEN THERE'S AN APPARENT CONTRADICTION TO SEEK UNDERSTANDING. AND IT'S ALL IN THAT CONE. >> Roy: WE'VE HAD -- I'VE GOT 23 SECONDS. WE'VE HAD OTHER FORMER COUNCILMEMBERS TALK ABOUT THAT IF WE GO FORWARD WITH THIS, THAT WE'LL HAVE THE MOST EXPENSIVE DESAL PLANT EVER. CAN YOU TELL ME RIGHT NOW ANYWHERE IN THE WORLD, NOT JUST IN THE UNITED STATES, ANYWHERE IN THE WORLD, CAN YOU COMPARE A PROJECT RIGHT NOW IN TERMS OF COST AND DESAL PROJECT, THERE'S GOT TO BE OTHER DESAL PROJECTS GOING ON IN THE WORLD SOMEWHERE, AND WHAT THAT COST IS EQUIVALENT TO. WHAT WE'RE PAYING. >> WE CAN DO THAT FOR YOU. I'VE DONE THAT FOR THE TEAM. WE'VE GOT A BUILD UP ON A LOT OF COSTS. I WILL SAY IT'S REALLY DIFFICULT, I'VE SAID THIS FOR TEN YEARS, TO FIND APPLES TO APPLES IN THE DESAL INDUSTRY. YOU CAN POINT TO CARLSBAD. CARLSBAD DIDN'T HAVE TO BUILD AN INTAKE, WHICH IS A HUGE EXPENSE. AND THEN LAST YEAR, THEY HAD TO BUILD AN INTAKE FOR $200 MILLION. SO PEOPLE LIKE TO LOOK AT THE ORIGINAL CAPITAL COST FOR CARLSBAD. THEY ALSO DON'T HAVE THE LEVEL OF PRETREATMENT. HUGE EXPENSE. IT GIVES YOU RERELIABILITY IN WATER QUALITY. TAMPA BAY, SAME THING, THEY DIDN'T HAVE TO BUILD AN INTAKE. AND THEIR PRETREATMENT WAS DRAMATICALLY INSUFFICIENT. WHICH IS WHY PEOPLE POINT TO THE FACT THAT TAMPA BAY HAD ISSUES. WE ARE LEARNING FROM THOSE THINGS. WE'RE NOT REINVENTING THE WHEEL HERE. THIS IS IS A PLANT BASED ON LESSONS LEARNED FROM AROUND THE GLOBE. WE CAN DO A COST BUILD UP FROM OTHER PLANTS. IT'S HARD TO COMPARE APPLES TO AMS. >> Roy: I HAVE ANOTHER ROUND TO ASK ADDITIONAL QUESTIONS. THE ONLY THING THAT CONCERNS ME A LITTLE BIT ABOUT THAT IS THAT I DON'T THINK WE'RE THE CITY WE WANT TO BE EXPERIMENTED ON. DO YOU KNOW WHAT I MEAN, IN TERMS OF SAYING YOU'RE LEARNING A LOT. >> WE LEARNED A LOT. >> Roy: OKAY. >> WE'VE LEARNED A LOT. THIS IS NOT EXPERIMENTAL. WE HAVE LEARNED ENOUGH -- >> Roy: WITH THE COST. I'M TALKING ABOUT THE COST. BECAUSE IT SOUNDS LIKE YOU'RE SAYING WE LEARNED A LOT. >> WE'VE LEARNED A LOT ON THE APPLICATION OF DESAL TECHNOLOGIES. THIS IS NOT NEW. AND I'D LIKE TO -- DO I HAVE A TIME LIMIT? OKAY. >> Roy: WE'RE BOTH OUT. >> OH, WE'RE BOTH OUT. OKAY. I WOULD LIKE TO HIGHLIGHT. THERE ARE TWO TOOLS THAT HAVE NOT BEEN APPLIED TO THE 1.2 BILLION YET THAT ARE CRITICAL TO THE PROCESS. AND ESSENTIAL PART AS THE PROGRESSIVE DESIGN BUILD METHOD. THOSE TWO TOOLS ARE, YOU HAVE AN INDEPENDENT COST ESTIMATOR, NOT KIEWIT, NOT FREESE AND NICHOLS WHO DOES A COMPLETE DETAILED AND COMPREHENSIVE COST ESTIMATE ON THE PROJECT. THEY'LL DO THAT AT 30%. THEY'LL DO IT AGAIN AT 60%. AND THE CONTRACT REQUIRES THE GMP TO BE WITHIN 10% OF THAT INDEPENDENT COST ESTIMATE. NOW, THAT IS A LEVER, A TOOL THAT HAS NOT BEEN APPLIED YET. WHEN WE SAY 1.2 BILLION AT 10%, YOU HAVE NOT APPLIED A PRESSURE OF ACCOUNT INDEPENDENT. I CAN'T TELL YOU WHAT THAT ESTIMATOR IS GOING TO COME UP WITH. BUT THEY GET TO LOOK AT IT WITH A FRESH SET OF EYES. THEY DO FORENSIC COST ESTIMATING ON BILLION DOLLAR PROGRAMS. ANOTHER TOOL IS NEGOTIATION. YOU GET TO THE GMP, YOU GET TO NEGOTIATE. YOU GET TO NEGOTIATE FEE. YOU GET TO NEGOTIATE FEE TYPE. I SHOULD BE LETTING BRETT TALK ABOUT THE NEGOTIATIONS. BUT THOSE TWO TOOLS HAVE NOT BEEN APPLIED TO THE 1.2. IT'S A NUMBER IN A RANGE. WE DON'T KNOW WHAT IT'S GOING TO BE. AND, BRETT, GREW WANT TO TALK ABOUT THE NEGOTIATION BECAUSE I DO THINK THE ICE AND THE NEGOTIATION ARE TWO TOOLS THAT HAVEN'T BEEN APPLIED AND IT WON'T BE UNTIL WE GET TO 30% AND 60%. >> I I THINK JASON SAID MOST OF IT. BUT HE'S RIGHT. WHEN WE GET TO THE POINT OF GUARANTEE MAXIMUM PRICE AND START THE NEGOTIATION PROCESS WE HAVE TOOLS IN OUR TOOL BASKET THAT WILL ALLOW US TO REALLY, I THINK, TALK ABOUT THE FEE, TALK ABOUT THE GENERAL CONDITION PERCENTAGE, AS WELL AS THE COST. SO WHEN WE GET TO THAT POINT, IF WE'RE ALLOWED TO CONTINUE AND GET TO TO THAT POINT, WE'LL BE WORKING WITH FREESE AND NICHOLS, THE INDEPENDENT COST ESTIMATOR, WE HAVE THE CITY STAFF AS WELL AS WE HAVE OUTSIDE PARTNERS WHO ARE WILLING TO COMMIT THEIR TIME TO HELP US GET THE BEST VALUE FOR THIS PROJECT. >> Roy: THANK YOU. >> Mayor Guajardo: COUNCILMAN SCOTT. >> Scott: I WANT TO -- MAYOR, I WANT TO COUCH THIS CONVERSATION ON A GREATER SCALE BECAUSE I THINK IT'S ALL RELEVANT, RIGHT? IF WE DIDN'T HAVE ANY TIME CONSTRAINTS ON INNER HARBOR, PUT IT OFF FIVE YEARS, ALTHOUGH I THINK WE HAVE TAX ISSUES WHICH MAYBE VICTOR CAN HELP US WITH. I HAD A CHANCE TO TALK TO KIEWIT, I HOPE IT'S OKAY, MY SENSE THEY THINK IT'S 1.2. BUT THEY'RE WILLING TO SAY, LOOK, IT COULD BE UP, A LITTLE DOWN, WE'RE REALLY GOOD. WE KNOW BASED ON THIS, IT'S GOING TO BE TEN SQUARE YARDS OF CONCRETE AND FIVE MILES OF PIPE. I THINK THEY HAVE A SENSE THAT THEY THINK IT'S AROUND 1.2, BUT MY THOUGHT WAS, WHAT DO I CARE WHAT THEY THINK, I'VE GOT THE ICE GUYS BACK HERE, THEY'RE IN THE CORNER. LET'S GET THEM ENGAGED. MY SENSE IS WE HAVE YOU, WE HAD YOU. THE NEWDOW. WHY AM I TALKING TO YOU? HE KNOWS I LOVE HIM. WE HAVE DREW, WE HAVE FREESE NICHOLS, WE HAVE ICE, AND NOW I GUESS INDUSTRY HAS OFFERED TO INJECT THEMSELVES. AT SOME POINT WE'RE GOING TO FIND OUT WHAT THAT NUMBER IS. HONESTLY, IF IT'S A BILLION, TWO IT'S A BILLION TWO. WHAT DOES IT COST PER RATE PAYER? >> ABOUT $11. >> $11. TO ME THE HIGH END IS $11. WOULD YOU WALK US THROUGH ALL THE OTHER ALTERNATIVES, JUST QUICKLY, AND WHAT YOU THINK THOSE TIMELINES ARE. AND I UNDERSTAND, COUNCILMEMBERS, YOU MAY HAVE -- MAY DISAGREE ON A TIMELINE, I DIDN'T DO THE MATH. I WANT US TO HEAR FROM STAFF AND CONSULTANTS BECAUSE WHAT WE'RE HEARING IS, DESAL COMES ONLINE IN, WHAT, DECEMBER OF '28 NOW, ALL THINGS -- >> IT'S PROBABLY THE FALL, FALL OF '28. ORIGINALLY EXPECTING JUNE OF '28, SO WITH THIS BIT OF A DELAY, IT'S GOING TO PUSH SOME THINGS BACK. BUT I WILL JUST SPEAK A LITTLE BIT FROM THE STANDPOINT THAT WE'RE REALLY WORKING HARD ON A LOT OF OTHER PROJECTS. IT'S NOT JUST DESAL. IN FACT, MY TIME HAS BEEN FOCUSED ON ALL THESE OTHER PROJECTS. I HAVE BEEN ENGAGED WITH THIS PROJECT BUT MY TIME HAS BEEN AND MY STAFF'S TIME HAS BEEN FOCUSED ON LOOKING AT OTHER FROECTOMY,S. LET ME GIVE A RECAP ON A COUPLE THE ONES THAT WE THINK IS PROGRAM. EVANGILINE IS AN IMPORTANT PROJECT. WE'VE BEEN TALKING WITH THE FOLKS FOR OVER A YEAR. THE OFFER THAT HAS BEEN MADE TO US FROM EVANGILINE IS A LITTLE DIFFERENT THAN WHAT IT WAS LAST YEAR, THIS TIME AROUND THEY'RE OFFERING TO SELL US THE WATER. AND SO ONE OF THE THINGS THAT WE THINK IS IMPORTANT IS TO BUILD THE TIMELINE THAT -- AND WE PUT THIS OUT LAST FRIDAY, WE PUBLISHED THIS. PUT IT ON THE WEBSITE SO THE COMMUNITY CAN SEE IT. WE HAD A TIMELINE FOR THE EVANGILINE. WE LOOKED AT WHAT WE CALLED A BEST POSSIBLE TIMING FOR THAT PROJECT. WE ALSO LOOKED AT A MORE LIKELY TIMELINE. AND THE EVANGILINE PROJECT IS INTERESTING BECAUSE ONE OF THE THINGS WE THINK IS A CRITICAL PATH ON THAT IS GETTING TRANSPORT PERMITS. THAT'S BASICALLY WORKING WITH THE GROUNDWATER DISTRICT AND EXPORTING THE WATER ACROSS THE DISTRICT INTO NUECES COUNTY. AND ON THE BEST POSSIBLE TIMELINE, WE'RE ASSUMING SIX MONTHS TO GET THAT PERMIT. THAT'S PRETTY AGGRESSIVE. BUT WE'VE SAID, YOU KNOW WHAT, WE'RE GOING TO GO AT THIS AGGRESSIVE, ASSUME SIX MONTHS, WE'RE GOING TO START ENGINEERING CONCURRENTLY. WE'RE GOING TO DO SOME THINGS THAT WE THINK ARE AGGRESSIVE TO GET THIS PROJECT COMPLETED, AND EVEN WITH THAT AGGRESSIVE TIMELINE, WE'RE TALKING ABOUT JANUARY OF 2029. AND THAT'S VERY AGGRESSIVE. AND IF WE LOOK AT A MORE LIKELY TIME FRAME WHERE WE WOULD ESSENTIALLY GET A PERMIT, A TRANSPORT PERMIT IN 18 MONTHS, WHICH SOME PEOPLE MAY EVEN SAY THAT IS A LITTLE BIT AGGRESSIVE, BUT LET'S ASSUME THAT'S LIKELY, WE'RE LOOKING AT MARCH OF 2030. MARCH OF 2030 FOR THE EVANGILINE. THAT'S FOR 12 MILLION GALLONS A DAY. IF YOU ADD THE 24 GALLONS A DAY, WHICH IS ALSO AN OFFERING ON THAT PROJECT, IT MAY MOVE THE TIME CLOCK OUT A LITTLE BIT BUT THERE ARE SOME THINGS YOU CAN DO WHEN YOU ADD MORE WATER THAT YOU CAN KIND OF SCALE UP AND YOU'RE NOT MOVING THE PROJECT TIMELINE OUT A LOT. AND SO THAT'S WHERE WE'RE AT. NOW, THE OTHER THING THAT I THINK IS IMPORTANT IS WE'VE DONE, I THINK, A GREAT JOB IN TRYING TO IDENTIFY WATER SUPPLIES THAT ARE REAL QUICK FOR US. LIKE THE NUECES RIVER, THE NUECES COUNTY GROUNDWATER PROJECT. AND WE'RE TODAY PUTTING 7 TO 8 MILLION GALLONS A DAY OF GROUNDWATER INTO THE RIVER. IF THE COUNCIL CHOOSES TO USE THAT GROUNDWATER SUPPLY AS A SOURCE OF WATER FOR A FUTURE BRACKISH ARROW PLANT WE CAN DO THAT. SO SIMILARLY, TO WHAT I JUST DESCRIBED WITH THE EVANGILINE, WHERE WE HAD A BEST POSSIBLE TIMELINE AND THE MORE LIKELY TIMELINE, WE DID THE SAME APPROACH FOR THE NUECES RIVER GROUNDWATER SUPPLY PROJECT. WHAT WE'RE LOOKING AT IS IT'S A LITTLE BIT OF IMPROVEMENT OVER THE EVANGILINE, NOT A LOT, SO WE WOULD BE LOOKING AT THE FALL OF 2028. BEST CASE. AND MORE LIKELY CASE WOULD BE DECEMBER OF '29, DECEMBER OF '29. SO I THINK ONE OF THE THINGS I WANT TO JUST REITERATE IS THAT THESE PROJECTS, I DON'T CARE WHAT PROJECT, THEY TAKE TIME TO DEVELOP THEM. IT TAKES TIME TO GO THROUGH THE ENGINEERING PROCESS. IT TAKES TIME TO NEGOTIATE AND GET THESE CONTRACTS SET UP. AND THEN OF COURSE ONE OF THE BIGGEST THINGS IS JUST THE LEAD TIME ON CONSTRUCTION EQUIPMENT. WE'RE SEEING IT ON THIS INNER HARBOR PROJECT, TRANSFORMER, GETTING THE ELECTRICAL EQUIPMENT TAKES A LONG TIME. IT'S GOING TO BE INTENSIVE IN TERMS OF OTHER GROUNDWATER SUPPLY PROJECT BECAUSE WE HAVE TO BRING IN ELECTRICAL EQUIPMENT TO POWER THE WELLS AND PUMPS AND OTHER EQUIPMENT THAT'S REQUIRED TO GET THE WATER TO WHERE IT NEEDS TO GO. SO I SAY THAT, THOSE ARE THE TWO BIG PROJECTS THAT I THINK HAVE, TO ME, THEY HAVE A TON OF VIABILITY. AND THEN OF COURSE I COULD GO DOWN THE LAUNDRY LIST. THERE'S A NUMBER OF OTHER FRO CORRECTS WE'RE LOOKING AT. WE ALL KNOW THE SOUTH TEXAS WATER AUTHORITY PROJECT. WE'VE GOT A CC POLYMERS PROJECT WE'RE LOOKING AT. >> WHAT ABOUT THE REUSE PROJECT? >> THE REUSE PROJECT IS ANOTHER ONE. TALKING ABOUT BRINGING WASTEWATER AFFLUENT FROM LARGER TREATMENT PLANTS AND CONVEYING THAT AFFLUENT TO OTHER LOCATIONS LIKE THE NUECES RIVER OR EVEN DELIVERING SOME OF THAT AFFLUENT TO SOME CUSTOMERS THAT WOULD LIKE THAT AFFLUENT, COULD USE IT. >> IS THERE A TIME TIMELINE ON ? >> THERE'S A PRESENTATION NEXT WEEK. BUT AGAIN, THERE HAS TO BE A PERMIT. ESPECIALLY IF YOU GO TO THE NUECES RIVER WITH AFFLUENT. WE'RE GOING TO HAVE TO HAVE A PERMIT TO DO THAT. AND THEN THERE'S ANOTHER OPTION WHERE YOU COULD DELIVER THE AFFLUENT TO CUSTOMERS MORE THAN LIKELY INDUSTRIAL CUSTOMERS WHO MAY WANT OR NEED SOME OF THAT. AND SO THERE'S COORDINATION THAT'S GOING TO HAVE TO HAPPEN. AND THOSE THINGS TAKE TIME TO DO. >> GOT IT. WE'RE TALKING TO UP THE INNER HARBOR, CC POLYMER, TOO, RIGHT? >> YES. AND THAT WAS -- THAT'S A MORE RECENT DEVELOPMENT. IT'S A PROJECT THAT, YOU KNOW, WE'VE BEEN TALKING TO THEM. WE HAVE SOME HELP LOOKING AT THIS PROJECT. SO -- BUT, AGAIN, THESE PROJECTS TAKE TIME. >> Scott: THANKS. SO HOW MUCH WATER WE'RE HOPING TO GET OUT OF THE NUECES RIVER WITH OUR THREE-YEAR PERMIT? TEMPORARY BID AND BANKS PERMIT. >> THE TEMPORARY BED AND BANK PERMIT WE SECURED A COUPLE WEEKS AGO IS FOR TWO WELL FIELDS WE'RE DEVELOPING, EASTERN WELL FIELD. THAT WELL FIELD IS PERMITTED FOR 16 MILLION GALLONS A DAY. WE ARE LIKELY TO PRODUCE ABOUT 11 FROM THAT WELL FIELD. >> Scott: AND WESTERN? >> THE WESTERN WELL FIELD IS DEVELOPED AS WE SPEAK. WE ARE WORKING ON A PERMIT. WE WOULD HAVE TO GET A SECOND PERMIT TO DISCHARGE THAT WESTERN WELL FIELD INTO THE NUECES RIVER. AND WE'RE LOOKING AT ABOUT 17 MILLION GALLONS A DAY AS A SUSTAINED WATER. WE HAVE HYDRO GEOLOGIST WHO HAS LOOKED AT THE LITTOLOGY AND STRAY TUGFY OF THAT AQUIFER. SO 17 MILLION GALLONS A DAY IS WHAT -- AND WE PUBLISHED THIS ON THE WEBSITE FRIDAY, SO IT'S OUT THERE FOR THE COMMUNITY AND THE PUBLIC TO SEE. AND SO WE BELIEVE THAT THAT IS ANOTHER RAW WATER SUPPLY OF GROUNDWATER THAT COULD BE USED PRODUCTIVELY TO THE RIVER IN THE SHORT TERM AND THEN ULTIMATELY IF WE WANTED TO USE IT AS A LONG-TERM SOLUTION TO BRING IT TO A FUTURE BRACKISH PLANT. >> Scott: AND I APPRECIATE THAT. I MEAN, THERE'S A LOT OF PEOPLE THAT ARE INTERESTED. I WANT TO KNOW WE'RE NOT JUST SITTING AROUND DOING ONE THING. BUT YOU'RE SAITHING AT 28MGD IS WHAT WE THINK WE CAN PRODUCE THROUGH A SORT-TERM PERMIT FOR THREE YEARS. >> CORRECT. ONE THING THAT DOES GET A LITTLE BIT CONFUSING ON THIS, SO THE 11MGD, 11 MILLION GALLONS A DAY ON THE EASTERN WELL FIELD IS A SHORT TERM AND LONG TERM SUPPLY. ON THE WESTERN WELL FIELD, THERE'S A RANGE THERE. WE ARE HYDRO GEOLOGY CONFIRMED 17 MILLION GALLONS A DAY IS A LONG TERM. THERE MAY BE AN ABILITY TO INCREASE THAT. WE'RE STILL WORKING ON THAT NUMBER. AND SO MORE WORK IS YET TO BE DETERMINED ON THAT. >> Scott: USING YOUR TEN PERCENTILE RAINWATER, HOW MUCH DO WE NEED TO GET TO THE FALL OF '28? >> SO THE ANSWER TO THAT QUESTION IS 38 MILLION GALLONS A DAY IS THE KEY. IF WE CAN GET 38 MILLION GALLONS A DAY OF GROUNDWATER INTO THE RIVER, THAT OH ESSENTIALLY BUYS US ENOUGH TIME TO WHERE IF WE HAD A PROJECT LIKE IN A HARBOR, THAT WOULD ALLOW US TO AVOID ANY TYPE OF CURTAILMENT, ASSUMING WE CONTINUE TO HAVE THIS REALLY DIFFICULT DROUGHT THAT IS NOT PRODUCING RAIN AND WE HAVE MARY RHODES PIPELINE THAT CONTINUES TO DELIVER WATER TO US SUCCESSFULLY. >> Scott: WE'RE HEARING TONIGHT AND -- YOU PUT THIS IN YOUR REPORT. 28MGD, WE NEED TO GET TO 38MGD. GET 38MGD IN THE RIVER, THAT TIES US OVER TO THE FALL OF 2028, WHICH WOULD BE, IF WE DO THE INNER HARBOR, THAT'S WHEN WE THINK IT WOULD COME ONLINE BASED ON THE CURRENT KIEWIT PLAN. >> CORRECT. >> Scott: AND WHAT HAPPENS IF WE DON'T USE KIEWIT? WHAT IF WE WANT TO SWITCH TODAY FROM KIEWIT AND -- BRETT, YOU MAY -- IF WE WANT TO GO TO THE NUMBER TWO OR THE NUMBER THREE, I GUESS THERE WERE THREE BIDDERS? THREE QUALIFIED, I DON'T KNOW, WHAT'S THE RIGHT WORD? INTERESTED PARTIES. WHAT IS -- CAN WE SWITCH TODAY AND GET IT ONGOING HERE? WHAT'S THE IMPACT? >> RIGHT. YES. SO THE CONTRACT ALLOWS US TO GO TO THE NUMBER TWO BIDDER. SO THE FIRST PART OF THAT WOULD BE TERMINATION OF KIEWIT'S CONTRACT. KIEWIT HAS AN OBLIGATION TO DELIVER ALL THE FINAL DOCUMENTS TO US WITHIN A CERTAIN TIME FRAME. THE CONTRACT SAYS FIVE DAYS. WE WOULD HAVE TO WORK WITH THEM TO IDENTIFY WHAT WE WANT THEM TO FINISH, WHAT WE DON'T WANT THEM TO FINISH, ET CETERA. AND THEN WE WOULD HAVE TO START WORKING WITH THE NUMBER TWO BIDDER. TAKE THREE TO FOUR MONTHS TO GET THEM, HOPEFULLY NEGOTIATE A CONTRACT. AND GET THEM MOVING FORWARD. AND THEN TO GET THEM BACK TO WHERE WE ARE WHEN WE STOPPED, ALONG WITH THE PROCUREMENT, WE'RE LOOKING ABOUT A YEAR DELAY. >> Scott: OKAY. AND WITH THE COUNCIL VOTE -- IF YOU MOVED TO NUMBER TWO AND YOU PUT A CONTRACT TOGETHER, WOULD WE APPROVE THAT CONTRACT AT SOME POINT? >> YEAH. >> YES, YOU WOULD. >> Scott: LAST QUESTION AND THEN A STATEMENT. WALK US THROUGH WHAT THE WATER DEVELOPMENT BOARD SAID ABOUT THE 212 MILLION OR 235 MILLION, WHAT'S THAT NUMBER THAT IF -- CAN ONLY BE SPENT ON INNER HARBOR? IS THAT WHAT I READ IN THAT LETTER? SOMEBODY WALK US THREE YOU THAT. >> RIGHT. I DON'T KNOW IF YOU WANT TO TAKE IT. >> YES, THAT'S CORRECT. WHAT IT SAYS IS THAT THE MONEY, THE FUNDING IS TIED TO THE PROJECT. SO THE BONDS THAT WERE SOLD WAS FOR THE PURPOSE -- THE APPLICATION WE MADE WAS FOR THE PURPOSE OF THE INNER HARBOR DESAL. THE BONDS WERE SOLD FOR THAT PURPOSE. AND SO THE MONEY IS TIED TO THAT PURPOSE. >> Scott: HOW MUCH DID WE DECIDE THE GROSS NUMBER IS? 212, THERE ARE DIFFERENT NUMBERS IN THE LETTER. >> I THINK IT'S 235, 220 -- THE 25,225,000. >> Scott: I GUESS THOSE IN THE AUDIENCE, THAT HAS TO BE SPENT ON INNER HARBOR, AND WE CAN USE DIFFERENT CONTRACTOR. BY THE WAY, WHEN WE WOULD SWITCH TO NUMBER TWO, IT WOULD BE THE SAME PROCUREMENT PROCESS? >> SO -- YEAH, SO -- WHAT WE WOULD DO IS IT'S A PROGRESSIVE PROCESS. STATE LAW ALLOWS US, SINCE WE ARE NEGOTIATING A DESIGN CONTRACT AT THIS POINT, WE HAVE NOT MOVED INTO THE CONSTRUCTION PHASE, WE CAN END THE CONTRACT NEGOTIATIONS WITH THE NUMBER ONE AND GO TO THE NEXT RANKED FIRM. >> THAT WOULD STILL BE A PROGRESSIVE DESIGN BUILD PROCESS. >> RIGHT. IT'S A NEGOTIATED CONTRACT. >> GO TO NUMBER TWO, WE'RE STILL LOCKED INTO THE PROGRESSIVE DESIGN BUILD. >> CORRECT. BECAUSE IT WAS A PROGRESSIVE DESIGN BUILD PROCUREMENT PROCESS. >> I DON'T THINK ANYBODY KNOWS IT HERE. BUT IN 1993, '95 THERE WERE FIVE PEOPLE, I DON'T KNOW, TEN PEOPLE THAT PUT TOGETHER THE MARY RHODES PIPELINE. ONE OF THE GUYS IS SITTING IN THE BACK TONIGHT. I WAS HOPING HE WAS STILL HERE. GEORGE FINLEY SHARED THE NUECES RIVER AUTHORITY AND HE WAS ONE OF THREE OR FOUR PEOPLE THAT PUT THAT PROJECT TOGETHER THAT PROVIDED THE WATER WE HAVE TODAY. AND I WAS HOPING HE WOULD STILL BE HERE SO WE COULD ALL RECOGNIZE GEORGE BECAUSE THAT WAS A DECISION MADE, YOU KNOW, WHATEVER, 35 YEARS AGO, THAT WE CERTAINLY APPRECIATE TO. I THINK I SAW -- BY THE WAY, I DO THINK, RIGHT, KIEWIT WANTS TO STAY THE JOB. >> THAT'S CORRECT. >> Scott: THAT WAS MY SENSE. THANK YOU, MA'AM. >> Mayor Guajardo: COUNCIL MAN CANTU. >> Cantu: CAN WE DO THREE TIMES ON THIS ITEM? 1.2 BILLION, JUST SAYING. JUST WANT TO MAKE SURE. WE CAN TALK THREE TIMES. FIRST OF ALL, I WANT TO THANK CCPD FOR BEING HERE. THANK YOU GUYS FOR COMING. AND, DREW, THANK YOU FOR YOUR SERVICE MAN. WE'RE GOING TO MISS YOU FOR SURE. I'M REALLY DISAPPOINTED THAT KIEWIT IS NOT HERE TODAY. I KNOW SOMEBODY FROM INGLESIDE IS HERE. BUT THEIR LEADERSHIP TEAM IS NOT HERE. DISAPPOINTING. THIS IS A LOT OF MONEY AND THEY'RE NOT HERE TO ANSWER OUR QUESTIONS. SO JUST WANT TO THROW THAT OUT THERE. WHERE DO I START. OKAY. SO YOU SAID $1.2 BILLION, PAYING AN EXTRA $11 A MONTH. >> DEAFEN .38 DOLLARS. >> Cantu: IS THAT EVERYBODY, RESIDENTIAL? >> AVERAGE RESIDENTIAL, SOMEONE WHO USES 6,000 GALLONS A MONTH, 11.38 PER MONTH. >> Cantu: OKAY. >> AND IF WE APPROVE THIS TODAY FOR $1.2 BILLION, WE BUILD IT TOMORROW, AND FRIDAY IT'S OPERATING. ARE WE STILL IN STAGE THREE? >> DREW, DID YOU -- I'M NOT THE GUY FOR THAT ONE. >> YEAH, I MEAN, THE ANSWER IS TOMORROW WE'RE STILL IN STAGE THREE. >> Cantu: NO, NO, NO. WE VOTE ON IT TODAY, WE SAY YES, TOMORROW WE BUILT IT. FRIDAY IT'S IN OPERATION. ARE WE STILL IN STAGE THREE AND CAN THE PUBLIC WATER THEIR GRASS? >> THE ANSWER WOULD BE, WE WOULD STILL BE IN STAGE THREE. >> Cantu: GOT IT. OKAY. >> BETWEEN NOW AND FRIDAY WE WORK WITH THE STATE TO CHANGE THAT AGREED ORDER. THAT BASES EVERYTHING ON THE WESTERN RESERVOIRS BUT THAT'S SOMETHING COUNCIL AND I ARE TALKING ABOUT. >> FOR COUNCIL MAN EVERETT ROY'S QUESTION EARLIER ABOUT THE $1.2 BILLION, THE QUESTION, COUNCILMAN, YOU ASKED, AND IS TRUE, THEY DID SAY TO US $1.2 BILLION IS WHAT'S IT'S GOING TO COST RIGHT NOW. IT'S NOT GOING TO BE ANY MORE THAN THAT. I HEARD THAT FROM THEIR MOUTHS. WE HAVE A MEETING WITH THEM AND THAT'S WHAT THEY TOLD US. SECOND, I DON'T THINK KIEWIT REALLY WANTS THIS JOB. I DON'T THINK THEY WANT TO DO 60% AND US GIVE THE PLANS TO SOMEONE ELSE AND FIRE THEM. I DON'T THINK THAT'S WHAT THEY WANT US TO DO, BECAUSE SOMETHING I LIKE ABOUT THEM, WHEN SOMEBODY DOES THE PLANS AND BUILDS IT, TWO DIFFERENT PEOPLE, IT'S A BIG HEADACHE, WHATEVER THE CASE IS. BUT I REALLY DON'T THINK, MY OPINION, KIEWIT WANTS TO BUILD THIS PROJECT ANYMORE, BECAUSE IF THEY WANTED TO, THEY WOULD BE HERE TODAY. MY OPINION. I AM FOR DESAL. 110%. I THINK IT'S A NEW WATER SOURCE. I THINK WE NEED IT. I JUST HAVE A HARD TIME OF WHERE IT'S LOCATED AT AND THE PRICE TAG. I THINK IF THE REFINERIES WOULD HAVE STEPPED UP AND SAID, HEY, YOU KNOW WHAT, WE'RE GOING TO HELP YOU PAY FOR THIS, IT WOULD BE A LOT OF HELP TO US BECAUSE WE HAVE LOANS UP TO $757 MILLION BUT WE DON'T HAVE THE REST OF THE MONEY. YOU KNOW? AND HOW ARE WE GOING TO GO AND BUILD SOMETHING AND JUST HAVE HALF THE MONEY? IT DOESN'T MAKE SENSE. IT'S LIKE -- I JUST DON'T UNDERSTAND IT. YOU KNOW, I'VE BEEN ON THE FENCE ON THIS ISSUE OVER THE WEEKEND, I'M THINKING HARD. I HEAR BOTH SIDES. I REALLY DO. AND SOME OF Y'ALL MIGHT NOT LIKE THIS, BUT WE NEED TO PROVIDE THE REFINERY FOR WATER. THEY CAME HERE KNOWING AND ASKING US TO BUILD THE REFINERY AND TO COLLECT THE WATER. WE SAID YES. AND WE NEED TO HONOR THAT. WE NEED TO FIND THEM WATER. WE NEED TO PROVIDE WATER FOR THEM. YOU KNOW? I JUST CAN'T WRAP MY HEAD AROUND 1.2. FROM 220 MILLION TO 757 MILLION AND NOW TO $1.2 BILLION. AND FREESE AND NICHOLS, THEY'RE SUPPOSED TO HAVE OUR BACKS. DIDN'T YOU GUYS SAY AT FIRST $220 MILLION? YOU KNOW, I JUST DON'T UNDERSTAND IT. BUT WHOEVER DECIDED TO GET A DESIGN BUILD, I REALLY THINK THEY SCREWED UP. I MEAN, THEY COULD CHARGE WHAT THEY WANT TO CHARGE, AT 30, 40, 60%. YOU KNOW? BUT I I'LL HOLD MY THOUGHTS FOR MY SECOND ROUND. THANKS. >> Mayor Guajardo: COUNCILMAN. >> IS THAT THE FIRST YEAR? >> THAT'S THE FIRST YEAR. >> AND THE NEXT YEAR IT'S GOING TO GO UP, ROIT? >> YEAH. SO THERE'S SOME ESCALATION THAT HAPPENS OVER TIME. ONE OF THE THINGS I THINK IS IMPORTANT AND WE TALKED A BIT ABOUT THIS AND THE WATER SUPPLY UPDATES THAT WE HAVE, BECAUSE WE'RE TALKING ABOUT SOME OTHER DIFFERENT TYPES OF PROJECTS. SO THERE'S ONE THAT WE HEAR A LITTLE BIT ABOUT P3s, YOU HAVE A TAKE OR PAY. VERY DIFFERENT. THOSE PROJECTS, THE DEBT IS NOT PART OF THE EQUATION THE WAY IT IS ON THIS. BUT THERE ARE SOME EXCHANGES, SO THERE ARE SOME TRADE YOU'VES WHEN YOU DO A TAKE OR PAY. I THINK ONE OF THE THINGS THAT'S IMPORTANT TO NOTE ON A TAKE OR PAY IS THAT YOU'RE PAYING FOR THE WATER. I SAID YOU. WE'RE PAYING FOR THE WATER. WHETHER OR NOT WE TAKE IT OR NOT. AND THE DEBT THAT WE'RE PAYING FOR A TAKE OR PAY, IT'S DEBT FROM SOMEBODY ELSE. SO WE'RE PAYING SOMEBODY ELSE'S DEBT. AND SO OVER 30 YEARS, THE ESCALATION ON THEIR DEBT, WE PAY 100%. SO OVER TIME, THE COST OF WATER FROM A TAKE OR PAY PROJECT OF THAT SORT GOES UP MORE THAN IT WOULD FOR A PROJECT LIKE WHAT WE'RE TALKING ABOUT, WHERE WE'RE TAKING OUT OUR OWN DEBT TO PAY FOR THAT. BECAUSE OUR OWN DEBT DOESN'T ESCALATE IN TERMS OF CPI OVER -- >> >> I: GET THAT BECAUSE WE JUST TALKED ABOUT THIS WASTEWATER BECAUSE OF DEBT. BUT I KNOW IT'S GOING TO GO UP EVERY YEAR. IT'S NOT JUST EVERYBODY KEEPS SAYING IT'S 1138, NO, IT'S MORE THAN THAT BECAUSE IT'S GO GOING TO CONTINUE TO ESCALATE. AND WE KNOW THAT IT'S GOING TO COST $32 MILLION FOR OPERATION AND MAINTENANCE. IF WE GET IN THERE AND THE ELECTRICITY BILL GOES HIGHER, WE'RE GOING TO HAVE TO PAY MORE FOR THAT, TOO. APPRECIATE YOU BEING HONEST. THANK YOU FOR THAT. EVANGILINE, I THINK HE SAID IT WAS GOING TO GO ONLINE 2030, 2030? >> RIGHT. SO ONE OF THE THINGS THAT WE DID WAS WE HAD A THIRD PARTY. I SHOULDN'T SAY THIRD PARTY, WE HAD OUR ENGINEER OF RECORD LOOK AT THE TIMELINE AND BUILD IT OUT. AND SO THE TIMELINE THAT WE'VE SHARED ON FRIDAY IS BASICALLY, WE HAD TWO DIFFERENT TIMELINES. SO THE BEST POSSIBLE TIMELINE THAT WE HAVE IS JANUARY '29. AND THAT'S ASSUMING THAT WE GET A TRANSPORT PERMIT FOR THAT PROJECT IN SIX MONTHS. A MORE LIKELY TIME FRAME, WE THINK SIX MONTHS IS PROBABLY A LITTLE BIT FASTER THAN WHAT IS POSSIBLE. AND SO THE MORE LIKELY TIMELINE THAT WE HAVE IS SPRING OF 2030. >> OKAY. I'M GOING TO DISAGREE WITH YOU A LITTLE BIT HERE. BECAUSE I'VE BEEN IN ALL OF THOSE MEETINGS. I'VE HEARD PATE DAWSON, REPORTS THEY DID. I HEARD HANSON, DIFFERENT ONES. THEY'RE SAYING WE CAN DO IT, IF WE GET EVERYTHING DONE AND GET THE TRANSPORT AND GET ALL THE PAPERS BECAUSE WE'VE BEEN DEALING WITH THIS FOR A LONG TIME, WITHIN SIX TO NINE MONTHS. YOU'VE DONE IT OUT THERE WITH THE WATER WELLS WHERE YOU ARE. Y'ALL PUT THOSE WELLS UP FAST. I KNOW THEY HAVE TO BUILD INFRASTRUCTURE. HEY, I'M AN OIL FIELD PERSON. YOU CAN DO IT IN THAT LENGTH OF TIME. THERE'S NOT A DOUBT IN MY MIND YOU CAN'T DO IT. I THINK YOU CAN. I DISAGREE. I THINK YOU CAN COME ON EARLIER THAN THAT. SIX TO NINE MONTHS AFTER WE GET EVERYTHING DONE IS POSSIBLE. WE'RE GOING TO DISAGREE. AS FAR AS KIEWIT GOES, HAD A MEETING WITH THEM LAST FRIDAY. ERIC AND I DID. AND IN THAT MEETING HE WAS VERY SPECIFIC. IF WE ARE GOING TO CHANGE THE BID AND PUT SOMEONE ELSE IN THERE AT 60%, THEY DON'T WANT TO GO THAT FAR. IF WE'RE GOING TO LET THEM GO, THEY WANT TO GO NOW. AND I UNDERSTAND. THEY'RE A GOOD COMPANY. THEY DON'T WANT TO BE LET GO WHEN YOU GET TO 60%. SO IF THAT'S AN OPTION, I'M JUST TELLING YOU THAT'S WHAT THEY SAID. AND EVERETT, YOU WERE RIGHT. $1.2 BILLION, THAT IS EXACTLY WHAT IT'S GOING TO COST. IT COULD BE MORE, BUT IT'S GOING TO BE 1.2. AND THEY SAID THAT, 1.2. SO BECAUSE I ASKED AND I ASKED, CAN YOU GO DOWN. NO. IT WAS A VERY GOOD MEETING AND I APPRECIATED THEIR HONESTY. I REALLY DID. AND AS FAR AS FREESE AND NICHOLS, SO DISAPPOINTED WITH YOU GUYS. SORRY. YOU'RE VERY SHARP AND I LIKE TO LISTEN TO YOU TALK. BUT 224 MILLION AND WE ADD TEN MORE MAKES SO SENSE THAT IT WENT TO 1.2 -- A WHOPPING $1.2 BILLION. WE WON'T ARGUE IT. WE'RE JUST GOING TO DISAGREE WITH IT. AND I DO BELIEVE THAT WE HAVE TO TAKE CARE OF THE ENERGY WE'VE GOT RIGHT NOW. I DO. I THINK WE OWE THEM THAT. WE SIGNED AGREEMENTS WITH THEM. WE OWE THEM THAT. AND THERE ARE PEOPLE IN LINE, OTHER INDUSTRIES THAT WANT TO COME ONBOARD IF WE GET THAT 30MGD. GUYS, IF WE KEEP DOING THIS, IT'S GOING TO BE A CONTINUOUS FLOW. WE'RE GOING TO BE LOOKING FOR WATER ALL THE TIME FOR THE EXISTING ENERGY -- INDUSTRY THAT WE HAVE RIGHT NOW. THAT'S JUST MY OPINION. THANK YOU. >> Mayor Guajardo: COUNCILWOMAN CAMPOS. >> Campos: THANK YOU, MAYOR. YOU'RE EXACTLY RIGHT, COUNCILWOMAN BOND. WE WILL NEVER CATCH UP. IT'S ALWAYS GOING TO BE THIS KIND OF RAT, YOU KNOW, CHEESE KIND OF THING, GOING ON. FROM THE GET-GO, AS MOST PEOPLE KNOW, AND I WAS NEVER IN SUPPORT OF THIS DESALINATION SIMPLY FOR THE SAME REASON, YOU KNOW. IT'S BEEN -- IT'S BEEN SAID I DON'T KNOW HOW MANY TIMES, FOR I DON'T KNOW HOW MANY YEARS NOW, THAT, YOU KNOW, WE'VE HAD PUBLIC COMMENT THAT I'VE BEEN HERE THAT IT IS THE MOST COSTLIEST, AND WITHOUT -- NOT EVEN 10% AND IT'S GONE UP, LIKE, WHAT, FIVE TIMES? I MEAN, AND IT'S -- THAT'S ONLY AT 10%. SO NO. THAT'S -- THAT'S JUST COMMON SENSE. THAT'S NOT PRACTICAL. BUT I DO WANT TO MENTION SOMETHING THAT COUNCILMAN SCOTT SAID ABOUT MR. FINLEY BECAUSE I DID SEE HIM. AND I JUST HAPPENED TO, YOU KNOW, TEXT HIS WIFE AND I SAID, WHERE DOES GEORGE STAND ON THE INNER HARBOR? AND JUST SO YOU KNOW, HE IS AGAINST IT. SO YOU KNOW, HE WAS, I GUESS, HEADING PIPELINE BACK THEN. BUT EVEN THEN, HE REALIZES THAT THIS IS NOT A GOOD PLAN. SO I APPRECIATE HIS WIFE LETTING US KNOW. AND SHE ALSO WANTED TO SAY WHAT GREAT COMMENTERS, COME HERE VERY OFTEN SO THEY WERE VERY, VERY PLEASED WITH THE COMMENTERS. I ALSO JUST WANT TO MENTION ABOUT THE POLICE. YOU KNOW, WE HAD, YOU KNOW, VERY PASSIONATE PEOPLE HERE. AND I BELIEVE IT WAS -- IT WAS OVER THE TOP. TO ESCORT DR. ISABELLA ISSA AND TALK HER IN. I MEAN, THAT'S WHAT HAPPENED. I MEAN, I BELIEVE IN FREEDOM OF SPEECH. THAT IT MAY NOT BE THE WAY I SPEAK, BUT SOMEONE REMINDED ME HOW WE HAD A PERSON COME IN WITH AN -- I DON'T KNOW, ONE FOOT KNIFE, COME IN THROUGH SECURITY, UP TO HERE WITH HIS KNIFE, AND HE DID NOT GET EVEN ARRESTED. SO I MEAN, THIS IS WHAT YOU CALL DOUBLE STANDARDS. SO, AGAIN, I JUST WANT TO SAY I AM THANKFUL FOR THE POLICE, BUT AGAIN, I THINK THAT SHOULD NOT HAVE HAPPENED. I THINK -- I BELIEVE IN FREEDOM OF SPEECH AND, YEAH, MAYBE, YOU KNOW, HAVE BEEN ESCORTED OUT, THAT HAPPENED TO ME, BUT BUT TO BE ARRESTED WAS UNCALLED FOR. THE OTHER THING I JUST WANT TO SAY IS THAT, FOR ME, THIS PART OF THE INNER HARBOR HAS ALWAYS BEEN JUST, YOU KNOW, A LOT OF PEOPLE FEEL LIKE THEY'VE GOTTEN A LOT OF PRESSURE. I DON'T. I DON'T GET -- YES, I GET THE EMAILS FROM THE PEOPLE SAYING THAT I NEED TO SUPPORT THIS. BUT IT REALLY STARTED WITH JUST JIM AND I BEING THE ONLY VOICES HERE SAYING THAT THIS WAS NOT THE WAY TO GET THE WATER. AND I AM SO, SO GRATEFUL FOR THE VOICES OF COUNCILWOMAN VAUGHN AND THE NEW COUNCILMEMBERS HERE, YOU KNOW, COUNCILMAN PAXSON AND COUNCILMAN CANTU, AND JUST FOR LISTENING AND LOOKING AT THE FACTS. YOU KNOW, THEY MAKE YOUR THINK LIKE YOU'RE CRAZY BECAUSE YOU'RE THE ONLY ONE THAT'S THINKING THIS WAY. BUT FOR ME, IT WAS EASY AND I HOPE THAT THE FACTS HAVE BEEN PRESENTED AND WE HAVE HEARD AND I'M READY TO VOTE AGAINST THIS. SO I'M JUST WAITING FOR THE REST OF MY COUNCILMEMBERS TO SPEAK. BUT EVERYONE KNOWS HOW I FEEL ABOUT THIS. AND I THANK YOU VERY MUCH FOR THE WORK THAT YOU'VE BEEN DOING. AND IT IS VERY DISAPPOINTING TO NOT HAVE KIEWIT HERE. I MEAN, I WOULD HAVE STAYED UNTIL THE END. I MEAN, YOU KNOW. YOU DON'T KNOW WHAT'S GOING TO HAPPEN, BUT, YOU KNOW, WHAT DOES THAT SAY. AND I GUESS THAT'S ALL FOR NOW. >> Mayor Guajardo: COUNCILMAN BARRERA. >> Barrera: WHAT DOES -- I SAW VICTOR BACK THERE, ANYWAY, WHAT DOES DEFEE ANSWER DO TO OUR BOND RATING? >> YOU CAN COME UP. >> Barrera: HE'S COMING. >> MEMBERS OF COUNCIL, THANK YOU FOR HAVING ME HERE THIS EVENING. I ALMOST FORGET MY NAME, IT'S SO LATE. PAST MY BEDTIME. HOPEFULLY I'M NOT SLURRING TOO MUCH. WE HEARD ABOUT DEFEASANCE AND THAT'S OUR FANCY WAY OF PAYING DEBT EARLY. BUT IT'S NOT LIKE AN EASY STEP WHERE YOU'RE JUST GOING TO RETURN THE MONEY. THERE IS A FINANCIAL STRUCTURE AND A LEGAL PROCESS THAT YOU HAVE TO DO. THAT'S A COUNCIL DECISION YOU HAVE TO MAKE AT A LATER TIME. WHEN YOU DO A DEFEASANCE, YOU HAVE TO FULLY FUND THAT ESCROW ACCOUNT. WE TALKED ABOUT $235 MILLION HAD BEEN BORROWED. HOWEVER, THE CITY, TO OUR UNDERSTANDING, HAS SPENT 40 TO $50 MILLION ON THE PROJECT THUS FAR. SO YOU HAVE TO MAKE UP THAT MONEY FROM SOMEWHERE. AND SO USUALLY IT'S GOING TO BE THROUGH YOUR COFFERS, ADDING UP MORE DEBT. BUT I THINK, LET ME JUST STEP BACK HERE REAL QUICK AND SAY THAT IF -- I'M NOT HERE TO SAY YOU SHOULD DO DESAL OR NOT DO DESAL. I JUST GOT HERE. I'VE BEEN LISTENING TO THE MEETING SINCE I WAS DRIVING DOWN. AND ONE THING THAT DID PEAK MY INTEREST WAS THE ACTION ITEM TO NOT APPROVE THE UTILITY RATES? AND I THINK RIGHT NOW THAT'S PROBABLY MORE OF A CONCERN BECAUSE IN 2023 THE COUNCIL DECIDED TO ANNUALLY REVIEW THOSE RATES AND MAKE NECESSARY ADJUSTMENTS IF YOU HAVE CAPITAL EXPENDITURES RELATED TO NOT ONLY DESAL BUT FIND INDIVIDUAL'S WATER SOURCE AND CONSENT DECREE WITH THE EPA. WHEN THOSE DECISIONS ARE NOT MADE OR DELAYED, IT RAISES CONCERNS FOR RATING AGENCY. BEFORE YOU TALK ABOUT WHETHER YOU DO DESAL OR NOT, OR YOU DO A DEFEASANCE OR NOT, I THINK ALREADY THERE'S DECISIONS HAVE BEEN MADE THAT ARE ALERTING RATING AGENCIES AND POTENTIALLY BOND INVESTORS ABOUT IS THE CITY OF CORPUS CHRISTI WORTH INVESTING IN. AND I WAS HERE LAST THURSDAY AND I THOUGHT Y'ALL HAD ENOUGH OF ME ALREADY BUT I'M BACK. I TOLD YOU THEN I'M THE ONLY CONSULTANT HERE THAT HAS A FIDUCIARY RESPONSIBILITY TO YOU UNDER FEDERAL REGULATION. AND PART OF THAT IS I HAVE TO TELL YOU THINGS LIKE THAT, THAT THE INACTION OR ACTION THAT YOU TAKE HAS AN IMPACT TO THE SYSTEM. THE UTILITY SYSTEM IS CAPITAL INTENSE TENSIVE, MEANING YOU SPEND CAPITAL TO SUPPORT YOUR INFRASTRUCTURE TO CONTINUE PROVIDING THAT ESSENTIAL SERVICE. SO WITH ALL THAT SAID, YOU KNOW, A DEFEASANCE, IF YOU CANCEL THE PROJECT, THESE ARE PROJECTS AND CAPITAL EXPENDITURES THAT THE RATING AGENCIES ARE AWARE OF AND BEEN MADE AWARE OF SINCE 2023 AT THE TIME WE SAID WE WERE GOING TO REVIEW RATES EACH YEAR AND MAKE THE NECESSARY ADJUSTMENTS. AND SO WHEN YOU'RE NOT ACTUALLY DOING THAT, BEFORE IT WAS EVERY OTHER YEAR ON A NONELECTION YEAR. AND BUT NOW IT'S REV EVERY YEAR SO THE HARD DECISIONS HAVE TO BE MADE. SO THAT WAS A CREDIT POSITIVE FROM THE RATING AGENCY. ALSO KNOW YOU'RE LOOKING FOR AN ADDITIONAL WATER SOURCE. AT THE TIME WE WERE DISCUSSING THIS IT WAS THE INNER HARBOR DESALINATION PROJECT. WHETHER YOU CHANGE THAT, THAT'S YOUR DECISION. I'M NOT HERE TO OPINE ON THAT. THE OTHER THING THE RATING AGENCY SAID IS THAT WHEN THEY LOOK AT THIS, THEY LOOK AT IT COMPREHENSIVELY. NOT JUST A MATTER HOW MUCH DEBT THE SYSTEM HAS BUT A MATTER CAN OUR CUSTOMERS CONTINUE TO AFFORD THE RATE INCREASES TO SUPPORT THE CAPITAL EXPENDITURE AND PROVIDE THAT SERVICE TO THEM. THE RATING AGENCIES, FAMILIARLY FITCH RATING AGENCY IS ONE OF THE RATING AGENCY WE USE, INDEPENDENT BODY, AND THROUGHOUT THE YEARS, EVEN THOUGH THEY KNOW YOU HAVE HEAVY CAPITAL EXPENDITURES COMING UP IN THE NEXT FIVE YEARS THEY STILL VIEW THE RATE STRUCTURE AND POTENTIAL INCREASE IN THE RATE STRUCTURE ON YOUR CUSTOMERS AS STILL AFFORDABLE FOR THE VAST MAJORITY OF YOUR POPULATION. AND SO, YOU KNOW, I KNOW THERE'S A LOT OF NUMBERS THROWN OUT THERE. BUT I'LL JUST SAY THAT I THINK IF YOU CANCEL THE PROJECT, I CANNOT DEFINITIVELY TELL YOU IF IT'S GOING TO DECREASE OR INCREASE, BUT I CAN TELL YOU THAT LIKELY IT'S GOING TO BE A NEGATIVE VIEW FROM THE RATING AGENCIES IF YOU DECIDE TO NOT DO ANYTHING. AGAIN, I'M NOT IN A POSITION TO TELL YOU IT'S GOING TO AUTOMATICALLY RESULT IN A RATE REDUCTION BUT IT'S PROBABLY NOT POSITIVE NEWS THAT THEY'RE GOING TO BE RECEIVING. >> OKAY. THANK YOU. I APPRECIATE THAT. YOU'RE DANCING AGAIN BUT YOU STILL LANDED THE PLANE. >> LONG STORY SHORT, I CAN'T TELL YOU IF YOU'RE GOING TO GET A RATING DECREASE BUT BASED ON 25 YEARS EXPERIENCE AND DISCUSSIONS WE'VE HAD WITH THE RATING AGENCIES AND WHAT THEY WROTE UP ABOUT CORPUS CHRISTI, THEY RECOGNIZE THE CAPITAL EXPENDITURES IS COMING UP, YOU STILL NEED TO PROVIDE THAT SERVICE WHETHER IT'S THIS ROUTE OR ANOTHER ROUTE. THEY'RE GIVING YOU CREDIT FOR THAT BECAUSE YOU'RE BEING PROACTIVE AND FINDING AN ADDITIONAL WATER SOURCE. I SAY THAT BECAUSE IF YOU TELL THEM THAT'S OFF THE TABLE, THEY'RE GOING TO LOOK SOMEWHERE ELSE, IT MIGHT TAKE LONGER, I DON'T THINK THEY'RE GOING TO VIEW THAT AS A CREDIT POSITIVE FOR THE CITY OF CORPUS CHRISTI. >> Barrera: AND, ALSO, WITH THE -- WITH RESPECT TO, YOU KNOW, THE NUMBERS GET THROWN AROUND, 50%, 80%, DOES THAT PROVIDE STABILITY THAT A MAJORITY OR GOD PORTION OF THE WATER IS USED BY INDUSTRY, LARGE RATE PAYERS? >> WHEN THEY LOOK AT YOU THEY LOOK AT THE WHOLE SYSTEM. YOU PROVIDE THE SERVICE, REGIONAL BASIS TO 500,000 PEOPLE THAT YOU TOUCH THROUGH THE WATER SYSTEM. AND SO THEY RECOGNIZE THAT YOUR HAVE THESE INDUSTRIAL CONCERNS AND RELY ON THAT WATER. SO BECAUSE YOU'RE THE ONLY GAME IN TOWN IN THE REGION, PER SE, ESSENTIALLY A MONOPOLY IN THIS FIELD. SO THEY RELY ON YOU FOR THOSE SERVICES. THAT'S VIEWED BY THE CREDIT RATING AGENCIES BECAUSE YOU DON'T HAVE COMPETITION FROM OTHER COMPETITORS OUT THERE AS A CREDIT POSITIVE. SO THE FACT THAT YOU HAVE THESE CONTRACTS OR LONG-TERM CONTRACTS TO PROVIDE THATTER VIS IS ALREADY VIEWED AS CREDIT POSITIVE BECAUSE THE RATING AGENCIES AND THE BOND INVESTORS VIEW THAT AS STABILITY IN THAT YOU'RE GOING TO CONTINUE GETTING THOSE REVENUES FOR THE SERVICES THAT YOU'RE PROVIDING. SO THEY DO LIKE TO SEE THAT STABILITY. >> Barrera: EXCELLENT. I APPRECIATE THAT. THANK YOU. THANK YOU, RICHARD. OKAY. YOU CAN SIT DOWN. DON'T GO TOO FAR AWAY THOUGH. SO, DREW, LET'S ASSUME WE GO INTO CURTAILMENT BY 20%. THAT'S ABOUT, WHAT, >> Molly: THAT'S PROBABLY ABOUT RIGHT, COUNCILMAN. I MEAN, YOU KNOW, ESSENTIALLY CURTAILMENT WOULD BE SOMETHING -- FIRST OFF WE WOULD HAVE -- COUNCIL WOULD HAVE TO APPROVE THIS BUT THERE WOULD BE A SURCHARGE THAT WOULD BE APPLIED TO EVERYBODY. AND THEN LEVEL ONE WATER EMERGENCY, EVERYBODY IS TREATED EQUAL. SO THAT'S RESIDENTS, COMMERCIAL, BUSINESSES LARGE-VOLUME INDUSTRY. >> Barrera: I GUESS THE THING I'M GETTING TO IS IT COSTS -- OKAY. THIS IS BASED ON 120 MILLION GALLONS A DAY, RIGHT? THIS IS WHAT WE USE. SO AT 95 MILLION GALLONS A DAY WHEN WE GET TO CURTAILMENT, DOES IT STILL COST THE SAME TO RUN THE FACILITY? >> Molly: IT'S THE SAME COST. >> Barrera: SO -- >> Molly: I SAY THE SAME COST. THERE WOULD BE LESS CHEMICALS, LESS ELECTRICITY BUT GENERALLY YOUR FIXED COSTS ARE FIXED. SO YOU WOULD HAVE A LITTLE BIT OF A REDUCTION IN COSTS. >> Barrera: SO I KNOW ONE HIGH-VOLUME USER USES ABOUT 9 MILLION GALLONS A DAY. I KNOW ONE USES 11 MILLION GALLONS A DAY. THAT'S COMBINED, THAT'S 20 MGD ALREADY. SO IF THEY DROP DOWN 25%, SO THAT'S 5 MILLION GALLONS A DAY JUST FROM TWO VENDORS OF WHICH WE WOULD LOSE THAT REVENUE. >> Molly: CORRECT. >> Barrera: AND THAT WOULD BE -- WOULD THAT CAUSE US THE FOLLOWING YEAR TO RAISE OUR RATES PETER? >> Zanoni: WE WOULD NEED MORE REVENUE SOMEHOW, COUNCILMAN. BUT THE SURCHARGE WOULD GENERATE MORE REVENUE. SO IT WOULD BE THE SURCHARGE -- BASICALLY THE COST OF WATER WOULD GO UP TO OUR CUSTOMER CLASSIFICATIONS. WHILE WE'RE SELLING LESS, WE'RE GETTING MORE REVENUE BECAUSE THE PER-UNIT COST HAS INCREASED. >> Molly: CORRECT. >> Barrera: IF WE CURTAIL, THEN IT'S BASICALLY THE SAME COST. I'M NOT TRYING TO SENSATIONALIZE, SCARE TACTICS, WHATEVER. I'M JUST TRYING TO UNDERSTAND THE SYSTEM. EVEN IF WE CURTAIL, THE COST TO RUN THE SYSTEM IS BASICALLY THE SAME SO THEN THE COST WOULD GO UP TO THE RATEPAYER. RESIDENTIAL AND COMMERCIAL. >> Molly: ONE OF THE TOUGH THINGS ABOUT THAT -- AND YOU JUST SAID IT. AS WE START TO CONSERVE AND FOLKS HAVE BEEN DOING A NICE JOB ON THAT. WE STILL HAVE THE SAME COSTS TO RUN THE SYSTEM. SO AS WE CONSERVE, WATER BILLS WILL GO UP BECAUSE WE STILL HAVE THE SAME COST THAT WE HAVE TO SPEND TO MAINTAIN AND OPERATE THE SYSTEM. >> Barrera: OKAY. SO 70 MGD MARY RHODES. SO WE NEED TO FIND ANOTHER 50. >> Molly: CORRECT. >> Barrera: OF WHICH 27 WOULD BE NUECES, RIGHT? BUT THAT WOULD BE A TWO TO THREE-YEAR LEAD TIME? >> Molly: SO FOR THE NUECES RIVER PROJECT, ONE OF THE THINGS THAT'S ADVANTAGEOUS ABOUT THAT IS THAT WE CAN PUT THAT WATER, AT LEAST INITIALLY, IN PHASE 1 INTO THE RIVER SO IT WOULDN'T REQUIRE THE TREATMENT ASPECT. SO THAT IS WHAT WE CONSIDER A SHORT-TERM SUPPLY FOR OUR WATER SITUATION. >> Barrera: I GUESS WHAT I'M GETTING TO -- AND I DON'T MEAN TO ASK YOU LEADING QUESTIONS -- IS WHAT'S GOING TO PREVENT US FROM CURTAILMENT. WHETHER IT BE EVANGELINE -- I'M NOT BULLISH ABOUT SOUTH TEXAS WATER AUTHORITY. I TALKED TO CHARLIE THE OTHER DAY. I TALKED TO JOHN MARES. WE WERE CRYING SATURDAY ON A COLLEGE FOOTBALL DAY AND BASICALLY, YOU KNOW, HE WAS INDICATING THAT THERE'S A STEP BACK. THEY'RE LOOKING AT HOW THEY'RE GOING TO DO DEEP WELL INJECTION. THEY'RE REVIEWING THE COST. WE DON'T KNOW WHAT THAT COST IS. I'M WONDERING HOW DO WE GET TO TRY AND MINIMIZE CURTAILMENT SO THAT WAY THE RATES DON'T SKYROCKET FOR OUR RESIDENTIAL RATEPAYERS AND WE DON'T HAVE OUR INDUSTRY PARTNERS POWERING DOWN ON THEIR FACILITY? I GOT A MINUTE -- I GOT A LOT OF TIME. OKAY. SO WHAT -- LET'S SAY, FOR EXAMPLE, THERE'S BEEN THIS TALK ABOUT CHANGING CONTRACTORS. SO WHAT HAPPENS TO THE MONEY THAT WE'VE ALREADY SPENT WITH KIEWIT? > >> SO IT WOULD BE THE MONEY WE SPENT WITH KIEWIT AND FREESE AND NICHOLS. ALL THAT WOULD BE SOME COST. IF WE GO TO THE NO. 2 BIDDER, ALL THE MONEY WE SPENT TO DATE WITH THEM WE WOULD END UP HAVING TO REDO THAT WORK WITH THE NO. 2 SO WE WOULD HAVE ROUGHLY $50 MILLION OF SPENT MONEY THAT WE WOULD END UP HAVING TO SPEND AGAIN. >> Barrera: AND YOU SAID THAT THAT WOULD DELAY THE PROJECT ANOTHER YEAR? >> WE ARE ESTIMATING ABOUT A YEAR BETWEEN NEGOTIATION, GETTING THE NEW CONTRACTOR ON BOARD, AND THEN REDOING PHASE 1A AND GETTING BACK TO THIS POINT IN PHASE 1B WHERE WE ARE CURRENTLY. >> Barrera: OKAY. ONE OF THE REASONS THAT, YOU KNOW, I SUPPORTED THIS PROGRESSIVE DESIGN-BUILD IS BECAUSE OF ALL THE AMOUNT OF EYES AND THE LEVEL OF TRANSPARENCY. BECAUSE WE HAVE OBVIOUSLY KIEWIT. WE'RE GOING TO HAVE THE INDEPENDENT CONTRACT ESTIMATOR. WE'RE GOING TO HAVE -- NOW WE'RE GOING TO HAVE INDUSTRY PARTNERS. DID KIEWIT FACILITATE THE BUILDING OF EXXON? >> AS I UNDERSTAND IT, COUNCILMAN, THEY WERE A BIG PART OF THE BUILDOUT OF THE GCGV FACILITY IN McGREGOR. >> Barrera: THEY HAVE THAT RELATIONSHIP IF THEY WERE TO LOOK AT IT. IN ADDITION, WE'VE GOT YOU GUYS, KIEWIT, INDEPENDENT COST ESTIMATOR, IN ADDITION TO THE -- OUR INDUSTRY PARTNERS. >> CORRECT. >> Barrera: THAT'S ALL I HAVE FOR THE MOMENT. I'M GOING TO COME BACK. I HAVE TWO OTHER TIMES. >> Mayor Guajardo: COUNCILWOMAN VAUGHN. >> Vaughn: OKAY. HOW MUCH INTEREST ARE WE GETTING ON THE MONEY THAT WE HAVE LEFT ON THE LOAN? EITHER ONE OF Y'ALL WILL DO ON THIS ONE. HOW MUCH INTEREST DID WE PAY FOR THE LOAN AND HOW MUCH ARE WE MAKING ON WHAT MONEY WE HAVE LEFT? OH, HEATHER'S HERE. >> GOOD EVENING. HEATHER HURLBERT, ASSISTANT CITY MANAGER. SO OUR -- THE RATE ON THE LOAN IS BETWEEN -- A LITTLE OVER 3%. I'M SORRY. I DON'T KNOW OFF THE TOP OF MY HEAD. AND THEN ON OUR INVESTMENT, IT DEPENDS ON WHICH INVESTMENTS WE HAVE IT IN. WE ARE PROBABLY MAKING, IF NOT A LITTLE TO A BIT MORE ON THAT. BUT WE ARE ONLY ABLE TO -- YOU START RUNNING INTO ARBITRAGE. YOU CAN'T MAKE MORE ON THAT MONEY THAN WHAT WE ARE ACTUALLY PAYING IN INTEREST. >> Vaughn: OKAY. >> AND SO IF WE DO MAKE MORE THAN THAT, WE ACTUALLY HAVE TO WRITE A CHECK TO THE I.R.S. DOLLAR FOR DOLLAR FOR ANYTHING WE MADE OVER AND ABOVE THAT. THAT'S USUALLY ONLY FOR THE FIRST COUPLE OF YEARS, IF WE'RE LOOKING AT IT LONG-TERM, THERE ARE INSTRUMENTS WE COULD INVEST IN IT THAT WOULD NOT MAKE THE SAME AMOUNT THAT WE'RE PAYING IN INTEREST. >> Vaughn: I WAS JUST CURIOUS. I PROBABLY NEED TO ASK VICTOR -- WHERE'S HE AT? ARE YOU SHARP RIGHT NOW? YOU KNOW WHERE YOU'RE AT? JUST MAKING SURE. OKAY. WE DON'T HAVE THE MONEY TO DO THE DESAL. SO WE LACK PROBABLY -- I DON'T KNOW WHAT THE AMOUNT IS. AROUND $500 MILLION LEFT THAT WE DON'T HAVE. ANY SUGGESTIONS? >> THAT'S A TOUGH QUESTION. >> Vaughn: YOU CAN'T GO DOING SOMETHING WITH A MAYBE. >> NO, THAT'S EXACTLY RIGHT. WHAT HAPPENED INITIALLY WHEN THE -- AND THIS PRECEDED ME BECAUSE I WAS ENGAGED WITH THE CITY TWO YEARS AGO. SO THE DESAL WAS ALREADY UP AND RUNNING AND GOING THROUGH THE WATER BOARD. INITIALLY WHEN IT WAS AT A LOWER COST, THAT WAS APPROVED AND THEN WHEN THE COST INCREASED, THAT WAS APPROVED IN A SEPARATE ROUND FROM THE TEXAS WATER DEVELOPMENT BOARD FOR ADDITIONAL FUNDING. I SUSPECT THAT YOUR ENGINEERS AND YOUR STAFF WOULD SAY WE NEED TO ASK THE TEXAS WATER DEVELOPMENT BOARD FOR ADDITIONAL LOANS AND/OR GRANTS TO HELP SUPPORT THE COMPLETION OF THIS PROJECT. AND JUST TO PUT IT IN PERSPECTIVE HERE, MS. HOL BURT WAS CORRECT. THEY RECEIVED AN INTEREST RATE OF 3.4%. WE RECEIVED UPDATED RATES TODAY FROM THE TEXAS WATER DEVELOPMENT BOARD AND WE RAN THOSE. WATER RATES HAVE RISEN A LITTLE BIT SINCE THAT TIME. RIGHT NOW, FOR AN ADDITIONAL LOAN THAT WE'RE CONTEMPLATING ON THE NEXT AGENDA ITEM, IF YOU GET THERE, IS A FIXED INTEREST RATE OF 4.1%. IF WE WERE TO GO BY OURSELVES AND BORROW THIS MONEY WITHOUT SELLING IT AT A SUBSIDIZED INTEREST RATE TO THE TEXAS WATER DEVELOPMENT BOARD, WE LIKELY -- NOT LIKELY -- WE WOULDN'T GET A 4.1% INTEREST RATE OVER THREE YEARS. WE'RE PROBABLY LOOKING AT 70 BASIS POINTS HIGHER, WHICH IS 4.8. WHICH MAY NOT SOUND LIKE A LOT BUT WHEN YOU'RE LOOKING AT $210 MILLION OVER 30 YEARS, THAT INTEREST COST DIFFERENCE THAT THE STATE IS SUBSIDIZING, IT'S ABOUT $32 MILLION OVER THE LIFE OF THE LOAN. THOSE ARE JUST SOME OF THE FACTORS WE HAVE TO CONSIDER. I WOULD SUSPECT THAT YOUR STAFF AND THE ENGINEERS WOULD SAY LET'S GO BACK TO THE WATER BOARD AND ASK FOR ADDITIONAL. >> Vaughn: I FIGURED THAT. I WAS HOPING YOU HAD SOMETHING BETTER THAN THAT. WE'RE NOT ASSURED WE'RE GOING TO GET THAT. THERE'S GOING TO BE A LOT OF PEOPLE COMPETING FOR IT SO WE DON'T KNOW. >> YES. I CAN'T SPEAK FOR THEM. >> Vaughn: I WANT TO UNDERSTAND THE $220 MILLION. SO YOU CANNOT PAY IT OFF EARLY? >> SO WHAT IS TYPICAL WITH MUNICIPAL BONDS, WHEN WE'RE SELLING LONG-TERM DEBT LIKE THIS, THIS IS A 30-YEAR LOAN. IT'S THE SAME AS A MORTGAGE IN THAT WE OWE THIS DEBT BACK. HOWEVER, IT'S DIFFERENT BECAUSE AS A MUNICIPAL ENTITY, WE GET THE BENEFIT OF ISSUING WHAT WE CALL TAX EXEMPT BONDS. IF I WAS TO GO AND GET A MORTGAGE, A 30-YEAR MORTGAGE -- I THINK I READ TODAY IT'S ABOUT 6.5% INTEREST RATE. I JUST TOLD YOU THAT YOUR 30-YEAR 210 MILLION-DOLLAR LOAN IS PROBABLY AT A 4.1% INTEREST RATE. THAT'S THE BENEFIT OF THE TAX EXEMPTION AND THE STATE IS SUBSIDIZING SOME OF THAT AS WELL. SO THE FEDERAL GOVERNMENT DOES NOT LIKE TAX-EXEMPT BONDS AND THEY DON'T LIKE MUNICIPALITIES ISSUING THAT. THEY DON'T LIKE THAT BECAUSE WHOEVER BUYS THESE BONDS, THEY'RE GOING TO GET FEDERAL TAX-FREE INCOME ON THAT INVESTMENT THAT THEY MADE. SO THEY DON'T HAVE TO PAY FEDERAL TAXES. BECAUSE OF THAT THE I.R.S. DOES NOT LIKE TAX-EXEMPT BONDS AND WHENEVER THEY'RE WRITING THESE FORMS, THERE'S A CONCERN THEY'RE GOING TO TAKE THAT AWAY BECAUSE IN THE I.R.S. OR FEDERAL GOVERNMENT'S EYES THAT'S LOST REVENUE THAT SHOULD GO TO THEIR COFFERS. IT'S A HIGHLY-REGULATED MUNICIPAL SECURITY AND SO WHAT'S TRADITIONAL WITH THESE TYPES OF INVESTORS IS IF YOU'RE GOING TO ISSUE A 30-YEAR BOND, WHAT IS COMMON TO GET THE BEST CELEBRATE ON THAT LONG-TERM FINANCING, IS THAT THE FIRST TEN YEARS ARE NON-CALLABLE. MEANING WE CANNOT TOUCH THOSE BONDS IN THE FIRST TEN YEARS. AFTER THAT WOULD BE THE CALL DATE AND AFTER THAT YOU COULD PAY OFF BONDS WITHOUT ANY TYPE OF PENALTY, WITHOUT HAVING TO SET UP AN ESCROW AGREEMENT, LIKE YOU WOULD HAVE TO WITH A DEFEASANCE IF YOU'RE TRYING TO CALL THOSE BONDS BEFORE THAT CALL DATE. IT IS VERY COMMON FOR THE FIRST TEN YEARS FOR ALL MUNICIPAL BONDS, NOT JUST THE TEXAS WATER DEVELOPMENT BOARD, FOR THEM TO BE NON-CALLABLE DURING THAT PERIOD. >> Vaughn: SO YOU WOULDN'T HAVE TO PAY THEM BUT YOU WOULD HAVE TO PAY THE INTEREST EVERY YEAR. >> YES, MA'AM. >> Vaughn: SOMEBODY IS MAKING SOME MONEY OFF THIS INTEREST. YOU'RE SAYING THE GOVERNMENT IS GIVING IT TO US BLAH, BLAH, BLAH. NO, THEY'RE MAKING MONEY OFF THIS INTEREST. YOU'RE GOING TO HAVE TO PAY IT. YOU'RE GOING TO PAY OFF AT THE END OF TEN YEARS BUT THAT TEN YEARS YOU'RE GOING TO PAY THE INTEREST. >> WE WOULD OWE THE WATER BOARD AND THE WATER BOARD SOLD THOSE BONDS TO MUNICIPAL INVESTORS. SO THE BOND INVESTOR IS NOT THE TEXAS WATER DEVELOPMENT BOARD. IT'S INVESTORS OUT THERE IN THE COUNTRY. BECAUSE THE BOND AGREEMENTS -- AND THAT'S THE STANDARD FEATURE OF THE FIRST TEN YEARS OF NOT CALLABLE. WHETHER YOU DECIDE TO MOVE FORWARD, YOU STILL OWE THE PRINCIPAL AND INTEREST. >> Vaughn: WE'LL PAY IT EVERY YEAR. >> IT GETS REALLY COMPLICATED WHEN YOU TALK ABOUT DEFEASANCES AND ESCROW AND EVERYTHING LIKE THAT. SO THE BOND ATTORNEY IS HERE TO HELP ME OUT, IF NECESSARY. >> Vaughn: THAT'S A CONCERN. THANK YOU. >> Barrera: PETER, YOU HAD INDICATED THIS BEFORE. FOR ANY OF THESE OTHER PROJECTS, I MEAN WHETHER EVANGELINE BE -- IT'S $170 MILLION TO BEGIN WITH. OR 169 -- >> Zanoni: 169 FOR THE WATER RIGHTS. >> Barrera: AND THEN FOR ANY OTHER INFRASTRUCTURE. I HAVE HEARD ANYWHERE FROM 200 TO $600 MILLION. >> Zanoni: RIGHT. >> Barrera: THAT'S NOT A TEXAS WATER DEVELOPMENT BOARD PROJECT. WE CAN'T UTILIZE THESE FUNDS SO WE'RE GOING TO ISSUE REVENUE BONDS? >> Zanoni: RIGHT. >> Barrera: AT THE 4.8%? >> Zanoni: CORRECT. THAT'S THE TEXAS WATER DEVELOPMENT BOARD RATE SO OUR RATE -- >> Barrera: HE SAID IT WAS SEVEN BASIS POINTS. >> Zanoni: 4.8% IF WE ISSUED IT TODAY. >> Barrera: 4.8. THAT'S THE RESOURCE WE HAVE -- LET'S SAY, FOR EXAMPLE, ON THE BRACKISH WATER RO FOR THE NUECES COUNTY RIVER WELLS -- >> Zanoni: EXCEPT FOR THE GRANT YES. WHATEVER THE GRANT DOESN'T COVER. >> Barrera: $30 MILLION. BUT THE DIFFERENCE IS GOING TO BE FINANCED THROUGH REVENUE BONDS. >> Zanoni: CORRECT. FUNDED THROUGH THE UTILITY, THROUGH THE RATE PAYMENTS. >> Barrera: EVANGELINE -- THE ONLY OTHER OPTION IS IF WE DO THE SOUTH TEXAS WATER AUTHORITY. THEY HAVE TO FIGURE IT OUT. IT'S A TAKE OR PAY CONTRACT AND THERE'S A CPI SET FOR THE WHOLE ENTIRE 30 YEARS. >> Zanoni: THAT WOULD BE PAID FOR WITH THE RATES AS WELL. >> Barrera: SO THAT'S GOING TO BE PAID FOR WITH THE RATES. THE DIFFERENCE BETWEEN 750 AND 1.2, REGARDLESS OF THE SITUATION, WE'RE GOING TO ISSUE REVENUE BONDS IF WE AREN'T ABLE TO GET FUNDING. >> Zanoni: CORRECT. IF WE CAN'T GET ANY GRANT FUNDING OR ANY FUNDING FROM INDUSTRY, THAT TYPE OF THING. WE WOULD ISSUE REVENUE BONDS. >> Barrera: WHICH WE WOULD DO ANYWAY FOR THE NUECES RIVER WELL PROJECT OR EVANGELINE. THERE IS A SOURCE TO BE ABLE TO FIND THE FUNDS TO BE ABLE TO DO THAT. I WANT TO MAKE THAT CLEAR. >> Molly: AS WE'RE TRYING TO HAVE AS MUCH FLEXIBILITY AS WE CAN. WE DID PUT THE NUECES RIVER, THE EVANGELINE, THEY'RE IN THE SWIFT PROGRAM. SO WE WOULD HAVE TO GO THROUGH A PROCESS TO APPLY TO BE -- TO HOPEFULLY GET THAT KIND OF FUNDING. IT'S NOT A GUARANTEE BUT THE GOOD NEWS IS THAT WE WOULD BE ABLE TO APPLY FOR IT BECAUSE WE'RE IN THE REGION PLAN. >> Barrera: I'M RELUCTANT -- AND THIS IS JUST MY SPECULATION. THERE'S ALL THIS IF I WAS KIEWIT I WOULDN'T WANT TO DO THIS. BUT IT'S MY SPECULATION PERSONALLY. I WONDER HOW ENTHUSIASTIC THE TEXAS WATER DEVELOPMENT BOARD WOULD BE TO GO THROUGH THAT PROCESS AGAIN TO BE ABLE TO SET ASIDE FUNDS WHEN THERE'S OTHER COMPETITOR PROJECTS WHEN WE'RE GOING TO DEFEASE ON THIS ONE. THAT'S MY UNQUALIFIED OPINION. THAT'S ALL I HAVE, MAYOR. >> Mayor Guajardo: FIRST OF ALL, JUST QUICKLY, PETER, YOU BROUGHT UP HAVING A CONVERSATION REGARDING HOW WE -- OUR DROUGHT RESTRICTIONS WERE DETERMINED. I THINK THAT'S A CONVERSATION WE HAD HAD A YEAR AGO. ACTUALLY NEXT WEEK A YEAR AGO ABOUT HOW IF IT WAS REGULATORY OR IF IT NEEDED A LEGISLATIVE FIX. I'M GLAD YOU BROUGHT THAT UP BECAUSE IT'S SOMETHING THAT WE HAD BROUGHT UP, AGAIN, A YEAR AGO. SO IT WOULD BE NICE IF YOU GAVE US A LITTLE UPDATE -- THE WHOLE COUNCIL -- ON THAT. THAT'S EXTREMELY IMPORTANT BECAUSE I RECALL THAT THAT WASN'T INCLUSIVE. YOU HAVE TO GO TO THE AGREEMENT. IS THAT RIGHT? >> Zanoni: YEAH. WHEN WE BUILT THE CHOKE CANYON DAM, WE ENTERED INTO THIS CONSENT DECREE -- THE AGREED ORDER. BASICALLY WHAT THAT SAYS IS IF WE CAN'T RELEASE WATER INTO THE BAYS AND ESTUARIES BECAUSE IT'S NOT ENOUGH TO RELEASE, THE STATE IS SAYING YOU HAVE TO CUT BACK ON WATER USE ON THINGS LIKE IRRIGATION. SO EVERYTHING'S BASED ON THE WESTERN RESERVOIRS, ON OUR DROUGHT CONTINGENCY IN TERMS OF THE STAGES OF RESTRICTION. THAT LANGUAGE IS IN THE AGREED ORDER. I SAW IT MYSELF LAST WEEK, WORKING WITH COUNCILWOMAN PAXSON. SO WHAT WE NEED TO DO IS BRING THAT BACK TO CITY COUNCIL TO SEE DO WE WANT TO REOPEN THIS WITH THE STATE AND CHANGE THESE TRIGGER POINTS BASED ON ALL WATER SOURCES, LIKE WE HAVE IN OUR DASHBOARD THAT WE CREATED. SO WE KNOW TODAY MORE THAN 70% OF OUR WATER IS COMING FROM THE EAST. YET THAT'S NOT INCLUDED IN THE STAGES OF RESTRICTION. SO THAT AGREED ORDER IS A LONG STANDING DOCUMENT. WHAT THE TEAM HAS TOLD ME IF YOU OPEN IT IT COULD BE A SLIPPERY SLOPE AND NOW WE NEED TO GET ADVICE ON IF IT'S TIME TO REEVALUATE IT. >> Mayor Guajardo: IT IS. WE TALKED ABOUT IT A LONG TIME AGO. >> Zanoni: THAT WILL BE SOMETHING ONCE CAPACITY IS AVAILABLE IN TIME, WE'LL BRING THAT FORWARD AND MAYBE HIRE A CONSULTANT TO HELP US WITH THAT. >> Mayor Guajardo: GREAT. THANK YOU. SO I GUESS I'M GOING TO -- YOU KNOW, I FEEL LIKE WE'RE KIND OF DANCING AROUND THIS CONVERSATION, WHICH IS -- I GUESS THERE'S PEOPLE ON THE DAIS WHO WANT TO CHANGE -- WE HAVE HEARD CHANGE CONTRACTORS, IF THAT IS CORRECT. THAT'S WHAT WE'VE BEEN TALKING ABOUT IS HOW DOES THIS WORK AND WHAT HAPPENS IF WE DID THIS OR THAT. AND JUST TO KIND OF CUT TO THE CHASE, IT'S 10:45. WHAT IS IT THAT THE COUNCIL WANTS TO -- HOW DO WE WANT TO MOVE FORWARD? BECAUSE I THINK ONE OF THE BIGGEST CONCERNS IS, YOU KNOW, THE MONIES THAT WE HAVE. WE HAVE $180 MILLION SITTING IN ESCROW RIGHT? $40MILLION HAS BEEN EXPENDED THAT MUST BE PAID BACK. >> WE'RE CURRE CURRENTLY ESTIMATING $50 MILLION. >> Mayor Guajardo: $50 MILLION HAS BEEN EXPENDED SO WE HAVE 170, ROUGHLY, IN ESCROW. SO IF WE MOVE FORWARD WITH KIEWIT, YOU WERE CLEAR, I THINK, ABOUT -- OR SOMEBODY WAS -- ABOUT WORKING TOWARDS THE 60% DESIGN. AND AT ANY POINT DURING THAT TIME OR AT THAT TIME WE CAN OFFRAMP. >> THAT'S CORRECT. >> Mayor Guajardo: AND SAY WE WANT TO TAKE THIS OUT. SO I GUESS I'M ASKING -- AND ANYBODY CAN ANSWER. WHAT IS THE OTHER OPTION THAT SOME OF THE COUNCIL MEMBERS UP HERE ARE WILLING TO OR WANTING TO EXPLORE? >> Cantu: [OFF MIC] >> Mayor Guajardo: CAN SOMEONE TELL US WHAT IT IS? GO AHEAD. >> Vaughn: I'LL SAY IT. BEST THING TO BE IS HONEST. I HAVE SAID FROM THE GET GO I AM NOT AGAINST DESAL AND I'M STILL NOT AGAINST DESAL. IT'S THE PRICE THAT'S GOT ME. I AM WILLING TO LOOK AT ANOTHER COMPANY TO DO A BID. I AM WILLING TO DO A SECOND COMPANY BECAUSE I THINK WE DO NEED DESAL. >> Mayor Guajardo: OKAY. THAT'S WHAT I WANTED TO HEAR. >> Vaughn: WE DON'T NEED TO BE DANCING AROUND BUT TELL THE TRUTH. >> Mayor Guajardo: EVERYBODY IS TALKING ABOUT THIS, THAT, AND ANOTHER. LET'S GET TO THE POINT. THAT SAID, HOW, WITHOUT GOING OUT TO RFP, HOW DO WE KNOW GOING -- I'M SORRY. I'M GOING TO HAVE TO -- YOU GUYS ARE GOING TO -- PLEASE, BRING IT DOWN A NOTCH. THE LAUGHING AND GIGGLING, ALL THAT PLEASE. WE CAN HEAR IT ALL THE WAY UP HERE. IT'S DISTURBING. HOW DO WE -- HOW IS THAT -- HOW DO WE KNOW THEY ARE NOT GOING TO COME BACK AT JUST AS HIGH OF A NUMBER? WOULDN'T YOU GO OUT FOR RFP AND MAKE THIS A VERY TRANSPARENT PROCESS TO SAY IF WE DON'T GO -- IF WE DON'T CONTINUE FORWARD, THEN SEND IT BACK OUT. I MEAN -- >> Zanoni: IF WE STICK WITH THE PROCUREMENT METHOD, THAT TOOK ABOUT A YEAR TO DEVELOP AND WE PUT AN -- SAY AN RFP OUT. IT WASN'T EXACTLY THAT. WE HAD THREE FIRMS THAT SUBMITTED PROPOSALS AND WE REVIEWED THEIR PROPOSALS, WE INTERVIEWED THEM, AND THEN WE SCORED THEM. THERE WAS A RANKING SO KIEWIT WAS NUMBER ONE. AXIOMA WAS NUMBER TWO. RANKED ON A NUMERIC SCORE. IF WE WANT TO NOT CONTINUE WITH KIEWIT TODAY, TERMINATE THEIR CONTRACT , UNDER THIS PROCUREMENT PROCESS WE CAN LEGALLY GO TO THE SECOND-RANKED FIRM AND START NEGOTIATING WITH THEM ON A CONTRACT THAT BRETT ESTIMATED WOULD TAKE ABOUT THREE MONTHS TO BRING FORWARD. SOMEWHERE ALONG THOSE LINES WE WOULD START TO GET INTELLIGENCE ABOUT WHAT THEIR PRICE MIGHT BE. THE HOPE IS THAT IT WOULD COME IN LESS THAN THE KIEWIT. >> Mayor Guajardo: WHAT IF IT DOESN'T COME IN LESS? >> Zanoni: THE COUNCIL WOULD HAVE TO DECIDE WHAT TO DO NEXT. EITHER TERMINATE THAT ONE AND SAY WE'RE GOING TO GO FORWARD WITH IT ANYWAY. >> Mayor Guajardo: WE HAVE NO IDEA. WE WOULD BE LOOKING TO SEE MAYBE. IF IT DOES, IT DOES, IF IT DOESN'T, WE'RE BACK TO SQUARE ONE AND THAT WOULD TAKE A YEAR? >> Zanoni: IT WOULD TAKE THREE TO FOUR MONTHS TO HAVE A LEGAL CONTRACT AND THEN I DON'T KNOW HOW MUCH TIME -- >> IT WOULD BE A YEAR TO GET BACK TO THE 10% LEVEL. >> Mayor Guajardo: AGAIN, WHAT DOES THAT DO, VICTOR? SO THAT MEANS THE $50 MILLION WOULD BE GONE BY THE WAYSIDE. >> YEP. >> Mayor Guajardo: SO WHAT DOES THAT MEAN FOR US, AS A CITY? WHAT'S THE RAMIFICATION OF GOING WITH ANOTHER CONTRACTOR? WE DON'T KNOW. IT COULD WORK OUT OR NOT. I GUESS THAT'S NEITHER HERE OR THERE AT THIS POINT. WE'RE GOING TO WRITE OFF $50 MILLION AND THE TAXPAYERS ARE GOING TO PAY FOR THAT, RIGHT? >> THE RATEPAYERS. >> Mayor Guajardo: SORRY. THE RATEPAYER. OKAY. WHAT DOES THAT DO TO THE CITY? >> SO THAT'S BASICALLY JUST AN ADDITIONAL $50 MILLION THAT YOU HAVE TO COME UP WITH. IF THOSE EXPENSES HAVE TO BE REINCURRED, YOU HAVE TO GET THAT FROM SOMEWHERE AND THE LIKELY SOURCE IS THE ESCROW ACCOUNT YOU CURRENTLY HAVE WITH THE TEXAS WATER DEVELOPMENT BOARD. THE ONE THING THAT I CAN OPINE ON, I GUESS FINANCIAL INFORMATION, IS THAT AS YOU KNOW CONTINUED DELAYS, COST ESCALATIONS ARE GOING TO CONTINUE TO GO AND INFLATION AS WELL. THAT'S THE OTHER FACTOR THAT THE ENGINEERS AND YOUR TEAM WOULD HAVE TO IDENTIFY AND PLAN FOR IF THERE'S A CONTINUED DELAY. BUT IN TERMS OF THE BONDS THAT YOU HAVE THAT'S STILL PART OF THE PROJECT AND FROM OUR UNDERSTANDING IT WOULD STILL PROCEED. I'M ASSUMING THE TEXAS WATER DEVELOPMENT BOARD IS GOING TO WANT TO KNOW THE DIRECTION YOU'RE GOING TO, WHETHER YOU'RE GOING TO KIEWIT OR SOMEBODY ELSE. THAT'S THE LIMIT OF MY EXPERTISE. I'LL HAND IT OVER TO THE ENGINEER. >> Mayor Guajardo: WHAT ABOUT THE NEXT ITEM? WHAT IS IT, $210 MILLION? >> Zanoni: RIGHT. >> Mayor Guajardo: SO WHAT HAPPENS WITH THAT? >> Zanoni: WE WOULD RECOMMEND, IF YOU CONTINUE WITH KIEWIT, WE RECOMMEND TAKING THAT SECOND INSTALLMENT OUT. IF YOU PICK THE NO. 2 FIRM, WE STILL RECOMMEND YOU TAKE THAT SECOND INSTALLMENT OUT. >> Mayor Guajardo: IS THERE A TIME-FRAME WHERE YOU HAVE TO SPEND THAT MONEY? >> THE ACTION TODAY -- IF YOU CONTINUE WITH THE PROJECT, YOU WOULD TAKE THE ACTION TO NEGOTIATE THE FINANCING AGREEMENT WITH THE TEXAS WATER DEVELOPMENT BOARD. SO THE TIMING OF THAT SELLING OF THE BONDS, YOU WOULD DISCUSS WITH THE TEXAS WATER DEVELOPMENT BOARD. TODAY THE ACTION IS JUST TO ENTER INTO THE NEGOTIATIONS, I BELIEVE. YEAH. WITH THE TEXAS WATER DEVELOPMENT BOARD ON THE FINANCING AGREEMENT. >> Mayor Guajardo: ISN'T THERE A TIME-FRAME? >> ONCE THE BONDS ARE SOLD, YES, YOU HAVE A TIME-FRAME TO SPEND IT. THAT'S WHY YOU WOULD ASK THE TEXAS WATER DEVELOPMENT BOARD NOT TO SELL THIS YEAR AND WAIT NEXT YEAR, DEPENDING ON THE STATUS OF THE PROJECT. >> YEAH. SO JUST TO CLARIFY, THERE IS A DEADLINE THAT THE WATER BOARD HAS IMPOSED FOR ALL FOLKS BORROWING MONEY FROM THE SWIFT PROGRAM, AND THAT'S SEPTEMBER 5th, TO LET THEM KNOW IF YOU WANT TO BE INCLUDED. THE BOND SALE BY THE TEXAS WATER DEVELOPMENT BOARD FOR YOUR PORTION OF THAT FINANCING. SO $210 MILLION, WE HAVE TO LET THEM KNOW BY SEPTEMBER 5th WHETHER WE WANT TO BE INCLUDED IN THIS ROUND OF FINANCING THAT THE STATE IS GOING TO INCUR UNDER THE SCOPE OF THIS PROGRAM. AND SO IF YOU GO AHEAD AND MOVE FORWARD AND YOU DELAY IT, THAT'S WHEN THE FEES START ACCRUING. BUT THAT'S THE HARD DEADLINE THAT YOU'RE LOOKING AT IS SEPTEMBER 5th TO LET THE WATER BOARD KNOW THAT YOU HAVE APPROVED THE FINANCING RESOLUTION TO MOVE FORWARD AND YOU WANT TO BE INCLUDED IN THIS NEXT FUNDING CYCLE. >> Mayor Guajardo: OKAY. ALL RIGHT. THANK YOU. COUNCILWOMAN PAXSON. >> Paxson: THANK YOU, MAYOR. IS IT POSSIBLE TO PULL UP THE SLIDE DECK FOR THE ALTERNATIVE WATER SUPPLY PRESENTATION? I THINK IT WAS ITEM 7 FROM LAST WEEK, AUGUST 26. >> Zanoni: YEAH, AC CONTROL COULD PROBABLY GET THAT. IT MAY TAKE A FEW MINUTES. >> Paxson: I WOULD HAVE SAID IT BUT I DIDN'T GET TO HAVE MY MIC ON. THANK YOU. CAN YOU GO TO SLIDE NO. -- THEY'RE NOT NUMBERED, SO IT IS 6. SECOND TO LAST SLIDE. >> Molly: IS IT THE ONE WE'RE LOOKING AT? >> Paxson: NO, THE DASHBOARD. THERE WE GO. THANK YOU. SO, WE HAD THIS PRESENTATION LAST WEEK AND IT WAS A REALLY GREAT PRESENTATION. I COMMENDED THE WHOLE TEAM BECAUSE IT WAS A VERY LINEAR REPRESENTATION OF THE WORK THAT'S BEEN DONE THUS FAR. IT WAS A GREAT COLLECTION OF OUR PROJECTS. THE EFFORTS OF THE DEPARTMENT, OF OUR CITY MANAGER, OF, YOU KNOW, EVERYTHING WE'VE WORKED ON. AND IN THIS GRAPH IT IDENTIFIES WITH AN ORANGE AND A YELLOW MARK EASTERN WELL SUPPLIES AND WESTERN WELL SUPPLIES. BOTH BELONGING TO THE NUECES RIVER WELLS. IT DEMONSTRATES THAT THOSE WESTERN WELLS ARE ONLINE AS OF THIS SUMMER, PRESENTLY, WHICH WE CONTINUE TO WATCH. AND EVEN IN OUR UPDATE THAT WE RECEIVED, AS YOU NOTED ON FRIDAY. WE HAVE NO. 5, 6, 7, AND 8 WHICH ARE SUPPOSED TO BE DONE BY THE END OF LAST WEEK. AND THAT WE COULD GO UP TO POTENTIALLY 16 MILLION GALLONS A DAY FROM WHAT WE CALL THAT EASTERN WELL SUPPLY. THAT'S THE FIRST COLLECTION OF WELLS, IF YOU WILL. ACCORDING TO THIS CHART THAT WE REVIEWED LAST WEEK AND THE WATER SUPPLY UPDATE THAT'S IN OUR PACKETS FOR TODAY, WE'RE ALREADY RECEIVING THAT FIRST PORTION OF WATER IN OUR WATER SUPPLY. NOW, ON THIS IMAGE IN FRONT OF US IN OCTOBER OF 2025, WHICH IS IN SIX WEEKS, MAYBE LESS THAN THAT. WE ARE ANTICIPATING THE YELLOW LINE STARTS. THAT WESTERN WELL SUPPLY. SO, DREW, ON THE FAR RIGHT IN THE BLUE BOXES, YOU EXPLAIN THAT THERE'S TWO DEFINITIONS OF ALL OF THESE WELLS. A PHASE 1 AND A PHASE 2. WE DON'T WANT SUBSIDENCE. WE WERE LOOKING AT WAYS TO PROTECT THE GROUNDWATER. WE HAVE A PERMIT FOR THREE YEARS FOR THESE AND THAT'S A HIGH NUMBER OF GALLONS OF WATER WE CAN TAKE FROM THE EAST AND THE WEST UNDER THIS SHORT-TERM PERMIT. LAST WEEK WE ALSO SAID, IF WE NEEDED TO, WE COULD EXTEND THAT PERMIT BY ONE MORE ROUND OF THREE YEARS. SO ACCORDING TO THIS CHART, WE SHOULD SEE WHAT LOOKS LIKE A LITTLE BIT BELOW 15 MILLION GALLONS A DAY ON THE FAR RIGHT TO A LITTLE BIT -- I'LL CALL IT 40. BETWEEN 30 AND 45. THAT THAT SHOULD BE IN OUR SUPPLY BY SUMMER OF 2026. THAT'S GOING OFF OF PHASE 1. THAT'S THAT HIGH VOLUME BUT SHORT AMOUNT OF TIME. FAST FORWARD ON THIS CHART. WE ARE SAYING THAT WE HAVE NOW AVOIDED CURTAILMENT ALL THE WAY TO SUMMER. MAY OF 2029. I'M SAYING THIS REALLY CLEAR BECAUSE I KNOW WE HAVE COMMERCIAL CUSTOMERS. I KNOW WE HAVE INDUSTRY MEMBERS THAT ARE IN THE AUDIENCE HERE TODAY. AND I WANT TO SEND THAT MESSAGE THAT WE ARE WORKING HARD BECAUSE WE'RE GOING TO AVOID CURTAILMENT AND WE ARE GOING TO SUPPLY WATER. SO ACCORDING TO THIS CHART, WE ALL AGREED UPON IT. WE ALL COMMENDED IT. WE'VE ALREADY PUSHED THAT CURTAILMENT. AND THESE ARE IN HAND STARTING SUMMER 2026. ACTUALLY, BEFORE THAT. SO I FIND THAT I HAVE A LITTLE BIT OF DISCREPANCY HERE. I CAN SEE THAT YOU'RE SAYING IF WE FOREGO THIS PHASE 1, WHICH IS THE LARGER VOLUME. IF WE FOREGO THAT FOR ALL OF THE INFRASTRUCTURE TO RUN A FULL LONG-TERM, MAINTAINED LOWER AMOUNT OF WATER, THAT THAT COULD TAKE US LONGER TO GET ONLINE. THAT COULD MAYBE BE THAT 2030 NUMBER YOU'RE TALKING ABOUT. BUT ACCORDING TO ALL OF THIS INFORMATION, IT'S GOING TO BE HERE WAY SOONER. WHAT I'M GETTING AT IS BY THE TIME WE'RE LOOKING AT OCTOBER '28, THIS GREEN BAR COMES ONLINE. THAT'S SUPPOSEDLY 30 MILLION GALLONS A DAY FOR INNER HARBOR. PRESUMABLY BY THIS TIME THAT TOP LINE, THE DARK BLUE, WHICH IS THE LAKE CORPUS CHRISTI, THE WESTERN RESERVOIR. THAT GOES AWAY. OUR RELIANCE ON THAT ONE, DUNS-O. IF WE COVER THAT 30 MILLION GALLONS IN THOSE GREEN BARS, WE'RE GOOD. >> YOU SAID IT BETTER THAN I DID. >> Paxson: I APOLOGIZE. IT'S 11:00. IT WASN'T VERY POLITICAL OF ME. BUT IF I UNDERSTAND THIS WHOLE GRAPH, THAT'S OUR GOAL. WE HAVE WORKED SO HARD TO GET TO THIS GREAT NEWS, RIGHT? >> Molly: I'LL TELL YOU, YOU SAID IT GREAT. THAT'S EXACTLY WHAT WE'RE TRYING TO SHOW. AND WHAT WE'RE TRYING TO SHOW IS THAT IT TAKES MORE THAN JUST ONE PROJECT TO AVOID CURTAILMENT. >> Paxson: BUT THOSE OTHER TWO ARE IN HAND. WE JUST GOT TO CHOOSE WHAT'S THAT 30 MILLION-GALLON PIECE. LIKE MARK AND ROLAND SAID -- WOW, DID I JUST AGREE WITH ROLAND? IF WE PLUG IN EVANGELINE, IF WE PLUG IN SOUTH TEXAS WATER AUTHORITY, IF WE PLUG ONE OF THOSE IN WHILE WE'RE DOING THESE OTHER SOURCES, WE'RE DOING OKAY. >> Molly: I THINK THE MESSAGE THAT YOU JUST SUMMARIZED IS GOOD. I THINK THE QUESTION THAT WE HAVE SOME DISAGREEMENT ON IS THE QUESTION ON THE TIMELINE. THE TIMELINE IS WHERE WE'RE TRYING TO FIGURE IT OUT. I THINK ONE OF THE THINGS WE'VE SAID IS THAT WE DO THE BEST WE CAN WITH TRYING TO SPECULATE. ONE OF THE THINGS THAT'S HARD IS THAT IT'S HARD TO SPECULATE WHEN YOU DON'T HAVE PERMITS AND SO THAT'S REALLY THE FUNDAMENTAL QUESTION. SO IF WE HAVE PERMITS IN HAND, THERE'S A LOT MORE PREDICTABILITY IN TERMS OF WHAT IT LOOKS LIKE ON THE TIMELINE. BUT I APPLAUD YOUR ABILITY TO WALK THROUGH THAT AND REALLY HIGHLIGHT WHAT WE WERE TRYING TO SHOW. >> Paxson: DREW, I APPLAUD ALL OF YOUR WORK BECAUSE YOU HAVE HELPED US GET TO THIS POINT. I WANT TO MAKE SURE WE CLEARLY ARTICULATE THOSE EFFORTS BECAUSE THEY HAVE GOTTEN US HERE. YOU HAVE WORKED REALLY HARD. YOU HAVE GOTTEN US PERMITS QUICKLY. A MEMBER OF OUR SENATOR HINOJOSA'S OFFICE IS HERE. I THINK A LOT OF PEOPLE FROM THE STATE DOWN WANTS TO WORK WITH US AND MAKE THIS POSSIBLE. YOU SPELLED IT OUT REALLY NICELY. THANK YOU, DREW. >> Mayor Guajardo: COUNCILWOMAN CAMPOS. >> Campos: THANK YOU, MAYOR. OKAY. SO IT'S FUNNY THAT YOU JUST SAID ABOUT THE PERMITS BECAUSE EVIDENTLY WE'VE BEEN WORKING WITHOUT THE PERMITS ALL THIS TIME UNTIL, WHAT? AUGUST 3rd. WE USED 40, $50 MILLION OF WATER RATE MONEY TOWARDS THIS PROJECT THAT WE DIDN'T EVEN HAVE ACTUALLY PERMITTED. SO I THINK THERE'S A LOT THAT WE CAN DO WITHOUT BEING PERMITTED. WE STARTED THE WELLS BEFORE WE ACTUALLY RECEIVED THE FINAL PERMIT. SO I FEEL THAT, YOU KNOW, I'M LISTENING TO, YOU KNOW, COUNCILWOMAN PAXSON ABOUT BACK TO THAT LEVEL. THE 30 MGD FROM THE HARBOR, FROM THE INNER HARBOR. BUT IN REALITY, WE CAN GET THERE USING THESE OTHER PROJECTS. ESPECIALLY, I WOULD ASSUME -- WE HAVEN'T EVEN DISCUSSED THE SAVING OF THE WATER THAT WE DO HAVE IN THE RESERVOIR. BECAUSE THAT'S THE OTHER THING. I THINK WE NEED TO SEAL WHAT WE HAVE, WHATEVER LITTLE WATER WE HAVE, WE NEED TO PROTECT IT. AND WE'RE NOT DOING THAT AT ALL. I KNOW YOU'RE GOING TO BE GONE BUT I HOPE WHOEVER -- I MEAN, YOU KNOW, THE STAFF IS LISTENING. BUT EVEN -- OKAY. SO NOW IT LOOKS LIKE THINGS ARE CHANGING HERE. BUT ONE OF THE OTHER THINGS IS THE FAR-FIELD MODEL. OH MY GOD, I CAN'T BELIEVE WE'RE STILL HERE. I THOUGHT WE WERE GOING TO KILL IT. BUT OKAY. WE'RE HERE. I THINK THERE'S STILL A LOT MORE DONE. WE DIDN'T SPEAK -- WE HAVEN'T AND WE'VE BEEN AVOIDING THE ECOLOGICAL, THE ENVIRONMENTAL IMPACT AND IT'S SOMETHING THAT WE REALLY DO NEED TO CONSIDER. SO I KNOW THAT WE ALSO RECEIVED AT LEAST JOHN WEBER ACTUALLY CALLED AND SENT US THE INFORMATION ABOUT MAKING SURE THAT WE -- CAN WE GET THE FAR-FIELD MODEL DONE AT THIS TIME NOW, AT LEAST THAT? CAN WE GET THAT DONE SO WE CAN MAKE SURE THAT WHATEVER IS BEING PROMOTED OR RECOMMENDED THAT WE ACTUALLY HAVE THE SCIENCE TO BACK IT UP. BECAUSE THAT HAS NOT BEEN THERE. CAN WE GET AN INDEPENDENT FAR-FIELD MODEL BEFORE WE GO ANY FURTHER? IS THAT EVEN POSSIBLE? >> I THINK THAT WOULD BE A COUNCIL DECISION TO MAKE. WE SUSPENDED ALL WORK ON THE FAR-FIELD MODEL IN THE REPORT ON JULY 29. IF WE'RE APPROVED TO CONTINUE, WE'RE GOING TO CONTINUE WITH THE MODELING, THE GHD, AND WE'LL PRODUCE THE REPORT THAT WE SAID WE WOULD. AND WE WILL SHARE IT WITH COUNCIL WHEN THE REPORT'S COMPLETE. >> Campos: WELL, THEY'RE NOT SHARING IT. >> WE DON'T HAVE THE REPORT YET, COUNCILWOMAN. AND THAT WAS PART OF THE PLAN AND THAT'S WHAT WE HAD MENTION IN JULY WAS WE NEED TO WORK ON IT. WE'RE NOT DONE WITH THE MODELING EXERCISE. WHEN WE FINISH THAT, WE WOULD PRODUCE A REPORT AND WE WOULD BRING IT BACK TO COUNCIL. WE WOULD ALSO WORK WITH AN OUTSIDE ENTITY. AND I BELIEVE WE SAID WE WOULD LET COUNCIL WEIGH IN ON WHO THAT WOULD BE SO WE CAN SHARE THE REPORT AND MAKE SURE EVERYONE HAS AN OPPORTUNITY TO SEE IT. >> Campos: DID WE OR DID WE NOT PAY FOR THAT REPORT ALREADY? >> NO, WE HAVEN'T. WE'RE STILL WORKING THROUGH THAT. THAT'S PART OF THE P PHASE 1B EXERCISE. >> Campos: THAT WAS TWO MONTHS AGO. JULY. WE'RE IN SEPTEMBER. >> RIGHT. WE PAUSED THE WORK JULY 29 AND THEY WERE STILL WORKING ON THE MODELING. >> Campos: I CAN'T BELIEVE THAT. OKAY. I'LL LEAVE IT FOR NOW. I GUESS I HAVE A THIRD TIME TO GO. >> Mayor Guajardo: COUNCILMAN HERNANDEZ. >> Hernandez: OKAY, MAYOR, TO ANSWER YOUR QUESTION, THIS IS THE RECOMMENDATION, RIGHT? THIS IS MY OPINION ON THIS WHOLE PROCESS. OBVIOUSLY $1.2 BILLION IS TOO MUCH. AND IT'S ALWAYS BEEN THE SITUATION. WE HAD STRUGGLED TODAY WITH APPROVING A RATE THAT WAS, YOU KNOW, 9 AND 12% INCREASES AND WAS VOTED DOWN. SO I CAN'T IMAGINE WHAT THE FUTURE COUNCIL'S GOING TO BE WHEN RATES HAVE TO DOUBLE BASED ON WHAT THIS COST. THERE'S A, YOU KNOW, TO VICTOR'S POINT, THERE'S AN ACTUAL PRACTICAL COST BUT THEN THERE'S A POLITICAL COST. NO ONE IS GOING TO SAY I'M GOING TO VOTE FOR IT GLADLY. IT'S NOT GOING TO HAPPEN. I WOULD HATE TO BE THAT COUNCIL THAT HAS THEIR HANDS TIED THAT HAS TO WRITE THAT CHECK THAT WE MADE THE IOU FOR. THAT'S THE CHALLENGE. AND WHEN YOU BORROW THAT MONEY, YOU HAVE TO PAY IT. AM I WRONG, VICTOR? ONCE YOU BORROW IT YOU HAVE TO PAY FOR IT. THAT'S THE PROBLEM WE HAVE RIGHT NOW. OUR LARGEST EXPENSE IN THE WATER DEPARTMENT IS DEBT. OKAY. SO THAT'S WHERE WE ARE. THIS IS THE BIGGEST ISSUE WE HAVE WITH THIS PROJECT. IT COST TOO MUCH. AND, YOU KNOW, DREW I HAD THIS ARGUMENT WITH YOU ABOUT THE PROCUREMENT PROCESS AND I SAID DESIGN-BUILD WAS WRITING A BLANK CHECK. DIDN'T I SAY THAT? HERE WE ARE DOUBLE THE COST. I'M NOT GOING TO LIVE IN THE PAST BUT THIS IS WHERE WE'RE AT. MY THOUGHT ON THIS IS WE'RE GOING TO STOP THIS AND THE CONTRACT WITH KIEWIT, WE'RE NOT GOING TO SPEND $1.2 BILLION. AND THEN WE'RE GOING TO ASK PETER TO BRING US BACK SOME OPTIONS RIGHT? I KNOW COUNCILWOMAN VAUGHN HAD MENTIONED WANTING TO LOOK AT THE SECOND BIDDER, MAYBE THE THIRD BIDDER, I DON'T KNOW. TO ME, IT'S STILL A PROGRESSIVE DESIGN-BUILD, WHICH IS A TERRIBLE PROCESS TO ME. SO THEN THERE'S ANOTHER OPTION. I TALKED ABOUT CC POLYMERS AND USING THAT MONEY THAT WE BORROWED AND MOVING IT TO A SEAWATER DESALINATION PROJECT THAT'S IN THE INNER HARBOR ALREADY. WE CAN WORK WITH THE TEXAS WATER DEVELOPMENT BOARD. MAYBE VICTOR CAN HELP US WITH IT. MAYBE YOU CAN HIRE CARLOS RUBENSTEIN TO HELP US WITH THAT PROCESS WITH THE TEXAS WATER DEVELOPMENT BOARD. SEE IF WE CAN MAKE SOME DEVELOPMENTS. THIRD OPTION. IF CC POLYMERS DOESN'T WORK AND THE SECOND BIDDER DOESN'T WORK, MAYBE WE REPROCURE THIS AS A P3 AS WAS RECOMMENDED BY LYLE LARSON. I WOULD PREFER NOT TO. I'M OKAY WITH CC POLYMERS BECAUSE IT'S ALREADY THERE. IT'S ALREADY BUILT. IT'S ALREADY GOING TO BE TURNED ON WHETHER WE PARTICIPATE OR NOT. I WOULD RATHER HAVE ONE DESAL PLANT INSTEAD OF TWO. I DON'T LIKE IT IN THE BAY. I HAVE NEVER LIKED IT IN THE BAY. I HAVE ALWAYS WANTED IT OUT IN THE GULF OR AT LEAST AS CLOSE AS POSSIBLE AS YOU COULD GET TO IT. OKAY. SO GIVE US SOME OPTIONS. DON'T GIVE US A BINARY CHOICE OF YES OR NO. GIVE US SOME OPTIONS OF WHERE WE CAN GO. WHAT CAN WE DO. BUT IT'S NOT GOING TO BE $1.2 BILLION THAT WE'RE GOING TO PUT ON THE RATEPAYERS THAT WE CAN'T AFFORD. THANK YOU. >> COUNCILPERSON, CAN I ADDRESS SOME OF YOUR COMMENTS? SO THE LETTER FROM THE TEXAS WATER DEVELOPMENT BOARD DID ADDRESS CC POLYMERS ISSUE. THE LOCATION OF THE INNER HARBOR IS SIDED BY THE PERMITS. IT'S LONGITUDE AND LATITUDE. IT'S IN THE REGION N PLAN AND THE STATE PLAN. SO THE CC POLYMERS, THE MONEY CAN'T BE USED FOR CC POLYMERS. IT'S NOT AT THAT SPECIFIC SITE AND IT'S NOT IN THE PLAN. AS FAR AS THE P3, I DID SOME RESEARCH. YOU KNOW, IN 2013 THE CITY COUNCIL ADOPTED CHAPTER 2269 OF THE GOVERNMENT CODE. 2267 IS THE P3 LAWS. AND IT REQUIRES THE SAME TYPE OF PROCESS. IN ORDER FOR THE CITY TO ENTER INTO A P3 ARRANGEMENT, WE HAVE TO DEVELOP GUIDELINES IN ACCORDANCE TO CHAPTER 2267 AND THE CITY COUNCIL HAS TO ADOPT THAT. THEN WE HAVE TO PUT TOGETHER A PROCUREMENT PACKAGE FOR A REQUEST FOR PROPOSERS AND GO OUT FOR PROCUREMENT, COMPETITIVE PROCUREMENT. AND THEN OF COURSE THAT P3 OPERATOR HAS TO ABIDE BY CHAPTER 2269, THE DESIGN-BUILD. SO IT'S A DESIGN-BUILD PROCESS, JUST LIKE WE ARE DOING. BUT THE PRIVATE ENTITY IS MANAGING THAT INSTEAD OF OUR COMPETENT CITY STAFF. THE OTHER THING -- BUT I DID TALK, DO SOME OTHER RESEARCH ON THE USE OF THE SWIFT FUNDS THAT WE ALREADY HAVE IN ESCROW AS A P3. SO THE PROCESS FOR THE P3 -- IT'S GOING TO BE A COUPLE OF YEARS SO IT'S GOING TO DELAY THE PROJECT. BUT WE COULD DO SOME SELF-PERFORMANCE OF PARTS OF THE PROJECT THAT WE COULD DESIGN AND BUILD OURSELVES, LIKE MAYBE THE PRODUCT PIPELINE TO NAVIGATION. WE CAN USE THE MONEY FROM THE SWIFT FUNDS FOR THAT. IT CANNOT BE USED FOR THE P3 PROCESS THOUGH BECAUSE IT'S PUBLIC FINANCING. YEAH. I THINK THAT'S -- >> [OFF MIC] >> RIGHT. AND THE OTHER THING IS I KNOW YOU AREN'T SATISFIED WITH THE DESIGN-BUILD BLANK CHECK. YOU ALWAYS -- CITY COUNCIL HAS THE OPTION AT THIS POINT TO NEGOTIATE THE GMP. WE DON'T HAVE TO WAIT FOR THE 60%, IF THAT'S WHAT YOU DON'T WANT TO DO. YOU CAN GET A GUARANTEED PRICE, YOU KNOW, AND MOVE FORWARD WITH THE DESIGN-BUILD AT THAT PRICE, WHATEVER YOU WANT TO NEGOTIATE. INSTEAD OF GOING TO A NO. 2, WHICH IS AN UNKNOWN ENTITY AT THIS POINT. UNKNOWN QUANTITY, YOU CAN NEGOTIATE WITH THE PERSON THAT WE HAVE AND GET A GUARANTEED PRICE AND MOVE FORWARD WITH THE PROJECT. THAT'S THE OTHER THING IS THE FINANCING. SO THE P3 USING THE MONEY IN ESCROW, WE DO HAVE A TIMELINE IN ORDER TO SPEND THAT AND THAT'S WHY THE P3 TIMELINE MIGHT NOT FIT INTO WHAT WE HAVE FOR OUR BONDS IN ORDER TO SPEND DOWN THAT MONEY. OKAY. >> Mayor Guajardo: COUNCILWOMAN VAUGHN. >> Vaughn: THIS IS MY LAST ONE SO GIVE ME A LITTLE GRACE, WILL YOU? I WROTE IT DOWN BECAUSE I KNEW IT WAS GOING TO BE LATE AND I WOULD FORGET. I WANT TO COMPLIMENT YOU, MAYOR, BECAUSE IT'S BEEN VERY DIFFICULT TO CONTROL THE CROWD. AND YOU'VE DONE A VERY GOOD JOB THE LAST MONTH. YOU HAVE. I DON'T EVER LIKE THE POLICE CRITICIZED. I THANK YOU FOR BEING HERE AND I KNOW THEY'RE PASSIONATE AND I GET IT, BUT THERE HAS TO BE ORDER AND YOU GUYS DID A GREAT JOB. EVERYONE SITTING HERE KNOWS THAT WE NEED WATER. WE NEED IT NOW. WE NEED IT IN THE FUTURE AND IT NEEDS TO BE AFFORDABLE AND COME FROM DIVERSIFIED SOURCES. I'M NOT GOING TO READ IT ALL BUT I GOT A CALL -- THIS WAS VERY FRUSTRATING FOR ME BECAUSE THIS HAS BECOME SO POLITICAL AND DIVISIVE. IT WAS VERY SAD TO SEE WHAT HAPPENED. I HATE THAT WE'RE LIKE THIS. WE NEED TO WORK TOGETHER. I GOT A CALL LAST FRIDAY AT 5:00 FROM ROBERT BLACK. HE TOLD ME I SHOULD BE A LEADER AND VOTE YES ON DESAL. AND THEN HE SAID IF I DIDN'T, CORPUS CHRISTI WOULD RECEIVE NO FUTURE STATE FUNDING. THAT'S WRONG. I CONSIDER THAT A THREAT TO THE PEOPLE OF CORPUS CHRISTI. HOW WOULD HE REACT IF A FEDERAL GOVERNMENT CALLED AND TOLD HIM HOW TO VOTE? NO MATTER WHO HOLDS OFFICE, REPUBLICAN OR DEMOCRAT, NO ONE HAS THE RIGHT TO ABUSE THEIR INFLUENCE BY INTIMIDATING A CITY COUNCILMEMBER INTO VOTING ANOTHER WAY. HE CALLED THE WRONG GIRL. THE QUESTION FOR ME IS DID THE GOVERNOR KNOW HIS CHIEF OF STAFF DID THIS? I'M GOING TO GIVE HIM THE BENEFIT OF THE DOUBT BECAUSE SOMETIMES EMPLOYEES DO THINGS ON THEIR OWN BUT IN THE END HE REPRESENTS THE GOVERNOR. THIS TELLS ME THEY DON'T CARE IF THE CITIZENS PAY FOR THIS EVEN THOUGH WE KNOW IT'S FOR INDUSTRY -- AND I SUPPORT INDUSTRY. AND INDUSTRY IS SITTING IN THE WINGS, THAT'S WHO IT'S GOING TO SUPPORT. WAITING TO SIGN UP IF WE APPROVE DESAL. DOES THE STATE WANT TO CONTRIBUTE? NO. THE MORE INDUSTRY WE GET THE MORE WATER WE'RE GOING TO HAVE TO GET. WE'RE GOING TO BE IN THE SAME SITUATION TWO YEARS FROM NOW. THE STATE COULD EASILY GIVE A GRANT FOR THE REMAINDER OF THE COST. THEY JUST BOUGHT SOME HOTEL THE OTHER DAY. IF YOU REALLY WANT US TO HAVE WATER, YOU WANT THIS DESAL, THEN YOU SHOULD DIVVY UP AND GIVE US A GRANT. WE HAVE ALSO RECEIVED PRESSURE FROM SENATOR HINOJOSA WHO SENT LETTERS TO COUNCIL MEMBERS URGING SUPPORT FOR THIS PROJECT. IT'S CLEAR THAT SOME ELECTED LEADERS WANT A RIBBON CUTTING AND A PLAQUE WITH THEIR NAME ON IT MORE THAN THEY WANT AFFORDABLE WATER FOR OUR CITIZENS. LEADERSHIP IS ABOUT SERVING THE PEOPLE WITH HONESTY, HUMILITY, AND STEWARDSHIP. WE GOT ANOTHER LETTER FROM DON BUCKINGHAM. WONDER WHY. SCARE TACTICS COMING FROM INDUSTRY WARN US WE WILL BE FORCED INTO CURTAILMENT WITHOUT VOTING YES IF WE DON'T VOTE YES ON THE INNER HARBOR. IF APPROVED, INNER HARBOR WOULD NOT PRODUCE WATER UNTIL DECEMBER '29 '30. WE DON'T KNOW. IT SHOULD BE CLEAR TO THE PUBLIC THAT THE INNER HARBOR IS NOT A DROUGHT SOLUTION FOR TODAY AND THAT THE INNER HARBOR DOESN'T GET ANYONE CLOSER TO BEING ABLE TO WATER THEIR LAWNS. BEING HONEST WITH THE PUBLIC IS VERY IMPORTANT. WE DIDN'T DO THAT. THIS WAS DONE WRONG. WE SHOULD HAVE HAD PUBLIC INPUT. I THINK THEY SHOULD HAVE GOTTEN TO VOTE ON IT. ANOTHER CONCERN IS PROJECTED ANNUAL EXPENSES. OPERATION AND MAINTENANCE ALONE ARE ESTIMATED $32 MILLION A YEAR. OTHER PLANTS THE CITY TOURED WERE OFFLINE FOR MAINTENANCE. THAT RAISES MORE QUESTIONS ABOUT HOW MUCH WATER THIS PLANT WOULD TRUTH DELIVER AND WHAT IT WOULD TRULY COST EVERY YEAR MOVING FORWARD. IT'S NOT WRONG TO STOP A PROJECT WHEN COSTS HAVE SPIRALED OUT OF CONTROL. IT'S NOT WRONG TO SAY NO WHEN THE RISKS OUTWEIGH THE REWARDS. WHAT WOULD BE WRONG IS TO PUSH FORWARD BLINDLY NOT KNOWING HOW WE'RE GOING TO PAY FOR IT AND LEAVING OUR CITIZENS TO CARRY THE BURDEN FOR DECADES. IN CLOSING, REAL LEADERSHIP REQUIRES MAKING TOUGH DECISIONS REGARDLESS OF THE POLITICAL PRESSURE, EGOS, AND INFORMATION AND EVERYONE GETTING MAD AT YOU. $1.2BILLION IS TOO HIGH OF A COST. UNLESS THAT NUMBER COMES DOWN, WE MUST CHOOSE OPTIONS THAT ARE MORE AFFORDABLE TO THE RATEPAYERS OF CORPUS CHRISTI AND OUR S [TRANSCRIPT TRUNCATED DUE TO EXCESSIVE LENGTH TO PREVENT PROCESSING COSTS]