how we provide service whether it's a large container or multif family um or single family detached homes. Um so we actually separated that from the public health and nuisance ordinance uh at that point as well. Um which is governed by code enforcement solidway service uh the the ordinance itself chapter one it breaks into two pieces. One is within the definitions that's the article one and then article two talks about the services. Now let me clarify what we're going through today. It's no change in the services we provide today. It's just clarifying the services that we provide today. No enhancements, no um fees added to anything. It's just clarifying and making it a cleaner look. All right, collection services. So these are some of the reasons why we're making the adjustments uh and some of the revisions we're making um as far as dumpster and rollout service. So there's a difference in the dumpster rollout services which is provided to um the the design of a homes whether it be duplex quadruplex um multif family structures right um those require dumpster compactors so forth for whatever criteria they meet it dictates how many they get in their community right um so we want to actually change change the language there to uh mimic and line up with our current UDO which I'll get into that as a definition as well that wasn't in our definitions. Uh large container eligible development uh it this is codified to where it's codifying all of the units of 12 or more units. Now um and I'll I'll give some background real quick. So the background before December uh I'm sorry before 2018 it was 30 or more residential units developments required they would require a dumpster compactor. um after looking at the build of structure so forth and a number of stakeholders coming together with council and uh directors and so forth it was changed to 12 or more units now meet that criteria. So we're just cleaning that up and putting it all together and giving it a definition to align with um our peer departments and planning large container eligible development. Now, this is a working document. So, things change. Y'all see a lot of things changing along the way. So, that we may have to revisit sometime and make adjustments to what we are how we codify these. Another example would be for our small container um which is more or less our single family detached homes, things like that where we uh provide the city um of Charlotte residential cards. Uh also since then, we now provide cards to our small business vendors. So, we wanted to make sure we actually put that and included that in here. Um, that that's a city city container within that um and that we provide service to them. Personal waste containers another revision. So since when was that 2016 um actually since co we actually now implemented to where a a resident can use a personal container for yard waste collection um and that was to make some adjustments with the operation to make it more efficient. Um so we wanted to make sure we included that language and now we can use personal containers not a personal container for garbage or recycling we provide that but for yard waste you can use a personal container now. Um then we had definitions that we wanted to update which we've already I've already used them right small waste container mean city issued receptacles and the useful person for collection service of garbage recycling and small business and like I mentioned earlier um unified development ordinance wasn't in place at that time we needed to add that as a definition because we want to align with the verbiage that is being used within the uh UDO and that's dealing with the uh planning design development department and other designated departments within the city. A few other updates which is it's a lot of repetitiveness throughout the uh document. Um and this will be talking about the services shall be provided by the city facilities and following residentials deact single family uh dwellings large waste containers and small waste containers and their eligibility just to streamline all of that. All right. Um businesses and enterprises. We wanted to add and make sure we had sections in there for our small business customers for their containers. So we made the updates within their their structure of how we provide the service times of containers to be removed from sidewalks to um avoid obstruction things like that. So we made some uh slight uh changes and minor changes in that as far as adding it. And of course we referenced the ADUs um that was definitely not in that around at that time. So we haven't seen a lot of those builds and constructions within the accessory dwelling units and uh we would treat them the same as single family detach. You know they would have a should have a separate individual address for those homes. So we would provide service to them. All right. I was looking at I thought I'm sorry. So, uh, next steps, next steps would be a the committee discussion to vote on today if you're ready, um, on recommended ordinance revisions. Um, if next would be if committee votes in favor of the ordinance revision, policy items will be placed on future agenda items for a vote. And then if council votes in favor of ordinance revisions, ordinance revisions will become effective uh, soon thereafter. >> Thank you, Mr. Jameson. At this point, I will open the floor up for any questions. Do we have any questions online? Colleagues, did you have any questions regarding the clarification? >> I just I had one question. >> Yes, council member. >> Sorry, I I wanted to say it's slide 10. >> My apologies. I'm now live. Um, just a question on the size of container for yard waste. I think that's something that people are going to be curious about. Previously, it was limited that it had to be smaller than a large waste container, and now there isn't really a definition. Can you clarify what your intention is there? Oh, we're looking for 64 gallons, but long as it doesn't weigh over 150 pounds of what you put in there, we should be able to collect. >> And is is that clear to folks online? They can see those. >> It is within administration policy, but we'll review it and make sure we have >> I just I I see a lot that is stacked up as yard waste and obviously with the weather that comes through sometimes that can generate a lot. And so I just had a question about communication of what our expectations are around how much should be put out at a given time. >> Oh yes. Yes, Thomas. Um, turn to something. You like to speak Rodney? >> We we touched this a lot over the years. That's for sure. And I'm glad you mentioned it. >> Um, council member. Yes. I think to Rodney's point, uh, we do not specify Sorry, let me back up here. Thomas Power City Attorney's Office. Um, to Rodney's point, we do not specify the type of, uh, personal container that may be applicable only because, again, this is something that is sold by the private market. we can dictate the size of containers that the city is issuing because we're buying those through the procurement process. But because the private market is kind of dictating those sizes, um Mr. Jameson has to actually uh abide by the private market aspects. So, he usually puts that information into his administrative policy to ensure that we're saying, "Hey, these type of containers are eligible for us to pick up. Anything more may be inappropriate." So that's that's why it's not in necessarily the ordinance, but he's basically responding to the private market to ensure that customers can actually go out and provide the right containers for us to pick up. >> Yeah. And I and I appreciate that. I think my point is more one around how we're communicating those expectations because I think what often happens is people will drag a whole lot out to the curb and then only a portion of it is taken and then it just sort of sits there because it is bulky and it's not going to be something that a family is going to take back into their yard. And I just wanted to be clear that people did understand how much would be taken of yard waste. >> Yes, ma'am. >> So that's it. >> Thank you, Council Member Owens. If there are no other questions, I will entertain a motion. The action request is for us to support the solid waste services ordinance policy referral. So, oh, we do have um hold on for council member Johnson. Yes, council member Johnson. Thank you, Madam Chair, and thank you for the presentation, Mr. Jameson. I just want to lift up solid waste, uh, Rodney Jameson and his team. I think they do a great job. They're very responsive. Um, we have a challenge in district 4 and a lot of other districts with state road, stateowned or state maintained roads. So, um, Mr. Jameson's team, they do a great job of courtesy pickups and, um, they're just an honor to work with. But I did have a question about the yard waste. There was I thought uh the ability for um individuals to to just leave leaves on the curb without being in a bag. Can you address that, please? >> Yes. Yes. Um we've done studies across the uh state and the nation looking at leaf backs. That's what you you're uh referring to. Uh blowing your leaves to the curb and having a schedule to have those collected via leaf back. Um, and based on looking at that, it would not be uh uh cost-effective for a city within the city of Charlotte. Um, and it could cause larger issues when it comes to storm drain and storm drainage as well as dangerous on the streets as far as hazardous slippery leaves so forth once they blow into the streets. Yes. I >> I've also seen some type of yard waste tarp or something where where residents put all the waste in a it's a huge tarp. Are those is is that changing? Are those still going to be allowed? >> Those are still allowed. No change in service at all. >> Okay, good. All right. Thank you. That's all I have, Madam Chair. >> Thank you, Council Member Johnson. Did Council Member Mayo have a question? Okay. So, at this point, committee, are we interested in having a motion presented? >> Moved. So moved. >> Second. >> That has been motioned and second. All in favor of moving forward with the policy referral from solid waste services ordinance, please say I. >> I. >> I. >> Any opposed? With that, what will we be mean moving forward? So, happy Black History Month. >> Thank you. >> We are jumping right into affordable housing funding policy where again, this is the appetizer. We will go into the full meal next month, but we will have our director, Mr. Rebecca Hefner, come forward. But I think I am turning this over to Monica to preapp for us. >> Yes. All right. So, uh, second item and the third item are kind of going to go hand in hand. So, um, as Chair Mayfield had mentioned, um, we want to today just give council an update on the affordable housing policy more just as information and educational opportunities for you. Um, the policy was adopted in in September of 2024. And so, again, this is just kind of wetting that pallet. Um and as part of that presentation, there'll be mention around the land acquisition which will tie into the next item or the third item on our agenda around um land acquisition recommendations for five points. So turn it over to Rebecca. >> Thanks Monica. Good morning everyone. Again, Rebecca Hefner, housing and neighborhood services. So we're going to talk this morning about your affordable housing funding policy. Um but since we're talking about funding, um I do want to give you a very brief update on federal funding. Um so in uh October uh we shared a memo with city council and brought forward uh a short presentation to this committee about federal funding and some of the uncertainty that we were seeing around federal funding. Well, I'm pleased to share that just this week, um, the federal transportation, housing, and urban development bill, appropriations bill was passed. Um, and and at that level, we saw um, you know, level funding for the community development block grant and the home investment partnership grant. um as well as uh f uh full funding for um housing vouchers which will support our community uh and some rule changes to protect the funding for the continuum of care funding that the um county receives. Uh all in all, we think that's very positive news. The city does receive approximately $13 million annually in federal allocations through uh through four four programs CDBG home uh emergency solutions grant and HOPA which is the funding for persons living with HIV and AIDS. And so though the process, and you'll see this come forward over the next several several months, the process that's required for the city is that uh the city creates what's called an annual action plan to share uh what it is that we have planned for those funds and then we will receive typically and I'm going to check this in May or June time frame our actual allocations will be notified of the dollar amounts. That's the typical >> We're supposed to know in February. We're not going to know in February. So, we we will we will share that information with you as soon as the federal government provides it. >> Yeah. Um so so still a little bit uncertainty because we haven't gotten our uh um city's allocation amounts yet. But the but the budget has been passed and signed by the president and um and and the overall programs have level funding or in some cases um just a little bit more than last year. So all very good news. All right, next slide please. We'll jump into your affordable housing funding policy. Uh so the uh mayor um made a referral just I think two days ago um for this committee to review the affordable housing funding policy and take a look at the goals investment priorities and allocation categories. And so we'll get into that referral in the coming months. The purpose of today is really as Miss Mayfield, Chair Mayfield shared, um this is the appetizer. We want to make sure that everyone is level set around the what's in that policy uh and also what's left in the $und00 million bond from 2024. Next slide, please. What we're going to do is talk through as part of the referral what enhancements are needed to the affordable housing funding policy to integrate with the goals of the mobility plan and to mitigate displacement pressures u now that the transit and transportation projects are funded. So, in 2024, when the initial affordable housing funding policy was adopted by city council, it really covered that hundred million dollar bond. Uh, and and it uh conceived that we would have a large mobility investment in the future, but at that point there was no funding source for the mobility investment. And so this is really a a referral for you all to think about what changes might be needed to the policy the allocation categories now that we know for certain that these mobility projects will move forward. Next slide. On on this slide on the left um what you're seeing is actually an image from the housing trust fund's 20th anniversary report. Um, and this was back in 200 No. Yeah. What year is it? 2022. Um, when when when you had this 20th anniversary. And the purpose of this slide is really to illustrate that um the shift that you all have made as a city council um around what it is you're trying to achieve with your housing investments. Um for for a long time we really focused on housing unit production and that's important. Um we need to keep track of how many units are created and preserved through your investment. Um but the shift now really with the new policy and and a lot of the programs that you've developed over the last several years is to really take a more holistic focus on resident outcomes. So I think of this as a shift from the unit, right, the bricks to the people that live in those units and what are the outcomes that those people achieve because of your housing investments. Um we we have a um shorthand for it. We call it beyond the bricks. And so um next slide please. in the summer of 2024. And uh Chair Mayfield will remind us all, she and Council Member Watlington and Council Member Driggs gave up their summer break to spend a significant amount of time with us. Um and in that work really created the bones of city council's affordable housing funding policy. Um that policy came forward uh to council full to committee and then full counsel for review and adoption um and was adopted in September of 2024 just prior to the November bond. The the policy focuses on these three overarching goals of I always talk about them from the bottom to the top actually because I think that's how they build on one another. So starting with residential stability. So, how are households um getting access to quality affordable housing and then the supports that help them maintain that stability? Then neighborhood affordability. So, how do we disperse and make sure that all people in all parts of our community have access to diverse housing options? And then economic mobility because you have to pair um those housing supports with other services that can increase employment and income um and that really creates economic mobility for our residents. Next slide. So then your in uh funding policy includes five investment priorities. And these investment priorities are important because they actually show up in um the requests for proposals and other opportunities that your staff puts out into the world um as criteria and um evaluation criteria for the things that we bring forward to you as recommendations. Um so these really are operationalized. Um they're not just aspirational. The investment priorities include priority populations, location priorities, resident services, partnerships and leverage, and innovation. And so we'll talk through these priorities um when we get to the meal. Again, this is the appetizer. Um but the the range of priorities that are outlined really uh one they support the overarching more holistic outcomes that you're trying to achieve and also again they provide guidance to staff and then uh criteria for your partners about what it is that you are looking for um when when you invest in affordable housing. Next slide. All right. So, here's where we are. The $100 million bond was approved in uh November of 2024 by the voters, which means that your first RFP request for proposal related to that went out in December. And um and so you have made investments already in affordable housing. Now, I'm going to tell you um if you're not a bar chart kind of person, don't worry. The next slide has the same information on a table. Um, we we've learned we have learned our lesson about trying to make sure that that that we get this in in all kinds of learning formats. Um, and so this slide illustrates, you know, how much has been spent in those darker blue um uh or darker blue >> darker green. Um, also also also if you're colorblind, um, the table will will be better for you. Um, so let's go to let's go to the next slide. All right. So, um, these are the categories and the goals established within that affordable housing funding policy. Um when this was adopted, um council was really clear that these are allocation goals. Um that as we as as we go through the bond as in in particular as we see how the market and how our partners respond to your priorities, you may ultimately decide that some of these investment categories and goals need to be shifted. But this is how they were set initially as allocation goals. and rental housing production, 35 million. Now, that's pretty typical when you had a $50 million bond. You also typically invested about 35 million in rental housing production. What council was very clear when you adopted this policy was you did not want to go from 50 to 100 and double exactly what we were already doing. you wanted to be really thoughtful and intentional about where you placed your investments so to achieve those overarching goals. And so the total amount of rental housing production didn't change very much. One of the things that went up significantly was home ownership. This was a um historic investment in home ownership. And then rental housing preservation and supportive housing and shelter capacity. Um, those are both things that you had invested in previously, but really carved out a a specific category for as part of the bond. And then housing rehab and emergency repair is not something that you had previously funded through the bond. That had been previously funded only with our federal housing allocations. Um, and so this bond provided an opportunity to really scale up um, housing rehab and emergency repair. You also reserved $5 million in an innovation pilot fund. Um and and we've had one one conversation with committee about various um innovation opportunities. Uh this has been added now into the request for proposals for the housing trust fund. Um, and you may recall seeing at the end of last year a memo about the innovation uh challenge and innovation housing innovation challenge and housing innovation summit um that Charlotte is hosting. Um, thanks to Warren and his team for for building out that relationship and bringing that inaugural challenge to the city of Charlotte. Um we're really excited about um what we can learn from that and and and the great exposure it will give to the work that you're already doing here. Uh in addition, there's $5 million in the bond for site acquisition and $2 million for administration and evaluation. One of one of the things that as a a a former data officer here at the city I was very pleased with is we had initially proposed a smaller amount around evaluation um and that and the work team said nope you've got to bump that up um because we really need to understand the impact of our um investments. And so, in fact, we had three separate um RFPs for evaluation services that have all closed recently. So, you'll be hearing more about that in the coming months. So, overall $und00 million um in that bond uh with a balance remaining of 46.6 million. I want to just make a a note um that there's a couple of categories here, home ownership, housing rehab, and site acquisition that you also fund with other funding sources. So, for example, 5 million is not the only amount of money that goes towards site acquisition. Um, and you'll hear more about that uh when Warren shares with you a land acquisition opportunity um that we're bringing forward as a recommendation today. Um, but uh whether it's through federal funding sources um your uh BNL revenue, which you'll hear more about, uh or even your local innovative housing investments. Several of these uh categories are funded in other ways as well. So, um your your hund00 million is just the the housing trust fund bond. You um you also invest um quite a bit of other funding in affordable housing as well. Next slide. So, just to to um orient you to what's coming up around the housing trust fund in particular. So we have uh we have several ways of bringing in uh proposals that we evaluate and then bring forward to you all. Um there is a rolling uh Noah RFP so na naturally occurring affordable housing. There is a rolling land acquisition RFP. Again you'll hear more about that next. Um, and then we we may um we may bring forward a homeownership rolling RFP after this current housing trust fund um cycle. But the housing trust fund itself uh we have set RFP dates. So the the schedule in the winter slashspring aligns with the state's schedule for awarding tax credits. And so this is the cycle that we're in right now. Um the request for proposals went out in December. Um the submissions actually were due last Friday. We're still working through tallying them up and understanding what has come in. Um we will we will have discussion about that again with the committee in April. Um city council will receive our staff recommendations at the April 13th action preview and then you will consider those opportunities for approval um on April 27th. And that again aligns with a May deadline for the state. Um, and then typically in any given two-year bond cycle, we do only three um, housing trust fund RFPs because you typically have allocated an uh, the full amount of funding at the end of the third cycle. But if you have not, then we'll have a fourth cycle in um, the summer. Uh, next slide, please. So that's that's the housing bond and the housing trust fund. And then this is sort of back to the bigger picture about the referral itself. Um and so next month in March, we'll bring the full meal to you. Um and and I don't know how many courses you'll have yet, but we'll get started in March and that will be uh to discuss the 2026 bond. So what what um what are your recommendations and and um uh around allocation categories? We'll discuss location priorities in particular because that is the the piece that's most aligned with mobility investments and anti-displacement. Um and then also talk about different ways that the that your policy is already aligned with u mobility and anti-displacement and if you want to make some changes to lean into that even more. Um, in April, uh, if if we've gotten this far, um, staff will bring back to you some draft recommendations based on the committee feedback. Um, but we'll we'll see how it goes from there. Um, Chair Mayfield will tell us how fast we need to move or how slow. Um, because you do have some time on this one. Again, um, the last round, uh, city council adopted that policy in September prior to the November bond. And that is the end of your appetizer uh both for the uh affordable housing funding policy and the overall referral. So I'll turn it back to you, Chair Mayfield. >> Thank you, Director Hefner. I do want to use this opportunity to congratulate you and the team because you have done amazing work with implementing what council voted for. And I also before opening up for questions want to highlight a article that was published on February 2nd. Affordable housing construction nearly tripled in Charlotte, third fastest growth nationwide. I shared this on my social media, but I thought it was important as as a part of this conversation. Between 2020 and 2024, the Charlotte Metro completed 6,078 affordable apartments, accounting for about 11% of all new apartment construction during that period. Overall, roughly 56,000 apartments were built in the metro over those 5 years. These 6,078 apartments represent a 191% increase in affordable housing construction compared to the previous 5-year period when affordable units made up just 5% of new apartment completions in the region. I would encourage anyone if they would like the to review the full article again. The title was affordable housing construction nearly tripled in Charlotte, third fastest growth nationwide. So I want us to recognize and again to applaud the team and the staff because you are doing amazing work and I have the ability to receive calls some most recent from across the nation where Charlotte is the we are the model that other communities are looking at with how we do it. Even though sometimes it doesn't feel like it when we receive calls and emails, but I did want to share that with anyone that my colleagues online. >> Oh, yes. Mayfield, >> can we have a short celebration for that? >> Ryan, >> thank you again. Happy Black History Month, Council Member Mayo. >> Uh, thank you. I also want to congratulate Rebecca's team as well. Thank you for sharing that. Uh, Council Member Mayfield, I had not seen that article, so I'm excited to find that and to share that on my platforms as well. Um, just want to go back to one of the slides where Rebecca talked about the priority list. Um, and just was wondering um, how they're weighing some of that. though based on location when we talk about are we looking at school report card data or access to transit just curious about um whatever like formulas that y'all were using or kind of weights when we're talking about priorities um to ensure that people you know housing is important as we know but how how do we provide other other access um to ensure yes this is a slide that first one priority populations no Um, location priorities, I think. Yeah, >> sure. Um, thanks for the question, Council Member Mayo, and we'll dive into this one. It really, this will be the one of the deepest dives as part of the referral. Um, but what I'll share is that city council has a housing location tool um, which is available um, and accessible on the CLT community hub. And that tool is one of one of the um things that helps guide um the the location priorities. That tool helps you all look at and balance um across four things. One of them is Thank you. um uh proximity and uh so you'll hear more about this in the next presentation because um because we we we have a proposal where we've run a site score. So one of them is proximity and this really looks at proximity to jobs or grow a amenities like grocery stores um high frequency transit schoolsarmacies etc. The next category is access. This looks at access to jobs both by car and by public transit. The next is neighborhood change. Um looking at how quickly a neighborhood is changing through uh in uh uh construction and other market investments. Um with with you all telling us you're prioritizing creating and preserving housing in those neighborhoods. And then the last component is diversity. Is the proposed housing creating a a diversity of options in the neighborhood? Um, and so we really look across all of those um categories within the location uh tool. And then you've also identified in in that in that policy there's there's a whole drop-own list of bullets in the actual in for policy itself that's that talk about um your your commitment to um uh areas that are vulnerable to displacement and your commitment to investments in transit oriented um communities. >> Thank you. That's helpful. Um, Chair Mayfield, can can I kind of elaborate on that? Do you mind? >> I'm gonna say yes. I do have one more question and we do have one more item. >> Yeah. No, it' be very short. So, Rebecca, just thinking about like the 2040 plan. I really kind of skyward that and just thinking through it's already kind of highlighting what areas are right for displacement in the next few years. So, just excited to see that y'all are using that tool with that priority list as well. Thank you. Thank you, Council Member Mayo. Council member Owens, >> just very quickly, and please don't take this to be a criticism. It really is just a question because I'm I'm new to this process. Is there risk given the timing of how we have set these priorities and the passage of the PAVE Act that we are going to get priced out of some of those properties that are along our anticipated rail lines? And I say that only because I'm looking at these location priorities that I think might be a little bit different if you had that fornowledge that we were going to have that pass. Can you speak to that at all? So I think the the referral itself is an acknowledgment that the passage of the funding source for transit um is in itself an accelerator of transit development which will increase displacement pressure. So yes there's risk. What I would say is two things. Um, one, um, it was anticipated as part of the original affordable housing funding policy because there are multiple places in that policy that reference priority around ant uh, anti-displacement investments um, and priority in investing in um, transit areas, including having the site acquisition funding and then also an additional funding source for site acquisition and transit areas that you'll hear about next. So I think there was there was anticipation that it was coming. Um for example, if you look across the total hund00 million, 49 million of that is funding for anti-displacement activities. So nearly half of uh that funding was dedicated to anti-displacement even at that time. Um and so I think for for the committee's consideration is um you know do we need to make adjustments, accelerate some pieces or move funding from one category to another? And that'll be all of the discussion that you all have an opportunity for in the coming months. >> Thank you. >> Thank you, Council Member Mes. >> Thank you. Um again, congratulations. I think that's a huge accomplishment and thank you chair for highlighting that. I I would love it's more so of a comment and out of curiosity is have further discussions on how can we attract amenities with these housing developments right to communities. I think we've done an excellent job in providing housing to lowincome individuals and families. I think the next step and maybe this is with partnerships and innovation is how do we make sure given that mobility is now a big priority for us make sure that these folks are able to stay in place and have access to amenities such as restaurants, retails, coffee shops in their own affordable housing units because I think there is a lot of tension between some communities that might see a saturation of affordable housing and are fearful that amenities won't come to their community because of low AMI. But I think we can be bold and I think lowincome affordable housing um medium AMI um individuals and families should have uh access to amenities just like any other part of Charlotte. So that is more so of a common and like wanting to have further conversations on that. Thank you. >> Thank you. I appreciate the fact that our committee has a lot of synergy for the fact that I just had a conversation yesterday or a day before with a potential developer and talking about that ground floor and how we can move that forward. Council member Johnson. >> Thank you, Madam Chair. My first question is are we going are we voting on anything today? >> No, ma'am. This was just a update to to see where we are on funding, where we are on priorities. This was the appetizer. We're going to have a deeper conversation in March. >> Okay. Um, and I know we're kind of pressed for time. Uh, is there an ability for anyone from the audience to to answer some questions for the committee? I know we have some really heavy hitters um in the the um affordable housing or housing advocates in the room and I just wonder if we have a chance to to ask Mr. Flette a question. He did send a wonderful he he sent a wonderful email that I think we should consider. I don't know, Rebecca, if you've had a chance to review that, but part of his uh concern was that we kind of focus on high opportunity areas and transit stop areas that we really want to make sure that we are um considering. Also, we know that there's a 40,000 unit deficit for individuals um um in the 50% in AMI category. So, when we talk about priority populations, I'd really like to know, you know, who those are. And also, Council Member Mayfield, thank you for sharing that article. That's great. But the affordable housing um increase, I I'd like to know what rate those those units were because here in Charlotte, you know, $2,400 a month we celebrate as affordable, which is truly not. So, I I really want to just keep lifting up those who need affordable housing the most and make sure that we are concentrating on preserving locations. Um, and especially with the transit tax passing. So, um I I just want to make sure that we we we're not voting on it and if we are that we have an opportunity to hear from individuals in that room um who really bring a a lot of information to the table and Kimberly and excuse me and the council members who are new um he's a wealth of information and um I'm sure he'd be willing to sit down with you. Thank you. >> Thank you, Council Member Johnson. Again, going back to the synergy, that's the exact conversations that our director as well as our DCM have been having, which is why today was just the appetizer in March. We are going to have a some partners that are going to be coming in to have the deeper conversation. But for the 15 minutes that we have left for this, this was to level set to see where we are with funding to let everyone know what the initial priorities were that were adopted as we move forward as we go into this request for the land acquisition. So actually our March meeting is going to have the opportunity for us to have our partners come in to help us have the opportunity for to have real conversation as was mentioned. Is this still the path that we want to go down or is there opportunity for us to look at other possibilities? >> Well, thank you. Because when we look at the home ownership numbers, looks like we've spent just about half of it. So I wonder if if we're going to be able to spend that or if we need to reconsider our priorities >> and that's what we're going to be talk starting the conversation in March on. >> Thanks. >> Thank you. And with that I think I'm turning it over to Mr. Wooten to potentially present something that is quite exciting to the community. >> Great. Thank you uh Chair Mayfield. Good to see you again uh committee. Um, and I know that you're short on time, so I'm going to be descriptive, but as brief as possible. Um, next slide, please. So, uh, part of the work that we do is we bring to you various opportunities. Many times those opportunities come through these standard RFP rounds, but there are opportunities that we have for these rolling RFPs uh because there are conditions in the community in our in our real estate that requires us to move quickly and requires uh uh quick investment if it's an investment that you want to make and these are one this is one of those opportunities. Um, this is a a project uh at Five Points that um Historic Western Partners has been working on for uh for a a a good while now. And I just want to acknowledge uh that not only are are they in the room, Miss Adams is in the room, but also a a heavyhitting group of collaborators, including Knight Foundation, Lisk, uh and their development partner, Integral, all in the room today. So, thank you all for for being here. Uh the the request that's going to come before you is a is a an investment just a little over $4 million for land acquisition to move forward a mixed income mixed use development at five points. Next next slide. So before we get going um just a little bit on how this process works around land acquisition. Several years ago, uh, council widened their toolbox on how to do affordable housing development. And one of the tools that you added to your toolbox is is land acquisition. So, this is council getting involved in a project even earlier in a development process than they had in the past. um assisting in uh taking down land for affordable housing development before the entire shape of that development is really even known, allowing you to go quicker and make more strategic investments, especially in high priority areas like TOD. And so the one thing that's important to recognize is this is a little bit different than your typical HTF process and that it's a two-stage process, not not a one-stage process. So the the way this process works is that you make an investment in the land. Uh that is typically a shortterm loan. In this case, it would be a short-term loan and then that project would come back before you so that you could contemplate the full investment that you would make to to bring down the affordable housing investment. In some cases, that's leaving the money in that you use for the short-term loan. Sometimes it's an higher investment amount. We won't know that until they get further on in the process. So, how we evaluate this is going to be a little bit different than we how how we evaluate uh HTF. Um this isn't new. You've done this before. Um one of those was the Barton South project which just broke ground uh blue on the blue line extension. And then the the the newer one that you did with your TOD funding is the Dorton site um that is on the northwest side of the town headed up to the university. also a TOD site. Um, and this will be your first contemplated investment that is a land acquisition on the on the gold line. So, a a new kind of area for you. Uh, next uh next slide. So, just wanted to lift up uh the um the transitoriented development uh program and especially uh some of the funding that we're contemplating in this investment. Um Rebecca did a great job of laying out that you have multiple funding sources. One of those funding sources is been established through your UDO, which provides developers flexibility and options when they're uh developing in your transit oriented development areas. And and one of those flexibilities is that they get some uh bonus for either building affordable housing in their development or paying a fee and loop price to buy out of that requirement but allow you to invest that money in affordable housing investment in strategic priority areas. So in this case, uh, part of the funding, the current available balance in that fund is, uh, 1.7. We've had about 4.8 come in. And just as a reminder, your Dorton investment was your first TOD investment. Uh, it is a it is a total of $19 million of investments. 4.8 have been paid in, and you have a remaining $14 million of commitments that have been made in this program. the developers don't have to pay that in until they're ready to pull permits. So, the the outlook for this funding is very bright in that you have a lot of developers that have made commitments. Those those commitments have not all been realized yet because developers are still waiting for those developments to go forward. When they go forward, they then pay in, get their permits, and go move to development. So, that's kind of the difference between the money that you have in pocket and what you have coming towards you. And then in addition to that funding, you've got the $5 million that Director Hefner just talked about in your HTF. Next slide, please. So, uh, in January 2024, uh, we issued, uh, this transit oriented development. That was the again the the first project responded to that was give impact with the Dorton project. and it it is out there and it's it's it's open and rolling. We updated it in January and what it allows for is up to 90% funding um on a loan to value for the acquisition of uh to highly strategic land opportunities for you. So, one of the ways that we protect your investment is again we we only loan up to 90% of loan to value. Um and it is a short-term loan. it is a 3 to fiveyear loan and then at the end of that period we have the ability to call that loan if development hasn't gone forward and you have a first position uh in this. So again because you're kind of getting out in front the way that we protect uh the city investment is through that loan to value and through it being a short-term loan that can come back in. But we have every belief that this will turn into a great project and and we won't need those protections because you're going to get some great affordable housing um out of this uh approach. And so again uh you you you contemplate this investment, you're protected in making this investment. It allows the development group to go ahead and secure site control, continue to analyze uh this project, and then bring you forward a full request on what this project will look like uh going forward. >> Warren, just quickly, I just want to check in with the team to make sure everyone's good. If we go maybe five or 10 minutes over, we have the time on just in case. I just want to make sure that that if we go over a little bit that we're all good for it. >> Oh, we got to 10:30. Oh, we real good. Never mind. I was getting nervous about the time. >> I know. >> Again, it's early. >> It's It's early. >> Well, I'm happy to go backwards and go into much more detail. >> I told you not to. >> Uh, next slide, please. Once we get through all the slides, Councilman Mayo, we will be coming to questions again. >> So here here's just some of the development details uh to orient to you. You are looking at five points with the college up there on the northeast corner uh running up into historic Washington Heights on Batty's Ford. And you see the location of the uh contemplated investment. uh the the developer uh does have an active purchase and sale agreement to take down this property uh and move this project forward. Contemplating uh an estimate of 145 units that will be mixed income. This is also a mixeduse development uh that includes uh grocery and other non-residential spacing on this site. So a true mixed income, mixed use development um that uh is in one of your very high opportunity areas. So um we had a great discussion on uh your site scoring tool. This is another way that you're leading in the industry of really putting data around how you make sighting decisions. And uh being someone that uh looks at these site scores very frequently, this is a very high site score. Uh anything really over 25 is a very high sight score. So this is indicating that it checks lots of your boxes when you're thinking about areas that you want to make investment in based on the way that this score was contemplated. Go ahead and go to the next slide. So there what you're seeing in the request the the 4.14 million is uh 90% of the hard cost take down for this for this site. Um you have a balance of about 1.75 1.74 in your fee and low loop program. So to make this development whole, uh the staff is recommending that you pull the residual out of your HTF site acquisition category, which all told would then uh would zero out your what's currently available in your fee in L, but I showed you that you have those night. you have more money poised to come in, but this would this would zero out your current available balance in fee and loo and then it would give you a remaining available balance in your HTF site acquisition category of 2.6 um and would you know the the bottom balance is your is your total all-in balance after this transaction if you were to approve it. Next next slide. Uh so here we are on February. Yep. February 5th. Uh so economic development workforce committee will also be receiving a an overview of this because it has economic development. It has non-residential con components and really economic our our partners in economic development have been really leading the way on this project with all of the things that are going in into this into this project. On the 9th, uh council will receive an overview uh of the of the recommendation at your action preview and then you'll have an opportunity uh to consider the funding at your meeting on February 23rd. and and Chair Mayfield, we're still confirming that ninth. >> Chair Mayfield, we're still confirming the ninth just to make sure that we can have it on this action preview. So, I'll follow up with you once. >> Thank you. And thank you, Council Member Mayo. We I would love to open it up with your question. >> Oh, thank you. Um, Lauren, just had a quick question about the percentages for the various like when it comes to income level of residents. I know that's something council member Johnson uh mentions a lot or do y'all have that allocation? So maybe 10% for 30% or below uh you know a certain percentage for 50% 70% AMI um is that going to be provided to us as well before we will be making the ultimate decision? So uh thank you for the question. Uh the team's been working on those uh calculations. Again, we're very early in the process. Typically at this phase, uh we don't ask for a specific com uh uh ratio commitment in the project. I can tell you that the numbers that they have been providing provide a diversity of income ranges and include 30% units. just so early in the process. We typically don't have a developer development commit to those numbers during the acquisition phase uh because there's there's just so much unknown. You'll typically see that in the in the in the in the step two of the two-stage project when they come back in to discuss the full housing development and those costs. And and I would just add that when when you know when we do a land acquisition, when when council invests at this early stage, it creates an opportunity for staff to work very closely with the development team on that housing development. So this this one would likely come back to you through a housing trust fund application which mean requirement that's in your housing trust fund for 30% of the unit 20% of the units for 30% AMI. Um so so all of those would still be applicable but again again land acquisition is step one. Then we work together with the development team to create that the actual housing proposal which will come back to you um through the housing trust fund. >> Does that answer your questions counciloman Mayo? >> That is. Thank you so much. Thank you so much, Council Member Owens. >> So, these are more um philosophical questions about some of the elements that were described in the overview. And so, these may be things that we take offline or you refer me to something that will help me get up to speed more quickly, but I'm just interested in section 16.3 of the UDO, this this choice that we've made as a city to go with voluntary inclusion. Can you point me to some of the thought processes or some of the the data that is suggestive of that and how it is more effective than obligating? Um I I believe that we obligate where our money is going in. We do obligate certain percentages but around the bounds of the comparison between uptake of this of this program. I I just would like to understand that. So that's my first question. >> Sure. So I'll do my very best. >> I know it's a big question. And so please feel free to refer me. And so um and I know that you have some familiarity with development and and really it's true when you look at development especially in these um in these very large projects where they're doing very high density. Every developers will tell you every project is just the same as it's that that one project that they're very unique in what they're trying to achieve. the different types of funding mixes that they're coming in and the different challenges that they're dealing in developing the in in delivering a product to the community. And so because of that, what developers asked for during the UDO development process was flexibility and having various ways, various options to achieve city priorities and still be able to work through um making sure that that development fits fits within the context of the community that they're developing in. So, I know that that was a lot of the consideration around just a a very rigid, hey, if you're going to get density bonus, you have to provide this amenity. You have to provide this affordable housing. um these these have to um to instead of doing that the the fee and lube process provides them a flexible option to help with affordability in the city even if the numbers don't work to do it in that particular building that they are that they're working on. >> May I ask a followup? >> So thank you for the indulgence. So I I just I'd also like to understand is is there already a a tiering of of of that fee in Lou or is it just you you either do it or you don't do it and what I'm asking is around whether you had a higher incentive that you could give to do that lower income like if we could be more thoughtful and more um helpful to some of those lower income folks by upping the ante with respect to the the proportionate amount of benefit to the developer for doing it. >> Yeah. So, it's a really it's a really great question. I don't think that that is the way that our current our current program works. I think that there is one affordability classification and one fee and loot number. But what you're talking about is is very um an intriguing idea of if they provided, you know, a lower tier of affordability, would they get more bonus out of out of doing that? Um, and I'm I'm very fortunate that Allison Craig is at the table right now, >> so I can just check in quickly. >> Well, and again, since I I don't >> to see if I I've said all of that correctly, I've got a thumbs up for from our uh DCM in charge of all of that. So, I'm doing good so far. >> So, Council Member Owens, on that point, I think we have an opportunity because hopefully before May, we'll have our budget retreat. So, I think that is a conversation that since we have our representatives from the mayor's from the manager's office here to add that as a part of the conversation for the retreat to look at is what are the possibilities based on the market and what we're seeing today. >> And I just I don't want any developer to be clutching their pearls right now that I'm suggesting mandatories. I'm assuming that some very deliberate and and study work was done with respect to why this works better. I'm just wondering if we can come to the middle a little bit more by just further encouraging what we would like to see happen, which is some additional housing for that that 30% AMI. >> Great. Sure. >> Without mandating it. >> Anything else? >> No, but thank you. >> Thank you so much, Council Member Johnson. >> Thank you. And thank you for that idea, uh, Council Member Owens. Um, we're not mandating it. We're simply saying if you'd like this benefit, this is our needs. I would like to see for our next presentation, um, Mr. Wooten, if we could have a breakdown of the AMI units and how that equates or translates to rents. We talk about 30, 50, and 80% AMI, but I really want to ensure the council understands what those rents are. And um so when we're considering that um also last month we had a presentation about acquiring land um or assisting in development and giving a devel developer land I think and the lowest AMI was 50%. So, I just um it makes me nervous that we would consider land acquisition without having a guarantee that our most vulnerable residents aren't going are going to be included. You know, last month's presentation, Valentine Reimagine, we have a history of supporting development through land and excluding our most vulnerable residents. So I won't be supporting any proposal that doesn't specifically include uh 30%. We need to see this language. It needs to be clear that this is our priority. We say it's our priority. And so when we have our land, we need to ensure that any that everyone um understands that that we're firm on that. Thank you. >> And thank you, Council Member Johnson. Just to clarify, your affordable housing funding policy requires 20% of units at 30% AMI. Um, and so any investment that that you make even at the land acquisition stage is made with the obligation to provide that when they come forward again for um for funding the affordable housing. So it is in your policy and that is operationalized in the city's request for proposal for the housing trust fund. And then yes, we will bring back the AMI and the associated rents. I think it's important also to uh to bring in the context that uh that there's that there's um uh two ways to support households. One is with the units themselves and one is through direct support to the households through rental subsidies and vouchers. And most often um these uh developments pair the two and that is what is contemplated um initially with this um development in um historic West End. But of course we're still in the very early stages of that um and working through uh um Historic West End and their partners are working through that with with various community partners. uh and so it it does exist as a requirement in your policy uh and and that's how it's protected. So let me ask you, thank you for that clarification. When council member Mayo asked the question, I thought the response was where we're we are unsure on what the percentages would be or what the what the ranges would be. What you're saying is we're we're not unsure. there's a requirement uh for certain percentages to be at 30% AMI, 50% AMI and and so on. >> Um so actually both of those things are true. We're not sure yet about the final breakdown of uh percentages of units because the full uh development is not fleshed out at this stage and um it it it will depend on what type of uh equity and capital they can attract to uh to the development. Um so it is it is not um known yet. However, your policy requires for a housing trust fund project 20% of of the units at 30% AMI for um for two things, new new um multif family construction and for your Noah acquisitions. Um and that's that's a part of the priority population's um uh investment priority and it is included in your housing trust in our housing trust fund RFP. Uh so so that developers and our partners know from the outset that that's what the requirement will be. >> Okay. Well, thank you. I know we we all attended the ribbon cutting for Trella at Uptown and we saw a successful model for mixed income. So, we know that it can be done well, but I we just have to ensure we know we have a 50,000 unit deficit. So, we have to ensure to that our funding matches our our commitments or our our verbal commitments. We're actually doing what we say we're going to do. >> Thank you, Council Member Johnson. So, what we have in front of us is the staff recommendation to invest 4.13 million in the developer acquisition of land along the gold line for future affordable housing. I would entertain a motion. >> So moved. >> Second. >> Second. >> I have an emo I have a motion and a second. Do we have any further discussion? At this time, I would like to entertain the vote. All in favor, please say I. >> I. >> I. >> Any oppose? >> That is unanimous. >> I'm opposed. I'm sorry >> that. So, we have a motion of four eyes and one in opposition. That moves this conversation forward. So, thank you all for an amazing first meeting back after the storms. Happy Black History Month. Heat. Heat. I go. Heat. Heat. Hey, hey hey. Heat. Heat. I know. Heat. Heat. Heat. Heat. Heat. Heat. time. I would like for those who are in attendance to introduce themselves starting. No, I I'm going to go to my right because I got a special gift for the young lady in the left. So, I'm I'mma start with my right here. >> Good morning, Rebecca. Housing and neighborhood services, planning department. Alexis Gordon, economic development. >> JD Masa Adio, City Council, District 5. >> James Mitch, Mayor Pro Timm, the chair. >> Lana Mayfield, council member at large committee member. Allison Craig, deputy city manager. Monica Allen, deputy city manager. Monica Holmes, interim planning director. >> Malcolm Brown, Charlotte, city council, District 2. Shah Rana, economic development. >> Jonathan Bray, economic development. >> And Aaron Gillespie with the corridors of opportunity team. >> Business Association. Miss Charlotte. >> Hi. Good afternoon. Greg Charales, >> Charles Thomas Night Foundation, >> Rafine Cwell, List Charlotte, Tanya Adams, Historic West Partners, >> Steph Partners, >> Jordan Jones, the group. >> I'm not going. >> Yes, >> come on. Christy Floyd. >> Speaking of Christy Floyd, I'm so proud to hold up this article with Miss Christy Floyd in the business journal talk about our small business ecosystem. Can we give Chris a hand for a hard? So now now moving on. I know Chris really thank you for your pass your commitment. I know your partner Crime Holly who's not here works very close uh closely with you. So we have three agenda items and I'm going to turn it over to my deputy uh city manager to introduce the first item to us. >> Very good. Um so the first item we have is um we're going to talk about how we have supported our business district organizations in the past and talk about a new tool that um that we have that will support these um organizations both in the corridors and in other parts of our um our city. I'm really excited about this too because um uh this is something that's really important to the community and to council and staff and um not only do we have a lot of different things that we are using to support them, we also have some um some funding that also is helpful as well. So with that, I'm going to turn it over to Monica. >> But Monica, before you get started, one more introduction of the representative from District One, >> Dante Anderson, District One. Thank you. Thank you, Council Mans Monica. >> Great. So, uh, very excited to join y'all today. Uh, I'm here to really just tee up the presentation. As you pull up the presentation, um, as Allison mentioned, uh, the city of Charlotte has really been working to support our business district organizations really across the city's organization. So me from planning and Sha from the economic development team. Uh Rebecca's here from housing and neighborhood services really showing that support and we've all been uh really working on how we can create an ecosystem that best supports uh our corridors not only our corridors of opportunity but our uh other business corridors and activity centers. So uh the work that uh we will talk about today uh is really the next generation of this support work. So today we hope that uh you I'm assuming the presentation's coming. Sorry I was I was slow talking uh but if you can pull it up the business district organization strategic support update and then >> Monica can you pause for a second >> calling? That's why I left the call. So, I'm hoping somebody's coming. >> Okay. Well, we can just we can >> Sorry. >> We can wing it for a minute. >> You should. >> Yeah, we think it's get it's like we think it's getting up maybe. Okay. >> Yeah, that's fine. Um, so we we'll get started. I'll go through the first couple slides and then when we get the presentation pulled up, we can catch up to where we are. Um so uh the purpose of uh the presentation today again is to get an update on the work that we've been doing over the past several years and our planned efforts to support um our business district organizations. Uh again in our quarters of opportunity and beyond. Uh if you noticed as we were doing introductions we have several of those organizations in the room. Um Greg from Charlotte East, Jatonia from Historic Weston Partners. I just saw Shereeko um come in who's supporting several of those organizations. Um Sugar Creek Business Association, Mon'nique with them. So um the goal today is to talk about uh the start scale sustain initiative of how we're building capacity currently. Uh that's from our ARPA dollars and Erin will take a deep dive into that. Um that's currently in five commercial districts. Uh then we will talk about the framework going forward and Johnson will really talk about that future and what it looks like. As a reminder, this is coming to committee through um a mayor referral. And so that referral is um how we can again grow and support our small businesses uh to sustain both their organizations programs and offerings and create a network of support uh for our communities. So this ties into the quality of life referral and how we're expanding capital, how we're stabilizing our commercial space. We're offering technical assistance. So yes, we want to fund the organizations, but we also want to create a framework in which they're successful um into the future. Uh we want to elevate the visibility and voice and kind of strengthen those ecosystem connections. So, uh, we have been to committee before. So, uh, as we get the presentation pulled up and as you look at your, um, papers, we've been, uh, June of last year, January of last year, uh, we did an economic development presentation to tee up that, uh, S3 program, that start, scale, sustain program. Um and then all the way back to 2023 when we approved that initial investment through ARPA dollars. Uh so we uh again this presentation today will tee up the future and we'll be back with updates as we head forward. So um I'm going to turn it over to Aaron uh just to go ahead and talk through uh how this supports our larger goals. And again, once we get the slides up and running, we'll have um the slides catch up to where we are. But for those in the room, um you have the slides in front of you. Um and for our audience at home, u the agenda is on the website and you can pull up the PDF of the slides from there. So, I'll turn it over to Aaron to to keep us moving. >> Awesome. Well, thank you, Monica, and thank you, uh committee. So, we want to start off by really level setting on why business districts are important uh and how they tie back to our overall city goals. Uh we see the uh thriving, vibrant, active business district uh as serving and really directly advancing uh three of the 10 goals from the 2040 plan. We're building out the 10-minute neighborhoods if we have active um successful sustainable business districts. We uh are also building out a more diverse and resilient um economic ecosystem, more opportunities for folks um to build equity and wealth right within their own neighborhoods. And we're also uh retaining culture and identity. So these are places that we know really help um galvanize who Charlotte is, what Charlotte is, who these neighborhoods and communities are, and an active um business district helps with that place branding and identity. >> Erin, if I may, I just want to make sure since we don't have a presentation, we got key stakeholders here. So, I want to make sure they have a copy. Do Do you have a Okay. Do you have a copy of the presentation? >> You're fine? Definely. >> Okay. You pulling up a line. Okay. >> And we can Oh, Mr. Chair. >> Okay. >> If we can just say what slide they're discussing. >> Oh, yeah. I can flip it through. >> Yeah. >> So, I'm looking at slide six right now. >> So, thriving business districts support our citywide goals. >> Mr. Mr. Chair, this is Council Member Wington. I just wanted to let you know I was present. >> Oh, thank thank you, Council Member Watson. Thank you, >> Coun. We are having a little problems with technology. >> Technology, so bear with us. Okay. >> Okay. Sure thing. I also see Council Member Mayo. >> Okay. >> Yeah, I just joined. Thanks so much. >> Oh, Council Member Mayo. Thank you. Do we have any other council members uh who have joined us virtually? >> No, that's just the two of us. >> Okay, thank you. Aaron, go right ahead. >> Fantastic. So, on slide seven, um I really want to make sure that we have that base level and kind of shared understanding of um how business districts operate and how the city's historically been supporting their growth and development. So, um there has historically been the business district organization program housed within economic development um targeted at the business corridor revitalization geography. I'll get I'll do okay which does offer annual support for active business districts within the business corridors. um that program legacy uh program annual basis does provide support for business district activity but uh you know I think we've recognized that there's not really the capacity building built into it that often our business districts need especially if they are new or emerging um to really grow into an established district. So we have um often those business districts start off as uh business associations or merchants associations. It's a you know informal structure much like a neighborhood association. They are often volunteer-led. They're really focusing on those immediate needs of their business members. And in the grand scheme of things, yes, slide seven. Here we go. >> Perfect. >> Fantastic. Thank you to all the tech wonders out there. We appreciate their support. So, um, this is really our spectrum of business districts. >> Um, excuse me. Sorry to interrupt. I don't see it online just yet. >> Got it. Thanks. >> There we go. Council member, can you see it now? >> Yes. Thank you. >> Thank you. >> Awesome. Okay, I think we are ready to rock and roll. Here we go. >> Uh, if I haven't mentioned it yet, Charlotte's business districts are very resilient and adaptable. So, This is just par for the course and we're going to keep on moving. So, business districts can really start off as this very volunteer-led, less formal uh structure. They uh relatively speaking can be, you know, easy to start or implement if there's that core group of business owners and stakeholders interested in uh you know, working together and collaborating. And that really is that B do program um where that support lends. So the bottom spectrum or arrow is how the city has been supporting these along the way. When we move into a more specialized business district program, they're usually um guided by a specific strategic plan uh or program. They're setting goals and uh have a more formal structure. There's a a board. They've got bylaws, the governance is in place, and this is where they can really evolve into something that's volunteer-led to staffled um or have some paid, you know, folks who are really carrying out the work. And then, uh I know we often talk about um municipal service districts and how they fit into here. It's a part of that spectrum, but it's not necessarily a one for one or an A to B to C because you know the municipal service districts that is a very formal taxing authority. It's really a funding mechanism. It doesn't necessarily have that program or capacity building uh aspect that some of our earlier um steps do. The municipal services it becomes a more complicated funding structure. there's a requirement um both for property owners to pay that additional tax um and for staff to implement those services and then really most importantly it has a um critical built environment requirement. So it really requires that dense core of commercial taxpaying properties with a low vacancy rate in order to succeed. So we like to say it's a part of the spectrum. It's definitely could be a long-term goal, but it's not necessarily that you're going from A to B to C. Um, as you really need to make sure you've got that strategic plan and governance in place. So along the way and a district can evolve and go through this timeline um or not. It really it's all based on what those conditions are on the ground. Uh like I mentioned before, uh we saw a capacity building gap in our current BOP program and so we were able to um you know use the city's some of the city's ARPA allocations for that one-time um funding to support capacity building. So how can we grow um new business districts where there aren't currently organizations? And then how can we support um the ones that have been on the ground doing the work really um advance and um mature into that next stage. Um, and most importantly, because we were using those ARPA dollars, our business districts, like I said before, truly they are very resilient um when they are on the ground and working. And I think you all, I'm sure, saw there was a lot of um COVID relief and response that was led by our on the ground partners. Uh and so that kind of resiliency and readiness is really built into the capacity building work that we've been doing and um look forward to doing. So because our two um breaking barriers to business initiative and the start scale sustain initiative are one-time funds. Um we are also have been developing what comes next. So how do we really formalize this level this new level of support? Uh next slide I am on slide eight. Perfect. Thanks James. So uh if you recall this slide from our June presentation um we wanted to show that the corridors is really building out this network of on the ground um service and support providers. Uh this includes our business district organizations, but it also includes our opportunity hubs and some of our other um creative space initiatives, our workforce small business partners that we've been investing in who are providing better access to programs and services. And so we're really building off of this network of partners that we have um been investing in. Um our next slide. Perfect. Thank you. Um I want to make sure that we have a good understanding of where we've been especially with this start scale sustain program. So just want to make sure we're good on tech. Um so this one-time um ARPA funded project pilot um we focused on supporting that capacity building within the corridors. Uh we wanted to make sure it was flexible to uh be useful and effective for um organizations that are at various stages of development. whether it's uh you know we started off with some uh group of business owners who are eager to create a business district um all the way to organizations who had been on the ground leading this work for years. So it was important that this supported established and emerging districts and that we are able to provide this funding and a very tailored uh package of technical assistance to really meet them where they were. And the next slide uh a little more detail on what that really has looked like over the last year or so. So um we wanted to make sure any organization had the ability to really get started um establishing that shared vision and goals and then um start scaling how they are impacting um the businesses and stakeholders within their district and then building in some sustainability. So because of this one-time funding, we don't want it to be a funding cliff. We really um you know business district organizations I think work best when there is a um public and private um shared funding model and it's not necessarily one fund that's not very resilient and so uh we wanted to make sure we were building in the ability for districts to access the tools to help get them sustainable. Ultimately though, on the right side, this is, you know, almost we had a menu of um work plan items that the districts could choose um where they would be spending their time and money on. And so it was truly customized to their needs and where they wanted to grow. Um this was an example of how this might look for our S3 districts and moving forward. I think this is a similar um timeline of how support might work when we're looking at capacity building for our business district organizations. There are a couple one-time um activities that we saw and continue to see is very foundational. So developing at that strategic strategic plan, um conducting a business inventory, making sure they really understand who's on the ground with them, and then developing um a budget and a long range funding plan and some other really key governing uh activities. And then moving forward, each district is able to uh craft which activity or service either the organization needs or what are the services that you want to provide to your business members. Really helping to demonstrate and uh communicate what that dis district organization's value ad is. So what are you bringing to the businesses within your corridor? So we have had some incredible success within the first year. Uh we have five S3 starts scale sustained business district organizations in the program. Uh four of them are represented here in the audience. So I definitely appreciate their um you know time and uh support to show you all. Uh really we wanted to showcase what they've been doing. And so with this program and with um the support from corridors and our larger team um each of these organizations has been providing progress reports every six months um reports on their grant activities, their financial utilization and their performance metrics. We were really trying to start almost building up the muscle of what a formal program might ask for. Each of the organizations has made progress on the organizational building and strategic planning efforts. And then all of these organizations have functioning boards, bylaws, and they have marketing and branding in place. And then separately uh each of the organizations have launched um either marketing or new business campaigns which we list up at the top here. And so you can see all of them have been active. They were very quickly able to um utilize the funds. And then they also all have a work plan that they'll be completing by the end of the year since that is our program pilot program end date. Aaron, let me let me do this. A lot of >> a lot of times we don't get a chance to recognize. So, I'mma have the district beat their chest, too. So, uh uh Shalladise, District 5, Greg, can you stand? >> All right. Beat your chest. >> Historic West End. Council Graham. Beat your chest. >> Oh, no. Touch. You got me. You got me. Sugar Creek Business Association, please stand. Uh, Council Member Anderson, give a shout out. Oh, the Delta. Okay, we got a Greek thing going here. Okay. Uh, West uh, West Boulevard Merchant Association, D3. Joyce, say hello. We We got We got D3 in the house. >> Thanks so much. >> And the one that QC Family Tree, which district? So they are I guess they would be district three, district two. They're really focused on the Freedom Tuck CG area. >> Okay, Councilman Mayo, that's uh that's yours. Okay, >> I'll take that one as well. >> Okay. All right. All right. Uh seriously, thank you all for all y'all your hard work and what you're doing and so I just want to give them a shout out. Go ahead, Aaron. >> Yeah, absolutely. And I mean they truly have um taken this opportunity and run with it and each in a their own way really context sensitive reflecting what their corridor businesses need um and how they want to approach um and guide future investment into the business districts. Three of these, if you may remember, um are also um organizations participating in that breaking barriers to business cohort. a little bit different but still relevant. Um I think the next slide goes into a little more detail about that program. So this is a u three-year cohort. So it's funded by the truest foundation. This is not a city program. The city is actually participating alongside these three uh other corridors. Um those three corridor organizations have been receiving additional technical assistance and support from Main Street America uh and Living Cities. And then the city has also been working with Living Cities and Main Street. Um literally we're all at the table together. Uh it's not city- le. We are um being held accountable by our corridor partners for uh work that we're doing as well as them to make sure that businesses have all the access and resources um across the board. This joint work plan um really has I think helped given us that opportunity of how we work together. So addressing the barriers maybe within uh government and then also on the ground barriers um that continue to come up. So all of this really is to say um we're not the only ones investing in this work or seeing you know the importance we understand the importance of what a healthy thriving business district network can be for the city. uh we have on the ground um capital partners um within our backyard who are also seeing the importance in investing in this work. So that's a quick look at what we've been doing. Um but you know as this has grown from um out of the corridors much like a lot of our other corridors work it really has been a pilot testing ground for how we implement and deliver programs and services um better. And so we are excited to dive into what we're planning on in the future. So growing out of corridors um to a program that's a little more formalized really bakes in this uh capacity building work um and can grow citywide. Um that is what we are going to dive into next. So um I'm going to transition over to Johnson Bray. He joined the city in August. He is a part of our corridors of opportunity core team and is based in economic development. And sorry, I got to brag a little bit here, but this has been really transformational for our team. We've been working um behind the scenes on getting the city up to this point. Um, but Johnson brings really extensive experience and knowledge about main streets, um, how to operate Main Street programs, um, how to support small businesses within Charlotte. And then he is very, very well regarded within the Main Street Network, which I think we all understand. Sometimes it's that people networking, those connections that can really make this work sing. So, Johnson, with that, take us away. >> Thank you for the setup. Uh so like Aaron said, I have a background in Main Street uh before coming to Charlotte. I started the Main Street program for the town of Troy in central North Carolina. And I also uh came into the uh Main Street program for the city of Concord as well, serving first as a nonprofit director and then later as a city employee in the planning department. So I have a unique position of being where a lot of these business district organizations currently are um at various levels and the work they are doing is fantastic. These are economic development professionals working on the ground throughout the city. So, Main Street is a grassroots movement uh founded by the National Trust for Historic Preservation in 1980. And over the last 46 years, they have generated two or generated billions of dollars um in redevelopment in not just downtowns in rural communities, which is really where Main Street kind of gets its recognition, but in um large cities like Washington DC, Baltimore, Atlanta. Um, no one in North Carolina is currently using the main street framework uh in large cities. Um, it is something that is prominent in North Carolina's rural communities, but Charlotte, we hope will be the first to adopt this framework to support our business district organizations and neighborhoods as well. Um, James, stay on that slide for a second if you don't mind. Uh so uh Main Street is not just a solution. It is a trademarked framework. Um Main Street takes uh community and empowers them to find their transformation strategies. These are measurable outcomes that they are uh that are rooted in the community itself and its history in um its current status and then to plan where it's going using an innovative four-point approach focusing on design or creative placemaking promotion which defines the district's assets and shows what makes it unique organization which is that crucial uh sustainability standpoint whether they're a nonprofit or a city department. Uh, Main Street is all about creating organizational capacity to make sure that its work continues. And all roads lead to economic vitality. At its core, Main Street is an economic development program, but it's rooted in historic preservation. So, what a city coordinating program would look like for us. Like I mentioned, uh, North Carolina Main Street is something that has existed for as long as the Main Street program itself has existed nationwide. However, it is housed within the rural division of the Department of Commerce. Therefore, as North Carolina's largest city, we just don't qualify. Um, and so there are approaches to make this work. We would uh propose creating a um peer program to North Carolina Main Street based here in Charlotte uh to create a unified vision for our Main Street programs here in uh for our business district organizations to participate in. On the screen you see some uh purple shapes uh scattered around the city. This shows you that these aren't just uh options for the corridors. This is something that um can be highlighted at every uh level of the city in walkable uh neighborhoods and help build capacity for other neighborhood organizations like the ones behind me. Um the goals here are to create a unified vision for our business district organizations to help them continue to build that capacity. um boards change, e uh directors change, but the program would still be here to help train those directors and make sure that each of these neighborhoods would have boots on the ground in perpetuity. Um, and I think that's really important is to have that consistency across the city and to keep uh the message of Main Street flowing and make sure that we align our neighborhoods with city goals while promoting uh mobility and anti-displacement and make sure that we're really building up these neighborhood leaders and showing what makes our Charlotte neighborhood so important and unique. Next slide. So, why Main Street? Um, Main Street, uh, is one of those things that, um, oh, sorry, I'm missed a slide here. Um, but Main Street is one of those things that I think is super important to Charlotte in terms of that economic development, sustainability, and that sort of thing. All right, James, now we're good. All right. So, what we started and where we're going. So S3 got these organizations on the path to uh becoming main street communities. It helped them to build out their organizational capacity and to start to feel what being a business district organization in a program like Main Street would look like. It provided the initial program building for them. It allowed them to do events to get out in the neighborhood um and helped to build momentum. But what Main Street adds is a long-term structure um clear accountability and performance measures. Main Street as an organization nationwide requires uh tracking metrics um such as how many businesses were uh created that year. How many jobs were created based on those businesses opening? How many s uh square feet are in the districts? These are uh data points that we can use at the city level to really understand our economics and um understand where the city is going and keep track on its health. So the economic impact of Main Street is really important. These are some of the peer communities and then uh national main streets uh numbers for 2024. So, in 2024 alone, the National Main Street Program generated $7.65 billion in reinvestment into downtowns and neighborhood commercial districts. In Orlando's 12 districts, um, in its lifetime, um, $2.16 billion have been reinvested into their community or their neighborhood districts. And just showing you that created over 13,000 jobs. And that's something that may have happened regardless of Main Street development. However, that's data that you can point to and show that, you know, Main Street is here uh to help. Uh DC is one of the longest standing cities that has participated in the program. They have 29 districts. Um they've generated $358 million in uh investments and created over 7,600 jobs for the city as well. So, these are really big numbers, but it really goes to show that with some guided support, the opportunities are endless. And it also shows that, you know, these are numbers that they wouldn't have if they weren't actively tracking this through a program. Um, and I think it's really important for us to shout from the rooftops all the good work that Charlotte is doing. All right, so here's, you know, where we I told you where we've been. Uh Aaron helped lay the foundation where we're going. So, uh becoming a neighbor or a main street coordinating program is a 36-month process. Like B3, it would not just be um the city uh guiding the way. We would have an educational cohort participating along with us. These are um not just corridors uh neighborhoods who are interested in the education component. This is any neighborhood district across the city that's interested in uh learning more about what Main Street has to offer. Through that, we would uh be involved in uh creative branding for the project. Each uh neighborhood would be under that Charlotte Main Street umbrella. Um and um we would establish a cohort that would carry this program uh through its beginning, starting a new cohort each year if there are enough interested neighborhoods in participating. Um you have something? >> No. >> Oh, yep. Um we would provide four-point approach training on the main street framework to these neighborhoods. And as a city, we would also be provided that framework advancing each year until we established our own um coordinating program here at the city of Charlotte. Um and we would uh bring along uh different funding partners uh stakeholders throughout the neighborhood um and partner with organizations like National Main Street. And the great thing about North Carolina Main Street is even though we can't participate actively in their program, there are shared resources that we're able to tap into. Um, so I've been in contact with the folks over at North Carolina Main Street to make sure that our uh, organizations would be able to attend conferences and trainings and that sort of thing through that program as well. >> So the funding, this sounds like a lot. I'm sure you guys have a lot of questions there. In order to launch, we are planning on using our existing corridors funding and some of the um area plan implementation dollars since this really does tie back to those citywide goals. Um so we'll be launching this work using those funding uh sources and then there you know in the future as we develop out what this program really looks like and what those what the annual needs are um you know we'd be likely coming back for some commitment but we're also eager uh like Johnson was saying um to solidify um some partnerships so that um we're really creating a larger group of um stakeholders, capital partners, and investors in this Charlotte Main Street approach. Um, we there's clearly opportunity for additional community and capital partners in the future, but I definitely would re be remiss to say that we did not start this work or this conversation when it came to main streets in Charlotte. A lot of that was led by our on the ground partners um especially historic Weston um who was able to really pilot this work um in Batty's Ford corridor with Charles Knight Foundation support um Lisk um and uh the Lisk Charlotte team and so we have been really implementing this with partners along the way and there's an even larger opportunity um to continue that that we're really excited about. So, first of all, staff, thank you for the presentation. Second, we are not scared. That's why we invited our chair of BGR here today because we know he has the budget on his responsibility. I want council Graham uh to be present. Now, this kitty council, this kid u but let me make one comment that I'm going to yield to the committee. I'm going start off with council member JD. We had a great meeting might have been about what council Graham did. three weeks ago. >> Three, two, three weeks ago, Council Member Graham, Council Member JD, Council Member Mayo, and myself. And we heard from uh our business district organization leaders. And Allison, thank you. And and Monica and Aaron for joining. And so, staff, thank you for bringing this on our agenda so quickly because we we heard from them loud and clear. They want to continue to be effective. And I got to apologize to Council Member Anderson cuz she called me. She said, "You left me off the list." And so, Councilman Anderson, I apologize uh for not inviting you to this meeting. So, with that said, staff, thank you. Thank you for the presentation and a special shout out to Jatan and Councilman Graham and Charles uh with Knight Foundation for leading the way on this in Rafia. So, thank you all for your leadership, Council Member JD. >> Sure. Thank you. >> Thank you, Mayor Pro Tim. Um thank you, Aaron. Uh thank you so much to the whole team, Allison, everyone involved uh for really uh pushing this forward. I also want to thank the partners in the room that you listed off uh historic uh historic West End, Charlotte East, Sugar Creek, um QC Family Tree. Really appreciate their advocacy because they're definitely looking for us to do something and to act quick on it. So, I I I'm going to ask a lot of questions. Um, mainly out of wanting to inform my context, uh, curiosity, and how we can better improve this, um, and really deliver to these communities that have been on the ground what they're asking for, right? Um, so my first question is, where is corridors of opportunity formally housed in right now within the city? Is it economic development or planning? >> I'll take that one. Um this is really a team Charlotte um effort and initiative and we're really intentional about that and so um the core team for corridors lives in economic development and planning and housing and neighborhood services and seed dot and so we are all working together as a team across the entire organization um to further the goals of corridors and so and I think that's something that we're really proud of. >> Gotcha. Thank you so much Allison. Um which leads me to the other question. So if it's very interstructural um organization, does corridors of opportunity have a dedicated line item in the city budget including FY26? >> Um I might lean on one of you all to get into more details, but yes, there is dedicated funding associated with the corridors um program. >> Yep. >> Gotcha. Um and I also would like to know how are the uh funds for corridors uh funded uh administered and and tracked across the department since it's a whole city uh operation. Uh I oftent times am concerned about that funding falling through their cracks and us not being able to track the progress. >> Yeah. I'm going to turn that over to Monica uh to answer. >> Yeah, it's it's tracked in the same way that it's managed. So we meet bi-weekly. We have a director's team. Uh we have, you know, Aaron manages that budget along with the core team. We have Anthony that manages the infrastructure. So, we're happy to follow up with details on the categories and how that money is spent. Uh but it is uh we have bond dollars that are associated with infrastructure projects that are dedicated specifically to corridors of opportunity. And then we have programmatic dollars like the ones that are used on programs like this that are tracked uh by line item with the specific programs uh that they are kind of spent on. Um it's actually uh we track more by program that because we have several funding um programs that are funded that are across multiple corridors uh that are implemented this way. So, we can get way into the weeds with it if you want to follow up, but that's kind of how the general buckets work and, you know, we have spreadsheets and pull all the dollars uh pretty recently to check in on it. Um, uh, yeah, so happy to follow up. >> Thank you. Yeah, I definitely would love to follow up if if my direct ask then request uh officially through this committee is if the team can provide a corridor by corridor breakdown of funding allocations um and expenditures over the time as well as trying to track how much of that represents local taxpayer dollars versus federal or grants or Main Street funding, what what have you. or or or or how much of that funding is being counted as match matching funds. Um so if we could have a very compre comprehensive detailed overview of that that would be great >> and I would just recommend that we really if if we want to do that that that deep dive it is complicated because of the amount of federal dollars the way infrastructure dollars go out u makes it very complicated because you have numerous phases of a project. So you'll see where you have dollars allocated, reserved, and saved, but dollars going in and out at different times based on when you're acquiring right away, when you're actually doing construction, when people are implementing the program. So we're happy to do that, get provide it for you, and then it would be really helpful to be able to talk you through how that process works. Um, I also just want to make sure it's recognized, and it says, uh, community cap funding, which is community area plan funding. is it uh council approved in the FY26 budget a million dollars for implementation of community area plans. So you know we have seven adopted community area plans. We are planning to use those dollars to partner with the corridors dollars to have that implementation again so that this is not just a corridors of opportunity program. This is a program that can be implemented across the city in other activity centers. So, you know, like a um a Plaza Midwood, a Monroe Road, a Providence, like we have other corridors where there is a concentration of businesses that may be organized and interested in this. >> Great. Yeah, thank you so much. I I look forward to seeing that. As challenging as it might be, right, uh I think we're in the business of tackling challenges together as a team and so I would appreciate that breakdown. Uh the other question I have is what ha um how has the quarters of opportunity team supported these district organizations um apart from just providing funding? Yeah, and great question because it really is um a package of support that goes beyond just hard dollars, although those are very important to implementation. Um because of that matrix style kind of um across departments uh makeup of our corridors team, we've really been able to make sure that the business district organizations have um familiarity and are getting um you know understanding and meeting with all the different departments that make up the larger kind of corridors implementation team. So, um, our we are very, uh, I think all of our organizations here are very familiar with, um, HNS's Nest team, the engagement folks, um, and all of that work, which for corridors is led by our teammate Kelsey Preston. She makes sure that corridors projects and programs are fully um, you know, integrated back and forth with um, the city's larger engagement strategy. um when it comes to maybe infrastructure mobility projects, that's I think been a really big um opportunity for us to link the business district communities within the corridors and on the ground with um these actual you know capital projects that are coming out of the ground. And so, um, Anthony, who's based in, uh, Sedat, um, is also a very familiar face to all five of our organizations here, um, when it comes to the projects that we're investing in that are coming out of the ground, making sure that our partners are, um, a part of the, you know, broader stakeholder team from the start. Um and then you know the same goes with kind of any of our um you know programs or partners within the city um that are if they are showing up and implementing a program or a service in a corridor um we are always actively making sure that these partners are uh keyed into that. Another kind of really tangible um connection that we've made is making sure that while this is corridorsbased, it's a really important way to broaden the access to the larger citywide opportunities, making sure they're really filtering down into the corridors. And so, um all of our S3 organizations, we've asked them to attend Christiey's, uh quarterly small business partners roundt. So, they're meeting with all of the B small business capital providers and support partners um on a quarterly basis and able to bring all of that back into their corridor business communities. >> Thanks, Aaron. Uh I'm so sorry, y'all. I'm very intrigued. Um thank you so much for that. I appreciate that. Um I I do have a question on slide 12 where uh we list out the five um organizations. The the first thing I want to ask is and I'll ask the two questions all at once twofolded. The first question is u was there any communication um had with these five business organizations to accurately represent the data that we're seeing here now um and then additionally I see that there's some numbers missing um which I think for me leads to a broader question about accountability implementation and communication measures. Do we have accountability measures in place through this funding? Um, more so perhaps not looking backwards on S3, but moving forward. Uh, what does that cadence look like? How are we engaging with these organizations? And actually, I'm going to tie in a third question. Um, how often is the corridors team on the ground visiting these uh districts, these businesses, etc. uh how how is that face-to-face relationship going? >> So, um let me try to knock these out quickly and like Monik suggested, we are happy to sit down and dive deep. We want to make sure that we're building champions um amongst our city leadership for this work as well. So, all of the numbers on this slide are uh self-reported from the districts themselves. Some of it is from those um every sixmonth reports that we've been collecting as part of the S3 grant and then some of them I think are also from that uh conversation that you all had a couple weeks ago. Um where there are numbers missing that's really uh just a um demonstrates that these are organizations that are all in different stages of development. So, um, the two West Wilkinson QC family tree, they're really our kind of most emerging. Um, they started with a group of stakeholders who had shared vision and buyin, but not the organizational structure for this work. And so, it's really just a reflection of that. It's not a thing that they're necessarily lacking. it's just they're starting at ground zero whereas some of our other folks are starting a little farther ahead. Um in terms of that accountability, we do have those six-month reporting requirements built in. Um there would be even more built in to a formal um coordinating program through like a Main Street approach and then um face-to-face interaction. uh there's probably somebody from our core team in a corridor at least like every day of the week to some degree. Um we are you know meeting folks where they are you know physically but also strategically. Um, I think the other important thing is that as these folks are our on the ground partners, they're building out those databases of businesses, we are also able to then promote and really advocate for them internally. So, we are really um strategic on making sure we're hosting events, our meetings, our workshops within corridors. Corridors will be doing a you know series of update meetings in the spring. um all of those one per corridor within the community. Um really lifting up the businesses that these um organizations have been uplifting themselves and the same with that larger network, our opportunity hub partners. Um you know, all of them were really building out that group and elevating um their presence internally and externally. >> Thank you, Erin. Um uh thank you all so much for answering those questions and being very comprehensive. Um I I would end with um a comment and some statements is you know I'm I'm so excited. I I think these organizations need this help now and I think you hit it right on the nose Erin. They're in different stages. So one of my main concerns and would love to have more conversations on this is making sure that this framework curriculums is not a one-sizefits-all because not only are these organizations in different stages but they're also serving different populations. They're very diverse, right? And so I want to make sure that they have as much agency and autonomy to do what they think it's best for their organization to scale up uh than providing something that is restrictive in a curriculum that's a one-sizefits-all that completely strips that away. Um, additionally, I think I would love to also um perhaps something that could be added to a future presentation is hearing directly from them about the like we did um with the round table, but open to all of council and everybody that's here today, the challenges and weaknesses that these organizations are facing so we can better formulate a strategy and a framework that really reflects and addresses those challenges. So, thank you so much. That's all from me, Mayor Promp. >> Excellent. I have in the hopper, I have Council Member Mayfield, Council Member Anderson, and then I would like to yield to Council Member Mayo, and Council Member Graham. >> Thank you, Chairman Mitchell. Thank you for the presentation. I do have a couple of questions. One is going to be a continuation of my colleagues questions. So when um if I heard correctly, what was stated is that these are self-reported numbers. I'm going to ask for us to look at a different model other than self-reporting. I do have a challenge that we're moving an organization forward that doesn't have some of the basic numbers. And to me, the basic is how many businesses have you actually canvased? How many businesses have actually been surveyed? I'm not interested in you having a meeting with community. And this is based off of history in community where some businesses will meet with community. community would share aspiration and dreams and then that business would then present this really great program to the city of Charlotte that leaves out the ones who actually identified the opportunity and or have the relationships in community. So, if you don't have a listing and if we don't have a specific mechanism in place to actually track the outreach to the businesses that are canvas, that creates a challenge for those that are are out there doing the work for you to have access because I don't understand how you're at the level of having a website and social media updated when you haven't done the basics that three or four of the others organizations have done. It will be helpful for a balance a level playing field for there to be consistency. That consistency comes and usually tracking the numbers along with your self-reporting. You're going to need to bear that information should be easily verified. And if the organization is not as far along, that's fine. We have from what I heard you share a process in place to help you get there, but you don't need to be highlighted as here's an example of success because for me that's not success when I'm looking at the comparison of the others cuz to me success is actual outreach not just you having a conversation and coming up with a bright idea of oh I know a great way to present something but the community who lives there is not a part of that. I would also think it would be helpful before moving forward. We identified that we do have a budget line item for corridor. What was stated for slide 20 launching soon is that corridor funding may be used, but you're not telling us what's our balance in corridor funding. So for me to even have a consideration of utilizing those funds, what's our balance? And of course that's going to come in BGR, but also should be presented to committee. Also thinking about what if any corridor commitments do we already have in the queue? Because we've council for a number of years has put a lot of interest, a lot of investments around our corridors of opportunity. What commitments do we already have out there before we say, "Well, we're going to use money to help this grow because I don't think it will be I think we have an opportunity to do a disservice to community if something gets bumped. We've been working on Batties for Road for 30 years. We've had several different representatives. We move a little bit and then something else comes in comes into play. I Sugar Creek the same way east side the same way. Freedom Wilkerson. So I want to make sure that we're not putting ourselves in that position where something that has been discussed for multiple years and or community thought they had a commitment that we were going to move forward and then we're like oh we are not going to be able to do that because of this. So having a level set of what are the dollars that we currently have available >> as well as what current commitments and or conversations not even just commitments what conversations do we have in the queue so that we're able to level set what that looks like and then my last question would be still going back to slide 12 with the success in the first year how are the partners identified that's also is that self- selected where the partners came and said Hey, we want to do this great thing or do we have a formal process because that process helps us to have call backs and us to have protections. Was there a formal process where you were able to reach out or did we reach out whether it was a council member or staff, hey, I see y'all doing some good work over here. How can we help you grow it? having an understanding of how the partners were identified and that tracking mechanism I think Mr. Shar would be helpful. >> Um just two quick answers to that. So uh the corridor's budget has always accounted for uh support for business district organizations. So we can show that to you but the existing budget this is not taking money from any other identified project. So I want to be really clear with that. It is already allocated. We've been working on what is the framework. There will also be an RFQ process just like there was an RFQ a request for proposals from organizations. So with the S3 we did that and that's how the five that are currently funded were selected and there would be an additional when we move to a main street's framework there will be another request for qualifications that would be open to business district organizations citywide where they would apply. there would be an application process with criteria etc to determine which organizations are in that cohort of the initial ones. So they have not been selected. The five you saw today are the ones that went through that process for S3 which was 18 months ago at this point. Um so anyways the ones that would be funded going forward would have to go through that process again. >> Thank you for that clarification. that still ties into what's our budget >> currently so that we have an idea. >> Yeah. And we'll get you that >> outside of the RFQ again, what language because we might not have had it on the first on the front end, but now this is look at it like a pilot. It's a growing live piece of policy language. What clarifications can we put in? Because again, if this is 18 months later, but I have an organization that canvas almost 700 businesses over 100 businesses up to 150 70 and then you give me nothing. >> Or you surveyed 150 over 70 50. They since they're self-reporting, they still might be pulling numbers. But again, I got a second nothing. We have to have some language in place to codify so that we can show whether it's this council or future councils how those investments have benefited and not just been I don't want us to put expectations on some organizations that all organizations aren't >> that's right >> they're all not all under the same understanding of this is what is expected for you to receive our support because let's be honest life is not fair, but that's not fair for the ones who are doing the work >> that they signed up to do if others are not also held to that same standard. >> Thank you, Mr. Chair. >> Council member Anderson. >> Thank you, Chair. Um, first of all, thank you, staff, for the work that you've done um in corridors and on this effort. I can speak for District One and the Sugar Creek Business Association and all the work that's gone on there. Um as well as we have another corridor um which is the Statesville Graham Street corridor, our six corridor. Um and I I am going to ask effectively in flight. So it's really important to note that all of our corridors did not start at the same time. Batty's Ford Road and historic West End sort of led the way. What one the very first corridor I believe that was in execution and each corridor two corridors have come on at at at different clips, right? And so but this work that um is on slide 12 has has this work so we're talking about the numbers here across the board. Has those have those numbers of business canvased etc. have they all happened at the same time interval or for example has Charlotte East and Historic West End have they been doing this work of canvasing businesses longer than QC family tree? >> Uh yeah I mean I think that's fair that they've all been on their different timelines. if they started the S3 grant work >> having already done some canvasing in years past, they're probably building off of that, whereas others may have needed to get the governance kind of bylaws, board, that stuff in place before they could consider canvasing. And >> for what it's worth, business canvasing is not an a simple task. Um so it it our expectation has been that might be something they have to find um paid help to do you know a contract or a consultant and being able to be an organization who can solicit a contractor or is also a you know going to take time. So it is a matter of kind of different scales different timelines. Um, but that's where that customization of, you know, what do you need now to get to where you want to be in a, you know, 24 month timeline. That's what they're following. >> Got it. And as I'm understanding this, the main streets framework is a specific framework for business district organizations. And so the corridors is effectively the f first cohort through this process because they've come through S3 but this framework will be applied to other places outside of uh corridors of opportunity. >> Yeah. So one of our you know next steps is really solidifying that selection criteria. What does it mean to be a business district organization in Charlotte? So, it is a specific program approach, but we're designing it to make sure it's customized to Charlotte as well. >> Okay. >> Main Street as a program, it scales from my first Main Street community was a town of 3,400 people where Concord is the largest community in in uh North Carolina in the main street community with over 105,000 people. So, I think it definitely is one of those things that scales to where the business district organization is on their timeline, but it provides that readiness training and capacity building. And they also have a readiness assessment before you're initiated into the program. If your organization is, you know, not quite ready yet, it's not a failure. You might just need a little longer in the training before you're ready to spread your wings. Mhm. >> And so, um, on slide 19, when you talk about some of the large cities that have the Main Street framework, >> Yeah. >> you you mentioned the success in DC, but how long did that take for DC to scale up to have this impact? How long have they been executing this program? >> DC's been doing it for years and years, decades. Um, uh, Orlando is a newer program, but still several decades in. Um, it's definitely one of those things that it takes the time to build up this large scale impact, but even in Concord, uh, just tracking through the amount of investment we got annually in downtown Concord, it was in the millions just for downtown. So, this is something that when you start combining it with several different programs across Charlotte, it's it's going to add up to larger numbers fairly quickly. Um, and it's also that targeted support to make sure that, you know, these neighborhoods are uh ready to start recruiting those businesses or the large scale development projects. >> Okay. And um lastly, just two questions. One is I want to make sure that the Statesville and Graham Street corridor is not left out because they were the last one. >> Me too. Uh before working here I worked in the uh North Graham North Trion corridor. I worked for Camp North End. So it's a special place in my heart. We would love to see participation from the north end as well. >> Wonderful. Wonderful. Let's keep them uh within scope please. And then when you said that this will be launching soon on slide 20 um how soon can the community expect to see an opportunity to participate in this framework? >> Yeah. So you know we want to make sure there's not any kind of gap in program services or funding for the S3 orgs that are interested in this pathway with us. Making sure there's not a gap at the end of this year. And so our goal, we'll start um as we are out and about in the corridors this spring, start really socializing this. Um there is a lot to make sure folks understand what we're building. We want to get their feedback on what would be best for on the ground um development. Uh so we'll continue kind of rolling it out um this spring with um uh that kind of application window process open late spring summer time frame so that there we're really ensuring within all our internal process there's not that gap. >> Okay. Just make sure when you all do and you open up the application process that you socialize that with us so then we can extend it out into community with our specific uh BDOS's. >> Thank you, Mr. Chair. >> Good question. U council member Mayo, uh I want to yield to you because you have two of them in in D3. Do you have any comments? >> Not really. Um, I'm excited to hear how the progress goes and excited for them to have an opportunity to receive additional support. Um, but everything looks good to me. Thank you. >> Okay. Thank you, Council Member Graham. >> Uh, quickly, I I know that we're struggling with time. Um, we've been doing the main street work since 2015. Uh, everything that we do uh up and down Boot Road is is really implicit to u uh Main Street. Uh, and we're going to talk a little bit about that on on the on the third agenda item. So, I'll kind of hold my my comments until then. >> Thank you, council. >> Council member Owens, >> I just um wanted to briefly say, you know, District 6, as you guys all can appreciate, extends over to South Boulevard. And there are a lot of commonalities along that corridor with some of the learnings that I'm sure you've taken from the outreach made to the east side. And I'd like to just put a plug in that I'm here and I represent that part of the city and I would really love to be a part of organizing so I too can thump my chest at some of these opportunities in the future. But no, I just I'm here and I really do want to try to be strategic in bringing along whatever infrastructure is going to be necessary to get them up to a place where that South Boulevard corridor can benefit from this as well. So thank you. >> Thank you. Camera Kim, Council Member Owens. So, I have two quick comments to add from Council Member Mayfield. Council member Mayo, >> excuse me, Council Member JD and Council Member Mayfield. JD, you like to go further? >> Yeah. Um, so thank you for the very lively conversation. I definitely don't want to end on a bad note, but I do it would be I I would be remiss not to bring this up. There has been a lot of concerns from these business district organizations with the placement under corridors, relationship with corridors. I'm going to list three big things. Limited progress on signature corridor initiatives including delays or lack of visible advancement on major corridors efforts such as opportunity hubs and other placebased economic anchors. The second one is administrative and implementation challenges which includes delayed reimbursements, shifting grant requirements and evolving parameters uh that have created uncertainty and strain on operational capacity of small place-based organizations like these and uh the feeling of insufficient on the ground engagement. um experienced limited sustained staff presence or relationship building within the corridor geographies uh with an over reliance on thirdparty consultants to gather input rather than direct ongoing engagement with corridor stakeholders. That all being said, I just say that for more of like an opportunity for us to grow and better our partnerships and relationships with the business district organizations and how can we improve the structure of the quarters of opportunity and our communication, transparency, and internal processes as we continue engaging these business district organizations. Thank you, Mayor Prom. >> Excellent point. Council member Mayfield, bring us home. Thank you, Mayor Proel. I'm going to ask for us to pause in support of the three additions that my colleague just noted. These are real concerns that we've heard from community when we first started conversations of corridors of opportunity many years ago. My question then was opportunity for who? Because there was a certain level of access to equity that you need to have to even pull triggers. We also saw a lot of displacement happen. And at that time as the district 3 representative, the concern that I had was who was going to actually be able to benefit and we saw major transition throughout Freedom Drive, Wilkersonson Boulevard Tuckiji and a lot of displacement of small businesses as well as community members and now who leads these conversations. So, I want again for us to streamline and codify in language, not just self-reporting, and for us to take seriously the concerns that have come because these are not news new concerns that my colleague just mentioned. These are concerns that we've heard for a number of years regarding who is being interacted with. That's why I went specifically and asked if we saying businesses canvases, businesses surveyed, businesses inventory, and you have no information in that box. I'm I'm it could be in progress versus just giving me nothing. But we need to make sure that there's clear checks and balances on the end of staff as well as our partners for there to be clear communication and there needs to be a mechanism in place for our business partners to be able to notify us if it is not happening. So if we say well we're using corridor funds to help fund this, it's great when we talk about and identify success. The reality is in community a number there have been times where we have highlighted a business and that business does not have the same response to how that interaction went. So creating spaces where we can truly track it I think will be very important but it'll be an opportunity for us to ensure that we are adhering to the guidelines that we have stated verbally and in writing and making sure that there are checks and balances for our partners to truly be partners at the table. Thank you, Mayor Patino, >> staff and and committee and all council. Thank you so much for a great conversation. Here's the big takeaway. Uh we value our business district organization. The council members are passionate about making sure the program gets better. But I want all of us to look at this as a opportunity to improve. And so, Mr. Johnson, thank you for bringing uh Main Street. Thank you for bringing your expertise. and we look forward to uh making sure staff bring some of the questions back. But I I'm so excited that that this is energy around something that's so important. So uh thank you all so much. The last comment I would make and I I'll be remiss because I don't want my uh BDOS's to be mad at me at our meeting. We talked about them having a retreat. Yeah. >> So, in the timeline, can we make sure we have a treat with our BDOS to get to your point, having allow them to have a forum to talk about what's working, what's not working, >> and and let them let them tell us what experts they need so they could be successful. Okay. Can the church say amen? >> Amen. >> Amen. >> All right. >> Happy Black. >> So, uh Aaron staff, thank you. So, deputy city uh deputy city manager Craig, can we switch the agenda because we have historic West End uh partners here and they got a great project that we had in the housing committee and Christie. So, don't be mad at me. Um but we can switch. I want to be very respectful cuz we supposed to finish at 12:30 right? >> And so, can we tee up the last item? We >> We can. We are on top of >> Oh, okay. Okay. Great. Great. Committee, did you all have any you Okay. All right. >> Yes, sir. Okay, Councilman Graham, that works for you. >> Okay. All righty. >> Sorry, Christie. We'll we'll be back next month with you. >> Want to see you again. >> Um I will I will tee this up while staff is getting situated um and our partners. So, want to talk to you about a potential P3. It's well aligned to council priorities for um workforce development, business development, particularly um historic West End. This is early high level information um but it's a really important project. It came to the housing committee this morning on the land acquisition side of it on the economic development side of it. Um it is really an exciting project because it focuses on access um to fresh food, mixed income housing and supporting small business. Um, so on the economic development side, we're still on the early side of figuring out the details to bring forward to committee, but want to make sure that you understand that there are different components of this that of course came to housing this morning, now coming to ED um today or I guess we're now in the afternoon. Um, and we'll be back um to uh this committee in April or May with more information. So with that, I'm turning it over to Todd, I believe. >> Sure. Uh, thank you Allison. Next slide, please. So, I think Allison just kind of walked through a lot of what this slide lays out, talked about the purpose, why we're here, some and some of the key takeaways. Um, and it was discussed in housing and there's going to be subsequent conversations as we as we continue to evolve this project over the next several months in lie of or because of the time situation. just go ahead and quickly turn over to Jordan who have an engaging presentation just to kind of talk about the project at a very high level and introduce you to what's being proposed what we we believe to be a very transformative redevelopment that has mixed income mix of uses and a great deal of amenities and opportunities for uh the five points area in West Charlotte. Next slide. Thank you. >> Thank you. Greetings. So, I'm Jatanya Adams, the founder and executive director of the Historic West Partners, which is a commu community-led and driven 501c3 nonprofit. Our team is honored uh to come before you today. The Historic West Partners was formed to advocate for the economic and cultural preservation of the historic West End on behalf of its stakeholders along a 8.8 mile thoroughfare. In the past five years, we have through site control assisted with the revitalization of four strip centers and a small business center. We've attracted three banks and a dozen plus small businesses to the West End corridor. Our stakeholders have charged us with addressing their concerns while elevating both people and place simultaneously. of those concerns. The project we share offers food security, mixed income housing, living wage jobs with benefits, affordable transportation access, and resources to stimulate personal and entrepreneurial growth. Our team of national thought leaders here with me today has collaborated with the historic Westian stakeholders to deliver a shovel ready innovative mixeduse transit oriented development anchored by a food cooperative with 40 years plus experience has scaled four times. Jordan will now lead you through our presentation. >> Good afternoon again. Jordan Jones, uh, senior development executive with the Integral Group. Integral is a blackowned real estate development company based in Atlanta, Georgia. I'm excited that Mayor Pro Tim Mitchell invited our chairman and chief executive officer, Eggbert Perry, to uh, have a fireside chat with Mr. Walter Davis at the city of Charlotte's upcoming uh, Charlotte Business Inclusion event two weeks from today. So, we look forward to seeing you then, sir. Um, joining us today, we also have Charles Thomas with the Knight Foundation. We're excited to share that the Knight Foundation has committed $6 million to this project already. Uh we have Ralphing Caldwell and Rusty Mills here along with Lisk Charlotte. Um also on the development team and design team, we have Mr. Terry Shook and Henry Steppp with Shook Kelly and Cottomy. And again, I'm Jordan Jones, lead developer for the overall project. Next slide, please. So, quickly highlighting the location. Again, we are right off the Gold Line street car line right in the historic West End. Next slide, we'll quickly zoom in a little bit more specifically on the location. As we shared at the housing committee this morning, we have secured site control uh five parcels about 1.25 acres of land cacorn to Johnson C. Smith University. Next slide, please. So, uh historic West End, we all know this community continues to be historically underinvested and as we've heard about some of the concerns about the corridors, how can we make sure this development is done intentionally? how we can make sure this uh development happens equitably to support the historical residents and the historical businesses that have been located on the corridor. And that's a key focus for us and this project. Next slide, please. As has been referenced, there are kind of three key transformational outcomes we are targeting with this project, recognizing that affordable housing is great, but it has to be done holistically to truly serve the individuals that will be uh honored to live here. We can't just focus on the sticks and bricks. We have to focus on the entire um environment in which they find themselves, in which they live in to help encourage them and facilitate them on their own economic mobility journey. So, first item will be working with Weaver Street Market. For those that have some experience in the Raleigh Durham area, you will know Weaver Street as a well-known food co-op grocery store. They are one of, if not the largest co-op grocery store operator here in the Southeast with 40 years of incredible track record. We'll also be delivering 145 roughly is kind of what we're currently looking at mixed income housing units. Um we will be following the city's housing trust fund policy in terms of levels of affordability. Those are not specifically defined today, but we will be meeting the city's policy of at least 20% of the units at or below 30% AMI. An overall goal here is to have at least 80% of the units being unreffordable at or below 80% AMI. And the third key component is to support those small business owners and to provide additional space to JTA and the historic western partners to have additional space to provide small business services to help facilitate wealth generation to bring in great partners like Lis Charlotte and other great institutions here in Charlotte to support those small businesses. Next slide please. So again 145 roughly units. We are looking at serving all different kinds of households across the housing spectrum recognizing this is not affordable housing. This is a housing affordability project. Next slide, please. Overall program, again, 1.25 acres of land. Weaver Street Market will be operating a full service grocery store. Yes, it's smaller than your traditional grocery store, around 13,000 ft², but we will still have uh fresh produce and vegetables, your central aisles, meat, dairy, etc. Uh about 145 mixing housing units. We're also excited to have uh some office space in here. Uh we've been in deep conversations with a local Charlotte uh business um that would be thrilled to have the opportunity to expand and put down permanent roots in the historic West End. So as we make more uh progress in that conversation, we look forward to letting them make this announcement themselves. Also expand Five Points Plaza to have a uh expanded community gathering space that the Weaver Street Market will help uh bleed directly into. And then of course some parking spaces as well. Next slide, please. This will be a vertically integrated building. So this is a urban site right right along the gold line. So we will have Weaver Street in the ground floor, business incubator space on the ground floor, surface parking. Next slide please. Floor two will have the office space. And then next slide, floors three through six, we will stack apartments on top of that. So again, it's a true urban infill project holistically designed to serve the residents and more importantly is based off of the great vision and work of the historic Western partners and everything they've been doing in that corridor for uh many many years. And so I am just grateful and honored to be here beside Miss Adams. So thank you so much. And with that we can see if there are any questions. >> Thank you for the presentation, but I'm going to turn it over to the councilman who's been working hard on this. Council McGra, >> thank you, Mayor Pro Tim, um, for the courtesy and invitation to be here today and and talk about the project and and thank you, Miss Mayfield, for your affirmative vote for the land acquisition this morning, uh, at the the housing committee meeting. Um, you saw the team, uh, this team has been working hard for for well two over two years, two and a half years, uh, to get to this point today. Uh this is not a project. It's a transformational opportunity for the corridor and it leverages all the investments we've already made on Batty's Vort Road. For an example, uh it helps with the Five Point Plaza Park, which the city has an investment in, and the businesses that are associated with the park across the street, the Chess Pizza, and the um uh the the pharmacy shop that's coming and others. Johnson C. Smith now has a development committee and they're going to um they announced it last year, so this is not breaking news. Tear down listing hall this year um for development opportunities. Uh they're currently building a new entrance. Um the street car, an investment we've already made. Um this goes right by the street car, so parking will not be um a problem in addition to what they're providing. that we we're um we can utilize it for public transportation and we've already started and completed the street car extension from Prince Street to Rosa Park which is where the health department is. Um it passes a project that council member Mitchell and I have been working on for for years. The historic excels club the investment we've already made there. we made investment in the the vest water plant uh and lighting the tower itself uh our safety initiative the alternative to violence program the program that we're working on Katherine Simmons and um and Batty's Fort Road with the county uh trying to curb the crime along the corridor we've duplicated that in other parts of uptown Charlotte with Charlotte in city partners uh our main street approach that Chana has undersold herself So, she's been going all over the country for the last 10 years talking about Main Street. >> Yes, she has. >> The expert is here in the room. We don't have to go far. Just a hint. Um um but Betty's Fort and Lau Chase Bank TD Banks the city's building um Miss Mayfield 16 town houses behind uh Chase Bank that's up and structured and ready to go on the market at sometime soon. I say all that to say this is that this is a transformational project that makes all the other stuff go and that corner is our trade in Triion Street. >> Uh and it helps Johnson C. Smith. And so I hope that the committee will give it its due consideration uh for support at the appropriate time. Miss Mayfield, we clearly I heard the meeting this morning about affordability. We we get it. We understand it. This project cannot be the post the child for gentrification, but we acknowledge that change is coming. >> Um, and we are prepared for the change. We want to get our area plans adopted soon to support that change. But this is a th this is a collective effort of all the team members working together and we can ignite this corner. We go all the way to Uptown Charlotte, all the way to um Badport Road and um the South Street in terms of growth, development, excitement uh with that CIAA football team there and the money that we've already pitched for the mayor's mayor's racial equity program to support uplifting the university. This is that match that lights everything. Thank you, >> Councilman Graham. you've been modest cuz I know how long you've been working on getting all the partners to the table and we want to thank you for your persistent. Uh you didn't give up. There was plenty of people that was telling you you can't do this. Uh to JTA, thank you so much. Um you leave with your heart and we appreciate that. Uh Charles Thomas and list uh this city thrives when we have the right partners at the table that will help us in the community and Knight Foundation's been there since day one. Uh, Rafina and List, thank you for all the heavy lifting you've been doing for raising funds for us. And so, um, staff, let me thank you for being proactive. A lot of times we we get a presentation before we have to make a decision. This is different, at least from the ED committee. We have chance now to look at this, to vet this, but put us in a position when the time has come to clearly raise our hand in support. Um, Council Member Mayfield, thank you for early at nine o'clock this morning for moving this project forward uh with your recommendation out of your committee. >> Have an amazing committee. >> Are there any other questions that we have for for this great team that's been assembled before us today? >> Council member JD, >> I just want to make a comment and really like this is this is an incredible project. I know you all have been waiting for years for this to happen. Um, and I just want to give kudos to the entire team for making it come to fruition. uh the NAV Foundation, the city, everybody, all the partners involved and really I I've gotten to get to know her in the past month or so thanks to Charlotte East and and Sherekica uh introducing us and we spoke after the housing committee today and how exciting this is and what this means for this corridor um and the opportunities it will bring. I know Rebecca was in the room. I was talking about mixeduse, mixed income developments and how that's my passion and this is a poster child for that. This will not only revitalize economically this corridor, but it will also ensure that people have access to amenities by still being able to live there as well without being displaced or pushed out of Charlotte in an area that is historically black um and has so much historical influence and and meaning to this city. Um, so ju I just really really want to say congratulations to all of you. This is incredible. Thank you, >> Council Member Mayfield. >> Congratulations, Council Member Graham, Mayor Prom, for the work that you all have supported for many years in this area. Jatanya, I am proud to be a part of council that's seeing the vision become reality. I am thankful for my committee this morning for us being able to have a really great conversation regarding the housing piece and definitely look forward to all the work that you all are doing and receiving the updates because this right here goes back to what I mentioned in my committee and that is Charlotte is a leader on multiple levels and other communities reach out to us. This is another example of how city supporting community. This is a community neighborhood vision that has been designed and built out through the support of Liz Knight Foundation Mission 360. Shook Kelly coming at from the beginning and saying, "Oh, I see your vision. How can I help? This is what it looks like." And I'm just excited to be a part of the committee as we move this com a part of this committee and a part of this council as we are getting ready to do something transformational that is going to be longl lasting not just here in Charlotte but across the nation. So thank you may >> so on that note I just want to give two praise reports. one for Rebecca home run hitter for your efforts, your leadership in the housing committee meeting and to Jordan. You mentioned that your CEO will be speaking. I want to give a special shout out to Deputy City Manager U. Monica Allen for making that possible. Uh council members, you have the flyer at your desk and we're going to send it out to other folks in the community. is February 19th and Edgar Perry will be doing a fireside chat about what made um Atlanta successful that we can learn from here in Charlotte. So, thank you all. Um Deputy City Manager Craig. Any other items? >> That's it. >> Happy Black History Month. >> I detain a motion for German. >> So, moved. Second. >> Second. All those in favor say I. I. >> Meeting adjourn. Thanks everyone. >> Happy Black History Month. Woohoo. Heat. Heat. Hey, hey hey. Hey, by the way, I want. Hey honey. Everyone. and welcome to the February 5th public safety committee meeting. Um I I'm your chair Dante Anderson and I'm glad that you have joined us today. We will start with introductions and I'd like to start on this side of the room along the wall. We'll go around and then we'll start at the day here and at the deis at the table and go around. Okay. So, uh, sir, can you get us started with introductions and then we'll just go around? >> Yes. >> My name is director. I come from company. >> Welcome. >> My name is Todor. I'm just coming from the ATM. >> Uh, Deputy Jackie Bryley, CP Joel Services. >> Hey there, Lieutenant J. Sus with Central Division. Um Aaron Wiggins with CMPD public affairs. >> Dennis Cunningham represents Transportation. >> Sean Glasco Petmo. >> Mayor Kundal Crown Cap. >> My name is Zapo as Kiki Trans. >> My name is Miss Frasier. Passenger for manager. Gabby Kelly, City Attorney's Office. Nan Peterson, Planning Department. Annne Brooks, Charlotte Regional Business Alliance. Sheila Simpson, City of Charlotte Human Resources. Aaron Johnson, Charlotte Water. >> Janine Crump, City Manager's Office. >> Jessica Battle, City Attorney's Office. >> Kimberly Owens, representing District 6. I am not on the committee. >> James Mitchell, committee member. >> Dante Anderson, District 1 Chair. Stella Patterson, chief of police for Charlotte Mber Police Department. >> Sean Heath, Deputy City Manager. >> Charlie Jones, Charlotte Department of Transportation. >> Christian Wagner, captain of the Central Division CMPD. >> And Reggie Jenkins, Lieutenant and Eastway Division with CMPD. >> And can we have our participants online introduce themselves? We'll start with Mr. Driggs. Ed Driggs, committee member >> Joy Mayo, District 3 Observer. >> Thank you and and thank everyone for being here in particular. So many members from our community. Thank you for joining us today. We will get started with our first agenda item. And our first agenda item um we're going to pick up from our last meeting and where we talked about street vending specifically the pilot program that was going on in the NOA area and we wanted to make sure that we keep this topic um top of mind uh because we have concerns in other areas of the city and so we are going to have a discussion now around street vending and our potential approach um to street vending citywide. And with that, I will turn it over to you sir. >> Thank you, Chair Anderson. I'll be real quick here in a little bit of framing before Charlie runs through the presentation materials. So, I was thinking back and it was probably about a year ago when Julia Martin and I from the city manager's office started down this path and then it ultimately turned into a policy referral. A lot of committee conversations last year. So, we are picking up where we left off in January, but I just wanted to start with the end in mind and just be sure that from a staff perspective, we're we're sharing with the committee that you you will receive two very specific recommendations today which are consistent with what you heard last month, but we're not trying to rush this. Uh, you know, we're not trying to put the committee in a position where any decisions have to be made today. And in fact, if the committee decides that this isn't an area for further inquiry, uh, that's at your discretion to to decide that today. and then and then we're done with this line of work. But if you continue to like what you hear, we are planning we are ready to have a public input session on February 17th if necessary and then we will be ready, willing and able to come back at the March committee meeting if you'd like to entertain something that you would vote on from a policy perspective. So with that, I'll turn it over to Charlie. >> All right. Thank you, Sean. >> All right. So quick update. Um go next slide. Um, so street vending regulation as of February 16th, uh, we're looking out into the future. Uh, the NA vendor market sunsets on February 16th. So, uh, vending the market vending will no longer be allowed in the NDA community as of that date. That was a decision from the January committee meeting. Um, so we are working to sunset that program. We'll be providing signage in the NDA area um informing any vendors that haven't received the message yet. Um all of the permitted vendors have received email communication uh regarding the sun setting of the program. Um on February 16th, like I said, not no longer have vending. The only street vending that will be uh permitted will be in the uptown central business district that's managed through uh center city partners. So street vending outside the congested business districts b c congested business district is not regulated by any ordinance. So outside of uptown street vending in the rightway is legal throughout the city. Um illegal vending within that congested business district can result in a civil citation up to $500. That remains from council's decision last year to revise that ordinance. um their ordinances do not currently include a criminal penalty option for street vending. So it's a civil citation only. Next slide. So the two policy considerations start with the first one uh that we're asking the committee to consider is should street vending regulation extend beyond the existing congested business district. Um is currently in the city of Charlotte outside the CBD. um you can vend in the rightway. Um our preliminary staff recommendation is that we expand that regulation to include the public rightway throughout the city. We would like to maintain exceptions for city authorized programs, particularly ones administered by nonprofits in the municipal service districts. Um the center city partners program is successful. Uh runs fairly well. Um the vendors are um pleased with that program and have been members of it for they've got vendors that have been there since the inception I believe. Um we'd also like to continue to allow vending during festivals or other events um as currently codified in the ordinances. Some of those events are Taste of Charlotte, other things where we have active street vending and that's permitted through the festival organizers. the some of the rationale behind this is um street vending as far as being regulated, Charlotte's kind of an anomaly in North Carolina and the country and that we have no regulation on street vending outside of one specific area. Uh we actually benchmarked several cities in North Carolina. We've got a chart show here in a minute. Um but we're one of the few that doesn't have a citywide vending regulation. um street vending regulations in the interest of public safety and health. As the committee seen and council saw in um earlier in the middle of last year, you know, we had unpermitted unlicensed food vendors, cooking with grills, open flames in the streets. So, there's a lot of health and safety concerns with vending in the rightway. Um one other thing we've heard a lot from our brickandmortar establishments. Having some regulation on street vending levels the playing field. Um the brickandmortar businesses have a lot of hurdles to jump through just to be in business. Um and having some, you know, skin in the game, if you will, from a regulatory standpoint really helps those brick and mortars. Um and allowing vending exceptions within the MSDS is makes a lot of sense from providing opportunity for the vendors and it gives those MSDs some programming around vending in the rightway and makes them part of a destination similar to Uptown. Next slide. The second policy consideration is should illegal street vending have a criminal or class 3 misdemeanor enforcement option. Um our initial re recommendation is that um we establish a criminal penalty enforcement option uh working with the city attorney's office to ensure adherence to state statutory uh requirements. Um our rationale on this is a stronger enforcement tool uh particularly for repeat offenders. Uh we have one individual in the center city that's received five citations um since the um new citations went into effect. Um anecdotally it's you know there's a willingness to accept a citation and just stay there. Um and so it really limits the enforcement ability of our partners with CMPD to do anything other than write a citation. Um, the misdemeanor classification also allows us to more or partners at CMPD, excuse me, to more efficiently track repeat offenders and share that information amongst all the different divisions. Um, we have individuals that have gone back and forth between NOI and center city and have received citations in both. Um, and central division officers may not know that Eastway division officers have written that individual uh, citation um, just because of the limitations on civil citations. >> If I could if I could just make one real quick point on that. We're always very sensitive to CMPD staffing constraints. And if this were a path that the committee and ultimately council would want to go down, we understand that this would be one among many existing quality of life ordinances where it's really a call for service model and prioritization is done on a case-byase basis. There's not a staff expectation that there'd be any sort of like directed patrol model focused specifically on street vending per se. Uh but once again, back to Charlie's point, to the extent there are these chronic repeat offenders, just bad actors that really refuse to respond to civil citations, we think it's quite helpful if one tool in the toolbox for CMPD is have the ability to have a criminal enforcement option. You don't necessarily have to start there, but it's nice to have it in the toolbox. >> Uh Chief, or any of the officers, I'd offer an opportunity for you to share your perspective. >> Yes, ma'am. So what we've seen in center city is some confusion u from the community like they know that the new ordinance is in place and yet the vendors are still there and what they don't see is that the only tool that we have in our toolbox right now is to issue a citation. We can only issue one citation a day and we can't make the vendor leave. So, when you have a vendor who you go up to to issue a a civil citation to and they have four others in their hand and they go, "Okay, thank you." Um, it it puts us in a in a position. We we cannot get them to leave. And again, we get the feedback from the community saying, "You guys aren't doing anything." Uh, we've made, you know, we always start with compliance. We're seeking compliance from vendors who are outside of the the programs that are are available. Um, however, at at some point we we then switch gears and and escalate. Uh, however, the only thing we can escalate right now to is a civil citation. And again, I I think that, you know, we've we've had meetings talking about are there things in in place that for collection of the citations and and whether that's happening or not. Um, right now I don't think there's any any teeth to the the current uh civil citations. >> Understood. >> And just to add, I I did want to add to the related to this um you know, a lot of the feedback that I get in central divisions from Southoun and they you know there that is the biggest issue that you you've been in those meetings with me. Yes. >> That they they keep bringing up uh street vending in the south area that's unregulated. >> Yes. >> Yeah. And we're starting to see positive results in the the NOTA area with the street vending. But one thing that we are starting to see now is that people are starting to move out to Plaza Midwood. Um so some of those repeat offenders that we had in Nota. Um specifically, I don't know if you guys heard the name Jameson Hill. Uh but you know, he was always out there. You know, he was selling, you know, CBD, he was selling mushrooms, you know, where we had vice detectives come in to start kind of investigating that arrested him. Um and then now he's gone and displaced over in Plaza Midwood. And we're starting to kind of see some of those other vendors that were in the um uh the not area that they're now starting to move towards that direction. >> Thank you. >> Carry on. >> Next slide. So just a little frame of reference on the benchmarking work we've done. Um, prior to the June 2025 policy actions, uh, we looked at multiple cities across the US and five in North Carolina and came to the following conclusions. Uh, compared to Charlotte, vast majority of the cities um, have more stringent city-wide street vending regulations. Um, Charlotte allows street vending in most areas other than the CBD. Um, everybody else is the opposite. they don't allow it um citywide and then they carve out specific areas where it may be allowed. Um so we've kind of got a a different model which is which is unusual. Um our street vending fines um $500 for first offense appear common across the board. It's usually a fairly high fine is what we found and some cities do have a criminal penalty option. Next slide. Here's just a quick comparison of five north larger North Carolina cities. Um, all the cities there have a city-wide street vendor regulation. That means it's illegal to vend in the rightway. Um, in those cities, some cities such as Raleigh and Asheville have permitted vendor programs. Um, Raleigh and Asheville have around 35 or so permitted vendor opportunities. Um, if you think of Asheville, their downtown area, they do have street vendors and street performers that are permitted. And there's specific spaces for those per uh permitted vendors and performers. And they typically have 30 to 35 to 40. It's kind of hard to pin down the exact number they're permitting. Um, as far as criminal penalty options, Raleigh is the only one we found that has a class three misdemeanor criminal penalty. Um, in well, Winston Salem as well. Um, Winston Salem's kind of an outlier. They have the Old Salem area and that's their vending area. So, their program is a little different. It's tied to that historical district. Um, and part of their criminal penalties associated with that as well. Next slide. So, next steps, um, plan to host a public input session in February. That'll be uh February 17th here at the government center from 6:00 to 7:30 p.m. Uh we've invited all the vendors from Center City Partners as well as the vendors that were permitted in NA. Uh we've reached out to all of the brickandmortar establishments that we hear from uh regarding these issues. So hopefully we'll have a good turnout and be able to get some additional feedback and input from those groups. Uh we're going to continue our benchmarking research uh for other North Carolina cities. um see what kind of programs and rules they have in place. Um we're currently gathering City of Charlotte data as it pertains to calls for service and citations. It appears we've issued approximately 28 citations. Um none of those have been paid. So, um kind of build off Captain Wagner's point, you know, we are issuing the citations and trying to use those as a tool for compliance. Um but there's really not much teeth beyond that citation. And then you know depending on the conversation today with target coming back in March uh with the results of the input session and any information we have on citations and calls for service. >> Okay. >> With that we have prepared. >> Thank you very much for the update. Um just a couple comments and then I'm open it up to the committee. Uh for the NOA program specifically, I have spoken to several of the small businesses over there. They have concerns around um communication and enforcement once the pilot program sunsets. So, just want to make sure that we're communicating. Very happy to hear that the signs are going up, which is good. but also just word of mouth as as our officers and code enforcement are on the street and interacting with the vendors, letting them know for sure what's going on and what they can expect coming down the pipeline. Um the other piece I wanted to uh speak to is the public input session I believe is the right way to go in February to hear from um our constituents directly. Let's make sure that we include um Southoun and Plaza Midwood and other areas in the city where we see vending occurring because I want to make sure we get as much of a comprehensive feedback from community as we possibly can. So, I'm going to open it up to committee and I'm I'm going to start with um Mr. Mitchell and I believe secondly we'll have Miss Asher who's online. Go ahead, Mr. Mitchell. Madam Chair, thank you. I want to get that date again. Is that February 17th? >> 17th. >> Okay. I thought you said 16th before. I said that's Monday. That's council meeting. It's February the 17th here at the government center. Thank you, sir. >> I I appreciate the next steps. I I agree with the chair. It's about getting input. Let's make sure we get the right uh small business in inside uh to attend the meeting. Secondly, I like the fact that you're benchmarking against other cities in North Carolina. And I would ask us to stretch just a little bit and and look at what our peer cities are doing across the nation. Your Nashville, your Austin, Texas. That's what we compete against a lot. And so to my men and women in blue, I think the frustration part is you've issued 28 citations and none of them have been paid. And you was about to give a gentleman another one. He he showed he had four already, right? Adding to the collection. So I do think part of our next conversation, Madam Chair, we got to talk about additional penalties so we so we can give you all enforcement ability to change people's behavior. Thank you, Madam Chair. >> Absolutely. Thank you, Miss Ameir. >> Thank you, Madam Chairwoman. And I agree with uh Council Member Mitchell. Uh Mr. Jones and Mr. Heath. Thank you so much for providing us the benchmark data and also having public input sessions so we can hear from both businesses as well as street vendors and I completely agree with you in terms of in the interest of public health and safety concerns we have heard from community specifically residents in Nota and Southand there is certainly an action that the council needs needs to take and that can be shaped based on the public input. Uh to our CMPD officers, if you could just uh help me walk through five citations that have been issued by your department. What type of violations are we talking about here? >> Yeah. So basically that's someone that's operating uh whether it be a food truck or a food cart outside of the ordinance. So they are they're they're not within one of the programs that where they have we are regulating in an uptown. um they are in an area that they're not permitted to vend and our officers are are focused on this as one of the issues that is uh you know coming through with the pilot program and and street vending is a huge issue that we get a lot of feedback about uptown and they're just we they were issued the sautation and they don't have to leave they just they just keep operating and and again they're they're not even paying the citation. So that's that's how it comes about. >> Council members may the only thing I would add is the benefit of the program for instance that center city partners administers on our behalf is there are specific vendors in specific locations that are permitted to vend. So anybody that were to violate that paradigm is by default doing illegal vending. So it's very clear-cut for all involved what's legal and what's not. >> Right. So I guess I'm trying to because I know there was one example that was given by um an officer about CBD products. So if there are any products that are not permitted under the state law, you already have an authority to take uh an action outside of civil. Am I correct or am I am I missing something here? >> Products. >> Yeah. So yeah. Yeah. So, anytime there's like an illegal product that is that is being sold, like the officers have the discretion and the ability to go make um to affect whether it be a citation um or an arrest. But the majority of stuff that we are seeing um like Captain Wagner was saying was we have like food products being sold, clothing, um several just like knickknack items that uh some people are that are making in the NOTA the not area. >> Okay. So, it's not necessarily a product that's not allowed under the state law. It's really product that's allowed, but it's just not in the right location or they shouldn't be operating. Okay. Without a permit. Got it. Well, I look forward to hearing from our vendors as well as businesses and residents in February. And uh we'll make a decision from there. Thank you so much. >> Thank you, Mr. Driggs. Did you have any comments? >> My hand is up. I don't know if you can see it. Um so, yes, I do. Um I wanted to say in general uh our goal here needs to be to recognize that some street vending is beneficial and desirable and some is not and our task is to make it easier to do the desirable street vending and make it harder to do the undesirable. Uh and so to me that has a couple of components. Uh I think we should have a citywide ordinance. I think we should establish control over this. uh and uh I also think that we need to have uh enough enforcement so that people care. Right now these uh citations are ignored or they're a cost of doing business. They are not having any deterrent effect. So um and and again what that means to me is uh we get a citywide ordinance. Uh we make sure that valuable street vendors do not face barriers to getting a permit for one whatever reason. So, we look at the process through which they obtain a permit and ensure that anybody that uh is is fine to have is not just avoiding the permit process because it's too ownorous or because they were denied. I mean, I I I just uh I'm not sure what the permit process looks like, but uh uh again, we we want to make it easy for people uh who are desirable to get the permit. And then in terms of the people who uh aren't, to me, this is part of a larger problem of kind of lawlessness or whatever in Charlotte, there's an uncomfortable feeling now uh uptown and around speed racing, panhandling, all of these things. And so to have a situation where one of our ordinances being wately disregarded like this uh is kind of bad on a more general level. I really think that we need to establish control of the whole street vending situation with those goals that I mentioned in mind. Uh and therefore I I hope we will move forward and that we'll have further conversations uh get the information that we need and get to a place where we have better control of this whole situation. Thank you. >> Thank you, Mr. Driggs. I have some other council members who would like to make a comment. U Miss Owens. >> Um thank you. Yeah, I I am um I'm very sympathetic to the description of the frustrations that y'all are experiencing when you issue multiple citations. I also, however, am reticent to immediately go to criminal penalties simply because of the overload of your systems already, the overload of our ADA. I I sense that you may get to a situation where even if you do issue a criminal penalty, it is not able to be prioritized in the way that actually gives it the teeth that you're asking for it to give. So my first level of inquiry would just be that that as we go forward, I'd like to see us work also with the ADA's office to appreciate whether there is going to be some degree of actual enforcement because it's one thing to do a criminal penalty, it's another thing to have it actually be be prosecuted. Um, another part of this though that I'd be interested from a benchmarking standpoint, and this may be something that's already known to the committee, so if it is, my my apologies, but I don't fully appreciate the host of civil options. For me, for example, if someone is doing a food cart versus selling t-shirts, there is a community danger that for me is aggravated for somebody who's selling food who's unregulated. So that for me, and that's just instinctual, that feels like a different level of crime or or penalty perhaps appropriate to that. So I just want to park that out there. I also to to uh Council Member Driggs's point, I also maybe draw a bit of a distinction from somebody who didn't get the permit because they didn't know the process or whatever versus somebody who applied, didn't get it, and was like nuts to the city. I'm going to go out and do it anyway. So there are some gradations here that I don't fully appreciate. if our benchmarking of other cities captures optionality between your first offense, maybe you're getting a citation and and some factors are being taken into account. I don't want to push this on our police officers, though. So, I I need a thoughtful means of us addressing this that is contextually appropriate with the real risk to the community of what people are doing and the real risk to business between the brick and mortar and the vendors. I think we all appreciate that sometimes some of our brick and mortars start as street vendors and I don't want to decrease that, but I just want to be thoughtful. I also don't want a bunch of people getting criminal penalties that our ADA's office just cannot cannot fully prosecute. So, that's just that's my just kind of level setting and kind of throwing that out there around what sort of benchmarking you may be able to do. Thank you. >> Thank you. I will say that our officers do a great job of um providing warnings initially as a means of education to those who may not know that there's a process to go about. So I I appreciate how you all approach that um as being community-led and community policing in that regard. So just a couple of pieces here. Um I'm wondering where the county is um as it relates to the food vending um because the county plays a role from a um public health perspective with food and juices being distributed on the streets. And so I' I'd like to to lean into that as well and hear their perspective on it. And I I know that in certain areas we already have street vending um as a challenge. We've we talked about Plaza Midwood. We talked about uh South End in in particular and um the challenge and tension between the small businesses who have gone through the process, carry the liability from an insurance perspective, done all the right things, um but then have this tension within street vending. Conversely though, I can say that I've received a couple of um communications from street vendors who are who are watching the work and watching how we're going through this policy discussion. And I I respect the fact that many small businesses start as street vendors and food truck um operators. And we want to create that pathway for small businesses to be successful and be stood up. Charlotte is a small business town. Um, however, we want them to go about it the right way and conversely provide opportunities for those individuals who'd like to pursue this as a path of employment to have spaces to do that. So um as we go through the public hearing perspective absolutely making space to hear ask questions and get feedback around those specific areas and what I'm hearing is um three pieces here. one is communication, one is compliance or adherence and then the the third piece is enforcement and how do we appropriately enforce um this as a as a city. So when we do the benchmarking I think u mayor part made a great u suggestion that we need to look at our other peer cities as well. uh we have a sensitivity to the fact that we know that some of our ordinances are out ofdate and and uh you know a little bit uh archaic and a little and a little dusty, right? Because we haven't touched them in in in decades. Uh but let's look to see what our peer cities are doing because they are I can appreciate the fact that we're the largest city in the state and so we want to look to like size uh size cities who are um dealing with the same type of population growth in the same type of um um economic vitality that we are. >> Okay. Thank you for for your um presentation and if we are ready we will move on to the second agenda item which is um our passenger vehicles for hire. And with that I'm going to turn it over to um Miss Battle, Attorney Battle from uh CMPD and the city attorney's office. Thank you all. Thank you. Good afternoon. And so, um, we've been talking about passenger vehicles for hire, um, for, I know, several months and this past sort of started back in October, excuse me, August of 2024. And so upon the mayor's referral, we could go to the next slide. Um the committee is to discuss some paths moving forward as it relates to PBH and what policy updates might need to be made. And so the mayor has charged with the the committee with reviewing the PBH ordinance and recommending any changes or enhancements necessary. We can do the next slide, please. And so for now, we will go over the agenda. I'll give you an overview of passenger vehicle for hire as it sits today. We'll look at the statutory statutory, excuse me, authority given to the city. We will discuss our stakeholder input sessions and then finally end with some recommendations from the city attorney's office on how the city should move forward. Next slide. So, as an overview, the last time that the passenger vehicle for higher ordinance was reviewed was in 2017. And so, as Madame Chair stated, as it relates to pedling, you know, it's been a while on some of these um as it relates to updates and and different levels of change in the business. So, in August of 2024, um the city received a letter from stakeholders in the PBH community that recommended about 19 changes to the PBH ordinance, changes they wanted to see made. And a lot of those changes, and the city attorney's office agrees with this, are necessary to keep up with industry changes. We have the presence of transportation network companies which are known as TNC's. And those are things like Uber, Lyft, and other ride share companies. And so our ordinance hasn't necessarily been updated to keep up with the fact that we do have other sort of transportation options in the country, let alone in our city. Um, we did as the city attorney's office a lot of research into our current passenger vehicle for hire ordinance. We looked at other cities across the country to see what they were doing and we also compared their statutory authority that either gave or did not give them authority to regulate taxi cabs at a local level. We've held three stakeholder input sessions so far. The first was in July of 2025 and then we held two in December of 2025. one being during the day and the other being in the evening so that we could certainly capture as many voices as possible and make it available to people given their familial and and work concerns. But overall, I want this committee to know that we took a very collaborative look at this and we took a deep dive because we know that small businesses are important in Charlotte and we also know that keeping up with changing business industries and the law is important as we take this look at PBH. Next slide, please. The state gives us as a municipality authority to regulate passenger vehicles for hire. that's found in section section 16A and it allows us to regulate taxi cabs. The state also has authority in chapter 20 um of the general statute that deals with transportation network companies. It's important to note that the state does not give municipalities authority to regulate TNC's. In fact, the state statute explicitly prohibits local municipalities from issuing any sort of regulations, taxes, fees, or levies on TNC companies. And so as we were making the changes to the PBH ordinance or recommending changes, we had to keep that in mind that the state prohibits local municipalities from any sort of regulation of TNC's, which is similar to some of our sister cities, not so similar to all. There are differences across states. And so when we were looking at peer cities, we did have to take that into account like New York, um, Philadelphia, and what their state statute allows versus our state statute. Next slide, please. So this slide, I know, is a little bit small, um, a little bit hard to see, but this covers the 18 proposals that were in the 2024 stakeholder letter. And so a lot of them had to do with changes to processes and some of them had to do with ages of vehicles, vehicle signage um and and other permitting processes. But I just wanted the committee to have a slide that actually listed out the potential areas that stakeholders asked the city attorney's office to take a look at. And with that, we'll go to the next slide. We held input sessions um as part of a collaboration between the city attorney's office, the city manager's office in order to hear back from the people who actually do this work. It's one thing for us to do the legal research and look into what other peer cities are doing without listening to the folks who do it every day right here in Charlotte. We wanted to have those conversations again so they could understand the collaborative nature of the review of our PVH ordinance. We wanted to express to them the legalities, the potentials for liability and other concerns that the city attorney's office would have to keep in mind as we are recommending changes to this committee and to the council. And so when we held these stakeholder sessions in December, um there were a few areas sort of frequently seen areas of concern that the stakeholders brought up. Um those are listed on this slide. The first being um cutting background checks from a 10-year look back to a five-year look back. Um making black car stands at the airport and in Uptown somewhat similar to the existing taxi stands that we have at the airport and in uptown. They asked about requiring fleet vehicle minimums to operate under PVH. Right now, if you have one vehicle, you can register as a passenger vehicle for higher company as opposed to saying a potential minimum of needing five vehicles or 10 vehicles, etc. We talked about adding an ordinance section to specifically address limos and back black cars as there are some differences between metered taxi cabs and the needs and the business setup of limos and black cars. We also looked at rate changes for limos and black cars. And then we had a large discussion on upfront pricing. Upfront pricing meaning not using a meter to determine the price that someone would pay for the ride, but to set a price between a driver and a rider to determine how much that particular fair would be and to do that prior to the beginning of that particular ride. Next slide, please. So, in response to the August 2024 letter, the city attorney's office has several recommendations where we think this committee and the council, full council should consider making changes. I'll again note that of the 18 proposals that we received, nine of them, so about half of them, the city attorney's office agrees have some legal some sound legal arguments to make these changes. um one being related to applications and those processes. The second being defining operator and also with definitions of operator possibly adding the duality operation that some metered taxi cab drivers also drive for TNC's and they switch back and forth in those operations. Um the third would be our training requirements to eliminate some of those. Right now, PVH drivers are required to take a sort of initiation course to get to know different landmarks and things across the city, which is somewhat obsolete when we live in a world where you can pull up a GPS on your phone and and get to know where those landmarks are. And next section 22, that's number four, we recommend changing the drug screening process to a five panel test, which is consistent with North Carolina state's um requirements on commercial drivers instead of having a larger 13 panel test to lower that to a five panel test. We believe it's similar to what DMV requires for commercial drivers and we would have a sound reason to to change that. Um, proposal number five would be updating the criminal history section of the application process. Right now, if someone were to have any criminal matter pending, that could hold up or cause their application for PBH to be denied. Our recommendation is to change the process so that only a pending disqualifying criminal matter would cause that person's um application to set aside. Right now, if someone, for example, were to have a pending improper equipment or a low-speed violation, their application would sit until that criminal matter is resolved. And what we are recommending is that the only time an application should be paused is if the pending criminal matter is one that if found guilty would disqualify the person from getting a permit. We believe other than that, the application process should continue. Next, we look at changed or recommend changes for rates of agency vehicles and that agency vehicles who work with Charlotte Meckllinmberg schools and DSS should not have higher rates than they would for the same ride if it were to be for a metered ride versus a contracted ride with the school system. Number seven, we're looking at metered vehicles at the airport and usage of the meters only and that if a taxi cab is at the taxi stand, they cannot be operating the duality function of being a TNC. If a taxi cab is at the airport, they must operate as a meter taxi cab. Next, the current vehicle age limit is 15 is 10 years. And so, if a vehicle is 10 years old, it must be swapped out to a newer vehicle. We recommend changing that to a 15-year age limit. And then also changing some roof lighting and allowing for taxi cabs to have signage in their front windshield similar to the signage that you see on TNC rides and not just the the lighting that goes on the roof of those vehicles. Next slide, please. In regard to the stakeholder input session, um, and I and I kept those separate so that we could just know where the input came from. The first recommendation that the city attorney's office would would recommend the council to move forward with is to have black car limo stands at the airport and in uptown. Right now, if a black car has a ride in Uptown, they either have to impede traffic and risk getting a ticket or they have to drive around until they're able to pick up that contracted ride which could cause them to be late and have other effects on their business. And right now at the airport, they do have paid parking that they could utilize in the parking deck. But we believe just as someone can conveniently walk out to a taxi cab, a person who is in a black car or a limo should also have a stand where they can quickly walk out to and not have a waiting period to for that driver to come from the parking lot to then come over to the front to pick them up. We also recommend um adding a new section to our PBH ordinance that specifically addresses black cars and limos. Their needs are different than taxi cabs. Their business setups are different. And we do think that we need a carve out in the PVH ordinance that more specifically applies to them in a way that mirrors their their business model and how that operates. Third, we recommend some rate changes to black cars and limos. Right now, if anyone books a limo or a black car, regardless of the length of the ride, the company must charge them for one full hour. So, for example, if someone is picked up at the Bank of America building in a limo or a black car and needs to go up to Spectrum and it's a six-minute ride, they have to be charged for the full hour. What we recommend is sort of incremental billing, maybe in 15minute increments um to say even if the ride is six minute long, you would need to charge a 15minute bill versus a 60minute bill. And those are just some carveouts that we looked into and weren't as aware of to be quite frank. We were looking more at metered ride and rides and taxis, but we do um listen to the voices of our PVH companies whether it is a taxi cab or a limo. Next slide, please. Some additional recommendations that the city attorney's office has are to look at more flat rate pricing from the airport to certain destination points in the city. One being University City area. Um again we have lots of students who might be traveling for holidays and those sorts of things but also South End, South Park, Ballentine and Plaza Midwood. I think this would require some work um by a diff different several departments within this city including research and planning to figure out the geo ge excuse me geographical points on the map um to exactly point out um where those areas are and what point in those areas would fall under flat rates versus a typical metered rate. Um we also have recommended um changes to the PVH appeal process. Right now, if someone were to appeal, they have to go straight to the superior will they have an appeal with the PBH board and from there go to superior court. What we are recommending is to add some additional layers into the PBH appeal process because again we're dealing with small businesses here and going to the courthouse means more money means often hiring a lawyer. But to say instead of someone appealing to the PBH board and then straight to the courthouse, we have some sort of administrative steps there. The first being an appeal to the PBH manager. If a person is not satisfied with the PBH manager's outcome, they can appeal to the city manager or his designate. And then from there, after exhausting all internal administration um remedies with the city, they can then appeal to superior court. This isn't a new process at all to this city. Actually, this is a similar process to what our sexually oriented businesses use if they have to appeal any permitting issues or concerns from their end. Next slide, please. Some internal changes that the passenger vehicle for hire is looking at and I will note that um I believe as of November of 2025, PVH unit was transferred to report into the police attorney's office within CMPD um as opposed to being supervised by sworn units. This was kind of prompted by different needs of PBH right now. Right now we look at more these are legal and permitting questions, not so much um as they were back in 2020 when PBH was established and there was more of a need of criminal enforcement of PVH because we know that drug cers were using taxi cabs and PVH rides to sort of drive them around to conduct their illegal and illicit activities. And while we're not saying that doesn't exist at all right now, the current state of PVH is more about permitting and industry standards than changes needed based on TNC's. And so with that, um, I've taken a deep dive with the team. We are auditing processes, auditing forms, but one thing we will endeavor to do is to make sure that the permit transfer fees do not exceed the cost of a new permit. And so if you need to renew your permit or if you need to transfer from company A to company B, you wouldn't have a higher fee than what it would take to for you to initially get a permit in the first place. We will also endeavor to approve or deny permits within 7 days of receiving all documentation. Sometimes the process can be held up because we do have to send the background checks to the state bureau of investigation in Raleigh which can take somewhat of a extended time. But once we get all documents, we will endeavor to approve or deny permits within seven business days. And then also standard standardization of forms and templates as it relates to manifest and checklist and other requirements that we have on these companies. Next slide, please. So the goal here again is to have a make a collaborative effort to adjust to industry changes and ride share a ability in Charlotte. We want to make sure we keep consumer safety in mind. We want to make sure we keep service quality in mind and we want an overall more efficient and transparent application review process for our our PBH stakeholders. We want to improve the experience for everybody. That's drivers, that's our companies, that's our passengers, everyone involved so that this they know that the city does have a stake in the tourism and transportation industry in our city. Next slide, please. And so next step is to follow up with the committee on any questions that we have here today. Um I'm sure many will arise, some might be more process questions versus legal questions. We'll be happy to take a look at that and continue advising this group and then when the committee is ready, we can certainly bring forward a draft PBH ordinance refinements for votes and consideration. Thank you. >> Thank you, Attorney Battle. I want to appreciate you and your team's work on this particular uh topic. I know that it's been in committee um in this committee and then previously in the housing and public safety committee and uh it's really really good work that allows us to um see how we can move forward and bring our ordinances and bring how we conduct business um into the 21st century. So, thank you very much. I have um a couple of u council members who would like to have questions. I'll start with Miss Ashira. >> Thank you, Madam Chairwoman. Miss Battle, thank you for the detailed presentation and I appreciate your work on this uh and collaboration with all the stakeholders. Um I know there was one point you had mentioned where stakeholders had raised where we couldn't come to an agreement. Was it the upfront pricing? >> I think she's your mouth is moving. >> I'm not able to hear you. >> Can you repeat the question? Your mouth was moving but I think there was a glitch and we couldn't hear you. I apologize. >> Yes. So my question is I know you had talked about collaborating with stakeholders and there was one item where there was no agreement with the stakeholders. Was it the upfront pricing? Yes. So for upfront pricing that was something that the stakeholders brought up where a driver and a rider could prior to initiating the actual ride agree to a price of that ride. Um there are several reasons as to why the city attorney's office did not recommend moving forward with that. One being passenger vehicles for hired are metered vehicles and if a vehicle is operating as PBH and is operating as a taxi cab by law under our ordinance they must run the meter. They cannot turn the meter off if they are operating as PVH. On the flip side of that, if it is a taxi cab that is operating in that moment as a ride share, then they can turn their meter off and operate as a ride share. But if they truly are operating as a taxi cab, then the meter should run. So with that, if the meter is running and a driver and a passenger have agreed to a price, we don't want there to be issues ariding out arising out of the ordinance due to conflicts in pricing. Imagine a situation where a driver and a rider have agreed to a cost of $20 from point A to point B, but as the meter runs and the person gets to their destination point, the meter says $13. That's going to be issues where public safety takes a different turn and there could be arguments and and other escalating issues between a driver and a passenger. But also, it would make um difficulty in keeping track of manifest in the way that we do now. based on the meter. Um there could also be discriminatory pricing um you know if pricing were to be done on a case-byase basis. So those are some of the reasons why the city attorney's office did not recommend moving forward with the upfront pricing. >> So to follow up on that you had mentioned so they are required to have their meter on. Um, in what instance they could turn off their meter if they were operating as similar to Uber or Lyft? Is that correct? >> Yes. Yes, that's correct. While our current ordinance does not specifically address TNC's, when we take a look at it, we do believe that a person who is a dual driver, a PVH driver and a TNC driver, it would be okay with them to turn the meter off, if they are operating as a TNC in that moment. It couldn't be during the midst of a fair, they turn the meter off and switch to TNC. It would have to be that the origination of that ride was a TNC ride and they could turn the meter off and drive based on the TNC app and the pricing set there. But again, our ordinance does not specifically address the duality situation. Got it. So I know we have heard a number of us have heard from uh those who operate taxi caps and they have shared their concerns around unfair advantage that this would provide to Uber or lift drivers where they have upfront pricing model. I mean, when you take an Uber, it tells you what the price is. And a lot of the times, it's based on supply and demand, not based on uh the distance. And I I understand their concern and how that could really give Uber and Lift drivers unfair advantage over those um PBH drivers. And I think that's something we need to figure out how we address that because I do understand their concern around unfair advantage and uh we want to make sure that we are leveling the playing field there and um while also making sure that it does not create confusion for uh those who are taking uh taxis. I I do not know what the answer to that is, but I really hope that we can get to a resolution there. Uh because at the end of the day, we want to make sure that uh taxi drivers can compete with Uber and Lift drivers and no one gets an unfair advantage over the other. And that's all I have. Oh, and one last item. I do see on last slide where it says um if the committee when committee is ready, this will be for vote at the next business meeting. So, are we talking about next business meeting being the 9th? Cuz that will be really quick. >> No, I I meant whenever the committee is ready. It couldn't be at the March committee meeting. It would come up at the next business meeting at whatever point that the committee votes to send it to the full council. but not truly the March meeting. Just when the committee is ready, we will be ready to have everything prepared for the closest business meeting. >> Yes, Miss Ashmeir, we're not voting on we're not taking a voting action today. Um this is for information purposes today. Uh but at the next committee meeting, if we're ready, we can take a voting action and then it would go forward to the full body of council. >> Perfect. So madame chairwoman um also at this committee meeting I would like us to have a public forum where we directly hear from similar to what we had done uh with other major issues or policy decisions where we invite the stakeholders to provide their feedback on some of these recommendations so that we hear from all sides. I know there was a public input session that Miss Battle and staff has had uh but I think it would be good for the castle to directly hear from all stakeholders. And with that uh I'm done. Thank you. >> Yes, we certainly um do think the stakeholders voice is very important and we had those several conversations with them. some of what the stakeholders said did have a more global effect um generally as it relates to the overall PBH ordinance and operation in a world where we now have TNC's whereas 15 years ago we did not um some stakeholders had more business specific concerns related to their business model and their business plan but we certainly agree with you Miss Azmeir that hearing from the stakeholders is important for our council members. Thank you, Miss Battle. And I appreciate the fact that we did have three for public forums engagement sessions leading into um this information and what we are reviewing today. Mr. Driggs. >> Uh thank you, Madam Chair. So, strongly agree about upfront pricing. We should not go near that for many the reasons you mentioned. Uh it does invite a uh uh the potential for discord, abuse, etc. So appreciate that. But I was interested in your slide. Let me find it. Um flat rate pricing. So uh that that appears to be a uh a kind of hybrid answer on the uh upfront pricing idea that you establish rates to certain destinations but in fact the appropriate rate to different destinations does depend on the time of day the demand for the vehicles and so on. So I don't see how flat rate pricing that depends only on where you're going is a good tool. I I know it exists in some places, but it seems to me that either you heir on the side of the highest price that could be applicable at a certain time of day and under certain demand conditions. Uh or you're you're denying them revenue they should get. Uh obviously the TNC's are exactly the opposite in the sense that they are market driven dynamic and real time updates. And so is is this really a good idea? uh I mean h how do you see that working or how do you see the issue of that price most of the time probably not being exactly the right price >> and so how we would do that Mr. Thank you for the question. Um would be to kind of look at how it was done when upfront pricing or the flat rate was done from CLT to Uptown and based on the interior of the 277 loop. We would want to get with research and planning to truly look at those geographic areas and look at the distance and take into account the typical time it takes to get there in non- peak hours versus peak hours. if we were to set a flat rate and to do those mathematical calculations that way. But I certainly understand your statement about conflicting with not um moving forward with the recommendation for upfront pricing across the board. But we think to some extent it could be beneficial for rides to and from the airport to those destination points, but would have to figure out the math and the geography and peak pricing um rates to determine how that could look. So I I would just caution you about that. If you have a period of time in which the flat rate price is unfavorable to the taxi, it's not going to go to the airport unless it's taking people there taxis uh if they know that they can't get paid what their meter would pay them. So uh I think that's something I'll want to hear more about. Um the other thing is uh there is a problem and we've dealt with this for years about the disparity between the model for the uh the pass the TNC's and the people that we regulate. Uh so as we try to level the playing field we don't want to water down requirements we have for taxis that uh are safety related or whatever. I mean, for example, there's there are inspection requirements. Is anything being done about those? >> No, sir. Inspection would remain the same. We've just proposed moving from a 15-year vehicle age limit to 10 years, excuse me, the opposite. A 10-year limit to 15 years, but the same safety inspections would be taking place with no changes because we certainly want to make sure from that safety point, we do not um water anything down or cause any issues there. because uh if a vehicle doesn't pass the safety inspection, it can be disqualified and removed from service. I mean, over 15 years, one of these cars is going to put up a huge amount of miles. Uh and and probably, based on my New York experience, not be very pleasant to ride in. So, uh I hope that we will have pretty tough standards in our inspections to disqualify older vehicles if appropriate. Uh, and I guess the last thing I would say is your slide listing all of the issues is is for me a little cryptic. I'm wondering whether you could uh give us a copy of the or just give us a link to the copy of the ordinance and reference uh the page numbers on each of these items on slide six. uh and and maybe where appropriate provide a little bit more by way of explanation because I I have a hard time reaching a conclusion just from that. Um and I I you know I assume there's a a document you can just link us to, right? The actual ordinance. >> Yes, I can send links for the MUN code for sure. >> And then just have uh well, you've got the section numbers. We can find that. So I guess really just uh um I'm looking quickly. I mean, for example, on section 122 176, it just says vehicle signage. So, I I don't know what uh what you're talking about there, like, you know, what would the change be? Maybe just take another look at those explanations and then uh uh and for convenience, please just send me a link to the ordinance and then uh I'll have a better idea of what this actually implies because, you know, there's a long history here. I think I've been through this twice now in in my 12 years. uh and obviously we need to go back and look at it again because the the world is changing and therefore the appropriateness of some of these requirements should be revisited. But uh I I have a concern too that we um not trade away things uh just because the uh TNC's are not regulated. Um thank you very much Miss Bow. >> Thank you sir. >> Thank you Mr. Driggs. And uh we just want to point out that slide eight are the actual recommendations that um attorney battle is suggesting. Um slide six was the entire body of recommend of uh proposals but the actual recommendations are on slide eight. >> All right. Um council member >> madam chair I I agree I I want to understand the issue and the recommendation. So I think my comment applies to both uh just to give us a better feel because again these slides are a little cryptic. So before we go to the meeting at which we're going to vote uh if I could just see what I requested for six and eight. You're right. Thank you. >> Absolutely. Absolutely. >> Yes. And madame chair, I do actually have a a chart that I can send you all that has the proposal from the industry versus our um support or lack of legal support for those changes. In the sake of condensing everything to the slides, I did kind of abbreviate everything a bit short, but I can send that to you all that has the comparison of what was proposed versus what our recommendation is. If we could send those work documents um within the next week or so, that will allow the committee to review prior to the next committee meeting um in March. Thank you, Council Member Owens. >> Um thank you, Miss Battle for the presentation and thank you, Madam Chair, for the indulgence. I'm not a part of this committee, but I am very interested in some of the things that were captured here. I want to amplify um Council Member Driggs's comments with respect to this flat rate pricing. I consider myself a literal frequent flyer and would love from the airport to South Park to make sense. However, that is a path that I have taken oh so many times with such terrific variation. I feel as though until we get some of Charlotte's traffic um issues settled. It would be very hard for anyone to really be comfortable with flat rate pricing from a lot of these places because there is so much variation um in that. So, I just want to amplify that comment. My other question though was just a brief one. I did note that the manner in which it was suggested that the background checks be um modified seem to suggest a different time limitation for the look back period on those. But then I note that what you've addressed here, at least what I see is more around the bounds of the types of disqualifying content. Are you also suggesting any changes to the look back period or is that something that is is already determined to be appropriate? >> No. At this time, we're not recommending any changes to the look back period. We sort of compare it to if there were to be a matter in court with witnesses and what portions of a personal a person's criminal record are relevant. The court system would do a 10-year look back. And I acknowledge the difference between a PBH permit process versus a sworn testimony setting in trial, but that's sort of the some of the similarities. We looked back and at this time are recommending keeping that look back to 10 years instead of five. Thank you very much. I will just um close the discussion saying I think the increased um ride share availability as Charlotte grows um is is paramount and um it's within this work and also as we uh increase that availability ensuring that consumer safety undergurts everything that we do to ensure that um we are offering safe secure options for our residents to move throughout the city. Any other comments or questions on this particular topic gallery? >> Uh you not >> you are welcome to come up to the um table and make a brief comment that just when you come up to the table if you could just um yeah um introduce your state your name and who you are. Turn the microphone on please. Yes. >> Sean Glasco with Sean Glasco with Peak Limousine. Operator here for 20 years. As everything's coming together, I'm seeing the Uber side and lift side TNC's versus black car and taxis. So, there are three separate entities involved and everybody's about safety and I 100% agree. But there is a challenge between TNC I mean uh between livery, black car and taxi and Uber andyft. We can't compete. They're 90% of all the trips that happen in Charlotte and you all have no control over it. I'm sorry. I'm a little I'm passionate about this so I get a little nervous too. So in the end you're can't protect 90%. My business evolves around the one to 5enters because they're the ones who have the dollars to pay more for private transportation. So it inhibits us from actually going out and doing our job because Uber and Lyft are still 90% and you can't control them. You have no author authority to tell them they can't do it. They're the ones that are making it hard for him to compete. Uh Driggs is talking about not allowing upfront pricing. That's allowing him to not compete with Uber and Lift because they have upfront pricing. So I just want you all to look at it from that perspective on the outside end. What is the regulation that you're really looking for when there's 10% of what you really can control? The other 90% you can't. How can you really bridge that in the level of the field? That's the focus that I really want that to be on. >> Thank you. Thank you. I appreciate um your your nuance comment there. Um I will allow uh Attorney Battle if you would like to make a comment. We certainly want to do what we can to support small businesses and support the changing economy um as it relates to transportation. I think part of it um goes to like your point, the limos are different than taxi cabs are different than TNC's. And so that's why we have proposed moving forward with a carve out for the limos and black cars. Um, to be quite frank, the only way to truly do a bigger leveling of the playing field would be to eliminate the PBH ordinance, which the city attorney's office does not think um would be a good way to move forward. We still have metered vehicles here, and we also have TNC companies. Maybe in 10 years when taxi cab or cab cabs are less frequent in Charlotte, maybe the PBH ordinance would be obsolete and then there would be a more competitive field as it relates to upfront pricing. But given the public safety needs and consumer safety and small business support that this city is involved in, we think that we have recommended changes that move forward in a in a positive way and sort of come to a middle ground of our collaborations and efforts. >> Thank thank you for that comment. So, what what I'm going to do um is and I appreciate you all being here in attendance. Um thank you for carving out the time to do so. What we want to do is make sure and I think we made this discussion a little bit earlier is that we'll provide an opportunity for you all to come and speak to uh uh committee members. Um at the next meeting we'll have some opportunity for you to have some input uh so that committee members can get the full picture as well. Okay. Um so thank you very much and um with that I believe unless we have any additional comments or questions from council members um I think we're we're going to close this discussion topic. Um Sean, did you have anything to add before we close this out? >> No, I do not. Thank you though. >> Okay, wonderful. And with that, we have um gone through our two agenda items and um I'll take a motion to uh close the committee meeting. >> Move to adjourn. >> Second. >> All right. All in favor, >> raise your hands. I And thank you very much for attending. We'll see you all in March. He's pretty. Hello. Hello. Heat. Heat. Dream. Hey, do Heat. Hey, Heat. Heat. Hey, Heat. Heat. Hey, Heat. Hey, hey hey. Heat. Hey Heat. I know. Heat up here. Donat. Hey hey hey. Heat. Heat. Heat. Heat. Hey la. We're good. Good afternoon everyone and welcome to the Thursday, February 5th meeting of the Charlotte City Council budget governance and intergovernmental relations um committee. My name is Malcolm Graham. I serve as your chairman and we have a full agenda and a pack room. So let's make sure that we know who's in the room uh and then we'll pivot to those who are virtual. Matter of fact, let's swap it up because there's more virtual council members than present. So let's let's start with those who are with us virtually uh and then we'll introduce those in the room. >> James Mitchell, committee member. >> Good afternoon. Dimple, committee member >> Joy Mayo, District 3 committee member. >> And then we'll start in the room to my far left. John Easterland contract lobby city Charlotte deputy chief chory CMPD Mattos city finance >> Matt Hasset city finance brown city finance >> Dan Gogerty partner with cherry becker >> to our far right >> Annne Brooks Charlotte Regional Business Alliance and Peterson Landing Department Julie Porter are going to be partners >> and at the D to my far left >> Sarah Hazel chief of staff city manager's Andrea Leslie Fight, city attorney. >> Sean Heath, deputy city manager. >> Again, Malcolm Graham, committee chairman. >> Kimberly Owens, committee member, representing district 6. >> Marie Harris, strategy and budget. Cherry Smith, strategy and budget. Eddie Gonzalez, strategy and budget. >> Okay, thanks for being here. Let's get to work. Uh, Mr. Heath, kicks us kick off by introducing the agenda and we'll follow your lead. >> Thank you, Mr. Graham. Good, good afternoon everybody. So, we have three items on the agenda today. We're going to start off with federal and state legislative agendas following up from the conversation on this topic last month. Today, uh putting in front the final recommendations for a vote. Then we will pivot into an annual update we receive on the financial audit. We have our external auditor here along with our CFO and members of his team. And then we'll finish out with a policy referral from calendar year 2025 associated with financial stewardship specifically requirements for uh grantees. So, those are the three items and Chair Graham, if it's okay, I'll kick it over to Sarah to get us going on number one. >> Welcome, Sarah. >> Thank you very much. >> All right. Um, so this is our second time coming before this committee. We were here to kick the year off in January. Um, our objective today is to review some updates to the proposed legislative agenda based on the conversation that we had last time. Um and ultimately the goal today, if you look at our calendar, is to um move for a recommendation out of this committee to bring this state and federal legislative agenda to full council. And so um if you look again back to just as a reminder of where we started, we began the conversation in October related to key safety items through February. What we are seeking to do is get this agenda finalized and adopted by city council. um in time not only for the short session in April but to make it to the deadline of our federal legislative meetings in March. Um and that's just a hold on the calendar for that NLC meeting which is 16th, 17th and 18th. And then chair and Sean I'll talk more with you about um what that looks like so we can ensure that that is um ready to go and we are really comfortable with with what that looks like when we go to DC. So, a couple updates. Last time we were here specifically, um, chair, you asked for a scorecard. So, you wanted us to take a look back at where we've been over the last five years. Um, city council, you should have received in your packet, uh, a look back both on what we've advanced and what we did not advance, uh, that we sought to advance over the last five years. I think that was a really useful exercise and hopefully that helps put in context some of the uh items that we have in our agenda today. You also asked us to have some additional discussions with stakeholders specifically around our safety agenda. Um and we we did that. Uh I know Sean may speak a little bit more about that, but we focused talking with the business community. Um we have Ann who's here today. Um and we we had a several meetings to discuss our safety legislative agenda and where that alignment lands so that there can be a stronger communitywide effort as we go into the short session. And then finally, we adjusted the safety agenda. So I think um there was also an ask from this committee to narrow down some of the items to what may be the most critical and potentially the most likely to gain some traction. So, we both did that and added a few items. And um what we would like to do today, and I'll hand it back over to Deputy City Manager Heath, is talk a little bit about the revised uh proposed safety agenda, and then we remain the same in all the other categories based on on our conversation last time. So, if necessary, we can go back to any one of those items, but we wanted to focus this conversation on the safety agenda because that is where we received um the most direction from this committee. Thank you, Sarah. So Sarah did a nice job of framing the homework assignment that the committee gave staff last month as it related to the safety components of the proposed agenda. Refine it and prioritize it where we could have additional stakeholder engagement where we could. And then there were two items as Sarah mentioned that we added because we felt like they're compelling items here that are very aligned with direction we believe we've been hearing from council. So, just in the interest of getting oriented on what you look what you're looking at here on the slide. So, the the gray font the the items that are shaded out were previously on the staff recommended agenda in January. And in fact, I think this is the fourth time we've talked about the safety component of the state legislative agenda for all the right reasons. We wanted to get an early start on that particular conversation. Um, if it's the will of the committee, we could leave those gray items off. That's really the staff proposal today in attempt to be responsive to what you asked us to do last month. Uh I I would say without speaking out of both sides of my mouth, we still think there's merit in the ones that we've shaded out. It's not that we've said they're unimportant. Uh we just tried to make an attempt at identifying which ones do we believe are most aligned with what we perceive as council's priorities. which ones do we perceive as being most aligned with stakeholders uh that we've spoken to including the district attorney's office, CMPD, the courts, the regional business alliance, etc. And then the third which requires the most judgment of all, but which ones do we feel like there's a reasonable opportunity to gain traction on in Raleigh. So what's left behind are the items here shown in the darker font. And the first three are identical to the way they've been framed the last couple months. So, I will breeze through those pretty quickly, but item number one, of course, gets at the intersection of mental health and public safety. We understand the state of North Carolina is already doing a lot in this area. Uh, but we also recognize we feel like there's a real bipartisan push across the state for more investments in mental health as a public safety strategy. Number one. Number two, and number three in on here really go hand in hand. It's the whole notion that additional resources are needed across the full continuum of the criminal justice system both CMPD with within our four walls so to speak as well as the district attorney's office public defenders and the courts. The courts of course would include magistrates and clerks and judges. Uh as I as I articulated at the last committee meeting, we would see this really as a partnership. I think we the city under council's leadership have a strong track record over the last 5 to seven years of making significant investments in public safety. Those are unquestionable. Uh what more might the state be able to do to really partner with with us in that regard as it relates to the resources that are necessary to better ensure accountability around public safety in the community in the criminal justice system. The two new items that we've added here, the first one is uh House Bill 258. So this this house bill uh it passed the house in 2025 in April and was referred to a senate committee. The emphasis here is on safety associated with public transit operators either bus or light rail operators. So the bill uh contemplates that an assault against a public transit operator would be designated as a felony offense as opposed to a misdemeanor. the state actually passed something very similar to this into law in 2025 focused on utility workers. Um it just so happens that the feature related to public transit operators is still in committee. So the idea here would be as a further demonstration of the importance around public safety in our transit system specifically related to assaults against public transit operators that there would be a higher level of accountability for individuals that perpetrate those acts. The second new item here relates to uh supporting efforts to eliminate fatalities and serious injuries on roadways including strategic infrastructure improvements and leveraging technology. Here the desire would simply be to identify opportunities to partner with the state around uh how can the state really do things that would be very aligned with with the vision zero philosophy here locally for the city of Charlotte. So those were the two new items that were added. The last thing I would say is in one of the conversations that Sarah alluded to and thank you for being here today. We really appreciate your partnership. Robert McCutchen, uh, we're very appreciative for his leadership from the business alliance. He offered as this works its way through committee and council, however this lands with your public safety agenda, to convene a group of local stakeholders because I feel really good about the level of effort that's happened to get aligned around priorities uh which are reflected here on this slide today based on a lot of conversations with the stakeholders that I referenced before. Uh Robert made a great point last week about the importance of aligning around activation. So once whatever your public safety agenda is is set, then what are the things that we could do as a community to lock arms and really try to advance this agenda together. So he's offered to do that. It seems like it'd be something very smart for us to participate in. So from a staff perspective, we'll just wait till the agenda is finalized and then we'll look to join in those conversations. So I I'll leave it at that on this slide since we've talked about a lot of it before and we'll be ready to field any questions once we finish the presentation. Um so I pause here we can >> the items that we discussed last time if that is uh what what you'd like us to do Mr. Chair or we can pause here because this is where the changes actually occurred from the last presentation. >> Yeah let's pause and go back right and I I I recognize Miss Ashmeir I got one quick question Dimple then uh I think I saw your hand raised real quickly and so um >> thank you Mr. Chairman, >> working back. >> Hey. Yeah, I'll be quick. >> Hold up. M Ash mayor, you're next. Let me let me get this out of the way then. Okay. Then then I'll then you're after me. >> Um so, um working backwards. Um yes to the round table once we get it done. This will be voted on today, members, um before we leave the the agenda. Uh but yes to the round table, yes to the collaboration, uh yes to uh I just left uh Mechnburgg County uh intergovernmental relations committee. They're talking about 77 south expansion. So um I I I needed to be there for that one. And so the more that uh the county, the city, and the alliance can work together uh to have one voice in Raleigh, I think it's important. And the more that we can demonstrate that unity here at home, I think it's really important. um both publicly and um just being around the table. So I think we should do that um for sure. Uh and then secondly, the great bullets, right? So I clearly wanted the opportunity to narrowly tailor and focus our our agenda and I think the the bull items does that. Um but I I do believe that we should though as a tier two, right? Maybe tier one, tier two. Uh tier one is what we really want to get done. Um but with tier two is those items that um we would instruct our outside um advocacy group that we're working with um to still um um support the guidelines for repeat offenders, right? We still want to do that, right? We still want to uh strengthen the pay for metrist. We want to do that, right? Uh I think we should do that. We should and it probably should go in bold uh the local juvenile detention center, right? I don't think we want to lose that um to a a second tier type of request. So, the bold items should be the ones that we really uh strategize with our our local partners on um for sure. And then the other tier two is those things that we really instruct our consulting agency that we work with in Raleigh that hey, we still want to continue to work with communities around the state to uh repeat offenders. We still want to understand that the magist is low. You don't even have to be a lawyer to be a magistrate, right? Which is insane, right? So, we still want to do those things, but it's not top of mind for the council. So, so if we can kind of do that, I think it may work. And if members disagree with that train of thinking, please feel free to to push back. Um, it's just my my observation. Uh, Miss U. Miss Ashmeir. >> Thank you, Mr. Chairman. Uh I agree with you in terms of uh the importance of aligning at the local level so there is unity when we are going to rale for advocate for some of these items. Uh though I would like us to highlight a state support to reestablish a local juvenile detention center. I know that repeat offenders, many of um are juveniles, that is an issue, was an issue and continues to be an issue and I believe that needs to be involved. Um we need state government to help us with that. I can hold people accountable while uh they get the services that they need closer to home. So I'm just Mr. if you could um expand on why we decided why we decided to um not uh emphasize that bullet point specifically. >> Thank you, Council Member Rashmir. I think that in my talking points for today, one thing I neglected to say was how hard it was to decide which ones. And these are staff judgment calls, right? I'm not going to put forward to you that we had like a sophisticated level of analysis. They were judgment calls. The the juvenile detention center to me would have been the the the first one that I would have put back into the into the darker font. Uh there are a number of stakeholders in the community that feel very passionate about this particular topic. Um I feel very passionate about it as once as I've said before, it's never the option of first resort, but there are certain instances where it's in the best interest of the community. So, I'll stop there. Council member staff staff would be very enthusiastic about anything. >> Yeah, we we will accommodate that for sure. That was the first time. >> I think that's a no-brainer. Um I've met with number of residents, business leaders also. I had an opportunity along with council member Mayo to meet with some of this residents in district 3 as well as business leaders. And I mean the support for reestablishing a local juvenile detention center is there. Uh we we really need to highlight that as one of our state legislative item. Well, that's all I have. Thank you. >> Thank you. Um Mr. Ashmeir, um M. >> Oh, thank you. Um thank you for the presentation. I I'm excited to to engage a bit more deeply on the one, but I believe you've added in large part because a lot of my uh comments around vision zero. I um I just I look at what we have here and it feels um for for lack of a better term amorphous. And one of the things that I'd like to do is perhaps put a bit more clarity and and I think sometimes tragedy does drive us to clarity. So Lance Stollo's death in um a situation where somebody was running a red light has prompted a lot of community outreach to us as council members around um looking at red light uh cameras again. And the memo that I recently received from y'all did suggest that there was some ambiguity around the bounds of that and that perhaps we had common interest with the city of Greensboro to drive greater clarity on that financing. And just for my constituents who raise these questions, I just want to be very clear in my questions to you that I appreciate that there is a rub between the costs of these things and the way that the funding is supposed to go to the school system. And I I don't know how we get to that clarity, but I would like I I don't want to limit what you've got there, but I do want to put a finer point on the things that I think can be more easily addressed in a manner that we could potentially at least focus on getting the clarity we need to be able to afford those red light cameras along the high injury network and and start with some baby steps towards a a a future scape where we are able to operate with greater clarity. around the the cost split and and how that works out because what I read from y'all was a very very insightful memo, but it is one that I think can be teed up to legislators in in the state that is eminently understandable that feels bipartisan. I mean, it feels like we could get a win on something that is a more defined element of that point. Um, further to that though, I just will amplify again the concern around the juvenile detention center. I think we're in violent agreement there that that is a priority that we're hearing consistently from business owners who, you know, are are confronting a lot of property crimes on their properties that are committed repeat juveniles. And that our magistrates and our folks in our courts are unable to confidently and comfortably incarcerate these juveniles because they do appreciate that it means that they're going to be sent elsewhere. and we're battling a a family um dynamic that may not be as supportive to that that kid in need as it would need to be. So, yeah, I'm going to just put my thumb on the scale for that one as well and I appreciate your indulgence around the red light cameras. Thank you. Any feedback, Sean, in reference to um is that not an agenda item, but certainly that's something that we're we're working on internally and maybe that's something that we work with the the League of Municipality with as um um as a joint venture or joint type of conversation. Um and I think we're due to meet with the League of M municipality soon, aren't we? The dinner meeting is >> Yeah. >> right around the corner, I think. I don't know the date. Um I can Sean if that's okay. So to I think respond um council member Owens to >> your desire for a little bit more clarity um around this. Our goal in adding this as a proposed new item was to be able to be at the table to provide a bit more clarity around that split on how we fund red light cameras. Um, I want to be super clear though that that does not limit the city from beginning a program prior to that, but we didn't want to miss the opportunity to see if there's an there and when there is um a window to really look into how that funding split works um to to be at the table to do that. I think the other component of that was related to and I think we highlighted the word technology in here. Um, you know, there are other technologies that are emerging, technologies related to speed cameras, etc. We want to make sure that we can, you know, insert ourselves into those conversations in relevant and meaningful ways to address our goals around vision zero. And so, um, we kept it a little bit high level to be able to capture more than simply the red light camera component. But um as we flesh out and go to the next steps of our agenda, we do put a little bit more meat um in the description so that um we can we can be directly responsive to council and the community. >> Thank you. >> So I think we're good there. U Mr. Mitchell, do you have any questions? Um >> silence is golden. Miss Mayo, >> no sir, chair. I have no comments. >> Okay. >> Yeah, I don't either. Thank you for everyone has raised really great points. >> Okay. So, I I I think we we are we got a meeting in the minds before the vote, right? Uh with the understanding that we'll have a a tier one, which is those things that we really really want to get done and and put a lot of muscle behind. uh tier two, those soft items that we would instruct our our consulting firm to continue to work on with other uh large urban cities around the state. Um um for sure uh that we would um uh work locally to coordinate our efforts and have that roundt discussion uh with the city, the county, the alliance and others so we can be in sync here. And um unless there's any other questions, comments, um I will entertain uh are we ready to do that? I will entertain a a motion uh to accept the updated proposed state agenda um for consideration um to pass on to the city council. >> So moved. >> Second. >> Properly moved and second. >> Mr. Graham, I have a question. >> Okay. Um let's hear from Sean and then we'll pivot back to you Temple. Just one one quick clarification. We focused on this piece because it was the >> Okay. So, there's more. >> But but what we're asking for today is for the committee to endorse the overall >> Oh, yeah. Yeah. Yeah. Yeah. Yeah. Yeah. Yeah. Yeah. For sure. For sure. Mr. Asher, >> I just want to make sure the motion includes the last bullet point supporting reestablishing a local juvenile detention center as one of the uh highlights as as part of our state legislative agenda. >> Yes, ma'am. We we've we've um um promoted that to a tier one. >> Okay, great. Thank you. >> Okay, so properly moved and seconded that we um um vote to send to full council then >> um um state agenda um for the city. >> All those in favor? I >> I >> I >> mayo >> mayo >> I have the motion. >> I uh that's unanimous. Did that miss something? >> Mr. Chair, I just want to confirm that that was the federal legislative agenda as well. >> That was just the state to discuss the federal. >> Are we getting ready to discuss the federal? >> Uh >> we can do that if that's what you'd like to do. We had intended because we didn't have any additional conversation around federal, we could if if you're ready, you could you could move to adopt that. >> We didn't make any changes to the >> I'm I'm ready. I'll take a motion to uh approve the federal um legislative agenda. >> I move to >> So move Oh, go ahead, Kimberly. >> I move to >> Miss Owens um um makes the motion. Mr. Mitchell seconds it. All those in favor say I. I. >> Mayo. I >> Mitchell >> I >> um Ash mayor >> I >> Okay. Uh that's unanimous. >> Yay. >> Okay. Moving right along. >> Chair, with your permission, I'd like to invite up the team to discuss the financial a report. >> Got the money people coming. Okay. >> Were we not trying to get >> I think >> we did now you. >> So the one item that was sent out all of the legis legislative agend the >> No, we with the external auditor, we wanted to give them an opportunity to do the briefing today. >> Okay. >> Okay. All right. Welcome. Thank you uh Chairman Graham and and committee. Thank you for letting us come today to present. So uh our external auditor here will present the the findings. Just want to take a moment just to sort of introduce both Betty Matoss who is our chief accountant and David Brown who is our deputy with financial reporting in that sleeve. Um this is the external auditor's report to you. Obviously I'm here as you know CFO to to answer any questions but this is their report to you. So this is your opportunity to get directly from them their findings. uh ask them any questions you you wish. I do just want to highlight that you know this was the going from our old ERP system to our new ERP system. So this was our last audit and the last uh and our old um munis system and just really want to highlight the incredible work that Betty and her team did and the entire city to get that ERP transition done and then our audit done too. It's been a really big lift for our staff and the entire city who has been incredible to sort of push this forward. Um, and Council Mir, I know you've asked previously about sort of the the contract with our external auditors. So, we're actually in the process right now of doing an RFP. Um, so that'll be coming back to to council for consideration uh shortly, but just wanted to sort of highlight that. And Dan, I'll allow you to introduce yourself and take it from here. >> Sure. Well, thank you for having me here today. I'm Dan Gogerty. I'm partner with Cherry Beckard LLP. We're a public accounting firm out of uh based in North Carolina out of Raleigh. So just first off just introducing to you the team. Takes a lot of members on our side as well to get this audit completed. We start this audit all the way back in uh the April May time frame and completed basically in December. Um Scott Anderson was a second reviewer. Richard Hart is a senior manager on this engagement. Chris Messy is the senior and Malik Robinson was the key staff that we had on this engagement. Before I just go over this results, I do want to just kind of always kind of reset in terms of what an audit is and what we do and what our scope is of an audit. So, from an external auditor as such as ourselves, we're auditing your financial statements. This is a requirement by general statute that you be audited on an annual basis and that your financial statements be reviewed by an external auditor. Um, this also is done because you have federal and state funding. because of that federal state funding that also requires you to have an annual uh financial audit. Our audit scope is over the financial statements as a whole that they are in accordance with generally accepted accounting principles that you are following those set standards and how you record your revenues, how you record your expenses and that we're testing transactions on a sample basis to provide reasonable assurance that the financial statements are free from material in the statement. Um so getting into the results from there is that we like I said we do it under also generally accepted auditing standards and government auditing standards. We follow those very specific rules as we go about the audit and how we audit your transactions. And we've issued an unmodified opinion which is also known as a clean opinion and it's the highest level opinion that we can give under our auditing standards. We also audit your uh federal and state awards. So for your federal awards under uniform grant guidance for your state awards under the North Carolina state single audit implementation act. Um in both cases the federal and state provide us with compliance supplements that dictate what they want us to look at in particular grants that you've received. We audit these grants on a three-year cycle um or to obtain certain coverage. We need to at least test 20% of your grants in a given year. And I'll go over some of the other grants that we tested in another slide here. But we also issued an unmodified opinion on compliance as it relates to your federal and state awards. As part of our audit, as relates to your internal controls, we do look at controls as it relates to financial reporting to ensure you have controls in place that transactions are being reviewed before they're recorded and before they get transmitted to what is in your annual comprehensive financial report. uh we do not give an opinion on the effectiveness of those internal controls but if we find issues with any areas of internal controls we do make you aware of those as they would be considered either potentially a material weakness or a significant deficiency. material weakness being one where a material error could go undetected or has gone undetected as a result of our audit procedures or a significant deficiency being one less than a material weakness but still that we feel in our judgment is important to let those in charge of governance such as yourselves know about. I'm happy to note that we did not identify any deficiencies in internal controls related to the financial audit or the compliance audit as it relates um to be a material weakness and there were no reported significant deficiencies. Um we did have a material weakness reported in the prior year uh financial statement that was uh corrected by management in the in the coming year and we were able to reduce that and remove that from from this year's report for the federal and state programs that we audit. These are just a sample of some of the programs that we've uh not a sample these are the programs that we looked at and and audited this year. Um we had the federal transit cluster. So this is all your operating grants as it relates to transit uh the CAT system. And then we have the coronavirus state local fiscal recovery funds as you continue to spend those those monies down. Uh and then for the uh equitable sharing program also was a program that uh went over the limit this year. That program hasn't been looked at in a number of years because that that program had been kind of smaller in previous years but again we audited that this year and had no issues with that. Instead of state programs we look at your PAL bill. This is your street funding and how you uh maintenance your streets. And then you have state aid for airport funding. Uh and then the urban state match, which is a state match on the federal transit program. As part of our audit, we also need to make you aware if we find any adjustments or throughout our audit procedures that we propose to management that management then either posts or passes on posting them. Um, in terms of the one corrected adjustment we had here, this relates to the ERP implementation software, uh, this was software that was prepaid, uh, that needed to be recorded as a right to use asset. Um, and so it was expensed and so this was an adjustment to remove that expense and record it on a balance sheet to be advertised over the life of the software. For uncorrected adjustments, here we had two uncorrected adjustments. These are adjustments that we didn't deem to be material to the financial statements. Management uh didn't deem to be material and we agreed with their assessment. Uh the one the first one is has to do with uh claims liability. So whenever you have any litigation services uh you only record the expenditure and a payable uh when they are estimable and probable. I mean certain cases there were amounts recorded being more conservative and recording them before they were they were probable. Um and so we had uncorrected adjustment related to that. And then the other one relates to the water sewer and storm water fund where there was a difference in the accounts receivable to the subsidiary ledger. Uh but again we did not feel that these entries misstated the financial statements and so we were fine with managements uh passing on these entries. The next six or seven slides I'll go through fairly quickly. They're very standard uh things that we need to go over with you every single year. Um but they are very similar to what we've uh communicated to you all in the past. Uh note one is where your significant accounting policies lie. You did adopt a new accounting standard this year. Uh it relates to uh Gatsby 101 compensated absences. This is your sick leave and your uh annual leave or PTO that you uh provide. You acrewed for all vacation leave prior to the statement. You did not acrew for sick leave prior to the statement. This statement now requires you to go back and look what is more likely than not for someone to use over their life at the city um and record a liability for that. But I will make a distinction here that you do not pay out sick leave. Sick leave is only paid as the employee takes the sick leave and that gets paid just through the normal payroll process. So while this liability of $16 million is being reported, there is really no cash flow that you're paying out additional 16 million. that is just they'll them taking um their leave for future years that they've earned this year. We noted no issues with any related party transactions, no related parties uh that we found as part of our audit that wasn't already disclosed to us by the city and no issues with any arms length transactions. There were no uh nothing where a lack consensus of authoritative guidance on on recording of anything in accordance with the government accounting standards board. uh no significant or unusual items. Unusual being kind of outside the normal course of business that the city would not partake in in the usual manner. We noted no issues with that. Uh estimates are a critical part of the financial statements. There are a number of finan uh large financial statement line items on your on your statement such as your capital assets that are being depreciated over time. Uh your pension and other post-employment benefit liabilities for future uh payment of those liabilities. And we looked at all the um underlying assumptions used by management. Made sure there was no management bias and made sure that they seemed appropriate and consistently were being used year-toear. Financial statement disclosures are neutral, clear, and consistent. Uh nonattest. So a test being audit services. So any non- audit services that we provide, we need to make you aware of that we're providing those services. But management uh is taking responsibility for all these services and ultimately taking responsibility to uh oversee and and approve everything. So we are not approving anything which allows us to maintain our independence. Those services included helping with the implementation of the new Gazsby this year. Also had the tax services uh to assist with the Charlotte Corporation tax return we do on a yearly basis and assist in the data collection form. Data collection form being how we communicate with the federal government on our federal audit so that they all the agencies can be uh know what's been audited in in their agency. We had no difficulties encountered. We had no disagreements with management. Uh there were no auditor consultations. So no consultations with outside of our engagement team within our firm. Uh the manager representation letter was dated December 23rd in which the date of the financial statements were issued. Uh, no management consultations, no shopping for an opinion with other auditors or accountants, no other findings or issues, no fraud or legal acts, uh, no going concern to evaluate as it relates to the city's ability to continue. Uh, these three are just long way of saying um, while we give a full opinion on your financial statements and your notes to the financial statements, everything else within the financial statements we either give an in relation to opinion on or we give no opinion at all. Um those that we give an in relation to opinion on are those budgetary schedules in the back uh and combining individual fund schedules uh the statistical the MDNA the RSI that's included for your pensions. Uh we do not provide an opinion but we do read the information and make sure it's consistent with the financial statements. You do have two new uh government accounting standard board uh things that will be uh uh implemented by the city in the the next year. 103 being some improvements to how the management discussion and analysis looks and reads and also how the presentation of your enterprise funds looks in terms of how you op how you define what is an operating revenue versus a non-operating revenue and subsidies. And then 104 is some information about just disclosures uh updating the capital asset disclosures. Once the audit is completed, uh this information is is is entered into a data input form that is goes to the local government commission. Uh when it goes to local government commission, they look at the data that's been entered and decide if you have any financial performance indicators of concern that they want you to address. Um there were no financial performance indicators of concern to address this year and and also no findings. So nothing that you need to write a letter to uh the local government commission on this. You had uh budgeted tax levies more than 3% not more than 3% uncollected positive general fund balance of an effective pre- audit uh process so you to avoid any pervasive budget violations ensure you have the money before you spend it uh no late debt service payments or debt covenant issues and no stat statutory violations were noted as part of our audit so with that I would also like to extend my thanks there's a lot of counties cities across the the state of North Carolina that are implementing new ARP implementations and really you guys are one of the few that actually got this out um with that ongoing. So I would definitely commend the staff to be able to do both uh things throughout the process and get this done. And we ask a lot of questions as part of our audit. I think Betty can attest to that. But we uh but they always provide us with the information we need timely and getting us uh what we need. So I appreciate their efforts. That's it. >> Well, I want to thank uh thank you for the presentation and also want to thank staff for for the hard work uh to get us to this point. Um I'm going to um flip the first question to the former chairwoman uh and the resident CPA on staff. Um she's been dealing with the the budget for a number of years um firsthand and um so Dimple, why don't you drive the car for a little bit? >> Thank you, Mr. chairman. Uh, first I just want to thank the staff and the external auditors for the clean opinion. Uh, that just goes to speak the leadership that we have at our uh, finance level. So, thank you Mr. CFO and the entire team uh certainly appreciate the great work here. Uh just uh to our external auditors uh from your independent perspective as our city grows not just in size but also in complexity uh what are the top financial risks that the council should be planning for over the next uh 3 to 5 years um as as we are looking at some of these new systems implementations. >> Yeah. So I think as you get new systems in place, obviously new controls need to be put in place, you have uh to figure out, you know, what controls are going to be automated controls, what controls are going to be things that people are going to have to go in and sign off on and making sure you have a good log and activity of those controls. Because when we're, you know, in the old days of of auditing, we're looking at pieces of paper, someone signing off on something so we can see it happen. Now we're having to look at electronic logs and make sure that those things have still happened and that there's no way that you can manipulate the electronic logs and that you have that proper segregation of duties that we that uh multiple people are looking at things still um even if it's in electronic format. So I would say that's that's one of the things with a new uh implementation of a system is making sure um you be doing that and that's been a conversation we've had with management as part of our planning process um when they first came to us with the new implementation and and I think internal control has been a factor of their decision-m in terms of how they went with uh their ERP selection and all. >> That's all I have. Congratulations to the team. Thank you. Council member Ashmeir uh Miss Owens. No, >> I'm good. Thank you. >> She's good. Um let me get the committee members first and I I'll catch um um Council Member Anderson who has joined us. Council member Mitchell, >> I'm good, sir. Thank you, Mr. Chair. >> Mayo, >> no questions. >> No questions. Oh my goodness, Mr. Anderson. >> You got like almost an hour. >> Let me pull out my notebook here. of questions. No. Um, first of all, thank you for the information. What I wanted to ask is with the implementation of the ERP system, um, you know, ERP systems have been around for ages. I I used to actually implement them as a part of uh my professional career. Has it made the audit process easier? And are you planning with an ERP system that's fully robust um to do audits more frequently? So I'll I'll start and then maybe you can say from your perspective on with with other clients as well. I think that one thing to note is that the audit that we did for this year was still using our old system. So we're we're currently we're in the first sort of budget cycle or first budget year under our new system. So that is going to be a big lift for our team as well as sort of putting that through the the next financial report. I would say from an audit perspective, it will probably stay at sort of the one-year mark. As um Dan mentioned it first, we start this process in March or April and finish in typically November or December. So, this is this is a very long process because of just the not even just the the size of the city, ju just sort of the the length of time it takes as they are really sort of diving in and looking at things. And one thing to sort of note that, you know, this sort of time frame this year, we also hit a bit of a delay with the federal government shutdown because that delayed the supplemental information that came out to the to all external auditors. It wasn't just Charlotte that got a little bit delayed. And while we usually try to come to to this committee in December um that was kind of a bit of a factor there as well. I do think that, you know, going into a new ERP system with we have an internal controls group, we have uh financial reporting that are all looking to try to automate as many opportunities as we can. And I think back to to what Dan said at first um to council me that's really tight and that you know having automated things that save time but don't put us at risk for not making sure that the right thing is being done. Um, so I hope that that answers your question, Council Member Anderson, is that it's I don't think it sort of lets us do it more frequently, but I do hope that it allows us to do things more efficiently across the city. >> Thank you for that. Um my my caution is just with certain systems unless it is an entire um unless it is an entire suite of modules under one system the handshakes between systems as information flows in and out of various different um software modules can become cumbersome. Number one, it can also uh present um data risk uh from an exposure perspective. Um and number two, especially in a new system, if things are not properly mapped, then that can create some really really um big challenges down the road, especially in a a year one audit in a new system. So, those are just my cautions as you all uh move forward. I I'll say and then Dana you can certainly jump in that one of the sort of the integrations between these systems is is a big part of of anything and that's something that our INT group and internal controls group is has worked very hard on and one of the the systems that we've also put as a part of the sort of suite is a so workday is our sort of ERP system and then work which sounds similar but it isn't one is an opportunity for us to do internal control checking and we're actually one of the things that we're we're just sort of adding into that is some audit capability to also try to help make sure we're making sure that all those controls are are being validated. And then I don't know if you had anything from just the sort of clients on sort of implementing new ERP systems. >> Yeah. No, I mean I think what you said is is perfect and yeah, I mean when you a lot of times these new ERP systems are kind of requiring you to kind of use their providers and use their thing because they want that make sure that everything's connecting, right? Because if you kind of go out there and and use another provider because you like that reporting better, it could cause issues with how the data speaks to each other between the systems. So I think I think you guys have kind of gone with what workday has >> uh tell you to do there and gone that route. Um, but yeah, I mean, we'll from our audit perspective, we'll probably get probably cleaner reports out of the system from an older system that might not have it in in a good order as as a newer system might have it. So, we might be able to be get some efficiencies from cleaner reports and just being able to analyze the data and analyzes more uh more data at one time through analytics and data analytics. Um, but I I don't see a lot of efficiencies outside of probably more so on the on your staffing side of just being able to get things faster and get things quicker once you learn the system. The first year is going to be probably a non-efficient time because you're trying to learn the system and get those right reports, but once you get that down, I think you'll see some efficiencies there. >> Thank you, Mr. Chair. >> Okay. So, this does not require a vote. It's for information only. At what point will it be passed on to the full council for or will it be? I'm not I'm not sure. >> You post it, correct? >> Yeah. So, I I I think that we we can certainly have this presentation itself is a part of sort of the weekly um um sort of packet and then our the we can certainly send out to the full council the actual entire financial statement which is quite large. >> Don't worry about that. I'll also say that one of the things that we did add a couple years ago is also our popular financial statement which is if you remember kind of the much shorter probably 20 to 30 page book that is a little bit more uh sort of more for ease ease of use um and based on some of the delays we're still working on that now but we're absolutely make sure and and that's a part of um this you know that we get the GFA triple crown for both our audited financial statement the popular financial statement and then the budget book as well. So that is a another great part of our management AAA is that we have the triple crown award on our um budget and financial statements. >> We'll send the big um booklet to Dimple. I think she'll appreciate it. >> Absolutely. >> All right. Okay. >> Thank you, chair. >> Thank you. Last item is number three, uh which is the um policy referral financial stewardship. And again, uh council member Ashmeir uh chaired the committee when this was brought forward as well. So Dimple, I might want you to drive the car on this one as well. You your background on what we're talking about is probably a lot greater than mine, >> right? So thank you, Mr. Chairman. The over the goal behind having this financial partner policy or sort of one policy that would apply to all organizations, right? Right now there is not really a consistency between um what is required by nonprofits. So if it's financial partners, they have different criteria versus uh let's say if an organization is getting funding through another department or a CMPD for an example. So I think we should just have one policy so that there is some consistency and one policy that should apply to all nonprofits. So I think that was the goal and that's why the mayor referred this to our committee so that we can have some consistency uh throughout the city. Sean, >> thank you, Chair Graham. I think with that framing, we can just pass it right over to strategy and budget that manage our financial partner process. So, they're a natural fit to lead us through this referral as well. Thank you. >> All right. So, hello council. My name is Cherry Smith. I work in the budget office as a budget analyst, but I also serve as the program manager for the city's financial partner program. So just to reiterate um the policy that came to the committee uh is related to financial stewardship and ensuring that as an organization uh there is alignment in how we provide funding to local nonprofit organizations. Um so with that policy uh we did a deep dive into our organization. We sent out a survey uh to all of our departments um for them to provide input on how are they funding local uh community- based organizations and nonprofits, how often are they funding them, are their policies connected with that funding uh so that we could really get a good understanding of the landscape of granting within the organization as a whole. Uh so I want to start by saying we provide funding to nonprofit organizations in a multitude of ways. Uh specifically the three that you see on the screen up here. Um we do requests for proposals. Uh that's like our housing trust fund where we have developers that can apply for funding in that way. Uh it is a competitive process. Uh there's a comprehensive application that's uh required and also payments are based on performance um as a part of the RFP. We also have community- based program grants. Uh not sure if you're familiar with some of our smaller grants like our placemaking grant program, our neighborhood matching grant program, our economic development department has a BOT program which is our business district organization grant. Um those also have a very comprehensive application process. It is not always a nonprofit organization that's receiving that funding. um particularly when we think about the neighborhood matching grant program. Um nonprofit status is not required. So um it's a way that we provide grants, but it's not specific to nonprofit organizations, but the grant amounts are very small. Uh so you don't introduce a lot of financial risk to the city of Charlotte in that way. And then finally, we have our financial partner program, which uh thank you for all of you guys's uh support in uh establishing a policy for that program uh to dictate how we are able to identify organizations that are eligible for the program and also ensure that the organizations selected are spearheading and uh furthering council strategic priorities within the community. So overall, all of the programs that we have in the city, no matter how we're providing the funding for our nonprofit organizations or community- based organizations, um they all meet best practices for general grant making. Uh so we're not giving out money without some type of parameters connected to it, without eligibility requirements, without clear reporting requirements. And that's with doing an entire scan across all of our departments and across the programs that are available to us. Uh so again, strong program guidelines across all of the programs. It uh all have a competitive application process and they all require some level of reporting. So, key takeaways. Long way to get to the key takeaways, I know. Um, our financial partner policy as passed by council um applies to nonprofit organizations that are applying for general fund funding on an annual basis. Um, they are all required to have 501c3 status. Uh, they're all required to meet uh the vendor registration requirements for the city. um and they have to to meet the application guidelines which includes financial reporting. It includes um providing program or performance measures uh and also uh ensuring that they can give us a detailed look at how they anticipate to leverage the city funding. Unfortunately, uh well there are programs within the city that do not fit within that box. So, specifically, when we think about things like our business district organization, um that would not fit within what the financial partner program is structured to accomplish within the community, but it doesn't mean that they are not receiving um the same level of scrutiny to ensure that they are meeting program requirements. The same goes for our neighborhood matching grant program. um they would not qualify for financial partner program because they do not qualify as 501c3 organizations and it wouldn't make sense for them to go through the process for becoming a 501c3 organization. So where it is um where it makes the most sense, departments have uh already started the process of shifting organizations that would qualify for financial partners to the financial partner program. for organizations or programs that don't necessarily fit within the financial partner program box. They fall within another category that is still managed with the same level of scrutiny that we manage our program for financial partners. Um, and making sure that all eligible organizations are meeting what's set forward in the program requirements. what we can commit to uh as an organization as a whole where there are opportunities for alignment uh we will continue to work together to make sure that we're walking in step with each other. Uh what we don't want are organizations to not be aware of funding opportunities. Uh so we ensure that we share that information across all of the departments uh that afford grants out to the community to make sure that our program is open and available. uh especially our public facing departments, we ensure that they have the uh notifications that the applications are open um so that we're we're bringing all the folks to the table and we also uh work lock step in what the organizations are advancing within the community and if they are providing a program, initiative or service um that really connects directly to a department that we are linking the leader leadership within the department with that organization. Very good uh example of that is Tree Charlotte who has historically been a part of the financial partner program um but advance what is very important to the planning department and has shifted to a partner of the planning department and not falling within our program anymore. So that is a long way of saying uh we have reviewed the referral from the mayor uh where it's possible going forward we will ensure that all organ or all departments within the city are in alignment where it makes the most sense with the financial partner program but also uh ensuring that we're continuing to partner across our departments uh to make sure that um our community members are aware of all of the funding opportunities that we have within the city. >> So that's it question. >> Okay. So So um Miss Ash mayor, I I'll let you drive the car for the first question and then I then I have a question. Um and then um we'll go from there. >> Thank you, Mr. Chairman. I just wanted to for context uh for those who might be new to the BGIR committee. Uh just to give you context around the financial partner policy that was adopted by the committee and the full council. We did make adjustments based on the input from nonprofit partners because uh we were very thoughtful about how we treat established organization from a grassroots organization because certainly when there are financial audit requirements grassroots organizations are going to be at disadvantage because audit does cost a lot of money. So there are I just wanted to make sure that uh the committee knows that there are different requirements for established organizations versus grassroots or organizations that are somewhere in the middle so that we are being equitable in our approach because at the end of the day we want to partner with organizations that are helping us uh with our strategic priorities but we also want to be very thoughtful about being good stewards of our taxpayers dollars. And that's all I wanted to just highlight. Um, thank you. >> Thank you, Council Member Asher, and thank you for your work on this. I know you did a lot of work on it last year to kind of get us to this point, and you're much more u in depth in the work that I am. So, I I I wanted to give you the first opportunity to kind of lay it out. But, I do have a a question and and and you may have already answered it. Um, but just in thinking about the work that we're currently doing now, for an example, what we're doing on Katherine Simmons and Betty's for road with the crime initiative, some of that same work probably will be done in Dante's district on on Reagan Drive and I 85 where we have nonprofit organizations that are have been coming in every year for grants, but they're more like strategic partners, right? uh in the longterm work for an example block Charlotte or hearts for the invisible or just do it movement they're actually on the ground doing the work for us um in uptown uh on Badro roads um more than likely for sure on Reagan Drive and I 85. How do we get them to a point where they're strategic partners where they they're they're aligned with what we're trying to do so they're not coming back year after year after year that there's a two-year hypothetically right two-year contract, three-year contract. So they're embedded in the work. Um so where does that fit? Again, I'm just I've just not done this part of the work. I voted on it, but I'm not in depth in terms of what DEP and the committee has done in the past in terms of identifying that and that's just something just off the top of my head. So, >> yes, thank you for that. And what one of the aspects in the new policy that council adopted is it's a maximum of five years. So like you mentioned a partner if they keep getting funded and and financial partners are a year at a time but there's no nothing that says they have to get funded like that there's nothing that says that a department can't contract for them like so you said if we have funding which is a big thing if we actually have funding in a department to partner with them separately they could do a RFP and be responsive to that tree Charlotte's a good example you know Tree Charlotte kept being for I don't know for years and years and years and but that they're like you said extension of core city services and that's a key thing to think about too what core city versus core county you know but it's a core city to maintain the tree canopy and work with that. So now they're like you said a partner through contract. So it's it's just a case by case, but there's no like and there's no guarantee. You might have five years and then fall off too. So >> yeah, again I maybe I'm not an accident, right? But you know, we're going we're doing this crime initiative, right, Dante? And part of it is really on the ground grassroots support um building a foundation for all the other stuff to build on it. And those organizations are like our eyes and ears on the street. I mean, they're out on the street at 12:30 and 1:00 in the morning when we're all asleep. And so how do we engage them in a different way knowing that Reagan driving I85 is going to be more than a one or two or three year thing, right? It's going to take consistent type of of of penetration doing the work. Uh and how do we engage? I think the county did something similar where they engage hard for the invisible to kind of help do some of that work. So does this put us in a position where we can continue to have another category I don't know how strategic partnerships on this initiatives and >> so I I think to me and I'm just speaking from the budget house it that would be more some feedback that you give us and the city manager saying we'd really like to expand the city services to more include this well then we have to have a funding for that or cut back something else. So, it's more all about funding and and what you know it there's a lot of things we could use funding for, but we also have to make sure our core >> Yeah. >> you know, services are funded too. But, um, but if that's a expansion that council puts direction to that we want to invest more in, then that would be considered during the budget development process. >> Well, certainly I want to advance that theory. Yeah. >> Through the budget process for sure because I know you're up next I 85, right? That's we we're going to do that, right? and and and um and we need those organizations to be a part of the greater team. Um for sure. Um so just threw that out there. But but the other question pivoting is making sure everyone do eyes and cross tees that are accountable. Right? We had some articles in the paper where it it just made me u not sleep well at night. Right? So, we need to make sure that everybody's butt there's a public accountability for how those dollars are being used and they're doing used the right way and and that we're doing our internal auditing of those dollars to make sure that we all sleep well at night, right? Um because we're trying to do the right thing. Council member Anderson. >> Thank you, Mr. Chair. I think you bring up a great point in that um just for an example uh for a public public safety, you know, strategic programs that Mr. Graham is um alluding to that that it's occurring on Katherine Simmons. Yes, it's going to go to Sugar Creek, but then it will go to other pockets of the city that have the same um areas of opportunity. And uh given that public safety is a core tenant of the city and the city's charge, it would be it will be interesting to have this discussion as we move forward in the budget discussion in weeks to come around how can we ensure that our partners in on these efforts and this is a horizontal program right so it's multidisciplinary partners who are assisting in this um but they're helping in every area right and so we need to make sure that we aren't creating additional churn for those partners at every year or every event, every opportunity. So I think this is a program uh this is a topic we can discuss in the budget with the manager to think about how we can be proactive and try to reduce churn and be efficient with these strategic partners >> and that we're funding them at the appropriate level so they can do the work. >> Yes. citywide, right? And which is a different conversation and a different funding structure, right? That that that we that we probably need to have some conversations around. >> Absolutely. Um my second question is um when we went through the financial partners process this year, you all did f phenomenal work last year. She you you did phenomenal work last year. I sat through most of those meetings although I'm not a member of the um the uh committee but then when we when we got to a decision point you know we we had a lot of deliberation uh around whether or not the the framework was the proper was being applied properly. Do we foresee that occurring again this year? Are there any things that we could get out in front of uh prior to that process um beginning? I would think well you talk but I would say that's there is a process and it's more about collaboration across council and commitment to the process or adjusting it how everyone has comfort level with but I see can I just add one thing um so we we did run a formal process uh we advertised that process uh it was encouraged um and asked of last year's uh committee that we host a mandatory meeting uh for all partners to come to the table and understand how our program works and that to be a prerequisite for being eligible for funding. Um so we've we've implemented that as a part of our process for this year. Uh council will again uh receive a full application packet to review uh in advance of uh coming before a budget workshop for you guys to to take a look at all of our applicants. uh and we did also again this year we will segment out applications according to strategic priority areas. So we are trying to uh give as much information to council just as we have in prior years on what organizations anticipate to accomplish what their operating budgets are, what their budget requests are related in relation to their operating budgets. Uh so that you guys can make um an informed decision because it is ultimately council's budget. I I would just in closing just encourage that communication occur early and often on this process because we have impassioned uh discussions and discourse around this when it when it comes time to making these decisions. So as as early as we can get in front uh the information in front of council members I think the better informed the the deliberation and discussion will be. Thank you Mr. Chair. >> Mr. Graham. Uh, may I chime in? >> Sure. >> U, so I wanted to respond to your inquiry about having proper funding for organizations that are doing the work that are sort of like a core extension of city services, whether that's block love or other organizations. Uh, I know we've been using Tree Charlotte as an example. Um and I've advocated for many years to have them as not financial partner but as an extension of our city services. A list is another example where that's something the city manager had recommended in the budget. So certainly that is a request we can make during uh as the budget deliberations as budget discussions continue that some of these organizations need to be part of our core services. similar to Tree Charlotte and Lisk. Uh, and I certainly support having Block Love because I have seen Block Love being out there on weekends at late at nights and really uh being there as a uh to provide in resources to to to the community. Um but at the same time we I also want to us to be thoughtful that we can have this organization as um part of our core services model but they'll still be uh submitting their annual financial statements from accountability perspective to make sure that they are meeting our financial statement requirements as well as audit requirements if they meet certain criteria so that we can be good stewards of taxpayer dollars and avoid some of the situations we ended up in last year or the year before that was in the news and we want to avoid that by making sure that we continue to have financial partner policy um for all of those organizations whether they're applying every year or not. Uh lastly I uh as we are talking about financial partner policy this conversation has been going on for at least eight years and uh every time we have the budget adjustment meeting come up um everybody's passionate about an organization or two or three and what happens is that there are organizations that would not apply for uh would not apply to be a financial partner but then the council adds them that really puts other organization at a disadvantage because it's not fair to organizations who have applied who have gone through the process who have gone through orientation. So I think it's ultimately up to the council whether we stick to the process and whether um and if you're going to make an exception uh how does that work with other organization I know in the past um we have um we haven't always followed the process uh but I really hope moving forward with this new policy that we can stick to the process and some of the partners that you are uh that you mentioned could go through the core model similar to Lisk and Tree Charlotte so that we are being consistent and fair to organization all the organizations that have applied. Last year we had a record number of organizations that had applied thanks to Shi and her entire team. Uh they have done multiple orientations, walked organizations through all the requirements. Uh so I just want us to make sure that we don't let we don't let any organization bypass through that process to be fair. Thank you. >> Well, you have been duly deputized to lead that effort for me. Okay. Um because again you're you're you're so um entrenched in the work um over the last several years, right? Um and I I acknowledge that um for sure. And so when we do have our budget conversations, deliberations, I hope that you would really take the lead on on really articulating those those points and help me frame uh what I think and I agree exactly what you said, right? I think we're on the same in the same zip code. U maybe you can better frame it for me. Um to ensure that um uh those organizations um that I believe um provided public safety benefit for us um are are are coming the door differently if that makes sense, right? Um and and and in a way that it's complimementaryary of what we're trying to do with other things, right? So, okay. Wait, y'all want to talk about something else while we're here? We we we've kind of gone through the agenda, Mr. Manager. >> Yeah. >> So, more to come on the timing of the March committee meeting. That's something that we'll have to sort through for all the committees over the next week or so. >> Well, I guess March is DC and then I know there's a inner city trip to to Raleigh that at the end of the month. Uh I think Ed and I will be going with the mayor and others on on Monday uh for moral support. Um and um so um there's a lot swirling around. So um our goal is to be focused and to keep our head down and do the work and let the work speak for us. >> Okay. >> And if I may, I'll put a plug in. February 23rd, we're still having the budget workshop and a lot of the materials that we were going to cover at the retreat will roll into that. >> Okay. And that'll be our first one. >> Yes, sir. >> And so what we're doing Monday or I was looking at the the agenda Monday meeting. >> It's a business meeting. So it just be a introduction to the budget or >> No, that's just a regular business meeting. There's no budget. >> No budget talk. So the 23rd will actually be our first budget. >> Yes, sir. >> Okay. Okay. >> Yes, sir. So I did I read this a public hearing on the budget or what did I read that at? >> It may it might have been something with another with the county or somewhere. We don't do the public hearing maybe cherry cherry does a lot of public engagement pieces but the formal public hearing doesn't happen until after the manager presents his to you in May. >> Okay, cool. All right, so I think we're all set. Um >> yeah, Malcolm, before we leave, >> um that is Yes. >> Yes. Yeah. I actually just was hoping you would put a plug for your town hall uh later today and remind people the importance of going. >> It's going to be interesting. Um >> yeah, I know you and I have the most affected regions with district 2 and district 3, but I would uh recommend that any other members of council andor the general public um also attend as this, you know, what affects our districts, you know, also will impact theirs as people are going to be driving down 77. >> Yeah. uh District 2 town hall meeting tonight 6 pm Friendship Missionary Baptist Church uh wide variety of topics one in particular is the expansion of I77 South uh which is our relationship again with the state and how we uh try to figure out um a path that makes sense for everybody. Well, okay. >> Uh meeting a