Jun 15, 2021 Budget Meetings

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>>> THE JUNE 15G9 2021 SPECIAL SESSION OF THE CITY COUNCIL IS NOW CALLED TO ORDER. COUNCIL PERSON RICHMOND WILL LEAD US IN OUR PLEDGE OF ALLEGIANCE.

PLEASE STAND IF YOU WISH AND COUNCIL PERSON BUTLER.

FATHER GOD, YOU ARE GOOD. WE PRAY THAT YOU GIVE US YOUR WISDOM, LORD, TO DO WHAT IS RIGHT FOR THE PEOPLE THAT WE REPRESENT AND JUST HELP US IN GENERAL, LORD, TO BE MORE LIKE YOU EVERY DAY IN THIS COMMUNITY AND ON THIS BOARD.

IN JESUS NAME WE PRAY, AMEN.

>>

>>> ALL MEMBERS REGISTER YOUR ATTENDANCE, PLEASE.

[4) Attendance]

>> AN EMAIL WAS SENT OUT EARLIER THIS WEEK THAT A GUEST WOULD BE SITTING BESIDE MADAME CLERK. LISA CANFIELD IS TRAINING TO BE THE BACK UP FOR THE CLERK IN CASE SHE'S AWAY AT A PREDATORS GAME OR SOMETHING OF THAT RELATIVE IMPORTANCE.

SO LISA WE THANK YOU AND WE WELCOME YOU TO THE CITY COUNCIL MEETING. OKAY. THIS AFTERNOON, OUR SESSION IS TO DISCUSS THE BUDGET PROPOSALS BEFORE YOU AS WELL AS THE TRANSPORTATION 2020 PLUS STRATEGY.

WE'VE GOT SEVERAL PRESENTATIONS WE'RE GOING TO MAKE IN RELATION TO -- LET ME PUT MY TEETH IN SO I CAN TALK, IN RELATION TO THE BUDGET ORDINANCES BEFORE YOU. OUR CHIEF FINANCIAL OFFICER WILL DO A PRESENTATION THAT WILL COVER MOST EVERY BUDGET ORDINANCE. WE'VE ALSO GOT WILL WHY YACHT, OUR HUMAN RESOURCES DIRECTOR WHO WILL TALK ABOUT THE RETIREE BENEFIT PLAN WE HOPE TO INCLUDE IN THIS BUDGET AND THEN LAUREN WINTERS OF OUR FINANCE DEPARTMENT WILL TALK ABOUT THE NEW DEPARTMENT AND THE ORDINANCE TO CREATE OR RECREATE THIS DEPARTMENT FOR THE CITY. THE FIRST ITEM ON OUR AGENDA IS

[5.1. RESOLUTION 83-2020-21 Accepting and endorsing the Transportation 2020+ Strategy, a public improvement program for construction of roads, sidewalks, transit facilities, and other transportation system infrastructure during Fiscal Year 2021-2022 through Fiscal Year 2025-26]

NOT A TOPIC THAT IS UNFAMILIAR TO ANY OF US AND IT'S BEEN WELL RESEARCHED. THIS PLAN REQUIRE S -- LEVERAGE ABOUT $167 MILLION IN BORROWING POWER TO FUND THESE TRANSPORTATION PROJECTS. ONE OF THE THINGS I WOULD LIKE TO MENTION TO YOU IS THAT IT IS IMPORTANT TO NOTE THAT THE PROCESS OF MONITORING THIS PLAN WILL INCLUDE A MONTHLY REPORT TO THE STREETS GARAGE AND TRANSPORTATION COMMITTEE WHERE THEY WILL GET REGULAR UPDATES AND THAT WILL BE REPORTED THROUGH THAT COMMITTEE TO THE COUNCIL EACH MONTH.

WE'LL ALSO REVIEW THE PLAN AT LEAST ANNUALLY THROUGH THE BUDGET PROCESS OF THE CITY TO DETERMINE WHAT PROJECTS MAY BE NEEDED CHANGED OR OMITTED BASED ON THE LATEST INFORMATION BEFORE US. SO THIS IS A HISTORIC OPPORTUNITY TO INVEST IN CLARKSVILLE'S FUTURE.

WITH THAT, ARE THERE ANY QUESTIONS REGARDING ITEM NUMBER ONE OR FIVE RESOLUTION 832020201 COUNCIL PERSON BUTLER, YOU ARE

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YOUR MIC TO WORK. >> THANK YOU, MAYOR.

YOU MENTIONED WHEN YOU FIRST PRESENTED THIS TO US THAT THIS TAX RAISE COULD BE PUT ON REFERENDUM AND I WAS JUST WONDERING HOW WE GO ABOUT DOING THAT.

>> WELL, WE WOULD NEED TO PASS SOMETHING BY THIS COUNCIL OR THE PUBLIC COULD PUT THAT BEFORE US THAT WOULD BE REQUIRE A CERTAIN NUMBER OF SIGNATURES. IF THE PUBLIC DID IT, IT WOULD BE SET FOR A SPECIAL ELECTION OR SET AT A TIME WHEN THERE IS ALREADY AN ELECTION. THE PUBLIC WOULD THEN VOTE ON IT. IT WOULD BE AN EXPENSE TO THE CITY WAS WE WOULD HAVE -- BECAUSE WE WOULD HAVE TO PAY FOR THAT BUT THAT'S THE PROCESS IN A NUTSHELL.

>> SO WE AS A BODY COULD MOTION FOR THAT NOW AND VOTE ON IT OR DOES IT HAVE TO GO THROUGH THE PUBLIC TO GET THE SIGNATURE?

>> IT DOES NOT HAVE TO GET THROUGH THE PUBLIC.

I WILL GET THE COUNCIL THE DETAILS IF YOU WISH TO DO THAT.

>> THANK YOU, SIR. >> THANK YOU.

ANY OTHER QUESTIONS REGARDING THE RESOLUTION? COUNSILPERSON REKNELLEDS, YOU ARE -- COUNCILPERSON REYNOLDS.

>> AS I WAS GOING THROUGH THE BUDGET, IT DOES NOT APPEAR THAT FY 21 THAT WE HAVE FULLY AL LO KATED THE 7 MILLION -- ALLOCATED THE 7 MILLION UP FRONT FOR 21. WE DON'T NEED IT ALL -- WE DON'T NEED A FULL AMOUNT UNTIL 22. I WANTED TO ADDRESS WHAT WOULD

HAPPEN WITH THE EXTRA FUNDS. >> THE MONEY WOULD COME IN AS AS THE PROPERTY TAX COLLECTION BILLS GO OUT WHICH GO OUT IN OCTOBER OF EACH YEAR. THEN THOSE FUNDS WOULD COME IN THROUGHOUT THE FISCAL YEAR SO IT WOULD TAKE US AN ENTIRE FISCAL YEAR TO COLLECT THE ADDITIONAL REVENUE.

IN THE MEANTIME, WE COULD THEN COMMIT AS THE MONEY COMES IN WE KNOW WHAT THAT REVENUE IS AND WE'RE PRETTY GOOD ABOUT PROJECTING TRENDS AND FORECASTING WHAT WOULD BE AVAILABLE. WE COULD COMMIT TO ENGINEERING AND PRELIMINARY DESIGN TO THOSE 13 PROJECTS AND KEEP THEM MOVING

FORWARD. >> ALL RIGHT.

THANK YOU. >> THANK YOU.

ANY OTHER QUESTIONS REGARDING THIS RESOLUTION ON THE TRANSPORTATION PLAN? COUNCILPERSON SMITH, YOU'RE

RECOGNIZED. >> THANK YOU.

I WANT TO KNOW THAT 20% RAISE THAT WE'RE INQUIRY INQUIRING TO -- INQUIRING TO DO, WOULD WE NEED THAT WHOLE AMOUNT TO SUPPORT THIS TRANSPORTATION PLAN?

>> THE $0.20 INCREASE IS I'M NOT GOING TO USE THE WORD EARMARKED BUT DEDICATED TO FUNDING THE TRANSPORTATION PLAN.

IT IS NOT SPRINKLED THROUGHOUT THE BUDGET WHERE WE WOULD HAVE TO MOVE THINGS AROUND. IT IS SOLELY DEDICATED TO

FUNDING THE TRANSPORTATION PLAN. >> THANK YOU.

>> THANK YOU. >> COUNCILPERSON RE -- REYNOLDS.

>> I KNOW YOU SAID WE WERE GOING TO REPORT THE AMOUNT THROUGH THE STREET DEPARTMENT. DID I MISS THAT? WHO IS GOING TO TRACK THE ALMOST $7 MILLION?

>> WELL, THE FINANCE DEPARTMENT WILL TRACK THE REVENUE.

THE PROJECTS WILL BE TRACKED THROUGH THE STREET DEPARTMENT.

THEY'LL REPORT THOSE TO THAT COMMITTEE AND THEN THAT WILL BE MADE AS PART OF A MONTHLY REPORT TO THE COUNCIL SO YOU'LL BE ABLE TO SEE WHAT'S -- WHAT PROGRESS IS BEING MADE ON EACH OF THE PROJECTS. THE PLAN CAN BE AMENDED VIA AN AMENDMENT THROUGH OUR NORMAL PROCESS AND PROBABLY WILL BE AMENDED BECAUSE OUR GROWTH IS DICTATING INFRASTRUCTURE AND

TRANSPORTATION NEEDS. >> OKAY.

>> THANK YOU. THE COUNCILPERSON KNIGHT.

>> THANK YOU. SO THERE IS A COST TO THE TAXPAYER TO PLACE THIS ON REFERENDUM?

>> YES, THERE WOULD BE. >> THANK YOU.

>> THANK YOU.

ANYONE ELSE?

>> OKAY. LET'S GET INTO THE BUDGET ORDINANCES WITHOUT

[6.2. ORDINANCE 121-2020-21 Amending the FY21 Operating and Capital Budgets and adopting the FY22 Operating and Capital Budgets for CDE Lightband]

I'VE ASKED BRIAN TAYLOR WHO IS IN THE AUDIENCE TO COME UP AND GIVE YOU AN INTERVIEW AND I'M SURE HE'D BE GLAD TO ANSWER ANY QUESTIONS FROM YOU REGARDING THIS BUDGET PROPOSAL.

I'M ALWAYS EXCITED TO HAVE AN OPPORTUNITY TO TALK ABOUT CDE AND TALK ABOUT THINGS THAT WE ARE DOING AND ACCOMPLISHING.

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WE GREW AT ALMOST -- ALMOST 4% IN ELECTRIC CUSTOMERS AND WHILE WE WERE -- PEOPLE WERE SHUT DOWN WITH COVID AND A LOT OF PEOPLE WERE GOING HOME, WE CONTINUED TO HAVE TO WORK.

OUR BROAD BAND SIDE OF THE -- BAND SIDE OF THE BUSINESS IS WORKING FROM HOME NEEDED ADDITIONAL BAND WIDTH AND SO WE WERE UPGRADING COMMERCIAL ACCOUNTS RESIDENTIAL CUSTOMERS YOU'RE ADDING TO OUR SERVICE OR INCREASING THEIR BANDS AS WELL SO IT WAS A TOUGH YEAR TO CONTINUE TO TRY TO WORK AND AT THE SAME TIME KEEP OUR EMPLOYEES SAFE.

I'M REALLY PROUD OF OUR EMPLOYEES AND WHAT THEY HAVE DONE THIS PAST YEAR. I'M LOOKING FORWARD TO THIS YEAR'S BUDGET, OF COURSE WE HAVE TWO BUDGETS.

OUR ELECTRIC DIVISION BUDGET AND OUR BROAD BAND DIVISION BUDGET AND THE FUNDS STAY SEPARATE. AS WE WORK ON OUR BUDGET, OUR PRIORITIES AND WHAT WE WORK FOR SUSTAINING AND IMPROVING INFRASTRUCTURE, IMPROVING OPERATIONAL EFFICIENCY AND EFFECTIVENESS AND BOLSTERING OUR STAKEHOLDER AND CUSTOMER SATISFACTION. WHILE CUSTOMERS HAVE TO COME TO US FOR ELECTRIC, THEY DO NOT HAVE TO BUY BROAD BAND SERVICES FROM US SO WHILE WE WANT TO THINK WE'VE ALWAYS BEEN GOOD AT CUSTOMER SERVICE AND HAVE ALWAYS WORKED TO TAKE CARE OF OUR CUSTOMERS, NOW THAT WE'RE IN THE BROAD BAND BUSINESS, IT IS EVEN MORE BAND BUSINESS, IT IS EVEN MORE IMPORTANT.

IF WE LOOK AT OUR ELECTRICIAN DIVISION BUDGETED, WE ARE -- BUDGET, WE ARE REQUESTING --

>> WE -- AS OF THIS YEAR AT THE END OF THIS YEAR, THE BROADBAND DIVISION WILL HAVE PAID OFF THAT LOAN AND WE'LL ACTUALLY PAY THAT LOAN OFF 17 YEARS EARLY. SO THAT'S A TREMENDOUS FEAT I THINK FOR OUR BROADBAND DIVISION.

WHAT THAT MEANS IS THAT'S ABOUT SIX TO SEVEN MILLION DOLLARS THAT'S NOT COMING OVER TO ELECTRIC FROM BROADBAND THIS YEAR. SO WE ARE EXCITED ABOUT THAT.

I WILL SAY CDE RECENTLY WAS NAMED APPA, AMERICAN PUBLIC POWER ASSOCIATION AS NOW THE 42ND LARGEST POWER PROVIDER IN THE UNITED STATES. WE'RE ACTUALLY THE SECOND FASTEST GROWING UTILITY IN TENNESSEE SO WE'RE SEEING A TREMENDOUS AMOUNT OF GROWTH. OUR MAJOR CAPITAL PROJECTS ON ELECTRIC. RIGHT AWAY WE SPENT ABOUT $3 MILLION AND THAT'S CUTTING TREES, TRIMMING TREES, AND I WILL SAY THAT I AM PROUD OF OUR TEAM THAT WORKS ON THAT.

WE HAVE ACTUALLY BEEN RECOGNIZED BY THE ARBOR FOUNDATION FOR THE LAST SEVEN YEARS AS TREE LINED U.S.A. MEANING WE ARE TRIMMING

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THEY WILL NOT ALL BE BUILT THIS NEXT YEAR BUT WE HAVE ACTUALLY SECURED LAND FOR THOSE SUBSTATIONS AND WILL BE DOING ENGINEERING WORK AND STUDIES FOR THAT.

THE OTHER BIG CAPITAL EXPENSE IS LINE RECONDUCT.

THAT'S INCREASING THE WIRE SIZE ON THE LINES THAT WE HAVE SO AS SUBDIVISIONS ARE BUILT, NEW HOUSES, NEW GROWTH IS PUT ON IT, WE HAVE TO UPGRADE THOSE POWER LINES THAT SERVE THOSE CUSTOMERS. SINCE 2010 WE HAVE ACTUALLY BUILT THREE SUBSTATIONS AND WE GOT THREE MORE IN THE WORKS TO SHOW YOU THE KIND OF GROWTH THAT WE'RE SEEING.

ANOTHER BIG PROJECT I'M PROUD OF AND Y'ALL HAVE BEEN TALKING ABOUT IT QUITE A BIT IS OUR SOLAR ARRAY.

THIS IS A GREAT WAY FOR US TO BE IN THE SOLAR BUSINESS WITHOUT ANY CAPITAL INVESTMENT OR VERY LITTLE CAPITAL INVESTMENT.

WE'RE WORKING OF COURSE WITH SILICONE RANCH ON THAT FIRST TIME IN OUR HISTORY THAT WE'RE BEEN ABLE TO PURCHASE POWER FROM SOMEBODY OTHER THAN TVA AND WE WILL BE PURCHASING UP TO 15 MEGAWATTS FROM THEM. WE DO HAVE SOME INFRASTRUCTURE WORK TO DO ON OUR SIDE AS WE PREPARE FOR THAT.

AND THAT'S IN THE BUDGET. AS WELL.

BUT I THINK LIKE I SAID IT'S A VERY SAFE WAY FOR US TO GET IN THE SOLAR BUSINESS AND IT WILL BE A LEARNING EXPERIENCE.

WE HAVE ABOUT FIVE MEGAWATTS THAT WE CAN ADDITIONAL MEGAWATTS THAT WE CAN PURCHASE OR SELF-GENERATE AND WILL BE WORKING ON THAT BUT THIS 15 WILL BE OUR INITIAL LEARNING EXPERIENCE ON THAT.

IT SEEMS LIKE ANYMORE ELECTRIC IS KIND OF BORING.

YOUR LIGHTS ARE ON OR OFF BUT BROADBAND IS WHAT IS SO EXCITING ABOUT US AND IT'S SO COMPETITIVE.

IT'S INTERESTING FOR US TO BE A GOVERNMENT AGENCY BUT YET WE'RE OPERATING IN A COMPETITIVE ENVIRONMENT AND I THINK WE'RE HOLDING OUR OWN. AND I THINK WE HAVE SET A STANDARD IN CLARKSVILLE FOR OUR COMPETITORS.

THERE IS AN INCREASE IN EXPENDITURES ON THE BROADBAND DIVISION OF $2.2 MILLION. TOTAL OF $25.7 MILLION FOR THE BUDGET. MOST OF THAT IS DEALING WITH PROGRAMMING COSTS. WHERE WE ARE STILL IN THE VIDEO BUSINESS AND WILL CONTINUE TO STAY IN THE VIDEO BUSINESS AS LONG AS OUR CUSTOMERS WANT US TO BE.

THE PROGRAMMING COSTS CONTINUE TO RISE EVERY YEAR.

AND WE TYPICALLY WILL HAVE SOME INCREASES BUT PASSING THAT I KNOW CREASE ALONG -- WE'RE NOT GOING TO ABSORB THOSE RATE INCREASES. WE ARE LOOKING AT STREAMING PACKAGES. VIDEO IS CHANGING AND WE'RE TRYING TO ADOPT AND ADAPT TO NEW TECHNOLOGIES ON THE STREAMING VIDEO. SO THERE'S AN INVESTMENT THAT WE'RE MAKING IN THAT. WE HAVE MADE GREAT STRIDES ON THE COMMERCIAL SIDE OF THE BUSINESS DOING VIRTUAL PVXS WHICH IS SMALL COMMERCIAL ACCOUNTS AND THEN INTERNET.

INTERNET AND BAND WIDTH IS REALLY GOING WIDTH IS REALLY GOING STRONG. WE HAVE PARTNERSHIPS WITH OTHER LOCAL POWER COMPANIES BUYING BANDWIDTH FROM US.

WE'RE A TIGHT KNIT GROUP. I THINK BY FAR THE THING THAT WE'RE DOING ON THE BROADBAND DIVISION IS REALLY TRYING TO STAY AHEAD OF MARKET TRENDS. AND THAT'S ON THE VIDEO SIDE WITH THE STREAMING VIDEO. A LOT OF FOLKS ARE NOT READY TO STWOICH NETFLIX OR HULU QUITE YET.

IF THEY DO AND BUY BANDWIDTH FROM US THAT'S FINE BUT IF NOT WE HAVE A STREAMING PRODUCT THAT WILL MEET THEIR NEEDS UNTIL THEY CAN MAKE THAT PLUNGE ONE WAY OR THE OTHER.

I THINK THAT'S OUR BUDGET IN A NUTSHELL.

BE GLAD TO ANSWER ANY QUESTIONS YOU MIGHT HAVE.

>> THANK YOU, MR. TAYLOR. WE DO HAVE SOME QUESTIONS.

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>> SO MY FIRST QUESTION IS YOU HAVE SOLAR PANELS ON YOUR ROOF

CORRECT? >> NO.

>> NO? CDE DOES NOT HAVE ANY? NO CITY BUILDING HAS ANY -- THEY DON'T DOWNED TOWARD AS OUR 20% AS LONG AS WE USE IT INTERNALLY IS THAT CORRECT?

>> THAT IS CORRECT. NOW, WE DO SUPPORT RESIDENTIAL AND COMMERCIAL CUSTOMERS THAT WISH TO PUT SOLAR PANELS ON THE ROOF. WE HAVE TO -- THEY HAVE TO ENTER INTO AN INTERCONNECTION AGREEMENT WITH US AND WE DO THE INSPECTION TO MAKE SURE THEY'RE INSTALLED PROPERLY OR CONNECTED TO OUR SYSTEM PROPERLY. THE INSTALL, THE HOMEOWNER IS RESPONSIBLE FOR THAT BUT CONNECTING TO THE GRID WE

INSPECT THAT. >> WE HAVE A COUPLE CAPITAL PROJECTS, GAS AND WATER AND SOME OTHER BUILDINGS AND NEW BUILDINGS WHERE IT'S AN OPPORTUNITY TO PLACE SOLAR PANELS AS WE REPLACE THESE ROOFS AND SELF-GENERATE SOME OF OUR POWER. ARE YOU WILLING TO TAKE THE LEAD AND HELP WITH THAT WITH THE OTHER DEPARTMENTS AND DO YOU THINK THERE WOULD BE AN INCREASED COST THAT WE WOULD HAVE TO RECOGNIZE AS WE'RE APPROVING THE BUDGET IF WE WERE

GOING TO DO THAT? >> CURRENTLY SOLAR PANELS ARE ABOUT A 20 TO 25-YEAR PAY BACK. AND THAT'S ONE REASON HISTORICALLY OUR COMMUNITY HAS NOT INVESTED A LOT IN SOLAR ROOF TOP SOLAR, BECAUSE OF THE LONG PAY BACK.

A LOT OF FOLKS AREN'T HERE THAT LONG.

WE HAVE A LOT OF TRON IS HE YOUNT POP -- TRANSIENT POPULATIONS. IT IS A BIG INVESTMENT.

IT'S A LONG TERM PAYOFF. FOR CDE LARGE SCALE SOLAR LIKE WE'RE DOING HELPS OUR RATE PAYERS.

DOESN'T INTERFERE WITH SYSTEM RELIABILITY.

ROOF TOP SOLAR WE WILL HELP SUPPORT IT, EASTBOUND COURAGE PEOPLE TO DO THAT. IT DOES NOT HAVE A POSITIVE IMPACT ON CDE. IN OUR FINANCES.

>> SO YOU ARE REQUESTING EIGHT TRUCKS OR CARS IN YOUR BUDGET

THIS YEAR? >> YES.

>> IS THAT AGING -- IS THAT ON A ROTATION OR --

>> WHAT WE LOOK AT IS THE AGE OF THE VEHICLE AND THE MILEAGE OF THE VEHICLE. AND THEN OUR MECHANICS EVALUATION HOW OFTEN IS IT IN THE GARAGE OFF THE ROAD.

AND THE VEHICLES THAT WE HAVE IN THERE ARE REPLACEMENT VEHICLES EXCEPT ON THE ELECTRIC SIDE THEY'RE ALL REPLACEMENT VEHICLES IS WHAT WE HAVE AND WE ARE FINDING HERE AND NOW THAT MAYBE SOME OF THE BUCKET TRUCKS THAT WE HAVE MAY BE TWO YEARS IF YOU ORDER IT TODAY IT'S TWO YEARS BEFORE WE GET ONE AND MAINLY BECAUSE OF THE CHIP THAT EVERYBODY IS TALKING ABOUT.

A BUCKET TRUCK IS A LITTLE DIFFERENT.

THERE'S HYDRAULICS ON THAT. THEY HAVE TO HAVE A GROUNDING SYSTEM AS WELL BECAUSE WE GET INTO POWER LINES SO IF THE HYDRAULICS ARE BAD THE HOSES WE HAVE THOSE INSPECTED, WE MAY CHANGE THOSE OUT EARLIER OR LATER DEPENDS ON -- THAT'S REALLY THE SAFETY OF OUR GUYS AT STAKE ON THOSE BUCKET TRUCKS.

>> SO IF YOU'RE REORDERING EIGHT, ABOUT HOW MANY VEHICLES DO YOU HAVE IN YOUR FLEET? ESTIMATE?

>> THERE'S OVER A HUNDRED. >> OVER A HUNDRED.

OKAY.

ARE YOU GOING TO LOOK FOR 234I OF THOSE TO BE IF POSSIBLE HYBRIDS OR ELECTRIC VEHICLES AT ALL?

>> WE WOULD NOT -- I'M NOT PROBABLY NOT LOOKING AT HYBRID BUT WE ARE LOOKING AT ELECTRIC AS THEY COME AROUND.

WE DO HAVE A HYBRID BUCKET TRUCK NOW.

IT WAS A PROGRAM THROUGH TVA THAT WE PURCHASED ONE AND THE GUYS LOVE IT BECAUSE WHEN YOU'RE STATIONARY AND RUNNING THE BUCKET UP AND DOWN THERE'S NOT THAT LOUD DIESEL SOUND.

TECHNOLOGY IS NOT QUITE THERE ON THE BUCKET TRUCKS.

WE'VE HAD QUITE A BIT OF NINETIES ISSUES WITH IT.

BUT MY GOAL WOULD BE TO HAVE DOWN THE ROAD AN ALL ELECTRIC FLEET. AND WE REALLY DO WANT TO PROMOTE

AND PUSH ELECTRIC VEHICLES. >> OKAY. THANK YOU.

>> THANK YOU.

>> THANK YOU. COUNCILPERSONS SMITH.

>> THANK YOU FOR SHARING YOUR BUDGET.

>> YES, MA'AM. >> I HEARD YOU SAY IT'S A LEARNING EXPERIENCE FOR YOU WITH THE SOLAR PANELS.

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>> VERY GOOD QUESTION. SO WHAT I MEAN ABOUT GAINING EXPERIENCE WE'VE NEVER PURCHASED POWER FROM ANYBODY BUT TVA.

SO WE ARE LOOKING NOW AT BRINGING IN SOLAR AND RATHER THAN US PURCHASE THE PANELS AND LEARN TO MAINTAIN THE PANELS AND HAVE THAT CAPITAL INVESTMENT, THE MODEL THAT WE'RE LOOKING AT IS SILICONE RANCH WILL PURCHASE THE LAND, BUILD THE SOLAR FARM AND JUST BE UNDER CONTRACT TO PURCHASE WHAT THEY GENERATE.

IF THEY DON'T GENERATE ANY KILOWATT HOURS WE'LL JUST BUY IT FROM TVA SO WE'RE NOT AT A LOSS. THE GOOD THING FOR OUR RATE POWERS IS EVERY KILOWATT WE BUY FROM SOLAR RANCH IS HALF THE PRICE OF THE COST FROM TVA BECAUSE THERE'S NO TRANSMISSION COST INVOLVED IN THERE. THIS IS A REALLY SMALL PERCENTAGE. OUR TYPICAL PEAK DEMAND IS 310 MEGAWATTS TO 341. 341 MEGAWATTS DURING THE POLAR ERROR TEX. AND THIS IS JUST 15 MEGAWATTS SO IT'S ONLY 5% OF OUR LOAD. IT'S NOT HAVING A BIG EFFECT FINANCIALLY ON OUR CUSTOMERS ONE WAY OR US ONE WAY OR THE OTHER ALTHOUGH EVERY -- PENNIES MAKE DOLLARS SO EVERYTHING WE BUY FROM THEM WILL BE A SAVINGS TO US AND OUR RATE PAYER.

I DON'T SEE ENOUGH ON THAT REALLY TO AFFECT RATES ONE WAY OR THE OTHER BUT IT'S GETTING US INTO HOW DOES SOLAR WORK ON OUR SYSTEM. HOW RELIABLE IS IT? AT WHAT TIME OF DAY DO WE SEE A PEAK AND SO HOW LONG DOES IT REALLY PRODUCE ON THERE AS WELL. THE GREAT THING THAT COMES WITH SOLAR IS RENEWABLE ENERGY CREDITS.

AND THIS IS ACTUALLY A COMMODITY.

YOU'LL SEE THE BIG CORPORATIONS THAT WANT TO BE GREEN.

THEY MAY NOT PUT UP SOLAR THEMSELVES BUT THEY WILL BUY THEIR RENEWABLE ENERGY CREDITS. SO WE ARE STILL RESEARCHING AND LOOKING TO SEE WHAT WE ARE GOING DO WITH THE RECS THAT WE'VE RECEIVED AND PART OF WHAT WE DO IN ECONOMIC DEVELOPMENT.

SO IF WE CAN HELP -- WE WANT TO UTILIZE THOSE RECS TO THE BEST OF THE ABILITY FOR ALL OF US. BUT I CAN'T TELL YOU HOW WE'RE GOING TO USE THEM TODAY BUT I KNOW THAT'S A PLUS FOR US.

AND I THINK THAT COUNCIL CREATED A SUSTAINABILITY COUNCIL AND -- OR BOARD OR COMMITTEE BUT THIS WOULD HELP I THINK -- SUSTAINABILITY GOALS AND WE CAN WORK THROUGH THAT.

IT'S A SMALL PART BUT, AGAIN, IN 85 YEARS IT'S THE FIRST TIME WE'VE BEEN ABLE TO DO SOMETHING LIKE THIS.

SO WE'RE EXCITED. I'M VERY EXCITED ABOUT IT.

AND IF THE COUNCIL APPROVES THE LOCATION I THINK BEING AT THE INTERSTATE, BEING VISIBLE FROM PEOPLE DRIVING BY, WHAT WILL BE GREAT AS WELL.

>> THANK YOU. THANK YOU VERY MUCH.

>> OKAY. THANK YOU.

>> COUNCILPERSON BUTLER, YOU'RE RECOGNIZED.

>> THANK YOU. THIS IS PROBABLY GOING TO BE ELEMENTARY. I'M LOOKING AT YOU TOO.

BUT THIS IS THE SAME AS GAS AND WATER, YES? YOU HAVE YOUR OWN BUDGET. YOU'RE NOT ASKING US FOR MONEY.

IT'S RATE PAYER FUNDED. WE'RE JUST GIVING YOU THE GO AHEAD TO DO YOUR DUE WITH YOUR MONEY?

>> THAT'S CORRECT. >> I WANTED TO JUST CONFIRM THAT. THANK YOU.

>> WE ACTUALLY HAVE THE BOARD THAT -- THE FIVE MEMBER BOARD THAT GOVERNS US AS WELL AS THE MAYOR.

>> AND THEN STATE AND FEDERAL STUFF TOO THE SAME.

NO? >> NO.

NO. WITH PURCHASE OUR -- WE'RE GOVERNED BY TVA. THEY'RE OUR REGULATOR.

THEY'RE FEDERAL. SO THEY'RE WHO WE PURCHASE POWER FROM. THEY'RE OUR WHOLESALE POWER PROVIDER, REGULATOR, AND BUSINESS PARTNER.

THERE'S ONLY FOUR SITUATIONS LIKE THIS IN THE UNITED STATES.

SO VERY RARE. BUT, YES.

WE WILL NOT BE ASKING FOR ANY MONEY.

I'M GOING TO MAKE THIS PLUG, WE ACTUALLY PAY THE CITY ABOUT $7 MILLION IN TAXES. I ALWAYS SAY THAT WHEN I GET A

CHANCE. >> AND WE'RE GRATEFUL.

>> WE APPRECIATE THE -- AND, YOU KNOW, A LITTLE PLUG ABOUT BROADBAND, PRIOR TO GETTING INT $2.4 MILLION TO THE CITY AND WE'RE NOW PAYING $7 MILLION SINCE 2009 IT'S GONE FROM THAT

TO THAT. >> THAT KIND OF COVERS MY QUESTION AS TO WHY THE STUFF IS NOT PRIVATIZE BECAUSE WE'RE

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I APPRECIATE YOU. THANK YOU.

>> YOU'RE WELCOME.

>> COUNCILPERSON ALLEN, YOU'RE RECOGNIZED.

>> I JUST HAVE A QUICK QUESTION. SILICONE RANCH IS CDE GOING TO

BE THEIR SOLE CUSTOMER? >> ON THIS WILL SITE, YES.

>> OKAY. >> THEY HAVE SITES ALL OVER AND IT IS REALLY INTERESTING. SILICONE RANCH IS A NASHVILLE BAILED COMPANY BUT BECAUSE OF TVA'S POWER AGREEMENTS, THEY'VE NEVER BEEN ABLE TO DO BUSINESS REALLY WITH LOCAL POWER

COMPANIES BEFORE. >> DO YOU PLAN ON PUTTING MORE CHARGING STATIONS IN AROUND DOWNTOWN OR CLARKSVILLE?

>> YES. I DON'T KNOW WHEN.

DON'T KNOW HOW. DON'T KNOW HOW WE'RE GOING TO DO IT BUT WE'RE LOOKING AT IT. AND TVA AGAIN, YOU KNOW, AS I SAID, OUR BUSINESS PARTNER, I TOLD YOU THAT AVERAGE CONSUMER CONSUMPTION IS GOING DOWN. SO WE NEED TO SELL MORE ELECTRICITY. SO WE ARE TOTALLY BEHIND ELECTRIC VEHICLES. I THINK THAT'S WHERE WE NEED TO GO. I THINK IT IS GREAT FOR THE ENVIRONMENT BUT THAT'S OUR NEXT BIG PLUNGE SO RIGHT NOW WE'RE LOOKING AT OUR INFRASTRUCTURE AND HOW DO WE BUILD AND WHEN EVERYBODY COMES HOME AT 6:00 O'CLOCK AT NIGHT AND PLUGS IN THEIR VEHICLE AT HOME, THEY START CHARGING AND THAT'S A LOAD ON OUR SYSTEM HOW DO WE HANDLE THAT? WE'RE WORKING WITH TVA TO TRY TO PARTNER WITH THEM IN A WAY THAT WE MIGHT BE ABLE TO PUT SOME OUT.

WE HAD ONE DOWNTOWN FOR A WHILE. WE ACTUALLY DONATED IT TO THE CITY. DOWN AT THE PARKING GARAGE.

BUT IT WAS KIND OF BEFORE ITS TIME I THINK.

BUT, YES, YOU'RE GOING TO SEE SOME MORE COMING.

I CAN'T SAY IT WILL BE THIS BUDGET YEAR BUT WE'RE RESEARCHING IT, I HOPE TO HAVE SOME OUT.

>> OKAY. THANK YOU. >> THE TENNESSEE DEPARTMENT OF ENVIRONMENT AND CONSERVATION IS MAKING A MOVE TO INCREASE STATEWIDE THE NUMBER OF CHARGING STATIONS RECOGNIZING THAT THEIR FLEET IS EVENTUALLY GOING TO TRANSITION TO ELECTRIC VEHICLES BUT ALSO TO MAKE IT AVAILABLE TO THE PUBLIC.

I THINK THE LAST NUMBER I HEARD WAS 500 WAS IN THE FIRST WAVE.

IF I'M NOT MISTAKEN. AND THEN MORE TO BE ADDED.

SO THEY'LL TAKE THE LEAD AND THEN WE'LL FILL IN WHERE WE NEED IT. ANY OTHER QUESTIONS FOR MR. TAYLOR?

THANK YOU VERY MUCH. >> OKAY. THANK YOU THANK YOU THE

. >> OKAY.

[6.1. ORDINANCE 120-2020-21 Amending the FY21 Operating Budget and approving the FY22 Operating Budget for the Central Business Improvement District (CBID)]

>> THE NEXT PRESENTATION BY OUR CHIEF FINANCIAL OFFICER WILL COVER MANY OF THE DIFFERENT BUDGET ORDINANCES EXCEPT FOR ITEM 8. SHE'S GOT A POWERPOINT PRESENTATION. OKAY. I'M JUST LOOKING FOR THE NOD.

THAT'S LAUREN'S DEAL.

AT THE CONCLUSION OF THIS PRESENTATION YOU CAN ASK

QUESTIONS. >> LIKE THE MAYOR SAID I'M GOING TO WALK YOU THROUGH OUR BUDGET ORDINANCES THAT YOU'VE ALL RECEIVED AND YOU HAVE THE PRESENTATION IF YOU WOULD LIKE TO FOLLOW ALONG. SO I'M GOING TO GO OVER ALL OF THE BUDGET ORDINANCES COVER FY 22'S BUDGET AS WELL AS AMENDING FY 21'S BUDGET. SO I'M GOING TO START FIRST WITH A BUDGET PROCESS. LET YOU KNOW IT STARTS IN FEBRUARY WHEN WE START WORKING ON OUR CAPITAL IMPROVEMENT PROGRAMS AND THEN IN APRIL WE REALLY GET INTO HIGH GEAR WITH WITH THE DEPARTMENTS. THEY ALL ENTER OUR BUDGET REQUESTS FOR OUR REVIEW. AND APRIL AND MAY AS YOU KNOW WE MEET THE MAYOR AND I AND MY STAFF WORK TOGETHER TO TRY AND BALANCE THE BUDGET THEN WE MEET WITH THE COUNCIL COMMITTEES AND THE DEPARTMENTS GET THE CHANCE TO PRESENT THEIR BUDGET TO YOU SO THAT YOU HAVE THE CHANCE TO ASK QUESTIONS.

AND THEN WE HOLD PUBLIC HEARING WHICH WILL BE THURSDAY NIGHT AND

[00:35:02]

AND THEN IN OCTOBER WE CAME TO COUNCIL WITH IN

>> SO THAT'S THE WHOLE CONCEPT OF WHY WE DO THAT AND WHEN WE WENT FROM 112 DOWN TO 105 THEY GAVE US $7 MILLION.

THAT'S NOT GOING TO BE SPENT. AND WE'RE NOT OVERBUDGETING.

I DON'T WANT ANYONE TO THINK WE'RE INTENTIONALLY OVERBANALITYING. WE HAVE TO BUDGET FOR OUR FULLY STAFFED PLAN FOR THE YEAR. IT DOESN'T ALWAYS WORK OUT THAT WAY AND I THINK WE'VE ALL TALKED ABOUT SEVERAL TIMES LIKE EVEN THE POLICE DEPARTMENT HAS A STRUGGLE FILLING POSITIONS.

SO THEY HAVE A LOT OF VACANCIES THAT THEY'RE TRYING TO FILL NOW.

OUR HR DIRECTORS TALKED ABOUT DIFFICULTY FILLING POSITIONS THROUGHOUT THE CITY SO IT'S NOT THAT WE'RE NOT TRYING TO FILL THE POSITIONS BUT WE HAVE NOT BEEN ABLE TO SO THOSE SAVINGS GO BACK TO OUR FUND BALANCE AND HELP US IN THE NEXT YEAR.

I CAN'T SEE THE PRESENTATION FROM HERE.

MAKES IT DIFFICULT. I HAVE TO LOOK HERE.

SO THEN JUST A LITTLE MORE INFORMATION ON TYPES OF FUNDS.

AND BRIAN TAYLOR TALKED ABOUT ONE ENTERPRISE FUND THAT COUNCILPERSON MENTIONED IT AS WELL.

OUR GOVERNMENTAL FUNDS, THE GENERAL FUND IS BASICALLY THE FUND OF MONEY THAT HAS NO OTHER PLACE TO GO.

THAT PAYS FOR GENERAL SERVICES. WHAT I MEAN NO OTHER PLACE TO GO IS LIKE OUR SPECIAL REVENUE FUNDS HAVE A DEDICATED SOURCE AND USE. SO, FOR INSTANCE, OUR TRAFFIC CAMERA REVENUES. IT'S A DEDICATED SOURCE.

IT COMES FROM THE TRAFFIC CAMERAS AND THE USE IS RESTRICTED BY OUR CITY CODE OF WHAT WE CAN SPEND THAT ON.

SO DEDICATED SOURCE INNS USES OF FUNDS.

OUR CAPITAL PROJECTS FUND IS THE SAME WAY.

ONCE WE PUT FUNDS TO THE CAPITAL PROJECTS FUND THEY'RE RESTRICTEDED AND CAN'T BE USED FOR ANYTHING ELSE.

WE HAVE TO HAVE THESE BONDS IN A SEPARATE FUND SO -- THEN THE ENTERPRISE FUNDS LIKE RYAN TAYLOR MENTIONED, THEY ARE SUPPORTED BY THEIR RATE PAYERS WITH ONE EXCEPTION.

I'LL EXPLAIN. THEY ARE SUPPOSED TO BE THE REVENUES THEY TAKE IN IS SUPPOSED TO COVER ALL THE

[00:40:03]

AND THEN WE HAVE OUR INTERNAL SERVICE FUNDS AND THOSE ARE LIKE A BUSINESS AS WELL. BUT THE ONLY CUSTOMER WITH THE INTERNAL SERVICE FUND IS THE GOVERNMENT ITSELF.

SO THEN WE HAVE COMPONENT UNITS AND WE'VE TALKED ABOUT THOSE BEFORE. THE SENIOR CENTER, THE MUSEUM, AND THEN THE PERFORMING ARTS CENTER AND IT TAKES PROFESSIONAL JUDGMENT AS TO WHAT IS A COMPONENT UNIT AND WHAT IT ISN'T. THERE'S SOME GUIDELINES BUT IT STILL TAKES SOME JUDGMENT CALL THERE.

THE WAY I LOOK AT IT IS IF WE HAVE HIRED -- TO RUN OUR FACILITIES AND WE GIVE THEM THE MAJORITY OF THE MONEY OR WE TAKE OUR FUNDS AWAY THEY GO OUT OF BUSINESS.

THEY'RE PROBABLY A COMPONENT UNIT.

THERE'S A 14-PAGE ASSESSMENT THAT I HAVE TO GO THROUGH AND I GO THROUGH IT EVERY SINGLE YEAR TO MAKE THAT JUDGMENT CALL.

SO IT'S NOT COMPLETELY BLACK AND WHITE.

IT'S AN EASE OF A LITTLE GUIDELINE THERE.

THEN THE DIFFERENCE BETWEEN CAPITAL OUTLAY AND CAPITAL AGAIN IS NOT A BLACK AND WHITE THING AND I HATE THAT.

BUT IT'S NOT ALWAYS BLACK AND WHITE HERE.

CAPITAL IS THOSE THINGS THAT YOU WOULD -- IF YOU THINK OF YOUR HOUSE YOU WOULD GET A MORTGAGE TO PURCHASE YOUR HOUSE.

YOU'RE NOT GOING TO PAY CASH FOR YOUR HELP DAY ONE.

YOU'RE NOT GOING TO GET A MORNING.

YOU GET THE TAX WRITE OFF AND ALL THAT.

THIS IS THE SAME THING. IF WE'RE GOING TO BUILD A CAPITAL PROJECT THAT LASTS 20 YEARS WE WANT TO PAY FOR IT OVER THOSE 230 YEARS AND ISSUE THAT.

IF IT'S THINGS LIKE PURCHASING VEHICLES OR PURCHASING THE DOME THAT COVERS THE POOL, THOSE ARE ONE TIME EXPENSES.

IT'S NOT RECURRING. IT'S GOING TO BE DONE IN ONE YEAR. DEPENDS ON THE DOLLAR AMOUNT.

COULD BE $50,000. COULD BE $250,000.

BUT IT'S SOMETHING THAT'S A ONE-TIME PURCHASE.

WE MAKE THOSE CAPITAL OUTLETS.

SO JUST A QUICK SNAPSHOT OF OUR ENTIRE BUDGET.

AND YOUR SLIDE HAS A LITTLE DIFFERENT NUMBER THAN I'M GOING TO TELL YOU BECAUSE I HAD A SLIGHT MISCALCULATION ON THE COVID FUND WHICH IS CORRECT ON YOUR SLIDE.

IT WAS NOT CORRECT HERE. SO THAT ACTUAL TOTAL BUDGET FOR ALL FUNDS OF THE CITY IS $584,129,709.

IS THAT WHAT IS ON YOUR SLIDE? MY SLIDE IS CORRECT.

I'M NOT SURE ABOUT YOURS.

SO WE ARE VERY MAJOR ENTERPRISE. WE'RE A LARGE COMPANY.

WE'RE JUST ABOUT WE'RE WELL OVER HALF A BILLION DOLLARS COOPERATION.

[00:47:33]

SINCE THE MAYOR HAS BEEN IN OFFICE WE'VE BEEN WORKING TO NEGOTIATE A DEAL WITH THE COUNTY PAYING FOR ASSESS OR SERVICES.

AND WE THINK WE'RE AT THAT POINT, WE'RE HOPEFUL THAT WE'LL HAVE AN AGREEMENT BY TEND OF OUR BUDGET SEASON AND PAY THEM FOR A COUPLE OF YEARS THAT WE WERE WORKING ON TO COME UP WITH A REASONABLE RATE. SO THAT'S WHAT I INCREASED THERE SO THAT WE COULD COVER THAT. HOPEFULLY THAT WILL GET RESOLVED. WE ALSO HAD ONE ITEM THAT WE HAD PAID FOR WITH THE COVID FUNDS THAT NEEDED $6,000 EXTRA SO WE TRANSFERRED THOSE FUNDS INTO THE COVID AND WHILE I ALWAYS REVIEW OUR REVENUES ON EVERY MONTH I'M LOOKING AT REVENUE PROJECTIONS AT THIS TIME OF YEAR ACTUALLY REVIEW AND MAKE THE CHANGES AND WE HAVE $667,000 EXTRA. WE BELIEVE WE WILL GET IN THAT STILL IS NOT FINAL UNTIL TEND OF JUNE -- ACTUALLY, MID-JULY WHEN WE HAVE THAT FINAL NUMBER BUT WE THINK THAT'S A GOOD TARGET NUMBER FOR US.

THERE'S THE -- AND THEN WE HAVE UNANTICIPATED SOFTWARE THAT WAS REACHING END OF LIFE FOR $22,000 THAT WE NEEDED TO PUT IN THE BUDGET.

AND THEN WE WORKED ON OUR CAPITAL PROJECTS QUITE A BIT AND THAT'S WHY I SENT YOU OR MISS SYLVIA UP LOADED TO YOUR IPADS ALL THE CAPITAL PROJECT SHEETS AND THE BACK UP DOCUMENTS BECAUSE WE DID QUITE A BIT OF WORK ON THEM.

THE PARK MATCHING GRANT THROUGH THE CUMBERLAND RIVER COMPACT IS

[00:50:04]

THE PROJECT IS $400,000 AND IT WILL STABILIZE THE BANK OF THE RIVER AT BILLY DUNLOP PARK.

[6.3. ORDINANCE 122-2020-21 Amending the FY21 Operating and Capital Budgets and adopting the FY22 Operating and Capital Budgets for Clarksville Transit System]

[6.4. ORDINANCE 123-2020-21 Amending the FY21 Operating and Capital Budgets and adopting the FY22 Operating and Capital Budgets for Clarksville Gas & Water Department]

THEIR TOTAL BANALITY FOR ALL THREE FUNDS COMBINED IS $97.4 MILLION. THEY HAVE THREE FUNDS.

THEY HAVE GAS, WATER, AND SUE RE.

WE DO NOT -- ALL OF THEIRS IS FUNDED BY THEIR RATE PAYERS AND THEY TOO ARE A VERY LARGE TAXPAYER HOURS.

THEY PAY PILOT PAYMENTS TO US AS WELL AND I THINK THEIRS ARE AROUND $4 MILLION THAT THEY PAY US.

THEY PAY THE CITY THE MAXIMUM AMOUNT ALLOWED.

[6.5. ORDINANCE 124-2020-21 Amending the FY21 Budget and approving the FY22 Annual Action Plan and Budget and authorizing application for Community Development Block Grant and HOME Investment Partnership Funds as well as other programs]

THEY HAVE MULTIPLE DIFFERENT FUNDS BUT WE REPRESENT ALL OF THEM HERE TOGETHER IN ONE. IT'S ORDINANCE 124 AND THEIR BUDGET IS YEAR IS AT $3.5 MILLION.

WITH THE SMALL AMOUNT OF MONEY PRE THE GENERAL FUND OF $263.

$263,625.

I THINK I'M TALKING TOO MUCH. NEXT IS OUR INTERNAL SERVICE

[6.6. ORDINANCE 125-2020-21 Amending the FY21 Operating Budget and adopting FY22 Operating Budget for the Internal Service Funds]

THAT WILL HAVE TO PROBABLY ASK OUR FINANCE CHAIR TO AMEND FOR ME. IT'S BECAUSE NOW EVERYBODY -- EVERYTHING IS STARTING TO ESCAPE AH UP AGAIN AND PEOPLE ARE STARTING TO USE THIS BENEFIT MORE SO WE WANT TO COVER OURSELVES AND MAKE SURE WE HAVE ENOUGH FUNDS TO PAY THOSE BILLS THAT COME IN. THERE'S NO ADDITIONAL MONEY FROM THE GENERAL FUND. IT'S COMING FROM THEIR FUND BALANCE. THE HEALTH FUND IS UP THERE AS WELL AND THAT PAYS FOR THE CLINIC.

AAND LASTLY THIS IS ORDINANCE 125.

HAS THEIR GENERAL LIABILITY AUTO LIABILITY AND OJI, THE JOB

[00:55:03]

[6.7. ORDINANCE 126-2020-21 Amending the FY21 Operating Budget and establishing the FY22 Operating Budget for the Clarksville Parking Commission, a Proprietary Fund]

THE PARKING FUND IS MANAGED BY ANOTHER DEPARTMENT SO THEY PAY A FEE TO THE GENERAL GOVERNMENT TO REIMBURSE FOR THE SERVICES THAT ARE PROVIDED TO THE PARKING FUND BECAUSE IT IS AN ENTERPRISE

[6.9. ORDINANCE 128-2020-21 Amending the FY21 Operating and Capital Budgets and adopting the FY22 Operating and Capital Budgets for the Governmental Funds and adopting the Tax Rate for the fiscal year beginning July 1, 2021 and ending June 30, 2022]

AND THE TOTAL OF OUR TAXES WE BRING IN BETWEEN ALL OF THOSE TYPES ARE $53.7 MILLION. THAT'S THE CITY'S SHARE OF THE STATES 7% OF SALES TAX. SO WE GET ALMOST $21 MILLION FROM THAT. SO THOSE THREE CATEGORIES ALONE, TOTAL OVER $96.7 MILLION. ABOUT 80% OF THE GENERAL FUND.

THIS NUMBER THE 121000000.8 INCLUDES OUR FUNDS ARE $3.5 MILLION THAT'S GOING TO BE THE REVENUE RECOVERY AND THE ARP FUNDS ALLOW FOR A CALCULATION OF WHAT WE CAN RECOVER FROM ANY LOST FUNDS AND WE BELIEVE IT WILL PROBABLY BE MORE THAN THAT.

BUT THAT WAS OUR INITIAL ESTIMATE, 3.5 MILLION.

SO THE DEPARTMENT BUDGETS BASED ON THE COMMITTEE THEY WENT TO TO EXPLAIN OUR BUDGETS. FIRST BEFORE US IS THE PUBLIC SAFETY COMMITTEE. AND BETWEEN POLICE, FIRE, AND BUILDING AND CODES, THEIR BUDGET IS JUST ABOUT $62.9 MILLION.

AND THEN THERE'S PARKS AND REC COMMITTEE AND PRESENTED TO THEM WAS THE PARKS AND REC BUDGET ALONG WITH THE MASON REDOFF AND SWAN LAKE GOLF COURSES. THEIR BANALITYS ARE $9.1 MILLION

FOR THE COMING YEAR. >> NOW PROSECUTOR FOR THE TRANSPORTATION STREET AND GARAGE COMMITTEE OR THE TSG AS COUNCILPERSON SMITH LIKES TO SAY.

THEIR BUDGET IS BETWEEN THE THREE OF THEM IS $20.1 MILLION AND COMMUNITY HOUSING AND DEVELOPMENT THIS IS WHERE -- THIS IS ONLY THE GENERAL FUNDS PORTION OF $263,000 THAT WILL BE TRANSFERRED INTO COMMUNITY DEVELOPMENT BUDGET.

THEN WE HAD DEPARTMENTS THAT REPORT TO THE FINANCE COMMITTEE.

THESE ARE ADMINISTRATIVE DEPARTMENTS SO IT'S LIKE OUR BUILDING AND FACILITIES MAINTENANCE DEPARTMENT, LEGISLATIVE, HUMAN RESOURCES, LEGAL, FINANCE.

SO ALL TOGETHER THOSE DEPARTMENTS ARE ARE ABOUT ALMOST $4 MILLION. HERE'S THE OTHER ITEMS THAT REPORT TO THE FINANCE COMMITTEE OR THEY REVIEWED CRIME STOPPERS AND THAT'S IN OUR CITY CODE $2 PER TICKET GOES TO CRIME STOPPERS. THE HRC IS IN HERE.

THIS IS WHERE THE RETIREMENT PENSION ARE ACCOUNTED FOR.

WE PRACTICE PAY AS YOU GO. WE DO NOT HAVE FUNDS SET IN A TRUST SO THAT $2.1 MILLION IS A LINE ITEM IN OUR BUDGET EVERY YEAR TO FUND OUR RETIREMENT HEALTHCARE.

AND NOW HERE'S A COUPLE OF OTHER ONES THAT THE CITY SUPPORTS AS WELL. WHICH IS 911.

[01:00:01]

GIS IS I THINK PART OF AUSTIN PING.

WE PAY FOR THAT SERVICE AS WELL. THE RTA COMMUTER BUS LINE TRANSIT ALLIANCE PENNY -- CAMPBELL STRONG AND THE ARTS AND HERITAGE DEVELOPMENT COUNCIL ARE INCLUDED IN THIS PART OF THE BANALITY. AND THEN THERE'S ALSO TRANSFERS AND TRANSFERS IS HOW WE MOVE MONEY FROM ONE FUND TO ANOTHER SO THERE'S JUST ABOUT $5.3 MILLION TRANSFERRING FROM THE GENERAL FUND INTO THE CAPITAL PROJECTS FUND AND THIS IS A TAX RATE INCREASE THIS THE IS THE BALANCE OF THE TAX RATE INCREASE MONEY THAT WILL MOVE FROM THE GENERAL FUND AND RESTRICT IT INTO THE CAPITAL PROJECTS FUND SO IT CAN ONLY BE SPENT ON CAPITAL PROJECTS. AND THEN THE OTHER ONE, THE BIGGEST ONE IS OUR DEBT SERVICE WHICH IS JUST ABOUT $10.9 MILLION GOES FROM THE GENERAL FUND INTO THE DEBT SERVICE AND PAYS OUR PRINCIPAL AND INTEREST ON ALL OF OUR DEBT.

I'LL GO OVER THE DETAILS OF THAT IN A MINUTE.

BUT IF YOU LOOK AT THIS -- THE SLIDES ABOVE, YOU CAN SEE THAT IN 2017, 18, AND 20 AND NOW 21 -- ALSO IN THE SAME BUDGET ORDINANCE WALKING THROUGH THAT ONE ARE ALL OF OUR SPECIAL REVENUE FUNDS AND I WON'T GO THROUGH EVERY ONE OF THEM BUT THEY ARE LISTED THERE WHICH OTHER SPECIAL RIVER KNEW FUNDS ARE IN THERE AND ALL THOSE FUNDS ARE RESTRICTED FOR SPECIFIC USES IN THOSE FUNDS.

I WILL GO OVER THE CODE ONE NOW. REMEMBER LAST YEAR WE HAD COVID.

WE THOUGHT IT WAS A ONE TIME THING.

MONEY COMES INTO THE GENERAL FUND, HAS RESTRICTEDED USE.

WE SPEND IT. NOW WE'RE CONTINUALLY GETTING COVID MONEY. SO WE DECIDED IT WAS PROBABLY BEST TO PUT IT IN A SPECIAL REVENUE FUND SO THAT WE CAN ACTUALLY TRACK IT SO WE MOVED EVERYTHING FROM 21 INTO THIS NEW FUND AND WE'RE GOING TO TRACK FY22 IN HERE AS WELL.

SO ONE OF THE FUNDS WE GET IS FROM THE STATE AND THE STATE IS GIVING US $1.7 MILLION AND THE ONLY RESTRICTIONS ON THAT IS THAT IT SHOULD BE USED FOR PUBLIC SAFETY AND ONE TIME EXPENSES OR INFRASTRUCTURE. SO BASED ON THE DEPARTMENT'S NEEDS AND THE MAYOR'S ITEMS LISTED THERE, WE PLAN ON SPENDING -- THE OTHER CATEGORY OF COVID FUNDS THAT WE'RE RECEIVING ARE FROM THE ARP FUND, THAT'S THE FEDERAL GOVERNMENT, AND THAT'S THE $12.7 MILLION THAT WE'VE ALREADY RECEIVED FROM THEM. AND IT'S KEPT IN A SEPARATE INTEREST-BEARING ACCOUNT. AND WE'RE GOING TO FUND AT THIS TIME WE'RE TALKING ABOUT FUNDING OUR NONPROFITS, THREE OF THEM, THE LOST REVENUE THAT WE ESTIMATE THAT TO BE AND THEN WE WENT AHEAD AND BANALITYED THE BALANCE, THE $7.6 MILLION BECAUSE THE MAYOR HAS -- -- HOW WE CAN JOIN TOGETHER FORCES OR WHAT'S THE BEST WAY TO SPEND THESE FUNDS SO WE APPROPRIATE THEM HERE AND BUDGET IT SO THAT WHEN THEY DO HAVE THE PLAN WE CAN DO THAT AND WE DON'T HAVE TO COME BACK.

WE CAN COME BACK AND TELL YOU WHAT OUR PLAN IS BUT WE DON'T HAVE TO TAKE TWO MONTHS TO GET A BUDGET AMENDMENT APPROVE SOD THAT'S WHY IT'S INCLUDED IN HERE AS PART OF THE BUDGET.

[01:05:06]

SO YOU'LL SEE NEW 22 THOSE ARE THE NEW PROJECTS.

SOMETIMES WE ADDITIONAL FUNDS TO PROJECTS THAT HAVE BEEN IN EXISTENCE BEFORE AND THAT'S THE ONES LIKE 19302 WHICH IS THE ROAD IMPROVEMENT PLAN. THAT STARTED IN 2019 AND THEY HAVE FUNDS AVAILABLE OF $16 MILLION.

WHICH WAS PREVIOUSLY FUNDED. THEN WE HAVE IN THE FAR RIGHT COLUMN IS THE ONES THAT WE THINK ARE GOING TO BE FUNDED.

WE'RE PRETTY SURE WILL BE FUNDED WITH THE FUNDS AND YOU'LL SEE THOSE OVER $22.7 MILLION OF ANTICIPATED -- I BELIEVE THEY ACTUALLY TAKE THE LATEST ONE AND PUT IT AS A RESERVE TRUCK AND RETIRE THE ONES THAT REALLY JUST DON'T WORK ANYMORE SO THEY KEEP RESERVE TRUCKS JUST IN CASE. THE POLICE DEPARTMENT HAS REQUESTED AN OUTER RUBBER TRAP FOR THE FIRING RANGE AND THEN WE HAD THE TRAIN STATION IS REALLY NEEDING A LOT OF REPAIRS AS WELL AND SO WAS THE -- THAT I MENTIONED.

THE TRAIN STATION IS GOING TO BE FUNDED FROM ANOTHER EXCESS FUND FROM ANOTHER PROJECT THAT'S NOT ADDITIONAL FUNDS.

THE NEW FUNDING PLUS PREVIOUS FUNDING IS $194 MILLION.

SO IF WE ISSUE IT WE'LL ISSUE 7.4.

WE CAN MOVE FUNDS FROM ONE PROJECT TO ANOTHER.

SO WORKING WITH OUR CAPITAL PROJECTS MANAGER AS WELL AS THE DEPARTMENT'S, THIS IS WHAT WE'RE REQUESTING THAT WE WOULD MOVE FUNDS FROM THE PROJECT'S ON THE LEFT AND THEN A COUPLE OF THEM ARE GETTING DIFFERENT NAMES. THE ATHLETIC -- AND -- ANOTHER PART OF THE ORDINANCE IS THAT IS MAN DATED IS THE GENERAL FUND ONLY GENERAL GOVERNMENT -- AND WE HAVE AS OF JULY 1ST, 2021, OUR TOTAL DEBT WOULD BE 97.ALMOST $8 MILLION.

FOR 2022, OUR PRINCIPAL REQUIRED PAYMENTS ARE 8.9 MILLION AND $2.6 MILLION FOR INTEREST. WHICH ARE BUDGETED IN THE DEBT SERVICE FUND. AND THEN INCLUDING THIS YEAR'S BUDGET, THERE'S ABOUT $85.1 MILLION OF UNISSUED BUT AUTHORIZED DEBT. THAT'S WHERE RYAN TAYLOR SAID

[01:10:01]

WE'RE SETTING THE BUDGET RATE AND WE'RE APPROPRIATING THE FUNDS. WE'RE SETTING THE TAX RATE IN HERE.

WE ARE SETTING THE CONTRIBUTION RATES.

WE'RE EXPLAINING THAT -- THERE'S POLICIES IN HERE WE'RE REQUIRED TO FOLLOW.

SOME ARE -- IF YOU'RE GOING TO GIVE NONPROFITS MONEY YOU MUST HAVE A POLICY SO THIS IS WHAT IS IN THERE.

THERE'S REQUIREMENTS IN THERE OF WHAT WE HAVE TO GO THROUGH SHOULD A COUNCIL NOT APPROVE A BUDGET AND TRUST ME IT'S NO FUN.

IT SHOULD NOT BE TAKEN LIGHTLY IF WE DON'T PASS THE BANALITY.

THEN ALSO IN HERE IS THE GENERAL WAGE INCREASE THAT WE'RE APPROVING. AND THEN A LITTLE ONE IS THE GOLF AND PARKS DEPARTMENT. THEY'RE LISTED SEPARATELY ON OUR BUDGET LIKE TWO DIFFERENT DEPARTMENTS BUT THEY OPERATE ADDS ONE SO WE'RE GIVING THE AUTHORITY HERE FOR THE DEPARTMENTS TO SHARE THE MONEY BETWEEN THE TWO DEPARTMENTS THE TAX RATE IS NOT SUSTAINABLE BUT WE CAN'T CONTINUE TO PROVIDE INCREASED SERVICES WITH LESS MONEY.

OUR STREET DEPARTMENT NEEDS ANOTHER CREW AND ADDITIONAL EQUIPMENT IN ORDER TO MAINTAIN OUR STREETS.

OUR MILES OF ROADS HAVE INCREASED AND THEY'RE HAVING TO MAINTAIN AN ADDITIONAL 61 MILES OF ROADS SINCE 2010 BUT THE CREWS HAVE NOT INCREASED. THE TOTAL MILES THAT ARE BEING MAINTAINED BY OUR STREET DEPARTMENT AS OF LAST JUNE WAS 656 MILES. SO THE PLANNED USE OF THIS MONEY OF THE TAX RATE INCREASE INCLUDES A FIVE-PERSON CREW FOR OUR STREET DEPARTMENT AND IT INCLUDES THE EQUIPMENT THAT'S NECESSARY TO MAINTAIN THE STREETS.

THAT HELPS US PAY FOR TECHING AND DESIGN AND RIGHT OF WAY ACQUISITIONS BEFORE WE INCUR THE MAJOR EXPENSES TO CONSTRUCT THE ROAD.

ALL THE WAY UP TO ALMOST $3.20.

ONE OF THE THINGS I'VE HEARD REPEATEDLY IS WHILE OUR TAX RATE DOESN'T HAVE TO BE HIGH BECAUSE OUR PROPERTY VALUES ARE HIGH SO OUR PENNY IS WORTH SO MUCH MORE. HERE'S HOW WE STACK UP AGAINST OTHER CITIES. JACKSON IS THE OTHER CITY THAT'S SMALLER THAN US BUT AS CLOSE TO US AS ANYBODY ELSE.

AND THEIR PENNY IS WORTH $145,000 AND THEIR TAX RATE IS $2.10. OUR PENNY AT $1.23 IS WORTH $343,000.

SO YOU CAN SEE WE ARE PENNY IS NOT VALUED HIGHER SO OUR TAX RATE DOES NEED TO GO UP. IT'S NOT JUST THE PENNY THAT MATTERS. IT'S WHAT WE GET FROM IT.

SO WITH THAT, IF YOU HAVE ANY QUESTIONS.

[01:15:01]

>> OKAY. GOOD PRESENTATION. A LOT OF INFORMATION.

WE DO HAVE SOME QUESTIONS. COUNCILPERSON RICHMOND, YOU'RE

RECOGNIZED. >> THANK YOU AS USUAL FOR AN EXCELLENT JOB. I JUST HAVE A QUESTION ABOUT THE CENSUS FUNDING. COULD YOU HELP US UNDERSTAND HOW THAT FEDERAL FUNDING WORKS WHERE IT IS AND IS IT REFLECTED IN

THIS BUDGET? >> SO IT'S NOT REFLECTED IN THE BANALITY BECAUSE THEY HAVE NOT GIVEN US A TIMELINE AS TO WHEN WE'LL GET THOSE CENSUS NUMBERS. BUT THE WAY IT WOULD IMPACT US IS IN THE REVENUES WHEN IT TALKED ABOUT THE STATE SHARED REVENUES, THEY GIVE US AN ACTUALLY MUNICIPAL TECHNICAL ADVISORY SERVICE GIVES US AN IT WILL BE UNDER CATEGORY -- YOU SECOND.

IT WOULD BE UNDER INTERNAL REVENUES.

>> THANK YOU. >> THANK YOU.

THAT'S ALL, MAYOR. >> THANK YOU.

COUNCILPERSON BUT LETTER, YOU'RE RECOMMEND -- BUTLER, YOU'RE

RECOGNIZED. >> THANK YOU.

I'M GOING TO DO THE BEST I CAN. HAS THE STATE GIVEN US THIS

CERTIFIED TAX RATE YET >> >> WE DON'T GET A CERTIFIED

TAX RATE BUT EVERY FIVE YEARS. >> OKAY. COOL.

TOO EASY. AND WHAT WAS IT THE LAST TIME?

>> 1.0296. >> COOL.

SORRY, GUYS. I'M ALL OVER THE PLACE.

YOU MENTIONED PARKING IS AN ENTERPRISE NOW?

>> IT ALWAYS HAS BEEN. >> OKAY. WHEN I WAS LOOKING THROUGH THE BANALITY, ARE IT'S REALLY CONFUSING.

IT LOOKS LIKE THEY'RE IN THE RED AND I KNOW THAT YOU HAD SENT ME AN EMAIL ABOUT THAT. COULD YOU JUST -- BECAUSE I'M

STILL LIKE OH. >> SO THEY ARE SPENDING MORE THAN THEY'RE BRINGING IN AND A BIG PART OF THAT WAS BECAUSE OBVIOUSLY WITH COVID DOWNTOWN WAS SHUT DOWN.

AND THERE WAS NOTHING TO ENFORCE.

THERE WAS NO REASON TO COLLECT REVENUES.

SO THERE WAS MINIMAL GOING ON DURING COVID.

SO THAT'S PART OF IT. THE OTHER PART OF IT IS BACK IN PROBABLY 2015, THERE WAS A DECISION MADE BY OTHERS NOT HERE NOW AND NOT PART OF THE CITY, THEY WERE ANOTHER ENTITY THAT THEY WOULD PROVIDE THE FIRST HOUR FREE BECAUSE IT WAS STIMULATE ALL THIS TRAFFIC DOWNTOWN AND DOWNTOWN WOULD JUST GROW SO MUCH. WELL, THEY GAVE THE FIRST HOUR FREE AND IT COST US SIGNIFICANT REVENUES.

OUR REVENUES TANKED AND THE PARKING -- BECAUSE PEOPLE WERE DOING INSTEAD OF EVEN PARKING AND STAYING, THEY WERE MOVING THEIR CARS FROM PLACE TO PLACE SO THEY CAN GET AN HOUR FREE CONSTANTLY ALL OVER DOWNTOWN. SO WE HAD A SIGNIFICANT LOSS IN REVENUE THERE. WHICH IS PART OF THE REASON WHY WHEN WE KNEW WE NEEDED A NEW PARKING GARAGE, WE COULD NOT AFFORD A NEW PARKING GARAGE BECAUSE ALL THE FUND BALANCE THAT THEY HAD AVAILABLE AND THE GREAT CREDIT BASICALLY TO BE ABLE TO PAY THAT BACK WENT AWAY. SO THEY HAD ONLY $350,000 WAS THERE AVAILABLE -- THEIR AVAILABLE BALANCE WHEN WE CAME

OUT OF COVID. >> IS THIS ALSO INCLUDING THE FAULTY SENSORS THAT WE REPLACED ALL OF AND THAT WE'RE NOT EVEN USING ANYMORE? THAT'S ALL INCLUDED IN THIS?

>> THAT ALL HAPPENED AT THE SAME TIME WITH THAT FIRST HOUR FREE.

SO PARKING COMMISSION OR AT THE TIME IT WAS THE PARKING AUTHORITY WAS SOLD -- TOLD THIS WILL SOLVE EVERYTHING.

HERE'S THIS PRODUCT AND IT WORKS.

WHILE IT WORKED IN ARIZONA, A VERY DRY STATE AND NOW YOU COME HERE AND THE RAIN AND ICE, ICE COVERS THE SENSORS, THE COLD WEATHER DRAWS BATTERIES. DRAINS THE BATTERIES DOWN AND THEY HAVE TO BE REPLACED, IT JUST NEVER WAS TESTED IN AN ENVIRONMENT LIKE US SO IT NEVER FUNCTIONED BUT THE PARKING FUND PAID FOR ALL OF THAT. WE INVEST IT IN LGIP, A LOCAL

[01:20:30]

AND IT WAS WATER AND SEWER I INFRASTRUCTURE AND -- RIGHT, BROADBAND. I THINK THAT WAS ALL THAT WE'RE ALLOWED AT THIS POINT. AND THAT'S WHY I KNOW A LOT OF CITIES I'M WORKING WITH THE U.S. CONFERENCE OF MAYORS AND WE'RE TRYING TO GET SOME RESTRICTIONS LESSENED BECAUSE A LOT OF CITIES ARE HAVING DIFFICULTIES COMING UP WITH WAYS TO SPEND THE FUNDS.

>> OKAY. 97.8 MILLION IN DEBT CURRENTLY THAT WE PAY A SERVICE ON AND THEN AN ADDITIONAL 85 MILLION CHILLING IN THE WINGS? OKAY. AND THEN I AM ASSUMING THAT WE'RE PAYING FOR RENOVATIONS OR REPAIRS ON LNN AND SMITH BECAUSE WE OWN THE

BUILDINGS? >> YES.

>> IS THERE ANYTHING BESIDES LIKE HISTORICAL REASONING WHY WE

PAY FOR THAT? >> YES, THEY'RE HISTORIC BUILDINGS SO THAT'S WHY WE TAKE CARE OF THEM AND REFURBISH THEM.

WE ACTUALLY HAVE A NONPROFIT THAT MANAGES SMITH.

I'M NOT SURE HOW WE MANAGE LNN.

>> I KNOW THAT MONTGOMERY COUNTY HISTORICAL SOCIETY MEETS THERE AND THEY SORT OF OPERATED BUT THAT'S THE ONLY ENTITY THAT USES IT. SO EVERY TIME WE APPROVE A BUDGET AND WE'RE ALLOWED TO ISSUE IT, I COME BACK TO COUNCIL A MONTH LATER AND WE GET A REIMBURSEMENT RESOLUTION PASSED BY COUNCIL THAT GIVES THE AUTHORITY FOR THE DEBT AND THAT

[01:25:01]

EVENTUALLY I WOULD HAVE TO COME TO YOU THOUGH AND SAY OKAY NOW YOU'RE GIVING ME PERMISSION TO ACTUALLY ISSUE THE DEBT SO WE HAVE AUTHORITY BUT I'M NOT ALLOWED TO ISSUE IT YET UNTIL

YOU TELL ME. >> UNDERSTOOD.

THANK YOU. ABOUT WITH OR THREE YEARS AGO THEY MOVED FROM BEING A SEPARATE DEPARTMENT RUN BY A DIFFERENT DEPARTMENT HEAD UNLIT THE PARKS AND REC COMMITTEE.

THEY'RE ON YOUR ORDINANCE AS THREE SEPARATE LINES.

IF YOU LOOK AT THE ORDINANCE, YOU SEE GOLF COURSE SWAN LAKE, GOLF COURSE MASON, PARKS ANAL REC.

OUR CITY CODE SAYS MIGHT BE THE CHARTER OR THE CODE I'M NOT SURE WHICH SAYS THAT A DEPARTMENT HEAD ONCE A BUDGET IS APPROVED HAS THE FLEXIBILITY TO MOVE FUNDS BETWEEN OPERATIONS SALARY, AND CAPITAL OUTLAY. IN PARKS AND GOLF COURSES IF SHE NEEDS TO MOVE FUNDS, THEY'RE DIFFERENT ORGS.

SHE WOULD NOT HAVE THE AUTHORITY TO MOVE THEM BETWEEN MASON RUDOLPH, SWAN LAKE, OR PARKS. SO THIS LITTLE PROVISION IN THERE IN THE PARAGRAPH SAYS YOU'RE GOING TO TREAT ALL THREE OF THEM AS ONE DEPARTMENT SO THAT SHE HAS THAT FLEXIBILITY.

>> I THINK THE ONLY THING THAT CONCERNS ME ABOUT THAT IS WHEN WE WERE DISCUSSING THE GOLF COURSES, THEY TAKE CARE OF THEMSELVES RIGHT? LIKE THEY'RE OPERATING --

>> THEY OPERATE UNDER THE DIRECTION OF JENNIFER

LETOURNEAU. >> I'M THINKING IN TERMS OF

MONEY THOUGH. >> EACH INDIVIDUAL ORGANIZATION WAS SELF-CONTAINED. THEY BROKE EVEN OR WHAT NOT?

>> NO. THEY'RE NOT SELF-SUPPORTING.

>> OKAY. OKAY. >> THEY DO BRING IN REVENUE.

YES. BUT -- AND IT'S BEEN MANY YEARS THAT THEY'VE BEEN SELF-SUPPORTING.

BUT WE CAN TRACK THAT. THE WAY THEY'RE IN OUR ACCOUNTING SYSTEM IT CAN BE TRACKED THAT WAY.

SO WE CAN SEE THIS IS HOW MUCH MASON RUDOLPH BROUGHT IN AND COST. AND THAT'S ANOTHER REASON WHY WE DID NOT WANT TO JUST THROW THEM RIGHT INSIDE THE PARKS BUDGET BECAUSE HOW WOULD WE KEEP TRACK OF THEM.

I DON'T WANT TO MAKE THEM AN ENTERPRISE FUND BUT IT'S NICE TO BE ABLE TO SEE THAT COMPARISON.

BLP. >> OKAY. THIS IS SOMETHING I PROBABLY MISSED BECAUSE I DIDN'T GO TO THE PARKS AND REC.

THIS WAS A CONSTITUENT THAT ASKED ME ABOUT THIS.

THE TENNIS COURT LIGHTS. $250,000.

ARE WE TALKING ABOUT ONE TENNIS COURT OR ALL THE -- WHERE IS

THIS TENNIS COURT? >> IT'S AT THE SWAN LAKE ATHLETIC COMPLEX OFF OF OLD RUSSELLVILLE PIKE.

THOSE LIGHTS ARE PROBABLY OLDER THAN YOU ARE.

AND WE NEED THE ABILITY TO -- FOR TENNIS USERS TO TURN THEM OFF AND ON, TO TIME THEM, I MEAN THERE'S JUST A WHOLE WORLD OF TECHNOLOGY THAT'S OPENED UP TO US TO GET A BETTER USE OUT OF

THOSE COURTS. >> IS THIS, LIKE, EIGHT COURTS

OR TWO COURTS OR -- >> IT'S FOR ALL OF THEM JENNIFER HOW MANY COURTS ARE OUT THERE? ROUGHLY TEN? ABOUT TEN.

>> THE LITTLE SHEET IN YOUR BOOK, THAT'S UP LOADED ABOUT THE CAPITAL PROJECTS, IF YOU GO TOWARDS THE BACK OF THAT, IT HAS THE TENNIS COURT LIGHTING INFORMATION AND GIVES YOU

DETAILS >> OKAY. I'LL DEFINITELY LOOK AT THAT. THANK YOU.

LAST ONE. >> OKAY.

>> THIS IS FOR YOU, MAYOR. WHEN I WAS LOOKING AT THE ADMIN

[01:30:06]

BECAUSE WHAT WAS PROJECTED IT WAS LESS THAN WHAT WAS PROJECTED SO WE WERE PROJECTED FOR AN AMOUNT AND THEN THE MAYOR'S SALARY ENDED UP BEING RESIDENCE THAN THAT FOR I THINK LAST YEAR.

>> IT'S NEWS TO ME. I'LL TAKE A TEST.

>> I WAS JUST CURIOUS IF HE HAD, LIKE, NOT TAKEN --

>> NOW, THE MAYOR BY OUR CITY CODE DOESN'T GET A RAISE.

IT'S NOT LIKE EVERY OTHER EMPLOYEE GETS A GENERAL WAGE INCREASE OR WHATEVER GETS APPROVED.

THE MAYOR'S SALARY IS SET TO BE BY OUR CITY CODE AND LANCE IS GOING TO CHECK ME. IT'S SET TO EQUAL THE COUNTY MAYOR'S PAY. SO EVERY YEAR I HAVE TO GO CHECK WITH THE COUNTY TO SEE WHAT THE COUNTY MAYOR'S PAY IS GOING TO BE AND THEN WE MAKE IT MATCH. NOW, IT COULD BE THAT WE HAD SIX MONTHS AT ONE AND SIX MONTHS AT ANOTHER.

>> OKAY. OKAY. >> THAT COULD BE WHAT YOU WERE

SEEING. >> OKAY. I'LL TAKE A SCREEN SHOT OF IT AND SEND IT TO YOU LATER SO YOU KNOW -- I'LL SEND YOU THE SCREEN SHOT. IT LOOKED TO ME LIKE THE MAYOR SAID NO I WON'T TAKE MY RAISE. SO I WAS JUST CURIOUS -- THAT WAS CURIOSITY.

THAT'S IT. THANK YOU VERY MUCH.

>> COUNCILPERSON STREETMAN. >> THANK YOU.

MY QUESTION IS ACTUALLY IN REGARD TO OUR FUND BALANCE AND OUR POLICY ON IT. IT WAS MENTIONED TO ME THAT WE COULD REDUCE OUR RESERVES AND LOWER WHAT WE WOULD HAVE TO USE FOR OUR TAX INCREASE. CAN YOU TALK A LITTLE BIT ABOUT OUR POLICY ON THAT AS WELL AS WHETHER OR NOT THAT WOULD BE A GOOD IDEA AND MY GUESS WOULD BE LOOKED AT OTHER CITIES THAT

WOULD BE COMPARABLE TO US. >> YEAH.

SO SEVERAL YEARS AGO WE DID REDUCE OUR POLICY, I THINK IT WAS 25% WE REDUCED IT DOWN TO 5%.

20%. THAT WOULD MAKE ME EXTREMELY UNCOMFORTABLE AND I'LL GIVE YOU THE REASONS WHY REDUCING IT -- SO B PRACTICES BY GFOA WHO IS A GOVERNMENT FINANCE OFFICER ASSOCIATION THAT HELPS US WITH BEST PRACTICES THROUGHOUT THE UNITED STATES IS TO HAVE THREE MONTHS OR 20%.

WE ARE AT THE VERY BOTTOM AND IT DOES NOT COVER THREE MONTHS.

IT COVERS A LITTLE OVER TWO MONTHS OF OUR EXPENDITURES.

OUR 20% RESERVE HAS GOTTEN US THROUGH ALMOST EVERY TYPE OF NATURAL DISASTER HERE WITH THE EXCEPTION OF HURRICANES BECAUSE THEY CAN'T MAKE IT HERE. SO WE NEED THAT MONEY IN ORDER TO COVER IF WE HAVE AN ISSUE WHERE WE CAN'T COLLECT OR IF WE HAVE EXTRAORDINARY EXPENSES THAT COME UP THAT THE FEDERAL GOVERNMENT DOESN'T GIVE US MONEY WE NEED TO HAVE THOSE FUNDS TO KEEP US GOING. IT'S A CASH FLOW THING.

BUT ALSO FURTHER ON THAT, WE GOT -- I GOT SOME CONFIRMATION FROM OUR FINANCIAL ADVISOR THAT WE WORK WITH.

IT'S TFM -- PFM GROUP, PUBLIC FINANCIAL MANAGEMENT GROUP.

THAT'S THEIR NAME. WE GET OUR BOND RATED EVERY TIME WE GO OUT TO MARKET TO PURCHASE BONDS WHETHER IT'S GAS AND WATER OR CITY GENERAL WE GO TO RATING AGENCIES AND GET RATED.

THE LAST COUPLE OF YEARS WE HAVE BEEN TOLD BY THE RATING SERGEANCIES THAT IT'S A CALL WITH THE RATING COMPANY AND US AND THEY TELL US THERE'S A LOT OF PRESSURE TO UP OUR RATE, TO UP RIGHT NOW WE'RE RATED FOR CITY GENERAL WE'RE AN AA 2 AND THAT GETS US PHENOMENAL INTEREST RATES.

THAT'S WHY WE WENT TO MARKET. WE GOT 1.72%.

AND 1.82% FIXED RATES BUT THERE'S A LOT OF PRESSURE TO UP OUR RATING WHICH WOULD BRING US TO AN AAA WHICH WOULD BE PHENOMENAL BECAUSE WE WOULD GET EVEN BETTER RATES THEN.

BUT OUR FUND BALANCE NEEDS TO BE A LITTLE HEALTHIER IN ORDER TO GET THERE. SO WE ACTUALLY I ASKED HIM WHAT WOULD THAT MEAN. YOU KNOW.

WHAT NUMBER AM I TARGETING TO GET MY FUND BALANCE BETTER SO HE ACTUALLY GAVE ME A COUPLE OF THINGS THAT MOODIES LOOKS AT AND ONE OF THEM IS THE MOODIES DOES A SCORE CARD WHEN THEY RATE UNDER THE CIRCUMSTANCES TO GIVE US A RATING AND THEY LOOK AT THE PERCENT THAT WE HAVE AND THEY'RE LOOKING AT GREATER THAN 0% GIVES

[01:35:02]

SO CITIES THAT WERE GREATER THAN 50,000 IN POPULATION THE MEDIAN FUND BALANCE FOR THEM WAS 43% FOR TRIPLE A CITIES AND 33% FOR DOUBLE A CITIES. THAT'S ONE.

THEN THE OTHER THAT HE POINTED OUT IS THAT ALL CITIES ARE SUBJECT TO MULTIPLE AREAS OF RISK AND THIS IS WHAT THAT FUND BALANCE IS NECESSARY FOR. AND IT SAYS SPECIFICALLY MAINTAINING UNASSIGNED FUND BALANCES ONE OF THE MOST IMPORTANT WAYS A COMMUNITY CAN MITIGATE THE RISK AND BE CRITICAL TO WEATHERING ANY ECONOMIC DOWNTURN NATURAL DISASTER OR OTHER EMERGENCY. THE CREDIT RATING IS HEAVILY INFLUENCED BY THE HEALTH OF ITS UNASSIGNED FUND BALANCE BECAUSE IT'S A KEY DETERMINANT IN FISCAL HEALTH.

THEN YOU ASKED THE OTHER PIECE OF THAT WAS HAVE I COMPARED US TO OTHER CITIES? IS THAT CORRECT? OKAY. SO I DID.

AND I COMPARED US TO CITIES OUR SIZE.

WE TRIED TO FIND EVERYBODY THAT WAS CLOSE TO US.

I THOUGHT I WAS SO ORGANIZED. CHAT.

ANNOUNCER TWO: NA, THEIR POLICY -- CHATANOOGA HAS A -- OURS IS 24. AT 20% IS ONLY 21.

JACKSON HAS A 20% OF EXPENDITURES AND THEIR FUND BALANCE THEIR ACTUAL FUND BALANCE IS 76.TEA AND THEN KNOXVILLE'S ACTUAL BALANCE IS $88.6 MILLION.

MURFREESBORO HAS A TARGET OF 15 TO 30% REQUIRING 25.4 MILLION TO 50 MILLION AND THEIR ACTUAL FUND BALANCE IS 66.6 MILLION.

SO OURS IS CONSIDERABLY -- OURS IS THE SIZE BASICALLY OF JACKSON. AND WE'RE QUITE A BIT LARNLER THAN JACKSON. IS THAT IT?

>> YES, MAYOR, THANK YOU. >> COUNCILPERSON REYNOLDS,

YOU'RE RECOGNIZED. >> SO MY FIRST QUESTION IS IN THE SHUTTERED VENUES, WHY DID WE NOT INCLUDE THE $71,000 FOR THE ARTS AND HERITAGE? WHY ARE WE TAKING THAT OUT OF

OUR FUNDS? >> SO 25,000 OF THAT IS FROM LAST YEAR THAT WAS COMMITTED TO COMMISSIONING AN ARTIST.

I CAN'T REMEMBER WHAT -- >> YEAH, IT WAS AFRICAN-AMERICAN

HISTORY. >> OKAY. SO THAT WOULD NOT BE THE SAME THING BECAUSE WE'RE PAYING FOR ART.

AND THEN THE OTHER PART IS SALARY OF ONE EMPLOYEE AND SHE WAS NOT REALLY SHUT DOWN. SHE WAS STILL ABLE TO OPERATE BECAUSE SHE OPERATES KIND OF OUT OF HER HOME ANYWAY AND OUT OF THE MUSEUM. IT WAS NOT LIKE SHE DOESN'T GENERATE REVENUE BY BEING OPEN. RIGHT.

THE MUSEUM NEEDS TO HAVE PEOPLE COME IN AND PAY MONEY TO COME VIEW THINGS. THAT'S HOW THEY EARN THEIR MONEY. HERS IS NOT AN EARNED MONEY.

IF THAT MAKES SENSE. >> ALL RIGHT.

[01:40:02]

>> SO I THINK -- >> I THINK WHAT WE -- BECAUSE THIS IS ONE TIME NONRECURRING MONEY WE WERE LOOKING AT INNOVATIVE WAYS IN ORDER TO SPUR INVESTMENT, HELP OUR WORKFORCE DEVELOPMENT EFFORTS IN THE COMMUNITY.

I THINK IN HIS PRESENTATION, MR. SAID THEY COULD USE THE MONEY FOR NEW EPA REQUIREMENTS WHICH IS ON OUR LIST OF THINGS TO CONSIDER ONCE ALL THE FINAL RULES AND REGULATIONS AND WE LAND ON A PLAN TO SPEND THAT MONEY SO WE HAVEN'T RULED IT OUT. WE JUST DON'T NEED TO GET IN A BUG HURRY TO OBLIGATE IT AND SPEND IT UNTIL WE KNOW EXACTLY WHAT WE CAN SPEND IT ON SO WE'RE NOT RISKING HAVING TO PAY IT BACK AND THEN SECONDLY ANYTHING THAT MAY BE INNOVATIVE THAT MAY

HELP OUR LOW TO MODERATE INCOME. >> JUST REMIND YOU HE HAS ONE BIG HOLE AND A ONE TIME FIRST STEP IS TO DIG THE HOLE AND IT'S A ONE TIME FEE AND NOT RAISING THE WATER RATES WOULD IN THE LONG TERM HELP OUR LOW INCOME FAMILIES ATTEND OF A PANDEMIC.

SO I WANT YOU TO KEEP HAMMERING ON THAT.

>> I THINK HE MENTIONED, YOU TIME INFLOW OF FUNDS IS NOT GOING TO CHANGE THE NEED FOR A RATE INCREASE BECAUSE YOU HAVE TO PROVE TO YOUR BOND COUNCIL THAT YOU CAN PAY YOUR DEBT BACK OVER 20, 30 YEARS SO ONE TIME INFUSION IS NOT GOING TO BE A

FIX. >> BUT THAT'S HIS BIGGEST -- THAT'S ONE OF THE BIGGEST CHARGES, DIGGING THE HOLE.

THAT'S ONE OF THE BIGGEST EXPENSES.

TO DIG THE HOLE. IF WE COULD TAKE THAT OFF AND BALANCE THE RATES FOR EVERYBODY THAT WOULD BE EQUITABLE FOR ALL

OF OUR COMMUNITY. >> GOT IT ON OUR LIST.

>> OKAY. SO MY NEXT QUESTION IS KIND OF A HARD ONE AND I MIGHT BE JUMPING THE GUN A LITTLE BIT BUT WHEN I REVIEWED THE BUDGET, I NOTED THAT PARKS AND REC IS DIVIDING OUT AND I KNOW THAT WE'RE GOING TO DO THAT PRESENTATION, IS DIVIDING OUT WITH BUILDING AND FACILITIES AND MAINTENANCE.

THEY'RE DIVIDING. BUT IN THIS BUDGET, PARKS AND REC ONLY DECREASES BY .9% WHILE THE BUILDING FACILITIES IS REQUESTING TWO VEHICLES AND $1.2 MILLION.

SO HOW IS THAT AS WE'VE SAID AN EVEN EXCHANGE ON OUR BUDGET?

>> SO I ACTUALLY HAVE -- WE WORKED ON THIS BECAUSE I GUESS I HAD A FEELING AT THE TIME WE WERE WORK ONNING IT THAT THIS WOULD COME UP. PART OF THE STRUGGLE AND WHY YOU'RE NOT SEEING THAT DECREASE IS TWO PIECES.

NUMBER ONE, FY 20 SHE WAS 23409 FULLY STAFFED FOR ANY PARKS OR THE MAINTENANCE PART OF PARKS. 19 WAS NOT SO GOOD.

IT WAS OKAY. BUT IT'S NOT GREAT EITHER.

2 IS SHE WAS NOWHERE NEAR FULLY STAFFED IN 21 UNTIL RECENTLY.

SHE'S JUST NOW GETTING AND SHE'S STILL STRUGGLING TO GET THOSE EMPLOYEES HIRED. SO WHAT YOU'RE LOOKING AT ARE ACTUAL RESULTS OF THE PARKS AND REC DEPARTMENT.

WHILE ACTUAL IS NOWHERE NEAR REALITY BECAUSE YOU'RE LOOKING AT BASICALLY IT'S A COMPANY WHO WAS SHUT DOWN.

THEY ONLY DID THE BARE MINIMUM BECAUSE WE WERE NOT ALLOWED TO HAVE EVENTS. EVERY TIME SHE PLANNED AN EVENT SHE HAD TO CANCEL IT. SO THE FAIR COMPARISON IS TO TAKE ORIGINAL BUDGET FROM FY 20 WHICH PLANNED FOR A HUNDRED PERCENT STAFFING AND I'M WILLING TO SHARE THIS WITH YOU.

IT SHOWS THAT AMOUNT THEN YOU ALSO HAVE TO INCREASE THAT BUDGET BY THE GENERAL WAGE INCREASES THAT WE PLANNED FOR 21 AND THE GENERAL WAGE INCREASES WE PLANNED IN 22.

THAT SHOWS A REDUCTION IN OVER $844,000 IN HER BUDGET BUT IT'S NOT FAIR TO COMPARE IT TO MAYBE HALF STAFFED DEPARTMENT FOR A

[01:45:01]

YEAR. >> IF YOU -- SHE HAS A 7% INCREASE FROM 2020, FROM WHAT YOU GAVE US.

2020 TO 2022 DISCOUNTING 21, THERE'S A 7% INCREASE FROM 2020.

>> SHE STILL WASN'T FULLY STAFFED IN 2020.

>> RIGHT BUT WE'RE -- BUT DID THAT EQUATE TO $1.2 MILLION IN

FINANCING? >> WELL --

>> I ALSO SEE THERE'S FIVE VEHICLES ON THIS REQUEST AND THERE'S TWO VEHICLES IN THE REQUEST FOR THE BUILDING OF FACILITIES MAINTENANCE SO THAT'S A TOTAL OF SEVEN NEW VEHICLES AS

WELL. >> HER FULLY STAFFED BUDGET FOR FY 20 SHOULD HAVE BEEN JUST SALARIES AND BENEFITS, SHOULD HAVE BEEN NEARLY $5.5 MILLION. BUT THE ACTUAL WAS 4.6 SO THERE'S ALMOST A MILLION DOLLARS RIGHT THERE.

A LOT FE HER POSITIONS ARE SEASONAL.

IF SHE COULD NOT FILL THEM, THE EXPENSE IS NOT THERE.

SO THERE'S ALMOST A MILLION RIGHT THERE.

>> BUT IF YOU COMBINE THESE THIS IS A HUGE INCREASE SO I MEAN I'M JUST -- WE'RE TELLING THE COMMUNITY THAT IT'S A ZERO DEFICIT BUT WHEN YOU LOOK AT THE NUMBERS, I MEAN, IT DOESN'T SHOW

THAT. >> I EXPLAINED TO YOU ALL THAT WE HAVE SKEWED NUMBERS BECAUSE OF COVID AND THAT IS THE EXACT EXAMPLE OF WHY IT'S NOT FAIR TO COMPARE THOSE YEARS.

FROM MY DEPARTMENT IT WOULD NOT HAVE BEEN A BIG DEAL TO COMPARE BECAUSE ALL MY PEOPLE COULD STILL WORK BUT WHEN YOU'RE LOOKING AT A DEPARTMENT WHOSE WHOLE THING IS PUTTING UP EVENTS, MAINTAINING PARKS, HOLDING COMMUNITY CENTERS AND PROGRAMS AND SPORTS ACTIVITIES THAT EVERY ONE OF THEM WAS SHUT DOWN, THEY'RE PART TIME SEASONAL PEOPLE WE DIDN'T BRING THEM ON BOARD. THERE WAS NO NEED TO HIRE THEM IF WE HAD NO EVENTS. SO A MAJORITY OF HER BANALITY WAS NOT SPENT BECAUSE SHE COULD NOT HAVE HER EVENTS.

>> SO WHAT PERCENT -- OR HOW MUCH OF THE $0.20 INCREASE, HOW MUCH OF THAT IS GOING TO GO TO THE GENERAL FUND AND HOW MUCH OF THAT WILL GO INTO TRANSPORTATION 2020? BECAUSE I HAVE BEEN TELLING PEOPLE THAT IT'S ALL FOR TRANSPORTATION AND NOW WE'RE HAVING A DIFFERENT CONVERSATION.

>> NO. WE'RE STILL SAYING THE SAME THING. THE WHOLE $0.20 IS ABSOLUTELY BEING SPENT ON TRANSPORTATION. WE HAVE A NEW CREW THAT'S PART -- IT'S THE STREET DEPARTMENT, PURELY STREET DEPARTMENT. THERE IS NO OTHER DEPARTMENT RECEIVING ANY OF THIS MONEY. AND I'VE SAID THIS FROM THE DAY WE GOT THE 20% INCREASE THAT THE MAYOR AND I TALKED ABOUT.

IT'S -- I HAVE A LIST OF THOSE ITEMS THAT WAS UP ON THE SCREEN THAT'S BEING PAID FOR BY THE STREET DEPARTMENT INCLUDING THE VEHICLES THEY NEED TO MAINTAIN THOSE ROADS.

IT INCLUDES THE LOADERS, STRIKERS, THE SNOW PLOW, THE SALT SPREADERS. THINGS THAT, THAT CREW NEEDS TO MAINTAIN OUR ROADS AND THAT'S $1.5 MILLION AND THEN THE BALANCE OF THE $5.3 MILLION IS BEING TRANSFERRED TO THE CAPITAL PROJECTS FUND. THAT'S EVERY PENNY OF THE $0.20.

AND IT'S IN YOUR SLIDES. >> ALL RIGHT.

SO BUT WHEN I GO THROUGH AND COMPARE THE BUDGET EACH YEAR THERE'S AN LIKE IF I COMPARE THE POLICE 2020 TO 2022, THERE'S A 25% INCREASE. IF I COMPARE THE BUILDING AND CODES 20 TO 22 IT'S 12.8. FINANCE IS 13.56.

SO THERE IS -- ALL THROUGH THIS THERE DID AN INCREASE THAT EACH ONE OF THESE BUDGETS GARAGES AND WE ARE PURCHASING -- SIT NORMAL FOR US TO PURCHASE APPROXIMATELY I THINK OVER 25 VEHICLES NOT TO INCLUDE THE VEHICLES THAT WE'RE PURCHASING WITH THE COVID FOR THE POLICE DEPARTMENT IS THAT NORMAL?

>> IT'S ACTUALLY LOW. THAT'S ACTUALLY A LOW AMOUNT BECAUSE TYPICALLY, THE LAST COUPLE OF YEARS WE HAVE EITHER USED SPECIAL REVENUE FUNDS TO PURCHASE THE CARS FOR THE POLICE DEPARTMENT OR WE'RE USING COVID MONEY TO PURCHASE THE VEHICLES.

THAT'S VERY NORMAL. AND, YES, EVERY DEPARTMENT DOES HAVE AN INCREASE BECAUSE OUR COSTS TO 3R0 VIED OUR SERVICES HAS INCREASED. POLICE AND FIRE WILL SEE ONE OF THE LARGEST INCREASES BECAUSE OF THE PAY PLAN THAT WAS IMPLEMENTED. WE HAD GOTTEN SO FAR BEHIND ON

[01:50:02]

YOU'RE COMPARING A PORTION OF A YEAR WITH THE NEW PAY FOR THE POLICE AND FIRE DEPARTMENT WHICH IS THE LARNLEST PART OF OUR BUDGET TO AN ENTIRE YEAR ON THE NEW PAY PLAN.

AND I THINK BETWEEN POLICE AND FIRE COMBINED IT WAS LIKE $4.5 MILLION JUST TO PUT IT INTO PLACE IN MARCH.

SO MARCH, APRIL, MAY, JUNE, FOUR MONTHS.

SO THAT'S WHY IT WAS SO SIGNIFICANT.

>> I JUST WANT TO ALSO ADD THAT WE HAVE A GREAT DEAL OF THE CARES MONEY COMING IN AND I WANT TO MAKE SURE THAT WE ONLY ASK FOR THE BARE MINIMUM OF A TAX INCREASE EVEN IF WE HAVE TO COME BACK OUT NEXT YEAR AND DOE AGAIN.

IF WE DON'T DOIT ALL THIS YEAR WE NEED TO PROTECT OUR RESIDENTS. THIS HAS ALSO BEEN A VERY DIFFICULT YEAR FOR OUR RESIDENTS.

MANY OF THEM LIVING ON UNEMPLOYMENT.

MANY OF THEM GOING WITHOUT HEALTHCARE OR INCREASED HEALTHCARE COSTS SO I'M GOING TO DO SOME MORE RESEARCH BUT I JUST WANT TO MAKE SURE THAT WE ARE ASKING FOR THE LOWEST AMOUNT EVEN IF WE HAVE TO GO OUT AND DO THIS AGAIN NEXT YEAR.

THAT'S ALL I HAVE FOR RIGHT NOW. THANK YOU.

>> THANK YOU. COUNCILPERSON SMITH, YOU ARE

RECOGNIZED. >> THANK YOU, MAYOR.

THANK YOU FOR THE REPORT. I DON'T HAVE TO ASK TOO MANY

QUESTIONS. >> OKAY. I ONLY HAVE ONE I

THINK. >> OKAY.

>> MINE IS PERTAINING TO MONEY THAT THE CITY WILL BE PROVIDING IN RELATIONSHIP OR SUPPORT TO WHAT THEY'RE DOING.

WHAT ARE WE LOOKING AT AND HOW MUCH ARE WE GOING TO SUPPORT THE COUNTY? DO WE HAVE AN INTERLOPER

AGREEMENT OR, YOU KNOW -- >> THE $100,000 YOU'RE TALKING

ABOUT? >> YES.

>> SO STATE LAW SAYS THAT ABSENT AN AGREEMENT THERE'S A FORMULA USED TO PAY FOR PROPERTY ASSESSOR SERVICES.

DO YOU REMEMBER AARON HESTER, OUR COUNTY ASSESS RE CAME FORWARD AND TALKS ABOUT WHAT SHE DOES.

SHE APPRAISES ALL THE PARCELS AND PROVIDES US WITH A LIST AND THAT'S HOW EH WITH BILL OUR PROPERTY TAX.

THE AGREEMENT IN MY OPINION IS NOT FAIR AND MAYBE IT'S FAIR IF THERE'S MULTIPLE CITIES IN ONE COUNTY.

WE ARE ONE CITY IN ONE COUNTY. THE WAY THE FORMULA LOOKS WE WOULD BE PAYING A SIGNIFICANT PORTION OF THEIR BUDGET OUT OF THE CITY. WELL, THE MAJORITY OF THE

PARCELS ARE IN THE CITY. >> RIGHT.

>> SO WE WOULD HAVE A HUGE CHUNK TO PAY AND I DIDN'T THINK THAT WAS FAIR BECAUSE NOW YOUR COUNTY TAXPAYERS TOO AND CITY TAXPAYERS SO YOU'RE PAYING IN THE COUNTY'S BUDGET TO PAY FOR THE APPRAISAL SERVICES AND THEN YOU PAY AGAIN IN THE CITY'S BUDGET AND THE SAME PIECE OF PROPERTY IS BEING APPRAISED ONE TIME.

SO WE WENT BACK AND FOESHTH AND WHEN THIS MAYOR CAME ON BOARD I TOLD HIM MY STRUGGLE AND WE DECIDED THAT WE WERE GOING TO APPROACH THE COUNTY AND COME UP WITH AN AGREEMENT AND THEN IF WE COULD AGREE BECAUSE WE DON'T HAVE A PROBLEM IF SHE'S DOING SOMETHING FOR US WE'RE GOING TO PAY FOR THE SERVICE.

THE OTHER PIECE THAT IS -- >> I'M NOT TRYING TO BE BACK AND

[01:57:28]

WHATEVER YOU WANT TO CALL IT. BUT I JUST THINK IT'S -- WE JUST NEED TO MAKE SURE THAT WE'RE STANDING OUR GROUND.

>> AND WE ARE. AND WE HAVE LIKE THE MAYOR SAID WE'VE BEEN WORKING ON THIS FOR A LONG TIME AND THIS WAS OUR PROPOSAL TO ACTUALLY 100,000 WOULD HELP REPAY WHAT WE HAVEN'T PAID BECAUSE WE WERE TRYING TO COME TO SOME KIND OF AGREEMENT AND I THINK IT'S REASONABLE. I MEAN, IF THEY DON'T PROVIDE US THAT FILE WE CAN'T BILL OUR TAXPAYERS.

WE CAN'T BILL PROPERTY TAXES. WE'RE SHORT 34, $36 MILLION.

>> I WANT TO JUST MAKE SURE. YOU KNOW.

JUST FOR THE SAKE OF THE CITIZEN THAT I'M ASKING THESE QUESTIONS.

TO MAKE SURE THEY UNDERSTAND BECAUSE I DIDN'T QUITE UNDERSTAND IT. SO I JUST WANTED TO MAKE SURE.

THANK YOU. >> THANK YOU.

IN LIGHT OF THE FACT WE'VE BEEN GOING TWO HOURS, LET'S TAKE A TEN-MINUTE BREAK. WE WIL

>>> WE HAVE A COUPLE MORE MEMBERS WHO WISH TO ASK QUESTIONS SO WE WILL START WITH COUNCILMEMBER ALLEN.

>> SO I HAVE MY FIRST QUESTION IS I'M LOOKING AT THE CAPITAL PROJECTS AND I KNOW WE'VE BEEN DISCUSSING THE NORTHEAST RECREATIONAL CENTER, THE NORTH -- BUT I DON'T SEE IT ON

THE CAPITAL PROJECTS. >> SO WHAT YOU'RE GOING TO SEE HERE ARE ONLY THE CAPITAL PROJECTS THAT NEED NEW FUNDING OR HAD A CHANGE. SO THE NORTH CLARKSVILLE RECREATION CENTER IS STILL THERE.

THE PROJECT DID NOT GO AWAY. IT'S IN OUR ACTIVE CAPITAL PROJECTS THAT'S BEING WORKED ON. THERE WAS NO ADDITIONAL FUNDS BEING ADDED TO THAT PROJECT SO IT WOULD NOT BE LISTED HERE.

THIS IS NOWHERE NEAR ALL THE PROJECTS WE HAVE GOING ON.

>> DO YOU A LIST OF THE PROJECTS?

ALL THE CAPITAL PROJECTIONS? >> WE HAVE ONE IN THE FINANCE

COMMITTEE AGENDA EVERY MONTH. >> OKAY. ALL RIGHT.

AND THEN MY NEXT QUESTION IS THE PREVIOUS SPEAKER BEFORE ME WAS TALKING ABOUT THE HUNDRED THOUSAND DOLLARS FOR THE COUNTY.

OKAY. SO I'M SEEING THAT YOU PUT $100,000 IN THERE FOR LAST

[02:00:02]

WHY ARE WE ADDING ANOTHER $100,000 AGAIN AND WE HAVE NOT

COME UP WITH THIS AGREEMENT YET. >> BECAUSE WE ACTUALLY THOUGHT WE WOULD HAVE HAD IT DONE BEFORE NOW BECAUSE WE HAD VERBAL AGREEMENTS BASICALLY. SO WE THOUGHT WE HAD REALLY COME TO TERMS BEFORE. WE HAVE NOT PAID A COUPLE OF YEARS AND THE COUNTY KNEW THIS. WE WERE WORK ONNING THIS AND THEY'RE NOT MAD AT US AND THEY'RE NOT MAD YOU THEM WE JUST NEED TO COME TO AN AGREEMENT BECAUSE THE WAY THE STATE CODE SAID WAS NOT FAIR TO US AND THEY ACTUALLY TOLD ME THE OTHER DAY WHEN WE MET THEY DIDN'T THINK IT WAS FAIR EITHER.

SO WE HAVE TO GET A WRITTEN AGREEMENT.

THERE HAS TO BE AN AGREEMENT IN ORDER TO PAY THEM SO WE HAVE A COUPLE OF YEARS WE NEED TO MAKE UP FOR TIME ON SO PART OF OUR PROPOSAL WAS LET'S COME UP WITH A NUMBER THAT WE THINK IS REASONABLE FOR EACH YEAR AND WE'LL PUT THAT IN THE AGREEMENT AND THEN BECAUSE I HAVEN'T PAID YOU FOR A COUPLE OF YEARS WE'LL ADD A LITTLE EXTRA EACH YEAR UNTIL WE PAY THAT OFF.

>> SO THIS BUDGET ENDS WHAT DAY? THE 30TH?

>> JUNE 30TH. >> JUNE 30TH.

IS THAT AGREEMENT GOING TO BE DONE BECAUSE DOESN'T HAVE

$100,000 HAVE TO BE SPENT? >> WE'D HAVE TO PAY THE BILL BEFORE ACTUALLY WE HAVE TO PAY IT WE'VE ALREADY RECEIVED THE SERVICE BECAUSE WE GOT THE TAX FILE FROM THE ASSESSOR AND WE'VE HAD THE USE OF THE GIS SYSTEM SO WE HAVE UNTIL USUALLY JULY 15TH TO ACTUALLY CUT THE CHECK FOR BILLS FOR SERVICES THAT WERE

RECEIVED IN JUNE. >> SO THE CURRENT BILL IS

$100,000? >> WE DON'T KNOW YET BECAUSE WE HAVE NOT COME TO THAT AGREEMENT YET.

THAT'S WHAT WE THINK. I WANTED TO PUT MONEY THERE BECAUSE IF WE DO COME TO AN AGREEMENT LET'S SAY WE GET THE MAYORS TO AGREE 100% AND THEN WE TELL THEM DRAFT UP THIS AGREEMENT AND WE HAVE ALL THE TERMS TOGETHER.

NOW I HAVE TO WAIT ANOTHER YEAR TO PAY THEM BECAUSE I CAN'T GET ANOTHER BUDGET AMENDMENT BEFORE JUNE 30TH SO IF WE PUT IT THERE NO HARM NO FOUL BECAUSE IF IT DOESN'T HAPPEN AND WE DON'T PAY THEM THE $100,000 GOES BACK INTO OUR FUND BALANCE SO IT'S NOT LIKE WE'RE OUT THAT MONEY. WE JUST PUT IT THERE SO IF WE DO COME TO THAT AGREEMENT WE CAN PAY THEM AND GET BACK ON TRACK

WITH WHAT WE SHOULD BE PAYING. >> THANK YOU.

I DON'T HAVE ANY OTHER QUESTIONS.

>> SHE'S DONE. >> I'M SORRY.

PARDON ME. COUNCILPERSON LITTLE, YOU'RE

LAST ON MY LIST. >> THANK YOU.

THANK YOU FOR ALL THE INFORMATION.

I JUST HAVE ONE QUICK QUESTION. I KNOW WE WERE TALKING ABOUT THE $0.20 INCREASE IN THAT I THINK THE STREET DEPARTMENT YOU SAID WAS GOING TO GET BY 1.5 MILLION. DO WE KNOW HOW MUCH OF THAT IS JUST GOING TO BE A ONE TIME PURCHASE?

>> SURE DO. I THINK THIS IS IN YOUR SLIDES BUT OUT OF THE 1.5 MILLION THE NEW CREW SO THE EMPLOYEE IS ONLY $222,000. THE REST IS ALL ONE TIME

PURCHASES. >> OKAY. THANK YOU.

>> OKAY. ANY OTHER QUESTIONS? SEEING NONE, YOU'RE DISMISSED FOR A MOMENT. OKAY. WE HAVE ANOTHER PRESENTATION. WILL WYATT IS GOING TO TALK TO US ABOUT THE RETIREE PLAN PROPOSAL THAT'S INCLUDED BEFORE YOU IN THE BUDGET. SO, WILL, YOU ARE RECOGNIZED.

>> THANK YOU, MAYOR. GOOD EVENING.

>> BREVITY, THY NAME IS WILL. >> I WILL ATTEMPT TO BE BRIEF.

GOING TO BE TALKING ABOUT RETIREMENT HEALTH INSURANCE FOR EMPLOYEES. CURRENTLY WE HAVE TODAY WE HAVE 1,260 REGULAR FULL TIME EMPLOYEES.

OUT OF THOSE EMPLOYEES 894 ARE NOT ELIGIBLE FOR RETIREMENT HEALTHCARE. SO THAT MEANS WE'VE GOT 366 EMPLOYEES GRANDFATHERED IN TO AN OLD PLAN THAT WAS DONE AWAY WITH IN 2016. MAYBE TALKING ABOUT A FEW TERMS DURING THIS PRESENTATION AND AS MANY OF YOU KNOW I LIKE TO SEND OUT INFORMATION AHEAD OF TIME SO YOU CAN READ IT.

RETIREMENT HEALTHCARE IS NOT A SIMPLE CONCEPT.

IT'S PRETTY COMPLEX SO I WANTED TO GIVE THE COUNCIL TALK TO YOU IN PERSON AND GIVE YOU AN OVERVIEW OF IT AND I HAVE A LOT OF DATA I CAN SEND THAT YOU CAN READ OVER AND LOOK AT REPORTS AND OTHER THINGS THAT THIS PROPOSAL IS BASED ON.

>> I'LL START OFF TALKING ABOUT OUR CURRENT HEALTH INSURANCE PLAN. WE HAVE A SELF-INSURED PLAN WITH

[02:05:03]

WHAT THAT MEANS IS UNDER A SELF-INSURED PLAN THE CITY PAYS ALL CLAIMS INCURRED BY EMPLOYEES AND THEIR DEPARTMENTENS THAT -- DEPENDENTS ON THEIR HEALTH PLAN. ANYTHING BEYOND THAT AMOUNT IS PICKED UP BY REINSURANCE. AETNA IS OUR REINSURER.

SO IF WE HAD A MILLION DOLLARS PLAN THE REINSURER PICKS UP THE COST OF THOSE UNEXPECTED CLAIMS AND THE REASON WHY WE GOT TO THE POINT OF BEING SELF-INSURED, THE CITY PREVIOUS TO ME GETTING HERE, HR DIRECTOR, WE WERE FULLY INSURED AND THAT MEANS WE PAY A MONTHLY PREMIUM FOR ANOTHER INSURER TO COVER THE COST OF CLAIMS. NO MATTER HOW EXPENSIVE THEY ARE. THE PROBLEM IS THAT WE REALIZED HOW MUCH WE WERE PAYING EVERY MONTH AND HOW MUCH WE KNEW ABOUT HOW MUCH OUR CLAIMS WERE AND THE DIFFERENCE BETWEEN WHAT WE WERE PAYING FOR PREMIUMS AND CLAIM ACES WAS SIGNIFICANT, IT WAS HUGE. SO WE STARTED RESERENELYING, MOVING TOWARDS A SELF-INSURED PLAN MUCH LIKE OUR ON THE JOB INJURY PLAN PRETTY MUCH EVERYTHING THAT WE HAVE AT THIS POINT IS WE ARE SELF-INSURE SOD WE ARE THE INSURER.

WE ARE BEARING THE RISK WHICH OF COURSE WE HAVE RE SURENESS FOR MOST OF OUR PROGRAMS SO IF THERE IS SOMETHING UNEXPECTED WE'VE DRAWN A BOX AROUND THAT RISK. EXCUSE ME.

EVERY YEAR, EVERYBODY IN THIS ROOM KNOWS HEALTH INSURANCE IS NOT GETTING ANY CHEAPER. IT GOES UP EVERY YEAR.

AND IT IS ALMOST -- IT'S GETTING TO THE POINT WHERE IT'S HARD TO CONTAIN THAT COST. SO IN LOOKING AT A SELF-INSURED PLAN WE WANTED TO NUMBER ONE STILL PROVIDE QUALITY SERVICE TO OUR EMPLOYEES AND THEIR DEPENDENTS ON THE PLAN BUT ALSO CONTAIN COSTS. AND SO IN 2013, WE STARTED AN ON SITE HEALTH AND WELLNESS CENTER FOR OUR EMPLOYEES AND THEIR DEPENDENTS. AND I WAS -- I REMEMBER SPEAKING TO THE COUNCIL AT THAT POINT AND -- HE'S GOING TO REMEMBER THIS, BUT I STOOD IN FRONT OF THE COUNCIL AND SAID WE ANTICIPATE NOT JUST AS A BENEFIT TO OUR EMPLOYEES BUT WE'RE GOING TO SAVE MONEY AT THE SAME TIME. THAT'S ALWAYS THE GOAL WE HAVE, TO DO THE RIGHT THING AND TAKE CARE OF OUR PEOPLE BUT ALSO TRY TO CONTAIN COSTS. BUT AT THAT POINT I SAID WE ANTICIPATE SAVING $5.5 MILLION OVER A FIVE-YEAR PERIOD SO OF COURSE A LOT OF PEOPLE THOUGHT THAT'S NOT POSSIBLE.

HOW IS THAT GOING TO HAPPEN. AND WE WENT THROUGH HOW WE WERE GOING TO ACHIEVE THAT SO I'M HAPPY TO SAY THAT WE HAVE SURPASSED THAT GOAL. WE HAVE SAVED MILLIONS AND MILLIONS OF DOLLARS WHILE PROVIDING BETTER SERVICE TO OUR EMPLOYEES AND THEIR DEPENDENTS. NOW, THE ONLY WAY THAT WE CAN CONTAIN HEALTHCARE, THE COSTS OF MEDICAL COSTS IS TO HAVE CHEAPER CLAIMS AND FEWER CLAIMS. AND SO THE ONLY WAY TO DO THAT IS TO HAVE A HEALTHIER WORKFORCE AND SO WITH OUR WENESS PLAN AND OUR INITIATIVE, WE'RE IDENTIFYING THOSE FACTORS THAT LEAD TO EXPENSIVE CLAIMS DOWN THE ROAD AND WE TRY TO STOP THOSE BEFORE THEY GET OUT OF CONTROL SO TYPE II DIABETES, FOR EXAMPLE. SOMEONE THE PREDIABETIC, WE WANT TO IDENTIFY IT AND GET THEM ON A HEALTHY PLAN TO AVOID THOSE EXPENSIVE CLAIMS. IN 2013 WE OPENED THE CLINIC.

ABOUT EIGHT MONTHS LATER, WE O OPENED -- 2014, WE NITTY SELF-INSURED, YOU MAY SAY WHAT DOES THIS HAVE TO DO WITH RETIREMENT HEALTHCARE.

GOOD QUESTION. I'M GLAD YOU ASKED.

SO IN 2016, NATIONWIDE, EVERY PUBLIC ENTITY WAS FACED WITH SOMETHING THAT THE GOVERNMENTAL ACCOUNTING AND STANDARDS BOARD IMPLEMENTED BALLED GASBY 45 AND THAT REQUIRES PUBLIC ENTITIES TO RECOGNIZE THE LIABILITY THAT A PROMISE THAT THEY HAD MADE ABOUT OPED THAT'S OTHER POST EMPLOYMENT BENEFITS OTHER THAN PENSIONS. WE HAVE PROMISED YOU A CERTAIN AMOUNT OF MONEY IN RETIREMENT. THAT REPRESENTS A LIABILITY.

SO DOES HEALTHCARE. AND SO AT THE TIME RETIREES 306 HAD WHAT'S CALLED A DEFINED BENEFIT.

WHAT THAT MEANS IS WE'RE GOING TO COVER THE COST OF YOUR HEALTH INSURANCE FOR LIFE NO MATTER HOW EXPENSIVE IT GETS.

SOT IF THE COST OF HEALTH INSURANCE GOES UP 10,000% THE CITY IS ON THE HOOK FOR THAT. AND SO EVERYWHERE I MEAN I WAS IN CALIFORNIA AT THE TIME. OUR LIABILITY WAS $2 BILLION

[02:10:03]

AT THAT TIME, THE CITY COUNCIL VOTED SIMPLY TO DO AWAY WITH RETIREMENT HEALTHCARE ALL TOGETHER.

WE WERE EXPLORING OPTIONS LIKE SETTING UP A TRUST TO OFFSET THAT LIABILITY. A LOT OF PEOPLE WENT TO WHAT'S CALLED A DEFINED CONTRIBUTION WHICH IS ACTUALLY THE PLAN -- PART OF THE PLAN THAT WE'RE PROPOSING AND THAT'S A SET AMOUNT THAT RETIREES GET EVERY MONTH TO OFFSET OR PAY FOR THE COST OF A HEALTH INSURANCE PLAN. NOW, AS I SAID, THE DEFINED BENEFIT THEN WE WERE UNDER A FULLY INSURED PLAN SO WE PAID $725,000 A MONTH I THINK NO MATTER WHAT THE CLAIMS WERE.

A LOT OF MONEY. AND, AGAIN, UNDER THAT PLAN NO MATTER WHAT THE HEALTH CARE COSTS WERE, WE HAD PROMISED THAT SO IT'S A LIABILITY. SO WHEN THE CITY COUNCIL VOTED TO DO AWAY WITH THAT, THEY GRANDFATHERED IN ALL EMPLOYEES.

366 PEOPLE THAT STILL HAVE RETIREMENT HEALTHCARE BENEFITS WHEN THEY RETIRE AND SO THEY'RE GOING TO MAINTAIN THAT SO I WANT TO BE CLEAR WHAT WE'RE PROPOSING IS NOT GOING TO CHANGE ANYTHING FOR THE PEOPLE THAT HAVE ALREADY EARNED THAT BENEFIT THAT WERE HIRED BEFORE JULY 1ST OF 2006. NOW, OUR PUBLIC SAFETY DEPARTMENTS, POLICE AND FIRE, IN THE 2009, WE WENT WITH WHAT'S CALLED THE BRIDGE PLAN. AND THAT IS THROUGH THE TENNESSEE CONAL DATED RETIREMENT SERVICE, TCRS, THEIR PENSION E, THE BRIDGE PROGRAM ALLOWED POLICE OFFICERS, FIREFIGHTERS TO RETIRE EARLY AND IT ALSO GAVE THEM AN ENHANCED PAYOUT UP UNTIL AGE 62. SO IT'S A VERY ROBUST PLAN.

IT REWARDS THEIR SERVICE. ET CETERA.

BOTH DEPARTMENTS THEY VOTED ON THIS.

IT WAS NOT UNANIMOUS AND THERE WERE SOME PEOPLE THAT DIDN'T LIKE IT. ONE OF THE REASONS THAT A FEW PEOPLE DID NOT LIKE THE PLAN WAS THAT IT HAD A MANDATORY RETIREMENT AGE OF 60. SO IF YOU'RE A POLICE OFFICER AT 58 YOU HAVE TWO YEARS. SO ADMINISTRATIVE PERSONNEL THAT ESSENTIALLY SIT BEHIND A DESK FOR TWO HOURS OR MORE, COUNCIL PERSON LITTLE IS NODDING HIS HEAD.

YOU'RE UNDER THE BRINELL AS WELL RIGHT.

WE BEGAN THE EXTENSIVE RESEARCH, STUDIES, LOOKING AT DIFFERENT OPTIONS, ET CETERA. AND SO NOT TO THROW TOO MANY NUMBERS OUT HERE BUT ONE OF THE OPTIONS THAT WE LOOKED AT WAS DIFFERENT FOLKS ARE SAYING CAN WE GRANDFATHER IN THOSE 37 PEOPLE WHO WERE HIRED WITHIN THOSE THREE YEARS CAN WE GRANDFATHER THEM IN WITHIN THE OLD PLAN? AS I TALKED ABOUT BEFORE, WE PAY -- WE'RE SELF-INSURED NOW WE

[02:15:05]

SO FOR 37 PEOPLE TO BE GRANDFATHERED IN TO A DEFINED BENEFIT WHICH IS -- AND THIS WAS WE SET THE LIMIT TO AGE 65, THESE BE ON OUR HEALTH INSURANCE WHICH MEANS THAT THE CITY IS PAYING FOR THOSE CLAIMS THE LIABILITY FOR THAT WOULD BE $4.83 MILLION AND IF WE DECIDED TO FUND THAT ON AN ANNUAL BASIS THAT WOULD BE $324,000 ANNUALLY. AGAIN THESE ARE ACTUARIAL NUMBERS. THEY'RE TRYING TO USE A CRYSTAL BALL TO COME UP WITH SOME OF THIS STUFF.

THEY'RE SAYING IF YOU WANT TO OFFSET THAT COST AND PUT THAT INTO SOME FUND YOU'RE GOING TO WANT TO PUT 324 GRAND AWAY.

SO IT'S 37 PEOPLE IN POLICE AND FIRE.

A LOT OF PEOPLE HAVE BEEN HIRED SINCE 2009.

SO WHAT WE LOOKED AT WAS A SOLUTION THAT WOULD ACCOUNT FOR FIRST OF ALL ALL PUBLIC SAFETY AND THEN WE ASKED THEM TO LOOK AT A FUNDING AMOUNT FOR A DEFINED CONTRIBUTION TO GO INTO A FUND TO HELP OFFSET OR PAY FOR THE COST OF HEALTH INSURANCE IN RETIREMENT. THE DIFFERENCE IS THAT WHEN SOMEONE RETIRES UNDER A PLAN LIKE THAT, THEY'RE NO LONGER ON OUR INSURANCE. THERE'S ANOTHER INSURER THAT IS PAYING FOR THOSE CLAIMS. SO IF WE COULD WAVE A MAGIC WAND AND HAVE EVERYONE OFF OUR PLAN THAT'S WHAT WE WOULD DO IN ORDER TO SAVE MONEY BUT WE CAN'T DO THAT SO WE ARE THE INSURER.

WITH A PLAN AT THE TIME WE WERE FUNDING $800 PER MONTH FOR HEALTH INSURANCE ESCAPE AND PHARMACY.

THAT'S HOW MUCH WE PUT THE DEPARTMENT'S PUT INTO THEIR FUND TO PAY INTO THE HELL FUND TO KEEP THAT AT A BALANCE THAT WE CAN PAY FOR THESE CLAIMS. AND SO WITH THE PROPOSED PLAN THAT THE ACTUARY DID AN ANALYSIS ON THE LIABILITY IS 4.12 MILLION. $700,000 OF LIABILITY LESS THAN A DEFINED BENEFIT FOR THE 37. SO I KNOW I'M THROWING AROUND SOME NUMBERS HERE AND WE'LL HAVE TIME AT THE END TO ANSWER QUESTIONS. SO WHAT ARE THE ADVANTAGES OF A PLAN LIKE THIS? FIRST OF ALL, I'M NOT AWARE OF ANY LOCAL PUBLIC ENTITY THAT DOES NOT OFFER SOME SORT OF RETIREMENT HEALTHCARE FOR THEIR EMPLOYEES.

NEW EMPLOYEES INCLUDED. SO RECRUITMENT, RETENTION TOOL.

IF SOMEBODY GETS TO THE AGE WHERE THEY WANT TO RETIRE, FRANKLY, I WANT THEM TO BE ABLE TO AND WHAT THAT MEANS IS MED CARE DOESN'T KICK IN UNTIL AGE 65 AND SO ESPECIALLY FOR THE PUBLIC SAFETY FOLKS THEY'RE FORCED OUT AT 60, THEY'VE GOT FIVE YEARS TO FIGURE OUT SOME SORT OF SOLUTION FOR HEALTHCARE.

WITH THIS PLAN, THEY WOULD HAVE MONEY THAT IS SET ASIDE IN A HEALTH REIMBURSEMENT ACCOUNT. IT'S WHAT IT IS.

AND THAT MONEY WOULD HAVE TO BE USED FOR HEALTHCARE PURPOSES.

SO IT IS NOT JUST GOING INTO A FUND.

IT'S GOT TO BE HEALTHCARE RELATED.

SO IF YOU CAN IMAGINE WE DO KNOW THAT CLAIMS PEOPLE THAT ARE RETIREMENT AGE ARE MORE EX-PENIVE WHEN IT COMES TO CLAIMS. WE DO KNOW THAT.

AGAIN IF WE HAVE THE OPTION OF SAYING I KNOW ANECDOTALLY PEOPLE HAVE SAID I'M WORKING HERE, I LIKE MY JOB, BUT I'M STAYING FOR THE HEALTH INSURANCE. I COULD RETIRE OTHERWISE BUT I'M NOT GOING TO HAVE COVERAGE UNTIL AGE 65 WHEN MEDICARE KICKS IN.

SAY SOMEONE IS HERE ONLY FOR HEALTH INSURANCE PURPOSES AND THEY HAVE A BILLION DOLLARS CLAIM OR THEY HAVE A CANCER -- THEY DEVELOP CANCER OR A HIP OR KNEE REPLACEMENT.

WHATEVER THOSE THINGS ARE, THE CITY IS PAYING FOR THOSE CLAIMS AND SO WHEN WE LOOK AT THE FUNDING AMOUNT, WE'RE PUTTING -- 150 KNOUTS BECAUSE OF -- WE KNOW THE WORKFORCE WHO IS ELIGIBLE TO

[02:20:03]

IF YOU GET SEVERAL PEOPLE WITH KNEE REPLACEMENTS, $9,600 A YEAR TO FUND THIS, ONE KNEE REPLACEMENT IS GOING TO BE THREE TIMES THAT. SO FOR THOSE PEOPLE ON THE FENCE STAYING BECAUSE OF HEALTH INSURANCE WE WANT TO HELP THEM GO AHEAD AND HELP THEM INTO RETIREMENT SO THAT THOSE CLAIMS ARE ON ANOTHER REINSURER. THANK YOU.

I'M RETIRED MILITARY. STAYED FOR THE MEDICAL BENEFITS.

OUR BENEFITS HAVE BEEN SLOWLY AND SURELY BEEN DIMINISHING OVER THE YEARS SO I APPRECIATE YOU BRINGING THIS BACK UP.

I JUST -- I GOT A LITTLE CONFUSED.

SO FOR OUR FIRST RESPONDERS, WILL THERE BE A DIFFERENT LEVEL OF HEALTHCARE FOR THEM? WE HAVE OVER 200 MEDICATIONS ON SITE AS WELL AS MID LEVEL PROVISORS, NURSE PRACTITIONERS,

PAS, M.D.S AS WELL. >> AND WE'RE GOING TO PICK UP WHAT ABOUT THE FIRST RESPONDERS THAT HAVE RETIRED THAT ARE IN THAT WINDOW, YOU KNOW, 60 TO 65 RIGHTS NOW, IS THAT THE NUMBER THAT YOU'RE TALKING ABOUT BRINGING BACK INTO THIS PROGRAM?

OR WHAT ABOUT THOSE INDIVIDUALS? >> WELL, YOU KNOW, AND I DON'T HAVE THE NUMBERS OFF THE TOP OF MY HEAD.

I'M NOT SURE OF HOW MANY PEOPLE WERE HIRED BETWEEN 06 AND 09 THAT HAVE RETIRED ALREADY. THIS PLAN INCLUDES -- IT MIRRORS FOR VESTING PURPOSES, IT MIRRORS THE OLD PLAN.

SO TEN YEARS VESTING PERIOD AND THAT'S 50% OF THE VALUE OF THE PLAN. SO AT THAT POINT IT WOULD BE $400 PER MONTH ALL THE WAY AT 5% PER YEAR UP TO 20 YEARS OF SERVICE AT 55. AND SO I REALLY DON'T KNOW -- I WOULD HATE TO LOOK AT -- SHE'S SHAKING HER HEAD.

>> SHE'S NOT MAKING EYE CONTACT. >> SHE LOOKED AT YOU, NOT ME.

I'LL TAKE THAT AS A NO BUT WE CAN GET THAT INFORMATION.

>> I WAS JUST CURIOUS. I MEAN, I REALLY APPRECIATE THIS. I THINK THAT IT IS A GREAT INITIATIVE AND I SUPPORT IT. AND I JUST WANTED TO CLARIFY.

I ALSO SUPPORT THE WAGES INCREASE THAT WE'VE DONE OVER THE PAST YEARS. I THINK WE NEED TO CONTINUE KEEPING UP WITH THE REST OF THE WORLD AND PAYING A LIVING WAGE.

SO THANK YOU FOR WHAT YOU DO. I APPRECIATE IT.

>> YOU BET. >> COUNCILPERSON SMITH.

>> THANK YOU FOR THAT INFORMATION.

I ALWAYS FEEL IT'S GOOD INFORMATION AND YOU CHALLENGE US

TO MAKE A DECISION. >> THAT'S WHAT I DO.

>> MY CONCERN IS THIS: I KNOW YOU SAID THAT THERE ARE 37 EMPLOYEES THAT ARE HIRED AFTER 2006 WITH NO RETIREMENT HEALTH PLAN. AND YOU SAID THAT ARE YOU WANT TO GRANDFATHER CLOCK THEM IN AND THAT THE TOTAL AMOUNT FOR THEM TO BE IN IS $4.83 MILLION IN AN ANNUAL PAYMENT OF 324,000.

>> LET ME CLARIFY THAT. THAT'S A GOOD QUESTION.

THOSE 37 FOLKS ARE PART OF THE 894 THAT DON'T HAVE RETIREMENT HEALTHCARE. THOSE 37 WERE HIRED BETWEEN 06 AND 09 PRIOR TO THE BRIDGE PLAN BEING IMPLEMENTED.

WHICH MEANS THE DIFFERENCE BETWEEN THOSE 37 AND THE OTHER 860 PEOPLE IS THAT THEY CAME IN WITHOUT THE KNOWLEDGE OF A MANDATORY RETIREMENT AGE OF 60. THAT'S THE ONLY DIFFERENCE

[02:25:04]

I MEAN, WE HAVE TOSSED THIS AROUND SO MUCH THAT WE THOUGHT WELL OKAY IF WE JUST GRANDFATHER IT IN THESE 37 PEOPLE WHAT ABOUT THE PERSON THAT STARTED IN 2010. THEY'RE WORKING SIDE BY SIDE.

RIGHT NOW WE'VE GOT OVER 300 PEOPLE THAT HAVE A REALLY AMAZING PLAN THAT'S WORTH A LOT OF MONEY AND A LOT OF PEOPLE THAT DON'T HAVE THAT AND SO THIS ADDRESSES THOSE FOLKS AS WELL AS

EVERYBODY HIRED SINCE THEN. >> AND THEY DEFRNTLY NEED INSURANCE AND I AGREE WITH THAT BUT MY QUESTION IS THIS JUST THINKING ABOUT ANOTHER OPTION IF THEY'RE FORCED TO RETIRE AT 60, ARE THEY QUALIFIED TO DO THE STATE MARKET PLAN TO APPLY FOR THAT OR THE BIDEN INSURANCE? WOULD THEY BE MAKING TOO MUCH MONEY TO QUALIFY FOR THE BIDEN INSURANCE THAT'S AVAILABLE? AND THEN THEY'RE TALKING ABOUT CHANGING THE AGE ANYWAY FOR PEOPLE TO BE AVAILABLE TO RECEIVE MEDICARE.

YOU KNOW. BIDEN'S TALKING ABOUT THAT, THE PRESIDENT RIGHT NOW I SHOULD SAY IS TALKING ABOUT THAT.

SO I'M JUST THINKING WOULD THEY BE ELIGIBLE TO APPLY FOR THIS TYPE OF INSURANCE? OR WOULD THEY BE MAKING TOO MUCH

INCOME? >> I'M NOT SURE ABOUT -- YEAH.

THE WAGE REQUIREMENTS AND WE'D HAVE TO LOOK AT EXAMPLES OF WHAT SOMEONE WOULD BE MAKING UNDER THE TCRS PENSION PLAN AND ANY OTHER INCOME THAT THEY HAVE. SO I CAN'T SPEAK TO THAT RIGHT 2340U BUT I CAN SAY THAT THERE ARE PLANS AVAILABLE FOR EMPLOYEES -- FOR ANYBODY OUT THERE TO SIGN UP FOR CERTAINLY ANYTHING UNDER THE AFFORDABLE CARE ACT, ET CETERA.

SO OF COURSE IF MEDICARE AGE IS REDUCED THAT WOULD LOWER OUR

LIABILITY EVEN FURTHER. >> ALL RIGHT.

IF THE AGE IS REDUCED THAT WOULD BE GOOD FOR OUR POCKETBOOKS.

>> IT WOULD. >> ALL RIGHT.

THANK YOU. >> YOU BET.

>> R THANK YOU. WILL THE SELF-INSURED DOLLAR UP TO $125,000 THAT'S THE PART THAT WE'RE SELF-INSURED ON, DO THE EMPLOYEES PAY A PREMIUM FOR THAT?

IT COMES OUT OF THEIR PAY CHECK? >> YES, SIR, THEY DO.

>> WHAT'S THE AVERAGE YOU WOULD SAY?

>> THE INDIVIDUAL THIS IS WHY DENISE IS HERE.

SHE CAN SAY SPECIFICALLY. >> MAYBE THERE'S A CITY EMPLOYEE HERE THAT'S ABOUT 40 OR 35? 264 FAMILY AND 75 INDIVIDUAL AND OF COURSE THERE IS ALSO A DEDUCTIBLE BLAB SO $2,000 IS THE DEDUCTIBLE FOR THE INDIVIDUAL AND 4,000 FOR THE FAMILY. SO WHEN I SAY 125 YOU CAN POSSIBLY TAKE OFF A COUPLE THOUSAND DOLLARS FOR THE CITY'S LIABILITY IF THE EMPLOYEE IS PAYING THE FULL AMOUNT OF THAT I DEDUCTIBLE. HAVING SAID THAT WE ALREADY PROVIDE A HEALTH REIMBURSEMENT ACCOUNT.

WE HAVE $750 A YEAR INTO AN ACCOUNT FOR THE INDIVIDUAL AND THAT ROLLS OVER SO THEY MAY HAVE $2,000 IN AN ACCOUNT IF THEY HAVEN'T USED THAT FUNDING AND SO THAT MONEY IS TECHNICALLY CITY MONEY IF THEY SEPARATE THE CITY KEEPS THAT MONEY THAT'S IN THE HRA AND SO IF THEY HAD $2,000 AS AN INDIVIDUAL IN THEIR HRA AND USED THAT WE'RE PAYING THAT FULL AMOUNT OF 125 STOP LOSS.

>> AND ONCE YOU GO OVER THE $125,000 WHAT'S THE CAP ON THAT WHENEVER IT GOES TO THE COMMERCIAL POLICY?

>> THERE'S NO CAP THAT I'M AWARE OF ON THAT.

THERE'S NO CAP. >> JUST KEEPS GOING.

OKAY. THAT'S ALL I GOT. THANK YOU.

>> PERFECT. YOU BET.

>> COUNCILPERSON LITTLE, YOU'RE RECOGNIZED.

>> THANK YOU FOR THE INFORMATION AND EVERYTHING.

I DEFINITELY APPRECIATE THIS. WORKING IN THE PUBLIC SAFETY SECTOR. PUBLIC SAFETY DURING THEIR CAREER IN THIS FIELD THEY USUALLY HAVE A HIGHER MORTALITY RATE AND STUFF LIKE THAT AFTER RETIREMENT, HEALTH AND MENTAL ISSUES. IT'S A HIGH STRESS JOB AND ENVIRONMENT THAT YOU'RE DEALING WITH.

AND I REALLY APPRECIATE THAT WE'RE DOING SOMETHING LIKE THIS BECAUSE YOU ASK A LOT OF THEM OVER THEIR CAREER AND IT'S SOMETHING THAT WE CAN DO TO TAKE CARE OF THEM EVERYTHING THEY'VE DONE AND PROVIDED FOR THE CITY REALLY KEPT CLARKSVILLE -- ONE REASON CLARKSVILLE IS SO DESIRABLE TO LIVE IS BECAUSE THE PROTECTION WE OFFER FOR OUR CITIZENS AND THE AMOUNT OF STRESS AND WORK WE PUT ONTO OUR PUBLIC SAFETY AND SO WE CANTARY CARE OF THEM FOR TAKING CARE OF US I APPRECIATE THAT.

[02:30:01]

>> YES, SIR. THANK YOU.

>> COUNCILPERSON ALLEN, YOU'RE RECOGNIZED.

>> I JUST HAVE ONE QUESTION BECAUSE I'M TRYING TO UNDERSTAND THE PLAN. ANY OTHER QUESTIONS? SEEING NONE, YOU'RE FREE TO ROAM ABOUT THE COUNTRY.

[6.8. ORDINANCE 127-2020-21 Amending the Official Code pertaining to establishment of the Building & Facilities Maintenance Department]

IT'S WORTHY OF THE ENTIRE COUNCIL HEARING REGARDING CREATING OR REESTABLISHING THE NEW BUILDING AND FACILITY MAINTENANCE DEPARTMENT. LAUREN, YOUR NAME IS BREVITY.

YOU ARE RECOGNIZED. >> PERFECT.

THERE'S FIRST TWO THINGS I HAVE TO TELL YOU BEFORE I GET STARTED. ONE I LOVE PLANNING.

SO I WAS REALLY EXCITED TO GET TO PLAN THIS.

TWO I LOVE HELPING PEOPLE SO I REALLY WANT TO HELP Y'ALL GET OUT OF HERE PRETTY SOON SO I'M GOING TO BE SHORT AND SWEET SO BEAR WITH ME HERE. LET ME GET MY CLICKER GOING.

PERFECT. OKAY. SO SHORT AND SWEET.

THE FUNCTIONS INVOLVED WITH THE REALIGNMENT OF THE BUILDING AND FACILITIES MAINTENANCE, YOU HAVE PRESENT DAY BUILDING MAINTENANCE FOR THE NONPARKS FACILITIES AS WELL AS PARKING ENFORCEMENT EQUIPMENT AND FACILITIES MAINTENANCE AND FORESTRY.

SO THE BIG QUESTION IS WHY IS REALIGNMENT NECESSARY? THE VOLUME OF CITY GENERAL FACILITIES MAINTENANCE WORK ORDERS HAS INCREASED MORE THAN 50% OF CURRENT CITY GENERAL MAINTENANCE WORK ORDER MAN HOURS ARE ALREADY BEING CHARGED TO NONPARKS WORK ORDERS. AGING CITY GENERAL FACILITIES WITH COMPLEX SYSTEMS REQUIRE AN EXPERIENCED STAFF.

AND THEY NEED TO BE SPECIFICALLY FAMILIAR WITH UNIQUE FACILITIES AND SYSTEMS. WE ALSO WANT TO FOCUS ON PREVENTIVE MAINTENANCE. THIS WILL REDUCE THE ACTIVE REPAIR COSTS IN DOWN TIME. THIS ALSO PREVENTS OR LESSENS INTERRUPTIONS TO CRITICAL OPERATIONS.

THIS WILL ALSO ALLOW PARKS AND RECREATION MAINTENANCE STAFF TO FOCUS ON THEIR PRIMARY MISSION WHICH IS TO KEEP FACILITIES IN TOP CONDITION AND AVAILABLE FOR OUR CONSTITUENTS.

SO WE WANT TO HAVE THAT GROUP OF FOLKS WHO THAT'S WHAT THEY DO ALL DAY WE WANT THEM TO CONTINUE DOING THAT.

AND WE ALSO WANT TO PROVIDE MAINTENANCE SPECIFIC DIRECT SUPPORT TO PARKING ENFORCEMENT STAFF.

SO NO NEW POSITIONS ARE NEEDED FOR THIS IMPLEMENTATION.

WE ARE REALIGNING CURRENT POSITIONS SO FOR BUILDING AND FACILITIES MAINTENANCE WE ARE TAKING TEN FOLKS FROM PARKS AND RECREATION AND I'M GOING TO SPEAK A LITTLE BIT OF ACCOUNTING TERMS HERE BUT THAT IS PROJECT CODE 102.

PARKS AND REC'S BUDGET IS VERY CUMBERSOME SO IT'S EASY TO TRACK USING PROJECT CODES. SO THIS IS WHERE BUILDING MAINTENANCE LIVES RIGHT NOW. WE'RE GOING TO TAKE NINE OF THEIR FOLKS AND ONE ADMIN SUPPORT PERSON FORESTRY WHICH HAS TWO FULL TIME EMPLOYEES THE FORESTER AND ALSO GROUNDS AND FACILITIES MAINTENANCE PERSON AND THEN TWO FULL TIME FOLKS FROM PARKING THAT IS OUR PARKING EASTBOUND FORCEMENT MANAGER WHICH IS A CURRENT VACANCY. WE'LL GOAT TO IN A MOMENT AS WELL AS TEN FORCEMENT OFFICER. THE TOTAL EXISTING FULL TIME POSITIONS REALIGNED WOULD BE 14. PARKING AND FORESTRY ALSO HAVE PART TIME POSITIONS THAT WOULD TRANSFER WITH IT.

IT IS PORSCHE TO NOTE THAT THE PARKING ENFORCEMENT MANAGER POSITION WILL BE CONVERTED INTO THE BUILDING AND FACILITIES

[02:35:01]

COUNCIL PERSON RENOLGDZ TOUCHED ON THIS ENAND I HAVE TO SAY I LOVE A GOOD HIGHLIGHTER SO I HAD ACTUALLY GONE THROUGH AND I HAD TRACKED ALL OF ORE EXPENSES THAT EXISTED PROVE AH USUALLY AND ALSO ANYONE WHO KNOWS ME PERSONALLY KNOWS YOU CAN COME TO ME WHEN YOU NEED A GOOD DEAL ON SOMETHING.

THAT'S ME. PROFESSIONALLY I AM JUST AS TIGHT. SO I JUST WANT TO SAY FULL DISCLOSURE THAT THIS BUDGET THAT WAS INTERESTED WAS NOT A -- ENTERED WAS NOT A FREE FOR ALL DREAM.

IT ALSO WENT THROUGH THE LENS OF WHAT IS NECESSARY OF WHAT FITS OF WHAT WE CAN AFFORD BECAUSE WE DID HOLD THEM AS WELL TO THAT STANDARD. SO WHEN WE'RE LOOKING AT THE TOTAL COST FOR THIS DEPARTMENT IT IS A LITTLE OVER $1.2 MILLION. YOU CAN DIRECTLY TRACK THAT TO PARKING ENFORCEMENT EQUIPMENT AND FACILITIES.

THIS CAME OUT OF THE FINANCE AND REVENUE DEPARTMENT'S BUDGET.

PARKING KIND OF IS OUR SISTER DEPARTMENT.

IT'S OUR KID SISTER AT THAT GOES WITH US PLACES AND LIVES WITH US. THAT'S $329,319.

BUILDING AND FACILITIES MAINTENANCE PROJECT CODE 102 ONLY HAS $709,702 AND I WANT TO PARK RIGHT HERE FOR A SECOND.

SO LAST YEAR, LET ME PULL UP MY GRAPHIC HERE ON MY PHONE.

SO IN FY 2020, THEY HAD 42 FULL TIME EMPLOYEES AND THAT PROJECT CODE 102 AND FY 2021, WE HAD FIVE NEW HIRES ADDED AND ONLY REALIZED THEM FOR A POSITION OF THE YEAR.

PENDING THIS DEPARTMENT REALIGNMENT THEY WOULD HAVE 38 EMPLOYEES IN THE BUILDING AND FACILITIES MAINTENANCE THAT BELONGS TO PARKS -- GROUNDS AND FACILITIES.

THIS IS JUST KIND OF THE GUTS ON THE PHONE HOW WE GOT THERE.

ALSO FORESTRY IF I WERE QUICK ENOUGH I COULD TELL YOU THAT PROJECT CODE BUT WE TOOK OUT $228,377 WHICH IS THEIR TOTAL BUDGET THERE. SO THE NET EFFECT IS $20,000 AND THAT IS REALLY JUST AN EDUCATED GUESS.

MR. WYATT IS WORKING ON FINALIZING THAT JOB DESCRIPTION BUT BASED ON HIS PRELIMINARY WORK WE BELIEVE THAT 20,000 ADDED TO THE EXISTING VACANCY SALARY WILL GET US IN THAT CORRECT GRADE. SO REALLY QUICK THIS IS THE PRESENT DAY STRUCTURE OF THE FUNCTIONS SO PRESENT DAY BUILDING MAINTENANCE IS STAFFED ENTIRELY WITHIN PARKS AND RECREATION. THE WORKLOAD IS DISTRIBUTED BETWEEN MAINTENANCE STAFF THAT MAINTAINS PARKS AND REC AS WELL AS STAFF MAINTAINING ALL OTHER CITY OWNED PROPERTIES.

WORK ORDERS ARE SUBMITTED AND ROUTINE PREVENTIVE MAINTENANCE IS PERFORMED AS TIME PERMITS. THEY ALSO REMOVE NUISANCE TREES AND WORK WITH CONTRACTORS AND SIDES INVOLVING TREES ELSEWHERE THROUGHOUT THE CITY AND THEY'RE CURRENTLY HOW HASSED AND FUNDED WITHIN THE PARKS AND REC DEPARTMENT AND THEY DEAL WITH TREES OUTSIDE OF PARKS FACILITIES SO THAT IS WHY THEY WOULD BE COMING OUT OF THE PARKS AND REC DEPARTMENT.

PARKS AND REC TAKES CARE OF THEIR OWN TREE NEEDS WITHIN PARKS. SO WHAT DOES THIS MEAN TO

[02:40:01]

SO ONE OF OUR BIGGEST THINGS WAS HOW DO WE MAKE THIS WORK.

WHAT LOCATION DO WE USE? HOW DO WE SHARE FIXED ASSETS.

THE ANSWER TO THAT IS WE ARE STILL GOING TO HOUSE NERVE THE BUILDING MAINTENANCE FACILITY. THEY WILL STILL WORK TOGETHER.

THEY ARE STILL GOING TO SHARE TOOLS JUST LIKE THEY DO NOW WHEN YOU SUBMIT A WORK ORDER. THERE'S SPECIFIC TOOLS USED FOR DIFFERENT ORDERS. I ALSO WANT TO POINT OUT THAT WHEN IT COMES TO PARKS SPECIFIC -- SPECIFICALLY OR MOSTLY USED WITHIN THAT PARK FACILITY.

SO AGAIN NEW DEPARTMENT SAME COST.

ALL OPERATING EXPENSE I DID WHICH YOU ARES FOR THE THREE FUNCTIONS WILL MAKE UP THE DEPARTMENT THAT HAS BEEN REALIGNED SO THERE IS A DECREASE IN FORESTRY.

THERE IS A DECREASE IN PARKING COMMISSION.

AND THEN YOU WILL NOTICE A SIGNIFICANT DECREASE IN PARKS MAINTENANCE. THAT'S PROJECT 102 BUT NOT 100% REDUCTION DUE TO PARKS FIRST OF ALL RETAINING 38 OF THE 47 MAINTENANCE 34R0ES WITH FIVE OF THOSE BEING REALIZED FOR A FULL YEAR. AS WELL AS THE COST SPECIFIC TO MAINTAINING PARKS FACILITIES FIELDS AND STRUCTURES.

I'M A VISUAL PERSON. YOU CAN'T READ THIS AND I APOLOGIZE BUT IT IS IN YOUR BUDGET FOLDER DRIVE.

THIS IS JUST ME SHOWING YOU THE REDUCTION THERE OF THE VARIOUS BUDGETS. WE'RE ALMOST DONE.

SO MOVING THE NEW DEPARTMENT FORWARD.

SO AN ORDINANCE CREATING THE DEPARTMENT WILL BE PRESENTED THIS THURSDAY ON THE AGENDA BECAUSE WE WILL HAVE TO HAVE THE ORDINANCE FIRST IN ORDER TO APPROPRIATE FUNDS TO THIS REALIGNED DEPARTMENT. ONCE THE NEW DEPARTMENT IS APPROVED FUNDS CAN BE APPROPRIATED WITHIN THE FOLLOWING BUDGET ORDINANCE. AND THE CURRENT PARKING MANAGER POSITION WILL BE TRANSITIONED INTO THE NEW JOB DESCRIPTION THAT MR. WYATT IS WORKING ON. IN THE INTERIM AT THE STRIKE OF MIDNIGHT ON JULY 1ST, EMPLOYEES WOULD CONTINUE TO REPORT AS THEY DO NOW THE ONLY CHANGE THAT WOULD TRULY OCCUR WOULD BE ON THE COMMONWEALTH SIDE BECAUSE WE WOULD START EXPENSING THEM TO THE APPROPRIATE ACCOUNTS. OKAY. SO IF THE NEW DEPARTMENT IS NOT APPROVED, FUNDS THAT HAVE BEEN PULLED FROM BOTH FINANCE AND PARKS AND REC WILL NEED TO BE AMENDED BACK INTO THOSE DEPARTMENTS IN ORDER FOR OPERATIONS TO CONTINUE AS IS.

IF HAD THIS SDPTD IS NOT CREATED BY ORDINANCE AND THE FUNDS NOT AMENDED BACK INTO THE ORANYLAL DEPARTMENTS THIS WILL RESULT ON EMPLOYEES USING THEIR JOBS JULY 1ST ANTICIPATE ESSENTIAL FUNCTIONS NOT BEING PERFORMED DUE TO LACK OF FUNDING.

ALSO THIS IS NOT ON THE SLIDE BUT I WANTED TO ALSO POINT ON SOME THINGS SO WE TALKED ABOUT WHY THE REALIGNMENT AND THE NET EFFECT BEING $20,000 SO WE MAKE THIS DEPARTMENT FOR YOU AND WHAT'S NEXT? I'M SURE SOMEONE IS PROBABLY WONDERING THAT. THESE ARE SOME ITEMS THAT THE LEADERSHIP TEAM ON THIS NEXT SLIDE HERE HAS TALKED ABOUT FOR THIS NEW DEPARTMENT. SO WITH AN AUGUST START DATE WE BRING THEM IN AND START TALKING ABOUT PREVENTIVE MAINTENANCE AND ALSO ENERGY EFFICIENCY WHICH I KNOW HAS BEEN A HOT TOPIC SO WE WANT TO TALK ABOUT THAT. WE ALSO WANT TO GO THROUGH CUSTOMER SERVICE TRAINING BECAUSE WE HAVE INTERNAL CUSTOMERS NOT JUST EXTERNAL. AND THEN ALSO WE WANT TO TALK ABOUT GETTING TIME TASKED AND ESTABLISHING TIME A LOTMENT SO IF ANYONE HAS GONE AND GOTTEN THEIR CAR REPAIRED YOU GET AN ESTIMATE AND IT TELLS YOU HOW LONG PAINT WORK OR BODY WORK WILL TAKE. WE WANT TO GET A SYSTEM IN PLIES LIKE THAT SO WE CAN TELL ENTERPRISE FUNDS PAYING MAN HOURS OR TELL DEPARTMENTS A GOOD EDGE KATED COST.

ANOTHER THING WE WOULD LIKE TO DO WITH THIS NEW DEPARTMENT IS GET INVENTORY MANAGEMENT GOING NOT ONLY DOES IT INCREASE BUYING POWER IF WE HAVE A WAY TO MANAGE INVENTORY BUT IT WOULD ALSO SAFE TIME BECAUSE IF YOU ARE PERFORMING A JOB AND YOU HAVE THAT VERSUS HAVING TO RUN TO THE STORE AND GET THAT THAT WOULD ALSO BE TIME MANAGEMENT. SO THAT IS MY SHORT HOPEFULLY

ABOUT THE DEPARTMENTS. >> THANK YOU.

[02:45:03]

>> NOT TO BE BEAT A DEAD HORSE BUT I WOULD LIKE TO SAY THAT ONCE AGAIN, THIS IS WHAT HAPPENED $1.2 MILLION IN THE BUDGET AND YOU'RE SAYING THAT IT'S EQUAL BUT THE DECREASE FOR PARKS AND REC WAS ONLY $188,000 FOR THE YEAR.

SO I JUST WANT TO MAKE THAT CLEAR THAT THERE'S SOMETHING

THAT DOESN'T ADD UP. >> ARE YOU LOOKING AT THE TOTAL OF PARKS AND REC'S BUDGET OR SPECIFICALLY AT PROJECT CODE

102? >> THE TOTAL FOR PARKS AND REC.

BUT IT SHOULD COME UP FAIRLY CLOSE IF YOU'RE TAKING WHATEVER TOTAL I'M LOOKING AT THE NUMBERS SHOULD COME UP FAIRLY WHATEVER NUMBER YOU TAKE OUT SHOULD EQUAL.

>> I'M NOT SAYING THAT 100% BUT THERE IS A MILLION DOLLARS HERE.

>> RIGHT. I COMPLETELY SEE WHERE YOU'RE COMING FROM WITH THAT. MY FOCUS IS PROJECT CODE 102 BECAUSE SINCE THEY DO BUDGET BY PROJECT CODE THAT'S WHAT MY MAIN FOCUS HAS BEEN. I UNDERSTAND THE BOTTOM LINE SCENARIO OF I DON'T SEE WHERE THIS IS LEAVING.

ONE MORE TIME ON THE 102 YOU HAVE FIVE ADDITIONAL EMPLOYEES REALIZING FOR A FULL YEAR BUT THEN ALSO AND I DON'T WANT TO SPEAK FOR ANYONE BUT WITH EVERYTHING OPENING BACK UP, YOU ARE GOING TO INCUR MORE COSTS AND MORE EXPENSES TO PUT ON THESE PROGRAMS TRAVEL. I RECONCILE TRAVEL FOR THE CITY.

PEOPLE ARE TRAVELING AGAIN WHICH IS GREAT.

ANYONE ELSE HAVE QUESTIONS? THANK YOU VERY MUCH.

ANY OTHER QUESTIONS REGARDING THE ORDINANCES BEFORE US? THE PURPOSE FOR WHICH THIS SPECIAL SESSION HAVING BEEN ACCOMPLISHED I'LL ENTERTAIN A MOTION T

* This transcript was compiled from uncorrected Closed Captioning.