City Council - Regular Meeting

Let's see. [Music] partners.

Well, I know [Music] trying to get all this crap in order. We're ready. Uh we will call this regular scheduled meeting to order on u September 8th, 2025. Roll call. Mayor Tney here. Doug Ewing here. Brad Alfinger here. Alex Esquil here. Dr. Pam Sardo here. Gary Chapel here.

All right. If you'll stand for the pledge of allegiance.

I aliance to the flag of the United States of America and to the republic for which it stands. One nation under God, indivisible, with liberty and justice for all. Uh Pam, you want to do the invocation?

Thank you. Please bow your heads with me. Dear Father, creator of all people in all nations. It is with sorrow that we remember the tragic events that occurred on 911. We lift to you in prayer all those who died. Please console their families even though it's been many years in hopes that all who trust in you find peace and rest in your kingdom. We pray for those who responded then and to those first responders who respond now. We live in the aftermath of this tragedy and we stand in need of your presence and your production, your protection. Dear Father, we need to show love and promote your hope for eternal life. In your name we ask. comment.

Okay, [Music] now we have the proclamation for the suicide awareness. Um, see we have we have Miss Spencer here to or no? No, but the other the other

Okay. All right. So the uh I guess you are here to represent for the proclam suicide proclamation.

Um I'm trying to find it. Okay. Don't know if I can see that. I got it. I was trying to blow it up. All right. This is the uh suicide prevention awareness. Josephine is uh doing a proclamation for uh September for the suicide awareness. Um whereas September is recognized as suicide awareness month to raise the visibility of proactive suicide prevention resources and communities and the Texas Health and Human Services Commission partners with agencies and organizations to prevent all suicide deaths and connect individuals with appropriate behavioral health service at the right time and place. Whereas Texas has seen an overall increase in suicide mortality with the death rate rising 36.7%. The suicide monthly rate for um veterans aged 18 to 34 rose 91.6% between 2001 and 2019, making it the highest rate for the veteran population. Whereas individuals aged 25 to 29 experienced a 69% increase in suicide mortality rate and individuals aged 20 to 24 experienced a 56.9% increase in suicide mortality rate. We encourage all residents to learn how to talk about mental health, encourage researching suicide prevention resources, and encouraging checking in on the well-being of family, friends,

and neighbors. And now therefore to be to be it to the to be proclamated that the city of Josephine, Texas does proclamate the month of September 2025 as suicide prevention and awareness month and urge all citizens to spread the word about suicide prevention and help save a life. And we have um what was your name again? I'm sorry. My name is uh Jim Watson. I'm past commander of post 100 and um you were here representing the uh American Legion. American Legion. Go ahead.

Yes, I'm here representing our current commander uh Haiti Spencer who could not be here today. Um on behalf of the American Legion Post 100, I'd like to thank you for this proclamation. As you said, September is the month of National Suicide Awareness. Suicide is a very serious subject. It needs to be addressed by everyone. It's affecting families in every community across our nation. So, I'm here tonight challenging uh your city council who will be the one to make the difference in your community. So, if I could just take a few minutes from your valuable time to share a few facts about suicide awareness in our post 100 In the United States, suicide is the 11th leading cause of death. Every 11 minutes, someone dies by suicide. Every 63 minutes, a veteran dies by suicide. In the great state of Texas, Texas ranks number 37 in the United States for suicide. A person dies by suicide every two hours. Over 4,368 Texans lost their lives to suicide. An estimated of 3,500 were males and 870 were females. Of that, 582 veterans died by suicide. 40 549 of them being males and 33 females. First responders average two deaths per month. Suicide is the second leading cause of death for the 10 through 34 year olds. 20% of high school teens have a suicide plan and over 40,000 calls were made last year in the 988 suicide and crisis line. Firearms are the most common means of suicide in the United States and Texas.

And so I'm here tonight to promote the 988. Uh it is a direct number that anyone in the community, it's just not a veterans number, but anyone in the community can call and can dial one after that and goes to immediate emergency service. Uh I've called that number personally to see how it works. And the way it is set up is you dial 988. They ask if this is an emergency, you dial one. If they ask if this is for reference to suicide, they ask you a question and they send you to wherever that is. If there's an emergency, they have clinical staffs throughout the state that will get there immediately. Uh suicide awareness has become uh one of the um most important things about our post. Um we were involved in a biker ride this year that's going to uh call several people. We have yard signs uh that we can make a contribution to your city hall tonight if you'd like to put a 988 yard sign out. They're available for sales for your community if you want to get them through your community. And this is something that's going to go on every year. This is not going to stop. Uh it's it's an emergency situation. And our post uh 100 in Roy City takes care of the Josephine area. We have a clinic right there in Roy City. If there is a mental health issue with one of your veterans in the community or a family member of that veteran, we can take them in immediately and pay for 10 sessions uh without them going through the VA. So there's a lot of opportunities that our post is doing for cattle mills, Josephine, Nevada, all the communities around us uh

that I want to make you aware of. So if there's any veterans in your community that you're familiar with, we would love to have them come check out our post, become a member. some of the highlights that we've done in the last year and student recognition. There was four uh scholarships uh for the juniors for the Texas Boy State program. It's a great program if anybody wants to put that on their resume. Uh there was two $500 scholarships uh given. Uh there were ceremonies for military recruits and there was posttoral competitions uh there in Roy City. So, we're going to reach out to Community High and Cattle Mills and Roy City here in the next month or so to get the ortorial competition going. If there's anybody that you know that would like to be on a debate debate team and talk about the constitution and that, we'd love to talk to them. So, I'll be in the school communities for that. In community service, we have the adopt highway program on Highway 66 between Fate and Roy City. Uh we have blood drives. We do six per year. Uh we were one of the leading American Legion posts last year for the number of pints uh that were served and uh uh we have appreciation leopian day firefighters appreciation day national day of prayer Paul packs for elementary schools chamber holiday for uh hero lunchons that's for your police officers and firefighters uh we do we treat 25 veterans at the RC uh medical center. Uh we have coffee and donuts with them twice a month and have a little mini meeting and let them control the meeting as if they're in the American Legion. It's a fantastic opportunity. Most of these veterans don't have any any family. Uh we do flags and Memorial Day, Veterans Day, uh mayor proclamations, flag day, Vietnam War, Veterans Day, uh 70th anniversary

of the Korean War, uh suicide awareness, Veterans Day, financial assistance to the veterans I've already mentioned. So I can go on and on and on. I'm not here to give a spill on our post and join the American Legion night, but I wanted to let you know how our little po post in Roy City, we have about 70 members uh do work their tails off and American uh the suicide awareness program has been a pillar with our post now for about two years and it continues to grow. So, if we can help you as a city council or anybody in your community that's interested in participating in this program, have them contact our post. Thank you very much for Thank you. Thank you very much.

Do you want I'd be honored to give the proclamation if it's okay, mayor. Yeah, go ahead. That's fine. Yeah. I'd like to see that. I don't know if we did it last year or not, but that 988, it's on our website. Is that Is that on our website still? Did we ever put that on our website? 988. No, it's not.

Anybody know? Yeah, here two. Sorry.

All right. We have any uh citizens Okay, this is on this time, right? Is it green? It's green, so we're good. Okay.

The first thing I want to say is, and they I'll go real quick. Um, do you realize tonight we're going to be obligating if you vote for it, not just the 15 million, but overall $50 million in debt. Second, I'd kind of like to know since the Valero shops are already built and were permitted, why weren't the issues addressed earlier if they're still having issues? Do we have the wrong engineer or the wrong staff? Do you want to know the answer? That's my question. Down to IPO number 30, an additional amendment. I add up at least $180,000 now for on call services between IPO1 and IPO 30. Why do we keep having amendments? Who is thinking of the new items to add? Shouldn't the city council have a general idea before approving the 30,000? Um, why aren't there dates on these amendments and on the IPO 30 like there were on the first one, IPO one? So, you can kind of track it with the budget. Then um I'd still like to see and I'd asked for it before when I was on council to see costs by project number by task and that never has happened and I think that would be a very important report to have for the citizens and for you guys alike. I'm going to move on down to the community development center um the JCDC bank account. Did you know that the MDD was already created with the state as of April 1st? And we also have money in the bank, the MDD bank. So, when you're voting on this tonight, I think it might be important to have the money go to the MDD versus the general fund. Um, then I think the last thing my comment's going to be is on the P3 Works LLC, the

administrator for the PID. It's absolutely a brand new contract. I took both of them and went side by side to see all the changes and this one now answer includes a TUR which is something Joe Holt was very against with the city and I don't know why we have a new contract with the TURS in it if it's just because it's something new that they have to do but um it actually runs our cost up from $7,500 to$10,000 on just setting up the setup fee And what work's been done on the pit, I don't know, but I imagine there's been some things done on that. And this contract only mentions Morningside when in the agenda it said Morningside and Morgan Farm. So, I don't know if the document is correct and includes all the information or not. Other things, uh, check the master fee schedule. There's a couple of new things with residential electric color permits. You know, those things are just going to happen with the developers and some of the those things change with uh developers coming in. They're just going to have to pay whatever the city says when the time comes. And my time's up. Thank you.

Thank you. Appreciate it. Is there anyone else who would like to speak? All right, if there's no one else, we will move on from the to the item three consent agenda. Council, any comments or discussion on the consent agenda? If not, we'll make a motion to approve the consent agenda. Are we using the voting on here or just I'll second it. Okay, let's get there. So, we have a motion in a second.

Yeah, that's what you're saying. I was just waiting on her.

Mine doesn't show yet. Thank you. I got one to vote which I can't vote. Still not showing. I sure am. I'll hit refresh. Let's see what happens.

I know they were having some trouble with it the other day. Straight again. There's a tab at the top right that says show voting. Can you see that? Hold on. I'll just hit refresh to see. It's not me.

There's no anything. Hold on. There's no voting tab. I'm getting a voting tab. Yeah, I'm on the calendar because that's the only one that works for me. So,

yeah, cool. All right. I could try to dial in separately. Let me try to do that. Sorry to slow you down. We get it.

Hold on. It's It's There we go. Thank you so much for bearing with me. All right. This is consent. That's fine. Thank you. Should be showing up. All right. Motion's carried. It's showing me, but I I didn't vote.

All right. I can't vote. 50. All right. All right. New business. This is the uh item 4.1. This um discuss consider and take appropriate action to adopt an ordinance authorizing the issues issuant issuance and sale of city Josephine, Texas combination tax and revenue certifications of obligations series 2025 to fund up to 15.7 million in water and sewer utility projects and flood control, storm water and drainage projects. levying an annual ad valerum tax and providing for the security for and payment of said certificates of obligations.

I do have mayor. Yes, Jim Sabonis is going to be I guess a little late. Could we push? We need to skip it. See? Okay. Just push until he gets here. So and come back to

we will come back to that item whenever um a representative gets here. So we will move on to item 4.2 for now. Come back to that one. This is a update from our project manager Ethel representing AGCM regarding the public safety building. Hi, I'm going to present the monthly report for the August and I'm going to start with the health indicator. We have um budget, excellent budget. We're still on budget and we have some money left on a schedule. We have average just as as of last month. We haven't changed it yet. The quality is good. The summary of work during this period is um for the public safety we have 96 on general conditions 100% of our our fork utilities are 100% spoils removal retaining wall also 100% the foundation and paving 89% as of August we are we're tracking with the 100 right now grab approaches are done pre-cast panels are 100% um erection and caul 100% masonry structural steel the steel erection also 100%. The miscellaneous steel were 75%, metal work and tops are 45%. We're going to see those coming um this month. The roofing, waterproofing, the door hardware, the overhead doors are 100%. The storefront it is 90%. Drywall sitting we have 92%. The paint is 60%. Plumbing it's 81%. The fire sprinklers are done. The mechanical we have 93%. Electrical 87 community center is completed. The annex building is completed. And the major activities achieved this period for the public

safety are um the equipment installation, the accessories installation. We have some inspection spending. The equipment coordination for installation is still ongoing. The gas line setup is done. Um oncore work has been initiated. The site grading it was in progress for the month of August. Right now it's done. And the major activities uh for the next period are the approaches completion, the power in the building, mill work installation. We're going to see that soon. The flooring completion, the facade, landscape and fencing. Then we have our budget status. The contract value is still the same amount. We have the approved change order value in there. We have one pending change order and then you'll have the balance with the pending and without the pending change order. Um I'm unsure if we're going to move forward with a change order we're going to approve or is this item still being discussed which is Yeah. Okay. That'll be the next item. You're talking about the next item.

Yeah, absolutely. Yeah, that's the next.

Then we don't have any concerns for the non-conforming work at this time. No critical observation. It's it's it's looking good. Um we have the third party the contracts that we have paid. The action items is just monitor, try to keep track on the promises, the the light in there, the power in there. just report and then you will see some photos of the progress of the building accessories installed. Right now there's some landscape so it's changed. There's more accessories installed, shades and more finishes in the building. I will request a motion to approve um if there's no questions. So if there's questions I'm happy to answer. Any questions, council, for for Thank you.

All right, we need a motion to approve her. I'll make a motion to accept the uh AGCM report as provided. I'll second motion in a second. All right, Merson carried 50. All right, now that Hilltop's here, we're Are you ready? Are you ready? I'm ready.

All right, we will go back to item 4.1. He's here to answer any questions council has.

Good evening, mayor, council members. Jim Sals with Hilltop on on your behalf, we received bids for the the competitive bids for the certificates obligation. And this is a summary about the sales process and what's taking place. I'll turn to the first page inside tonight. Um, what you're approving is the combination tax and revenue certification series 2025. It's a pledge of the city's INS ad bor taxes and net revenue to the utility system. This one issue will fund two projects 3,790,000 general fund projects that that is structured um with your existing INS adorum taxes and it it it will be paid back by levy of INS adorum taxes. Um next page please. There we go. and then 11,257,000 of utility projects were paid back by the net revenues of the utility fund. City went through a bond rating process and they had confirmation of the double A minus rating. It's very positive report and on the next page I'll go through some of the highlights of it. Um with that our amorization is 25 years. We have a 10-year power call. We did a competitive public sale. the purchaser besides our double A minus they actually purchase on their own behalf um came afterwards double A bond insurance so this is a double A insured double A minus transaction received five bids with a low bid being Robert W beard and company and a true interest cost of 4.44% 44%. Which is lower than what we anticipated. Um priced this morning. If you approve tonight, they'll be submitted to the attorney general for review and approval. And we anticipate closing on September 24th. On the next page, actually, we have the results of the of the rating. And um it was a very positive rating report. I have to

commend Lisa and Melissa. they uh worked with us to actually prepare an offering document and to put a a a number of um augmented financial reports and and information available and we forwarded to the RADHC's. RADHC's responded with a list of questions and comments that they'd like to discuss. We organized the team's meeting. uh they very articulately and um and and fully explained and discussed those questions and we were confirmed um as as a double A minus. But what was really interesting is that um when we went to when I talked to the rating agency about the confirmation, she said that when they went to the rating committee, there was a split decision. There was a a significant discussion about a rating upgrade. um at this time they decided not to do that but her point as analyst was that what you're doing as a council what your staff is doing um as administrators that you're on the right trajectory to even have a higher rating double minus already is a very high rating for the size of your city and um and and getting even higher would be exceptional and it reflects a number of things that they indicated positively about your conservative budgeting about the city's actually commitment to long-term term strategic planning and very favorable about how you work with the uh the some of the utility districts that are nearby, how you actually um become become actually get some funding from them for some of your assets. So, it was a very positive rating report. With that, I got on page next page, we'll actually have the bids. You know, Robert Bear is probably the most aggressive in the market today. In fact, we had another competitive sale. they actually were the winning bidder on that pro project. First of all, five bids is a good bid. We actually had another double A minus issuer um and another high growth community. They only received three bids. They the winning bid was bearded, but they were they actually ended up pricing about four

basis points higher you and they were equivalent credit and and you expect to be almost on time. But again, I think the positive rate report in and and the thought was that it was be very high. You can see those five bids are pretty tight. So, nine basis points between the first and last bidder and and um about three basis points between the winning and low bidder. On the next page is probably the most important aspect of this. We actually have the plan of finance I presented to you when we did the you approved the notice of intent. Um we we anticipated that we'd sell 15,485,000 in bonds. We end up selling 14,995,000 bonds. And the reason is that the biders have flexibility. Our goal is to give them flexibility how they structure the bonds to get you the lowest principal and interest cost. And right now some uncertainty about interest rates. So biders actually bid what's called a premium. What I mean by a premium is that they'll ask for 5% par when the upfront maturities would be um have a yield to the investor about 3%. As a result, they receive more than the par amount for the bonds which they give to us. So we're actually only issuing slightly less than 5 million. But at the end after paying the financing cost and unraised discount, you're going to be able to deposit a full 15 million47,000 into your project fund. Um, when we talked previously about the uh all interest costs, we actually benchmarked 5.14%. And to be fair, we put a 25 basis point buffer in there. So if we were really in in the market, we'd expect it to be, you know, about 25 base points lesser than that. So, we're talking about somewhere in the 489, but we came in at 57. Um, and and really it's a reflection of two things. One is your high credit rating and and the fact that Texas issuers in general and the really high credit rated Texas issuers, they trade through the market. So, we compared ourselves to a

double A minus out of the Northeast or the West Coast. We're just considered less risky. even though we end up with the same fundamental rating, investors will will actually purchase us through that. So, it was a the market hasn't improved significantly. We're still within 10 basis points of the time that when I actually discussed this going forward. So, we we really pleased with the bid. You know, the the net basis and this is the most important thing for the citizens. Your current um INS admir tax rate which you use to levy to pay for your taxper debt is 11.15 cents. um our estimates based on conservative projections that there'll be no increase in that in a loan tax rate going forward. Secondly, when you look at the part that's for utility system when you look at the cash flow right now available for debt service from that system um and you add this actual annual debt service to it um we're still going to have in excess of 373,000 um and in fact the allocation of debt service about $50,000 less per year for that. The real key is on the interest rates. That that savings from 514 to 457 saves you 1.6 million um of of the um interest cost which is over 20% of the actual interest cost of the transaction. on the following page actually we have the detailed um sources in I mean the the actual amorization of what your existing debt is um and the addition of new debt which we use to actually project your your um projected debt service tax rate um and again as you can see we don't increase it and over time um with with the city's growth that that I tax rate is expected to go down um we use very conservative assumptions. You know, over the last two years, you've

grown at 18.6 and 14.8%. We use 5% for um a period of time going forward. On the following page actually has your um same type of calculation but for your revenue side. On the second column for right is actually your current budget um net revenues available for for debt service and minor savings. You're running a little bit ahead of this. You take your existing self debt that's paid from this and add this debt into it. And and you can see that based on your 225 budget, uh your actual debt service uh can be paid by the cash flow that was projected. Um in summary, you've gone forward process approved the notice of intent. The notice was published in the paper record on your website as required by Texas statutes price this morning. Um as a good morning to price interest rates actually there was some bad economic news if you may have heard about some lower job reports lower than anticipated new job creation and revisions over the last couple months. So immediately the market hit a five base points of you know slight reduction in interest rates. We asked for bids. We received the bids at that time. Uh if you approve the ordinance tonight, um the state of Texas, they've signed extra documents as we presented to the attorney general's municipal bond department. They reviews them to to ensure that all proper procedures and and practices were taking place. And uh before we can close, we have to receive a letter indicating that it's the reason why Texas city bonds don't end in default. We follow our rules and regulations. In summary, as I indicated to compliment uh Lisa and Melissa, they did outstanding job every aspect of this process, both working with the rate agencies providing information to the insurance firms and and and to you as a council. It's a well-run city. It's the strongest financial condition that

you've ever been and the future is very bright. As your financial advisor, um we recommend approval as the numbers indicate it. It's better than what we showed is in the plan finance significantly and I believe it meets your strategic and financial goals. That concludes my comments and I'll answer any questions that that you may have.

I have a couple of quick comments. Um in the ordinance it there's a lot of blanks in here. So um based on your presentation tonight, the certificates are hereby authorized um to be issued and delivered in the aggregate principal amount. So, is that going to be the 15.7? Is it going to be the 15.0? Is it going to be the 27 million? Because it adds fees and interest based on the Farmsville Times publication. Um, what I have that right here if you'd like to take a look at it.

And and let me say for everyone's um background to add a little background to this because we bid this out today. What you received in your packet was the ordinance in formal not knowing what the numbers would be. forward this to to your bond council after discussing it with your staff and and they approve recommending sending to bond council. So the ordinance that you will have shows uh a par amount of debt of 14,995,000 that what the final number should be in in in in there. Okay. Thank you. With the numbers filled in. Yes, ma'am. It was with the AGC. So, it's at the back of that

and and it's again a normal process on a competitive bid. We received a bid. We verified it. We discussed it with the bidder. Our numbers all were uh in parallel. Then we forward it to bond council. Excuse me. Then we forward to city staff. Discuss with city staff. With their approval, we forward to bond council. And my understanding after review that the orders they prepared it reflects exactly what was in this case. So that number should indicate $14,995,000. Okay. And my next question is the interest rate is still blank. So is that going to be the 4.4 bar rate or is that going to be something else? I think you could put in the all intrins.

4.57. Okay. And the maturity now you said it was callable. So is do we need to put in the maturity date the 10-year date or the 25 year date? The 25 date is the maturity date. The call dates are separate. It's the ability to call the bonds at par at that time frame. All right. I appreciate your information and thank you Patty. Appreciate it.

Anybody else have any questions for him? No. [Music] Thank you. Any discussion? Any more discussion, council? I just have one sentence. You know how I feel about this. I think our debt of um over $43 million for 3,000 people is a little bit too high. Even though it's a long-term obligation debt and it's not due tomorrow, that adds up cumulatively to over $13,000 per resident. And the household income in this city is only about 80,000 per family. And I think it's too high. You know what my votes going to be, but thank you very much for a wonderful presentation.

Melissa, could you tell us in a short little way what kind of drain this is going to be on the average citizen or the taxpayer? What what's it going to mean to us? What's going to cost the tax break?

Ready to watch football game. Are you

not looking good? Um, I don't have the numbers broken apart right this minute. I know when Jim originally put everything together, he did it based on our population with the mud districts included. Um, there are no utility rate increases expected beyond the normal annual adjustments based on the 2022 rate study. This debt will be repaid through utility fees largely from new connections as the city grows. Uh the utility fund and the general fund are separate. The only part that will be levied with the taxes are the drainage which is in the general fund and our INS rate does not change.

Okay. So there won't be any extra charge to our system. Absolutely not. Thank you. And and I have a follow-up question too. What kind of impact would our citizens have if we don't move forward with this? If we don't move forward with this, this will if we did not move forward with this is this is funding the drainage projects and this is funding the shortage on the wastewater treatment plant and we would have to pull from reserves and it would have a major impact on the timing and completion of that wastewater treatment plant. So if we wait now long term that could that amount could that amount could increase. Um it could

it will increase. Yes. Absolutely. Thank you.

All right. Council I think you got enough to make a motion. I need a motion. I'll make a motion to adopt an ordinance authorizing the issuance and sale of city of Josephine, Texas combination tax and revenue certificates of obligations series 2025 to fund up to $15,700,000 in water and sewer utility projects and flood control, storm water and drainage projects, living an annual ad valum tax and providing for the security for and payment of said certificates of obligation providing a effective date and enacting other provision provisions relating to the subject. Second.

Send the voting sign. Voting please. All right. We have motion carried. Four votes to one. Thank you, Mayor Council. Thank you for allowing Hilltop to serve city as financial advisor. Apologize for being late. I didn't say up front, but this is my second meeting. I'm headed to my third one right now. All of you have a good evening and again, I want to thank the staff for you have excellent staff. They did a great job resulting in the low interest rate. Thank you very much.

Thank you. Thank you. Thank you. I think this is very good for our city. I'm looking forward to this project getting going. All right. Item 4.3. This is a a change order for the public safety building including to include artificial turf priv privacy fencing adjacent to the fitness area uh for a combined cost of $18,266. [Music] How big of an area is this?

I mean, but you have Let me get that to you.

I think it's on the square footage. I think is on there. Was it 800 square ft? Yes, it's 867. I think you guys actually put sod down there recently.

Yeah, it was already, you know, within project. Um, but yeah, I mean, I don't think that's a purpose. Okay. Um, I' I'd like to move that we survey the fire and police personnel to see what their preference is. Whether they want real grass because it says sod is there for about $300 or $400 or tire chip aggregates for only $60 per ton or do we want to spend $18,000 for artificial turf? I move that we in survey the people who are going to use it.

Anybody else support that council or we want to entertain what we have in front of us? Okay. Nobody second it. That's fine. Thank you. Do you want to go over what this entails? What's in this? Just what it what it is? Yes. Yeah. What it is? Yeah, we have I'll break it down for you. Um, so we have $10,000 roughly $10,000 $10,000 $278 that's for the turf and then the rest is for the fence extension. So the fence is going to provide well half of the building of the back of the building with privacy. Um, yeah. Is there concrete under the tarp

under? No, right now there's sod right now at this moment. So, you're going to have sod and then turf on top of the side. No, no, they'll prepare the area and then they'll inst it'll have an aggregate. They'll put a like a base in there, an aggregate, and they'll compact it and then do the turf. Kind of like you Yeah. So, but the concrete's what makes it the hardest, right? What? But like the one the the places where they put concrete underneath it is where it's hard hardest. Like the aggregate is probably much softer and probably even than our football fields that we're talking about.

What's the last baseball field? Let me see if we have it here. I think they give a warranty on that. I think it was like 10 years or something. 20 years on that turf. 15 year warranty. Yeah,

ma'am. I'll say something to your to your motion there that you did. And the only reason I I mean, I wouldn't even consider leaving the turf and the and I'm sure this is what would happen. um with them being on it, walking, traveling on grass or that kind of thing, it's going to wear the grass down and we'll have to replace the grass on a regular. Whereas with turf, they can walk or work out or do whatever they're going to do on it is the reason that it was even considered for the turf or that kind of thing with the I mean I agree the money would be great to save but at the same time I don't think it's capable of happening leaving sod or that kind of thing.

Yeah, we don't we don't want grass but this is extremely expensive 20 by 40 or whatever. Right. Well, I appreciate your comment, Doug. I just wanted the people who are going to use it to have a voice. That's all. So, thank you. Thank you very much, Doug. We can explore another option. Probably I can come back and and give you another option which I think it if it's the pricing uh what's what's making you hesitant, maybe you can check a a partial approval.

My view is the grass. I agree with Doug on that. The grass is going to have to be maintained. There's going to put chemicals on that and people who are going to be sweating and potentially absorbing those chemicals. This turf is what? Antim microbial

microbial. So, um it it it's going to be better. And you never know if anybody could have any allergies to any specific grass. So, there's also that. Um, I've worked out on shredded tire and that rubber and whatever other stuff like in that and that's a no-go. That stuff blows everywhere. It gets everywhere. It's got to be picked up and swept. This seems like a maintenancefree. You work out on it and it doesn't need to be treated. It doesn't need to be anything. It's it's it's a once you put it in place, you kind of forget it and it's maintenancefree.

I mean, there are honestly there are some things that you do on it. I mean, that's so I mean, nothing crazy outrageous. I mean, you do have to rake the the the uh rubber pellets and stuff in. Sometimes you have to add them or whatever, but it's not like having to go put a new pallet of sod down or, you know, something like that. All right, council. We want to make a motion one way or the other. If doesn't pass, then we'll explore other options. Does does any of the other departments want to speak on it?

I would assume that I'll be happy to have a great area to work out on. Yeah, I haven't surveyed anybody with my department or anything like that, but I personally think that it would probably be a good thing to for us to have. I don't think I don't see any drawbacks on it at all. Whatever. Thank you.

As far as the fire department goes, we haven't really been involved in that. That's why process of it, but I mean, if it if PD thinks it's going to be useful, then I don't have a problem with it. I mean, if it's a useful thing, then go ahead and run with it. But I mean, it's just going to be the outside workout area for fire department. Okay. All right. Council, any other questions? I'll make a motion. Are we ready for a motion?

Yes. I'll make a motion to approve a change order for the public safety building to include our fish turf and a very expensive privacy fence adjacent to the fitness area for a combined cost of $18,266.80.

I'll second the votings, please. Thank you.

Vote passes. Carried 50. Thank you, Ethel, for the extra information and thank you all for voicing your opinion.

Okay, item 4.4. This is the uh monthly engineering report from Kimley Horn. Good evening, council. Um, I'm just going to go through some of our projects and then I can jump back up to any questions you have on the amendments and active IPOs. Our Greenville Avenue reconstruction project. Um, last meeting we had our letter of recommendation that was approved at council. Um, our CPS, which is our construction phase services amendment, was sent to the city. We made some last minute revisions this past week to take some things out that staff had requested we remove. So, I have that with me as a hard copy today, but it's not on the agenda. Um, storm water utility fee. Kimley Horn sent an email to the city early August with some preliminary revenue projections. So, we're just waiting on some direction from city staff on that. And then the parks and trails master plan um survey had been launched July 16th was open until August 10th. Survey advertisements were completed. Um chapters four, five, and six edits and finalizations were made and then GIS files were updated to include some side paths per city direction. We have some project coordination with the city for action items, parks and trail priority projects, implementation matrix, and the current parks and trails master plan map. And then just some of our reviews. Sonic, we completed the initial submitt of the construction plans at the end of August. And then we had a meeting with the developer. Oh, sorry, that was July. Um, and then we had a meeting with the engineer and the developer in August. And then for the 610 East Cook Street, we completed the six middle of the construction plans um in August and had a meeting with the engineer and the developer in August as

well. Um, so outstanding amendments that we have, we have that uh construction phase services that I briefly mentioned while talking about Greenville Avenue and then our engineering on call amendment number two which is the next item. I did bring a list to go through what was completed over the past couple of months just so you guys are aware of the work that was done. Um, but I'll talk about that when we go into the amendment in the next item. Any questions? I have a couple questions on the um Greenville Avenue. Um my understanding from the grant from the county as well as the work that's being done is that there's supposed to be a giant construction sign that said it's dual funded from the city and the county. Um I have not seen that sign and I drove by there one or two days ago. Um did you put it up and take it down? Has it not been up yet? because it's been a year since August of 2024.

That is probably the construction sign and that won't go up until construction starts. Okay. So, taking off the pavement and having a dirt road is not starting. Not yet. The contract with the contractor hasn't been executed. So, the the construction phase services amendment includes getting the contract executed with the contractor and doing the precon meeting and then doing the submittal reviews and all of that fun construction phase stuff. Um, so once that amendment gets signed, we'll kick off the contractor and he'll start work. Okay. Thank you. And I don't want to say too much about IPO 32 with the um North Tank. Um, but is there have there been any conversations with land owners?

Uh, we haven't been a part of any conversations. Thank you. And um you said you could give us more information on some financial information because for the on call GIS services there was an on call agreement for 50,000 like 60 days ago and now it's higher and more and I I just wanted to have more details on that. I don't know if you're allowed to do that provide those.

Yeah. So our our on call engineering which is that uh 408 number is just a super general on call which we've been handling most of our GIS stuff through that but because there's so many developments that are coming in and now their final plats are getting approved and so we're having to consistent constantly update to include those record drawings um updating zoning annexation maps um the utility maps that we use the record drawings for it's a lot of work and so that's why we have this GIS interaction active map updates so that we can separate our just super general on call with our GIS updates so that it'll be easier to track what we're doing. Okay.

So, so our on call will be the 50 yearly and then the GIS is like the is the hundred. Not saying it's going to cost a 100, it's just that was the number that we just from previous experience thought would be so that we don't have to come back for another amendment.

Okay. Thank you. And my last question is um the six submitt of construction plans on Cook Street um there have been multiple businesses that say this is not a businessfriendly city and Miguel at the last meeting talked about businesses walking away and so I wondered if there's a proactive checklist or something. I know construction's different for each group that wants to come in, but is there some sort of proactive stepby-step instructions to prevent delays and and problems that seem to be popping up over the past two years? I think you want to answer that one. Teamwork. I love it. Thank you,

Dr. Sardo. So, Miguel Inclan for the record city planner. So this past meeting that we held with both the developer of the Exxon Sonic and on 610 East Cook Street were a result of that effort where we like to I don't I want to call it this but we kind of have to hold engineering engineers hands sometimes in terms of and I by that I mean the developers engineering team and their design team every city does things differently. Mhm.

Every time we have a review now, we will have what's called the comment clarification meeting where we kind of walk through each of the comments and we workshop through some of the issues that uh we found, especially those that you know, particularly in this case where it's a six of middle and there's items that I went back and found that they hadn't been addressed since the first review. Right? So

I always tell applicants that the timeline and how long a project will take will largely depend on the developers team's ability to address and respond to comments effectively based upon our reviews. We are working on checklists based on our our codes and regulations. We do have our design manuals posted on our website and we always invite them hey well here it is you know if you have questions go here. If you have a question after that then come to us but because they they need to understand too they're being built for all of these

these things. So I feel the frustration particularly with this project and I communicated that to the property owner that um there is a challenge sometimes where engineers on the design team um sometimes um lack the the you know efficiency that that you would expect. Okay. Thank you. And I'm glad you're working on a solution. All right. Any more questions on the report? Not we entertain motion for the the report from Kimley Horn. I'll make a motion to accept the Kimley Horn and Associates monthly engineering report as provided. I'll second.

All right. We have a motion in second. All right. Motion carried 50. All right. Next item 4.5. This is a discussion considering act to approve the amendment number two to individual project order IPO number 30 on call civil engineering services agreement between the city of Josephine and Kimley Horn and Associates in an amount not to seek exceed 30,000.

Okay. So, um, this amendment is to cover August and September. Um, and I think that's really it. We ran out in July with the fee from the first amendment that we got. I think that is this amendment three? No, this is amendment two. Okay. Um, so May, I'm gonna I have it by month what we've completed so far and I'm just going to go through the list so you guys can see what we've been working on for the past couple of months. So May we had a Golden Barn report that we were working on. During that report, there were some largecale things that we needed to look at based off of some feedback from the city. So the Golden Barn development had their own report that they paid for, but then the city also got their own report. So that was charged under the general engineering um council meeting attendance and preparation. So our um staff report that we put together that gets charged to the general engineering. Um I don't charge for the entire council meeting attendance but I do take time out of my day to travel and come. So I do charge a little bit of time to our general engineering. Same thing for PNZ meetings. um the Greenville Avenue construction project after we had submitted our 100% construction plans to the city, they had requested a restriping design. Um instead of getting an amendment to complete that work, they' requested us to just do it under the general engineering. So there were plan revisions. Uh we had to update our OPC and the contracts to be posted to CivCast. Um RDR Horton City and Denway by weekly meetings get charged to our general engineering task in June. Same thing council meeting attendance. That month we had prepared the drainage improvements presentation and then we started working on a bunch of the GIS updates that I had mentioned. So the annexation zoning subdivision map, uh the city limit and ETJ map. We have an

existing water and wastewater utility map. And then we also have locator maps that zoom into that. Um, and it's it's like a zoomed in version of the the utility map so that um the public works staff can go out and look at specific sheets and locations whenever they're out on site. Um, portal updates. So, that interactive map that we have online for you guys, we have to do updates to that as well whenever we upload new things. So, whenever there's a new annexation or a new zoning or whenever we upload all of those record drawings, we also have to update the interactive map. um the utility record drawings like I'd mentioned we updated and added the Meadow Ridge subdivision and then the CISD off-site and on-site plans. Um Dr. Horn City Dunaway bi-weekly meetings again. Um July was a lot of GIS work. So we did the Waverly Estates phase 2 utilities and then we also did the Magnolia phases one through nine. So that was a really big subdivision that took a lot of work to get in. Um flu map updates. We had some city comments on the city maps. So, the annexation zoning subdivision maps. We got comments from the city, updated the maps. Um, again, updated the interactive maps after we uploaded those new subdivisions that we'd gotten. Um, council meeting attendance, Dr. Horton City, and Denway meetings. And then also under the general engineering IPO, but under a separate task number, we have the pump station number two coordination. So in May, that's where we were coordinating with manufacturers on the different tanks, preparing the recommendations based off of HGL results. Um, and we were meeting with the city and would done a way to come up with the recommendations that we brought to you guys in June. And so in June was us preparing that presentation that we put together, um, attending city council and then having subsequent meetings with the city and with Dunaway on next steps based off of that.

Just one tiny question. If you're having Dunaway Dr. Horton bi-weekly meetings and Dr. Horton stopped constructing like in Riverfield. What are you meeting for until they start building again? They just have a list of projects ongoing that they discuss with the city and so we join those meetings so that we know what's going on. Okay. Thank you.

So question to city staff. This is is any of this recoverable back to the developers? Yes. Anything that is build to us that is a pass through for the projects, we do build that back out. CISD, the different developers, the different their Sonic um all the different subdivisions that are being built. We pass that through and build that back and bring it back in. What just curious what what is our running total this year for Kimberly one? I'd have to go in and look. No top in my head. No.

Last year was over a million. So I imagine if we're 3/4 of the way through the year, it's probably 750,000 based on last year's dollars. Did you want a Kim Lee Horn total and a Dunaway total? No, I think Pam just answered it. I don't need to exact. I was just curious. And out of that, how much do you think is actually passed through and recovered percentage wise? Just ballpark. 30 to 40%. Thank you. That's helpful. Thank you very much. I appreciate that. Any other questions or comments on this?

Um, I have a motion. I move that we accept amendment two with the understanding that in a recent city council meeting minutes, there was a clear agenda topic to look at consultants, contractors, engineers, attorney, etc. in the next 90 days after the budget was done. So, I would like to move that we approve amendment two but not approve amendment three until we can have that work to look at cost savings across the board as indicated in a previous agenda minutes and um on staff.

I do just want to note too that this is just for this fiscal year. So, I'm not saying that we're going to use the full 30. Like, we overestimate and I brought it down because I didn't want to come back and say we need another 50K for two more months because that's not just not feasible unless for some reason the city comes to us and asks for something really large. It takes a lot of time. This is to cover work that was done in August and then work that's going to be done this next month, which I don't see being a whole lot. So, I don't think that the invoices are going to be very big. And then it restarts. Our original IPO contract restarts next year with just the 50. I appreciate you. Don't get it wrong.

So this is a this what are you talking about? Amendment three. What are what are you referring to? There there's multiple amendments through the year. Sometimes they can reach. Yeah. No, I'm just saying as far as So three is not existent yet. No. I would like to make sure that we don't have a three until we look at what was on the previous agenda to evaluate across the board. Contracts, consultants, engineers, everything that was mentioned in the previous agenda in the past 30 or 60 days that that Lisa said, please give me time to get through the budget and then we will do that. Did you make a motion to approve? Approve. Yes, sir. I did approve amendment to I'll second it.

Thank you. So that's an amended uh motion. Thank you very much, Brad. All right, we have a second. We send it's a motion to approve item number two. So this is 4.5. This is item 4.5. Do we need a motion, guys? I move I'll make a motion to approve amendment number two to individual project order P number 30 on uh call engineer civil engineering service agreement between city of Josephine and Kimy Horn and Associates in amount of not to exceed $30,000.

Okay. Okay. May I please wait, may I please go back for Robert's rules of order, which we don't adhere to here, but there was a second there was a second to the motion that Brad said. And so to make it official, I would just like Brad to re to say he takes back his second and he proposed the original motion. That's all I'm asking for because this is a legal meeting. Thank you, Rob. There was never a original motion made, was there? Yes, there was. was. But I think I think the problem was is that we can't make a motion. It was on item with something that's not that's not in. Yes, you can. Yes, you can. I mean, they've amended motions. Go ahead, Rob.

The motion the motion's out of order if it attempts to vote on anything that's not on the agenda. And all that but I see on here is amendment number two. Yeah, we can't we can't mention amendment number three because it's not No, that wasn't my intent. It was just a clarification that we pause on anything in the future until a review can occur. And I'm sorry if that wasn't clear. I apologize to council. Yeah. I mean, we all agree. I don't get me wrong. It's just So, we have a motion. Yes, we did. So, do you want It's not on the agenda. You can't vote. It can't be the original. The original's out of order. So, I'll second it. Not my original. Yes, your original is

my original. So we go off of his motion or his his any motion that's other than approve or disapprove amendment two is out of order. Correct. The motion I made is in order. Yes. And we have a second. I second. I second it. Let's vote on that right here. Alex, second it. Send the votes, please. So, just to clarify, just to clarify, we're voting on Brad's amendment that he read and stated. Yes. Okay. Correct.

You misunderstand.

All right. Motion's carried. So we'll move to item 4.6. This is the uh engineering report from Dunaway DBI. Right. Good evening, mayor and council. Jacob Dupi with Dunaway. I will start on our status of development review. Kind of a short list. Um morning side. Recent inspection reports from our inspectors are estimating public utilities are roughly about 75% complete. Morgan Farms, we're estimating about 60% complete with public utilities. Both of those are on phase one. So, still have a little bit longer left to go and we're now entering the typical rainy season. So, it might be a little slow getting them wrapped up, but we're hoping they get done pretty soon. as far as engineering design and actually this could contemplate projects that are in construction. Both wastewater plants are in construction and kind of in a similar vein from recent inspection reports. The Magnolia wastewater plant we're estimating it's about 25% complete. The city north wastewater plant we're estimating it's about 10% complete with construction. So still got a lot left to do, but you can see active movement going on with them. the discharge permit for the North Wastewater Plant. Uh we finally had some recent communication from TCQ. It's been a handful of months since we heard anything from them, but they said they should expect to kick us back out something within the next couple of weeks on status and if we're approved or disapproved. So, that'll be good to hear. Um I also added another item on here that we'd been actually working on. Um you have a standing discharge permit for the Magnolia Wastewater Plant. You have to renew them every 5 years. And so y'all's renewal um is actually up like April of next year, I think, is when it

is. And so we're working with Kirk and Garrett to get that renewed for you guys so doesn't miss a beat. And then the only other status update is on the 12-in Milton Street gravity sewer line. We set a notice to proceed uh of actually last week. I know it was kind of a short week and then it rained so I don't think they got to doing too much on it yet but we should expect to see them moving pretty soon with getting going on the searine project. I want Thank you. Um I just wanted to ask a clarification. So the Magnolia wastewater treatment plant phase 2 is a Dr. Horton mudf funded. Yes ma'am.

However um if if it's Dr. Horton funded why isn't Dr. important of doing the every the five-year renewal or going to TCEQ instead of because we operate the plant. Y'all y'all own and operate the plant. So, it's funded by them, but because we operate it. Thank you for the clarification. Yes, ma'am. We own it, too. Yes. Yes, that is correct. Any other questions? I second. You send the votes, please. Thank you.

Thank you. Motion's carried. No, there we go. Motion's carried. 50. All right. Move on to item 4.7. This is the uh monthly planning report from our city planner Miguel. Um mayor, members of the council, um we decided to have my report separately given that there's there was always some discussion, so we don't have to pull it from the consent agenda every month. Um I'm just here to answer any questions you may have. Um things are flowing as smoothly as possible. Um, I do got to brag. We did get an award from the APA. So, we'll be receiving a plaque in October. Um, we have a great uh leadership team here and a great council that's supportive of our efforts. And I think we're going to be um seeing a lot of uh interesting interesting developments coming forward to our city in the next uh few months.

Thank you, Miguel. Um, regarding the second page, the county culling county outer loop. Um, can you share a little bit more because there were member comments and you're going to have another meeting and you indicated it was going to move. Can you share a little bit more about what's happening there?

So, um, they will be, um, updating updating their website next week with the proposed new alignment. um they've asked not to divulge the proposed alignment until that date. They will be showing that to the public on September 15. Um I can share that based on what we have seen uh it is more favorable um to the residents. Um it will not have the same impact that it was shown back in the spring. they did incorporate the city's feedback and the residents feedback um from the effective subdivision which was High Meadows. Um so they're going to be doing a virtual open house um for two weeks starting Monday and then they will have another public meeting. I believe it will either be at the high school or actually here at our um community center. We're still not sure. Um we may get a request for that soon but um come um September 15th I'll send the link and uh a screenshot of the alignment and we can u start engaging them if there's additional feedback.

Thank you very much. I do have a question about the uh available land catalog. Yes.

Um I appreciate your innovation and working with the University of Texas at Dallas. Um, but based on my understanding with state laws and criminal um, Texas criminal defense group postings and what I know as a pharmacist doing clinical research that, uh, drones are available for three purposes. Law enforcement, utility companies, and academic research. So if University of Texas at Dallas is doing research, you need to see that protocol because they can carry it forward without our knowledge and use it in other places. And so I'm requesting that that proposal the re if it is a research proposal that it come forward and if it's not I I'm interested in finding out what the updated law is.

So what it does it's it uses existing satellite images. This will not involve this says drones though searching your your item one says that you're working to create a map using drones is what I thought it was saying. Now did I maybe I misunderstood aerial map? I have not used the word drones. Okay. At all. All right. My mistake though. No worries. Yeah. No, it's it's just basically using a satellite satellite and then just creating layers um showing opportunities and it was based on the sample that I shared last month from Corinth. Okay. So, yeah, it's no no additional research or anything. It's just GIS services that they're partnering with. Appreciate that very much.

Uh I just have one quick question. I see that you've got the 1777 and the Lonesome Dove in your report. Um, originally we were going to actually get a light at 6 in 1777. Is that project still going? Because that was supposed to be in spring of 25 and it's still waiting on that one. So, I did notice that there's already the base of the traffic signals at that corner. Uh, I haven't heard back from textile to have our our quarterly meeting. So, I'll ask for an update on that, but I imagine if they're putting the base, that means that the the So, we really really need it there. Like I I was a little taken off guard because I was hoping that we could paint powder coat that one as well and and to make it look nicer, but um looks like it might be a little too late for that. They kind of caught everybody off guard and with the installation of that one.

Okay. So I'll find out more. We'll put that in my next report. Okay. Thank you. Anyone else?

I do want to share actually just very quickly um on the last item about the PD resoning without a detailed concept plan. This is an example from um previous committee where we adopted a a relatively flexible in terms of the concept. So as you can see it didn't have the level of detail that you're normally used to seeing. Um, for example, with the very last PD, um, what this does is that you nail down the standards that are in in writing because that typically governs over the the uh, visual exhibits and you would still have the opportunity to approve each site plan individually. For example, in this example that I'm showing you right here where it says block C that uh and and I apologize that this couldn't be attached to a report that this came up in the last um after the report had been submitted under the new deadlines. Um for example, the apartments in block C ended up being uh modified significantly, but it still met the parameters of the zoning district. So, um, we probably will have a reasonzoning of this type coming before you, um, before the end of the year.

I'm assuming you're working with the planning and zoning commission as well. Absolutely. Okay. Yeah. So, staff will be working on nailing down the written standards, uses, prohibited uses. I know that is particularly why there seems there is an urgency really to nail down the uses that we don't want. Um and then you would have the assurance that as each of these sites develop those site plans will have to come uh before you and you will have the option to wave the public hearing process for those or not. That will be up to you all and and and if I can get direction on that I'll ask for that next month as I'm writing the PD if we want to as a city wave that or not. Thank you very much.

Thank you for your report and congratulations to all on the the award. Oh, thank you. Hey, we appreciate you. You've been a huge asset. I'm sure you're taking a huge burden off the rest of the staff. So, we appreciate you. Happy to help. I have a great team. Thank you, council. I move to accept the monthly planning report as presented. I'll second.

All right. Motion and second. Motion's carried 50. Item four. This is item 4.8.

4.8. uh discuss considering act on the fiscal year 2024 2025 annual budget of the former Jose Josephine Community Development Corporation and approval of a resolution transferring remaining funds less any applicable bank fees to the city's general fund andor municipal development district and closing the JCDC bank account. Okay. Um, as was indicated early in the public comments, um, it's come to my attention that the MDD account is already open. We have asked for bylaws and, um, I have the copies of my edits for that Brad requested four months ago if Lisa hasn't given them to you yet. Um, but the MDD account is already open. So, I move that we move the money directly to the MDD account since it's already open April 1st and um there's no reason for it to be in the general fund because of the purpose according to local government code title 12 chapter 505 where it's legislative findings the objective of a development corporation is to have a promoting higher education to do job training to advance advanced sports facilities etc. uh and not um and also attorney general opinion JC0118 and GA01819 indicate the purposes and the limitations of the funds for the MDD.

Pam in there you said you move are you making a motion here? We're in discussion. Um that's yeah my my thoughts on this is we have pending projects that are going onward and the MDD has not stood up. I don't want to hold those projects up. So moving it into that bank account without actually having a set staff in that positions right now would stop a lot of the stuff that we're working on, especially around the the food truck park. Um, or just having staff I mean letting staff make get that ready and make that decision.

Yeah, I I'd like for it to go into the account, but I'd also like to have there to be a way to get payments out of it because I'm with Gary. I want the that account to fund. That's why I was and not slow it down. Kind of stated the way it was. Either the general fund if that one's not ready or when that one's ready, move it in there. I think we we put it in the general fund until the time that the MDD is stood up and then we can look at what's left but city's direction and city staff's direction and allow it to go into and it can be readily spent out of the general fund. Is that going to be an issue to do that just to hold that money over there as a line item? Absolutely not. I just uh I believe it should be moved to general funds and we can close that out. I can still track it.

So, and we're almost done with the fiscal year. So, we don't want to drag that into the next fiscal year. Correct. So, and we're waiting on a staff or a appointment whatever for it to be possible to come out of that the new account. Correct. We're going to have a line item that states what was moved over there so we can track it and and keep up with it. So, I'm good with that. Pam, do you have Yeah. Well, there's already money in there. That's why I don't understand this new this new direction. Spending it the issue. Sorry. Spending it is the issue. The funds that are in the MDD account are not being touched. They are being automatically deposited there by the state. Yeah,

they're not being touched at all and we can't spend it until we get the voting power. Correct. Not until people are on the board, they have created the budget and you guys have approved their budget. So, the idea would be if let's say that we decide to pull the trigger on the food truck, then it would have to get filtered through essentially. So, if you're in agreeance, I'm in agreeance and he's in agreeance that that would be something we want to spend the money on if it's it's available then it's we can make that move, right? versus seven. Stand stand and wait for I don't want to get Are we ready for a motion? We can't hear. Sorry. Yeah, we can't hear anything. Oh, wait. Okay. Are we ready for a motion? Yes.

Yeah. Okay. I'll make a motion to approve the 2024 2025 annual budget of the former Josephine Community Development Corporation and approval of a resolution transferring remaining funds less any applicable bank fees to the city's general fund and closing the JCDC bank account. Second votes, please. Gary seconded second.

Thank you proposition moving it.

Do we have plans on when we're going to try to get the structure set up for the new uh motion's carried? uh 41. Patty, do we have a some kind of timeline or plans on when we're going to get the new structure for the the MD? Yes, ma'am. We were just trying to get through the tax and budget and all that.

Thank you. All right. Next item 4.9. This is discuss consider and act on the annual review and approval of a resolution affirming the city's investment policy as required by law. There's no changes proposed. It's the same. All right. I move to adopt a resolution affirming the city's investment policy as required by law with no changes. Second. All right. Can you send the votes? Did you get who that was? Okay.

All right. Motion's carried. Next item. This is item 4.10. Discuss. Consider an act to adopt an ordinance declaring unopposed candidate for council member place three cancelling the November 4th, 2025 city council special election. I move to adopt the ordinance declaring an unopposed candidate for council member place 3 cancelling the November 4th, 2025 council special election. I had to get one. Um, yeah, he can vote on this, right? Yeah, he wants to. Yeah,

it's not going to matter, but yeah, it's not like you're [Music]

saving us money by canceling that. motion carried. All right. Next item 4.11. es discuss, consider, and act to adopt a resolution to approve or reject the bankruptcy plan of reorganization for Purdue farmer.

Since I'm a pharmacist, can I share a little bit of information? Yeah, we have a staff member that was sure. Go ahead. Go ahead. And then feel free, Pam.

Good evening, Mayor Council. Um, so this resolution here is stemming from the Purdue and Sackler family bankruptcies. There's two different settlements related to them. The first is the estate settlement. That's this resolution. It's Purdue's claims against the Sackler family. The second, which will probably be received by the city attorney's office at some point relayed to you, is the direct settlement. That is the city's direct claims against the Sackler family. Ultimately, there more participation by um political subdivisions means more dollars are going to flow to the state of Texas. About $7.4 billion dollars will come from this. Um 1.5 is the initial and about 6.5 uh billion in installments over 15 years by the Sacklers. Uh Purdue will contribute 100% of its assets including 900 million in cash for distribution um at the time of the emergence from bankruptcy. A significant portion of the settlement funds will be distributed in the first three years. Uh the plan allocates more than 850 million specifically for individual victims if they choose to participate in that settlement. And this is an opt-in settlement. So the city in exchange for these funds will be releasing its claims against the Sacklers. Um the city can choose to not opt in. Uh they can pursue legal action in civil court. Um but that will limit your recovery of the 900 million funds that are being paid by the reorganization of Purdue. Um ultimately Purdue is being liquidated. Its assets are being transferred to a public benefit corporation. Um there's these funds will be dedicated to developing and distributing opioid addiction treatment and uh reversal meds at no profit. Um

there will be a document repository releasing millions of documents to the public that are going to be um seeing the historical sales of these drugs as well as their marketing materials. Um and ultimately the settlement addresses concerns reg uh regarding there were non-consentual thirdparty releases in these prior settlements um while still providing compensation to the victims. um again which were in the prior rejected settlement. So that is the uh resolution you have tonight to vote to either reject or approve the bankruptcy plan. Take any questions if you have any.

Anyone have any questions for him? Thank you. Go ahead, Pam.

Thank you, Jason. Okay. What does it mean for us? So the previous dispersements that the Texas comproller has already overseen does add up to about 44 million but a couple years ago when I talked to the chief I think our share in Josephine was about 800 or 1,200 and they do recommend we keep a paper trail of what we do with that fund because it is supposed to be as you said for education or you know reversal agents and things like that. So, um, chief told me at the previous time that he thought his his staff would use it to buy some Narcan. Now, Narcan's over the counter, but you can still do that. The Colin County is going to get about 1.3 million. That's about it. So, I assume that our share for Josephine is going to be about the same. 800 to,200 is probably all we're going to get. And again, as you clearly said, it's going to be spread over 15 years. So, there's not going to be a whole lot. They do recommend schools get educated by police or other other trained professionals um as another option. You know, creating posters or taking in things to the school to help the kids know to stay away from the stuff. But um my personal opinion is take the money and run because the family is being taken away from the Purdue Drug Company and the Purdue Drug Company is not going to exist for very long. So my humble opinion is take the money and run. I agree. Any other discussion?

Nope. N motion. I move to adopt a resolution to approve the bankruptcy plan of reorganization for Purdue Pharma.

A second. Send the votes. All right. Motion's carried. Next item 4.12. This is discuss and direction, possible direction to staff regarding the city ordinance on the operation of golf carts and ATVs on public streets. No, current ordinance.

The the current ordinance exists for for this, but it's not being it's not educating the the public about it. We've done nothing. Um, and this only uh adheres to golf carts. It doesn't address the ATV issue. So, I think we need to do a couple of things. One is to the city staff. We we need to educate the public on what the requirements are to actually have a golf cart in on our city streets. And then the other thing is is we need to address the fact that there's nothing in here about ATVs.

The the focus I have on this is insurance and the people that drive them because they do hit things, they tear things up. It's hard to get them to be responsible once that happens. Um, you know, they're all over my neighborhood and they need to be responsible enough to carry some cheap insurance. I mean, you have insurance on your side. It's there to get and uh there's been several instances where cars were tore up and uh they just walk away cuz there's nothing you can do about it. Yeah, I'm I'm personally a victim of that. I' I've literally had a golf cart run into the back of my car parked on the street.

Well, shouldn't the uh state laws on the ATVs covered like you can't drive them? Yeah. Yeah. It's actually clearly stated in there that it's up to the city municipalities to put that for farm use. You can use them for within 20 miles of your house.

Uh but the speed limit has to be under 40 miles an hour. And I want to say it's cool that people get out and run around on them, but they need to be responsible while doing it. Well, just reading this ordinance here, I I believe if if y'all would just give me a little time to do some research with some other agencies to that how they're addressing these deals and the ordinances that that they're coming up with because this ordinance I the one I'm reading of ours, it doesn't really uh most of the ordinances are to a neighborhood, you know, it's not where they can get out on the highways and get to another neighborhood and stuff like that. So, I think I gave you a copy of Man, was it Frisco? I think Melissa maybe.

It might have been Melissa, but it was like the week after you started and people told me to back off. But there are ordinances out there that are pretty Rob's raising his hand. I believe our consistent state for golf carts. I agree. For golf carts, I agree. There's nothing in here about ATVs in our ordinance. I think though it does say that you you know I thought it said that you had to be had to be a neighborhood has a speed limit more than 35 miles an hour. You can't you could cross it but you can't drive on it. Correct. So you could not take it out on six out here which is what 55 or Yeah. You could you could you could cross it at a 90 degree angle.

You could cross it but you can't drive. But again that's that's for ATVs. We don't have anything in our local policy that says anything about ATVs. It's all about golf carts. If you read our ordinance, there is nothing ever mentioned about ATVs. It's only golf carts. Yeah. ATVs, UTVs, whatever. Motor, dirt bikes, whatever. To do with golf carts, though, right? And that's what we're saying on it. It hasn't changed. Well, that's what we're saying. We want it to change. We want it to be addressed. What do you want it to do? Go away. No, I want it to be addressed both things, the golf carts and the ATVs. Well, you have to find if the statute allows you to do that.

The state laws actually state in there that it has to be done by the city municipality. We have the right to do it. If it does, it does. Yeah. It's not a question. It does. So, you want to expand this one to to include more than the golf cart. Correct. Because we have an issue. It's a systemic issue in this town where we have problems with ATVs and golf carts. And we got the statistics from the fire department to prove that. We just had an issue with one a few weeks ago. We just want them to add ATVs and UTV and be physically responsible with it. We want them to have insurance. If they're driving on the roads, they need to have insurance.

Well, the ones I've seen, the ones I've seen, they're two neighborhoods. Like if you have a golf cart in High Meadows or if you have one in Fountain View or whatever, it it doesn't the ordinances I've seen kind of keep them at that subdivision. not going to other subdivisions. An ATV actually under state law can only go 2 miles from the home unless it's a farm vehicle which was mentioned by the attorney a few minutes ago and they can go up to 25 miles. Yeah, that's correct. Yeah, that's I I did the research. I I went through because this is this is near and dear as as a victim of being hit. I wanted to understand and that person that hit my vehicle did not have insurance on their car. Yeah. Let's table it and expand.

Well, I don't think really table it. just give him direction that what we're what we're looking it it needs to be researched and it needs to be brought back with a an expanded thing. Yeah.

All right. So, we'll move on to moto atom 4.13. This is uh discuss considering act regarding a master service agreement between P3 Works LLC and the city of Josephine for administration of Morgan Farms and Morningside public improvement districts. Um,

Lisa is not here and she gave me some information that may or may not still be accurate and the issue was and maybe you know Miguel um is the one that's across from Ellis um she told me that they want to turn the whole development into rentals and I think working with P3 and others that's that's an issue that we want to have I personally want to have more discussion on before we approve a master service agreement and again I don't see a cost on the master service agreement and that's a huge undertaking and a master service agreement is large and broad and expensive and I don't know what we're getting for that

who who supposedly said they wanted to turn the whole thing into Lisa told me in her office

that that the developer of the pit across from Ellis Elementary is considering ing turning the whole thing into rentals. And okay, again, I'm just going to mention, and I'm not an attorney, but the form and substance and intent of a pit is to improve the development with sidewalks, parks, pools, fountains, whatever it's going to be, trees, to make it more beautiful than it would otherwise be. And if it's all rentals, and the owners are out of state, it's not going to be maintained that way in my humble opinion. and the whole intent goes down the drain of a PID to do improvements. So I would like more information before we vote on this myself.

Okay. So it's a multiaceted response and we kind of have to break things a little bit apart. So

to answer your first question about rentals. Um they did express an intent. However, I may have to defer to the attorney on this. That is a question of land use. And to my knowledge, the city, any city cannot regulate a single family home as to how it's used. And there have been examples, for example, here where in the face of market challenges right now where nobody's buying, developers are to get money to get some of their investment back are turning all of their developments into rentals. This was also in response to city's resistance to uh what's called the build to rent model where there's a bunch of single family homes in one lot. So so it's like an apartment but they just happen to be built as single family homes. So what some city some developers have done is they plat each one individually and you know and it could be one developer like in this case or it could be somebody somebody could buy the next phase of wildflower for example or multiple people can buy it and rent it and cities do not have the ability to regulate that. Now does that relate in any way to the public improvement district? my professional opinion. I'm limited in experience on this. I think it doesn't and I'll defer to the attorney. He can chime in and and add more context to the response. Um the public improvement district is aimed at um funding infrastructure beautifification. So, for example, downtown Fort Worth is one of the largest public improvement districts in in the state of Texas. So all of the public art, all of the uh lights, trees, landscaping, sidewalks, street improvements, those are funded through the PID and that's funded from property taxes and managed by a board and in this case it would be an agreement with this with this firm. Um

does that answer some of your questions? Yeah, the only um yeah, so thank you. Mhm. Um, we do have a substandard housing ordinance in our ordinances and if things got really nasty and shoddy and downgraded, we would be able to enforce the substandard housing ordinance and that would be all that we have a ground to work on. So,

that is I've talked to an attorney about that and that's the way it is. Yes, I can share an example from my previous community where there were challenges with ensuring that the upkeep of of long-term rental homes was was managed and uh some cities have been successful at implementing what's called a single family rental registration program where after a property turns over, you know, somebody moves out and somebody else is going to lease a home, they do a a building inspection and to make sure that it is up to up to code, right? And and the property is wellmaintained. Yeah. But that's an individual company payment thing. That's not citywide or ordinance-wise. It could be I mean that's an idea. It could be adopted as as a city ordinance.

Yes, Patty. We require a CEO anytime it changes ownership or Travis or seems like we're already Yeah. So, thank you. Um and there is a pit nearby. Grand Heritage is a pit. Anybody knows when Leon was first starting to grow? they actually had to get into a partnership with somebody. So the builders of Grand Heritage actually came in and and pitched that to the city of Leavonne and that's how Leavon started its growth was with Grand Heritage as a pit.

So this this is actually to help the city and to help the developers out to be able to not have to take the brunt of all of the cost of actually developing the streets and sewer and everything else. So that's the advantage of actually having a pit and the city does have control over the building of it. Um to the point of we're we've got skin in the game. When this was done, this is well before I got on the city council. This when this was done um this was done as a joint venture between us and the developers. Do we know the value? Thank you. Do we know the value of the master service agreement fiscally?

I do not know that. What I can share is based on u the information I've seen so far is that this is a pass through cost that will be paid for entirely by the developer and the and the pit. So the city has no exposure other than just u the administration of the agreement and just in name really of the pit. It's done through bonds and leans on the houses, right? Yes. It's basically a pit tax. Yeah. They'll pay a tax on a pay tax like pay your taxes. In in in on paper it's similar to a municipal utility district. Yeah. It's just that the the functions of it are are then and the the scope is is quite different but it's it's similar a special district that does assessments or and levy taxes and and they pay city taxes. That's

yeah. It's basically like a replacement of the you know as far as the mud districts and stuff. They're in the city limits. They still have that. It's a closer joint venture. It's actually better for cities to do a pit than a mud, right? Yeah. Um, thank you everyone. Um, and did we get um requests for spec uh specialties, whatever you call it from other companies like Munichap, CP2 consultants, frontline advisory group. I mean, why did we pick 3P3 besides the fact that other city like Blige was worked with them? Um, but I don't know who else. I am not familiar with the procurement process as it relates to this uh because it's going to be big bucks. It's going to be gigantic dollars.

I'm not familiar with the procurement. That was I think that was done a long time ago or quite a while ago. Yeah, it was it was done under the the previous Yeah, actually it was done in the previous mayor, wasn't it? Yeah. Not the contract. Not the contract. I know the P3 works. So I remember there there have also I mean I'm just not want to speak out of turn here but sometimes the developer already has been working with these uh firms for other of their projects. So they like working with the same firms and that could this could be on speculating here. I don't want to speak out of turn. I don't know if Melissa that's what happened. Yeah. Okay. Well I'd just like to know what it's going to cost us but it can't be 100% pass through though. Uh, Melissa,

it is it is. All right. Thank you, council. Any other questions or discussion? All right. I move to approve the master services agreement between P3 Works LLC and the city of Joseph Ford Administration and Morgan Farms and Morningside Public Improvement Districts.

I'll second votes. Please send the votes. All right. I'm waiting. I didn't get nothing.

No, I'm talking about the vote. Oh, okay. All in favor? All right. This time we will 7:51 we will recess the regular schedule meeting uh for executive session pursuant to local government code section 551.074. What?

It's usually on. It's this one. There's another window. This one. I'm trying to get my stuff up right here. Congrats to these guys. What?

All right. All right, we will reconvene the uh regular schedule meeting. Get to my tiny notes here. Is this the right one? This is the wrong one. Why is this pulling up the wrong one? It was from May 12th. My agenda is not pulling up. My computer went to sleep.

All right. We will adjourn the executive session at 8:14 p.m. and reconvene the regular meeting. Um there will be no uh no motions or just uh just instructed staff to pursue or pursue as directed in the executive session on uh

8.1 and uh we will move to item 8.2. This is discuss consider and act to adopt the resolution to adopt the new master fee schedule for physical year 2025 2026. So we for the uh the mud fees and the master schedule council discussion if any we've been discussing this for months.

All right. I move to adopt a resolution to approve the new master fee schedule for fiscal year 2025 and 2026. I'll second. Have a second. Will you send the votes? [Music] No, you can't get away from

I'll follow up here. I mean, it'll I'll let you know when it pops. Sure.

I didn't see it, but it seems No, no, I do. I'm sorry. I do not have it. It's really weird. It says I'm still on the master service agreement. You want to It's not say nay or I She can put it in manually or Yeah. Very bizarre. There's a software glitch, but put me down is okay. Thank you. 60. All right. Motion passes. 60 50 or 50. I'm sorry. The last one is adjournment. Oh, okay. Council request.

Do any councils have anything to add for the next meeting? I do. Um, we all got an email from a concerned citizen about safety on Route 6 and the speeding and the speed limits and I would just like to have a discussion about whether we should do something to help this citizen or how we do enforces speed and traffic and cops do their job. Well, yeah, that that's why I was asking about city limits. Yeah, but that's why I was asking about the red light tonight. That'll help that situation. So, can we have a discussion about traffic safety next meeting, please? What are we discussing as far as traffic safety, though?

Well, I I think she I think she would be happy if the speed limit went down to 40. We can't control that. That's textile. We have we we takes a long process, but we had that study done and they dropped the speed limit for us, but they wouldn't drop it out there. So she's in they actually raised the speed limit. She's between Valero and Riverfield. Okay. So she's in our city. Yes, sir. She is. So she's under the 50 then. Yeah. So if we we can just have a discussion at the next meeting about traffic safety and speed limits. I would be delighted if any of you would agree

some bulletin points. Go ahead. whatever else is. I will tell you about that, addressing that and trying to get it to go to 50 and because of the county line, uh they say there's no way to be done because it goes from I guess 65 maybe 660 then it goes to 55. They said that there's not enough distance there. Okay, I appreciate that. But at least you send an email to myself and Lisa. She sent it to everybody.

No, I'm saying send an email on that to myself and Lisa and then we'll put something on the agenda if council doesn't oppose. Thank you. Thank you. We have to vote on it. No. No. No. All right. Okay. We have a motion to adjurnn. Motion to adjurnn. Do we have a second? Second. Visual voting signs. All in favor?

You see that packing? You put it on there, we don't have to vote on it. But if anybody else puts it on there, we have to vote on it. That's what I understood the last time. Yeah, we have to vote. Tim and Lisa are allowed or a second vote. Jason and Lisa can do it or a second vote. So Jason told me to send it to the two. I think we need to reevaluate that. Well, that was her idea and you guys went along with it. Sorry, I don't want [Music]