* This transcript was created by voice-to-text technology. The transcript has not been edited for errors or omissions, it is for reference only and is not the official minutes of the meeting. [00:00:04] I LIKE AUSTIN, BUT I LOVE SANTO BECAUSE LOVE DANCING IN THEN BACK DOWN THE ROAD. SO I, BUT I LOVE SAN TOWN AND WE'RE SO, I, BUT I LOVE SAN ANTONIO. IN SAN ANTONIO, PONTO. [PROCEDURAL  ] GOOD MORNING EVERYONE. WELCOME TO OUR CITY COUNCIL A SESSION. THE TIME IS 9 23 ON THIS THIRD DAY OF MARCH, 2022. UH, MADAM CLERK, COULD YOU READ THE ROLE COUNCILMAN HERE? COUNCIL MEMBER MCKEE RODRIGUEZ. PRESENT, COUNCIL MEMBER GRO. HERE. COUNCIL MEMBER ROCHA GARCIA. HERE. COUNCIL MEMBER CASTILLO. HERE. COUNCIL MEMBER EO HDA. HERE. COUNCIL MEMBER SANDOVAL. HERE. COUNCIL MEMBER PAZ HERE. COUNCIL MEMBER COURAGE PRESENT. COUNCIL MEMBER PERRY. MAYOR NIERENBERG. HERE. MAYOR, WE HAVE A QUORUM. GOOD MORNING. AND, UH, JUST, UH, FOR THOSE OF YOU WHO NOTICE THE NEW TUNE ON OUR WARMUP VIDEO THAT IS KEEPING IN WITH OUR, UH, CELEBRATION OF LOCAL ARTISTS. THAT WAS A NEW SONG OFF OF A NEW ALBUM FROM OUR LOCAL ARTIST, GARRETT CAPS. AND THE ALBUM TITLE IS I LOVE SAN ANDONE. THAT WAS ONE OF THE LEAD TRACKS. IT'S CALLED, I LIKE AUSTIN, BUT I LOVE SAN ANTONE. UM, SO THANK YOU VERY MUCH GARRETT, FOR, FOR THAT TUNE. DO ENCOURAGE YOU TO GO GET THE VINYL. IT IS OUT AND IT IS ON SHELVES. UH, TO START US OFF THIS MORNING, LET ME TURN IT OVER TO COUNCIL MEMBER MANNY PIAS TO WELCOME OUR IN VIATOR. THANK YOU, SIR. I AM, UM, VERY PROUD AND EXCITED TO INTRODUCE YOU TO A FRIEND OF, UH, OF THIS CITY, RABBI A ABRAHAM SCHEINBERG. UH, HE IS THE RABBI OF A VERY, VERY LUCKY CONGREGATION TO HAVE HIM AS THE RABBI ROD FA SHALOM. HE IS, UH, BEEN SERVING THIS SYNAGOGUE AND HAS BEEN, UH, ONE OF THEIR MEMBERS HIS ENTIRE LIFE. AND HE ALSO HAPPENS TO BE THE SON OF THE PREVIOUS RABBI SCHEINBERG, UH, WHO WE ALL MISS VERY MUCH AND WHO WE ALL LOVED VERY MUCH, UM, WHO WAS THE RABBI THERE FOR 50 YEARS. UH, RABBI, THANK YOU SO MUCH FOR JOINING US THIS MORNING. AND, UH, I, I KNOW THAT GETTING DOWNTOWN IS NOT EASY, UH, AND PARKING DOWNTOWN'S NOT EASY, BUT WE'RE ALL BLESSED TO HAVE YOU HERE. THANK YOU. THANK YOU FOR HAVING ME. AND, UH, TRAFFIC IS NEVER A PROBLEM IN SAN ANTONIO. THE ROADS ARE GREAT. THANK YOU. HONORED MAYOR DISTINGUISHED MEMBERS OF THE CITY COUNCIL. THANK YOU FOR YOUR INVITATION TODAY TO PRAY WITH YOU, OUR FATHER IN HEAVEN. PLEASE GRANT YOUR WISDOM TO THE MEMBERS OF THIS COUNCIL TO GUIDE THIS WONDERFUL CITY ON THE RIGHTEOUS PATH LIKE YOU DID TO KING SOLOMON, TO CREATE A CITY, A COMMUNITY THAT IS JUST AND FAIR, THAT SHOWS NO FAVORITISM TO THOSE WITH MONEY OR POWER THAT REPRESENTS AND CARRIES OUT THE TRUE WILL OF ITS OF THE PEOPLE. TO CREATE A CITY WITH THE OPPORTUNITIES THAT YOU, GOD INTENDED FOR ALL PEOPLE TO BE EDUCATED, TO BE ABLE TO EARN A LIVING THROUGH HARD WORK, TO BE, TO HAVE A FAMILY AND A SAFE PLACE TO CALL HOME AND TO CHOOSE LIFE AND GOODNESS OVER EVIL, TO CREATE A CITY WHERE ALL PEOPLE ARE FREE AND SAFE TO WORSHIP YOU, GOD, IN THE WAY OF THEIR HERITAGE. TO CREATE A CITY WHERE KNOWLEDGE, DIVERSITY, AND DIFFERENCES ARE TO BE CELEBRATED, NOT FEARED, WHERE FRIENDSHIP AND BROTHERHOOD BANISH INTOLERANCE AND IGNORANCE. PLEASE GOD, WE ALSO TAKE THIS TIME TO PRAY FOR THE PEOPLE OF UKRAINE AND RUSSIA, WHO, BECAUSE OF THEIR GOVERNMENT LEADER, WHO DOES NOT THINK OF HOW HE CAN PROMOTE THE PEOPLE'S WANTS AND NEEDS, BUT RATHER HOW THE PEOPLE COULD PROMOTE HIS WANTS AND NEEDS ARE FLEEING THEIR HOMES AND FEARING FOR THEIR LIVES. WE PRAY TO YOU, GOD, TO GIVE THIS CHAMBER THE WISDOM AND COURAGE TO DO WHAT'S [00:05:01] TRULY RIGHT BY THE WONDERFUL PEOPLE OF THIS GREAT CITY. AMEN. THANK YOU VERY MUCH, RABBI SCHEINBERG. ALL RIGHT. THE FIRST ITEM, UH, FOR ACTION TODAY ON OUR AGENDA IS THE APPROVAL OF CITY COUNCIL MEETING MINUTES OF FEBRUARY 9TH AND 10TH, 2022. THOSE ARE IN, UH, THE AGENDA. I'LL ENTERTAIN A MOTION FOR THOSE MINUTES. SECOND, THERE'S A MOTION AND A SECOND FOR THE APPROVAL OF THE CITY COUNCIL MEETING MEETING MINUTES OF FEBRUARY 9TH AND 10TH, 2022. HEARING NO FURTHER DISCUSSION, PLEASE VOTE. MOTION CARRIES. ALRIGHT, WE THANK YOU, UH, ALL WHO ARE HERE TODAY, UH, FOR YOUR PATIENCE. WE HAVE A LOT OF SPECIAL GUESTS IN OUR CHAMBERS TODAY. I WOULD SAY THE VAST MAJORITY OF THEM ARE WOMEN. UH, SO THANK YOU VERY MUCH FOR BEING HERE. SO IN HONOR OF THAT, UH, LET ME START OFF WITH SOME REMARKS AND THEN I'M GONNA CALL ON MY COLLEAGUES TO ALSO MAKE SOME REMARKS. SINCE 1970, THE MAYOR'S COMMISSION ON THE STATUS OF WOMEN HAS SERVED CITIZENS OF SAN ANTONIO WITH A MISSION TO FOSTER A CLOSER RELATIONSHIP AND A FULLER EXCHANGE OF IDEAS BETWEEN WOMEN OF RESPECTIVE DISTRICTS AND CITY COUNCIL MEMBERS TO FURTHER THE, THE EQUAL LEGAL, SOCIAL, POLITICAL, ECONOMIC AND EDUCATIONAL OPPORTUNITY AND ADVANCEMENT OF ALL WOMEN. OVER THE YEARS, THE COMMISSION HAS WORKED TO PROVIDE OPPORTUNITIES FOR WOMEN THROUGHOUT SAN ANTONIO TO INCREASE THEIR ROLES IN ENTREPRENEURSHIP, GAIN INSIGHT ON IMPORTANT HEALTH TOPICS, AND REDUCE THE NUMBER OF DOMESTIC VIOLENCE INCIDENTS AFFECTING WOMEN IN SAN ANTONIO. ON MARCH 8TH, THE MAYOR'S COMMISSION ON THE STATUS OF WOMEN JOINS WOMEN ACROSS THE GLOBE TO CELEBRATE INTERNATIONAL WOMEN'S DAY. THE THEME FOR 2022 IS BREAK THE BIAS AND THE MAYOR'S COMMISSION WILL KICK OFF THESE EFFORTS IN PARTNERSHIP WITH THE Y W C A WITH THE FIRST ANNUAL WAGE AND EQUITY SUMMIT ON WEDNESDAY, MARCH 23RD AT 9:00 AM AT HANGER NINE IN DISTRICT THREE, THE SUMMIT WILL BE THE FIRST OF FOUR SALARY NEGOTIATION WORKSHOPS THAT WILL BE HELD THROUGHOUT THE CITY IN THE COMING MONTHS. IN ADDITION TO THE SUMMIT, THE COMMISSION IS EXCITED TO HIGHLIGHT THE UPCOMING OPENING OF THE STATUS OF WOMEN IN SAN ANTONIO EXHIBIT AT THE CULTURAL COMMONS CALORIE AND PLAZA. THE ARM, THE EXHIBIT A COLLABORATION BETWEEN THE DEPARTMENT OF ARTS AND CULTURE IN SAN ANTONIO METRO SAN ANTONIO METRO HEALTH'S VIOLENCE PREVENTION PROGRAM WAS INSPIRED BY THE 2019 STATUS OF WOMEN IN SAN ANTONIO REPORT, AND WILL FEATURE A DIVERSE GROUP OF 15 SAN ANTONIO WOMEN ARTISTS WHO WERE ASKED TO REFLECT ON THE FINDINGS OUTLINED IN THE REPORT. AN OPENING RECEPTION WILL BE SECOND FROM SIX TO 9:00 PM AND IS OPEN TO THE PUBLIC TODAY. WE ASK THAT, WE ASK THAT TOGETHER WITH THE MAYOR'S COMMISSION ON THE STATUS OF WOMEN, WE RECOGNIZE INTERNATIONAL WOMEN'S DAY AND PLEDGE TO BREAK THE BIAS IN 2022. UH, I DO WANT TO RECOGNIZE AGAIN, ALL OF THE FOLKS WHO ARE HERE TO CELEBRATE OFFICIALLY THIS DAY, UH, IN THE MONTH AS WELL. AND I'D LIKE TO INVITE, UH, VICE CHAIR LEDY GONZALEZ FROM DISTRICT SIX TO COME TO THE PODIUM, UH, TO SPEAK ON BEHALF OF THE WOMEN'S, UH, EXCUSE ME, THE STATUS OF WOMEN'S COMMISSION. AND THANK YOU ALL AGAIN, UH, FOR YOUR ATTENDANCE TODAY. LETY. GOOD MORNING, MAYOR COUNCIL, THANK YOU SO MUCH FOR GIVING US TIME TODAY, AND THANK YOU FOR HELPING US BREAK THE BIAS IN YOUR DISTRICTS AND IN THE CITY AND IN OUR STATE. UM, WE ALL HAVE DAUGHTERS, THIS DAUGHTERS SISTERS, UH, FEMALES IN OUR LIVES, AND WE NEED TO HELP, UH, LIFT THEM UP. AND WE DO THAT BY, BY COMING TOGETHER, RIGHT? SO IT'S AN HONOR TO SERVE WITH THESE WOMEN HERE, AND WE THANK YOU FOR YOUR TIME AND THANK YOU FOR YOUR COMMITMENT AND BREAKING THE BIAS. THANK YOU VERY MUCH, HY AND, AND ALL THE STATUS WOMEN COMMISSIONS, EXCUSE ME, COMMISSION ON THE STATUS OF WOMEN, UH, AND DO WANNA RECOGNIZE THE NAMESAKE WHO STARTED THIS MOVEMENT LONG AGO. AND THAT IS OUR FORMER MAYOR, LILA COCKRELL, UH, IN WHOSE MEMORY, UH, LOT OF US WORK. UH, LET ME NOW PASS IT OVER TO COUNCIL MEMBER ROCHA GARCIA FOR SOME ADDITIONAL COMMENTS, UH, AND SOME RECOGNITIONS AS WELL. THANK YOU, MAYOR, AND THANK YOU ALL FOR BEING HERE. UM, LAST NIGHT, THE MAYOR AND I WERE AT AN EVENT AND, UH, THERE WAS A LOT OF WOMEN THERE, AND WE TOOK A PICTURE AND WE ALLOWED THE MAYOR TO, TO CRASH OUR PICTURE. SO I TOLD THE MAYOR, IT'S GONNA BE LIKE THIS ALL MONTH. AND SO, AND I'M SO EXCITED AND IT'S GREAT. AND THIS MORNING WE HAD ONE OF OUR COUNCIL, I SAY, OH, IS THIS THIS MORNING WOMEN'S EMPOWERMENT? AND I WAS LIKE, IT'S ALL MONTH. SO AGAIN, SO THANK YOU FOR BEING HERE. UM, AND THANKS FOR [00:10:01] ALLOWING ME TO HIGHLIGHT THE, UM, SIGNIFICANCE OF WOMEN'S HISTORY MONTH AND SPECIFICALLY THE UPCOMING GIRLS EMPOWERMENT SUMMIT, WHICH IS THE THIRD ANNUAL EMPOWERMENT SUMMIT. AND I WANNA START OFF BY THANKING CITY STAFF AND COMMUNITY PARTNERS FOR ORGANIZING THIS SERIES OF EVENTS IN MARCH TO COMMEMORATE AND CELEBRATE THE VITAL ROLE THAT WOMEN PLAY IN OUR HISTORY. I'M ESPECIALLY GRATEFUL TO MARIA VILLA GOMEZ, THE HIGHEST RANKING WOMAN LEADER IN THE CITY OF SAN ANTONIO'S ORGANIZATION FOR HER STEADFAST LEADERSHIP AND EXCEPTIONAL ABILITY TO MAKE EVEN THE MOST INSURMOUNTABLE TASK POSSIBLE. YOU'LL SEE ON THE SCREEN A VIDEO OF SOME OF THE WOMEN IN SAN ANTONIO THAT HAVE MADE HISTORY AND CONTINUE LEADING SOME OF OUR ORGANIZATIONS. OUR CITY IS FORTUNATE ALSO TO HAVE WOMEN LEADERS LIKE ASSISTANT CITY MANAGERS, LORI HOUSTON AND ALEX LOPEZ, AS WELL AS NUMEROUS CITY DEPARTMENTS LED BY WOMEN. INTERIM CITY CLERK DEBBIE, AKA SITTER, AND ASSISTANT CLERK ALDA PERKINS. I WANT TO THANK YOU ALL FOR CHOOSING A CAREER IN PUBLIC SERVICE AND SETTING THE EXAMPLE FOR OUR YOUNGER GENERATIONS, MANY OF WHOM WE HAVE TODAY. IT'S HARD TO IMAGINE THAT IT'S ONLY BEEN 102 YEARS SINCE WOMEN WERE ALLOWED TO VOTE, AND LESS THAN 60 YEARS SINCE CONGRESS PASSED THE CIVIL RIGHTS ACT OF 1964. IN SPITE OF THE DISENFRANCHISEMENT AND THE MARGINALIZATION OF WOMEN, OUR HISTORY IS FULL OF REMARKABLE WOMEN, AS YOU SEE, WHO HAVE DEFIED EXPECTATIONS AND BROKEN BARRIERS. SOME OF THESE WOMEN HAVE MADE HISTORY HERE IN SAN ANTONIO, AND WE SHOULD HONOR THEIR CONTRIBUTIONS TO OUR LOCAL COMMUNITY, NOT JUST IN MARCH, BUT IN OUR DAILY WORK TO MAKE SAN ANTONIO BETTER. AND I KNOW THAT Y W C A IS DOING THAT. I WHOLEHEARTEDLY BELIEVE IN EMPOWERING WOMEN AND BUILDING THE CONFIDENCE OF YOUNG GIRLS SO THAT THEY CAN REALIZE THEIR POTENTIAL AND BECOME LEADERS UPLIFTING ONE ANOTHER AND CREATING A MORE EQUITABLE AND INCLUSIVE SOCIETY SHOULD BE EMBEDDED INTO EVERY ASPECT OF OUR LIVES. I'M PROUD TO SAY I, ALONG WITH SOME OF MY COLLEAGUES, HAD THE OPPORTUNITY TO FORM PART OF THE FIRST, FIRST WOMEN MAJORITY ELECTED CITY COUNCIL IN 2020. WE WITNESSED ALSO THE FIRST WOMAN, THE FIRST BLACK AMERICAN, AND THE FIRST SOUTH ASIAN AMERICAN TO BE ELECTED VICE PRESIDENT. I HOPE THAT IN A NOT SO DISTANT FUTURE, WE WILL BE ABLE TO SEE THE FIRST WOMAN ELECTED PRESIDENT. IN MORE THAN 300 YEARS, THE CITY OF SAN ANTONIO HAS ONLY HAD TWO WOMEN ELECTED TO SERVE AS MAYOR LILA COCKRELL AND IVY TAYLOR. IN FACT, IF THAT FACT ALONE DOESN'T MOVE YOU, THEN YOU NEED TO ONLY WALK THE HALLS OF THE COUNCIL CHAMBERS TO SEE THE PORTRAITS DEPICTING FROM MAYORS OF AND SEE A COMMON THEME OF MALES TO BETTER SERVE AND REPRESENT OUR RESIDENTS, WE NEED OUR ELECTED OFFICIALS TO REFLECT OUR COMMUNITIES, NOT ONLY BY ELECTING MORE WOMEN, BUT ALSO PEOPLE FROM ALL WALKS OF LIFE, DIFFERENT OCCUPATIONS, PEOPLE OF DIFFERENT ABILITIES, EDUCATIONAL BACKGROUNDS AND DIFFERENT PERSPECTIVES. THROUGH TIME, WE'VE SEEN MORE WOMEN RUN FOR ELECTED OFFICE AND PLAY A CRITICAL ROLE IN SHAPING OUR CITY'S FUTURE. EVEN IN SAN ANTONIO, LEADING INDUSTRIES LIKE AN AEROSPACE, CYBERSECURITY, MANUFACTURING, TECHNOLOGY, HEALTHCARE, BIOSCIENCES, AND FINANCIAL SERVICES, THERE ARE WOMEN EMERGING AS LEADERS IN MALE-DOMINATED INDUSTRIES AND OCCUPATIONS. OUR CITY HAS EXCEPTIONAL WOMEN LEADERS LIKE I, OUR 502ND AIR BASE, WING AND JOINT BASE, SAN ANTONIO, COMMANDER BRIDGE, DEERE GENERAL, CAROLYN MILLER, WHO YOU SAW IN THE VIDEO. AND NUMEROUS WOMEN SERVING IN VARIOUS LEADERSHIP POSITIONS, INCLUDING MARINA GONZALEZ, PRESIDENT, C E O OF THE SAN ANTONIO HISPANIC CHAMBER, CHRISTINA RETE, PRESIDENT, AND C E O OF THE NORTH SAN ANTONIO CHAMBER OF COMMERCE. JENNA SORA, GREATER, S A T X, AND ALL OF HER EXECUTIVE WOMEN TEAM, CHRIS RETA, CHAIR PORT SAN ANTONIO, DR. LISA OCHOA WITH THE SAFE CLINIC, DR. ERICA GONZALEZ, FORMER CHAIR OF THE HISPANIC CHAMBER. FIRST LADY ERICA PROSPER, DR. KEELEY PETTY, ANDREA VOCAB SAN ANDERSON, DR. CYNTHIA TENTE MATSON FROM OSA, DR. LAWSON WHO JOINS US HERE TODAY. BIANCA RHOS, FIRM KNIGHT AEROSPACE, AND SS A B J 2021 WOMAN OF THE YEAR. CHERYL SCULLY, FORMER CITY MANAGER. AND NORMA S RODRIGUEZ, FORMER CITY CLERK FOR WHO THIS CHAMBER IS NAMED AFTER. AND WE OFTEN FORGET IT. THERE ARE THOUSANDS OF WOMEN WHO SHAPE OUR CITY, AND I WISH I COULD LIST THEM ALL AND FAILED THE COUNCIL CHAMBERS WITH THESE REMARKABLE WOMEN. THERE ARE THOUSANDS OF WOMEN WHO SHARE IN OUR CELEBRATION TODAY, AND I'M PROUD TO SHARE THAT SELENA FROM THE BOARDROOM PROJECT IS JOINING US TODAY, ALONG WITH SOME VERY SPECIAL GUESTS, AND I WANT TO THANK HER AND EVERY ORGANIZATION WHO HAS BEEN A PART OF THE GIRLS EMPOWERMENT SUMMIT EVER SINCE ITS INCEPTION. AND COUNCIL CHAMBERS TODAY WITH US IS ALSO ASSISTANT CHIEF VALERIE FRATTO, THE HIGHEST RANKING WOMAN IN THE SAN ANTONIO FIRE DEPARTMENT, WHO BROUGHT WITH HER SOME FEMALES THAT WILL BE HELPING WITH CAMP HERO LIKE HER. AND WE WILL HEAR FROM THEM IN JUST A TADD. ALTHOUGH WE SEE WOMEN PROMOTED TO LEADERSHIP POSITIONS IN THE FIRE SERVICES, WOMEN MAKE LESS THAN 4% OF PROFESSIONAL FIREFIGHTERS. THAT'S WHY PROGRAMS LIKE CAMP HERO, LIKE HER ARE SO VITAL AND A GREAT [00:15:01] OPPORTUNITY FOR YOUNG GIRLS TO EXPLORE CAREERS AS FIREFIGHTERS. I MAY BE BIASED, BUT THE BEST FIRE DEPARTMENT IN THE COUNTRY DESERVES MORE WOMEN FIREFIGHTERS WITH MORE WOMEN. I'M SURE ASSISTANT CHIEF FRATTO AND CHIEF HOOD WOULD AGREE THAT WE'LL SOON HAVE THE BEST FIRE DEPARTMENT IN THE ENTIRE WORLD. CHIEF, GO AHEAD. THANK YOU. SO FIRST OF ALL, I WOULD LIKE TO THANK YOU FOR THE INVITE TODAY. UH, WE ARE HONORED TO BE HERE AND, UM, VERY PROUD OF THE FEMALES THAT STAND BEHIND ME. UH, EACH OF US HAVE WORKED HARD AND PURSUED, UM, DIFFERENT CAREER PATHS WITHIN THE FIRE DEPARTMENT. SO WE WANT TO ENSURE THAT YOUNG WOMEN, UM, FROM ANYWHERE FROM THE AGES OF EIGHT TO 18 IS OUR, OUR FOCUS AREA, BUT WE WANT TO, UH, EXPOSE THEM TO THE CAREER, GIVE THEM THE OPPORTUNITY TO EXPERIENCE, UH, HANDS-ON WHAT, UM, IS ACTUALLY INVOLVED IN THIS CAREER, THE, UH, VARIOUS CAREER PATHS THAT CAN BE PURSUED AND THE SUCCESS THAT COMES ALONG WITH THAT. UM, SO WE ARE EXTREMELY, UH, GRATEFUL TO CITY COUNCIL AND THE, UH, PUBLIC, UH, AND THE MAYOR AS WELL AS THE, UH, PUBLIC MANAGERS THAT PUT THIS IN PLACE AND, UM, ORGANIZED THE GIRLS EMPOWERMENT SUMMIT BECAUSE THIS IS A, AN EXCELLENT OPPORTUNITY FOR US TO PIGGYBACK OFF OF THAT. AND ON FRIDAY, I BELIEVE IT'S MAY 11TH, THE GIRLS EMPOWERMENT SUMMIT IS TAKING PLACE. AND THE FOLLOWING DAY FROM 9:00 AM TO 1:00 PM WE ARE ACTUALLY HOSTING A, UM, GIRL'S, UH, HERO LIKE HER CAMP. AND SUPER EXCITED BECAUSE THE TURNOUT HAS BEEN AMAZING. THOSE CLASSES, WE, UM, LIMIT THEM TO ABOUT A HUNDRED, UM, YOUNG WOMEN. AND THOSE CLASSES FILL UP WITHIN 24 TO 48 HOURS. SO WE KNOW THE INTEREST IS THERE AND UM, IT'S JUST A MATTER OF, UM, ENGAGING WITH THESE FEMALES AND, UM, YOU KNOW, EXPLAINING WHAT, WHAT THE JOB ENTAILS AND ALL THE OPPORTUNITIES THAT GO ALONG WITH THAT. UH, I AM EXTREMELY, UH, HONORED TO BE A PART OF THE SAN ANTONIO FIRE DEPARTMENT AND WOULD LIKE TO PASS THAT MESSAGE ON TO OUR YOUNGER GENERATIONS. THANK YOU, CHIEF. AND THIS IS JUST ONE OF SEVERAL MALE DOMINATED INDUSTRIES WHERE WE HOPE YOUNG GIRLS WILL CONSIDER CHANGING THE STATUS QUO. IN 2019, THE STATUS OF WOMEN REPORT SHOWED US THE DISPARITIES IN TERMS OF EDUCATION, ECONOMIC ADVANCEMENT, AND CRIME. THESE ARE STARK REALITIES THAT WE CAN'T AFFORD TO IGNORE VIOLENCE AGAINST WOMEN, WHETHER THROUGH INTIMATE PARTNER VIOLENCE OR AS VICTIMS OF SEXUAL ASSAULT IN THE WORKPLACE. IT'S COSTING OUR LIVES, LIVES FOREVER LOST THAT LEAVE A MARK ON US ALL IN ONE FORM OR ANOTHER, AND WE OWE IT TO THE NEXT GENERATION OF WOMEN WHO COME. AND TO THE YOUNG GIRLS WHO LOOK AT US IMAGINING A WORLD OF ENDLESS POSSIBILITIES TO CONTINUE THE WORK THAT WE KNOW HAS TO BE DONE. IT'S A DISSERVICE TO OURSELVES IF WE ALLOW THE STATUS OF WOMEN REPORT OR OTHER REPORTS LIKE THE STATUS OF POVERTY REPORT TO SIMPLY BE SET ASIDE AND NOT ACTUALLY IMPLEMENT THE RECOMMENDATIONS AND INITIATIVES WE DESPERATELY NEED IN ORDER TO MAKE MEANINGFUL CHANGE. IN FACT, IT'S JUST AS FITTING TO PUT FORWARD A STATUS OF GIRLS REPORT TO SHOW US HOW OUR CITY IS MEETING THE NEEDS OF OUR YOUNG RESIDENTS, AND TO BETTER INFORM US ABOUT WHAT WE NEED TO DO TO IMPROVE AND TO ENSURE OUR GIRLS HAVE EVERY OPPORTUNITY TO PURSUE AND ACHIEVE THEIR GOALS. I'M GRATEFUL TO THE NUMEROUS ORGANIZATION EMPOWERING GIRLS ON A DAILY BASIS. GIRL SCOUTS OF SOUTHWEST TEXAS, GIRLS ON THE RUN, GIRLS INC. BIG BROTHERS, BIG SISTERS, LATINA, SIGNIFICANT YOU PEARLS, THE BOARDROOM PROJECT, THE LEMONADE CIRCLE, YOUNG WOMEN'S LEADERSHIP ACADEMY AND POWERHOUSE, FORMERLY KNOWN AS THE MARTINEZ STREET, UH, WOMEN'S CENTER AND THE Y W C A SAN ANTONIO. BUT I ALSO WANNA THANK THE MEMBERS OF THE MAYOR'S COMMISSION ON THE STATUS OF WOMEN AS WELL AS THE SAN ANTONIO YOUTH COMMISSION FOR THEIR CONTRIBUTIONS TO OUR CITY AND FOR REMINDING US THAT THERE'S GREAT DEAL OF WORK TO BE DONE, BUT PLENTY OF INDIVIDUALS THAT ARE ALSO READY TO HELP. OUR CITY IS MADE UP OF HUNDREDS OF THOUSANDS OF WOMEN WHO MAY NOT FEEL LIKE LEADERS OR FEEL LIKE THEIR LIVES ARE WORTHY OF BEING CELEBRATED. BUT WE NEED TO CHANGE THAT NARRATIVE BY EMPOWERING YOUNG GIRLS AND WOMEN. WE ARE SURROUNDED BY STRONG WOMEN WHO ARE MOTHERS, ELAS, DAUGHTERS, GRANDDAUGHTERS, TIA, ENA, NEIGHBORS, FRIENDS, RES COUNCILWOMEN AND LOVED ONES. THEY TEACH US HOW TO BALANCE OUR RESPONSIBILITIES AND SHOW US HOW COMPASSION AND KINDNESS IS PART OF OUR HUMANITY. SO AS LONG AS THERE'S PEOPLE WHO DOUBT THE CAPABILITIES OF WOMEN OR WHO QUESTION THEIR APTITUDE, THERE'S WORK TO BE DONE. BARRIERS TO BE ELIMINATED AND EXPECTATIONS TO BE EXCEEDED. ANYONE WHO TELLS YOU SOMETHING CAN BE DONE HASN'T MET A DETERMINED WOMEN. LESLIE, I WANT TO THANK THE MAYOR AND MY COUNCIL COLLEAGUES, CITY STAFF, AND OUR COMMUNITY PARTNERS AGAIN FOR SUPPORTING PROGRAMS LIKE THE GIRLS EMPOWERMENT SUMMIT AND RECOGNIZING THE IMPORTANT ROLE [00:20:01] OF WOMEN IN SAN ANTONIO. THANK YOU AND HAPPY WOMEN'S HISTORY MONTH TO ALL. THANK YOU. ALRIGHT, LET ME PASS IT NOW TO OUR CITY MANAGER TO ADD SOME, UM, CONTEXT AND PERSPECTIVE FROM OUR CITY. THANK YOU, MAYOR. GOOD MORNING, MAYOR AND COUNCIL. SO I KNOW ALL OF YOU'RE USED TO, UH, ME SHARING AN EMPLOYEE, UH, HIGHLIGHT VIDEO AT THE END OF OUR MEETINGS DURING CITY MANAGER'S REPORT, BUT IT WAS APPROPRIATE TODAY TO PULL THIS VIDEO UP AND SHARE, UM, THE VIDEO OF, OF MANY OF THE FEMALES, WOMEN IN OUR ORGANIZATION. UH, YOU'LL HEAR FROM OUR LEADERS SUCH AS, UH, DEPUTY CITY MANAGER, MARIA VILLA GOMEZ, UH, ASSISTANT CITY MANAGERS, LORI HOUSTON, ALEX LOPEZ, DR. ANITA KIAN, UH, AMY DE CONTRERAS FROM ANIMAL CARE SERVICES. MANY OF YOU KNOW AMY, MARY LOU TORRES WITH SOLID WASTE MANAGEMENT. UM, AND YOU'LL SEE, UH, MANY OTHER WOMEN THAT WORK IN OUR ORGANIZATION, UM, EVERY DAY. ALL OF OUR EMPLOYEES, UH, ARE PROVIDING THE BASIC SERVICES THAT CITIZENS EXPECT AND DESERVE. AND WE'RE DOING IT IN A TOP-NOTCH WAY. AND, UM, I THINK IT'S AN EXCITING OPPORTUNITY TO HIGHLIGHT, UH, THOSE LEADERS IN OUR ORGANIZATION AND THE ROLE THEY PLAY. UM, THEY ARE ALL, UH, VITAL TO THE SUCCESS OF OUR ORGANIZATION. THEY'RE ALL GREAT LEADERS, THEY'RE GREAT COLLEAGUES, AND THEY'RE WONDERFUL FRIENDS. UM, AND BEFORE WE ROLL THE VIDEO, I DID WANT TO SHARE THAT, UM, LEMME MENTION ONE PARTICULAR CITY EMPLOYEE WHO YOU DON'T SEE VERY OFTEN. YOU PROBABLY MAY SEE, UM, AND I DON'T KNOW IF SHE'S, SHE KNOWS I'M GONNA MENTION HER, UH, ROSEANNE GARCIA WITH OUR COMMUNICATIONS AND ENGAGEMENT DEPARTMENT, RIGHT? UH, ROSEANNE IS OUR SENIOR VIDEO PRODUCER WORKING BEHIND THE SCENES ON ALL THESE VIDEOS THAT I'M SHOWING EVERY WEEK. UM, AND, UM, SHE DOES A GREAT JOB, HER AND THE ENTIRE TEAM, AND I WANTED TO THANK HER, UH, TODAY, UH, FOR ALL THE WORK SHE'S DONE, UH, IN HELPING US WITH THIS EFFORT. LET'S ROLL THE VIDEO. HI, SAN ANTONIO, MARCH IS WOMEN'S HISTORY MONTH, AND ON MARCH EIGHT, WE CELEBRATE INTERNATIONAL WOMEN'S DAY. WE'D LIKE TO HONOR ALL THE WOMEN WHO WORK FOR THE CITY OF SAN ANTONIO. THANK YOU FOR YOUR HARD WORK AND DEDICATION WHILE SERVING OUR COMMUNITY. EACH DAY. WOMEN ARE IMPORTANT PART OF OUR COMMUNITY. THERE'S NO LIMIT TO WHAT WE AS WOMEN CAN ACCOMPLISH. WOMEN ARE STRONG, WE'RE POWERFUL, AND WE'RE RESILIENT. WE SUPPORT EACH OTHER'S GOALS AS WE STRIVE TO MAKE HISTORY. MORE THAN 4,000 WOMEN WORK FOR THE CITY OF SAN ANTONIO, AND IT IS MY HONOR TO INTRODUCE A FEW OF THESE EXTRAORDINARY WOMEN. WORKING FOR THE CITY MEANS I'M INVESTING IN THE COMMUNITY I LIVE IN, MY CHILDREN LIVE IN RIGHT EVERY DAY OF THE WEEK, EVERY WEEK OF THE YEAR. AND THE BEST PART IS WORKING WITH THIS INCREDIBLE TEAM THAT I HAVE OF DEDICATED PUBLIC HEALTH PROFESSIONALS WHO COME TOGETHER EVERY SINGLE DAY OF THE YEAR TO INVEST IN OUR COMMUNITIES, HELP OUR DEPARTMENT, HELPS PEOPLE, UM, STAY IN THEIR HOMES OR HELPS THEM FIND NEW HOMES THAT ARE AFFORDABLE FOR THEM. SO I JUST LOVE HELPING PEOPLE. THAT'S REALLY WHY I WENT INTO LOCAL GOVERNMENT BECAUSE IT GAVE ME A CHANCE TO, UM, HELP ALL OF OUR DIFFERENT CITIZENS. AND IN THIS DEPARTMENT ESPECIALLY, WE REALLY HELP SERVE THE MOST VULNERABLE IN OUR POPULATION. I GET TO ENJOY WORKING WITH ANIMALS AS WELL AS LIKE-MINDED PEOPLE. IT'S AN AMAZING FACILITY THAT, THAT HELPS GENERATE LEADERS. I LIKE DRIVING THE TRUCK. IT'S AN EXPERIENCE THAT I NEVER THOUGHT I, I WOULD KNOW HOW TO DO IT, BUT THERE'S NOT MUCH WOMEN THAT ARE IN THIS, UH, WORKFORCE. BEING A, A, A MOTHER, A GRANDMOTHER, AND HAVING MY KIDS LOOK UP TO ME AS A ROLE MODEL, WOMEN ARE OUR MOTHERS. THEY'RE OUR SISTERS. THEY'RE OUR DAUGHTERS. THEY ARE CARING. WOMEN ARE ARE OUR FUTURE. I, I CAN TELL YOU MEN, YOU WILL NOT SURVIVE WITHOUT WOMEN. . YOU CANNOT HAVE THAT FUTURE WITHOUT US. SO WOMEN ARE A FUTURE. THE WOMEN OFFICERS HERE AT ANIMAL CARE SERVICE IS SO COMPASSIONATE. THEY POUR THEIR HEART OUT EVERY DAY. THEY BEND BACKWARDS TO TRY TO MAKE LIFE BETTER FOR ANIMALS, UM, AND PROMOTE RESPONSIBLE PET OWNERSHIP AT THE SAME TIME. BEING A WOMAN IS MULTIFACETED. IT'S, IT'S COMPLEX. BUT IF YOU ASK ME, BEING A WOMAN IS BEING POWERFUL AND ASSERTIVE, YET BEING KIND AT THE SAME TIME, IT'S BEING VULNERABLE, COMPASSIONATE, WITHOUT FEELING THAT YOU ARE WEAK WHILE DOING [00:25:01] SO. YOU KNOW, IT'S, IT'S STRIVING FOR YOUR GOALS, EVEN IN THE FACE OF ADVERSITY THAT YOU MIGHT ENCOUNTER ALL ALONG THE WAY ABOUT ALL BEING A WOMAN TO ME IS BEING UNAPOLOGETIC ON WHO WE ARE, WHAT WE WANT, AND WHAT WE DESERVE. SO BE PROUD TO BE A WOMAN. JOIN US IN CELEBRATING WOMEN'S HISTORY MONTH, SAN ANTONIO MAYOR. IT'S, UM, IT'S, IT'S ALWAYS HARD WHEN WE DO THINGS LIKE THIS BECAUSE THERE ARE SO MANY GREAT LEADERS WITHIN OUR ORGANIZATION. AND AS YOU LOOK AT THE VIDEO, UM, PEOPLE LIKE LIZ PROVINCIO, UM, AND THE, THE, THE WORK SHE DOES WITH OUR ORGANIZATION AND THE LEADERS, SHE'S WITHIN OUR ORGANIZATION, DR. JUNE DE WU, UH, VEDO SOTO, UM, PARTICULARLY OVER THE LAST TWO YEARS. UM, SO MANY GREAT LEADERS WITHIN OUR ORGANIZATION AND I'M CERTAINLY THANKFUL TO BE CITY MANAGER. THANK YOU ERIC. GREAT VIDEO. AND, AND ALSO AGAIN, WELL DESERVED KUDOS TO ROSEANNE AS WELL, WHO DOES GREAT WORK FOR OUR CITY. LEMME PASS IT OVER NOW TO COUNCIL MEMBER VIA GRANT. THANK YOU. UM, SO EVERY YEAR MARCH HAS DESIGNATED WOMEN'S HISTORY MONTH AND THE MONTH IS SET ASIDE TO HONOR WOMEN'S CONTRIBUTIONS TO AMERICAN HISTORY. THIS STARTED AS A WEEK BACK IN MARCH 7TH, 1982. I WEAR WHITE TODAY TO HONOR THE SUFFRAGETTES THAT WA WALKED AND FASTED AND PROTESTED FOR OUR RIGHTS TO VOTE. BUT THROUGHOUT THE YEARS, WE BECAME A WOMEN'S HISTORY MONTH. AND TODAY WHAT I WOULD LIKE TO DO IS CELEBRATE WOMEN MAKING HISTORY NOW. SO I HAVE TWO ORGANIZATIONS HERE I'D LIKE TO HIGHLIGHT. THE FIRST IS FRIENDSHIP IS A NEW PRETTY FRIENDSHIP IS THE NEW PRETTY IS A 5 0 1 C THREE NONPROFIT ORGANIZATION ESTABLISHED IN MAY 8TH, 2019. IT INSPIRES ITS MEMBERS TO WALK IN THEIR PURPOSE PIPE, PROVIDING SELFLESS SERVICE THROUGH COMMUNITY SERVICE PROJECTS FOR WOMEN AND CHILDREN WHO ARE LESS FORTUNATE. THE FOCUS IS ON HELPING OTHERS TO SEE THERE IS HOPE BEYOND THEIR CURRENT SITUATION. WHILE THE NONPROFIT PROVIDES PROGRAMS AND SERVICES IN BOTH BAYER AND DALLAS COUNTY. IT'S EXECUTIVE BOARD, WHICH CONSISTS OF TWO VETERANS AND A SMALL BUSINESS OWNER CALLED SAN ANTONIO HOME. AND SO WE HAVE, UH, LORI JULIAN, DENISE BROMLEY, AND MEGAN ATKINSON HERE TODAY. AND, UM, THEY WILL BE SHARING IN A BIT. BUT FRIENDSHIP'S MOTTO IS TO BE THE MOST EMPOWERING AND DEDICATING GROUP OF VOLUNTEERS AND NOTHING LESS. THEY EXECUTE THIS MOTTO THROUGH PARTNERSHIPS WITH ORGANIZATIONS SUCH AS SAM MINISTRIES, THE STRONG FOUNDATION, THE FAMILY VIOLENCE AND PREVENTION SERVICES, BATTERED WOMEN AND CHILDREN'S SHELTER OF SAN ANTONIO, AND THE GENESIS BATTERED WOMEN'S AND SHE AND CHILDREN'S SHELTER OF DALLAS. UM, THE VETERAN PEER SUPPORT GROUP. UH, THE COMMON BOND OF THE MILITARY SERVICES SPOKE TO ME WHEN I MET WITH THEM ABOUT US BEING MILITARY CITY U S A. SO I AM SO GLAD THAT THEY, ON SATURDAY, APRIL 24TH IN, I BELIEVE DISTRICT FIVE AT CAMARGO PARK WILL BE HAVING A, UH, HOSTING A NON-PROFIT COMMUNITY HEALTH EXPO. AND I'M SO EXCITED THAT YOU GUYS ARE HERE. AND IF YOU COULD SHARE JUST A LITTLE, I'D APPRECIATE IT. GOOD MORNING. PRETTY PATRICK THURSDAY. THANK YOU FOR THE OPPORTUNITY TO BE HERE AND SHARE A LITTLE BIT ABOUT FRIENDSHIP AS NEW PRETTY. AT THIS TIME, I'LL INTRODUCE MY EXECUTIVE BOARD MEMBERS, MS. DENISE BROMLEY, MS. MEGAN AXON. SO WHEN WE FIRST BEGAN THIS BACK IN 2018, OUR FOCUS WAS PRIMARILY ON BATTERED WOMEN AND CHILDREN. UH, WE'VE EXPANDED OUR SERVICE TO WOMEN, VETERANS, AND ENG ANY, EXCUSE ME, ANY SINGLE WOMEN WITH CHILDREN NEEDING ASSISTANCE TO START A NEW LIFE. A LOT OF US BEGAN THIS BECAUSE, IT'S KIND OF CLICHE TO SAY, BUT A LOT OF US ALREADY WALKED IN THIS DARKNESS AND HAVE A UNDER PERSONAL UNDERSTANDING OF WHAT THESE WOMEN ARE GOING THROUGH. SO OUR FOCUS IS TO MAKE SURE THAT THESE WOMEN KNOW THAT THERE IS A LIGHT AT THE END OF THE TUNNEL. THAT THIS IS NOT HOW LIFE HAS TO BE. THAT YOU CAN'T CHANGE YOUR STARS, YOU CAN CHANGE THE CARDS, YOU CAN CHANGE THE GAME, AND YOU CAN ACTUALLY COME OUT ON TOP LIKE SOME OF US HAVE, WHO'VE ALREADY WALKED THAT PATH AND UNDERSTAND HOW HARD IT IS TO COME OUT OF WHAT THESE WOMEN HAVE EXPERIENCED. SO HERE'S OUR PASSION. THIS IS WHY WE DO WHAT WE DO. AND WE'RE HOPING THAT THESE WOMEN CAN FIND A WAY TO NOT ONLY UNDERSTAND THEY CAN GET OUT OF THERE, BUT ALSO AT THE SAME TIME TO GIVE BACK TO THOSE WOMEN WHO NEED HELP. AND BASICALLY JUST MULTIPLY WHAT WE'RE ATTEMPTING TO DO. SO IN YOUR PAMPHLETS OR PACKETS, UM, YOU'LL SEE OUR PAMPHLET. WE ALSO INCLUDED A FLYER ABOUT OUR UPCOMING EXPO. IT IS OUR FIRST NONPROFIT EXPO THAT WE HAVE PUT ON. OUR PURPOSE IS TO HIGHLIGHT OTHER NONPROFITS IN THE COMMUNITY SO PEOPLE UNDERSTAND WHAT SERVICES ARE [00:30:01] AVAILABLE. UM, WE ARE, UM, WORKING WITH, UM, SAN ANTONIO METRO'S HEALTH DISTRICT, UM, DEPARTMENT, I'M SORRY, AND A COUPLE OF OTHER PEOPLE TO MAKE SURE THAT WE HAVE VACCINATIONS DONE. WE WILL DO FREE AND CONFIDENTIAL, H I V AND SS T D TESTING, AND WE WILL HAVE OTHER PEOPLE THERE TO SHARE THEIR RESOURCES. SO THANK YOU SO MUCH FOR THE OPPORTUNITY AND WE HOPE TO SEE YOU THERE ON APRIL 23RD. AND WE CURRENTLY HAVE 21 NONPROFITS REGISTERED TO ATTEND. ALRIGHT, THANK YOU. THE OTHER GROUP I WOULD LIKE TO BRING UP, AND, AND WE'VE MENTIONED THEM QUITE OFTEN, IS THE Y W C A. SO, UH, FRANCESCA, CAN YOU, AND I'M NOT GONNA TRY AND NAME EVERYBODY BECAUSE IT'S A BIG GROUP, UH, I WOULD LIKE TO GIVE THEM A SHOUT OUT. WE HAVE TALKED ABOUT THEM THIS WHOLE TIME. UH, WHAT THEY'VE DONE, UH, TO PROVIDE A SAFE PLACE FOR WOMEN AND GIRLS AND BUILD STRONG WOMEN LEADERS AND ADVOCATE FOR WOMEN RIGHTS AND CIVIL RIGHTS, UH, IS HAS JUST BEEN AMAZING. UH, ESTABLISHED IN SAN ANTONIO IN 1910. THEY HAD A TREMENDOUS, THROUGHOUT THE YEARS, THEY'VE DONE ALL SORTS OF PROGRAMMING. THEY TAUGHT ME HOW TO SWIM , THAT'S WHY I CAN SWIM 'CAUSE OF THE, OF THE Y W C A. SO I'M SO GLAD THAT THEY'RE HERE AND, AND I'M EXCITED TO KICK OFF WOMEN'S HISTORY MONTH BY RECOGNIZING THEM AND HAVING THEM SHARE A FEW WORDS. THANK YOU SO MUCH, COUNCILWOMAN. VIA GRAND. WE LIKE TO SAY WE DON'T REALLY DO MUCH TEACHING OF SWIMMING ANYMORE, BUT WE DO KEEP WOMEN FROM DROWNING. UM, OUR MISSION IS TO EMPOWER WOMEN AND ELIMINATE RACISM. AND WE BELIEVE THAT WHEN YOU EMPOWER A WOMAN, YOU EMPOWER HER FAMILY AND THE WHOLE COMMUNITY. IT'S ESTIMATED THAT BY 20 30, 50 3% OF THIS COUNTRY WILL BE A WOMAN OF COLOR. SO WHAT WE DO TO TODAY WILL HAVE A DIRECT IMPACT ON WOMEN TOMORROW. I AM INCREDIBLY HONORED AND GRATEFUL TO BE HERE TODAY, BUT MOST IMPORTANT, I'M INCREDIBLY PROUD OF THESE AMAZING WOMEN STANDING BEHIND ME WHO HAVE BEEN ON THE FRONT LINES, SERVING WOMEN AND THEIR FAMILIES DURING C O V I D, WITH CHILDCARE AFTER SCHOOL, ECONOMIC EMPOWERMENT AND HEALTH SERVICES. THEY DESERVE ALL THE CREDIT FOR MOVING OUR ORGANIZATION FORWARD TODAY. AND WE ARE SO GREAT, I'M SO GRATEFUL FOR THEM. THIS MONTH FOR WOMEN'S HISTORY MONTH. AS, AS WAS MENTIONED EARLIER, WE'RE PARTNERING WITH THE MAYOR'S COMMISSION ON THE STATUS OF WOMEN AND BROOKS ON MARCH 23RD FOR THE FIRST ANNUAL WAGE EQUITY SUMMIT IN HONOR OF WOMEN'S HISTORY MONTH. WE ALSO HAVE ANOTHER EVENT ON MARCH 15TH THAT IS COMING UP. GOOD MORNING. THANK YOU FOR INVITING US. YES, I, I'M HERE TO INVITE YOU ALL FOR MARCH 15TH. LET'S CELEBRATE. LET'S CELEBRATE WOMAN. WE ARE HAVING A CELEBRATION ON, UH, DIVINE GRACE TO 11 NORTH PARK IS THE LAUNCH IN A CONFERENCE AND THE CITY SERVICES, UH, MANY REPRESENTATIVES OF YOUR DEPARTMENTS WILL BE THERE OFFERING DIRECT SERVICES TO THE COMMUNITY. SO YOU'RE INVITED, COME AND CELEBRATE FOR YOU. GENTLEMEN, COME AND CELEBRATE WITH US AND ALL WE SHOWING US YOUR SUPPORT. THANK YOU. THANK YOU VERY MUCH FOR BRINGING US HERE TODAY. WE'RE HONORED. UH, AND AND LASTLY, I DO WANT US AS WE HEAD INTO MARCH, AND WE HEAD INTO SPRING TO REMEMBER TO GET OUT NEXT WEEKEND. IF YOU ARE NOT DO DOING THE GIRLS EMPOWERMENT HERO, UH, THING, YOU CAN COME OUT AND JOIN ME AT, UM, SOUTH SIDE LIONS PARK FOR A FREE FIVE K AND A ONE MILE MARK WALK. SO PLEASE COME OUT AND THANK Y'ALL SO MUCH WOMEN FOR BEING HERE TODAY. AND I WANNA THANK THE, UM, THE MAYOR'S COUNCIL ON WOMEN IN WHAT YOU DO AND VANESSA, WHO REPRESENTS MY DISTRICT SO WELL, YOU'RE DOING AN AMAZING JOB. THIS IS AN INCREDIBLE MONTH AND IT IS JUST THE BEGINNING. SO WE'LL BE CELEBRATING WOMEN ALL MONTH AND PROBABLY, UM, UNTIL THE END OF THE YEAR. THANK YOU. THANK YOU VERY MUCH. COUNCIL MEMBER VIRON AND THE, AND THE MEN IN THE BUILDING ALSO, UH, APPLAUSE AND SALUTE THE WORK GOING ON. THANK YOU VERY MUCH, UH, EVERYONE FOR BEING HERE. UH, THERE ARE SOME OTHER SPECIAL GUESTS IN THE AUDIENCE TODAY THAT I WANT TO HIGHLIGHT. UH, THIS MORNING I HAVE THE PRIVILEGE OF RECOGNIZING NATIONAL AMERICAN RED CROSS MONTH AND JOINING US THIS MORNING, OUR VOLUNTEERS, STAFF AND BOARD MEMBERS OF THE GREATER SAN ANTONIO CHAPTER OF THE RED CROSS. SO IF Y'ALL COULD COME FORWARD, THE RED CROSS ARE OFTEN KNOWN AS THE SECOND RESPONDERS OF EMERGENCY SITUATIONS. THE PEOPLE, AS PEOPLE FACE THE MOST DIFFICULT DAYS OF THEIR LIVES, WHETHER IT BE HOME FIRES, WEATHER DISASTERS, OR OTHER MASS EMERGENCY SITUATIONS, THE RED CROSS ARRIVES AFTER FIRE, POLICE AND E M SS TO ENSURE THAT PEOPLE AFFECTED HAVE SHELTER AND RESOURCES TO RECOVER. THEY ALSO HELP OUR COMMUNITY GET PREPARED AND BE MORE RESILIENT IN THE FACE OF EMERGENCY SITUATIONS. I WANT TO THANK OUR [00:35:01] LOCAL RED CROSS STAFF AND VOLUNTEERS FOR THEIR SERVICE TO OUR COMMUNITY. THIS MONTH, AGAIN, IS NATIONAL RED CROSS MONTH, AND THE LOCAL CHAPTER WILL COMMEMORATE THIS BY HIGHLIGHTING THEIR WORK IN DISASTER SERVICES SERVICES TO ARMED FORCES INTERNATIONAL SERVICES, FIRE SAFETY AND VOLUNTEER SERVICES. AND THEY WILL HOST EVENTS AND ACTIVITIES THROUGHOUT THE ENTIRE MONTH. AND SO WITH US TODAY, UH, AS MICHAEL VELA AND A HOST OF OUR TEAM, UH, SO MICHAEL, GO AHEAD. DO YOU HAVE THE PODIUM? SURE. THANK YOU MAYOR AND COUNCIL. UM, SO LAST YEAR, THE AMERICAN RED CROSS, WHICH WAS ALSO FOUNDED BY A WOMAN, CLARA BARTON IN 1881, UH, CELEBRATED 140 YEARS OF SERVICE, HOPE AND INNOVATION. UM, THROUGHOUT THE MONTH OF MARCH, WE HOPE TO SHED LIGHT ON CLIENT STORIES OF HOPE AND SPOTLIGHT, OUR WONDERFUL STAFF, VOLUNTEERS, DONORS AND COMMUNITY PARTNERS THAT MAKE OUR MISSION POSSIBLE TO PREVENT AND ALLEVIATE HUMAN SUFFERING IN THE FACE OF EMERGENCIES. SO THANK YOU FOR THE RECOGNITION. THANK YOU. THANK YOU VERY MUCH, MICHAEL. UM, DON'T GO ANYWHERE. 'CAUSE I THINK, UM, UH, COUNCIL MEMBER PAEZ. THANK YOU. HEY, MICHAEL. UM, AND, AND TO ALL THE FRIENDS, UH, WEARING RED AND WHITE TODAY, I, UH, I I'M NOT DOING MY JOB, UH, AS A HUMAN BEING, UH, IF I DON'T MENTION THAT. UM, THE RED CROSS IS OUT THERE ON THE FRONT LINES RIGHT NOW IN UKRAINE TRYING TO HELP PEOPLE. UM, AND RIGHT NOW, UH, EACH AND EVERY CITY COUNCIL MEMBER SITS ON FUNDS CALLED C C P F FUNDS. YOU HAVE MY COMMITMENT, UM, TO SPEND SOME OF THOSE FUNDS ON THE AMERICAN RED CROSS. UM, GET ME THE APPLICATION AND TALK. CALL ME LATER, MICHAEL, AND I'LL GET IT. UM, AND, UM, I'LL CHALLENGE MY COUNCIL MEMBERS TO STEP UP AND HELP YOU UKRAINE AND HELP, UH, THE AMERICAN RED CROSS SAVE PEOPLE'S LIVES, UH, OUT THERE. THANK YOU FOR ALL THE GOD, YOU KNOW, ALL THE WORK THAT YOU'RE DOING. I REALLY APPRECIATE IT. THANK YOU, BY THE WAY. I LOVE SPENDING MY COLLEAGUES' MONEY. SO, UH, THANKS . THANK YOU VERY MUCH. HAVE A GOOD ONE, MICHAEL. GUYS, THANK YOU VERY MUCH, UH, ALL OF YOU FOR WHAT YOU DO EVERY DAY. LET [POINT OF PERSONAL PRIVILEGE  ] ME, UH, RECOGNIZE NOW COUNCIL MEMBER KIO HDA WITH A POINT OF PERSONAL PRIVILEGE, ACTUALLY, MAYOR, SORRY, I'M GONNA, I DO A HIGHLIGHT. SORRY, . OH, OKAY. BUT ACTUALLY, YOU KNOW WHAT? I'M JUST GONNA TAKE A SECOND. GO AHEAD PLEASE. WOMEN'S HISTORY MONTH. I THINK WE ALL, UM, SOMETIMES FORGET. I HAVE, WE HAVE A COLLEAGUE UP HERE THAT IS WITH CHILD AND SHE DOES AN AMAZING JOB. AND I JUST WANNA, YOU KNOW, IT, IT'S WOMEN'S EMPOWERMENT MONTH. AND, UM, ONE OF THE THINGS THAT CAN HELP US TO, UH, BE EMPOWERED IS WOMEN IS MOTHERHOOD. AND I WANNA JUST THANK HER FOR DOING SUCH AN AMAZING JOB. AND WE KIND OF FORGET THAT SHE'S PREGNANT 'CAUSE SHE, SHE'S GOING HARD. AND WE, UM, AND YOU WOULDN'T EVEN KNOW IT. BUT, UM, I'M EXCITED TO, TO MEET BABY SANDOVAL, BUT THANK YOU . ALRIGHT, AND THANK YOU EVERYONE WHO'S HERE TODAY. UH, WHETHER YOU'RE HERE FOR A CEREMONIAL OR NOT, UM, FOR YOUR PATIENCE, UH, WE HAVE A LOT OF THINGS TO CELEBRATE IN THIS COMMUNITY AND WANT TO THANK THE ORGANIZATIONS WHO SHOWED UP TO ATTEND AS WELL. UH, WE'RE GONNA GET ON NOW TO OUR AGENDA TODAY. AND FIRST, LET ME NOTE THAT FOR, UH, THE RECORD THAT ITEMS FOUR AND FIVE ARE LISTED FOR INDIVIDUAL CONSIDERATION. UM, I'LL ASK MY COLLEAGUES IF THERE ARE ANY OTHER ITEMS TO PULL FOR INDIVIDUAL CONSIDERATION. AND LET ME ALSO UPDATE FOR THE RECORD ON ITEM 16. THE MARCH 30TH B SESSION WILL BE MOVED TO TUESDAY, MARCH 22ND, AND THERE WILL NOT BE A PUBLIC COMMENT SECTION SESSION ON MARCH 23RD. AGAIN, WE'RE MAKING SOME CHANGES TO THE COUNCIL'S SCHEDULE ON ITEM 16. AND FOR THE RECORD, MARCH 30TH B SESSION WILL BE MOVED TO TUESDAY, MARCH 22ND, AND THERE WILL NOT BE A PUBLIC COMMENT SESSION ON MARCH 23RD. SO AT THIS TIME, ARE THERE ANY OTHER ITEMS TO PULL FOR INDIVIDUAL CONSIDERATION OFF THE CONSENT AGENDA, I HAVE ITEMS FOUR AND FIVE FOR INDIVIDUAL CONSIDERATION. [Acquisition, Sale or Lease of Real Property  ] AND ITEM 11 ALSO IS WITHDRAWN AND WILL NOT BE HEARD TODAY. ANY OTHER ITEMS TO HEAR INDIVIDUALLY? IF THERE ARE NONE, I'LL ENTERTAIN A MOTION FOR THE BALANCE OF THE CONSENT AGENDA. SO MOVE. OKAY. ALL RIGHT. THERE'S A MOTION AND A SECOND FOR, UM, BALANCE OF THE CONSENT AGENDA. THAT'S ALL ITEMS SAVED FOR FOUR AND FIVE. AND THEN NOTE, WE HAVE A 2:00 PM ZONING AGENDA AS WELL. UM, OKAY, LET ME CALL UP FOLKS WHO HAVE SIGNED UP FOR ITEMS THAT REMAIN ON CONSENT, WE HAVE, UH, MICHAEL MICHAEL SHACKLEFORD FOR ITEM 25. OKAY, MICHAEL'S NO LONGER HERE. OKAY. UM, MIKE PHILLIPS, ITEM 28. AND FOR MY COLLEAGUES, [CONSENT AGENDA  ] IF YOU'D LIKE TO HIGHLIGHT ITEMS OR WOULD LIKE TO [00:40:01] DISCUSS THE CONSENT AGENDA IN ANY WAY, JUST HIGHLIGHT CONSENT AGENDA ON YOUR TABLET AND THAT'LL QUEUE UP. I'M MIKE PHILLIPS WITH THE FIRST UNITARIAN UNIVERSALIST CHURCH AND A LEADER WITH COPS METRO. GOOD MORNING, I'M MARIA TI HEINA FROM OUR LADY GUADALUPE SHRINE AND A LEADER WITH COPS METRO. GO AHEAD. OUR LEADERS, OUR LEADERS HAVE, UM, LEARNED THAT THE CITY CONTRACT WITHOUT GRANT HYATT WAS RENEGOTIATED WITHOUT A LIVING WAGE PROVISION INCLUDED. UH, YES, SORRY. IF YOU'RE SPEAKING ON ITEM FOUR AND FIVE, WE'LL CALL YOU MOMENTARILY. I ALSO HAVE MIKE ON ITEM OH, 28. NO, YOU'RE NOT ON 28. NO, WE, OKAY. IF YOU CAN JUST HOLD FOR A MOMENT AND WE WILL CALL YOU UP WHEN THOSE ITEMS ARE ON, ON THE TABLE. SORRY GUYS. ALRIGHT, LET ME MOVE NOW TO COUNCIL DISCUSSION. THAT IS ALL THE CITIZENS WHO SIGNED UP TO SPEAK ON ITEMS REMAINING ON CONSENT. UH, LET ME START WITH COUNCIL MEMBER SANDOVAL. [Miscellaneous  ] THANK YOU, MAYOR. I DO HAVE ONE ITEM TO ACTUALLY TWO ITEMS TO HIGHLIGHT. UM, ITEMS 23 AND 24 ARE RESOLUTIONS OF NO OBJECTION FOR TWO 4% TAX CREDIT APPLICATIONS THAT SUPPORT REHAB PROJECTS FOR TWO AFFORDABLE APARTMENT COMPLEXES IN DISTRICT SEVEN, THE SORENTO AND COUNTRY CLUB VILLAGE. UH, IF YOU'VE, UH, HEARD ANYTHING I'VE SAID ON THIS DIOCESE ABOUT HOUSING, I'VE ALWAYS BEEN SUPPORTIVE OF REHABBING AND MAINTAINING THE AFFORDABLE HOUSING THAT WE AL THAT WE ALREADY HAVE. SO I'M THRILLED TO SEE THESE PROJECTS GO FORWARD TO SECURE AFFORDABLE HOUSING FOR THE RESIDENTS IN DISTRICT SEVEN. UH, BUT I'M ALSO HIGHLIGHTING THESE BECAUSE BOTH DEVELOPERS, UH, WHO ARE REHABBING ARE PRIORITIZING ENERGY EFFICIENCY AND WATER SAVING UPGRADES FOR THEIR PROPERTIES. THESE UPGRADES WILL CONSERVE ENERGY, REDUCE POLLUTION, ALLAY CLIMATE CHANGE, AND ALSO, VERY IMPORTANTLY, UH, IT WILL SAVE MONEY. THEY WILL SAVE MONEY FOR THE RESIDENTS WHO WILL SEE A DROP IN THEIR, IN THEIR ENERGY AND UTILITY BILLS. SO I WANNA THANK FAIRFIELD SORENTO AND PROSPERA AND VERSA DEVELOPMENT FOR PURSUING THESE IMPROVEMENTS. I'D ALSO LIKE TO, IF I CAN ENTER INTO THE RECORD A LETTER OF SUPPORT FROM THE MONTICELLO PARK NEIGHBORHOOD ASSOCIATION IN SUPPORT OF, UM, THE SORENTO PROJECT. THANK YOU, MAYOR. THANK YOU. COUNCIL MEMBER SANDOVAL. COUNCIL MEMBER CASTILLO. THANK [Capital Improvements  ] YOU MAYOR. I WOULD LIKE TO BRING ATTENTION TO ITEMS EIGHT AND NINE ON TODAY'S AGENDA. ITEM EIGHT IS AN AMENDMENT THAT WOULD PROVIDE THE LAS ALMAS, UH, LIBRARY PROJECT FROM THE 2017 BOND WITH AN ADDITIONAL 460,000 IN FUNDING. 300,000 WILL HELP SUPPORT THE COMPLETION OF INTERIOR RENOVATIONS CONSISTING OF NEW FURNITURE, CARPET, AND PAINT, AS WELL AS MECHANICAL, ELECTRICAL, PLUMBING TECHNOLOGY, SECURITY ADVANCEMENTS AND MINOR EXTERIOR BUILDING UPGRADES AND SIGNAGE AT LAS ALMA'S LIBRARY BY JANUARY OF 2023 THROUGH THE ESSAY PUBLIC LIBRARY FOUNDATION, PEGGY NORRIS LEE, AND THE H E B TECHNOLOGY ENDOWMENT GEN GENERALLY DONATED AN ADDITIONAL 160,000 TO LAS PALMAS, WHICH WILL COVER IMPROVEMENTS TO THE CHILDREN'S AND TEENS AREA, AS WELL AS IMPROVEMENTS TO THE MEETING ROOM 60,000, UH, FROM H E B TO CONNECT TECHNOLOGY SPACE OF THE LIBRARY. AND ALL OF US HERE KNOW JUST HOW IMPORTANT DIGITAL ACCESS IS, AND WE'RE EXCITED TO SEE THIS IMPROVEMENT IN OUR LAS PALMAS LIBRARY. THANK YOU, MAYOR. THANK YOU. COUNCIL MEMBER CASTILLO. COUNCIL MEMBER KIO HDA. [Grant Applications and Awards  ] THANK YOU MAYOR. UH, I'M HIGHLIGHTING ITEM 12, APPROVING FUNDS FOR TRUANCY INTERVENTION AND PREVENTION PROGRAM. THANKS TO JUDGE CARLO BLEO, WHO'S HERE, UM, FOR HER LEADERSHIP AND WORK AT THE MUNICIPAL COURT. GRANTS FOR PROGRAMS LIKE TRUANCY PREVENTION CAN HELP PROVIDE OPPORTUNITIES FOR AT-RISK YOUTH AND THEIR FAMILIES TO BE CONTACTED BY CASE MANAGERS. BUT BEYOND THAT, THIS IS ONE OF THE RARE OCCASIONS WHEN CITY GOVERNMENT CAN HAVE A DIRECT INFLUENCE ON EDUCATION, WHICH IS THE CLEAR JURISDICTION OF SCHOOL DISTRICTS, OF COURSE, AND THEIR BOARDS. THERE HAVE BEEN MANY REPORTS IN THE PRESS ABOUT THE HIGH NUMBER OF CHILDREN WHO HAVE NOT RETURNED TO IN-PERSON CLASSES THROUGH THE PANDEMIC, AND WERE UNACCOUNTED FOR DURING THE PANDEMIC'S REMOTE LEARNING EFFORTS. THIS CAN HAVE A GENERAL CONSEQUENCE FOR OUR CITY, A GENERATIONAL, I'M SORRY, CONSEQUENCE FOR OUR CITY. THE GRANT WILL HELP LESSEN THAT EFFECT BY USING THE MUNICIPAL COURT SYSTEM TO BRING THOSE MISSING STUDENTS BACK TO THEIR CLASSROOMS, BACK TO LEARNING. AND THIS IS ANOTHER EXAMPLE OF THE INNOVATION THAT JUDGE ABELLO HAS BROUGHT TO THE MUNICIPAL COURTS, THE KIND OF THINKING THAT MAKES US A BETTER CITY. THE ADDITIONAL SIX CASE MANAGER POSITIONS WILL PROVIDE RESOURCES TO CHILDREN AND FAMILIES AS WE TALK ABOUT THE IMPORTANCE OF MENTAL HEALTH, ISOLATION, AND LONG LASTING EFFECTS OF C OVID 19 GRANTS LIKE THIS PROVIDE THE INITIAL OUTREACH THAT DES THAT CHILDREN DESPERATELY NEED. UH, JUDGE IF YOU HAVE A FEW COMMENTS, COUNCILMAN K HARA, THANK YOU FOR, UM, HIGHLIGHTING THIS IMPORTANT ISSUE, UH, WITH THE PANDEMIC. THERE ARE SO MANY OTHER ISSUES THAT HAVE ARISEN, UH, [00:45:01] THAT ARE CAUSING CHILDREN TO BE TRUANT. AND SO WE'RE TRYING TO TAKE A UNIFORM NON-PUNITIVE APPROACH TO, TO GETTING KIDS BACK IN SCHOOL, ESPECIALLY AT THIS TIME, SCHOOL ATTENDANCE HAS REALLY BEEN AFFECTED BECAUSE OF THE PANDEMIC. AND SO THANK YOU FOR YOUR KIND WORDS. AND I JUST WANTED TO TAKE ONE MOMENT BECAUSE I REALLY WANNA RECOGNIZE THIS SPECIAL WOMAN WHO, NOT ONLY NORMA MORALES ARIA, WHO IS OUR COURT ADMINISTRATOR, IN ADDITION TO EVERYTHING ELSE THAT SHE DOES AT THE COURT, SHE ALSO OVERSEES THE JUVENILE CASE MANAGERS AND SHE'S JUST DONE AN AMAZING JOB. SO THANK YOU FOR HAVING US HERE TODAY. AND I JUST WANNA THANK NORMA FOR ALL HER HARD WORK. SHE'S AN AMAZING WOMAN. THANK YOU, CARLA. THAT'S A GREAT EXAMPLE OF WOMEN, UH, HELPING WOMEN, SO I APPRECIATE THAT AND RECOGNIZING WOMEN. BUT, UM, BUT THANK YOU AGAIN FOR YOUR WORK AT THE, AT THE COURTS. THANK YOU. THANK YOU, MAYOR. THANK YOU. THANK YOU. COUNCIL MEMBER KIO HDA, COUNCIL MEMBER GRO. THANK YOU. I WANNA HIGHLIGHT ITEM 28, UH, SOUTH SIDE LIONS PARK CONTINUES TO GROW. WE HAVE A SENIOR CENTER, WE HAVE A DOG PARK. WE HAVE SO MANY TRAILS THERE. SO WHAT WE ARE DOING TODAY IS WE ARE GOING TO NAME THE COMMUNITY CENTER AND GYM TO THE RAMO VI QUIN COMMUNITY CENTER. UH, MR. QUINTERO WAS A ARIAN, LIVED TO BE A HUNDRED YEARS OLD, PASSED IN MAY 14TH, 2021. IT WAS A WORLD WAR II VETERAN WHO SERVED THE UNITED STATES ARMY FROM 1941 TO 1945 IN THE FIJI ISLANDS, AND WENT ON TO COME BACK HOME TO SAN ANTONIO AND WAS INSTRUMENTAL IN FOUNDING THE SUNNY SLOPE PASADENA HEIGHTS NEIGHBORHOOD ASSOCIATIONS IN 1982. AND THOSE WERE THE, THOSE WERE THE NEIGHBORHOOD ASSOCIATIONS THAT LED, LED THE EFFORTS TO GET A GYM BUILT AT THE SOUTH SIDE LIONS COMMUNITY CENTER. SO WE ARE, I'M VERY EXCITED ABOUT MOVING THIS FORWARD TODAY. I'M VERY EXCITED ABOUT THE GROWTH OF THE PARK AND LOOKING FORWARD TO NAMING OTHER, UH, FACILITIES THAT WE BUILD THERE AFTER MY RESIDENTS WHO WORK VERY HARD. THANK YOU. THANK YOU. COUNCIL MEMBER VRAN, ANY OTHER DISCUSSION ON THE ITEMS REMAINING ON CONSENT? HEARING NONE, THERE'S A MOTION AND A SECOND FOR APPROVAL OF THE CONSENT AGENDA. ALL ITEMS SAVED FOR FOUR AND FIVE, AND THEN ITEM 11, WHICH WAS WITHDRAWN, HEARING NO FURTHER DISCUSSION, PLEASE VOTE. MOTION CARRIES. OKAY, WE'RE GONNA PROCEED WITH THE INDIVIDUAL ITEMS FOUR AND FIVE NOW. SO, UH, LET ME CALL THOSE ITEMS UP. MADAM CLERK, COULD YOU READ THE CAPTION ON ITEM FOUR? AND I BELIEVE WE'RE GONNA TAKE THE TWO SEPARATE. ANDY? YES. OKAY. SO LET ME CALL ITEM [ACTION ITEMS FOR STAFF BRIEFING] FOUR. YES, WE'RE GONNA TAKE TWO SEPARATE, JUST FOUR. ITEM NUMBER FOUR IS AN ORDINANCE APPROVING THE ISSUANCE BY THE PUBLIC FINANCE AUTHORITY, A GOVERNMENT ENTITY ESTABLISHED UNDER THE LAWS OF THE STATE OF WISCONSIN, THE ISSUER OF ITS HOTEL REVENUE BONDS IN ONE OR MORE SERIES, IN AN AGGREGATE PRINCIPLE AMOUNT NOT TO EXCEED $450 MILLION, PRIMARILY TO FINANCE COSTS OF ACQUIRING GRAND HYATT, SAN ANTONIO RIVER ROCK HOTEL BY C F C S A L L C, AN ARIZONA LIMITED LIABILITY COMPANY. THE BORROWER APPROVING A SECOND AMENDMENT AMENDED AND RESTATED GROUND LEASE AND LICENSE AGREEMENT BETWEEN THE CITY AS LANDLORD AND THE BORROWER AS TENANT AND A LANDLORD, TENANT AND MANAGER NON DISTURBANCE AND A AND A TORMENT AGREEMENT AMONG THE CITY, THE BORROWER AND THE HYATT CORPORATION AS THE OPERATOR OF THE HOTEL CONSENTING TO THE ASSIGNMENT OF THE BORROWER OF THE EXISTING GROUND LEASE WITH HOTEL INVESTMENTS. L L C, THE CURRENT TENANT OF THE HOTEL, THE ROOM BLOCKING AGREEMENT AND THE RIVERWALK ACCESS AGREEMENT RELATING TO THE HOTEL, MAKING CERTAIN FINDINGS AND REPRESENTATIONS RELATED, RELATING TO THE HOTEL AND THE CITY'S CONVENTION CENTER APPROVING THE ISSUANCE OF BONDS AND THE PROJECT BEING FINANCED. THEREWITH FOR PURPOSES OF SECTION 1 47 F OF THE INTERNAL REVENUE CODE AUTHORIZING CERTAIN CITY OFFICIALS TO APPROVE AND EXECUTE ALL OTHER RELATED AGREEMENTS AND DOCUMENTS AND TAKE ALL OTHER ACTIONS DEEMED NECESSARY IN CONNECTION THEREWITH AND APPROVING OTHER RELATED MATTERS. UM, MADAM CLERK, COULD YOU ALSO READ ITEM FIVE? WHAT WE'RE GONNA DO IS WE'RE GONNA TAKE BOTH ITEMS UP, UH, SEPARATELY IN, IN TERMS OF ACTION, BUT WE'LL HAVE THE DISCUSSION TOGETHER SINCE THE'S SAME, UM, SAME SITUATION. ITEM NUMBER FIVE IS A RESOLUTION OF THE CITY OF SAN ANTONIO, TEXAS CONVENTION CENTER HOTEL FINANCE CORPORATION AUTHORIZING THE DEFIANCE AND REDEMPTION OF ALL OUTSTANDING CITY OF SAN ANTONIO, TEXAS CONVENTION CENTER HOTEL FINANCE [00:50:01] CORPORATION, CONTRACT REVENUE EMPOWERMENT ZONE BONDS SERIES 2 0 0 5 A AND THE DEFIANCE AND POSSIBLE REDEMPTION OF ALL OUTSTANDING CITY OF SAN ANTONIO, TEXAS CONVENTION CENTER HOTEL FINANCE CORPORATION, CONTRACT REVENUE BONDS, TAXABLE SERIES 2 0 0 5 B, AND APPROVING ALL OTHER RELATED MATTERS. GOOD MORNING, MARION COUNCIL MEMBERS, IT'S MY PLEASURE TO BE HERE THIS MORNING TO PROVIDE THE STAFF BRIEFING AND A RECOMMENDATION ON ITEMS FOUR AND FIVE. AND AS YOU STATED, MAYOR, UH, IN THE PRESENTATION, I'LL COVER BOTH ITEMS BECAUSE THEY'RE REALLY RELATED. WHILE WE'LL HAVE TO ASK YOU TO ACT SEPARATELY ON BOTH ITEMS, THE PRESENTATION WILL ADDRESS BOTH, UH, VERY LONG CAPTIONS THAT THE CLERK JUST READ. I'LL TRY TO SUMMARIZE A LITTLE BIT HERE WHAT WE'RE GONNA ASK YOU TO APPROVE TODAY. SO ITEM FOUR WILL APPROVE THE ISSUANCE OF UP TO $450 MILLION IN BONDS BY THE PUBLIC FINANCE AUTHORITY OF WISCONSIN. UH, THOSE PROCEEDS WILL BE USED TO PRIMARILY TO BE USED TO ACQUIRE THE GRAND HYATT SAN ANTONIO BY A NONPROFIT C F C S A. UH, THIS IS NOT, IT'S A CONDUIT ISSUANCE. THIS IS NOT A, A CITY BOND ISSUANCE, AND WE HAVE NO LIABILITY FOR REPAYMENT OF THE BONDS. AND I'M GONNA, I'M GONNA TALK ABOUT THAT A LITTLE BIT MORE IN A SECOND. UH, WE'RE ALSO GONNA BE APPROVING A AMENDED AND RESTATED GROUND LEASE AND LICENSE AGREEMENT WITH THE NONPROFIT. UM, AND THEN WE'LL BE APPROVING THE ASSIGNMENT, UH, OF A NUMBER OF AGREEMENTS INCLUDING THE ROOM BLOCKING AGREEMENT THAT'S IN PLACE TODAY, THE RIVERWALK ACCESS AGREEMENT, AND ANOTHER OTHER, A NUMBER OF OTHER DOCUMENTS THAT ARE IMPORTANT, UM, THAT WE'LL NEED TO MOVE OVER AS PART OF THIS TRANSACTION. THE SECOND ITEM, ITEM NUMBER FIVE, UM, WE'LL ASK YOU TO CONVENE AS THE SAN ANTONIO CONVENTION CENTER, UH, HOTEL FINANCE CORPORATION BOARD. AND WE'RE GONNA BE ASKING YOU TO AUTHORIZE DEFIANCE, UH, BASICALLY THE REPAYMENT OF THE BONDS THAT ARE CURRENTLY OUTSTANDING THAT WERE ISSUED IN 2005. SO LET ME JUST SPEND A LITTLE BIT OF TIME TALKING ABOUT SOME BACKGROUND HERE AND WHY A CONVENTION CENTER HOTEL OR HEADQUARTERS HOTEL IS IMPORTANT FOR US AND WHY THE CITY PURSUED THIS BACK IN 2005. YOU KNOW, CLEARLY I THINK IT'S AN IMPORTANT, UM, UM, IMPORTANT IN THE MIX IN TERMS OF OUR ABILITY TO GO OUT AND ATTRACT AND BE COMPETITIVE AND ATTRACTING MAJOR EVENTS AND MAJOR CONVENTIONS TO SAN ANTONIO. UM, BACK IN, UH, 2012, WE ACTUALLY AUTHORIZED, UH, AND APPROVED THE FINANCE PLAN TO INVEST ANOTHER $325 MILLION IN OUR EXPANDED CONVENTION CENTER, WHICH OPENED IN JANUARY OF 2016. THAT FACILITY NOW HAS OVER 1.6 MILLION GROSS SQUARE FOOT, UH, FEET OF SPACE. HAS OVER 500,000 SQUARE FEET OF CONTIGUOUS EXHIBIT SPACE, ABOUT 88,000 SQUARE FEET OF COLUMN FREE MULTIPURPOSE SPACE OVER, UH, 70 MEETING ROOMS, INCLUDING DIVISIBLE BREAKOUT ROOMS. AND WE STILL HAVE THE LARGEST BALLROOM IN TEXAS. IT'S OURS AT NIGHT BALLROOM WITH 54,000 SQUARE FEET. SO WE'VE GOT A WONDERFUL FACILITY THAT WE'VE EXPANDED THAT HAS BEEN IN OPERATION SINCE JANUARY OF 2016. UM, WE ALSO HAVE OUR ALAMO DOMA MULTIPURPOSE SPORTS FACILITY. UH, YOU CAN SEE IN THE PICTURE THERE, OBVIOUSLY VERY CLOSE PROXIMITY TO THE CONVENTION CENTER CONNECTED BY A PEDESTRIAN WALKWAY UNDER IH 37, EASILY ACCESSIBLE FROM THE CONVENTION CENTER AND FROM THE GRAND HYATT, SAN ANTONIO RIVERWALK, UH, HOTEL. THE CONVENTION CENTER ITSELF, UM, ON A TYPICAL YEAR, WILL HOST MORE THAN 300 EVENTS WITH OVER 750,000, UH, CONVENTION DELEGATES ATTENDING FROM AROUND THE WORLD. SO THIS IS A PART OF OUR LOCAL ECONOMY, IT'S AN IMPORTANT PART OF OUR LOCAL ECONOMY, AND CERTAINLY HAVING A CONVENTION CENTER HOTEL, UH, ADJACENT TO, UM, LITERALLY ON THE FRONT STEPS OF OUR CONVENTION CENTER IS AN IMPORTANT ASSET FOR THE COMMUNITY AND FOR OUR ABILITY TO GO OUT AND ATTRACT THESE TYPES OF EVENTS. YOU KNOW, AGAIN, FROM A, UH, PROXIMITY PERSPECTIVE, THERE ARE A NUMBER OF THINGS THAT ARE IN CLOSE PROXIMITY TO THE HOTEL, INCLUDING OUR LILA, LILA COCKRELL THEATER, WHICH HAS A LITTLE OVER 2300 SEATS, OUR PERFORMING ARTS THEATER, I MENTIONED THE ALAMO DOME ALREADY, THE TOWER OF AMERICAS, THE RIVERWALK, THE ALAMO. I THINK AS WE LOOK BACK, SINCE THE HOTEL HAS OPENED IN 2008, UM, CERTAINLY IT HAS BEEN INSTRUMENTAL IN OUR ABILITY TO SUPPORT AND A TRACK EVENTS SUCH AS THE N C A BASKETBALL FINAL FOUR, AND MANY OTHER LARGE CONVENTIONS, UH, AND EVENTS, UH, FOR THE COMMUNITY. I'M GONNA SPEND A LITTLE BIT OF TIME TALKING ABOUT THE BACKGROUND OF THE CURRENT DEAL SO THAT WE CAN EXPLAIN HOW THAT IS CHANGING AS WE MOVE TO THE PROPOSED TRANSACTION. SO THE CITY PROVIDED FOR, OR ALLOWED FOR THE PRIVATE CONSTRUCTION OF A HOTEL ON CITY OWNED LAND THROUGH A GROUND LEASE, THE CITY SUPPORTED THE BOND, UH, THE ISSUANCE OF ABOUT A LITTLE OVER $208 MILLION IN BONDS IN 2005 THAT WERE USED IN CONJUNCTION WITH FI UH, PRIVATE FUNDING TO CONSTRUCT THAT HOTEL. I WANNA BE REALLY [00:55:01] CLEAR HERE THAT THE CITY OF SAN ANTONIO DOES NOT OWN THE HOTEL. THE CITY HAS NEVER OWNED THE HOTEL, SO I WANNA BE REALLY CLEAR ABOUT THAT. THAT IS NOT OUR ASSET. WE OWN THE GROUND UPON WHICH THAT HOTEL HAS BEEN CONSTRUCTED. UM, THOSE BONDS THAT WERE ISSUED WERE TO BE PAID BACK FROM REVENUES FROM HOTEL OPERATIONS. AND THEN IN ORDER TO HELP, UH, THE PROJECT, THE FEASIBILITY OF THE PROJECT, THE CITY DID PLEDGE CERTAIN HOT TAX REVENUES, UM, TOWARDS THAT BOND ISSUE. UH, OUR CITYWIDE 2% HOTEL OCCUPANCY TAX, ALONG WITH THE 7% HOT THAT'S GENERATED AT THE HOTEL SPECIFICALLY, AND BY PLEDGED, UH, IT ESSENTIALLY MEANT THAT IF REVENUES FROM THE HOTEL WEREN'T SUFFICIENT TO COVER DEBT SERVICE, THEN WE COMMITTED TO USE THOSE PLEDGE REVENUES TO HELP MAKE UP DEBT SERVICE SHORTFALLS. THE HOTEL DID OPEN IN MARCH OF 2008. IT IS CURRENTLY OWNED AND OPERATED BY THE HYATT CORPORATION. IT IS A PREMIER FULL SERVICE CONVENTION CENTER HOTEL WITH JUST OVER A THOUSAND ROOMS. PRIOR TO THE PANDEMIC, UH, REVENUES FROM THE HOTEL DID COVER ALL OF THE DEBT SERVICE PAYMENTS ON THE HOTEL BONDS. UM, AND THEN OF COURSE, WITH THE GLOBAL PANDEMIC THAT SIGNIFICANTLY IMPACTED BUSINESS AND LE LEISURE TRAVEL. UM, THE GRAND HYATT, SAN ANTONIO RIVERWALK HOTEL WAS NOT IMMUNE FROM THAT IMPACT. AND, UH, DURING THE PANDEMIC, WE DID USE SOME OF OUR PLEDGED HOT REVENUES TO MAKE UP DEBT SERVICE SHORTFALLS IN 2020 AND 2021. THE TOTAL AMOUNT OF, UH, REVENUE THAT WE USED WAS $10.4 MILLION. UM, I ALSO DO WANT TO NOTE THAT THE, THE BONDS HAVE PAYMENTS IN JULY AND JANUARY OF EVERY YEAR. THIS PAST JANUARY. HOTEL OPERATIONS FULLY PAID FOR THAT DEBT SERVICE PAYMENT. WE DID NOT CONTRIBUTE ANYTHING TOWARDS THAT. UM, THAT DEBT SERVICE REQUIREMENT. THE, UH, GROUND LEASE PAYMENTS, UH, THAT ARE THERE FOR A UTILIZATION OF THE LAND THAT HAVE BEEN IN PLACE SINCE THE INDENTURE, THEY HAVE BEEN ACCRUING SINCE 2008, BUT THEY HAVE NOT BEEN PAID. UH, WE'VE TALKED ABOUT BEFORE THAT THE CURRENT BOND STRUCTURE HAS A, ESSENTIALLY A PRIORITY OF PAYMENTS. SOME PEOPLE CALL THAT A WATERFALL. IF YOU THINK ABOUT REVENUES COMING IN, YOU FUND, UM, PRIORITY PAYMENTS FIRST, OR YOU YOU FUND THINGS IN A CERTAIN ORDER. OPERATING EXPENSES ARE TYPICALLY FIRST, AND THEN YOU GO DOWN, UH, THE LIST. UH, IN THIS CASE, WHAT WAS STRUCTURED IN 2005, OUR GROUND LEASE PAYMENT IS, IS ONE OF THE LOWER, UM, BUCKETS IN THAT FLOW OF FUNDS. SO THAT IS WHY THAT AMOUNT HAS NOT BEEN PAID AND HAS ACCRUED, UH, AT ABOUT $4.9 MILLION. AND THAT'S INCLUSIVE OF INTEREST. SO AS I TALK ABOUT MOVING TO THE PROPOSED TRANSACTION, I JUST WANT TO GIVE YOU A LITTLE BIT MORE, UH, CONTEXT ABOUT SOME OF OUR CONVERSATIONS WITH HYATT. YOU KNOW, PRIOR TO THE PANDEMIC, WE WERE IN CONVERSATIONS WITH, UH, REPRESENTATIVES FROM HYATT. THEY HAD APPROACHED THE CITY ABOUT POTENTIALLY BUYING OUT THE, UH, THE GROUND LEASE, ESSENTIALLY ACQUIRING, UH, FEE SIMPLE TITLE TO THE LAND THAT WE OWNED. UH, THERE WERE A NUMBER OF OPTIONS, UH, DISCUSSED PRIOR TO THE PANDEMIC. A NUMBER OF THINGS THAT WE LOOKED AT. UH, THE PANDEMIC CAME ALONG AND OBVIOUSLY WE HAD TO PAUSE OUR CONVER, UH, PAUSE OUR CONVERSATIONS, UH, FOR A PERIOD OF TIME. WE DID RESUME THOSE DISCUSSIONS, UH, THIS PAST, UH, YEAR IN 2021. AND AS WE RESUMED THOSE CONVERSATIONS AND STARTED TO LOOK AT OPTIONS AND, AND, AND HAVE THOSE DISCUSSIONS AGAIN, YOU KNOW, FROM OUR PERSPECTIVE, ULTIMATELY WE BELIEVED AND RECOMMENDED THAT, UH, WE SHOULD CONTINUE TO OWN THE LAND. WE BELIEVE THAT IS AN ESSENTIAL ASSET. UH, YOU CAN SEE THE, THE PROXIMITY OF THAT LAND. THE, THE HOTEL SITS ON OUR CONVENTION CENTER ACTUALLY WRAPS AROUND THAT BUILDING, UM, THAT CORNER OF DOWNTOWN FOR US. WE'LL SEE A LOT OF ADDITIONAL GROWTH WITH H PARK AND SOME OF THE IMPROVEMENTS THAT ARE HAPPENING THERE. AND SO WE THINK THAT'S AN ESSENTIAL ASSET THAT, THAT WE NEED TO RETAIN. UM, AT THE END OF THE DAY, THAT REALLY LED US INTO THIS DISCUSSIONS AROUND THE PROPOSED TRANSACTION THAT I'M GONNA WALK THROUGH WITH YOU THIS MORNING. UH, AND I'M GONNA GO THROUGH IN A LITTLE BIT OF DETAIL. YOU KNOW, I THINK THIS PROPOSED TRANSACTION AS WE WENT INTO IT, I THINK CERTAINLY HYATT HAD SOME OBJECTIVES THEY WERE TRYING TO ACHIEVE. THERE WERE CERTAINLY SOME OBJECTIVES WE WANTED TO ACHIEVE, AND I REALLY THINK THIS PROPOSED TRANSACTION PROVIDES THE OPPORTUNITY FOR BOTH PARTIES, UH, TO BE ABLE TO ACHIEVE OUR RESPECTIVE OBJECTIVES THAT WE SET OUT WITH, AND TO REALLY RESET THE DAY, THE DEAL THAT WAS, UH, PUT IN PLACE IN 2005 AND REALLY TAKE ADVANTAGE OF SOME UNIQUE MARKET CONDITIONS, SOME THINGS THAT HAVE ALIGNED HERE THAT ARE ALLOWING THIS TRANSACTION TO MOVE FORWARD. SO I THINK IT'S AN EXCELLENT OPPORTUNITY FOR BOTH PARTIES, YOU KNOW, FROM A PROPOSED TRANSACTION PERSPECTIVE. I'M GONNA WALK THROUGH SOME ELEMENTS OF THIS ON THE NEXT COUPLE OF SLIDES. [01:00:01] UM, I'LL START HERE WITH THE, THE, UNDER THIS SCENARIO, HYATT CORPORATION WOULD SELL THE GRAND HYATT, SAN ANTONIO RIVERWALK HOTEL TO C F C S A, WHICH IS A NONPROFIT. THAT NONPROFIT WOULD HOLD UNDER ITS CHARITABLE PUR UNDER ITS CHARITABLE PURPOSE. IT WOULD HOLD THE HOTEL AND TRUST FOR THE CITY. AND I'LL COME BACK IN A LITTLE BIT AND TALK ABOUT WHAT THAT MEANS UNDER THEIR CHARITABLE PURPOSE. UM, ONE OF THE THINGS THEY CAN DO IS LESSEN THE BURDEN OF GOVERNMENT. SO UNDER THIS PROPOSED TRANSACTION, I'M GONNA TALK ABOUT HOW, UH, OUR, UM, INVOLVEMENT IN THE TRANSACTION CHANGES AND HOW THIS IS LESSENING THE BURDEN OF GOVERNMENT FOR US UNDER THIS PROPOSED STRUCTURE. HYATT WILL CONTINUE TO OPERATE THE HOTEL THROUGH A 30 YEAR AGREEMENT, AND IT WILL BE REQUIRED TO BE, UH, THEY WILL BE REQUIRED TO MAINTAIN THE SAME HOTEL BRAND STANDARD THAT IS IN PLACE TODAY. I AM GONNA SPEND A LITTLE BIT OF TIME ON THIS SLIDE. I'M GONNA GO THROUGH SOME NUMBERS HERE ON THE BOND FINANCING COMPONENT. THERE HAVE BEEN QUESTIONS AROUND THIS, BUT THESE ARE PRELIMINARY NUMBERS. AND I'M GONNA START WITH THE REQUEST TO, UH, HAVE YOU APPROVE A BOND ISSUANCE IN THE AMOUNT UP TO $450 MILLION THAT WILL BE ISSUED BY THE PUBLIC FINANCE AUTHORITY OF WISCONSIN. AGAIN, THIS IS NOT A CITY ISSUANCE, THIS IS NOT DEBT THAT WE ARE LIABLE FOR REPAYMENT. UM, BUT YOU SEE AN UP TO $450 MILLION AMOUNT THAT AMOUNT, UM, HAS FLEXIBILITY BUILT INTO IT TO BE ABLE TO ADJUST TO MARKET CONDITIONS ON THE DAY OF PRICING. THIS IS NOT UNCOMMON, UH, WHEN WE BRING YOU, UH, AND ASK YOU TO APPROVE ISSUANCES THAT, THAT ARE CITY ISSUANCES. EVEN FOR OUR THINGS LIKE OUR GENERAL OBLIGATION BONDS, OUR CERTIFICATES OF OBLIGATION, WE WILL BUILD IN FLEXIBILITY WHEN WE GET TO A BOND PRICING. WE DON'T KNOW WHAT MARKET CONDITIONS ARE GOING TO BE AND THINGS LIKE, UM, HOW COUPONS ARE SET, OR WHETHER A BOND IS ISSUED AT A PREMIUM OR A DISCOUNT. IT'S, IT'S IN THE WAY THE BOND IS PRICED CAN AFFECT THE PAR AMOUNT OF THE BONDS, BUT NOT NECESSARILY CHANGE THE AMOUNT OF PROCEEDS YOU'RE, YOU'RE YOU'RE DELIVERING. SO IT'S IMPORTANT TO HAVE THAT FLEXIBILITY SO THAT YOU CAN ADJUST TO WHAT INVESTORS ARE LOOKING FOR ON THAT DATA PRICING. UM, ON THE NEXT SECTION HERE, I'M GONNA WALK THROUGH, UH, BASICALLY SOME PRELIMINARY ESTIMATES ON, UH, HOW THE PROCEEDS WOULD BE USED FROM THIS BOND ISSUANCE. FIRST OF ALL, IT WOULD BE USED TO PAY OFF THE CURRENT HOTEL BONDS THAT ARE OUTSTANDING THAT WERE ISSUED IN 2005. THAT AMOUNT IS ROUGHLY $168.3 MILLION. IT WILL CHANGE SLIGHTLY, SLIGHTLY DEPENDING UPON WHEN THE DAY OF CLOSING IS BECAUSE YOU HAVE AN INTEREST, UH, CALCULATION THAT GOES ALONG WITH THAT. UM, WE HAVE SOME PAYMENTS THAT ARE OWED TO THE CITY, $15.3 MILLION THAT I'LL TALK A LITTLE BIT MORE ABOUT. BUT I MENTIONED THE, THE GROUND RENT THAT HAS ACCRUED BUT HASN'T BEEN PAID SINCE INCEPTION IS ABOUT 4.9 MILLION. AND THEN I MENTIONED THE $10.4 MILLION THAT WE USED TO MAKE UP SOME HOTEL DEBT SERVICE SHORTFALLS IN 2020 AND 2021. UM, SO THOSE WOULD BE PAID OUT OF THE BOND PROCEEDS. THERE WILL BE SOME DEBT AND OPERATING RESERVES SET UP FOR THE STRUCTURE OF ABOUT 75 MILLION. THIS IS IMPORTANT BECAUSE THESE ARE THE THINGS THAT ALLOW, UM, FOR IT TO, TO, TO HOPEFULLY, UH, FUNCTION CORRECTLY WHEN THE ECONOMY IS EITHER CONTRACTING OR EXPANDING. SO AS IT CONTRACTS, YOU WANT TO HAVE SOME THINGS IN PLACE THAT ALLOW IT TO MANAGE. ITS, UM, ITS ABILITY TO MAKE DEBT SERVICE PAYMENTS. WE'VE GOT THE COST OF FINANCING THE TRANSACTION THERE AT ABOUT $10 MILLION, AND THEN THE RESIDUAL AMOUNT WOULD BE PAID BY THE NONPROFIT TO HYATT TO ACQUIRE OWNERSHIP OF THE HOTEL. THE AMOUNT THERE WILL BE SUBJECT TO THE FINAL BOND STRUCTURE AND FINAL MARKET CONDITIONS ON THE DATA PRICE, FINANCIAL MARKET CONDITIONS. ON THE, UH, DATA PRICING, UH, I MENTIONED THE FINAL BOND STRUCTURE'S NOT, UH, DONE. IT'S EXPECTED THAT THERE'LL BE AT LEAST TWO TIERS OF BONDS ISSUED SENIOR BONDS AND SUBORDINATE BONDS. UH, THE SENIOR BONDS WILL BE RATED, SO THE UNDERWRITERS CURRENTLY WORKING WITH STANDARD AND PORS ON THAT RATING OF THOSE BONDS. THE SUBORDINATE BONDS WILL BE NON-RATED. AND SO THIS WHOLE TRANSACTION, UH, IS REALLY SENSITIVE TO THE BOND MARKET AND WHERE THE BOND MARKET IS. AND WHEN WE STARTED OUR CONVERSATIONS, UM, BACK LAST OCTOBER, NOVEMBER ABOUT THIS PARTICULAR TRANSACTION IS WE GOT TO THE END OF THE CALENDAR. WE SAW INTEREST RATES START TO INCREASE SLIGHTLY. AND THEN OF COURSE, IF YOU LOOK AT WHAT'S HAPPENED OVER THE LAST, YOU KNOW, 45 DAYS OR SO, THE BOND MARKETS HAVE BECOME VERY VOLATILE. BUT WHAT I WILL SHARE WITH YOU IS BASED ON WHERE WE BELIEVE THIS DEAL STANDS TODAY, THAT THAT RESIDUAL AMOUNT PAID BY THE NONPROFIT TO HYATT IN THAT LAST, UH, LINE ITEM I HAVE LISTED THERE WOULD BE APPROXIMATELY $140 MILLION. AND THAT WOULD BE BASED ON A BOND ISSUE SIZE OF AROUND 410 MILLION. [01:05:02] UM, THE, THE, THE THING THAT I ALSO WANT TO SH UH, HIGHLIGHT HERE IS THAT, UH, AS I MENTIONED, THIS DEAL IS SENSITIVE TO THE BOND MARKET, WHERE THE BOND MARKET WILL BE. I'LL TALK ABOUT THE TIMELINE IN A LITTLE BIT. YOU KNOW, AT THE END OF THE DAY, THIS IS AN OUTCOME WE'RE, WE'RE STRIVING TO GET TO. UM, BUT CERTAINLY THE OUTCOME IS GONNA HAVE TO BE SOMETHING THAT WE BELIEVE PRACTICALLY WORKS FOR BOTH PARTIES. SO, UM, WE'LL TALK A LITTLE BIT MORE ABOUT THE TIMELINE ON, ON A SUBSEQUENT SLIDE. TALK A LITTLE BIT ABOUT THE BOND STRUCTURE ITSELF. THE BONDS ARE SCHEDULED TO BE PAID BACK OVER 40 YEARS FROM REVENUES AT THE HOTEL. THE CITY IS NOT ISSUING THESE BONDS, AND WE ARE NOT PROVIDING ANY FINANCIAL SUPPORT OR PLEDGE REVENUE TO SUPPORT PAYMENT OF THE BONDS. WE'RE NOT PROVIDING ANY INCENTIVES AS PART OF THIS PROPOSED, UM, UH, TRANSACTION. EITHER. THE, UM, BONDS ARE SCHEDULED TO BE PAID OUT OVER 40 YEARS. I MENTIONED THAT WE HAVE A GROUND LEASE IN PLACE TODAY THAT WILL BE ASSIGNED AND, AND, AND, UH, ENTERED INTO WITH THE NONPROFIT. THE BASE TERM LEFT ON THAT GROUND LEASE IS 58 YEARS, SO THAT PROVIDES SOME ROOM IN THE EVENT THE BONDS COULDN'T BE AMORTIZED IN 40 YEARS. IT PROVIDES A LITTLE BIT OF ROOM THERE. UH, ON THE FLIP SIDE, H V S AND INDEPENDENT CONSULTANT DID CONDUCT CONDUCT A FEASIBILITY STUDY. UM, THAT FEASIBILITY STUDY REALLY INDICATES WHEN WE LOOK AT IT THAT IT ACTUALLY COULD BE PAID BACK IN LESS THAN 40 YEARS. AND I'LL TALK ABOUT HOW THAT WILL WORK. THIS IS NOT A UNIQUE, UH, OR, OR A TRANSACTION THAT HASN'T BEEN DONE ELSEWHERE. IT HAS BEEN DONE IN OTHER CITIES LIKE ATLANTA, DENVER, BALTIMORE, COLUMBUS, AUSTIN, CHARLOTTE, AND, UH, OTHER CITIES LIKE HARLINGEN AND IRVING, THE AMOUNTS TO BE PAID TO THE CITY. I MENTIONED THE GROUND LEASE THAT HAS ACCRUED AT $4.9 MILLION SINCE INCEPTION OF THE, THE, THE GROUND LEASE, UM, THAT WOULD BE PAID TO THE CITY AT FINANCIAL CLOSING, WHICH WE THINK WOULD HAPPEN IN APRIL OF THIS YEAR. UH, WE ALSO, UNDER THE NEW BOND STRUCTURE HAVE MOVED UP. I MENTIONED THAT PRIORITY OF PAYMENTS WE HAVE MADE MOVED UP BASIC RENT, UH, IN THAT PRIORITY STRUCTURE. SO BASIC RENT WILL ACTUALLY GET PAID TO THE CITY BEFORE DEBT SERVICE GETS PAID. UM, THE AMOUNT FOR F Y 22, JUST TO GIVE YOU CONTEXT, IS ABOUT $450,000 FOR GROUND RENT THAT WILL BE ADJUSTED BY C P I OVER TIME. THE, UH, HOT FUNDS THAT WE USE FOR DEBT SERVICE, UH, IN THE AMOUNT OF $10.4 MILLION WILL ALSO BE PAID BACK AT FINANCIAL CLOSING ON THE BONDS ANTICIPATED IN APRIL OF THIS YEAR. NEXT COUPLE OF SLIDES. I'M JUST GONNA HIGHLIGHT WHAT WE BELIEVE WERE SOME KEY ELEMENTS AS IT RELATES TO, UH, THE CITY AND SOME OF THE OBJECTIVES WE WERE TRYING TO ACHIEVE. HOW THOSE COMPARE TO THE CURRENT DEAL, WHAT'S IN PLACE TODAY, AND THEN WHAT, HOW THAT WOULD CHANGE OR REMAIN THE SAME UNDER THE PROPOSED TRANSACTION. THE FIRST UC LISTED THERE AS HYATT AS THE OPERATOR OF THE HOTEL. UH, THEY WOULD BE THE OPERATOR UNDER BOTH SCENARIOS THEY ARE TODAY. THEY WOULD REMAIN THE OPERATOR UNDER THE PROPOSED TRANSACTION ARE, UH, ABILITY TO APPROVE AGREEMENTS WHO THE OPERATOR IS. WE HAVE THAT ABILITY TODAY. WE WOULD HAVE THAT ABILITY UNDER THE PROPOSED TRANSACTION, UH, OWNERSHIP OF THE HOTEL. UH, UH, HYATT CURRENTLY OWNS IT. THEY WOULD NOT OWN IT UNDER THE PROPOSED TRANSACTION, UM, OWNERSHIP OF THE HOTEL BY THE CITY AT THE CONCLUSION OF THE GROUND LEASE, OR AT THE TIME WHEN BONDS ARE PAID OFF UNDER THE CURRENT DEAL. THE CITY DOES NOT OWN THE HOTEL UNDER THE PROPOSED TRANSACTION. ONCE THE BONDS HAVE BEEN PAID OFF, UH, THAT TITLE FOR THAT HOTEL WILL TRANSFER FROM THE NONPROFIT TO THE CITY WITHOUT ANY ADDITIONAL COMPENSATION. SO ONCE THAT TERMINATES THAT CURRENT INDENTURE, THAT WILL AUTOMATICALLY HAPPEN. WE WILL, WE WILL BECOME THE OWNERS OF THE HOTEL. UH, IN TERMS OF THE CITY BACKEND REPAYMENT OF THE BONDS, UH, WE CURRENTLY HAVE THAT IN PLACE TODAY. AS I MENTIONED, OUR HOT REVENUES ARE PLEDGED TO THE REPAYMENT OF THOSE BONDS, UH, UNDER THE PROPOSED TRANSACTION. WE ARE NOT PLEDGING ANY REVENUES OR SUPPORT FOR THE REPAYMENT OF THAT DEBT. UH, IMPORTANT ONE HERE. WE, WE BELIEVE THIS IS IMPORTANT ALSO, IS THAT WE CONTINUE TO OWN, UH, HAVE OWNERSHIP OF THE LAND UPON WHICH THE HOTEL WAS CONSTRUCTED. THAT REMAINS THE SAME UNDER THE PROPOSED TRANSACTION. THE PAYMENT OF THE ACCRUED GROUND LEASE PAYMENTS UNDER THE CURRENT DEAL, THEY WOULD LIKELY CONTINUE TO ACCRUE BUT NOT GET PAID JUST BASED ON THE WAY THAT DEAL WAS PUT TOGETHER AND STRUCTURED. AND LIKELY WOULDN'T BEGIN TO START GETTING PAID OUT UNTIL SOMEWHERE AROUND 2039 WHEN THE CURRENT BONDS ARE SCHEDULED TO BE PAID OFF UNDER THE PROPOSED TRANSACTION. UM, WE WOULD GET, WE WOULD GET THAT $4.9 MILLION AT FINANCIAL CLOSING, WHICH AGAIN IS SCHEDULED FOR APRIL OF THIS YEAR. FUTURE GROUND LEASE PAYMENTS, UH, AGAIN, NOT LIKELY TO SEE THOSE UNTIL 2039 UNDER THE CURRENT STRUCTURE. UM, WE WOULD BEGIN TO SEE THOSE, UM, UNDER THE PROPOSED TRANSACTION [01:10:01] BECAUSE AGAIN, WE'VE MOVED THAT UP IN A PRIORITY OF PAYMENTS THAT ACTUALLY GETS PAID BEFORE DEBT SERVICE. THE REPAYMENT OF THE AMOUNT OF THE $10.4 MILLION IN HOT REVENUES THAT WE USE TO COVER DEBT SERVICE SHORTFALLS UNDER THE CURRENT TRANSACTION, THOSE WOULD BE REPAID OVER TIME UNDER THE PROPOSED TRANSACTION. WE WILL GET THOSE DOLLARS AGAIN AT FINANCIAL CLOSING IN APRIL OF THIS YEAR. PAYMENT OF PROPERTY TAXES WHILE, UH, CURRENTLY THAT IS IN PLACE TODAY. AND WHILE THIS TRANSACTION AND THE OWNERSHIP WOULD BE GOING TO A NONPROFIT, WE ARE REQUIRING THAT ALL, UH, PROPERTY TAXES TO ALL PRO, TO ALL TAXING ENTITIES, ENTITIES CONTINUE TO BE PAID AS PART OF THE TRANSACTION. UNDER THE CURRENT DEAL, THE CITY, UH, HAS THE ABILITY TO RECEIVE 10% OF SURPLUS REVENUES. UM, IT'S BASICALLY A SHARING OF EXCESS REVENUES THAT WOULD NOT LIKELY AGAIN, OCCUR UNTIL AFTER THE CURRENT BONDS WERE PAID OFF IN 2039. IF YOU COMPARE THAT TO THE PROPOSED TRANSACTION, UM, THE EXCESS FUNDS WHEN THEY'RE GENERATED UNDER THE NEW INDENTURE, IT'S BASICALLY CALLED THE CLOSED INDENTURE. THEY WILL BE USED TO PAY BOUND BONDS FASTER. SO THAT'S HOW I MENTIONED IT'S, IT'S SCHEDULED TO BE PAID OVER 40 YEARS, BUT AS IT IS ABLE TO DO BETTER OR CREATE EXCESS, EXCESS REVENUES, THOSE REVENUES WILL BE USED TO PAY DOWN, UH, THE BONDS FASTER. AND AGAIN, WE'VE GOT A CONSULT REPORT THAT THAT INDICATES THAT MAY OCCUR IN LESS THAN 40 YEARS ONCE THOSE BONDS ARE PAID OFF, THE REVENUES AND OWNERSHIP OF THE HOTEL TRANSFER TO THE CITY. LEMME TALK A LITTLE BIT ABOUT ITEM FIVE. AGAIN, WE'LL ASK YOU AS THE SAN ANTONIO CONVENTION CENTER HOTEL FINANCE CORPORATION BOARD OF DIRECTORS. YOU ALL ARE THE BOARD OF DIRECTORS OF THAT CORPORATION BY VIRTUE OF YOUR POSITION AS, UH, EACH OF YOUR, UM, UH, UH, POSITION AS A COUNCIL MEMBER. AND WE'LL BE ASKING YOU TO AUTHORIZE US TO DE FEES OR PAY OFF THE CURRENT BONDS. SO THOSE THINGS WOULD HAPPEN. PROCEEDS WOULD COME IN FROM THE NEW BONDS, THEY WOULD BE USED TO THEN PAY OFF THE OLD BONDS, BUT WE NEED YOUR AUTHORIZATION TO BE ABLE TO DO THAT. THE CURRENT AMOUNT OF BONDS OUTSTANDING IS ABOUT $168 MILLION. UM, WHEN THAT HAPPENS, THE CURRENT BOND INDENTURE AND, AND SEVERAL RELATED AGREEMENTS SUCH AS OUR ECONOMIC DEVELOPMENT AGREEMENT WILL TERMINATE. AND, UM, THOSE WILL, THOSE WILL HAPPEN ONCE WE GET TO FINANCIAL CLOSING ON THE NEW BONDS. THE ECONOMIC DEVELOPMENT AGREEMENT IS THE AGREEMENT THAT WAS IN PLACE THAT, UM, AUTHORIZED US TO PLEDGE OUR HOT REVENUES TOWARDS THE REPAYMENT OF THE BONDS. SO THAT AGREEMENT WILL TERMINATE. AND AS THAT TERMINATES, AND I GOT A FEW QUESTIONS ABOUT THIS IN THE LAST COUPLE OF DAYS, UH, THE REQUIREMENT TO HAVE A LIVING WAGE STANDARD, UH, UH, UH, IN THE GROUND LEASE WOULD ALSO, UM, BE ELIMINATED. SO WE DID NOT INCLUDE THAT IN THE PROPOSED TRANSACTION. THAT IS COMPARABLE TO HOW OTHER ECONOMIC DEVELOPMENT DEALS WORK FOR US. UM, IF WE DO TAX ABATEMENTS OR WE OFFER INCENTIVES ON ECONOMIC DEVELOPMENT PROJECTS, ONCE THE ABATEMENT EXPIRES OR ONCE THE INCENTIVE ENDS, THEN THAT REQUIREMENT TO MAINTAIN THE LIVING WAGE ALSO, UH, ENDS IN TERMS OF THE CITY BENEFITS. I WANTED TO SUMMARIZE HERE, YOU KNOW, AT THE END OF THE DAY, WE CONTINUE TO BENEFIT FROM HAVING A PREMIER FULL SERVICE CONVENTION CENTER HOTEL ON THE FRONT STEPS OF OUR CONVENTION CENTER OPERATED BY HYATT. WE WILL GET THE PAYMENT OF THE $10.4 MILLION THAT WE PUT IN DURING THE PANDEMIC WHEN THE HOTEL COULD NOT COVER ITS DEBT SERVICE, UH, PAYMENTS IN FULL. WE WILL GET THE ACCRUED GROUND LEASE PAYMENTS OF $4.9 MILLION PAID AT CLOSING. WE ARE NO LONGER PROVIDING FINANCIAL BACKING FOR THE NEW BONDS WHEN THEY'RE ISSUED, NOR ARE WE PROVIDING ANY ONGOING INCENTIVES TO THE PROJECT. I MENTIONED FUTURE BASIC, UH, RENT OR GROUND LEASE PAYMENTS HAVE BEEN MOVED UP IN THE PRIORITY OF PAYMENTS. WE WOULD EXPECT TO GET THOSE ON AN ANNUAL BASIS GOING FORWARD BECAUSE THEY'RE GONNA GET PAID BEFORE DEBT SERVICE GETS PAID. IMPORTANTLY, WE RETAIN OWNERSHIP OF THE LAND AND IN THIS CASE, OWNERSHIP OF THE HOTEL WILL TRANSFER TO THE CITY ONCE THE NEW BONDS ARE PAID OFF. AND AT THE END OF THE DAY, THE LAND AND THE HOTEL ARE STRATEGICALLY IMPORTANT ASSETS, CERTAINLY GIVEN THEIR PROXIMITY TO BOTH THE CONVENTION CENTER AND THE ALAMO DO. SO, IN TERMS OF NEXT STEPS, I WANNA HIGHLIGHT A COUPLE OF THINGS HERE. ONE, WITH YOUR APPROVAL TODAY, IT WOULD BE A VERY IMPORTANT STEP IN MOVING FORWARD WITH THIS PROPOSED TRANSACTION, BUT IT WOULD NOT, UH, BE A DONE DEAL OR A DONE TRANSACTION UNTIL WE GET TO BOND PRICING AND A FINANCIAL CLOSE HAPPENS. THIS IS ANOTHER STEP IN THE PROCESS. UM, RIGHT NOW, BOND PRICING IS SCHEDULED FOR LATE MARCH, AND A FINANCIAL CLOSING WOULD BE ANTICIPATED TO HAPPEN IN LATE APRIL. AS I MENTIONED EARLIER, AND [01:15:01] I'M GONNA, I'M GONNA REPEAT IT AGAIN 'CAUSE I THINK IT'S IMPORTANT. THIS, THIS PROPOSED TRANSACTION AND ITS RESULTS ARE VERY SENSITIVE TO WHAT'S HAPPENING IN THE FINANCIAL MARKETS AND PARTICULARLY THE BOND MARKETS. UM, SO HOW THE, THE VOLATILITY IN THAT MARKET, UM, CERTAINLY IS SOMETHING WE'LL HAVE TO CONTINUE TO MONITOR OVER THE NEXT COUPLE OF, OF, OF WEEKS. AND, UM, AT THE END OF THE DAY, ONCE THIS BOND PRICING, IF IT'S ABLE TO MOVE FORWARD, YOU KNOW, THOSE RESULTS OR THOSE OUTCOMES ARE GONNA HAVE TO BE SOMETHING THAT, THAT AGAIN, WORKED FOR BOTH PARTIES AND THAT WE'RE GETTING THE OUTCOME THAT, THAT WE'RE EXPECTING TO GET WHEN WE STARTED THIS TRANSACTION AND STARTED LOOKING AT THIS TRANSACTION. SO, UM, THE NUMBERS I WENT OVER, THE THINGS WE TALKED ABOUT, WE'RE STRIVING TO GET TO THAT LEVEL. WE'RE STRIVING TO GET THOSE OUTCOMES, BUT A LOT OF IT'S GONNA HINGE ON, ON WHERE WE LAND IN THE BOND MARKET OVER THE NEXT COUPLE OF WEEKS. UM, I WANT TO ACKNOWLEDGE A COUPLE OF PEOPLE IN THE AUDIENCE AS I WRAP UP HERE. UM, PETER, UH, PHILIPPI AND BRAD LANGNER ARE WITH PIPER SANDLER. THEY'RE THE UNDERWRITER FOR THIS TRANSACTION. THEY WERE ENGAGED BY HYATT, PETER WAVE OVER THERE, BRAD, RIGHT HERE. UH, THEY'VE BEEN GREAT TO WORK WITH ON THIS TRANSACTION. UH, WE HAVE SPENT A LOT OF TIME, UH, WITH THEM LOOKING AT, UH, DIFFERENT, UH, FINANCING OPTIONS AND DIFFERENT SCENARIOS HERE. SO I REALLY APPRECIATE THEIR WORK ON THIS. UM, AT THIS TIME, I'D LIKE TO INTRODUCE DAVID PETERS, WHO IS A SENIOR VICE PRESIDENT WITH HYATT'S CORPORATE TRANSACTION GROUP. HE'LL INTRODUCE, UH, SEVERAL OTHER MEMBERS OF HYATT THAT ARE HERE TODAY, AND THEN I'LL COME BACK UP AND JUST WRAP UP. DAVID. THANK YOU VERY MUCH, BEN. UM, UH, ESTEEM GUESTS, MAYOR NIERENBERG, AND MEMBERS OF THE CITY COUNCIL. MY NAME IS DAVID PETERS AND I AM WITH HYATT'S CORPORATE TRANSACTIONS GROUP. I'M JOINED HERE TODAY BY SEVERAL HYATT COLLEAGUES, INCLUDING MR. PHIL STA, WHO IS OUR AREA VICE PRESIDENT AT THE GENERAL MANAGER OF BOTH THE HYATT REGENCY AND THE GRAND HYATT HOTELS. UH, MR. JAMES FRANKIE, WHO IS OUR GLOBAL HEAD OF TRANSACTIONS, AND MR. ADAM ROMAN, WHO IS OUR GLOBAL HEAD OF ASSET MANAGEMENT. UM, HYATT HAS A LONG AND, UH, STORIED HISTORY HERE, SAN ANTONIO. UH, WE BEGAN OUR OPERATIONS IN 2008, UH, EXCUSE ME, IN 1980 WHEN THE GRAND, UH, EXCUSE ME, HYATT REGENCY HOTEL ON LA SOYA STREET FIRST BEGAN WELCOMING ITS GUS AND WHERE WE ARE CURRENTLY IMPLEMENTING A $38 MILLION RENOVATION PLAN TO, UH, UH, PHYSICIAN THE HOTEL TO CONTINUE THE HOTEL'S POSITIONING AS A PREMIER DESTINATION, UH, IN ONE OF THE CITY'S PRIMED LOCATIONS. WE ARE ALSO VERY GRATEFUL FOR THE OPPORTUNITY WE'VE HAD TO BRAND AND OPERATE THE GRAND HYATT SINCE IT OPENED IN 2008, UH, AS WELL AS VARIOUS OPPORTUNITIES WE'VE HAD, UH, IN, UH, THE LAST SEVERAL YEARS TO GROW OUR TOTAL BRAND PORTFOLIO IN THE SAN ANTONIO AREA, TO NINE HOTELS OPERATING UNDER, UH, FIVE DIFFERENT BRANDS, UH, INCLUDING MOST RECENTLY THE THOMPSON HOTEL, WHERE WE ARE VERY EXCITED TO BE INTRODUCING A NEW AND EXCITING BRAND TO THE SAN ANTONIO MARKET, UH, AND ITS VISITORS, UH, THROUGHOUT. WE, UH, REMAIN GUIDED BY OUR PURPOSE, WHICH IS TO CARE FOR PEOPLE SO THAT THEY CAN BE THEIR BEST, UH, AND THAT, UH, FOCUSES OUR PRIORITIES ON OUR GUESTS, OUR COLLEAGUES, AND THE COMMUNITIES IN WHICH WE OPERATE. IN THIS REGARD, WE'RE VERY PROUD OF OUR, UH, LONG TRADITION, UH, OF ENGAGEMENT WITH THE COMMUNITY ON VARIOUS CHARITABLE INITIATIVES AND OTHER, UH, WAYS THAT WE CAN GIVE BACK TO THE COMMUNITIES THAT HAVE SO GRACIOUSLY WELCOMED US, UH, TO OPERATE, UH, UH, IN THEIR, UH, SPACE. UM, WE'RE VERY PLEASED TO OFFER OUR FULL SUPPORT FOR THE TRANSACTION THAT IS PROPOSED TODAY, WHICH WE THINK A OFFERS A VERY UNIQUE OPPORTUNITY FOR BOTH THE CITY OF SAN ANTONIO AS WELL AS FOR HYATT. UH, AND WE'D ALSO LIKE TO TAKE THE OPPORTUNITY TO REASSURE, UH, OUR GUESTS, COLLEAGUES, AND THE COMMUNITY THAT WE WILL CONTINUE TO BRAND AND OPERATE THE HOTEL AS A GRAND HYATT UNDER A LONG-TERM MANAGEMENT CONTRACT. WE REMAIN, UH, VERY GRATEFUL FOR THE ONGOING COLLABORATION THAT WE'VE HAD, AND I'D LIKE TO PARTICULARLY THANK, UH, MR. GOEL, MR. WALSH AND THE CITY STAFF FOR THEIR FULSOME AND PROACTIVE ENGAGEMENT AS WE'VE MANAGED THROUGH THE VARIOUS CHALLENGES POSED BY THE PANDEMIC. UM, WITH ALL THAT SAID, UH, WE ARE ARE VERY EXCITED ABOUT CONTINUING OUR ENGAGEMENT WITH THE CITY, UH, AND WORKING, UH, COLLABORATIVELY WITH THE CITY, THE COMMUNITY, AND OUR COLLEAGUES TO CONTINUE TO WELCOME GUESTS BOTH TO THE CITY AND TO THE CONVENTION CENTER, AND, UH, ARE VERY EXCITED ABOUT THE FUTURE AHEAD. SO THANK YOU VERY MUCH FOR, UH, GIVING ME THE OPPORTUNITY TO SAY A FEW WORDS HERE TODAY. AND, UH, WITH THAT, UM, I'LL HAND IT BACK TO YOU, BEN. SO, MAYOR AND COUNCIL MEMBERS, I JUST WANNA WRAP UP HERE BY ALSO THANKING DAVID AND THE ENTIRE HYATT TEAM. UH, THIS HAS BEEN A TREMENDOUS AMOUNT OF WORK JUST TO GET TO THIS POINT, BUT I WANT TO THANK THEM FOR, FOR THEIR WORK. UM, AND CERTAINLY IF WE'RE ABLE TO MOVE [01:20:01] FORWARD WITH A PROPOSED TRANSACTION, WE LOOK FORWARD TO A, A, A LONG AND CONTINUED RELATIONSHIP WITH HYATT AS, AS THE OPERATOR OF THE CONVENTION CENTER HOTEL. UM, I ALSO WANNA TAKE A MOMENT TO RECOGNIZE A NUMBER OF FOLKS, UH, FROM THE CITY SIDE. AND, UM, I WANNA START WITH SOME OF OUR OUTSIDE ADVISORS THAT WE WORK WITH, UH, UH, ON A CONTINUING BASIS, MANY OF WHOM, EXCUSE ME, YOU KNOW, SO I WANNA RECOGNIZE ANNE BERGER INKIN WITH HILLTOP SECURITIES, PAUL JACK WITH RAA INA HOSA. UH, BOTH OF THESE INDIVIDUALS SERVE AS CO FINANCIANAL ADVISORS FOR THE CITY. TOMS SPURGEON WITH MCCALL PARKERS AND HORTON, WHO'S OUR OUTSIDE BOND COUNCIL, JEW FULLER. UM, WE, WE BROUGHT IN AS A REAL ESTATE, UM, UH, EXPERT WHO'S A PARTNER WITH HORNBERGER FULLER GARZA, AND COEN. AND THEN I REALLY NEED TO TAKE A MOMENT TO THANK THE CITY STAFF. I MEAN, THIS HAS BEEN A, A TREMENDOUS AMOUNT OF WORK, AS I MENTIONED. I REALLY WANT TO THANK EACH OF THEM FOR, UH, THEIR DEDICATION, THEIR WORK TO HELPING US GET TO THIS POINT, TO EVEN HAVE THIS CONVERSATION TODAY. UH, TROY ELLIOT, OUR DEPUTY CHIEF FINANCIAL OFFICER, MARGARET VIEGAS, OUR ASSISTANT DIRECTOR OF FINITE FINANCE, ALEX TAINA, WHO'S A FINANCIAL ADMINISTRATOR, THE ENTIRE FINANCIAL MANAGEMENT TEAM, AND THEN RAY RODRIGUEZ, UH, WITH THE CITY ATTORNEY'S OFFICE. SO WITH THAT, I'M MAYOR COUNCIL. THAT WRAPS UP OUR CO OUR, OUR REC, OUR PRESENTATION AND CITY STAFF DOES RECOMMEND, UH, DOES RECOMMEND APPROVAL OF ITEMS FOUR AND FIVE. WE'D BE HAPPY TO ANSWER ANY QUESTIONS. GREAT. THANK YOU VERY MUCH, UH, FOR THE PRESENTATION. BEN. LET [Public Hearing  ] ME TAKE, UH, PUBLIC COMMENT NOW, UH, AND, UH, SIGNED UP TO SPEAK ON ITEMS FOUR AND FIVE. LEMME CALL IT MIKE PHILLIPS. AGAIN, I'M MIKE PHILLIPS WITH THE FIRST UNITARIAN UNIVERSALIST CHURCH AND A LEADER WITH COBB METRO. AND I'M MARIA TI HEINA OF OUR LADY GUADALUPE CHURCH CO METRO LEADER. OUR COBB METRO LEADERS HAVE LEARNED THAT THE CITY CONTRACT WITH THE GRANT HYATT WAS RENEGOTIATED WITHOUT A LIVING WAGE PROVISION INCLUDED. COBBS METRO HAS LONG CHAMPIONED A LIVING WAGE PROVISION OR A LIVING WAGE FOR WORKERS OF COMPANIES THAT RECEIVE PUBLIC TAX DOLLARS. THE GRAND HYATT WILL RECEIVE CONSIDERABLE AMOUNT OF PUBLIC FUNDING THROUGH THE NEW SERVICE CONTRACT, AND HYATT WORKERS DESERVE PAY IN LINE WITH THE CITY'S LIVING WAGE GUIDELINES. OUR CITY MUST INCLUDE A LIVING WAGE PROVISION IN ALL AGREEMENTS WITH BOTH PUBLIC AND PRIVATE SECTOR ENTITIES, REGARDLESS OF WHETHER THEY RECEIVE INCENTIVES. THIS WAY. OUR RESIDENTS HERE IN SAN ANTONIO KNOW THAT THE CITY IS SERIOUS IN CHANGING OUR HISTORIC LOW WAGE TOWN, LOW WAGE CITY NARRATIVE. IN 2016, BEAR COUNTY WROTE A SERVICE WAGE GUIDELINE FOR SERVICES. IT OUTSOURCES CAP NITRO APPROACHED JUDGE WOLF AND THE COMMISSIONERS ABOUT THE COUNTY SERVICE PROVIDER'S WAGES. AND WHEN THE JUDGE ASKED A LONG TIME OUTSOURCED EMPLOYEE WHO IS EMPTYING HIS WASTE BASKET, HOW MUCH HE MADE, THE JUDGE WAS APPALLED AT HOW AT THE LOW WAGE, THE CITY NEEDS ITS OWN SERVICE WAGE GUIDELINE FOR SERVICES. IT OUTSOURCES THIS HIGH HYATT HOTEL SERVICE CONTRACT FOR RUNNING THE CONVENTION CENTER HOTEL IS THE PER PERFECT PLACE TO START. WE ARE ASKING THE CITY TO RENEGOTIATE THE HYATT CONTRACT TO INCLUDE SERVICE WAGE GUIDELINES IN LINE WITH THE CURRENT TAX ABATEMENT GUIDELINES. THEN WHEN THE CURRENT SERVICE AGREEMENT CONTRACT WITH HYATT IS OVER, THE CITY COULD TAKE BIDS FROM OTHER COMPANIES WILLING TO PAY EMPLOYEES WITH THE SERVICE WAGE GUIDELINES WITHIN THE SERVICE WAGE GUIDELINES. UNTIL THE SERVICE WAGE GUIDELINES ARE INCLUDED IN THE CITY SERVICES CONTRACT, WE ASK THAT THE CITY DELAY VOTING ON THE V. THANK YOU. THANK YOU VERY MUCH. UM, BEFORE WE GET INTO COUNCIL DISCUSSION, NOW, LET ME ENTERTAIN A MOTION FOR ITEM FOUR SECOND. OKAY. THERE'S A MOTION AND A SECOND FOR APPROVAL. ITEM FOUR. UH, FIRST LEMME JUST MAKE A FEW BRIEF REMARKS. UM, WE KNOW THAT THE, THIS, UH, DEAL HAS EVOLVED IN SINCE 2005, HAS NOT BEEN, UH, THE BEST DEAL FOR THE CITY OF SAN ANTONIO. AND WE'VE BEEN TRYING TO ADDRESS THAT. AND AS OF LATE, AS THOSE, UH, CHALLENGES HAVE EMERGED THROUGH THE PANDEMIC, UH, THIS OPPORTUNITY STARTED VERY BROADLY WITH SOME CHOICES, UH, FOR THE CITY TO, TO ENTER INTO NEGOTIATION. UH, AND WHAT WE'VE BEEN BROUGHT TODAY, BEN, I I HAVE TO SAY, UH, CAN'T BE DESCRIBED ANYTHING OTHER THAN A WIN-WIN. UM, I'M VERY PLEASED, UH, WITH HOW THIS IS, UH, EVOLVED AND ALSO, AGAIN, KIND OF, UH, DEMONSTRATING THE, THE SKILLS OF OUR FINANCIAL STAFF IN THE CITY [01:25:01] OF SAN ANTONIO. LET ME JUST SAY, THROUGHOUT THE EVOLUTION OF THIS, UM, THREE THINGS WERE IMPORTANT TO ME. NUMBER ONE, THAT THERE WAS RECOVERY OF THE TAXPAYER INVESTMENT THAT WAS MADE IN 2005. AND AS WE'VE SEEN THROUGH THE, THE PRESENTATION TODAY, UH, OUR DEBT IS BEING RECOVERED IN TERMS OF THE HOT REVENUES THAT WERE USED FOR DEBT SERVICE DURING THE PANDEMIC. IN ADDITION TO THAT, WE ARE RECEIVING UPFRONT LEASE PAYMENTS THAT WERE ACCRUED AND HAVE NOT BEEN PAID, UH, UP UNTIL THIS TIME. AND THAT'S HAPPENING IMMEDIATELY ON FINANCIAL CLOSING OF THIS DEAL. THE SECOND PART WAS THE SECOND MOST IMPORTANT THING IN, IN MY VIEW, WAS RETENTION OF THE, OF THE MOST IMPORTANT PUBLIC ASSET IN THIS DEAL, WHICH IS THE LAND. AND I'M PLEASED THAT THAT IS PART OF THIS TRANSACTION AS WELL. UH, THE PUBLIC RETAINS CONTROL AND OWNERSHIP OF THE LAND. THE THIRD THING WAS THAT WE WOULD MITIGATE AND PROTECT THE PUBLIC FROM THE DOWNSIDE RISKS OF FUTURE ECONOMIC DISRUPTIONS. UH, AND AS WE'VE SEEN THROUGH THE CASH FLOW OF THIS, THAT LEASE PAYMENTS ARE MOVED UP AND WE WILL RECEIVE, UM, THOSE PAYMENTS WELL IN ADVANCE OF ANY CHALLENGES THAT MEET MIGHT BE EXPECTED, UH, IN ANY KINDS OF SITUATIONS THAT MIGHT RESULT FROM, UH, LARGE ECONOMIC SHIFTS. SO LAST THING I DID ASK ERIC, UH, IF THERE IS A, UH, CHANGE IN OWNERSHIP OF THE HOTEL, DOES THE CITY COUNCIL, DOES THE CITY RETAIN APPROVAL AUTHORITY FOR THAT? SO MARY, YOUR QUESTION IS FROM IF THE NONPROFIT IS ABLE TO SELL THE HOTEL, RIGHT? NO, THEY CANNOT DO THAT WITHOUT OUR CONSENT. OKAY, GREAT. WELL, AGAIN, UH, BEN, THANK YOU AND THE TEAM FOR THE VERY HARD WORK. UH, OUR INTEREST UP HERE IS TO PROTECT OUR PUBLIC. I KNOW THAT THIS IS A DEAL THAT, UH, THAT HYATT CAN LIVE WITH AS WELL, BUT, UH, I'M VERY PLEASED WITH OUR SIDE OF THIS. SO THANK YOU AGAIN FOR THE PRESENTATION. LEMME TURN IT NOW TO COUNCIL MEMBER S. SO, UM, I'VE BEEN ASKED A LOT OF QUESTIONS AND WE'RE GONNA, WE'RE GONNA GET A LOT OF QUESTIONS. AND DESPITE THE VERY IMPRESSIVE PRESENTATION, UM, I THINK A LOT OF IT IS, IS GONNA, A LOT OF WHAT YOU PRESENTED MAY BE LOST ON FOLKS WHO ARE WATCHING OR WHO ARE GONNA WATCH LATER. AND, UM, I I NEED TO GO BACK AND ANSWER, UH, THESE QUESTIONS WITH SOME REALLY SIMPLE ANSWERS. AND SO HELP ME OUT HERE. UM, IF SOMEBODY ASKS ME, WILL WE RECEIVE THE $4.9 MILLION THAT WE DIDN'T, DIDN'T RECEIVE AND SHOULD HAVE RECEIVED, UM, WILL WE BE MADE WHOLE FOR THAT? THE ANSWER IS YES. YES. OKAY. UM, PEOPLE KNOW THAT WE SPENT $10.4 MILLION, UM, TO COVER A LOAN THAT THE TENANT WASN'T PAYING, UM, SO THAT THE ENTIRE PROJECT WOULDN'T FALL INTO DEFAULT. WILL, DOES THIS DEAL THAT YOU'VE PROPOSED TO US MAKE US WHOLE FOR THAT $10.4 MILLION? YES, SIR. ALRIGHT. THIS IS A VERY IMPORTANT ASSET BECAUSE IT BELONGS TO THE PEOPLE OF SAN ANTONIO. WILL WE CONTINUE TO OWN THE LAND FROM HERE? UH, UNTIL YOU AND I ARE VERY OLD MEN AND NO LONGER WORKING FOR THE CITY? ? YES, SIR. ALRIGHT. UM, DO WE HAVE, WE, THE CITY OF SAN ANTONIO AND THE TAXPAYERS HAVE ANY LIABILITY IN CASE ANY OF THESE ENTITIES DEFAULT IN THE FUTURE? NO. WE DO NOT HAVE ANY LIABILITY FOR REPAYMENT OF THE BONDS. ALRIGHT. ARE WE SPENDING ANY OF MY CONSTITUENTS TAX DOLLARS, UM, TO MAKE THIS DEAL AND HAPPEN IN A WAY THAT WE WILL NOT MAKE THOSE TAX DOLLARS BACK? WE ARE NOT PLEDGING ANYTHING TO THIS PROPOSED TRANSACTION, NOR ARE WE PROVIDING ANY INCENTIVES TO THIS PROJECT. ALRIGHT. I'VE HEARD, ACTUALLY, ACTUALLY, I READ SOMEWHERE, QUOTE, THE CITY IS DUMPING THE HOTEL THEN PAYING HYATT TO TAKE IT OFF OUR HANDS. TRUE OR FALSE? FALSE. ALRIGHT. I'VE ALSO READ BY DUMPING THE HOTEL, NOW THE CITY AVOIDS REPORTING TO THE BOND MARKET AND THE PUBLIC JUST HOW BADLY THE HOTEL HAS PERFORMED. TRUE OR FALSE? FALSE. ALRIGHT. IN FACT, UM, YOU KNOW, SOMETIMES WE HEAR THIS ABOUT THE ALAMO DOME AND OTHER OF OUR ASSETS. UM, IS IT TRUE OR FALSE THAT WHEN WE FACTOR IN HOW THE HYATT HAS HELPED US BRING IN HUNDREDS OF MILLIONS OF DOLLARS IN CONVENTION REVENUE AND, YOU KNOW, THE ECONOMIC DEVELOPMENT FROM THAT, THAT THIS PROJECT, THIS HYATT AND OUR INVESTMENT IN IT HAS SINCE ITS INCEPTION TO TODAY BEEN PROFITABLE TO THE CITY OF SAN ANTONIO? YEAH, I THINK THERE'S NO QUESTION COUNCILMAN THAT THIS, THIS HOTEL HAS BEEN INSTRUMENTAL IN OUR ABILITY TO ATTRACT MANY OF THE EVENTS THAT WE'VE TALKED ABOUT. OKAY, BEN, ON MY COMPUTER, [01:30:01] I, I PUT STICKERS OF THOSE ORGANIZATIONS AND PEOPLE THAT I ADMIRE VERY, VERY MUCH. AND THERE'S ROOM RIGHT UP HERE FOR A BEN GOEL STICKER . UH, AND, UH, I, I, UH, I I REALLY DO THINK THAT, THAT I'VE SEEN YOU AND, AND I SEE YOU TODAY MAKING THIS DEAL WORK. AND I, I KNOW I, WHEN I WALK OUTTA CITY HALL, YOU'RE HERE LATE AT NIGHT BURNING THE MIDNIGHT OIL WORKING ON THIS DEAL. AND, AND I REALLY APPRECIATE YOU TAKING TIME AWAY FROM YOUR FAMILY TO MAKE THIS WORK FOR THE PEOPLE OF SAN ANTONIO. UM, I DO HAVE A QUESTION FOR WYATT. UM, IF, UH, IF, IF, UH, I'M SORRY FOR HYATT, IF, IF THEY CAN COME ON UP HERE, , UM, CAN YOU TALK A LITTLE BIT ABOUT THE LIVING WAGE ISSUE THAT WE HEARD ABOUT? UM, WHAT'S HYATT DOING TO ADDRESS THOSE CONCERNS? AND UMM, MY UNDERSTANDING, AND, AND CORRECT ME IF I'M WRONG, IS THAT THE DEAL THAT YOU GUYS HAVE IN PLACE WITH THE UNION HERE AND IN OTHER PLACES, ACTUALLY PROVIDES A MUCH MORE GENEROUS BENEFIT AND WAGE PACKAGE THAN WHAT THE CITY NEGOTIATED WITH YOU GUYS WHEN WE FIRST STARTED DEALING WITH, UH, WITH HYATT AND WITH WYATT. WHAT THE HELL, ? YEAH. CAN, CAN YOU TELL, CAN YOU TELL US ABOUT THAT? THANK YOU VERY MUCH FOR THE QUESTION, COUNCILMAN. I'M GONNA HAND THAT OFF TO, UH, PHIL, WHO, UH, MANAGES THE HOTEL AND WILL BE IN THE BEST POSITION TO SPEAK TO OUR WAGE STRUCTURE. THANK YOU SO MUCH FOR THE QUESTION, COUNCILMAN, UH, AND, AND SIMPLICITY AS YOU WERE ASKING FOR. UM, THERE'S NO QUESTION THAT I'M, I'M PROUD TO STAND IN FRONT OF YOU AND TELL YOU ABOUT THE GREAT WORKING RELATIONSHIP THAT WE HAVE UNDER THE C B A AND THE VERY ADVANTAGEOUS, UH, WAGES AND WORK RULES THAT WE OPERATE UNDER, UH, FAR EXCEEDING, UM, THE LIVING WAGE, UH, SCENARIO AND WITH CLARITY, UM, FOR THE MANY YEARS TO COME STILL WITH ANOTHER SIX YEARS, UH, UNDER THAT AGREEMENT. UM, AND WE'RE ALSO PROUD THAT, UM, OUR UNDERSTANDING IS THAT, UH, THE LOCAL REPRESENTATIVE OF THE UNION IS ALSO ENDORSING, UM, THE, THE ISSUANCE OF THESE BONDS. GREAT. THANK YOU FOR TAKING CARE OF OUR SAN ANTONIONS WHO WORK AT, AT THE HYATT BY, UH, BY BEING VERY OPEN TO BEING GENEROUS WITH THEM AND, AND REMEMBERING THAT THE RELATIONSHIP BETWEEN, UH, YOU AND YOUR EMPLOYEES IS SYMBIOTIC. YOUR SUCCESS IS THEIRS AND THEIRS IS YOURS. THANK YOU. THANK YOU, BEN. ONE LAST QUESTION. UM, WHY NOT WAIT ANOTHER YEAR OR TWO TO SEE HOW THE MARKET CHANGES? UM, AND, YOU KNOW, WHY DO THIS DEAL TODAY? YOU KNOW, COUNCILMAN, WE HAVE BEEN WORKING, UM, TO TRY TO GET THIS DONE IS AS EXPEDITIOUS IS WE CAN, AND I MENTIONED THE REASON WHY IS THIS DEAL IS VERY SENSITIVE TO THE BOND MARKET. UM, THE BOND MARKET, UM, INTEREST RATES HAVE BEEN MOVING UP SINCE THE END OF THE CALENDAR YEAR AND WE'VE SEEN A LOT OF VOLATILITY IN THE BOND MARKET. SO NOW IS THE TIME WHERE THOSE THINGS HAVE KIND OF ALIGNED THAT WOULD ALLOW US TO POTENTIALLY GET TO A DEAL THAT WORKS FOR BOTH HYATT AND FOR THE CITY. ALRIGHT? SO WE'RE GONNA BE WHOLE, WE'RE GONNA PROFIT, UH, THIS IS, UH, GONNA BE NO LIABILITY TO ANY OF MY CONSTITUENTS. UM, AND WE'RE NOT SPENDING ANY OF THEIR TAX DOLLARS. AND WE'LL CONTINUE TO OWN AN ASSET. AND WE'RE DOING THIS IN A WAY THAT IS OPEN AND TRANSPARENT. UM, AND WE'RE DOING IT WITH A CORPORATION THAT IS IN GOOD STANDING. UM, I DON'T SEE HOW THIS IS NOT A WIN-WIN. SO, UM, AND ON TOP OF THAT, YOU GET A STICKER ON MY COMPUTER. SO, UM, YOU CAN, YOU CAN DO A VICTORY LAP. YOU GOT MY SUPPORT, BEN. WELL, I, I'M VERY HAPPY TO SAY THAT NONE OF THOSE STICKERS HAVE BEEN MADE, SO THAT'S VERY GOOD. THANK YOU SIR. . THANK YOU. COUNCIL MEMBER PIAS. COUNCIL MEMBER MCKEE RODRIGUEZ. THANK YOU, MAYOR. I JUST YANKED MY EAR. UM, I'LL START OFF BY SAYING, UM, YOU KNOW, THIS IS SUPER IMPORTANT. THE GRAND HYATT, UM, HOTEL IS IMPORTANT BECAUSE ONE, IT'S CONNECTION TO THE CONVENTION CENTER. UM, IT'S PROXIMITY TO OTHER, UH, DOWNTOWN SITES SUCH AS THE ALAMO DOME AND IT'S ROLLING AND BRINGING REALLY LARGE CONVENTIONS AND THUS REVENUE TO SAN ANTONIO. AND SO I THINK IT'S IMPORTANT THAT WE GET THE BEST DEAL THAT WE CAN FOR, UM, OUR CITY. THAT BEING SAID, I THINK I'VE BEEN FAIRLY CONSISTENT, UM, THESE PAST NINE MONTHS AND, UH, CALLS FOR TRANSPARENCY. AND WHILE, AND I, I WANNA MAKE IT CLEAR, LIKE WE'VE, I, WE KNOW AND CONSTITUENTS KNOW WE MAKE DECISIONS BASED OFF OF THE INFORMATION THAT WE HAVE, THE INFORMATION THAT THEY RECEIVE AS WELL, AS WELL AS INFORMATION THAT WE LEARN, YOU KNOW, DURING EXECUTIVE SESSIONS AND, UM, THINGS LIKE THAT. SO WHILE TO US, IT FEELS LIKE THIS HAS BEEN GOING ON FOR A VERY LONG TIME, AND I DO FEEL THAT LIKELY THIS IS THE BEST DEAL. UM, YOU KNOW, THE PUBLIC LIKELY HEARD ABOUT THIS, YOU KNOW, FOR THE FIRST TIME A WEEK AGO OR MAYBE EVEN TODAY. AND SO THAT GIVES ME, UM, PAUSE. AND I'M CONCERNED THAT THE PUBLIC HASN'T HAD AN OPPORTUNITY TO GATHER DETAILED INFORMATION ON THE FINANCIAL PACKAGE WE'RE [01:35:01] DISCUSSING TODAY. AND I DON'T KNOW, I I, I AM CONFLICTED BECAUSE, UH, BECAUSE OF THAT FACT ALONE. UM, AND I WOULDN'T CALL IT LIKE NOT A TRANSPARENT PROCESS. I, AND I UNDERSTAND THE SPEED AT WHICH WE HAVE TO ACT, BUT, UM, IT'S JUST CONCERNING. UM, AND SO MY FIRST QUESTION, UM, IS GONNA BE WHEN AND WHERE WAS THE PUBLIC HEARING HELD AND WHEN AND WHERE WAS THE NOTICE POSTED? ARE YOU REFERRING TO THE FRA HEARING REGARD FOR THE BONDS THAT WAS, UH, HELD IN THE CITY FINANCE OFFICES YESTERDAY? OKAY. HOW MANY PEOPLE ATTENDED AND WHAT WAS THE OUTCOME, I GUESS, OF THE PUBLIC HEARING? SO THE TETRA NOTICE IS FOR I R S TAX PURPOSES, UM, IT'S REALLY PROVIDING NOTICE TO THE COMMUNITY THAT WE'RE GONNA BE ISSUING TAX EXEMPT BONDS OR THAT WE ARE NOT, UH, TAX EXEMPT BONDS WERE GOING TO BE ISSUED FOR A PROJECT WITHIN OUR COMMUNITY. UH, TYPICALLY WE HAVE THESE TOUGHER HEARINGS. WE DON'T HAVE ANY ATTENDANCE. I MEAN, THERE'S NOT A LOT OF ATTENDANCE. THERE WAS NO PUBLIC THERE AT THAT PUBLIC HEARING YESTERDAY. SO IT'S NOT HEARING, HEARING THAT WE WOULD NORMALLY, UH, NO, SIR. OKAY. UM, THE REASON I ASK THAT IS BECAUSE IT, UM, IN THE INFORMATION OR THE DOCUMENTS THAT WE HAVE, UM, IT STATES THAT EXHIBIT A WILL CONTAIN THE NOTICE AND THEN EXHIBIT B WILL CONTAIN THE NOTES FROM THE HEARING, BUT BOTH OF THESE PAGES ARE LEFT BLANK IN THE DOCUMENTATION. SO I WAS CURIOUS WHY IS THAT? SO THOSE GET ADDED IN. UM, SO AS I MENTIONED, THE, THE TEFRA HEARING OCCURRED YESTERDAY. AND THEN WHAT THEY WILL DO IS THEY WILL DOCUMENT THAT HEARING AND THEN THAT WILL BECOME PART OF THE FINAL PACKET. OKAY. UM, THANK YOU. AND THEN AS IT RELATES TO WORKERS, UM, YOU KNOW, OUR OFFICE MET WITH THE UNITE HERE, UH, HOTEL UNION AND DISCUSSED THEIR THOUGHTS ON THIS AGREEMENT. AND THEY HAVE A CLAUSE IN THEIR CONTRACT THAT ENSURES THAT THEIR CONTRACT'S GOING TO BE HONORED BY ANY SUCCESSOR. AND SO WE FEEL CONFIDENT THAT THEIR COMPENSATION AND EMPLOYEE PROTECTIONS WILL BE UPHELD. UM, AND WE DID JUST HEAR THAT THE PRESIDENT OF THE UNION IS SUPPORTIVE. UM, I GUESS ANOTHER QUESTION WOULD BE THE HOTEL BONDS, UH, WILL BE ISSUED IN THE AMOUNT UP TO 450 MILLION, RIGHT? SO YES, WITH THE APPROVAL TODAY, THERE WOULD BE, UH, APPROVAL TO ISSUE UP TO $450 MILLION IN BONDS? YES. OKAY. UM, BECAUSE WITH THE 168.3, THE 10.4, THE 4.9 AND THE 75 MILLION, AND THEN THE 10 MILLION, IT LEAVES ABOUT 181.4 MILLION, UM, UNACCOUNTED FOR WITHIN THAT. AND SO I GUESS THE LAST ITEM WOULD JUST BE TO PAY THE COST OF THE ISSUANCE OF THE BONDS. SO COUNCIL, IF YOU DON'T MIND, I'M GONNA BRING THAT SLIDE BACK UP AGAIN. COULD WE BRING SLIDE NINE BACK UP PLEASE? SO LEMME JUST QUICKLY WALK THROUGH, UH, THIS SLIDE AGAIN. I KNOW THAT THERE'S A LOT HERE. SO THE UP TO $450 MILLION NUMBER, UM, THERE IS FLEXIBILITY IN THERE THAT ALLOWS THE UNDERWRITER ON THE DAY OF PRICING TO BE ABLE TO STRUCTURE THE BONDS, UH, TO TRY TO TRY TO ACHIEVE THE OUTCOME WE'RE LOOKING FOR. AND WHEN I SAY STRUCTURE THE BONDS, SOMETIMES THEY'RE TALKING ABOUT CHANGING THE COUPONS THAT ARE ON THE BONDS. SOMETIMES THEY'RE ISSUED AT A PREMIUM OR A DISCOUNT THAT CAN CHANGE THE PAR AMOUNT OF THE BONDS. AND THAT'S WHAT THIS UP TO AMOUNT IS ON THE PAR AMOUNT OF THE BONDS. THAT DOESN'T NECESSARILY CHANGE THE AMOUNT OF PROCEEDS THAT COME OUT OF THAT BOND ISSUANCE, BUT IT IS REALLY IMPORTANT FLEXIBILITY. IT IS SOMETHING THAT WE BUILD INTO OUR ISSUANCES. SO WHEN WE COME AND ASK YOU FOR APPROVAL FOR A CITY ISSUANCE, WE WILL BUILD IN SOME AMOUNT OF FLEXIBILITY BECAUSE WE DON'T KNOW WHERE THE MARKET'S GONNA BE WHEN WE'RE PRICING AND WHAT INVESTORS ARE GONNA BE LOOKING FOR. UM, WHAT I NOTED HERE ON THIS SLIDE IS THAT BASED ON WHERE WE BELIEVE WE ARE AT TODAY WITH THIS DEAL, AND I MENTIONED THE BOND MARKET'S VOLATILE, BUT WHERE WE BELIEVE WE ARE TODAY IS, THE NUMBERS ON THIS PAGE WOULD BE ABOUT A $410 MILLION ROUGHLY BOND ISSUE. UM, THESE AMOUNTS WOULD BE APPROXIMATE AMOUNTS OF WHERE, UH, AND HOW THAT WOULD BE ALLOCATED. AND THAT LAST ITEM THERE, THE RESIDUAL AMOUNT, THAT WOULD BE ABOUT $140 MILLION THAT WOULD BE PAID FROM THE NONPROFIT TO HYATT, UH, AS PART OF THE ACQUISITION OF THE HOTEL. SO IF YOU LOOK AT THE FOUR $10 MILLION ISSUANCE AND WHAT WE'VE LAID OUT HERE WITH THE 140 MILLION, THAT'S WHERE WE BELIEVE THE DEAL IS TODAY. OKAY. UM, ALSO, I GUESS, SO I RECEIVE CONSTITUENT CONCERNS ABOUT THIS AND, UH, JUST GENERALLY ABOUT THE HYATT AND PEOPLE WHO FEEL, YOU KNOW, THE CITY HAS NO BUSINESS, UH, IN THE HOTEL INDUSTRY, RIGHT? AND, UM, YOU KNOW, WHAT BUSINESS DO WE HAVE OWNING A HOTEL? AND SO I GUESS WHEN WE BECOME THE OWNERS OF THE HOTEL, HOW DO WE HANDLE THE COST OF MAINTENANCE? AND I SAY THAT BECAUSE THERE ARE A NUMBER OF CITY FACILITIES, AND WE'VE SEEN THIS IN THE BOND WHERE, UM, YOU KNOW, UH, [01:40:01] SOME, SOME CITY FACILITIES SUCH AS ELLA AUSTIN, SOME OF OUR FIRE STATIONS AND OTHER FACILITIES HAVE FALLEN INTO STATES OF DI DISREPAIR MM-HMM. AT THAT POINT, WHAT ARE WE GONNA DO ABOUT THAT OR HOW DO WE PREVENT THAT? YEAH. AND, AND I APPRECIATE THAT QUESTION COUNCILMAN. 'CAUSE I DIDN'T, I DIDN'T REALLY SPEND TOO MUCH TIME OR HIGHLIGHT THAT, YOU KNOW, UM, HYATT AND THE NONPROFIT ARE GONNA BE REQUIRED TO, UH, MAINTAIN THAT HOTEL AND OPERATE IT UNDER THE SAME BRAND STANDARD AS IT DOES TODAY. AND UNDER THAT BOND INDENTURE WHERE FUNDS ARE ALLOCATED FOR EVERYTHING FROM OPERATING EXPENSES TO THE DEBT SERVICE, THERE'S ALSO GONNA BE A REQUIREMENT TO FUND, UM, AN FF IN THE ACCOUNT FURNITURE FIXTURE AND EQUIPMENT ACCOUNT THAT'S USED TO MAINTAIN THE BUILDING THAT'S GONNA BE SET BOTH AT A SENIOR LEVEL AND A SUBORDINATE LEVEL. MEANING THERE'S TWO DIFFERENT PLACES WHERE FUNDS WILL BE INSERTED INTO THOSE ACCOUNTS AND IT'S ACTUALLY SET AT A DOLLAR VALUE THAT'S HIGHER THAN WHAT'S BEING PUT ASIDE TODAY. SO THE DOLLARS ARE BEING ALLOCATED IN THE INDENTURE TO, TO ANSWER YOUR QUESTION. AND THEN THE OTHER SECOND PART OF THAT IS WE HAVE TO MAINTAIN THAT THE, THE BRAND STANDARD HAS TO BE MAINTAINED. OKAY. UM, THANK YOU FOR ANSWERING THAT. I THINK ALSO, SO IF I'M A CONSTITUENT, AND I'M THINKING THAT, YOU KNOW, CURRENTLY AS IT STANDS, WE'RE, WE'RE IN SHORT FINANCIALLY RESPONSIBLE FOR THE HOTEL RIGHT? OR WE HAVE SOME RESPONSIBILITY, WE HAVE SOME RESPONSIBILITY FOR THE REPAYMENT OF THE DEBT. UM, SHOULD THERE BE SHORTFALLS MM-HMM. , BUT IT'S LIMITED TO THAT HOT REVENUE THAT WE HAVE PLEDGED THIS DEAL WILL MAKE IT SO THAT IS NOT THE CASE. THAT IS CORRECT. SO WE WILL FINANCIALLY BE IN A BETTER POSITION THAN WE ARE NOW. AND THOSE CONCERNS THAT PEOPLE HAVE ABOUT OWNING A HOTEL OR, YOU KNOW, BEING FINANCIALLY RESPONSIBLE FOR A HOTEL DISAPPEAR. THAT'S CORRECT. WE DO, WE, WE, WE ARE NOT BACKING THE BONDS, WE'RE NOT PROVIDING ANY INCENTIVE. WE CONTINUE TO OWN THE LAND. WE'RE GETTING PAID THE DOLLARS THAT WE'RE OWED, BOTH IN TERMS OF GROUND RENT THAT'S ACCRUED TO DATE, AS WELL AS THE MONEY THAT WE USE TO MAKE UP DEBT SERVICE SHORTFALLS. AND THEN AS YOU MENTIONED, ONCE THE CURRENT BONDS, THE NEW BONDS, I'M SORRY, THE NEW BONDS ARE PAID OFF, WE'LL BECOME THE OWNER OF THE HOTEL. YOU KNOW, WHERE THAT HAPPENS IN YEAR 30 OR YEAR 40 OR SOMETIME SHORTLY AFTER THAT. UM, THE CITY AT THAT POINT CAN DECIDE WHAT THE BEST PATH IS, UH, FORWARD, YOU KNOW, WHETHER IT, UH, LIKELY CONTINUES TO OPERATE AS A HOTEL. UM, BUT IT HAS, IT HAS OPTIONS AT THAT POINT. THANK YOU. I I THINK MY PRIMARY STRUGGLE IS THAT, YOU KNOW, WE'VE ONLY HAD A LITTLE BIT OF TIME TO DISCUSS THIS PUBLICLY, AND I FEEL AS THOUGH I GOT OUT A NUMBER OF THE QUESTIONS AND CONCERNS, BUT I, I'M NOT SURE I, I'M GONNA CONTINUE TO THINK, I'M GONNA LISTEN TO MY COLLEAGUES QUESTIONS AND I WANT TO FEEL CONFIDENT AT THE END OF THIS, AT THE, YOU KNOW, WHEN I CAST MY VOTE. THANK YOU. THANK YOU. THANK YOU. COUNCIL MEMBER MCKEE RODRIGUEZ, COUNCIL MEMBER KUR. THANK YOU MAYOR. UH, I'D LIKE TO STEP BACK A MINUTE TO TAKE A LOOK AT, UH, A LITTLE BIT OF THE FINANCIAL HISTORY. SO LET ME ASK, WHAT WAS THE CITY'S FINANCIAL INVESTMENT IN INFRASTRUCTURE OR OTHERWISE OR INCENTIVES OR GRANTS OR OTHER FINANCIAL COSTS TO THE CITY WHEN THIS PROJECT WAS DEVELOPED WITH HYATT? YOU KNOW, COUNCILMAN, THE ONLY THING THAT I, THAT I'M AWARE OF, AND I'LL ASK THE TEAM TO JUMP IN, I THINK THE ONLY THING I'M AWARE OF IS WE, UM, USED OUR HOT REVENUES TO BACK THAT BOND ISSUE IN 2005, WHICH, YOU KNOW, HELPED, UM, MOVE THE PROJECT FORWARD BECAUSE IT LOWERED THE COST OF BORROWING BECAUSE WE HAD OUR DOLLARS PLEDGED IN THE EVENT THERE WAS A, A DEBT SERVICE SHORTFALL, BUT IT WASN'T ANY ACTUAL CASH OUT OF A, A TURS OR ANY KIND OF TAX DEDUCTION OR THINGS LIKE THAT THAT WERE OFFERED. NO, SIR. SO WE WERE JUST SAYING IF THERE WAS SOME PROBLEMS, OUR HOT TAX WOULD HELP BACK UP WHATEVER THAT PROBLEM MIGHT BE. THAT'S CORRECT. OKAY. SPECIFICALLY THE DEBT SERVICE PAYMENTS RIGHT. TO DEBT SERVICE IN THE 14 YEARS OR SO THAT, UH, WE'VE HAD THE RELATIONSHIP WITH THEM, HOW MUCH TOTAL COSTS HAS THE CITY INCURRED, UH, WITH THEM, UH, REGARDING ANYTHING INVOLVED IN OUT-OF-POCKET OR SUPPORT SERVICES FROM THE CITY? YEAH, I DON'T KNOW IF I CAN ANSWER THE SUPPORT SERVICES. I, I, I WILL TELL YOU THAT IN TERMS OF THE TRANSACTION AND THE WAY IT STANDS TODAY, THE TWO THINGS THAT, THAT, UH, WE HAVE CONTRIBUTED HAVE BEEN THE LAND, RIGHT? SO THERE IS A GROUND LEASE PAYMENT THAT IS OWED ON THE LAND. AND UNDER THE CURRENT DEAL, I MENTIONED THAT THAT STRUCTURE OF THE WAY IT WAS PUT TOGETHER IN OH FIVE, IT'S LOW ON THE PRIORITY OF PAYMENTS. AND SO THAT GROUND LEASE PAYMENT, WHILE IT HAS BEEN ACCRUING SINCE 2008, IT HAS NOT BEEN PAID. SO THAT'S THE $4.9 MILLION THAT I TALKED ABOUT. UM, THE OTHER THING THAT HAPPENED DURING THE PANDEMIC IS HOTEL OPERATIONS COULD NOT FULLY FUND THEIR DEBT SERVICE PAYMENT. [01:45:01] AND AS WE COMMITTED UNDER THE INDENTURE, WE, WE SAID WE WOULD PLEDGE OUR HOT REVENUES TO MAKE UP SHORTFALLS THAT WAS $10.4 MILLION. SO THOSE ARE THE TWO, UH, DIRECT IMPACTS THAT WE HAVE HAD FROM THE CURRENT DEAL. SO THOSE TWO REPRESENT EITHER INCOME NOT RECEIVED OR COST TO SUPPORT THE INSTITUTION AND THOSE COME TO ABOUT $15 MILLION. THAT IS CORRECT. AND THAT'S WHAT WE ARE EXPECTING TO GET BACK OUT OF THIS CLOSING. THAT'S CORRECT. OKAY. SO, BUT THE CITY HAS RECEIVED NO OTHER REVENUE, UH, DIRECTLY FROM HYATT, UH, OVER THIS PERIOD OF TIME? NO, OTHER THAN OUR HOT TAX THAT'S GENERATED AT THE HOTEL. OKAY. LIKE EVERY OTHER HOTEL IN THE CITY LIMITS. RIGHT. OKAY. WELL, YOU KNOW, THAT'S KIND OF WHAT I WANTED TO, TO MAKE SURE OF SO THAT THE CITY REALLY ISN'T OUT OF ANY MONEY THAT WE WON'T GET BACK WHEN THIS CLOSES. SO WE HAVEN'T HAD MILLIONS AND DOLLARS OF TAX INCENTIVES OR OUT-OF-POCKET COSTS OR ANYTHING LIKE THAT. NO, SIR. OTHER THAN WE'RE GETTING THE $15 MILLION BACK THAT WE HAVE PUT OUT OR HAVE NOT RECEIVED AT CLOSING. OKAY. UH, AND SO WE'RE GONNA RETAIN LAND OWNERSHIP IN THIS. YOU'VE ALREADY SAID THAT? THAT'S CORRECT. UH, WE'LL REDUCE OUR FINANCIAL LIABILITY 'CAUSE WE'LL NO LONGER HAVE TO BACK UP ANYTHING RELATED TO THIS WITH ANY OF CITY FUNDING. THAT IS CORRECT. OKAY. AND, AND WE'LL IMPROVE OUR FINANCIAL POSITION, YOU SAID, WHICH MEANS WE'RE MORE LIKELY TO RECEIVE OUR GROUND LEASE PAYMENTS EVEN BEFORE THEY PAY OFF THEIR DEBT? YES, SIR. SO THE WAY THAT WORKS IS IN THAT WATERFALL THAT ESTABLISHES A PRIORITY OF PAYMENTS, THE BASIC RENT FOR THE GROUND LEASE HAS BEEN MOVED UP. SO IT'S ONE OF THOSE EARLY PAYMENTS THAT'S MADE BEFORE MONEY FLOWS DOWN TO DEBT SERVICE. SO WE WILL BE RECEIVING OUR GROUND RENT GOING FORWARD. AND HOW MUCH IS THAT GROUND LEASE AND WHAT'S THE PROJECTION OVER THE NEXT 10 YEARS? I THINK FOR 2022 IT'S RIGHT AT $450,000 AND THEN IT'LL BE ADJUSTED BY C P I EVERY YEAR. SO EVEN IF IT STAYED THE SAME, WE'RE TALKING ABOUT FOUR AND A HALF MILLION DOLLARS TO THE CITY OVER THE NEXT 10 YEARS. BUT WE'RE, WE'RE UNDERSTANDING IT'LL PROBABLY GO UP WITH THE COST OF DOING BUSINESS? YES, SIR. IT'LL BE IN D E P I. OKAY. AND SO WILL PAY, EXCUSE ME, WILL, UPON THE PAYOFF, WHICH YOU'RE SAYING NOW IS GOING TO BE 40 YEARS, POSSIBLY EVEN SOONER, THEN WE'LL HAVE TOTAL OWNERSHIP OF NOT JUST THE LAND, BUT THE HOTEL. THAT IS CORRECT. OKAY. BUT THEN WE'LL HAVE TO ASSUME THE RESPONSIBILITY FOR MANAGING AND MAINTAINING THAT, RIGHT? THAT IS CORRECT. OKAY. THE LAST QUESTION I HAVE IS, WHAT'S THE BENEFIT OF THIS TRANSACTION TO THE NONPROFIT PARTNER? WHY ARE THEY DOING THIS? YOU KNOW, THEY, UM, AS PART OF THEIR CHARITABLE PURPOSE, UM, UM, ONE OF THE THINGS IS THEY, THEY WORK ON DEALS WHERE THEY CAN RELIEVE THE BURDENS OF GOVERNMENT. SO, UM, THIS DEAL FITS INTO THAT BECAUSE AS I MENTIONED, WE ARE REMOVING OUR SUPPORT FINANCIALLY FOR THE ISSUANCE OF THE BONDS. WE'RE GETTING THE FUNDING BACK THAT WE'VE PUT OUT. SO IT FITS IN WITH THEIR CORE MISSION. AND, UM, THESE ARE SIMILAR TRANSACTIONS TO SOME OF THESE NONPROFITS THAT, THAT THEY DO ACROSS THE COUNTRY. OKAY. WELL, THAT ANSWERS ALL MY QUESTIONS AND I'LL, I'LL CERTAINLY BE IN SUPPORT OF BOTH FOUR AND FIVE. THANK YOU, MAYOR. THANK YOU. COUNCIL MEMBER COURAGE. COUNCIL MEMBER VERAN. THANK YOU. UH, THANK YOU BEN AND THE TEAM FOR ALL YOUR HARD WORK. UM, AS A FORMER VISIT SAN ANTONIO EMPLOYEE, UH, SITTING ON, UH, THE VISIT SAN ANTONIO BOARD, I KNOW HOW IMPORTANT THE GRAND HYATT IS TO OUR, UH, TRAVEL AND TOURISM AND HOSPITALITY INDUSTRY. AND IT, IT WAS, IT WAS VERY INTERESTING TO COME ON AND SEE THIS, THIS HAPPENING. I, I DID PAY ATTENTION AND I KNEW WE HAD TO USE OUR HOT TAX FOR THE DEBT SERVICES, UH, RELIEF DURING THE PANDEMIC. AND, UH, AND I DID WORRY ABOUT, UH, OUR, THE EMPLOYEES, UH, BUT I KNEW UNITE HERE AND THE GRAND HYATT WERE WORKING TO, TO HELP WITH THAT SITUATION. SO THANK YOU FOR ALL YOUR WORK. UH, FOR ME, KEY IS TO KEEP THE LAND, AND WE HAVE DONE THAT, WHICH I'M VERY EXCITED ABOUT. I WANNA THANK THE HYATT PHIL FOR YOUR WORK, UH, IN, IN PER IN GIVING US QUALITY SERVICE, BOTH AT THE, UM, HYATT REGENCY AND AT THE GRAND HYATT. UH, JUST KEY TO GETTING GROUPS HERE. AND I WANNA THANK UNITE HERE FOR, UH, BEING SO DILIGENT TO REPRESENT THEIR, UM, THEIR MEMBERS AND TO WORK HARD TO MAKE SURE THAT HOTEL ROOMS GET CLEANED EVERY DAY AND SAFETY'S FIRST AND, UH, AND THEIR EFFORTS IN SUPPORTING THIS. THE HOSPITALITY INDUSTRY IS STILL KEY TO THE ECONOMY OF SAN ANTONIO. THE BUILDING. GRAND HYATT HAS A RESTAURANT BAR, EVENT SPACES AND ROOMS. THE BUSINESS OF THE CITY COUNCIL IS TO MOVE THIS CITY FORWARD OUT OF THE PANDEMIC [01:50:01] AND INTO, UM, A COMPETITIVE PLACE IN THE HOSPITALITY INDUSTRY. I THINK TODAY WITH THIS DEAL, WE DO THAT, I THINK MY COUNCIL COLLEAGUES HAVE BROUGHT UP THE FACT THAT WE WILL NOT BE USING, UM, HOT REVENUE FOR THE DEBT SERVICES THAT WE KEEP THE PROPERTY, AND THAT WE WON'T SEE THAT SHORTFALL AGAIN. GRAND HYATT HAS BEEN A GREAT PARTNER. YOU KNOW, OUR BUSINESS IS ALL TO MAKE SURE THAT YOU GUYS STAY IN BUSINESS AND ARE HERE AND WORKING. SO I LOOK FORWARD TO SUPPORTING THIS, UM, ORDINANCE. AND JUST THANK YOU AGAIN FOR ALL YOUR HARD WORK. THANK YOU. COUNCIL MEMBER GRO, COUNCIL MEMBER ROCHA GARCIA. THANK YOU MAYOR. AND I WANNA START OFF BY THANKING BEN, UM, FOR ALL OF THE HARD WORK AND, UM, ALL OF THE SCENARIOS THAT YOU PRESENTED TO US, UM, EARLY ON. AND I WANNA ECHO THE, UM, SENTIMENTS OF MY COLLEAGUES WHO FEEL LIKE WE'VE BEEN HEARING ABOUT IT FOREVER, UH, BUT SOMETIMES WE ARE. WELL, WE'RE OBVIOUSLY NOT ALLOWED TO TALK ABOUT IT, UM, IN PUBLIC. SO THANK YOU SO MUCH, UH, FOR, UH, FOR ALL OF THAT HARD WORK. BEN, I APPRECIATE EVERYTHING THAT YOU DID. I ALSO, UM, WANT TO THANK, UH, THE, UH, REGENCY RIVER WALK, UH, IN, IN THE GRAND HYATT. UM, PHIL, THANK YOU FOR BEING HERE AS WELL. I ALSO SIT ON THE VISITS, ANTONIO BORDEN, YOU'RE ALWAYS VERY KIND TO, UM, HOST, UH, OUR EVENTS THERE, SO I APPRECIATE THAT. UM, AND MORE IMPORTANTLY, I ALSO WANNA THANK YOU PUBLICLY BECAUSE, BECAUSE YOU ALL HAVE INTERNSHIPS AND I, UH, FOR OUR CITY OF SAN, OUR, OUR, OUR STUDENTS HERE IN SAN ANTONIO, IN FACT, TWO OF MY STUDENTS HAVE BENEFITED FROM YOUR, UM, UH, INTERNSHIPS AND ESPECIALLY DURING THE PANDEMIC. SO THEY LEARNED A LOT. SO THANK YOU FOR ALLOWING THEM THAT OPPORTUNITY AND, AND I KNOW YOU'LL CONTINUE TO WORK WITH STUDENTS THROUGHOUT SAN ANTONIO, SO THANK YOU FOR THAT. UM, COUNCILMAN PERRY AND I ARE GOING TO BE MEETING WITH THE SAN ANTONIO HOTEL AND LODGING ASSOCIATION IN A COUPLE OF WEEKS. UM, AND, UM, WE HAVE, UH, ALREADY STARTED THINKING ABOUT HOW TO ADDRESS THE, UH, ITEMS THAT WERE BROUGHT FORWARD TODAY DURING PUBLIC COMMENT BY MR. PHILLIPS AND MS. MISTY KINA FROM COPS METRO WHEN IT WAS ABOUT LIVING WAGES, UH, BUT MORE IMPORTANTLY HOW TO BUILD A CAREER IN THIS INDUSTRY BECAUSE WE KNOW THAT IN SAN ANTONIO TOURISM IS IMPORTANT AND THAT YOU CAN MAKE IT A GREAT SUCCESSFUL CAREER, UH, WITH A FAMILY LIVING WED, UH, WAGE. SO WE WILL BE MEETING, UM, WITH, UH, LIKE I SAID, THE SAN ANTONIO HOTEL LODGING ASSOCIATION, THAT WAS PART OF HIS, UM, REQUIREMENT FOR SUPPORTING THE READY TO WORK INITIATIVE A COUPLE OF WEEKS AGO. AND, UM, I COMMITTED TO WORKING WITH HIM. SO I JUST WANNA SAY THANK YOU, UM, BECAUSE I KNOW YOU ALL ARE A PART OF THAT AS WELL. AND WE WILL BE TALKING ABOUT THAT. WE DO NEED THAT FOR OUR FAMILIES IN SAN ANTONIO, AND I FEEL COMFORTABLE TODAY IN SUPPORTING THAT, UH, THE, THE TODAY'S, UM, UM, PROPOSED, UM, I, I GUESS DEAL, RIGHT? UM, BECAUSE OF THAT. BECAUSE I KNOW THAT FOLKS, UH, ARE READY TO PUT PEOPLE TO WORK FOR OUR COMMUNITIES AND READY TO GET THEM INTO CAREERS THAT ARE GOING TO BE BENEFICIAL FOR THEIR ENTIRE FAMILY. SO THANK YOU BEN, AND THE TEAM FOR EVERYTHING THAT YOU'VE DONE. THAT'S IT. THANK YOU, MAYOR. THANK YOU. COUNCIL MEMBER ROJA GARCIA, I HAVE, UM, COUNCIL MEMBER SANDOVAL AND COUNCIL MEMBER BRAVO IN THE QUEUE. SO, UM, LET ME, LET ME CALL COUNCIL MEMBER BRAVO FIRST WHILE HE'S GETTING SITUATED. I DO WANNA ALSO SAY, UM, THE ECONOMIC IMPACT OF HAVING A MAJOR CONVENTION CENTER HOTEL SO CLOSE TO EVERYTHING IS INDISPUTABLE. AND THAT HAS BEEN IN PLACE NOW SINCE 2008, AND WE'VE BENEFITED GREATLY, AS YOU SAID, UH, BEN FROM THAT. UH, I THINK WHAT'S WHAT'S IMPORTANT ABOUT THIS TRANSACTION IS THAT IT MOVES UP THE PUBLIC'S INTEREST IN TERMS OF ACCRUAL OF THE, UH, OF THE INTEREST, UH, EXCUSE ME, ACCRUAL OF THE, OF THE LEASE PAYMENTS INSTEAD OF US BEING ON THE HOOK POTENTIALLY IF THERE'S A DISRUPTION IN THE ECONOMY. THAT'S THE STRENGTH OF THIS DEAL. THAT'S WHY IT'S A GOOD DEAL, IN MY OPINION, IN TERMS OF, UM, THE OVERALL CASH FLOW AS WELL AS THE RETENTION OF THE ASSETS. SO TO CLARIFY THAT POINT, COUNCIL MEMBER BRAVO, UH, COUNCIL MEMBER SANDOVAL'S HERE NOW SHE WANTS TO GO. COUNCIL MEMBER SANDOVAL. THANK YOU MAYOR. UM, THANK YOU FOR THE PRESENTATION. UM, THERE'S A LOT OF PUBLIC SCRUTINY ON THIS ON THIS DEAL RIGHT NOW FOR, FOR OBVIOUS REASONS. OF COURSE, WE WANNA BE VERY CAREFUL AND THOROUGH IN MAKING THE DECISION. UM, I'LL START WITH, UH, WITH A COUPLE OF QUESTIONS FOR, FOR BEN. CAN YOU TELL ME THE AMOUNT OF 450 MILLION? SO OUR ORIGINAL ISSUANCE WAS ABOUT, OR THE ORIGINAL ISSUANCE WAS 208, I BELIEVE, FROM THE MATERIALS THAT WE'VE RECEIVED. HOW THAT IS CORRECT. THE ORIGINAL ISSUANCE WAS 208 MILLION THAT WAS USED IN CONJUNCTION WITH PRIVATE FUNDING TO CONSTRUCT A HOTEL. UH, SO CAN YOU TELL ME HOW THE FOUR 50 MILLION WAS DETERMINED? SO THE 450 MILLION, UH, AGAIN INCLUDES FLEXIBILITY AS WE TALKED ABOUT FOR THE BOND MARKET. SO THE, THE, THERE IS SOME CUSHION IN THERE, SOME FLEXIBILITY BECAUSE ON THE DAY OF PRICING, DEPENDING UPON WHAT INVESTORS ARE LOOKING FOR, UH, COUPONS COULD CHANGE THE, [01:55:01] THE BONDS COULD BE ISSUED AT A PREMIUM OR DISCOUNT THAT CHANGES THE PARAMOUNT BUT DOESN'T CHANGE THE PROCEEDS. SO I, I MEAN, WHY NOT 300 MILLION OR 800 MILLION? CAN YOU JUST TELL ME HOW YOU NARROWED THAT RANGE? YEAH, YES. SO PART OF THAT IS, UM, THE, THE HYATT HYATT IS SELLING THE HOTEL. SO PART OF THAT IS BASED ON THE PURCHASE PRICE THAT WILL BE A PART OF THE TRANSACTION. AND WHAT'S THE OTHER PART BASED ON THE FLEXIBILITY THAT YOU MENTIONED? YES, SO, WELL, AND, AND LET ME ADD, THERE'S THE, THERE'S THE, THERE'S THE ACQUISITION OF THE HOTEL BY THE NONPROFIT AND THEN THERE ARE OTHER, UM, I MENTIONED RESERVES AND THINGS THAT ARE, ARE BEING SET UP AS PART OF THE BOND STRUCTURE. COULD YOU WALK ME THROUGH THOSE? SO I UNDERSTAND 15 3, 15 $0.3 MILLION WILL BE COMING TO THE CITY, BUT COULD YOU, UH, BASICALLY WALK ME THROUGH THE 450 MILLION AND AT THE END OF THE DAY WHERE THOSE DOLLARS ARE GOING TO BE? OKAY. UM, WE CAN GO BACK TO SLIDE NINE. SO AGAIN, WE'RE ASKING FOR YOUR AUTHORIZATION OF UP TO $450 MILLION. AGAIN, WITH SOME FLEXIBILITY AND SOME CUSHION TO ALLOW THE UNDERWRITER TO HAVE, UH, THAT FLEXIBILITY THEY'LL NEED TO DO THE BOND PRICING. UM, YOU GOTTA BE ABLE TO RESPOND TO WHAT INVESTORS ARE LOOKING FOR. AND AGAIN, THAT CAN MOVE THE P AMOUNT OF THE BONDS WITHOUT CHANGING THE PROCEEDS. TO MAKE IT SIMPLE, WHAT WE'VE LAID OUT HERE IS BASED ON WHERE WE BELIEVE THE DEAL STANDS TODAY, WHICH WOULD BE ABOUT A $410 MILLION ISSUANCE APPROXIMATELY, THOSE PROCEEDS WILL BE USED TO PAY OFF THE CURRENT HOTEL BONDS ROUGHLY AT $168.3 MILLION. SO THOSE BONDS THAT ARE OUTSTANDING TODAY WILL BE FULLY PAID OFF AND, AND, AND, AND DONE. THERE WILL BE THE PAYMENT TO THE CITY OF $15.3 MILLION, WHICH INCLUDES OUR UNPAID GROUND RENT OF 4.9 MILLION. AND OUR HOT FUNDS THAT WE USE FOR DEBT SERVICE SHORTFALLS OF 10.4 MILLION, UM, I THINK YOU ASKED WHERE THOSE WOULD GO. THOSE WOULD GO BACK TO OUR HOT FUND. UM, THAT IS WHERE THE GROUND LEASES ARE SCHEDULED TO BE PAID. AND THAT IS WHERE WE USE THE HOT REVENUES FROM. SO THOSE WILL BE GOING BACK INTO THE HOT FUND AFTER FINANCIAL CLOSING. THERE ARE THEN DEBT AND OPERATING RESERVES FOR THE, FOR THE, IT'S REALLY FOR THE, FOR THE, FOR THE ENTIRE BOND INDENTURE. SO THERE ARE RESERVES THAT ARE SET UP. THERE ARE, UM, BOTH OPERATING RESERVES AND DEBT RESERVES. SO THERE'S OPERATING RESERVES TO DEAL WITH UNFORESEEN OPERATING EXPENSES THAT MIGHT COME UP. AND THEN THERE ARE DEBT SERVICE RESERVES. UM, WE KNOW THAT, UM, THE, THE ECONOMY AND HOT TAXES AND REVENUES DON'T GROW AT A NICE LINEAR PATTERN. THEY EXPAND AND CONTRACT. AND SO WHEN THINGS ARE CONTRACTING, YOU'VE GOTTA HAVE SOME THINGS IN PLACE TO DEAL WITH THAT. THESE RESERVES ARE WHAT HELP DO THAT. UM, THE NEXT ITEM IS THE PAY PAYMENT FOR THE COST OF ISSUANCE ON THE TRANSACTION. THAT INCLUDES THE, THE, THE COST ASSOCIATED WITH PUTTING THE DEAL TOGETHER AND UNDERWRITING AND MARKETING THE TRANSACTION. THE LAST, THE LAST BULLET THERE I MENTIONED, BASED ON A FOUR $10 MILLION ISSUANCE, ABOUT $140 MILLION WITHIN THAT RESIDUAL AMOUNT OF ABOUT $140 MILLION WOULD BE PAID, UH, BY THE NONPROFIT TO HYATT TO ACQUIRE OWNERSHIP OF THE HOTEL. , SORRY. UM, OKAY. THAT'S THE OTHER THING I WAS LOOKING FOR IS ACTUALLY, WHAT IS THE SALE PRICE OF, OF THE HOTEL? SO $140 MILLION. AND WHEN YOU ADD THAT TO THE 2 68, UM, YOU COME UP WITH, UH, JUST ABOUT 408, RIGHT? LEAVING YOU 42 MILLION IN THE FLEXIBILITY THAT YOU'RE TALKING ABOUT. YEAH. SO THIS ONE HAS, AGAIN, BASED ON MARKET CONDITIONS, ABOUT FOUR 10. SO ABOUT $40 MILLION. YEAH, YOU'RE RIGHT. 42 MILLION. UM, WE WERE JUST USING APPROXIMATE NUMBERS, YOU KNOW, THE SALES PRICE. I DO WANNA MENTION, YOU KNOW, THIS TRANSACTION AGAIN, IS REALLY SENSITIVE TO WHERE THE BOND MARKET'S GOING TO BE. AND I MENTIONED THE FLEXIBILITY DEALS WITH STRUCTURE. SO WHAT ARE INVESTORS LOOKING FOR? THAT DOESN'T NECESSARILY MEAN MOVE PROCEEDS, BUT THE OTHER THING IS HAPPENING IS THE MARKET IS MOVING. UH, IT'S KIND OF VOLATILE, BUT IT HAS A GENERAL, GENERAL TRAJECTORY UP AS INTEREST RATES ARE RISING. SO AS INTEREST RATES RISE, THAT IMPACTS THE DEAL AND HOW MUCH MONEY'S AVAILABLE. AND SO THESE ARE ALL APPROXIMATE, APPROXIMATE AMOUNTS, AND THAT'S WHY WE PUT PRELIMINARY ALL OVER THIS. UM, YOU KNOW, THE SALES PRICE HAS REALLY COMBINED A COMBINATION OF A COUPLE OF THINGS. IT'S REALLY THE RESIDUAL AMOUNT, IT'S THE AMOUNT THAT HAS TO GET PAID OFF THE, THE BONDS. IT'S LIKE A MORTGAGE, RIGHT? YOU'VE GOTTA PAY THAT OFF AND THEN THE AMOUNT OWED TO THE CITY. BUT I, I'M JUST, I WANTED TO REITERATE, THAT'S NOT REALLY SET IN STONE. A LOT OF THIS WILL DEPEND ON WHERE WE ARE, HOPEFULLY AT THE END OF MARCH. [02:00:01] OKAY. THANK YOU. UM, I HAVE A QUESTION THAT IS PROBABLY GONNA SOUND DUMB, UM, BUT I REALLY HAVEN'T FIGURED IT OUT YET. SO I UNDERSTAND THE WATERFALL SERIES OF PAYMENTS. SO THERE ARE 10 PAYMENTS THAT NEED, LET'S SAY 10 PAYMENTS THAT NEED TO BE MADE IN A CERTAIN ORDER. AND CURRENTLY WE ARE NEAR THE END, THAT'S CORRECT. FOR THE GROUND LEASE. WE STILL, WITH THE NEW DEAL THAT YOU'RE PROPOSING, WE WILL MOVE UP IN THAT QUEUE AND EXPECT TO CONTINUE TO RECEIVE THAT, THAT PAYMENT. UM, BUT I, ARE ALL THOSE 10 STEPS STILL GOING TO BE THERE ONCE THE DEAL IS DONE. ALL THOSE DIFFERENT TYPES. BECAUSE HERE'S WHAT I'M GETTING AT. IF WE HAVEN'T BEEN ABLE TO GET OUR LEASE PAYMENT SINCE 2008, RIGHT? FOR THE PAST 13 YEARS, HOW IS THE HOTEL GOING TO MAKE ALL THE PAYMENTS THAT ARE STILL IN THE WATERFALL? YES. SO LET, LET ME, UM, LET ME GRAB SOMETHING REAL QUICK. 'CAUSE I'M, I'M, I'M GONNA TRY TO DO IT OFF THE TOP OF MY HEAD, BUT I'M GONNA, I'M GONNA MESS IT UP. SO I'M GONNA GRAB SOMETHING. STOP THE CLOCK, DEBBIE. JUST KIDDING. . ALL RIGHT, COUNSEL, WHEN YOU GOT ME, I DIDN'T BRING IT WITH ME, SO I'M GONNA, I'M GONNA DO IT OFF THE TOP OF MY HEAD. SO, UM, AND THE PRIORITY OF PAYMENTS. SO WHAT'S GONNA HAPPEN FIRST IS, UM, HYATT WILL GET ITS OPERATING EXPENSES, WHICH IS VERY TYPICAL OF THE DEAL. YOU WANNA MAKE SURE THAT THE ASSET CONTINUES TO FUNCTION, SO YOU'RE GONNA GET THE OPERATING EXPENSES PAID. THAT'S TRUE TODAY. UM, I THINK IT GOES OVER TO PROPERTY TAXES, INSURANCE, UH, THOSE KINDS OF ITEMS WOULD BE PAID NEXT. UM, IT WOULD THEN, UH, UNDER THE CURRENT DEAL, MOVE TOWARDS DEBT SERVICE AND, UM, A PREFERRED EQUITY RETURN TO THE CURRENT OWNER. OH, HERE WE GO. A CURRENT PREFERRED EQUITY RETURN, UH, TO THE OWNER. UH, THERE'S SEVERAL OTHER BUCKETS IN THE, IN THE MIDDLE THERE THAT WE DON'T CURRENTLY USE. AND THEN OUR BASIC RENT. SO ONE OF THE REASONS WE HAVEN'T GOTTEN OUR BASIC RENT IS THAT THE HOTEL OPENED IN 2008. WE'RE IN THE MIDST OF TRYING TO RECOVER FROM ONE OF THE WORST RECESSIONS FROM SINCE THE GREAT DEPRESSION. SO, SO IT WAS COVERING ITS DEBT SERVICE PAYMENTS, BUT WASN'T FULLY COVERING, ITS LIKE PREFERRED EQUITY RETURN THAT ACCUMULATES JUST LIKE OUR GROUND LEASE DOES. AND SO IT HASN'T BEEN ABLE TO CATCH UP BEYOND THAT IN ORDER TO BE ABLE TO GET TO A POINT WHERE ALL OF THAT IS BEING PAID. AND WE'RE GETTING OUR BASIC RENT UNDER THE NEW DEAL. WE GO FROM OPERATING EXPENSES, PROPERTY TAXES, INSURANCE, BASIC RENT, THEN DEBT SERVICE. OKAY. I JUST DON'T SEE HOW THOSE TOTALS ARE DIFFERENT. AND IF THEY PUT ASIDE THE ORDER, RIGHT? MM-HMM. , IF THEY COULDN'T MAKE THE TOTALS BEFORE WHAT IS CHANGING SO THAT THEY CAN MAKE THE TOTALS NOW. SO, SO ONE OF THE BIG THINGS THAT'S CHANGING IS THAT THE CURRENT STRUCTURE HAS A PREFERRED EQUITY RETURN BUILT IN. I MENTIONED THAT THERE WAS PRIVATE MONEY PUT IN WITH THE BONDS. WELL, THAT PRIVATE MONEY HAS A 12% RETURN ON IT, PREFERRED EQUITY RETURN, THAT RETURN, AND THAT, UM, OBLIGATION OR PAYMENT IS NOW BEING REPLACED WITH TAX EXEMPT DEBT. SO NOW YOU HAVE, BEFORE TODAY YOU HAVE TAX EXEMPT DEBT, TAXABLE DEBT, AND A PREFERRED EQUITY RETURN. IF YOU LOOK AT THE CURRENT, THE NEW DEAL, WE'RE GONNA HAVE TAX EXEMPT DEBT, WE'RE NO, NO, NO LONGER GOING TO HAVE A PREFERRED EQUITY RETURN. SO YOU'RE TAKING SOMETHING THAT HAS A HIGHER COST TO IT AT 12%, AND WE'RE REPLACING IT WITH SOMETHING THAT'S PROBABLY IN THE FIVE-ISH RANGE. SO THAT HAS A BIG DIFFERENCE. SO IF YOU LOOK AT OUR, UM, ACTUALLY HAVE THE STAFF DO THIS, IF YOU LOOK AT, LET'S SAY, 25 TO 30 A FIVE YEAR PERIOD, UM, AND YOU LOOK AT THE OBLIGATIONS UNDER THE CURRENT DEAL FOR DEBT SERVICE AND PREFERRED EQUITY, AND YOU COMPARE THAT TO WHERE WE THINK THIS DEAL IS, AND THOSE DEBT SERVICE OBLIGATIONS, IT'S ABOUT $23 MILLION LESS OVER THAT FIVE YEAR PERIOD. IT'S ABOUT $4 MILLION YEAR OR LESS JUST IN TERMS OF DEBT OBLIGATIONS OR DEBT LIKE OBLIGATIONS, IF THAT MAKES SENSE. SO THE, THE NEW DEAL RESETS, ALL OF THAT TAKES ADVANTAGE OF WHERE INTEREST RATES ARE ON THE MARKET, IS THERE'S NO LONGER A PREFERRED EQUITY RETURN. IT'S ALL NOW TAX EXEMPT DEBT. THANK YOU. COUNCIL MEMBER SANDOVAL. [02:05:01] COUNCIL MEMBER. BRAVO. THANK YOU. UM, I'D LIKE TO ASK A QUESTION OF THE, THE HYATT REPRESENTATIVES. UM, HOW MANY, HOW MANY HYATT HOTELS DO YOU OWN IN THE UNITED STATES ROUGHLY? HI, UH, GOOD MORNING. UM, APPROXIMATELY 28 HOTELS THAT WE OWN A HUNDRED PERCENT OF. OKAY. AND SO IF YOU LET THIS HOTEL FALL INTO SUBSTANDARD CONDITIONS, HOW'S THAT GONNA HELP? HOW'S THAT GONNA AFFECT YOUR BRAND? UM, THE REALITY IS, IS ANY HOTEL WE WANT TO, TO MAINTAIN THE BEST STANDARDS BECAUSE WHETHER WE OWN IT OR JUST OPERATE IT ON BEHALF OF A THIRD PARTY OWNER, THERE'S, UH, ECONOMIC IMPLICATIONS TO US BECAUSE GUESTS WILL NOT COME AND STAY AT OUR HOTEL AND, UH, NOT GENERATE REVENUES AND ULTIMATELY, UH, THE PROFITS THAT, THAT WE WOULD LIKE TO, TO SEE. GOT IT. AND SO, SO THIS IS NOT A UNIQUE DEAL TO YOU. YOU HAVE, THERE ARE OTHERS THAT YOU, YOU SAID YOU OWN 28 OUTRIGHT, AND THEN THERE'S, UM, THERE ARE OTHERS THAT YOU OPERATE BUT DO NOT OWN THE BUILDING. YEAH. ON A GLOBAL BASIS, WE, UH, E WE EITHER OPERATE OR, OR LICENSE OUR NAME TO APPROXIMATELY, GOSH, ABOUT 1,150 HOTELS, UH, WORLDWIDE. OKAY, GREAT. UM, THAT, THAT WAS THE OTHER QUESTION THAT I WAS GONNA ASK, SO THANK YOU. OKAY, GREAT. THEN AM TRYING TO WRAP MY HEAD AROUND THIS BECAUSE IT SEEMS LIKE TOO GOOD OF A DEAL. SO THE HYATT'S GONNA SELL THIS HOTEL TO A NONPROFIT, AND THEN THAT NONPROFIT IS STILL GONNA PAY US PROPERTY TAXES. THAT'S CORRECT. RIGHT. AND THEN THEY'RE GONNA PAY, LEMME CLARIFY, ALL ENTITIES RECEIVE THEIR PROPERTY TAXES, WANNA CLARIFY THAT, RIGHT. EVERYBODY'S GONNA GET, SO SS A I S D IS GONNA GET PROPERTY TAXES. THAT'S CORRECT. THAT THE COUNTY'S GONNA GET THE, THE, UH, THE HOSPITAL DISTRICT'S GONNA GET PROPERTY TAXES FROM THEM. SO, SO THEY'RE STILL GONNA, THE NONPROFIT'S GONNA PAY PROPERTY TAXES, THEY'RE GONNA PAY THE CITY BACK ALL THE UNPAID BACK RENT FOR THE LAND, RIGHT? THAT WILL COME OUT OF THE BOND PROCEEDS THAT WILL BE ISSUED, YES. RIGHT. OKAY. UHHUH. AND THEN THE NONPROFIT'S GONNA PAY OFF THE HOTEL BUILDING, AND WHEN THEY'RE DONE PAYING IT OFF, THEY'RE GONNA GIVE IT TO US. , LET ME, LET ME SEE IF I CAN RE RE REFRAME WHAT YOU JUST SAID JUST A LITTLE BIT. SO, UM, YOU'RE GONNA AUTHORIZE THE ISSUANCE OF BONDS THROUGH A CONDUIT, RIGHT? THOSE BONDS ARE GONNA BE REPAID FOR FROM OPERATIONS OF THE HOTEL, THE, THE MONEY THAT COMES IN FROM THOSE PROCEEDS. I KINDA WALKED THROUGH THAT SLIDE A COUPLE OF TIMES WHERE WE'VE TALKED ABOUT THAT $410 MILLION ROUGHLY THAT WE THINK IT IS TODAY, HOW THAT WOULD GET ALLOCATED. SO IT WOULD GO OFF TO TO PAY OFF THE BONDS THAT ARE, THAT ARE IN PLACE TODAY. THOSE WOULD GO AWAY. WE WOULD GET OUR MONEY, UM, AND THEN THERE WOULD BE A RESIDUAL AMOUNT THAT WOULD BE PAID TO HYATT AS PART OF THE BOARD. YOU'VE GOT NOW THIS $410 MILLION IN BONDS OUTSTANDING IN A COUPLE OF DIFFERENT SERIES. THE WHAT'S GONNA BE HAPPENING IS THOSE HOTEL OPERATIONS AND THIS INDENTURE AND THIS PRIORITY OF PAYMENTS IS GONNA BE GONNA BE IN PLACE AND IT'S THE OPERATIONS FROM THE HOTEL ARE WHAT BOND HOLDERS ARE GONNA BE EXPECTING TO MAKE THOSE PAYMENTS BACK TO THEM. SO THE NONPROFIT IS, I DUNNO, TRY THE RIGHT WORD, FACILITATING THE TRANSACTION OR, OR HELPING FACILITATE THE TRANSACTION AS THE OWNER, RIGHT. BUT EVERYTHING IS BASED AROUND AND BUILT AROUND HOW THE HOTEL DOES AND HOW IT OPERATES. RIGHT. AND SO AS LONG AS THE HOTEL DOES WELL, THOSE BOND HOLDERS WILL BE PAID TO UNTIL THE HOTEL IS PAID OFF. AND ONCE THE HOTEL'S COMPLETELY PAID OFF THE BUILDING, IT'S GIVEN TO US. THAT IS CORRECT. RIGHT? SO WE DON'T OWN IT. AT THE END OF THE DAY, WE'RE GONNA GET TO OWN IT, BUT WE'RE NOT THE ONES PAYING FOR IT. SAY THAT AGAIN, SORRY. WE DON'T OWN THE HOTEL TODAY. THAT'S CORRECT. ONCE THE HOTEL IS PAID OFF, YOU WILL OWN IT, SIR. WE WILL OWN IT. YES. I FEEL LIKE YOU AND YOUR TEAM REALLY EARNED YOUR PAYCHECK THIS, THESE LAST FEW WEEKS. UM, CAN YOU BRING ME A DEAL THIS GOOD EVERY WEEK? UH, NO, SIR. COUNCILMAN, UH, THEY, THEY EARNED THEIR PAYCHECK EVERY WEEK. YEAH. ALL RIGHT. THANK YOU. YES. YES, SIR. THANK YOU. COUNCIL MEMBER BRAVO. COUNCIL MEMBER CASTILLO. THANK YOU, MAYOR. THANK YOU BEN AND TEAM, FOR THE PRESENTATION. I KNOW THIS HAS BEEN AN ONGOING CONVERSATION WITH, UH, CITY COUNCIL. UM, HOWEVER, WHAT DOES GIVE ME SOME CONCERN IS THAT THE BOND FINANCING SLIDE AND THE BREAKDOWN OF THE 450 SOMETHING THAT WE'RE SEEING FOR THE FIRST TIME TODAY. UM, AND THIS IS SOMETHING THAT MY CONSTITUENTS HAVE BEEN ASKING ABOUT, RIGHT? SO I I'M CONCERNED THAT, YOU KNOW, I I WOULD'VE HAVE PREFERRED TO GET THIS DURING A B SESSION AND THEN VOTE ON IT TODAY. UM, BECAUSE I, I KNOW FROM MY CONSTITUENTS WHO DO WATCH CITY COUNCIL MEETINGS [02:10:01] ARE GOING TO HAVE A LOT OF, OF QUESTIONS. AND MY ROLE IS TO FACILITATE AND ECHO THOSE QUESTIONS AND CONCERNS THAT THEY'RE VOICING. UM, SO I, I, I DO HAVE SOME CONCERN, UM, THAT THERE'S NO FINAL BOND STRUCTURE AND WE WOULD BE POTENTIALLY MOVING THIS FORWARD. UM, IS THAT TYPICAL WITH DEALS LIKE THIS? I KNOW YOU MENTIONED THAT THIS IS ISN'T UNIQUE TO THIS ONE, UH, CONTRACT, HOWEVER, UM, ARE THERE SPECIFIC EXAMPLES THAT WE CAN POINT TO, UH, WITHIN THOSE CITIES THAT HAVE FACILITATED A SIMILAR DEAL? YOU KNOW, I HAVEN'T LOOKED AT THE DETAILS IN TERMS, THE DETAILS IN TERMS OF HOW THOSE OTHER, OTHER CITIES PROGRESSED IN TERMS OF THE TIMING, BUT I DON'T THINK THE TIMING IS UNUSUAL HERE. UM, WITH REGARD TO HAVING A FINAL BOND STRUCTURE. YOU KNOW, E EVEN WHEN YOU TAKE ONE OF THE SIMPLEST BOND ISSUES THAT WE CAN DO, ONE OF OUR GENERAL OBLIGATION BONDS OR CERTIFICATES OF OBLIGATION I MENTIONED, WE STILL PUT IN THEIR FLEXIBILITY OR CUSHION. UM, THOSE ARE ABOUT AS, I GUESS I'M GONNA CALL 'EM KIND OF PLAIN VANILLA DEALS AS WE CAN DO. AND WE STILL HAVE TO PUT THAT FLEXIBILITY IN THERE. WE ASK YOU TO APPROVE IT, AND THEN SOME, YOU KNOW, THREE OR FOUR WEEKS LATER WE'LL GO PRICE IT, AND THEN THAT STRUCTURE WILL CHANGE BASED ON WHAT WE'RE SEEING. SO I, I DON'T, THE, THE FLEXIBILITY PART THAT'S BUILT INTO HERE IS NOT UNUSUAL. OKAY. AND, AND IF WE LOOK AT, YOU KNOW, THE HISTORY IN THE PAST, AND IF THE CURRENT BONDS ARE EXPECTED TO BE PAID OFF IN 2039, UH, WHEN DOES STAFF ANTICIPATE THE 450 MILLION TO BE PAID OFF? SO AS I, AS I MENTIONED ON THIS ONE, THE 400 5400 UP TO $450 MILLION IN BONDS WOULD BE SCHEDULED TO BE PAID BACK OVER A 40 YEAR PERIOD. UH, THERE WAS AN OUTSIDE INDEPENDENT CONSULTANT H P S THAT DID A FEASIBILITY ANALYSIS. IF YOU LOOK AT THE FEASIBILITY ANALYSIS AND YOU PLUG IT INTO WHERE WE THINK THE BOND STRUCTURE'S GONNA LAND IT, IT WOULD INDICATE IT WOULD BE LESS THAN 40 YEARS FOR THAT TO BE PAID BACK FROM HOTEL OPERATIONS. AND, AND I ASK, BECAUSE WHEN WE LOOK AT THE ORIGINAL BONDS ISSUED AT 208.1 MILLION, AND THAT IT CURRENTLY SITS AT 168.3 MILLION, DOES THAT MEAN THAT THE GRAND HYATT HAS ONLY PAID ABOUT 40 MILLION OVER THE LAST 17 YEARS? THAT IS CORRECT. AND, AND THE, THE, THE KEY PART THERE IS THAT THE HOTEL HAS MADE ITS REQUIRED DEBT SERVICE, UH, PAYMENTS. SO THERE WERE TWO SERIES OF BONDS THAT WERE ISSUED. THERE WAS A, A TAX EXEMPT COMPONENT AND A TAXABLE COMPONENT. THE WAY THAT DEAL WAS STRUCTURED IN OH FIVE, PRINCIPAL PAYMENTS WERE MADE ON THE TAXABLE BONDS, UH, FIRST, AND THE PRINCIPAL PAYMENTS BY DESIGN WERE DEFERRED UNTIL AFTER THE TAXABLE PRINCIPAL PAYMENTS HAD BEEN PAID BACK. SO IT WAS A STRUCTURE TO CREATE A DEBT SERVICE, UH, PAYMENT THAT I THINK STARTED AROUND, UH, 10, MAYBE $12 MILLION, AND OVER TIME GREW TO ABOUT 15 MILLION. SO IT WAS STRUCTURED THAT WAY WITH, IN TERMS OF HOW PRINCIPAL PAYMENTS WERE GOING TO BE REPAID. AND THEN THE OTHER THING YOU HAVE TO KEEP IN MIND IS THAT I MENTIONED THAT THE CURRENT STRUCTURE HAD, BECAUSE THERE WAS PRIVATE FUNDING PUT IN PLACE, HAD A 12% EQUITY RETURN IN THERE. MM-HMM. , THAT IS ALSO AN OBLIGATION TO THE PROJECT THAT WON'T BE THERE UNDER THE NEW TRANSACTION. SO BASED OFF OF THAT, WOULD THAT MEAN THAT THE GRAND HYATT IS AVERAGING PAYMENTS AT ABOUT 2.3 MILLION PER YEAR AT THE CURRENT DEBT SERVICE? AND WITH THAT, HOW DO WE EXPECT THEM TO PAY OFF THE BONDS BY 2039? I'M SORRY, COUNCILMAN, I DID NOT HEAR THE FIRST PART OF YOUR QUESTION. YES. SO WITH THAT BEING SAID, UM, THE GRAND HYATT IS PAYING ROUGHLY ABOUT 2.3 MILLION PER YEAR ON THE CURRENT DEBT SERVICE. UM, WITH THAT RATE, HOW DO WE EXPECT THE GRAND HYATT TO PAY OFF THE CURRENT BONDS BY 2039? YEAH, NO, SO THE, THE, THE CURRENT BOND PAYMENT IS AROUND $15 MILLION A YEAR. 'CAUSE THAT INCLUDES PRINCIPLE AND INTEREST. SO YOU'RE LOOKING AT BOTH OF THOSE COMPONENTS TOGETHER. UM, AND THEN THERE'S A PREFERRED EQUITY RETURN ON TOP OF THAT AGAINST THAT EQUITY INVESTMENT, WHICH I THINK IS CORRECT ME STAFF, IS IT NINE, 9 MILLION A YEAR, ALEX, ABOUT NINE, ABOUT $9 MILLION A YEAR ON TOP OF THAT. SO THAT'S WHAT THE HOTEL IS TRYING TO GENERATE TODAY. AND COVER THAT. I MENTIONED THAT WE DID SOME ANALYSIS JUST COMPARING THE CURRENT DEAL AND WHAT'S STRUCTURED, IF IT HAD TO MAKE ITS CURRENT DEBT SERVICE PAYMENTS ALONG WITH THAT PREFERRED EQUITY RETURN AT 12%. UM, AND I THINK WE LOOKED AT MAYBE 25 TO 30 BASED ON THE PROJECTIONS. OKAY. AND WE LOOKED AT THE PROPOSED TRANSACTION. THE, THE DEBT SERVICE REQUIREMENT UNDER THE PROPOSED TRANSACTION IS ABOUT $23 MILLION LESS OVER THAT FIVE YEAR PERIOD. OKAY. AND AGAIN, BECAUSE YOU'RE TAKING, THERE'S TWO THINGS AT PLAY THERE. YOU'RE TAKING THE 12% EQUITY RETURN AWAY AND YOU'RE REPLACING IT WITH A MUCH LOWER COST OF FUNDS. AND THEN, UM, THIS BOND AMORTIZATION IS ACTUALLY OVER A 40 YEAR PERIOD. SO THOSE ARE THE TWO THINGS THAT COME INTO PLAY. OKAY. WITH, UH, SOME OF THE INCENTIVES THAT THE GRIND, GRIND HYATT HAS RECEIVED, LIKE THE EMPLOYMENT ZONE, WAGE CREDIT, AND WORK OPPORTUNITY TAX CREDIT, UH, RELATED TO THE FEDERAL EMPOWERMENT ZONES, UH, WOULD ANY OF THESE CREDITS GO AWAY? SO THE, THE EMPOWERMENT [02:15:01] ZONE, UM, BOND ISSUE WILL BE DEFE WITH THIS TRANSACTION. SO THE REQUIREMENTS, FOR EXAMPLE, TO HIRE, UM, UH, PEOPLE WITHIN THE EMPOWERMENT ZONE UP TO A CERTAIN PERCENTAGE MM-HMM. , THAT WILL ALSO, UH, GO AWAY ONCE THOSE BONDS ARE DE FEES, WHICH WOULD HAPPEN AT FINANCIAL CLOSING. MM-HMM. . AND, UH, HAVE WE HAD A CONVERSATION ABOUT EXTENDING THAT COMMITMENT DESPITE, UH, THAT GOING AWAY ENSURING THAT WE ARE CONTINUING TO HIRE, UM, WITHIN, UH, DISTRICT TWO AND DISTRICT FIVE ARE, WHICH ARE WITHIN THOSE EMPOWERMENT ZONES? UM, IS THAT A COMMITMENT THAT WE CAN GET THAT THAT IS NOT A CONVERSATION THAT I HAD WITH HYATT? NO, MA'AM. OKAY. OKAY. SO WHAT HAPPENS IF THERE IS A DEFAULT ON THE NEW BOND PAYMENTS? RIGHT. WE, WE, WE KNOW THE HISTORY AND HOW MUCH HAS BEEN PAYING, UH, BEEN GETTING PAID. UM, SO IF THE OPERATOR'S UNABLE TO MAKE PAYMENTS AS WE'VE SEEN IN 2020 AND 2021, UH, IF THE, THE HYATT DEFAULTS ON THEIR PAYMENTS TO THE BOND AGAIN, AND THE BOND HOLDERS HOLD A LIEN ON THE HOTEL, UM, DOES THAT MEAN, UM, THE OPPORTUNITY OF THE CITY OWNING THAT HOTEL DISAPPEARS? L LET ME DESCRIBE A LITTLE BIT ABOUT THE, THE STRUCTURE OF THIS DEAL. UM, SO UNDER THE CURRENT DEAL, THERE'S BEEN NO DEFAULT ON PAYMENTS. SO WE, WE, WE ENDED UP AS WE, AS WE COMMITTED TO UNDER THE INDENTURE, WE SAID WE'RE GONNA USE OUR HOT FUNDS IN, IN THE EVENT THERE'S A SHORTFALL PRIOR TO THE PANDEMIC. THAT HAD NEVER HAPPENED. I THINK THAT WHEN THE HOTEL WAS PUT IN PLACE IN 2005, I'M SURE THE THOUGHT WAS, WHICH YOU TYPICALLY SEE WHEN YOU HAVE A NEW, UH, UM, HOTEL, A NEW ASSET, YOU ALWAYS WORRY ABOUT THE EARLY YEARS. UM, OBVIOUSLY NONE OF US COULD FORESEE THE GLOBAL PANDEMIC AND THE IMPACT THAT IT WOULD HAVE. UM, THAT ULTIMATELY LED TO US HAVING TO PUT IN, UH, SOME ADDITIONAL DOLLARS TOWARDS, UM, THAT DEBT SERVICE SHORTFALL. THE, THE CURRENT STRUCTURE HAS A COUPLE OF SERIES OF BONDS. ONE'S GONNA BE A RATED BOND, SENIOR BOND ISSUE, UH, OR WILL LIKELY BE A SE I SHOULD SAY LIKELY BE A, A SENIOR BOND ISSUE. UM, THAT WILL GET PAID AS A PRIORITY, AND THEN THERE'LL BE A SUBORDINATE BOND STRUCTURE THAT WILL CARRY A SLIGHTLY HIGHER, THAT WILL CARRY A HIGHER COST OF FUND. MM-HMM. , THE ASSUMPTION THERE IS THAT, UM, THE INTEREST ON THAT WILL GET PAID, IT'LL HAVE A SCHEDULED DEBT SERVICE PAYMENT, BUT THE EVENT THAT THERE'S NOT SUFFICIENT FUNDS THAT CAN GET, THAT WILL AUTOMATICALLY GET DEFERRED AND MOVE. AND THEN I MENTIONED ALL THESE OTHER MECHANISMS THAT ARE PUT IN PLACE IN THE INDENTURE. UM, BOTH, UH, DEBT SERVICE RESERVES, AND WE CALL THEM CASH TRAPS THAT ARE ALLOWED TO BE USED TO KIND OF HELP WHEN, WHEN THE ECONOMY'S CONTRACTING OR WHEN THINGS ARE, ARE SLOWING DOWN. AND THEN THOSE GET REPLENISHED UNDER THE INDENTURE AS THINGS CONTINUE TO IMPROVE. THE OTHER THING THAT WILL HAPPEN IS THAT AS EXCESS REVENUES ARE GENERATED MM-HMM. , THEY WILL GO INTO A BOND REDEMPTION ACCOUNT, AS WE CALL, CALL IT A CLOSED INDENTURE. NOBODY WILL BE TAKING FUNDS OUT. THEY'LL THEN START USING THAT TO PAY DOWN BONDS AND, AND, AND SHORTEN THAT LENGTH OF TIME THAT THE BONDS WOULD BE OUTSTANDING. MM-HMM. . AND WITH THAT, IS THERE ANY SCENARIO IN WHICH WE, UM, CAN SEE THAT THE CITY POTENTIALLY LOSES OWNERSHIP OF THE LAND WITH THIS DEAL? NO, WE CONTINUE TO OWN THE LAND. THE LAND IS OURS. UH, WE, WE CONTROL THAT. UH, BOND HOLDERS HAVE, UH, BASICALLY UNDER THIS DEAL, WHAT IS PLEDGED TO THEM IS THE REVENUES FROM THE OPERATIONS OF THE HOTEL, AND THEN THEY ALSO HAVE A LIEN PHYSICALLY ON THE BUILDING. MM-HMM. , THEY DO NOT HAVE AN ENCUMBRANCE OR A LIEN ON OUR LAND. OKAY. AND ONE OF THE PRIMARY QUESTIONS I'VE BEEN RECEIVING IS THE 10.4 MILLION FOR THE HOT REVENUE. WHERE DO WE ANTICIPATE, UH, ANTICIPATE RATHER MOVING THAT FUNDING? SO BOTH THE, UH, GROUND LEASE PAYMENT ACCRUED TO DATE OF 4.9 MILLION, ALONG WITH THE 10.4 MILLION OF HOT REVENUES THAT WE USE, WE WOULD PUT THAT BACK INTO OUR HOT FUND. UM, SO THAT'S WHERE THAT WOULD GO. THE ONGOING GROUND LEASE PAYMENT WOULD ALSO GO INTO THAT HOTEL OCCUPANCY TAX FUND. OKAY. THANK YOU, MAN. THANK YOU, MAYOR. YES, MA'AM. THANK YOU. COUNCIL MEMBER CASTILLO. COUNCIL MEMBER SANDOVAL. THANK YOU, MAYOR BEN, IN THE OTHER CITIES THAT YOU MENTIONED WHERE A SIMILAR STRUCTURE HAS BEEN UNDERTAKEN, DID THOSE CITIES OWN THE LAND ONLY OR ALSO THE HOTEL? YOU KNOW, I DON'T KNOW OFF THE TOP OF MY HEAD. I, I DON'T KNOW IF I COULD ASK, UM, EITHER PETER OR BRAD, UM, MAYBE A LITTLE BIT FAMILIAR WITH SOME OF THOSE OTHER TRANSACTIONS. AGAIN, UH, BRAD LANGNER WITH, UH, PIPER SANDLER, HE'S ONE OF THE, UH, WORKS FOR THE UNDERWRITING FIRM THAT WILL BE WORKING ON PRICING THE BONDS AND HAS BEEN WORKING ON PUTTING THE FINANCIAL STRUCTURE TOGETHER. THANK YOU, BRAD. I ONLY HAVE FIVE MINUTES AND I HAVE A FEW MORE QUESTIONS. SURE. JUST F Y I, . GOOD. GOOD MORNING, COUNCIL MEMBER. I'M BRAD LANGNER. I'M MANAGING DIRECTOR WITH PIPER SANDLER. IN THOSE CIRCUMSTANCES, WITH THOSE OTHER CITIES THAT HAVE SIMILAR, UM, SIMILAR, UH, STRUCTURES IN PLACE FOR THE HOTELS, THEY, THEY DO OWN THE UNDERLYING LAND THE CITIES WOULD, AND THEN AN AUTHORITY OR AN INDEPENDENT 5 0 1 C THROUGH WOULD OWN THE, THE HOTEL ITSELF. SUPER. THANK YOU. THANK YOU. MM-HMM. . AND, UH, BEN, ARE THERE ANY, UH, LAWS [02:20:01] ABOUT CITIES OWNING A BUSINESS THAT COMPETES WITH PRIVATE INDUSTRY, LIKE THE HOTEL? UH, THERE'S NOTHING THAT I'M AWARE OF THAT WOULD PRECLUDE US FROM, UM, TAKING OWNERSHIP OF THE HOTEL ONCE THE BONDS ARE PAID OFF. SUPER. AND, UM, SO ORIGINALLY WHEN THIS OPENED, YOU TALKED ABOUT, YOU AND I HAD THIS CONVERSATION ABOUT ECONOMIC INCENTIVES THAT WERE A PART OF THE PACKAGE MM-HMM. . UM, IS ANY OF THAT GETTING PAID BACK OR THAT'S JUST, THAT'S DONE BASICALLY? SO THE INCENTIVE THAT WE OFFERED WAS THE PLEDGE OF THE HOT REVENUES AS A WAY TO LOWER THE COST OF FUNDS IN 2005 TO MAKE THE PROJECT FEASIBLE. SO THAT WAS OUR ECONOMIC, THAT WAS WHAT WAS CONTAINED IN OUR ECONOMIC DEVELOPMENT AGREEMENT. SO GOING FORWARD UNDER THE PROPOSED TRANSACTION, WE WILL NOT BE BACK IN THE BONDS. THERE'LL BE NO, NO PLEDGE OF REVENUES FROM US. WE ALSO DID NOT OFFER ANY OTHER INCENTIVES, TAX ABATEMENTS OR ANYTHING LIKE THAT. OKAY. AND NO, UH, NO TTS FUNDING, NO TIF FUNDING, NOTHING LIKE, UH, THAT, THAT'S CORRECT. OKAY. UM, THANK YOU. I JUST DID WANNA MAKE A COMMENT, UH, ABOUT THE LIVING WAGE. I'M, UH, REALLY THANKFUL THAT, UH, COUNCILMAN MCKEE RODRIGUEZ WAS ABLE TO MEET WITH UNITE HERE, THAT THAT WAS DEFINITELY A, A CONCERN. AND, UH, YOU EXPLAINED, UH, VERY WELL WHY IT'S NOT INCLUDED. UH, I THINK WE, WE SEE THE TOOL OR STAFF MAYBE SEES THE TOOL OF A LIVING WAGE AS PART OF THAT PACKAGE, BUT FOR THOSE OF US WHO DON'T, UM, WHO DON'T OPERATE THOSE POLICIES, I SEE LIVING WAGE AS SOMETHING THAT WE WANT FOR EVERYBODY, WHETHER OR NOT IT'S AN ECONOMIC INCENTIVE, UH, PACKAGE. SO, UM, JUST WANTED TO PUT THAT OUT THERE THAT I HOPE WE DON'T TAKE THAT OFF OF ANY OTHER DEALS THAT WE HAVE GOING FORWARD, UH, IN THE, IN THE FUTURE. UM, I THINK THOSE ARE MY, MY QUESTIONS FOR NOW. UM, THANK YOU. THANK YOU, MAYOR. THANK YOU. COUNCIL MEMBER SANDOVAL. COUNCIL MEMBER PALAIS. THANKS. UH, TWO THINGS. ONE, BEN. UM, SOMETIMES I WILL TALK TO MY CONSTITUENTS AND THEY, AND THEY GET A LITTLE UPSET THAT WE ARE IN THE HOTEL BUSINESS. UH, AND THEY FEEL, YOU KNOW, THEY SAY THINGS LIKE, CITIES SHOULDN'T BE IN THE HOTEL BUSINESS, AND, YOU KNOW, IT'S TOO EXOTIC FOR THEM. BUT, UM, I I, I WILL POINT OUT TO ANYBODY OUT THERE WHO'S CURIOUS, WE'RE, THIS IS NOT EXOTIC, THIS IS NOT, UH, SOMETHING THAT'S UNUSUAL. DALLAS AND SAN FRANCISCO, UH, OWN AIRPORT HOTELS AND CONVENTION HOTELS. IN FACT, ONE OF THEM IS THE HYATT. UH, IF YOU LOOK AROUND THE UNITED STATES, YOU'LL FIND THAT NEW YORK, LOS ANGELES, DETROIT, ORLANDO, MINNEAPOLIS, TAMPA, DENVER, BOSTON, PITTSBURGH, ATLANTA, CHICAGO, HOUSTON, PHILADELPHIA, ET CETERA, ET CETERA, ET CETERA, OWN HOTELS, LEASE THEM TO THE OPERATORS, UM, OR JUST OWN THE LAND AND THEN LEASE THEM TO NAME YOUR FLAG, WESTON HILTON, UH, OMNI, ET CETERA. AND SO, UM, I THINK WE'RE REALLY JUST DOING WHAT A LOT OF OTHER CITIES HAVE REALIZED, WHICH IS THAT WHEN, UM, YOU ADD A HOTEL TO YOUR CONVENTION CENTER OR YOUR, OR YOUR AIRPORT, THAT THAT BECOMES A FORCE MULTIPLIER, UM, AND MAKES THOSE ASSETS MORE, UM, MORE PROFITABLE. THIS, THE, THE OTHER THING TOO, AND THIS IS TO HYATT, UM, WE HAVE A PROGRAM CALLED READY TO WORK. UH, I DUNNO IF ANYBODY'S TALKED TO YOU GUYS ABOUT THAT, BUT, UM, WE'RE, WE'RE GONNA BE ASKING YOU GUYS TO SIGN THE OATH AND TO, UH, WHEN YOU HIRE FOLKS TO, TO GO THROUGH READY TO WORK, THAT'S, UM, I THINK THAT'S REALLY IMPORTANT FOR, FOR ANY DEAL, INCLUDING IN INCLUDING THIS ONE. AND, UH, YOU KNOW, I LOOK FORWARD TO SEEING YOUR NAME ON, ON THAT LIST OF EMPLOYERS WHO, UH, WHO HAVE SIGNED THAT OATH. THANKS, MAYOR. THANK YOU. COUNCIL MEMBER PAL. ALRIGHT, THERE IS A MOTION AND A SECOND FOR APPROVAL OF ITEM NUMBER FOUR, HEARING NO FURTHER DISCUSSION. ALRIGHT, COUNCIL MEMBER MCKEE RODRIGUEZ, AND WE'VE ALREADY GONE TWO ROUNDS. SORRY, COUNCILWOMAN. THANK YOU. UM, I GET, I KNOW YOU'VE ANSWERED, YOU'VE ANSWERED THIS QUESTION IN A NUMBER OF DIFFERENT WAYS. UM, BEN, WHERE'S, OH, SORRY, I DIDN'T SEE YOU. UM, SO IF THE RESERVE FUND, AND I KNOW IT'S GONNA SOUND REPETITIVE, BUT I WANT TO VERY SIMPLY, IF THE RESERVE FUND OF 75 MILLION IS DEPLETED AND NO PROFIT, AND THE NONPROFIT CAN'T AFFORD TO MAKE THEIR DEBT PAYMENT, WHAT HAPPENS, YOU KNOW, UNDER THAT SCENARIO WHERE THERE ARE NO OTHER REMEDIES, AND AGAIN, THERE IS A, THERE'S TWO TIERS OF DEBT. SO, UM, THE SUBORDINATE DEBT WOULDN'T BE GETTING PAID AND WOULD CONTINUE TO GET DEFERRED. OKAY. UM, IS THERE ANY SITUATION IN WHICH THE HOTEL GOES INTO FORECLOSURE OR YOU, YOU KNOW, WE DON'T GET THE OWNERSHIP LATER. I MEAN, THERE IS ALWAYS THE POSSIBILITY THAT, THAT SOMETHING SO SIGNIFICANT HAPPENS THAT, THAT, UM, THERE BECOME ISSUES. AND ONE OF THE, ONE OF THE REMEDIES THAT BONDHOLDERS HAVE IS, UM, IS, IS A LIEN ON [02:25:01] THE, THE PROPERTY. BUT I THINK FROM A BONDHOLDER PERSPECTIVE, THAT IS TYPICALLY A LAST RESORT. THEY, THEY UNDERSTAND IN ORDER TO GET THEIR FUNDING BACK, IT'S, IT'S BETTER TO HAVE A HOTEL OPERATING AND FUNCTIONING. SO, YOU KNOW, THE OTHER THING I DIDN'T TOUCH ON, WHILE WE ARE, UM, ENTERING INTO A GROUND LEASE, THE CITY WILL STILL STAY ENGAGED. WE'RE NOT, WE'RE NOT OPERATING THE HOTEL. WE DON'T WANNA BE OPERATING THE HOTEL, BUT WE'RE CERTAINLY GONNA BE PAYING ATTENTION AND WATCHING WHAT IS HAPPENING WITH DEBT SERVICE, HOW IT'S PERFORMING, HOW THE OVERALL STRUCTURE'S WORKING. YOU KNOW, I THINK THAT IF WE GOT TO SCENARIO, I THINK WE WOULD WANT HAVE PLENTY OF TIME TO SEE THAT COMING. TWO, WE WOULD ENGAGE IN THE OTHER PARTIES AND START TO TALK ABOUT LIKE, HOW DO WE REMEDY THIS? WHAT'S THE ANSWER? SO THERE, SO IF THERE IS A LIEN ON THE HOTEL BUILDING, THAT'S WHAT YOU'RE TALKING ABOUT. WELL, THERE, THAT WOULD BE, YOU KNOW, ONE OF THE RESORTS THAT BOND HOLDERS WOULD HAVE IN THE EVENT THAT YOU HAD DEBT SERVICE AT THE SENIOR LEVEL THAT COULD NOT GET PAID WAS NOT GETTING PAID. WE DEPLETED ALL OF THE RESERVES. YOU HAD THIS KIND OF CATASTROPHIC EVENT THAT JUST, YOU KNOW, CONTINUES FOR SUCH A LONG PERIOD OF TIME THAT IT CAN'T GENERATE OR SUSTAIN THAT LEVEL. THEN ONE OF THE BONDHOLDER REMEDIES IS THEY HAVE A LIEN ON THE BUILDING ITSELF, AND THAT AFFECTS OUR ABILITY TO THEN OWN THE OWN THE HOTEL COULD. YES. IF IT GETS TO THAT POINT, YES. COULD. AND SO THEN THERE'S A LEAN ON A BUILDING THAT SITS ON LAND THAT WE OWN. AND THEN WHAT IS THE, WHAT SOLVES THAT? WELL, I MEAN, AGAIN, I THINK THAT, THAT, WHEN YOU TALK ABOUT THOSE KINDS OF SCENARIOS, IF SOMETHING GOT TO THAT POINT, YOU KNOW, I FEEL LIKE THE PARTIES, THE NONPROFIT, UH, THE ASSET MANAGER THAT THE NONPROFIT WILL BE USING HYATT, ALL OF US WILL BE LOOKING AT THAT AND TRYING TO UNDERSTAND WHAT THE BEST PATH FORWARD IS. UM, BUT I THINK WE'RE TALKING ABOUT A SCENARIO WHERE A LOT OF THINGS ARE GONNA HAVE TO GO WRONG TO GET TO THAT POINT. FOR SURE. IF ANYTHING, 20 20, 20 21 HAS TAUGHT ME IS THAT A LOT OF THINGS CAN GO WRONG. IT'S VERY TRUE. THANK YOU. I, I GUESS THAT'S IT. THANK YOU. COUNCIL MEMBER MCKEE RODRIGUEZ, COUNCIL MEMBER CASTILLO TO YOU. THANK YOU, MAYOR. UM, WHEN, UH, WOULD THE GRAND HYATT REPORT THEIR FINANCIALS TO THE BOND MARKET? DO WE KNOW WHEN THAT IS? I'M SORRY, MA'AM, YOUR QUESTION. UH, WHEN DOES THE GRAND HYATT REPORT REPORT THEIR FINANCIALS, UH, TO THE BOND MARKET? SO, UM, AS PART OF OUR GROUND LEASE, UH, IT'S ACTUALLY REPORTED TO US. SO WE GET THEIR AUDITED, UM, FINANCIAL STATEMENTS AS IT RELATES TO THE GRAND HYATT ITSELF. AND THEN THERE ARE, UH, CONTINUING DISCLOSURE REQUIREMENTS THAT WE HAVE CURRENTLY THAT THE NON-PROFIT, AND BY VIRTUE WE'LL HAVE ACCESS TO THEM. UH, WE DO THEM EVERY MARCH. SO IN ABOUT, UM, WHERE ARE WE AT? PROBABLY THE LAST NEXT THREE WEEKS OR SO, WE'LL BE POSTING CONTINUED DISCLOSURE ON ALL BOND ISSUANCES, INCLUDING THIS ONE, THE CURRENT ONE. OKAY. AND WOULD APPROVING THIS DEAL MEAN THAT THE CITY DOESN'T HAVE TO REPORT TO THE PUBLIC AND THE BOND MARKET, THE GRAND HYATT HYATT'S PERFORMANCE? NO. I MEAN, ESSENTIALLY UNDER OUR GROUND LEASE, WE'RE STILL ASKING FOR AUDITED FINANCIAL STATEMENTS. OKAY. UM, SO WE WILL CONTINUE TO MONITOR AND, AND WATCH, YOU KNOW, WHAT IS HAPPENING WITH THAT. SO WE WOULD CONTINUE TO RECEIVE THAT INFORMATION. OKAY. AND CAN THIS DEAL HAVE AN IMPACT ON THE CITY'S, UH, BOND RATING? WELL, I CERTAINLY DON'T THINK IT WOULD HAVE A NEGATIVE IMPACT ON OUR BOND RATING. I, I THINK YOU ALL KNOW THAT, THAT I'VE TALKED ABOUT BEFORE THAT MOODY'S, UM, TOOK THE POSITION AND FELT LIKE WE SHOULD HAVE STEPPED IN TO AVOID A POTENTIAL DEBT SERVICE DRAW LAST, WAS IT LAST YEAR, LAST 2021 THAT, UM, NEVER HAPPENED. WE TALKED A LOT ABOUT WHY BOND HOLDERS WERE NEVER AT RISK THERE AND WHY WE DIDN'T, UM, COME TO YOU ALL AND ASK TO PUT DOLLARS INTO THE DEAL. UM, SO I THINK WITH US REMOVING OUR PLEDGE OR OUR BACKING OF THIS FUTURE BOND ISSUE, THAT SHOULD BE, I WOULD THINK A POSITIVE FOR THEM GOING FORWARD. OKAY. ALL RIGHT. WELL THANK YOU AND THANK YOU AGAIN FOR YOU AND YOUR TEAM'S WORK. THANK YOU. ALL RIGHT. UH, THANK YOU COUNCIL MEMBER CASTILLO. UH, THERE IS NOW, UH, NO FURTHER DISCUSSION. SO, UH, LET'S GO AHEAD AND CALL THE VOTE. THERE'S A MOTION AND A SECOND FOR APPROVAL OF ITEM FOUR. PLEASE VOTE. [02:30:07] MOTION CARRIES. OKAY, WE WILL NOW, UM, THE TIME IS NOW 11:52 AM AND THE REGULAR MEETING OF THE CITY COUNCIL IS NOW IN RECESS. I WOULD NOW LIKE TO CONVENE THE MEETING OF THE BOARD OF DIRECTORS OF THE CITY OF SAN ANTONIO, TEXAS CONVENTION CENTER HOTEL FINANCE CORPORATION. MADAM CLERK, COULD YOU READ THE ROLE, OR EXCUSE ME, COULD YOU READ THE CAPTION ON ITEM FIVE, RESOLUTION OF THE CITY OF SAN ANTONIO, TEXAS CONVENTION CENTER HOTEL FINANCE CORPORATION AUTHORIZING THE DEFIANCE AND REDEMPTION OF ALL OUTSTANDING CITY OF SAN ANTONIO, TEXAS CONVENTION CENTER HOTEL FINANCE CORPORATION, CONTRACT REVENUE EMPOWERMENT ZONE BONDS SERIES 2005 A AND THE DEFIANCE AND POSSIBLE REDEMPTION OF ALL OUTSTANDING CITY OF SAN ANTONIO, TEXAS CONVENTION CENTER HOTEL FINANCE CORPORATION, CONTRACT REVENUE BONDS, TAXABLE SERIES 2005 B AND APPROVING OTHER RELATED MATTERS. ALRIGHT, UH, I'LL IN ENTERTAIN A MOTION FOR ITEM FIVE. THERE'S A MOTION AND A SECOND FOR ITEM NUMBER FIVE, PLEASE VOTE. MOTION CARRIES. ALRIGHT, UH, THANK YOU ALL VERY MUCH AND BEN, AGAIN, GREAT WORK TO YOU AND YOUR TEAM. THANK YOU TO OUR HYATT PARTNERS AS WELL, UH, FOR THE PARTNERSHIP. OKAY. THAT'S THE BALANCE OF OUR MORNING AGENDA. ERIC, DO WE HAVE A CITY MANAGER'S REPORT? UH, YES SIR. JUST REAL QUICK. UM, UH, A FEW WEEKS AGO, THE, UH, PARKS AND RECREATION DEPARTMENT ACCEPTED AN AWARD FROM THE ANNUAL TEXAS RECREATION AND PARKS. ERIC? YEP. I'M SORRY, , SORRY. THE CLERIC IS REMINDING ME THAT I'VE GOT TO RECONVENE CITY COUNCIL . ALL RIGHT. UM, I'M GOING TO NOW, UH, THE MEETING OF THE CITY CAN, EXCUSE ME, THE MEETING OF THE CITY OF SAN ANTONIO, TEXAS CONVENTION CENTER HOTEL FINANCE CORPORATION IS NOW ADJOURNED. THE TIME IS 11:54 AM AND WE WILL RECONVENE THE REGULAR MEETING OF THE CITY COUNCIL. ERIC, [City Manager's Report  ] UM, BACK TO YOU. THANKS. THANK YOU, MAYOR. UM, SO AS I WAS SAYING, UM, OUR PARKS AND RECREATION DEPARTMENT, UM, WAS AWARDED, UM, AN AWARD BY THE, UH, TEXAS RECREATION AND PARK SOCIETY, UM, FOR, UM, PARK DESIGN EXCELLENCE, UH, FOR THE, UH, ROBERT, UH, L B TOBIN LAND BRIDGE AND SKYWALK AT HARBERGER PARK PARK. UM, WE HAD A SECOND AWARD, UM, FOR MARKETING AND PROMOTION EXCELLENCE. UM, AND THAT INCLUDED, UM, RECOGNIZING OUR MASCOT LAUNCH AND THE CAMPAIGN OF, UM, OF, UH, OF OUR PARKS MARKETING PROGRAMS. AND SO, AND, AND FINALLY WE HAD A THIRD PARKS, UM, UH, AWARD FROM THE, FROM THE AGENCY, UH, THE INDIVIDUAL VOLUNTEER SERVICE AWARD, UH, FOR MICHAEL VALDEZ, UM, A, UH, SENIOR AT EDGEWOOD FINE ARTS STEM ACADEMY. MICHAEL, UH, SERVES ON TWO CITY, UH, FOCUSED BOARDS AS A YOUTH REPRESENTATIVE AND ACTIVELY VOLUNTEERS IN OUR PARK SYSTEM. SO WANTED TO CONGRATULATE MICHAEL AND THE PARKS DEPARTMENT ON THAT. I ALSO WANTED TO, UH, SHARE WITH THE COUNCIL THAT, UH, OUR DEVELOPMENT SERVICES DEPARTMENT, UH, JUST WENT THROUGH TWO EXTERNAL RE-ACCREDITATION AUDITS. UH, THE FIRST ONE THROUGH THE INSURANCE SERVICES OFFICE. OUR I S O IS, AS WE CALL IT, WHERE, UH, DEVELOPMENT SERVICES, UH, RETAINED A CLASSIFICATION OF ONE FOR COMMERCIAL AND TWO FOR RESIDENTIAL. AND THESE RATINGS ARE BASED ON A SCORE FROM ONE TO 10. SO CONGRATULATIONS TO MIKE SHANNON AND THE ENTIRE TEAM OVER THERE. THAT'S IMPORTANT BECAUSE THAT AFFECTS ALL OF OUR, UM, INSURANCE RATES THAT WE ALL PAY. UM, AND, UH, IT'S CERTAINLY IMPORTANT TO BOTH THE RESIDENTIAL AND THE BUSINESS COMMUNITY HERE IN SAN ANTONIO. THE SECOND RE-ACCREDITATION AUDIT WAS FOR, UH, THE INTERNATIONAL ACCREDITATION SERVICE. UM, IT RECOGNIZES ORGANIZATIONS BY VERIFYING OUR TECHNICAL COMPETENCE AND ASSESSING, UH, QUALITY MANAGEMENT SYSTEMS. AND, UM, ONE IMPORTANT NOTE IS THAT, UH, SAN ANTONIO'S DEVELOPMENT SERVICES DEPARTMENT IS ONE OF THREE, AND THE LARGEST MUNICIPALITY TO HAVE BOTH THESE ACCREDITATIONS. THE OTHER TWO ARE ROANOKE, VIRGINIA, AND CLARK COUNTY, NEVADA. BUT WE ARE, UH, THE LARGEST MUNICIPALITY IN THE COUNTRY WITH BOTH THOSE RECOGNITIONS. SO HATS OFF MIGHT KEEP UP THE GREAT WORK. AND THEN FINALLY, UH, ION COUNCIL, SOME OF YOU HAVE HAD A CHANCE TO, UH, MEET HER, [02:35:01] BUT I WANTED TO INTRODUCE, UM, ALANA REED. SHE'S OUR NEW COMMUNICATIONS AND ENGAGEMENT DIRECTOR, WAVE ALANA. OKAY. THERE'S ALANA. UH, ALANA IS A, UH, MACALLAN NATIVE. SHE STARTED ON MONDAY, SHE MOVED INTO TOWN ABOUT 10 DAYS AGO AND HAS HAD A CHANCE TO COME IN, UH, PRIOR TO STARTING THIS WEEK, UH, TO BEGIN MEETING THE TEAM. UH, ALANA, UH, HAS A LOT OF EXPERIENCE MORE RECENTLY WITH THE CITY OF HOUSTON. OVER THE LAST, UM, SEVEN YEARS, UM, HAS BEEN, UH, DEEPLY ENGAGED IN A LOT OF HIGH PROFILE, UM, UM, EVENTS AND EMERGENCIES IN THE CITY OF HOUSTON, UH, TO INCLUDE SUPER BOWLS AND WORLD SERIES AND HURRICANE HARVEY. UH, PRIOR TO HOUSTON, UH, ALANA WORKED FOR THE CITY OF AUSTIN FOR 14 YEARS. UM, AND, UH, WE ARE EXCITED TO HAVE HER JOIN THE TEAM. UM, AND SHE'LL DO A GREAT JOB. WE ARE SCHEDULING TIME FOR, UH, HER TO MEET ALL OF YOU INDIVIDUALLY, AND SHE'S HIT THE GROUND RUNNING TO JOIN OUR, OUR GREAT, UH, COMMUNICATIONS AND ENGAGEMENT TEAM. UM, AND WITH THAT MAYOR AND COUNCIL, THAT'S, UH, MY CITY MANAGER'S REPORT. ALRIGHT, THANK YOU VERY MUCH, ERIC. UM, AT THIS TIME WE'RE GONNA GO AHEAD AND RECESS OUR MEETING. WE DO NOT HAVE AN EXEC SESSION, SO WE'LL RECONVENE AT TWO O'CLOCK FOR OUR ZONING AGENDA. TIME IS 11:58 AM ON THIS THIRD DAY OF MARCH, 2022. [2:00 P.M. (Time Certain) Public Hearing and Consideration of the following Adoption and Amendments of the Neighborhood, Community and Perimeter Plans as Components of the Master Plan and Zoning Cases. Plan amendments and Zoning cases presented by Roderick Sanchez, Assistant City Manager; Michael Shannon, Director, Development Services.  ] GOOD AFTERNOON, EVERYONE. WELCOME BACK. UH, CITY COUNCIL'S RECONVENED FROM ITS RECESS. THE TIME IS 2:07 PM ON THIS THIRD DAY OF MARCH, 2022. UH, WE'RE GOING TO BEGIN OUR ZONING AGENDA. MADAM CLERK, COULD YOU BRING US BACK WITH A ROLL CALL? COUNCIL MEMBER BRAVO HERE. COUNCIL MEMBER MCKEE RODRIGUEZ. PRESENT, COUNCIL MEMBER VRAN HERE. COUNCIL MEMBER ROCHA GARCIA. HERE. COUNCIL MEMBER CASTILLO HERE. COUNCIL MEMBER CAVEO HDA HERE. COUNCIL MEMBER SANDOVAL. COUNCIL MEMBER IES. COUNCIL MEMBER COURAGE PRESENT. COUNCIL MEMBER PERRY. MAYOR NIERENBERG HERE. MAYOR, WE HAVE A QUORUM AND GOOD AFTERNOON EVERYONE. THANK YOU FOR YOUR PATIENCE. TIME IS 2:08 PM UH, THERE WAS A ERROR TRANSPOSING NUMBERS, UH, THIS MORNING IN OUR SPEAKER LIST. [Purchase of Services, Supplies and Equipment  ] AND, UH, BY MISTAKE, A A CITIZEN WHO WAS SIGNED UP TO SPEAK ON ITEM SEVEN WAS NOT CALLED. UH, SO I'M GONNA ASK IF CANDACE CLICK WOULD LIKE TO COME FORWARD AND SPEAK ON ITEM SEVEN, AND THEN WE'LL BEGIN THE REST OF THE ITEMS. MS. COLLECT, APOLOGIZE FOR THE INCONVENIENCE. NO WORRIES. THANK YOU VERY MUCH. MR. MAYOR, MEMBERS OF THE CITY COUNCIL FELLOW SAN ANTONIANS, HONORED GUESTS, GOOD AFTERNOON. MY NAME IS CANDACE COLLECT. I'M A PROUD RESIDENT OF DISTRICT ONE IN SAN ANTONIO. LIKE MANY OF YOU, MY ROOTS ARE HERE IN SAN ANTONIO. I GRADUATED FROM CLARK HIGH SCHOOL AND THE UNIVERSITY OF THE INCARNATE WORD AND WENT ON TO RAISE BOTH OF MY CHILDREN IN SAN ANTONIO. I'M HERE TODAY ON BEHALF OF ALLIED UNIVERSAL AND THE OVER 200 SECURITY OFFICERS ASSIGNED YOUR ACCOUNT. I HAVE WORKED FOR ALLIED UNIVERSAL FOR 17 OF THE 18 YEARS. WE HAVE HAD THE PARTNERSHIP WITH THE CITY, MANY OF WHOM WOULD BE HERE WITH ME, BUT THEY'RE OUT ON POST. ON YOUR SCHEDULE TODAY, YOU WILL BE ASKED TO APPROVE A CONTRACT THAT WOULD CHANGE YOUR SECURITY PROVIDER FROM ALLIED UNIVERSAL TO INTERCON BEFORE MOVING FORWARD. WITH THAT, I ASK THAT YOU TAKE INTO CONSIDERATION JUST A FEW OF THE ITEMS, MANY OF WHICH WE'VE SPOKEN ABOUT AND AND, AND TALKED ABOUT THIS MORNING ON OTHER ITEMS. UM, THE FIRST BEING COST, SECOND BEING RISK, AND THE THIRD BEING A TECHNICAL ISSUE. IN FAIRNESS, THE COST, WHEN WE LOOKED AT THE BID TABULATIONS WERE OVER $2 MILLION ADDITIONAL SPEND THAN WHAT WE WOULD'VE PROPOSED. UNFORTUNATELY, OUR BID WAS REJECTED DUE TO A TECHNICAL ISSUE. NOW, BASED ON WHAT HAPPENED TODAY, THAT WAS ALSO A TECHNICAL ISSUE, BUT FORTUNATELY, WE AREN'T IN A COVID SPIKE AND YOUR OFFICES ARE OPEN AND I WAS ABLE TO JUMP UP AND SAY, HEY, HOLD ON ONE SECOND. MAY I PLEASE COME UP AND SPEAK WITH YOU GUYS? THAT WASN'T THE CASE WHEN WE WERE SUBMITTING OUR BID. SO NO ONE SAW OUR BID, NO ONE SAW OUR PROPOSAL, NO ONE SAW THAT WE HAD INCREASED WAGES TO OUR OFFICERS, EXTENDED ADDITIONAL BENEFITS. NO ONE WAS ABLE TO REVIEW THOSE. UNFORTUNATELY. UM, AS A TAXPAYER OF THE CITY, I WOULD LIKE TO HAVE A SAY WHEREBY TAXES GO. AND IF THERE'S A POTENTIAL COST SAVINGS, I WOULD LIKE TO BE ABLE TO TALK WITH THAT, TALK TO THAT, UH, THE RISK. THERE'S, WE HAVE A TRIED AND TRUE PROGRAM. WE HAVE MANY MEN AND WOMEN DEDICATED TO THIS ACCOUNT AND TO MANY SITES ACROSS THE CITY THAT KNOW [02:40:01] WHAT THE CRITICAL INFRASTRUCTURE IS AND KNOW WHAT THEY NEED TO DO TO KEEP THOSE POSTS SAFE. UM, AND THEN THIRDLY, THE TECHNICAL ISSUE. IN FAIRNESS, WE'RE JUST ASKING FOR A SHOT HERE TO BE CONSIDERED HERE. UM, YOU KNOW, WE'VE TALKED ABOUT THE LABOR MARKET, WE'VE TALKED ABOUT THE CHALLENGES WITH C O V I D, WE HEARD ABOUT THE WAGES. YOU GUYS, IT'S IMPORTANT TO YOU ALL. IT'S VERY IMPORTANT TO US. UM, WE PROVIDE MORE JOBS IN SAN ANTONIO THAN ANY OTHER SECURITY FIRM. WE'RE PROUD OF OUR LOCAL PRESENCE. WE JUST WANT YOU GUYS TO CONSIDER THAT AS WELL. UM, I'M HERE TODAY ASKING YOU ALL TO CONSIDER RECONSIDER HAVING US HAVE A SEAT AT THE TABLE. UM, IT WAS A TECHNICAL ISSUE AND, UH, WE WOULD LIKE FOR YOU GUYS TO THINK ABOUT ALLOWING US IN THE SPIRIT OF PARTNERSHIP, AN 18 YEAR PARTNERSHIP IN $2 MILLION OVERALL SPEND. IT'S IMPACTFUL TO THE CITIZENS OF SAN ANTONIO, TO THE TAXPAYERS, AND TO THE OVERALL PERFORMANCE AND SAFETY OF YOUR PROGRAM. THANK YOU. THANK YOU VERY MUCH, MS. CLARK. UH, AND FOR THE RECORD ON ITEM SEVEN, UH, THAT WAS APPROVED ON CONSENT THIS MORNING. COUNCIL MEMBER COURAGE. YES, THANK YOU. UM, IS, IS THERE AN OPPORTUNITY IN THE FUTURE AT ANY TIME FOR SOMEBODY WHO VOTED FOR AN ISSUE TO ASK IT TO BE RECONSIDERED? I'LL ASK THE CITY ATTORNEY. I'M NOT SAYING THAT MIGHT BE TODAY, BUT IT COULD BE A FUTURE MEETING COUNCIL TO RE TO RE TO RECONSIDER A UH, ITEM THAT WAS ALREADY DISCUSSED DURING THIS MEETING. SOMEBODY COULD, COULD MAKE A MOTION TO RECONSIDER. AND IF THE COUNCIL APPROVES THAT THE CON, THAT THAT ITEM WILL BE RECONSIDERED. WHAT ABOUT IF IT WAS BROUGHT TO A, A MEETING TWO WEEKS FROM NOW? IS THAT STILL AN APPROPRIATE TIME? THERE'S A, THERE'S A TWO STEP PROCESS TO DO THAT. AT THE FOLLOWING MEETING, YOU'D HAVE TO MAKE A MOTION TO RECONSIDER AND THEN AT THE FOLLOWING MEETING, THAT'S WHEN THE ITEM COULD BE RECONSIDERED. BUT GIVEN IT WAS, IT WAS, UH, VOTED ON AT TODAY'S SESSION, YOU COULD MAKE A MOTION TO RECONSIDER AND IT WOULD BE RECONSIDERED TODAY. OKAY. THANK YOU FOR THE INFORMATION. THANK YOU. COUNCIL MEMBER COURAGE. OKAY, WE ARE GOING TO MOVE ON NOW TO THE REST OF OUR AGENDA ITEMS. UH, AND FOR THE RECORD, WE HAVE THE FOLLOWING ITEMS THAT WOULD BE HEARD FOR INDIVIDUALLY. ITEMS 30, 31, 44 AND 45, AGAIN 30, 31, 44 AND 45. I NOTE THREE ITEMS THAT COUNCILS MEMBER MCKEE RODRIGUEZ WILL BE CONTINUING. 32, 3 AND FOUR. UM, SO OUTSIDE OF THOSE, ARE THERE ANY OTHER ITEMS TO PULL FROM THE CONSENT ZONING AGENDA? UM, IF THERE ARE NONE, LET ME FIRST ENTERTAIN A MOTION TO, UH, FROM COUNCIL MEMBER MCKEE RODRIGUEZ ON HIS THREE ITEMS THAT HE'D LIKE TO CONTINUE. I MOVE TO CONTINUE. ITEM 32, 33, AND 34 TO THE MARCH 17TH MEETING. SECOND. OKAY, THERE'S A MOTION AND A SECOND TO CONTINUE ITEMS 32, 33 AND 34 TO MARCH 17TH. ANY DISCUSSION? HEARING NONE, PLEASE VOTE. MOTION CARRIES. OKAY, UH, AT THIS TIME I'LL TAKE UP A MOTION TO, UM, I'LL HAVE A MOTION ON THE BALANCE OF THE CONSENT ZONING AGENDA. THAT'S ALL ITEMS SAVED FOR 30, 31, 44 AND 45, AS WELL AS THOSE THAT WERE JUST CONTINUED. SO MOVED. MAYOR SECOND. OKAY, THERE WAS A MOTION, UH, BY SANDOVAL SECOND BY COURAGE. UH, LET, JUST GIMME A SECOND. MAKE SURE I CALL UP FOLKS WHO ARE SPEAKING ON ITEMS REMAINING ON CONSENT. OKAY, WE'VE GOT SEVERAL FOLKS SIGNED UP ON, ON ITEMS REMAINING ON CONSENT. LET ME CALL UP FIRST DONNIE MILLER SPEAKING ON ITEM 42. DONNIE MILLER ACTUALLY, UM, WHAT'S YOUR NAME, MA'AM? SARAH. SARAH, YOU'RE TAKING, WHO ELSE? GENE BOING. UM, ONE SEC. GENE BOLANDER. OKAY, UH, SARAH, IF YOU'D LIKE TO CALL, COME ON UP. YOU'LL HAVE NINE MINUTES AND YOU'LL BE FOLLOWED BY ERIC NEWMAN ON FORWARDED TWO. AND JUST REAL QUICK, UM, UH, JEAN BOLLINGER, COULD YOU RAISE YOUR HAND? YES. OKAY, THANK YOU. AND DONNIE MILLER. [02:45:01] GREAT. ALRIGHT, GO AHEAD MS. CARUSO. OKAY. THANK YOU SO MUCH FOR YOUR TIME THIS AFTERNOON. I REALLY APPRECIATE, UM, BEING ABLE TO SPEAK TO THIS. THIS IS IN REGARDS TO ZONING CASE, UM, 2 0 2 1 1 0 7 2 2 OR 0 0 2 0 7. SO THIS IS FOR THE DAYS OF ALLAH AND JV BACON REZONING CASE. UM, AS YOU KNOW, MY NAME IS SARAH CARUSO, UM, AND I AM HERE AS THE INCOMING PRESIDENT OF THE TANGLEWOOD RESIDENT ASSOCIATION AND REPRESENTING THEM ON THEIR BEHALF. UM, WE ARE, WE HAVE OVER 800 HOMES IN OUR NEIGHBORHOOD THAT WILL BE GREATLY IMPACTED BY THIS REZONING. SO FOR AN OFFICIAL STANCE, WE ARE OPPOSING THIS REZONING FOR SEVERAL REASONS, BUT FIRST I WANT TO BE CLEAR, WE DO NOT OPPOSE DEVELOPMENT. WE ARE OPPOSING THIS SPECIFIC REZONING FOR THE IMPACT IT WILL HAVE ON OUR AREA AND THE LAND AROUND IT AND THE WAY THAT WE BELIEVE IT SHOULD BEST BE USED. AND SO OUR SURROUNDING AREA HAS ALREADY, UM, LOST CRUCIAL DEVELOPMENT, UH, COMMERCIAL DEVELOPMENT THAT'S BEEN REZONED FOR MULTIFAMILY AND RESIDENTIAL WITH 1100 UNITS PENDING TO BE BUILT RIGHT NOW. THAT'S WITHIN A MILE OF THIS LOCATION. THIS SPOT IN PARTICULAR IS PRIME FOR COMMERCIAL BECAUSE IT IS ALONG A MAIN BUSY THROUGH ROAD WITH RESIDENTIAL ON SIDE STREETS BEHIND IT TO SUPPORT IT. IT PROVIDES WALKABILITY, JOBS, SERVICES, ACCESS, AND MOST IMPORTANTLY IT WILL MITIGATE TRAFFIC THAT ALONG WITH THIS BEING THE ONLY WAY TO MITIGATE WORSENING TRAFFIC CONGESTION IS WHY THE U T SS A REGIONAL PLAN DID DESIGNATE THIS SPOT SPECIFICALLY FOR COMMERCIAL ZONING. SO LET'S TAKE A LOOK AT THE SHEER APARTMENTS. WOULD YOU PULL THIS UP PLEASE? OH, SO WE'RE GONNA TAKE A LOOK AT THE SHEER AMOUNT OF APARTMENTS THAT ARE IN THIS, UH, JUST GENERAL AREA. YOU, WHAT YOU SEE IN THE BLUE X IS WHERE THIS LOCATION IS PROPOSING TO BE REZONED RIGHT NEXT DOOR TO ANOTHER APARTMENT COMPLEX. AND THE RED X IS 740 APARTMENTS PENDING TO BE BUILT. THIS NEXT IMAGE SHOWS YOU THE, WHERE THIS WOULD BE BUILT RIGHT NEXT TO THE OVERLOOK APARTMENTS. THIS IS WHAT 320 APARTMENTS LOOKS LIKE AND THIS IS NOT EVEN THE COMPLETE, UM, PICTURE OF ALL THE BUILDINGS. SO WE WOULD BE ADDING RIGHT NEXT DOOR TO THIS. WE CANNOT KEEP ADDING MULTI-UNIT DENSITY AND IGNORING THE TRAFFIC PROBLEMS THAT WILL BE CAUSED BY THE LACKS OF JOBS AND SERVICES IN CLOSE PROXIMITY TO HOUSING. AND THIS LEADS ME TO MY NEXT POINT. TRAFFIC IS AN ISSUE AND WHILE EVERYBODY SAYS THAT THIS IS A SERIOUS CONCERN FOR THIS LOCATION BECAUSE IT CAN'T BE SOLVED FOR, THE DEVELOPER WILL ARGUE THAT THIS IS A REDUCTION IN TRAFFIC, BUT IT'S NOT. IT'S BRINGING IN MORE PEOPLE TO AN AREA THAT THEN NEED TO TRAVEL ONTO MAIN CORRIDORS TO GET TO JOBS AND SERVICES. UM, AREAS SUCH LIKE I 10 DE ZAVALA AN ALREADY VERY HEAVILY CONGESTED AREA COMMERCIAL, WHICH MIGHT HAVE A LARGER OVERALL TOTAL FLOW OF TRAFFIC IS NOT GOING TO ADD TO THE RESIDENTIAL COMMUTING TIMES THAT THIS WOULD, IT IS SHORTER, MORE SPREAD OUT TIMEFRAMES AND IT'S SERVICING THOSE THAT ARE ALREADY HERE, NOT PACKING IN MORE PEOPLE TO THE AREA. WE REALLY NEED TO INCREASE JOBS WITHIN OUR RESIDENTIAL DENSITY TO ASSIST WITH KEEPING TRAFFIC AT BAY AND PROVIDING WORK OPPORTUNITIES CLOSE BY. PLAIN AND SIMPLE, THE ROADWAYS IN THIS AREA CANNOT GET ANY WIDER. THEY'RE ALREADY AT A MAXIMUM, UH, RIGHT AWAY. SO OUR PROBLEM WILL ONLY GET WORSE WITHOUT A SOLUTION. AND SO I WANTED TO SHOW A COUPLE OF PICTURES OF WHAT THIS LOOKS LIKE. SO RIGHT HERE IS A PICTURE OF THE FRONTAGE ROAD AT THE I 10 AND DLA INTERSECTION WITH THE TRAFFIC DOWN, HOW IT'S BACKED UP. ANOTHER SHOT HERE, YOU CAN SEE IT DOWN DAVALA, WELL NOT DOWN DLA, THIS IS DOWN THE FRONTAGE ROAD AND EVEN ONTO I 10 AS PEOPLE ARE MERGING AND TRYING TO GET ON I 10 AND PACKED ALONG I 10. THIS IS AN EVERYDAY VIEW OF WHAT WE SEE. THIS RIGHT HERE IS TRAFFIC BACKED UP ON THE SIDE OF DA ZAVALA WHERE H E B SITS AND AGAIN, ANOTHER IMAGE ON A DIFFERENT DAY. THIS IS A TRAFFIC ON DE ZAVALA THAT IS ON THE SIDE OF WALMART. SO OUR TRAFFIC SPANS NOT JUST AT ONE AREA BUT ACROSS A LARGE SPAN OF AREA AND AGAIN, A DIFFERENT DAY. JUST TO SHOW THIS IS CONSISTENT THROUGHOUT, THIS IS A PICTURE OF THE TRAFFIC IN AND OUT OF H E B OR PARKING LOT FOR SIMPLE SERVICES THAT IS PACKED OR SERVICES ARE PACKED. THE PARKING LOT'S GETTING IN AND OUT. IT'S VERY CONGESTED. NOTHING THEY CAN DO ABOUT IT, IT'S JUST THE AMOUNT OF DENSITY IN THE AREA AND EVEN INTO LATE EVENINGS, TRAFFIC IS HEAVY. SO RIGHT HERE I WANTED TO SHOW YOU A MAP JUST TO GET LIKE A LITTLE BIT MORE OF AN AERIAL VIEW. THE TOP MAP IS JUST TO SHOW LIKE THE TRAFFIC LINES, THE RED AND YELLOW BACKED UP LINES, AND THEN THE BOTTOM, I CIRCLED THEM JUST FOR A LITTLE BIT MORE, UH, EASE OF REFERENCE. [02:50:02] BUT THESE ARE JUST SOME EXAMPLES AND YOU CAN PULL THIS DOWN NOW, MA'AM. THANK YOU. THESE ARE JUST SOME EXAMPLES OF WHAT WE SEE AND HOW OUR ROADWAYS ARE IMPACTED AND HOW IT WILL ONLY GET WORSE BY THIS REZONING. SCHOOLS ARE ALSO OVERWHELMED. WE SEE IN THE NEWS HOW TEACHERS ARE LEAVING THE INDUSTRY AND NOT ENOUGH NEW ONES ARE JOINING. PRE PANDEMIC DATA FROM 20 18 20 19 ACADEMIC YEAR SHOWS THE SCHOOLS IN THIS LOCATION THAT IT WILL FEED INTO RUDDER. I MEAN, I'M SORRY, BOONE ELEMENTARY WAS AT A 15 TO ONE STUDENT TEACHER RATIO, RUDDER AND RAWSON AT 16 TO ONE AND CLARK HIGH SCHOOL AT 18 TO ONE. THE SCHOOLS IN OUR AREA ARE OLDER, BUILT IN THE SEVENTIES AND EIGHTIES. WE DO HAVE ONE NEWER, UH, MIDDLE SCHOOL. HOWEVER, FOR THE MOST PART THEY'RE SMALLER AND THEY'RE POORLY EQUIPPED TO HANDLE THE INFLUX OF STUDENTS THAT 1100 PENDING UNITS ARE ALREADY GOING TO ADD. IN ADDITION TO THIS PROPERTY AS WELL. OUR SERVICES ARE OVERWHELMED TOO. YOU SAW THAT IMAGE OF THE PARKING LOT, H E B, THAT'S NOT JUST A PARKING LOT ON A REGULAR BASIS. THE AISLES TO CHECK OUT A H E B ALL LANES OPEN, THEY'RE DOWN THE AISLES. IT IS JUST OVERCROWDED. WE CAN'T HANDLE THIS KIND OF DENSITY AND SIMPLE SERVICES. SAME THING WITH CHICK-FIL-A ON D OF ALL BILL MILLER'S MCDONALD'S. WE SEE THE LINE SPANNING INTO THE ROADWAYS BECAUSE WE'RE PACKING IN TOO MANY PEOPLE INTO THIS AREA. CASEY DEVELOPMENT WILL ARGUE THAT THIS, UH, COMMERCIAL DEVELOPMENT IS NOT DESIRABLE AND IT DOES NOT, BUT THAT DOES NOT MATCH WHAT WE ARE SEEING AS COMMERCIAL IS POPPING UP ALL ALONG. DAYS OF ALL IN BABCOCK HALF A MILE FROM THIS LOCATION, UH, THERE'S A DEVELOPER WORKING WITHIN THEIR CURRENT COMMERCIAL ZONING TO PROVIDE SERVICES TO THE NEIGHBORHOOD AND THEY ALREADY HAVE LETTERS OF INTENT WITHOUT BREAKING GROUND. WE SEE THAT COMMERCIAL IS BEGINNING ON BABCOCK AND HUBER AND H E B HAS TO, HAS BROKEN GROUND ON, UH, 1604 AND BABCOCK TO NOT JUST PUT IN AN H E B BUT RETAIL SERVICES. WE DOUBT THEY WOULD BE ADDING THAT KIND OF, UH, SERVICE IF THEY DIDN'T THINK IT WAS VALUABLE AND THAT IT WAS NEEDED. WHEN ASKING CASING DEVELOPMENT, HOW MANY PEOPLE THEY PURSUED OR WHAT THEIR ASKING PRICE WAS IN COMPARISON TO SURROUNDING LOCATIONS, THEY DECLINED. SO BASED ON WHAT WE SEE, WHAT WE KNOW, WE ACTUALLY, WHAT WE'RE HEARING IS THAT THEY HAVE NOT BEEN ABLE TO FIND WHO THEY WANT FOR WHAT THEY WANT IN THIS LOCATION AND ARE ACTUALLY ASKING THE CITY TO BAIL THEM OUT FOR FINANCIAL PROFITABILITY. ACCORDING TO THEIR WEBSITE, COMMERCIAL IS ONLY EXPECTED TO GROW. AND IN AN ARTICLE FROM THE EXPRESS NEWS IN JANUARY, THE THERE'S EMPTY, THE EMPTY RETAIL SPACE IS FILLING UP. AN OCCUPANCY IS AT A 94% BECAUSE THERE'S LITTLE NEW RETAIL SPACE BEING BUILT. LASTLY, THE SURROUNDING NEIGHBORHOODS REALLY TRIED TO WORK WITH THIS DEVELOPER ON THE REZONING REQUEST TO CREATE A COMPROMISE WITH LOWER DENSITY OR MIXED USE. THE DEVELOPER HAS BEEN DIFFICULT AND NOT FORTHCOMING NOR A WILLINGNESS TO WORK WITH US. WE HAD TO PUSH HARD, JUST THE NEIGHBORHOOD LEADS AROUND THEM HAD TO PUSH REALLY HARD TO GET A MEETING WHERE WE WERE JUST TOLD THAT THERE WAS NO OPTION FOR NEGOTIATION. MY NEIGHBORHOOD, ALONG WITH SEVERAL OTHERS, HAVE BEEN ABLE TO WORK SUCCESSFULLY WITH OTHER DEVELOPERS TO CREATE A COMPROMISE THAT WORKED FOR BOTH OF US. SO WE'RE REALLY DISAPPOINTED. WE'VE NOT BEEN ABLE TO HAVE THOSE SAME CONSTRUCTIVE CONVERSATIONS THAT WITH CASEY DEVELOPMENT THAT WE'VE HAD WITH OTHERS. MAYOR NURNBERG, I ASK YOU WHEN YOU WERE OUR COUNCILMAN, YOU RECOGNIZED THEN WE WERE TOO DENSE IN APARTMENTS AND COULD NOT HANDLE THAT. YOU KNEW THEN THAT WE NEED TO HAVE SMART PLANNING AND THAT WE NEED TO, AND I ASK YOU TO HOLD THAT SAME STANDARD WHEN REVIEWING THIS CASE TODAY. YOU CAN ONLY SQUEEZE A LIME SO MUCH UNTIL YOU DON'T GET JUICE OUT OF IT, RIGHT? THERE'S ONLY SO MUCH YOU CAN GET UNTIL YOU HAVE TO MOVE ONTO A DIFFERENT LIME. WHEN WE SQUEEZE THE PRESERVATION OF COMMERCIAL LAND AND OPPORTUNITIES OUT OF THE AREA AND TURN IT OVER TO RESIDENTIAL TO A STATE WHERE WE'RE DRYING UP OUR, WE'RE DRYING UP OUR FUTURE, IT'S TIME TO MOVE ON TO A DIFFERENT AREA FOR RESIDENTIAL GROWTH. I THANK YOU FOR YOUR TIME. WOO. LOOK AT THANK YOU MS. CARUSO . THANK YOU. SPEAKING ON ITEMS 42 AND 43, ERIC NEWMAN, MR. NEWMAN, YOU'LL BE FOLLOWED BY MICHAEL COOK. THANK YOU FOR YOUR TIME. UM, FIRST I WOULD LIKE TO ASK IF IT'S STILL POSSIBLE TO PULL THIS OFF OF THE CONSENT AGENDA SO THAT YOU GUYS CAN VOTE ON THIS AS AN INDIVIDUAL CASE. I WOULD APPRECIATE THAT. UM, BUT I DO WANT TO JUST TALK ABOUT A FEW THINGS. FIRST, TRAFFIC, UH, IN THIS CASE, UM, JUST THINKING ABOUT THIS LOGICALLY, IF A PERSON MOVES TO THIS LOCATION, THEY'RE GOING TO BE WORKING SOMEWHERE ELSE BECAUSE WE DON'T HAVE THAT COMMERCIAL SPACE IN THAT AREA. SO THEY'RE GONNA BE TRAVELING ALONG THE DAYS OF ALL THE CORRIDOR AND TO THE DAYS [02:55:01] OF ALL AN I 10 INTERSECTION, WHICH YOU SAW THE TRAFFIC THERE. UM, SO WE SAW IN THE SA TOMORROW PLAN THAT THE WAY TO MITIGATE FUTURE TRAFFIC IS TO PRESERVE COMMERCIAL SPACE. EVEN IF IT CAN'T BE DEVELOPED NOW, IT MAY BE DEVELOPED IN THE FUTURE, BUT IF WE DON'T PRESERVE THIS SPACE, WE'RE GONNA LOSE IT. AND THE OTHER IMPACT, I THINK IS THE ENVIRONMENTAL IMPACT OF ALL THESE CARS SITTING IN TRAFFIC WITH THEIR ENGINES IDLING. UM, AND WE JUST SIMPLY CANNOT HANDLE MORE TRAFFIC. THERE'S NOWHERE TO EXPAND THE ROADS. LIKE SHE SAID, THERE'S ALREADY 1100 UNITS APPROVED AND THOSE WILL BE BUILT. UM, THE OTHER THING IS D EIGHT, UH, IS IN THE PROCESS OF REDRAWING DISTRICT LINES TO EXCLUDE CERTAIN AREAS, WHICH MAY, FROM WHAT I'VE SEEN, MAY EXCLUDE MY NEIGHBORHOOD OUT OF DISTRICT EIGHT, WHICH TELLS ME THAT THE DENSITY IS HIGHER IN DISTRICT EIGHT THAN THE SURROUNDING DISTRICTS. UM, AND THEN ALSO THE LANDOWNER RIGHTS, UM, AS SHE POINTED OUT AS WELL. UM, THIS WAS ZONE COMMERCIAL WHEN CASEY PURCHASED IT. SO THE RIGHTS ARE NOT BEING VIOLATED BY DENYING THE ZONING CHANGE REQUEST. IN FACT, THE BURDEN SHOULD BE ON CASEY TO PROVE THAT THIS ZONING CHANGE WOULD BE A BENEFIT TO THE DISTRICT AND WOULD NOT CAUSE AN UNDUE BURDEN ON ROADWAYS AND OTHER INFRASTRUCTURE WITHOUT SHOWING SOME BENEFIT. THEY'RE ESSENTIALLY ASKING YOU TO CHANGE THE LAW TO BENEFIT THEM. THEY SHOULD HAVE NO EXPECTATION TO HAVE THE PLAN CHANGE BECAUSE THEY'RE UNABLE TO MAKE THE PROFITABILITY MARGINS THEY WANT UNDER THE CURRENT ZONING. AND THE AGAIN, THE COMMUNITY MEETING SAID THEY, CASEY HAD A COMMUNITY MEETING, UH, IN 2019 WHEN THEY ORIGINALLY PROPOSED THE ZONING CHANGE AND THEY HEARD THE RESISTANCE AND THEY SAID THEY WOULD COME BACK WITH A DIFFERENT PLAN, AND THEY DID NOT. INSTEAD, THEY CAME BACK WITH A PLAN WITH MORE DENSITY THAN WHAT THEY WERE ORIGINALLY ASKING. AND WITHOUT ENTERING COVENANTS OR WORKING WITH THE COMMUNITY, THERE'S NOTHING THAT IS GONNA STOP THEM, UH, FROM DEALING WITH SETBACKS, TREE PRESERVATION, THE BARN THAT'S ON THE PROPERTY, UH, AND THOSE KIND OF THINGS. UM, AND THEN I WOULD ALSO SAY THAT EVEN THOUGH WE ONLY HAVE, UH, A HANDFUL OF PEOPLE HERE TODAY, UM, WE'VE BEEN THROUGH THIS BEFORE AND WE'VE SEEN THE POLLS ONLINE, AND WE'VE SEEN THE PETITIONS THAT SHOW THAT 90% OF THE RESIDENTS IN THIS AREA WANT TO PRESERVE THE COMMERCIAL SPACE FOR THE FUTURE. AND AGAIN, I WOULD ALSO REITERATE THE SAME THAT, THAT SARAH DID, THAT WHEN WE TALKED WITH MR. PALELLA, HE DID PROMISE TO NOT SUPPORT THIS TYPE OF CHANGE. THANK YOU. MR. COOK, OR EXCUSE ME. THANK YOU, MR. NEWMAN. MICHAEL COOK. MR. COOK, YOU'LL BE FOLLOWED BY BERTHA COOK. OKAY. BERTHA, THAT'S YOU? YES. OKAY. YOU'LL HAVE SIX MINUTES. COME ON UP. UH, MS. COOK, YOU'LL BE FOLLOWED BY MATTHEW ROBERTSON ON ITEM 48. THANK YOU FOR YOUR TIME. I'LL BE BRIEF. UM, THE PRIOR SPEAKER PRETTY MUCH COVERED EVERYTHING I WAS GONNA COVER IN REGARDS TO, UM, OUR POSITION. I, MY HOME BACKS UP TO DELA AND WE'VE LIVED THERE 20 YEARS WHERE WE USED TO SEE DEER BEFORE ACROSS THE STREET. NOW WE SEE 300 AND PLUS UNITS OF, UH, APARTMENTS ACROSS THE STREET FROM US. NOT TO MENTION THE TRAFFIC. IT USED TO BE TWO LANE NOW AND WE HAVE FIVE. UM, I'M NOT, WE'RE NOT AGAINST OAKMONT DOWNS IS NOT AGAINST PROGRESS. WE WANT NOTHING BUT, UH, FUTURE DEVELOPMENT FOR SAN ANTONIO. BUT IF WE COULD KEEP IT AS A COMMERCIAL PROPERTY RATHER THAN, UM, RESIDENTIAL, IT WOULD BE HELPFUL. LIKE SHE MENTIONED THE SCHOOLS, SHE MENTIONED THE TRAFFIC AT THE GROCERY STORES, THE, THE TRAFFIC BEHIND MY HOME, UM, EVEN FOR 10 O'CLOCK IN THE MORNING, I COULD RECORD IT AND PLAY IT FOR YOU, AND IT'S CONGESTED. UM, NOT TO MENTION AT FIVE O'CLOCK, WE HAVE ACCIDENTS CONSTANTLY ON DES ROAD. IT'S VERY HIGHLY TRAFFICKED ROAD. AND, UM, OUR INTEREST IS OF COURSE TO KEEP IT IF WE CAN, WALKING DISTANCE TO COMMERCIAL. WE DO HAVE SOME PROPERTIES NOW, SOME BUILDINGS THERE AND OUTSIDE OF OUR, UH, SUBDIVISION WHERE WE CAN WALK TO TEA, COFFEE, LIQUOR STORES, UM, SOME GROCERY STORES, C V SS, WHATEVER. UH, WE'D LIKE TO KEEP IT THAT WAY RATHER THAN TO HAVE MORE RESIDENTIALS. RIGHT NOW, THE APARTMENTS ACROSS THE STREET ARE UP TO 98% CAPACITY. THAT'S A LOT OF TRAFFIC. WITH 400 PLUS SET UP, I THINK THAT'LL JUST MEAN TWICE AS MUCH TRAFFIC. UM, WE HAD A PROBLEM WITH THE, UM, CITY PROVIDING ENOUGH, UH, ELECTRICITY DURING THE WINTER TIMES. IT'S ONLY GONNA GET WORSE FOR THEM AS FAR AS THAT'S CONCERNED. WE DO, UH, WANT TO, UH, MAKE SURE THAT YOU ALL UNDERSTAND THE TRAFFIC IS HARD FOR US. WE HAVE TWO ENTRANCES INTO OUR SUBDIVISION. [03:00:01] WE DON'T HAVE LIGHTS. WE HAVE A LIGHT A BLOCK AWAY AND A, A BLOCK DOWN. UM, BUT WE DON'T HAVE EXITS. WE HAVE TO WAIT. I'M RETIRED, BUT I, I DO TRAVEL OUTSIDE, UH, MY PROPERTY AND IT'S JUST VERY, VERY DIFFICULT TO GET THROUGH ALL THE TRAFFIC WITHOUT CREATING ACCIDENTS. I DO WANT TO MAKE SURE THAT YOU ALL UNDERSTAND, WE DO NOT WANT TO, UH, HURT THESE PEOPLE AS FAR AS, UH, CASEY DEVELOPMENT AS FAR AS FOR THEM TO, UH, CREATE MORE JOBS, MORE OPPORTUNITIES FOR PEOPLE, BUT RESIDENTIAL IS JUST NOT WHAT WE'RE INTERESTED IN, UH, FOR OUR LOCATION. THANK YOU. THANK YOU, MS. COOK. MATTHEW ROBERTSON ROBINSON HERE, SIR. UM, YOU'LL BE FOLLOWED BY DOUG NELL. AFTERNOON, MAJOR NUREMBERG MAYOR NUREMBERG, UH, AND ALL THE CITY COUNCIL MEMBERS. UH, MY NAME IS MATT ROBINSON. MATT ROBINSON, I APPRECIATE YOUR ATTENTION. UH, I WANT YOU TO PLEASE STOP THE AMENDMENT AND LEAVE OUR NEIGHBORHOOD ALONE. STOP THE THREAT AGAINST OUR WAY OF LIFE. I'LL GET TO THE POINT BECAUSE I HAVE A LOT TO SAY AND WE CAN CUT THIS SHORT. IF YOU'RE GOING TO DISAPPROVE THIS AMENDMENT. WILL YOU AGREE TO VOTE NO TO THIS AMENDMENT NOW? I DON'T SEE ANYONE SHAKING THEIR HEADS. OKAY, WELL, HERE WE GO. REGARDING CASE NUMBER 1 1 6 0 0 1 0 4, BY DEFINITION, THIS IS TAXATION WITHOUT REPRESENTATION. I CONTACTED THE MAYOR OF BERNIE WHERE I PAY TAXES AND I VOTE. MY KIDS GO TO SCHOOL THERE. WE DO ALL OUR BUSINESS THERE. HE INFORMED ME HE IS NOT PART OF THE PLANNING AND ZONING COMMITTEE PROCESS THAT INCLUDES PROPERTIES FROM HIS CONSTITUENTS BECAUSE OF THE E T J M P A, AND HE HAS NO SAY IN THE CITY COUNCIL. OBVIOUSLY, I CONTACTED MY COUNTY REPRESENTATIVE AND SHE INFORMED ME THE SAME. SHE IS NOT INCLUDED IN THE PLANNING AND ZONING FOR SAN ANTONIO. SHE HAS NO SAY IN THIS COUNCIL EITHER. I DON'T PAY TAXES FOR SAN ANTONIO. I DON'T LIVE IN SAN ANTONIO. LET'S USE SOME COMMON SENSE. EVERYONE LIVING IN WYNWOOD ESTATES UNDERSTANDS THAT PROGRESS IS GOING TO HAPPEN. WE DON'T HAVE A PROBLEM WITH THAT. BUT WE MOVED TO WYNWOOD ESTATES TO GET AWAY FROM THE CITY AFTER HONORABLY SERVING OUR COUNTRY FOR MORE THAN 20 YEARS AS A UNITED STATES MARINE CORPS OFFICER, DEFENDING ALL OF OUR FREEDOMS AND OUR WAY OF LIFE. MY WIFE AND I CHOSE TO COME TO TEXAS, BACK TO TEXAS. WE'RE ORIGINALLY FROM HERE AND SPECIFICALLY TO THIS AREA OF TEXAS FOR EXACTLY THE PEACE AND QUIET THAT THIS NEIGHBORHOOD OFFERS US. OUR COMMUNITY AND OUR CULTURAL IDENTITY ARE BEING THREATENED BY THIS PROPOSED CHANGE OF USE FOR THE 10 ACRE PROPERTY. WE DO NOT WANT AN INDUSTRIAL COMPLEX THAT CLOSE TO OUR NEIGHBORHOOD. ONCE THIS PROPERTY IS CHANGED, NO ONE KNOWS WHAT WILL HAPPEN IN THE FUTURE. IF THE RESPECTIVE BUYER DECIDES TO SELL, WHO KNOWS WHAT THE NEXT BUYER IS GOING TO DO WITH IT. STOP THREATENING THE IDENTITY OF OUR NEIGHBORHOOD AS A DIRECTLY IMPACTED RESIDENT WHOSE PROPERTY BORDERS THE PARCEL IN QUESTION. I'M FIERCELY OPPOSED TO THIS AMENDMENT, WITH THE EXCEPTION OF BERNIE STAGE AIRFIELD. EVERY SURROUNDING PARCEL IS CLASSIFIED AS LOW DENSITY RESIDENTIAL, AND ALL OF THE PARCELS HAVE OCCUPIED SINGLE FAMILY HOMES. THE APPROVED CAMP BULLIS LAND USE CONTROLS MAP OF 2019 DESIGNATES THIS PARCEL AS RESIDENTIAL ESTATES. I SUBMIT THAT THE REQUESTED CHANGE OF USE FROM THIS FOR THIS AMENDMENT DOES NOT MEET ANY OF THE ITEMS CITED IN THE STATEMENT OF PURPOSE OF THE JANUARY 1ST, 2016 UNIFIED DEVELOPMENT CODE FROM THE CITY OF SAN ANTONIO, TEXAS, SECTION THREE FIVE DASH THREE TEN TWO UNDER THE LIGHT INDUSTRIAL. THIS REQUEST IS NOT AS STATED IN THAT STATEMENT OF PURPOSE, COMPATIBLE IN THEIR USE, CHARACTER AND SIZE TO THE SITE AND SURROUNDING AREAS. TWO 20,000 SQUARE FOOT WAREHOUSES REQUIRING WELLS AND SEPTIC SYSTEMS TO SERVICE THE PROPOSED INDUSTRIAL USE AND THE EXPECTED INDUSTRIAL TRAFFIC AND EMPLOYEE TRAFFIC WOULD AFFECT NOT ONLY THE VALUE OF THE SURROUNDING PROPERTY, BUT DECREASE THE QUALITY OF LIFE FOR ALL RESIDENTS AND INCREASE POLLUTION IN THE AREA. THANK YOU, MR. ROBINSON. RIGHT. IF YOU HAVE A WRITTEN STATEMENT, UH, YOU CAN GET IT OVER TO OUR, UH, ATTORNEY. WE CAN DISTRIBUTE TO COUNSELOR TO OUR CLERK, THAT WOULD BE GREAT. AND ALSO, I'M GONNA SPEAK ON BEHALF OF MY WIFE WHO'S MATILDA ROBINSON, IF YOU'LL SEE HER. MATILDA RIGHT HERE. OKAY, GREAT. YOU HAVE THREE MORE MINUTES. GO AHEAD. YES, OF COURSE. SO I WAS AT THE POLLUTION. THE INDUSTRIAL COMPLEX WILL BE SEVERELY OUT OF CHARACTER WITH DIS AND DESTRUCTIVE TO THE SURROUNDING AREA. STOP THE THREAT AGAINST OUR WAY OF LIFE. THERE IS NO SCREENING QUOTE OR BUFFERING UNQUOTE AS STATED IN THE STATEMENT OF PURPOSE THAT WILL BE COMPATIBLE WITH THE ADJOINING USE AND IT WILL NOT BE POSSIBLE TO PROTECT IMPACTED PROPERTIES FROM THE ECONOMICAL ENVIRONMENTAL DAMAGE THAT WILL CAUSE STOP THE THREAT AGAINST OUR WAY OF LIFE. THIS REQUEST DOES NOT SATISFY THE CALL AS STATED IN THE STATEMENT OF PURPOSE QUOTE, DIVERSIFY THE ECONOMIC BASIS OF SAN ANTONIO. THIS PROPERTY IS NOT IN SAN ANTONIO. THERE ARE MULTIPLE AVAILABLE PROPERTIES IN THE CITY THAT ALREADY CLASSIFIED INDUSTRIAL AND AVAILABLE FOR IMMEDIATE USE. IF [03:05:01] THIS MANUFACTURING FACILITY IS SO IMPORTANT TO THE CITY, THEN ONE OF YOU FIND COUNCIL MEMBERS SHOULD THINK ABOUT PUTTING IT IN YOUR DISTRICT. IMAGINE IT, YOU'D HAVE JOBS FOR YOUR CONSTITUENTS, CONSTRUCTION JOBS, FULL-TIME JOBS, PLUS THE CITY WOULD ACTUALLY GET TAXES FROM THE COMPANY. IN THE CURRENT PROPOSED LOCATION, SAN ANTONIO WILL NOT GET ANY TAX MONEY. FURTHERMORE, THOSE PROPERTIES HAVE ACCESS TO MAJOR ROADWAYS AND ARE MAINTAINED BY THE CITY AND ADJACENT TO OTHER INDUSTRIAL COMPLEXES. THE CURRENT PROPOSED LOCATION DOES NOT. BERNIE STAGE ROAD IS BARELY A TWO-LANE FARM MARKET ROAD AND THERE ARE NO UTILITIES ON THE PROPERTY. THE ONLY REASON THE REQUEST THIS CHANGE TO REQUEST THIS CHANGE IS TO PROFIT FROM BEING ABLE TO DESTROY THE RULE AND RESIDENTIAL NATURE OF THE PROPERTY SURROUNDING THIS LOT. THE REQUEST FOR CHANGE DOES NOT SATISFY THE CALL TO CONTINUE THE ORDERLY DEVELOPMENT AND CONCENTRATION OF INDUSTRIAL AND MANUFACTURER USES AS STATED IN THE STATEMENT OF PURPOSE, THERE ARE NO OTHER LIGHT INDUSTRIAL PROPERTIES WITHIN THE NOTIFICATION AREA OR THE CONTRIBUTING ZONE AS OUTLINED ON THE MAP PROVIDED AS PART OF THE NOTICE GIVEN. FURTHERMORE, ACCORDING TO YOUR ESSAY TOMORROW ADOPTED IN 2018, IT DOESN'T MEET ANY OF THESE. AND YOU'RE GOING TO SKIP 12 CATEGORIES GOING FROM LIGHT OR RESIDENTIAL TO LIGHT INDUSTRIAL. THE REQUEST WOULD ALLOW AN INDUSTRIAL SIZED SEPTIC SYSTEM WITH POTENTIALLY DEEP INDUSTRIAL USE WELLS THAT WOULD ENDANGER THE SUPPLY OF WATER FOR RESIDENTIAL USE IN THE TRINITY GLEN ROWS AQUIFER AND EXPOSE PROXIMAL WELLS POSSIBLY TO POLLUTION AND POTENTIALLY RUNNING THEM DRY DUE TO UNLIMITED PUMPING FOR NON-RESIDENTIAL USE. THIS MANUFACTURING PROCESS REQUIRES WELDING OPERATIONS, INCLUDING GALVANIZED MATERIALS THAT PRODUCE TOXIC FUMES WHEN WELDED. IT ALSO USES CHEMICAL COATINGS THAT ARE HAZARDOUS AND RELEASE NAUSEOUS FUMES INTO THE ENVIRONMENT. THE SHEETS OF METAL AND ALL THE INDUSTRIAL CHEMICALS AND SUPPLIES THAT THEY WILL NEED WILL HAVE TO BE TRUCKED IN AND DELIVERED BY 18 WHEELERS AND SEMI-TRUCKS A COUPLE OF TIMES A WEEK. THE FINISHED PRODUCTS WILL THEN HAVE TO BE TRUCKED OUT A COUPLE OF A WEEK. THAT ADDS A LOT OF 18 WHEELERS ON A ROAD IN A NEIGHBORHOOD THAT SEES VERY FEW 18 WHEELERS CURRENTLY, WE WALK OUR DOGS HERE. WE ALLOW OUR CHILDREN AND OUR GRANDCHILDREN TO RIDE THEIR BIKES HERE, STOP THE THREAT AGAINST OUR COMMUNITY AND OUR WAY OF LIFE. MR. MCCULLEN, THE CITY PLANNER, DID NOT KNOW WHAT INDUSTRY THE POTENTIAL OWNER WAS GOING TO BUILD. MR. MCCLELLAN THOUGHT A DENTIST WAS GOING TO MAKE PROSTHETIC DEVICES BY HIS OWN ADMISSION. HE WAS NEW TO THE PROJECT. APPARENTLY NO ONE ON THE PLANNING AND ZONING COMMITTEE KNEW WHAT WAS PLANNED. THE LAWYER REPRESENTING THIS MR. CHRISTENSEN DIDN'T EVEN KNOW WHAT IT WAS. HE TOLD ME IT WAS GONNA BE A DENTAL PROSTHETIC MANUFACTURING PROCESS AS WELL, WHICH IS NOT. THANK YOU, MR. ROBINSON. OKAY, I'LL LEAVE THE REST OF THIS WITH YOU, SIR. GREAT. THANK YOU VERY MUCH. THANK YOU. DOUG NELL. THANK YOU MR. NELL. YOU'LL BE FOLLOWED BY KAITLYN O'MALLEY. OH, I HAVE THREE MINUTES. HEY GUYS. UM, I BROUGHT, HI EVERYBODY, I'M DOUG NELL. UH, THANKS FOR LISTENING TO ME. I, I PROVIDED YOU GUYS WITH SOME MAPS. DO Y'ALL HAVE THESE MAPS? YES. AWESOME. SO WILL YOU JUST PUT, UM, THE, THE OTHER MAP, THE SECOND ONE? YEAH. IT'S KIND OF BIG, SO IT'S UPSIDE DOWN. ALL RIGHT. SO A MAP'S WORTH A THOUSAND WORDS, RIGHT? SO MY HOUSE IS KIND OF WISH I HAD A POINTER, BUT, UH, MY, MY HOUSE IS LABELED ON THERE. YOU SEE, PLEASE KEEP LOW DENSITY RESIDENTIAL. YEAH. THANK YOU. SO, OKAY, NOW LET'S PAN OUT AND I WANT YOU TO LOOK AT ALL OF THE LOW DENSITY RESIDENTIALS SURROUNDING THE YELLOW BORDERED PROPERTY. THAT'S THE ONE IN QUESTION. SO SINGLE FAMILY RESIDENCE IS COMPLETELY SURROUND THIS PROPERTY EXCEPT FOR THE AIRPORT. WELL, THAT'S CLASSIFIED AS HEAVY INDUSTRIAL, BUT THAT'S BECAUSE, YOU KNOW, THERE'S NO OTHER CLASSIFICATION FOR AN AIRPORT. THEY'RE NOT PRODUCING OR MANUFACTURING ANYTHING ON THAT AIRPORT PROPERTY. SO THE WHOLE POINT OF THIS MAP IS TO SHOW THAT THIS IS A NON-CONFORMING LAND USE. SO I TALK TO PEOPLE, YOU KNOW, CHRIS MCCOLLUM AT THE CITY AND, UM, AND SOME OTHER FOLKS. AND, AND THE PROCEDURE IS, IS, OKAY, LET'S GO TO THIS. LET'S GO TO THIS SITE. LET'S SEE IF A LIGHT INDUSTRIAL FACILITY WOULD, UH, COMPLIMENT THE SURROUNDING AREA. LET'S SEE IF IT WOULD FIT INTO THE SURROUNDING AREA. UM, AND IT CLEARLY DOES NOT. SO, YOU KNOW, IF THIS LIGHT INDUSTRIAL FACILITY IS ALLOWED TO COME IN HERE, UM, HE HAS PROPOSED TO, UM, ON, ON THE OTHER MAP I HAVE, UM, IT SHOWS THAT HE'S GONNA USE, UH, MAYBE ONE THIRD OF THIS PROPERTY AND IT'S GONNA PARCEL IT OUT INTO TWO OTHER PARCELS. AND LIKELY THOSE TWO OTHER PARCELS WILL NEED TO BE, UH, MANUFACTURING LIGHT INDUSTRIAL AS WELL. [03:10:01] AND SO HERE WE ARE NOW WE HAVE THREE, UM, LIGHT INDUSTRIAL FACILITIES, SMACK DAB IN THE MIDDLE AND SURROUNDING LOW DENSITY RESIDENTIALS. SO THE PROPOSED LAND USE CHANGE WITH THE SURROUNDING LAND USE, WHICH IS PREDOMINANTLY LOW DENSITY RESIDENTIAL, IS A NON-CONFORMING LAND USE WHEN COMPARED TO PROPERTIES OWNED IN THE IMMEDIATE VICINITY. ACCORDING TO CHAPTER 35, UNIFIED DEVELOPMENT CO PROPOSED AMENDMENTS 35 DASH 20 E FIVE INTERPRETATION MATERIALLY SIMILAR USES AND DENSITIES. THIS PROPOSED CHANGE SHOULD BE DENIED ON THIS BASIS ALONE. IT JUST IS NOT CONFORMED TO THE SURROUNDING LAND USE. AND I KNOW THAT IS THE MAIN LENS THAT WE'RE LOOKING AT THIS THROUGH. AND SO I HOPE THIS MAP PROVES THAT POINT. THANK YOU FOR YOUR TIME. THANK YOU, MR. CANNELL. CAITLYN O'MALLEY. MS. O'MALLEY, YOU'LL BE FOLLOWED BY DOLORES TOPPER WINE. HI. THANK YOU ALL FOR HAVING US TODAY. WE APPRECIATE YOUR TIME. UM, I WANT TO ECHO WHAT BOTH MATT AND DOUG HAVE SAID TODAY. UM, I HAVE TURNED IN, WHEN I CHECKED IN TODAY A PETITION THAT THE RESIDENTS OF WYNWOOD ESTATES AND NEARBY NEIGHBORS HAVE SIGNED. WE HAVE OVER 105 SIGNATURES FROM OUR RESIDENTS WHO ARE IN OPPOSITION OF THIS APPROVAL. SO TODAY, UM, WHAT I WANNA ECHO IS THE PROPOSED BUYER HAS MADE IT CLEAR HIS GOAL IS TO SUBDIVIDE THE PROPERTY ONCE HE DEVELOPS A LAND WITH A 20,000 SQUARE FOOT WAREHOUSE INDUSTRIAL SIZED SEPTIC SYSTEM IN, WELL, HIS GOAL IS TO BUY THE PROPERTY, SELL OFF THE REMAINING ACRES, AS HE HAS STATED THAT HE HAS NO USE FOR THE ENTIRE 10 PLUS ACRES. THE BUYER INTENDS ON PROFITING FROM HIS PURCHASE, PROFITING FROM THE LAND CHANGE TO LIGHT INDUSTRIAL PROFITING FROM THE DESTROYING, OR PROFITING FROM DESTROYING THE RURAL RESIDENTIAL NATURE OF THE 50 PLUS YEAR OLD NEIGHBORHOOD THAT SURROUNDS THIS LAND. PLEASE LEAVE THIS LAND FOR A DEVELOPER WHO WILL DEVELOP THE LAND FOR RESIDENTIAL USE. I KNOW FIRSTHAND THAT THERE ARE DEVELOPERS OUT THERE THAT WOULD LIKE TO DEVELOP THIS, WHICH IS CONSISTENT WITH THE SURROUNDING AREA AS A RESIDENTIAL USE. UM, PLEASE DENY THE PROPOSED CHANGE IN PA CASE 2 0 2 1 1 1 6 0 1 0 4. THANK YOU. THANK YOU, MS. O'MALLEY, DOLORES TOPPER WINE, MS. TOPPER WINE. YOU'LL BE FOLLOWED BY ANN FESTER MAKER. GOOD AFTERNOON, MAYOR NUREMBERG, COUNCIL MEMBERS AND SPECIFICALLY, UH, MR. MANNY PIAS, DISTRICT EIGHT. I'VE LIVED IN THIS NEIGHBORHOOD OVER 20 YEARS. I'M A SENIOR CITIZEN, MY HUSBAND IS A VETERAN. AND, UM, WE BOUGHT THIS PROPERTY BELIEVING THAT IT WOULD BE OUR LAST HOME FOR RETIREMENT. AND IN THE COURSE OF THE 20 YEARS, THE FIRE DEPARTMENT BUILT A FIRE DEPARTMENT ON THE CORNER OF THE PROPERTY BY THE AIRPORT. EXCUSE ME. AND, UM, WHEN THAT HAPPENED, WE APPROACHED THE, UM, CHIEF AT THE FIRE DEPARTMENT AND WE SPOKE TO HIM AND ASKED HIM IF THE FIRE TRUCKS WOULD BE GOING IN AND OUT OF OUR NEIGHBORHOOD. AND HE SAID, NO, THEY'RE GOING THROUGH THE NEIGHBORHOOD DAY AND NIGHT ALL HOURS. AND SO, UM, I'M HERE TODAY TO IMPLORE YOU TO RECONSIDER, UH, AND NOT VOTE YES FOR THIS, BUT VOTE NO. THIS SHOULD HAVE BEEN OUR RETIREMENT HOME. AND I DON'T THINK ANY OF YOU ON THE BOARD WOULD WANT TO BUILD YOUR RETIREMENT HOME AND THEN HAVE A INDUSTRIAL PARK RIGHT ACROSS THE STREET. WE HAVE MOSTLY SENIOR CITIZENS IN THIS AREA. AS MR. ROBINSON SAID, PEOPLE WALK THEIR DOGS, CHILDREN ON BIKES. UM, THERE ARE ONLY TWO WAYS INTO THE NEIGHBORHOOD. I H 10 AND BERNIE STAGE ROAD, AND PEOPLE CUT THROUGH BECAUSE OF THE CONSTRUCTION ON, UH, IH 10. AND IT'S DISHEARTENING TO SAY THE LEAST, TO THINK THAT YOU'VE WORKED ALL YOUR LIVES ARE A TAXPAYER AND A FAITHFUL VOTER FOR YOUR SURROUNDINGS, YOUR HOME, TO BE CHANGED INTO SOMETHING TOTALLY DIFFERENT BY ALLOWING AN INDUSTRIAL PARK TO BE BUILT INTO YOUR NEIGHBORHOOD. SO I IMPLORE YOU, RECONSIDER AND OPPOSE AND VOTE NO FOR CASE PA 2021 [03:15:01] DASH 11 601 0 4. THANK YOU SO MUCH FOR YOUR TIME AND GOD BLESS. THANK YOU MS. TOPPER WINE AND FESTER MAKER, FOLLOWED BY SES SERNA. GOOD AFTERNOON. UM, THE ZONING CHANGE REQUEST IS INCOMPATIBLE WITH OUR NEIGHBORHOOD AND AREA, WHICH IS RURAL AND ONE FAMILY RESIDENTIAL. YOU CAN CHECK OUT THE NORTH SECTOR PLAN FOR VERIFICATION OF THIS. WE ARE IN SAN ANTONIO'S E T J AND THEREBY DIRECTLY IMPACTED BY YOUR ACTIONS, BUT RECEIVE NO NOTIFICATION, UH, FROM YOU ABOUT THIS ZONING CHANGE. WE HAD TO FIND IT OUT FROM A NEIGHBOR SUCH AS LIFE UNDEMOCRATICALLY LIVING IN SAN ANTONIO'S E T J. THIS GENTLEMAN INTENDS TO SELL HIS EXCESS LOTS FOR MORE INDUSTRY. HOW WOULD THERE BE ANY CONTROL OVER ADDITIONAL POLLUTION OR SCALPING OF THE LAND? OUR NEIGHBORHOOD IS AT LEAST 115 YEARS OLD BECAUSE THAT'S HOW LONG MY FAMILY HAS BEEN THERE. THE PEOPLE AND OUR NEIGHBORHOOD ARE THERE BECAUSE THEY VALUE THEIR RESIDENTIAL LONG-TERM COMMITMENT. THERE IS NO LIGHT INDUSTRY IN OUR NEIGHBORHOOD. WE ARE RURAL AND ONE FAMILY RESIDENTIAL. WE ASK YOU WHY SHOULD IT BE STARTED? WHY START RUNOFF POLLUTION INTO OUR WELLS AND CREEKS OR POLLUTE THE AIR? WE ACTUALLY, IN OUR AREA CONTRIBUTE CLEAN AIR AND WATER TO SAN ANTONIO. THE PREVAILING CLEAN AIR GOES TO SAN ANTONIO FROM US. AND YOU ALL KNOW THAT WE ARE THE CONTRIBUTING ZONE AND WE GO DIRECTLY INTO THE EDWARDS AQUIFER. PLEASE VOTE THIS ZONING CHANGE DOWN A MOMENT ABOUT MY FAMILY. WE HAVE MADE A COMMITMENT ABOUT OUR PLACE. WE HAVE PLACED CON UH, CONSERVATION EASEMENTS ON IT TO PROTECT THE WATER AND THE AIR AND THE WILDLIFE. AND THAT'S IN PERPETUITY. AND THAT'S, UH, SEVERAL HUNDRED ACRES RIGHT HERE IN THIS AREA THAT WE'RE TALKING ABOUT. SO WE'VE MADE A COMMITMENT AND WE WOULD ASK YOU ALL PLEASE TO COMMIT WITH US. THANK YOU VERY MUCH. THANK YOU, MS. FESTER. MAKER CESARIO SERNA. MR. SERNA, YOU'LL BE FOLLOWED BY STEVIE RICKS HERE ON CITY COUNCIL. SO, UM, HOW SHOULD I START HERE? UM, WISH DID YOU GUYS DO NOT CONSIDER THIS, UH, TO CHANGE THE CODE FROM, UH, RESIDENTIAL TO LIGHTING INDUSTRY? UM, AND ALSO I THINK WYNWOOD IS A COMMUNITY. WE, WHERE WE KIND OF WATCH OUT FOR EACH OTHER. UH, WE HAVE NO H O A WE HAVE A A D COMMITTEE. SO THAT'S WHY WE'RE HERE TODAY, PRESENTING OURSELVES AS THAT COMMITTEE. AND ALSO H O A USUALLY LOOKS OVER NEIGHBORHOODS AND, AND THEY CONSIDER WHAT'S BENEFICIAL TO THEM. SO WE'RE HERE THINKING THIS DEVELOPMENT IS NOT A BENEFIT TO OUR COMMUNITY. UM, AS AN EXAMPLE, DURING THE, UH, THE TIMES WHEN WE WERE LOCKED DOWN, NEIGHBORS CALLED ON EACH OTHER. WE DROVE BY MAKE SURE THE ELDERLY WERE OKAY. UH, WE SUPPLIED EACH OTHER WITH WOOD ON JUST BASIC WOOD EGGS, YOU KNOW, UM, WE KIND OF LOOK OUT FOR EACH OTHER. UM, IT ISN'T LIKE I CAN APPROACH THIS DEVELOPMENT AND SAY, HEY, CAN I GO OVER THERE AND BORROW YOUR MIG WELDER? YOU RIGHT. UM, IT'S SOMETHING THAT IS NOT APPROPRIATE, BUT NEIGHBORS LOOK OUT FOR EACH OTHER IN THIS NEIGHBORHOOD. SO WE, I CONSIDER IT A COMMUNITY WHERE WE WATCH OUT FOR EACH OTHER. UM, SO JUST HAVING THIS IN OUR COMMUNITY, IT'S NOT, WE DON'T KNOW HOW THIS IS GONNA AFFECT, UH, PROPERTY TAXES AS WELL. UM, IF APPROVED, THEN, LIKE OTHER MEMBERS HERE MENTIONED THAT WE DON'T KNOW WHAT THE DEVELOPMENT'S GONNA BE. THE FACILITIES ARE GONNA BRING, IT'S GONNA BRING PROBABLY MORE POLLUTION, UH, MORE TRAFFIC, DEFINITELY. AND DOWN THE STREET, UH, THERE IS A FIRE STATION, UM, THAT IF YOU HAVE TRUCKS COMING IN AND OUT, THAT COULD POSE SOME, SOME DANGERS FOR, FOR THE FIREHOUSE IN THE LONG RUN. UM, ALSO, UM, THE PROPERTIES THAT BORDER THE BACK OF THIS 10 ACRES, UM, RIGHT NOW THEY'RE THE DEVELOPER'S CONSIDERING BUILDING AWAY FROM THOSE PROPERTIES. BUT IN THE LONG RUN, IF [03:20:01] IT GETS FURTHER DEVELOPED, AND THOSE PROPERTIES ARE GONNA BE RIGHT IN THE BACKYARD OF THESE, OF THE PROPERTY OWNERS, WHICH SOME ARE, ARE HERE TODAY. SO, UM, NOT AGAINST PROGRESS IN OUR COMMUNITY, BUT THIS DEVELOPMENT IS NOT SOMETHING THAT WE, WE NEED IN OUR COMMUNITY RIGHT NOW. THANK YOU FOR YOUR TIME. THANK YOU, MR. SERNA. STEVIE RICKS, FOLLOWED BY JACQUELINE MERLEY. I'M RATHER SHORT. UM, THANK YOU FOR LISTENING. UH, I'VE LIVED ON BERNIE STAGE ROAD FOR OVER 30 SOME ODD YEARS. FIRST TIME CAME OUTTA COLLEGE, LIVED IN BERNIE. THEN ALSO I LIVE ADJACENT TO THE AIRPORT. AND MY OUT OF MY KITCHEN WINDOW ACROSS THE ACREAGE IS GONNA BE THIS, ON THE OTHER SIDE OF THE RUNWAY WILL BE THIS PROPERTY. MY CONCERN IS, IS THAT, SO HE BOUGHT THE LAND AND HE WANTS TO PUT SOMETHING INDUSTRIAL. WHAT KEEPS HIM FROM SELLING IT? AND THEN WHO KNOWS WHAT'S GONNA COME IN? YOU HAVE A LOVELY ESTABLISHED NEIGHBORHOOD IN WYNWOOD ESTATES AND UPDO SIERRAS. YOU HAVE A LOVELY, LOVELY OLD, OLD NEIGHBORHOOD WHERE THEY'RE REDOING HOMES. THEY'RE REBUILDING HOMES. YOU'VE GOT KIDS OUT, BICYCLES OUT. YOU'VE GOT KIDS MAKING LITTLE SCULPTURES ON, ON A ACCESS DRIVE WITH ALL THESE LITTLE TOYS AND STUFF AS THEY WALK BY. THEY CHANGE IT DAY TO DAY. YOU HAVE A LOVELY, LOVELY AREA. IT'S NOT A PLACE FOR INDUSTRIAL. SOMEBODY EARLIER SAID SOMETHING ABOUT THIS IS PRIME FOR COMMERCIAL. THIS IS JUST THE OPPOSITE. YOU'VE GOT LOVELY FAMILIES, YOU'VE GOT LOVELY DOGS AND CATS AND DEER AND WILDLIFE AND FOXES. I FEED, FIND ANOTHER PLACE. I IMPLORE YOU. I'M ABSOLUTELY AGAINST ANYTHING INDUSTRIAL. THANKS. THANK YOU, MS. RICKS JACQUELINE MERLEY. MS. MERLEY, YOU'LL BE FOLLOWED BY JOE EGAN. THANK YOU MAYOR CITY COUNCIL. I COME TODAY IN REGARDS TO THE PROPOSED LAND CHANGE, LAND USE CHANGE OF THE PROPERTY LOCATED AT THE INTERSECTION OF OLD BERNIE STAGE ROAD AND DOS CEROS DRIVE FROM LOW DENSITY RESIDENTIAL TO LIGHT INDUSTRIAL. AND I ASK THAT YOU REVIEW THE PROPOSAL ALONG WITH OUR COMMENTS AND VOTE AGAINST THIS PLAN. I'M PROVIDING A PHOTO. THIS IS A PHOTO. IT SHOWS RIGHT OFF MY BACK PORCH AND HOW CLOSE IT IS TO THIS LAND. YOU HAVE A MAP WITH RED BUILDINGS ON IT. THE SOUTH RED BUILDING ON THE RIGHT GOES RIGHT THERE BEHIND MY YARD. UM, THE CONCERN ABOUT THIS LAND IS THAT THE DEVELOPERS, I, EXCUSE ME, THE PURCHASER WANTS TO BUILD A PROPERTY ON THE NORTH SIDE AND SELL THE, THE SOUTH SIDE. AND THIS IS UNKNOWN DEVELOPMENT. AND ONCE THIS LAND IS CHANGED TO INDUSTRIAL, THERE'S NO, UM, FURTHER, UM, ABILITY TO USE THE LAND IN ANY OTHER WAY. I DON'T THINK ANYBODY WOULD WANT A 20,000 SQUARE FOOT BUILDING IN THEIR BACKYARD OR IN THEIR NEIGHBORHOOD. IT BRINGS ABOUT CONCERN FOR PRIVACY, PROPERTY TAXES, RESELL, SAFETY. I WOULD HAVE A BUILDING RIGHT THERE AT MY BACK PORCH. AND IT REALLY CONCERNS ME ABOUT PRIVACY AND SAFETY. SO CHANGING THIS PROPERTY TO LIGHT INDUSTRIAL CHANGES THE FOOTPRINT OF THE LAND, ELIMINATING POSSIBILITY OF ITS USE FOR OTHER PURPOSES. IT'S SUCH A NICE WELL-DEVELOPED NEIGHBORHOOD. CHANGING IT FOR ONE PERSON IMPACTS SO MANY OF US IN THIS NEIGHBORHOOD. YOUR CONSIDERATION OF THIS PROPOSAL, ONCE YOU CONSIDER THIS PROPOSAL, WE REALLY EMPHATICALLY ASK THAT YOU DENY IT. LASTLY, THE BUILDING ON THE TOP NORTH OF THE, IT'S ON A HILL. THERE'S NO WAY A BUILDING CAN BE PUT THERE. IT HAS, THERE'S GOTTA BE A LOT OF LAND WORK. SO I DON'T THINK THERE'S A GOOD PLAN FOR THIS LAND. THANK YOU FOR YOUR TIME. [03:25:02] THANK YOU MS. MERLEY. JOE EGAN, HONORABLE MAYOR, COUNCIL MEMBERS, THANK YOU FOR YOUR TIME. THANK YOU FOR YOUR ATTENTION AND THANK YOU FOR YOUR SERVICE. MY WIFE AND I HAVE BEEN RESIDENTS OF WYNWOOD ESTATES FOR 11 YEARS. WE HAVE COME TO KNOW MANY OF THE RESIDENTS AND HAVE A SHARED MANY JOYFUL OCCASIONS WITH THEM. WE ARE A CLOSE KNIT GROUP. WE PURPOSELY SELECTED THIS NEIGHBORHOOD BECAUSE OF THE AESTHETICS OF THE SETTING, THE QUIETNESS OF THE ENVIRONMENT, AND THE OVERALL FEELING YOU GET JUST DRIVING INTO THE COMMUNITY. OUR NEIGHBORHOOD CELEBRATES GATHERINGS WITH HAY RIDES DURING FALL FESTIVAL, COOKIE SWAPS AT CHRISTMAS AND OTHER FUN GET TOGETHERS. SOME YEARS AGO WE HOSTED OUR DAUGHTER'S WEDDING IN OUR BACKYARD. IT WAS BEAUTIFUL. AND THIS WEEKEND WE ARE HOSTING HER FIRST CHILD'S REVEAL. THERE ARE MANY SUCH STORIES THAT OUR NEIGHBORS, OUR FRIENDS, COULD SHARE. AS WITH MANY OF THE RESIDENTS, THIS HAS BECOME OUR FOREVER HOME. MY WIFE AND I ARE HER VEHEMENTLY OPPOSED TO THIS PROPOSAL CHANGE TO THIS 10 ACRE, UH, PROPERTY FROM LOW DENSITY RESIDENTIAL TO LIGHT INDUSTRY. OUR ENVIRONMENT IS FRAGILE. THE WATER SITUATION IS ALREADY PRECARIOUS. THERE ARE QUESTIONABLE AIR AND NOISE POLLUTION CONCERNS, AND THE OVERALL AESTHETICS OF OUR BEAUTIFUL NEIGHBORHOOD IS AT STAKE. THE BUYER HAS INDICATED HE COULD POSSIBLY DECIDE TO SELL OR LEASE A PORTION OF THIS PROPERTY TO ANOTHER BUSINESS. OR IF SOMETHING SHOULD CAUSE THIS BUYER'S BUSINESS TO FAIL, WE WOULD NOT HAVE OR NOT BE ABLE TO HAVE A SAY AS TO WHAT TYPE OF BUSINESS COULD COME ONTO THIS PROPERTY. ALSO, WHAT WOULD BE STOPPING THE STOPPING POINT OF THE CREEP OF OTHER PROPERTIES PUSHING TO MAKE SIMILAR CHANGES ONCE CHANGED, OUR BEAUTIFUL COMMUNITY WOULD BE FOREVER CHANGED. WE HAVE NOT WISHED THIS SITUATION ON ANY OF YOU OR YOUR HOMES OR YOUR COMMUNITIES. PLEASE VOTE AGAINST THE CASE PA 20 21 11 601 0 4. THANK YOU FOR YOUR TIME. THANK YOU MR. EGAN. ALRIGHT, THAT IS EVERYONE WHO SIGNED UP TO SPEAK ON ITEMS THAT REMAIN ON CONSENT. SO WE'RE GONNA MOVE NOW INTO MR. MY NAME IS MICHAEL DOD DESK. MICHAEL, WHAT'S YOUR LAST NAME? MICHAEL DODD. SIR. DOD? YES, SIR. DO WE HAVE MICHAEL ON THE, OKAY. UM, AND WHAT ITEM IS THAT? MR. NUMBER? 48, SIR. 48. OKAY. I DON'T HAVE YOU ON THE LIST, BUT COME ON UP. MR. DODD. THANK YOU VERY MUCH FOR ITEM NUMBER, UH, 48. UM, THIS WOULD BE REGARDING, UH, CASE NUMBER PA 2 0 1 2 1 1 6 0 0 1, UH, ZERO FOUR, UM, GREENS. UM, MAYOR NUREMBERG AND CITY COUNCIL. UM, THANK YOU VERY MUCH FOR LETTING ME COME UP AND THANK YOU FOR ALL YOUR HARD WORK DURING THE RECENT PANDEMIC AND ALL OUR COVID RESTRICTIONS. THANK YOU FOR ALL YOUR HARD WORK FOR THAT. APPRECIATE THAT. UM, MY NEIGHBORHOOD IS BEING THREATENED FOR, UH, A POSSIBLE HEALTH HAZARD AND PROPOSED INDUSTRIAL SITE, UM, THAT WILL OFFER, WE HAD A MEETING ON TUESDAY AND THE THE FUTURE OWNER SAID THAT HE WAS GONNA OFFER POWDER COATING AND AT AN INDUSTRIAL LEVEL, UM, I'M MASTER PREPARED AND DOCTORAL PREPARED. UM, AND ALSO MY BACKGROUND IS NURSING. SO I AM, UH, THIS IS MY SCOPE TO DO CONDUCT THIS TYPE OF RESEARCH AND LOOK THESE THINGS UP. SO, UM, POWDER COATING AND WELDING SERVICES, UM, THEY ARE, UM, I WENT IN RESEARCHED THE, UH, ENVIRONMENTAL PROTECTION AGENCY, THE E P A, ANALYZING THE VOLATILE ORGANIC COMPOUNDS, THEY CALL THEM VOCS. FROM THE ADMISSIONS OF THE PROCESS OF POWDER COATING AND SURFACE COATING AND THE EFFECTS OF THE HAZARDOUS AIR POLLUTIONS AND ENVIRONMENTAL HEALTH CONCERNS, MANY CONTRIBUTE TO THE PROCESS OF, OF, UH, SURFACE POWDER COATING. THERE'S THESE VOCS. THEY EMIT, UM, SUPER FINE PARTICLES THAT ARE GREATER THAN 10, UH, MICROMETERS IN DIAMETER. THE CHARACTERISTICS OF THESE PRODUCTS, UM, THEY DO CAUSE AS THEY DRY, IT DEPENDS HOW THICK THESE POWDER COATINGS ARE. THEY DO EMIT, UM, SOME EMISSIONS. AND THE, THE MORE VISCOSITY, THE GREATER THE EMISSIONS AS THEY DRY. THERE'S ALSO OTHER CHEMICALS YOU COULD USE IN THESE METAL POWDERS TO BE ABLE TO HAVE THEM DRY FASTER. UM, [03:30:01] ALSO I FURTHER, FURTHER RESEARCH FROM THE NATIONAL INSTITUTE OF OCCUPATIONAL SAFETY AND HEALTH AND CENTERS FOR DISEASE CONTROL, UH, OUTLINES HEALTH AND SAFETY, UH, PUBLICATIONS TO REDUCE POTENTIAL ENHANCERS, HAZARDS OF WORKING WITH THESE METAL POWDERS. UM, FROM THE, UM, FROM THE INHALATION SKIN CONTACT AND LONG-TERM EXPOSURE TO THESE, TO THESE, UH, VOCS AND ALSO POSSIBLE FIRE, UM, FIRE RISKS AS WELL. UM, THE NATIONAL INSTITUTE FOR OCCUPATIONAL SAFETY ALSO HAS WORKPLACE SAFETY CITATIONS THAT YOU CAN POST. AND THESE ARE THE KIND OF THINGS YOU HAVE TO ASK YOURSELF AS YOU WORK WITH THESE, AS YOU WORK WITH THESE VOCS. IS, UM, COULD, COULD THE WORK ACTIVITY, UH, HOW, WHAT COULD YOU DO TO REDUCE THE EXPOSURE? HOW ARE YOU HANDLING THESE POWDERS? WHAT LIKELIHOOD OF EXPOSURE ARE YOU DOING EVERYTHING YOU CAN TO REDUCE IT, REDUCE THE LIKELIHOOD OF AN EXPOSURE? SO JUST TO WORK WITH THESE CHEMICALS IN, IN YOUR WORKPLACE. CAN YOU IMAGINE WHAT WOULD HAPPEN IF WE GET EXPOSED IN OUR NEIGHBORHOOD AT THIS LEVEL TO THESE VOCS? SO ONE OF THE THINGS I CAN SAY IS SAY, YES, YOU, WE CAN DO SOMETHING. WE HAVE AN OPPORTUNITY RIGHT NOW IS TO VOTE AGAINST THIS PLANNED AMENDMENT. UM, AND, UM, YOU KNOW, WE HAVE A NEIGHBORHOOD OF 500 ACRES. IT'S, YOU KNOW, 70 PLUS YEARS OLD, 240 LOTS. IT'S NOT MORE THAN 240 LOTS, IT'S 240 HOMES. PEOPLE LIVE THERE. WE'VE GOT OUR TREES, WE'VE GOT OUR DEER, AND WE'VE GOT ALL OUR ANIMALS OUT THERE. AND, UM, WE JUST, YOU KNOW, JUST WOULDN'T BE CONDUCIVE INTO WAY HOW WE LIVE OUT THERE. AND WE DO CONTRIBUTE TO SAN ANTONIO WITH OUR CLEAN AIR AND OUR CLEAN WATER. AND THIS WOULD BE COMING DIRECTLY YOUR WAY AND THIS WOULD BE SOMETHING THAT WE WOULD GREATLY APPRECIATE IF YOU VOTE AGAINST, UH, PA CASE 2 0 2 1 1 1 6 0 0 1 0 4. AND I, I'LL HAVE A, A PAPER COPY THAT I'LL LEAVE THE, MY WEBSITES THAT I DID, THAT I DID DO RESEARCH FROM, PUBLISHED ARTICLES FROM THE C D C AND THE E P A AND THE, UH, AND . THANK YOU MR. DODD. NO, THANK YOU VERY MUCH FOR THE TIME. MY, MY APOLOGIES, SIR. THANK YOU. ALRIGHT. UH, THAT IS EVERYONE WHO SIGNED UP TO SPEAK ON ITEMS THAT REMAIN ON CONSENT. SO WE'RE GONNA MOVE INTO OUR COUNCIL DISCUSSION ON THE CONSENT, UH, ZONING AGENDA. SO LET ME START WITH COUNCIL MEMBER S THANKS, MAYOR. THOSE, UH, THOSE ITEMS THAT WERE JUST DISCUSSED BY ALL THESE PEOPLE, UH, MERIT A CONVERSATION, UM, BY THE FULL COUNCIL. I KNOW IT'S A SURPRISE, MAYOR, BUT I, I DIDN'T ANTICIPATE THIS MANY PEOPLE SHOWING UP. AND SO, UM, I'M GONNA ASK THAT WE PULL THEM, UM, AND HAVE, UH, INDIVIDUAL VOTES, BOTH OF THE ITEMS, THE, UH, 42 AND 43, AND THEN ITEM 48, I BELIEVE. OKAY. IF I HEAR NO OBJECTION TO THAT, WE WILL, UM, TAKE UP ACTION ON ITEMS 42 AND 43, UH, AS WELL AS 48 INDIVIDUALLY. AND THEN WE WILL MOVE ON NOW TO OUR CONSENT DISCUSSION ON, ON THE ITEMS REMAINING ON CONSENT OUTSIDE OF THOSE. OKAY. UM, LEMME REMIND MY COLLEAGUES TO, UM, CLICK ON THE, UM, WELL ACTIVE ITEM SO I CAN SEE A PROPER QUEUE AND I DON'T SEE A QUEUE FORMED HERE YET. SO, UM, LET ME LOOK AROUND THE DICE. GIMME A VISUAL SIGNAL IF YOU'D LIKE TO DISCUSS ITEMS THAT REMAIN ON CONSENT. OKAY. IF NO DISCUSSION THEN, AND JUST AS A REMINDER, ONE SECOND, WE ARE GONNA TAKE ACTION ON THE CONSENT ZONING AGENDA, WHICH IS ALL ITEMS SAY FOR THE THREE THAT WERE CONTINUED ITEMS 30, 31, 42, 43, 44, 45, AND 48. HEARING. NO FURTHER DISCUSSION, PLEASE VOTE. MOTION CARRIES. OKAY, WE'LL MOVE ON TO OUR INDIVIDUAL ZONING ITEMS. NOW WE'LL START WITH ITEM 30. AGENDA ITEM NUMBER 30 IS A REZONING FROM R FIVE TO R FIVE CD WITH A CONDITIONAL USE FOR TWO DWELLING UNITS LOCATED AT 3 0 7 TANGLEWOOD. STAFF RECOMMENDS DENIAL ZONING COMMISSION RECOMMENDS APPROVAL. 26 NOTICES MAILED THREE IN FAVOR, ZERO OPPOSED. TWO IN FAVOR OUTSIDE THE 200 FOOT BOUNDARY. COUNCIL MEMBER BRAVO. MOTION TO APPROVE. ALL RIGHT, THERE IS A MOTION BY BRAVO, SECOND BY ROCHA GARCIA. ANY DISCUSSION ON ITEM 30? ANYTHING? HEARING NONE, ANYTHING PLEASE VOTE. MOTION CARRIES. ITEM 31, AGENDA ITEM NUMBER 31 IS A REZONING FROM R SIX TO R SIX CD WITH A CONDITIONAL USE FOR TWO DUPLEXES LOCATED AT FIVE 19 B STREET. STAFF AND ZONING COMMISSION RECOMMEND APPROVAL. 17. NOTICES MAILED THREE IN FAVOR. ZERO OPPOSED GOVERNMENT HILL ALLIANCES IN SUPPORT. EIGHT NOTICES OUTSIDE. [03:35:01] 200 FOOT RECEIVED IN FAVOR. 31. NOTICES RECEIVED IN OPPOSITION. ALRIGHT, WE HAVE ONE CITIZEN SIGN NOTE TO SPEAK ON ITEM 31 ROSE HILL. GOOD EVENING, MAYOR. COUNCILMAN RODRIGUEZ. MY NAME IS ROSE HILL, PRESIDENT OF GOVERNMENT HILL ALLIANCE NEIGHBORHOOD ASSOCIATION. UH, TODAY I'M HERE, UH, ON ALL DEVELOPMENT CASES THAT WE ENCOURAGE, I SAY, UH, DEMAND ALL DEVELOPERS TO MEET WITH THE COMMUNITY AND HOMEOWNERS WITHIN THE 200 FEET TO LET THEM KNOW WHAT PROJECT THEY WANT TO BRING IN OUR COMMUNITY. WE ALLOW THEM TO PRESENT OUR MONTHLY MEETINGS WHERE A PUBLIC CAN ATTEND, LISTEN, AND ASK QUESTIONS. THIS PROJECT AND THE OWNER HAVE FOLLOWED THE PROCESS THAT WE USE IN GOVERNMENT HILL. OTHERWISE I WOULD NOT BE STANDING BEFORE YOU TODAY IN SUPPORT OF THAT PROJECT, THE OWNER DID EVERYTHING ASKED OF DISTRICT TWO AND OF THE GOVERNMENT HILL ALLIANCE AND OUR COMMUNITY. ALL VOICES MUST BE HEARD, BUT TODAY IS MOST CLEAR AND CONCERNS ME THAT THE HOMEOWNERS WITHIN THE 200 FEET HAVE NO IMPORTANCE OF THEIR SAY SO THAT THE RENTERS ARE MORE IMPORTANT. THE CITY SENDS OUT TO ALL HOMEOWNERS WITHIN THE 200 FEET NOTIFICATIONS, BUT NOT TO RENTERS. DOES THAT NEED TO BE CHANGED? ALL MEETINGS HELD WERE, IF THE ZONING ATTENDED, WERE ALL SATISFIED AS FAR AS WE KNEW ON EVERY MEETING THAT WE HELD, ANY ADDITIONAL MEETINGS WE HELD, THERE WERE ADDITIONAL DEMANDS PUT ON. THE REQUESTS THAT WERE MET. WERE IN REGARDS TO SETBACKS, HEIGHTS THAT YOU NORMALLY FOLLOW WITHIN A HISTORIC AREA. THIS PROPERTY IS NOT IN A HISTORIC AREA. I ASK OUR COUNCILMAN TODAY, NOT TO DENY IT, BUT TO ASK FOR A CONTINUANCE. BECAUSE IF THE ALLIANCE IS TELLING HOMEOWNERS THAT, UM, WITHIN THE 200 FEET THAT THEY ARE THE ONLY ONES THAT HAVE THE RIGHT TO SAY YES OR NO, AND WE'RE WE'RE LEAVING OUT THE RENTERS, THEN MAYBE WE NEED TO GO BACK AND TALK TO THOSE RENTERS AT LEAST TO GIVE THEM AN OPPORTUNITY. 'CAUSE I TOLD EACH AND EVERY DEVELOPER, YOU NEED TO KNOCK AT THOSE DOORS, YOU NEED TO LET THE HOMEOWNERS KNOW. BUT I DID NOT TELL THEM THAT THEY NEEDED TO GET A MAJORITY OF RENTERS TO BE ABLE TO SUPPORT THIS PROJECT. SO IF I'VE MISINFORMED THEM, I THINK IT'S ONLY RIGHT FOR THE APPLICANT TO HAVE THAT OPPORTUNITY TO GO BACK AND TALK TO THE COMMUNITY ONE MORE TIME. ONE OF THE MOST DETERIORATED PARTS OF GOVERNMENT HILL WAS GONNA HAVE AN OPPORTUNITY TO GET SPRUCED UP. THIS WAS GONNA GIVE AN OPPORTUNITY FOR THOSE LANDLORDS IN THAT AREA TO BE ABLE TO SAY, YOU KNOW WHAT? SOMETHING NICE IS HAPPENING IN THAT AREA. IT'S GONNA BE TIME FOR YOU TO DO SOMETHING ABOUT YOUR PROPERTIES. CLEAN UP THOSE NEIGHBORHOODS, CLEAN UP YOUR YARDS AND SPRUCE UP YOUR PROPERTIES. ECONOMIC DEVELOPMENT NEEDS TO HAPPEN WHERE IT IS NEEDED. THERE'S GOOD DEVELOPMENT AND THERE'S BAD DEVELOPMENT. THIS IS GOOD DEVELOPMENT. IT WAS TWO DUPLEXES IN A VERY BAD PART OF GOVERNMENT HILL THAT I HOPED THAT WE ARE TRYING VERY DESPERATELY TO, TO SPRUCE UP THE NEW DEVELOPMENT COULD HAVE HELPED THOSE HOMEOWNERS START TO MAKE THEIR COMMUNITY LOOK UP AND BRING BEAUTY THERE. THERE WAS HOPE. THERE WERE DIFFERENT THINGS THAT WE HAD AT THE MEETINGS. UH, WE ASKED, UH, SUPPOSEDLY THE OWNER TO SIGN DEEDED RESTRICTIONS, UH, UH, UH, APPROVE OR AGREE TO, UM, UM, THE RE RENTAL RATES. AND I DIDN'T SEE ANY SETBACK, BUT I DID NOT HEAR THEM SAY THAT WE HAVE TO HAVE IT IN WRITING. SO I THINK WE NEED TO ASK FOR A CONTINUANCE TO GO BACK TO THE COMMUNITY. THANK YOU. ABLE. THANK YOU MS. HILL, AND ABLE TO INFORM. THANK YOU. COUNCILMAN MCKEE RODRIGUEZ. THANK YOU MAYOR. AND THANK YOU MS. UH, MS. HILL FOR COMING. UH, I REALLY LOVE YOUR LEOPARD SHIRT. YOU KNOW, IT'S MY FAVORITE PRINT. UM, I'LL ACKNOWLEDGE NUMBER ONE, SOMETHING YOU SAID, UM, ABOUT, I'LL SAY THAT THE ONUS ISN'T NECESSARILY ON YOU TO GO, UM, TO LET DEVELOPERS KNOW THAT THEY HAVE TO KNOCK ON DOORS AND THEY HAVE TO, UM, SPEAK WITH ALL THE RESIDENTS. MY OFFICE HAS MADE IT VERY CLEAR THAT WE EXPECT COMMUNITY SUPPORT AND THAT THAT COMMUNITY INCLUDES BOTH HOME HOMEOWNERS AS WELL AS TENANTS. UM, WE ARE A CITY OF RENTERS, AND SO TO COMPLETELY DISCOUNT THOSE VOICES, UM, ISN'T SOMETHING THAT I'M GOING TO SUPPORT. UM, I WANT TO ACKNOWLEDGE THAT SO MANY OF THE CASES THAT WE'VE SEEN HERE THAT HAVE BEEN CONTROVERSIAL, THEY ARE IN GOVERNMENT HILL. UM, AND IT'S NO SECRET THAT THERE'S TWO GOVERNMENT HILL GROUPS THAT ARE IN OPPOSITION OF ONE ANOTHER REALLY FREQUENTLY. AND THAT HAS IMPACTED NOT JUST THOSE GROUPS, BUT THE, THE NEIGHBORS, THE PEOPLE WHO ARE LIVING THERE AND THE ZONING CASES. AND IT'S GOTTEN TO THE POINT WHERE DEVELOPERS ARE SAYING, I DON'T WANNA DEVELOP IN GOVERNMENT HILL, OR THEY'RE TELLING EVERYBODY ELSE, LIKE, STAY AWAY FROM GOVERNMENT HILL. AND I CAN'T SAY, I CAN'T CONVINCE THEM OTHERWISE BECAUSE, BECAUSE THIS, UH, CONTENTION HAS BEEN SO ONGOING. AND SO I WANT TO WORK WITH YOU AND I WOULD LIKE TO WORK WITH THE OTHER GROUP AS WELL TO COME TO SOME SORT OF CONSENSUS. WE NEED TO HAVE MEETINGS WHERE EVERYONE FEELS WELCOME AND WHERE EVERYONE FEELS SUPPORTED AND AS THOUGH THEIR, THEIR VOICE IS GOING TO BE HEARD. [03:40:01] THEIR CONFLICT AND CONTENTION NEEDS TO STOP. AND THIS HAS BEEN A CASE THAT HAS BEEN CONTINUED MULTIPLE, MULTIPLE TIMES. I'LL START OFF BY, UH, I'LL MOVE AWAY FROM THAT A LITTLE BIT AND SAY THAT I'M UPSET TO LEARN THAT STATE LAW REALLY ONLY TRULY CONSIDERS FEEDBACK FROM PROPERTY OWNERS VERSUS RENTERS BECAUSE RENTERS DO MAKE UP SUCH A, SUCH A SUBSTANTIAL PART OF OUR COMMUNITY. AND I'LL SAY THIS PROPOSAL HAS EXTENSIVELY BEEN DISCUSSED AS AN AFFORDABLE DEVELOPMENT, UM, THROUGH VARIOUS COMMUNITY MEETINGS AND CONVERSATIONS. AND IT'S A PRIORITY FOR MYSELF AND MY DISTRICT THAT DEVELOPERS HEAR THE CONCERNS. UM, AND IT WASN'T MADE CLEAR THAT THE APPLICANT COULD COMMIT TO THE AFFORDABLE, UH, THE AFFORDABILITY RATE THAT HE PROMOTED TO OUR COMMUNITY. AND THAT'S, THAT'S A MAJOR REASON WHY I CANNOT SUPPORT THIS CASE. IN ADDITION TO THE CLEAR OPPOSITION, UM, I WANNA MAKE IT CLEAR TO ALL RESIDENTS AND LEADERS IN GOVERNMENT HILL, IN OUR NEIGHBORHOODS AND THROUGHOUT OUR DISTRICT, THAT EVERYONE IS ABLE TO HAVE A VOICE AND A POSITION THAT I WILL CONSIDER PERSONALLY BEFORE VOTING ON CHANGES TO OUR DISTRICT. I'M NOT GOING TO BE MAKING DECISIONS BASED OFF OF CONTENTION OR BASED OFF OF WHICH GROUP I LIKE MORE. IT HAS NOTHING TO DO WITH THAT AND IT WILL NEVER DO THAT. IT IS ALWAYS GOING TO BE ABOUT THE COMMUNITY AND THE BEST DECISION THAT I CAN MAKE WITH THE INFORMATION THAT I HAVE AVAILABLE TO ME. AND IN THIS CASE, THE 30 PLUS SIGNATURES OF EXISTING RESIDENTS, PEN AND OPPOSITION ARE VERY CLEAR. AND THE DEVELOPMENT AS PRESENTED IS NOT A GOOD FIT FOR THE NEIGHBORHOOD. AND I WILL STAND WITH THE, UH, THOSE MEMBERS OF THE COMMUNITY WHO ARE IN OPPOSITION, WHETHER THEY ARE HOMEOWNERS OR TENANTS. SO THAT BEING SAID, I MOVE TO DENY, UM, THIS ITEM. OKAY, THERE WAS A MOTION TO DENY. ITEM 31. WAS THERE A SECOND? SECOND. SECOND. OKAY. THERE'S A MOTION AND A SECOND FOR DENIAL OF ITEM 31. ANY FURTHER DISCUSSION? HEARING NONE, PLEASE VOTE. MOTION CARRIES. MOVE ON TO ITEM 42 AND 43. AGENDA ITEM NUMBER 42 AND 43 AMENDING THE U T S A AREA REGIONAL CENTER PLAN FROM COMMUNITY COMMERCIAL TO MEDIUM DENSITY RESIDENTIAL FROM C TWO AND R SIX TO MF 25. GENERALLY LOCATED AT 64,000 BLOCK OF DAYS. ALL ROAD STAFF PLANNING AND ZONING COMMISSION RECOMMEND APPROVAL. 15. NOTICES MAILED TWO IN FAVOR. ZERO OPPOSED OAKMONT DOWNS NEIGHBORHOOD ASSOCIATION IS OPPOSED. AND THERE ARE 33 OPPOSED OUTSIDE THE 200 FOOT COUNCIL MEMBER BLA. THANK YOU MAYOR. THANK YOU TO ALL THE NEIGHBORS WHO SHOWED UP AND HAVE TAKEN AN INTEREST. UM, WE AT MY OFFICE CALL THIS THE STUBING FARMHOUSE PROPERTY. UH, FOR, UH, JUST FOR THE SAKE OF, OF MAKING SURE THAT WE ALL REMEMBER, THERE IS A FARMHOUSE THAT, UH, CAME BEFORE THIS COUNCIL. UM, AND THERE WAS AN APPLICATION STARTED BY THE, UM, THESE NEIGHBORS, UH, TO PRESERVE IT AS A HISTORIC ASSET. UM, WE ON COUNCIL DENIED THAT REQUEST AND INSTEAD I ENDED UP WORKING WITH THE BUILDER, UM, TO FIGURE OUT A WAY TO CREATIVELY PRESERVE THAT ASSET. THAT ASSET WILL NOW BE PRESERVED. UM, AND DEEDED RESTRICTIONS HAVE BEEN NEGOTIATED AND WE'VE RECEIVED THOSE DEEDED RESTRICTIONS TODAY, UM, SIGNED AND FILED. UM, THIS CASE IS ONE THAT WE'VE DELIBERATED QUITE A BIT ABOUT. UM, NOT AN EASY ONE. AND WE'VE BEEN WORKING WITH THE NEIGHBORHOODS NEXT DOOR, UH, TO REALLY HAMMER OUT WHAT IT IS THAT WE COULD DO TO MAKE SURE THAT BOTH PEOPLE OR BOTH PARTIES, UM, WERE HAPPY, OR AT THE VERY LEAST, EQUALLY UNHAPPY WITH THIS. UM, THE, UH, WE HAVE PRESERVED THIS HISTORIC BARN, UM, AND WE ARE ALSO PRESERVING, UM, SOME REALLY IMPORTANT ENORMOUS TREES, SOME HERITAGE TREES ON THERE. UM, THE CORNER OF DISTRICT EIGHT, UH, DAYS OF ALLAH AND JV BACON DOES FALL UNDER THE U T S A REGIONAL CENTER PLAN, WHICH IS PART OF THE CITY'S SA TOMORROW PLAN. UM, AND THAT PLAN, UH, STATES THAT MIXED USE WITH, UH, INCLUDES BOTH COMMERCIAL AND HIGH DENSITY HOUSING AS APPROPRIATE FOR THE LOCATION. UM, THIS DEVELOPMENT ON TOP OF THAT, UH, WE MANAGED TO NEGOTIATE THAT IT WILL HAVE, UM, WALKABLE ACCESS TO THE NEARBY FOX PARK, UH, AND THE LINEAR CREEK WAYS. UM, AND MORE IMPORTANTLY, WE, WE CHECK THIS OUT. IT TURNS OUT THAT BY BUILDING THIS, UM, THIS PROJECT OUT, WE'RE ALSO GONNA HAVE W UH, WALKABLE AND BIKEABLE CONNECTIVITY TO ALL THE WAY TO U T S A, UH, FOR PEOPLE ALL OVER THE REGION. UM, AS FAR AS, UH, INFRASTRUCTURE UPGRADES AND TRAFFIC, UH, WE ALSO NEGOTIATED AS PART OF THIS, UH, DEAL AND WE'RE GONNA BE GETTING A NEW STOPLIGHT, UM, RIGHT THERE. AND, UM, THAT WAS APPROVED BY, UH, CITY STAFF AND CITY STAFF ALSO APPROVED [03:45:01] THIS PROJECT. SO DID THE ZONING COMMISSION AND SO DID, SO DID PLANNING, UM, WHICH IS WHY, UH, MAYOR I MOVED TO APPROVE. AND I APPRECIATE EVERYBODY COMING OUT. UM, AND I KNOW THAT WE'RE NOT ALWAYS GOING TO AGREE ON THIS, BUT, UM, I HAVE A, I HAVE A RESPONSIBILITY TO LOOK AT THE ENTIRE REGION AS OPPOSED TO JUST ONE CORNER. AND, UM, FOR THE SAKE OF THE ENTIRE REGION, UM, HOUSING IS AT A SHORTAGE AND, UH, THERE'S NEVER A RIGHT TIME OR A GOOD PLACE FOR THIS AND NOBODY EVER LIKES, UH, MULTI-FAMILY NEXT DOOR TO THEM. BUT, UM, IN THIS ONE INSTANCE, UH, THIS IS THE, UH, A DIFFICULT PILL THAT WE'RE ALL GONNA HAVE TO SWALLOW, INCLUDING ME 'CAUSE I LIVE, UH, RIGHT AROUND THE CORNER. SO, THANK YOU VERY MUCH, MAYOR. SECOND. ALL RIGHT, THERE'S A MOTION AND A SECOND FOR APPROVAL OF ITEMS 42 AND 43. ANY DISCUSSION? HEARING NONE. COUNCIL MEMBER VERAN. THANK YOU. AND I WANNA THANK THE NEIGHBORS FOR COMING AND TALKING ON THIS ISSUE. AND I KNOW THIS WAS A DIFFICULT ONE FOR COUNCILMAN PALIS, BUT AGAIN, I THINK THIS GOES INTO HOUSING AND GOES INTO THE LARGER CONVERSATION THAT WE'RE GOING TO NEED TO HAVE ABOUT, UH, TRAFFIC AND TRAFFIC FLOW. UM, I WOULD LOVE TO, AND WE HAVE DEVELOPMENT COMING IN DISTRICT THREE, BUT PEOPLE WANT TO LIVE NEAR THE JOBS AND THE JOBS ARE IN DISTRICT EIGHT. SO, UH, THANK YOU FOR COMING AND SHARING. HOPEFULLY WE CAN GET SOME TRAFFIC LIGHTS AND THINGS DONE, AND I'M COMMITTED TO DO THAT TO, TO MAKE SURE THAT THE TRAFFIC IS ALLEVIATED. SO, UM, THANK YOU FOR BRINGING THIS FORWARD AND TAKING IT OFF. CONSENT COUNCILMAN PLACE. ALL RIGHT, THANK YOU. COUNCIL MEMBER GRO, ANY FURTHER DISCUSSION? ALL RIGHT, HEARING NONE, PLEASE VOTE. MOTION CARRIES ITEMS 44 AND 45 AMENDING THE NORTH SECTOR PLAN. CAN YOU HEAR ME? AMENDING THE NORTH SECTOR PLAN FROM SUBURBAN TIER TO GENERAL URBAN TIER FROM C THREE NA TO MF 33, LOCATED AT 11 0 4 1 SOUTH HAUSMAN ROAD. STAFF RECOMMENDS DENIAL WITH AN ALTERNATE RECOMMENDATION OF MF 18 PLANNING AND ZONING COMMISSION RECOMMENDED APPROVAL. 11. NOTICES MAILED ZERO IN FAVOR. ONE OPPOSED, ONE IN FAVOR OUTSIDE THE 200 FOOT BOUNDARY COUNCIL MEMBER PAL. THANK YOU, MAYOR. THIS IS, UM, UH, FOR ALL INTENTS AND PURPOSES, THIS IS ACTUALLY A DOWN ZONING, UH, FROM CURRENT C THREE ZONING, WHICH CAN HOST A LOT OF, UH, INTENSE USES THAT I DON'T THINK MY NEIGHBORS WANT. UM, I KNOW THAT THE MF NUMBER SOUNDS A LITTLE HIGH, BUT WE'RE TALKING ABOUT ONLY 39 UNITS ON A VERY, VERY SMALL PARCEL OF LAND. UM, AND, UM, WE BELIEVE THAT, UM, THIS WILL ALSO ADD WALKABLE CONNECTIVITY TO CONTINUE THE SIDEWALKS FROM THE ADJACENT COMPLEX ON SOUTH HAUSMAN ALL THE WAY TORU ROAD. I APPRECIATE THE SUPPORT FROM MY COLLEAGUES, I MOVE TO APPROVE. ALL RIGHT, THERE'S A MOTION AND A SECOND FOR APPROVAL OF ITEMS 44 AND 45. ANY FURTHER DISCUSSION? HEARING NONE, PLEASE VOTE. MOTION CARRIES ITEM 48, AGENDA ITEM NUMBER 48, AMENDING THE E T J M P A LAND USE PLAN FROM LOW DENSITY RESIDENTIAL TO LIGHT INDUSTRIAL, GENERALLY LOCATED AT THE INTERSECTION OF OLD BERNIE STAGE ROAD AND THUS SETTLES DRIVE. STAFF AND ZONING COMMISSION RECOMMEND APPROVAL. 15 NOTICES MAILED ZERO IN FAVOR. SIX OPPOSED, 11 OPPOSED OUTSIDE THE 200 FOOT BOUNDARY COUNCIL MEMBER S YEAH. UH, TODAY'S MY DAY FOR DIFFICULT CASES AND, UM, I APPRECIATE EVERYBODY'S PATIENCE FOR STICKING AROUND. UM, THIS ONE IS OUTSIDE THE CITY LIMITS. IT'S AN E T J CASE. UH, BUT IT'S IN, UH, IT'S A J P J B S A CASE. AND, UM, I'LL REMIND OUR, OUR FRIENDS, UM, WHO ARE WATCHING THAT STATE LAW, UM, HAS, HAS GIVEN US, AND WE TAKE THAT OBLIGATION VERY SERIOUSLY TO PROTECT, UM, THE, UH, THE ZONES AROUND OUR MILITARY BASES. UM, AND IT'S WITH THAT AUTHORITY, UM, GIVEN TO US BY THE STATE LEGISLATURE THAT, THAT I'M LOOKING AT THIS ONE AND THAT I'M, I'M GONNA MOVE TO APPROVE. UM, WE RAN THIS BY J B S A J B SS A APPROVED OF THE PLAN. UM, THIS IS LOCATED RIGHT NEXT TO THE BERNIE STAGE, UH, FIRE STATION. AND AS YOU SAW ON THE MAPS, IT LITERALLY ABUTS A, AN AIRPORT. UM, AND, UH, THE, THAT'S NOT APPROPRIATE FOR SINGLE FAMILY HOMES. UM, AND WE HAVE, UH, BEEN NEGOTIATING WITH THE, UH, WITH THE OWNER OR THE SOON TO BE OWNER ON THIS ONE. AND WE'VE NEGOTIATED A PRETTY, UH, [03:50:01] GENEROUS SETBACK, UM, TO PROTECT GREEN SPACE SO THAT, UH, WE CAN SEPARATE THE, UH, THE RESIDENTS FROM, FROM THIS PROPERTY. WE'VE ALSO, THAT THEY'VE ALSO AGREED TO CONDUCT ALL OF THEIR ACTIVITIES AND DOORS AND WE'VE MADE SURE THAT THEIR GARAGES WILL BE FACING AWAY FROM THE NEIGHBORHOODS, UM, SO THAT, UM, YOU KNOW, WE CAN MINIMIZE THE DISRUPTION TO THE NEIGHBORS. UH, WITH THAT MAYOR, I MOVE TO APPROVE, THERE'S A MOTION AND A SECOND FOR APPROVAL OF ITEM 48. ANY FURTHER DISCUSSION, SIR? WE HAVE YOUR, UH, WE HAVE YOUR STATEMENT. UH, IF YOU'D LIKE TO MEET WITH ANYONE AFTER THIS, UM, WE CAN STEP OFF. OKAY. ANY FURTHER DISCUSSION ON ITEM 48? HEARING NONE, PLEASE VOTE. MOTION CARRIES. ALRIGHT, THAT IS THE BALANCE OF OUR ZONING AGENDA TODAY. YES, SIR. UH, WITHOUT ANY FURTHER BUSINESS, THE TIME IS 3:21 PM ON THIS MARCH 3RD, 2022. UH, AND THE CITY COUNCIL IS NOW ADJOURNED. THANK YOU VERY MUCH. * This transcript was created by voice-to-text technology. The transcript has not been edited for errors or omissions, it is for reference only and is not the official minutes of the meeting.