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[00:00:09]

>> CLERK: FOR THOSE THAT DO NOT HAVE SEATS IN THE COUNCIL CHAMBERS, IT WILL BE VIEWED ON THE BIG SCREENS THERE AS WELL, SO PLEASE HELP YOURSELF IF YOU'D LIKE TO HAVE A SEAT.

THERE'S PLENTY OF ROOM IN THE COUNCIL CHAMBERS.

THANK YOU.

GOOD AFTERNOON, WELCOME TO THE CITY COUNCIL B SESSION.

>> MAYOR NIRENBERG: MADAM CLERK, BEFORE YOU START WITH ROLL CALL, I WANT TO TELL EVERYONE WHO'S STANDING UP, WE DO HAVE OVERFLOW AVAILABILITY IF YOU'D LIKE TO WATCH FROM THE COUNCIL CHAMBERS, YOU CAN HAVE A SEAT THERE.

IT WILL BE UP ON THE SCREEN.

SO IT WOULD BE MORE COMFORTABLE, I THINK FOR YOU, IF YOU'D UTILIZE THE OVERFLOW SPACE.

>> CLERK: YES, THANK YOU, MAYOR.

WELCOME TO THE CITY COUNCIL B SESSION OF OCTOBER THE THIRD.

>> CLERK: MAYOR, WE DO HAVE A QUORUM.

>> MAYOR NIRENBERG: GOOD AFTERNOON, EVERYONE.

WELCOME TO OUR CITY COUNCIL B SESSION AGENDA.

THE TIME IS 2:10 P.M. AND WE

[2. Briefing on an ordinance to amend Chapter 16 and Chapter 35 of the San Antonio City Code relating to Short Term Rentals. [Roderick Sanchez, Assistant City Manager; Michael Shannon, Director, Development Services]]

HAVE TWO ITEMS ON OUR AGENDA.

WE'RE GOING TO TAKE THEM IN OPPOSITE ORDER BECAUSE I KNOW A NUMBER OF FOLKS ARE HERE FOR THE SHORT-TERM RENTAL.

GO AHEAD, CITY MANAGER SCULLEY.

>> SCULLEY: THANK YOU, MAYOR AND COUNCIL.

GOOD AFTERNOON -- AUDIO] -- AS A RESULT OF A CITY COUNCIL REQUEST THAT WAS SUBMITTED BY FORMER CITY COUNCIL MAN MIKE GALLAGHER BACK IN FEBRUARY OF 2017, SO THERE HAS BEEN SIGNIFICANT COMMUNITY AS WELL AS COUNCIL DISCUSSION ABOUT THIS ITEM OF THE SHORT-TERM RENTALS WITHIN THE COMMUNITY OVER THE PAST YEAR AND A HALF.

THE REQUEST WAS THAT THE DEVELOPMENT SERVICES DEPARTMENT REVIEW BEST PRACTICES OF OTHER CITIES AND AROUND THE NATION AND -- WITH A FOCUS ON FIVE ELEMENTS, WHICH INCLUDED HOTEL OCCUPANCY TAXES AND OPTIONS FOR REGISTERING IN ORDER TO ADDRESS THE HOMESHARING THROUGHOUT THE CITY.

TO DO THIS, OUR DEVELOPMENT SERVICES DEPARTMENT CREATED A DIVERSE TASK FORCE OF COMMUNITY REPRESENTATIVES, STR OPERATORS, NEIGHBORHOOD ASSOCIATION LEADERS, REAL ESTATE PROFESSIONALS, HOTEL AND APARTMENT ASSOCIATIONS TO PROVIDE STAKEHOLDER INPUT.

THE COUNCIL WAS BRIEFED ON A FIRST DRAFT OF THE PROPOSED ORDINANCE DURING A B SESSION BACK IN APRIL OF THIS YEAR, AND DIRECTED STAFF TO PROPOSE ADDITIONAL CHANGES BASED ON COUNCIL'S INPUT DURING THAT POLICY DISCUSSION.

THE THEMES AT THAT TIME THAT THE COUNCIL ASKED US TO TAKE A LOOK AT WAS TO ENSURE THAT CITY INCENTIVES ARE NOT USED FOR SHORT-TERM RENTALS TO EVALUATE HOW POLICY CAN BE DEVELOPED FOR AREAS MOST IMPACTED BY WHAT WE HAVE COME TO TO REFER TO AS STRS, THE SHORT-TERM RENTALS, REVIEW THE PROPOSED FEE STRUCTURE, CONSIDER CONCERNS WITH PROPOSED SPECIAL EXCEPTION PROCESS THROUGH THE BOARD OF ADJUSTMENT, REVIEW THE PROPOSED

[00:05:01]

DENSITY WITHIN NEIGHBORHOODS AND FOR MULTIFAMILY UNITS, AND INCLUDE SELF-CERTIFICATION INSPECTIONS AS PART OF THE PERMITTING PROCESS.

SO SINCE THAT B SESSION, ADDITIONAL -- AN ADDITIONAL 10 MEETINGS HAVE BEEN CONDUCTED WITH THE TASK FORCE AS WELL AS VARIOUS STAKEHOLDER GROUPS TO DISCUSS THESE PROPOSED CHANGES THAT THE COUNCIL REQUESTED BACK IN APRIL.

THE GOVERNANCE COMMITTEE WAS BRIEFED ON THE REVISED PROPOSED ORDINANCE IN JUNE.

THE BOARD OF ADJUSTMENT PLANNING COMMISSION AND ZONING COMMISSION WERE ALSO BRIEFED OVER THE SUMMER MONTHS ON THE PROPOSALS AS WELL.

SO THIS AFTERNOON, MIKE SHANNON, OUR DIRECTOR OF DEVELOPMENT SERVICES, IS HERE TODAY TO BRIEF THE COUNCIL ON THIS FINAL PROPOSED ORDINANCE FOR YOUR CONSIDERATION, AND THEN WE'LL TAKE POLICY DIRECTION FROM THE COUNCIL THIS AFTERNOON ON HOW TO PROCEED WITH THE SHORT-TERM RENTALS.

SO WITH THAT, I'LL TURN IT OVER TO MIKE SHANNON.

>> SHANNON: THANK YOU, SHERYL.

THANK YOU, MAYOR AND COUNCIL.

WELL, HERE WE ARE AGAIN, AND IT'S BEEN A LONG PROCESS.

THIS STARTED EARLY IN 2017, AND AS MENTIONED, WE DID TALK ABOUT THIS IN APRIL.

WE GOT A LOT OF FEEDBACK FROM YOU BACK THEN, WE WORKED ON SOME OF THE CHANGES -- OR WE MADE SOME CHANGES, WE'VE GONE THROUGH A LOT OF PROCESS AND STEPS AND MEETINGS TO GET BACK HERE, SO WE'LL JUST JUMP RIGHT INTO IT.

SO AS INDICATED, AGAIN, THE COUNCIL CONSIDERATION REQUEST STARTED IN 2017, BUT WE'RE HERE TO TALK ABOUT SHORT-TERM RENTALS.

JUST REMEMBER, WE ALL KNOW THAT SHORT-TERM RENTALS ARE LESS THAN 30 DAYS, THE LESS THAN 30 DAY MARKET AND REALLY WHAT WE CAN AND SHOULD DO TO REGULATE THOSE WITHIN OUR CITY.

SO TO REMIND YOU, THE PROCESS -- YOU KNOW, WE HAD TO GET EVERYBODY TO THE TABLE, REALLY A MULTISTAKEHOLDER GROUP, AND THE CONCERN IN THE BEGINNING IS WHO SHOULD WE GET IN THIS TASK FORCE OF THE PROCESS, SO WE REALLY ASKED EVERYBODY OR ALL THESE DIFFERENT GROUPS TO COME TOGETHER.

REMEMBER WE HAD NEIGHBORHOOD GROUPS AND CITIZENS, SHORT-TERM RENTAL OPERATORS, WE HAD THE STR PLATFORMS, YOU KNOW, LIKE AIR NBN, HOMEAWAY, WE ASKED THEM TO COME IN AND WE LEARNED A THROT THROUGH THAT PROCESS.

WE ALSO HAD SOME INDUSTRY ASSOCIATIONS, APARTMENT ASSOCIATIONS, HOTEL AND LODGING AT THE TABLE, REAL ESTATE COUNCIL, WE HAD A LOT OF MEETINGS AND WE PRESENTED WHAT WAS A BALANCED ORDINANCE OR WHAT WE THOUGHT WAS A BALANCED ORDINANCE BACK IN APRIL, BUT WE DID HAVE A LOT OF COMMENT, AND YOU ASKED US TO REVISE THE ODDER -- OSHED -- ORDINANCE, TAKE THOSE KEY CHANGES AND REMIND YOU OF SOME OF THE KEY ELEMENTS THAT STAYED THE SAME.

WE DID GO TO THE GOVERNANCE COMMITTEE BACK IN JUNE WITH SOME OF THEM, THEY ASKED US TO COME BACK HERE.

ONE OTHER THING THAT I DON'T HAVE UP ON THE SLIDE HERE, THERE WAS KIND OF AN IMPORTANT RULING BY THE TEXAS SUPREME COURT ON THE TIMBERWOOD PARK HOA.

WE'LL TALK A LITTLE BIT ABOUT THAT AND HOW IT AFFECTED US.

SO IF YOU REMEMBER, ONE OF THE KEY INITIATIVES OR THE KEY DECLARATIONS OF ANY REGISTRATION ORDINANCE -- TYPES OF SHORT-TERM RENTALS, THE BIGGEST DISTINCTION THAT WE CAME OUT WITH IN THE TASK FORCE, AND THIS IS HAPPENING ALL OVER THE COUNTRY AND WORLD, IS THE WHOLE IDEA OF OWNER OCCUPIED VERSUS NONOWNER OCCUPIED SHORT-TERM RENTALS.

WE'RE GOING TO CALL THEM TYPE 1 AND TYPE 2, STILL.

TYPE 1 IS IF YOU OWN AND LIVE IN YOUR HOUSE AND YOU RENT OUT SOME ROOM OR SOME ROOMS OR MAYBE THE GRANNY FLAT OR APARTMENT IN THE BACK, YOU OWN AND LIVE THERE, THAT'S A TYPE 1.

YOU'RE RENTING OUT A PIECE OF YOUR PROPERTY, BUT YOU STILL GENERALLY LIVE THERE, HAVE CONTROL OF IT.

MOST OF THE TASK FORCE MEMBERS, INCLUDING CITIZENS, SHORT-TERM RENTAL OPERATORS, THE CONSENSUS WAS THAT WASN'T A PROBLEM OR SOMETHING THAT WE WERE CONCERNED, NOT A LOT OF NUISANCE PROBLEMS. THE PEOPLE WERE PART OF THE NEIGHBORHOOD.

SO IT'S STILL A SHORT-TERM RENTALS, IT'S STILL GOING TO BE PROPOSED TO HAVE REGISTRATION REQUIREMENT, BUT IT WAS THE TYPE 2.

AND IF YOU REMEMBER, THE OWNER -- NONOWNER OCCUPIED TYPE TWO, WHERE YOU OWN A PROPERTY BUT YOU DON'T LIVE THERE AND YOU'RE GOING TO RENT OUT THAT LIVING UNIT OR MULTIPLE LIVING UNITS ON THAT PROPERTY, THE CONCERN WAS THAT THAT'S REALLY TAKING AWAY FROM THE CHARACTER OF THE NEIGHBORHOOD, MAYBE THAT'S MORE LIKE A COMMERCIAL BUSINESS OR A HOTEL.

SO A LOT OF THOSE DISCUSSIONS HAPPENED.

WHAT WE PROPOSED BACK IN APRIL WAS IN ORDER TO BE IN A NEIGHBORHOOD, ALL OF THOSE WOULD HAVE TO GO THROUGH THE BOARD OF ADJUSTMENT PROCESS WHICH IS ASKING FOR A SPECIAL EXCEPTION.

THE FEEDBACK THAT WE RECEIVED FROM YOU-ALL WAS THAT THAT WAS GENERALLY TOO HARSH.

NOW, NOT EVERYONE AGREED, YOU ALL REMEMBER THE GOOD AMOUNT OF

[00:10:01]

DEBATE WE HAD ON THAT.

SO THE KEY CHANGE IN THIS PROPOSED ORDINANCE IS TO FIND THAT BALANCE THAT ALLOWS TYPE 2S BY RIGHT IN A NEIGHBORHOOD, BUT UP TO A CERTAIN POINT WHERE THE DENSITY IN THAT BLOCK PHASE OR THAT NEIGHBORHOOD, IF IT BECOMES OVERRUN WITH TOO MANY, WHICH IS THE MILLION DOLLAR QUESTION, HOW MANY IS TOO MANY, BUT WE'RE PROPOSING TODAY TO ALLOW TYPE 2S IN RESIDENTIAL NEIGHBORHOODS BY RIGHT WITHOUT HAVING TO GO TO THE BOA, UP TO A CERTAIN POINT.

AND THAT POINT IS -- IT'S GOING TO SOUND WEIRD, 12.5%.

YOU'RE GOING TO SAY WHY 12.5%? WELL, 12.5% IS REALLY 1/8.

IF YOU REMEMBER, WE DID HAVE A DENSITY LIMIT BACK -- IT WAS A 300-FOOT SPACING, SO TWO THINGS HAPPENED BASED ON THE FEEDBACK THAT WE RECEIVED AND SOME FURTHER ANALYSIS: ABOUT 12.5% OR 1/8 IN A TYPICAL BLOCK FACE, SO A TYPICAL GOING UP AND DOWN A STREET, WHEN YOU HIT CROSS STREETS OR ANYTHING LIKE THAT, GENERALLY THEY COULD BE 10 TO 15 OR 20 HOUSES LONG, ABOUT ONE OUT OF EVERY EIGHT IS ABOUT ONE OUT OF EVERY 300 FEET, IF YOU'RE DEALING WITH A TYPICAL 50-FOOT LOT, SO THERE WAS SOME METHOD TO THIS.

BUT GENERALLY BY GIVING A PERCENTAGE THAT WOULD ALLOW MAYBE TWO SHORT-TERM RENTALS TO BE LOCATED ON THAT BLOCK FACE, BUT MAYBE CLOSER TO THE COMMERCIAL CORRIDOR.

SO IF YOU'RE CLOSER TO THE EDGE OF MAYBE FREDERICKSBURG ROAD, WE KEEP THEM A LITTLE BIT MORE TO THE COMMERCIAL CORRIDOR, AND THEN NOT PUSH THEM INTO THE MORE OF THE RESIDENTIAL PART OF THE NEIGHBORHOOD.

SO THAT'S JUST AN ADDITIONAL WAY TO LOOK AT DENSITY.

SO THAT'S WHAT WE'RE PROPOSING TODAY.

WE ALSO HAD A LOT OF QUESTIONS AND COMMENTS ON LIKE MULTIFAMILY UNITS.

AND MULTIFAMILY UNITS COULD BE A RESIDENTIAL NEIGHBORHOOD THAT MAYBE THEY HAVE AN RM4 OR MF33.

THEY MIGHT HAVE A THREEPLEX OR A FOURPLEX IN THEIR PROPERTY INSIDE OF A NEIGHBORHOOD, OR IT COULD EVEN BE THE APARTMENT COMPLEX.

SO WE'VE ADDED SOME DENSITY LIMITS FOR RESIDENTIAL, TYPICALLY, AGAIN, THAT ONE OUT OF EVERY EIGHT ARE ALLOWED BY RIGHT, AND THEN IF YOU WANT MORE THAN THAT, YOU WOULD GO THROUGH THE BOA PROCESS.

WE ALSO TALKED ABOUT, YOU KNOW, MULTIFAMILIES LESS THAN 789 ITS, YOU -- SEVEN UNITS, YOU WOULD BE ALLOWED ONE BY RIGHT AND THEN THE 12 AND A HALF%.

THE KEY THERE IS IF YOU HAD A FOURPLEX IN A NEIGHBORHOOD AND YOU LIVED THERE, YOU LIVED IN ONE UNIT AND YOU WANTED TO RENT OUT A SHORT-TERM RENTAL ON THE SECOND UNIT, THAT WOULD BE CONSIDERED A TYPE 1, BUT IF YOU WANTED TO RENT OUT THE THIRD OR FOURTH UNIT, OR BOTH, THOSE WOULD FALL UNDER THE TYPE 2 RULES, AND WE HAVE DENSITY REGULATIONS ON THOSE.

SO THAT'S HOW YOU WOULD LOOK AT THOSE.

SO BED AND BREAKFASTS ARE STILL INCLUDED IN THE CALCULATION THAT WE PROPOSED BACK IN APRIL.

SO BUT THAT KEY DENSITY LIMIT, THAT IS THE KEY CHANGE THAT WE'RE PRESENTING TODAY, ALLOWING TYPE 2S BY RIGHT UP TO A CERTAIN POINT.

AND AFTER THAT, IF THEY STILL WANT TO PROPOSE TO GET THEIR PERMIT, THEY'LL HAVE TO GO THROUGH THE BOA PROCESS AND GET THEIR SPECIAL EXCEPTION FROM THE BOA.

SO I TALKED A LITTLE BIT ABOUT THE MULTIUNIT CLARIFICATIONS ALREADY.

EVERY SHORT-TERM RENTAL UNIT, THE FULL UNIT, IF YOU HAVE A KITCHEN, BATH, BEDROOM, EACH ONE OF THOSE WILL REQUIRE A SHORT-TERM RENTAL PERMIT.

WE TALKED ABOUT ONE ADDITIONAL ACCESSORY DWELLING, SO IF I DO HAVE A HOME AND I HAVE A GRANNY FLAT IN THE BACK OR AN APARTMENT IN THE BACK, THAT'S STILL CONSIDERED A TYPE 1, BUT IF I HAD MORE ON MY PROPERTY AND I'M ALLOWED BY ZONING, YOU'LL GO THROUGH THE TYPE 2 PROCESS FOR THOSE.

AND THEN THE MULTIFAMILY UNITS UNDER COMMON OWNERSHIP.

THERE WAS SOME QUESTIONS ABOUT CONDO DEVELOPMENT OR CONDO COMPLEXES.

SO IF YOU OWN AND LIVE IN YOUR CONDO UNIT BUT YOU OWN ANOTHER ONE RIGHT NEXT TO YOU, THAT WOULD BE A TYPE 1.

BUT IF YOU BUY UP THREE OR FOUR OF THOSE, WHICH THAT'S HAPPENING IN SOME OF OUR CONDO DEVELOPMENTS, THOSE WOULD FALL UNDER -- THOSE ADDITIONAL ONES WOULD FALL UNDER TYPE 2.

WE'VE TRIED TO ACCOUNT FOR SOME OF THE QUESTIONS YOU-ALL BROUGHT TO OUR ATTENTION.

I WILL TELL YOU THAT THE MULTIFAMILY OR MULTIUNIT MARKETPLACE IS EVER CHANGING AND EVER EVOLVING.

EVEN JUST A COUPLE WEEKS AGO, ONE OF THE COMPANIES CAME TO US AND ASKED, THEY SAID WE HAVE THIS BUSINESS MODEL WHERE SOMETIMES WE TAKE OVER THE WHOLE BUILDING AND TURN IT INTO A HOTEL.

WELL, THAT'S A TYPICAL CHANGE OF USE PROCESS, WE HAVE TO GO THROUGH THE ZONING CHECKS AND BALANCES, THE BUILDING AND FIRE CODES, BUT WHAT IF WE JUST, YOU KNOW, LEASE OUT 10 APARTMENTS OUT OF 30, AND THEN WE START SUBLEASING THEM WITH THE PERMISSION OF THE OWNER.

WELL, THIS ORDINANCE WILL TAKE THAT INTO CONSIDERATION.

THEY WILL HAVE TO GET PERMITS.

THERE'S A TYPE 2 ELEMENT TO THAT, THEY'LL HAVE TO GET SOME PERMISSION PROBABLY THROUGH BOA, THAT WILL BE SOMETHING WE'LL HAVE TO KEEP WATCHING AS THIS MARKET IS EVER EVOLVING, SO THAT'S SOMETHING WE'LL BE LOOKING AT AS WE MOVE FORWARD.

BUT THE CURRENT ORDINANCE WILL BE ABLE TO ADDRESS THAT.

[00:15:03]

SO SOME OF THE OTHER KEY CHANGES WE HEARD, AND IT WAS ALREADY MENTIONED, BUT THE SELF-CERTIFICATION IN LIEU OF INITIAL CITY INSPECTION.

I THINK THIS WAS BROUGHT UP BY COUNCILMAN PERRY AND MAYBE SOME OTHERS SO THAT INITIAL CITY INSPECTION MIGHT BE BURDENSOME BECAUSE SOME OF THE SAFETY REQUIREMENTS REQUIRED IN SHORT-TERM RENTALS ARE VERY SIMILAR IF NOT THE SAME AS YOUR HOME, SMOKE DETECTORS, CARBON MONOXIDE PROTECTORS, FIRE EXTINGUISHERS.

THE OWNERS WILL SELF-CERTIFY.

OTHER JURISDICTIONS ARE DOING THIS.

I THINK NEW ORLEANS IS DOING THAT IS ONE OF THE JURISDICTIONS.

WE REACHED OUT TO THEM.

THEY HAVE NO PROBLEM.

IT'S ACTUALLY WORKING.

IT HAD STREAMLINED THE PROCESS FOR BOTH THE CITY AND THE SHORT-TERM RENTAL OPERATORS, SO WE'RE PROPOSING THAT NOW.

THAT ACTUALLY REDUCES OUR COST A LITTLE BIT.

I DON'T NEED AS MANY INSPECTORS BASED ON THE EXPECTED AMOUNT OF THESE THAT WE'LL SEE, SO THEREFORE I WAS ABLE TO ADDRESS ANOTHER COMMON THEME WAS THE REDUCTION IN FEES.

SO WE WERE PROPOSING BACK IN APRIL A $200 INITIAL FEE FOR EVERY SHORT-TERM RENTAL UNIT, BOTH TYPE 1 AND TYPE 2, AND THEN EVERY THREE YEARS HAVE A RENEWAL, A REREGISTRATION PERMIT, THAT WOULD BE 100.

SO WE'VE REDUCED THAT DOWN TO 100 INITIAL AND THEN 100 EVERY THREE YEARS.

SO WE'VE DONE THAT BECAUSE OF THE STREAMLINED CHANGES.

SO WHAT WAS ALSO PRESENTED IN APRIL WAS THE CITY HOUSING INCENTIVE.

SO THE CONCERN THERE BEING THAT IF YOU GET SOME CITY HOUSING INCENTIVES, WHICH ARE GENERALLY INTENDED TO PRODUCE HOUSING, OR I'LL JUST SAY FOR THIS, LONG-TERM HOUSING, WHETHER IT BE APARTMENTS OR OWNER OCCUPIED HOUSING R THAT YOU WOULD BE EXCLUDED FROM APPLYING FOR A SHORT-TERM RENTAL PERMIT.

OR IF YOU'RE GOING TO BE A SHORT-TERM RENTAL, YOU CAN'T GET THOSE HOUSING INCENTIVES.

GENERALLY WE AGREE WITH THAT.

WE'RE WRITING THAT INTO THE ORDINANCE.

ONE CAVEAT FOR THOSE OF YOU WHO WERE HERE YESTERDAY IN THE ECONOMIC AND WORKFORCE DEVELOPMENT COMMITTEE, THERE WAS A PRESENTATION BY CCDO AND ECONOMIC DEVELOPMENT, THERE WILL BE SOME LANGUAGE, THOUGH, IF IT'S YOUR HOUSE AND YOU WANT A TYPE 1 -- YOU WANT TO RENT OUT A ROOM OR MAYBE THAT GRANNY FLAT, THAT THOSE WOULD STILL BE ALLOWED, SOME OF THE INCENTIVES.

AND WE'VE HEARD FROM SOME OF OUR SHORT-TERM RENTAL OWNERS, ESPECIALLY THE TYPE 1S, IS THAT, GEEZ, I'M DOING THOSE SHORT-TERM RENTALS IN MY EXTRA BEDROOM OR MY GRANNY FLAT IN THE BACK IN ORDER TO KEEP UP WITH MY MORTGAGE PAYMENT, KEEP UP WITH THE TAXES.

SO WE FELT THAT WAS IN THE SPIRIT OF MAKING SURE PEOPLE CAN STAY IN THEIR HOME.

GOING TO DO TYPE 2 RENTALS, YOU WOULDN'T BE ALLOWED TO GET ANY OF THE CITY INCENTIVES.

SO, OF COURSE, WE TALKED ABOUT EVENTS AND OTHER USES.

SO SOME OF THE SHORT-TERM RENTALS ARE ALSO BEING ADVERTISED AS, HEY, COME AND RENT IT OUT FOR THE WEEKEND AND HAVE YOUR PARTY, HAVE YOUR WEDDING, HAVE YOUR BIG SHIN DIG, WHICH HAS CAUSED SOME PUBLIC NUISANCE THINGS.

SO WE'RE CLARIFYING IN THE ORDINANCE, THAT'S NOT ALLOWED.

IT'S NOT ALREADY ALLOWED BY OUR ZONING ORDINANCE, WE'RE BEING VERY STRONG ABOUT THAT.

WE HAVE SOME EXPERIENCE WITH THAT CURRENTLY, WE'VE BEEN WORKING WITH THAT PARTICULARLY WITH COUNCILMAN TREVINO AND HIS STAFF IN DISTRICT 1.

WE BEER CLARIFYING THAT -- WE'RE CLARIFYING THAT IN THE RULES AS WELL.

WE THINK THAT'S VERY IMPORTANT.

THOSE ARE THE KEY CHANGES.

AND I THINK SOME OF THE STUFF THAT DIDN'T CHANGE, OR SOME OF THE ITEMS THAT DIDN'T CHANGE, YOU'LL STILL HAVE TO REGISTER AND GET A PERMIT THROUGH DEVELOPMENT SERVICES.

THAT WILL BE TIED INTO VERIFICATION THAT YOU ARE ALREADY PAYING OR SET UP TO PAY YOUR HOT -- THE HOT OR THE OCCUPANCY TAX.

WE'VE WORKED WITH FINANCE STEP BY STEP TO MAKE SURE THAT THAT'S PART OF THE INITIAL CHECK.

SO YOU'LL HAVE TO HAVE YOUR LIST OF OWNERS OF OPERATORS WITHIN 24 HOUR, ADDRESS AND CONTACT INFORMATION.

THE IDEA THERE BEING IS IF WE DO GET CALLS, PUBLIC NUISANCE TYPE CALLS, WHETHER IT'S TYPE 1 OR TYPE 2, WE WANT TO CONTACT SOMEONE DIRECTLY.

AND MANY OF OUR SHORT-TERM OPERATORS THAT WERE AT THE TABLE, THEY WANT TO KNOW IF SOME OF THEIR GUESTS ARE HAVING A PROBLEM FOR THEIR NEIGHBORHOODS, BECAUSE THEY DO WANT TO BE THE GOOD ACTORS, THE GOOD PROPERTY OWNERS, THEY WANT TO BE A GOOD PIECE OF THE NEIGHBORHOOD, NOT A DETRIMENT.

FLOOR PLAN AND SITE PLAN, AND THEN THAT WOULD BE IMPORTANT TO ENSURE WE HAVE, YOU KNOW, KIND OF THE ESCAPE ROUTES AND WHAT HAVE YOU.

THE OTHER ONE THAT IS STILL ON THE TABLE, WHICH HAS TO BE, SO EXISTING LEGAL TYPE 2 SHORT-TERM RENTALS WOULD BE GRANDFATHERED.

THAT'S THE STATENONCONFORMING USE LAW.

THAT'S STILL IN THE ORDINANCE.

THAT WILL BE AN IMPORTANT PIECE TO CONSIDER AS WE GO FORTH, AND IF WE CHOOSE TO PASS THIS ORDINANCE, THE EFFECTIVE DATE OF THE ORDINANCE, SO RIGHT NOW THE ONLY REQUIREMENT FOR SHORT-TERM RENTALS IS TO PAY THE HOT.

THERE IS NO REGULATION OR PERMITTING, THEY'RE ALLOWED BY RIGHT IN NEIGHBORHOODS RIGHT NOW.

SO THE MORE THAT -- THE LONGER

[00:20:02]

WE GO, THE MORE ARE COMING IN LEGAL, AND THEREFORE WILL BE GRANDFATHERED, AND I HAVE THOSE NUMBERS IF YOU NEED THEM.

THERE ARE SOME INSURANCE REQUIREMENTS TO HELP PROTECT THE GUESTS, AND THEN OUR ENFORCEMENT.

THIS IS, TO ME, AS YOUR CODE OFFICIAL, YOUR BUILDING OFFICIAL, THIS IS THE MOST IMPORTANT ONE FOR ME.

SO THE ONES THAT ARE THE PUBLIC NUISANCES, THE ONES THAT ARE CAUSING THOSE PROBLEMS, WITH THE REGISTRATION PROGRAM, IF YOU DO HAVE ENFORCEMENT ACTIONS AGAINST YOU, COMPLAINTS THAT ARE VERIFIED, WE STILL ARE KEEPING IN THAT, IF YOU HAVE TOO MANY OF THOSE AND WE DEFINE WHAT THOSE ARE, IT'S BASEBALL SEASON, SO IT'S THREE STRIKES AND YOU'RE OUT.

THREE STRIKES AND WE WILL REVOKE YOUR PERMIT.

THREE STRIKES WITHIN SIX MONTHS.

SO THREE CONFIRMED COMPLAINTS IN THE PUBLIC NUISANCE VARIETY, THE ORDINANCE WILL GIVE ME THE AUTHORITY AS THE CODE OFFICIAL TO REVOKE THAT PERMIT AND THEY WON'T BE ABLE TO GET IT BACK FOR AT LEAST A YEAR.

SO WE THINK THAT'S AN IMPORTANT ONE TO KEEP THE QUOTE, UNQUOTE, BAD ACTORS OUT OF THE NEIGHBORHOODS, BUT STILL GIVE PEOPLE A CHANCE TO CLEAN UP IF THERE'S A SINGLE VIOLATION AND WORK WITH THEIR NEIGHBORS.

SO HOW WOULD WE IMPLEMENT THE PROPOSED ORDINANCE? IT'S REAL IMPORTANT, WE GOT A LOT OF FEEDBACK BOTH FROM THE TASK FORCE, THE COMMUNITY, FROM YOU-ALL ABOUT MAKING SURE IT'S A STREAMLINED PROCESS.

SO WE RECOMMEND PASSING THIS ORDINANCE.

WE ALSO RECOMMEND THAT WHENEVER WE PASS IT AND WE HAVE ACTION ON IT, WE PASS IT IMMEDIATELY, SO IT GOES INTO EFFECT, BUT THERE WILL BE A GRACE PERIOD TO RJSTER.

AND WHAT THAT WILL DO IS GIVE PEOPLE 90 TO 100 DAYS, ABOUT THREE MONTHS, TO GET ALL THEIR STUFF TOGETHER, IT WILL GIVE OUR I.T. STAFF, OUR FINANCING STAFF, DEVELOPMENT SERVICES TO FINISH UP OUR PROCEDURES IN GETTING ALL THAT STREAMLINED SO THAT THEY CAN COME IN, GET THEIR PERMITS.

BUT THE EFFECTIVE DATE OF THE ORDINANCE WILL BE THE DAY IT'S PASSED OR 10 DAYS LATER, WHICHEVER HAPPENS THROUGH NORMAL PROCEDURES, BECAUSE THAT WILL LOCK IN THE GRANDFATHERING DATE.

WE DON'T THINK IT'S APPROPRIATE TO WAIT THREE MONTHS AND STILL ALLOW PEOPLE TO GET -- CONTINUE GRANDFATHERING AND HAVE THAT NUMBER GROW.

THAT WAS A COMMON ITEM DISCUSSED FOR THE LAST 18 MONTHS.

WE'LL HAVE A WEBSITE, THE APPLICATION AND PAYMENT WILL BE THROUGH THAT WEBSITE.

IT WILL BE ACCESSIBLE FROM YOUR MOBILE DEVICE, AND THE KEY THERE IS VERY QUICKLY WE'LL HAVE SOMETHING UP FOR OUR SHORT-TERM RENTAL OWNERS AN OPERATORS, AND I WILL TELL YOU THE LONG-TERM SOLUTION HERE AS MANY OF YOU HAVE HEARD US TALK ABOUT THE DEVELOPMENT SERVICES DEPARTMENTS' LONG-TERM PERMITTING SYSTEM, WHICH IS CALLED BUILD SA, WE DID GO LIVE WITH PHASE 1 OF THAT ON MONDAY.

IT'S GOING WELL.

PHASE 2 WILL INCLUDE THAT COMPONENT DIRECTLY INTO THE PERMITTING SYSTEM, THE COMPANY THAT ACTUALLY WE BOUGHT THE SOFTWARE ALREADY HAS AN ELEMENT IF THEIR SYSTEM FOR SHORT-TERM RENTALS.

I'LL FINISH UP WITH JUST A QUICK DISCUSSION ON THE HOT.

THE HOT IS APPLICABLE, THE HOTEL OCCUPANCY TAX IS APPLICABLE TO SHORT-TERM RENTALS.

WE KNEW THAT WHEN WE STARTED THIS PROCESS.

IT WAS VERY CLEAR.

THE FINANCE DEPARTMENT COLLECTS IT FOR THE CITY AND COUNTY.

NONE OF THIS HAS REALLY CHANGED SINCE OUR LAST TIME, AND IF YOU HAVE QUESTIONS, AYE GOALING TO HAND IT OVER TO TROY AND HIS TIME, BUT IT WILL BE SOMETHING THAT WE HAVE TO CONNECT TO COLLECT, IT WILL BE TIED INTO THIS REGISTRATION.

THIS WILL HELP US, I THINK, IMPROVE OUR COLLECTIONS OF THESE, IDENTIFYING WHERE THEY ARE.

FINANCE HAS ALREADY RELEASED AN RFP TO GET A THIRD-PARTY TO LEM THEM FIND THOSE SHORT-TERM RENTAL THAT'S AREN'T PAYING THEIR HOT TAX RIGHT NOW, WE KNOW THERE'S MANY OF THEM.

THEY'LL HAVE THE ABILITY TO IDENTIFY THEM AND HELP US ENFORCE, MAYBE AN ONLINE OPTION TO PAY AND SOME OTHER BELLS AND WHISTLES TO HELP WITH THAT.

SO -- AND IF YOU REMEMBER, I -- CONTRACT FOR THIS YEAR, AS WELL AS SOME COMPLIANCE RESOLUTION OFFICERS UNDER THEIR CHARGE TO HELP WITH THIS, BECAUSE, REMEMBER, IF WE DO NOT CHOOSE TO DO A REGISTRATION ORDINANCE, STRS ARE STILL REQUIRED TO PAY THE HOT TAX, AND WE KNOW MANY OF THEM ARE NOT.

SO WE STILL HAVE TO GO OUT AND FIND THOSE THAT AREN'T AND GET THEM INTO COMPLIANCE WITH EVEN JUST THE TAX -- TAXING.

I'LL WRAP IT UP AND JUST SAY THE STAFF RECOMMENDATION IS TO MOVE FORWARD, THE PROPOSED ORDINANCE TO FULL ATO SESSION FOR ADOPTIO.

CERTAINLY, AS YOU CAN TELL, A LOT OF THE FOLKS IN THE ROOM WERE PART OF THOSE DOZENS OF MEETINGS THAT -- GOING THROUGH THE MINUTIA OF THE LANGUAGE OF THE PROPOSED ORDINANCE AND DEBATING A VERY PHILOSOPHICAL DEBATE AS TO WHAT WE COULD AND SHOULD DO.

SO THANK YOU FOR ALL OF THEM THAT HAVE BROUGHT THEIR EXPERTISE AND EXPERIENCE TO THE TABLE.

THEY'RE HERE, THEY'RE STILL INTERESTED AND I KNOW WHATEVER WE DO, THEY'LL BE STILL ENGAGED.

SO THANK YOU TO ALL OF THEM, AND WITH THAT I'LL ANSWER ANY QUESTIONS THAT YOU HAVE.

>> MAYOR NIRENBERG: GREAT.

THANK YOU R HAVE MUCH, MIKE, FOR THE PRESENTATION.

I DON'T REALLY HAVE ANY QUESTIONS.

I DID WANT TO MAKE A FEW STATEMENTS.

I THINK THAT IT CAUGHT A LOT OF NEIGHBORHOODS AND NEIGHBORHOOD LEADERS OFFGUARD WHEN THE STATE WEIGHED INTO THE ISSUE OF SHORT-TERM RENTALS IN SUCH A BLUNT INSTRUMENT KIND OF WAY, AND PREEMPTED ANY REGULATION

[00:25:01]

THAT ESSENTIALLY WOULD PROTECT THE INTERESTS OF NEIGHBORHOODS.

SO AS IT STANDS NOW TODAY, THERE'S REALLY NOTHING -- THERE'S NO VOICE FOR NEIGHBORHOODS AT THE TABLE WHEN IT COMES TO THE NEW INDUSTRY OF SHORT-TERM RENTALS, AND I THINK YOU SPOKE TO THAT AS IT RELATES TO THE PHILOSOPHY OF A NEW INDUSTRY.

ENDURANCE AND PATIENCE AS WE HAVE CONTINUED TO HAVE THIS DISCUSSION AT LEAST TWO YEARS NOW AFTER HE'S PROPOSED THIS, I THINK.

BUT ALSO TO RECOGNIZE THE FACT THAT SAN ANTONIO, I THINK ONCE AGAIN, AND WE'RE GETTING USED TO THIS, HAS TAKEN ON A VERY DIFFICULT ISSUE WITH PEOPLE ON POLAR OPPOSITE SIDES, AND HAS, I THINK, PROVIDED A TEMPLATE AND A PATHWAY FOR A BALANCED AND REASONABLE REGULATORY SYSTEM THAT GETS US CLOSE TO A WIN/WIN AS POSSIBLE, AND IN PARTICULAR, I WANT TO THANK COUNCILMAN TREVINO WHO PERHAPS HAS HIS FINGERPRINTS ALL OVER THIS IDEA THAT WE CAN HAVE A TEMPLATE THAT MAYBE THE STATE COULD FOLLOW.

I MEAN, IT'S THE SAME CAUTIOUS OPTIMISM WE HAD WHEN WE WENT INTO THE UBER/LYFT DEBATE FOR THE SECOND TIME.

SO THANK YOU, COUNCILMAN, FOR THE WORK THAT YOU'VE DONE ON THIS.

I WANT TO RECOGNIZE ALL THE FOLKS IN THE ROOM THAT HAVE BEEN WORKING HARD TO SEE IF THERE WAS A COMPROMISE TO BE FOUND.

MANY OF THE REPRESENTATIVES ARE HERE, TEKBLOCK IS HERE, I KNOW WE HAVE REPRESENTS FROM REXA, SABOR, AND WE HAVE NEIGHBORHOOD LEADERS WHO ARE HERE AS WELL.

MY ONLY CRITICISM IS THAT THERE'S A LOT OF "IF THEN" STATEMENTS IN THIS REGULATION, A LOT OF SCENARIOS THAT WILL BE POTENTIALLY CONFUSING FOR PEOPLE TO UNDERSTAND EXACTLY WHERE THEY FALL IN THE DENSITY LIMIT.

WE'LL PROBABLY NEED A FLOWCHART OF SOME KIND TO EXPLAIN IT TO -- AS WE KIND OF ROLL IT OUT TO NEIGHBORHOODS, BUT THE BOTTOM LINE FOR ME IS THIS: WE WANT TO BE ENCOURAGING OF NEW INDUSTRIES, ESPECIALLY WHEN THEY ARE MEETING A MARKET DEMAND, BUT WE ALSO -- NEIGHBORHOODS AND WE WANT TO PROTECT THEIR QUALITY OF LIFE, AND THIS IS A VERY DIFFICULT BALANCE THAT I THINK HAS BEEN STRUCK WITH THIS PARTICULAR REGULATION WHERE, ONE, NO PROTECTION CURRENTLY EXISTS FOR NEIGHBORHOODS.

SO THANK YOU TO EVERYONE WHO'S BEEN INVOLVED.

IT HAS MY FULL-THROATED ENDORSEMENT.

I DO WANT TO MAKE SURE THAT WE ARE COLLECTING HOT TAX AND WE'RE FINING THE FOLKS THAT ARE NOT REALLY IDENTIFYING THEMSELVES, SO THEY CAN DO SO IN A LEGAL AND FRIENDLY MANNER.

BUT THANK YOU, AGAIN, MIKE, FOR THE PRESENTATION.

I LOOK FORWARD TO PASSING THIS, I THINK NEXT WEEK.

SO COUNCILMAN TREVINO?

>> TREVINO: THANK YOU, MAYOR AND CERTAINLY APPRECIATE YOUR WORK AND ENDORSEMENT OF THIS PLAN.

I WANT TO SPECIFICALLY THANK YOUR CHIEF OF STAFF TREY FOR WORKING WITH CHRISTY MCCAIN ON REALLY GETTING DOWN TO SOME OF THE NUTS AND BOLTS OF THIS.

AS YOU POINTED OUT, IT CAN BE VERY COMPLEX, BUT THIS IS SOMETHING THAT IS AT THE HEART OF WHO WE ARE AS A COMMUNITY AND WE FEEL THAT THIS IS A GOOD STEP FORWARD.

I WANT TO THANK ALL THE FOLKS THAT ARE INVOLVED, YOU CAN SEE THERE'S A BIG CROWD HERE TODAY.

MAIN STAKEHOLDERS THAT HAVE BEEN A PART OF THAT AND CONTRIBUTING TO A THOUGHTFUL PROCESS, A WAY FORWARD, AND IF WE NEED TO ADJUST, WE CAN.

SO I WANT TO MENTION THAT.

I THINK THAT'S ONE OF THE THINGS YOU HAVE BEEN MENTIONING ALL ALONG, MIKE, IS THAT THIS CAN BE SOMETHING -- IF WE STILL NEED TO LEARN MORE ABOUT SOME OF THE ADJUSTMENTS WE NEED TO MAKE IN THIS ORDINANCE THAT WE CAN.

ONE EXAMPLE THAT YOU AND I WORKED WITH -- AND MY STAFF ON A SITUATION WHERE IT WAS REALLY KIND OF DIFFICULT BECAUSE AN AIRBNB WAS BEING USED ESSENTIALLY AS A PARTY HOUSE AND WE HAD TO TRY TO NAVIGATE THROUGH THAT AND CREATE SOME KIND OF PLAN AND STEP FORWARD.

I WANT TO THANKING THE OWNER OF THAT PROPERTY, THOUGH, BECAUSE WE DID MEET AND IT SOUNDS LIKE WE'RE ALL IN AGREEMENT, WE ALL HAVE A PLAN.

AS YOU POINTED OUT, I THINK, IT'S -- IT'S A GOOD THING WHEN PEOPLE ARE ACTING LIKE GOOD NEIGHBORS, AND WE HAVE MANY OF THOSE WHO ARE INTERESTED IN BEING VERY GOOD NEIGHBORS.

I WANT TO THANK THE COOPERATION OF THAT PARTICULAR HOMEOWNER, BECAUSE THEY HAVE EVERY INTENTION OF BEING GOOD NEIGHBORS.

AND SO IN NO WAY ARE WE SAYING WITH THIS ORDINANCE THAT PEOPLE ARE NOT TRYING TO BE A PART OF THEIR NEIGHBORHOOD OR BE GOOD NEIGHBORS, WE JUST KNOW THAT WE NEED SOME KIND OF REGULATION TO ALLOW US -- ALLOW THIS TO EXIST, TO BE IN OUR CITY.

[00:30:01]

AND SO I JUST WANT TO THANK YOU AS WELL FOR YOUR PATIENCE AND HARD WORK ON THIS.

I THINK THAT THIS HAS TAKEN A LOOK AT AN ISSUE BLOCK BY BLOCK AND I THINK THERE'S A LOT OF FOLKS IN OUR DISTRICT THAT WOULD TELL YOU EVERY BLOCK MATTERS.

THEIR BLOCK IS VERY, VERY IMPORTANT IN TERMS OF HOW THEY FEEL IT MAKES THEM FEEL RIGHT AT HOME.

AND SO I, TOO, WANT TO FULLY ENDORSE MOVING FORWARD ON THIS PLAN.

AND, AGAIN, WANT TO THANK CHRISTY FOR ALL HER HARD WORK IN THE OFFICE TO MAKE SURE WE COULD FIND SOME KIND OF COMPROMISE TO GET US MOVING FORWARD ON THIS.

THANKS, MIKE.

THANKS, MAYOR.

>> MAYOR NIRENBERG: THANK YOU COUNCILMAN TREVINO.

COUNCILMAN COURAGE?

>> COURAGE: THANK YOU, MAYOR.

I FEEL LIKE I'M GOING TO BE A VOICE IN A WILDERNESS, BUT I'VE BEEN THAT WAY BEFORE.

WELCOME.

THANK YOU.

I AM -- I AM -- I HAVE A GREAT AMOUNT OF OPPOSITION TO THE PART OF THIS ORDINANCE THAT DEALS WITH TYPE 2 SHORT-TERM RENTALS.

YOU KNOW, I BELIEVE IN THE SHARING ECONOMY.

AND IF PEOPLE WANT TO TAKE THEIR CARS AND DRIVE PEOPLE AROUND WITH LYFT AND UBER, THAT'S A SETTLED DEAL.

AND I HEARD THE CITY MANAGER CALL THIS HOMESHARING.

BUT TYPE 2 RENTALS ARE NOT ANYONE'S HOME.

THEY MAY BE A RESIDENTIAL BUILDING, BUT THAT'S NOT SHARING A HOME, IF YOU DON'T LIVE THERE.

IN MY OPINION, TYPE 2 RENTALS ARE NOTHING MORE THAN HOTELS BEING PUT INTO RESIDENTIAL NEIGHBORHOODS, AND IT'S BEING DONE NOT FOR THE BENEFIT OF THE NEIGHBORHOOD, IT'S BEING DONE FOR THE BENEFIT OF THE INDIVIDUAL AS A COMMERCIAL ENTERPRISE, SIMPLE AS THAT.

I'VE PASSED OUT A COUPLE OF THINGS TO MY FELLOW COUNCILPEOPLE, THE MAYOR, THE CITY MANAGER.

I WANT TO READ THAT.

IT SAYS OUR SHORT-TERM VACATION RENTALS CONTRIBUTING TO THE HOUSING CRISIS? THE RISE AND GROWTH OF A HOME AWAY FROM HOME HAS CREATED PLENTY OF DEBATE AMONGST LOCAL GOVERNMENTS -- AUDIO] -- OF SUCH RENTALS ON THE AVAILABILITY AND AFFORDABILITY OF LONG-TERM RENTAL HOUSING.

ACCORDING TO RECENT ARTICLE IN THE HARVARD LAW REVIEW, LAW AND POLICY REVIEW, THE THEORY GOES AS FOLLOWS: SHORT-TERM RENTALS REDUCES THE AFFORDABLE HOUSING SUPPLY BY DISTORTING THE HOUSING MARKET IN TWO INTERCONNECTED MECHANISMS. THE FIRST SUCH MECHANISM IS ONE OF SIMPLE CONVERSION.

ANY HOUSING UNIT THAT WAS PREVIOUSLY OCCUPIED BY A CITY RESIDENT IS NOW LISTED ON AIRBNB YEAR-ROUND AND IT IS A UNIT THAT HAS BEEN REMOVED FROM THE RENTAL MARKET.

AND HAS ESSENTIALLY BEEN ADDED TO THE COMMUNITY'S SUPPLY OF HOTEL ROOMS. THIS LEADS TO A REAL, BUT LIKELY MILD INCREASE IN RENTS AND THE EFFECT IS CONCENTRATED IN AFFLUENT OR GENTRIFYING NEIGHBORHOODS ALONG THE COMMUNITY'S CENTRAL CORE.

MORE DISCONCERTINGLY, CONVERSION REDUCES THE COMMUNITY'S ALREADY LIMITED SUPPLY OF AFFORDABLE HOUSING.

THE SECOND MECHANISM IS THE HOTELLIZATION, SO LONG AS THE PRICE OF A HOTEL ROOM, WHILE EARNING -- EXCUSE ME, SO LONG AS A PROPERTY OWNER OR LEASE OLDER CAN RENT OUT A ROOM ON AIRBNB FOR CHEAPER THAN THE PRICE OF A HOTEL ROOM, WHILE EARNING A SUBSTANTIAL PREMIUM OVER THE RESIDENTIAL MARKET OR RENT-CONTROLLED RENT, THERE IS AN OVERPOWERING INCENTIVE TO LIST EACH UNIT IN THE BUILDING ON AIRBNB RATHER THAN TO RENT TO LOCAL RESIDENTS, THEREBY CREATING COTTAGE HOTELS.

THIS DECREASES THE SUPPLY OF HOUSES AND SPURS DISPLACEMENT, GENTRIFICATION AND SEGREGATION.

NOW WHILE STILL A THEORY, MORE AND MORE EVIDENCE IS SUGGESTING THAT THESE AFFECTS ARE, IN FACT, REAL.

AS AN EXAMPLE IN 2016, A STUDY FROM THE UNIVERSITY OF MASSACHUSETTS CONCLUDED THAT IN BOSTON, MASSACHUSETTS, HOMESHARING IS INCREASING RENTS BY DECREASING THE SUPPLY OF UNITS AVAILABLE TO POTENTIAL RESIDENTS, AND THAT A ONE STANDARD DEVIATION INCREASE IN AIRBNB LISTINGS RELATIVE TO THE NUMBER OF HOUSING UNITS IN A CENSUS TRACK IS ASSOCIATED WITH AN INCREASE OF ASKING RENTS, SAYS .4 OF A%.

FOR THOSE CENSUS TRACKS IN THE HIGHEST DECILE OF AIRBNB UNITS THIS RENT IS ASKING RENT RANGE

[00:35:01]

TO 3.1% INCREASE WHICH EQUATES AT THE CITY BOSTON'S MONTHLY MEAN ASKING RENT TO AN INCREASE OF AS MUCH AS $93 A MONTH.

NOW, GIVEN, WE'RE NOT BOSTON, BUT THIS CONCLUSION IS CONSISTENT WITH OTHER INDEPENDENT STUDIES WHICH LIKE THIS RECENT PAPER PUBLISHED BY RESEARCHERS AT THE NATIONAL BUREAU OF ECONOMIC RESEARCH, THE UNIVERSITY OF CALIFORNIA, LA, AND THE UNIVERSITY OF SOUTHERN CALIFORNIA, CONCLUDED THAT ON A NATIONAL BASIS, A 10% INCREASE IN AIRBNB LEADS TO A 42 OR .42% INCREASE IN RENTS AND A .76% INCREASE IN HOUSE PRICES.

MOREOVER, WE FIND THAT THE EFFECT OF AIRBNB IN SMALLER -- IS SMALLER IN ZIP CODES WITH A LARGER SHARE OF OWNER OCCUPIERS.

A RESULT CONSISTENT WITH ABSENT LANDLORDS TAKING THEIR HOMES AWAY FROM THE LONG-TERM RENTAL MARKET AND LISTING THEM ON AIRBNB.

GIVEN THAT THE SHORT-TERM RENTAL INDUSTRY HAS GROWN BY 800% SINCE 2011, IT IS THEREFORE NOT HARD TO SEE WHY MANY PEOPLE ARE CONCERNED ABOUT THIS INDUSTRY'S IMPACT ON THE AFFORDABILITY AND THE AVAILABILITY OF LONG-TERM RENTAL HOUSING.

JUST THINK ABOUT, IF A 10% INCREASE IN THE NUMBER OF SHORT-TERM RENTAL LISTINGS IS FOUND TO LEAD TO A .42% INCREASE IN RENTS, THE ACTUAL 800% INCREASE IN SHORT-TERM RENTAL LISTINGS SINCE 2011 WOULD BE RESPONSIBLE FOR AS MUCH AS A 33.6% RENT INCREASE OVER THE SAME PERIOD OF TIME.

FOR COMPARISON TO MEDIAN HOUSEHOLD INCOME IN THE UNITED STATES GREW ONLY 18% BETWEEN 2011 AND 2016.

I WANT TO POINT OUT THAT WE JUST WENT THROUGH A MAJOR HOUSING STUDY IN THIS CITY, AND WE KNOW THAT WE HAVE A CRISIS IN AFFORDABLE HOUSING.

I'LL BRING TO YOUR ATTENTION ONE OF THE FACTORS THAT WAS BROUGHT OUT IN REPORT ON PAGE 21, IT SAYS DROP IN OWNERSHIP RATE.

DURING A -- ALL THE CITY'S NEW HOUSEHOLDS BETWEEN 2005 AND 2016 PURCHASED A HOME WHEREAS 88% BECAME RENTERS.

FOR SAN ANTONIO, THAT MEANS A ZERO -- LOSS OF INVESTMENT OPPORTUNITY AND THE STABILITY AND QUALITY OF LIFE FOR RESIDENTS IN THE COMMUNITY.

AS A RESULT, THE OVERALL HOME OWNERSHIP RATE FELL FROM 61 TO 54%.

WE'RE SEEING A DECLINE IN HOME OWNERSHIP.

THESE RENTALS ARE TAKING HOMES THAT PEOPLE MAY WANT TO BUY AND LIVE IN, AS A WORKING FAMILY, OR TAKING HOMES THAT PEOPLE MAY WANT TO RENT AT THE COST OF A WORKING FAMILY SIMPLY OFF THE MARKETPLACE.

IN MANY PLACES IN SAN ANTONIO.

I'LL POINT OUT ONE OTHER POINT IN OUR ACTION PLAN FOR HOUSING: ACTION ITEM NUMBER FOUR IS TO PROTECT AND PROMOTE NEIGHBORHOODS.

AND OUR PRIORITY IS TO ADDRESS THE IMPACT OF RISING TAXES ON HOUSING AFFORDABILITY.

THESE HOMES THAT ARE BEING BOUGHT AND TURNED INTO HOTELS ARE RAISING THE VALUES OF THOSE PROPERTIES AND THEIR NEIGHBORHOOD PROPERTIES.

SO WE SAY ONE ON A BLOCK.

WELL, YOU MAY HAVE A BLOCK THAT HAS SEVEN OR EIGHT HOMES AND YOU CHANGE ONE, BUT THERE ARE FOUR SIDES TO EVERY BLOCK.

AND THERE ARE OPPOSITE SIDES OF THE STREET ON EVERY BLOCK, AND WE MAY BE TALKING ABOUT FOUR HOUSES ON A BLOCK OR EIGHT HOUSES WITHIN TWO BLOCKS FACING EACH OTHER.

SO THIS IS NOT SOMETHING THAT WE'RE LOOKING AT AND SAYING, OH, IT'S A LITTLE BIT OF WHAT IT DOES TO AFFECT OUR NEIGHBORHOODS.

IT'S AFFECTING THEM GREATLY.

I WANT TO GO AHEAD AND POINT OUT ONE OTHER THING THAT I'VE GIVEN YOU, IT'S CALLED WHY REGULATE HOMESHARING AND SHORT-TERM RENTALS IN THE FIRST PLACE? AND THAT'S WHAT WE'RE TALKING ABOUT TODAY.

THERE ARE MANY GOOD REASONS WHY LOCAL GOVERNMENT LEADERS HAVE FOCUSED ON FINDING WAYS TO MANAGE THE RAPID GROWTH OF HOMESHARING AND SHORT-TERM RENTAL PROPERTIES IN THEIR COMMUNITY.

TO NAME A FEW: NUMBER ONE, INCREASE TOURIST TRAFFIC FROM SHORT-TERM RENTERS HAS THE POTENTIAL TO SLOWLY TRANSFORM PEACEFUL RESIDENTIAL COMMUNITIES INTO COMMUNITIES OF TRANSIENTS WHERE PEOPLE ARE LESS INTERESTED IN INVESTING IN ONE ANOTHER'S LIVES, BE IT IN THE FORM OF INFORMAL FRIEND GROUPS OR CHURCH OR SCHOOL OR COMMUNITY-BASED ORGANIZATIONS OR DOING BUSINESS WITH LOCAL BUSINESSES.

[00:40:03]

NUMBER TWO, SHORT-TERM RENTERS MAY NOT ALWAYS KNOW OR FOLLOW LOCAL RULES RESULTING IN PUBLIC SAFETY RISK, NOISE ISSUES, TRASH, PARKING PROBLEM FOR NEARBY RESIDENTS.

NUMBER THREE, SO-CALLED PARTY HOUSES, WHICH COUNCILMAN TREVINO ALREADY ALLUDED TO.

HOMES THAT ARE CONTINUOUSLY RENTED TO LARGE GROUPS OF PEOPLE WITH THE INTENT TO PARTY CAN SEVERELY IMPACT NEIGHBORS AND DRIVE DOWN NEARBY HOME VALUES.

NUMBER FOUR, CONVERSION OF RESIDENTIAL QULEUN -- UNITS INTO SHORT-TERM RENTALS CAN RESULT IN LESS AVAILABILITY OF AFFORDABLE HOUSING OPTIONS AND HIGHER RENTS FOR LONG-TERM RENTERS IN THE COMMUNITY.

NUMBER FIVE, LOCAL SERVICE JOBS CAN BE JEOPARDIZED AS UNFAIR COMPETITION FROM UNREGULATED, UNTAXED, SHORT-TERM RENTALS WHICH REDUCES DEMAND FOR LOCAL BED AND BREAKFAST HOTELS AND MOTELS.

I MIGHT INTERJECT RIGHT HERE, AND ASK A QUESTION, DO WE KNOW HOW MANY SHORT-TERM RENTALS ARE ALREADY LISTED WITH THE CITY? HAVE IDENTIFIED THEMSELVES?

>> SHANNON: YES.

JUST UNDER FOUR -- WE'VE EVEN GONE ONLINE ON DIFFERENT WEEKENDS, 1500 TO 2,000 APPROXIMATELY, THAT'S --

>> COURAGE: THAT'S WHAT WE HEAR ABOUT OUT THERE.

AND IF WE SET UP THIS POLICY, IT SIMPLY WILL EASILY ENABLE MANY, MANY MORE INVESTORS TO BUY MANY MORE HOMES IN MANY MORE NEIGHBORHOODS AND TURN THEM INTO HOTEL RENTALS.

SOMETHING TO THINK ABOUT: IF THERE ARE SIMPLY 5,000 ROOMS AND IF YOU HAVE 2,000 HOMES AND THEY HAVE TWO OR THREE BEDROOMS EACH, RIGHT THERE THERE'S 5,000 ROOMS. AND THERE'S 365 DAYS IN A YEAR.

THAT COMES OUT TO 1.8 MILLION NIGHTS, ROOM NIGHTS, POTENTIALLY, IN THE NEXT THREE TO FIVE YEARS IN SAN ANTONIO, FOR SHORT-TERM RENTALS.

NOW, THAT'S A LOSS FOR HOTELS OF MAYBE 1.8 MILLION ROOMS BECAUSE A LOT OF PEOPLE WOULD RATHER GO TO A NICE LITTLE HOME INSTEAD OF A HOTEL.

USUALLY THEY'RE LESS EXPENSIVE, YOU FEEL A LITTLE MORE COMFORTABLE MAYBE.

BUT THAT IS A BIG RISK TO THE HOTEL INDUSTRY AND TO THOSE NEIGHBORHOODS.

I WANT TO CONTINUE TOWNS OFTEN LOSE OUT ON TAX REVENUE.

NUMBER SIX, MOST OFTEN REFERRED TO AS TRANSIENT OCCUPANCY TAX, HOTEL TAX, BED AND HOSPITALIZATION PRIVILEGE TAX AS MOST SHORT-TERM LANDLORDS FAIL TO REMIT THOSE TAXES EVEN WHEN REQUIRED BY LAW, WHICH WE'RE PERFECTLY EXPERIENCING RIGHT NOW.

NUMBER SEVEN, LACK OF PROPER REGULATION OR LIMITED ENFORCEMENT AS YOUR OFFICE INDICATES IT HAS RIGHT NOW.

OF EXISTING ORDINANCES MAY CAUSE TENSION OR HOSTILITY BETWEEN SHORT-TERM LANDLORDS AND THEIR NEIGHBORS.

AND FINALLY, THE EXISTENCE OF PSEUDOHOTELS OFTEN IN VIOLATION OF LOCAL ORDINANCES MAY LEAD TO DISILLUSIONMENT WITH LOCAL GOVERNMENT OFFICIALS THEY MAY BE PERCEIVED AS INEFFECTIVE AND PROTECTING THE INTEREST OF LOCAL TAX PAYING SENTENCES.

IN SHORT, WHILE IT MAY BE VERY LUCRATIVE FOR SHORT-TERM RENTERS, MOST OF THE DAMAGE IS FELT BY THE NEIGHBORHOOD WHO MAY NOT BE GETTING MUCH IN RETURN.

THE BIG QUESTION, THEREFORE, IS WHEHER IT MAKES SENSE TO REGULATE SHORT-TERM RENTALS, NOT WHETHER IT MAKES SENSE, BUT HOW TO DO IT TO PRESERVE AS MANY OF THE BENEFITS AS POSSIBLE WITHOUT TURNING NEIGHBORHOODS AND OTHER LOCAL COMMUNITY MEMBERS INTO INNOCENT BYSTANDERS, AND SO I WOULD CONTEND THAT -- AND PERSONALLY, I FEEL THERE'S NOTHING WRONG WITH A FAMILY THAT OWNS A HOME THAT HAS A ROOM THAT THEY WANT TO RENT OUT.

MAYBE THEY'RE RETIRED, THEIR CHILDREN HAVE GROWN AND MOVED AWAY, MAYBE THEY'VE LIVED IN THAT HOME FOR 20 OR 30 YEARS AND THEY WANT TO CONTINUE LIVING IN THAT HOME, BECAUSE THEY'RE PART OF THAT COMMUNITY.

THEY GO TO THOSE CHURCHES, THEIR CHILDREN WENT TO THOSE SCHOOLS, THEY SUPPORT THOSE LOCAL BUSINESSES, THEY KNOW THEIR NEIGHBORHOOD -- NEIGHBORS, AND WHEN THAT NEIGHBOR GOES OUT OF TOWN, THEY'LL COME TO ME AND SAY, WILL YOU WATCH MY HOUSE FOR ME? THOSE ARE THE IMPORTANT FACTORS THAT ARE ADVERSELY AFFECTED AS WE CONTINUE TO SEE MORE AND MORE NONOWNER OCCUPIED SHORT-TERM RENTALS PROLIFERATE ACROSS THE CITY, PARTICULARLY RIGHT NOW IT'S IN THE DOWNTOWN AREAS, BUT

[00:45:01]

IT'S REALLY -- YOU KNOW, EVERYWHERE IN OUR CITY.

NOW, LIKE I SAID, I DON'T MIND PEOPLE RENTING OUT A ROOM IN THEIR HOME, BECAUSE THEY'RE PART OF THE NEIGHBORHOOD.

SHORT-TERM RENTALS IS TOTALLY DIFFERENT.

AS A MATTER OF FACT, HERE IN TEXAS, THE CITY OF GRAPEVINE HAS OUTLAWED FOR YEARS SHORT-TERM RENTALS.

FOR MANY YEARS THEY DIDN'T EVEN THINK THEY NEEDED TO ENFORCE THAT, BUT NOW THEY ARE.

THE CITY OF NASHVILLE, TENNESSEE, ALLOWS SHORT-TERM RENTALS, TYPE 2 RENTALS HAVE BEEN PHASED OUT, 2020, YOU CAN NO LONGER GET A LICENSE IN NASHVILLE, TENNESSEE FOR A TYPE 2 RENTAL.

NOW, I KNOW THE STATE SUPREME COURT HAS ISSUED SOME JUDGMENT ON RENTAL PROPERTIES LIKE THIS, BUT THEIR JUDGMENT WAS IN THE TIMBERWOOD PARK SITUATION WITH A NEIGHBORHOOD THAT HAD SPECIFIC WORDING IN THEIR DEED RESTRICTIONS THAT DIDN'T SEEM TO MEET THE COURT'S INTERPRETATION OF RESIDENTS.

THAT WAS NOT A BLANKET RULING FOR EVERY NEIGHBORHOOD, IF THEY CHANGE THE WORDING IN THE NEIGHBORHOODS THEY CAN PROTECT THEMSELVES.

IT'S NOT A BLANKET RULING TELLING CITIES YOU CANNOT -- AND I'LL TELL YOU WHAT, I THINK I'M STICKING UP FOR THE PEOPLE IN MY COMMUNITY, BECAUSE I'VE ASKED THEM ABOUT THIS.

I'VE ASKED PEOPLE IN DISTRICT 9 NUMEROUS TIMES WHAT THEY THINK OF THIS.

NEIGHBORHOODS, AND SO I THINK ALL OF US NEED TO RECONSIDER BEFORE WE FINALIZE THIS ORDINANCE, AND MAYOR, I UNDERSTAND YOU'RE TRYING TO RESOLVE A VERY DIFFICULT SITUATION, BUT I DO NOT BELIEVE THAT THE RESOLUTION THAT'S BEEN PRESENTED TO US TODAY FAIRLY TREATS THE CITIZENS OF SAN ANTONIO.

THANK YOU.

>> MAYOR NIRENBERG: THANK YOU, COUNCILMAN COURAGE.

COUNCILMAN PELAEZ?

>> PELAEZ: THIS IS ONE OF THOSE SITUATIONS WHERE QUITE HONESTLY I DIDN'T WANT TO GET INVOLVED IN THIS, IN BETWEEN, YOU KNOW, RENTERS AND PEOPLE WHO ARE -- YOU KNOW, AND LANDLORDS AND PEOPLE WHO INVEST PROPERTIES.

YOU KNOW, WHEN I RAN FOR OFFICE, NOBODY IN MY DISTRICT EVER SAID, YOU KNOW WHAT, COUNCILMAN? REALLY WE WANT YOU TO TAKE UP THIS ISSUE OF SHORT-TERM RENTALS BECAUSE IT'S REALLY IMPORTANT TO US.

AND I THINK IT'S BECAUSE, IN MY DISTRICT, WE'VE GOT A LOT OF DEED RESTRICTED PROPERTIES, AND THOSE DEED-RESTRICTED PROPERTIES, ALMOST EVERY SINGLE ONE OF THEM, HAVE THESE COVENANTS AND RESTRICTIONS THAT SAY, YOU KNOW, YOUR HOME IS LIMITED TO JUST SINGLE FAMILY USE, USING IT OUTSIDE OF THAT, YOU KNOW, SINGLE FAMILY USE WILL SUBJECT YOU TO THE HOA COMING DOWN HARD ON YOU.

AND FOR THOSE OF YOU WHO AREN'T FAMILIAR WITH HOA LAW, IN HOA LAW THEY REFER TO HOAS AS [INAUDIBLE].

SOME RULE WITH IRON FISTS AND OTHERS ARE MORE SLEEPY COOL ABOUT, YOU KNOW, HOW THEY ENFORCE THEIR RULES.

BUT IT'S STILL THEIR RULES AND IT WAS STILL THEIR RIGHT TO ENFORCE THEM.

SO TO BE HONEST WITH YOU, I NEVER REALLY WORRIED TOO MUCH ABOUT THIS, BECAUSE THE MAJORITY OF MY NEIGHBORHOODS HAVE THAT PROTECTION.

AND THEN THIS TIMBERWOOD PARK DECISION CAME OUT AND, YOU KNOW, FOR THOSE OF YOU THAT ARE WONDERING ABOUT WHETHER OR NOT ELECTIONS HAVE CONSEQUENCES, GO READ IT.

IT IS ONE OF THE MOST INTELLECTUALLY DISHONEST DECISIONS YOU'LL EVER READ.

AND IT'S DANGEROUS FOR A LAWYER TO ACCUSE THE SUPREME COURT OF DISHONESTY, BUT IN THIS INSTANCE, I CANNOT INTERPRET THAT DECISION AS BEING ANYTHING OTHER THAN -- YOU KNOW, JUST HUGE LEAPS OF LOGIC.

AND IF YOU LOOK AT THE DECISION, IT LITERALLY SAYS HEY, WE USE THE WORDS SINGLE FAMILY USE IN PLAIN ENGLISH AND TO US RENTING OUT YOUR HOME IN AN AIRBNB WAY DOES NOT CONFLICT WITH THE WORDS SINGLE FAMILY USE.

I DON'T KNOW HOW ANY PERSON WHO WENT TO SCHOOL, WHERE THEY LEARNED TO READ COULD POSSIBLY INTERPRET IT THAT WAY.

BUT THAT'S THE LAW, AND THAT'S -- YOU KNOW, AND WE'RE STUCK WITH THIS REALLY TERRIBLE DECISION.

AND WHAT THE DECISION BASICALLY DID WAS IT TOOK AWAY HOMEOWNERS ASSOCIATION'S RIGHTS TO ENFORCE THEIR OWN RULES.

FORCING HOMEOWNERS ASSOCIATIONS NOW TO GO BACK AND AMEND THEIR RULES, WHICH IS A REALLY EXPENSIVE THING.

AND GO HIRE A LAWYER -- THE ONLY PEOPLE WHO ARE GOING TO WIN ON THIS ONE IS LAWYERS.

YOU KNOW, AND SO NOW IT'S BECOME A PROBLEM IN DISTRICT 8, AND NOW I'M SEEING MORE AND MORE FOLKS EXPRESSING ANXIETY, BUT WHAT ABOUT OUR RULES AND WHAT ABOUT OUR RULES? AND SO MY QUESTION FOR YOU, MIKE, IS IS IT POSSIBLE IN THIS APPLICATION THAT PEOPLE HAVE TO FILL OUT IN ORDER TO GET THEIR PERMITS AND ALL THAT, TO INCLUDE LANGUAGE IN THERE THAT SAYS, YOU KNOW, WE'RE GRANTING YOU THIS APPLICATION, BUT JUST HEADS UP, RIGHT, YOU MAY BE SUBJECTED TO HOA RULES, SO, YOU KNOW, YOUR FAIR WARNING.

IS THAT SOMETHING WE CAN DO.

>> SHANNON: YES, ABSOLUTELY.

THAT ACTUALLY CAME OUT THROUGH THE PROCESS EVEN BEFORE THE

[00:50:01]

TIMBERWOOD PARK.

SO WE DID ADD LANGUAGE TO THE ORDINANCE THAT SAYS OUR APPLICATION FOR THE PERMIT WILL INCLUDE THAT LANGUAGE.

GIVE ME ALL THE INFORMATION YOU NEED WHETHER IT'S ONLINE OR THROUGH A DEVICE YOU'LL CERTIFIED, BUT YOU ACKNOWLEDGE THERE COULD BE SOME PRIVATE CONTRACT, HOA DEEDS AND COVENANTS THAT MY PERMIT, THE CITY'S PERMIT WILL NOT SUPERCEDE SO THAT IS IN THE PROJECTED ORDINANCE.

WE THINK IT'S IMPORTANT FOR STR OWNERS AND OPERATORS TO UNDERSTAND THERE MAY BE SOME APPLICABLE RULES THAT THEY HAVE TO COMPLY WITH.

WE WANT TO BE VERY UP FRONT WITH THAT.

I THINK THAT CAME OUT THROUGH SOME OF THE BOARD AND COMMISSION PROCESS.

ONE OF THE BOARDS AND COMMISSION MEMBERS BROUGHT THAT UP, AND WE THOUGHT IT WAS A GOOD ADD-ON TO THE ORDINANCE.

AND THAT'S IN THERE AND WE FULLY SUPPORT THAT.

>> PELAEZ: SO ADDING TO THAT, LET'S ASSUME WE'RE TALKING ABOUT BUILDING PERMITS AND OTHER TOPICS THAT HAVE NOTHING TO DO WITH SHORT-TERM.

DO WE ALSO WARN PEOPLE IN THOSE APPLICATIONS, HEY, WE MAY BE GIVING YOU PERMISSION TO DO THIS BUT YOU HAVE HOA RULES AND THEY PROHIBIT YOU FROM DOING WHAT YOU APPLIED FOR.

WE DO WARN THEM?

>> SHANNON: YES.

IT'S ANY OTHER STATE LAWS THAT MAY BE APPLICABLE AS WELL.

WE'RE VERY COGNIZANT OF THERE ARE SOME DEED RESTRICTIONS, MOST FOR THAT COMMUNITY, BUT WE WANT PEOPLE TO BE ON ALERT THAT THEY HAVE TO DO THEIR DUE DILIGENCE AND BE LOOKING FOR THOSE AS WELL AND IN COMPLIANCE WITH THOSE.

>> PELAEZ: YEAH, SO I -- PHILOSOPHICALLY I APPROACH THIS FROM A -- I HATE SAYING THIS -- THIS -- -- KIND OF A VIOLATION OF EVERYTHING THAT, YOU KNOW, THE AMERICAN SYSTEM, YOU KNOW, IS ALL ABOUT, RIGHT? AND I CAN SEE WHY SOME PEOPLE ARE VERY OFFENDED, YOU KNOW, AT THE IDEA OF GOVERNMENT GETTING IN THE WAY OF THEIR INVESTMENT, ESPECIALLY IF THEY'RE NOT DOING ANYTHING ILLEGAL.

AND I'M SENSITIVE TO ALSO WHAT COUNCILMAN COURAGE JUST BROUGHT UP IS -- GOOD RESEARCH, AND THANK YOU FOR DOING THAT.

BUT I'M NOT GOING TO LET THE -- I'M NOT GOING TO LET PERFECTION BE THE ENEMY OF THE GOOD, RIGHT? I DON'T THINK WE'RE EVER GOING TO REACH A POINT WHERE, YOU KNOW, EVERYONE'S GOING TO LOOK AT WHATEVER PROPOSED ORDINANCE WE'VE GOT AND SAY, I'M WITH YOU ON THAT ONE, RIGHT? I THINK THAT THE BEST WE CAN HOPE FOR IS TO MAKE SURE THAT EVERYBODY WALKS AWAY A LITTLE UNHAPPY, BECAUSE EVERYBODY SACRIFICES A LITTLE BIT HERE.

AND I'M CONCERNED, MAYOR, I AM.

YOUR COMMISSION ON HOUSING AND, YOU KNOW, AND THE STATUS OF HOUSING HERE IN SAN ANTONIO IS ALARMING.

ALARMED US BECAUSE OF THIS VERY WELL THOUGHT OUT REPORT, BUT MY WALK AWAY FROM THAT WHEN VIEWED THROUGH THE LENS OF SHORT-TERM RENTALS IS RIGHT NOW NEIGHBORHOODS HAVE NO PROTECTION, RIGHT? QUITE LITERALLY SOMEBODY COULD BUILD OUT A NEIGHBORHOOD THAT IS, YOU KNOW, RIGHT NEXT TO FIESTA TEXAS AND ONLY -- AND MARKET IT AS, HEY, GREAT PLACE TO ALSO OWN A SHORT-TERM RENTAL, RIGHT? AND THERE WOULD BE NO PROTECTION WHATSOEVER.

AT THE VERY LEAST, THIS PROVIDES PEOPLE SOME PROTECTION.

NOT PERFECT, BUT SOME, RIGHT? AND I'VE BEEN CONSULTING WITH OUR FRIENDS OVER AT THE BOARD OF REALTORS AND OTHER HOMEOWNERS AND HOA PRESIDENTS AND FOR THE MOST PART, MOST OF THEM UNDERSTAND THAT AT THE END OF THE DAY, ALL OF US ARE GOING TO HAVE BE BIG BOYS AND GIRLS AND LIVE WITH SOME KIND OF SOLUTION.

I KNOW YOU'VE BEEN WORKING ON THIS FOR ALMOST TWO YEARS JUST TO GET TO THIS POINT.

THERE HAVE BEEN MANY ITERATIONS OF THIS THING, AND YOU AND I ATTEND HOA MEETINGS AND PEOPLE ARE EITHER FURIOUS WITH US OR THEY'RE FURIOUS WITH US, RIGHT? AND AT THE END OF THE DAY FOR THE MOST PART, WHEN YOU DO DO THAT AGAINST -- YOU KNOW, AND THAT'S THE RESULTS OF HAVING TWO CAMPS THAT DISAGREE WITH EACH OTHER, HAVING BOTH PEOPLE WALK OUT A LITTLE BIT UNHAPPY IS USUALLY THE BEST RESULT.

AND IN THIS INSTANCE, YOU KNOW, HAVING HEARD ALL THE VOICES AND REALLY UNDERSTANDING THE POLICY ISSUE, YOU KNOW, BEFORE US, I -- TO BE HONEST WITH YOU, I DIDN'T WANT TO BE HERE, BUT THIS IS WHERE WE ARE, AND THIS IS GOING TO BE A DIFFICULT CONVERSATION TO HAVE WITH OUR NEIGHBORHOODS, BUT, YOU KNOW, AFTER A WHILE, I THINK MOST PEOPLE ARE GOING TO END UP SORT OF UNDERSTANDING WHY WE DID THIS, RIGHT? AND WHAT THE RATIONALE WAS.

AND I'LL TELL YOU, YOU KNOW, CHANGE THE WORD SHORT-TERM RENTAL TO UBER OR LIFORT, RIGHT, AND THIS ROOM WOULD HAVE BEEN FULL OF TAXI DRIVERS TELLING US THE EXACT SAME THING.

HEY, THIS DISRUPTIVE TECHNOLOGY IS DISRUPTING US.

AND THAT'S THE --

>> VIAGRAN: THANK YOU VERY MUCH.

MIKE, FOR YOUR PRESENTATION.

[00:55:08]

AND IT WASN'T HAVING THAT GREAT OF AN IMPACT IN MY DISTRICT, AS I'VE SEEN NOW IN THE PAST TWO YEARS THE GROWTH AND THE TURNOVER THAT HAS HAPPENED.

I DO WANT TO THANK YOU, COUNCILMAN COUNCILMAN COURAGE, FOR YOUR VERY THOUGHTFUL RESEARCH AND ALL OF THIS INFORMATION AND TAKING THE TIME TO READ IT TO US, BECAUSE THIS IS A SERIOUS POLICY DISCUSSION HERE.

AND THIS IS WHEN WE'RE SUPPOSED TO DO THIS.

SO I DON'T MIND TAKING THE TIME IN ORDER TO LISTEN AND TO HEAR AND TO HAVE THESE QUESTIONS AND THESE THOUGHTS BROUGHT FORWARD AND NOT JUST MOVING IT AND MOVING IT FORWARD, BUT REALLY HAVING THIS CONVERSATION.

I DO HAVE A COUPLE OF QUESTIONS FOR YOU, MIKE.

ON -- YOU MENTIONED UNDER THE MULTIFAMILY, THE KEY CHANGES WITH THE MULTIFAMILY, YOU MENTIONED FM33.

I'D LIKE YOU TO JUST GO THROUGH THAT AGAIN, NOT NECESSARILY THE 12.5%, BUT YOU MENTIONED MF33 OR THE AMOUNT OF UNITS THAT CAN OR CANNOT BE USED AUDIO] -- IS DUE TO EVEN RM4, THEY ARE ALLOWED BY ZONING RIGHT TO HAVE MULTIPLE FULL UNITS ON THEIR PROPERTY.

IF YOU HAVE A SINGLE FAMILY SCENING DISTRICT, YOU'RE ONLY ALLOWED TO HAVEONE HOUSE AND MAYBE AN APARTMENT ABOVE THE GARAGE, BUT THE OTHERS, DEPENDING ON HOW BIG IT IS, YOU CAN HAVE A DUPLEX, TRIPLEX, FOURPLEX AND SO ON.

SO WHAT WE'VE COME UP WITH IF YOU LIVE THERE AND YOU HAVE MULTIPLE APARTMENT UNITS THAT YOU'RE RENTING OUT AND YOU WANT TO.

>> VIAGRAN: ON THE SAME PIECE OF PROPERTY.

>> SHANNON: ON THE SAME PIECE OF PROPERTY.

THE FIRST ONE YOU RENT OUT IS NO DIFFERENT THAN IF YOU HAD YOUR HOUSE PLUS THE --

>> VIAGRAN: OKAY.

>> SHANNON: BUT IF YOU ALSO CHOOSE TO RENT OUT THAT THIRD AND FOURTH ONE IN THE SHORT-TERM MARKETPLACE, THOSE ARE CONSIDERED TYPE 2, AND WE WOULD GO THROUGH THE PROCESS, WHEN WE LOOK AT THAT PERMIT TO SEE, ARE THERE ANY OTHER TYPE TWOS IN THE NEIGHBORHOOD, HOW DENSE IS IT? ARE WE REACHING THE 12.5, AND IF WE'RE ALREADY OVER THE 12.5%, WILL WE GO TO THE BOA.

WELL, FIRST, WE'LL DENY THE PERMIT, AND WE'LL WORK WITH THE CUSTOMER, YOU CAN EITHER CHOOSE TO DO IT SOMEWHERE ELSE IN ANOTHER NEIGHBORHOOD OR YOU CAN REQUEST IT THROUGH THE BOA AND TRY TO GET THAT EXCEPTION -- SPECIAL EXCEPTION.

THE MAYOR MENTIONED "IF THEN," STATEMENTS, WELL, WHAT IF I HAVE THIS AND THEN WHAT IS THAT? WE'VE GONE THROUGH A LOT OF THOSE SINCE THEN AND WE HAVE LANGUAGE NOW THAT WE THINK ADDRESSES THE MF33, THE RM4, THE ART SCALE BEING LEASED OUT AND THEN SUBLEASED OUT OUT OF THE CONDO UNITS, SO WE THINK WE HAVE THAT KIND OF TACKLED NOW, KNOWING IT'S EVER CHANGING.

>> VIAGRAN: OKAY.

THANK YOU VERY MUCH FOR THAT CLARIFICATION.

YOU ALSO MENTIONED SOMETHING ABOUT -- YOU ALSO MENTIONED ABOUT REVOKING THE PERMITS IF THEY ARE STILL OPERATEING, SO WE WOULD REVOKE THE PERMIT, BUT WOULD THAT THEN THEY WOULD HAVE TO BEEN TAKEN OFF POSTING ON HOMEAWAY OR WHEREVER, ON THE PAGES?

>> SHANNON: WITH THAT THIRD-PARTY COMPANY THAT WE'RE LOOKING TO HIRE TO HELP US FIND THEM, WE HAVE NEIGHBORHOODS THAT WILL BE CALLING IN SAYING, I THINK THEY'RE RUNNING A B & B.

I'VE LOOKED AT THEIR PLATFORM, IF WE FIND THEM, THAT WILL BE A VIOLATION OF THIS ORDINANCE.

TODAY THERE IS NO ORDINANCE.

IT WILL BE A VIOLATION, IT WILL BE A 200 TO $500 FINE TO EVERY TIME THEY DO IT AND WE'RE GOING TO BE VERY DILIGENT ABOUT THAT BECAUSE THAT'S WHAT WE THINK THE COMMUNITY'S ASKING.

HEY, YOU CAN DO IT LEGALLY UP TO A POINT, BUT IF YOU'RE NOT DOING IT RIGHT, YOU'RE GOING TO BE THAT BAD ACTOR, YOU KNOW, WE'RE GOING TO HIT YOU WITH THOSE PENALTIES AND REVOKE YOUR PERMIT.

>> VIAGRAN: OKAY.

THANK YOU.

AND ON SLIDE NUMBER EIGHT, YOU TALKED ABOUT IMPLEMENTING THE PROPOSED ORDINANCE AND YOU SAID IT WOULD BECOME EFFECTIVE IMMEDIATELY 90 TO 100 DAYS TO FORMALLY REGISTER.

BUT WOULD THAT BE -- THERE WOULD BE NO INTERRUPTION IN SERVICE, IS THAT CORRECT?

>> SHANNON: NO, THAT'S -- IN AUDIO] -- ENACT THE ORDINANCE, AND THEN WE GAVE THIS GRACE PERIOD TO INCENTIVIZE

[01:00:06]

PEOPLE TO EDUCATE AND GET READY FOR.

WE THINK IT'S IMPORTANT TO DO IT THE SAME THING.

SO IF WE PASS THE ORDINANCE AND IT GOES -- AND GET YOUR REGISTRATION IN WITHIN THE NEXT -- WE'LL CALL IT THREE MONTHS, 90 TO 100 DAYS.

THE IMPORTANT PIECE IS THAT IT STOPS THE GRANDFATHERING PEETS.

IF YOU LOOK AT -- PIECE.

IF YOU LOOK AT THE NUMBERS WE HAD REGISTERED WITH THE FINANCE DEPARTMENT IN APRIL WAS JUST UNDER 300.

SINCE THEN, IT'S NOW JUST UNDER 400, RIGHT? SO MORE PEOPLE ARE COMING IN, AND THOSE PROPERTIES ARE LEGAL AND WILL BE GRANDFATHERED.

SO THE LONGER WE TAKE TO IMPLEMENT IT, THE MORE WILL BECOME GRANDFATHERED, AND I DON'T THINK THAT'S WHAT THE COMMUNITY WANTS.

UNLESS YOU'RE ONE OF THOSE THAT WANTS TO COME IN AND GET GRANDFATHERED, BUT THEY'VE KNOWN ABOUT THIS FOR 18 MONTHS, SO THEY SHOULD ALREADY BE IN, SO...

VIETIONZ --

>> VIAGRAN: SURE.

RIGHT, RIGHT.

THANK YOU VERY MUCH.

THOSE ARE MY QUESTIONS THAT I HAVE.

AND I THINK AS WE MOVE FORWARD, I HAVE ALWAYS BEEN ALL RIGHT WITH THE TYPE 1 AND OWNER OCCUPIED SHORT-TERM RENTALS BECAUSE I THINK THAT'S JUST PART OF WHAT MANY PEOPLE HAVE BEEN DOING EVERY -- WHENEVER THEY OWN PROPERTY AND HAVE THAT OPPORTUNITY.

THE ISSUE THAT GAVE ME PAUSE WITH THE TYPE 2 IS THE DENSITY AND THE PROLIFERATION OF TYPE 2 IN CERTAIN STREETS AND CERTAIN NEIGHBORHOODS.

SO THAT WAS MY CONCERN.

SO I'M GLAD WE'RE ADDRESSING A PORTION OF IT, AND WE HAD THAT COMMUNITY INPUT THAT WE HAVE NEEDED TO HAVE THIS TIME AROUND.

AND AS THE MAYOR MENTIONED, I THINK, AGAIN, SAN ANTONIO IS TAKING A STEP TO BE COLLABORATIVE, TO BE COMMUNICATING WITH ONE ANOTHER TO GET SOMETHING THAT IS BEST FOR OURSELVES AND OUR CITY, BECAUSE WE KNOW THAT THIS INDUSTRY IS HERE, AND, YES, WE WANT TO ENCOURAGE NEW INDUSTRIES, BUT ALSO NOT AT THE SAKE OF OUR LEGACY NEIGHBORS AND OUR LEGACY HOMEOWNERS AND OUR LEGACY NEIGHBORHOODS.

BUT ONE THING I WILL TELL YOU SPECIFICALLY IN DISTRICT 3 AND IN AND AROUND THE MISSIONS, WE ARE ALSO SEEING SOME OF MY LEGACY HOMEOWNERS THINKING CREATIVELY NOW OF HOW THEY CAN USE THIS IN A VERY INNOVATIVE AND CREATIVE WAY.

SO I'M VERY EXCITED TO SEE THEM COMING TOGETHER -- IT'S ACTUALLY BRINGING THEIR NEIGHBORHOOD TOGETHER TO SEE WHAT THEY CAN DO TO USE THIS TO THEIR ADVANTAGE, SO THEY CAN STILL LIVE IN THE HOUSES THAT THEY GREW UP IN WITH THE TRANSITIONING NEIGHBORHOODS THERE.

AND I THINK IT IS IMPORTANT THAT WE MOVE FORWARD WITH SOMETHING RIGHT NOW, AND THIS, WITH YOUR RECOMMENDATIONS THAT WE MOVE FORWARD WITH, BECAUSE WE NEED TO BE BOLD AND WE NEED TO TAKE A STAND BEFORE THE LEGISLATURE BEGINS BECAUSE WE ALSO NEED TO LET THEM KNOW WHERE SAN ANTONIO STANDS ON THIS ISSUE.

AND I THINK THAT'S WHY IT'S IMPORTANT FOR US TO MOVE FORWARD.

THANK YOU, MAYOR.

>> MAYOR NIRENBERG: THANK YOU, COUNCILWOMAN VIAGRAN.

COUNCILWOMAN SANDOVAL?

>> SANDOVAL: THANK YOU.

SORRY.

I DIDN'T EXPECT TO BE UP SO QUICK.

AS YOU KNOW, WE LIKE TO -- SOME OF US LIKE TO WRITE OUT OUR POINTS BEFORE WE TALK.

AND COUNCILMAN COURAGE, YOU DID THAT VERY THOROUGHLY TODAY.

SO THANK YOU FOR PROVIDING THAT INFORMATION.

MIKE AND EVERYBODY HERE, THANKS FOR ALL THE WORK AND GIVING YOUR INPUT.

I'M SURE IT WASN'T ANEASY PROCESS, BUT I DO LIKE TO SEE THE COLLABORATION THAT YOU'VE LED.

LOOKING AT THE FIRST -- OR ONE OF THE EARLY SLIDES IN YOUR PRESENTATION, AND I APOLOGIZE, I WAS NOT HERE WHEN YOU PRESENTED IT, BUT THERE ARE FIVE AREAS OF THIS CCR.

AND FIRST ONE SAYS IMPACT ON PROPERTY VALUES AND SAFETY.

I GUESS I DIDN'T HEAR A CLEAR PRESENTATION ON THE IMPACT OF PROPERTY VALUES.

>> SHANNON: SURE.

SO BACK IN APRIL WE TALKED ABOUT -- BECAUSE THAT WAS ONE OF THE FIRST THINGS THAT WE DID, WE STARTED TO LOOK AT WERE THERE ANY STUDIES OUT THERE, COUNCILMAN COURAGE ACTUALLY READ FROM ONE OF THEM THAT WE KNEW ABOUT, I THINK HE THROUGH THE UMASS IN THERE, BECAUSE I'M FROM MASSACHUSETTS AND HE WANTED TO GET MY FAVOR -- FROM HARVARD, THERE YOU GO.

YEAH.

BUT WHAT WE FOUND WERE A FEW REPORTS, AND I COULD GET THOSE FOR YOU, BUT MANY OF THEM HAVE SAID, YES, IT ACTUALLY INCREASES PROPERTY VALUES.

WHAT WAS INTERESTING ABOUT THAT IS THROUGH THE TASK FORCE AND GENERAL PUBLIC MEETING PROCESS, THERE WERE MANY PEOPLE THAT WERE CONCERNED THAT IT WOULD DECREASE PROPERTY VALUES.

FOR EXAMPLE, IF THAT'S A SHORT-TERM RENTAL THAT PEOPLE KNOW ABOUT THAT'S RIGHT NEXT TO ME, I'LL NEVER BE ABLE TO SELL MY HOUSE BECAUSE NO ONE WILL WANT TO BUY IT RIGHT NEXT TO THAT.

SO THERE WAS THIS CONCERN.

SO THERE WERE CONCERNS BOTH WAYS, BUT THE DATA SUGGESTED -- THERE WAS NOTHING AVAILABLE FOR SAN ANTONIO.

NO ONE HAS DONE THE SAN ANTONIO VERSION OF THAT HARVARD STUDY OR

[01:05:02]

ANYTHING LIKE THAT.

SO IT WAS REALLY DEBATABLE.

WE THINK THAT IT LIKELY DOES INCREASE PROPERTY VALUES A BIT FOR THE MOST PART, BUT HOW MUCH AND WHERE AND MAYBE THERE'S SOME POSSIBLE -- I WILL JUST MENTION ON THE SAFETY STATISTICS, WE'VE ALSO LOOKED AT THE CALLS FOR SERVICE FOR POLICE AND CODE FOR THE ONES THAT WE KNOW ABOUT.

THERE'S NO DISCERNIBLE DIFFERENCE BETWEEN THAT AND JUST A GENERAL NEIGHBORHOOD HOUSE OR ANYTHING LIKE THAT.

OVER HALF OF THEM HAVE NO CALLS FOR ANY LIKE A CODE VIOLATION OR CALLS FOR SERVICE.

AND WE HAVE SOME STATISTICS, BUT WHAT WE FOUND WAS THERE'S NO MEASURABLE INCREASE OR DIFFERENCE IN SAFETY ISSUES.

BUT THAT COULD BE BECAUSE WE'RE NOT SEEING ALL OF THEM OUT THERE.

WE DON'T KNOW WHERE ALL OF THESE ARE, SO THAT WILL BE SOMETHING WE HAVE TO TRACK MOVING FORWARD.

>> SANDOVAL: SO A COUPLE OF COMMENTS ON THAT.

I UNDERSTAND THE NEED TO MOVE FORWARD BECAUSE AS YOU SAID, ADDITIONAL STRS ARE BEING GRANDFATHERED IN, SO I SUPPORT MOVING FORWARD WITH SOMETHING.

I DO FEEL THAT PERHAPS THE -- WE WOULD BE WELL SERVED BY HAVING A STUDY ON THE FROM OUR BUDGET IN THIS COMING YEAR ON IT.

I WOULDN'T WANT THE TWO EFFORTS TO BE AT CROSS PURPOSES.

I THINK THAT MAY NOT BE THE BEST USE OF TAXPAYER DOLLARS IF THEY'RE WORKING AGAINST EACH OTHER.

HOW CAN WE GO ABOUT DOING THAT? WOULD THAT BE AN EXPANSION OF THE SERVICES THAT YOU'RE HIRING? YOU'RE HIRING SOMEONE TO FIND OUT WHERE THEY ALL ARE RIGHT NOW OR WOULD THIS HAVE TO BE A SEPARATE STUDY, DO YOU THINK?

>> I THINK AS WE MOVE FORWARD WE'LL BE STUDYING A LOT OF THE ISSUES SURROUNDING IT.

CERTAINLY PROPERTY VALUES WOULD BE A PART OF THAT.

PETER IS HERE.

WE HAVE HAD DISCUSSION WITH VERO IN THE NEIGHBORHOOD AND HOUSING DEPARTMENT HOW THIS WOULD TIE INTO ANY RECOMMENDATIONS IN THE MAYOR'S HOUSING TASK FORCE.

THE THIRD PARTY ORGANIZATION -- I KNOW TROY IS HERE -- WE'RE GOING TO HIRE TO REALLY JUST FIND THEM AND HELP GET THE HOT COMPLIANCE.

IF THERE'S OTHER SERVICES OR OTHER AGENCIES THAT WE NEED TO LOOK AT WE CAN CERTAINLY LOOK INTO THAT.

WE DON'T HAVE ANYTHING PROPOSED RIGHT NOW BUDGETING OR TO HIRE A THIRD PARTY TO DO THAT STUDY.

WE WOULD HAVE TO PROBABLY GET AN ESTIMATE ON THAT AND THEN COME BACK TO YOU ALL ON HOW WE CAN MAKE THAT HAPPEN.

BUT IT DEFINITELY IS SOMETHING WE KNOW IS OUT THERE AND WE'LL BE WORKING FROM A CITY STAFF PERSPECTIVE TO WATCH THAT.

BUT, AGAIN, WE WOULD HAVE TO BRING SOMETHING BACK ON A THIRD PARTY STUDY.

>> SANDOVAL: I'LL TELL YOU TWO SPECIFIC QUESTIONS THAT I WOULD WANT TO SEE THE ANSWER TO, AND IT MAY NOT REQUIRE A FULL-BLOWN STUDY.

I WOULD WANT US TO HAVE THE INFORMATION SOONER RATHER THAN LATER.

THE FIRST QUESTION I WOULD HAVE IS WHEN YOU DO GO OUT AND IDENTIFY WHERE THE HOMES ARE I WOULD LIKE TO KNOW HOW MANY HOMES ARE BEING PURCHASED SPECIFICALLY IN ORDER TO BE A TYPE TWO.

AND HOW IS THAT TRENDING.

AND THE SECOND ONE IS -- AND THIS MAY BE A LITTLE BIT MORE COMPLICATED.

IS IF THAT WERE TO BE TIED TO SOME LEVEL OF DISPLACEMENT -- THERE'S A FAMILY THAT MAYBE WAS OUTBID BY SOMEONE WHO DECIDED TO PURCHASE THIS HOME AND MAKE IT A TYPE TWO.

AND SO WHAT PRICE RANGE IS THAT OCCURRING IN? WHEN WE WENT THROUGH THIS POLICY FRAMEWORK, AT LEAST I BECAME MORE AWARE OF THE DIFFERENT LEVELS OF HOUSING STOCK THAT WE NEED TO BE COGNIZANT OF.

IS IT FOR PEOPLE WHO ARE AT 120 AVERAGE MEDIAN INCOME OR BELOW.

THAT'S WHAT I WOULD BE INTERESTED IN BECAUSE I THINK THAT'S HOW WE COULD LINK IT TO THE GOALS OF THE POLICY FRAMEWORK.

SO COULD I REQUEST THAT YOU CONSIDER FINDING A WAY TO GET AN ANSWER TO THOSE QUESTIONS?

>> SURE.

WE ANTICIPATE, NOT ONLY THAT -- SHE'S LOOKING AT YOU.

WE ANTICIPATE CERTAINLY LIKE WITH A LOT OF OUR NEWER ORDINANCES THAT I HAVE BEEN INVOLVED WITH, AT SOME POINT IN THE FUTURE, WHETHER IT BE AFTER A YEAR OR IMPLEMENTATION, WE COME BACK TO THE APPROPRIATE COUNCIL COMMITTEE.

OR IN THIS FORM, THE FULL B SESSION, WITH THE LESSONS LEARNED, WHAT IF ANYTHING NEEDS TO BE TWEAKED.

CERTAINLY WE WOULD IDENTIFY THOSE THINGS TO HELP ANSWER THOSE QUESTIONS.

BEFORE WE START DOWN THAT PATH WE'LL REACH OUT TO YOU AND THE

[01:10:03]

OTHER COUNCIL MEMBERS ON HOW WE CAN CAPTURE THAT DATA.

>> SANDOVAL: I JUST WANT TO KNOW IF WE'RE EXACERBATING A SHORTAGE THAT ALREADY EXISTS OR IF WE'RE NOT EXACERBATING THAT AREA AND THERE SHOULD BE NO REASON FOR WORRY.

ANOTHER QUESTION I HAVE FOR YOU WASN'T CLEAR FROM THE PRESENTATION IS IF I OWN A HOME, I LIVE IN IT BUT SOMETIMES I LEAVE FOR A TRIP TO AFRICA OR WHATEVER AND I WANT TO RENT IT OUT ON AIRBNB, HOW -- BEFORE THAT BECOMES A TYPE TWO -- LIKE IS THERE A THRESHOLD? LIKE HOW MANY DAYS CAN I RENT THAT OUT?

>> GENERALLY WHAT YOU WOULD DO IS, IF YOU GENERALLY LIVE THERE -- AND I THINK THAT'S SOME OF THE TERMS WE USE, AND YOU CAN SHOW US PROOF THAT THAT'S REALLY YOUR RESIDENT THROUGH HOMESTEAD OR DRIVER'S LICENSE, THOSE TYPES OF THINGS.

THAT WAS DISCUSSED.

WE NEVER LANDED ON X AMOUNT OF DAYS.

SOME CITIES HAVE DEFINED IT BY X AMOUNT OF DAYS, BUT IT'S VERY VARIED.

WE FELT IT WAS IMPORTANT THAT WE GIVE YOU THE OPPORTUNITY TO PROVE TO US THAT IT'S REALLY YOUR HOME AND YOU'RE JUST GOING ON YOUR MONTH-LONG AFRICAN SAFARI THAT YOU JUST WENT ON.

THAT MUST BE NICE.

>> SANDOVAL: IT IS NOT GOING TO HAPPEN ON THIS SALARY.

>> BUT THAT EXAMPLE IS REALLY THE TYPE ONE.

IF WE SEE SOMEBODY THAT'S DOING THAT OVER AND OVER AND MOST OF THE YEAR, EIGHT OUT OF 12 MONTHS, THAT SEEMS LIKE IT'S GOING TO BE A TYPE TWO.

THE ORDINANCE IS WRITTEN THAT WE CAN INTERPRET THAT APPROPRIATELY BASED ON THE INTENT.

BUT WE DIDN'T LAND ON A SPECIFIC NUMBER OF DAYS.

AND WE THINK THAT'S MORE APPROPRIATE BECAUSE WE'RE STILL LEARNING AS WELL.

THAT ISSUE DID COME UP AND WAS DISCUSSED.

YOU DESCRIBED MORE OF A TYPE ONE THAN A TYPE TWO.

>> SANDOVAL: OKAY.

JUST A COUPLE MORE QUESTIONS.

SO I UNDERSTAND HOW THAT ONE WOULD BE ENFORCED, BUT THERE IS ANOTHER RESTRICTION YOU PUT UP.

SOMETHING ABOUT PROPERTIES THAT HAVE RECEIVED INCENTIVES FROM THE CITY.

I HAVE A FEW QUESTIONS ON THIS.

IS IT PROPERTIES THAT HAVE ALREADY RECEIVED INCENTIVES OR GOING FORWARD AS OF THE DATE OF THE ADOPTION WOULD RECEIVE INCENTIVES?

>> WE BELIEVE IT'S GOING FORWARD BECAUSE THOSE THINGS LEGALLY IN EXISTENCE AND UNLESS THE CONTRACT THAT WE'VE ALREADY ISSUED THE INCENTIVES CLEARLY DEFINES THAT YOU CAN ONLY USE IT AS LONG-TERM RENTAL UNITS.

BUT EVERYTHING FOR US IS REALLY MOVING FORWARD, SO THAT'S WHAT WE'RE PROPOSING.

I KNOW IN SPEAKING WITH JOHN JACKS -- JOHN WAS HERE.

SOME OF OUR INCENTIVES HAVE THE CONTRACT LANGUAGE.

AND IF IT SPECIFICALLY SAYS SOMETHING STRONG ENOUGH FOR LONG-TERM HOUSING WE CAN STILL APPLY THAT.

BUT I THINK SOME OF THEM MAY BE SIMILAR TO THE TIMBERWOOD LANGUAGE, AND IT SAYS RESIDENTIAL.

WE'RE GOING TO BE VERY SPECIFIC.

JOHN AND HIS TEAM HAVE ALREADY STARTED WORKING ON PROPOSING THAT LANGUAGE THAT CLEARLY IDENTIFIES LONG TERM VERSUS SHORT TERM.

AND THIS WILL INCLUDE THAT LANGUAGE MOVING FORWARD.

BUT WE HAVE TO PASS THE ORDINANCE FIRST.

>> SANDOVAL: AGAIN, THAT'S FOR TYPE TWO OR FOR EITHER TYPE ONE OR TYPE TWO?

>> INITIALLY WHEN IT WAS PROPOSED IT WAS FOR EVERYTHING.

BUT WHAT WE HAVE FOUND IS IT'S REALLY GOING TO BE FOR THE TYPE TWOS.

THE TYPE ONES, BECAUSE SOME OF OUR INCENTIVES, THINK OF THE I CRIP, FOR EXAMPLE, THAT'S PROPOSED TO CHANGE SOON FOR A FEE WAIVER, OWNER OCCUPIED REHABS THROUGH THE NEIGHBORHOOD HOUSING SERVICE DEPARTMENT .

WE FEEL THAT IT'S APPROPRIATE IF YOU'RE USING A TYPE ONE AND YOU RECEIVE SOME INCENTIVES TO REMODEL YOUR HOME TO STAY IN YOUR HOME THAT YOU'RE ALLOWED TO STILL HAVE A TYPE ONE THERE.

SO IT'S REALLY FOR TYPE TWOS ONLY IS WHAT WE'RE PROPOSING.

>> SANDOVAL: AND CAN YOU TELL ME WHAT TYPES OF INCENTIVES SPECIFICALLY YOU'RE TALKING ABOUT? IS IT THE CCHIP INCENTIVE?

>> WELL, WE'RE TALKING ABOUT THE CCHIP, THE ICRIP PROPOSED TO BE MODIFIED.

IT HASN'T HAPPENED YET.

IT'S ANY INCENTIVE FROM THE CITY, NOT THE FEDERAL ONES.

THERE ARE SOME OWNER-OCCUPIED REHAB MONEY IN DOLLARS THAT GO THROUGH THE NEIGHBORHOOD SERVICES DEPARTMENT.

IF YOU GET AN INCENTIVE FROM THE CITY THEN YOU'RE NOT GOING TO BE ALLOWED TO GET A PERMIT FOR, AT LEAST RIGHT NOW, TYPE TWO.

WITH SOME EXCEPTIONS FOR THOSE TYPE ONES.

AGAIN, LET ME BE CLEAR.

THE WAY THE ORDINANCE IS, ANY CITY INCENTIVE.

>> SANDOVAL: ANY CITY INCENTIVE.

SO YOU WOULD ALLOW TYPE ONE? THE PROPOSAL IS TO ALLOW TYPE ONE BUT NOT TYPE TWO?

>> OWNER OCCUPIED IN A HOME TO RENT OUT A ROOM OR MAYBE THAT APARTMENT IN A GARAGE.

IF YOU RECEIVE SOME MONEY TO REHAB YOUR ROOF THROUGH ONE OF THE CITY INCENTIVE PROGRAMS YOU WOULD STILL BE ALLOWED TO DO THAT.

MANY IN THE COMMUNITY SAID WE ARE RENTING OUT THAT ROOM SO I CAN PAY THE MORTGAGE OR RISING TAXES.

WE'RE PROPOSING TO ALLOW THAT.

BUT NOT IF YOU GET A CITY

[01:15:02]

INCENTIVE TO FIX YOUR ROOF OR DO SOME HOME REPAIR AND THEN LEAVE AND TRY TO BE A TYPE TWO.

THAT WOULD NOT BE ALLOWED.

>> SANDOVAL: OKAY.

THANK YOU FOR CLARIFYING THAT.

NOW, WHAT WOULD YOU HAVE TO ENFORCE THAT?

>> SO THE PERMIT PROCESS, IN WORKING WITH EITHER JOHN, VERO AND THE OTHER DEPARTMENTS IN ECONOMIC DEVELOPMENT THAT MAY ISSUE THESE.

ALL THE INCENTIVE CONTRACTS OR ANYTHING WE HAVE INCLUDES THE LANGUAGE WE'RE TALKING ABOUT, THAT WE PASSED IN THIS ORDINANCE, AS WELL AS EVERY INCENTIVE THAT COMES TO THE CITY COMES THROUGH DEVELOPMENT SERVICES.

AND WE VERIFY THAT WHEN WE'RE VERIFYING PERMIT APPLICATIONS.

WE CAN BY ADDRESS LOOK AT DID THIS ADDRESS RECEIVE ANY INCENTIVES FROM THE CITY.

IF SO, WHAT WAS IT AND CAN WE ALLOW A SHORT-TERM RENTAL PERMIT TO BE ISSUED THERE.

>> SANDOVAL: THE ONLY WAY IT WOULD BE A NON-COMPLIANT PROPERTY IS IT IF NEVER APPLIED?

>> OF COURSE.

>> SANDOVAL: THANK YOU FOR CLARIFYING.

I DO WANT TO EXPRESS I HAVE SOME PAUSE ABOUT ENTITIES THAT HAVE ALREADY RECEIVED INCENTIVES.

AND I SEE -- OR IT'S BEEN EXPLAINED TO ME WHAT SORT OF CONUNDRUM THERE IS.

THAT THERE'S NOT REALLY ANY RECOURSE.

BUT I WOULD LIKE TO STATE THAT, YOU KNOW, THOSE INCENTIVES, MY UNDERSTANDING WHEN I HEAR FROM STAFF IS THAT THOSE INCENTIVES WERE DISTRIBUTED IN ORDER TO HELP PEOPLE LIVE DOWNTOWN AND MAKE A VIBRANT DOWNTOWN.

AND TO MAKE IT AFFORDABLE BECAUSE THE COST OF THE PROPERTY WAS SO HIGH.

THE COST WAS SO HIGH THAT YOU COULD REALLY ONLY MAKE MONEY IF YOU MADE A HOTEL.

AND SO TO SOME EXTENT IF THOSE PROPERTIES ARE BEING USED FOR A TYPE TWO, THEN I FEEL LIKE WE MAY NOT BE LIVING UP TO THE SPIRIT OF THE CCHIP PROGRAM.

SO I DO HAVE SOME CONCERN ABOUT THAT.

I HAVE BEEN TOLD THERE'S NOTHING THAT CAN BE DONE.

NONETHELESS, I WOULD LIKE TO GET SORT OF AN ESTIMATE OF HOW MANY CCHIP RECIPIENTS ARE BEING USED AS A TYPE TWO, WHICH YOU'LL KNOW WHEN THEY REPORT.

>> SCULLEY: I THINK JOHN JACKS -

>> UNDER THE CCHIP WE HAVE INCENTIVIZED 64 PROJECTS.

OF THE 64 THERE ARE -- LET'S SEE MY MATH HERE.

THERE ARE 68 UNITS THAT ARE LISTED ON EITHER VRBO OR AIRBNB.

>> SCULLEY: HOW MANY UNITS, JOHN?

>> 68.

>> SCULLEY: NO.

TOTAL UNITS.

>> ABOUT 6800 UNITS THAT WE HAVE INCENTIVIZED.

A SMALL PERCENTAGE ARE LISTED ON VRBO OR AIRBNB.

>> SANDOVAL: THAT'S A LITTLE REASSURING, SO THANK YOU VERY MUCH FOR DOING THAT RESEARCH.

>> SURE.

>> SANDOVAL: THIS IS MY LAST AREA OF QUESTIONS IS THE COST.

SO I SEE YOU'RE PLANNING TO HIRE TWO PEOPLE, OR WE'RE PLANNING TO HIRE TWO PEOPLE.

AND SOME OF THAT WILL BE RECOVERED FROM THE HOT.

AND IS THAT -- I GUESS WHAT I WANT TO KNOW IS CAN YOU RECOVER -- HOW DO YOU RECOVER THE COST OF COMPLIANCE WITH THE REST OF THE ORDINANCE, NOT JUST THE HOT? CAN YOU RECOVER THAT ONLY FROM THE FEES OR CAN YOU ALSO RECOVER THAT FROM HOT?

>> IT'S KIND OF A TWO-WAY ANSWER.

THE HOT CAN PAY FOR TROY'S AND THE FINANCE DEPARTMENT'S STAFF, WHICH IS THE $100,000 AND THE TWO COMPLIANCE OFFICERS.

BECAUSE THEIR WHOLE JOB IS TO ENSURE PEOPLE ARE PAYING THE HOT.

THEY ARE ALLOWED TO DO THAT.

THEY HAVE ESTIMATED THAT.

THAT WAS PROPOSED IN THE BUDGET THAT WAS JUST PASSED.

AND THAT'S ALREADY BEEN APPROVED IN THEIR BUDGET.

THE NUMBERS, AND I'LL LET TROY JUMP IN IF HE WANTS TO, BUT THE NUMBERS AND ESTIMATES WILL NOT ONLY ASSUME COST TO RECOVER THAT AND THERE WILL ALSO BE SOME MONEY THERE.

BUT ONLY TROY AND HIS TEAM CAN USE THAT.

>> SCULLEY: BY STATUTE, COUNCILWOMAN, WE CAN ONLY RECOVER THE FEES BECAUSE IT'S PRESCRIBED BY LAW HOW HOT TAX DOLLARS CAN BE SPENT.

BUT LET ME REASSURE YOU WHILE WE'LL BE EVALUATING THIS OVER THE FIRST SIX MONTHS AND IF WE NEED TO MAKE ADJUSTMENTS IN TERMS OF THE STAFFING, WE'LL COME BACK TO YOU IN THE MID-YEAR BUDGET REVIEW AND TALK TO COUNCIL ABOUT THAT.

>> SANDOVAL: THANK YOU.

AND IF WE FIND THAT WE NEED MORE STAFF THAT WOULD COME FROM WHICH REVENUE STREAM, DO YOU ANTICIPATE?

>> SCULLEY: WE'LL STUDY AND GIVE YOU SOME ALTERNATIVES AND A RECOMMENDATION, BUT MOST LIKELY FROM THE GENERAL FUND.

>> SANDOVAL: SO HOT CAN'T BE USED FOR THAT?

>> SCULLEY: CORRECT.

[01:20:01]

>> SANDOVAL: WELL, THANK YOU VERY MUCH.

AND CONTRARY TO WHAT YOU MAY THINK, I ACTUALLY REALLY LIKE STAYING AT AIRBNBS WHEN I TRAVEL.

AND I LOVE HAVING THE WHOLE PLACE TO MYSELF.

IT REALLY ALLOWS YOU TO ENJOY SOMETHING DIFFERENT FROM A HOTEL EXPERIENCE.

BUT I'M ALSO REALLY SENSITIVE TO THE CONCERNS THAT WERE BROUGHT UP.

AND OUR WHOLE EFFORT ON HOUSING AND KEEPING SAN ANTONIO AFFORDABLE.

SO I DO SUPPORT MOVING FORWARD CAUTIOUSLY.

THANK YOU.

>> MAYOR NIRENBERG: THANK YOU, COUNCILWOMAN SANDOVAL.

COUNCILWOMAN GONZALES.

>> GONZALES: THANK YOU, MAYOR.

AND SO I HAD MANY OF THE SAME QUESTIONS THAT COUNCILWOMAN SANDOVAL DID, SO I'LL JUST SKIP OVER THOSE.

LOOKING FORWARD TO GETTING A REPORT BACK ON SOME OF THAT INFORMATION.

SO ALSO I HOPE -- I STEPPED OUT FOR A MINUTE BUT I HOPE I DIDN'T MISS ANY OF THESE QUESTIONS.

SO TYPE ONE AND TYPE TWO WILL BOTH PAY HOT TAX? TYPE ONE PAYS A HOT TAX AS WELL?

>> THEY BOTH PAY HOT TAX.

THEY ARE REQUIRED TODAY BY STATE AND LOCAL LAW TO PAY HOT TAX, BOTH OF THEM.

>> GONZALES: OF COURSE WE INTEND TO DO THAT IN THE FUTURE.

>> OF COURSE.

>> GONZALES: ANOTHER QUESTION THAT I HAD.

YOU MENTIONED ABOUT COMPLAINTS AND ABOUT THE THREE STRIKES.

WHAT ABOUT FOR LONG-TERM RENTERS? DO YOU HAVE THAT SAME POLICY?

>> NO.

THIS WHAT WE'RE PROPOSING, THE REGISTRATION PROGRAM WE HAVE RIGHT NOW IS JUST FOR SHORT TERM.

FOR LONG TERM, WE DON'T HAVE CURRENTLY A LONG-TERM RENTAL REGISTRATION THAT I COULD USE THE STRIKES TO PULL ANY REGISTRATION OR REVOKE OR ANYTHING LIKE THAT.

THAT WOULD BE A SEPARATE TOPIC.

THE ONLY ONE WE DO HAVE IS THE ABSENTEE PROPERTY OWNER REGISTRATION ORDINANCE.

IT'S NOT EXACTLY THE SAME AS THAT BUT IT DOES HAVE HOW DO YOU ADDRESS BAD ACTORS VERSUS THE ONES THAT ARE DOING IT CORRECTLY, NOT A PROBLEM.

>> GONZALES: AND SO I GUESS OTHERWISE IT'S JUST REGULAR CODE COMPLIANCE COMPLAINTS.

>> CODE OR PD.

>> GONZALES: BUT IF YOU HAD MULTIPLE COMPLAINTS FOR A LOCATION AND THEY WERE RENTERS, THERE'S STILL NO REALLY WAY TO ENFORCE IT FROM THE CITY'S PERSPECTIVE?

>> I WOULDN'T SAY THAT.

IT'S THE TYPICAL CODE ENFORCEMENT WORLD WHERE WE WOULD UTILIZE CITATIONS, UTILIZE THE COURT SYSTEMS. WE COULD GO AFTER THE OWNER, BECAUSE THEY ARE RESPONSIBLE.

IF IT BECOMES TO BAD WE COULD GO TO COURT AND ASK THE JUDGE TO SHUT THEM DOWN.

BUT IT IS A LONG DRAWN-OUT PROCESS IF YOU GET TO THAT.

WE HAVE TOOLS BUT WE DON'T HAVE A PERMIT TO REVOKE FOR THE LONG TERM.

>> GONZALES: OKAY.

BECAUSE THAT SEEMS TO BE A MUCH GREATER PROBLEM IN MY AREA THAN THIS PARTICULAR ISSUE.

BUT, ANYWAY, I THOUGHT I WOULD ASK THAT QUESTION.

SO I KNOW THAT YOU PARTICIPATED IN THE SMALL-SCALE HOUSING FAIR THAT WE DID.

I THOUGHT IT WAS REALLY BENEFICIAL.

BECAUSE IT WAS TRYING TO SHOW SMALL-SCALE DEVELOPERS HOW THEY COULD REHAB THEIR OWN PROPERTIES THAT THEY DIDN'T LIVE THERE BUT THEY OWNED THE PROPERTY.

SOME OF THEM TWO OR THREE HOUSES, IF THEY COULD ADD A BACK HOUSE OR A GRANNY FLAT OR WHATEVER OPTIONS WERE AVAILABLE.

IT WAS VERY HELPFUL BECAUSE, YOU KNOW, WE WERE JUST TRYING TO ENCOURAGE PEOPLE TO INVEST IN THEIR OWN PROPERTIES.

AND ONE OF THE THINGS THAT CAME OUT OF THAT -- BECAUSE I ASKED THE QUESTION STRAIGHT OUT DO ANY OF YOU ALL HAVE THE INTENT TO USE THESE PROPERTIES AS SHORT-TERM RENTALS.

AND THEY ALL SAID THAT THEY DID NOT HAVE ANY INTENTION TO USE THEM AS SHORT-TERM RENTALS.

THEY DID INTEND TO SELL THEM, AND NOT EVEN TO RENT THEM LONG TERM.

THE INTENT WAS TO HAVE A HOME THAT SOMEBODY COULD LIVE IN.

SO I JUST -- I THOUGHT THAT THAT WAS SOME GOOD FEEDBACK AS WE ARE TRYING TO PROVIDE INCENTIVES AND TRYING TO PROVIDE AFFORDABLE HOUSING THAT, YOU KNOW, FOR THE SMALL-SCALE DEVELOPER IT WAS NOT FINANCIALLY FEASIBLE TO DO A SHORT-TERM RENTAL.

THEY REALLY WANTED TO GET THE HOME IN A CONDITION WHERE THEY COULD SELL IT.

BECAUSE THE HOMES ARE IN SUCH A STATE OF DISREPAIR THAT IT WAS -- THAT WAS NOT SOMETHING THAT THEY WERE CONSIDERING AS THEY WERE GOING THROUGH THAT PROCESS.

SO I WOULD ALSO -- SOME ANECDOTAL INFORMATION TO SHARE WITH MY COLLEAGUES ABOUT WHAT'S HAPPENING IN SOME OF OUR DISTRICTS IS THAT WE'RE STILL TRYING TO ENCOURAGE PEOPLE TO INVEST IN PROPERTY THEY ALREADY OWN.

SO THAT'S -- THOSE ARE ALL THE QUESTIONS THAT I HAVE.

I THINK THE REST WE CAN -- WERE THE COUNCILWOMAN'S QUESTIONS ABOUT AFFORDABILITY AND WHETHER OR NOT IT IMPACTS AFFORDABLE HOUSING.

IF, IN FACT, THOSE HOMES ARE ALREADY QUITE EXPENSIVE.

THEY'RE NOT HOMES THAT WOULD GENERALLY SELL FOR LESS THAN $150,000, WHICH I THINK IS NOW

[01:25:02]

THE STANDARD FOR AFFORDABLE HOUSING.

SO IT WOULD BE INTERESTING TO HAVE THAT INFORMATION.

DO YOU HAVE ANY OF THAT HANDY? I SUSPECT NOT.

>> NO, I THINK THAT'S ONE OF THE GOALS OF THIS ORDINANCE IS TO BE ABLE TO NOT ONLY IDENTIFY WHERE THEY ARE AND GET THEM REGISTERED, BUT WE CAN DATA LIKE COST, AFFORDABILITY, RENTAL RATES, OR SAFETY STATISTICS ON THE LARGER NET OF WHERE THESE ARE.

SO WE DON'T HAVE THOSE YET.

BUT I KNOW WE'LL BE BRINGING THAT STUFF BACK WHENEVER WE COME BACK.

USUALLY IT TAKES ABOUT A YEAR TO GATHER SOME DATA FROM THE TRENDS.

>> GONZALES: AND ARE THEY SHARING NOW, THE AIRBNBS? THAT WAS ONE CONCERN -- I HAD SOME QUESTIONS ABOUT HOW LONG THEY HOLD THE PROPERTIES.

WAS IT SOMETHING PEOPLE BOUGHT -- DID SOMEBODY BUY A HOME TO THEN MAKE IT A SHORT-TERM RENTAL.

AT THE TIME, SIX MONTHS AGO, THERE WAS NO INFORMATION SHARING FROM THE AIRBNB COMPANIES OR THE HOME AWAY FROM HOME.

>> AT THE AIRBNB, FOR EXAMPLE, THEY HAVE BEEN VERY INVOLVED WITH OUR PROCESS AND THEY HAVE BEEN A GREAT PARTNER TO WORK WITH.

THEY PROVIDED A LOT OF INFORMATION.

I DON'T THINK THEY PROVIDED THAT INFORMATION.

IT COULD BE BECAUSE WE DIDN'T ASK.

THEY HAVE BEEN REALLY GOOD TO WORK WITH AND THEY HAVE INDICATED THEY WILL BE WILLING TO HELP US AS THIS THING GOES FORWARD TO BE THEIR PARTNER.

I CAN CONTINUE TO WORK WITH THEM.

BUT I'M SURE THEY'LL BE HELPFUL IN THE PROCESS.

>> GONZALES: THAT WOULD BE GREAT INFORMATION TO HAVE AS WE'RE EVEN TRYING TO UNDERSTAND HOW THIS IS EVOLVING AND WHETHER IT'S BENEFICIAL TO THE CITY OR NOT.

OKAY.

THANK YOU.

THANK YOU, MIKE.

THAT'S ALL I HAVE.

THANK YOU, MAYOR.

>> MAYOR NIRENBERG: THANK YOU, COUNCILWOMAN GONZALES.

COUNCILMAN PERRY.

>> PERRY: THANK YOU, SIR.CI AND THANK YOU, MIKE.

WHAT A LONG JOURNEY, RIGHT? ALL STARTED IN DISTRICT 10.

HOW ABOUT THAT?

>> I WOULD LIKE TO THANK OR BLAME COUNCILMAN -- I WON'T SAY THAT.

[LAUGHTER]

>> PERRY: WOW.

YES, I DO HAVE SOME QUESTIONS AND COMMENTS.

FIRST OFF, I DON'T HOLD -- I DON'T THINK THEY HOLD A LOT OF WATER, THESE STUDIES UP IN HARVARD AND BOSTON, HERE IN SAN ANTONIO.

I JUST DON'T THINK THEY HOLD A LOT OF WATER HERE.

ANYWAY, THIS MAY BE A QUESTION FOR JEFF.

IS JEFF STILL HERE? WELL, HOW MANY OTHER CITIES HERE IN TEXAS HAVE RULES, STR RULES?

>> WE HAD THAT LIST UP IN APRIL.

THERE'S AT LEAST A HANDFUL THAT HAVE THEM.

WE CAN GET YOU THAT BUT IT'S MULTIPLE --

>> PERRY: SMALL CITIES, BIG CITIES?

>> BOTH HAVE THEM.

YEP.

>> PERRY: SO THERE ALREADY ARE OTHER CITIES IN TEXAS THAT HAVE THESE RULES?

>> THEY'RE GOING TO GIVE ME THE LIST HERE.

SO AUSTIN, ARLINGTON, DALLAS, EL PASO, FORT WORTH, HOUSTON.

THOSE ARE SOME OF THE TEXAS THAT WE JUST PUT UP LAST TIME.

THERE MIGHT BE SOME OTHERS.

>> PERRY: OKAY.

ALL RIGHT.

AND I DON'T KNOW -- AGAIN, IS JEFF ON HIS WAY? ALL RIGHT.

HOW MANY -- DO WE HAVE ANY RECORD OF HOW MANY COMPLAINTS THERE'S BEEN ABOUT STRS, WHETHER THEY'RE AN STR AND HOW MANY COMPLAINTS THERE HAVE BEEN ACROSS THE CITY?

>> YEAH, THIS WAS THE CHALLENGING DISCUSSION THAT WE HAD.

WE ACTUALLY LOOKED AT THE ONES WE KNEW ABOUT.

LIKE WE KNOW THAT THESE, BACK IN APRIL, IF YOU'LL REMEMBER, WE KNOW THESE 300 PROPERTIES, YOU KNOW, THEY WERE ALREADY REGISTERED WITH THE FINANCE THAT ARE SHORT-TERM RENTALS.

AND THE OTHER 300 WE ESTIMATE ARE OUT THERE.

ABOUT 60% OF THOSE 300 DID NOT HAVE A SINGLE CALL FOR SERVICE FROM PD OR CODE.

OTHERS MIGHT HAVE HAD ONE FOR A CODE ENFORCEMENT PROPERTY MAINTENANCE VIOLATION OR MAYBE A NOISE COMPLAINT.

SO WE HAD BROKEN THOSE DOWN.

BUT IT WAS ALMOST 60% DID NOT HAVE A SINGLE CALL.

>> PERRY: ALL RIGHT.

AND HOW DOES THAT LINE UP WITH THE REST OF THE CITY?

>> SURE.

WE GOT A JUST GENERIC CODE DATA.

THERE WAS NO MEASURABLE SPIKE THAT SAYS THERE'S MORE CALLS ON AN STR FOR SAPD OR CODE.

THAT WAS ONE OF THE FIRST THINGS WE LOOKED AT.

THERE'S LIMITED DATA.

ONLY A COUPLE HUNDRED PROPERTIES COMPARED TO THE REST OF THE CITY.

AGAIN, WE WERE LOOKING FOR IF THERE'S A SPIKE IN SAFETY, AND THERE WASN'T.

AND WE DON'T THINK THERE IS YET.

>> PERRY: ALL RIGHT.

SO NO MEASURABLE ANYTHING THAT STANDS OUT.

JEFF, THANK YOU FOR COMING HERE.

DO WE HAVE ANY INDICATION WHAT THE STATE IS GOING TO DO WITH THIS? IS THIS GOING TO COME UP AGAIN THIS SESSION?

>> I THINK IT MOST LIKELY WILL COME UP AGAIN.

IT CAME UP MID SESSION, LAST

[01:30:02]

SESSION THROUGH A BILL THAT WAS BROUGHT BY THE INDUSTRY, BY AIRBNB-TYPE PROVIDERS.

AND IT WAS VERY LATE AND IT WAS A VERY UNCLEAR BILL THE WAY IT WAS DRAFTED.

IT LOOKED LIKE IT WAS PREEMPT MOST OF OUR REGULATIONS, OTHER THAN THINGS THAT ARE A THREAT TO PUBLIC HEALTH AND SAFETY.

IT WAS DEFEATED AND DIDN'T PASS.

SO, AS THE MAYOR SAID AT THE BEGINNING, WE'RE IN A STATE-WIDE ENVIRONMENT WHERE THERE ISN'T A REGULATORY FRAMEWORK.

MY SENSE IS -- AND I THINK OUR LOBBY TEAM WOULD AGREE, THEY WILL PROBABLY TRY TO ADDRESS IT.

NOW, I THINK MIKE HAS SUGGESTED A LOT OF THE CONVERSATIONS WITH INDUSTRY HAVE BEEN VERY POSITIVE AND WHAT WE'RE TALKING ABOUT HERE MIGHT SERVE AS A MODEL FOR SOMETHING STATEWIDE, WHICH HAS HAPPENED BEFORE.

WE WILL GO UP THERE TO ENSURE ALL THE WORK THE STAKEHOLDERS HAVE PUT INTO THIS ISN'T PREEMPTED BY SOMETHING THAT DOESN'T ADEQUATELY BALANCE NEIGHBORHOODS AND INDUSTRY.

>> PERRY: GREAT.

THANK YOU, JEFF.

APPRECIATE IT.

SO JUST A COUPLE OF SMALLER ISSUES ON THIS GRANDFATHERING.

YOU TALKED ABOUT GRANDFATHERING.

WHAT ABOUT PEOPLE THAT OWN THEM NOW THAT WANT TO SELL THEM? ARE THEY GOING TO BE GRANDFATHERED INTO THAT PROGRAM?

>> NO.

SO THE GRANDFATHERING IS NON-TRANSFERABLE TO NEW OWNERS.

I SHOULD JUST REMIND EVERYBODY -- I DON'T THINK I SAID IT.

GRANDFATHERING IS ONLY THE LOCATION OR ALLOWANCE TO DO IT.

YOU'LL STILL HAVE TO GET THE PERMIT.

YOU'LL STILL BE SUBJECT TO THE THREE STRIKES IF YOU'RE NOT A GOOD ACTOR.

BUT YOUR PERMIT OR GRANDFATHER IS NON-TRANSFERABLE TO A NEW OWNER.

>> PERRY: OKAY.

AND EVEN IF YOU'RE NOT GRANDFATHERED, IF YOU COME INTO THIS IF YOU HAVE A HOUSE AND YOU WANT TO GO --

>> IF THE ORDINANCE PASSES AND IS EFFECTIVE AND YOU START AND YOU GET A SHORT-TERM RENTAL PERMIT AND A NEW OWNER COMES IN, THEY WILL HAVE TO APPLY FOR A NEW PERMIT.

THE PERMIT ITSELF IS NOT TRANSFERABLE TO A NEW OWNER.

IT ENSURES THE OWNER THAT HAS IT GIVES US ALL THE CORRECT CONTACT INFORMATION, ALL THE STUFF WE TALKED ABOUT IN THE PERMIT.

THEY ARE HELD TO THE STANDARD OF MAKING SURE IT'S NOT A PUBLIC NUISANCE, SO WE'LL HAVE THAT PROCESS AS WELL.

>> PERRY: DID Y'ALL CONSIDER WHAT THE IMPACTS WOULD BE IF WE DID GRANDFATHER THOSE FROM SELLING FROM ONE OWNER TO THE NEXT?

>> WELL, I THINK A LOT OF THE GRANDFATHERING WAS DISCUSSED QUITE A BIT.

WE UNDERSTAND, AND EVEN THE TASK FORCE AND EVERYBODY UNDERSTOOD ABOUT STATE LAWS, LEVEL OF GRANDFATHERING AND WHAT LEGALLY IN EXISTENCE BEFORE AN ORDINANCE.

BUT CERTAINLY MOVING FORWARD AS PROPERTIES CHANGE.

THAT'S WHERE PEOPLE START LOSING THEIR GRANDFATHERING.

>> PERRY: SO ON THE PLATFORM, WHATEVER PLATFORM THEY USE TO ADVERTISE THEIR PRODUCT, WILL THEY HAVE TO HAVE THEIR PERMIT NUMBER ON THAT PLATFORM?

>> YES, THEY WILL.

THAT'S WRITTEN INTO OUR ORDINANCE.

>> PERRY: OKAY.

GREAT.

GREAT.

YEAH, THIS HAS BEEN A LONG JOURNEY AND, YES, THIS STARTED UP IN DISTRICT 10.

AND THIS HAS BEEN DISCUSSED, I MEAN, ALMOST EVERY MEETING WE HAVE UP THERE.

AND OVER TIME WE'VE JUST NOTICED THAT THE MAJORITY OF FOLKS UP THERE ARE ACTUALLY IN FAVOR OF STRS.

I MEAN, YOU LOOK AT STRS AND GENERALLY SPEAKING THESE ARE PLACES THAT ARE MAINTAINED BETTER THAN JUST A REGULAR RENTAL UNIT.

THERE HASN'T BEEN A LOT OF COMPLAINTS.

AND WHEN THERE HAVE BEEN COMPLAINTS THE FIRST QUESTION THAT WE ASK IS, WELL, HAVE YOU CALLED THAT IN? HAVE YOU CALLED 9-1-1? HAVE YOU CALLED 3-1-1? AND NORMALLY THE ANSWER COMES BACK NO.

SO WE HAVE EXISTING MECHANISMS TO POLICE AND CLEANUP, THOSE KIND OF ISSUES ON STRS.

THEY'RE ALSO IN FAVOR OF CAPS ON STRS AS FAR AS TAKING OVER AN ENTIRE NEIGHBORHOOD.

SO THEY'RE IN FAVOR OF THAT.

THEY'RE IN FAVOR OF DIFFERENT RULES BETWEEN THE TYPE ONE AND TYPE TWO.

SOMETHING WE DIDN'T TALK ABOUT HERE ABOUT SPECIAL EXCEPTIONS TO THE BOA FOR A TYPE TWO.

COULD YOU WALK THROUGH THAT?

>> SURE.

SO IF YOU'RE A TYPE TWO OR YOU WANT TO BE A TYPE TWO IN A NEIGHBORHOOD THAT ALREADY HAS REACHED THE DENSITY LIMITS.

SO YOU'LL GO TO THE BOA -- YOUR OPTION IS TO GO TO THE BOA AND APPLY FOR A SPECIAL EXCEPTION.

THE SPECIAL EXCEPTION PROCESS IS ALREADY IN OUR CODE, ESTABLISHED BY STATE LAW.

THEY WILL ASK FOR THE BOA TO GRANT THEM A SPECIAL EXCEPTION, WHICH IS ESSENTIALLY A PERMIT FOR THREE YEARS, AN ALLOWANCE FOR THREE YEARS, BECAUSE THEY WILL HAVE TO COME BACK, EVEN IF THEY GET IT, THEY'LL HAVE TO COME BACK AND RENEW THAT SPECIAL

[01:35:02]

EXCEPTION.

THE BOA IS A SUPERMAJORITY VOTE.

THE CODE DICTATES AND ESTABLISHES THE FINDINGS OF FACT.

IT CAN'T BE BASED ON A DECISION, WELL, YOU SOUND LIKE A NICE GUY, MR. SHANNON.

WE REALLY WANT TO GIVE IT TO YOU.

OR YOU SOUND LIKE A TERRIBLE GUY, MR. SHANNON.

WE'RE NOT GOING TO GIVE IT TO YOU.

THERE'S FINDINGS OF FACT THAT EVERY CASE HAS TO USE.

AND ONE OF THOSE IS DOES THE PROPOSED USE IN THAT NEIGHBORHOOD OF PROPERTY, DOES IT MAINTAIN THE ESSENTIAL CHARACTER OF THE NEIGHBORHOOD? THAT'S ACTUALLY ONE OF THE CONDITIONS THEY HAVE TO BE ABLE TO PROVE, ALONG WITH, I THINK, FIVE OTHERS.

OH, BY THE WAY, IT'S A PUBLIC HEARING PROCESS.

MEANING THE NEIGHBORS WITHIN 20G CASE OR A VARIANCE CASE, THEY GET NOTIFIED.

SO THE NEIGHBORHOOD IS WELCOME TO COME AND GIVE TESTIMONY AT THE BOA HEARINGS.

AND IT'S AN IMPORTANT ELEMENT THAT WE KEPT IN THE ORDINANCE.

AGAIN, ONLY WHEN YOU REACH THAT DENSITY LIMIT.

SO YOU ALLOW SOME BY RIGHT, BUT IF THERE'S TOO MANY, THAT'S WHAT THE ORDINANCE WILL DEFINE TOO MANY, YOU'LL HAVE TO GO THROUGH THAT SPECIAL EXCEPTION PROCESS.

>> PERRY: SO THERE'S PROCLAMATIONS.

>> ABSOLUTELY.

>> PERRY: AND THE COMMUNITY HAS AN OPPORTUNITY TO MAKE INPUT INTO THAT ALSO.

>> YES.

>> PERRY: GREAT.

AND THE LAST ONE, WE FOUND THAT THE MAJORITY OF PEOPLE DO WANT INSPECTIONS ON THESE, WHETHER THEY ARE SELF-EXPECTATIONS OR INSPECTED BY THE CITY.

JUST LOOKING AT THOSE PARTICULAR ISSUES, THAT'S ALL BEING COVERED IN WHAT Y'ALL PUT TOGETHER.

AND I'M A PROPERTY RIGHTS GUY BUT I'M ALSO A NEIGHBORHOOD GUY.

AND THERE'S GOT TO BE A BALANCE THERE SOMEWHERE.

AND I THINK WHAT Y'ALL HAVE WORKED ON OVER THE LAST TWO YEARS IS COMING UP WITH THAT BALANCE, KIND OF WHAT COUNCILMAN PELAEZ WAS TALKING ABOUT, KIND OF COMING OUT AND PUTTING IT ON THE TABLE AND LET'S GET THIS THING WRAPPED UP AND MOVE ON.

SO, ANYWAY, THANK YOU VERY MUCH FOR ALL THE WORK Y'ALL HAVE DONE ON THIS AND LOOK FORWARD TO SEEING THE FINAL FINAL, IF THERE AREN'T ANY OTHER CHANGES ON THIS.

THANK YOU, MIKE.

APPRECIATE IT.

THANK YOU, SIR.

>> MAYOR NIRENBERG: THANK YOU, COUNCILMAN PERRY.

COUNCILMAN SALDANA.

>> SALDANA: THANK YOU, MAYOR.

I'LL BE QUICK.

MICHAEL, I JUST WANT TO ASK SOME QUESTIONS.

I SEE SOME NEW FACES.

NEW TO THE ROOM, NEW TO THE COUNCIL, BECAUSE THIS IS AN ISSUE THAT MAY HAVE BROUGHT THEM DOWN TO GET TO LISTEN IN.

ARE YOU PROJECTING US VOTING ON THIS AT ANY POINT IN THE SCHEDULE? DO WE HAVE THAT YET?

>> WHENEVER YOU GUYS ASK US TO BRING IT TO COUNCIL A SESSION.

>> SCULLEY: MAYOR, COUNCIL MEMBERS, THE SOONEST WE COULD BE THAT WOULD BE NOVEMBER 1ST BECAUSE IT HAS TO BE PUBLICLY NOTICED AS A UDC AMENDMENT.

BUT THAT WOULD BE THE SOONEST.

>> SALDANA: GOTCHA.

>> SCULLEY: BUT WE'RE LOOKING FOR COUNCIL DIRECTION TODAY ON WHEN TO BRING THIS FORWARD.

>> SALDANA: THAT'S HELPFUL.

AND I THINK IF THIS WAS MY FIRST TIME AT THE COUNCIL I WOULD WONDER WHAT THE PROCESS LOOKS LIKE.

AND TO NOTE IS THAT THIS STARTED WITH A FIRST ISSUE COMPLAINT IN DISTRICT 10 AS THE COUNCILMAN SUBMITTED A REQUEST TO SAY THIS IS AN ISSUE THAT THE CITY OF SAN ANTONIO SHOULD CONSIDER.

THE ISSUE HAS GOTTEN HOTTER THAN IT WAS TWO YEARS AGO.

WHEN COUNCILMAN COURAGE IS DESCRIBING CONVERSATIONS THAT HE'S HAD IN HIS COMMUNITY, IT'S BEEN AN EVOLVING SET OF CONVERSATIONS, I WOULD IMAGINE.

AND COUNCILMAN COURAGE IS DOING HIS JOB TO MAKE SURE HE'S THE VOICE OF THE COMMUNITY MEMBERS WHO TOLD HIM, LOOK, THIS IS SOMETHING YOU ALL NEED TO TRACK AND COME UP WITH A POLICY OR COME UP WITH SOMETHING TO EITHER SLOW THEM DOWN OR MITIGATE WHAT COULD BE HAPPENING.

AND I THINK THE SPEAKS TO JUST THE POINT THAT I WANT TO MAKE, WHICH IS THIS IS THE BACK AND FORTH TUG OF WAR THAT WE PLAY SOMETIMES ON CAN WE PASS SOMETHING THAT FITS IN SAN ANTONIO, THAT MAKES SENSE FOR US.

THAT TOOK A YEAR AND A HALF TO COME UP WITH WHAT IS THE SWEET SPOT.

BECAUSE WE HAVE A CITY THAT HAS DIVERSE IN ITS NEIGHBORHOODS.

AND DISTRICT 9, AS YOU'VE HEARD TODAY, HAS HEARD ABOUT THE ISSUE AND THEIR COUNCIL REPRESENTATIVE HAS TAKEN A STRONG POSITION ON IT.

I HAVEN'T HEARD IT AS MUCH FROM THE CONSTITUENTS I REPRESENT ON THE SOUTHWEST SIDE.

THAT'S NOT TO SAY IT DOESN'T EXIST.

THERE ARE SOME STRS THAT I'M AWARE OF AROUND THE MILITARY BASE.

BUT IT'S TAKEN A DIFFERENT TONE.

AND I RESPECT THAT THERE'S A LEVEL OF ANXIETY IN A COUNCIL DISTRICT.

YOU KNOW, WHEN YOU START THINKING ABOUT THE CITY PASSING ITS OWN VERSION.

HOPEFULLY NOVEMBER 1ST WE ARE LOOKING AT THE FINAL DRAFT LANGUAGE, IT DOESN'T REALLY END THE STORY.

BECAUSE WHAT CAN HAPPEN IS THE STATE CAN TAKE ITS OWN POSITION AND REALLY JUST ERODE ANYTHING WE'VE COME UP WITH HERE.

SO I THINK WHAT WE'RE TRYING TO DO IS BE AS RESPECTFUL TO WHAT'S HAPPENING.

IF WE LET ANOTHER TWO YEARS PASS WITHOUT DOING ANYTHING ON THE

[01:40:04]

POLICY, WE'LL BE TALKING ABOUT A DIFFERENT SET OF NUMBERS WHEN WE DISCUSS WHO IS GRANDFATHERED IN AND WHO ISN'T.

SO IF I'M SITTING IN THE ROOM TODAY AND I RUN AN STR.

IF I RUN AN STR, ONE, WHICH I STAY IN MY HOME AND RENT OUT MY ROOM, I'M NOT TOO WORRIED.

IT DOESN'T SOUND LIKE THE CITY IS GOING TO PREVENT ME FROM ANYTHING I WAS DOING YESTERDAY.

BUT IF I HAVE AN STR THAT'S FUNCTIONING TODAY, WHAT I'M DOING DIFFERENTLY AFTER NOVEMBER ONE IS WHAT.

WHAT I HAVE GATHERED FROM WHAT I HAVE HEARD AND WHAT YOU HAVE PRESENTED IS I'M CURRENTLY PAYING HOT TAXES, IN SOME CASES.

>> SOME OF YOU.

>> SALDANA: SO IF I'M NOT I'M WORRIED BECAUSE THE CITY IS NOW GOING TO ACTUALLY START ENFORCING THAT.

SO I WILL BE WORRIED.

WHAT ABOUT THE REGULATIONS AND PERMIT PIECE IF I HAVE AN STR TWO?

>> IF YOU HAVE AN STR TWO, JUST LIKE AN STR ONE YOU HAVE TO COME DOWN AND GET A PERMIT FROM THE CITY, MEANING OUR DEPARTMENT.

WE WILL VERIFY THAT YOU HAVE SOME OF THE BASIC SAFETY FEATURES.

WE'LL VERIFY, IF YOU'RE ALREADY PAYING HOT TAX, YOU'LL BE GRANDFATHERED AT THAT LOCATION.

IF YOU'RE NOT GRANDFATHERED YOU MAY STILL BE ALLOWED IN THAT LOCATION BECAUSE YOU'RE THE FIRST ONE ON THAT BLOCK.

BUT YOU'LL GET A PERMIT TO DO THAT.

AND THEN YOU JUST HAVE TO FOLLOW THE RULES AND NOT BE A PUBLIC NUISANCE TO YOUR NEIGHBORHOOD.

MEANING THE THREE STRIKE RULE.

IF YOU ARE A PUBLIC NUISANCE YOU MAY GET YOUR PERMIT REVOKED.

SO THERE'S JUST A STANDARD OF CARE FOR NOT ONLY YOUR PROPERTY, YOUR GUESTS, AS WELL AS YOUR NEIGHBORS THAT WILL BE ADDED ON.

MANY OF THEM DO THAT WELL NOW.

SOME DO NOT, NECESSARILY.

BUT THAT WILL BE THE EXTRA -- I'M SORRY.

THEN YOU'LL HAVE THE $100 FEE EVERY THREE YEARS.

>> SALDANA: LET ME JUST FINISH UP MY COMMENTS BY SAYING I'M READY TO TAKE THIS ON PRETTY QUICKLY.

BECAUSE I KNOW THE SPEED AT WHICH SOME FOLKS, KNOWING THAT THERE'S NEW RULES COMING IN WILL TRY, AS QUICKLY AS POSSIBLE, TO GET THEIRS SET UP.

AND MY URGENCY IS NOT AS GREAT AS THE URGENCY THAT MIGHT BE REPRESENTED IN OTHER DISTRICTS, ESPECIALLY DISTRICT.

I HAVE TALKED TO RESIDENTS WHO LIVE IN THE SOUTH TOWN NEIGHBORHOOD AND DIGNOWITY WHO SAY IF YOU GUYS DON'T COME UP WITH SOME WAY TO PUMP THE BRAKES, THE NEIGHBORHOOD WILL LOSE ITSELF AND THE TURNOVER BETWEEN BLOCK AND BLOCK WILL GET EVEN MORE EXTENSIVE.

I'M PREPARED TO TAKE THIS ON FOR A VOTE BUT ALSO RECOGNIZING THAT I THINK THE STATUS QUO IS WHAT FRIGHTENS ME MOST, THAT IF WE DIDN'T DO ANYTHING I THINK IT WOULD STILL CONTINUE THIS PATH OF UNMITIGATED PACE OF GROWTH FOR STRS WITHOUT ANY FORM OF REGULATION.

IF IT'S NOVEMBER 1ST, SO BE IT.

IF THE COUNCIL HAS A DIFFERENT DECISION, I WOULD BE WILLING TO SUPPORT IT.

THANK YOU.

>> MAYOR NIRENBERG: THANK YOU, COUNCILMAN SALDANA.

COUNCILMAN COURAGE.

>> COURAGE: THANK YOU, MAYOR.

IF SOMEONE WERE GOING TO OPEN UP A BUSINESS, LET'S SAY A COFFEE SHOP ON A COMMERCIAL CORNER OR SOMETHING.

HOW MUCH DOES IT COST THEM TO OPEN UP THAT BUSINESS, USUALLY?

>> IT DEPENDS ON HOW MUCH WORK THEY WOULD NEED TO DO.

IF THE BUSINESS IS KIND OF ALREADY THERE AND YOU'RE JUST TAKING OVER.

>> COURAGE: SURE.

>> IT'S ABOUT $212 TO GET A CFO APPLICATION.

THAT STARTS IT.

IT COULD GROW WITH INSPECTION FEES.

BUT IF YOU'RE BUILDING A NEW ONE IT COULD BE HUNDREDS OR THOUSANDS OF DOLLARS.

>> COURAGE: OKAY.

SO WE'RE LOOKING AT LETTING PEOPLE OPEN UP BUSINESSES IN RESIDENTIAL NEIGHBORHOODS FOR $100 THEN, RIGHT?

>> SHORT-TERM RENTALS, WE CAN DEBATE ON A BUSINESS OR NOT.

BUT SHORT-TERM RENTAL IS $100.

>> COURAGE: I THINK THAT'S A LITTLE CHEAP FOR US.

AND I THINK IF PEOPLE ARE GOING TO OPEN UP A BUSINESS IN A RESIDENTIAL NEIGHBORHOOD, THEY OUGHT TO AT LEAST PAY A COUPLE HUNDRED DOLLARS FOR THAT.

IF WE WAIT THREE YEARS AND IT'S JUST $100, WHY PICK THREE YEARS? WHY NOT EVERY YEAR OR EVERY OTHER YEAR TO GO AHEAD AND HAVE A LOT MORE OF OUR OBSERVATION OF THOSE PROPERTIES AS WE RENEW THOSE?

>> SURE.

SO REMEMBER BACK IN APRIL WE PROPOSED THE ORIGINAL $200, SIMILAR TO THE $212 THAT I JUST DESCRIBED.

THAT WAS KIND OF THE LANDING SPOT.

MUCH OF THE FEEDBACK WAS THAT'S MAYBE A LITTLE TOO MUCH.

WE KNOW SOME OF YOU FELT IT WAS MAYBE NOT ENOUGH.

AND THEN THE EVERY THREE YEARS WAS REALLY TIED IN -- A LOT OF THAT DISCUSSION WAS SIMILAR TO THE SPECIAL EXCEPTION FOR THOSE THAT WILL REQUIRE A SPECIAL EXCEPTION, THAT IS A THREE-YEAR ALLOWANCE ANYWAY.

SO WE FELT IT WAS APPROPRIATE THAT EVERY THREE YEARS YOU HAVE TO RENEW.

AS LONG AS WE HAD THE ABILITY TO HAVE THAT THREE STRIKES CONFIRMED WITHIN SIX MONTHS PART OF THE ENFORCEMENT.

THOSE BALANCED EACH OTHER OUT.

BOTH THE TASK FORCE, IN GENERAL,

[01:45:01]

BECAUSE THE TASK FORCE WASN'T 100% ON ANYTHING.

BUT IN GENERAL THAT LANDED -- THAT WASN'T THE MOST DEBATABLE ITEM, LET'S JUST PUT IT THAT WAY.

>> COURAGE: THE REASON I REALLY BRING THAT UP TOO IS WE'RE TALKING ABOUT OVERSEEING THESE UNITS OVER THREE YEARS.

AND IF THERE'S 2,000 OF THEM AND THEY GIVE US $100 EACH, THAT'S $200,000 TO KIND OF SET ASIDE TO TAKE THESE ON, OTHER THAN USING HOT TAX AND THINGS LIKE THAT.

IT JUST SEEMS LIKE WE'RE NOT GOING TO BE ABLE TO COVER OUR EXPENSES, ESPECIALLY IF IT GROWS TO OTHER UNITS.

YOU HAVE SAID YOU DON'T HAVE ENOUGH STAFF, YOU HAVE TO HIRE MORE.

I HATE TO SEE MORE MONEY COMING OUT OF THE GENERAL FUND TO COVER BUSINESSES OPENING UP IN RESIDENTIAL NEIGHBORHOODS.

SO I'D REALLY LIKE TO HAVE THE COUNCIL RECONSIDER $200 OF THAT FEE.

I PREFER EVERY TWO YEARS, BUT THAT'S JUST ME.

THE LAST THING I WANTED TO BRING UP WAS A SUGGESTION THAT CAME OUT AGAIN IN OUR HOUSING WORK.

AND THEY POINTED OUT THAT SHORT-TERM RENTALS WERE ILLEGAL IN NEW ORLEANS UNTIL APRIL 2017.

SINCE THEN MORE THAN 4400 LICENSES HAVE BEEN ISSUED.

NEARLY 75% ALLOW ENTIRE HOMES TO BE RENTED.

PRETTY MUCH TYPE TWO RENTALS.

DUE TO THE CONTROVERSY, NEW ORLEANS HAS BECOME ONE OF THE FIRST TO ESTABLISH A ONE DOLLAR PER NIGHT FEE EARMARKED FOR ITS NEIGHBORHOOD HOUSING IMPROVEMENT FUND.

WHY CAN'T WE HAVE A ONE DOLLAR PER NIGHT FEE THAT COULD GO TO OUR AFFORDABLE HOUSING?

>> GOOD AFTERNOON.

[LAUGHTER] THERE'S ACTUALLY A STATUTORY PROHIBITION ON LINKAGE FEES.

AND THAT IS ASSESSING A FEE ON ANY KIND OF DEVELOPMENT OR ANY OTHER KIND OF ENTITY AND SETTING IT ASIDE FOR AFFORDABLE HOUSING.

SO THERE'S ACTUALLY STATE LAW THAT PROHIBITS US FROM DOING THAT, SPECIFICALLY.

>> COURAGE: WELL, THAT ANSWERS MY QUESTION.

THANK YOU.

>> MAYOR NIRENBERG: GREAT.

THANK YOU, COUNCILMAN COURAGE AND THANK YOU AGAIN, MIKE, FOR THE PRESENTATION.

AND COUNCIL FOR A GOOD IN-DEPTH CONVERSATION.

MY INSTINCT IS WE HAVE GREAT WORK DONE ON THIS AND GOOD COMPROMISE.

AND I THINK WE'RE AT THE POINT WHERE WE CAN MAKE A DECISION.

MY INSTINCT IS JUST TO MOVE ON.

SO WHAT I WOULD SUGGEST IS THAT WE GO AHEAD AND NOTICE IT AND I'LL CONFER WITH OUR COLLEAGUES HERE, JUST TO MAKE THE DETERMINATION.

BUT TENTATIVELY SCHEDULE FOR NOVEMBER 1ST.

[1. Briefing on the City's State Legislative Program for the 86th State Legislative Session. [Carlos Contreras, Assistant City Manager; Jeff Coyle, Director, Government & Public Affairs]]

THANK YOU, MIKE.

WE'VE GOT ANOTHER ITEM?

>> SCULLEY: YES, MAYOR.

WE HAVE A BRIEFING FROM JEFF COYLE, OUR DIRECTOR OF INTERGOVERNMENTAL RELATIONS AND PUBLIC AFFAIRS.

AND THIS IS ON THE PROPOSED TEXAS LEGISLATIVE PROGRAM FOR THE 86TH LEGISLATIVE SESSION THAT BEGINS ON JANUARY 8TH.

STATE LAW GRANTS CITY COUNCIL THE AUTHORITY TO SET POLICY AND ENACT ORDINANCES THAT ARE IN THE BEST INTEREST OF THE COMMUNITY.

AND YET EACH LEGISLATIVE SESSION WE, OF COURSE, HAVE SEEN HUNDREDS OF BILLS THAT WOULD PREEMPT YOUR DECISION MAKING AUTHORITY AND DO DAMAGE TO NOT ONLY OUR CITY BUT CITIES THROUGH THE TEXAS.

THE 2017 LEGISLATIVE SESSION AND THE SUBSEQUENT SPECIAL SESSION WERE PERHAPS THE MOST DIFFICULT FOR CITIES IN RECENT YEARS.

AND LOOKING AHEAD TO 2019 WE ANTICIPATE FURTHER CHALLENGES.

THE PROPOSED PROGRAM THAT JEFF IS ABOUT TO LAY OUT IS INTENDED TO SERVE NOT JUST THE CITY ORGANIZATION BUT THE BEST INTEREST OF ALL SAN ANTONIANS BY ALIGNING WITH THE PRIORITIES OF OUR ELECTED CITY COUNCIL AND BY ESTABLISHING PARTNERSHIPS WITH MANY OTHER PUBLIC AND PRIVATE ENTITIES WOULD SHARE AN INTEREST IN WHAT HAPPENS AT THE CAPITAL.

SO TEXAS CITIES ARE SOME OF THE BIGGEST AND FASTEST GROWING IN THE COUNTRY.

AND SAN ANTONIO, AUSTIN, DALLAS, HOUSTON, FORT WORTH, EL PASO, AND CORPUS CHRISTI DRIVE THE STATE'S ECONOMY.

SO WE INTEND TO GO TO THE LEGISLATURE WITH A MESSAGE THAT SUCCESS AT OUR LEVEL IS SUCCESS AT THE STATE'S LEVEL AS WELL AS A REMINDER THAT THE STATE CREATED ITS MORE THAN 1200 CITIES IN TEXAS TO PROVIDE CRITICAL SERVICES AT THE LOCAL LEVEL.

SO THE CITY-STATE PROGRAM WILL GO TO FULL CITY COUNCIL FOR CONSIDERATION NEXT WEEK ON OCTOBER 18TH.

BUT WE ARE HERE TODAY THIS AFTERNOON TO BRIEF YOU.

OF COURSE, THIS HAS BEEN DISCUSSED AT THE INTERGOVERNMENTAL RELATIONS SUBCOMMITTEE OF THE CITY COUNCIL, BUT WE WANTED A CHANCE TO FURTHER DISCUSS THE RECOMMENDATIONS WITH YOU THIS AFTERNOON.

AND THEN WE WILL PRESENT THIS PROGRAM NEXT WEEK FOR APPROVAL BY THE CITY COUNCIL.

WITH THAT, I'LL TURN IT OVER TO JEFF COYLE, OUR DIRECTOR OF THESE PROGRAMS.

>> I REALLY THOUGHT EVERYBODY IN

[01:50:02]

THE ROOM WAS WAITING FOR THIS PRESENTATION.

BUT THAT'S OBVIOUSLY NOT THE CASE.

[LAUGHTER] THANK YOU, SHERYL.

VERY QUICKLY I JUST WANTED TO MAKE SURE THAT YOU ALL ARE FAMILIAR WITH OUR TEAM.

FIRST, OUR STAFF TEAM HERE, ASSISTANT DIRECTOR, MEAGAN DODGE.

AND OUR STATE LEGISLATIVE MANAGER, CHRISTINE WRIGHT, WHO BOTH PUT A LARGE PART OF THEIR LIVES ON HOLD EVERY OTHER JANUARY THROUGH JUNE.

AND THE BULK OF OUR CONSULTANT LOBBY TEAM HERE AS WELL.

I'LL START WITH MARK RODRIGUEZ, WHO HAS BEEN WITH THE CITY THE LONGEST.

IN FACT, HE WAS IN MY SEAT MANY YEARS AGO.

HE WAS THE CHAMBER'S GOVERNMENT AFFAIRS PERSON AFTER THAT.

HAS REPRESENTED THE CITY AND HAS ALSO SERVED AS A FORMER PRESIDENT OF THE U.S. HISPANIC CHAMBER OF COMMERCE.

MIKE TUMEY AND CARRY SIMMONS.

MIKE IS A FORMER HOUSE MEMBER, CHIEF OF STAFF TO TWO FORMER TEXAN GOVERNORS, THE ONLY PERSON WHO HAS EVER DONE THAOT.

AND KARI IS A FORMER LEGISLATIVE AIDE OF THE HOUSE REPUBLICAN CAUCUS AND SHE HELPED FORM A PAC FOR REPUBLICAN WOMEN A FEW YEARS AGO BEFORE JOINING MIKE'S FIRM.

JESSE ANCIRA IS FORMER -- NOT FORMER -- SPEAKER STRAUS' FORMER CHIEF OF STAFF.

HE'S ALSO A FORMER MAYOR OF HIS HOMETOWN, TAILOR, TEXAS, AND IS A FORM GENERAL COUNSEL FROM THE COMPTROLLER'S OFFICE.

AND ANDREW KEEFER FROM FOCUSED ADVOCACY.

THEY SPECIALIZE IN MUNICIPAL GOVERNMENT .

THEY REPRESENT US AS WELL AS A NUMBER OF OTHER CITIES IN TEXAS.

COUNCILMAN COURAGE, YOU OFTEN TALK ABOUT WORKING WITH OTHER CITIES.

PART OF THE WAY WE DO IT IS THROUGH FOCUSED ADVOCACY.

SO WITH THAT, THE LEGISLATIVE PROGRAM, OF COURSE, IS WHAT GIVES US -- IS YOU ALL GIVING US THE GUIDANCE AND DIRECTION TO BE ABLE TO ADVOCATE ON BEHALF OF THE CITY AND ITS RESIDENTS AT THE LEGISLATURE, WITH THE GOVERNOR'S OFFICE, AND WITH THE STATE AGENCIES.

AND AS SHERYL TOUCHED ON,HAT MET OF DEFENSE MORE SO THAN OFFENSE.

A LITTLE BIT OF BACKGROUND, SORT OF A ONE-ON-ONE.

IN TEXAS THE LEGISLATURE MEETS EVERY OTHER YEAR BEGINNING IN JANUARY OF ODD-NUMBERED YEARS.

AND THEY RUN FROM 140 DAYS FROM JANUARY TO BASICALLY THE START OF JUNE.

IT'S A TWO-CHAMBER LEGISLATURE.

THE SENATE HAS 31 MEMBERS AND THE LIEUTENANT GOVERNOR, WHO IS ELECTED STATEWIDE IS THE PRESIDING OFFICER OF THE SENATE.

THE HOUSE HAS 150 MEMBERS AND THE SPEAKER OF THE HOUSE IS ELECTED FROM WITHIN THE BODY.

AND ALL 150 HOUSE MEMBERS ARE UP FOR ELECTION IN NOVEMBER.

AND 16 OF THE 31 SENATE SEATS ARE UP FOR ELECTION IN NOVEMBER.

THEY ARE ON A ROTATING SCHEDULE, ALTERNATING SCHEDULE.

LAST SESSION, AND THIS IS PRETTY TYPICAL, JUST UNDER 7,000 BILLS WERE FILED ALL TOGETHER.

MORE THAN 2,000 OF THEM WOULD HAVE AFFECTED CITIES IN SOME WAY.

AND THAT'S NOT NORMAL.

IT'S BEEN GROWING OVER THE YEARS, THE FOCUS AND SORT OF THE CONFLICT BETWEEN STATE AND LOCAL GOVERNMENT.

WE AS A TEAM TRACKED JUST ABOUT 2,000 OF THOSE BILLS AS WELL THROUGHOUT THE SESSION.

AND ULTIMATELY WHEN ALL WAS SAID AND DONE AT THE END OF THE REGULAR SESSION, 1200 OF THOSE BILLS PASSED, OF THE 6800.

WITH ABOUT 25% OF THEM HAVING SOME IMPACT ON STATE GOVERNMENT.

SO IT VERY WELL -- RESIDENTS IN OUR COMMUNITY DON'T OFTEN RECOGNIZE IT VERY MUCH WHAT HAPPENS UP AT THE CAPITAL AFFECTS US HERE AT THE LOCAL LEVEL IN OUR EVERYDAY LIVES.

LAST SESSION THERE WAS A SPECIAL SESSION AFTER THE REGULAR SESSION.

THE GOVERNOR PUT 20 ITEMS ON THE CALL, AND JUST ABOUT HALF OF THEM, NINE OF THE 20 PASSED.

MANY OF THEM DID FOCUS ON CITIES' REVENUE CAP OR PROPERTY TAXES, SPENDING CAPS, A SUPER VESTING PERMIT SUGGESTION, WHICH WOULD HAVE ESSENTIALLY MEANT WHENEVER A PROPERTY WAS BOUGHT, ONLY THE ORDINANCES IN PLACE AT THAT TIME APPLY AND ANYTHING PASSED AFTER THAT WAS ESSENTIALLY GRANDFATHERED TO THAT PROPERTY.

THE BATHROOM BILL, CELL PHONE, TEXTING PREEMPTION, A NUMBER OF OTHER THINGS.

AT THE END OF THE DAY, OF THOSE ISSUES IN THE SPECIAL SESSION THAT WOULD HAVE AFFECTED CITIES, ONLY TWO PASSED.

ONE WAS A TREE AND THE SECOND WAS A WIDE-SWEEPING REFORM OF ANNEXATION LAW, WHICH YOU ALL KNOW VERY WELL.

SO HERE'S THE LANDSCAPE GOING FORWARD.

ELECTION DAY IS NOVEMBER 6.

THERE WILL BE AT LEAST 21 NEW HOUSE MEMBERS OF THE 150.

[01:55:02]

I SAY AT LEAST BECAUSE 13 ARE LEAVING, RETIRING.

AND EIGHT HAVE BEEN -- EIGHT INCUMBENTS HAVE BEEN DEFEATED IN THE PRIMARIES.

THERE COULD BE OTHER TURNOVER PENDING THE NOVEMBER 6 ELECTION.

IN THE SENATE, THERE WILL BE AT LEAST THREE NEW SENATORS.

AND FROM OUR DELEGATION, WE HAVE TEN HOUSE MEMBERS AND FOUR SENATORS.

OF THE TEN, WE'LL HAVE THREE NEW HOUSE MEMBERS, AT LEAST, AND ONE NEW SENATOR AMONGST THE FOUR.

AND THEN OF COURSE THE BIG NEWS THAT ALL OF YOU KNOW IS THAT THE SPEAKER OF THE HOUSE, JOE STRAUS, IS NOT RUNNING AGAIN.

SO THE MAIN FOCUS OF THE ENTIRE LEGISLATURE, REALLY WHEN THEY CONVENE IN JANUARY, WILL BE WHO EMERGES AS THE NEW LEADER OF THE HOUSE ELECTED BY THE BODY.

SO HERE'S THE TIMELINE LEADING UP TO TODAY.

BEGINNING BACK IN THE SPRING, WE REQUESTED FROM DEPARTMENTS SUGGESTIONS ON LEGISLATIVE ISSUES THAT THEY HAD AND WANTED US TO FOCUS ON.

WE REVIEWED THOSE WITH OUR CONSULTANT TEAM AND AS A STAFF PRESENTED THOSE TO CITY LEADERSHIP, SHERYL, AND THE EXECUTIVE LEADERSHIP TEAM.

AND THEN PRESENTED A DRAFT AGENDA TO THE IGR COMMITTEE SEPTEMBER 12TH.

WE ARE NOW IN THE B SESSION PRESENTATION.

THERE WAS ANOTHER IGR COMMITTEE MEETING NEXT WEEK, WHICH WILL NEED TO WRAP UP A FEW LOOSE ENDS THAT WE'LL TALK ABOUT IN A MINUTE.

BUT THEN, AS SHERYL MENTIONED, ON OCTOBER 18, TWO WEEKS FROM NOW, COUNCIL WOULD VOTE ON THE FULL LEGISLATIVE AGENDA.

AND THEN SHORTLY AFTER THAT PREFILING OF BILLS BEGINS IN NOVEMBER.

AND WE WILL HAVE OUR BIANNUAL DELEGATION BRIEFING IN DECEMBER WHERE WE INVITE ALL OF OUR SAN ANTONIO MEMBERS IN TO HEAR OUR AGENDA AND DISCUSS THE ISSUES.

SO OUR PROGRAM IS STRUCTURED LIKE THIS.

THE MOST IMPORTANT PART OF IT IS OUR PRIORITIES SECTION.

AND WE KEEP THOSE FEW IN NUMBER.

THEY COULD BE OFFENSIVE.

THEY COULD BE DEFENSIVE.

BUT WE'LL GET TO THOSE IN A SECOND.

I'LL SPEND THE MOST TIME TALKING ABOUT THOSE.

NUMBER TWO ARE INITIATIVES.

THOSE ARE BILLS THAT ARE -- GENERALLY THEY'RE SPECIFIC ONLY TO SAN ANTONIO.

AND THEY REQUIRE US TO DRAFT THE LEGISLATION, FIND A SPONSOR, SHEPHERD IT THROUGH THE ENTIRE PROCESS.

AND A LOT OF ENERGY GOES INTO PASSING A BILL.

SO WE TYPICALLY KEEP THOSE FEW IN NUMBER.

THE THIRD SECTION IS OUR ENDORSEMENTS.

ITEMS THAT WE ARE RECOMMENDING THAT THE CITY SUPPORT.

BUT WE WON'T NECESSARILY BE THE LEAD HORSE ON.

THE FOURTH IS OUR PROTECTION OF COMMUNITY INTEREST, SORT OF A STATEMENT ABOUT PROTECTING THE CITY ORGANIZATION AND ULTIMATELY THE RESIDENTS OF THIS COMMUNITY.

AND THEN THE FIFTH IS OUR PARTNERSHIPS.

RATHER THAN LISTING ALL THE LEGISLATIVE PRIORITIES OF ALL THE OTHER ENTITIES IN TOWN, WE IDENTIFY THOSE ORGANIZATIONS THAT WE'LL WORK WITH, AND SO LONG AS THEY DON'T CONFLICT WITH OUR PRIORITIES WE'LL SUPPORT AND FIGHT ALONGSIDE THEM, SO TO SPEAK.

SO HERE ARE THE SIX PRIORITIES THAT WE'RE RECOMMENDING.

MEANINGFUL PROPERTY TAX RELIEF, PROTECTING OUR PUBLIC UTILITIES IN SAN ANTONIO, PRESERVING YOUR LOCAL DECISION-MAKING AUTHORITY AS A CITY COUNCIL, SUPPORTING OUR MILITARY, KEEPING OUR CITY COMPETITIVE ECONOMICALLY, AND THEN I WANT TO NOTE FOR THE IGR COMMITTEE WE'VE ADDED THIS SIXTH ITEM ABOUT TRANSPORTATION FUNDING.

IT WAS IN THE PROGRAM WHEN IT WENT THROUGH IGR IT WAS IN THE ENFORCEMENT SECTION AUDIO] CONVERSATIONS ABOUT CONNECT SA.

WE'RE RECOMMENDING THAT WE MOVE THAT UP INTO THE PRIORITY SECTION.

LET ME GO THROUGH EACH OF THESE.

MEANINGFUL PROPERTY TAX RELIEF IS A LITTLE BIT OF A NUANCED AND NEW POSITION FOR THE CITY.

WE HAVE ALWAYS ARGUED THAT THE REAL SOLUTION FOR PROPERTY TAXES WAS MORE STATE FUNDING FOR PUBLIC SCHOOLS.

BUT WE'VE NEVER MADE THAT AN ISSUE THAT WE'VE ENGAGED ON AT THE LEGISLATURE.

WE HAVE TYPICALLY DEFENDED AGAINST WHAT WE'VE FELT WERE SHORT-SIGHTED SOLUTIONS CAPPING CITIES THAT DIDN'T REALLY GET AT THE HEART OF THE ISSUE.

OUR CHAIRMAN SALDANA RECOMMENDED BACK EARLY IN THE YEAR THAT WE BRING ALL THE SUPERINTENDENTS IN FROM OUR LOCAL SCHOOL DISTRICTS.

AND MOST ATTENDED, AND WE HAD AN EXCELLENT DISCUSSION AMONGST THEM.

AND THAT LED, I THINK, TO A REALIZATION THAT THE CITY HAS A VESTED INTEREST IN THIS ISSUE OF PUBLIC EDUCATION FUNDING.

RATHER THAN BEING UP THERE AND BEING ANTI-REVENUE CAPS, WE ARE FOR PROPERTY TAX RELIEF IN THE FORM OF STATE FUNDING A BETTER SHARE OF DOING ITS PART TO FUND PUBLIC EDUCATION.

SO, NUMBER ONE, WE WANT MORE FUNDING FOR SCHOOLS.

SECOND ITEM IS MORE FLEXIBILITY FOR YOU AS AN ELECTED BODY TO

[02:00:01]

PROVIDE TARGETED TAX RELIEF.

THAT'S A NOD TO A COUPLE OF THINGS.

NUMBER ONE, THE MAYOR'S HOUSING TASK FORCE TALKED ABOUT PROPERTY TAX RELIEF FOR PEOPLE WHO HAVE LIVED IN THEIR HOMES FOR A LONG PERIOD OF TIME.

LOW AND MIDDLE INCOME HOMEOWNERS.

THERE WAS A DISCUSSION AT THE BUDGET WORK SESSION ABOUT THE STATE-WIDE VETERANS EXEMPTION AND HOW WE CAN'T CHANGE THE NUMBER THERE BECAUSE IT'S A STATE-WIDE MANDATE.

ESSENTIALLY THE SECOND PLANK OF THE MEANINGFUL PROPERTY TAX REFORM IS THE ABILITY FOR YOU ALL AT THE LOCAL LEVEL TO DECIDE, TO BE ABLE TO PASS OTHER TAX RELIEF AS APPROPRIATE FOR THE COMMUNITY, AS OPPOSED TO THE STATE DOING A ONE SIZE FITS ALL.

AND THEN THE THIRD PLANK IN THE MEANINGFUL PROPERTY TAX RELIEF IS OF COURSE OPPOSING A REDUCTION OF THE ROLLBACK RATE.

IT'S CURRENTLY 8% RIGHT NOW, AS YOU KNOW.

WHICH WOULD POTENTIALLY COST THE CITY MILLIONS.

WE REMAIN OPPOSED TO RECOMMENDING THAT POSITION.

JUST AN OVERVIEW ON PROPERTY TAX.

YOU KNOW THIS STUFF BUT WE WANT TO MAKE SURE WE RESTATE IT FOR THE COMMUNITY.

THE PART THAT WE CONTROL AS A CITY, OUR TAX RATE, HAS NOT BEEN RAISED IN 25 YEARS AND HAS BEEN LOWERED SEVEN TIMES SINCE THEN.

THIS FISCAL YEAR YOU ALL PASSED A BUDGET THAT PROVIDES ROUGHLY $52 MILLION IN LOCALLY ENACTED PROPERTY TAX RELIEF TO SENIORS AND DISABLED HOMEOWNERS.

AND OF COURSE THE CITY'S PORTION OF THE TAX BILL IN BEXAR COUNTY IS ABOUT 20% WHERE SCHOOLS MAKE UP 50% AND THEN A NUMBER OF OTHER TAXING ENTITIES THE BULK OF THAT.

IN FACT, YOU HAVE SEEN THIS BEFORE.

WE TALKED ABOUT THE SCHOOL PORTION.

THIS IS REALLY JUST THE PAST EIGHT YEARS.

AND THE TREND GOES BACK FURTHER THAN THAT.

ABOUT A DECADE AGO THE SHARE BETWEEN STATE FUNDING FOR EDUCATION WHICH, BY THE WAY, COMES PRIMARILY FROM OIL AND GAS.

THE STATE'S PORTION AND THE LOCAL PROPERTY TAX BURDEN WERE ABOUT 50/50.

AND THAT HAS BEEN CHANGING OVER THE YEARS TO THE POINT NOW WHERE THE PROJECTION FOR THIS YEAR IS THAT LOCAL TAXPAYERS WILL BEAR 62% OF THE BURDEN WHILE THE STATE'S SHARE HAS DECLINED TO 38%.

THE PROJECTIONS AUDIO].

COMMITTEE ON PROPERTY TAX REFORM HELD A HEARING ON WHAT CITIES DO TO EDUCATE THEIR RESIDENTS ON THE BUDGET.

ALL THE FEEDBACK WE GET FROM THE COMMUNITY ABOUT WHAT THEY WANT TO SEE IN THE BUDGET.

PREDICTABLY THE CONVERSATION TURNED TO PROPERTY TAXES.

THE CHAIR OF THE COMMITTEE IS THE SENATOR BETTENCOURT HAS BEEN THE AUTHOR OF THE REVENUE CAP BILL IN PAST SESSIONS.

AND THE ARGUMENT THAT THEY'RE MAKING UP THERE IS THAT PROPERTY TAXES ARE OUTPACING INDIVIDUALS' ABILITY TO PAY FOR THEM, INCOMES.

AND UNFORTUNATELY, THE UNDERPINNING OF THAT IS DATA THAT IS FLAWED.

PARTICULARLY WHAT THEY SHOW IS A TAX LEVY THAT OVER THE PAST FIVE YEARS HAS GONE UP X PERCENT WHILE INCOME HAS ONLY GONE UP Y PERCENT.

BUT THE PROPERTY TAX LEVY INCLUDES NOT JUST THE INCREASED TAXES THAT EXISTING PROPERTY OWNERS ARE PAYING, IT ALSO INCLUDES NEW PROPERTY TAXES COMING ON THE ROLLS.

AND SO THAT'S NOT A FAIR REFLECTION OF WHAT A PROPERTY TAX PAYER'S BURDEN HAS BEEN OVER TIME.

SECONDLY, AND I POINTED THIS OUT IN THE COMMITTEE, THE DATA THEY SHOWED WAS FOR THE PAST FIVE YEARS, WHICH SHOWS AN UPWARD TRAJECTORY OF PROPERTY TAX COLLECTIONS.

WHAT IT DIDN'T SHOW WAS THE FOUR OR FIVE YEARS BEFORE THAT WHEN THE MARKET WAS DOWN, WHEN VALUES WERE DOWN, AND CONSEQUENTLY OUR REVENUES AS A CITY WERE DOWN.

THE COUNCIL AT THAT TIME DIDN'T RAISE THE RATE TO MAKE UP FOR IT.

WE MADE CUTS AS AN ORGANIZATION AND LIVED WITHIN THEM.

WHEN YOU AVERAGE THAT PERIOD OF TIME WITHIN THE CURRENT GROWTH PERIOD OF TIME WE'RE AT ABOUT 3.5% REVENUE GROWTH OVER A DECADE, WHICH IS MUCH MORE MODEST THAN WHAT HAS BEEN PRESENTED AT THE STATE LEVEL.

AS I THINK YOU KNOW THE GOVERNOR HAS PROPOSED A PROPERTY TAX REFORM PLAN EARLIER THIS YEAR WHICH WILL, I THINK, START THE CONVERSATION AT THE LEGISLATURE.

IT CALLS FOR A 2.5% CAP.

WE CALL IT A CAP AS OPPOSED TO A ROLLBACK RATE.

RIGHT NOW THE 8% ROLLBACK RATE MEANS IF WE EXCEED THAT THE PUBLIC CAN PETITION AND FORCE AN ELECTION TO ROLL IT BACK TO THE 8%.

THIS WOULD PUT THE ONUS ON THE

[02:05:03]

CITY.

IF WE EXCEEDED 2.5% WE WOULD HAVE TO HOLD AN ELECTION PROACTIVELY TO BE ABLE TO GET PERMISSION FROM THE VOTERS TO EXCEED 2.5%.

AND THAT EXCEEDANCE WOULD BE LIMITED.

IT WOULD ONLY BE ALLOWED FOR PUBLIC SAFETY.

NOT ONLY PUBLIC SAFETY, BUT PUBLIC SAFETY COMPENSATION.

AND IT WOULD BE FOR CRITICAL INFRASTRUCTURE.

THOSE WOULD BE THE REASONS WE COULD EXCEED 2.5% REVENUE GROWTH.

IT WOULD REQUIRE A SUPERMAJORITY OF THE CITY COUNCIL TO CALL AN ELECTION.

AND A SUPERMAJORITY, MEANING TWO-THIRDS VOTE OF THE VOTERS, TO APPROVE IT.

AND THAT TWO-THIRDS SUPERMAJORITY REQUIREMENT ALSO EXTENDS TO FUTURE -- WOULD EXTEND TO FUTURE BOND PROGRAMS. SO TWO-THIRDS OF THE VOTERS GOING FORWARD IF THIS WERE TO BE PASSED WOULD HAVE TO APPROVE A BOND ISSUANCE AS OPPOSED TO THE SIMPLE MAJORITY THAT EXISTS TODAY.

SO, SECOND ITEM, AND I'LL BE FASTER WITH THESE, IS ABOUT OUR PUBLIC UTILITIES.

WE ALL KNOW WE'RE VERY BLESSED HERE TO OWN CPS ENERGY AND THE SAN ANTONIO WATER SYSTEM.

WE WANT TO MAKE SURE THAT THE TAXPAYERS' INVESTMENT IN THOSE UTILITIES IS PROTECTED.

THERE'S A DISCUSSION GOING ON AT THE LEGISLATURE ABOUT MUNICIPALLY-OWNED UTILITIES.

AND PAULA GOLD-WILLIAMS FROM CPS GAVE EXCELLENT TESTIMONY AT THE INTERIM HEARING THIS SUMMER.

ONE OF THE THINGS THAT HAS REALLY BEEN TO YOUR BENEFIT IS THAT THE MUNICIPALLY OWNED UTILITIES IN THE STATE HAVE PROPPED UP THE ENERGY GRID ACROSS TEXAS IN THE STRESSFUL MONTHS IN TERMS OF ENERGY USE.

SO THERE'S ALSO BEEN DISCUSSION LOCALLY ABOUT DIVERTING ESSENTIALLY THE CITY'S RETURN ON ITS INVESTMENT IN THIS UTILITY SO MANY YEARS AGO.

AND WE RECOMMEND STRONG OPPOSITION TO THAT, THE RETURN ON INVESTMENT GOES TO THE CITY BECAUSE OF THE OWNERSHIP AND LIABILITY THAT THE CITY HAS IN OWNING THIS UTILITY.

AND ALSO IS IN LIEU OF PROPERTY TAXES AND RIGHT OF WAY FEES THAT WOULD OTHERWISE BE COLLECTED BY THE CITY IF CPS WERE A PRIVATE UTILITY.

AND THIS IS A LITTLE BIT BROADER CATEGORY ABOUT PRESERVING LOCAL DECISION-MAKING AUTHORITY.

IN A NUTSHELL, A LOT OF WHAT WE'RE UP AT THE CAPITAL DEFENDING IS THE ABILITY OF THE CITY COUNCIL TO PASS ORDINANCES THAT YOU FEEL ARE IN THE BEST INTEREST OF YOUR CONSTITUENTS AS OPPOSED TO STATE-WIDE PREEMPTIONS.

WE LIVE IN A HOME RULE ENVIRONMENT WHERE STUDIES OF OUR SIZE ARE GIVEN THE AUTHORITY TO MAKE DECISIONS AS AN ELECTED BODY.

BUT IN RECENT YEARS SOME STATE OFFICIALS HAVE NOT LIKED DECISIONS THAT LOCAL OFFICIALS HAVE MADE, HAVE SEEN IT AS THEIR INTEREST TO PREEMPT.

AND SO SOME OF THE AREAS THAT WE EXPECT -- YOU ASKED, COUNCILMAN PERRY, ABOUT SHORT-TERM RENTALS WILL BE ONE THAT WE EXPECT TO COME UP.

TREE ORDINANCES.

THE CITY'S PAY DAY LENDING ORDINANCE.

THERE ARE ALWAYS ISSUES RELATED TO EMINENT DOMAIN AND INVESTED RIGHTS AND ESSENTIALLY DIALING BACK HOW THE CITY CAN REGULATE DEVELOPMENT.

AND EVEN BALLOT LANGUAGE, REQUIRING PAGES AND PAGES OF INFORMATION ABOUT PER CAPITA DEBT AND SO FORTH, INPUT ON BOND MEASURES THAT ARE PUT BEFORE THE VOTERS.

THE NEXT ITEM -- EXCUSE ME -- IS SUPPORT FOR MILITARY CITY, USA.

AND THIS IS A REALLY IMPORTANT ONE, BECAUSE FOR MANY YEARS THE DEFENSE ECONOMIC ADJUSTMENT ASSISTANCE GRANT PROGRAM WENT UNFUNDED BY THE LEGISLATURE WHEN BUDGETS WERE TIGHT.

AND SEVERAL YEARS AGO OUR CITY CAME TOGETHER WITH THE 15 OTHER COMMUNITIES ACROSS THE STATE THAT HAVE MILITARY BASES AND FORMED AN ALLIANCE TO GO ADVOCATE FOR MONEY BEING PUT BACK INTO THAT FUND.

WE WERE SUCCESSFUL IN SEEING AN APPROPRIATION OF 30 MILLION TWO SESSIONS AGO.

OF THAT $50 MILLION POT SAN ANTONIO HAS SUCCESSFULLY DRAWN DOWN JUST UNDER $15 MILLION OF THE $50 MILLION.

THOSE HAVE BEEN TO CONNECT ALL OF OUR BASES TO THE SAWS WATER SYSTEM FOR BACKUP WATER, FOR BEXAR COUNTY TO ACQUIRE PROPERTY AROUND RANDOLPH TO PREVENT ENCROACHMENT THERE.

AND MOST RECENTLY FOR PORT SAN ANTONIO TO DO IMPROVEMENTS AT ITS AIRFIELD.

ITS TRAFFIC CONTROL TOWER AND ITS LANDING RUNWAY.

AND I WANT TO GO BACK JUST A SECOND, BECAUSE ONE OF THE IMPORTANT THINGS IS THE MILITARY CAN'T TYPICALLY -- WELL, THEY CAN'T AT ALL, ADVOCATE ON POLITICAL ISSUES.

THEY DON'T GO UP TO THE CAPITAL AND SAY WE'RE FOR OR AGAINST THIS ISSUE OR THAT ISSUE.

THEY COMMUNICATE TO US THROUGH OUR OFFICE OF MILITARY AFFAIRS, THROUGH JUAN'S TEAM, ABOUT

[02:10:01]

WHAT'S IMPORTANT TO THEM.

AND WE SEE IT AS AN OBLIGATION ON OUR PART TO BE ABLE TO PROTECT THEIR INVESTMENT HERE AND THEIR ABILITY TO CONTINUE TO SURVIVE AND TRAIN HERE.

SO OUR SUPPORT OF THE MILITARY SPEAK SOMETIMES FOR THE MILITARY WHEN THEY CAN'T.

NEXT ITEM ISS A BROADER CATEGORY AS WELL ABOUT KEEPING THE CITY COMPETITIVE.

THIS INCLUDES OUR CONTINUED VIABILITY TO BE ABLE TO ATTRACT BUSINESSES AND MAJOR SPORTING EVENTS, LIKE THE FINAL FOUR.

SUPPORTS THE CONTINUATION OF LOCAL AND STATE INCENTIVES WHEN WE'RE TRYING TO RECRUIT CORPORATIONS HERE.

THE CHAPTER 312, THE PROPERTY TAX ABATEMENT STATUTE IS UP FOR SUNSET THIS YEAR.

SO IN ORDER FOR THAT TO CONTINUE, THE LEGISLATURE WILL HAVE TO TAKE ACTION, AND WE CERTAINLY SUPPORT THAT.

AND THEN ALSO THE MAJOR EVENTS REIMBURSEMENT PROGRAM, WHICH IS THE FORMER TRUST FUND.

WE DRAW UPON AND RECEIVE REIMBURSEMENT FROM THE STATE WHEN WE HOST MAJOR EVENTS LIKE THE FINAL FOUR.

AND THERE'S EFFORTS TO ELIMINATE THAT PROGRAM, WHICH WE WOULD RECOMMEND OPPOSITION TO.

AND THEN FINALLY THAT SIXTH PRIORITY ABOUT TRANSPORTATION FUNDING REALLY COMES DOWN TO TWO THINGS.

WE WOULD SUPPORT ANY LEGISLATION THAT WOULD ALLOW LOCAL ELECTED OFFICIALS AND/OR THE VOTERS OF THIS COMMUNITY TO CONSIDER ADDITIONAL FUNDING SOURCES TO GENERATE NEW SOURCES OF FUNDING FOR TRANSPORTATION, WHETHER IT'S STREETS, SIDEWALKS, TRANSIT, OR OTHER ISSUES.

AND THEN SECONDLY WE SUPPORT EQUITABLE DISTRIBUTION OF STATE FUNDING, TO MAKE SURE SAN ANTONIO IS GETTING ITS SHARE.

AND THE CONTINUED FULL FUNDING OF PROPS 1 AND 7.

THOSE ARE THE TWO PROPOSITIONS THAT WERE PASSED STATEWIDE THAT CREATED NEW REVENUE STREAMS FOR THE STATE FOR TRANSPORTATION.

THEY BENEFITED OUR COMMUNITY TREMENDOUSLY.

AND THERE'S ALREADY TALK FROM SOME LEGISLATORS ABOUT LETTING THEM EXPIRE WHEN THEIR SUNSETS COME UP SIX AND NINE YEARS AGO FROM NOW.

WE WOULD RECOMMEND SUPPORTING CONTINUATION OF THOSE FUNDING SOURCES.

SO THE ONLY INITIATIVE WE'RE PROPOSING HERE IS A REVISION TO THE LAW THAT WOULD ALLOW CODE ENFORCEMENT OFFICERS TO CARRY BITE STICKS FOR PROTECTION FROM ANIMALS WHEN THEY'RE IN THE FIELD DOING THEIR JOB.

THERE'S A PROHIBITION AND STATE LAW AGAINST CARRYING CLUBS IN PUBLIC.

AND THERE ARE EXCEPTIONS TO THAT FOR PEACE OFFICERS, FOR MILITARY PERSONNEL, AND SO FORTH.

ANIMAL CONTROL.

BUT CODE ENFORCEMENT IS NOT INCLUDED UNDER THAT, SO WE WOULD LIKE TO SEE THAT.

WE GOT IT ALL THE WAY THROUGH BOTH CHAMBERS LAST SESSION AND THE CLOCK RAN OUT ON IT, SO WE FEEL LIKE THERE IS A RELATIVELY GOOD CHANCE OF SUCCESS.

UNDER OUR ENDORSEMENT SECTION, IT'S FOUR CATEGORIES.

PUBLIC HEALTH AND SAFETY, AFFORDABLE HOUSING, EDUCATION, AND OUR AIRPORT.

PUBLIC SAFETY IS ANYTHING THAT HELPS US FULFILL OUR VISION ZERO COMMITMENTS, INCLUDING ALLOWING LESSENING SOME OF THE RESTRICTIONS TO LOWERING SPEED LIMITS IN CERTAIN AREAS.

AND ALSO PROVIDING -- USING TECHNOLOGY TO CATCH SPEEDERS IN SCHOOL ZONES, ALL THINGS THAT NEED STATE AUTHORITY FOR US TO DO.

WE SUPPORT ANY FUNDING OR PROGRAMS THAT WILL HELP US CONTINUE TO MAKE PROGRESS ON OUR AIR QUALITY AND GET BACK IN ATTAINMENT.

WE SUPPORT FUNDING FOR THE PREVENTION AND TREATMENT OF OPIOIDS.

YOU ARE ALL FAMILIAR WITH THAT DISCUSSION, LAST WEEK, TWO WEEKS AGO.

WE RECOMMEND SUPPORTING LEGISLATION THAT WOULD HELP PUBLIC HEALTH OFFICIALS ADDRESS ISSUES.

THIS PRIMARILY SPEAKS TO MATERNAL MORTALITY AND THE ABILITY OF OUR LOCAL HEALTH DEPARTMENT TO GATHER, COLLECT DATA FROM HOSPITALS THAT HELP THEM IN ADDRESSING THE ISSUE.

THERE ARE ALWAYS ISSUES RELATED TO ANIMAL CARE AND CONTROL THAT WE GENERALLY OUR DEPARTMENT WILL ASK US TO SUPPORT IN TERMS OF HELPING THEM WITH THEIR OPERATIONS.

SO THERE'S A BROAD STATEMENT THERE.

AND THEN WE'RE SUPPORTIVE VIS-A-VIS THE POLICE DEPARTMENT OF LEGISLATION THAT WOULD CREATE A STATE OFFENSE FOR MAIL THEFT.

THAT'S A FEDERAL OFFENSE.

I THINK YOU ALL HAVE TALKED ABOUT IT BEFORE.

DIFFICULT TO ENFORCE AS A FEDERAL OFFENSE, AND CERTAINLY WOULD BE WELCOME TO SEEING IT AS A STATE OFFENSE AS A PROTECTION OF PEOPLE FROM IDENTITY THEFT.

SO I WANT TO TAKE A SECOND ON THIS ONE.

THE PUBLIC SAFETY COMMITTEE, COUNCIL COMMITTEE, HAS EXPRESSED AN INTEREST IN DOING WHAT IT CAN TO ADDRESS GUN REFORM, GUN SAFETY, IN PARTICULAR.

MOST OF THE DISCUSSION HAS BEEN FOCUSED LOCALLY.

BUT THERE'S ONLY -- THERE ARE LIMITATIONS ON WHAT CAN BE DONE LOCALLY, MOSTLY BECAUSE WE'RE PREEMPTED BY STATE LAW IN TERMS OF REGULATING GUN USE.

THAT SAID, THE GOVERNOR, AFTER THE SHOOTINGS IN SUTHERLAND SPRINGS AND SANTA FE, RELEASED A 40-SOME PAGE PLAN EARLIER THIS YEAR THAT MOSTLY FOCUSED ON SCHOOLS.

BUT IT HAD FIVE ITEMS AT THE END

[02:15:01]

THAT WERE BROADER THAN THAT.

AND SO WE'VE -- AS WE DISCUSS THIS AT THE IGR COMMITTEE WE LEFT A PLACE HOLDER FOR THE PUBLIC SAFETY COMMITTEE TO WEIGH IN ON THOSE ITEMS AND FOR US TO PUT THEM IN THERE.

I THINK THE PUBLIC SAFETY SORT OF KICKED IT BACK TO IGR AND WANTED US TO HAVE ANOTHER DISCUSSION THERE.

I JUST WANTED TO LAY THESE OUT FOR YOU.

AND THIS WOULD BE THE LOOSE END WE'LL DISCUSS AT IGR NEXT WEEK.

THE FIRST ONE WOULD BE TO CREATE A COURT MANAGEMENT SYSTEM FOR JUDGES.

SO WHEN THEY ARE SETTING BONDS AND PENALTIES THEY CAN LOOK INTO A SYSTEM AND SEE BACKGROUND CHECKS ACROSS THE STATE.

THAT DOESN'T EXIST TODAY.

WE, AS A LARGE CITY, DO PAY INTO AN INFORMATION DATABASE, BUT A LOT OF SMALLER AREAS DON'T HAVE ACCESS TO THAT, SO THIS WOULD HELP IN THAT ARENA.

THE SECOND IS THE LEGISLATURE LOOKING AT CREATING A RED FLAG LAW.

ESSENTIALLY A PROTECTIVE ORDER FOR SOMEONE WHO IS POTENTIALLY DEEMED THROUGH MENTAL HEALTH REASONS TO BE A DANGER.

ESSENTIALLY SEPARATING THEM FROM THEIR FIREARM FOR A PERIOD OF TIME WHILE DUE PROCESS CAN BE CONDUCTED, ESSENTIALLY PROTECTING THE PUBLIC.

THAT'S AN ISSUE THAT THE GOVERNOR HAS ASKED THE LEGISLATURE TO LOOK AT.

I DON'T THINK THEY'LL ACT THIS SESSION.

I THINK THEY MAY STUDY IT IN THE INTERIM, BUT WE'LL SEE.

THE THIRD IS TO MAKE SURE THAT ANY ADJUDICATION AFFECTING THE RIGHT TO PURCHASE OR POSSESS A FIREARM IS REPORTED WITHIN 48 HOURS.

SOME OF THE SHOOTINGS IN RECENT HISTORY HAVE INVOLVED SITUATIONS WHERE SOMEONE HAD RECEIVED PUNISHMENT IN THE PAST BUT IT HADN'T BEEN UPDATED INTO A SYSTEM AND THEREFORE WASN'T ACCESSIBLE FOR LAW ENFORCEMENT.

THE FOURTH IS TO STRENGTHEN THE FIREARM STORAGE LAW, TO EXTEND THE AGE TO 18.

IF THERE'S SOMEONE UNDER THE 18 IN THE HOUSE, YOU'RE REQUIRED TO STORE THE FIREARM.

AND RIGHT NOW THERE'S A REQUIREMENT THAT THAT GUN BE -- IF IT'S USED TO CAUSE BODILY HARM THAT IT HAD TO BE LOADED AND READY FOR DISCHARGE IN ORDER FOR THE PERSON STORING IT TO BE HELD ACCOUNTABLE.

THE GOVERNOR'S PLAN CALLED FOR REMOVAL.

IT'S DIFFICULT TO KNOW IF SOMEBODY LOADED IT AND IT'S AN EXTRA STEP IN THE INVESTIGATIVE PROCESS.

AND THE LAST ONE IS A MANDATORY REPORTING OF LOST OR STOLEN GUNS.

BELIEVE IT OR NOT, IT'S NOT A REQUIREMENT NOW IF A GUN IS LOST OR STOLEN TO REPORT THAT.

AND THIS WOULD REQUIRE TO DO SO WITHIN TEN DAYS.

SO, THOSE ARE THE ITEMS OUTSIDE OF SCHOOLS THAT ARE PART OF THE GOVERNOR'S PROPOSAL ON GUN SAFETY.

FINALLY, I JUST WANT TO TOUCH ON A COUPLE OTHER QUICK ITEMS. AFFORDABLE HOUSING.

VERY BROAD STATEMENT ABOUT SUPPORTING LEGISLATION THAT ALLOWS FOR REALLY ANY FLEXIBILITY, FLEXIBLE OR INNOVATIVE SOLUTIONS AND/OR FUNDING THAT HELPS INCREASE THE SUPPLY OF AFFORDABLE HOUSING.

THAT COULD TAKE ANY SHAPE AT THIS POINT.

BUT WE UNDERSTAND AND RECOGNIZE IT'S A PRIORITY OF THE CITY.

AND THEN UNDER THE EDUCATION CATEGORY, WE SUPPORT MAKING SURE THAT HEAD START CHILDREN ARE ELIGIBLE FOR THE CHILD CARE SUBSIDY THAT THE STATE PROVIDES.

THAT'S NOT CURRENTLY THE CASE.

WE WOULD RECOMMEND SUPPORTING FULL-DAY FUNDING FOR PRE-K.

THE STATE ONLY FUNDS HALF DAY TODAY.

AS YOU KNOW, PRE-K 4 SA IS A FULL-DAY PROGRAM AND PUT IN PLACE IN PART TO ADDRESS SOME OF THE GAPS AT THE STATE LEVEL.

AND THE THIRD PIECE IS MORE FUNDING, FORMULA FUNDING AND BONDING AUTHORITY FOR COMMUNITY COLLEGES AND HIGHER EDUCATION FACILITIES TO BUILD NEW FACILITIES.

OUR AIRPORT IS INTERESTED IN MAKING SURE THAT THEY HAVE THE ABILITY TO GATHER THE DATA NECESSARY TO CHARGE A REASONABLE FEE AND REGULATING TNCS THE TNC LAW GAVE AIRPORTS THE RIGHT TO REGULATE TNC TRAFFIC ON THEIR PROPERTY AND TO CHARGE A REASONABLE FEE.

BUT GATHERING THE DATA ABOUT HOW MANY TRIPS ARE COMING TO THE AIRPORT HAS NOT BEEN EASY FROM SOME OF THE PROVIDERS.

AND SO WE WOULD LIKE TO SEEK A CLARIFICATION OR SUPPORT A CLARIFICATION THERE TO ENSURE THAT WE'RE GETTING THE DATA TO BE ABLE TO EXECUTE ON WHAT'S AUTHORIZED UNDER THE LAW.

OUR OMNIBUS STATEMENT BASICALLY SAYS THAT THE CITY WOULD SUPPORT LEGISLATION THAT CLEARLY BENEFITS THE CITY AND OPPOSES LEGISLATION THAT WOULD BE CLEARLY DETRIMENTAL, INCLUDING UNDERMINING THE PRINCIPLES OF SELF-GOVERNMENT, MANDATING AN INCREASED COST TO THE CITY, CAUSING A LOSS OF REVENUE TO THE CITY, OR REDUCING THE -- OR DIMINISHING THE FUNDAMENTAL AUTHORITY OF THE CITY TO CARRY OUT THE WISHES AND NEEDS OF ITS COMMUNITY.

AND I WILL SAY THAT AS ISSUES COME UP WE PRESENT TO THE COUNCIL THROUGHOUT THE SESSION,

[02:20:02]

TYPICALLY EVERY OTHER WEEK.

SO ITEMS THAT COME UP THAT ARE NOT ANTICIPATED WE TALK ABOUT BOTH AT THE IGR LEVEL AND THE FULL COUNCIL LEVEL.

BUT THIS BROAD STATEMENT ALLOWS GENERAL AUTHORITY TO LOOK OUT FOR THE CITY'S BEST INTEREST.

AND SOMETIMES AMENDMENTS COME UP WITH ANY TIME FOR FURTHER DISCUSSION.

WE TRY TO FOLLOW THE DIRECTION THAT YOU AS A COUNCIL HAVE GIVEN US AS WE TAKE POSITIONS ON ISSUES UP THERE.

AND THEN THE LAST PIECE IS OUR PARTNERSHIPS.

OUR PUBLIC UTILITIES AT THE TOP, AND MANY OTHER GOVERNMENT ENTITIES IN TOWN AS WELL AS OUR HIGHER LEARNING INSTITUTIONS, OUR CHAMBERS OF COMMERCE.

AGAIN, GENERALLY SO LONG AS THEIR NEEDS DON'T CONFLICT WITH OURS WE WORK VERY CLOSELY WITH THEM TO HELP ADVANCE OUR COMMUNITY AS A WHOLE.

SO GOING FORWARD, I MENTIONED ELECTION DAY IS NOVEMBER 6TH.

THE LEGISLATURE WILL CONVENE JANUARY 8TH.

AND THE FIRST ORDER OF BUSINESS WILL BE SETTING RULES AND ELECTING A HOUSE SPEAKER.

THE HOUSE SPEAKER AND LIEUTENANT GOVERNOR DOLE OUT THEIR ASSIGNMENTS.

AND THE LAST DAY THAT MEMBERS CAN FILE BILLS IS MARCH 8TH.

THE SESSION ENDS MAY 27TH AND THE GOVERNOR HAS A ROUGHLY THREE-WEEK PERIOD TO SIGN OR VETO BILLS THAT HAVE BEEN PASSED BY THE LEGISLATURE BEFORE THE WHOLE PROCESS COMES TO AN END.

THAT WAS A LOT.

I APPRECIATE YOU BEARING WITH ME AND I'M HAPPY TO ANSWER ANY

>> MAYOR PRO TEM: THANK YOU, JEFF AND TEAM.

CHRISTINE, MEGAN, VERY MUCH FOR ALL OF THE WORK THAT YOU DO THERE.

I THANK YOU TO OUR LOBBY TEAM UP IN AUSTIN.

WE HAVE A LOT OF MOVING PIECES RIGHT NOW, ESPECIALLY SINCE WE DON'T KNOW WHAT'S GOING TO HAPPEN AND WHO'S GOING TO BE SITTING IN WHAT COMMITTEES RIGHT NOW MOVING FORWARD, SO WE HAVE A LOT OF MOVING PIECES, BUT BEFORE I RELINQUISH IT OVER TO OUR CHAIRMAN, I DID WANT TO REMIND EVERYONE THAT OCTOBER 9TY THAT YOU CAN REGISTER TO VOTE, AND THAT EARLY VOTING BEGINS ON OCTOBER 22ND AND NOVEMBER 6 IS ELECTION DAY.

SO IF YOU HAVEN'T REGISTERED TO VOTE, PLEASE DO BY NEXT WEEK, OR VERY SOON.

SO WITH THAT, I'M GOING TO PASS IT OVER TO OUR CHAIRMAN , COUNCILMAN SALDAÑA.

>> SALDAÑA: NEW, COUNCILWOMAN.

A PERTINENT REMINDER TO MANY OF US WILL LIKELY COMPLAIN OR VOICE UP ABOUT THE RESULTS OF BAD LEGISLATION OR BAD LEGISLATIVE MEMBERS, SO WE THINK IT'S IMPORTANT FOR US TO REGISTER TO VOTE.

LET ME THANK OUR TEAM WHO'S HERE.

WE'VE GOT MARK RODRIGUEZ, CARRIE SIMMONS, MIKE, JESSE ANCIRA, THESE ARE FOLKS WHO WE RELY ON TO HELP US AS WE CRAFT FOR WHAT WE HOPE FOR THE ENTIRE TIME WE'VE BEEN CRAFTING THE LEGISLATIVE AGENDA, IT HAS BEEN IN PENCIL.

AND WE WANT TO GET TO THE POINT WHERE WE WITH HAVE A PRINTED FINAL OF OUR LEGISLATIVE PRIORITIES.

I WANT TO THANK OUR COMMITTEE MEMBERS.

I DON'T WANT TO -- AUDIO] -- INDICATION, IMPORTANT PARTNERS IN COMMUNITY MEMBERS WHO I THINK ALL NEED TO BE PART OF A WEALTH-LONG EFFORT THAT IS MARCHING UP TO AUSTIN IN A SORT OF UNIFIED VOICE, BECAUSE WE DON'T ALWAYS AGREE ON EVERY SINGLE ISSUES, BUT YOU'VE ISSUED TO A FEW OF THE PARTNERS UP THERE WHO WE'VE TRIED TO TAP AND GET THEIR ADVICE.

SO WITH OUR TEAM AND THE LEADERSHIP, WE'RE LOOKING TO AN ALWAYS EVENTFUL LEGISLATIVE SEASON.

LET ME HAND IT BACK TO -- COUNCILMEMBERS WHO [INDISCERNIBLE] THE IGR OR LOOKING FORWARD TO ANY QUESTIONS, CONCERNS, AMENDMENTS OR EDITS BEFORE WE GO FORWARD.

>> MAYOR PRO TEM: THANK YOU.

COUNCILMAN COURAGE?

>> COURAGE: THANK YOU.

I NOTICED OR DIDN'T NOTICE ANY DISCUSSION WHEN IT CAME TO TAXES ABOUT FULL DISCLOSURE OF SALES PRICES FOR PROPERTY.

AND I KNOW THAT'S ALWAYS BEEN A BIT OF AN ISSUE.

I MEAN, THE BIGGEST PROPERTY TAX PROBLEM WE HAVE IS VALUATIONS.

YOU KNOW, IT'S NOT WHAT WE CHARGE AS THE RATE.

IT'S NOT WHAT THE SCHOOL DISTRICTS CHARGE, IT'S THE PROPERTY VALUES.

AND AS I THINK WE UNDERSTAND COMMERCIAL PROPERTY SIMPLY ISN'T BEING VALUED AT ITS TRUE VALUE FOR TAX PURPOSES AND RESIDENTIAL PROPERTY OWNERS ARE PICKING UP THE SLACK.

AND IT'S BEEN THAT WAY FOR YEARS.

WHAT -- I DIDN'T SEE THAT ON ANYONE'S LIST, AND WHY NOT?

>> COYLE: THE APPRAISAL PROCESS IS A COMPLICATED ONE.

[02:25:01]

NOT THE PROCESS, THE STATUTE IS A COMPLICATED ONE.

AND BILLS HAVE BEEN FILED IN PAST SESSIONS THAT COULD BE BENEFICIAL, THAT COULD BE DETRIMENTAL, THERE'S BEEN MAJOR REFORMS PROPOSED THAT HAVE NOT PASSED.

I THINK OUTSIDE OF THAT, THE -- YOU SAID IT RIGHT, WE DON'T CONTROL THE VALUES, WE CONTROL THE RATE PIECE, AND SO I THINK IN PAST YEARS, WE'VE DECIDED IT WASN'T OUR AREA TO STEP IN AND SAY THIS IS HOW THE VALUATION SHOULD BE DONE.

THE SALES PRICE DISCLOSURE IS SOMETHING THAT HAS COME UP IN PAST SESSIONS, IT'S NOT GOTTEN A LOT OF TRACTION AT THE LEGISLATURE.

AND OBVIOUSLY, I THINK, FOR EVERYBODY TO KNOW IT ESSENTIALLY MEANS WHEN YOU SELL A PROPERTY, YOU HAVE TO DISCLOSE THAT PRICE TO THE TAXING ENTITY SO THEY HAVE THAT MUCH MORE INFORMATION TO BE ABLE TO VALUE OTHER PROPERTIES.

SO YOU'RE RIGHT, WE HAVEN'T PROPOSED IT AND, YOU KNOW, I THINK WE'RE CERTAINLY OPEN TO CONSIDERATION ABOUT IT.

>> COURAGE: I'LL JUST GIVE YOU MY OPINION.

MY OPINION IS THAT THE CITIES DON'T STAND UP AND DEMAND EQUALIZATION WHEN IT COMES TO VALUATIONS OF PROPERTIES.

WE'RE GOING TO CONTINUE TO HAVE PROBLEMS WITH THE STATE SAYING WE'RE TAXING TOO MUCH, AND THE SCHOOL DISTRICTS ARE TAXING TOO MUCH, WHEN, IN FACT, WE'RE TAXING FAIRLY BASED ON THE VALUES THAT WE GET AND WE'RE SIMPLY NOT PROPERLY VALUING ALL THE PROPERTIES IN TEXAS.

AND I THINK THE CITIES AND THE COUNTIES NEED TO STAND UP AND MAKE THAT A MAJOR ISSUE.

WE NEED TO BE TELLING OUR LEGISLATURES THAT THAT'S AN ISSUE, AND THE OTHER CITIES AND COUNTIES SHOULD BE DOING THE SAME THING.

THAT WAS AN OPINION.

YOU BROUGHT UP ON PAGE 15, I THINK IT WAS, ABOUT TAX INCREASES AND HOW, IF WE GO BEYOND 8%, I THINK THAT, YOU KNOW, WE'RE IN FEAR OF HAVING AN ELECTION THAT CAN BE HELD.

HOW MANY SIGNATURES ARE NEEDED TO ROLLBACK A GREATER THAN 8% TAX INCREASE IF THE CITY EVER DID THAT?

>> COYLE: DO YOU KNOW? I'M LOOKING AT OUR ATTORNEYS HERE.

I'M NOT SURE IF WE KNOW THAT OFF THE TOP OF OUR HEAD.

TO FORCE A ROLLBACK ELECTION, IS IT THE SAME THRESHOLD AS A REFERENDUM?

>> COURAGE: WELL, THAT WOULD BE SOMETHING IMPORTANT TO UNDERSTAND, BECAUSE IF THEY LOWER IT TO 6% OR 5% OR -- AND IT BECOMES A REAL ISSUE FOR US, IT'S IMPORTANT TO KNOW WHAT IS THAT NUMBER.

I'VE THOUGHT I HEARD THAT IT'S 20,000, BUT I DON'T KNOW FOR SURE, SO I'D JUST LIKE TO KNOW THAT.

>> COYLE: YEAH.

BUT I WILL ADD THAT WHAT THEY'RE TALKING ABOUT AT THE LEGISLATURE IS A CHANGE TO THE PROCESS ALTOGETHER.

IT WOULDN'T BE A ROLLBACK.

IN OTHER WORDS, THERE WOULDN'T BE A REQUIREMENT OF ANY SIGNATURES, IT WOULD BE A REQUIREMENT OF US, IF WE WERE TO GO ABOVE THAT PERCENTAGE.

>> COURAGE: TO GET PERMISSION.

>> COYLE: YEAH, TO HOLD AN ELECTION.

>> COURAGE: I UNDERSTAND.

ALSO IN OUR LIST OF THINGS WE'RE PRESERVING, YOU DID MENTION TOBACCO 21 OR PAID SICK LEAVE.

ARE THOSE TARGETS, DO YOU THINK, AT THE TEXAS LEGISLATURE?

>> COYLE: GOOD QUESTION ABOUT THE TOBACCO 21.

I'M NOT SURE.

IT STANDS TO REASON THAT IT COULD BE ONE OF THOSE ISSUES THAT THE STATE SAYS THEY SHOULD WEIGH IN ON, IF THEY DON'T LIKE IT.

>> COURAGE: YOU HAVEN'T HEARD ANYTHING.

>> COYLE: I HAVEN'T HEARD A WHOLE LOT OF TALK ABOUT IT.

OUR HEALTH DEPARTMENT WOULD LIKE US TO SUPPORT A STATEWIDE TOBACCO 21.

I THINK IF THERE IS LEGISLATION THAT GOES FORWARD, THAT'S POTENTIALLY SOMETHING WE COULD GET BEHIND.

WE DIDN'T PUT IT IN THE PROGRAM BECAUSE A MAJOR THEME OF OUR AGENDA IS FOR LACK OF A BETTER WORD, OUR CONTROL, LOCAL CONTROL, OUR COMMUNITY HAS SPOKEN IN ACTION AND PUT THAT ORDINANCE IN PLACE, BUT IF MOVEMENT HAPPENS, WE TYPICALLY SAID WE SUPPORT THINGS THAT ALIGN WITH OUR ORDINANCE.

PAID SICK LEAVE, I THINK REALLY COMES DOWN TO WHAT SOLUTION GETS PUT ON THE TABLE.

WE DON'T -- YOU KNOW, OUR PRINCIPLE IS NOT TO GO UP THERE AND OPPOSE ANY SORT OF STATE PREEMPTION OF LOCAL LAW.

THERE HAVE BEEN TIMES IN THE PAST WHERE THE STATE HAS GOTTEN TO WHERE THE STATEWIDE REGULATION IS CLOSE ENOUGH TO OUR LOCAL ORDINANCE THAT WE CAN BACK OF OPPOSING.

>> COURAGE: LIKE THE TREE ORDINANCE.

>> COYLE: EXACTLY, RIGHT.

>> COURAGE: AND WE WORKED TO MAKE SURE IT DIDN'T GO TOO FAR, DIDN'T WE?

>> COYLE: RIGHT.

ON THE TREE ORDINANCE.

LIKE STRS, WE ARE ABLE TO PROUDLY GO UP THERE AND SAY WE BALANCED THE RIGHTS OF DEVELOPERS AND THE ENVIRONMENT AND THE MILITARY WITH AN ORDINANCE THAT ALL STAKEHOLDERS HAVE SORT OF HELP US FIND THE SWEET SPOT.

[02:30:02]

SO MY POINT IS, I -- IT'S A GIVEN THAT THE STATE WILL ATTEMPT TO ADDRESS THE PAID SICK LEAVE ISSUE.

HOW THEY DO IT AND WHAT THE STATEWIDE FRAMEWORK MIGHT LOOK LIKE, WE JUST DON'T KNOW AT THIS POINT, SO WE DIDN'T PUT IT IN THERE, BUT WE ANTICIPATE TALKING WITH YOU-ALL AS THE SESSION UNFOLDS AND WE SEE WHAT'S BEEN --

>> COURAGE: I JUST KNOW YOU NAMED A FEW THAT YOU THOUGHT MIGHT BE TYPICAL TARGETS, AND I JUST WANTED TO MAKE SURE THAT WE'RE THINKING ABOUT WATCHING OUT FOR THOSE, TOO.

THAT'S ALL, THANK YOU.

>> MAYOR NIRENBERG: THANK YOU COUNCILMAN COURAGE.

COUNCILWOMAN VIAGRAN.

>> VIAGRAN: THANK YOU.

I DO HAVE JUST A COUPLE OF COMMENTS ABOUT SLIDE NUMBER 29.

I WAS ABLE TO HEAR A LITTLE -- I WAS A ABLE TO HEAR THE PRESENTATION AT PUBLIC SAFETY COMMITTEE MEETING AND THE GOVERNOR'S SCHOOL AND FIREARMS SAFETY ACTION PLAN.

I THINK THESE ARE COMMON SENSE AND VERY BASIC THINGS THAT WE COULD MOVE FORWARD WITH.

AND IT'S ALREADY SOMETHING THAT THE GOVERNOR HAS IMSELF MOVED FORWARD WITH, SO I DON'T SEE ANYTHING THAT IS HARMFUL ABOUT US INCLUDING THIS INTO OUR LEGISLATIVE AGENDA.

I GUESS WE'LL BE TALKING ABOUT THIS NEXT WEEK AT IGR.

>> COYLE: THAT'S CORRECT.

I DID WANT TO GO THROUGH THEM IN DETAIL, THOUGH, SO THE WHOLE COUNCIL HEARD THEM, IF THERE WERE MAJOR CONCERNS THAT WE'D BE ABLE TO HEAR THEM RAISED.

>> VIAGRAN: RIGHT.

>> COYLE: BUT, YES, THE IDEA WOULD BE NEXT WEEK AT IGRIAL WOULD CONSIDER ADDING THEM TO THE PROGRAM.

>> VIAGRAN: I THINK THIS WOULD HELP IN ADDING CLARIFICATION AND CLOSING SOME LOOPHOLES THAT HAD BEEN THERE IN THE PAST, ESPECIALLY WITH THE 48 HOUR REQUIREMENT.

ONE OF THE THINGS I HAD ALSO LEARNED WAS, YOU KNOW, THAT BACKGROUND CHECKS AND THE INFORMATION REPORTING, BECAUSE A LOT OF SMALLER TOWNS MAY NOT GET THAT, SO PEOPLE IN THE LARGER TOWNS KNOW WHAT IS HAPPENING, SO I THINK THAT'S A VERY IMPORTANT THING THAT WE CLOSE THAT LOOPHOLE MOVING FORWARD.

AND I DO THINK THAT THE CHAIRMAN AND OTHERS FOR REALLY COMING AND SINGING ON THE SAME SHEET OF MUSIC WHEN IT COMES TO OUR SCHOOL DISTRICTS AND PUBLIC SCHOOL FINANCING.

I THINK THAT ONE OF THE THINGS THAT I'VE BEEN ABLE TO TALK TO STATE SENATOR-ELECT FLORES ABOUT IS HE IS LOOKING AT THE SYSTEM [INDISCERNIBLE] AND THAT'S SOMETHING THAT HE DOES WANT TO TAKE A LOOK AT IN HIS ROLE, BECAUSE THAT'S SOMETHING THAT HE HEARD LOUD AND CLEAR FROM CONSTITUENTS.

SO IF THAT IS SOMETHING THAT HE'S GOING TO LOOK TOWARD, I THINK THAT WILL -- IT WILL BEAR FRUIT FOR US IS TO HAVE THAT CONVERSATION WITH HIM TO SEE WHERE IS HE GOING WITH IT.

THANK YOU, MAYOR.

>> MAYOR NIRENBERG: THANK YOU, COUNCILWOMAN VIAGRAN.

COUNCILWOMAN SANDOVAL.

>> SANDOVAL: THANK YOU, MAYOR.

THANK YOU, JEFF, FOR YOUR VERY THOROUGH PRESENTATION.

I KNOW THERE WERE A LOT OF DETAILS YOU HAD TO HOLD BACK ON.

I WANT TO THANK YOUR WHOLE TEAM AND THE COMMITTEE MEMBERS OF IGR FOR FORMULATING THIS AND BRINGING IT FORWARD.

I DO THINK IT'S VERY REFLECTIVE OF WHAT OUR PRIORITIES ARE.

IT SEEMS YOU HAVE A VERY IMPRESSIVE TEAM.

I WISH SOME OF THEM WOULD CONSIDER COMING TO WORK FOR ME, BUT I DON'T THINK THAT'S EVER GOING TO HAPPEN.

VERY IMPRESSIVE TEAM.

I'M REALLY GLAD TO SEE THE CHANGE OF TRANSPORTATION FROM ENDORSEMENTS ONTO PRIMARY.

IN PARTICULAR THE FLEXIBILITY TO REDUCE SPEED LIMITS.

THAT'S WHAT I HEAR A LOT FROM MY CONSTITUENTS ABOUT.

IS THERE ANYTHING YOU'D RECOMMEND TO HAVE CONSTITUENTS HELP US WITH THIS?

>> COYLE: SURE.

AS ISSUES COME UP, ABSOLUTELY WE WANT -- WE'RE NOT UP THERE JUST DEFENDING THE CITY ORGANIZATION.

WE'RE THERE DEFENDING THE COMMUNITY THAT YOU-ALL REPRESENT.

AND SO I AM ACTUALLY A LITTLE DISAPPOINTED THAT A LOT OF THE STR FOLKS AREN'T HEARING THIS, BECAUSE ALL THE WORK THAT HAS GONE INTO THAT COULD BE UNDONE.

IT COULD BE UNDONE IN A WAY THAT PROVIDES A REALLY GOOD STATEWIDE FRAMEWORK OR NOT, SO THEY NEED TO BE INVOLVED.

SO I THINK -- AUDIO] -- HELP GET CONSTITUENTS INVOLVED AT THE RIGHT TIMES DURING THE SESSION.

WE TYPICALLY WILL DO THAT, WE'LL ORGANIZE PEOPLE TO GO UP AND SPEAK.

ON THE SPEED LIMIT PIECE, IF I COULD JUST TAKE THAT FOR A MINUTE, RIGHT NOW THE STATE LAW IS THAT ANYWHERE IN AN URBAN AREA THAT IT'S NOT POSTED, IT'S A 30-MILE AN HOUR SPEED LIMIT.

IT'S CALLED THE PRIMA FASCIA SPEED LIMIT.

VISION ZERO, AS A NATIONWIDE EFFORT, HAS CALLED FOR LOWERING THOSE SPEED LIMITS TO 25 AT A MINIMUM.

WE CAN DO THAT NOW IN SPOT WAYS.

WE COULD LOWER THE SPEED LIMIT BY DOING A TRAFFIC STUDY AND BY PUTTING UP SIGNAGE, BUT AS YOU KNOW, THERE'S SO MANY -- THERE'S

[02:35:02]

4,000 MILES OF STREETS IN THIS COMMUNITY.

IT'S EXPENSIVE, AND THAT'S NOT A -- THAT'S A RIFLE SHOT SORT OF SOLUTION.

AND SO WE WENT TO COUNCILMAN SALDAÑA AND CHRISTINE AND I WERE AT TML GATHERING OF ABOUT 300 CITIES A MONTH OR SO AGO, AND WE PROPOSED TO EVERYONE THAT THEY GET BEHIND THE IDEA OF CHANGING THAT DEFAULT SPEED LIMIT TO 25, SAVING US ALL FROM HAVING TO POST AND BE ABLE TO -- BE ABLE TO SAVE LIVES IN THE PROCESS.

A LOT OF CITIES JOINED ON WITH US AND SAID THEY WANTED TO SEE IT DONE.

A FEW DIDN'T.

AND GOING BACK TO THE THEME OF EVERYBODY HAVING THE RIGHT TO MAKE CHOICES ABOUT WHAT'S BEST FOR THEIR COMMUNITY, WE DIDN'T WANT TO FORCE IT -- TRY TO FORCE A STATEWIDE CHANGE ON EVERYONE.

SO WHERE WE ARE NOW IS THAT HOUSTON, DALLAS, AUSTIN AND SAN ANTONIO ARE ALL POTENTIALLY INTERESTED, ASSUMING YOU-ALL GIVE US THE DIRECTION TO BE, IN SEEING THAT DEFAULT SPEED LIMIT LOWERED FROM 30 TO 25.

AND SO WE'RE PROPOSING WORKING WITH THOSE OTHER BIG CITIES TO GO BRACKET A BILL TO WHERE IT ONLY APPLIES TO US.

AND THAT WAY SOMEONE COMING INTO A MAJOR CITY WOULD KNOW, IN THEORY, THAT THAT'S THE DEFAULT SPEED LIMIT, IF NOT OTHERWISE POSTED.

>> SALDAÑA: THANK YOU.

THAT'S GREAT NEWS, AND, YES, PLEASE FEEL FREE TO COME AND ASK US FOR ASSISTANT ON THAT.

MY NEXT QUESTION WAS WHICH HAS THE SUPPORT OF THE TEXAS MUNICIPAL LEAGUE.

THAT KIND OF HELPED.

>> COYLE: I THINK MOST THINGS, THE MUNICIPAL LEAGUE PLAYS EVEN MORE DEFENSE THAN WE DO.

THEY GENERALLY ARE LOOKING OUT FOR THE INTEREST OF THEIR 1200 PLUS CITIES, AND NOT -- OFTEN NOT ADVANCING LEGISLATION.

SO THE THINGS THAT ARE SPECIFICALLY IMPORTANT TO US, AIR QUALITY, FOR EXAMPLE, PREK MAY NOT BE A PRIORITY FOR EVERY OTHER CITY, BUT CERTAINLY IF THE STATE WERE TO FORCE SOMETHING ONTO THEIR MEMBERS THAT WAS NOT DEEMED POSITIVE THEN TML WOULDEN CAGE IN -- WOULD ENGAGE IN THAT.

ALL THE CITIES UNDER TML THAT HAS DESIGNATED GOVERNMENT AFFAIRS TEAMS, MOST OF THE BIG CITIES AND A HANDFUL OF SMALLER ONES GATHER FOR A RETREAT IN EARLY JANUARY WHERE WE SHARE ALL OF OUR ISSUES AND ENDED UP FINDING LIKE PLACES WHERE WE CAN TEAM UP AND WORK TOGETHER ON THINGS.

I SEE ANDY HOVERING.

>> SANDOVAL: THERE'S SOMETHING YOU WANTED TO SAY?

>> I WANTED TO ANSWER COUNCILMAN COURAGE, SHORT ANSWER, IT'S 7% OF REGISTERED VOTERS USING THE MOST RECENT REGISTERED VOTERS LIST.

ROUGHLY IT'S ABOUT 55,000.

BUT THAT'S THE ANSWER, 7% OF THE REGISTERED VOTERS.

>> SANDOVAL: I ALSO SAW SOMETHING ON THERE BEING ABLE TO RAISE ADDITIONAL MONIES FOR TRANSPORTATION.

I WANT US TO BE CAREFUL ABOUT WHAT STRATEGIES WE END UP RAISING MONEY FROM.

I WOULDN'T WANT TO SEE ANYTHING THAT'S REGRESSIVE END UP MOVING FORWARD.

YOU KNOW, WE JUST HAD THAT REPORT COME OUT ABOUT SAN ANTONIO BEING THE -- YOU KNOW, HAVING SUCH A HIGH POVERTY RATE, SO I -- IF WE COULD FIND OTHER WAYS, I THINK THAT WOULD BE PREFERABLE.

AND I WAS ALSO GLAD TO SEE THAT WE'D BE SEEKING FUNDING FOR AIR QUALITY.

PREVIOUSLY WE HAD A NEAR NONATTAINMENT FUNDING THAT CAME FROM THE STATE, BUT THAT WAS IN THE FORM OF A RIDER, RIGHT?

>> COYLE: IT WAS, RIGHT.

>> SANDOVAL: SO IT DIDN'T HAVE TO BE PART OF ITS OWN BILL.

>> COYLE: IT WAS PART OF THE BUDGET BILL, BUT IT WAS VETOED LAST SESSION BY THE GOVERNOR FOR THE FIRST TIME.

RIGHT NOW WE'RE NOT NEAR THAT NONATTAINMENT ANYWAY.

IT WAS MONEY PRIMARILY THAT WENT TO ACOG -- AACOG.

1.

THERE ARE OTHER, TERP, USUALLY SOME LEGISLATORS WHO WANT TO TAKE -- AUDIO] -- WE WANT TO KEEP OUR EYES OUT FOR THINGS THAT COULD POTENTIALLY BENEFIT US IN OUR EFFORTS TO GET BACK IN ATTAINMENT, SO THAT'S WHAT THAT STATEMENT IS INTENDED TO BE.

>> SANDOVAL: ALL RIGHT.

GREAT.

WELL, ALSO GLAD TO SEE THE HEALTH ISSUES ON THERE, BEING ABLE TO HAVE ACCESS TO INFORMATION THAT HELPS US TO HAVE MORE EFFECTIVE PROGRAMS. I KNOW THERE'S A PROBLEM WITH GETTING INFORMATION ON MATERNAL MORTALITY AND INFANT MORTALITY, SO HAVING THAT INFORMATION WILL BE VERY, VERY HELPFUL.

>> COYLE: STATE LAW REQUIRES THAT LOCAL HEALTH BE ABLE TO ACCESS DATA ON INFANT FATALITY BUT NOT MA TERNAL.

[02:40:03]

WE'RE TRYING TO HELP WITH THEM BE ABLE TO GET THE INFORMATION THEY NEED TO HELP ADDRESS ISSUES.

>> SANDOVAL: THANK YOU VERY MUCH, MAYOR.

>> MAYOR PRO TEM: THANK YOU, THAT'S OUR LAST SPEAKER.

AND WE'RE PROPOSING TO SEE THIS ON THE COUNCIL AGENDA AFTER IGR NEXT WEEK, AND THEN --

>> SCULLEY: THAT'S CORRECT.

WE ARE SCHEDULED TO HAVE IT ON A SESSION NEXT WEEK.

>> COYLE: THE 18TH.

>> SCULLEY: I'M SORRY.

YES.

OH, TWO WEEKS FROM TODAY.

AND WE DO HAVE AN EXECUTIVE SESSION TODAY.

>> MAYOR PRO TEM: OKAY.

AND BEFORE WE MOVE INTO EXECUTIVE SESSION, FOR MY COLLEAGUES, WE HAVE A VERY SPECIAL ANNOUNCEMENT TODAY.

SOMEBODY IN THIS ROOM HAS BEEN CELEBRATING OR HAS BEEN BLESSED ON THIS EARTH FOR FIVE DECADES, SO WE WANT TO -- OH, AND FOUR OF THEM PROBABLY AT THE CITY OF SAN ANTONIO.

PETER ZANONI WITH A VERY WICKED WIT, HAPPY BIRTHDAY TO YOU.

AND IF YOU ALL WOULD LIKE TO SING, PLEASE GO AHEAD AND SING TO HIM.

BUT WE CAN DO THAT LATER.

>> HAPPY BIRTHDAY TO YOU.

[Executive Session]

>> MAYOR PRO TEM: THE TIME IS NOW 4:49 P.M. ON THIS THE THIRD DAY OF OCTOBER, 2018.

PURSUANT TO THE AUTHORITY GRANTED BY CHAPTER 551 OF THE TEXAS GOVERNMENT CODE, VTCS, THE TEXAS OPENS MEETINGS ACT THE CITY COUNCIL WILL NOW RECESS INTO EXECUTIVE SESSION TO DISCUSS ECONOMIC DEVELOPMENT NEGOTIATIONS PURSUANT TO TEXAS GOVERNMENT CODE SECTION 551.087, ECONOMIC DEVELOPMENT ♪ ♪ THE PURCHASE, EXCHANGE, LEASE OR VALUE OF REAL PROPERTY PURSUANT TO TEXAS GOVERNMENT CODE SECTION 551.072, REAL PROPERTY; LEGAL ISSUES RELATED TO THE CITY'S PROCUREMENT PROCESS PURSUANT TO TEXAS GOVERNMENT CODE SECTION 551.071, CONSULTATION WITH ATTORNEY; AND DISCUSS LEGAL ISSUES RELATING TO THE LITIGATION SIELED RENDA/SOUTH LAND JV, ET AL, VERSUS CITY OF SAN ANTONIO, ESALL, PURSUANT TO THE TEXAS GOVERNMENT CODE SECTION 551.071, CONSULTATION WITH ATTORNEY.

SESSION]

>> MAYOR PRO TEM: HELLO, GOOD AFTERNOON, EVERYONE.

SORRY WE'RE GETTING STARTED A LITTLE LATER.

NO ACTION WAS TAKEN IN

[Ceremonial Recognitions]

EXECUTIVE SESSION, AND NOW WE WANTED TO START OUR CEREMONIAL AGENDA OUR FIRST CITATION TODAY, WE'RE VERY HAPPY TO WELCOME -- MY NAME IS REBECCA VIAGRAN.

I'M YOUR MAYOR PRO TEM.

OUR FIRST CITATION IS FOR THE FLO JO SAN ANTONIO YOUTH TRACK TEAM.

[APPLAUSE]

>> MAYOR PRO TEM: THE FLO JO SAN ANTONIO YOUTH TRACK TEAM HAD 44 INDIVIDUALS AND 10 RELAY QUALIFY FOR THE AAU NATIONAL JUNIOR OLYMPIC GAMES IN DES MOINES, AYE WAY.

THEY RAN AWAY WITH SEVERAL MEDALS WHICH INCLUDED THREE SILVER AND TWO BRONZE.

THE VERY NEXT WEEKEND THE TWO MOVED ON TO THE JUNIOR OLYMPIC GAMES INLINA AND EMERGED WITH TWO GOLD MEDALS.

CONGRATULATIONS TO THIS YOUNG STELLAR TEAM.

I THINK I HEAR THEIR MEDALS RATTLING, TOO, NOW.

SO WITH THAT, I'M GOING TO READ THE CITATION.

I ALSO WANT TO INVITE THE TRACK TEAM MEMBERS FORWARD.

AND OUR MAYOR JUST ARRIVED.

IF OUR TRACK TEAM MEMBERS CAN COME FORWARD.

I HEAR THOSE JINGLES.

SO I WILL READ THE CITATION FOR YOU-ALL, AND THEN WE'LL TAKE THE PICTURE, OKAY? SO I'M GOING TO READ THE CITATION FOR YOU-ALL.

CITATION TO THE FLO JO SAN ANTONIO YOUTH TRACK TEAM: IN RECOGNITION OF YOUR STELLAR PERFORMANCE AT THE 2018 USA TRACK AND FIELD NATIONAL JUNIOR OLYMPICS HELD IN WINGATE, NORTH CAROLINA, JULY 23RD THROUGH THE 29TH, 2018, THIS HONOR IS A TEST OF DETERMINATION AND IS TRULY WORTHY OF COMMENDATION.

NOW, THEREFORE, I, RON NIRENBERG, MAYOR OF THE CITY OF SAN ANTONIO AND ON BEHALF OF THE CITY COUNCIL PROUDLY COMMEND THE MEMBERS, COACHES AND PARENTS OF THE FLO JO

[02:45:01]

SAN ANTONIO YOUTH TRACK TEAM ON THIS OUTSTANDING ACHIEVEMENT AND OFFER BEST WISHES FOR CONTINUED SUCCESS.

IN WITNESS, WHEREOF, I HAVE HERE UNTO SET THE HAND AND CAUSED THE OFFICIAL SEAL OF SAN ANTONIO TO BE AFFIXED THIS THIRD DAY OF OCTOBER, 2018.

CONGRATULATIONS, COACH.

HERE IS YOUR CITATION.

THERE YOU GO.

CONGRATULATIONS! [APPLAUSE]

>> MAYOR PRO TEM: COACH, IF YOU'D LIKE TO SAY A FEW REMARKS.

>> YES.

THIS TRACK TEAM WAS STARTED NINE YEARS AGO HERE IN SAN ANTONIO.

WE STARTED OFF WITH FIVE KIDS.

WE WENT TO OUR FIRST JUNIOR OLYMPICS IN HOUSTON, TEXAS, MAYBE SIX YEARS AGO.

WE WALKED BY A TEAM FROM ATLANTA, BROKE THE NATIONAL RECORD ON US.

WE CRIED.

I CRIED AT LEAST, I DON'T KNOW ABOUT THE KIDS, THE KIDS WAS HAPPY.

I SAID SAN ANTONIO HAS TOO MUCH TALENT FOR US TO EVER LOSE AGAIN.

THIS YEAR WE TOOK FOUR GIRLS TO THE JUNIOR OLYMPICS IN NORTH CAROLINA.

THE YOUNG LADIES PERFORMED WELL, THEY WON A GOLD IN THE FOUR BY 1, THEN WE GOT ON THE ROAD AND DROVE FROM NORTH CAROLINA TO IOWA TO COMPETE IN ANOTHER JUNIOR OLYMPICS.

THIS TIME THEY GOT SECOND PLACE.

WE ALSO HAD FOUR OTHER TEAMS PLACE SECOND.

WE HAD SOME GREAT INDIVIDUALS.

FIRST I'D LIKE TO SAY, BEFORE I SAY ANYTHING ELSE, HAPPY ANNIVERSARY TO MY BEAUTIFUL WIFE. IT'S OUR TENTH YEAR ANNIVERSARY.

[APPLAUSE]

>> AND THEN I'D LIKE TO THANK THE CITY OF SAN ANTONIO FOR HAVING US HERE, AND I PROMISE YOU, WE'RE GOING TO KEEP BRINGING YOU GOLD MEDALS, KEEP REPRESENTING, WE'RE GOING TO MAKE SURE THAT EVERY KID FROM OUR TEAM GO TO COLLEGE SO WE CAN BE GREAT PEOPLE IN OUR SOCIETY.

[APPLAUSE]

>> YOU KNOW, JUST A PLEASURE TO BE A PART OF THE TEAM, COACH TONY LET ME AND MY OLDEST DAUGHTER COME ALONG A COUPLE YEARS BACK, AND IT'S BEEN A PLEASURE TO WORK FOR HIM.

AND TO BE HONEST WITH YOU, THAT MAN AND COACH SPENCER AS WELL, BUT I KNOW TONY STARTED THIS WHOLE THING, AND HE HAD A VISION.

AND I THINK THAT COACH SPENCER SAID IT BEST EARLIER HE WAS TALKING ABOUT COACH TONY DOESN'T JUST TALK ABOUT TRACK, HE TALKS ABOUT SCHOOL.

HE'S ALWAYS -- AS A MATTER OF FACT, HE HANDS OUT DOLLAR BILLS FOR GRADES.

YOU BRING ME 100, I'VE GOT A DOLLAR FOR YOU.

I THINK HE'S BUILDING THE WHOLE INDIVIDUAL, HE'S ALWAYS PUSHING TO BE A GREAT PERSON, DO WELL IN SCHOOL, AND ALWAYS WORK HARD, NOT JUST IN TRACK BUT IN LIFE IN GENERAL.

AND IT'S JUST BEEN A PLEASURE WATCHING THAT JOURNEY.

AND I SAW IT WHEN THIS MAN BROKE DOWN AND CRIED WHEN THE GIRLS WON IN NORTH CAROLINA.

IT WAS A SENSE OF ACCOMPLISHMENT.

AND IT WON'T STOP.

WE'RE JUST BLESSED TO BE A PART OF THE CITY OF SAN ANTONIO.

THANK YOU.

[02:50:02]

[APPLAUSE]

>> ALL RIGHT.

I JUST WANT TO, AGAIN, THANK YOU ALL FOR HAVING US.

IT IS AN HONOR, OUR PLEASURE TO BE HERE.

THESE KIDS -- I'M GOING TO ASK YOU ALL TO STAND UP ONE MORE TIME.

THESE KIDS COME OUT AND JUST TO TALK -- YOU KNOW, THE THING THAT WE STRESS AS COACH GLEN SAID IS THE WHOLE CHILD, NOT JUST ATHLETICS.

WE MAKE SURE WE TALK ABOUT ACADEMICS, WE MAKE SURE WE TALK ABOUT WHAT'S GOING ON IN THE HOME AND ALL OF THAT.

AND SO IT GIVES THEM AN OPPORTUNITY TO LEARN HARD WORK, DETERMINATION, PERSEVERANCE, THEY PRACTICE ON MONDAYS, WEDNESDAYS -- I'M SORRY, MONDAYS, TUESDAYS AND THURSDAYS, EVEN IN THE SAN ANTONIO HEAT, OKAY? SO THAT IS DETERMINATION.

AND THEY TAKE THAT WITH THEM AS THEY GROW OLDER.

AND SO REALLY THIS MOMENT IS NOT ABOUT THE COACHES, IT'S ABOUT THEM AND THEIR HARD WORK AND EVERYTHING THAT THEY'VE DONE.

AND SO WE WANT TO THANK THE CITY OF SAN ANTONIO FOR MAKING THE THINGS AVAILABLE TO US TO MAKE SURE THAT WE'RE TRAINING THEM, OPENING UP THE TRACKS AND THE FACILITIES, ESPECIALLY IN THE NORTHSIDE DISTRICT AND ALL OF THOSE THINGS THAT ARE FREE AND WE CAN GO AND MAKE SURE WE REALLY GET THIS WORK IN FOR THEM. WE WANT TO APPRECIATE YOU ALL FOR THAT AS WELL.

THANK YOU.

[APPLAUSE]

>> MAYOR NIRENBERG: COACH SPENCER, COACH TONY, ALL THE COACHES, HOW MANY COACHES DO Y'ALL HAVE? 18.

18 AND 140 ATHLETES.

I JUST WANT TO SAY THANK YOU AND CONGRATULATIONS TO YOU.

BEST TEAM IN THE NATION.

>> YES!

>> MAYOR NIRENBERG: AND I THINK IF WE HAVE A GOAL THAT WE CAN SET TOGETHER RIGHT NOW, YOU WILL NO LONGER BE WINNING ALL THESE CHAMPIONSHIPS UNDER THE RADAR.

WE EXPECT YOU TO COME BACK EVERY YEAR SO WE CAN CELEBRATE Y'ALL.

CONGRATULATIONS! [APPLAUSE]

>> MAYOR NIRENBERG: ALL RIGHT.

OUR SECOND CEREMONIAL, ANOTHER CHAMPION TEAM, THE SOUTHWEST ELITE BASEBALL TEAM WON THE CHAMPIONSHIP TITLE AT THE 2018 PONY LEAGUE SOUTH ZONE TOURNAMENT PLAYED IN HARLINGEN, TEXAS, ON JULY 26, 2018.

THE ELITES ADVANCED TO THE TOURNAMENT AND BECAME THE FIRST TEAM TO REPRESENT SAN ANTONIO AND THE PALOMINO WORLD SERIES.

CONGRATULATIONS TO THE SOUTHWEST ELITES ON THEIR OUTSTANDING SEASON, AND SO I'D LIKE TO CALL FORWARD THE SOUTHWEST ELITE BASEBALL TEAM AND COACHES TO ACCEPT THIS CITATION AS I READ IT.

[APPLAUSE] AND IN RECOGNITION OF THE 2018 PONY LEAGUE'S PALOMINO SOUTH ZONE CHAMPIONSHIP, THE TEAM'S GREAT DETERMINATION, DEDICATION AND SPORTSMANSHIP WAS DEMONSTRATED THROUGHOUT THE SEASON AND IS WORTHY OF COMMENDATION.

NOW, THEREFORE, I RON NIRENBERG, MAYOR OF THE CITY OF SAN ANTONIO AND ON BEHALF OF THE CITY COUNCIL PROUDLY COMMEND THE TEAM, THE COACHING STAFF AND THE PARENTS OF SOUTHWEST ELITE BASEBALL TEAM ON THIS OUTSTANDING ACCOMPLISHMENT AND EXTEND BEST WISHES FOR CONTINUED SUCCESS.

[APPLAUSE] MAYOR PRO TEM BEFORE THE PLAYERS AND COACHES SIT DOWN, WE DO HAVE SOME COUNCILMEMBERS WHO WANT TO SAY SOMETHING, BUT...

>> WE HAVE -- MAYOR PRO TEM GO AHEAD.

>> OKAY.

WELL, MY NAME IS BRIAN CASTILLO.

I'M FROM SAN ANTONIO.

THE KIDS BEHIND ME, I'VE HAD THESE KIDS SINCE PROBABLY THEY WERE 11 YEARS OLD.

IT'S AN HONOR AND REMARKABLE NOW, ALL OF THEM MIND ME ARE SENIORS IN HIGH SCHOOL, ALL OF THEM FROM SAN ANTONIO, FROM SOUTHWEST TO MEDINA VALLEY TO STEVENS HIGH SCHOOL.

IT'S SUCH AN HONOR TO HAVE THESE KIDS AND NOT BE IN THE SAME SCHOOL, NOT SEE EACH OTHER EVERY DAY BUT BE ABLE TO PICK UP THE PHONE AND CALL, AND SAY, HEY, LET'S GO DO A TOURNAMENT, LET'S GO GET SOME PRACTICE IN.

LET'S TRY TO DO SOMETHING THAT WE'VE ACTUALLY NEVER BEEN ABLE TO DO, WHICH IS TO REACH THE WORLD SERIES AND REPRESENT SAN ANTONIO IN THAT PONY BASEBALL, AS YOU KNOW, HAS PROBABLY BEEN AROUND SINCE 1950.

AND TO HAVE A TEAM FROM SAN ANTONIO GO TO THE WORLD SERIES AND REPRESENT THE 18 AND UNDER DIVISION IS PRETTY TOUGH.

AND, YOU KNOW, THERE'S OVER 20 -- AND IT WAS TOUGH, YOU KNOW.

[02:55:04]

WE STARTED OFF IN HARLINGEN, AND WE DIDN'T HAVE THE GREATEST LUCK, WE ENDED UP HAVING TO DRAW THE TEAM THAT WON IT ALL LAST YEAR FIRST AND FOREMOST, LOUISIANA.

AND WE HAD TO PLAY BROWNSVILLE AND HAD TO PLAY HARLINGEN THEMSELVES, SO IT WAS REALLY TOUGH.

THESE KIDS WENT THROUGH QUITE A BIT.

QUITE A BIT.

WE WERE DOWN 10 TO 1 IN THE FIRST INNING, THAT WILL TELL YOU, AND IT'S A TWO-HOUR BASEBALL GAME.

SO THAT WILL TELL YOU REAL QUICK A LOT WHAT THESE KIDS OVERCAME.

AND THE REASON I WANTED TO ASK AND BRING ONE OF MY PLAYERS TO THE PODIUM, BECAUSE A LOT OF IT HAS TO DO WITH THEM.

I COACHED THEM BUT THEY'RE THE ONES ON THE FIELD DOING ALL THE WORK.

SO I REALLY WANT HIM TO SAY A FEW WORDS.

SO MR. CAGAN, WE -- [APPLAUSE] WE CALL HIM THE COACH BECAUSE SOMETIMES I -- THINGS GET HEATED AND I END UP HAVING TO LEAVE, NOT BECAUSE I WANT TO, AND HE USUALLY STEPS IN IN THE SHOES AND TAKES OVER.

SO THIS IS CAGAN MARTINEZ.

>> I DON'T KNOW WHAT TO TALK ABOUT.

>> THANK THE CITY FOR COMING OUT AND WHAT WE DID AND HOW FUN IT WAS.

>> I DON'T KNOW.

I'VE KNOWN MOST OF THESE GUYS -- OSH MOST OF THEM SINCE I WAS ABOUT 12, AND AT FIRST I DIDN'T LIKE THIS GUY, AT ALL.

NOT AT ALL.

BUT AFTER I GOT TO KNOW HIM, AFTER I PLAYED WITH HIM, HE BECAME LIKE A SECOND FATHER-FIGURE TO ME, BECAUSE, I MEAN, I CAN RELY ON HIM FOR WHATEVER.

AND THESE GUYS, THEY'RE JUST -- THEY'RE ALWAYS THERE, THEY'RE ALWAYS PLAYING, ALWAYS MESSING AROUND WHENEVER WE'RE NOT SUPPOSED TO, ALWAYS OUT THERE.

ALWAYS PLAYING.

AND THEY'RE JUST -- THEY'RE LIKE BROTHERS TO ME.

I WILL NEVER FORGET PLAYING WITH THEM.

HARLINGEN WAS PROBABLY THE MOST EVENTFUL TOURNAMENT I'VE EVER PLAYED IN BECAUSE OUR COACH GOT KICKED OUT AND -- (LAUGHING) -- I HAD TO STEP IN AND HELP OUR OTHER COACH COACH OUR TEAM TO HELP US WIN THAT GAME.

HELPED US WIN.

MOVING ON.

[APPLAUSE]

>> THIS IS MY ASSISTANT COACH PETE BUSTAMANTE.

>> YEAH, CAGAN IS ONE OF THE KIDS THAT HE HARDLY EVER STOPS TALKING, SO IT WAS KIND OF STRANGE HIM BEING LOST FOR WORDS RIGHT NOW, LIKE I AM.

BUT I JUST WANT TO SAY IT'S A BIG HONOR AND I WANT TO THANK THE CITY OF SAN ANTONIO, MAYOR AND THE COUNCILPEOPLE FOR ACKNOWLEDGING THIS, FOR RECOGNIZING THIS TEAM, AND LIKE COACH SAID, THEY WENT THROUGH A LOT.

I'M VERY PROUD OF THEM.

THEY OVERCAME BIG OBSTACLES TO GET THERE, AND THERE WAS TIMES WHEN IT SEEMED LIKE WE WEREN'T GOING TO GET OUT OF THE FIRST ROUND, BUT SOMEHOW THEY WOULD FIND A WAY TO WIN THESE GAMES.

AND THEY SHOWED A LOT OF CHARACTER, SHOWED A LOT OF DISCIPLINE, SHOWED A LOT OF FIGHT.

SOMETHING THAT WE TRY TO TEACH THEM SINCE THEY'RE LITTLE, AND THEY NEVER GAVE UP.

THEY NEVER GAVE UP, AND BECAUSE OF THAT, THEY ENDED UP BEING ONE OF THE EIGHT TEAMS IN THE WORLD TO BE IN THE WORLD SERIES, WHICH WAS HELD IN LAREDO.

SO WE'RE VERY PROUD OF THAT AND THAT'S ABOUT IT.

THANK YOU VERY MUCH.

[APPLAUSE] MAYOR PRO TEM WE --

>> MAYOR PRO TEM: WE HAVE SOME COUNCILMEMBERS THAT WOULD LIKE TO SHARE SOME REMARKS.

COUNCILMAN SALDAÑA?

>> SALDAÑA: THANK YOU, MAYOR.

I'M EXCITED TO HAVE SOME OTHER BASEBALL PLAYERS IN THE CHAMBERS TODAY.

IN MY MIND, YOU GUYS ARE SUCH PROTOTYPICAL BASEBALL PLAYERS, YOU'VE GOT IF FLAT BILL, THE UPSIDE DOWN OAKLEYS, THE SUNBURNED NECK, AND EVEN TO THE POINT THAT YOU MAKE FUN OF YOUR TEAMMATE WHEN HE COMES UP HERE AND SPEAKS AND YOU'RE JOKING AND LAUGHING WHILE HE'S UP HERE DOING HIS THING.

IT JUST BRINGS BACK TOO MANY CRAZY MEMORIES, BUT I THINK THE BEST MEMORIES IS THE ONE OF YOUR COACH.

COACH, I DIDN'T CATCH YOUR NAME? I'M JUST GOING TO CALL YOU COACH, WHICH IS WHAT I CALLED ALL MY COACHES, AND TO ALL THE COACHES WHO ARE HERE AS WELL, IT BROUGHT BACK SO MANY MEMORIES BECAUSE YOU LOVE YOUR COACH, YOU HATE YOUR COACH, YOU RESPECT YOUR COACH, AND AT SOME POINT YOU CAN'T STAND YOUR COACH, BUT AT THE END OF THE DAY, I THINK IT ALL ENCOMPASSES IS THEY BECOME LIKE THESE FATHER-FIGURES, AND IN ANY CASE, YOU RESPECT HOW MUCH THEY'RE POURING INTO YOU TO BUILD YOU NOT JUST AS ATHLETES OR AS BASEBALL PLAYERS, BUT WITH CHARACTER, WITH DISCIPLINE, WITH AN UNDERSTANDING THAT YOU'RE PART OF A TEAM.

AND THAT'S WHY I LOVED BASEBALL ALL MY LIFE IS BECAUSE WE KIND OF COUNTED ON EACH OTHER, AND WHATEVER HAPPENED BETWEEN THE FOUL POLE LINES WAS EVERYTHING THAT MATTERED FROM THE FIRST INNING TO THE LAST.

AND IT'S GREAT AND EXCITING THAT YOU GUYS HAVE DONE THAT

[03:00:01]

AS A FAMILY.

BECAUSE THEY PLAY SOME TOUGH BASEBALL IN SOUTH TEXAS, SO FOR YOU ALL TO COME BACK WITH SOME HARDWARE TO MOVE IT SAYS A LOT TO US.

SO FROM ONE BASEBALL PLAYER TO THE OTHERS, CONGRATULATIONS.

I'M SO GLAD TO SEE YOUR SUCCESS, AND I WAS WONDERING WHERE YOU EACH GO TO HIGH SCHOOL BECAUSE I WANT TO MAKE SURE THAT WE'RE RECRUITING YOUR BROTHERS AND SISTERS IN THE SOFTBALL AND BASEBALL TEAM, TOO.

BUT I HEARD SOUTHWEST, MEDINA VALLEY.

STEVENS HIGH SCHOOL AS WELL, TOO.

SO CONGRATULATIONS TO YOU ALL AND GOOD LUCK ON THE SEASON BECAUSE I KNOW THE SEASON ISN'T OVER.

THANK YOU.

[APPLAUSE]

>> MAYOR PRO TEM: THANK YOU, COUNCILMEMBER.

COUNCILMEMBER PERRY.

>> PERRY: THANK YOU, MA'AM.

TO BOTH GROUPS OF GREAT ATHLETES FROM TRACK AND, YES, I RAN TRACK BACK IN THE DAY AND WAS NOT A LONG RUNNER, BUT I HAD THE SPRINT DOWN.

AND THE RELAYS AND I LOVED IT.

BUT IT TEACHES YOU A BIG PART ABOUT TEAMWORK IN TRACK, AND RELYING ON YOUR TEAMMATES WHEN YOU'RE JUST A POINT SHORT OR A FEW POINT SHORTS OF PLACING, YOU KNOW, YOU'RE RELYING ON YOUR TEAMMATES TO GET OUT THERE AND MAKE UP THAT SHORTAGE AND COME IN FIRST PLACE.

THAT IS -- THAT IS EXCELLENT ON A TRACK TEAM.

AND THAT'S WHAT IT'S ALL ABOUT IS TEAMWORK.

AND THE SAME THING ON BASEBALL, AND, YES, COUNCILMAN SALDAÑA IS NOT THE ONLY BASEBALL PLAYER ON THIS STAGE.

>> SALDAÑA: THAT'S RIGHT.

>> PERRY: BUT SAME THING FOR THE BASEBALL TEAM, IT'S ALL ABOUT TEAMWORK, WORKING TOGETHER, STRIVING TO GET TO PERFECTION.

DO YOU EVER GET THERE? NO, YOU DON'T.

YOU NEVER BAT 1,000, YOU'RE NEVER A GOLDEN GLOVE OUT THERE, BUT YOU'RE ALWAYS WORKING TOWARDS THAT.

AND IT'S -- AGAIN, IT'S ALL ABOUT SUPPORTING YOUR TEAMMATE AND WORKING TOGETHER AS A TEAM.

SO CONGRATULATIONS TO BOTH GROUPS! I HOPE TO SEE Y'ALL BACK HERE AGAIN IN THE NEAR FUTURE.

THANK YOU, MA'AM.

>> MAYOR PRO TEM: COUNCILMEM BER BROCKHOUSE?

>> BROCKHOUSE: THANK YOU, MAYOR, AND THANK YOU COUNCILMAN PERRY FOR THAT DELIGHTFUL STORY OF YOU RUNNING.

I FIND THAT VERY HARD TO BELIEVE.

AND YOUR BASEBALL HISTORY, BUT GOOD JOB.

I WANTED TO JUST REALLY QUICK SAY TO BOTH ORGANIZATIONS CONGRATULATIONS AS WELL.

WE GOT THROUGH THE FIRST ONE PRETTY QUICK, WE DIDN'T GET A CHANCE TO SAY CONGRATULATIONS TO THE FIRST GROUP THAT CAME UP.

YOU REPRESENT YOUR CITY WELL, WE'RE VERY PROUD OF YOU.

THANK YOU FOR THAT.

ANY ENERGY YOU PUT IN TO MAKING YOURSELF BETTER MAKES OUR COMMUNITY BETTER.

AND TO THE COACHES AND FAMILIES, ESPECIALLY THE FAMILIES AND PARENTS THAT ARE HERE TODAY, I KNOW WITH BOTH THE BASEBALL TEAMS AND THE TRACK TEAM, I CAN SEE COUNTLESS PARENTS THAT HAVE GIVEN TIME AND ENERGY TO MAKE SURE YOUR CHILDREN ARE IN THE RIGHT PLACE TO BE SUCCESSFUL.

SO FOR THAT, THANK YOU TO THE PARENT TS AND FAMILIES, WELL BEYOND THE COACHES.

YOU'RE THE COACHES AT HOME.

DURING THE DAY, I KNOW IT'S THE FAMILIES AND THE SUPPORT GROUPS AROUND THEM ARE TAKING CARE OF BUSINESS.

AND TO THE BOYS THAT ARE OUT THERE PLAYING BALL, TO COUNCILMAN SALDAÑA'S POINT, I PLAYED A LITTLE BIT OF BALL, TOO.

I HAD A HENGE OF A -- HECK OF A TIME MAINLY BECAUSE I GOT TO HANG OUT WITH A BUNCH OF BROTHERS, HAD A GREAT TIME, PLAYING WITH EACH OTHER, PICKING ON EACH OTHER.

A LOT OF THE SAME AREA, VALLEY HI, SOUTHWEST, WHERE THE COUNCILMAN GREW UP DOWN IN THAT AREA, SOUTH SAN, ME AT JOHN JAY, AND I'VE WORKED A COUPLE PREVIOUS JOBS WITH SOME OF YOUR PARENTS, SO I'VE SEEN YOU OVER THE LAST FEW MONTHS WORK YOUR WAY THROUGH THIS, AND CONGRATULATIONS.

I'VE BEEN FOLLOWING YOU AND JUST KEEPING TRACK OF YOUR SUCCESS.

AND YOU SHOULD BE PROUD, AS WE ARE OF YOU, IN HOW YOU'VE REPRESENTED THIS CITY AND THIS COMMUNITY.

YOU SPEAK TESTAMENT TO WHAT OUR YOUTH ARE AND WHAT WE'RE TRYING TO ACCOMPLISH.

WE'RE PROUD OF YOU, BOTH ORGANIZATIONS, GREAT! WE EXPECT TO SEE YOU BACK HERE NEXT YEAR.

HAVE A GREAT WEEK AND A GREAT REST OF YOUR SCHOOL YEAR.

>> MAYOR NIRENBERG: IT SOUNDS LIKE NOT ONLY YOU HAVE A WONDERFUL BASEBALL TEAM, BUT YOU'VE MOLDED SOME HIGH CHARACTER, GREAT YOUNG MEN THAT WE'RE VERY PROUD OF HERE IN SAN ANTONIO.

SO CONGRATULATIONS TO YOU-ALL.

WE MOVE NOW TO OUR THIRD ITEM WHICH IS A PROCLAMATION FOR RESILIENCE WEEK.

LEADERS FROM AROUND THE WORLD WILL JOIN THE SOCIAL MEDIA CONVERSATION DURING THE RESILIENCE WEEK CONFERENCE BEING HELD OCTOBER 8TH THROUGH 12, 2018.

THE WEEK-LONG EVENT HOSTED BY EPICENTER IS INTENDED TO CONTINUE THE DISCUSSION ABOUT BUSINESS CONTINUITY IN THE FACE OF DISASTER.

AND SO AT THE PODIUM NOW IS DAVID MCGEE AND JILL VASSER TO ACCEPT THE PROCLAMATION, WHICH I'LL READ RIGHT NOW.

WHEREAS THE EPICENTER WILL HOST A RESILIENCE WEEK CONFERENCE VIA SOCIAL MEDIA OCTOBER 8TH THROUGH 12TH AND WHEREAS EPICENTER IS A DYNAMIC VISIONARY

[03:05:01]

ENTREPRENEURS WHERE TECHNOLOGIES AND COMMUNITIES COME TOGETHER TO CREATE A BRIGHTER ENERGY FUTURE, RESEARCH, GENERATE AND PROMOTE NEW IDEAS SURROUNDING NEW ENERGY AND -- MENTION OF EPICENTER'S 2018 SUMMIT, DISASTER DISABLED RESILIENCE REINVENTED.

AS A BUSINESS TO BUSINESS SOCIAL MEDIA CONVERSATION ABOUT HOW TO STAY IN BUSINESS AFTER DISASTER, AND WHEREAS DURING THE WEEK-LONG EVENT BUSINESSES AND ORGANIZATIONS ARE ENCOURAGED TO PARTICIPATE IN THE SOCIAL MEDIA CONVERSATION ABOUT THEIR RESILIENCE PLANS OR EXPERIENCE WITH RESILIENCE USING #S SATXRESILIENCE SO THAT SAN ANTONIO WILL BE A BETTER PREPARED CITY TO FACE DISASTER.

THEREFORE I RON NIRENBERG DO HEREBY PROCLAIM OCTOBER 8 THROUGH 12, 2018, TO BE RESILIENCE WEEK.

CONGRATULATIONS, Y'ALL! [APPLAUSE]

>> THANK YOU, MR. MAYOR AND ALL OF THE COUNCILMEMBERS, THANK YOU FOR HAVING US.

MY NAME IS JILL VASSER, I'M THE DIRECTOR OF DEVELOPMENT AND PARTENER SHIPS AT EPICENTER.

I'VE MET MANY OF YOU, IF NOT MOST OF YOU. AND WE'RE DELIGHTED TO HAVE THIS PROCLAMATION FROM THE CITY.

THIS WHOLE CONCEPT OF RESILIENCE WEEK WAS PRESENTED AND ANNOUNCED AT OUR SUMMIT IN MAY, AND COUNCILMAN PELAEZ HELPED US MAKE THAT ANNOUNCEMENT, AND WE REALLY WANTED TO EXTEND THIS CONVERSATION INTO THE COMMUNITY AND ENCOURAGE ALL THE BUSINESSES TO NOT ONLY HAVE RESILIENCE PLANS, BUT TO TALK ABOUT THEM AND TO SHARE BEST PRACTICES AND THE TECHNOLOGIES THAT THEY'RE USING TO IMPLEMENT THOSE PLANS.

AND SO I ENCOURAGE YOU TO FOLLOW THAT #SATXRESILIENCE.

WE'VE HAD A GREAT WORKING PARTNERSHIP WITH YOUR OFFICE OF SUSTAINABILITY AND ALL THE WORK THEY'RE DOING WITH SA CLIMATE READY.

AND WE'RE VERY PLEASED TO HAVE DAVID MCGEE WITH US AS OUR LOCAL BUSINESS CHAMPION.

HE HAS A LITTLE BIT OF HISTORY WITH DEALING WITH DISASTERS, AS YOU KNOW, AND HURRICANE HARVEY AND SO I DO APPRECIATE HIS COMING AND BEING A PART OF TONIGHT, AS WELL AS RESILIENCE WEEK.

SO I'LL TURN IT OVER TO DAVID.

OH, AND I SHOULD RECOGNIZE LIZ STUZI IMRKG WHO IS WITH ACCUPRINT.

SHE IS REPRESENTING ONE OF THE 20 COMPANIES ALREADY ENGAGED IN OUR SOCIAL CAMPAIGN SO I ENCOURAGE YOU TO WATCH FOR THEM AND ALL THE OTHER PLAYERS NEXT WEEK.

THANK YOU.

>> THANK YOU, JILL.

AND MAYOR, THANK YOU SO MUCH FOR THE ATTENTION THAT YOU'RE DRAWING TO THIS REALLY IMPORTANT ISSUE.

AND COUNCIL, IT TAKES GREAT LEADERSHIP TO GET PEOPLE TO FOCUS ON THINGS THAT ARE NOT MAYBE READILY APPARENT, THAT THEY REALLY NEED TO BE PREPARED FOR.

COUNCILMAN PELAEZ, YOU'VE BEEN A GREAT LEADER IN THIS REGARD, TOO.

SO THANK YOU FOR CREATING THE AWARENESS.

MY JOB AS CHAMPION, WHEN JILL CALLED ME AND ASKED ME TO BE INVOLVED IN THIS, IT WAS REALLY A VERY EASY ANSWER.

YOU WOULD THINK THAT AS A BANK, WE WOULD HAVE BUSINESS CONTINUITY PLANS AND THINK ABOUT JUST ABOUT ANY POTENTIAL DISASTER THAT YOU COULD IMAGINE, AND WE DO TRY TO DO THAT.

AND WE, IN FACT, HAVE MANY PLANS, LOTS OF RESILIENCY PLANS BUT WHEN HARVEY HIT LAST YEAR AND WE WERE ALL LOOKING AT WHERE IT WAS GOING TO LAND, AND THINKING ABOUT WHAT ARE THE POSSIBILITIES IN SAN ANTONIO, I WAS REALLY GRATEFUL TO KNOW THAT IT WAS GOING TO MISS US.

UNFORTUNATELY, IT HIT HOUSTON, TEXAS, AND WE HAVE 1900 EMPLOYEES IN HOUSTON, TEXAS AT AMITY BANK.

SO I GOT THE CALL TO GO TO HOUSTON TO LEAD OUR RESCUE AND RECOVERY EFFORTS FOR OUR 1900 EMPLOYEES.

ON THE FIRST DAY, WE COULD NOT LOCATE 900 OF OUR EMPLOYEES.

AND SO YOU QUICKLY FIND OUT IN A RESILIENCY PLAN WHERE YOUR WEAKNESSES ARE.

AND I AM SO GRATEFUL WE'LL BE -- I WILL BE ETERNALLY GRATEFUL TO OTHER LEADERS HERE IN SAN ANTONIO, FOLKS LIKE USAA AND H-E-B AND BCFS WHO CAME TO MY RESCUE WHO GAVE US THE RESOURCES THAT WE NEEDED TO HELP RESOLVE ISSUES AND REALLY REACH OUT AND RESCUE OUR PEOPLE AND PUT THEM BACK ON THEIR FEET.

SO I'M HERE TODAY AS THE CHAMPION FOR SAN ANTONIO TO SAY, IF YOU DON'T HAVE A PLAN, YOU NEED TO GET ONE.

IF YOU HAVE A PLAN, YOU NEED TO HAVE A LOT OF FRIENDS AND CONNECTIVITY TO MAKE SURE THAT YOU'VE TESTED YOUR PLAN, BECAUSE THE WEAKNESS IN YOUR PLAN IS GOING TO SHOW UP IN THE MIDDLE OF A CATASTROPHE.

WE HAVE GOT TO BE A PRT OF THIS CONVERSATION.

WE HAVE TO HELP EACH OTHER THINK THROUGH WHAT ARE THE POSSIBILITIES, AND I'M JUST SO PROUD OF SAN ANTONIO, BECAUSE WE REALLY DID SHINE DURING HURRICANE HARVEY.

[03:10:01]

IT'S ACTUALLY VERY APPROPRIATE THAT WE'RE HERE WITH A TRACK TEAM WHO HAS PLANNED AND TRAINED SO HARD AND WON, AND A BASEBALL TEAM WHO WORKS TOGETHER AS A TEAM, AND THAT'S EXACTLY WHAT WE HAVE TO DO AS A COMMUNITY WHEN IT COMES TO THE ISSUE OF RESILIENCY.

[APPLAUSE]

>> MR. MCGEE, IF YOU COULD -- WE'VE GOT A COUPLE OF PEOPLE THAT WOULD LIKE TO SPEAK, SO IF YOU'D LIKE TO STAY UP HERE AND LET'S HEAR WHAT THEY HAVE TO SAY.

>> MAYOR PRO TEM: COUNCILMAN COURAGE?

>> COURAGE: THANK YOU.

I JUST WANT TO GIVE, I THINK, A SHOUT OUT TO CPS, BECAUSE IT WAS CPS THAT REALLY DEVELOPED, ALONG WITH ITS PARTNERS, THE EPICENTER.

YOU KNOW, THEY REPURPOSED AN OLD ENERGY PLANT AND THEY'VE REVITALIZED THAT AREA AROUND THERE, AND NOW IT'S A CENTER FOR ENERGY INNOVATION AND FOR RESILIENCY.

SO I KNOW IT'S BEEN A GREAT FACILITY, IT'S STILL GOT A GREAT FUTURE.

THAT'S ONE OF THOSE THINGS THAT'S GOING ON IN SAN ANTONIO THAT'S HELPING US GROW TO BE THE GREAT CITY THAT WE ARE.

AND I'M GLAD THAT IT WAS, YOU KNOW, AN IMPORTANT ELEMENT IN THE PROGRESS THAT YOU MADE ON RESILIENCY.

SO THANK YOU.

>> THANK YOU.

>> MAYOR PRO TEM: THANK YOU, SIR.

COUNCILMAN PELAEZ?

>> PELAEZ: THANKS.

THANK YOU TO BOTH OF YOU.

YOU'RE CHAMPIONS, AND EVERY SINGLE ONE OF THE EPICENTER TEAM MEMBERS IS A CHAMPION.

>> THANK YOU.

>> PELAEZ: BUT REALLY I DIDN'T GET A CHANCE TO CONGRATULATE OUR BASEBALL TEAM BECAUSE COUNCILMAN SALDAÑA SORT OF SAID EVERYTHING I WANTED TO TELL YOU GUYS.

BUT THE REASON I'M ADDRESSING YOU RIGHT NOW, FELLOWS IN THE BLUE SHIRTS OVER THERE, IS BECAUSE I KNOW THAT THIS PROBABLY DOESN'T MAKE SENSE RIGHT NOW, LIKE WHAT -- WHY IS IT THAT THESE FOLKS ARE UP HERE AND WHY IS IT THAT IT DIRECTLY APPLIES TO YOU GUYS? BUT I'VE GOT TO TELL YOU SOMETHING.

YOUR ABILITY TO LIVE IN A CITY WHERE YOU'VE GOT GOOD PARKS, WHERE YOU'VE GOT PEOPLE WHO SUPPORT YOU, WHERE YOU'VE GOT SAFE ROADS, WHERE YOU'VE GOT POLICE, WHERE IT'S POSSIBLE FOR YOU GUYS TO GO TO SCHOOL, THRIVE, SUCCEED AND THEN SOMEHOW MAKE TIME TO ALSO DEDICATE YOURSELF TO THIS IS ONLY POSSIBLE BECAUSE THERE'S OTHER FOLKS OUT THERE THINKING ABOUT WHAT DO WE NEED TO DO TO BLOCK AND TACKLE, TO MAKE SURE THAT YOU ALWAYS HAVE THOSE OPPORTUNITIES TO DO THAT.

AND THAT INCLUDES, HOW DO WE RESPOND TO DISASTERS, RIGHT? AND, YOU KNOW, SOMETIMES, YOU KNOW, DISASTERS VISIT CITIES.

AND OUR JOB AS GOVERNMENT IS TO -- AND OUR PARTNERS UP HERE IS TO MAKE SURE THAT IF HURRICANE HARVEY HAD LANDED ON US, THAT YOU WOULD STILL HAVE BEEN ABLE TO PRACTICE AND STILL HAVE BEEN ABLE TO, YOU KNOW, GET OUT ON THE ROAD TO GO PLAY YOUR GAMES AND STILL BE ABLE TO COME BACK AND BRING HOMEE THOSE MEDALS.

THAT'S THE POINT OF ALL OF THIS, RIGHT? AND SO IN ALL SERIOUSNESS, THERE'S A REALLY GOOD CHANCE THAT SOME OF YOU MAY NEVER BE MULTIMILLION DOLLARS PROFESSIONAL ATHLETES PLAYING FOR THE -- YOU KNOW, FOR PROFESSIONAL BASEBALL TEAMS, BUT THE ONE THING THAT WE DO GUARANTEE YOU GUYS IS THE OPPORTUNITY, RIGHT? AND THE OPPORTUNITY ONLY EXISTS BECAUSE WE'RE THINKING ABOUT HOW TO MAKE GOOD THINGS HAPPEN TO YOU, BUT ALSO HOW TO PREVENT BAD THINGS FROM HAPPENING TO YOU GUYS.

AND THAT'S WHAT WE'RE TALKING ABOUT UP HERE.

THIS IS A REALLY, REALLY IMPORTANT MOMENT, AND I'M GLAD THAT YOU GUYS ARE HERE TO WITNESS IT.

SO THANKS FOR THE EPICENTER FOR DOING THAT FOR THOSE GUYS.

>> IT'S OUR PLEASURE.

THANK YOU.

>> MAYOR PRO TEM: THANK YOU, SIR.

COUNCILWOMAN SANDOVAL?

>> SANDOVAL: THANK YOU VERY MUCH, MAYOR PRO TEM.

AND THANK YOU FOR MOVING FORWARD WITH RESILIENCE WEEK.

AND I SAW THE LIST OF THE ORGANIZATIONS THAT ARE PARTICIPATING.

IT'S A GREAT RANGE OF COMPANIES, AND I THINK THAT'S WONDERFUL.

>> YES.

>> SANDOVAL: AND I THINK COUNCILMAN PELAEZ MENTIONED THIS IN THE PRESS RELEASE, WHICH I WAS JUST REVIEWING RIGHT NOW, BUT THIS IS A SIGNIFICANT PART OF OUR CLIMATE ACTION ADAPTATION PLAN THAT'S BEING DEVELOPED RIGHT NOW.

FOR THE MOST PART -- OR FOR PART OF MY CAREER, I WORKED IN CLIMATE ACTION IN REDUCING GREENHOUSE GASES BUT THE TRUTH IS WE'RE GOING TO HAVE THE IMPACTS.

THERE'S DIFFERENT KINDS OF RESILIENCE, BUT CERTAINLY RESPONSE TO EXTREME WEATHER EVENTS IS ONE OF THEM, AND NOT KNOWING WHERE YOUR EMPLOYEES ARE CAN BE VERY IMPACTFUL TO YOUR BUSINESS.

SO I LOOK FORWARD TO WHAT EVERYONE IS GOING TO LEARN FROM THAT.

I THINK IT CAN PROBABLY REALLY INFORM THE PLAN THAT WE'RE DEVELOPING HERE FOR THE CITY.

SO THANK YOU FOR DOING THAT.

AND TO THE FLO JO TEAM AND THE PONY CHAMPION -- THE PONY LEAGUE CHAMPIONS, CONGRATULATIONS TO ALL OF YOU.

IF I COULD SAY ONE THING IS, I'M REALLY JEALOUS BECAUSE I WISH WHEN I WAS A KID I HAD DEVELOPED THAT HABIT OF ALWAYS EXERCISING AND HAVING THAT HABIT.

IT'S A WHOLE LOT HARDER TO DO WHEN YOU'RE AN ADULT TO MAKE THAT A HABIT, SO DON'T LET IT GO.

SO CONGRATULATIONS AGAIN.

THANK YOU.

[APPLAUSE]

>> GOOD ADVICE.

>> MAYOR PRO TEM: THANK YOU,

[03:15:02]

MA'AM.

COUNCILWOMAN GONZALES?

>> GONZALES: FOR ALL YOU DO AT EPICENTER AND THE CREATIVITY -- AUDIO] -- IN WHICH YOU USE TO SORT OF BRING THIS DIFFERENT KIND OF EXPERIENCE, I HAVE NEVER WITNESSED IT BEFORE.

AND SO I'M JUST LIKE JUST ON THE CUSP OF NOT HAVING TECHNOLOGY EVERY DAY IN MY LIFE.

I THINK IF I WERE BORN A GENERATION EARLIER, IT WOULD BE NORMAL, BUT IT'S STILL NOT SOMETHING THAT I REALLY KNOW HOW IT'S GOING TO WORK.

SO I'M LOOKING FORWARD TO --

>> WE DON'T EITHER.

>> GONZALES: AND SO SOMETIMES WE HAVE TO EXPERIENCE IT FOR THE FIRST TIME TO -- HOPE, FIRST OF ALL, GET THE KINKS OUT AND SEE THAT THIS IS SOMETHING THAT REALLY WORKS.

>> RIGHT.

>> GONZALES: AND PEOPLE GET ENGAGED WITH.

AND WE LEARN A NEW WAY TO COMMUNICATE WITH PEOPLE, BECAUSE THAT'S -- I KNOW ONE OF MY -- I FEEL LIKE ONE OF MY BIGGEST CHALLENGES AS A COUNCILMEMBER IS HOW TO COMMUNICATE WITH OUR CONSTITUENTS ABOUT WHAT'S MOST IMPORTANT.

AND HOPEFULLY THIS WILL BE A NAH WAY TO COMMUNICATE WITH PEOPLE AND INFORM THEM, AND I'M LOOKING FORWARD TO ALL THE FEEDBACK.

I HOPE THAT YOU HAVE SOME SORT OF FEEDBACK LOOP SO WE CAN HEAR ABOUT THE SUCCESSES AND FAILURES OF DOING A SOCIAL MEDIA PROGRAM LIKE THIS ONE. DID YOU WANT TO COMMENT?

>> I'M JUST NODDING BECAUSE NOBODY -- WELL, WE HAVEN'T DONE ANYTHING LIKE THIS.

SO IT IS A LITTLE BIT OF AN EXPERIMENT, BUT THE CONVERSATION IS SO IMPORTANT THAT WE THOUGHT WE'D TRY IT.

AND TRY IT IN THIS METHOD.

WE WILL BE CURATING ALL THE ACTIVITY AND PUTTING TOGETHER THE OUTCOMES AND THE THINGS THAT ARE RELEVANT THAT COME OUT OF THE CONVERSATION THAT CAN INFORM THE CITY'S PLAN AS WELL AS EVERYONE'S OWN RESILIENCE PLAN.

>> GONZALES: WELL, THANK YOU FOR TAKING THAT RISK FOR US.

IT'S DEFINITELY NOT SOMETHING WE WANT TO DO ON THE TAXPAYERS' DOLLARS HERE AT CITY HALL.

>> FAIR.

>> GONZALES: BUT WE WELCOME THE OPPORTUNITY TO LEARN FROM YOUR EXPERIENCES.

SO THANK YOU FOR WHAT YOU'RE DOING AT EPICENTER AND FOR YOUR CONTINUED ENGAGEMENT IN THE COMMUNITY.

>> IT'S OUR PLEASURE.

>> PERRY: THANK YOU, MA'AM I I WANT TO ECHO WHAT YOU SAID ABOUT EXERCISING PLAN.

BEING AN AIR FORCE RETIREE.

WE HAD PLANS.

WE HAD PLANS FOR THE PLANS.

AND, YOU KNOW, ONE WAY THAT YOU MADE SURE THAT THOSE WERE OPERATIONAL WAS TO EXERCISE THOSE PLANS AND GET OUT THERE AND ACTUALLY USE THEM AND PRACTICE.

AND THAT'S THE ONLY WAY THAT YOU'RE GOING TO BE ABLE TO ENSURE THAT YOU HAVE A PLAN THAT WORKS IS TO ACTUALLY GO OUT THERE AND USE THEM.

SO I'M LOOKING FORWARD TO ALL OF THIS COMING UP HERE IN THE FUTURE, AND SEE WHERE WE GO FROM HERE.

THANK YOU VERY MUCH, SIR.

>> MAYOR NIRENBERG: AND, JILL, I'D JUST LIKE TO SAY TO YOU AND THE WHOLE EPICENTER STAFF, IT'S A GRAND VISION OF AN INCREDIBLE LEARNING LAB THAT WE CAN BE VERY PROUD OF HERE IN SAN ANTONIO.

I THINK THERE'S A LOT OF OBSTACLES IN THE WAY AS SO MANY PROJECTS GET LAUNCHED, BUT YOU HAVE STAYED FOCUS ON THE VISION.

I THINK IT'S AN AN INCREDIBLY IMPORTANT ONE SO I APPRECIATE THAT YOU'RE HAVING THIS CONVERSATION SO THE PUBLIC CAN UNDERSTAND WHAT THE MISSION IS, WHICH IS REALLY IMPORTANT.

AND TO YOU, DAVID, I WANT TO SAY THANK YOU FOR BEING A MEMBER OF THE BUSINESS COMMUNITY THAT'S WILLING TO HAVE A CONVERSATION ABOUT RESILIENCE.

IT'S NOT A CONCEPT THAT I THINK MANY FOLKS HAVE QUITE GRASPED, BUT YOU'VE TAKEN OWNERSHIP OF THAT AND ARE TRYING TO HELP US UNDERSTAND THAT IN A BETTER WAY AND HOW IT IMPACTS BUSINESSES.

I THINK SAN ANTONIO HAS A LOT TO LEARN FROM YOU IN THAT APPROACH.

YOU'VE TAKEN THAT INTO YOUR ROLE AT SAWS AND IT'S A PLEASURE TO SERVE WITH YOU IN THAT.

BUT I JUST WANT TO SAY THANK YOU FOR BEING WILLING TO HAVE A TOUGH CONVERSATION ABOUT PREPAREDNESS AND HOW IT MAKES US AS A COMMUNITY, AS A LEADING BUSINESS OWNER IN THE COMMUNITY.

SO THANK YOU, DAVID.

THANK YOU, JILL.

>> HAPPY TO DO IT.

>> THANK YOU.

WATCH SATXRESILIENCE.

>> MAYOR NIRENBERG: THANK YOU ALL VERY MUCH.

WE'RE GOING TO FLIP OVER NOW TO OUR PUBLIC HEARING TONIGHT.

>> MAYOR PRO TEM: THANK Y'ALL VERY MUCH.

THAT'S TEND OF THE

* This transcript was compiled from uncorrected Closed Captioning.