* This transcript was created by voice-to-text technology. The transcript has not been edited for errors or omissions, it is for reference only and is not the official minutes of the meeting. [00:00:33] ALL RIGHT. GOOD AFTERNOON EVERYONE. WELCOME TO OUR CITY COUNCIL B SESSION AGENDA. THANK YOU FOR YOUR PATIENCE. THE TIME IS 2:15 PM WE'LL START WITH OUR ROLL CALL. YES, SIR. COUNCIL MEMBER VINNO HERE. COUNCIL MEMBER SHAW. HERE. COUNCIL MEMBER VERAN. HERE. COUNCIL MEMBER SALANA. HERE. COUNCIL MEMBER GONZALEZ PRESENT. COUNCIL MEMBER BROCK HOUSE PRESENT. COUNCIL MEMBER SANDOVAL. HERE. COUNCIL MEMBER ELIAS. COUNCIL MEMBER COURAGE PRESENT. COUNCIL MEMBER PERRY HERE. AND MAYOR NURENBERG. HERE. MAYOR, WE DO HAVE A QUORUM. ALL RIGHT. UH, WELL WE HAVE TWO SET TWO ITEMS ON THE AGENDA TODAY. SO CITY MANAGER, SCULLY. THANK YOU, MAYOR AND COUNCIL. GOOD AFTERNOON. UH, TWO ITEMS. FIRST, HAVING TO DO WITH OUR HOUSING PROGRAMS AND SECONDLY, A MILITARY AFFAIRS, UH, PRESENTATION. SO FIRST WE'RE GOING TO BEGIN WITH A REVIEW OF OUR CITY INCENTIVES FOR OUR CENTER CITY COMMERCIAL AND RESIDENTIAL PROJECTS, INCLUDING OUR CENTER CITY HOUSING IN INCENTIVE PROGRAM AND THE INNER CITY REINVESTMENT PROGRAM. UH, CITY STAFF HAVE REVIEWED BOTH PROGRAMS, AND YOU'LL RECALL BACK IN OCTOBER OF 2017, UH, THE MAYOR AND COUNCIL REQUESTED A REVIEW OF THESE INCENTIVE PROGRAMS, THE PROGRESS WE'VE MADE THROUGHOUT THE COMMUNITY, AS WELL AS, UH, THE IMPACT. AND SO WE PRESENTED THE PROGRAM RECOMMENDATIONS THAT HAVE BEEN DEVELOPED OVER THE PAST YEAR AND A HALF WITH INPUT FROM THE COMMUNITY. UH, WE PRESENTED THAT TO THE ECONOMIC AND WORKFORCE DEVELOPMENT COMMITTEE, UH, TWICE AND TO THE COMPREHENSIVE PLAN COMMITTEE. IN ADDITION, STAFF HAS INCORPORATED THE FEEDBACK FROM THE AFFORDABLE HOUSING DEVELOPMENT COMMUNITY AS WELL AS PRIVATE DEVELOPERS AND, UH, INPUT FROM DOWNTOWN STAKEHOLDERS WHERE MANY OF THESE INCENTIVES ARE CENTERED. AND, UH, ALSO FROM HOUSING TASK FORCE MEMBERS. THE PROPOSED, UH, CCHI P AS WE REFER TO IT IN CITY FEE WAIVER PROGRAMS, UH, ARE IN LINE WITH THE SA TOMORROW COMPREHENSIVE PLAN BY FOCUSING ON DENSITY, ALIGNING INCENTIVES WITH FUTURE LAND USE THAT ARE RECOMMENDED AND ENSURING THAT OUR ECONOMIC DEVELOPMENT INCENTIVES ARE ALIGNED WITH OUR PLANNING EFFORTS. UH, IT ALSO ADDRESSES SPRAWL BY EXCLUDING ELIGIBILITY OVER THE RECHARGE ZONE, LIMITED PURPOSE ANNEXATION AND OUR, UH, E T J AREAS. UH, THE FEE WAIVER PROGRAMS ARE ALIGNED WITH THE MAYOR'S HOUSING TASK FORCE THAT JUST COMPLETED ITS WORK, UM, A COUPLE OF MONTHS AGO BY ENSURING THAT WE UTILIZE THE HOUSING AND URBAN DEVELOPMENT AREA, MEDIA INCOME GUIDELINES TO DETERMINE ELIGIBILITY AND CREATE EFFICIENCIES IN OUR AFFORDABLE HOUSING PROGRAMS. ALSO, BY PRIORITIZING CITY INCENTIVES FOR AFFORDABLE RENTAL UNITS AT 60%, UH, A M I WITH ALLOWING FLEXIBILITY TO ACCOMMODATE FAMILIES UP TO 80% A M I, AND ALSO ALLOWING OWNERSHIP OF UP TO 120% OF A M I. UM, ALSO BY ENSURING RENTS CHARGE FOR AFFORDABLE UNITS ARE BOTH RENT AND INCOME RESTRICTED AND CREATING A DEDICATED REVENUE SOURCE FOR AFFORDABLE HOUSING. SO THESE RECOMMENDATIONS THAT WE'LL PRESENT TODAY, UH, ENSURE THAT OUR CCHI AND CITY FEE WAIVER PROGRAMS CONTINUE TO SERVE AS ECONOMIC DEVELOPMENT TOOLS, UH, FOCUSED ON THE TYPE OF DEVELOPMENT AND GROWTH THAT WE WOULD LIKE TO SEE THAT IS CONSISTENT WITH OUR SA TOMORROW PLAN AND LEVERAGING AFFORDABLE HOUSING OPPORTUNITIES CITYWIDE, UH, NOT JUST IN THE CENTER CITY AREA. SO ASSISTANT CITY MANAGER, LORI HOUSTON IS GOING TO PRESENT THE RECOMMENDATIONS FOR BOTH PROGRAMS AND, UH, AT THIS TIME AND DEPENDING UPON THE CONVERSATION AND POLICY DIRECTION FROM THE COUNCIL THIS AFTERNOON, UH, WE ARE PREPARED TO BRING THIS FORWARD FOR COUNCIL ADOPTION AT THE DECEMBER 6TH, UH, CITY COUNCIL MEETING. SO WITH THAT, I'LL TURN IT OVER TO LORI AND UH, SHE AS WELL AS A NUMBER OF OUR PRIVATE SECTOR DEVELOPMENT PARTNERS ARE HERE IN THE AUDIENCE AS WELL. AND, UH, WE ALL CAN ANSWER QUESTIONS, UM, FROM THE CITY COUNCIL THIS AFTERNOON. LORI. GREAT. THANK YOU CHERYL. AND GOOD AFTERNOON. TODAY'S BRIEFING IS ON THE CENTER CITY HOUSING INCENTIVE [00:05:01] POLICY AND THE INNER CITY REINVESTMENT INFILL POLICY, BOTH REFERRED TO AS THE CCHI P OR THE I CRIP, THE CENTER CITY DEVELOPMENT OPERATIONS DEPARTMENT ADMINISTERS THESE PROGRAMS AND THAT IS BEING LED BY JOHN JACKS AND VERONICA GARCIA. AND BOTH OF THESE PROJECTS OR PROGRAMS PROVIDE ELIGIBLE PROJECTS AS OF RIGHT INCENTIVES PROVIDED THEY MEET CERTAIN REQUIREMENTS. IN JANUARY OF 2018, THE CITY OF SAN ANTONIO CITY COUNCIL CONSIDERED A MORATORIUM, WHICH WAS APPROVED ON THE CENTER CITY HOUSING INCENTIVE POLICY, REQUESTING THAT STAFF EVALUATE THE C CHIP AND RETURN TO CITY COUNCIL WITH A RECOMMENDATION THIS WAS HAPPENING WHILE WE WERE ALSO EVALUATING THE INNER CITY REINVESTMENT INFILL POLICY. THE CHANGES THAT WE ARE PROPOSING TODAY ARE BASED ON SEVERAL PUBLIC MEETINGS AND STAKEHOLDER MEETINGS, AS WELL AS THE ESSAY TOMORROW PLAN AND THE MAYOR'S HOUSING TASK FORCE REPORT. AND I WANNA STRESS THAT THIS POLICY WAS DONE IN COORDINATION WITH THE HOUSING AND NEIGHBORHOOD SERVICES DEPARTMENT, WHICH IS LED BY VERONICA SOTO. I'D LIKE TO THANK THEM FOR THEIR SUPPORT. I'D ALSO LIKE TO RECOGNIZE SEVERAL MEMBERS OF THE AUDIENCE WHO HAVE HELPED US COORDINATE, REVIEW AND ANALYZE THIS POLICY TO INCLUDE JENNIFER GONZALEZ AND MICHAEL SHACKLEFORD WITH ALAMO GROUP, DAVID DELMAN WITH U L I AND AREA REAL ESTATE, DEBORAH GUERRERO WITH N R P, JIM PLUMMER WITH BRACEWELL WHO ALSO REPRESENTS THE SAN ANTONIO HOUSING TRUST, LEELA POWELL WITH LISC AND SEVERAL OTHERS THAT I'VE, IF I FORGOT YOUR NAME, I APOLOGIZE. I ALSO SEE EDDIE ROMERO WITH CENTRO, WHO'S BEEN A GREAT PARTNER AS WE'VE REVIEWED THESE POLICIES. SO THIS HAS NOT BEEN DONE AT A VACUUM. IT'S BEEN DONE WITH A LOT OF STAKEHOLDER INPUT AND THE STAKEHOLDER INPUT WILL CONTINUE PRIOR TO BRINGING THIS FORWARD TO COUNCIL ON DECEMBER 6TH, THE FIRST POLICY I'LL TALK ABOUT IS THE INNER CITY REINVESTMENT INFO POLICY. THIS POLICY WAS ADOPTED IN 2010 AND WAS A RESULT OF THE EAST SIDE SUMMITS THAT WERE HELD ON THE EAST SIDE. AND SEVERAL RECOMMENDATIONS WERE MADE TO INCLUDE THE DEVELOPMENT OF FEE WAIVER PROGRAM THAT HELPS SMALL BUSINESSES IN ECONOMIC DEVELOPMENT IN THE INNER CITY. THE ICRP IS A PLACE-BASED STRATEGY. IT FOCUSES ON AN 84 SQUARE MILE AREA, AN 84 SQUARE MILE AREA. AND THOSE, THAT BOUNDARY WAS BASED ON SEVERAL, UM, CONDITIONS TO INCLUDE VACANCY RATES, POVERTY LEVELS, EDUCATIONAL ATTAINMENT. SINCE 2010, THE CITY HAS ISSUED OVER 11,000 FEE WAIVERS THAT REPRESENT A TOTAL OF INVESTMENT OF 4.4 BILLION OF THOSE FEE WAIVERS, THEY HELP FACILITATE OVER 10,000 HOUSING UNITS, OF WHICH 42% OF THOSE HOUSING UNITS WERE WORKFORCE OR AFFORDABLE. THE ICRP, WHICH IS PLACE-BASED, HAS A VERY, VERY PERMISSIVE, UM, PRODUCT TYPE. SO PROVIDED YOU'RE WITHIN THAT BOUNDARY, YOU'LL RECEIVE THE FEE WAIVER FOR MIXED USE, COMMERCIAL DEVELOPMENT, HOUSING DEVELOPMENT, WHAT THE CITY STAFF IS RECOMMENDING THAT WE REVERT FROM A PLACE-BASED STRATEGY AND GO TO A NEEDS-BASED STRATEGY. WE'RE RECOMMENDING THAT WE CHANGE THE NAME OF THE ICRP TO THE CITY FEE WAIVER PROGRAM AND ONLY PROVIDE FEE WAIVERS ON AN AS OF RIGHT BASIS TO FOUR CATEGORIES, AFFORDABLE HOUSING, OWNER OCCUPIED REHAB, HISTORIC REHABILITATION AND BUSINESS DEVELOPMENT AND LEGACY BUSINESS DEVELOPMENT. SO WE'RE NO LONGER GOING FORWARD WITH A PLACE-BASED STRATEGY, BUT FOCUSING ON THE NEEDS THAT WE'VE IDENTIFIED THROUGH THE SA TOMORROW PLAN AND THE MAYOR'S HOUSING TASK FORCE REPORT. NOW TO HELP DEFINE THESE FOUR CATEGORIES, WE WORK CLOSELY WITH OUR NONPROFIT PROVIDERS AND THE HOUSING AND NEIGHBORHOOD SERVICES DEPARTMENT AND OUR FOR-PROFIT HOUSING PROVIDERS. SO FOR AFFORDABLE HOUSING, YOU MUST BE A NON-PROFIT OR FOR-PROFIT PROVIDER WHOSE MISSION IS TO PROVIDE AFFORDABLE HOUSING. IN ORDER FOR YOU TO RECEIVE THE FEE WAIVER ON AN AS OF RIGHT BASIS FOR THE MULTI-FAMILY UNITS TO RECEIVE THE FEE WAIVERS, AT LEAST 50% OF THOSE UNITS MUST BE AT AFFORDABLE RATE OF WHICH HALF OF THOSE NEED TO BE AT THE 60% OR BELOW A M I AND THE THE FOR SALE PRODUCT, IT MUST BE AVAILABLE TO INDIVIDUALS MAKING UP TO 120% OF THE REGIONAL AREA MEDIAN INCOME OR BELOW. AND THESE TWO REQUIREMENTS ARE IN LINE WITH THE MAYOR'S HOUSING TASK FORCE REPORT THAT SHOWS THAT THE GREATEST NEED FOR THE FOR SALE PRODUCT TYPE IS BETWEEN THE 60% AND 120% A M I. WE ARE ABLE TO PROVIDE FEE WAIVERS FOR ALL THE HABITAT FOR HUMANITY HOMES. [00:10:01] UM, WE'VE BEEN WORKING WITH 'EM FOR THE PAST FOUR YEARS, AND THIS IS WITHIN THAT A M I LEVEL AND AS WELL AS PROVIDING FEE WAIVERS FOR THAT RENTAL PRODUCT THAT'S 60% A M I OR BELOW FOR THE OWNER-OCCUPIED REHAB PROGRAMS. WE ARE PROVIDING FEE WAIVERS TO THOSE PARTICIPANTS IN OUR CITY DEPARTMENT PROGRAMS SUCH AS THOSE PROGRAMS THAT THE HOUSING AND NEIGHBORHOOD SERVICES DEPARTMENT PROVIDES, OR THE PROGRAMS THAT OUR NONPROFIT PROVIDERS PROVIDE THAT HELP PEOPLE REHAB OR RESTORE THEIR HOME. THIS WAS ONE OF THE ISSUES THAT WE HEARD A LOT ABOUT WHEN WE WERE GOING OUT INTO THE COMMUNITY. WE HEARD THIS FROM THE NEIGHBORHOOD GROUPS. WE ALSO HEARD THIS IN THE MAYOR'S HOUSING TASK FORCE REPORT, PUBLIC MEETINGS AND THE SA TOMORROW PLAN PUBLIC MEETINGS, PEOPLE WANT TO HAVE RESOURCES AVAILABLE TO HELP THEM STAY IN THEIR HOME AND REHAB THEIR HOME FOR HISTORIC REHABILITATION. WE ARE WORKING WITH THE OFFICE OF HISTORIC PRESERVATION, UM, TO PROVIDE FEE WAIVERS TO THOSE PROJECTS THAT ARE ELIGIBLE TO BE DESIGNATED. THEY DO NOT NEED TO BE DESIGNATED. AND THEN THE LAST IS A SMALL BUSINESS DEVELOPMENT AND INDUSTRY DEVELOPMENT THAT WILL BE FACILITATED BY RENEE DOMINGUEZ, WHO WILL BE COMING BACK TO CITY COUNCIL IN A B SESSION PROVIDING THE PARAMETERS FOR THAT FEE WAIVER. HOWEVER, THIS IS THE ONLY ONE OF THE CATEGORIES THAT WILL BE PLACED BASED, AND THESE WILL BE IN LINE WITH THE SA TOMORROW PLAN, THE REGIONAL CENTER TO REALLY HELP US UNDERSTAND THE TYPES OF BUSINESSES THAT WE NEED TO SEE WITHIN EACH OF THOSE REGIONAL CENTERS. NOW THE FEE WAIVER PROGRAM WILL ALSO APPLY TO LEGACY BUSINESSES, AND A LEGACY BUSINESS IS DEFINED BY 20 YEARS IN OPERATION AND CONTRIBUTING TO THE AUTHENTICITY OR THE CULTURAL INTEGRITY OF AN AREA. THIS IS ALSO ADMINISTERED BY THE OFFICE OF HISTORIC PRESERVATION. ONE OF THE THINGS THAT WE HEARD QUITE A BIT THROUGH OUR NEIGHBORHOOD MEETINGS WAS THAT THERE WAS CONCERN ABOUT SHORT-TERM RENTALS. AND WE HAD INITIALLY STATED THAT IF A PROJECT WAS TO RECEIVE CITY FEE WAIVERS THROUGH THE ICRP, THEY WOULD NOT BE ELIGIBLE FOR A SHORT-TERM RENTAL PROGRAM PERMIT EITHER TYPE ONE OR TYPE TWO. WHEN WE PRESENTED THAT TO THE NEIGHBORHOOD GROUPS, THERE WAS SOME CONCERN THAT IT ONLY BE ELIGIBLE FOR TYPE TWO, I MEAN TYPE ONE, UM, SHORT-TERM RENTALS. SO IF YOU ARE AN OWNER OCCUPIED SHORT-TERM RENTAL, THEY REQUESTED THAT IF THEY'RE DOING IMPROVEMENTS TO THEIR HOME, THEY STILL RECEIVE FEE WAIVERS BECAUSE A LOT OF THE NEIGHBORHOODS WERE USING THE SHORT-TERM RENTAL PROGRAM AS A WAY TO MAKE ENDS MEET AND MAKE EXTRA INCOME. SO IT WOULD NOT BE ELIGIBLE FOR A PERMIT, A TYPE TWO PERMIT, WHICH IS NOT OWNER OCCUPIED. THE HOUSE IS VACANT AND THEY'RE RENTING IT OUT AS A SHORT-TERM RENTAL, BUT THE FEE WAIVERS WOULD BE ELIGIBLE FOR TYPE ONE SHORT-TERM RENTALS. SO IN CLOSING, ON THE FEE WAIVER PROGRAM, IT MEETS SEVERAL GOALS. FIRST, IT FOCUSES ON THE DEVELOPED NEEDS OF THE COMMUNITY VERSUS THE PLACE IT PRIORITIZES HOUSING AFFORDABILITY AND AFFORDABLE HOUSING OWNER-OCCUPIED REHAB PROGRAMS. IT PRESERVES AND PROTECTS NEIGHBORHOODS FROM UNWANTED DEVELOPMENT AND TYPE TWO SHORT-TERM RENTALS. IT SUPPORTS OTHER CITY POLICIES SUCH AS THE SA TOMORROW PLAN AND THE MAYOR'S HOUSING TASK FORCE RECOMMENDATIONS. AND IT ALSO SECURES A SEPARATE ALLOCATION OF FEE WAIVER FUNDING FOR EACH OF THESE FOUR CATEGORIES. ONE OF THE CONCERNS WE HEARD FROM THE NONPROFIT PROVIDERS IS THAT OUR MULTI-FAMILY INCENTIVE PROGRAM, WHICH IS A CIP, WOULD EAT UP ALL THE FEE WAIVERS WITHIN THE FIRST QUARTER OF THE YEAR. AND SO WHAT WE'RE RECOMMENDING AS PART OF THIS POLICY IS TO DEDICATE A SEPARATE ALLOCATION FOR EACH OF THESE CATEGORIES. SO THERE'LL ALWAYS BE FUNDING AVAILABLE FOR THOSE AFFORDABLE HOUSING UNITS THAT THE HABITAT FOR HUMANITY AND OTHER NONPROFIT PROVIDERS FUND. THE NEXT PROGRAM I'LL TALK ABOUT IS THE CENTER CITY HOUSING INCENTIVE POLICY, WHICH WAS CREATED IN 2012. THIS WAS CREATED OUT OF THE DOWNTOWN STRATEGIC FRAMEWORK PLAN THAT RECOMMENDED THE CITY ADOPT A HOUSING FIRST STRATEGY. AND WHAT THAT MEANT WAS THAT WE HAD PROVIDE INCENTIVES ON AN AS OF RIGHT BASIS TO MULTI-FAMILY HOUSING PROJECTS IN THE DOWNTOWN AREA. NOW, THIS WAS NOT A HOUSING STRATEGY, THIS WAS AN ECONOMIC DEVELOPMENT STRATEGY FOR THE CITY OF SAN ANTONIO WHERE THE THOUGHT BEING THAT HOUSING IS THE FOUNDATION FOR ANY NEIGHBORHOOD. WHEN YOU SATURATE AN AREA WITH MARKET RATE HOUSING, YOU PROVIDE MORE DISPOSABLE INCOME, WHICH HELPS FACILITATE MORE RETAIL THAT SERVES A NEIGHBORHOOD. THEN YOU'VE CREATED A NEIGHBORHOOD THAT HELPS ATTRACT A VIBRANT WORKFORCE. AND THEN FINALLY, IT ALSO HELPS CREATE THE RETAIL THAT TOURISTS LIKE. SO TOURISTS, TOURISTS LIKE TO GO WHERE THE LOCALS LIKE TO GO. AND SO IT'LL HELP US EXTEND THE STAYS FOR TOURISTS WHO COME TO SAN ANTONIO. AND SO THIS IS AN OVERALL [00:15:01] STRATEGY FOR ECONOMIC DEVELOPMENT AND IT STARTS WITH HOUSING IN OUR DOWNTOWN. NOW WE STILL HAVE CHALLENGES WITH DOWNTOWN HOUSING AND THE REASON FOR THAT, THERE ARE SEVERAL UNIQUE CHALLENGES ASSOCIATED WITH DOWNTOWN DEVELOPMENT THAT YOU DON'T SEE OUTSIDE OF DOWNTOWN. SO LAND PRICES ARE MUCH HIGHER, SOMETIMES TWO TO THREE TIMES HIGHER THAN THEY WOULD BE OUTSIDE OF THE DOWNTOWN AREA. CONSTRUCTION COSTS ARE HIGHER. YOU HAVE THE REQUIREMENT 'CAUSE YOU HAVE TO BE MORE DENSE TO BUILD PARKING GARAGES VERSUS PROVIDING SURFACE PARKING LOTS. WE HAVE HISTORIC BUILDINGS THAT NEED TO BE RESTORED OR REHABBED IF YOU'RE BUILDING IN OUR DOWNTOWN AREA THAT COSTS ADDITIONAL UM, FUNDING. AND THEN YOU ALSO HAVE OTHER REGULATIONS LIKE THE RIVER IMPROVEMENT OVERLAY DISTRICT. AND SO IF YOU'RE DEVELOPING ON THE RIVER AND YOU'RE WITHIN THE RIO, THERE ARE REQUIREMENTS THAT YOUR BUILDING MUST PROVIDE SO MUCH SUNLIGHT TO THE SAN ANTONIO RIVER THAT HAS CERTAIN DESIGN GUIDELINES AND THAT'LL INCREASE YOUR DEVELOPMENT COSTS AS WELL. WE ALSO DON'T HAVE THE RENTAL RATES THAT SUPPORT OUR DOWNTOWN LAND PRICES RIGHT NOW. AND UNTIL WE HAVE THAT, THERE'LL ALWAYS NEED TO BE A SUBSIDY FOR DOWNTOWN DEVELOPMENT. WE HAVE AGE PUBLIC INFRASTRUCTURE. YOU DON'T HAVE THAT IN OTHER AREAS IN THE CITY. AND THEN YOU HAVE IRREGULAR SHAPED PARCELS, AND I'LL SPEAK TO THAT LATER ON. ONE OF THE PROJECTS I'LL HIGHLIGHT IS A MUSEUM REACH LOFTS THAT IS ON COUNCIL'S AGENDA TOMORROW. AND THAT IS ON A TRIANGULAR SHAPED 0.6 ACRE PARCEL. AND TRYING TO DESIGN A PROJECT ON SUCH AN ODD SHAPED PARCEL CAN BE CHALLENGING AS WELL. NOW WHEN WE DEVELOP THE CENTER CITY HOUSING INCENTIVE POLICY, IT PROVIDED PROJECTS THAT WERE ELIGIBLE TO RECEIVE INCENTIVES, ACCESS TO AS OF RIGHT INCENTIVES SUCH AS A TAX REIMBURSEMENT GRANT CITY AND SASS V WAIVERS. AND THE CITY AND SAS V WAIVERS ARE ALLOCATED THROUGH THE ANNUAL BUDGET PROCESS. THE CITY PROVIDES TWO AND A HALF MILLION DOLLARS ANNUALLY THROUGH THE BUDGET PROCESS AND SAWS IS ABOUT $3 MILLION ANNUALLY. WE HAVE A LOW INTEREST LOAN OR GRANT PROGRAM THAT'S FUNDED THROUGH THE INNER CITY INCENTIVE FUND AND FOR THE PAST COUPLE YEARS IT'S BEEN ABOUT $2 MILLION ANNUALLY. BUT THAT LOAN PROGRAM HELPS FEED OUR OTHER ECONOMIC DEVELOPMENT PROJECTS IN THE DOWNTOWN AREA. AND SO THOSE ARE THE INCENTIVES THAT A DEVELOPER HAS ACCESS TO IF THEY MEET THE REQUIREMENTS OF THE CENTER CITY HOUSING INCENTIVE POLICY. NOW, THE SEED CHIP HAS BEEN VERY, VERY SUCCESSFUL SINCE ITS CREATION IN 2012. WE'VE INCENTED OVER 64 PROJECTS THAT REPRESENT $1.4 BILLION IN INVESTMENT. THE CITY HAS PROVIDED $102 MILLION IN INCENTIVES THROUGH THE CENTER CITY HOUSING INCENTIVE POLICY TO THAT $1.4 BILLION IN INVESTMENT. THAT'S FOR EVERY DOLLAR THE CITY PUTS IN A PROJECT WHERE WE GET $13 IN PRIVATE INVESTMENT BACK. NOW, OF THAT $102 MILLION, 76 MILLION OF THAT IS A TAX REBATE. AND THEN 17 MILLION OF IT IS THE SAS FEE WAIVER THAT IS FUNDED BY SAS. THERE'S ONLY ABOUT 9 MILLION OF 102 MILLION THAT IS ACTUALLY FROM THE GENERAL FUND, WHICH IS FOR THE CITY FEE WAIVERS AND THE INNER CITY INCENTIVE FUND LOANS. NOW THE C CHIP HAS ALSO HELPED US REDEVELOP CERTAIN PROPERTIES THAT NORMALLY WOULD NOT HAVE BEEN DEVELOPED THAT ARE LOOKED AT AS BEING CHALLENGED. THAT INCLUDES BROWNFIELD SITES. 11 OF THE 64 PROJECTS WERE CONSIDERED OR PROCEEDED TO BE BROWNFIELDS SEVEN WERE ON OUR VACANT BUILDING REGISTRY PROGRAM AND 13 SITES WERE VACANT PARKING LOTS. NOW, SOMETHING TO CONSIDER, 60% OF OUR DOWNTOWN AREA IS A SURFACE PARKING LOT AND IT'S VERY CHALLENGING TO CONVERT A PARKING LOT THAT IS TURNING MONEY DAILY INTO A HOUSING PROJECT. AND SO OUR INCENTIVES HELP MAKE THAT HAPPEN. NOW I MENTIONED THAT $9 MILLION OF THE $102 MILLION WAS FROM THE GENERAL FUND, WHICH IS THE CITY FEE WAIVER PROGRAM IN THE INNER CITY INCENTIVE FUND. LOAN CITY STAFF DID DO AN EXERCISE AT THE REQUEST OF COUNCILMAN PERRY THAT LOOKED AT ALL 64 PROJECTS. WE TOOK THE 64 PROJECTS AND DID A STRAIGHT WE LINE ANALYSIS, LOOKED AT WHAT THEY WOULD PRODUCE PRE-DEVELOPMENT AND WHAT THEY WOULD PRODUCE POST-DEVELOPMENT IN TERMS OF CITY TAXES AND THE OTHER TAXING ENTITIES. AND SO PRE-DEVELOPMENT, THOSE PROJECTS WERE PROVIDING $350,000 ANNUALLY TO THE CITY OF SAN ANTONIO. IF THEY ALL DEVELOPED IN YEAR ONE, THEY PRODUCED ABOUT $2.3 MILLION ANNUALLY. SO THAT $9 MILLION THAT THE CITY PROVIDES THROUGH GENERAL FUND WOULD BE PAID OFF WITHIN FIVE YEARS. NOW THE CITY OF SAN ANTONIO IS FOREGOING TAXES AND AFTER THOSE TAX REBATES BURN OFF IN YEAR 16, THAT $2.3 MILLION [00:20:01] JUMPS TO $10.1 MILLION. AND SO IT IS AN INVESTMENT WE GET QUITE A BIT BACK. UM, NOT TO. WE ALSO GET THE HOUSING, WHICH BRINGS PEOPLE TO DOWNTOWN, WHICH PROVIDES THAT DISPOSABLE INCOME, WHICH HELPS SEE CHANGE THAT RETAIL MIX THAT WE WANNA SEE. SOMETHING TO ALSO POINT OUT IS THAT YEAR ONE, AFTER ALL OF THOSE PROJECTS ARE DEVELOPED, S A I S D WILL RECEIVE $16 MILLION IN TAXES AS A RESULT OF THESE 64 HOUSING PROJECTS. AND SO EVEN THOUGH THE CITY IS FOREGOING TAXES, OUR OTHER TAXES ENTITIES CONTINUE TO DEVELOP AND CONTINUE TO RECEIVE, UM, A TAX BENEFIT, WHICH IS ABOUT $16 MILLION FOR S A I S D. NOW, WE ALSO DID AN ECONOMIC IMPACT STUDY AND WE BROUGHT IN STEVE NIVAN FROM ST. MARY'S UNIVERSITY TO DO A STUDY. AND WHAT HE SHOWED WAS THE 64 PROJECTS THAT THE CIP FACILITATED WILL ADD OVER 8,000 JOBS TO THE SAN ANTONIO MARKET. IT'LL CONTRIBUTE $1.1 BILLION TO THE G D P AND HAVE AN OVERALL ECONOMIC OUTPUT OF 2.2 BILLION. AND THEN THE SALES TAX GENERATED FROM THOSE PROJECTS IS ABOUT $3.2 MILLION. WE DID ANOTHER STUDY, WHICH WAS A PROGRAM ASSESSMENT, AND WE BROUGHT IN T X P, WHICH IS LED BY JOHN YOSS AND ASKED TO DO AN ASSESSMENT OF OUR C CHIP PROGRAM. THEY INTERVIEWED SEVERAL STAKEHOLDERS TO INCLUDE FOR-PROFIT AND NON-PROFIT DEVELOPERS. AND WHAT THEY SHOWED IS THAT THE CCHI WAS INSTRUMENTAL IN CLOSING THE GAP OF THOSE 64 PROJECTS. AND WITHOUT THE CCHI, THOSE PROJECTS WOULD MOST LIKELY NOT BE HOUSING PROJECTS. THERE IS A NEED TO CONTINUE INCENTING DEVELOPMENT IN THE DOWNTOWN AREA, BUT THE SEA CHIP ALONE CANNOT MEET OUR AFFORDABLE HOUSING NEEDS, BUT IT CAN HELP SUPPORT AFFORDABILITY. AND FINALLY, WE NEED TO SHRINK THE BOUNDARIES TO FOCUS ON MORE HOUSING IN THE DOWNTOWN AREA. NOW THE CITY OF SAN ANTONIO, WE STILL NEED DOWNTOWN HOUSING AND WE STILL NEED MARKET RATE HOUSING. THIS IS PART OF OUR OVERALL ECONOMIC DEVELOPMENT STRATEGY FOR THE CITY. SO A GREAT EXAMPLE OF THIS WOULD BE U SS A A. ABOUT A YEAR AGO, CITY COUNCIL DID APPROVE A DEVELOPMENT AGREEMENT THAT HELPED BRING OVER 2000 JOBS TO DOWNTOWN SAN ANTONIO OVER THE NEXT FIVE YEARS. NOW THAT WAS APPROVED BY COUNCIL IN 2017. BUT IN 2015 U SS A PURCHASED ONE WALK PLAZA. AT THAT TIME, THEY DID A SURVEY OF THEIR 17,000 EMPLOYEES AND ASKED THOSE EMPLOYEES WHO'S INTERESTED IN COMING DOWNTOWN. OF THOSE 17,000 EMPLOYEES, OVER 4,000 SAID THEY'D BE INTERESTED IN COMING DOWNTOWN. SO IN 2017, THEY PURCHASED A BANK OF AMERICA BUILDING AND THEY'LL BE MOVING 2000 EMPLOYEES TO OUR DOWNTOWN AREA. WHAT WE'VE HEARD FROM THE ECONOMIC DEVELOPMENT FOUNDATION AND ECONOMIC DEVELOPMENT DEPARTMENT AND OUR OTHER PARTNERS ARE THAT EMPLOYERS LIKE TO LOCATE WHERE THEIR EMPLOYEES LIKE TO LIVE. AND SO TO CONTINUE THE REDEVELOPMENT AND TO CONTINUE TO BE ECONOMICALLY COMPETITIVE, WE NEED TO HAVE MARKET RATE HOUSING IN OUR DOWNTOWN AREA. THIS WAS EVIDENT IN THE U SS A A ANNOUNCEMENT. WE HAVE PRICEWATER COOPER HOUSE THAT'LL BE GOING INTO THE BURNS BUILDING. WE HAVE JEFFERSON BANK WHO JUST ANNOUNCED MOVING THEIR HEADQUARTERS TO THE AREA NEAR PEARL. WE HAVE WEWORK THAT'LL BE GOING INTO SOME DEVELOPMENTS ALONG HOUSTON STREET AND CREDIT HUMAN AND OTHERS THAT'LL BE COMING DOWNTOWN. THEY'RE COMING DOWNTOWN 'CAUSE THEIR EMPLOYERS WANT, THEIR EMPLOYEES WANT TO BE DOWNTOWN. AND THAT'S IMPORTANT THAT WE CONTINUE TO PROVIDE MARKET RATE HOUSING TO BE ABLE TO CONTINUE TO BE A CHOICE FOR MILLENNIALS AND THE WORKFORCE TO COME TO SAN ANTONIO. AND AS I MENTIONED, THE EMPLOYERS WILL GO WHERE THEIR EMPLOYEES WANT TO LIVE. NOW, WE'RE PROPOSING FOR THE CCHI P TO EXTEND THE PROGRAM FOR TWO YEARS. AND THE TWO YEARS ARE NECESSARY FOR US TO BE ABLE TO ANALYZE THE PROJECTS THAT HAVE COME ONLINE. SO SINCE 2012, WE'VE REALLY ONLY HAD ONE CCHI P PROJECT COME ONLINE IN THE CENTRAL BUSINESS DISTRICT. AND THAT WOULD BE THE AGAVE PROJECT ON ST. MARY'S AND CAESAR CHAVEZ. WE HAVE SEVERAL THAT ARE UNDER CONSTRUCTION, BUT UNTIL THEY OPEN AND WE CAN SEE THE RENTS AND WE CAN SEE THE OCCUPANCY LEVELS, IT'S HARD FOR US TO ANALYZE THE PROGRAM. WE'RE RECOMMENDING THAT WE EXTEND THE PROGRAM FOR TWO MORE YEARS TO HELP US COLLECT MORE DATA AND THEN WE WILL DO ANOTHER EVALUATION AND MAKE A RECOMMENDATION TO CITY COUNCIL. WE'LL REEVALUATE THE MARKET AND THE INCENTIVES AT THAT TIME, MUCH LIKE WE'RE DOING TODAY. BUT THAT ALSO GETS US TO 2020, WHICH IS OUR GOAL, TO GET TO 7,500 HOUSING UNITS BY 2020 WITH A STRETCH GOAL OF [00:25:01] 10,000. THIS WILL ALSO HELP US ALIGN WITH OTHER CITY POLICIES AND PRIORITIES SUCH AS THE ESSAY TOMORROW PLAN THE MAYOR'S HOUSING TASK FORCE, AND ALLOW US TO FOCUS ON DENSITY AND AFFORDABILITY. NOW, THE PROPOSED BOUNDARY, WE ARE RECOMMENDING THAT WE DECREASE THE BOUNDARY. SO RIGHT NOW THE DOWNTOWN AREA IS 5.6 SQUARE MILES. SOMETHING WE HEARD IN OUR NEIGHBORHOOD MEETINGS AND THE COMMUNITY MEETINGS WERE THAT THERE WAS A LOT OF CONCERN FROM THE NEIGHBORHOODS THAT THE SEA CHIP WAS PROMOTING REDEVELOPMENT AND ENCROACHING ON THEIR NEIGHBORHOOD. SO WHAT WE'VE DONE IS WE REMOVED THE AREAS THAT ARE ZONED LOW TO MEDIUM RESIDENTIAL IN THAT AREA. SO WE REMOVED THE NEIGHBORHOODS FROM THE ZONE, SO IT DECREASED FROM 5.4 SQUARE MILES TO 2.6 SQUARE MILES. AND THAT'LL BE THE BOUNDARY THAT WE'RE PROPOSING FOR ANY NEW CCHI PROJECTS MOVING FORWARD. WE'VE ALSO CREATED A TIERED SYSTEM THAT LOOKS AT THE MARKET RATE SUPPLY, THE RENTAL RATE ATTAINMENT, AND LAND PRICES TO HELP US DEVELOP THE LEVEL OF INCENTIVES FOR EACH TIER. NOW TO BE ELIGIBLE FOR TIER ONE, WE DO HAVE A DENSITY REQUIREMENT, AND YOU MUST BE 50 UNITS PER ACRE OR 18 UNITS PER ACRE FOR AN ADAPTIVE REUSE PROJECT. THE FOR SALE PRODUCT IS ELIGIBLE FOR UNITS THAT DO NOT EXCEED A SALES PRICE OF 350,000. WE WANT TO HELP FACILITATE FOR SALE PRODUCT IN OUR DOWNTOWN, BUT WE DON'T WANT TO HELP INCENT THE LUXURY PRODUCT. AND SO THIS ELIMINATES THE EXAMPLE WE HAD WITH THE ARTIST RESIDENCE OR THE FLOODGATE. WE'VE ALSO PUT A CAP ON THE LEVEL OF INCENTIVE AS A MULTI-FAMILY HOUSING PROJECT COULD RECEIVE OF 350,000 PER UNIT TO HELP US NOT INCENT THAT LUXURY PRODUCT AGAIN. SO IF YOU ARE A PROJECT AND YOUR TOTAL COST IS 350,000 PER UNIT, YOUR INCENTIVE WILL BE CAPPED AT THAT $350,000. FOR TIER TWO, THE DENSITY REQUIREMENT IS 33 UNITS PER ACRE FOR RENTAL AND 25 UNITS PER ACRE FOR SALE. AND THEN THE ADAPTIVE REUSE OF 18 UNITS PER ACRE STILL APPLIES. THE FOR SALE PRODUCT REQUIREMENT CANNOT BE ABOVE $300,000, AND THAT'S ADJUSTED FOR THE LAND PRICES. AND THEN THE MULTIFAMILY IS ELIGIBLE FOR A TAX REBATE, BUT THAT'S ALSO CAPPED AT $300,000. SO THE PROGRAM CHANGES FROM 2016 TO 2018 OR AS FOLLOWED, YOU MUST STAY IN THE BOUNDARY. HOWEVER, WE'VE ADJUSTED THE BOUNDARY TO ONLY ALLOW FOR DEVELOPMENT IN AREAS THAT ARE ZONED APPROPRIATELY. ALL PROJECTS ARE STILL SUBJECT TO DESIGN REVIEW. THAT WAS A CHANGE WE MADE IN 2016. UM, PROJECTS REQUIRING REZONING FROM SINGLE FAMILY RESIDENTIAL ARE NOT ELIGIBLE. THAT WAS SOMETHING THAT WE CHANGED IN 2016 AND THROUGH OUR NEIGHBORHOOD MEETINGS WE HEARD A LOT OF SUPPORT TO CONTINUE THAT. HOWEVER, WE DO HAVE A CAVEAT ON THAT. IF YOU ARE REZONED DURING THE SA TOMORROW REGIONAL CENTER PLANS FOR MIDTOWN OR DOWNTOWN OR LONE STAR FROM SINGLE FAMILY TO A HIGHER DENSITY, YOU WOULD BE ELIGIBLE BECAUSE YOU WENT THROUGH A A COMMUNITY PLANNING PROCESS. AND THEN THE DENSITY REQUIREMENTS ARE WHAT I MENTIONED EARLIER. SO WE HAVE MORE DENSITY IN THE DOWNTOWN AREA, WHICH IS IN LINE WITH THE SA TOMORROW PLAN. ADDITIONAL CHANGES WE'RE MAKING, YOU ARE NOT ELIGIBLE FOR A SHORT, SHORT TERM PERMIT FOR A TYPE TWO DEVELOPMENT AGREEMENTS WILL BE PUBLICLY POSTED AS THEY ARE EXECUTED AND PROJECTS INCLUDING A HOTEL COMPONENT ARE NOT ELIGIBLE. NOW THE PROPOSED INCENTIVES, YOU WILL BE ELIGIBLE FOR CITY FEE WAIVERS. UM, REGARDLESS OF WHICH TIER YOU'RE IN, THE SAWS FEE WAIVERS, THE MAXIMUM AMOUNT OF SAWS WILL GO TO PROJECTS WITHIN THE CENTRAL BUSINESS DISTRICT. AND THEN THE TAX REIMBURSEMENT GRANT FOR BOTH AREAS IS CAPPED AT 75%. HOWEVER, IF YOU'RE WITHIN TIER ONE, IT'S A 15 YEAR REBATE. AND TIER TWO, IT'S A 10 YEAR REBATE. WE ARE NO LONGER GOING FORWARD OR RECOMMENDING A LOAN OR GRANT OR A MIXED USE FORGIVABLE LOAN. HOWEVER, WE ARE RECOMMENDING AN INFRASTRUCTURE GRANT FOR PROJECTS THAT HAVE AFFORDABILITY IN THE DOWNTOWN CORE. AND SO FOR A TIER ONE PROJECT OR A CENTRAL BUSINESS DISTRICT PROJECT, YOU WOULD BE ELIGIBLE FOR A WAIVER OF CITY FEES. HOWEVER, FOR TIER TWO, IN ORDER FOR YOU TO GET THE WAIVER OF CITY FEES, YOU MUST EITHER HAVE 20% OF YOUR PRODUCT AND AN AFFORDABLE RATE OF WHICH 10% AT 60 AND 10% AT 80, OR YOU MUST BE ABOVE FIVE STORIES, WHICH CHANGES THE CONSTRUCTION MATERIALS TO STEEL AND CONCRETE. FOR TIER ONE, YOU [00:30:01] HAVE A HUNDRED PERCENT WAIVER OF YOUR SAS FEES, BUT IT'S CAPPED AT A MILLION. AND THEN FOR TIER TWO, YOU'RE CAPPED AT $500,000, BUT YOU STILL HAVE TO BE 20% AFFORDABLE OR ABOVE FIVE STORIES. SO WE ARE NO LONGER INCENTING FOUR STORY STICK-BUILT MARKET RATE PROJECTS. WE HAVE ENOUGH OF THOSE IN THE TIER TWO AREA, SO WE'RE TRYING TO INCENT DENSITY OR AFFORDABILITY. IN TIER TWO, THE TAX REIMBURSEMENT GRANT FOR TIER ONE, IT'S CAPPED AT 75% AND IT'S FOR 15 YEARS. FOR TIER TWO, IT'S 10 YEARS, IT'S 75%. AND THEN THE INFRASTRUCTURE GRANT IS ONLY AVAILABLE FOR TIER ONE, PROVIDED YOU INCORPORATE AN AFFORDABLE COMPONENT IN YOUR PROJECT. NOW, I WANNA STRESS THAT THIS IS FOR THE AS OF RIGHT CENTER CITY HOUSING INCENTIVE POLICY. IF THERE ARE PROJECTS THAT REQUIRE ADDITIONAL SUBSIDIES AND THE CCHI P CANNOT MAKE THAT, AND AFTER STAFF IS REVIEWED, WE MAY TAKE A RECOMMENDATION TO COUNCIL FOR ADDITIONAL SUBSIDY, BUT THAT WOULD REQUIRE CITY COUNCIL APPROVAL. THIS ONLY APPLIES TO THE AS OF RIGHT CENTER CITY HOUSING INCENTIVE POLICY. NOW THIS DOES PROVIDE FOR NEIGHBORHOOD PRESERVATION IN OUR DOWNTOWN NEIGHBORHOODS. WE'VE REDUCED THE PROGRAM BOUNDARIES. WE'VE ALIGNED IT WITH A SA TOMORROW LAND USE PLAN PROJECTS REQUIRING REZONING FROM SINGLE FAMILY RESIDENTIAL OR NOT ELIGIBLE. AND ALL PROJECTS MUST GO THROUGH THE DESIGN REVIEW PROCESS. AND PROJECTS ARE INELIGIBLE FOR A TYPE TWO PERMIT. WE DO HAVE AN AFFORDABILITY COMPONENT. UM, THIS APPLIES TO TIER ONE. IF YOU ARE TO RECEIVE AN INFRASTRUCTURE GRANT, TIER TWO, YOU MUST HAVE 10% OF YOUR UNITS AT 80% OR 10% OF YOUR UNITS AT 60% TO BE ABLE TO MEET THAT TIER TWO REQUIREMENT OF AFFORDABILITY. OR YOU CAN BE MARKET RATE, BUT YOU MUST GO ABOVE FIVE STORIES. HOWEVER, ALL SEA CHIP PROJECTS, REGARDLESS OF THEM BEING AFFORDABLE OR MARKET RATE, WILL CONTRIBUTE 25% OF THEIR TAX INCREMENT INTO AN AFFORDABLE HOUSING FUND THAT WILL HELP SUPPORT PROJECTS AT 80%. I MEAN 60% OF THE A M I OR BELOW. NOW I DID A SLIDE HERE THAT REALLY SHOWS WHY AFFORDABLE HOUSING CAN BE SO CHALLENGING IN OUR DOWNTOWN AREA. IT'S CHALLENGING CITYWIDE, BUT THIS SHOWS YOU THE ORDER OF MAGNITUDE OF SUBSIDY WE WOULD HAVE TO INSERT IF WE WERE TO MAKE AFFORDABLE HOUSING A REQUIREMENT IN OUR DOWNTOWN AREA. SO FOR A CENTRAL BUSINESS DISTRICT PROPERTY WITH 275 UNITS TO BE ABLE TO GET 10% AT THE 80% A M I AND 10% AT THE 60% A M I WE NEED, WE WOULD NEED 4 MILLION TO $10 MILLION IN SUBSIDY TO BE ABLE TO GET A RETURN FOR A DEVELOPER. AND TYPICALLY THEY WANT TO GET A 7% RETURN. IF YOU, IF YOU INCREASE THAT TO 20% AT 60%, THAT GAP CAN GO FROM 5.2 TO $13 MILLION BECAUSE THIS REQUIRING THAT AFFORDABILITY DECREASES THEIR NET OPERATING INCOME, WHICH IMPACTS THE RETURN ON COST. TIER TWO THE SAME WE'RE SE WE'RE SEEING IN TIER ONE PROJECTS, DEPENDING ON THE LOCATION, I'M SORRY, FOR TIER TWO PROJECTS, IT CAN BE ANYWHERE FROM ZERO TO 10 MILLION FOR 10% AT 80 AND 10% AT 60, AND 1.1 TO 15 MILLION FOR 20% OF YOUR PRODUCT AT 60% A M I. UM, THIS IS BECAUSE THE LAND VALUES ARE SO MUCH HIGHER IN THE DOWNTOWN AREA, THE RENTAL RATES, WE, WE DO NOT SUPPORT THE LAND VALUES. AND SO WE'RE, FOR A MARKET RATE PROJECT, YOU'RE REALLY ONLY GETTING ABOUT $2 A FOOT ON AVERAGE DEPENDING ON THE UNIT SIZE THAT GOES DOWN OR UP. AND THEN YOU HAVE OTHER COSTS THAT PLAY INTO MAKING THE PROJECTS MORE EXPENSIVE THAT I MENTIONED EARLIER, SUCH AS THE THE PARCEL SHAPE, THE OTHER REGULATIONS, UM, THE NEED TO BUILD A STRUCTURED PARKING GARAGE. AND SO IT IS VERY HARD FOR A DEVELOPER TO DO A PROJECT WITHOUT A SUBSIDY JUST IN GENERAL. AND THEN IT'S MORE CHALLENGING TO DO ONE IF YOU MAKE AFFORDABILITY A REQUIREMENT. NOW, I MENTIONED THAT WE WANT TO CREATE AN AFFORDABLE HOUSING FUND THAT WOULD BE USING THOSE PROJECTS THAT USE A CENTER CITY HOUSING INCENTIVE POLICIES INCREMENT. SO WE ANTICIPATE THAT OVER THE NEXT TWO TO THREE YEARS, WE COULD GET 3,200 HOUSING UNITS THROUGH THE CENTER CITY HOUSING INCENTIVE POLICY. IF THOSE WERE TO COME TO FRUITION, THEY COULD PRODUCE ABOUT $650,000 ONCE THEY'RE ALL CONSTRUCTED, WHICH [00:35:01] COULD BE IN YEAR TWO OR THREE. AND THAT COULD SUPPORT ABOUT 20 HOUSING UNITS AT THE AREA MEDIAN INCOME OF 60 OR BELOW. NOW THAT FOR THE MAYOR'S HOUSING TASK FORCE REPORT, THEY SAID THAT $37,500 WAS THE GAP NEEDED TO SUPPORT A HOUSING PROJECT OUTSIDE OF THE DOWNTOWN AREA AT 60% A M I OR BELOW. SO THAT'S ABOUT 20 UNITS. IF YOU WERE TO PUT THOSE UNITS IN THE DOWNTOWN AREA, IT COULD PROBABLY SUPPORT EIGHT TO 10 HOUSING UNITS IN DOWNTOWN. AND SO WE HAVE MADE A REQUIREMENT THAT THE AFFORDABLE HOUSING FUND COULD BE USED CITYWIDE. IT DOESN'T HAVE TO BE LIMITED TO THE DOWNTOWN AREA. AND THIS FUND WILL BE MANAGED BY THE HOUSING AND NEIGHBORHOOD SERVICES DEPARTMENT. NOW, THE CENTER CITY HOUSING INCENTIVE POLICY, AS THE T X P REPORT MENTIONED, IT CAN BE A GREAT TOOL TO HELP LEVERAGE AFFORDABLE HOUSING OPPORTUNITIES, BUT ALONE IT DOES NOT, UM, SERVE AS A TOOL TO CREATE AFFORDABLE HOUSING UNITS. THERE ARE OTHER TOOLS THAT THE CITY AND THE STATE USE AND HAVE ACCESS TO THAT WE ARE RECOMMENDING BE USED IN CONJUNCTION WITH THE CENTER CITY HOUSING INCENTIVE POLICY. THE MOST VALUABLE TOOL IS THE LOW-INCOME HOUSING TAX CREDIT PROGRAM. THE 4% OR 9%, THE 9% IS THE COMPETITIVE PROGRAM. AND WE'RE RECOMMENDING THAT ANY PROJECT GOING THROUGH THE LOW-INCOME HOUSING TAX CREDIT PRO PROGRAM BE ELIGIBLE FOR THE FEE WAIVERS AND INCENTIVES IDENTIFIED IN THIS POLICY, PROVIDED THEY'RE WITHIN THE BOUNDARY. THE OTHER TOOL WE HAVE IS A SAN ANTONIO PUBLIC FACILITIES CORPORATION, UM, THAT IS A BOARD OF FIVE COUNCIL MEMBERS. UM, THE PUBLIC FACILITIES CORPORATION PROVIDES A COMPLETE TAX EXEMPTION PROVIDED THAT 50% OF THEIR UNITS ARE PRICED AT 80% OR ARE MADE AVAILABLE TO INDIVIDUALS MAKING 80% A M I OR BELOW. WE'RE RECOMMENDING THAT THE CCHI P INCENTIVES BE ELIGIBLE AND MADE AVAILABLE TO P F C PROJECTS PROVIDED THE P F C BOARD RECOMMEND THAT THE THE PROJECT STILL NEEDS THESE INCENTIVES. AND THEN THE OTHER INCENTIVE TOOL THAT THE CITY HAS IS PUBLIC ASSETS. AND SO THE CITY OF SAN ANTONIO DOES CONTROL LAND. THIS IS A RECOMMENDATION FOR US TO DISPOSE OF LAND AND USE THAT TO HELP US LEVERAGE MORE AFFORDABLE HOUSING. ONE OF THE PROJECTS I WANTED TO HIGHLIGHT I MENTIONED EARLIER IS THE MUSEUM REACH LOFTS. THIS IS A PROJECT THAT'S BEING DONE BY ALAMO GROUP. IT'S A $17.5 MILLION HOUSING PROJECT. IT HAS 94 APARTMENTS. IT HAS A LOT OF AFFORDABILITY OF WHICH NINE UNITS WILL BE AVAILABLE TO INDIVIDUALS AT 30% A M I LEVEL OR BELOW 35 UNITS ARE AT THE 50% A M I OR BELOW 42 UNITS, OR AT THE 60% A M I OR BELOW. AND THEN THEY HAVE EIGHT UNITS AT THE MARKET RATE LEVEL. NOW THIS PROJECT IS VERY CHALLENGING. AS I MENTIONED EARLIER, IT'S ON 0.6 ACRES. IT'S A TRIANGLE SLIVER ON THE CORNER OF JONES AND ST. MARY'S. AND FOR THIS PROJECT TO WORK, THE CITY HAD TO LEVERAGE AND LAYER ON SEVERAL INCENTIVES. SO THIS PROJECT IS RECEIVING $160,000 PER AFFORDABLE UNIT IN A SUBSIDY. 7,700 OF THAT IS COMING FROM THE CIP. THE INNER CITY INCENTIVE FUND WILL PROVIDE 6,500 PER UNIT. THE MIDTOWN TOURS IS PROVIDING 33,000 PER UNIT, BUT THE 9% HOUSING TAX CREDIT, WHICH IS A COMPETITIVE TAX CREDIT AVAILABLE TO THE STATE, IS PROVIDING $111,000 PER UNIT TO THAT PROJECT. BUT THAT IS NECESSARY TO BE ABLE TO GET THE LEVEL OF AFFORDABILITY THAT THEY HAVE EMBEDDED IN THIS PROJECT. I MENTIONED OTHER TOOLS THAT WE COULD USE COULD INCLUDE DISPOSING OF CITY OWNED PROPERTY. THE CITY OF SAN ANTONIO HAS THE CHERRY STREET PROPERTY THAT'S CURRENTLY OUR SIGN SHOP. WE'LL BE RELOCATING, UM, WITHIN THE NEXT COUPLE OF MONTHS TO ANOTHER SERVICE CENTER. THIS PROPERTY IS WITHIN ONE OF THE NEIGHBORHOOD IMPROVEMENT BOND AREAS THAT WERE APPROVED BY THE VOTERS IN 2017. AND IT'S ALSO WITHIN THE INNER CITY TOUR. THE CITY OF SAN ANTONIO COULD ISSUE AN R F P REQUESTING THAT DEVELOP OR SUBMIT PROPOSALS FOR A HOUSING PROJECT ON THIS SITE. AND WE COULD PRESCRIBE THE TYPES OF AFFORDABILITY WE NEED. SO WE KNOW IN THE MAYOR'S HOUSING TASK FORCE, THE GREATEST NEED FOR RENTAL IS AT THAT 60% A M I OR BELOW. SO WE COULD PRESCRIBE THAT MAJORITY OF THOSE UNITS, BE IT THAT 60% A M I OR BELOW. AND THE WAY WE WOULD DO THAT IS WE WOULD LAYER THE CCHI AS WELL AS [00:40:01] THE LAND VALUE IN THAT PROJECT TO MAKE IT HAPPEN. THIS IS ON THE NEAR EAST SIDE AND IT'S WITHIN THE INNER CITY TOURS. THE NEXT PROPERTY IS THE NEW WAVE MARINA. THIS IS A PROJECT DIRECTLY ACROSS FROM THE BEXAR COUNTY COURTHOUSE. THE CITY OF SAN ANTONIO'S BARGES THAT WE USE FOR THE RIVER, UM, ARE STORED HERE. AND WE KNOW THAT WE CAN DEMO THE OFFICE BUILDING ON TOP AND GO UP FOUR STORIES ON TOP OF THE MARINA. THIS WOULD BE A GREAT OPPORTUNITY TO DEVELOP A PROJECT SIMILAR TO THE MUSEUM REACH LOFTS, WHICH IS ON THE SAME SIZE. THIS IS 0.75 ACRES A LITTLE BIT LARGER, BUT TO INSERT AFFORDABILITY IN THE CENTRAL BUSINESS DISTRICT. NOW, I DO WANT TO MENTION THAT THE CITY OF SAN ANTONIO'S HOUSING INCENTIVE POLICY WILL LEVERAGE AFFORDABLE HOUSING OPPORTUNITIES IN OUR DOWNTOWN. SO THIS IS A SLIDE THAT SHOWS YOU ALL OF THE HOUSING PROJECTS THAT HAVE NOT COME ONLINE, BUT HAVE EITHER STARTED CONSTRUCTION OR WILL BE COMING, UM, STARTING CONSTRUCTION IN THE NEXT YEAR OR SO. AND THIS ALSO INCLUDES THE NUEVA STREET AND THE CHERRY STREET PROPERTIES, ASSUMING CERTAIN, UM, HOUSING UNITS BASED ON THE DENSITY WE COULD GET ON THAT SITE. BUT WE KNOW THAT THE SEED CHIP WHEN PARTNER WITH THESE OTHER INCENTIVES, THEY'LL PRODUCE ABOUT 3000 HOUSING UNITS, OF WHICH MOST OF THOSE WILL BE AT THE 80% A M I LEVEL OR BELOW. NOW, IF WE LOOK AT THAT AND COMPARE IT TO WHAT THE MAYOR'S HOUSING TASK FORCE REPORT RECOMMENDED, IT RECOMMENDED THAT OVER 10 YEARS WE PROVIDE 9,500 NEW HOUSING UNITS IN THE RENTAL, UM, IN RENTAL PRODUCT THAT MEET THE 30 TO 60% A M I LEVEL. BASED ON THE SLIDE I JUST SHOWED YOU, WE'D BE ABLE TO PROVIDE 14% OF THAT GOAL. SO THE CITY OF SAN ANTONIO IS ABOUT 460 SQUARE MILES. DOWNTOWN IS 2.6 SQUARE MILES. AND SO WE THINK 14%, BUT 14% OF THE DOWNTOWN AREA CAN HELP SUPPORT THAT GOAL. THE 60 TO 80% WOULD BE ABLE TO PROVIDE 83% OF THAT GOAL. AND FOR THE LESS THAN 30, THAT'S WHERE WE NEED TO WORK. AND THAT'S THE 30% OR BELOW A M I LEVEL. AND SO THE C CHIP WHEN PARTNERED WITH THE PFCS AND THE LOW INCOME HOUSING TAX CREDITS, THEY DO HELP LEVERAGE AFFORDABILITY IN THE DOWNTOWN AREA. UH, BEFORE I CONCLUDE, I WANTED TO MENTION THAT, UM, EARLY ON IN OUR DISCUSSIONS WITH THE NONPROFITS AND THE STAKEHOLDERS, THEY EXPRESSED A CONCERN ABOUT THE C CHIP EATING UP A LOT OF THE INCENTIVES FOR THE FEE WAIVER PROGRAM. AND SO WHAT WE'VE DONE, AS MENTIONED EARLIER, IS CREATED ALLOCATED BUCKETS OF FUNDING TO WHERE THOSE WILL ALWAYS BE PROTECTED. AND THERE WILL ALWAYS BE FEES, FEE WAIVERS AVAILABLE FOR CERTAIN CATEGORIES OF PROJECT. AND SO WHAT WOULD HAPPEN LAST YEAR IS YOU'D HAVE A CCHI PROJECT THAT COULD POTENTIALLY EAT UP ALL THE SAWS FEE WAIVERS. AND NOW WE'RE SAYING THAT NO MORE THAN $1.5 MILLION OF THE OVERALL ALLOCATION CAN BE USED FOR A PROJECT THAT'S RECEIVING INCENTIVES FOR THE CIP. THE REST OF THAT ALLOCATION HAS TO BE PROVIDED OR PRESERVED FOR ECONOMIC DEVELOPMENT AND AFFORDABLE HOUSING OR, UM, REHAB HOUSING. THIS IS IN LINE WITH THE SA TOMORROW PLAN. UM, THE INCENTIVES ARE ALIGNED WITH THE FUTURE LAND USE. IT DOES FOCUS ON DENSITY. IT PROVIDES FUTURE OPPORTUNITIES. WITH THE AFFORDABLE HOUSING FUND CREATION, WE'VE, WE'VE ELIMINATED THE ABILITY TO DEVELOP ON THE RECHARGE ZONE AND THE ECONOMIC DEVELOPMENT INCENTIVES ARE ALIGNED WITH OUR PLANNING EFFORTS. IT'S ALSO IN LINE WITH THE MAYOR'S HOUSING POLICY TASK FORCE. IT PROVIDES A DEDICATED REVENUE SOURCE OF FUNDS TO INCENT AFFORDABLE HOUSING. IT UTILIZES THE HUD AREA MEDIAN INCOME GUIDELINES. IT PRIORITIZES CITY INCENTIVES FOR RENTAL AFFORDABILITY AND FOR SALE AFFORDABILITY. AND THE RENTS CHARGE FOR AFFORDABLE UNITS ARE RESTRICTED TO APPROXIMATELY 30% OF A HOUSEHOLD'S INCOME. AND THIS WILL INCREASE THE PRODUCTION OF AFFORDABLE HOUSING IN THE CITY OF SAN ANTONIO. WE ARE RECOMMENDING THAT THIS MOVE FORWARD TO CITY COUNCIL ON DECEMBER 6TH. AND THAT DOES CONCLUDE MY PRESENTATION AND I'M AVAILABLE TO ANSWER ANY QUESTIONS. GREAT. THANK YOU VERY MUCH, LORI, FOR, UH, THE PRESENTATION AND THE HARD WORK ON THIS. UM, AS EVERYONE IS PRETTY WELL AWARE, THIS WAS SCHEDULED TO GO TO COUNCIL I THINK A FEW WEEKS AGO, BUT WE PULLED IT BECAUSE THERE WERE A NUMBER OF QUESTIONS, UH, THAT HAVE BEEN RISING UP. SO I DO HAVE SOME QUESTIONS AS WELL. UM, LORI, DON'T GO ANYWHERE PLEASE. UM, YOU KNOW, THE, THE WORK OF THE MAYOR'S HOUSING [00:45:01] POLICY TASK FORCE HAS KIND OF RECALIBRATED OUR THINKING ON HOUSING IN A LOT OF WAYS WITH REGARD TO THE POLICIES. AND I THINK THAT EVERYONE UNDERSTOOD THAT WE NEEDED TO THROTTLE THE CCHI, UH, OR FOR SOME TIME. SO IT'S GOOD THAT WE'RE, WE'RE HAVING THIS DISCUSSION NOW, BUT THE, THE REASON FOR PULLING IT DOWN A FEW WEEKS AGO IS IT FELT LIKE THERE WAS A LOT MORE QUESTIONS THAT WERE BEING RAISED IN THE FINAL, UH, ASSESSMENT THAN WE HAD ANTICIPATED. AND I'M, I'M WONDERING NOW BASED ON THAT, UH, WHAT KIND OF INPUT WENT INTO THIS, WHAT KIND OF PUBLIC PROCESS IN TERMS OF THE STAKEHOLDERS THAT WERE INVOLVED, UH, AND WHAT DID THAT INPUT AMOUNT TO IN TERMS OF CHANGES THAT WERE MADE TO THE POLICY? SO, UH, WE DID THREE STUDIES. WE LOOKED AT A TAX ANALYSIS. WE DID, UM, THE ASSESSMENT THAT WAS DONE BY A THIRD PARTY T X P, AND WE ALSO HAD STEVE NIVAN DO THE ECONOMIC IMPACT STUDY. WE PARTICIPATED, WE MEANING THE CENTER CITY DEVELOPMENT OPERATIONS DEPARTMENT PARTICIPATED IN THE SA TOMORROW REGIONAL CENTER'S PLANS FOR MIDTOWN FOR THE DOWNTOWN AREA AND FOR LONE STAR. AND THEN WE ALSO WERE IN ATTENDANCE AT THE MAYOR'S HOUSING TASK FORCE REPORT, PUBLIC MEETINGS. WE LISTENED AT THOSE MEETINGS. BUT THEN IN ADDITION TO THAT, WE HAD SEVERAL STAKEHOLDER MEETINGS WITH FOR-PROFIT PROVIDERS AND THE NONPROFIT PROVIDERS. THROUGHOUT THE PAST SIX MONTHS, WE'VE ALSO HAD INDIVIDUAL STAKEHOLDER MEETINGS WITH EACH OF THE NONPROFIT PROVIDERS TO MAKE SURE THAT WE WERE DEFINING AFFORDABLE HOUSING AND THAT THIS POLICY COULD WORK FOR THEM. AND THEN WE MET WITH ALL THE TIER ONE NEIGHBORHOOD ASSOCIATIONS. WE MET WITH THE PRESIDENTS OF EACH OF THOSE GROUPS AND THEN WENT OUT TO THOSE NEIGHBORHOOD ASSOCIATION MEETINGS AND ALSO PRESENTED. SO WHAT WE HEARD IN THAT PUBLIC INPUT WAS PEOPLE WERE CONCERNED THAT BOTH THE ICRP AND THE CCHI P PROMOTED DEVELOPMENT IN THEIR NEIGHBORHOODS. THEY DID NOT LIKE TO SEE THEIR SINGLE FAMILY HOUSING NEIGHBORHOODS REDEVELOPED INTO MULTI-FAMILY. SOME FELT THAT THE ICRP, UM, PROVIDED OPPORTUNITIES FOR A DEVELOPER TO GO IN PURCHASE TWO OR THREE SINGLE FAMILY HOMES AND THEN REDEVELOP THOSE INTO MULTI-FAMILY OR BUSINESSES. AND SO WHAT WE HEARD WAS PEOPLE WANT TO, THEY, THEY WANT MORE PROTECTION OF THEIR NEIGHBORHOODS. AND SO THAT'S WHY IN THE ICRP WE'RE GOING TO AFFORDABLE HOUSING, HISTORIC PRESERVATION, THE REHAB AND THE LEGACY BUSINESS AND SMALL BUSINESS FOR THE C CHIP. WE HEARD CONCERNS FROM THE NEIGHBORHOODS. SAME THINGS THAT PROVIDING AN OPPORTUNITY FOR A DEVELOPER TO COME IN, KNOCK DOWN HOMES AND BUILD A MULTI-FAMILY HOUSING PROJECT, AND THE CITY INCENTED THAT, THAT STILL CAN HAPPEN, BUT THE CENTER CITY HOUSING INCENTIVE POLICY WILL NOT HELP SUBSIDIZE THAT PROJECT. ANOTHER THING WE LEARNED, WHAT WE, WE LEARNED QUICKLY ABOUT THE SHORT-TERM RENTAL PROGRAM. WE HEARD A LOT OF DISCUSSION ABOUT, UM, NEIGHBORS PROVIDING SHORT-TERM RENTALS IN THEIR HOMES IF THEIR OWNER OCCUPIED, AND HOW THAT HELPED THEM MAKE ENDS MEET. THAT WAS SOMETHING THAT WE LEARNED AS WELL. WE ALSO LEARNED QUITE A BIT ABOUT THE NEED FOR, UM, AFFORDABLE HOUSING. AND WE'VE BEEN ABLE TO ACCOMMODATE THAT THROUGH THE AFFORDABLE HOUSING FUND AS WELL AS BEING ABLE TO PROVIDE CERTAIN REQUIREMENTS FOR CERTAIN PROJECT TYPES. UM, WE ALSO ALSO HEARD THE NEED TO CONTINUE THE DESIGN REVIEW. UM, THERE WERE SOME NEIGHBORHOODS DIDN'T EVEN KNOW THAT EXISTED. SO, UM, WE MAY, WE HAD AN OPPORTUNITY TO REALLY DO MORE OUTREACH TO MAKE SURE THAT THE NEIGHBORHOODS KNEW THAT EVERY C CHIP PROJECT HAD TO GO THROUGH A DESIGN REVIEW. AND THEN WE WERE ABLE TO WORK CLOSELY WITH THE AFFORDABLE HOUSING PROVIDERS TO MAKE SURE THAT WE WEREN'T PROHIBITING THEM FROM DOING THEIR JOB. SO, FOR EXAMPLE, HABITAT FOR HUMANITY, INITIALLY WE WERE, WE WERE PROPOSING TO CAP THE INCENTIVE TO A HUNDRED PERCENT A M I FOR THE FOR SALE PRODUCT. WELL HABITAT, UM, KNOWS THERE WAS A NEED AND THEY'RE IN CREATING A NEW PRODUCT THAT MEETS AT 120% A M I. SO WE WORKED CLOSELY WITH THEM AND THAT DID REFLECT THE RECOMMENDATIONS IN THE MAYOR'S HOUSING TASK FORCE TASK FORCE REPORT. SO WE, WE DID LISTEN. UM, WE ALSO CLARIFIED, I THINK THAT WHEN PEOPLE HEARD US SAY WE'RE ELIMINATING BOUNDARIES FROM THE ICRP, THEY THOUGHT WE WERE EXPANDING THE SAME POLICY CITYWIDE. WHAT WE'VE DONE IS WE'VE REPLACED THE PROGRAM. IT'S NO LONGER PLACE BASED, BUT IT'S ON NEEDS BASED MM-HMM. . SO WE KNOW WHAT WE NEED IN THE CITY OF SAN ANTONIO, AND WE'RE PRIORITIZING THAT FOR FEE WAIVERS. IT DOES NOT MEAN YOU CANNOT GET A FEE WAIVER, BUT YOU CANNOT GET IT THROUGH THE AS OF RIGHT PROGRAM. YEAH. I, I, THAT'S ALL GREAT INFORMATION. I APPRECIATE THAT. UM, AND IT, WHAT IT TELLS ME IS THAT, UM, NEARLY EVERYONE IN THIS COMMUNITY IS A STAKEHOLDER IN THIS PROCESS. SO IT'S, IT IT'S GONNA BE REALLY DIFFICULT TO GET TO THE IDEAL, UM, POLICY WITH REGARD TO DEVELOPMENT INCENTIVES. UM, SO LET ME, LET ME TAKE A [00:50:01] STEP BACK FOR A MINUTE. UM, MY MAIN TAKEAWAY FROM THE HOUSING POLICY WORK, UH, WAS THE FACT THAT WE DO HAVE AN AFFORDABILITY ISSUE IN THE CITY. AND, UH, SOME OF IT COMES, UH, DIRECTLY FROM A SUPPLY DEMAND IMBALANCE. AND WITH REGARD TO HOW WE ADDRESS THAT SUPPLY DEMAND IMBALANCE, WE NEED MORE PRODUCTION. UH, WE CAN'T HAVE MORE PRODUCTION IF HOUSING, UH, AND LAND COSTS CONTINUE TO RISE OUTTA CONTROL, UH, OR CONTINUE TO RISE INORDINATELY. UM, BUT WE ALSO HAVE, UH, SOME WORK TO DO TO MAKE SURE THAT WHEN WE USE INCENTIVES, NOT ONLY ARE WE'RE ALLOWING FOR PROJECTS TO ACTUALLY PENCIL OUT IN ALL CATEGORIES, BUT WE'RE ALSO SHOWING TO THOSE OTHER STAKEHOLDERS THAT AREN'T NECESSARILY BUYING THE HOMES BUT ARE CONTRIBUTING THROUGH THEIR TAX DOLLARS, THAT THERE'S A PUBLIC BENEFIT. THAT'S WHERE THE, THE, THAT'S WHERE IT'S NOT COMPUTING RIGHT NOW IS THAT WHEN, WHEN, WHEN PEOPLE SEE THE ARTIST'S RESIDENCE, UH, FOR INSTANCE, IT, AND THEY'RE SEEING THAT THIS IS A TAXPAYER FUNDED PROJECT, PARTIALLY FUNDED PROJECT, HOW DOES THAT BENEFIT THEM? IT'S ONLY RAISING THE MARKET RATE BECAUSE WE'RE NOT REALLY ADDRESSING THE SUPPLY DEMAND BALANCE, UH, HOLISTICALLY. SO I'M, I'M JUST, I'M JUST TELLING YOU, I UNDERSTAND HOW COMPLICATED THIS IS. OUR BEST EFFORT, I THINK, WITH FINDING THE ANSWER, UH, IS TO, NUMBER ONE, NOT LOCK OURSELVES INTO A LONG-TERM POLICY THAT WE CAN'T GO BACK AND TWEAK. UM, I BELIEVE THAT, UH, WE HAVE TO BE CAREFUL ABOUT THE TERM. SO NUMBER ONE, UH, THE INITIAL HOUSING FIRST STRATEGY FOR DOWNTOWN AND PART OF THE SA TOMORROW, UH, OR SA 2020 GOALS WERE TO HAVE 7,500 HOUSING UNITS IN THE DOWNTOWN AREA BUILT. UH, WHERE ARE WE NOW? AND DO YOU EXPECT WITHIN THE TERM OF THIS NEW POLICY THAT WE WILL ACHIEVE OR EXCEED THAT? YES. AND SO CURRENTLY WE'RE AT 6,800 HOUSING UNITS THAT ARE EITHER ONLINE OR UNDER CONSTRUCTION IN THE PLANNING STAGES. NOW, WE, WE DO EXPECT TO BE ABLE TO ACHIEVE 7,500 BY 2020, HOWEVER, WE AT A STRETCH GOAL OF 10,000. UM, AND THE REASON THAT STRETCH GOAL WAS IN PLACE IS THAT WE HAVE 14,000 HOTEL UNITS IN THE DOWNTOWN AREA, AND WE WANNA MAKE SURE THAT WE'RE BRINGING IT IN BALANCE. AND SO WE'RE NOT JUST A HOTEL MARKET, BUT WE HAVE A BALANCE OF HOTEL AND RESIDENTIAL. AND SO THE STRETCH GOAL OF 10,000 WILL GET US TO 14,000 RESIDENTIAL UNITS IN THE DOWNTOWN AREA. OKAY. UM, GIVEN THAT THERE'S ALSO A CHALLENGE OF PERCEPTION AND, AND THE FACT THAT WE ARE SUBSIDIZING HOMES THAT THE AVERAGE SAN ANTONIO CAN'T AFFORD, I THINK WE NEED TO BE CAREFUL ABOUT THE TERM AND COMING BACK TO THIS IN A YEAR AS OPPOSED TO TWO YEARS. THAT WOULD BE MY, UH, RECOMMENDATION. UM, BUT ALSO ALIGNMENT OF HOW WE'RE DEFINING AFFORDABLE HOMES. THAT, THAT TO ME IS THE ONE I'VE GOTTEN THE MOST COMMENTS ABOUT. UM, WHY ARE WE DEFINING AFFORDABILITY AT 80% A M I RATHER THAN THE 60% A M I? UM, THE CHALLENGE WE HAVE IS WE WANT TO CONTINUE ECONOMIC DEVELOPMENT FOR THE CITY. WE NEED MARKET RATE HOUSING IN OUR DOWNTOWN, AND WE WANT PROJECTS TO PENCIL. WE DO NOT HAVE ENOUGH RESOURCES TO HELP SUBSIDIZE THE 60% A M I. AND SO IN THAT SLIDE, I SHOWED THAT IF WE WERE TO REQUIRE A DOWNTOWN HOUSING PROJECT TO HAVE 60% A M I, THE GAP COULD BE AS MUCH AS 13 MILLION. WE WANNA CONTINUE AFFORDABLE HOUSING AND THEN LEVERAGE THOSE DOLLARS SO THAT 25% INCREMENT TO HELP US ABOR BUILD AFFORDABLE HOUSING OUTSIDE THE CITY. WE SAW THAT LAST WEEK WITH A BROADWAY JONES PROJECT. UM, THAT PROJECT IS 50% AND 80% A M I, IT'S 200 UNITS. WHEN WE WORKED WITH A DEVELOPER, WE ASKED THEM TO GIVE US A NUMBER OF WHAT IT WOULD TAKE TO GET 10% OF THOSE UNITS AT 60%, AND THEY CAME BACK WITH TWO AND A HALF MILLION DOLLARS TO MAKE THAT WORK. AND, AND WE'VE LOOKED AT THOSE INCENTIVES AND WE LOOKED AT THOSE PERFORMANCE AND WE'VE CONFIRMED, UM, THAT IS ACCURATE. AND SO YES, WE CAN DO IT, BUT WE NEED MORE RESOURCE TO MAKE THAT HAPPEN. HOWEVER, JUST BECAUSE WE HAVE MORE RESOURCE DOESN'T MEAN THAT THERE'LL BE DEVELOPERS WHO WILL ALWAYS DO IT. AND SO THERE ARE SEVERAL MARKET RATE HOUSING DEVELOPERS WHO WON'T DEVELOP AFFORDABLE HOUSING AS WELL. AND SO WE WANT TO CONTINUE THAT DEVELOPMENT OPPORTUNITY IN OUR DOWNTOWN, CONTINUE TO HAVE MORE USA AND OTHER COMPANIES TO COME DOWNTOWN WITHOUT STOPPING DEVELOPMENT AND ONLY FOCUSING JUST ON THE MARKET THAT AFFORDABILITY. SINCE, SINCE WE PLACED THE MORATORIUM ON CIP, HAVE THERE BEEN ANY PROJECTS, HOUSING PROJECTS THAT HAVE BROKEN GROUND? NO. NONE. NO. WE HAVE A LOT OF PROJECTS IN THE PIPELINE WHO HAVE TALKED TO US ABOUT NEEDS AND THEY'RE WAITING FOR THE POLICY TO MOVE FORWARD. WE ALSO KNOW SEVERAL PROJECTS WHERE THE C CHIP THAT WE'RE PROPOSING [00:55:01] ISN'T GOING TO WORK WELL, WE'D HAVE TO COME BACK TO COUNCIL FOR A SEPARATE TYPE OF INCENTIVE AGREEMENT. OKAY. AND, AND WHEN YOU MENTIONED THE, THE GAP FINANCING, UH, WE HAVE THIS, THE AFFORDABLE HOUSING FUND MM-HMM. , WHICH CURRENTLY IS, UH, ACCUMULATING 25% OF THE INCREMENT THAT'S CREATED BY THE NEW DEVELOPMENTS. YES. OKAY. UM, HOW CAN WE CHANGE THAT? OR, OR, OR I GUESS WHAT WOULD BE THE IMPACT OF THAT IF WE WERE TO CHANGE THE RATIO? I MEAN, FOR INSTANCE, UH, IF WE'RE INCENTING, UH, A HOUSING DEVELOPMENT FOR THE PURPOSE OF SPURRING THE MARKET IN A PLACE THAT IT NEEDS, IT, WE KNOW WE HAVE AN AFFORDABILITY ISSUE. WHY CAN'T THAT INCREMENT GO TOWARDS ADDRESSING GAP FINANCING IN FUTURE AFFORDABLE PROJECTS? THAT REBATE IS NECESSARY TO, TO OFFSET SOME OF THEIR EXPENSES. AND THAT'S VERY IMPORTANT FOR THOSE FIRST COUPLE YEARS. AND SO THE 75% REBATE WHEN WE LOOKED AT PROJECTS IS STILL IMPORTANT TO MAKE SOME OF THOSE PROJECTS PENCIL. AND I THINK DAVID DELMAN, UM, I'D LIKE TO ASK HIM TO COME UP AND TALK A LITTLE BIT ABOUT A PROJECT HE'S WORKING ON AND THE IMPORTANCE OF THAT REBATE AND HOW IT IMPACTS HIS PERFORMANCE. IF YOU DON'T MIND, THAT'S ON THE SPOT. THANK YOU. UM, TO, TO FOCUS ON YOUR QUESTION THOUGH, MAYOR, I THINK YOU WERE ASKING SPECIFICALLY ABOUT THE 25% OF TAX THAT WOULDN'T BE REBATED TO BE USED TOWARDS AFFORDABILITY. IS THAT, WAS THAT YOUR QUESTION? WELL, WE HAVE 25% CURRENTLY OF THE INCREMENT GOING TO AN AFFORDABILITY FUND THAT CAN CHANGE. AND, AND, AND WHAT LEVEL OF CHANGE WOULD BE REQUIRED TO MAKE THE GAP FINANCING POLICY POSSIBLE? SO WHAT WE CAN ALIGN THE DEFINITION OF A AFFORDABLE HOUSING? YEAH. SO I THINK WHAT LORI'S ASKING ME TO ADDRESS ALSO IN ANSWER TO YOUR QUESTION IS, PART OF THE ISSUE IS IF YOU, IF YOU REBATE THE, THE FURTHER THE REBATE GOES FROM SAY 75%, IF IT WENT TO 50%, YOU'LL JUST PUSH PROJECTS THAT ARE EITHER ON THE MARGIN THAT WON'T HAPPEN AT ALL. SO TO YOUR, TO THE POINT OF YOUR QUESTION, HOW MANY HAVE STARTED SINCE THE MOR MORATORIUM? NONE. WE'VE BEEN IN A RISING CONSTRUCTION COST MARKET IN ADDITION TO LAND INFLATION. AND FORTUNATELY, WAGES ARE STARTING TO MOVE UP, BUT THAT'S THE DETERMINANT OF AFFORDABILITY. SO, UM, WE HAVEN'T SEEN ANY RELIEF ON CONSTRUCTION COSTS, SO THINGS HAVEN'T GOTTEN ANY BETTER, ALTHOUGH RENTS, UH, THERE'S A LOT OF CONVERSATION ABOUT RENTS, AND I CAN SPEAK SPECIFICALLY TO THE RENTS THAT WE'RE ACHIEVING IN OUR DOWNTOWN PROJECTS, AND THEY'RE LOWER THAN WHAT'S BEING, UH, OFFERED IN OTHER PLACES. SO I'M NOT QUITE SURE. THAT'S ANOTHER INTERESTING CONVERSATION. WE'RE ACHIEVING AROUND A DOLLAR 71, UH, FOR INSTANCE AT 1221 BROADWAY. SO WHILE THOSE RENTS ARE VERY HIGH, UM, THEY'RE NOT HIGH ENOUGH TO JUSTIFY THE NEW PROJECTS. SO I'VE, I'VE MADE THIS POINT BEFORE AND I'LL, I'LL SAY IT AGAIN. I THINK PART OF THE CHALLENGE HERE IS CONFLATING THE ISSUE OF, OF INCENTIVIZING OR DRIVING MARKET RATE HOUSING INTO THE URBAN CORE AND TRYING TO SOLVE FOR AFFORDABILITY. AND IF YOU SAW ON THE SLIDES THAT LORI PRESENTED, THE NUMBER THAT REALLY STOOD OUT TO ME WAS THE LOW INCOME HOUSING TAX CREDIT PROGRAM TO GET TO 60% UNITS AT THE STATE LEVEL PROVIDES $111,000 PER UNIT TO GET THERE. AND SO IT'S A VERY SIGNIFICANT NEED TO, TO SOLVE FOR AFFORDABILITY. DID THAT ANSWER THE QUESTION? DID THAT HELP? UM, YEAH. WELL, I MEAN, TO SOME EXTENT, I, I GUESS MY ANSWER, MY QUESTION WAS A LITTLE BIT MORE SIMPLISTIC. IT WAS JUST THAT WHY DON'T WE USE THE INCREMENT, UH, IN THE FUND AFTER THE REBATE IS, IS ALREADY PROVIDED. UM, SO AFTER THE REBATE BURNS OFF, SO LET'S SAY THE REBATE'S 15 YEARS, CORRECT. AND WE USE A HUNDRED PERCENT OF THE REBATE FOR AFFORDABLE HOUSING, WELL THAT, YEAH, USE THAT NUMBER. I MEAN, WHAT, WHAT LEVEL WOULD BE REQUIRED FOR US TO MEET THE GAP FINANCING NEEDS FOR AFFORDABILITY TODAY? SO THAT WOULD BE SOMETHING THAT, UM, WE COULD LOOK AT. UM, IT WOULD BE COMING OUT, IT WOULD BE, YOU KNOW, YOU'D LOOK AT 10 YEARS OUT, 15 YEARS OUT, LOOK AT THE PROJECTS COMING ONLINE. UM, SO WE COULD LOOK AT THAT. UM, BUT THAT'S NOT SOMETHING WE'RE RECOMMENDING AS PART OF THIS POLICY. OKAY. WELL, I I THINK IT DESERVES SOME REVIEW. I, WE'RE KIND OF WALKING A LINE HERE BECAUSE YOU KNOW, WHAT'S HAPPENING WITH THE US AAS AND, AND THE OTHER BUSINESSES THAT ARE LOCATING DOWNTOWN IS EXTREMELY IMPORTANT. UH, BECAUSE WE NEED MORE LIVE, WORK PLAY. WE NEED MORE REVITALIZATION OF AREAS. WE ALSO ARE ADDRESSING, UM, THE UNINTENDED CONSEQUENCES OF GENTRIFICATION AND [01:00:01] DISPLACEMENT. WE NEED TO DO THAT BETTER. WE HAVE A COMPREHENSIVE FRAMEWORK THAT WE HOPEFULLY WILL IMPLEMENT TO, TO CREATE SOME OF THOSE CHANGES. BUT IF WE DON'T HAVE DEVELOPMENT OCCURRING AND COSTS ARE OUT, YOU KNOW, PROJECTS SIMPLY CAN'T HAPPEN. THAT'S NOT THE INTENTION OF, UH, TWEAKING THIS POLICY. THE, THE REASON WHY WE'RE HERE IS BECAUSE WE ACKNOWLEDGE THAT WE ARE GETTING CLOSE TO OUR GOAL, UH, AND THERE'S AN AFFORDABILITY ISSUE IN SAN ANTONIO, AND THAT SO MANY MORE SAN ANTONIANS TODAY ARE COST BURDENED BY HOUSING AND THEY'RE WATCHING THESE PROJECTS GOING UP, AND THEY SIMPLY ARE NOT ABLE TO AFFORD THE VERY PLACE THAT WE'RE SAYING SHOULD BE FOR EVERYONE. SO THAT'S THE DILEMMA THAT WE'RE FACING. I, I DON'T HAVE A GOOD ANSWER. I'M STILL, UH, I'M, I'M VERY INTERESTED IN, IN MY COLLEAGUES' QUESTIONS. HOPEFULLY WE CAN ARRIVE AT AS CLOSE TO, UH, A, UH, ACCEPTABLE POLICY. BUT I ALSO DO THINK THAT WE NEED TO BE ABLE TO COME BACK AND REVIEW AND BE A LITTLE BIT MORE NIMBLE ABOUT THIS, UH, AS WE ROLL IT OUT, UH, SO AS TO NOT LOCK OURSELVES INTO A, A, A TWO YEAR PROGRAM AND NOT BE ABLE TO, YOU KNOW, MAKE CHANGES IF NECESSARY. SO, UM, I'LL, I'LL STOP THERE FOR NOW, BUT I'LL, I'LL TURN OVER TO, UH, COUNCILMAN SALANI. THANK YOU, MAYOR. AND, UM, I THINK WHAT I'D LIKE TO START WITH IS JUST KIND OF A, A STEP BACK, UH, TO REALLY DESCRIBE WHY I THINK WE DO THIS IN THE FIRST PLACE. BECAUSE THERE IS AN ALTERNATE UNIVERSE WHERE WE DIDN'T DO A HOUSING FIRST STRATEGY IN 2012, AND THE DRIVING FORCE BEHIND THAT, LIKE THE DRIVING FORCE BEHIND ANYTHING THAT WE DO AT THE COUNCIL LEVEL IS DO WE GET PUBLIC OPINION TO BUY IN? DO PEOPLE AGREE THAT THIS IS SOMETHING THAT THE CITY SHOULD BE DOING? AND THE ARGUMENT BACK THEN WAS, YEAH, THIS IS SOMETHING THAT THE CITY SHOULD BE DOING. WE SHOULD GET MORE HOUSING IN THE DOWNTOWN BECAUSE IT COSTS US MORE TO HAVE JUST AN EXPLOSION OF HOUSING AT OUR OUTER FRINGES. EITHER THEY DECIDE NOT TO BUILD IN THE CITY, OR THEY DECIDE TO SPRAWL OUT FURTHER AND FURTHER SO I CAN CARRY THE WATER ON THAT ARGUMENT. AND, AND I THINK WE'RE STILL IN THAT ARGUMENT TODAY. WE DON'T, YOU KNOW, WE, WE'VE ALREADY GOT INFRASTRUCTURE IN THE DOWNTOWN. WE'VE ALREADY GOT FIRE STATIONS AND POLICE STATIONS AND ALL THE SERVICES THAT YOU WOULD NEED IN THE URBAN CORE. AND, AND THAT'S WHAT THE DISCUSSION WAS LIKE IN 2012. AND WHY WE SAID HOUSING FIRST IS AN IMPORTANT STRATEGY. SO REMEMBER, HOUSING FIRST MEANS THAT THERE'S SOMETHING THAT SHOULD FOLLOW THAT. AND I DON'T THINK WE'VE TALKED ENOUGH ABOUT THAT. AND I THINK WE'VE HAD SOME SUCCESS IN THAT. IT WAS, SHOULD WE ATTRACT MORE BUSINESSES AND INCENT, UH, THE, THE USA'S OF THE WORLD, THE AGB, TO GET MORE EMPLOYERS? THAT WOULD'VE BEEN AN EMPLOYER FIRST STRATEGY, IF I COULD TERM IT THAT, THAT WAY. UM, BUT WE'VE HAD SOME SUCCESS IN THE LAST YOU SIX YEARS, AND I THINK I FEEL SO CONNECTED TO THIS BECAUSE, YOU KNOW, I, I, YOU KNOW, I WATCHED IT IN 2012 AS IT WAS BORN. NOW IT'S A SIX YEAR OLD TODDLER, AND MY HANDS ARE ALL OVER THIS FOR, IN, IN A LOT OF WAYS, WHETHER IT'S A GOOD OR BAD POLICY. UH, I CAN'T TURN MY BACK AND SAY I DIDN'T KNOW ENOUGH ABOUT WHAT THEIR STRATEGY WAS. AND SO THAT'S WHY WHEN WE HIT THE MORATORIUM MAYOR ABOUT A YEAR AGO IN DECEMBER, WE TALKED ABOUT IT IN GOVERNANCE. YOU KNOW, OUR HANDS WERE ON IT, OUR FINGERPRINTS WERE ON IT. WHEN WE LOOKED AT THE ARTS RESIDENCE, AND, AND I, I'VE GOTTA TELL YOU, I WAS EMBARRASSED BY IT. I THINK WE SHOULD HAVE BEEN TO KNOW THAT THE UNITS WERE SUBSIDIZED TO THE LEVEL OF 173,000. YOU KNOW, SO I, MY, WHEN YOU SHOW ME, THE MUSEUM REACHED LOFTS, AND THE NUMBER UP THERE IS 155. I'M NOT STUNNED BY IT. LIKE THAT'S SOME INSURMOUNTABLE MOUNTAIN THAT WE CAN'T CLIMB TO GET TO AFFORDABILITY, BECAUSE THE ARTS RESIDENCE WAS 173,000 FOR CONDO UNITS THAT WERE LUXURY. SO, YOU KNOW, HERE, HERE'S WHERE I'M GOING WITH THIS. IF I'M GONNA ASK SOME QUESTIONS, AND, AND MAYBE WE'LL GO BACK AND FORTH ON THIS, BUT WE STILL NEED THE PUBLIC TO SUPPORT WHAT WE'RE DOING HERE. AND IF THE PUBLIC DOESN'T FEEL LIKE ANY OF THIS STRATEGY IS RELEVANT TO THEM, THAT, THAT HOUSING IN THE DOWNTOWN, THEY'LL NEVER BE ABLE TO AFFORD. FOR THE GREAT MAJORITY OF SAN ANTONIO RESIDENTS, THEY WON'T BE BEHIND US. AND, AND THEY WON'T SUPPORT IT. SO WE DO HAVE TO MAKE A VERY GOOD ARGUMENT THAT, THAT WHAT WE'RE TRYING TO GET DONE HERE IS TO THE BENEFIT OF THE ENTIRE CITY. AND IF WE DON'T FEEL LIKE WE'RE THERE, AND THE CONSEQUENCE OF THAT IS THAT THE DEVELOPMENT COMMUNITY'S UPSET WITH US, I'M OKAY WITH THAT. THE DEVELOPMENT COMMUNITY SAYS, WELL, THAT MEANS WE CAN'T PENCIL ANY PROJECTS IN THE DOWNTOWN. THAT MEANS WE CAN'T BUILD MORE HOUSING OR MARKET RATE. THEN THAT'S JUST THE CONSEQUENCE. THEY JUST CAN'T BUILD ANY MORE HOUSING DOWN THERE. AND WE'LL SEE WHAT HAPPENS WITH THE 6,800 UNITS WE'VE BEEN ABLE TO PUT UP ONLINE. SO I, I, I'M TRULY COMMITTED TO, TO TRYING TO BE AS, AS CREATIVE AS POSSIBLE. I'M TRULY COMMITTED TO TAKING SERIOUS THE MAYOR'S HOUSING PO POLICY TASK FORCE AROUND, UH, HOUSING AFFORDABILITY AS A CRISIS. YOU CAN'T SAY THAT HOUSING AFFORDABILITY IS A PRIORITY AND AT THE SAME TIME, PROMOTE MORE HOUSING. THAT IS MARKET RATE, BECAUSE AT THE END OF THE DAY, HOUSING IS HOUSING, AND THAT'S WHERE FOLKS ARE GONNA FIND ELIGIBLE PLACES TO LIVE. UM, SO [01:05:01] THAT'S MY BIAS. THAT'S MY, MY MY MY, YOU KNOW, IT CARDS FACE UP. GOING INTO TO THIS DISCUSSION, I'VE HAD A LOT OF RELUCTANCE IN, IN GETTING TO YEAR SEVEN, GETTING TO YEAR EIGHT. WE'RE IN YEAR SIX, AND NOT BEING ABLE TO SAY THAT WE CAN TURN THE SPIGOT OFF, BECAUSE THE ORIGINAL STUDY, UH, FROM H R N A ADVISORS, THE CONSULTANTS WHO CAME IN, WHO GAVE US WITH THE HOUSING STRATEGY CLEARLY SAID THAT AT SOME POINT, YOU NEED TO PULL BACK THAT THE MARKET RATE WILL, THE MARKET WILL ESTABLISH ITSELF. SO THAT'S THE FIRST QUESTION IT SAYS. SO IF WE'RE NOT IN, SO THE QUESTION IS, RENTAL RATES CURRENTLY DON'T SUPPORT LAND PRICES AND CONSTRUCTION COSTS. IS, DOES THAT MEAN THAT WE NEED TO GET TO $2 A SQUARE FOOT TO HAVE RENTS SUPPORT CONSTRUCTION AND LAND COSTS? DOES THAT MEAN ONE SEVENTY'S NOT ENOUGH? WHERE ARE WE TODAY? WHERE, WHERE CAN WE PIN TO SAY THAT AS A, AS A DEVELOPER, UH, LIKE MR. DELMAN AND OTHERS? ARE WE COMFORTABLE GOING TO BANKS AND DOING THIS ON OUR OWN? AND, AND DAVID, I'M GONNA CALL ON YOU AGAIN TO SPEAK TO THAT POINT. SO I, I THINK THERE'S BEEN SIGNIFICANT CHANGES TO THE POLICY THAT ADDRESSED THAT. SO FOR INSTANCE, IF YOU'RE BUILDING FOUR STORY WOOD FRAME NEAR THE PEARL THAT SHUT OFF, THAT'S SHUT OFF IN THIS SUGGESTED POLICY SAYING THAT'S ENOUGH. YOU CAN GET $2 RENTS IN THAT AREA, AND FOUR STORY WOOD FRAME CONSTRUCTION WITHOUT UNDERGROUND PARKING, YOU COULD DO IT. SO EVERY PROJECT IS SOMEWHAT NUANCED TO, TO WHAT IT COSTS. BUT I WOULD SAY THAT THAT, TO, TO SPEAK TO YOUR, YOUR, YOUR FIRST STATEMENT ABOUT THE, THE, HOW DOES THE PUBLIC, HOW DO YOU, HOW DO YOU CARRY THIS TO THE PUBLIC? UM, I WOULD SAY THAT IN GENERAL, THE 7,500 UNIT, UH, AND THE 10,000 GOAL IS A DROP IN THE BUCKET TO WHAT'S BEING BUILT IN BEXAR COUNTY. AND THE COST DIFFERENTIAL BETWEEN URBAN CORE AND IN THE SUBURBS IS NORTH OF A HUNDRED THOUSAND DOLLARS PER UNIT. JUST IF YOU'RE BUILDING GARDEN APARTMENTS IN WESTOVER HILLS, OR YOU'RE BUILDING IT TO THE NEAR WEST SIDE, OR EVEN AT, AT BROOKS CITY BASE, WHERE YOU'RE BUILDING WITH SURFACE PARKING. SO IT'S VERY SUBSTANTIAL. UM, AND THEN, AND SO WHAT THIS POLICY IS ATTEMPTING TO DO ALSO IS TO DRIVE HIGHER DENSITY. SO IT'S REWARDING IN TIER ONE, TALLER BUILDING SIX PLUS STORIES THAT COST SIGNIFICANTLY MORE, ULTIMATELY YIELDING BENEFITS TO THE TAXPAYERS IN THE LONG TERM. SO DON'T WORRY ABOUT, YOU SAID, MAKING THE DEVELOPMENT COMMUNITY MATTER, MATT, I, I DON'T REALLY, I DON'T HAVE A FEELING OF IT AS A, AS A DEVELOPER, EVEN THOUGH IT'S OBVIOUS I AM. BUT AS A COMMUNITY MEMBER, I JUST FEEL THAT IF WE CONTINUE TO SPRAWL AND CONTINUE TO GROW THE WAY WE'RE GROWING, OR WE HAVE GROWN FOR DECADES SINCE THE, THE FIFTIES, THEN WE'RE JUST GONNA ADD TO OUR BURDEN. OR WE BECOME LIKE THE CITY OF DALLAS WHERE ALL THE GROWTH GOES TO SHIRTS AND NEW BRAUNFELS, AND THEN THIS, AND THE CITY OF SAN ANTONIO IS BEARING THIS TREMENDOUS BURDEN OF, OF, WE'RE PROVIDING THE TIER ONE HOSPITALS, WE'RE PROVIDING, UM, UH, THE MUSEUMS AND EVERYTHING ELSE. AND THOSE LY COMMUNITIES AREN'T PAYING FOR IT. SO LOOK AT THE TAX BENEFITS OF ALL THESE PROJECTS. THE PROJECTS THAT I'VE EVEN DONE THAT WHEN THOSE 15 YEAR, UH, ABATEMENTS OR REBATE PERIODS, THE 75% WEARS OFF. IT'S MILLIONS OF DOLLARS OF REVENUES THAT ARE IN PLACE ON BUILDINGS THAT ARE SUBSTANTIAL HIGH QUALITY, WELL-BUILT, WALKABLE. IT'S, IT'S, IT'S, TO ME, IT'S A, A FAIRLY EASY ARGUMENT. I DON'T KNOW HOW THE AVERAGE CITIZEN, WHETHER THEY'RE READY TO ROLL UP THEIR SLEEVES AND UNDERSTAND THE TOTAL IMPACT OF SPRAWL OR NOT. I, I CAN'T SPEAK TO THAT. WELL, HERE'S WHAT I THINK MR. AWIN, YOU COULD SPEAK TO THAT I THINK MOST OF THE PUBLIC WOULD PROBABLY SHAKE THEIR HEAD AND NOT IN AGREEMENT WITH. AND IT'S, IT'S, IF YOU'RE BUILDING A CITY AND YOU KNOW SOME THINGS TO BE FACTUALLY TRUE, WHICH IS THAT YOU'RE GONNA ADD A MILLION PEOPLE, UH, YOU'RE GONNA HAVE TO BUILD THOSE HOMES. AND SO IF YOU GAVE ME THE DICHOTOMY OF BUILDING UP RATHER THAN OUT I'LL, I'LL CHOOSE UP, YOU KNOW, DENSITY, I'LL CHOOSE IN AREAS THAT ALREADY HAVE INFRASTRUCTURE, I'LL CHOOSE AREAS THAT ALREADY HAVE EMERGENCY SERVICES. RIGHT? SO LET'S BUILD UP, AND I THINK THAT'S WHAT YOU'RE SUGGESTING HERE. UM, SO, AND, AND THE WAY THAT I'VE DESCRIBED IT TO FOLKS IS, I'VE ACTUALLY USED YOUR NAME AS AN EXAMPLE. I SAID, IT'S EITHER THE, THE DAVID DELMAN SCHOOL OF THOUGHT THAT'S INVESTING IN YOUR, YOU'VE GOT PROJECTS IN THE DOWNTOWN, YOU'VE GOT THE MAVERICK AND A, A PROJECT AT HEMISPHERE, OR IT'S THE MARTY WEND SCHOOL OF THOUGHT WHERE IT'S, IT'S FURTHER OUT, THE COST OF LAND IS CHEAPER, IT'S NOT AS HARD TO BUILD OUT THERE. UM, SO I THINK THAT'S THE ARGUMENT THAT I THINK SOMEBODY COULD NOD THEIR HEAD IN AGREEMENT, SAY, IF YOU DIDN'T DO THIS CCHI, IF YOU DIDN'T DO THIS ICRP, WOULD IT MEAN THAT IT WOULD JUST BE SO MUCH EASIER TO BUILD OUT FURTHER THAN IT WOULD BE? BECAUSE ALL OF THE OBSTACLES THAT ALREADY EXIST IN THE URBAN CORE THAT YOU'VE DESCRIBED AND OTHERS DESCRIBED, I THINK THAT'S THE CASE YOU'RE MAKING. YES. AND AND I ALSO THINK THERE'S AN ANOTHER POINT, WHICH IS WE HAVE MOMENTUM. WE'RE, WE'RE ATTRACTING DEVELOPERS. I'VE MET SOME PEOPLE FROM OHIO AND OTHER PLACES THAT ARE COMING IN, INVESTING IN THE URBAN CORE. AND SO WE HAVE MOMENTUM. IT'S GOING, IT'S WORKING. AND I WOULD, I WOULD HATE TO SEE IT STOP. AND IN FACT, THE, YOU MENTIONED THE HOUSING FIRST AND THE OTHERS [01:10:01] THAT FOLLOWED, AND LOOK AT THE OFFICE THAT'S FOLLOWING. AND A LOT OF THAT OFFICE IS AT RENTAL RATES THAT ARE SIGNIFICANTLY HIGHER THAN THE SUBURBS. AGAIN, THE HIGHER COST OF CONSTRUCTION, IRREGULAR SHAPED PARCELS, EVERYTHING, STRUCTURED PARKING, UM, WE'RE SEEING THAT DEVELOPMENT HAPPEN WITHIN THE CITY. AND THE LONG-TERM BENEFITS TO THE CITY ARE TREMENDOUS. SO I THINK IT'S ACTUALLY WORKING. SO MY POINT IS, WHY WOULD YOU WANT TO STOP WHAT YOU KNOW IS WORKING? SO I THINK THE ONLY RESPONSE I WOULD HAVE TO THAT IS THAT, UM, THE ONLY REASON I WOULD PAUSE, WHICH WE'VE PAUSED FOR A YEAR NOW, AND, AND I THINK THE, THE PROOF IS IN THE PUDDING FOR A YEAR. NOBODY'S COME IN TO SAY, I WANT TO BUILD THE PROJECT. PART OF THAT, I THINK, IS BECAUSE FOLKS SAY, BECAUSE THE CITY WILL GET ITS ACT TOGETHER, THEY'LL PASS EACH CHIP. I'LL JUST WAIT, I'LL WAIT OUT FOR THE SEA CHIPP TO HAPPEN. I I WOULD DO, I WOULD TOO. NO, I DON'T THINK SO. I WOULD SAY, GIVEN HOW HARD IT IS TO ASSEMBLE LAND, FIND A PROJECT, GET ONE, GET, GET THE PROJECT GOING, IT'S EITHER HAPPENING OR IT'S NOT THERE. PEOPLE AREN'T GONNA WAIT AROUND. NOW, YOU MAY HAVE A FEW OUTLIERS THAT OWN LAND THAT MIGHT WAIT AROUND, BUT I WOULD SAY, NO, I DON'T, I DON'T, I REALLY DON'T THINK THAT'S IT. WE ARE IN A SIGNIFICANTLY, UH, WHERE CONSTRUCTION COSTS ARE RISING, HAVE BEEN RISING RAPIDLY, AND, AND NOBODY CAN SEE ANY RELIEF IN SIGHT. SO IT'S, IT'S, IT'S GOING TO BE MORE CHALLENGING. IN FACT, THE AFFORDABLE ISSUES THAT THE MAYOR WAS TALKING ABOUT ARE GONNA CONTINUE TO BECOME MORE CHALLENGING. SO MAYBE JUST A THOUGHT, THOUGHT EXPERIMENT THEN IF, IF THERE'S A THIRD PROPOSITION, AND THAT THIRD PROPOSITION IS, YOU KNOW WHAT? THE SEA CHIP MAY AT REST IN PEACE. WE GOT TO 7,500 UNITS WE'RE, IT'S 6,800 NOW. UH, IN THE MEANTIME, IT BUILT MOMENTUM THAT WE DIDN'T HAVE IN 2012. YOU'VE GOT THE DOWNTOWN GROCERY STORE, YOU'VE GOT U S A A, YOU'VE GOT MORE PEOPLE BUILDING DOWN HERE. YOU'VE GOT U T S A WHO'S GONNA ADD, UH, YOU KNOW, A NUMBER OF STUDENTS WHO ALL NEED HOUSING. ALL THOSE ELEMENTS THAT WEREN'T TRUE IN 2012. UH, WOULDN'T YOU, WOULDN'T YOU BELIEVE THAT CHANGES THE TENOR OF, OF THE PRIVATE SECTOR IN TERMS OF HOW THEY BUILD AND WHAT THEY BUILD, KNOWING THOSE, THE EXISTENCE OF NEW EMPLOYERS EXISTENCE OF NEW DEMOGRAPHICS? SURE, SURE. AND, AND I MEAN, AT SOME CERTAIN PRICE POINTS, YOU PROBABLY WILL SEE SOME DEVELOPMENT. IF YOU LOOK AT THE SELLERS AND WHAT THEY ACHIEVED, AND AGAIN, I'LL CALL IT SUPER LUXURY, CAN PROBABLY MAKE IT, MAKE IT HAPPEN. THEY'RE, THEY'RE DEMONSTRATING A DE A DEMAND AT THAT PRICE POINT. SO YOU WILL SEE SOME PROJECTS THAT DO HAPPEN, BUT BY AND LARGE, YOU'LL, YOU'LL START CLIPPING OFF THE, THE BOTTOM, AND I THINK YOU'LL SEE IT SLOW DOWN. SO THAT'S MY TAKE. AND THEN MAYOR, I ALSO WANTED TO RESPOND TO YOUR ONE YEAR VERSUS TWO YEARS. IT TAKES US AT LEAST A YEAR OF PLANNING TO, TO PREPARE PLANS TO DO PROJECTS. AND IT'S, IT'S THE UNCERTAINTY. SO IF YOU GO BACK PRE 2012, PRE CCHI WHEN IT USED TO HAPPEN, AND WHAT WILL HAPPEN AGAIN, IS YOU'LL HAVE HAVE PROJECTS THAT WILL COME TO YOU AND THEY'LL HIRE EITHER A LOBBYIST OR THEY'LL BE PREPARED TO DO IT THEMSELVES. AND THEY'LL GO AROUND THE ROOM AND THEY'LL SHOW YOU THE PROJECT AND TALK TO YOU ABOUT WHAT'S POSSIBLE. AND THEN YOU'LL LOOK AT AND CONSIDER IT. THE IDEA OF THE C CHIP WAS REALLY TO SAY, GUYS, WE'RE GONNA HAVE A TRANSPARENT, OPEN PLAYING FIELD, AND WE'RE GONNA INVITE MORE DEVELOPERS TO COME AND WORK ON, ON COMPLEX PROJECTS IN THE CORE WHERE WE DON'T SEE ALL THE ACTION. SO, I MEAN, AGAIN, YOU KNOW, I, I THINK THE TWO YEARS, YOU KNOW, IS, IS THE MINIMUM TIME I THINK WAS CONSIDERED. I THINK IT WAS A, A GOOD SUGGESTION BY STAFF TO LIMIT IT TO TWO YEARS. YOU CAN ALWAYS STEP IN AS CITY COUNCIL AND MAKE A CHANGE A YEAR LATER. NOT A PROBLEM. I MEAN, THAT HAPPENS ALL THE TIME. AND PEOPLE UNDERSTAND THAT THOSE THINGS CHANGE. BUT IT'S BETTER TO GIVE A, A, A TWO YEAR RUNWAY TO THE PROGRAM, I THINK. THANK YOU. THANK YOU, MR. RATMAN. I THINK THOSE ARE THE ONLY QUESTIONS I'VE GOT FOR YOU, DAVE. UM, JUST TO, I THINK YOU, YOU'VE TOUCHED ON HISTORY, AND I THINK HISTORY'S IMPORTANT HERE. 'CAUSE THE PENDULUM HAS SWUNG. I REMEMBER WHEN THE PENDULUM WAS, WAS WAY OFF, AND IT WAS, HOW MANY COUNCIL MEMBERS DO YOU KNOW? HOW WELL DO THEY LIKE YOU? IF THEY LIKE YOU, IT'LL GO BEFORE THE COUNCIL, THEN YOU'LL GET THE INCENTIVES YOU NEED TO BUILD YOUR PROJECT. WHETHER THAT'S, UM, YOU KNOW, PROJECTS THAT WERE BUILT PRIOR TO 2012, IT WAS A BAD SYSTEM. IT TOOK 10 MONTHS FOR ANY DEVELOPER TO GET ANY PROJECT GOING. IT WAS A BAD SYSTEM. IT DEPENDED ON WHETHER YOU HAD A GOOD RELATIONSHIP WITH COUNCIL MEMBERS. THERE WAS NO OBJECTIVITY TO IT. SO THE CCHI ALLOWED US TO MOVE AWAY FROM THAT. TOOK OUT THE POLITICS, AND I THINK WE'VE SEEN THE BENEFIT OF THAT. NOW, THE QUESTION IS, HAS THE PENDULUM SWUNG SO FAR THAT IT'S JUST, YOU KNOW, WE'VE GOT DEVELOPER COM DEVELOPER COMMUNITY WHO'S BECOME JUST, YOU KNOW, ASSURED AND ENTITLED THAT THESE ARE THE PROJECTS THAT I'M SUPPOSED TO GET. THESE ARE THE INCENTIVES I NEED TO GET. AND SO WE'RE LOOKING AT WHAT IS THE SWEET SPOT. THAT'S WHY YOU'VE BROKEN THIS UP INTO TWO TIERS. I'M IMAGINING, UH, I, I STILL QUESTION WHETHER WE NEED ANYTHING IN THE TIER TWO. UM, AND, AND MAYBE YOU'LL ADDRESS THAT, BUT LET ME ASK THIS QUESTION FIRST. I DON'T KNOW IF YOU HAD THIS IN YOUR PRESENTATION, BUT YOU DID PROVIDE IT TO MY STAFF, AND I THOUGHT IT WAS REALLY HELPFUL. MM-HMM. , IT WAS A, IT WAS A GRAPH THAT SHOWS, UH, THE DESIRED RATE OF RETURN FOR A DEVELOPER TO GET ANY PROJECT. A PENCIL IS 7%. MM-HMM. . UM, IF YOU HAVE SOMETHING THAT'S ANYWHERE CLOSE TO THAT, I THINK I, IT'D BE HELPFUL FOR ME TO TRY TO ASK THIS QUESTION SO THAT THAT'S [01:15:01] THAT SLIDE. AND SO WE DID, UM, AN ORDER OF MAGNITUDE FOR A TIER ONE PROPERTY, UM, BASED ON THE PROPERTY VALUES WILL CHANGE BASED ON WHETHER IT'S ON THE RIVER OR OFF THE RIVER. AND SO WITHOUT INCENTIVES, A PROPERTY CAN GET 4.6% TO 5.7% AND A RETURN WITH OUR SEA CHIP INCENTIVES, IT'S 5.1 TO 6.3%. AND THIS IS JUST FOR A 20% MIXED INCOME HOUSING PROJECT, OF WHICH 10%, 60 AND 10% AND 80, TO GET IT TO THAT DESIRED 7%. MM-HMM. , YOU NEED AN ADDITIONAL 4 MILLION TO 10 MILLION IN CASH. WELL, I, I THINK I'M LOOKING AT JUST, UH, THE, THE, THE TWO MIDDLE COLUMNS. MM-HMM. , THE NO INCENTIVES VERSUS THE SEAS INCENTIVES. YES. MM-HMM. , UM, AT THE END OF THE DAY, WE'RE NOT IN THE BUSINESS OF BUILDING ANY OF THESE RESIDENTIAL PROPERTIES. WE'RE NOT IN THE BUSINESS OF BUILDING ANY HOMES, BUT WE ARE TRYING TO OFFER SOME CARROTS TO, TO SATISFY A POLICY GOAL, WHICH IS AN OBJECTIVE OF HOUSING IN THE DOWNTOWN, IN THE URBAN CORE. SO WHAT WE DO THEN, BY PUTTING THIS OUT AS A, AS A NEW OPPORTUNITY, IS HERE'S THE MENU OF OPTIONS DEVELOPMENT COMMUNITY. HERE'S THE MENU OF OPTIONS. PRIVATE SECTOR, PICK AND CHOOSE FROM WHICH ONE IS THE ONES YOU'D LIKE. AND SO MY WORRY IS, IS IF WE PUT THESE OUT THERE, UM, THAT YOU MAY NOT GET ANYBODY TO BITE ON THE 20% OF 60% A M I, YOU MAY NOT GET ANYBODY TO BITE ON ANY OF THE AFFORDABILITY PROJECTS. UH, BECAUSE AS LONG AS PEOPLE ARE MORE INTERESTED IN MORE MONEY RATHER THAN LESS MONEY, MORE PROFIT RATHER THAN LESS PROFIT, THEY'LL GO TO THE MARKET RATE PROJECTS, WHICH IN THE, I I, I'D HOPE YOU MIGHT HAVE USED THIS ONE 'CAUSE IT'S A LITTLE EASIER TO READ. 7.5% RETURN TO GET NO INCENTIVES IN TIER TWO IS MORE THAN A 7% INCENTIVE TO GO 60% A M I. AND LOOK, I'D LOVE NOTHING MORE THAN TO SEE UNITS NEAR THE PEARL AT 60% A M I 20%. BECAUSE THAT MEANS THAT PEOPLE WHO DON'T MAKE A TON OF MONEY, UH, WHO WERE A TEACHER, FIRST YEAR TEACHER, CAN ACTUALLY LIVE BY THE PEARL. UM, I WOULD LOVE FOR A DEVELOPER TO TAKE ADVANTAGE OF THAT, BUT I DON'T THINK THEY WILL, BECAUSE MORE MONEY'S BETTER THAN LESS MONEY. AND 7.45 IS, IS A HIGHER RATE OF RETURN THAN 7%. HOW DO WE, HOW DO WE HAVE THAT CONVERSATION? THAT'S MY CONCERN WITH TIER TWO. I DON'T THINK ANY DEVELOPER TAKES ADVANTAGE OF, OF THE AFFORDABILITY OPTION. THEY'D EITHER HAVE TO BUILD FOUR STORIES, STICK MARKET RATE. IF THEY DID AFFORDABILITY, THEY'D GET THE INCENTIVES. OR THEY'D, IF THEY WENT ABOVE FIVE STORIES, THEY'D GET THE INCENTIVES. AND SO IF THEY REALLY WANTED INCENTIVES, THEY'D HAVE TO PROVIDE THAT AFFORDABILITY. THAT'S OUR, THAT IS OUR STICK, THAT IS OUR CARROT. GOTCHA. UM, SO I, I JUST DON'T THINK THAT WE ARE, WE'RE THERE AT TIER TWO TO JUSTIFY HAVING OUR, ANY OPPORTUNITIES THERE ANYMORE. UM, MAYBE YOU'VE GOTTA MM-HMM. , NO. RIGHT NOW FOR TIER TWO, WE KNOW WE HAVE PLENTY OF FOUR STORY STICK-BUILT. WHAT WE DON'T HAVE IS THE DENSITY OR THAT AFFORDABILITY. AND SO WE DO WANT TO SEE SOME MORE DENSITY IN THE DOWNTOWN AREA, WHICH IS TIER TWO OR THAT AFFORDABILITY. SO WE'RE INCENTING THE PRODUCT TYPES WE'D LIKE TO SEE. SO WHAT HAPPENS WHEN CREDIT HUMAN EMPLOYEES START COMING IN AND THERE'S A DEMAND FOR, FOR HOUSING THERE THAT DOESN'T EXIST TODAY. MM-HMM. , WHAT GETS BUILT IN THE ABSENCE OF THE TIER TWO INCENTIVE. AND SO THEY WOULD, THAT'S THE CONVICTION WOULD, THEY WOULD BUILD FOUR STORY STICK BUILT. THAT'S, THAT'S WHAT WOULD HAPPEN. AND THAT IS STILL, UM, UP FOR DEBATE WHETHER OR NOT THAT NEEDS INCENTIVES. I MEAN, WHAT WE'RE SAYING IS WE'VE SEEN PLENTY OF THAT. WE DO NOT NEED TO INCENT THAT ANYMORE. BUT DEPENDING ON WHERE THAT PROJECT IS, IF IT'S ON THE RIVER, UM, THEN THE PROJECT LAND VALUE IS MUCH HIGHER. AND THEY COULD NEED INCENTIVES. SO DEPENDING ON WHERE IT IS, IT MAY NOT HAPPEN. MAYBE THIS IS TOO SIMPLISTIC, BUT MY QUESTION IS, WHY IS AN EIGHT STORY PROJECT OF MARKET RATE WITH INCENTIVES WORTH PUBLIC DOLLARS VERSUS A FOUR STORY THAT'S NOT, THAT'S STILL MARKET RATE. SO ESSENTIALLY HAVING, YOU HAVE FOUR STORY MARKET RATE VERSUS EIGHT STORIES OF MARKET RATE. WHY IS THAT DENSITY SO IMPORTANT? IT HAS TO DO WITH THE QUALITY. UM, YOU CHANGE THE MATERIALS AND THEN BEING ABLE TO PROVIDE MORE DENSITY IN A SMALLER FOOTPRINT. OKAY. YES. AND SO YOU'RE GOING ABOVE SIX STORIES. AND SO YOU HAVE TO HAVE CONCRETE AND STEEL VERSUS STICK. AND SO YOUR PROJECT IS MORE QUALITY. AND SO WE'RE INVESTING IN LONGER TERM INVESTMENTS. I MEAN, MY QUESTION IS, WHAT BUSINESS DO WE HAVE AT THAT POINT? IF WE WANTED EIGHT STORIES, SOMETHING ABOVE, YOU'RE GOING TO HIGHER CONSTRUCTION, HIGHER CONSTRUCTION COSTS FOR CONCRETE STEEL BEAMS. LIKE WHY DO WE HAVE ANY BUSINESS IN THAT? THE UNIFIED BUILDING CODE? YEAH. YEAH, I UNDERSTAND. BUT WHY DO WE CARE IF IT'S, CAN I, CAN I TAKE A SHOT AT IT? 'CAUSE I THINK I UNDERSTAND THE QUESTION YOU'RE ASKING, WHICH IS THE, THE COST OF SPRAWL. THAT'S WHAT I TALKED ABOUT EARLIER. OKAY. YEAH. THAT'S A GOOD ARGUMENT. IT'S A GREAT ARGUMENT. AND IN FACT, THE, AND I CAN SEND YOU SOME SLIDES. THE AMERICAN SOCIETY OF CIVIL ENGINEERS ESTIMATES WHAT THE PUBLIC INFRASTRUCTURE COSTS ARE WHEN YOU LOOK AT DENSITY. SO IF YOU'RE BUILDING AT 30 UNITS TO THE ACRE [01:20:01] ACROSS YOUR CITY, OR 60 UNITS TO THE ACRE, THE HIGHER THE DENSITY, THE LOWER THE COST OF YOUR INFRASTRUCTURE. LESS HIGHWAY RAMPS, LESS, UH, LESS, UH, SEWER LINES, WATER LINES EXTENDING OUT FURTHER. SO IT IS PURELY ABOUT, WE HAVE A MILLION PEOPLE THAT WE'RE TRYING TO PLACE, AND YOU CAN PLACE A LOT MORE OF 'EM IN EIGHT STORIES THAN YOU CAN IN FOUR STORIES. THAT'S THE CONNECTION I'M TRYING TO MAKE. I THINK THAT'S, THAT'S IN MY HEAD. YOU KNOW, WHY ARE WE STILL EVEN IN THE BUSINESS? AND IF YOU TIE IT BACK TO THAT PIECE, THEN, THEN YOU HAVE A LEGITIMATE POLICY ARGUMENT FOR IT. SO I, I THINK THAT'S FAIR. AND I'D ADD TO THAT LESS CONSUMPTION. MM-HMM. , I MEAN, IT'S STATISTICALLY VALID. LESS WATER CONSUMPTION, LESS ENERGY CONSUMPTION, JUST IN HIGH RISE DENSITY. OKAY. UH, WELL, I THINK YOU'VE, YOU'VE PUT UP THIS SLIDE AND THIS FINALLY SHOWS US THE MONEY, RIGHT? WE, WE KNOW WHAT IT WOULD COST US IF WE TRULY WANTED TO SAY, YOU KNOW, WHAT DO AWAY WITH ANY PROJECT THAT IS, THAT IS MARKET RATE, AND WE ONLY WANT TO INCENT 80% A M I, WE ONLY WANT TO, UH, INCENT 60% A M I, THAT'S WHAT IT'S GONNA COST US ANYWHERE FROM, YOU KNOW, ONE TO 10 TO 15 MILLION IF WE WANTED 60% A M I. UM, WHAT DO WE THINK WE GAIN WHEN WE CREATE THE 25% SET ASIDE FOR AFFORDABLE HOUSING? THAT'S ABOUT YOU. YOU, YOU GAVE US A NUMBER THAT MM-HMM. LOOKS LIKE 300. AND SO IT'S ABOUT, IT'S, IT WOULD CREATE 50,000, UM, ABOUT 20 AFFORDABLE UNITS AT, AT 60% A M I ANNUALLY. SO, AND THAT WOULD BE OUTSIDE OF THE DOWNTOWN AREA. IF YOU WERE TO PLACE THOSE AFFORDABLE UNITS IN THE DOWNTOWN AREA THAT SUBSIDY REQUIRED COULD DOUBLE, WHICH COULD BE YOU'D, YOU'D HELP FACILITATE 10 UNITS IN THE DOWNTOWN AREA. WELL, I'M JUST, I GUESS THE QUESTION I'M ASKING IS ABOUT THE 25% SET ASIDE FOR AFFORDABLE HOUSING MM-HMM. , UM, HOW MUCH MONEY DOES THAT GIVE US TO ACTUALLY TRULY HAVE 650,000 ANNUALLY IN YEAR, UM, IN YEAR TWO OR THREE, DEPENDING WHEN THESE PROJECTS COME ONLINE? SO TO GET A SENSE OF SCALE, I SEE JIM PLUMMER, JIM, I'M GONNA ASK YOU TO COME UP, THINK ABOUT THIS QUESTION AS YOU'RE COMING UP. HOW MUCH MONEY DOES A P F C 'CAUSE THE PFCS JUST FOCUS EXCLUSIVELY ON AFFORDABLE HOUSING? YOU'RE, YOU'RE ALMOST GIVING A SUPPLEMENT TO THAT BY CREATING THIS AFFORDABLE HOUSING FUND. RIGHT? HOW DOES THIS COMPARE AND SCALE TO WHAT WE DO WITH THE P F C? HOW MUCH DOLLARS DO WE HAVE IN PLAY FOR AFFORDABLE HOUSING? WELL, RIGHT NOW WE, WE JUST COMMITTED TO 2 MILLION AND WE HAVE ANOTHER 3 MILLION IN THE BANK. UM, WITH THAT, ONE OF THE THINGS WE'RE DOING IS, IN OUR 80% PROGRAM, WE ARE PUTTING IN A PROVISION TO BUY DOWN FROM 80% TO 60% RENTS. AND, AND IN THAT FACT PATTERN, YOUR INCREMENT IS MUCH, MUCH SMALLER. SO IF YOU'RE BUYING DOWN FROM MARKET RATE TO 60%, IT'S A BIG NUMBER. SURE. IF YOU'RE BUYING DOWN FROM 80% TO 60%, IT'S MUCH SMALLER. I HAVEN'T RUN THAT $500,000 NUMBER. UM, BUT I WOULD PREDICT THAT WE ARE LOOKING AT TRYING TO GET TO 10% OF THE PROJECT OFF OF THE MONEY WE MAKE OFF OF THE PROJECT, WHICH IS USUALLY A HUNDRED TO $150,000 A YEAR. UM, AND SO OUR, OUR PROGRAM IS DESIGNED TO TRY AND JUST BUY DOWN THAT INCREMENTAL DIFFERENCE. UM, AND THE DOLLARS GO MUCH FURTHER. L LORI IS GIVING YOU THE COST OF BUYING IT DOWN FROM A MARKET RATE PROJECT TO A 60%. BUT IF YOU HAVE ALREADY 80% UNITS IN THERE, THE DIFFERENCE IN YOUR COST IS PROBABLY $200 A MONTH. THE DIFFERENCE BETWEEN MARKET RATE AND A 60% RENT IS OVER $1,500 A MONTH. AND SO THOSE NUMBERS ARE GONNA STRETCH FARTHER. IF WE COMBINE OUR PROGRAMS AND WE USE OUR PROGRAMS THAT, THAT WE'RE ALREADY UTILIZING AND TRY AND BUY FROM THE 80% TO THE 60%. AND WE HAVEN'T RUN THOSE NUMBERS SPECIFICALLY AGAINST WHAT LORI SHOWED US, BUT WE CAN CERTAINLY DO THAT. UM, BUT THAT'S THE PROGRAM THAT WE'RE IMPLEMENTING WITH THE PFCS ON A REGULAR BASIS. AND SO I THINK THOSE DOLLARS ARE GONNA STRETCH FURTHER AS LONG AS WE ALL WORK TOGETHER TO ACHIEVE THE GOALS THAT YOU WANT. AND YOU'VE GOT ABOUT $2 MILLION FUND IN'T THAT FOR US TO DEPLOY THESE KINDS OF STRATEGIES. YOU HAVE $3 MILLION TODAY. YES. AND THIS WILL BE A, UM, I'M SORRY, REPEAT THE NUMBER AGAIN. UH, LORI, WHAT IS THIS FUND GONNA CREATE? THE 25% SET ASIDE? WE ANTICIPATE ABOUT 650,000 A YEAR. WHAT I'M LOOKING FOR IS, IS WHAT IS GONNA BE THE, THE AMOUNT OF MONEY WE HAVE TO REALLY KIND OF DRIVE SOME OF THESE PROJECTS DOWN TO AFFORDABILITY. AND I, IF I'M LOOKING OVER AT THE P F C, IT'S ABOUT 3 MILLION. YOU'RE DOING PROJECTS ALL OVER THE CITY, NOT JUST IN THE DOWNTOWN, BUT YOU MIGHT BE ABLE TO PLAY IN THIS SPACE, I THINK. AND SO LEMME JUST WRAP UP. I, I THINK THAT I WOULD FEEL VERY PROUD THAT IN FIVE OR SIX YEARS, JUST USE THE EXAMPLE FROM 2012 TO 2018, THAT IN SIX YEARS FROM TODAY, UM, WE DIDN'T SUBMIT TO EVERY ARGUMENT ABOUT IT. NOT PENCILING OUT. WE DIDN'T SUBMIT TO EVERY ARGUMENT THAT IT'S IMPOSSIBLE. WE DIDN'T SUBMIT TO EVERY ARGUMENT THAT THE NUMBER IS JUST TOO HIGH AND GOT AT LEAST [01:25:01] A PROJECT DONE THROUGH, THROUGH A COMBINATION OF CCHI, THROUGH A COMBINATION OF P F C. AND WE'RE GONNA VOTE ON ONE OF THOSE TOMORROW THAT LOOKS LIKE THAT. I'D LIKE TO SEE A PROJECT LIKE THAT IF IT WOULD HELP ME SLEEP AT NIGHT. IF WE ACTUALLY PUT IT IN AS, AS A GOAL THROUGH THE CIP THAT WE'LL GET, YOU KNOW, ONE PROJECT THAT'S, YOU KNOW, UH, 300 UNITS, THAT 150 OF THEM, THAT A HUNDRED OF THEM ARE SOME BREAKDOWN OF 60% A M I, LIKE, I, I WOULD FEEL A LOT BETTER NOT ONLY ABOUT THE SPRAWL VERSUS URBAN DENSITY CONVERSATION, WHICH IS GONNA BE HELPFUL TO TAKE BACK TO PEOPLE ASKING QUESTIONS ABOUT THAT. I, I WOULD FEEL MUCH MORE COMFORTABLE GOING BACK TO THEM AND SAY, AND WE'RE ALSO MAKING SURE THAT YOUR CHILDREN WHO ARE GOING TO SCHOOL, WHO ARE AT U T S A, WHO ARE FIRST YEAR CPAS CAN AFFORD TO LIVE SOMEWHERE, UH, IN THE DOWNTOWN BECAUSE THERE'S A PROJECT THAT HAS AT LEAST 150 UNITS, UH, THAT THEY MIGHT BE ELIGIBLE FOR VERSUS ZERO. 'CAUSE I THINK THAT'S WHAT WE MARCH TOWARDS IF WE PASS A CIP WITHOUT THOSE KINDS OF GOALS IN MIND. BECAUSE IF, IN MY OWN OPINION, I, I DON'T, I DON'T WANT TIER TWO AT ALL, AND I WANNA JUST GO AFTER PUTTING ANY RESOURCES WE HAVE AS FINITE AS POSSIBLE IN, IN TIER ONE. OR SAY, IF YOU'RE, IF YOU'RE NOT WILLING TO PLAY BALL AT 60%, YOU'RE NOT, WE'RE JUST NOT INTERESTED IN THE PROJECT. THAT'S WHAT I WOULD SUGGEST. UH, I'LL LEAVE IT UP TO MY COUNCIL COLLEAGUES WHO ARE STUDYING THIS AS WELL, AS COMPLICATED AS IT IS. BUT I JUST KNOW THAT I, I WANT TO FEEL LIKE THE, THE FINGERPRINTS WE'RE PUTTING ON THIS AS A COUNCIL ARE NOT GONNA LEAD US TO, TO FEEL ASHAMED OF ANY OUTCOME THAT WE COULDN'T PREDICT. BUT I THINK SOME OF THE OUTCOMES HAVE BEEN POSITIVE FOR US TO THIS POINT. THEY'VE BEEN POSITIVE, EVEN, EVEN IN THAT WE SLOWED IT DOWN A LITTLE BIT TO MAKE SURE THAT WE UNDERSTAND THAT THESE PROJECTS DON'T GET OUTTA HAND. AND, AND I THINK YOU'VE DONE THAT WITH THIS OPPORTUNITY HERE. UH, LORI, YOU'VE SAID WE'RE NOT GONNA DO THESE PROJECTS THAT CAP OUT AT 350,000, UH, UM, PER PROJECT, I THINK IS THE INCENTIVE THAT YOU'VE DESCRIBED. SO, UH, I'M HAPPY THAT WE'RE TALKING ABOUT IT. I DID THINK THAT IT WAS WAY PREMATURE THAT WE WERE LOOKING AT THIS LAST WEEK WITHOUT HAVING THIS LEVEL OF DISCOURSE ON IT, BECAUSE IT WILL BE SOMETHING THAT WILL SORT OF KICK OURSELVES IF WE LOOK BACK AND SAY WE DIDN'T REALLY GET IT RIGHT, UH, ON THE SECOND ROUND. BECAUSE THIS IS AN OPPORTUNITY FOR US, NOT JUST TO ENGAGE THE COMMUNITY OUTSIDE, BUT TO ENGAGE OUR INTELLECT AS POLICY MAKERS TO UNDERSTAND THAT, UM, THAT THESE HOUSING POLICIES ARE, ARE IMPORTANT. AND IF YOU DON'T SET OUT MENUS WHERE THE CARROTS AND STICKS DON'T ACTUALLY DRIVE YOUR OUTCOMES, THEN, THEN YOU GET, UM, SOMETHING THAT OTHERWISE WOULD'VE HAPPENED AND YOU END UP INCENTIVIZING PROJECTS THAT DIDN'T NEED TO BEGIN WITH. AND THAT'S MY BIGGEST CONCERN. SO, UH, MAYOR, I DON'T THINK I HAVE ANY OTHER QUESTIONS, BUT I APPRECIATE THE AMOUNT OF TIME YOU'VE, YOU'VE ALLOWED ME TO JUMP IN ON THIS. GREAT. THANK YOU. COUNCILMAN SALANI, COUNCILMAN COURAGE. THANK YOU, MAYOR. UM, THERE WAS SOMETHING THAT YOU MENTIONED, WELL, UH, THAT CAUGHT MY ATTENTION. YOU TALKED ABOUT THE STAKEHOLDER INPUT, UH, WHO REPRESENTED THE TAXPAYERS AT THOSE MEETINGS BECAUSE THEY'RE STAKEHOLDERS. YES. AND SO THE NEIGHBORHOODS, THE PROPERTY OWNERS OR THE HOMEOWNERS, THEY REPRESENTED THE TAXPAYERS. WELL, I KNOW THAT YOU WERE TALKING ABOUT WHETHER OR NOT, UH, CERTAIN INCENTIVES WOULD BE BUILT IN THEIR NEIGHBORHOODS, BUT DID THEY TALK MUCH ABOUT, YOU KNOW, THE TAX CONSEQUENCES OF BEING OR PAYING FOR THESE INCENTIVES? NO. WAS THAT PART OF THEIR CONVERSATION? IT WAS NOT PART OF THEIR CONVERSATION. OKAY. UH, ONE OF THE THINGS I'D LIKE TO SEE, SO I UNDERSTAND IT BETTER, IS WHEN WE TALK ABOUT AFFORDABLE UNITS, AND WE'RE TALKING IN SOME OF THESE INCENTIVES TO HAVE AFFORDABLE UNITS OF 80% OR 60% OF A M I, YOU KNOW, WHAT IS THE ACTUAL PRICE FOR A ONE BEDROOM UNIT AT 60%, UH, OR A TWO BEDROOM UNIT, UH, AT 60% OR, UH, A TWO BEDROOM UNIT AT 80% OR THINGS LIKE THAT. AND I'M NOT ASKING FOR YOU TO GIVE THOSE RIGHT NOW, BUT I THINK THOSE ARE THE, SOME OF THE, THE FIGURES THAT I, FOR ONE, WOULD LIKE TO SEE, TO UNDERSTAND WHAT THE VALUE OF AFFORDABILITY REALLY IS. UH, YOU KNOW, I'VE SEEN NUMBERS THAT SAY, WELL, THE AVERAGE VALUE IS SO AND SO, BUT WHAT IS IT REALLY GONNA COST SOMEBODY IF THEY'RE GETTING A ONE BEDROOM OR A TWO BEDROOM OR A THREE BEDROOM OR WHATEVER? AND I'D LIKE TO SEE MORE OF THAT COME OUT IN SOME OF THE PRESENTATIONS WERE MADE. YOU SAID SOMETHING ELSE EARLIER AND, AND I MIGHT'VE MISQUOTED YOU, BUT I THOUGHT YOU SAID, WILL ALWAYS NEED A SUBSIDY TO DOWNTOWN HOUSING DEVELOPMENT. DOES THAT INCLUDE MARKET RATE DEVELOPMENT? YES. AND SO WE'LL ALWAYS NEED TO SUBSIDIZE MARKET RATE DEVELOPMENT RIGHT NOW. WE NEED TO SUBSIDIZE MARKET RATE HOUSING DEVELOPMENT IN THE DOWNTOWN CORE, AND YOU MAY NEED TO SUBSIDIZE IT. AND THE TIER TWO, DEPENDING ON WHERE THE PROPERTY IS, BUT THE LAND VALUES ARE HIGHER, AS DAVID MENTIONED, CONSTRUCTION COSTS ARE GOING UP. UM, SO THE COSTS ARE INCREASING, BUT THE RENTS ARE STAYING AT THE SAME. ANYWHERE FROM A DOLLAR 71 DAVID'S EXAMPLE, OR $2, I DON'T KNOW. I'VE SEEN SOME RENT SAYING A $3,000 A MONTH RENT. SO I DON'T [01:30:01] KNOW HOW THEY'RE STAYING THE SAME. MM-HMM. , UH, YOU KNOW, I, I DON'T, I, CAN I ADD TO THAT SINCE IT WAS, AS I MENTIONED, THERE WILL ALWAYS, AL ALWAYS IS A, A OF COURSE, NOT ALWAYS, I WOULD SAY, BUT, BUT THERE ARE PROJECTS THAT WILL FUNCTION WITHOUT INCENTIVES. I I MENTIONED THE SELLERS AS AN EXAMPLE. WE'RE AT THE HIGH END OF THE MARKET RIGHT NOW AT THIS MOMENT. I THINK LIKELY AS WE MOVE FORWARD, AS, AS THE CITY GROWS AND EVOLVES, I DOUBT YOU'LL SEE A SITUATION WHERE IT BECOMES SOMEHOW AFFORDABLE TO LIVE IN THE URBAN CORE. I MEAN, IF YOU LOOK AT CITIES ACROSS AMERICA THAT HAVE HAD MORE ADVANCED URBAN DEVELOPMENT, IT, IT TENDS TO GET MORE EXPENSIVE OVER TIME. SO A LOT WILL DEPEND ON WAGES AND WHAT HAPPENS TO PEOPLE'S EARNINGS. 'CAUSE THAT IS THE DETERMINANT OF AFFORDABILITY. WELL THEN IT SOUNDS LIKE WHAT WE'RE SAYING IS WE'RE, WE'RE BUILDING AN URBAN CORE THAT'S GONNA BE UNATTAINABLE FOR THE AVERAGE PERSON IN SAN ANTONIO TO LIVE IN, WHO RIGHT NOW EARNS A $58,000 A YEAR INCOME OR SOMETHING LIKE THAT. IT'S ONLY GOING TO BE FOR THE PEOPLE WHO HAVE THE HIGHEST LEVEL OF INCOME AFFORD TO LIVE THERE. SO I, I WOULDN'T SAY THAT, I WOULD SAY THAT YOU WILL HAVE, UH, THE CIP IS NOT INTENDED TO BE AN AFFORDABILITY PROGRAM BY ITSELF. YOU WILL NEED TO DO OTHER THINGS TO BUILD A DOWNTOWN THAT SPEAKS TO IT. AND THEN YOU HAVE TO ASK YOURSELF, THE POLICY QUESTION IS, HOW MUCH ARE YOU PREPARED TO INVEST AS A, AS TAXPAYERS TOWARDS HAVING IT BE MORE AFFORDABLE? SO ARE YOU GONNA PUT YOUR AFFORDABLE UNITS IN YOUR MOST HIGH COST DISTRICT? THAT'S A QUESTION. TAKE IT TO THE TAXPAYERS. I CAN, I DON'T THINK THE TAXPAYERS, PROBABLY THE VOTERS ARE READY TO STAND UP FOR THAT. BUT WHO AM I TO SAY NO, I I, I WOULD AGREE WITH WHAT YOU'RE SAYING THERE. I, I GUESS I'M JUST, WHEN I HEAR WE'RE ALWAYS GONNA HAVE TO SUBSIDIZE DOWNTOWN HOUSING, I WOULD IMAGINE THAT PEOPLE CAN BUILD AT, AT MARKET RATE AND CHARGE WHAT THEY WANT AND PEOPLE, SOME PEOPLE ARE GONNA BE WILLING AND ABLE TO MOVE IN AND LIVE THERE. WE SHOULDN'T HAVE TO SUBSIDIZE EVERYTHING. BUT I, I'M NOT SAYING THIS TO SAY THAT I, I DISAGREE WITH THE EXTENSION, UH, OF WHAT'S BEING PROPOSED TODAY FOR, FOR TWO MORE YEARS. FOR US TO DO AN ADDITIONAL EVALUATION IN, IN GREATER DETAIL ON WHAT ARE THE RESULTS WE'VE BEEN GETTING FROM WHAT WE'VE ALREADY INCENTIVIZED AND WHAT'S BEING BUILT. AND ALSO TO, LET US SEE, TWO YEARS FROM NOW, HOW HOT IS THAT MARKET? HOW MANY PEOPLE ARE WILLING TO GO IN AND BUILD JUST AT MARKET RATE, UH, BASED ON THE COST OF CONSTRUCTION AND BASED ON THE COST OF LAND, AND BASED ON HOW MUCH PEOPLE MAY BE WILLING TO PAY FOR MARKET RATE WITHOUT SUBSIDIES. AND, AND I THINK THEN, AND THAT TIME, WE NEED TO EVALUATE HOW MUCH ARE WE WILLING TO INCENTIVIZE TO MAKE AFFORDABLE HOUSING AVAILABLE IN THE INNER CITY COURT. AND I, I THINK IT KIND OF GOES ALONG A LITTLE BIT WITH, UM, WITH WHAT MY FELLOW COUNCILMAN MR. SAL WAS SAYING, IS MAYBE WE DON'T NEED TO DO ANYTHING IN TIER TWO. MAYBE WE JUST FOCUS ON TIER ONE. UH, OR MAYBE WE PUT MORE INCENTIVES INTO TIER TWO, WHICH IS A LITTLE CHEAPER. UH, AND, AND THAT MAY BE WHERE WE, WE DON'T BOTHER INCENTIVIZING TIER ONE ANYMORE. WE JUST INCENTIVIZE TIER TWO WHERE WE THINK IT'LL BE MORE AFFORDABLE. 'CAUSE THE LAND ISN'T QUITE AS EXPENSIVE OR SOME OF THOSE OUTLYING AREAS. SO TWO YEARS FROM NOW, WE MAY HAVE A BETTER VIEW OF THAT. ONE THING THAT YOU MENTIONED ON PAGE 12, YOU TALKED ABOUT THE REPORT BY, UH, BY MR. NIVAN, I BELIEVE IT WAS. AND, UM, ONE THING IT SAID WAS, CIP ADDS OVER 8,000 JOBS TO THE SAN ANTONIO MARKET. AND IT, IT SEEMED ODD TO ME. I CAN UNDERSTAND 8,000 PEOPLE COMING TO MOVE THERE, BUT I CAN'T UNDERSTAND IT MEANS 8,000 PEOPLE COMING FROM ANOTHER CITY TO COME LIVE HERE. UH, I'M, I'M JUST SAYING WHAT I, I'D LIKE TO GET A, A COPY OF MR. NIVENS, UH, IMPACT REPORT SO I CAN UNDERSTAND IT A LITTLE BIT MORE MYSELF. SO I'D APPRECIATE IT IF YOU COULD PUT THAT OUT. UM, ON PAGE 20, YOU, UH, MENTIONED, UM, INFRASTRUCTURE GRANT. MM-HMM. IN OTHER WORDS, IT'S A GRANT, IT'S A GIFT. IT DOESN'T HAVE TO BE REPAID. AND IT WAS FOR PROJECT RELATED INFRASTRUCTURE IMPROVEMENTS. NOW, IF THESE PROJECTS ARE IN A TOURS, AREN'T THEY ALREADY GONNA GET INFRASTRUCTURE IMPROVEMENTS? WHY WOULD WE BE GIVING THEM ANOTHER GRANT FOR INFRASTRUCTURE IMPROVEMENTS? THERE IS NO TURS MONEY AS PART OF THIS POLICY. AND SO WHAT WE'RE SAYING IS THAT IF YOU'RE BUILDING A PROJECT IN TIER ONE AND THAT HAS AFFORDABILITY IN IT, YOU WOULD GET A CERTAIN AMOUNT OF FUNDING TO HELP WITH INFRASTRUCTURE FOR THAT PROJECT. SO NONE OF THESE PROJECTS CAN APPLY FOR TOURIST FUNDING. THEY COULD, BUT THEN YOU'D, YOU'D BE PAYING TWO TIMES FOR INFRASTRUCTURE. BUT THIS WOULD, BUT THIS IS ONLY APPLYING TO THE AS OF RIGHT POLICY. SO IF IT WERE TO GO FORWARD TO THE T'S MONEY AS WELL, THAT WOULD HAVE TO GO TO CITY COUNCIL AND WE'D BE ABLE TO PRESENT, WE WOULD LOOK AT THAT PROJECT. SO WE MIGHT SAY, WELL, WE'RE GONNA GIVE [01:35:01] THEM GRANT MONEY FOR INFRASTRUCTURE AT X AMOUNT OF DOLLARS. SO WE MIGHT DECIDE THEY DON'T NEED TURS MONEY, OR MAYBE CORRECT. THE TURS BOARD WOULD SAY, WELL, THEY DON'T NEED AS MUCH. WE'LL GIVE 'EM A SMALLER AMOUNT, BUT OKAY. I JUST WANNA MAKE SURE WE'RE NOT DOUBLE DIPPING INTO AN AREA, ESPECIALLY WHEN YOU'RE TALKING ABOUT LITERALLY A GRANT MM-HMM. THAT DOESN'T HAVE TO BE PAID BACK. OKAY. UM, YOU KNOW, ON PAGE 23 WHEN YOU WERE TALKING ABOUT THESE UNITS, UH, AND, AND THE COST TO GET TO A YIELD OF 7%, YOU KNOW, YOU, YOU ARE USING TIER ONE PROJECTS AND TIER TWO PROJECTS AT 275 UNITS AND 325 UNITS. MM-HMM. ARE THOSE THE AVERAGES OF WHAT HAS BEEN BUILT IN THOSE TIERS? NO, THAT'S JUST BECAUSE THOSE ARE PRETTY LARGE AMOUNT OF UNITS THAT'S SAY, YOU KNOW, A PROJECT SIZE OF MAYBE TWO ACRES IN TIER ONE, AND THEN A LITTLE BIT LARGER IN TIER TWO WITH A LARGER GARAGE. YEAH, BECAUSE I, I, WHAT IS THE AVERAGE SIZE OF THESE UNIT, THESE, UH, UNITS THAT ARE BEING BUILT? IT, IT VARIES ANYWHERE FROM, IT COULD BE 500 SQUARE FEET TO 1200 SQUARE FEET, AND THEN WITHIN THESE IS AN APPROPRIATE ONE BEDROOM, TWO BEDROOM, THREE BEDROOM OR STUDIO. WELL, I KNOW YOU, YOU GAVE AN EXAMPLE OF ONE PARTICULAR PROJECT THAT HAD 200 UNITS, AND YOU SAID TO REACH 7%, IT WOULD COST TWO AND A HALF MILLION. MM-HMM. . OKAY. SO IF WE WERE TALKING ABOUT A HUNDRED UNIT COMPLEX, IT MIGHT ONLY COST US A MILLION MORE TO INCENTIVIZE THOSE TO GET 'EM TO 60% A M I INSTEAD OF 80% A M I. THAT WAS THE, WE WERE REFERRING TO THE BROADWAY JONES PROJECT, RIGHT? SO 280 UNITS, IT WAS ALREADY RECEIVING CIP INCENTIVES SUCH AS A SAS P WAIVERS, THE CITY FEE WAIVERS, A TS GRANT, AS WELL AS A COMPLETE TAX EXEMPTION, A HUNDRED PERCENT TAX EXEMPTION. AND WE WERE SAYING ON TOP OF ALL OF THOSE INCENTIVES, RIGHT, YOU NEEDED TO PAY ADDITIONAL TWO AND A HALF MILLION TO JUST GET 10%. OKAY. I, I GUESS I MISHEARD YOU. I THOUGHT IT SAID IT WAS 200 UNITS, BUT IT'S 280, SO IT'S AS LARGE AS ONE OF THESE. SO, SO I UNDERSTAND THAT. UM, BUT THE AVERAGE OF, OF MANY OF THESE, OR IF IT'S A SMALLER UNIT, IT'LL TAKE LESS TO BUY THAT DOWN. MM-HMM. AND, AND WE'RE AS LIKELY TO GET A HUNDRED UNIT COMPLEXES AS WE ARE TO GET 325 IN SOME OF THESE PLACES. NOW, WHAT I'M GETTING TO IS MAYBE IT IS WORTH THE INVESTMENT OF AN EXTRA 1 MILLION IN INCENTIVES. THE THING IS, WHERE DOES THAT MONEY COME FROM? AND THAT'S WHERE I THINK PUTTING ASIDE 25% OF THE TAX INCREMENT INTO A FUND THAT CAN HELP SUBSIDIZE THAT LATER ON. AND I, I THINK WE'RE GONNA BE LOOKING AT OTHER WAYS OF HAVING ADDITIONAL FUNDS AVAILABLE, UH, TO INCENTIVIZE SOME OF THESE SO WE CAN BUY IT DOWN AS PART OF, YOU KNOW, WHAT WE'D LIKE TO DO IN THE FUTURE. SO HOPEFULLY WE'LL BE ABLE TO DO SOME OF THAT. UM, I GUESS I'LL, I'LL GO AHEAD AND STOP THERE. I THINK YOU'VE ANSWERED MOST OF THE QUESTIONS. THANK YOU. THANK YOU, JEFF. THANK YOU, COUNCILMAN, COURAGE. COUNCILMAN P UH, LORI, GREAT JOB AS ALWAYS. UH, THIS IS IMPRESSIVE WORK. REALLY. I DON'T HAVE MUCH TO SAY, UH, OTHER, OTHER THAN A QUESTION. MY UNDERSTANDING IS, IS THAT, UM, FIRE DEPARTMENT OR C P S REQUIRE LINES TO BE BURIED, RIGHT? FOR CERTAIN PROJECTS BECAUSE OF EITHER PROXIMITY TO OTHER BUILDINGS OR PROXIMITY TO OTHER LINES. UM, AND TIER TWO PROJECTS, UH, AREN'T GETTING INFRASTRUCTURE GRANTS. SO WOULD INFRASTRUCTURE GRANTS PAY FOR THAT KIND OF LINE BURIAL? IT COULD. AND WHAT, IT'S IMPORTANT TO NOTE THAT TIER TWO WOULD NOT BE ELIGIBLE FOR THE AZER BRIDE INFRASTRUCTURE GRANT. OFTENTIMES WE GO TO A TOURS TO REQUEST INFRASTRUCTURE DOLLARS, AND THAT GOES TO CITY COUNCIL. AND SO THIS IS, WE RECEIVE ABOUT $2 MILLION ANNUALLY THROUGH THE ANNUAL BUDGETING PROCESS. THIS TOUR GRANT WOULD COME THROUGH THAT POT OF MONEY. HOWEVER, LIKE YOU'LL SEE TOMORROW'S COUNCIL ITEM FOR THE MUSEUM, WHICH LOFTS, THERE'S $2.3 MILLION IN TOUR DOLLARS GOING TO SUPPORT INFRASTRUCTURE AND OTHER COSTS ASSOCIATED WITH THAT. SO IT JUST MEANS IT'S NOT ELIGIBLE FOR THE AS OF RIGHT INCENTIVE, BUT WE COULD GO LOOK AT OTHER FUNDING SOURCES AND COME TO COUNCIL. SO FOR ALL THOSE INFRASTRUCTURE GRANTS, THOSE WOULD COME TO COUNCIL EVERY TIME IF IT'S NOT AS PART OF THE CENTER CITY HOUSING IN SANTA POLICY. BUT, BUT AS THE, AS OF RIGHT GRANTS, THEY, THEY'RE JUST AS OF RIGHT. YES. THEY AUTOMATICALLY CHECK THE BOX AND THEY GET THE GRANT. YES. OKAY. UM, THE OTHER QUESTION I HAVE, AND THIS IS MORE SORT OF MACRO, IS WE, WE DON'T SET RENT RESTRICTIONS, RIGHT? I MEAN, WE, WE'RE ONLY SETTING THE A M I MIX. NO, OUR POLICY, WE ARE GOING FROM, IT'S, IT'S INCOME AND RENT RESTRICTED. OKAY. SO YOU HAVE TO MEET A CERTAIN INCOME LEVEL, AND THEN WE'RE RESTRICTING THAT AT THAT RENT AS WELL. OKAY. [01:40:01] SO THAT IS SOMETHING DIFFERENT THAN WHAT YOU WOULD SEE IN A P F C. THANK YOU. OH, OKAY. WELL, THANK YOU, LARRY. THANK YOU, MAYOR. THANK YOU. AND I'M NEXT. UM, SO I WANNA SHIFT GEARS RIGHT NOW AND FIRST SAY THAT, UM, I WANNA START WITH THE CITY FEE WAIVER PROGRAM. AND I WANT TO, UM, TALK ABOUT HOW I AM EXCITED TO SEE THOSE CHANGES. AND I REALLY APPRECIATE ALL OF THE, UM, INPUT THAT ALL OF THE STAKEHOLDERS CAME INTO TO, CAME IN, CAME INTO TALK ABOUT THIS, TO REALLY LOOK AT THOSE FOUR CATEGORIES, AFFORDABLE HOUSING, OWNER OCCUPIED REHAB, HISTORIC REHAB, AND BUSINESS DEVELOPMENT LEGACY BUSINESSES. BECAUSE I THINK THIS IS THE FIRST TIME WE'RE ACTUALLY GOING TO BE REALLY ABLE TO OPEN UP OUR CITY FEE WAIVER PROGRAM OR OUR ICRP, UH, FREE WAIVER PROGRAM TO SMALL BUSINESSES OF SORTS AND REALLY BE ABLE TO, TO, UM, WELL LIKE MEDIUM, UH, BUSINESSES TO REALLY COME IN. WE'RE GONNA FOCUS ON THE LOCAL. SO I'M REALLY EXCITED ABOUT THAT AND TO SEE WHAT, UM, IS GOING TO HAPPEN HERE. AND I DO APPRECIATE Y'ALL TAKING ALL OF THAT INPUT AND LOOKING AT, UM, THAT IT WOULD NOT, UH, THAT TYPE TWO SHORT TERM RENTALS WOULD NOT BE ELIGIBLE FOR THIS, BECAUSE WE WANNA MAKE SURE THAT THIS IS GOING TO BE PART OF THE PROCESS, UM, FOR THOSE OWNER-OCCUPIED REHAB. SO I THINK THAT'S EXTREMELY IMPORTANT HERE AND, UM, HOW IT WAS A NEEDS-BASED STRATEGY. AND I THINK THAT'S IMPORTANT. SO I WANNA COMMEND YOU FOR THAT, AND I'M REALLY EXCITED ABOUT THAT. AND AS WE MOVE FORWARD WITH OUR CITY FEE WAIVER PROGRAM AND THE GOALS. UM, MOVING ON TO THE CCHI P YOU ALL, WE KNEW WHEN WE HAD OUR RESOLUTION WITH THE HOUSING TASK FORCE, WE KNEW WE WERE GOING TO HAVE REALLY GOOD POLICY DISCUSSIONS. AND THIS IS A GOOD POLICY CONVERSATION. WE KNEW IT WASN'T GONNA BE EASY, AND WE KNEW IT WAS GOING TO TAKE, UM, BOLD IDEAS AND, UM, DIFFERENT STRATEGIES. BUT I ALSO WANNA REMIND EVERYONE, AS WAS MENTIONED, THIS IS OUR FIRST ATTEMPT OR FIRST TIME LOOKING AT THIS SINCE IT WAS FIRST STARTED. SO I THINK WE'VE HIT A LOT OF GOOD MARKS HERE. UM, I, I THINK WE'VE REALLY, CHA CHANGING THE BOUNDARIES IS EXTREMELY IMPORTANT. 'CAUSE WE KNEW WE DIDN'T NEED IT ALL THAT AREA ANYMORE BECAUSE IT HAS BEEN, UM, THE MARKET HAS BEEN, UM, HELPING ITSELF IN THAT AREA. SO I WANNA THANK YOU FOR THAT IN TAKING THOSE ISSUES IN, AND THAT IT WOULDN'T BE AS A RIGHT IN SOME AREAS, BUT THIS IS THE FIRST TIME WE'RE REVIEWING THIS. SO I THINK THIS IS A GOOD, UM, BLUSH AS WE'RE MOVING FORWARD. SECONDLY, I AM, I WOULD NOT BE SUPPORTIVE OF JUST MAKING THIS A ONE YEAR. I THINK WE DO NEED TWO YEARS, BECAUSE EVEN IN THE P F C WORLD, LOOKING AT THE FINANCING AND HOW LONG IT CAN TAKE, CAN GET FINANCING, AND THEN HOW LONG IT CAN TAKE TO GET UP AND ALL OF THE CLEARANCES FROM THE CITY THAT PEOPLE NEED TOO. UM, WE HAVE TO LOOK AND BE REFLECTIVE ON OURSELVES. IT COULD TAKE A WHILE TO GET THINGS GOING. SO TWO YEARS I THINK IS A GOOD WAY TO MEASURE THIS. AND THE CITY, I THINK WHAT WOULD BE GOOD IF WE HAD THIS TWO YEARS, THAT IF EVERY MAYBE SIX MONTHS, WE COULD HAVE SOMETHING COMING BACK TO ONE OF OUR COUNCIL COMMITTEES OR BACK TO A B SESSION JUST TO SEE, OKAY, HOW IS IT WORKING? WHO IS COMING IN FOR AS OF RIGHT, WHO IS COMING IN IN TIER ONE, WHO IS COMING IN IN TIER TWO? SO WE CAN REALLY TAKE A LOOK AT THAT, UM, AS A WHOLE COUNCIL TO SEE HOW IS IT WORKING, HOW IS IT NOT WORKING, WHERE DO WE NEED TO TWEAK? AND I THINK THAT WOULD BE HELPFUL IF YOU COULD COME BACK AND REPORT BACK TO THE COUNCIL MEMBERS. UM, I AM APPRECIATIVE OF THIS WHOLE NEIGHBORHOOD PRESERVATION AND REQUIRING REZONING PROJECTS, REQUIRING REZONING FROM SINGLE FAMILY RESIDENTIAL ARE NOT ELIGIBLE. I THINK THAT HAS BEEN VERY PROBLEMATIC IN THE PAST. SO I'M GLAD THAT WE'RE CHANGING THAT AS WELL. UM, AND THEN MOVING FORWARD, YOU KEPT TALKING ABOUT IN THE SETTING CENTER CITY AFFORDABLE HOUSING FUND, YOU KEPT SAYING, UM, WE LOOKED, WE LOOKED, AND WHEN YOU SAY WE MM-HMM. , WHO, WHO DID YOU MEAN? I'D SAY COLLECTIVELY THE CENTER CITY DEVELOPMENT OPERATIONS DEPARTMENT, AND SEVERAL OF OUR STAKEHOLDERS. OKAY. UM, THE NONPROFIT HOUSING PROVIDERS, UM, DAVID, ADAM, AND WHO HELPED US AND U L I MEMBERS HELPED US, UM, SEVERAL STAKEHOLDERS WERE MEETING REGULARLY ON THIS. AND SO I SAY WE COLLECTIVELY, I MEAN THE STAKEHOLDERS THAT I MENTIONED EARLIER. OKAY. AND I WAS ASKING, UM, JUST WANTING TO KNOW, UM, [01:45:01] OUR END GOAL HERE IS WITH THE DENSITY. AND I THINK RIGHT NOW WE ARE TRYING TO DO THAT BALANCING ACT RIGHT NOW, THE, THE DENSITY CONVERSATION AND THE SPRAWL CONVERSATION, BUT THAT IT'S, YES, PEOPLE COMING IN, BUT IT'S ALSO THE PEOPLE WHO ARE, WHO LIVE HERE NOW, WHO ARE GRADUATING FROM HIGH SCHOOL AND THEN GONNA GRADUATE FROM COLLEGE IN THE NEXT 20 TO 40 YEARS, WHO ARE GOING TO STAY AND CREATE THEIR OWN FAMILY. SO WHERE ARE THEY GOING TO GO IN THE CITY? AND WE HAVE TO PROVIDE ALL LEVELS OF HOUSING AFFORDABILITY, UM, ALL OVER, FROM ALL LEVELS, FROM MARKET RATE TO ALL OF THE, UM, THE, UM, AREAS THAT WE NEED FOR, UM, HOUSING FOR ALL OF SAN ANTONIO. SO, UM, YOU KNOW, I THINK IT'S IMPORTANT THAT WE DO MAINTAIN THE, THE CUL, THE, UM, THOSE THAT ARE CURRENTLY LIVING IN THE DOWNTOWN AREA AND WHO ARE IN, UM, AFFORDABLE HOUSING, UH, IN, IN MULTIFAMILY UNITS. I THINK WE NEED TO MAKE SURE THAT THEY CAN DEFINITELY STAY IN THE COMMUNITY AS WELL. UM, AND I'M GONNA REITERATE THIS TO YOU BECAUSE I ALWAYS TALK ABOUT THIS WITH YOU. UM, I DON'T KNOW WHAT'S HAPPENING STILL WITH THE ROBERT ELY HOTEL AND THOSE APARTMENTS THERE, BUT I KNOW THAT WE NEED TO MAKE SURE THAT THOSE WHO ARE LIVING THERE CAN STAY IN THAT AREA AS WELL, BECAUSE THEY'RE ONE OF THE LAST, UH, GROUPS STANDING IN THE, THE DOWNTOWN AREA. SO WE WANNA MAKE SURE THAT THEY'RE PART OF THE FABRIC OF OUR DOWNTOWN. SO I WANNA MAKE SURE THAT WE CAN, UM, HAVE SOME ANSWERS FOR, OR, UM, SAFEGUARDS FOR THAT COMMUNITY THERE. AND, UM, SO ALL, ALL OF THAT TO SAY THANK YOU FOR ALL THE WORK. THANK YOU FOR ALL THE STAKEHOLDERS, UH, WHO LIVE IN THE AREA. I, I MEAN ALL THE STAKEHOLDERS WHO WERE PART OF, OF THE, THE CONVERSATION AND, UM, HOW THIS IS GOING TO BE SOMETHING VERY HELPFUL FOR US. AND IT'S A HELPFUL FIRST STEP IN THIS WHOLE POLICY CONVERSATION WITH OUR, UM, HOUSING TASK FORCE. SO MAYOR, I WOULD LIKE TO, UM, I'M LOOKING FORWARD TO SEEING THIS MOVE FORWARD, AND THIS IS BY NO MEANS NECESSARILY PERFECT, BUT AGAIN, WE DON'T KNOW WHAT PERFECT WOULD LOOK LIKE, AND I THINK WE'LL HAVE SOME TRIAL AND ERROR HERE, BUT I THINK WE'RE AT A GOOD POINT. SO THANK YOU, MAYOR. THANK YOU. COUNCILWOMAN GRO. COUNCILWOMAN SANDOVAL. THANK YOU, MAYOR. UH, THANK YOU FOR THE PRESENTATION. UM, I WANNA ECHO SOME OF THE EARLIER COMMENTS MADE BY, BY THE MAYOR AND, AND COUNCILMAN SALANA. UM, WHEN THE PROGRAM WAS DESIGNED, ORIGINALLY YOU WERE HERE, BUT I, I WASN'T HERE. UM, I THINK WE WERE IN A DIFFERENT PLACE. UH, THE MARKET WAS CERTAINLY, UH, DIFFERENT. THE HOUSING MARKET ACROSS SAN ANTONIO WAS, WAS DIFFERENT. AND, UH, ALSO I THINK WE, AS A POLICY BODY, I THINK WE WERE DIFFERENT AS WELL. UM, WE HADN'T, UH, APPROVED AN EQUITY BUDGET AND WE HADN'T HAD THE STUDY TURNED IN THE, UH, THE MAYOR'S POLICY, UH, HOUSING POLICY, TASK FORCE STUDY CONDUCTED. SO I THINK, UM, THAT HAS TO REALLY COLOR WHERE WE'RE GOING FORWARD ON, ON THIS POLICY. AND I KNOW YOU OPENED UP BY TELLING US THAT THIS WASN'T A HOUSING POLICY, THAT THIS WAS AN ECONOMIC DEVELOPMENT POLICY. AND I THINK, UM, YOU KNOW, IT MAY BE AN ECONOMIC DEVELOPMENT POLICY, BUT NONETHELESS IT'S ABOUT BUILDING HOUSING. SO WE, WE CAN'T ACT LIKE IT'S NOT A, A HOUSING POLICY. I THINK WE, WE SHOULD PROBABLY BE, UM, KIND OF FACE THAT HEAD ON IT IS, IT IS A HOUSING POLICY. UM, I, WITH THOSE CHANGES IN MIND AND THE CHANGE IN DIRECTION OF THE, OF THE POLICY OF THE COUNCIL, I, I DO THINK THE PROPOSAL TODAY IS HEADED IN THE RIGHT DIRECTION. UM, I'M NOT CONVINCED THAT WE'RE WE'RE THERE YET, OR WHERE I WOULD LIKE TO SEE IT. UM, I DO HAVE SOME CONCERNS ABOUT IT STANDING UP TO PUBLIC SCRUTINY. LIKE THE, THE COUNCILMAN SAID, ULTIMATELY, UH, THE PUBLIC HAS TO BE, UH, OKAY WITH IT TOO, OR IT HAS TO, WE HAVE TO BE ABLE TO, TO SELL IT TO THEM AS, AS WELL. SO, UM, I DON'T REALLY FEEL I HAVE THE TOOLS TO DO THAT RIGHT NOW. UM, I DO HAVE SOME, SOME DETAILED QUESTIONS. I'LL, I, I'LL ASK A FEW OF THEM, BUT I HAVE A LOT. SO I'LL, I'LL PROBABLY FOLLOW UP, UH, ON EMAIL WITH, WITH SOME OF THEM. AND, UH, THERE WERE SOME THINGS I, I DIDN'T SEE, SO I WAS HOPING THAT, THAT YOU COULD, UM, YOU COULD ADDRESS THEM. UM, BUT, BUT I'LL START WITH, THERE WAS A STUDY DONE, RIGHT? AND I, I THINK FOR MONTHS WE WERE TOLD, UH, WE WE'RE NOT GONNA TALK ABOUT THIS UNTIL THAT THAT STUDY IS COMPLETED. AND I GUESS I'M SURPRISED THAT THE STUDY AUTHORS AREN'T HERE TO, TO TALK ABOUT IT. UM, IS, AND I, I GUESS I FEEL LIKE I'M MISSING A STEP, RIGHT? THERE WAS AN ASSESSMENT DONE, UM, AND NOW WE'RE LOOKING AT THE RECOMMENDATIONS, BUT WE DIDN'T REALLY SEE THE ASSESSMENT. SO THE ASSESSMENT WAS REALLY STAKEHOLDER INTERVIEWS, LOOKING [01:50:01] AT THE PROJECTS THAT WERE COMPLETE TO DATE. BUT THE RECOMMENDATIONS WERE MADE BY STAFF BASED ON THE ASSESSMENT, BASED ON THE TAX ANALYSIS, AND BASED ON THE ECONOMIC IMPACT STUDY AND BASED ON STAKEHOLDER FEEDBACK. SO THE ASSESSMENT DID NOT SPEAK TO RECOMMENDATIONS. WHAT THE ASSESSMENT SAID WAS, YOU NEED TO CONTINUE INCENTING DOWNTOWN HOUSING. THE SEED SHIP DOES PROVIDE INCENTIVES TO HELP MEET THAT GAP, CONSIDER SHRINKING THE BOUNDARIES TO FOCUS MORE IN THE DOWNTOWN AREA. AND SO IT HAD THOSE HIGH LEVEL RECOMMENDATIONS SURE. BUT IT DID NOT MAKE RECOMMENDATIONS TO WHAT A NEW POLICY WOULD LOOK LIKE. AND THAT'S FINE. BUT PART OF MY JOB IS, UH, SOMETHING THAT WE CALL ACCOUNTABILITY. SO I WANNA KNOW HOW CIP HAS WORKED, AND THAT'S WHY I WOULD WANT TO SEE THE ASSESSMENT. MM-HMM. , SO I, I SKIMMED THROUGH, THROUGH THE REPORT. I JUST GOT IT A FEW DAYS AGO. THANK YOU FOR MM-HMM. FOR PROVIDING IT. UM, BUT THERE ARE SOME THINGS THAT I, I DIDN'T SEE IN THERE OR IN STEVE NIVEN'S, UH, REPORT AS WELL. AND THAT'S SOME OF THE INDIRECT IMPACTS OF THE, OF THE DEVELOPMENT. WE KNOW THAT, UH, APPRAISALS ARE A LOT HIGHER NOW, AND THERE ARE CONCERNS FROM, FROM NEIGHBORHOODS ABOUT, UH, THEIR PRICES, UH, THEIR APPRAISAL PRICES BEING DRIVEN UP BY SOME OF THESE, UH, TAXPAYER SUBSIDIZED INVESTMENTS. AND I THINK, UM, WE HAVE TO BE COGNIZANT OF THAT AS WE MOVE FORWARD. I'M NOT SURE WE'RE GONNA BE ABLE TO MITIGATE IT, BUT I, I DON'T THINK WE CAN TURN A BLIND EYE TO THAT. IF PEOPLE ARE STRUGGLING TO PAY THOSE, UH, THAT THAT INCREASE IN IN PROPERTY TAX, AND THEN THEY LOOK AT A PROGRAM LIKE THIS AND IT'S REALLY HARD TO SELL IT WHEN THEY'RE EXPERIENCING THAT. I HOPE YOU CAN UNDERSTAND THAT THAT'S WHERE WE ARE AS, AS POLICY MAKERS. UM, THE OTHER ONE, A COUPLE OF OTHER THINGS I, I DIDN'T HEAR IN THE PRESENTATION, I APOLOGIZE IF I MISSED IT, BUT DID YOU TALK ABOUT DISPLACEMENT AT ALL? NO, WE HAVE NOT TALKED ABOUT DISPLACEMENT. AND I WANNA GO BACK TO YOUR OTHER QUESTION ABOUT THE, OR COMMENT ABOUT THE C CHIP. WE REMOVED ALL THOSE AREAS THAT WERE LOW TO MEDIUM RESIDENTIAL, AND WE'RE ONLY PROVIDING INCENTIVES TO PROPERTIES THAT ARE ZONED APPROPRIATELY FOR THAT HIGH DENSITY. AND SO WE'RE TALKING ABOUT A 2.6 SQUARE MILE AREA THAT HAS GONE THROUGH A COMMUNITY PLANNING PROCESS, WHETHER IT BE IN THE LONE STAR REGIONAL CENTER PLAN, THE DOWNTOWN REGIONAL CENTER PLAN, OR THE MIDTOWN REGIONAL CENTER PLAN. AND SO WE'RE MAKING SURE WE'RE ALIGNING WITH THE LAND USE THAT THE COMMUNITY HAS STATED THEY WANT. AND SO, UM, THERE HAS BEEN A COMMUNITY PROCESS TO HELP PROTECT THE NEIGHBORHOODS AND ALSO MAKE SURE THAT WE ARE PLACING DEVELOPMENT WHERE THE NEIGHBORS NEIGHBORHOODS WANT TO SEE IT. UM, THE DISPLACEMENT WE HAVE, WE DO NOT HAVE A DISPLACEMENT STUDY AS A PART OF THIS BECAUSE THE SEA CHIP PROGRAM REALLY ONLY APPLIES TO NEW HOUSING UNITS. AND SO YOU CANNOT, LIKE, FOR EXAMPLE, ROBERT E. LEE WOULD NOT BE ELIGIBLE FOR THESE TYPES OF INCENTIVES. THIS IS FOR NEW PRODUCT ONLINE. AND SINCE WE ARE LIMITING IT TO AREAS THAT ARE ZONED APPROPRIATELY FOR THIS TYPE OF DEVELOPMENT, AND IT'S NOT AVAILABLE TO THOSE PROJECTS THAT ARE ACTUALLY DISPLACING RESIDENTS, UM, WE DO NOT HAVE A DISPLACEMENT STRATEGY. SO IT EXPLICITLY SAYS THIS IS NOT AVAILABLE TO AREAS THAT ARE DISPLACING RESIDENTS. IS THAT PART OF THE POLICY? IT'S, IT'S ELIGIBLE FOR, IT SAYS THAT YOU MUST BE NEW PRODUCT TO THE, THE, THE MARKET. SO IT MUST BE IT'S TWO OR MORE HOUSING UNITS THAT ARE, THAT ARE NEW. IT'S NOT FOR REHAB OR RESTORATION. SO FOR EXAMPLE, I USE THE MAVERICK, UM, WHEN DAVID OUTMAN REDEVELOPED THE MAVERICK, IT DID HAVE RESIDENTS IN THEM. HE WORKED CLOSELY WITH EACH OF THOSE RESIDENTS TO HELP THEM WITH A, A RELOCATION STRATEGY AND THEN REDEVELOPED THAT BUILDING. WE DID NOT PROVIDE INCENTIVES THROUGH THE SAN HOUSING INCENTIVE POLICY FOR THAT PROGRAM. OKAY. UM, UH, I DO AGREE WITH, UH, WITH A COUPLE OF THE RECOMMENDATIONS MADE EARLIER THAT I'D LIKE TO SEE BEFORE WE MOVE FORWARD. AND THAT IS, UH, A TARGET GOAL FOR AFFORDABILITY, UM, AND SOME CREATIVE WAYS OF, OF MEETING THAT AS WELL AS, UH, AND ONE OF THOSE WAYS COULD BE EARMARKING THE FUTURE TAX REVENUES FROM THOSE PROPERTIES ONCE THEY BEGIN TO COME IN. IF, IF THAT'S A POSSIBILITY, I'D LIKE TO SEE THAT EXPLORED BEFORE WE, BEFORE WE MOVE FORWARD. UM, SO THOSE ARE, THOSE ARE SOME OF MY QUESTIONS. UH, AGAIN, I HAVEN'T, UH, IN DETAIL RE-REVIEWED THE REPORT, BUT, UH, BUT I LOOK FORWARD TO, TO DOING THAT. SO THANK YOU. THANK YOU, COUNCILWOMAN. UH, COUNCILMAN BHA. THANK YOU, SIR. UM, A LOT OF MY QUESTIONS WERE COVERED, [01:55:01] BUT I WANTED TO THANK YOU, UM, FOR THE WORK. AND I'M TRYING MY BEST TO GET TO A YES ON THIS BECAUSE I THINK IT, UM, THE DEVELOPMENT ASPECT OF IT AND THE MARKET ECONOMY AND BEING ABLE TO DEVELOP AND BUILD WHERE YOU WANNA BUILD IS VERY IMPORTANT TO ME. I DON'T, UH, AND I KNOW I'M IN THE MINORITY WHEN I SAY I'M NOT WORRIED ABOUT THE SPRAWL, I'M MORE WORRIED ABOUT BUILDING WHERE PEOPLE WANNA LIVE. AND I DON'T THINK THEY WANNA LIVE IN EIGHT STORY BUILDINGS DOWNTOWN. UH, EVEN IN YOUR U S A A EXAMPLE, THEY SAID 25% THEY'D GO WORK DOWNTOWN. WELL, HOW MANY OF THOSE WOULD ACTUALLY WANNA LIVE DOWNTOWN? THIS, I MEAN, THREE QUARTERS OF U S A SAID THEY DON'T WANNA GO DOWNTOWN. SO LET, DON'T DON'T, YOU KNOW, DON'T HIGHLIGHT THE SMALL PORTION, THE BIGGER PORTION, THE TRUTH OF THAT CONVERSATION IS THREE QUARTERS DON'T WANNA COME DOWN HERE TO LIVE, LIVE NOR WORK. SO, AND I THINK IT'S A LARGER PERCENTAGE AS WELL. SO IT'S A VERY SMALL FOCUS GROUP THAT WANTS TO LIVE DOWNTOWN. UM, AND, BUT I THINK THAT, THAT, I DO BELIEVE THAT, AND I'VE COME INTO MY POLICY THOUGHT THAT THE DOWNTOWN, WE, WE ALL OWN A PIECE OF THAT, AND WE'VE GOT TO BE DOING THE BEST WE CAN TO BUILD THAT. WE SAW THAT WITH THE ALAMO. WE'VE SEEN THAT WITH A LOT OF DIFFERENT THINGS THAT WE ALL OWN A PIECE OF THAT. SO, GETTING TO A YES, I DON'T PERSONALLY THINK THIS IS READY FOR DECEMBER THE, THE FIRST WEEK OF DECEMBER TO COME THROUGH. THERE SEEMS TO BE A LOT UP IN THE AIR ABOUT THIS. THAT'S JUST MY OPINION. BUT, UM, YOU KNOW, I THINK MR. ADAM AND SAID SOMETHING THAT'S VERY INTERESTING. HE SAID, UH, WHY WOULD YOU WANNA STOP SOMETHING THAT IS WORKING WELL, YEAH, BECAUSE IT'S ONLY WORKING FOR ONE PART OF TOWN THAT, THAT'S WHY I THINK I WANNA STOP IT. YOU KNOW, I WANNA AT LEAST SHARE, SPREAD THAT OUT. AND I THINK I'VE BEEN CONSISTENT THAT IT WASN'T SO MUCH ABOUT ENDING THE INCENTIVES FOR DOWNTOWN AS IT WAS BEGINNING TO PUSH THEM OUT ALL OVER THE PLACE. I, I'LL GIVE YOU AN EXAMPLE. I, WE JUST FINISHED A, UH, AN AFFORDABLE HOUSING PROJECT THAT WE KICKED OFF WITH OUR NEIGHBORHOODS. VERY TOUGH TOTAL OPPOSITION AGAINST IT. UH, THIS IS THE AFFORDABLE HOUSING OF ALL AFFORDABLE HOUSINGS DONE BY THE CESAR CHAVEZ FOUNDATION. I MEAN, THEY'RE THE ONES THAT CAME IN AND PITCHED IT. AND IT WAS TOTAL DENIAL. I MEAN, UM, BUT WE SAT DOWN WITH THESE FOLKS. WE'VE WORKED OVER THREE MONTHS, MULTIPLE COMMUNITY MEETINGS. THEY CONCEDED, UH, AND WE'RE GONNA PUT THAT 240 UNIT COMPLEX RIGHT THERE ON COLLIBRA ROAD. WE GOT TO A YES ON IT BECAUSE WE ALL WORK TOGETHER. IT DOESN'T REQUIRE ANY CITY INCENTIVES. SO THIS, THIS WHOLE DRIVE THAT IT HAS TO BE DOWNTOWN IS, IT'S A FALSE NARRATIVE. UH, IT, IT CAN GO ANYWHERE IN OUR COMMUNITY AND ANYWHERE IN OUR CITY. IF LEADERSHIP STANDS UP AND WORKS WITH THE DEVELOPMENT COMMUNITY, UH, AND, AND OFFERS THEM AN OPPORTUNITY TO MAKE SOME MONEY, IT'S NOT THE END OF THE WORLD THAT SOMEBODY MAKES MONEY. UH, YOU KNOW, IT, IT, IT'S OKAY. YOU KNOW? AND, AND THEN FOR THEM TO MAXIMIZE THEIR PROFIT, THAT'S THE BUSINESS THEY'RE IN. AND WE CAN'T GET THE DEVELOPMENT DONE WITHOUT THEM. SO, IT CONCERNS ME, THIS DRIVE THAT I DON'T CARE WHAT THE DEVELOPER THINKS. UH, YOU NEED TO CARE WITH WHAT THEY THINK BECAUSE THEY'RE THE ONES THAT ARE GONNA DO THE WORK. SO WE HAVE TO GRAB A HOLD OF AND BE OKAY WITH PEOPLE WANNA LIVE ELSEWHERE. SO, YOU KNOW, THE, THE PROBLEM THAT I SEE, AND I TRY TO, I'VE KEPT WRITING ALL THESE DIFFERENT VARIATIONS, SO I COULD JUST MAKE IT SUCCINCT. AND WHAT I CAME UP WITH WAS, WE'RE TRYING TO FIX SEA CHIP TO SOLVE AFFORDABLE HOUSING WHILE BUILDING HOMES IN THE MOST EXPENSIVE DIRT IN THE CITY. WELL, THE, YOU, YOU'RE TRYING TO CRAM MULTIPLE GENIE BACK INTO THE BOTTLE HERE. I MEAN, IT DOESN'T WORK. SO WE'RE GONNA, WE'RE GONNA VACILLATE ON THIS ALL DAY LONG BECAUSE WE'RE TRYING TO BUILD AFFORDABLE HOUSING UNITS DOWNTOWN. DOES MR. ALMAN DESERVE THE OPPORTUNITY TO BUILD U UNITS DOWNTOWN? YES, HE DOES. BECAUSE THERE IS A SEGMENT OF THE COMMUNITY, THEN WE SHOULD SUPPORT THAT GROWTH. 'CAUSE IF USA IS COMING DOWN HERE AND THESE BIG COMPANIES WANT THEIR PEOPLE LIVING HERE, THIS TECH, MILLENNIAL SOCIETY, WHATEVER IT IS, WE HAVE TO FIND THE RIGHT BALANCE TO GIVE THEM THE INCENTIVES THEY NEED TO BUILD THE UNITS WHILE FOCUSING ON THE LARGER GOAL OF GETTING THIS AFFORDABLE HOUSING ANSWER DONE ACROSS THE CITY. IT HAS TO HAPPEN ACROSS THE CITY. SO HERE WE ARE BEATING EACH OTHER UP OVER TRYING TO FORCE IT DOWNTOWN. THE NUMBERS WILL NEVER WORK. WE'RE ALWAYS GONNA BE INCENTIVIZING. I'M SORRY. I DO AGREE WITH COUNCILMAN SALANI WHEN HE SAID $159,000 FOR THAT ARTS BUILDING. THAT'S A PRETTY EGREGIOUS NUMBER THAT WILL NEVER SELL TO THE PUBLIC EVER. AND WE'RE NEVER GONNA, WE'RE NEVER GONNA GET THAT SOLD. BECAUSE IF WE ACTUALLY HAVE THAT CONVERSATION WITH 'EM AND SHOW THEM WHAT WE'RE DOING, THEY'RE STILL GONNA SEE WHAT IT'S $159,000 PER UNIT. AND THEY DON'T CARE WHERE THE MONEY COMES FROM. THEY CONSIDER IT THEIR TAX DOLLARS WHILE THEY'RE TO COUNCILMAN SANDOVAL'S POINT, WHILE THEIR TAXES ARE, ARE RISING, RIGHT? THEY'RE PAYING MORE FOR THEIR PROPERTY. BUT WE'RE INCENTIVIZING THE GROWTH DOWNTOWN. SO IT'S A, IT'S, I THINK THE BIGGEST RULE I HAVE IS THAT THIS MAYORS HOUSING POLICY TASK FORCE, RIGHT? THEY'RE INVADING EVERYTHING RIGHT NOW. RIGHT? THEY'RE TRYING TO GRAB MONEY FROM EVERYWHERE. UH, AND THERE'S TWO SIDES TO THE LEDGER. IT'S NOT JUST INCENTIVIZING THE HOUSE, IT'S ALSO INCENTIVIZING INCOMES. IT'S HELPING PEOPLE MAKE MORE MONEY. AND I THINK THE BEST ONE, MOST IMPORTANT THINGS YOU SAID WAS IT'S AN ECONOMIC DEVELOPMENT TOOL. WE'RE GETTING AWAY FROM IT BEING AN ECONOMIC DEVELOPMENT TOOL. WE'RE TURNING CCHI INTO. SO SOCIAL JUSTICE TOOL. AND I, I THINK THAT'S WHERE WE START TO RUB WITH, WE CAN'T MAKE THE TWO WORK UNLESS WE KICK IN THOSE HEAVY INCENTIVES THAT WON'T SELL TO THE COMMUNITY. IT'S LIKE THAT ONE WE DID LAST WEEK WHEN, UM, IT HAD NO UNITS FOR, FOR FAMILIES. I, I [02:00:01] MEAN, EVEN I MIGHT RAISING MY HANDS, I'M SORRY, IT'S ONLY FOR ONE BEDROOMS. WHAT ABOUT A FAMILY THAT WANTED TO LIVE IN THAT? WELL, THEY CAN'T. AND I THINK I REMEMBER, 'CAUSE IT STUCK WITH ME THAT DEVELOPERS SAID, THIS IS GONNA BE THE FINEST BUILDING IN DOWNTOWN THAT A FAMILY CAN'T LIVE IN, THAT THE AVERAGE SAN ANTONIO FAMILY CAN'T LIVE IN. SO IT'S A TOUGH BALANCE YOU'RE TRYING TO FIND HERE. AND I, I'M VERY RESPECTFUL. YOUR PRESENTATION, YOUR ABILITY, WHAT YOU'RE TRYING TO ACCOMPLISH, I'M, I'M 100% TRYING TO GET THERE TO, TO MAKE SURE THAT WE DO WHAT WE HAVE TO DO FOR DOWNTOWN. 'CAUSE IT, IT, IT DESERVES IT. I'VE, I'VE GROWN INTO THAT, THAT IT DESERVES. UH, ALL OF US HAVE A CHUNK OF THAT, BUT ALL OF US NEED A LITTLE BIT MORE OF THIS. UM, AND I THINK WE'RE SO, YOU KNOW, TUNNEL VISION ON THIS AFFORDABLE HOUSING CONVERSATION THAT WE'RE MAKING POLICY DECISIONS WHEN WE HAVEN'T LOOKED AT THE WHOLE A DOLLAR'S A DOLLAR ANYWHERE ON THE HO ON THE POTENTIAL HOMEOWNER'S LEDGER, WHETHER IT'S A CHEAPER HOUSE, MORE INCOME OR INCENTIVES TO THE DEVELOPER. EVERY ONE OF THEM SOLVES THE AFFORDABLE HOUSING CONVERSATION. BUT YET WE ONLY TALK ABOUT FORK AND MORE CASH OUT IN AREAS, FRANKLY, WHERE, YOU KNOW, AT THE AFFORDABLE HOUSING PERSON OR THE WORKFORCE HOUSING, WHATEVER WE'RE CALLING IT NOWADAYS, UM, YOU KNOW, WE HAVEN'T EVEN ANSWERED THE QUESTION, DO, DIDN'T EVEN WANNA LIVE DOWNTOWN? AND IS THAT WHAT SEGMENT IS THAT? I STILL DON'T SEE THAT ANSWERED ANYWHERE IN, IN ANY PRESENTATION IN ALL RESPECT TO MR. ALMAN. I MEAN, HE'S PRO THAT, AND I'M NOT SEEING ANYBODY FROM THE OTHER SIDE ABOUT BUILDING AFFORDABLE HOUSING OUT IN THE COMMUNITY OR ELSEWHERE. THERE'S NOBODY ELSE REPRESENTED HERE TODAY. IT'S JUST THAT. SO CAN WE HEAR FROM THE OTHER FOLKS WHO WANT TO BUILD ELSEWHERE THAT THINK BUILDING OUTSIDE OR DOING SOMETHING ON COLLAB ON 1 51 OR OLD HIGHWAY 90, OR WHEREVER, OR DISTRICT 10? I JUST THROW THAT ONE OUT THERE FOR CLAYTON, BUT, YOU KNOW, APPARENT, BUT COME ON. BUT MY POINT IS, IS THAT THERE'S, WE'RE ONLY HEARING ONE SIDE OF THE FIGHT HERE. SO, UM, I, YOU KNOW, I THINK, I THINK WE CAN GET THERE. I THINK IT'S A BALANCING ACT. I THINK I JUST, YOU IN MY COMMENTS WITH THAT. AND WE HAVE TO BE CAREFUL AS A POLICY BODY, UH, NOT TO GET SO CAUGHT UP THAT, UH, THE TASK FORCE RECOMMENDATION IS GOLD AND IT DICTATES OUR LIFE. YOU KNOW, WE CAN MAKE CHANGES TO IT. IT WAS VOTED ON AND WE, WE, WE ACCEPTED IT. THANK YOU. UM, BUT IT DOESN'T DRIVE US AND THE ABDICATION OF OUR RESPONSIBILITY TO THE TASK FORCE, THAT'S NOT, THAT'S THE LAST THING WE SHOULD HAVE DONE. WE SHOULD BE MAKING THESE POLICY DECISIONS LIKE WE ARE NOW AND CHEWING THEM UP AND TAKING THEM FOR WHAT THEY ARE RECOMMENDATIONS. AND I THINK WE NEED MORE TIME TO CHEW THIS ONE UP. IT JUST DOESN'T SEEM LIKE IT'S READY. SO MY FINAL POINT WOULD BE, I'M HERE TO HELP THE DOWNTOWN DEVELOPMENT SET. I THINK IT, IT NEEDS IT, BUT WE NEED TO LET THAT, THAT MARKET HAS DRIVEN ITSELF AND IT'S THERE ALREADY. UH, AND I THINK IT, IT, WE NEED TO REALLY HAVE THE LARGER CONVERSATION. IT'S PUSHING THIS OUT ELSEWHERE. AND I'M HOPEFUL THAT'LL HAPPEN. UM, BUT FOR RIGHT NOW, I, I THINK, YOU KNOW, I'M NOT COMPLETELY SUPPORTIVE OF IT, BUT I THINK IF WE MAKE SOME TWEAKS AND WE TALK A LITTLE FURTHER ABOUT IT, WE SPEND SOME MORE TIME FINDING OUT HOW MUCH IS THE RIGHT NUMBER FOR THE, THE DAVID EDELMANS OF THE WORLD, AND THAT THOSE DEVELOPERS, WE NEED TO GET THERE TO DO THAT, UH, WITH THE, WITH THE MINDSET THAT E ENOUGH'S ENOUGH, WE GOTTA GET OUT AND DO SOME OF THESE OTHER AFFORDABLE HOUSING UNITS ELSEWHERE. UM, AND I JUST KEEP COMING BACK TO WHY ARE WE OBSESSED WITH BUILDING ON THE MOST AFFORDABLE HOUSING, ON THE MOST EXPENSIVE DIRT IN THE CITY? THAT, THAT JUST CONTINUES TO MAKE NO SENSE TO ME. UM, SO I'M APPRECIATIVE OF THE WORK, AND I, AND, AND I, LIKE YOU AND I HAVE FOLLOW UP CONVERSATIONS JUST TO MAKE SURE I CAN GET TO A YES ON IT. BUT, UH, I THINK YOU'VE DONE GOOD WORK AND IT'S A GOOD START. BUT, BUT WE NEED MORE AND WE NEED CONTRARIAN VIEWS TOO. WE NEED OTHER PEOPLE GONNA COME IN HERE AND TALK ABOUT THE DEVELOPMENTS, THE ALAMO HOUSING GROUPS, THE HABITAT FOR HUMANITIES, THE NRPS. I'D LIKE TO HEAR FROM THEM TOO BEFORE, YOU KNOW, HOW, HOW THEY'RE BUILDING AND SUCCEEDING OUTSIDE OF DOWNTOWN TO SOLVE THE AFFORDABLE HOUSING CRISIS. 'CAUSE THERE'S TWO PROBLEMS HERE. THE AFFORDABLE HOUSING PIECE. YES. BUT THE DOWNTOWN HOUSING PIECE, WHICH DOESN'T ALWAYS HAVE TO BE AFFORDABLE. SO, UM, JUST A THOUGHT. I APPRECIATE IT. UH, GOOD WORK AND, AND I LOOK FORWARD TO MORE CONVERSATION. IT. THANK YOU, MAYOR. THANK YOU. COUNCILMAN BROADCAST. COUNCILMAN TREVINO, DOWNTOWN ROCKS . UM, LOOK, UM, I'M, I'M GONNA RESPECTFULLY DISAGREE WITH MY COLLEAGUE HERE. PEOPLE DO WANNA LIVE DOWNTOWN. UH, I THINK THAT THE POINT OF THIS IS REALLY THAT THERE'S, THIS IS ABOUT PROVIDING A BALANCE, UH, AND PROVIDING, UH, CHOICE FOR PEOPLE SO THAT THEY'RE NOT, THEY DON'T FEEL LIKE THE AREAS IN WHICH, UH, YOU KNOW, THERE'S AREAS IN THE CITY, THEY'RE JUST UNATTAINABLE, ESPECIALLY WHERE WE'RE TRYING TO INVEST A LOT OF OUR FUNDS. UM, AND SO WHILE HE, HE, HE TALKED ABOUT, YOU KNOW, USING THIS PROGRAM TO CREATE STRATEGIES FOR, AS A SOCIAL PROGRAM. I, I, I MEAN, I THINK THAT THERE'S WAYS TO, TO USE OUR PROGRAMS TO THINK ABOUT THEM. HOW THINK ABOUT HOW YOU LAYER THESE TO HELP OVERALL IN OUR CITY. SO LET'S, LET'S THINK ABOUT THIS. UM, OVERALL, [02:05:01] WHAT IS THE BIG MESSAGE HERE? THE BIG MESSAGE HERE IS THAT THINGS COST WHAT THEY COST. AND IF WE WANT TO MAKE THEM AFFORDABLE, WE'VE GOTTA FIND STRATEGIES TO HELP REDUCE SOME OF THOSE COSTS, PERIOD. AND, UM, YOU KNOW, THERE, THERE'S A LOT OF THINGS TO CONSIDER. LAND IS ONE OF THEM, AND THAT IS, THAT'S CRITICAL. UM, YOU KNOW, ANOTHER THING THAT'S CRITICAL THOUGH IS TO, TO TRY TO BE INNOVATIVE IN OUR APPROACH AND TO TRY TO UNDERSTAND HOW WE CAN WORK WITH, UH, THE COMMUNITY, HOW WE CAN WORK WITH DEVELOPERS. ONE EXAMPLE THAT I WANNA LAY OUT AND WE'VE BEEN WORKING ON THAT I THINK IS, IS ONE SHINING EXAMPLE, AND WOULD BE WHAT'S GONNA BE A GREAT APPROACH, IS WHAT WE'RE WORKING ON, UH, WITH FRANK CHESKY NORTH OF DOWNTOWN ON A DEVELOPMENT WHERE INFRASTRUCTURE IS, CAN REALLY BE COST PROHIBITIVE. IN OTHER WORDS, AS YOU'RE DEVELOPING SOMETHING, ESPECIALLY IN THE OLDEST PART OF THE CITY, AND THIS IS, THIS IS WHAT YOU HAVE WHEN YOU'RE, WHEN YOU'RE DOWN AT THE CORE, YOU HAVE THE OLDEST, UH, OLD, OLDEST INFRASTRUCTURE, YOU HAVE SOME EXPENSES YOU HAVE TO MAKE. BUT IF WE WORK WITH DEVELOPERS TO FIND A WAY TO, TO MAKE THOSE EXPENSES, UH, MORE AFFORDABLE, THEN DO YOU SEE THAT AS, DO YOU SEE THAT THE SAME AS, AS A SUBSIDY, OR, OR IS THAT JUST A SMART APPROACH? AND I THINK THAT'S A SMART APPROACH. IT'S KIND OF DOING THE SAME THING. BECAUSE WHAT WE'RE SAYING IS WE'RE WE'RE TRYING TO OFFSET SOME OF THESE HIGHER COSTS. WE, AS A CITY DON'T DO A GOOD JOB OF BUILDING SIDEWALKS. WE SPEND WAY TOO MUCH MONEY. AND, AND, AND MOST DEVELOPERS WILL TELL YOU THEY COULD DO IT A LOT CHEAPER. SO WORKING WITH, WORKING IN, IN THAT, UH, FRAMEWORK, I THINK WE CAN, WE CAN TACKLE, UM, A LOT OF THESE ISSUES IN A SMART WAY. BECAUSE, YOU KNOW, I THINK DAVID, ADAM DID SAY SOMETHING THAT WAS, WAS RIGHT ON TARGET, WHICH IS, LOOK, IT'S, YOU KNOW, THINGS ARE GONNA HAPPEN IF THEY'RE GONNA HAPPEN THERE, PEOPLE AREN'T GONNA WAIT AROUND. I MEAN, TIME IS TIME. AND, UM, WHEN YOU, WHEN YOU'RE SOMEBODY THAT IS, IS TRYING TO INVEST AND BUILD, UH, YOU KNOW, TIME IS YOUR MAJOR COMPONENT, AND HAVING TO WAIT FOR, FOR SOMETHING OR HAVING THE UNCERTAINTY IS, IS NOT GONNA HELP DRIVE ANYTHING. SO I THINK, UH, LORI, THANK YOU. 'CAUSE WE NEED TO MOVE THIS FORWARD. WE NEED TO, WE NEED TO CONTINUE THESE POLICIES, UM, YOU KNOW, HAS BEEN SAID. IT'S NOT PERFECT, BUT, YOU KNOW, WE'RE DOING SOMETHING AND WE, WE MUST DO SOMETHING TO HELP ADDRESS THIS. AND WE MUST LOOK AT WAYS TO, TO TRY TO MEET THAT GAP AND TRY TO WORK IN, IN A PROFESSIONAL AND, AND SMART WAY THAT ACTUALLY, UH, DOES LOWER THOSE COSTS. IT'S AS SIMPLE AS THAT. AND, AND, AND I THINK WE'RE PROVING THAT WITH THIS ONE PROJECT. UH, YOU KNOW, WE RECENTLY MET WITH FRANK AND ANTHONY, UH, OF T C I TO, TO DEMONSTRATE THAT THERE'S SOME SERIOUS COST SAVINGS WHEN, WHEN A PRIVATE DEVELOPER, UH, COMES IN AND, AND HANDLES WHAT WOULD HAVE OTHERWISE HAVE COST A LOT MORE. I THINK THAT'S A SMART APPROACH. AND LOOK, I, I THINK, I THINK THAT, UH, THIS IS NOT A, AN EASY ISSUE, AND THERE'S NO ONE SINGLE ANSWER. AND THIS, THIS PARTICULAR POLICY, THIS INCENTIVE POLICY, AS WAS STATED, IS NOT NECESSARILY AN AFFORDABLE HOUSING STRATEGY, BUT IT CAN BE A PART OF AN AFFORDABLE OPPORTUNITY. AND, AND SO I THINK IT'S DOING THAT. I THINK IT'S STARTING TO DO THAT. I THINK WE NEED TO START THINKING ABOUT HOW WE CAN WORK TO PRESCRIBE SMARTER APPROACHES TO HOW WE BUILD OUT OUR CITY. WHEN, WHEN, WHEN WE DON'T THINK ABOUT THOSE THINGS, THAT'S WHEN PRICES ESCALATE. THAT'S WHEN WE'RE HAVING TO, TO LOOK AT A LOT OF THESE, UH, UH, INCENTIVE POLICIES AS, AS AN, AS AN OFFSET. AND IN FACT, THERE'S WAYS THAT WE CAN, UH, FORM PARTNERSHIPS THAT REALLY, TRULY REDUCE A LOT OF THIS COST. SO I'M, I'M GONNA ADVOCATE FOR THAT. I'M GONNA ASK MY COLLEAGUES TO, TO ASK ME ABOUT THIS, THIS INCREDIBLE PROJECT THAT'S DEMONSTRATING HOW, HOW YOU BUILD, HOW YOU BUILD IN A SMART, SMART WAY AND TAKE ON AN APPROACH THAT, UM, REALLY SHOWS HOW, I THINK THE OVERARCHING THEME ABOUT ALL THIS IS THAT, LOOK, WE ARE, WE'RE ALL TALKING ABOUT IT. WE'RE TALKING ABOUT AFFORDABILITY IN OUR CITY. WE'RE TALKING ABOUT THAT OPPORTUNITY TO, TO PROVIDE EQUAL CHOICE, UH, FOR, FOR EVERYONE [02:10:01] WHO FROM THE WORKFORCE TO, YOU KNOW, UH, YOU KNOW, THE, THE NEW YOUNG PROFESSIONAL THAT WANTS TO MOVE DOWNTOWN OR EVEN IN DISTRICT SIX, UH, YOU KNOW, I THINK THEY PREFER DOWNTOWN. UH, BUT, YOU KNOW, I, I JUST, I WOULD SAY THAT, UH, THAT, THAT THE POINT IS WE'RE TALKING ABOUT IT. AND SO IN TALKING ABOUT IT, ARE WE GONNA WORK TOGETHER ON IT? RIGHT? AND ARE WE GONNA LISTEN TO, TO, TO HOW THINGS ARE MADE AND, AND WHY THEY COST WHAT THEY COST. IT'S AS SIMPLE AS THAT. I MEAN, IT'S THINGS COST WHAT THEY COST. UH, I, I GAVE A, A REPORTER THE OTHER DAY AN EXAMPLE OF A, OF A CHINESE MADE FENDER STRATOCASTER VERSUS, UH, YOU KNOW, WELL NOW IT'S A MEXICO MADE FENDER STRATOCASTER, WHICH IS ONE IS $1,500, AND THE OTHER ONE IS ABOUT $150. CAN ARE THEY BOTH ELECTRIC GUITARS? ABSOLUTELY. BUT THERE'S A DIFFERENCE. AND, AND IF YOU, IF YOU UNDERSTAND THAT THERE'S COMPLEXITY IN BUILDING A GUITAR, YOU GOTTA BELIEVE THAT THERE'S REAL COMPLEXITY IN, IN MAKING BUILDINGS AND DEVELOPING LAND. AND, BUT THERE'S ALSO THAT OPPORTUNITY TO FIND HOW YOU CAN FINE TUNE THAT AND HOW YOU CAN WORK TOGETHER TO, TO REDUCE SOME OF THOSE COSTS. UM, I DO THINK THAT WE NEED TO WORK WITH OUR NEIGHBORHOODS TO MAKE SURE, UH, YOU KNOW, SOME OF THE OTHER TOOLS THAT I WANT TO TALK ABOUT IS THAT I DO BELIEVE THAT THERE'S A MISSING MIDDLE. AND, AND WHEN IT COMES TO DENSITIES, FOR EXAMPLE, WE'VE BEEN TALKING A LOT ABOUT THIS NOT IN RELATION TO NECESSARILY TO THIS, BUT JUST IN GENERAL IN TERMS OF DENSITY AND THE IDEA THAT WE HAVE TO THINK ABOUT, YOU KNOW, HOW, HOW MF 25, UH, CAN WORK IN, IN, IN, IN SOME OF, IN SOME OF THESE NEIGHBORHOODS AND, AND HOW IT CAN BE INCORPORATED AS PART OF THIS, UH, UH, PROGRAM. AND, YOU KNOW, WHAT DOES THAT MEAN TO, TO, UH, HOW WE EXPAND THE BOUNDARIES OF DEVELOPMENT? I DO BELIEVE THAT YOU CAN, YOU CAN HAVE A SMART APPROACH ABOUT INVESTING IN THE NEAR DOWNTOWN AND FINDING WAYS TO SAY, LOOK, MAYBE ON THIS SIDE OF THE HIGHWAY, THE LAND IS ONE PRICE. AND, AND ON THE OTHER SIDE OF THE HIGHWAY, THE LAND IS A TOTALLY DIFFERENT PRICE. I, YOU KNOW, I CAN AGREE WITH THAT, BUT I ALSO AGREE THAT DOWNTOWN NEEDS THIS KIND OF, UH, HELP AND, AND IT'S, UH, IT'S GOT AGING INFRASTRUCTURE THAT, THAT IS, THAT IS, UH, A KEY PART OF HOW ANYBODY HAS TO FACE THE EXISTING CONDITIONS OF ANY KIND OF DEVELOPMENT YOU WANT TO, YOU WANNA TALK ABOUT. IT'S, IT'S JUST PART OF IT. AND THEN OF COURSE, TAKE, JUST ADD TO THE TOOLS AS, AS DEMONSTRATED BY, BY, UM, UH, ALAMO AND, AND GETTING THOSE STATE TAX CREDITS. I MEAN, THAT'S, YOU KNOW, THEY, THEY'RE REALLY DEMONSTRATING SOME, SOME GREAT POLICY APPROACHES. THE POINT IS, IT'S ALL ABOUT LAYERING ON ALL THOSE OPPORTUNITIES TO, TO GET US THERE, TO GET US TO A PLACE WHERE WE'RE NOT. I THINK WE'RE ACTUALLY JUST CREATING A, A, YOU KNOW, OVER EXPENDITURES IN A WAY THAT, OR CREATING OVER EXPENDITURES THAT DRIVE THESE PRICES UP, UH, FOR, FOR, FOR THE FACT THAT WE WE'RE NOT SIMPLY WORKING TOGETHER ON THIS. WE'RE NOT COMMUNICATING BETWEEN THE CITY AND PRIVATE DEVELOPMENT. WE'RE NOT TALKING ABOUT A SMARTER APPROACH. WE'RE NOT BUILDING A BETTER SIDEWALK. IT'S, IT, TO ME, IT'S, IT'S AS SIMPLE AS THAT. AND AT THE HEART OF THIS IS TIME, TIME IS THE CHALLENGE. UM, WE'VE ALREADY PAUSED FOR A YEAR AND HAS BEEN DEMONSTRATED. NOTHING HAS OCCURRED. UM, AND, AND IT, AND NOTHING IS GONNA CONTINUE TO OCCUR IF WE, IF WE PAUSE TOO MUCH. SO I, I THINK WE NEED TO MOVE FORWARD ON, ON THINGS. WE NEED TO BE FLEXIBLE. UM, I HOPE, I HOPE THAT WE CAN, UH, TAKE A, A DEEP DIVE IN TERMS OF INNOVATIVE CONSTRUCTION METHODS, INNOVATIVE PARTNERSHIPS, UH, THAT CAN HELP US, HELP US DRIVE SOME OF THESE COSTS DOWN. AND THEREFORE, THEY'RE NOT EVEN SEEN IN MANY WAYS. UH, AS AN EXAMPLE, UH, FOR THE PROJECT THAT I JUST MENTIONED EARLIER, IT'S NOT SEEN AS AN INCENTIVE THAT'S JUST SEEN AS A SMART APPROACH. IT'S DOING THE SAME, IT'S, IT'S OFFSETTING IN A SIMILAR WAY THAT AN INCENTIVE WOULD, BUT FOR THE FACT THAT, THAT THIS PARTICULAR PERSON KNOWS HOW TO DO IT CHEAPER, MORE EFFICIENT. AND, AND I THINK THAT'S, THAT'S A CRITICAL, UM, UM, A CRITICAL POINT TO MAKE IN TERMS OF WHAT THIS STRATEGY MEANS. AND, AND NO ONE SILVER BULLET'S GONNA SOLVE IT. BUT, UH, YOU KNOW, WE HEARD FROM THE P F C, WE'VE HEARD FROM THE OTHER PROGRAMS THAT, THAT, THAT CAN LAYER ON TOP OF THIS. UH, BUT [02:15:01] I HOPE THAT WE CAN, WE CAN CONTINUE TALKING ABOUT THIS POLICY THAT I THINK HAS, HAS ACTUALLY SERVED US PRETTY WELL. THANK YOU, MAYOR. THANKS, LORI. THANK YOU. COUNCILMAN TREVINO. COUNCILMAN GONZALEZ. UH, THANK YOU, UH, MAYOR. AND I JUST, I JUST HAVE, UM, ONE QUESTION. UH, LORI, UM, THANK YOU FOR THE PRESENTATION. I KNOW THIS HAS BEEN, UH, A LOT OF WORK FOR YOU AND ALL THE PARTNERS, AND MAYBE IT, IT'S A QUESTION, BUT ALSO A COMMENT. SO THE ONE THING THAT I STILL HAVE NOT QUITE BEEN ABLE TO ACCEPT IS THE AFFORDABLE HOUSING COMPONENT THAT IS CITYWIDE. SO CAN YOU EXPLAIN THE NEED FOR AFFORDABLE HOUSING INCENTIVES CITYWIDE? ARE YOU REFERRING TO THE AFFORDABLE HOUSING FUND AND WHY WE ARE OPENING THAT UP TO CITYWIDE? YES. THE REASON FOR THAT IS THAT WE KNOW THAT YOU COULD SUPPLE, YOU COULD SUBSIDIZE MORE AFFORDABLE HOUSING OUTSIDE THE DOWNTOWN AREA VERSUS INSIDE THE DOWNTOWN AREA. SO, FOR EXAMPLE, WE KNOW THROUGH THE MAYOR'S TASK FORCE REPORT, THE HOUSING REPORT, A HOUSING UNIT AT 60% A M I OR BELOW, OUTSIDE OF THE DOWNTOWN AREA. TO BE ABLE TO MAKE THAT PROJECT WORK, YOU NEED A SUBSIDY OF 35,700. IF THAT PROJECT WERE TO BE DEVELOPED IN THE DOWNTOWN AREA, THAT SUBSIDY REQUIREMENT IS DOUBLE. AND SO YOU COULD ALMOST DO TWICE AS MANY HOUSING UNITS THAT ARE AFFORDABLE OUTSIDE THE DOWNTOWN AREA VERSUS INSIDE THE DOWNTOWN AREA. SO THE THOUGHT OF BEING ABLE TO HAVE THAT FLEXIBILITY TO PROVIDE MORE AFFORDABLE HOUSING, UM, IN AREAS, NOT JUST FOCUSED IN THE DOWNTOWN. SO, BUT I MEAN, YOU'RE TALKING ABOUT ANYWHERE IN THE CITY THAT COULD BE ABOUT 1604, THAT COULD, SO MY CONCERN IS THAT WOULD PROMOTE SPRAWL. MM-HMM. IS THERE, I MEAN, UM, SA TOMORROW ENCOURAGES THE FOCUS WITHIN FOUR 10. SO WHY THEN INCENTIVE PROJECTS OUTSIDE? UM, THE FEEDBACK WE HEARD FROM OTHER, UM, COUNCIL MEMBERS IN THE COMMUNITY WAS TO KEEP IT FLEXIBLE. WE COULD LOOK AT, AT THAT, BUT THE THOUGHT WAS TO NOT JUST LIMIT IT TO DOWNTOWN, BECAUSE IT'S MORE EXPENSIVE TO SUBSIDIZE HOUSING DOWNTOWN. SO, UM, YOU KNOW, I WOULD HOPE THAT WE COULD AT LEAST LIMIT THAT EVEN WITHIN FOUR 10, BECAUSE I UNDERSTAND THE NEED FOR AFFORDABLE HOUSING CITYWIDE. IN FACT, I THINK IT WAS MY COLLEAGUE HERE, COUNCILMAN BELIE THAT SAID, DO YOU GET NERVOUS ALL OF A SUDDEN I CALLED YOUR NAME, UM, THAT YOU COULDN'T EVEN BUY A HOUSE IN HIS DISTRICT FOR LESS THAN 250,000, THAT THERE WAS NOT EVEN A HOUSE FOR SALE, UM, A SINGLE FAMILY HOUSE FOR SALE IN THE DISTRICT. SO I DON'T KNOW IF THAT WAS JUST FOR, UM, UH, IF THAT WAS ANECDOTAL, BUT IF THAT, OR IF THAT'S IN FACT TRUE THAT YOU CAN'T EVEN BUY A HOME. UM, AND SO THAT WOULD EXPLAIN THE NEED FOR AFFORDABLE HOUSING IN OTHER PARTS OF THE CITY JUST SEEMS LIKE WE COULD FOCUS OUR ATTENTION AT LEAST WITHIN FOUR 10. UM, YOU KNOW, THAT, THAT'S ONE OF MY COMMENTS. AND, AND I GUESS JUST SOME FINAL, UM, THOUGHTS ABOUT HOW, YOU KNOW, WE, THE PROJECTS AND HOW WE'VE TRIED TO MOVE THEM ALONG AND SOME DESIRE TO KEEP THEM MOVING. UM, YOU KNOW, I'VE BEEN NOW ON THE COUNCIL FOR SIX YEARS. I'M NOW ONE OF THE MORE TENURED MEMBERS OF THE COUNCIL, AND I'VE HAD EXACTLY TWO PROJECTS STARTED AND COMPLETED DURING MY TERM. UH, AND THOSE HAVE BEEN BOTH MARKET RATE PROJECTS, BIG TAX AND SOUTHTOWN, AND THAT'S IT. AND SO, AS WE ARE TALKING ABOUT, YOU KNOW, GETTING HOUSING, WHETHER IT'S MARKET RATE, WHETHER IT'S AFFORDABLE, WHETHER IT'S, UM, OWNER OCCUPIED, REHAB, YOU KNOW, ALL OF THESE THINGS THAT WE, UH, ARE WORKING ON, UM, THEY HAVE BEEN COMING ALONG VERY SLOWLY. AND THAT'S FOR A VARIETY OF REASONS. NOT THAT IT'S THE CITY'S AT FAULT. THERE'S A VARIETY OF REASONS WHY THAT'S HAPPENED. UH, BUT I DO THINK IT'S IMPORTANT AS, YOU KNOW, AS, AS THE CITY AS WE'RE TRYING TO MOVE ALONG. UM, THAT'S, UM, NOT GOOD NEWS FOR PEOPLE WANTING TO MOVE TO MY DISTRICT, WANTING TO MOVE TO MY NEIGHBORHOOD. THERE'S STILL NOWHERE TO GO, UH, IF YOU WANT TO BE CLOSER TO THE CORE, BUT NOT NECESSARILY DOWNTOWN. AND THERE'S A LOT OF OTHER REASONS WHY PEOPLE MAY NOT WANNA LIVE HERE, BUT THE FACT THAT WE DON'T HAVE PROJECTS, UH, IS A PROBLEM. AND, UM, I JUST, I, I ALSO THINK THAT IT'S IMPORTANT TO NOTE AS WE'RE A, WE CONTINUE TO TALK ABOUT THE GROWTH, IS THAT STILL THE MAJORITY OF THAT GROWTH IS HOMEGROWN. THAT'S PEOPLE LIKE RAY SALDANA AND ME HAVING MORE BABIES. IT'S INTERNAL . UH, I STILL GOT YOU FOR A, A COUPLE. UH, BUT THAT'S THE REALITY. [02:20:01] AND THAT THE MAJORITY OF THOSE PEOPLE WILL BE, UM, WORKING CLASS AND LOW INCOME. AND SO, YOU KNOW, I THINK THAT THERE'S THIS IMPRESSION, AND WE SAY THIS A LOT, THAT THERE'S MASS OF PEOPLE COMING. THEY'RE NOT COMING. WE'RE ALREADY HERE. IT'S US HAVING BABIES, LATINOS, AND, UH, MOSTLY LOW INCOME. SO WE NEED TO FOCUS OUR STRATEGY IN THAT REGARD, NOT DESIGNING FOR PEOPLE THAT ARE MOVING IN, BUT FOR US, OURSELVES. AND SO THAT'S WHY I THINK WE SHOULD KEEP THE FOCUS, UH, AT LEAST ON THE URBAN CORE AND NOT, UH, SPREAD OUT ALL OVER THE CITY. AND OF COURSE, THE REASON FOR THAT IS THAT WE KNOW THAT IT'S THE MOST SUSTAINABLE, MOST AFFORDABLE, UH, WAY TO LIVE, IS TO BE COMPACT CONNECTED, TO BE DENSER, UH, TO INVEST MORE IN PUBLIC TRANSIT, TO INVEST IN OUR EXISTING INFRASTRUCTURE. WE DON'T HAVE TO ADD FIRE STATIONS AND POLICE AND, UH, ALL THOSE THINGS. SO WE LOOK FORWARD TO, UM, US MOVING ALONG, UH, AND, AND MOVING ALONG SORT OF QUICKLY SO WE CAN GET MORE OF THESE PROJECTS, UH, ONLINE AND MOVING AND PEOPLE, UM, MOVING INTO THEM BECAUSE AT THIS RATE, NOR MY CHILD OR RAY SALDANA IS GONNA HAVE A PLACE TO LIVE, UH, IF WE DON'T GET THESE PROJECTS MOVING ALONG. SO, UH, THANK YOU, , THANK YOU COUNCILMAN, FOR, FOR A LITTLE WHILE. GONZALES, UM, COUNCILMAN ALBANIA. THANK YOU, MAYOR. UH, LORI, YOU'VE BEEN STANDING UP THERE FOR A LONG TIME AND YOU'VE BEEN DOING TREMENDOUS WORK ON THIS. UH, HAVE I THANK YOU. THANK YOU. I THINK YOU JUST DID, SO THANK YOU. OKAY. IF I HAVEN'T, I WILL. SO LET ME ASK TWO QUESTIONS BEFORE WE GET THERE. UM, I, I, I'M CONSIDERING WHAT IT LOOKS LIKE TO, TO STEP OUT OF SAN ANTONIO FOR A LITTLE BIT AND SAY, CAN WE PREDICT OUR FUTURE, UH, BY LOOKING AT ANOTHER CITY? AND I THINK, I THINK THE, THE REASON I'M, I'M GONNA ASK THAT YOU GO BACK AND SHARPEN YOUR PENCIL A LITTLE BIT, IS TRY TO GET AFFORDABILITY AND GIVE IT A LITTLE BIT OF A LEG UP, IS BECAUSE IF I LOOK AT A CITY LIKE AUSTIN, UH, WHO PASSED THEIR $225 MILLION HOUSING BOND, AND, AND I ASK MYSELF, WHERE ARE THEY GONNA TRY TO BUILD? BECAUSE THEIR HOUSING BOND IS DRIVEN BY TRYING TO GET SOME AFFORDABLE HOUSING, WHERE ARE THEY GONNA BUILD THAT? IT'S NOT GONNA BE IN THE DOWNTOWN, UH, THAT THAT SHIP HAS SAILED. AND WHILE THE PRICE OF OF, OF THE INNER CITY OR DOWNTOWN URBAN CORE IS EXPENSIVE TODAY, IT'S ONLY GONNA BE MORE EXPENSIVE IN 10 MORE YEARS. AND SO IF I'M ASKING, CAN WE PLEASE COME BACK, GIVE A LITTLE BIT OF ADVANTAGE TO SOME 60% A M I PROJECT, OR 80% A M I PROJECT, LET'S DO IT BECAUSE THE WINDOW OF TIME IS CLOSING SO QUICKLY THAT, THAT I WORRY THAT, UM, THE, THE, THE ARGUMENT IS A GOOD ONE THAT YOU, YOU SPRAWL WILL HAPPEN. FOLKS WILL DECIDE TO LIVE IN SUBURBAN COMMUNITIES. FOLKS WILL DECIDE TO LIVE FURTHER AWAY FROM THE URBAN COURT. THAT IS THEIR CHOICE. UM, BUT WHAT IS ALSO, LET'S NOT FOOL OURSELVES. THERE IS A COST OF SUBSIDIZING THAT SUBURBAN COMMUNITY AS WELL AS THERE IS A COST OF SUBSIDIZING THE HOUSING THAT WE'RE DOING IN THE DOWNTOWN, EXCEPT THAT WE'RE FRONTLOADING WHAT WE'RE TALKING ABOUT NOW. SO IF YOU TELL ME IT COSTS 10 TO $15 MILLION, I CAN SWALLOW THAT IN TERMS OF, OF, THAT'S A, THAT'S A BIG PRICE TO PAY UPFRONT. BUT I KNOW THAT ON THE BACK END FOR THAT COMMUNITY THAT THEY'RE BUILDING BEYOND HIGHWAY 90 OR AT 1604, THAT THEY'RE GONNA COME TO THE N P O TOMORROW AND IN FIVE YEARS AND ASK FOR ANOTHER BILLION DOLLARS FOR THE EXPANSION OF 1604 AND HIGHWAY 90. SO THE QUESTION IS, WHEN WE'RE SPENDING, OR WE'RE SUBSIDIZING HOUSING, WHICH WE'RE DOING IN ALL PARTS OF THE CITIES OUTSIDE FOUR 10, INSIDE FOUR 10 OUT TO 1604, UH, ARE WE WILLING TO HAVE THE TOUGH CONVERSATION AND SAY THAT IT MAKES MORE SENSE TO US? THE NUMBERS PENCIL OUT FOR US IF WE HAVE MORE OF IT HAPPENING INSIDE OF FOUR 10 IN THE URBAN CORE. AND THE QUESTION THEN TO ASK OURSELVES IS, WHEN IS THE MOMENT BEFORE YOU'VE LOST IT? AND, AND I THINK THIS IS THE MOMENT TO TRY TO SQUEEZE SOME OF THAT IN. SO MY ONLY REQUEST IS IF WE'RE GONNA SEE THIS IN DECEMBER 6TH, I HOPE THAT'S ENOUGH TIME FOR YOU TO, TO SHARPEN YOUR PENCIL ON SOME OF THE PROPOSALS, BECAUSE AS I'M LOOKING AT THE 7% THAT YOU, YOU THAT YOU'VE TOLD ME, THE DEVELOPERS ARE LOOKING FORWARD TO MAKE THESE PROJECTS POSSIBLE. UM, I, I, I REALLY WANNA FIND OUT HOW, HOW AGGRESSIVE WE NEED TO BE, UH, TO TRY TO GET THE 60% A M I, MAYBE EVEN IF WE NEEDED TO ADJUST THE, THE PERCENTAGES OF 20% TO SOMETHING ELSE. I DO THINK THAT, UH, WE'LL FIND OURSELVES WHERE AUSTIN IS TALKING ABOUT PASSING A HOUSING BOND IN THE FUTURE, AND WHEN WE'RE GONNA USE THAT HOUSING BOND, IT'S NOT GONNA BE ANYWHERE IN THE DOWNTOWN BECAUSE WE HAVE MISSED THE WINDOW, UH, WHILE IT'S STILL AFFORDABLE, AND WHILE IT'S EXPENSIVE, NOW, IT'S GONNA BE MORE EXPENSIVE IN THE FUTURE. SO I THINK THAT'S WHY I'M JUST GONNA REQUEST THAT, THAT YOU, YOU LOOK TO DECEMBER 6TH OR A DATE BEYOND THAT, IF YOU NEED TO, TO TRY TO GET US, UH, UH, SOME PROPOSALS THAT LOOK AT REALLY UNDERSTANDING THIS MOMENT THAT WE HAVE TO TRY TO CAPTURE IT. AND IF IT COSTS US MONEY, THAT'S JUST LIKE ALL THINGS, IT, IT'LL COST US MONEY, BUT IF IT COSTS IN THE LONG RUN, LESS FOR THE TAXPAYER, LESS FOR THE ROADWAY, THAT WE DON'T HAVE TO BUILD OUT BEYOND AN EXTENSION OF FOUR LANES TO EIGHT LANES BETTER ON US. SO BETTER ON US TO, TO GET THAT DONE. SO THAT WAS MY LAST COMMENT. THANK YOU, MAYOR. GREAT. THANK YOU. COUNCILMAN SALDANA. AND, AND I THINK THAT'S A GREAT PLACE TO WRAP UP. UH, LORI, I'M, I'M SORRY. YOU PROBABLY FEEL LIKE A LITTLE BIT [02:25:01] OF A PINGING PONG BALL, UH, IN THIS DISCUSSION. YOU WANT IT IN COUNCILMAN? I HAD CHIMED IN EARLIER, BUT YOU'RE NOT, YEAH, YOU'RE NOT ON THE LIST, BUT GO AHEAD, COUNCILMAN PERRY . NO, I, UM, SOMETHING MUST HAVE HAPPENED. ANYWAY, I DID. BUT, UM, I JUST GOT A COUPLE OF QUESTIONS HERE. LORI. THANK YOU VERY MUCH FOR DOING ALL THIS. I I'VE HEARD A LOT OF, UH, GOOD COMMENTS TODAY. UM, UH, YOU KNOW, CHOICE, YOU KNOW, WHERE PEOPLE WANNA LIVE, WHETHER IT'S DOWNTOWN OR, OR OUT IN THE DISTRICTS, UM, DOWNTOWN, I, I, I JUST LOOKED AT A COUPLE OF YOUR SLIDES HERE, AND I'LL REFER TO ANOTHER ONE HERE, BUT ON, ON YOUR FIRST SLIDE THERE, SINCE 2010, WE'VE ISSUED 11,000 FEE WAIVERS THAT REPRESENT TOTAL INVESTMENT OF 4.4 BILLION. UM, SO THAT THIS IS ON THE ICRP. YES. UM, THAT FOUR, WHAT WAS OUR RETURN ON THAT 4.4 BILLION THAT WE'RE SAYING WE OFFERED WAIVERS ON? WE DON'T CAPTURE THAT, UM, TYPE OF DATA FOR THE CITY FEE WAIVER PROGRAM. OKAY. UM, I CAN MINE THAT DATA AND GET BACK TO YOU. YES. SO ID REALLY TO SEE THAT, THAT'S, HAVE TO LOOK AT IT, BUT THAT'S, THAT'S A BIG DOLLAR FIGURE THERE FOR THE, UM, BUT THAT'S FOR THE ENTIRE 84 SQUARE MILE BOUNDARY. I UNDERSTAND. I UNDERSTAND. BUT YES, I, I THINK THAT WOULD BE IMPORTANT TO SHOW THAT ALSO, BECAUSE THAT IS, THAT IS, UH, AN INVESTMENT THAT WE MADE. AND I'D, I'D LIKE TO SEE WHAT OUR RETURN ON THAT WAS 4.4 BILLION. UM, AND THEN THE 10,000 HOUSING UNITS, WASN'T THAT A GOAL THAT WE HAD TO DO DOWNTOWN? YES, BUT THIS APPLIES TO CITYWIDE, OKAY. THE ICRP AND CITYWIDE. SO IN THE CURRENT PROPOSAL, IF YOU'RE IN AFFORDABLE HOUSING PROJECT OUTSIDE THE, YOU'RE STILL ELIGIBLE FOR THE CITY FEE WAIVERS. SO THOSE HOUSING UNITS COULD BE WITHIN THAT 84 SQUARE MILE AREA, OR EVEN OUTSIDE THAT AREA. OKAY. AND WHAT WAS OUR GOAL FOR DOWNTOWN? OUR DOWNTOWN WAS 7,500 BY 2020 WITH A STRETCH GOAL OF 10,000. OKAY. THAT'S WHAT I WAS REMEMBERING. THE STRETCH GOAL. SO, UH, WHERE ARE WE TODAY ON? WE'RE AT 6,800. OKAY. ONLINE UNDER CONSTRUCTION OR IN THE PLANNING STAGES, BUT HOW MANY HAVE BEEN ACTUALLY COMPLETED? UM, ABOUT 70% OF THOSE, WE ONLY HAVE ABOUT 4,000 THAT ACTUALLY ONLINE. OKAY. AND OUT OF THAT NUMBER, DO WE KNOW WHAT THE OCCUPANCY RATE IS? UM, WE CAN USUALLY BETWEEN, I THINK THE LAST I HEARD WITH 1221, IT WAS IN PROBABLY 88% TO A HUNDRED PERCENT, DEPENDING ON WHERE THE PROJECT IS. BUT I CAN GET YOU THE EXACT NUMBERS FOR EACH C CHIP PROJECT. OKAY. THAT'S COME ONLINE. YEAH, THAT WOULD BE GREAT. BECAUSE, UH, I THINK THIS ALL GOES INTO, YOU KNOW, THE EXPANSION OF THE HOUSING DOWNTOWN. ARE WE REALLY GETTING 'EM FILLED, UH, WITH OCCUPANTS AND, UH, DO WE EXPECT THOSE, THE REMAINDER OF THE HOUSING UNITS TO BE FILLED WHEN WE, WE FINISH ALL OF 'EM THAT ARE UNDER CONSTRUCTION RIGHT NOW, AND WE KNOW THAT THERE IS A DEMAND FOR MARKET RATE HOUSING IN THE DOWNTOWN AREA. OKAY. AND THAT'S WHY WE'RE RECOMMENDING THE TWO YEAR EXTENSION. OKAY. SO WE COULD LOOK AT THOSE PROJECTS COMING ONLINE. WE HAVE THE SOUTH FLORES LOFTS, WE HAVE THE DWYER, UM, PROJECT. THOSE PROJECTS HAVE EITHER JUST STARTED CONSTRUCTION OR ABOUT TO START CONSTRUCTION. THOSE WILL COME ONLINE, AND WE'LL BE LOOKING AT THEIR OCCUPANCY LEVELS AS WELL. OKAY. GREAT TO SEE. DEMAND SLOWS DOWN. AND I'M, I'M, I'M WILLING TO, UH, CONTINUE TO LOOK AT THIS FOR, FOR ANOTHER TWO YEARS. AND I AGREE WITH, UH, COUNCILWOMAN GRO, I'D RATHER SEE THIS AS A TWO YEAR VERSUS ONE YEAR, BUT WE CAN ALWAYS REVIEW THAT AT SOME POINT IN TIME DURING THAT, DURING THAT, UH, TWO YEAR TERM. UM, ALSO THE, UM, UM, ANOTHER COMMENT WAS MADE, YOU KNOW, HAVE WE DONE OUR JOB? YOU KNOW, SHOULD WE TOTALLY DO AWAY WITH THIS PROGRAM? I MEAN, HAVE WE, HAVE WE CROSSED THAT FINISH LINE ALREADY TO IN, TO BRING IN DEVELOPMENT DOWNTOWN? AND WOULD IT CONTINUE IF WE DIDN'T MM-HMM. , UM, CONTINUE THIS PROGRAM? UH, THAT'S, THAT'S, HAVE WE ASKED DR. NEVIN TO EVEN TAKE A LOOK AT THAT? I MEAN, TO WE, WE'VE LOOKED AT THAT AND WE KNOW THAT THERE IS NOT A A CENT, BUT FOR A LUXURY TYPE PRODUCT, A MARKET RATE HOUSING PROJECT IN THE CENTRAL BUSINESS DISTRICT WOULD STILL NEED A SUBSIDY. OKAY. ALL RIGHT. GOING BACK TO THE ANA, THE FEDORA AND OTHER HOUSING PROJECTS THAT HAVE BEEN, UM, ONLINE FOR YEARS, EVEN THOSE PROJECTS RECEIVED SOME TYPE OF INCENTIVE. OKAY. AND THEN I KEEP GOING BACK TO SLIDE 11. THAT, THAT, UH, UM, I THINK THAT TELLS A VERY POWERFUL STORY THERE. YEAH. AND, UM, YOU KNOW, THAT'S HARD TO ARGUE WITH THE, UH, [02:30:01] WITH THE RETURN ON INVESTMENT THAT WE ARE GETTING, GETTING ON THIS PROGRAM. AND I THINK THAT THAT'S WHAT WE NEED TO DO NOW, IS TO VALIDATE THESE NUMBERS OVER THE NEXT COUPLE YEARS. MM-HMM. , ARE WE REACHING THESE GOALS? ARE WE GETTING THAT RETURN ON INVESTMENT ON, ON THIS PROGRAM? ABSOLUTELY. SO, UM, I, I, I THINK THAT TELLS A VERY GOOD STORY RIGHT THERE ON WHAT, WHAT WE'VE BEEN ABLE TO DO HERE. SO, UH, I'M, I'M TRYING TO GET THERE AS WELL. I, I A LOT OF GREAT COMMENTS TODAY, AND I APPRECIATE ALL THE WORK THAT Y'ALL HAVE DONE TO PUT, PUT THIS ALL TOGETHER AND, AND, UH, LOOK FORWARD TO, UH, WHERE THIS IS GOING TO NEXT. THANK YOU VERY MUCH, MA'AM. THANK YOU, SIR. THANK YOU. COUNCILMAN PERRY. COUNCILWOMAN SANDOVAL PROMISED THE MAYOR. I'D BE SUPER SHORT ON THIS ONE. UH, SO ONE OF THE REQUESTS THAT I HAD FOR YOU WAS TO, TO COME BACK WITH A GOAL OF THE NUMBER OF AFFORDABLE UNITS AND SOME IDEAS ABOUT HOW TO GET THERE, UH, SOME CREATIVE IDEAS ABOUT HOW TO GET THERE. AND ONE THING, UM, THAT I WOULD LIKE TO BE CONSIDERED IN THAT IS SEPARATING THE COST OF PARKING, UH, FROM THE COST OF THE HOUSING. AND ONCE THAT BECOMES OPTIONAL FOR THE BUYER, UH, THAT HOME MAY BECOME THAT APARTMENT OR THAT UNIT MAY BECOME MORE AFFORDABLE. AND I, I THINK IT'S IN KEEPING WITH THE IDEA OF WANTING TO HAVE A DENSE DOWNTOWN WHERE PEOPLE CAN ACTUALLY WALK. UM, I, I'M NOT COMFORTABLE WITH THE IDEA OF HAVING, UH, INCENTIVES THAT FORCE SOMEONE TO BUY A PARKING SPOT WITH THEIR, WITH THEIR CONDO. SO I, I WOULD LIKE TO SEE THAT EXPLORED. THANK YOU, LORI. LORI, UH, THANK YOU VERY MUCH, UH, FOR YOUR VERY DILIGENT WORK ON THIS. I KNOW IT'S BEEN, UM, DIFFICULT BECAUSE THERE'S A NUMBER OF DIFFERENT PRIORITIES MIXED IN HERE, BUT LET ME, LET ME JUST SUMMARIZE WHERE I THINK WE ARE. UH, NUMBER ONE, I THINK THERE'S A CLEAR CONSENSUS ON THE COUNCIL THAT OUR STRATEGY TO, UH, YOU KNOW, CONTINUE THE GROWTH OF THE URBAN CORE AND THE REVITALIZATION OF DOWNTOWN SAN ANTONIO CONTINUES. UM, I ALSO THINK THAT, UH, WHAT I'M HEARING IS THAT THERE'S A QUITE A BIT OF SENSITIVITY, UH, AND JUSTIFICATION NEEDED, UH, FOR THE INCENTIVES THAT ARE PROVIDED, UH, DOWNTOWN AS IT RELATES TO AFFORDABILITY. SO, UH, BETWEEN NOW AND DECEMBER 6TH, IF WE CAN CONTINUE TO HAVE THAT CONVERSATION AND SEE WHAT ELSE BASED ON THE CONVERSATION, UH, CAN BE DONE, I THINK THAT WOULD BE GOOD. UM, COUNCILMAN ALANA'S POINT I THINK IS VERY WELL TAKEN AND, AND OTHER PEOPLE HAVE SAID THIS AS WELL, WE'RE, WE, WE SHOULDN'T, UM, SACRIFICE GOOD FOR PERFECT. UH, AND WE KNOW WHAT THE FUTURE LOOKS LIKE IF WE DON'T DO ANYTHING AT ALL. AND THAT IS A HOLLOWED OUT URBAN CORE, UH, THAT IS UNSUSTAINABLE BECAUSE WE CONTINUE TO SPRAWL EVER FARTHER OUTSIDE OF THE CITY LIMITS. UM, WE DON'T WANT THAT. AND AUSTIN IS A GREAT EXAMPLE OF THE FUTURE, UH, IF WE DON'T DO THIS RIGHT. AND AS WAS MENTIONED, THEY JUST PASSED A $250 MILLION AFFORDABLE HOUSING BOND, UH, MEANT TO ADDRESS THE CHALLENGES THAT WE'RE TRYING TO GET AHEAD OF. UH, WE BELIEVE THAT THE FRAMEWORK AND THE STRATEGY THAT THE COUNCIL HAS ADOPTED WILL HELP US PREVENT, UH, YOU KNOW, THE WORST OF THAT HOUSING CRISIS. BUT IT ALSO MEANS WE'VE GOT TO LEAN IN AND IMPLEMENT POLICIES THAT SOMETIMES ARE, ARE A LITTLE BIT MORE DIFFICULT. SO I SHOULD ALSO NOTE THAT THEY'VE DONE SO WITH A TAX INCREASE, UH, APPROVED BY VOTERS ON THAT AFFORDABILITY BOND. SO, UM, LOT OF WORK TO DO. BUT I THINK THAT, UM, THIS HAS BEEN A VERY GOOD DISCUSSION. UM, AND IF THERE'S ADDITIONAL QUESTIONS AND COMMENTS AND BRIEFING FOR COUNSEL, WE CAN DO THAT, UH, INDIVIDUALLY. SO THANK YOU. THANK YOU VERY MUCH, LORI. GREAT WORK. UH, CHERYL, I KNOW THAT GENERAL ALA HAS BEEN SITTING THERE FOR TWO HOURS, AND I DON'T THINK WE WELL IN THE INTEREST OF TIME, WE'LL ASK OUR DIRECTOR OF MILITARY AFFAIRS, JUAN AYALA, TO COME FORWARD. WE HAVE A PRETTY COMPREHENSIVE PRESENTATION TODAY, AND I KNOW THERE ARE CEREMONIALS AT FIVE 30 AND ALSO AN EXECUTIVE SESSION ALSO. OKAY. SO ARE WE, ARE WE MOVING THAT OFF OR? WE WE'RE GOING TO DO THE PRESENTATION RIGHT NOW. UM, YOUR PLEASURE, MAYOR AND COUNCIL, WHATEVER YOU'D LIKE TO DO. WELL, YOU'RE HERE, UH, GENERAL, SO WHY DON'T WE MOVE THROUGH THE PRESENTATION AND THEN WE'LL BREAK BRIEFLY FOR AN EXAMPLE. WELL, GOOD AFTERNOON. I'LL TRY TO GET THROUGH THIS, UH, QUICKLY. UM, LET'S SEE HERE. I GOTTA FIGURE OUT THE SLIDES FIRST. NO. OKAY, I GOT IT NEXT TIME. JUST HIT THAT. OKAY, WELL, GOOD, GOOD. A GOOD EVENING. UH, WHAT I'D LIKE TO DO TODAY IS, UH, GIVE YOU A SHORT PRESENTATION ON, UH, WHAT REALLY THE OFFICE OF MILITARY AND VETERANS AFFAIRS DOES. [02:35:01] UH, LET ME GO BACK HERE. FIRST OF ALL, WHAT I WANT TO START OUT WITH IS THE IMPORTANCE OF THE MILITARY. WHY IS IT IMPORTANT FOR US HERE, UH, IN THE SAN ANTONIO REGION TO CONSIDER THE MILITARY, AND WHY IS IT SO IMPORTANT? WELL, AS YOU SEE IN THAT FIRST SLIDE, UH, THERE'S A LOT OF UNIQUE MISSIONS THAT TAKE PLACE HERE, AND THEY'RE ESSENTIAL TO NATIONAL DEFENSE. AND, UH, IF YOU LOOK AT THE FIRST TWO BULLETS, IT IS THE LARGER, LARGEST EMPLOYER, UH, IN THE REGION. ECONOMIC IMPACT IS PRETTY SIGNIFICANT IN THE STATE OF TEXAS. UH, BUT IT ALSO HAS OTHER UNIQUE MISSIONS SUCH AS DEFENSE OF THE WESTERN HEMISPHERE, UH, THROUGH OUR ARMY COMPONENTS. AND IT HAS SOME UNIQUE, UH, CYBERSECURITY AND INTELLIGENCE MISSIONS. BUT I THINK WHAT'S REALLY IMPORTANT IS THE NUMBER OF VETERANS HERE, THE NUMBER OF RETIREES AND THE NUMBER OF FAMILIES. AND IF WE DON'T KEEP OUR MILITARY INSTALLATIONS AND OUR MISSIONS HERE, UH, THAT WILL BE, UH, AN INCENTIVE FOR THESE FAMILIES AND PEOPLE THAT RETIRE TO COME HERE TO, UH, JOINT BASE SAN ANTONIO OR TO THE REGION. WE WERE CREATED IN 2005 AFTER THAT 2005 BRACK. UH, AND THEN WE WERE FUNDED BY FEDERAL FUNDS OFFICE OF ECONOMIC, UH, ADJUSTMENT, UM, AND TO DO JOINT LAND USE STUDIES IN ORDER TO PROTECT THOSE MILITARY INSTALLATIONS. AND AGAIN, WE WERE FOCUSED ON MILITARY VALUE. WE'VE BEEN FOCUSED ON THAT SINCE 2005. MILITARY VALUES A TERM STRAIGHT OUT OF BRACK LANGUAGE. AND SO I THINK IT'S IMPORTANT, IF YOU HEAR ME SAY THAT OVER AND OVER AGAIN, IT'S BECAUSE IT IS IMPORTANT. AND SO TODAY, UM, YOU KNOW, IN 2015, WE BECAME GENERAL FUNDED, BUT TODAY, UH, WE DO FOCUS ON ADDING MILITARY VALUE TO OUR MISSIONS SO WE CAN KEEP THOSE MISSIONS HERE AND KEEP OUR INSTALLATIONS. WHO ARE WE? THERE'S THREE OF US. UNFORTUNATELY, KAREN HAD TO LEAVE, BUT WE'RE LOSING, UH, KAREN TO A, TO A, TO A GOOD JOB AT, AT THE COUNTY. UH, AND WHAT I WANT TO POINT OUT IN THIS, UH, WE, KAREN AND I GOT HIRED ON THE SAME DAY, AND OF COURSE SHE'S LEAVING ME NOW, BUT, UH, SHE DIDN'T HEAR THAT SHE'S NOT HERE. BUT, UH, , UH, IT'S A JOINT. THIS IS, UH, SHE'S AIR FORCE. UH, I'M MARINE CORPS AND I HAVE AN ARMY, UH, PERSON ALSO ON THE STAFF. AND I THINK THAT'S IMPORTANT FOR OUR CREDIBILITY AS WE MOVE FORWARD, UH, IN OUR RELATIONSHIPS WITH ALL OUR SENIOR OFFICERS AND WITH THE COMMUNITY BECAUSE OF THE NUMBER OF VETERANS THAT ARE HERE. MISSION STATEMENT, UH, ONE OF THE FIRST THINGS THAT HAPPENED WHEN I WALKED IN, I WANTED TO SEE WHAT EXACTLY WE DID THE FIVE WS. AND IMMEDIATELY WHAT I, UH, SURMISE IS THAT WE REALLY NEEDED TO HAVE A GOAL WHERE, IF I LOOK BACK 10 YEARS FROM NOW, WHAT DID I WANT OUR MILITARY TO LOOK LIKE IN THIS REGION? AND SO, MY GOAL IN OUR OFFICE'S GOAL, AND WE, WE WORK TOWARDS EVERY DAY, IS TO SUSTAIN AND ENHANCE THOSE MISSIONS. IN OTHER WORDS, MAKE SURE THAT THE MISSIONS THAT WE HAVE HERE STAY HERE, AND THAT WE CONTINUALLY LOOK, UH, AT THE PENTAGON AND AT THE DEPARTMENT OF DEFENSE, IF THERE'S ANY OTHER MISSIONS THAT THEY COME HERE TO JOINT BASE SAN ANTONIO, THAT THE DEPARTMENT OF DEFENSE, IF THERE'S A BASIC CLOSES, THE FIRST PLACE THEY CONSIDER IS JOINT BASED SAN ANTONIO IN THE SAN ANTONIO REGION, FOR ALL THE REASONS THAT WE KNOW, UH, ARE VALUABLE. SO MILITARY VALUES. SO HOW DO WE DO THAT WHEN WE DO THAT? AND AGAIN, THIS IS OUT OF THE BRACK LANGUAGE. UH, HOW DO WE DO THAT? WE DO THAT THROUGH FOUR AREAS, IN MY OPINION. AND I THINK, UH, IF YOU TALK TO EVERY COMMUNITY THAT HOSTS THE MILITARY INSTALLATION, THESE ARE VERY IMPORTANT. AND THESE FOUR AREAS ARE INFRASTRUCTURE SUPPORT, COMPATIBLE LAND USE IN ORDER FOR OUR MILITARY TO DO THEIR MISSIONS, UH, PARTNERSHIPS, WHICH WE HAVE GREAT PARTNERSHIPS RIGHT NOW WITH OUR MILITARY, WITH OUR CIVILIAN COMMUNITY, WITH THEIR BUSINESS PARTNERS, WITH THEIR UNIVERSITIES, AND ALSO ADVOCACY. UH, LET ME GO TO, UM, INFRASTRUCTURE SUPPORT. SO THIS IS THE TYPE OF INFRASTRUCTURE SUPPORT THAT'S OUTSIDE THE WIRE. IT'S NOT INSIDE THE BASE THAT'S THE RESPONSIBILITY OF THE MILITARY. BUT IN THE LAST DECADE OR SO, UH, THE CITY OF SAN ANTONIO HAS REALLY PUT THEIR MONEY WHERE THEIR MOUTH IS $90 MILLION WORTH OF INVESTMENTS, UH, SINCE 2009. BRIDGES, DRAINAGE STREETS, SIDEWALKS, THIS IS EITHER CITY MONEY, BOND MONEY, AND SOME HELP FROM STATE AND FEDERAL AGENCIES, SUCH STATE AND FEDERAL, SUCH AS OUR DAC FUNDS, WHICH I'LL GO INTO A LITTLE BIT MORE. SO IF IT'S VERY IMPORTANT, BECAUSE THIS IS TANGIBLE, UH, THERE'S A LOT OF THINGS THAT A LOT OF FOLKS DO FOR VETERANS AND FOR THE CITY, BUT THIS IS REALLY SOMETHING THAT WE CAN BE PROUD OF AND POINT TO AS A TANGIBLE, UH, DISPLAY OF WHAT WE DO, UH, IN ORDER TO KEEP OUR MISSIONS HERE. COUPLE SUCCESS STORIES. UH, SO THE MILITARY, UH, IS GROWING. THE UNITED STATES AIR FORCE IS ADDING FOUR NEW, UH, BARRACKS OR DORMITORIES BECAUSE THEY'RE GROWING BY ABOUT 4,000 MORE RECRUITS A YEAR. ALL THE MILITARY [02:40:01] IS GROWING, BUT THE AIR FORCE IS GROWING HERE. THIS IS THE ONLY PLACE WHERE YOU TRAIN, UH, ENLISTED AIRMEN, UH, TO GO OUT AND INTO THE, INTO THE AIR FORCE WORLD. SO THEY DID NOT HAVE THE FUNDING. AND THEY CAME TO US, INTO MY OFFICE AND THEY SAID, WE REALLY HAVE A LOT OF CONSTRUCTION THAT IS TAKING PLACE AND FOR THE SAFETY OF OUR CITIZENS, NUMBER ONE, AND TO ENSURE THAT THESE, UH, BUILDINGS AND THIS, UH, INFRASTRUCTURE GETS DONE IN A TIMELY MANNER. CAN YOU HELP US WITH A COUPLE OF ISSUES? AND ONE OF 'EM IS A DECELERATION LANE, UH, OFF OF 90, AND THE OTHER ONE WAS A GROUTING GATE. AND WHAT THAT DOES IS, UH, THERE'S A LOT OF CONSTRUCTION TRAFFIC GOING ON AND ON DESAL LANE, UH, WHAT IT DOES IS IT, IT MAKES IT SAFE AND IT ADDS AN EXTRA LANE IN ORDER FOR ALL THAT CONSTRUCTION TRAFFIC, UH, NOT TO INTERFERE WITH THE REGULAR TRAFFIC. AND IT REALLY HELPS THEM, UH, MAKE THEIR TIMELINES WHEN THEY'RE DOING THEIR CONSTRUCTION. THE GRODEN GATE IS FOR ALL TRAFFIC, BECAUSE THAT'S THE ONLY GATE ON THAT SIDE OF LACKLAND. AND I KNOW, UH, COUNCILMAN SANDIA IS VERY FAMILIAR WITH THE GRODEN GATE AND THE DESAL LANE, AND I THINK THOSE ARE GONNA BE GREAT, UM, UH, GREAT PROJECTS. AND THEY REALLY SHOW COMMUNITY SUPPORT AND MILITARY VALUE COMPATIBLE LAND USE. UM, YOU KNOW, THE MILITARY IS NOT OPPOSED, I SAY THIS ALL THE TIME, UH, TO DEVELOPMENT. UM, AND SO AFTER THE BRAC AND I TALKED ABOUT THE JOINT LAND USE STUDIES, THE JOINT LAND USE STUDIES REALLY OUTLINED, BECAUSE THOSE ARE COMMUNITY STUDIES BETWEEN DEVELOPERS, HOUSING, UH, THE MILITARY, AND, UH, ALL KINDS OF CIVILIAN ORGANIZATIONS TO LOOK AT HOW CAN WE MAINTAIN OUR MISSIONS WHILE IN A SAFE MANNER, MILITARY MISSIONS, WHILE ALSO NOT MITIGATING ECONOMIC DEVELOPMENT AND NOT, UH, AND, AND ALSO KEEPING, UH, OUR COMMUNITY SAFE AND OUR AVIATORS AND OUR, UH, FOLKS THAT ARE TRAINING SAFE. SO WE CAME UP AND AGREED TO THESE JOINT LAND USE STUDIES AROUND EVERY ONE OF OUR INSTALLATIONS. AND, UH, SO WHAT HAPPENS AFTER THAT? WELL, THE JOINT LAND USE STUDIES MAKE VERY COMPREHENSIVE RECOMMENDATIONS ON WHAT KIND OF ZONING, WHAT KIND OF, UH, ORDINANCES AND WHAT DO WE NEED TO DO IN ORDER TO DO THOSE TWO THINGS THAT I SAID, UH, MEET THE MILITARY MISSION WHILE AT THE SAME TIME, UH, ENSURING THAT WE DON'T HARM THE LOCAL COMMUNITY AND THAT THEIR, THE ECONOMIC DEVELOPMENT CONTINUES. AND SO I COUNTED 12, UH, 12 OR 13 ORDINANCES THAT OUR, UH, CITY DEPARTMENTS HAVE DONE. AND THEY INCLUDE, UH, OVERLAYS FOR LIGHTING, UH, OVERLAYS, FOR SOUND ATTENUATION, UH, COMPLIANCE WITH TREE ORDINANCES, COMPLIANCE WITH, UM, CONSERVATION ACTS. AND ALSO WE ASSIGN MEMORANDUMS OF UNDERSTANDING WITH EVERY ONE OF OUR BASES, OR WITH JOINT BASE SAN ANTONIO ON NOTIFICATIONS THAT IF A DEVELOPER, UH, WANTS TO DEVELOP A LINE, UH, SOMETHING WITHIN A FIVE MILE BUFFER, LET'S SAY, OF A J LUST AREA, UH, THAT WE SIT DOWN, WE, THE CITY, THE DEVELOPERS AND THE MILITARY, UH, SIT DOWN AND TRY TO COME TO AN AGREEMENT. AND WE DO THIS ALL THE TIME. AND MELISSA RAMIREZ AND MIKE SHANNON ARE HERE, UH, WITH DEVELOPERS TO DO THAT. SO LET ME TELL YOU A REAL QUICK STORY ON MARTINDALE. MARTINDALE IS A TEXAS NATIONAL GUARD, UH, ORGANIZATION. THEY FLY A ROTARY WING THAT OUR ONLY LOCAL HELICOPTER SOURCE, THEY WERE HUGE, UH, ASSET HERE DURING HURRICANE HARVEY. UH, THERE WAS A, UH, DEVELOPER THAT WANTED TO BUILD RIGHT OUTSIDE THE GATE. THIS IS IN DISTRICT TWO. I GOT AN EMAIL, UH, ONE EVENING FROM THE TEXAS NATIONAL GUARD, ONE OF THEIR SS, AND SAID, CAN YOU GIVE US SOME HELP WE'RE DEVELOPING HERE? AND IF THIS HAPPENS, BECAUSE OF THE SOUND AND BECAUSE OF THE SAFETY OF THE FLIGHT PATTERN, UH, WE MIGHT NOT BE ABLE TO TRAIN HERE. SO WHAT DOES THAT MEAN? THAT MEANS THAT THEY'D HAVE TO GO AWAY AND TRAIN SOMEWHERE ELSE. SO WE SAT DOWN WITH A DEVELOPER, WE, AND THE, EXCUSE ME, THE LANDOWNER. UH, WE SAT DOWN WITH THE MILITARY AND WE HASHED OUT AN AGREEMENT TO WHERE IT WAS COMPATIBLE TO WHERE WE WOULD USE, WE WOULD SET STANDARDS AGAIN, WE WOULD PUT THE M L O D AND THE M L O D, UH, AND THE M S A O, WHICH ARE SOUND ATTENUATION AND, AND OTHER, UH, RE I'M SORRY, RESTRICTIONS. IT'S NOT MY WATER, BUT IT TASTES GOOD. , I TELL YOU, I'VE HAD WORSE. SO I DON'T, I DON'T WORRY ABOUT IT. SO , AS LONG AS I'M NOT RUNNING TO THE BATHROOM, I'M OKAY. SO, UM, SO LIGHTING OVERLAY DISTRICT TO ENSURE OUR TRAINING GETS DONE AND ALSO OUR SOUND ATTENUATION, YOUR OWN WATER. THANKS. ALRIGHT. I HAD MY FLU SHOT. SO THEY CAME TO US AND WE SAT DOWN AND WE AGREED THAT THESE ARE THE SOUND ATTENUATION AND THESE ARE THE, NOT RESTRICTIONS, BUT ORDINANCES THAT WE WOULD PUT TOGETHER, AND WE AGREED TO THEM. AND SO WHAT, WHAT THAT DOES, IT MEANS THAT THEY CONTINUE WITH THEIR [02:45:01] TRAINING MISSION, WHICH IS VERY IMPORTANT. THE OTHER THING I THINK IS VERY IMPORTANT IS THAT THEY'RE ABLE TO GROW. SO I DON'T WANNA LOCK OUR MILITARY INSTALLATIONS INTO WHERE YOU CAN ONLY DO CERTAIN MISSIONS AND YOU'VE GOT SO MUCH DEVELOPMENT AROUND THEM THAT YOU CAN'T GROW. WE WANT TO GROW, WE WANNA BE ABLE TO ABSORB THOSE MISSIONS THAT WE HAVE THE CAPABILITY TO ABSORB. AND I KNOW THAT THE COMMUNITY CAN DO SO. SO MARTINDALE BIG SUCCESS. THEY'RE VERY HAPPY WITH US, AGREE MELISSA, AND THEY'LL BE ABLE TO, TO FLY THEIR MISSION. SO THE TEXAS NATIONAL GUARD, UH, THEY'RE READY TO GO, UH, FOR ANOTHER MISSION. AND OH, BY THE WAY, WE HAD AN M O U SIGN WITH 'EM TO, THEY WILL NOW ALSO BE INFORMED OF ANY FURTHER DEVELOPMENT THROUGH JOINT BASE SAN ANTONIO, WHICH THAT WASN'T THE CASE BEFORE. IT WAS. THEY, THEY WERE NOT EVEN UNDER OUR RADAR. ADVOCACY, YOU KNOW, FOLKS IN UNIFORM CANNOT, UH, SPEAK, UH, ABOUT ADDITIONAL MILITARY MISSIONS. THEY CAN'T ADVOCATE FOR BASING, UH, THEY CAN'T ADVOCATE FOR FUNDING. BUT, UH, ME AN OLD RETIRED CIVILIAN, UH, WORKING FOR THE CITY, WE CAN, UH, AND WE DO SO AND WE DO SO ALL THE TIME, AND WE SEE IT AS OUR RESPONSIBILITY. AND WE'VE DONE THIS IN THE PAST WITH SOME OF THE HELP FROM YOU ALL, UH, AT THE FEDERAL, AT THE STATE, AND AT THE LOCAL LEVEL, AT THE FEDERAL LEVEL. UH, I KNOW, UH, UH, THE CITY MANAGER AND THE MAYOR, AND I THINK, UH, COUNCILMAN PERRY AND, AND COUNCILMAN TREVINO WENT TO THE PENTAGON. WE ADVOCATED VERY HARD, UH, AS YOU KNOW, UH, FOR ALL, UH, TYPE SUBMISSIONS. ONE OF 'EM WAS BATTLEFIELD AIRMEN, AND I THINK THAT'S, UH, THAT, AND WE GOT BATTLEFIELD AIRMEN AFTER TWO YEARS OF, OF ADVOCATING. UH, WE'VE ALSO ADVOCATED FOR, UH, OTHER ISSUES AT THE STATE LEVEL FOR DAG MONEY, DEFENSE, ECONOMIC ADJUSTMENT ASSISTANCE GRANTS, UH, FOR THOSE INFRASTRUCTURE PROJECTS THAT WE REALLY NEED. UH, TWO BI BIENNIUMS AGO, THERE WAS ZERO MONEY, UH, FOR THESE INFRASTRUCTURE PRO, UH, PROGRAMS FROM THE STATE. UH, WE COALESCED AS 15 MILITARY INSTALLATIONS. AND MY COUNTERPARTS AT THE OTHERS, WE REALLY ADVOCATED REALLY HARD AND WE WERE ABLE TO GET A TOTAL OF, UH, $50 MILLION WITHIN THE LAST TWO BIENNIUMS. 15 MILLION OF IT CAME HERE, UH, TO JOINT BASE SAN ANTONIO. WE GOT $5 MILLION EVERY TIME. AND SO WATER CONNECTORS LAND AROUND RANDOLPH, UH, FOR STANDOFF AND OTHER, UH, UH, THE OTHER THING WAS PORT IMPROVEMENTS FOR KELLY AIRFIELD ALL ADDING MILITARY VALUE. SO I THINK IT'S VERY IMPORTANT ABOUT WITH THE ADVOCACY, AND WE'LL CONTINUE TO DO SO. UH, DO SO. AND THAT WAS AT THE 85TH LEGISLATURE. WE'LL BE READY TO GO AT THE 86TH. I WENT DOWN AND, AND ADVOCATED ON BEHALF OF THE TREE ORDINANCE. SO HERE YOU GO. A A MARINE WALKING OUT AND ALL THE, UH, SIERRA CLUB, UH, MEMBERS WERE HUGGING AND KISSING ME. I LOVED IT. UH, BUT YOU TAKE IT FOR THE TEAM. AND WE KEPT THAT ORDINANCE IN PLACE. SUCCESS STORIES. UM, AGAIN, I'M, UH, I'VE TALKED ABOUT THE DAG UH, WE'RE GONNA ADVOCATE FOR THAT AGAIN. AND ALSO WHAT WAS REALLY IMPORTANT WAS THE B SS C BROOK ARMY MEDICAL CENTER. I MEAN, THAT'S THE NUMBER ONE, UH, LEVEL ONE TRAUMA CENTER, UH, IN THE NATION FOR THE DEPARTMENT OF DEFENSE. THAT'S A GEM. AND, AND WE ADVOCATED VERY HARD IN YOU ALL IN THIS ROOM, UH, SIGNED THAT PROCLAMATION. AND AS OF, UH, AND I WENT TO THE PENTAGON, UH, HERE A FEW WEEKS, A FEW MONTHS AGO, AND THEY, THEY'RE STILL TALKING ABOUT THE COMMUNITY SUPPORT TO KEEP THAT HOSPITAL HERE. AND EVERY TIME I SEE SENIOR, ESPECIALLY SENIOR GENERAL OFFICERS THAT ARE MEDICAL OFFICERS, THEY, THEY ALWAYS MENTION THE FACT THAT THE CITY OF SAN ANTONIO COMMUNITY SUPPORT, UH, DID THAT PROCLAMATION AND THEY KNOW THERE WAS OPPOSITION TO IT. SO, UH, THAT'S A, A REAL, UH, IN MY OPINION, AND THAT'S A REAL WIN FOR US. PART PARTNERSHIPS ARE REALLY IMPORTANT. UM, THESE HAVE TO BE MUTUALLY BENEFICIAL FOR THE COMMUNITY, EXCUSE ME, FOR THE COMMUNITY AND, UH, FOR JOINT BASE SAN ANTONIO. AND WHAT THEY DO IS THEY REALLY INCREASE, UH, THE VALUE OF THE INSTALLATION. BUT WHAT THEY DO IS THEY TAKE CORE COMPETENCIES OF A MUNICIPALITY SUCH AS PAVING, UH, SUCH AS WASTE MANAGEMENT, AND THEY PARTNER WITH THE MILITARY. SO WE'RE, SO THE, THE AIRMEN, THE MARINE, THE SOLDIER IS NOT PICKING UP TRASH, UH, OR NOT THAT THERE'S ANYTHING WRONG WITH THAT, OR PAVING SIDEWALKS OR ACTUALLY DOING THEIR ACTUAL MILITARY CORE COMPETENCY MISSION THAT THEY'RE SUPPOSED TO DO, UH, WHILE THEY'RE DEPLOYED OR ON A CONTINGENCY. AND SO, UM, THOSE ARE FORMAL AGREEMENTS. WE DID ONE, WE WORKED ON IT FOR TWO YEARS. WE FINALLY BROKE THE, THE MOLD AND GOT THE TEMPLATE. AND, UH, THAT WAS, UH, DUE TO GENERAL PRINGLE COMING TO THE M T T F. AND SHE ALSO CAME TO, UH, THE I G R COMMITTEE AND SAID, THIS IS WHERE WE NEED HELP. WE NEED PAVING BECAUSE [02:50:01] OUR ROADS ARE REALLY BAD INSIDE THE WIRE. AND SO WE STARTED PARTNERING WITH T C I T C, I HAS BEEN A GREAT PARTNER. UH, AND THEN WE, WE DID THAT PROJECT. AND SO I THINK THAT PROJECT WILL, THEY'LL PUT A SHOVEL IN THE GROUND IN JANUARY. WE'RE LOOKING AT WASTE MANAGEMENT. WE'RE LOOKING AT, UH, ELEVATOR MAINTENANCE. WE'RE LOOKING AT OTHERS IN ORDER TO PARTNER. AND AGAIN, GREAT RELATIONSHIP BUILDING. BUT AT THE D O D LEVEL, AT THE STRATEGIC LEVEL, WHAT THEY SEE IS THE COMMUNITY IS SUPPORTING, UH, THE MILITARY AND JOINT BASE, SAN ANTONIO. ALL OF YOU HAVE, UH, UH, HAVE CALLED, UH, ONE TIME OR ANOTHER, UH, SUPPORT THE CITY COUNCIL. AND WE'RE ALWAYS GLAD, UH, TO BE, WE'RE ALWAYS STANDING BY TO SUPPORT, WHETHER IT BE PROTOCOL QUESTIONS OR, UH, CEREMONIAL QUESTIONS OR FACILITATE BASE ACCESS OR FACILITATE VISITS ON THE INSTALLATION. AGAIN, WE ENCOURAGE THAT GENERAL LINDEMAN, WHO IS, UH, LAURA LINDEMAN, WHO IS A TREMENDOUS LEADER, UH, IS ALWAYS ENCOURAGING INVITATIONS, UH, FOR THE MEMBERS OF CITY COUNCIL. THE MAYOR, THE MANAGER, AND SHE'S COME UP HERE TO MEET WITH SOME OF YOU. SHE'S BEEN UP TO COUNCIL, SO THAT'S BEEN REALLY GOOD. WE COORDINATE THE, THE, THE, THE CEREMONIES AGAIN, AND ON THE OTHER SIDE, UH, THEY ALL, THEY CALL US ALL THE TIME AND SAY, YOU KNOW, CAN, CAN WE CALL THE MAYOR RON? AND NO, YOU CAN'T DO THAT. SO, PROTOCOL QUESTIONS, AND I, I GOT ONE OF THOSE, UH, MAYOR, I'M SORRY, BUT IT, BUT SO WE DO IT IN, UH, BOTH SIDES. SO WE'RE THAT, I THINK WE'RE A VERY GOOD LIAISON BETWEEN THIS BODY HERE AND THE LEADERSHIP AT JOINT BASE SAN ANTONIO, UH, SUPPORT THE CITY DEPARTMENTS. UH, WE WORK WITH CITY DEPARTMENTS ALL THE TIME, UH, CITY DEPARTMENTS, AND I'M GONNA LIST THEM RIGHT THERE. BUT, YOU KNOW, TRICENTENNIAL, THIS WAS A STOOD UP 20, UH, 20 EVENTS THAT, UH, KAREN RAD PUT TOGETHER THAT, UH, WERE HERE THROUGHOUT THE YEAR, BUT WE DO ALL KINDS OF OTHER THINGS. I TALKED ABOUT T C I, BUT WE WORK WITH D S D ALL THE TIME. UH, WE WORK WITH ECONOMIC DEVELOPMENT, UH, GIVING, GETTING 'EM ACCESS, GETTING THEM ACCESS TO MILITARY LEADERS. UH, YOU KNOW, SS A P D I SAW THE CHIEF RIGHT HERE. UH, WE ANSWER QUESTIONS ALL THE TIME ON THEIR RESERVISTS. UH, AND, UH, REMEMBER LAST YEAR, THEY, UH, PROVIDED SUPPORT FOR THE J B S A AIR SHOW, UH, WHICH WAS SOMETHING THAT THEY REALLY ARE STILL THANKFUL FOR, EVEN ARTS AND CULTURE. UH, AND THE OTHER THING IS, WE, WE, UH, WE GO AND DO SPEAKING, UH, ISSUES OR SPEAKING EVENTS FOR THEM. AND SO IT'S, IT'S A VERY GOOD RELATIONSHIP BETWEEN OUR OFFICE, OUR US THREE, AND, UH, UH, CITY DEPARTMENTS MILITARY TRANSFORMATION TASK FORCE. UH, IN MY OPINION, THAT IS THE BEST FORUM THAT WE HAVE FOR COMMUNICATING SUPPORT. AS YOU KNOW, IT'S TRI CHAIR, COUNCILMAN PERRY REPRESENTS THE CITY. UH, COMMISSIONER WOLF, UH, REPRESENTS THE COUNTY. AND THEN WE HAVE, UH, RICHARD PEREZ REPRESENTING THE BUSINESS COMMUNITY. UM, WE SET THE AGENDA. WE, WE, WE INVITE THE BRIEFERS AND EVERY PROJECT THAT I'VE TALKED TO YOU ABOUT, UH, PROBABLY TO INCLUDE EVERY ONE OF THOSE PROJECTS, OF THE $90 MILLION FOR THE INFRASTRUCTURE PROJECTS, THE BSI, UH, ISSUE, THE MARTINDALE, EVERY ONE OF THOSE CAME THROUGH THE MILITARY TRANSFORMATION TASK FORCE. EVERY SINGLE ONE OF 'EM DID. AND ACTUALLY SOMETHING GOT DONE. SO I THINK THAT'S A GREAT COMMUNITY FORUM. AND THE ARMY, SPECIFICALLY THE ARMY AND THE SENIOR NAVY, OR THE SENIOR, UH, AIR FORCE, UH, GENERALS THAT ARE HERE, UH, REALLY LIKE THAT FORUM BECAUSE WE BRING THEM TO THE TABLE AND THEY TELL US THE COMMUNITY WHAT THEIR NEEDS ARE. UH, VETERAN SUPPORT. WE DON'T HAVE A DEDICATED, ANY DEDICATED CASE MANAGERS, UH, FOR VETERAN SUPPORT, BUT WE DON'T NEED 'EM, IN MY OPINION, BECAUSE WE LEVERAGE 200 GREAT, UH, VETERAN SUPPORT ORGANIZATIONS IN OUR CITY. AND TODAY, UH, WITH ME, I BOUGHT THE U SS O, UH, IS HERE, MR. CHUCK BUNCH, UH, THE V O T C, WHICH THE CITY PROVIDED $7.4 MILLION IN ORDER, UH, TO BUILD THAT, UH, BRICK AND MORTAR BUILDING. HOW MANY PEOPLE HAVE YOU SEEN IN THE LAST YEAR? WE'VE PROVIDED SERVICE TO 3,600, UH, CLIENTS IN THE LAST YEAR. AND A LOT OF 'EM HAVE BEEN REFERRALS. THESE ARE ACTUAL RETURN ON INVESTMENT, HAVE BEEN REFERRALS THAT COME FROM EVERYWHERE TO INCLUDE OUR OFFICE. UH, WE GET A LOT OF 3 1 1 EMAILS. CAN YOU ANSWER THIS? AND WE USUALLY REFER THEM TO ONE OF THEM, THEM HERE. UH, ONE OF THE FOLKS THAT ARE HERE, ONE OF THE VETERANS SUPPORT ORGANIZATIONS, UM, I THINK THE ONES THAT WE REALLY WORK WITH THE MOST ARE THERE, UH, GOOD SAMARITAN, UH, VETERANS OUTREACH, WHICH AGAIN, IT WAS PART OF THE CITY FUNDING, UH, U SS O. WE WORKED CLOSELY WITH THEM. AND, UH, THE BEXAR COUNTY SERVICES, WHICH I THINK WE'RE GONNA HAVE A REAL GOOD END NOW, UH, WITH THAT PARTICULAR DEPARTMENT, WITH KAREN RAD GOING THERE. UM, WE INITIATED, UH, UH, ONE OF THE THINGS THAT, UH, WE DIDN'T KNOW HOW MANY VETERANS WERE IN THE CITY. WE INITIATED A SELF IDENTIFICATION, UM, UH, PROGRAM WITH HR AND WENT WITHIN THE FIRST HOUR, [02:55:01] 800 VETERANS THAT WORKED FOR THE CITY OF SAN ANTONIO HAD REGISTERED ON THAT. E S S, WE'RE GONNA KEEP IDENTIFYING THEM, UH, AND ALL. WE ALSO SUPPORT PROCLAMATIONS, UH, YOU KNOW, THE CHINESE, UH, AMERICAN WORLD WAR II, THE FILIPINO WORLD WAR II. WE, AND WE, WE ENJOY DOING THAT. AND THAT'S GREAT OUTREACH FOR THE IN, IN THE COMMUNITY. UH, THE VETERANS AFFAIRS, UH, COMMISSION WAS DORMANT, UH, WHEN WE GOT HERE. THEY HADN'T HAD A QUORUM IN TWO YEARS. UH, MOST OF THE SEATS WERE UNFILLED. THEY WERE, UH, ON THE LIST TO BE SUNSETTED. UM, AND A LITTLE BIT OF BACKGROUND THAT WAS ESTABLISHED IN 2001, IT'S GOT 11 MEMBERS. THEY'RE ALL VETERANS, UM, OR SUPPOSED TO HAVE ONE PER, UH, DISTRICT AND ONE FOR THE MAYOR. AND THEIR MAIN GOAL IS TO ADVISE MEMBERS OF CITY COUNCIL. AND I'M PREACHING TO THE CHOIR HERE BECAUSE YOU HAVE, UH, THESE FOLKS THAT, THAT ARE WITH YOUR TEAMS ON VETERAN ISSUES OF COMMON, YOU, YOU KNOW, COMMON VETERAN ISSUES. UH, SO IN 2016, ONLY THREE OUTTA THE 11 SEATS FULFILLED. IT WAS MOSTLY NOTHING WRONG WITH VIETNAM ARAB BETTS, BUT, YOU KNOW, VIETNAM RABBET WALKS INTO A PLACE AND, YOU KNOW, WHERE'S A BAR? AND A POST NINE 11 BET WALKS IN AND SAYS, WHERE'S THE WIFI? COMPLETELY DIFFERENT TYPE OF MENTALITY. UH, AND SO THAT'S WHAT WE STARTED TO BRING IN. AND WE'VE GOT RICHARD, UH, DELGADO BACK HERE, WHO REPRESENTS OUR MAYOR. AND HE IS THE CHAIR OF, UH, THE VETERANS AFFAIRS COMMISSION. RICHARD LIKES THE BAR TOO, . UM, SO, UH, SUCCESS STORIES HERE. UM, SO TODAY, UH, 10 OUT OF 11 SEATS ARE FILLED. UH, WE REALLY ARE WORKING HARD TO GET THAT 11TH, UH, ONE FILLED BECAUSE THEY REPRESENT YOU. THEY ARE THE ONES THAT ARE ON THE GROUND, UH, THAT HAVE THE, THE BEAT AND THE HEARTBEAT OF THE VETERANS IN YOUR DISTRICTS. AND THEY'RE THE ONES THAT ARE GONNA ADVISE YOU. AND I ENCOURAGE YOU TO MAKE THEM ADVISE YOU AND MAKE 'EM WORK HARD, BECAUSE THEY WANNA WORK HARD. I SIT IN THE MEETINGS WITH 'EM, UH, AND THEY DO A GREAT JOB OF DOING THINGS, UH, FOR THE CITY. UM, SOME OF THE THINGS THEY HAVE DONE, WHICH ARE TANGIBLE, I GO BACK TO TANGIBLE RESULTS. UH, THEY HAVE HELPED US WITH ESSAY SPEAK UP. UH, THEY NOW, UH, GO TO TOWN HALLS WHERE, UH, YOU KNOW, COUNCILMAN PERRY, COUNCILMAN COURAGE, UM, UH, COUNCILMAN BROCK HOUSE, THEY'LL BRING IN VETERAN SUPPORT ORGANIZATIONS, THE VETERANS OF THE, THE COMMISSIONERS, UH, HELP THEM PUT THOSE TOGETHER. AND WHEN I SIT IN THE MEETINGS WITH 'EM, THEY ARE ASSISTING VETERANS IN EVERY DISTRICT. AND THEY DO IT AT THE VERY TACTICAL LEVEL. THEY GET A CALL, I CAN'T PAY MY BILLS, I DON'T HAVE MOBILITY. I CAN'T FIND MY DD TWO 14. AND THAT'S WHERE THEY COME IN AT THE VERY TACTICAL LEVEL, AND THEY DO A VERY GOOD JOB OF IT. UH, THEY RECORD IT. YOU DON'T SEE IT SOMETIMES, BUT I THINK THEY DO A GOOD JOB. AND SO THEY'RE ASSISTING VETERANS IN EVERY DISTRICT. UH, THEY'RE ALSO WORKING, WHICH ARE, UH, WITH OUR HR DEPARTMENT TO SEE, UH, ABOUT HIRING, UH, VETERAN HIRING OPPORTUNITIES, UH, WITHIN THE CITY OF SAN ANTONIO. UM, BRAC, EVERYBODY WANTS TO TALK ABOUT BRAC RIGHT NOW. UM, AND I SPEAK TO FOLKS AT THE PENTAGON ALL THE TIME. ONE ISN'T SCHEDULED TILL 2021, UH, TENTATIVELY THAT'S WHAT THEY'RE SAYING. UH, AND THE AIR FORCE, ALL FORCE SERVICES ARE SAYING THAT THEY HAVE TOO MUCH INFRASTRUCTURE. THEY WANT TO GET RID OF IT. THE AIR FORCE HAS BEEN SAYING THAT THEY'VE HAD 30% INFRASTRUCTURE THAT THEY WANT TO GET RID OF. THEY WANT TO DECLARE IT. THERE'S ALSO, YOU'VE GOT, UH, INFRASTRUCTURE, AND I'VE SEEN IT ON MARINE BASES, WHERE THEY'RE STILL SUPPORTING HELICOPTERS THAT ARE OLDER THAN I AM, LITERALLY. AND NOW THEY'VE GOT F 35 AIRCRAFT COMING IN, SO THEY HAVE TO REPLACE IT. SO THAT'S WHAT THEY'RE TALKING ABOUT. UH, I SAID THIS BEFORE THE ELECTION, UH, AND I'M, I'LL SAY IT AGAIN, UH, WITH A NEW CONGRESS, UH, THE WAY IT IS, WE MIGHT HAVE A BRACK SOONER THAN THAT. THAT'S WHERE WE'RE ALWAYS PREPARING. WE'RE ALWAYS ON THE OFFENSE, OFFENSE, OFFENSE, OFFENSE WHEN IT COMES TO MILITARY VALUE AND KEEPING OUR INSTALLATIONS. SO WE'RE BRACK PROOFING. HOW DO WE DO IT? I JUST TALKED ABOUT IT IN ALL THE SLIDES, UH, WITH THAT BRACK LANGUAGE IN THOSE FOUR BUCKETS THAT I TALKED ABOUT, ABOUT SUPPORTING OUR, OUR MILITARY, UH, THROUGH COMMUNITY SUPPORT AND DOING IT THROUGH THOSE INFRASTRUCTURE ADVOCACY AND EVERYTHING WE HAVE DONE, AND WE'LL CONTINUE TO DO AS WE MOVE ALONG. OKAY? BELIEVE IT OR NOT. LAST SLIDE. UH, SO I'VE TALKED ABOUT ALL OF THIS, BUT I WANNA REALLY EMPHASIZE THE FACT THAT THE, OUR OFFICE WAS UNDER THE, UH, E D D AT ONE POINT, ECONOMIC DEVELOPMENT. BECAUSE IF YOU REALLY THINK OF NEW MISSIONS, WHAT ARE THEY? THEY'RE NEW JOBS THAT COMES IN THE CITY. SO I TALKED ABOUT BATTLEFIELD AIRMEN GREAT, IN MY OPINION, UH, A GREAT MISSION TO GET HERE. NOW, THEY'RE GONNA LOOK AT US IF THEY REALIGN MORE BASES WITHOUT THOSE TYPES OF MISSIONS. BUT IN THE TWO YEARS THAT I'VE BEEN HERE IN THE ADVOCATING THAT THAT HAS BEEN DONE BY ALL OF US, UH, WE'VE QUIETLY GROWN 1500 NEW JOBS, NEW POSITIONS, MILITARY POSITIONS, AND CYBER ENGINEER, INTELLIGENCE AND MEDICAL, AND WE'RE LOOKING AT [03:00:01] HUNDREDS OF OTHERS THAT WE'RE READY TO GO AND ADVOCATE FOR AND GET THE CAPABILITY HERE. AND HOW DO WE DO IT? I JUST TALKED ABOUT IT THROUGH THOSE FOUR BUCKETS. THE BEST SAYING THAT I'VE EVER HEARD IS, NO, NO CITY LOSES ITS MILITARY INSTALLATIONS. AND THE ONLY ONES THAT DO ARE THE ONES THAT DON'T HAVE THE POLITICAL WILL TO KEEP THEM. AND I THINK WE DO HAVE THAT POLITICAL WILL HERE. UH, FUTURES COMMAND. I THOUGHT THAT WAS A BIG WIN. WE'RE GETTING READY TO GO IN DECEMBER, UH, TO TALK TO THE FOUR STAR GENERAL TO SEE HOW WE CAN PARTNER MORE. I TALKED ABOUT THE I G S A. THAT'S JUST THE BEGINNING. UH, MARTINDALE, I TELL YOU, THAT WAS HUGE FOR THE TEXAS NATIONAL GUARD AND FOR OUR ROTARY WING ASSETS HERE, UH, NOT ONLY IN THE, IN SAN ANTONIO, BUT IN THE REGION. IF THE NATIONAL GUARD WANTS TO GROW IN THE FUTURE, UH, THIS IS WHERE IT'S GONNA GROW, UH, BECAUSE WE, UH, PROVIDE THOSE INCENTIVES HERE. AND OF COURSE, DAG WILL CONTINUE TO FUND, THE DAG WILL CONTINUE TO ADVOCATE. THAT WAS A THUMBNAIL SKETCH OF, UH, REALLY WHAT WE DO AND WHAT WE'VE DONE IN THE LAST TWO AND A HALF YEARS. UH, THIS HAS BEEN QUITE, UH, AN ENJOYABLE AND, AND, AND CHALLENGING, UH, ASSIGNMENT. AND, UH, IT'S REALLY KEPT MY FOOT IN THE DOOR ALSO. BUT I TELL YOU THAT I THINK THE MOST IMPORTANT THING IS, YOU KNOW, THE OLD SAYING THAT, UH, IT'S NOT ABOUT, UH, NOTHING'S PERSONAL. IT'S INTENSELY PERSONAL. IT'S ALL ABOUT THOSE PERSONAL RELATIONSHIPS THAT ALL OF US HAVE BUILT WITH SENIOR MILITARY GENERALISM WITHOUT, WITH THE REST OF THE COMMUNITY. SO, UH, MAYOR COUNCIL, THANK YOU VERY MUCH FOR YOUR ATTENTION. AND I'M, I KNOW YOU'VE GOTTA GO, BUT I'M STANDING BY FOR QUESTIONS. GREAT. THANK YOU VERY MUCH, GENERAL, UH, FOR YOUR GREAT WORK, UH, OVER THE LAST COUPLE YEARS THAT YOU'VE, UH, ASSUMED THE ROLE. UH, IT'S ALL BEEN, UH, VERY IMPACTFUL. SO WE'RE, UH, APPRECIATIVE AND WE'RE HERE TO SERVE YOU AS, AS YOU CONTINUE TO SERVE THE CITY. SO, UM, KEEP UP THE GREAT WORK AND, UH, I, I WOULD URGE YOU TO CONTINUE TO REMAIN AGGRESSIVE WITH YOUR APPROACH, UH, JUST WITH, WITH COUNCIL AND WHAT, WHAT OUR PARTNERS, UH, J B S A NEED, UH, TO CONTINUE TO GROW, BUT ALSO TO PROTECT THEMSELVES FROM, UH, LEGISLATIVE MEDDLING. UH, AND ALSO, KEEP IN MIND, WE ARE CONVENING ON THE 2019 SESSION. UH, SO, UH, WE, WE DEFINITELY NEED YOU, WE NEED YOUR INPUT AND, AND WE'LL BE READY TO GO. THANK YOU. WE DO HAVE A, UH, EXECUTIVE SESSION, A BRIEF ONE BEFORE WE GET TO CEREMONIALS. UM, SO I'M GONNA GO AHEAD AND, AND CONVENE US IN THE EXEC. THE, UH, TIME NOW IS 5:17 PM ON THIS 14TH DAY OF NOVEMBER, 2018. PURSUANT TO THE AUTHORITY GRANTED BY CHAPTER 5 5, 1 OF THE TEXAS GOVERNMENT CODE V T C S, TEXAS OPEN MEETINGS ACT. AND COUNCIL WILL NOW RECESS INTO EXECUTIVE SESSION TO DISCUSS ECONOMIC DEVELOPMENT NEGOTIATIONS PURSUANT TO TEXAS GOVERNMENT CODE SECTION 5 5 1 0.087, ECONOMIC DEVELOPMENT, PURCHASE EXCHANGE, LEASE, OR VALUE OF REAL PROPERTY PURSUANT TO TEXAS GOVERNMENT CODE SECTION 5 5 1 0.072, REAL PROPERTY AND LEGAL ISSUES RELATED TO CHARTER AMENDMENTS PURSUING TO TEXAS GOVERNMENT CODE SECTION 5 5 1 0.071 CONSULTATION WITH ATTORNEY. GOOD EVENING, EVERYONE. UH, CITY COUNCIL IS RECONVENED FROM ITS EXECUTIVE SESSION. THOSE ITEMS NOT DISCUSSED WILL BE TAKEN UP TOMORROW. WELCOME EVERYONE TO OUR CEREMONIALS AGENDA. APPRECIATE EVERYONE'S PATIENCE. UH, WE HAVE THREE CEREMONIALS TODAY, AND AS MY COLLEAGUES TAKE THEIR SEAT, WE'LL GO AHEAD AND START WITH OUR FIRST, AND THAT IS THE 50TH ANNUAL ELF LOUISE CHRISTMAS SEASON, THE ELF LOUISE CHRISTMAS PROJECT. WE'LL KICK OFF ITS 50TH SEASON OF DELIVERING CHRISTMAS GIFTS TO DISADVANTAGED CHILDREN IN THE GREATER SAN ANTONIO AREA. THE NONPROFIT ORGANIZATION FOUNDED IN 1969 BY LOUISE WALKER, WHILE SHE WAS A STUDENT AT TRINITY UNIVERSITY, HAS DELIVERED CHRISTMAS GIFTS TO MORE THAN 1 MILLION CHILDREN SINCE ITS INCEPTION. SO, I'D LIKE TO CALL FORWARD NOW ROSE SILLER TO ACCEPT THIS PROCLAMATION, AND I'LL GO AHEAD AND READ IT NOW. YES, SIR. GOOD EVENING. GOOD EVENING. WHEREAS DECEMBER, 2018, WE'LL MARK THE 50TH SEASON OF THE ELF LOUISE CHRISTMAS PROJECT, A LOCAL HOLIDAY TRADITION OF DELIVERING TOYS TO DESERVING CHILDREN OF BEXAR COUNTY. AND WHEREAS FOUNDED IN 1969 BY LOUISE LOCKER, WHEN SHE WAS A STUDENT AT TRINITY UNIVERSITY, THIS NONPROFIT ORGANIZATION, STAFFED BY VOLUNTEERS AND FUNDED BY DONATIONS, IS DEDICATED TO PROVIDING A LITTLE BIT OF JOY TO LESS FORTUNATE CHILDREN DURING THE CHRISTMAS SEASON. AND WHEREAS THE ELF LOUISE CHRISTMAS PROJECT RELIES ON THE HELP OF DONATIONS FROM GRASSROOTS SAN ANTONIO AND CORPORATIONS WHO WANT TO SHARE THEIR BLESSINGS AT CHRISTMAS. AND WHEREAS THIS SEASON, NEARLY 5,000 VOLUNTEERS WILL WRAP OVER 35,000 GIFTS FROM MORE THAN 20,000 CHILDREN THAT WILL BE DELIVERED BY OVER 450 MEN AND WOMEN DRESSED AS SANTA. NOW, THEREFORE, I RON NURENBERG, MAYOR OF THE CITY OF SAN ANTONIO, IN RECOGNITION THEREOF, [03:05:01] DO HEREBY PROCLAIM DECEMBER, 2018 TO BE THE ELF LOUISE 50TH ANNUAL CHRISTMAS PROJECT. CONGRATULATIONS. THANK YOU. THANK YOU VERY MUCH. TAKE A PICTURE. SURE. YOU WANNA TAKE A PICTURE? THAT OKAY HERE? YES. ON BEHALF OF LOUISE LOCK, WE'D LIKE TO THANK YOU FOR RECOGNIZING THE EL LOUISE CHRISTMAS PROJECT. IT IS RUN PRIMARILY ON NOTHING BUT VOLUNTEERS. THOSE 35,000 GIFTS WILL BE WRAPPED IN ONE WEEK. IT'LL START ON A SUNDAY, AND WE WILL END THAT FRIDAY. THEY WILL BE ALL ROUTED OUT AND BE DELIVERED BEFORE YOU KNOW IT. AND THE JOY THAT IT BRINGS DECEMBER 16TH, WE INVITE ANYBODY WHO WOULD LIKE TO JOIN US FOR A ROUTE, WE WILL TAKE YOU IN A ANTIQUE CAR, PRE 1964, MAYBE 1926. WE WILL INVITE YOU, JOIN US DECEMBER 16TH AT ONE 30, PORTES SE. WE WILL, WE WILL PUT YOU ON ONE OF THOSE CARS AND GO ON A QUICK ROUTE TO DELIVER THE TOYS. THANK YOU AGAIN, MR. MAYOR. APPRECIATE IT. MERRY CHRISTMAS. THANK YOU. GOD BLESS YOU. WE'VE GOT A FEW FOLKS I THINK, WHO WOULD LIKE TO SAY A FEW WORDS. THANK YOU. BEFORE SANTA, BEFORE YOU GUYS LEAVE , SAY SOMETHING FIRST. SURE. ABSOLUTELY. I'LL, UM, I JUST WANTED TO SAY THANK Y'ALL VERY MUCH, AND, AND IT TAKES A LOT OF DEDICATION FROM PEOPLE TO RUN THIS PROGRAM, NOT JUST THE VOLUNTEERS, BUT TO ORGANIZE ALL OF THIS. AND, UH, UM, I KNOW WHERE YOUR LOCATION IS UP THERE. IT USED TO BE ON AUSTIN HIGHWAY. IS IT STILL UP IN THAT AREA? WE'RE LOCATED THIS YEAR AT PORTES, SAY, EVERY YEAR WE LOOK FOR . OKAY. PORTES SAY, OKAY, WELL, IT USED TO BE UP THERE ON AUSTIN HIGHWAY AND, UH, WHAT A HUB OF ACTIVITY WHEN Y'ALL WERE, UH, DOING ALL OF THIS IN THAT, IN THAT ONE WEEK'S TIME. SO THANK YOU VERY MUCH FOR WHAT YOU DO. IT BRINGS BIG SMILES TO A LOT OF CHILDREN'S FACES AND PARENTS ALSO. YES, IT DOES. UH, SO THAT'S, THAT'S GREAT. THANK YOU FOR VERY MUCH FOR WHAT YOU DO. YOU'RE VERY WELCOME AND HONOR. THANK YOU, MS. PERRY. YES, SIR. I'D JUST LIKE TO ADD MY COMMENT THAT, UH, I HAD AN OPPORTUNITY MANY, MANY YEARS AGO, AND I DIDN'T, I DON'T EVEN RECALL WHERE WE WENT TO DO THIS, BUT I, AND, AND MY WIFE AND ONE OF MY OLDER CHILDREN WENT AND HELPED REP GIFTS, RALPH LOUISE. AND IT JUST WARMS YOUR HEART WHEN YOU'RE ABLE TO PARTICIPATE IN SUCH AN IMPORTANT PROGRAM. SO THANK YOU VERY MUCH. THANK YOU. HONOR, I'D ALSO LIKE TO SAY THANK YOU FOR BEING A GREAT EXAMPLE OF WHAT SAN ANTONIO SPIRIT AND THE HOLIDAY SEASON IS ALL ABOUT. THE, THE FACT THAT WE DON'T, UH, FORGET ANY OF THE CHILDREN IN SAN ANTONIO, ESPECIALLY THOSE WHO ARE LESS FORTUNATE. AND I CAN ASSURE YOU, SANTA, THE ENTIRE CITY COUNCIL HAS BEEN VERY GOOD THIS YEAR. SO THANK YOU ALL VERY MUCH. ALRIGHT. ALRIGHT. OUR SECOND ITEM IS A RESOLUTION OF RESPECT FOR MARLENE SANDLER. IN 1998, MARS, MARLENE SANDLER LEARNED THE CITY OF SAN ANTONIO DID NOT HAVE AN ESTABLISHED DOMESTIC VIOLENCE PROGRAM. MS. SANDLER SELFLESSLY VOLUNTEERED HER TIME TO RESEARCH AND PREPARE A GRANT APPLICATION TO START A PROGRAM FOR THE PREVENTION OF VIOLENCE AGAINST WOMEN IN CITY'S MUNICIPAL COURTS. THE APPROVED GRANT SUPPORTS TWO PROSECUTORS, A CASEWORKER, AND TWO OTHER STAFF POSITIONS. AND THIS WAS THE FIRST TIME SUCH A MUNICIPAL PROGRAM IN THE STATE OF TEXAS WAS FOUNDED AND HAS BEEN A MODEL FOR OTHER CITIES. SINCE ITS INCEPTION, THE PROGRAM HAS SERVED OVER 20,000 WOMEN AND COUNTLESS FAMILY MEMBERS. MS. SANDLER RECENTLY PASSED AWAY, BUT NOT BEFORE. SHE LEARNED THAT HER DEEP WISH TO MAKE A DIFFERENCE IN SOMEONE'S LIFE HAD BEEN FULFILLED. WELL, CITY IS PROUD TO HONOR HER WORK AND THE DIFFERENCE SHE HAS MADE IN OUR, IN OUR COMMUNITY. AND SO NOW I'D LIKE TO CALL FORWARD LAUREN O'CONNOR TO ACCEPT THIS RESOLUTION ON HER BEHALF, AND I'LL READ IT NOW, AN APPRECIATION OF MARLENE SANDER SANDLER, WHEREAS THE DOMESTIC VIOLENCE, EXCUSE ME, WHEREAS THE VIOLENCE AGAINST WOMEN ACT WAS INTRODUCED BY SENATOR JOE BIDEN IN 1994 TO CHANGE OUR NATIONAL CONVERSATION ABOUT THE ABUSE OF WOMEN. AND WHEREAS IN 1997, MARLENE SANDLER IDENTIFIED A NEED IN THE CITY OF SAN ANTONIO FOR A VIOLENCE AGAINST WOMEN PROGRAM TO FACILITATE AND ENHANCE THE PROSECUTION OF DOMESTIC VIOLENCE. CLASS C MISDEMEANORS [03:10:01] PROVIDE FOR THE VICTIM'S SAFETY AND PREVENT THE VIOLENCE FROM ESCALATING. AND WHEREAS MS. SANDLER WORKED SELFLESSLY TO SUBMIT A GRANT THAT ENABLED THE CITY OF SAN ANTONIO TO PIONEER THE FIRST PROGRAM IN THE STATE OF TEXAS, PROVIDING FUNDS FOR TWO PROSECUTORS, A CASEWORKER, CASEWORKER MANAGER, AND A DATA ENTRY STAFF PERSON IN THE CITY'S MUNICIPAL COURTS. AND WHEREAS THE SAN ANTONIO PROGRAM INSPIRED OTHER CITIES ACROSS THE STATE OF TEXAS TO CREATE A SIMILAR PROGRAM, AND IS A TESTAMENT TO THE VISION AND FORTITUDE OF MS. SANDLER AND THIS FIRST PROGRAM STAFF. AND WHEREAS AN INDICATION OF THE PROGRAM'S IMPORTANCE AND SUCCESS IN THE COMMUNITY IS THAT THE CITY HAS HELPED OVER 1000 WOMEN AND THEIR FAMILIES EACH YEAR ESCAPE LIVES OF VIOLENCE AND FEAR, AND PROVIDED HOPE AND HEALING. NOW THE NOW THEREFORE BE IT RESOLVED BY THE CITY OF SAN CITY COUNCIL OF THE CITY OF SAN ANTONIO, THAT WITH THE PASSING OF MARLENE SANDLER, THE CITY OF SAN ANTONIO HAS LOST A VALUABLE ASSET, ASSET TO ITS PAST, PRESENT, AND FUTURE. WE ARE GRATEFUL FOR MS. SANDLER'S SELFLESS EFFORTS IN HELPING MAKE A MEANINGFUL DIFFERENCE IN THE LIVES OF THOUSANDS OF WOMEN IN OUR CITY. AND IT IS HEREBY DIRECTED THAT A COPY OF THIS RESOLUTION WOULD BE PRESENTED TO HER FAMILY AS A TOKEN OF OUR HEARTFELT GRATITUDE. AND THAT IS PRESENTED THIS 14TH DAY OF NOVEMBER, 2018. THANK YOU VERY MUCH. THANK, THANK ONE MORE TIME. 1, 2, 3. THANK YOU. THANK YOU. THANK YOU. GO AHEAD. OKAY. THANK YOU FOR THE TREMENDOUS HONOR YOU'VE BESTOWED UPON OUR MOTHER, MARLENE SANDLER. AS YOU KNOW, SHE PASSED AWAY LAST MONTH WHEN SHE LEARNED SHE WAS TERMINALLY ILL. ONE OF THE THINGS SHE TOLD ME WAS THAT SHE WISHED SHE HAD DONE SOMETHING TO LEAVE THIS WORLD A BETTER PLACE. EVEN THOUGH SHE WAS RESPONSIBLE FOR SECURING THE DOMESTIC VIOLENCE GRANT, SHE HADN'T REALIZED THE IMPACT IT WOULD HAVE ON SO MANY PEOPLE. SHE WAS JUST DOING A JOB THAT SHE WAS ASSIGNED TO HER AS A VOLUNTEER. THEN WHEN SHE WAS HOME UNDER THE CARE OF HOSPICE, SUSAN GWEN CAME TO VISIT AND READ THIS BEAUTIFUL, BEAUTIFUL DRAFT OF THE PROCLAMATION TO HER IN FRONT OF HER CHILDREN. AND THE NURSE THAT WAS CARING FOR HER, SHE WAS PRETTY STUNNED AND HAD TEARS IN HER EYES AS WE ALL DID. LO AND BEHOLD, SHE HAD DONE SOMETHING TO MAKE THE WORLD A BETTER PLACE AFTER ALL, AS GOD WOULD HAVE IT. THAT WAS THE LAST DAY THAT SHE WAS BOTH CONSCIOUS AND LUCID. SHE DIED A FEW DAYS LATER, SO I WANNA THANK YOU FOR MAKING WHAT WAS IN EFFECT HER LAST DAY ON EARTH. A VERY SPECIAL ONE FOR HER AND HER FAMILY. I ALSO WANT TO ACKNOWLEDGE KAMALA KUNAL, SUSAN GWEN KIMIA POCHO, AND, UH, ELIZABETH MCRAY JUAREZ FOR THEIR VERY SPECIAL ROLE IN MAKING THIS DAY HAPPEN. AND I WANT TO ACKNOWLEDGE ALL OF THE PEOPLE, UM, BOTH PAST AND PRESENT WHO HAVE TIRELESSLY WORKED TO COMBAT DOMESTIC VIOLENCE, BOTH AT MUNICIPAL COURT AND IN OUR COMMUNITY. GETTING THE MONEY TO FUND THE POSITION WAS JUST THE BEGINNING. THE PEOPLE WHO FILLED THOSE POSITIONS WORK HARD EVERY DAY TO MAKE OUR COMMUNITY A SAFER PLACE FOR THOSE VICTIMS AND THEIR FAMILIES. IT JUST SO HAPPENS THAT YESTERDAY WAS WORLD KINDNESS DAY, A DAY SET ASIDE TO ACKNOWLEDGE GOOD DEEDS AND THE COMMON THREAD OF KINDNESS, WHICH BINDS US. I WANT TO THANK YOU FOR YOUR KINDNESS THAT YOU'VE BESTOWED UPON US BY YOUR ACTIONS IN GIVING THIS PROCLAMATION TO MY MOTHER'S HONOR. THANK YOU SO MUCH. WE HAVE A COUPLE OF OTHER COMMENTS FROM COUNCIL PEOPLE. COUNCILMAN ELIAS. THANK YOU. THE, I KNOW, I DON'T KNOW IF YOU KNOW MY MOM, BUT SHE'S THE, UH, C E O OF THE BATTERED WOMEN AND CHILDREN'S SHELTER. I'M, I'M TEXTING HER RIGHT NOW, AND SHE'S EXCITED, UH, THAT PEOPLE ARE LISTENING TO THE STORY OF MARLENE AND EVERYTHING THAT SHE BROUGHT, UH, TO THE TABLE. AND MY MOM'S WORDS WERE THAT MARLENE PROVES THAT THE WORD HERO ISN'T A NOUN, BUT THAT IT'S A VERB. UM, AND MARLENE REALLY IS A HERO. A REALLY, REALLY, REALLY BIG, BIG PAIR OF SHOES NEED TO BE FILLED. AND I KNOW THAT THERE'S YOUNG WOMEN OUT THERE WHO ARE GOING TO BE HEARING ABOUT MARLENE AND GENERATIONS FROM NOW, OTHER YOUNG GIRLS ARE GONNA BE HEARING ABOUT MARLENE AND HOW SHE MADE IT POSSIBLE FOR WOMEN TO BE RESILIENT AND TO THRIVE. AND I'M JUST SO HAPPY AND SO HONORED TO BE HERE, UH, IN A ROOM FULL OF PEOPLE, UM, JUST GETTING TO TALK ABOUT HER. SO THANKS FOR BEING HERE. THANK YOU, MAYOR, FOR RECOGNIZING. THANK YOU. UM, UH, WHAT REALLY IS ONE OF THE GREATEST SAN ANTONIANS THAT EVER HAVE GRACED US. THANK YOU. [03:15:01] THANK YOU. THANK YOU COUNCILMAN. COUNCILMAN TRAVINO. THANK YOU, MAYOR PORTA. UH, REALLY JUST WANNA SAY THANK YOU. UM, YOU KNOW, CELEBRATING, UH, SOMETHING LIKE THIS IS, IS, UH, REALLY SAYING THAT, THAT SOMETIMES WE HAVE TO GO OUT THERE AND, AND KNOW THAT THERE'S PEOPLE IN THE COMMUNITY THAT, THAT ARE LOOKING AT THOSE GAPS THAT, THAT THE COMMUNITY HAS, AND THEY'RE TRYING TO FILL THOSE GAPS FOR SUPPORT FOR PEOPLE WHO, WHO NEED A VOICE. AND, UM, I THINK IT'S, IT'S SO IMPORTANT FOR, FOR MANY FAMILIES, UH, THAT, THAT STRUGGLE WITH THIS, UH, THAT THEY KNOW THAT THERE'S SOMEBODY OUT THERE THAT CARESS SO MUCH THAT HAS CREATED A PROGRAM SO THAT IT'S NOT JUST ABOUT ANY ONE PERSON, BUT RATHER A COMMUNITY THAT'S COME OUT TO, TO SUPPORT THEM AND TO SHOW THEM THAT, UH, THEY HAVE, THEY HAVE A VOICE AND THEY HAVE OPPORTUNITIES FOR SUPPORT. THANK YOU. THANK YOU. AND I'LL JUST ADD MY COMMENT THAT IT'S NOTABLE THIS, THIS EVENING, THAT WE HEAR ABOUT TWO PEOPLE WHO'VE DONE SO MUCH FOR OUR COMMUNITY. ONE TO BRING JOY TO CHILDREN, AND ONE TO BRING HOPE TO WOMEN. AND SO THANK YOU FOR BEING HERE AND REPRESENTING HER THIS EVENING. THANK YOU. AND I'LL JUST CLOSE BY SAYING THANK YOU, LAUREN, FOR, UH, KEEPING YOUR, YOUR MOTHER'S, UH, STORY ALIVE AND HER MISSION AND PURPOSE, VERY MUCH PART OF OUR, OUR CENTRAL PURPOSE HERE IN SAN ANTONIO. UM, I WILL SAY, WE ALL HAVE TO ACKNOWLEDGE WE HAVE A LOT MORE WORK TO DO, UH, BUT HOPEFULLY, UH, AGAIN, WITH THE SPIRIT THAT YOUR MOTHER BROUGHT TO THE CITY ORIGINALLY, WE CAN CONTINUE TO ADVANCE THAT WORK. SO THANK YOU FOR BEING HERE TONIGHT. THANK YOU. ALRIGHT. OUR THIRD AND FINAL CEREMONIAL TONIGHT IS THE FIRST FRIDAY NETWORK, WHICH WE'LL OBSERVE THE MONTH OF NOVEMBER AS HOME HEALTHCARE AND HOSPICE MONTH. THE NETWORK MEMBERS CONSIST OF INDIVIDUALS, AGENCIES, AND ORGANIZATIONS THAT PROVIDE SERVICES TO SENIORS IN OUR COMMUNITY. HOME CARE AND HOSPICE PROFESSIONALS PLAY A MAJOR ROLE IN HELPING PATIENTS LIVE INDEPENDENTLY IN THE COMFORT OF THEIR OWN HOME. SO I'D LIKE TO CALL FORWARD NOW CHARLIE GERDS TO ACCEPT THIS PROCLAMATION. OH, HEY, CHARLIE. THANK YOU, CHARLIE. AND, AND I'LL, I'LL READ THAT NOW. WHEREAS FIRST FRIDAY OF NETWORK WILL JOIN OTHER HOME CARE AGENCIES ACROSS THE COMMUNITY IN CELEBRATING THE MONTH OF NOVEMBER, 2018 AS NATIONAL HOME CARE AND HOSPICE MONTH TO INCREASE AWARENESS AND RECOGNIZE THE DEDICATED PROFESSIONALS WHO MAKE A DAILY DIFFERENCE IN THE LIVES OF THE PEOPLE THEY SERVE. AND WHEREAS HOME CARE AND HOSPICE IS THE MOST PREFERRED METHOD OF HEALTHCARE AMONG DISABLED, ELDERLY, CHRONICALLY AND TERMINALLY ILL PATIENTS AND THEIR FAMILIES EAGER TO LIVE INDEPENDENTLY IN THE COMFORT OF THEIR INSECURITY OF THEIR OWN HOME. AND WHEREAS THESE CAREGIVERS COME IN MANY ROLES FROM THERAPISTS AND AIDE TO ADMINISTRATORS AND NURSES, CNAS AND SOCIAL WORKERS, AND THEIR COMPASSION AND ATTENTION TO DETAIL IMPROVE THE LIVES OF EVERY PATIENT UNDER THEIR CARE. AND WHEREAS HOME CARE AND HOSPICE SERVICES HELP PATIENTS LIVE FULLY BY SUPPORTING THEIR SOCIAL, EMOTIONAL, AND SPIRITUAL WELLBEING. NOW, THEREFORE, IRA NURENBERG, MAYOR OF THE CITY OF SAN ANTONIO, IN RECOGNITION THEREOF, DO HEREBY PROCLAIM NOVEMBER, 2018 TO BE NATIONAL HOME CARE AND HOSPICE MONTH. THANK YOU. THANK YOU. SO WE WANNA THANK YOU MAYOR NIRENBERG AND THE WHOLE CITY COUNCIL AND THE CITY FOR THIS PROCLAMATION. WE'RE SO EXCITED ABOUT RECEIVING THIS PROCLAMATION, RECOGNIZING NOVEMBER IS HOME CARE AND HOSPICE MONTH. I'D ALSO LIKE TO THANK MY FRIEND CHRIS RETI TO MANY KNOW, FOR HELPING US COORDINATE THIS. EVERYBODY'S SAYING HI AND PUTTING THIS TOGETHER. AND, UH, CHRIS HAS BEEN, UH, A MEMBER OF THE HOME CARE INDUSTRY FOR MANY YEARS. WORKED WITH HER FOR MANY YEARS, AND Y'ALL MAY KNOW THAT HER HUSBAND IS A FORMER CITY COUNCIL MEMBER. SO THANK YOU, CHRIS, FOR DOING THIS. AS YOU MENTIONED, FIRST FRIDAY NETWORK IS AN ORGANIZATION WHOSE MEMBERS COMPRISE WITH THOSE ORGANIZATIONS, THOSE AGENCIES, AND THOSE INDIVIDUALS WHO PRI PROVIDE SERVICES FOR OUR SENIOR COMMUNITY. ALMOST ALL OF US PROVIDE THOSE SERVICES IN THE HOME, WHEREVER THAT HOME MAY BE. WE ARE HOME HEALTH, WE ARE HOSPICE, WE'RE INDEPENDENT, LIVING ASSISTED LIVING, MEMORY CARE FACILITIES. WE ARE SOCIAL WORKERS, WE'RE NURSES, WE'RE EVEN MARKETERS. BUT SERVICES TO SENIORS HAVE EXPANDED SO MUCH RECENTLY THAT WE ARE ALSO ELDER LAW ATTORNEYS, REALTORS, HAIRDRESSERS, PLACEMENT SPECIALISTS, MOVERS, [03:20:01] AIR CONDITIONING COMPANIES, INSURANCE AGENTS, PET SITTERS, AND EVEN ENTERTAINERS THAT ENTERTAIN OUR SENIORS. WE REPRESENT THE THOUSANDS OF WORKERS AND AIDES WHO GET UP EVERY MORNING, EVERY DAY, AND EVERY WEATHER CONDITION TO TAKE CARE OF THOSE WHO CANNOT CARE FOR THEMSELVES. AS YOU CAN TELL, WE ARE VERY PROUD OF OUR INDUSTRY AND VERY PROUD OF EVERYONE IN THAT SERVICE. SO ONCE AGAIN, WE THANK YOU VERY MUCH FOR YOUR RECOGNITION. THANK WE'LL DO A REAL WELL, WHY DON'T WE DO COUNCIL COMMENT AND THEN WE'LL DO THE PICTURE FIRST. OKAY. , THANK YOU. I, UM, Y'ALL HAVEN'T MET THEM, BUT THERE'S, UH, TWO OF MY CONSTITUENTS, THEY'RE NAMED MAX AND SOPHIA. MAX IS 12, SO SOPHIA'S 11. THEY'RE MY KIDS. AND I TELL PEOPLE THAT ONE OF THE REASONS I'M SO NICE TO THEM IS BECAUSE ULTIMATELY THEY'RE THE ONES WHO ARE GONNA DECIDE, YOU KNOW, THE SENIOR CARE FACILITY I'LL BE GOING INTO. AND SO LONG AS MY SENIOR CARE FACILITY HAS WIFI AND THEY SERVE WINE, I'LL BE FINE. UH, BUT THE REALITY IS, IS THAT, UM, YOU KNOW, I'VE GOT A GRANDMOTHER WHO'S 86 AND HER TWIN SISTER, UH, JUST PASSED AWAY. BUT, UH, SHE HAD SOME TERRIBLE EXPERIENCES WITH HER CARETAKERS. AND THEN, YOU KNOW, THEN WE HAD SOME WONDERFUL ONES. AND WE, WE'VE GOTTEN TO SEE THE DIFFERENCE BETWEEN REALLY BAD AND REALLY GOOD. AND SOMETIMES, UM, THAT DIFFERENCE IS JUST A DIFFERENCE IN A PERSON, RIGHT. AND THEIR INTENTIONS. AND SO, I'M SO HAPPY TO BE IN THE PRESENCE OF SO MANY WELL-INTENTIONED PEOPLE, AND THANK YOU FOR ALL THE WORK. NOBODY GETS INTO THIS BUSINESS OF HELPING SENIORS, UM, TO GET RICH. YOU GET INTO IT TO DO THE RIGHT THING. THAT'S RIGHT. AND SO I, I APPRECIATE YOU GUYS BEING HERE. THANK YOU. THANK YOU VERY MUCH. THANK YOU. WELL, I'LL, I'LL CLOSE BY JUST SAYING, UH, THANK YOU FOR, UH, EPITOMIZING WHAT COMPASSION MEANS IN OUR COMMUNITY. WE DON'T FORGET OUR SENIORS. WE DON'T FORGET THOSE WHO ARE AT, AT, AT, AT, AT THE END OF THEIR LIVES. AND, AND BEING ABLE TO PROVIDE THEM THE COMFORT AND CARE AND COMPASSION THAT THEY SO RICHLY DESERVE, REGARDLESS OF THE CIRCUMSTANCES, IS EXACTLY WHAT I KNOW, UH, PEOPLE IN MY LIFE WHO DO HOME CARE AND HOSPICE TO BE ALL ABOUT. SO THANK YOU FOR BEING HERE AND, AND WE, UH, ARE GRATEFUL TO BE ABLE TO RECOGNIZE YOUR WORK. THANK YOU VERY MUCH, MAYOR. THANK YOU. AND I THINK WE'LL DO A PHOTO FROM UP THERE. I THINK WE NEED TO GO BACK HERE. YOU WANT TO THE CIRCLE? OKAY. I THINK YOU'RE FIT. THINK YOU'RE FIT. WHAT'S THAT? NO, EVERYBODY, EVERYBODY. THANK OPPORTUNITY. NOW FEEL BLESSED. WE'RE IN THE CIRCLE. THAT'S RIGHT. PLENTY OF ROOM. YES, WE ARE. GET IN HERE. OH, WOW. BIG ROOM FOR COUNCIL IN HERE. YEAH, EVERYBODY. RICHARD, I THINK THERE'S CHARLIE. COME ON GUYS. * This transcript was created by voice-to-text technology. The transcript has not been edited for errors or omissions, it is for reference only and is not the official minutes of the meeting.