[00:00:10]
THE TIME NOW IS 10:02:00 P.M. -. 10:02:00 A.M. ON MAY 13, 2025, AND THE MEETING OF THE AUDIT COMMITTEE IS NOW CALLED TO ORDER. MADAM CLERK, CAN YOU CALL THE ROLL?
>> VIAGRAN: GREAT. I'LL BE ALLOWING THE MEMBER SPEAKERS TWO ROUNDS OF COMMENTS PER ITEM WITH FIVE MINUTES THE FIRST ROUND AND THREE MINUTES THE SECOND ROUND. THE FIRST ITEM ON THE AGENDA IS APPROVAL OF THE MINUTES. ARE THERE ANY CORRE
CORRECTIONS TO THE MINUTES? >> I MOVE TO THE
APPROVAL OF THE MINUTES. >> SECOND. >> VIAGRAN: ALL RIGHT.
A MOTION AND A SECOND TO APPROVE THE MINUTES. ALL IN FAVOR SAY AYE.
MOTION CARRIES. MADAM CLERK. ANY MEMBERS OF THE PUBLIC
SIGNED UP TO SPEAK? >> CLERK: ONE MEMBER OF THE PUBLIC SIGNED UP TO SPEAK.
BEBETSY AND THENAR ON ITEM 7. >> GOOD MORNING AND THANK YOU COMMITTEE MEMBERS FOR LISTENING TO OUR CONCERNS.
MY NAME IS BETSY SPE SPENCER, AND I'M THE CHIEFS OPERATIONS OFFICER FOR HOLTS ADAMS CONSTRUCTION LLC, A SERVICE DISABLED VETERAN OWNED SMALL BUSINESS SPECIALIZING IN RESIDENTIAL, COMMERCIAL CONSTRUCTION, AND CONSULTING. THE FOUNDING OWNER POSSESS EXTENSIVE EXPERIENCE WITH CITY OPERABLE HOUSING PRO PROGRAMS. WE HAVE OBTAINED BY AN AA CERTIFIED SMALL BUSINESS, CURRENTLY PROVIDING SERVICES TO THE CITY OF SAN ANTONIO THROUGH THE NEIGHBORHOODS HOUSING AND CITIZENS DEPARTMENT.
OUR ROLE IS TO ASSIST THEM IN NAVIGATING ASSISTANT PAYMENT PROCESS FOR THE INCOME ELIGIBLE CLIENTS THAT THE CITY SERVES.
OUR CLIENT HAS BEEN DELIVERING HOME REPAIRS AND SERVICES TO NHCD FOR 8 YEARS. DURING THIS PERIOD. THERE HAVE BEEN MULTIPLE INSTANCES WHERE THE CITY HAS DELAYED REIM REIMBURSEMENT FOR AS LONG AS 6 TO 9 MONTHS AMOUNTING IN HUNDREDS OF THOUSANDS OF DOLLARS AT ANY GIVEN TIME. OUR CLIENT HAS PREV PREVIOUSLY REFRAINED FROM VOICING CONCERNS OUTSIDE OF THE DEPARTMENT LEVEL DUE TO FEAR OF RETALIATIONS. HOWEVER, THESE DELAYS HAVE REACHED A CRITICAL POINT IN BUSINESS OPERATIONS AND THEY SEEK EQUITABLE TREATMENT FOR SERVICES THEY RENDER ON BEHALF OF CITY'S MOST VULNERABLE.
SMALL CONSTRUCTION COMPANIES ARE INTEGRAL TO PROVIDING HOUSING TO THE CITY. SPENDING MANY HOURS WITH THE HOMEOWNERS ENSURING HIGH QUALITY DELIVER OF THE PRODUCT. MANY OF THESE SMALL GENERAL CONTRACTING FI FIRMS ARE MINORITY OWNED COMPANIES.
THE FINANCIAL STABILITY OF ANY SMALL BUSINESS DEPENDS ON TIMELY REIMBURSEMENT FOR SERVICES DELIVERED. IT IS INCREDIBLY CHALLENGING FOR ANY SMALL BUSINESS TO WAIT 6 TO 9 MONTHS FOR REIMBURSEMENT. WHILE MANAGING THE EXPENSE OF LINE TO CREDIT FOR 1 TO 2 MONTHS IS CUSTOMARY, LENGTHY DELAYS RESTRICT CASH FLOW. INCREASE PAYROLL, INTEREST, AND INSURANCE.
DELAYS RESULT IN SIGNIFICANT COST OVE OVERRUNS, ESPECIALLY GIVEN THE SLIM PROFIT MARGINS IN AFFORDABLE HOUSING PROJECTS.
QUITE FRANKLY IT SEEMS IMPUGNTIVE TO EXPECT A SMALL BUSINESS TO OPERATE LIKE THIS. THE CITY CAN ACHIEVE THEIR AFFORDABLE HOUSING GOALS MORE QUICKLY, HOMEOWNERS GET THEIR R REPAIRS COMPLETED ON TIME, AND GENERAL CONTRACTOR'S BUSINESSES CAN THRIVE WITHIN THE COMMUNITY. DELAYING PAYMENTS TO THE GENERAL CONTRACTORS ONLY IMPEDES YOUR ABILITY TO PROVIDE A GOOD, QUALITY SERVICE.
WE HAVE REACHED OUT TO NHCD TO ASSIST BUT THEY HAVE FAILED TO RESPOND TO OUR REQUEST WITH ANYTHING OTHER THAN AN EMAIL ASKING FOR MORE TIME. EVERY DAY COSTS OUR CLIENT MORE MONEY.
WE'RE NOT SURE WHERE THE PROBLEM LIES, BUT AS THE AUDIT COMMITTEE FOR THE CITY OF SAN ANTONIO, WE RESPECTFULLY URGE YOU TO INVESTIGATE AND ASS ASSISTING IN RESOLVING THIS ISSUE. THANK YOU.
>> VIAGRAN: THANK YOU, BETSY. ALL RIGHT. ANY OTHER PUBLIC COMMENT? NO? OKAY. WE'LL MOVE ON TO ITEMS 2 AND 3. THERE ARE TWO FINAL INTERNAL AUDIT REPORTS ON THE CONSENT AGENDA. DO ANY MEMBERS WISH TO PULL AN ITEM ON CONSENT FOR DISCUSSION? ALL RIGHT. CAN I GET A MOTION AND A
[00:05:01]
SECOND TO ACCEPT THE AUDIT ON THE CONSENT AGENDA? WE'VE GOT A MOTION AND A SECOND. ALL THOSE IN FAVOR SAY AYE>> VIAGRAN: ALL OPPOSED, SAY NO. MOTION CARRIES. ALL RIGHT.
WE'RE MOVING ON TO OUR INDIVIDUAL ITEMS. THERE ARE THREE P PRESOLICITATION HIGH PROFILE BRIEFINGS. MADAM CLERK, PLEASE READ
THE CAPTION FOR ITEM 4. >> CLERK: ITEM 4 IS A POLICE CHIEFING ON THE RELEASE OF A SOLICITATION FOR MULTIPLE ON-CALL CONTRACTS TO PROVIDE MARKETING AND COMMUNICATION SERVICES TO ALL CITY DEPARTMENT IN THE ESTIMATED TOTAL VALUE OF $4,600,000 ANNUALLY FOR A 3 YEA
TERM WITH 2, 1-YEAR RENEWAL OPTIONS. >> VIAGRAN: ALLAY THAT, THE
FLOOR IS YOURS. >> GOOD MORNING, I'M THE DIRECTOR OF COMMUNICATIONS AND ENGAGEMENT, AND I'M HERE TODAY TO SHARE A P PRESOLICITATION BRIEFING ON AN EXCITING CITY WIDE OPPORTUNITY, ONE PRO PROVIDING ALL DEPAR DEPARTMENTS WITH STREAMLINED ON-CALL MARKETING AND STREAMLINE SERVICES TO SUPPORT COLLECTIVE EFFORTS IN OUTREACH, ENGAGEMENT, AND PUBLIC INFORMATION. BEFORE DIVING INTO THE PROJECT, AN UPCOMING SOLICITATION, I WANT TO PROVIDE CONTEXT ON CURRENT STATE OF OUR PROCESS. CURRENTLY, 77 UNIQUE VENDORS SUPPORT 143 DEPARTMENTAL CONTRACTS FOR ADVERTISING, MAR MARKETING, COMMUN COMMUNICATIONS, DESIGN, AND VIDEO PRODUCTION.
THIS FRAGMENTED APPROACH HAS RESULTED IN DUPLICATED EFFORTS, UNNECESSARY EXTERNAL SPENDING ON SERVICES WE COULD COMPLETE IN HOUSE, INCONSISTENT MESSAGING AND BRANDING AND DELAYS IN EXECUTING COMMUNICATIONS CAMP CAMPAIGNS. TO ADDRESS THIS, WE'RE PROPOSING A STREAMLINE TO THE CITY'S MARKETING AND COMMUNICATIONS P PROCUREMENT PROCESS. OUR GOAL IS TO REDUCE I INEFFICIENCIES, IMPROVE TURN AROUND TIMES, AND ENSURE CONSISTENT VOICE ACROSS DEPARTMENTS ALL WHILE STRENGTHENING PUBLIC TRUST AND RECOGNITION THROUGH ALIGNED HIGH QUALITY MESSAGING. THIS WILL ESTABLISH MULTIPLE ON-CALL CONTRACTS WITH QUALIFIED FIRMS TO PROVIDE PROFESSIONAL SERVICES IN ADVERTISING, MARKETING, PUBLIC RELATIONS, DES DESIGN, COMMUNITY ENG ENGAGEMENT, AND VIDEO PRODUCTION.
THESE VENDORS SUPPORT DEPARTMENT LED EFFORTS TO ENSURE MATERIALS ARE ABLE SYCESBLE AND BILINGUAL IN ENGLISH AND SPANISH IF NEEDED AND ALIGNED WITH CITY'S BRAND STANDARDS. A FEW KEY DETAILS.
THIS WILL BE A REQUEST FOR PROPOSAL. CONTRACT TERM IS PROPOSED FOR THREE YEARS WITH 2, 1-YEAR RENEWAL OPTIONS.
ESTIMATED VALUE IS $4.6 MILLION ANNUALLY, AND THAT'S BASED ON CURRENT DEPARTMENTAL EXPENDITURES. FUNDING OF THESE SER SERVICES WILL COME FROM EACH DEPARTMENT'S BUDGET AS NEEDED.
SO IF THEY DON'T HAVE THE FUNDING, THEY CAN'T REQUEST THE SERVICES, AND THIS IS A GENERAL FUND SUPPORTED CONTRACT AND ALSO REPRESENTS A NEW CITY WIDE APPROACH TO THIS. WE HAVE IDENTIFIED 20 RELEVANT COMMODITY CODES, INCLUDING THOS FROM MARKETING, ADVERTISING, AN COMMUNICATION SERVICES.
THE PROPOSAL WILL BE SENT TO ALL CURRENT VENDORS REGISTERED UNDER THE CODES AND WE'LL ALSO CONDUCT TARGETED OUTREACH BASED ON DEPARTMENTAL FEEDBACK.
SO WE SENT OUT AN EMAIL TO DEPARTMENTS AND ASKED THEM WHAT POSITIVE EXPERIENCES THEY'VE HAD WITH THESE TYPES OF VENDORS, SO WE'LL DEFINITELY BE TARGETING TH THEM. AND THESE VENDORS REPRESENT A VAST ARRAY OF SERVICES.
THEY'RE BOTH LARGE, WE WELL-KNOWN AGENCIES TO MID-SIZE AND SMALL BUSI BUSINESSES. THE RFP WILL BE 'TIED ACROSS MULTIPLE CHALLENGES, INCLUDING, TVSA, HEART BEAT, AND SAPES. IN ADDITION, WE'RE COMMITTED TO INCLUSIVE OUTREACH AND WILL NOTE FIE VENDORS VEG TERRED IN SAPES, INCLUDING VETERAN OWNED BUSINESSES. OUR SOLICITATION REQUI REQUIREMENTS, WE'RE LOOKING AT EXPERIENCE, BACKGROUND, AND QUALIFICATIONS FOR 40 POINTS.
THE PROPOSED PLAN FOR 20 POINTS. PRICING FOR 15 POINTS.
SPE PRIME CONTRACT PROGRAM FOR 5 POINTS. MWBDE PRIME CONTRACT PROGRAM FOR 5 POINTS. ALSO A 12% MWBDE SUBCO SUBCONTRACTING PROGRAM.
LOCAL PROGRAM FOR 10 POINTS. AND VETERAN OWNED FOR 5 POINTS.
-- SUPPORTED DURING OFFICE ANALYSIS FOR A CONTRACT BY CONTRACT BASIS FOR ELIGIBILITY OF SBEDA PROGRAMS. AND FINANCIALLY, THE TIMELINE.
WE PLAN TO RELEASE THE REQUEST FOR PROPOSAL ON JUNE 10 PRESUBMITTAL CONFERENCE ON
[00:10:02]
JUNE 25. THE MONTH OF AUGUST IS DEDICATED TO EVALWAITING PROPOSALS WITH CONTRACT RECOMMENDATIONS IN SEPT SEPTEMBER. WE AIM TO PRESENT FINAL CONSIDERATION FOR CITY COUNCIL IN OCTOBER AND ONCE CONTRACTS ARE IN PLACE, WORK WILL BE ASSIGNS BASED ON PROJECT NEED AND VENDOR CAPABILITIES. ASSIGNMENTS WILL FOLLOW AN EQUITABLE ROTATION MODEL THAT TAKES INTO ACCOUNT THE VENDOR SIZE, BUDGET AVAILABILITY, AND PAST US USAGE. WE DEFINITELY WANT TO ENSURE THAT THERE'S FAIR ACCESS TO OPPORTUNITIES ACROSS ALL QUALIFIED FIRMS. THANK YOU FOR YOUR TIME. AND I'M AVAILABLE TO ANSWER ANY QUESTIONS.>> THANK YOU, ALLAY THAT, HOW MANY FIRMS ARE YOU LO LOOKING AT?
>> LOOKING AT 15. AND, AGAIN, WE WANT LARGE, SMALL, AND MEDIUM SIZE.
AND THEY'LL COVER SPECIALTY AREAS, MARKETING, ADVERTISING, VIDEO PRODUCTION, SO WE HOPE TO COVER AS MANY AS WE CAN, THE SERVICES.
>> VIAGRAN: GREAT. AND HAVE YOU ALL -- WE'VE SEEN THIS HAPPEN IN SOME OF MY -- SOME OF THE MEMBERS OF THE COMMITTEE HAVE BROUGHT IT UP. IF WE DON'T GET 15, DO WE KNOW HOW MANY WE WOULD NEED ON CALL TO KIND OF MAINTAIN AND NOT HAVE TO GO? BECAUSE I'M HOPING WE DON'T HAVE TO PUT THIS OUT MULTIPLE TIMES, BUT WE HAVE SEEN THAT HAPPEN -- HAV HERE BECAUSE WE DID NOT HAVE -- WE DIDN'T HAVE ENOUGH PEOPLE APPLY, AND SO INSTEAD OF JUST TAKING THE 15 THAT APPLIED, WE WOULD LIKE TO ENCOURAGE PEOPLE TO CONSIDER TAKING THE TIME TO APPLY. TO HOW MANY DO WE NEED TO START OFF WITH? IF WE CAN'T GET THE 15 IDEALLY, HOW MANY WOULD WE WANT TO MOVE FORWARD
IN THE FIRST PHASE? >> I WILL TELL YOU, THIS IS A HOT CONTRACT, SO THERE ARE A LOT OF FIRMS THAT ARE ALREADY INTERESTED AND HAVE BEEN ASKING FOR MEETINGS WITH US TO JUST GET MORE INFORMATION ON IT.
SO I'M NOT TOO WORRIED ABOUT FIRMS WANTING TO BE PART OF THIS.
I THINK WE'LL BE GOOD ON THE NUMBER. >> VIAGRAN: YEAH.
I THINK WE'RE GOING TO BE GOOD ON WHO'S WORKED WITH THE CITY BEFORE.
I THINK THE SMALLER FI FIRMS ARE GOING TO NEED A LITTLE MORE HELP BECAUSE IT'S DIFFERENT WHEN YOU DO BUSINESS WITH THE CITY, AS MANY PEOPLE WHO DO BUSINESS WITH THE CITY CAN TELL YOU.
SO, YEAH, I JUST WANT TO MAKE SURE, NEXT TIME YOU GIVE THE PRESENTATION, JUST HAVE A DATE. THE OTHER THING WE WANT AND I THINK COUNCILMAN WHYTE, I DON'T WANT TO STEAL HIS THUNDER. WE DON'T WANT -- WHEN YOU WAIT THIS, WE DO NOT WANT PEOPLE THAT HAVE CONCERNS OR MAY NOT GET THE JOB DONE ON TIME. SO I'M ALWAYS OF -- WE WELL, MAYBE THEIR SCORE IS LOW BECAUSE THEY DON'T HAVE EXPERIENCE, BUT COUNCILMAN WHYTE IS LIKE MAYBE THE SCORE IS LOW BECAUSE THEY'RE JUST NOT GOOD.
SO I'LL GO BACK ON THAT. BUT I WANT TO MAKE SURE WE'RE TAKING THE PEOPLE WHO UNDERSTAND WHAT ON CALL NEEDS AND HOW FAST THEY NEED TO MOVE.
BECAUSE IF WE HAVE A FIRM THAT LIKES TO TAKE THEIR TIME.
THAT MIGHT NOT BE THE BEST THING. THOSE ARE ALL OF MY COMMENTS. THANK YOU. I THINK THIS'LL BE GR GREAT. I THINK WE'LL HAVE DEFINITELY OUT OF THE GATE PEOPLE WHO ARE READY TO DO THIS CONTRACT.
I THINK SOME, ESPECIALLY OUR VIDEO QUALITY PEO PEOPLE, WE MIGHT HAVE TO KIND OF HELP ALONG, BUT I'M EXCITED. THANK YOU FOR THE WORK, AND I KNOW MY COUNCIL COLLEAGUES WANT TO CHIME IN.
SO COUNCILMAN WHYTE. >> WHYTE: WELL, THANK YOU, CH CHAIR, AND OUR FIRST COMMITTEE MEETING SINCE THE ELECTION, AND I'M HAPPY TO SAY I WHOLEHEARTEDLY AGREE WITH SOME OF THE CHAIR'S COMMENTS, AND I LOOK FORWARD TO MORE OF THAT AGREEMENT OVER THE NEXT FEW YEARS. I JUST HAVE A QUESTION ON -- WH ARE WE DOING THIS NOW? YOU SAID THIS REPRESENTS A NEW CITY APPROACH HOW ARE WE DOING IT?
WHY ARE WE DOING IT NOW? >> WE'RE DOING IT NOW. WE'RE TRYING TO STREAMLINE EFFORTS AND FIND EFFIC EFFICIENCIES WHEREVER WE C CAN.
I THINK THAT THIS -- IN THE PAST, IT WAS VERY MUCH -- ALL THE DEPARTMENT IS DOING IT ON ITS OWN, AND NOW THAT WE'RE TRYING TO CENTRALIZE IT MORE, WE'RE REALLY LO LOOKING FOR EFFICIENCIES, STREAMLINE EFFORTS, HOW WE CAN SAVE -- IF THERE ARE SERVICES THAT WE COULD DO IN HOUSE. AN EXAMPLE, SOCIAL MEDIA POSTS OR A DESIGN. WE HAVE THAT TALENT HERE IN THE CITY OF SAN ANTONIO.
[00:15:05]
WE DON'T NECESSARILY NEED TO OUTSOURCE IT. SO THERE'S COST SAVINGSTHERE AS WELL. >> WHYTE: OKAY. AND HOW DO THESE SER SERVICES DIFFER FROM WHAT OUR INTERNAL COMMUNICATIONS FOLKS DO.
>> OUR INTERNAL COMMUNICATIONS CAPACITY TO WORK AND DO CAMPAIGNS, ALSO WHEN WE'RE TALKING ABOUT ADVERTISING AND, LIKE, TRUE MARKETING CAMP CAMPAIGNS, WE DON'T NECESSARILY HAVE THAT ABILITY IN HOUSE OR THAT CAPACITY, AND SO WE LEAN
ON OUR VENDORS TO HELP US WITH THAT. >> WHYTE: OKAY.
SO THIS IS SORT OF A WAY TO CENTRALIZE THESE EFFORTS AND MAKE IT MORE EFFICIENT AND WE THINK IT'LL HAVE SOME COST SAVINGS.
>> HOPEFULLY. YES. I LIKE TO COMPARE TO PUBLIC WORKS AND ON CALL VENDORS, SO STREET REPAIRS AND STUFF LIKE THAT.
YOU CAN GET IT MORE QUICKLY FOR WHAT YOU'RE LOOKING FOR.
SOMETIMES WE NEED A CAMPAIGN AND CAN'T WAIT 6 MONTH TO GET IT GOING.
SO THIS'LL HELP EXPEDITE THIS AS WELL. >> WHYTE: WILL COUNCIL OFFICE
HAS ACCESS TO THESE FIRMS. >> I WOULD LOVE FOR YOU TO HAVE THE ABILITY TO USE THEM. AND ONCE WE HAVE THEM SELECTED, THE PREFERRED VENDORS, THEY'LL BE AVAILABLE TO YOU AS WE WELL.
>> WHYTE: ALL RIGHT. I'M PUTTING A BIG CHECKMARK NEXT TO THIS ONE. YOU'RE TALKING MY LANGUAGE.
EFFICIENCIES, COST SAVINGS. AND I MENTION THE COUNCIL OFFICES BECAUSE, I MEAN I'VE TALKED TO SOME OF MY COLLEAGUES, THE WAY OUR WEBSITES ARE DONE AND SOME OF OUR OTHER COMMUNICATIONS EFFORTS ARE, I WOULD S SAY, NOT UP TO THE LEVEL THEY SHOULD BE BECAUSE WE HAVEN'T BEEN PER PERMITTED TO DO SOME OF THE THINGS, AND AFTER STANDING AT THE POLLS FOR 10 DAYS DURING EARLY VOTING, IT IS EVEN MORE CLEAR TO ME NOW THAT THE CITIZENS WANT TO BE -- THEY WANT INFORMATION.
THEY WANT IT CLEARLY, AND THEY WANT IT TIMELY. SO TO THE EXTENT IT COULD HELP OUR COUNCIL OFFICES DO THAT, THAT'S GREAT.
THANKS, CHAIR. >> VIAGRAN: COUNCILMAN COURAGE. >> COURAGE: THANK YOU.
COULD YOU REPEAT FROM THE BEGINNING, HOW MANY DEPARTMENTS AND VENDORS
YOU HAD REFERRED TO AS USING THESE SERVICES. >> CURRENTLY WE HAVE 77 UNIQUE VENDORS THAT ARE SUPPORTING 143 DIFFERENT DEPARTMENT CONTRACTS.
>> COURAGE: OKAY. WHICH CITY DEPARTMENTS WILL BE EXCLUDED FROM THIS BECAUSE THEY HAVE THEIR OWN MARKETING BUDGETS AND THEY'RE
GOING TO CONTINUE DOING THAT. >> THAT'S A GREAT QUESTION. SOME EXAMPLES ARE 311, AVIATION, BECAUSE THEIR FUNDING DOESN'T ALLOW PREFERENCES FOR THE SB SBEDA LOCAL AND VETERAN OWNED SMALL BUSINESSES. BSBD, CITY ATTORNEY, AUDITOR, THEY JUST DON'T
USE THESE TYPES OF CONTRACTS. >> COURAGE: OKAY.
I KNOW -- BUT THE AIRPORT IS DOING A LOT OF MARKETING.
>> YES, THEY ARE. >> COURAGE: SO THEY'LL HAVE THEIR OWN SEPARATE BUDGET.
WHAT ABOUT NHSD OR HUMAN SERVICES, WILL THEY HAVE A SEPARATE BUDGET FROM
THIS? >> THEY WILL BE PART OF IT EXCEPT FOR -- I HAVE A LIST, THE CLERK, THE CITY MANAGER'S OFFICE, DEVELOPMENT SERVICES, D DEIA, EMERGENCY MANAGEMENT, FINANCE, HUMAN SERVICES, GOVERNMENT AFFAIRS, INNOVATION LIBRARY, AND ITSD.
SO THOSE ARE THE LISTS OF THE ONES THAT'LL BE EXCLUDED.
>> COURAGE: OKAY. SO THEY'LL HAVE THEIR OWN MONEY FOR MARKETING OR PROMOTION WITHIN THEIR BUDGET AND THAT'LL BE PUT TOGETHER FOR THE NEXT BUDGET CYCLE. WHAT YOU'RE ESTIMATING IS THE OTHER 77 CONT CONTRACTS AND 140 OR WHATEVER PROJECTS, IF YOU PUT ALL OF THOSE TOGETHER, IT WOULD BE SOMEWHERE AROUND $4.5 MILLION A YEAR, AND THAT'S THE FOUNDATION OF HOW YOU'VE COME UP WITH THIS NUMBER AND
EVERYTHING. >> CORRECT. >> COURAGE: OKAY.
NOW, IS THIS MONEY GOING TO BE A SEPARATE BUDGET ITEM IN THE CITY BUDGET, OR IS IT GOING TO BE BROKEN DOWN BASED ON WHAT EACH OF THOSE DEPARTMENTS MAY HAVE USED SO THAT IT'S IN THEIR BUDGET.
>> YEAH, THANK YOU, COUNCILMAN, AND A CLARIFICATION AS WELL, FIRST QUESTION ON THE BUDGET, EVERY DEPARTMENT WILL HAVE A BUDGET IN THEIR DEPARTMENT, AND AS WE GO THROUGH THIS PROCESS AND THERE'S AN ON CALL, THEY'LL ASSIST WITH AWARDING THE CONTRACT BUT THEY'LL UTILIZE IT TO PAY FOR THE SERVICES. THE OTHER THING I WOULD SAY, JUST A LITTLE BIT OF A CLARIFICATION, THIS IS AN ON-CALL JUST BECAUSE -- THEY DON'T TAKE FINANCE. JUST BECAUSE WE DON'T HAVE A BUDGET DOESN'T MEAN IF THERE'S A NEED IT WOULDN'T BE AVAILABLE TO US. SO AN ON-CALL CAN BE AVAILABLE TO THE CITY, BUT NOT ALL DEPARTMENTS WILL USE IT. THE OTHER CLARIFICATION
[00:20:01]
I'LL PROVIDE IS THAT WHEN WE LOOKED AT THIS. THERE WERE REALLY TWO TYPES OF FUNDING SOU SOURCES, THOSE THAT ARE RESTRICTED, GRANTS, FEDERAL GRANTS, STATE GRANTS THAT HAVE -- THAT DON'T ALLOW THE PREFERENCES LIKE ALLAY THAT WAS SAYING, BUT FAA IS DIFFERENT, THEY COULD UTILIZE THIS FOR LAND SIDE BUT NOT THE OT OTHERSIDE.SO IT IS AVAILABLE ACROSS THE ENTIRE CITY. SOME MIGHT NOT HAVE A MARKETING BUDGET BUT TO THE EXTENT THEY NEED IT, THEY COULD USE IT.
>> COURAGE: OKAY. THAT'S WHAT I WAS LO LOOKING IT. I WASN'T SURE IF YOU DON'T NOR NORMALLY HAVE IT IN YOUR BUDGET YOU WOULDN'T HAVE IT AVAILABLE TO YOU, BUT YOU'RE SAYING YOU WOULD. OKAY.
I THINK THOSE ARE THE QUESTIONS I HAVE. THANK YOU, CHAIR.
>> VIAGRAN: ANY OTHER DISC DISCUSSION? NO? ALL RIGHT. THIS IS FOR BRIEFING ONLY.
THANK YOU, ALANA. >> THANK YOU. >> VIAGRAN: WE WILL HEAD TO NEX
ITEM. ITEM 35. >> CLERK: ITEM 5 IS A BRIEFING ON THE RELEASE OF A SOLICITATIO FOR ONE CONTRACT TO MANAGE IMPLEMENTATION AND SYSTEM INTEGRATION FOR ARIBA & S/4 IN THE ESTIMATED VALUE OF $14 MILLION FOR A 2 YEAR TERM
WITH 2, 1-YEAR RENEWAL OPTIONS. >> VIAGRAN: ALL RIGHT. CRAIG, THE FLOOR IS
YOURS. >> HI, I'M CRAIG HOP HOPKINS.
CHIEF INFORMATION OFFICER IN ITSD AND I'M HERE WITH MY COHORT, TROY ELLIOT, AND WE'RE DOING THIS PROJECT TOGETHER ALONG WITH GUESTEN AND RENNET. SO I'LL DEFER ALL QUESTIONS TO TROY FROM THIS POINT FORWARD. JUST AS A BACKGROUND FOR THOSE WHO HAVE BEEN ON THIS RIDE WITH US, THESE SLIDES ARE REVIEW SLIDES. WE'RE IN MAJOR UPGRADE OF SYSTEMS AT THIS TIME. THIS HAS BEEN DRIVEN BY A PLATFORM MODERNIZATION, ORIGINAL INSTALLED MORE THAN 20 YEARS AGO, AND WE'VE BEEN MAINTAINING THESE FOR THE TIME PERIOD, AND THIS HAS BEEN FOCUSED ON END OF LIFE SUPPORT, MOVING TO THE NEXT LEVEL OF SOFTWARE, UPGRADING PROCESSES AS WE GO THROUGH THIS, FINDING EFFICIENCIES IN MANUAL PROCESSES THAT WE HAVE ACROSS HR, BUDGET, IT, AND FINANCE, ON THE RIGHT-HAND SIDE OF THE SL SLIDE, YOU'LL SEE THE SCOPE, RESPONSIBILITY, 6 MAJOR WORK STREAMS WE'RE WORKING THROUGH, NOT ON A DEPARTMENT LEVEL, ON A WORK STREAM LEVEL. SO THINK OF IT AS BUDGET TO REPORT, HIRE TO RETIRE, SOURCE TO PAY. REBUILDING THOSE BUSINESS PROCESSES ACROSS DEPARTMENTS AND ACROSS THE ENTERPRISE AS WE UPGRADE OUR SAP PLATFORM AS WE GO FORWARD.
SO OUR APPROACH, REALLY 18 MONTHS OF PLANNING. I'LL SHOW YOU A CHART IN A LITTLE BIT. CATCH YOU UP. DISCOVERY SESSIONS ACROSS THESE DEPARTMENTS. WE MADE A DECISION TO STAY WITH SAP SUIT AND WE'RE REENGINEERING -- I THINK IS THE BEST WAY I WANT YOU TO THINK ABOUT IT, EVERY TIME WE'RE TOUCHING NEW SOFTWARE, NEW PROCESSES, WE'RE REENGINEERING AS WE GO.
SO I'M KIND OF A LITTLE MELANCHOLY HERE. THIS MIGHT BE MY LAST TIME OR CLOSE TO LAST TIME I TALK TO YOU ABOUT THIS PROGRAM AS WE GO FORWARD.
WE'VE BEEN UP HERE ALMOST 3 YEARS SHOWING YOU THE STAGES OF THIS PROGRAM AS WE GO FORWARD. STARTING WITH SAP SERVICES. WORKING WITH THE VENDOR, SHOWING YOU WHAT WE HAD AND HOW TO MOVE FORWARD TO THE PLATFORM.
BROUGHT IN INDEPENDENT VERIFICATION. WE'RE IN THE MIDDLE OF EMPLOYING SUCCESS FACTORS RIGHT NOW. IN FACT, END OF JUNE IS OUR GO-LIVE FOR THAT. FIRST HR DEPLOYMENT. OMB, THE BUDGET DEVELOPMENT IS DOING MULTIPLE PHASES OF DEPLOYMENT. WE'VE LAUNCHED OUR FIRST ONE A FEW MONTHS AGO AND YOU'LL SEE OVER THE NEXT TWO YEARS INTEGRATION WITH BUDGET AS WE GO FORWARD, WHICH IS A LOT OF WORK THAT J UH USTINA IS DOING IN HER CHANGES AS WELL. AND REINTEGRATING AT SAP AS WELL.
AND THEN HERE WE ARE, THE LAST ARROW AT THE BOTTOM, THE BIGGEST ONE, OUR ARIBA & S/4 IMPLEMENTATION -- I'M SORRY. OUR ARIBA PLATFORM, PRO PROCUREMENT, AND OUR S/4 HANNAH, PLATFORM, WHICH IS FINANCE, IF YOU WANT TO THINK OF IT THAT WAY. SO WE'VE PURCHASED THE SOFTWARE IF YOU WANT TO THINK OF IT THAT WAY ON THE RIGHT-HAND SIDE, WHA I'M BRINGING TO YOU IS THE FINA REQUEST TO HIRE AN INTEGRATOR T COME IN AND HELP W US WITH DEPLOYMENT. THIS IS A TOTAL $69 MILLION PROGRAM, THIS PARTICULAR ONE IS ABOUT $14 MILLION. AND THIS IS A TWO YEAR JOURNAL ANY SO THE SOLICITATION IS RFP. REQUEST IS 2 YEAR TERM WITH
[00:25:05]
2, 1-YEAR RENEWALS. AGAIN, IN A PROJECT LIKE THIS, THE RENEWALS ARE JUST BACKUPS IF WE NEED THEM. THIS IS PRIMARILY A 2-YEAR IMPLEMENTATION PLAN WE'RE WORKING TOWARDS, VALUED AT $14 MILLION THROUGH CERTIFICATES OF EVALUATION.AND A BRAND NEW CONTRACT. AND ARIBA IS SUPPLIER MANAGEMENT, PROCUREMENT PROCESS, AND SUPPLY CHAIN. THINK OF IT AS A MODE YULE INSIDE OF SAP, AND THE S/4 IS CORE FINANCIALS, FUNDS MANAGEMENT, GRANTS MANAGEMENT AS WE GO FORWARD THE OVERVIEW, YOU'LL SEE THERE' A LOT OF FOLKS IN THE IT INDUSTRY THAT PLAY IN THIS SP SPACE, MOSTLY CONSULTING FIRMS, BUT ALSO PROVIDERS THAT ARE SAP EXPERTS IN THIS PLACE AS WELL.
WE BELIEVE -- AND WE'VE GOT A PRETTY STRONG OUTREACH ON THE REGISTRY OF 781.
NOW A TARGETED OUTREACH OF 15. WE'VE HAD MANY LOCAL FIR FIRMS -- I'M SORRY. LOCAL OFFICES OF NATIONAL FIRMS REACH OUT AND EXPRESS INTEREST, SO THEY KNOW IT'S COMING. THE EVALUATION TEAM ON THE RIGHT IS THE SAME ONE WE'VE BEEN USING THROUGH ALL OF THESE SAP UPGRADES.
TROY, MYSELF, KEVIN GOODWIN. JUSTINA, RENNET. AND WE MAKE UP A DEPARTMENT.
MELANIE, AND ANGELA, AND V VIDYA. SOLICITATION REQUIREMENTS.
20 POINTS FOR EXPERIENCE AND BACKGROUND. 40 FOR PROPOSED PLAN.
15 FOR PRICING. AND THEN YOU SEE THE SBE, W WBE, AND LOCAL AND VETERAN POINTS THAT ARE THERE AS WELL. THOSE ARE JUST THE REQUIREMENTS. AT THE BOTTOM, YOU'LL SEE THE SBEDA SUBCONTRACT REQUIREMENTS AT 8% AND 3% AT THE BOTTOM. PUT TOGETHER THIS SPECIFIC CONTRACT. THIS IS THE AVAILABILITY. AND HERE IS A PROJECT TIMELINE. SO WE'RE HERE TODAY IN KIND OF OUR PRESOLICITATION BR BRIEFING. WE EXPECT TO DO AN INFORMATIONAL SESSION WITH VENDORS AT THE END OF THE MONTH. PUT IT ON THE STREET BY THE END OF JUNE. AND THEN PRESUBMITTAL IN JULY.
BE ABLE TO DO QUESTIONS AND BE DONE BY THE END OF AUGUST AS WE GO FORWARD IN THE SOLICITATION. WE'LL START OFF EVALUATION PROCESS WILL BE COMPLETED IN NOVEMBER. NEGOTIATE CONTRACTS IN DECEMBER.
OUR INTENT IS TO BRING IT BACK TO COUNCIL, HERE, AND TO COUNCIL IN JANUARY, AND THEN QUICK THIS OFF IN THE FEBRUARY TIME FRAME, AND THIS BECOMES A 2-YEAR, FEBRUARY 2026 THROUGH END OF YEAR 2027 ENGAGEMENT AS WE GO FORWARD.
AND THAT'S MY SUMMARY, AND I'M READY FOR ANY QUESTIONS OR TROY WILL ANSWER THEM BETTER.
>> VIAGRAN: OKAY. THIS IS BRIEFING ONLY, BUT WE DO HAVE QUESTIONS
AND DISCUSSION. COUNCILMAN COURAGE. >> COURAGE: THANK YOU.
YOU KNOW, I'VE HEARD MAYBE MOST OF US HAD OUT OF A LOT OF MAJOR ED ORGANIZATIONS, AND HERE, I SEE WE'RE LOOKING AT SAP AS A PLATFORM AND JUST LOOKING AT ONE OF ITS BRANCHES, OKAY. AND WE'RE GOING TO ADD THAT IN FOR FINANCIAL MANAGEMENT; RIGHT? BUT WHAT ABOUT ALL THE REST OF THE THINGS THAT SAP HAS DONE FOR US IN THE WAY OF OTHER INFORMATION MANAGEMENT AND STUFF LIKE THAT. ARE WE KEEPING THAT, THAT BASE? BECAUSE I UNDERSTAND THAT THERE'S BEEN A LOT OF CHANGES AND OTHER PROGRAMS THAT HAVE BEEN AVAILABLE THAT COVER THAT. SO CAN YOU EXPLAIN THE DIFFERENCE BETWEEN THAT FINANCIAL ASPECT WE'RE ADDING AND THE REST OF SAP IN OUR SYSTEM.
>> SO IN OUR ENVIR ENVIRONMENT, THERE'S -- I'M GOING TO -- JUST FOR THE SAKE OF CLARITY, CALL IT THE CURRENT SAP ENVIRONMENT.
THIS IS THE NEW SAP ENVIRONMENT. THE CURRENT ONE IS MA MAINLY FINANCIALS. THAT'S WHAT WE IMPL IMPLEMENTED.
MOSTLY AROUND FINAN FINANCIALS. WE DIDN'T IMPLEMENT THE HR COMPONENTS, THE BUDGET COMPONENTS. WE HAD A LITTLE BIT OF HELP IN THE CONTRACTING SIDE, BUT NOT A LOT. IT WAS PRIMARILY FOR FINANCIAL REASONS. SO THE SUITE WE'RE U UPGRADING TO IS THE FINANCIALS AS WELL AS H HR, BUDGET, INFORMATION TECHNOLOGY AND PRO PROCUREMENT. SO THOSE ARE THE ADD-ON MODULES IF YOU THINK OF IT AS A BIGGER PLATFORM. I WILL TELL YOU THAT LARGE ORGANIZATIONS AROUND THE WORLD, SAP IS IN ABOUT 50% OF THEM. IF YOU WERE IN A MID-SIZE ORGANIZATION, SAP IS PROBABLY MORE THAN YOU NEED.
SO WHAT YOU HEAR A LOT OF PEOPLE IN THE MID-SIZE ORGANIZATION OR SMALL ORGANIZATIONS, GO TO OTHER TOOLS WHICH ARE CHEAPER, EASIER, SMALLER TO USE ISSUES BUT ON THE LARGER ORGANIZATION, WHICH WE ARE ONE.
SAP IS ONE OF THE PRIMARY PLATFORMS. DOES THAT HELP?
[00:30:01]
>> COURAGE: ALL RIGHT. THAT'S ALL. THANK YOU.
>> VIAGRAN: ANY OTHER DISC DISCUSSION? ALL RIGHT.
THANK YOU. >> THANK YOU, GUYS. >> VIAGRAN: WE'LL MOVE ON TO ITEM NUMBER 6. MADAM CLERK. PLEASE READ THE CAPTION
FOR ITEM 6. >> CLERK: ITEM 6 IS A BRIEFING ON THE RELEASE OF A SOLICITATIO FOR ONE CONTRACT TO PROVIDE THE PUBLIC WORKS DEPARTMENT WITH CONSTRUCTION SERVICES FOR A NEW ANIMAL CARE SERVICES, ACS, VETERINARY HOSPITAL AND RENOVATIONS TO THE EXISTING CLINIC, A 2022 BOND PROJECT LOCATED IN COUNCIL DISTRICT 5 FOR AN ESTIMATED TOTAL VALUE OF
$12,843,100. >> VIAGRAN: RAZI, THE FLOOR IS YOURS.
>> GOOD MORNING. I'M RAZI, DIRECTOR OF PUBLIC WORKS.
PUBLIC WORKS DEPARTMENT IS STATING A REQUEST FOR PROPOSAL FOR THE SELECTION OF A FIRM TO PROVIDE CONSTRUCTION SERVICE FOR NEW ANIMAL CARE HOSPITAL. ESTIMATED COMP POLICE STATION IS 767 CALENDAR DAYS. FUNDING SOURCE IS 2022 PROGRAM AND OF COURSE ( ( INDISCERNIBLE ) WE SEEK ONE FIRM TO PROVIDE CONSTRUCTION SERVICES FOR ANIMA CARE SERVICE HOSPITAL AND RENOVATION TO EXISTING CLINICS. THERE ARE 340 VENDORS IN THE CVR THAT COULD PROVIDE SERVICE LIKE THIS. IT WILL BE 'T ' ADVERTISED THROUGH THE CITY'S NORMAL. IT CONSISTS OF CITY MANAGER OFFICE.
PUBLIC WORKS DEPARTMENT AND ANIMAL CARE SERVICE DEPARTMENT.
PROJECT CRITERIA IS INCLUDED, EXPERIENCE, BACKGROUND, QUALIFICATION OF RESPONDENT, KE PERSONNEL, AND KEY CONSULTING 3 POINTS. UNDERSTANDING OF THE PROJECT PROPOSAL AND MANAGEMENT PL PLAN, 20 POINTS. EXPERIENCE WITH SAN ANTONIO REGION AND PEST PERFORMANCE 15 POINTS. PRICING IS 15 POINTS.
MWB PRIME CONTRACT IS 10 POINTS. AABE PRIME CONTRACTOR PROGRAM ALSO 10 POINTS. ADDITIONAL REQUIREMENT INCLUDES PROHIBITED CAMPAIGN CONTRIBUTIONS, 10 DAYS AFTER THE RELEASE, AND 30 DAYS AFTER THE COUNCIL'S APPR APPROVAL. AND ALSO, THERE IS A RESTRICTION ON THE COMMUNICATION. AUDIT AND FINANCIAL STATEMENTS NOT REQUIRED.
SBEDA SUBCONTRACTING REQUIREMENTS 13%, M/WBE I IS -- AND AABE IS 1%.
GOAL SETTING COMMITTEE CONSISTS OF NEIGHBORHOOD AND HOUSING DEPARTMENT, ECONOMIC DEVELOPMENT DEPARTMENT, PUBLIC WORKS DEPARTMENT, FINANCE DEPARTMENT, AND OF COURSE CITY'S END. THE SOLICITATION WILL BE RELEASED ON MAY 19, 2025.
PRESUBMITTAL CONFERENCE IS ON JUNE 4, 2025. PROPOSAL VIEW ON JULY 11, 2025, AND OTHER COMMITTEE TO OCTOBER, 2025, AND CONCEPT APPROVAL IN NOVEMBER, 2025.
WE'RE ANTICIPATING CONSTRUCTION TO START DECEMBER THIS YEAR AND FINISH SUMMER OF 2027. THAT'S THE END OF MY PRESENTATION.
HAPPY TO TAKE ANY QUESTIONS. >> VIAGRAN: COUNCILMAN COURAGE. >> COURAGE: RAZI, CAN YOU HELP ME UNDERSTAND WHY IT TOOK 2.5 YEARS TO GET TO THIS POINT WHER WE'RE STARTING TO GO AHEAD AND
PUT A BID OUT. >> VIAGRAN: YOU KNOW, IT'S A HOSPITAL, A VERY COMPLICATED DESIGN, AND OF COURSE WE NEED - WE HAVE TO FIRST DECIDE WHAT TH DEPARTMENT NEEDS, AND OF COURSE SELECT THE ARCHITECTURE DESIGN, AND NOW WE'RE AT THE TERM TOED TER VISE FOR DESIGN.
>> COURAGE: DO WE HAVE A DESIGN? >> YES. DESIGN SYSTEM DONE.
WE'RE READY TO PUT BUSINESS. >> COURAGE: IT TAKES WAY TOO LONG TO GET THINGS DONE FROM BOND PROJECTS, AND I THINK ANIMAL CARE SERVICE IS CRITICAL AND WE'VE HEARD NOTHING BUT PUBLIC COME PLAINS STATES FOR ANIMAL CARE FOR THE LAST 3 OR 4 YEARS. SO I'M GLAD THE DESIGN IS DONE AND GLAD TO SEE WE'RE MOVING FORWARD, BUT IT SHOULD NEVER TAKE THIS LONG FOR SOMETHING AS CRITICAL AS THAT. AND THAT'S MY OPINION. THAT'S ALL.
>> WHYTE: SECOND. >> VIAGRAN: THIS IS FOR BRIEFIN PURPOSES ONLY.
>> YES, MA'AM. >> VIAGRAN: THANK YOU FOR THE PRESENTATION.
[00:35:03]
I'LL AGREE BOND PROJECTS TAKE LONGER THAN THEY SHOULD, BUT WHERE THE HOSPITAL IS CONCERNED, I THINK ONE THING WE KNEW FROM ACS IS THAT WHAT I HEAR FROM THE ANIMAL ACTIVISTS IS IF WE DON'T GET THE HOSPITAL RIGHT, THE DISEASE IS GOING TO SPREAD, AND THAT'S WHY I'M GLAD WE TOOK -- WE TOOK THE RIGHT STEPS, AND THAT'S MY MAIN CONCERN IS THAT MOVING FORWARD, WHEN WE BUILD, WE TAKE INTO CONSIDERATION THAT A LOT OF THE ANIMALS WE'RE TAKING IN DO NOT HAVE THEIR VACCINATIONS, WHICH LEADS TO PROBLEMS, BECAUSE ONCE IT SPREADS, IT'S -- IT COULD BE ALL OVER. AND THAT'S WHY WE'RE IN THE PREDICAMENT WE ARE AND WE'RE ASKING PEOPLE TO HOLD, YOU KNOW, ANIMALS FOR SO LONG BECAUSE IF WE TAKE THEM AND THEY DO NOT HAVE THEIR RIGHT VACCIN VACCINATIONS, THEY COULD GET PARVO OR SOMETHING WORSE, AND THEN WE'RE DEALING WITH A DOG WITH DISEASE. SO I'M GLAD WE HAVE A VETERINARIAN HOSPITAL HERE. I'M HOPING IT WILL HELP WITH SPAY AND NEUTERS, BUT I WANT TO TAKE THIS OPPORTUNITY THAT CRITICAL IS VACCINATIONS ALSO FOR OUR ANIMALS AND PETS.SO LET'S CONTINUE TO MOVE FORWARD. THANK YOU FOR THE BR BRIEFING. I LOOK FORWARD TO HEARING THAT AND MOVE THAT -- OH.
SORRY. COUNCILMAN WHYTE. >> WHYTE: OTHER THAN AGREEING WITH COUNCILMAN COURAGE, QUICK QUESTION. WHAT ARE WE DOING TO MAKE SURE WE STAY IN BUDGET ON THIS ONE, GIVEN ALL THE COST FLUCTUATIONS AND EVERYTHING WE'RE SEEING IN THE CONSTRUCTION
INDUSTRY? >> WE -- THESE ARE THE QUESTION. AS WE FINALIZE OUR DESIGN, WE ALSO FINALIZE OUR COST ESTIMATE. WHEN WE ADVERTISE, IF IT COMES OVER BUDGET, WE DO VALUE ENGINEER AND WO WORKING WITH THE DEPARTMENT, MAKING SURE WE'RE NOT CHANGING ANYTHING TO AFFECT THE OPERATION OF WHAT WE'RE
PLANNING TO DO. >> WHYTE: OKAY SO YOU VALUE ENGINEERED ON THE BACK END TO
GET IT TO COME OUT WITHIN BU BUDGET? >> BEFORE WE BRING TO COUNCIL'S APPROVAL IN A SESSION, IF IT IS OVER BUDGET, WE'LL BRING IT
TO YOU WITHIN THE BUDGET WE HAVE. >> WHYTE: YEAH, AND TO YOUR POINT, COUNCILMAN, THIS IS ONE OF THE PROBLEMS WITH THINGS TAKING SO LONG.
SEVERAL YEARS IT WAS GOING TO COST ONE FIG FIGURE, AND NOW IT'S GOING TO COST SOMETHING THAT'S EVEN GREATER. SO ANYWAYS.
THANK YOU. >> VIAGRAN: THANK YOU, RAZI. ALL RIGHT.
NOW WE'RE GETTING TO OUR POST SOLICITATION ITEM. THERE'S ONE POST SOLICITATION HIGH PROFILE BRIEFING FOR INDIVIDUAL CONSIDERATION.
MADAM CLERK, PLEASE READ CAPTION FOR ITEM 7. >> CLERK: ITEM 7 IS APPROVAL TO PROCEED WITH SCHEDULING ONE CONTRACT FOR CITY COUNCIL CONSIDERATION FOR NEIGHBORHOOD AND HOUSING SERVICES DEPARTMENT TO PROVIDE GAP FUNDING TO ONE AFFORDABLE SINGLE, HOUSING DEVELOPMENT PROJECT IN THE ESTIMATED TOTAL VALUE OF $1,900,000 FOR A TERM BASED ON
THE DEVELOPMENT SCHEDULE. >> VIAGRAN: VERONICA, THE FLOOR IS YOURS.
>> THANK YOU, MADAM CHAIR. VERONICA GARCIA, DIRECTOR OF NEIGHBORHOOD AND HOUSING SERVICES DEPARTMENT.
TODAY WE HAVE A POST SOLICITATION BRIEFING ON SINGLE AFFORDABLE HO HOUSING DEVELOPMENT GAP FUNDING. WE ISSUED A SOLICITATION FOR A SINGLE FAMILY DEVELOPMENT PROJECTS THAT REQUIRE GAP FUNDING TO BE BUILT, AND THIS IS SUPPORTED BY OUR FEDERAL HEAD FUNDS.
THE SOLICITATION LOOKED FOR PROJECTS THAT WOULD CREATE NEW HOMEOWNERSHIP OPPORTUNITIES FOR FAMILIES AT 80 PERCENT OF THE AREA MEDIAN INCOME BELOW AND A FAMILY AT 80% MAKES LESS THAN $64,000 A YEAR.
OUR AVERAGE SALES PRICE RIGHT NOW IS JUST AROUND $300,000, SO THIS TYPE OF HOUSING IS SEP DESP DESPERATELY NEEDED. THE SOLICITATION MADE AVAILABLE UP TO $5 MILLION IN FEDERAL HOME AND CBG FUNDS.
WE ISSUED THE SOLICITATION ON DEC SEPTEMBER 10, 2024.
IT CLOSED ON JANUARY 4, 2025, AND THE EVALUATION COMMITTEE MET IN LATE MARCH TO EVALUATE PROPOSALS. AFTER THOROUGH REVIEW WE ARE RECOMMENDING ONE PROPOSAL FOR UP TO $1.9 MILLION IN AWARD.
FUNDS THAT ARE NOT AWARDED THROUGH THIS PARTICULAR RFP WILL BE MADE AVAILABLE THROUGH A SUBSEQUENT RFP WHICH HAS BEEN RELEASED AND WE'LL BRING THOSE RECOMMENDATIONS TO YOU NEXT MONTH.
THE EVALUATION COMMITTEE INC INCLUDED REPRESENTATIVES FROM THE CITY MANAGER'S OFFICE, NEIGHBORHOOD AND HOUSING SER SERVICES DEPARTMENT, THE PL PLANNING DEPARTMENT, VIA, AS WELL AS A REPRESENTATIVE FROM OUR HOUSING COMMISSION. WE ALSO WERE SUPPORTED BY SEVERAL TECHNICAL EXPERTS AND OUR UNDERWRITERS. UPON REVIEW, THE COMMITTEE
[00:40:04]
UTILIZED SCORING CRITERIA PREVIOUSLY APPROVED BY CITY COUNCIL AND RANKED PROPOSALS BASED ON DEVELOPMENT EXPERIENCE, AMOUNT OF GAP, THE TIMELINE TO DELIVER HOUSING, THE SERVICES OFFERED TO POTENTIAL HOME BUYERS AND NEW HOME BUYERS AS WELL AS THE OVERALL AFFORDABILITY OF THE HOMES IN THE PROJECT.FIRMS ALSO RECEIVE POINTS FOR THEIR NONPROFIT STATUS AND THE SMALL BUSINESS POINTS AND LOCAL PREFERENCE PROGRAM WAS WAIVED DUE TO THE INCLUSION OF FEDERAL FUNDING. THE EVALUATION COMMITTEE IS RECOMMENDING ONE FIRM, WHICH SCORED 84.67 POINTS OUT OF 100. FINANCE AND AUDIT DEPAR DEPARTMENTS CONDUCTED DUE DILIGENCE, AND AS A RESULT, 349 VENDORS WERE NOTIFIED OF THE SOLICITATION. SEVEN VENDORS ATTENDED THE PRESUBMITTAL CONFERENCE, AND WE RECEIVED A TOTAL OF 5 RESPONSES TO THE SOLICITATION.
TWO OF THOSE RESPONSES FOR INCOMPLETE, AND THEREFORE NONRESPONSIVE, AND THEN ON ONE -- ONE EVALUATION PROPOSAL WAS DISQUALIFIED DUE TO PROBITTED CAMPAIGN CONTRIBUTIONS. THE COMMITTEE MET AND SCO SCORED, AND AFTER SCORING ONE ADDITIONAL RESPONSE WAS DEEMED -- WAS DISQUALIFIED DUE TO PROBITTED CAMPAIGN CONTRIBUTION, SO THE FINAL RESPONDENT -- THERE WERE NO MATERIAL FINDINGS THROUGHOUT THE DUE DILIGENCE PERIOD, AND THEN THE NEXT STEP WOULD BE CITY COUNCIL CONSIDERATION ON MAY 29 FOR THE FUNDING AWARD. HAPPY TO ANSWER ANY
QUESTIONS YOU MAY HAVE. >> VIAGRAN: COUNCILMAN COURAGE. >> COURAGE: COULD YOU EXPLAIN THE DISQUALIFICATION, FOR EXAMPLE, WAS THE DISQUALIFICATION DUE TO A PARTNER OR A MEMBER OF A BOARD OR SOMETHING LIKE THAT MAKING A UNAUTHORIZED CONTRIBUTION.
>> ON BOTH THOSE ITEMS FOR POLITICAL CONTRIBUTIONS VERONICA TALKED ABOUT, ONE WAS A TREASURER OF A BOARD AND THE OTHER WAS A BOARD
MEMBER. >> COURAGE: OKAY. AND WE'VE TALKED ABOUT THESE ISSUES BEFORE ON BOARD MEMBERS AND I'LL ASSUME THESE ARE TO N
NONPROFITS AND NONPAID BOARD MEMBERS. >> THAT WOULD BE COR
CORRECT. >> COURAGE: OKAY, I JUST WANTED TO FIND OUT ABOUT THAT.
CAN YOU TELL ME HOW MANY UNITS THIS PARTICULAR ORGANIZATION WILL PROVIDE BASED ON THE MONEY WE'RE PROVIDING TO THEM.
>> SURE. 28 UNITS. >> COURAGE: OKAY.
28. AND WAS THE AVERAGE PRICE OF THE HOUSE GOING
TO BE, LIKE, $250,000 OR SOMETHING LIKE THAT. >> USUALLY LESS THAN
$200,000. >> COURAGE: OKAY. 28 UNITS.
OKAY. THANK YOU. >> VIAGRAN: ANY OTHER DISC DISCUSSION? THANK YOU, VERONICA. YOU KNOW, MEETING OUR GOALS THAT WE SET FORWARD WITHIN SHIP IS IMPORTANT, AND THIS IS A NECESSARY STEP, AND I'M PLEASED TO SEE THAT WE'RE CONTINUING TO GET OUR MESSAGE OUT ABOUT WHAT IT MEANS TO BE IN A BLACKOUT PERIOD AND WHAT THE RULES ARE AND REM REMINDING BOARD MEMBERS AND I HOPE WE CAN ADDRESS THIS IN THE FUTURE AS A COUNCIL. SO WE'RE GOING TO NEED A MOTION
AND A SECOND. >> I MOVE FOR A MOTION
>> VIAGRAN: I'VE GOT A MOTION AND A SECOND. ALL IN FAVOR SAY AYE.
ALL RIGHT. THANK YOU. SO WE ARE MOVING ON TO A STAFF
BRIEFING, ITEM 8. MADAM CLERK. >> CLERK: ITEM 8 IS A BRIEFING ON THE FISCAL YEAR 2024 EXTERNA FINANCIAL AUDIT AND PRESENTATIO OF RELATED REPORTS.
>> VIAGRAN: GREAT. >> GOOD MORNING. I'M VICTORIA RAIDER, AND I'M HERE WITH AMANDA E EVES OUR EXTERNAL AUDIT PARTNER, AND WE'RE HERE TO GIVE YOU THE RESULTS OF THE FY24 EXTERNAL AUDIT.
I THINK IT'S IMPORTANT THAT WE DISTINGUISH BETWEEN INTERNAL AUDIT AND EXTERNAL AUDIT.
AN INTERNAL AUDIT REPORT, WHICH IS DIRECTED BY THIS COMMITTEE, THEIR REPORTS ARE MORE PROGRAM ATTIC AND SPECIFIC IN NATURE. EXTERNAL AUDIT, IT IS REQUIRED BY OUR CITY CHA CHARTER, ALSO REQUIRED BY STATE STATUE, AND BECAUSE WE RECEIVED FEDERAL GRANT, IT'S FEDERAL REGULATION. IT PROVIDES A TRUE AND FAIR VIEW OF THE CITY'S POSITION AT THE -- EXCUSE ME, THE FINANCIALS OF THE CITY, IT ENSURES THAT OUR CITY'S RECORDS ARE PROPERLY MAINTAINED, FREE OF ANY M MISMATERIAL STATEMENT AND WE'RE IN COMPLIANCE WITH ALL OF OUR STANDARDS.
THE EXTERNAL AUDIT CONTRACT WAS AWARDED BACK IN JUNE OF '22.
IT'S A 3 YEAR TERM WITH 2 SEPARATE 1-YEAR EXTENSIONS. THIS FY24 AUDIT WAS THE THIRD YEAR OF THE CONTRACT AND THE CITY DOES PLAN ON EXECUTING THE TWO, 1-YEAR
[00:45:03]
EXTENSIONS. THIS IS TO REVIEW THE OUTCOME OF THE AUDIT AND DISCUSS T THE AUDIT FIRM AND THE COMMITTEE. FROM THIS AUDIT.THERE ARE FOUR, SOMETIMES FIVE DIFFERENT REPORTS THAT COME OUT OF IT.
AMANDA WILL GO INTO MORE DETAIL ABOUT THEM. BUT YOU CAN FIND IT ON THIS TRANSPARENCY WEBSITE THAT'S LISTED BELOW. AND WHAT THE AUDIT DOES IS IT LOOKS AND SAYS WHAT ARE THE FINDINGS, AND THIS SLIDE RIGHT HERE SHOWS THE CITY'S FINDINGS OVER THE LAST 18 YEARS AND THE SEVERITY OF THOSE FINDINGS. I AM PROUD TO ANNOUNCE FOR THE 7TH YEAR IN A ROW, THE CITY HAS NO INTERNAL CONTROL FIND FINDINGS. YOU CAN SEE WE'VE MADE REALLY GREAT IMPROVEMENTS, ESPECIALLY WITH HOW STRICT THE COUNTY RULES HAVE BECOME OVER THE LAST FEW YEARS.
OUR AUDITORS ALSO LOOK AT FEDERAL GRANTS AND STATE GRANTS.
NOT EVERY GRANT IS AUDITED. THERE ARE SOME CHOSEN AS MAJOR PROGRAMS. THE SLIDE ALSO SHOWS THE HISTORY OF THE AMOUNT OF FINDINGS THIS CITY HAD.
AND THIS YEAR, THE CITY DID NOT HAVE ANY SINGLE AUDIT FINDINGS.
THIS IS A BIG ACCOMPLISHMENT FOR A CITY AS LARGE AS OURS, NO INTERNAL CONTROL FIND FINDINGS. OVER THE LAST FEW YEARS, WE'VE BEEN REQUIRED TO ADOPT ACCOUNTING STANDARDS THAT REQUIRE CITY WIDE RESOURCES TO COMPILE OUR REPORT, AND THIS TREND IS GOING TO CONTINUE AS GABBY HAS QUITE QUITE A FEW DOWN THE PIPELINE WE'LL HAVE TO IMPLEMENT. THE GOAL IS TRANSPARENCY, BUT THIS REQUIREMENT, IT'LL BECOME HARDER FOR US TO DO THIS AND KEEP UP WITH NO INTERNAL CONTROL FINDINGS.
SO IT'S VERY IMPORTANT WE HAVE A TEAM THAT'S QUALIFIED AND EXPERIENCED, AND I WANT TO THANK THAT TEAM, THE CONTROL AND DIVISION TEAM FOR THE HARD WORK IN COMPLETING THE AUDIT. THAT TEAM IS LED BY ELIZABETH AND KIMBERLY, OUR FINANCIAL REPORTING MANA MANAGERS. ALSO THE FISCAL TEAMS IN EVERY SINGLE DEPARTMENT LED BY DEPARTMENT FISCAL ADMINIADMINISTRATORS, AND OF COURSE EXECUTIVE TEAM. MELANIE, TROY, AND BEN, FOR HELPING US ACCOMPLISH THIS GOAL. AND WITH THAT, I'LL HAND IT OVE TO AMANDA TO GO OVER REQUIRED
COMMUNICATIONS. >> THANK YOU, VICTORIA, FIRST OF ALL, I WANT TO SAY THANK YOU. WE APPRECIATE THE OPPORTUNITY TO WORK WITH THE CITY OF SAN ANTONIO, AGAIN THIS YEAR. THE AUDIT WENT -- STAFF WAS VERY RESPONSIVE, HELPFUL, OPEN COMMUNICATIONS, AND REROLL APPRECIATE THEIR HE HELP. I DO WANT TO -- SO I WANT TO START OUT WITH INTRODUCING -- AS IN THE PAST, WE HAVE TEAMING PARTNERS THAT WORK ON THE AUDIT WITH US.
SHOWING THEM THIS SLIDE. AND WE HAVE A FEW MEMBERS FROM THE FIRM TODAY, BOB WILLIAMS, JUSTIN TURNER, AND CHARLES MARSHALL. THEY'RE A KEY PART OF THE AUDIT TEAM, INVOLVED FROM PLANNING REPORT ISSUANCE, AND WE REALLY APPRECIATE THEIR HELP ON THE AUDITS AGAIN THIS YEAR. SO THE RESULTS OF THE AUDIT, I'M HAPPY TO REPORT, ARE U UNMODIFIED, CLEAN OPINIONS ON YOUR FINANCIAL STATEMENTS THAT THEY'RE PROPERLY STATED IN ALL MATERIAL RESPECTS IN ACCORDANCE WITH GENERALLY ACCEPTED ACCOUNTING PRINCIPLES. AGAIN, NO SCOPE LIMITATIONS, NO UNRESOLVED AUDIT ISSUES, REALLY OPEN COMMUNICATIONS WITH MANAGEMENT, AND THEN VICTORIA SHOWED ON A PREVIOUS SLIDE THAT YOU HAD TWO SINGLE AUDIT FINDINGS LAST YEAR, SO THE LAST BULLET UP HERE TELLS YOU THOSE FINDINGS WERE RESO RESOLVED. SO WHEN WE CONDUCT OUR AU AUDIT, MANY TIMES WE WILL IDENTIFY AUDIT ADJUSTMENTS, THESE ARE, YOU KNOW, ADJ ADJUSTING JOURNAL INDUSTRIES THAT WE'LL BRING TO THE ATTENTION OF MANAGEMENT, AND THEY'LL REVIEW THEM, AND, YOU KNOW, DECIDE, FIRST OF ALL, DO THEY AGREE WITH THOSE ADJUSTMENTS, AND THEN DO THEY WANT TO POST THEM? OR DO THEY CONSIDER, YOU KNOW, WHETHER THEY'RE MATERIAL OR NOT, DO THEY WANT TO POST THEM, PASS ON THEM, AND WE AGREE ON, YOU KNOW, THE END RESULT ON TH THAT. SO WE HAD TWO AREAS WHERE WE PROPOSED AUDIT ADJUSTMENTS AND MANAGEMENT RECORDED THOSE, SO FULLY REFLECTED IN THE FINANCIA STATEMENTS THAT WERE ISSUED, AN THEN THERE WAS ONE PROPOSED AUDIT ADJUSTMENT THAT WAS NOT RECORDED THAT WAS PASSED ONLY, AND SO WE'RE JUST REQUIRED TO BRING THAT TO YOUR ATTENTION AS WELL. NONE OF THESE WERE MATERIAL ADJUSTMENTS, BUT THEY WERE ITEMS THAT WE FOUND AS WE WENT THROUGH THE AUDIT. SO ALSO, AS SEEN ON A PREVIOUS SLIDE, THESE ARE THE DELIV DELIVERABLES THAT WE HAVE COMPLETED.
SO WHEN I SAY WE, THE ANNUAL COMPREHENSIVE FINANCIAL REPORT, THAT IS COMPLETELY PREPARED BY THE CITY STAFF. SO YOUR CITY STAFF PREPARED THAT, I DON'T KNOW, 500 +
[00:50:07]
PAGE REPORT. A LOT OF REALLY GOOD INFORMATION.THEY DO A TREMENDOUS JOB WITH THAT. WE DID ISSUE OUR REPORT, OUR AUDIT OPINION ON THE FINANCIAL STATEMENTS THAT ARE WITHIN THAT REPORT, AND AGAIN, AN UNMODIFIED OR CLEAN OPINION. OUR SINGLE AUDIT REPORT FOR UNIFORM GUIDANCE, FEDERAL GRANTS, AND ALSO THE STATE OF TEXAS GRANT MANAGEMENT STANDERS, THOSE ARE YOUR STATE GRANTS, WE ISSUE OUR REPORTS ON THE AUDITS OF THE PROGRAMS, THE MAJOR PROG PROGRAMS, WHICH WE'LL LOOK AT IN A MINUTE.
CLEAN REPORTS THAT THE CITY CCOMPLIED IN ALL MATERIAL RESPECTS AND NO FINDINGS TO REPORT. ALSO OUR AUDIT REPORT ON PASSENGER FACILITY CHARGE COMPLIANCE AS WELL AS TCQ AGREED UPON PROCEDURES AND THEN WE ALSO ISSUE A SEPARATE STATEMENT AUDIT REPORT ON MUNICIPAL AIDS CORPORATION WHICH IS REP REPORTED AS A FUND WITHIN CITY'S FINANCIAL STATEMENTS. CLEAN REPORT ON ALL OF TH THOSE. SO AS YOU KNOW, THE CITY HAS A LOT OF MOVING PARTS.
SO THIS GRAPHIC IS JUST TO SHOW YOU THE TOTAL -- THE DIFFERENT COMPONENT UNITS THAT ARE INCLUDED IN THE CITY'S FINANCIAL STATEMENTS, AND THEN WHICH ONES THAT WE'RE NOT AUDITING. SO THE CITY HAS THREE F FIDUCIARY UNITS.
BLENDED COMPONENT UNITS, 14, AND FIVE OF THOSE ARE AU AUDITED BY OTHER FIRMS. AND THEN THERE ARE 10 AND 5 THAT ARE AUDITED BY OTHERS. AND IN THE APPENDIX TO THE PRESENTATION, YOU'LL SEE A DETAILED LISTING OF ALL OF THOSE ENTITIES.
SO THESE NEXT FEW SLIDES JUST ARE A LISTING OF THE DIFFERENT PROGRAMS THAT ARE REQUIRED TO BE TESTED AS MAJOR PROGRAMS THIS YEAR. SO I BELIEVE WE HAD 10 MAJOR FEDERAL PROGRAMS. SO THESE TWO SLIDES HERE ARE YOUR FEDERAL PROGRAMS, AND THEN STATE SINGLE AUDIT, YOU HAD THREE. SO, AGAIN, CLEAN REPORTS ON THOSE, BUT A LOT MORE REQUIRED TO BE AUDITED THIS YEAR.
I DON'T REMEMBER HOW MANY WE HAD LAST YEAR, BUT IT WASN'T --. THAT'S FOR SURE.
SO OUR AUDIT RESULTS, FIRST OF ALL, A REMINDER THAT THE SCOPE OF THE AUDIT IS TO E EXPRESS AN OPINION ABOUT WHETHER FINANCIAL STATEMENTS ARE PROPERLY STATED IN ACCORDANCE WITH GAP. THAT IS REASONABLE ASSU ASSURANCE, YOU KNOW, THAT THEY'RE PROPERLY STATED IN ALL MATERIAL RESPECTS. SO IN OTHER WORDS, WE'RE NOT AUDITING OR TESTING EVERY TRANSACTION, AND OUR AUDIT DOES NOT RELIEVE MANAGEMENT OR ARE -- YOU KNOW, THE COMMITTEE OF RESPONS RESPONSIBILITIES FOR OV OVERSIGHT AND FOR THOSE FINANCIAL STATEMENTS. THE COMMUNICATION HERE TO TODAY, YOU KNOW, IS MEANT FOR CITY MANAGEMENT, CITY COUNCIL, AUDIT COMMITTEE, CITY STAFF, AND NO ONE ELSE OUTSIDE OF THAT -- THOSE GROUPS.
GROUP AUDITS JUST REFER TO THE FACT THAT OTHER FIRMS AUDIT SOME COMPONENTS OF THE CITY, WHICH WE TALKED ABOUT ON PREVIOUS SLIDES, AND THEN INDEPENDENCE MATTERS, WE ARE INDEPENDENT OF THE CITY. YOUR SIGNIFICANT ACCOUNTING POLICIES, IF YOU LOOK AT YOUR FINANCIAL STATEMENTS, THOSE ARE ALL INCLUDED IN NOTE 1 TO THE FINANCIAL STATEMENTS. WE NOTED NO UNUSUAL POLICIES OR ACCOUNTING METHODS.
EVERYTHING WAS, YOU KNOW, STRAIGHT UP IN ACCORDANCE WITH GENERALLY ACCEPTED PRINCIPLES. YOUR FINANCIAL STATEMENTS DO INCLUDE JUDGMENTS AND ACCOUNTING ESTIMATES AS VIRTUALLY ALL FINANCIAL STATEMENTS DO.
SO THE ONES IN YOUR FINANCIAL -- THE MORE SIGNIFICANT ONES WE WOULD POINT OUT IN YOUR FINANCIAL STATEMENTS ARE THE FAIR VALUE OF INVESTMENTS, ALSO YOUR ALLOWANCE FOR RECEIVABLES, YOUR PENSION AND OPEB LIABILITIES AND RELATED BALANCES, AND THEN YOUR INCURRED BUT NOT REL RELATED RELIABILITIES FOR YOUR SELF-INSURANCE. FINANCIAL STATEMENT DISCLOSURES THAT ARE MORE SIGNIFICANT WOULD RELATE TO SAME AREAS. PENSION OPEB, COMMITMENTS AND CONTINGENCIES, RISK FINANCING, AND SUBSEQUENT EVENTS.
AND LASTLY, JUDGMENT OF THE QUALITY OF THE CITY'S POLICIES.
AGAIN, NOTHING IN QUESTION OR OUTSIDE OF GAP. THE CITY DID IMPLEMENT A NEW ACCOUNTING STANDARD, GASBY ONE HUNDRED THIS YEAR WHICH YOU WILL SEE IN THE FINANCIAL STATEMENTS, BUT NO ISSUES THERE. AND THEN THIS IS THE APPENDIX, JUST GIVING YOU, YOU KNOW, THE LIST OF ALL THE DIFFERENT COMPONENT
[00:55:02]
UNITS OF THE CITY. THESE -- AS VICTORIA SHOWED AS WELL ARE FUTURE ACC ACCOUNTING STANDARDS AS IT STANDS RIGHT NOW. THERE'S SOME MORE OUT THERE THAT WILL PROBABLY BE P POPPING UP SOON, BUT RIGHT NOW YOU HAVE 4 TO BE IMPLEMENTED IN FUTURE YEARS. AND ONE THING I WANT TO MENTION ABOUT THE CITY FINANCE TEAM, YOU KNOW, I'VE BEEN WORKING WITH THE CITY, I GUESS THIS IS MY THIRD YEAR, AND EVERY YEAR AS THE NEW STANDARDS COME OUT AND THE CITY LOOKS AT IMPL IMPLEMENTING THOSE, WE HAVE CALLS THROUGHOUT THE YEAR, YOU KNOW, WHERE THEY REACH OUT TO JUST HAVE DISCUSSIONS WITH US TO MAKE SURE WE'RE ON THE SAME PAGE, AND IT REALLY HELPS US ALSO TO, YOU KNOW, KNOW WHAT'S GOING ON WITH THE CITY AND NOT WAIT UNTIL YEAR-END. SO IT'S BEEN A REALLY GOOD KIND OF RELATIONSHIP WORKING THROUGH THOSE CHANGES TOGETHER AS WELL. AND THAT IS THE END OF MY PRESENTATION. SO I'LL TAKE ANY QUESTIONS ANYONE HAS.>> VIAGRAN: COUNCILMAN COURAGE. >> COURAGE: THANK YOU. I KNOW THAT YOU'VE BEEN DOING THIS FOR US FOR YEARS, AND AFTER YEARS OF HEARING THESE, I'VE ALWAYS BEEN PRETTY SATISFIED WITH THE RESULTS THAT WE'RE RECEIVING, BUT I GUESS THIS IS AN OFF-THE-WALL QUESTION.
IN YOUR EXPERIENCE AFTER DOING AN AUDIT LIKE TH THIS.
HAVE YOU FOUND THAT LATER ON, WITHIN A YEAR OR WHATEVER, YOU'VE HEARD THAT THERE'S EITHER FRAUD OR THEFT OR EMBEZZLEMENT THAT'S BEEN
DISCOVERED BY WHICHEVER ENTITY YOU'VE AUDITED? >> YOU MEAN JUST IN --
LIKE, WITH OTHER CLI CLIENTS? >> COURAGE: YEAH.
YEAH. >> NO. I MEAN, I CAN THINK BACK TO ONE REALLY EARLY IN MY CAREER, BUT IT WAS IN THE MIDST OF THE AUDIT WHERE WE WERE DOING IT. THEY REACHED OUT AND THEY SAID WE NEED YOU TO
HOLD ON FOR A BIT AND DO OUR OTHER INVESTIGATION. >> COURAGE: WELL, YOU KNOW, THE REASON WHY I SAY THIS, DURING THE POLITICAL CAMPAIGN, PEOPLE WERE SAYING WE NEED TO HAVE A COMPLETE AUDIT BECAUSE THERE'S SO MUCH GOING ON. PEOPLE WERE BEING PAID OFF. I NEVER WOULD HAVE BELIEVED THAT. AND I THINK WE NEVER WOULD HAVE DISCOVERED ANYTHING LIKE THAT SINCE I'VE BEEN ON COUNCIL, AND I THINK YOUR EXPERIENCE JUST SAYS THAT THE WORK YOU DO USUALLY FINDS ANYTHING LIKE THAT, AND SO I FEEL GOOD ABOUT THE QUALITY OF THE AUDITS WE'RE G GETTING. I JUST WANTED TO MAKE THAT STATEMENT SO THAT THE PUBLIC UNDERSTANDS THAT WE'RE REALLY DOING A GOOD JOB INITIATING THE POLICIES AND PROCEDURES TO PROTECT, YOU KNOW, OUR CITIZEN'S DOLLARS THAT GO INTO THIS CITY.
SO THANK YOU. >> THANK YOU. >> VIAGRAN: THANK YOU,
COUNCILMAN COURAGE. COUNCILMAN WHYTE. >> WHYTE: YEAH.
I'LL SAY I'M GLAD WE'RE DOING THIS. THE CITY NEEDS TO HAVE A COMMITMENT TO FINANCIAL INTEGRITY. THE COUNCILMAN IS RIGHT.
THERE'S MANY IN THE PUBLIC THAT QUESTION A LOT THAT GOES ON DOWN HERE, AND SO TO THE EXTENT THAT WE, YOU KN KNOW, CONDUCT ACTIVITIES LIKE THIS WHERE WE'RE LOOKING AT OURSELVES AND HAVING SOMEBODY FROM THE OUTSIDE LOOK AT US TO MAKE SURE EVERYTHING IS RUNNING AS IT SHOULD, I THINK IT'S BENEFICIAL. SO I APPRECIATE YOUR WORK.
THANKS, CHAIR. >> THANK YOU. >> VIAGRAN: THANK YOU.
AND THANK YOU. IT HASN'T BEEN THE 8 LONG YEARS THAT COUNCILMAN COURAGE SAID, BUT IT HAS BEEN 4 YEARS, AND BEN, AND TROY AND THE TEAM WORK REALLY HARD THAT IN TERMS OF ISSUES, THEY ADDRESS THAT, AND I THINK THAT SPEAKS TO THE FACT THAT WE'VE HAD SO MANY YEARS WHERE THE FINDINGS HAVE BEEN AS SUCH. SO I APPRECIATE THE TE TEAM. AGAIN, I'LL GO BACK AND REITERATE.
WE ARE A VERY SMALL BUT MIGHTY TEAM. I KNOW YOU CAN'T TELL US -- IT THEY HAD MORE PEOPLE HELPING, BUT I DO THINK THAT IF WE WERE RIG RIGHT-STAFFED, THIS WOULD HELP THINGS ALONG. BUT THANK YOU FOR THE EFFORTS THAT YOU'VE MADE FORWARD. I'M PLEASED WITH THE AUDITING IN THESE MATTERS, AND I THINK AS WE MOVE INTO THE FUTURE AND INTO SOME OF THE U UNCERTAINTIES THAT WE SEE, IT'LL BE REALLY IMPORTANT TO MAKE SURE THAT WE CONTINUE TO MAINTAIN, AND SO I WANT TO THANK YOU. I WANT TO THANK YOU FOR YOUR TEAM FOR GOING IN, GOING DEPARTMENT BY DEPARTMENT AND MAKING SURE THAT WE ADDRESS WHAT WE'RE DOING AND HOW WE'RE USING THE DOLLARS. SO THANK YOU.
THANK YOU FOR THE PRESENTATION -- YES, BUDDY?
>> YEAH. I WOULD LIKE TO MAKE A COMMENT.
WHEN YOU SEE AUDITS LIKE THIS WITH AN ORGANIZATION THIS LARGE, IT'S UNCOMMON TO COME OUT OF A FINANCIAL AUDIT WITHOUT ANY FINDINGS.
THE NORM IS TO HAVE SOME FINDINGS. AND HAVING FINDINGS,
[01:00:03]
ACTUALLY YOU CAN STILL HAVE A GREAT RESULT. THESE RESULTS ARE EXCEPTIONAL. THE FINANCE TEAM THAT I WORK WITH INTERNALLY WITH MELANIE AND VICTORIA AND KIMBERLY AND ELIZABETH AND JAY, IT'S JUST A REFLECTION OF BEN AND TROY'S LEADERSHIP.I THINK IT JUST BUBBLES UP. BOTH BEN AND TROY -- WE'LL DISCUSS THIS SOON FOR THE 2026 PLAN, BUT THEY'VE COME TO ME AND SAY, HEY I NEED YOU TO TAKE A LOOK AT THIS. I NEED YOU TO TAKE A LOOK AT THIS. THEY'RE NOT CONCERNED WHETHER THE RESULT COMES OUT GOOD OR BAD, THEY REALLY WANT THE DEPARTMENTS AND THE FINANCIAL PERSPECTIVE TO BE FUNCTIONING THE WAY THEY WANT IT AND THE WAY IT SHOULD BE FUNCT FUNCTIONING, AND I THINK THAT'S ALSO A RESULT OF THE RESULTS FOR THIS FINANCIAL AUDIT. I JUST WANTED TO MAKE THAT STATEMENT BECAUSE SOMETIMES, ESPECIALLY IN MY WORLD, I DON'T GIVE A CHANCE TO GIVE KUDOS, BUT THIS IS ONE TIME THAT I CAN, AND IT'S U UNUSUAL, ESPECIALLY THE TREND THAT YOU SEE OVER THE LAST 6 YEARS TO HAVE RESULTS LIKE THIS. I JUST WANTED TO MAKE THAT STATEMENT.
AND SINCE I'M -- I ALSO WANT TO MAKE AN ANNO ANNOUNCEMENT IF I MAY.
I'M ALSO GOING TO GET AUDITED. WE GET AUDITED EVERY THREE YEARS. SO THEY'RE COMING IN JUNE THE 9TH.
THEY'LL BE HERE AROUND A WEEK. WE GET A PEER REVIEW EVERY 3 YEARS, AUDITING OUR OFFICE, AND IT'LL BE -- THE FISCAL YEAR '22 TO THE END OF FISCAL YEAR '24, AND WE'LL BE MEASURED AGAINST GOVERNMENTAL
STANDARDS. >> VIAGRAN: ALL RIGHT. AND COUNCILMAN COURAGE.
>> COURAGE: YEAH. MADAM CHAIR, I JUST WA WANTED TO MAKE SURE, IS IT APPROPRIATE FOR US TO ACCEPT THIS AUDIT AND RECOMMEND IT TO BE SENT TO THE CITY COUNCIL FOR ITS APPROVAL, OR DO WE NOT HAVE TO DO THAT?
>> COUPLE OF COMMENTS AS WELL. CHAIR, IF I MAY, THANK YOU, BUDDY, AND COUNCILMEMBERS FOR THE COMMENTS.
I WANT TO THANK AMANDA AND THE AUDIT TEAM FOR THE WORK THEY DO.
I THINK WHEN YOU'RE IN THE PUBLIC AND YOU'RE GETTING QUESTIONS FOR SOMEONE DEMANDING AN AUDIT. THIS IS AN INDEPENDENT AUDIT. AND THEY HAVE A WHOLE BUNCH OF STANDARDS THEY HAVE TO FOLLOW WHEN AUDITING AND LOOKING AT US.
IT IS COMPLEX, AND IT'S A LOT THEY GO THROUGH, BUT I THINK IT'S THOROUGH, BUT I WANT TO THANK THEM AND THE ENTIRE AUDIT TEAM FOR THE WORK THEY DO. I HAVE TO CONGRATULATE TROY, MELANIE.
VICKY, JIM. OUR DEPARTMENT FISCAL ADMINISTRATORS.
BUDDY TALKED ABOUT EXCEPTIONAL AUDIT RES RESULT, IT'S BECAUSE WE HAVE AN EXCEPTIONAL TE TEAM, AND THEY'RE REALLY COMMITTED TO CONTINUOUS IMPROVEMENT. WE ARE A LARGE, COMPLEX ORGANIZATION, AND THERE ARE LOTS OF THINGS WE COULD DO BETTER, AND WE'RE TRYING TO FIND THOSE THINGS, WOULD RECOLLECT ON THOSE THINGS, AND MAKE SURE WE DO THAT. HAVING 7 YEARS OF NO AUDIT FINDINGS.
THIS IS AN EXCEPTIONAL RESULT. WHEN YOU LOOK AT ORGANIZATIONS AS LARGE AS US, THERE ARE A LOT THAT WOULD LOVE TO HAVE AN OUTCOME THAT LOOKS LIKE THIS. THE COMPLEXITY OF THE WORK THAT WE DO, THAT THEY DO, HAS REALLY INCREASED.
I DON'T KNOW IF I SHOULD ADMIT THIS, BUT I WAS WEARY OF IMPLEMENTING G GASBY114. I'VE GOTTEN OLD OR THEY'RE REACHING A LOT OF GASBYS BUT IT GETS MORE COMPLEX. BUT AS IT GETS MORE COMPLEX, THEY DO AN O OUTSTANDING JOB, SO I WANT TO THANK YOU FOR THE WORK YOU DO TO GET TO THIS RESULT. SO THANK YOU.
>> VIAGRAN: THANK YOU, ALL FOR SHARING, BUDDY, BEN. AGAIN, VERY PLEASED THAT WE'RE GOING TO -- PLE PLEASED WE HAVE THESE FINDINGS.
PLEASED OUR AUDIT TEAM IS GOING TO GET AUDITED. AND THEN SO THIS JUST SPEAKS TO THIS COMMITTEE AND YOUR COMMITMENT OVER THE PAST YEAR AND WE'LL DO IT ALL AGAIN NEXT YEAR ALSO. SO LOOKING FORWARD TO I IT. THANK YOU SO MUCH. AND THIS ITEM WAS JUST FOR BRIEFING ONLY. IF THERE AREN'T ANY OTHER QUESTIONS, THE TIME IS -- THE NEXT ME MEETING IS SCHEDULED FOR JUNE 10, 2025.
SO COUNCILMAN COURAGE. YOU ARE STILL ON THE CLCLOCK.
AND THE TIME IS NOW 1 11:07 AND THE MEETING IS NOW ADJOURNED.
* This transcript was compiled from uncorrected Closed Captioning.