[00:00:37]
WELCOME TO THE CITY COUNCIL B SESSION OF APRIL, THE 18, 20 18.
COUNCIL MEMBER VINNO, COUNCIL MEMBER SHAW WILL NOT BE HERE TODAY AS HE'S ATTENDING THE FIRE AND POLICE PENSION FUND CONFERENCE.
COUNCIL MEMBER BROCK HOUSE COUNCIL MEMBER SAN VAL.
COUNCIL MEMBER PERRY AND MAYOR NURENBERG.
WELCOME TO OUR CITY COUNCIL B SESSION AGENDA.
[1. A Briefing on the FY 2018 Six Plus Six Financial Report (2nd QuarterActuals with Annualized Projections), Mid Year Budget Adjustment Recommendations, and Five Year Financial Forecast. [María Villagómez, Assistant City Manager; Justina Tate, Director,Management and Budget]]
UH, WE HAVE ONE ITEM ON THE AGENDA TODAY, WHICH IS OUR SECOND QUARTER REPORT, SO I'LL TURN IT OVER TO OUR CITY MANAGER, CHERYLL SCULLY.GOOD AFTERNOON AND THANK YOU FOR ALL THE MEDALS.
UM, I WILL ADD TO OUR SASHES AND SO THANK YOU SO MUCH.
I WANT TO DRAW ATTENTION TO ONE THAT JOSH BO JUST GAVE ME.
IT IS HIS 10TH YEAR COVERING THIS YEAR, THE CITY BUDGET.
AND SO HE, HE HAS A MEDAL THAT HE HAS, UH, HE'S DISTRIBUTING THAT SAYS, SHOW US YOUR NEWS
I DON'T THINK WE HAVE TO WORRY ABOUT THAT REQUEST.
SO, UH, WE'LL CONTINUE DOING THAT.
JOSH, I, I ASSURE YOU, UH, MAYOR, WE HAVE TWO PARTS OF THE BUDGET PRESENTATION THIS AFTERNOON.
THE FIRST, OF COURSE, IS AN UPDATE ON OUR CURRENT FISCAL YEAR BUDGET, UH, THAT BEGAN ON OCTOBER 1ST, 2018, AND WE'LL END ON SEPTEMBER 30TH.
SO OUR FISCAL YEAR BEGINS OCTOBER ONE AND SEPTEMBER 30TH.
SO WE'LL GIVE YOU OUR SIX MONTH REVIEW AND UPDATE ON OUR CURRENT BUDGET.
WE'LL ALSO PRESENT AS WE DO AS PART OF THE MID-YEAR BUDGET, A PRESENTATION ON OUR FIVE-YEAR FINANCIAL FORECAST.
SO WE TAKE A SET OF ASSUMPTIONS THAT IS WHAT IS INCLUDED IN THE BUDGET TODAY, AND WHAT WE EXPECT TO BE INCLUDED IN FUTURE BUDGETS AND PROJECT AND FORECAST FOR YOU WHERE WE SEE REVENUES AND EXPENSE OVER THE NEXT FIVE YEARS.
THEN WE'LL BE ASKING YOU TO APPROVE THE MID-YEAR BUDGET ADJUSTMENT.
WE HAVE A RECOMMENDATION FOR JUST A VERY TINY ONE, UH, THAT WE'LL TALK ABOUT THIS AFTERNOON, AND HAVING THE B SESSION PRESENTATION ON WEDNESDAY AND THE MIDYEAR BUDGET ADJUSTMENT ADOPTED THE NEXT DAY IS CONSISTENT WITH WHAT WE'VE DONE FOR THE PAST, UH, 10 YEARS WITH REGARD TO THE BUDGET ORDINANCE AND, AND ADJUSTMENT.
SO WE'LL ALSO THOUGH, TALK TODAY BEYOND THE GENERAL FUND TALK ABOUT OUR RESTRICTED FUNDS.
AND AS YOU KNOW, UM, WE ARE ALSO GOING TO COVER THIS AFTERNOON, AS WE SAID, PURSUANT TO THE SCHEDULE WE PUBLISHED A COUPLE OF MONTHS AGO, UH, SEVERAL COUNCIL MEMBERS HAD REQUESTED AN ANALYSIS OF THE HOMESTEAD PROPERTY TAX EXEMPTION ALTERNATIVES.
AND SO, UH, WE'RE GOING TO HAVE A DISCUSSION THIS AFTERNOON OF THE FISCAL IMPACT OF DOING THAT.
WE'RE NOT ASKING FOR ANY ACTION BY THE CITY COUNCIL TODAY OR TOMORROW WITH REGARD TO THE HOMESTEAD EXEMPTION, BUT RATHER WE HOPE THIS COULD BE THE BEGINNING OF A CONVERSATION, UM, ABOUT THAT BECAUSE IT DOES HAVE AN IMPACT ON THE CITY'S PROPERTY TAX REVENUE.
AND AS YOU KNOW, OUR PROPERTY TAXES REPRESENT 29% OF OUR GENERAL FUND BUDGET REVENUE.
SO, UH, MARIA IS GOING TO TALK ABOUT THE MIDYEAR BUDGET PRESENTATION THIS AFTERNOON AS WELL AS THE FORECAST.
AND THEN BEN GOEL IS GOING TO DISCUSS THE FINANCIAL IMPLICATIONS OF THE HOMESTEAD EXEMPTION ALTERNATIVES.
JUST A COUPLE OF COMMENTS, UH, BEFORE MARIA BEGINS.
YOU KNOW THAT OUR GENERAL FUND, UH, REVENUES AND EXPENSES, UM, UH, ARE COMBINED, UH, ARE ABOUT 7 MILLION GREATER THAN AT BUDGET ADOPTION TIME.
UH, 7 MILLION IS A LOT OF MONEY.
IT DOES THOUGH REPRESENT LESS THAN 1% OF OUR GENERAL FUND BUDGET, BUT OUR REVENUES ARE SLIGHTLY AHEAD, UH, OF THE BUDGET AS IT WAS ADOPTED, UH, BACK IN SEPTEMBER.
THIS COUPLED WITH A BETTER ENDING BALANCE
[00:05:01]
THAT I TALKED WITH YOU ABOUT IN THE FIRST QUARTER, REPORT OF 6 MILLION, GIVE US A TOTAL OF $13 MILLION, UH, THAT WE ARE AHEAD OF THE ADOPTED BUDGET.I'M NOT RECOMMENDING THAT WE SPEND THAT AT THIS TIME WITH THE EX ONE EXCEPTION, AND THAT IS THE ADDITION OF TWO POSITIONS, TWO SERGEANT POSITIONS IN THE SPECIAL VICTIMS UNIT IN THE POLICE DEPARTMENT.
AND THIS RECOMMENDATION COMES FROM THE THIRD PARTY INDEPENDENT REVIEW THAT WE ASK LISA TATUM TO DO.
AND THAT REPORT WILL BE, UM, MADE AVAILABLE, UH, NEXT WEEK, UH, FOR PUBLIC CONSUMPTION.
BUT, UM, THERE ARE SOME RECOMMENDATIONS WITHIN THAT IN TERMS OF OVERSIGHT OF THE, OF THE STAFF IN THAT AREA.
SO I THINK WE NEED TO IMPROVE THAT AND, AND, UH, PROMOTE TWO POSITIONS TO A SERGEANT AND THEN WE'LL, WE'LL BACKFILL WITH CADETS, UM, THOSE OTHER TWO POSITIONS.
SO THAT IS THE ONLY ADJUSTMENT IN THE BUDGET THAT I'M RECOMMENDING AT THIS TIME.
WE'LL TALK ABOUT SOME OF OUR RESTRICTED FUNDS THIS AFTERNOON.
THE ENTIRE CITY BUDGET IS BALANCED, BUT WE'LL HIGHLIGHT, UM, A FEW OF THOSE THAT YOU ARE PARTICULARLY INTERESTED IN, OF COURSE, CAN ANSWER QUESTIONS WITH REGARD TO THE FIVE-YEAR FINANCIAL FORECAST.
THE ASSUMPTIONS THAT ARE MOST IMPORTANT THAT WE'VE INCORPORATED ARE THAT, UH, THE BUDGETS REMAIN, UH, STRUCTURALLY BALANCED AND THAT WE MAINTAIN AN ENDING BALANCE OF A MINIMUM OF 15% OF THE GENERAL FUNDS SO THAT WE HAVE ADEQUATE FUNDS TO MAKE ADJUSTMENTS FOR THE UPCOMING BUDGET YEAR, DEPENDING UPON CHANGES IN PRIORITIES THAT COUNCIL MEMBERS IDENTIFY AND DIRECT STAFF TO CONSIDER AS WE PREPARE THE BUDGET.
UM, THE FORECAST ALSO LISTS A FEW POLICY ISSUES THAT ARE OF PARTICULAR INTEREST AND CURRENT DISCUSSION RIGHT NOW IN THE BUDGET.
FOR EXAMPLE, THE INCREASE IN STREET MAINTENANCE, UH, MAYOR YOU HAD IDENTIFIED THAT YOU WOULD LIKE TO HAVE AS A BASE MINIMUM, UH, WITHIN THE BUDGET, UH, 110 MILLION FOR MAINTENANCE OF OUR ANNUAL STREET WORK THAT WE DO.
UM, WE'VE ALSO TALKED ABOUT ADDING POLICE OFFICERS AND FIREFIGHTERS IN THE FUTURE SO THAT WE CAN KEEP UP WITH THE GROWTH OF THE COMMUNITY.
UM, WE THINK THAT WE SHOULD HAVE MORE CONVERSATION ABOUT THAT CRIME IS DOWN.
UH, OUR RESPONSE TIMES ARE DOWN, SO WE'RE IN PRETTY GOOD SHAPE.
NONETHELESS, WITH A GROWING POPULATION, WE STILL NEED TO HAVE A CONVERSATION ABOUT PUBLIC SAFETY WITH REGARD TO THE HOMESTEAD EXEMPTION.
AS PART OF THE FINANCIAL FORECAST, WE'LL PRESENT AN ANALYSIS OF THE HOMESTEAD EXEMPTION AS WELL AS THE FINANCIAL IMPACT.
I WILL JUST REMIND US ALL THAT WE HAVE ON MAY 30TH, A GOAL SETTING SESSION SCHEDULED WITH THE CITY COUNCIL.
SO I WOULD HOPE THAT BASED ON TODAY'S CONVERSATION, SOME OF THE FEEDBACK WE RECEIVE, WE CAN REFINE THE PRESENTATION AND THEN COME BACK WITH SOME RECOMMENDATIONS AS PART OF THAT MAY 30TH, UH, GOAL SETTING SESSION.
JUST AS A REMINDER, IF THE COUNCIL WERE TO DECIDE TO GO FORWARD WITH THE HOMESTEAD EXEMPTION, THAT DECISION WOULD HAVE TO BE VOTED UPON IN AN A SESSION NO LATER THAN JUNE 30TH, BECAUSE WE WOULD HAVE TO NOTIFY BEAR APPRAISAL DISTRICT IF WE'RE GOING FORWARD WITH THAT, UH, BY JULY ONE.
AND OF COURSE, AS YOU KNOW, WE GET THE ACTUAL TAX ROLL, UH, BECAUSE NOW THE NOTICES HAVE GONE OUT, THE APPEAL PROCESS HAS BEGUN.
WE WILL NOT GET OUR ACTUAL TAX ROLL UNTIL THE LAST WEEK IN JULY.
THERE ARE STILL SOME UNCERTAINTIES OUT THERE.
UM, FIRST LET ME SAY THAT AT THE FEDERAL, UH, LEVEL, YOU'LL RECALL THAT THE PRESIDENT'S BUDGET THAT WAS RELEASED SEVERAL MONTHS AGO, UM, COULD HAVE AN IMPACT OF UP TO 22 MILLION IN LOST FEDERAL FUNDS TO THE CITY.
THERE IS SOME EXPECTATION IN THE COMMUNITY THAT SOMEHOW WE MAKE UP THAT DIFFERENCE, AND I THINK THAT WOULD BE VERY DIFFICULT TO DO, ESPECIALLY AS WE TALK ABOUT A NUMBER OF OTHER LOCAL PRIORITIES.
BUT, UM, THAT'S ONE OF THE REASONS I'M RECOMMENDING THAT WE NOT USE ANY ADDITIONAL MONIES THAT WE HAVE, UM, THAT WE HAVE INCURRED, UH, SINCE BUDGET ADOPTION, AT LEAST NOT YET AT THIS TIME, BECAUSE MOST OF THOSE PROGRAMS WHERE THE FEDERAL GOVERNMENT IS RECOMMENDING OR THE PRESIDENT'S BUDGET IS RECOMMENDING CUTS PRIMARILY IMPACT LOW INCOME SAN ANTONIO RESIDENTS.
AND SO, CONSIDERING OUR EQUITY ASSESSMENT TOOLS THAT WE'RE USING AS WE PREPARE THE BUDGET, UM, WE'LL, WE'LL HAVE SOME DEFINITE CHALLENGES IN IN OUR UPCOMING BUDGET.
AND THEN AT THE STATE LEVEL, THERE ARE A NUMBER OF BILLS THAT WILL BE CONSIDERED IN THE 2019 LEGISLATIVE SESSION THAT ALSO COULD HAVE AN IMPACT, UM, ON OUR NEXT FISCAL YEAR BUDGET BECAUSE, UH, FOR EXAMPLE, IN JANUARY, GOVERNOR ABBOTT RELEASED HIS PROPOSAL FOR A PROPERTY TAX REVENUE
[00:10:01]
CAP THAT WOULD ROLL BACK THE CAP LEVEL FROM 8% TO 2.5%.AND SO THAT TOO WILL HAVE AN IMPACT AND A SUBSTANTIAL IMPACT, ESPECIALLY FOR FAST GROWING COMMUNITIES BECAUSE THE, THE GROWTH THAT HAPPENS, THEN, UM, WE STILL HAVE TO PROVIDE THE SERVICES TO THOSE RESIDENTS MOVING TO THE COMMUNITY.
SO IF WE'RE CAPPED, UH, THAT, THAT PUTS A, A SPECIAL BURDEN ON THOSE FAST GROWING CITIES.
UH, SO THERE ARE A NUMBER OF UNKNOWNS AT THIS TIME AND, AND WE'RE RECOMMENDING THAT WE NOT MAKE ANY DECISIONS WITH REGARD TO MIDTERM, UH, MID BUDGET, UH, REVENUES AT THIS TIME.
SO WE HAVE A BINDER IN FRONT OF YOU, UM, HERE THAT LOOKS LIKE THIS.
OH, ARE THEY HANDED OUT YET? OKAY, JUSTINA AND IS GOING TO HAND IT OUT.
UH, THIS WILL GIVE YOU AN UPDATE ON EACH OF THE BUDGET INITIATIVES, UH, THAT WERE INCLUDED IN THE BUDGET.
SO WORKING WITH THE BUDGET OFFICE AND BEN GOEL, MARIA VILLAGOMEZ, I REVIEW THIS ON A MONTHLY BASIS TO MAKE SURE THAT WE ARE MOVING FORWARD WITH THOSE BUDGET INITIATIVES THAT THE COUNCIL ADOPTED IN THE BUDGET.
THERE'S ALSO OUR, WHAT WE CALL 24 7 PERFORMANCE REPORT.
SO WE HAVE OUR PERFORMANCE METRICS ALSO IDENTIFIED AND INCLUDED, UH, WITHIN THIS BINDER.
SO YOU CAN TAKE A LOOK AT OUR RESPONSE TIMES, HOW WE'RE HANDLING CODE ENFORCEMENT, OUR ANIMAL CARE SERVICES, ALL OF THOSE PERFORMANCE METRICS AND UPDATE FOR THE MIDYEAR ARE INCLUDED WITHIN THIS REPORT.
SO WITH THAT SUMMARY OVERVIEW, LET ME TURN IT OVER TO MARIA VILLA GOMEZ, WHO'S GOING TO GIVE AN UPDATE ON OUR CURRENT CITY BUDGET, THEN TALK ABOUT THE FIVE-YEAR FINANCIAL FORECAST TO BE FOLLOWED BY BEN GOEL, WHO WILL TALK ABOUT THE HOMESTEAD PROPERTY TAX EXEMPTION ALTERNATIVES.
AND THEN OF COURSE, WE'RE ALL AVAILABLE TO ANSWER QUESTIONS.
GOOD AFTERNOON, MAYOR AND COUNCIL.
UM, IN MY PRESENTATION TODAY, I WILL BEGIN BY GIVING YOU A STATUS REPORT ON THE FISCAL YEAR 2018 BUDGET, OUR SECOND QUARTER ACTUAL REVENUE AND EXPENSE, UH, PERFORMANCE, AS WELL AS OUR PROJECTIONS FOR FISCAL YEAR 18.
I WILL ALSO GIVE YOU AN OVERVIEW OF OUR FIVE-YEAR FINANCIAL FORECAST, SPECIFICALLY FOR THE GENERAL FUND AND THREE OF OUR RESTRICTED FUNDS, SOLID WASTE DEVELOPMENT SERVICES, AND THE HOTEL OCCUPANCY TAX.
I WILL ALSO, UH, PROVIDE A RECOMMENDATION ON ONE MIDYEAR BUDGET ADJUSTMENT FOR YOUR CONSIDERATION TOMORROW AT A SESSION, AND ALSO GIVE YOU JUST SOME HIGHLIGHTS ON THE STATUS OF THE BUDGET INITIATIVES THAT YOU APPROVED AS PART OF THE CURRENT BUDGET.
AFTER I CONCLUDE MY PRESENTATION, BENGER SALE, OUR CHIEF FINANCIAL OFFICER WILL PROVIDE YOU INFORMATION ABOUT THE HOMESTEAD EXEMPTION FOR PROPERTY TAX TO BEGIN THE POLICY DISCUSSION WITH THE MAYOR AND COUNCIL AS WE BEGIN THE PREPARATIONS FOR THE 2019 BUDGET.
SO IN 2018, THE CITY'S TOTAL BUDGET IS $2.7 BILLION.
THREE MAJOR COMPONENTS COMPRISE OUR BUDGET, A RESTRICTED FUNDS $858 MILLION, AND THE RESTRICTED FUNDS ARE EITHER RESTRICTED FOR USE BY FEDERAL LAW, STATE LAW, OR LOCAL LAW.
SO JUST TO GIVE YOU THREE EXAMPLES, THE AIRPORT FUND IS GOVERNED BY FEDERAL LAW.
REVENUES ARE COLLECTED AT THE AIRPORT, CAN ONLY BE USED FOR THE OPERATIONS OF THE AIRPORT AND ANY CAPITAL IMPROVEMENTS, UH, OF THE INTERNATIONAL INSTANCE AND AIRPORTS.
ANOTHER EXAMPLE IS THAT HOTEL OCCUPANCY TAX.
THAT FUND IS GOVERNED BY STATE LAW, AND WE CAN ONLY USE THOSE FUNDS FOR TOURISM CONVENTION HISTORY AND PRESERVATION AND THE ARTS.
AND THE THIRD EXAMPLE IS OUR SOLAR WASTE FUND, WHICH IS ONE OF OUR ENTERPRISE FUNDS.
UH, THE FEES THAT ARE COLLECTED ARE GOVERNED BY STATE AND LOCAL LAW AND CAN ONLY BE USED FOR SERVICES PROVIDED BY SOLAR WASTE, INCLUDING GARBAGE COLLECTION, RECYCLING, ORGANICS, AND OTHER ACTIVITIES WITHIN OUR SOLAR WASTE DEPARTMENT.
IN THE AREA OF THE CAPITAL BUDGET, WHICH IS $639 MILLION THIS YEAR, THIS REPRESENTS THE PROJECTS THAT ARE BEING COMPLETED IN THE 2012 BOND PROGRAM, THOSE APPROVED BY THE VOTERS AND THE 2017 BOND PROGRAM, SOME OF OUR AIRPORT PROJECTS, AND A PORTION OF OUR STREET MAINTENANCE PROGRAM AS WELL.
AND FINALLY, THE THIRD COMPONENT IS THE GENERAL FUND, WHICH IS THE LARGEST OPERATING FUND OF THE CITY AT $1.19 BILLION.
SO OUR GENERAL FUND BEING THE LARGEST OPERATING FUND OF THE CITY, WE'LL SPEND A LITTLE BIT OF TIME ON THAT.
IT'S COMPRISED OF FOUR REVENUE SOURCES AS THE C P S PAYMENT, WHICH IS ABOUT 30% OF OUR RESOURCES.
AS YOU KNOW, THE CD RECEIVES 14% OF ALL C P S GROSS REVENUES AS A RETURN ON INVESTMENT AND ALSO A PAYMENT IN LIEU OF TAXES.
PROPERTY TAX IS OUR SEC, SECOND LARGEST SOURCE OF REVENUE
[00:15:01]
COMPRISING 29% OF THE GENERAL FUND AND SALES TAX, 24% OF OUR REVENUES.THE FINAL COMPONENT OF REVENUES AS THE OTHER SOURCES CATEGORY, AND THIS INCLUDES REVENUES SUCH AS E M S, TRANSPORT FEES, TELECOMMUNICATION FEES, AND THE PAYMENT TO THE CITY BY SAUCE.
THIS REVENUES COMBINED PROVIDE SUPPORT TO IMPORTANT CITY SERVICES, INCLUDING OUR POLICE AND FIRE DEPARTMENTS THAT COMPRISE 65% OF THE GENERAL FUND BUDGET.
THE BALANCE OF THE GENERAL FUND, ABOUT 35%, UH, PAYS FOR IMPORTANT SERVICES SUCH AS PARKS AND RECREATION, STREETS AND INFRASTRUCTURE, ANIMAL CARE SERVICES, CODE ENFORCEMENT, OUR LIBRARY SYSTEM, HEALTH AND HUMAN SERVICES, AND THE ADMINISTRATION OF THE CITY.
SO THE RESULTS FOR THE SECOND QUARTER IN THE GENERAL FUND IN TERMS OF REVENUES AND EXPENSE, OUR REVENUES ARE $7.2 MILLION AHEAD OF WHAT WE PROJECTED AT BUDGET ADOPTION, AND I WILL PROVIDE YOU A DETAIL ON THOSE REVENUES IN THE NEXT FEW SLIDES.
OVERALL, ALL CD DEPARTMENTS ROUGHLY ABOUT 1.6 MILLION LESS IN EXPENSE PROPERTY TAX REVENUE, ONE OF OUR LARGEST REVENUE SOURCES, UH, FOR THE SECOND QUARTER.
AS YOU CAN SEE ON THIS, UH, PARTICULAR SLIDE ON THE LEFT, YOU SEE THE SECOND QUARTER RESULTS.
UH, YOU MAY ALSO OBSERVE OF THE TOTAL REVENUE OF PROPERTY TAX REVENUE OF 342 MILLION.
WE'VE ALREADY COLLECTED $320 MILLION.
THE MAJORITY OF THE PROPERTY TAX REVENUE IS COLLECTED WITHIN THE FIRST SIX MONTHS OF THE FISCAL YEAR.
AS YOU KNOW, THE CITY, UH, RECEIVES THE CERTIFIED PROPERTY TAX ROLL FROM THE BETTER APPRAISAL DISTRICT IN JULY.
SO WITH THIS INFORMATION, THERE'S VERY LITTLE DEVIATION BETWEEN WHAT WE BUDGET AND THE ACTUAL COLLECTIONS THAT WE RECEIVE THROUGHOUT THE YEAR.
SO AS AS OF, UM, MARCH 30TH, WE ARE NOT ANTICIPATING ANY DEVIATIONS FROM THE ADOPTED BUDGET FOR PROPERTY TAXES.
OUR SECOND REVENUE SOURCE IS SALES TAX REVENUE, AND FOR THE SECOND QUARTER, OUR SALES TAX IS SLIGHTLY BELOW BUDGET, ROUGHLY ABOUT $400,000, AND WE'RE PROJECTING THAT WE'LL BE BELOW BUDGET BY $1.9 MILLION BY YEAR END.
THE GRAPH ON THE RIGHT OF THE SLIDE ILLUSTRATES THE ACTUAL COLLECTION FOR SALES TAX FOR EVERY MONTH OF THE CURRENT FISCAL YEAR THROUGH MARCH.
UH, THE BUDGET FOR SALES TAX IS IN GREEN AND THE ACTUAL COLLECTIONS IS HIGHLIGHTED IN BLUE.
SO FOR THE FIRST SIX MONTHS, AS I MENTIONED, WE COLLECTED ROUGHLY ABOUT 400,000 LESS THAN THE BUDGET THROUGH MARCH.
HOWEVER, WHEN YOU COMPARE OUR ACTUAL COLLECTIONS FOR 2018 COMPARED TO 2017, WE'RE 3.8% HIGHER THAN LAST YEAR.
SO OUR ECONOMY REMAINS STRONG COMPARED TO THE BUDGET.
AGAIN, WE'RE SLIGHTLY BELOW THE BUDGETED AMOUNT FOR THE YEAR END PROJECTION.
WE ARE ESTIMATING TO BE ABOUT 3.6% HIGHER THAN LAST YEAR, AND SLIGHTLY BELOW ABOUT $1.9 MILLION.
FROM THE BUDGET ADOPTION, WE HAD PROJECTED A GROWTH OF 4% ON SALES TAX.
JUST TO GIVE YOU SOME CONTEXT, HOW SAN ANTONIO IS PERFORMING COMPARED TO OTHER CITIES ACROSS TEXAS, UH, OF THE LARGEST, UH, CITIES, UH, IN TEXAS, WE ARE RIGHT NOW SECOND TO HOUSTON.
HOUSTON FOR THE CALENDAR YEAR 2018, UH, THROUGH APRIL, THEIR SALES TAX ARE 7.21% HIGHER THAN LAST YEAR.
WE ARE 3.7%, AND THEN AFTER WE HAVE AUSTIN AT 2.36 AND DALLAS AT 2.26%.
SO WE ARE, UH, DOING FAIRLY WELL COMPARED TO OTHER LARGE CITIES IN TEXAS.
IN TERMS OF C P S REVENUES, AS YOU CAN SEE IN THE CHART, WE HAVE THE RESULTS FOR THE FIRST SIX MONTHS OF THE FISCAL YEAR AS WELL AS OUR PROJECTIONS.
SO FOR THE FIRST SIX MONTHS, WE'RE 200,000 AHEAD OF THE BUDGET.
UH, YOU CAN SEE ON THE GRAPH ON THE RIGHT, THE BUDGETED AMOUNTS IN GREEN AND THE ACTUAL COLLECTIONS IN, UH, ORANGE.
SO YOU CAN SEE SOME FLUCTUATIONS MONTH TO MONTH.
UH, C P S IS THE MOST VOLATILE REVENUE THAT WE HAVE IN THE GENERAL FUND BASED ON WHAT WE'VE SEEN AND WEATHER PROJECTIONS AS WELL AS OUR STUDY OF HISTORICAL TRENDS, WE ARE ESTIMATING THAT THIS REVENUE SOURCE WILL BE AT BUDGET BY THE END OF THE FISCAL YEAR.
IN TERMS OF THE FINAL CATEGORY OF REVENUES IN THE GENERAL FUND, WHICH IS OTHER RESOURCES, AS YOU CAN SEE ON THE TABLE TO YOUR LEFT, FOR THE SECOND QUARTER OF THE FISCAL YEAR, WE'RE ABOUT $7.4 MILLION AHEAD.
THIS IS CONSISTENT WITH WHAT THE COUNCIL WAS, UH, PROVIDED DURING OUR FIRST QUARTER OF FINANCIAL REPORT IN MARCH WHEN WE INDICATED THAT THE 2018 EMERGENCY MEDICAL SERVICES SUPPLEMENTAL PAYMENT
[00:20:01]
THAT WE GET FROM THE STATE WAS RECEIVED EARLIER THIS YEAR, AND IT WAS CLOSE TO $5 MILLION HIGHER THAN WHAT WE HAD BUDGETED.SO THIS INCREASE IS REALLY RELATED TO TIMING.
AS BACKGROUND, IN 2010, UH, THE STATE OF TEXAS EXPANDED THE AMBULANCE SUPPLEMENTAL PAYMENT PROGRAM TO INCLUDE EMERGENCY SERVICES PROVIDERS.
THE EXPANSION IS FUNDED BY THE 1115, UH, WAIVER GRANT.
AND UNDER THIS PROGRAM, THE STATE BEGAN MAKING SUPPLEMENTAL PAYMENTS IN 2014 TO UPSET UNCOMPENSATED CARE CALLS FOR AMBULANCE SERVICES ALLOCATED TO MEDICAID AND UNINSURED UH, PATIENTS.
SO IN THIS FOLLOWING SLIDE, YOU CAN SEE THE SUMMARY OF THE FINANCIAL POSITION AND THE GENERAL FUND.
SO LET ME START FROM THE LEFT.
UH, THE CITY COUNCIL WAS PROVIDED WITH A PRELIMINARY YEAR-END REPORT FOR FISCAL YEAR 2017 IN DECEMBER, AND WE REPORTED THAT OUR PERFORMANCE FOR 17 WAS ROUGHLY ABOUT $6 MILLION HIGHER THAN WHAT WE HAD INCLUDED DURING BUDGET ADOPTION.
UH, WHAT I JUST REVIEWED WITH YOU, OUR REVENUES FOR 2018 ARE ESTIMATED TO BE 5.5 MILLION, UH, BETTER THAN OUR BUDGET ADOPTION AND 1.7 MILLION PROJECTED IN LESS EXPENSE.
SO ALL THIS COMBINED BY THE END OF SEPTEMBER 30TH, 2018, WE ARE PROJECTING THAT THE GENERAL FUND WILL BE BALANCED AND WE WILL HAVE $13.2 MILLION, UH, BETTER ENDING BALANCE BY YEAR END.
OUR RECOMMENDATION TO THE COUNCIL IS TO RESERVE THIS ENDING BALANCE TO HELP US, UH, WITH THE 2019 BUDGET THAT WE BEGIN TODAY.
UM, MOVING ON TO THE FINANCIAL FORECAST FOR THE GENERAL FUND.
SO WHAT IS THE FINANCIAL FORECAST? THIS IS AN EARLY FINANCIAL OUTLOOK FOR THE CITY.
AS WE BEGIN THE BUDGET DEVELOPMENT FOR THE UPCOMING FISCAL YEAR, IN THIS CASE FOR FISCAL YEAR 2019, IT INITIATES THE COUNCIL POLICY DISCUSSION ABOUT BUDGET PRIORITY.
SO TODAY IS THE FIRST MEETING THAT WE HAVE WITH THE MAYOR AND COUNCIL TO DO SO, AND THE FINANCIAL FORECAST, AGAIN, IS NOT A BUDGET, IT'S JUST RIGHT NOW WHAT WE KNOW IN TERMS OF REVENUES AND EXPENSES BASED ON THE ECONOMIC CONDITIONS THAT ARE AVAILABLE TO US TODAY.
SO BASED ON ON THIS INFORMATION, THE GENERAL FUND FINANCIAL FORECAST IS STRUCTURALLY BALANCED FOR THE NEXT FIVE YEARS.
STRUCTURALLY BALANCED MEANS THAT WE HAVE SUFFICIENT RESOURCES OR WE'RE ANTICIPATING TO COLLECT SUFFICIENT RESOURCES TO PROVIDE THE SAME LEVEL OF SERVICE THAT WE ARE PROVIDING TO THE COMMUNITY TODAY.
OVERALL, GENERAL FUND REVENUES ARE PROJECTED TO INCREASE ON AVERAGE BY 2.8% OVER THE FIVE YEARS OF THE FINANCIAL FORECAST AND EXPENSES TO GROW ABOUT TWO AND A HALF PERCENT OVER THE SAME PERIOD OF TIME.
SO ON THE NEXT SLIDE, I'M GONNA REVIEW THE REVENUE ASSUMPTIONS AND ALSO THE EXPENDITURE ASSUMPTIONS THAT ARE INCLUDED IN THE FORECAST.
SO BEGINNING WITH PROPERTY TAXES, AS YOU PROBABLY HEARD, THE BARE APPRAISAL DISTRICT HAS BEGUN TO SEND OUT NOTICES TO OUR RESIDENTS AND COMMERCIAL USERS OF PROPERTY TAX, UM, VALUES FOR NEXT FISCAL YEAR OR FOR NEXT CALENDAR YEAR.
SO WHAT YOU PROBABLY HAVE HEARD IN THE NEWS IS A TOTAL GROWTH OF ROUGHLY ABOUT 8.6%.
UH, THAT IS FOR THE ENTIRE COUNTY.
WHEN YOU LOOK AT THE CITY OF SAN ANTONIO, THAT'S ROUGHLY, ROUGHLY ABOUT 8.3%.
THAT IS A GROSS GROWTH, IF YOU WILL, FOR FOR THE, UM, INCLUDING BASE VALUES, WHICH MEANS THOSE PROPERTIES THAT ARE ON THE GROUND TODAY AND ALSO FOR NEW DEVELOPMENT DEVELOPMENT THAT WAS COMPLETED DURING THE, UH, LAST CALENDAR YEAR AND IS ADDED TO THE PROPERTY TAX ROLE.
SO WORKING WITH OUR FINANCE DEPARTMENT, THEY LOOK HISTORICALLY AT WHAT CHANGES HAVE HAPPENED IN TERMS OF APPEALS, UH, CORRECTIONS TO THE ROLE AND ALSO PROTEST.
AND AS YOU KNOW, SOME OF OUR CITI CITIZENS ARE GOING THROUGH THAT PROCESS OF, UH, PROTESTING THEIR, THEIR TAXES.
SO WHAT WE ARE INCLUDING IN THE FINANCIAL FORECAST AS OF TODAY IS FOR 2019 IS A TOTAL VALUE GROWTH OF 5.5%.
THIS IS COMPRISED OF BASE VALUES GROWING AT 3.5% AND NEW IMPROVEMENTS AT 1.8 AND THE ANNEXATION THAT WAS APPROVED BY THE COUNCIL LAST NOVEMBER FOR FOSTER ROAD AND BABCOCK AT 0.2%.
NOW, KEEP IN MIND THAT YOU MAY SEE SOME OF YOUR RESIDENTS, UM, PERHAPS TALKING ABOUT LARGER INCREASES.
THIS IS THE AVERAGE FOR THE ENTIRE CITY.
SO THERE, THERE WILL BE SOME AREAS THAT WILL BE HIGHER THAN OTHER AREAS.
AGAIN, THIS IS THE TOTAL, THE TOTAL AVERAGE FOR 2020.
WE ARE PROJECTING, UH, VALUE GROWTH OF 4% AND 3% FOR EVERY YEAR THEREAFTER OF THE FINANCIAL S IN TERMS OF THE
[00:25:01]
DISTRIBUTION OF, UH, PROPERTY TAXES.UH, FOR EVERY DOLLAR THAT IS PAID BY, BY A BUSINESS OR A RESIDENT, THE CITY RECEIVES 22 CENTS.
THE MAJORITY OF THE PROPERTY TAX REVENUE GOES TO, UH, THE PUBLIC SCHOOLS K THROUGH 12.
UH, PUBLIC SCHOOL DISTRICTS ROUGHLY ABOUT 48%.
AND THE BALANCE 30% GOES TO THE COUNTY COMMUNITY COLLEGES, THE SAN ANTONIO RIVER AUTHORITY AND UNIVERSITY HEALTH DISTRICT.
SO JUST TO GIVE YOU SOME CONTEXT IN TERMS OF HISTORICAL VALUES THAT WE'VE SEEN FOR THE PAST 10 YEARS AND WHAT WE'RE INCLUDING IN THE FINANCIAL FORECAST, THE 10 YEAR HISTORY FROM 2008 TO 2017, FOR THOSE 10 YEARS, THE CITY REALIZED VALUE GROWTH OF 5.8% ON AVERAGE.
NOW, AS ILLUSTRATED BY THE CHART, YOU CAN SEE THE GROWTH DOESN'T HAPPEN EVENLY EVERY YEAR.
THERE'S SOME YEARS, ESPECIALLY DURING THE RECESSION, THAT THE CITY SAW NEGATIVE GROWTH.
SO WE ACTUALLY COLLECTED LESS PROPERTY TAX REVENUE THAN IN THE PRIOR YEAR.
SO AS THE ECONOMY RECOVERS AND THE GROWTH INCREASES WE'RE ABLE TO MAKE UP, IF YOU WILL, FOR THOSE YEARS WHERE WE HAD NEGATIVE GROWTH.
AND THE CITY COUNCIL AT THAT TIME MADE THE DECISION NOT TO INCREASE THE PROPERTY TAX RATE, AND STAFF PROVIDED RECOMMENDATIONS TO MANAGE TO THE BUDGET.
I WILL ALSO SAY THAT FOR THE PAST 25 YEARS, THE CITY OF SAN ANTONIO HAS NOT INCREASED THE PROPERTY TAX RATE.
AND SINCE 2007, WE HAVE DECREASED THE PROPERTY TAX RATE FOUR TIMES.
NOW, IN TERMS OF THE PROJECTIONS THAT WE HAVE IN IN THE BUDGET, THIS IS CONSISTENT WITH THE PREVIOUS SLIDE FOR 2019, WE HAVE A GROWTH VALUES OF 5.5%, 4% IN 2020 AND 3% FOR THE BALANCE OF THE FORECAST.
SO AN AVERAGE IS ABOUT 3.7% IN TERMS OF SALES TAX, THIS GRAPHIC IS SIMILAR TO PROPERTY TAXES.
WE HAVE A 10 YEAR HISTORY FROM 2008 TO 2017.
SALES TAX DURING THAT TIME, UH, GREW ON AVERAGE 3.8% PER YEAR.
AGAIN, SALES TAX REFLECTS THE STRENGTH OF THE ECONOMY.
IT ALSO REFLECTS CUS UH, CUSTOMER, UM, CONFIDENCE IN THE ECONOMY.
SO YOU CAN SEE IT FLUCTUATES YEAR OVER YEAR.
YOU MAY OBSERVE THAT THE LAST, UH, FOUR YEARS SINCE 2016, WE HAVE SEEN GROWTH A LITTLE BIT EX STAGNANT BELOW 3%, 3.7% IN 2018.
SO OUR AVERAGE ANNUAL GROWTH RATE INCREASE IS 3.4% FOR THE FIVE YEAR FORECAST.
AND YOU'LL SEE THERE THE ANNUAL INCREASES RANGING FROM 3.2% TO 3.5%.
IN TERMS OF C P S, UH, AS I MENTIONED, THIS IS THE MOST VOLATILE, UH, REVENUE SOURCE OF THE CITY.
FOR EXAMPLE, IN 2008, WE SAW GROWTH OF 18%, AND THE NEXT YEAR WE WERE ALMOST 10%, UH, IN NEGATIVE GROWTH.
SO VERY VOLATILE, 3.7% IS A 10 YEAR, UH, AVERAGE GROWTH.
AND OUR FINANCIAL FORECAST INCLUDES ON AVERAGE 2.7% PER YEAR.
NOW, IN TERMS OF WHAT IS INCLUDED IN THE GENERAL FUND IN TERMS OF ADDITIONAL EXPENSE, AS I MENTIONED, WE BUILD THE FORECAST, UH, KEEPING IN MIND THAT WE ARE NOT ADDING NEW IMPROVEMENTS, BUT WE ARE JUST MAINTAINING THE SAME LEVEL OF SERVICE THAT WE HAVE TODAY.
BUT WE ARE, UH, REFLECTING SOME POLICY DIRECTION FROM THE COUNCIL AS WELL AS MANDATED COST.
SO THE GENERAL FUND, UM, MAINTAINS AN ENDING BALANCE AT A MINIMUM OF 15% EVERY YEAR OF THE FORECAST, AGAIN, IS STRUCTURALLY BALANCED, MEANING THAT WE MEANING THAT WE HAVE SUFFICIENT REVENUES TO COVER EXPENSES.
WE ARE ALSO INCLUDING THE OPERATIONS AND MAINTENANCE COSTS ASSOCIATED WITH, UH, PROJECTS THAT WERE APPROVED IN THE 2017 BOND PROGRAM AND OTHER COMPLETED CAPITAL PROJECTS.
SO AS WE COMPLETE THE CONSTRUCTION OF A NEW SENIOR CENTER, WE ADD THE ADDITIONAL PERSONNEL, UH, UTILITIES, ET CETERA, TO TO MANAGE THAT CENTER.
ALSO INCLUDED IN THE GENERAL FUND, WE CONTINUE ON ON OUR CIVILIAN STATE.
UH, STEP PAY PLAN, TWO TO 4% STEP INCREASE IS REFLECTED.
THIS IS CONSISTENT WITH, UM, UM, THE EXISTING, UH, PAY PLAN FOR CIVILIANS ENTRY WAGE.
THE COUNCIL, UM, APPROVE A POLICY TO INCREASE THE EXISTING ENTRY WAGE OF $14 AND 25 CENTS TO $15.
SO THAT'S INCLUDED IN THE FORECAST.
AND WE ALSO HAVE INCORPORATED A 1% COST OF LIVING ADJUSTMENT FOR CIVILIAN EMPLOYEES FOR PROFESSIONAL AND MANAGERIAL EMPLOYEES WITH THE WITHIN THE CIVILIAN, UH, EMPLOYEE
[00:30:01]
POOL.WE'RE ALSO INCLUDING SET ASIDE FOR PERFORMANCE PAY EQUIVALENT TO 3% OF TOTAL WAGES.
NOW, THIS IS, UH, AWARDED BASED ON PERFORMANCE.
IT DOESN'T MEAN THAT EVERY SINGLE EMPLOYEE WILL GET PERFORMANCE PAY AND IT'LL BE BASED ON, UH, THEIR PERFORMANCE ANYWHERE BETWEEN ONE TO 4%.
AND ALSO WE ARE INCLUDING A 1% COST OF LIVING ADJUSTMENT.
THE FINANCIAL FORECAST ALSO REFLECTS, UH, THE APPROVED COLLECTIVE BARGAINING AGREEMENT WITH THE POLICE, UH, UH, UNION AND EVERGREEN FOR FIRE.
WE ALSO CONTINUE THE IMPLEMENTATION OF THE ESSAY TOMORROW PLAN.
AS WE PREPARE THE FORECAST, WE LOOK AT THINGS THAT WE'RE ADDING TO THE FORECAST, BUT ALSO THOSE ONE-TIME IMPROVEMENTS THAT WERE APPROVED BY COUNCIL THAT ARE BEING REMOVED FROM THE PROPOSED 2019 BUDGET.
SO THIS IS A LIST JUST TO HIGHLIGHT SOME OF THOSE, UM, ITEMS THAT WERE INCLUDED AS ONE TIME.
IF THE COUNCIL DECIDED TO CONTINUE WITH THOSE PROGRAMS, THAT WILL BE THE POLICY DISCUSSION THAT WE WILL HAVE ON, UM, MAY 30TH WHEN WE HAVE OUR CITY COUNCIL GOAL SETTING SESSION.
SO ON THE NEXT SLIDE, AS YOU COMBINE ALL THESE ASSUMPTIONS THAT I MENTIONED ON THE TABLE, ON THE TOP, YOU SEE THAT OUR PROJECTED RESOURCES, UH, COVER THEIR PROJECTED EXPENSES THAT I JUST DESCRIBED, AND WE ARE BALANCED AND WE ARE ABLE TO MAINTAIN A 15%, UH, GENERAL FUND ENDING BALANCE AND RESERVE.
IN TERMS OF POLICY ISSUES, UM, THE MAYOR MENTIONED, UH, A GOAL TO ACHIEVE $110 MILLION ANNUALLY FOR STREET MAINTENANCE.
BASED ON THE, THE REVENUES THAT WE HAVE AVAILABLE TODAY, WE WOULD NEED AN ADDITIONAL 22.8 MILLION.
AND LET ME JUST PAUSE A LITTLE BIT HERE.
THE CURRENT FISCAL YEAR 2018 INCLUDES $99 MILLION IN STREET MAINTENANCE.
YOU MAY RECALL THE BASE BUDGET WAS 64 MILLION.
WE ADDED 35 PRIMARILY WITH BALANCES FROM COM, UH, COMPLETED 2007 AND 2012 BOND PROJECTS.
SO IN ORDER TO ACHIEVE 110 MILLION, WE NEED ABOUT 22.8.
DURING THE BUDGET PROCESS, WE'LL DO THE SAME REVIEW THAT WE DID LAST YEAR.
WE'RE GONNA BE LOOKING AT DEBT CAPACITY, SPECIFICALLY CERTIFICATES OF OBLIGATION, AS WELL AS COMPETED COMPLETED CAPITAL PROJECTS TO SEE WHAT BALANCES ARE AVAILABLE TO ACHIEVE THAT GOAL.
ANOTHER POLICY ISSUE IS ADDITIONAL POLICE OFFICERS.
UH, CHIEF MCMANUS LAST, LAST YEAR AT THE GOAL SETTING SESSION, RECOMMENDED TO ADD ABOUT 25 OFFICERS EVERY YEAR JUST TO KEEP UP WITH THE GROWTH OF THE CITY.
UM, FIRE, THE FIRE CHIEF CHIEF HOOD ALSO RECOMMENDED ADDITIONAL LADDER UNITS AND AN E M S UNIT OVER THE NEXT FIVE YEARS.
SO THOSE ADDITIONAL COSTS ARE NOT INCLUDED IN THE FORECAST TODAY.
THAT WILL BE PART OF OUR POLICY DISCUSSION WITH THE COUNCIL ON MAY 30TH.
SO MOVING ON TO OUR RESTRICTED FUNDS, UH, DEVELOPMENT SERVICES.
THIS CHART PROVIDES REVENUE AND EXPENSES FOR THE CURRENT FISCAL YEAR 2018.
UH, THIS ENTERPRISE FUND IS $33 MILLION IN TOTAL.
OUR REVENUES ARE ON TRACK TO BE COLLECTED AT THE BUDGETED AMOUNT, AND THE DEPARTMENT IS MANAGING THEIR EXPENSES AT BUDGET.
IN TERMS OF THE FIVE YEAR FINANCIAL FORECAST, WE ARE NOT, UH, INCLUDING ANY FEE INCREASES OVER THE NEXT FIVE YEARS IN THIS FUND.
WE HAVE SUFFICIENT REVENUES TO PAY FOR EXPENSES, AND WE HAVE A HEALTHY ENDING BALANCE, UH, FOR EVERY YEAR OF THE FORECAST IN THE DEVELOPMENT SERVICES FUND.
IN TERMS OF THE HOTEL ANCY TAX, UH, THIS, UH, REVENUE GENERATES ROUGHLY ABOUT 69 60 $9 MILLION ANNUALLY, UH, FOR THE FIRST SIX MONTHS OF THE FISCAL YEAR WHERE WE WERE SHY ABOUT $300,000.
WE ANTICIPATE TO RECOVER THAT IN THE NEXT SIX MONTHS OF THE FISCAL YEAR AND INCOME IN THAT BUDGET.
IN TERMS OF THOSE DEPARTMENTS SUPPORTED BY THE HOTEL OCCUPANCY TAX FUND, INCLUDING THE CONVENTION FACILITIES VISIT SA AND ARTS AND CULTURE, THOSE UH, DEPARTMENTS ARE MANAGING THEIR EXPENSES AT BUDGET.
THE FIVE YEAR FORECAST FOR THE HOTEL OCCUPANCY TAX, UH, REMAINS STRUCTURALLY BALANCED.
WE HAVE AN AVERAGE REVENUE GROWTH RATE OF ABOUT 3.3%, UH, WITHIN THE, WITHIN THE FIVE YEARS OF THE FORECAST.
THE LAST RESTRICTED FUND THAT I WILL HIGHLIGHT TODAY IS THE SOLID WASTE FUND.
THIS SLIDE COMBINES REVENUE AND EXPENSES FOR FISCAL YEAR 2018.
AND AS YOU CAN SEE ON THE REVENUES ON THE REVENUE SIDE, THE FUND IS ROUGHLY ABOUT 118 MILLION ENTERPRISE FUND.
WE ARE SLIGHTLY AHEAD OF BUDGET, AND THIS IS PRIMARILY DUE TO MORE OF OUR CUSTOMERS RETAINING THE 96 UH, GALLON CONTAINER TRASH CAN.
WE HAD ANTICIPATED THAT WE WOULD HAVE
[00:35:01]
ABOUT 85% OF THE CUSTOMERS USING THE LARGE CARD, BUT UNFORTUNATELY IT'S AT 96%.SO DAVID MCCAREY WITH THE DEV WITH THE SOLAR WASTE, UH, DEPARTMENT IS WORKING IN SEVERAL STRATEGIES TO, UH, EDUCATE THE COMMUNITY TO SWITCH TO THE SMALLER CARD.
AND WE ALSO HAVE SOME RECOMMENDATIONS IN TERMS OF FEE STRUCTURE THAT WE WANNA DISCUSS WITH THE COUNCIL.
PROCESS EXPENSES ARE WITHIN BUDGET FOR THE FIRST SIX MONTHS OF THE FISCAL YEAR, AND WE'RE ESTIMATING ROUGHLY TO BE A HUNDRED THOUSAND, UH, ABOVE BUDGET DUE TO FUEL PRICES.
HOWEVER, THERE'S ENOUGH A FUND BALANCE WITHIN THE SOLID WASTE FUND TO COVER, UH, THE $100,000.
THIS NEXT CHARGE SHOWS THE SOLID WASTE MONTHLY RATE AND WHAT OUR PROJECTIONS, UM, ARE FOR THE NEXT FIVE YEARS.
AGAIN, THIS INITIATES THE POLICY DISCUSSION WITH THE COUNCIL FOR THE BUDGET.
SO TODAY, UH, THE DIFFERENCE BETWEEN, UH, THE SMALL CARD AND THE LARGE CARD IS ROUGHLY ABOUT $5.
UH, WHAT WE ARE PROPOSING FOR 2019 IS THAT THERE'S A DIFFERENCE OF $10.
THE GOAL IS TO INCENTIVIZE THE USERS OF THE LARGE CARD TO UTILIZE THE 48 GALLON CONTAINER OR THE 64 GALLON CONTAINER.
THE DIFFERENCE BETWEEN THE LARGE CAR AND THE SMALL CAR IS $10 OR $120 A YEAR.
SO WE HOPE THAT THAT WILL HELP US ALONG WITH MORE EDUCATION TO INCENTIVIZE RESIDENTS TO RECYCLE AND FOR US TO ACHIEVE OUR GOAL OF 60% OF, UH, RECYCLING BY 2025.
WITH THIS, UH, INCREASES IN THE PREVIOUS PAGE, WE BUILT A FIVE YEAR FINANCIAL FORECAST.
SO YOU CAN SEE THE, UH, OUR ESTIMATED RESOURCES AND PROJECTED EXPENSES AND OUR ENDING BALANCE, UH, FOR THE NEXT FIVE YEARS.
AND AGAIN, THIS WILL BE A POLICY DISCUSSION WITH THE COUNCIL IN TERMS OF INCREASING THOSE FEES.
IN TERMS OF THE MID-YEAR BUDGET ADJUSTMENT, UH, WHAT WE ARE RECOMMENDING TO THE COUNCIL FOR CONSIDERATION TOMORROW IS ONE ADJUSTMENT AND A GENERAL FUND, AND THAT IS TO ADD TWO SERGEANT POSITIONS TO THE SPECIAL VICTIMS UNIT.
THE ESTIMATED COST, SINCE IT'S ONLY FOR A PORTION OF THE YEAR, IT'S ESTIMATED AT LESS THAN $30,000.
THE CO THE COST WILL INCREASE FOR 2019.
THE NEXT, UH, PORTION OF MY PRESENTATION IS JUST TO HIGHLIGHT SOME OF THE BUDGET INITIATIVES.
UH, YOU HAVE THE BINDER IN FRONT OF YOU WITH ALL THE INFORMATION.
ONE IS OUR STREET MAINTENANCE PROGRAM, $99 MILLION INCLUDED IN THE 2018 BUDGET FOR CLOSE TO 1200 PROJECTS THAT OUR T C I DEPARTMENT IS COMPLETING ACROSS THE CITY.
UM, FOR THE SECOND QUARTER OF THE FISCAL YEAR.
THEY'RE COMPLETED, UH, 303 PROJECTS.
THEY'RE WORKING AS WE SPEAK ON AN ADDITIONAL 390, AND THEY ANTICIPATE TO COMPLETE AN ADDITIONAL 394 IN THE FOURTH QUARTER OF THE FISCAL YEAR WITH 105 PROJECTS BEING COMPLETED IN 2019.
THIS ARE PROJECTS THAT ARE MORE COMPLEX, UH, MORE UTILITY COORDINATION.
IT TAKES MORE THAN 12 MONTHS TO COMPLETE.
IN TERMS OF OUR POLICE DEPARTMENT, WE, UM, THE RECOMMENDED AND THE CITY COUNCIL APPROVED 42 NEW OFFICERS.
WE, UM, CURRENTLY HAVE THREE ACADEMY CLASSES WITH 111 CADETS.
THAT INCLUDES THE CLASS THAT STARTED EARLIER THIS WEEK.
UH, WE HAVE TWO MORE CLASSES SCHEDULED FOR THIS, UH, FISCAL YEAR, ONE IN JULY AND ONE IN SEPTEMBER.
UH, THE AAFE OFFICERS THAT WERE APPROVING THE BUDGET HAVE BEEN ASSIGNED TO THE EAST AND THE WEST, UM, SIDE OF TOWNS.
UH, THE FOUR PARK POLICE OFFICERS TWO HAVE COMPLETED TRAINING.
TWO, UM, ARE IN TRAINING NOW, AND THE TWO AIRPORT POLICE, UH, WILL BEGIN, UM, IN THE SPRING.
IN TERMS OF THE FIRE DEPARTMENT, UH, COUNSEL APPROVED ADDING 43 NEW FIREFIGHTERS.
UH, ONE OF THE, UM, OFFICERS, UH, WAS HIRED IN JANUARY, OR ONE OF THE FIREFIGHTERS, EXCUSE ME, WAS HIRED IN JANUARY.
UM, THE E M S UNIT, UH, NUMBER 32 WILL GO ONLINE ON JULY, 2018.
UH, LADDER 18 WILL GO ONLINE IN JULY AND 26 FIREFIGHTERS FOR THE E M S UNIT AND THE LADDER UNITS ARE IN THE JANUARY, 2018 ACADEMY CLASS.
IN TERMS OF THE NEXT STEPS IN THE 2019 BUDGET PROCESS, UH, WE WILL HAVE THE CITY COUNCIL GOAL SETTING SESSION ON MAY 30TH.
THIS IS A VERY IMPORTANT SESSION AS CITY COUNCIL WILL DELIBERATE ON THEIR PRIORITIES FOR THE UPCOMING FISCAL YEAR.
WE ARE ALSO RIGHT NOW, UH, CONDUCTING OUR ESSAY SPEAK UP CAMPAIGN TO GET INPUT FROM OUR RESIDENTS IN TERMS OF THEIR PRIORITIES.
WE WILL PROVIDE A REPORT TO THE COUNCIL BEFORE THE MAY 30TH, UH, GOAL SETTING SESSION, SO YOU'RE AWARE OF THOSE PRIORITIES FROM FROM OUR RESIDENTS.
THE CITY MANAGER WILL PRESENT THE PROPOSED BUDGET ON AUGUST THE NINTH.
[00:40:01]
WE WILL HAVE A COUNCIL WORK SESSIONS AND ALSO WE'LL HAVE MORE COMMUNITY INPUT AUGUST AND SEPTEMBER BEFORE THE BUDGET IS SCHEDULED TO BE ADOPTED ON SEPTEMBER 13.SO IN CONCLUSION TODAY, OUR GENERAL FUND, UM, FINANCIAL POSITION SLIGHTLY BETTER THAN OUR BUDGET ADOPTION, 13.2 MILLION, AND WE RECOMMEND RESERVING THIS BETTER ENDING BALANCE FOR THE 2019, UH, BUDGET.
THERE IS UNCERTAINTY IN OUR FEDERAL BUDGET AS THERE ARE, UH, THE PRESIDENT BUDGET HIGHLIGHTED SOME POTENTIAL GRANT ELIMINATIONS THAT IMPACT NOT ONLY THE CITY OF SAN ANTONIO BUT OUR COMMUNITY PARTNERS.
AND ALSO THERE'S UNCERTAINTY ON POTENTIAL STATE, UH, PROPERTY TAX REVENUE CAPS THAT COULD IMPACT OUR ABILITY TO COLLECT, UH, REVENUE.
ERSEL, OUR CHIEF FINANCIAL OFFICER WILL TALK ABOUT A LITTLE BIT MORE IN DETAIL ABOUT THE FEDERAL AND STATE BUDGET, AND HE WILL ALSO PROVIDE INFORMATION ON HOMESTEAD EXEMPTION AND THE POTENTIAL IMPACT TO THE GENERAL FUND.
THANKS, MARIA, AND GOOD AFTERNOON MAYOR AND COUNCIL MEMBERS.
AS MARIA MENTIONED, WE'RE GONNA PROVIDE A LITTLE BIT OF ADDITIONAL INFORMATION ON THE HOMESTEAD EXEMPTION OPTIONS.
I'LL START WITH JUST A KIND OF A REMINDER OF WHAT'S IN PLACE TODAY.
SO THERE ARE SOME STATE MANDATED, UH, EXEMPTIONS THAT, UM, ARE IN PLACE ACROSS THE STATE.
THESE INCLUDE A DISABLED VETERAN AND SURVIVING SPOUSE, UH, EXEMPTION THAT RANGES FROM $5,000 TO A HUNDRED PERCENT OF APPRAISED VALUE.
THAT DEPENDS ON THE LEVEL OF DISABILITY, UM, THAT IS SET BY SS S I.
SO THEN, BASED ON THAT, THAT DETERMINES HOW MUCH OF THE APPRAISED VALUE IS ACTUALLY EXEMPT FROM TAXATION.
THERE'S AN ARMED SERVICES AND FIRST RESPONDERS SURVIVING SPOUSE.
IN THAT CASE, A HUNDRED PERCENT OF THE APPRAISED VALUE FROM ALL TAXING UNITS IS, UM, NOT SUBJECT TO PROPERTY TAX.
AND THEN OF COURSE THERE IS ON THE HOMESTEAD, THERE IS A CAP OF 10% OF AN INCREASE OF 10% PER YEAR.
SO SOMEONE'S HOMESTEAD, EVEN IF YOUR MARKET VALUE HAS INCREASED BY MORE THAN 10%, THE TAXABLE PIECE OF THAT WOULD BE CAPPED AT 10%.
IN TERMS OF SOME OF THE LOCAL OPTIONS, THESE ARE THINGS THAT ARE IN PLACE HERE IN SAN ANTONIO THAT WE HAVE PUT IN PLACE.
WE HAVE AN OVER AGE 65 AND SURVIVING SPOUSE EXEMPTION OF $65,000.
THAT BASICALLY MEANS WHEN SOMEONE TURNS 65 AND THEIR HOMESTEAD, UM, YOU TAKE $65,000 OFF OF THAT TAXABLE VALUE THAT'S NO LONGER SUBJECT TO PROPERTY TAX.
UM, WE ALSO HAVE A DISABLED HOMEOWNERS AND SURVIVING SPOUSE OF AN ADDITIONAL 12,500 THAT CAN BE ADDED TO THE STATE MANDATED ONE.
AND THEN WE ALSO, IN 2005, WE ESTABLISHED A TAX FREEZE ON HOMESTEADS FOR PERSONS THAT ARE OVER AGE 65 OR DISABLED.
SO THE WAY OURS WORK AGAIN, IS IF YOU TURN 65, 60 $5,000 OF TAXABLE VALUE NO LONGER SUBJECT TO PROPERTY TAX, THE TAX IS CALCULATED BASED ON THAT AND THEN IT'S FROZEN.
SO IT DOESN'T CHANGE THE ACTUAL DOLLAR VALUE.
UM, IN TERMS OF WHAT DOES THAT EQUATE TO FOR THE CITY'S BUDGET THIS YEAR? WE'LL FOREGO ABOUT $47 MILLION IN PROPERTY TAX REVENUE.
WE HAVE 101,000 SENIORS AND DISABLED HOMESTEAD EXEMPTIONS OR FROZEN CITY TAX PAYMENTS.
AND WE'VE GOT ABOUT 28,000 SENIORS AND DISABLED HOMEOWNERS THAT ARE GONNA PAY ZERO CITY PROPERTY TAX THIS FISCAL YEAR.
IN TERMS OF MOVING TOWARDS, WHAT ARE THE OPTIONS LOOK LIKE THAT ARE AVAILABLE UNDER STATE LAW TO DO A HOMESTEAD EXEMPTION? THEY ARE SOMEWHAT LIMITED.
THERE'S NOT A LOT OF FLEXIBILITY THERE.
UM, IF YOU DID ADOPT A HOMESTEAD EXEMPTION, IT'S GOTTA APPLY TO ALL HOMESTEADS REGARDLESS OF VALUE.
IT ALSO HAS TO BE ADOPTED BASED ON A PERCENTAGE OF THE TAXABLE VALUE FOR THAT HOME.
UM, IT CAN'T BE SET AS A DOLLAR VALUE, AND THOSE PERCENTAGES RANGE FROM, UH, ZERO UP TO 20% WITH THE MINIMUM OF $5,000.
AND WHAT THAT MEANS IS YOU COULD SET A PERCENTAGE OF THE TAXABLE VALUE THAT'S SO LOW THAT IT WOULD CALCULATE A $5,000 HOMESTEAD EXEMPTION FOR EVERYONE.
SO THAT IS AN OPTION THAT WE ALSO HAVE, UH, DONE SOME, DONE SOME FINANCIAL ANALYSIS ON.
THIS NEXT SLIDE LOOKS AT, UM, SOME TAX RATES AND COMPARISONS AMONG SOME OF THE MAJOR TEXAS CITIES IN TERMS OF OPTIONS THAT, UM, THEY HAVE PUT IN PLACE.
THE CHART IS ORGANIZED FROM HIGHEST ASSESSED VALUATION TO LOWEST ASSESSED VALUATION.
SO UP AT THE TOP IS HOUSTON, GOING DOWN TO CORPUS.
UM, WE'RE GIVING YOU THEIR TOTAL ASSESSED VALUATION THAT'S IN BILLIONS.
WE HAVE THEIR FY 2018 TOTAL TAX RATE LISTED THERE, WHETHER THEY'VE GOT A LOCAL HOMESTEAD EXEMPTION OR NOT.
AND IF THEY DO, WHAT THAT PERCENTAGE IS, UM, WHETHER THEY'VE GOT AN OVER 65 EXEMPTION, WHAT THAT DOLLAR VALUE IS, A DISABLED EXEMPTION.
AND THEN WHETHER THEY'VE GOT THE SENIOR TAX FREEZE OR NOT, YOU'LL NOTE THAT THE TAX RATES REALLY, UM,
[00:45:01]
THERE'S A PRETTY WIDE RANGE THERE IN TERMS OF THE ACTUAL TAX RATE THAT'S IN PLACE.UM, AS WELL AS THE ASSESSED VALUATION.
THERE ARE, UH, A NUMBER OF THOSE THAT HAVE A LOCAL HOMESTEAD, UH, VARYING DEGREES OF DOLLAR VALUE ON THE OVER 65 EXEMPTION.
AND THEN WE'RE ONE, WE'RE THE ONLY LARGE TEXAS CITY THAT HAS A SENIOR TAX FREEZE IN PLACE.
WE DID ASK AND ARE LOOKING FOR, UH, AND GETTING ADDITIONAL INFORMATION FROM THESE CITIES THAT WE CAN SHARE WITH YOU DURING OUR GOALS AND OBJECTIVES.
WORK SESSION, THINGS LIKE, JUST SO WE CAN PUT IN CONTEXT BECAUSE THE TAX RATES VARY SO MUCH, WHAT DOES THEIR TAX LEVY LOOK LIKE? SO AT THE END OF THE DAY WHEN THEY SET THEIR TAX RATE, HOW MUCH PROPERTY TAX REVENUE THEY'RE ACTUALLY GENERATING OFF OF THEIR ASSESSED VALUATION.
AND THEN WE ALSO ASK THEM FOR INFORMATION AROUND PROPERTY TAX RELIEF.
SO WHEN YOU LOOK AT ALL OF THESE OPTIONS THAT THEY'VE PUT TOGETHER HERE THAT THEY'VE PUT IN PLACE, HOW DOES THAT COMPARE TO THE $47 MILLION THAT I JUST MENTIONED THAT WE'RE GONNA FOREGO IN FY 2018 SO THAT WE'LL BE ABLE TO PROVIDE SOME ADDITIONAL ANALYSIS AS PART OF THAT GOALS AND OBJECTIVES WORK SESSION.
THIS SLIDE LOOKS AT WHAT SOME LOCAL OPTIONS MIGHT LOOK LIKE FOR US IF WE WERE TO DO THAT.
UM, THE WAY THIS CHART IS LAID OUT IS WE'VE GIVEN YOU A COUPLE OF EXAMPLES.
WE'VE GIVEN YOU A VALUE OF A HOMESTEAD GOING FROM A HUNDRED THOUSAND, 200,000, 300,000 OR 500,000.
THESE ARE JUST EXAMPLES, AND THEN WE'RE SHOWING YOU WHAT THEIR AVERAGE TAX BILL WOULD BE, TOTAL TAX BILL, INCLUDING ALL TAXING ENTITIES.
AND THEN WE'RE SHOWING YOU, UM, WHAT THE, ON THE TOP PART, WHAT'S THE SAVINGS THAT THE TAXPAYER HOMEOWNER WOULD SEE UNDER EACH OF THESE OPTIONS ON AVERAGE.
SO THE FIRST COLUMN, EVERYBODY'S GETTING ABOUT A LITTLE, JUST LESS THAN $28 SAVINGS, ANNUAL SAVINGS.
IF YOU WERE TO DO A PROPERTY TAX EXEMPTION OF $5,000, MEANING WE SET THE PERCENTAGE SO LOW THAT WE GET TO THE MINIMUM $5,000 THEY WOULD SAVE.
EACH ONE OF THOSE GROUPS WOULD BE SAVING ABOUT $28 PER YEAR.
IF YOU MOVE TO THE RIGHT, THIS WOULD BE A 5% OF THEIR, UH, ASSESSED VALUATION WOULD BE THE HOMESTEAD EXEMPTION.
SO IN THAT CASE, YOU CAN SEE THE DOLLAR VALUE GROWS BECAUSE THE VALUE OF THE HOME IS GROWING.
SO THE SAVINGS IS HIGHER, BUT IT'S IN RELATION TO THAT TOTAL TAX BILL.
SO FOR EXAMPLE, A HUNDRED THOUSAND DOLLARS HOME, YOU'RE SAVING THE $28 PER YEAR.
A $500,000 HOME WOULD SAVE $139 OUT OF THEIR ALMOST $13,700 TAX BILL.
UM, AND THEN WE GAVE YOU OPTIONS FOR A 10% EXEMPTION AND THEN THE MAX AT A 20% EXEMPTION.
THE BOTTOM PART OF THIS CHART THEN SAYS, BASED ON THOSE EXEMPTIONS, WHAT WOULD WE FOREGO IN PROPERTY TAX REVENUES PROJECTED UNDER THE $5,000 EXEMPTION? FOR EXAMPLE, IN THE GENERAL FUND, WE WOULD FOREGO $3.8 MILLION IN THE DEBT SERVICE FUND, WE WOULD FOREGO ABOUT $2.3 MILLION IN PROPERTY TAX REVENUES.
NOW REMEMBER, WHEN YOU GO THROUGH THE BUDGET PROCESS, YOU ALL WILL SET THE TAX RATE IN TWO COMPONENTS.
YOU'RE GONNA SET A TAX RATE THAT SUPPORTS THE GENERAL FUND AND GOES TO FUND OPERATIONS.
AND THEN YOU'RE GONNA SET, SET A SECOND COMPONENT THAT IS SPECIFICALLY THERE TO COVER ALL OF OUR PROPERTY TAX SUPPORTED DEBT.
AND WE'VE NOT CHANGED THAT RATE SINCE I THINK 2004.
I BELIEVE WE'VE BEEN AT 21 SINCE, AND WE'VE BEEN MANAGING OUR CAPACITY TO THAT 21 CENT LEVEL.
UM, THE $2.3 MILLION THAT I MENTIONED ON THAT ARE ON THIS LINE FOR THE IMPACT TO DEBT SERVICE.
THIS IS THE FOREGONE PROPERTY TAX REVENUE.
THIS IS NOT THE FOREGONE CAPACITY SO THAT WE TAKE THE REVENUES AND THEN WE ISSUE BONDS AND WE AMORTIZE THAT.
UM, THAT NUMBER WOULD BE MUCH LARGER THAN THIS.
WE HAVEN'T RUN ANY KIND OF THAT ANALYSIS, BUT YOU WOULD BE FOREGOING FUTURE BOND CAPACITY AS WELL.
IN TERMS OF, JUST TO GIVE YOU AN IDEA, AND THESE ARE JUST EXAMPLES, JUST TO GIVE YOU SOME CONTEXT AROUND, IF WE WERE TO DO A $5,000 EXEMPTION, I MENTIONED THE IMPACT TO THE GENERAL FUNDS ABOUT $3.8 MILLION.
WHAT DOES $3.8 MILLION, UH, PAY FOR? THESE ARE SOME EXAMPLES OF THAT THAT EQUATES TO ABOUT A HUNDRED PERCENT OF THE NEIGHBORHOOD SERVICES AND INNOVATION DEPARTMENTS COMBINED, IT'S ABOUT 33% OF OUR ECONOMIC DEVELOPMENT DEPARTMENT.
26% OF ANIMAL CARE SERVICES, 25% OF CODE ENFORCEMENT, ABOUT 9% OF OUR LIBRARY BUDGET, UH, 4% OF OUR OVERALL STREET MAINTENANCE BUDGET AND IT FUND WOULD FUND EQUAL ABOUT 38 POLICE OFFICERS OR ABOUT 36 FIREFIGHTERS.
AND AGAIN, THAT'S JUST TO GIVE YOU SOME CONTEXT AROUND WHAT THREE POINT, WHAT THE VALUE OF $3.8 MILLION MEANS, UM, IN TERMS OF THE BOND PROGRAM.
IF WE DID A $5,000 HOMESTEAD EXEMPTION, WE WOULD FOREGO ABOUT $2.3 MILLION IN PROPERTY TAX REVENUE IN YEAR ONE.
YOU WOULD BE FOREGOING SOME BOND CAPACITY IN THE FUTURE.
AGAIN, WE HAVEN'T TRIED TO RUN THAT ANALYSIS FOR THAT SCENARIO, BUT AGAINST NOT HAVING AN EXEMPTION, THERE WOULD BE SOME IMPACT ON BOND CAPACITY OUT IN THE FUTURE.
WOULD, WOULD NOT ENTER, WOULD NOT IMPACT OUR UM, CURRENT BOND PROGRAM.
THIS WOULD BE CAPACITY IN THE FUTURE.
IN TERMS OF SOME OTHER OPTIONS,
[00:50:02]
I MENTIONED THAT LEGISLATIVELY THERE ARE KIND OF LIMITED OPTIONS FROM A HOMESTEAD PERSPECTIVE.UM, ONE THAT IS AVAILABLE THAT IS NOT AN EXEMPTION THAT COUNCIL TRAVINO, UM, TALKED ABOUT AND HAS WORKED WITH THE BARE APPRAISAL DISTRICT ON, I THINK YOU'LL RECALL WHEN THE CHIEF APPRAISER WAS HERE, HE PRESENTED SOME HEAT MAPS THAT SHOWED KIND OF DIFFERENT GROWTHS AROUND THE CITY.
ONE OF THE OPTIONS COULD BE THAT YOU LOOK AT, UM, CREATING SOME NEIGHBORHOOD EMPOWERMENT ZONES THAT WOULD, UM, ALLOW INDIVIDUALS OR HOMEOWNERS THAT MAKE IMPROVEMENTS TO THEIR PROPERTY TO, UM, HAVE THAT PORTION RELATED TO THOSE IMPROVEMENTS REBATED BACK TO THEM IN TERMS OF PROPERTY TAX REVENUES.
AND WE COULD PROVIDE MORE INFORMATION ON THIS AS PART OF OUR, UH, GOAL SETTING SESSION.
THE OTHER OPTION WOULD BE, UM, THAT WE COULD, UM, GO OUT AND SEEK LEGISLATIVE CHANGES TO PROVIDE OPTIONS NOT ONLY FOR US, BUT FOR OTHER TEXAS CITIES THAT WOULD GIVE US GREATER FLEXIBILITY IN WHAT WE COULD OFFER.
I MENTIONED WE CAN ONLY DO PERCENTAGES TODAY.
WE COULD GO AND SEEK LEGISLATION THAT, UM, WOULD ALLOW US TO DO FIXED DOLLAR AMOUNTS SO THAT IT WOULDN'T MATTER THE VALUE OF THE HOME, IT WOULD JUST BE I'M GONNA SET AN A A A EXEMPTION OF X DOLLARS AND THAT'S WHAT WE WANT TO PROVIDE.
THAT HAS OBVIOUSLY A DIFFERENT IMPACT.
YOU'RE STILL FOREGOING PROPERTY TAX REVENUES, BUT IT'S IMPACT TO THE HOMEOWNER WOULD BE DIFFERENT.
UM, YOU COULD ALSO LOOK AT SOMETHING THAT'S BEEN TALKED ABOUT A A COUPLE OF TIMES, AND I KNOW COUNCILWOMAN SANDOVAL MENTIONED THIS TO ME AND MARIA, UM, AS AN OPTION.
AND THIS WAS THAT YOU COULD CREATE A TIER WHERE YOU CREATE AN EXEMPTION THAT RECOGNIZES THE LONGER YOU'VE BEEN IN YOUR HOME, THE LONGER YOU'VE OWNED YOUR HOME, THE LARGER THAT FIXED DOLLAR AMOUNT EXEMPTION IS.
SO THE CONCEPT THE LEGISLATURES TALKED A LOT ABOUT IS, YOU KNOW, WE'RE TAXING PEOPLE.
PEOPLE ARE BEING TAXED OUT OF THEIR HOME THAT HAVE BEEN IN THEIR HOME FOR 30 OR 40 YEARS.
THIS EXEMPTION WOULD RECOGNIZE THAT THERE'S A DIFFERENCE BETWEEN OWNING YOUR HOME FOR TWO YEARS AND MAYBE OWNING YOUR HOME FOR 30 YEARS AND YOU'D BE ABLE TO CRAFT SOMETHING AROUND THAT.
SO THERE ARE A WHOLE LOT OF OPTIONS WE COULD LOOK AT AND TALK ABOUT, YOU KNOW, AND WE COULD CERTAINLY DO THAT AS PART OF THE GOALS AND OBJECTIVES WORK SESSION WITH YOU ABOUT WHETHER YOU WANTED TO PUSH THROUGH SOMETHING LEGISLATIVELY THAT WE WOULD GO, UM, SEEK SPONSORS TO FILE BILLS THAT WOULD GIVE US SOME GREATER FLEXIBILITY, WOULD BE AN OPTION.
UM, WANTED TO MENTION, AND WE'VE TALKED ABOUT KIND OF THIS IS THE BEGINNING OF THE CONVERSATION AROUND THE POLICY OF A HOMESTEAD EXEMPTION OR PROVIDING SOME LEVEL OF PROPERTY TAX RELIEF.
WANTED TO GIVE YOU A COUPLE OF ADDITIONAL POINTS FOR YOUR CONSIDERATION AS YOU CONTEMPLATE WHETHER WE SHOULD PUT THIS IN PLACE OR NOT.
ONE WOULD BE THAT WE KNOW THAT WE'RE GONNA BE FACING A VERY TOUGH LEGISLATIVE SESSION COMING UP AT THE STATE LEVEL.
UM, WE HAVE SEEN, UM, PROPERTY TAX CAPS ON THE AGENDA PROBABLY FOR THE LAST THREE OR FOUR SESSIONS.
UM, SO THERE IS RISK THERE THAT THEY WILL PASS SOMETHING THIS NEXT SESSION THAT WILL IMPACT OUR ROLLBACK RATE, WILL IMPACT THE AMOUNT OF PROPERTY TAX REVENUES WE COLLECT.
UM, I WOULD TELL YOU THAT I THINK THE RISK IS FAR GREATER THAN IT WAS THREE SESSIONS AGO.
THIS THING HAS BEEN BUILDING A LOT OF MOMENTUM AT THE STATE LEVEL.
UM, CLEARLY IT PASSED BOTH THE HOUSE AND SENATE LAST YEAR, DIFFERENT VERSIONS OF BILLS.
THEY COULDN'T AGREE ON WHAT, WHAT THE CAP SHOULD BE LOWERED TO.
SO IT ULTIMATELY FAILED, BUT IT GOT VERY CLOSE TO PASSING THIS LAST SESSION.
WE KNOW THAT IT'S GONNA BE LIKELY GOING TO BE PART OF THE AGENDA FOR THIS UPCOMING SESSION.
SO MUCH SO THAT GOVERNOR ABBOTT, UM, ISSUED A PROPOSAL A COUPLE OF MONTHS AGO ON WHAT HE WOULD LIKE TO SEE HAPPEN IN TERMS OF A, OF A ROLLBACK RATE.
AND UNDER THAT PROPOSAL, OUR ROLLBACK RATE WOULD BE REDUCED FROM 8% DOWN TO 2.5%.
THAT'S A, A HUGE IMPACT TO US.
UM, WE WENT BACK AND LOOKED AT, HAD THIS BEEN IN PLACE FOR THE PAST 10 YEARS, WHAT WOULD'VE BEEN THE CUMULATIVE IMPACT OF LOST REVENUES TO THE CITY? CITY ONLY.
THE AVERAGE TAXPAYER ON AVERAGE WOULD SAVE ABOUT $4 AND 74 CENTS MONTHLY.
AND IF YOU LOOKED AT THE GENERAL FUND BUDGET TODAY, OUR TAX LEVY WOULD BE $81.2 MILLION LOWER THAN IT IS TODAY.
SO THESE ARE, THIS IS A PRETTY BIG SHIFT AND A PRETTY BIG CHANGE IN TERMS OF HOW WE DO THIS.
MARIA MENTIONED THE PROPERTY TAX SLIDE AND, AND I JUST WANNA TAKE A MOMENT TO, TO HIGHLIGHT THIS PIECE.
IN THE PAST WHEN WE'VE GOTTEN INTO A RECESSION, WE'VE NOT INCREASED THE TAX RATE THE CITY HAS EITHER HAS HELD THE TAX RATE, EVEN IF IT MEANT WE WERE GONNA COLLECT LESS REVENUE IN TOTAL FROM NEW IMPROVEMENTS, EVERYTHING THAN WE DID THE DATE THE YEAR BEFORE WE MANAGED TO THE BUDGET WHEN WE GOT OUT OF THE RECESSION.
AND YOU START TO GET THE GROWTH YEARS, THAT'S WHERE YOU'RE ALLOWED TO RECOVER THE CONCEPT OF PUSHING THIS
[00:55:01]
CAP SO LOW.THE CHALLENGE IS YOU HAVE THE RECESSION WHERE YOU'RE GOING, THOSE ARE GOING TO HAPPEN.
WE'RE GONNA SEE LESS REVENUE DURING THOSE PERIODS OF TIME.
WHEN YOU'RE CAPPED COMING OUT OF A RECESSION, IT WILL TAKE MUCH LONGER TO RECOVER OR YOU WILL NEVER RECOVER TO THE SAME LEVEL.
THE ONLY WAY YOU COULD GET CLOSE IS YOU INCREASE THE TAX RATE DURING A RECESSION, WHICH, WHICH WE'VE ARGUED KIND OF DOESN'T MAKE SENSE.
WE'RE WE'RE TRYING TO KEEP THE ECONOMY GOING FROM A LOCAL PERSPECTIVE.
WE CERTAINLY WOULD'VE NEVER, WOULD'VE, WOULD NOT HAVE RECOMMENDED THAT.
BUT SOME OTHER THINGS THAT WERE INCLUDED IN THE GOVERNOR'S PROPOSAL THAT ARE ALSO CONCERNING FOR US IN ADDITION TO THE CAP WAS THAT, UM, IN ORDER TO, UM, DO GENERAL OBLIGATION BONDS, YOU'RE GOING TO HAVE, HAVE A SUPER MAJORITY BY THE COUNCIL TO APPROVE THE ISSUANCE OF THAT DEBT, BUT ALSO POTENTIALLY SOME REQUIREMENTS ON THE NUMBER OF PEOPLE VOTING IN THE ELECTION.
UM, HAVING A MORE THAN JUST A MAJORITY OF THOSE APPROVING A BOND ELECTION.
NOW OURS HISTORICALLY HAVE PASSED AT VERY, VERY HIGH LEVELS, BUT THEY'RE TALKING ABOUT CHANGING THE BAR OR THE THRESHOLD IN TERMS OF WHAT WE WOULD NEED TO DO TO IN ORDER TO PUT A BOND PROGRAM IN PLACE.
THE OTHER BIG ONE IS, YOU KNOW, THAT WE DO BOND PROGRAMS EVERY FIVE YEARS.
WE'VE DONE, THE LAST ONE WAS THE LARGEST IN THE CITY'S HISTORY.
UM, WE PLAN THEM EVERY FIVE YEARS.
UM, AS PART OF OUR ONGOING DEBT PLANNING.
IN BETWEEN THOSE FIVE YEAR PERIODS, WE USE THE CERTIFICATES OF OBLIGATION TO MEET THOSE UNFORESEEN NEEDS THAT COME UP AND TO FUND OTHER CAPITAL NEEDS OF THE CITY.
UNDER THIS PROPOSAL, WE WOULD NOT BE ABLE TO ISSUE CERTIFICATES OF OBLIGATION ONLY FOR ITEMS RELATED TO NATURAL DISASTER.
SO THIS WOULD QUITE SIGNIFICANTLY CHANGED THE WAY WE MANAGE OUR CAPITAL BUDGET.
SO, UM, THESE ARE THINGS THAT WE EXPECT TO COME UP DURING THE NEXT SESSION, UM, AND WE WILL BE TALKED ABOUT DURING THE NEXT SESSION.
SO WE WANTED TO PROVIDE THAT INFORMATION AS YOU CONTEMPLATE THIS POLICY DECISION.
THE OTHER IS THAT, UM, THE PRESIDENT DID RELEASE HIS BUDGET.
UM, THERE IS SOME RISK AT THE FEDERAL BUDGET LEVEL.
UM, HIS, I GUESS BLUEPRINT BUDGET OR PROPOSED BUDGET WOULD'VE ELIMINATED A NUMBER OF DIFFERENT GRANT PROGRAMS. UM, THOSE ARE LISTED HERE ON SLIDE 53.
SO IT'S ABOUT 90 CITY POSITIONS, ABOUT $21 MILLION IN FUNDING.
UM, CLEARLY WE DON'T KNOW WHERE THAT'S HEADED AT THE FEDERAL LEVEL, BUT THESE ARE, THESE ARE RISK POINTS FOR US.
WHAT WOULD HAPPEN AT THE STATE LEVEL? WHAT WOULD HAPPEN AT THE FEDERAL LEVEL.
UM, THE ONE THING I WANTED TO MENTION BACK ON THE STATE LEVEL WAS IF THEY DID PASS SOMETHING IN THE NEXT SESSION, IT WOULD NOT TAKE EFFECT OBVIOUSLY FOR OUR F Y 2019 'CAUSE WE WOULD ALREADY BE IN 2019, WHATEVER THEY WOULD BE PASSING WOULD BE EFFECTIVE FOR US EITHER F Y 20 OR THE YEAR AFTER THAT, DEPENDING UPON HOW THE BILL IS STRUCTURED AND WHAT THEY'RE ACTUALLY DOING.
UM, SO WITH THAT MAYOR AND COUNSEL, THAT, UM, CONCLUDES MY PRESENTATION.
WE'D BE HAPPY TO ANSWER ANY QUESTIONS.
AND AGAIN, THIS WAS REALLY JUST A, AN BEGINNING OF THE CONVERSATION AROUND THE POLICY.
WE CAN CERTAINLY HAVE MORE CONVERSATION AROUND HOMESTEADS, UH, EXEMPTIONS AND OTHER PROPERTY TAX OPTIONS AS PART OF OUR GOAL AS AN OBJECTIVES WORK SESSION.
MAYOR, UH, BEFORE WE GO TO QUESTIONS, MAY I ASK, UH, JEFF COYLE TO GIVE A QUICK UPDATE ON OUR SPEAK UP ESSAY PROGRAM BECAUSE WE'VE BEEN QUITE AGGRESSIVE IN GETTING COMMUNITY INPUT ON THE BUDGET, ENGAGING OUR NEIGHBORHOODS, AND IN TELLING US WHAT'S MOST IMPORTANT TO THEM.
AND WE'VE ALREADY BEGUN THAT PROCESS.
JEFF, YOU WANNA TALK ABOUT? SURE.
VERY, UH, VERY BRIEFLY WE'RE WE STARTED THE ESSAY SPEAKUP CAMPAIGN IN LATE MARCH.
UH, WE PLAN TO RUN THROUGH TRICENTENNIAL COMMEMORATIVE WEEK IN, UH, BEGINNING OF MAY.
WE ARE AT, UH, UH, ROUGHLY 3,300 SURVEY RESPONSES.
SO FAR, UH, YOU ALL HAVE BEEN EXCELLENT.
WE'VE BEEN WORKING THROUGH YOUR OFFICES TO ATTEND EVENTS IN YOUR DISTRICTS AND HAVE BEEN GETTING GREAT RESULTS.
UM, THE, UH, UH, WE'RE CONTINUING TO WATCH THE DISTRICT RESPONSE AS, AS YOU RECALL FROM LAST YEAR, THERE WAS A, UH, A VARIANCE IN THE PERCENTAGE OF RESPONDENTS THAT THAT CAME FROM EACH COUNCIL DISTRICT AND WE'RE TRYING TO GET AS CLOSE AS WE CAN TO AN EVEN, UH, REPRESENTATION.
UH, SO, UH, FOR EXAMPLE, UH, WITH COUNCILMAN SALANA, WE'VE HAD SOME LOWER NUMBERS FROM DISTRICT FOUR.
WE'RE WORKING WITH HIS OFFICE TO GO OUT TO SOME EVENTS RIGHT NOW AND TRY TO BOOST THOSE NUMBERS.
IT'S AVAILABLE ONLINE SO YOU CAN SHARE TO ANYONE AND EVERYONE.
AND, AND IT TAKES, UM, JUST A COUPLE OF MINUTES.
BASICALLY WE SHOW THE PIE CHART ABOUT HOW THE GENERAL FUND IS DIVIDED UP AND THEN ASK AMONGST THE MAJOR SPENDING CATEGORIES WHETHER YOU THINK THAT LEVEL OF FUNDING IS, UM, JUST RIGHT, SHOULD BE INCREASED OR SHOULD BE DECREASED.
AND THEN WE HAVE SOME OPEN-ENDED QUESTIONS FOR OTHER COMMENTS.
SO, UH, I'M HAPPY TO ANSWER ANY OTHER QUESTIONS, BUT WE'RE MOVING ALONG QUICKLY ON IT.
ALRIGHT, THANK YOU JEFF AND MARIA AND BEN FOR THE PRESENTATION.
UM, I THINK IT'S, UH, APPROPRIATE TO NOTE ALSO THAT THE SPEAK UP ARE FAIRLY NEW AS IT RELATES TO THE PRE PROPOSED BUDGET.
[01:00:01]
THIS, YOU KNOW, FOR THE LAST, I GUESS TWO OR THREE YEARS WE'VE GONE OUT INTO THE PUBLIC AND REALLY ASKED THEM TO DO AN ASSESSMENT OF THE CITY.WHAT, WHAT DO WE NEED TO BE DOING? WHAT DO WE NEED TO BE DOING BETTER? WHAT WE NEED TO BE DOING LESS OF, UH, AS IT RELATES TO THE FORMATION OF THE BUDGET.
UM, YOU KNOW, IT'S, IT'S NOT QUITE PARTICIPATORY BUDGETING, BUT IT'S PRETTY DARN CLOSE FOR AN INSTITUTION OF OUR SIZE.
UM, I THINK IT'S VERY IMPORTANT, UM, FOR US ALSO, BECAUSE YOU MENTIONED THIS, CHERYL, ABOUT THE ENVIRONMENT, THE LEGISLATIVE ENVIRONMENT, AND THE FACT THAT, YOU KNOW, OUR CONSTITUENTS WHO WE GO TO THE GROCERY STORE WITH, WE SIT IN TRAFFIC WITH, EVEN WHILE CUTS ARE MADE ELSEWHERE, ARE GONNA STILL EXPECT THE SAME LEVEL OF SERVICE DELIVERY AND QUALITY FROM OUR CITY REGARDLESS.
AND WHILE THERE IS A PLAN TO CUT BACK IN CERTAIN AREAS, IN OTHER AREAS, IN OTHER LAYERS OF GOVERNMENT, THAT DEF DOES AFFECT SAN ANTONIO, THERE'S NEVER AN ACCOMPANYING PLAN TO DEAL WITH THE GAP THAT'S CREATED IN SERVICE DELIVERY THAT INVARIABLY RESULTS IN PHONE CALLS TO YOUR OFFICES
UM, SO THE, SO THE, THE SERVICE METRICS THAT ARE IN THE BACK OF THE BINDER BECOMES VERY IMPORTANT IN TERMS OF HOW WE BUDGET AND WHERE WE'RE SPENDING OUR RESOURCES AND WHAT ARE WE TRYING TO ACHIEVE.
UM, YOU KNOW, I FOUND IT QUITE ILLUMINATING THE, UH, THE EQUITY TRAINING AS IT RESULTS TO, AS IT RELATES TO WHAT ARE THE METRICS THAT ARE APPROPRIATE FOR US TO BE TALKING ABOUT THE WHY QUESTIONS THAT MOLLY AND KIERAN TALKED ABOUT.
UM, I HOPE THAT AS WE GET INTO THE BUDGET PROCESS AND THE, AND ESPECIALLY IN THE GOAL SETTING, THAT WE HONE IN ON WHAT THOSE SHOULD BE FOR EACH OF THE, FOR EACH OF THE DEPARTMENTS.
'CAUSE I FOUND THAT FASCINATING AND I THINK MORE IMPACTFUL, UH, FOR RESIDENTS AND HOW THEY EXPERIENCE WHAT WE'RE DOING IN THE BUDGET PROCESS.
AND WE MIGHT WANT TO INCORPORATE THAT LANGUAGE ALSO IN THE SPEAK UP PROCESS AS WELL.
UM, BUT AS FAR AS, YOU KNOW, HOW DO WE GO ABOUT MAKING TWEAKS TO THE BUDGET? I OBVIOUSLY AGREE WITH THE POLICIES.
THERE HAVE BEEN COUNCIL DIRECTOR FOR A LONG TIME, UH, ACHIEVING A CERTAIN LEVEL OF, UH, UH, RESERVE BALANCE, UM, FISCAL DISCIPLINE THAT HAS ALLOWED US TO BE A STRONG FISCALLY MANAGED COMMUNITY, EVEN WHILE WE GO THROUGH THE UPS AND DOWNS OF RECESSIONS AND, AND, UH, PEAKS.
SO I, I CERTAINLY AGREE WITH THE POLICIES THAT YOU'VE PUT FORWARD.
I WANNA HIGHLIGHT A COUPLE THINGS AND ASK ABOUT A COUPLE AS WELL.
UM, AND I DON'T KNOW, MAYBE THIS IS A QUESTION FOR YOU, JEFF, UH, BUT WITH REGARD TO THE LOST REVENUE THAT MIGHT BE PROJECTED IN OUR FIVE YEAR FORECAST AT, YOU KNOW, FROM FEDERAL FUNDS AS WELL AS STATE PARTNERSHIPS, WHAT ARE THE AREAS THAT, THAT WE THINK ARE GONNA BE MOST IMPACTED IMMEDIATELY BY THAT? SURE.
UH, STATE LEVEL, IT'S GENERAL FUND REVENUE, SO IT'S ACROSS THE BOARD AND THE DECISIONS WOULD BE IN FRONT OF YOU ALL AS IN TERMS OF WHAT, WHAT TO CUT.
UM, FEDERAL LEVEL, IT'S, UH, IT'S DOMESTIC SPENDING PROGRAMS, AS CHERYL MENTIONED, IT OFTEN, UH, IS, UH, PROGRAMS INTENDED TO HELP THE, THE LOWEST INCOME AMONGST US.
SO, FOR EXAMPLE, COMMUNITY DEVELOPMENT BLOCK GRANTS WERE PROPOSED TO BE ELIMINATED BY THE PRESIDENT, UM, LAST TIME AND FOR NEXT YEAR.
UH, FORTUNATELY, CONGRESS REJECTED THAT PROPOSED CUT AND ACTUALLY INCREASED C D B G BY, UH, FROM 3 BILLION TO 3.3 BILLION, UH, HOME FUNDS, WHICH ARE USED FOR HOME IMPROVEMENTS AND LOANS AND THAT SORT OF THING.
UH, TIGER GRANTS, WHICH HAVE BEEN THE LOCAL TRANSPORTATION GRANT PROGRAM, WAS 500, UH, BILLION LAST YEAR.
500 BILLION OR MILLION, UM, YEAH, 500 MILLION.
AND IT WAS PROPOSED TO BE ELIMINATED ALTOGETHER.
CONGRESS ACTUALLY TRIPLED IT IN THIS YEAR'S BUDGET AND WENT TO 1.5 BILLION.
SO, UM, SO FAR, UH, BOTH SIDES OF THE AISLE POLITICALLY HAVE, HAVE SAID THESE ARE IMPORTANT PROGRAMS AND HAVE NOT GONE FORWARD WITH THE PROPOSALS THAT THE PRESIDENT HAS OFFERED.
BUT, UM, YOU KNOW, IT'S ALSO WORTH NOTING THAT THOSE PROPOSED CUTS LAST TIME WERE A FEW MONTHS INTO THE PRESIDENT'S ADMINISTRATION AND, UH, AND NOW THERE'S BEEN A FULL BUDGET AND A FULL YEAR PLUS OF THE ADMINISTRATION, AND THOSE PROPOSALS ARE BACK.
SO, UH, THEY MAY OR MAY NOT BE TAKEN, TAKEN DIFFERENTLY BY CONGRESS.
YEAH, AND, AND I THINK YOU CORRECTLY NOTED THAT A LOT OF THIS IS GEARED TOWARDS SOCIAL SERVICES, WHICH ARE MOST IMPACTFUL TO, UM, UH, COMMUNITY MEMBERS WHO ARE DISADVANTAGED, UM, IN OUR COMMUNITY.
SO, UM, WE HAVE TO NOTE THAT ALSO WITH EYES WIDE OPEN GOING INTO THIS CONVERSATION ABOUT THE RATE, UH, AND ANY ADJUSTMENT TO THE RATE.
BECAUSE EVEN WHILE WE, YOU KNOW, THE, IF WE, UM, AN INCREASE IN THE RATE TENDS TO BE REGRESSIVE, A DECREASE, UH, UH, OF A PROGRAM LIKE THAT, UNLESS WE'RE DOING IT VERY CAREFULLY, WOULD ALSO BE REGRESSIVE IN TERMS OF IT BEING LEAST IMPACTFUL TO THE PEOPLE.
[01:05:01]
BE HELPFUL, UH, TO, UM,AND I, I APPRECIATE THE FACT THAT WE HAVE A STRONG STREET MAINTENANCE SCHEDULE, UH, AND WE'RE GONNA TRY TO PROJECT TO THAT AND TRY TO GET TO THAT NUMBER.
UM, WITH THE INFRASTRUCTURE PLAN FROM DC SO MUCH OF WHAT WE'RE DOING IS LEVERAGED IN MIKE'S DEPARTMENT, LEVERAGED PROJECTS.
IT WILL BE DOUBLY LEVERAGED BASED ON THE PROPOSALS THAT ARE COMING, UM, FROM THAT INFRASTRUCTURE PLAN.
SO THE ABILITY FOR US TO TAKE CARE OF OUR OWN LOCAL, UM, BASIC STREET MAINTENANCE AND STREET PROJECTS AND OUR CAPITAL BUDGET, I THINK BECOMES EVEN MORE IMPORTANT FOR US TO HAVE THE REVENUE IN THERE TO DO THAT.
UM, I HAVE A QUESTION FOR YOU, MIKE.
UM, 'CAUSE IN THE BACK IS THE, UH, 2017 BOND.
CAN YOU GIVE US A QUICK UPDATE OF WHERE WE ARE WITH THE BOND PROJECTS? YES.
IN FACT, UH, YESTERDAY, UH, CHERYL AND I AND BEN MARIA, PETER, UH, WHOLE GROUP, UH, WE HAD OUR MONTHLY MEETING, UH, STATUS REPORT ON THE BOND PROGRAMS. AND, UH, GLAD TO REPORT THAT WE'RE ON SCHEDULE.
WE GOT A COUPLE PROJECTS AHEAD OF SCHEDULE.
WE'RE NOT WAITING ON ANY PROJECT, SO IT'S GOOD NEWS ACROSS THE ENTIRE CITY.
SO WORKING WITH PRIVATE SECTOR CONSULTANTS, CONTRACTORS, GETTING THESE PROJECTS DEPLOYED.
SO I HAVE TO CONFESS, I KNEW THE ANSWER TO THAT, BUT I WANTED TO HIGHLIGHT IT FOR FOLKS BECAUSE WE'RE AT A HUNDRED PERCENT ON THE PROJECT TIMETABLE, UH, FOR THE LARGEST BOND, UH, IN OUR CITY'S HISTORY, WHICH IS QUITE IMPRESSIVE.
MEANWHILE, WE'RE ALSO DOING THE, THE LARGEST STREET MAINTENANCE BUDGET, THE I AND P BUDGET THAT WE'VE EVER DONE IN THE CITY.
SO YOUR SHOP IS, IS HUMMING ALONG.
UM, MY QUESTION FOR YOU LAST YEAR WAS, ARE YOU GONNA BE STAFFED APPROPRIATELY, UH, TO CONDUCT ALL THIS STUFF, THE BASIC ANNUAL STREET MAINTENANCE PROGRAM, BUT ALSO THESE, YOU KNOW, THIS GIGANTIC BOND PROGRAM? IF I'M LOOKING AT THAT MEASURE YOU'RE DOING, YOU'RE EXACTLY WHERE YOU NEED TO BE.
UM, YOU SEE THAT BEING THE CASE THROUGHOUT THE PROGRAM? SO, UH, WITH, WITH BOND PROGRAMS, YOU KNOW, WE STAFF UP AND DOWN, RIGHT, BASED ON WHERE WE'RE AT IN THE PROGRAM.
SO LAST YEAR WE PROPOSED LIKE A TWO YEAR PLAN.
UH, WE, UH, AT THE CITY MANAGER'S RECOMMENDATION, COUNCIL APPROVAL, WE ADDED SOME POSITIONS.
WE'LL CONSIDER SOME ADDITIONAL, UH, POSITIONS THROUGH THIS BUDGET CYCLE.
AND, UH, JUST BECAUSE WE'VE GOT THE PEAK OF DESIGN COMING IN INTO CONSTRUCTION.
WELL, CONGRATULATIONS AND, AND GREAT JOB TO YOU GUYS.
UM, LAST THING I WANTED JUST TO NOTE, IS THE PROPOSAL IN THERE FOR THE $15 AN HOUR, WHICH IS KEEPING WITH THE COUNCIL DIRECTION OVER THE LAST FEW YEARS TO GET TO THAT NUMBER THIS COMING YEAR? THAT'S IN ALL OF THE NUMBERS, UH, PROJECTED NOW? YES.
I THINK YOU'RE RIGHT TO BE CAUTIOUS ABOUT THE APPROACH IN TERMS OF BUDGETING FOR THE UPCOMING YEAR.
WE DO HAVE, UH, SHORTAGES IN THE FIVE YEAR FORECAST THAT WE NEED TO GUARD AGAINST, PLUS POTENTIALLY, UH, MORE DIFFICULTIES WITH THE OTHER STATE AND FEDERAL ISSUES.
SO, UM, GREAT JOB, MARIA AND, UH, THE BUDGET TEAM AND CHERYL AND YOUR TEAM MIKE, EVERYBODY THAT'S WORKING ON THIS COUNCILWOMAN GRO.
SO I WANNA THANK YOU FOR THIS.
THANK YOU, UH, CHERYL AND JUSTINA AND EVERYBODY.
I THINK I WANNA START WHERE I GUESS WE ENDED AND THAT WAS ABOUT THE, UM, TAX RATES AND A HOMESTEAD EXEMPTION AND, UM, OTHER OPTIONS THAT WE'RE LOOKING AT.
UM, BECAUSE THIS IS VERY REAL OF WHAT WE'RE DEALING WITH, AND IT WAS IN THE NEWS.
YOU ALL ARE HAVING FORUMS, UM, FOR TA UH, PROPERTY TAX APPRAISALS.
AND WE HAD ONE AS WELL IN DISTRICT THREE FOR A NEW, UH, GROUP OF RESIDENTS.
UM, AND ALL OF THIS IS CONNECTED TOGETHER, AND I REALLY DO, THIS IS THE PART OF THE JOB THAT I LOVE TALKING BUDGET.
'CAUSE THIS IS WHAT WE DO IN THE, IN THE COUNCIL.
UM, I WANTED TO TALK ABOUT A COUPLE OF THINGS.
SO SOME OF THE OTHER PROPERTY TAX BASED PROGRAMS, THE OPTIONS THAT YOU WERE GIVING WITH THE NEIGHBORHOOD AND EMPOWERMENT ZONES AND THE SEEK LEGISLATIVE CHANGES.
UM, SO JEFF WAS SOMEWHERE, I DON'T KNOW WHERE HE IS, BUT, OH, THERE YOU ARE.
UM, JEFF, I THINK WE SHOULD, AND TO MY CHAIR OF THE I G R COMMITTEE, UH, COUNCILMAN SALDANA, I THINK WE DO NEED TO LOOK AT THIS AS PUTTING INTO OUR LEGISLATIVE AGENDA TO MOVE FORWARD WITH LEGISLATIVE CHANGES WHEN IT COMES TO THE PROPERTY APPRAISALS WHEN WE HAD OUR, UM, AND I THINK WE NEED TO DO THAT MOVING FORWARD.
OUR, OUR RESIDENTS ARE ASKING FOR THIS.
THEY NEED SOME SORT OF PRESSURE VALVE, AND WE AS A CITY NEED TO MAKE SOME SORT OF A BALANCE TO THIS.
[01:10:01]
STATES ARE DOING IT IN DIFFERENT WAYS, LOOKING AT, UM, PROPERTY TAX AND VERSUS REAL PROPERTY AND JUST THE DIFFERENCE AND, AND DOLLAR AMOUNTS OR PERCENTAGES.BUT I THINK THIS IS SOMETHING THAT WE, WE CAN'T AFFORD TO WAIT ANY LONGER.
WE HAVE TO HAVE THAT AS PART OF OUR LEGISLATIVE, UH, TALKING POINTS AND CHA AND CHALLENGES FOR, FOR CLARITY, COUNCILMAN? MM-HMM.
UM, LET'S LOOK AND SEE THE PROS AND CONS OF BOTH OF THOSE ARGUMENTS AND STRATEGIES AND THEN LOOK AND SEE HOW WE MOVE FORWARD TOGETHER.
I THINK THAT'S WHAT I WOULD, UM, LIKE TO SEE.
AND YOU KNOW, AND I, I'M UNDERSTANDING THE, THE HOMESTEAD AND THE HOMESTEAD EXEMPTION.
WE ARE JUST ONE PLAYER AT A, IN A LARGER CONVERSATION WHEN IT TALKS ABOUT THE PROPERTY AND THE APPRAISALS.
SO, UM, WE NEED TO HAVE, WE NEED TO BE COGNIZANT OF THAT.
UH, ONE OF THE THINGS, I DON'T KNOW IF ANYBODY CAN TALK ABOUT THIS RIGHT NOW, BUT ONE OF THE THINGS THAT I WANNA MAKE SURE OF, BECAUSE WE HAVE THE, THE, UM, PROGRAMS LIKE UNDER ONE ROOF, WE HAVE MINOR HOME REPAIR, WE HAVE REHAB ORAMA.
UM, DO WE COUNSEL, OR DO WE HELP THOSE RESIDENTS WHO ARE GETTING THESE DOLLARS TO KNOW THAT WITH THESE IMPROVEMENTS COMING ONTO THEIR AREA, THAT THEY COULD SEE A CHANGE IN THEIR PROPERTY AND THEIR APPRAISALS WITH THIS? DO WE, DO WE TALK TO THEM ABOUT THIS? DO THEY GET BRIEFED ON IT? I THINK IF NOBODY'S HERE, WHO CAN ANSWER THAT QUESTION? UM, I THINK YES.
UH, YOU MEANT THE, THE ROOF PROGRAM? YEAH.
'CAUSE I, I, THIS IS PART OF HOW WE DEVELOP THE PROGRAM.
UH, THE ROOF, THE PROGRAM AS WE DO IT, IS, IS SEEN AS A MAINTENANCE ITEM AND NOT, NOT AS ADDED VALUE OKAY.
SO, NO, THE, THE ANSWER IS A ROOF IS, IS, IS MAINTENANCE AND NOT SEEN AS AN ADDED VALUE TO, TO PROPERTY DOWN.
IF THEY DID ADD SOMETHING THAT THEY WOULD, THEY WOULD SEE A, A RISE IN THEIR PROPERTY VALUATION.
THANK YOU FOR THE UNDER ONE ROOF.
I JUST NEED TO MAKE SURE THAT THAT'S THE SAME AS WE'RE LOOKING AT REHAB ORAMA AND OUR PROGRAMS WITH MINOR HOME REPAIR.
AND IF IT'S JUST MAINTENANCE OR IF IT'S, UM, IF IT'S MINOR HOME REPAIR OR REHAB ORAMA TOO WITH THE, OUR PROGRAMS WITH OFFICE OF HISTORIC PRESERVATION, WE NEED TO MAKE SURE THAT WE HAVE THAT FOLLOW UP WITH OUR RESIDENTS, UM, AND OUR GROUP.
PETER, DID YOU WANNA SAY SOMETHING? YEAH, WE, UH, CURRENTLY I DON'T BELIEVE THAT WE DO THAT COUNCILWOMAN, BUT WE CAN, WE CAN ADVISE THEM THAT IT COULD HAVE A POTENTIAL.
WE DON'T FEEL THAT IT HAS A MAJOR IMPACT ON THE APPRAISED VALUE OF THE HOME.
SO I JUST WANNA MAKE SURE THAT WE DO HAVE THAT CONNECTION AND WE CAN CONTINUE THAT LINK WITH THE RESIDENTS IF THEY DO SEE SOMETHING LIKE THAT, THAT WE CAN HAVE THAT KIND OF A, A, A BACKUP FOR THEM.
WE DO SIT DOWN WITH EVERY CLIENT SO WE, YEAH.
UH, WE CAN HAVE THESE CONVERSATIONS WITH THEM.
UM, NEXT I DID WANT TO TALK ABOUT, YOU KNOW, WHEN WE'RE LOOKING AND WHY THIS IS ALSO IMPORTANT AND HOW WE HAVE TO LOOK AT EVERYTHING NOT IN CATEGORIES ANYMORE, BUT AS HOLISTICALLY.
UM, AND I'M GOING TO TALK ABOUT SOMETHING THAT WE TALKED ABOUT LAST WEEK AND WE'RE TALKING ABOUT, AND WHY I THINK WE NEED TO LOOK AT THIS IN OUR LEGISLATIVE AGENDA CHANGES, UM, FOR 2019 IS BECAUSE WE ARE HAVING THE CONVERSATION WITH SHORT-TERM RENTALS.
WE ARE HAVING THE CONVERSATIONS AND HOW WE LOOK AT THE SHORT TERM RENTALS.
YOU KNOW, IF HOUSES IN A CERTAIN NEIGHBORHOOD ARE BEING BOUGHT AND SOLD AT A HIGHER RATE THAN MY NEIGHBOR WHO HAS THEIR HOUSE, WHO DOESN'T HAVE A MORTGAGE, WHO OWNS IT AND IS PAYING HAS IT $80,000, BUT THEN THE THREE HOUSES DOWN THE STREET ARE NOW BEING BOUGHT AND SOLD FOR 150, $200,000, THEN THAT IS GOING TO IMPACT THEM THAT WE ARE MAKING A CHANGE.
SO WE NEED TO HAVE THIS CONVERSATION, UM, ESPECIALLY IF WE KNOW THAT SHORT TERM RENTALS IS PROBABLY ALSO GOING TO BE A TOPIC OF CONVERSATION AT THE STATE AGENDA TOO.
SO WE HAVE TO HAVE THAT AS PART OF OUR, OUR SCOPE AS WE'RE LOOKING AT THINGS.
UM, I DID WANT TO, SO I THINK I'M GONNA PUT MY, UM, NO, I HAVE ONE MORE.
UH, WHEN IT COMES TO TELECOMMUNICATIONS AND THE CHANGES THAT HAPPENED IN THE STATE LEDGE JUST THIS PAST, UH, SESSION, JEFF ON, UH, THE RIGHT OF WAY CHANGES AND THE RIGHT OF WAY FEES, DID THAT HAVE AN IMPACT ON OUR BUDGET? SEE, DID IT HAVE AN IMPACT ON OUR BUDGET AND ARE WE GOING TO SEE IT, UM, WITH AN IMPACT ON OUR BUDGET IN THE FIVE-YEAR FORECAST? THE LEGISLATION DID REDUCE THE AMOUNT OF FEE THAT WE COULD CHARGE.
[01:15:01]
ACTUAL IMPACT HAS BEEN.UH, DO YOU BEN OR IS THAT SOMETHING WE, I'M GONNA HAVE TO GO BACK AND LOOK AT THAT ONE.
BUT WHAT I RECALL ON THAT PARTICULAR PIECE OF LEGISLATION, IT DEALT MORE WITH UM, UM, SPECIFIC KIND OF POINT TO POINT LICENSE AGREEMENTS WHERE WE'RE CHARGING A PER LINEAR FOOT CHARGE AND IT REDUCED THAT AMOUNT.
I DON'T THINK IT WAS A BIG DOLLAR IMPACT FOR US.
ALL THE, UM, TELECOMMUNICATIONS FEES THAT, THAT TELECOMMUNICATIONS PROVIDERS PAY ON LIKE LANDLINES MM-HMM.
THEY WERE NOT AFFECTED BY THIS LEGISLATION.
THE SMALL CELL NODES, I THINK.
SO THIS WAS MORE LIMITING OUR FUTURE REVENUE AS THAT AREA CONTINUES TO GROW.
'CAUSE THAT'S REALLY WHERE THINGS ARE MOVING.
IT'S REALLY GONNA IMPACT US THERE.
AND THEN THE OTHER THING WE'RE SEEING, AND I CAN GET MORE INFORMATION, I DONT THINK BROUGHT IT WITH ME, BUT, UH, I THINK I'D SEE THAT IN THE FIVE-YEAR FORECAST IF IT IS GOING TO HAVE AN IMPACT WITH THE FIVE-YEAR FORECAST, UM, IF IT'S A BIG IMPACT OR NOT.
I THINK WE NEED TO HAVE THAT INFORMATION AS WE'RE PLANNING FORWARD.
I THINK WE CAN PULL THAT INFORMATION FOR YOU.
AND THEN THE OTHER PART I WOULD WANT TO SHARE WITH YOU IS THAT THAT SMALL CELL TECHNOLOGY AND AS THINGS KIND OF MOVE MORE TO A WIRELESS ENVIRONMENT MM-HMM.
IN PEOPLE'S HOMES, WE'RE SEEING DECLINES THERE AS YOU WOULD EXPECT, YOU KNOW, WITH MORE PEOPLE RELYING SOLELY ON THEIR CELL PHONES FOR SERVICE.
SO WE'RE GONNA SEE SOME TRENDS AND THINGS CHANGING THERE.
UM, AND ALSO PROBABLY ON THE CABLE SIDE, AS YOU HAVE DIFFERENT, UM, PRODUCTS AND OPTIONS COMING OUT SURE.
THAT ARE, THAT ARE AWAY FROM YOUR TRADITIONAL CABLE TYPE DELIVERY MM-HMM.
WE'RE CERTAINLY STARTING TO SEE TRENDS MOVE IN A NEGATIVE DIRECTION IN TERMS OF SOME OF THOSE REVENUES.
AND I CAN GET YOU MORE INFORMATION ON THAT.
AND BEN, I DO WANT YOU TO REPEAT THE NUMBER FOR ME THAT YOU DID ON SLIDE 51 FROM THE PROPERTY TAX ROLLBACK RATE FROM 8% TO 2.5%.
WHAT WAS THAT NUMBER THAT YOU GAVE? SO THERE, SO THE IMPACT TO US CUMULATIVELY, IF WE, IF THIS HAD BEEN IN PLACE FOR THE PAST 10 YEARS, THE CITY WOULD'VE FOREGONE 300 HUNDRED $40 MILLION IN REVENUE.
THE AVERAGE HOMEOWNER WOULD BE SAVING UP ABOUT $4 AND 74 CENTS MONTHLY ON AVERAGE.
AND THE GENERAL FUND TODAY, THE ACTUAL GENERAL FUND BUDGET WOULD BE $81.2 MILLION LESS THAN IT IS TODAY.
UM, DID YOU WANNA SAY SOMETHING MARIA? I'M SORRY, COUNCILWOMAN, I JUST WANTED TO ADD SOME INFORMATION ON TO YOUR QUESTION REGARDING TELECOMMUNICATION FEES.
AS BEN MENTIONED, WE ARE SEEING LESS SUBSCRIBERS AS THERE'S MORE, UM, INTERNET OPTIONS, UH, IN INDIVIDUALS ARE SWITCHING TO SATELLITE OR INTERNET.
SO FOR THE CURRENT FISCAL YEAR, OUR REVENUES WERE IMPACTED $1.8 MILLION.
SO WE ARE RECEIVING $1.8 MILLION LESS IN THAT REVENUE LINE ITEM.
NOTHING TO DO WITH THE FEES, BUT THERE'S JUST LESS CUSTOMERS THAT ARE USING LANDLINES.
SWITCHING MORE TO INTERNET AND SATELLITE.
AND THAT IS ALREADY BUILT IN THE FIVE YEAR FORECAST.
UM, NOW MOVING FORWARD, UH, NOW GOING BACK TO THE BEGINNING, UH, SO FOR THE, YOU'VE GIVEN US THE UPDATE FOR THE GENERAL FUND AND SOME RESTRICTED FUNDS, BUT NOT THE CAPITAL BUDGET.
SO DO WE, IS WHAT IS WITH THE CAPITAL BUDGET RIGHT NOW, ARE WE ON BUDGET WITH THAT? OUR CAPITAL PROGRAM IS BEING DELIVERED WITH A BUDGET.
WHAT WE WILL DO IN THE NEXT COUPLE OF MONTHS IS LOOK AT THOSE PROJECTS THAT HAVE BEEN COMPLETED AND IF THERE'S ANY BALANCES LEFT THAT WE COULD REPROGRAM THOSE LIKE WE DID LAST YEAR FOR STREET MAINTENANCE.
BUT RIGHT NOW THERE'S NO, UM, UM, ANY SHORTAGES OR ANY NEED FOR AN ADDITIONAL FUNDING.
AND I DID HAVE A QUESTION ON SLIDE NUMBER SEVEN WHEN YOU TALKED.
UH, SO THIS IS THE, FOR THE SALES TAX AND WE'RE LOOKING AT MARCH, WE WERE ESTIMATING 21 MILLION FROM THE FINAL FOUR AS WELL, THE FINAL FOUR.
WE WON'T RECEIVE THOSE DOLLARS UNTIL APRIL.
THANK YOU FOR THAT CLARIFICATION.
UM, AND I THINK GOING BACK TO JUST, I THINK IT'S ALL A COMBINATION OF SPEAK UP ESSAY, SPEAK UP OR SPEAK UP ESSAY, UM, ESSAY SPEAK UP ESSAY SPEAK UP ESSAY SPEAK UP.
AND WITH, UM, ALL OF THE INFORMATION THAT WE PUT OUT WHEN TALKING ABOUT THE APPRAISALS TOO, I THINK WE NEED TO BE CLEAR OF THIS DISTRIBUTION OF THE PROPERTY TAX BILL.
AND A LOT OF THE, THE THINGS THAT I'M SEEING, AND I'M READING AND I'M HEARING IS WE, IT'S THE CITY DOING THIS, VOTE THEM OUT CITY DOING THIS CITY DOING THIS.
UM, BUT THERE IS, YOU KNOW, WE DO NEED TO HAVE
[01:20:01]
A RELEASE VALVE SOMEWHERE.SO I'M LOOKING FORWARD TO HEARING MORE OF THE JUST OPTIONS.
I THINK THAT WE REALLY NEED TO LOOK AT IF THERE'S OPTIONS THAT WE CAN, CAN SEE TO HAVE THIS, UM, KIND OF RELIEF VALVE THAT IS THERE.
MOVING WITH THE GENERAL FUND ASSUMPTIONS.
ONE OF THE GENERAL FUND ASSUMPTIONS THAT I DON'T SEE HERE, UH, BUT I'LL SAY IT ANYWAY, IS THE, UM, THAT WE ARE NOT GOING TO ABANDON OUR EQUITY MODEL, HOW WE'RE LOOKING WITH THE EQUITY MODEL.
I THINK, UM, BECAUSE WE JUST STARTED IT LAST YEAR, I'D STILL LIKE TO SEE THIS UP ON OUR GENERAL FUND ASSUMPTIONS THAT WE'RE WORKING THROUGH AN EQUITY MODEL FOR OUR COMMUNITY RIGHT NOW.
UM, AND I DID WANNA ASK JUST WHAT IS HAPPENING WITH THE EQUITY OFFICE NOW THAT KAREN, WE'VE LOST KI AND SO WHAT IS, WHAT IS HAPPENING NOW? SO ALEX LOPEZ MM-HMM.
WAS APPOINTED INTERIM DIRECTOR.
IN FACT, SHE TRANSITIONED WITH KIERAN BEFORE KIERAN LEFT, AND WE'RE CONTINUING THE PROGRAM OKAY.
AND ONE COMMENT ABOUT, UM, WHAT YOU WERE SAYING WITH REGARD TO THE PROPERTY TAX.
SO YOU ALL MAY DECIDE ON THE HOMESTEAD EXEMPTION, THAT MAY BE SOMETHING YOU DECIDE TO DO IN THE FUTURE.
YOU MENTIONED COUNCILWOMAN VIA GRAND THAT THERE ARE OTHER TAXING UNITS.
SO BECAUSE WE ARE LESS THAN A QUARTER OF THE PROPERTY TAX BILL, THAT IS THE CITY OF SAN ANTONIO RE RECEIVES LESS THAN A QUARTER, HALF OF IT GOES TO THE PUBLIC SCHOOLS, A QUARTER TO THE COUNTY, AND MM-HMM.
AND THEN, UM, THE SMALLEST PORTION COMES TO THE CITY IF YOU GRANT A HOMESTEAD EXEMPTION THAT'S JUST ON THE PORTION OF THE BILL PERTAINING TO THE CITY.
AND THERE'S NOTHING TO STOP THE SCHOOL DISTRICTS OR ONE OF THE OTHER TAXING UNITS FROM INCREASING THEIR RATE.
THAT CAPACITY, SO THE CONTROL OF THE CITY COUNCIL IS LIMITED TO, TO THE CITY.
SO WE COULD SAY, WE'RE GOING TO DO THIS, THERE'S A REDUCTION IN YOUR, YOUR TAXES.
AND THEN THEY GET THEIR TAX BILL, AND IT COULD BE HIGHER IF THE SCHOOL DISTRICTS AND SEVERAL OF THE DISTRICTS ARE TALKING ABOUT INCREASES FOR OPERATING BUDGET AS WELL AS CAPITAL PROGRAMS. SO IT'S COMPLICATED MM-HMM.
WE ONLY HAVE JURISDICTION OVER THE CITY'S PORTION OF THE RATE.
AND SO THAT'S WHY THIS IS A VERY, UM, INTRICATE AND THE COMPLEXITIES AND EVERYONE'S INTERCONNECTED HERE.
SO WE NEED TO MAKE SURE THAT WE, WE CONTINUE TO, TO PUSH THAT MESSAGING ALONG.
BUT IT'S MORE THAN JUST MESSAGING.
IT IS, IT IS TRYING TO MAKE THE DELIVERABLES OF WHAT WE CAN DO FOR OUR CITY AS WELL.
UM, AND ON THAT NOTE, I DID WANT TO TALK RIGHT NOW WITH, UH, MOVING FORWARD IN THE GENERAL FUND AND LOOKING AT, WHEN WE'RE TALKING ABOUT EQUITY TWO IS A POLICE SUBSTATION IN DISTRICT THREE, BECAUSE WE ARE HAVING TO PULL FROM BOTH THE EAST SIDE SUB AND THE SOUTH SUB OVER THERE.
AND AS WE CONTINUE TO GROW IN THE AREA WITH ONE OF THE, THE SECOND FASTEST GROWING ZIP CODE IN 2017, WE'RE GOING TO HAVE TO DELIVER ON PUBLIC SAFETY AND OFFICERS FOR THIS AREA.
AND THIS IS ONE OF THE THINGS THAT MY RESIDENTS BRING UP EVERY SINGLE MEETING THAT WE'RE TALKING TO.
AND I'LL BE SURE, JEFF, TO MAKE SURE THAT THEY FILL IN EVERYTHING THEY NEED TO ON THIS SPEAK UP CAMPAIGN TOO.
UM, BUT ON THAT NOTE, I DID ALSO WANT TO SAY THAT TODAY IS WORLD HERITAGE DAY, EVERYONE.
AND, UM, THE THEME FOR TODAY IS HERITAGE FOR GENERATIONS.
AND THAT'S WHAT WE'RE DOING WITH OUR PLANNING FOR OUR FUTURE AND OUR BUDGET.
AND I KNOW THAT STATE REPRESENTATIVE DIEGO BURNELL IS PUTTING SOMETHING FORWARD WHEN IT'S TALKING ABOUT EXEMPTIONS AND PROPERTY APPRAISALS THAT HE'S WORKING WITH PUBLIC SCHOOL FINANCE AND THE BALANCING OF PROPERTY APPRAISALS.
AND WE NEED TO MAKE SURE THAT THOSE WHO ARE REPRESENTING US IN THE STATE OF TEXAS ARE DOING SO.
AND ARE, THIS IS WHY LOCAL CONTROL IS SO IMPORTANT RIGHT NOW BECAUSE WE CAN INCREASE OR DECREASE THIS TAX RATE.
AND WE ARE LISTENING TO OUR COMMUNITY AND WE ARE TRYING TO BE THESE PRESSURE VALVES.
UM, SO I WOULD JUST HOPE THAT IF WE'RE GOING TO HAVE HERITAGE FOR GENERATIONS, THAT OUR STATE SENATORS AND OUR STATE REPRESENTATIVES WOULD ALSO STEP UP AND DO THE SAME.
I'D LIKE TO GO AND TAKE A, A LOOK ON, MIC ON.
I'D LIKE TO GO AND, UM, GO BACK TO PAGE 21.
[01:25:01]
AND WE WERE TALKING ABOUT SALARIES FOR EMPLOYEES.PART OF THAT, I BELIEVE, AND I WANTED TO KNOW, DOES THE, UH, CIVILIAN STEP INCREASE THAT'S LISTED ON THIS PAGE INCLUDE THE 1% COST OF ADJUSTMENT? COST OF LIVING ADJUSTMENT? NO.
SO IT'S THE STEP THAT, UM, FOR THOSE ELIGIBLE EMPLOYEES, UH, AND THERE'S ALSO AN ADDITION TO THAT, A 1% COST OF LIVING ADJUSTMENT FOR ALL EMPLOYEES.
SO IF THEY MAY MOVE UP A STEP AND THEN THEY'LL ALSO GET ON TOP OF THAT 1% INCREASE.
ANOTHER QUESTION ON PAGE 23, WHEN, UH, WE TALKED ABOUT SOME PROGRAMS, UH, POLICY PROGRAMS THAT WE'VE BEEN TALKING ABOUT.
UM, ONE OF THE THINGS I NOTICED, AND I THINK IT WAS ALSO ON PAGE 22, IS WE DIDN'T ALLUDE TO THE ADDITIONAL FUNDING FOR VIA, WE GAVE 4.3, I BELIEVE, AND WE WERE SAYING WE WANTED TO GIVE UP TO 10 THIS YEAR.
SO THAT THAT IS PROJECTED TO BE YES.
WHAT WE GIVE BASED ON THE COUNCIL.
THAT WAS POLICY DIRECTION FROM THE COUNCIL JUST AS THE $15 PER HOUR TO ACHIEVE THAT IN NEXT YEAR'S BUDGET.
IT WAS ALSO TO INCLUDE THE VIA FUNDING.
SO THAT IS INCLUDED IN THE BASE BUDGET.
I JUST SAW THE 15 AND I JUST DIDN'T SEE THE OTHER.
NOW, UM, ON PAGE 32, WE TALKED ABOUT, UH, THE COST OF THE TRASH CANS AND, YOU KNOW, SOLID WASTE.
UH, WHY, UH, ARE WE SHOWING PARTS OF A DOLLAR LIKE 93 CENTS, 43 68 18? WHY NOT ROUND OR DOWN TO THE WHOLE DOLLAR? IT SEEMS THAT WOULD BE MAKE A LOT MORE SENSE TO THE AVERAGE CITIZEN.
SO IS THERE SOME EXPLANATION FOR THAT? WE HAVE USED, UH, THIS AMOUNT JUST TO DO OUR REVENUE PROJECTIONS, BUT WE CAN, WE CAN DEFINITELY JUST ROUND IT UP AND SHOULDN'T BE A PROBLEM.
DAVID, DO YOU HAVE ANYTHING TO ADD TO THAT? BECAUSE WE CERTAINLY CAN COUNCILMAN IT KEEPS IT SIMPLER FOR SURE.
ONE OF THE IDEALS IS TO SLOWLY WORK ON THE INCENTIVE ITSELF AND THE 50 CENT IS WHAT WE TARGETED FOR JUST LAST YEAR AND ANOTHER 50 CENTS THIS YEAR.
SO IT IS PROJECTED AT 50 CENTS, BUT AT THE SAME TIME, THE MEDIUM-SIZED CART THAT'S AT 64 GALLONS IS DESIGNED TO STAY WHERE IT IS THE 96 GALLON IS.
WE WORK TO GET FOLKS INCENTIVIZED TO RECYCLE AS MUCH IN THE BLUE AND THE GREEN CART.
THEN WE'LL TRY TO, THAT PARTICULAR PRICE CONTINUES TO GO UP.
NO, I HAVE NO PROBLEMS WITH THOSE GENERAL PRICES, BUT IT'S THE PENNIES, THE 68 AND THE 93 INSTEAD OF ROUNDING IT OFF, UP OR DOWN TO THE EVEN DOLLAR.
THIS IS BASED ON PERCENTAGES, SO IT'S REALLY A MATHEMATICAL THING, BUT FOR PUBLIC CONSUMPTION.
IF IT'S 24 98, WE'LL ROUND UP TO 25.
I'M A SIMPLE MATH GUY, SO I APPRECIATE THAT.
UH, I'D LIKE TO, UH, VISIT A FEW MINUTES, UH, ABOUT THE POSSIBILITY OF, UH, GIVING SOME TAX RELIEF.
AND, YOU KNOW, I, WHEN I FIRST CONSIDERED THIS AS A CANDIDATE AND, AND WHEN I WAS ELECTED, I FELT, AND I STILL FEEL STRONGLY THAT, UH, YOU KNOW, PEOPLE IN OUR COMMUNITY DESERVE TAX RELIEF.
AND I WOULD HAVE TO SAY THAT, UH, I RECOGNIZE THAT EVERYBODY IN THIS COUNTRY JUST GOT SOME TAX RELIEF WITH THE, UH, LAST TAX BILL THAT WAS PASSED.
BUT I'VE GOT A COUPLE OF QUESTIONS ABOUT OUR SITUATION IN SAN ANTONIO.
CAN SOMEONE TELL ME HOW MUCH DO WE RECEIVE FROM WASHINGTON AND FEDERAL FUNDS FOR LOCAL PROGRAMS OR SERVICES? UH, KIND OF AN ANNUAL FIGURE? YES, WE HAVE THAT.
I THINK IT'S ROUGHLY ABOUT 150 MILLION ANNUALLY.
AND THAT INCLUDES GRANTS THAT WE GET FOR HEADSTART, UH, IN CHILDCARE SERVICES.
THOSE ARE THE LARGEST GRANTS, UM, GRANTS THAT WE GET FOR HEALTH AND HUMAN SERVICES PRIMARILY.
IS THAT ABOUT RIGHT? IT'S 124 MILLION.
AND IS THAT DIRECT IN FEDERAL FUNDS? NOT THROUGH THE STATE, BUT DIRECTLY TO US.
AND, AND THE STATE SERVES AS THROUGH WELL, THAT'S OTHER QUESTION AGENCY.
SO, UM, DO WE KNOW HOW MANY RESIDENTS THESE FEDERAL FUNDS DIRECTLY IMPACT? WE DO.
I DON'T HAVE THAT WITH ME, BUT WE COULD PROVIDE YOU WITH THAT INFORMATION.
ANYONE TRACKING ANYONE? ANY IDEA? ARE WE TALKING ABOUT 50,000 PEOPLE IN OUR CITY? 150,000, 10,000? UM, WE DON'T KNOW.
AND THEN MY NEXT QUESTION WAS HOW MUCH DO WE, WE RECEIVE FROM AUSTIN IN STATE FUNDS FOR LOCAL PROGRAMS? AND I REALIZE SOME OF THOSE ARE
[01:30:01]
PASS THROUGHS FROM THE FEDERAL GOVERNMENT.BUT SOME OF THEM ARE DIRECT STATE FUNDS AS WELL.
SO WHAT ARE THOSE KINDS OF FIGURES? WE RECEIVED $15 MILLION IN STATE, UH, GRANT FUNDING.
AND ARE SOME OF THAT PASS THROUGH OF FEDERAL MONEY, OR IS SO IT'S A COMBINATION OF STATE DIRECT AND PASS THROUGH AND STATE FUNDING.
WELL, YEAH, NOT, NOT PASS THROUGHS.
BUT, AND AGAIN, I GUESS WE DON'T KNOW HOW MANY PEOPLE ARE IMPACTED BY THAT EITHER.
SO WE'LL BE HAPPY TO PROVIDE THAT TO YOU.
WELL, I GUESS, YOU KNOW, MY MY POINT IS THAT WE KNOW THAT THE FEDERAL GOVERNMENT'S JUST PASSED A BIG TAX CUT AND NO ONE KNOWS WHAT THE EFFECT IS GONNA BE ON THE 2020 FEDERAL BUDGET.
BUT WE DO KNOW THAT THERE'S A LOT OF TALK ABOUT MAKING CUTS TO MANY PROGRAMS THAT WE RECEIVE FUNDING FROM.
UH, AND AT THE SAME TIME, WE'RE HEARING OUR ELECTED OFFICIALS WHO ARE RUNNING FOR REELECTION, MAKING THOSE SAME CLAIMS THAT THEY WANT TO CUT TAXES FOR THE PEOPLE IN TEXAS.
WELL, THE FEDERAL GOVERNMENT'S ALREADY DONE IT, AND THEY'RE GOING TO HAVE TO REDUCE SPENDING BECAUSE THEY'RE GONNA TAKE IN LESS REVENUE WITH THE TAX CUTS THEY'VE HAD.
SO WE'RE GONNA RECEIVE MORE FEDERAL TAX CUTS, AND WE KNOW OUR STATE LEADERS WANT TO CUT TAXES.
SO I DON'T SEE HOW IT'S POSSIBLE FOR US AT THIS POINT IN TIME TO GRANT A HOMESTEAD EXEMPTION, A REDUCTION IN TAXES LOCALLY, UH, BECAUSE WE SIMPLY CAN'T LIVE WITH SUCH STEEP DECLINES FEDERALLY STATE, AND THEN LOCALLY ON TOP OF THAT AND SUPPLY THE LEVEL OF SERVICES THAT WE SUPPLY.
AND I REALLY BELIEVE PEOPLE ARE OVERTAXED AND I UNDERSTAND THAT, BUT I THINK RELIEF IS ON THE WAY THEY'VE RECEIVED SOME, THEY'RE GOING TO RECEIVE MORE, BUT I DON'T THINK THE CITY CAN AFFORD TO BE ONE OF THOSE PARTIES THAT GIVES FURTHER TAX CUTS BECAUSE WE'RE NOT GONNA BE ABLE TO PROVIDE THE, THE SERVICES THAT PEOPLE DEMAND OF US.
SO I JUST WANTED TO HAVE PEOPLE THINK ABOUT THAT.
UM, GREAT PRESENTATIONS, UH, A LOT OF NUMBERS AND, UH, IT'S GOING TO, YOU KNOW, CAN'T WAIT TO SEE, UH, WHAT THE NEXT, UH, SESSION WILL BRING.
BUT I DO HAVE SOME QUESTIONS AND, AND SOME COMMENTS.
UM, UH, YOU MENTIONED OUR SAVINGS ACCOUNT.
HOW MUCH YOU SAID WE'RE HOLDING AT 15%, I THOUGHT WE HAD ABOVE 15%.
SO OUR GOAL IS, OUR TARGET IS THE MINIMUM OF 15%.
SO THE FINANCIAL FORECAST FROM 2019 THROUGH 2023 MAINTAINS THAT 15% TODAY BECAUSE WE ARE AHEAD $13.2 MILLION MORE, WE ARE ROUGHLY, UH, ABOUT 15.3%.
AND WHAT DOES THAT 0.3% EQUATE TO IN DOLLARS? YES.
THAT'S THE $13 MILLION THAT I MENTIONED.
UM, GOING BACK TO SLIDE 16, 17 AND 18 MUST BE 17.
UM, YOU SHOW A CONSTANT, UM, PERCENT CHANGE OF 3% IN THE OUT YEARS, STARTING WITH 4% AT 2020.
AND, AND THAT WAS ON ANOTHER CHART ALSO ON SEVEN, UH, SLIDE 15, 15 MM-HMM.
UM, YOU KNOW, I, I, THERE YOU GO.
I I'M A LITTLE CONFUSED ABOUT THAT BECAUSE, YOU KNOW, WE KEEP, WE KEEP TELLING EVERYONE THAT WE'RE GONNA BE GETTING A MILLION NEW PEOPLE HERE WITHIN THE NEXT 10, 20 YEARS.
UM, AND THAT'S NOT GONNA HAPPEN ALL AT ONCE.
I WOULD EXPECT THAT THIS, THIS GROWTH WOULD BE COMMENSURATE TO OUR GROWTH HERE IN SAN ANTONIO WITH NEW SALES TAX, NEW REVENUE, UH, PROPERTY TAX, ALL OF THAT.
UH, I, I JUST DON'T UNDERSTAND WHY WE'RE HOLDING IT AT THAT PERCENTAGE IN THE OUT YEARS WITH THE GROWTH THAT WE'RE PROJECTED TO COME UP.
BEN'S COMING UP, BUT THE AVERAGE GROWTH RATE OVER TIME WITH UP AND DOWN IS 3.7.
SO YOU CAN SEE THE 3% THERE, THE BASE VALUE GROWTH AND THE NEW GROWTH.
[01:35:01]
WELL, BUT IS THAT, ARE WE EQUATING THAT TO THIS MILLION PLUS PEOPLE COMING IN OVER THE NEXT 20 YEARS? WELL, I THINK THAT THE, WHEN YOU LOOK AT THE PROJECTION, THE MILLION IS GONNA HAPPEN OVER THE NEXT 20 YEARS.WE'RE GIVING YOU A FIVE YEAR SNAPSHOT.
AND SO, YOU KNOW, WHEN YOU LOOK AT HISTORICAL GROWTH, UM, CAN YOU GO BACK TO SLIDE 17, OR I GUESS I CAN, WHEN YOU LOOK AT THE CHANGE HAPPENING THERE EVERY YEAR, AND AGAIN, THIS IS TOTAL, SO THIS IS BASE VALUE, THIS IS NEW IMPROVEMENTS, THIS IS EVERYTHING.
SO WHEN YOU LOOK AT THAT CHANGE GOING FROM OH EIGHT TO OH 19, IT'S ABOUT 5.8.
THE, WHAT WE'RE DOING IN THE FORECAST.
WHEN YOU LOOK AT THE POPULATION GROWTH AND THE CHANGE THAT'S HAPPENING OVER A VERY LONG PERIOD OF TIME, WE'RE GONNA STAY SOMEWHAT MODERATELY CONSERVATIVE IN THE FORECAST.
BECAUSE WHEN YOU LOOK AT SOMETHING LIKE, UM, 2009 TO 2013, IF WE GOT AGGRESSIVE WITH REALLY AGGRESSIVE WITH PROPERTY TAX PROJECTIONS OR ANY OF OUR PROJECTIONS, AND YOU SEE THAT KIND OF RECESSION HIT AND YOU'VE ADDED RESOURCES AROUND SOMETHING LIKE THAT, YOU WOULD BE TALKING ABOUT A MASSIVE SWING IN THE AMOUNT OF SERVICES WE WOULD BE ABLE TO PROVIDE.
THIS IS AN INCREMENTAL THING WHERE WE'RE LOOKING AT IT EVERY YEAR.
THIS YEAR IS ANOTHER GOOD EXAMPLE WHERE YOU SAW THE PRESS RELEASE FOR THE BEAR APPRAISAL DISTRICT, COUNTY VALUES ARE UP 9%, WE'RE UP ABOUT 8.3% IN THE CITY, BUT AT THE END OF THE DAY, WE THINK WE'RE GONNA BE AT ABOUT 5.5%.
I THINK THAT'S PROBABLY A LITTLE BIT AGGRESSIVE.
THAT ASSUMES ABOUT THREE, $3 BILLION IN VALUE LOSS THROUGH APPEALS.
THE LAST TWO YEARS, WE'VE LOST SOMEWHERE BETWEEN 3.2 AND $3.7 BILLION IN VALUE.
SO THE MORE VALUE, UM, WE LOSE, THE LOWER THAT NUMBER IS GOING TO BE IN TERMS OF THE TOTAL GROWTH.
SO IT'S, I GUESS I'D SUMMARIZE IT BY SAYING MODERATELY CONSERVATIVE IN TERMS OF THE PROJECTIONS, BUT EACH YEAR FOR NEXT YEAR'S BUDGET, WE BASED IT ON THE INFORMATION THAT WE HAVE.
AND THAT COULD BE UP, THAT'S WHY YOU SEE 5.5% FOR NEXT YEAR BASED ON WHAT BEN JUST DESCRIBED.
BUT TO DO THAT IN THE OUTER YEARS, LET'S TAKE BACK IN 20 10, 20 11, WE ACTUALLY COLLECTED LESS REVENUE YEAR OVER YEAR, AND THE COUNCIL DID NOT CHOOSE TO INCREASE THE TAX RATE, SO WE HAD TO CUT SERVICES.
SO IF YOU'RE TOO AGGRESSIVE AND YOU'VE BUILT ALL THOSE EXPENSES INTO YOUR BUDGET, THAT'S A LOT OF SERVICES THEN TO CUT DRAMATICALLY.
SO WE, WE TRY TO BE IN THE FORECAST, MODERATELY CONSERVATIVE, BUT IN THE, THE CLOSE YEAR, WE HAVE MORE INFORMATION TO BASE THAT ESTIMATE MORE REALISTICALLY MM-HMM.
BUT KNOWING TODAY THAT THERE WILL BE SO MANY APPEALS, WE BASE THAT ON WHAT DO THEY GENERALLY GRANT BASED UPON HISTORICALLY, UM, AND THEN USE THE 5.5, THAT'S WHERE WE ESTIMATE IT WILL END UP.
AND OF COURSE, WE GET THAT ACTUAL TAX ROLL THE LAST WEEK IN JULY.
SO WE'LL USE THE ACTUAL NUMBER FOR THE BUDGET THAT'S PROPOSED IN AUGUST.
UM, AND I'M ALL, I'M TRYING TO, AND I'M TRYING TO EQUATE THIS BACK TO WHEN WE HAVE TO MAKE THAT DECISION ON THE HOMESTEAD EXEMPTION.
UM, WE'RE NOT GONNA GET THAT INFORMATION IN TIME TO HELP MAKE THAT DECISION.
BUT THAT'S A STATE LAW THAT REQUIRES YOU TO MAKE THE DECISION ON A HOMESTEAD BEFORE JULY ONE.
YOU'RE TALKING ABOUT IN TERMS OF THE 5.5% GROWTH FOR NEXT YEAR, WE'LL, WE'LL START TO GET UPDATES PROBABLY WITHIN A COUPLE OF WEEKS.
I DON'T, I MEAN, WE'LL KNOW WHAT'S HAPPENING WITH APPEALS.
UM, WE CAN PROBABLY GIVE YOU AN UPDATE, BUT I, I REALLY DON'T EXPECT IT TO SWING MUCH OFF OF THAT 5.5% ONE WAY OR THE OTHER.
UH, GOING BACK TO THAT, UM, THE HOMESTEAD, UH, HOMESTEAD CHART WHERE IT GIVES THE, UH, ESTIMATES ACROSS THE CHART, I DON'T KNOW, I DIDN'T WRITE DOWN THE NUMBER.
SLIDE 47 MAYBE? YES, THAT'S IT.
UH, WHAT IS, YOU KNOW, YOU HAVE DIFFERENT VALUES UP THERE, BUT WHAT'S OUR AVERAGE VALUE HERE IN TOWN? WHAT, WHAT LINE ARE WE TALKING ABOUT? UH, AVERAGE HOMESTEAD'S 168,000 A HUNDRED, $168,000 OKAY.
SO YOU'RE TALKING BETWEEN THE 102 HUNDRED THEN? YES, SIR.
SO SOMEWHERE THE NUMBERS ON EACH ONE OF THOSE CATEGORIES ARE SOMEWHERE IN BETWEEN ABOUT HALFWAY BETWEEN THE TWO.
SO, UM, THERE, WHY, WHY IS A LEGISLATURE LOOKING AT THIS? I DON'T KNOW, JEFF,
[01:40:01]
MAYBE YOU CAN ENLIGHTEN US.WHY, WHY IS A LEGISLATURE CONCERNED ABOUT PROPERTY TAXES? WELL, UM,
UM, THE, IT'S, UH, POLITICAL IN ONE SENSE THAT THAT'S WHAT LEGISLATORS HEAR FROM, UH, THEIR CONSTITUENTS.
UH, WE'RE A STATE THAT DOESN'T HAVE INCOME TAX.
WE HAVE PROPERTY TAX AND SALES TAX, TWO OF THE LEGS OF THE STOOL.
SO, UH, PEOPLE SEE THEIR PROPERTY TAXES GO UP AND, AND THEY COMPLAIN ABOUT IT TO THEIR MEMBERS.
UM, THE DYNAMIC THAT WE'VE TALKED ABOUT AT THE I G R LEVEL, UM, I KNOW YOU'RE VERY FAMILIAR WITH, IS THAT, UH, AS CHERYL MENTIONED, HALF OF THE TAX BILL IS SCHOOLS, AND SCHOOLS ARE THE ONLY PART OF THE PROPERTY TAXES THAT THE STATE CAN REALLY DO SOMETHING ABOUT OTHER THAN CAPPING US AT THE LOCAL LEVEL.
THEY FUND, UH, SCHOOLS AS DO LOCAL SCHOOL DISTRICTS, AND IT USED TO BE ABOUT A 50 50 SPLIT 10 YEARS AGO.
IT'S NOW BECOME, UH, ABOUT A 62, 38 SPLIT WITH THE 62% OF SCHOOL FUNDING COMING FROM LOCAL TAXPAYERS.
SO AS THE STATE HAS DECREASED ITS INVESTMENT IN SCHOOLS, SCHOOL DISTRICTS HAVE INCREASED THEIR RATES TO MAKE UP FOR IT.
AND NOW WHEN LEGISLATORS HEAR, UM, UH, FOLKS COMPLAINING ABOUT PROPERTY TAXES, THE, THE SOLUTION, UH, A SOLUTION, THE POTENTIALLY THAT MIGHT HAVE A LARGER BOTTOM LINE EFFECT ON THE AVERAGE TAXPAYER WOULD BE SCHOOL DISTRICTS BEING ABLE TO REDUCE THEIR RATES AND DELIVER SOME RELIEF TO THE HALF OF THE TAX BILL.
ESSENTIALLY, THEY CAN'T DO THAT UNTIL THE STATE PUTS MORE MONEY INTO SCHOOLS FROM THE STATE LEVEL THAT GIVES LOCAL DISTRICTS THAT FLEXIBILITY.
IT'S AN EASIER THING, HONESTLY, FOR SOME LEGISLATORS TO, UH, CRITICIZE WHERE OUR RATES ARE AT THE LOCAL LEVEL, WHERE OUR REVENUES ARE AT THE LOCAL LEVEL THAN IT IS TO, UM, UH, REASSESS THE STATEWIDE BUDGET AND, AND BEGIN TO PUT MORE MONEY INTO SCHOOLS.
WELL, COMPLICATED ANSWER, BUT IT'S, AND, AND, AND THAT'S THE DIFFICULTIES OF THE ARBITRATION, BUT YOU SAID SOMETHING THAT, UM, UH, YOU SAID IT'S POLITICAL, THAT PEOPLE ARE COMPLAINING TO THEIR LEGISLATORS, RIGHT? YEP.
YOU KNOW, WHEN I WAS OUT CAMPAIGNING, UH, I THINK I MENTIONED THIS OUT, UH, DURING OUR WORKING SESSION THAT HAPPENED RIGHT AFTER THE ELECTION.
SO, UH, BUT MY NUMBER ONE ISSUE OUT THERE WAS PROPERTY TAXES.
YOU KNOW, PEOPLE ARE COMPLAINING.
I'M GETTING, I'M GETTING THAT RIGHT NOW.
I JUST GOT MY TAX PROPERTY TAX, UH, UH, APPRAISAL, WHICH THAT WENT UP ANOTHER $6,000 FROM LAST YEAR.
SO, UM, PEOPLE ARE OUT THERE COMPLAINING RIGHT NOW, AND WE, WE REALLY DIDN'T APPROACH IT IN THE 2018 BUDGET.
WE KIND OF DANCED AROUND IT, WE TOOK CARE OF THE CRIME, WHICH WAS HIGH UP THERE ALSO ON BRINGING IN NEW POLICEMEN AND FIREMEN, THAT KIND OF THING.
BUT WE KIND OF DANCED AROUND THIS, UH, UM, YOU KNOW, OFFERING SOME TAX RELIEF FROM THE CITY.
UM, AND I'VE GOT SOME, I GOT SOME OTHER FIGURES HERE, BUT, UH, UM, I HEAR THE COMMENTS THAT, YOU KNOW, THE FUTURE, WHAT IS THE FUTURE GONNA BRING? THAT KIND OF THING.
I, FROM THE LEGISLATURE, BOTH, UH, AT THE FEDERAL AND STATE LEVEL, YOU KNOW WHAT I, I DON'T SEE THAT AS A REASON TO HOLD BACK OFFERING HELP TO OUR PEOPLE HERE IN SAN ANTONIO.
EVERY YEAR WE GET, WE GET THESE, UH, PROPOSALS AND CUTS AND, AND WHAT HAVE YOU AT THE FEDERAL LEVEL AND THE STATE LEVEL.
WHAT HAPPENED AT THE FEDERAL LEVEL, JEFF, THAT THERE WAS BIG CUTS, RIGHT? OBJECTIVE MM-HMM.
BUT WHAT HAPPENED, CONGRESS DIDN'T ABSOLUTELY, CONGRESS DID NOT GO ALONG WITH IT, AND THEY ADDED IT IN, IN FACT, PUT MORE MONEY INTO SOME OF THOSE PROGRAMS. MM-HMM.
SO, YOU KNOW, I, I, I GOT A PROBLEM WITH STATEMENTS OF, WELL, WE WE'RE SCARED ABOUT WHAT THE LEGISLATURE AT THE FEDERAL AND STATE LEVEL IS GONNA DO, BECAUSE THIS HAS BEEN ARGUED FUNDING CUTS FOR YEARS, UPON YEARS UPON YEARS.
THEY, THEY'VE BEEN ARGUING THIS ABOUT THE SCHOOL TAX REFORM FOR YEARS AND YEARS AND YEARS.
BUT GUESS WHAT, HERE IN SAN ANTONIO, WE CAN DO SOMETHING FOR OUR CITIZENS.
WE CONTROL ROUGHLY 20% OF THAT PROPERTY TAX.
AND THIS IS WHERE I THINK IT REALLY COMES INTO FOCUS FOR US TO LOOK AT THAT AND SAY, YEAH, WE CAN, WE CAN HERE IN SAN ANTONIO OFFER SOME KIND OF TAX RELIEF, YOU KNOW, YEAR AFTER YEAR.
UH, THE PROPERTY VALUES ARE GOING UP, AND THE CITY IS HAVING, I DON'T WANNA SAY EXCESSES, BUT WE PUT THAT, UH, EXTRA REVENUE AGAINST THE
[01:45:01]
NEXT YEAR'S BUDGET.SO OUR BUDGETS HAVE INCREASED YEAR AFTER YEAR, UH, BASED ON PROPERTY VALUES, INCREASED SALES TAX, THAT KIND OF THING.
AND I'M SAYING, HEY, LET'S TAKE A LOOK AT THAT AND LET'S OFFER SOMETHING BACK, BACK TO OUR RESIDENTS HERE.
SO HAVING SAID THAT, LET ME GO THROUGH SOME, SOME, UH, OTHER COMMENTS HERE.
UM, OVER THE YEARS, UH, LAST EIGHT YEARS, OUR, OUR RATES HERE IN SAN ANTONIO PER YEAR HAVE GONE UP ABOUT A HUNDRED DOLLARS, NOT QUITE A HUNDRED DOLLARS, BUT EVERY YEAR.
AND, AND THESE ARE RATES THAT ARE PASSED ON TO OUR CUSTOMERS HERE YEAR AFTER YEAR.
AND WE'RE, WE'VE BEEN ESCALATING THOSE, UH, LIKE SOLID WASTE, UH, ENVIRONMENTAL MONTHLY FEE, THE PARKS, UH, ENVIRONMENTAL MONTHLY FEE, THE, UH, UM, STORM WATER, MONTHLY FEES, ALL THESE FEES HAVE ADDED UP TO ABOUT A HUNDRED DOLLARS A YEAR.
UH, DOES THAT SOUND LIKE A LOT? WELL, IT IS TO A LOT OF PEOPLE, A HUNDRED DOLLARS A YEAR IN ADDITIONAL INCREASED FEES.
UM, PROPERTY TAX REVENUES GROWN FROM 230 MILLION IN, OH, EXCUSE ME, OH EIGHT TO 293 MILLION IN 16.
WE DON'T EVEN HAVE 17, UH, FIGURES YET, STILL WAITING ON THOSE.
THAT'S A $63 MILLION INCREASE, 27% C P S, UH, FROM 2008 TO 2016, A $38 MILLION INCREASE, 13% SAWS, UM, FROM OH EIGHT TO 16, $3.4 MILLION INCREASE.
AND LOOKING BACK AT IT, HOW MANY PEOPLE OUT IN SAN ANTONIO HAVE GOTTEN THOSE KIND OF INCREASES IN THEIR PAYCHECKS? I DON'T, I DON'T THINK PEOPLE ARE REAPING THOSE KIND OF INCREASED, UH, UH, RAISES IN THEIR JOBS TO COVER THAT.
UM, I, I GOT SOME MORE FIGURES HERE FROM, UM, ON WHAT WE HAVE IN OUR GENERAL REVENUES, UM, CONTINUED TO GROW FROM 2010 TO 11.
WE GREW BY 31 MILLION, 11 TO 12, 11 MILLION, 12 TO 13, 20 MILLION, 13 TO 14, 81 MILLION, 14 TO 15, 31 MILLION, 15 TO 16, 47 MILLION.
THAT'S JUST IN GROWTH IN OUR GENERAL FUND YEAR AFTER YEAR AFTER YEAR.
AND IT'S BASED ON INCREASES IN OUR, OUR PROPERTY VALUES AND PROPERTY TAXES AND SALES TAXES AND, AND THESE INCREASES IN OUR FEES AS WELL.
UM, TO ME, THAT'S, THAT'S NOT REALLY HELPING OUT OUR FOLKS HERE IN SAN ANTONIO.
AND YEAH, THERE'S, UH, COMMENTS THAT, WELL, IT'S A, YOU KNOW, IT MIGHT AVERAGE OUT TO A HUNDRED BUCKS A YEAR FOR A HOMESTEAD EXEMPTION, BUT THAT IS SOMETHING THE CITY CAN DO.
AGAIN, THAT'S REAL RELIEF TO A LOT OF PEOPLE HERE IN SAN ANTONIO.
I KNOW IN DISTRICT 10, AGAIN, THAT WAS ONE OF THE BIGGEST COMPLAINTS.
WHAT ARE, WHAT ARE WE DOING TO HOLD DOWN OUR TAX RATES? WELL, WE HAVEN'T INCREASED THEM, BUT YEAR AFTER YEAR, WE'RE GETTING THAT ADDITIONAL REVENUE BECAUSE OF INCREASED APPRAISALS, INCREASED FEES ACROSS THE BOARD.
UH, SO I'M TRYING TO OFFSET THOSE INCREASES WITH SOMETHING, AGAIN, SOMETHING WITHIN OUR CONTROL HERE IN SAN ANTONIO THAT WE CAN BE GIVING BACK TO OUR CITIZENS THAT ARE ALL THESE INCREASES YEAR AFTER YEAR AFTER YEAR.
UH, THAT'S PUTTING A BIG BURDEN ON THEM AND BEING ABLE TO AFFORD WHERE THEY'RE LIVING AT.
YES, WE DO GIVE THAT GREAT, UM, OPPORTUNITY TO FREEZE THOSE TAXES ONCE THEY HIT 65.
BUT, YOU KNOW, EVERY YEAR, UNTIL YOU REACH 65, THAT LEVEL IS INCREASING, UH, THAT THEY'RE HAVING TO PUT UP WITH EVERY YEAR UNTIL THEY REACH 65.
AND THEN IT GETS FROZEN, WELL, AT THAT HIGHER RATE EVERY YEAR.
UM, YOU KNOW, THEY'RE PAYING HIGHER TAXES WHEN THEY GET TO 65.
SO IT'S A, I'M SAYING WE NEED TO DO SOMETHING TO, UH, UH, OFFSET THOSE FEE INCREASES AND RAISES IN OUR, UH, PROPERTY VALUES.
SO WHAT I'M, I'M SAYING I'D LIKE US TO TAKE A LOOK AT, UH, KEEPING OUR BUDGET BASICALLY AT THE 2018 LEVEL, AND THEN TAKE A LOOK AT THESE SURPLUSES THAT WE'RE TALKING ABOUT.
WE ALREADY HAVE A PROJECTED SURPLUS HERE IN SAN ANTONIO THAT WE COULD OFFER BACK AS A PORTION OR ALL TO A HOMESTEAD EXEMPTION HERE FOR, FOR OUR RESIDENTS, FOR OUR HOMEOWNERS.
THAT'S, THAT'S WHAT I'M, THAT'S WHAT I'M REALLY FOCUSING ON.
AND I MEAN, THE ONE, THE ONE CHART THAT REALLY, THAT REALLY STOOD OUT TO ME WAS, UH, WHICH CHART WAS THAT? THAT SHOWS ALL THE OTHER CITIES AND WHAT THEY'RE DOING
[01:50:03]
ON HOMESTEAD COUNCILMEN.EVERYBODY EXCEPT SAN ANTONIO IS OFFERING A HOMESTEAD EXEMPTION OVER 65 EXEMPTION.
WE'RE, WE'RE OFFERING THAT, BUT THAT'S NOT EVEN, UH, COMPARED TO WHAT THEY'RE DOING IN AUSTIN OR DALLAS.
UH, THIS DISABLED EXEMPTION, AGAIN, YOU KNOW, WE, WE PRIDE OURSELVES IN BEING NUMBER ONE IN THE STATE ON OTHER MUNICIPALITIES, BUT HERE WE'RE NOT, YOU KNOW, WE'RE, WE'RE RAISING OUR, OUR HOURLY WAGE TO WAGE TO $15 AN HOUR.
MOST OTHER LARGE CITIES IS DOWN AROUND 13, EVEN 12.
SO IN THIS CASE, WE'RE NOT TAKING THE LEAD IN THE STATE TO PROVIDE PROPERTY TAX RELIEF TO OUR CITIZENS.
SO THIS, THIS IS A VERY TELLING SLIDE HERE, AND I THINK THAT'S WHAT, UH, UH, TO ME, IF I'M OUT THERE, I WOULD SAY, WHY AREN'T YOU DOING THAT SAN ANTONIO? WHY AREN'T YOU UP WITH THE OTHER MUNICIPALITIES IN OFFERING A HOMESTEAD EXEMPTION? SO, BOTTOM LINE, I THINK WE NEED TO HELP OUR CITIZENS HERE IN SAN ANTONIO WITH SOMETHING, WITH WHAT'S IN OUR CONTROL.
WE SHOULDN'T BE PROJECTING SOMETHING THAT THE FEDERAL OR THE STATE LEVEL PROVIDES.
AND, AND BEN, YOU TALKED ABOUT, EVEN IF THEY DID, IT WOULDN'T BE ENACTED UNTIL THE 20, 20 AND 21 PROGRAMS, THE YEARS OF, OF WHEN THEY COULD ACTUALLY ENACT THESE CHANGES, THE CUTS OR THE CAPS, THAT KIND OF THING.
SO WE HAVE AN OPPORTUNITY IN 2019 TO DO SOMETHING, AND IF IT, IF THE CUTS DO COME, WELL, WE CAN TAKE A LOOK AT THAT AND BACK OFF FROM A HOMESTEAD EXEMPTION OR WHATEVER WE'RE PROVIDING OUR, OUR RESIDENTS HERE.
SO TO ME, THIS IS VERY IMPORTANT.
I, I THINK, UH, WE NEED TO SHOW THAT WE TAKE THAT LEADERSHIP POSITION AND SAY, THIS IS WHAT WE'RE GONNA DO.
BECAUSE AGAIN, THIS WAS MY NUMBER ONE ISSUE WHEN I WAS OUT THERE CAMPAIGNING, AND IT STILL IS.
PEOPLE ARE COMPLAINING ABOUT THIS EVERY, EVERY DAY.
SO I, I, I DO HAVE SOME CHARTS THAT, UH, PUT TOGETHER.
I'D LIKE, LIKE Y'ALL TO HAVE A COPY.
PAUL, IF YOU COULD PASS THOSE OUT, THAT WOULD BE GREAT.
BUT, UH, UM, I THINK THAT'S, UH, THAT'S MY PLEA FOR THE CITIZENS AND HOMEOWNERS HERE IN SAN ANTONIO.
MAYOR, CAN I MAKE ONE, ONE COMMENT? SURE.
UM, I THINK, UH, WE OWE YOU COUNCILMAN SOME, UH, PROBABLY SOME MORE INFORMATION ON THIS PARTICULAR SLIDE I MENTIONED.
WE'RE GATHERING SOME ADDITIONAL INFORMATION FROM THE CITIES.
WE'VE GOT SOME PRELIMINARY DATA THAT WE NEED TO GO MAKE SURE WE VALIDATE.
BUT I, I WANNA SHARE THIS A LITTLE BIT BECAUSE WHEN YOU LOOK AT THE SLIDES, SOMETIMES IT'S A LITTLE BIT, YOU KINDA GET SOME OF THE, SOME DIFFERENT TAKEAWAYS.
SO FOR EXAMPLE, I'LL GIVE YOU, AUSTIN HAS AN 8% LOCAL HOMESTEAD EXEMPTION.
UM, THEIR VALUATION IS MUCH HIGHER THAN US, BEN, I THINK, UH, EXCUSE ME.
I I THINK THEY JUST, THEY'RE ACTUALLY TRYING TO INCREASE THAT IN AUSTIN.
BUT I'M LOOKING AT JUST THE CURRENT BUDGET.
THEY DO HAVE A HOMESTEAD EXEMPTION.
THEIR, UH, ASSESSED VALUATION IS ABOUT $138.8 BILLION.
THERE'S IS 44 CENTS, IT'S LOWER.
BUT IF I TAKE INTO ACCOUNT THEIR HOMESTEAD EXEMPTION, THE OVER 8 65 EXEMPTION, AND THE FACT THAT THEY DON'T HAVE A SENIOR FREEZE, THEIR, UM, THEIR FOREGONE REVENUE IN THIS CURRENT BUDGET IS $30 MILLION.
OUR FOREGONE REVENUE'S, $47 MILLION ARE TAX LEVIES ABOUT $17 MILLION APART.
SO JUST I, WE OWE YOU SOME MORE INFORMATION, SOME MORE ANALYSIS AROUND THIS.
WE HOPE TO BRING THAT TO YOU AT THE GOALS AND OBJECTIVES WORK SESSION.
AS YOU, AS YOU ALL CONTEMPLATE WHAT YOU WANNA DO FOR FY 2019.
WE WANNA MAKE SURE WE GET SOME ADDITIONAL INFORMATION, AND WE GET AS MUCH OF THAT TO YOU ALL AS WE CAN SO THAT AS YOU CONTEMPLATE WHAT YOU WANNA DO, THAT WE'VE, WE'VE DONE THE ANALYSIS AND WE PROVIDE THAT INFORMATION.
SO JUST LOOKING AT US AND AUSTIN, RIGHT THERE, YOU LOOK AT THAT PARTICULAR SLIDE, THE WAY IT'S LAID OUT, YOU'D PROBABLY DRAW A LITTLE BIT OF A DIFFERENT CONCLUSION.
AT LEAST THIS YEAR WE'RE ACTUALLY PROVIDING MORE TAX RELIEF THAN AUSTIN IS.
SO JUST SOMETHING WE OWE YOU AND WE'LL, WE'LL BRING THAT BACK.
UH, A, A, A FEW COMMENTS, UM, AND THEN A QUESTION.
SO MARIA'S PRESENTATION WAS EXCELLENT.
UH, AND MARIA, ONE OF THE THINGS I APPRECIATE MOST ABOUT THAT PRESENTATION IS THAT YOU DIDN'T READ
[01:55:01]
THE PRESENTATION TO US.NOTHING DRIVES ME CRAZIER THAN GETTING READ SLIDES.
AND SO THANKS FOR ADDING A WHOLE BUNCH OF COMMENTARY TO THAT.
MY TAKEAWAY FROM THAT IS THAT FOR Q TWO, WE'VE GOT $7.2 MILLION IN ADDITIONAL REVENUE THAN WE ANTICIPATED.
WE GOT 3.7% AN INCREASE IN TAX REVENUE.
UH, AND YOU'RE MEETING ALL YOUR C P S REVENUE GOALS.
AND IN CONCLUSION, WE GOT $13.2 MILLION BETTER ENDING BALANCE FOR THIS FISCAL YEAR, RIGHT? THAT IS CORRECT.
AND WE'RE A HUNDRED PERCENT WITH OUR, THAT WE'RE PROJECTING, RIGHT.
WE'RE PROJECTING THIS FOR YEAR END BASED ON WHAT WE KNOW NOW.
AND WE GOT A HUNDRED PER, AND WE'RE AT A HUNDRED PERCENT WITH, YOU KNOW, OUR BOND PROJECTS AS THE MAYOR POINTED OUT, RIGHT? CORRECT.
IF I WAS A BOARD MEMBER AT ANY OTHER, YOU KNOW, LARGE CORPORATION OR ANY OTHER LARGE ORGANIZATION WITH A $2.7 BILLION BUDGET, LIKE THAT TO ME SPELLS SUCCESS.
UH, AND THAT TO ME SAYS THAT, YOU KNOW, MY TEAM WHO'S EXECUTING ON POLICY IS NOT JUST COMING IN, YOU KNOW, ON TIME, BUT COMING IN UNDER BUDGET.
AND WHEN I EVALUATE A C E O AND A CEO'S TEAM, RIGHT? I, AS YOU KNOW, A BOARD MEMBER FOR ANY OF THOSE ORGANIZATIONS, WHAT WE LOOK AT IS, YOU KNOW, HOW ARE WE DOING ON REVENUES? HOW ARE WE DOING ON OPERATING INCOME SHAREHOLDER, R O I, YOU KNOW, EBITDA, UM, CASHFLOW EXPENSE MANAGEMENT AND EFFICIENCIES REALIZED, RIGHT? THAT, YOU KNOW, WEREN'T ANTICIPATED.
YOU'VE MANAGED TO CHECK OFF ALL THOSE BOXES, RIGHT? AND IF THIS WERE AN M B A MANAGEMENT CLASS, YOU'D HAVE GOTTEN AN A PLUS, RIGHT? UM, THE ONLY WAY IT COULD HAVE BEEN BETTER, UM, YOU KNOW, IS IF SOMEWHERE IN THERE WE ALSO MANAGED TO NOT HAVE A HURRICANE HARVEY TO RESPOND TO.
RIGHT? AND IF SOMEHOW WE COULD HAVE, YOU KNOW, UH, HAD SOME KIND OF CERTAINTY WITH REGARDS TO, YOU KNOW, OUR FIRE UNION DISPUTE, RIGHT? BUT ASIDE FROM THAT, I I, I WOULD FIND IT DIFFICULT TO TAKE SERIOUSLY ANYBODY TO TELL ME THAT SOMEHOW WE'RE MISMANAGING THE CITY'S FINANCES.
UM, AND YOU GUYS DESERVE A VICTORY LAP.
SO PLEASE FEEL FREE TO TAKE CHRISTMAS DAY OFF
UM, THE, UH,
I KNOW THAT WE, UH, RECENTLY ARE TRANSITIONING OUT, YOU KNOW, WE, WE LOST OUR, UH, THE HEAD OF THAT OFFICE AND, YOU KNOW, ALEX IS, IS THE PERSON WHO'S COMING IN.
ALEX LOPEZ, SHE WAS ASSISTANT DIRECTOR IN ECONOMIC DEVELOPMENT.
AND, UH, OVER THE PAST YEARS HAS MANAGED OUR, UH, DIVERSITY PROGRAMS WITHIN THE SMALL BUSINESS PROGRAM AND THROUGHOUT ALL OF OUR CONTRACTS.
BUT YES, SHE'S THE INTERIM DIRECTOR.
SO I I'M SURE ALEX IS GONNA KNOCK IT OUTTA THE PARK TOO.
I HAVE NO, I HAVE NO REASON TO BELIEVE SHE WON'T.
BUT, UM, YOU KNOW, I'M WORRIED THAT, YOU KNOW, AS MUCH AS WE TALK ABOUT HOW DEDICATED WE ARE TO THIS PRINCIPLE OF EQUITY, THAT WE'RE NOT BACKING THAT UP WITH FUNDING TO THAT OFFICE, UH, AT AN ADEQUATE LEVEL.
AND SO I WOULD AT SOME POINT, LIKE TO HAVE A CONVERSATION AT OUR GOAL SETTING MEETING TO DETERMINE WHEN ARE WE REALLY BACKING UP OUR RHETORIC WITH, YOU KNOW, RESOURCES, RIGHT? BECAUSE HAVING AN EQUITY OFFICE THAT IS UNFUNDED IS WINDOW DRESSING, RIGHT? AND I DON'T THINK ANYBODY HERE ON CITY COUNCIL, YOU KNOW, DECIDED TO RUN AND GET, YOU KNOW, SIT HERE, UH, YOU KNOW, FOR ALL THESE HOURS JUST TO DO WINDOW DRESSING.
I THINK ALL OF US HAVE AN APPETITE TO ACTUALLY SEE SOME REAL MOVEMENT ON THAT.
UM, AND SO I USUALLY, I USUALLY DON'T ANSWER BACK, UH, COUNCILMAN PERRY.
UH, BUT I, I'LL TELL YOU, WHEN I WAS WALKING MY DISTRICTS, WHICH ARE VERY SIMILAR TO YOURS, I ALSO HEARD, UM, YOU KNOW, MY TAXES ARE TOO HIGH, MY TAXES ARE TOO HIGH, RIGHT? AND WHAT ARE YOU GUYS DOING ABOUT IT? AND WE'D TELL 'EM, WELL, YOU KNOW, YOUR TAX RATE'S BEEN FLAT FOR CLOSE TO 20 YEARS.
WHAT DO YOU KNOW? UH, I'D, I'D LIKE TO HELP YOU.
WHAT DO YOU GOT IN MIND? RIGHT? UM, AND SO WE TALK THROUGH THAT.
AND SOME PEOPLE HAVE THE LUXURY OF WALKING AROUND WITH MAGICAL THINKING, RIGHT? AND THAT IS, THEY SAY, UM, WELL, THEY'RE JUST, YOU KNOW, JUST CUT 'EM IN HALF, RIGHT? OR, UH, YOU KNOW, IF YOU JUST DON'T SPEND THEM ON, YOU KNOW, THIS ONE PROJECT YOU'LL HAVE, YOU KNOW, MY TAXES WILL BE FINE.
OR, YOU KNOW, AND, AND CHERYL, YOU'VE HEARD IT, RIGHT? LIKE, JUST MAKE SURE THAT CHERYL'S A VOLUNTEER AND SHE DOESN'T GET PAID, AND, YOU KNOW, UH, AND THEN EVERYTHING WILL BE SOLVED, RIGHT? I EVEN HAD PEOPLE TELL ME SO FAR AS, YOU KNOW, UH, I NEED, I NEED NEW ROADS.
I NEED NEW, YOU KNOW, DOUBLE DECKER HIGHWAYS, BUT UNDER NO CIRCUMSTANCES DO I WANT MORE INVESTMENT IN BUSES.
AND THE ONLY WAY YOU'RE GONNA PAY FOR IT IS IF CHERYL DOESN'T GET PAID.
AND, UH, YOU KNOW, THEY'D LOOK AT YOU AND YOU'RE LIKE, DOES THAT MAKE MATHEMATICAL SENSE TO YOU? AND THEY'D SAY, YEAH.
AND YOU KNOW WHAT? THEY, IT WOULD MAKE MATHEMATICAL SENSE TO THEM IN THEIR HEAD, AND THAT'S OKAY.
THEY HAVE THE LUXURY OF THINKING WHATEVER IT IS THEY WANT TO THINK, RIGHT? BUT
[02:00:01]
WE HAVE THE OBLIGATIONS TO SORT OF LOOK, YOU KNOW, LOOK AT WHAT, LOOK AT FACTS, RIGHT? AND THE FACTS ARE, UM, YOU KNOW, WHEN SOMEBODY SAYS TO ME, YOU KNOW, WE'RE NOT LEADING AND WE'RE NOT DOING FOR THE TAXPAYER WHAT WE SHOULD BE DOING, AND THAT WE SHOULDN'T BE TAKING INTO ACCOUNT, YOU KNOW, POSSIBLE LEGISLATIVE CUTS, WHICH WE KNOW ARE COMING, AND YOU KNOW, WHAT WE ALREADY KNOW, WHICH IS, YOU KNOW, REDUCTIONS IN FEDERAL SPENDING ON, YOU KNOW, HELPING ON CITIES.THE FACTS ARE THAT WE DO HELP CITIZENS BECAUSE WE'RE SHOULDERING A LARGER PERCENTAGE OF ROAD REPAIRS THAN EVER BEFORE, RIGHT? UH, WE'RE SHOULDERING THE COSTS AT A HIGHER PERCENTAGE OF STORM WATER HANDLING AND, YOU KNOW, DRAINAGE, WE'RE SHOULDERING AT A HIGHER PERCENTAGE THAN BEFORE THE COST OF POLICING, RIGHT? UM, YOU KNOW, ADD TO THAT, THE FACT THAT BUILDING OUT AND MAINTAINING NEW SEWERS AND ROADS AND MAINTAINING OLD ONES, RIGHT? IT DIDN'T GET ANY CHEAPER ANYTIME SOON, RIGHT? CEMENT COSTS MORE REBAR COSTS MORE, UH, LABOR COSTS MORE.
UM, AND THEN, YOU KNOW, ONE MORE, UH, ELEMENT TO THAT IS THAT MEGA STORMS ARE NOW THE NEW NORMAL AS FAR AS WEATHER.
UH, AND THAT, YOU KNOW, HARVEY ISN'T GONNA BE A BLIP, YOU KNOW, OR AN, YOU KNOW, AN ANECDOTAL FOOTNOTE IN, IN SAN ANTONIO'S HISTORY, IT'S GONNA BE, IT IS THE NEW NORMAL FOR THE SOUTHERN UNITED STATES.
UM, AND THEN AS IF THAT WEREN'T BAD ENOUGH, TRAFFIC IS GETTING WORSE BECAUSE WE JUST HAPPEN TO BE A FANTASTIC CITY THAT PEOPLE WANNA LIVE IN, RIGHT? AND WE'RE ADDING, WHAT, 150 SAN ANTONIONS PER DAY.
UM, AND AS IF IT WEREN'T EVEN WORSE ENOUGH THAN THAT.
BUT, UH, YOU KNOW, ALL THOSE NEW SAN ANTONIANS HAVE FIGURED OUT THAT, UH, YOU KNOW, YOU CAN FLUSH BABY WIPES DOWN TOILETS AND, YOU KNOW, RUIN OUR PUMP STATIONS.
AND PUMP STATIONS DON'T NO LONGER HAVE THE SAME SHELF LIFE THAN THEY USED TO, RIGHT? AND EVERYBODY NEEDS, EVERYBODY STILL EXPECTS CLEAN WATER.
EVERYBODY STILL EXPECTS, YOU KNOW, ON DEMAND ENERGY, AND AS IF IT WASN'T MORE DIFFICULT, RESIDENTS ARE LIVING LONGER, RIGHT? UH, AND SO, AND THEY'RE REQUIRING ADDITIONAL SERVICES AND ALL OF THAT DESPITE, YOU KNOW, AND WE STILL ARE EXPECTED TO HANDLE ALL OF THAT.
AND, YOU KNOW, UH, SOMEHOW YOU ARE DELIVERING ON THAT PROMISE OF MAKING SURE THAT NONE OF THAT FALLS BETWEEN THE CRACKS.
AND WE STILL HAVE A $13.2 MILLION, YOU KNOW, PLUS ON OUR ENDING BALANCE, OUR PROJECTED ENDING BALANCE ON OUR FISCAL YEAR.
UM, AND WE'RE STILL COMING IN UNDER BUDGET AND ON TIME.
AND SO, YOU KNOW, THAT I, I, I THINK AN ACCURATE PICTURE IS REQUIRED, RIGHT? AND I ALSO PAY TAXES.
IT'S NOT EASY, RIGHT? AND, UM, YOU KNOW, MY PARENTS PAY TAXES AND MY IN-LAWS, AND I, YOU KNOW, ALL OF MY NEIGHBORS, WE PAY TAXES.
BUT I ALSO VISIT THIRD WORLD COUNTRIES WHERE THERE ARE NO STOPLIGHTS AND THERE'S NO POLICE, AND THERE'S NO RUNNING WATER.
YOU HAVEN'T HAD IT HARD UNTIL, YOU KNOW, UH, YOU, YOU EXPERIENCE THAT.
AND I THINK THAT THE ROLE OF GOVERNMENT IS TO BALANCE, YOU KNOW, THE OBLIGATION TO STEWARD OTHER PEOPLE'S MONIES, BUT AT THE SAME TIME, UNDERSTAND, YOU KNOW, THAT THE EXPECTATION IS THAT WE NOT ALLOW INTERRUPTIONS IN THOSE SERVICES.
AND THAT'S WHY WE GET PAID ON CITY COUNCIL.
THE HUNDREDS OF THOUSANDS OF DOLLARS IN SALARY EACH, UH, YOU GUYS ARE GETTING PAID THAT, RIGHT? SO, UM, I I, I DO WANT TO PROVIDE TAX RELIEF.
I THINK THERE'S A WAY TO DO THAT.
UM, YOU KNOW, I KNOW THAT I'VE SPENT SOME TIME BEATING UP ON, UH, YOU KNOW, OUR FRIENDS AT BEXAR COUNTY APPRAISAL DISTRICT, BUT I'M A TRUE BELIEVER THAT, YOU KNOW, THAT THAT IS PROBABLY MAYBE THE MOST EFFECTIVE WAY TO ACCOMPLISH WHAT WE'RE TRYING TO DO.
UM, AND WITH THAT, I'LL, I'LL END.
UH, I WILL TELL YOU, I'M PUTTING YOU ON NOTICE THAT, YOU KNOW, FOR THE GOAL SETTING COMMITTEE, I WILL, YOU KNOW, BE EXPECTING TO HAVE A CONVERSATION ABOUT, YOU KNOW, WHAT IT TAKES TO MAKE SURE THAT WE ARE BEST IN CLASS AS FAR AS RESILIENCE AND SMART CITY, AND, YOU KNOW, INTELLIGENT INFRASTRUCTURE AND ALL THAT.
UM, AND TO REALLY SORT OF SOLIDIFY OUR CONFIDENCE IN THE, YOU KNOW, WHERE WE'RE HEADED BY WAY OF COMPREHENSIVE STUDIES, RIGHT? I KNOW THAT, YOU KNOW, IN COUNCILWOMAN SANDAL SANDOVAL'S COMMITTEE FOR HEALTH AND EQUITY, THAT'S SOMETHING THAT WE'VE COVERED.
UM, AND I THINK THAT WE'VE, YOU KNOW, WE'VE ASKED FOR, FOR, FOR SOME KIND OF, UH, IDEA OF HOW WE CAN ACCOMPLISH THAT.
AND SO, UH, AND I'LL BE ASKING FOR THAT IN OUR, YOU KNOW, INNOVATION AND TECHNOLOGY COMMITTEE AS WELL.
AND SO JUST, JUST PUTTING IT OUT THERE.
SO MAYBE WE CAN WORK THROUGH THAT.
UM, THANK YOU FOR THE PRESENTATION, UH, BEN.
SO I, I JUST, UH, I HAVE JUST A FEW QUESTIONS, UH, ABOUT SOME OF YOUR ASSUMPTIONS.
UM, AND ONE OF THEM, UH, IS REGARDING THE ONE TIME PAYMENT OF, UH, WHAT GENERAL FUND REMOVE ONE TIME SPENDING ON PAGE 22.
SO ARE YOU PROPOSING THAT WE ARE GONNA ELIMINATE THOSE PROGRAMS? IS THAT WHAT THIS ASSUMPTION IMPLIES? NO, COUNCILWOMAN, WHAT THIS MEANS IS THAT DURING THE BUDGET AMENDMENT PROCESS, THERE WERE SOME AMENDMENTS THAT WERE PROPOSED AND APPROVED.
THOSE WERE ONE TIME IN NATURE, MEANING THAT, FOR INSTANCE, THE $1 MILLION THAT WAS ADDED FOR THE UNDER ONE ROOF PROGRAM
[02:05:01]
WAS SAT AS ADDED AS A ONE-TIME EXPENSE.IF THE COUNCIL WOULD LIKE TO CONTINUE THAT PROGRAM, THAT WOULD BE PART OF OUR POLICY DISCUSSION AS PART OF THE MAY 30TH GOAL SETTING SESSION TO CONTINUE, UH, ADDITIONAL FUNDING FOR THE PROGRAM.
BUT THIS IS JUST TO PROVIDE A, A HIGHLIGHT OF THOSE AMENDMENTS THAT WERE ADDED WITH ONE TIME DOLLARS, NOT AS A RECURRENT EXPENSE.
SO, WE'LL THEN, UH, 'CAUSE I'M VERY SUPPORTIVE OF ALL THOSE PROGRAMS, SO WE'LL JUST HAVE TO ADVOCATE FOR THEM WHEN THE TIME COMES.
UH, AND, UM, ANOTHER, UH, CONCERN THAT, UM, UH, I HAD REGARDING YOUR ASSUMPTIONS, UM, HAD TO DO ALSO WITH THIS HOTEL, HOTEL OCCUPANCY TAX, THE FIVE-YEAR FORECAST FOR THAT MM-HMM.
AND I SEE LIKE MODEST INCREASES, UH, HERE.
I MEAN, IT FELT LIKE WE WERE, IT WAS PRESENTED VERY DIFFERENTLY AT THE TIME.
SLIDE NUMBER 29, LET ME SAY THIS.
THEY ARE LOOKING AT WAYS TO RAISE MONEY FROM THEIR MEMBERSHIP THAT INCLUDES WHAT THEY'RE CALLING A T P ID, A TAXABLE DISTRICT, WHERE THEY WILL IMPOSE ADDITIONAL TAXES ON THE HOTELS WITHIN A DISTRICT THAT WILL ENABLE THEM TO RAISE THEIR BUDGET.
WHAT WE'RE SHOWING HERE ARE JUST THE HOTEL OCCUPANCY TAXES.
SO I THINK WHEN THEY SAID DOUBLE, OR I DON'T REMEMBER A, A TRIPLING, BUT IF, AS THEY TALKED ABOUT INCREASING THEIR REVENUES, IT WAS, UM, THROUGH A COMBINATION OF THINGS.
AND THAT'S NOT PROJECTED HERE.
SO, I MEAN, NO, THE TPI IS NOT INCLUDED.
WELL, IT'S NOT, BUT I'M, I'M MOSTLY SAYING THAT, YOU KNOW, WHEN, WHEN WE VISIT SAN ANTONIO SAID THAT THEY WERE GOING, THAT, YOU KNOW, THEY COULD LIKE, LIKE, HAVE THIS TREMENDOUS GROWTH IF THEY, RIGHT.
SO IF THEY COULD SEPARATE, BUT THIS, THESE NUMBERS ARE JUST SAYING, I MEAN, WE CAN'T GET THAT MUCH MORE FUNDING FROM HOTEL OCCUPANCY BECAUSE WE DON'T HAVE THAT MANY MORE HOTELS OR THAT MANY MORE.
I MEAN, THERE'S ONLY A SMALL AMOUNT WE CAN GET FROM THAT, OR, SO I, I GUESS I'M JUST, I HAD EXPECTED THAT, YOU KNOW, WITH THEIR BREAKING OUT AND CREATING A NEW ENTITY, THAT THEY WERE GONNA BRING ALL THIS MUCH MORE BUSINESS INTO THE CITY AND THAT THIS COULD GROW THREE TIMES.
THIS IS, IS THIS JUST REFLECTIVE OF HOW MANY ROOMS WE EXPECT TO, UH, THIS, THIS IS BASED ON TRENDS, CORRECT.
AND ALSO IN CONSULTATION WITH THEM.
BUT THERE ARE TWO REVENUE COMPONENTS HERE THAT ARE NOT SHOWN.
THIS IS JUST THE OCCUPANCY TAX.
THEY'RE ALSO TALKING ABOUT SELF IMPOSING THAT HASN'T BEEN DONE YET, THAT HAS NOT EVEN BEEN IMPLEMENTED.
SO THEY'RE TALKING ABOUT RAISING MORE REVENUE BY IMPOSING ADDITIONAL, UH, PROGRAMS TO GENERATE REVENUE ON THEMSELVES.
AND THEN, UH, SECONDLY, MEMBERSHIP DUES, SO TO SPEAK, WHERE THEY ALSO HAVE MEMBERS THAT ALSO PAY IN.
THAT'S NOT REFLECTED HERE AS WELL.
BUT REMEMBER WITH THE HOTEL OCCUPANCY TAX, WE ARE LIMITED BY STATUTE.
AND THIS IS A STATE LAW THAT SAYS THOSE DOLLARS CAN ONLY BE SPENT ON CONVENTION AND TOURISM ACTIVITIES.
SO MO YOU KNOW, ABOUT A THIRD OF THE MONEY GOES TO THE C B B A THIRD TO THE CONVENTION CENTER, AND THEN THE BALANCE GOES TO HISTORY AND PRESERVATION AS WELL AS OUR ART PROGRAM.
SO, UH, WE'RE LIMITED, FOR EXAMPLE, THESE HOTEL OCCUPANCY TAXES COULDN'T BE USED EVEN IF THEY GENERATE TWO OR THREE TIMES MORE, CANNOT BE USED FOR GENERAL FUND ACTIVITIES, THEY WOULD HAVE TO GO TO TOURISM AS WELL.
BUT THEY COULD GO TOWARDS ARTS AND CULTURE, AND THEN ANYTHING COLLECT, I MEAN, WELL, IT WOULD GO TO ARTS AND CULTURE, THAT PERCENTAGE THAT DOES CURRENTLY, I MEAN, IF THE WHOLE PIE GROWS, THAT PERCENTAGE GROWS AS WELL, OR THE PERCENTAGE STAYS THE SAME, BUT THE AMOUNT INCREASES YES.
OF THE HOTEL OCCUPANCY TAX, BUT IF VISIT SAN ANTONIO IMPOSES, UH, THE TPI, THIS ADDITIONAL MEMBERSHIP OR SELF-IMPOSED THAT DOESN'T NECESSARILY GO TO AND WOULD NOT GO TO THE ART PROGRAM, THAT WOULD JUST GO TO THEIR MARKETING BUDGET FOR MARKETING SAN ANTONIO.
BUT IF IT WORKS, THEN HOPEFULLY THE WHOLE PIE OF THE HOTEL OCCUPANCY TAX GROWS.
I, I'M JUST TRYING TO, YOU KNOW, SAY WHEN, WHEN WE'RE TALKING ABOUT SORT OF THE ESTIMATING, UM, SALES TAX AND ESTIMATING ARTS AND CULTURE, UH, AND, YOU KNOW, PART OF THE REASON I SUPPORTED THAT WAS BECAUSE
[02:10:01]
THERE WAS THIS SELLING THEY SOLD US ON WAS THAT BY ALLOWING THEM TO WORK INDEPENDENTLY, IT WOULD HELP, NOT JUST WITH THAT PARTICULAR TAX, BUT IT HELPS WITH SALES TAX AND EVERYTHING ELSE.AND I, I JUST DON'T REALLY SEE THAT REFLECTED HERE.
UH, AS YOU KNOW, WE'RE TALKING ABOUT PERHAPS MORE MODEST INCREASES IN SALES TAX, AND, UM, AND THEN IN THESE OTHER TAXES, I MEAN, IT LOOKS LIKE THEY'RE INCREASING, BUT NOT SORT OF THE NUMBERS THAT THEY PROJECTED WHEN THEY, UH, AGREED TO SEPARATE, OR RATHER, WE AGREED TO ALLOW THEM TO SEPARATE.
I, I DON'T RECALL COUNCILMAN IF THERE WERE LIKE SPECIFIC PROJECTIONS WHEN THEY WERE TALKING ABOUT SEPARATING.
I DON'T THINK THEY WERE, THESE WERE CONSISTENT WITH, WE USED AN OUTSIDE CONSULTANT WHEN WE DID THE BOND FINANCING FOR THE NEW PART OF THE CONVENTION CENTER THAT HELPED US PROJECT HOT REVENUES.
WE HAD 'EM UPDATE THAT FORECAST ABOUT A YEAR AGO.
UM, THIS IS CONSISTENT WITH THAT.
V SS A, AS CHERYL SAID, IS THEY ARE GOING THROUGH THE PROCESS OF CREATING A TOURISM PUBLIC IMPROVEMENT DISTRICT.
WE'RE GONNA BE BRINGING THAT FORWARD TO THE ECONOMIC DEVELOPMENT COMMITTEE TO HAVE A CONVERSATION AND THEN FORWARD TO THE FULL COUNCIL FOR YOUR CONSIDERATION.
THAT WILL RAISE DOLLARS FOR THEM TO THEN GENERATE MORE MARKETING DOLLARS.
AND THEY TALKED ABOUT BEING ABLE TO MAINTAIN A COMPETITIVE POSITION WITHIN THE STATE SO THAT WE CAN COMPETE AND MAKE SURE THAT WE EITHER MAINTAIN OR GROW THE HOT REVENUES GROWING FORWARD.
THE GOAL, AND THE HOPE WOULD BE THAT WITH THOSE ADDITIONAL MARKETING DOLLARS AND TARGETING THOSE MARKETING DOLLARS, THEY'LL BE ABLE TO GROW THIS HOT REVENUE, UM, STREAM TO SOME DEGREE.
IT WOULDN'T DOUBLE, BUT TO SEE SOME INCREASES IN THERE.
AND THEN OF COURSE, THAT WOULD BENEFIT, EVERYBODY WOULD SEE THAT BENEFIT ARTS, HISTORY AND PRESERVATION, ALL THOSE ALLOCATIONS.
UM, WE HAVE A FINITE NUMBER OF HOTEL ROOMS. SOME ARE BEING ADDED EVERY YEAR.
THE THING THAT CHANGES IN THESE PROJECT PROJECTIONS IS THE MORE VISITORS WE CAN GET TO SAN ANTONIO, THE ROOM RATES CHANGE AND THE OCCUPANCY CHANGES.
SO THE BETTER THE ROOM RATES AND THE BETTER THE OCCUPANCY, THE BETTER THE REVENUE PROJECTIONS.
WELL, I KNOW, UM, YOU KNOW, THERE THERE'RE TRENDS THAT WE'RE CURRENTLY USING, BUT, YOU KNOW, I GUESS THAT'S THE POINT OF THESE SO THAT WE GET UPDATED MORE REGULARLY AS TO WHAT THAT LOOKS LIKE.
UM, ANOTHER QUESTION I HAVE, UH, IS, UH, YOU KNOW, REGARDING THE POLICE, UM, OR THE, UH, ON, LET ME SEE WHAT THIS IS.
UH, PAGE, IT SAYS GENERAL FUND, FIVE YEAR FINANCIAL FORECASTS, POLICIES, STREETS, POLICE, FIRE.
UM, COULD YOU GET, ARE YOU ON THAT SLIDE? 23.
UM, SO THIS IS A, THIS IS ASSUMING 25 NEW OFFICERS EVERY YEAR, UM, FOR THE NEXT FIVE YEARS.
25 EVERY YEAR FOR THE NEXT FIVE, YES.
WELL, I'M, I THINK THAT'S REALLY IMPORTANT.
AND ALSO REGARDING E M S AND FIRE, I KNOW THAT, UM, I, UH, WE REALLY FEEL THE PRESSURE FOR NEW OFFICERS, UH, AND, UH, I, I WOULD HOPE THAT, UM, I'M GLAD TO SEE THAT.
SO THAT COULD INCREASE AT LEAST A HUNDRED OFFICERS OR SO, UH, OVER THE NEXT FEW YEARS.
SO, UM, WE REALLY NEED THOSE AND NEED TO CONTINUE TO SUPPORT OUR MEN AND WOMEN IN BLUE WHO DO SO MUCH FOR US, UH, EVERY DAY.
AND I, WE JUST, YOU KNOW, WE HAD A BIG RAVE YESTERDAY IN THE NEIGHBORHOOD, AND THAT'S WHY IT'S FRESH ON MY MIND.
UM, AND ALSO, UH, THE POLICE AND FIRE, THE UNITS, THE FIRE LADDER UNITS, I KNOW THAT WE WERE, UH, I WAS ALSO AT A HOME FIRE LAST WEEK, AND I SAW ALL THOSE, UH, HOW THEY FUNCTION, UM, AND, UH, REALLY DANGEROUS WORK, UM, THAT THE FIREFIGHTERS WERE, UH, WERE DOING THERE IN THE NEIGHBORHOOD.
SO I WAS VERY GRATEFUL, UH, TO SEE THAT AND, UM, WOULD BE SUPPORTIVE OF THOSE INCREASES.
BUT I GUESS IT GOES, YOU KNOW, ALSO TO THE CONCERN OF, OF WHAT IS HAPPENING AT THE STATE AND THE FEDERAL LEVEL.
UM, SO AGAIN, LIKE I, I'VE, I'VE BEEN TRYING TO FOLLOW THE FEDERAL BUDGET, AND, UH, IT WAS MY IMPRESSION THAT, UM, ACTUALLY WE GOT AN INCREASE IN FUNDING FOR COMMUNITY BLOCK GRANTS FOR HOME FUNDS FOR THAT SORT OF FUNDING THIS TIME.
BUT YES, COUNCILWOMAN, SO WHAT YOU'RE TALKING ABOUT IS THE CURRENT FISCAL YEAR 2018 BUDGET THAT WAS APPROVED BY THE FEDERAL GOVERNMENT PROBABLY ABOUT SIX WEEKS AGO.
AND THAT THERE WERE SOME INCREASES TO C D B G, FOR EXAMPLE.
WHAT WE'RE TALKING ABOUT IN THIS PRESENTATION IS A PRESIDENT'S PROPOSAL THAT WAS RELEASED IN FEBRUARY FOR THE 2019 BUDGET.
SO THAT, THAT IS FOR THE NEXT, THE GOVERNMENT NEXT FISCAL YEAR THAT HE'S PROPOSING THIS, THIS CUTS THAT YOU SEE ON THE SLIDE.
DOES IT SHOW THAT? UH, NO, IT IS NOT INCLUDED ON THE CHART.
UH, BUT HIS PROPOSAL WAS, UH, RELEASED AGAIN IN FEBRUARY OF 2018 FOR THE 2019 BUDGET.
[02:15:01]
THE 20, WHEN DOES THIS, WHEN IS THIS REFLECTIVE OF OVER THE NEXT SEVERAL YEARS? FOR FIVE YEARS? SO FOR THE FEDERAL GOVERNMENT, THEIR 2019 BUDGET WILL PROBABLY HAVE AN IMPACT ON THE CITY, A COMBINATION OF 2019 AND 2020.THE WAY THE FEDERAL GOVERNMENT WORKS IS, IS ONE YEAR BEHIND IN SOME OF THEIR APPROPRIATIONS FOR GRANTS LIKE C D B G, FOR EXAMPLE.
UM, SO WE KNOW THAT THOSE ARE ALSO ALL VERY IMPORTANT PROGRAMS. SO WE'LL SEE HOW WE, UH, CONTINUE ON THAT PATH.
AND, UM, UNFORTUNATELY, I JUST, I ALSO HAVE BEEN HEARING FROM MY CONSTITUENTS, I THINK, YOU KNOW, WHETHER YOU HAVE A HOME THAT IS WORTH $500,000, OR YOU HAVE A HOME THAT'S WORTH LESS THAN A HUNDRED THOUSAND, EVERYBODY'S CONCERNED FOR RISING EXPENSES THAT ARE NOT SUPPORTED BY RISING, UH, UH, SALARIES AND RISING INCOMES.
AND WHAT WE KNOW IS NOT HAPPENING IS THAT WE'RE NOT HAVING RISING INCOMES.
AND EVERYTHING ELSE IS, ESPECIALLY FOR SENIORS, AND ESPECIALLY FOR PEOPLE ON FIXED INCOMES, THEIR INCOMES ARE NOT RISING AS QUICKLY AS SOME OF THESE OTHER THINGS.
AND SO THAT'S WHERE THE DISCONNECT IS.
AND SO, UH, I'VE ALSO BEEN HEARING IT, UM, A LITTLE BIT DIFFERENTLY FROM SOME OF OUR SMALL BUSINESSES THAT FEEL THAT THEY'VE BEEN REALLY IMPACTED, UH, AS SALARIES ARE RISING, UH, AND, AND PROPERTY VALUES ARE RISING, BUT YET SMALL BUSINESS DEVELOPMENT AND SMALL BUSINESS, UH, IS DECLINING.
AND SO HOW DO WE CONTINUE TO SUPPORT AND HELP OUR SMALL BUSINESSES GIVEN ALL THE PRESSURES? UM, BUT I DON'T THINK THAT THIS IS REALLY THE ANSWER.
UM, AND I DON'T, I DON'T THINK THAT A, THIS PARTICULAR, UM, HOMESTEAD EXEMPTION IS THE ANSWER.
AND, AND STILL, YOU KNOW, I, I KEEP GOING BACK TO, UM, JUST LAND USE AND HOW WE CONTINUE TO BUILD OUR CITY.
AND ONE OF THE REASONS WHY OUR CITY ALL THESE SERVICES ARE SO EXPENSIVE IS BECAUSE WE HAVE SUCH A SPRAWLED OUT CITY.
AND SO AS WE CONTINUE TO EXPAND FURTHER AND FURTHER OUTSIDE OF OUR, UM, SORT OF EXISTING BOUNDARIES, IT CONTINUES TO INCREASE THESE COSTS.
AND SO AS WE, OUR CITY CONTINUES TO GROW, WE NEED TO THINK ABOUT GROWING VERTICALLY, UH, AND NOT EXPANDING OUR, EXPANDING OUR SERVICES SO MUCH SO THAT WE CAN, AND, AND I'M, I'M NOT ANTI-GROWTH AND I'M NOT ANTI-DEVELOPMENT.
WE JUST NEED TO KEEP THOSE CONTAINED.
AND THAT'S HOW WE REDUCE OUR COSTS RATHER THAN THINKING THAT WE'RE JUST GONNA CONTINUE TO TAX PEOPLE OUT OF THEIR HOMES AND TAX PEOPLE, BUSINESSES OUT OF BUSINESS.
THE WAY THAT WE CAN DO THAT IS BY REDUCING OUR FOOTPRINT AND NOT EXPANDING OUR ROADS, NOT ADDING ADDITIONAL CAPACITY.
WE CAN KEEP THEM IN THE SMALLER FOOTPRINT.
AND SO THAT'S REALLY THE WAY WE'RE GONNA MAKE OUR CITY SUSTAINABLE, NOT BY CUTTING, YOU KNOW, A COUPLE OF HUNDRED DOLLARS HERE AND THERE.
UH, IT'S NOT GONNA MAKE ANY DIFFERENCE IN THE LONG RUN.
UH, IN FACT, IT'S GONNA BE VERY DAMAGING TO OUR CITY IF WE DON'T HAVE ENOUGH RESOURCES.
BUT, UH, I FEEL VERY STRONGLY THAT THE WAY THAT WE MAKE OUR CITY SUSTAINABLE FOR THE LONG TERM IS, UH, BY FOCUSING ON COMPACT, CONNECTED, UH, WALKABLE, UM, SUSTAINABLE COMMUNITIES.
AND IT'S A LITTLE DIFFERENT FROM THE RESILIENT COMMUNITIES THAT, UM, COUNCIL MEMBER BELIES TALKS ABOUT, BUT THEY'RE RELATED.
SO, UH, I HOPE THAT WE'LL CONTINUE TO HAVE THE DISCUSSION AND THANK YOU ALL FOR THE PRESENTATION, UH, THIS MORNING.
I'M SORRY I DIDN'T THINK I WAS NEXT.
THANK YOU FOR THE PRESENTATION AND THE WORK.
THANK YOU, BEN, FOR THE WORK AS WELL.
UM, I, UH, WILL JUST PROBABLY SPEND A FEW MINUTES, JUST MY COMMENTS ARE REALLY ECHOING COUNCILMAN PERRY'S COMMENTS AND, UM, BEING HIGHLY SUPPORTIVE OF WHAT THE BOTH OF US ATTEMPTED TO DO LAST BUDGET CYCLE, WHICH WAS OFFER, UH, RELIEF TO HOMEOWNERS IN THE CITY.
UM, IT WAS MET WITH RESISTANCE, BUT, UH, YOU KNOW, I THINK WE WERE, WE WERE VOTED DOWN ON THAT OPTION.
AND I WILL AGREE WITH THE, WITH COUNCILMAN PERRY WHOLEHEARTEDLY, THAT, UM, THE DIALOGUE AROUND THAT, THAT THE DOLLARS, THE FEW BUCKS HERE OR THERE, OR A HUNDRED BUCKS HERE OR THERE IS NOT GONNA AMOUNT TO MUCH.
AND I JUST THINK THAT'S, UM, REALLY, UM, NOT REFLECTIVE OF HOW CITIZENS FEEL ABOUT THEIR PROPERTY TAX RATES.
AND I WOULD JUST CAUTION THAT WE UNDERSTAND THAT EVERY PENNY COUNTS, AND IT'S NOT OUR MONEY.
IT DOESN'T BELONG TO THE RESIDENT.
IT BELONGED TO THE CITY COUNCIL, AND IT BELONGS TO THE CITIZENS OF THE CITY OF SAN ANTONIO.
WE GOTTA GIVE BACK ANY CHANCE WE GET.
UH, AND I ALWAYS FALL BACK ON, IF YOU'RE NOT WILLING TO GIVE BACK EIGHT BUCKS A MONTH, AND PRETTY MUCH YOU'RE TELLING THE CITIZENS OF THIS CITY, YOU CAN KISS YOUR MONEY GOODBYE,
[02:20:01]
WE WILL ONLY TAKE MORE.WE WILL NEVER GIVE BACK THAT, THAT, BECAUSE IF YOU'RE NOT WILLING TO GIVE BACK EIGHT BUCKS, YOU'RE NOT WILLING TO GIVE BACK ANYTHING.
UH, AND I THINK THAT LOSES ITS ROOTS FROM, UH, WHAT WE'RE HERE FOR IN THE FIRST PLACE.
AND THAT'S TO MAKE SURE WE REPRESENT THE, THE NEEDS AND CONCERNS OF OUR RESIDENTS, WHICH IS THEY WANT MORE MONEY BACK IN THEIR POCKETBOOK.
AND THINK THE COUNCILMAN IS 100% CORRECT.
YOU GO DOWN THE LIST OF ALL THESE FEES AND EVERYTHING, WE'RE FEEING AND TAXING OUR CITIZENS OUT OF THEIR HOMES.
WE GOT SERVICES THAT HAVE TO BE FUNDED.
UM, BUT I WANNA COME BACK JUST TO MAKE SURE, MARIA, WHEN WE GET INTO THIS, I DON'T, WE DON'T NEED TO LITIGATE ITEM BY ITEM TODAY.
I MEAN, WE'VE GOT, WE GOT TWO, THREE MONTHS TO GO INTO, UH, WHAT HAS TO COME IN OR OUT.
I WOULD JUST ASK THAT WE CONTINUE TO TALK ABOUT WHAT'S A CORE SERVICE VERSUS WHAT'S FRANKLY NOT.
AND WE'VE GOTTEN THIS DISCUSSION LAST BUDGET CYCLE WHERE, YOU KNOW, FIND PLACES TO CUT, UH, AND WHERE CAN WE EITHER HOLD THE BUDGET WHERE IT'S AT TO COUNT COUNCILMAN PERRY'S POINT, OR WE TURN AROUND AND CUT THE BUDGET TO FUND THE CORE ITEMS THAT MAKE SENSE? AND I GET, I GET WORRIED WHEN I SEE SLIDES LIKE NUMBER 48, UH, $3.8 MILLION.
UM, IT'S PUT OUT THERE SPECIFICALLY TO STRIKE FEAR IN THE HEARTS OF RESIDENTS.
UH, OH, YOU'RE GONNA CUT MY STREETS, OR YOU CAN KISS A LIBRARY'S GOODBYE IF I GIVE YOU A HOME.
AND THAT'S, THE SLIDE'S NOT ACCURATE IN THE SENSE THAT THE MONEY COMES FROM ALL OVER THE, WE CAN FIND IT IN AN ENTIRETY OF A BUDGET TO HIGHLIGHT CORE.
SEE, WHAT YOU'VE HIGHLIGHTED UP THERE IS CORE SERVICES.
UH, AND FRANKLY, THERE ARE OTHER SERVICES THAT WOULD BE SIMPLY CUT, EASILY CUT TO COME UP WITH A $3.8 MILLION IMPACT TO THE GENERAL FUND THAT ARE NOT CORE SERVICES.
YOU KNOW, WE, WE, WE, WE JUST HAVE TO BE MORE REALISTIC THAT PUTTING UP THERE WHAT'S GONNA HURT PEOPLE OR SCARE PEOPLE.
NOW, WE DID IT DURING CONTRACT NEGOTIATIONS WITH OUR POLICE OFFICERS.
YOU, YOU KNOW, YOUR, YOUR POLICE OFFICERS ARE COSTING YOU, YOUR LIBRARIES POTENTIALLY, YOU KNOW, WE DON'T, WE DON'T CUT A DEAL, YOU'RE GONNA LOSE YOUR LIBRARY.
THAT'S NOT A FAIR DECISION OR NARRATIVE TO PUT IN FRONT OF A RESIDENT NO MATTER WHAT THE, THE FAIR NARRATIVE IS TO SAY, WE'VE GOTTA IDENTIFY WHAT'S A CORE SERVICE AND WHAT IS NOT.
AND BETWEEN THOSE TWO, WE FUND THE CORE AND WE CUT THE THOSE THAT ARE NOT, AND WE START TO SIT THERE AND THINK, OKAY, THEN THESE ARE TOUGH DECISIONS TO HAVE.
THEY GET STACK RANKED, RIGHT? YOU HAVE TO LOOK AT 'EM AND SAY, WHERE CAN YOU TRIM AND CUT A BUDGET? I WOULD JUST ASK, WE SHOW A LITTLE MORE FAIRNESS IN THE DELIVERY OF THE INFORMATION SO AS NOT TO PUT A, A CITIZEN ON A, YOU KNOW, CHOOSE A LESSER OF TWO EVILS DECISION.
UM, THE, UH, AND I, YOU KNOW, ONE OF THE SLIDES, AND THIS IS GOOD WORK TO COUNCILMAN PERRY AND YOUR STAFF, THIS IS A HECK OF A PRESENTATION TAKING THE THINGS YOU AND I HAVE TALKED ABOUT OVER THE LAST YEAR, REALLY.
RIGHT? AND, UM, AND YOU'VE KIND OF QUANTIFIED, I THINK THE BIGGEST ONE TO THAT, THAT I'M LOOKING AT IS A SLIDE THAT TALKS ABOUT, AND I AVERAGED IT UP WHILE I WAS HERE JUST A MINUTE AGO, ABOUT $37 MILLION ON AVERAGE OVER THE LAST SIX YEARS.
WE'VE AVERAGED ABOUT $37 MILLION IN SURPLUS.
UH, SO WE ARE IN A, IN A VERY STRONG FINANCIAL POSITION.
I THINK THAT OPENS THE DOOR FOR A, UH, YOU KNOW, PROPERTY TAX HOMESTEAD TYPE EXEMPTION.
AND TO SLIDE 48 WHERE WE WERE TALKING ABOUT THIS, WHAT THE CITY HAS OR DOESN'T HAVE, THE FACT THAT WE'RE THE ONLY MUNICIPALITY WITHOUT ONE, UM, OR NOT.
SLIDE 48 SLIDE, WHICH ONE WAS IT? THE, UH, I DIDN'T WRITE IT DOWN.
IT'S THE ONE THAT HAS THE LISTING THE MUNICIPALITIES ACROSS THE STATE.
DANG, WITH MY GLASSES, I CAN'T EVEN SEE 'EM.
I'M TURNING INTO PERRY OVER HERE.
SO I THINK THAT I, I DO BELIEVE THAT THAT'S, UH, YOU KNOW, AN UNACCEPTABLE SCENARIO AND WE HAVE TO FIND, THAT TELLS ME THAT WE CAN BE ON THE LEADING EDGE OF AT LEAST CATCHING UP ON CERTAIN THINGS.
AND THAT'S AN EVEN BIGGER CONCERN FOR ME.
FRANKLY, I DIDN'T RECOGNIZE THIS DISABLED EXEMPTION PIECE.
LIKE I'M KIND OF AS A COMPASSIONATE CITY, RIGHT? WE HAVE A COMPASSIONATE CITY STRATEGY THAT'S NOT VERY COMPASSIONATE.
I MEAN, 12 AND HALF THOUSAND DOLLARS EXEMPTION WHEN THE REST OF THE STATES MORE THAN DOUBLE OF US.
I, I, I, I, I WOULD BE VERY, SO IMMEDIATELY I WOULD HOPE WE WOULD HAVE A CONVERSATION ABOUT RAISING A DISABLED EXEMPTION TO MIRROR THE OVER 65 HOMES THAT EXEMPTION AT THE BARE MINIMUM.
UM, SO HOPEFULLY THAT CAN COME UP TOO.
I MEAN, A DISABLED EXEMPTION MAKES TOTAL SENSE.
UM, JUST, YOU KNOW, KIND OF EMBARRASSED THAT IT'S THAT LOW IN COMPARISON TO EVERY OTHER MUNICIPALITY IN THE CITY.
UM, BUT I THINK WE NEED TO GET INTO THIS ONE, UH, TOO, AND KIND OF FIGURE OUT HOW WE CAN OFFER THE RIGHT AMOUNT OF, UH, FUNDING, UH, FOR OUR, FOR A HOMESTEAD EXEMPTION.
AND LIKE I SAID, EVERY DOLLAR COUNTS.
IT'S THE NUMBER ONE TOPIC WE HIT WHEN WE'RE ON THE STREETS.
PEOPLE ARE TIRED OF IT, AND, UH, IT'S, IT'S WORTHY OF THE CONVERSATION.
UM, AND THEN I'LL JUST LEAVE IT WITH, UH, YOU KNOW, THE UPCOMING BUDGET PROCESS.
[02:25:01]
INTERESTING, UH, AS WE, AS OUR SECOND GO AROUND FOR EVERYBODY THAT'S NEW HERE, I'M HOPEFUL THAT WE CAN HAVE THE CONVERSATION OF BUDGET AMENDMENTS AND OTHER THINGS A LITTLE SOONER IN THE CONVERSATION.UH, SO WE'RE NOT PITTING DISTRICT AGAINST DISTRICT, YOU KNOW, CLAWING AT EACH OTHER'S THROATS IN THE LAST 48 HOURS TRYING TO GET THE SCRAPS.
UM, I THINK WE NEED TO REEVALUATE, MAKE SURE THAT WE HAVE A CONVERSATION ABOUT WHAT THE BUDGET PROCESS LOOKS LIKE, UH, THIS GO ROUND.
I THINK WE REQUESTED THAT LAST TIME.
I THINK MORE THAN ONE MEMBER SAID WE WANTED TO LOOK, I KNOW PERRY DID MYSELF, THAT WE WANTED TO SEE THE BUDGET PROCESS MOVE DIFFERENTLY.
UM, SO WE'RE HAVING DIFFERENT CONVERSATIONS UPFRONT.
I THINK THAT WAS ONE OF OUR CONVERSATIONS WE WANTED REITERATE THAT ONE FROM LAST YEAR AS WELL.
AND, UM, I THINK I GOT MY POINTS.
I, I, I THINK IT'S A, A GREAT PRESENTATION.
LOOKING FORWARD TO THE CONVERSATION.
UH, IS IT HARD TO ALSO ASK TO INCLUDE DEPARTMENTS AND LOCATIONS THAT CAN GET CUT? YES.
AND IT, WE NEED TO LOOK AT MORE THAN WHAT'S ON SLIDE 48 MORE THAN THESE, THE CORE SERVICES.
WE NEED TO LOOK ACROSS THE BOARD WHERE WE CAN GENERATE THE REVENUE TO PUT MONEY BACK IN THE RESIDENT'S POCKET.
UH, AND I HOPE WE HAVE A BETTER CONVERSATION ABOUT IT FROM A STANDPOINT OF, IT'S NOT OUR MONEY.
IT LITERALLY, IT DOES NOT BELONG TO US AT ALL.
AND I THINK WE HOLD ONTO IT SO TIGHT THAT THAT'S PART OF THE REASON WHY THERE'S A LOT OF MISTRUST AT CITY HALL WITH PEOPLE'S MONEY, RIGHT? THEY DON'T WANNA DO IT ANYMORE.
SO I'D ASK THAT YOU REMEMBER THAT AS WE GET INTO THE PROCESS AND WE RESPECT ALL SIDES OF VIEWS, THAT PEOPLE THINK IT'S RIGHT TO CUT AND FIND WAYS TO FUND CORE SERVICES, HARD DISCUSSIONS.
BUT I THINK WE'VE HAD, YOU KNOW, WE'VE HAD TOUGHER ONES UP HERE ON THIS COUNCIL.
SO IT'S, IT'S WORTHY OF THE CONVERSATION TO MAKE SURE THAT WE'RE PUTTING THE MONEY, THE CITIZENS' MONEY, UH, WHERE IT MATTERS MOST AND WHERE THEY WANT IT.
SO I'M THANKFUL FOR THE WORK AND THE PRESENTATION, UH, AND I LOOK FORWARD TO THE CONVERSATION AND, AND THE NEXT FEW MONTHS THROUGH THE BUDGET CYCLE.
THANK YOU MAYOR MARIA, ANOTHER YEAR, ANOTHER GREAT SIX PLUS SIX PRESENTATION.
UH, LET ME, LET ME, LET ME START HERE.
YOU KNOW, TAX RELIEF, TAX RELIEF IS THE RIGHT ANSWER TO THE WRONG QUESTION RIGHT NOW.
TAX RELIEF IS NOT THE ANSWER TO HOW I CAN MAKE MY BLOCK WALKING EASIER ON THIS TAX RELIEF IS NOT SO THAT I CAN PUT SOMETHING ON MY CAMPAIGN AND SAY TO THE FOLKS WHO I'M GONNA GO ACT AND ASK FOR VOTES THAT I DID SOMETHING FOR YOU.
I THINK WHAT FOLKS IN THE COMMUNITY DESERVE IS THE TRUTH.
IF THEY WANT TAX RELIEF, LET'S, LET'S BE HONEST ABOUT WHERE YOU COULD TRULY FIND THAT.
AND I THINK THAT'S WHAT WE'VE BEEN TRYING TO POINT THE, THE, THE FINGER TO REALLY WHAT THE BIG PROBLEM IS.
SO LET'S ASSUME THROUGH THE SCENARIO HERE, I'M GONNA USE COUNCILMAN PERRY'S PRESENTATION.
HE GAVE US, UH, COUNCILMAN PERRY GAVE US A, I THINK WHAT IS A MIRROR OF WHAT YOU'VE GIVEN US IN TERMS OF BEN, WHAT WE WOULD SAVE IF WE HAD A $500,000 HOME, A $300,000 HOME, OR A $100,000 HOME MM-HMM.
SO LET'S ASSUME I'M KNOCKING ON THE DOOR OF A $200,000 HOME AND COUNCILMAN PERRY, LET'S GO WITH THE HIGHEST EXEMPTION YOU WANT TO GO WITH, WHICH IS 20%.
UM, THEY'RE GONNA SAY, LOOK, MY TAXES ARE TOO HIGH.
THEY'VE GONE UP BY $6,000 IN THEIR ASSESSED VALUATION.
AND I TELL THEM, YOU KNOW WHAT, IN THE LAST CYCLE, WE'VE GONE DOWN AND REDUCED IT 20% SIGNIFICANT AMOUNT TO THE CITY IN TERMS OF THE REVENUE THAT WE WOULD BE FOREGOING AND WE SAVED YOU $223.
I WILL SUB SUBMIT TO YOU THAT, YOU KNOW, SUB DIVIDE $223 OVER $12, SOMEBODY COULD ADVERTISE A REAL SAVINGS MONTH TO MONTH, UH, MAYBE ABOUT 15, 20 BUCKS A MONTH THAT THEY MIGHT SAVE.
UM, I'LL SUBMIT TO YOU THAT THAT IS STILL A SAVINGS.
BUT THE REAL QUESTION I'VE GOT IS THAT WE'RE GONNA GO THROUGH OUR BUDGET PROCESS PROCESSING, AND WE'RE GONNA ASK OURSELVES, ALL RIGHT, FOR THAT RELIEF THAT WE PROVIDED, UH, WHAT DID WE FOREGO? SO WHAT IS IT? JUST USE THE $200,000 EXAMPLE.
LET'S JUST DO THE 20% EXEMPTION MM-HMM.
THE GENERAL FUND, YOU WOULD FOREGO $27.4 MILLION, AND ON THE DEBT SERVICE SIDE, WE WOULD FOREGO $16.7 MILLION.
AND THAT, THAT, AGAIN, IS THE REVENUE NUMBER, NOT THE CAPACITY NUMBER.
SO WE TURN AROUND AND TAKE $16 MILLION LESS IN PROPERTY TAX REVENUE.
THAT TURNS INTO A MUCH BIGGER LOST BOND CAPACITY NUMBER.
AND IF YOU USE THE 10 TO ONE RATIO, THAT'S 160 MILLION, ACTUALLY MORE WITH LOW INTEREST RATES THAT WE HAVE TODAY.
YEAH, IT WOULD BE MORE THAN THAT.
CLOSER TO 200, OVER 200 MILLION IN CAPACITY.
SO AT THAT RESIDENCE DOOR, I'VE TOLD HIM, LOOK, AT THE VERY LEAST, THE CITY TRIED TO DO SOMETHING.
THE BIGGER PIECE OF THE PIE IS, IS YOUR SCHOOL DISTRICT BILL, BUT THE CITY TRIED TO GIVE YOU THE $223 BACK.
BUT IF I'M HONEST WITH THAT CONSTITUENT, HE'S GONNA ASK
[02:30:01]
ME AT THE SAME TIME, OKAY, NOW THAT WE'VE FIXED THAT PROBLEM, ANYTHING ELSE IN YOUR NEIGHBORHOOD THAT WE NEED TO WORK ON, THEY'RE GONNA SAY, OF COURSE, THERE'S A NUMBER OF THINGS THAT YOU NEED TO CONTINUE TO WORK ON, WHETHER IT'S, UH, MY DRAINAGE ISSUE, MY STREETS, MY SIDEWALKS, THE FIRE STATION IN DISTRICT THREE, I WANT MORE POLICE OFFICERS ON THE BEAT.WELL, I SAY, WELL, FOR THAT $223, WE ACTUALLY HAD TO REDUCE $27 MILLION.
THAT'S, THAT MEANS WE PROBABLY WEREN'T ABLE TO GET TO AS MANY STREETS HAVE AS MANY OFFICERS.
AND SO SLIDE 48 IS NOT A SCARE TACTIC, UH, COUNCILMAN, I THINK IT'S REALITY.
I THINK WE COULD PUT UP THERE A LESS OF A SCARY TACTIC AND SAY, YOU KNOW, WE'LL CUT SOME DELEGATE AGENCIES.
WELL, I GUESS WE HAVE DELEGATE AGENCIES UP THERE.
WE CAN SAY, WE CAN CUT THE OFFICE OF X.
THAT MAY NOT SEEM LIKE A CORE FUNCTION, BUT, YOU KNOW, SLIDE FOUR, IF YOU CAN, UH, UH, LET'S NOT CONFUSE OURSELVES HERE.
I MEAN, THAT'S WHERE MOST OF OUR MONEY GOES.
AND, AND THE SUGGESTION THAT WE FEEL LIKE THAT THIS IS THE COUNCIL'S TAXPAYER DOLLARS, IT'S NOT, THIS IS NOT MY TAXPAYER DOLLARS THAT THE, THE, THAT I'M DECIDING TO PUT WHERE I WANT ON A, ON A WHIM.
I MEAN, THESE ARE DEDICATED PRIORITIES THAT WE HAVE, OF WHICH 65% IS JUST TO MAKE SURE PEOPLE ARE FEELING SAFE IN THEIR COMMUNITIES BECAUSE WE'RE SUFFICIENTLY KEEPING UP WITH WHAT WE CAN ON POLICE AND FIRE.
SO I THINK IT'S, IT'S, IT'S REASONABLE TO TALK ABOUT TAX RELIEF, BUT IT'S, IT'S IMPORTANT TO TALK ABOUT THE TRUTH AROUND TAX RELIEF.
AND, YOU KNOW, JEFF COYLE AND I HAVE HAD A LOT OF CONVERSATIONS ABOUT THE BIGGEST BULK, AND, YOU KNOW, IT'S NOT AN EASY CONVERSATION TO HAVE WITH SOMEBODY AT THEIR DOOR TO SAY, LOOK, THERE'S A LONG-TERM EFFECT THAT, THAT YOUR VALUATIONS HAVE BEEN IMPACTED BY, AND THAT'S THE AMOUNT THAT YOU'VE PAID TO YOUR SCHOOL DISTRICT.
I THINK THEY'LL, THEY CAN WALK INTO THEIR DRAWER WHERE THEY CAN, WHERE THEY KEEP THEIR TAX, UH, PROPERTY TAXES, BRING IT OUT TO ME AND I'LL LOOK AT IT AND IT'LL BE CONSISTENT THAT 48 TO 49% OF THAT WILL GO TO THEIR SCHOOL DISTRICT.
AND FRANKLY, I THINK WE'RE POINTING THE FINGER IN THE WRONG DIRECTION WHEN WE SAY THAT IF YOU WANT TRUE TAX RELIEF, IT EXISTS SOMEWHERE.
UM, AND WE'RE NOT REALLY WILLING TO GET THROUGH THAT COMPLICATIONS OF TALKING ABOUT STATE LEVEL THINGS BECAUSE WE CAN'T CONTROL THEM.
SO WE'VE SUBMITTED THAT, WE LOST THAT FIGHT.
I JUST DON'T THINK THE, THE, THE RETURN ON INVESTMENT AS, AS, AS MUCH AS WE USE THAT TERM, THE RETURN ON INVESTMENT IS NOT ONE THAT IS FAIR TO THE ENTIRE COMMUNITY.
IN FACT, IF I PROVIDE A 20% EXEMPTION, YOU KNOW, IT'S THE FOLKS WHO HAVE $500,000 HOMES THAT REALLY GET THE BIGGEST RELIEF IN THAT.
AND WHAT WE HAVE THE LUXURY OF DOING AT THE LOCAL LEVEL IS NOT USING AN AX FOR TAX RELIEF.
WE COULD, YOU COULD USE A SCALPEL IN TRYING TO SOLVE SOME OF THESE PROBLEMS. THAT'S WHY WE WENT AFTER THE MOST VULNERABLE.
SO WE HAVE TO BE VERY HONEST WHEN WE SAY, WHO DO WE REALLY WANT TO HELP OUT WITH TAX RELIEF? IT'S THOSE FOLKS WHO ARE LIVING ON FIXED INCOMES, SOMEBODY WHO MAY BE A SENIOR OVER 65.
IT'S THE FOLKS WHO OTHERWISE MIGHT HAVE TO LIVE PAYCHECK TO PAYCHECK.
AND SO GOING ACROSS THE BOARD, I DON'T THINK REALLY GETS TO THE POINT WHERE WE'RE ACTUALLY PROVIDING RELIEF TO THE FOLKS WHO NEED IT THE MOST.
YOU'RE PROVIDING A BIGGER RELIEF, I THINK, TO THE FOLKS WHO, WHO, WHO HAVE LARGER PROPERTIES, MORE EXPENSIVE PROPERTIES.
AND I JUST DON'T THINK THAT THAT'S THE BEST APPROACH, BECAUSE AT THE END OF THE DAY, WE AT THE LOCAL LEVEL HAVE THE OPPORTUNITY TO BE VERY STRATEGIC IN THE WAY WE PROVIDE RELIEF, AND WE CAN GO FORWARD WITH THE PRO RELIEF AGENDA.
I CAN SUPPORT A PRO TAX RELIEF AGENDA AS LONG AS WE DO IT IN A WAY THAT DOESN'T DETRIMENTALLY AFFECT THE WAY THAT WE'RE ABLE TO INCREASE REVENUES FOR THE CITY TO DO THE THINGS THAT WE WANNA FOLLOW UP WITH AT THAT CONSTITUENTS DOOR AND SAY, WE DO WANT TO ADD FIVE MORE OFFICERS TO THE MENTAL HEALTH UNIT, BECAUSE TODAY WE HAVE FIVE MENTAL HEALTH UNIT OFFICERS FOR A CITY OF 1.5 MILLION, OF WHICH 1.5 ADULTS DEALS WITH A MENTAL HEALTH ISSUE.
SO I WILL BE ASKING FOR THAT INVESTIGATION.
UH, WHEN WE VOTE ON THE BUDGET TO ADD MORE MENTAL HEALTH OFFICERS, I WILL BE ASKING THAT WE CONSIDER THAT OUR CITY EMPLOYEES HAVE SEEN A 1% COST OF LIVING ADJUSTMENT THE LAST FEW YEARS.
I'D LIKE TO SEE A 2% COST OF LIVING ADJUSTMENT FOR OUR CITY EMPLOYEES.
SO, YOU KNOW, FRANKLY, I DON'T THINK THE EXCHANGE IS A FAIR ONE.
I DON'T THINK IT'S A SUSTAINABLE ONE.
AND I DON'T THINK IT'S A, IT'S A, IT'S AN HONEST ONE IF WE'RE REALLY TRYING TO PROVIDE RELIEF.
UM, I WANTED TO COME AT THIS WITH THE BEST OF, UH, OF, OF INTENTIONS AROUND TRYING TO FIND A WAY.
UH, I THINK THAT WE HAVE, I THINK WE HAVE SOMETHING WHEN WE CONSIDER ARE OUR DISABLED EXEMPTIONS AT THE POINT WHERE THEY'RE ACTUALLY SUPPORTING.
AND I THINK COUNCILMAN BROADCAST HAS A POINT WHERE, IF YOU CAN PUT UP THE SLIDE AGAIN, 16,000, PERHAPS 500 INDIVIDUALS RECEIVE RELIEF AS A DISABLED TAX EXEMPTION.
WHO CAN TELL ME THE STORY ABOUT THAT A LITTLE MORE
[02:35:03]
ON THIS SLIDE? COUNCILMAN? I, YEAH.IT'S THE ONE, THE NEXT THAT COMPARES US TO OTHER CITIES.
WHO, WHO, WHO FITS THAT CATEGORY? THESE ARE, UH, DISABLED HOMEOWNERS THAT, UM, IN ADDITION, AND I'M GONNA ASK THE STAFF TO, TO JUMP IN HERE, BUT IN ADDITION TO THE STATE EXEMPTION, UM, THAT'S ON SLIDE 43, WHERE THEY'RE GETTING SOME AMOUNT OF THEIR APPRAISED VALUE DEPENDING UPON THEIR LEVEL OF DISABILITY EXEMPTED.
IN ADDITION TO THAT, WE'RE LAYERING IN AN ADDITIONAL 12,500.
SO A, A VETERAN WHO IS DISABLED YES.
AND THAT NUMBER'S ONLY AT 12,500 ACROSS THE UNIVERSE OF SAN ANTONIO PROPERTY TAXPAYERS.
SO ONE OF THE THINGS WE CAN DO FOR THE GOALS AND OBJECTIVES WORK SESSION IS WE CAN GET WITH BARE APPRAISAL DISTRICT AND ACTUALLY PULL THE DATA FOR THESE HOMEOWNERS.
SO I MENTIONED THERE'S TWO PIECES.
THERE'S A STATE MANDATED PIECE THAT BASED ON THE LEVEL OF YOUR DISABILITY, IT'S ON SLIDE, UM, 43, THERE'S A MANDATED, UM, EXEMPTION ON THE LEFT THERE THAT RANGES FROM $5,000 UP TO A HUNDRED PERCENT OF SOMEONE'S APPRAISED VALUE OF THEIR HOME, DEPENDING UPON THEIR LEVEL OF DISABILITY, THEIR VETERAN, THEY'VE GOT SOME LEVEL OF DISABILITY IT SET BY SS S I, UM, THAT WOULD DETERMINE AN EXEMPTION AMOUNT.
IN ADDITION TO THAT, WE'RE OFFERING AN ADDITIONAL $12,500 ON TOP OF THAT THAT THEY COULD ALSO GET.
SO WHAT WE CAN DO IS WE CAN PULL THAT UNIVERSE OF DISABLED VETERANS, THOSE THAT ARE IN THAT CATEGORY WITH BEAR APPRAISAL, DO SOME ANALYSIS AND BRING THAT BACK FOR Y'ALL'S, UH, CONSIDERATION OR FOR YOUR CONSIDERATION ON THAT MAY 30TH GOALS AND OBJECTIVES WORK SESSION.
I DON'T KNOW, I DON'T KNOW THE DELTA BETWEEN WHAT'S HAPPENING ON THAT STATE EXEMPTION AND WHAT WE'RE DOING TO SEE HOW MUCH OF A, A GAP THERE MAY STILL BE THAT, TO YOUR POINT, AND TO COUNCIL BROCK HOUSE POINT THAT WE SHOULD LOOK AT, AT THAT.
WELL, I'LL CHALLENGE YOU AND THE TEAM AT THE BUDGET OFFICE TO TRY TO FIGURE OUT WAYS IN WHICH, UM, WE STUDY THAT NUMBER TO CREATE IT, TO DIAGNOSE WHETHER THAT TRULY IS THE, THE UNIVERSE OF FOLKS WHO ARE HOMEOWNERS THAT ARE DISABLED, UH, THAT MAY BE ELIGIBLE FOR IT, BUT HAVEN'T BEEN QUALIFIED FOR IT.
UH, SO WITH, WITH THOSE TWO AGAIN, JUST, OH, AND COUNCILMAN, LEMME CLARIFY THAT.
I JUST REALIZED THAT THAT SLIDE, UH, ON 46, IT DOESN'T HAVE DOLLARS ON THERE.
THAT 12,500 IS A DOLLAR VALUE.
IS THAT WHAT YOU'RE ASKING? IS THAT THE NUMBER OF PEOPLE DOING IT? OR THE DOLLAR VALUE? THE NUMBER OF PEOPLE, YEAH.
SO 12,500 REPRESENTS WHAT A DOLLAR VALUE EXEMPTION THAT WE'RE ADDING.
I JUST REALIZED THAT WE, WE DON'T HAVE THE DOLLAR SIGNS UP THERE.
SO WHEN WE TALK ABOUT, EXCUSE ME, THE, THE COLUMN THAT SAYS, FOR EXAMPLE, OVER 8 65 EXEMPTION, ALL THESE NUMBERS, OUR DOLLAR VALUES THAT REDUCE THE APPRAISED VALUE, THE SAME AS FOR THE DISABLED EXEMPTION.
SO THE STATE, AGAIN, DOES SOMEWHERE BETWEEN $5,000 THAT THEY EXEMPT, UM, FROM SOMEBODY'S VALUE OF THEIR HOME, FROM BEING CONSIDERED AS PART OF BEING TAXED UP TO A HUNDRED PERCENT OF THE VALUE OF THEIR HOME.
IF IT'S LESS THAN A HUNDRED PERCENT, WE'RE ADDING AN ADDITIONAL 12,500 TOWARDS THE EXEMPTION THAT ISN'T TAXED.
WE CAN GET YOU THE NUMBER OF THOSE THAT FALL IN THIS CATEGORY, AND THEN WE CAN GET, WE CAN DO SOME STRATIFICATION ANALYSIS TO LOOK AT WHERE ARE THEY LANDING, ARE THEY LANDING CLOSER TO THE A HUNDRED PERCENT OF THE APPRAISED VALUE, OR IS IT SOMEWHERE IN THE MIDDLE? WE CAN DO SOME OF THAT ANALYSIS.
WELL, I THINK THE NUMBER I'M LOOKING FOR IS THE AMOUNT OF HOMEOWNERS.
AND SO WE CAN PULL THAT FOR SURE THAT YEAH, YOU CERTAINLY NEED DOLLAR SIGNS THERE IF THE REST OF US ARE THINKING THAT, THAT THOSE ARE 65,000 PEOPLE QUALIFYING.
SO AGAIN, JUST FOR FOLKS WHO ARE TAKING NOTES, GOING INTO THE NEXT BUDGET CYCLE, I'M, YEAH, I, I TRULY THINK THAT IF WE DO FIND AREAS FOR INCREASED SUPPORT, UH, I DO BELIEVE THAT IF ANYBODY'S HAD AN OPPORTUNITY TO VISIT THE FOLKS WHO ARE IN MENTAL HEALTH UNIT, UM, THEY ARE WORTH THEIR WEIGHT IN SEVERAL WAYS.
AND THEY HAVE A RIPPLE EFFECT FOR OUR COMMUNITIES WHO ARE DEALING WITH CONSISTENT CALLERS OF, OF RESIDENTS WHO MAY BE DEALING WITH MENTAL HEALTH ISSUES.
AND WE ONLY HAVE FIVE S A P D OFFICERS WHO ARE TRAINED, UH, TO APPROACH AND TO HANDLE INDIVIDUALS WHO MAY BE DEALING WITH MENTAL HEALTH.
AND I THINK WE NEED TO DOUBLE THAT NUMBER.
SO, UH, CHERYL, I HOPE YOU'LL HELP ME THINK ABOUT THAT GOING INTO THE BUDGET SESSION AS WELL AS THE COST OF LIVING ADJUSTMENT FOR OUR CITY EMPLOYEES.
AND, UM, THANK YOU BEN AND MARIA FOR, FOR YOUR
[02:40:01]
PRESENTATION, AND CHERYL FOR COMING IN, UH, UNDER BUDGET AND ON TIME, LIKE THE COUNCILMAN SAID.UM, I WANT TO, UH, THERE ARE GREAT THINGS THAT YOU PRESENTED TODAY.
UH, VERY HAPPY TO SEE SOME OF THEM.
I DO HAVE SOME, SOME QUESTIONS AND COMMENTS.
UM, I'M GONNA START WITH, UM, THE PROPERTY TAX DISCUSSION.
UM, YOU KNOW, THIS WEEK WE HELD, UH, OUR FIRST PROPERTY TAX WORKSHOP FOR DISTRICT SEVEN.
ADMIT IT WASN'T AN ORIGINAL IDEA.
SO IT'S, UH, WE WANTED TO DO IT AS WELL, UM, BUT HAD NO IDEA HOW POPULAR IT WOULD BE.
WE HAVE, UH, WE SCHEDULED TWO JUST BECAUSE OUR DISTRICT IS SO BIG, BUT BOTH OF THEM REACHED CAPACITY ALREADY, AND WE'RE ON OUR THIRD ONE, AND THERE'S A, THERE'S A WAITING LIST ALSO.
SO LAST NIGHT WE HAD, UM, THE FIRST ONE ABOUT, UH, A HUNDRED PEOPLE THERE AT THE YOUNG WOMEN'S LEADERSHIP ACADEMY.
AND LET ME TELL YOU, IT'S A LITTLE, IT'S A LITTLE SCARY BECAUSE PEOPLE ARE VERY PASSIONATE ABOUT THEIR TAXES.
I MEAN, LIKE, THE COUNCILMAN SAYS IT, IT IS WHAT YOU HEAR WHEN, WHEN YOU GO OUT THERE.
AND SO WHAT I FELT WE COULD DO, AT LEAST FOR THE MOMENT, WAS HELP THEM GIVE THEM THE TOOLS TO PROTEST THEIR APPRAISAL.
BECAUSE LET'S FACE IT, SOME PEOPLE HAVE THOSE TOOLS AT THEIR DISPOSAL AND THEY END UP GETTING A LOWER, UH, THEY END UP PAYING LESS IN TAXES BECAUSE THEY HAVE ACCESS TO ATTORNEYS, OR THEY'RE ABLE TO NAVIGATE THE SYSTEM BETTER.
SO WHAT WE DID WAS EDUCATE FOLKS, UM, ON THAT.
BUT WE ALSO, UH, WE ALSO TALKED ABOUT WHAT THE CITY COULD DO IN TERMS OF SOME TYPE OF TAX RELIEF.
AND REALLY WE DID FOCUS ON A LEGISLATIVE AGENDA THAT COULD ADDRESS THAT.
SO I, I DID SPEAK WITH BEN AND MARIA ABOUT WHAT OUR OPTIONS WERE AS A CITY, WHAT TYPE OF EXEMPTIONS WE COULD OFFER.
YOU DON'T HAVE TO STAND UP, BUT
UH, WHAT OPTIONS WE COULD OFFER.
AND YOU WERE, UH, I THINK BEN, YOU TOLD ME THAT IT COULD ONLY BE BASED ON AGE, RIGHT THERE, UH, DURATION OF TIME AND HOME WASN'T, OH, YOU WANNA STAND UP, GO RIGHT AHEAD.
WE CAN'T DO IT BASED ON THE NUMBER OF YEARS YOU'VE BEEN IN A HOME.
SO THAT COULD BE AN OPTION TO PURSUE LEGISLATIVELY.
AND, UH, AND THIS HAD COME UP AT A PREVIOUS TOWN HALL I HAD, AND THAT IS SOMETHING THAT RESIDENTS WERE INTERESTED IN IS, UH, SEEMS SOMETHING THAT WAS BASED ON HOW LONG THEY'D BEEN IN THEIR HOME.
AND, YOU KNOW, NO, NO DISRESPECT TO THE MILLION PEOPLE WHO ARE COMING TO SAN ANTONIO OR, OR THE ONES THAT JUST GOT HERE, BUT I THINK, UH, WE REALLY HAVE AN OBLIGATION TO HELP THE PEOPLE THAT HAVE BEEN HERE FOR A LONG TIME.
UM, JUST YESTERDAY, I WAS, UM, UH, TALKING TO SOME VISITORS FROM THE ROBERT WOOD, WOOD JOHNSON FOUNDATION, YOU KNOW, WE'RE A FINALIST IN THAT, IN THAT, UH, AWARD, WHICH IS EXCITING TO BE IN THE, IN JUST THAT GROUP OF 10 FROM OUT OF 150 CITIES THAT ARE APPLYING FOR THIS, UH, CULTURE OF HEALTH AWARD.
AND, UH, THEY, THEY ASKED WHY OUR COUNCIL WAS, YOU KNOW, SO EXCITING AND SO MANY CHANGES WERE HAPPENING AND, AND WHY THE FOCUS ON EQUITY, WHY WE HAD THIS COMMITTEE.
AND I SAID, YOU KNOW, OURS IS A CITY THAT HAS A HISTORY OF, YOU KNOW, SOME DISPARITY, A LONG HISTORY OF DISPARITY.
I SAID, BUT RIGHT NOW WE'RE GOING THROUGH A RENAISSANCE PERIOD.
WE ARE, UM, BLOSSOMING AS A CITY.
AND I THINK THE REAL QUESTION IS, IS EVERYONE GOING TO COME WITH US WHEN WE EXPERIENCE THAT, THAT RENAISSANCE THAT, UM, THAT GROWTH IN OUR CITY? AND I, I THINK THAT'S WHY WE HAVE AN EQUITY COMMITTEE.
AND I THINK THAT'S ALSO A REASON WHY WE WANNA MAKE SURE WE THINK ABOUT OUR LONGSTANDING RESIDENTS HERE IN SAN ANTONIO.
WE DO NOT WANT THEM TO GET LEFT BEHIND AS WE, AS WE GROW AS A CITY.
SO I FULLY SUPPORT A LEGISLATIVE AGENDA THAT WOULD PURSUE THAT TYPE OF FLEXIBILITY IN SEEKING TAX RELIEF.
UM, I AM HESITANT ABOUT A, UM, JUST A FLAT HOMESTEAD, UH, EXEMPTION.
UM, SORRY, COUNCILMAN
UM, JUST A A A COUPLE OF QUESTIONS, UM, FOR JEFF.
UM, THANK YOU VERY MUCH FOR YOUR, UH, FOR YOUR WORK ON ESSAY.
SPEAK UP, SPEAK UP, ESSAY, ESSAY, SPEAK UP.
UM, I, I KNOW YOU, WE TALKED ABOUT THIS LAST TIME ABOUT HOW YOU HAVE A SURVEY, IT'S FAIRLY QUICK.
YOU WANNA TOUCH A LOT OF PEOPLE, BUT CAN YOU GIVE US AN EXAMPLE OF HOW THAT INPUT IN THE SURVEY REALLY AFFECTS THE OUTCOME OF THE SURVEY? CAN YOU LIKE AN EXAMPLE OF WHAT MAY HAVE HAPPENED THE PAST COUPLE OF YEARS? SURE.
WHAT, WHAT WE DID THE PAST TWO SURVEYS WAS ASK PEOPLE TO PRIORITIZE WHAT, UM, WHAT WAS MOST IMPORTANT TO THEM.
AND, AND STREETS CAME IN, NUMBER
[02:45:01]
ONE, AND AS YOU KNOW, THE LAST FEW BUDGET CYCLES, THE STREET'S BUDGET HAS GONE FROM, WHAT, 41 MILLION TO 64 TO 99.UM, AND, AND WE REPORT BACK TO THE PEOPLE WHO LEAVE THEIR EMAIL ADDRESS AND LET THEM KNOW HOW THEIR CONCERNS WERE HEARD AND HOW THEY WERE ADDRESSED IN THE BUDGET.
UM, PUBLIC SAFETY SPECIFICALLY, MORE OFFICERS AND FIREFIGHTERS IS OFTEN A, A TOP SCORER.
AND OF COURSE, THAT'S BEEN AN ISSUE THAT'S BEEN ADDRESSED IN THE PAST FEW BUDGET YEARS.
UM, WHAT WHAT WE REALIZED THOUGH, WAS WE WERE ASKING PEOPLE TO NAME THE LAST FEW YEARS THEIR PRIORITIES, AND THAT DOESN'T NECESSARILY TELL US WHETHER OR NOT THAT PRIORITY IS FUNDED AT A LEVEL THAT THEY THINK IS ADEQUATE.
SO WE'VE TWEAKED IT A LITTLE BIT THIS YEAR.
WE'LL SEE HOW, HOW THE RESULTS, UM, BEAR OUT.
I'LL, I'LL BE HONEST, I SAW A STACK OF SURVEYS ON THE TABLE THIS WEEK, AND I PICKED A FEW UP AND I SAW PEOPLE WRITING.
I WANT SIGNIFICANT INCREASES IN STREETS, POLICE, LIBRARIES, PARKS, ANIMAL CARE, AND, YOU KNOW, ON AND ON.
SO, UM, WE'LL, WE'LL HAVE TO, YOU KNOW, WE'LL, WE'LL HAVE TO SEE HOW THE RESULTS COME OUT, BUT THAT'S, WE TWEAKED IT A LITTLE BIT TO TRY TO GIVE PEOPLE A, UH, THE IDEA OF TRADE OFFS, THAT IF THEY NEED, WANT MORE IN STREETS, THEN WHERE CAN THERE BE LESS? THANK, THANK YOU.
I, I DO THINK THAT'S IMPORTANT FOR THANK YOU.
I DO THINK THAT'S IMPORTANT FOR FOLKS TO, UH, OUT IN THE COMMUNITY TO REMEMBER THAT THERE ARE TRADE OFFS, UM, THAT THERE'S NO MAGICAL THINKING.
LIKE, UM, LIKE THE COUNCILMAN SAID EARLIER, COUNCILMAN BELIA SAID EARLIER,
AND I, I'M PARTICULARLY GRATEFUL THAT YOU'RE CONTINUING TO DO THE EDUCATION AROUND THE, UM, GARBAGE CARTS.
I KNOW WE COULD JUST SIT BACK AND TAKE ADVANTAGE OF THE FACT THAT PEOPLE MAY BE OVERPAYING, BUT I THINK IT'S IMPORTANT TO TIE, UH, FEES, ESPECIALLY WITH AN ENTERPRISE FUND, TO THE VALUES THAT WE WANT TO DRIVE AS A CITY.
UM, AND I WANNA MAKE SURE THAT THE UPCOMING BUDGET SUPPORTS THOSE VALUES, LIKE THE COUNCILMAN SAID, UH, IN TERMS OF EQUITY, IN TERMS OF CLIMATE ACTION AND RESILIENCE AND, UH, COMPASSION.
AND I THINK, UH, THE ISSUE OF MENTAL HEALTH AND HAVING MENTAL HEALTH OFFICERS DOES REALLY STRIKE AT, AT COMPASSION.
UH, AND I WOULD LIKE TO SEE THAT AN INCREASE IN, IN THOSE PARTICULAR TYPE OF OFFICERS.
UM, THE OTHER THING I, I WOULD LIKE TO SEE AS WE GO FORWARD IN THE, FOR THE BUDGET WORKSHOP IS, UH, IS A FOCUS ON HEALTH.
WE DO HAVE THIS COMMUNITY HEALTH AND EQUITY COMMITTEE NOW, UM, WE'VE HEARD, YOU KNOW, WE HAVE SOME VERY DIRE STATISTICS AND, AND HEALTH INDICATORS, AND WE PRO WE DON'T HAVE THE MONEY TO, TO FIX THEM ALL, I KNOW.
UM, BUT IF THERE'S A WAY WE CAN WORK SMARTLY TO MAYBE TRY OUT SOME PILOTS AND IN CERTAIN AREAS, UH, IN PARTICULAR, WE DO HAVE A REALLY HIGH CHILDHOOD ASTHMA HOSPITALIZATION RATE IN THE COUNTY, AND SOME OF THAT CAN BE AVERTED WITH PREVENTION, WHICH IS MUCH LESS COSTLY THAN GOING TO, TO THE HOSPITAL.
UM, I BELIEVE THE FIRE DEPARTMENT HAS A UNIT FOR PEOPLE WHO FREQUENTLY CALL, UM, THE FREQUENT USERS.
UH, AND, UH, SO MAYBE AN EXPANSION OF THAT OR SOMETHING OUT OF THE, THE HEALTH DEPARTMENT THAT, UH, FOCUSES ON IN-HOME, UH, TUTORIALS ABOUT, UH, YOU KNOW, RELIEVING SOME ALLERGENS, UH, IN THE HOME.
UH, BUT PROBABLY MY, MY BIGGEST ASK WOULD BE ON THE STREET SIDE, UH, DISTRICT SEVEN, UH, WHEN WE DID OUR, THE EQUITY BUDGETING THIS YEAR, YOU KNOW, I RAISED A BIG STINK BECAUSE WE USED AVERAGES AND DISTRICT SEVEN CAME OUT RIGHT ON 70 IN TERMS OF THE AVERAGE P C I SCORE.
SO, UM, SO WE DIDN'T GET, UH, UH, ADDITIONAL MONEY.
AND I, I UNDERSTAND HOW THAT WAS DONE, BUT DISTRICT SEVEN, LIKE DISTRICT SIX HAS A VERY OLD PART AND A VERY NEW PART.
AND, UH, SO I WOULD, UH, LIKE TO, UH, ASK MY COLLEAGUES TO CONSIDER INCREASING THAT FOR, FOR DISTRICT SEVEN.
AND, UM, I'M GONNA GIVE YOU ANOTHER, ANOTHER REASON WHY YOU MIGHT WANNA DO THAT.
UM, I LOOKED AT THE 27, I'VE GOT MY NUMBERS TOO, COUNCIL.
I LOOKED AT THE, I LOOKED AT THE 2017 BOND ALLOCATIONS FOR STREETS, UH, BRIDGES AND SIDEWALKS.
AND COUNCILMAN INTERVIEWING YOU, I'M JUST GOING TO TEASE YOU A LITTLE BIT.
YOU TOLD ME ONCE AND VERY PROUDLY, AND I WOULD BE PROUD IF I WERE YOU TWO.
YOU SAID, WE HAVE $10 MILLION IN THE BOND FOR SIDEWALKS IN DISTRICT ONE.
I HAVE $10 MILLION IN THE BOND FOR STREETS, SIDEWALKS, AND BRIDGES.
SO I, I THINK THAT IS A HUGE DISPARITY.
UM, IF I LOOK AT THE OTHER DISTRICTS, WHAT THEY GOT IN, IN MONEY FOR STREET SIDEWALKS AND BRIDGES, UH, DISTRICT FOUR GOT
[02:50:01]
CLOSE TO 16 MILLION.UM, A LOT OF DISTRICTS GOT AROUND IN THE TWENTIES.
UH, IT GOES AS HIGH AS $43 MILLION IN DISTRICT EIGHT.
AND WE'RE LOOKING AT A 10 MILLION GOOD WORK, UM, TO YOU AND, AND YOUR PREDECESSOR WHO IS, WHO IS NOW THE MAYOR.
UM, GOOD WORK, UH, BUT DISTRICT, BUT DISTRICT
BUT DISTRICT SEVEN GOT $10 MILLION.
SO THIS IS SOMETHING THAT WE'RE GOING TO SEE OVER THE COURSE OF FIVE YEARS, IS THAT DIFFERENCE IS GOING TO START SHOWING UP IN THE QUALITY OF OUR STREETS.
UH, YOU KNOW, WE HAVE, UH, WE JUST HAD A PRESENTATION ON SIDEWALK GAPS.
DISTRICT THREE AND DISTRICT SEVEN HAVE THE BIGGEST SIDEWALK GAPS AS WELL.
SO, UH, STAFF, UH, MAYOR AND UH, AND COUNCIL MEMBERS, I WOULD, UM, STRONGLY ASK YOU TO CONSIDER A GENEROUS HEART WHEN IT COMES TO STREETS FOR DISTRICT SEVEN.
COUNCILWOMAN SANDOVAL, COUNCILMAN INO.
SO, UM, YOU KNOW, IT'S HAPPY TO TALK ABOUT MORE AND MORE SIDEWALKS, AND THEN I THINK WE TALK ABOUT HOW, HOW OFTEN, UH, SIDEWALKS HAS BEEN THE TOP REQUEST ON THE SA SPEAKUP.
SO I JUST WANNA POINT OUT, I, NUMBER ONE, THANK YOU, MARIA.
THANK YOU, UH, BEN AND, AND JEFF, YOU KNOW, I'VE SAID THIS BEFORE, UH, THE, THE COMMUNICATION PIECE OF THIS IS, IS SO IMPORTANT AND WE ARE TRYING TO TACKLE SO MANY, UH, NEEDS IN OUR COMMUNITY.
UM, YOU KNOW, AS, AS WAS PRESENTED BEFORE, WE'RE, WE'RE, WE'RE NOT EVEN CLOSE TO, TO THE INFRASTRUCTURE NEEDS THAT WE HAVE.
IT'S IN, IN FACT, IN DISTRICT ONE, IT'S NOT JUST THE GAPS, BUT THE EXISTING INFRASTRUCTURE THAT IS, THAT IS AMONGST THE OLDEST IN THE ENTIRE CITY.
SO WE HAVE A REAL CHALLENGE AHEAD OF US, AND, UH, WE'RE, WE'RE TRYING TO TACKLE THAT.
BUT I, I, I AGREE, I THINK WE NEED TO FIND SOLUTIONS THAT, THAT ARE, UH, HAVE A CITYWIDE IMPACT.
I WANNA TALK A LITTLE BIT ABOUT PROPERTY TAXES, THOUGH.
I, I DID, UH, TEXT THE CHIEF APPRAISER.
I GOT A QUICK ANSWER ON THE DISABILITY NUMBER FOR SA IT'S 8,200, TAKING ADVANTAGE OF THAT 8,200, OR TAKING ADVANTAGE OF THE DISABILITY, UM, EXEMPTION IN SAN ANTONIO.
UM, BUT, YOU KNOW, I TOO DO NOT SUPPORT THIS BLANKET HOMES THAT EXEMPTION BECAUSE IT'S, IT'S NOT, IT'S NOT THOUGHTFUL ABOUT GETTING THE HELP TO THOSE THAT REALLY NEED THE HELP.
AND WE, WE, WE, WE REALLY EXPRESSED THAT EXAMPLE WHEN WE, WE, WE SHOWED THE MAP OF THE, WHERE THE PRESSURES ARE AND, YOU KNOW, WORK WITH THE, THE APPRAISAL DISTRICT TO, TO GENERATE THE GREATEST, UH, PERCENTAGE CHANGE IN, IN, IN THE CITY.
AND THE CITY IS, IS, YOU KNOW, MAPPED OUT OVER 500 SQUARE MILES, UM, SHOWING A, UM, WHETHER IT'S A 150% INCREASE OR EVEN A A HUNDRED PER 150% DECREASE, YOU KNOW, THESE AREAS ARE, ARE, ARE SIGNIFICANTLY IMPACTED.
UH, AND, AND THOSE IN, IN, IN THEIR PROPERTY TAXES OR THE PROPERTY VALUATIONS, AND THEREFORE CREATES A PROBLEM FOR US TO TRY TO, TO TACKLE WITH A, WITH A, A BLANKET HOMESTEAD EXEMPTION.
I, I WOULD PROPOSE THAT, UH, SOMETHING THAT WE'RE WORKING WITH ED, ED GUZMAN ON IS THESE EMPOWERMENT ZONES CAN BE, CAN HAVE A, UH, A, A LIFESPAN TO, TO BE TARGETED IN AREAS WHERE WE'RE SEEING THE PRESSURES, WHETHER THEY'RE REALLY, REALLY HIGH OR EVEN DROPPING IN VALUE SIGNIFICANTLY.
UM, SO THIS IS THE BIGGER QUESTION, IS WE AS A CITY WHO COME IN AND DO THESE IMPROVEMENTS, INFRASTRUCTURE IMPROVEMENTS IN CERTAIN AREAS DO ADD VALUE TO THOSE AREAS.
AND IT CREATES, UM, YOU KNOW, THIS, THIS UNFORTUNATE CHOICE THAT WE, YOU KNOW, WE WANT TO IMPROVE DIFFERENT PARTS OF OUR CITY.
WE WANT, WE WANT BETTER STREETS FOR ALL CORNERS OF OUR CITY, BETTER SIDEWALKS, UM, BETTER LIGHTING AND BALANCE THAT WITH THE FACT THAT THAT AREAS ARE, ARE BEING, UH, ARE SEEN AS GROWING IN VALUE BECAUSE OF THOSE AMENITIES THAT WE THINK ARE IMPORTANT FOR EVERYONE TO HAVE.
SO, UM, WE WANT TO BE TRUTHFUL ABOUT, AS COUNCILMAN
[02:55:01]
AND I PREFER THE, THE, THE SURGICAL APPROACH, THE MORE, UH, THOUGHTFUL APPROACH THAT USES DATA AND, AND DATA THAT, THAT WE CAN SHARE, UH, UH, ACROSS DIFFERENT ENTITIES.AS, AS, AS WE'VE, WE'VE TALKED ABOUT.
AND COUNCILMAN BALA'S, UH, INNOVATION AND TECHNOLOGY COMMITTEE, UH, SHARING THIS DATA CAN BE VERY, VERY HELPFUL FOR A LOT OF FOLKS IN TERMS OF MAKING SURE THAT, UH, THOSE PEOPLE THAT CAN HAVE AN QUALIFY FOR EXEMPTION WILL GET THEIR EXEMPTIONS.
UH, PEOPLE THAT, THAT ARE NEEDING SOME RELIEF FOR ONE REASON OR ANOTHER THROUGH UTILITIES OR OR OTHER PROGRAMS THAT WE DO HAVE, THEY CAN BE ADDRESSED.
AND SO I, I, I THINK THAT'S THE MORE APPROPRIATE APPROACH AND THINKING ABOUT OUR BUDGET.
WHEN WE LOOK AT OUR BUDGET, WE, WE THINK OF PROGRAMS THAT ARE, ARE HELPING PEOPLE IN, IN AREAS THAT ARE QUICKLY DESTABILIZING.
AND, UH, SO THIS IS MY PUSH FOR THE UNDER ONE ROOF PROGRAM.
WE, I, FOR, SINCE WE STARTED THIS THING.
I KNOW IT'S, I GUESS IT, IT KEEPS GETTING CALLED A, A ONE-OFF, BUT, YOU KNOW, I REALLY, YOU KNOW, I CAN'T, I'M GLAD THAT WE'VE PUSHED, WE, WE'VE GROWN THE PROGRAM FROM $200,000 TO A MILLION IN THE GENERAL FUND.
I'LL CONTINUE TO PUSH FOR EVEN MORE MONEY.
UH, THERE IS A GREAT NEED AND THIS, THIS IS AN EXAMPLE OF HOW WE CAN HELP STABILIZE A LOT OF OUR NEIGHBORHOODS AND STABILIZE THE HOUSING STOCK.
THAT IS, THAT IS SO IMPORTANT, UH, FOR, FOR US TO, TO CONTINUE THIS, THIS, UH, EFFORT WITH THE MAYOR'S TASK FORCE ON HOUSING.
UH, THAT IS, THAT IS TAKING A LOOK AT HOW WE CAN, HOW WE CAN, UH, GROW OUR CITY AT THE SAME TIME, UH, LOOKING AT PROTECTING, UH, WHO WE ARE PROTECTING THE VERY PEOPLE THAT ARE LIVING HERE NOW.
AND, UH, SO JUST WANNA SAY, UH, WE NEED TO, WE NEED TO CONTINUE THOSE PROGRAMS. AND I THINK THESE, THOSE PROGRAMS ARE, ARE MORE STRATEGICALLY TARGETED TO PEOPLE THAT ACTUALLY NEED IT.
AND WE CAN LAYER ON MORE, EFFECT, MORE, UM, IMPROVEMENTS ONCE WE'VE STABILIZED THE PATIENT, WHICH IS THE HOUSE IN THIS CASE.
AND, AND SOLVING A LEAKY ROOF SOUNDS LIKE A SIMPLE THING, BUT IT IS, IT CAN BE VERY, VERY COSTLY TO AN INDIVIDUAL HOMEOWNER.
AND YOU MULTIPLY THAT TO TIMES THE, THE ESTIMATED AMOUNT OF HOUSES THAT NEED THIS PROGRAM, I THINK IT'S 6,000.
AND THAT'S A PRETTY BIG EFFECT.
UM, SO I JUST, YOU KNOW, I, AGAIN, I I I APPRECIATE THAT, THAT WE'RE TRYING TO FIND WAYS TO, TO SAVE MONEY AND CUT BACK.
BUT, UM, WE'RE, I THINK WE'VE DEMONSTRATED ENOUGH THAT, THAT THERE'S STILL SUCH A GREAT NEED THAT, UH, THIS IS, THIS IS TOO IMPORTANT TO, TO PULL BACK NOW.
AND, UH, WITH THAT, I'LL, I'LL, I'LL JUST FINISH BY SAYING, 'CAUSE IT HASN'T BEEN SAID ENOUGH, THIS YEAR'S DEADLINE FOR PROTESTING YOUR PROPERTY TAXES IS NOT MAY 30TH, IS MAY 15TH.
UH, PLEASE DON'T GET CAUGHT OFF GUARD.
UH, THIS IS PART OF YOUR RIGHTS.
WE, WE TOO HAVE HELD, UM, UH, SEVERAL PROPERTY TAX FORUMS. WE WANNA PROVIDE AS MUCH INFORMATION, UH, ABOUT PROPERTY TAX RIGHTS AND HOW YOU CAN APPLY FOR THOSE EXEMPTIONS.
UH, I BELIEVE THE, THE DATA SHARING IS GONNA, IS GONNA MAKE A HUGE DIFFERENCE IN HELPING PEOPLE WITH, WITH THEIR PROPERTY TAXES, UM, IN THE FUTURE.
I JUST WANNA PUSH BACK A LITTLE BIT.
I HEARD SOME COMMENTS ABOUT BEING HONEST, BEING TRUTHFUL, CAMPAIGN FODDER, THAT KIND OF THING.
I, I REALLY, I, I'M DISAPPOINTED TO HEAR THAT BECAUSE I'M LOOKING AT THIS AS MY RESPONSIBILITY BASED ON THAT FEEDBACK I GOT FROM THE CAMPAIGN.
I'M NOT LOOKING AT, UH, TRYING TO GET SOMETHING TO GET REELECTED AGAIN TO SAY, HEY, LOOK WHAT I DID.
THAT'S, THAT'S AS FAR FROM THE TRUTH AS I CAN GET BECAUSE IT'S ALL ABOUT THE INPUT THAT I HAVE BEEN GETTING IN DISTRICT 10.
AND AGAIN, IT HAS BEEN PROPERTY TAXES AND PROPERTY VALUE ESCALATIONS.
AND WE IN SAN ANTONIO HAVE AN OPPORTUNITY TO DO SOMETHING ABOUT THAT, TO GET, GET BACK.
SO I'M JUST DISAPPOINTED TO HEAR THOSE KIND OF COMMENTS COMING OUT OF THE COUNCIL HERE THAT WE'RE DOING IT.
UH, UM, DISHONESTLY, UH, I DON'T KNOW HOW MUCH MORE HONEST YOU CAN BE ON PUTTING FACTS AND FIGURES OUT AND, UM, TRYING TO DO SOMETHING FOR ALL THE CITIZENS, UH, THE HOMEOWNERS HERE IN SAN ANTONIO.
THAT'S ALL I HAVE TO SAY, SIR.
COUNCILMAN PERRY, COUNCILMAN BROCK HOUSE.
UH, I SWEAR I THINK YOU HAVE LIKE SOME SORT OF CAMERA, A LITTLE CAMERA BY MY NOTES, RIGHT? THERE'S LOOKING RIGHT AT THIS, UH,
[03:00:01]
HONEST, NOT BEING HONEST, NOT BEING FAIR, NOT BEING TRUTHFUL.YOU'RE DOING IT FOR A CAMPAIGN.
YOU, IF THIS IS THE ROAD WE'RE GONNA GO DOWN, IT'S GONNA BE A LONG THREE MONTHS BECAUSE THOSE ARE GENUINELY UNFAIR CHARACTERIZATIONS.
AND YOU CAN SAY IT IN A POSITIVE MANNER.
WHAT YOU'RE SAYING IS, THOSE OF US WHO DISAGREE WITH YOU ARE UNTRUTHFUL.
THAT'S UNACCEPTABLE IN A BODY THAT SHOULD ALLOW FOR DISSENSION AND WE SHOULD ALLOW FOR DEBATE OF THE ISSUE.
UH, NO ONE'S DOING THIS FOR A CAMPAIGN MAILER.
I'M DOING IT BECAUSE I WALKED THE STREETS OF MY NEIGHBORHOOD AND THEY LEGITIMATELY TOLD ME THIS WAS A TOP CONCERN.
AND I BELIEVE AS A CORE OF WHO I AM AS ELECTED OFFICIAL, I SHOULD GIVE AS MUCH MONEY BACK AS I CAN, NOT TO CREATE A CAMPAIGN MAILER.
BUT THAT'S BECAUSE THAT'S WHAT THE RESIDENTS WANT.
I JUST HOPE THAT OVER THE NEXT COUPLE OF MONTHS WE CAN HAVE A FAIR DEBATE.
UM, YOU KNOW, WE WANT TO DO AND HELP THOSE WHO, YOU KNOW, UNDERREPRESENTED IN OUR COMMUNITY, WE WANNA OPEN UP IDEAS AND PUT MONEY IN THOSE PEOPLE'S POCKETS AND HELP ALL THE WAY.
I'M WITH, I'M, WE'RE ALL ON THE SAME PAGE, AND I THINK WE'RE ALL WELL-INTENTIONED PEOPLE.
I JUST THINK IT'S REALLY BAD THAT HAVE THE CONTINU LEADER, MIND OF COUNCIL.
THAT'S OKAY TO DISAGREE AND TO BE ON THE OUTSIDE, I'M OKAY BEING A NINE ONE, A NINE TWO TEN ONE VOTE.
I DON'T HAVE A PROBLEM WITH THAT.
WHAT I HAVE A PROBLEM WITH IS IF WE STIFLE THE DEBATE FROM THE VERY BEGINNING, WE DON'T ALLOW A FAIR ASSESSMENT OF IT.
LET THE VO VOTES FALL WHERE THEY MAY, I THINK WE'RE DOING A DISSERVICE TO THE ACTUAL RESIDENTS OUT THERE WHO ELECTED US TO COME DOWN HERE AND DO THAT.
SO I WOULD JUST ASK FOR, YOU KNOW, WHEN YOU WANNA TALK EQUITY, LET'S TALK EQUITY ON THIS BODY OF 11, AND LET'S ALLOW THOSE OF US IN THE MINORITY TO AT LEAST HAVE A FAIR PLATFORM THAT WE ALL COME FROM A GOOD AND RIGHT PLACE.
WE'RE TRYING TO DO IT FOR THE RIGHT REASONS.
AND I THINK THAT OF COUNCILMAN SALANA, I THINK THAT OF COUNCILMAN GONZAGA, GO RIGHT AROUND THIS DICE.
YOU ALL COMING FROM A GOOD HEART, I JUST, MAYBE WE DISAGREE.
MAYBE WE HAVE DIFFERENT IDEAS THAT DOESN'T MAKE US ANY LESS TRUTHFUL OR DISHONEST OR UNFAIR.
SO I, I HOPE WE CAN WORK TOGETHER TO AT LEAST ALLOW THOSE OF US THAT THINK DIFFERENTLY TO HONESTLY AND LEGITIMATELY THINK DIFFERENTLY.
AND I HOPE THAT HAPPENS OVER THE NEXT FEW MONTHS.
'CAUSE IT, WE ALL DESERVE IT AS MEMBERS OF THIS COUNCIL.
UH, CHERYL, YOU HAD SOMETHING YOU WANTED TO ADD ABOUT SERVICES, JUST TO SAY THAT WE ARE TAKING NOTES ON ALL OF THE COMMENTS TODAY.
THEY'RE WIDE RANGING, BUT WE ARE TAKING ALL OF THIS INTO, UH, CONSIDERATION SO THAT WHEN WE COME BACK AND TALK WITH YOU AND ORGANIZE FOR THE GOAL SETTING SESSION ON MAY 30TH, UH, WE'LL, UH, USE THIS INFORMATION TO HELP US PREPARE.
AND THEN LASTLY, I I JUST WANTED TO SAY, UH, AS WE TALK ABOUT REVENUE THAT THE CITY HAS EARNED, ACCOMMODATE, UM, ACCUMULATED OVER THE PAST DECADE, UM, LET ME JUST SHARE WITH YOU HOW THAT HAS BEEN SPENT.
UM, AND THIS IS JUST, UH, A LISTING AND THIS WAS A REPORT WE DID.
UM, I DON'T KNOW WHICH ONE OF YOU REQUESTED THIS, UM, LAST YEAR, BUT, UH, OVER THE PAST DECADE, WE'VE ADDED MORE THAN 630 UNIFORM POLICE AND FIRE POSITIONS.
AND THAT'S NOT FILLING VACANCIES.
THAT'S IN ADDITION TO FILLING VACANCIES 630 FURTHER, WE CIVILIANIZED 90 POSITIONS.
THAT IS OFFICERS WHO WERE DOING DESK JOBS.
WE MOVED THEM OUT INTO THE FIELD TO INCREASE PATROL AND BACKFILL THOSE POSITIONS WITH CIVILIANS.
WE'VE ADDED FIVE NEW FIRE STATIONS, ONE EMERGENCY OPERATION CENTER, A NINE ONE ONE CALL CENTER, A PUBLIC SAFETY HEADQUARTERS TO ACCOMMODATE, UH, A RESEMBLING OF, OF PROPERTY TO ADVANCE PROJECTS, A FIRE LOGISTICS FACILITY, SEVEN NEW LIBRARIES, 10 NEW SENIOR CENTERS, UM, MORE THAN 4,000 ACRES OF PARKLAND.
SO YES, THERE HAS BEEN ADDITIONAL REVENUE RECEIVED BY THE CITY OVER THE YEARS, AND THIS IS THE RETURN ON INVESTMENT IN THAT THOSE INVESTMENTS WERE AS A RESULT OF SERIOUS CONVERSATION, EXTENSIVE CONVERSATION WITH RESIDENTS IN THE COMMUNITY AS TO WHAT THEY NEEDED.
AND WE'VE HEARD A SMATTERING OF THAT TODAY IN TERMS OF WHAT RESIDENTS ARE ASKING FOR.
SO I JUST WANTED TO LEAVE YOU WITH, UH, THESE KINDS OF THINGS THAT HAVE BEEN CONSIDERED BY THE COUNCILS OVER THE YEARS AND HOW THOSE DOLLARS HAVE BEEN ALLOCATED AS A RETURN ON INVESTMENT TO THE RESIDENTS OF THE COMMUNITY.
SO THANK YOU FOR THE COMMENTS THIS AFTERNOON, AND WE WILL USE IT AS WE PREPARE FOR MAY 30TH.
SO, SO OF COST TO DO BASIC THINGS LIKE CONSTRUCT A STREET CONSUMER PRICE INDEX IS UP, THE
[03:05:01]
COST OF CONSTRUCTION IS UP BECAUSE OF CIRCUMSTANCES AND SO FORTH.SO THE, WHAT WE BUDGET ON AN ANNUAL BASIS IS A DIRECT, UM, RESPONSE TO THE COMMUNITY'S REQUESTS OF US TO SPEND THEIR MONEY.
I MEAN, I, I DON'T THINK THERE'S ANY ARGUMENT WITH THE FACT THAT THIS IS NOT OUR MONEY.
WE HAVE TO BE VERY CAREFUL WITH IT, WHICH IS WHY WE'VE BEEN INCREDIBLY JUDICIOUS AND FOCUSED ON RECEIVING COUNSEL, RECEIVING COMMUNITY INPUT AT EVERY STEP OF THE, THE WAY.
SO THERE MAY BE DISAGREEMENTS ABOUT HOW MUCH WE'RE LISTENING TO ONE, UH, PRIORITY OVER ANOTHER, BUT WE ALL HAVE TO AGREE THAT NOTHING UP IN THESE SLIDES IS COMING OUTTA THIN AIR.
IT'S COMING OUT OF THESE MEETINGS WITH THE PUBLIC, WHETHER IT'S IN YOUR NEIGHBORHOOD ASSOCIATION, WHETHER IT'S IN A SPEAK UP CAMPAIGN, WHETHER IT'S THROUGH AN EMAIL THAT YOU RECEIVED IN YOUR OFFICE, WHEN WE SET DOWN TO PRIORITIZE BETWEEN WHAT WE'RE GOING TO, UH, UH, YOU KNOW, ADJUSTING THE BUDGET, WHAT WE MAY CUT FROM THE BUDGET, IT ALL HAS TO BALANCE OUT.
AND THAT'S THE WORK OF THE COUNCIL.
AND APPRECIATE THE GREAT COMMENTS TODAY.
IT'S GONNA BE A, A, UH, BUSY FEW MONTHS AS WE GET TOWARDS, UH, F Y 19.
BUT, UH, THANK YOU VERY MUCH FOR THE PRESENTATION FOR THE DISCUSSION TODAY.
[Executive Session]
HAVE ONE ITEM ON THE EXECUTIVE SESSION AGENDA.WE ALSO HAVE CEREMONIALS, JUST F Y I, UH, BUT THE TIME IS NOW 5:16 PM ON THIS 18TH DAY OF APRIL, 2018.
PURSUANT TO THE AUTHORITY GRANTED BY CHAPTER 5 5, 1 OF THE TEXAS GOVERNMENT CODE V T C S, THE TEXAS OPEN MEETINGS ACT.
THE CITY 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, THE PURCHASE EXCHANGE, LEASE, OR VALUE OF REAL PROPERTY PURSUANT TO TEXAS GOVERNMENT CODE SECTION 5 5 1 0.072 REAL PROPERTY AND LITIGATION RELATED TO OPIOID MANUFACTURERS, DISTRIBUTORS, AND PURSU PROMOTERS PURSUANT TO TEXAS GOVERNMENT CODE SECTION 5 5 1 0.071 CONSULTATION WITH ATTORNEY.