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[Council Government Performance & Financial Management Committee on September 19, 2023.]
YES.WE HAVE A QUORUM AND WE HAVE A THREE O'CLOCK FOLLOW UP MEETING IN THIS ROOM, SO WE'VE GOTTA GET STARTED ON TIME.
I'LL NOW CALL THIS, UM, MEETING OF THE GOVERNMENT PERFORMANCE AND FINANCIAL MANAGEMENT COMMITTEE TO ORDER.
UH, OUR FIRST ITEM ON THE AGENDA IS OUR MINUTES FROM JUNE 13TH, 2023.
CAN I GET A MOTION? MOVE TO APPROVE.
UH, WE HAVE MORE MINUTES FROM AUGUST 30TH, 2023.
SPECIAL CALLED JOINT GOVERNMENT PERFORMANCE AND FINANCIAL MANAGEMENT AND AD HOC ON LEGISLATIVE AFFAIRS COMMITTEE.
CAN I GET AN APPROVAL? IT'S A MOTION.
NEXT ITEM IS BRIEFING ITEM A DEVELOPMENT SERVICES MONTHLY UPDATE.
I WAS SURPRISED WE DON'T HAVE A PACKED ROOM TO HEAR ABOUT DEVELOPMENT SERVICES MONTHLY UPDATE
UH, I'M VERNON YOUNG, ASSISTANT DIRECTOR IN DEVELOPMENT SERVICES.
UH, GLAD TO BE HERE IN FRONT OF THE GOVERNMENT PERFORMANCE AND FINANCIAL MANAGEMENT COMMITTEE.
UH, WE CONTINUE TO, TO ROLL ALONG AND GETTING THE SINGLE FAMILY PERMITS OUT COMMERCIAL.
WE'VE DOUBLED DOWN ON OUR EFFORTS, UH, TO MAKE SURE THAT WE'RE ABLE TO GET THOSE OUT.
I'LL JUST KIND OF GO OVER, OVER THIS, UH, MEMO LIGHTLY.
SO WE, WE CONTINUE TO ROLL OUT ON THE DALLAS NOW PROJECT THAT WILL REPLACE OUR LEGACY SYSTEM.
WE'RE IN OUR FOURTH MONTH, AND WE, WE CONTINUE TO BE ON TIME, UH, MEETING OUR TIMELINES WITH THAT.
SO I'M, I'M EXCITED ABOUT THAT.
THE TEAM IS HARD PRESSED TO KEEP THOSE EFFORTS ROLLING.
IN AUGUST, THE, UH, SINGLE FAMILY SUBMITTALS WERE DOWN SLIGHTLY, BUT WE WERE ABLE TO DOUBLE DOWN ON GETTING PERMITS OUT.
WE WERE ABLE TO ISSUE 208, EVEN THOUGH WE ONLY TOOK IN 145.
AND SO YOU SAY, WELL, WHERE'D THAT NUMBER COME FROM? SOME OF 'EM ARE ROLLOVERS.
WE WERE WAITING UP FOR INFORMATION AND SO FORTH.
UM, THE TIMELINES TO GET THOSE OUT, UH, ABOUT FOUR DAYS IF THERE'S NO ISSUES, NEW SINGLE FAMILY.
UH, THERE'S BEEN A LOT OF TALK ABOUT COMMERCIAL DEVELOPMENT IN DALLAS AND, AND REVISITING THOSE IN MAKING SURE THAT WE DOUBLE DOWN ON GETTING THOSE PERMITS OUT.
AND SO WE CREATED A COMMERCIAL HOTLINE FOR SUBMITTALS WHERE WE CAN GET THOSE CALLS FIRSTHAND UP AND RUNNING.
WE PUT OUT A PUBLICATION TO NOTIFY OUR COMMERCIAL CUSTOMERS OF THIS HOTLINE.
WE'VE HAD ONE CALL, THAT ONE CALL WAS, UH, RELATED TO 38 DAYS IN REVIEW.
ONE OF OUR, UH, REGULAR CUSTOMERS WE'RE GONNA WORK WITH THEM AND SEE WHAT WE CAN DO TO GET THAT PERMIT OUT AND GET IT RESOLVED.
IT WAS, OF COURSE, A A ZONING ISSUE, COMMERCIAL METRICS.
AND SO WE RECEIVED FIVE NEW COMMERCIAL, UH, SUBMITTALS, TH 4 34 COMMERCIAL EDITIONS AND 283 COMMERCIAL REMODELS.
IT SEEMS TO STILL BE STRONG AND, AND, AND CONSISTENT WITH WHAT WE'D EXPECT THIS TIME OF YEAR.
AND SO I'M, I'M EXCITED ABOUT THAT.
AGAIN, WE CONTINUE TO PRESS TO GET THOSE OUT.
INITIAL REVIEWS WERE PERFORMED WITHIN 10 DAYS, UH, FROM THE, FROM THE TIME THAT THEY WERE SUBMITTED MEETING OUR DEPARTMENTS GOALS.
OUR Q TEAM, INITIAL REVIEWS WERE PERFORMED WITHIN TWO DAYS.
AND THEN, SO ON THE, ON THE NEXT, UH, NEXT PAGE, WE KIND OF TALK ABOUT REMODEL, MASTER VOLUME AND SO FORTH.
UM, AGAIN, WE ARE DOUBLE DOWN ON OUR EFFORTS ON THE, ON THE COMMERCIAL SUBMITTALS.
WE UNDERSTAND THAT THAT'S THE, UH, SECTION THAT KEEPS ECONOMIC GROWING IN DALLAS.
AND SO WE'RE INVESTING A LOT WITH OUR SECOND Q TEAM, WITH OUR INITIAL Q TEAM AND, UH, UH, SO FORTH.
AND SO, UH, REALLY I'M OPEN FOR ANY QUESTIONS, THOUGHTS, OR CONCERNS.
UH, CHAIRMAN BLACKMAN, I'M NOT A CHAIR ANYMORE.
'CAUSE I THINK IN OUR JOINT MEETING WHERE WE JUST APPROVED THOSE MINUTES, WERE YOU TO GIVE THIS TO ECO DEV AS WELL? WE'RE, WE'RE, WE'RE SCHEDULED TO, TO MEET WITH E WE DO HAVE A PRESENTATION GOING TO ECO DEV.
SO WILL IT BASICALLY BE THE SAME THING? IT, IT DEPENDS ON IF THINGS ARE CHANGED.
WE DIDN'T, WE DIDN'T HAVE SEPTEMBER'S NUMBER.
WE HAD, WE DON'T HAVE, UH, WE, WE DIDN'T HAVE, UH, PART OF AUGUST NUMBERS.
BUT YEAH, FOR THE, FOR THE MOST PART, IT'LL, IT'LL BE THE, BECAUSE I MEAN, IF WE'RE GONNA LOOK AT CHANGING, LIKE THIS KIND OF STUFF, I'D RATHER TALK ABOUT THIS.
IF YOU'RE GONNA BE BRIEFING THE ECO, DEB, AND I'M KIND OF, I GUESS MORE TALKING ABOUT THE, UH, TO THE CHAIR, THE INFAMOUS, IT'S LIKE I, I, YOU STAFF
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HAS TO DO FOR A MEMO AS MUCH AS IT IS FOR A BRIEFING.AND IF YOU'RE DOING IT TWICE, THAT'S DOUBLE THE WORK.
AND WE NEED YOU TO BE WORKING ON THIS STUFF.
WE NEED TO BE FIXING SOME PROBLEMS. SO MY SUGGESTION, MR. CHAIR, IS THAT IF IT IS AN ECO DEB BRIEFING IT, YOU'RE JUST AVAILABLE IF WE HAVE A QUESTION, BUT NOT NECESSARILY HAVING TO BRING YOU AND SPEND, YOU KNOW, YOU KNOW, 30 MINUTES WAITING AND THEN, UH, YOU KNOW, 20 MINUTES GIVEN A PRESENTATION AND ANSWERING QUESTIONS.
UM, BECAUSE I THOUGHT THAT WAS A DECISION THAT WAS MADE BY THE JOINT GROUP, UH, LAST MEETING WAS THAT YOU WERE GONNA GO TO ECO DEV.
SO THAT'S JUST, AND LET'S START WORKING ON GETTING THIS SHOOTS AND LADDERS FROM HELL STREAMLINED.
BECAUSE I THINK THAT'S WHERE OUR VALUE IS, IS, UM, IS WORKING ON, YOU KNOW, TALKING ABOUT THE BUDGET AS WE'RE PROBABLY GOING TO DO, AND THEN HELPING GET THIS IN LINE SO YOU DON'T HAVE TO DO AS MUCH WORK.
I MEAN, 'CAUSE THIS IS PRETTY, UM, HARSH.
ANYWAY, THOSE ARE MY SUGGESTIONS.
AND I, BUT I DO WANNA THANK YOU AND STAFF.
I MEAN, WE'VE COME A LONG WAY, BABY.
UM, I KNOW IT'S NOT PERFECT, BUT AS LONG AS YOU'RE STILL HONEST WITH YOURSELF, MAKING THOSE CORRECTIONS AS YOU GO ALONG THE WAY, BEING HONEST WITH AND TRANSPARENT, THAT'S ALL I CAN ASK.
AND, UM, SO WITH THAT, THANK YOU.
COUNCIL MEMBER BLACKMAN, APPRECIATE THOSE WORDS.
AND WE, WE ARE LOOKING INTO THAT, UH, KNOW THERE'S A LOT OF DISCUSSION ABOUT THAT.
THAT WAS, YEAH, IT'S MY FAULT.
I BROUGHT THE GRAPHIC, UH, CHAIRWOMAN NIELSON.
UM, IN RESPONDING TO THOSE COMMENTS, I JUST WANNA SAY THAT THE REASON THAT THIS CAME TO G P F M IS THAT IT WAS NOT CONSISTENTLY AN ITEM AT THE ECONOMIC DEVELOPMENT COMMITTEE.
AND THERE WERE ACCOUNTABILITY ISSUES ABOUT, UM, HOW WE WERE RESPONDING TO PERMITS.
AND SO, UM, IN AN EFFORT TO IMPROVE THAT, WE PUT THIS AS THE FIRST AGENDA ITEM EVERY SINGLE MONTH AND ENSURE, AND, AND AS IT TURNS OUT, WE DID SEE A LOT OF IMPROVEMENT.
AND I THINK WHEN WE DAYLIGHT THINGS AND WE HAVE THAT ACCOUNTABILITY PIECE, WE ACTUALLY SEE MOVEMENT.
SO SURELY YOU'VE HAD GREAT INCREASES IN ESPECIALLY SINGLE FAMILY.
I'M A LITTLE BIT CONCERNED ABOUT THE REDUCTION IN NEW SINGLE FAMILY, UH, REDUCTION, SIGNIFICANT REDUCTION IN COMMERCIAL AS WELL.
I THINK WE UNDERSTAND THAT, UM, INTEREST RATES OF COURSE, AFFECT THIS.
HOWEVER, UM, THIS, THIS SAYS SOME VERY SERIOUS THINGS ABOUT OUR FUTURE AND ABOUT THE ABILITY TO BRING ON NEW PROPERTIES AND, AND RAISE THOSE PROPERTY VALUES.
SO, UM, I THINK WE HAVE TO BE REALLY MINDFUL ABOUT THE VOLUME THAT'S COMING IN AND WHAT THAT MEANS FOR OUR BUDGETS IN THE FUTURE.
SO WITH THAT, UM, I, I DO LIKE GETTING THESE NUMBERS.
IF THEY WERE BEING CONSISTENTLY PROVIDED MONTHLY AT ECONOMIC DEVELOPMENT, IF THAT COMMITTEE WAS PROVIDING MORE OF A, UM, ACCOUNTABILITY PIECE AS OPPOSED TO, UM, A FOCUS REALLY JUST ON, UM, JUST THE ECONOMIC PIECE, THEN I COULD EVEN BE FINE WITH THAT.
BUT THIS IS CERTAINLY AT THE CHAIR'S DISCRETION, BUT THE ENTIRE REASON THIS WAS BROUGHT HERE, WHICH OF COURSE YOU AND I HAVE TALKED ABOUT, THIS, WAS ABOUT ACCOUNTABILITY.
UH, IT'S, I'M NOT SEEING, UH, ANY OTHER LIGHTS.
UH, MR. SENEZ, IF YOU NEED TO GET MY ATTENTION, JUST RAISE YOUR HAND.
I'LL JUST COMMENT ON THIS AS WELL.
I MEAN, IT'S, I, I HAVE THE BENEFIT, UH, I GUESS OF BEING ON BOTH COMMITTEES, SO I'M GONNA HEAR IT TWICE.
UM, SO IT'S, I NEED TO KEEP IN MIND THAT I KNOW OTHER COUNCIL MEMBERS ARE INTERESTED IN, IN DIGGING INTO THE DATA AS WELL.
AND ALSO APPRECIATE THE FACT THAT THIS COMMITTEE HAS HAD THIS REALLY, THE ACCOUNTABILITY PIECE FOR TWO YEARS.
AND I WANT TO, AT A MINIMUM, CONTINUE TO RECEIVE THE REPORT ON HERE AS A, A MEMORANDUM ITEM.
I'D LIKE TO SEE US, UM, REALLY DIG INTO THE HOT ISSUE, WHICH AT THE TIME WAS JUST GENERAL PERMITTING.
I FEEL LIKE ONE THING WE COULD DIG INTO IS, IS IN THE, THE PROCESSES ITSELF, WHICH, UM, SEEMS TO BE LIKE THE NEXT FOCUS.
UM, SO I'D LIKE TO, YOU KNOW, TALK WITH MY, MY COLLEAGUES ABOUT WHAT KIND OF FOCUS WE COULD HAVE WITH THIS DEPARTMENT, UM, MOVING FORWARD FOR THE NEXT TWO YEARS.
AND I THINK STARTING WITH, UM, THE PROCESS THAT ONE HAS TO GO THROUGH IN BOTH THE COMMERCIAL AND RESIDENTIAL, THIS IS THE COMMERCIAL ONE WE HAVE, THE, THE RESIDENTIAL ONE IS, IS, IS COMPLICATED AS WELL.
AND FOCUSING ON HOW WE CAN ACTUALLY SIMPLIFY THAT AND STILL GET EVERYTHING DONE THAT WE NEED TO GET DONE IN THE DEPARTMENT.
SO I THINK IT'S JUST A REFOCUS, NOT NECESSARILY NOT HAVING THIS ON THE AGENDA, UM, ANYMORE NOW THAT THINGS SEEM TO BE A LITTLE MORE ON TRACK THAN THEY
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WERE TWO YEARS AGO.SO THAT'S, I'LL LEAVE IT AT THAT AND WE'LL, WE'LL HONE THAT FOR, FOR FUTURE MONTHS.
UH, ITEM B IS OUR FISCAL YEAR 23 END OF YEAR APPROPRIATION ADJUSTMENTS BUDGET OFFICE.
UH, COMMITTEE, UH, JEANETTE WHEDON, DIRECTOR OF BUDGET AND MANAGEMENT SERVICES.
AND WE ARE HERE THIS AFTERNOON TO DISCUSS THE FISCAL YEAR 23 END OF YEAR BUDGET APPROPRIATION ORDINANCE.
I'M JOINED BY VIN GULL, ASSISTANT DIRECTOR IN BUDGET AND MANAGEMENT SERVICES.
UM, MOVING ON TO SLIDE NUMBER TWO, WE PROVIDE AN OVERVIEW OF TODAY'S BRIEFING.
WE'LL DISCUSS BACKGROUND, UM, WHY WE'RE HERE TODAY, UH, PROPOSED AMENDMENTS AND NEXT STEPS ON SLIDE NUMBER THREE.
AS YOU KNOW, CITY COUNCIL ADOPTED THE FISCAL YEAR 23 OPERATING GRANT AND TRUST AND CAPITAL BUDGET.
ON SEPTEMBER THE 28TH OF LAST YEAR, CITY COUNCIL AMENDED THE BUDGET AT MIDYEAR ON MAY THE 10TH.
AND SO NOW WE ARE HERE ASKING CITY COUNCIL TO APPROVE ADDITIONAL AMENDMENTS TO ENSURE COMPLIANCE WITH CITY CHARTER AND TO ENSURE THAT WE HAVE ADEQUATE DEPARTMENTAL APPROPRIATIONS AVAILABLE THROUGH THE END OF THE FISCAL YEAR.
ON SLIDE NUMBER FOUR, WE HAVE LISTED THE SECTIONS OF THE CITY CHARTER THAT ARE APPLICABLE TO THE END OF YEAR BUDGET APPROPRIATION PROCESS.
UH, CITY COUNCIL APPROVED REQUIRED CITY COUNCIL APPROVAL IS REQUIRED TO ESTABLISH APPROPRIATIONS.
UH, CITY COUNCIL APPROVAL IS REQUIRED TO TRANSFER BETWEEN DEPARTMENTS.
UM, CITY COUNCIL APPROVAL IS ALSO REQUIRED TO APPROPRIATE EXCESS REVENUE, AND DEPARTMENTS ARE NOT ALLOWED TO EXCEED APPROPRIATIONS.
ON SLIDE NUMBER FIVE, UH, THE END OF YEAR ORDINANCE WILL APPROPRIATE EXCESS REVENUE, AUTHORIZE TRANSFERS, MAKE ADJUSTMENTS TO ADDRESS FORECAST OVERRUNS, MAKE ADJUSTMENTS FOR GRANT TRUST AND OTHER FUNDS, MAKE ADJUSTMENTS FOR ENTERPRISE AND INTERNAL SERVICE FUNDS.
AND THE ORDINANCE WILL ALSO APPROVE, UM, ADJUSTMENTS PREVI PREVIOUSLY APPROVED BY CITY COUNCIL, UM, BY CITY COUNCIL RESOLUTION.
UH, JUST A LITTLE BIT OF HISTORY.
UM, WE HAVE BEEN PRESENTING THE APPROPRIATION ADJUSTMENT REQUEST TO CITY COUNCIL TWICE PER YEAR SINCE FISCAL YEAR 18.
UH, PRIOR TO FISCAL YEAR 18, WE AMENDED THE BUDGET ONCE PER YEAR, UM, AND WE CALLED IT THE MID-YEAR APPROPRIATION ORDINANCE.
UM, SINCE FISCAL YEAR 18, WE HAVE BEEN HERE TWICE AT MID-YEAR AND END OF YEAR.
THE ADJUSTMENTS BEFORE YOU TODAY ARE BASED ON THE JULY BUDGET ACCOUNTABILITY REPORT.
UM, ON SLIDE NUMBER SIX, WE PROVIDE AN OVERVIEW OF THE ADJUSTMENTS.
UM, WE ARE AMENDING THE GENERAL FUND BUDGET BY 1.8 MILLION ENTERPRISE FUNDS BY 27.6 MILLION, AND, UM, CAPITAL BY 144.1.
AND WE'LL WALK YOU THROUGH THE AMENDMENTS.
I WOULD LIKE TO POINT OUT THAT THE CAPITAL ADJUSTMENTS, UM, INCLUDE 134.1 MILLION OF APPROPRIATIONS PREVIOUSLY APPROVED BY CITY COUNCIL, UM, BY RESOLUTION.
SO BASED ON THE JULY ACCOUNTABILITY REPORT, UH, WE ARE FORECASTING GENERAL FUND REVENUE OVER BUDGET BY 2.4, UH, UM, MILLION.
AND THE BIGGEST REVENUE DRIVERS IN OUR ASSUMPTIONS INCLUDE CHARGES FOR SERVICE, FRANCHISE AND INTEREST EARNINGS.
UH, WE ARE FORECASTING SALES TAX UNDER BUDGET OR UNDER THE AMENDED BUDGET BY 5.3 MILLION.
UH, THE ORDINANCE WILL, UH, AMEND AND APPROPRIATE, UH, THAT EXCESS REVENUE, UM, AND INCREASE THE GENERAL FUND BUDGET FROM, UH, 1,000,000,007 27.6 TO 1,000,000,007 29.4.
UH, EXCESS REVENUE ON SLIDE NUMBER EIGHT, UM, AVAILABLE AT YEAR END, ALONG WITH, UH, PREVIOUS, UH, OR PROJECTED SAVINGS FROM OTHER DEPARTMENTS WILL BE USED TO SUPPORT PROJECTED COST OVERRUNS FOR DEPARTMENTS LISTED HERE ON SLIDE NUMBER EIGHT, BASED ON THE FORECAST AS OF JULY 31ST, WE HAVE 10 DEPARTMENTS PROJECTED OVER BUDGET.
UM, AS PART OF THE THIS END OF YEAR APPROPRIATION ADJUSTMENT, UM, WE ARE COVERING INCREASED COSTS FOR HEALTH BENEFITS.
THE GENERAL FUND WILL REALIZE AN 11.1 MILLION INCREASE IN ENTERPRISE INTERNAL SERVICE FUNDS WILL REALIZE AN ADDITIONAL INCREASE OF 2.1 MILLION, UM, FOR, UH, INCREASED COST DUE TO HEALTH BENEFITS.
OTHER COST OVERRUNS ARE DUE TO UNBUDGETED REPAIRS AT VARIOUS CITY FACILITIES, UH, AND BUILDING SERVICES, FLEET MAINTENANCE
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COSTS, AS WELL AS INCREASED MEDICAL SUPPLIES.UM, AND HEALTH BENEFIT COSTS IN DALLAS FIRE RESCUE, UH, TEMPORARY STAFFING AND HR DUE TO PRIMARILY DUE TO WORK WORKDAY IMPLEMENTATION AND PASS THROUGH UTILITY COSTS FOR FAIR PARK IMPACTING PARK AND RECREATION.
ON SLIDE NUMBER NINE, WE ARE SHOWING THE DEPARTMENTS THAT WE WILL REALLOCATE FROM.
UM, MOST OF THOSE SAVINGS ARE DUE TO, UH, VACANT POSITIONS.
ON SLIDE NUMBER 10, WE ARE SHOWING THE PROPOSED USE OF SALARY AND BENEFIT STABILIZATION.
THE ORDINANCE AUTHORIZES THE CITY TO USE, UH, SALARY AND BENEFIT, UM, STABILIZATION FOR RETIREMENT PAYOUTS AND SALARY ADJUSTMENTS.
UH, THESE ADJUSTMENTS HERE ON SLIDE NUMBER, UH, 10 TOTAL 166,000.
ON SLIDE NUMBER 11, UM, WE PROVIDE A SUMMARY OF THE PROPOSED CHANGES.
SO THE NET INCREASE TO THE GENERAL FUND IS 1.8 MILLION, UM, PROJECTED COST OVERRUNS OF 18.8 MILLION AND PROJECTED SAVINGS OF 17 MILLION.
ON SLIDE NUMBER 11, UM, WE WALK THROUGH, UH, APPROPRIATION ADJUSTMENTS IMPACTING, I'M SORRY, SLIDE NUMBER 12.
WE WALK THROUGH APPROPRIATION ADJUSTMENTS IMPACTING GRANT TRUST AND OTHER FUNDS.
UM, THE BIGGEST DRIVER ON THIS SLIDE INCLUDES PREVIOUSLY APPROVED, UM, AMENDMENTS, TOTALING 8.6 MILLION.
UM, AND THAT INCLUDES THE CONTINGENCY REQUEST FOR INFORMATION TECHNOLOGY THAT WAS APPROVED ON AUGUST, UH, THE NINTH.
UH, WE ALSO HAVE ON HERE, UH, BUDGET AND MANAGEMENT SERVICES, UH, CARRYOVER OPERATING CARRYOVER FUND ADJUSTMENTS.
THIS INCLUDES, UM, A MILLION DOLLARS THAT WAS BUDGETED FOR TRANSFORMATIONAL ASSISTANCE AND NON-DEPARTMENTAL AND A MILLION DOLLARS THAT WAS BUDGETED FOR THE R M S, UH, UPGRADE IN DALLAS, UH, DA DALLAS POLICE DEPARTMENT.
ON SLIDE NUMBER 13, WE SHOW APPROPRIATION ADJUSTMENTS IMPACTING ENTERPRISE AND INTERNAL SERVICE FUNDS.
UM, THE CONVENTION AND EVENT SERVICES, THEIR PROJECTED INCREASE IS 21.1 MILLION, AND THAT'S DUE TO HIGHER THAN BUDGETED.
UM, EVENT, UH, REVENUE AND ACTIVITY, UH, INFORMATION TECHNOLOGY, UH, SERVICES 4.4 MILLION.
IT'S A COMBINATION OF REPAYMENT OF CORONAVIRUS RELIEF FUNDS, AS WELL AS, UM, UH, UH, SUPPORT, UH, HARDWARE DETECTION SYSTEM OF ABOUT 3.8 MILLION.
UH, DEVELOPMENT SERVICES, INCREASE SUPPORTS CONTRACTUAL SERVICES, UH, EQUIPMENT AND FLEET SERVICES.
IT'S A COMBINATION OF, UH, TARGETED, UH, LABOR COSTS, UM, AS WELL AS, UH, FLEET, UH, UH, PARTS AND, UH, REPAIRS AT SOUTHEAST CENTER SERVICE GARAGE.
ON SLIDE NUMBER 14, UM, WE'RE SHOWING SANITATION INCREASE ASSOCIATED WITH EQUIPMENT PURCHASES.
TEMPORARY, UH, LABOR AND CONTRACT SERVICES.
UH, UH, EXPRESS BUSINESS CENTER, UH, INCREASE IS PRIMARILY DUE TO THE REPAYMENT, UM, OF C R F.
AND THEN MUNICIPAL RADIO AND EMPLOYEE BENEFIT, OR EMPLOYEE BENEFITS ADMINISTRATION FUND ARE LISTED HERE ON SLIDE NUMBER 14.
ON SLIDE NUMBER 15, AS I MENTIONED, UM, CAPITAL INCREASES, UH, PRIMARILY, UH, REFLECT, UH, PREVIOUSLY APPROVED APPROPRIATION ADJUSTMENTS.
THESE ARE ITEMS THAT WERE PRESENTED PREVIOUSLY TO CITY COUNCIL.
THE BIGGEST DRIVER ON THIS SLIDE IS THE $80 MILLION, UM, UH, FROM DART THAT WAS APPROVED BY COUNCIL AT THE END OF JUNE.
AND THEN WE ALSO HAVE, UH, NEW APPROPRIATION REQUESTS OF $10 MILLION.
THIS ACTUALLY REFLECTS, UH, PLANNED CAPITAL CONSTRUCTION TRANSFERS, UM, FROM A PREVIOUS FISCAL YEAR THAT, UM, WERE NOT, UH, BUDGETED FOR THE TRANSFER.
ON SLIDE NUMBER 16, UM, WE ARE PRESENTING THE, UM, PROPOSED, UH, END OF YEAR BUDGET APPROPRIATION ORDINANCE TO COUNSEL ON SEPTEMBER THE 27TH.
AND, UM, WE ARE HERE, UM, SEEKING A RECOMMENDATION.
AND, UM, WITH THAT, I'LL TURN IT OVER AND SEE IF YOU HAVE ANY QUESTIONS.
UM, QUESTIONS, UH, CHAIRWOMAN MENDELSON.
UM, SO I'M GONNA START, I GUESS IN ORDER HERE.
SO ARE YOU SAYING THAT, UM, WITH THIS BUDGET AMENDMENT, OUR TOTAL ANNUAL BUDGET FOR FISCAL YEAR 23 WOULD BE 4.8 BILLION, AND THAT'S NOT INCLUDING ANY OF THE IN AND OUT THAT'S NON DUPLICATED.
SO IT'S 4.8 AND IT INCLUDES THE INTERNAL SERVICE FUNDS, SO IT INCLUDES THE IN AND OUT.
AND WITHOUT THAT, IT WOULD BE, IT WOULD BE THE 4.6.
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YOU'RE TALKING ABOUT, UM, ALLOCATING ADDITIONAL HEALTHCARE COSTS.UM, I'M ASSUMING IT'S BECAUSE YOU'VE GOT CLAIM EXPERIENCE THAT'S HIGHER THAN EXPECTED.
IS THAT CORRECT? SO, YES, THAT'S CORRECT.
UM, AS PART OF THE, UH, BUDGET PRESENTATION IN MID-AUGUST, UM, HR PRESENTED, UM, PROJECTED INCREASES ASSOCIATED WITH, UM, MORE EXPENSES, UH, MORE CLAIMS. WHAT WE REALIZED DURING THE PANDEMIC, OBVIOUSLY, UM, PEOPLE, UM, WERE NOT SEEKING CARE.
UM, AS COVID RESTRICTIONS LIFTED, AS PEOPLE BECAME MORE COMFORTABLE AS COVID, I GUESS WENT AWAY.
UM, AND I, IT'S STILL HERE, BUT, UM, AS PEOPLE BECOME MORE COMFORTABLE, UM, THEY'VE STARTED SEEKING CARE.
AND AS A RESULT OF THAT, WE'VE REALIZED A SIGNIFICANT INCREASE IN CLAIMS, UM, AN INCREASE IN, UM, UH, MORE EXPENSIVE CLAIMS. UM, IT COULD BE THE RESULT OF PEOPLE NOT SEEKING CARE.
SO IT'S, IT'S BEEN A COMBINATION OF JUST HIGHER THAN PROJECTED, UM, HEALTHCARE COSTS.
SO I'VE NEVER SEEN A COMPANY GO BACK AND DO THIS MID-YEAR.
SO IF YOU HAVE A YEAR OF BAD CLAIM EXPERIENCE, THEN YOU READJUST FOR THE COMING YEAR, UM, FOR AN APPROPRIATE ALLOCATION THAT WILL OF COURSE COVER ANY KIND OF DEFICIT LIKE THAT.
UM, HAD WE NOT HAD ADDITIONAL REVENUE, WHAT WOULD YOU HAVE DONE? SO WE'VE DONE THIS BEFORE, UM, PRIOR TO FISCAL YEAR 16.
UM, BECAUSE WE ARE SELF-INSURED, UM, WE WILL SURCHARGE DEPARTMENTS, UM, TO MAKE SURE THAT THE EXPENSE IS ALLOCATED TO THE CORRECT DEPARTMENT.
BUT IN SOME CASES WE MAY END UP USING GENERAL FUND CONTINGENCY, BUT THE GOAL IS TO MAKE SURE THAT THE HEALTH BENEFIT FUND, UM, ENDS THE YEAR, UM, AT A POS WITH A POSITIVE BALANCE, EITHER ZERO OR POSITIVE, BUT NOT NEGATIVE.
AND WHAT'S THE CONTINGENCY ON THE HEALTHCARE ACCOUNT? SO WE HAVE USED THAT.
UM, IF YOU LOOK AT THE, UM, DON'T HAVE, DO YOU HAVE THE BUDGET PULLED UP? I BELIEVE OUR BEGINNING FUND BALANCE FOR FISCAL YEAR 23 WAS PROJECTED AT 12 MILLION.
AND SO WE HAVE USED THAT, UH, FUND BALANCE AND EXCEEDED THE AMOUNT, UM, UM, THAT WE WOULD NEED TO END THE YEAR IN A POSITIVE BALANCE.
AND IF I RECALL CORRECTLY, UM, BACK IN 2019, THERE WAS QUITE A SUBSTANTIAL HEALTHCARE BALANCE IN THAT RESERVE ACCOUNT.
BUT, UM, ONE OF THE THINGS THAT WE ACCUMULATED, UH, A SIGNIFICANT BALANCE FROM A COMBINATION OF DIFFERENT THINGS, UM, WE MADE CHANGES TO, UH, THE BENEFIT THE PLAN PROVIDER.
AND SO THAT GENERATED SAVINGS.
UM, WE ALSO HAD, UM, LESS PEOPLE USING THE PLAN.
I, I THINK ONE OF THE THINGS THAT THE CITY HAS DONE A REALLY GOOD JOB OF, UM, CONVENING A, UM, GROUP OF, OF OUR PEERS TO PROVIDE FEEDBACK RELATED TO HEALTH BENEFITS.
AND WE HAVE IMPROVED THE PLAN.
AND SO AS A RESULT OF THAT, THERE'S MORE USAGE.
UM, THERE'S ALSO, UM, MORE BENEFITS TO, TO THE EMPLOYEE.
SO AS A RESULT OF THAT, UM, THERE'S A COST ASSOCIATED WITH THIS.
SO WE HAVE, UM, USED FUND BALANCE TO, UM, HOLD THE COST FOR BOTH THE CITY AS WELL AS THE EMPLOYEE.
UM, IF YOU ARE CALLING THE BRIEFING IN MID-AUGUST, UM, WE ARE PROPOSING PLANS DESIGN CHANGES.
YOU ALL WILL APPROVE THAT TOMORROW AS PART OF THE BUDGET DEVELOPMENT PROCESS.
BUT, UM, WE ARE PASSING ON 5% INCREASE TO EMPLOYEES AND THE CITY IS ABSORBING, UM, UM, THE DIFFERENCE, UM, THROUGH, UH, THIS CITY CONTRIBUTIONS I PULLED UP.
SO YES, THE, THE, UM, BEGINNING FUND BALANCE OF WHAT WE BUDGETED, WE BUDGETED 25 MILLION AS THE BEGINNING FUND BALANCE FOR FISCAL YEAR 23.
UM, OUR, OUR FORECAST, UM, AS PART OF BUDGET DEVELOPMENT, WE ASSUME THAT WE WOULD SPEND DOWN THAT FUND BALANCE TILL ABOUT TO ABOUT 12.5.
AND AS OF TODAY, UM, AS EXPENSES CONTINUE TO INCREASE, UM, THIS SURCHARGE IS, IS NECESSARY TO END THE YEAR AT ZERO OR A POSITIVE BALANCE.
'CAUSE RIGHT NOW YOUR FUND BALANCE IS ZERO.
UM, AND YOU'RE GONNA USE THIS EXPERIENCE FOR BUDGETING FOR FISCAL YEAR 24.
SO YOU'RE GONNA USE THIS EXPERIENCE, MEANING THESE EXTRA DOLLARS WILL FIGURE INTO THE PER EMPLOYEE CONTRIBUTION FOR FISCAL YEAR 24.
SO WE HAVE ALREADY MADE OUR ASSUMPTIONS FOR THE PER EMPLOYEE CONTRIBUTIONS FOR FISCAL YEAR 24.
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UH, THIS YEAR END, UM, PROJECTION IS ACTUALLY JUST TO, UH, ENSURE THAT WE END THE YEAR EITHER POS IN A POSITIVE POSITION.SO ANY, UM, SAVINGS REALIZED FROM END OF YEAR, WE'LL JUST BECOME PART OF FUND BALANCE.
UM, WE PREPARE A MONTHLY FORECAST STARTING IN NOVEMBER.
UM, IT'S PART OF THE BUDGET ACCOUNTABILITY REPORT.
THE EMPLOYEE BENEFITS FUND IS PART OF THAT FORECAST.
AND SO WE'LL BE ABLE TO COMMUNICATE TO THIS COMMITTEE AS WELL AS COUNCIL THE STATUS OF THE FUND AS WE MOVE ALONG DURING FISCAL YEAR 24
SO WHICH ONE WOULD BE ACCURATE? YOUR PARKING MONEY SO THAT YOU HAVE DOLLARS IN YOUR FUND BALANCE, OR YOU EXPECT TO ACTUALLY PAY ALL OF THIS OUT IN CLAIMS? WE EXPECT TO PAY ALL OF THIS OUT IN CLAIMS. SO IT IS NOT OUR GOAL TO BUILD UP THE FUND BALANCE IN THE EMPLOYEE BENEFITS FUND.
SO WHAT WE HAVE PROJECTED AS A SURCHARGE IS THE AMOUNT THAT WE NEED TO END THE FISCAL YEAR AT ZERO NOW, UM, IT'S A PROJECTION, SO, UM, AND IT'S BASED ON CLAIMS EXPERIENCE THROUGH JULY, OR I'M SORRY, THROUGH JUNE FOR, UH, THE REMAINDER OF THE FISCAL YEAR.
SO DEPENDING ON WHAT HAPPENS IN THE MONTHS OF JULY, AUGUST AND SEPTEMBER, THAT MAY HAVE AN IMPACT ON, ON THE ENDING FUND BALANCE.
AND THEN FOR ALL THE ITEMS IN THE BUDGET AMENDMENT, HAVE THESE DOLLARS ALREADY BEEN SPENT OR, I MEAN, YOU'VE GOT A LOT OF ITEMS IN HERE, OR IS IT THAT, UM, YOU'RE GONNA MOVE IT OVER AND YOU'VE GOT A WEEK AND A HALF LEFT TO SPEND IT? SO, UM, THEY'RE PROJECTED EXPENSES AND FOR THE MOST PART, UM, THERE ARE ITEMS THAT HAVE BEEN SPENT, UM, FOR, UH, DEPARTMENTS WHERE IT'S A CONSERVATIVE FORECAST, THEN ANY SAVINGS WILL BECOME PART OF THE GENERAL FUND FUND BALANCE.
SO WHEN WE TALK ABOUT UNASSIGNED FUND BALANCE AND NUMBER OF DAYS, ANY SAVINGS REALIZED FROM ALL OF THESE ADJUSTMENTS, THEN THE GENERAL FUND BECOME PART OF THE GENERAL FUND FUND BALANCE.
SO, UM, THE, IT JUST INCREASES THE NUMBER OF DAYS AND RESERVES.
SO, UH, THIS IS MY LAST QUESTION.
I MEAN, YOU'RE GIVING US THIS PRESENTATION AND PERHAPS MAKING IT SOUND LIKE WE HAVE A CHOICE, BUT IN REALITY THESE ARE DOLLARS THAT DEPARTMENTS HAVE ALREADY SPENT AND WE DON'T HAVE AN OPPORTUNITY TO REALLY MAKE A CHANGE.
LIKE IF WE SAID, WOW, WE DON'T WANNA DO ANY OF THIS, WE WANT ALL OF THIS TO GO TO X, WE COULDN'T DO THAT REALLY, BECAUSE YOU HAVE SPENT MOST OF THESE DOLLARS.
IS THAT CORRECT? SO, UM, AS PART OF THE CITY CHARTER DEPARTMENTS ARE REQUIRED TO END THE YEAR IN A POSITIVE POSITION.
SO THE GOAL OF THE END OF YEAR APPROPRIATION ORDINANCE IS TO ENSURE THAT DEPARTMENTS ARE COMPLIANT WITH CITY CHARTER.
SO, UM, THEY HAVE PROVIDED THEIR, UH, FORECAST OF WHERE THEY THINK THEY'LL END, END THE FISCAL YEAR.
UM, SO TO ANSWER YOUR QUESTION, UM, THIS IS A REFLECTION OF ACTIVITY THAT HAS SERVICES THAT HAVE ALREADY BEEN DELIVERED FOR THE MOST PART, PROGRAMS THAT, UM, ARE COMPLETE OR NEAR COMPLETE.
SO I'LL TAKE THAT AS A YES THEN.
AND I GUESS MY, MY FOLLOW UP THEN IS JUST THAT, YOU KNOW, YOU PRESENT A BALANCED BUDGET TO US, THIS IS TRUE, BUT THROUGHOUT THE YEAR, THERE'S DEPARTMENTS THAT ARE SPENDING MORE THAN THEIR BUDGET.
WHAT IF YOU DON'T HAVE THE REVENUE TO MATCH THAT, THEN WHAT HAPPENS? WE'RE JUST GONNA TAKE IT OUTTA CONTINGENCY.
SO CONTINGENCY IS ALWAYS AN OPTION, UM, FOR ANY UNPLANNED, UM, EXPENSE THROUGHOUT THE YEAR.
SO WE, WE DO THAT, UM, EVERY YEAR SINCE I'VE BEEN HERE.
UM, WE'VE USED CONTINGENCY FOR FLOOD EVENTS, UH, FOR VARIOUS EVENTS THROUGHOUT THE YEAR, UM, WEATHER EVENTS.
UM, WE'VE USED IT FOR RANSOMWARE.
AND THAT'S REALLY THE PURPOSE OF CONTINGENCY, UM, FOR THE DEPARTMENTS THAT, UM, OUR FORECAST, UH, TO BE OVER BUDGET.
UM, WE DO HAVE CONVERSATIONS ABOUT, UM, SORT OF THE UNDERLYING NEED AND, AND WHATEVER THE EXPENSE IS DRIVING THAT OVERAGE.
AND, UM, THE CONVERSATION IS, IT'S A SERVICE OR A PROGRAM THAT HAS BEEN, UM, REQUESTED.
WELL, YOU, YOU JUST OUTLINED SOME ITEMS AS EXAMPLES TO US THAT ARE ACTUALLY EMERGENCY CONTINGENCY.
THEY'RE NOT OUR REGULAR CONTINGENCY ACCOUNT, BUT WHEN YOU START TALKING ABOUT THINGS LIKE, UM, REALLOCATING MONEY TO, TO SALARIES IN THE CITY MANAGER'S OFFICE, THAT'S NOT AN EMERGENCY.
THAT'S NOT SOMETHING THAT SHOULDN'T HAVE BEEN UNPLANNED.
THAT'S, WE HAVE EXTRA MONEY AND WE'RE JUST GONNA THROW IT THERE.
AND THAT'S WHAT MY CONCERN IS.
SO, UM, TO YOUR POINT ABOUT THE CITY MANAGER'S OFFICE, THAT'S ACTUALLY A CORRECTION.
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A CORRECTION OF, UH, PRIOR YEAR, UH, REORGANIZATION THAT TOOK PLACE.UM, WE RECOGNIZED THAT IT WAS NOT BUDGETED IN 23, AND SO WE CORRECTED IT IN 24.
BUT IN ORDER FOR, UH, THE CITY MANAGER'S OFFICE TO END THE YEAR IN A POSITIVE POSITION, WE HAVE TO MAKE THIS ADJUSTMENT.
SO THIS IS NOT, THIS IS FROM A PRIOR YEAR, SO IN MAY YOU DIDN'T RECOGNIZE THAT AS JUST NOW.
SO IN MAY, ONE OF THE THINGS THAT WE TALKED ABOUT AS PART OF THE MID-YEAR APPROPRIATION ADJUSTMENT, WE DON'T ALWAYS MAKE ADJUSTMENTS RELATED TO SALARIES, UM, BECAUSE DEPARTMENTS A LOT OF TIMES WILL HAVE THE ABILITY TO ABSORB THAT INCREASE.
SO THE MAY ADJUSTMENT, THE MIDYEAR IS REALLY TO, UM, ADDRESS THOSE, UM, ISSUES THAT, YOU KNOW, WE DON'T THINK THEY'LL BE ABLE TO ABSORB THAT INCREASE.
BUT FOR ALL THE OTHER ADJUSTMENTS, WE TYPICALLY WAIT TILL END OF YEAR.
AS I MENTIONED BEFORE, WE USED TO DO END OF YEAR AT END OF YEAR, ONCE PER YEAR.
ALRIGHT, WELL, UM, CHAIR, THANK YOU FOR THE TIME TO ASK THOSE QUESTIONS.
UM, SO THIS IS MY FIRST MEETING, SO LET, UM, HELP ME.
IT, IT'S INTERESTING THAT YOU, YOU CAME IN LIKE AT 18.8 AND 17.
IS THAT JUST BY COINCIDENCE OR DOES IT USUALLY THAT'S HOW IT WORKS OUT WHEN YOU BUDGET.
IT'S JUST, IT KIND OF ALL FILTERS INTO THE SPACE THAT IT NEEDS TO BE.
SO HISTORICALLY, UM, DEPARTMENTS WILL HAVE SAVINGS, UM, AND TYPICALLY THOSE SAVINGS, UM, WILL BE USED TO COVER PROJECTED OVERRUNS OR IT'S A COMBINATION OF, UM, EXCESS REVENUE, UM, TO COVER PROJECTED.
SO IT'S, IT'S USUALLY A COMBINATION OF DIFFERENT THINGS BECAUSE WHEN YOU LOOK AT, UM, AND I, AND I ASSUME THAT YOU'RE TAKING THIS INFORMATION AND HAVE INCORPORATED INTO THIS CURRENT BUDGET, YOU, YOU SAID YOU DID IT WITH THE HEALTH BENEFITS, BUT YOU KNOW, YOU, I'M LOOKING AT TEMPORARY STAFFING EXPENSES, UM, YOU KNOW, AND THEN YOU LOOK AT D F R AND D P D AND THAT IS, YOU KNOW, 11.4 OF THE 18.8.
I'M, I'M, SO I'M WONDERING IS THOSE CORRECTIONS MADE IN THIS BUDGET THAT WE WILL HOPEFULLY BE ADOPTING TOMORROW? SO THE HEALTH BENEFIT ADJUSTMENTS HAVE BEEN MADE IN THE 24 BUDGET.
WHEN WE WERE BEFORE THIS COMMITTEE AT MIDYEAR, UM, WE WERE PROJECTING OVERAGES RELATED TO DALLAS FIRE RESCUE AND OVERTIME, UM, THE FISCAL YEAR 24 BUDGET INCLUDES ADDITIONAL STAFFING, UM, TO ADDRESS THEIR STAFFING ISSUE.
IT ALSO INCLUDES ADDITIONAL FUNDING FOR OVERTIME.
UM, D P D IS OVER AS A RESULT OF THE, UM, HEALTH BENEFITS SURCHARGE.
SO WE HAVE ACCOUNTED FOR AN INCREASED COST IN THE HEALTH BENEFITS IN THE 24 BUDGET.
AND WHEN YOU GET INTO THE DEPARTMENTS THAT ARE, UM, THAT YOU'VE ACCRUED A $17 MILLION SAVINGS, IF YOU WILL, UM, IS THAT ACCOUNTED FOR? I MEAN, DID THEIR BUDGETS DROP BY THOSE EXPENSES? SO THE MAJORITY OF THE SAVINGS ARE THE RESULT OF SALARY SAVINGS.
UM, WE DO INCLUDE, UH, VACANCY SAVINGS ADJUSTMENT.
UM, WE LOOK AT THAT EVERY YEAR.
WE ADJUST IT BASED ON DEPARTMENT'S HISTORICAL VACANCIES.
SO FOR EXAMPLE, UM, AS PART OF BUDGET DEVELOPMENT FOR FISCAL YEAR 24, WE LOOKED AT THE LAST 24 MONTHS, UH, VACANT POSITIONS AND APPLIED A VACANCY RATE ADJUSTMENT.
AND SO WE INCREASED VACANCY SAVINGS AS A RESULT OF THAT.
UM, WE, WE REALLY WANT TO ENCOURAGE DEPARTMENTS TO FILL POSITIONS.
SO, UM, THE GOAL IS NOT TO, YOU KNOW, CUT, IT'S TO, TO MAKE AN ADJUSTMENT ASSUMPTIONS ABOUT WHERE THEY THINK, UM, THEIR HIRING WILL BE FOR NEXT YEAR.
ANYBODY ELSE? ALRIGHT, WE APPRECIATE IT AND WE'LL MOVE ON TO THE NEXT BRIEFING.
AND WHILE WE'RE GETTING SET UP, UM, COUNCIL MEMBERS, UH, ON ITEM E, DOES, UH, MR. RESENDEZ OR MR. MORENO, DO YOU HAVE ANY QUESTIONS ON THAT ONE? SO I'M HEARING FROM NO, SO WE WE'RE GONNA SKIP ITEM E, UM,
[00:35:01]
THE OTHERS THERE ARE QUESTIONS ON, AND JUST TO GIVE EVERYBODY EXPECTATIONS HERE AFTER THIS PRESENTATION, WE'RE GONNA TAKE ITEM H AND THEN WE'LL JUST GO DOWN IN ORDER FROM D DOWN TO THE, TO THE END.GOOD AFTERNOON, AVI, DIRECTOR OF PUBLIC WORKS WITH ME.
I HAVE ASHLEY EUBANKS, OUR ASSISTANT DIRECTOR OF OUR REAL ESTATE OFFICE OR DIVISION.
UH, TODAY WE'RE GOING TO COVER THE PRESENTATION ABOUT WHAT REAL ESTATE OFFICE DOES ACTUALLY IN THE CITY.
AND WITH THAT, I'M GONNA TURN IT OVER TO ASHLEY.
UH, THE PRESENTATION BEFORE YOU IS A HIGH LEVEL OVERVIEW OF THE RESPONSIBILITIES AND SERVICES PROVIDED WITHIN THE REAL ESTATE DIVISION OF THE DEPARTMENT OF PUBLIC WORKS.
UH, PURSUANT TO THE DALLAS CITY CODE SECTION TWO DASH FOUR NINE, IT PROVIDES FOR THE DIRECTOR OF PUBLIC WORKS TO OVERSEE AND MANAGE CERTAIN REAL ESTATE ACTIVITIES ON BEHALF OF THE CITY.
THESE ACTIVITIES INCLUDE, BUT ARE NOT LIMITED TO MANAGING REAL PROPERTY, INCLUDING THE APPROVAL OF SHORT-TERM LEASES, AS WELL AS THE PURCHASE AND SALE OF ALL REAL PROPERTY ON THE CITY'S BEHALF.
OUR PRIMARY AREAS OF RESPONSIBILITY INCLUDE THE ACQUISITION OF PROPERTY RELOCATION AS A RESULT OF THE CITY'S ACQUISITION ACTIVITIES, LEASING OF CITY PROPERTY TO AND FROM THE PRIVATE SECTOR, OVERSEEING THE INTAKE AND MANAGEMENT OF TAX FORECLOSED PROPERTIES, MANAGING THE SURPLUS PROPERTY PROCESS, AND PROCESSING THE ABANDONMENT AND LICENSING OF THE CITY'S RIGHT OF WAY.
UH, THE FOLLOWING SLIDE SHOWS OUR ORG CHART, WHICH INCLUDES, UM, APPROXIMATELY 30 POSITIONS WITH ADMINISTRATIVE STAFF IN BOTH REAL ESTATE AND RELOCATION PROFESSIONALS.
UM, THIS IS A OVERVIEW OF OUR BUDGET AND THE REVENUE THAT COMES IN.
UH, THIS SLIDE, UM, UH, WE WILL, UH, SHOW A TOTAL OF BUDGET FOR F Y 23 OF 3.399.
UM, AND THE TOTAL BUDGET FOR F Y 24 IS 3.42.
UM, THIS FISCAL YEAR, WE ANTICIPATE, UM, COMPLETING APPROXIMATELY 697 TRANSACTIONS.
UM, TYPICALLY WE PROCESS ANYWHERE FROM 85 TO A HUNDRED COUNCIL ACTIONS PER FISCAL YEAR.
AS FOR THE REVENUES, UM, THAT COME IN, UM, THERE ARE MULTIPLE ACTIVITIES, UM, SUCH AS YOUR ABANDONMENTS, YOUR LICENSES, SMALL SALES LEASES, SURPLUS PROPERTY AND TAX FORECLOSURE PROPERTY.
UM, THIS FISCAL YEAR, WE ARE PROJECTING APPROXIMATELY 15.9 MILLION IN REVENUE, UH, WHICH YOU WILL SEE ON THE, THE SLIDE, WHICH IS BROKEN DOWN BETWEEN GENERAL FUND AND NON-GENERAL FUND DEPARTMENTS, AS WELL AS TAX, UH, FORECLOSURE REVENUE.
UH, SO ACQUISITIONS, UM, OF COURSE IS THE NEGOTIATING ACQUIRING PROPERTY INTEREST PURSUANT TO THE DALLAS CITY CODE, UM, AND THE TEXAS PROPERTY CODE ON BEHALF OF CITY DEPARTMENTS.
UM, WE WORK VERY CLOSELY WITH ALL DEPARTMENTS, UM, IN ENSURING THAT WE HAVE ENVIRONMENTAL ASSESSMENTS, SURVEYS, UM, OF COURSE OBTAINING, UH, TITLE POLICIES.
UM, WHEN ACQUIRING A PROPERTY FOR PUBLIC PROJECTS, UM, THERE ARE SEVERAL STEPS, UH, JUST AS I MENTIONED, UM, AND ALL ARE PURSUANT TO STATE LAW AS CURRENTLY THE CITY CODES REQUIRES COUNCIL AUTHORIZATION FOR ANY ACQUISITION THAT EXCEEDS 10,000.
HOWEVER, WE ARE IN THE PROCESS OF PURSUING A CODE AMENDMENT TO HOPEFULLY INCREASE THAT THRESHOLD TO ALLOW MORE FLEXIBILITY FOR STAFF, UH, FOR SMALLER TYPE DEALS.
AND AS YOU'RE AWARE, THE CURRENT POLICY WITH PROCESSING IMMINENT DOMAIN ACTIONS, THERE IS A TWO-STEP PROCESS, UH, WHEN IM IMMINENT DOMAIN, UH, MAY BE NECESSARY.
UH, OUR RELOCATION IS TRIGGERED AS A RESULT OF THE CITY'S ACQUISITION ACTIVITY.
UH, WE PERFORM THESE ACTIVITIES PURSUANT TO THE DALLAS CITY CODE, CHAPTER 39 A AS WELL AS THE U R A.
UM, RELOCATION CAN INCLUDE BENEFITS SUCH AS MOVING EXPENSES, REPLACEMENT HOUSING PAYMENTS, RENTAL ASSISTANCE, UH, REESTABLISHMENT COSTS FOR BUSINESSES, UH, TECHNICAL ASSISTANCE, UH, WITH FORMS AND REFERRALS TO SOCIAL SERVICES IF NECESSARY.
LEASING, UM, LEASING IS BROKEN DOWN INTO TWO PARTS.
UH, WE HAVE INCOME LEASES, UH, WHERE THE CITY WILL ENTERTAIN THE LEASING OF ITS PROPERTY.
AND WE HAVE ACQUISITION LEASES WHERE THE CITY'S NEED FOR SPACE INTERNALLY IS LIMITED AND RESULTS WITH THE CITY DEPARTMENT SEEKING SPACE IN THE PRIVATE SECTOR.
UM, SOME OF THE EXAMPLES ARE SHOWN ON THE SLIDE, UM, FROM THE HENSLEY FIELD, UH, FOR INCOME LEASES AND FOR ACQUISITION LEASES.
YOU HAVE LIKE, UH, EXCUSE ME, YOUR WIC CLINICS SLIDE NINE TAX FOR CLOSED PROPERTY.
UM, WE WORK CLOSELY WITH COUNTY D I S D AS WELL AS THE LAW FIRM, BERGER, GOGAN, BLAIR, AND SAMPSON.
UM, THE CITY IS DEEMED AS THE TRUSTEE AND IS RESPONSIBLE FOR THE MANAGEMENT AND THE DISPOSAL OF THESE
[00:40:01]
PROPERTIES.UH, TYPICALLY WE AVERAGE ABOUT FIVE TO SIX PROPERTIES A MONTH THAT ARE STRUCK OFF TO THE CITY AS A RESULT OF THE SHERIFF'S SALE THAT TYPICALLY TAKES PLACE THE FIRST TUESDAY OF EVERY MONTH.
UM, ONCE WE HAVE THE PROPERTY IN OUR POSSESSION, THERE'S A VETTING PROCESS.
UM, WE WILL VET THOSE AROUND THROUGH ALL THE CITY DEPARTMENTS, UM, ENSURING THAT THERE'S NO OTHER PUBLIC NEED THAT EXISTS.
ULTIMATELY, WE WILL COME TO CITY COUNCIL AS WELL AS, UH, SEEK D I S D BOARD APPROVAL, THE DALLAS COUNTY COMMISSIONERS TO SELL TO THE HIGHEST BIDDERS CITY SURPLUS PROPERTY, UM, PURSUANT TO A D SIX DASH 17 WHICH EXIST.
UM, IT ALSO ESTABLISHES OUR LAND AND BUILDING MANAGEMENT SYSTEM, WHICH IS OUR WAREHOUSE OF ALL CITY PROPERTY.
UM, THERE IS ALSO A MAPPING TOOL THAT IS TIED TO THIS AND IS AVAILABLE TO THE PUBLIC.
UM, IN ADDITION TO THE SIX DASH 17, EACH DEPARTMENT DIRECTOR IS ASSIGNED IS TO ASSIGN A PROPERTY LIAISON TO OVERSEE ITS PORTFOLIO.
NEXT IS IDENTIFIED AS SURPLUS PROPERTY.
PRIMARILY IT'S FROM THE PRIVATE SECTOR REQUESTS THAT WE RECEIVE, AS WELL AS THROUGH THE ANNUAL REVIEW PROCESS THAT HAPPENS.
UM, FIRST QUARTER OF EVERY FISCAL YEAR OR CITY, CITY DEPARTMENTS WILL THEN SCRUB THEIR INVENTORY AND DETERMINE IF ANYTHING CAN BE RELEASED.
UM, TYPICALLY WE WILL SELL OUR PROPERTY THROUGH A PUBLIC AUCTION PROCESS ONCE IT'S DEEMED AS SURPLUS, OR IF IT IS, UM, INDEPENDENTLY, OR IF IT'S NOT DEVELOPABLE, IT CAN BE SOLD TO THE, UH, BUDDING PROPERTY OWNER.
ABANDONMENTS, UH, ABANDONMENTS.
UH, WE PROCESS, UH, THERE ARE COME IN FROM APPLICATIONS FROM THE PRIVATE SECTOR.
UH, THIS IS THE ABANDONMENT OF THE CITY'S RIGHT OF WAY.
UM, THAT COULD BE YOUR STREETS, YOUR ALLEYS, UM, IT COULD BE ANY TYPE OF, UH, EASEMENT.
UM, AND FROM THERE THERE'S AN, A VETTING PROCESS THAT GOES THROUGH ALL THE CITY DEPARTMENTS JUST TO ENSURE THAT WE DO NOT RELEASE OR RELINQUISH ANY INTEREST THAT THE CITY MAY STILL NEED.
UM, OF COURSE THERE'S FEES ASSOCIATED, UH, WITH THOSE ABANDONMENTS.
UM, EACH ABANDONMENT MUST COME TO THE CITY COUNCIL FOR AUTHORIZATION.
SLIDE 12 LICENSES SIMILAR TO LI SIM, SIMILAR TO ABANDONMENTS.
UM, A VETTING PROCESS TAKES PLACE ONCE WE RECEIVE A APPLICATION FROM THE PRIVATE SECTOR.
UM, MOST COMMON TYPES OF USES, YOU WILL SEE YOUR SIDEWALK CAFES, YOUR SIGNS, CANOPIES AND HONORINGS.
UM, THAT ENCROACH INTO THE CITY'S RIGHT OF WAYS.
UM, CITY COUNCIL AUTHORIZED AUTHORIZATION IS ALSO REQUIRED.
UM, THERE IS A, A CAVEAT TO THAT.
UM, WE DO HAVE, UM, A PERMITTING PROGRAM THAT IS IN THE BISHOP PARTS AREA, UM, WHERE THERE HAS BEEN A, UM, 10 YEAR LICENSE THAT WAS GRANTED TO ALL THE, UM, THE PRIVATE PROPERTY OWNERS.
AND THEN FROM THERE, UM, IT GOES THROUGH A REVIEW PROCESS THROUGH THEIR ASSOCIATION.
UM, AND THEN, UM, ONCE THAT IS VETTED THROUGH THE CITY, UM, WE WILL THEN ISSUE A PERMIT.
UM, APPLICATION AND LICENSE FEES ARE ASSESSED, UH, SUBJECT TO 43 DASH ONE 15, SLIDE 13.
UM, CURRENT THINGS THAT WE HAVE GOING ON TO HELP AUGMENT, UM, OUR SERVICES.
WE DO HAVE THE C B R E BROKERAGE CONTRACT, UM, WHICH WAS EXECUTED BACK IN 2019.
UH, THERE'S ONE YEAR RENEWAL OPTION REMAINING.
UM, WE HAVE USED THEM FOR SOME ACQUISITION LEASING OPPORTUNITIES.
UM, I, UH, AS WELL AS A COUPLE DEPARTMENTS HAVE USED THEM FOR CONSULTING PURPOSES ON SPECIALIZED PROJECTS.
UM, BELOW YOU WILL SEE THE, THEIR FEE STRUCTURE, UM, SOME COSTS THAT COULD BE ASSOCIATED WITH FEASIBILITY STUDIES.
UM, ONE THING THAT WE HAVE, UM, LOOKED AT AS POSSIBLE FUTURE OPPORTUNITIES, UH, ESPECIALLY WHEN IT COMES TO CITY PROPERTY, UM, DURING OUR ANNUAL REVIEW PROCESS.
UM, TRULY CHALLENGE DEPARTMENTS TO, UM, DO A TRUE SCRUB OR THEIR PORTFOLIO JUST TO SEE IF THERE'S ANYTHING THAT COULD COME AWAY, UM, COME OUT OF THAT.
SO IF IT'S UNDERUTILIZED, DEFINITELY CAN, UM, FIND A PURPOSE FOR IT.
AND WITH THAT, I BELIEVE THAT'S THE END OF THE PRESENTATION AND I'M OPEN FOR QUESTIONS.
AND NORMALLY I DEFER TO THE COMMITTEE MEMBERS ON THIS, BUT I WANTED TO TEE IT UP AND EXPLAIN TO PEOPLE WHY THIS IS ON THE AGENDA AND, AND, AND JUST KIND OF SET US UP FOR A DISCUSSION HERE.
UM, SO THIS WAS HERE BECAUSE DURING THE, UH, BUDGET DISCUSSIONS IT CAME UP THAT WE HAVE 50,000 ACRES THAT WE MAINTAIN IN THE CITY.
OF COURSE, A LOT OF THOSE ARE PARK ACREAGE, FAIR PARK IS WITHIN THAT CITY HALL, UM, THE POLICE AND FIRE STATIONS.
UM, AND I UNDERSTAND THAT THERE IS A DATABASE THAT, UM, ALL OF THE CITY'S PROPERTY ARE ON RIGHT NOW.
AND, YOU KNOW, A LOT OF THAT'S STUFF WE'LL NEVER TOUCH, RIGHT? LIKE PARKLAND AND STUFF LIKE THAT.
BUT THERE'S, YOU KNOW, THERE, THERE THIS COMMITTEE I THINK HAS AN OPPORTUNITY
[00:45:01]
TO BE A STEWARD FOR MAKING SURE WE'RE PUSHING OUT, UM, REAL ESTATE WHERE, UM, AND ACTIVATING IT WHERE IT CAN GENERATE MORE TAX REVENUE, UM, FOR OUR CITY AND HOPEFULLY TAKE THE BURDEN OFF SOME OF OUR TAXPAYERS ALONG THE WAY IF WE'RE GENERATING MORE REVENUE.AND THAT'S KIND OF WHAT I SEE THIS AS AN OPPORTUNITY TO DO.
MY MISUNDERSTANDING WITH THIS DEPARTMENT'S ROLE, UM, WAS THAT THIS DEPARTMENT WAS THE STEWARD FOR DOING THAT, BUT THE DRIVING FORCE FOR GETTING, PUSHING REAL ESTATE OUT, I UNDERSTAND NOW ON PAGE THREE, YOU KNOW, IT'S VERY LIMITED AREAS OF RESPONSIBILITIES ON, ON, UM, YOU KNOW, DOING THE, THE RELOCATIONS AND THE ABANDONMENTS AND HAVING PERSONALLY BEEN THROUGH THE ABANDONMENT PROCESS, I CAN SAY IT WORKS WELL.
AND I'VE ALSO HEARD FROM, UH, OUR INDUSTRY PARTNERS LIKE TREK AND OTHERS, THAT THIS DEPARTMENT IS RUN REALLY, REALLY WELL IN THE CITY, AND THEY GIVE ASHLEY, UM, MS. EUBANKS CREDIT FOR, FOR, FOR DOING THAT.
SO THAT LEAVES ME THOUGH, WITH, WITH MORE QUESTIONS THAN ANYTHING ELSE ON, YOU KNOW, WHO IS THE STEWARD FOR OUR REAL ESTATE? WHO IS THE DEPARTMENT THAT GOES TO, AND I WON'T NAME ANY DEPARTMENT, BUT X DEPARTMENT AND SAYS, YOU KNOW WHAT, YOU'VE GOT ALL THESE HOLDINGS AND YOU'RE NOT DOING ANYTHING WITH THEM.
UH, OR, YOU KNOW, YOU'VE BEEN SITTING ON 'EM FOR FIVE OR FIVE YEARS OR SO, IT'S TIME TO ACTIVATE 'EM AND LONG TERM LEASE 'EM, SELL 'EM, WHATEVER.
LIKE, WHO'S DOING THAT? THAT'S A QUESTION.
I'LL TAKE IT FIRST, STAB AT IT AND THEN ACTUALLY MAY WANT TO ADD MORE TO IT.
UM, AS WE MENTIONED, I THINK THERE ARE SOME OPPORTUNITIES THAT, UH, INSTEAD OF JUST MAYBE HAVING ONE PERSON TO DECIDE WHAT NEEDS TO HAPPEN, IT HAS TO BE A COMMITTEE FOR, UH, THE CITY TO DECIDE ON THE, UM, PROPERTIES AND LANDS AND WHAT ARE THE FUTURE OF THE, UH, USE OF THOSE PROPERTIES.
AND THAT COULD BE A MULTI-DEPARTMENTAL EFFORT BETWEEN ECONOMIC DEVELOPMENT, HOUSING REAL ESTATE, AND MAYBE OTHER BUILDING SERVICES DEPARTMENT.
AND THIS IS ONE OF THE THINGS THAT I THINK WE ARE ENVISIONING FOR FUTURE.
UM, DO YOU WANT ACTUALLY ADD SOMETHING TO THAT? SURE.
UM, AS I MENTIONED, AS PART OF THE ANNUAL REVIEW PROCESS THAT WE HAVE, UM, UM, EVERY FIRST QUARTER OF THE FISCAL YEAR, UM, TRULY TO CHALLENGE THE DEPARTMENTS DURING THAT PROCESS TO LOOK AT THEIR PROPERTY PORTFOLIO, UM, HOPEFULLY PUTTING SOME PARAMETERS ON THEM THIS COMING, UM, FISCAL YEAR TO SAY, YOU KNOW, IF YOU HAVEN'T DEVELOPED IT MAYBE IN FIVE YEARS, IN 10 YEARS, UM, WHAT ARE YOUR PLANS TO HELP SEE IF WE CAN GET SOME OF THAT PROPERTY RELEASED OR FIGURE OUT WHAT WE CAN DO WITH IT.
AND I APPRECIATE THAT, I'M GLAD YOU DO THAT.
UM, MY, I GUESS THOUGH, IF, IF WE'RE JUST ASKING A APARTMENT, HEY, IS THIS, ARE YOU READY TO GIVE THIS UP? LIKE, I THINK IT GIVES 'EM AN INCENTIVE TO BE HOARDERS AND JUST HOLD ONTO IT.
YOU KNOW, IF NO ONE'S DRIVING THAT HAMMER HOME AND SAYING, YOU NEED TO, WE NEED TO GET THIS OUT.
AND I REMEMBER CHAIRMAN MORENO BRINGING UP PREVIOUSLY HOW WE COULD PUT HOUSING ON TOP OF A FIRE STATION, WHICH I THINK IS SUPER COOL.
UM, YOU KNOW, WHO'S LOOKING AT OUR FIRE STATIONS 10 TO 15 TO 20 YEARS OUT AND BEING LIKE, WE'RE GONNA HAVE TO REBUILD THAT.
UM, LET'S DO IT WITH THE GUYS TO MAXIMIZING THE AIR ABOVE IT WITH, WITH MORE HOUSING.
I JUST THINK IT'S A, IT'S A GAP WE'RE MISSING THAT WE NEED TO, WE NEED TO WORK ON.
SO I'M GONNA MAYBE COME BACK, BUT DO YOU WANNA TAKE IT NEXT VICE CHAIR? THANK YOU.
UM, SO LOOKING AT THIS, IT SAYS THAT YOU ARE BASICALLY BOUND BY STATE AND LOCAL LAWS.
SO IN, AND, AND SO CORRECT ME IF I'M WRONG BECAUSE I'M SEEING YOU MORE, THIS DEPARTMENT IS MORE OF A REACTIVE THAN A PROACTIVE DEPARTMENT.
IS IT BE, PLEASE CORRECT ME IF THAT'S NOT THE CASE.
IS THAT BECAUSE OF THE CONFINES IN WHICH YOU ARE CREATED? I WOULD SAY YES, WE'RE VERY TRANSACTIONAL.
UM, SO I GUESS THAT'S A BETTER WORD.
UM, SO DEFINITELY THE PROCESSES AND PROCEDURES THAT WE HAVE TO FOLLOW HAVE TO GO ACCORDING TO STATE LAW AND, AND THE CITY CODE.
SO YOU HAVE LISTED HERE THAT YOU CAN, UH, THAT'S OPEN TO THE PUBLIC, I GUESS A MAPPING TOOL, BUT IT'S NOT REALLY EVERY PROPERTY THAT THE CITY HAS.
IS THAT FAIR TO SAY? UM, THE HOPE THAT IT, HOPE IT IS TO BE COMPREHENSIVE.
UM, DEFINITELY WE ARE ALWAYS GOING THROUGH THE PROCESS OF ADDING PROPERTIES TO THAT DATABASE.
UM, SO IT CAN DEFINITELY BE ROBUST.
UM, BUT IT IS TO BE THE WAREHOUSE OF CITY PROPERTY.
SO LIKE EVERYTHING, IF I WAS TO SAY RUN ME THAT MAP AND DROP IT OFF IN MY OFFICE, IT WOULD HAVE EVERY REC CENTER, EVERY EVEN JUST A PIECE OF VACANT LAND THAT WE OWN.
THAT IS THE, THAT IS THE GOAL.
AND SO WHAT DO YOU, WHAT DOES THE CITY DO WITH THAT INFORMATION?
[00:50:02]
UM, I'LL BE HONEST, REALLY IT IS, UM, A TOOL THAT HAS BEEN REQUESTED BY THE PUBLIC QUITE OFTEN JUST TO SEE WHERE CITY PROPERTY, UM, WHERE IT IS.UM, WE GET A LOT OF REQUESTS, UM, FROM THE PUBLIC ASKING, UH, IS CITY PROPERTY FOR SALE? IS IT AVAILABLE? UM, THEY WANNA KNOW WHAT IS AVAILABLE IN THEIR AREAS.
AND SO IT IS GREAT FOR THE PUBLIC, UM, BUT ALSO GREAT FOR INTERNAL PURPOSES OF, UM, BY DIFFERENT DEPARTMENTS, UM, USING IT FOR THEIR PURPOSES.
SO, UM, IT'S A GREAT MAPPING TOOL.
UM, A LOT OF TIMES WE WANNA SEE WHAT IS NEXT TO SOMETHING THAT WE MAY ALREADY OWN.
UM, AND SO IT JUST HELPS US, UM, LOOK AT THINGS, UM, MORE SO AS A, I GUESS YOU SAID GEOGRAPHICAL, UH, TYPE OF DEAL WHERE IF THERE IS A, A NEED.
SO IS IT BEING USED DURING THE FORWARD DALLAS CONVERSATIONS? AND, AND I'LL TELL YOU THIS BECAUSE WE HAD THIS FIRE STATION THAT IF WE HAD TO REBUILD IT RIGHT NOW, THERE'S NO WAY WE COULD DO IT IN THE NEIGHBORHOOD.
AND SO THERE'S LIKE CONVERSATIONS WITHIN THE COMMUNITY OF DOES IT GO DOWN HERE? DOES IT GO UP HERE? AND THAT THE STREET IS A LIBRARY, YOU KNOW, IS IT A WAY TO COMBINE THEM SO YOU HAVE AND SELL OFF THAT LAND? AND, AND IN OTHER WORDS, HOW DO WE MONETIZE THESE THINGS? HOW DO WE, UH, GET, MAKE OUR, YOU KNOW, ACHIEVE OUR GOALS? I THINK HOW DO WE CHANGE YOUR VISION? HOW DO WE CHANGE YOUR DIRECTION SO THAT WAY YOU LOOK AT IT FROM, IS THIS THE HIGHEST AND BEST USE? AND IF YOU CAN'T TURN IT AROUND IN TWO YEARS, THEN LET'S TALK ABOUT HOW TO TURN IT AROUND IN TWO YEARS AND LET'S CHANGE SOME OF THE THINGS THAT WE DO HAVE INTO, BECAUSE WHEN WE BUILT OUR CITY, WE BUILT IT IN SILOS.
WE HAD X HERE, Y THERE, Z THERE, AND NOW IT'S, WE'RE TRYING TO UNDO THOSE SILOS AND I THINK THIS IS A GREAT OPPORTUNITY WITH OUR OWN REAL ESTATE TO START CHANGING THAT.
SO I MEAN, I'D LIKE ASHLEY FOR, TO CHALLENGE YOU THAT IF YOU WERE A COMMERCIAL DEVELOPER OR REAL ESTATE CO YOU KNOW, YOU ARE A COMMERCIAL REAL ESTATE DEPARTMENT, HOW WOULD YOU, WHAT WOULD YOU DO TO BRING MORE MONEY INTO THE COFFERS? AND IS IT SELL IT, IS IT LEASE IT? IS IT A, UM, IS IT A MIXTURE? IS IT, YOU KNOW, MONETIZING IT BY PUTTING MORE, UM, YOU KNOW, HOUSING UNITS ON TOP? BECAUSE I, LIKE YOU SAID, IT'S TRANSACTIONAL AND I THINK A CITY OF THIS SIZE WITH A LOT OF REAL ESTATE AND WE ARE BUILT ON, I MEAN, LET'S JUST FACE IT, WE'RE A REAL ESTATE CITY.
AND SO I GUESS HOW DO YOU, AND YOU DON'T HAVE TO ANSWER ME NOW, BUT JUST THINKING ABOUT IT, HOW DO WE EMPOWER YOU AND EVERYBODY SITTING THERE TO LOOK AT THINGS DIFFERENTLY IN ORDER TO HELP US MEET A BOTTOM LINE? THAT, THAT'S KIND OF WHERE I WAS GOING WITH ALL THIS.
THE SAME, WE HAVE THIS INFORMATION, BUT HOW DO WE, AND IS IT LAWS THAT PROHIBIT US? IS IT OUR OWN SELVES? WHO, WHAT IS STANDING IN OUR WAY TO ACTUALLY, 'CAUSE THAT WAS QUITE A QUESTION.
HOW DO WE BRING OUR TAXES DOWN? WELL, WE'VE GOTTA CHANGE WORKING HOW WE WORK IN THE CITY, AND THAT MEANS WE MAY NEED A MIXED USE COMMUNITY ON OUR OWN PROPERTY WITH ALL OF OUR SERVICES AND SELL OFF THE ONES, AND WE'RE JUST GONNA HA WE'RE THAT IS, IT IS TIME TO LIKE REIMAGINE AND THINK OUTSIDE THE BOX AND BECOME NOT SO BUREAUCRATIC, I GUESS IS THE WORD I WAS LOOKING FOR IN MORE, LESS TRANSACTIONAL AND MORE, UM, VISIONARY.
SO THAT WAS IN, IN PARTNERING, RIGHT? I MEAN, AS WE, UH, AS WE, IF WE HAVE SOMETHING, LET'S FIGURE OUT HOW TO PARTNER TO GET THAT MAXIMUM OUTPUT.
ASHLEY, THANK YOU FOR THE PRESENTATION.
I TRULY SEE THIS AS A BIG OPPORTUNITY FOR THE CITY OF DALLAS TO BE ABLE TO TAKE SOME OF OUR VACANT LAND, BUT ALSO SOME OF OUR EXISTING PROPERTIES THAT ARE DECAYING OR FALLING APART.
AND, UH, WITH THAT I WANNA MAKE SURE THAT WE'RE LOOKING AT THE, THE HIGHEST AND BEST USE FOR THESE PROPERTIES.
BUT I WANT TO, AS WE'RE EXPLORING THESE OPTIONS, I WANNA MAKE SURE THAT WE MAKE IT CLEAR TO THE PUBLIC THAT PARKLAND IS TREATED DIFFERENTLY AND THAT WE'LL CONTINUE PROTECTING PUBLIC GREEN SPACE.
AND THERE'S DIFFERENT THRESHOLDS IF WE EVER DID WANNA DEVELOP OR WANNA SELL THOSE PARCELS OF, OF PROPERTY TO, TO PRIVATE DEVELOPMENT.
UM, SO YOU MENTIONED THAT WE DO HAVE A DATABASE OR A MASTER LIST OF PROPERTIES.
HOW CAN WE, IS THAT ON THE CITY WEBSITE? HOW DO WE OBTAIN THAT? IT IS ON THE CITY'S WEBSITE.
UM, WE COULD, UH, YOU CAN, UH, ACCESS IT THROUGH PUBLIC WORKS, THE REAL ESTATE PAGE.
UM, I CAN ALS I BELIEVE, I DON'T THINK THAT'S IN THE, UH, PRESENTATION, BUT YES, IT'S ON THE PUBLIC WORKS WEBSITE.
AND SO HOW DO WE ENCOURAGE OR INCENTIVIZE DEPARTMENTS TO SCRUB THOSE PROPERTIES? UM, AND
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DO WE KNOW WHAT THEY'RE COSTING US CURRENTLY, UM, TO, IF IT'S A VACANT LOT, HOW MUCH IS IT COSTING FOR, FOR MAINTENANCE, FOR UPKEEP? IF IT'S A FACILITY THAT WE'RE CONTINUING TO PUT BAND-AIDS ON, DO WE HAVE A AN IDEA OF WHAT THESE PROPERTIES ARE COSTING US? UM, I'M SURE WE CAN GET THAT INFORMATION.UM, EACH DEPARTMENT MANAGES AND MAINTAINS, UM, THEIR PORTFOLIO SUCH AS PARKS, WATER, UM, BUT I'M SURE WE COULD GET THAT INFORMATION FOR YOU.
AND SO WE MENTIONED THE IDEA OF, YOU KNOW, DO WE SELL THIS PROPERTY OR DO WE LEASE IT, DO WE PARTNER WITH THE DEVELOPER? IF WE WERE TO GO THROUGH THE, UH, SELLING PROCESS, YOU MENTIONED A PUBLIC AUCTION.
CAN YOU WALK US THROUGH THE STEPS OF WHAT FAIR MARKET VALUE LOOKS LIKE? UM, HOW DO WE ANALYZE THE COST OF THESE PROPERTIES? AND DOES ZONING TAKE INTO CONSIDERATION IF IT'S IN A COMMERCIAL DISTRICT VERSUS ON A, UM, WETLAND AREA? RIGHT.
SO I GUESS I'LL START FROM THE BEGINNING.
UM, WHEN WE RECEIVE A REQUEST FOR A PROPERTY, UM, WE VET IT THROUGH MULTIPLE CITY DEPARTMENTS, THAT'S HOUSING ECO, UM, ANY DEPARTMENT, UM, PRETTY MUCH ALL OF THEM.
AND WE'RE HOPING FROM THAT FEEDBACK, UM, THAT WE WILL GET EITHER SOME DIRECTION OR GET FEEDBACK ON PERHAPS HOW AND WHAT TO DO WITH IT.
TYPICALLY, OUR ROLE, UM, WE FIND, UH, IS TO PUT IT BACK ON THE TAX ROLLS.
AND SO IF WE ARE GETTING, UH, FEEDBACK TO DO IT IN A DIFFERENT DIRECTION OR GO IN DIFFERENT DIRECTION THAN WE WILL THAT, UM, I GUESS FROM THERE, IT DEPENDS IF IT GOES THROUGH A PUBLIC AUCTION PROCESS, UM, AFTER IT'S VETTED, IT COMES TO THE COUNCIL TO AUTHORIZE US TO FIRST DEEM IT AS SURPLUS AND TO ADVERTISE AND SELL IT, UM, THROUGH A PUBLIC AUCTION PROCESS.
UM, ONCE THE AUCTION TAKES PLACE, THE VALUE THAT IS AT THE AUCTION PER STATE LAW, THAT IS THE MARKET VALUE.
UM, SO JUST DEPENDING ON WHICH DIRECTION WE GO, IF IT'S, YOU KNOW, SOLD AS A DIRECT SALE, AS A PART OF AN ECONOMIC DEVELOPMENT PROJECT, UM, THAT VALUE IS, UM, OBTAINED THROUGH AN APPRAISAL, UM, IF IT'S SOLD DIRECTLY TO A PROPERTY OWNER, THAT'S ALSO OBTAINED THROUGH AN APPRAISAL.
UM, SO THOSE ARE KIND OF THE, THE METHODS IN WHICH WE MOVE FORWARD WITH, WITH THE DISPOSAL.
AND, AND DO THOSE, UH, DOLLARS GO BACK INTO THE GENERAL FUND OR HOW, UH, TOWARDS THE DEPARTMENT THAT OFFLOADED IT? IT DEPENDS.
IF IT'S A GENERAL FUND PROPERTY, YES.
BUT IF IT'S, UH, ENTERPRISE FUND AND IT GOES BACK TO THOSE DEPARTMENTS, UH, WITH THAT, WITH THE, WHEN IT COMES TO ABANDONMENTS, I, I GET QUITE A FEW ABANDONMENTS, UH, THROUGH THE DISTRICT RIGHT NOW.
MY UNDERSTANDING IS THAT THEY TYPICALLY GO BACK THROUGH THE GENERAL FUND.
WHAT I WOULD LIKE TO SEE IS US EXPLORE, UH, REINVESTING THAT INTO NEXUS ZONES WITHIN THAT PROPERTY TO IMPROVE THE INFRASTRUCTURE, TO IMPROVE SIDEWALKS, TO MAKE THAT PROJECT, UM, STAND OUT MORE TO, IF YOU KNOW FOLKS ARE INVESTING IN THAT PARTICULAR AREA, LET'S TRY TO PUT THOSE DOLLARS BACK INTO THAT, UH, GENERAL AREA.
UM, AND WANNA THANK, UH, CHAIRMAN WEST FOR, FOR, UH, REMINDING ME OF, UH, OUR PROPOSAL AND LOOKING INTO THE FUTURE OF, OF LOOKING AT OUR PUBLIC, UH, SAFETY FACILITIES AND PARTNERING WITH DEVELOPERS TO PUT HOUSING ON TOP OF WHETHER IT BE A POLICE STATION OR, OR A FIRE STATION.
UM, AND I KNOW WE'RE, WE'RE LOOKING AT, UH, UH, QUITE A BIG ACREAGE IN, IN DEEP DEVELOPMENT, THE BUSINESS CENTER WHERE THERE'S A HUGE OPPORTUNITY TO TRULY CREATE A, A MIXED USE, UH, COMMUNITY.
I MEAN, WE HAVE OVER 20 ACRES THAT WE CAN POTENTIALLY, UH, MAKE INTO A CITY WITHIN A CITY.
SO I'M REALLY EXCITED ABOUT THOSE OPPORTUNITIES, UH, WITH THAT.
THANK YOU CHAIRMAN, UH, FOR THOSE GOOD COMMENTS.
UM, SO CAN YOU CONFIRM, ARE YOU ORDERING APPRAISALS ON LAND AND BUILDINGS FOR ANYBODY ON BEHALF OF THE DEPARTMENT AND THEIR PUBLIC PROJECT? YES.
AND THEN ARE YOU ALSO DOING THE NEGOTIATIONS FOR THE PURCHASER OF SALE? YES, WE ARE.
AND THEN YOU, ON PAGE 13, WE'RE TALKING ABOUT THE C B R E CONTRACT.
HOW MANY TIMES THIS YEAR HAVE WE USED THE C B R E CONTRACT? UM, C P R E HAS BEEN USED, UM, A MINIMAL OF TIMES.
WE'VE USED THEM FOR SOME ACQUISITION LEASING SERVICES.
UM, BUT THAT IS PRIMARILY OUR, UM, USE OF THEM.
I KNOW THERE'S BEEN OTHER DEPARTMENTS WHO HAVE USED THEM FOR CONSULTING PURPOSES, UM, BUT FOR US IN REAL ESTATE, UM, PRIMARILY FOR OUR ACQUISITION LEASING AND WHEN THEY'VE USED THEM FOR CONSULTING, HAS IT BEEN TO PURCHASE OR SELL LAND A BUILDING? NO, NO, NO.
UM, MORE SO OF A, UM, UH, A MIX USE TYPE OF DEVELOPMENT.
HOW DO WE, UM, YOU KNOW, MARKET ANALYSIS, FEASIBILITY STUDIES, THINGS OF THAT NATURE.
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AND SO WHEN, WHEN THERE IS A DEPARTMENT THAT COMES TO YOU AND SAYS, HEY, WE WANT TO IDENTIFY AN OWNER, WE WANNA ACQUIRE A PIECE OF LAND, OR WE WANNA GET RID OF SOMETHING, WHAT'S AN EXPECTED TIMEFRAME ON THAT? UM, I GUESS IT DEPENDS ON JUST, UM, IF, IF WE HAVE A WILLING, UH, IN REGARDS TO THE ACQUISITION SIDE, IF WE HAVE A WILLING SELLER, UM, IT, IT JUST DEPENDS ON THE TIMING.UM, OUR GOAL, I GUESS, ONCE WE RECEIVE THE REQUEST, UM, OF COURSE, IS TO IMMEDIATELY ORDER THE APPRAISALS TO MAKING SURE WE HAVE THE ENVIRONMENTALS, UM, MAKING FIRST CONTACT WITH THE PROPERTY OWNERS.
UM, HOPEFULLY WE CAN GET SOMETHING TO COUNSEL, UM, EVEN IF WE DID NOT HAVE, UM, A, AN AGREEMENT, BUT JUST TO GET THE FIRST OFFER BASED ON THE APPRAISAL TO COUNSEL, UM, WITHIN, YOU KNOW, 45 TO 60 DAYS.
UM, IF THAT IS THE DIRECTION WE WANT TO EVENTUALLY GO.
UM, SOMETIMES WE KNOW THAT, LET ME BACK UP.
SO SOMETIMES WE KNOW THINGS MAY, UM, WE'RE HAVING DIFFICULTY WITH NEGOTIATIONS.
UM, SO THOSE TYPES OF TRANSACTIONS, WE'LL JUST MOVE IT FORWARD TO THE FIRST ACTION.
SO WE KNOW THAT WE MAY, DURING THAT TIMEFRAME, WE KNOW WE MAY HAVE, WE'RE GONNA HAVE TO COME BACK TO COUNCIL, UM, FOR THE SECOND STEP IF NECESSARY FOR THE IMMINENT DOMAIN.
SO THERE'S JUST A MYRIAD OF, OF STEPS IN, IN THE MIDDLE OF THE ACQUISITION PROCESS, UM, TO, UM, FINALIZE, UH, THAT TRANSACTION.
BUT THE GOAL IS TO GET IT TO COUNCIL, UM, IF THAT'S THE DIRECTION THE DEPARTMENT WANTS TO GO TO ACTUALLY FINALIZE THAT, THAT ACQUISITION, UM, ANYWHERE WITH, YOU KNOW, 60, 45, 60 DAYS, THAT IS OUR GOAL.
IS THE PARKS DEPARTMENT TREATED THE SAME AS ALL THE OTHER DEPARTMENTS? YES.
I MEAN, IT'S IN A SLIGHTLY DIFFERENT STRUCTURE.
IT'S GOT A LITTLE BIT OF A DIFFERENT SITUATION HAPPENING.
THEY DO, THEY DO HAVE TO GO TO THE PARK BOARD FIRST, UM, BEFORE WE WILL COME TO COUNCIL.
SO DO YOU KNOW WHERE I'M GOING WITH THIS? ABOUT THE LAND OFF OF FRANKFURT THAT'S TAKEN MORE THAN THREE AND A HALF YEARS TO EVEN IDENTIFY WHO THE OWNER IS? MM-HMM.
AND IS THIS THE, I I DON'T WANNA CALL IT OUT DIRECTLY.
UM, THIS IS THE ONE THAT'S CURRENTLY OUTSTANDING.
UM, YOU KNOW, WE TAKE OUR DIRECTION FROM THE DEPARTMENT, UM, AND,