* This transcript was created by voice-to-text technology. The transcript has not been edited for errors or omissions, it is for reference only and is not the official minutes of the meeting. [00:00:01] GOOD AFTERNOON EVERYBODY. TODAY IS MAY 2ND. IT IS THREE OH FIVE. I'M GONNA CALL THE MEETING TO ORDER OF THE AD HOC COMMITTEE OF GENERAL INVESTIGATING AND ETHICS. UM, THE COMMITTEE ONLY HAS FIVE PEOPLE. WE HAVE A QUORUM, BUT WE ARE LUCKY TO HAVE OTHER COUNCIL MEMBERS JOIN US TODAY. OUR FIRST ORDER OF BUSINESS IS APPROVAL OF THE MINUTES FROM THE MAY 4TH, 2023 AD HOC COMMITTEE MEETING. THERE'S A MOTION TO APPROVE. IS THERE A SECOND? SECOND. THERE'S A MOTION AND A SECOND. ARE THERE ANY CHANGES OR CORRECTIONS TO THOSE MINUTES? HEARING NONE. ALL THOSE IN FAVOR OF APPROVAL, PLEASE SAY AYE. AYE. ANY OPPOSED? MOTION CARRIES UNANIMOUSLY. WELL, TODAY WE HAVE TWO BRIEFING ITEMS AND, UM, A LOT OF STAFF HERE, AND I'M GLAD YOU ARE HERE. THE MEETING WAS CALLED TO ADDRESS THE SITUATION OF THE 11 STORY BUILDING AT 7,800 NORTH STEMS FREEWAY, A BUILDING THAT WAS PURCHASED BY THE CITY OF DALLAS IN 2022 FOR ONE $14.2 MILLION WITH ANOTHER $5 MILLION ALLOCATED TO MAKE IMPROVEMENTS AND 1.5 MILLION FOR FURNITURE AND MOVING EXPENSES. THE AGENDA ITEM ALLOWS US TO DISCUSS ALL CITY ACTIONS RELATED TO THE PROPERTY FOR THE CONSIDERATION OF THE PURCHASE FOR PRESENT DAY, INCLUDING TIMELINE, COSTS AND RESPONSIBILITIES ASSOCIATED WITH THE ACQUISITION AND OCCUPANCY. STAFF WILL PROVIDE A BRIEFING IN JUST A MOMENT. THIS PURCHASE AND SUBSEQUENT ACTIVITIES ARE OF IMPORTANCE TO THE TAXPAYERS AND BUSINESS COMMUNITY. AND THE TRAGIC IRONY OF A PERMIT OFFICE NOT BEING ABLE TO OPEN BECAUSE IT FAILED INSPECTIONS AND NOT SECURED A CERTIFICATE OF OCCUPANCY IS LOST ON NO ONE. AS ELECTED OFFICIALS, OUR GOVERNANCE ROLE REQUIRES, WE UNDERSTAND WHAT HAPPENED AS COUNCIL MEMBERS, WE DON'T RUN THE DAY-TO-DAY ACTIVITIES OF THE CITY. OUR ROLE HAS BEEN TO BE BRIEFED BY MANAGEMENT, TO UNDERSTAND THEIR IDEA OF IMPROVING SERVICE AND EFFICIENCY TO THE DEVELOPMENT COMMUNITY BY PURCHASING A NEW BUILDING THAT WOULD NEED MINIMAL PLANNED IMPROVEMENTS, THEN AUTHORIZING THE FUNDS TO PROCEED. IT'S THE MANAGEMENT AND STAFF'S ROLE TO CARRY OUT THE ACTIONS AND ACTIVITIES TO MAKE THAT VISION APPROVED BY THE CITY COUNCIL A FUNCTIONING REALITY. TODAY, WE MUST LEARN WHAT'S GONE WRONG, ACCOUNTABILITY IS NEEDED, AND WE MUST ENSURE THE MISTAKES MADE DO NOT HAPPEN AGAIN. THIS IS A SERIOUS SITUATION AS THIS INSTANCE IS NOT THE FIRST IN RECENT YEARS WHERE WE'VE HAD THE PURCHASE OF A BUILDING WITH UNEXPECTED AND UNKNOWN ISSUES PRESENTED AFTER THE PURCHASE. FOR EXAMPLE, THE MIRAMAR HOTEL WAS PURCHASED BY THE CITY NEARLY THREE AND A HALF YEARS AGO. ASBESTOS WAS DISCOVERED AFTER THE PURCHASE AND THE PROJECT HAS STALLED WHERE IT REMAINS UNOCCUPIED. I EXPECT STAFF WILL PROVIDE DURING THEIR PRESENTATION THE NECESSARY ANSWERS AS TO THE WHO WAS INVOLVED IN EACH STEP, WHO MADE DECISIONS, HOW MUCH IT COSTS, AND ADDITIONAL COSTS EXPECTED THE SCOPE OF VARIOUS STEPS COMPLETED, AND MORE. IF STAFF DOESN'T INCLUDE THOSE ANSWERS WITH THE PRESENTATION, WE'LL CLARIFY WITH THEM BEFORE MOVING ON TO THE COUNCIL MEMBER QUESTIONS SO WE CAN ALL BE OPERATING FROM THE SAME SET OF FACTS. IT'S MY INTENTION THAT ALL COMMITTEE MEMBERS WILL ASK QUESTIONS THAT YOU HAVE WITH AS MANY ROUNDS AS YOU NEED, BUT WE'LL LIMIT EACH COMMITTEE MEMBER TO A FIVE MINUTE ROUND. EACH COUNCIL MEMBERS WHO ARE NOT MEMBERS OF THE COMMITTEE ARE INVITED TO PARTICIPATE IN THE SAME MANNER AS COMMITTEE MEMBERS, BUT I'LL CALL ON COMMITTEE MEMBERS FIRST. SO, WITH THAT, UM, I'D LIKE TO GO AHEAD AND IF Y'ALL WANNA INTRODUCE YOURSELVES AND THEN GO THROUGH THE BRIEFING, THAT WOULD BE A GREAT PLACE TO START. OH, GO AHEAD. THANK YOU SO VERY MUCH. AND THANK YOU CHAIR MIDDLESTON FOR YOUR OPENING REMARKS INTO THIS COMMITTEE. AND I'M HERE TODAY. UM, I WANNA MAKE SURE THAT WE HAVE AN OPPORTUNITY, UM, TO ADDRESS QUESTIONS, BUT THE BRIEFING TODAY WILL PROVIDE A STATUS UPDATE OF THE 7,800 STEM BUILDING, UM, WHICH WAS PURCHASED TO SERVE AS A ONE-STOP PERMITTING OFFICE, AS IT WILL HOUSE OUR DEVELOPMENT SERVICES DEPARTMENT, OTHER CITY DEPARTMENTS THAT ARE ALL ENGAGED IN THE PERMITTING PROCESS. AND SO LET ME JUST START OUT BY SAYING FIRST, AND FOR, UH, FIRST AND FOREMOST, UM, I DO WANT THE COMMITTEE TO KNOW THAT WE FULLY OWN THE DELAYS. UM, THIS IS A PROJECT THAT'S HAD A LOT OF MISCOMMUNICATION. THERE'S ALSO BEEN CONFUSION, I BELIEVE, WITH THE PUBLIC, AND WE HOLD OURSELVES ACCOUNTABLE FOR THAT CONFUSION AND FOR THOSE DELAYS. UM, MOVING FORWARD, WE WILL PROVIDE AN OVERVIEW OF THE VARIOUS EVALUATIONS AND INSPECTIONS THAT HAVE BEEN COMPLETED TO DATE. WE'LL ALSO TALK ABOUT THE TRANSITION OF THE DEVELOPMENT SERVICES TEAMS BETWEEN THE STEMMONS FACILITY AND THE OAK CLIFF MUNICIPAL CENTER. WE WILL GO THROUGH DETAILED ON ALL OF THE BUDGET EXPENDITURES. THERE'S BEEN A LOT OF QUESTIONS AROUND HOW MUCH WAS SPENT AND WHAT IS STILL NEEDED TO ACTUALLY GET THE BUILDING OPEN. AND FOLLOWING THAT REVIEW BY STAFF TODAY, WE WILL THEN SHARE WITH THE COMMITTEE OUR FOCUS AROUND OUR NEXT STEPS AND THE TIMELINES ASSOCIATED WITH BEING ABLE TO COMPLETE THOSE ACTION ITEMS. WE DO BELIEVE THAT THAT'S IMPORTANT TO BE ABLE TO SET FORWARD OUR PLAN AND HOW WE ARE COMMITTED TO [00:05:01] THE OPENING OF THIS FACILITY. WE WOULD ALSO TALK ABOUT IN OUR NEXT STEPS, UTILIZATION OF A THIRD PARTY. WE BELIEVE THAT THAT WILL BE IMPORTANT TO HAVE A PROJECT MANAGER TOTALLY DEDICATED TO SUPPORT THE OPENING OF THIS BUILDING. AND SO AS WE WORK THROUGH THIS PROCESS, WE LOOK FORWARD TO PROVIDING REGULAR UPDATES TO THE CITY COUNCIL TO SHARE WITH YOU WHERE WE ARE AND WHAT WE'RE DOING. AND THEN UP ON BONE COMPLETION OF THE BRIEFING. TODAY, WE DO HAVE SEVERAL OF OUR STAFF MEMBERS WHO YOU SEE HERE. I'M GONNA LET THEM INTRODUCE THEMSELVES. BUT THIS IS A JOINT EFFORT. THIS IS A COLLECTIVE EFFORT THAT INVOLVES NOT JUST THE DEVELOPMENT SERVICES DEPARTMENT, BUT MEDIA DEPARTMENTS, THE BOND OFFICE, BUILDING SERVICES, DALLAS FIRE RESCUE, AS WELL AS DEVELOPMENT SERVICES. AND WITH THAT, I'LL TURN THE PRESENTATION OVER TO JENNIFER. NICE WONDER AND EFRON. TRIHEALTH. THANK YOU SO MUCH. EXCUSE ME. THANK YOU. UH, JENNY. NICE WONDER, I'M WITH THE DIRECTOR OF THE OFFICE OF BOND AND CONSTRUCTION MANAGEMENT, AND THANK YOU FOR GIVING US THE OPPORTUNITY TO, UM, TO ADDRESS THESE ISSUES. SO, SO WITH THAT, UH, WE'LL START WITH THE PRESENTATION. WOULD IT BE ALL RIGHT IF EVERY PERSON INTRODUCED THEMSELVES? MAYBE JUST SAY, NOT JUST YOUR ROLE, BUT LIKE WHAT YOUR ROLE WAS IN WITH THIS PROJECT, SPECIFICALLY HONORABLE CHAIR MEMBERS OF THE COMMITTEE. ROBERT PETTIS, ASSISTANT CITY MANAGER. I OVERSEE THE BOND OFFICE AND WAS HELPING HIM WITH THE, UH, DELIVERY OF THE PROJECT CHAIR AND COMMITTEE MEMBERS. RE WHO? ASSISTANT DIRECTOR WITH THE OFFICE OF BOND AND CONSTRUCTION MANAGEMENT. AND WE OVERSEE CAPITAL IMPROVEMENT PROJECTS. HONOR THE ROLE CHAIR AND MEMBERS OF THE COMMITTEE. UH, MANAGER, DOUG GAFFEY, ASSISTANT CITY MANAGER. I WAS THE PERSON WHO PURCHASED THE PROPERTY AND I OVERSEE DEVELOPMENT SERVICES. GOOD AFTERNOON. ANDREW ESPINOZA, DIRECTOR FOR DEVELOPMENT SERVICES. WE WERE THE CUSTOMER AND CLIENT. OKAY. UH, AND WITH THAT, SO, UH, SO TODAY WE WILL BE DISCUSSING THE STEMS FACILITY. UH, WE WILL BE TALKING ABOUT THE BUDGET PLANNING, THE PRE-PURCHASE, EVALUATIONS AND INSPECTIONS, TIMELINE OF PURCHASE CONSTRUCTION INSPECTIONS AND STAFF TRANSITION, BUDGET EXPENDITURES, AND FUTURE BUDGET NEEDS, NEXT STEPS AND ESTIMATED TIMELINES. AND FROM THEN, UH, WE'LL TAKE ANY QUESTIONS. SLIDE. IN 2017, DEVELOPMENT SERVICES HAD OUTGROWN THE FUNCTIONALITY OF THE OAK CLIFF MUNICIPAL CENTER, ALSO KNOWN AS MACH. THEY EVALUATED THE SPACE THAT WOULD SERVE THEIR, THEIR DEPARTMENT, AND THE CUSTOMER NEEDS. AND YEAR MARCH, $36 MILLION FOR THIS INVESTMENT STAFF INVESTIGATED, UM, BUILDING A NEW PERMITTING CENTER NEXT TO OCK FOR THE PURCHASE OF, UH, OR THE PURCHASE OF AN EXISTING BUILDING. THE COST FOR A NEW BUILDING WAS $45 MILLION AND EXCEEDED THE BUDGET AND STAFF BEGAN LOOKING FOR AN ALTERNATE ALTERNATIVE EXISTING BUILDING FOR THE NEW PERMITTING CENTER. NEXT SLIDE. IN JUNE OF 22, UH, CITY OF DALLAS IDENTIFIED 7,800 NORTH STU BUILDING TO POTENTIALLY SERVE AS A NEW DEVELOPMENT SERVICES PERMITTING CENTER IN JULY OF 22, AN INTERNAL ASSESSMENT BY THE OFFICE OF BOND AND CONSTRUCTION MANAGEMENT. AND THE BUILDING SERVICES DEPARTMENT IDENTIFIED 9.7 MILLION IN LONG-TERM CAPITAL NEEDS, SUCH AS ROOF REPAIR, REPAIRS AND CHILLER REPLACEMENTS, ET CETERA. IN JULY OF 22, A PROPERTY CONDITION ASSESSMENT WAS COMPLETED BY JLL VALUATION ADVISORY. AS PART OF THE FACILITY PURCHASE. THE JLL REPORT IDENTIFIED AN IMMEDIATE NEED OF 1.2 MILLION, 1.1 OF WHICH WAS, UM, IDENTIFIED TO REPAIR THE, AND MODERNIZE ALL FIVE OF THE ELEVATORS IN THE BUILDING. NEXT SLIDE. SO, FOCUSING ON THE TIMELINE OF THE PURCHASE, ON AUGUST 10TH, 2022, THE CITY COUNCIL APPROVED THE PURCHASE OF 7,800 STEMS FOR 14.2 MILLION FROM THE DEVELOPMENT SERVICES, UM, ENTERPRISE FUND. THIS WAS, UH, WHERE WE HAD A MISSED OPPORTUNITY TO TRANSFER THE CERTIFICATE OF OCCUPANCY FROM THE PREVIOUS OWNER TO THE CITY OF DALLAS. UM, AT THE TIME OF PURCHASE. ALSO ON, UM, AUGUST 10TH, THERE WAS A PHASE ONE ENVIRONMENTAL ASSESSMENT WAS COMPLETED ON FLOORS ONE THROUGH 11. IT IDENTIFIED ASBESTOS ON FLOORS ONE AND EIGHT, AND THAT WAS REMEDIATED ON OCTOBER 29TH. ON SEPTEMBER 23RD, THE CITY OF DALLAS TOOK POSSESSION OF THE BUILDING. AT THE TIME, ONLY FLOORS TWO, FIVE AND NINE WERE VACANT. NEXT SLIDE. IN DECEMBER OF 22, UH, FLOORS ONE AND EIGHT WERE VACATED. PERMITS WERE ISSUED, AND DEMOLITION AND FINISH OUT BEGAN ON FLOORS 1, 2, 5, 8, AND NINE FOR THE DEVELOPMENT SERVICES STAFF. DURING 2023, THE REMAINING FLOORS WERE VACATED IN JULY, UM, S FLOORS ONE THROUGH FIVE BECAME AVAILABLE. DEVELOPMENT SERVICES WAS CONSOLIDATED TO THOSE FLOORS. ONE TENANT REMAINS ON THE SEVENTH FLOOR. THE LEASE EXPIRES IN 2026 FOR SIX THROUGH 11 ARE PRIMARILY PLANNED FOR THE DEPARTMENTS [00:10:01] THAT ARE HOUSED AT . IN DECEMBER OF 23, DEVELOPMENT SERVICE STAFF BEGAN TO TRANSITION TO THE FIFTH FLOOR. A TCO WAS ISSUED ON DECEMBER 19TH, 2023, SORRY, DURING 2024. RENOVATIONS AND FINISH OUT HAVE BEEN FOCUSED ON FLOORS ONE THROUGH FIVE AND THE SYSTEM WIDE NEEDS TO SUPPORT THE BUILDING. JANUARY THROUGH MARCH, DEVELOPMENT SERVICES STAFF CONTINUED TO TRANSITION TO THE SECOND AND THIRD FLOORS ON APRIL 9TH, DEVELOPMENT SERVICES TEAM WERE DIRECTED TO TRANSITION BACK TO UNTIL THE FINAL IMPROVEMENTS WERE COMPLETED. ON APRIL 12TH, A MULTI-DEPARTMENTAL FOUR BY FLOOR WALKTHROUGH THROUGH THE, UM, THROUGH EVALUATION, WAS COMPLETED TO DETERMINE THE FUTURE OCCUPANCY, UM, BUILDING AND FINISH OUT NEEDS. SLIDE FINDINGS FROM, UM, FROM THAT WALKTHROUGH INCLUDED, UH, FROM DALLAS FIRE AND RESCUE, THEY IDENTIFIED, UM, THE NEED FOR A FIRE SAFETY PLAN AND PERFORMED A COMPLETE REVIEW OF THE FIRE ALARM SYSTEM, FIRE PUMP, AND FIRE SUPPRESSION SYSTEMS, WHICH, UH, INCLUDE THE SPRINKLERS. INFORMATION TECHNOLOGY IDENTIFIED 2.7 MILLION IN NEEDS TO COMPLETE THE INFRASTRUCTURE FOR THE FACILITY DEVELOPMENT SERVICES PERFORMED A SURFACE LEVEL ASSESSMENT OF THE BUILDING'S ELECTRICAL SYSTEM. THE CITY MARSHAL'S OFFICE ASSESSED AND ACCESS CONTROLS FOR THE ENTIRE BUILDING AND IS ASSESSING AN EMERGENCY EVACUATION PLAN, EXCUSE ME, BUILDING SERVICES, ASSESS THE COST FOR THE FIRE SUPPRESSION SYSTEM, THE FIRE ALARM SYSTEM, THE ROOF AND MECHANICAL AND PLUMBING SYSTEMS. NEXT SLIDE. SO, REVIEW THE FIRE INSPECTIONS PERFORMED, UH, IN JULY OF 22. THE JLL BUILDING ASSESSMENT SHOWED LIFE SAFETY SYSTEMS APPEARED TO BE IN GOOD CONDITION. HOWEVER, THE CAPS TO THE FIRE DEPARTMENT CONNECTIONS WERE MISSING AND NEEDED TO BE REPLACED ON APRIL OF 23. UH, REGARDING FIRE ALARM SYSTEM, THE BACKUP PHONE LINE TO THAT SYSTEM NEEDED TO BE RESTORED, AND THAT WORK WAS COMPLETED IN JULY OF 23. IN FEBRUARY OF 24, THE INSPECTION IDENTIFIED 35 NONCOMPLIANT ISSUES INCLUDING, UH, PARKING LOT STRIPING, EXPIRED, FIRE EXTINGUISHERS, AND, UM, AN ALARM SYSTEM. MULTIPLE DEPARTMENTS HAD MITIGATED 17. OF THESE ITEMS, 18 ARE IN VARIOUS STAGES OF BEING ADDRESSED. UH, ON APRIL 3RD, A FIRE INSPECTION IDENTIFIED ADDITIONAL NON-COMPLIANT ISSUES RELATING TO ELEVATOR INSPECTIONS, LUMINOUS EGRESS PATH MARKINGS, AND THE FIRE ALARM SYSTEM. IT WAS DURING THAT INSPECTION THAT WAS FOUND THAT THE FIRE ALARM COULD NOT BE HEARD ON FLOORS THREE THROUGH 11 FOLLOWING THE DALLAS FIRE AND RESCUE PROCESS, UM, IN OTHER PRIVATE BUILDINGS WITH THESE TYPES OF ISSUES. THE FIRE WATCH WAS IMPLEMENTED THE SAME DAY, AND THE TEAM CONTINUED TO WORK TO ADDRESS THE NEEDS, UH, THE NEEDED REPAIRS. AND APRIL 12TH, A FIRE WATCH MONITORING INSPECTION BY DALLAS FIRE RESCUE CONFIRMED THAT THE FIRE WATCH IS BEING CONDUCTED IN AN APPROVED MANNER. SO NEXT FEW SLIDES WILL BE ABOUT THE BUDGET EXPENDITURES AND THE FUTURE BUDGET NEEDS. THE DEVELOPMENT SERVICES ENTERPRISE FUND HAS FUNDED A TOTAL OF $20.7 MILLION, 14.2 MILLION FOR THE PURCHASE OF THE BUILDING. 5 MILLION FOR THE CONSTRUCTION FINISHED OUT OF FLOORS, ONE THROUGH FIVE AND 1.5 MILLION FOR FURNITURE FIXTURES AND MOVING EXPENSES. EXPENSES WORK ON BUILDING NEEDS FOR THE GENERAL FUND DEPARTMENTS WAS FUNDED THROUGH THE, UM, MACH PROJECT LINE OF THE 2017 CITY FACILITIES BOND FUND OF APPROXIMATELY $2 MILLION. NEXT SLIDE. SO THIS TABLE SHOWS THE COST TO OBTAIN A BUILDING, UH, TCO, THE FIRE SUPPRESSION AND FIRE, UM, FIRE PUMP REPAIRS IS APPROXIMATELY 225,000. MONITORING FOR THE FIRE ALARM PANEL IS 35,000, AND THE NEW FIRE ALARM SYSTEM IS 500,000. UH, THE FIRST FIRST TWO ITEMS WERE FUNDED THROUGH THE 2017 BOND FUND AND, AND WORK IS UNDERWAY ON THOSE. UH, NEXT SLIDE. SO THE COST TO COMPLETE THE MECHANICAL ELECTRICAL UPGRADES IS 1.8 MILLION. UH, SO TO FIX THE TWO NON-FUNCTIONING ELEVATORS IS APPROXIMATELY 500,000 TO COMPLETE THE MODERNIZATION OF THE REMAINING THREE ELEVATORS AND, UM, PROVIDE SOME RESTROOM IMPROVEMENTS TO COMBINED IS ABOUT A MILLION DOLLARS, UM, TO COMPLETE ADDITIONAL FIRE INSPECTION ON THE NON-COMPLIANT ISSUES OF ROUGHLY A HUNDRED THOUSAND DOLLARS. AND TO COMPLETE SOME ELECTRICAL UPGRADES IS A, AS ANOTHER, EXCUSE ME, IS ANOTHER $200,000. NEXT SLIDE. SO, COST TO COMPLETE THE IT INSTALLATION FINISH OUT AND FURNISHINGS OF THE GENERAL FUND DEPARTMENTS FOR SIX THROUGH 11 AS 5.2 MILLION. 2.7 IS NEEDED TO COMPLETE THE DATA NETWORK AND ACCESS CONTROLS. AND 2.5 MILLION IS NEEDED TO FINISH OUT AND FURNISH THE FLOOR SIX THROUGH 11. NEXT SLIDE. A TOTAL OF 7.8 MILLION IS NEEDED TO OBTAIN A BUILDING TCO TO COMPLETE THE MECHANICAL ELECTRICAL UPGRADES AND TO FINISH OUT THE AND FURNISH FOR SIX THROUGH 11 FOR THE GENERAL FUND [00:15:01] DEPARTMENTS. THE APPROXIMATE 2 MILLION FROM THE 2017 BOND FUNDS FOR HAS BEEN REPROGRAMED TO THE STEMS BUILDING. APPROXIMATELY 1.2 MILLION OF THE, OF THOSE FUNDS HAVE BEEN EXPENDED. 760 IS REMAINING, UH, TO BE INVOICED. THE WORK IS BEING COMPLETED. UM, THE TOTAL BUILDING NEED IS 7.8 MILLION AND WILL BE PARTIALLY FUNDED THROUGH, UH, 760 FROM THE 2017 BOND FUNDS. 5 MILLION IS RECOMMENDED FROM THE ARPA REPROGRAMMING, AND 2 MILLION HAS YET TO BE IDENTIFIED FOR LONG TERM CAPITAL COSTS. THE AN ANTICIPATED 10 YEAR CAPITAL NEED FOR STEM AND FACILITY BEYOND WHAT HAS PREVIOUSLY BEEN DISCUSSED IS ESTIMATED AT $9 MILLION A MILLION DOLLARS FOR CHILLER REPLACEMENTS. 1.5 FOR A CHILLED WATER COIL REPLACEMENT, 1.5 FOR THE VARIABLE FAN CONTROL AND POWER BOXES. 1.5 FOR PLUMBING UPGRADES, EXCUSE ME, 1.5 FOR A CONTROLS INTEGRATION INTO BUILDING SERVICES NIAGARA SYSTEM AND TWO MILLIONS ANTICIPATED FOR A ROOF REPAIR REPLACEMENT. EXCELLENT. SO THE NEXT STEPS FOR STEMS WILL BE TO IMPLEMENT AN ON-TIME REMEDIATION PLAN AND FACILITATE A SEAMLESS MOVEMENT TO 70, 7800 STEMS BY A THIRD PARTY MANAGER, WHICH WILL HAPPEN MAY THROUGH SEPTEMBER OF 2024. DELIVERABLES WILL BE ONE, A COMPREHENSIVE REMEDIATION ACTION AND MOVE-IN PLAN WITH ESTIMATED COST AND CLEAR PRIORITIZATION. STRATEGY TWO IS A FINAL BUILDING COMMISSIONING PLAN TO INCLUDE PERMIT ACQUISITION, RESPONSIBLE PARTY ASSIGNMENTS, AND A FULL COMMUNICATION PLAN. THREE IS TO IDENTIFY A TWO, FIVE, AND 10 YEAR PLAN FOR THE FUTURE MAINTENANCE ACTIVITIES OF A MAJOR BUILDING, OF MAJOR BUILDING COMPONENTS AND FORWARDS TO ACHIEVE A PARTIAL FLOORS ONE THROUGH FIVE. UM, IN FULL OCCUPANCY OF THE BUILDING SLIDE, THE PROJECT MANAGER WILL DELIVER, UH, TECHNICAL AND CONSTRUCTION CONTRACTOR SELECTIONS AND NEGOTIATIONS, BUILDING COMMISSION, COMMISSIONING PLANNING, AND PROJECT INITIATION PROJECT OVERSIGHT, AND MOVE IN FACILITATION AND FINAL FORENSIC REPORT DETAILING THE FULL ACTIVITIES FOR THE BUILDING AND LESSONS LEARNED. NEXT SLIDE. SO WHAT DOES SUCCESS TRANSLATE INTO? UM, IT'S GOING TO BE ONE THROUGH THE COMPLETION OF AT LEAST 75% OF ALL CRITICAL REMEDIATION TASKS BY THE SUMMER OF 2024. TWO OCCUPANCY ACHIEVED IN 70, 7800 SUMS BY THE FALL OF 2024. THREE IS ADHERENCE TO THE PROJECT BUDGET TIMELINE AND FOUR, TRANSPARENCY, COMMUNICATION AND COLLABORATION WITH ALL STAKEHOLDERS, INCLUDING TIMELY REPORTING OF ALL WORK COMPONENTS. EXCELLENT. THE RENOVATIONS MOVING FORWARD ON STEMS WILL FOCUS ON THE FIRE AND LIFE SAFETY SYSTEMS NEEDED FOR THE BUILDING TCO MODERNIZATION OF THE NON-FUNCTIONING ELEVATORS AND CONNECTING THEM TO THE GENERATOR COMPLETION OF THE BUILDING SYSTEMS PREVIOUSLY DISCUSSED. THE IT INFRASTRUCTURE, THE REMAINING ELECTRICAL AND FIRE INSPECTION UPGRADE WORK AND THE REMAINING FLOOR FINISH UP. NEXT SLIDE. SO THE ESTIMATED, UH, TIMELINES FOR THE REMAINING ITEM, REMAINING ITEMS ARE FOR THE FIRE SUPPRESSION AND FIRE PUMP REPAIRS. WE'RE LOOKING AT MID-JUNE FOR MONITORING THE FIRE ALARM PANEL. WE EXPECT THAT TO BE COMPLETED THIS MONTH. AND FOR THE FIRE ALARM SYSTEMS, UH, PARTS AND DELIVERY IS FOUR TO SIX WEEKS OUT. INSTALLATION CAN BE FIVE TO SIX MONTHS AFTER PARTS. UM, WE ARE REQUESTING A QUOTE TO EXPEDITE THAT WORK AND THE SCHEDULES ARE DEPENDENT ON, ON THE FUNDING AND THE ISSUANCE OF A NOTICE PROCEED SLIDE. SO FOR THE TWO NON-FUNCTIONING ELEVATORS, WE'RE LOOKING AT THAT COMPLETION OF BEING IN, BEING IN OCTOBER OF 2024 TO COMPLETE THE REMAINING THREE ELEVATORS. AND THE RESTROOM IMPROVEMENTS IS SIX TO EIGHT MONTHS FOR THE ELEVATOR PARTS AND DELIVERIES, AND THEN SIX TO EIGHT MONTHS FOR INSTALLATION. THOSE TO COMPLETE THE ADDITIONAL FIRE INSPECTION AND NON, UH, NON-COMPLIANT ISSUES. AND TO COMPLETE THE ELECTRICAL UPGRADES, WE'RE LOOKING, UM, FOR, UH, OCTOBER, 2024 FOR THAT WORK TO BE COMPLETED. NEXT SLIDE. UH, TO COMPLETE THE DATA NETWORK AND ACCESS CONTROL WORK WOULD BE FIVE MONTHS FROM THE NOTICE TO PROCEED AND THEN FINISH OUT FOR THE FURNITURE FOR FLOOR SIX THROUGH 11, WORK CAN BEGIN ON, UM, WORK TO BEGIN AFTER FLOORS ONE THROUGH FIVE HAVE BEEN COMPLETED, AND THEN, UM, AFTER THAT POINT WOULD BE FOUR MONTHS FROM THE NOTICE TO PROCEED. AND WITH THAT, WE WOULD TAKE ANY QUESTIONS THAT YOU HAVE. THANK YOU. WELL, I JUST WANNA START OFF BY REMINDING THE COMMITTEE AND AND GUESTS THAT THIS IS, UM, THE UNIQUE, UNIQUE NATURE REALLY OF THIS COMMITTEE, RIGHT? MOST COMMITTEES RECEIVE BRIEFINGS, FIGURE OUT HOW TO MOVE THINGS FORWARD, DIFFERENT PROJECTS, DIFFERENT INITIATIVES. THAT'S NOT THE ROLE OF THIS COMMITTEE. SO WHILE IT IS IMPORTANT [00:20:01] FOR US TO KNOW WHAT WILL HAPPEN, UM, IT PERHAPS WOULD BE BEST BRIEFED THAT SECTION IN ECONOMIC DEVELOPMENT. THE ROLE OF THIS COMMITTEE IS ACTUALLY TO COMPLETE AN INVESTIGATION. WHAT HAPPENED AND WHY, AND WHAT WE CAN LEARN FROM IT SO THAT WE DON'T REPEAT THE SAME MISTAKES. UM, SPECIFICALLY I KNOW I HAD ASKED FOR THE ANSWERS TO WHO WAS INVOLVED, WHO MADE DECISIONS, HOW MUCH MONEY WAS SPENT ON SPECIFIC THINGS, AND THE SCOPE OF SOME OF THE VARIOUS STEPS. SO, UM, I HAD PREPARED, HAVING READ THE BRIEFING, I DIDN'T REALIZE THAT WAS GONNA BE VERBATIM. I WAS HOPING THERE WAS MORE INFORMATION THAT WAS COMING. SO I'D LIKE TO GIVE YOU THE OPPORTUNITY IF YOU WANNA GO BACK ITEM BY ITEM AND SAY, THIS WAS THE DECISION POINT, HERE'S WHO WAS INVOLVED IN WHATEVER. WE CAN DO THAT. I THINK IT MAY END UP BEING FAIRLY TIME CONSUMING OR PERHAPS COUNCIL MEMBERS WILL JUST WANNA ASK THAT WITH THEIR QUESTIONS. BUT I THINK IT'S IMPORTANT THAT YOU REALIZE THOSE ARE ITEMS THAT NEED TO BE COVERED. LIKE, THIS ISN'T A WITCH HUNT, THIS IS, WE HAVE TO UNDERSTAND IT. WE'VE MADE A VERY SIMILAR MISTAKE PREVIOUSLY. WE HAVE NOT LEARNED FROM IT. SO PERHAPS AT THAT POINT, UM, I SHOULD HAVE CALLED A MEETING FOR THAT ONE, AND I REGRET NOT HAVING DONE THAT. UM, BUT WHAT I KNOW IS THAT WE CAN'T CONTINUE TO PURCHASE BUILDINGS AND NOT HAVE A VERY SPECIFIC CHECKLIST OF THINGS THAT MUST BE REQUIRED. LIKE HOW DO WE BUY A BUILDING WITHOUT HAVING DONE AN ASBESTOS CHECK EVER? LIKE I, I HOPE WE WILL NOT ENDEAVOR TO BUY ANY BUILDING UNTIL WE HAVE A VERY THOROUGH CHECKLIST. AND AGAIN, LET'S LEARN FROM WHAT'S HAPPENED. SO DO THE COUNCIL MEMBERS HERE, DO YOU HAVE A PREFERENCE? WOULD YOU LIKE TO GO BACK THROUGH IT AND FIND THAT INFORMATION ITEM BY ITEM? OR WOULD YOU LIKE TO JUST BE ABLE TO ASK QUESTIONS? I THINK I'D LIKE TO HEAR 'EM JUST GO THROUGH SOME OF THE EXPLANATIONS ON SOME OF THESE ITEMS WHERE IT REQUIRES A LITTLE BIT MORE THAN JUST WHAT WE'RE READING. UM, COUNCILOR WILLIS, DID YOU WANNA SAY I CONCUR WITH WHAT, UH, COUNCIL MEMBER GRACIE SAID. OKAY. WELL, SO LET'S, LET'S TAKE IT BACK. UM, EVEN STARTING ON SLIDE THREE, IF YOU DON'T MIND. SO THERE WAS THE DECISION THAT IT WAS GONNA BE TOO COSTLY TO BUILD A NEW BUILDING. YOU BEGAN LOOKING FOR A NEW ONE. WHO DECIDED THAT? I MEAN, YOU CAN SEE ON SLIDE FOUR THEN THAT YOU IDENTIFIED THAT PROPERTY. WHO DECIDED THAT WAS THE RIGHT PROPERTY TO BUY? WHO LOOKED AT IT AND WHO MADE THAT DECISION? SO, HONORABLE CHAIR AND, AND MEMBERS OF THE COMMITTEE. UM, UH, I HAVE IN CONSULTATION WITH THE CITY MANAGER AND WE DID BRIEF THE CITY COUNCIL ON THE SPECIFIC PURCHASE AND CLOSED SESSION AS WELL AS, AS TOOK THE, UM, UH, THAT AGENDA TO THE CITY COUNCIL FOR THAT. AND, AND LET ME GIVE YOU A LITTLE BIT OF A BACKGROUND. THIS, THIS IS VERY IMPORTANT. UH, PRIOR TO TWO 17, WE HAD ALLOCATED ABOUT $36 MILLION TO ACTUALLY BUILD, UH, A 150,000 SQUARE FOOT BUILDING ONLY FOR DEVELOPMENT SERVICES, UH, AT THE PRICE OF ABOUT 45, UH, MILLION DOLLARS IN A VERY CONFINED AREA. AND, AND WHEN I CAME INTO THE CITY OF DALLAS, UH, IN EVALUATING THAT, I KNEW WE WERE GONNA, WE WERE GONNA OUTGROW THIS, AND I DIDN'T WANT JUST DEVELOPMENT SERVICES TO OCCUPY A VERY IMPORTANT BUILDING THAT IS, UH, A CONSORTIUM OF DIFFERENT DEPARTMENTS WORKING TOGETHER. UH, SO, UH, BECAUSE OF THE COST WAS PROHIBITIVE AND IT, AND, AND IT WAS ABOUT $300 A SQUARE FOOT. UH, WE STARTED LOOKING AT D DIFFERENT BUILDINGS, UH, DIFFERENT, UH, UH, EXISTING BUILDINGS, TRIED TO TALK TO THE COUNTY ABOUT, YOU KNOW, WORKING TOGETHER AND TRYING TO FIND SOMETHING THAT COULD FIT BOTH OF US, UH, WORKED AND, AND HIRED CBRE, UH, TO START LOOKING AT DIFFERENT THINGS AND, AND, YOU KNOW, COVID HITS. AND SO THAT KIND OF DELAYED THIS PROCESS A LITTLE BIT. UH, AS WE WERE LOOKING AT, WE, WE WANTED TO FOCUS ON AN AREA THAT WAS STILL CLOSE TO CITY HALL AND THAT WAS CENTRAL TO THE CITY OF DALLAS. AND THAT WOULD SERVE AS NOT JUST THE DEVELOPMENT SERVICES DEPARTMENT, BUT ALSO OTHER DEPARTMENTS, PUBLIC WORKS, TRANSPORTATION CODE COMPLIANCE, ALL OF THOSE, UH, DALLAS WATER UTILITY, ALL OF THOSE DEPARTMENTS THAT CAN SUPPORT. UH, SO THAT'S ONE OF THE FOUR OR FIVE BUILDINGS THAT WE'VE LOOKED AT. UM, AND, AND IN TERMS [00:25:01] OF IDENTIFYING THAT BUILDING, WE WENT AND, AND SAW IT. I PERSONALLY SAW IT BEFORE, OF COURSE, AND I'M A STRUCTURAL ENGINEER, SO I, I HAD THE OPPORTUNITY TO GO AND KIND OF EVALUATE THE BUILDING QUICKLY. AND, BUT EVEN THOUGH, UM, I'M, UM, AN ENGINEER, WE, I WENT AND, AND GOT THE SERVICES OF JLL AND I'VE ASKED THE BUILDING SERVICES TO EVALUATE AS WELL AS, UH, THE BOND OFFICE TO EVALUATE AND DID, UH, TWO DIFFERENT APPRAISALS FOR THAT. UM, THE BUILDING WAS OFFERED FOR ABOUT 14 AND A HALF. WE ENDED UP GETTING A, FOR ABOUT 14.1 A MILLION DOLLARS. AND JLL IDENTIFIED, UH, IMPROVEMENTS FOR ABOUT $2.6 MILLION. SO WE WERE GONNA GET IT FOR $65 A SQUARE FOOT, WHICH IS, YOU KNOW, A FRACTION OF THE COST OF WHAT WE WOULD, UH, UH, UH, PAY FOR FOR BRAND NEW BUILDING. AND, AND, UH, UM, YOU KNOW, WE HAD ALL OCCUPANTS IN EVERY FLOOR OTHER THAN I BELIEVE THE, THE EIGHTH FLOOR. SO, UM, UM, AGAIN, COMPLETING THAT PURCHASE, WORKING AND, AND GETTING THE PROPERTY CONDITION, UH, ASSESSMENT ON IT, UH, WE, WE FELT THAT WE CAN PRESENT TO THE CITY COUNCIL A VERY VIABLE OPTION OF A BUILDING THAT IS, UH, SOMEWHAT MOVE-IN READY. WE NEEDED SOME IT WORK AND, AND THE TWO ELEVATORS. AND SO, UH, THAT'S THE RECOMMENDATION THAT I MADE TO THE CITY COUNCIL, AGAIN AT CLOSE SESSION AND ALSO BROUGHT IT IN AS AN AGENDA ITEM TO PURCHASE THAT BUILDING. SO IN KEEPING WITH THIS, THE COST FOR JLL TO DO THIS EVALUATION WAS, HOW MUCH DO YOU KNOW? UH, IT WAS, UH, IMMEDIATE COSTS WAS ABOUT $1.2 MILLION AND, UH, A 10 YEAR PROJECTION COST OF DOING SOME IMPROVEMENTS, UH, OF ABOUT $1.2 MILLION. I'M SORRY. SO MY QUESTION IS, HOW MUCH DID YOU PAY JLL $4,000? SO DOESN'T THAT SEEM LIKE TOO LITTLE? YES. UH, IN, IN TERMS OF, IN TERMS OF A, A DETAILED REPORT IN TERMS OF, UH, ABSOLUTELY, UH, VISUAL AND ASSESSING ALL OF THE IMPROVEMENTS. SO, WAIT, CAN YOU SAY WHAT THE SCOPE WAS? 'CAUSE LIKE FOR $4,000 FOR AN 11 STORY BIG BUILDING, I THINK THEY'RE DRIVING BY AND WALKING THE FLOORS. I DON'T THINK THEY'RE TESTING SYSTEMS AND GIVING YOU A DETAILED ANALYSIS OF THE STATUS. AND, AND WE CAN PRODUCE A REPORT FOR THAT, BUT THAT'S NOT WHERE I STOPPED. I, UH, WE ALSO HAD, UH, BUILDING SERVICES, UH, DO AN ASSESSMENT AND HAD THE BOND OFFICE DO A VERY DETAILED, NOT THOROUGH ASSESSMENT. SO WE DID THREE DIFFERENT ASSESSMENTS, NOT JUST THE JLL ASSESSMENT. SO, UM, A AGAIN, THEY VARIED, UH, IN, IN, IN COST. AND, UH, AGAIN, UM, MY, MY MAIN CONCERN WAS REALLY THE STRUCTURAL ELEMENT OF IT, AND THERE WAS ZERO CHANCE OF A STRUCTURAL ISSUE YEAR. OKAY. AND SO BY HAVING THE BOND OFFICE AND DEVELOPMENT SERVICES DO AN EVALUATION, ARE, ARE THESE QUALIFIED INDIVIDUALS? IS THIS WHAT THEY DO PROFESSIONALLY? WELL, I MEAN, THAT'S, THEY ARE IN CHARGE OF ALL OF OUR CONSTRUCTION, UH, ACTIVITIES AND MAINTENANCE ACTIVITIES IN OUR FACILITIES. SO YEAH, THEY DO HAVE THE EXPERTS IN THERE. OKAY. I I DIDN'T REALIZE THEY WERE, UH, THEY'RE ENGINEERS. UM, UM, IN THE BOND OFFICE, WE DO HAVE ENGINEERS, ABSOLUTELY. AND WE HAVE, WE HAVE MAINTENANCE FOLKS IN, IN BUILDING SERVICES. YES. SO LET'S, LET'S KEEP GOING THROUGH, THAT'S WHO DID THE PROPERTY CONDITION ASSESSMENTS? THAT'S ON PAGE FIVE. AND THAT WAS DONE BEFORE COUNSEL APPROVED IT? THAT'S CORRECT. AND SO AGAIN, YOU HAVE MENTIONED, AND THIS HAS BEEN IN SOME OF THE DIFFERENT REPORTS THAT, UM, ALL OF THE FLOORS WERE OCCUPIED PREVIOUSLY, UM, I BELIEVE MINUS THE EIGHTH FLOOR. I SEE. AND I, I'LL ASK THE TEAM TO VERIFY COUNCIL MEMBER REJO. UH, SO TO MY UNDERSTANDING, YES. UM, PRIOR TO THE PURCHASE IN AUGUST, THE EIGHTH FLOOR WAS, WAS VACANT. AND WAS IT YOUR INTENTION TO HAVE ALL THE TENANTS LEAVE OR FOR THEM TO REMAIN? I, I THINK, UH, WHEN WE PURCHASED THE BUILDING, THE INTENTION WAS, UH, AS, UH, LEASES EXPIRE, UH, TENANTS WOULD LEAVE AND, AND CITY SERVICES WOULD OCCUPY INSTEAD. DO YOU WANNA ADD IN ADDITIONAL INFORMATION WITH SLIDE EIGHT? SO, JUST TO, TO ADD TO THE CONVERSATION A LITTLE BIT, UM, [00:30:01] BY SEPTEMBER OF 23, THERE WERE THREE FLOORS THAT WERE VACANT ON STEM AND, UH, TWO, FIVE, AND NINE. SO JUST TO CLARIFY THAT IN 22, SORRY ABOUT THAT. BUT IS IT CORRECT THAT YOU WERE ONLY INTENDING TO OCCUPY ONE THROUGH FIVE COUNCILOR MENDELSON, UH, CHAIR MENDELSSOHN? APOLOGIES. I JUST WANNA CLARIFY THIS. WHEN THE CITY TOOK POSSESSION OF THE BUILDING IN SEPTEMBER OF 2022, THERE WERE, THERE WERE FLOORS TWO, FIVE AND NINE VACANT. UM, I BELIEVE IF YOU LOOK AT THE SLIDE SEVEN, BY DECEMBER, 2022, FLOORS 1, 8, 1 AND EIGHT WERE ALSO VACANT. SO THE PLAN WAS WHEN THOSE FLOORS BECAME VACATED, THAT DEVELOPMENT SERVICES WILL OCCUPY THOSE FLOORS. SO THAT, THAT WAS, THAT WAS, UH, THAT WAS THE PLAN WHEN THOSE FLOORS BECAME AVAILABLE. IT WAS NOT UNTIL, UH, I BELIEVE JULY OF 2023, THAT FLOORS ONE THROUGH FIVE BECAME COMPLETELY VACANT. AND RATHER THAN HAVING DEVELOPMENT SERVICES CUSTOMERS GO TO FLOORS 1, 2, 5, 9, AND EIGHT, WE MADE THE DECISION TO CONSOLIDATE DEVELOPMENT SERVICES INTO FLOORS ONE THROUGH FIVE. AND LET ME, LET ME CLARIFY ONE THING THAT IS VERY IMPORTANT. OKAY. BUT SEE, THIS IS WHAT I'M SAYING. LIKE WHO MADE THAT DECISION? SO I, I MADE THE DECISION TO CONSOLIDATE FOLKS INTO FLOORS ONE THROUGH FIVE IN CONSUL IN CONSULTATION WITH THE DEVELOPMENT SERVICES TEAMS. AND MADAM CHAIR, JUST WANNA MENTION THAT JUST AS A FLOOR BECOMES AVAILABLE DOESN'T MEAN THAT THE DEVELOPMENT SERVICES TEAM CAN MOVE INTO IT. YOU KNOW, THERE NEEDS TO BE SOME MODIFICATIONS AND, AND, AND AGAIN, LIGHTING OTHER THINGS. SO IT, IT'S NOT LIKE AS A FLOOR BECOMES AVAILABLE, THEN WE JUST MOVE IN BECAUSE THERE'S WALLS, THERE'S ALL KINDS OF, UH, CHALLENGES WITH THIS. AND, AND SO THAT'S WHERE WE WENT TO KIND OF THE MODIFICATION OR TENANT IMPROVEMENT MODE WHERE WE ACTUALLY HAVE AN OPEN FLOOR CONCEPT WHERE, UH, NOT ONLY THE, THE FOLKS WORK TOGETHER, YOU KNOW, IN DEVELOPMENT SERVICES AND OTHER DEPARTMENT, BUT THE CUSTOMER CAN SEE EVERYTHING THAT WE'RE DOING, YOU KNOW, WITHOUT THE, THE, THE BURDEN OF WALLS AND, AND PARTITIONS AND ALL OF THAT. . OKAY. SO LET'S GO THROUGH AND CONTINUE ON SLIDE EIGHT. YOU GOT IT. JANUARY THROUGH MARCH OF 2024, DEVELOPMENT SERVICES STAFF CONTINUED TRANSITION TO THE SECOND AND THIRD FLOORS WHO DECIDED TO MOVE INTO THE BUILDING? I, SO CHAIR MENDELSON, UH, DEVELOPMENT SERVICES, UH, MOVED INTO, UH, FLOORS TWO AND THREE. UM, AT THIS TIME, FLOOR FIVE WAS ALREADY OCCUPIED BY ABOUT 70 TEAM MEMBERS. AND AS THOSE FLOORS WERE COMPLETED, THE SECOND AND THE THIRD, WE BEGAN TO TRANSITION INTO THOSE FLOORS AS WELL. THANK YOU. BUT WHO DECIDED TO MOVE EMPLOYEES INTO THE BUILDING? SO I DECIDED TO MOVE IN OUR TEAM MEMBERS ONCE THOSE FLOORS WERE READY FOR OCCUPANCY. YES. UM, MAD YOU'VE ALREADY SENT OUT A MEMO SAYING YOU SENT EVERYBODY BACK TO ACH ON APRIL 9TH. YES, THAT'S CORRECT, MA'AM. WHY'D YOU DO THAT? UM, I, I WILL TELL YOU THAT, AND, AND, AND FULL TRANSPARENCY, UM, SOME OF THEM, SOME THE MEMBERS IN ON THE FIFTH FLOOR WERE STARTING TO WANDER AROUND, UH, OTHER FLOORS, WHICH WERE LIVE CONSTRUCTION. AND, AND IT WAS A CHALLENGE FOR US, EVEN THOUGH WE SENT, UH, SEVERAL COMMUNICATIONS TO STAFF TO PLEASE STAY IN YOUR FLOOR. AND, UH, THEY DIDN'T. AND SO, UH, FOR THE SAKE OF MAKING SURE THAT, YOU KNOW, THERE'S NOT GONNA BE INTERACTIONS WITH LIFE CONSTRUCTION AREAS, UM, I, UH, I MADE THE DECISION TO SEND THEM BACK TO UNTIL WE FINISHED THE WORK. THERE WASN'T ANY, THERE WASN'T ANY IN FULL TRANSPARENCY AND COMPETENCE. THERE WASN'T ANY LIFE AND SAFETY ISSUES THAT CAUSED ME TO DO THIS BECAUSE WE HAD A CORRECT AND VALID TCOI JUST DIDN'T WANT THE MINUTIA OF COUPLE OF, COUPLE OF STAFF MEMBERS TO GO BACK AND FORTH, GO INTO DIFFERENT FLOORS AND CREATE ALL KINDS OF STORIES THAT THEY, THEY, YOU KNOW, UH, THAT THEY PERCEIVE TO BE AN ISSUE. SO, UH, I JUST, I WANTED TO PUT A STOP TO THAT. OKAY. WELL, I DON'T WANT TO START WITH MY QUESTIONS, BUT I WILL GO BACK TO THAT IN A MINUTE, BUT SURE. UM, SO YOU SENT 'EM BACK AND ON APRIL 19TH, WHO ORDERED FOR THERE TO BE A FLOOR BY FLOOR WALKTHROUGH? EVALUATION [00:35:01] COMPLETED? APRIL 12TH. I'M SORRY. THANK YOU. SO THIS IS THE BOTTOM OF SLIDE EIGHT. I DID. YOU DID. SO WHY DID YOU, WHY DID YOU DO THAT? WELL, I WANTED, I WANTED TO MAKE SURE THAT, UH, ALL THE PUNCH LIST ITEMS ARE, ARE LISTED EXPLICITLY IN, IN A TRANSPARENT MANNER, SO WE KNOW TRULY WHAT, WHAT ELSE WE NEED TO DO. SO LET'S GO TO SLIDE NINE. SO IT LOOKS LIKE APRIL 12TH WAS A PRETTY BIG DAY, . UM, YOU WANNA WALK THROUGH THE, THE WHO, WHAT, WHEN, WHERE, WHY ON ALL THESE? I'LL DEFER THAT TO JENNIFER AND IF I, AND TO TALK ABOUT IT. SURE. UM, SO AS FAR AS THE APRIL 12TH, UH, MULTI-DEPARTMENTAL WALKTHROUGH AT STEM, AND, UH, WE HAD DALLAS FIRE INFORMATION TECHNOLOGY DEVELOPMENT SERVICES, CITY MARSHALL'S OFFICE, UM, BUILDING SERVICES. AND IN ADDITION TO THAT, OUR OFFICE, UH, WE WALKED EVERY FLOOR IDENTIFYING POTENTIAL ISSUES. UM, AS UH, PREVIOUSLY MENTIONED, DALLAS, UM, HELPED US WITH IDENTIFYING ADDITIONAL NEEDS SUCH AS A FIRE SAFETY PLAN. THEY BASICALLY PERFORMED A COMPREHENSIVE REVIEW OF THE SITE AND ITEMS THAT NEEDED TO BE DONE AS FAR AS THE, UH, FIRE ALARM SYSTEM, THE FIRE SUPPRESSION SYSTEM, UM, AND FUTURE AND, AND ANY INSPECTIONS THAT NEED TO BE DONE. UH, IN ADDITION TO THAT INFORMATION TECHNOLOGY PROVIDE US WITH A NUMBER OF 2.7 MILLION, UH, TO COMPLETE THE REMAINING FLOORS FOR THE ENTIRE BUILDING. UH, AND THEN DEVELOPMENT SERVICES, UH, I BELIEVE CHIEF, THE ELECTRICAL CHIEF, UH, PROVIDE US A, UH, I THINK CHIEF ELECTRICIAN, UH, FROM DEVELOPMENT SERVICES HELPED US WITH, UM, AN ASSESSMENT AS FAR AS THE ELECTRICAL SYSTEM. UM, AND SO THOSE ITEMS WERE IDENTIFIED THROUGH, UM, THE WALKTHROUGH THAT WE, THAT WE HAD ON THE, ON THE APRIL THE 12TH. SHOULD THOSE ITEMS HAVE BEEN DONE BEFORE ANYBODY MOVED INTO THE BUILDING? I BELIEVE YES. THANK YOU FOR SAYING THAT. UM, SO CHAIRMAN MENDELSON, LET ME CLARIFY. SO BECAUSE IT WAS AN ACTIVE CONSTRUCTION SITE, ALTHOUGH SOMETHING WAS OKAY, LET'S SAY BEGINNING OF APRIL AS CONSTRICT CONSTRUCTION AND REMODELING CONTINUED, WHAT WE WANTED TO DO AS A TEAM IS PUT EYES ON IT AS FREQUENTLY AND AS OFTEN AS POSSIBLE TO ENSURE AS THINGS CHANGED, PROGRESS WAS MADE, HAD NEW ISSUES ARISEN. AND SO THAT'S WHY SOME OF THESE WERE SPOT CHECKED AGAIN, BECAUSE WE HAD ALREADY CHECKED THEM. AND SO WHEN WE IDENTIFIED THERE'S POSSIBLE CHANGES, ADDITIONAL WORK HAPPENING, LET'S GET BACK IN THERE AND, AND, AND PERFORM THE ASSESSMENT BECAUSE WE, WE PERFORMED ASSESSMENTS ON MULTIPLE OCCASIONS AS, AS A, AS AN INSPECTION DEPARTMENT. WELL, I WISH YOU WOULD'VE PUT IT IN THE TIMELINE. 'CAUSE I REALLY ASKED FOR EVERY SINGLE STEP TO BE IN THIS TIMELINE AND CLEARLY NOT. I ASK FOR WHO, I ASK FOR HOW MUCH I ASK FOR WHAT EVERY SINGLE STEP. AND IT FEELS LIKE THERE'S STEPS MISSING. FAIR ENOUGH. COUNSEL. OKAY. AND MADAM CHAIR, IF I MAY, UH, WE DO HAVE, WE DO HAVE A CONSTRUCTION MANAGER FROM THE BOND OFFICE ON SITE ON A DAILY BASIS. SO IT WASN'T, IT IT, IT'S NOT LIKE WE LEFT THE BUILDING. THE BUILDING WAS FULLY SUPERVISED EVERY SINGLE DAY BY THE BOND OFFICE. UH, AND, AND, UH, E EVERY SINGLE DAY HE WOULD CONTINUE TO ASSESS EVERY SINGLE FLOOR. SO WHEN WE MOVED IN WITH A TCO, UH, WE MOVED IN, THE FIRE PANELS WERE WORKING. IT'S NOT LIKE THEY WERE NOT RIGHT. WE'RE, WE'RE STILL WORKING ON IT, UH, UH, STUFF. UH, WE'RE WORKING ON ELECTRICAL STUFF, WE'RE WORKING ON THINGS AND SOME, SOMETIMES THESE, THE, THE, THE, THE INTERMINGLING OF DIFFERENT SYSTEMS CAN TRIGGER SOMETHING OUT. SO IT'S NOT LIKE WE'VE, WE KNEW THAT THERE WAS AN ISSUE AND WE MOVED STAFF. THERE WAS NOT AN ISSUE WHEN WE ISSUED THE TCO. SO I, I JUST WANT TO BE VERY CLEAR WITH THAT. OKAY. WELL, AGAIN, WE'LL ASK QUESTIONS. I, I'M JUST GONNA HAVE TO SAY THIS ONE THING 'CAUSE I'M AFRAID I'M GONNA FORGET IT, WHICH IS THAT IF THAT WAS TRUE, THEN YOU WOULD'VE KNOWN EMPLOYEES WERE GOING TO OTHER THE FLOORS AND YOU WOULD KNOW WHO, AND YOU KNOW, WHEN, AND YOU COULD HAVE DISCIPLINED [00:40:01] THEM, LIKE IT WOULD'VE BEEN A WHOLE DIFFERENT THING. THERE'S, THERE'S NOT BEEN, I MEAN, IT'S NOT POSSIBLE THAT YOU HAD THE LEVEL OF SUPERVISION THAT YOU'RE SAYING. AND THEN YOU ALSO HAD THE PROBLEM OF EMPLOYEES GOING TO PLACES THEY SHOULDN'T HAVE. HONORABLE CHAIR. WE, WE, WE, WE EXPECT OUR, OUR COWORKERS TO BE PROFESSIONAL AND WE EXPECT THEM TO, TO STICK TO THE RULES AND REGULATIONS, UH, THAT NOT ONLY THE CITY SET OUT FOR THEM, BUT ALSO THE DEPARTMENT SET OUT FOR THEM. AND WE HAVE SENT COMMUNICATION TO THEM THAT THE FIFTH FLOOR IS THE FLOOR THAT YOU NEED TO BE IN. THERE WAS NO REASON FOR THEM TO BE AT ANY OTHER FLOORS WHEN WE ISSUED THE TCO. UH, AND, AND THAT WAS VERY CLEAR. AND EVEN WITH THAT, THEY STILL WONDERED WRONG IN IN OTHER, AND NOT ALL OF THEM, I'M NOT SAYING ALL OF THEM. I'M SAYING, UH, YOU KNOW, ONE OR TWO EMPLOYEES. AND, AND THAT'S THE REASON I, I DIDN'T WANT TO, FOR ANYONE TO PERCEIVE THAT WE'RE PUTTING OUR COWORKERS IN, IN HARM'S WAY. AND THAT'S ONE OF THE REASONS THAT I, UH, THAT I'VE TOLD PEOPLE, YOU KNOW, NO, NO MORE INTERMINGLING IN THOSE AREAS. WE NEED TO GO BACK TO UNTIL WE COMPLETELY FINISH UP THE FLOOR. AND A PERMANENT COS ISSUE RESPECTFULLY. ONE OF THE DATES OR MULTIPLE DATES THAT ARE LEFT OUT IS THAT YOU HAVE COMMUNICATED, NOT YOU SPECIFICALLY, ACTUALLY I THINK IT WAS SOMEBODY DIFFERENT, COMMUNICATED THAT 20 TO 25 WORKERS WERE PLACED ON THE SECOND FLOOR ON JANUARY 16TH AND FOUR WORKERS ON THE THIRD FLOOR. SO THE WORKERS WERE NOT ALL ON THE FIFTH FLOOR, WHICH WAS THE ONLY ONE THAT HAD THE CO IS THAT CORRECT CHAIR? THAT'S CORRECT. OKAY. WELL, IT SORT OF CONTRADICTS WHAT'S BEING SAID. SO LET'S GO THROUGH, CONTINUING ON PAGE 10. ARE THERE ANY ADDITIONAL DETAILS YOU CAN ADD IN ABOUT THE WHO, THE WHAT, THE SCOPE, THE WHY? LIKE WHAT WAS THE SCOPE THAT JJL WAS SUPPOSED TO EVALUATE WHEN THEY DID THE INSPECTION? IT'S TYPICALLY MAJOR SYSTEMS, HVAC, UH, STRUCTURAL, UH, LIGHTING, UM, ELEVATORS, UH, THE MAJOR SYSTEMS. THEY'RE NOT GONNA GO TO EACH FLOOR BY FLOOR AND SAY, WELL, THERE'S, YOU KNOW, A PIPELINE HERE AT THIS BATHROOM THAT NEEDS TO BE, TO BE REPAIRED. UH, THAT'S SOMETHING THAT WE DID EVEN AN IN-DEPTH EVALUATION, UH, WITH THE BUILDING SERVICES AS WELL AS WITH THE BOND OFFICE. OKAY. UM, OBVIOUSLY YOU HAD A LOT OF FIRE INTERACTION IN FEBRUARY, 2024. DO YOU WANNA TALK ABOUT THE, THE WHY ON THAT? LIKE HOW THAT CAME TO BE? AND WERE YOU SETTLED ON THOSE ISSUES? I MEAN, THERE SEEMS TO BE ITEMS MISSING HERE, TYPICALLY THAT THE FEBRUARY 24TH FIRE INSPECTION WAS THE RESULT OF AN ANNUAL INSPECTION, UH, FOR THE BUILDING, EXCUSE ME. AND THE FIRE, UH, FIRE RESCUE DID COME OUT AND THEY IDENTIFIED 35 AGAIN, NONCOMPLIANT ISSUES. UH, THEY RANGED IN, UM, I DON'T WANNA SAY SEVERITY, BUT THEY, THEY RANGED IN, IN WHAT THOSE ISSUES ARE. SO SOME OF THOSE WERE PARKING LOT STRIPING, UM, ALL THE WAY TO, UM, SOME FAULTS THAT THEY HAD FOUND ON THE FIRE ALARM SYSTEM. SO BASED ON THAT, UM, THAT INSPECTION, WE DID START WORKING ON THE, THE ONES THAT WE COULD. UM, AND I KNOW THE APRIL INSPECTION ON THE NEXT PAGE WAS A, WAS A RE-INSPECTION FROM THE FEBRUARY ONE. AND THAT'S WHEN THE, UH, THE ALARM SYSTEMS WERE, WERE TRIGGERED AND TESTED AND, AND LOOSE, IDENTIFIED THAT THEY WEREN'T BEING ABLE TO BE HEARD ON THE FLOORS THREE THROUGH 11. AND THAT'S WHEN THE FIRE WATCH WAS INITIATED. SO UP UNTIL THAT POINT, THERE WAS NO KNOWN FIRE, UH, LIFE SAFETY SYSTEMS IN, IN THE BUILDING OR CONCERN. SO WOULD THAT NOT HAVE BEEN CHECKED BEFORE PEOPLE MOVED IN THAT YOU COULDN'T HEAR A FIRE ALARM? WELL, THE BUILDING WAS OCCUPIED AT THE TIME. IT HAD PASSED THE INSPECTION OF JLL, UH, IN TERMS OF, IT HAD THE TAG THAT, THAT WE NEEDED. SO AT THE TIME, AGAIN, IT, THERE WAS JUST NO KNOWN SY SYSTEMS AND I DON'T THINK IT WAS PRACTICE AT THE TIME TO GO AND TEST EVERY SYSTEM BEFORE, UH, WE STARTED MOVING STAFF IN SINCE IT WAS AN OCCUPIED BUILDING ALREADY. DO YOU THINK BASED ON ALL THE THINGS YOU'VE LEARNED OUT OF THIS, THAT WE SHOULD TEST EVERY SYSTEM BEFORE WE PURCHASE A BUILDING? I THINK AT VARIOUS LEVELS. I DON'T KNOW THAT THE, THE LEVEL THAT WE WERE AT AS OF THIS PAST APRIL THAT WE COULD HAVE DONE THAT BEFORE WE PURCHASED THE BUILDING. I THINK, UM, WE PROBABLY COULD, COULD HAVE, COULD YOU EXPLAIN WHY? I MEAN, 'CAUSE I'M, I'M HEARING SOME WHISPERS OF WHY, LIKE, I DON'T KNOW. WELL, IF, IF I OWNED A BUILDING, I DON'T KNOW THAT I WOULD ALLOW SOMEBODY ELSE TO COME IN AND TEST ALL MY SYSTEMS BEFORE THEY PURCHASED [00:45:01] IT. THAT'S JUST KIND OF MY THOUGHT. BUT YOU'VE BOUGHT A HOUSE, RIGHT, WHERE YOU'VE DONE THAT ON OTHER PEOPLE'S HOUSES. YEAH, AND, AND MY INSPECTION DIDN'T CATCH EVERYTHING EITHER. SO I THINK THE INSPECTION LEVEL THAT WE HAD INITIALLY THAT COULD, THAT SCOPE COULD BE, UM, STRENGTHENED. SO IT COULD BE A LITTLE BIT MORE SUBSTANTIAL, BUT, BUT I DON'T KNOW THAT WE COULD TEST EVERY SYSTEM TO THE LEVEL THAT WE'RE TALKING ABOUT TODAY BEFORE WE PURCHASE EVERY BUILDING. OKAY. WELL, I WOULD DEBATE THAT BECAUSE I THINK WE MOST CERTAINLY SHOULD DO THAT. AND, YOU KNOW, EVEN KIDS GO THROUGH FIRE DRILLS AND EVACUATE THE SCHOOL SO THAT THEY CAN TEST THAT IT'S WORKING AND YOU KNOW, WE'VE DONE IT IN THIS BUILDING, I BELIEVE . UM, YES, I ABSOLUTELY THINK WE SHOULD, ESPECIALLY GIVEN THE AGE OF THE BUILDING AND UM, YOU KNOW, WE COULD ASK FIRE TO COME UP HERE, BUT MY UNDERSTANDING IS IT'S NOT UNCOMMON TO FIND THESE KINDS OF PROBLEMS, I BELIEVE. UM, I BELIEVE HE MAY HAVE EVEN SAID THAT TO ME YESTERDAY. UM, SO KNOWING THAT IT'S NOT UNCOMMON, SINCE Y'ALL ARE EXPERIENCED IN THIS, IT SEEMS LIKE IT WOULD'VE BEEN PRUDENT TO GO AHEAD AND CONDUCT THESE TESTS. BUT, OKAY, SO MOVING ON TO THE NEXT ONE. WE'RE AT FIRE, WE'RE ONTO NUMBER 12. UM, GOING BACK TO THE MONEY PART OF THIS, THE, YOU'RE SAYING 20.7 HAS BEEN ENCUMBERED OR FULLY SPENT OUT OF THE, UM, DEVELOPMENT SERVICES ENTERPRISE FUND, BUT YOU WERE SAYING ORIGINALLY THAT 36 MILLION WAS EARMARKED FOR THIS. THE ADDITIONAL DOLLARS THAT YOU'RE ASKING FOR AS WE GO THROUGH, IS THAT IN ADDITION TO THE 36 MILLION OR IS THAT IN ADDITION TO THE 20.7 MILLION? UH, THAT WOULD BE IN ADDITION TO THE 20.7 MILLION. AND AGAIN, THAT'S, THAT'S TO FINISH OUT THE ENTIRE BUILDING, NOT JUST THE DEVELOPMENT SERVICES PIECE OF IT. SO THERE'S A GENERAL FUND COMPONENT TO IT. AND SO THE 36 MILLION YOU EARMARKED, HAD YOU IDENTIFIED THOSE FUNDS TO BEGIN WITH, THE $36 MILLION WERE ENTERPRISE FUNDS, UH, EARMARKED SPECIFICALLY FOR THE BUILDING IN 20 $17. WE ACTUALLY HAD BUILT THAT FUND A LITTLE BIT HIGHER EVEN. UH, BUT THAT FUND WAS NOT JUST FOR THE BUILDING, THAT WAS FOR ALSO UPDATING THE LAND, UH, UH, THE, THE LAND USE, UM, UH, UH, ACELA, UH, REPLACEMENT PROGRAM THAT WAS ALSO TO DO THE P DOCS, THAT WAS TO DO OTHER THINGS THAT WE HAVE DONE THAT. SO IT, IT WASN'T JUST ABOUT THE BUILDING. AND WHAT IS THE CURRENT BALANCE OF THE DEVELOPMENT SERVICE ENTERPRISE FUND CHAIRMAN MENDELSON? UM, THE REPORT, THE LAST REPORT I HAVE SHOWS THAT WE HAVE A ENDING BALANCE OF ABOUT SIX AND A HALF MILLION AT THE END OF THIS FISCAL YEAR. AND THOSE ARE, THAT'S WITH ALL ENCUMBRANCES OR THAT'S JUST THE CASH BALANCE? THAT'S OUR BUDGET ACCOUNTABILITY, UM, REPORT. SO YOU GUYS CALL IT EARMARKS. SO YOU HAVE NO EARMARKS ON THAT SIX AND A HALF MILLION? THAT'S CORRECT. SO IT'S PAID OFF ALL YOUR IT STUFF, ALL OF THAT, YES. SO LIKE IF YOU TOOK THE SIX AND A HALF MILLION OUT TO PAY FOR SOMETHING, THAT WOULD WORK. THAT'S, THAT'S THE RESERVE FOR DEVELOPMENT SERVICES. BUT IF THE CITY COUNCIL DESIRES TO DO THE, UH, TO DO SO, THEN, THEN YEAH, IT'S AT YOUR PREROGATIVE. OKAY. JUST WANNA MAKE SURE I UNDERSTOOD THE MONEY BECAUSE IT SEEMS LIKE WHEN I ADD UP THE MONEY, YOU'RE COMING IN UNDER THE 36 MILLION. IS THAT TRUE? WE'RE, WE'RE DEFINITELY COMING UNDER THE $36 MILLION. AND AGAIN, THAT WAS 20 $17. IF WE WERE TO BUILD A BUILDING RIGHT NOW, IT'D BE AT A COST OF 50 TO $60 MILLION. SO $36 MILLION WAS EARMARKED FOR 2017, OR 2016 FOR THAT MATTER. SO GOING TO 20 23, 20 24 FUNDING YOU, WE WOULD'VE NEEDED, WE WOULD'VE NEEDED ABOUT 50 TO $60 MILLION IN TODAY'S DOLLARS. SO AGAIN, STICKING WITH THE MONEY, THE 36 MILLION THAT YOU ORIGINALLY EARMARKED, YOU SAID IT WAS ALL COMING FROM THE ENTERPRISE FUND, BUT THEN YOU ALLOCATED 2 MILLION FROM 2017 BOND FUNDS. CORRECT. AND YOU WANT ANOTHER 760 FROM THE BOND FUND? UH, I WILL LET JENNIFER ANSWER THAT IN SPECIFIC, BUT YEAH, THAT, THAT'S CORRECT. THERE'S GONNA BE ENTERPRISE FUNDS AS WELL AS GENERAL FUNDS, WHETHER IT'S ARPA OR ANY OTHER IDENTIFIED FUNDS IN THE 2017 BOND PROGRAM OR OTHER PROGRAMS. WELL, I MEAN, BEFORE YOU, YOU GO THERE, THE, THE [00:50:01] QUESTION THOUGH IS IF YOU HAD ALREADY YOU, IF YOU HAD ALREADY IDENTIFIED THE 36 MILLION COMING FROM THE ENTERPRISE FUND, WHY ARE WE TALKING ABOUT ARPA AND BOND DOLLARS? SO I, UM, WE'VE BEEN WORKING WITH A BUDGET OFFICE ON THAT AS WELL. AND SINCE THE BUILDING IS GOING TO BE HOUSING MORE THAN, UM, DEVELOPMENT SERVICES, THE OTHER DEPARTMENTS NEED TO, TO, UM, KIND OF PUT IN THEIR SHARE AS WELL. AND SO THAT'S WHY WE'RE UTILIZING THE OTHER, OTHER FUNDING SOURCES OUTSIDE DEVELOPMENT SERVICES ENTERPRISE FUND. OKAY. I'LL GO BACK TO ANOTHER TIME. UM, SO THAT'S THE DOLLAR PARTS. I THINK WE'RE ON PAGE 16. NOW. YOU'RE GOING THROUGH THE DOLLARS TO SAY WHAT IS NEEDED FOR THE WHO, WHAT, WHEN, WHERE KIND OF QUESTION LIKE THIS HAS BEEN FULLY SCOPED OUT AND VETTED. IS THAT TRUE AND BY WHOM? SO WHAT WE'RE SHOWING ON THIS PAGE IS 760, UM, TO GET US TO THE POINT WHERE WE CAN HAVE A TCO, UH, THAT THE FUND, THOSE FUNDS HAVE BEEN IDENTIFIED IN THE 2017 BOND FUNDS AND THEY ARE BEING, UM, USED IN PROJECTS NOW. THEY JUST HAVEN'T BEEN, UH, EXPENDED. THEY'VE BEEN ENCUMBERED, BUT IT'S NOT EXPENDED. SO THE REMAINING 5 MILLION FROM ARPA FUNDS, THAT WAS ACTUALLY WHAT WE WERE GONNA BE, UM, WE HAD REQUESTED IN THE 2024 BOND PROGRAM THAT HAD GOTTEN CUT. SO WE WERE LOOKING FOR THOSE FUNDS IN THE, UM, ARPA REPROGRAMMING, AND THOSE WERE GONNA BE PRIMARILY UTILIZED FOR THE FLOORS THAT DEVELOPMENT SERVICES WON'T BE USING, UM, BECAUSE THEY WOULDN'T BE CONTRIBUTING TO THOSE FLOORS, BUT THEIR ENTERPRISE FUNDS SINCE OTHER DEPARTMENTS WOULD BE IN THERE. AND THE, AND THE $2 MILLION IS THE, THE REMAINING THAT NEEDS TO BE IDENTIFIED. AND WE HAVE DONE KIND OF A DEEP DIVE IN THE PAST TWO WEEKS TO, TO SEE WHAT IT'S GONNA TAKE TO FINISH OUT THE BUILDING. AND, AND THIS IS WHAT WE'RE COMING UP WITH. OKAY. AND SO MY LAST QUESTION ON THE, JUST THE WHO, WHAT ONE WHERE IS, IS THIS, WHEN WE WERE BRIEFED IN EXECUTIVE SESSION, I CLEARLY CAN'T TALK ABOUT THAT WHEN WE VOTED ON THIS. DO YOU THINK THERE HAS EVER BEEN A DISCUSSION THAT YOU WOULD NEED CAPITAL DOLLARS FOR OTHER DEPARTMENTS THAT WERE NOT PART OF DEVELOPMENT SERVICES? MEANING I UNDERSTOOD THE NEED FOR A ONE STOP SHOP, WE'RE GONNA USE THE DEVELOPMENT SERVICE ENTERPRISE ACCOUNT TO FUND IT TO GET THIS BUILDING, BLAH, BLAH. BUT I NEVER HEARD THAT WE'RE GONNA FUND FOR THE FIRE DEPARTMENT TO NOW BE THERE THAT WE'RE GONNA FUND FOR ANY OTHER DEPARTMENT THAT IS GENERAL FUND, WHERE THAT'S ADDITIONAL DOLLARS THAT WOULD HAVE TO COME FROM SOMEWHERE. I MEAN, YOU'RE, YOU SEEM TO BE PULLING FROM ARPA AND BOND, BUT I'M NOT FAMILIAR WITH THAT CONVERSATION AT ALL. 'CAUSE I, I THINK THAT MIGHT'VE RAISED AN EYEBROW FOR ME. SO I THINK MIXING OF THE FUNDING SOURCES REALLY CAME FROM, FROM BUDGETARY RULES AND THAT DEVELOPMENT SERVICES, THEIR ENTERPRISE FUND NEEDS TO BE UTILIZED FOR DEVELOPMENT SERVICES. AND SO THAT'S AT THE, WHEN I CAME ON BOARD JUST ABOUT, YOU KNOW, A YEAR AGO, THAT'S WHEN THOSE DISCUSSIONS STARTED HAPPENING. SO AT THE TIME, I THINK WHEN THE BUILDING WAS, WAS INITIALLY PURCHASED, I THINK THE THOUGHT WAS EVERYTHING WOULD BE OUT OF DEVELOPMENT SERVICES IN WHICH I'M, PLEASE CORRECT ME. UM, BUT THEN WORKING THROUGH THE, THE BUDGETARY PROCESS, IT WAS MY UNDERSTANDING THAT DEVELOPMENT SERVICES ENTERPRISE FUND COULD NOT BE USED TO SUPPORT GENERAL SERVICE OR, UH, YEAH, THE, THE GENERAL FUND DEPARTMENTS. BUT SO WHEN WAS COUNCIL NOTIFIED AND WHEN DID WE AGREE THAT WE WOULD WANNA SPEND MONEY IN THIS MANNER, WHICH WE MAY HAVE, WE MAY HAVE DECIDED, YES, YOU SHOULD PROCEED AND AGAIN, YOU ARE COMING UNDER BUDGET AND I DO WANNA, YOU KNOW, COMMEND THAT I'VE TOURED THE BUILDING. IT'S A NICE BUILDING. IT'S ACTUALLY MUCH NICER THAN I THOUGHT IT WOULD BE, TO TELL YOU THE TRUTH. BUT I THINK WE HAVE NOT HAD THE GOVERNANCE AND POLICY, UM, INPUT THAT WE SHOULD HAVE AND BUDGETARY INPUT THAT WE SHOULD HAVE. YOU KNOW, IF YOU CAME TO ME AND SAID, WELL, WATER NEEDS TO GO THERE. OKAY, WELL, WATER IS ALSO AN ENTERPRISE. IF YOU NEED SANITATION THERE, OKAY, IT'S AN ENTERPRISE. BUT WHEN YOU START TALKING ABOUT US HAVING TO COMMIT GENERAL FUND DOLLARS, IT'S ALL DIFFERENT BALLGAME. AND I DON'T RECALL THAT CONVERSATION. PERHAPS I MISSED A DISCUSSION. SO YOU'RE CORRECT. THE BOND OFFICE DID NOT BRIEF ANY COMMITTEE WHEN THOSE, WHEN THAT HAD HAPPENED. I MEAN, DID ANYBODY, I MEAN, I DON'T GO TO THE ECO MEETINGS. MAYBE THAT HAPPENED THERE. NO. OKAY. OKAY. SO WITH THAT, UM, SORRY THAT TOOK A LITTLE LONGER THAN I THOUGHT I WAS GOING TO. UM, I WOULD LIKE TO ASK THE COMMITTEE MEMBERS IF THEY'D LIKE TO GO FIRST. KATHY, YOU HAPPEN TO BE SITTING ON THE END. UM, SO WHAT WE'VE SAID IS IF EVERYONE COULD [00:55:01] HAVE FIVE MINUTES, I'M GONNA CALL ON COMMITTEE MEMBERS FIRST, THEN NON COMMITTEE MEMBERS. AND WE'RE JUST GOING TO GO UNTIL EVERYBODY'S QUESTIONS WERE EXPENDED AND EVERYONE WILL BE TREATED THE SAME. SO THANK YOU FOR THE OPPORTUNITY TO GO FIRST, BUT I'D LIKE TO PASS. OKAY. THIS HOT POTATO TO THE NEXT PERSON. OKAY, WELL THAT WOULD BE COUNCIL MEMBER SCHULTZ. THANK YOU VERY MUCH, MADAM CHAIR. UM, I HAVE A FEW QUESTIONS. ONE IS, AND, AND I'M PLAYING CATCH UP ON THIS SO YOU'LL FORGIVE ME. UM, EXPLAIN THE ISSUE WITH THE ELEVATORS. IT SEEMS LIKE IT WAS KNOWN FROM THE BEGINNING THAT THE ELEVATORS WERE NOT WORKING PROPERLY OR ALL OF THEM WEREN'T. AND COULD YOU EXPLAIN LIKE ALSO BACK TO THE WHO, HOW THAT WORKS? SO, SO YOU'RE CORRECT. WHEN THE, WHEN WE PURCHASED THE BUILDING, THERE WERE TWO ELEVATORS THAT, THAT WERE NON-FUNCTIONING AND, AND TWO AND A HALF, THERE'S AN ELEVATOR THAT GOES FROM FLOORS 10 TO 11, I BELIEVE, UM, THAT WE'RE FUNCTIONING. AND I, I THINK THE INTENT THE ENTIRE TIME WAS PART OF THESE FUNDS WOULD BE UTILIZED TO FIX THE TWO ELEVATORS THAT ARE NON-FUNCTIONING, GET THOSE UP AND RUNNING. AND THEN PHASE TWO WOULD BE TO FIX THE ELEVATORS THAT, UM, THAT ARE CURRENTLY RUNNING, BUT NOT AS, YOU KNOW, AT THE, THE LEVEL THAT WE WANT THEM TO. SO, AND THAT, THAT WAS PART OF THE ASSESSMENT BY JLL, LIKE YOU KNEW THAT? YES, MA'AM. AND SO THAT WAS IN THE, WHAT IS IT, 9.7 OR WHATEVER IT WAS THAT WAS ESTIMATED THAT WAS GONNA BE NEEDED IN THE REPAIRS THAT YOU KNEW IMMEDIATELY ON TOP OF THE 14.2 TRYING TO TRACK THE MONEY AT THE SAME TIME THAT I'M TRYING TO TRACK THE, THE PROJECT, CORRECT. YES. IT WAS IDENTIFIED IN THE JLL REPORT. AND THEN WHEN, UM, THE, UH, BOND AND CONSTRUCTION MANAGEMENT BUILDING SERVICES WENT OUT THERE, INITIALLY IT WAS ALSO IDENTIFIED AS PART OF THAT 9.7 THAT YOU WERE TALKING ABOUT. UM, THE 9.7 WAS ALSO I THINK IN, IN LONG TERM KIND OF CIP NOT IMMEDIATE NEEDS, UH, WITH THE EXCEPTION OF THE ELEVATORS, BUT, BUT IT WAS KNOWN AT THAT TIME. SO I THINK WHAT WOULD PROBABLY BE HELPFUL FOR THIS INVESTIGATION WOULD BE TO HAVE WHAT YOU KNEW FROM THE BEGINNING WOULD BE IMMEDIATE EXPENDITURES ON TOP OF THE PURCHASE PRICE THAT YOU KNEW. AND THEN THE STEP IS, YOU KNOW, AS ONE WHO'S DONE A MILLION REMODELS, I KNOW WHAT HAPPENS WHEN YOU GET BEHIND THE WALLS, RIGHT? YOU GET ALL KINDS OF SURPRISES. SO THAT, THAT'S NOT WHAT I'M ASKING FOR AT THIS POINT. I WANT THE ONES THAT YOU KNEW FROM THE GET GO. UM, OKAY. THE NEXT QUESTION THAT I HAD IS, COULD YOU, UM, HOW HAD SOMEONE NOT KNOW ABOUT THE ASBESTOS? HOW COULD YOU NOT HAVE KNOWN ABOUT THAT? WE, WE KNEW ABOUT THE ASBESTOS AND, AND THOSE FLOORS WERE VACANT AND WE, UH, REMEDIED THOSE I BELIEVE IN, UH, IMMEDIATELY AS WE IDENTIFIED IT. WE, WE, UM, WE REMEDIED THOSE SO THAT THAT WAS DONE QUICKLY. REMEDIATION TOOK, TOOK PLACE OCTOBER 29TH, 2020 3, 20 22. I'M SORRY. SO CAN YOU ADD THAT IN THE COST OF THAT? SO I'M JU SO I CAN JUST TRACK. SO NOW WE'VE GOT THE ELEVATOR REPAIR, THE ASBESTOS REMEDIATION, AND ALSO MADAM CHAIR IS, I, I'M NOT AS USED TO THIS BRIEFING ROOM. WHERE IS MY TIME BEING COUNTED? SO I, OH, OKAY. UM, YOU HAVE TWO MINUTES LEFT. I ALREADY, I SPOKE FOR THREE MINUTES. SO THIS IS JUST A TOTAL FIVE MINUTES, NOT JUST YOUR TIME, IT'S EVERYBODY'S TIME, BUT YOU'LL HAVE UNLIMITED ROUNDS. OKAY. UM, WHAT IS THE STATUS WITH THE REMAINING TENANT? LIKE ARE THEY LEFT? I KNOW THERE'S ONE LEFT TILL 2026. SO DO, ARE THEY, ARE THEY GOOD ABOUT THIS WHOLE BUILDING AND THEY'RE HAPPY COUNCILWOMAN? SO WE HAVE ONE TENANT YES, ON THE SEVENTH FLOOR, TRICAN WITH, THEY ARE A CONSTRUCTION COMPANY. UM, THEY ARE VERY, UM, FRIENDLY TO WORK WITH. UM, THEY ARE HAPPY IN THE BUILDING. UM, AND WE WORK WITH THEM AS COMPLAINTS COME IN. UM, I GOT IT. I'M, I'M SORRY, MY TIME. I, I REALLY WANNA GET TO A COUPLE MORE QUESTIONS BEFORE I DO, SO I GOT IT. THEY'RE GOOD. SO THEN WHAT, SO OTHER THAN ROAMING EMPLOYEES, IS THAT THE REASON FOR THE MUCK MOVE? THE MOVE BACK? THAT'S THE REASON WAS ROAMING EMPLOYEES, THAT, THAT'S THE ONLY REASON. OKAY. LAST QUESTION IF I MAY. MADAM CHAIR, HOW DID YOU GET THE TTCO WITH ISSUES AROUND FIRE? HOW, HOW COULD FIRE SAFETY BECOME, BECOME NON-COMPLIANT WHEN I'M ASSUMING IT WAS ALL COMPLIANT WHEN YOU GOT YOUR TCO? SO COUNCIL MEMBER, THANK YOU FOR THE QUESTION. AS YOU MENTIONED, YOU KNOW, WHEN YOU REMODEL SOMETHING AS THE PROJECT CONTINUES, SOMETIMES THINGS BECOME NON-COMPLIANT. UH, AND SO WHEN WE DID OUR APPLICATION FOR TCO, UH, WE WERE COMPLIANT AND THAT'S WHY WE MOVED IN. BUT AS MORE WORK HAPPENED ON OTHER FLOORS, THEN THAT'S WHEN THOSE OTHER ISSUES WERE [01:00:01] DISCOVERED. BUT FIVE STAYED GOOD TO GO THE WHOLE TIME. AND COMPLIANT, YES, AS, AS MENTIONED IN THE PRESENTATION, UM, AS A TEAM, WE INITIATED A FIRE WATCH AND COORDINATION WITH THE FIRE DEPARTMENT AND IT WAS SAFE. AND NOW MORE CONFUSED, BUT I'LL MOVE ON. MAYBE SOMEBODY ELSE ASK IT ANOTHER WAY. THANK YOU. OH, THERE YOU GO. UM, COUNCILOR GRACIE, NOT EXACTLY SURE WHERE TO START HERE. I JUST, I'LL START WITH THE FIRST THING THAT CAUGHT MY ATTENTION, AND THAT WAS ON APRIL 12TH WHEN YOU HAD THE MULTI-DEPARTMENTAL WALKTHROUGH, UH, WHICH MAKES SENSE. UM, TRYING TO FIGURE OUT HOW TO PHRASE THIS IN A QUESTION. WILL THAT BE, IF WE MOVE FORWARD ON PURCHASING OTHER BUILDINGS AND THINGS LIKE THAT, WILL THAT BE A REGULAR PRACTICE? BECAUSE I, I, I'LL HAVE TO SAY THIS, IT'S, IT'S A BIT EMBARRASSING. UM, NOT A BIT, A LOT EMBARRASSING THAT THIS IS WHAT YOU ALL DO FOR OTHER COMPANIES AND CONSTRUCTION COMPANIES AND THINGS LIKE THAT. AND THEN WE RUN INTO THESE ISSUES HERE. SO I GUESS THE QUESTION WOULD BE, IS THAT GOING TO BE AN A STANDARD PRACTICE, UM, THAT YOU ALL, UH, USE GOING FORWARD? OR IS THAT KIND OF THE, A GOOD LESSON LEARNED SITUATION? SO I THINK WHAT WE'RE GONNA DO IS WORK WITH A THIRD PARTY TO IDENTIFY, YOU KNOW, THINGS THAT, THAT DIDN'T GO WELL. THINGS, UM, HOPEFULLY A FEW THINGS WENT WELL, BUT, AND THEN FIGURE OUT WHAT THE CHECKLIST NEEDS TO BE FOR ANY TIME WE DO PURCHASE A NEW BUILDING. BECAUSE YOU'RE RIGHT, WE DON'T WANNA BE IN THE SITUATION AGAIN. AND IF THAT'S WHAT IT TAKES THEN, THEN WE CERTAINLY COMMIT TO THAT. UM, BUT I, I WOULD LIKE TO WORK WITH A THIRD PARTY AND SEE IF THERE'S ANYTHING ELSE WE NEED TO DO AND, AND DEVELOP A, YOU KNOW, A PER PRE-PURCHASE PLAN. AND THEN I'M SURE WE BRIEF COUNSEL ON THAT. ALL RIGHT. AND I THINK SOME OF MY QUESTIONS HAVE ALREADY BEEN, BEEN, BEEN, UH, ANSWERED THROUGH THAT. AND THANK YOU MADAM CHAIR FOR GOING THROUGH THAT. I APPRECIATE THAT. THE, THE OTHER QUESTION I THINK I WAS JUST FOR, FOR SAKE OF CLARITY, AND THIS MAY BE AN EDUCATIONAL ON MY PART, BUT FROM A FIRE PERSPECTIVE, EVERYTHING WAS OKAY WHEN YOU MOVED IN AND THEN I GUESS THROUGH THE PROCESS OF CONSTRUCTION, THINGS WERE NO LONGER OKAY. OR IS IT THAT THE BUILDING, WERE THEY HAVING REGULAR INSPECTIONS? AND EVEN THOUGH, BECAUSE AGAIN, WHEN I HEAR IT IN MY VERY SIMPLE UNDERSTANDING, TO ME, IF FIRE SUPPRESS, IF THE FIRE SYSTEMS AREN'T WORKING ON THE 11TH FLOOR AND Y'ALL ARE ON THE FIFTH FLOOR AND THE FIRE STARTS ON THE NINTH FLOOR, THAT'S A PROBLEM. IS THAT, WHAT I'M UNDERSTANDING IS THE KIND OF THE CONDITIONS, LET ME, LET ME EXPLAIN THAT. UH, COUNCIL MEMBER, IF YOU DON'T MIND. WHEN, WHEN WE APPLY FOR A TCO, WE USUALLY DO THE APPLICATION. WE GO, UH, LOOK AT THE SYSTEMS, AND THEN A-A-T-C-O IS ISSUED AND AN INSPECTOR SAYS, YEAH, EVERYTHING IS FINE. THE FIRE DEPARTMENT, WHEN THEY WENT ON, AND IF YOU GO BACK TO FEBRUARY, WHEN THEY WENT ON, THEY WENT ON BASED ON A COMPLAINT THAT WAS MADE. AND THAT'S WHEN THEY FOUND THE 35 NON-COMPLIANT UH, MATTERS. THEN THEY CAME BACK FOR A FOLLOW UP INSPECTION IN APRIL, AND THAT'S WHEN STAFF WAS ALREADY WORKING ON ALL OF THE 35, UH, NON-COMPLIANT ISSUES AND FIXED 17 OF 'EM AND STILL WERE WORKING ON 18 OF THEM. THEN THEY FOUND WHEN THE FIRE DEPARTMENT WENT OUT FOR RE-INSPECTION ON THE SYSTEM, THEN THEY FOUND THAT SYSTEM IS NOT COMMUNICATING. THE MINUTE THE FIRE DEPARTMENT TOLD US THE SYSTEM IS NOT COMMUNICATING, THAT'S AN ISSUE, WE IMMEDIATELY INITIATED A FIRE WATCH, WHICH IS THE REDUNDANCY TO MAKING SURE A FIRE SYSTEM IS WORKING. SO THE FIRE DEPARTMENT WAS NOT PART OF THE INSPECTION FOR THE TCO. SO I WANNA MAKE SURE TO, TO SAY THAT I, I, I DON'T WANNA INTERMINGLE THINGS TO MAKE TO, TO SAY THAT FIRE WAS THERE AND THEY APPROVED EVERYTHING. NO, THE FIRE DEPARTMENT WAS NOT PART OF THAT. THE FIRE DEPARTMENT WENT OUT IN FEBRUARY AND, UH, BASED ON THE COMPLAINT, THEY ISSUED THE NON-COMPLIANT REPORT. STAFF STARTED WORKING ON IT IN APRIL. THEY CAME BACK AND SAW THAT THE SYSTEM WAS NOT WORKING AND FIRE WATCH OFFICIALLY WAS INITIATED, EVEN THOUGH THERE IS ON A DAILY BASIS FROM 8:00 AM TO 6:00 PM STAFF FROM THE BOND OFFICE IS THERE. OKAY. SO I HOPE I EXPLAINED THAT A LITTLE BIT MORE. DID, AND I'LL JUST ASK JUST A, A VERY, UM, STRAIGHTFORWARD QUESTION. [01:05:01] OH, THANK YOU. OH, THANK YOU. WHAT WOULD YOU DO DIFFERENTLY? STARTING FROM THE VERY BEGINNING? YOU'RE, YOU'RE ASKING ME MY OPINION, ONE OF Y'ALL THAT WANNA STEP IN PROJECT, PROJECT, I WOULD, WOULD ACTUALLY LIKE TO SAY, EACH ONE OF YOU SHOULD ANSWER THAT QUESTION, IF YOU DON'T MIND. AFTER PURCHASING THE BUILDING, UH, THERE WERE SO MANY, UH, ELEMENTS, MOVING ELEMENTS IN THERE. UH, IN MY HUMBLE VIEW, UH, I THINK COMMUNICATION IS, IS REALLY KEY AMONG ALL OF THE DEPARTMENTS THAT ARE WORKING IN THE BUILDING. AND I THINK A PROJECT MANAGER SHOULD HAVE BEEN IMPLEMENTED FOR THIS UNDERSTANDING THE DIFFERENT INTRICACIES OF THE DIFFERENT THINGS THAT COULD HAVE ELEVATED A LOT OF ISSUES WHERE HE OR SHE CAN TAKE CARE OF BUSINESS. UM, THAT COULD HAVE BEEN DONE IN, IN ONE, IN A SHORTER TIME. IT WOULD'VE COST US A LITTLE BIT MORE FOR THE PROJECT MANAGER FEE, BUT NO DIFFERENT THAN ANY OTHER LARGE PROJECT THAT THEY COULD HAVE IMPLEMENTED. THAT'S MY HONEST OPINION COUNCIL MEMBER. MY PERSPECTIVE ON THIS, I THINK THIS IS A GREAT OPPORTUNITY FOR US TO IMPROVE OUR, OUR PROCESSES. UM, AND, AND SO I BELIEVE THAT A, AN INSPECTION LIKE THE ONE THAT HAPPENED APRIL 12TH SHOULD BE PART OF A CHECKLIST WHEN WE PURCHASE BUILDINGS. SO I THINK THAT'S, UH, THAT'S CRITICAL, UH, MOVING FORWARD. SO THAT'S MY PERSPECTIVE ON, ON THE ISSUE. I, I WOULD CERTAINLY AGREE WITH EVERY, EVERYTHING THAT'S BEEN SAID. I, I THINK IF IN THE BEGINNING WE HAD TAKEN A, A BIT OF A PAUSE AND JUST, UM, REALLY IDENTIFIED THE OVERALL SCOPE OF THE, THE, THE, OF WHAT WE WERE GONNA BE TAKING ON AND DEVELOPED A, A SCHEDULE TO ACCOMMODATE THAT, I THINK, UM, THAT WOULD'VE BEEN WELL SERVED. COUNCILMAN, I HAVE TO AGREE. UH, THE, THE MULTI-DEPARTMENTAL TEAM, UH, THE APRIL 12TH, I THINK I WOULD'VE SAVED US A LOT OF, UH, HEADACHES, UM, THROUGH, THROUGH THIS PROCESS. THAT, THAT'S DEFINITELY PROBABLY THE BEST LESSON LEARNED IN THIS FOR ME. SO SPECIFICALLY, WHAT DEPARTMENTS SHOULD HAVE BEEN PUT TOGETHER AT THE BEGINNING THAT WERE NOT, UH, ALL THE ONES THAT ARE LISTED IN THE, IN HERE, MA'AM. UH, SO FIRE, UH, THE BOND OFFICE BUILDING, BUILDING SERVICES, DEVELOPMENT SERVICES, EVERYBODY WHO'S HERE, MA'AM. BUT IT SEEMS LIKE ALL THROUGH THIS, ALL OF THE DEPARTMENTS WERE INVOLVED. I, I DON'T KNOW IF THERE WAS AT ANY ONE POINT A FLOOR BY FLOOR, UH, REVIEW BY ALL THE DEPARTMENTS THAT ARE LISTED HERE. SO THAT, THAT'S, THAT'S WHY I'M SAYING I THINK THAT HAD THIS OCCURRED THAT THAT WOULD'VE CAUGHT A LOT OF DIFFERENT THINGS. THANK YOU FOR THE QUESTION. UM, I, I THINK WHAT I LEARNED THE MOST FROM, FROM THIS ENTIRE PROCESS IS I, I WOULD PREFER TO HIRE SOMEONE TO DO THE INSPECTIONS INDEPENDENTLY SO THAT THERE COULD BE A FULL ACCOUNTABILITY REPORT. SO I SAID, NOW YOU HAVE THE FOX GARDEN, THE HENHOUSE, LIKE THEY SAY, AND SO OUTSOURCE THAT. UM, GET UPDATES FROM A THIRD PARTY INSPECTION GROUP TO MAKE SURE EVERYTHING WAS DONE CORRECTLY, AND THEN ALLOW DEVELOPMENT SERVICES TO DO WHAT WE'RE SUPPOSED TO DO, WHICH IS ISSUE PERMITS, UH, NOT PROJECT MANAGE. GREAT. GREAT QUESTION. UM, OKAY. WELL, WE'VE HIT OUR COMMITTEE MEMBERS, SO I'M JUST GONNA START FROM MY LEFT TO RIGHT. SO, UM, MR. RIDLEY, IF YOU'D LIKE TO GO FIRST, HERE WE GO. UH, THANK YOU MADAM CHAIR. SO I'D LIKE TO GO BACK TO THE, UM, ASBESTOS ISSUE. UM, ANYONE WHO IS INVOLVED IN BUILDING CONSTRUCTION OR MANAGEMENT OR RENOVATION KNOWS THAT ABATEMENT OF ASBESTOS AND OLDER BUILDINGS CAN BE A VERY EXPENSIVE PROPOSITION, AND THIS IS AN OLDER BUILDING AND LIKELY WOULD CONTAIN ASBESTOS. AND SO I, I'M JUST WONDERING WHY NONE OF JLL ADVISORS, UH, DSD OR THE BOND OFFICE IN THEIR EVALUATIONS OF THIS BUILDING, PAID ANY ATTENTION TO THE POSSIBILITY OF ASBESTOS IN THIS BUILDING BEFORE THE PURCHASE DECISION WAS MADE? SO, UH, THE JLL, IF, IF I MAY ANSWER THE QUESTION. UM, THE JLL STUDY REFERRED TO SECTION A STM UH, UH, 8 20 18, AND THAT WAS FOLLOWED FOR PROPERTY CONDITION. AND IN THE ASSESSMENT IT SETS A STANDARD OF WHAT'S CALLED CLEARLY AT RISK AND WHAT'S NOT. AND THIS WAS NOT, UH, UM, UH, SIGNIFIED AS A MITIGATED RISK. WHAT DOES THAT MEAN? IT WAS NOT SIGNIFIED AS A MITIGATED RISK. IT, IT MEANS THAT IT WAS, IT WAS MINOR IN NATURE THAT IT DID NOT AFFECT THE CONDITION OF THE FLOOR OR THE BUILDING. OH, SO THEY DID FIND THE ASBESTOS [01:10:01] FOUND, WHY WASN'T THAT INCLUDED IN THEIR ORIGINAL ESTIMATE OF $1.2 MILLION FOR IMMEDIATE REPAIRS, BECAUSE IT WAS SIGNIFIED AS MINOR, NOT AS MAJOR ITEM. OKAY. SO YOU KNEW THAT THERE WAS ASBESTOS IN THE BUILDING WHEN WE BOUGHT IT? UH, THE REPORTS INDICATED THAT, CORRECT. OKAY. WAS THERE ANY EFFORT TO EXPLORE THE EXTENT OR THE SCOPE OF THAT CONTAMINATION IN THE COST OF REMEDIATION? WE, WE ACTUALLY DID, AND WE REMEDIATED THAT BECAUSE THE FLOORS WERE VACANT AND THAT'S WHEN WE TOOK CARE OF BUSINESS. THAT WAS AFTER THE PURCHASE THOUGH? THAT, THAT'S CORRECT. OKAY. SO JUST TO ADD TO THAT, THERE, THERE WAS A PHASE ONE ENVIRONMENTAL REPORT MM-HMM. THAT WAS DONE, UM, IN AUGUST OF 22. AND THAT'S WHERE THE, UH, ASBESTOS WAS IDENTIFIED AS WELL. AND IF I REMEMBER CORRECTLY, IT WAS, UM, WITH THEY FINDING IT WITH THE, UH, BEHIND THE, UH, WHAT WAS HOLDING THE MIRRORS TO, TO THE WALL. RIGHT. SO IN THE FLOORS WHERE IT COULD BE, UM, MITIGATED, IT WAS FLOORS ONE AND EIGHT, BUT TO DO THAT ON FLOORS THAT WERE OCCUPIED WAS, UM, WAS NOT WARRANTED AT THE TIME. SO, BUT WE, WE DID MITIGATE THAT BEFORE WE TOOK IN OCTOBER 22. OKAY. I'D LIKE TO MOVE ON TO THE ISSUANCE OF THE TCO, UM, IN PRIVATE CONSTRUCTION. WHAT YEAR ARE THE CRITERIA FOR ISSUING A TEMPORARY CERTIFICATE OF OCCUPANCY COUNCIL MEMBER RIDLEY? IN, IN ORDER FOR US TO ISSUE A, A TEMPORARY CERTIFICATE OF OCCUPANCY, THERE HAS TO BE MINIMUM INSPECTION APPROVALS FOR SPECIFIC TRADES LIKE MECHANICAL, ELECTRICAL, PLUMBING, BUILDING, AND FIRE. AND THOSE WOULD TYPICALLY INCLUDE FIRE ALARM AND SUPPRESSION SYSTEMS, WOULD THEY NOT FOR NEW CONSTRUCTION, YES. WELL, WHAT ABOUT RENOVATION? IT DEPENDS ON THE SCOPE OF WORK. COUNCIL MEMBER RIDLEY. IF THEY'RE NOT, UH, TOUCHING THOSE SYSTEMS OR MODIFYING THOSE SYSTEMS, THEN NO, THAT WOULD NOT BE APPLICABLE. WELL, YOU INDICATED PREVIOUSLY THAT THE FIRE ALARM SYSTEM WAS FULLY COMPLIANT AT THE TIME THAT THE TCO WAS ISSUED. HOW DID YOU KNOW THAT IF IT WAS NOT TESTED COUNCIL MEMBER? UM, AGAIN, WHEN WE OCCUPIED, UM, DEVELOPMENT SERVICES HAD BEEN CLEARED TO ENTER THAT FLOOR. AND SO WHEN WE DID OUR TCO INSPECTIONS, WE DID A GENERAL WALKTHROUGH OF ALL THE TRADES I JUST MENTIONED, ALONG WITH A BASIC FIRE INSPECTION. OKAY. AND THAT WOULD'VE INCLUDED TESTING THE SYSTEM OR NO, NO, IT WOULD NOT INCLUDED TESTING THE SYSTEM. WHEN WE DO A, A FIRE INSPECTION, IT'S REALLY, UH, A WALKTHROUGH. ARE THERE EXIT SIGNS? CAN PEOPLE GET IN, CAN THEY GET OUT? UH, IS EGRESS, OBSTRUCTED, THINGS OF THAT NATURE. WE WOULD NEVER GO IN AND, AND PERFORM A COMPREHENSIVE ASSESSMENT OF THE ALARM SYSTEM AND SPRINKLER SYSTEM OF A MULTI-STORY FLOOR. WE JUST DON'T HAVE THE, THE RESOURCES OR, OR WE WOULDN'T REQUIRE THAT FROM A CUSTOMER AND THEY WOULD'VE THEN CHECKED TO SEE IF THE FIRE EXTINGUISHERS WERE ACTIVE AND CHARGED. NO DEVELOPMENT SERVICES DOES NOT, UH, INSPECT FIRE EXTINGUISHERS IF, IF I'M NOT MISTAKEN, THAT THAT'S SOMETHING THE FIRE DEPARTMENT DOES. AND IF I'M NOT MISTAKEN, IN THIS PARTICULAR BUILDING, THEY DO ANNUAL INSPECTIONS. AND SO WE, WE RELY ON THOSE REPORTS. AND COUNCILMAN, LET ME, LET ME BE CLEAR. WE, WE DIDN'T DO FOR 7,800 ANYTHING DIFFERENT THAN WHAT WE DO FOR PRIVATE, UH, INDUSTRY IN THE SAME FASHION, MEANING THAT YOU'RE MOVING TO AN EXISTING BUILDING AND THEY REQUIRE A TCO WHILE THEY'RE DOING SOME OTHER WORK. WE DID EXACTLY THE SAME THING AS WE WOULD DO TO A PRIVATE ENTITY ASKING FOR A TCO. WELL, SO IT'S NOT SOMETHING THAT WE CUT CORNERS BECAUSE OF IF, IF THAT'S, IF, IF THAT'S THE, THE, YOU KNOW, THE, THE MATTER. WE DID NOT CUT CORNERS TO JUST OCCUPY THE BUILDING. WELL, FRANKLY, SINCE THE CITY EMPLOYEES WERE GOING TO OCCUPY THIS BUILDING, I THINK IT WAS INCUMBENT UPON US TO DO THINGS LIKE FIRE ALARM TESTS, TEST THE SUPPRESSION SYSTEM TO ENSURE THE, THE LIFE SAFETY OF THIS BUILDING FOR OUR OWN EMPLOYEES, EVEN IF IT ISN'T REQUIRED. BECAUSE IN PRIVATE INDUSTRY, THE CITY IS JUST A DOUBLE CHECK BEFORE THEY ISSUE A CERTIFICATE OF OCCUPANCY TO DO THESE KINDS OF INSPECTIONS. ULTIMATELY, THE RESPONSIBILITY FOR ENSURING THE LIFE SAFETY OF THE OCCUPANTS OF THAT BUILDING IS ON THE BUILDING OWNER. IS IT NOT? YES. COUNCIL MEMBER. AND HERE THE CITY WAS THE OWNER. SO IT SEEMS TO ME THAT WE JUST CHECKED THE BOXES [01:15:01] AND THAT WE DIDN'T DO WHAT WAS NECESSARY TO ENSURE THE LIFE SAFETY OF OUR OWN EMPLOYEES. COUNCIL MEMBER, RIDLEY, I'M, I'M MORE THAN HAPPY TO TALK TO YOU OR ANY OF OUR COUNCIL MEMBERS TO TALK ABOUT OUR PROCESSES, AND IF THERE'S AN OPPORTUNITY FOR US TO CHANGE THEM, THEN WE DEFINITELY CAN EXPLORE THAT. SO FINALLY, THE, SO I'M SORRY, UM, YOUR TIME IS UP, BUT WE'LL COME BACK TO YOU. UM, SO NEXT UP I BELIEVE IS COUNCIL MEMBER MORENO. THANK YOU MADAM CHAIR. AND THANK YOU FOR ALLOWING US TO TAKE PART AS NON COMMITTEE MEMBERS. UM, I SENT SOME, UH, QUESTIONS BY MEMOS. I APPRECIATE, UH, THE RESPONSE TO THOSE. AND I JUST WANNA THANK OUR STAFF FOR, FOR BEING HERE TODAY. AND I KNOW YOU GUYS ARE OUT HERE ON, ON A HOT SEAT. UH, BUT KNOWING AND UNDERSTANDING THAT WE'RE DOING OUR DUE DILIGENCE AND, UH, ENSURING THAT WE'RE BEING, UH, RESPONSIBLE IN REALLY TRYING TO SIMPLIFY THIS AS SOMEONE PURCHASING A HOME WITH THEIR OWN AND MAKING SURE THAT WE'RE ALL THE DUE DILIGENCE IS GOING ON. UH, IT MIGHT BE HELPFUL TO HAVE SOMEONE FROM JLL, UM, HERE, UH, AT A UPCOMING MEETING. UH, BUT IT IS MY UNDERSTANDING THOUGH THAT THE MANAGING DIRECTOR IS NO LONGER WITH JLL. SO I'M NOT SURE WHO WOULD COME IN, UH, IN THEIR PLACE. THE EVALUATION OR THE, UH, INSPECTION THAT TOOK PLACE HAPPENED ON JULY AND JULY. AND SO WAS THAT, WAS THE SALE OR THE PURCHASE OF THE BUILDING, UM, IF WE HAD FOUND SOMETHING IN THAT REPORT, WOULD WE HAVE BEEN ABLE TO, UH, NOT MOVE FORWARD WITH THE PURCHASE? UH, ABSOLUTELY. OKAY. GOING BACK TO THE ELEVATORS, 'CAUSE THAT'S SOMETHING THAT KEEPS COMING UP IN YOU, THAT, THAT THERE WAS ISSUES WITH THE ELEVATORS. HOW WAS THERE A, A CERTIFICATE OF OCCUPANCY WITH THE PREVIOUS OWNER AND THE ELEVATORS HAVING ISSUES? UH, OUT OF THE FIVE ELEVATORS, THREE WERE WORKING. SO THERE WAS ACCESSIBILITY, UH, TO FLOORS. OKAY. WAS THERE ANY CONCERNS BROUGHT FORWARD BY, UH, CITY STAFF ON THE CONDITION OF THE BUILDING WHILE, WHILE THEY WERE OCCUPYING THE, UM, THE OFFICES THERE, UH, COUNCIL MEMBERS? SOME OF THE CONCERNS, UH, THAT WERE EXPRESSED IS THERE WAS NO MIRRORS IN SOME OF THE LADIES' ROOM. THE RESTROOMS NEEDED TO BE PAINTED, UH, MOSTLY COSMETIC ISSUES. UM, I, I THINK THERE WAS SOME LINES AT THE ELEVATORS IN THE MORNINGS BECAUSE ONLY TWO WERE FUNCTIONAL, BUT THOSE WERE SOME OF THE CONCERNS I HEARD. OBVIOUSLY THE OAK CLIFF MUSICAL BUILDING, UM, NEEDS SOME WORK AND THAT'S WHY WE LOOKED FOR A NEW BUILDING. HOW MANY SQUARE FEET DID WE NEED IN ORDER TO MAKE THOSE, UH, THE NEW OFFICE? HOW, HOW, I KNOW THAT WE'RE SAYING 45 MILLION, UH, DOLLARS TO, TO BUILD A NEW FACILITY. HOW MANY SQUARE FEET BUILDING, UH, WHAT DO WE HAVE BEEN ABLE TO GET WITH THAT? IN, IN, IN WHAT SENSE? AND IN WHAT DOLLAR VALUE? I I JUST WANNA MAKE SURE, UH, IF YOU'RE ASKING ME FOR $36 MILLION OR FOR THE COST OF BUILD A NEW BUILDING IS 45 MILLION. AND SO HOW MANY SQUARE FEET? SO IF, IF YOU TAKE JUST AN AVERAGE NUMBER, AND I'M, I'M SORRY, I USED TO KNOW THIS BY HEART, BUT, UM, I STILL NEED THE CALCULATOR RIGHT NOW. UH, ABOUT 180, UH, THOUSAND SQUARE FEET AT THE LOW COST OF A BUILDING. AND, AND ABOUT MAYBE ABOUT 150, 140 TO 150 AT THE HIGH COST. SO SAY AN AVERAGE, MAYBE, UH, ABOUT 150,000 SQUARE FEET. OKAY. AND WHAT'S THE SQUARE FOOTAGE OF THE, UH, STIM BUILDING? UH, 218,000 SQUARE FEET SQUARE. OKAY. SO AFTER THE PURCHASE PRICE, THE MONEY THAT WE'VE ALREADY SPENT AND THE ADDITIONAL DOLLARS NEEDED, HOW MUCH ARE WE GONNA BE, UH, SPENDING, UH, PER SQUARE FOOT AT THE SIMMONS BUILDING? ROUGHLY ABOUT $130 A SQUARE FOOT. HALF OF THE COST. I'M, I'M, WHAT'S OUR ALL IN NUMBER? UH, ABOUT MAYBE $35 MILLION. OKAY. SO AT THE HIGH, THAT'S AT THE HIGH END. OKAY. WE'LL, WE'LL WORK ON OUR MATH 'CAUSE WE'RE GET, WE'RE BOTH GETTING DIFFERENT NUMBERS. UM, JUMPING TO [01:20:01] THE, UH, FIRE SAFETY AND MAKING SURE THAT OUR TEAM MEMBERS, UH, WHO ARE RESPONSIBLE FOR OUR SAFE, UM, ONCE WE FIGURED OUT THERE WAS ISSUES WITH THE, THE FIRE PANELS, WHAT IS THERE IN PLACE NOW, UM, AS A FIRE WATCH? DO WE HAVE A DALLAS FIREFIGHTER OR DO WE HAVE, UH, A THIRD PARTY? HELP ME UNDERSTAND HOW THAT'S WORKING. COUNCIL MEMBER. WE ACTUALLY HAVE A THIRD PARTY DOING THE FIRE WATCH. OKAY. AND WHAT'S THE TRAINING AND THE COST FOR THAT? AS FAR AS THE COST? I DON'T HAVE THE COST FOR THAT. WE CAN GET BACK WITH YOU ON THAT. THANK YOU. THANK YOU. I'M GLAD YOU COULD HEAR THAT. UM, NEXT UP WE HAVE COUNCIL MEMBER WILLIS. THANK YOU. THANK YOU. UM, YOU KNOW, I GOT TO VISIT THE BUILDING IN JUNE, 2023, SO ABOUT A YEAR AGO. I WAS SUPER EXCITED ABOUT IT. STILL AM. UM, I, I THOUGHT IT WAS A GREAT IDEA TO BRING ALL OF THESE DEPARTMENTS TOGETHER TO MAKE IT EASIER ON OUR END USERS, THOSE SEEKING PERMITS TO HELP BUILD OUR CITY AND GROW OUR TAX BASE. UM, SO, YOU KNOW, THIS IS BIG DISAPPOINTMENT. UH, I, UM, I WANNA START WITH THE PROPERTY CONDITION ASSESSMENT THAT JLL DID. AND JUST TO BE SURE THAT WE UNDERSTAND, OR THAT I UNDERSTAND WHAT THAT ENTAILS. IT, IT TALKS ABOUT IDENTIFYING AND OBSERVING LIFE SAFETY AND FIRE PROTECTION SYSTEMS, ET CETERA. SO THIS IS JUST A WALKTHROUGH, JUST LOOKING AT IT. THERE IS NO TEST, IS THAT CORRECT, COUNCILWOMAN? THAT IS CORRECT. THERE IS NO TEST. THIS IS A STANDARD, UH, ASSESSMENT THAT IT'S DONE WHEN YOU PURCHASE A BUILDING, UM, WHEN YOU'RE DOING A, UH, APPRAISAL OF A BUILDING. SO NO TESTINGS WERE INVOLVED. I KNOW IT'S A WALKTHROUGH, SO THEY RELY ON, UM, ON THE INFORMATION THAT IT'S ON THE SYSTEMS. UH, FOR INSTANCE, THE FIRE SUPPRESSION SYSTEMS, THEY SHOULD BE INSPECTED AND THEY SHOULD BE ATTACKED. SO MOST LIKELY THEY'RE LOOKING AT THOSE ITEMS, TAKING PICTURES. SO YOU MENTIONED THE TAG. SO, SO THERE'S A DATE ON IT THAT SHOWS THAT IT IS WITH THE TIME WITHIN THE TIMEFRAME. OKAY. SO THEY'RE JUST LOOKING AT IT, BUT THEN THERE WAS A REMARK MADE ABOUT THAT, UH, THE FIRE PANELS WERE WORKING AND THAT SOMEHOW ALONG THE WAY WHEN OTHER WORK WAS BEING DONE, MAYBE WITH IT OR WHATEVER, SOMETHING MUST HAVE TRIPPED AND IT DIDN'T WORK ANYMORE. SO HOW DID WE KNOW BEYOND JUST THE OBSERVATION OF A TAG THAT THESE WERE WORKING? SO COUNCILWOMAN THAT, THAT'S A VERY GOOD QUESTION. SO IF I CAN ASK CHIEF MARTINEZ, I KNOW HE IS, UH, VERY GOOD AT EXPLAINING, UM, ISSUES WITH OR TROUBLESHOOTINGS WITH THE FIRE ALARM SYSTEMS OR THE FIRE FIRE ALARM MONITORING. AND SO THAT'S VERY COMMON IN, IN, IN THOSE, UH, IN THOSE SYSTEMS. AND, UH, IF I CAN HAVE HIM EXPLAIN THAT, I MEAN, I'M NOT TRYING TO GET INTO A LONG DISSERTATION, RIGHT? I JUST, HOW DID WE KNOW THEY WERE WORKING? I MEAN, WOULDN'T WE HAVE TO TEST THEM OR DID WE JUST GO BY THE TAG? UH, CHIEF MARTINEZ FIRE MARSHAL, WHEN WE DO THE INSPECTION AND WE FIRST GO UP THERE AND WE SEE THAT PANEL, WE'RE LOOKING FOR SOME BASIC THINGS TO MAKE SURE THAT IT'S GOT POWER. SO THAT WAY WE KNOW THAT AT LEAST IT HAS THE POWER TO POTENTIALLY FUNCTION. BUT THE LAST INSPECTION ON THAT PANEL HAD BEEN IN APRIL OF 2022. IT'S REQUIRED TO GET DONE ANNUALLY. SO WHEN WE LOOK AT THAT PANEL, WE BASICALLY ARE GOING TO GO AHEAD AND TELL PROPERTY MANAGEMENT. WE NEED TO HAVE THIS TESTED BY A FIRE ALARM COMPANY, A LICENSED FIRE ALARM COMPANY, SO THEY CAN DO MORE OF A DEEPER DIVE TO START LOOKING AT DIFFERENT FLOORS, DIFFERENT DEVICES, TO REALLY DO AN IN-DEPTH CHECK TO SEE IF IT IS TRULY FUNCTIONING. SO WHEN WOULD THAT REQUEST HAVE BEEN MADE? FEBRUARY THE SEVENTH OF 24. WHEN WE DID THE INSPECTION, WE PUT MANAGEMENT ON NOTICE. OKAY. BUT GOING BACK TO, YOU SAID THE TAG, LAST TAG SAID APRIL, 2022, THAT'S WHEN THE FIRE ALARM COMPANY, LICENSED FIRE ALARM COMPANY HAD LAST GONE OUT THERE TO INSPECT IT. OKAY. SO, I MEAN, TIME PASSED AND ALL OF THIS. SO WE NEVER HAD THE TEST DONE BY THE, THE, THE VENDOR, THE, TO, TO RECTIFY THAT. THAT'S WHERE NOW THAT SYSTEM WAS FUNCTIONING IN APRIL OF 2022, ACCORDING TO THE TAG THAT WAS PUT ON IT. SO BY THE TIME WE ACTUALLY DID THE INSPECTION IN FEBRUARY, WE COULD TELL THAT THERE WAS SOME BASIC MAINTENANCE ISSUES THAT HAD TO HAPPEN. BUT AS FAR AS THE FUNCTIONALITY OF THE SYSTEM, WE CANNOT TELL BY JUST LOOKING AT IT. WE COULD TELL IT HAD POWER, BUT WE COULDN'T TELL EXACTLY HOW WELL IT COULD FUNCTION, WHICH IS WHY WE PUT THE PROPERTY ON NOTICE. YOU CAN HAVE THE LICENSE COMPANY COME BACK OUT TO DO THAT REALLY FULL DEPTH TEST. OKAY. WELL, I'D LOVE TO HAVE THAT DOCUMENTED IN HERE TO UNDERSTAND LIKE WHEN YOU OBSERVED WHEN THE LAST, UM, LICENSE WAS GIVEN AND THEN WHEN IT SHOULD HAVE BEEN RENEWED. AND THEN WHEN WE DID THAT, 'CAUSE IT SOUNDS LIKE IT WAS A PRETTY LONG LAG, LIKE MONTHS OR A YEAR. UM, SO I'M HEARING ABOUT THE BUILDING WAS OCCUPIED AND SO THE TEST WASN'T DONE. IS IT BECAUSE IT WAS INCONVENIENT TO OTHERS? OR, I MEAN, DID WE ASK [01:25:01] THE OUTGOING OWNER, YOU KNOW, WE'D LIKE TO, WE'D LIKE TO DO A TEST AND THEY SAID NO, 'CAUSE WE'VE GOT OCCUPANTS OR WE JUST DIDN'T ASK. SO I, I THINK WE WERE STILL RELYING AT THAT TIME ON, ON THE FACT THAT THE, THE PREVIOUS, UM, INSPECTION SAID IT WAS FUNCTIONAL. SO WE JUST, WE DIDN'T, WE JUST DIDN'T, THERE WAS NOTHING THERE TO TRIGGER US, I GUESS, TO DO A TEST SINCE EVERYTHING THAT WE HAD SEEN UP UNTIL THAT POINT. SO IT, IT HAD BEEN FUNCTIONAL. OKAY. I MEAN, I THINK I AGREE THAT WHEN WE'RE SPENDING $14 MILLION ON IT, WE SHOULD, WE SHOULD HAVE DONE THAT TO JUST, YOU'RE BUYING A NEW CAR, CAR, YOU'RE KICKING THE TIRES. SO WHO ELSE WAS WORKING ON THIS PROJECT? WAS IT JUST CITY EMPLOYEES THAT WE WERE USING ON THIS CONSTRUCTION, ALL THESE PIECES? OR DID WE HAVE SOME OUTSIDE PEOPLE WORKING ON SITE? SO FOR THE MOST PART IT WAS, UH, CITY STAFF, UM, AND USING OUR, OUR, UH, JOB ORDER CONTRACTING THAT WE HAD IN PLACE. JUST FOR CLARIFICATION, THE CONTRACTOR WAS DOING THE WORK IN ADDITION, FOR EXAMPLE, FOR IT THERE WAS IT STAFF, UM, MONITORING THAT, BUT A CONTRACTOR WAS DOING THE WORK ON THIS. OKAY. SO, AND COUNCIL MEMBER WILLIS, I'M SORRY, YOUR TIME IS UP, BUT WE'LL COME BACK. UM, SO I THINK WE'VE DONE A FIRST ROUND. I'M SKIPPING SINCE I ASKED WAY TOO MANY QUESTIONS AT THE BEGINNING WITH JUST A TIMELINE. UM, BUT, UM, COUNCIL MEMBER, STEWART, WOULD YOU LIKE TO GO NEXT? YES, THANK YOU. I THINK THE FIRST THING I WANNA SAY IS THANK YOU FOR BEING SO TRANSPARENT AND OPEN WITH US TODAY ABOUT TIMELINES AND EXPENSES AND WHO MADE DECISIONS, BECAUSE THAT HAS CLARIFIED SOME THINGS FOR US. I THINK WE MAY HAVE MISUNDERSTOOD SOME OF THIS. SO I THINK WE UNDER, WE HAVE A MUCH CLEARER TIMELINE, AT LEAST FROM MY PERSPECTIVE. UM, AND I APPRECIATE YOUR HONESTY AND YOUR OPENNESS ON THAT. WHAT COMES TO THE SURFACE FOR ME IS, UM, A LITTLE BIT ALONG THE LINES OF WHAT COUNCIL MEMBER RIDLEY SAID, AND IT'S WHAT STANDARD OF CARE DO WE OWE OUR EMPLOYEES? UM, AND US ACTUALLY, IT MAKES ME START THINKING ABOUT THIS BUILDING. I'LL BE VERY HONEST. UM, AND, AND I THINK IT, YOU KNOW, I, I DON'T KNOW WHAT THE LEGAL STANDARD OF CARE, BUT IT, IT SHOULD BE SOMETHING ALONG THE LINES OF AT LEAST REASONABLE, A REASONABLE, UM, RESPONSE TO THE INFORMATION THAT WE HAD. UM, AND I THINK THE ASSUMPTION THAT ALL THE SYSTEMS WERE WORKING BECAUSE IT WAS AN OCCUPIED BUILDING WAS A FLAWED ASSUMPTION. AND I KNOW THAT THAT'S AN ASSUMPTION THAT WE SEEM TO BE MAKING WHEN WE GIVE TEMPORARY COS. UM, AND I'M A LITTLE BIT UNCOMFORTABLE WITH THAT, BUT I KNOW THAT WOULD BE A MAJOR, UM, SEISMIC CHANGE IN, IN WE'RE MOVING FORWARD. SO I WOULD NOT SUGGEST THAT. BUT I THINK WHEN IT COMES TO OUR BUILDINGS AND OUR SPACE, WHAT OUR DUTY SHOULD BE IN THAT SITUATION WOULD NOT TO MAKE BE, TO NOT MAKE THAT ASSUMPTION. AND ESPECIALLY WHEN IT COMES TO FIRE SAFETY. SO I THINK WHEN, IF WE HAD A DO-OVER, WE MIGHT ASSUME ELECTRICAL AND PLUMBING SYSTEMS WERE WORKING, UM, BUT I THINK THE FIRE SAFETY SYSTEM SHOULD BE TESTED. SO MY QUESTION IS, IS THAT, WAS THAT GOING TO BE AN EXPENSIVE, UH, EXP WOULD THAT BE SOMETHING THAT WAS COSTLY? WAS IT TIME CONSUMING? IT'S GONNA BE BOTH TIME CONSUMING AND COSTLY, BUT THAT'S SOMETHING THAT WE CAN IMPLEMENT. KEEP IN MIND WHEN WE DO THAT, WE'RE GONNA DO THAT FOR EVERYONE, INCLUDING PRIVATE DEVELOPMENTS. SO THAT'S THE EXPECTATION THAT WE WILL HAVE OF EVERYONE. AND, AND SO WE WILL MAKE THAT AS A STANDARD. UM, AND, AND, UH, I APPRECIATE MR. RIDLEY FOR, FOR, FOR MENTIONING COUNCIL MEMBER, COUNCIL MEMBER RIDLEY FOR THAT. UM, UH, WE CAN DEFINITELY DO THAT. THAT'S GONNA BE, UH, YOU KNOW, THAT MEANS WE'RE GONNA ISSUE LESS TCOS IF WE'RE GONNA GO THROUGH THIS BECAUSE WE WILL HAVE TO REQUIRE, UH, FIRE TESTING. AND WHEN WE DO FIRE TESTING, THEN THE APPLICANT IS GONNA HAVE TO GO DO THAT. IT'S GONNA BE A COST FOR THEM. IT'S GONNA BE TIME CONSUMPTION FOR THEM. BUT WE WILL BE MORE THAN HAPPY TO DO THAT. I, I DON'T KNOW IF ANDREW WANTS TO ADD ANYTHING, BUT, UH, YES. COUNCIL MEMBER. UM, GREAT OBSERVATION ABOUT THE FIRE SYSTEMS. UH, UH, I WANNA JUST MAKE SURE THAT AS A DEPARTMENT WE GET CLEAR DIRECTION ON THE EXPECTATIONS BECAUSE I, I, I KNOW YOU SAID STANDARD OF CARE FOR CITY EMPLOYEES, AND SO WE WANNA BE SENSITIVE AND WE WANNA PROVIDE A GOOD WORKING ENVIRONMENT FOR OUR TEAM MEMBERS. UH, BUT WHERE, WHERE IS THAT STANDARD? AND, AND WE'RE HAPPY TO, TO ADJUST OUR PROCESSES, HOWEVER, OUR LEADERSHIP TEAM AND THIS COUNCIL BODY WANTS US TO. [01:30:01] SO ON THE ASBESTOS, FOR EXAMPLE, IT SEEMED LIKE YOU DID FOLLOW WHAT I WOULD CONSIDER A NORMAL REASONABLE STANDARD OF CARE. IT WAS EVALUATED, YOU KNEW WHAT, WHERE IT WAS, YOU KNEW THE EXTENT OF IT. AND MY UNDERSTANDING IS, IS IT WAS ON FLOORS WHERE THERE WERE NO PEOPLE. SO YOU WERE ABLE TO REMEDIATE THAT FAIRLY EASILY. WOULD THAT BE CORRECT OR NOT? MAYBE EASILY IT'S NEVER EASY WHEN IT'S ASBESTOS. YES, MA'AM. YOU'RE CORRECT. THAT OKAY. YEAH. SO I MEAN, THAT'S JUST ANOTHER ONE OF THOSE, UM, ITEMS THAT HAS TO DO WITH THE HEALTH AND SAFETY OF OUR EMPLOYEES. UM, OKAY. AND ELECTRICAL, I DON'T KNOW THAT THAT CAN HAVE OBVIOUSLY, UM, A SIGNIFICANT IMPACT IF SOMETHING GOES WRONG THERE. I DON'T KNOW IF WE COULD LOOK AT THAT, BUT I THINK THERE JUST MIGHT BE SOME, SOME SYSTEMS IN A BUILDING THAT WE WANT TO RETHINK WHAT OUR ASSUMPTIONS ARE BECAUSE THAT BUILDING IS OCCUPIED IS ALL, ALL I WOULD ASK AT THIS POINT. THANK YOU. THANK YOU. UM, YES, COUNCIL SCHULTZ. THANK YOU MADAM CHAIR. I'M GONNA TRY A DIFFERENT TACTIC. I'M GONNA SAY WHAT I THINK HAPPENED AND LET YOU GUYS TELL ME WHAT'S WRONG WITH MY, WITH THE WAY I READ THIS BRIEFING AND WHAT I'VE HEARD. SO EVERYTHING WAS GOOD ON FLOORS. ONE THROUGH FIVE AND SEVEN DEVELOPMENT SERVICES HAD MOVED TO TWO AND THREE. AND THEN ON APRIL 9TH, THERE WAS AN EMERGENCY MOVE OF 70 PEOPLE TO MACH DUE TO THE ROAMING. AND, UM, THERE WEREN'T ANY OTHER COMPLAINTS OR PROBLEMS. IT WAS JUST THE ROAMING. SO I HAVE TWO QUESTIONS FROM THIS. ONE IS, WHY THEN INITIATE A WALKTHROUGH? WHAT DOES THAT HAVE TO DO IF THE PROBLEM WAS ROAMING? AND THE SECOND IS, IF, IF YOU HADN'T MOVED BACK TO OCMA, WHAT WOULD WE KNOW AND WHERE WOULD WE BE NOW? 'CAUSE THAT'S WHAT INITIATED EVERYTHING WAS THAT EMERGENCY MOVE BACK. SO, UM, I'D LIKE TO KNOW, I'D LIKE TO START THERE AND HAVE YOU VALIDATE MY TIMELINE AND THEN ANSWER MY QUESTIONS. PLEASE. LET ME, LET ME TAKE THAT BACK. AND, AND YOU, YOU'VE SUMMARIZED IT QUITE WELL, WITH THE EXCEPTION OF A COUPLE OF EMPLOYEES COMPLAINED ABOUT THE CONDITIONS OF THE BUILDING, UH, INCLUDING, UH, LACK OF MIRRORS IN THE BATHROOM, INCLUDING ONE URINAL. THAT IS NOT WORKING, THAT'S NOT A REASON TO MOVE 70 PEOPLE. I UNDERSTAND THAT. BUT, UH, ONE OF THE, ONE OF THE CHALLENGES IS FOLKS KEPT GOING TO THE DIFFERENT FLOORS AND WATCHING WHAT WE'RE DOING, WHAT THE CONTRACTOR IS DOING, AND REPORTING THINGS TO, WHETHER IT IS TO A, A NEWS MEDIA OUTLET OR, OR MAKING STORIES OUT OF THAT ONE. AND BECAUSE WE WERE STILL IN A LIVE CONSTRUCTION ZONE WITH OTHER FLOORS, UH, THE, THE DYNAMIC OF THOSE INSPECTORS, AND BY THE WAY, THAT WAS NOT A FRONT FACING FUNCTION, IT WAS THE INSPECTOR. SO THERE WAS NO IMPACT TO DEVELOPMENT SERVICES AND NO CUSTOMERS WERE COMING TO THAT BUILDING. SO I JUST WANT TO BE VERY CLEAR. SO THE DECISION WAS LET'S MOVE THEM BACK TO MACH BECAUSE WE WANNA REALLY FINISH THE WORK AND WE DON'T WANT THE INTERMINGLING BETWEEN CONSTRUCTION ACTIVITIES AND, AND PEOPLE WORKING AND CLAIMING THAT IT'S, UH, UH, NOT A SAFE BUILDING. I WORKED IN THAT BUILDING COUNCIL MEMBER. I WORKED IN THAT BUILDING SEVERAL TIMES AND I ACTUALLY HOUSED IN THERE, UH, FOR, FOR, FOR SOME OF THOSE DAYS. SO, SORRY, JUST FOR THE SAKE OF TIME. SO WHETHER OR NOT IT WAS A SAFE BUILDING, THAT'S WHAT INITIATED THE, THE WALKTHROUGH AS YOU MIGHT HAVE BEEN WORRIED THAT IT WAS A SAFE, THAT IT WAS SAFE. NO, WHEN WE MOVED, WHEN WE MOVED FOLKS BACK, I'VE TOLD THE TEAM I NEED A WALKTHROUGH OF EVERY SINGLE FLOOR AND I WALK. I WANT A WALKTHROUGH OF THE ENTIRE BUILDING, UH, FOOTPRINT AS AS A SHELF. AND I WANT A REPORT ON EVERY SINGLE FLOOR BECAUSE I WANNA KNOW WHAT IS LEFT AS A PUNCH LIST ITEM. SO WE CAN PLAN IT IN TERMS OF MONEY, IN TERMS OF TIMELINE, IN TERMS OF NEXT STEPS, IN TERMS OF WHATEVER WE NEED TO DO. SO WE CAN, WE CAN PLAN MOVING FORWARD. WE CAN PLAN A MUCH BETTER APPROACH THAN JUST, UH, UH, YOU KNOW, THE DIFFERENT DEPARTMENTS HANDLING DIFFERENT THINGS. SO WHAT I'M HEARING THEN IS BECAUSE OF THE COMPLAINTS OF THE EMPLOYEES AND THE, AND THE TALKING TO THE, YOU KNOW, PUBLICLY ABOUT THE CHALLENGES WITH THE BUILDING, THAT'S WHY IT WAS BETTER TO JUST GET EVERYONE OUT AND LET'S GO AND DO AN, YOU KNOW, WALK THROUGH OF THE ENTIRE THING. AND SO HAD YOU NOT DONE THAT, HAD YOU NOT MOVED EVERYONE BACK AND HAD THERE NOT BEEN PUBLICITY AROUND THAT? 'CAUSE IF YOU HADN'T MOVED, THERE WOULDN'T HAVE BEEN PUBLICITY AROUND IT, MOST LIKELY. UM, THEN MY QUESTION THEN IS WHAT, HOW, WHAT WAS THE PLAN NOW? WHO'S TAKING RESPONSIBILITY [01:35:01] FOR SAYING WE MIGHT HAVE NEVER DONE THAT WALKTHROUGH? ALL OF US. WE MIGHT, UNTIL IT WAS TIME FOR THE FINAL CO, IF THERE EVEN WAS GONNA BE AN APPLICATION FOR A CO ALL ALL OF US ARE TAKING THAT RESPONSIBILITY. OKAY. NOT, NOT JUST ONE THAT, NOT JUST ONE GROUP OF PEOPLE. AS, AS OUR, UH, CITY MANAGER SAID, WE, WE ARE TAKING, WE ARE TAKING RESPONSIBILITY MOVING FORWARD. SO, UH, HAD THAT NOT HAPPENED, WE WOULD'VE CONTINUED TO ADDRESS THOSE COMPLAINT AND ADDRESS THEM MORE ON A, A KIND OF A MICRO YEAH. UH, UH, PROCESS. UH, NOW WE'RE LOOKING AT IT MACRO AND MICRO. I BELIEVE YOU AND I RESPECT VERY MUCH THE CONTRITION THAT EVERYBODY'S FEELING RIGHT NOW, BECAUSE IT'S EASY FOR US IN HINDSIGHT TO SAY, YOU KNOW, YOU SHOULD HAVE, YOU COULD HAVE ALL THOSE THINGS. I TOTALLY UNDERSTAND THAT. SO WHEN THE TIME COMES MADAM CHAIR, IN TERMS OF THE GO FORWARD AND THE LESSONS THAT THEY'VE SAID, I THINK THAT'S IMPORTANT. THE LAST THING WITH MY TIME THAT'S REMAINING, DO I HAVE ANY TIME REMAINING? THREE SECONDS. OH, DARN. OKAY. I'LL GO NEXT ROUND ON THE BUDGET. I DO WANNA UNDERSTAND IT AND MAKE SURE THAT 36 MILLION INCLUDES TAKING DEVELOPMENT SERVICES WHERE IT ACTUALLY NEEDS TO GO. I'M GONNA GIVE MYSELF FIVE MINUTES, IF THAT'S ALL RIGHT. UM, SO I, I AM TIMING ME HERE, KIM, KIM WILL TIME ME, . UM, SO MY FIRST QUESTION IS, I JUST WANNA GO BACK AND CLARIFY SOMETHING ABOUT ASBESTOS. ARE YOU SAYING THERE'S NO ASBESTOS ON ANY OF THE OTHER FLOORS? NO, MA'AM. THAT'S NOT WHAT WE'RE SAYING. UM, BUT THE MIRRORS THAT, AND THE TILES, I THINK THAT WERE IN PLACE, UM, IT'S CONSIDERED SAFE. SO AS LONG AS WE'RE, IF WE HAVE TO RIP OFF THE MIRRORS, THEN WE WOULD HAVE TO DO SOME TYPE OF REMEDIATION TO MAKE SURE WE GET EVERYTHING AT THAT POINT. SO THE TILE BROKE BECAUSE IT'S MADE WITH ASBESTOS OR THE BACKING IS ASBESTOS, THEN ALL OF THE FLOORING WOULD NEED TO BE REPLACED, IS THAT RIGHT? THAT'S MY UNDERSTANDING. OKAY. AND I'LL JUST SAY COUNCIL MEMBERS, I DON'T KNOW IF YOU REALIZE THAT WE HAVE A LOT OF BUILDINGS THAT HAVE ASBESTOS IN IT AND CITY EMPLOYEES, SOME REALLY, REALLY BAD ONES. OKAY. UM, I, I WANNA GO BACK TO, UM, THE TENANTS THAT WERE IN THE BUILDING. WAS IT CONSIDERED IN, IN THE PURCHASE THAT WE WOULD HAVE REVENUE FROM TENANTS THAT WE WOULD SUSTAIN TENANCY, OR IT WAS ALWAYS INTENDED THAT IT WOULD ONLY BE CITY EMPLOYEES? WELL, WE DID, WE DID FOR THE FIRST YEAR AND WE ACCOUNTED FOR THAT. YEAH. SO YES, IN THE FIRST YEAR WE WORKED VERY CLOSELY WITH THE BUDGET OFFICE TO KIND OF WIND DOWN THE, THE, UM, THE REVENUES THAT WE WOULD'VE, THAT WE WOULD LOSE, UH, BUT ALSO KEEP IN MIND THAT WHEN, WHEN STAFF MOVES INTO THAT BUILDING, WE HAVE THE OPPORTUNITY TO REPURPOSE AND, AND, AND NOW CREATE A PUBLIC PRIVATE PARTNERSHIP THAT WOULD GO BACK AND GENERATE REVENUE OR GENERATE RENT. SO THERE WAS A TRANSITION OF TIME THAT WE SAY, YES, THAT WE'RE GOING FROM THIS AMOUNT OF RENT TO PROBABLY NO RENT IN A TWO YEAR PERIOD. THEN ON, WHEN WE, WHEN WE DO THE PUBLIC PRIVATE PARTNERSHIP, UH, IN THE OLD 4.35 ACRES OFF MOCK BUILDING, THEN WE'RE GONNA BE ABLE TO GO BACK AND GENERATE NOT ONLY REVENUE IN TERMS OF PROPERTY TAXES, BUT ALSO IN TERMS OF WHAT WE PURPOSE IT FOR AND GENERATE ALSO SOME OTHER ADDITIONAL, WHETHER IT'S RETAIL OR OTHER THINGS, GENERATE SALES TAXES. OKAY. WELL, I'LL JUST TELL YOU THAT BEFORE THIS INVESTIGATION STARTED, IT WAS ACTUALLY MY UNDERSTANDING THAT WE WOULD ALWAYS KEEP TENANTS THERE AND THAT THOSE, UH, RENTAL PAYMENTS WOULD ACTUALLY OFFSET SOME COSTS. SO I MAY HAVE MISUNDERSTOOD, I MAY HAVE UNDERSTOOD THAT THIS WAS JUST FOR THE INTERIM, BUT I ACTUALLY THOUGHT IT WAS AN ONGOING, BUT THAT'S A SURPRISING ANSWER FOR ME, JUST SO YOU KNOW. UM, AND THEN YOU, THIS IS NOT THE FIRST TIME THAT YOU HAVE SAID THAT, ALTHOUGH I THINK IT MIGHT BE THE FIRST ONE ON CAMERA THAT I'VE HEARD YOU SAY IT, THAT THERE'S AN INTENTION FOR ACH TO BECOME THIS PUBLIC-PRIVATE PARTNERSHIP. AND AGAIN, I DON'T KNOW WHERE THAT'S COMING FROM. I'VE NEVER BEEN PART OF THAT DISCUSSION, BUT I'LL TELL YOU THAT I'M MOST CERTAINLY HOPING WE ACTUALLY OUTRIGHT SELL THAT BUILDING AND PUT THE PROCEEDS TO PENSION. AND I'M NOT AT ALL INTERESTED IN A PUBLIC PRIVATE PARTNERSHIP ON JEFFERSON, WHICH IS A HIGHLY DESIRABLE LOCATION FOR REDEVELOPMENT. AND SO, LIKE, AGAIN, IT'S LIKE STAFF IS GETTING WAY AHEAD WHEN WE HAVEN'T REALLY HAD A POLICY CONVERSATION, UNLESS IT'S HAPPENED IN ECO AND I'M NOT ON THAT COMMITTEE, UH, THAT WOULD BE THE DECISION OF THE CITY COUNCIL STAFF WILL MAKE RECOMMENDATIONS. BUT OBVIOUSLY THE FINAL DECISION IS THE CITY COUNCIL, AND IF THE CITY COUNCIL WANNA SELL IT OUTRIGHT, THAT'S THE DECISION OF THE CITY COUNCIL. THANK YOU, MENTOR. I WAS JUST GONNA SAY, UM, IN RESPONSE TO YOUR QUESTION, UH, CHAIR MIDDLESTON, WE [01:40:01] ARE WORKING CURRENTLY ON THAT WHOLE SCHEDULE OF ALL THE DIFFERENT ASSETS THAT WE'RE LOOKING AT, AND NONE OF THOSE DECISIONS WILL BE MADE WITHOUT US BRINGING THOSE TO THE CITY COUNCIL. WE'LL BE LAYING OUT OPTIONS MAKING SOME RECOMMENDATIONS FOR THE, FOR THE COUNCIL TO WEIGH IN, SO IT WON'T JUST HAPPEN AT THE ECONOMIC DEVELOPMENT COMMITTEE. WE'LL START THERE, BUT THAT'LL COME TO THE FULL CITY COUNCIL FOR ACTION. THANK YOU. OH, I WOULD JUST LIKE TO SAY, UM, AT GPFM TWICE, WE'VE HAD A LIST OF, I BELIEVE, 10 PROPERTIES THAT WERE BEING CONSIDERED FOR REDEVELOPMENT. AND BOTH TIMES I'VE POINTED OUT THAT WHO SAYS IT'S FOR REDEVELOPMENT, POSSIBLY IT'S FOR SALE, AND IT'S KEEPS COMING BACK, ONLY REDEVELOPMENT. AND, UM, I WOULD JUST LIKE YOU TO TAKE NOTE OF THAT BECAUSE I THINK IT IS A LARGER CONVERSATION. UM, OKAY, SO I HAVE 30 SECONDS. UM, THE LAST , UM, THE, THE LAST ONE I'M GONNA BE ABLE TO GET TO IS ABOUT THE EMPLOYEES ACCESSING THE FLOORS. AND I'M STILL NOT UNDERSTANDING HOW YOU WOULDN'T HAVE KNOWN FOR FOUR, I MEAN, JANUARY, FEBRUARY, AND MARCH WENT BY WITHOUT YOU KNOWING OR UNDERSTANDING THAT WHAT WAS ON THE OTHER FLOORS BESIDES CONSTRUCTION? WAS THERE A WORKOUT FACILITY THAT PEOPLE MIGHT HAVE BEEN GOING TO? I MAY HAVE HEARD THAT. AND THEN WHY, WHY WASN'T THEIR SUPERVISORY STAFF TO KNOW THAT THEIR EMPLOYEE WAS WALKING OFF TO THE WRONG PLACE? AND EVEN WITH THE FIRE WATCHER, THAT'S YOUR TIME. YEAH, , SHE LOVED THAT. SHE LOVED THAT SO MUCH. YOU COULD ANSWER IT. , THERE'S NO WORKOUT FACILITY. THERE'S, THERE'S OF COURSE, EMPTY ROOMS IN, IN OTHER FLOORS. SO, UH, THERE ARE SUPERVISORS IN THERE, AND THE SUPERVISORS HAD ON NUMEROUS OCCASIONS TALKED TO THEM, AND THAT'S WHAT GENERATED THE NOTIFICATION TO THEM BECAUSE THE SUPERVISOR WOULD GO AND TALK TO THEM. AND, UM, YOU KNOW, THERE HASN'T BEEN, UH, ANY ACTION. SO, UH, ANDREW AND, AND, AND, AND HIS ASSISTANT DIRECTORS SENT OUT COMMUNICATIONS TO SAY, PLEASE STAY IN YOUR FLOOR, UH, STAY IN IN THE AREA WHERE YOU'RE WORKING BECAUSE THE OTHER FLOORS ARE NOT OCCUPIED AND THERE'S NO NEED FOR YOU TO BE IN THE OTHER FLOOR. I MEAN, I, I, YOU KNOW, I EXPECT OUR CITY STAFF TO BE PROFESSIONAL. ALL RIGHT. SO AGAIN, BACK TO THAT DETAILED TIMELINE, THE ONLY TIME THAT YOU'RE MENTIONING THAT YOU HAVE TALKED TO THE STAFF BY EMAIL ABOUT THE FLOORS WAS, I THINK MARCH 27TH. AND SO IF THERE WERE OTHER TIMES, THEN I WOULD'VE EXPECTED THAT TO BE IN THE TIMELINE. AND THEN, HAVE YOU DISCIPLINED ANY EMPLOYEES WHO REPEATEDLY DISOBEYED GOING TO A FLOOR THAT DOES NOT HAVE PROPER AUTHORIZATION AND PERHAPS LIFE SAFETY ISSUES? UH, CHAIRMAN MENDELSON, UM, BESIDES THE WRITTEN EMAIL WE SENT OUT, UH, OUR, OUR MANAGERS AND SUPERVISORS AT THEIR WEEKLY STAFF MEETINGS WERE REMINDING TEAM MEMBERS TO AVOID THOSE FLOORS, REMINDING THEM THAT THE ONLY APPROVED FLOOR WAS THE FIFTH FLOOR IN THE FIRST WORLD COMMON AREA. UH, TO ANSWER YOUR OTHER QUESTION, UH, NO DIS NO EMPLOYEES WERE DISCIPLINED. AGAIN, WE, WE TRY TO PR TREAT OUR EMPLOYEES WITH PROFESSIONALISM AND DIGNITY AND RESPECT, AND WE EXPECT THEM TO ADHERE TO THAT. UM, AND SO, YOU KNOW, THE DECISION WAS MADE TO, TO MOVE THEM BACK TO AKMA. I THINK MOVING FORWARD, ONE OF THE THINGS THAT I WOULD LIKE TO RECOMMEND IS IF WE GO BACK AND OCCUPY FLOORS ONE THROUGH FIVE, THAT FLOORS SIX THROUGH 11 BE SOMEHOW, UH, RESTRICTED OR LOCKED SO THAT OUR EMPLOYEES DON'T WANDER THROUGH THOSE OTHER AREAS. AND, AND, AND I UNDERSTAND WHY THEY DID. THEY WERE EXCITED, THEY WANTED TO SEE THE BUILDING, HEY, WHAT'S GOING ON? AND, AND SO LOOK MOVING FORWARD, UH, THAT WOULD BE MY RECOMMENDATION. OKAY. WELL, THANK YOU. IT SEEMS LIKE IT'D BE VERY EASY TO DO THAT GIVEN THE CONFIGURATION, BUT I DO WANNA JUST CLARIFY. YOU SAID ALL OF THE EMPLOYEES WERE ON FIVE, BUT YOU HAVE PREVIOUSLY SAID THEY'RE ALSO ON TWO AND THREE. YES. COUNCIL MEMBER. THAT'S CORRECT. UM, WE HAD APPLIED FOR TEMPORARY CERTIFICATE OF OCCUPANCIES ON TWO AND THREE, AND IN OUR EXCITEMENT AND MOMENTUM TO GET IN, WE NEVER FINALIZED THOSE TEMPORARY CERTIFICATES. WHO SHOULD HAVE DONE THAT? I SHOULD HAVE DONE THAT. SO PLEASE HOLD ME ACCOUNTABLE FOR THAT. THAT'S OKAY. ALL RIGHTY. UM, AND, AND I'LL JUST, UH, CLARIFY TOO, AND, AND AGAIN, I FAILED TO SAY THIS, BUT AGAIN, I UNDERSTAND, YOU KNOW, THE DECISION, UH, TO MOVE PEOPLE BACK WAS A BIG DECISION AND UNDERSTANDING THAT YOU WOULD POTENTIALLY BE SITTING HERE, UH, WAS A, WAS A HUGE DECISION. SO, UH, AGAIN, KUDOS FOR, FOR MAKING THAT CALL. UH, FROM THERE, I DON'T WANT TO TALK PAST THAT. I JUST HAVE ONE MORE QUESTION, AND THAT'S JUST TRYING TO GET THIS. SO IN 2023, WAS THERE A FIRE INSPECTION DONE? [01:45:05] SO IN 2023, OUR FIRE ALARM MONITORING SYSTEM, I THINK HAD A FAULT THAT IDENTIFIED THAT ONE OF THE PHONE LINES WASN'T FUNCTIONING. UM, AND SO WE HAD THAT REPAIRED, I THINK WITHIN A, WITHIN A MONTH OR TWO OR JULY OF 23 IS WHEN THAT WAS REPAIRED. BUT A FULL ON FIRE INSPECTION, I, I DON'T BELIEVE HAPPENED IN 2023. WAS IT REQUIRED, I GUESS, 'CAUSE I'M TRYING TO GET TO THE, I THOUGHT I HEARD EARLIER THAT THERE WAS AN ANNUAL INSPECTION THAT WAS REQUIRED. SO WE HAD ONE IN 22, AND THEN WE JUMPED TO 24. BUT I WAS TRYING TO FIGURE OUT WAS THERE SOMETHING THAT SHOULD HAVE TAKEN PLACE IN 23 THAT DID NOT HAPPEN, WHICH IS HOW WE POSSIBLY GOTTEN TO THE 2024 SITUATION. I THINK THAT'S WHERE, SO THE, WE DIDN'T, WE DID NOT CALL IN, UM, AT, FOR AN ANNUAL FIRE INSPECTION. AND I, AND CHIEF MARTINEZ CAN CORRECT ME IF I'M WRONG, BUT I, I DON'T KNOW THAT THERE'S THE STAFF AVAILABILITY TO DO AN ANNUAL INSPECTION ON ALL BUILDINGS THROUGHOUT CITY OF DALLAS, WHICH WOULD INCLUDE THIS. FAIR ENOUGH. IF IT'S NOT, I'M JUST TRYING, IS THAT A STANDARD? OR IF THAT'S NOT A STANDARD PRACTICE, I'M NOT TRYING TO SAY GOTCHA. I'M JUST TRYING TO UNDERSTAND WHAT HAPPENED AT 23. IT'S NOT A STANDARD PRACTICE AND WE'VE NEVER, WE DIDN'T DO IT IN 2023. OKAY, FAIR ENOUGH. WELL, I'LL JUST SAY, UM, AGAIN, THIS, THIS, UH, THE, THE PROCESS, I APPRECIATE YOU SAYING THAT. I THINK THAT MULTI-DEPARTMENTAL WALKTHROUGH, UH, WOULD'VE, WOULD'VE REALLY HELPED. AND I THINK THE, THE MESSAGE RELEASES THAT I'D LIKE TO, TO LEAVE YOU ALL AND MADAM CITY MANAGER, IS JUST THE, AS WE MOVE FORWARD WITH THESE PROCESSES, THE COMMUNICATION EXTERNALLY AND INTERNALLY, WE HAVE TO TIGHTEN UP ON THAT. I MEAN, AGAIN, WE'RE MAKING DECISIONS, AND AGAIN, IT'S FOR ONE DEPARTMENT, BUT AGAIN, IT'S GONNA IMPACT POTENTIALLY BUDGETS, IT'S GONNA IMPACT PEOPLE, ALL OF THESE THINGS. SO WE JUST HAVE TO TIGHTEN UP ON THAT COMMUNICATION, UH, PIECE OF, I'VE SPENT THE LAST FOUR DAYS TALKING ABOUT ANOTHER PROPERTY, UH, WHERE I THINK WE WOULD'VE HAD A LOT BETTER CONVERSATIONS HAD WE BEEN ABLE TO COME TOGETHER COLLECTIVELY TO HAVE THOSE CONVERSATIONS. SO THAT'S MY MESSAGE. UH, AND THE FRUSTRATION YOU MAY HEAR IS FROM THOSE, UH, FOUR DAYS THAT WENT WELL. BUT AGAIN, IT'S JUST THAT OPPORTUNITY FOR US TO DO SOMETHING. WE, WE STEP OUT AND WE DO IT WITH THE, WITH THE BEST OF INTENTIONS. SOMETIMES WE MISS THOSE STEPS AND IT ENDS UP, UH, HURTING, UH, THE INTENTIONS AND THE IMPACT THAT WE'RE, WE'RE TRYING TO GO FOR. SO I JUST ENCOURAGE YOU ALL TO, TO PLEASE TIGHTEN UP IN TERMS OF MAKING THESE DECISIONS AND UNDERSTANDING THAT, UH, PROPERTY MANAGEMENT IS NOT OUR BUSINESS. SO THANK YOU. THANK YOU. COUNCILOR RIDLEY. THANK YOU, MADAM CHAIR. UH, JUST TO CLARIFY PEOPLE'S RESPONSIBILITIES HERE, UH, I'D LIKE TO REVIEW WHAT I UNDERSTAND AND HAVE YOU CORRECT ME, UH, IF I MISSTEP, UH, FIRST OF ALL, IT IS THE RESPONSIBILITY OF THE BOND AND CONSTRUCTION DEPARTMENT TO OVERSEE CONSTRUCTION PROJECTS OF THIS SORT. IS THAT CORRECT? YES, SIR. THAT'S CORRECT. AND IT'S THE RESPONSIBILITY OF THE DEPARTMENT THAT WILL OR IS OCCUPYING THAT BUILDING TO LOOK AFTER THE LIFE SAFETY OF THEIR EMPLOYEES? WOULD THAT BE CORRECT? AND THAT WOULD MEAN THE DEPARTMENT OF DEVELOPMENT SERVICES. SO COUNCIL MEMBER, UH, I WOULD AGREE WITH THAT. ONLY WHEN WE IDENTIFY ISSUES ONCE WE'RE IN THE LOCATION, UH, THEY'RE REPAIRED BY THE APPROPRIATE DEPARTMENT. OF COURSE. OF COURSE. AND BEFORE THAT, IT WOULD'VE BEEN THE BOND AND CONSTRUCTION OFFICE, CORRECT? THAT'S CORRECT. UNTIL IT'S TURNED OVER TO US. AND SO IN THIS PARTICULAR CASE, DIRECTOR ESPINOZA, YOU WERE REALLY WEARING TWO HATS, WEREN'T YOU? ON THE ONE HAND, YOU WERE THE CHIEF BUILDING OFFICIAL RESPONSIBLE FOR ISSUING TCOS, AND ON THE OTHER HAND, YOU WERE ALSO, UH, THE OWNER'S REPRESENTATIVE IN THE SENSE THAT YOU WERE REPRESENTING THE DEPARTMENT THAT WOULD BE OCCUPYING THE PREMISES? CORRECT. COUNCIL MEMBER, AND I WOULD SAY I WAS EVEN WEARING A THIRD HAT, AND THAT'S TRYING TO RUN THE DAY-TO-DAY OPERATIONS OF A BUSINESS AT DEVELOPMENT SERVICES. OKAY. AND, UH, AS THE CHIEF BUILDING OFFICIAL, CAN YOU EXPLAIN TO THIS PANEL THE DIFFERENCE BETWEEN A TCO AND THE FINAL CO? SO A, A TEMPORARY CERTIFICATE OF OCCUPANCY IS ISSUED WHEN THEY, THE MINIMUM REQUIREMENTS ARE MET, AND THE APPLICANT IS WORKING TO RESOLVE SOME PENDING ISSUES OR CHALLENGES. WHAT WE DO IS WE RUN A CHECKLIST TO SEE WHAT THOSE ITEMS ARE. IF IT IMPACTS THE FIRE DEPARTMENT, WE COORDINATE WITH THE FIRE CHIEF, AND IF WE ARE IN AGREEMENT, WE WILL ISSUE A TEMPORARY CERTIFICATE OF OCCUPANCY FOR [01:50:01] THREE MONTHS, SIX MONTHS, AND THEN RENEW IT ON A REOCCURRING CASE BY CASE BASIS. A FULL CERTIFICATE OF OCCUPANCIES IS WHEN EVERYTHING HAS BEEN CHECKED OFF AND APPROVED, AND THERE ARE NO MORE RESTRICTIONS ON THE APPLICANT. SO THE PURPOSE OF A TCO IS SO THAT THE BUILDING OWNER OR TENANT CAN OCCUPY A BUILDING AT THE DETERMINATION THAT IT IS SAFE AND FULLY FUNCTIONAL FOR OCCUPANCY BEFORE ALL OF THE TECHNICAL REQUIREMENTS HAVE BEEN COMPLIED WITH AND GIVES THEM A PERIOD OF TIME IN WHICH TO COME INTO FULL COMPLIANCE. IS THAT CORRECT? UH, I JUST WANT TO CLARIFY. COUNCIL MEMBER A PORTION OF, OR ALL OF THE BUILDING, SO IT DOESN'T HAVE TO BE THAT WHOLE BUILDING, IT COULD BE A PORTION OF THAT IS BEING SUBSTANTIALLY COMPLETED, UH, WHILE THE APPLICANT IS WORKING ON THE REST OF THE BUILDING. OF COURSE, THAT'S WHEN WE ALLOW THE TCO TO HAPPEN. UH, ONCE, ONCE THE WHOLE BUILDING IS COMPLETED, THEN WE ISSUE THE CERTIFICATE OF OCCUPANCY. RIGHT? AND SO THAT'S WHY THE TCO CAN BE ISSUED FLOOR BY FLOOR OR A PORTION OF THE BUILDING BY PORTION OF THE BUILDING. AND SO, UM, I I HAVE TO ASK THE QUESTION, IF IT WAS, UM, THE CASE AS OUR FIRE MARSHAL HAS MENTIONED THAT THE FIRE ALARM HAD NOT BEEN RE-CERTIFIED FOR MORE THAN 12 MONTHS, AND IT WAS SUBJECT TO 12 MONTH REINSPECTION AND CERTIFICATION, THEN WHY WASN'T THAT KNOWN AT THE TIME THAT THE TCO WAS ISSUED AND EMPLOYEES OF THE CITY RUSHED INTO THE BUILDING COUNCIL MEMBER, UM, DEVELOPMENT SERVICES DOES NOT HAVE ACCESS TO FIRE INSPECTION REPORTS. UH, THE, THEIR PROCESSES ARE, ARE SEPARATE FROM OURS. AND IF THERE'S AN ANNUAL INSPECTION THAT OCCURS, OR REOCCURRING INSPECTIONS THAT'S STRICTLY DONE SEPARATE FROM THE CERTIFICATE OF OCCUP PROCESS, WHOSE RESPONSIBILITY IS THAT? WHOSE RESPONSIBILITY, UH, CAN YOU CLARIFY COUNCIL MEMBER WOOD? UH, THE RESPONSIBILITY TO KEEP UP WITH FIRE INSPECTIONS, THE COUNCILMAN, UH, IF, IF WE PUT THAT AS A CONDITION OF THE TCO, THAT THE, THE, THE ANNUAL INSPECTION OR THE FIRE, UH, SUPPRESSION SYSTEM, UH, TESTING INSPECTION, THAT SHOULD BE PART OF THE TCO. BUT AGAIN, GOING BACK TO WHAT COUNCIL MEMBERS TO MENTIONED, WE WOULD HAVE TO MAKE THAT A REQUIREMENT FOR EVERYONE, NOT JUST OUR OWN BUILDING, BUT ALSO FOR PRIVATE BUILDINGS. WHEN, UH, WHEN, UM, OWNERSHIP CHANGES HANDS, WELL, OKAY, IF IT'S NOT PART OF A TYPICAL TCO PROCESS THAT, ALTHOUGH I THINK IT SHOULD BE, IF IT'S A MATTER OF LIFE SAFETY, IT WAS CERTAINLY IMPORTANT TO THE DECISION TO MOVE OUR EMPLOYEES INTO THE BUILDING. WOULDN'T YOU AGREE WITH THAT? I, I KNOW COUNCIL MEMBER RIDLEY, THAT YOU'RE MENTIONING OUR EMPLOYEES. I THINK FOR US, IT WOULD, IT WOULD BE, IF THERE IS A CONCERN, IT WOULD BE EVERY SINGLE HUMAN BEING THAT MOVES TO A BUILDING AND, AND WHAT, YOU KNOW, ON A TCO. SO IF WE WANTED TO CHANGE OUR, OUR PUBLIC IS AS IMPORTANT AS OUR EMPLOYEES, EVERYONE IS IMPORTANT. SO IF THAT'S GONNA BE THE CHANGES AND THE, AND THE PROCESS ITSELF, THEN WE WILL DO THAT AND WE'LL MAKE THAT AS A, AS A REQUIREMENT MOVING FORWARD. WELL, UH, THAT'S A BIG DECISION TO DECIDE TO INCLUDE SOMETHING IN THE TCO PROCESS THAT CURRENTLY ISN'T, BUT I THINK IT'S CERTAINLY INCUMBENT UPON THE OCCUPANT OF THE BUILDING TO HAVE THAT ON THEIR CHECKLIST BEFORE THEY PUT PEOPLE IN THAT BUILDING TO ENSURE THAT THERE IS A CERTIFIED FIRE ALARM SYSTEM THAT'S OPERATIONAL. UM, I'M SORRY, THE TIME'S UP. UM, SO NOW WE'RE BACK TO, UH, COUNCILLOR MORENO. THANK YOU. I'M GONNA GO BACK TO THE FLOORS THAT WERE OCCUPIED THROUGH A SUBLEASE, AND WERE THOSE REVENUES ACCOUNTED FOR THE O AND M OF THE BUILDING? I, I WOULD LOVE FOR OUR CHIEF FINANCIAL OFFICER TO BE HERE BECAUSE HE PROBABLY WOULD'VE REMEMBERED THAT, UH, WE GENERATED SIGNIFICANT, UH, UM, UM, RENTAL, UH, RETURNS TO, UM, I, I THINK IT WAS OVER A MILLION DOLLARS, AND YES, FOR THAT, I'M SURE, UM, THAT RECOVERED THAT. OKAY. UM, I APPRECIATE THAT THE [01:55:01] THIRD PARTY, UH, EVALUATING THE BUILDING, AND EVEN THOUGH IT WAS NOT AS IN IN DEPTH AS I WAS, WOULD'VE HOPED FOR, DO WE NOT HAVE THE EXPERTISE FOR THE TEAM OR THE MANPOWER, UM, WITHIN THE CITY TO HAVE DONE THAT? UH, INDEPENDENTLY? I, I THINK WE HAVE A VERY CAPABLE BOND AND CONSTRUCTION OFFICE, UH, WHO'S BEEN HANDLING THE $1.25 BILLION BOND PROGRAM. UM, I THINK THIS IS A UNIQUE SITUATION WHERE WE HAD CHALLENGES IN COMMUNICATING AND CHALLENGES AND, AND GETTING DIFFERENT DEPARTMENTS WORKING TOGETHER. UM, I, I WANNA SHARE WITH YOU, UM, AND, AND I KNOW, UH, CHAIR MENDELSOHN VISITED THE, THE BUILDING YESTERDAY. UH, LOTS OF WORK HAS BEEN DONE IN THAT BUILDING. SO IT, IT'S, IT'S NOT A FAILURE TO, TO COMPLETE THE WORK AS MUCH AS IT'S LACK OF COMMUNICATION THAT STRESSED US INTO LONGER TIMES AND, AND A LITTLE BIT MORE OF THE COST AS A RESULT OF THAT INTERACTION. SO, UM, TO SAY THAT WE DON'T HAVE THE EXPERTISE, I THINK THE PROGRAM MANAGER WOULD'VE HONED IN ON ALL OF THE DIFFERENT TRADES AND BE ABLE TO MOVE THINGS FORWARD WITHOUT HAVING, UH, WITHOUT HAVING ANY, ANY MIS MISSTEPS IN, IN THE PROCESS ITSELF. SO I, I'M, I'M NOT GONNA SAY THAT OUR, OUR TEAMS, UH, WERE NOT QUALIFIED. I'M GONNA SAY THAT, THAT WE COULD HAVE USED THE, THE HELP OF A COLLABORATOR, SOMEONE, OR WE SHOULD HAVE BEEN THE COLLABORATORS IN, IN TAKING CARE OF THIS, THIS. SO, NO, I CAN APPRECIATE THAT. EE EITHER WAY. SO, SO THANK YOU FOR THAT. AND, AND YOU ASKED ME SOMETHING I, I WANNA CLARIFY. A LOT OF THOSE LEASES WERE, WERE GETTING READY TO EXPIRE AND A A LOT OF THEM. SO YEAH, WE WOULD'VE GENERATED A LOT BIT OF, OF, OF, OF, OF FUNDS AS A RESULT OF THOSE LEASES, BUT THE MAJORITY OF LEASES, AND THAT'S WHAT MADE OUR DECISION TO FOCUS ON THAT BUILDING. THE MAJORITY OF THOSE LEASES, WE ARE GONNA EXPIRE BY 2022 AND 2023, AND WE LEARNED THAT THEY, THE LEASES WERE INTERESTED IN MOVING SOMEWHERE ELSE. THANK YOU. UM, GOING BACK TO THE FIRE, UM, PANEL AND THE ELEVATORS, WHAT, SO MY UNDERSTANDING IS THAT THOSE ARE BOTH INSPECTED BY FDR AND THE TDLR. IS THAT ACCURATE? SO THE FIRE ALARM SYSTEM WAS ACTUALLY, UH, INSPECTED BY A THIRD PARTY, UH, COMMUNICATIONS CONCEPT. AND WE HAVE A PROPOSAL FROM THEM OR A NEW SYSTEM, OR, RIGHT. AND I'M, I'M GOING, I'M REFERENCING MORE TO THE PERMITTING PROCESS. THE, THE, THE TAGGING OF, UH, THE, UH, TDLR, UM, OF THEM ACTUALLY GOING OUT TO INSPECT BOTH THE ELEVATOR AND THE, UH, FIRE SYSTEM. WHEN WAS THE LAST TIME THAT THOSE HAD, UM, BEEN INSPECTED? SO AS FAR AS THE FIRE SUPPRESSION SYSTEM THAT WAS INSPECTED IN 2022, THE ELEVATORS WERE INSPECTED IN 2023. UM, AND THERE WILL BE REINSPECTED IN 2024. JULY OF 2024. OKAY. THANK YOU. COUNCILLOR AR WILLIS. THANK YOU. SO, UM, I DON'T KNOW IF OTHERS SAW IT IN THE CHAT, SO I ASK THAT IT BE SENT TO ME, UH, ABOUT SOMEONE WHO I, I SUPPOSE, WAS AN EMPLOYEE THAT SAID SEVERAL EMPLOYEES COMPLAINED ABOUT LIFE SAFETY MATTERS TO CHAIN OF COMMAND, AND ALSO SENT EMAILS TO MANAGERS. IT WAS NEVER ABOUT COSMETIC ISSUES. ASK ALL THE EMPLOYEES TO GET ALL THE TRUTH, UH, WHICH I THINK IS NOT A BAD IDEA. I'D BE REALLY INTERESTED IN ANY EMAILS THAT WERE SENT, UH, FROM EMPLOYEES AROUND LIFE SAFETY ISSUES OR REALLY, UH, YOU KNOW, ANY OF THEM. I MEAN, IF YOU'VE GOT PEOPLE WORKING ON SITE WHO ARE EXPRESSING CONCERNS, I'D LIKE TO KNOW ABOUT WHAT THOSE WERE. GIVEN WHERE WE ARE TODAY. I WANNA GO TO APRIL 9TH. AND SO THAT'S, THAT'S THE DAY THAT THE MOVE OUT OCCURRED, IS THAT CORRECT? OKAY. SO LET'S START IN THE MORNING OF APRIL 9TH. AND WHAT PRECIPITATED, UH, YOU KNOW, ON THAT DAY, I MEAN, THAT, THAT LED TO THIS DECISION FOR PEOPLE TO MOVE OUT FOR, FOR YOU ALL TO CALL FOR THAT MOVE OUT? CAN YOU REPEAT THAT, MS? YEAH, IT'S APRIL 9TH AND, UM, SOMETHING HAPPENS THAT A DECISION'S MADE TO MOVE OUT THAT DAY. WHY? UM, AS, AS I MENTIONED BEFORE, UH, I, I THINK THERE WAS SEVERAL EMPLOYEES THAT WERE GOING TO MEDIA OUTLETS, UH, GOING TO COUNCIL MEMBERS, FRANKLY, [02:00:01] AND, AND, AND COMPLAINING TO COUNCIL MEMBERS ABOUT THINGS THAT MAY NOT BE TRUE. AND SO, AS A RESULT OF, UM, FOCUSING ON FINISHING OUT THE BUILDING AND, AND, AND NOT CREATING MORE MINUTIA WHILE WE'RE FOCUSING ON THE BUILDING AND INTERMINGLING THE WORK THAT NEEDS TO HAPPEN WITH, WITH WHAT THE DEPARTMENT FUNCTIONS ARE, I'VE MADE THE DECISION TO MOVE PEOPLE BACK TO MUNK AGAIN, THAT'S NOT A FRONT FACING, UH, DIVISION AND TO INSPECTORS. AND I'VE MADE THAT DECISION SO THEY CAN GO BACK WHILE WE FOCUS ON ALL OF THE FLOORS, UH, SIMULTANEOUSLY WITHOUT HAVING TO, YOU KNOW, WORRY ABOUT WHO'S WANDERING AROUND THE BUILDING. SO I'VE MADE THAT DECISION. I MEAN, IF IT WAS MINUTIAE, IT JUST, IT SEEMS LIKE SOMETHING HAPPENED THAT WAS SUBSTANTIVE ENOUGH TO GAIN MASS TO MAKE A MOVE THAT DAY. I MEAN, AND IT, AND IT'S, YOU KNOW, IT SOUNDS LIKE IT'S AROUND LIFE SAFETY MATTERS. SURE. NO, AND, AND YOU KNOW, I, I APPRECIATE YOU'RE ASKING THAT QUESTION. I'VE HAD CONVERSATIONS WITH, UH, UH, COUNCIL MEMBER RIDLEY, UM, UM, AND WHO HAS HAD SHARED SOME, UH, INFORMATION ABOUT EMPLOYEES AND, AND SOME IRON MILL WORKERS OR UNION COMING TO HIM. AND I SAID, THERE'S ABSOLUTELY NO ISSUES WITH, WITH THE BUILDING IN TERMS OF LIFE AND SAFETY, BUT I DON'T WANNA CONTINUE THIS BECAUSE WE'RE TRYING TO FOCUS ON TAKING CARE OF THE BUILDING. AND I DID NOT WANNA CONTINUE IN THAT MODE OF, OF HE SAID, SHE SAID, WE BLAMED THEM, THEY BLAMED US. I WANTED STAFF TO GO BACK AND REALLY FOCUS ON DOING THEIR WORK AND FEEL IF THEY FELT A LIFE AND SAFETY ISSUE, FEEL THAT THEY ARE BACK IN AND IN A PLACE WHERE THEY USED TO WORK WHILE WE CONTINUE WORKING ON THE BUILDING. OKAY. WELL, I MEAN, I MEAN, WE TALK ABOUT TRANSPARENCY, BUT, BUT THIS, WHEN I FIRST READ THIS, IT FELT SO LIGHT GIVEN THE GRAVITAS OF THIS SITUATION. UM, SO I THINK FILLING IN THE TIMELINES WE'VE ASKED FOR, YOU KNOW, TO GO IN AND THINK THIS THROUGH IN A MORE GRANULAR FASHION TO UNDERSTAND SOME OF THE TIMING OF THESE THINGS, BECAUSE, YOU KNOW, ON THIS PAGE IT TALKS ABOUT JANUARY THROUGH MARCH, 2024, UH, YOU KNOW, STAFF TRANSITIONING TO THE SECOND AND THIRD FLOORS, AND THEN ALL OF A SUDDEN APRIL 9TH, WE'RE MOVING OUT IN ONE DAY, . AND SO, I MEAN, IT SEEMS LIKE SOMETHING HAPPENED IN BETWEEN THERE. UM, AND THEN I'D BE CURIOUS AT ALL THESE POINTS ALONG THE TIMELINE WHEN COMMUNICATION STARTED AND WHAT THE NATURE OF THOSE WERE. I MEAN, I, YOU KNOW, WE MAY HAVE PEOPLE WHO COMPLAIN FOR NO REASON. I DON'T KNOW. BUT IF, IF IT'S A LIFE SAFETY MATTER, I, I JUST, I'D LIKE TO KNOW WHERE THAT FITS IN THIS TIMING AND IF WE ACTED WHEN WE SHOULD HAVE. UM, I'M STILL CONFUSED ABOUT PEOPLE ROAMING AROUND. YOU'RE SAYING PEOPLE WERE ROAMING AROUND TO GO SEE THE WORK ON OTHER FLOORS. THAT'S IT. IT'S JUST, I MEAN, AND THAT WAS HAPPENING FREQUENTLY ENOUGH. I'M, FRANKLY, I'M FRANKLY TALKING TO THE MEDIA AND, AND FABRICATING STORIES AND, AND TALKING TO COUNCIL MEMBERS, WHICH, WHICH TAKES US AWAY FROM THE FOCUS THAT WE'RE TRYING TO DO IN THAT BUILDING. AND, AND SO, YOU KNOW, VERIFYING THE STORIES AND WORKING ON, ON SOME OF THAT, THAT DYNAMIC WHILE WE'RE TRYING TO DO THE WORK AND, AND, UH, IT, IT, IT'S, IT'S EXHAUSTING. IT REALLY IS. WELL, IT IS. UM, SO, AND, AND THERE'S NO COUNCIL, I'M SORRY TO INTERRUPT. THERE'S NO LIFE AND SAFETY. EVERYBODY KEEPS SAYING LIFE AND SAFETY. THERE IS NO LIFE AND SAFETY, OTHERWISE WE WOULDN'T HAVE MOVED PEOPLE THERE IN THE FIRST PLACE. BUT, YOU KNOW, YOU THOUGHT EVERYTHING WAS WORKING AND THEN IT STOPPED WORKING, IS WHAT I'M HEARING TODAY. AND SO THAT DOES SEEM LIKE IT WOULD CREATE A LIFE SAFETY MATTER AND MAYBE SOME PEOPLE WERE TRYING TO CALL OUR ATTENTION TO THAT AND THAT, I MEAN, I, I DON'T KNOW THE NATURE OF THOSE EMAILS OR WHAT THEY SAY, BUT I'M, I'M VERY CURIOUS ABOUT THAT AND TO UNDERSTAND THAT BETTER. THANKS. OKAY. THANK YOU. UM, WE'RE BACK TO YOU COUNCILLOR STEWART. YOU'RE GOOD. OKAY. UH, COUNCILLOR R SCHULTZ, I WANNA GET, SINCE WE HAVE DELVED INTO THE FUTURE, I WANNA UNDERSTAND THE MONEY. SO WE HAD 36, AND YOU DON'T HAVE TO DO IT NOW, BUT I WOULD LIKE TO SEE YOUR 36 MILLION AND THAT INCLUDES EVERYTHING FOR THE, THE, UM, REPAIR AND THE FUTURE OF DEVELOPMENT SERVICES IN THE WHOLE PERMITTING OFFICE AND DEALING WITH ALL OF THAT. CORRECT. DID THE 36 MILLION INCLUDE THE MONEY, AS YOU MENTIONED BEFORE, FOR PROJECT DOCS AND ELA AND SOME OF THE OTHER SOFTWARE AND INTERNAL THINGS THAT ARE NEEDED? I, I THINK WE'RE MIXING THE $36 MILLION WITH WHAT THE COST OF THAT BUILDING IS. [02:05:01] I, I, I WOULD LOVE FOR THE CITY COUNCIL TO FORGET ABOUT THE $36 MILLION AND JUST LOOK AT THE PROJECT COST FOR THAT SPECIFIC BUILDING. WELL, THE REASON WHY I TOTALLY GET THAT, THE REASON, THE ONLY REASON I'M ASKING ABOUT THAT IS BECAUSE YOU'VE GOT FUTURE FUNDING REQUESTS THAT ARE GONNA COME INTO US FOR THIS. AND I WANNA MAKE SURE THAT WE HAVE A FULL UNDERSTANDING OF WHAT'S GONNA BE NEEDED TO TAKE THE PERMITTING OFFICE AND DEVELOPMENT SERVICES TO WHERE IT IS THAT WE EXPECT AND WHERE THE PUBLIC EXPECTS AS PART OF THIS. YOU KNOW, I KNOW WE'RE REDOING SO MANY THINGS AND WE'RE INVESTING HEAVILY IN AREAS THAT HAD BEEN NEGLECTED IN THE PAST, ALL THOSE THINGS. SO I'M ASKING FOR A FULL THEN, ACCOUNTING OF NOT JUST THE BUILDING AND ITS REPAIRS, BUT ALSO WHERE WE'RE GONNA NEED SO THAT WE DON'T SUDDENLY GET HIT UP WITH MONEY THAT SAYS, OH, THE MONEY THAT WE WERE GONNA USE FOR X TO REPAIR THE PERMITTING DEPARTMENT, NOW WE HAD TO PUT INTO THE BUILDING FOR FIRE, OR WHATEVER, WHATEVER. SO I JUST WANNA GET A VERY CLEAR UNDERSTANDING OF THE FULL, THE PAST AND THE FUTURE OF WHERE WE ARE WITH THE, UM, DEVELOPMENT SERVICES, THE WHOLE THING. AND THAT INCLUDES THE STEMMONS BUILDING, WHICH I KNOW YOU'LL HAVE SOME INCOME FROM OTHER DEPARTMENTS WHO WILL BE PAYING PART OF THEIR, UH, PART OF THEIR SHARE. WE, WE WILL PROVIDE YOU THAT, INCLUDING, INCLUDING THE, THE FUNDS THAT WERE ALLOCATED OR EARMARK FOR AELA FOR P DOCS, UH, FOR ANY OTHER IT IMPROVEMENTS, UH, FOR STAFF AUGMENTATION. EXACTLY. BECAUSE WE'VE USED SOME OF THAT. EXACTLY. YOU KNOW, THE, THE FULL GAMUT. WE WILL PROVIDE YOU A FULL BUDGETING, UH, SHEET FOR ALL OF THOSE ITEMS THAT WERE INCLUDED AS PART OF THAT. THANK YOU. INITIAL $36 MILLION THAT GREW TO ABOUT, UM, I, I DON'T WANT TO THROW ANOTHER NUMBER BECAUSE I DON'T WANT TO CONFUSE THE WE'LL THAT NUMBER. WE'LL, SO WE WILL DO FULL, FULL BUDGETING OF EVERYTHING THAT WE'VE EXPENDED TO DATE FROM THAT FUND. THANK YOU. AND THEN JUST STAYING ON THE MONEY CONVERSATION FOR ONE MINUTE, UM, THERE'S A LOT THAT IS ANTICIPATED TO BE TAKEN FROM ARPA, THE 5 MILLION I THINK FROM ARPA, AND THAT'S NEW TO US, AND IT WILL COME TO US. IS THAT CORRECT OR IS, IS THAT PART OF THE REPROGRAMMING THAT WE ALREADY APPROVED? YES, IT WAS ACTUALLY, EXCUSE ME, APPROVED THAT. WELL, IT HASN'T BEEN APPROVED YESTERDAY DURING OUR CITY COUNCIL MEETING, WE PRESENTED THOSE ADJUSTMENTS THAT WE HAVE RECOMMENDED, AND IT WAS PART OF THAT 9.6 MILLION ON YESTERDAY. OKAY. SO UNTIL THAT'S FINALLY ADOPTED BY THE CITY COUNCIL, THE 5 MILLION IS SHOWN THERE AS A LINE ITEM, BUT THAT HAS NOT BEEN FINALIZED AND APPROVED BY THE CITY COUNCIL AT THIS POINT. SO FIVE, IT SHOWS 5 MILLION. YES, MA'AM. GOES TO THIS. IF, IF THAT'S APPROVED BY THE COUNCIL, THAT'S THE ASK. YES, MA'AM. THAT IS THE CURRENT, THAT IS THE CURRENT RECOMMENDATION. OKAY. THANK YOU. THAT'S ALL I HAVE, MADAM CHAIR. THANK YOU. UM, OKAY, I'M GONNA SET MY FIVE MINUTES. THERE WE GO. KEEP ME HONEST THERE. SO IT IS SLIDE THREE WHERE THE SECOND BULLET SAYS DEVELOPMENT SERVICES EVALUATED SPACE THAT WOULD SERVE THEIR DEPARTMENT AND CUSTOMER NEEDS AND EARMARKED 36 MILLION FOR THIS INVESTMENT. SO THAT 36 MILLION WAS NOT ABOUT IT. THIS WAS SOLELY ABOUT THE BUILDING. CORRECT. MY UNDERSTANDING IS THAT THIS MONEY WAS EARMARKED FOR DEVELOPMENT SERVICES FOR SOME IT IMPROVEMENTS AND THE ELA PURCHASE. SO, SO THAT'S, THAT'S MY, SO IN YOUR MIND THE $36 MILLION INCLUDED IT THAT THAT'S WHAT I HEARD. ASSISTANT CITY MANAGER. OKAY. I GUESS JUST SAY, SO I'M GONNA GO THROUGH THE NUMBERS AS I SEE THEM, AND I'M GONNA USE THE SAME TACTIC OF YOU TELL ME WHERE I'M WRONG, RIGHT. YOU HAVE IDENTIFIED THAT THE PURCHASE WAS APPROXIMATELY FOUR POINT $14.2 MILLION, 1.5 MILLION FOR, UM, FURNITURE AND MAKE READY AND 5 MILLION FOR IMPROVEMENTS. THAT WAS THE ORIGINAL NUMBERS. THAT'S 20000000.7. RIGHT? OKAY. BUT THEN IN THIS SLIDE DECK, YOU'RE TELLING US $760,000 FOR FIRE ISSUES. I AGREE. WE DIDN'T KNOW ANYTHING ABOUT THAT 1.8 MILLION FOR ELEVATORS AND FIRE AND, AND SOME ELECTRICAL WORK, BUT WE KNEW ABOUT THE ELEVATORS. SO EVEN IF WE'RE GOING BACK TO THE 36 MILLION, AND NOW I UNDERSTAND THAT IF IT'S INCLUDING IT, THEN ACTUALLY YOU'RE WAY OVER BUDGET LIKE WAY, WAY, WAY OVER BUDGET. SO I WANNA KNOW WHY THAT ELEVATORS WASN'T INCLUDED IN THAT ORIGINAL 20.7 MILLION. YOU SEE WHAT I'M SAYING? BECAUSE WE KNEW ABOUT THAT. WE, WE HAD JLL TELL US, ANYBODY WHO WAS OCCUPYING THE BUILDING WOULD KNOW THAT TWO OF THOSE FOUR MAIN ELEVATORS WEREN'T WORKING. SO [02:10:01] THAT'S THAT PART. AND THEN 5.2 MILLION FOR DATA AND IT, THAT'S IN THE SLIDE DECK. I'M TRYING TO UNDERSTAND, WAS DATA AND IT NOT CONSIDERED AS PART OF THE PURCHASE MAKE READY AND IMPROVEMENTS? BECAUSE CLEARLY YOU COULDN'T MOVE IN WITHOUT COMPUTERS. SO DIDN'T YOU ALREADY ACCOUNT FOR THAT IN THE 20.7 MILLION OR SOMETHING OVER BUDGET IN THE 20.7 AND THEREFORE YOU HAVE NO MONEY LEFT FOR IT? EXCUSE ME. SO TO SPEAK TO THE ELEVATORS. UM, SO THAT WAS INITIALLY, THAT WAS INCLUDED AND WE WERE COUNTING THAT IN THE DEVELOPMENT SERVICES ENTERPRISE FUND, BUT THEN THAT GO, WENT BACK TO AS PART OF THE 5 MILLION FOR IMPROVEMENT? IT WAS INITIALLY, YES. OKAY. BUT THEN, UM, AS IT BECAME APPARENT THAT OTHER GENERAL FUND DEPARTMENTS WERE GONNA BE MOVING IN, UM, WE NEEDED TO REIMBURSE DEVELOPMENT SERVICES FOR SOME OF THE MONEY THAT'S BEEN SPENT ON GENERAL OVERALL BUILDING IMPROVEMENTS. AND SO THAT PART OF THE ELEVATORS WERE, OR PART OF THAT AS WELL. SO, UM, AND WHAT ABOUT THE IT PART? SO THE, I THINK THE REMAINING 2.7 IN IT WAS, WAS FOR FLOORS, UH, SIX THROUGH 11 AND THAT THE FLOORS ONE THROUGH FIVE IS OR IS, IS FUNCTIONAL, IS THAT CORRECT? OKAY. SO I GUESS MY QUESTION IS THIS, THAT BACK WHEN YOU THOUGHT ALL OF THE MONEY FOR THIS PROJECT COULD COME FROM THE ENTERPRISE FUND, YOU'RE STILL 7.7 MILLION HIGHER THAN WHAT YOU EXPECTED TO BE, AND YOU ONLY HAVE $6 MILLION LEFT IN THE ENTERPRISE RESERVE, SO YOU WOULD'VE WIPED OUT THE ENTIRE ACCOUNT. PLUS IF THAT HAD ACTUALLY BEEN A WAY TO FUND IT. SO YES, THERE'S QUITE A FEW REPAIRS THAT HAVE COME UP IN THE INTERIM AS WE'VE GOTTEN INTO THE BUILDING AND REALIZED THE EXTENT OF REPAIRS THAT NEEDED TO BE DONE THAT WERE NOT ENCOUNTERED FOR. AND I, I THINK WE'VE GONE OVER A FEW TIMES OF HOW WE COULD HAVE MITIGATED THAT INITIALLY. SO, UM, MANAGER TOLBERT, I WOULD LOVE TO WORK WITH YOU ON EXACTLY HOW TO PRESENT THE NUMBERS BECAUSE I'D LIKE A SEPARATE COLUMN FOR, UM, A COUPLE DIFFERENT THINGS AND, UM, I THINK THAT WOULD PROVIDE THE CLARITY THAT, UM, BOTH COUNCIL MEMBER SCHULTZ AND I ARE ASKING FOR, IF THAT WOULD BE ALL RIGHT. UM, LEMME SEE HOW I GOT 30 SECONDS. OKAY. THE LAST QUE THE LAST QUESTION I ASK YOU ON THIS ROUND IS WHAT KIND OF WORK DID THEY DO ON FLOORS TWO, THE, THOSE 20 TO 25 EMPLOYEES AND THE FOUR PEOPLE WHO WORKED ON THREE, AND WHY WEREN'T THEY WORKING ON FIVE WITH THOSE OTHER 40 EMPLOYEES? AND PLEASE DON'T TELL ME IT'S ABOUT SQUARE FOOTAGE. 'CAUSE I WAS JUST CALCULATING THAT I THINK WE HAVE ALMOST 50 PEOPLE JUST IN THE MCC AREA AND A FLOOR IN THAT BUILDING IS AT LEAST THREE TIMES AS BIG. SO I'M JUST WONDERING WHY EVERYBODY WASN'T ON FIVE SINCE YOU HAD THAT CO AND WHAT WERE, WHAT KIND OF WORK WERE THEY DOING ON TWO AND FOUR AND TWO AND THREE? THANK YOU, COUNCIL MEMBER. SO FLOOR FIVE WAS STRICTLY OUR COMMERCIAL PLAN REVIEW TEAM AND INSPECTION TEAM. AND ON FLOOR TWO, WE HAD OUR RESIDENTIAL TEAM. SO WE DIDN'T WANNA MIX COMMERCIAL WITH RESIDENTIAL, IT WAS JUST A MATTER OF HOW WE LAID OUT THE FLOORS. FLOOR THREE, UM, WE HAD FOUR TEAM MEMBERS THERE, THAT WAS OUR SCHOOL TEAM. AND SO THE WORK THEY WERE DOING WAS REALLY, UH, SPECIFIC TO THEIR ROLES AND RESPONSIBILITIES, AND IT WAS JUST A MATTER OF HOW WE LAID IT OUT. THANK YOU FOR THAT. UM, COUNCIL MEMBER GRACIE. COUNCIL MEMBER RIDLEY. THANK YOU, MADAM CHAIR. I'D LIKE TO REQUEST, UM, SUBSEQUENT TO THIS MEETING, A LIST OF THE REQUIRED ISSUES IN THE TCO THAT WERE NECESSARY TO OBTAIN THE CO ULTIMATELY AND THE LENGTH OF TIME GIVEN THE CITY TO REACH THAT POINT. UM, NEXT I WOULD LIKE TO ASK, UM, WHAT PROMPTED THE FIRE DEPARTMENT OR THE FIRE, UH, MARSHAL TO, TO INSPECT THE BUILDING FOR COMPLIANCE IN FEBRUARY OF THIS YEAR? AS REFLECTED ON SLIDE 10, COUNCIL MEMBER THAT WAS, UH, UH, DRIVEN BY A COMPLAINT THAT WAS, THAT WAS RECEIVED BY THE CITY OF THE HOUSE, AND THAT WAS FROM A SPOUSE OF ONE OF THE OCCUPANTS OF THE BUILDING. NOT SURE ABOUT THE DETAIL, WHICH IS NO, IT WAS A COMPLAINT. AND THE COMPLAINT WAS ABOUT THE FIRE ALARM SYSTEM, WASN'T IT? [02:15:04] I BELIEVE THERE WERE OTHER, OTHER ITEMS THAT WERE IDENTIFIED AND I NEED, WE CAN GET BACK WITH YOU ON THAT. OKAY. BUT THAT WAS ONE OF THE ITEMS THAT THEY COMPLAINED ABOUT, WASN'T IT? I BELIEVE SO, YES. BECAUSE THAT'S WHAT TRIGGERED SOMEONE AT CITY HALL TO CALL THE FIRE MARSHAL AND ASK FOR A COMPLETE INSPECTION OF THE BUILDING. WE DON'T KNOW IF THAT COMPLAINT WAS SPECIFIC TO THE FIRE ALARM. THE FINDINGS WERE, UM, THE FINDINGS WERE SOME FAULTS IN THE FIRE ALARM, CORRECT? WELL, WE UNDERSTAND WHAT THE FINDINGS WERE. I'M TRYING TO GET AT WHAT TRIGGERED THAT INSPECTION SINCE WE DIDN'T HAVE ONE AT THE TIME WE ACQUIRED THE BUILDING, WE DIDN'T HAVE ONE AT THE TIME THAT THE TCO WAS ISSUED. WE DIDN'T HAVE ONE AT THE TIME. WE PUT EMPLOYEES IN THE BUILDING. WHY WAS ONE DONE IN FEBRUARY OF THIS YEAR? WE WE'RE NOT SURE WHAT THE COMPLAINT WAS. AND WE CAN GET A COPY OF THAT. WE CAN HAVE IT. I I JUST, I DON'T WANNA JUST SAY BLINDLY THAT THE COMPLAINT WAS ABOUT THE FIRE ALARM. IT COULD HAVE BEEN SOMETHING ELSE. AND SO WE CAN GET YOU A COPY OF THAT. WELL, IT'S MY UNDERSTANDING THAT IT WAS ABOUT THE FIRE ALARM SYSTEM AND THAT APPROPRIATELY TRIGGERED THE FIRE INSPECTION. AND AFTER THAT WAS COMPLETED, WAS THERE ANY CONSIDERATION GIVEN AT THAT TIME TO REMOVING THE EMPLOYEES FROM THE BUILDING UNTIL THE FIRE SYSTEM COULD BE BROUGHT INTO COMPLIANCE COUNCIL MEMBER RIDLEY? UM, AS, AS WE MENTIONED, UH, FIRE DEPARTMENT TYPICALLY WILL ALLOW OCCUPANTS TO REMAIN IN A BUILDING WITH A FIRE WATCH. AND SO THAT WAS THE APPROACH THAT TEAM TOOK OF, SO THERE WAS NO CONSIDERATION AT THAT POINT IN TIME TO REMOVING PEOPLE FROM THE BUILDING UNTIL THE SYSTEM COULD BE MADE FULLY COMPLIANT COUNCIL MEMBER. THERE WAS NO RECOMMENDATION FOR THAT. A AGAIN, WE, WE, WE OPERATED AS BEST PRACTICE THROUGHOUT OTHER CITIES THROUGHOUT THE COUNTRY. IF THE FIRE MARSHAL ALLOWS US TO REMAIN WITH A FIRE WATCH, WE WILL REMAIN IN, IN OCCUPANCY. AND, UH, FINAL ISSUE. WHAT WILL THE EFFECT ON, UH, PROCESSING OF BUILDING PERMITS BE AS A RESULT OF THE RELOCATION OF EMPLOYEES? I'VE HEARD FROM DEVELOPERS, BUILDERS THAT THEY'RE VERY CONCERNED ABOUT THAT ISSUE. COUNCIL MEMBER, UH, I, I COMPLETELY UNDERSTAND WHY THEY WOULD BE CONCERNED. HOWEVER, WE HAVE NOT, UH, SEEN ANY NEGATIVE IMPACTS TO OUR PERFORMANCE. UH, AS YOU KNOW, WE'RE, WE, WE WILL BE REPORTING EVERY SINGLE MONTH, UH, OUR PERFORMANCE METRICS. AND IF YOU NOTICE A, A SUBSTANTIAL DECLINE IN OUR PERFORMANCE, BY ALL MEANS HOLD US ACCOUNTABLE FOR THAT. BUT IF THERE ARE CUSTOMERS WHO ARE CONCERNED, PLEASE FEEL FREE TO DIRECT THEM TO ME. BUT RIGHT NOW, THERE IS NO NEGATIVE IMPACT ON OUR PERFORMANCE. AS A MATTER OF FACT, I'M VERY PROUD OF HOW THE TEAM RESPONDED BECAUSE WITHIN AN HOUR OR TWO, THEY HAD RELOCATED BACK TO MACH, WHICH PROVES THAT WE'VE BEEN VERY AGILE AND SCALABLE. WELL, THAT'S COMMENDABLE, BUT, UH, SINCE YOU HAD ALREADY PUT THE, ALL THE SYSTEMS IN PLACE IN THE NEW BUILDING, HOW WERE YOU ABLE TO TRANSFER THE COMPUTERS AND THE IT AND ALL OF THAT BACK TO MACH OVERNIGHT? I I'M JUST CURIOUS. YEAH. COUNCIL MEMBER, AGAIN, IT'S A TESTAMENT TO OUR TEAMWORK. MM-HMM. , UH, OUR VENDORS, OUR GOOD RELATIONSHIP WITH THEM. UH, WE HAVE FANTASTIC, UH, LEADERS IN OUR DEPARTMENT WHO ARE ABLE TO, AGAIN, MAKE THINGS HAPPEN AND GET IT DONE QUICKLY. UH, THANK GOODNESS WE'RE TRANSITIONED OVER TO ONLINE SUBMITTALS. SO THE TEAM MEMBERS OVER THERE WERE REALLY JUST WORKING VIRTUALLY AND REMOTELY. UH, AND SO IT MADE IT VERY EASY FOR US TO MOVE THEM BACK. HOWEVER, I AM SENSITIVE TO THE STRESS THAT MAY HAVE CAUSED THEM. AND SO I HAVE PERSONALLY APOLOGIZED TO THEM WHEN I MEET WITH THEM ON A REOCCURRING, UH, BASIS. AND, AND HOPEFULLY AS WE TRANSITION AND MOVE IN, WE'RE WE WILL GET IT RIGHT NEXT TIME. AND SO WE'RE REALLY EXCITED ABOUT THE FUTURE. WELL, YOU'RE TO BE COMMENDED FOR THAT RAPID AND EFFICIENT TRANSITION. THANK YOU. THANK YOU. UM, COUNCILOR RENO. THANK YOU, MADAM CHAIR. ON PAGE FIVE, I'M GOING DOWN THE LIST OF PROJECT SUMMARY. IS THERE CURRENTLY ANY ISSUES WITH THE HVAC SYSTEM ON ANY OF THE FLOORS THAT WERE OCCUPIED OR FOR THAT MATTER, ANY OF THE OTHER FLOORS ON THE FIRST FIVE FLOORS? WE'RE NOT AWARE OF ANY. UM, HOWEVER, UNDERSTANDING THAT THIS IS AN OLD BUILDING, IT'S 40 PLUS YEARS, THERE'S DEFICIENCIES, AND WE HAVE MADE, [02:20:01] UH, PLANS TO MAKE IMPROVEMENTS, UH, TO THE HVAC SYSTEM AT WHAT COST. I BELIEVE THAT'S, THAT'S PART OF, UM, IF YOU GIMME A SECOND, THAT'S PART OF THE LONG-TERM CAPITAL COST THAT WE HAVE ON SLIDE 17. I THINK YOU ASKED FOR MORE SPECIFICS, AND IT'S AT THE COST OF OVER A 10 YEAR PERIOD OF TWO, TWO AND A HALF MILLION DOLLARS FOR CHILLERS AND, AND COMPONENTS. THANK YOU. AND, AND YOU'RE RIGHT. WHAT THE BUILDING NEW OR OLD, SOME OF THESE THINGS JUST HAPPEN, UH, BUT JUST TRYING TO FORECAST IF WE ALREADY ANTICIPATE ON SOME OF THAT. UM, I WANT TO AGAIN, UH, COMMEND, UH, YOU ALL FOR STANDING OR SITTING HERE AND TAKING ACCOUNTABILITY AND, YOU KNOW, WITHOUT GOING TOO FAR, UH, BEHIND US AND MOVING FORWARD, UM, MADAM, UH, CITY MANAGER, UM, I, I DO WANNA THANK YOU AND, AND YOUR LEADERSHIP TEAM FOR, FOR THEM SITTING HERE AND, AND TAKING THESE, THESE HITS. UM, I LOOK FORWARD TO, UH, PUTTING BEST PRACTICES IN PLACE TO ENSURE THAT THIS DOESN'T HAPPEN, UH, UP THE ROAD, AND THAT WE'RE TREATING OUR, OUR RESIDENTS, UH, MONEY WITH, UH, WITH TRANSPARENCY AND THAT WE ARE, UM, BEING HELD ACCOUNTABLE. AND SO, ALSO KNOWING, I WILL SAY THIS, I UNDERSTAND THAT HAVING, UM, A WAIVER OR HAVING A, UH, FIRE WATCH ON HAND, UM, GIVES US THE OPPORTUNITY TO NOT HAVE TO NOTIFY, UH, INDIVIDUALS IN THE BUILDING. BUT MOVING FORWARD, ESPECIALLY, WE HAVE SOMEWHERE FOR THESE PEOPLE TO GO TO. WE, WE SHOULD LET THEM KNOW THAT WHAT'S GOING ON. UM, IF WE HAD NOWHERE ELSE FOR THESE PEOPLE TO GO, I, IT, IT WOULD BE A LITTLE MORE UNDERSTANDABLE. BUT KNOWING THAT WE HAD SOMEWHERE ELSE FOR THESE PEOPLE TO COME BACK TO, UM, I, I WOULD'VE PREFERRED TO HAVE HAD THAT. THANK YOU. THANK YOU. UM, SO INFORMALLY, IT LOOKS LIKE THERE WERE NO OTHER QUESTIONS. DID I MISS ANYBODY? ANYBODY ELSE HAVE ANYTHING ELSE THEY WANTED TO ASK? NO. SO MANY PEOPLE HAVE THANKED YOU. I'M GONNA SAY THANK YOU. WE'VE HAD EXTENSIVE QUESTIONS. YOU HAVE TAKEN THEM IN STRIDE AND GIVEN, UM, I THINK THOROUGH ANSWERS AND I APPRECIATE IT. WE MAY HAVE SOME FOLLOW UPS, BUT IN THE MEANTIME, THANK YOU VERY MUCH. UM, THERE IS ONE MORE ITEM, UM, AND THIS IS OUR CONSIDERATION, THIS ITEM B CONSIDERATION OF REQUESTING THE OFFICE OF THE CITY AUDITOR TO CONDUCT OR FACILITATE A LIMITED SCOPE AUDIT OR INVESTIGATION OF THE CITY'S DUE DILIGENT PROCESS FOR THE PURCHASE OF THE 2,800 NORTH SUMS FREEWAY OFFICE BUILDING AND SUBSEQUENT IMPROVEMENTS, INSPECTIONS, PERMITTING ACTIVITIES COMPLETED BEFORE THE DECISION TO START MOVING EMPLOYEES INTO THE BUILDING, INCLUDING COMPARING THE PRACTICES OBSERVED TO INDUSTRY PRACTICES. I'LL SAY THERE'S BEEN A COUPLE OF COMMENTS MADE TO ME THAT COULD, THAT IF, IF WE DECIDE TO ASK THE AUDITOR TO DO THAT, WHICH WE CAN ONLY ASK, UM, THAT WE MIGHT ALSO INCLUDE, UM, AN INQUIRY INTO THE, UM, COMMENTS THAT HAVE BEEN MADE TO MANY OF US BY EMPLOYEES IN DEVELOPMENT SERVICES ABOUT WHAT HAPPENED SO THAT IT WOULD INCLUDE THAT SCOPE. BUT, UM, UH, OUR AUDITOR, MARK SWAN IS ON VACATION AND I KNOW THAT ANATOLE, UH, DKI IS HERE. YEAH. UM, HI. UM, AND SO IF, IF THE COMMITTEE ASKED YOU TO DO THAT, WOULD YOU HAVE THE BANDWIDTH BE ABLE TO ADD THAT? SO WITHOUT A MICROPHONE, I'LL JUST SAY THE ANSWER WAS THAT SHE WOULD TAKE IT BACK TO THE AUDITOR AND THEY WOULD GET BACK IN TOUCH WITH US WITHOUT THE SECOND PART THAT YOU'LL TAKE IT BACK TO HIM. SO THE QUESTION IS, UM, IF YOU HAVE INPUT OR ADVICE ON THIS, I SEE COUNCIL MEMBER SCHULTZ. THANK YOU, MADAM CHAIR. I THINK THAT IT'S NOT A BAD IDEA, BUT TIME-WISE, WHAT, WHAT I WOULD LIKE TO SEE THAT MIGHT MAKE THE AUDIT MORE EFFICIENT AND, UH, POWERFUL WOULD BE IF WE'RE ABLE TO GET THE INFORMATION THAT WE'VE REQUESTED FROM THIS BRIEFING. AND I KNOW OUR NEW INTERIM CITY MANAGER IS WORKING DILIGENTLY ON ALSO GETTING ALL OF THAT DATA. SO MAYBE ONE MORE REPORT [02:25:01] BACK TO US AND THEN WE MAKE THE DECISION ON WHETHER OR NOT THERE STILL NEEDS TO BE AN AUDIT. DOES THAT MAKE SENSE? I UNDERSTAND, UH, YOUR COMMENTS. UM, I'LL JUST SAY THAT I THINK THAT THERE CAN BE A CONCURRENT TRACK. SO WE'VE ALREADY SAID WE'RE GONNA MEET MONDAY TO FIGURE OUT A FORMAT FOR THE FINANCIALS. I THINK THAT COULD BE HAPPENING, WE CAN STILL SCHEDULE A SECOND MEETING FOR SOME OF THE FOLLOW UP QUESTIONS, UM, THAT MIGHT NEED A LITTLE BIT OF, UM, TIME FOR THEM TO PULL TOGETHER, UM, INCLUDING A REVISED TIMELINE WHERE IT'S, YOU KNOW, YOU SNEEZED ON MONDAY AND YOU KNOW, YOU USED TWO TISSUES, NO, MAYBE NOT THAT CLOSE, BUT, BUT A LITTLE BIT MORE DETAIL THAN WHAT WE, WE GOT. AND SO I, I WOULD VERY MUCH LIKE TO DO THAT FOLLOW UP. I COMPLETELY AGREE. HOWEVER, UM, I FEEL LIKE WE HAVE A GOVERNANCE ROLE, NOT A MANAGEMENT ROLE. AND HAD I BEEN A MANAGER, I WOULD PURSUE THINGS DIFFERENTLY. BUT IN GOVERNANCE, I REALLY FEEL LIKE THERE'S CERTAIN THINGS THAT ARE NOT OUR PLACE TO DO, BUT THEY ARE THE AUDITOR'S PLACE. AND, UM, IF WE WOULD LIKE TO CONTINUE TO, UM, UNDERSTAND WHAT HAPPENED AND WHY, THEN I THINK THAT'S A ROUTE TO GO. IF YOU'RE SATISFIED WITH WHERE WE'RE AT, UM, WITH THE ADDITION OF, OF THIS EXTRA INFORMATION WE'RE STILL GONNA PURSUE EITHER WAY, THEN WE DON'T HAVE TO DO THAT. IT'S A DECISION OF THE COMMITTEE. AND, UM, YOU KNOW, I WELCOME YOUR FEEDBACK THERE. THE, THE, THE SCOPE OF OF THE AUDIT, IT WOULD BE JUST TO KIND, THERE IT IS, ANNA. UM, I THINK IT HELPS, UH, IF, IF FOR NOTHING ELSE, AND AGAIN, NOT NECESSARILY FROM A GOTCHA PERSPECTIVE, BUT HOW CAN WE DO BETTER THE NEXT TIME FROM THAT PERSPECTIVE? I THINK IT IT CAN ABSOLUTELY HELP. SORRY, MAY I, AND THAT IS TO THAT POINT THEN MAYBE THE SCOPE INCLUDES LIKE THE PRACTICES OF OUR BUILDING ACQUISITIONS AT LARGE BECAUSE THERE'S SO MANY GOOD LESSONS THAT THEY'VE LEARNED AND, AND I KNOW JUST FROM BEING PART OF A BUILDING, YOU KNOW, OTHERS THAT THERE'S PROBABLY GOOD PRACTICES THAT COULD BE AUDITED IN GENERAL AS, AS OPPOSED TO, LIKE YOU SAID, THAT, SO WE HAVE A, UM, A, A STRANGE GROUP OF, OF PEOPLE WHO ARE ON THIS COMPARED TO MAYBE A-G-P-F-M WHERE, UM, A REGULAR AUDIT IS NOT A GOTCHA, IT'S A, LET ME DEFINE A SCOPE, LET ME GO IN AND VERIFY IT. AND VERY OFTEN WHAT THEY ARE DOING IS, UM, THEY'RE, THEY'RE CATEGORIZING BY RISK AND THEN THEY'RE MAKING MANAGEMENT RECOMMENDATIONS AND THEN THE MANAGER OR THE MANAGER'S OFFICE WILL, UM, ACCEPT OR NOT AND RESPOND. AND, AND I THINK THERE'S SOME NEGOTIATIONS THAT HAPPEN. UM, WOULD YOU LIKE TO, TO ELABORATE ON THAT? AS YOU JUST MENTIONED, ALL OF WHAT YOU JUST SAID, WE'D GO BACK AND TAKE A LOOK AND CONSIDER ALL THE COMMENTS THAT WERE MADE HERE TODAY. UM, TAKE A LOOK AT WHAT THE SCOPE WOULD WANNA BE, AND THEN WE'D GO INTO SOME OF THE THINGS THAT I'VE HEARD WERE, UH, PRACTICES ABOUT THE FIRE CODE AND REQUIREMENTS FOR CERTIFICATE OF OCCUPANCY. SO ALL THOSE COMMENTS WILL BE TAKEN INTO PLACE AS WELL AS EMPLOYEE, UM, CONCERNS. AND WE CAN DEFINITELY PUT SOMETHING TOGETHER IF Y'ALL, IF YOU, IF THE COMMITTEE IS INTERESTED. COUNCIL. OKAY. SO WE, WE TAKE INTO CONSIDERATION WHAT WAS SAID, LET'S SAY WITH RESPECT TO CURRENT, THE CURRENT, UM, REQUIREMENTS FOR A TEMPORARY CO. BUT THEN DO YOU, ARE YOU GOING TO MAKE A RECOMMENDATION BEYOND THAT? AND THIS, I MEAN, WE HAVE GATHERED A LOT OF INFORMATION TODAY, IS WHAT I SEE. I HAVE A VERY DIFFERENT UNDERSTANDING BECAUSE I THINK OF THEIR WILLINGNESS TO BE TRANSPARENT AND TO GO THROUGH THE DETAILS WITH THIS. SO I'M TRYING TO UNDERSTAND THE PURPOSE OF THE AUDIT. SO WOULD YOU ENVISION THAT THE AUDIT WOULD MAKE A RECOMMENDATION THAT WOULD BE SOMETHING ALONG THESE LINES OF, WE'VE LOOKED AT OTHER CITIES AND IT'S COMMON, AND I'M MAKING THIS UP, I DON'T KNOW THIS TO BE TRUE, IT'S COMMON TO HAVE A CHECKLIST AND WE WOULD RECOMMEND THIS KIND OF CHECKLIST. IT IS COMMON TO DO THIS AND WE WOULD RECOMMEND THAT. IS THAT WHAT YOU WOULD ENVISION? WE COULD ENVISION SOMETHING LIKE THAT ALONG WITH, UM, WHAT YOU WERE ASKING ABOUT WHAT ARE THE CURRENT PROCEDURES AND HOW THEY COULD BE IMPROVED AND WHAT ARE THE OTHER CITIES DOING THAT WOULD HELP US, UM, DO THIS BETTER GOING FORWARD? BUT THAT'S THE AUDITOR'S OFFICE WHO MAKES THAT IT WOULDN'T BE THE ASSISTANT, OUR INTERIM CITY MANAGER WITH FEEDBACK FROM ACTUAL PEOPLE WHO ARE DOING IT FOR THE CITY NOW. I MEAN, IT SEEMS TO ME THIS IS A, I'M SORRY, GO AHEAD, KIM. THANK, THANK YOU SO VERY MUCH. IF I COULD JUMP IN FOR JUST A MINUTE, AND I DON'T WANNA DERA OR, OR TELL YOU WHAT YOU CAN OR CANNOT DO, BUT ONE OF THE THINGS THAT WE DEFINITELY WANTED TO DO TODAY WAS TO ANSWER QUESTIONS, WHICH I THINK WE'VE HOPEFULLY ACCOMPLISHED THAT. I THINK THERE'S SOME ADDITIONAL [02:30:01] INFORMATION THAT YOU'RE ASKING FOR US TO PROVIDE, WHICH WE WILL. UM, BUT ONE OF THE THINGS THAT WE WANTED TO DO GOING FORWARD, IN ADDITION TO TALKING ABOUT HOW DO WE MOVE FORWARD, WAS ALSO GOING BACK AND HAVING A THIRD PARTY THAT REALLY SPECIALIZES IN THIS WHOLE AREA TO HELP US DEVELOP THE GUIDELINES, A PLAYBOOK, WHAT DO WE DO WHEN WE LOOK AT IT, BUILDING ACQUISITIONS AND WHAT IS THE BEST PRACTICE BECAUSE THAT'S WHAT THEY DO. AND SO THAT WAS GONNA BE A PART OF OUR NEXT STEP. UM, BUT AGAIN, I UNDERSTAND THE CONCERNS AROUND THE AUDIT PIECE, BUT I DO BELIEVE THAT WE WILL ACCOMPLISH A LOT OF WHAT IS BEING STATED RIGHT NOW BY HAVING THAT THIRD PARTY BE ABLE TO PROVIDE THIS. THIS IS SOMEBODY WORKING TOTALLY INDEPENDENT OF THE DEPARTMENT, BUT THEY HAVE THE EXPERTISE IN THE INDUSTRY TO DO IT. AND SO THAT IS SOMETHING THAT WE WERE PLANNING TO DO AS PART OF OUR NEXT STEPS. THANK YOU. SO THE, THE ROLE OF THE AUDITOR IS NOT, UM, LIKE A FINANCIAL AUDIT, THAT'S OUR OUTSIDE AUDITORS, BUT OUR INTERNAL AUDITORS ARE MEANT TO, UM, IMPROVE OUR PROCESSES TO, UM, TO HELP US BETTER DEFINE IT WITHOUT MANAGEMENT BEING INVOLVED. SO, AND I SAY THIS WITH ALL DUE RESPECT, IF MANAGEMENT HIRES A CONSULTANT, THEY STILL CAN MODIFY THOSE RECOMMENDATIONS. THEY'RE PAYING THEM AND THAT HAS HAPPENED. THAT IS WHAT HAPPENS. AND THAT'S A FACT. BUT THE AUDITOR, THAT'S WHY THEY REPORT TO COUNCIL TO INDEPENDENTLY ADVISE US OF THIS IS THE BEST PRACTICE. SOMETIMES THE AUDITS ARE PRETTY ROUGH AND SOMETIMES THEY'RE NOT AT ALL. AND THEY SAY, ACTUALLY IT'S FUNCTIONING VERY WELL. YOU HAVE VERY LOW RISK IN MANY AREAS. I THINK WE CURRENTLY HAVE, UM, AN AUDITOR THAT IS NOT A GOTCHA PERSON. HE'S REALLY LOOKING TO HOW TO MAKE US THE BEST CITY WE CAN. UM, SO YOU KNOW, IT'S MY, UM, IT'S, IT'S MY OPINION THAT THIS COULD BE HELPFUL TO COUNCIL MEMBER SCHULTZ'S POINT THAT MAYBE SHE'D LIKE TO SEE MORE INFORMATION BEFORE WE CONSIDER THIS. I'M FINE WITH THAT AS WELL. BUT, UM, IT WOULD JUST DELAY THAT PROCESS LONGER. AND IF THERE WERE INDEPENDENT TRACKS, EVEN WITH AN OUTSIDE CONSULTANT HELPING ALL THESE DISPARATE DEPARTMENTS THAT CLEARLY WE'RE NOT COMMUNICATING, I THINK WE HEARD THEM SAY THAT MULTIPLE TIMES. IF THEY CAN GET A HANDLE ON IT INTERNALLY, I THINK THAT'S ONE THING, BUT IT'S ALL DALLAS FOCUSED. WHERE I THINK WHAT I OFTEN SEE WITH THESE AUDITS IS THAT THEY'RE LOOKING AT WHAT'S REALLY GOOD IN THE NATION. LIKE HOW COULD WE BE BETTER THAN JUST DALLAS? AND SOMETIMES THERE'S NOT A LOT OF ROOM FOR IMPROVEMENT AND SOMETIMES THERE'S A LOT. AND SO I THINK, YOU KNOW, WE'RE PRETTY AWARE THAT THERE'S A PROBLEM HERE, RIGHT? AND I, I AM ADVOCATING FOR A BIGGER VIEW OF WHAT COULD BE IMPROVED. BUT IF THAT'S NOT THE WILL OF THE COMMITTEE, IT'S NOT THE WILL OF THE COMMITTEE. IF I CAN ADD TO, THE ONLY OTHER REASON, AGAIN, IS FOR ME IT'S NOT A GOTCHA. I'VE BEEN THROUGH SOME OF THESE AUDIT AND THEY ARE SOME, BUT IN THIS CASE, BECAUSE THIS CONSULTANT IS REALLY GONNA BE LIMITED TO ONE, THIS, THIS BUILDING IF I'M CORRECT, AND THIS AUDIT WILL REALLY HELP US TAKE A LOOK AT THE ENTIRE PROCESS. SO THAT'S, WE SHOULD, WE SHOULD LOOK AT THE ENTIRE PROCESS. BUT I UNDERSTOOD THAT TO BE EITHER THAT THAT WOULD BE A PART OF IT, IT'S REALLY ABOUT A ROADMAP FOR HOW WE DO THIS. NOT JUST FOR ONE DEPARTMENT, NOT JUST FOR THIS PROJECT, BUT FOR HOW WE DO IT OVERALL. AND I THINK IT WOULD BE A WONDERFUL TOOL FOR OUR REAL ESTATE TEAM TO HAVE SO WE'RE NOT HAVING THESE CONVERSATIONS GOING FORWARD. SO IT WOULD INCLUDE THAT IN THE SCOPE. UM, AND SO WE REALLY WANTED TO MAKE SURE THAT IT WASN'T JUST, HERE'S HOW WE'RE GONNA MOVE FORWARD WITH OPENING THE FACILITY, BUT IT'S REALLY ABOUT HOW DO WE ENSURE THAT WE DON'T MAKE THOSE SAME MISTAKES AGAIN, HOW DO WE LOOK AT HOW THIS IS HANDLED IN THE INDUSTRY? I HEARD THAT COMMENT IN EARLIER, WE ARE NOT IN THIS BUSINESS, YOU KNOW, THIS IS NOT WHAT WE DO. AND SO IT'S REALLY HAVING THAT EXPERTISE TO BE ABLE TO DEVELOP THAT FOR US. SO NOW WE HAVE A GUIDE, NOW WE HAVE THIS TOOL THAT WE WOULD USE AND IT WOULD OUTLIVE, HOPEFULLY US AND OTHERS, BUT IT WOULD GIVE US WHAT WE NEED GOING FORWARD. AND SO THAT WAS THE INTENT. UH, DEFINITELY WOULD, WOULD WELCOME ANY FEEDBACK ON HOW WE WERE PLANNING TO DO THAT. BUT WE REALLY WANTED TO GET TO, WE STILL HAVE A BUILDING TO OPEN. LET'S FOCUS ON THE THINGS THAT WE NEED TO DO TO MOVE FORWARD. WE STILL NEED TO MAKE PROBABLY A LOT MORE, UM, AS IT RELATES TO SOME OF THOSE ESTIMATED COSTS. AND THAT'S WHY THE WORD ESTIMATED IS THERE. WE REALLY DO WANNA HAVE THE EXPERTISE COMING IN TO HELP US REALLY IDENTIFY WHAT THOSE TRUE COSTS ARE. SOME OF THOSE NUMBERS MIGHT CHANGE, BUT I THINK IT'S GONNA BE IMPORTANT FOR US AS WE'RE WALKING THROUGH THAT PROCESS THEN TO DO THAT STEP BACK AND MAKE SURE THAT WE DON'T DO OR MAKE THE SAME MISTAKES GOING FORWARD. SO I DO APPRECIATE THE COMMENTS. I UNDERSTAND THE AUDIT PIECE, UH, CHAIR, UH, MIDDLESTON, BUT I DID WANT IT TO TAKE AWAY FROM WHAT WE ALSO NEED GOING FORWARD OVERALL FROM AN INDUSTRY PERSPECTIVE. WELL, UM, I'M WILLING TO ENTERTAIN A MOTION RELATED TO, UM, [02:35:01] ITEM B IF SOMEONE WOULD LIKE TO MAKE ONE, TO MAKE A MOTION TO, UH, TO ENTERTAIN ITEM B, TO TO MOVE FORWARD WITH THAT, TO MOVE FORWARD WITH THAT AUDIT IS A SECOND FOR THAT MOTION. I THOUGHT WE WANTED TO EXPAND THE SCOPE. NO, UM, EXPAND THE SCOPE TO INCLUDE THE EMPLOYEE COMPLAINTS. YES. TO EXPAND THE SCOPE, TO ALSO INCLUDE EMPLOYEE COMPLAINTS AS WELL. SO THE QUESTION IS IF EITHER OF YOU WOULD LIKE TO MAKE A SECOND TO THAT MOTION. AM I ALLOWED TO SECOND A MOTION? I AM. OKAY, THEN I'LL SECOND IT. UM, SO, UM, ALL THOSE IN FAVOR, PLEASE SAY AYE. OKAY. I'LL SAY AYE. I'LL SAY AYE. OKAY. SO THAT'S UNANIMOUS. OKAY. ALL RIGHT. SO WE'LL MOVE FORWARD, I THINK WITH PARALLEL TRACKS THAT I THINK WILL COMPLIMENT EACH OTHER. THANK YOU FOR BEING HERE. UM, AND WITH THAT, IT'S ONLY 5 41 AND WE'LL ADJOURN. ADJOURN THE MEETING. * This transcript was created by voice-to-text technology. The transcript has not been edited for errors or omissions, it is for reference only and is not the official minutes of the meeting.