[00:00:02] NOW 1:03. [Economic Development on November 4, 2024.] WE CALL THE ECONOMIC DEVELOPMENT COMMITTEE TO ORDER SINCE WE GOT A QUORUM. FIRST ITEM ON THE AGENDA. A MOTION FOR THE MINUTES OF PRE APPROVED. SO MOVED. DO I HAVE A SECOND? DON'T BE SHY. CAN I GET A SECOND? SECOND. OKAY, I HAVE A SECOND. ALL IN FAVOR, SAY AYE. AYE. NONE OPPOSED. THE FIRST ITEM WE'RE GOING TO GET DISCUSSED WILL BE ITEM D. E. E. I'M SORRY. THANK YOU, CHAIRMAN. E. GUS. WHO? MISS LOU? YES. OKAY. ITEM E. GOOD AFTERNOON, COMMITTEE MEMBERS. I UNDERSTAND FROM OUR DIRECTORS THAT THERE ARE ACTUALLY SOME TYPOS AND ERRORS IN THE ORDINANCE ATTACHED TO THE ITEM, AND SO WE WOULD ASK TO DEFER THIS. WE'RE GOING TO GO BACK TO THE ATTORNEYS AND REWORK THIS ONE AND BRING IT BACK TO YOU IN DECEMBER. OKAY. EXCUSE ME. WILL YOU REPEAT THAT AGAIN? I SURE WILL. I UNDERSTAND THAT AFTER THE DIRECTORS REVIEWED THE DRAFT RED LINE ORDINANCE ATTACHED TO THE MEMO THAT WAS PROVIDED BY THE CITY ATTORNEY'S OFFICE, THAT THERE ARE SOME ERRORS IN THE ORDINANCE. AND SO THEY WOULD LIKE A LITTLE TIME TO GO BACK AND WORK WITH THE ATTORNEYS AGAIN, CLEAN IT UP, AND WE'LL BRING IT BACK NEXT MONTH. WHEN DO WE CAUGHT THE ERRORS? AND WHEN WAS THAT NOTIFIED? I WAS JUST INFORMED. RIGHT? RIGHT. COULD SOMEONE TELL ME WHEN THIS HAPPENED? COME TO THE FLOOR AND LET ME KNOW WHAT HAPPENED? COULD I HAVE GUS AND EMILY? BECAUSE, NUMBER ONE, I'VE WASTED MY TIME IN TRYING TO GO TO BRIEFING, AND ALL OF A SUDDEN, THE BRIEFING IS NOT CORRECT, AND I APPROVE THE BRIEFING. SO I WANT TO GIVE THE EXPLANATION OF WHAT HAPPENED. THESE ARE VERY MINOR. THEY'RE NOT I KNOW, I KNOW, THEY'RE VERY MINOR. SO I'M TRYING TO FIND OUT WHAT IT IS. WE'RE ON E. CAN SOMEONE EXPLAIN TO ME WHAT HAPPENED? AND WHAT DO WE HAVE ATTORNEYS HERE WHO SAID IT'S A LEGAL ISSUE? DO WE HAVE ATTORNEYS? YES. THERE'S NO ISSUE WITH THE MEMO. THERE'S NO ISSUE WITH THE CONTENT. OKAY, SO LET ATTORNEYS EXPLAIN WHAT IS THE MEMO? WHAT IS. SO WE GET A GOOD EXPLANATION. I WOULD DEFER THAT TO OUR ATTORNEY TO ANSWER THAT QUESTION. IT APPEARS THAT AN OLD VERSION, AN OLD DRAFT OF THE OF THE ORDINANCE WAS INCLUDED IN THE MATERIALS THAT YOU RECEIVED. SO THE OLD VERSION THAT YOU HAVE DOES HAVE A FEW TYPOS IN IT, BUT THERE'S NOTHING SUBSTANTIVE THERE. WHEN YOU SAY A FEW TYPOS SO YOU COULDN'T CLEAN THAT UP? WHAT IS MISSPELLED WORDS OR A DEFINITION OF WHAT? I MEAN, WHAT TYPE OF TYPOS? YEAH. LOOKED LIKE THERE WAS JUST AN EXTRA HAND IN THERE. AND THERE WAS A TYPO. A WORD WAS MISSPELLED, BUT NOTHING MAJOR. OKAY, SO WHAT I'M LOOKING AT RIGHT NOW, I SEE THE WORD N A N D IN NUMBER TWO AND NUMBER THREE. IS THERE ANYTHING BESIDES THOSE TWO? YEAH, I BELIEVE THAT IS IT. TO ME, THAT'S NOT LEGAL. IT'S AND THAT SHOULD AN BE REMOVED. COLLEAGUE, WE'RE LOOKING ON ITEM E AND THEY SAY IT'S A TYPO. STEWART, I DON'T SEE THERE'S NOT A LEGAL ISSUE THAT SAID THE TWO WORDS AND A TYPOGRAPHICAL ERROR. I CAN'T SEE THAT A LEGAL ISSUE TO DEFER IT FOR ANOTHER MONTH. OH, REALLY? YOU WANT TO SPEAK? YEAH. PLEASE. THE. YES, SPEAK ON THE TYPO, BECAUSE THAT'S ALL I SEE, I DON'T SEE. A TYPO IDENTIFIED IN 605.2.1 IS CLEARLY NOT SUBSTANTIVE. IT'S A VESTIGE FROM THE PRIOR DRAFT. BUT THAT SHOULD NOT INTERFERE WITH OUR ABILITY TO DISCUSS THE SUBSTANCE OF THIS ORDINANCE. YES, CHAIR, IF THERE'S SIMPLY TYPOS, I AGREE, WE MOVE FORWARD. I WAS UNDER THE IMPRESSION I'M LOOKING AT THE TEAM TO TELL ME, IS THERE ANYTHING MATERIAL THAT NEEDS TO BE CHANGED IN THE DRAFT ORDINANCE? OR ARE WE JUST TALKING ABOUT CLEANUP? SO FROM MY PERSPECTIVE, AGAIN, THE QUESTION THAT I HAVE IS THE REMOVAL OF THE OTHER ITEMS IN THE [00:05:07] ORDINANCE THAT SAYS ABOUT THE CONTRACTOR CONTROL AND THE CONSTRUCTION OF TRUCK TRAFFIC THAT SECTION THAT HAS BEEN STRICKEN OUT. MY QUESTION IS WE NEED TO KIND OF A LITTLE WE NEED A LITTLE BIT MORE TIME TO REVIEW THIS THIS ONE HERE, JUST TO UNDERSTAND THE IMPLICATION, BECAUSE I DON'T THINK THE REMOVAL OF THAT PIECE HERE IS APPLICABLE OR SHOULD BE REMOVED BECAUSE THIS IS APPLICABLE FOR THE ENTIRE CITY OF DALLAS AND NOT JUST THAT PD. OKAY. COULD WE GET THAT ON THE SCREEN CHRIS? SO EVERYBODY CAN SEE IT. DO WE HAVE THAT SO THE PUBLIC CAN SEE WHAT WE'RE TALKING ABOUT? YEAH. MR. CHAIR, I BELIEVE THAT THESE DELETIONS WERE INADVERTENT. WE DID NOT DISCUSS THOSE AT OUR LAST MEETING OR THE MEETING WITH OUR STAKEHOLDERS. AND SO I THINK THIS IS IN THE SAME CATEGORY AS THE TYPOS. CORRECT. YEAH. IF IT FITS THE DESIRE OF THE COMMITTEE TO RETAIN THAT LANGUAGE THAT WE CAN PUT THAT BACK IN, IT'S REALLY EASY TO DO. GUS, ANY COMMENT, YOU'RE LOOKING. MY RECOMMENDATION IS TO KEEP IT IN AND RESTORE THAT LANGUAGE. CHAIRMAN STEWART, ANY QUESTION, ARE YOU CONFUSED? DO YOU UNDERSTAND WHAT'S GOING ON? THAT'S A TRICKY QUESTION. IF THE CHANGES ARE NOT SUBSTANTIVE OR THE QUESTIONS THAT WE HAVE ABOUT THE DOCUMENT ARE NOT GOING TO SUBSTANTIVE ISSUES, BUT ARE TRULY TYPOGRAPHICAL ERRORS OR CONFUSIONS, WE'RE NOT SURE. DO WE HAVE A PARAGRAPH THAT WE'RE CONCERNED, IS IT IN OR IS IT OUT? IS THAT THE QUESTION? YES. IT'S A THAT IS A QUESTION. THERE IS A PARAGRAPH. SO AND THIS IS JUST YOU KNOW, MY I DON'T HAVE THIS IN FRONT OF ME. I NEED TO PULL IT UP. BUT WE'RE. TRYING TO PULL IT UP. KAREN, IT'S THE ATTACHMENT TO ITEM E IF YOU'RE LOOKING IN THE AGENDA MATERIALS. SO THE PARAGRAPH THAT BEGINS GENERAL DOT PERIOD. A CONTRACTOR SHALL LIMIT AND REGULATE CONSTRUCTION. THAT PARAGRAPH SHOULD NOT BE STRICKEN, IS THAT CORRECT? IT SOUNDS LIKE THAT'S THE PREFERENCE OF THE TRANSPORTATION DIRECTOR. SO, YOU WANT TO ANSWER THAT GUS? THAT SHOULD STAY IN THIS PARAGRAPH, SHOULD STAY IN? YES, MA'AM. THANK YOU. AGAIN I JUST CONFIRMED THAT THE CONSTRUCTION TRUCK TRAFFIC AND THE SECTION THAT HAS BEEN DELETED WAS INTENDED AND IS INTENDED TO BE FOR THE ENTIRE CITY OF DALLAS. THE ADDITIONAL OFF STREET PARKING REQUIREMENTS IS INTENDED TO BE CONFINED TO THE PD 193 IN UPTOWN. SO THAT'S WHY I'M RECOMMENDING AND STATING THAT WE NEED TO KEEP WHAT IS FOR THE ENTIRE CITY OF DALLAS ALONE AND BE SUPPLEMENTED WITH THE SPECIAL REQUIREMENTS FOR THAT PD 193, IN THE UPTOWN AREA. DOES THAT MAKE SENSE TO YOU? SO, WE HAVE A GOOD CLARIFICATION AT THIS POINT, IS THAT CORRECT? CHAIRMAN WEST, DO YOU WANT TO CHIME IN OR DO YOU UNDERSTAND WHAT'S GOING ON? CAN YOU HEAR ME? YES. I'M TALKING TO YOU. DO YOU UNDERSTAND WHAT'S GOING ON WITH ITEM E? YEAH I DO. I WAS JUST GOING TO POINT OUT IF THERE IS A QUESTION ON WHETHER THIS IS SUBSTANTIVE OR NOT. IF WE NEED TO REHEAR THIS ON THURSDAY AT GPFM OR RIGHT AFTERWARDS, WE CAN. OTHERWISE I'M FINE MOVING FORWARD IF LEGAL IS FINE MOVING FORWARD TODAY. OKAY. OKAY. CHAIRMAN, RIDLEY, ANYTHING THAT YOU WANT TO SAY BEFORE WE KIND OF MOVE FORWARD? WELL, JUST THAT I SEE NO REASON WHY WE CAN'T DISCUSS THIS. AND I WOULD REQUEST THAT WE OPEN THIS ITEM UP FOR QUESTIONS FROM MEMBERS OF THE COMMITTEE. OKAY. LET'S OPEN IT UP FOR QUESTIONS. [00:10:03] SO, I GUESS GUS FIRST, LET'S REPEAT WHAT WE WHAT WE HAVE IN FRONT OF US BECAUSE WE HAVE SOMETHING SCRATCHED OUT. AND YOU'RE SAYING WE'RE GOING TO BRING THIS BACK IN THIS GIVEN THE CONVERSATION BEFORE WE HAVE BEFORE US RIGHT NOW? YES, SIR. IF I MAY DEFER THIS OR ASK SAM OR EMILY TO ADDRESS THIS, BECAUSE THIS IS THEIR ORDINANCE, AND I WILL CHIME IN. OKAY. THANK YOU. WELL, WE HAVE SOME DISCUSSION WITH OUR STAKEHOLDERS, AND THAT'S SOME OF THEIR CONCERNS ARE REGARDING THIS LANGUAGE. SO THAT'S WHY WHEN WE HAD THE MEETING WITH COUNCILMAN RIDLEY LAST WEEK, I THINK, AND THEN DELETING THIS WILL ADDRESS THEIR CONCERN. BUT I DO UNDERSTAND THIS LANGUAGE IS ACTUALLY ESTABLISHED BY THE DIRECTOR OF TRANSPORTATION. SO I THINK THIS IS REALLY RELATED TO OUR TRANSPORTATION DIRECTOR. IT'S YOU KNOW, IT'S HIS ACTION, HIS REQUIREMENT ON THIS ONE. BUT THIS ONE DOES HAVE SOME CONCERN WITH OUR STAKEHOLDERS. THAT'S THE REASON IT WAS TAKEN OUT. CHAIRMAN RIDLEY. THANK YOU, MR. CHAIR. GUS THE STRUCK OUT LANGUAGE PERTAINS NOT TO LIMITATION OF OFF STREET PARKING, AS YOU'VE OBSERVED, BUT RATHER TO REGULATIONS ON TRUCK ROUTES TO AND FROM CONSTRUCTION SITES. IS THIS CURRENTLY IN OUR CITY CODE ANYWHERE? I BELIEVE IT IS IN THE EXISTING CITY ORDINANCE, IF I'M NOT MISTAKEN. OKAY, SO WHAT WE'RE DOING HERE IS JUST DRAFTING IN REGULATIONS ON OFF STREET PARKING AT CONSTRUCTION SITES TO AN EXISTING CODE SECTION 605. THAT IS CORRECT, SIR. THAT IS MY UNDERSTANDING. THAT IS THE INTENT IS TO SUPPLEMENT THIS. YES. SO I DON'T THINK THERE WAS EVER ANY INTENT TO DELETE THESE EXISTING REGULATIONS. THEY WERE NEVER THE SUBJECT OF OUR DISCUSSIONS WITH THE STAKEHOLDERS. I RECEIVED AN EMAIL FROM JAMIE JOLLY TODAY AT TREC ABOUT THIS ORDINANCE. SHE DIDN'T MENTION ANYTHING ABOUT THESE PROVISIONS. AND SO I DON'T KNOW HOW THEY GOT STRUCK OUT. I THINK THAT WAS INADVERTENT. I CERTAINLY NEVER HAD ANY INTENT TO STRIKE OUT THESE EXISTING REGULATIONS, WHICH I THINK ARE IMPORTANT TO RETAIN. THE CITY NEEDS TO BE ABLE TO TELL CONTRACTORS THAT THEY CAN'T DRIVE THEIR TRUCKS THROUGH RESIDENTIAL NEIGHBORHOODS, FOR EXAMPLE, TO ACCESS LARGE CONSTRUCTION SITES. SO I THINK IT'S CLEAR THAT WE NEED THESE. THEY'RE NOT THE SUBJECT OF THIS ITEM, WHICH PERTAINS JUST TO ADDING NEW REGULATIONS ABOUT OFF STREET PARKING FOR CONSTRUCTION WORKERS. IS THAT HOW YOU UNDERSTAND IT? YES, SIR, I CONCUR. ALL RIGHT. SO THERE HAVE BEEN SEVERAL CHANGES MADE IN RESPONSE TO THE INPUT THAT WE RECEIVED AT THE MEETING WITH TREK AND OTHER STAKEHOLDERS. THE CONTRACTORS ASSOCIATION, ET CETERA. AND THE BASIC CHANGE WAS TO ADDRESS THEIR CONCERNS ABOUT HOW THIS ORDINANCE WOULD BE ENFORCED IN TERMS OF ENFORCING IT AGAINST THE CONTRACTOR WHO IS RUNNING THE BUILDING SITE FOR PARKING VIOLATIONS BY CONTRACTORS AND SUBCONTRACTORS AND WORKERS AT THE SITE. AND WE WERE TRYING TO FIND SOME WAY TO IDENTIFY CONSTRUCTION VEHICLES WHEN THEY'RE PARKED ON THE STREET SO THAT WE COULD ISSUE CITATIONS TO THEM, BUT NOT TO OTHERS WHO ARE NOT WORKING AT THE CONSTRUCTION SITE. THAT WAS A PROBLEM. WE RECOGNIZED THAT IN A STAFF MEETING LAST WEEK. WE STRUCK OUT THOSE PROVISIONS, AND WE BASICALLY KEEP IT AS A REQUIREMENT THAT WOULD THAT APPLICANTS FOR BUILDING PERMITS AS PART OF THEIR PERMIT APPLICATION PROCESS WOULD BE REQUIRED TO SUBMIT A PARKING. OFF STREET PARKING PLAN FOR ACCOMMODATING THEIR WORKERS OFF CITY STREETS. AND THAT'S ALL THE ORDINANCE SAYS NOW THAT'S ALL. IT REGULATES THE REQUIREMENTS OF THAT PLAN WHEN IT MUST BE SUBMITTED. IT'S ONLY BUILDINGS OVER 200,000FT² AND PENALTY PROVISIONS FOR VIOLATING IT. SO I THINK THIS IS A MUCH MORE ENFORCEABLE KIND OF AN ORDINANCE. [00:15:01] AND IT DOESN'T ENTAIL DIFFICULT ISSUES OF ENFORCEMENT IN IDENTIFYING CONSTRUCTION VEHICLES PARKED ON THE CITY STREETS. SO THAT'S HOW WE GOT TO THIS DRAFT. AND I THINK IT'S DEFINITELY AN IMPROVEMENT OVER THE PREVIOUS DRAFT. CHAIRWOMAN STEWART, I AM GLAD TO SEE THAT THIS ISSUE HAS BEEN TACKLED. I KNOW IT'S BEEN AN ISSUE IN SPECIFICALLY THE UPTOWN AREA FOR YEARS. THE STREETS ARE NARROW. THE PROJECTS ARE LARGE, AND AND THE PARKING HAS HAS DEFINITELY BEEN AN ISSUE. AND I THINK SOUNDS LIKE THERE'S BEEN BOTH STAKEHOLDER ENGAGEMENT AS WELL AS IDENTIFYING SPECIFIC CONCERNS AND THOSE. THIS THESE SECTIONS NOW ADDRESS THAT. SO I THINK IT SOUNDS LIKE WE'RE IN A VERY GOOD PLACE. ANYONE ELSE? OKAY. IT LOOKED LIKE WE WERE TRYING TO MOVE FORWARD WITH THIS ITEM, SO THANK YOU, GUS. THANK YOU EVERYONE. NEXT ITEM WILL BE BRIEFING A SHORT TERM RENTAL UPDATE. MISS GARCIA. OKAY. GO AHEAD CEDRIC. ASSISTANT DIRECTOR, DEPARTMENT OF CODE COMPLIANCE SERVICE CIS. AND I AM ACCOMPANIED BY ADMINISTRATOR, CODE ADMINISTRATOR ARIEL GARCIA, AS WELL AS LANCE SEAHORN, ASSISTANT COMPTROLLER WITH THE CITY ATTORNEY'S OFFICE, WITH THE CITY COMPTROLLER'S OFFICE. AND I EXPECT MR. ANDREWS SPANIEL ASSISTANT CITY ATTORNEY TO JOIN US AS WELL FOR QUESTIONING. THAT BEING SAID, THANK YOU AND GOOD MORNING AGAIN, CHAIR, AND MEMBERS OF THE COMMITTEE. WE'RE HERE TODAY TO PROVIDE AN UPDATE ON STRS. AND ON THE SCREEN IS A PRESENTATION OVERVIEW WHICH HIGHLIGHTS OUR TOPICS THAT WE WILL DISCUSS TODAY. NEXT SLIDE PLEASE. TODAY WE'LL PROVIDE AN UPDATE ON DALLAS SHORT TERM RENTAL REGISTRATION AND ENFORCEMENT PROGRAM COVERING THE CURRENT NUMBER OF ACTIVE SHORT TERM RENTALS. INITIAL AND ONGOING COST. THE PROGRAM'S ACTIVITY AMIDST THE CURRENT LEGAL INJUNCTION AND FEE RECOVERY. THE R FEE RECOVERY MODEL AS WELL AS HOTEL OCCUPANCY TAX COLLECTION. NEXT SLIDE PLEASE. THIS DIAGRAM DEPICTS THE TOTAL NUMBER OF ACTIVE SHORT-TERM RENTALS CITYWIDE DETECTED BY THE COMPTROLLER'S OFFICE GOV OS SOFTWARE TOTALING 3495 AS OF SEPTEMBER 30TH, 2024. NEXT SLIDE PLEASE. THE INITIAL START UP COSTS FOR THE SHORT TERM RENTAL PROGRAM WAS $1.375 MILLION, COVERING THE INITIAL INFRASTRUCTURAL OVERLAYS OR OUTLAYS I'M SORRY, WHICH INCLUDE SOFTWARE, A NINE MEMBER TEAM, TRAINING VEHICLES, UNIFORMS AND PPE EQUIPMENT, AND OTHER ANCILLARY EXPENSES. NEXT SLIDE PLEASE. THIS SLIDE PRESENTS THE PROJECTED ANNUAL COST FOR OPERATING THE SHORT TERM RENTAL REGISTRATION AND ENFORCEMENT UNIT YEAR OVER YEAR, EXTENDING THROUGH FISCAL YEAR 27. THESE PROJECTIONS ACCOUNT FOR RECURRING OPERATIONAL EXPENSES ACROSS KEY AREAS INCLUDING PERSONNEL, TECHNOLOGY, AND ADMINISTRATIVE OVERHEAD. THE GROWTH RATE FROM FISCAL YEAR 25 TO 26 IS APPROXIMATELY 3.53%, AND FROM 26 TO FISCAL YEAR 27 IS APPROXIMATELY 3.66%. BUDGET FORECASTS ARE ADJUSTED EACH FISCAL YEAR TO REFLECT INFLATION AND PROJECTED INCREASES IN WAGES. NEXT SLIDE. I'LL YIELD TO MY COLLEAGUE. GOOD AFTERNOON. ARIEL GARCIA, CODE ADMINISTRATOR. THE CODE COMPLIANCE SHORT TERM RENTAL TEAM IS COMPRISED OF NINE FULL TIME EMPLOYEES, INCLUDING SEVEN INSPECTORS FOR THE INSPECTION PURPOSES, ONE ADMINISTRATIVE SPECIALIST FOR APPLICATION PROCESSING AND A SUPERVISOR FOR OVERSIGHT DURING THE INJUNCTION. THE STAFF MEMBERS HAVE BEEN REALLOCATED TO OUR OTHER RENTAL PROGRAMS TO INCLUDE OUR MULTIFAMILY RENTAL REGISTRATION PROGRAM, SINGLE FAMILY RENTAL REGISTRATION PROGRAM, [00:20:07] BOARDING HOME FACILITIES, AND CONSUMER PROTECTION. THESE PROGRAMS OPERATE IN A SIMILAR INSPECTION STYLE AND REQUIRE SIMILAR OVERSIGHT AND SIMILAR CODE ENFORCEMENT DUTIES. COLLECTIVELY, DURING THE FISCAL YEAR AND DURING THE INJUNCTION, THE SEVEN FULL TIME STAFF WHO HAVE ALL BEEN ONBOARDED HAVE ACTUALLY BEEN ABLE TO COMPLETE 13,575 INSPECTIONS. NEXT SLIDE PLEASE. OUR FEE STUDY INITIALLY PROJECTED $745,000 IN REVENUE, ASSUMING FULL COMPLIANCE WITH 3000 SHORT TERM RENTAL UNITS REGISTERING AND PAYING THE REQUIRED FEES. HOWEVER, DRAWING FROM SIMILAR PROGRAM ROLLOUTS, WE EXPECT AN INITIAL REGISTRATION RATE OF ONLY 42 TO 50%. ADJUSTING OUR REVENUE FORECAST ACCORDINGLY, THIS MORE CONSERVATIVE ESTIMATE REFLECTS THE EXPECTED UPTAKE AS THE PROGRAM FINDS ITS FOOTING AND GAINS TRACTION. ADDITIONALLY, REVENUE WILL VARY BASED ON THE LAUNCH DATE WITHIN THE FISCAL YEAR, AFFECTING EARLY FEE COLLECTIONS. THE ADJUSTMENT ENSURES A REALISTIC REVENUE OUTLOOK. AS WE LOOK FORWARD TO MAXIMIZING STR COMPLIANCE OVER TIME. NEXT SLIDE PLEASE. WITH RESPECT TO HOTEL OCCUPANCY TAXES UNDER TEXAS LAW. PURSUANT TO CHAPTER 351 OF THE TEXAS TAX CODE AND CHAPTER 334 OF THE LOCAL GOVERNMENT CODE, ANYONE OPERATING OR MANAGING AN STR IN THE CITY OF DALLAS IS REQUIRED TO COLLECT A 9% HOTEL OCCUPANCY TAX, OR HOT FROM ITS GUEST STAYS 30 DAYS OR MORE. CONSECUTIVE NIGHTS, HOWEVER, ARE EXEMPT FROM PAYING HOT. A SIDE NOTE HERE THE DALLAS CITY CODE AND STATE OF TEXAS TAX CODE DEFINE AN STR AS A HOTEL FOR HOT PURPOSES. AND IF YOU'LL TURN YOUR ATTENTION TO THE MIDDLE OF THE SLIDE. HOT TAXES COLLECTED FOR THE PERIODS OF JUNE 2023 THROUGH AUGUST 2024. 4.1 MILLION. HOT COLLECTED FISCAL YEAR 2023. OVERALL, 3.8 MILLION. HOT COLLECTED DURING FISCAL YEAR 2024. YEAR TO DATE 2.8 MILLION. AND THE ESTIMATED HOT REVENUE FROM SERS DURING FISCAL YEAR 2024 IS 3.1 MILLION. I WOULD ALSO LIKE TO MENTION THAT THE CITY CONTROLLER'S OFFICE EXPRESSED CHALLENGES THAT NOT ALL PROPERTY OWNERS OR HOSTS RESPOND TO THE CCO'S REQUEST TO REGISTER THEIR PROPERTY TO FILE AND PAY THOSE HOT TAXES. AND THAT BRINGS ME TO THE FINAL SLIDE. NEXT SLIDE PLEASE. THE DALLAS SHORT TERM RENTAL PROGRAM IS CURRENTLY UNDER TEMPORARY LEGAL INJUNCTION HALTING REGISTRATION AND ENFORCEMENT ACTIONS FOR NONCOMPLIANCE UNDER CHAPTER 42 B. AT THIS TIME I WILL OPEN UP THE FLOOR FOR QUESTIONS. OKAY. QUESTION SINCE WE ARE ON THE INJUNCTION. SO THEREFORE WE CANNOT COLLECT ANY TYPE OF TAXES OR FEES. IS THAT CORRECT? YES. LANCE SEEHORN FROM THE CITY CONTROLLER'S OFFICE. NO. WE ARE STILL COLLECTING HOTEL OCCUPANCY TAXES. OCCUPANCY TAX, BUT NOT HOT TAX. NOT HOTEL RIGHT? YES. HOTEL AND SHORT TERM RENTALS. OKAY. WE'RE COLLECTING THE TAX. OKAY. OKAY. I GUESS, WHAT WAS THE TOTAL AMOUNT OF MONEY HAVE WE COLLECTED IN TAXES FOR SHORT TERM RENTAL? FOR, WE'RE ESTIMATING FOR FY 24, 3.1 MILLION. AND IS THAT COST RECOVERY. ARE WE LOSING. THAT'S JUST GROSS REVENUES. OKAY. WHAT ABOUT COST RECOVERY? YOU KNOW, EXPENSES WE'RE TALKING ABOUT EMPLOYEES WHO WORK IN, YOU KNOW, WE HAVE ROUGHLY ONE SUPERVISOR, I BELIEVE IN ANOTHER PAGE. WHAT'S THAT PAGE? PAGE SEVEN. ONE SUPERVISOR, ONE ADMINISTRATION SEVEN CODE INSPECTORS. WHAT IS THE COST OF THAT? SO I THINK THAT'S RELATED TO THE CODE DEPARTMENT RATHER THAN THE CITY CONTROLLER'S OFFICE. WE DO HAVE TWO PEOPLE THAT WORK EXCLUSIVELY ON COLLECTING HOTEL OCCUPANCY TAXES. THAT ALSO INCLUDES THE HOTEL OCCUPANCY TAX FOR SHORT TERM RENTALS. AND THAT COST IS PROBABLY AROUND $250,000, BUT THAT INCLUDES THE COLLECTIONS FOR ALL HOTEL OCCUPANCY TAXES. BUT I THINK THAT WHAT'S WHAT YOU'RE REFERRING TO WAS THE CODE DEPARTMENT EXPENSES. [00:25:03] GREAT QUESTION CHAIR. YES, SIR. THAT'S CORRECT. WITH REGARDS TO OUR FEE RECOVERY MODEL AND THE CURRENT INJUNCTION BEING IMPOSED. NO REGISTRATION FEES HAVE BEEN COLLECTED TO DATE. LET ME SAY THAT AGAIN. AS A RESULT OF THE INJUNCTION, NO REGISTRATION FEES HAVE BEEN COLLECTED. I WANT TO MAKE SURE WE KNOW WE HAVE NOT COLLECTED ANY REGISTRATION FEES BECAUSE OF THE INJUNCTION. THAT'S CORRECT. THAT IS CORRECT, SIR. AND SO THEREFORE WE ARE USING CODE OFFICERS TO DO WHAT? CODE IS RESPONDING TO A MYRIAD OF NUISANCE CONCERNS, GENERALLY THINGS THAT ARE HAPPENING AT SOME OF THESE PROPERTIES. MAY BE FEW IN NUMBER, BUT OVERNIGHT. AND WE SUBSEQUENTLY WILL SEND A TEAM OUT THE FOLLOWING DAY. SO WE'RE GENERALLY STILL ALL CHAPTER 27 IS STILL APPLICABLE TO THESE PROPERTIES AS WELL AS 51 FOR LAND USE. SO THESE OFFICERS THAT YOU GOT BUDGETED OR SUPERVISOR, ONE ADMINISTRATOR IN THE SEVEN CODE INSPECTOR, THEY REALLY NOT BUDGETED. THEY PROBABLY BUDGETED WHEN YOU START ARE COLLECTING FEES, IS THAT CORRECT OR HOW ARE THEY BUDGETED? I MEAN, YOU GOT THEM ON ONE SIDE OF THE FINANCIAL STATEMENT. HOW DOES IT BUDGET? WELL, THE FUNDS WERE APPROPRIATED AND THEY WERE JUSTIFIED BY THE FEE RECOVERY MODEL. YOU KNOW, WE ANTICIPATED THAT 42B, WE DID NOT ANTICIPATE THE INJUNCTION WERE IT NOT FOR THE INJUNCTION WITH THE NUMBER OF ACTIVE STRS REPRESENTED ON THE ONE OF THE PREVIOUS SLIDES, WE WOULD HAVE LIKELY, YOU KNOW, RECOUPED QUITE A BIT OF THAT REVENUE. BUT WE'RE NOT RECRUITING THAT REVENUE AS OF TODAY, WE ARE NOT. OKAY. OKAY. CHAIRMAN RIDLEY, YOU. THANK YOU MR. CHAIR. THANK YOU, MR. CHAIR. SO ON SLIDE NINE, YOU REFLECT THAT THERE IS A DROP OFF IN HOT REVENUE ANTICIPATED FOR FISCAL YEAR 24 FROM FISCAL YEAR 23. AND I'M CURIOUS IF THE CONTROLLER'S OFFICE CAN TELL US WHY YOU THINK THAT'S HAPPENING. IS IT BECAUSE THERE IS A DROP OFF IN COMPLIANCE? IS THERE A REDUCTION IN ROOM NIGHTS ON WHICH THE HOT IS PAYABLE? WHAT'S ATTRIBUTABLE TO THAT? I BELIEVE WHAT HAPPENED WAS THE SHORT TERM RENTAL OWNERS WERE ANTICIPATING THAT THEY WERE NOT GOING TO BE ABLE TO OPERATE AFTER DECEMBER 2023, SO THE ACTIVITY STARTED SLOWING DOWN IN JULY, AUGUST, SEPTEMBER, OCTOBER, NOVEMBER, DECEMBER OF 2023. I THINK THEY WERE JUST ANTICIPATING THAT THEY WERE GOING TO HAVE TO SHUT DOWN THEIR PROPERTY AS A SHORT TERM RENTAL AND EITHER RENT IT OUT AS LONG TERM OR DO SOMETHING ELSE WITH THE PROPERTY. SO I THINK THAT'S WHAT'S ATTRIBUTING TO THE DECREASE IN THE REVENUES THAT WERE SINCE FROM JUNE OF 2023 THROUGH DECEMBER OF 2023. EVERYONE THOUGHT THAT THEY WERE NOT GOING TO BE ABLE TO OPERATE AS A SHORT TERM RENTAL AFTER, WHAT, DECEMBER 14TH OF 2023? SO I THINK THAT'S WHAT HAPPENED. WHAT HAS THE TREND BEEN IN HOT TAX COLLECTION FOR HOTELS AND MOTELS? STRS. IS THAT ON THE UPSWING, PERHAPS REFLECTING THAT PEOPLE ARE NO LONGER STAYING AS FREQUENTLY INVESTORS ARE TRANSFERRING THEIR BUSINESS TO THE TRADITIONAL LODGING VENUES? YEAH, I CAN RESEARCH THAT FOR YOU, BUT I BELIEVE THAT THE TREND IS INCREASING BOTH IN SHORT TERM RENTALS AND HOTEL OCCUPANCY TAX COLLECTIONS, AS WELL FOR THE HOTELS AND SHORT TERM RENTAL ACTIVITY. THEY'RE BOTH INCREASING AT THIS TIME, I BELIEVE. WELL, THE NUMBERS REFLECT HOTEL OCCUPANCY TAX COLLECTIONS DECLINING FOR STRS, DON'T THEY? WELL, YES IT IS, BUT NOW I THINK I THINK IT'S BEEN INCREASING A LITTLE BIT BECAUSE NOW THEY'RE AFTER DECEMBER OF 2023, THEY WERE ALLOWED TO OPERATE AS A SHORT TERM RENTAL. SO EVERYBODY WAS THINKING, OKAY, WE CAN CONTINUE TO OPERATE AS A SHORT TERM RENTAL. WELL, THERE'S A 20% DROP OFF IN THE ANNUALIZED FIGURES HERE, BUT YOU THINK THAT'S DECREASING NOW? I THINK I THINK IT'S PROBABLY INCREASING SLIGHTLY, BUT I CAN GO BACK AND DOUBLE CHECK THE NUMBERS FOR YOU AND LET YOU KNOW. OKAY. I'LL GIVE YOU A MONTH BY MONTH, MONTH BY MONTH REVENUE FIGURES FROM JANUARY OF 2024 THROUGH SEPTEMBER OF 2024. AND CAN YOU DO THAT FOR HOT TAX COLLECTIONS EXTRAS AS WELL? YES. STRS AND HOTELS. YEAH. OKAY. THANK YOU. ABSOLUTELY. CHAIRMAN STEWART. SO MY QUESTION GOES MORE TO ENFORCEMENT AND THE LATE NIGHT ACTIVITY THAT I HAVE IN MY DISTRICT. [00:30:01] DISTRICT TEN. YOU MAY BE A. WELL, I WON'T CALL OUT ANY PARTICULAR PROPERTY. THAT'S NOT FAIR AT THIS POINT. BUT WE DO HAVE A HANDFUL OF PROPERTIES THAT ARE VERY REGULARLY HOSTING. THEY'RE USED AS WEDDING VENUES. THEY'RE PARTY VENUES, AND THAT'S HOW THEY'RE MARKETED, AND THAT'S HOW THEY'RE THAT'S WHAT HAPPENS THERE. AND, AND I HAVE ABSOLUTELY NOTHING AGAINST PARTY VENUES AND WEDDING VENUES, EXCEPT FOR THEY ARE IN SINGLE FAMILY HOME NEIGHBORHOODS. AND THERE ARE PEOPLE WHO ARE, YOU KNOW, NOT EXPECTING THAT KIND OF NOISE AND PARKING ON THEIR STREET. AND JUST, JUST ALL OF THE THINGS THAT COME WITH A LATE NIGHT PARTY. SO YOU HAD SAID THAT IT WAS THAT YOU HAVE A TEAM THAT WOULD GO OUT THE NEXT DAY AFTER THOSE REPORTS WERE MADE. IS IS THERE ANY ABILITY THAT FOR US TO HAVE A TEAM THAT COULD GO OUT WHILE IT'S HAPPENING? BECAUSE I DON'T KNOW HOW YOU VERIFY THE NUMBER OF PEOPLE WHO WERE THERE, OR IF THE PARKING WAS OUT OF CONTROL OR IF THE NOISE WAS OUT OF CONTROL. SO THAT'S JUST MY QUESTION IS HOW DO WE HANDLE THE VIOLATIONS WHEN IT'S THE DAY AFTER? GREAT QUESTION. THANK YOU. AS A RESULT OF THE INJUNCTION, AS I POINTED OUT. YES, MA'AM. THAT DOES SOMEWHAT HINDER OUR RESPONSE. YOU KNOW, TRADITIONALLY SPEAKING, HOWEVER, WE DO HAVE A NIGHT ENTERTAINMENT TEAM THAT WE OCCASIONALLY UTILIZE IN THIS, IN THIS IN THIS ON THESE OCCURRENCES WHERE WE MAY SEND THEM OUT TO DO RECONNAISSANCE MISSIONS. AND THEN WE TAKE THAT MATERIAL EVIDENCE, AND GENERALLY WE MAY MAKE CONTACT WITH THE PROPERTY OWNER, BUT IF THE ORDINANCE WAS INTACT, IT GIVES US LEVERAGE AND TEETH TO ACTUALLY YOU KNOW, CITE THE PROPERTY OWNER FOR ANY VIOLATIONS OF THE DALLAS CITY CODE. I'M SORRY. YOU SAID IF THE ORDINANCE WAS INTACT. DON'T WE HAVE ORDINANCES THAT ARE INTACT THAT CAN BE USED? MUCH OF THE OCCURRENCES AT SOME OF THESE EVENTS GENERALLY SHOULD BE REFERRED TO DPD. YES, MA'AM. WITH RESPECT TO WITH RESPECT TO OFF STREET PARKING, THAT WOULD BE THAT WOULD BE A PARKING MATTER, NOT, YOU KNOW, OVERSEEN BY CODE. PARKING IS UNDER TRANSPORTATION. YES, MA'AM. SO IT'S A COMPLEX ISSUE. I UNDERSTAND THAT, AND BUT I THINK WE JUST ARE ALLOWING SOME OF THESE PROPERTIES TO JUST CONTINUE THEIR, THEIR, THEIR LINE OF BUSINESS, WHICH, AGAIN, IF IT WERE NOT SO MANY PEOPLE CONGREGATING IN ONE SPOT WITH THE PARKING AND THE AND OTHER NOISES. YOU KNOW, IT'S JUST A, IT'S A USE THAT DOESN'T BELONG IN THAT PARTICULAR LOCATION FROM MY FROM MY CONSTITUENTS PERSPECTIVE. THAT'S WHAT I KEEP HEARING OVER AND OVER. THEY'RE VERY CONCERNED ABOUT THE ACTIVITY, THE LATE NIGHT ACTIVITY AS A RESULT OF THE USE OF THAT PROPERTY. SO WHAT DO YOU ALL RECOMMEND THAT I DO OR THAT THE CONSTITUENTS SHOULD DO? CALL 911 AS WELL. I DON'T THAT'S NOT GOING TO BE A HIGH PRIORITY CALL ON A SATURDAY NIGHT. YEAH. AND UNFORTUNATELY CODE YOU KNOW, WE DON'T HAVE THE WHEREWITHAL TO GO OUT AND BREAK UP A PARTY NECESSARILY. RIGHT. YOU KNOW WE DON'T HAVE THAT WHEREWITHAL TO DO THAT. BUT WITH RESPECT TO SOME VIOLATIONS UNDER 42, UNDER 42 B, CERTAINLY THERE IS AN ORDINANCE AS PART OF THE ORDINANCE THAT THE NOISE CANNOT EMANATE FROM THAT LOCATION BEYOND THE PROPERTY LINE BETWEEN THE HOURS OF SEVEN AND 10 A.M., RIGHT. YOU KNOW, THAT WOULD BE SOMETHING THAT WE COULD VERY EASILY ENFORCE. THE ENTIRE INTENT OF CHAPTER 42 B WOULD BE TO ADDRESS THOSE TYPE OF VIOLATORS AND NUISANCE PROPERTIES WITHIN RESIDENCES. THE THERE'S REQUIREMENTS FOR LOCAL RESPONSIBLE PARTIES TO SHOW UP ON SITE WITHIN ONE HOUR. WE HAVE THEIR CONTACT INFORMATION AS WELL AS THEIR IDENTIFICATION. BUT AS WE EXPLAINED, UNFORTUNATELY WE DID NOT FORESEE THE INJUNCTION PROHIBITING US FROM ENFORCING 42 B. OKAY. THAT'S. THANK YOU CHAIR. CHAIRMAN BAZALDUA. THANK YOU, MR. CHAIR. I JUST WANT TO EXPAND ON SOME OF THE QUESTIONS THAT WERE ASKED. I THINK THAT MISS STEWART WAS ASKING SOME GREAT QUESTIONS, AND I THINK THAT IT'S AT THE FRONT OF A LOT OF PEOPLE'S MIND. HOWEVER, I WANT TO JUST TALK. I THINK I WAS VERY VOCAL IN THE BEGINNING AND THROUGHOUT THIS PROCESS. HERE WE ARE WITH, I THINK, PROOF IN THE PUDDING THAT WHAT IT WAS WE DID AS A COUNCIL WAS LITTLE TO NOTHING. AND IF YOU ARE GOING TO ISSUE THOSE VIOLATIONS, AS MENTIONED, DO WE HAVE THE ABILITY TO REVOKE THAT PROPERTY FROM CONTINUING [00:35:09] ON? GREAT QUESTION, COUNCIL MEMBER. YES, SIR. THAT IS CORRECT. UNDER CHAPTER 42 B, WE DO HAVE THE AUTHORITY TO REVOKE THE REGISTRATION FOR THAT PROPERTY BASED ON IF THEY HAVE UP TO TWO CITATIONS, WE CAN CERTAINLY TAKE IT INTO CONSIDERATION WHETHER A REVOCATION REVOCATION IS NECESSARY OR APPROPRIATE. AND WHAT WOULD YOU BE REVOKING? REVOKING WOULD MEAN THAT THE SHORT TERM RENTAL PROCESS AT THAT PROPERTY WOULD WOULD HAVE TO CEASE. CORRECT. I'M SAYING CURRENTLY WITH THEM NOT TECHNICALLY BEING REGISTERED, WHAT WOULD YOU BE REVOKING? WELL, CURRENTLY, IF WITHOUT THE ORDINANCE, THERE'S NOTHING WE CANNOT THERE'S NOTHING TO REVOKE BECAUSE NO, NO REGISTRATIONS HAVE BEEN ISSUED. AND SO I JUST I WANTED TO JUST REEMPHASIZE THAT BECAUSE WHAT IT IS, IS WE, WE HAVE VERY LITTLE TOOLS IN OUR TOOLBOX, AND WE CAN'T PROVIDE ANY RELIEF FOR THE RESIDENTS WHO ARE COMPLAINING UNLESS WE HAVE A FORMAL SYSTEM OF THEM BEING REGISTERED WHERE WE HAVE THE ABILITY TO REVOKE. SO NOT ONLY IS IT MISSED HOTEL OCCUPANCY TAX FROM US, NOT ADDRESSING THIS IN A MORE FORMAL MANNER, THE IDEA OF PROHIBITION TAKING CARE OF THIS PROBLEM IS JUST OUTRAGEOUS TO ME. THAT WE WE HAVE DONE NOTHING LITERALLY SINCE THIS COUNCIL HAS TAKEN ACTION. WE HAVE DONE NOTHING IN OUR CITY TO HELP SHORT TERM RENTALS. WE HAVE DONE NOTHING TO HELP OUR CODE ENFORCEMENT. WE HAVE DONE NOTHING TO PROVIDE THE NECESSARY RESOURCES TO ACTUALLY GET AHOLD OF THIS ISSUE. I THINK THAT IT'S VERY CLEAR WHAT WE SHOULD DO AS A CITY IF WE WANT TO GET SERIOUS ABOUT REGULATING SHORT TERM RENTALS. A BAN IS OUT OF THE QUESTION. WE KNOW IT. A BAN IS NOT GOING TO GIVE US THE ABILITY TO REVOKE. SO I AM STRONGLY ENCOURAGING FOR US TO HAVE SOME SORT OF UPDATE IN EXECUTIVE SESSION FROM LEGAL TEAM, SPECIFICALLY ON WHAT OUR OPTIONS ARE. WE CAN TALK ABOUT BEING GAGGED HERE AT THE AT THE HORSESHOE BECAUSE THERE'S LITIGATION. BUT I THINK WE ALSO HAVE THE TOOLS IN OUR BELT TO GET THAT LITIGATION FROM CONTINUING. SO I WOULD LOVE FOR US TO HEAR SOME LEGAL RECOMMENDATIONS OF WHAT WE COULD DO AS A CITY TO MOVE FORWARD SO THAT WE COULD ACTUALLY PUT SOME TEETH IN WHAT IT IS THAT WE'RE TRYING TO ACCOMPLISH FOR THE RESIDENTS, IF NOT, ALL WE ARE DOING IS PROVIDING LIP SERVICE. WE CAN CONTINUE TO TALK ABOUT SHORT TERM RENTALS HERE IN THE SAME MANNER WITHOUT DOING SOMETHING DIFFERENTLY. AND I THINK WE ALL KNOW WHAT THE DEFINITION OF INSANITY IS. THANK YOU, MR. CHAIR. CHAIRMAN NAVARRO. THANK YOU, MR. CHAIR. SO REALLY QUICKLY, WE DO HAVE AN ORDINANCE THAT WE PASSED. IS THAT CORRECT? THAT IS CORRECT. AND THAT'S AN IT'S UNDER INJUNCTION RIGHT NOW. SO IT MEANS WE CAN'T ENFORCE IT AT THIS POINT. IS THAT CORRECT? THAT IS CORRECT. VERY GOOD. AND SO, YOU KNOW, I'M NOT GOING TO REDO THIS WHOLE WE'VE DONE THIS FOR 5 OR 6 YEARS AND IT'S IN THE COURTS. THE BALL HAS BEEN PASSED TO THE COURTS. AND THAT'S THE LEGAL RIGHT OF THE SHORT TERM RENTAL ASSOCIATION GROUP, WHATEVER YOU WANT, WHATEVER THEY'RE CALLED. AND WE HAVE TO WAIT. THERE'S A JUDGE. THERE'S, YOU KNOW, OUR LAWYERS, THEIR LAWYERS, AND THEY'RE GOING TO LITIGATE THIS, AND WHO KNOWS HOW LONG IT'LL TAKE. WE DON'T GET TO PUSH THE COURTS. SO THERE ARE THINGS THAT ARE HAPPENING, RIGHT? REGARDLESS OF BECAUSE WHEN THIS WHOLE THING STARTED, THERE WERE TONS OF THESE HOMES, THESE OWNERS THAT WERE NOT REGISTERED OR REFUSED TO REGISTER ANYWAY. AND WE WERE TRYING TO FIGURE OUT HOW TO CATCH THEM. YOU KNOW, THE PLATFORMS WOULDN'T HELP US. WE, YOU KNOW, IT WAS JUST IT WAS JUST A BIG MESS. AND SO WE WERE TRYING TO GET TO THAT. BECAUSE IT'S VERY CONFUSING STATE LAW. AND OUR CITY ORDINANCES CONFLICT ON WHAT IS A HOTEL AND WHAT ISN'T. AND HOW DO YOU COLLECT HOTEL OCCUPANCY TAX AND WHERE DO YOU NOT COLLECT HOTEL OCCUPANCY TAX. AND SO THAT'S WHY THIS IS A BIG CAN OF WORMS. IS THIS WHERE WE STARTED TO WHERE WE ARE NOW? AT LEAST WE HAVE SOME DOCUMENTATION DOCUMENT. AND THE COURTS WILL DECIDE WHAT WE CAN ENFORCE, WHAT WE CAN'T ENFORCE FROM THAT DOCUMENT. BUT I DO KNOW THAT WE STILL HAVE PROBLEMS. THEY'RE NOT AS BAD AS THEY WERE, I THINK, BECAUSE A LOT OF THE PLATFORM, THE OWNERS, YOU KNOW, ARE TRYING TO MAKE SURE THAT PEOPLE DON'T MESS UP. HOWEVER, THERE'S STILL BAD ACTORS OUT THERE AND IT DOESN'T MATTER IF THEY HAD A PERMIT, THEY DIDN'T HAVE A PERMIT, THE REGISTRATION, WHATEVER. IF THEY WEREN'T REGISTERED OR NOT REGISTERED, A BAD ACTOR IS GOING TO BE A BAD ACTOR. AND WHAT I CAN TELL YOU FROM WEST DALLAS, Y'ALL KNOW EVERYBODY KNOWS ABOUT IVANHOE STREET BECAUSE IT'S LIKE EVERY WEEKEND IT'S THE SAME THING, THE [00:40:08] SAME HOUSE, THE SAME PARTIES GOING ON. AND THAT PERSON'S PROBABLY NOT REGISTERED. IT WOULDN'T MATTER BECAUSE THAT PERSON WOULDN'T BE REGISTERED. AND THE ONLY THING THAT THAT PERSON HAS SAID, YOU KNOW, WAS ON THE NEWS WAS HE WAS MORE UPSET THAT HE WASN'T GETTING A CUT OF THE FEES THAT THAT THE DIFFERENT PROMOTERS WERE SENDING TO US. SO HOW DO WE GO AFTER THAT? LIKE BECAUSE THESE ARE BUSINESSES, BUT THEY'RE IN SINGLE FAMILY RESIDENTIAL HOMES OR THEY'RE IN MULTI-FAMILY HOMES, IS THERE A WAY THAT COMMUNITY PROSECUTION CAN COME AFTER THEM IF THERE'S ENOUGH ABATEMENTS, ENOUGH CALLS, OR BECAUSE IT'S IN THAT BUSINESS, IT'S IN THAT HOTEL NOW THAT'S IN THE MIDDLE OF A NEIGHBORHOOD OR THAT THAT ILLEGAL INDOOR EVENT VENUE. I MEAN, THAT'S WHAT THESE REALLY ARE FOR THE REALLY BAD ACTORS. SO IS THERE A WAY TO DEAL WITH THINGS THAT WAY THAT WE WITHOUT BEING ABLE TO UTILIZE THE ORDINANCE? WELL, OUR OTHER CHAPTER ORDINANCES ARE STILL EFFECTIVE. CHAPTER 27, CHAPTER SEVEN A, AS WELL AS OUR PROMOTER'S ORDINANCE. BUT ANY VIOLATION THAT IS INDEED CONFIRMED BY OUR CODE COMPLIANCE TEAM WOULD BE ISSUED APPROPRIATE NOTICES OF VIOLATIONS AND OR CITATIONS AND THEN BE ELIGIBLE FOR TRIAGE AND POSSIBLY EVEN OUR HABITUAL NUISANCE DESIGNATION. YEAH. VERY GOOD. AND, YOU KNOW, I MEAN, IT'S I KNOW, I KNOW, WE TRY TO FIND THEM LIKE IN MY DISTRICT. I KNOW, YOU KNOW, PEOPLE SEND US WHEN THEY SEE THESE PARTIES BEING ADVERTISED ON TIKTOK AND OTHER SOCIAL MEDIA PLATFORMS, AND THEN WE JUST SEND THEM IN SO THAT FOLKS KNOW, YOU KNOW, THAT WAY STAFF CAN KIND OF SEE WHAT THEY COULD OR COULDN'T DO TO MAKE SURE THAT THEY'RE IN COMPLIANCE WITH WHATEVER THEY HAVE TO BE IN COMPLIANCE WITH. AND THERE'S JUST IT'S JUST A LOT OF DIFFERENT PROBLEMS. AND I KNOW IT'S NOT JUST UP TO CODE TO MAKE THE DECISIONS. AND, YOU KNOW, YOU CAN'T DEAL WITH EVERY SINGLE TIME ONE OF THESE IS HAPPENING. BUT THEY IT'S WHEN IT HAPPENS AND IT'S BAD. IT'S BAD. AND IT JUST SEEMS TO BE LIKE THAT FOR ME. IT'S THAT ONE STREET. BUT WE'RE STARTING TO SEE THE PROBLEMS POP UP ALL OVER THE PLACE AGAIN. EVEN THOUGH NOT AS MANY PEOPLE ARE UTILIZING THEM, OR THERE ARE A LOT OF PEOPLE WHO ARE LIKE, I'M OUT OF THIS. I DON'T WANT TO DEAL WITH, YOU KNOW, ALL THIS DRAMA. BECAUSE IT'S ALL OVER THE COUNTRY. IT'S ALL OVER THE WORLD. ACTUALLY. THERE'S COUNTRIES NOW BANNING THEM FROM BEING IN THEIR ENTIRE COUNTRY. AND, YOU KNOW, WE HAVE STATES AND CITIES ARE ALL TRYING TO FIGURE OUT WHAT TO DO BECAUSE IT'S JUST A BIG PROBLEM. AND I THINK Y'ALL ARE DOING THE BEST YOU CAN WHILE THERE'S AN INJUNCTION, YOU KNOW, THERE'S NOT A LOT YOU CAN DO, BUT THERE ARE CERTAIN THINGS YOU CAN DO. AND I APPRECIATE THAT YOU GUYS ARE DOING THE BEST YOU CAN. AND RESIDENTS JUST WHEN WHEN THESE POP UP, YOU HAVE TO PLEASE CALL 311. YOU KNOW, MAKE SURE YOU CALL 311 AND YOU SAY IT'S A SHORT TERM RENTAL OR IT'S AN, YOU KNOW, WHATEVER BRAND YOU WANT TO CALL IT. BUT TELL THE OPERATORS THE SHORT TERM RENTAL BECAUSE IT GETS HANDLED DIFFERENTLY AND THE POLICE CAN ONLY DO SO MUCH. IT'S A LOUD PARTY, THEY'RE JUST GOING TO COME KNOCK ON THE DOOR, YOU KNOW, TURN IT DOWN UNLESS THEY SEE SOME ILLEGAL STUFF GOING ON. YOU KNOW, WE GOT LUCKY ON THAT ONE ON IVANHOE THAT MADE THE NEWS BECAUSE IT WAS JUST IT WAS OUT OF CONTROL, RIGHT? IT WAS ABOUT TO BE THE ONE WE HAD, LIKE THE ONE WE HAD IN MIDWAY HOLLOW BEFORE WE TOOK THE VOTE. AND THAT'S NOT WHAT WE WANT. THESE FOLKS THAT LIVE IN THESE NEIGHBORHOODS, YOU KNOW, TRUST ME, I'M GETTING THE PHONE CALLS AT 1 A.M., 2 A.M. WHEN THE PARTY STARTS GETTING OUT OF HAND BECAUSE I'M THERE, YOU KNOW, MY PHONE IS RIGHT NEXT TO ME. I'M NOT GOING TO NOT ANSWER A CONSTITUENT IF THEY'RE CALLING ME. SO IT'S DIFFICULT. IT'S HARD. BUT YOU GUYS ARE DOING THE BEST YOU CAN. KEEP DOING IT BECAUSE Y'ALL ARE WINNING ON SOME OF THESE. BECAUSE SOME OF THESE FOLKS, YOU KNOW, THEY THE OWNER WAS LIKE, YOU KNOW WHAT? I DON'T WANT TO MESS WITH THIS ANYMORE. AND THEY CLAMP DOWN, RIGHT? OR THE AIRBNB PLATFORM PEOPLE, THE OWNERS, OTHER OWNERS COME AND GO GRAB THAT OWNER IF IT HAPPENS TO BE ON THEIR PLATFORM BECAUSE THEY WANT THEM OUT OF THERE. BUT THERE'S SO MANY DIFFERENT WAYS TO DO THIS THAN JUST THE REGULAR PLATFORMS WE KNOW OF. AND THERE'S I MEAN, IT JUST THERE'S LAYERS AND LAYERS AND IT'S HARD TO CATCH ALL OF THAT. BUT YOU GUYS, I THINK, ARE DOING THE BEST YOU CAN RIGHT NOW. AND IT'S NOT AS BAD AS IT WAS. BUT THAT DOESN'T MEAN THAT WE SHOULD SAY, LET'S STOP DEFENDING OUR ORDINANCE THAT WE PASSED BECAUSE I BELIEVE IN IT, YOU KNOW? AND IF IT DOESN'T WORK, THEN YOU CAN MASSAGE IT AND CHANGE IT LATER ON. BUT IF IT'S IF IT DOES WORK, THEN WE'RE IN A BETTER PLACE. THANK YOU, MR. CHAIR ARNOLD, DO YOU HAVE ANYTHING BEFORE I GO BACK TO RILEY, I KNOW MR. WILLIS BEEN HERE, SO LET HER SPEAK QUICKLY AND GO BACK TO YOU. HI. GO AHEAD. COUNCILWOMAN WILLIS, THANK YOU SO MUCH FOR LETTING ME JOIN TODAY. I WOULD COUNTER ONE THING THAT'S BEEN SAID HERE ABOUT THIS HASN'T HELPED AT ALL BY FILING THIS OR BY OUR VOTE AND BY DEFENDING OUR ORDINANCE IN COURT. I'VE SEEN IN DISTRICT 13 THAT THERE WERE SHORT TERM RENTAL OWNERS WHO EITHER DIVESTED THEMSELVES OF A PROPERTY INTO SINGLE FAMILY HOME OWNERSHIP AND OTHERS WHO CONVERTED TO LONG TERM RENTAL SITUATIONS. AND SO BOTH OF THOSE HELP OUR HOUSING MARKET BY PUTTING MORE SINGLE FAMILY HOMES BACK INTO THE MARKETPLACE FOR DALLAS RESIDENTS TO BUY. [00:45:03] SO I WOULD SAY I WOULD WANT TO PUSH A LITTLE HARDER ON THIS BECAUSE WE STILL HAVE LAWS. THIS IS WHAT IT CAME DOWN TO WHEN WE WERE DISCUSSING THIS ON JUNE 14TH, 2023. AND DOCUMENTING WHAT'S HAPPENING AND CITING THAT IS A WAY THAT WE CAN GET AT IT WHILE WE WAIT FOR THIS TO BE SORTED OUT. I KNOW WE'RE WAITING FOR NOVEMBER 13TH, A MERE NINE DAYS AWAY FOR THIS HEARING. HOWEVER, I WANT TO GO TO PAGE SEVEN AND UNDERSTAND THE DISTINCTION BETWEEN THE CODE INSPECTORS THAT WERE HIRED. AND I BELIEVE IT WAS QUOTED THAT THIS WAS FOR INSPECTION PURPOSES AND HOW THAT COULD BE RELATED TO THE ISSUES THAT WE HAVE THAT YOU SAY THE NIGHT TIME ENTERTAINMENT TEAM CAN ADDRESS, BUT CAN THOSE INSPECTORS, ARE THEY JUST WORKING 8 TO 5, OR DO SOME OF THOSE GO INTO EVENING HOURS? AND I'M NOT TALKING ABOUT INTERACTING WITH THE PEOPLE ON SITE, BUT YOU CAN GAUGE AT THE STREET WHAT A DECIBEL LEVEL IS. SO TELL ME ABOUT THE INTERRELATION BETWEEN CODE INSPECTORS, NIGHTTIME ENTERTAINMENT TEAM AND HOW WE CAN BRIDGE SOME OF WHAT WE KNOW THESE ISSUES ARE. YES, MA'AM. AS YOU DID, STATE OUR CURRENT SHORT TERM RENTAL STAFF WHO WERE MENTIONED IN THIS PRESENTATION. THEY WORK A TRADITIONAL MONDAY THROUGH FRIDAY, 8 TO 5 STANDARD SCHEDULE. AS FAR AS OUR NIGHTTIME ENTERTAINMENT TEAM, THIS TEAM WAS MORE SO STOOD UP TO ENFORCE ON ENTERTAINMENT DISTRICTS, THINK CLUBS. PUBS. BARS, RESTAURANTS. THINGS AND TRADITIONAL ENTERTAINMENT ZONES. IT'S A TEAM OF THREE SIMILAR INSPECTORS, BUT THEY DO WORK AN EVENING SHIFT THURSDAY THROUGH SUNDAY, 5 P.M. TO 4 A.M., SO THEY WORK IN EXTENDED LATE NIGHT SHIFT. IT'S A SMALLER TEAM, THEREFORE THEY CANNOT COVER AS MUCH GROUND AND BE AT EVERY LOCATION. BUT AS YOU DID ELOQUENTLY PUT, WE DO ENCOURAGE RESIDENTS OF THE CITY OF DALLAS TO CALL IN ANY CONCERN FOR HISTORICAL AND DOCUMENTATION PURPOSES. WE CAN ADDRESS WHAT WE CAN ADDRESS, AND EVEN IF WE CANNOT ENFORCE 42 B AT THIS TIME, WE CAN KEEP ACCOUNT OF THESE COMPLAINTS AND CONCERNS. SO WHEN THE INJUNCTION IS LIFTED AND WE CAN ENFORCE, WE NOW HAVE A HISTORY ON THIS PROPERTY AND HAVE THE CHOICE AT THAT TIME TO PROCEED WITH PROVIDING THEM THE REGISTRATION OR HOLDING THEM ACCOUNTABLE FOR WHAT THEY'VE DONE IN THE PAST. SO WHEN A MEMBER OF CODE COMPLIANCE HEARS A NOISE COMPLAINT, AND DO YOU HAVE AN APP OR SOMETHING THAT GAUGES DECIBELS AT THE STREET. SO OUR TEAM DOES INDEED HAVE EQUIPMENT FOR NOISE MEASUREMENTS. TYPICALLY FOR ENFORCEMENT WITH OUR NINE ENTERTAINMENT DISTRICTS, SINCE WE'RE NOT OPERATING IN RESIDENTIAL ZONES, IT'S NOT NECESSARILY NECESSARY FOR CHAPTER 30 FOR OUR NOISE ORDINANCE. IF WE CAN HEAR A DISTURBANCE OR NOISE BEYOND THE PROPERTY LINES, IT IS ENFORCEABLE AT THAT TIME. BUT SO YOU SAID THERE IS EQUIPMENT THOUGH THAT CAN GAUGE THAT. YES, MA'AM. WE DO HAVE SOUND DEVICES. SO THE NIGHTTIME ENGAGEMENT TEAM, YOU'RE SAYING THEY DON'T HAVE IT OR THEY DO HAVE IT? THE NIGHTTIME TEAM DOES INDEED HAVE EQUIPMENT. HOWEVER, IT'S NOT NECESSARY FOR ENFORCEMENT AT COMMERCIAL PROPERTIES, AND I'M NOT CONCERNED WITH THAT RIGHT NOW. I AM CONCERNED WITH OUR RESIDENTIAL NEIGHBORHOODS. SO WHAT IS TO PREVENT A MEMBER OF THAT TEAM FROM GOING AND DOCUMENTING? BECAUSE I UNDERSTAND THAT A RESIDENT CAN SEND IN A VIDEO. AND WHILE THAT MAY BE HELPFUL, IT'S NOT OFFICIAL. BUT IF DPD DOCUMENTS SOMETHING OR IF CODE COMPLIANCE DOCUMENTS SOMETHING THAT IS OFFICIAL. SO WHAT WOULD PREVENT A MEMBER OF THE NIGHTTIME ENTERTAINMENT TEAM? WHEN WE HEAR THESE COMPLAINTS OVER AND OVER, ALL NIGHT LONG OF LOUD MUSIC DISRUPTING NEIGHBORHOODS FOR BLOCKS TO GAUGE THAT IN THAT MOMENT, BE ABLE TO DETERMINE WHERE IT'S COMING FROM AND SITE THAT PROPERTY OWNER. I DO WISH TO CLARIFY THAT OUR TEAM IS AVAILABLE AND DO THEIR BEST TO MAKE IT TO THESE LOCATIONS WHEN THEY ARE REPORTED, WITH IT BEING A SMALLER STAFF OF THREE, AND THEY DO HAVE TO RIDE IN PARTNERSHIPS, THEY CANNOT COVER THE ENTIRETY OF THE CITY AND MAKE IT OUT TO THESE DISTURBANCES ALL THE TIME. WHEN THEY'RE HAPPENING IN REAL TIME, WE DO INDEED ATTEMPT CONTACT WITH PROPERTY OWNERSHIP, WE DO DOCUMENT DISTURBANCES, AND THAT CAN BE ADDRESSED AT THAT TIME IF IT'S WITHIN OUR WHEELHOUSE AND CODE. TYPICAL NOISE DISTURBANCES IN RESIDENTIAL NEIGHBORHOODS FALL WITHIN THE RESPONSIBILITY AND THRESHOLDS OF OUR DPD DEPARTMENT. WELL, THAT'S THE RUB, IS THAT THESE THINGS HAPPEN OVERNIGHT WHEN DPD IS ANSWERING PRIORITY ONE CALLS AND WE'VE GOT THE EQUIPMENT AND THE STAFF, BECAUSE I KNOW WE'VE DEPLOYED THEM IN DISTRICT 13 BEFORE AND I MEAN PRESUMABLY TAKING THEM OUT OF THE ENTERTAINMENT DISTRICT. BUT I MEAN, THIS IS CRISIS IN NEIGHBORHOODS, AND WE KIND OF THROW UP OUR HANDS AND SAY, WE DON'T REALLY HAVE A SOLUTION HERE. AND SO WHAT I'M ASKING FOR IS A SOLUTION. WE HAVE THE EQUIPMENT, WE HAVE THESE TEAMS. IT SOUNDS LIKE WE NEED MORE OF THESE TEAMS AND NEED TO CONSIDER, WHILE WE'RE IN THIS STATE OF FLUX, WHAT WE CAN DO TO DOCUMENT IT AND SEND [00:50:05] THAT CITATION SO THAT WE'RE NOT PLAYING GAMES HERE ANYMORE, IF IT'S DOCUMENTED USING OUR CITY EQUIPMENT AND, YOU KNOW, GO ON AND SEND THAT TO THAT PROPERTY OWNER. I MEAN, I WOULD LIKE TO SEE US MOVE TO THAT KIND OF STEP. OTHERWISE IT IS JUST NOT EVEN A SLAP ON THE WRIST. I MEAN, THESE PEOPLE JUST CONTINUE OPERATING THIS WAY. I'VE GOT I'VE GOT PEOPLE WHO ARE JUST DON'T EVEN KNOW IF THEY CAN STAY IN THE CITY ANYMORE BECAUSE OF WHAT THEY HAVE GOING ON NEXT DOOR, WITH FIGHTS BREAKING OUT AND SPILLING INTO THEIR YARD, AND PEOPLE PARKING IN THEIR DRIVEWAY AND IN FRONT OF FIRE HYDRANTS AND MUSIC GOING ON ALL NIGHT. AND SO I FEEL LIKE I JUST FEEL LIKE WE HAVE SOMETHING THAT WE MIGHT BE ABLE TO DO TO START MAKING IT HURT THEIR WALLET A BIT MORE TO GET THEIR ATTENTION ABOUT WHO THEY'RE RENTING TO. I MEAN, DOES THIS SOUND VIABLE? THERE WOULD BE CHALLENGES, NECESSARY RESOURCES, STAFFING. SO WE NEED STAFF OPERATIONS. AND WITH THE TYPE OF DISTURBANCE IS, WE DEFINITELY DON'T WANT TO SEND NON-SWORN OFFICERS INTO A SAFETY SITUATION, NOR DO WE HAVE THE AUTHORITY TO ACTUALLY BREAK UP A PARTY. I DON'T WANT TO BREAK UP A PARTY. I DON'T WANT ANYBODY TO INTERACT WITH ANYBODY. I WANT THEM TO GET OUT THEIR PIECE OF EQUIPMENT AND GAUGE THE DECIBEL LEVEL AND SEND A TICKET TO THAT PROPERTY OWNER SO THAT THEY CAN GET IT IN THE MAIL. THIS PERSON CAN THEN LEAVE. THEY DON'T HAVE TO INTERACT WITH ANYBODY. THEY GO, BUT THAT PROPERTY OWNER STARTS HAVING IT ADD UP AND SO WE GET THEIR ATTENTION. SO THERE IS SOMETHING WE CAN DO IN THIS INTERIM PERIOD. SO THAT'S WHAT I'M ASKING FOR. AND IF IT'S A STAFFING ISSUE THEN I SUGGEST WE REEVALUATE WHERE SOME DOLLARS ARE AND HOW WE CAN BEEF UP THIS NIGHTTIME ENTERTAINMENT STAFF AND HAVE MAYBE A RESIDENTIAL UNIT THAT MIGHT BE ABLE TO GO ACROSS OUR DISTRICT. SO, I MEAN, I'M JUST I'M LOOKING FOR A SOLUTION HERE, AND I UNDERSTAND YOU ALL, YOU KNOW, MANAGE THE ENTERTAINMENT DISTRICTS. ET CETERA. BUT I WANT TO GO BACK TO A QUESTION ON NUMBERS AND MAYBE, MISTER SUNDIATA, THIS IS FOR YOU, BECAUSE AS I LOOK AT ENFORCEMENT AND ALL THESE NUMBERS ON PAGE NINE AND ACTUALLY PAGE FOUR ABOUT THE TOTAL STRS DETECTED IS 34.95. BUT ON THE MEMO THAT CAME OUT FRIDAY, IT HAD A TOTAL OF 2587 AND THE DATES. THAT'S ONLY A SIX WEEK DIFFERENCE, SO I DON'T THINK 908 PROPERTIES WERE DETECTED IN A SIX WEEK PERIOD. MAYBE I'M WRONG, BUT DO YOU KNOW WHAT I'M TALKING ABOUT? THE MEMO ON FRIDAY ABOUT THE 911 CALLS, THE POLICE CALLS. AND I WOULD HAVE TO THANK YOU. GREAT QUESTION. I WOULD HAVE TO YIELD TO THIS DATA IS GENERATED BY THE COMPTROLLER'S OFFICE GOV OS SYSTEM. AND THIS WAS AS OF SEPTEMBER 30TH. SO I'M NOT SURE WHAT THE DATE IS ON THAT. BUT THIS IS OF SEPTEMBER 11TH. SO THAT'S A BIG NUMBER. THAT'S WHY IT JUMPED OUT AT ME. ALMOST A THOUSAND PROPERTIES IN A TIME PERIOD OF TWO WEEKS OR A SHORT PERIOD OF TIME. IS IT POSSIBLE FOR A RESIDENCE TO BE A SINGLE FAMILY RESIDENCE, TO BE A HABITUAL NUISANCE PROPERTY? YES, MA'AM. OKAY. BECAUSE AS I LOOK AT THE FIGURES, I MEAN, I KNOW IN MY DISTRICT I HAD 183 STRS ON THE PROPERTY COUNT. YET 437 911 POLICE CALLS. AND I'VE ASKED DOCTOR ANDERCHEK AND HER TEAM TO LOOK AT WHERE THOSE PROPERTIES ARE, BECAUSE I HAVE A FEELING IT'S KIND OF THE 80 OVER 20 RULE. IT'S KIND OF WHAT WE'VE DONE WITH OUR VIOLENT CRIME PLAN, FOCUSING ON CERTAIN AREAS THAT WE KNOW ARE THE GREATEST OFFENDERS. AND SO I'M JUST CONCERNED BECAUSE THIS IS WHAT WE GET AT WITH THE NEED TO SITE ENFORCE ON THE HOT TAXES, BECAUSE THERE IS THIS MEMO FROM FRIDAY, NOVEMBER 1ST, SHOWS A DISPROPORTIONATE AMOUNT OF CALLS ON FIRE 311 AND POLICE, ESPECIALLY ON POLICE, THAT STRS ARE GENERATING. I WILL TELL YOU, MY COLLEAGUES, I PUT IN THE DISTRICT 13 NEWSLETTER, THAT WHETHER AN STR IS BEHAVING PERFECTLY, PLEASE SEND THAT ADDRESS TO US SO THAT THE COMPTROLLER'S OFFICE CAN LOOK THEM UP TO ENSURE THAT WE ARE RECOUPING THAT HOT TAX TO HELP PAY FOR THIS OFFSET OF RESOURCES THAT THIS DATA SHOWS THAT THEY'RE USING. THANK YOU. CHAIR. CHAIRMAN. REALLY? THANK YOU, MR. CHAIR. SO IS WHY CAN'T THESE SEVEN INSPECTORS THAT WERE HIRED FOR THE EXPRESS PURPOSE OF HANDLING STR VIOLATIONS BE USED TO HANDLE NUISANCE REPORTS AND COMPLAINTS ABOUT THEIR OPERATION? WE'VE GOT STATISTICS ABOUT HOW MANY THERE ARE IN EACH DISTRICT. WE KNOW WHERE THEY ARE. WHY CAN'T WE HAVE THOSE INSPECTORS THAT WERE HIRED FOR THIS PURPOSE GO OUT AND ENFORCE OUR EXISTING ORDINANCES? GREAT QUESTION, COUNCIL MEMBER. [00:55:02] CERTAINLY, YOU KNOW, THAT'S SOMETHING WE CAN CERTAINLY TAKE INTO CONSIDERATION. WE PIVOTED THE MOMENT THE INJUNCTION, YOU KNOW, WENT INTO EFFECT AND SIMPLY REDEPLOYED THEM TO SOME OF OUR OTHER HIGH IMPACT AREAS TO ENSURE THAT THEY GOT THE ADEQUATE TRAINING THAT THEY NEEDED. AND AS WAS ENUMERATED EARLIER, 13,000 INSPECTIONS OR MORE WERE GENERATED AS A RESULT. AND SO WE REALLY CAPITALIZED ON THE TIME TO ENSURE THAT WHENEVER AND IF EVER THE INJUNCTION WAS LIFTED, THAT THESE GUYS WERE READY TO GO AND HIT THE GROUND RUNNING. BUT THAT'S CERTAINLY A CONVERSATION THAT WE CAN ENTERTAIN. WELL, I'M GLAD TO HEAR THAT THEY'RE NOT JUST SITTING AROUND WHEN THEIR ORIGINAL FUNCTION WAS BARRED BY THE COURT, BUT THAT DOESN'T MEAN WE CAN'T ENFORCE OUR OTHER ORDINANCES AGAINST NUISANCE, PARKING VIOLATIONS, NOISE, ETC. WE'VE GOT THEM. THAT'S THE STAFF THAT YOU SAY YOU NEED, IT SEEMS TO ME. ARE YOU AWARE THAT THERE WERE OVER A THOUSAND CALLS DURING A 12 MONTH OR 14 MONTH PERIOD FROM JUNE OF 23 TO SEPTEMBER OF 24, COMPLAINING ABOUT STRS THAT NOW LET ME AMEND THAT THERE WERE ALMOST 4700 CALLS. MY POINT IS, THEY CAME FROM 1090 DIFFERENT PROPERTIES. ARE YOU AWARE OF THAT? WE'VE HAD THE OPPORTUNITY TO REVIEW SOME METRICS PROVIDED TO US BY DATA ANALYTICS. I'M NOT SURE IF I HAVE SEEN THAT EXACT DOCUMENTATION THAT YOU'RE REFERENCING. WELL, THEY'RE CONTAINED IN THE NOVEMBER 1ST MEMO THAT COUNCILWOMAN WILLIS HAD REFERENCE TO. AND THEY DO COME FROM DATA ANALYTICS. AND SO I THINK THIS DISPELS THE ARGUMENT THAT THEY MADE FREQUENTLY IN OPPOSING THE 42 B ORDINANCE, THAT IT WAS JUST A FEW BAD APPLES. IT'S REALLY A THOUSAND BAD APPLES. NOW, WHAT IS THE CITY DOING TO ENFORCE THE REQUIREMENT TO PAY HIGH TAX BY STRS? SO GAVINO ASKED THE SCRAPES THE ALL THE ADVERTISEMENTS FROM THE PLATFORMS. I SAY SCRAPE, THEY'RE JUST REVIEWING ALL THE ADVERTISEMENTS FOR AIRBNB, VRBO, ALL OF THOSE PLATFORMS. AND WHEN THEY IDENTIFY SOMEBODY OPERATING AS A SHORT TERM RENTAL, THEY WILL GIVE US THE LIST OF ALL OF THOSE PROPERTIES. IF WE ALREADY HAVE THEM IN OUR SYSTEM OPERATING AS A SHORT TERM RENTAL, WELL, THEY'RE ALREADY REGISTERED TO COLLECT AND PAY TAX, BUT IF THEY'RE NOT IN OUR SYSTEM, WE SEND OUT A LETTER EVERY MONTH THAT TELLS THEM THAT THEIR PROPERTY HAS BEEN IDENTIFIED AS OPERATING AS A SHORT TERM RENTAL, AND THAT THEY'RE REQUIRED TO START COLLECTING AND REMITTING HOTEL OCCUPANCY TAXES. SO IF THEY DO NOT DO ANYTHING. THE NEXT MONTH WE SEND THEM ANOTHER LETTER. WE JUST CONTINUE TO SEND LETTERS. THAT'S WHAT WE'RE. THAT'S WHAT WE'RE DOING CURRENTLY, SO. WELL, THEY. ISN'T THERE ANYTHING MORE YOU CAN DO THAN JUST SEND FRIENDLY LETTERS? WE SEND THEM LETTERS AND WE SEND THEM FOUR DIFFERENT LETTERS. THEY GET PROGRESSIVELY MORE STERN. THE LAST ONE MENTIONS THAT THEY COULD RECEIVE CITATIONS FOR NOT FILING AND PAYING THEIR TAXES. AT THIS POINT, I DON'T THINK WE'VE I DON'T THINK WE'VE YET TO SEND A CITATION TO THEM. WE AND WE WOULDN'T SEND THE CITATION. IT WOULD BE A CODE A CODE VIOLATION. WELL, DO YOU HAVE ANY PROCESS TO ALERT CODE IF SOMEONE IS A SCOFFLAW AND FAILING TO PAY HOT TAX AFTER THE FOURTH LETTER, WE DO NOT SEND THEM A LIST OF ALL THE PROPERTIES THAT HAVE NOT REGISTERED. HOW MANY ARE THERE? I'VE NOT DONE THAT. HOW MANY ARE THERE THAT AREN'T REGISTERED? SO AT THE END OF SEPTEMBER, WE THINK THERE'S ABOUT 1462. AND THEY MAY OR MAY NOT ALL BE OPERATING AS SHORT TERM RENTALS, BUT THAT'S THE NUMBER THAT GOV OS HAS GIVEN US THAT THEY, THEY BELIEVE THESE PROPERTIES ARE OPERATING AS A SHORT TERM RENTAL. IT'S ON PAGE NINE OF THE SLIDE. SO THAT'S OVER A THIRD. IF WE ASSUME THERE ARE 3500, THAT'S OVER A THIRD OF THE STRS OUT THERE. YES. WELL WE'RE FOREGOING A HUGE AMOUNT OF HOT TAX FROM THESE BUSINESSES. IT JUST SEEMS TO ME THAT WE OUGHT TO BE FOCUSED ON TOOLS AVAILABLE TO US TO REQUIRE COMPLIANCE WITH THIS STATE LAW, THAT THEY PAY HOT [01:00:02] TAX. WHAT DO WE DO IF A 100 UNIT MOTEL FAILS TO PAY HOT TAX? WHAT DO YOU DO IN THAT SITUATION? IF THEY FAIL TO PAY OR FILE THEIR TAX RETURN, THEN WE REACH OUT TO THEM AND WE ASK THEM AND WE JUST CALL THEM AND ASK THEM, YOU KNOW, WHY HAVEN'T YOU BEEN PAYING YOUR TAXES? IF THEY SAY, I'M NOT PAYING IT? WELL, WHAT ENFORCEMENT MECHANISM DO YOU HAVE? WE WE DO AUDIT THE HOTELS. IF THEY DON'T PAY, SOMETIMES WE DO GO OUT AND AUDIT THEM AND RECALCULATE WHAT THEY OWE US AND SEND THEM A BILL. OKAY. BUT IF THEY STILL REFUSE TO PAY, WHAT LAW ENFORCEMENT MEASURES CAN YOU BRING AGAINST THEM IF THEY STILL REFUSE TO PAY? WE REACH OUT TO THE CITY ATTORNEY'S OFFICE, AND IF THEY OWE US MORE THAN $5,000, THEN WE TURN IT OVER TO THEM TO COLLECT THE TAX. OKAY, SO THEN THE CITY ATTORNEY'S OFFICE COULD POTENTIALLY BRING SUIT AGAINST THEM FOR FAILURE TO PAY THE HOT TAX? YES. ANY REASON WHY WE CAN'T DO THAT WITH SCOFFLAW STR OWNERS? WELL, THE ATTORNEY'S OFFICE WILL NOT DO ANYTHING UNLESS WE. THAT'S A LEGAL QUESTION. EXCUSE ME? THAT'S A LEGAL QUESTION. LET ATTORNEY ANSWER THAT. SO I DON'T WANT TO, YOU KNOW, BUT YOU KNOW, WE'RE IN A JUNCTION. SO I DON'T WANT TO TALK ABOUT LEGAL BECAUSE WE'RE NOT TALKING. BUT HE BUT HE NOT ATTORNEY. HE JUST PRESUMED. SO. OKAY. YOU KNOW, SO I DON'T WANT HIM TO PUT HIMSELF ON THE SPOT. IF THE CITY ATTORNEY RESPONDED. YOU KNOW, THERE'S A LAW, YOU KNOW, LET THEM LET ATTORNEY INTERPRET THAT. ONE MOMENT. COUNCIL MEMBER. JUST ONE MOMENT. BURT, ARE YOU GOING TO TACKLE THAT? MR. CHAIR, IF YOU COULD GIVE YOUR LEGAL DEPARTMENT A COUPLE OF MINUTES, I'LL GET RIGHT BACK TO YOU. I JUST NEED TO RESEARCH SOMETHING REAL QUICK. WHILE WE WAITING ON THAT? YOU ALL RIGHT, PAUL? WHILE WE'RE WAITING ON LEGAL. GO AHEAD. OKAY. ALL RIGHT. THIS IS SHIFTING BACK TO SOMETHING THAT COUNCILWOMAN STEWART HAD BROUGHT UP. AND THIS IS ABOUT SINGLE FAMILY PROPERTIES BEING USED AS EVENT VENUES. AND THERE IS ONE AT WALNUT HILL AND PRESTON THAT ACTUALLY HIRES DPD FOR THEIR EVENTS TO BLOCK TRAFFIC TO HELP THE INGRESS AND EGRESS OF THE PROPERTY, WHICH IS A LITTLE BIT EMBARRASSING. HOWEVER WE DON'T REALLY HAVE OUR SYSTEMS TALKING TO EACH OTHER BECAUSE WHY WOULD YOU ANYWAY? BUT IT SOUNDS LIKE THERE'S A NEW APP THAT I THINK WENT INTO USE TODAY CALLED ROLL CALL. AND THIS IS ABOUT OFFICERS WHO THIS IS LIKE THEIR APP TO BE ABLE TO LOOK AT POTENTIAL JOBS FOR OFF DUTY ASSIGNMENTS. AND THEY CAN CLICK ON AN ASSIGNMENT THEY WANT AND THEN THEIR SUPERVISOR HAS TO APPROVE IT. AND SO WHAT I WOULD ASK IS THAT WE EXPLORE ON THE LIST. I SAW IT WAS THINGS LIKE A SCHOOL, A GROCERY STORE. THERE WERE SOME THAT CLEARLY ARE COMMERCIAL BUSINESSES, SO WE DON'T NEED TO DOUBLE CHECK THOSE NECESSARILY FOR THIS PURPOSE. BUT IF IT IS A SINGLE FAMILY RESIDENCE, I WOULD LIKE TO EXPLORE WHAT KIND OF MECHANISM DPD MIGHT IN THAT SUPERVISOR APPROVING SOMETHING. SAY, YOU KNOW WHAT, WE NEED TO RUN THIS BY OUR SPECIAL EVENT OFFICE BECAUSE HOW EMBARRASSING IS IT TO HAVE AN ILLEGAL LAND USE THAT SOMEONE'S HIRING OUR OFF DUTY POLICE OFFICERS TO FACILITATE ATTENDING? SO I JUST WANT YOU ALL TO LOOK INTO THAT AND SEE HOW WE MIGHT BE ABLE TO USE THIS BRAND NEW PIECE OF TECHNOLOGY TO BE ABLE TO HELP MAKE IT EASIER TO IDENTIFY THOSE PROPERTIES AND JUST TRY TO GET AT IT THAT WAY. THANK YOU. THANK YOU VERY MUCH. OKAY BERT, YOU HAVE THE ANSWER FOR CHAIRMAN RIDLEY. MR. CHAIR, THANK YOU FOR GIVING ME THAT MOMENT. I THINK IT'S ACCORDING TO AN AD. I COULD BE WRONG ON THAT, BUT WE ONLY DO COLLECTIONS OVER $5,000, WHICH I THINK WAS BASICALLY THE CRUX OF THE QUESTION. SO AS A FOLLOW UP, BERT, IF THE HOT TAX OWED EXCEEDS 5000, THERE'S NO REASON WHY THE CITY CAN'T SEEK TO COLLECT THAT THROUGH LEGAL MEANS ON ITS FACE. NO, SIR. THANK YOU. THANK YOU. I KNOW CHAIRMAN WEST IS ON, BUT GPFM IS GOING TO BRING THIS UP ALSO ON THURSDAY. IS THAT CORRECT, CHAIRMAN? SO AGAIN YOU CAN CHIME IN ON THURSDAY WITH GPFM IF YOU WANT TO GET THE SECOND HALF. WITH THAT LET'S GO TO BRIEFING B HEATHER LEPESKA. [01:05:08] IS SHE HERE TODAY. IS SHE THIS MORNING, THIS AFTERNOON? FOREST THEATER REDEVELOPMENT, COMMUNITY DEVELOPMENT. THE OLD FOREST DISTRICT. I GUESS OLD FOREST AVENUE THEATER. GOOD AFTERNOON. I'M KEVIN SPATH, INTERIM DIRECTOR OF THE OFFICE OF ECONOMIC DEVELOPMENT. WITH ME IS HEATHER LEPESKA, ASSISTANT DIRECTOR. ITEM B, WE'RE VERY PROUD TO BRING YOU THIS PROJECT. I'LL GIVE YOU A QUICK OVERVIEW AND THEN TURN IT OVER TO HEATHER FOR THE DETAILS. THIS IS SOMETHING THAT WE'VE BEEN WORKING ON WITH FORREST FORD FOR SEVERAL YEARS. IT IS A PROJECT THAT WE WILL BE BRINGING TO COUNCIL ON NOVEMBER 13TH RECOMMENDING A CHAPTER 373 COMMUNITY DEVELOPMENT GRANT AGREEMENT IN AN AMOUNT NOT TO EXCEED $8 MILLION. THAT WOULD BE SOURCED, 7 MILLION FROM THE NEW INFRASTRUCTURE INVESTMENT FUND AND 1 MILLION FROM THE CITY'S PUBLIC PRIVATE PARTNERSHIP FUND. THE PROJECT, AS IT'S CONCEIVED BY FORREST FORD, IS ALMOST A $66 MILLION PROJECT THAT WILL INVOLVE SEVERAL ELEMENTS, THE FIRST BEING THE REHABILITATION OF THE HISTORIC FORREST THEATER COMPLEX IN ASSOCIATION AND IN ACCORDANCE WITH THE SECRETARY OF THE INTERIOR STANDARDS FOR REHABILITATION. THE SECOND ELEMENT WILL BE THE NEW GROUND UP CONSTRUCTION OF A 28,000 SQUARE FOOT ADDITION OR A NEW BUILDING ADDITION. AND NUMBER THREE, SEVERAL OTHER ELEMENTS INCLUDING A CAFE, A ROOFTOP DECK, A LAWN FOR SPECIAL EVENTS, AND A MULTI-USE FESTIVAL STREET. AS I MENTIONED, THE PROJECT IS LED BY FOREST FORWARD, WHICH WAS FOUNDED IN 2020 TO RESTORE AND EXPAND THE FOREST THEATER AND WORKS WITH THE COMMUNITY TO DRIVE EQUITABLE DEVELOPMENT, ECONOMIC MOBILITY AND IMPROVE OUTCOMES FOR PEOPLE IN THE SOUTH DALLAS COMMUNITY. YOU KNOW, THIS PROJECT IS IMPORTANT FOR US FOR A NUMBER OF REASONS, ONE OF WHICH IS THE WHEN THE CITY COUNCIL APPROVED THE ECONOMIC DEVELOPMENT INCENTIVE POLICY IN 2023, IT INCLUDED THE CREATION OF THE INFRASTRUCTURE INVESTMENT FUND. AND IT ALSO INCLUDED THE CREATION OF THE COMMUNITY DEVELOPMENT PROGRAM THROUGH CHAPTER 373 OF THE LOCAL GOVERNMENT CODE. SO THIS PROJECT TAKES ADVANTAGE OF BOTH OF THOSE THINGS THAT WAS CREATED WITH OUR INCENTIVE POLICY IN 2023. WITH THAT, I'LL STOP TALKING AND TURN IT OVER TO HEATHER IF SHE HAS ANYTHING TO ADD. NO, I THINK YOU'VE SUMMARIZED IT PRETTY WELL. THE ONLY OTHER THING TO NOTE IS THAT THEY WILL. THEY PLAN TO START CONSTRUCTION AS SOON AS JANUARY OF 2025, AND THEY PLAN TO COMPLETE CONSTRUCTION UNDER THE CONTRACT BY DECEMBER 2027. SO THEY ARE READY TO GO. IT'S A $66 MILLION PROJECT, AS KEVIN SAID, AND WE'RE EXCITED TO HAVE SUPPORTED IT. BEFORE I SAY ANYTHING. CHAIRMAN BALZADUA, YOU WANT TO SAY SOMETHING ABOUT YOUR GREAT PROJECT? YES, SIR. THANK YOU, MR. CHAIR. THANK YOU ALL VERY MUCH FOR Y'ALL'S WORK. AND WE HAVE REPRESENTATION FROM FAST FORWARD HERE TODAY. THANK YOU ALL, BOTH FOR EVERYTHING THAT YOU ALL DO WITH THE COMMUNITY. I WILL TELL YOU THAT THIS PROJECT IS JUST BEYOND SOMETHING TO BE EXCITED ABOUT. THIS IS REALLY PUTTING OUR MONEY WHERE OUR MOUTH IS WHEN WE LOOK AT WHAT THESE FUNDS ARE MEANT TO ACCOMPLISH. THIS IS A PROJECT THAT I THINK HITS ALL OF THE AVENUES. THIS IS ALSO ONE THAT I THINK IS IMPORTANT TO HIGHLIGHT THE COLLABORATION THAT EXISTS BETWEEN DISD AND EVEN OUR NORTH CENTRAL TEXAS COUNCIL OF GOVERNMENTS, WHO ARE ALSO PARTNERS OR INVESTORS, IF YOU WILL, IN THE OVERALL OUTCOME. WHEN YOU LOOK AT THAT GREEN AND RED SIGN OUTSIDE OF THE FOREST THEATER, THERE'S A LOT OF NOSTALGIA FOR A LOT OF DALLAS SITES. THERE'S EVEN MORE NOSTALGIA AND SIGNIFICANCE TO BLACK DALLASITES AND WHAT THIS WAS FOR AN ENTIRE GENERATION OF BLACK DALLASITES FOR US TO LOOK AT A TIME PERIOD WHERE WE KNOW DEVELOPMENT, OR I GUESS SOMETIMES THE WORD GENTRIFICATION IS ON THE BRINK. WE WANT TO LOOK TO SEE THAT THIS GROWTH AND THIS DEVELOPMENT THAT TAKES PLACE IN THE COMMUNITY IS ONE THAT LIFTS UP THE EXISTING COMMUNITY AND CONTINUES TO HIGHLIGHT AND PERPETUATE THE SIGNIFICANCE THAT I WAS JUST MENTIONING. AND THAT'S EXACTLY WHAT THIS PROJECT DOES. THIS PROJECT IS GIVING BACK TO THE NEXT GENERATION. THIS PROJECT IS REVITALIZING SOMETHING THAT HAS SO MUCH SIGNIFICANCE WITHIN THE COMMUNITY, BUT IT'S ALSO DOING SOME WORK THAT IS THOUGHTFUL AND NOT MEANT TO [01:10:05] BE AN ASSET THAT'S GOING TO PULL IN A DIFFERENT DEMOGRAPHIC. THIS IS GOING TO BE A DEMOGRAPHIC FOR THE COMMUNITY THAT IT IS MEANT TO SERVE, AND IT'S ALSO GOING TO BRING TO LIFE AND TO REVITALIZE, BUT ALSO A SIGN OF RESILIENCY, THAT OF WHAT SOUTH DALLAS IS. TO ME, THIS IS SIGNIFICANT OF SO MUCH MORE THAN THE THEATER ITSELF. I KNOW Y'ALL ARE EXCITED ABOUT THE THEATER. THAT'S THE PROJECT THAT YOU ALL. BUT THAT THEATER IS A CATALYST FOR SO MANY OTHER PROJECTS AND SO MUCH OTHER MOMENTUM THAT WE HAVE IN SOUTH DALLAS. SO I COULDN'T BE MORE ECSTATIC TO SEE THIS THROUGH AND LOOKING FORWARD TO GETTING THIS TO ALL THE WAY TO COUNCIL. THANK YOU. ANYONE ELSE? I SEE CHAIRMAN NARVAEZ. THANK YOU, MR. MAYOR. I'M GOING TO CONCUR WITH MR. BAZALDUA FROM DISTRICT SEVEN AND SAY I GOT TO, YOU KNOW, I DIDN'T GET TO DO THE TOUR. TOUR. BUT I GOT TO, YOU KNOW, DO A MINI TOUR AND. BUT JUST THE. I LOVE WHAT YOU SAID ABOUT. YES, THE THEATER. IT'S GOING TO COME BACK TO LIFE. IT'S GOING TO DO WHAT IT NEEDS TO. BUT IT'S SO MUCH MORE BECAUSE OF ALL THE TENTACLES AND ROOTS. IT'S GOING TO SPREAD BACK OUT INTO THE REST OF THIS CORRIDOR AND BRING THIS CORRIDOR BACK TO LIFE AND TO. TO WHAT? IT'S VIBRANCY THAT IT PROBABLY USED TO BE. I WASN'T BORN BACK IN THOSE DAYS, SO I NEVER GOT TO EXPERIENCE IT. BUT, YOU KNOW, THE STORIES I'VE HEARD, THE HISTORY THAT I'VE READ, AND THAT'S WHAT'S EVEN BIGGER. AND THEN ALSO IT TOUCHES VISION ZERO WITH THE NEW SAFETY STUFF THAT'S BEING PUT IN AND THE DIFFERENT ELEMENTS OF AN ENVIRONMENTAL, AND I MEAN JUST SO MUCH MORE THAN I THINK THE FOLKS EVER DREAMED THAT THEY WERE DOING WHEN THEY WERE WANTING TO BRING THIS THEATER BACK AND HAD NO IDEA HOW MUCH IT WOULD AFFECT, LIKE, IT JUST KEEPS GOING AND GOING AND GOING AND IT'S GOING TO BE AN EXCITING DAY ONCE IT'S DONE. AND THEN OF COURSE, ALL THE OTHER BIG COMPONENTS ARE DONE AS WELL. BUT THANK YOU ALL FOR DOING THIS, AND I AGREE WE'RE PUTTING OUR MONEY WHERE OUR MOUTH IS IN THE RIGHT SPOT. AND A LOT OF THOSE THINGS WE TALK ABOUT EQUITY AND YOU KNOW, MAKING SURE THAT WE'RE INVESTING INTO SOUTH DALLAS AND SOUTHERN DALLAS EVEN WEST DALLAS, EVEN THOUGH WE'RE NOT SOUTH OF 30. YOU KNOW, BUT SHOWING ALL OF THAT RIGHT TOGETHER. AND THIS IS KEEPING OUR HISTORY. WE'RE NOT LETTING THE BUILDING GET KNOCKED DOWN. IT'S BEING PRESERVED, AND EVERYTHING ELSE IS JUST ALL. IT'S JUST A THERE'S A TON OF CHERRIES ON THIS, ON THIS, ON TOP OF THIS SUNDAY. AND IT'S JUST AWESOME. SO CONGRATULATIONS MR. BAZALDUA. CONGRATULATIONS TO THE THEATER. AND EVERY SINGLE ONE OF THE FOLKS THAT ARE EVERYTHING YOU'RE DOING TO MAKE THIS HAPPEN. AND I KNOW WE STILL HAVE ANOTHER VOTE, BUT I'M ALL IN. THANK YOU, MR. CHAIR. CHAIRMAN RIDLEY. THANK YOU, MR. CHAIR. THIS IS A GREAT PROJECT. I'M GLAD TO SEE IT GOING FORWARD. I JUST HAVE A FINANCIAL QUESTION. THE $8 MILLION THAT THE CITY WILL BE INVESTING IN THIS PROJECT, THAT'S CONTINGENT UPON THEM FILLING THE REST OF THE GAP IN FINANCING. CORRECT. AND I NOTICE FROM THE PROFORMA ON PAGE 15 THAT THERE IS ABOUT $5.3 MILLION IN REMAINING GAP. DO YOU KNOW HOW THE PROPONENTS OF THIS PROJECT WILL BE FILLING THAT GAP? YEAH. THANK YOU FOR THE QUESTION. THEY INDICATED, I MEAN, A SOME OF THIS PRICING IS A LITTLE VARIABLE ON THE TAX CREDITS BECAUSE OF THEY STILL HAVE TO GET THE HISTORIC TAX CREDIT, THE NEW MARKETS TAX CREDIT. SO WE DON'T KNOW EXACTLY WHAT THE GAP IS. BUT THEY ALSO INDICATED KNOWING THAT THE CITY IS CONTRIBUTING WILL MAKE IT MUCH EASIER FOR THEM TO FILL THE REMAINING GAP, BECAUSE THE CITY HAS DEMONSTRATED THAT THEY ARE A STRONG PARTNER IN THE PROJECT. BUT THOSE WOULD HAVE TO BE WHAT PRIVATE CONTRIBUTIONS? YES. OKAY. THANK YOU. ANYONE ELSE? I JUST WANT TO [INAUDIBLE] YOU KNOW, I BELIEVE THIS IS A GREAT PROJECT. THANK YOU. CHAIRMAN BAZALDUA, IT IS A HISTORIC THEATER. I WENT TO THAT THEATER MANY, MANY YEARS AGO WHEN IT WAS SEGREGATED UPSTAIRS AND DOWNSTAIRS. I KNOW THAT FOREST AVENUE WAS A HISTORIC ECONOMIC ENGINE IN THE SOUTHERN PART OF DALLAS. THE MONEY STAYED IN THE NEIGHBORHOOD. IT WAS A VIBRANT NEIGHBORHOOD. THEY HAD STREETCARS, BY THE WAY, BACK THEN. SO THEREFORE YOU COULD KEEP MONEY THERE. SO I THINK IT'S A GREAT PROJECT, BUT ALSO IS A BIG DEAL BECAUSE IT'S RIGHT WHEN THEY LOWER ESTIMATE RIGHT DOWN AND KEPT THE MOVIE THEATER THERE. SO I KNOW THE PROPERTY VALUE IS SKYROCKETING. I MEAN, IT'S GOING CRAZY, BUT THE POINT IS, IT'S GETTING BACK TO THE THINGS THAT IT WAS, YOU KNOW, BACK IN THE 60S. SO IT'S A GREAT PROJECT, BUT IT'S A GREAT OPPORTUNITY TO DEVELOP ANOTHER PART OF DALLAS. AGAIN, I WILL BE SUPPORTING THIS 100%. AND AGAIN, GREAT PROJECT. THANKFUL TO STAFF DALLAS. WITH THAT, WE GOT A BRIEFING MEMORANDUM. SEE? THANK YOU CHAIRMAN. [01:15:01] THIS IS A REALLY RELATIVELY SMALL PROJECT COMPARED TO THE FOREST THEATER, BUT IT'S EQUALLY AS IMPORTANT, IF NOT MORE SO. THIS IS GOING TO BE AT AL LIPSCOMB WAY IN SOUTH MALCOLM X. IT'S A RETAIL DEVELOPMENT PROJECT. IT'S NOT A REDEVELOPMENT PROJECT. THIS WILL BE NEW GROUND UP CONSTRUCTION OF APPROXIMATELY A 4800 SQUARE FOOT BUILDING THAT WILL BRING ADDITIONAL OFFICE, RESTAURANT AND RETAIL OPPORTUNITIES TO THE SOUTH DALLAS FAIR PARK AREA. THE PRIMARY TENANTS ARE EXPECTED TO BE SOUTH FAIR CDC, WHICH IS THE OWNER AND DEVELOPER. THEIR OFFICES WILL BE IN THE BUILDING AS WELL AS AUNT IRENE'S KITCHEN. THIS IS A $2.3 MILLION TOTAL PROJECT COST. SO OUR OFFICE, THE OFFICE OF ECONOMIC DEVELOPMENT, YOU KNOW, AUGUST 1ST OF THIS YEAR, WE ASSUMED THE ADMINISTRATIVE RESPONSIBILITY FOR THE SOUTH DALLAS FAIR PARK OPPORTUNITY FUND, THE PROGRAM AND THE BOARD OF DIRECTORS. SO WE ARE WE HAVE WORKED WITH THE BOARD IN RECENT MONTHS, AND THE BOARD HAS UNANIMOUSLY RECOMMENDED APPROVAL OF A LOAN AGREEMENT FROM THE SOUTH DALLAS FAIR PARK OPPORTUNITY FUND IN THE AMOUNT OF 1,190,000. AND THEN OUR OFFICE, THE OFFICE OF ECONOMIC DEVELOPMENT, IS ALSO RECOMMENDING A CHAPTER 373 COMMUNITY DEVELOPMENT GRANT TO ALSO BE PART OF THE EQUATION. BUT THIS IS A UNIQUE PROJECT BECAUSE THE CITY, THROUGH THE OPPORTUNITY FUND, WILL BE THE SENIOR LOAN THE SENIOR LENDER IN THE PROJECT. THIS PROJECT AGAIN IS IN AN ECONOMIC DEVELOPMENT TARGET AREA FOR THE CITY, AND IT IS THE SECOND COMMUNITY DEVELOPMENT PROJECT. WE DID THE BONTON THIRD WELL WITH FOREST THEATER. SO THIS WILL BE THE THIRD COMMUNITY DEVELOPMENT PROJECT TO BE TO BE BROUGHT TO THE COUNCIL SINCE THE CREATION OF THE PROGRAM LAST YEAR. SO WE'RE VERY HAPPY TO BRING IT TO YOU. CHAIRMAN BAZALDUA IS IN YOUR DISTRICT. THANK YOU, MISTER CHAIR. MAN, I LOVE A DAY I GET TO JUST BRAG ON SOUTH DALLAS. WE'VE GOT ALSO REPRESENTATION HERE FROM SOUTH FAIR. THANK YOU ALL. ALL FOR EVERYTHING THAT YOU DO AS WELL. THIS IS A PROJECT THAT ACTUALLY ONE OF THE FIRST ONES WHENEVER I GOT IN OFFICE SITTING DOWN AND TALKING ABOUT WHAT THE EXPECTATION OF THIS RAW LAND WAS GOING TO BE, AND THERE'S BEEN QUITE A BIT OF BACK AND FORTH AND FIGURING OUT WHAT'S GOING TO BE BEST. BUT I THINK EVEN DOWN TO THE DETAIL THAT WAS JUST MENTIONED ABOUT AUNT IRENE'S GETTING A MUCH BETTER PLACE AND AN OPPORTUNITY TO BE HIGHLIGHTED IN A WAY THAT THAT BRINGS UP THE COMMUNITY. THIS IS ANOTHER EXAMPLE. I MEAN, WE'RE LOOKING AT AN ECONOMIC DEVELOPMENT OF A NEW RETAIL STRIP THAT IS GOING TO NOT JUST BE VACANT SPACES THAT WITH AN EXPECTATION TO, TO FILL IN. IT'S WITH AN INTENT TO BRING OPPORTUNITY TO EXISTING SMALL BUSINESSES IN SOUTH DALLAS. THIS IS TRUE TRULY ECONOMIC DEVELOPMENT. SOUTH FAIR IS A CDC THAT HAS PUT A LOT OF PEOPLE IN HOMES IN SOUTH DALLAS AND HAS DONE A LOT OF WORK IN THAT REGARD. ONE OF THE THINGS THAT I THINK THEY HEAR OFTEN WHEN THEY'RE HELPING PEOPLE INTO THAT STEP OF OWNERSHIP IS THAT THEY'D LIKE TO SEE MORE RETAIL IN THE COMMUNITY. THEY'D LIKE TO SEE MORE WAYS FOR RESIDENTS OF SOUTH DALLAS TO SPEND MONEY IN SOUTH DALLAS. AND THIS IS A GREAT PROJECT. THE SOUTH FAIR I KNOW THAT THIS ISN'T THE ACTUAL PROJECT, BUT SOUTH FAIR ALSO HAS SOME HOUSING THAT'S GOING TO BE COMING UP RIGHT BEHIND IT. WE'RE GOING TO HAVE EVEN MORE GROWTH. BUT THIS IS IN THE JEFFREY MEYERS AREA THAT WHEN I FIRST GOT ELECTED, THERE WAS NOTHING OTHER THAN LAND AND SOME OTHER UNSAVORY THINGS THAT WERE OCCURRING. AND THIS IS JUST ANOTHER STEP FORWARD FOR SOUTH DALLAS. AND LOOKING THAT THERE'S THIS MOMENTUM WITH THE RIGHT PLAYERS TO THE TABLE THAT THE CITY OF DALLAS IS HAS BEEN AN INTEGRAL PARTNER WITH. SO I WANT TO THANK ECONOMIC DEVELOPMENT. YOU MENTIONED THE THREE PROJECT. THIS IS THE THIRD. ALL THREE OF THOSE HAVE BEEN SUNNY SOUTH DALLAS FROM BONTON UP TO I-30, AND I CAN'T SPEAK ENOUGH PRAISE FOR WHAT THIS MEANS FOR SOUTH DALLAS AND FOR ALL OF DALLAS, BECAUSE WHAT'S GOOD FOR SOUTH DALLAS IS GOOD FOR THE CITY OF DALLAS. THANK YOU, MR. MAYOR. THANK YOU. BUT I THINK IT'S A GREAT A GREAT CORNER. AL LIPSCOMB WAY AND MALCOLM X. SO IT'S A GREAT CORNER NAME. SO IT'S RIGHT ON THE CORNER FOR DADE SCHOOL RIGHT THERE. SO IT'S A GREAT OPPORTUNITY. OKAY WITH THAT, ANY OTHER QUESTION. OKAY. LET'S GO TO THE NEXT ITEM, ITEM D. KEVIN YOU'RE UP AGAIN. ITEM D IS REALLY EASY. [01:20:01] SO THERE'S A LOT OF WORDS IN THIS MEMO. BUT THE ONLY SENTENCE THAT MATTERS IS THERE ARE NO PROJECTS IN THE PREVIOUS QUARTER THAT WERE APPROVED THROUGH ADMINISTRATIVE ACTION AND INCENTIVE WISE. IT'S JUST THE WAY IT HAPPENS. I WOULD SAY WE PROBABLY HAVE 3 TO 5 IN THE PIPELINE, AND WE EXPECT TO CLOSE THOSE THROUGH ADMINISTRATIVE ACTION IN THIS CURRENT QUARTER. SO THE MEMO FOR THIS CURRENT QUARTER THAT YOU'LL SEE IN IN JANUARY WILL SHOULD PROBABLY INCLUDE 3 TO 5 PROJECTS. WE JUST DIDN'T HAVE ANY IN THIS PAST QUARTER. DO WE HAVE ANY QUESTIONS? CHAIRMAN RIDLEY. YES. KEVIN, HAVE THERE BEEN ANY PRIOR TO THIS QUARTER? IN OTHER WORDS, SINCE THIS AUTHORITY WAS GRANTED TO STAFF TO ADMINISTRATIVELY APPROVE THESE INCENTIVES, HAVE ANY BEEN GRANTED? YES, SIR. WE THIS IS PROBABLY OUR FOURTH QUARTERLY MEMO OR THIRD QUARTERLY MEMO. SO IN EACH ONE OF THOSE PREVIOUS MEMOS, WE DID HAVE 1 OR 2 PROJECTS. IF YOUR QUESTION IS, WOULD YOU WANT TO SEE A CUMULATIVE SUMMARY IN EVERY MEMO? WE WOULD BE HAPPY TO DO THAT, JUST SO THAT I THINK THAT WOULD BE HELPFUL, PARTICULARLY IN THE LATER QUARTERS OF THE YEAR, TO SEE A LARGER CONTEXT FOR THE VOLUME OF THESE INCENTIVES, AND IT WOULD BE HELPFUL IF THAT INFORMATION CONTAINED NOT JUST THE NUMBER OF PROJECTS THAT WERE PROVIDED INCENTIVES, BUT CATEGORIES FOR THE AMOUNT OF THE INCENTIVES. HAPPY TO DO THAT. THANK YOU. I DON'T SEE ANYONE ELSE. ANY QUESTION. ITEM F, THE DALLAS CITY CODE, CHAPTER 57 ONE AND TWO FAMILY DWELLING CODE. MISS LIU. I SAW. OKAY, WE HAVE A DELTA CITY CODE. CHAPTER 57. SO, ANYONE HAVING A QUESTION? MISS LU, CAN YOU EXPLAIN YOUR MEMO? FIRST OF ALL, I WOULD LIKE TO THANK COUNCILMAN RIDLEY AND COUNCILMAN WEST FOR BRINGING THIS UP. THIS IS A SUBJECT THAT'S HEAVILY DISCUSSED AT THE NATIONAL LEVEL. MANY CITIES ALREADY DONE IT. THE FIRST ONE THAT I'M AWARE OF, THE CITY OF MEMPHIS IN TENNESSEE, AND THEY ALREADY MAKE THE CHANGE. IT TOOK THEM A LITTLE WHILE AND NOW ALLOW UP TO SIX UNITS IN THE INTERNATIONAL RESIDENTIAL CODE INSTEAD OF INTERNATIONAL BUILDING CODE, WHICH IS HAVE MUCH HIGHER STANDARDS. SO RIGHT NOW IN THE CITY OF DALLAS, WE HAVE WE USE TWO CODES FOR RESIDENTIAL SINGLE FAMILY AND DUPLEX THAT WE USE INTERNATIONAL RESIDENTIAL CODE. ANYTHING MORE THAN THREE UNITS ARE LOCATED IN THE INTERNATIONAL BUILDING CODE, WHICH IS MUCH HIGHER STANDARDS. YOU KNOW, SIMILAR IF YOU HAVE THREE UNITS OR 200 UNITS, THEY USE VERY SIMILAR BUILDING CODE REQUIREMENTS IN TERMS REQUIRE FOR SPRINKLERS. SECOND STAIRCASE, ALL OF THAT. SO IT'S GETTING VERY EXPENSIVE. SO ALL THESE CITY BECAUSE WE HAVE A HOUSING CRISIS STARTING TO LOOK AT REMOVING THE BARRIER FOR A DIVERSE HOUSING TYPE. SO MANY CITIES, INCLUDING MEMPHIS, MENTIONED STARTING TO LOOK AT THEIR BUILDING CODE, WHETHER TO ALLOW THEM REMOVE THEM FROM THE COMMERCIAL SIDE AND PUT THEM IN THE RESIDENTIAL SIDE. SO THAT IS WHAT I HAVE IN FRONT OF ME. COUNCILMAN RIDLEY CAN ELABORATE MORE ON THAT. AND STAFF IS WILLING TO TAKE A LOOK AT THIS WORKING WITH SOME LOCAL ALREADY HAVE CONNECTION WITH LOCAL AIA GROUP. THEY'RE WILLING TO WORK WITH US. A LOT OF PLANNING ORGANIZATION AS WELL AS THE BUILDERS CONTRACTORS. WE CAN WORK WITH THEM. THIS ONE, ONCE WE HAVE RECOMMENDATION, DOES HAVE TO GO THROUGH OUR BUILDING CODE. THERE'S A BOARD CALLED OF BUILDING CODE. BOARD WILL HAVE TO GO THROUGH THERE AND SEND YOU THE RECOMMENDATION. SO WE WOULD LIKE TO START RIGHT AWAY LOOKING AT SOME BEST PRACTICES AND TO MITIGATE SOME OF THE FIRE AND SAFETY ISSUES BY DOING SIMILAR TO MEMPHIS, THE OTHER CITY WORKING ON THIS. NASHVILLE. EL PASO IS ALSO WORKING ON THIS, SO WE WOULD LIKE TO HAVE SOME TIME TO DO SOME BEST PRACTICES, HAVE SOME ENGAGEMENT WITH LOCAL ARCHITECTS, BUILDERS, CONTRACTORS, AND THEN BRING BACK THE RECOMMENDATION TO YOU. SO MY UNDERSTANDING IS JUST A MEMORANDUM OF UNDERSTANDING BECAUSE IT'S THE INTERNATIONAL BUILDING CODE SUBJECT MATTER OF FINDING OUT WHAT IS GOING ON IN THOSE OTHER CITIES. [01:25:01] YES. AND WE'RE JUST COMING BACK AND TRYING TO BRIEF US. WHAT COULD BE THE FUTURE FOR THE FUTURE RIGHT THERE. OKAY. WITH THAT, CHAIRMAN RILEY. THANK YOU. THANK YOU, MR. CHAIR. AND THANK YOU, MISS LU, FOR BRIEFING US ON THIS ITEM TODAY. THIS WAS BROUGHT TO MY ATTENTION BY A MULTIFAMILY HOUSING DEVELOPER WHO WAS CONCERNED THAT IT WAS INORDINATELY EXPENSIVE TO BUILD THE FOUR PLEX, THE FIVE PLEX KIND OF HOUSING THAT WOULD REQUIRE HIM TO COMPLY WITH THE COMMERCIAL STANDARDS OF THE INTERNATIONAL BUILDING CODE IN TERMS OF FIRE PREVENTION ISSUES AND CONTAINMENT. AND I THINK THAT ALTHOUGH THIS WOULD BE A FAIRLY SIMPLE CODE CHANGE IN JUST CHANGING THE NUMBER OF UNITS OF A BUILDING THAT IS SUBJECT TO THE INTERNATIONAL RESIDENTIAL CODE AS OPPOSED TO THE BUILDING CODE, IT WILL HAVE SIGNIFICANT IMPACTS ON OUR ABILITY TO SUPPLY MORE AFFORDABLE HOUSING BECAUSE IT WILL LOWER THE BUILDING COSTS FOR THESE SMALLER, MULTI-FAMILY BUILDINGS AND MAKE THEM MORE AFFORDABLE FOR INDIVIDUALS TO RENT. SO, PARTICULARLY IN OUR MORE DENSELY POPULATED DISTRICTS, WHERE IT'S DIFFICULT TO FIND LARGE TRACTS OF LAND TO BUILD HIGHER DENSITY PROJECTS, THIS WILL ALLOW INFILL DEVELOPMENT IN SITES THAT OTHERWISE PERHAPS WOULDN'T EVEN GET DEVELOPED AND PROVIDE SOME AFFORDABLE HOUSING THAT WE NEED SO DESPERATELY IN OUR CITY. SO THANK YOU FOR RESEARCHING THIS ISSUE AND LOOKING INTO IT, AND I LOOK FORWARD TO GETTING YOUR RECOMMENDATIONS ON IT. DO YOU HAVE ANY IDEA WHEN YOU MIGHT BE ABLE TO BRIEF THIS COMMITTEE ON YOUR RECOMMENDATIONS? I WOULD THINK EARLY NEXT YEAR. I'VE TALKED TO JUST THE LAST COUPLE OF DAYS WITH THE CITY OF MEMPHIS AS WELL AS CITY OF NASHVILLE. THEY'RE BOTH MEMPHIS READY, GOT THEIR DONE, AND NASHVILLE IS IN THE PROCESS OF DOING THAT. THEY DID ENGAGE A CONSULTANT, WHICH I THINK ALSO GOOD IDEA BECAUSE OF THE FIRE SAFETY ISSUE, YOU THEY USUALLY HIRE A CONSULTANT WHO SPECIALIZES IN THAT AND MAKE RECOMMENDATIONS. IF WE DO ENGAGE A CONSULTANT, IT MAY TAKE A COUPLE OF MORE MONTHS BECAUSE IT'S JUST GETTING THE CONSULTANT ON BOARD. WELL, I UNDERSTAND THE DISCUSSIONS HAVE ALREADY BEEN HAD WITH THE FIRE MARSHAL ABOUT THIS POTENTIAL CHANGE, AND I UNDERSTOOD THAT THEY HAD NO PROBLEM WITH THIS CHANGE. PERHAPS THAT'S AN OVERSIMPLIFICATION, BUT HAVE YOU HAD SUCH DISCUSSIONS TO DATE? NOT TODAY, NOT WITH OUR LOCAL FIRE OFFICIAL YET. AND THAT'S SOMETHING WE'RE PLANNING TO DO. AND I THINK THERE'S ALSO CONSULTANTS WHO SPECIALIZE IN FIRE SAFETY. AND IF WE CAN ENGAGE THEM, THERE'S DIFFERENT WAYS OF MAKING SURE THE BUILDING STILL BE SAFE AND ALLOW THEM TO BE IN THE RESIDENTIAL CODE. FOR EXAMPLE, MEMPHIS, THEY REMOVED UP TO SIX UNITS FROM COMMERCIAL CODE TO THE RESIDENTIAL CODE. AT THE SAME TIME, INSTEAD OF REQUIRING SPRINKLER SYSTEM, THEY DID HAVE THE FIREWALL UP TO TWO HOURS. SO IT'S A LOW COST MITIGATION, I WOULD SAY, AND STILL ACHIEVE THE SAFETY STANDARDS. SO THERE ARE DIFFERENT WAYS TO ADDRESS THE FIRE AND SAFETY, AND WE WOULD LIKE TO EXPLORE THAT. DEFINITELY. WE'RE GOING TO TALK TO OUR FIRE BUILDING OFFICIALS. GREAT. THANK YOU. ANYONE ELSE? OKAY. IT IS NOW 2:32 I ADJOURN THE ECONOMIC DEVELOPMENT COMMITTEE IS ADJOURNED. * This transcript was compiled from uncorrected Closed Captioning.