Feb 09, 2026 Council Committee on Government Efficiency

[Council Committee on Government Efficiency on February 9, 2026.]

[00:00:03]

TODAY IS. TODAY IS FEBRUARY THE 9TH, 2026. THE TIME IS 9:11 AND THE COMMITTEE OF GOVERNMENT OFFICIAL HAS COME TO ORDER. AT THIS TIME, I'M GOING TO TURN IT OVER TO OUR CO-CHAIR, OUR VICE CHAIR FOR THE COMMITTEE, TO RUN THE COMMITTEE UNTIL I UNTIL I GET BACK.

THANK YOU, CHAIR. SURE. THE FIRST ORDER OF BUSINESS IS APPROVAL OF THE MINUTES OF THE JANUARY 12TH, 2026 MEETING. THERE'S A MOTION FOR APPROVAL. IS THERE A SECOND? ARE THERE ANY CORRECTIONS OR CHANGES TO THE MINUTES? HEARING NONE. ALL THOSE IN FAVOR, PLEASE SAY AYE. AYE. THAT MOTION CARRIES UNANIMOUSLY.

OUR FIRST BRIEFING MEMO IS THE FUTURE OPERATIONS OF SOUTHERN SKATES ROLLER RINK.

AND JACK, IS THERE A. YES, THERE IS. SO, WE WILL HAVE A SHORT DISCUSSION PRESENTATION.

THANK YOU. GOOD MORNING. KESHIA RANDALL, SUPERINTENDENT PARK AND RECREATION DEPARTMENT.

SO, THIS IS THE BRIEFING MEMO IN REGARDS TO SOUTHERN STATES AND OUR OPERATIONAL EFFICIENCY BUDGET ADJUSTMENT FOR LAST YEAR, AND KIND OF WHERE WE ARE IN THE PROCESS OF WORKING THROUGH THE PROCESS OF FINDING A VENDOR TO MANAGE SOUTHERN SKATES ROLLER RINK.

SO OUR GOAL IS TO HAVE AN RFP FOR THIS LOCATION SO THAT WE CAN HAVE A MANAGEMENT PARTNER TO COME IN AND MANAGE SOUTHERN SKATES, BECAUSE, AGAIN, WE WANT TO MAKE SURE THAT FROM THE PARK AND RECREATION STANDPOINT, WE'RE BEING MORE OPERATIONALLY EFFICIENT AND FOCUSING ON OUR CORE SERVICE AREAS.

SO SOUTHERN SKATES NOW IS GOING THROUGH THE RFP PROCESS.

IT IS NOW IN THE HANDS OF OUR INTERNAL PROCUREMENT TEAM, AND THEY ARE FINALIZING ALL OF THE KEY POINTS AND THE DEAL POINTS THAT WE'D LIKE TO PUT OUT FOR THE RFP, WHICH WE PLAN ON HAVING THAT OUT LATER ON IN FEBRUARY, FEBRUARY 28TH, BEING TURNED OVER TO THE OFFICE OF PROCUREMENT SERVICES AND WORKING THROUGH THAT PROCESS. AND OUR GOAL IS TO HAVE A NEW OPERATOR BY OCTOBER 1ST FOR THE NEW FISCAL YEAR.

DURING THIS PREVIOUS YEAR'S BUDGET PROCESS, WE ACTUALLY HAD A BUDGET REDUCTION IN THE AMOUNT OF $198,000.

THE ORIGINAL BUDGET FOR SOUTHERN STATES WAS 384.

SO RIGHT NOW WE'RE AT 198, WHICH ELIMINATED ALL OF THE STAFF AT THIS LOCATION.

SO WE'RE OPERATING WITH BORROWED STAFFING UNTIL WE CAN FIND AN OPERATOR FOR THIS PROJECT.

SO THAT'S KIND OF WHERE WE ARE IN THE PROCESS. AND WE JUST WANTED TO GIVE YOU GUYS AN UPDATE ON THAT. ALL RIGHT.

THANK YOU. WHO HAS QUESTIONS ABOUT THIS PROJECT? COUNCIL MEMBER BLACKMON, WHY DON'T WE START WITH YOU AND WE'LL WORK OUR WAY THIS DIRECTION. THANK YOU. CAN YOU, AND MAYBE I FAILED TO SEE IT, BUT CAN YOU TELL ME HOW LONG SOUTHERN SKATES HAS BEEN EITHER IN EXISTENCE OR IN THE CITY PORTFOLIO? IT'S BEEN IN THE PORTFOLIO SINCE 2005. SO 2005 AND BEFORE THAT, WHAT WAS IT? IT WAS IT WAS PRIVATELY OWNED. IT WAS PRIVATELY OWNED.

IT WAS STILL A SKATING RINK, BUT IT WAS PRIVATELY OWNED SKATING RINK. AND THROUGH, I BELIEVE, THE DEFAULT OF THE PREVIOUS OWNER, IT BECAME PROPERTY OF THE CITY IN 2005.

AND CAN YOU EXPLAIN WHY? WHY? THERE WAS A THERE WAS A LOAN THAT WAS BY THE CITY THAT THIS PRIVATE OPERATOR HAD, THAT I BELIEVE THERE WAS A DEFAULT IN THERE. AND SO AS A TERM OF THAT, IT REVERTED BACK TO THE CITY'S OWNERSHIP IN 2005.

OKAY. SO WE HAD A LOAN. THERE WAS A LOAN THAT WE GAVE TO THE OWNER.

THEY DEFAULTED ON THE LOAN. WE RETAINED OWNERSHIP OF IT.

YES, MA'AM. AND I THINK I READ SOMEWHERE ABOUT THE USAGE OF IT, AND I BELIEVE IT'S BEEN GOING DOWN OVER YEARS.

IS THAT CORRECT? SO THERE'S DEFINITELY IS A FLUCTUATION IN USAGE FOR SOUTHERN SKATES, THE ANNUAL ATTENDANCE RANGES FROM ANYWHERE FROM 12,000 TO 20,000 VISITORS EACH YEAR. AND THAT'S FOR THE PAST SEVEN YEARS.

SO 2021, ONCE 2021, KIND OF THE PANDEMIC HIT, WE HAVE HAD A DECLINE IN ATTENDANCE.

HAS THERE BEEN A THOUGHT ABOUT MAYBE CHANGING WHAT IT SERVES IN A COMMUNITY VERSUS A SKATING RINK? WE HAVE NOT EXPLORED THAT OPPORTUNITY. RIGHT NOW IT SOLELY HAS BEEN A SKATING RINK IN THE RFP.

WE'RE STILL PROPOSING IT AS. BUT WE'VE NEVER LOOKED AT IT AS ANOTHER OPTION.

I MEAN, I DON'T WANT TO SOUND LIKE AN OLD PERSON, BUT, I MEAN, I SKATED AND I'M NOT GOING TO DO IT NOW.

MY KIDS DON'T SKATE. THEY NEVER ASKED TO GO SKATE.

AND I'M LIKE WONDERING, WHY DO WE CONTINUE TO TRY TO KEEP A SAME MODEL FOR SOMETHING IF WE'RE TRYING TO SERVE A COMMUNITY AND NOT ADAPTING TO WHAT THE COMMUNITY WANTS, PUT OUT A SURVEY. WHAT DO YOU WANT? DO YOU WANT? I MEAN, I JUST FEEL LIKE WE'RE TRYING TO KEEP A SAME SYSTEM FOR SOMETHING THAT'S NOT GOING TO WORK IF WE'RE GOING TO KEEP THAT SYSTEM.

AND IF IT'S SHOWING THAT THERE'S A DECLINE IN PARTICIPATION, WHETHER THE REASON IS, MAYBE WE SHOULD ASK THE COMMUNITY, WHAT DO YOU WANT HERE? UNDERSTOOD. AND MAYBE WE SHOULD SAY LIKE AND CAN WE AFFORD IT?

[00:05:05]

COUNCILMAN ROTH. THANK YOU. AT THE SUGGESTION OF CHAIR JOHNSON, I WAS FORTUNATE ENOUGH TO GO DOWN AND LOOK AT THE SKATING PLACE, AND IT'S IMPRESSIVE.

IT'S BEEN REMODELED. IT'S IT'S GOT SECURITY. IT'S GOT A NICE PHYSICAL PLANT.

BUT I'M ABSOLUTELY IN FAVOR OF TRYING TO GET SOMEBODY WHO KNOWS HOW TO OPERATE THAT KIND OF A PLACE TO DO THAT.

I'M CURIOUS AS TO ITS PROXIMITY TO THE REC CENTER NEARBY.

THE NEED FOR THE COMMUNITY FOR THAT KIND OF A OF A ENTERTAINMENT OR A GATHERING SPACE FOR KIDS AND PARENTS AND FAMILIES, I THINK IS IMPORTANT. CORRECT. BUT WE'VE GOT TO GET THE RIGHT MANAGEMENT IN THERE TO HANDLE IT PROPERLY.

WHAT IS THE, WHAT ARE THE CRITERIA THAT YOU ALL ARE LOOKING FOR FOR AN OPERATOR? IS IT A TURNKEY TRIPLE NET, SORT OF ALL ENCOMPASSING REQUIREMENT IS FOR FINANCIAL AND MANAGEMENT OPERATIONS? IS IT A MANAGEMENT POSITION? JUST TO HIRE AN OPERATOR TO BE THERE ON SITE MANAGER.

WHAT EXTENT OF, WHAT IS THE REQUEST THAT YOU ARE GOING TO BE REQUESTING PROPOSALS FOR? OUR REQUEST IS TURNKEY. SO WE ARE LOOKING FOR A SPEAK A LITTLE LOUDER, A LITTLE LOUDER.

I'M SORRY ABOUT THAT. WE ARE LOOKING FOR TURNKEY, SO WE ARE LOOKING FOR A MANAGEMENT AND OPERATOR TO COME IN TO TAKE OVER THE ENTIRE MANAGEMENT OF THE FACILITY. OBVIOUSLY WE WILL RETAIN OWNERSHIP RIGHTS OF THE FACILITY, BUT THE DAILY MANAGEMENT, STAFFING, ALL OF THE FUNDING THAT'S NECESSARY TO OPERATE THE FACILITY, THAT WILL BE THE RESPONSIBILITY OF THE OPERATOR.

AND IS THERE, THE RFP, THE MEMO I HAD HERE SAID THAT, IT DIDN'T SHOW A SORT OF A DEADLINE. WHAT IS YOUR DEADLINE FOR TRYING TO GET BIDS IN AND GETTING THE RFP OUT? AND IS IT FEBRUARY 20TH 8TH OR FEBRUARY 6TH? FEBRUARY 2ND? SO, THE, IT GOES OUT ON MARCH 2ND. WE'RE LOOKING TO REVIEW PROPOSALS BY APRIL 30TH AND HAVE A VENDOR SELECTED BY JUNE 30TH, WITH OPERATIONS BEGINNING OCTOBER 1ST. SO, THE INFORMATION HAS BEEN EXTENDED.

YES, SIR. I WANT TO MAKE SURE THAT WE ADVERTISE THIS PROPERLY, THAT WE DO HAVE PEOPLE THAT ARE WANTING TO SUBMIT PROPOSALS. PERSONALLY, I ALREADY KNOW OF A COUPLE PEOPLE THAT WANT TO DO THAT.

AND I'M GOING TO ENCOURAGE THEM TO RESPOND AND TO GET THE INFORMATION.

I WANT TO MAKE SURE THAT WE HAVE THE INFORMATION TO ALSO SEND OUT AND THAT AND THAT INTERESTED PARTIES ARE ACTIVELY THOUGHTFULLY PUTTING IN PROPOSALS TO HELP GET THIS THING RUNNING PROPERLY, TO HELP THE COMMUNITY THAT IT SERVES, AND ALSO TO MAKE SURE THAT WE'VE GOT A GREAT OPERATOR THERE. SO THIS IS IMPORTANT. I WANT IT TO HAPPEN.

AND AND I THINK THAT THIS IS SOMETHING THAT I WOULD LIKE TO MAKE SURE THAT WE'RE KEPT UP TO BREAST ON THIS.

YES, SIR. THANK YOU. THANK YOU, MISTER CHAIR.

SO, YOU INDICATED THAT THE BUDGET FOR THIS PROPERTY HAD BEEN CUT TO 198,000.

WHO MADE THAT DECISION? IT WAS A PART OF OUR BUDGET PROCESS THAT WE DID THIS THIS PAST FISCAL YEAR IN 2025.

SO IT WAS THE PARK BOARD? YES, SIR. OKAY. AND THAT CUT OUT BASICALLY ANY ALLOWANCE FOR STAFF POSITIONS THERE.

CORRECT? CORRECT. SO IF THE BUDGET IS ONLY 198,000, HOW DO YOU PROPOSE TO HIRE A PRIVATE FIRM THAT IS PROFIT DRIVEN TO OPERATE IT WHEN THE CITY CAN'T AS A NONPROFIT? SO AGAIN, WE'RE LOOKING FOR SOMEONE THAT'S TURNKEY THAT IS FINANCIALLY ABLE TO COME IN AND MANAGE THE FACILITY.

WELL, I UNDERSTAND, BUT THEY'RE NOT GOING TO LOSE MONEY OVER THIS. CORRECT. THEY'RE GOING TO EXPECT TO MAKE A PROFIT. CORRECT. WHICH THE CITY DOESN'T.

SO, WHERE'S THE MONEY COMING FROM TO PAY THIS CONTRACT? SO WE'RE, IF WE FIND SOMEONE THAT IS VERSED IN THE SKATING WORLD, THE SKATING ARENA, WE FEEL THAT THEY WE MAY HAVE A MORE PROFITABLE BIDDER.

THE OTHER PART IS IN OUR STAFFING MODEL BASED ON OUR STAFFING RATES.

THAT'S ANOTHER THING THAT WE HAVE TO COME INTO FACTOR.

IF THERE'S A PRIVATE OPERATOR, MOST LIKELY THEY WON'T HAVE THAT SAME STAFFING PAY RATE MODEL THAT WE HAVE.

SO ARE YOU PUTTING ANY PARAMETERS FINANCIALLY IN THE RFP AS TO WHAT THEY, THEIR BUDGET WOULD BE TO OPERATE IT

[00:10:06]

SO WE HAVE OUR, THE NUMBERS THAT WE'VE OPERATED WITH, AND THEN THEY WILL COME IN AND GIVE US THEIR OPERATIONAL BUDGET.

SO OUR OPERATIONAL BUDGET WAS, AGAIN PRIOR TO THIS YEAR, 384.

MOST OF THE YEARS WE CAME IN ON BUDGET, BUT AGAIN, AS STAFFING HAS INCREASED, THERE HAS BEEN THERE HAVE BEEN SOME DIFFERENCES.

SO IN SPEAKING WITH SOME OF THE OPERATORS THAT ARE OUT THERE, THEY FEEL THAT THERE IS AN OPPORTUNITY TO MAKE PROFIT IF THEY USE THEIR PRIVATE MODEL.

WELL, I'M GOING TO BE VERY SKEPTICAL OF ANY PROPOSAL THAT ACTUALLY ENDS UP COSTING US MORE THAN WHAT WE'VE ALLOCATED IN THE BUDGET.

BUT ON TOP OF THAT, I HAVE TO AGREE WITH MY COLLEAGUE BLACKMON IN THAT SKATING SEEMS TO ME TO BE AN OLD ACTIVITY, AND I'M JUST WONDERING HOW MUCH THE CURRENT GENERATION IS REALLY INTO SKATING.

THE TREND IN ATTENDANCE SEEMS TO BE DOWN, AND I THINK THE IDEA OF A COMMUNITY SURVEY IS AN EXCELLENT IDEA TO REALLY GAUGE PEOPLE'S INTEREST IN SKATING. CERTAINLY IT OUGHT TO CONTINUE TO BE A REC CENTER IF THERE IS INTEREST IN THAT.

BUT I'M JUST WONDERING IF THERE ISN'T SOME OTHER USAGE OF THE BUILDING AS A REC CENTER THAT WOULD BE MORE IN TUNE WITH THE DESIRES OF THE COMMUNITY THAN SKATING.

UNDERSTOOD. SO I WOULD STRONGLY ENCOURAGE THE DEPARTMENT BEFORE THEY ISSUE AN RFP TO DO THIS SURVEY, TO FIND OUT IF THIS IS THE DIRECTION THE COMMUNITY WANTS TO GO.

THANK YOU. THANK YOU, COUNCILMAN RIDLEY. VICE CHAIR MENDELSOHN.

THANK YOU. SO I JUST WANT TO BE CLEAR, THE BUDGET LAST YEAR WAS 384,000.

AND THEN YOU CUT IT 198. SO YOUR BUDGET IS 186,000 THIS YEAR.

YES, MA'AM. AND I'M NOT UNDERSTANDING WHAT YOU'RE SAYING ABOUT.

SO THERE'S NO STAFF, I MEAN, HOW ARE YOU. WE HAVE, WE ARE BORROWING STAFF FROM WITHIN THE DEPARTMENT TO HELP TO MANAGE THAT.

SO WE HAVE, WE HAD SOME VACANT PART TIME POSITIONS THAT WE WERE ABLE TO STAFF IT WITH.

AND THEN THE MANAGEMENT WHO WAS OVERSEEING SOME OTHER AREAS IS HELPING TO MANAGE THAT LOCATION.

AND THEN YOU DIDN'T HAVE THIS IN THE MEMO, BUT I BELIEVE MAYBE EVEN LAST YEAR WE WERE TOLD THAT THE HOURS HAD BEEN CUT BACK SEVERELY.

IS THAT WHY YOU THINK THERE'S A DECREASE IN ATTENDANCE? CORRECT. SO, WE WERE. SO, WE ARE NOT OPEN AS LONG ON SATURDAYS AND THEN ALSO WEDNESDAYS, WHICH WERE THEY WERE ALREADY A LOW ATTENDANCE DAY.

SO TO MANAGE THE THE THE BUDGET A LITTLE BETTER, THAT WAS ANOTHER OPTION THAT WE HAD TO GO WITH.

SO WE DID ELIMINATE THE WEDNESDAYS. SO WHAT DAYS.

WHAT ARE THE HOURS RIGHT NOW? SO WE ARE OPEN.

WE'RE AT 18 HOURS A WEEK. SO IT'S OPEN ON THURSDAY NIGHTS FROM 9:30 P.M.

UNTIL 1 A.M. SATURDAY ONE. SO THERE'S TWO SESSIONS ON SATURDAYS OPENING AT 1 A.M.

AND IT GOES UNTIL 9 P.M. AND THEN ON SUNDAYS AS WELL, FROM 1 P.M.

TO 6 P.M.. OKAY. ARE YOU ANTICIPATING THAT THIS VENDOR WOULD THEN SHARE REVENUE WITH THE PARKS DEPARTMENT, OR IT WOULD JUST BE WHATEVER THEY CAN MAKE, THEY MAKE? SO AT THIS POINT, THERE IS, WE ARE WORKING ON SPECIFICATIONS TO ACTUALLY HAVE A SMALL REVENUE SHARE.

BUT UNDERSTANDING THAT THIS PERSON OR THIS THE PROPOSER, WOULD BE RESPONSIBLE FOR THE MAINTENANCE OF THE FACILITY, WE DO UNDERSTAND THAT. SO. OKAY. SO I'M GOING TO AGREE THAT I DON'T KNOW IF A ROLLER RINK IS STILL THE THING ANYMORE.

I MEAN, CERTAINLY SKATE PARKS SEEM TO BE VERY DESIRABLE FOR FOLKS, BUT, YOU KNOW, MAYBE THEY'RE LOOKING FOR MINI GOLF.

MAYBE THEY'RE LOOKING FOR SOMETHING ELSE. AN ARCADE, I DON'T KNOW.

BUT IT IT DOES SEEM APPROPRIATE TO AT LEAST REACH OUT TO THE COMMUNITY, WHETHER IT'S THROUGH A SURVEY, TOWN HALLS. I MEAN, I THINK THAT WAS THE ENTIRE POINT OF THE SKATING RINK ORIGINALLY WAS TO BE ABLE TO PROVIDE SOME LOW COST, WHOLESOME RECREATION ESPECIALLY, YOU KNOW, FOR THE TEENS.

YES. AND SO, YOU KNOW, MAYBE SOMETHING BESIDES VIDEO GAMES COULD INTEREST THEM.

FOR THE BIRTHDAY PARTIES AND TIMES THAT PEOPLE CAN RENT THIS OUT.

IS IT ALSO DURING AN OPEN SKATE OR ARE THESE ARE EXTRA HOURS BEYOND THE HOURS YOU JUST DESCRIBED? BOTH. SO YOU CAN WE HAVE SEMI-PRIVATE. SO OBVIOUSLY PEOPLE CAN HAVE BIRTHDAY PARTIES AND THINGS LIKE THAT DURING PUBLIC SKATE HOURS.

BUT THEN THERE'S ALSO AN OPPORTUNITY FOR PRIVATE RENTALS.

SO THAT USUALLY HAPPENS ON FRIDAY NIGHTS. THURSDAY NIGHTS.

WELL, NOT THURSDAY NIGHTS, BUT FRIDAY NIGHTS OR ANY OTHER OPPORTUNITY THAT SOMEONE WOULD LIKE. SO SOMETIMES WE'VE HAD OPERATIONS THAT TAKE PLACE IN THE DAYTIME.

[00:15:05]

SO THOSE ARE ADDITIONAL HOURS. ALL RIGHT. WELL, THANKS FOR THE UPDATE.

I MEAN, THIS IS THE KIND OF DETAIL WE DON'T NECESSARILY GET THAT REALLY IS SOMETHING HANDLED BY THE PARK BOARD, BUT IT SEEMS LIKE A VERY UNDERUTILIZED ASSET.

THANK YOU. COUNCILMAN RESENDEZ. I DON'T HAVE A WHOLE LOT MORE TO ADD.

IT IS DIFFICULT TO DISAGREE WITH THE COMMENTS THAT MY COLLEAGUES JUST MADE, BUT I MEAN, I AM INTERESTED TO HEAR THE PERSPECTIVE OF THE REPRESENTATIVE OF THAT AREA.

THAT'S ALL I HAVE. THANK YOU. THANK YOU. WAS THERE A MEETING HELD WITH THE CONCERNING THE SKATING RINK PRIOR TO ME TAKING OFFICE HERE AS A COUNCIL MEMBER OF DISTRICT FOUR? THERE WAS NOT A MEETING HELD. SO WHO WAS INCLUDED IN THE DECISION CONCERNING THIS, CONCERNING THE SKATE, SOUTHERN SKATE ROLLER? WHEN WE'RE LOOKING AT, WE'RE GOING TO CLOSE IT.

THE CHANGES IN THE ABRUPT CHANGES. ACTUALLY, I'VE SPOKEN WITH PEOPLE IN MY COMMUNITY WHERE I SERVED AS TRUSTEE, WHERE A LOT OF KIDS DID USE THE FACILITY. BUT, LIKE, WHAT, WHAT CONVERSATIONS WAS HAD WAS IT HAD WITH THE FORMER COUNCIL MEMBER CONCERNING THE ON ONGOING PROCESS. WAS THERE ANYTHING ELSE SAID OR DONE? SO, FOR THE CHANGES ACTUALLY JUST TOOK PLACE THIS YEAR.

SO BEFORE THIS, ALL THE HOURS REMAINED THE SAME.

SO THE HOURS WERE REDUCED CURRENTLY THIS YEAR AND IT INCLUDED WEDNESDAY AND SOME HOURS ON SATURDAY MORNING WHICH WERE THE UNDER UTILIZED HOURS.

THE CONVERSATION WAS AN INTERNAL CONVERSATION BASED ON THE ATTENDANCE, BASED ON REVENUE, BASED ON SOME OF THE EXPENDITURES, TO MAKE SURE THAT WE WERE BEING MORE FISCALLY RESPONSIBLE.

AND SO THAT'S HOW SOUTHERN SKATES WAS A PART OF THE CONVERSATION.

IT WAS INCLUDED IN LAST YEAR'S BUDGET TOWN HALL MEETING. SO THOSE WERE SOME CONVERSATIONS WHEN WE DID THE BUDGET TOWN HALL MEETINGS, WHERE THE COMMUNITY HAD AN OPPORTUNITY TO HAVE THOSE CONVERSATIONS WITH US. BUT OTHER THAN THAT, WE DID NOT HAVE WE DID NOT HAVE A MEETING WITH OUR PRIOR COUNCIL MEMBER.

OKAY. I THINK CHAIR MENDELSOHN ASKED, AND I JUST WANT TO BRING CLARITY TO MAKE SURE I'M UNDERSTANDING THAT THE TENT IS CHANGED BECAUSE THE HOURS CHANGED.

CORRECT? THE ATTENDANCE CHANGE BECAUSE OF THE HOURS CHANGED.

TO A CERTAIN EXTENT, YES. WE'VE OBVIOUSLY CLOSED TODAY, SO THAT WILL WOULD AFFECT THE ATTENDANCE.

BUT THAT WAS ALSO A LOW ATTENDANCE DAY. SO IT MAY HAVE AFFECTED THE CHANGE SOMEWHERE ABOUT AROUND 2000 TO 3000 ATTENDEES OVER THE SPAN OF A YEAR.

DO WE KNOW, AND I MAY HAVE OVERLOOKED IT IF I DID, I APOLOGIZE.

I'M LOOKING IN THE BUDGET HERE. DO WE KNOW HOW MUCH IT COST TO RUN THIS PARTICULAR FACILITY? DO WE HAVE THOSE NUMBERS? SO, WE'VE ACTUALLY STAYED WITHIN BUDGET.

SO EXCEPT 2025, WE DID NOT STAY WITHIN BUDGET BASED ON THE RENOVATIONS AND THE REPAIRS THAT WE DID TO SOUTHERN STATES.

BUT OTHER THAN THAT, WE'VE STAYED WITHIN THE $384,000 BUDGET.

OKAY. AND IT IS GOING OUT. I GUESS THE RFP IS GOING OUT AT THE END OF THIS MONTH.

YES, SIR. OKAY. OKAY. THANK YOU SO MUCH. ARE THERE ANY OTHER QUESTIONS? COUNCILWOMAN BLACKMON. OKAY. FROM A 2008 PRESENTATION, IT SAYS THAT WE USE CDBG MONEY.

SO DO YOU. AND DO YOU. SO BECAUSE THAT WAS FUNDED, IT LOOKS LIKE IN 1998.

AND I'M ASSUMING THAT WAS 1998 CBDG, IS THERE ANY STILL ANY MORE STIPULATIONS ON THE USE OF THAT MONEY? WE NO LONGER USE CDBG MONEY. IT'S JUST A PART OF OUR REGULAR.

BUT IS IT TIED UP? IN OTHER WORDS, IS IT A 20 YEAR OR A.

AND JACK, I HAVE THE 2008 ONE RIGHT HERE, I GUESS.

YEAH. THANK YOU FOR THE QUESTION, COUNCIL MEMBER BLACKMON.

JACK IRELAND, CHIEF FINANCIAL OFFICER NO, THERE WOULD NOT BE ANY CONTINUED REQUIREMENTS RELATED TO THOSE EXPENDITURES OF CDBG.

USUALLY THE REQUIREMENT IS FOR FIVE YEARS OF SERVICE DELIVERY FOR THE THOSE IMPROVEMENTS, AND WE'VE EXCEEDED THAT.

OKAY, SO WE COULD REPURPOSE IT NOT ONLY JUST FOR AS A SKATE PARK, BUT LIKE WHEN WE WERE TALKING HERE, YOU KNOW, MAYBE IT'S A SENIOR ACTIVITY CENTER FOR THE DAYTIME.

IN OTHER WORDS, IT PROBABLY NEEDS TO BECOME MORE OF A MULTI-PURPOSE BUILDING VERSUS A ONE CONCEPT.

YOU KNOW, MAYBE, YOU KNOW, LIKE ARTS PROGRAMS, AFTER SCHOOL PROGRAMS. I THINK THERE'S AN OPPORTUNITY HERE IF WE REALLY JUST BECOME CREATIVE AND WORK THROUGH IT VERSUS JUST SAYING IT'S ONLY GOING TO BE A SKATE PARK. IT STILL CAN BE THAT. BUT WHAT IS THE BOTH END? OKAY. AND I GUESS UNITED FRONT OF DALLAS INC., WHICH WAS THE 501(C)(3).

I GUESS THEY'RE TOTALLY GONE NOW. YES. JACK, DO YOU REMEMBER THAT WAS THE NONPROFIT THAT BUILT.

[00:20:06]

COUNCILMAN ROTH. JUST A FOLLOW UP QUESTION. AS WE WERE TALKING ABOUT, I ALSO WANT TO JUST MAKE SURE THAT THE RFP ALLOWS FLEXIBILITY IN THE PROPOSAL TO INCLUDE OTHER OPTIONS THAT IT'S NOT ISOLATED TO JUST A SKATE PARK, THAT IT, THAT IT ALLOWS A, AN OPERATOR WITHIN SOME KIND OF CONTROLLED GUIDELINES TO REALLY OFFER COMMUNITY SERVICES AS SUCH AND COMMUNITY ENTERTAINMENT AS SUCH.

NUMBER ONE. NUMBER TWO, IF AND JACK, MAYBE YOU MIGHT BE ABLE TO HELP ME UNDERSTAND, ONCE THIS GOES INTO A PRIVATE OPERATION, LEASE SITUATION OR MANAGEMENT AGREEMENT IN OPERATION, IS THERE, DO, IS THERE AN ATTENDANT ADDITIONAL EXPENSES THAT WOULD BE REQUIRED TO BE PUT ON THE PROPERTY, FOR EXAMPLE REAL ESTATE TAXES INSURANCE STUFF THAT THAT RIGHT NOW WE ARE ABLE AS A CITY TO MINIMIZE THOSE COSTS BECAUSE WE DON'T HAVE WE'RE SELF-INSURED OR WE'RE NOT SUBJECT TO THE REAL ESTATE TAXES THAT ARE THERE.

IS THERE A WAY TO HELP IN A NON FINANCIAL WAY TO GIVE SOME LEGS TO A NEW OPERATOR TO TRY TO GET SOMETHING GOING THERE? SO IT WOULD REALLY DEPEND ON HOW THE CONTRACT IS STRUCTURED.

BUT THE ASSET IS OWNED BY THE CITY. SO AS LONG AS IT'S OWNED BY THE CITY, THERE WOULD NOT BE PROPERTY TAXES DUE ON THAT.

TO, THIS TYPE OF RELATIONSHIP MAY BE SET UP TO WHERE THERE'S NOT A LEASE REQUIREMENT FOR THEM TO PAY US.

WE ALLOW THEM TO USE THE CITY ASSET FOR THE OPERATION OF THE PROGRAM, AND THEN IT'S UP TO THE PARK DEPARTMENT TO MAKE A RECOMMENDATION OF WHETHER WE ARE GOING TO PROVIDE A STIPEND TO THEM OR NOT.

ARE WE GOING TO HAVE THEM OPERATE SOLELY ON THEIR REVENUE? SO IT JUST DEPENDS ON HOW THE PARK DEPARTMENT PROPOSES IT.

THEY WERE ASKED LAST YEAR DURING THE BUDGET PROCESS, AS THEY ARE IN, ALL DEPARTMENTS ARE TO IDENTIFY WAYS TO REDUCE EXPENSES, AND THIS IS ONE OF THE PROGRAMS THAT THEY BROUGHT FORWARD, AS THERE MAY BE AN OPPORTUNITY TO AND REDUCE EXPENSES.

IT WAS CUT IN THE CURRENT YEAR BUDGET. IS THERE AN OPPORTUNITY TO DELIVER THIS PROGRAM IN A DIFFERENT WAY THAT SAVES THE CITY MONEY? AND THAT'S WHAT THEY WERE ASKED TO DO, AND THAT'S WHAT THEY'RE TRYING TO DELIVER ON. BUT AS FAR AS YOUR QUESTION ABOUT IT REALLY JUST DEPENDS ON HOW THE CONTRACT IS WRITTEN WITH THE PROVIDER. AGAIN MY, AND THAT'S THE THAT'S EXACTLY WHAT I WAS HOPING I'D GET THE FEEDBACK FROM YOU.

WHAT I WANT TO ENCOURAGE IS LET'S FIGURE OUT HOW TO MAKE THIS INTO A PROJECT THAT CAN BENEFIT THE COMMUNITY.

DOESN'T COST US ANY MONEY. AND GET SOMEBODY IN THERE WHO CAN BE CREATIVE, THOUGHTFUL AND MAKE SOMETHING THAT'S IMPORTANT FOR THE PEOPLE WHO LIVE THERE AND CAN AND GIVES US SOME FLEXIBILITY.

SO WHEN YOU'RE MAKING THIS DEAL, BE THOUGHTFUL AND COLLABORATIVE WITH THE PEOPLE THAT YOU'RE, THE SHORT LIST OF PEOPLE THAT YOU'RE TALKING TO SEE IF YOU CAN STRUCTURE A DEAL THAT REALLY WORKS FOR EVERYBODY AND MAKES IT MAKES SENSE.

AND THAT'S WHAT MY ENCOURAGEMENT WOULD BE, SO THAT WE'VE GOT SOMETHING HERE RATHER THAN A DEAD BUILDING.

THANK YOU. THANK YOU. CHAIR MENDELSOHN. SO I JUST HAVE TWO POINTS.

ONE IS THAT I'LL JUST SAY IF THIS WAS GOING ON IN MY DISTRICT AND I WASN'T INCLUDED, I WOULD NOT BE HAPPY.

SO I WOULD HIGHLY ENCOURAGE YOU TO WORK WITH THE COUNCIL MEMBER TO MAKE SURE THAT THE COMMUNITY IS ENGAGED IN IT.

SECOND IS, YOU KNOW, THERE'S A MODEL THAT'S ALREADY IN PLACE WITH ADVENTURE LANDING, WHERE THE CITY, THE PARKS DEPARTMENT OWNS A PROPERTY, HAS AN OUTSIDE VENDOR THAT'S RUNNING IT, HAS A SHARE OF PROFITS, BUT THE OPERATOR IS DOING THE MAINTENANCE AND COMPLETELY CORRECT HANDLING THE ASSET.

I'M WONDERING, BESIDES SOUTHERN SKATES, ARE THERE OTHER OPPORTUNITIES TO DO THAT IN THE PARK SYSTEM? I WOULD HAVE TO LEAN ON THE THE LEADERSHIP TO FIND OUT, BUT I'M SURE THERE MAY BE.

WELL, I THINK IT'S A MODEL THAT Y'ALL SHOULD THINK ABOUT MORE AND MORE.

I MEAN, I GUESS IN SOME WAYS THE GOLF COURSES ARE OPERATED BY SOMEBODY ELSE, AND THERE'S A SHARE OF REVENUE.

CORRECT. TO SOME EXTENT. BUT FINDING WAYS TO MAKE THE PARK SYSTEM MORE SUSTAINABLE FINANCIALLY IS REALLY IMPORTANT.

[00:25:04]

SO I'M GLAD THAT YOU'RE LOOKING AT THIS. I'M GLAD YOU'RE LOOKING AT AN OUTSIDE OPERATOR. I THINK THAT'S IMPORTANT. AND SOMETIMES, YOU KNOW, PRIVATE BUSINESSES AND NON-PROFITS CAN DO THINGS A LITTLE MORE EFFICIENTLY THAN THE CITY.

SO I'M GLAD YOU'RE MOVING IN THAT DIRECTION, BUT PLEASE DON'T FORGET THE COUNCIL MEMBER, BECAUSE, YOU KNOW, WE ARE ELECTED TO REPRESENT OUR AREA.

AND I WOULD IMAGINE ANY CHANGES THAT HAPPEN. YOU ARE THE ONE WHO'S GOING TO GET THE PHONE CALLS.

THANK YOU. THANK YOU. CHAIR MENDELSOHN. AND LET ME ADD, I WAS TALKING TO, TELLING COUNCILMAN RIDLEY THIS IS ONE OF THE TOUGHEST AREAS IN MY DISTRICT.

IT WAS IN MY DISTRICT. AS A SCHOOL BOARD TRUSTEE, I JUST BUILT A $50 MILLION SCHOOL, RIGHT DOWN THE STREET FROM THIS PARTICULAR FACILITY, PRIOR TO ME COMING ON THE COUNCIL. AND I'M A LITTLE SURPRISED, TAKEN BACK, THAT THERE WAS NO, WITH THIS LENGTH OF TIME. AND I KNOW THIS IS JUST NOT ARRIVED HERE, BUT THERE WAS NO OUTREACH TO THE COMMUNITY.

AND SO WHAT WE'RE GOING TO DO BECAUSE I KNOW THE COMMUNITY IS LISTENING TO THIS BECAUSE THIS IS A VERY BIG SUBJECT.

AGAIN, THIS IS THE ONLY SKATING RINK THAT WE HAVE IN THE SOUTHERN SECTOR OUTSIDE OF GOING TO DUNCANVILLE SKATE LAND.

SO THIS IS A BIG DEAL, RIGHT? WE'RE GOING TO I'M GOING TO GET I NEED TO GET WITH THE PARK AND MY PARK REPRESENTATIVE, MR. TOYNES, AND WE'RE GOING TO HAVE A COMMUNITY MEETING SURROUNDING SOUTHERN SKATES AND I, AND GET THINGS DONE, AND GET THEIR INPUT. I THINK WE HEARD SOME GREAT IDEAS FROM COUNCILWOMAN BLACKMON, WHO SAID MAKE SURE THAT IT COULD POSSIBLY BE A MULTI-USE FACILITY SO WE GET THE MOST BANG FOR OUR BUCK.

I THINK THE COMMUNITY WILL SUPPORT THAT, BUT WE CANNOT GET RID OF A RESOURCE THAT SERVES KIDS AND SERVES COMMUNITY. AND I DEFINITELY LIKE HER IDEA WITH THE SENIOR CITIZENS.

SO WE'LL BE HAVING A COMMUNITY MEETING CONCERNING THIS VERY SOON.

THANK YOU SO MUCH. ANY OTHER QUESTIONS, OR DO YOU WANT TO HAVE ANYTHING? THANK YOU FOR PRESENTING THIS MORNING. THANK YOU.

NOW WE'RE UP TO. RESPONSE TO QUESTIONS FROM THE COMMITTEE OF GOVERNMENT OFFICIALS DURING THE JANUARY 12TH OVERVIEW OF THE WIC PROGRAM, OFFICE OF HOUSING AND COMMUNITY EMPOWERMENT.

JACK, THANK YOU FOR BEING HERE. YES, SIR. THANK YOU SO MUCH.

SO, JACK IRELAND, CHIEF FINANCIAL OFFICER, AND I'M JOINED WITH STAFF FROM OR LEADERSHIP FROM HOUSING AND COMMUNITY EMPOWERMENT, ERIC THOR, ERICKSON AND JESSICA GALLESHAW. AND LAST MONTH THERE WAS DISCUSSION ABOUT THE WOMEN INFANT CHILDREN PROGRAM, AND THERE WERE A FEW QUESTIONS THAT THE COMMITTEE WANTED TO REFER TO THE CITY AUDITOR'S OFFICE.

SO I JUST DIDN'T, I WANTED TO MAKE SURE YOU WERE AWARE OF WHAT WE WERE DOING.

IT'S NOT THAT I'M NOT ANSWERING YOUR QUESTIONS.

IT IS THAT THOSE QUESTIONS HAVE BEEN REFERRED TO THE CITY AUDITOR'S OFFICE, AND THE CITY AUDITOR TOOK AN ITEM TO THE FINANCE COMMITTEE ON FEBRUARY 3RD, ASKING TO AMEND THEIR WORK PLAN FOR THE YEAR TO ADD THIS WORK.

BUT RAN OUT OF TIME AT THE FINANCE COMMITTEE, AND THE FINANCE COMMITTEE WILL CONSIDER THAT REQUEST FROM THE CITY AUDITOR AT A FUTURE MEETING. SO NOT HERE TO PROVIDE YOU WITH THE ANSWERS TO THE YOU THE QUESTIONS THAT WE SENT TO THE CITY AUDITOR, BUT RATHER TO TELL YOU THAT WE HAVE REFERRED YOUR QUESTIONS TO THE AUDITOR, WHICH IS WHAT THIS COMMITTEE ASKED US TO DO.

WE DID GO AHEAD AND PROVIDE A LITTLE BIT OF ADDITIONAL INFORMATION REGARDING THE QUESTIONS, ALTHOUGH NOT A FINAL ANSWER, REGARDING TERMINATING THE CONTRACT WITH THE STATE STEPS THAT WOULD BE NECESSARY.

JESSICA PROVIDED SOME ADDITIONAL INFORMATION ON THAT.

BUT THE BASIC OF IT IS THAT WE'RE WORKING WITH THE CITY ATTORNEY'S OFFICE ON QUESTIONS ABOUT WHAT IS THE PROCESS TO EITHER TERMINATE THAT CONTRACT EARLY, IF THAT'S AN OPTION OR IF WE ARE ABLE TO END THAT CONTRACT AT THE END OF ITS CURRENT FIVE-YEAR TERM.

AND THEN REGARDING YOUR QUESTIONS ON FULL COST RECOVERY FINANCIAL BENEFIT OF THE PROGRAM, THE RESEARCH THAT WE HAVE DONE DOES SHOW THAT THE, ALL OF THE OPERATING COSTS, ALL OF THE OPERATIONS, DIRECT COST ARE FULLY FUNDED BY THE GRANT.

[00:30:04]

AND INDIRECT COST WOULD BE THOSE COSTS THAT ARE INCURRED WITHIN THE GENERAL FUND, BUT THAT CAN BE ATTRIBUTED TO THE WIC PROGRAM, SO THE MAYOR COUNCIL OFFICE, THE BUDGET OFFICE, THE CITY MANAGER'S OFFICE, THE ATTORNEY'S OFFICE, ALL OF THOSE, WHEN WE DO A COST ALLOCATION PLAN, DO HAVE THE OPPORTUNITY TO ALLOCATE AND ATTRIBUTE SOME OF THOSE COSTS TO THE WIC PROGRAM.

SO WE ARE WORKING WITH A VENDOR WHO DOES OUR COST ALLOCATION PLAN ON THAT.

AND WE WILL WORK WITH MR. SWANN AS HE'S DOING HIS WORK TO HELP SUPPORT HIM ON THAT.

THERE IS ONE OTHER COST THAT WE DO NOT CAPTURE OR RECOVER THROUGH THE WIC GRANT, AND THAT'S ANY SHARE OF THE PENSION OBLIGATION BONDS THAT WERE ISSUED BACK IN 2005. WE DO ALLOCATE THOSE COSTS TO THE ENTERPRISE FUNDS, BUT WE DON'T TYPICALLY, ALLOCATE THOSE COSTS TO GRANTS. AND SO THAT'S ANOTHER COST THAT WE COULD ADD IN AS SOMETHING THAT IS NOT CAPTURED.

SO I THINK WHEN YOU GET A FINAL ANSWER FROM MR. SWANN, HE WILL ARTICULATE AND BE ABLE TO ADD THOSE COSTS UP OF WHAT INDIRECT COSTS, PENSION OBLIGATION BONDS THAT THE GENERAL FUND IS ACTUALLY COVERING. BUT ALL OF THE DIRECT OPERATIONAL COSTS ARE PAID FOR BY THE GRANT.

SO AGAIN THIS WAS JUST TO TELL YOU, WE'VE SENT THIS TO THE AUDITOR.

ONCE THE AUDITOR'S FINISHED WITH THEIR WORK, YOU'LL GET YOUR FINAL ANSWERS ON THE QUESTIONS YOU ASK.

AND WITH THAT, I'LL STOP AND DO NOTHING TO ADD HERE.

SO IF THERE'S OTHER QUESTIONS THAT YOU WANT US TO REFER TO, THE CITY AUDITOR, WE'LL BE HAPPY TO.

OR WE'LL TRY TO ANSWER YOUR QUESTIONS AS WELL.

THANK YOU. I'M GOING TO START WITH MY RIGHT. THAT WOULD BE ME.

OKAY. WELL, I WOULD LIKE TO SEE A LETTER FROM THE TEXAS HEALTH AND HUMAN SERVICES THAT ACTUALLY ADDRESSES THOSE QUESTIONS.

I APOLOGIZE. COULD YOU REPEAT IT? I APOLOGIZE.

I UNDERSTAND. I WOULD LIKE TO SEE A LETTER FROM THE TEXAS HEALTH AND HUMAN SERVICES THAT ACTUALLY ADDRESSES THOSE QUESTIONS OF IF WE WOULD LIKE TO CANCEL THE CONTRACT EARLY, OR IF WE HAVE A SUBRECIPIENT OR ANOTHER ORGANIZATION THAT WOULD LIKE TO TAKE THAT GRANT, IF THAT IS ALLOWED.

UNDERSTOOD, WE WILL REQUEST THAT. THANK YOU, BUT I'D LIKE TO SEE THEM PUT THAT IN WRITING FOR US.

THE CITY ATTORNEY'S OFFICE WAS ONE OF THE EXAMPLES THAT YOU USED OF INDIRECT COSTS.

BUT AREN'T THERE DIRECT COSTS ASSOCIATED WITH, LIKE, THE LEASES FOR ALL THE LOCATIONS THAT THEY WORK WITH? YES, THERE ARE DIRECT COSTS ASSOCIATED WITH THAT.

AND SO ARE THOSE BROKEN OUT SEPARATELY THAN THE INDIRECT COSTS OR THAT'S JUST LUMPED IN WITH THE INDIRECT? THOSE ARE COVERED IN THE DIRECT COST JUST LIKE THE OTHER PROGRAMMATIC DIRECT COSTS.

SO WE RECENTLY HAD APPROVED A LEASE THAT WAS OUTSIDE, IN FACT, OF THE CITY BOUNDARIES.

ARE YOU SAYING THAT THE HOURS SPENT FROM THE CITY ATTORNEY WERE THEN CAPTURED AS A DIRECT COST? AND THEN IN ADDITION, FOR INDIRECT COSTS, YOU ALSO HAD CITY ATTORNEY? OR IS IT THAT YOU ONLY HAD THE INDIRECT CITY ATTORNEY COSTS? NO. I BELIEVE THAT THE OVERALL ALLOCATION OF TIME SPENT BY THE CITY ATTORNEY'S OFFICE FOR ANYTHING LEGALLY RELATED IS WHAT IS ATTRIBUTABLE TO THE INDIRECT COSTS. YES, JESSICA, I BELIEVE IS CORRECT ON THAT, THAT THAT WOULD BE PART OF THE INDIRECT COST THAT THE ALLOCATION MODEL CAPTURES BECAUSE THE THE CITY ATTORNEY'S OFFICE MEET WITH THE CONSULTANT THAT DOES OUR COST ALLOCATION PLAN.

THEY TALK ABOUT HOW THEY ALLOCATE THEIR COSTS, WHETHER IT'S NUMBER OF LEASES, NUMBER OF CONTRACTS.

WHAT THEIR METHODOLOGY IS FOR THAT. THE SAME AS PROCUREMENT, THEY MEET WITH THE CONSULTANT TO TALK ABOUT HOW THEIR COSTS SHOULD BE ALLOCATED, ETC. HR WOULD BE ALLOCATED BASED ON PER FTE COUNT.

AND SO ALL OF THAT IS CAPTURED IN THE INDIRECT COST.

LAST YEAR THE GRANT PAID $900,000 TOWARDS INDIRECT COST.

FOR THE CURRENT YEAR, THEY HAVE IN THE BUDGET $500,000 FOR THE INDIRECT COST.

BUT AS WE WORK WITH MR. SWAN'S OFFICE, WE WILL QUANTIFY WHAT THAT IS AND BE ABLE TO TELL YOU WHAT THAT GAP IS.

DOES THE 500,000 IN THE CURRENT YEAR'S BUDGET? DOES IT LEAVE A $400,000 GAP, OR A HALF $1 MILLION GAP? AND THAT'S WHAT I THINK YOU WANT TO KNOW IS HOW MUCH WE'RE NOT RECOVERING.

WELL, IT IS, BUT I ALSO WOULD QUESTION SOME OF THESE INDIRECT COSTS IF THEY AREN'T ACTUALLY DIRECT COSTS.

I MEAN, IF YOU CAN, AS AN ATTORNEY, CALCULATE YOUR TIME AND SAY, I HAVE JUST SPENT, YOU KNOW, 12 HOURS ON A LEASE. THAT'S ACTUALLY A DIRECT COST, NOT AN INDIRECT COST.

WE CAPTURE IT THROUGH THE INDIRECT COST ALLOCATION, RATHER THAN MOVING MONEY FOR WORKING ON THIS CONTRACT OR WORKING ON THIS LEASE.

[00:35:08]

AND THEN WE CHARGE THAT OFF AS ONE, THE SAME AS WE DO FOR DALLAS WATER UTILITY, AVIATION CONVENTION CENTER.

THE ATTORNEY'S OFFICE DOES WORK ON, WORK FOR AVIATION AS AN EXAMPLE, BUT THEY DON'T DO IT ON A ONE BY ONE BY ONE BASIS.

IT'S CAPTURED IN ONE ALLOCATION AND THEY PAY IT, SAME WITH OUR GRANTS.

THANK YOU. SO SPECIFICALLY FOR THE EXTERNAL AUDIT, IS THAT ALSO AN INDIRECT COST THAT YOU'RE JUST ATTRIBUTING TO IT, OR ARE WE SOMEHOW DIRECTLY PAYING FOR THAT THROUGH THIS GRANT? NO. AGAIN, IT WOULD BE PART OF THE INDIRECT COST, ANYTHING THROUGH THE CITY COMPTROLLER'S OFFICE OR WHETHER THROUGH THE CITY AUDITOR'S OFFICE, THOSE WOULD BE PART OF THE INDIRECT COST THAT'S CALCULATED, AND IT'S CAPTURED AS ONE EXPENSE RATHER THAN EACH INDIVIDUAL TRANSACTION.

OKAY. WELL, SO I HOLD THE OPINION UNTIL YOU CAN PROVE ME WITH NUMBERS DIFFERENTLY THAT THIS PROGRAM IS ACTUALLY COSTING US A LOT OF MONEY. AND ALL OF THESE INDIRECT COSTS THAT WE'RE TALKING ABOUT ARE WHAT WE CALL INTERGOVERNMENTAL INTER-DEPARTMENTAL IN THE BUDGET. AND IT'S A MASSIVE NUMBER IN EVERY SINGLE DEPARTMENT.

AND UNTIL WE PARE DOWN WHAT WE'RE DOING AND WE REDUCE THOSE COSTS, OUR BUDGET REMAINS OUT OF CONTROL.

AND THIS IS A PRIME EXAMPLE WHERE MANY OF THE LOCATIONS ARE NOT WITHIN OUR CITY BOUNDARIES.

IT'S SERVING ACTUALLY THE COUNTY, AND IT WOULD BE BEST MANAGED BY EITHER THE COUNTY OR A HOSPITAL SYSTEM, WHICH IS, IT'S NOT UNCOMMON ACROSS THE STATE.

AND I RECOGNIZE THAT WE'VE BEEN DOING IT SINCE I THINK IT'S THE 70S.

BUT JUST BECAUSE WE HAVE DOESN'T MEAN WE SHOULD.

AND SO I APPRECIATE THE CONVERSATION. I SEE OUR AUDITOR DID JOIN US FOR HOWEVER LONG HE HAS REMAINING.

BUT I DO HOPE THE FINANCE COMMITTEE WILL ADD THIS TO THE AUDIT WORK PLAN, WHETHER IT'S DONE INTERNALLY OR EXTERNALLY.

I THINK THIS IS. WHEN WE FINISH THAT WORK AND HAVE THOSE ANSWERS FOR YOU.

ON WHAT ACTUAL COST THE GENERAL FUND IS EATING, IF YOU WILL.

THAT'S NOT COVERED BY THE GRANT. ONCE YOU HAVE THE RESPONSE FROM THE ATTORNEYS RELATED TO HOW WE MAY EXIT THE CONTRACT, THEN THE BODY CAN MAKE THE DECISION WHETHER YOU WANT TO DO SOMETHING. I JUST FEEL LIKE I NEED TO SAY THIS.

I SAID IT LAST TIME, BUT I'M VERY MUCH IN FAVOR OF THIS PROGRAM.

I THINK IT'S ESSENTIAL FOR OUR POPULATION. AND ONE OF THE THINGS THAT CAN HAPPEN IF IT WAS PLACED WITH A COUNTY OR HOSPITAL SYSTEM IS THAT THAT SYMBOLIC SYMBIOTIC RELATIONSHIP WHERE THE HEALTH CARE ASPECT CAN BE STRENGTHENED AND, YOU KNOW, WHETHER YOU'RE DOING. I KNOW YOU DO SOME ON SITE IMMUNIZATIONS.

YES. FLU SHOTS. NO. NO. NOTHING. OKAY. WELL, SEE, THIS IS A GOOD THING YOU COULD DO.

THERE'S A LOT OF THINGS THAT THE HOSPITAL SYSTEM AND THE COUNTY COULD OFFER TO THIS PARTICULAR POPULATION THAT THE CITY IS JUST NOT PART OF. AND SO, AGAIN, IT'S AN IMPORTANT PROGRAM.

I JUST THINK IT'S MISPLACED. I THINK IT BELONGS SOMEWHERE ELSE TO BETTER SERVE THE PEOPLE.

THANK YOU. AND AGAIN, THIS WAS JUST A PLACEHOLDER.

SO, YOU KNOW, WE WERE TRYING TO GET YOUR ANSWERS AND WE WILL BE BACK WITH A MEMO OR SOMETHING WHEN WE HAVE THE ACTUAL INFORMATION THAT HAS BEEN REQUESTED.

SO YOU CAN THEN MAKE AN INFORMED DECISION. THANK YOU.

JAKE, I WANT TO GIVE YOU AN OPPORTUNITY. I SEE YOU SHAKING YOUR HEAD WHEN CHAIR MENDELSOHN WAS SPEAKING.

SO I WANT TO MAKE SURE YOU HAVE OPPORTUNITY TO SPEAK. NO, WE DO NOT DO IMMUNIZATIONS OR ANY TYPES OF HEALTH CARE SERVICES, AND WE ACTUALLY TARGET OUR CLINICS IN PROXIMITY TO GROCERY AND RETAIL OUTLETS BECAUSE THE PRIMARY BENEFIT OF THE PROGRAM IS RELATED TO THE RETAIL BENEFIT. SO I WAS, I WAS NOT REALLY SHAKING MY HEAD, BUT IF I WAS, IT WAS PROBABLY INDICATING THAT WE DON'T DO THE IMMUNIZATIONS.

OKAY. NO PROBLEM. MISS MENDELSOHN. YEAH. LET ME, LET'S SAY SOMETHING.

THAT'S FINE. OKAY. COUNCILMEMBER RIDLEY. THANK YOU, MR. CHAIR. I WILL REITERATE THE POSITION I TOOK IN THE JANUARY 12TH MEETING THAT I DON'T THINK THIS PROGRAM BELONGS IN THE CITY.

IT'S NOT RELATED TO A CORE FUNCTION WITHIN THE CITY'S RESPONSIBILITIES.

IT'S BETTER LEFT TO THE COUNTY OR A HOSPITAL SYSTEM.

BUT I HAD A QUESTION REGARDING THE THIRD PARAGRAPH.

UNDER THE SECOND QUESTION IN FISCAL YEAR 24-25, WIC REVENUE PAID 913,000 FOR INDIRECT COSTS, BUT IN THE 25-26 FISCAL YEAR, THE WIC BUDGET INCLUDES ONLY 520,000 FOR INDIRECT COSTS, THE ACTUAL AMOUNT TO BE DETERMINED ONCE IT IS KNOWN IF THE CITY RECEIVES AN INCREASED ALLOCATION OR HAS ADDITIONAL CAPACITY.

[00:40:06]

SO IF THERE'S MORE FUNDS THAT COME, IT WILL PROVIDE US AN OPPORTUNITY TO CAPTURE MORE OF THAT INDIRECT COST, OR IF THERE IS SAVINGS IN ONE OR THE OTHER LINE ITEMS, THAT KIND OF FREES UP CAPACITY TO CHARGE MORE FOR INDIRECT COST.

WE WOULD BE ABLE TO DO THAT. SO WHY IS THE 520,000 IN THE CURRENT BUDGET A LITTLE MORE THAN HALF OF WHAT IT WAS IN THE PREVIOUS FISCAL YEAR? SO INDIRECT COST IS SOMETHING THAT'S TYPICALLY CAPTURED TOWARDS THE END OF THE GRANT BECAUSE IT CAN ONLY BE APPLIED AGAINST SPECIFIC COSTS THAT ARE ACTUALLY ATTRIBUTED TO. AND SO AT THE BEGINNING OF ANY BUDGETARY YEAR, WE'RE CHALLENGED TO CREATE A PLACEHOLDER IN OUR BUDGET THAT IS SUFFICIENT TO ENSURE THAT WE ARE ACCOUNTABLE AND DRAWING DOWN INDIRECT COST RATE.

HOWEVER, WE ALSO HAVE TO ENSURE THAT WE ARE NOT BUDGETING AT A LEVEL THAT WE WOULD NOT BE ABLE TO MEET AT THE END.

AND SO TYPICALLY, WE ACTUALLY DRAW DOWN SIGNIFICANTLY MORE THAN WE'RE ABLE TO BUDGET FOR ONCE THE GRANT IS CLOSING OUT AND WE'RE ABLE TO PULL DOWN THE REMAINDER TO TOWARDS THAT COST, AS LONG AS IT'S WITHIN THE, WHAT IS ALLOWED AGAINST THE COST THAT WE ARE ALLOWED TO ATTRIBUTE INDIRECT COSTS FOR. SO THE GRANT IS NOT FOR A FIXED AMOUNT AT THE BEGINNING OF THE FISCAL YEAR.

IT'S FOR AN UP TO AMOUNT, AND IT IS BASED ON A COMBINATION OF DIRECT COSTS FOR PORTIONS OF THE GRANT.

BUT MOST OF THE GRANT IS EARNED REVENUE BASED ON PARTICIPATION ON A MONTHLY BASIS.

THANK YOU. COUNCILMAN ROTH. THANK YOU. I JUST WANTED TO FOLLOW UP SOMETHING THAT COUNCILMEMBER RIDLEY AND COUNCILMEMBER MENDELSOHN BROUGHT UP THE PROGRAM IS AN ESSENTIAL PROGRAM TO THE CITIZENS OF OUR REGION.

THERE'S NO DOUBT ABOUT IT. I DO AGREE THAT THIS IS PROBABLY NOT OUR JOB.

WE SHOULDN'T BE, THIS SHOULDN'T BE SOMETHING THAT WE'RE AS A CITY HANDLING.

IT'S REALLY THIS ISSUE IS NOT A DISCUSSION ON THE VALUE OF THE PROGRAM, IT'S OF THE COST AND THE TIME THAT WE'RE SPENDING AND EXPENDING ON THIS ON THIS PROGRAM.

I'M, IF A PROGRAM IS A CORE SERVICE THAT WE NEED TO HAVE THAT IT'S GOT TO JUSTIFY ITS COST AND IT'S GOT TO COVER ITS COST. AND IN THE BUDGETING OF THIS PARTICULAR SITUATION, IT SEEMS LIKE TO ME THAT WE'RE NOT ABLE TO GET REIMBURSED ULTIMATELY FOR THE ACTUAL COSTS, WHETHER IT BE DEEMED INDIRECT, WHETHER IT BE DIRECT COSTS, GENERALLY BECAUSE THE STATE IS BUDGETING STUFF IN ADVANCE.

WE'RE PROPOSING BUDGETS IN ADVANCE. BUT WHEN THE END OF THE PARTY COMES, IF THERE'S NOT ENOUGH MONEY IN THE GRANT, WE'RE THE ONES TAKING THE HIT. IS THAT NOT CORRECT, OR AM I MISUNDERSTANDING HOW THE BUDGETING AND ALLOCATION OF MONIES ACTUALLY WORKS? THIS STATE ACTUALLY HAS A HABIT OF BUDGETING US IN EXCESS OF WHAT WE WOULD BE EXPECTED TO EXPEND.

THE CHIEF GOAL IS TO ENSURE THAT WE'RE DRIVING PARTICIPATION TO THE PROGRAM SO THAT WE CAN EARN THE REVENUE.

AND FOLLOWING UP ON THAT, AND THIS IS AN EDUCATION FOR ME, THE STATE IS CREATING THE BUDGET FOR THIS PROGRAM? THE STATE IS ALLOCATING AN AMOUNT ON AN ANNUAL BASIS WITHIN THE OVERALL AMOUNT THAT THEY HAVE ATTRIBUTED TO US FOR THE FIVE YEARS.

SO EACH YEAR THEY WILL TELL US THIS IS HOW MUCH WE'RE ALLOCATING FOR THIS FISCAL YEAR.

THEY COULD INCREASE IT, ESPECIALLY IF THERE'S NO CONCERN THAT IT WOULD EXCEED THAT FIVE YEAR CAP IF PERFORMANCE AND PARTICIPATION DOES DEMAND THAT. BUT THEY HAVE A FORMULA THAT THEY USE THAT ATTRIBUTES HISTORIC PARTICIPATION FROM PRIOR YEARS AND ANTICIPATES SOME GROWTH. AND ADDITIONALLY, THEY DO ADJUST THE REIMBURSEMENT RATE PER CLIENT SERVED FAIRLY REGULARLY TO ENSURE THAT THE PROGRAM COSTS ARE ABLE TO BE COVERED BY THE ALLOCATIONS.

AND IN THAT, THAT'S, I APPRECIATE THE CLARIFICATION.

[00:45:03]

THE THING THAT TROUBLES ME IS THAT ALL THE DISCUSSION IS THE STATE IS DOING ALL OF THIS.

IT SEEMS LIKE OUR INPUT AND OUR PARTICIPATION IN THOSE DECISIONS IS NOT CLEAR.

WE MAY BE MAKING BUDGETING PROJECTIONS TO THEM.

WE MAY BE GIVING THEM ADVICE, BUT IT SEEMS LIKE THEY'RE CREATING THE PROGRAM BASED ON HISTORICAL RECORDS, WHICH I UNDERSTAND, BUT WE'RE IN A GROWING COMMUNITY WHERE WE'RE DOING THINGS, AND QUITE FRANKLY, I DON'T THINK WE'RE, I DON'T, I'M NOT GETTING THE COMFORT THAT OUR INPUT AND OUR PROJECTIONS AND OUR ACTUAL COSTS ARE REALLY BEING RECOGNIZED IN THE GRANTING PROGRAM AND THE BUDGETING PROGRAM FROM THE STATE.

AND SO TO THAT EXTENT, I'M VERY UNCOMFORTABLE WITH MAKING FIVE YEAR COMMITMENTS TO PROVIDE PROGRAMING THAT MAY OR MAY NOT BE COVERED. THAT WHERE WE DON'T HAVE CONTROL OVER MAKING BUSINESS DECISIONS ON HOW MUCH MONEY WE ACTUALLY ARE SPENDING, AND THAT ACTUAL SPENDING IS TO MY COLLEAGUE'S CREDIT, IN THEIR ACKNOWLEDGMENT OF IT IS A LOT OF THIS STUFF IS INDIRECT.

A LOT OF THIS STUFF IS TIME, SUPERVISION, ALLOCATION OF RESOURCES THAT LIMITED RESOURCES THAT WE HAVE.

AND WE'VE GOT TO PUSH THAT THOSE COSTS ONTO THE FOLKS THAT ARE SUPPOSED TO BE PAYING FOR THAT SERVICE.

AND IF IT'S THE STATE, SO BE IT. IF IT'S THE COUNTY, SO BE IT.

BUT IT SHOULDN'T BE COMING OUT OF OUR POCKET IF IT'S NOT OUR JOB.

THANK YOU. THANK YOU, JACK, FOR PRESENTING THIS.

AND I KNOW WE'RE WAITING ON A LOT OF ANSWERS.

WHEN WILL WE. WHEN WILL WE GET THAT INFORMATION? I BELIEVE YOU SAID IT'S FROM THE AUDITOR OR WE'RE WAITING ON. I APOLOGIZE, COULD YOU ASK WHEN WHEN WHEN WILL WE GET THE INFORMATION THAT WE THAT WE REQUEST? I DON'T KNOW IF. DID YOU SAY IT WAS COMING FROM THE AUDITOR? SO I'M GOING TO ASK SINCE.

SINCE MARK CAME IN. MARK, DO YOU WANT TO GIVE AN ESTIMATE ON WHEN YOU THINK YOU WOULD BE ABLE TO FINISH THIS ENGAGEMENT? SORRY. MARK SWANN, CITY AUDITOR. THE QUESTION.

WELL, ONE THING WE'RE TRYING TO MAKE SURE WE GET THE PLAN AMENDED.

AND SINCE THE GPA, THE FINANCE COMMITTEE DEFERRED IT TILL THE NEXT TO THE END OF THIS FEBRUARY MEETING, AND THEN WE'LL NEED TO GET THE NEXT PART OF THAT IS TO GET THE COUNCIL APPROVAL.

SO WE NEED THE RECOMMENDATION FROM THE FINANCE COMMITTEE AND THEN HAVE COUNCIL APPROVE THE AMEND THE PLAN.

BUT WE'RE STILL WORKING ON THE AUDIT NOW. AND SO IT LOOKS LIKE WE GOT A BETTER COMMITMENT TOWARD IT.

SO WE WOULD BE PUTTING MORE EFFORT INTO IT. AND SO IT'LL TAKE DEPENDING ON WHAT WE RECEIVE.

AND IT SOUNDS LIKE THERE'S A LOT OF WORK BEING DONE SO THAT RECENTLY TO PUT THESE NUMBERS TOGETHER.

SO IT WOULD BE MORE OF US VALIDATING AND DETERMINING THAT THOSE ARE CORRECT AND THERE'S NOT ANY.

AND THE COMPLETENESS OF THE INFORMATION YOU HAVE.

SO I KNOW YOU HAD ASKED, I REMEMBER LAST MEETING YOU WERE ASKING FOR MARCH.

AND THAT'S NOT GOING TO BE A OF POSSIBILITY, BUT I WOULD SAY EITHER APRIL OR I'VE PROBABLY BE SAFE TO SAY MAY.

WE COULD HAVE IT FOR YOU BY YOUR MAY MEETING. IN MAY.

THAT'S BE MY. HOPEFULLY WE'D HAVE IT SOONER, BUT MAY WILL BE THE DEADLINE.

THANK YOU. AND I KNOW THAT MOST OF US HERE UNDERSTAND THE IMPORTANCE OF THE WICK PROGRAM.

AND SO WE WANT TO MAKE SURE THAT WE'RE NOT LOSING THE PROGRAM OR THE COMMUNITY.

AND THOSE THAT NEED THE PROGRAM IS NOT LOSING THE PROGRAM BECAUSE THIS IS A VERY IMPORTANT PROGRAM.

HOWEVER, I THINK THAT WE DO NEED TO GET THAT, GET THOSE ANSWERS AND PROBABLY WORK WITH THE COUNTY TO PROBABLY TAKE OVER THIS PROGRAM WITH. BUT WE DON'T WANT WE WANT TO MAKE SURE THAT OUR COMMUNITY BECAUSE A LOT OF MY, MY CONSTITUENTS IN MY COMMUNITY USE THE WICK PROGRAM, AND IT'S BEEN VERY BENEFICIAL TO THEM. SO THIS IS GOING TO BE A IT SEEMS LIKE AN ONGOING SITUATION.

BUT IN MAY, WE WILL POSSIBLY COME BACK AND SEE WHAT WE CAN DO TO TRY TO FIX SOME OF THE PROBLEMS THAT WE'RE HAVING WHEN IT COMES TO OUR GOVERNMENT EFFICIENCY.

THANK YOU. ANYONE ELSE HAVE ANY QUESTIONS? THANK YOU SO MUCH.

NOW WE HAVE A BRIEFING ITEM ON SEA FLEET OPTIMIZATION PROCESS FOR IDENTIFYING UNDERUTILIZED AND SURPLUS ASSETS OF ASSETS.

MR. NELSON.

[00:50:12]

IT'S A VERY DETAILED PRESENTATION THAT'S VERY LENGTHY, NOTING THAT IT IS ALREADY 10:00 ON OUR AGENDA.

I'M WONDERING IF WE COULD REQUEST THE PANEL TO HIT THE HIGHLIGHTS RATHER THAN GO THROUGH EACH AND EVERY PAGE OF THE PRESENTATION? THAT'S FINE WITH ME. YES. YES, WE CAN ACCOMMODATE THAT FOR SURE.

VINCENT OLSON, DIRECTOR MATTHEW AMAN, ASSISTANT DIRECTOR, EQUIPMENT AND FLEET MANAGEMENT.

READY? ALRIGHT, SO IF TODAY WE'RE GOING TO TALK SPECIFICALLY ABOUT VEHICLES, THE FLEET STRUCTURE WITHIN THE CITY OF DALLAS, VEHICLE UTILIZATION AND EFFICIENCIES, PM COMPLIANT COMPLIANCE AND FLEET PERFORMANCE.

AND THEN THE NEXT STEPS WITHIN THESE PROGRAMS. NEXT SLIDE PLEASE. NEXT SLIDE PLEASE. THERE'S TWO COMPONENTS TO THE CITY OF DALLAS FLEET.

THE FIRST IS THE STUFF THAT IS GOVERNED BY FM EQUIPMENT AND FLEET MANAGEMENT.

AFTER THE 2018 ALVAREZ AND MARCEL STUDY, WE BECAME A STANDALONE GROUP.

WE HAD 5470 PIECES THAT WE CAN THAT WE KNOW ARE IN OUR SOFTWARE AND COMPLETELY ACCOUNTED FOR.

ON THE LEFT HAND SIDE OF THE SLIDE, YOU SEE SOME OF THE HIGHLIGHTS OF WHAT IT IS THAT OUR AGENCY DOES.

AND THE RIGHT HAND SIDE GIVES YOU AN IDEA OF WHAT VEHICLES AND EQUIPMENT ARE HEAVY, LIGHT, MEDIUM THAT OUR AGENCY TAKES CARE OF. THE NEXT SLIDE PLEASE.

THIS SLIDE INDICATES THE VEHICLES THAT WHAT WE WOULD CALL DEPARTMENT OWNED.

THEY'RE LARGELY CAMPUS ENVIRONMENTS. LOVE. AIRFIELD.

MCCOMAS LANDFILL. SOME OF THE WATER FACILITIES.

AND THESE ARE EQUIPMENT THAT YOU USUALLY DON'T SEE ON THE ROAD ALTOGETHER.

BUT THERE'LL BE BULLDOZERS, EARTH MOVING EQUIPMENT, EVEN SOME LIGHT EQUIPMENT THAT IS JUST THERE TO PATROL THE CAMPUS.

STUFF THAT WE DON'T NORMALLY SEE. GO AHEAD. OUR NEXT SLIDE, PLEASE.

SLIDE NINE, IF YOU WOULD, PLEASE. GETTING IN A VEHICLE UTILIZATION.

IT'S IMPORTANT TO KNOW THAT WHEN WE TALK ABOUT UTILIZATION THAT IT MAKES EFFECTIVE USE OF AN ASSET.

HOW MUCH AN ASSET GETS USED. THERE'S A DISTINCTION BETWEEN PRIVATE SECTOR AND HOW WE DO SOME BUSINESS IN THE CITY ITSELF.

SO THE TOOLS AND THE INPUTS THAT WE HAVE FOR DETERMINING UTILIZATION, IT'S NOT JUST MILEAGE, IT'S HOURS. IT'S GALLONS OF FUEL. IT'S ALL KINDS OF FREQUENCY OF USE.

IT'S THE AGE OR A COMBINATION OF ANY OF THESE THINGS.

WE GET OUR RESOURCES OUT OF M5 THAT TALK ABOUT THE REPORTS FOR ACTIVITY, USAGE REPORTS.

FUEL CONSUMPTION UTILIZATION SUMMARY. WE HAVE A LOT OF TOOLS AT OUR DISPOSAL TO MONITOR, AND WE COMMUNICATE THIS WITH OUR DEPARTMENTS ON A MONTHLY BASIS, SOMETIMES EVEN WEEKLY OR EVEN AS AS AS NEEDED IN AN AD HOC WAY.

SO WE COMMUNICATE WITH OUR DEPARTMENTS QUITE A BIT.

SLIDE 15 PLEASE. THERE WE GO. THIS IS PROBABLY THE MEAT AND POTATOES OF WHAT WE'RE AFTER. ONCE WE GO THROUGH A GREAT DEAL OF EVALUATION ON ASSETS, LOOKING AT THE RESOURCES, I JUST MENTIONED A LOT OF THE REPORTING FEATURES.

WHAT DO WE FIND THAT WE HAVE TO QUESTION AND CHALLENGE WITHIN THE DEPARTMENTS? WHAT ARE WE NOT GOING TO FUND REPLACEMENT WISE? THIS GETS US DOWN TO THAT GROUP OF ASSETS. AND THEN WE HAVE TO TAKE AND LOOK AT THESE ASSETS ONE AT A TIME.

THERE'S A LOT OF EXAMPLES OF THINGS THAT HAVE TO BE EVALUATED FOR HOURS AFTER THIS.

AND AN EXAMPLE MIGHT BE A PATROL CAR. PATROL CARS HAVE VASTLY DIFFERENT UNIVERSES IN WHICH THEY OPERATE.

CENTRAL BUSINESS DISTRICT. DISTRICT MAY DO A LOT OF IDLING IN A SMALL AREA.

SOUTHEAST CENTER WILL SEE HAS A LARGE AREA THAT IT NEEDS TO TRAVEL.

SO WE MIGHT SEE MILEAGE DIFFERENCE. AND IF WE'RE NOT CAREFUL, WE HAVE TO EVALUATE THESE THINGS BASED ON WHERE THEY'RE BEING USED.

WHAT SLIDE IS THAT? 16, PLEASE. THIS SLIDE HERE IS REALLY A GOOD SUMMARY OF THE STEPS THAT WE GO THROUGH, NOT JUST USING THE DATA THAT WE GATHER, NOT JUST CLEANSING THE DATA, NOT JUST MEETING WITH DEPARTMENTS AND THEN MATCHING IT UP TO THE PRIORITIES, WHETHER IT'S A C CAP INVESTMENT, A GOOD CANDIDATE FOR C CAP INVESTMENT, OR A GOOD CANDIDATE JUST TO TAKE OUT OF THE FLEET.

WE DIDN'T GET INTO THE TOTAL COST OF OWNERSHIP MODEL, BUT THAT IS A GOOD EXERCISE AS WELL.

[00:55:03]

PAGE 21, PLEASE SLIDE 21. REALLY A WORTHY SLIDE TO TALK ABOUT BECAUSE IT GETS INTO PM COMPLIANCE, AND ONE OF THE METRICS THAT HELP US MONITOR WHETHER WE'RE TAKING CARE OF THE CITY ASSETS.

THIS SLIDE ON THE RIGHT HAND SIDE IS IN THE ALVAREZ AND MARCEL STUDY.

I THINK IT'S PAGE 64. NOTICE THE RED LINE THAT INDICATES A 77%.

WELL, WHAT THAT IS, IS A COMPLIANCE OF AN OLD METRIC THAT WE STILL USE, BUT WE'VE UPGRADED TO WHAT WE CALL PM COMPLIANCE ONE.

PM COMPLIANCE TWO SIMPLY MEANT THAT AN ASSET GOT SERVICED IN THAT PARTICULAR YEAR.

IT RECEIVED A PM. THAT'S IT. IT DIDN'T TALK ABOUT THE ACCURACY OF THE MILEAGE, THE TIME, ANY OF THOSE FEATURES.

IN 2019, WE CREATED A PROGRAM INTERNALLY, WHICH IS MORE COMPLICATED THAN IT SOUNDS BECAUSE WE HAVE SUCH AN ARRAY OF VEHICLES.

IT'S NOT JUST THE VEHICLES AND THE ENGINES AND THE CHASSIS, IT'S THE BODY SYSTEMS ON THE BACK OF THE SANITATION TRUCKS.

ALL THOSE HAVE THEIR OWN PM SCHEDULES AS WELL, AND A LOT OF WORK THAT GOES INTO MAINTAINING THOSE ASSETS AS WELL.

SOME OF IT INVOLVES METAL FABRICATION, SHOE REPLACEMENTS, RECONSTRUCTION.

ALL THOSE THINGS HAPPEN ON A PRESCRIPTION WAY.

SO COMPLIANCE ONE IS A REPRESENTATION. AND YOU CAN SEE BACK IN THE AT THE WHEN THE ALVAREZ AND MARCEL STUDY WAS DONE WAS DOWN AROUND 8%, WHICH IS BASICALLY JUST RANDOMLY THINGS COMING IN FOR SERVICE.

IT'S JUST THAT THAT WAS A KIND OF A A LUCKY SHOT IN THE DARK.

YOU GO TO THE NEXT SLIDE, PLEASE. TODAY WE'VE WORKED TOWARDS OVER 1700 PPMS THAT ARE CURRENTLY BEING COMPLETED AT AN 85.5% ON TIME RATE. THAT'S NOT JUST GETTING THEM DONE, THAT'S GETTING THE PROCESS DONE IN A TIMELY MANNER.

THAT'S ACTUALLY SLIGHTLY AHEAD OF THE INDUSTRY STANDARD THAT WE WOULD SEE REPORTED BY SOME OF OUR MAJOR DATA SOURCES SUCH AS VIDEO, WHICH I THINK THEY LIST 84.5% AS 84.3% IS AN INDUSTRY STANDARD, AND WE'RE WORKING TO GET BEYOND THAT AS WELL EVERY DAY.

LAST SLIDE IS NEXT STEPS PLEASE. 2024. NEXT STEP.

WE'RE GOING TO CONTINUE TO EVALUATE ALL THESE ASSETS FROM A UTILIZATION PERSPECTIVE.

CHALLENGE DEPARTMENTS AND THEN PROVIDE SOLUTIONS TO PROBLEMS THAT THEY HAVE WHETHER IT'S MULTI USE UNITS, WHETHER IT'S SPECIFICATION DESIGN OR REDESIGN.

I'LL GIVE YOU A QUICK EXAMPLE BECAUSE I'M TRYING TO GET THROUGH A LOT OF INFORMATION. BUT 10 TO 12 YARD DUMP TRUCKS BY SIMPLY ADDING HYDRAULIC FEATURE TO THEM.

WE CAN MAKE THEM ALL CAPABLE OF HANDLING SNOW EVENTS.

NOW WE DON'T SEE A LOT OF SNOW EVENTS, BUT WE DO SEE THEM.

AND WHEN THEY DO HAPPEN, IT'S VERY CRITICAL. BUT WHEN WE HAVE TWO SEPARATE TYPES OF TRUCKS THAT ARE FUNCTIONALLY THE SAME TRUCK BY ADDING THIS HYDRAULIC COMPONENT OF IT.

I NOW HAVE TRUCKS THAT CAN BE WE CAN NEVER RUN OUT OF TRUCKS IN TERMS OF BEING ABLE TO SERVICE.

SO THAT'S ONE EXAMPLE. HOOK LIFT TRUCKS THAT WE'VE GOT ON THE GROUND IN THE MOTOR POOL WHICH CAN TAKE MULTI BODY SYSTEMS. WE'VE GOT THOSE IN THE MOTOR POOL AS WELL. SO THERE'S A LOT OF OPPORTUNITY OUT HERE FOR US TO CONTINUE TO REDUCE THE FLEET BUT USE TECHNOLOGY TO MAKE SURE THAT WE'RE REDUCING IT IN THE RIGHT WAY. OUR UTILIZATION STANDARDS HIGH.

OUR PM COMPLIANCE HIGH. WE MONITOR ALL THOSE THINGS ON A WEEKLY BASIS.

WE SIT WITH MANAGERS, WE TALK ABOUT IT AND WE CHALLENGE THEM WHEN WE'RE NOT GETTING THE RESULTS THAT WE'RE AFTER.

WE'RE LOOKING AT AMERICAN PUBLIC WORKS ASSOCIATION STANDARDS WITHIN OUR AGENCY AND WORKING TOWARDS ACCREDITATION ON SOME OF THIS STUFF.

THANK YOU. THANK YOU. START TO MY LEFT. AM I RIGHT? ANYONE HAVE ANY QUESTIONS? COUNCILWOMAN BLACKMON.

OKAY. THANK YOU. AND SO KIND OF GOING ALONG WHAT MR. RIDLEY WAS TALKING ABOUT, IF YOU HAD TO WRITE A THESIS SENTENCE FOR THIS, WHAT WOULD IT BE? BECAUSE YOU'VE GOT A LOT OF DATA HERE. SO HOW WOULD YOU ACCUMULATE IT WITH ONE BIG HIGHLIGHTING POINT? I'D LIKE TO TAKE THAT QUESTION. DON GIBSON, CITY MANAGER'S OFFICE.

I'D GO TO SLIDE 15. PLEASE GO TO SLIDE 15 FOR US.

IF I WERE TO SUMMARIZE THIS BRIEFING, I WOULD SUGGEST TO YOU THAT IN THE ALVAREZ AND MARSAL STUDY.

AND TODAY, I BELIEVE WE HAVE TOO MANY LIGHT DUTY ASSETS.

TOO MANY LIGHT DUTY, LIGHT DUTY ADMINISTRATIVE SEDANS, PEOPLE MOVERS.

GOT ONE PERSON FROM ONE PLACE TO THE OTHER. NOT NECESSARILY A WORKING TRUCK, LIKE A DUMP TRUCK OR SOMETHING OF THAT NATURE THAT DRIVES TO A JOB SITE.

AND THEN IT HELPS THE STAFF THAT ACTUALLY OPERATE THE TRUCK ACTUALLY DO AND ACCOMMODATE PART OF THE WORK.

[01:00:03]

ONE OF THE THINGS THAT WE HAVE TO IDENTIFY AND TALK ABOUT HAS BEEN VERY DIFFICULT IN THE MIDST OF THIS PROCESS, IS THAT WE'RE ALSO WORKING ON FLEET ELECTRIFICATION.

SO ONE OF THE THINGS THAT ALVAREZ AND MARSAL TOLD US, AND THAT WE FOCUSED ON, WAS BE VERY CAREFUL THAT YOU CLEAN UP YOUR FLEET FIRST, MEANING THAT YOU HAVE SOME LIGHT DUTY ASSETS OR PEOPLE MOVERS THAT ARE PROBABLY IN AN ELEMENT OF SURPLUS.

YOU HAVE TOO MANY OF THEM. SO WHAT YOU DON'T WANT TO DO IS SPEND THE EXTRA UPFRONT COST, BECAUSE AT THE TIME, EV VEHICLES COST MORE UPFRONT AND THEN YOU HAD TO HAVE THE INFRASTRUCTURE INSTALLED.

AND THEN WHAT YOU DIDN'T WANT TO DO IS GO EV AND THEN HAVE THE SAME SMALL OR UNDERUTILIZATION DOING THAT.

AND YOU HAD ALL THOSE CAPITAL COSTS THAT WENT WITH THAT.

SO THEY'VE BEEN VERY STRATEGIC ABOUT ONLY REPLACING THE LIGHT DUTY ASSETS, THE PEOPLE MOVERS THAT HAVE HIGH UTILIZATION, AND THAT'S WHERE OUR FLEET ELECTRIFICATION PROCESS HAS BEEN THUS FAR.

WHAT WE'RE STILL WORKING THROUGH, THOUGH, IS HOW DO WE SLIM DOWN AND WORK THROUGH THESE OTHER ISSUES RELATED TO LIGHT DUTY ASSETS THAT WERE PROBABLY IN A POSITION WHERE UNDERUTILIZED? OKAY, SO IF YOU'RE GOING ALONG WITH THE PEOPLE MOVER IDENTIFIERS VERSUS THE HEAVY EQUIPMENT, ARE YOU SAYING THAT WE'RE NOT BECAUSE WE'VE BASICALLY CHANGED HOW WE INTERACT NOW WE DO MORE ZOOM CALLS OR MORE PHONE CALLS OR WE'RE NOT GOING TO A MEETING, IF YOU WILL. I GUESS, ARE YOU SAYING THAT IF WE ELIMINATE THOSE AND MAYBE PUT IN REIMBURSEMENT FOR MILEAGE OR BECAUSE OF HOW WE I MEAN, WHAT ARE THE COST SAVINGS IN IN HAVE YOU DONE THAT? AND BASICALLY SAYING IF WE SHED A THIRD OF THESE WE WILL SAVE X AMOUNT OF DOLLARS.

I'LL LET MR. OLSON ADD TO THAT IF HE WANTS TO, BUT I THINK YOU'RE SPOT ON.

BUT I THINK THERE'S ONE COMPONENT THAT YOU DID DIDN'T MENTION THAT ACTUALLY, WHEN I WAS FLEET DIRECTOR GAVE ME THE GREATEST AMOUNT OF FITS.

AND THIS IS THE CONVERSATION THAT YOU HAVE WITH DEPARTMENTS.

THEY HAVE A 15 OR 20% VACANCY RATE. OKAY. AND SOME OF THOSE VACANCIES HAVE A VEHICLE THAT'S SITTING OUTSIDE.

THAT IS THEY'RE HIRING PEOPLE. THEY SAY YOU CAN'T TAKE THAT AWAY FROM ME BECAUSE JOEY, BILLY OR SUSIE IS GONE THROUGH ONBOARDING RIGHT NOW AND THEY'RE GOING TO START IN 30 DAYS OR 25 DAYS. AND SO YOU SEE THESE EBBS AND FLOWS IN UTILIZATION JUST BASED ON OUR ABILITY TO BE ABLE TO HIRE.

WHAT'S DANGEROUS FOR A FLEET PERSON IS TO GO IN AND SAY, YOU KNOW WHAT, YOU'RE NOT USING ALL OF THESE.

WE'RE GOING TO SURPLUS A LOT OF THEM. AND EVEN IF YOU MOTOR POOL, THE LAST THING YOU WANT TO DO IS ONCE THEY HAVE HIRED AND THEN THEY COME TO YOU AND SAYS, WHERE'S MY VEHICLE? AND NOT BE ABLE TO PRESENT THEM WITH ONE.

SO THAT'S REALLY THE RUB THAT WE THAT WE HAVE HERE THAT I THINK IS THE GREATEST CHALLENGE, ACTUALLY MORE SO THAN FEWER MILES DRIVEN BECAUSE MORE ZOOM CALLS AND THINGS OF THAT NATURE BECAUSE THERE ARE SOME EFFICIENCIES THERE, BUT I WOULD SUGGEST TO YOU THAT OUR VACANCY RATE IS THE GREATER ISSUE.

REALLY. I WOULD HAVE NEVER THOUGHT ABOUT THAT. THAT'S INTERESTING. AND IF I COULD ADD TO THAT, AS WE GET DOWN TO THE HIERARCHY OF VEHICLES, SOME VEHICLES HAVE A LONG REPLACEMENT TIME.

SO AN ANIMAL SERVICE VAN WELL, NOWADAYS 18 TO 24 MONTHS TO GET SOME OF THESE THINGS.

SO WHILE IT'S EASY TO SAY, OH THERE'S 1400 ASSETS AND START CHOPPING, YOU KNOW, WE HAVE TO THINK ABOUT WHAT SERVICE ARE WE RISKING.

I CAN GET SEDANS FAIRLY QUICKLY IF THERE IS A MOVEMENT.

AND SO AND THEN THE OTHER THING THAT WE HAVE TO BE SENSITIVE TO IS DEPARTMENTS THAT HAVE SOME LEVEL OF EMERGENCY RESPONSE, YOU KNOW, THEY HAVE LEVELS WHERE THEY ACTIVATE LARGE GROUPS OF PEOPLE AND THEY NEED VEHICLES FOR THOSE TYPE OF RESPONSES.

I WANT TO MAKE SURE THAT WE'RE NOT CUTTING INTO ANY OF THOSE STRATEGIES AS WELL. OKAY.

SO MY FINAL QUESTION SO THAT BECAUSE WE'RE KIND OF IF YOU ARE AN ENTERPRISE FUND, WHO OWNS THAT ASSET.

THE ENTERPRISE FUND IS ACTUALLY AN INTERNAL SERVICE FUND SUPPLYING SERVICE TO THE ENTERPRISE FUNDS AND THE GENERAL FUND.

THAT'S WHAT EFM IS. IT'S AN INTERNAL SERVICE FUND.

SO BASICALLY COST NEUTRAL. WE'RE PERFORMING SERVICES FOR ALL THE OTHER FUNDS.

BUT I GUESS MY QUESTION IS LIKE, BECAUSE DWU IS AN ENTERPRISE FUND, DOES DWU YOU OWN THOSE VEHICLES LISTED HERE? THE FUND? YES, MA'AM. THEY ACTUALLY PURCHASED AND PAY FOR THE ONES THAT BECAUSE IT HAS TO BE IN THERE BECAUSE IT'S INTERESTING.

THEY TEND TO HAVE A HIGHER I GUESS I SEEM THAT THEY HAVE MORE NEWER VEHICLES.

I MEAN, IT'S JUST KIND OF AN INTERESTING AND I MAY NOT I MAY JUST BE BECAUSE I PULLED IT OUT AND JUST LOOKING AT YOU, IF YOU LOOK AT DFD AND DPD, I MEAN, THOSE ARE PROBABLY SOME OF THE WORST NUMBERS, BUT YET IT'S NOT AN ENTERPRISE FUND.

BUT THEN YOU GO LOOK AT ENTERPRISE FUNDS. SO THAT'S AN INTERESTING DATA POINT.

I DON'T KNOW IF IT'S REAL OR IT JUST SO HAPPENS TO BE THERE, BUT IT'S LIKE ENTERPRISE FUNDS BECAUSE THEY HAVE THE CAPITAL CAN ACTUALLY INVEST IN THEIR INFRASTRUCTURE. OKAY. OH, AND THEN I DO HAVE ONE FINAL THING.

HAVE WE THOUGHT ABOUT GOING INTO AN ILA WHERE?

[01:05:04]

YOU KNOW, DART HAS, YOU KNOW, BUSSES THAT THERE AND IT'S IT'S IT'S ALL MECHANICS.

RIGHT. AND SO LIKE IN DISD HAS BUSSES. SO IN OTHER WORDS, WE COULD BASICALLY GET RID OF OUR MAINTENANCE COSTS OR MAINTENANCE FACILITY AND ACTUALLY OUTSOURCE IT AND PARTNER WITH AN AGENCY THAT'S ALREADY DOING IT.

JUST A THOUGHT. YOU KNOW, THIS IS SOMETHING EARLIER IN MY CAREER I HAD BEEN A PART OF.

BUT ONE OF THE THINGS THAT THE PRIORITIZATION OF ASSETS IS A LITTLE BIT OF A CHALLENGE SOMETIMES.

SO WHETHER WE WANT SQUAD CARS FIXED OR, OR YOU KNOW, SOME OF THE MORE CRITICAL UNITS, MAKING SURE THAT THEY STAY AT THE TOP OF THE LIST.

I MEAN, SANITATION TRUCKS DO NOT SIT IN OUR SERVICE CENTERS.

THEY THEY GET LOOKED AT RIGHT AWAY AND THEY GET A PRIORITY.

POLICE, FIRE. OR EVEN IF ONE OF OUR OTHER AGENCIES IN THE CITY CALL US, WE HELP THEM AS WELL.

AND SO I THINK ON THE MAYBE ON THE LIGHT DUTY SIDE, I MEAN, IT'S A LITTLE BIT MORE CASUAL, THE PEOPLE MOVERS, SO TO SPEAK. RIGHT? BUT I DON'T KNOW IF THE, THE JUICE IS, WAS THAT THE LEMON WAS WORTH THE SQUEEZE.

THE JUICE IS WORTH THE SQUEEZE. IT'S JUST THE THOUGHT THAT, YOU KNOW, IF YOU'RE LOOKING FOR EFFICIENCIES, EVERYBODY HAS THEIR OWN GARAGE, IF YOU WILL.

AND I GET ABOUT YOUR PRIORITIZATION AND YOU WANT IT OUT OF THE GARAGE.

BUT THERE IS JUST IS THERE A COST SAVINGS THAT COULD HAPPEN THERE WITH, YOU KNOW, COMBINING ALL OF THOSE ALL OF THAT THAT WORK. RIGHT? IT IS JUST A THOUGHT, BECAUSE THAT'S OUR JOB IS TO LOOK AT DIFFERENT THOUGHTS.

I THINK YOU'RE SPOT ON. I THINK THE THE BALANCING ACT IS YOU CAN SAVE MONEY.

YOU'RE GOING TO HAVE LESS PRIORITIZATION. AND THE PEOPLE THAT SIT OVER THERE, I CAN PROMISE YOU, THEY ASKING US EVERY DAY TO PUMP OUT THEIR SQUAD CARDS FASTER.

AND SO IF I HAVE A COMPETING INTEREST FROM ANOTHER GOVERNMENTAL ENTITY, IT CAN BE DAUNTING.

WELL, I WOULD SAY TO THAT WE PROBABLY NEED NEWER CARS.

IF YOU'VE GOT SO MANY OF THEM THAT ARE IN A, IN A, IN A, IN A DOWNWARD TREND, THEY'RE PROBABLY GOING TO THE SHOP MORE.

SO I'M JUST I'M JUST A THOUGHT BECAUSE THEY'RE LITERALLY IN THE CAR ALL THE TIME.

I CAN'T TELL YOU THAT THERE ARE CERTAIN ELEMENTS OF THAT THAT HAPPEN ON THE PARTS SIDE AS WELL, WHERE WE DO USE THE HUB AND SPOKE SYSTEM. AND WE'VE ACTUALLY TAKEN THAT TO THE WICK DEPARTMENT, TO THE FIRE DEPARTMENT, TO HELP TO ENSURE THAT WE'RE NOT KEEPING A BUNCH OF OLD INVENTORY MOVING THINGS AROUND.

SO WE'RE STARTING TO GET SOME OF THAT SYNERGY GROWING THROUGH THE DEPARTMENTS.

AND WE'RE NOT QUITE TO WHERE YOU'RE TALKING ABOUT YET, BUT YOU'RE GETTING THERE.

OKAY. THANK YOU. COUNCILMAN ROTH, THANK YOU. I NEED TO REALLY UNDERSTAND A LITTLE BIT MORE.

AND IT'S IN YOUR PRESENTATION. BUT WE DIDN'T GET INTO DETAIL IS WHAT IS THE PROCUREMENT FUNCTION AND PROCESS? AND LET ME ASK THE QUESTION WITH THE WITH WHAT I THINK THE ANSWER IS.

AND THEN PLEASE CORRECT ME. BUT DOES A DEPARTMENT COME SAY WE NEED TWO MORE CARS? THEY COME TO YOU AND SAY WE NEED TWO MORE CARS.

HELP US BUY IT. ARE YOU ALL THE AGENTS, THE THE ASSISTANT, THE THE PROCUREMENT OF PROCESSOR FOR THE REQUEST FROM THE DEPARTMENT. WE FIRST OF ALL, WHEN A DEPARTMENT ASKS THAT, WE DO ABSOLUTELY IMMEDIATELY LOOK AT WHAT'S BEING UNDERUTILIZED AND ASK. WE SUGGEST THE REASSIGNMENT OF ASSETS, OR WE'LL EVEN LOOK IN OUR MOTOR POOL AND SEE IF THERE'S A SOLUTION.

YOU KNOW, WE HAVE A SIZABLE MOTOR POOL HERE AT CITY HALL.

THIS WAS ALSO PART OF THE MARCEL STUDY. WE HAVE A NEW ONE AT THAT'S NOT UP AND RUNNING YET, BUT THE CHARGING INFRASTRUCTURE IS AT CENTRAL SERVICE CENTER.

AND I THINK THERE'S ONE OTHER LOCATION THAT WE'RE WORKING ON PUTTING TOGETHER.

SO WE LOOK FOR THOSE SOLUTIONS FIRST. OKAY, SO YOU'RE SO YOU'RE YOU'RE YOUR JOB IS TO BUY THE CAR, FIND THE CAR. MAKE SURE THAT YOU'RE, YOU'RE GETTING THE BEST PRICE FOR THE CAR OR.

YES, SIR. OKAY. THAT'S NUMBER ONE. SO YOU'RE NOT EVALUATING THE NEED FROM THE DEPARTMENT.

YOU'RE NOT MAKING A A VALUE DECISION AS TO SAY, DO YOU REALLY NEED THAT CAR OR NOT? THAT'S NOT YOUR JOB. NO, WE DO CHALLENGE THAT.

ABSOLUTELY. AND WE DO CHALLENGE THAT. AND WE LIKE I SAID, WE LOOK FOR SOLUTIONS THAT ARE ALREADY IN PLACE.

NOW, YOU KNOW, IT'S HARD TO AUTHORIZE SOME SUCH THING WHEN YOU'VE GOT SIX, EIGHT, NINE, TEN, 12 UNITS THAT YOU'RE ALREADY UNDERUTILIZED. AND SO WE DO.

AND AGAIN, IT'S NOT A QUESTION OF WHETHER YOU NEED IT OR NOT, BUT, YOU KNOW, IS IT THE RIGHT IS IT THE RIGHT PRODUCT FOR WHAT YOU DO?

[01:10:03]

YES. SO I'D LIKE TO ADD, IF I WOULD, MR. OLSON WAS SAYING SO THERE'S THERE'S A GOVERNANCE PROCESS ON REPLACING VEHICLES PERIOD.

OKAY. SO WHEN YOU FIRST STARTED YOUR QUESTION, I THOUGHT YOU WERE TALKING ABOUT ADS.

WHEN THE DEPARTMENT COMES AND SAYS, I HAVE THIS BRAND NEW NEED THAT DIDN'T EXIST BEFORE AND TIED TO THAT BRAND NEW NEED, I NEED THREE OF THESE TYPES OF VEHICLES. THERE'S A LOT OF SCRUTINY THAT GOES ON OUR PART ABOUT EVALUATING WHETHER THAT HAPPENS OR NOT.

WHAT I THINK MR. OLSON WAS REFERRING TO, AND LET ME GIVE YOU A LITTLE SHAPE OF THE BRIEFING HERE IS THAT THERE IS A REPLACEMENT ELIGIBLE LIST, MEANING THAT MR. OLSON HAS ALREADY GONE THROUGH AND HE'S LOOKED AT THE AGE AND THE USE AND EVERYTHING, AND THESE VEHICLES ARE SENT TO THE DEPARTMENT SAYING THIS IS ALL THAT'S ACTUALLY CURRENTLY ELIGIBLE FOR REPLACEMENT.

AND THEN YOU START A WHOLE NOTHER SCRUTINY THAT DETERMINES WHETHER OR NOT IT'S BEEN ABUSED OR USED PROPERLY AND IS ELIGIBLE FOR REPLACEMENT.

AND WHAT I WOULD SUGGEST TO YOU, JUST BECAUSE OF THE SCOPE AND THE SIZE OF THE BUDGET, THERE'S TENDS TO BE MANY MORE VEHICLES THAT ARE ELIGIBLE FOR REPLACEMENT THAN THE DOLLARS THAT WE HAVE. AND BECAUSE OF THAT, THERE'S EVEN GREATER SCRUTINY ON WHAT WE ACTUALLY REPLACE.

WHAT I'M TRYING TO FIGURE OUT IS WHAT IS YOUR JOB? WHAT IS YOUR DEPARTMENT SUPPOSED TO DO? AND IF ARE YOU AND ARE YOU JUST A PROCUREMENT ARM? ARE YOU AN EVALUATION ARM? ARE YOU JUST A A FIGURING OUT WHERE YOU CAN FIND THE THE UNIT.

NO, SIR. WE BUILD THE TECH SPECIFICATION. WE TALK TO THE DEPARTMENT ABOUT THE USE, THE TECHNICAL SPECIFICATION.

WE'LL DEVELOP A HORSEPOWER RANGE, MAYBE A LIFT AND REACH CAPACITY FOR SOMETHING.

WE ASK THEM A SERIES OF QUESTIONS ABOUT WHAT THEY'RE DOING WITH THE ASSET.

SO THEN WE LOOK FOR THE RIGHT SOLUTION. DEPARTMENTS WILL COME AT US WITH PIECES OF EQUIPMENT, MAKE SUGGESTIONS. BUT HEY, WE WANT TO BE COMPLIANT WITH WHAT CONTRACT? AND GOING THROUGH THE BID PROCESS SO THAT WE'RE GIVING ALL VENDORS A SHOT AT THIS AND THAT WE'RE ALSO FINDING THE RIGHT PIECE OF EQUIPMENT.

THERE'S A LOT OF TIMES, WHETHER IT'S AN EMISSIONS ISSUE OR AGAIN, THE MOST COMMON ONE THAT WE SEE IS THEY'LL ASK FOR SOMETHING TOWING.

THEY'LL ASK FOR A PARTICULAR VEHICLE, THEY'LL OVERSIZE THE VEHICLE, AND YOU DIDN'T REALLY NEED THAT BIG OF A TRUCK TO TOW SOMETHING SO SMALL.

OR WHY ARE YOU TOWING THIS AT ALL? OR THOSE KIND OF QUESTIONS.

SO YOU CAN HELP EVALUATE WHAT THEIR NEED IS. LET ME, LET ME BECAUSE I DON'T WANT TO HANG UP ON THE.

SO YOU ALSO EVALUATE WHETHER IT'S IT'S THE THE SOLUTION WOULD BE A LEASE WOULD BE A PURCHASE COULD BE AN OUTSOURCE COULD BE A OR A. YOU DON'T NEED IT. WE'VE GOT SOMETHING IN THE IN THE PLACE WHERE ONE OF THE THINGS THAT WE DO OFTEN RECOMMEND IS, HEY, YOU'VE GOT ANOTHER SOLUTION RIGHT HERE. OKAY.

WE'VE GOT AN IN-HOUSE. THAT'S WHAT I'M TRYING TO GET AT.

SO IF SOMEBODY COMES TO YOU AND SAYS, I NEED A TEN FOOT DUMPSTER TRUCK, TRASH HAULING TRUCK, IT'S NOT UP TO YOU TO SAY THE ALLEYS ARE ONLY NINE FEET.

WHY DO YOU NEED A TEN FOOT TRUCK? NO, BUT WE WE SOMETIMES KNOW.

OKAY, SO WHAT I'M TRYING TO UNDERSTAND IS THE LEVEL OF AUTHORITY AND RESPONSIBILITY IN THIS PROCESS.

SO THE DEPARTMENTS ARE GIVING YOU THE DIRECTION OF WHAT THEY THINK THEY NEED TO OPERATE THEIR DEPARTMENTS.

IS THAT CORRECT? THAT'S FAIR. THAT'S A STARTING POINT FOR THEM.

YES. SO IT SOUNDS LIKE TO ME, AS PART OF ONE OF THE ANSWERS THAT YOU ALL GAVE WAS, IS THAT SOME OF THESE DEPARTMENTS MAY BE NOT MAYBE TRYING TO FIGURE OUT THE ALLOCATION OF THEIR FLEET OF RESOURCES BASED ON WHETHER THEY THINK THEY'RE GOING TO NEED IT TODAY, WHETHER THEY'RE USING IT TODAY, WHETHER IT'S IN, WHETHER IT'S BEING MOTHBALLED IN ANTICIPATION OF HAVING IT, HAVING A RESERVE. THOSE ARE ALL I UNDERSTAND.

THOSE ARE LEGITIMATE CONCERNS. BUT THAT TO ME IS A MANAGEMENT ACTIVITY, NOT A PROCUREMENT, FINANCIAL AND TIME COMMITMENT RESPONSIBILITY.

IT SOUNDS LIKE THAT'S NOT YOUR JOB, IS IT? I CAN SAY THIS.

IT'S NOT. IT'S OUR WE WE WE REALLY DO WORK TOGETHER ON SOME OF THOSE THINGS.

AND I CAN GIVE YOU A GREAT EXAMPLE. IS SOME OF THE, SOME OF THE ROOT BASED EQUIPMENT.

YOU KNOW, WHAT IS THE DISTANCE OF THE ROOT? HOW FAR IS THE ROOT GOING TO GO? AND GETTING THE RIGHT PIECE OF EQUIPMENT TO MOVE THE FREIGHT THAT NEEDS TO BE CHALLENGED, WHETHER IT'S TRASH OR AUTOMOTIVE PARTS OR, OR SALVAGE OR WHATEVER IT IS. SO LET'S GET THE VEHICLE WEIGHT REQUIREMENTS.

SO SOMETIMES WE HELP MOVE THEM IN THAT RIGHT DIRECTION.

I UNDERSTAND HOW MANY STAFF IN YOUR DEPARTMENT ARE ALLOCATED TO THIS PROCUREMENT PROCESS.

[01:15:09]

OKAY. AND I'M AND I'M SORRY TO HAVE HIJACKED MY TIME, BUT I'LL, I'LL COME BACK IF I HAVE SOME OTHER QUESTIONS.

BUT THANK YOU FOR THE CLARIFICATIONS. COUNCIL MEMBER.

THANK YOU, MR. CHAIR. MR. OLSEN, YOU'VE MENTIONED IN YOUR PRESENTATION THE EXISTENCE OF A MOTOR POOL.

WOULD YOU DESCRIBE HOW THAT WORKS AND WHAT DEPARTMENTS ARE INCLUDED IN THAT MOTOR POOL? YES, SIR. RIGHT NOW THERE IS A FAIR BIT OF USE THAT COMES OUT OF CITY HALL.

OUR MOTOR POOL IS TALKED ABOUT IT BEING REDEVELOPED, AND I'VE DONE A PRESENTATION RECENTLY IN THE PAST ON THIS AS WELL, WHERE WE DID ELECTRIFY OUR MOTOR POOL. WE'VE PUT THE INFRASTRUCTURE IN PLACE.

THE DEPARTMENTS THAT USE IT LARGELY ARE THE STAFF AND THE MANAGEMENT.

HERE AT CITY HALL, WE'RE TRYING TO OPEN UP CENTRAL SERVICE CENTER AS WELL FOR MOTOR POOL.

AND WE'RE WAITING ON SOME OF THE THERE'S A COMPONENT CALLING COMING THAT IS A KEY CHECKOUT BOX.

SO IT'S UNMANNED 24 OVER SEVEN AVAILABILITY TO ANYBODY IN THE STAFF.

AND IT'S AN APP THAT CAN BE DONE HANDHELD APP.

SO ANY DEPARTMENT CAN USE VEHICLES IN THE MOTOR POOL.

OKAY. YES, SIR. WELL LOOKING AT SLIDE 15, I AM STRUCK BY THE SIGNIFICANCE OF THIS TABLE IN TERMS OF ARGUING FOR A LARGER MOTOR POOL, WE HAVE IN THE FIRST COLUMN 383 VEHICLES THAT ARE USED LESS THAN 20 MILES A WEEK.

THAT, TO ME, INDICATES THOSE VEHICLES SHOULD ALL BE ELIMINATED FROM THE FLEET, AND THAT WE SHOULD MAKE A PERCENTAGE OF THOSE AVAILABLE IN THE MOTOR POOL FOR THE 28 DEPARTMENTS THAT ARE LISTED HERE.

IT JUST SEEMS LIKE WE HAVE A LOT OF EXCESS VEHICLES THAT ARE LITTLE UTILIZED.

THAT OUGHT TO BE EITHER TRIMMED IN TERMS OF NUMBER OR MADE AVAILABLE IN A MOTOR POOL.

THAT WOULD REDUCE THE OVERALL NUMBER OF VEHICLES NEEDED.

WHAT'S YOUR RESPONSE TO THAT? WELL, I CERTAINLY AGREE WITH THAT.

IF WE FIND STUFF THAT EXISTS AS WE'RE DEFLATING ASSETS, THE ONE THING I CAN TELL YOU IS SOME OF THE STUFF THAT IS IN THIS LIST, WE'VE DECIDED NOT TO REPAIR AS A FUNCTION OF AGE, PARTS AVAILABILITY OR WHATEVER THE CASE IS.

SO THERE'S ELEMENTS ELEMENT OF THAT IN THIS LIST THAT WE'LL FIND.

BUT WHEN WE FIND THINGS THAT HAVE SERVICEABLE LIFE, CERTAINLY WE CAN PUT THEM IN A MOTOR POOL OR REPLACE A DIFFERENT ASSET THAT WAS GOING TO BE ELIGIBLE NEXT YEAR. I MEAN, THAT WHOLE, YOU KNOW, THERE'S, YOU KNOW, AN ALIGNMENT TO DO IT THAT WAY AS WELL.

WELL, I'M SUGGESTING THAT YOU SHOULD DO MORE THAN JUST DECIDE NOT TO MAINTAIN THOSE VEHICLES, BUT TO ACTUALLY TAKE AN AGGRESSIVE STAND TO DEACCESSION THEM FROM THE FLEET.

ISN'T THAT WITHIN YOUR AUTHORITY? YES, SIR. YES, SIR.

OKAY. AND THEN ON SLIDE 20.

ONE. I'D LIKE SOME CLARIFICATION. PPM STANDS FOR PREVENTIVE MAINTENANCE.

CORRECT? YES, SIR. OKAY. AND ON SLIDE 22, YOU INDICATE THAT THE INDUSTRY AVERAGE IS 84.3% FOR PM COMPLIANCE WITHIN THE RECOMMENDED TIME FRAMES OR MILEAGE MARKERS, AND THEN THE ALVAREZ AND MARSAL STUDY FROM 2018 INDICATED THAT DALLAS WAS AT 22%, WHICH SEEMS EXTREMELY LOW THAT IN FISCAL YEAR 25, YOU RAISE THAT TO 81.5%.

AM I RIGHT SO FAR? YES, SIR. AND THEN FINALLY, CURRENT PM COMPLIANCE IS 85.5%.

FOR WHAT PERIOD OF TIME IS THAT? THAT'S FROM THE BEGINNING OF THIS FISCAL YEAR TO TO TODAY.

SO FROM OCTOBER 1ST TO THE CURRENT DATE, OR PRESUMABLY JANUARY 31ST, THE COMPLIANCE IS UP TO 85.5, WHICH EXCEEDS THE INDUSTRY AVERAGE. SO WAS THAT YOUR OBJECTIVE OR IS YOUR OBJECTIVE AN EVEN HIGHER NUMBER? OH, OUR OBJECTIVE IS, IS TO TO GET TO THE 90 OR BEYOND PERCENT.

WE HAVE TO GO FIND OUT WHAT IT IS THAT WE'RE NOT GETTING DONE.

WHY AREN'T WE GETTING IT? SO YOU'RE. I MEAN, WE'RE ALWAYS SHOOTING FOR MORE THAN WHAT WE'RE DOING.

WELL, AND COMPLIANCE WITH A PM SCHEDULE IS IMPORTANT BECAUSE THAT ENSURES THAT YOU GET THE HIGHEST PERFORMANCE OUT OF THE VEHICLE. THE GREATEST LONGEVITY AND THE VALUE AT THE END OF THE LIFESPAN.

ISN'T THAT CORRECT? ABSOLUTELY. AND SO IT'S REALLY A COST SAVING EFFORT IN THE LONG RUN TO ENSURE THAT YOU KEEP UP WITH THE MAINTENANCE.

YES, SIR. OKAY. WELL, I'LL CLOSE BY ENCOURAGING YOU TO TAKE AGGRESSIVE STANCE WITH RESPECT TO THE VEHICLES THAT ARE USED THE LEAST,

[01:20:06]

THANK YOU, MR. CHAIR. THANK YOU. COUNCILMAN. CHAIR.

MENDELSOHN. WELL, I AGREE WITH EVERYTHING THAT COUNCILOR RIDLEY SAID, BUT EVEN MORE SO THAN THAT, I'M I'VE GOT SOME VERY DETAILED, SPECIFIC QUESTIONS, BUT I'M ACTUALLY GOING TO START AT THE END, WHICH IS TO SAY. WHEN YOU ARE GIVING YOUR NEXT STEPS, YOUR RECOMMENDATIONS, I HAVE TO SAY I FIND THEM OUTRAGEOUSLY TONE DEAF BASED ON WHAT THE PRESENTATION WAS PRECEDING IT.

BECAUSE OF THE FIVE BULLETS, FOUR OF THEM ARE CONTINUE TO.

YES CONTINUE TO. AND THEN ONE IS SUPPORT. AND YOU READ THIS AND THE BULLET SHOULD START WITH REMOVE ELIMINATE.

RESTRUCTURE, REDUCE. I FEEL LIKE YOU'RE MISSING THE ACTUAL WORDS YOU GAVE US PRIOR TO SLIDE 24.

AND THIS ENTIRE PRESENTATION IS A FABULOUS EXAMPLE OF HOW WE CAN REDUCE EXPENSES IN THE CITY WITHOUT HARMING SERVICES FOR RESIDENTS. THIS IS EXACTLY THE KIND OF THING THAT THIS COMMITTEE SHOULD HAVE BEEN SET UP BY THE MAYOR TO DO.

THANK YOU FOR BRINGING IT FORWARD. THIS IS SPOT ON.

YOU CAN BE THE CHAMPION OF REDUCING EXPENSES BY JUST EVEN ADDRESSING THIS ONE DEPARTMENT.

AND I HOPE THAT YOU WILL CONSIDER AT SOME POINT, PERHAPS A MID-YEAR BUDGET ADJUSTMENT AMENDMENT TO ADDRESS WHAT WE'RE SEEING IN THIS PRESENTATION. SO WITH THAT, I'M GOING TO GO BACK TO MY VERY SPECIFIC QUESTIONS.

STARTING WITH ON SLIDE FOUR, THERE'S 100 FUELING LOCATIONS.

WHY ARE THERE 100 FUELING LOCATIONS IN OUR 384 SQUARE MILE CITY? 100. THE FIRE STATIONS EACH HAVE ONE. SO YOU GOT ABOUT 60 RIGHT THERE.

BUT WHY? LIKE MY DISTRICT IS ONLY 14MI². THERE'S THREE FIRE STATIONS.

WHY DO THEY EACH HAVE TO HAVE THEIR OWN FUELING STATION? DID YOU WANT TO? YEAH, I'LL LET YOU. WOULDN'T MIND. I KNOW THAT STRATEGICALLY, WHEN IT COMES TO SOME OF THE SMALLER DIESEL ASSETS, SOME OF THE LARGER RIGS AND THE TILLERS AND THINGS OF THAT NATURE HAVE A HARD TIME GETTING AROUND SOME OF THE STATIONS.

I KNOW THAT WE SPREAD IT OUT BECAUSE OF THAT.

BUT OUT OF THAT, OUTSIDE OF THAT, WHEN VEHICLES NEED TO REFILL DURING AND DURING A SERVICE, YOU KNOW, THAT'S SOMETHING THAT I THINK THE FIRE DEPARTMENT COULD, COULD BETTER SPEAK TO. BUT I THINK WAS PART OF THE DESIGN WHEN THEY PUT THE LOCATIONS AND AND JUST BECAUSE IT HAS A LOCATION DOESN'T MEAN IT HAS TO BE USED FOR THAT.

AND TRUST ME, I GUARANTEE YOU WE WILL BE TALKING TO THE FIRE DEPARTMENT ABOUT THAT.

BUT, YOU KNOW, THAT'S 59 STATIONS. SO WHAT ABOUT THE OTHERS? A LOT OF THEM HAVE TO DO WITH THE LOCATIONS OF THE SAY, WHETHER IT'S THE POLICE AND SOME OF THESE REMOTE DISTRICTS.

NORTH CENTRAL'S BEING A GOOD EXAMPLE. AND REALLY, JUST THE QUANTITY AND LOCATION OF VEHICLES WHERE OUR SERVICES ARE PERFORMED.

DEADHEAD IS AN OPERATION. WELL, IF WE'RE JUST GOING TO TALK ABOUT PUBLIC SAFETY, WE'VE GOT 59 FIRE STATIONS.

WE'VE GOT SEVEN POLICE. SO NOW WHAT? THAT'S A LOT OF OTHER LOCATIONS FOR FUELING.

AND I JUST THINK WE ARE SPINNING OUR WHEELS, CONSTANTLY REFUELING SO MANY DIFFERENT LOCATIONS WHEN REALLY THEY COULD GO ONE MILE, WHICH THEY'RE PROBABLY ALREADY TRAVERSING. TO GET THERE, LIKE IT'S ALREADY PART OF THEIR THEIR SERVICE AREA.

SO WHAT'S THE DIFFERENCE IF THEY STOP HERE OR HERE? WELL, THE ONLY OTHER THE ONLY OTHER INSIGHT THAT I CAN PROVIDE ON THAT IS THESE STATIONS.

THESE ESPECIALLY ON THE FIRE STATIONS, THEY MAY ONLY HOLD 4 OR 5 600 GALLONS OF FUEL, WHICH CAN FILL RESCUES AND HANDLE SOME OF THESE OTHER THINGS.

BUT WHEN IT COMES TO FILLING UP A FIRE TRUCK OR AN ENGINE, SOMETIMES THEY'LL HOLD 60, 70, 80, HUNDRED GALLONS THEMSELVES. SO THE QUANTITY OF FUEL JUST ISN'T AT THESE SMALLER LOCATIONS.

I DON'T KNOW IF THAT'S REALLY ANSWERING THE QUESTION, BUT I'D LIKE TO TAKE A STAB AT THIS ONE BECAUSE I'VE I'VE GONE ROUNDS AND ROUNDS WITH THIS ONE. AND SO, MISS MENDELSOHN, I'M GLAD YOU BROUGHT THAT UP.

[01:25:02]

AND THE OTHER BIG ISSUE THAT HAS ALWAYS COME UP, AND I'M GLAD CHIEF IS HERE TO HELP.

I GUESS WE PHONED A FRIEND, SO THANK YOU FOR THAT.

BUT HAS ALWAYS BEEN THE FACT OF PUBLIC SAFETY IS FULL OF REDUNDANCIES, RIGHT? THINGS THAT IN THE CRITICAL NATURE. THE LAST THING ANYBODY WANTS TO HEAR IS THAT WE WERE RUNNING FROM ONE CALL TO THE OTHER, AND WE WEREN'T ABLE TO FUEL AT THE HOUSE. AND I THINK THAT'S A REALLY BIG ISSUE.

AND ALL YOU NEED TO DO IS HAVE ONE INSTANCE WHERE THAT HAPPENED, AND IT WON'T BE WORTH ANY SAVINGS THAT YOU COULD EVER GET BY HAVING FEWER FUEL ISLANDS.

OKAY. THANK YOU. SO I'M GOING TO PAUSE AND SAY, YOU KNOW, I LOVE YOU DFR.

I WANT TO HEAR FROM YOU, BUT NOT RIGHT NOW. I WILL PUT THIS ON THE PUBLIC SAFETY AGENDA BECAUSE I WANT TO HAVE A DISCUSSION ABOUT IT BEFORE NUMBER TWO, THERE'S NO WAY THAT WE'RE GOING TO SIT HERE AND SAY WITH 100 LOCATIONS THAT SOMEBODY'S GOING TO RUN OUT OF FUEL WHEN THEY ALSO CAN BUY RETAIL.

SO THERE'S THERE'S NO WAY IN OUR CITY 100 LOCATIONS IS GOING TO LEAVE SOMEBODY STRANDED WITHOUT FUEL.

WE DON'T MEAN A RETAIL PROGRAM, MA'AM. THERE'S NO WAY FOR US TO BE HOW CAN I SAY IT GET A SENSE OF CERTAINTY ABOUT THE QUALITY OF THE FUEL AT ALL THESE LOCATIONS. NOT TO MENTION ALL THE OTHER INTERNAL CONTROLS ABOUT BUYING FUEL.

RETAIL. BUT THAT'S LIKE ALMOST A WHOLE SEPARATE BRIEFING.

IT'S TALKING ABOUT FUEL. SO I WOULD AGREE WITH YOU. I'D LOVE TO HAVE A FUEL CONVERSATION.

WE CAN DEFINITELY HAVE THAT CONVERSATION SEPARATELY FOR FOR SLIDES FOUR AND FIVE WHERE YOU ARE GIVING THE ASSET COUNT THE 5470 AND THE 1657. I'D ACTUALLY LIKE TO SEE A SPREADSHEET WITH THOSE ASSETS BY DEPARTMENT AND WHAT THEY ARE.

WHEN YOU ADD THESE TWO NUMBERS TOGETHER, YOU GET 7100 ASSETS.

7100? 7100. WE HAVE ABOUT 14,000 EMPLOYEES. SO THAT'S ONE FLEET ASSET FOR EVERY TWO EMPLOYEES. RIGHT. BUT WHEN WE TALK ABOUT THOSE LEVEL OF ASSETS, SOME OF THEM ARE USED FOR DIGGING.

SOME OF THEM ARE USED FOR REACHING ACROSS THE TRINITY WATERSHED.

SOME OF THEM HAVE VERY SPECIFIC PURPOSES. THAT'S WHY WE NEED TO SEE THAT SPREADSHEET.

THANK YOU. PLEASE PROVIDE THAT. YES, MA'AM. MISS MENDELSOHN, JUST TO YOUR POINT, AND I THINK THIS IS VERY IMPORTANT, AND I'VE TALKED TO MR. OLSON ABOUT THIS. I WANT YOU TO THINK ABOUT WHEN THE WATER DEPARTMENT GOES TO FIX A BROKEN WATER MAIN.

YOU'LL HAVE ONE PERSON WHO'LL BE DRIVING A TRUCK THAT WILL BE CARRYING A TRAILER THAT WILL HAVE A SKID STEER OR EVEN A FORKLIFT ON THE BACK OF THE TRAILER.

SO THAT'S ONE PERSON AND THAT'S FOUR SEPARATE ASSETS GOING TO ACTUALLY ADDRESS THAT.

AND THEN YOU'LL END UP WITH A SUPERVISOR ON SITE.

AND SO WHEN YOU TALK ABOUT THE NUMBER OF VEHICLES ALSO KEEP IN MIND THERE'S A COMPLEMENT OF EQUIPMENT THAT GOES WITH THAT TOO.

SO WHEN YOU GO HEADCOUNT AND PEOPLE THERE'S A LOT OF RESOURCES.

SOMETIMES DEPENDING ON THE JOB THAT'S BEING DONE THAT ACTUALLY REQUIRES ALL THE EXTRA EQUIPMENT.

SO IT'S NOT NECESSARILY IN THAT SAME SCHEMA AS YOU'RE THINKING.

ONE FOR ONE. I DEFINITELY UNDERSTAND THAT. BUT I'LL TELL YOU, OUR DEPARTMENT, MCC, WE HAVE 56 EMPLOYEES WITHOUT THE MAYOR AND NONE OF US HAVE A VEHICLE. SO THOSE NUMBERS CAN SKEW BOTH WAYS WITH VARIOUS EXAMPLES.

AND THAT'S WHY WE NEED TO SEE THE SPREADSHEET, PLEASE. ON SLIDE 12 YOU SAY THERE'S A MONTHLY REPORT.

IS THAT REPORT AUTOMATED THAT GOES TO THE DEPARTMENTS.

THE THE ACTIVE INVENTORY REPORT IS NOT AUTOMATED.

IT'S DONE MANUALLY. THE PM REPORTS ARE DONE ARE AUTOMATED.

SO? SO WHAT CAN YOU DO TO GET THAT AUTOMATED? WELL, WE CAN AUTOMATE IT. I MEAN, IT'S IT'S IT'S IN OUR M5 SYSTEM AND WE, YOU KNOW, THE THE AUTOMATION IS REALLY THE EASY PART.

IT'S MAKING SURE THAT THE DEPARTMENTS ARE GETTING THE INFORMATION. YOU KNOW, PEOPLE CHANGE.

THERE'S A LITTLE BIT OF A TURNOVER SOMETIMES. DEPARTMENT, DEPARTMENT. BUT WE NEED TO MAKE SURE THAT THEY GET THAT INFORMATION. AND THEN THEN, THEN WE ACTUALLY SPEND TIME TEACHING THEM WHAT TO DO WITH IT.

YOU KNOW, WE'VE TAKEN MOST OF OUR SERVICE ADVISORS HAVE BEEN TAKEN FROM OUR DEPARTMENTS TO SOME OF THESE CITIES.

SO IT'S GETTING THAT INFORMATION TO THEM AND THEN TEACHING THEM WHAT TO DO WITH IT.

BUT YES, WE CAN AUTOMATE IT. IT'S A SIMPLE ANSWER TO THE QUESTION.

YES. WHAT DATE OF THE MONTH DO YOU SEND IT OUT TO THEM? IT'S USUALLY IN THE FIRST WEEK, WEEK AND A HALF OF THE MONTH.

AND WHO SENDS IT? ONE OF OUR THREE ASSET PERSONNEL.

[01:30:04]

SURE. IF YOU COULD SEND THAT TO THE COMMITTEE ON SLIDE 13, YOU HAVE THE AVERAGE AGE OF THE FLEET IS 6.2 YEARS, WITH A MILEAGE OF 34,000. YES, THAT THOSE ARE THE UNITS UNDER 5000 WITH.

THAT'S THE GROUP, RIGHT? YEP. SO. THE 1320. THAT'S AN ANNUAL NUMBER. IS THAT CORRECT? YES. IN THAT AVERAGE GROUP, WHICH IS A SO THAT'S 25 OUR 25 MILES A WEEK.

WELL, I WANT TO SAY THAT THESE THESE YOU'RE LOOKING AT THESE THINGS IN A LINEAR WAY IS IT IS CAN SOMETIMES BE DECEIVING.

BUT THE GENERAL AVERAGE IS. THAT'S. YES. SO THAT'S WHY WE ACKNOWLEDGE THAT WE BELIEVE THERE'S TOO MANY LIGHT DUTY ASSETS.

YEAH. I MEAN, THAT COULDN'T GET TO MY HOUSE AND BACK TO CITY HALL.

OKAY. I'M TRYING TO UNDERSTAND HOW THIS HASN'T ALREADY BEEN ADDRESSED.

WE'VE CLEARLY HAD TOO MANY VEHICLES FOR MANY YEARS.

WHY HASN'T THIS BEEN ADDRESSED? AND IT'S NOT EVEN ON YOUR NEXT STEPS.

YOUR NEXT STEPS ARE TO CONTINUE BECAUSE STEPS AREN'T TO REDUCE.

WELL, I GUESS WHAT WE'RE. THIS IS BEING ADDRESSED IN A LOT OF DIFFERENT WAYS.

BUT FIRST OF ALL, WE HAD TO GIVE THESE DEPARTMENTS GOOD ASSETS IN THE FIRST PLACE.

WE HAD TO MAKE SURE THEY COULD MEET THE THE DEMANDS FOR THE WORKLOAD.

SO WE SPENT THE LAST SEVERAL YEARS REPLACING A LOT OF VERY OLD ASSETS, AND WE'RE STILL GETTING RID OF THESE THINGS.

NOW WE SEE THESE DEPARTMENTS. WE LOOK AT AVAILABILITY FOR THEIR FLEET.

THEIR NUMBERS ARE PRETTY GOOD. YOU KNOW WE'RE UP.

WE'RE AVERAGING CLOSE TO 85, 86% IN TOTAL FLEET AVAILABILITY.

THERE ARE SOME DEPARTMENTS THAT WE STILL HAVE TO WORK FOR A LITTLE BIT, BUT ONCE THEY'RE UP AND ON THEIR FEET NOW WE CAN START.

AND WE HAVE BEEN PULLING SOME OF THESE NUMBERS DOWN.

WELL, I, I WOULD DEBATE YOU SAYING SOME DEPARTMENTS HAVE SOME WORK TO DO WHEN WE'RE SITTING THERE WITH 1470 VEHICLES WITH UNDER 5000 MILES A YEAR. THAT'S SHOCKING AND A COMPLETE WASTE OF TAXPAYER DOLLARS.

AND YOU KNOW ONE OF THESE NUMBERS I DO HAVE TO CALL INTO QUESTION WHICH IS DPD.

HOW ARE THEIR 374 VEHICLES WITH UNDER 5000 MILES A YEAR.

ARE THOSE SITTING IN A LOT AND THEY'RE NOT ABLE TO ACCESS THEM? SOME OF THESE MIGHT BE WHEN WE, WE PUT A BIG PUSH OF VEHICLES INTO SERVICE.

WE MIGHT SEE SOME OF THOSE THINGS. SO IF A VEHICLE IF WE JUST RELEASED A LOT OF VEHICLES, YOU KNOW, AND THIS IS WHY THE NUMBERS ARE NOT LINEAR. YOU KNOW, WE WE PUT VEHICLES IN SERVICE.

THEY HAVEN'T HAD A CHANCE TO GET LAST PERIOD 12 FULL USAGE IN THEM YET.

SO AND OTHER ISSUES MIGHT BE DUMP TRUCKS. WE JUST CAME OUT OF THE SNOW SEASON.

DUMP TRUCK USAGE IS GOING TO LOOK VERY HIGH IN THE LAST PERIOD.

12. ASK ME AGAIN IN JULY AND IT MIGHT START TO LOOK A LITTLE DIFFERENT AS THESE LAST PERIOD MONTHS DROP OFF.

OKAY. SO I HAVE A NUMBER OF QUESTIONS ABOUT THE DPD VEHICLES.

AND THAT'S WHY I'M LIKE, WE DON'T NEED TO TALK TO FIRE BECAUSE I'M I'M GOING TO PUT THIS AS A SEPARATE BRIEFING ABOUT PUBLIC SAFETY VEHICLES.

SO I'M GOING TO SKIP AHEAD. I KNOW TIME IS OUT AND I'M JUST GOING TO TELL YOU WHAT THE QUESTIONS ARE, AND PERHAPS YOU CAN ANSWER THEM IN A MEMO GIVEN GIVEN OUR TIME SITUATION ON 17.

I DON'T PAGE 17. I DON'T UNDERSTAND WHY THIS DOESN'T SAY THE CITY WILL BE SELLING THESE VEHICLES.

I MEAN, THIS IS MISSING SOMETHING REALLY IMPORTANT, WHICH IS THE ACTION TO UNLOAD VEHICLES THAT ARE NOT NECESSARY.

SLIDE 18, MA'AM. I HEAR YOU, THOUGH. IT'S ON SLIDE 18.

WE WERE ASKED TO KIND OF SKIM THROUGH THE BRIEFING. SLIDE 18 IS WHERE WE TALK ABOUT THE REDUCTION OF ASSETS AT AUCTION.

AND ALSO IN THE PRESENTATION THAT WE DIDN'T GET TO WAS THE NUMBER OF ASSETS THAT WE'VE BEEN TAKING OUT ALL ALONG THE WAY.

IT'S A CONTINUOUS, ONGOING PROCESS TO ELIMINATE ASSETS.

BUT ON SLIDE 18, HOW MANY VEHICLES ARE YOU GOING TO DISPOSE OF? DOES IT SAY DOES IT SAY IT ON THAT SLIDE? OH, I MEAN, IT'S GENERALLY 5 TO 700 ASSETS A YEAR THAT WE THAT WE AUCTION OFF AND IT CONTINUES TO GO THAT LOOKING FOR WHAT WE'RE GOING TO GET THROUGH THE SURPLUS.

OH, THAT NUMBER YET? OH, WE'LL COME BACK TO YOU AT A LATER DATE WITH A PROJECTED NUMBER OF WHAT WE THINK IS NOT CLEARLY SAY WE'RE GOING TO REDUCE OUR FLEET BY THIS NUMBER BECAUSE WE

[01:35:01]

SO I MIGHT BE OFF A SLIDE. YEAH. SLIDE 19. SO YOU SHOW DALLAS 2025 DALLAS 2018 TULSA.

2018 TEXAS 2018 NATIONAL 2018. WELL, IF YOU'RE TRYING TO SHOW US TULSA AND TEXAS AND NATIONAL, WHY DON'T YOU SHOW US 2025 AS WELL? AND THEN SAME THING FOR FOR ALL OF THOSE ON PAGE 22, CAN YOU JUST EXPLAIN WHAT IS THAT PURPLE COUNT LINE. OH. PURPLE IS THE COUNT.

THE COUNT OF WHAT? THE COUNT OF PMNS. THE COUNT OF PMNS.

OKAY. WHAT IS THE NUMBER OF VEHICLES THAT WE HAVE TODAY COMPARED TO THE NUMBER OF VEHICLES THROUGH THE YEARS? DO WE HAVE MORE VEHICLES NOW THAN WE DID IN 2019? IN 2019? I CAN GET YOU THAT EXACT COUNT AND INFORMATION.

BUT I THINK OUR COUNT IS ACTUALLY DOWN SLIGHTLY.

I DO LOOK AT THIS. IT'S JUST BEEN A WHILE SINCE I LOOKED AT IT.

OKAY. BUT I THINK I WOULD LIKE TO HAVE THAT DATA OVER THE YEARS.

HOW MANY VEHICLES WE HAVE? SLIDE 23. I'M JUST NOT UNDERSTANDING WHAT THE POINT IS OF GENERATING DETAILED MONTHLY REPORTS IF NO ACTION IS TAKEN TO REMOVE UNDERUTILIZED VEHICLES. WELL, THERE'S VEHICLE SHIFT SCHEDULES ON THIS REPORT.

THERE'S VEHICLE LOCATIONS, WHICH IS THE MOST COMMON USE.

SO WHEN A FLEET COORDINATOR OR AN ASSISTANT DIRECTOR OR DIRECTOR SAYS, HEY, I WANT TO MOVE PART OF MY FLEET TO SOMEWHERE ELSE, THEN THEY HIGHLIGHT THE VEHICLE, THEY'LL SEND IT TO OUR ASSET MANAGEMENT GROUP, AND THEN WE'LL EVALUATE WHETHER WE CAN ABSORB THAT EXTRA WORK AT THE SERVICE CENTER THAT IT WOULD BE ASSIGNED TO, AND THEN MAKE SURE THAT THE SHIFTS AND EVERYTHING ARE THE SAME, SO THAT THOSE WE'RE GOING TO SEND YOU THAT REPORT, THAT ASSET ACTIVE ASSET INVENTORY REPORT, AND YOU'LL BE ABLE TO SEE ALL THE FIELDS THAT ARE IN THERE.

SO WHEN THEY MAKE CHANGES TO THEIR FLEET, WE ARE IN A POSITION TO ABSORB THE EXTRA WORK ASSIGN REASSIGNED FUEL CENTERS, WHATEVER NEEDS TO BE ASSIGNED WITH IT.

SERVICE CENTERS. OKAY, WELL, I KNOW I'M OUT OF TIME.

I'M JUST GOING TO SAY, I THINK THIS IS A SHOCKING PRESENTATION, AND IT'S EXACTLY WHY THIS COMMITTEE WAS NEEDED.

THANK YOU. THANK YOU COUNCILMAN RIDLEY. THANK YOU, MR. CHAIR. I'D LIKE TO REQUEST THAT THE PANEL RETURN TO BRIEF THIS COMMITTEE IN THREE MONTHS TO PROVIDE AN UPDATE ON REDUCING VEHICLE COUNT AND THE EXPANSION OF THE USAGE OF THE MOTOR POOL, INCLUDING A REFERENCE TO ANY INDUSTRY AVERAGE OF NUMBER OF VEHICLES PER EMPLOYEE OR PER CITY POPULATION, WHATEVER THE INDUSTRY AVERAGES ARE.

I'D LIKE TO SEE THAT TO COMPARE WITH OUR PERFORMANCE.

THANK YOU. THANK YOU. YEAH. 15 SECONDS. REAL QUICK.

I THINK THAT THIS IS A VERY IMPORTANT. THIS IS NOT JUST RELATED TO FLEET, BUT THIS IS A CONVERSATION THAT EVERY GROUP THAT APPEARS BEFORE US SHOULD BE PREPARED TO GIVE US THE SOLUTIONS AND THE INFORMATION ON WHAT THEY'RE GOING TO DO TO REDUCE COSTS, TO CREATE MORE EFFICIENCY IN THEIR DEPARTMENTS AND TO PROVIDE US WITH CONCRETE IDEAS AND SUGGESTIONS THAT THEY THINK THAT THEY CAN IMPLEMENT IMMEDIATELY.

AND I APPRECIATE THIS COMMITTEE'S THAT USING THIS PARTICULAR DEPARTMENT AS AN EXAMPLE, NOT AS A TARGET, BUT AS AN EXAMPLE FOR EVERY OTHER DEPARTMENT THAT'S GOING TO COME BEFORE US.

I WANT TO SEE SOLUTIONS, NOT NOT THINGS THAT MAYBE WE'RE GOING TO DO IN THE FUTURE.

THIS IS RIDICULOUS TO ME THAT WE'RE AND IT'S NOT RIDICULOUS PERSONALLY.

IT'S RIDICULOUS THAT OUR PROCESSES ARE HAVE HAVE BEEN PUSHED FORWARD AND THAT WE DON'T HAVE A QUANTIFIABLE SHORT LIST OF THINGS THAT YOU ALL ARE GOING TO DO TO SAVE US MONEY, MAKE THINGS MORE EFFICIENT, AND AND MAKE US MORE ACCOUNTABLE TO OUR TO OUR CITIZENS AND I. AND THAT'S WHAT THIS DEPARTMENT, THIS COMMITTEE IS GOING TO DO.

AND I WANT TO ENCOURAGE US TO CONTINUE TO DO THAT AND SEND THIS AS A MESSAGE TO FUTURE PEOPLE WHO ARE COMING AND SITTING IN FRONT OF US THAT THIS IS GOING TO BE ON OUR ON OUR ON MY ACTIVITY LIST AND MY ATTENTION LIST. I'M GOING TO ASK THESE QUESTIONS.

AND SO ARE THESE OTHER PEOPLE. THANK YOU. THANK YOU.

[01:40:03]

JUST TO MAKE SURE I GOT THE GIST OF WHAT WAS SAID HERE.

SO WE'RE COMING BACK IN THREE MONTHS WITH AN UPDATE FOR THIS BRIEFING.

I LOOK FORWARD TO THAT. I DO COUNCILMAN ONE LAST THING.

I DON'T HAVE A COMMENT. SOMETHING ELSE. COUNCILMAN RIDLEY, COULD YOU READ THAT? I DON'T HAVE A PROBLEM WITH THAT. SO COUNCILMAN RIDLEY REQUESTED THAT. SO I WOULD LIKE THAT REQUEST TO BE ADHERED TO.

COULD YOU READ IT AGAIN TO MAKE SURE THAT YES.

I'M NOT LOOKING FOR JUST THE CHANGE IN NUMBERS OF THIS ENTIRE PRESENTATION.

I'D LIKE TO SEE A PRESENTATION FOCUSED ON DEACCESSIONING OF VEHICLES, HOW MANY VEHICLES YOU'VE SOLD, WHAT YOUR PLANS ARE FOR FUTURE REDUCTION IN THE FLEET, AND HOW YOU'RE GOING TO BETTER UTILIZE THE MOTOR POOL TO ACCOMMODATE THE NEEDS OF THE DIFFERENT DEPARTMENTS WITH THE INDUSTRY STATISTICS ABOUT WHAT IS THE NORMAL NUMBER OF VEHICLES FOR OUR POPULATION, OUR SIZE OF CITY OR NUMBER OF EMPLOYEES AND ASSISTANT MANAGER CITY MANAGER GIBSON, I WOULD LIKE TO WORK WITH YOU.

CONCERNING THIS PARTICULAR POWERPOINT PRESENTATION.

WE HAVE A LOT OF CONCERNS, AND THERE'S SOME CHANGE THAT DEFINITELY NEEDS TO BE MADE. SO THANK YOU GUYS FOR YOUR PRESENTATION.

I THINK CHAIR CHAIRMAN RIDLEY SUGGESTED THREE MONTHS, BUT I WOULD JUST SAY THAT IT'S TO YOUR DISCRETION TO EVEN BRING IT BACK SOONER.

AND THIS IS AN ITEM THAT, I MEAN, I THINK NEEDS TO STAY IN FRONT OF US.

IT MAY NEED TO HAVE A BUDGET AMENDMENT BEFORE THEN TO ENCOURAGE ACTION WHEN THE THE STANCE SEEMS TO BE CONTINUING CURRENT OPERATIONS. THAT'S WHAT THEIR NEXT STEPS SHOW US.

THAT'S WHAT THEY WANT TO DO. THEY WANT TO CONTINUE TO PROVIDE, CONTINUE TO EVALUATE, CONTINUE TO WORK WITH, CONTINUE TO THIS. I'M NOT INTERESTED IN SEEING CONTINUING.

I'M INTERESTED IN SEEING CHANGE. AND THAT DOESN'T SEEM TO HAVE GOTTEN THROUGH FROM OUR LAST BRIEFING, WHICH I THOUGHT WAS PRETTY ROUGH, FRANKLY, AND I WAS REALLY SHOCKED THAT THIS DIDN'T HAVE SOME DRAMATIC IDEAS FOR CHANGE. SO HOWEVER YOU FEEL IS APPROPRIATE.

BUT I WOULDN'T FEEL CONSTRAINED BY THE THREE MONTH LIMIT IF YOU WISH TO DO IT SOONER.

LISTENING TO THE COMMITTEE ASSISTANT CITY MANAGER, CAN WE BRING IT BACK IN TWO MONTHS INSTEAD OF THREE? YES, SIR. WE SURE CAN. THANK YOU SO MUCH. YOU GOT IT.

THANK YOU, GUYS FOR YOUR PRESENTATION. FOR THE SAKE OF TIME, WE'RE GOING TO GO AHEAD AND SKIP KIND OF GO OUT OF ORDER.

SKIP LETTER D OVERVIEW STIPENDS AND PARTNERSHIP ACROSS ALL CITY DEPARTMENTS.

AND WE'RE GOING TO GO TO E DISCUSSION AND ACTION ITEM AUTHORIZE A FIVE YEAR COOPERATIVE PURCHASING AGREEMENT FOR A CLOUD BASED VIDEO MANAGEMENT AND ANALYTICS PLATFORM FOR CLOUD FOR DALLAS POLICE DEPARTMENT WITH SIGMA SURVEILLANCE.

YOU GUYS COME ON DOWN, AND AS SOON AS YOU GET SETTLED, YOU GO AHEAD AND START YOUR PRESENTATION.

GO AHEAD. THANK YOU GUYS FOR COMING TODAY. I GOT IT, I GOT IT.

WHILE THEY'RE GETTING READY, THIS IS PRESENTED AT THE I BELIEVE LAST WEEK AT THE COUNCIL BRIEFING.

AND SO WE WAS NOT BRIEFED ON THIS ACTUALLY I THINK IT'S THE COUNCIL MEETING THAT WAS ON FOR A VOTE.

AND SO THE COUNCIL REQUESTED THAT IT COME TO COACH DEPARTMENT, THE COACH TO THE GOVERNMENT OFFICIAL MEETING FOR A BRIEFING.

THANK YOU. SO MY NAME IS MARTIN RIOJAS, DEPUTY DIRECTOR FOR THE DALLAS POLICE DEPARTMENT OVER THE FINANCIAL BUREAU.

I AM JOINED BY SEVERAL MEMBERS OF THE POLICE DEPARTMENT, AS WELL AS A REPRESENTATIVE.

MAY OCCUR FROM THE ACTUAL VENDOR TO VERKADA, AND WE WOULD LIKE TO JUST TALK THROUGH SOME POINTS ON THE AGENDA ITEM THAT WAS THAT WAS PULLED LAST, LAST WEEK. THIS THE AGENDA ITEM IS FOR A FIVE YEAR CONTRACT FOR US TO PROCURE A CAMERA SYSTEM WITH STS THREE 60, WHO IS A RESELLER OF VERKADA AND VERKADA.

THE VERKADA CAMERA SYSTEM IS THE PRODUCT THAT WE'RE LOOKING TO TO PROCURE.

WE DO HAVE SEVERAL CHALLENGES WITH OUR CURRENT INFRASTRUCTURE.

WE HAVE CAMERAS THAT ARE END OF LIFE AND OUTDATED SERVERS THAT WHERE THE CAMERA FEEDS THE CAMERA FEED GOES INTO THE SERVERS, AND THOSE SERVERS ARE TOWARDS THE END OF LIFE, WHICH CAUSES ISSUES WITH DOWNLOADING VIDEO.

WE DO HAVE LIMITED FUNCTIONALITY WITH THE CURRENT SYSTEM, AND IT DOES RESULT IN UNPRODUCTIVE TIME.

[01:45:02]

NEWER CAMERAS, HIGHER MEGAPIXEL. IT HAS ANALYTIC CAPABILITY.

IT ALLOWS US TO RECEIVE REAL TIME ALERTS INTO THE REAL INTO TO THE DALLAS POLICE DEPARTMENT REAL TIME CRIME CENTER.

SO THE CAMERA HAS ANALYTICS BUILT INSIDE OF IT SO THAT IF THE CAMERA DETECTS A WRONG-WAY DRIVER AS AN EXAMPLE, IT CAN PROVIDE AN ALERT IN THE REAL TIME CRIME CENTER OR A STREET TAKEOVER.

IT CAN PROVIDE AN ALERT. SO PROACTIVELY POLICE IS BEING NOTIFIED WITHOUT ANYBODY CALLING 911.

THEY'RE BEING NOTIFIED OF THE EVENT BY THE CAMERA SYSTEM SYSTEM ITSELF.

AND THAT'S THE TYPE OF ANALYTICS THAT THIS SYSTEM BRINGS TO US WHEN DETECTIVES ARE REVIEWING FOOTAGE.

AND THEY NEED TO FIND SOMETHING AS A RESULT OF AN INVESTIGATION TODAY, IF THEY NEED FOUR HOURS OF VIDEO, THEY'RE GOING TO WATCH FOUR HOURS OF VIDEO. THE VERKADA SYSTEM HAS THE ABILITY FOR US TO USE COMMON LANGUAGE SEARCH.

SO IF WE'RE LOOKING FOR A BLUE CAR, THEY CAN TYPE IN BLUE CAR FROM TWO PERIODS OF TWO DIFFERENT PERIODS OF TIME.

AND ALL THE VIDEO THAT IS A BLUE CAR WILL WILL APPEAR TO THAT DETECTIVE AND THEY CAN EASILY FIND WHAT THEY'RE LOOKING FOR.

WE IT'S GOING TO SAVE LOTS OF TIME, MAKE US MORE EFFICIENT, HELP US BE MORE PROACTIVE.

NOT ONLY THAT, BUT THE VERKADA SYSTEM HAS THE ABILITY, AND WE'RE LOOKING RIGHT NOW AND WE'RE TALKING WITH THE VENDOR AND WE HAVE TWO VENDORS RIGHT NOW. WE HAVE OUR GUNSHOT DETECTION SYSTEM AND OUR SYSTEM THAT WE'RE LOOKING TO PROCURE.

WE'RE TRYING TO JOIN THE TWO TOGETHER SO THAT ALERTS CAN BE SENT.

IF A GUNSHOT DETECTION SYSTEM IS IS TRIGGERED, THE ALERT CAN BE SENT AND ALL THE VERKADA CAMERAS IN THE AREA CAN IMMEDIATELY TURN TO THE AREA OF THE GUNSHOT AND START HELPING US GET EYES ON THE SCENE.

THAT'S THE TYPE OF ABILITY THAT THIS SYSTEM PROVIDES THAT OUR CURRENT SYSTEM DOES NOT PROVIDE.

WE HAVE LOW RESOLUTION, OUTDATED CAMERA EQUIPMENT, AND WE DESPERATELY NEED TO HAVE A NEWER SYSTEM WITH THE TYPE OF ANALYTICS THAT VERKADA GIVES US. AND THAT'S WHAT WE'RE LOOKING TO DO TO BECOME MORE EFFICIENT.

THIS IS A GOVERNMENT EFFICIENCY COMMITTEE, AND I'M GLAD IT'S HERE, BECAUSE IF WE'RE TALKING ABOUT LEVERAGING TECHNOLOGY TO BECOME EFFICIENT, I CAN THINK OF NO BETTER WAY USING TECHNOLOGY AS A FORCE MULTIPLIER TO GET EYES ON THE SCENE WHERE WE NEED TO SEE IT AS QUICKLY AS WE CAN.

THAT'S WHAT THIS SYSTEM PROVIDES. NOT ONLY THAT, WE ARE FACING FIFA.

RIGHT. OUR CURRENT SYSTEM RIGHT NOW IS NOT PREPARED FOR US TO HELP AND TO HELP MONITOR THE FIFA GAMES, BECAUSE WE DO HAVE OUTDATED EQUIPMENT THAT CAN GO DOWN.

AND THE SYSTEM WILL HELP US BE PREPARED FOR FIFA.

AND WE'RE LOOKING TO MAKE SURE THAT WE CAN GET THIS AGENDA ITEM PASSED ON FEBRUARY THE 25TH.

IF WE CAN DO THAT, THAT'S ENOUGH TIME FOR US TO TRANSITION OUT OUR OLD INTERSECTION CAMERAS AND AND REPLACE THEM WITH THE VERKADA CAMERAS IN TIME FOR FIFA. IF IT GOES PAST. IF IT GOES PAST FEBRUARY 25TH, WE'RE GOING TO HAVE A CHALLENGE TO DO SO.

SO IN ORDER TO BE READY FOR FIFA, WE WANT THIS.

AND WE'RE ASKING YOU FOR YOUR SUPPORT ON FEBRUARY THE 25TH TO PASS THIS AGENDA ITEM.

THANK YOU. I'M GOING TO START THIS AND THEN I'M GOING TO I'M GOING TO GO TO THE RIGHT AND THEN I'LL COME BACK.

BUT LET ME SAY THIS. WE HAD TO REQUEST A BRIEFING IF THERE WAS A TIMING ISSUE, THIS SHOULD HAVE BEEN BRIEFED.

THE COUNCIL SHOULD HAVE BEEN BRIEFED A LONG TIME AGO. SO TO SIT HERE AND SAY THAT WE NEED THIS NOW AND WE DIDN'T GET A BRIEFING, IT'S REALLY UNPROFESSIONAL. AND NOTHING RUNS ME MORE HOT TO TO THAN TRY TO FORCE THE COUNCIL TO MAKE A DECISION OF THIS MAGNITUDE, OF THIS IMPORTANCE WITH THE INFORMATION THAT WHEN I CALLED YOU GUYS, NONE OF Y'ALL HAD THE DIDN'T EVEN WAS AWARE OF WHAT WAS GOING ON.

YOU WAS OBLIVIOUS TO WHAT TO THE FINDINGS THAT I LOCATED.

NOW ALL OF A SUDDEN EVERYBODY HAVE THE ANSWER. SO I'M GOING TO STOP RIGHT THERE. AND YOU DIDN'T YOU DIDN'T ADDRESS THE ISSUE IS NOT WHAT YOU SUGGESTED THAT WE NEED SURVEILLANCE CAMERAS AND ETCETERA, THAT THAT WASN'T AN ISSUE.

BUT I'M GOING TO START WITH MY RIGHT, AND THEN I'LL COME BACK MY RIGHT AND THEN GO TO MY LEFT.

COUNCILMAN RESENDEZ CHAIR. MENDELSOHN. WELL, THIS ITEM WAS ON THE PUBLIC SAFETY AGENDA, OF WHICH YOU ARE A MEMBER.

THERE WERE NO QUESTIONS ASKED WHEN WE HAD THAT ITEM.

I THINK THERE'S NO QUESTION. WE NEED THESE CAMERAS, AND WE NEED THEM BEFORE FIFA.

I THINK THERE'S NO DISAGREEMENT ON THAT. WE NEED THEM TO AUTOMATE NOTIFICATIONS.

WE NEED THEM TO HELP US IDENTIFY SUSPECTS, AND WE NEED THEM TO HELP SOLVE CRIMES.

SO I DON'T THINK THERE'S ANY DISCUSSION. I THINK THE ITEM THAT I'VE HEARD CHAIRMAN JOHNSON BRING UP IS ABOUT SOME VENDOR ISSUES. YOU WERE FINED BY THE FEDERAL GOVERNMENT, AND I'M GOING TO PUT THAT ASIDE FOR A MINUTE.

[01:50:01]

I MEAN, DID ANYBODY GOOGLE THE COMPANY TO SEE THAT THERE WERE SOME CYBERSECURITY ISSUES AND LEAKED FOOTAGE? COUNCIL MEMBER I CAN ANSWER THAT QUESTION IF YOU DON'T MIND.

OKAY, FIRST YOU'VE GOT TO MAKE SURE YOUR MICROPHONE IS ON. BUT LET'S HAVE ARE YOU STAFF.

YES. COUNCIL MEMBER OKAY. SO LET'S HAVE STAFF ANSWER.

AND IF THEY WOULD LIKE YOU TO ANSWER THEY WILL INVITE YOU TO DO SO. OKAY. YES.

CAN YOU HEAR ME? YES. THANK YOU FOR THE QUESTION.

COUNCIL MEMBER. YES. MY NAME IS CORNELL PERRY.

I'M WITH ITS AND YES THE IT WAS KNOWN THAT THERE WAS A BREACH IN 2021.

THERE HAS NOT BEEN ANY OTHER BREACHES SINCE 2021 AND 2024.

THE FEDERAL THE FTC ACTUALLY LEVIED THE FINE AGAINST THEM FOR BREACH IN 2021.

FOR THE COMPANY THE SIZE OF VERKADA AND THE CAMERAS OUT THERE THAT ARE BEING USED BY STATE AND FEDERAL GOVERNMENTS WITH THE FTC, WITH A 20 YEAR AUDIT REMAINING AGAINST VERKADA WE BELIEVE THAT THEY HAVE CORRECTED THOSE WAYS IN THAT AT THIS POINT, WITH THE FEDERAL GOVERNMENT AUDITING THEM FOR THE NEXT 20 YEARS, THAT WE WON'T SEE ANY OF THOSE ISSUES AS YOU CONTINUE TO MOVE FORWARD.

THEY DID ADVERTISE THE STEPS THAT THEY'VE TAKEN TO RESOLVE THOSE ISSUES, AND WE FELT SAFE FROM ITS PERSPECTIVE THAT THAT SECURITY PIECES, THOSE SECURITY PIECES HAVE BEEN TAKEN CARE OF, ALONG WITH THE ALONG WITH THE SOC AND THE OTHER IMPROVEMENTS THAT THEY'VE RECEIVED. FROM A STANDPOINT OF FEDERAL REGULATIONS, WE BELIEVE THAT THIS IS OKAY FROM A SECURITY STANDPOINT.

OKAY. SO IT SOUNDS TO ME THAT IF YOU WERE AWARE OF IT, THAT WHEN CHAIRMAN JOHNSON WAS ASKING QUESTIONS, HE MAY NOT HAVE BEEN ASKING THE RIGHT PEOPLE, THOSE QUESTIONS THAT MAY HAVE BEEN AT EITHER A DIFFERENT LEVEL OR WITHIN DIFFERENT DIVISION OF THE DEPARTMENT. TO GIVE SOME COMFORT TO THIS PROCUREMENT.

CAN YOU SHARE WITH US? AND PERHAPS IT'S THE VENDOR THAT NEEDS TO DO THAT.

WHAT OTHER PEER CITIES, MEANING CITIES OF OUR SIZE AS WELL AS NON MUNICIPAL, MEANING STATEWIDE OR FEDERAL AGENCIES ARE ALSO USING THIS SYSTEM. YES, MA'AM. SO I'VE GOT A LIST IN FRONT OF ME.

WE HAVE CITIES AND COUNTIES, POLICE DEPARTMENTS OTHER BUSINESSES, DEPARTMENTS, THAT SORT OF THING, INDEPENDENT SCHOOL DISTRICTS AND THEN FEDERAL AGENCIES THAT USE IT.

SO I'LL GO THROUGH THOSE LIST 20 THAT WILL IMPRESS ME.

OKAY. HARRIS COUNTY DELAWARE. HOUSTON IS HARRIS COUNTY.

BEXAR COUNTY, CITY OF SAN ANTONIO, CITY OF LOS ANGELES, CITY OF LAS VEGAS, THE NEW YORK POLICE DEPARTMENT, THE SEATTLE POLICE DEPARTMENT, DALLAS INDEPENDENT SCHOOL DISTRICT, SPECIAL SPECIAL EDUCATION ROOMS, THE THE SMU POLICE DEPARTMENT, HIGHLAND PARK ISD, PLANO ISD, RICHARDSON ISD, HOUSTON ISD, AUSTIN ISD, SAN ANTONIO ISD, VETERANS AFFAIRS, NASA, ARMY, UNITED STATES MARINE CORPS, NAVY, AIR FORCE, CAPITOL POLICE, DISTRICT COURTS, NATIONAL PARKS, DEPARTMENT OF ENERGY.

VERY GOOD. THANK YOU VERY MUCH. YES, MA'AM. THANK YOU.

AND I SET THIS TO ON THE PHONE. I JUST CAME FROM DALLAS.

ISD. BUT IT'S NOT USED IN DALLAS ISD. THANK YOU.

YES, SIR. I HAVE AN EMAIL RIGHT HERE FROM LEANNE HOCHMAN.

SHE'S THE PROJECT MANAGER. MANAGER OVER DALLAS INDEPENDENT SCHOOL DISTRICT SPECIAL SERVICES.

THEY HAVE 260 VERKADA CAMERAS ACROSS 81 CAMPUSES.

AND BY THE END OF MAY, THEY PLAN TO HAVE OVER 700 CAMERAS ACROSS 120 CAMPUSES.

THANK YOU. I JUST SPOKE WITH THE SUPERINTENDENT CONCERNING THIS MATTER, BUT WE CAN DEBATE THAT LATER. THANK YOU. THANK YOU, MR. CHAIR. THE MEMO OF JANUARY 27TH SAYS THAT THERE ARE INDEPENDENT AUDITS REQUIRED EVERY TWO YEARS, OVERSEEN BY THE FTC. DID YOUR DUE DILIGENCE INCLUDE REVIEWING THE MOST RECENT AUDIT? SO NO COUNCIL MEMBER I DIDN'T REVIEW THE MOST RECENT AUDIT.

AND THIS IS AN AUDIT OF THEIR 20 YEAR SECURITY PROGRAM AND ITS EFFECTIVENESS.

CORRECT. THAT IS CORRECT. WHY DID YOU NOT REVIEW THAT? WELL. SO I DIDN'T REVIEW THE MOST RECENT AUDIT.

I REVIEWED THE AUDIT FINDINGS ORIGINALLY. THEN I ALSO REVIEWED THEIR THE THE THEIR ACHIEVEMENTS IN COMPLIANCE FROM 2021 ON TO 2026. WELL, PRESUMABLY THERE WAS A REASON WHY THE FTC REQUIRED, AS PART OF ITS SETTLEMENT WITH VERKADA,

[01:55:05]

I THINK THAT'S A VERY MATERIAL CONSIDERATION FOR OUR DECISION WHETHER OR NOT TO DEPLOY THIS SYSTEM, DON'T YOU? YES. COUNCIL MEMBER. I THINK THAT'S A FAIR ASK.

WELL, I WOULD LIKE TO HAVE SOMEONE ON YOUR TEAM REVIEW THAT AND REPORT TO THE COUNCIL WHEN THIS COMES BACK AS TO WHAT THAT AUDIT REFLECTS, WHETHER IT GIVES A CLEAN BILL OF HEALTH OR WHETHER IT REFLECTS THAT THERE ARE PROBLEMS. NEXT QUESTION. WHAT COMPETITORS OF RICOTTA DID YOU LOOK AT AND WHY DID YOU SELECT RICOTTA OVER THOSE OTHER VENDORS? I'LL TAKE THAT QUESTION. SO WE LOOKED AT ACCESS.

WE LOOKED AT A VIGIL ON ALTURA AND WE LOOKED AT ESOTERIX.

SO IT WAS A COMBINATION OF ISSUES THAT THEY WERE SELF-HOSTED OR IT WAS AN APPLICATION THAT NEEDED TO BE INSTALLED ON THE COMPUTER.

IT WAS NOT 100% CLOUD BASED SYSTEM. THAT'S WHAT WE WERE LOOKING FOR OUT OF OUR REQUEST FOR THIS.

AND THEN I THINK THAT'S, OH, A COST ISSUE. SO THAT WE LOOKED AT IT WAS COST PROHIBITIVE, AND IT WAS USING OUR CURRENT CAMERAS WHERE WE WOULDN'T BE ABLE TO UPDATE OUR CAMERAS, BUT IT WOULD COST AROUND THE SAME AMOUNT THAT IS GOING TO COST.

WELL, I MET WITH DPD BEFORE THIS MEETING, AND I AGREE THAT THERE'S DEFINITELY A NEED TO REPLACE OUR OLD AND OUTDATED CAMERAS WITH NEW CAPABILITIES OF A MODERN SYSTEM. MY ONLY RESERVATION IS WHETHER THEY HAVE TAKEN SUFFICIENT STEPS TO CURE THEIR PAST CYBERSECURITY ISSUES, WHERE THE HACKERS SAID IT WAS REALLY EASY TO HACK INTO THEIR SYSTEM.

AND THAT CONCERNS ME. WE'VE HAD ENOUGH EXPERIENCE AT CITY HALL WITH HACKERS GETTING INTO OUR SYSTEMS, AND I SURE DON'T WANT TO SEE THAT HAPPEN AGAIN.

SO PLEASE COMPLETE YOUR DUE DILIGENCE ON THIS AND REPORT THE RESULTS OF THIS AUDIT TO THE COUNCIL.

THANK YOU. I MEAN, COUNCILMAN ROTH. THANK YOU.

CHAIR. CAN YOU EXPLAIN TO ME WHAT THE RELATIONSHIP IS BETWEEN SIGMA SURVEILLANCE AND VERKADA? IS. YES, SIR. THANK YOU FOR THE QUESTION. COUNCIL MEMBER.

SIGMA SIGMA SURVEILLANCE STS THREE 60 IS OUR CURRENT CAMERA VENDOR FOR OUR ENTERPRISE CAMERA SOLUTIONS.

THEY WILL BE THE INSTALLERS OF THOSE VERKADA CAMERAS.

SO THAT THAT'S THE RELATIONSHIP THERE. AND ARE THEY RESPONSIBLE FOR THE MAINTENANCE? ARE THEY THE ARE THEY THE SIGNATORY ON THE FIVE YEAR CONTRACT? THEY'RE THE ONES THAT WE'RE REALLY DEALING WITH. WE'RE BUYING IT FROM THEM. NO, NO.

COUNCIL MEMBER. THE THE ACTUAL PURCHASE IS THROUGH VERKADA STS THREE.

60 WILL BE A SUB FOR THE INSTALLATION FROM VERKADA.

VERKADA DOES NOT SELL DIRECT TO DEPARTMENTS, SO WE HAVE TO GO THROUGH A THIRD PARTY RESELLER.

AND THAT THIRD PARTY RESELLER IS SIGMA SURVEILLANCE.

OKAY. IF THE THIRD PARTY RESELLER BLOWS UP, WHAT HAPPENS? WELL, IF IF WHEN YOU SAY BLOW UP, WHAT DO YOU MEAN? THEY FINANCIALLY BLOW UP. THEY ARE NOT AVAILABLE TO PERFORM THAT.

THEY CAN'T HANDLE THE THE CHANGES, THAT THEY GO BANKRUPT.

WHATEVER THE REASON IS, THEY'RE NOT AVAILABLE TO BE SERVICING OUR ACCOUNT.

I'M REALLY DISTRESSED THAT I HAVE TO BE SO PARTICULAR IN MY QUESTION WHEN IT'S OBVIOUS WHAT I'M ASKING.

YEAH. I'M SORRY IF IF IF SOMETHING WERE TO OCCUR WHERE CS THREE 60 COULDN'T PERFORM.

VERKADA HAS OTHER RESELLERS THAT WE COULD OTHER RESELLERS THAT WE COULD PROCURE THE SYSTEM WITH.

OKAY. DOES THIS COST OF 4 MILLION. SIX INCLUDE ACQUISITION.

DOES IT ALSO INCLUDE MAINTENANCE? DOES IT INCLUDE SUPPORT? YES. IT INCLUDES IT INCLUDES. IT'S A TURNKEY SYSTEM THAT INCLUDES ALL ALL THAT WE NEED, INCLUDING HOW MANY HOW MANY CAMERAS ARE ARE SUPPOSED TO BE INSTALLED.

IT'S 1210 CAMERAS, AND THOSE ARE GOING TO HAVE TO BE INSTALLED BY JUNE 15TH.

NOT ALL OF THOSE NEED TO BE INSTALLED BY JUNE 15TH.

SOME OF THEM ARE DPD FACILITIES CAMERAS, AND THEY CAN BE DONE AFTER FIFA.

BUT OUR TIMELINE FOR THE ONES AROUND FIFA, WE CAN GET IT DONE BY JUNE IF WE CAN GET IT APPROVED.

HOW MANY ARE THOSE? IT'S AROUND 600, BUT WE'RE GOING TO PRIORITIZE THE AREAS AROUND FIFA VENUES.

SO LIKE FAIR PARK, THE HOTELS WHERE THEY'RE GOING TO BE STAYING, SMU, WHERE THEY'RE HAVING A PRACTICE FACILITY.

SO THOSE ARE GOING TO GET CHANGED OUT VERY FIRST.

WHAT KIND OF OF OF PENALTY OR PRESSURE OR OR DEMAND DO OR IS IMPOSED ON THE

[02:00:03]

AND WHAT I'M CONCERNED ABOUT IS WE'RE OUT OF TIME.

I MEAN, YOU DON'T DO 600 CAMERAS IN THREE MONTHS.

IT'S THAT'S A LOT OF WORK. IT'S A LOT OF WIRING.

IT'S A LOT OF INSTALLATION. AND MY QUESTION IS, ARE THE PRODUCTS AVAILABLE? IS ARE THE PEOPLE AVAILABLE? IS IT IS IT WHAT IS THIS GOING TO HAPPEN.

AND IF IT DOESN'T HAPPEN, WHAT KIND OF HAMMER DO WE HAVE ON THESE FOLKS TO MAKE SURE THAT THEY COMPLY WITH THEIR CONTRACT WITH US? THE PRODUCTS ARE READY TO ROLL AND THE CAMERAS ARE ALREADY WIRED UP.

THIS IS JUST A REPLACEMENT OF WHAT IS ALREADY THERE.

SO IT SHOULD JUST BE THAT YOU UNPLUG THE OLD CAMERA, PLUG THE NEW CAMERA BACK INTO THAT CURRENT SYSTEM.

HOW MUCH OF THIS COST OF 4,000,006 IS PRODUCT VERSUS SERVICE VERSUS LABOR INSTALLATION? ROUGHLY. I'M SORRY I HAVE TO GET TO THE QUOTE TO FIND.

WELL, SO YOU'RE SAYING THERE'S 1200 CAMERAS? IS THAT WHAT YOU SAID, 1000 CAMERAS? YES, SIR. I'M SORRY, 1200 CAMERAS. SIX. SO I'M.

WHAT I'M TRYING TO FIGURE OUT IS HOW MUCH ARE THESE CAMERAS COSTING US PER CAMERA? SO THE THE TOTAL COST IS 4.6. ABOUT THREE POINT ABOUT 3.8 OF THAT ARE CAMERAS OKAY.

SO $300 303 30,000 OKAY. 300. I MEAN YOU SAID THREE 3,000,002 IS CAMERAS.

OKAY. THANK YOU. COUNCILWOMAN BLACKMON. OKAY, SO I'M A BIT CONFUSED HERE.

MARTIN, YOU SAID THAT BASICALLY OUR STRATEGY IS TO.

AND I'M TRYING TO FIGURE OUT REPLACE OR LIKE, ARE YOU WHEN YOU SAY WE'RE DOING 600 FOR FIFA, BUT IT'S NOT NECESSARILY TAKING ALL THOSE CAMERAS DOWN.

IT'S CHANGING SOFTWARE OR IS IT TAKING CAMERAS DOWN? SO WE ARE GOING TO PHYSICALLY GO TO THE INTERSECTIONS WHERE THESE CAMERAS ARE LOCATED, TAKE OFF THE OLD ONE AND REPLACE IT WITH A NEW ONE.

SO IS THAT FOR ALSO FOR ALL THE 1200 THAT YOU'RE DOING TO ULTIMATELY THAT WE WILL DO THAT FOR EVERY SINGLE CAMERA.

IT'S THE 600 OR SO THAT ARE INTERSECTION. THAT'S, THAT'S, THAT'S THAT WILL BE PRIORITIZED.

OKAY. SO YOUR STRATEGY IS TO MAKE SURE THAT THESE CAMERAS ARE BEING MONITORED AND ON FOR FIFA.

YES. AND NOW YOU'RE SAYING IF WE DON'T DO IT BY END OF FEBRUARY WHERE SOL.

WELL WE'RE NOT SOL BUT IT IT THAT WHEN WE LOOK AT THE TIME THAT IT WOULD TAKE TO REPLACE THOSE CAMERAS.

AND WE AND WE ALSO ESTIMATE BECAUSE WE NEED GOOD WEATHER TO, TO DO THE REPLACEMENT.

AND SO WE START LOOKING AT THE TIME AND THE TIME OF THE GAMES.

IT'S BECOMING IT'S BECOMING VERY TIGHT. BECAUSE YOU ALSO SAID SOMETHING ABOUT REPLACING IT DOESN'T NECESSARILY MEAN THEY WON'T BE MONITORED IF WE DON'T DO THIS.

THAT'S CORRECT. WE'LL STILL MONITOR YOU'RE STILL GOING TO BE ABLE TO MONITOR. YOU JUST MAY NOT HAVE THE TECHNOLOGY THAT YOU ARE THAT WE ARE THE OPTIMAL TECHNOLOGY.

SO LET'S BE CLEAR. YOU'RE STILL MAINTAINING YOUR STRATEGY OF LOOKING AT ALL THOSE INTERSECTIONS.

YOU'RE JUST NOT DOING IT WITH A MODERNIZED PIECE OF EQUIPMENT.

THAT'S CORRECT. OKAY. MY NEXT THING IS CAN WE SEE ARE WE ABLE TO SEE HOW THE VENDOR SCORED IN ALL THAT, ALL YOUR WORKING PAPERS AROUND THIS PROCUREMENT.

IN OTHER WORDS, YOU'VE NAMED OFF FOR ACCESS. WHATEVER.

CAN WE SEE? AND YOU'VE NAMED OFF. WHY HERE AND NOT HERE? BUT I KIND OF WANT TO READ IT MYSELF VERSUS I WOULD LOVE.

I MEAN, I JUST WANT TO READ IT MYSELF OF WHAT WE'RE COMPARING AND WHAT WE'RE BUYING.

ARE WE ABLE TO SEE THAT? BECAUSE ALL WE HAVE IN THE RESOLUTION IS BASICALLY THIS.

SO CAN WE SEE YOUR PROCUREMENT WORKING PAPERS? YES. WE TOOK WE HAD DEMO, WE HAD DEMOS FROM THESE VARIOUS VENDORS, AND WE TOOK NOTES ABOUT WHY THIS VENDOR WOULDN'T, WOULDN'T PERFORM OR WHY IT WOULD BE PROBLEMATIC.

I GUESS I'M TRYING TO SEE THE RANKING AND WHY THIS ONE OVER THAT ONE.

YES, IF WE COULD SEE THAT. BECAUSE IF WE'RE GOING TO SAY THAT IF WE DON'T MEET IT, BUT THIS DEADLINE, WE'RE GOING TO MAKE A DECISION, ETC.. SO IS THIS I UNDERSTAND THE FIFA AND PROTECTING OUR CITIZENRY.

ARE WE TRYING TO DO BOTH REALLY FAST? BECAUSE IT SOUNDS LIKE WE STILL HAVE THE MECHANISM IN PROTECTING OUR CITIZENRY, BUT THE UPDATE OF THIS IS WHAT YOU'RE LOOKING TO DO, THE UPDATE, THE MORE MODERNIZATION.

SO WE'RE STILL GOING TO PROTECT OUR CITIZENRY. ABSOLUTELY. WE'RE GOING TO USE WHATEVER EQUIPMENT WE HAVE. OKAY. SO WE STILL HAVE THAT IN PLACE.

YES. OKAY. ON THIS FTC, FEDERAL TRADE COMMISSION, I GUESS IT WAS A RELEASE FROM AUGUST 30TH,

[02:05:07]

ARE YOU FAMILIAR WITH THIS? AND THEY WERE USING THEIR OWN STAFF, AND AND I'M JUST CURIOUS, HOW DID THAT HAPPEN? AND, I MEAN, I'M JUST UNDERSTANDING I'M TRYING TO UNDERSTAND, IS THIS PRACTICE STILL HAPPENING WITH THIS COMPANY? SO BACK TO THE ORIGINAL ORDER. SO I WANT TO MAKE I WANT TO KIND OF SEPARATE THE TWO TO MAKE IT CLEAR.

SO THEY DID HAVE A DATA BREACH ON A SERVER THAT THEY WERE USING TO PUSH OUT CONFIGURATION UPLOADS TO TO THEIR SCENE.

THAT IS HOW THE DATA BREACH OCCURRED. THEY HAVE SINCE REMOVED THAT SERVER AND THEY'VE CHANGED THOSE PRACTICES AROUND THAT.

THE THE FINE WAS LEVIED FROM THE FTC, FROM EMAILS THAT THEY WERE SENDING OUT TO DRUM UP BUSINESS, WITHOUT THE ABILITY FOR INDIVIDUALS TO OPT OUT OR TO BE ABLE TO COUNCIL CONTACT THE COMPANY.

THEY WERE FINED FOR THAT, AND SINCE THEN THEY HAVE STOPPED THOSE PRACTICES.

SO AND SO THEY WERE FINED FOR NOT THE BREACH, BUT THE, I GUESS THE PR MECHANISM POST BREACH.

THAT IS CORRECT. AND THEY DON'T USE THOSE PRACTICES ANYMORE.

THAT IS CORRECT. OKAY. THANK YOU. THANK YOU. THE REASON WHY I REQUESTED A BRIEFING WAS TO MAKE SURE THAT WE'RE DOING GOOD BUSINESS WITH GOOD BUSINESSES.

THAT WAS THE REASON. AND I JUST WANT TO READ THIS.

THE FINDINGS THAT I FOUND LISTENING TO MY COLLEAGUES.

FTC IMPOSES RECORD PENALTY ON FOR DATA SECURITY FAILURES AND CAN-SPAM VIOLATIONS.

ON AUGUST THE 30TH, 2024, THE FEDERAL TRADE COMMISSION RELEASED A PROPOSED ORDER AGAINST THE SECURITY CAMERAS FIRM VERKADA, REQUIRING THE COMPANY TO DEVELOP AND IMPLEMENT A COMPREHENSIVE INFORMATION SECURITY PROGRAM.

IT SAYS THIS VIDEO WILL BE REQUIRED TO PAY A $2.9 MILLION FINE FOR VIOLATING THE CAN-SPAM ACT, MARKETING THE LARGEST PENALTY THE FTC HAS EVER IMPOSED FOR SUCH A VIOLATION, THE LARGEST EVER.

THE PENALTY ADDRESSES ALLEGATIONS THAT VERKADA FLOODED CUSTOMERS WITH COMMERCIAL EMAILS WITHOUT PROPER UNSUBSCRIBE OPTIONS.

THE COMPANY IS ALSO REQUIRED TO CREATE AND ENFORCE A COMPREHENSIVE INFORMATION SECURITY PROGRAM TO ADDRESS DATA SECURITY FAILURES.

THIS INCLUDES THIRD PARTY AUDITS TO ENSURE COMPLIANCE.

THE FTC'S COMPLAINT, FILED BY THE DEPARTMENT OF JUSTICE, ALLEGES THAT INADEQUATE SECURITY PRACTICES ALLOWED A HACKER TO ACCESS SENSITIVE VIDEO FOOTAGE FROM SECURITY CAMERAS. THIS BREACH AFFECTED THE DATA FROM PSYCHIATRIC HOSPITALS AND WOMEN'S HEALTH CLINIC.

RICOTTA IS ACCUSED OF FAILING TO IMPLEMENT BASIC SECURITY MEASURES SUCH AS UNIQUE PASSWORDS, DATA ENCRYPTION AND SECURE NETWORK. RICOTTA IS CHARGED WITH MISLEADING CONSUMERS ABOUT ITS ADHERENCE TO DATA PROTECTION STANDARDS, INCLUDING HIPA AND THE EU, US AND SWISS US PRIVACY SHIELD FRAMEWORKS.

THE COMPANY IS ALSO ACCUSED OF MISLEADING CONSUMERS BY DISCLOSING THAT SOME POSITIVE ONLINE REVIEWS OF ITS PRODUCT WERE WRITTEN BY ITS EMPLOYEES AT A VENTURE CAPITAL INVESTMENT. THIS. THIS IS A CONCERN FOR ME.

THESE ARE FACTS. THIS IS NOT THIS IS SOMETHING I READ, WE DISCUSSED.

AND SO WHEN I, WHEN I CALLED, I CALLED TO SAY, HEY, WE NEED TO MAKE SURE THAT WE'RE DOING GOOD BUSINESS WITH GOOD BUSINESSES. AND THE FACT THAT THIS WAS JUST DONE OR PAID ACCORDING TO WHAT I'M READING.

AUGUST 30TH, 2024, PROBABLY THE THE SETTLEMENT OR LAWSUIT, WHATEVER IT WAS 2.9 THAT WAS A CONCERN FOR ME BECAUSE IT HADN'T EVEN BEEN TWO YEARS.

AND THEN I ASKED FOR BECAUSE I WAS LISTENING TO COUNCILWOMAN BLACKMON I ASKED FOR LAST WEEK, CITY MANAGER GIBSON, TO GIVE ME THE VENDORS THAT I THINK YOU JUST QUOTED.

OFFICER THAT YOU GUYS THAT WENT OUT FOR THE RFP, HOWEVER, AND WHY YOU CHOSE THIS PARTICULAR COMPANY, I WAS NOT I DID NOT RECEIVE THAT INFORMATION.

AND SO I DID ASK THAT. AND I'M NOT TRYING TO BE DISRESPECTFUL TO THE ASSISTANT CITY MANAGER.

BUT THAT WAS REQUESTED AND I NEVER RECEIVED IT.

EVEN TO THIS DAY, I NEVER RECEIVED IT. BUT I APPRECIATE YOU FOR AT LEAST GIVING US THOSE INFORMATION, BUT I WOULD RATHER I WOULD LIKE TO HAVE SEEN THAT, TO UNDERSTAND THE PROCESS.

[02:10:02]

I REALLY APPRECIATE THE OPPORTUNITY TO SPEAK.

JUST WANT TO CLARIFY A COUPLE OF THINGS. SO TYPICALLY WHEN WE HAVE AN ACTUAL PROCUREMENT, WILL WE LAY OUT A SERIES OF SPECIFICATIONS AND WE DO A SERIES OF NOTIFICATIONS TO THAT PARTICULAR INDUSTRY? THEN WE TAKE IN A SERIES OF PROPOSALS, WE DO THE OWN INTERNAL EVALUATION, WE SCORE, AND THEN WE BRING AN AWARD TO COUNCIL.

THIS PARTICULAR CASE WE USE THE COOPERATIVE. AND THAT COOPERATIVE PROCESS WAS LED BY DPD.

AND WHAT THEY WERE DESCRIBING, THEY WERE DESCRIBING OTHER PEOPLE THAT THEY LOOKED AT THAT I'M ASSUMING HELP ME WITH THIS, WERE ALSO PEOPLE THAT WERE UNAVAILABLE COOPERATIVE.

SO IT WASN'T SOMETHING THAT WENT THROUGH A NATURAL PROCUREMENT PROCESS HERE.

THEY DID SOME KICK THE TIRES TESTING, RIGHT, WITH SOME OTHER CAMERA VENDORS THAT THEY WOULD BE ABLE TO TAKE FROM A COOPERATIVE.

SO IT WASN'T YOUR NATURAL PROCUREMENT THAT CAME THROUGH.

SO WHEN YOU ASK FOR OUR PROCUREMENT DOCUMENTS, I DIDN'T HAVE ANY SPECIFIC PROCUREMENT DOCUMENTS TO PROVIDE TO YOU.

NOW, WHAT I COULD HAVE DONE, WHICH I DIDN'T HAVE THE INFORMATION AT THE TIME, WAS IN UNDER THE COOPERATIVE BECAUSE WE ARE PIGGYBACKING OFF OF SOMEONE ELSE'S CONTRACT, WAS TO SCREEN AND FIGURE OUT WHO THE OTHER VENDORS WERE THAT WERE IN THAT COMPETITION.

WHENEVER THE COOPERATIVE, I BELIEVE, WAS THE DIR, WHENEVER THEY HAD THAT PROCESS.

AND AT THE TIME, I DIDN'T HAVE THAT INFORMATION WHEN YOU AND I TALKED.

SO THAT WAS A MISS ON MY PART. AND I FORGIVE ME IF THERE WAS SOME CONFUSION IN OUR CONVERSATION RELATED TO THAT.

BUT BUT THAT'S KIND OF THE MY UNDERSTANDING, UNLESS SOMEONE FROM DPD HAS A DIFFERENT REFERENCE POINT FOR THAT.

NO. AND THANK YOU FOR EXPLAINING THAT. AND I WOULD HAVE LIKE TO GET THAT INFORMATION FROM THEM AS WELL THROUGH YOU, BECAUSE I DID SPEAK WITH YOU AND YOU PROBABLY KNEW THE PROCESS, SO THE WHOLE COUNCIL CAN GET IT. MY CONCERN IS WHAT WHAT I READ THAT THAT WAS NOT DENIED DOING BUSINESS WITH THIS PARTICULAR COMPANY GIVES ME PAUSE BASED OFF THE HISTORY AND IT BEING SO RECENT.

THIS IS NOT SAYING, AS CHAIR MIDDLETON SAID, THAT WE NEED THESE UPGRADES AND FOR FIFA THAT IS RESPECT THAT I UNDERSTAND THAT MY CONCERN IS WHAT JUST TRANSPIRED AND IT IS NOT, IN MY OPINION, I DON'T FEEL COMFORTABLE AS ONE OF THE COUNCIL MEMBERS OF CITY OF DALLAS DOING BUSINESS WITH THIS PARTICULAR COMPANY, BASED OFF THE INFORMATION THAT WE HAVE, THAT IS CONCERN FOR ME. I DON'T THINK THAT IS GOOD BUSINESS, AND I'M JUST BEING PRUDENT WHEN IT COMES TO THE CITY OF DALLAS AND WHAT WE'RE NEEDING.

SO I WISH I WOULD HAVE HAD THAT INFORMATION. PRIOR TO THAT, I DID REQUEST IT WASN'T RECEIVED.

I UNDERSTAND THAT. AND SO THOSE THOSE ARE MY STATEMENTS CONCERNING THIS AND WHY IT WAS VERY IMPORTANT FOR US TO HAVE A BRIEFING.

AND SO I'M A ANYONE ELSE HAVE ANYTHING TO, TO TO ADD TO THAT? YES. MR. CHAIR, I'D LIKE TO ASK ASSISTANT CITY MANAGER GIBSON TO PROVIDE THE INFORMATION THAT I REQUESTED ABOUT THE EVALUATION OF THE LATEST AUDIT IN OUR FRIDAY MEMO EITHER THIS WEEK OR NEXT WEEK.

RECEIVED.

THE GENTLEMAN THAT WAS SITTING AT THE TABLE. I'M SORRY.

I DIDN'T UNDERSTAND WHAT HIS POSITION WAS.

COUNCIL MEMBER. MY NAME IS MAY. I'M A SOLUTIONS ENGINEER WITH VERKADA.

I'M A SOLUTIONS ENGINEER, SOLUTIONS ARCHITECT WITH VERKADA AND I HELPED THEM DESIGN THE SOLUTION.

WHAT CAMERAS ARE THE MOST EFFICIENT FOR EACH LOCATIONS, AND HOW TO GET ALL THOSE FEEDS BACK TO THE REAL TIME CRIME CENTER SO CERTAIN LOCATIONS DON'T HAVE INTERNET CONNECTIONS. WHAT'S THE OTHER WAYS TO DO IT? AND I HELP THEM DESIGN THE SOLUTION. SO YOU'RE HERE REALLY AS A TECHNICAL TO PROVIDE TECHNICAL.

YOU'RE NOT INVOLVED IN THE CONTRACTING OR THE OR THE OPERATION OF THE COMPANIES.

CORRECT? OKAY. THANK YOU. MAXI. CHAIR. MENDELSOHN.

THANK YOU. SO I UNDERSTAND WHY THERE IS SOME CONCERN.

AND I'LL JUST SAY, LIKE, WE NEED TO MAKE SURE THAT PROCUREMENT FOR ALL DEPARTMENTS IS DOING SIMPLE GOOGLE SEARCHES ON ALL OF THE RESPONDERS TO WHETHER IT'S AN RFP, RFQ. SO THAT WE'RE NOT SURPRISED.

RIGHT. THIS IS AN EXPENSIVE ITEM. THIS IS AN IMPORTANT ITEM.

COUNCIL MEMBER BLACKMON MADE THE POINT THAT THE CAMERAS IF THEY WEREN'T SWITCHED OUT, WOULD STILL PROVIDE EYES ON CERTAIN LOCATIONS.

BUT WHAT IT WOULDN'T DO THAT I THINK IS ESSENTIAL IS THAT NEXT STEP THAT WE'RE SEEKING, WHICH IS BEING ABLE TO PUT IN THAT KEYWORD AND SAY,

[02:15:04]

AND THE CAMERAS TODAY, DON'T TELL US THAT. AND THIS SYSTEM WILL ALSO IF THERE'S MULTIPLE VEHICLES INVOLVED IN THINGS, IF THERE'S SOMEBODY DRESSED IN A CERTAIN WAY, THESE KINDS OF DATA POINTS ALLOW OUR FIRST RESPONDERS TO GO EXACTLY WHERE IT'S NEEDED WITH THE RIGHT RESOURCES, KNOW WHAT THEY'RE WALKING INTO, AND EVEN BE ABLE TO ADDRESS IT IN A SAFER WAY FOR THE PUBLIC.

AND THESE ARE GOING TO BE LARGE POPULATION CENTERS.

I MEAN, YOU KNOW, GOD FORBID SOMETHING TERRIBLE HAPPENS AT FAIR PARK.

WE'RE GOING TO HAVE A LOT OF PEOPLE DOWN THERE FOR FAN FEST.

AND SO THIS IS ESSENTIAL. IT'S ESSENTIAL WE HAVE THIS IN BEFORE FIFA COMES UP.

DO I WISH THIS WAS SIX MONTHS AGO? YES. AND I BET ALL OF YOU DO AS WELL.

BECAUSE I KNOW THAT YOU'RE SWEATING TO TRY TO GET THIS IN ON TIME.

SO WHILE THERE MAY BE CONCERNS ABOUT WHAT HAPPENED IN 2020, 20 2021, 2021 AND THEN THE FINE THAT WAS PAID A COUPLE YEARS AGO, CLEARLY WE HAVE LARGE FEDERAL, STATE, LOCAL AND SCHOOL DISTRICTS THAT ARE USING THIS SYSTEM SUCCESSFULLY.

WITH SUCH A LARGE ADOPTION, I WOULD IMAGINE THAT IF THERE WAS AN ABILITY TO EASILY PENETRATE IT, IT WOULD ALREADY BE KNOWN. AND, YOU KNOW, I CAN IMAGINE IN THE TECH WORLD, THIS IS A VERY EMBARRASSING THING TO HAVE HAPPEN.

WE CERTAINLY FELT THAT WAY WHEN WE HAD BOTH DATA LOSS AND INTRUSION INTO OUR SYSTEM.

IT'S EMBARRASSING. AND IT MEANS YOU DOUBLE DOWN SO THAT IT DOESN'T HAPPEN AGAIN.

SO WITH THAT, I'M JUST GOING TO SAY, YOU KNOW, WE CAN'T KEEP BRINGING IT BACK.

WE HAVE TO MOVE IT FORWARD TO A VOTE. IF YOU CAN'T, IF YOU CAN'T VOTE FOR IT, THEN WE DON'T VOTE FOR IT.

BUT I THINK THE MAJORITY WILL BECAUSE IT'S ESSENTIAL.

AND YOU KNOW, I'M SURE YOU WISH THAT YOUR COMPANY DIDN'T HAVE THIS IN ITS HISTORY.

BUT YOU DO, AND YOU GOT TO KEEP GETTING PAST IT.

AND IT SOUNDS LIKE YOU HAVE SUCCESSFULLY GOTTEN PAST IT WITH MANY, MANY, MANY CAMERAS ACROSS AMERICA.

SO I'M JUST GOING TO SAY CHAIR, I KNOW THAT THIS IS CONCERNING TO YOU.

I KNOW YOU HAVE KNOWLEDGE AND EXPERTISE IN THIS AREA THAT YOU BRING WITH YOU, BUT I DO BELIEVE THIS SHOULD GO ON THE FULL COUNCIL AGENDA FOR OUR NEXT AGENDA MEETING. THANK YOU. THANK YOU. CHAIR MENDELSOHN.

ONE QUESTION IS IF WE IF WE WENT WITH A DIFFERENT VENDOR, THE COUNCIL DECIDED TO GO WITH A DIFFERENT VENDOR.

COULD WE STILL MAKE THAT 2020 FIFTH DATE OR WHATEVER THE FEBRUARY DATE THAT YOU GUYS ARE SUGGESTING? TO MEET YOUR DEADLINE? BECAUSE FROM WHAT I'M HEARING, THERE ARE OTHER VENDORS THAT THAT WAS ALSO LOOKED AT.

SO WOULD YOU STILL BE ABLE TO DO THAT IF THE COUNCIL DECIDED TO GO WITH A DIFFERENT VENDOR.

WELL, THE COUNCIL MEMBER THE THE AGENDA IS RIGHT NOW IS ON THE 25TH OF FEBRUARY.

SO I DON'T I DON'T KNOW THAT THAT WOULD BE ENOUGH TIME TO NEGOTIATE A, ANOTHER CONTRACT IF, FOR EXAMPLE, WE COULD LOOK AT IT THOUGH, IF, IF WE WERE TALKING ABOUT ANOTHER RESELLER.

SO FOR EXAMPLE, VERKADA DOES HAVE DIFFERENT RESELLERS.

WE COULD WE COULD LOOK AT ANOTHER RESELLER, BUT BUT THE SYSTEM ITSELF, LET ME SAY THE THE RESELLER IS NOT THE PROBLEM.

IT'S THE PROBLEM. SO IF, IF WE IF THE THE COUNCIL SAID WE DON'T WANT TO GO WITH THAT BUT GO WITH ANOTHER ONE.

WOULD WE BE ABLE TO DO THAT WITHIN THE TIME IF YOU HAD OR WOULD YOU HAVE TO DO THE WHOLE THING OVER IS WHAT I'M ASKING.

I DON'T KNOW IF THERE'S ENOUGH TIME TO TO TO LOOK AT ANOTHER SOLUTION THAT PROVIDES, THAT PROVIDES EVERYTHING THAT WE GET WITH RICOTTA, SUCH AS COMPLETELY IN THE CLOUD, WITH THE ANALYTICS INCLUDED WITH THE HIGHER PIXEL, HIGHER PIXEL MEGA CAMERAS. THOSE ARE ALL THINGS THAT WE DID NOT SEE WITH ANOTHER VENDOR.

AND SO I DON'T I'M NOT AWARE OF ANY OTHER SOLUTION THAT WE COULD POINT TO RIGHT NOW AND ACHIEVE THOSE THINGS.

CHAIRMAN, CAN I SAY SOMETHING REAL QUICK, PLEASE? ASSISTANT CHIEF VILLARREAL. SO NO, TO ANSWER YOUR QUESTION, I DON'T THINK IF WE WENT WITH ANOTHER VENDOR, WE COULD GET IT DONE IN TIME. I'M ONE OF THE LEAD PLANNERS FOR FIFA.

IT'S BEEN GREAT IMPORTANCE TO US. WE WOULD ASK FOR YOUR SUPPORT ON THIS. I THINK LOOKING AT THIS PARTICULAR VENDOR,

[02:20:05]

SO TO ANSWER YOUR QUESTION, I WOULD SAY NO. IF WE WENT WITH ANOTHER VENDOR, IT'S GOING TO GET PUSHED BACK.

WE ALL KNOW HOW THE PROCUREMENT PROCESS WORKS, AND I THINK THERE'S NOT ENOUGH TIME TO GET THESE INSTALLED BEFORE THE START OF FIFA.

OKAY. I WILL LEAVE IT AT THAT. I'LL PROBABLY SAY MY SOME OF MY COMMENTS FOR THE NEXT TIME WE DISCUSS THIS AT COUNCIL.

BUT I DO KNOW THAT THERE ARE OTHER VENDORS OUT THERE THAT CAN DO THIS.

I DO KNOW THAT FOR A FACT. HOWEVER, IT'S NOT MY JOB.

IT'S YOUR JOB TO FIND THOSE COMPANIES, OUR JOB TO MAKE SURE THAT WE'RE DOING GOOD BUSINESS AND BEING EFFICIENT.

AND SO I WILL LEAVE IT AT THAT. ANY OTHER COMMENTS? WE'RE GOING TO GO AHEAD AND DEFER. THANK YOU GUYS FOR YOUR PRESENTATION. WE'RE GOING TO GO AHEAD AND DEFER THE STIPENDS OVERVIEW OF STIPENDS AND PARTNERSHIP ACROSS ALL CITY DEPARTMENTS UNTIL THE NEXT MEETING, WHICH IS IN MARCH.

IF NOTHING ELSE. ANY OTHER COMMENTS? QUESTIONS? THE TIME IS TODAY IS FEBRUARY 9TH. THE TIME IS 1132, AND THE MEETING IS ADJOURNED.

THANK YOU.

* This transcript was compiled from uncorrected Closed Captioning.