Office of Economic Development

[8. 26-3436A Authorize a fifth amendment to the Tax Increment Development, Chapter 380 Grant, and Chapter 380 Loan Agreement (“2018 TIF/Chapter 380 Agreement”) with WCWRD Inc and its affiliates or subsidiaries (“Developer”), approved as to form by the City Attorney, related to the Reimagine RedBird Mall Redevelopment Project (“Project”), now known as the Shops at RedBird, generally located at the southeast corner of Camp Wisdom Road and Westmoreland Road in the Mall Area Redevelopment TIF District, specifically including modifications to Section 2.C (10) of the 2018 TIF/Chapter 380 Agreement and Section 8 of the Third Amendment to the 2018 TIF/Chapter 380 Agreement as further described below, and any modifications to any other associated Project documents as may be necessary to effectuate the specific modifications described below; and as consideration for the fifth amendment, require Developer to execute a no-cost lease to the City of Dallas Police Department for the creation of a Dallas Police Department Resource Center or Storefront within the Shops at RedBird with the following lease provisions: (i) minimum 5,000 square feet of premises; (ii) minimum seven-year term that shall remain in effect regardless of any change in ownership of the property or Project during the seven-year term; and (iii) cancellable only by the City of Dallas Police Department - Financing: This action has no cost consideration to the City (see Fiscal Information) *In alignment with Economic Development Incentive Policy.]

CHAPTER 380 GRANT AND CHAPTER 380 LOAN AGREEMENT, 2018 TIF CHAPTER 380 AGREEMENT WITH WCWRD INC. AND ITS AFFILIATES OR SUBSIDIARIES. DEVELOPER APPROVED AS TO FORM BY THE CITY ATTORNEY RELATED TO THE REIMAGINED RED BIRD MALL REDEVELOPMENT PROJECT PROJECT, NOW KNOWN AS THE SHOPPES AT RED BIRD, GENERALLY LOCATED AT THE SOUTHEAST CORNER OF CAMP WISDOM ROAD AND WESTMORELAND ROAD IN THE MALL AREA. REDEVELOPMENT TIF DISTRICT SPECIFICALLY INCLUDING MODIFICATIONS TO SECTION TWO POINT C TEN OF THE 2018 TIFF CHAPTER THREE AGREEMENT AND SECTION EIGHT OF THE THIRD AGREEMENT AMENDMENT TO THE 2018 TIFF CHAPTER THREE AGREEMENT,

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AS FURTHER DESCRIBED BELOW, AND ANY MODIFICATIONS TO ANY OTHER ASSOCIATED PROJECT DOCUMENTS AS MAY BE NECESSARY TO EFFECTUATE THE SPECIFIC MODIFICATION DESCRIBED BELOW AND AS CONSIDERATION FOR THE FIFTH AMENDMENT REQUIRED.

DEVELOPER TO EXECUTE A NO COST LEASE TO THE CITY OF DALLAS POLICE DEPARTMENT FOR THE CREATION OF A DALLAS POLICE DEPARTMENT RESOURCE CENTER, OR STOREFRONT WITHIN THE SHOPS AT RED BIRD WITH THE FOLLOWING LEASE PROVISIONS.

ONE MINIMUM 5000FT² OF PREMISES. TWO MINIMUM SEVEN YEAR TERM THAT SHALL REMAIN IN EFFECT REGARDLESS OF ANY CHANGES IN OWNERSHIP OF ANY CHANGE IN OWNERSHIP OF THE PROPERTY OR PROJECT DURING THE SEVEN YEAR TERM AND THREE COUNCIL ONLY BY THE CITY OF DALLAS POLICE DEPARTMENT. YOU DO HAVE THREE INDIVIDUALS WHO HAVE SIGNED UP TO SPEAK ON THIS ITEM.

YOUR FIRST SPEAKER, DEBORAH HUNTER JOHNSON. GOOD MORNING, AND THANK YOU FOR ALLOWING ME TIME TO SPEAK TODAY.

I LIVE IN DISTRICT 13. I'M AN ATTORNEY, BUSINESS CONSULTANT.

I'M ACTIVE IN THE COMMUNITY, AND I WAS ONE OF THE VERY EARLY INVESTORS AT THE SHOPPES AT REDBIRD.

I SOUGHT OUT THIS INVESTMENT. I WASN'T APPROACHED ABOUT IT, BUT I SOUGHT OUT TO PARTICIPATE FOR SEVERAL REASONS.

FIRST OF ALL, I THOUGHT IT WAS A TREMENDOUS OPPORTUNITY FOR A STRONG ROI FROM THIS INVESTMENT.

I THOUGHT IT WAS AN OPPORTUNITY TO SPUR ECONOMIC DEVELOPMENT IN SOUTHERN DALLAS, AND I THOUGHT IT WAS AN OPPORTUNITY TO STRENGTHEN THE CITY OF DALLAS OVERALL.

I HAVE BEEN SO IMPRESSED WITH THE LEADERSHIP AT THE SHOPPES AT REDBIRD, WITH PETER BRODSKY AND TERENCE MAIDEN LEADING THE WAY.

THIS IS NOT EASY WORK WHEN YOU'RE TRYING TO DO THIS TYPE OF ECONOMIC DEVELOPMENT IN AN UNDERUTILIZED PART OF THE CITY, AND THEY'VE NAVIGATED A MYRIAD OF CHALLENGES WITH DETERMINATION, MENTAL FORTITUDE, AND AN UNMATCHED DEGREE OF PATIENCE.

I MUST SAY I AM VERY IMPRESSED THAT THEY TREAT ME AS SMART MONEY AS THEY DO ALL OF THE INVESTORS, NOT PASSIVE. WE ARE ALL PARTNERS. THEY COME TO US ON DIFFICULT ISSUES.

FOR EXAMPLE, WE HAD A SITUATION WHERE WE HAD A POTENTIALLY VERY LUCRATIVE PARTNERSHIP THAT WE COULD HAVE GOTTEN INTO, BUT IT WAS COUNTER TO PETER BRODSKY'S COMMITMENT TO PROVIDE QUALITY AMENITIES AND TO UPLIFT THE COMMUNITY.

AND WE ALL TALKED ABOUT IT AND DECIDED THAT WE DID NOT WANT TO PURSUE THAT INVESTMENT, EVEN THOUGH IT COULD HAVE BEEN VERY LUCRATIVE BECAUSE IT WAS INCONSISTENT WITH THE COMMITMENTS THAT WE HAD MADE TO THE CITY. AND WHEN YOU DO THOSE TYPES OF THINGS, YOU HAVE TO BE PATIENT BECAUSE IT HAS TAKEN A LONG TIME TO IDENTIFY OTHER EQUALLY LUCRATIVE OPPORTUNITIES THAT WILL ALSO SERVE THE COMMUNITY.

SO IT TAKES TIME TO MAKE THAT HAPPEN. AND EVEN THOUGH I WOULD HAVE BENEFITED MORE AS AN INVESTOR BY HAVING DONE THE OTHER DEAL, IT DIDN'T MAKE SENSE TO TRY TO TO. IT DIDN'T SUPPORT WHAT WE WERE TRYING TO DO IN BUILDING A SUSTAINABLE SHOPPES AT REDBIRD THAT WOULD BENEFIT THE BENEFIT SOUTHERN DALLAS. WHAT I DO KNOW IS THIS WORK LIKE THIS TAKES TIME.

IT TAKES CITY SUPPORT. AND WHEN I MADE MY DECISION TO INVEST, IT WAS WITH THE UNDERSTANDING THAT THE CITY WAS IN FULL SUPPORT.

AND IT'S MY FERVENT HOPE THAT THE CITY WILL CONTINUE TO BE A STRONG SUPPORTER OF THIS PROJECT, BECAUSE IT WILL SIGNAL TO INVESTORS LIKE ME THAT THE CITY OF DALLAS IS INTERESTED IN PUBLIC PRIVATE PARTNERSHIPS AND THAT IS.

IT IS A SMART PLACE TO INVEST IN. THANK YOU FOR YOUR FOR GIVING ME THE TIME TO TALK TODAY.

THANK YOU. PATRICK VALDES.

GOOD MORNING MAYOR. CITY COUNCIL MEMBERS. I'M DOCTOR PATRICK VALDES, DEPUTY TO THE PRESIDENT AT UNT DALLAS.

AND I'M HERE ON BEHALF OF PRESIDENT WARREN VON ESCHENBACH TO SUPPORT THE SHOPPES AT REDBIRD AND PETER BRODSKY'S VISION FOR SOUTHERN DALLAS.

THANK YOU FOR SUPPORTING UNT DALLAS AND INVESTING IN REDBIRD.

A SPECIAL THANKS TO COUNCIL MEMBER LORI BLAIR, WHO REPRESENTS OUR UNIVERSITY FOR YOUR LEADERSHIP AND PARTNERSHIP AS DALLAS ONLY PUBLIC FOUR YEAR UNIVERSITY. WE MAKE OPPORTUNITY TANGIBLE.

MORE THAN 70% OF OUR STUDENTS ARE FIRST GENERATION AND MORE THAN HALF GRADUATE DEBT FREE.

OUR TRAILBLAZER TUITION TRUST COVERS TUITION AND MANDATORY FEES FOR ELIGIBLE STUDENTS FROM FAMILIES EARNING $100,000 OR LESS.

AND FOR A LARGE PERCENTAGE OF OUR STUDENT POPULATION, WE ARE THE ONLY MEANINGFUL FOUR YEAR EDUCATIONAL OPPORTUNITY THAT IS AVAILABLE TO THEM.

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PETER APPROACHES OUR PARTNERSHIP WITH WARMTH AND A COMMITMENT TO THIS COMMUNITY, AND A REAL DESIRE AND PASSION TO SUPPORT THE ECONOMIC DEVELOPMENT GROWTH IN SOUTHERN DALLAS AND FOR WHAT THAT MEANS, NOT ONLY FOR REDBIRD, BUT WHAT IT MEANS FOR THE ENTIRE COMMUNITY. HE FREQUENTLY CHAMPIONS UN T DALLAS PUBLICLY.

IN FACT, AT A FEW ECONOMIC DEVELOPMENT FORUMS FORUMS, I'VE HEARD HIM SAY THAT WE ARE THE MOST IMPORTANT THING HAPPENING IN SOUTHERN DALLAS.

TOGETHER, WE ARE CURRENTLY EXPLORING A LEARNING SPACE AT REDBIRD, A LIVING LABORATORY FOR STUDENTS AS AN INCUBATOR FOR LOCAL STARTUPS, CONNECTING CAREER READY LEARNING WITH SUPPORT FOR OUR LOCAL ENTREPRENEURS.

AND WE BELIEVE THAT WILL HAVE A TREMENDOUS IMPACT ON THE LOCAL ECONOMIC DEVELOPMENT OF THAT AREA, BUT ALSO THE ENTIRE REGION. SO REDBIRD IS MORE THAN A MALL ALONGSIDE UNT DALLAS.

IT IS AN ANCHOR IN AN ECONOMIC ECOSYSTEM CONNECTING EDUCATION, HOUSING, HEALTH CARE AND COMMERCE.

THOSE CONNECTIONS MATTER NOT ONLY TO THE BUSINESSES AT REDBIRD, BUT ALSO TO COMPANIES CONSIDERING A MOVE TO SOUTHERN DALLAS.

COMPANIES SEEKING TALENT, UNIVERSITY PARTNERSHIPS AND A COMMUNITY WHERE THEY CAN THRIVE.

PETER'S VISION AND CONFIDENCE IN PARTNERING WITH UNT DALLAS STRENGTHENS THAT ECOSYSTEM.

WE SUPPORT HIS VISION BECAUSE IT ADVANCES WHAT WE ALL WANT AN ECONOMICALLY VIBRANT SOUTHERN DALLAS WHERE BUSINESSES GROW, RESIDENTS PROSPER, AND OPPORTUNITY TAKES ROOT.

THANK YOU FOR HELPING BUILD THAT FUTURE. THANK YOU.

TERRANCE MADDEN. TERRANCE MADDEN. IT'S NOT ONLINE.

NOT IN THE AUDIENCE. NOT PRESENT. THERE ARE NO FURTHER SPEAKERS FOR THIS ITEM.

THIS ITEM, MR. MAYOR, WAS PULLED BY COUNCIL MEMBER BLAIR MENDELSOHN AND GRACEY.

IS THERE A MOTION OR A MOTION TO APPROVE IN A SECOND.

IS THERE ANY DISCUSSION? MISS BLAIR, YOU'RE FIRST IN THE QUEUE.

YOU RECOGNIZED FOR FIVE MINUTES. THANK YOU, MR. MAYOR. THE DP LET ME START OFF WITH SAYING THAT THIS HAS BEEN A A LIFETIME ACHIEVEMENT. I REMEMBER WHEN REDBIRD WAS MALL AND I REMEMBER IT CHANGED.

I WATCHED IT STRUGGLE AND I NOW I SEE IT GROW.

FOR ME, THIS AMENDMENT IS MORE THAN THE CONTINUED REDEVELOPMENT OF REDBIRD.

IT'S ABOUT PUBLIC SAFETY, ECONOMIC DEVELOPMENT AND CREATING LONG TERM OPPORTUNITIES FOR DISTRICT EIGHT IN THE SOUTHERN SECTOR OF DALLAS.

UNDER THE. UNDER THE ORIGINAL AGREEMENT, THE DEVELOPER WAS REQUIRED TO CONSTRUCT 40,000FT² OF NEW RETAIL, RESTAURANT AND ENTERTAINMENT SPACE. TO DATE, APPROXIMATELY 34 35,000FT² HAVE BEEN COMPLETED.

TODAY WE HEARD THAT THERE WILL BE A OPERATION FOR OUR DPD TO SIT AGAIN IN REDBIRD. FOR THOSE WHO HAVE SAID THAT WE NEED MORE SAFETY AND MORE POLICE PRESENCE IN THIS COMMUNITY, THIS GIVES US THAT. IT ALSO GIVES THE SOUTHWEST AREA AN OPPORTUNITY TO HAVE A STOREFRONT LOCALLY, INSTEAD OF HAVING TO DRIVE SO FAR INTO THE COMMUNITY FROM THE COMMUNITY.

WE ALSO HEARD FROM UN TD THAT THERE IS THE OPPORTUNITY.

LET ME SAY THIS. THIS IS THE FIRST TIME YOU'RE HEARING THIS.

THIS IS THE OPPORTUNITY FOR AN INCUBATOR TO HAPPEN IN A PARTNERSHIP WITH RED BIRD AND UN T D FOR NEW BUSINESSES AND ENTREPRENEURS WITHIN THE SOUTHERN SECTOR TO SURVIVE AND THRIVE, NOT JUST COME IN FOR A YEAR AND GO AWAY.

AND ONE OF THE THINGS I HAVE SEEN, IF WE WANT BIG BOX IN OUR COMMUNITY, WE HAVE TO START SMALL.

WE HAVE TO START WITH SMALL INVESTORS, SMALL ENTREPRENEURS WHO WANT TO COME IN AND DO THE WORK THAT IS NEEDED IN ORDER FOR THEM TO LAST.

I DO HAVE ONE QUESTION. CAN I ASK PETER, MR. MAYOR, TO ANSWER A QUESTION FOR ME? YES.

MR. BROSKY. I KNOW I YOU KNOW, I ALWAYS GO STRAIGHT TO THE SOURCE AND AND AND I GET RID OF THE ELEPHANTS IN THE ROOM.

SO I'M GOING TO DO THAT WITH YOU RIGHT NOW. ANY CHANGES THAT WE'RE DOING IN THIS FIFTH AMENDMENT, IS IT FOR YOU TO SELL RED BIRD? NO. DIDN'T YOU ALSO MAKE SOME CHANGES, SOMETHING SIMILAR TO THIS? BACK IN 2018, I READ EVERY ONE OF THE AMENDMENTS AND IN 2018 YOU DID THE SAME SIMILAR ACTIVITY.

IS THAT NOT CORRECT? I THINK IT WAS 2020, BUT YES.

YEAH. ABOUT 2018, 2020. OKAY. BUT SO DID YOU SELL IT THEN?

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NO. OKAY. SO THE INTENT IS NOT TO MAKE ANY CHANGES TODAY FOR A SALE TOMORROW.

CORRECT? THAT'S CORRECT. THANK YOU VERY MUCH, MR. BROSKY. SO WITH THAT WITH THAT BEING ANSWERED, I ASK THAT WE PUT OUR WE ALLOW OUR VISION TO GO FORWARD. RED BIRD REPRESENTS AN OPPORTUNITY TO CONNECT PUBLIC SAFETY, ENTREPRENEURSHIP, AND PRIVATE INVESTMENTS IN A WAY THAT STRENGTHENS DISTRICT EIGHT AND THE SOUTHERN SECTOR FOR GENERATIONS TO COME.

IT ALSO IS THIS. THESE CHANGES AND THESE OPPORTUNITY IS ALSO GOING TO SUPPORT THE PIT, THE THE REDBIRD PIT THAT I SHARE WITH COUNCIL, WITH CHAIR GRACEY. THIS GIVES US THE OPPORTUNITY TO MAKE SURE THAT DPD HAS WHAT THEY NEED.

ENTREPRENEURS HAVE WHAT THEY NEED. BUSINESSES CAN START CAN THRIVE IN THE SOUTHERN SECTOR, AND WE CAN MOVE FORWARD MAKING SURE OUR PIT GETS FUNDED THROUGH THE RIGHT CHANNELS AND WE CAN AND WE CAN GROW IN THE SOUTHERN SECTOR.

I ASK THAT YOU GUYS TO SUPPORT THIS. THANK YOU SO MUCH, MR. MAYOR. MISS MENDELSOHN, YOU RECOGNIZE FOR FIVE MINUTES AGENDA ITEM EIGHT.

THANK YOU. SO THERE WAS A PRESENTATION TO THE ECONOMIC DEVELOPMENT COMMITTEE.

I'VE READ IT. THE HISTORY OF REDBIRD IS NOT FULLY.

EVEN THOUGH IT'S PRETTY LONG PRESENTATION, IT'S ACTUALLY NOT FULLY REPRESENTED IN THE SLIDE DECK BECAUSE THERE'S ITEMS OF LOAN MODIFICATIONS AND OTHER RELEASE OF COLLATERAL CHANGE OF LOAN DISBURSEMENTS THAT AREN'T CAPTURED IN THAT PRESENTATION.

SO I'M JUST GOING TO QUICKLY GO THROUGH THIS HISTORY 2016.

WE AUTHORIZED $2.4 MILLION GRANT. 2018 AUTHORIZED AN ADDITIONAL $10 MILLION GRANT, A 12 MILLION INTEREST ONLY LOAN, AND A 15.6 MILLION TIF FUNDING. 2020 ANOTHER 3 MILLION GRANT FUNDING.

WE RELEASED COLLATERAL CHANGE, THE LOAN DISBURSEMENT CONDITIONS AND ELIMINATED CERTAIN PAYMENTS TO THE CITY FROM PROJECT CASH FLOW.

2021 WE EXTENDED THE MATURITY OF THE $12 MILLION LOAN BY FIVE YEARS TO 2038.

WE REDUCED THE REQUIRED NEW RETAIL, RESTAURANT AND ENTERTAINMENT CONSTRUCTION FROM 100,000FT TO 40,000.

IT WAS NOT ORIGINALLY 40,000, AND WE AUTHORIZED 8.3 MILLION IN SUBSIDIES FOR PALLADIUM.

THAT WAS A GOOD PROJECT. 2022. WE AUTHORIZED APPROXIMATELY 3.3 MILLION IN HOTEL INCENTIVES.

2023 APPROVED 5.8 MILLION INCENTIVES FOR THE TOM THUMB GROCERY STORE.

2024. WE AMENDED THE AGREEMENT AGAIN. WE EXCLUDED THE MACY'S BUILDING FROM THE MINIMUM OCCUPANCY OF 60%, AND WE ALLOWED IN A DEVELOPMENT PARTNER BEFORE THE CITY WOULD BE REPAID.

EVERY ONE OF THESE HAS BEEN FAVORABLE TO THE REDBIRD DEVELOPMENT, NOT TO THE CITY.

EVERY TIME WE GIVE UP SOMETHING. SO NOW WE'RE BEING ASKED FOR A FIFTH AMENDMENT.

IT LOOKS LIKE THERE'S BEEN APPROXIMATELY $60 MILLION OF AUTHORIZATIONS, ALTHOUGH SOME ARE CONTINGENT AND SOME ARE LOANS AND SOME I DON'T BELIEVE HAVE EVER BEEN DISBURSED. SO. BUT NOW WE'RE BEING ASKED TO REDUCE THAT MINIMUM NEW RETAIL RESTAURANT ENTERTAINMENT FROM THE 40,000 TO 34,000. SO AGAIN, IT WAS 100,000FT² IN 2021.

SO I'M TRYING TO UNDERSTAND WHY WOULD WE LOWER IT AGAIN INSTEAD OF REQUIRING THE DEVELOPER TO FULFILL THEIR AGREEMENT? GOOD MORNING, COUNCIL MEMBERS. ROBIN BENTLEY WITH THE CITY MANAGER'S OFFICE.

THANK YOU FOR THE RECAP. THERE'S BEEN A LONG HISTORY ON THIS PROJECT.

YOU PHRASED IT AS THE CITY HAS BEEN GIVING UP THINGS ALONG THE WAY.

AND IF YOU READ THE ITEMS, THAT'S NOT ACCURATE. WE'VE BEEN EXCHANGING THINGS ALONG THE WAY. SO IF WE REMOVE SOMETHING FROM THE DEAL, WE ASK FOR NEW CONSIDERATION FOR THE CITY AND THIS DEAL.

SAME THING. WE'RE REDUCING THE RETAIL FROM 40,000 TO 40,000FT² TO 35.

I BELIEVE WE HAVE BEEN THE LOSER IN THAT NEGOTIATION, AND THAT THE COUNCIL APPROVED THE EXCHANGE EVERY SINGLE TIME.

SO, OKAY, I I'M I DON'T AGREE WITH THAT CHARACTERIZATION, BUT CAN YOU EXPLAIN TO ME WHY WE WOULD DO THIS? SURE. THE POLICE DEPARTMENT HAS LONG SOUGHT A STOREFRONT IN REDBIRD MALL OF ABOUT 5000FT².

WE ASKED FOR 40,000FT² OF RETAIL, 35,000FT² HAVE BEEN DELIVERED.

AND SO INSTEAD OF WAITING FOR 5000 MORE SQUARE FEET OF RETAIL, WE ASKED FOR A FREE POLICE STOREFRONT IN EXCHANGE TO EXCHANGE THOSE SQUARE FOOTAGES

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INSTEAD OF THE RETAIL, WE WOULD DO THE STOREFRONT.

SO WE'RE ENDING UP IN THE SAME PLACE ESSENTIALLY.

I'M JUST GOING TO SAY, I'VE NEVER HEARD THEM SAY THAT THEY NEEDED A RETAIL AT REDBIRD.

WELL, ON SEVEN YEARS. I'VE NEVER HEARD THAT, JUST SO YOU KNOW.

SO MY NEXT QUESTION IS, HOW MUCH OF THE 34,000 IS OCCUPIED BY NONPROFITS AND ENTITIES WITH TAX ABATEMENTS? I WOULD ASK THE DEVELOPER TO ANSWER, I'M NOT SURE.

KEVIN SPATH, THE DIRECTOR, I DON'T THINK ANY IS OCCUPIED BY NONPROFITS, BUT WE COULD ASK THE DEVELOPER TO CONFIRM THAT.

GOOD AFTERNOON. GOOD MORNING. NONE. THE TENANTS OF THE 34,000 ARE FOOT LOCKER, STARBUCKS AUNTIE ANNE'S AND JAMBA JUICE, AT&T CHICK FIL A, PNC BANK AND WINGSTOP. IN ADDITION, THERE'S 10,000FT² OF RENOVATED RETAIL. THAT DOESN'T COUNT UNDER THE NARROW DEFINITION IN THE DOCUMENT.

AND THAT IS OCCUPIED BY MOE'S ITALIAN BISTRO, BREAKFAST BROTHERS, WOW DENTAL AND FROST BANK.

SO THOSE ARE THE TENANTS IN THE 34,000 PLUS TEN.

THANK YOU. AND THE NEXT QUESTION I HAVE FOR YOU IS WHAT IS THE ACTUAL CUMULATIVE AMOUNT OF TAXPAYER DOLLARS THAT HAVE BEEN DISBURSED FOR REDBIRD.

SO THAT WOULD INCLUDE GRANTS, LOANS, TIF IS YOUR QUESTION ONLY REFERRING TO THE DEVELOPER BECAUSE THERE'S SEVERAL COMPONENTS IN THE HISTORY AS YOU DESCRIBED, THAT HAVE NOTHING DIRECTLY TO DO WITH THE DEVELOPER.

THEY WERE TO BE DELIVERED BY OTHER PARTIES. SO IS YOUR QUESTION ABOUT JUST THE DEVELOPER? MY QUESTION IS ABOUT WHAT THE CITY HAS CONTRIBUTED TO THE PROJECT BEING DELIVERED BY THE DEVELOPER ONLY.

WELL, I GUESS WHY DON'T YOU ANSWER IT BOTH WAYS? SO THE COUNCIL HAS APPROVED A $12 MILLION LOAN AND TEN PLUS THREE.

SO $13 MILLION GRANT TO THIS PROJECT. AND HOW WOULD YOU HAVE ANSWERED IT THE OTHER DIRECTION? THEN I'D HAVE TO OPEN THE THE HISTORY AND GO THROUGH IT AGAIN.

ALSO, I WOULD LIKE TO CLARIFY THAT THE 15.6 MILLION FROM THE MALL AREA REDEVELOPMENT DISTRICT DOES NOT ACTUALLY GO TO THE DEVELOPER.

IT HAS HAS BEEN REASSIGNED BACK TO THE CITY TO HELP PAY DOWN THE LOAN.

SO TAX DOLLARS THAT WE DIDN'T RECEIVE AND WE DEFERRED TO THE TIF THEN REPAID OUR OWN FUNDS.

THAT'S THE OKAY. THAT'S THE WAY IT'S SAYING. I MEAN SO.

THE TOM THUMB STORE WAS A DIRECT INCENTIVE TO TOM THUMB THAT OBVIOUSLY DID NOT MOVE FORWARD.

THAT WAS 2023. THE HOTEL THAT YOU CITED IN 2022.

THAT WAS 3.3 MILLION. THAT PROJECT ALSO DID NOT MOVE FORWARD DUE TO MACROECONOMIC CONDITIONS.

PALLADIUM RED BIRD WAS DELIVERED BY A PARTNERSHIP THROUGH PALLADIUM AND THE HFC.

THE CITY, THROUGH THE HOUSING DEPARTMENT DID COMMIT 8.3 MILLION TO THAT PROJECT.

I THINK I'VE LEFT. I DON'T KNOW IF I'VE LEFT OUT ANY OTHERS.

I'LL STOP THERE. SO BY MY ACCOUNT THEN IT'S OVER 50 MILLION.

OKAY. HAS THE LOAN BEEN REPAID? SO THE WAY THE DEAL STRUCTURE WORKS IS THE INCREMENT GENERATED BY THIS SUB DISTRICT, AS WELL AS 10% OF INCREMENT CREATED AND GENERATED EACH YEAR BY THE MONTFORT AREA SUB DISTRICT.

THEY ARE COMMITTED TO PAY DOWN BOTH THE INTEREST AND THE PRINCIPAL ON THE LOAN.

BECAUSE THE MONTFORT AREA IS NOT GENERATING MUCH INCREMENT.

THIS LOAN STILL HAS A $12.3 MILLION BALANCE, SO 12 MILLION IN PRINCIPAL AND ABOUT 300,000 IN ACCRUED INTEREST.

THAT HASN'T BEEN PAID DOWN. SO THE ANSWER IS NO.

THE ANSWER IS NO. HAS ANY OF IT BEEN REPAID? IT'S NOT OBLIGATED TO REPAY UNTIL IT MATURES IN 2038.

OKAY. IF THE PROPERTY SOLD AT THAT POINT, IS THE LOAN REPAID OR IT'S STILL REPAID BY THE TIF. SO THE WAY THE AGREEMENT WORKS AND THAT AMENDMENT WAS 2021 INSTEAD OF 2020.

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THERE ARE SIX SPECIFIC PROJECT CONDITIONS OF SALE THAT ALLOW THE CITY THROUGH THE CITY MANAGER ASSISTANT CITY MANAGER TO APPROVE IN WRITING A SALE OF THE PROJECT. SO I CAN READ OFF THOSE SIX ITEMS, BUT BASICALLY THE, THE INFRASTRUCTURE AND THE PROGRAMMATIC REQUIREMENTS OF THE AGREEMENT HAVE TO BE SATISFIED. WE NEED 60 DAYS PRIOR WRITTEN NOTICE AND SUFFICIENT FINANCIAL DETAILS AND THE PURCHASE AND SALE AGREEMENT FOR US TO BE ABLE TO REVIEW THE POTENTIAL THIRD PARTY PURCHASER. THE DEVELOPER CANNOT BE IN DEFAULT AT THE TIME.

THE THIRD PARTY PURCHASER MUST AGREE TO ASSUME ALL OBLIGATIONS UNDER THE AGREEMENT.

THE PROMISSORY NOTE, THE DEED OF TRUST. NUMBER FIVE, THE THIRD PARTY PURCHASER MUST OFFER UP A LOAN GUARANTOR ACCEPTABLE TO US LOAN GUARANTEE ACCEPTABLE TO US. AND NUMBER SIX, THE THIRD PARTY PURCHASER.

IF IF IF THEY'RE FINANCING THE ACQUISITION THROUGH A LOAN, THEY HAVE TO BE PREPARED TO SUBORDINATE OR HAVE US SUBORDINATE ACCORDING TO OUR TERMS. SO THE ANSWER TO YOUR QUESTION IS NO. THE LOAN DOESN'T HAVE TO BE PAID OFF IF THE PROJECT SAIL, THE PROJECT SELLS TO A THIRD PARTY. SO SPEAKING OF SALES, WHY WOULD THE CITY AGREE TO CHANGE THE LANGUAGE THAT REPLACES DISCRETION WITH MANDATORY LANGUAGE? RIGHT. SO WHAT'S CHANGING IS A TERM. SO RIGHT NOW THE SALE OF THE PROPERTY, THE APPROVAL OF THE BUYER IS IN MY SOLE DISCRETION.

IT WAS DRAFTED WAY BEFORE I WAS IN THIS SEAT.

BUT THAT'S THE WAY IT'S DRAFTED. WHAT THE OWNER HAS ASKED FOR IS TO CHANGE IT FROM MY SOLE DISCRETION TO MY REASONABLE DISCRETION.

I DON'T REALLY SEE A DISTINCTION THERE. I'M GOING TO LOOK AT THE EXPERIENCE, FINANCIAL CAPACITY, LIQUIDITY AND OTHER YOU KNOW, CRITERIA TO EVALUATE ANY POTENTIAL BUYER OF THE PROPERTY AND MAKE SURE THAT THEY CAN SATISFY OUR LOAN COMMITMENTS, THAT THEY CAN SIGN A GUARANTEE THAT SATISFIES THE CITY ATTORNEY.

ALL OF THE THINGS I WOULD DO, NO MATTER WHAT THE WORD HERE WAS.

AND IF I AM NOT COMFORTABLE WITH THE PROPOSED OWNER, I ALWAYS HAVE THE OPTION JUST TO BRING IT TO COUNCIL AND LET YOU ALL DECIDE.

NOTHING HAS CHANGED, IN MY VIEW, OTHER THAN THE WORD SOUL CHANGING TO REASONABLE AND AS WELL.

THERE'S A WORD CHANGE FROM MAY TO SHALL. YES.

WELL, THAT'S A VERY BIG DIFFERENCE. I DON'T THINK THAT THERE IS A DIFFERENCE.

IT'S THE SAME EVALUATION I WOULD HAVE DONE EITHER WAY.

AND LIKE I SAID, ONE OF THEM IS TELLING YOU YOU SHALL DO IT.

AND ONE OF THEM IS SAYING YOU MIGHT. IF ALL OF THOSE THINGS ARE SATISFIED, WELL, THERE'S A BIG DIFFERENCE IN DISCRETION.

I WILL SAY, CITY ATTORNEY, I'M CONCERNED THAT SUCH A DECISION WOULD BE LEFT TO AN ASSISTANT CITY MANAGER INSTEAD OF THE CITY MANAGER.

WELL, THAT'S THE AGREEMENT THAT THE COUNCIL APPROVED YEARS AGO. THIS IS NOT A CHANGE. WELL, IF WE'RE CHANGING TERMS, WHY AREN'T WE CHANGING IT TO BETTER SUIT GOOD GOVERNANCE? THE THIS SORT OF I MEAN, THIS IS A VERY BIG INVESTMENT FOR THE CITY, AND IT SEEMS THAT OUR CITY MANAGER SHOULD ACTUALLY BE THE PERSON TO MAKE THAT AND HAVE THAT KIND OF DISCRETION. THE COUNCIL DOESN'T HIRE OR FIRE AN ASSISTANT CITY MANAGER.

I HEAR THE CONCERN. I'M TELLING YOU, THE WAY IT WAS DRAFTED, WHEN THIS AGREEMENT WAS PUT TOGETHER, IT WAS THE CHIEF OF ECONOMIC DEVELOPMENT OR THEIR SUCCESSOR. AT THAT TIME, IT WAS DOCTOR ERIC JOHNSON.

DOCTOR JOHNSON IS NO LONGER HERE. THAT POSITION NO LONGER EXISTS.

SO IT WOULD BE ME. DOES THE DEVELOPER STILL HAVE A REQUIREMENT OR COMMITMENT TO DELIVERING A FULL SERVICE GROCERY STORE? NO. SATISFIED THAT.

FOR THE POLICE. FOR THE STOREFRONT. WHAT IS THE OPERATIONAL NEED FOR THAT? WILL IT BE STAFFED 24 OVER SEVEN. AND WHAT ARE THE OPERATING COSTS? I'LL DEFER TO DPD.

THE POLICE STATION WILL NOT BE STAFFED 24 OVER SEVEN.

IT WILL BE STAFFED FROM 7 A.M. TO 6 P.M. AS A STOREFRONT.

I'M SORRY, I'M REPEATING THE ONGOING OPERATING COSTS.

THE RED BIRD WILL BE TAKING CARE OF THE ENTIRE REDEVELOPMENT OF THE AREA, AND THEY WILL ALSO PAY REIMBURSE US FOR ANY KIND OF IT THAT WE NEED TO HAVE DONE. CARD READERS AND LINES DROPPED FOR COMPUTERS.

AND THEN AS WELL AS ALL THE PLUMBING AND ELECTRICITY WILL BE HANDLED BY REDBIRD.

[01:00:07]

SO THAT'S NOT THE. WHAT ARE THE FULL OPERATING COSTS FOR THIS LOCATION? I GUESS I DON'T UNDERSTAND THE QUESTION OF WHAT THE FULL OPERATING COSTS.

POINT OF ORDER. LOCATION. STATE YOUR POINT OF ORDER.

I DON'T BELIEVE OPERATION COSTS ARE GERMANE TO THE AGENDA ITEM AS WRITTEN.

I'M TRYING TO UNDERSTAND WHAT IT MEANS FOR US TO OPEN SOMETHING HERE. OPERATING COSTS.

I'M GOING TO LET YOU GET ONE MORE QUESTION OUT IN YOUR TIME.

AND THEN WE'LL HAVE TO GO TO ANOTHER ROUND IF WE WANT TO PURSUE THIS FURTHER.

BUT WELL, I WOULD LIKE THE CITY MANAGER TO EXPLAIN WHAT OPERATING COSTS ARE TO DPD.

OKAY. MR. MAYOR, THANK YOU SO MUCH FOR THE OPPORTUNITY TO HOPEFULLY BRING CLARITY.

WHEN WE THINK ABOUT OPERATIONAL COSTS, WE THINK ABOUT THE ONGOING OCCUPANCY TO OCCUPY THE SPACE, ELECTRICITY COSTS, COST FOR WATER THINGS THAT JUST HELP US DELIVER THE DAY TO DAY AS IT RELATES TO THIS PARTICULAR ARRANGEMENT.

THE WAY IT'S BEEN EXPLAINED IS THAT THOSE ARE COSTS THAT ARE GOING TO BE ACTUALLY A PART OF THE AGREEMENT, AND THAT'S NOT GOING TO BE PASSED ON TO THE CITY.

IT'S GOING TO BE A PART OF WHAT IS BEING DELIVERED THROUGH THE AGREEMENT THAT WE HAVE WITH WITH REDBIRD.

SO THERE'S NOT A LINE ITEM INCLUDES STAFF AS MAINTENANCE.

WE DON'T TYPICALLY WE DON'T ASSIGN STAFF. EVEN WHEN WE THINK ABOUT SOME OF THE EXISTING STOREFRONTS, WE DON'T ASSIGN IT BASED ON THE COST. WE ASSIGN IT BASED ON THE NEED.

SO IF THERE ARE THREE OFFICERS THAT ARE GOING TO BE GOING TO THAT STOREFRONT TO WORK, THAT'S A PART OF THEIR NORMAL WORK DAY, WHETHER THEY'RE THERE OR AT ANOTHER LOCATION.

DEPUTY MAYOR PRO TEM, YOU'RE RECOGNIZED FOR FIVE MINUTES.

THANK YOU, MR. MAYOR. THIS IS A GREAT PROJECT THAT'S HAPPENING IN SOUTHERN DALLAS.

HOWEVER, I DO AGREE THAT THERE'S A DIFFERENCE BETWEEN ME AND SHELL.

I'M A PREACHER. I'M A PASTOR. SO WHEN WE'RE LOOKING AT TERMINOLOGY, MAY IS DISCRETIONARY.

SHELL MEANS IT HAS TO HAPPEN. SO I AGREE WITH THAT.

MY QUESTION IS, AND I THINK COUNCILWOMAN CARA KIND OF TOUCHED ON IT A LITTLE BIT.

I KNOW THERE'S BEEN SOME CHALLENGES IN THE PAST.

WHAT ABOUT THE GROCERY STORE? IN THE HOTEL? ARE WE, I DON'T KNOW WHO'S, I GUESS I GUESS YOU GUYS THAT WHEN WE STILL HAVE A GROCERY STORE OVER THERE THE RETAIL AND THE HOTEL WITH THAT, WOULD THAT STILL HAPPEN OR WHERE ARE WE AT WITH THAT? I'LL ANSWER YOUR QUESTION IN IN TWO DIFFERENT WAYS.

ONE IS, UNDER THE AGREEMENT, THE DEVELOPER HAS SATISFIED THE REQUIREMENTS TO MAKE REASONABLE EFFORTS TO DELIVER A HOTEL AND A GROCERY STORE. BUT HAVING SAID THAT, THE DEVELOPER'S EFFORTS AND FRANKLY, OUR OFFICE'S EFFORTS DON'T STOP.

WE ARE MEETING AND TRYING TO ATTRACT GROCERY STORES TO THE SOUTHERN SECTOR EVERY DAY THAT WE COME TO WORK.

AND SO IT WILL REMAIN, YOU KNOW, A KEY PART OF OUR EFFORTS GOING FORWARD DESPITE ANY CHANGES THAT ARE MADE TO THE AGREEMENT. SO I'M AWARE THAT THE GROCERY STORE IS SUPPOSED TO BE THERE, JUST DIDN'T DO IT.

WHAT HAPPENED WITH THAT PROCESS? WAS MONEY TAKEN? DID WE RETRIEVE MONEY? WHAT HAPPENED? THEY JUST SAY ONE DAY, I JUST DON'T WANT TO BE HERE. LET'S TALK ABOUT IT. YEAH. I'LL TAKE THAT ONE. SO WE HAD AN AGREEMENT WITH TOM THUMB, AS YOU ALL KNOW, TO BUILD A FULL SERVICE GROCERY STORE AT RED BIRD RIGHT UP UNTIL THE LEASE WAS ABOUT TO.

I THINK THE LEASE WAS ACTUALLY EXECUTED. AND THEN FOR SOME REASON, TOM THUMB DECIDED TO GO A DIFFERENT DIRECTION.

HAD NOTHING TO DO WITH THE DEVELOPER, WITH THE CITY.

WE WERE THERE READY TO MAKE THE DEAL HAPPEN. THEY JUST DECIDED TO GO A DIFFERENT DIRECTION.

WE ARE, AS KEVIN SAID, WE ARE STILL ALWAYS TALKING TO GROCERS, TRYING TO INCENTIVIZE THEM TO BUILD IN SOUTHERN DALLAS.

I STILL THINK REDBIRD IS PROBABLY THE PREMIER GROCER SITE IN SOUTHERN DALLAS FOR WHOEVER IS WILLING TO MAKE THAT HAPPEN, AND WE ARE STILL LOOKING TO MAKE AN INCENTIVE DEAL TO MAKE THAT HAPPEN.

BUT TOM THUMB DECIDED NOT TO MOVE FORWARD AND WE DON'T HAVE AN ANSWER.

I WANT TO ASK MR. BRODSKY, DO YOU WANT TO TALK ABOUT THIS? ABOUT COME ON, COME DOWN. YOU'RE THE NEXT CONTESTANT ON THE PRICE IS RIGHT.

YES. COME ON DOWN. GETTING A GROCERY STORE FOR REDBIRD.

WAS, IS, AND ALWAYS WILL BE OUR TOP PRIORITY.

IT IS THE THING THAT THE COMMUNITY WANTS MORE THAN ANYTHING.

WE SPENT $1.5 MILLION ON A FULL DESIGN OF THE TOM THUMB.

THEY HAD NOT ONLY SIGNED THE LEASE, WE WENT THROUGH AN ENTIRE YEAR LONG DESIGN PROCESS WITH ARCHITECTS AND CIVIL ENGINEERS.

AND ON THE DAY THEY CALLED ME TO CANCEL THE LEASE, THEY HAD, THEY HAD ONE MORE TECHNICAL OUT IN THE LEASE.

I LITERALLY THOUGHT THE CALL WAS ABOUT THE GROUNDBREAKING CEREMONY.

I WAS COMPLETELY SURPRISED. I I BELIEVE THAT THE CEO OF TOM THUMB REALLY

[01:05:09]

WANTED TO DO THE DEAL. BUT THE TEAM CHARGED WITH EXECUTING IT WAS NEVER I WAS NEVER ENTHUSIASTIC ABOUT IT. AND THEY FOUND A WAY TO KILL IT. IN THE LAST ANALYSIS, I WILL SAY THAT ROBIN BENTLEY MET WITH TOM THUMB AND LITERALLY SAID TO THEM, TELL US WHAT YOU NEED, ANYTHING THAT YOU NEED, TELL US WHAT YOU NEED, AND THEN WE WILL TRY TO MAKE THAT HAPPEN.

AND THEY REFUSED. THEY JUST SAID, THERE'S NOTHING YOU COULD GIVE US.

THEIR FEELING WAS THAT WHEN THE JOVIS OPENED A MILE AND A HALF AWAY THAT HAD I THINK THEIR QUOTE WAS SUCKED ALL THE SALES OUT OF THE AREA AND OUR PROTESTATIONS TO THE CONTRARY THAT THE AREA CAN DEAL WITH MORE THAN ONE GROCERY STORE.

AND TOM THUMB AND JOVIE'S SERVE DIFFERENT MARKETS FELL ON DEAF EARS.

SINCE THEN WE CONTINUE TO TRY TO ATTRACT GROCERY AND AND WILL CONTINUE TO DO SO.

THANK YOU. MY GRANDMOTHER WERE HERE. SHE WOULD CALL THAT HOGWASH GARBAGE BECAUSE WHEN WE'RE LOOKING AT SINCE WE SAID TOM THUMB, YOU GO DOWN THE STREET ABOUT 5 TO 6 MINUTES INTO CITY HILL AND DUNCANVILLE, YOU HAVE ALL THESE ACROSS THE STREET FROM THE TOM THUMB, RIGHT ACROSS THE STREET. I KNOW. SO LISTEN, I, WE I, I LIVE IN NORTH DALLAS.

THERE'S A TOM THUMB AT PRESTON ROYAL. THERE'S A TOM THUMB AT PRESTON FORREST.

THERE'S A CENTRAL MARKET AT PRESTON ROYAL. THERE'S A WHOLE FOODS AT PRESTON FORREST.

THE MARKET CAN HANDLE MORE THAN ONE GROCERY STORE WITHIN A MILE AND A HALF.

THANK YOU. THANK YOU FOR THAT CLARIFICATION. IT'S SOMETHING THAT MY COLLEAGUES HAVE BEEN TALKING ABOUT FOR FOR DECADES.

AND THAT IS WHAT WE DEAL WITH WHEN WE'RE IN SOUTHERN DALLAS.

WE'RE CREDIBLE CONSUMERS AND WE, WE SHOP AND WE BUY FOOD.

AND SO THOSE RACIAL DIVIDES AND THINGS THAT HAPPEN LIKE THAT ECONOMICALLY, THOSE RACIAL, ECONOMIC RACISM STOPS A LOT OF THINGS.

BUT I THANK YOU FOR YOUR HARD WORK AND YOUR TENACITY AND CONTINUE TO PUSH, ESPECIALLY OUR CITY ADMINISTRATION AND CITY MANAGER.

THANK YOU FOR THAT. I DO WANT TO ASK A QUESTION ABOUT THE HOTEL.

WHERE ARE WE WITH THAT HOTEL? SO WE'RE ACTUALLY IN DISCUSSIONS WITH A HOTEL GROUP AGAIN.

AND I AM CAUTIOUSLY OPTIMISTIC THAT IT WILL MAKE THIS TIME.

WE HAD A DEAL FOR A MARRIOTT COURTYARD YEARS AGO, AND WHEN THE HOTEL MARKET FELL APART DURING COVID AND THEN COSTS SURGED AFTER COVID.

IT WASN'T ECONOMIC FOR THEM ANYMORE. WE WENT BACK TO THE DRAWING BOARD.

WE ARE HARD AT IT. HAVING IRRESPECTIVE OF WHAT THE CITY DEAL REQUIRES.

WE HAVE GOALS FOR THIS DEVELOPMENT AND HOTEL AND GROCERY REMAIN AND MORE RETAIL REMAIN VERY HIGH ON THE LIST.

THANK YOU. I GUESS MY NEXT QUESTION IS FOR OUR CITY MANAGER.

I'M LOOKING AT OVERSIGHT. THANK YOU, MISTER CHAIR.

MY QUESTION FOR YOU. IF IT SELLS, WILL IT COME BACK TO THE COUNCIL FOR US TO APPROVE? WHO WOULD GET IT? AND AND WILL WE HAVE THAT DECISION? BEFORE JUST SOMEONE THAT'S JUST COME. I THINK WHAT ASSISTANT CITY MANAGER BENTLEY DESCRIBED IS THAT THAT IS ALREADY AT AN ADMINISTRATIVE LEVEL, AND IT WOULD COME THROUGH THE CITY MANAGER'S OFFICE BASED ON THE CURRENT LANGUAGE.

ROBIN, DID I COMMUNICATE THAT CORRECTLY? YES.

WILL THE COUNCIL WILL IT BE PRESENTED BACK TO THE COUNCIL AS WELL? WE CAN DEFINITELY SHARE THE RESULTS AND THE OUTCOME WITH THE COUNCIL. BUT THERE WILL NOT BE A NECESSARY COUNCIL APPROVAL.

BUT IT DOES NOT KEEP US FROM SHARING THAT INFORMATION WITH YOU AND MAKING SURE THAT YOU'RE AWARE OF HOW THAT'S PROCEEDED.

SO WE CAN PROBABLY POSSIBLY PUT THAT ON THE BRIEFING TO DISCUSS IT.

I GUESS THE ONLY THING WE WOULD BE DISCUSSING IS THE PURCHASE, BUT IT WOULDN'T NECESSARILY BE SOMETHING THAT WOULD BE COMING TO COUNCIL TO DEBATE OR APPROVE. I UNDERSTAND THAT, BUT WE CAN DEFINITELY SHARE IT.

ABSOLUTELY. WE WILL JUST MAKE SURE THAT THAT'S JUST BUILT INTO OUR PROCESS TO MAKE SURE THAT YOU'RE AWARE.

THANK YOU. THAT'S ALL THE QUESTIONS I HAVE, MR. MAYOR. THANK YOU SO MUCH. CHAIRMAN GRACEY RECOGNIZED FOR FIVE MINUTES.

THANK YOU. I WANT TO START KIND OF WITH THE JUST GETTING A BETTER UNDERSTANDING OF THE NEW POLICE SUBSTATION, JUST KIND OF ASKING SOME QUESTIONS ABOUT THAT. AGAIN. THE STOREFRONT.

AND WHEN WE CALL THIS A STOREFRONT, THIS IS BASICALLY, I THINK CHIEF INTRODUCED CHIEF COMEAUX INTRODUCED THESE TERM DROP ZONES THAT WE WANTED TO MOVE TOWARDS, TO KIND OF START GIVING OPPORTUNITIES FOR OFFICERS WHEREVER THEY ARE, TO KIND OF COME IN,

[01:10:04]

DROP IN AND TAKE CARE OF THAT. SO THAT'S WHAT THIS IS.

THIS IS A DROP ZONE ACCORDING TO WHAT CHIEF YOU ESTABLISHED EARLIER, TO TRY TO GET MORE OFFICERS OUT IN THE COMMUNITY IN CERTAIN SPACES WHERE THEY WEREN'T NECESSARILY PRESENT. CORRECT. RIGHT. AND I GUESS WHERE I'M GOING WITH THIS, BECAUSE WE WERE ABLE IN DISTRICT THREE TO GET A DROP ZONE.

AND WHAT WE HOW WE WERE ABLE TO DO THAT IS WE TALKED TO THE DEVELOPER, AND THE DEVELOPER CHOSE TO BUILD IT INTO THEIR ENTIRE DEVELOPMENT.

SO THERE AREN'T ANY OPERATIONAL COSTS ASSOCIATED WITH IT BECAUSE THE DEVELOPER IS MAINTAINING IT, AND THEY'RE DOING IT AND OPENING IT UP FOR OUR OFFICERS TO COME CHECK IN, REFRESH AND ALL OF THAT.

NOW, I UNDERSTAND FOR THIS ONE, WE ALREADY HAVE OUR RARE BIRD OUTREACH UNIT THAT'S OUT THERE CURRENTLY, AND THEY'VE BEEN DOING A PHENOMENAL JOB DOING THAT.

COUNCILWOMAN BLAIR AND I JUST MET AND TALKED ABOUT HOW THE EVOLUTION OF THIS AND A LOT OF THE THINGS THAT WE'RE TALKING ABOUT, THE EBBS AND FLOWS, UPS AND DOWNS OF RED BIRD ARE MANY TIMES A DIRECT RESULT OF ONE, HOW WE COMMUNICATE ABOUT CERTAIN PROJECTS IN CERTAIN AREAS AND ARE TONE BY WHICH WE DO THAT. THAT'S THE FIRST ONE.

THE SECOND ONE IS THE CRIME AND THE HOMELESSNESS THAT IS HAPPENING IN AND AROUND THAT AREA.

SO IT TAKES ALL OF US COLLECTIVELY WORKING TOGETHER TO ADDRESS ALL OF THESE THINGS, WHICH IS EXACTLY WHAT WE'RE DOING.

SO WHEN WE TALK ABOUT THE GROCERY STORE, WE DON'T KNOW WHY.

WE KNOW JOVI'S CAME IN AND ALL OF THAT. WE DON'T KNOW.

THERE'S UPS AND DOWNS OF THIS ENTIRE AREA. BUT WHAT WE DO KNOW IS CITY STAFF, TWO ELECTED OFFICIALS ARE WORKING, AND THE DEVELOPER AND THE OWNERS OF PROPERTIES WE WERE MEETING AT ONE POINT WITH THE RED BIRD OUTREACH CENTER, WITH ALL OF THE MOTELS, ALL OF THE BUSINESS OWNERS COLLECTIVELY ADDRESSING THESE ISSUES.

AND THAT HAS NOT STOPPED. SO IN ADDITION TO THIS INVESTMENT IN THE DOLLARS THAT ARE MAKING THIS AREA A BETTER PLACE, IT IS ALSO THE COMMUNITY WORKING TOGETHER AND COLLABORATING TO ENSURE THAT IT MOVES IN THE DIRECTION THAT WE INTEND FOR IT TO GO.

SO AGAIN, I'M SORRY I GET A LITTLE BIT ANGRY ABOUT THIS KIND OF STUFF BECAUSE OF THE TONE AND HOW WE TALK ABOUT INVESTMENT IN SOUTHERN DALLAS WE KNOW IT'S GOING TO BE HARD. WE KNOW THAT MANY DEVELOPERS LOOK AT SOUTHERN DALLAS AS A RISK.

WE HAVE PRESTON AND ROYAL WHERE THEY CAN BUILD EVERYTHING THEY WANT AND ALL THESE THINGS.

BUT OVER HERE THE TONE IS DIFFERENT AND IT TAKES A LITTLE BIT LONGER, TAKES A LITTLE BIT MORE EBBS AND FLOWS IN ORDER TO GET WHAT WE WANT SO THAT WE CAN TRULY MAKE THIS CITY AN EQUITABLE PLACE. SO I STOPPED THERE BEFORE I GET EVEN MORE.

THAT'S THE OTHER THING. MY COLLEAGUES STARTED THIS WHOLE LINE OF QUESTIONING, TALKING ABOUT FAVORABLE FOR RED BIRD, BUT NOT THE CITY. AND IF YOU HEAR THAT TERM, I UNDERSTAND WHAT SHE MEANT.

BUT WHEN YOU HEAR THE TERM, IT CREATES A DIVISION AUTOMATICALLY BECAUSE WHO IS THE CITY? BECAUSE THE THINGS THAT ARE HAPPENING HAVE BEEN FAVORABLE FOR THE CITY.

AND THOSE ARE THE PEOPLE THAT LIVE OVER THERE IN THIS PART OF THE CITY.

RED BIRD IS EVOLVING AND IT CONTINUES TO EVOLVE OVER THERE.

SO AGAIN, WE HAVE TO BE CAREFUL ABOUT HOW WE DEFINE.

I UNDERSTAND FROM A FINANCE PERSPECTIVE, WE'RE CONCERNED ABOUT THE INVESTMENTS, BUT THAT'S JUST WHAT IT TAKES BECAUSE THERE AREN'T MANY DEVELOPERS UNFORTUNATELY, WHO BELIEVE ENOUGH IN SOUTHERN DALLAS TO MAKE IT MOVE AS FAST AS WE WOULD LIKE IT TO HAPPEN.

BUT IT IS HAPPENING. SO I JUST WANT TO MAKE SURE I ADDRESS THAT IN THE PUBLIC SAFETY SIDE OF IT.

MISS BENTLEY. AS FAR AS THE ECONOMIC DEVELOPMENT PIECES, YOU ALL WILL CONTINUE.

I JUST WANT TO PLEASE JUST HAVE YOU REITERATE THAT AGAIN.

AS FAR AS THOSE PIECES WHERE WE'RE ABSENT, IT WAS ONCE A A HEALTH DESERT, BUT NOW WE HAVE THREE HOSPITALS OVER THERE.

IT WAS ONCE WE HAVE A DAYCARE, WE HAVE ALL OF THESE THINGS IN THERE, AND WE HAVE A SMALL SORT OF A GROCERY STORE THAT'S ADDRESSING PEOPLE WITH HEALTH DIETARY NEEDS AS THEY'RE GETTING. DIAGNOSED WITH DIFFERENT ILLNESSES AND THINGS LIKE THAT.

THEY HAVE A PLACE WHERE THEY CAN GO GET FRESH FRUITS AND VEGETABLES. SO THIS AREA IS EVOLVING IN A WAY THAT IS INTENTIONAL FOR REDBIRD.

WOULD WE LIKE IT TO HAPPEN FASTER? YES. SEND MONEY.

SEND INVESTORS WHO SEE THIS AS AN INVESTMENT AND NOT A RISK.

FROM THERE, BUT AS IT RELATES TO THE HOTELS AND THE, AND THE GROCERY STORES, THOSE ARE ALWAYS GOING TO BE ONGOING CONVERSATIONS BECAUSE THE COMMUNITY HAS NOT STOPPED WANTING THOSE THINGS.

AND WE KNOW THAT THERE'S A SPACE FOR IT. CORRECT. I COULD NOT AGREE MORE.

ALL RIGHT. THANK YOU. THAT'S ALL. MR. ROTH, YOU'RE RECOGNIZED FOR FIVE MINUTES.

THANK YOU. THE REASON I'M SUPPORTING THIS CHANGE IS BECAUSE FOR SEVERAL REASONS.

[01:15:01]

NUMBER ONE, THIS IS PART OF A BAR BILL, TIFF THAT AFFECTS THE MONTFORD VALLEY VIEW PROPERTY.

WE BOTH BENEFIT FROM THIS. I THINK THERE'S A GREAT SYNERGY.

THERE'S A GREAT OPPORTUNITY TO LEVERAGE BOTH THE DEVELOPMENT OF REDBIRD TO THE BENEFIT OF VALLEY VIEW AND THE BENEFIT OF VALLEY VIEW TO THE BENEFIT OF REDBIRD.

I THINK THAT REAL ESTATE IS AN ONGOING PROCESS AND IT'S WE DO NOT MAKE THE MARKET.

WE REACT TO THE MARKET. AND WE. AS LONG AS WE HAVE A STRONG DEVELOPMENT TEAM THAT'S TRYING TO MONITOR THE MARKET AND TRYING TO SUPPORT THE MARKET, THEN WE HAVE TO HAVE CONFIDENCE THAT THEY'RE GOING TO TRY TO MAXIMIZE THE VALUE OF THE PROJECT THAT THEY'RE WORKING ON.

AND I'M ASSUMING, AND I THINK THAT THE PROOF IS IN THE PUDDING, THAT REDBIRD HAS SORT OF STEPPED UP TO THAT SITUATION, AND THAT THEY ARE TRYING TO MAKE THIS THE BEST PROPERTY THAT THEY CAN DO AND AND THAT THEY ARE TRYING TO MANAGE THIS PROPERTY IN CONJUNCTION WITH THE MARKET THAT IT EXISTS IN, AND THAT THE MARKET IN GENERALLY IN THE ECONOMY OF THE WORLD, IN THE ECONOMY, OF THE STATE ECONOMY, OF THE AREA.

AND SO YOU HAVE TO GIVE A DEVELOPER THE RIGHT AND THE ABILITY TO HAVE FLEXIBILITY TO MANAGE THEIR SITUATION.

HOWEVER, I AM ALSO VERY MUCH CONCERNED ABOUT THE ECONOMICS OF ANY DEAL THAT WE WORK ON, ANY DEAL WHERE WE'VE GOT MONEY AT RISK. MY CONCERN WAS ORIGINALLY THAT THE IF THE PROPERTY SOLD THAT THE LOAN OBLIGATION MIGHT BE NOT AS STRONGLY PROTECTED FOR THE CITY STANDPOINT.

I'VE GOTTEN THE FACT THAT THE THAT THE LANGUAGE WAS CHANGED TO DEMAND THAT THE THAT THE CITY THAT OUR THAT WE HAVE AN INPUT AS A CITY COUNCIL TO TO SOMEHOW VERIFY AND QUALIFY A POTENTIAL BUYER WHO WOULD BE ABLE TO ASSUME THE LOAN AND WOULD THEN BE RESPONSIBLE FOR THE GUARANTEE OF THE LOAN.

GAVE ME A LOT MORE CONFIDENCE THAT THE SITUATION WOULD WOULD WORK.

I, AND I MAY BE INCORRECT IN MY STATEMENT, BUT I THOUGHT AT ONE POINT THERE WAS PART OF THE CRITERIA IN THE EVALUATION OF THE LOAN, AND I'M ASKING THE QUESTION TO MAKE SURE I'M CORRECT.

IT CORRECTLY MAY HAVE CHANGED WAS THAT THERE HAD TO BE SOME SIMILARITY IN TERMS OF TO THE PERSON WHO IS ASSUMING THE LOAN HAS TO HAVE THE SAME GENERAL QUALIFICATIONS AS THE PERSON WHO HAS THE LOAN IN TERMS OF EXPERIENCE, IN TERMS OF ECONOMIC.

STABILITY IN TERMS OF THE SAME STRENGTH. IS THAT AM I DID I MISS THAT OR IS THAT SOMETHING THAT WAS CHANGED? NO, YOU'RE EXACTLY RIGHT. AND THANK YOU, KEVIN, FOR FLAGGING THE LANGUAGE.

IT SAYS THAT THE PURCHASER MUST BE A CREDIT WORTHY PERSON OF SIMILAR NET WORTH AS THE LOAN GUARANTOR.

THAT'S ACCEPTABLE TO US. AND YES, WE'LL BE LOOKING.

THE IDEA THAT I WOULD APPROVE THE SALE OF REDBIRD MALL WITHOUT RUNNING IT PAST CAM IS LAUGHABLE.

I'M NOT GOING TO DO THAT, AND PROBABLY I WOULD BRING IT INTO AN EXECUTIVE SESSION AND LET YOU ALL KNOW WHAT'S HAPPENING, EVEN THOUGH YOU DON'T HAVE A VOTE. I DON'T INTEND TO JUST STRIKE A DEAL ON MY OWN FOR THE SALE OF REDBIRD MALL.

IT'S THE DEAL OF ALL MY YEARS OF THE CITY THAT I'M PROBABLY THE MOST PROUD OF, AND I THINK IT'S THE MOST IMPORTANT TO OUR CITY.

AND I TAKE THAT VERY SERIOUSLY. AND WE'LL MAKE SURE THAT WHOEVER TAKES THIS ON IS SOMEONE WORTHY OF THE PROJECT.

SO MY POINT IS, IS THAT THAT WAS THE LANGUAGE THAT PERSUADED ME THAT THAT THAT PORTION OF THE AMENDMENT WAS ACCEPTABLE IN THAT IT GIVES GUIDANCE TO OUR CITY STAFF TO EVALUATE A PERSON WHO WOULD BE STEPPING INTO THE SHOES OF THE PERSON WHO HAS THE OBLIGATION. BECAUSE OF THAT, I WAS I SAID, THAT'S THAT'S A SAFETY PROVISION THAT I COULD LIVE WITH RELATIVE TO A TRANSFER OF A LOAN IF THAT PARTY DOESN'T MEET THOSE CRITERIA, IF OUR STAFF HAS QUESTIONS ON ON THE QUALIFICATION OF THAT, WE'VE GOT SOME GUIDANCE IN THE DOCUMENT THAT FORCES THAT ISSUE TO TO THE BENEFIT, I THINK, OF THE CITY. SO AGAIN, THE, THE SQUARE FOOTAGE DIFFERENTIAL.

I ALSO WAS CONCERNED ABOUT. AND I WAS CONCERNED ABOUT THE, THE CHANGE IN THE DEVELOPMENT SQUARE FOOTAGE GENERALLY.

HOWEVER, AGAIN, WE DON'T MAKE THE MARKET TO THE EXTENT THAT THERE'S BEEN A SUCCESSFUL ESTABLISHMENT OF NEW BUSINESSES THERE.

I THINK THAT WAS POSITIVE. MY, MY, THE FACT THAT THE THAT WE WERE ABLE TO FORCE THE DEVELOPMENT TO HAVE A POLICE PRESENCE AND ALLOW FOR POLICE PRESENCE IN THAT PROPERTY IS A BENEFIT TO THE PROPERTY.

IT'S A BENEFIT TO THE NEIGHBORHOOD AND THE COST, ACCORDING TO WHAT I UNDERSTAND IS THE DEAL IS GOING TO BE RELATIVELY MINIMAL RELATIVE TO

[01:20:06]

THE ACTUAL OPERATING COSTS OF THE OF THE BUILDING.

AND THE DEVELOPER CAN'T THROW US OUT THAT THE ONLY PEOPLE THAT CAN CAN CANCEL THIS DEAL FOR THE SEVEN YEARS IS THE POLICE DEPARTMENT THEMSELVES.

AND IF THE POLICE DEPARTMENT CANCELS IT, I'D BE VERY DISAPPOINTED BECAUSE I WANT UNLESS THEY'RE GOING TO BUILD A BIGGER, MORE SUCCESSFUL AND PROTECTIVE PLACE FOR THAT AREA.

SO I THINK THAT THIS HAS A LOT OF WINS IN IT.

AND I WOULD LIKE TO SUGGEST THAT THIS IS THE RIGHT APPROACH, EVEN THOUGH IT'S NOT 100% THE WAY THAT IT WAS BEFORE.

THANK YOU. MISS KENNEDY, YOU RECOGNIZED FOR FIVE MINUTES.

THANK YOU, MR. MAYOR. I JUST WANT TO SAY THAT THIS IS REDBIRD HAS BEEN SUCH A PLUS FOR THE COMMUNITY IN SOUTHERN DALLAS.

I HAVE FAMILY AND FRIENDS THAT LIVE IN THE AREA.

AND THE MEDICAL DISTRICT THAT'S BEING CREATED DOWN THERE HAS BROUGHT MEDICAL CARE TO THE SOUTHERN SECTOR AND IS SUCH A BENEFIT.

THERE'S ALSO NEW RESTAURANTS, I THINK WITH THE DPD STOREFRONT, THAT'S JUST GOING TO BE AN ADDED BENEFIT TO THIS AREA.

AND WHILE I DO SEE THAT, YOU KNOW, THERE MAY BE SOME CONCERNS, I THINK THAT THE BENEFITS OUTWEIGH.

AND, YOU KNOW, IN TERMS OF A GROCERY STORE, THIS AREA DOES HAVE A KROGER AND A JOVI'S NEARBY.

SO IT'S, YOU KNOW, NOT A DESERT, BUT WOULD WE LOVE ANOTHER GROCERY STORE? I'M SURE THAT DISTRICT THREE WOULD LOVE ANOTHER ONE.

AND IN TERMS OF THE HOTEL, I'M GLAD THE DEVELOPER IS BEING CAUTIOUS BECAUSE WE'VE, THERE HAVE BEEN HOTELS IN THAT AREA THAT HAVE CREATED CRIME.

AND SO I'M SURE THAT WE WANT TO MAKE SURE TO GET A VERY GOOD QUALITY HOTEL IN THAT AREA.

SO THANK YOU TO MY COLLEAGUES WHO HAVE WORKED SO HARD ON THIS PROJECT AND IN THIS AREA.

I JUST WANT TO VOICE MY SUPPORT FOR THIS. THANK YOU.

MOVING ON TO ROUND TWO'S, MR. CHAIRMAN. BLAIR RECOGNIZED FOR THREE MINUTES AGENDA ITEM EIGHT.

THANK YOU, MR. MAYOR. ACM BENTLEY. THANK YOU.

I COULDN'T I COULDN'T SAY YOUR NAME. I'M SORRY, DID WE NOT HAVE EXTENSIVE CONVERSATIONS WHEN WE WENT THROUGH THIS PARTICULAR PROCESS TO BRING IT HERE TODAY? WE DID. DID I NOT BRING UP THE CHALLENGES OF WHETHER COUNCIL SHOULD OR SHOULD NOT GET TO VOTE ON IT? YES. CAN YOU PLEASE SHARE WITH THE COUNCIL WHAT YOU SHARED WITH ME ABOUT THE PROCESS? SURE. I MEAN, WE'VE TALKED THROUGH IT A LITTLE BIT HERE, BUT NOTHING IS CHANGING TODAY.

ON THE APPROVALS OF WHO GETS TO APPROVE THE SALE.

IT WAS ALWAYS WRITTEN THAT THE CHIEF OF ECONOMIC DEVELOPMENT, NOW THE ASSISTANT CITY MANAGER OVER ECONOMIC DEVELOPMENT, WOULD APPROVE THE SALE. I DON'T I CAN'T THINK OF ANOTHER PROJECT WHERE WE HAVE GIVEN OURSELVES APPROVAL RIGHTS OVER A SALE, EXCEPT FOR THE URBAN LEAGUE BUILDING. AND KEVIN, MAYBE YOU CAN THINK OF ANOTHER. THOSE ARE THE ONLY TWO I CAN THINK OF WHERE THE CITY INSERTED ITSELF INTO THE SALE OF PRIVATE PARTY BETWEEN PRIVATE ENTITIES.

SO THIS IS NOT A USUAL PROVISION IN OUR AGREEMENTS.

BUT BECAUSE RED BIRD AT THE BEGINNING WAS. IT SEEMED SO PARTICULAR TO THE BRODSKY FAMILY TO BE ABLE TO DELIVER THE PROJECT.

IT WAS IMPORTANT TO THE FOLKS NEGOTIATING AT THAT TIME THAT WE HAVE SOME SAY OVER WHO STEPPED INTO THEIR SHOES.

IF SOMEONE DID STEP INTO THEIR SHOES. NOW THAT EVERYTHING HAS BEEN DELIVERED EXCEPT THIS LAST 5000FT², I THINK THAT'S PROBABLY LESS OF A CONCERN. BUT STILL, THERE'S A LOT OF GROWTH STILL TO HAPPEN OUTSIDE OF WHAT'S REQUIRED IN OUR AGREEMENT.

AND SO WE WILL OBVIOUSLY BE LOOKING FOR A COMPETENT AND QUALIFIED FUTURE OWNER WHEN AND IF THAT DAY COMES.

SO LET ME LET ME SAY THIS ABOUT GROCERY STORES.

CITY CITY MANAGER, HAVE WE NOT HAD CONVERSATIONS ABOUT THE WAY GROCERY STORES ARE BEING DEVELOPED TODAY AS OPPOSED TO THE WAY THEY HAVE BEEN? YES, MA'AM. HAVE WE NOT HAD A CONVERSATION THAT THAT THE DEVELOPMENT OF GROCERY STORES, THE FOOTPRINT MAY NOT LOOK THE SAME AS WHEN WE WERE TRYING TO DO TOM THUMB AT REDBIRD.

YES, MA'AM. HAVE WE NOT EVEN LOOKED AT DIFFERENT WAYS TO BRING FORTH NEW OPPORTUNITIES TO BRING GROCERIES TO THE SOUTHERN SECTOR SO IT MEETS THE NEEDS OF THE RESIDENTS? YET, THOUGH IT'S MAKING BUT ALSO PROFITABLE FOR GROCERY STORES, ESPECIALLY SINCE A GROCERY STORE ONLY HAS A 1 TO 3% MARGIN OF OF PROFIT. PROFIT. THANK YOU. YES, MA'AM. CAN I ASK ANOTHER QUESTION? IF THE OTHER HALF OF THE BARBELL TIFF WAS AS ACTIVE AS THIS ONE, WOULD WE BE HERE TODAY HAVING THIS CONVERSATION ABOUT THE FINANCING AND HOW

[01:25:01]

THINGS ARE FINANCED AND AND WHAT OPPORTUNITIES ARE THERE? THE ONLY THING THAT WOULD BE DIFFERENT WOULD BE THE OUTSTANDING BALANCE ON THE CITY'S LOAN.

BECAUSE DEVELOPMENT THAT OCCURS IN IN THE MONTFORT SUBDISTRICT, AGAIN, 10% OF THAT COMES DOWN EVERY YEAR TO HELP PAY DOWN THIS LOAN.

SO IF IT WAS ACTIVE, THE LOAN WOULD BE WOULD HAVE BEEN PAID DOWN FASTER.

CORRECT. ONE WOULD ASSUME. YES. THANK YOU. SO LET ME ALSO SAY THIS.

I DON'T KNOW. AND I, I'VE WATCHED COUNCIL FOR YEARS.

I DON'T KNOW WHERE I HAVE SEEN COUNCIL MEMBERS IN THE SOUTHERN SECTOR PARTNER I PARTNER WITH THREE.

I PARTNER WITH FOUR. I PARTNER WITH FIVE. I PARTNER WITH SEVEN.

ANYONE WHO TOUCHES DISTRICT EIGHT. IF THERE IS AN ISSUE ON DISTRICT EIGHT SIDE OR MY PARTNER SIDE, WE COLLABORATE, DO WE NOT? WE TALK ABOUT IT. WE FIGURE OUT WAYS COLLECTIVELY TO FIX THE PROBLEM.

I'M TRYING TO SHOW THAT EVEN WITH THIS TIFF AND THE PIT, DISTRICT THREE AND DISTRICT EIGHT ARE PARTNERS, WE WORK TOGETHER TO SOLVE ISSUES AND TO BE OF BENEFIT NOT ONLY FOR DISTRICT THREE, BUT DISTRICT EIGHT AND THE SURROUNDING COMMUNITY.

THANK YOU. DEPUTY MAYOR PRO TEM RECOGNIZED FOR THREE MINUTES.

THANK YOU, MR. MAYOR. I JUST SPOKE WITH OUR STATE REP.

MY STATE REP, TONY ROSE, AND SHE INFORMED ME AND GAVE ME THE DATA THAT WALMART IN SOUTHERN DALLAS, THAT'S LOCATED IN DISTRICT FOUR, RIGHT ON SHORT BOULEVARD.

IT'S THE HIGHEST GROSSING STORE. WALMART, THE HIGHEST GROSSING WALMART IN THE ENTIRE STATE OF TEXAS.

SO THAT NOTION THAT IT WILL NOT BE PROSPEROUS.

IS FALSE. THE DATA COME BACKS THAT NARRATIVE.

STATE REPRESENTATIVE TONY ROSE SAID IT'S THE HIGHEST GROSSING WALMART IN THE ENTIRE STATE, RIGHT IN THE HEART OF DISTRICT FOUR AND THE HEART OF SOUTHERN DALLAS. I WANT TO COMPLIMENT AND THANK MY COLLEAGUES FOR WORKING ON THIS PROJECT. THE COLLABORATION, WORKING WITH THE ADMINISTRATION, THE CITY MANAGER AND TRYING TO GET THIS ACROSS THE FINISH LINE AND DO WHAT'S RIGHT WHEN WE TALK ABOUT EQUITY.

PEOPLE DON'T LIKE THAT WORD, BUT IT'S STILL REAL. AND IT'S IMPORTANT THAT WE HAVE EQUITY.

AND I CAN UNDERSTAND THE FRUSTRATION OF MY COLLEAGUE CHUCK GRACEY.

I UNDERSTAND BECAUSE CERTAIN STATEMENTS ARE SAID, CERTAIN BUZZWORDS ARE SAID, AND IT IS OFFENSIVE TO PEOPLE THAT LOOK LIKE ME.

AND SO AS WE'RE MOVING FORWARD. WE NEED TO MAKE SURE THAT WE OPERATE WITH A SENSE OF URGENCY, IN MY OPINION, AND AN EQUITABLE APPROACH BECAUSE AND I SAID THIS BEFORE, 45 LOOKS A LOT DIFFERENT THAN 75.

AND IT'S PRETTY MUCH THE SAME FREEWAY. AND THAT'S A PROBLEM.

AND SO I'M GOING TO SUPPORT THIS BECAUSE IT'S THE RIGHT THING TO DO.

I'M A PART OF THE SOUTHERN DALLAS. I'M A SON OF THIS CITY.

AND I GO OVER THERE AND I SHOP. I TAKE MY CHILDREN THERE.

AND THIS IS VERY IMPORTANT TO THE ENTIRE CITY OF DALLAS.

AND SO ONCE AGAIN, TO COUNCILMAN GRACEY TO COUNCILWOMAN BLAIR.

I HAVE NOT ATTENDED NOT ONE MEETING, BUT I HEAR ABOUT THE HARD WORK THAT YOU ALL ARE DOING AND THE COLLABORATION THAT YOU YOU'RE DOING.

AND SHE IS RIGHT. WHEN THERE IS A CONCERN, WE DO WORK TOGETHER.

WE DO CALL EACH OTHER. I CALL COUNCILMAN BAZALDUA WHEN TO SUPPORT HIM AND HIS BEAUTIFUL EVENT THAT HE JUST HAD IN SOUTH FOREST THEATER.

I CALLED MY COLLEAGUE HOW MANY, HOW MANY RESENDEZ.

AND WE COLLABORATE. WE TALK BECAUSE WE'RE TRYING TO GET THIS RIGHT FOR OUR ENTIRE COMMUNITY.

SO THANK YOU SO MUCH FOR YOUR COLLABORATION. THANK YOU FOR YOUR WORK.

AND I WILL BE SUPPORTING THIS. MISS MENDELSOHN, YOU RECOGNIZE FOR THREE MINUTES.

THANK YOU. I'M NOT CHALLENGED ANYBODY WITH GERMANE COMMENTS, BUT THIS ITEM IS NOT ABOUT THE MERITS OF REDBIRD AS A PROJECT, WHICH I THINK EVERYONE HERE HAS SUPPORTED.

IS ACTUALLY ABOUT A CONTRACT CHANGE AND THE FINANCIAL IMPLICATIONS FOR THE CITY OF DALLAS GOVERNMENT AND WHAT THAT MEANS.

AND WHAT I FAIL TO UNDERSTAND IS WHY WE'RE CONTINUING TO GIVE AWAY OUR CITY AND OUR CITY RESOURCES TO THE DEVELOPERS AND NOT HOLD THEM TO

[01:30:08]

AGREEMENTS THAT THEY'VE ALREADY SIGNED. LIKE WE HAVE A SIGNED CONTRACT, AND THEN WE KEEP BRINGING THESE CONTRACTS BACK AND GIVING UP TERMS. WE'RE ABOUT TO THE NEXT ITEM. IT'S THE SAME SITUATION.

AND SORRY, THIS IS NOT ABOUT REDBIRD. IF YOU WANT TO TALK ABOUT ME ASKING THESE QUESTIONS, I DO THIS ABOUT ANY KIND OF CONTRACT THAT COMES THIS WAY AND YOU ALL KNOW THAT.

SO WITH THAT SAID, I DON'T UNDERSTAND THIS THIS CONTRACT CHANGE.

I DON'T UNDERSTAND WHY WE WOULD CHANGE THE TERMS FROM MAY TO SHALL.

I DON'T UNDERSTAND WHY WE WOULD GIVE UP REQUIRING THE 40,000, WHICH WAS ALREADY REDUCED FROM 100,000 PREVIOUSLY SQUARE FEET OF RETAIL, AND I DON'T THINK WE'VE HEARD AN OPERATIONAL PLAN ABOUT HAVING A STOREFRONT.

MAYBE I MISSED THAT. SO. I HAVE A FEELING THIS IS ABOUT SOMETHING TOTALLY DIFFERENT, SOMETHING MORE POLITICAL. BUT I DO THINK THERE WAS A VERY INTERESTING COMMENT MADE ABOUT THE BARBELL TIFF.

AND WON'T IT BE WONDERFUL WHEN THE MAVS ARE AT VALLEY VIEW AND THAT MONEY IS FLOWING INTO REDBIRD? THANK YOU. ANYONE ELSE WANT TO SPEAK ON FOR OR AGAINST AGENDA ITEM EIGHT RECORD VOTE HAS BEEN REQUESTED, MADAM SECRETARY. GO AHEAD AND CALL THE ROLL. THANK YOU, MR. MAYOR. WHEN I CALL YOUR NAME, PLEASE STATE YES.

IF YOU'RE IN FAVOR, KNOW IF YOU OPPOSE COUNCILMEMBER WEST.

YES. COUNCILMEMBER MORENO. YES. COUNCILMEMBER GRACEY.

YES. COUNCILMEMBER. YES. COUNCILMEMBER BAZALDUA.

YES. COUNCIL MEMBER. BLAIR. YES. COUNCIL MEMBER.

BLACKMON. YES. COUNCIL MEMBER. STEWART. YES. COUNCIL MEMBER.

ROTH. YES. COUNCIL MEMBER. MENDELSOHN. NO. COUNCIL MEMBER.

WILLIS. YES. COUNCIL MEMBER. RIDLEY. YES. DEPUTY MAYOR.

PRO TEM JOHNSON. YES. MAYOR PRO TEM RESENDEZ.

YES. MAYOR JOHNSON. YES. WITH 14 VOTING IN FAVOR, ONE OPPOSE THE ITEM PASSES, MR. MAYOR. ALL RIGHT, NEXT ITEM. YOUR NEXT ITEM IS AGENDA ITEM NINE.

[9. 26-3504A Authorize an amendment to the South Dallas/Fair Park Opportunity Fund Chapter 380 Economic Development Loan Agreement and related documents, including the Deed of Trust and Promissory Note, between the City of Dallas and Southfair Community Development Corporation as authorized by City Council on November 13, 2024, by Resolution No. 24-1648 regarding the Malcolm’s Point Retail Project to: (1) extend the amortization period by five years (from 25 to 30 years) and allow for an additional year of interest-only payments according to the revised amortization schedule attached as Exhibit A; (2) subordinate the City’s senior lien position to Texas Mezzanine Fund; and, as consideration, (3) increase Southfair Community Development Corporation’s minimum investment requirement by $50,000.00 (from $1,650,000.00 to $1,700,000.00), in accordance with the City’s Economic Development Incentive Policy and the South Dallas/Fair Park Opportunity Fund Program Statement - Financing: No cost consideration to the City *In alignment with Economic Development Incentive Policy.]

AGENDA ITEM NINE. AUTHORIZE AN AMENDMENT TO THE SOUTH DALLAS FAIR PARK OPPORTUNITY FUND.

CHAPTER 380 ECONOMIC DEVELOPMENT LOAN AGREEMENT AND RELATED DOCUMENTS, INCLUDING THE DEED OF TRUST AND PROMISSORY NOTE BETWEEN THE CITY OF DALLAS AND SOUTH FAIR COMMUNITY DEVELOPMENT CORPORATION AS AUTHORIZED BY THE CITY COUNCIL ON NOVEMBER 13TH, 2024 BY RESOLUTION NUMBER 24-1648. REGARDING THE MALCOLM'S POINT RETAIL PROJECT TO ONE, EXTEND THE AMORTIZATION PERIOD BY FIVE YEARS FROM 25 TO 30 YEARS AND ALLOW AN ADDITIONAL YEAR OF INTEREST ONLY PAYMENTS, ACCORDING TO THE REVISED AMORTIZATION SCHEDULE ATTACHED AS EXHIBIT A TO SUBORDINATE THE CITY'S SENIOR LIEN POSITION TO THE TEXAS MEZZANINE FUND AND AS CONSIDERATION THREE INCREASE SOUTH FAIR COMMUNITY DEVELOPMENT CORPORATION'S MINIMUM INVESTMENT REQUIREMENT BY $50,000, FROM $1,650,000 TO $1,700,000, IN ACCORDANCE WITH THE CITY'S ECONOMIC DEVELOPMENT INCENTIVE POLICY AND THE SOUTH DALLAS FAIR PARK OPPORTUNITY FUND PROGRAM STATEMENT.

THIS ITEM WAS CORRECTED. IT WAS ALSO PULLED BY COUNCIL MEMBERS, ROTH AND BAZALDUA.

IS THERE A MOTION? MOTION TO APPROVE. MOTION TO APPROVE.

AND A SECOND. IT WAS PULLED BY. WHO WAS IT? COUNCIL MEMBER ROTH AND COUNCIL MEMBER BAZALDUA.

DID EITHER OF YOU WANT TO SPEAK FOR FIVE MINUTES? MR. ROTH, YOU RECOGNIZED FOR FIVE. WELL, YOU WERE IN THE QUEUE.

DO YOU WANT YOU RECOGNIZED FOR FIVE MINUTES. THANK YOU.

THE REASON I PULLED THIS ITEM IS, IS REALLY A SIMILAR APPROACH AT COUNCIL MEMBER MENDELSOHN JUST SPOKE ABOUT ON THE PREVIOUS ITEM.

THIS IS THESE ARE BUSINESS DEALS THAT WE NEED TO EVALUATE.

THESE ARE CERTAINLY THERE'S ECONOMIC DEVELOPMENT ASPECTS TO ALL OF THESE THINGS AND THERE IS OTHER ISSUES.

BUT WHAT I LIKE TO FOCUS ON AND WHAT I THINK IS IMPORTANT TO FOCUS ON IS WHETHER THESE BUSINESS DEALS MAKE SENSE.

AND IF THEY DON'T MAKE SENSE, OR IF THEY NEED TO BE CHANGED OR IF THEY NEED TO BE TWEAKED.

THIS IS OUR OPPORTUNITY TO DISCUSS THIS STUFF IN PUBLIC, NOT ONLY TO TRY TO CORRECT SOMETHING ON AT THE AT THAT PARTICULAR

[01:35:02]

TIME, BUT ALSO TO TO EXPRESS A FUTURE HOPE FOR CHANGES IN THE IN THE NEGOTIATION STRATEGIES ON FUTURE DEALS IN THIS PARTICULAR DEAL. THE BUILDINGS ARE ALREADY STARTING TO BE BUILT.

IT'S ALREADY DONE. EVERYTHING IS HAPPENING FOR THIS THING TO COME TO US AND ASK FOR THE ECONOMIC CHANGES THAT THEY'RE ASKING FOR, FOR THE LOAN, I THINK WAS INAPPROPRIATE. I THINK IT'S IT'S IT'S TOO LITTLE, TOO LATE.

I'M GOING TO SUPPORT IT ONLY BECAUSE WE'RE ALREADY THE DEAL IS ALREADY IN THE WORKS AND IT'S MOVING FORWARD.

BUT I DON'T LIKE THE WAY THAT THESE, THIS KIND OF A DEAL WAS ACTUALLY PAPERED AND PUT TOGETHER AND THAT AT THE LAST MINUTE, WE END UP WITH CHANGES IN LOAN DISCUSSIONS WHICH SHOULD HAVE BEEN TAKEN.

IT SHOULD HAVE BEEN PART OF AN INITIAL DEVELOPMENT PLAN AND PRESENTATION EARLY ON.

IN THIS PARTICULAR CASE, WE ARE AT WITH THE THE DEVELOPER IS ASKING FOR ADDITIONAL INTEREST ONLY TO SAVE A LITTLE BIT OF MONEY, AND THEY'RE ASKING FOR AN AMORTIZATION EXTENSION, WHICH EXTENDS OUR OUR OBLIGATION, OUR LOAN OBLIGATION REPAYMENT.

AND, AND CAUSES US TO PUT OFF GETTING PAID. WE'RE ALSO BEING ASKED TO SUBORDINATE OUR LOAN BELOW ANOTHER THIRD PARTY LENDER. AND WE'RE NOT REALLY GETTING ANYTHING FOR THAT.

WE HAD ASKED FOR POTENTIALLY SOME ADDITIONAL COLLATERAL TO JUSTIFY THAT SUBORDINATION THAT DID NOT SHOW UP IN THE, IN THE, IN THE REVISED PRESENTATION. I'M, I'M CONCERNED THAT WE HAVE A BUILDING THAT'S EXPENSIVE.

THAT'S BEEN EXPENSIVE TO CONSTRUCT. THAT IS NOT FULLY LEASED.

THAT IS STILL THAT DOESN'T HAVE A STRONG CREDITWORTHY TENANT BASE.

AND I DON'T CARE WHERE IT IS. THIS IS A DEAL, A BUSINESS DEAL THAT NEEDS TO BE EVALUATED AND SHOULD SERVE AS A TEMPLATE FOR OTHER DEALS THAT WE DO IN THE FUTURE. AT THIS POINT IN TIME, I WANTED TO MAKE SURE THAT THE THAT WE HAVE ON RECORD THAT THESE ISSUES ARE A ARE OPEN, THAT THESE WERE ISSUES THAT WE COULD HAVE POSSIBLY ADDRESSED EARLY ON.

AND THAT I THINK THAT WE SHAME ON US FOR NOT BEING A LITTLE BIT MORE PROACTIVE IN TRYING TO CRAFT A DEAL THAT WOULD PROTECT THE CITY'S FINANCIAL INTERESTS.

THE FACT THAT THIS BUILDING IS BEING BUILT, THE FACT THAT THERE'S A NEW DEVELOPMENT IN THIS PARTICULAR AREA IS IS APPLAUDABLE.

IT'S GREAT. I'M HAPPY TO HAVE IT, BUT I. BUT WE NEED TO ALWAYS BE CONSISTENT IN SAYING THAT DEALS HAVE TO MAKE SENSE.

AND IF WE ARE GOING TO PROVIDE INCENTIVES AND ECONOMIC DEVELOPMENT PROGRAMS, THEY'VE GOT TO ALSO MAKE SENSE.

AND I DON'T CARE WHERE IT IS AND WHAT'S INVOLVED IN IT, THAT WE ARE THE FIDUCIARY OF OUR CITIZENS MONEY.

AND WE'RE, AND WE'RE TASKED WITH TRYING TO PLAN AND DEVELOP THE CITY AND OUR NEIGHBORHOODS IN THOUGHTFUL, SMART, PRODUCTIVE WAYS. AND, AND WE'VE GOT TO FOCUS ON THESE PROJECTS AND REALLY FOCUS ON HOW WE DO IT.

RIGHT. AND SO, AGAIN, THIS IS AN OPPORTUNITY THAT WE MISSED TO MAKE A BETTER DEAL.

I'M, I'M SADDENED BY THAT, BUT BECAUSE IT'S GOING FORWARD AND IT'S ALREADY IN THE IN THE WORKS.

I'M GOING TO HAVE TO APPROVE IT. THANK YOU. MR. BASEL, DO YOU RECOGNIZE FOR FIVE MINUTES? THANK YOU, MR. MAYOR.

SO I WANT TO SAY THAT THIS DEAL IS A REALLY GOOD DEAL.

I THINK THAT THERE ARE SOME CIRCUMSTANCES THAT ALLOWED FOR US TO HAVE TO MAKE SOME CHANGE.

BUT ULTIMATELY THE, I GUESS HIGH LEVEL KEVIN OR HEATHER, IF YOU ALL COULD JUST EXPLAIN TO ME WHY WE HAVE A PROCESS FOR ECONOMIC DEVELOPMENT INCENTIVES.

HEATHER LOPEZ, DEPUTY DIRECTOR FOR THE OFFICE OF ECONOMIC DEVELOPMENT.

SO THIS PARTICULAR PROJECT IS SUPPORTED BY THE SOUTH DALLAS FAIR PARK OPPORTUNITY FUND LOAN.

AND SO THAT'S A DESIGNATED FUND TO SUPPORT ECONOMIC DEVELOPMENT PROJECTS DUE TO MARKET CONDITIONS.

CAN'T GET TRADITIONAL BANK FINANCING OR CDFI FINANCING.

SO THIS PROJECT HAD A GAP AFTER THEY WENT THROUGH WHAT THEY COULD GET THROUGH THE PRIVATE SECTOR, AND THEY CAME TO THE CITY TO ASK FOR ADDITIONAL FUNDS TO HELP SUPPORT THE PROJECT SO IT COULD ACTUALLY GO VERTICAL.

[01:40:04]

AND IS IT SAFE TO SAY THAT THAT ONE OF THE STRUGGLES THAT WE'VE HAD TO SEE DIRT TURN IN SOUTH DALLAS SOUTHERN DALLAS IS BECAUSE OF THE LACK OF FINANCIAL INSTITUTES THAT PROVIDE FINANCING FOR PROJECTS.

IT'S DEFINITELY A MORE CHALLENGING MARKET THAN SOME OTHERS IN THE CITY, AND SOUTH FAIR HAS A REPUTATION THAT HAS ESSENTIALLY BUILT WITH DOZEN PLUS MILLION DOLLARS INVESTED IN AND PROVIDED FIRST TIME HOME OPPORTUNITIES IN THE IMMEDIATE VICINITY, AND HAVE BEEN A LONG STANDING PARTNER FOR DECADES IN SOUTH DALLAS.

YES, CORRECT. THEY HAVE A 35 YEAR HISTORY AND THEY ARE ACTIVE.

THEY'RE WELL REGARDED IN THE COMMUNITY. THEY'VE DEVELOPED HOUSING.

THIS IS THEIR FIRST RETAIL, NEW BUILD, RETAIL CONSTRUCTION, BUT THEY'RE DEFINITELY A GOOD PARTNER THAT WE WOULD LIKE TO CONTINUE A PARTNERSHIP WITH.

I UNDERSTAND THAT THERE, OF COURSE, HAS BEEN ENORMOUS RISE IN COSTS OF CONSTRUCTION THAT WE'VE SEEN OVER THE PAST SIX, SEVEN YEARS, SPECIFICALLY ONCE COVID HIT AND THEN THROUGH TO NOW THIS IS IN TREND WITH THE INDUSTRY AND THE MARKET WITH, WITH THE RISING IN COSTS.

IS THAT ACCURATE? YES. I CAN'T SPEAK DIRECTLY TO THE EXACT NUMBERS ON HOW MUCH THEIR CONSTRUCTION BUDGET WENT UP COMPARED TO NORMS. BUT YES, A LOT OF PROJECTS ARE SEEING INCREASES EVERYWHERE.

AND MADAM CITY MANAGER HOW, HOW OFTEN DO WE SEE JUST EVEN OUTSIDE OF ECONOMIC DEVELOPMENT DEALS.

BUT ANY DEALS THAT WE'VE THAT WE HAVE CONTRACTS WITH THAT REQUIRE MATERIALS TO BE PURCHASED AND IS OVER A YEAR'S TIME.

HOW HOW OFTEN DO WE SEE CHANGE ORDERS BECAUSE OF THE MARKET? THANK YOU SO MUCH FOR THE QUESTION. COUNCILMAN. BAZALDUA.

I THINK IN OUR CURRENT MARKET AND EVEN WHAT WE SHOULD BE PROJECTING GOING FORWARD, IT IS VERY DIFFICULT FOR US TO PUT ANY TYPE OF EXACTNESS ON ANYTHING.

THE, THE MARKET CONTINUES TO EVOLVE. I KNOW THAT WE'VE ALREADY DEALT WITH CHALLENGES WITH SOME OF THE OTHER BIG PROJECTS, EVEN THE CONVENTION CENTER. AND SO I THINK THAT WHAT WE TRY TO DO IS BASED ON THE CURRENT MARKET CONDITIONS, WE TRY TO FORECAST, WE TRY TO BUILD IN CONTINGENCIES, BUT THOSE ARE THINGS THAT ARE STILL STOPGAPS.

AND I THINK WITH THE TYPES OF DEVELOPMENT AND THE TYPES OF ECONOMIC ENVIRONMENT THAT WE'RE TRYING TO CREATE IN THE CITY, WE HAVE TO CLEARLY UNDERSTAND THAT THAT IS GOING TO BE A PART OF HOW WE DO BUSINESS.

I THINK YOU AND THIS COUNCIL SEE OFTEN ON OUR WEDNESDAY AGENDA FOR APPROVAL.

THERE'S A LOT OF SUPPLEMENTAL AGREEMENTS THAT WE BRING BACK. AND WE BRING CHANGE ORDERS BASED ON WHAT HAPPENS OUT IN THE FIELD THAT SOMETIMES YOU JUST CAN'T WRITE OUT IN A COMPLETE PROJECT PLAN. SO THE OVERALL ENVIRONMENT THAT WE'RE IN RIGHT NOW, I THINK WE'VE HAD TO CONTINUE TO MAKE THOSE ADJUSTMENTS.

AND WHEN WE'RE IN THE ROOM WORKING WITH WHETHER IT'S THE DEVELOPERS AS AS WELL AS DISCUSSED IN THE LAST ITEM OR IN THIS ITEM, WE ARE AT THE TABLE MAKING SURE THAT IT IS IN THE BEST INTEREST OF THE CITY.

AND WE HAVE TO BE FLEXIBLE IF WE'RE GOING TO CONTINUE TO WORK TOWARD THE TYPE OF ECONOMIC DEVELOPMENT THAT THIS COUNCIL HAS ASKED US TO DO ACROSS THE CITY.

BUT AS WE LOOK AT THE SOUTHERN SECTOR, WE KNOW THAT THERE ARE MORE CHALLENGES. I THINK COUNCIL MEMBER GRACEY SUMMED IT UP.

WE HAVE TO DO A LOT MORE. AND THAT FLEXIBILITY, I THINK, IS WHAT'S GOING TO BE NEEDED IF WE'RE GOING TO BE ABLE TO CONTINUE TO BRING THE TYPES OF OUTCOMES THAT I THINK THIS COUNCIL WANTS.

SO IT'S OFTEN AND I THINK IT HAS TO BE EXPECTED BECAUSE WE CAN NEVER BE EXACT ON WHAT THE MARKET IS GOING TO DO.

THANK YOU FOR THE QUESTION. THANK YOU. MADAM CITY MANAGER, I JUST WANT TO PAINT A PICTURE BECAUSE I THINK IT'S BEEN FRAMED INACCURATELY THAT THIS IS A BAD DEAL FOR THE CITY. WE WE AREN'T A FINANCIAL INSTITUTE.

THIS ISN'T ONLY ABOUT MONETARY RETURNS. THIS IS ABOUT GROWING OUR CITY AND ECONOMIC DEVELOPMENT ARM OF THIS ORGANIZATION IS MEANT TO HELP FILL GAPS WHERE WE HAVE THEM, WHERE WE'VE EXISTED, WHERE THEY EXIST BECAUSE OF POSSIBLY THINGS FROM OUR OWN POLICIES OF THE PAST.

RIGHT. BUT WHETHER IT'S SEVEN FIGURE INCENTIVE FOR COSTCO IN NORTH DALLAS OR A SEVEN FIGURE INCENTIVE FOR TOM THUMB IN SOUTHERN DALLAS OR A MUCH SMALLER NUMBER.

BUT TO PARTNER WITH OUR LOCAL LEADERS AND NONPROFIT PARTNERS IN SOUTH DALLAS TO BRING THE BEST RETAIL PROJECT, QUITE FRANKLY, WE'VE HAD DEVELOPED IN SOUTH DALLAS IN DECADES.

WE CAN'T CONTINUE TO UNFAIRLY SCRUTINIZE SOME PROJECTS VERSUS THE OTHER.

THIS WAS THE ECONOMIC DEVELOPMENT ARM OF OUR CITY DOING EXACTLY WHAT IT STOOD UP TO DO, WHICH IS TO FILL GAPS AND TO PROVIDE GROWTH IN THE CITY WHERE IT'S NEEDED THE

[01:45:09]

MOST, AND TO HELP THOSE PARTNERS THAT WE HAVE THAT MAY NOT HAVE THE RESOURCES AVAILABLE TO THEM LIKE SOME OF THE OTHER PARTNERS I MENTIONED.

I DON'T THINK COSTCO NECESSARILY IS STRUGGLING OFF CHURCHILL IN 75 TO HAVE FINANCIAL INSTITUTES TO HELP THEM, YOU KNOW, BACK A FUNDING STACK FOR THEIR PROJECT.

THAT'S NOT THE CASE FOR EVERYTHING THAT WE HAVE WITHIN SOUTHERN DALLAS. AND UNTIL WE ARE YOU'RE INTENTIONAL ABOUT INVESTING IN CLOSING THOSE GAPS.

WE'RE NOT GOING TO SEE THE SAME TYPE OF DEVELOPMENT RESULT IN 2024.

IN NOVEMBER, TWO YEARS AGO. THIS COUNCIL APPROVED APPROXIMATELY $1.5 MILLION TO SUPPORT THIS MALCOLM'S POINT PROJECT.

IT'S A RETAIL DEVELOPMENT SPEARHEADED BY SOUTH FAIR COMMUNITY DEVELOPMENT CORPORATION, REPRESENTING THE FIRST HIGH QUALITY, NEWLY CONSTRUCTED RETAIL SPACE IN SOUTH DALLAS IN NEARLY 20 YEARS.

SINCE THE START OF THIS PROJECT IN 2024, RISING CONSTRUCTION COSTS HAVE INCREASED THE PROJECT'S BUDGET FROM 2.3 MILLION TO APPROXIMATELY $3 MILLION, REQUIRING ADDITIONAL FINANCING. TODAY'S AMENDMENT ADDRESSES THOSE CHALLENGES BY EXTENDING THE LOAN AMORTIZATION SCHEDULE BY FIVE YEARS AND ALLOWING FOR AN ADDITIONAL YEAR OF INTEREST ONLY PAYMENTS, WHILE KEEPING THE TEN YEAR REPAYMENT PERIOD UNCHANGED AT ALL.

THESE CHANGES WILL REDUCE MONTHLY LOAN PAYMENTS BY APPROXIMATELY $1,580, GIVING THE PROJECT CRITICAL FINANCIAL FLEXIBILITY AND BUSINESSES TO MOVE IN AND THE OPERATIONS STABILIZE.

IT'S HELPING THEM SUSTAIN. WE WANT THE PROJECTS WE INVEST IN TO SUSTAIN, AND SO THIS CASH FLOW IS GOING TO BE A HUGE PART OF WHAT IS GOING TO MAKE THIS SUSTAINABLE. I'LL WAIT TILL ROUND TWO, MR. MAYOR. MISS MENDELSOHN, YOU RECOGNIZED FOR FIVE MINUTES.

AGENDA ITEM NINE. THANK YOU. WELL, YOU KNOW, I DIDN'T PULL THIS ONE, AND I DIDN'T PULL IT BECAUSE IT'S NOT NEARLY AS EGREGIOUS AS WHAT WE JUST PASSED WITH REDBIRD. I DON'T HAVE ANY PROBLEM WITH EXTENDING THE AMORTIZATION.

I DON'T LIKE WHEN WE SUBORDINATE OUR LIEN POSITION, AND I DON'T KNOW WHY WE EVER DO THAT.

I THINK THAT'S A TERRIBLE PRACTICE AND IT'S RISKY TO OUR TAXPAYER.

AND IT SHOULDN'T BE PART OF ANY DEAL. BUT I DIDN'T PULL IT AND I'M GOING TO VOTE FOR IT BECAUSE IT'S IT'S THE BEGINNING. IT'S THE IT'S THE IT'S THE INITIAL SUPPORT TO MAKE IT HAPPEN AS CONTRASTED WITH WHAT WE JUST DID, WHERE WE REVISED IT MORE THAN HALF A DOZEN TIMES EVERY TIME GIVING UP GROUND EVERY SINGLE TIME.

THIS ONE, THERE HAVE BEEN LEGITIMATE CHANGES IN THE MARKET, AND I THINK IT'S EXACTLY WHERE WE DO NEED TO INVEST TO MAKE SOMETHING SUCCESSFUL.

SO I'M HOLDING MY NOSE ON THE SENIOR LIEN ISSUE, AND I HOPE YOU DON'T EVER BRING THOSE TO US.

I GENERALLY VOTE AGAINST THEM, BUT I WAS GOING TO VOTE FOR THIS ONE.

I'M STILL GOING TO BECAUSE IT MAKES A LOT MORE SENSE THAN OUR LAST DEAL.

THANK YOU. IS THERE ANYONE ELSE LIKE TO SPEAK ON FOR AGENDA ITEM NINE? YES, MR. PRESIDENT, RECOGNIZED FOR THREE MINUTES.

THANK YOU, MAYOR. TODAY'S AMENDMENT PROVIDES GREATER FINANCIAL FLEXIBILITY TO PROTECT OUR INVESTMENT AND TO ENSURE THIS LONG AWAITED DEVELOPMENT HAS THE FINANCIAL FOUNDATION TO SUCCEED IN THE FUTURE. I'M GRATEFUL FOR PERSISTENCE FOR FOR PERSISTENCE FROM SOUTH FAIR, AND THAT THEY HAVE HAD THE GRIT TO TRULY SEE THIS PROJECT THROUGH AND FOR THE ECONOMIC DEVELOPMENT DEPARTMENT Y'ALL'S WORK AND AND BEING A PARTNER HAS BEEN REALLY THE KEY TO THE SUCCESS OF THIS PROJECT.

AND IT I CAN'T EMPHASIZE THE WORD PARTNER ENOUGH.

WE ARE NOT A FINANCIAL INSTITUTE. WE ARE A PARTNER IN THIS PROJECT.

WE WANT THE SUCCESS OF THIS PROJECT JUST AS MUCH.

WE'RE NOT JUST HERE FOR A PAYDAY. IN ADDITION TO HAVING THE SHIPLEY'S DONUT FRANCHISE, WHICH IS A NATIONAL BRAND FRANCHISE, AND SOUTH DALLAS IS REALLY EXCITED TO SEE THEM COME SOUTH.

FARE IS ALSO GOING TO HAVE THEIR OFFICES HERE, AND RIGHT NOW THEY TAKE A SUITE IN A RETAIL SHOPPING DEVELOPMENT ON MARTIN LUTHER KING JUNIOR. THIS CAN HAVE A TRICKLE EFFECT TO OPEN UP THERE, THE OPPORTUNITY TO BRING IN OTHER BUSINESSES WHERE THEY ARE CURRENTLY AT, AT MLK IN ADDITION TO THAT SOMETHING THAT THEY HAVE WORKED REALLY HARD ON AND SOMETHING THAT I'VE TALKED WITH OUR CITY MANAGER ON AND HAVE COMMITMENT FROM THEM AND THE DALLAS POLICE DEPARTMENT WHO MENTIONED THIS AT THE GROUNDBREAKING.

BUT JUST AS WE WERE DISCUSSING AT RED BIRD THIS IS ALSO INTENDED TO HAVE A SUITE FOR A STOREFRONT FOR THE DALLAS POLICE DEPARTMENT TO WORK RIGHT THERE IN THE SOUTH

[01:50:09]

DALLAS FAIR PARK. COMMUNITY. THIS IS SOMETHING THAT I BELIEVE TO BE EXACTLY WHAT WE SHOULD BE INCENTIVIZING GROWTH IN AREAS THAT WE WANT TO SEE GROWTH AND BEING A PARTNER WITH DEVELOPERS SO THAT THE GROWTH OF SOUTH DALLAS ISN'T JUST WITH THE BIG GUYS THAT HAVE ACCESS TO THE FINANCIAL INSTITUTES. THIS IS PROMOTING SELF-DETERMINATION OF NEIGHBORHOODS TO GROW AND BE A PART OF THE GROWTH AND NOT ALLOW FOR GENTRIFICATION TO EXACERBATE DISPLACEMENT. AND SO I BELIEVE THIS TO BE A REALLY GOOD PROJECT AND ONE THAT I AM VERY EXCITED TO SUPPORT.

I DO BELIEVE THAT THIS THIS AMENDMENT IS VERY SMALL AND TECHNICAL IN THE GRAND SCHEME OF THINGS.

THOSE OF YOU WHO HAVEN'T BEEN AROUND THE AREA IN A WHILE, I ENCOURAGE YOU TO JUST GO ON MALCOLM X ACROSS I-30 AND RIGHT WHEN YOU HIT AL LIPSCOMB THAT FIRST LIGHT, YOU'RE GOING TO SEE THIS PROJECT ON THE LEFT.

AND IT IS A REALLY EXCITING THING TO SEE A RETAIL DEVELOPMENT IN SOUTH DALLAS PROPER.

SO LET'S, LET'S CONTINUE TO SUPPORT THIS AND CONTINUE TO SUPPORT THE GROWTH OF SOUTH DALLAS.

THANK YOU, MR. MAYOR. ANYONE ELSE WANT TO SPEAK ON FOR AGAINST AGENDA ITEM NINE? SEEING NONE. ALL IN FAVOR, SAY AYE. ANY OPPOSED? AYES HAVE IT. NEXT ITEM AGENDA ITEM 16. AUTHORIZE A THIRD AMENDMENT TO THE MATERIALS RECOVERY FACILITY.

[16. 26-3421A Authorize a third amendment to the Materials Recovery Facility Develop, Operate, and Manage Contract, as amended, with FCC Environmental Services Texas, LLC and Fomento de Construcciones y Contratas, S.A. dba FCC, S.A. to temporarily modify revenue sharing, host fees, and recycling education contributions for an initial three year period with two one-year renewal options, while continuing recycling processing services at McCommas Bluff Landfill without a City processing payment - Estimated Revenue Foregone: Sanitation Operation Fund approximately $3,000,000.00 (over a three-year term)]

DEVELOP, OPERATE AND MANAGE CONTRACT AS AMENDED WITH FCC ENVIRONMENTAL SERVICES TEXAS, LLC AND FOMENTO DE CONSTRUCTIONS.

ESADBAFCCSA TO TEMPORARILY MODIFY REVENUE SHARING, HOST FEES AND RECYCLING EDUCATION CONTRIBUTIONS FOR AN INITIAL THREE YEAR PERIOD WITH TWO ONE YEAR RENEWAL OPTIONS, WHILE CONTINUING RECYCLING PROCESSING SERVICES AT MCCOMMAS BLUFF LANDFILL WITHOUT A CITY PROCESSING PAYMENT.

THIS ITEM WAS PULLED BY COUNCIL MEMBER MENDELSOHN. IS THERE A MOTION? I NEED A MOTION TO APPROVE AND A SECOND. ANY DISCUSSION.

MISS MENDELSOHN RESENDEZ FOR FIVE MINUTES. AGENDA ITEM 16.

THANK YOU. WHY SHOULD THE CITY RENEGOTIATE? AND WHAT HAPPENS IF THE CITY COUNCIL REFUSES? AND IF YOU CAN ALSO SHARE HOW MUCH LONGER THE CONTRACTS IN PLACE.

THE CURRENT ONE. GOOD MORNING. CLIFF GILLESPIE, DIRECTOR.

SANITATION. SO THIS AGREEMENT WAS ENTERED INTO IN 2015 WITH THE RECYCLING PROCESSING FACILITY OPENED IN 2017. THE CITY RECEIVES REVENUE SHARING FROM MATERIALS THAT WE BRING TO THE FACILITY.

HOST FEES ASSOCIATED WITH PROCESSING NON CITY ORIGINATING MATERIALS AND THE CONTRIBUTIONS TOWARDS RECYCLING EDUCATION.

FCC. TEXAS HAS REQUESTED FINANCIAL ADJUSTMENTS DUE TO UNFAVORABLE RECYCLING, COMMODITY MARKETS AND INCREASED OPERATING EXPENSES.

WE HAVE REVIEWED THEIR FINANCIAL INFORMATION INTERNALLY AND WITH THE ASSISTANCE OF A AN INDEPENDENT CONSULTANT AND CONCUR WITH THE THE THE SITUATION. WE ARE RECOMMENDING THIS AMENDMENT TO TO ESSENTIALLY SUSTAIN THE VIABILITY OF THE CONTRACT FOR A SHORT TERM PERIOD, 3 TO 5 YEARS TO ALLOW OPPORTUNITIES FOR MARKET CHANGES HOPEFULLY TO SEE THOSE COMMODITY MARKETS GO UP POTENTIALLY OTHER POLICIES AT THE FEDERAL LEVEL PUT INTO PLACE. AND ALSO TO ALLOW US TIME TO COLLABORATE FURTHER WITH OUR PARTNER ON OTHER OPPORTUNITIES TO SUSTAIN THE VIABILITY OF THE CONTRACT. WITH REGARDS TO ACTIONS THE OTHER PARTY COULD TAKE IF IT'S NOT CHANGED. YOU KNOW, WE CAN'T ANTICIPATE WHAT THEY'LL DO, BUT IF THE AMENDMENT IS NOT APPROVED, THE EXISTING CONTRACT WOULD REMAIN IN EFFECT UNDER ITS CURRENT FORM.

BUT WITH THE CITY'S UNDERSTANDING OF THE OPERATIONAL AND FINANCIAL RISKS OF DOING SO.

SO ARE THEY OBLIGATED TO PERFORM UNDER THE EXISTING AGREEMENT? I'M SORRY. ARE THEY OBLIGATED TO PERFORM? YES, MA'AM.

AND TO YOUR OTHER QUESTION, THE CONTRACT IS IN EFFECT THROUGH THE END OF 2034.

OKAY. SO. I'M NOT UNDERSTANDING WHY WE WOULD REVISE A CONTRACT THAT THEY'RE OBLIGATED TO PERFORM

[01:55:09]

UNDER JUST BECAUSE THEY'RE NOT MAKING AS MUCH MONEY AS THEY THOUGHT THEY WOULD.

WELL, THE THE THEY CAME IN AS A PROPOSER. THEY WERE THE MOST FAVORABLE PROPOSER.

WE PICKED THEM AND NOW WHAT THEY PROPOSED ISN'T MAKING THEM AS MUCH MONEY AS THEY THOUGHT.

AND IN FACT, IS LOSING MONEY. I THINK YOU SAID SEVEN OF THE NINE YEARS.

BUT THAT'S NOT OUR PROBLEM. THAT'S THEIR PROBLEM.

SO THIS CONTRACT WAS BID IN 2015. THE WHAT COULD NOT HAVE BEEN FORESEEN BY THE PROPOSER OR THE CITY OR ANYONE AT THE TIME WAS WHAT CHINA WOULD DO IN 2019, WHICH WAS STOP ACCEPTING THE WORLD'S PLASTICS.

SINCE THEN, THE RECYCLING COMMODITY MARKETS HAVE BEEN IN FLUX FREQUENTLY BEEN BEEN DOWN.

SO THIS IS NOT SOMETHING THAT, YOU KNOW, JUST WE OR, OR THE CONTRACTOR FAILED TO RECOGNIZE THE WORLD DID NOT FORESEE THIS COMING.

SO THE, THE THE REALITY IS, THE INDUSTRY STANDARD FOR A CONTRACT OF THIS NATURE IS THAT THE.

THE CITY, THE MUNICIPALITY. IT'S AN EXPENSE TO THEM.

THEY PAY FOR THE SERVICE. WHEREAS WE HAVE TO.

THE BEST OF OUR RESEARCH, OUR CONSULTANTS, RESEARCH.

THE ONLY CONTRACT IN THE COUNTRY WHERE WE HAVE A NET REVENUE TO THE CITY.

SO IT'S IN THE CITY'S INTEREST FOR THIS CONTRACT TO REMAIN IN PLACE AND NOT BECOME HAVE TO BE REPLACED WITH A NEW SIGNIFICANT EXPENSE CONTRACT. BUT THAT NEW SIGNIFICANT EXPENSE, AS YOU CALL IT, WOULDN'T BE UNTIL 2035, NUMBER ONE. AND NUMBER TWO, YOU DON'T KNOW THAT THERE'S NOT ANOTHER VENDOR THAT COULDN'T OFFER SOMETHING BETTER.

AGAIN, I, I, BECAUSE WE HAVEN'T DONE THIS SINCE 2015.

IS THAT RIGHT? I DO KNOW THAT WE WOULD NOT FIND ANOTHER VENDOR.

AGAIN, WE'VE DONE THOROUGH RESEARCH AND WE HAVE NOT IDENTIFIED ANY CONTRACT IN THE COUNTRY WHERE THE CITY AND THE MUNICIPALITY IS MAKING NET REVENUE ON THE CONTRACT. IT'S AN EXPENSE TO THE CITY IN EVERY SINGLE CASE THAT WE'VE BEEN ABLE TO IDENTIFY.

WELL, IT'S KIND OF AN EXPENSE TO US. TO YOUR OWN MEMO SAYS THAT IT COSTS $19 MILLION TO DO RESIDENTIAL RECYCLING COLLECTION, CORRECT? YES, MA'AM. THAT IS TO PICK UP COLLECT THE RECYCLABLE MATERIALS, WHICH, IF WE WEREN'T DOING THOSE MATERIALS, WOULD END UP IN THE WASTE STREAM. SO THOSE MATERIALS STILL EXIST, WHETHER THEY'RE BEING PICKED UP AS RECYCLING OR PICKED UP AS GARBAGE.

SO WE WOULD STILL NEED THE TRUCKS AND THE STAFF TO PICK UP THAT ADDITIONAL GARBAGE.

SO MOST OF THAT EXPENSE WOULD WOULD STILL BE AN EXPENSE TO THE SANITATION CUSTOMER.

WELL, I'M NOT SURE THE THE TRADE OFF THOUGH, IS THAT, YOU KNOW, WE'RE WE'RE DIVERTING THAT MATERIAL FROM THE LANDFILL AND EXTENDING THE LIFE OF THE LANDFILL. THANK YOU FOR THAT. WHAT PERCENT OF MATERIAL PLACED IN THE BLUE CARTS IS ACTUALLY RECYCLED VERSUS REJECTED AND SENT TO THE LANDFILL? OUR DIVERSION RATE IS APPROXIMATELY 20%. THE CONTAMINATION RATE VARIES.

WE DO A TWICE ANNUAL AUDIT ON ON THE MATERIALS IN THE RECYCLE STREAM.

OKAY. WELL, THIS IS JUST ANOTHER CONTRACT WHERE WE ARE RENEGOTIATING AGAINST OURSELVES.

WE HAVE A SIGNED CONTRACT UNTIL 2035 THAT SAYS WE WILL SHARE REVENUE, AND WE'RE GOING TO DECIDE TO GIVE UP THIS CONTRACT BECAUSE THEY'RE NOT MAKING AS MUCH MONEY AS THEY THOUGHT.

AND I JUST DON'T SEE WHERE THE CITY IS WORKING ON THE BEST INTERESTS OF OUR TAXPAYERS, AS OPPOSED TO THE BEST INTEREST OF OUR VENDORS.

AND WHETHER THAT'S A DEVELOPER OR A CONTRACT.

I, I DON'T UNDERSTAND WHAT'S HAPPENING HERE AND HERE.

WE HAVE OUR THIRD ONE THIS YEAR, THIS, THIS MEETING, JUST THIS MEETING THAT DOESN'T INCLUDE ALL THE OTHER MEETINGS THIS YEAR.

AND SO I'M GOING TO CONTINUE TO BRING THEM OUT AND TALK ABOUT THEM, BECAUSE THIS IS NOT HOW I THINK OUR CITY SHOULD BE MANAGED.

WE SHOULD BE WORKING FOR THE BEST ADVANTAGE OF OUR RESIDENTS AND OUR TAXPAYERS.

AND YOU KNOW, TO YOUR POINT, YOU'RE SAYING 3 TO 5 YEARS.

WHICH IS WHICH IS THE LENGTH OF THIS IS SHORT TERM, BUT YOU KNOW WHAT? YOU DON'T KNOW THAT IN 3 TO 5 YEARS THERE MIGHT NOT BE A BETTER OPTION.

SO WHY WOULDN'T WE MAINTAIN WHAT WE HAVE NOW AND LOOK FOR A BETTER OPTION ALONG THOSE ALONG THOSE YEARS? I'M NOT GOING TO SUPPORT THIS. AND I THINK IT'S A VERY BAD DEAL FOR THE CITY.

MISS MENDELSOHN, THIS CONTRACT IS ABSOLUTELY IN THE BEST INTEREST OF THE SANITATION RATEPAYER.

GIVEN THE CURRENT MARKET CONDITIONS, THE CONTRACT IS STILL BENEFICIAL TO THE CITY GIVEN GIVEN THOSE ECONOMIC CONDITIONS AND THE FACT THAT THE CURRENT INDUSTRY STANDARD

[02:00:01]

OF THE SERVICE IS BEING A NET EXPENSE TO THE CITY.

NOW, IF SOMETHING MATERIALLY CHANGES WITH THE MARKETS DURING THE 3 TO 5 YEAR TERM OF THIS AMENDMENT, THERE IS A SUSPENSION PROVISION THAT ALLOWS US TO REVERT TO THE CURRENT TERMS OF THE CONTRACT SO THAT WE'RE NOT GIVING THEM THAT ADDITIONAL BENEFIT OR REVENUE IF MARKETS CHANGE.

OKAY. WELL, I DON'T I DON'T SEE THAT EVER HAPPENING IN SEVEN YEARS.

WE'VE NEVER DONE SOMETHING LIKE THAT. SO I DON'T BELIEVE THAT IT WOULD HAPPEN.

BUT WHEN YOU HAVE CONFIRMED THAT THEY HAVE AN OBLIGATION TO PERFORM UNDER THE EXISTING CONTRACT.

I DON'T UNDERSTAND WHY WE WOULD CHANGE IT TO SOMETHING THAT IS LESS POSITIVE FOR THE CITY.

THANK YOU. I'M DONE. AGAIN, THIS IS STILL REVENUE TO THE CITY.

CHAIRWOMAN STEWART, YOU'RE RECOGNIZED FOR FIVE MINUTES. THANK YOU, MAYOR JOHNSON.

LET'S JUST GO OVER A COUPLE OF POINTS THAT WERE JUST DISCUSSED.

FIRST OF ALL, OUR CONTRACT, YOU BELIEVE BECAUSE OF THE MARKED CHANGES IN MARKET, OUR CONTRACT IS RARE AT THIS POINT.

VERY RARE. LIKE THERE MIGHT NOT BE ANOTHER CONTRACT IN THE COUNTRY THAT PROVIDES FOR THE REVENUE THAT WE'RE GETTING.

IS THAT CORRECT? YES, MA'AM. THAT'S CORRECT. SO WE'VE DONE THOROUGH RESEARCH ON THIS INTERNALLY. AND AGAIN WITH THE EXTERNAL CONSULTANT WHO IS WORKS IN THIS IN THIS INDUSTRY, AS WELL AS CONFERRING WITH MY PEER SOLID WASTE DIRECTORS IN MY CAPACITY AS PRESIDENT OF THE TEXAS CHAPTER OF THE SOLID WASTE ASSOCIATION OF NORTH AMERICA. THANK YOU. IT'S HELPFUL TO KNOW THAT YOU'VE, YOU'VE CONFERRED WITH EXPERTS IN THE FIELD AND HAVE BEEN ABLE TO MAKE THAT EVALUATION.

SO LET'S JUST ASK THE REALLY HARD QUESTION. IF WE DON'T AGREE TO THIS AMENDMENT, WHAT WHAT DO YOU THINK? OUR RECYCLE CONTRACTOR WILL DO. WELL, AGAIN, I CAN'T ANTICIPATE WHAT THEY WILL DO, BUT WHAT I CAN DO IS ACT PROACTIVELY TO PREPARE THE CITY. SHOULD THE CONTRACTOR FIND THIS FIND THIS CONTRACT NOT NO LONGER TO BE VIABLE.

THIS THIS CONTINUES TO BE A REVENUE AGREEMENT AT NO ADDITIONAL EXPENSE TO THE SANITATION RATEPAYER DURING THIS PERIOD. IT ALLOWS US TO CONFER WITH THE CONTRACTOR, OUR PARTNER IN RECYCLING TO IDENTIFY OTHER OPPORTUNITIES. AND FOR US ALONE AS THE SANITATION DEPARTMENT TO ALSO IDENTIFY AND PUT INTO PLACE CONTINGENCY SHOULD THEY BECOME NECESSARY. OKAY. SORRY, JUST GOING OVER.

AND AND ALSO, JUST TO REITERATE WHAT THE IMPACT IS ON THE RATEPAYER.

THERE IS NO IMPACT TO THE RATEPAYER FROM THIS CHANGE.

RECOGNIZING THE POTENTIAL FOR AN IMPACT. THIS ITEM WAS INCLUDED IN THE BUDGET FOR THIS YEAR AND THE PLANNED BUDGET FOR NEXT YEAR.

WE ARE OFFSETTING THE, THE REVENUE WITH COMMERCIAL LANDFILL REVENUE THAT WILL COME FROM CONTINUING INCREASING COMMERCIAL CUSTOMER ACTIVITY AT THE SITE.

OKAY, SO YOU HAVE FOUND A WAY TO BUDGET FOR THIS WITHOUT PUTTING THAT BURDEN ON THE RATEPAYER.

YOU'VE DONE YOUR RESEARCH TO DETERMINE THAT. YES.

THE MARKET HAS CHANGED AND IT LOOKS AS IF WE HAVE A RARE CONTRACT RIGHT NOW, SO THAT'S UNDERSTANDABLE.

SO YOU BEGAN YOU'VE BEGUN TO PLAN AROUND THAT.

ANYTHING ELSE THAT YOU WANT TO ADD TO THE EQUATION AS WE'RE WEIGHING ALL THIS BACK AND FORTH? YEAH. I WOULD JUST REPEAT AGAIN THAT EVEN WITH THIS AMENDMENT, THIS IS STILL A BENEFICIAL BENEFICIAL TO THE CITY GIVEN THE CURRENT ECONOMIC CONDITIONS AND WHERE THE INDUSTRY IS IN THAT THESE CONTRACTS ARE NET EXPENSE CONTRACTS TO, TO MUNICIPALITIES AT THIS POINT.

OKAY. THANK YOU. THE RECYCLING MARKET HAS CHANGED SIGNIFICANTLY SINCE WE ENTERED INTO OUR CURRENT CONTRACT.

AND I BELIEVE IT IS IMPORTANT THAT WE RECOGNIZE THOSE CHANGES AND RESPOND RESPONSIBLY.

AMENDING OUR CONTRACT TO REFLECT TODAY'S MARKET CONDITIONS MAKES GOOD SENSE.

I ALSO BELIEVE IT'S ESSENTIAL THAT WE GIVE OUR STAFF THE OPPORTUNITY TO THOROUGHLY EVALUATE OUR OPTIONS GOING FORWARD, WHICH YOU HAVE DONE AND IS MUCH APPRECIATED. WE NEED TO UNDERSTAND THE IMPLICATIONS AND HAVING OUR STAFF EXPLORE THOSE ALTERNATIVES AND THEN MAKE RECOMMENDATIONS HAS SERVED THE CITY WELL, SO I APPRECIATE YOUR RECOMMENDATION.

[02:05:03]

THANK YOU, MR. MAYOR. CHAIRMAN RIDLEY, YOU RECOGNIZED FOR FIVE MINUTES.

THANK YOU, MR. MAYOR. DIRECTOR GILLESPIE, HOW DID THIS RENEGOTIATION PROCESS COMMENCE? DID THIS VENDOR SEND THE CITY A LETTER INDICATING THEY COULD NO LONGER OPERATE UNDER THE EXISTING CONTRACT CONDITIONS? IS ANYTHING IN WRITING? YES, SIR. SO THEY APPROACHED US IN WRITING, REQUESTING CERTAIN CONCESSIONS.

WE TOOK TIME TO REVIEW AND VET THOSE, THOSE REQUESTS ALONG WITH REVIEWING THEIR FINANCIAL INFORMATION AND NEGOTIATED FROM THERE. DID THEY INDICATE IN THAT LETTER THAT WHAT THE CONSEQUENCES WOULD BE IF THE CITY FAILED TO AMEND THE CONTRACT? NO, SIR. NOT AT ALL. WE WE'VE HAD MULTIPLE CONVERSATIONS WITH THEM, THOUGH, AND THEY HAVE EXPRESSED CONCERNS ABOUT THE VIABILITY OF THE CONTRACT GIVEN THE CURRENT ECONOMIC CONDITIONS. OKAY. THE TWO YEAR OPTION PERIOD UNDER THE PROPOSED AMENDMENT, WHOSE OPTION IS THAT TO EXERCISE THE CITY'S OR THE VENDOR'S? IT'S BOTH, BUT THE CITY WOULD HAVE TO AGREE TO APPROVE THOSE EXTENSIONS.

SO EVEN IF THEY ASK TO EXTEND IT PAST THE THIRD YEAR, THE CITY AT THAT POINT COULD DECLINE TO DO SO.

AND THEN THE CONTRACT WOULD REVERT TO ITS ORIGINAL TERMS. YES, SIR. OKAY. THANK YOU. IS THERE ANYONE ELSE LIKE TO SPEAK ON FOR OR AGAINST ITEM 16? SEEING NONE. ALL IN FAVOR, SAY AYE. ANY OPPOSED? I NOTE TWO, TWO NOTES MR. MAYOR COUNCIL MEMBER ROTH AND COUNCIL MEMBER MENDELSOHN.

OKAY, THE AYES HAVE IT. NEXT ITEM. THANK YOU, MR. MAYOR. AGENDA ITEM 35. AUTHORIZE APPROVAL OF THE OFFICE OF THE CITY AUDITORS.

[35. 26-3317A Authorize approval of the Office of the City Auditor’s FY 2027 Audit Plan as required by paragraph 8(b) of Resolution No. 21-2021, previously approved on February 24, 2021 - Financing: No cost consideration to the City]

FY 2027 AUDIT PLAN AS REQUIRED BY PARAGRAPH EIGHT B OF RESOLUTION NUMBER 21-2021.

PREVIOUSLY APPROVED ON FEBRUARY 24TH, 2021. THIS ITEM WAS PULLED BY COUNCIL MEMBER MENDELSOHN AND COUNCIL MEMBER WEST.

MR. WEST, FOR WHAT PURPOSE? MOTION. OKAY. GO FOR IT.

MOVE TO APPROVE. WOW. I THOUGHT THERE WAS SOMETHING BIG COMING, TOO.

OKAY. ALL RIGHT. IT'S BEEN MOVED AND SECONDED. ANY DISCUSSION? CHAIRMAN WHITE, YOU RECOGNIZED FOR FIVE MINUTES. THANK YOU.

MAYOR. GIVE ME JUST A MOMENT. ALL RIGHT. I WANT TO THANK THE VARIOUS COUNCIL MEMBERS WHO SUBMITTED RECOMMENDED AUDITS OVER THE PAST FEW MONTHS FOR THIS COMPREHENSIVE PLAN FOR FISCAL YEAR 2027.

AND ALSO ALL OF MY COLLEAGUES WHO CAME TO THE FINANCE COMMITTEE MEETING AND CONTINUED TO HONE, EXCUSE ME, HONE IN ON THE AUDIT PLAN THAT'S BEING PROPOSED TODAY.

I'M NOT GOING TO LIST EVERY AUDIT THAT'S INCLUDED IN THE AUDIT PLAN, BUT TO HIGHLIGHT JUST A FEW CONTRACT OVERSIGHT AT THE PARK AND RECREATION DEPARTMENT.

THIS WAS REQUESTED BY DEPUTY MAYOR PRO TEM JOHNSON AND COUNCIL MEMBERS ROTH AND MENDELSOHN MULTI YEAR FUND MANAGEMENT REVIEW, CONTRACT EXECUTION, TIMELINE REVIEW, SOFTWARE LICENSING, WHICH WE'VE BEEN TALKING ABOUT A LOT SINCE BUDGET SEASON.

THE CITY'S FLOCK CAMERA PROGRAM, WHICH WAS REQUESTED BY COUNCIL MEMBER KADENA.

AND AS RECENTLY AS JUST YESTERDAY WE HAVE AN AUDIT OF THE RNC CONVENTION REQUESTED BY COUNCIL MEMBERS RIDLEY, BAZALDUA, BLACKMON AND ROTH, WHICH IS ON. THAT PARTICULAR ITEM, WILL FIT UNDER ITEM FOUR OF THE AUDIT PLAN.

WHILE THIS PLAN APPROVAL TODAY DOES NOT PREVENT ADDITIONAL AUDITS FROM GETTING ADDED OVER THE YEAR, IT DOES SET A CLEAR LIST OF COUNCIL APPROVED PRIORITIES, WHICH IS ESSENTIAL WHEN OUR AUDITOR AND HIS TEAM HAVE LIMITED HOURS.

I ASK FOR YOUR APPROVAL TODAY. THANK YOU. MISS MENDELSOHN, YOU'RE RECOGNIZED FOR FIVE MINUTES ON AGENDA ITEM 35.

THANK YOU. I ACTUALLY MOVED TO AMEND THE MOTION OF THE CITY AUDITOR'S PLAN.

SO I WOULD LIKE TO LOOK AT PAGE NINE. WAIT. I'M SORRY.

ARE YOU. YOU WANT TO MAKE AN AMENDMENT NOW? YEAH.

OKAY. CAN YOU. WHAT IS THE AMENDMENT? THE AMENDMENT IS ON PAGE NINE, ITEM EIGHT.

THE DALLAS POLICE DEPARTMENT CRIME STATISTICS TO MODIFY THAT AUDIT ITEM FROM THE QUESTION OF OUR CONTROLS IN PLACE TO ENSURE THE CRIME STATISTICS REPORTED TO THE FBI ARE ACCURATE. TO REPLACE IT TO OUR CONTROLS IN PLACE TO ENSURE CRIME STATISTICS REPORTED

[02:10:09]

MATCH THE ACTUAL CRIME. IS THERE A SECOND? IT'S BEEN MOVED AND SECONDED.

AND I HAVE ADDITIONAL ITEMS TO MODIFY ON THIS MOTION.

OKAY, SO I JUST WANT TO MAKE SURE WE GET IT DONE EFFICIENTLY. SO I WANT TO DO THEM ONE BY ONE.

I WAS GOING TO ASK, I MEAN, IS IT OKAY IF I DO THEM ALL OR DO THEM ALL? BUT IT COULD GET VERY MESSY IF SOME PEOPLE WANT SOME AND SOME DON'T WANT OTHERS.

HOW MANY ARE THERE? I'M JUST TRYING TO GET IT DONE.

I UNDERSTAND THERE'S ONE TO MODIFY, TWO TO REMOVE AND THREE TO ADD.

SO TOTAL SIX SIX CHANGES.

OR YOU CAN ROLL THEM ALL OUT THERE AT ONCE. AND SO WE'LL HOLD THAT SECOND IN ADVANCE.

FOR THAT'S THE FIRST ONE IS JUST A MODIFICATION.

THE SECOND IS TO REMOVE THE AUDIT ON THE WICK PROGRAM SINCE THE COUNCIL.

WELL I'M NOT GOING TO GIVE THE REASON WHY THE OTHER REMOVAL IS FOR THE ENVIRONMENTAL ITEM, WHICH IS NUMBER FOUR ON SLIDE EIGHT. AND THEN IT'S TO ADD THREE WHICH ARE FROM THE MEMO I SUBMITTED ON SEPTEMBER 8TH, 2025. THE FIRST ONE IS UNDER PUBLIC SAFETY AND IT IS FOR FIRE DEPARTMENT STAFFING AND SCHEDULING MODELS, EVALUATING WHETHER CURRENT STAFFING LEVELS AND SCHEDULING MODELS FOR FIREFIGHTERS ARE MOST EFFECTIVE AND SUSTAINABLE ARE THE MOST EFFECTIVE AND SUSTAINABLE MODEL FOR RESPONSE TIMES, EMPLOYEE RETENTION, FIREFIGHTER SAFETY COSTS, AND PUBLIC SAFETY OUTCOMES.

THE SECOND ONE TO ADD IS IT FUNCTIONS IN PUBLIC SAFETY.

ASSESS WHETHER DEDICATED IT FUNCTIONS FOR POLICE DEPARTMENT SEPARATE FROM THE GENERAL CITY.

IT WOULD IMPROVE RELIABILITY, DATA INTEGRITY, CYBERSECURITY, OPERATIONAL EFFECTIVENESS AND TECHNOLOGY RELATED RISK IN MISSION CRITICAL OPERATIONS. AND THE THIRD IS UNDER PROCUREMENT PRACTICES WHICH IS CHANGE ORDERS AND VENDOR HISTORY.

EVALUATE HOW VENDOR PERFORMANCE, INCLUDING CHANGE ORDERS AND DELAYS, IS OR SHOULD BE CONSIDERED IN SCORING AND EVALUATING PROPOSALS.

IS THERE A SECOND? ALL RIGHT. AND SECOND, YOU HAVE THE FLOOR FOR FIVE MINUTES ON YOUR AMENDMENT.

THANK YOU. SO UNDER THE ADJUSTMENT. I HAVE NOT HEARD ANYBODY SAY THAT THE CRIMES THAT ARE BEING SHARED WITH US THROUGH NIBRS ARE NOT ACCURATE.

I'VE NEVER HEARD THAT. BUT WHAT I HAVE HEARD, AND PERHAPS YOU HAVE AS WELL, IS THAT OFFICERS ARE POSSIBLY DOWNGRADING CRIMES SO THAT MAYBE THERE'S SOMETHING THAT COULD BE BORDERLINE, AND THEY ARE EITHER NOT WRITING THE CRIME UP AND INSTEAD JUST GIVING A WARNING, OR ARE PERHAPS DOWNGRADING IT SO THAT OUR CRIME STATS ARE NOT ACCURATE. AND I WOULD LIKE TO SEE IF THAT'S TRUE BECAUSE I'VE I'VE HEARD IT AND WE SHOULD BE ABLE TO FEEL CONFIDENT IN WHAT OUR CRIME STATS ARE.

AND I THINK THAT WOULD GIVE US THAT CONFIDENCE.

THE REMOVAL OF THE WICK PROGRAM IS SIMPLY BECAUSE WE'VE ALREADY HAD SO MANY DISCUSSIONS THAT I BELIEVE THE CITY MANAGER HAS ALREADY SPOKEN WITH DALLAS COUNTY ABOUT MOVING THAT OVER. I DON'T SEE A NEED TO SPEND HUNDREDS OF HOURS ON AN AUDIT FOR IT, WHEN THERE ALREADY SEEMS TO BE AGREEMENT THAT THAT PROCESS WILL MOVE TO DALLAS COUNTY. THE SECOND IS THE ENVIRONMENTAL, WHERE AGAIN, THE OBJECTIVES OF THAT SEEM TO ACTUALLY JUST BE TYPICAL COUNCIL OVERSIGHT. THERE'S NOTHING REALLY AUDITABLE IN HERE THAT'S MEANINGFUL BEYOND WHAT THE COUNCIL CAN ALREADY DO. AND IN AN EFFORT TO CONSERVE AUDIT HOURS, THE REMOVAL OF THAT LEADS TO HAVING THE AVAILABILITY TO DO THESE VERY ESSENTIAL AUDITS THE FIRE DEPARTMENT STAFFING AND SCHEDULING MODELS.

YOU MAY BE AWARE THAT MANY CITIES ARE CONSIDERING CHANGING FROM TWO DAYS OFF ONE DAY ON TO THREE DAYS OFF ONE DAY ON.

IT'S BEEN PART OF A LOT OF DIFFERENT CONTRACTS HAPPENING ACROSS THE STATE AND ACROSS THE NATION, AND IS VERY MUCH RELATED TO THE MENTAL HEALTH OF THE OFFICERS.

WE HAVE A VERY HIGH SUICIDE RATE FOR OUR FIREFIGHTERS, AND I THINK WE AT LEAST NEED TO LOOK AT HOW THIS AFFECTS OUR

[02:15:04]

STAFFING AND WHAT THAT DOES FOR BOTH RETENTION AS WELL AS ALL KINDS OF SERVICE RESPONSE.

THE ONE FOR THE IT PUBLIC SAFETY. THIS HAS BEEN DISCUSSED AS LONG AS I'VE BEEN HERE.

IF IT. FOR DPD SHOULD BE SEPARATE. HAVING HAD SIGNIFICANT DATA LOSSES THAT AFFECTED DPD SORT OF UNDERSCORE THE NEED FOR IT AND HAVING THIS KIND OF AUDIT MIGHT INFORM. IF WE WANT TO PURSUE THAT ACTION TO SEGREGATE IT.

OR IF WE SHOULD JUST FINALLY PUT THAT TO BED.

AND THEN THIRD, THE CHANGE ORDER AND VENDOR HISTORY AGAIN.

YOU KNOW, I THINK I OFTEN TALK ABOUT US HAVING A NAUGHTY LIST, BUT THIS IS REALLY SAYING HOW DID THE VENDOR PERFORM? SHOULD ARE THEY CONSTANTLY COMING IN AS THE VENDOR? BUT THEN THEY ALWAYS PUT IN CHANGE ORDERS. THEY'RE ALWAYS DELAYED ON PROJECTS.

AND SO LOOKING AT, YOU KNOW, SORT OF THE QUALITY OF THAT CONTRACT AND HOW WE COULD BEST CONSIDER THAT WHEN AWARDING ADDITIONAL CONTRACTS IN, IN, THROUGHOUT OUR PROCUREMENT PROCESS, I THINK WOULD HELP INFORM BETTER PROCESSES FOR THE CITY. SO THAT'S WHAT THE AMENDMENT IS.

CHAIRMAN WEST RECOGNIZED FOR FIVE MINUTES ON THE AMENDMENT BY MISS MENDELSOHN TO AGENDA ITEM 35.

THANK YOU MAYOR. THIS IS THE FIRST I'VE HEARD OF OF MOST OF THESE REQUESTS.

I THINK THEY'RE ALL THEY ALL SEEM PRETTY REASONABLE.

BUT I, I DON'T LIKE GOING THROUGH THIS ON THE FLOOR DURING AGENDA DAY.

IF IT'S APPROPRIATE NOW I WOULD MAKE A MOTION TO, TO REMAND THIS ITEM BACK TO THE FINANCE OR TO SEND THIS ITEM BACK TO THE FINANCE COMMITTEE FOR THE NOVEMBER MEETING SO THAT WE CAN REEVALUATE THE AUDIT.

SECOND AT THAT TIME. THANK YOU. IT'S IT'S BEEN MOVED AND SECONDED.

IS THERE ANY DO YOU WANT THE FLOOR FOR FIVE MINUTES ON YOUR MOTION, MR. WEST? LESS THAN THAT, BUT YES. OKAY. GO AHEAD.

YOU'RE RECOGNIZED FOR FIVE MINUTES ON YOUR MOTION TO REMAND. BACK TO COMMITTEE.

THANK YOU MAYOR. SO WE ALREADY HAVE 3000 HOURS OF OF AUDITS PROPOSED FOR 2027.

I'M NOT SURE HOW THIS LIST OF FIVE CHANGES THAT WE'RE RECEIVING TODAY WOULD IMPACT THOSE HOURS.

SO I THINK FINANCE SHOULD HAVE AN OPPORTUNITY TO HONE THROUGH THIS AND PROBABLY END UP ADOPTING SEVERAL, IF NOT ALL OF THESE. SO PLEASE SUPPORT SENDING THIS BACK TO THE FINANCE COMMITTEE FOR OUR NOVEMBER MEETING.

THANK YOU. ANYONE ELSE WANT TO SPEAK ON FOR OR AGAINST THE MOTION TO REMAND? BACK TO COMMITTEE AGENDA ITEM 35. ALL RIGHT. SEEING NONE.

ALL IN FAVOR, SAY AYE. AYE. ANY OPPOSED? AYES HAVE IT.

AND THAT THAT DISPOSES OF THE AMENDMENT AS WELL.

OKAY. NEXT ITEM. THANK YOU, MR. MAYOR. WE WILL NOW MOVE TO YOUR ITEMS FOR INDIVIDUAL CONSIDERATION,

[36. 26-3438A Consideration of appointments to boards and commissions and the evaluation and duties of board and commission members (List of nominees is available in the City Secretary's Office)]

BEGINNING WITH AGENDA ITEM 36. ITEM 36 IS CONSIDERATION OF APPOINTMENTS TO BOARDS AND COMMISSIONS.

THIS MORNING YOU HAVE INDIVIDUAL AND A FULL COUNCIL APPOINTMENT.

YOUR NOMINEES FOR INDIVIDUAL APPOINTMENT TO THE COMMISSION ON DISABILITIES.

ANDREW G. ALFARO IS BEING NOMINATED BY COUNCIL MEMBER MORENO.

MR. ALFARO MEETS THE. COMMITTED TO THE COMMUNITY OF DISABLED PERSONS.

SPECIAL QUALIFICATION TO THE COMMUNITY POLICE OVERSIGHT BOARD.

DESMOND E LEVINE IS BEING NOMINATED BY DEPUTY MAYOR PRO TEM JOHNSON TO THE ENVIRONMENTAL COMMISSION.

MICHAEL A CINTRON IS BEING NOMINATED BY COUNCIL MEMBER CADENA.

MR. CINTRON MEETS THE GENERAL PUBLIC. SPECIAL QUALIFICATION TO THE SOUTH DALLAS FAIR PARK OPPORTUNITY FUND BOARD.

JORDAN TRENT HOOVER IS BEING NOMINATED BY COUNCILMEMBER RIDLEY.

MR. HOOVER MEETS THE. ACTIVELY INVOLVED IN THE SOUTH DALLAS FAIR PARK COMMUNITY.

SPECIAL QUALIFICATION AND YOUR NOMINEE FOR FULL COUNCIL APPOINTMENT TO THE REINVESTMENT ZONE 19 BOARD.

CYPRESS WATERS. GEORGE H. SAMPSON IS BEING NOMINATED BY COUNCIL MEMBER CADENA.

THESE ARE YOUR NOMINEES, MR. MAYOR. ALL RIGHT.

A MOTION FOR APPROVAL. IS THERE A SECOND? MOVED AND SECONDED.

ANY DISCUSSION? SEEING NONE. ALL IN FAVOR, SAY AYE.

ANY OPPOSED? AYES HAVE IT. NOMINEES ARE APPROVED.

CONGRATULATIONS. AGENDA ITEM 37. AUTHORIZE DISCRETIONARY SERVICE AGREEMENTS BETWEEN THE CITY OF DALLAS CITY

[37. 26-3313A Authorize Discretionary Service Agreements between the City of Dallas (City) and Oncor Electric Delivery Company, LLC (Oncor) at 701 South Lamar Street, Dallas, Texas 75202 for (a) an Oncor Pre-order agreement, in an amount not to exceed $4,429,084.57 for long lead-time equipment for vault location VC-726 (Vault 1) for Work Order No. 21463654, for Component One of Kay Bailey Hutchison Convention Center Dallas (KBHCCD) Master Plan; (b) an Oncor Pre-order agreement, in an amount not to exceed $4,429,084.57 for long lead-time equipment for vault location VC-727 (Vault 2) for Work Order No. 31968623, for Component One of KBHCCD Master Plan; (c) an Oncor Pre-order agreement, in an amount not to exceed $4,429,084.57 for long lead-time equipment for vault location VC-728 (Vault 3) for Work Order No. 31968795, for Component One of KBHCCD Master Plan; and (d) an Oncor Pre-order agreement, in an amount not to exceed $4,429,084.57 for long lead-time equipment for vault location VC-729 (Vault 4) for Work Order No. 31968881, for Component One of the KBHCCD Master Plan - Total not to exceed $17,716,338.28 - Financing: Convention Center Capital Construction Fund *In alignment with Kay Bailey Hutchison Convention Center Dallas Master Plan.]

AND ONCOR ELECTRIC DELIVERY COMPANY, LLC. ENCORE AT 701 SOUTH LAMAR STREET, DALLAS, TEXAS 75202 FOR A AND ENCORE PRE ORDER AGREEMENT IN AN AMOUNT TO EXCEED NOT TO EXCEED

[02:20:03]

$4,429,084.57 FOR LONG LEAD TIME EQUIPMENT FOR VAULT LOCATION VC-726. VAULT ONE FOR COMPONENT ONE OF THE KAY BAILEY HUTCHISON CONVENTION CENTER, DALLAS KBHCCD MASTER PLAN B AN ENCORE. PREORDER AGREEMENT IN AN AMOUNT NOT TO EXCEED $4,429,084.57 FOR LONG LEAD TIME EQUIPMENT FOR VAULT LOCATION VC 727.

VAULT TWO FOR COMPONENT ONE OF KBHC, C, D MASTER PLAN C AN ENCORE PREORDER AGREEMENT IN AN AMOUNT NOT TO EXCEED $4,429,084.57 FOR LONG LEAD TIME EQUIPMENT FOR VAULT LOCATION VC DASH 728, VAULT THREE FOR COMPONENT ONE OF K, B, H C, C, D MASTER PLAN AND D A AN ENCORE PREORDER AGREEMENT IN AN AMOUNT NOT TO EXCEED $4,429,084.57 FOR LONG LEAD TIME EQUIPMENT FOR VAULT LOCATION VC DASH 729. VAULT FOUR FOR COMPONENT ONE OF THE CCB CCD MASTER PLAN TOTAL NOT TO EXCEED $17,716,338.28. THIS IS YOUR ITEM, MR. MAYOR.

SECOND, IT'S BEEN MOVED IN. SECOND. ANY DISCUSSION? SEEING NONE. ALL IN FAVOR, SAY AYE. ANY OPPOSED? THE AYES HAVE IT. MADAM SECRETARY, MR. MAYOR, THIS CONCLUDES YOUR AGENDA FOR THIS SESSION.

WONDERFUL. THEN WE'LL STAND IN RECESS UNTIL 1 P.M..

THANK YOU. ALL RIGHT. TIME'S 01:22 P.M.. WE'RE BACK IN REGULAR SESSION, MADAM SECRETARY.

THANK YOU, MR. MAYOR. WE ARE AT YOUR ZONING AGENDA.

BEFORE WE MOVE TO YOUR ZONING CONSENT AGENDA, MR.

[Z6. 26-3367A A public hearing to receive comments regarding an application for and an ordinance granting CR Community Retail District and a resolution accepting deed restrictions volunteered by the applicant on property zoned R-10(A) Single Family District, on the east corner of South Beltline Road and Lawson Road, AKA 500 South Beltline Road Recommendation of Staff: Approval, subject to deed restrictions volunteered by the applicant Recommendation of CPC: Approval, subject to deed restrictions volunteered by the applicant Z-26-000163 *In alignment with ForwardDallas.]

MAYOR, COUNCIL MEMBER BLAIR WOULD LIKE TO BE RECOGNIZED ON ITEM Z SIX.

CHAIRWOMAN BLAIR RECOGNIZED. THANK YOU, MR. MAYOR.

ON ITEM Z6I HOLD TO. I MOVE TO HOLD THIS UNTIL THE 12TH.

NINE 2026 AGENDA. IS THERE A SECOND? IS THERE ANY DISCUSSION? HEARING? NONE. ALL IN FAVOR, SAY AYE. ANY OPPOSED? AYES HAVE IT. NEXT ITEM. MR.. YES. MR. MAYOR.

IF YOU HAVE ANY. YES. COUNCIL MEMBER GRACEY WOULD LIKE TO BE RECOGNIZED ON ITEM C EIGHT.

[Z8. 26-3369A A public hearing to receive comments regarding an application for and a resolution terminating deed restrictions DR Z834-123 and a resolution accepting new deed restrictions volunteered by the applicant on property zoned CR Community Retail District, on the northeast corner of West Camp Wisdom Road and Clark Road, AKA 6800 West Camp Wisdom Road Recommendation of Staff: Approval Recommendation of CPC: Approval of terminating deed restrictions Z834-123, subject to new deed restrictions volunteered by the applicant Z-26-000191 *In alignment with ForwardDallas.]

GO AHEAD. CHAIRMAN. GRACEY. MR. MAYOR, I MOVE THAT THIS ITEM BE MOVED TO JANUARY 13TH.

IS THERE A SECOND FOR THAT? ALL RIGHT. IT'S BEEN MOVED AND SECONDED.

ANY DISCUSSION? ANYONE SEEING NONE. ALL IN FAVOR, SAY AYE.

ANY OPPOSED? AYES HAVE IT. MADAM SECRETARY. GO AHEAD.

THANK YOU, MR. MAYOR. WE WILL NOW GO TO YOUR ZONING.

ONE SECOND, MR. MAYOR.

[ZONING CASES - CONSENT]

OKAY, MR. MAYOR, WE WILL NOW MOVE TO YOUR ZONING CONSENT AGENDA. YOUR ZONING CONSENT AGENDA CONSISTED OF ITEM Z ONE THROUGH Z EIGHT.

ITEM Z SIX AND Z EIGHT WERE DEFERRED. THEREFORE, YOUR ZONING CONSENT AGENDA CONSISTS OF ITEM Z ONE THROUGH Z FIVE AND Z SEVEN. I'LL READ THOSE ITEMS INTO THE RECORD.

ITEM Z ONE IS A PUBLIC HEARING AND AN ORDINANCE GRANTING AN R DASH TEN.

A SINGLE FAMILY DISTRICT ON PROPERTY BETWEEN PLAINVIEW DRIVE AND SPARROW LANE, EAST OF DOWDY FERRY ROAD.

ITEM Z TWO IS A PUBLIC HEARING AND AN ORDINANCE GRANTING A MU DASH TWO MIXED USE DISTRICT ON PROPERTY WITHIN THE LOT ON THE SOUTHWEST LINE OF SOUTH MARSALIS AVENUE BETWEEN I 35 FREEWAY AND EAST CLARENDON DRIVE.

ITEM Z THREE IS A PUBLIC HEARING ON AN ORDINANCE GRANTING A NEW SPECIFIC USE PERMIT FOR AN ACCESSORY COMMUNITY CENTER.

PRIVATE ON PROPERTY ON THE NORTHEAST CORNER OF CALLAGHAN DRIVE AND GALATIANS LANE.

ITEM Z4 IS A PUBLIC HEARING AND AN ORDINANCE GRANTING AN AMENDMENT TO AND AN EXPANSION OF TRACK TWO AND TRACK THREE AND A NEW SUBDISTRICT WITHIN PLANNED DEVELOPMENT.

DISTRICT NUMBER 931 ON PROPERTY ON THE NORTH LINE OF BRYAN STREET BETWEEN GREENVILLE AVENUE AND MATILDA STREET, AND ON THE SOUTHEAST CORNER OF NORTH MUNGER BOULEVARD AND BRYAN STREET, AKA 5200 BRYAN STREET.

ITEM Z FIVE IS A PUBLIC HEARING AND AN ORDINANCE GRANTING A NEW PLANNED DEVELOPMENT DISTRICT FOR WMU DASH FIVE DISTRICT USES ON PROPERTY ON THE SOUTHEAST CORNER ON THE SOUTHEAST LINE OF R.L. THORNTON FREEWAY, SOUTH OF EAST 11TH STREET BETWEEN UPTON STREET AND FLEMING AVENUE,

[02:25:07]

AKA 341 SOUTH FLEMING AVENUE AND ITEM Z SEVEN IS A PUBLIC HEARING IN AN ORDINANCE GRANTING AN AMENDMENT TO SPECIFIC USE PERMIT NUMBER 2434 FOR A METAL SALVAGE FACILITY ON PROPERTY ON THE SOUTH LINE OF RYAN ROAD, EAST OF LUNA ROAD.

YOU DO HAVE TWO INDIVIDUALS WHO HAVE SIGNED UP TO SPEAK ON ITEM Z FIVE, AFTER WHICH WE'LL BE OPEN TO FOR ANY PUBLIC COMMENTS ON ANY OF THE ZONING CONSENT AGENDA ITEMS. YOUR FIRST SPEAKER ON ITEM Z FIVE. PAUL CARDIN.

GOOD AFTERNOON, MAYOR AND COUNCIL. TODAY JUST COMING TO YOU ASKING FOR YOUR SUPPORT AND ENABLING A BETTER FRAMEWORK FOR MIXED USE DEVELOPMENT AND HOUSING NEAR THE DALLAS ZOO.

AND THE DART DALLAS ZOO RAIL STATION, AS SOME OF YOU MAY BE AWARE, THE OVERWHELMING MAJORITY OF MY WORK.

OH, SORRY. PAUL CARDIN 636 ASPEN VALLEY LANE, DALLAS MAJORITY OF MY WORK IS FOCUSED ON ADDING HOUSING, RETAIL AMENITIES NEAR MULTIMODAL HUBS, AND MORE SPECIFICALLY, RAIL STATIONS.

TODAY IS NO DIFFERENT IN THAT REGARD. WHAT IS DIFFERENT IS THAT FOR THE FIRST TIME IN AT LEAST A GENERATION, THE PRIMARY PURPOSE OF THIS DEVELOPMENT ISN'T TO ADD HOUSING FOR FUTURE DISTRICT FOUR RESIDENTS TO GO SOMEWHERE ELSE FOR RETAIL, RESTAURANTS AND AMENITIES. IT IS TO CREATE MORE OPPORTUNITIES FOR PEOPLE TO LIVE NEAR AMENITIES WITHIN DISTRICT FOUR.

LESS THAN A YEAR AGO, THE NUMEROUS RESTAURANTS, RETAIL OPTIONS AND OFFICES IN AND AROUND EAST STOCK WERE NOT OPEN.

TODAY, EMPLOYEES AND PATRONS ALIKE ARE COMMUTING IN FROM OTHER PLACES TO SPEND THEIR DAYS AND EVENING THERE. A YEAR AGO, HALPRIN PARK HAD YET TO OPEN ITS GOAL OF RECONNECTING COMMUNITIES ON THE CUSP OF BEING REALIZED.

TODAY, IT WELCOMES LOCALS, FAMILIES AND VISITORS FROM ACROSS THE CITY, THE REGION, IN THE COUNTRY, AS WAS DEMONSTRATED DURING THE WORLD CUP THIS SUMMER.

OF COURSE, AS ALWAYS, I HOST A COMMUNITY MEETINGS AND ENCOURAGE PEOPLE TO REACH OUT. I HAND OUT MY PERSONAL CELL TO NEIGHBORS LIKE IT'S HALLOWEEN ON SWISS AVENUE, AND EVEN OFFER DRIVING TOURS TO THOSE WHO WANT TO SHARE OR VISUALIZE THEIR IDEAS OF WHAT THEY WOULD LIKE TO SEE AND NOT LIKE TO SEE.

AND THROUGH THAT PROCESS, ALONG WITH THE LESSONS FROM PARTS OF THE CITY SUCH AS SAINT THOMAS, WE CAME UP WITH A SOLUTION THAT WE'RE PROUD OF.

BUT I WOULD REMIND COUNCIL THAT ALTHOUGH THE SUPPORT OF THIS REZONING WOULD BE A POSITIVE STEP, THERE'S STILL WORK TO BE DONE. THE PSEUDO INDUSTRIAL ZONING.

THIS SITE HAS TODAY LIMITED ITS ABILITY, LIMITED ITS ABILITY TO BE A POSITIVE CONTRIBUTOR TO A MORE WALKABLE COMMUNITY, AND THE HEAVY INDUSTRIAL ZONING ZONING TO THE SOUTH ON CLARENDON CONTINUES TO POLLUTE AND CLOUD THE VISION FOR A MORE LIVABLE OAK CLIFF AND HAMPERS THE SITE'S OWN ABILITY TO BE A POSITIVE CONTRIBUTION. UNLIKE ITS INDUSTRIAL NEIGHBORS TO THE SOUTH, THIS ZONING WOULD REQUIRE SIX FOOT SIDEWALKS AND FIVE FOOT LANDSCAPE BUFFERS BUFFERS.

UNLIKE ITS PRESENT ZONING, IT WILL PROVIDE OPPORTUNITIES FOR A VARIETY OF HOUSING TYPES, INCLUDING FLAT, SINGLE LEVEL UNITS BETTER SUITED TO SENIORS. AND UNLIKE THE HIGHWAY AND SUBSEQUENT AUTO CENTRIC DEVELOPMENT THAT FOLLOWED AND HINDERED THE NEARBY NEIGHBORHOODS.

THIS WILL ACTUALLY ENCOURAGE LESS DRIVING IN A MORE WALKABLE COMMUNITY, WHICH I BELIEVE IS WELL SUITED FOR A PART OF THE CITY THAT IS LITERALLY OLDER THAN CARS.

SO AGAIN, I ASK THAT YOU SUPPORT THIS CASE, AND AS ALWAYS, I'M MORE THAN HAPPY TO ANSWER ANY QUESTIONS. THANKS. THANK YOU.

THANK YOU. YOUR NEXT SPEAKER, PEYTON YANG. IS VIRTUAL.

PEI YIN YANG. HI. GOOD AFTERNOON. MY NAME IS PANE YANG.

I'M A RESIDENT OF DISTRICT TWO. I'M SPEAKING AS AN ADVOCATE FOR THE 10TH STREET NEIGHBORHOOD ALONGSIDE THE 10TH STREET RESIDENTIAL ASSOCIATION AND OTHER RESIDENTS WHO HAVE CONCERNS ABOUT THIS PROPOSED ZONING CHANGE.

MY CONCERN IS WHAT THIS ZONING CHANGE WILL ALLOW, PARTICULARLY THE POTENTIAL FOR A FIVE STORY MULTIFAMILY DEVELOPMENT DIRECTLY ACROSS FROM THE BOUNDARY OF THE HISTORIC 10TH STREET FREEDMAN NEIGHBORHOOD.

I RECOGNIZE THAT WE'RE DISCUSSING A ZONING CHANGE, NOT APPROVAL OF A SPECIFIC DEVELOPMENT.

HOWEVER, ZONING ESTABLISHES WHAT CAN BE BUILT, AND I THINK IT'S IMPORTANT TO CONSIDER WHETHER THIS DESIGNATION ADEQUATELY ACCOUNTS FOR THE HISTORIC NEIGHBORHOOD IMMEDIATELY ADJACENT TO THE PROPERTY.

SPECIFICALLY, I'M CONCERNED ABOUT THE LACK OF CONSIDERATION FOR BUILDING HEIGHT, SCALE, AND THE TRANSITION BETWEEN NEW DEVELOPMENT AND THE EXISTING RESIDENTIAL NEIGHBORHOOD. I'M NOT OPPOSED TO RESPONSIBLE INVESTMENT OR DEVELOPMENT, BUT I AM ASKING THAT THIS ZONING DECISION RECOGNIZES THE CONCERNS OF EXISTING RESIDENTS OF THIS PARTICULAR AREA. AND I DON'T BELIEVE THAT IT HAS CONDITIONS THAT SHOW A HEIGHTENED SENSITIVITY, THAT FUTURE DEVELOPMENT IS AND WILL BE COMPATIBLE AND APPROPRIATE IN THIS LOCATION.

[02:30:06]

I ALSO WANTED TO ADD THAT 10TH STREET IS AN AREA THAT HAS HISTORICALLY EXPERIENCE DISINVESTMENT, AND INCREASED DEVELOPMENT IS CREATING ADDITIONAL PRESSURE ON EXISTING RESIDENTS THAT IS CONTRIBUTING TO DISPLACEMENT, AND THE PEOPLE THAT ARE LIVING THERE HAVE NOT EXPERIENCED THE SAME LEVEL OF INVESTMENT AND ECONOMIC OPPORTUNITY AS THE SURROUNDING AREAS, WHICH CREATES ADDITIONAL CHALLENGES TO REMAINING IN YOUR HOME.

OPENING THE DOOR TO THIS TYPE OF NEW DEVELOPMENT IN DIRECT PROXIMITY TO A VULNERABLE AREA WILL MAKE THESE PRESSURES EVEN HARDER FOR LONGTIME RESIDENTS TO WITHSTAND.

SO I'M ASKING COUNCIL TO RECONSIDER APPROVAL OF THE ZONING CHANGE IN ITS CURRENT FORM.

THANK YOU. THANK YOU. THANK YOU. THOSE ARE REGISTERED SPEAKERS.

ARE THERE ANY INDIVIDUALS IN THE AUDIENCE THAT WOULD LIKE TO SPEAK ON THE ZONING ITEMS THAT I JUST READ INTO THE RECORD ITEMS Z ONE C13Z5 AND Z SEVEN. I SEE YOU MAY COME FORWARD. I SEE ONE HAND RAISED.

OKAY, YOU MAY COME FORWARD IF YOU WANT TO SPEAK ON ANY OF THE ZONING ITEMS. Z ONE THROUGH Z FIVE OR Z SEVEN. ANY OF THOSE ITEMS. YOU MAY COME FORWARD. YOU MAY BEGIN. YOU'LL BE GIVEN THREE MINUTES.

PLEASE STATE YOUR NAME AND ADDRESS AND WHICH ITEM YOU'RE SPEAKING ON.

THERE'S A I'M SORRY. THERE'S A BUTTON AT THE BASE OF THE MICROPHONE.

CAN YOU HEAR ME? YES. GOOD AFTERNOON. I'M SPEAKING ON ITEM NUMBER FIVE.

MY NAME IS DOCTOR PATRICIA ADAMS WILLIAMS, EXECUTIVE DIRECTOR FOR AMERICAN CARE FOUNDATION.

AND SO AMERICAN CARE FOUNDATION HAS SERVED 10TH STREET HISTORIC DISTRICT FOR AT LEAST 25 YEARS UNDER AMERICAN CARE ACADEMY SERVING CHILDREN AND WE HAVE LOVED AND SERVED 10TH STREET FOR ALMOST 25 YEARS.

RIGHT HERE AT 530 SOUTH R.L. THORNTON FREEWAY WITH THE FAMILIES AND CHILDREN.

SO WE OWN A PROPERTY RIGHT IN FRONT OF WHERE THE DEVELOPMENT IS PROPOSED.

324 SOUTH FLEMING AVENUE. AND WE ARE NOT OPPOSED TO DEVELOPMENT.

WE ARE OPPOSED TO NOT BEING INCLUDED ON HOW OUR COMMUNITY IS BEING ESTABLISHED OR REVISED IN THE FUTURE.

SO HAVE WE CONSIDERED WHAT IMPACT THIS WOULD HAVE ON THE COMMUNITY IN THE FUTURE OF FIVE STORY BUILDING NEXT TO SOME HISTORIC HOMES, AND HOW THAT WOULD CHANGE, HOW IT LOOKS, HOW IT FEELS TO THE COMMUNITY AND HOW IT'S SEEN FOR YEARS TO COME. SO WE'RE ASKING FOR US TO COME TOGETHER AS ONE TEAM AND CONTINUE TO LOVE THE HISTORIC DISTRICT HERE IN THE CITY OF DALLAS AND MOVE FORWARD SAFELY AND WITH CARE FOR THE PEOPLE WHO ALREADY LIVE THERE.

THANK YOU. THANK YOU. ARE THERE ANY OTHER INDIVIDUALS THAT WOULD LIKE TO SPEAK ON ITEMS Z ONE THROUGH Z FIVE AND Z SEVEN? NO FURTHER SPEAKERS, MR. MAYOR. ALL RIGHT. I'M LOOKING FOR A MOTION ON ZONING CONSENT.

MOTION TO APPROVE. SECOND. ALL RIGHT. IT'S BEEN MOVED AND SECONDED.

ANY DISCUSSION? YES. DEPUTY MAYOR PRO TEM BE RECOGNIZED FOR FIVE MINUTES ON ZONING CONSENT.

THANK YOU, MR. MAYOR. ON Z FIVE, THERE WAS THERE WAS PLENTY OF COMMUNITY MEETINGS SURROUNDING THIS PARTICULAR DEVELOPMENT.

I HAVE EMAILS AND PICTURES UP OF COMMUNITY MEMBERS BEING INVESTED, BEING NOTIFIED.

WHAT'S GOING ON? THERE WAS SEVERAL CONVERSATIONS AROUND THIS PARTICULAR PROJECT THAT IS BEING PROPOSED. AND, MR. MAYOR, IF I CAN. MAY I HAVE THE DEVELOPER COME DOWN? MR. PAUL? I DON'T KNOW IF HE'S STILL HERE. AND AS HE'S COMING, ONE OF THE THINGS THAT I TAKE PRIDE IN, IN DISTRICT FOUR IS HAVING A HOST OF COMMUNITY MEETINGS.

I DON'T DO ANYTHING WITHOUT NOTIFYING THE COMMUNITY, GETTING INPUT. AND WE HAVE SEVERAL MEETINGS BEFORE A PROJECT IS DONE.

AND I'VE BEEN CRITICIZED FOR SAYING NO MORE THAN I'VE SAID YES, BUT I WANT TO MAKE SURE THAT WE GET THE RIGHT DEVELOPMENT IN OUR COMMUNITY, NOT THE WRONG DEVELOPMENT. SO I WANT YOU, MR. CARDIN, TO TALK ABOUT THE PROCESS THAT YOU WENT THROUGH IN DOING THIS PARTICULAR PROJECT AND THE COMMUNITY EVENTS AND MEETINGS THAT YOU'VE HAD INCLUDING THE COMMUNITY INTO THIS PROJECT AND GETTING ALL THE FEEDBACK SO YOU CAN MAKE SURE THAT THE RIGHT PRODUCT IS BROUGHT TO DISTRICT FOR SURE.

SO WITH ANY OF MY PROJECTS, INCLUDING THIS ONE, WE TYPICALLY WANT TO MAKE SURE WE START WITH KIND OF AN INITIAL DRAFT.

[02:35:05]

WE KNOW WE'RE GOING TO HAVE COMMUNITY FEEDBACK. WE'RE NOT PSYCHIC. WE ALWAYS WANT TO MAKE SURE WE HOST THIS AS CLOSE AS PHYSICALLY POSSIBLE TO THE NEIGHBORHOOD.

IF WE CAN'T HOST IT DIRECTLY IN THE NEIGHBORHOOD. IN THIS CASE, WE HOSTED THE MAJORITY OF OUR MEETINGS AT SMITHWICKS BREWERY, WHICH IS LITERALLY ACROSS THE STREET FROM 10TH STREET HISTORIC DISTRICT.

THIS WAS ACTUALLY A BUSINESS THAT WAS NOT EVEN OPEN LAST YEAR IN HOUSING ITSELF WOULD SUPPORT IT.

IN ANY CASE, WE HAD MEETINGS THERE. WE HAD OUR COMMISSIONERS OUT THERE, WE INVITED THEM, WE SENT OUT NOTIFICATIONS TO COMMUNITY MEMBERS SO THEY CAN REACH OUT TO OTHER COMMUNITY MEMBERS. THERE'S A LIMIT TO HOW MANY PEOPLE I WILL KNOW DIRECTLY.

AND WE ENCOURAGE PEOPLE, AS I ALWAYS DO SAY, HEY, HERE ARE SOME IDEAS.

TELL US WHAT YOU LIKE, TELL US WHAT YOU DON'T LIKE. TELL US WHAT YOUR CONCERNS ARE. RIGHT? THE BIG ONE REALLY CAME DOWN TO JUST FIGURING OUT HOW DO WE MAKE A BETTER TRANSITION WITH FLEMING? MAKE BECAUSE YOU HAVE BOTH THE RAIL STATION AND EVERYTHING ELSE.

AND WE ACTUALLY WERE FORTUNATE TO HAVE ARCHITECTS WHO LIVE IN 10TH STREET GIVE US FEEDBACK ON HOW TO BALANCE THAT TRANSITION.

THIS IS WHY THE PD SPECIFICALLY STRESSES CERTAIN CLAUSES THAT ARE APPLICABLE TO FLEMING AVENUE, AND SOME THINGS ARE APPLICABLE ACROSS THE BOARD. SO GIVING 10TH STREET AS A WHOLE BETTER CONNECTIVITY, SUCH AS THE FIVE, THE MINIMUM SIX FOOT WIDE SIDEWALK, SO THEY CAN MORE EASILY GO TO E STOCK AND THE RETAIL AND THE RESTAURANTS OVER TO HALPRIN TO THE WEST OF THIS SITE. WE ALSO WORKED ON MAKING SURE THERE WAS A MINIMUM PEDESTRIAN AMENITIES, WHETHER IT'S LIKE TRASH CANS OR BENCHES OR SOMETHING ALONG FLEMING TO MAKE A BETTER PEDESTRIAN REALM. WE SPECIFICALLY WANTED TO DESIGN THIS AS SUCH, TO MINIMIZE CURB CUTS ALTOGETHER ALONG FLEMING TO AGAIN, HAVE IT HAVE A MORE CLEAN TRANSITION BETWEEN THERE AND THE HISTORIC DISTRICT.

AND WE EVEN OFFERED TO PEOPLE ON MULTIPLE OCCASIONS IF THEY HAD QUESTIONS OR HAD CONCERNS.

I'M HAPPY TO GO ON A DRIVE WITH THEM. WE COULD GO AROUND. WE ACTUALLY TOURED THE COMMISSIONER ON IN STATE THOMAS, AND JUST BE ABLE TO POINT OUT WHAT THEY DO AND DON'T LIKE AT THEIR DESIGN ELEMENTS THEY WANT TO IMPLEMENT. AND WE GO THROUGH THAT PROCESS BECAUSE WE FEEL THAT BY JUST BEING AVAILABLE, WE COME UP WITH A BETTER SOLUTION. AND I FEEL WE HAVE.

THANK YOU. THANK YOU. OTHER MEMBERS OF THE COMMUNITY HAVE CONTACTED ME, AND I THINK I HAD TWO PEOPLE THAT REACHED OUT TO ME THAT WAS OPPOSED AT ONE ONLINE THAT I HEARD. AND THE INDIVIDUAL THAT SPOKE OUT TODAY THAT I'M LISTENING TO IS THIS ALSO THE SAME PRODUCT PROJECT THAT I ACTUALLY CAME TO US THAT YOU HAD THE, THE BOARDS UP AND INVOLVED THE COMMUNITY WAS THAT THAT THAT PROJECT AS WELL? YEAH. SO FOR THIS ONE, WE ALWAYS HAVE BOARDS PUT UP.

AND FOR SOME OF OUR MEMBERS, IN SOME CASES, WE UNDERSTAND PEOPLE CAN'T COME OUT TO THE MEETINGS.

SO IN THOSE CASES, ONE, THEY HAVE MY NUMBER, BUT ALSO I WILL COME TO THEM.

IN FACT, I BELIEVE FOR THE ONE OF THE SPEAKERS, I ACTUALLY CAME TO HER OFFICE TWICE IN PERSON JUST TO SEE IF I COULD, YOU KNOW, HEAR A SPECIFIC CONCERN. UNTIL THIS POINT, I HAD NOT RECEIVED IN WRITING OR VERBALLY ANY SPECIFIC CONCERN FROM THAT PARTICULAR RESIDENT OR CONSTITUENT. THANK YOU. THANK YOU, MR. GORDON. AGAIN, I'VE TALKED TO MEMBERS OF THE COMMUNITY AND COMMUNITY MEETINGS WAS HELD.

I WAS THERE ONE AND SAW A LOT OF COMMUNITY MEETING MEMBERS THAT WAS THERE.

I HAVE NOT RECEIVED ANY NEGATIVE COMMENT OR ANYONE OPPOSING IT EXCEPT FOR THE EMAIL THAT I GOT RECENTLY AND MY, I BELIEVE THE YOUNG LADY THAT SPOKE TODAY CONCERNING THAT.

SO I'M GOING TO SUPPORT IT BECAUSE I KNOW THE WORK WAS DONE.

AND AGAIN, I TAKE PRIDE IN MAKING SURE THAT THE COMMUNITY IS FULLY INVOLVED WHEN WE'RE DOING DISTRICT FOR OUR SLOGAN AND SAYING IS BUILDING THE COMMUNITY WITH THE COMMUNITY, NOT GOING AROUND THE COMMUNITY ABOVE THEM OR BENEATH HIM. WE REALLY HAVE COMMUNITY MEETINGS, AND WE DOCUMENT, AND I MAKE SURE THAT WE DO EVERYTHING WE NEED TO DO TO GET THE WORD OUT AND SUPPORT.

AND WHEN THERE IS OPPOSITION, WE SPEAK WITH EVERYONE BECAUSE IT'S NOT JUST MY COMMUNITY, IT'S OUR COMMUNITY, AND EVERYONE SHOULD HAVE A VOICE. AND I WANT TO APPRECIATE YOU FOR GOING ABOVE AND BEYOND AND MAKING SURE THAT NOT JUST HAVING A MEETING, BUT YOU DOCUMENTING THOSE MEETINGS AND SENDING PICTURES AND INCLUDING ME IN THOSE DISCUSSIONS AND COMMISSIONERS SO WE CAN MAKE SURE THAT WE'RE DOING THE RIGHT THING. I DON'T BELIEVE IN EXCLUDING THE COMMUNITY, MAKING SURE THAT THEY'RE INVOLVED. SO THANK YOU SO MUCH, MR. MAYOR. THANK YOU FOR ALLOWING ME TO SPEAK.

IS THERE ANYONE ELSE WOULD LIKE TO SPEAK ON FOR OR AGAINST THE ZONING CONSENT AGENDA? SEEING NONE. ALL IN FAVOR, SAY AYE. AYE. ANY OPPOSED? THE AYES HAVE IT, AND THE ZONING CONSENT AGENDA IS ADOPTED.

MADAM SECRETARY. THANK YOU, MR. MAYOR. YOUR NEXT ITEM IS ITEM Z NINE.

[Z9. 26-3426A A public hearing to receive comments regarding an application for and an ordinance granting a new Planned Development District on property zoned CR Community Retail District and P(A) Parking District, on the south line of Royal Lane and the west line of Preston Road, north of Orchid Lane Recommendation of Staff: Approval, subject to a development plan and conditions Recommendation of CPC: Approval, subject to a development plan and conditions Z-26-000007 Note: This item was deferred by the City Council at the public hearing on October 14, 2026, and is scheduled for consideration on November 10, 2026. *In alignment with ForwardDallas.]

ITEM Z NINE IS A PUBLIC HEARING FOR AN ORDINANCE GRANTING A NEW PLANNED DEVELOPMENT DISTRICT ON PROPERTY ON THE SOUTH LINE OF ROYAL LANE AND THE WEST LINE OF PRESTON ROAD, NORTH OF ORCHID LANE.

[02:40:02]

MR. MAYOR. WE SENT 283 NOTICES TO PROPERTY OWNERS WITHIN 500FT OF THE AREA OF REQUEST.

WE RECEIVED EIGHT REPLIES IN FAVOR AND 262 REPLIES IN OPPOSITION.

YOU DO HAVE SEVERAL INDIVIDUALS WHO HAVE SIGNED UP TO SPEAK ON THIS ITEM.

I'LL CALL THOSE REGISTERED SPEAKERS OR THOSE THOSE LIST OF NAMES FIRST, AND THEN IT WILL BE OPEN TO ANY OTHER INDIVIDUALS IN THE AUDIENCE.

I WILL CALL SPEAKERS AND GROUPS AND SPEAK SPEAKERS WILL BE GIVEN TWO MINUTES TO SPEAK.

THE FIRST GROUP. LINDA VILLARREAL MISS VILLARREAL, YOU CAN COME TO THE PODIUM.

LINDA VILLARREAL. TREY STEWART, SHARON COSTON, CYNTHIA GRUBB, NANCY MOORE AND JOHNSON.

MARY JANE COX, VERY. HAWKINS. BROWN, SUZANNE ARMITAGE, MATTHEW BOCK, KAREN COSTON, LORI SPROUSE, CHRISTOPHER COLE, WILLIAM LUMRY, RICHARD BROWN, W, PAUL REDMAN AND BEN ABBOTT.

AND I'M SORRY IF I CALLED YOUR NAME. YOU CAN COME FORWARD AND HAVE A SEAT ON THESE FIRST THREE ROWS OF THIS CENTER SECTION.

LINDA. MISS. MISS LINDA VILLAREAL. GOOD AFTERNOON, MAYOR AND COUNCIL MEMBERS.