2. CONSENT AGENDA: The following Agenda Items are of a routine nature, and the Commissioners Court has received supporting materials for consideration. All of these Agenda Items will be passed with one vote without being discussed separately, unless a member of the Commissioners Court or the public requests that a particular Agenda Item be discussed. If so, that Agenda Item will be pulled from the Consent Agenda and discussed as part of the regular Agenda at the appropriate time. One vote will approve the remaining items on the Consent Agenda.

[2. CONSENT AGENDA: The following Agenda Items are of a routine nature, and the Commissioners Court has received supporting materials for consideration. All of these Agenda Items will be passed with one vote without being discussed separately, unless a member of the Commissioners Court or the public requests that a particular Agenda Item be discussed. If so, that Agenda Item will be pulled from the Consent Agenda and discussed as part of the regular Agenda at the appropriate time. One vote will approve the remaining items on the Consent Agenda.]

>> MOTION AND SECOND. ALL THOSE IN FAVOR SAY

"AYE." >> AYE.

>> FIRST CONSENT AGENDA ITEM THOROUGHLY VETTED FOR EXPEDIENCY HERE. ITEMS A THROUGH H.

IS THERE A MOTION TO APPROVE ITEMS A THROUGH H ON CONSENT. THE PAYMENT OF BILLS, EXCUSE OF SERVICE AGREEMENT MATERIALS.

MOTION. >> IS THERE A SECOND?

>> MOTION AND A SECOND. GONZALEZ HAS THE SECOND.

ANY DISCUSSION? HEARING NONE ALL THOSE IN

[1. Discuss and consider adopting an Order Designating the Tesla Reinvestment Zone #1 within Nueces County, Texas as a reinvestment zone, pursuant to the Property Redevelopment and Tax Abatement Act, Chapter 312 of the Texas Tax Code, to be located west of the intersection of U.S. Highway 77 and County Road 28 in Driscoll, Nueces County, Texas. The facility is intended to manufacture lithium batteries.]

FAVOR SAY "AYE." >> OKAY.

AND NOW WE'LL MOVE TO THE DISCUSS AND CONSIDER ADOPTING THE ORDER OF THE TESLA REINVESTMENT ZONE.

[00:55:01]

I WOULD LIKE TO ASK COUNCIL MISS DORSEY BECAUSE WE NOTICED IT FOR EXECUTIVE SESSION.

OUR ATTORNEY IN SUCH MATTERS.

DO YOU MAKE A RECOMMENDATION TO DISCUSS ANY LEGAL ACTION AT ALL OR LEGAL PROCESS. CAN IT ALL BE DONE HERE?

>> I HAVE NOT BEEN INFORMED OF ANYTHING THAT NEEDS TO GO

INTO EXECUTIVE JUDGE. >> THANK YOU SO MUCH.

>> MISS GOMEZ. IS THERE ANYTHING THAT YOU SEE THAT WE MAY NEED TO GO INTO EXECUTIVE DISCUSSION TO

DISCUSS TOWN LEGAL FRONT. >> NO, JUDGE.

AGREE. >> THEREFORE I WILL YIELD TO COMMISSIONER CHESNEY WHO HAD A THOUGHT, COMMENT,

QUESTION. >> THANKS, JUDGE.

>> FIRST QUESTION I GUESS FOR THESE PURPOSES IS ANYONE

HERE FROM TESLA TODAY? >> THERE'S NO PRESENTATION TODAY. THERE'S AVAILABILITY IF YOU DO HAVE ANY QUESTIONS. THAT'S MY UNDERSTANDING.

BUT THERE'S NO PRESENTATION BECAUSE THERE'S -- THEY ARE NOT ASKING FOR ANYTHING. THIS IS IN SUPPORT OUR ISD, 313. THEIR TIME WILL COME.

>> THEIR TIME WILL COME. >> AND I THINK THAT'S REALLY THE IMPORTANT PART OF THIS. SO PEOPLE UNDERSTAND.

IT WAS FAST. IT WAS FAST FOR US TOO.

SO FAST THAT YOU KNOW, IT'S KIND OF OVERWHELMING QUITE FRANKLY. BECAUSE A LOT OF TIMES SITUATION LIKE THESE ARE -- THEY ARE RECRUITING.

THEY ARE WORK. THEY ARE LOOKED AT.

THEN WE GET THEM. THEN IT'S SIX MONTHS BEFORE THEY PERCOLATE. I HATE TO SAY IT -- FELL IN OUR LAP. BUT IT DID FALL IN OUR LAP.

NO DISRESPECT FOR THOSE WHO WORKED HARD FOR IT.

THIS IS A SITUATION WHERE I DON'T THINK ANYONE WOULD ARGUE THE 313 ARE SET TO EXPIRE.

A LOT OF COMPANIES ARE TRYING TO GET UNDER THE WIRE ON THE 313'S. AND SO THE FACT THAT WE ARE FORTUNATE ENOUGH TO HAVE THIS OPPORTUNITY WHETHER IT ENDS UP BEING AN OPPORTUNITY WE END UP GETTING OR NOT.

WE NEED TO ACKNOWLEDGE THIS CAME FAST NOT BECAUSE PEOPLE WERE WORKING ON THIS FOR MONTHS AND MONTHS.

TESLA FILED APPLICATION. TESLA MADE CONTACT WITH US.

FIRST ROBSTOWN SCHOOL DISTRICT.

THEY MADE CONTACT THROUGH INTERMEDIARIES WITH US.

AS SOON AS THEY WERE READY TO PUT IT ON THEED A.

WE PUT IT ON THE AGENDA. WE HAPPENED TO HAVE MEETING SET. THERE WASN'T SUPPOSED TO BE A MEETING. WE HAD ITEMS THAT NEEDED TO BE HANDLED. WE ALLOWED ROOM FOR TESLA TO BE ON HERE TODAY. WE TALKED ABILITY SPECIFICALLY IN CASE THEY WERE READY.

THE ATTORNEY MADE CONTACT COUNTY MANAGER.

I GET IT. AND I'M SUPER NERVOUS ABOUT DOING IT THAT FAST TOO. ACCEPT WHEN I EXPLANATION.

THIS BEEN THROUGH ROBSTOWN. THEY APPROVE THE 313.

THIS IS PROVIDING MECHANISM. THERE'S NO DETAILS DONE TODAY. THERE'S PLENTY OF TIME.

PLENTY OF TIME. I'M SURE IT NEEDS TO GET DONE QUICKLY. THERE'S TIME FOR THE PUBLIC HEARINGS THAT THE JUDGE REFERENCED AND THAT WERE REQUESTED. THAT HAS TO HAPPEN.

IT'S IMPORTANT THAT THOSE HAPPEN.

BECAUSE PEOPLE DO NEED TO WEIGH IN.

I THINK IT'S IMPORTANT TO NOTE THAT THE BODY THAT AS THE JUDGE AND OTHERS HAVE MENTIONED, THAT IT'S COMPELLING TO ME ARE THOSE PEOPLE THAT SIT IN ROBSTOWN THAT SERVE THE COMMUNITY THE MAYOR OF DRISCOL IS ONBOARD.

THE SCHOOL BOARD IS ONBOARD. NOT REPRESENT THOUGH PEOPLE TOO. THOSE ARE THE PEOPLE THAT BENEFIT FROM THIS THE MOST. I THINK WE HAVE AN OBLIGATION TO MOVE FORWARD ON THIS TO ALLOW THE PROCESS TO WORK TO ALLOW THE PUBLIC HEARINGS TO ALLOW ROBSTOWN TO BE ABLE TO FINISH WHAT THEY NEED TO DO.

ALLOW TESLA TO PROVE TO THE COMMUNITY THEY ARE GOING TO BE A GOOD CORPORATE PARTNER AND TO BE ABLE TO USE THIS 313 WHICH I BELIEVE SET TO EXPIRE ATTEND OF THE YEAR, WHICH I GET THAT, THAT'S A CONTROVERSIAL DEVICE.

MAY OR MAY NOT LIKE IT. IT'S AN AVAILABLE TOOL AT THE MOMENT. IT'S ONLY AN AVAILABLE TOOL THROUGH THE OWNED OF THE YEAR.

I THINK IT'S WORTH LOOKING AT.

AND I THINK TO SAY NO AT THIS JUNCTURE WOULD BE NEGLIGENT IN OUR RESPONSIBILITIES AS ELECTED OFFICIALS. I DON'T REPRESENT ROBSTOWN.

IT DOESN'T MATTER WHETHER YOU REPRESENT AN AREA OR NOT. THAT'S STILL MY COUNTY.

THOSE ARE STILL PEOPLE THAT I CARE ABOUT WHAT THEY SAY AND WHAT THEY ARE SAYING SO FAR ARE SAYING WE WANT TO TAKE A LOOK AT THIS. WITH ALL DUE RESPECT TO THOSE WHO HAVE BEEN HERE. I DON'T DISCOUNT WHAT YOU SAID. I THINK WE HAVE TO LOOK AT.

[01:00:03]

WE LOOK AND WORK AND PLACE IN ROBSTOWN AND GIVE THEM YES DEFERENCE. I KNOW THAT WASN'T A QUESTION. I THINK IT'S IMPORTANT TO HEAR FROM ELECTED OFFICIALS ON THINGS LIKE THIS SO YOU UNDERSTAND WE HEAR YOU. THIS DID COME FAST.

I DON'T LIKE THAT IT'S THIS FAST.

THE EXPIRATION OF 313 IS REASON IT CAME FAST.

BUT, HEY, WE'RE LUCKY IN MY OPINION TESLA REACHED OUT TO US. WE DIDN'T HAVE TO WORK SUPER HARD ON THIS YET. A LOT OF DEVIL IN THE DETAILS. TESLA GIVES CREDIT FOR BRINGING THIS TOOL TO NEUSES COUNTY.

THEY DIDN'T GO OUT AND SOLICIT TESLA.

THEY CAME TO US ROBSTOWN FIRST TO US.

YEAH. IT'S A MULTIBILLION DOLLAR COMPANY. WHEN I CAME BACK FROM COLLEGE. ALL WE TALKED ABOUTS HOW DO WE GET SOME OF THESE MULTIBILLION DOLLAR COMPANIES TO COME TO CORPUS CHRISTY.

HOW DO WE GET THEM HERE. WE IMMEDIATE -- NEED TO REASON. WE NEED TO WATCH AND KNOW WHAT'S GOING ON. I THINK IF THERE'S -- IF THERE'S SOME OPPORTUNITY BECAUSE I THINK THERE'S SOME TESLA FOLKS HERE SOMEWHERE. IF THEY WANT TO COME AND TALK. WE WOULD BE HAPPY TO HEAR FROM THEM AND GET ADDITIONAL INFORMATION.

BECAUSE I THINK IT WOULD BE -- IT WOULD ADVANTAGEOUS TO PUT A FACE WITH A NAME. I KNOW WE HAD DIFFERENT LEVEL OF COMMUNICATION WITH TESLA.

I FINALLY GOT AHOLD OF SOMEONE.

SOMEONE CONNECTED ME WITH THE RIGHT PERSON.

I THINK IT WOULD BE IMPORTANT TO HEAR FROM THE TESLA FOLKS WHEN WE CAN. I DO THINK IT WOULD BE GREAT, JENNY FOR YOU TO LAY OUT OR -- WHAT HAPPENS.

WHAT HAPPENS NOW. WHEN DO THE HEARING HAPPEN.

SO PEOPLE CAN LIKE REST ASSURED THAT WE'RE HEARING THEM ON BEING HEARD. WE WANT PEOPLE TO BE HEARD.

WE WANT TO TAKE THE TIME. AT THE SAME TIME WE'RE IN COMPETITION WITH OTHER CITIES AND STATES FOR THIS THING. AND -- FOR THIS PROPOSAL THAT THEY MADE TO US THAT WE APPRECIATE.

AND WE NEED TO MOVE IN A REASONABLE MANNER NOT RUSHING BUT ALSO NOT DELAYING.

DO YOU HAVE -- >> I THINK CINDY GOMEZ ON THE LINE IS THE EXPERT IN THIS AREA.

>> YEAH. I'M HAPPY TO GIVE YOU AND EVERYONE THERE A LITTLE BIT MORE BACKGROUND ON WHAT HAPPENS NEXT. AND ABSOLUTE BARE MINIMUM REQUIRED BY THE STATUTE, WOULD BE IF YOU ARE GOING TO CONSIDER -- IF THE COUNTIES GOING TO CONSIDER GIVING THE TAX ABATEMENT WHICH IS A 312 RATHER THAN 313.

313 PROCESS GOES THROUGH IT'S OWN PROCESS HANDLED BY THE SCHOOL DISTRICT. BUT THE 312 AT THE BARE MINIMUM IF YOU DO ABSOLUTELY NO OTHER DUE DILIGENCE WHICH IT SOUNDS TO ME FROM THE COURT WOULD NOT BE THE CASE YOU HAVE TO HAVE AT LEAST A 30-DAY NOTICE FOR POSTING AND INFORMATION REGARDING THE ACTUAL AGREEMENT.

AND THEN YOU HAVE TO HAVE ANOTHER PUBLIC HEARING, AT LEAST ONE JUST LIKE THIS THAT HAS BEEN POSTED AND NOTICED FOR 30 DAYS. AT THE BARE MINIMUM; IF YOU DID NOTHING ELSE YOU WOULD BE REQUIRED BY STATUTE TO DO THAT 30-DAY LETTING THE PUBLIC KNOW AND HAVING ANOTHER HEARING LIKE THIS. WHICH YOU WOULD ACTUALLY GO THROUGH THE DETAILS OF WHAT YOU WOULD BE GRANTING THE COMPANY IN THE ACTUAL ABATEMENT AGREEMENT AND ALSO WHAT YOU WOULD BE REQUIRING FROM THE COMPANY AS PART OF THAT ABATEMENT AGREEMENT. WHAT MOST FOLKS DO AND IT SOUNDS LIKE WHAT THE COUNTY JUDGE AND THE REST OF THE COMMISSIONERS WOULD REQUIRE IS GENERAL DUE DILIGENCE ON THE TAX ABATEMENT AGREEMENT. THAT CAN AND DOES INCLUDE REVIEWING THE PROPOSED JOB NUMBERS.

THE PROPOSED CONSTRUCTION IMPROVEMENT AMOUNTS.

THE PROPOSED DURATION AND AMOUNT OF ANY ABATEMENT.

IT INCLUDES CONSIDERING ENVIRONMENTAL IMPLICATIONS.

THIS IS ABOUT NEUSES COUNTY DECIDING IF YOU WANT TO PROVIDE BARE MINIMAL, THE FASTEST ANYTHING WOULD POSSIBLY COME TO YOU ALL WOULD BE 30 DAYS FROM NOW.

BUT YOU CAN HAVE A MUCH MORE EXTENSIVE DUE DILIGENCE

PROCESS. >> DO THE 312'S EXPIRE

ATTEND OF THE YEAR ALSO? >> NO.

>> ONLY THE 313 STATUTE WAS SUNSETTED BY THE LAST LEGISLATIVE SESSION. AND SO THE STATUTE BASICALLY GOES AWAY ON DECEMBER 31ST, 2022.

NOTHING HAPPENS TO THE 312'S.

>> I THINK THAT WOULD BE GOOD THING TO DO IF SOMEONE -- I DON'T KNOW HOW WE NEED TO SET THAT UP.

HAVE SOME SORT OF PUBLIC HEARING.

[01:05:03]

ROBSTOWN BISHOP AREA WOULD BE GREAT.

AND BUT AT THE SAME TIME, I THINK ROBSTOWN ISD WILL WORK THROUGH THEIR 313 AND WILL -- RIGHT NOW WE DON'T HAVE A 312 IN FRONT OF US. WE DON'T HAVE ANYTHING

TO -- THAT I KNOW OF -- >> THAT'S CORRECT.

>> WE DON'T HAVE ANYTHING YET.

THAT'S CORRECT. >> THERE'S NOTHING FOR US TO SIGN TODAY OTHER THAN CREATING THE PARAMETERS THAT SAYS WE WILL MOVE FORWARD WITH IT.

BUT THE DEVIL IN THE DETAIL. WE HAVE TO PUT FORWARD 312 BUT NOT ONE ANY DIFFERENT THAN WHAT WE DO FOR ANYBODY ELSE THAT WE DEEM WORTHY OF ANYTHING LIKE THIS.

I JUST WANT TO SAY, YOU KNOW, I APPRECIATE TESLA REACHING OUT TO NEUSE'S COUNTY AND GIVING US AN OPPORTUNITY. IF IT'S RIGHT FOR THE COMMUNITY SO BE IT. IF NOT SO BE IT AS WELL.

I APPRECIATE THE FACT THEY LOOK IN SOUTH TEXAS.

THIS ACCORDING TO WHAT I READ COULD BE FIRST OF ITS KIND ANYWHERE. THAT'S INTERESTING TOO.

BUT THE ENVIRONMENTAL EFFECTS OBVIOUSLY NEED TO BE LOOKED AT AS WELL. NO QUESTION.

>> OKAY. >> EXCUSE ME JUDGE.

>> COMMISSIONER HERNANDEZ. >> I HAVE TALKED TO PEOPLE FROM DRISCOL. THEY LIKE THE IDEA OF TESLA COMING TO THEIR TOWN. I WOULD LIKE TO INCLUDE DRISCOL IN ANYTHING WE DECIDE ON.

>> YES, SIR. >> COMMISSIONERS?

>> ONE OF THE THINGS TO POINT OUT IS THAT IT'S A VERY UNIQUE AREA OF THE COUNTY.

YOU HAVE THREE PRECINCTS SEPARATED MERELY BY MILES.

YOU HAVE PRECINCTS 2, 3 AND 4 WHOSE COMMUNITIES ARE ALL REPRESENTED AND I KNOW THE ENTIRE COURT IS CONCERNED.

IF YOU WANT TO LOOK AT THE PRECINCT MAP PASSED LAST NOVEMBER, BEFORE IT USED TO BE ALL PRECINCT THREE.

THIS LOCATION DOES FALL WITHIN MY PRECINCT.

AS THE COMMISSIONER MENTIONED DRISCOL WAS A MILE DOWN THE ROAD. BISHOP IS JUST A FEW MILES BEYOND THAT. REALLY IMPACT A LOT OF THE COMMUNITIES AND SO JUDGE, I AM HOPE FOR ANY KIND OF FURTHER PUBLIC GATHERINGS TO RECEIVE INPUT ON THIS.

>> THANK YOU. >> COMMISSIONER GONZALEZ?

>> YEAH. I'M KIND OF ECHO WHAT EVERYBODY ELSE SAID. I AGREE WITH YOU.

WE'VE BEEN HAVING TOO MANY MEETINGS FOR SURE.

YOU'RE RIGHT. WE NEED TO GET THINGS DONE IN THE REGULAR MEETINGS AS MUCH AS POSSIBLE.

I APOLOGIZE TORE THAT. SOMETIMES WE CALL MEETING AND JUST GOT TO HAVE THEM; RIGHTS? AS FOR AS WHAT THE REASON IS.

BUT, YOU KNOW, I HEAR EVERYBODY TALKING TODAY AND AND I THINK THAT EVERYTHING WILL COME ON THE SECOND PART WHEN YOU START TALKING ABOUT WHAT DOES EVERYBODY NEED.

WHAT ARE THE NEEDS. WE ARE LOOKING AT JOBS.

AND WE HAVE A LOT OF REFINERIES HERE.

THEY ARE TREMENDOUS. THEY ARE GREAT EMPLOYERS.

AND YOU KNOW, THEY ARE NOT PERFECT.

BUT THIS ARE GREAT EMPLOYERS.

OUR CHILDREN GO THERE. SOME CHILDREN GO THERE.

YOU KNOW, AND THIS IS HOW THEY MAKE A LIVING.

I THINK THAT IN THE WESTERN PART OF OUR COUNTY THERE'S PROBABLY GOING TO BE AN OVERLOAD.

THEY SAY LET'S NOT GO THERE. LET'S GO THE OTHER WAY.

THIS IS TIME FOR THE WESTERN DISTRICT TO PUT THE BOOTS IN THE GROUND. AND ROBSTOWN IS ASKING US FOR THAT HELP. IT WOULD BE THE SAME THING AS BISHOPS. WE WOULD BE DOING THE SAME THING FOR -- THIS IS JUST A START.

IT DOESN'T MEAN LIT HAPPEN. IT'S A START.

BUT IF WE DON'T DO IT NOW ROBSTOWN WILL LOSE OUT.

THEY WILL LOSE OUT. I DON'T THINK IT'S FAIR FOR THE ROBSTOWN PEOPLE. I KNOW THERE'S MORE PROS HERE THAN CONS WHEN THE ROBSTOWN AREA WHEN YOU GO TO SCHOOL DISTRICT, A COLLEGE, JR. COLLEGE THAT'S TRYING TO GROW IN THAT WESTERN PART AND HOPEFULLY THEY DO.

THAT ROBSTOWN WILL BENEFIT BY THAT ALSO.

I'M JUST LOOKING FORWARD TO HOPEFULLY THE NUMBER OF JOBS THE ABATEMENT DURATION. HOW MUCH, AND THOSE ARE THE THINGS WE HAVE -- WITHOUT THE PEOPLE'S VOICE WE CAN'T DO IT. WE SHOULDN'T DO IT.

I THINK WE NEED THE PEOPLE'S VOICE.

I THINK WE NEED TO COMMUNITY MEETINGS IN BISHOP.

DRISCOLL. ROBSTOWN.

AND WHERE ELSE CAN WE HAVE THEM? I THINK THAT WE -- I JUST FEEL THAT AT THIS POINT,

[01:10:03]

WITH OUR WESTERN DISTRICT WHERE I REPRESENT, GIVEN THE OPPORTUNITY TO HAVE SOMETHING OUT THERE THAT THEIR CHILDREN WILL BE WORKING -- MAYBE IN THAT PLANT, WHEN YOU TALK ABOUT 250 JOBS.

300 JOBS. WHATEVER SIT.

WE KNOW THEY GUARANTEE US. THEY ALWAYS GUARANTEE SOMETHING. IT'S UP TO US TO SAY HOW MUCH. HOW MANY.

I THINK WE NEED TO MOVE FORWARD ON THIS.

THE FIRST PHASE OF IT TO ASSURE THAT ROBSTOWN WILL NOT BE LEFT BEHIND. THIS IS WHERE I SUPPORT THAT TO MOVE FORWARD AND SURE WE HEAR THE PEOPLE ASKING.

WE NEED MORE INPUT. YOU WANT TO SAY OTHER THINGS. I THINK THAT BUT THIS IS NOT THE TIME FOR THAT. THIS IS THE TIME TO SAY HOW CAN WE ACTUALLY HELP ROBSTOWN? I THINK THE TIME THE MOVING FORWARD AT THIS TIME.

THANK YOU. >> THANK YOU.

>> IN LIGHT OF THE COMMENTARY, ARE YOU PREPARED COMMISSIONER TO MAKE A MOTION TO ADDRESS THE REINVESTMENT ZONE AT THIS TIME?

>> [INAUDIBLE]

IS THERE A SECOND? >> SECOND.

>> HAVING BEEN A MOTION AND A SECOND, IT WOULD BE THE MOTION NOT TO PUT WORDS IN YOUR MOUTH.

YOU ARE ASKING FOR THE ADOPTION.

>> ADOPTION OF THE REQUEST. >> ADOPTION OF THE REINVESTMENT ZONE NUMBER ONE IN SUPPORT OF ROBSTOWN IDS'S REQUEST. IS THAT CORRECT?

>> YES. >> I WILL ADD FOR THE CLERK, PLEASE ADD THAT IT'S PURSUANT TO THE TEXAS TAX CODE. ALL RIGHT HAVING HAD A MOTION AND A SECOND. IS THERE ANY OTHER

DISCUSSION? >> HEARING NONE, ALL THOSE IN FAVOR SIGNIFY BY SAYING AYE.

>> ABSTENTION. ONE ABSTENTION, FOUR AYE S.

THE INVESTMENT ZONE WILL BE CREATED.

AND THEN THE FUTURE -- IF THEY ASK AT ALL.

LET ME EMPHASIZE. IF THEY ASK AT ALL, THEN THERE WILL BE A VERY ROBUST PROCESS TO DISCUSS WHAT ASK THEY MIGHT HAVE THIS IF COUNTY IF AT ALL.

REALLY, DEALING AS I SAID WITH THE SIX PRECEPS I WROTE DOWN. LET'S SEE WHAT THEIR INTENTION IS FOR THE FUTURE. ALL RIGHT.

MOVING ON. I WILL MOVE TO ITEM NO. 3.

[3. Discuss and consider reallocation of funds designated for first floor expansion to be utilized for second floor for cocession/restuarant at Bob Hall Pier.]

WE WITH TAKE THE OTHER PUBLIC COMMENTS AT THIS TIME. REALLOCATION OF FUNDS DESIGNATED FOR THE FIRST FLOOR EXPANSION TO BE UTILIZED FOR THE SECOND FLOOR CONCESSION RESTAURANT

AT BOB HALL PIER. >> CAN I MAKE A MOTION WE TABLE THIS? THIS IS -- THIS CAME BY SURPRISE. AND I DON'T THINK WE'RE ALL PREPARED TALK ABOUT THIS RIGHT NOW.

IT'S AN IMPORTANT PROJECT. WE JUST NEED TO BE CAREFUL.

AND WE DON'T WANT IT TO FALL LIKE THE HARBOR BRIDGES.

>> COMMISSIONER, THERE IS AN URGENCY TO THIS.

LET ME EXPLAIN THE URGENCY. THE URGENCY IS THAT THE CORE PERMIT WILL BE PULLED IF WE DO NOT GIVE THEM THE SOLID AFFIRMATION THAT THIS IS THE DIRECTION THAT WE'RE GOING.

AND THEREFORE, ANY DELAY TO A FUTURE TIME TO MOVE FORWARD WITH THIS IS BASICALLY GOING TO HAVE RAMIFICATIONS TO AT LEAST SIX MONTHS POTENTIALLY LONGER. AND THAT HURTS OUR REVENUE ABILITY IN THE FUTURE. HERE'S THE GOOD NEWS.

THE COASTAL PARKS BOARD ALREADY MADE A DECISION ALL WE'RE DOING THE CLARIFY AN ALLOCATION.

WE'RE NOT MAKING A DECISION. IT'S CLARIFYING HOW THE DOLLARS WILL BE USED. THOSE DOLLARS CAME FROM COMMISSIONER CHESNEY, CAME FROM MYSELF, AND I THINK IT'S IMPORTANT THAT WE GET THAT CLARITY SO THE PERMIT ALSO HAS CLARITY AS WELL AS WE ADHERE TO THE COASTAL PARKS BOARD. THAT'S WHY IT'S ON HERE.

IT'S ON HERE FOR URGENCY. THIS HAS BEEN DISCUSSED FOR MONTHS AND MONTHS. NOTICE HERE IS CERTAINLY RIGHT. ANY WAY --

>> WE NEVER TALKED ABOUT THE URGENCY FOR THE PERMITS.

[01:15:03]

>> WE'RE NOT -- THAT'S BECAUSE WE DON'T DO THAT.

THAT'S COASTAL PARKS BOARD THAT DOES THAT.

THEY HAVE ALREADY PLACED THOSE PERMITS IN THE PROCESS. THAT'S WHAT THEY DO.

THAT'S NOT IN OUR HANDS. THAT'S WHAT THEY DO.

THEY ARE AN INDEPENDENT BOARD WITH INDEPENDENT TIME

LINE. >> IF WE'RE THE ONES BEING ASKED TO MAKE A DECISION. ALL IT IS A CLARIFICATION TO BASICALLY SAY THAT THE MONEY THAT COMMISSIONER CHESNEY AND I THROUGH OUR OWN ARPA FUNDS ARE GOING TO BE UTILIZING IT FOR THE HIGHEST AND BEST PURPOSE.

COMMISSIONER CHESNEY HAS STATED HE SUPPORTS IT.

THIS TRULY FOR WHEN WE ALLOCATE IT'S DONE RIGHT IN

THE RECORD. >> FOR THE PERMITS ONLY?

>> YES. THIS WOULD BE -- LET ME GO BACK. TWO THINGS.

IT'S FOR THE PERMIT AND REMEMBER THAT THE PERMIT WORKS ON THE FOUNDATION. IF YOU GO UP VERSES OUT.

IF YOU GO OUT YOU WILL NEED ADDITIONAL FOUNDATION.

>> I DON'T SUPPORT THE MOTION TO TABLE.

THEY SUBMITTED A PERMIT WITH PLENTY OF GROUND FLOOR SPACE TO WHERE THERE IS NO DELAY FOR EXTENSION OF THE GROUND FLOOR. THE ISSUE WILL BE ON THE MONO VERSES DUAL. THAT'S THE WHEN WE WILL HAVE DEBATE ON OCTOBER 12. I DON'T AGREE THIS WAS URGENT. I WILL NOT SUPPORT MOTION TO TABLE. I SUPPORT THE SECOND FLOOR.

I DON'T AGREE WITH THE ASSESSMENT ON THE MAKE ON THE PULLING OF THE PERMITS THAT'S INACCURATE AS REGARD TO FIRST SECOND/FLOOR ARGUMENT.

BECAUSE THEY THOUGHT WE MAY DO THE PUBLIC SPACE.

WHAT I WAS TOLD THERE IS NO ISSUE ON THE PERMIT WHATSOEVER ON THE FIRST AND SECOND FLOOR.

BUT WE'RE HERE TODAY I DON'T SUPPORT HIS MOTION TO TABLE.

I WOULD LIKE TO MOVE FORWARD AS WELL.

BUT I DO WANT TO CLEAR UP. THE REASON YOU ARTICULATED IT WAS URGENT. I DON'T AGREE WITH.

>> THERE'S ALSO A MOTION MADE BY THE COASTAL PARKS THAT WE GET A THIRD PARTY THAT THEY RECOMMEND AND GET A THIRD PARTY TO ANALYZE THE SECOND FLOOR -- WHAT THE PROBLEM WOULD BE ON THE SECOND FLOOR.

IF WE ADDED A SECOND FLOOR TO IT.

I THINK -- WE WILL -- >> COMMISSIONER CHESNEY CAN YOU TELL HIM THAT'S DESIREDED?

>> THAT'S A SUGGESTION THIS COURT MADE TOO THE COASTAL PARKS BOARD. THEY TABLED THAT.

THEY TOOK NO ACTION ON IT. THEY DIDN'T TAKE ACTION ON

THAT PARTICULAR ITEM. >> THAT'S WHEN THE DEBATE -- THE COURT PREVIOUSLY BY 5-0 VOTED FOR FIRST-FLOOR EXPANSION. THEN I CAME BACK THAT DAY AND SAID WHY DON'T WE COME UP WITH SOME WAY TO LOOK AT WHETHER THE FIRST -- BECAUSE ASS WE SIT HERE TODAY.

WE STILL HAVE DON'T HAVE ANY INDEPENDENT DATA ON WHETHER THIS WILL WORK OR WON'T WORK.

WE ARE WHERE WE ARE. THAT'S MY SUGGEST TO THE PARKS BOARD WHICH THEY DIDN'T ABILITY ON.

THAT'S FINE. IT WAS A SUGGESTION.

I'M NOT OFFENDED BY IT. I THOUGHT WHY DON'T WE GET AN INDEPENDENT AMAL-CISSE AND SEE IF IT WOULD WORK.

THE PARKS BOARD DIDN'T DECIDE TO DO IT.

THEY DECIDED ON THEIR OWN TO MAKE A RECOMMENDATION TO DO THE SECOND STORE ON THE -- INSTEAD OF THE FIRST FLOOR EXPANSION. MY THOUGHT WE WOULD BE BACK HERE ON ALL OF THIS ON OCTOBER 12TH WITH COST ANALYSIS. WE WOULD HAVE A HARD-CORE NUMBER ON EVERYTHING. I DON'T BELIEVE THE NUMBERS FOR THE FIRST FLOOR TO BUILD ARE ACCURATE -- NO OFFENSE TO ANYONE INVOLVED. I DON'T BELIEVE IT WILL COST $1,000 A SQUARE FOOT TO BUILD TOWN FIRST FLOOR.

WE'RE HERE TODAY ON THIS. AGAIN, THAT'S KIND OF THE NUTS AND BOLTS OF IT. LIFE GOES ON.

I WILL VOTE FOR THIS. BUT I DON'T -- I STILL DON'T BELIEVE IT'S THE BEST WAY TO DO IT.

BUT I ALSO BELIEVE IN REPRESENTATIVE GOVERNMENT.

I'VE HEARD FROM THE PERCENTAGES BOARD.

I'VE HEARD FROM THE PEOPLE ON THE ISLAND THIS IS WHAT THAT WAY. I DON'T THINK IT'S THE WRONG THING DO. LARGER FIRST FLOOR IS ALWAYS THE BETTER THING. I DON'T DISAGREE WITH THAT.

I ALSO BELIEVE STRONGLY REPRESENTATIVE GOVERNMENT.

PARKS BOARD MADE A RECOMMENDATION.

AS DID 600 PEOPLE WHO SIGNED A PETITION.

I HOPE WE REMEMBER WHEN WE HAVE THE MONO VERSES DUAL.

[01:20:11]

THAT SAID, THAT'S WHERE WE ARE.

AND IT'S ON THE AGENDA. LET'S VOTE AND VOTE FOR YAY

OR NAY AND MOVE ON. >> MY CONCERN IS WHAT IT IS GOING TO COST THE COUNTY. NOT THE PARKS BOARD.

IS ANYONE ELSE GOING TO TAKE RESPONSIBILITY IN CASE THIS DOES GET DONE. WE GET A HURRICANE.

IS SECOND FLOOR COMES DOWN. WHO IS RESPONSIBLE FOR

REBUILDING IT? >> WE WILL.

>> DOES ANYBODY -- WHOEVER OWNS IT WILL THEY BE

REQUIRED TO HAVE INSURANCE? >> I WOULD THINK THERE COULD

BE SOMETHING. >> YOU CAN ASK THEY ADD

INSURANCE ON THE FIRST ONE. >> I STILL DON'T HAVE A DEFINITIVE ANSWER WHETHER THAT WAS INCLUDED IN THE SETTLEMENT WE WASN'T. THEY'VE BEEN INSURED OVER THE PAST. MY HOPE THEY WOULD CONTINUE TO BE INSURABLE IN THE FUTURE.

>> THE DIFFERENCE IS YOU KNOW HURRICANE HANNA CHANGED THE PROFILE OF OUR BEACH. IT CHANGED IT AND WE'VE HAD THOSE SURVEYS DONE AND NOW WHERE YOU HAVE SAND YOU KNOW HAVE WATER. IT'S A COMPLETELY DIFFERENT SITUATION. IT'S NOT 1,000 FEET VERTICAL. IT'S 1,000 SQUARE FEET -- NOT HORIZONTAL. BECAUSE YOU ARE DEALING WITH BARGES AND PILINGS AND THE WATER.

IT'S NOT SQUARE FEEL THE REASON IT'S SO EXPENSIVE TO GO THIS WAY BECAUSE OF THE WORK THAT IT TAKES IN THE WATER. THAT'S THE GAME CHANGER.

IT'S THE EQUIPMENT, THE TIME FACTOR THAT TAKES PLUS THE PILINGS. WE CAN MOVE FORWARD.

IT'S NOT APPLES TO APPLES WHEN YOU SAY X DOLLARS A SQUARE FOOT GOING THIS WAY. THE REASON WHY THIS IS SO MUCH CHEAPER BECAUSE YOU ARE NOT DEALING WITH STRUCTURE IN THE WATER. THAT'S WHY YOU'RE DEMOBILIZATION IS HOME 3 MILLION PRICE TAG.

IT'S SUPER EXPENSIVE TO WORK IN THE WATER.

IT JUST IS. FOR OBVIOUS REASONS.

THE WESTERN GULF IS A TOUGH PLACE.

IT'S ROUGH. AND YOU HAVE TO HAVE THE RIGHT EQUIPMENT. AND RIGHTS EXPERTISE.

YOU CAN ONLY WORK CERTAIN TIMES OF YEAR.

YOU HAVE ENVIRONMENTAL SPECIES CONCERNS.

IT'S 100% DIFFERENT ENVIRONMENT.

WHAT CHANGED? HANNA CHANGED IT.

THE PROFILE OF THE BEACH IS NO LONGER THE EACH WE HAD BEFORE. IF WE COULD WORK ON SAND.

IT WOULD HAVE BEEN GREAT. BUT WE CAN'T.

WHY? BECAUSE HANNA CHANGED THE PROFILE OF THE BEACH. AND THAT'S WHY IT'S SO VERY,

VERY DIFFERENT; BUT -- >> ARE WE PREPARED JUDGE TO PAY ALL EXTRA COST. RIGHT NOW WE ARE SUFFERING BECAUSE WE NEED ROOFS ON COUNTY BUILDINGS.

>> IT'S A VERY GOOD QUESTION.

THESE DOLLARS WE EACH MADE A DECISION.

YOU KNOW. >> LET ME JUST FINISH.

I WILL COME RIGHT BACK TO YOU.

WE EACH MADE A DECISION SOME TIME BACK THAT OUT OF OUR BIG ALLOCATION FROM AMERICAN RESCUE PLAN THAT EACH COMMISSIONER WOULD HAVE THE OPPORTUNITY MAKE DECISIONS IF THEY THOUGHT WERE IN THE BEST INTEREST OF NEUSES COUNTY. YOU HAVE SOME AWESOME PROJECT. EACH OF US DO.

ONE THING COMMISSIONER CHESNEY AND I MADE A DECISION ON IS THAT WE WOULD EACH TAKE DOLLARS FROM OUR ARPA ALLOCATION. WE QUALIFIED THEM THROUGH THE ELIGIBILITY PROCESS. AND WE BELIEVE THESE -- AND THIS INVESTMENT IN THIS PUBLIC INFRASTRUCTURE WILL HAVE RIGHT RATE OF RETURN. WE BELIEVE WE HAVE THE -- NO DISRESPECT TO ANY OTHER ENGINEERING COMPANY.

THEY ARE ALL AMAZING. ESPECIALLY HERE'S IN THIS COMMUNITY WITH COASTAL. BUT JACOB'S ENGINEER SING WELL REGARDED AND WIDELY RECOGNIZED AS THE NUMBER ONE ENGINEERING COMPANY IN THE WORLD WITH REGARDS TO THE WAY THEY ASSESS; YOU HAVE COLLEGE RANKINGS.

THERE'S RANKINGS FOR EVERYBODY IN THE WORLD.

JACOBS IS NUMBER ONE IN THE WORLD.

THEY BRING FORTH EXPERTISE THAT WILL GIVE US THE

RESILIENT BUILDING. >> ALSO WITH ENGINEERING, IT'S BEEN WHAT ABOUT TWO MONTHS AGO THAT JACOBS

[01:25:03]

ENGINEERING WAS HERE ASKING FOR MORE MONEY.

BECAUSE THEY FORGET TO ADD SOMETHING TO THE --

>> I THINK IT WAS SIR, THE CONTRACT DIDN'T ADDRESS THE NEED THAT WE HAD -- THAT WE HAD ASKED.

TOO MILLION DOLLARS. >> IT WASN'T A MILLION

DOLLARS. >> ITS 700 SOME ODD DOLLARS.

>> IT'S INSIDE THE BUDGET WHETHER IN ONE LINE ITEM OR ANOTHER LINE ITEM. WE CAN DEBATE.

THAT'S NOT WHAT IS BEFORE US HERE TODAY.

WHAT'S BEFORE US HERE TODAY IS THE ITEM AND I WOULD ASK THAT WE ALLOW THE PROCESS OF DEMOCRACY TO GO FORWARD.

>> I HAVE TO HAVE PUBLIC COMMENT.

LET'S GO HAVE YOU AND THEN WE WILL CALL FOR PUBLIC.

>> I THINK THAT I'M NOT AGAINST THE RESTAURANT.

THERE'S NOTHING WRONG WITH RESTAURANT.

I'M AGAINST THE BAR. BUT, YOU KNOW, AND YOU SAID YOU COMMISSIONER CHESNEY PUT IN YOUR MONEY FROM ARPA FUND. DON'T FORGET THE 26 MILLION IS WHAT WE AGREED TO GIVE THE PIER.

WE COULD HAVE GIVEN MORE MONEY TO THE WESTERN DIRECT.

WE DIDN'T. BECAUSE WE AGREED TO PUT 26 MILLION DOLLARS THE COMMISSIONER'S COURT ON THE PIER. TO BUILD THE PIER.

IT'S NOT ABOUT THE PIER. THE PIER SHOULD BE REBUILT.

THE FIRST FLOOR SHOULD BE THERE.

EXPANSION SHOULD BE THERE. THE SECOND FLOOR SHOULD NOT BE THERE. BECAUSE THAT'S NOT WHAT WE TA TALKED ABOUT AT THE BEGINNING. IT WAS BROUGHT UP LATER.

WE HAVE BEEN CATERING TO A RESTAURANT THAT HASN'T PUT ANY MONEY INTO THE RESTAURANT.

I DON'T KNOW MAYBE YOU TELL US HOW MUCH MONEYS GIVEN FROM INSURANCE COMPANY. AND HOW MONEY GIVEN TO COUNTY. I WOULD LIKE TO FIND THAT

OUT. >> I CAN CHECK ON THAT AND

GET BACK TO YOU. >> AGAIN, I WILL JUST TELL YOU, THAT COASTAL PARKS, YOU KNOW, I'M VERY DISAPPOINTED FROM THE BEGINNING WE BUILT THIS RESTAURANT, BAR.

WITH GRANT MONEY THAT BELONGS TO THE COUNTY IN TAX PAYER'S MONEY. WE GOT AUTHORIZATION.

>> 850,000. THEY AGREE TO BUILD CALLED WELL PIER TO ALMOST THE LIKING OF THIS PIER HERE.

WE WOULD BE IN TROUBLE. THAT'S NOT RIGHT.

I KNOW SORRY YOU WANT -- NO ONE TRYING TO TAKE AWAY THE PIER OR THE RESTAURANT. I DON'T SUPPORT THE SECOND FLOOR. WHEN A HURRICANE COMES THAT'S THE FIRST TO GO. WE DON'T HAVE AN INSURANCE WE NEVER HAD AN INSURANCE. THAT'S WHY WE ARE STRUGGLING NOW. IF THEY WANT TO INSURANCE TOWN SECOND FLOOR IN CASE THEY GO DOWN IT WILL COVER IT. IT WOULD BE GLAD TO HEAR THAT. MAYBE SUPPORT IT.

BECAUSE IF NOT, YOU WILL COME BACK TO US.

COASTAL PARKS AREN'T GOING TO PAY FOR IT.

IT'S EASY FOR THEM TO GO TO SOMETHING THEY HAVE TO PAY FOR. EVERYTHING COMES BACK TO US.

IT SHOULD HAVE GONE OUT FORBIDS.

WE SHOULD HAVE GIVEN THE SAME OPPORTUNITY TO ANYONE ELSE THAT WANTED TO BID FOR THAT RESTAURANT.

IT WAS BUILT WITH GRANT MONEY AND TAX PAYER'S MONEY.

IT SHOULD HAVE GONE OUT FORBIDS.

>> FROM A RESTAURANT SEAFOOD RESTAURANTS, WHATEVER IT IS.

WE SHOULD HAVE GIVEN OUR COMMUNITY THE SAME OPPORTUNITY TO INVEST IN THE SAME OPPORTUNITY TO BE ABLE TO RUN A RESTAURANT. WHO WILL BE RESPONSIBLE.

[01:30:02]

I THINK THEY SHOULD ALL BE RESPONSIBLE.

>> I WILL KEEP BRINGING THIS UP.

IT'S SOMETHING PEOPLE NEED TO KNOW.

>> COMMISSIONER, I WILL ASK FOR PUBLIC COMMENT.

>> JUDGE, I'M TALKING. I'M GOING TO TELL YOU.

>> I THOUGHT YOU WERE FINISHED.

>> I WILL LET YOU KNOW PEOPLE.

I DON'T THINK COMMISSIONERS EITHER.

I WANT TO TELL YOU HOW THIS ALL GOT STARTED.

FOR US, TO AGREE TO PUT 26 MILLION DOLLARS INTO THE PIER TO HELP CHESNEY IS NOT ORDINANCE WE'RE SUPPORTING.

THEY PUT 1 MILLION EACH FROM THEIR FUNDS.

26 CAME FROM ALL OF US. I WANT TO LET YOU KNOW.

NO ONE THE TRYING TO TAKE APART YOUR RESTAURANT.

>> THANK YOU. IT'S A LITTLE BIT LENGTHY BECAUSE I HAVE OTHER THINGS. WE'RE IN A MOTION.

JUST FOR A SECOND. >> THERE WAS NEVER A SECOND.

>> THERE WAS NOT. WE DIDN'T HEAR YOU.

ALL THOSE IN FAVOR OF TABLING THIS MOTION SIGNIFY -- FIRST OF ALL, HOLD ON.

WITH THE TABLE, WE'VE GONE THROUGH ALL THIS DISCUSSION.

I HAVE TO BE HONEST WITH YOU IF THERE WAS A TABLE, WHY DID HE HAVE THE ABILITY TO HAVE THAT DISCUSSION?

>> IN THE SPIRIT OF THAT, I WILL TAKE THE VOTE.

BUT I DO THINK SINCE HE HAD AN OPPORTUNITY TO DISCUSS EVEN THOUGH TYPICALLY GUYS WE DON'T DISCUSS THERE'S ABOUT 10 THINGS THAT I WOULD LIKE TO MAKE SURE THE RECORD

IS REFLECTIVE OF. >> WE CAN MAKE AFTER YOU

MAKE THE MOTION. >> I WILL DO THAT.

>> I DIDN'T HEAR A SECOND. >> I NEED TO CLEAR THE

RECORD. >> THAT'S FAIR.

>> ALL THOSE IN FAVOR SAY "AYE."

FOR THE TABLE. >> AYE.

>> AND OPPOSED SAME SIGN. NO.

>> THAT MOTION FAILS. AND SO CAN YOU -- I WOULD LIKE TO MAKE A MOTION TO CONSIDER THE REALLOCATION OF FUND DESIGNATED FOR THE FIRST FLOOR TO BE USED FOR THE SECOND FLOOR, AND, AGAIN TO BE VERY SPECIFIC MADAM CLERK YOU RECALL WE HAVE TO LOOK UP THE MINUTES AT THAT POINT IN TIME. COMMISSIONER CHESNEY AND I THROUGH THE FUNDING SOURCE OF ARPA.

DOESN'T CHANGE FUNDING ALTERNATE ALL.

IT STAYS THE SAME. IT'S JUST THE CLARITY TO REFLECT THE WILL OF COASTAL PARKS BOARD.

THAT THOSE DOLLARS BE UTILIZED IN A DIFFERENT WAY TO THE SECOND FLOOR. I'LL LOOK FOR A SECOND.

>> YOU HAVE SOME ADDS. >> I WROTE THIS OUT.

BECAUSE IT'S LONG. I WANT TO PUT EXTRA STUFF.

>> LET ME SEE IF I CAN GET --

>> IT'S MY MONEY. >> PROCEDURALLY.

LIKE TO ASK FOR THE SECOND. YOU TELL ME YOU WANT TO ADD

STUFF. >> YOU WILL SECOND AND THEN

ADD. >> MY MOTION -- WELL, I WROTE IT REALLOCATE FIRST FLOOR EXPANSION ON ANY PEER EXPANSION FUNDS MAY BE NEEDED FOR.

I WOULD MOVE THE COUNTY MANAGER HIRE AN INDEPENDENT AUTHORITY TO PROVIDE FAIR MARKET VALUE FOR THE AMOUNT SHOULD BE CHARGED FOR RENT FOR THE SPACE.

SHALL BE ANALYSIS FOR THE NEW SPACE.

SHALL BE PROVIDE FORD THE PARKS BOARD AND COMMISSIONERS COURT FOR THE INDEPENDENT ANALYSIS.

NO OUTSIDE INFLUENCE BY COMMISSIONER COURSE VENDOR OR ANYONE ELSE THAT CAN BE TRULY INDEPENDENT FINDING.

THE FINAL RESULT SHOULD BE PROVIDED TO COMMISSIONER COURT IN OPEN MEETING AND THE FUND UP TO 15,000 FOR ANALYSIS SHALL BE PROVIDED. THE PART --

>> I ACCEPT AND SECOND IT. >> THANK YOU.

>> NOW JUST A LITTLE BIT OF CORRECTION BEFORE I CALL THE VOTE. AND I'M CERTAIN THAT COMMISSIONER GONZALEZ SORT OF UNDERSTAND IT.

IN HIS WAY. BUT NUMBER ONE TEXAS PARKS AND WILDLIFE IF YOU ARE LISTENING YOU HAD NOTHING TO DO WITH BOB HALL PIER. I WANT -- OR THE CONCESSION STAND. IT WAS NOT TEXAS PARKS AND WILDLIFE. IT WAS U.S. FISH AND

[01:35:01]

WILDLIFE. THEY HAD ABSOLUTELY NOTHING TO DO WITH IT. WE DON'T ASK FOR THEIR ASSISTANCE AT ALL. THEY DON'T HAVE ANYTHING TO DO WITH IT. AND THERE WAS NEVER A DOJ CONSENT DECREE. THAT HAD TO DO WITH THE AMERICAN DISABILITIES ABILITY THAT WE HAD THE DOJ SITUATION. NONE OF THOSE WERE ACCURATE.

THIS WAS A COMPETITIVELY PROCURE PROCURED CONTRACT. WHY IS THE CONTRACT IN THE MIDDLE? BECAUSE IT HAS EXPIRATION ON IT. AND WE HAVE NOT GOTTEN TO THE TERM YET. YOUR CLAUSE HAVING TO DO WITH HURRICANE HANNA. IT'S IMPORTANT TO KNOW.

THESE ARE COMPETITIVELY PROCURED CONTRACTS.

THEY ARE IN THE MIDDLE OF THE CONTRACT.

THAT'S IMPORTANT TO MAKE CERTAIN.

AS FAR AS WHATEVER REQUIREMENT REGARDING RISK MANAGEMENT, INSURANCE. IT'S CONTAINED INSIDE THE CONTRACT. IF YOU GET INTO A NEW CONTRACT YOU CAN MAKE REQUIREMENT YOU SHOW CHOOSE AND VOTE ON. IT JUST MAKE CERTAIN THAT EVERYTHING YOU SAID THAT I JUST CORRECTED IS IMPORTANT TO CORRECT THE RECORD. AND ALSO FINALLY, WHEN WE BUILT THE -- I WASN'T HERE. WHEN I WENT BACK FOR RECORDS IT WASN'T BUILT FOR RESTAURANT AND BAR.

IT WAS BUILT FOR AN OBSERVATION DECK THAT OBSERVATION DECK WE ALWAYS MAINTAINED WITH U.S. FISH AND WILDLIFE WAS BUILT. AND THE APPROPRIATE PIECES OF THAT GRANT WHERE THERE. THEY DISAGREED.

WE CREATED A SOLUTION. AS A RESULT WE'VE GOT FOREST CALDWELL OBSERVATION DECK WHICH WAS ALSO A VERY MUCH A PRIORITY FOR COASTAL PARKS. IT NOW SERVES AS AN OUTDOOR TEACHING FACILITY AND CLASSROOM.

IT SUPPORTED BY TEN DIFFERENT ORGANIZATIONS.

THOSE ARE THE THINGS THAT I THINK ARE IMPORTANT TO BALANCE THE ACTUAL RECORD. AND IT'S OKAY TO HAVE DIFFERENT PERSPECTIVES. BUT NOT OKAY TO SITE DIFFERENT AGENCIES. THEY WOULD BE UPSET IF WE SAID IT WAS YOU WHEN IT WASN'T.

>> AT ANY RATE. WE HAVE TO MAKE SURE THE CHANGES ARE PART OF IT. WITH THAT, WE'VE GOT AN OPPORTUNITY TO MOVE FORWARD. WITH THE REST OF OUR AGENDA.

ALL THOSE FAVOR SAY "AYE." >> THIS IS MOTION FOR THE

ITEM OR JUST THE MOTION -- >> THE MOTION FOR ITEM NO.

3. >> DID WE MISS PUBLIC

COMMENT. >> I HAVE PUBLIC COMMENT.

WE'LL HOLD FOR THAT. MR. TED MORRIS SIGNED UP.

THERE WAS ONE MORE IF YOU WILL HELP ME.

WHO ELSE SIGNED UP? >> RACHEL AND ONE MORE? [INAUDIBLE] IT'S OKAY.

WE CAN DO EVERYBODY ALL AT ONCE.

WE'LL ASK FOR ONLINE AS WELL.

>> GO AHEAD. >> THANKS FOR ALLOWING ME THIS TIME. I'M TED MORRIS.

I LIVE ON THE ISLAND WALKING DISTANCE FROM THE PIER IN QUESTION. THAT'S WHERE I'M COMING FROM IS TO PROMOTE AND ENCOURAGE YOU GUYS TO VOTE FOR THE REALLOCATION OF THE FUNDS TO BUILD THE SECOND FLOOR VERSES EXPANSION OF THE BOTTOM FLOOR.

I THINK BOTTOM PLANS ARE GOOD.

BUT IF YOU PUT THE NUMBERS TO IT.

LOOKING I'M COMING THROUGH OKAY.

LOOKING AT THE NUMBERS,I APPRECIATE YOUR EXPLANATION OF THE SQUARE FOOTAGE AND NOT BEING ABLE TO COMPARE BUT WHEN YOU GET 5,000 SQUARE FOOT FOR THE 2 MILLION DOLLARS THATS APPROVED AND A LOTTED FOR THAT, IT JUST MAKES BETTER SENSE TO ME.

ADDITION, I SHOULD HAVE SAID EARLIER, I AM ONE PERSON SPEAKING FOR A WHOLE GROUP OF PEOPLE THAT WE'VE COME TOGETHER AND IN ESSENCE OF TIME, ALL YOU GUYS HAVE HEARD A LOT OF WHAT I HAVE TO SAY.

BUT WE DID THAT TO SAVE YOU GUYS SOMETIME AND SAVE EVERYONE SOME TIME. WE NORMALLY HAVE A GROUP OF PEOPLE HERE. WE HAVE PETITIONS THAT WELL OVER 600 SIGNATURE DEEPS. AS WELL AS LETTERS OF SUPPORT AND RECOMMENDATION FROM THE PADRE OFFICE BUSINESS ASSOCIATION. AND THE TEXAS RESTAURANT ASSOCIATION. THEIR SUPPORT IN ADVANCING WITH THE SECOND FLOOR VERSES THE BOTTOM FLOOR EXPANSION.

I JUST JOTTED DOWN A FEW BULLET POINTS TO TALK ABOUT OR TO PUT OUT THERE. IT WAS SAID TODAY THE PARKS BOARD MET AND I WAS AT THAT MEETING.

UNANIMOUSLY AGREED TO GO WITH THE SECOND FLOOR.

[01:40:01]

AND THEREFORE MADE THEIR RECOMMENDATION TO YOU GUYS.

WE ARE IN LACK OF NICE VENUE ON PADRE ISLAND TO HAVE MEETING. WE LOST THE COUNTRY CLUB.

THEN THE DEMISE AND THAT WAS GONE.

IN ADDITION TO HARVEY DAMAGED PORT ROYAL FACILITY THAT LEAVES US WITH MINIMAL SPACES INSIDE CONFERENCE ROOM OF HOTELS. THERE'S NOT MUCH TO SPEAK OF AS FAR AS VENUES FOR THE COMMUNITY TO HAVE AREA BUSINESS MEETINGS, OBTAIN BANQUETS.

CONFERENCES. DESIGNATION WEDDINGS, AND SO

MUCH MORE. >> IF IT'S APPROVED THE COMPLETION OF THE SECOND FLOOR WILL PUT A FACILITY ON OUR ISLAND. WE'RE SO PROUD OF.

THAT IT'S UNLIKE ANYTHING ON THE TEXAS GULF COAST.

IN ADDITION TO PROVIDING TO THE LOCAL COMMUNITY IT WILL BE A DESIGNATION FOR VISITORS TO COME TO AND WE CAN ALL BE PROUD OF. I'M ASKING YOU TO PLEASE VOTE AND REA LOT THE FUNDS APPROVED FOR THE BUILDING OF

THE SECOND FLOOR. >> THANK YOU.

>> AND THEN I LOOK BACK AT MY NOTES.

THERE WAS AND ONLY BECAUSE I'M STRUGGLING WITH THE MY GLASSES. IS IT HORTON?

>> MR. DAN HORTON? >> COULD BE HOUSTON?

>> HE LEFT, JUDGE. >> HE WAS BACK IN THE

BACKGROUND AND HE LEFT. >> I WILL CALL FOR RACHEL AND THEN SEE IF ANYBODY ELSE IS ONLINE.

HELLO, AGAIN. I'M TALKING ON BEHALF OF THE SOME INDIVIDUALS THAT ARE PART OF THE PADRE ISLAND BUSINESS ASSOCIATION THAT CAN'TED BE HERE -- CAN'T BE HERE THAT ARE AGAINST THE SECOND FLOOR BUILD OUT.

THE ISSUE HERE AND I THINK YOU HAVE LOST THE BIG PICTURE IS WHENEVER THERE WAS TEHRANCAL DECISIONS MADE HERE TO SHUTDOWN THE SMALL BUSINESSES A LOT OF OUR BUSINESSES GOT SHUT DOWN. A LOT OF PEOPLE DON'T UNDERSTAND WHY A PRIVATE COMMUNITY MEMBER IS RECEIVING SO MUCH TAX PAYER MONEY FOR A RESTAURANT THAT IS NOT OWNED BY THE TAX PAYER.

I HAVE A LIST OF SMALL BUSINESS OWNERS THAT ARE RESTAURANT OWNERS THAT WOULD LOVE TO RECEIVE 2.5 MILLION DOLLARS OF TAX PAYER MONEY TO ADD A SECOND FLOOR TO THEIR RESTAURANT. THEY WOULD LOVE IT.

BUT YOU GUYS ARE HANDING THAT OUT TO THEM.

WHY? WHY DOES THIS SPECIFIC BUSINESS OWNER GET THAT TREATMENT? WE HAVE TO UNDERSTAND. YOU KNOW, IF YOU TALK ABOUT WEDDING, VENUES AND MEETING. THERE'S PLENTY OF PLACES ON THE ISLAND TO HAVE MEETING. THERE'S PLENTY -- IF PEOPLE HAVE A BEACH WEDDING. USUALLY THEY HAVE IT ON THE SAND. BUT EIGHT CAT 3 OR CAT 5 WILL WIPE OUT A SECOND FLOOR.

WHETHER IT'S INSURED OR NOT. WE HAVE TO START USING COMMON SENSE HERE. BECAUSE THIS IS WHAT WE REQUIRED OF YOU AS ELECT EMPLOYEES TO USE COMMON SENSE AND UNDERSTAND THAT IF YOU -- GOING TO GIVE A SOLE TAX PAYER 2.5 MILLION TO KEEP HER RESTAURANT GOING, THEN YOU HAVE TO DO THAT FOR THE REST OFS THE BUSINESS OWNERS. THERE'S MANY RESTAURANTEER WHOSE WOULD LOVE AN OPPORTUNITY TO BE ABLE TO BID OUT AT THAT PIER. WHY HAVEN'T THEY BEEN GIVEN AN OPPORTUNITY TO DO THAT? WHAT IS WITH THIS SPECIAL TREATMENT HAPPENING IN -- ON THIS COURT? THAT IS A REASONABLE QUESTION.

OUTSIDE OF THE PEOPLE THAT ARE HERE, THAT ARE SPEAKING FOR THE SECOND FLOOR, MOST OF THE OTHER FOLKS YOU KNOW, THEY HAVE JOBS. CAN'T BE HERE.

THEY ARE RUNNING THEIR RESTAURANTS.

THEY DON'T UNDERSTAND -- WHERE YOU ARE FEEDING ONE PARTICULAR BUSINESS ALL GIVING THEM ONLY THE OPPORTUNITY TO REPRESENT THAT PARTICULAR PIER. IT SHOULD HAVE BEEN AN OBSERVATION DECK. I SHOULD STILL BE AND LET THE PRIVATE BUSINESS OWNERS FIGURE OUT A WAY TO CREATE A VENUE. WE SHOULDN'T BEING PAYING FOR THIS. THIS IS REALLY, REALLY DIFFICULT TO COME HERE AND EXPLAIN THIS TO PEOPLE WHO YOU KNOW SEEM TO KNOW BUSINESS.

AND SO YOU ON BEHALF OF THE PEOPLE THAT AREN'T IN AGREEMENT IN THEIR EN S FORMENT WITH THIS INDIVIDUAL, THEY DON'T APPROVE OF THIS SECOND

[01:45:02]

FLOOR. AND WE DON'T AS A TAX PAYER WE DON'T APPROVE OF ONE INDIVIDUAL GETTING 2.5

MILLION IN TAX PAYER MONEY. >> THE LAST PERSON IS MAY

MENTALTON. >> THAT'S ALL I'VE GOT.

[INAUDIBLE] SEND IT TO MACKEY.

SHE CAN DO IT FOR YOU. WE WILL MAKE COPIES FOR

EVERYBODY. >> CLEAR THE VISUAL HERE.

>> YOU MAY PROCEED. THANK YOU JUDGE AND COMMISSIONERS. I WAS GOING TO TRY TO MAKE THIS SHORT AND SWEET. I FEEL LIKE I'VE BEEN PERSONALLY ATTACKED. I'M TIRED OF BEING BLAMED FOR THINGS I HAVEN'T DONE. FIRST, THE REASON THAT I AM THE PERSON THAT THEY ARE REBUILDING FOR.

THEY ARE REBUILDING A CONCESSION BUILDING.

I HAVE THE CURRENT CONTRACT. I GOT THAT CONTRACT IN 2013.

I WAS AWARDED THAT CONTRACT. I'M IN THE MIDDLE OF MY CONTRACT. SO MY CONTRACT IS ON HOLD UNTIL WE REBUILD. IF SOMEONE ELSE WANTS TO GET IT WHEN MY CONTRACT IS UP. THEY CAN ALL PUT IN FOR THE CONTRACT TO PUT IN FOR BEING THE CONCESSION.

THERE'S NO FAVORITISM. IT'S QUITE THE CONTRARY.

I'VE GOTTEN BEATEN UP OVER AND OVER AND OVER AGAIN BY COMMISSIONERS HERE AS WELL. AND IT'S NOT FAIR.

BECAUSE I'VE WORKED VERY HARD FOR THAT RESTAURANT.

I USED TO BE PRESIDENT ALONG TIME AGO OF THE PADRE ISLAND BUSINESS ASSOCIATION. THIS HOW I FOUND OUT ABOUT THIS RESTAURANT. I FOUND OUT IT UP FORBID IN 2012. I WOULD SEE ONE RESTAURANT AFTER ANOTHER SEEMED LEAK EVERY SIX MONTHS THERE WAS A CHANGE OF HANDS. AND I HAVE SOMEONE BACK HERE THAT CAN CONFIRM THAT. OUR DIRECTOR SCOTT CROSS.

OVER AND OVER AND OVER NO ONE COULD MAKE IT WORK.

EVERY SIX MONTHS A NEW RIBBON CUTTING.

WHEN I FOUND OUT ITS OPEN FORBID I GOT A BUSINESS PARTNER AND WOULD LOVE TO HAVE THIS BUSINESS.

I KNOW WHAT TO DO TO MAKE ITSELF.

I PUT A LOT OF MONEY UP THERE COMMISSIONER GONZALEZ TO MAKE THAT PLACE SUCCESSFUL.

AND, YES, I HAVE INSURANCE. IT'S A REQUIREMENT.

AND I HAVE PLENTY OF INSURANCE TO COVER THE COUNTY BECAUSE YOU'RE ADDITIONAL INSURED.

REST ASSURED NOTHING WILL COME BACK ON YOU.

NOW, I'M ALSO AN INSURANCE AGENT AS YOU KNOW.

AS AN INSURANCE AGENT I KIND OF KNOW A THING OR TWO ABOUT CONSTRUCTION. WHEN I BUILD MY LAST HOUSE CONCRETE WALLS AND MELTAL ROOF.

IT WITHSTANDS 200-MILE-AN-HOUR WIND.

THAT'S WHAT WE WILL HAVE THE PIER.

YOU CAN HARDLY GET SOMETHING THAT BIG EVEN WITH A CAT 5.

YOU WILL BE PRETTY DARN GOOD.

WITH THE NEW CONSTRUCTION IT SHOULD BE FINE.

FIRST FLOOR VERSES SECOND PARTICULAR.

IF YOU LOOK AT THE SECOND PAGE THAT I GAVE YOU, THE SECOND PAGE IS A LETTER FROM BUILDER THAT I DEAL WITH.

IN FACT HE BUILT MY HOUSE WHO DOES CONSTRUCTION WITH ICF WALL. IT SAYS THERE'S NO PROOF THAT A SECOND FLOOR WOULD WITHSTAND MORE DAMAGE THAN THE FIRST FLOOR. NOW BACK TO MY INSURANCE.

WHENEVER I HAVE CLAIMS, LET ME TELL YOU WHAT THE MAJORITY OF THE CLAIMS ARE. AND YOU ALL KNOW THIS IS TRUE. IT'S TO ROOFS.

WHY? BECAUSE OF THE PRESSURE CAUSING THE UPLIFT OF THE ROOF.

WE HAVE MORE SQUARE FOOTAGE. LET'S SAY WE HAVE THE SAME 10,000. I WILL USE A NUMBER.

10,000 SQUARE FEET. FIRST FLOOR.

YOU HAVE NOW MORE SQUARE FOOTAGE WITH A ROOF THAT'S GOING TO BE MORE SUSCEPTIBLE TO DAMAGE IF NOTHING ELSE HAPPENED TO YOUR ROOF THAT WILL SHUT IT DOWN.

SECOND FLOOR, OH, WE GO UP. WE HAVE LESS SQUARE FOOTAGE ON THE ROOF; CORRECT? OF COURSE, YOUR NOT GOING TO HAVE AS MUCH DAMAGE AS FAR AS THE WALLS AND IT BREAKING DOWN. THAT'S NOT TRUE.

IF ANYTHING A SECOND FLOOR IS BETTER BECAUSE A TIDAL SURGE. YOU HAVE DAMAGE ON THE FIRST FLOOR WITHOUT ANY DAMAGE ON THE SECOND FLOOR.

THAT'S IS NOT TRUE THAT YOU WILL GET MORE DAMAGE FROM A SECOND FLOOR VERSES A FIRST FLOOR.

AS FAR AS RESTAURANTS. >> I WILL HAVE YOU WRAP IT

UP. >> I FORGET ABOUT RESTAURANTS. I KNOW A LOT OF RESTAURANT OWNERS. I FIGHT IN D.C. ALL THE TIME FOR THESE RESTAURANT OWNERS. I'M ALWAYS TRYING TO FIND MORE MONEY FOR RESTAURANT OWNERS.

IF THEY WANT IT. THEN LET THEM COME AND HAVE

[01:50:03]

IT WHEN IT OPENS UP FORBID. BUT TO BE PICKING ON ME WHO WORKED SO HARD IT'S NOT FAIR.

I WILL NOT HAVE IT ANYMORE. I WASN'T THE CONCESSIONAIR WHEN THAT WAS BUILT. I'M SORRY.

I APPRECIATE THAT JUDGE, YOU AND COMMISSIONER CHESNEY HAVE GIVEN A MILLION DOLLARS FROM YOUR ARPA FUND.

I HOPE YOU VOTE WITH THE PARK BOARD AND MORE CITIZENS EVEN IN TOWN THAT ALL SIGNED THE PETITION THAT SAID THEY ARE IN FAVOR. THANK YOU FOR YOUR TIME.

AND I APPRECIATE YOUR VOTE FOR THE SECOND FLOOR.

>> THANK YOU. THAT DOES CONCLUDE THE PUBLIC COMMENT. THANKS FOR CATCHING IT.

>> JUDGE, I KIND OF HELD BACK ON THIS.

I WANTED TO HEAR THE PUBLIC FIRST BEFORE KIND OF GOING TO SHARING MY COMMENTS. I DEFINITELY AGREE WITH THE DIRECTION COMMISSIONER GONZALEZ IS TRYING TO TAKE.

I THINK IT'S A STATEMENT WORTH REPEATING.

THAT'S A LOT OF MONEY THAT WE AGREE TO AND SUPPORT IT.

BUT THAT COULD HAVE BEEN PUT IN OTHER PARTS OF THE COUNTY. I HOPE THAT MOST OF US AGREE TO THAT. THAT'S A COMMIT.

WE MADE FOR THE COMMUNITY. BECAUSE IT WAS CATASTROPHIC EVENT THAT HAPPENED. SOMETHING THAT NO ONE REALLY SAW OR MAYBE IN HINDSIGHT SAW.

WE DIDN'T EXPECT IT TO HAPPEN WITH SOMETHING AS MINIMAL AS HANNA. YOU COULD HAVE SAID HARVEY AND WE WOULD HAVE EXPECTED. HANNA WASN'T AS STRONG AS OF STORM AS OTHERS IN THE PAST. MY CONCERN ALSO IS THE CONCERN THAT WAS BROUGHT UP IN THE COMMUNITY.

IT'S GOOD TO SEE THE SUPPORT FROM THE BUSINESS COMMUNITY ON THIS. I KNOW THAT THERE ARE SOME -- THAT WOULD SAY WHY SHOULD ANY PUBLIC ASSET BE GIVEN TO PRIVATE ENTITY? THAT'S THE SAME ARGUMENT I KNOW CAN BE MADE WITH THE CITY OF CORPUS CHRISTIE AND AMERICAN BANK CENTER. WE HAVE -- OUR FAIRGROUNDS FACILITY ALSO RUN BY PRIVATE MANAGEMENT GROUP.

IT HAPPENS WHETHER IT'S RIGHT OR WRONG.

THAT'S WHERE THE DEBATE IS. YOU KNOW, FOR ME, I WANT TO MAKE SURE THIS IS JUST DONE RIGHT.

I WANT TO MAKE SURE IT'S DONE FOR THE BEST WAY TO HAVE PREPARED AND UNVEILED AND BUILT AND BE UTILIZED FOR YEARS AND DECADES TO COME.

YOU KNOW, MY BACKGROUND NOT BEING AN ENGINEER OR ANYTHING THROUGH THAT. TO REALLY UNDERSTAND AS FAR AS THE IMPACT OF WIND OR WAVES.

I THINK IF WE GET ANOTHER HURRICANE HANNA THAT COMES IN, THE SAME WAY, SAME DIRECTION, SAME TYPE OF WAVE THAT CAME IN. I WOULD HOPE THIS NEW DESIGN WOULD WITHSTAND THAT. THAT'S KIND OF WHAT THE CLAIM HAS BEEN. THAT'S WHAT'S BEEN PRESENTED OVER THESE MONTHS THAT WE BEEN TACKLING THIS ITEM.

WE SIMPLY DON'T KNOW. THERE'S A SEPARATE ITEM AS FAR AS SINGLE AND DOUBLE AND I WILL GO ON RECORD AND SAY I SUPPORT DOUBLE. NO MATTER NOW PASSIONATE.

YOU ARE NOT A MIND READER. IN THE END THIS COURT WILL SUPPORT PIER THAT IS SET UP TO UTILIZED BY OUT LOCAL AND TOURIST FOR YEARS TO COME THAT SUPPORT ECO TOURISM INCLUDING SURF RIDING. I WANT TO SEE SOMETHING THAT FLOURISHES. SOMETHING THAT'S BETTER THAN BEFORE. I AM GIVING COMMISSIONER CHESNEY A HARD TIME. A HARD TIME ABOUT WE'RE GIVING YOU -- NOT YOU. IT'S UNFAIR TO SAY YOU.

WE'RE GIVING THE COMMUNITY AT THE PIER A LOT OF MONEY.

TO WHOEVER USES IT. PRECINCT THREE 2 AND 3 USE IT. WE ALL UTILIZE AND TOURIST ALIKE. I WANT IT DONE THE BEST WAY.

I WANT IT DONE THE RIGHT WAY.

I WANT IT DONE NICELY. IT WAS NICE BEFORE.

WHY CAN'T WE HAVE BETTER. I THINK THIS GOES TO CONVERSATION ABOUT ECONOMIC DEVELOP.

. WHY CAN'T WE HAVE BETTER.

THE WAY WE CAN BE BETTER BY HAVING TOUGH QUESTIONS.

I'M LIKE YOU, JUDGE. I WRITE DOWN I DON'T KNOW WHERE MY NOTES WERE FROM THE PREVIOUS ECONOMIC DEVELOPMENT DISCUSSION THAT WE HAD EARLIER.

HERE THEY ARE. WE WRITE DOWN TO MAKE THE BEST POINTS. I LIKE TO CAPTURE THOSE GREAT IDEAS THAT EVERYONE IS BRINGING UP.

IT'S LIKE OKAY. WHAT ABOUT THE ENVIRONMENT.

WHAT ABOUT ECONOMIC DEVELOPMENT.

[01:55:01]

WATER, ALL THE DIFFERENT THINGS THAT WERE ON THAT ITEM EARLIER SAME THING HERE.

WE DIDN'T HAVE AS MANY SPEAKERS.

WRITING DOWN WHAT EACH PERSON BROUGHT UP.

THOSE ARE CONCERNED TO ME. AS A POLICY MAKER AS A DECISION MAKER UP HERE. ONE OF FIVE -- IT'S NOT A DONE DEAL. I FEEL THAT I COME UP HERE MAYBE LEANING ONE WAY. MAYBE I FEEL LIKE OKAY I REALLY CAN SUPPORT GOING ONE WAY OR ANOTHER.

THANKFULLY NOW THAT WE HAVE THIS OPTION OF VIRTUAL, THAT WE CAN HEAR AS MANY PEOPLE AS POSSIBLE.

THAT'S WHAT TODAY IS ABOUT. YOU KNOW IT'S A LITTLE BIT OF COMMISSIONER LIKE YOU WERE A LITTLE BIT OF WHAT THE JUDGE WAS SAYING. MAYBE NOT SO MUCH.

AND SO I THINK THAT'S OKAY WHERE WE ARE AT.

MAYBE WE AGREE ON MOST OF IT.

I AM OKAY WITH THAT. THAT'S ABILITY BEING UP HERE. I WANT IT TO BE DONE RIGHT.

I WANT IT TO BE NICE. I WANT IT TO BE A GREAT DRAW. WITH YOUR MOTION, COMMISSIONER, IS THAT TO REDIRECT SOMEONE NEW OR EVERYONE GETS A CHANCE. WHAT IS THAT MOTION?

>> CLARIFY THAT A LITTLE BIT.

>> ASSESSMENT IS -- REMIND WHAT'S THAT FOR?

>> I'M IN FAVOR OF THAT. I THINK THAT'S BEING FAIR.

SOMETHING THAT'S UNDER MARKET.

IF IT'S MARKET AND WE ARE ABLE TO MAKE THAT MONEY OR MAKE MORE OF IT BECAUSE THEY ARE FRUITFUL IN THEIR BUSINESS. THEN GREAT.

AT LEAST LET'S MAKE TO WHERE WE UNDERSTAND HOW MUCH TO CHARGE. HOW MUCH WE SHOULD BE MAKING. HOWEVER THAT WORKS, I'M OKAY WITH THAT. IF THAT'S THE INTEND I'M

GOOD WITH MOVING FORWARD. >> YOU HAVE SPARK HITTING ME. MAYBE IT GOES WITHOUT SAYING. THERE'S ALSO IN OUR BUILT-IN AMENITIES ANOTHER SUNDRY SHOP AS WELL.

AND THE BAIT STAND. WITH THIS 15,000 THAT YOU ARE PUTTING FORTH CAN HELP WITH THOSE AMENITIES AS

WELL. >> THAT'S A DIFFERENT

SUBJECT. >> IT'S THE COMMON -- IT'S THE IDEA THAT THE COUNTY WILL BE REVENUE MAKING WITH

THESE AMENITIES. >> SOME OF THOSE ARE NOT -- SOME OF THOSE WILL BE USED BY SCOTT CROSS.

BUT THE CONCESSION PIECE OF IT, I IMAGINE THERE'S --

>> AT THIS POINT THAT'S COUNTY STUFF.

>> YOU WILL RUN THE SNACKS? >> WE'VE ALWAYS RAN THE PIER

PART OF IT. >> THIS IS BRAND NEW.

THE COST BENEFIT RETURN ON INVESTMENT IS PROVEN YEAR AFTER YEAR. AUDITORS CAN SUBSTANTIATE THAT. WE DON'T WANT TO MESS WITH THE MODEL. IT MAKES MONEY.

>> I'M NOT TALKING ABOUT THE BAIT OR THE POLES.

THE NEW PLACE DESIGNED LIKE FOR FLOATIES.

>> THAT'S GOING -- >> THAT'S GOING TO BE SCOTT'S TOO. NOW --

>> WE WILL GET TO THAT LATER.

>> ARE YOU GOING TO EXECUTE THIS 15,000 FOR SOMEONE.

>> COUNTY MANAGERS WILL DO THAT.

>> JUST GO THROUGH A PO. >> I'M JUST MAKING SURE.

THAT WAY NO ONE ELSE CAN. SO YOU DON'T GET STUCK IN

BETWEEN. >> IT WILL BE THEIR DECISION TO TAKE THAT INFORMATION AND GO FORWARD.

>> THANK YOU. >> I DO HAVE SOMETHING TO SAY. MY NAME WAS THROWN OUT THERE. I WANT TO THANK THE COMMISSIONER FOR BRINGING IT UP AGAIN THAT 26 MILLION DOLLARS FOR THE PIER CAME FROM ALL OF US.

NOT JUST ONE MILLION. THE 26 MILLION DOLLARS CAME FROM THE WHOLE COMMISSIONER'S COURT.

>> THANK YOU. >> HAVING HAD MUCH DISCUSSION AND PUBLIC COMMENT WITH A MOTION TOWN FLOOR AS BY PREVIOUSLY AMENDED BY COMMISSIONER CHESNEY AND SECONDED BY MYSELF, ALL THOSE IF FAVOR

SIGNIFY BY SAYING AYE. >> TWO NOS AND THREE AYE S.

[2. Receive presentation from Estrada Hinojosa & Company, Inc. regarding financing options for the Nueces County Enterprise Resource Planning (ERP) System and replacement of timeclocks, to include Public Property Financing Contractual Obligations, tax notes, certificates of obligations, or other available financing options, and related matters.]

THE MOTION DOES PASS AND CARRY.

WE THANK YOU FOR YOUR PATIENCE.

IT'S REGARDING FINANCIAL OPTIONS.

REPLACEMENT OF TIME CLOCKS. TO INCLUDE PUBLIC

[02:00:04]

CONTRACTUAL TAX NOTES CO'S OTHER AVAILABLE FINANCING OPTION AND RELATED MATTERS AND I WILL BE RIGHT BACK AS WELL. SHOULD I TAKE THIS PERSONAL? THE INDIVIDUALS THAT WILL BE EFFECTED BY THIS.

THANK YOU FOR COMING BACK, COMMISSIONER CHESNEY.

I THOUGHT YOU WERE GOING TO IGNORE ME.

>> I WOULD NEVER IGNORE. >> WE ARE JUST GETTING STARTED. WHAT'S BEFORE YOU IS CONTEMPLATING FUNDING THIS SOFTWARE.

WE'VE TALKED BACK IN FEBRUARY.

WE'RE BACK AT AGAIN. I WANTED TO GO TO MEMORY LANE ON PAGE TWO TO TELL YOU WHERE YOU ARE AS FAR AS YOUR DEBT IS CONCERNED. ON PAGE 2 ON THE LEFT -- LEFT CORNER. TOTAL OF 166 MILLION.

THE GRAPH BELOW IT IS BARS IN BLUE AND GRAY.

RED LINE EQUIVALENT TO TAX LEVEE.

THAT'S HOW YOUR DEBT IS STRUCTURED.

IN 2022 YOUR PAYMENTS WERE AROUND 14 MILLION AND CHANGE. AND IN '23, MAY MOVE ON UP CONSIDERING THE FACT THAT PROPERTY VALUES WILL GO UP.

WE ALSO ASSUME YOU KEEP THE TAX RATE THAT WE HAD IN PREVIOUS YEARS AT THE SAME LEVEL.

IF YOU GO OVER TO THE RIGHT-HAND CORNER, YOU SEE THE RATING FROM MOODY AND S&P 500 ARE DOUBLE A AND DOUBLE A-2. THERE COMPONENT THERE TO TALK ABOUT THE INS TAX RATE. YOUR TAX RATE SINCE 2020 HAS BEEN GRADUALLY DROPPING THAT TAX RATE CAME DOWN TWO PENNIES BY VIRTUAL OF THE FACT THAT PROPERTY VALUES HAVE GONE UP AS YOU CAN SEE IT WENT FROM 30 BILLION TO 36 BILLION IN '23. THE LEVEE, DESPITE THE FACT THEY HAVE GONE DOWN, YOU'VE BEEN ABLE TO COLLECT 12 MILLION FOR THAT SAME PERIOD OF TIME.

ALL AND ALL LOWER TAX. MORE TAX LEVEE.

THAT'S WHAT YOU HAVE IN FRONT OF YOU.

ON PAGE 3, THE CURRENT DEBT MODEL SHOWS AS I SAID EARLIER TOWN FOURTH COLUMN FROM LEFT TO RIGHT.

IN '23 YOU HAD 15 MILLION. >> WHAT PAGE?

>> PAGE 3. EXISTING DEBT SERVICE.

IF YOU DO NOTHING IF YOU DO NOTHING ABOUT ANY FINANCING, FOR THE FORESEEABLE FUTURE THAT'S YOUR PAYMENT STRUCTURE. AND YOU PAY THAT BY USING TWO THINGS. ONCE USING YOUR INTEREST BECAUSE THIRD COLUMN FROM RIGHT TO LEFT, AND YOUR SAVINGS ACCOUNT WHICH IS RECTANGLE ON THE RIGHT-HAND CORNER 3,200,000. THAT'S WHAT IS IN YOUR SAVING ACCOUNT IN THIS PARTICULAR FUND.

IN '21 YOUR FUND BALANCE IN THIS PARTICULAR WAS ABOUT

[02:05:02]

3,800,000. EVERY TIME WE CAME TO COURT IN ANTICIPATION OF KEEPING THE TAX RATE THE SAME LEVEL THE TAX LEAVE YEAR FOR THAT MATTER WE'VE CONTEMPLATED USING A PORTION OF THAT FUND BALANCE.

THE SAVINGS ACCOUNT. IT'S NOT UNCOMMON FOR COUNTIES YOUR SIZE THAT WHEN YOU SET A TAX RATE, SETTING UP A TAX RATE A LOT OF TIME MAY ALLOW YOU TO COLLECT MORE SURPLUS REVENUES WHETHER BY VIRTUE OF THE DELINQUENCIES OR PENALTIES ASSOCIATED WITH THE LATE PAYMENTS. A LOT OF TIME THAT FUND BALANCE GETS ACCUMULATED BECAUSE OF THAT.

WE USED FUND BALANCE TO UP SET HAVING TO RAISE THE TAX RATE WITH YOU NEED TO BE AT. IF YOU CAN SEE ON THAT SAME COLUMN, IF YOU RIGHT NOW HAVE 3,200,000.

VERY LIKELY IF YOU BORROW NOTHING YOU END UP WITH 1,600,000 IN A COUPLE OF YEAR.

WE USE THE SAVING ACCOUNT TO GET YOU TO WHERE YOU WANT TO BE ON THAT TAX RATE. LAST YEAR THERE 2022, WE WERE 4.47 CENTS FOR INS. THIS YEAR YOU DROPPED BY A QUARTER OF A CENT. THAT'S ON THE THIRD COLUMN THERE. THAT'S WHAT HAPPENED WITH YOUR DEBT. WE'VE BEEN ASKED WHAT IF YOU WANT TO FINANCE THIS EQUIPMENT? FIRST OF ALL WHAT CAN WE FINANCE IT WITH.

THERE'S THREE OPTIONS OUT THERE THAT YOU CAN USE FOR FINANCING. FOR RULES AND LAWS.

WE DON'T WANT TO DISCLOSE THE AMOUNT FINANCEABLE BUT BECAUSE WE GOT SOME BIDS THAT I THINK ARE COMING BEFORE YOU AT YOUR NEXT MEETING.

LET'S ASSUME IF YOU BORROW 6 MILLION DOLLARS, IF YOU WERE TO BORROW 6 MILLION OVER TEN YEARS, THE INTEREST RATE YOU WILL GET IS ABOUT 3.84%. AND YOUR PAYMENTS ARE ON THAT BLUE QUAD DRANT ON PAGE FOUR.

IF YOU LOOK AT YOUR PAYMENTS OF STRUCTURAL OVER TEN YEARS, AND THEY ARE IN NEIGHBORHOOD BY $700,000 ON AVERAGE. IF YOU DO THAT, AND ADD TO CURRENT DEBT, AND YOU KEEP THE TAX RATE AGAIN THE SAME, AS YOU DID THIS YEAR, YOUR SAVING ACCOUNT WILL DROP INTO THE NEGATIVE BY 2025-2026.

YOU WILL DEPLETE THE 3 MILLION DOLLARS UNLESS YOU LEVEE A HIGHER TAX RATE. WE'RE USING ALREADY SOME ASSUMPTION FOR GROWTH IN PROPERTY VALUES.

IF YOU WANT TO PROTECT, I SUGGEST WE DO OUR BEST TO PROTECT, OUR SAVINGS ACCOUNT AND THAT FUND BALANCE THERE'S ANOTHER THING YOU CAN DO IF YOU TURN TO PAGE FIVE, AND THAT IS SIMULTANEOUS WITH THIS LOAN, IF THIS LOAN WILL BE 6, YOU WILL HAVE TO DO SOMETHING ABOUT IT. WHATEVER YOU DO.

IF YOU DO SOMETHING ELSE, IF YOU WANT TO DO THIS IN EFFORT TO PRESERVE THE SAVINGS ACCOUNT.

I WOULD SUGGEST YOU DO RESTRUCTURING OF A PORTION OF YOUR 165 MILLION FROM DEBT.

5 OR 6 MILLION OF DEBT SO THAT YOU DON'T HAVE TO SACRIFICE A SAVINGS ACCOUNT. NOT IMPACT THE TAX RATE.

THAT'S TWO SOLUTIONS ON PAGE FIVE.

PAGE 6. >> WHERE DO YOU SHOW THE

6% -- IS THAT 6480. >> YES.

THAT WOULD BE REFUNDING. >> WE WOULD BORROW 6655.

>>> FORGET ABOUT WHAT YOU NEED TO BORROW.

THINK OF -- IF YOU GO TO PAGE 2,ING ON PAGE 2 THERE'S NINE LOANS. THE BOTTOM LINE IT'S A CO

[02:10:03]

ISSUED IN 2015. THERE'S 13,500,000.

I DON'T WANT TO PAY YOU. AT THE PREAGREED INTEREST RATE BACK IN 2015, I WILL TAKE A PORTION OF THE 10,740,000. ONLY I WANT TO TAKE 6,480,000 OUT OF THAT 10 MILLION PLUS AND EXCHANGE THOSE BONDS. WHY? BECAUSE IT WILL GIVE YOU SOME RELIEF ON THE FIRST THREE YEARS IF YOU LOOK AT THAT COLUMN AND BEIGE, YOU LACK AT THE FIRST THREE YEARS.

THOSE ARE GOING TO BE REDUCTION IN YOUR PAYMENTS STRUCTURE IN AN EFFORT TO PRESERVE YOUR FUND BALANCE.

LET'S GO OUT 12. PAGE 6 YOU STILL GET INTO THE WHOLE, YOU KNOW -- LESSER HOLE BUT YOU WILL STILL BE IN THE HOLE BY 2025 WHICH 200,000.

YOUR SAVINGS ACCOUNT IS DROPPING.

IF WE LOST RATING IT'S A COMBINATION OF YOUR GENERAL FUND BALANCE. CONGRATULATIONS YOU'VE BEEN IMPROVING THE FUND BALANCE. INS IS NOW GETTING TO BE A LITTLE BIT IN THE RED SIDE. THAT'S PRESENTATION TODAY.

I WILL ENTERTAIN ANY QUESTIONS YOU MAY HAVE.

>> YOU SAY WE BORE YOI 648 FROM 1074.

>> THE 6 WON'T BE THERE NO MORE.

GIVE A BALANCE OF 474. >> SOMETHING LIKE THAT.

>> RIGHT. >> JUST LIKE THE PRINCIPLE IN THIS LOAN. YOU HAS PRINCIPLE ON THE 2015 THAT WE'RE PROPOSED TO RESTRUCTURE.

YOU THINK OUR PRINCIPLE ENOUGH PRINCIPLE TO CREATE THAT WINDOW. THEY HAVE TO NOT INCREASE TAX RATE. OTHER THAN THAT, IF YOU DON'T DO THAT, THEN YOU HAVE TO RAISE TAXES TO FINANCE

THIS PROJECT. >> THAT WILL BE A SEPARATE PAYMENT YOU HAVE MAKE FOR THE 6 MILLION.

HOW MUCH WILL IT BE? >> BASICALLY, THE PAYMENTS YOU GET TO SAVE MONEY ON THE FRONT END OF THE 2022 BOND -- LET'S SAY YOU DO THIS.

IN 2022, YOU SAVE 355 IN COMPARISON WHAT YOU PAY FOR 2015. THIS IS WHAT WE NEED TO HELP. WE NEED THE HELP IN THE NEXT THREE YEARS. AFTER THAT IN THE FOURTH YEAR, YOUR PAYMENTS GO HIGHER BY 285.

>> I HAVE A QUESTION. I ALWAYS APPRECIATE YOU

GIVING THE COMPARABLE. >> ON PAGE TEN OF OUR PACKET, IT'S HELPFUL BECAUSE THAT'S THE DATA I LIKE TO LOOK AT. I LIKE TO LOOK AT THE BIGGER

[02:15:07]

PICTURE. DOES THAT HAVE IMPACT ON THIS BOTTOM LINE? WHEN I LOOK AT THIS.

I LOOK AT RATING STRUCTURE. THE THREE MAIN ORGANIZATION.

WE WE USE THE S&P 500 AND MOODY'S.

AND SO LIKE YOU MENTIONED EARLIER.

WE'RE DOING OUR JOB AND THAT OUR RESERVE IS GOING UP.

THAT'S HELPING US. >> GENERAL FUND.

>> THE GENERAL FUND. BUT THAT THE PROBLEM WAS MAYBE INS WHAT YOU SAID. THAT -- THAT'S MY CONCERN.

WHAT YOU'RE RECOMMENDING DOES THEY HAVE ANY BEARING.

HELP US SEE -- TO ME THIS IS THE BOTTOM LINE.

I DON'T KNOW IF THAT'S FINANCE BONDING TERMS. MOST OF THE CATEGORIES. MOST OF THE WE DO WELL.

WE'RE AT NUMBER 10. THERE'S SOME AREAS THAT WE'RE AT LEAST AVERAGE. A LITTLE BIT BETTER THAN AVERAGE. OR MUCH BETTER THAN WHAT WE SHOULD BE. THAT'S MY CONCERN WHAT IS YOUR RECOMMENDATION TODAY -- DOES IT HAVE ANY BARING AT ALL. TOO TINY OF AN AMOUNT WE'RE

DEALING WITH TO HAVE IMPACT? >> I WON'T HAVE IMPACT.

I THINK AT THE END, WHAT MAY IMPACT YOU THE FACT THAT IF FUND BALANCE YOUR SAVINGS ACCOUNT AND FUND COULD GET DOWN TO ZERO IN A COUPLE OF YEARS.

AND THUS IN AN EFFORT TO PROTECT THE POLICY OF THIS COMMISSION WHICH HAS BEEN A CONSERVATIVE POLICY.

YOU ARE IN THE MIDDLE OF THE PACT.

YOU ARE NUMBER 15. WELL, AS FAR AS DEBT IS CONCERNED, YOU BEYOND THE MIDDLE OF THE PACK.

YOU ARE ON THE TOP TEN. IF YOU GET TO PAGE 11, ON PAGE 11, YOU'RE NUMBER 9 IN TOTAL TAX RATE.

THE TOTAL TAX RATE. THERE'S EIGHT COUNTIES ACROSS TEXAS AMONG THE TOP 25 LARGEST COUNTIES IN TEXAS WITH LOWER TAX RATE THAN YOU.

I'M SORRY. TOTAL TAX RATE.

YOU'RE NUMBER 6. >> NUMBER 6.

>> WE'RE NUMBER SIX WITH OUR TAX RATE?

>> YEAH. >> THERE'S ONLY FIVE COUNTY BETTER IN THE STATE WITH LOWER TAX RATE THAN NEUSES

COUNTY. >> WHERE ARE THE CAMERAS FOR

THAT. >> I GOT YOU.

I WILL BE BLASTING THAT MOMENTARILY.

>> IT'S ACCURATE. >> THAT'S GREAT.

THAT'S GREAT. AND I AGREE.

WE BEEN VERY CONSERVATIVE OVER THE YEARS.

AND I JUST WANT TO MAKE SURE THAT -- I AM CONTENT WITH BEING AVERAGE. BUT TOP SIX? THAT SAYS A LOT ABOUT THE RECOMMENDATION THAT WE GET

AND WHAT WE SUPPORT. >> WAIT HOLD ON.

WHAT WAS THE ONE WE'RE IN THE BOTTOM ON THE DEBT?

>> ON PAGE 10. >> PAGE 10.

>> LET'S BLAST THAT ONE. ONE OF THE WORST COUNTIES ON

DEBT. >> IT'S THE OPPOSITE.

>> I WALKED AROUND. >> YOU WALKED AROUND.

>> YOU HAVE A BACK PROBLEM LIKE I DO.

>> ON PAGE TEN YOU SEE THE COUNTIES STAND AT 166 MILLION. ONLY NINE COUNTY HAVE LESS DEBT THAN YOU DO. ON PAGE 11, ONLY FIVE COUNTIES HAVE LOWER DEBT THAN YOU.

DALLAS COUNTY IS ONE. SAN ANTONIO, PLANO, NORTH

TEXAS AND THEN US. >> THAT'S GOOD.

THAT MEANS WE'VE RAISED TAXES LESS THAN EVERYONE

ELSE. >> THAT'S AS OF 2021.

NEXT YEAR WE'LL HAVE THE 2022 TAX RATE I BELIEVE THERE. AND WE'LL FIGURE IT OUT WHAT THAT IS. IS THAT WHAT YOU ADOPTED?

>> THE NUMBERS GET UPDATED ALL THE TIME.

>> WE'RE 29 THIS YEAR, I THINK.

>> THAT'S A LOWER NUMBER. THIS IS HIGHER NUMBER THAN WHAT YOU ADOPTED. YOU BOW -- GO IN THAT DIRECTION. IF YOU WANT TO PROTECT YOUR SAVING ACCOUNT AND KEEP THE TAX RATE UNTOUCHED BY DOING RESTRUCTURING. AND YOU HAVE THE ABILITY TO DO THAT AND AT MINUSCULE COST.

IT WILL COST YOU SOMETHING. IF YOU LOOK AT THE ONCE ON

[02:20:12]

READ WHERE YOU COME ON THE LAST.

YOU ARE STILL YOU ARE LOWER THAN PEERS.

THEY HAVE 155% OF SAVING ACCOUNT IN THEIR SAVING ACCOUNT IN THE OPERATING BUDGET.

HARD TO JUSTIFY THAT. YOU ARE 26%.

AND GROWING. BUT YOU KNOW, GOING BACK TO YOUR THOUGHTS AND COMMENTS, WE LACK AT THIS IN ORDER TO BE ABLE TO GET TO THE NITTY-GRITTY OF IT.

IF YOU WERE TO SAY OKAY LET'S GIVE THE TOOLS TO STAFF, LET'S GET THE SYSTEM AND THE EQUIPMENT.

I THINK MICHAEL COMES OVER THE NEXT MEETING AND TELLS YOU WHAT THE FINAL BIDS ARE. THE NUMBER BETTER THAN SIX WHICH IS GOOD. BUT IT'S STILL A BIGGER NUMBER THAN BORROWING NOTHING.

AND IF YOU -- IF YOU GIVE THE AUTHORITY TO PROCEED, TODAY WE WILL COME TO YOU SOMETIME ON NOVEMBER THE

16TH. >> I WOULD LIKE TO MOVE YOU THE AUTHORITY TO PROCEED SO WE KNOW WE WE ARE AT.

>> THIS IS A PRESENTATION. THERE'S NO ACTION ITEM ON

THIS. >> WAS THERE?

>> THAT'S ALL I SAW. >> JUST A PRESENTATION.

>> I GUESS WE COME BACK ON THE 12TH OF OCTOBER.

>> WE CAN COME BACK ON THE 12TH.

>> THE OBJECTIVE IS TO HAVE THIS DONE -- IF EVERYBODY GIVES A NOD ON THIS, DO IT ON THE 16TH.

>> WHAT ARE YOU GOING TO BRING BACK --

>> I DIDN'T REALIZE WHAT THE AGENDA SAID.

>> WHAT ARE YOU GOING TO BRING BACK TO RECOMMEND

EXACTLY SO I CAN --. >> WE WOULD RECOMMEND FOR YOU TO DO 6 MILLION DOLLAR PERSONAL PROPERTY CONTRACTUAL OBLIGATION. IF IT'S THREE MILLION, WE DO THREE. YOU HAVE TO RELY ON WHAT THE BIDS REFLECT. YOU HAVEN'T PUBLISHED THE BIDS. I ASSUME YOU WILL ANNOUNCE

THOSE. >> WE'RE WAITING ON THE FUNDING SOURCE. YOU GET THE FUNDING SOURCE

FIRST? >> WE'VE DONE -- WE'VE PUT OUT THE -- IT'S BEEN DONE. WE DON'T HAVE ANY MONEY TO

DO IT. >> GO AHEAD AND USE THE MIC.

>> WE DON'T HAVE MONEY TO DO IT.

THAT'S WHY YOU ARE HERE TO GIVE US SUGGESTIONS.

WE DON'T HAVE A FUNDING SOURCE.

[INAUDIBLE] >> JUST COME ON THE MIC.

>> I DON'T KNOW THE FINAL AMOUNT.

IT WILL COST US X. I COULD GIVE YOU THAT AT THAT MOMENT. IF I COME ON THE 12TH TO

GIVE YOU RECOMMENDATION -- >> WE DIDN'T MAKE A DECISION YET. BECAUSE THE COURT ASKED FOR ADDITIONAL INFORMATION. WE'RE GOING TO GET THAT ON THE 12TH. WE CAN HAVE THE -- THE COURT WILL MAKE A DECISION FIRST. THERE'S MULTIPLE BIDS.

YOU WILL HAVE AN EXACT NUMBER ON THE 12TH.

>> THEN TOWN 12TH, I WILL BRING YOU WITH THAT EXACT NUMBER. I'M ASSUMING TODAY I CAN TELL YOU CATEGORICALLY, IF YOU WANT TO FIND THE FUNDING SOURCE, THIS IS ONE WAY TO FIND THE FUNDING SOURCE.

YOU BORROW THE MONEY. YOU DO SLIGHT RESTRUCTURE

AND YOU ARE THERE. >> CORRECT.

>> IT KEEP -- PROTECTS THE POLICY OF THE COURT TO NOT RAISE TAXES THAT PERTAINS TO DEBT.

>> EXACTLY. JUST TO REPHRASE.

NOT REPHRASE, BUT TO REITERATE.

THIS PARTICULAR SOFTWARE WAS NOT ELIGIBLE FOR ARPA.

IT WAS NOT ELIGIBLE FOR CO-21.

>>> MY QUESTION IS IN GOING THROUGH WHAT YOU WENT THROUGH, I LIKE WHEN THE DEBT SERVICE RATE STARTS TO GO DOWN. THAT GIVES ME SOME HOPE THAT MAYBE -- SOMEWHERE ALONG THE LINE MAYBE THE TAX RATE MIGHT. BUT IF WE DO WHAT YOU ARE PROPOSING -- TAKE ME BACK TO THE PAGE -- IF WE DO WHAT YOU ARE PRO POSTING DOESN'T THAT KEEP FR IT FROM GOING

DOWN. >> I'M NOT HERE TO TELL YOU

TO BORROW THE MONEY. >> RESTRUCTURING THE

BORROWING. >> IF YOU WANT TO KEEP THE TAX RATE. YOU CAN BORROW THE MONEY AND

[02:25:04]

RAISE TAXES THE. >> YOU SAY IF WE RESTRUCTURE. THAT'S BORROWING MONEY.

THAT'S GETTING MONEY FROM SOMEWHERE ELSE.

>> WHAT'S YOUR POINT, COMMISSIONER?

>> RESTRUCTURING. HE WANTS TO KNOW WHETHER

THAT'S BORROWING OR NOT. >> YES.

I SAID TO YOU EARLIER A MINUTE AGO I SAID YOU WILL

CHANGE ALL BONDS. >> IF WE RESTRUCTURE WHATEVER THIS IS TO GET MORE MONEY, WE WILL BE BORROWING WHICH MEANS THEY WILL NOT PAY DOWN DEBT SOONER.

THEY WILL INCREASE DEBT. >> THAT'S EXACTLY RIGHT.

>> OUR DEBT RATE WON'T GO DOWN --

>> YOU TALK ABOUT A VERY DE MIMIMUS AMOUNT.

>> IT'S YOUR INS. >> IT'S NOT MILLION.

IF YOU GO TO PAGE FOUR. LET ME TAKE YOU THERE.

ON PAGE FOUR -- OR PAGE FIVE.

I'M SORRY. THE FINANCING --

>> MILLIONS IS NOT DE MIMIMUS.

>> IF I OWE YOU A MILLION. AND I WANT TO RESTRUCTURE THAT MILLION I WILL BRING YOU ANOTHER MILLION.

YOU ARE NOT GIVING ME CREDIT FOR PAYING OFF THE MILLION DOLLARS I BROUGHT YOU IN. THAT'S WHAT RESTRUCTURING

IS. >> RESTRUCTURING IS ADDING

DEBT -- >> I TOLD YOU, YOU WERE.

IT'S NOT MILLION OF DOLLARS, COMMISSIONER.

>> WHEN YOU HAVE A LIKE US, WHERE YOU ARE BORROWING, BECAUSE IF YOU DON'T IT WILL CAUSE A POTENTIAL CRASH OF YOUR SYSTEM CAUSING MILLION AND MILLIONS OF OTHER DOLLARS, YOU HAVE TO DO BENEFIT COST ANALYSIS OF THAT RESTRUCTURING OF THE DEBT.

>> I'M NOT DEBATING THAT. I'M JUST TRYING TO MAKE SURE I UNDERSTAND WHAT HE IS SAYING TOWN DEBT.

>> HE'S SAYING THAT YOU ARE --

>> I DIDN'T REALIZE YOU WERE DEBATING.

YOU ARE SAYING TO ME RESTRUCTURE IS NOT ADDING DEBT. RESTRUCTURING DOES ADD DEBT.

IF YOU WANT

>> COMMISSIONER GONZALEZ SAID, HOW FAR OUT ARE WE PAYING THIS DEBT? WERE GONNA DO IT WITH THE SAME

PARAMETERS. >> WE ARE STILL BORROWING POTENTIALLY ANYWHERE BETWEEN 4 AND $8 MILLION BECAUSE THAT'S WHAT THE PRICE IS OF THE SOFTWARE.

WE ARE STILL INCURRING THAT. >> NOW YOU'RE MIXING APPLES WITH ORANGES. WERE GONNA PAY FOR THE EQUIPMENT FOR THE HALF-MILLION DOLLARS.

THAT'S NEW DEBT. THAT'S WHAT YOU ADDED TO THE BOOKS. IF YOU SAY TO ME, WITH THE RESTRUCTURING WHAT ARE WE ACHIEVING? THE RESTRUCTURE WILL ACHIEVE FOR YOU TO INCREASE RATES AND MOST PORTLY PRESERVE YOUR FUND BALANCES TO A POINT.

I CANNOT DO ANYTHING FOR ANYTHING WITH PRE-FUND BALANCES. RIGHT NOW BEEN LOWERING THE PACK TAX RATE IRREGARDLESS WITH YOUR BORROWING MONEY OR NOT.

YOUR LOWERING THE TAX RATE. EVERY YEAR I'M COMING HERE AND USING THE TAX RATE. IF YOU BORROW NOTHING YOU'RE GONNA GET AWAY WITHOUT FUND BALANCE SOONER OR LATER.

NOW YOU'RE TELLING ME I WANT TO BORROW $6 MILLION.

OH, IF YOU ARE $6 BILLION AND YOU WANT TO PROTECT THAT FUND BALANCE YOU'RE GOING TO DO SOMETHING WITH YOUR EXISTING DEBT. RESTRUCTURE IT AND LOWER THE PAYMENTS BECAUSE YOU ORIGINALLY ABOUT REMEMBER WE TALKED ABOUT 9 LOANS. ONE OF THE LOANS IS PAIN AGGRESSIVELY. LET'S ADJUST THAT TO NOT BE SO AGGRESSIVE. IN ACHIEVE WHAT THIS COURT HAS ALWAYS TOLD US TO TRY TO ACHIEVE.

THAT'S KEEP THE TAX RATE LOW AND LET'S SEE IF WE CAN FINANCE SOMETHING. THAT'S ALL I WAS TRYING TO DO.

>> YEAH. I GET YOUR OBJECTIVE.

THE BOTTOM LINE IS WERE PROBABLY MORE MONEY.

>> YOUR BORROWING THIS EXPLAIN DOLLARS.

THAT'S WHAT YOUR BORROWING. >> RATES AREN'T SUPER GOOD.

>> IF YOU LOOK, YOU AND I HAVE BEEN OLD ENOUGH TO REMEMBER WHAT THE RATES WERE 40 YEARS AGO.

>> WILL YOUNG. >> TODAY YOU'RE PROBABLY, I WILL GIVE YOU AN EXAMPLE. TODAY MORTGAGE RATE FOR 30 YEAR MORTGAGE IS ALMOST 7 PERCENT. BACK IN FEBRUARY THEY WERE AT 3 AND HALF PERCENT. SO RATES ARE TWICE AS MUCH AS THEY WERE BACK IN FEBRUARY. I MEET YOU AND I HAVE BEEN IN THIS BUSINESS OF PUBLIC POLICY, PUBLIC GOVERNMENT FOR A WHILE.

WE WOULD'VE DONE THE 6 MONTHS AGO YOU WOULD'VE HAD A LOWER RATE. ON THE OTHER SIDE YOU'VE GOT OTHER ISSUES.F YOU DON'T DO ANYTHING THAT'S A POLICY ISSUE.

[02:30:05]

>> NOT TO BE ANYTHING OTHER THAN JUST CLEAR.

WE'VE CHANGED THE WAY WE'VE DONE THINGS IN OUR INSURANCES.

WE'VE GONE IN AND SAID WE DON'T WANT TO PAY.

I'M ASKING YOU FOR THIS FOR REASON.'M NOT TRY TO BE INSULTING. REMIND ME HOW YOU GET PAID ON

THESE THINGS? >> GET PAID OTHER BOND PROCEEDS. ON A $4 MILLION ISSUE OUR FIRM WILL MAKE ABOUT 25,000 BUCKS. WE GOTTA PAY LAWYERS, AGENCIES, AND IF YOU DO THE RESTRICTION OF 6 BLANKETS ANOTHER 25,000.

>> MY QUESTION TO YOU IS, WHAT WE'VE DONE WITH OUR INSURANCE, PROPERTY CASUALTY AND HEALTH. WE'VE SAID WE DON'T WANT TO KEEP PAYING PEOPLE COMMISSIONS. WE RATHER PAY SOMEONE ON A MONTHLY BASIS TO GIVE US THE BEST DEAL AND NOT THAT I DON'T THANK YOU ARE. DEDICATING THIS BECAUSE I MUCH UNDERSTAND IT MIGHT BE WISE FOR THIS COURT TO LOOK AT THESE KINDS OF THINGS IN OUR DEBT ALSO BECAUSE IT MIGHT BE BETTER TO SAY WE ARE GOING TO PAY NO WE A CERTAIN AMOUNT A MONTH TO DO THIS FOR US ALL THE TIME. WATCH THE STUFF AND LOOK AT THE STUFF AND SEE WHERE WE NEED TO RESTRUCTURE.

SO WERE NOT WORRIED ABOUT PAYING A COMMISSION.

WHAT YOU THINK ABOUT IS HER WAY WE DO THAT THAT WILL BE BETTER FOR THIS COUNTY? WHEN WERE HAVING THIS INSURANCE DISCUSSIONS, I WAS FELT LIKE, OH MY GOSH THOSE GUYS ARE MAKING BIG COMMISSIONS. EVERY REALLY GETTING THE BEST DEAL RIGHT? WE SWITCHED IT.

I THINK IT SERVED US VERY WELL. WE PAY THEM A MONTHLY AMOUNT.

THIS IT WAS LOTS MONEY. MAYBE ROUTE TO LOOK AT SOME SORT OF CONTRACT WITH YOU THAT SINCE HIS STATED OF PAYING US ANY STILL THAT COMES UP WE SAY, OR PAY NO WE EXPELLED PER MONTH. YOU GET A COMMISSION ANYMORE BUT COME WE WANT YOU TO WATCH EVERYTHING.

WE WANT YOU TO LOOK AT THIS ALL THE TIME AND REGULARLY.

HOW CAN WE DO IT, WHEN SHOULD WE DO IT? STILL, IT MAKES ME FEEL BETTER OVER NOT PAYING SOMEONE A COMMISSION AND YOURS IS PROBABLY THE SMALLEST ONE WE PAY. I GET IT.

SO ABSORBED OR ANYTHING. I KNOW IT'S A BIGGER PICTURE

DISCUSSIONS OKAY WE ARE HERE. >> SO JUST YOU KNOW UNDERWRITERS GET THE SAME TYPE OF COMMISSION TOO.

YOU'RE NOT HERE TO TALK ABOUT THAT.

I WANT TO REITERATE, WE CALLED DELETE BECAUSE WE HAVE A PROBLEM AND HE'S HERE AT OUR REQUEST.

HE IS NOT HERE TRYING TO SELL. HE IS HERE TRYING TO HELP US.

COME UP WITH A SOLUTION TO A PROBLEM THAT'S VERY WELL.

THIS COURT HISTORICALLY DID NOT PROVIDE FOR THE INFRASTRUCTURE WHETHER IT SOFTWARE ELEVATORS OR HVAC OR ROOF OR WHATEVER FOR OVER A DECADE. SO NOW IT'S ALL COMING TO RUE IT'S NOT SURPRISING WE NEED TO HAVE THIS TYPE OF DISCUSSION.

AFTER 30 YEARS THE SOFTWARE IS NO LONGER SOFTWARE FOR OUR FUTURE. AGAIN, SOME OF THE IMPORTANT TOPICS HERE WE THOUGHT WE COULD USE SOME OF THE DOLLARS WE HAD.

BUT, THEY ARE NOT AVAILABLE. WE JUST DEMONSTRATED ALTHOUGH HE JUST LEFT, CONVENIENT. WE ARE ONE OF THE BEST IN THE STATE IN MULTIPLE CATEGORIES. THEY DON'T LIKE THE NARRATIVE.

THAT'S ALL THERE IS TO IT. THEY DON'T LIKE THE FACT WE ARE A LOW TAX RATE, LOW DEBT COUNTY AND OUR DEBT TO VALUE RATIO IS EXCELLENT. BESIDES THAT WE'VE GOT GROWTH ON OUR HORIZON. THAT INTEREST IN SEEKING FUND IS DEFINITELY MINUTE BUT, IT'S ONLY ONE PIECE OF THE EQUATION.

RIGHT NOW WE WAIT YOU GOT AND MET OUT IN INS.

DEPENDING ON WHAT YOUR TAX RATE IS, YOU FIGURE OUT WHAT YOU NEED TO SUPPORT THE DEAD AND THAT'S WHAT CONTROLLED THE INS.

YOU'RE GIVING US AN UNBELIEVABLE WAY TO SOLVE THIS PROBLEM THAT DIDN'T HAPPEN OVERNIGHT, RIGHT? TOOK 30 YEARS TO GET TO THE OBSOLETE.

IT'S GREAT. SO THANK YOU THANK YOU FOR ACKNOWLEDGING WITH FACTS AND FIGURES.

HOW FINANCIALLY STRONG AND PRUDENT WE'VE BEEN THAT'S ALL THERE IS TO IT. IT'S AN OPPORTUNITY NEXT TIME

TO MAKE A DECISION. >> IF WE FIND $2 MILLION JUST

BROUGHT $4 MILLION? >> THAT'S CORRECT.

>> THAT COULD BE THE SAME THING, CORRECT? ANYWAY, THIS IS FOR NEXT MEETING I GUESS.

WHEN I COULD'VE PUT ON ANYTHING RIGHT NOW.

>> THAT'S RIGHT. >> I THANK YOU VERY MUCH FOR

YOUR INFORMATION. >> AND IF YOU'RE AVAILABLE? IF COMMISSIONERS WANT TO TALK TO YOU.

YOU'RE AVAILABLE FOR MORE INFORMATION.

>> YEP. >> THANK YOU.

WE WILL CATCH YOU NEXT TIME. >> NOBODY, CAN YOU FIND $2

[4. Discuss and consider submission of grant application to the General Land Office, Community Development Block Grant Mitigation Funds (Local Hazard Mitigation Plans Program) for update of the Nueces County Hazard Mitigation Action Plan.]

[02:35:01]

MILLION? >> THAT'S ALREADY ELIGIBLE.

I'VE GOT LOUIS RAY AND LINDA BELOW FOR GRANT APPLICATION LOOKING MITIGATION FUNDS PROGRAM.

REGARDING NUECES COUNTY MAP PLAN.

WE WE SKIPPED YOU EARLIER. TO DO THIS IF YOU WANT TO TELL EVERYBODY ABOUT ANYTHING REGARDING GENERAL INFORMATION, WE WILL DO THIS ITEM THINK OF STRAIGHT INTO YOU.

WE WILL TAKE THIS FIRST. GOOD AFTERNOON COURT BUCKS GOOD

AFTERNOON. >> CAN YOU GUYS HEAR ME?>

YES, YES SIR. >> WE ARE HERE TO TALK ABOUT THE GENERAL AND OFFICE AVAILABILITY OF ABOUT $25 MILLION THAT THEY ARE GOING TO ISSUE OUT AND GRANTS TO COUPLE THE LOCAL HAZARD MITIGATION PLANS THAT THEY HAVE.

ABOUT $25 MILLION THEY ARE OPTING 20,000 200,000 OF THAT WITH NO MATCH FUNDING FOR THE CREATION OF HAZARD MITIGATION ACTION PLAN. WE ARE HERE TO ASK THAT WE BE ABLE TO APPLY FOR THIS GRANT. WE HAVE STRONG FEELINGS THAT WE WILL BE APPROVED FOR IT. WHEN WE REACHED OUT TO THE GL LOW HARDLY ANYONE HAS APPLIED FOR THE GRANT ITSELF.

OUR AT EACH MOUNT HAS GONE BACK TO 2015 WHEN WE STARTED DOING FOR THE COUNTY. FOR THEY WERE DOING IT AS A REGION. NOW WERE DOING AS A COUNTY FEMA WANTS US TO HAVE MORE LOCALIZED PLAN.

WE APPLIED FOR A GRANT FOR THIS TERM THROUGH ¦ WE WERE DENIED OUT. WE DID NOT MEET THE CATEGORIES TO RECEIVE THOSE FUNDS. WE HAVE AN OPPORTUNITY TO

RECEIVE THOSE FUNDS. >> THANK YOU LOUIS.