Finance and Government Committee

CITY OF GRAND PRAIRIE FINANCE AND GOVERNMENT COMMITTEE COUNCIL BRIEFING ROOM TUESDAY, MARCH 05, 2024 AT 2:30 PM MINUTES CALL TO ORDER Chairman Humphreys called the meeting to order at 2:30 p.m. PRESENT Chairman Cole Humphreys Council Member Kurt Johnson Council Member Junior Ezeonu STAFF PRESENTATIONS 1. Annual Financial Report for the Fiscal Year Ended September 30, 2023 Cathy Patrick, Chief Financial Officer, and Jennifer Ripka, Weaver Audit Firm Partner presented the committee with a summary of the Annual Financial Report for the Fiscal Year ending September 30, 2023. Ms. Ripka explained the audit process standards. There were no significant changes noted. They also identified no uncorrected misstatements. The ARPA funding was deficient but there are no independent matters to report. Deputy City Manager, Cheryl De Leon stated that this documentation is very important but very few review the file in its entirety. It determines the city’s financial health as well as determines the rates we receive when we receive funding. This document is the one that keeps the preservation and integrity of the city. Ms. Ripka stated there was no fraud, disagreements, or consultation meetings with the financial team. 2. Tangle Ridge Golf Benchmark Review Stephen Bowles, Parks Fiscal Manager Parks, Arts & Recreation updated the committee with the Tangle Ridge Golf Benchmark review. Since outsourcing with GolfNow, our bookings and revenue have increased tremendously. Mr. Bowles has mentioned that we are now receiving over a million dollars in revenue and more than 47,000 booked rounds. This is a significant improvement compared to the previous year, where we received $633,000 in revenue and 34,000 booked rounds. The investment in outsourcing with GolfNow is undoubtedly a wise decision that has paid off. Council Member Johnson asked if there were any plans to redesign the sand traps around the first hole. Deputy City Manager Cheryl De Leon confirmed that there has been a meeting planned with the designer about the discussion of the layout and what if any could be considered for improvement. CONSENT AGENDA Motion to recommend approval to City Council made by Council Member Johnson, seconded by Council Member Ezeonu for consent agenda items three through eleven. The motion carried unanimously. Finance and Government Committee – March 05, 2024 Page 1 of 6  3. Minutes of February 6, 2024, Finance and Government Committee Meeting Approved on Consent Agenda 4. Annual Contract for maintenance and repairs of Motorola radio equipment from Mobile Communications America, Inc. (formerly Crosspoint Communications) in the estimated amount of $80,000 annually through a Master Cooperative Agreement with Buyboard. This contract will be for one year, with the option to renew for 2 additional one-year periods, totaling $240,000.00 if all extensions are exercised Approved on Consent Agenda 5. Annual contract for Risk Management Consulting services from McGriff for $35,000 annually. This contract is for an initial three years, with the option to renew for three additional one-year periods, for total of $210,000 if all extensions are exercised Approved on Consent Agenda 6. Award a contract for the replacement of the rooftop HVAC system at the Public Safety Building from Trane U.S., Inc. for $602,954.10 through a Master Cooperative Agreement with Omnia Partners Approved on Consent Agenda 7. Award a contract for the replacement of the HVAC system at the Charles V. England Training Center from Trane U.S., Inc. for $250,548.90 through an interlocal agreement with Omnia Partners Approved on Consent Agenda 8. Award a contract for the replacement of the HVAC system at City Hall East from Trane Technologies for $572,895.75 through an interlocal agreement with OMNIA Partners Approved on Consent Agenda 9. Ordinance amending the FY2023/2024 Operating budget for the EpicCentral fund to allocate $424,000 from the unobligated fund balance for additional marketing services Approved on Consent Agenda 10. Purchase of prefabricated restroom to be located along the Fish Creek Linear Park Trail from CXT Precast Concrete Products in the amount of $164,868 through a national cooperative agreement with The Interlocal Purchasing System (TIPS) Approved on Consent Agenda 11. Annual contract for Retail and Wholesale Merchandise Solutions from Walmart Business (up to $150,000 per year) through a national cooperative agreement with OMNIA Partners. The initial contract term is one (1) year with the option to renew for four (4) one-year periods totaling $750,000 if all extensions are exercised Finance and Government Committee – March 05, 2024 Page 2 of 6  Approved on Consent Agenda ITEMS FOR INDIVIDUAL CONSIDERATION 12. Contract with HD Supply for kitchen renovations at Prairie Lakes Golf Course in the amount of $134,963 and include a $15,037 contingency for a total of $150,000 Chris Michalski, Assistant Director of Parks, Arts, and Recreation addressed the need to improve the Prairie Lake Golf Course restaurant kitchen to meet current restaurant standards. The staff has suggested several changes, including replacing the existing drywall and FRP wall panels, painting the ceiling and storage areas, installing new ceiling ducts, LED light fixtures, motion sensor controls, faucets, and a janitorial mop sink to facilitate general cleaning and maintenance. Motion to recommend approval of this item to City Council made by Council Member Johnson, seconded by Council Member Ezeonu. The motion carried unanimously. 13. Change Order #2 for $240,000 to add funding through August 2024, for temporary staffing using with current vendor Internal Data Resources (IDR), Inc. for a total cost of $893,080 Keshnel Penny, CIO - Information Technology presented to the committee the purpose and need of the change order, which is to allocate funds for temporary personnel in the City's Department initial contract #20713. Information Technology and various departments use temporary staffing for several reasons such as hiring for vacant positions, temporary work spikes, and special projects on an as-needed basis. The requested amount is expected to cover the cost of temporary staffing until August 2024, which will enable all departments to fulfill the needs of the city and maintain the required staffing capacity. The cost of temporary employees will be covered by the savings from full-time vacancies on this annual city-wide contract. Motion to recommend approval of this item to City Council made by Council Member Johnson, seconded by Council Member Ezeonu. The motion carried unanimously. 14. Annual Contract for SHI Government Solutions to consolidate all ManageEngine (ZOHO Corporation) software and services, in the amount of $187,215.87 the first year, through a Master Cooperative agreement with The Interlocal Purchasing Systems (TIPS). The agreement will be for one year with the option to renew for three additional one-year periods, allowing an increase not to exceed 15% per year, up to an estimated total of $935,018.81 if all extensions are exercised Keshnel Penny, CIO Information Technology Director discussed the annual contract for ManageEngine software and services by ZOHO Corporation. The contract is worth $187,251.87 for the first year and can be renewed annually at a rate not exceeding 15%. The maximum value of the contract is $935,018.81 over four years. The ManageEngine software suite includes OpManager Plus, PAM360, ServiceDesk Plus, Analytics Plus, Endpoint Central, and AD Manager Plus. These software solutions are utilized by the City's IT department for various purposes such as maintaining the technology infrastructure, system monitoring, cybersecurity management, workflow management, asset management, reporting, and project management. The IT department aims to consolidate all ManageEngine software and services Finance and Government Committee – March 05, 2024 Page 3 of 6  into one contract to enhance compatibility between the software solutions and make management easier. Motion to recommend approval of this item to City Council made by Council Member Johnson, seconded by Council Member Ezeonu. The motion carried unanimously. 15. Annual Contract for Microsoft Office 365 Government Cloud subscription service effective June 1, 2024, from SHI Government Solutions, Inc. in the amount not to exceed $290,549.64 through a national cooperative agreement with the Department of Information Resources (DIR). This contract will be for one year, with the option to renew for four additional one-year periods, allowing an increase not to exceed 10% with an estimated total of $1,773,834.60 if all extensions are exercised Keshnel Penny, CIO Information Technology Director spoke with the Committee to discuss the City of Grand Prairie's use of Microsoft Office 365 Government Cloud (GC) and the need for employee subscription to access their emails and other Microsoft applications since March 2020. The current contract involves Microsoft Office 365 User Licenses, migration, and implementation from SHI Government Solutions, Inc. through their DIR contract #DIR-TSO- 4092. This helps standardize the city's computer network and is mission-critical software used by all city departments. The annual contract offers the same services, with four renewal options starting from June 1, 2024. According to Chapter 271.102 of the Local Government Code, local governments can participate in a cooperative purchasing program with another local government or local cooperative organization. This means that instead of competitive bidding, items, and services can be purchased through such agreements as the sponsoring entity or agency has already bid the agreements. The City of Grand Prairie has master inter- local cooperative agreements with various entities, including DIR. Motion to recommend approval of this item to City Council made by Council Member Johnson, seconded by Council Member Ezeonu. The motion carried unanimously. 16. Ordinance amending the FY 2023/2024 Operating Budget for the Tree Preservation Fund; Park Services to utilize $48,000 for the purchase of Brodie Eastern Red Cedars for Friendship Park pickleball courts Kelley Eddlemon, Marketing and Communications Supervisor of the Parks, Arts, and Recreation department informed the Council Committee of a request that has been made to the Tree Preservation Fund to receive funding to plant Brodie Eastern Red Cedars around the pickleball courts at Friendship Park. This is to address numerous complaints from citizens regarding the noise emanating from the courts. The trees will function as a sound barrier and serve to improve the park's visual appeal. They will be a natural element around the court, and their purchase will be put out for bid once the funds are secured. Motion to recommend approval of this item to City Council made by Council Member Ezeonu, seconded by Council Member Johnson. The motion carried unanimously. 17. Amended Construction Manager at Risk (CMAR) Contract with Hill & Wilkinson General Contractors for City Hall East Level 2 Office Renovations in the amount of $1,650,508; allowance for low-voltage direct contracts with Siemens Industry, Cyson, and Flair Data Systems in the total amount of $100,000; allowance for independent third-party owner construction testing contract with CMJ Engineering in the amount of $10,000; allowance for Finance and Government Committee – March 05, 2024 Page 4 of 6  audio/video direct contract with Infinity Sound in the amount of $65,000; furniture, fixtures and equipment (FF&E) allowance with Wilson Bauhaus Interiors and Interior Resources Group in the total amount of $350,000; and a city-controlled construction contingency in the amount of $108,775 for a total funding request of $2,284,283 Andy Henning, Director of Design and Construction spoke with the Council Committee about previous discussions that were presented on December 12, 2023, to the City Council awarding the Construction Manager at Risk (CMAR) Contract to Hill & Wilkinson General Contractors for pre-construction services for $3,000.00. This award is for CMAR services which include developing project construction cost estimates, preliminary construction schedules, value engineering proposals, and conducting constructability reviews during the design phase. The current contract value is $1,650,508, which represents the Guaranteed Maximum Price (GMP) for the scope of work defined in the Rouch Architects Construction Documents package. The subcontractors were competitively bid by Hill & Wilkinson General Contractors, as per City and State procurement regulations. The $1,650,508 GMP was achieved through a collaborative effort between Hill & Wilkinson General Contractors, Rouch Architects, City staff, and City construction personnel. They were able to reduce project costs by over $175,000 while maintaining the required overall quality level of the project. Motion to recommend approval of this item to City Council made by Council Member Johnson, seconded by Council Member Ezeonu. The motion carried unanimously. 18. Ordinance of the City of Grand Prairie, Texas Amending Section 24-1.1 of the Grand Prairie Code of Ordinances to Increase the Homestead Exemption of All Owner-Occupied Residences to the Greater of Seventeen and a half (17.5) Percent of the Appraised Value or Five Thousand Dollars ($5,000); Containing a Savings Clause and a Severability Clause; Repealing All Conflicting Ordinances; and Providing an Effective Date Thao Vo, the Management Services Director, informed the Council Committee of the benefits of the homestead exemption. This exemption provides property tax relief to homeowners who maintain their primary residence within the city. Unlike a property tax rate decrease, which mainly benefits commercial, industrial, and investment properties, the homestead exemption directly benefits homeowners. According to staff estimates, a homeowner would receive four times more relief from the homestead exemption compared to an equivalent costing property tax rate cut. The homestead exemption was initially adopted in 2007 at 1% or $5,000. In 2017, it was increased to 1% or $10,000, but the state later ruled that the increased minimum was not allowed. The exemption was again increased in 2019 to 7.5%, in 2020 to 10%, in 2022 to 12.5%, and in 2023 to 15%. The maximum allowable exemption is 20%. Motion to recommend approval of this item to City Council made by Council Member Ezeonu, seconded by Council Member Johnson. The motion carried unanimously. EXECUTIVE SESSION No executive session was held. CITIZEN COMMENTS No citizen comments. Finance and Government Committee – March 05, 2024 Page 5 of 6 ADJOURNMENT Chairman Humphreys adjourned the meeting at 3:41 p.m. Cole Humphreys, Chairman Finance and Government Committee – March 05, 2024 Page 6 of 6