Finance and Government Committee

CITY OF GRAND PRAIRIE FINANCE AND GOVERNMENT COMMITTEE CITY HALL - COUNCIL BRIEFING ROOM, 300 W. MAIN STREET TUESDAY, JUNE 03, 2025 AT 2:30 PM MINUTES CALL TO ORDER Chairwoman Clemson called the meeting to order at 2:30 p.m. PRESENT Chairwoman Jorja Clemson Deputy Mayor Pro Tem Junior Ezeonu Council Member Kurt G. Johnson STAFF PRESENTATIONS 1. Financial Update Luis Barrera, Assistant Director of Finance presented the Financial Update noting summary of revenues and expenditures for the General Fund, Water/Wastewater Fund, Solid Waste Fund and the Hotel Motel Tax Fund, and also reported revenues received as of May 2025 for the Sales Tax and General Fund Sales Tax. 2. Plan of Finance (Debt Plan for Funding) for Fiscal Year 2025-2026 Capital Improvement Plan (CIP) Latifia Coleman, Assistant Director of Mangement Services noted that on May 20, 2025, the City Council accepted the project listing for the Fiscal Year 2025-2026 Capital Improvement Plan (CIP). Up to $40 million in general obligation projects and $10 million in water/wastewater projects were identified as being bond-funded in the listing. The City is planning to conduct two separate bond issuances to fund those projects identified in the May 20th listing, with an issuance for Certificates of Obligation Bonds, Series 2025A, and Water/Wastewater Revenue Bonds, Series 2025A. The timing of debt issuances is an important consideration to limit interest rate risk. The City has worked with a financial advisor to base issuance timing to meet optimal financial conditions. The City will issue a parameters ordinance in August and expects pricing and closing of the bonds prior to the end of September 2025. This allows the funds to be delivered by the beginning of the fiscal year, October 2025. 3. Public Improvement District (PID)s Budget Presentation Lee Harriss, Special District Administrator, presented an overview of the Public Improvement Districts (PIDs) in Grand Prairie. Presentation included the following topics eligible improvements under PID guidelines; locations of the 19 Public Improvement Districts in Grand Prairie; responsibilities of PID boards and City Council; PID budget process and related notifications; proposed schedule for the FY2025 PID budget process and PID statistics for FY2025 and projections for FY2026. Finance and Government Committee – June 03, 2025 Page 1 of 5  Council Member Johnson expressed concern regarding the low resident participation in the past meetings relating to the PID budget information presented for public comment. Council Member Johnson questioned the cost-effectiveness of the current outreach method and asked staff to evaluate alternative notification strategies. The committee concurred. In addition, Council Member Johnson requested clarification on the FY2026 budget projects and inquired whether any of the Public Improvement Districts were currently operating at a deficit. Ms. Harriss confirmed that none of the PIDs are in a negative financial position. CONSENT AGENDA Chairwoman Clemson asked the committee if there were any questions regarding the consent agenda. Council Member Johnson indicated he had questions for staff concerning agenda item seven. Esther Coleman, Director of Housing and Neighborhood Services, provided an overview of item seven. Council Member Johnson asked whether the City determines how funds are allocated once received. Ms. Coleman confirmed that the City allocates the funds based on HUD guidelines and identified community needs. Council Member Johnson expressed interest in increasing the allocation for the Emergency Repair Fund. Chairwoman Clemson asked whether it would be possible to reallocate funds from the Reconstruction Budget to the Emergency Repair Fund. Ms. Coleman responded that such a reallocation is feasible but noted that reconstruction projects are costly. Patrick Cornelius, Assistant Director of Housing and Neighborhood Services, shared that the city completes approximately 50 emergency repairs per year, compared to only one or two full reconstruction projects annually. Council Member Johnson mentioned a resident who has been on the reconstruction waitlist for three years. Mr. Cornelius acknowledged that long wait times are often due to the limited number of reconstructions completed annually, particularly given their cost and complexity—especially when demolition is required. Deputy Mayor Pro Tem Ezeonu voiced support for the installation of sidewalks in front of schools, especially in low-income neighborhoods, to enhance safety for children. He also requested staff outreach related to the Alice Court development. Council Member Johnson inquired about the process and criteria for nonprofit organizations applying for CDBG funds. Ms. Coleman explained that each request is reviewed individually, with recommendations made by the HCIC Board to ensure funds are distributed as equitably as possible. Chairwoman Clemson commended the Housing staff for their commitment, noting that the programs are designed to ensure that all emergency assistance applicants are fairly considered. She also observed that the complexity of the application process and documentation requirements may deter some potential applicants. Ms. Coleman emphasized that Housing staff are available to assist applicants throughout the entire process. Deputy Mayor Pro Tem Ezeonu moved, seconded by Council Member Johnson, to approve consent agenda item four and to recommend approval to Council of consent agenda items five through eight. The motion carried unanimously. 4. Minutes of the May 6, 2025 Finance and Government Committee Meeting Approved on Consent Agenda 5. Ordinance Amending the FY 2024/2025 CIP Budget Approved on Consent Agenda 6. Ordinance Amending the FY 2024/2025 Operating Budget Finance and Government Committee – June 03, 2025 Page 2 of 5  Approved on Consent Agenda 7. Ordinance approving the Program Year 2025 Community Development Block Grant (CDBG) and HOME Budgets Approved on Consent Agenda 8. Amendment #1 with Carruthers Landscape Management for landscape services of additional location in the amount of $90,350.78 Approved on Consent Agenda ITEMS FOR INDIVIDUAL CONSIDERATION 9. Ordinance amending the FY2024/2025 Prairie Lights Operating Fund for upgrades to the displays at Prairie Lights Kelly Eddlemon, Parks Administration and Community Engagement Manager, presented the update to the committee noting that Prairie Lights continues to thrive in both success and popularity as it enters its 20th year of operation. Following the improvements made last year, staff recommends continuing to reinvest in the event to build on its existing momentum. This year’s request supports several new upgrades to the drive-through portion of the park, along with the standard annual updates that help maintain the high quality of the guest experience. These upgrades will incorporate state-of-the-art technology aimed at enhancing the overall guest experience and ensuring the event remains competitive in the expanding market. Council Member Johnson inquired about updates planned for downtown. Mr. Eddlemon responded that some of the signs are being repurposed and will be placed in front of City Hall and at Epic Central. Deputy Mayor Pro Tem Ezeonu moved, seconded by Council Member Johnson to recommend approval of this item to Council. The motion carried unanimously. 10. Annual Contract with Southwest Nursery Supply, LP for tree and nursery plants at various locations in the amount of $150,000 for one year with the option to renew for four additional one-year terms totaling $750,000 if all extensions are exercised Joey Gomez, Parks and Recreation Superintendent, presented the item to the committee, noting that the agreement will allow the city to procure trees and nursery plants for various locations in a more timely and efficient manner. The contract will help ensure consistent availability and reasonable pricing for over 140 different species of plants and trees. Mr. Gomez also noted that some locations will receive fruit trees, accompanied by learning opportunities related to their care and use. Council Member Johnson moved, seconded by Deputy Mayor Pro Tem Ezeonu, to recommend approval of the item to Council. The motion carried unanimously. 11. Annual Contracts for motor fuel products for City-owned vehicles and equipment with Mansfield Oil Company of Gainesville, Inc. and TACENERGY, LLC through a Master Interlocal agreement with the City of Fort Worth, Texas. Each agreement is for an initial one- Finance and Government Committee – June 03, 2025 Page 3 of 5  year term in an amount up to $4,000,000, with the option to renew for two additional one-year periods totaling $12,000,000.00 if all extensions are exercised Colby Frantz, Fleet Services Manager, presented this item to the committee noting this contract will ensure a reliable and cost-effective supply of gasoline, diesel, and other necessary fuels to support the City’s essential services, including public safety, public works, transportation, and other municipal operations. The purpose of this request is to secure a consistent supply of high- quality motor fuel products that meet the City’s operational requirements and regulatory standards, achieve competitive pricing and terms through the City of Fort Worth’s formal procurement process while ensuring the efficient use of public funds. Council Member Johnson inquired whether the city has the ability to partner with other municipalities. Jayson Ramirez, Director of General Services, responded that interlocal agreements with Fort Worth have historically included other cities. Deputy Mayor Pro Tem Ezeonu moved, seconded by Council Member Johnson to recommend approval of this item to Council. The motion carried unanimously. 12. Professional Services Contract with Madden Preprint Media, LLC dba Madden Media for the out-of-market tourism campaign. The Contract will be for an initial one-year period with the option to renew for up to four (4) additional one-year periods, in an amount not to exceed $500,000 annually, and in a total amount not to exceed $2,500,000 if all renewals are exercised Claudia Garibay, Director of Marketing, Sara Dedeluk, Tourism Manager, and Eric Alvarez, Marketing and Communications Manager, presented agenda items twelve and thirteen to the committee. Agenda item twelve noted Madden Preprint Media, LLC dba Madden Media (working in conjunction with City staff) will create, budget and implement an advertising campaign promoting Grand Prairie as a top destination to an out-of-market visiting audience. In addition, Madden Media will be providing Media Activation and Reporting, Visitor Tracking, Search Engine Optimization, Creative Design, Ad Analysis, and Ad Placement services in relation to the marketing campaign. This contract will be funded using Hotel Motel (HTMT) funds. Agenda item thirteen noted the goal of the proposed contract is to help position the City as a top destination to live, work and play by promoting City Council Goals, essential programs and services, and City-led or sponsored events. Animare Agency, LLC will serve as an extension of the Communications and Marketing team to increase content output and maximize impact across a wider range of targeted audiences while keeping our primary audience, Grand Prairie residents, front and center. Marketing services in this contract include market research and analysis, digital media buys, City-led or City-sponsored event promotion, public relations, production design, brand analysis and recommendation, and reporting and evaluation. This campaign does not include a traditional broadcast campaign. Deputy Mayor Pro Tem Ezeonu inquired on the growth comparisons for the current year. Ms. Dedeluk reported that all tourism partners, including Epic Central, are experiencing growth. Staff presented the marketing vision, target audience, focus areas, and scoring factors aimed at maximizing promotional efforts. Key deliverables expected from the proposed contracts were also discussed, pending approval. Council Member Johnson inquired about the annual marketing budget, and Ms. Garibay committed to providing him with that information. Council Member Johnson asked about the return on investment (ROI) for the approximately $2 million marketing expenditure and emphasized the need to quantify and justify the budget, Finance and Government Committee – June 03, 2025 Page 4 of 5  particularly focusing on "heads to beds" (tourist stays). Cheryl De Leon, Deputy City Manager responded that ROI cannot be quantified dollar-for-dollar but noted that visitor numbers contribute to sales tax revenues. Ms. De Leon mentioned that Tony Ramirez, Director of Economic Development could conduct an economic impact analysis to provide further insight. Council Member Johnson expressed concern that prior marketing strategies have not yielded consistent results. Ms. Dedeluk provided an update referencing HTMT’s report from the previous year, which indicated a $4 million return and confirmed the marketing investment pays for itself. Deputy Mayor Pro Tem Ezeonu asked about the funding breakdown between Epic Central and HTMT. Ms. De Leon clarified that the committee was reviewing contracts previously used and that all marketing expenses are included in the budget approved by Council. Council Member Johnson reiterated his desire for clearer ROI metrics. Chairwoman Clemson concluded the discussion by expressing optimism, stating that collaborative efforts will continue to improve the city’s reputation and that Grand Prairie is receiving positive recognition. Deputy Mayor Pro Tem Ezeonu moved, seconded by Council Member Johnson to recommend approval of this item to Council. The motion carried unanimously. 13. Contract with Animare Agency, LLC, for Comprehensive Marketing Services (In-Market) in the amount not to exceed $400,000 annually. The term of the contract is an initial one-year term with the option to renew for two additional one-year periods. Discussion of this item was included with agenda item twelve. Council Member Johnson moved, seconded by Deputy Mayor Pro Tem Ezeonu, to recommend approval of the item to Council. The motion carried unanimously. EXECUTIVE SESSION No executive session was held. CITIZEN COMMENTS There were no citizen comments. ADJOURNMENT Chairwoman Clemson adjourned the meeting at 4:00 p.m. Gloria Colvin, Deputy City Secretary Finance and Government Committee – June 03, 2025 Page 5 of 5