Special City Council Meeting - Budget Workshop

CITY OF GRAND PRAIRIE City Hall 300 W. Main Street Grand Prairie, Texas Meeting Minutes Special City Council Meeting - Budget Workshop Thursday, August 18, 2022 8:00 AM The Epic, Warehouse, 2960 Epic Place, Grand Prairie, TX The meeting will be held at The Epic, Warehouse, 2690 Epic Place, Grand Prairie, Texas, and the Mayor or presiding member will be physically present. Council members may be participating remotely via video conference. CALL TO ORDER Mayor Jensen called the meeting to order 8:32 a.m. PRESENT Mayor Ron Jensen Mayor Pro Tem Cole Humphreys Deputy Mayor Pro Tem John Lopez Council Member District 1 Jorja Clemson Council Member District 2 Jacquin Headen Council Member District 3 Mike Del Bosque Council Member District 6 Kurt Johnson Council Member At Large Place 8 Junior Ezeonu ABSENT Council Member At Large Place 7 Jeff Copeland STAFF PRESENTATIONS 1. Presentation & Discussion on FYE 23 Proposed Budget including Property and Sales Tax, General Fund, Police Budget, Fire Budget, Parks Budget, Public Works Budget and Rates, Solid Waste Budget and Rates, Capital Improvements, Debt, Operating Funds, and ARPA Funding Chief Financial Officer Cathy Patrick welcomed everyone and discussed the budget process. City Manager Dye provided an overview of the budget and reminded Council a vote would be taken to adopt the budget on September 20th. He discussed the proposed budget of four hundred seventy million dollars, inflation concerns and staffing challenges. Mr. Dye discussed property valuations, sales tax, a financial management policy, increased homestead exemption, Special City Council Meeting - Budget Workshop – August 18, 2022 Page 1 of 7  expenditure changes, water/waste water and solid waste rate increases and capital improvement projects totaling one hundred one million dollars. Deputy City Manager Cheryl De Leon provided an overview of what each department and the budget team would be presenting in the budget workshop. Assistant Finance Director Brady Olsen reviewed the Budget calendar and the timeline noting a public hearing would be held on September 6th, and Council would review for adoption on September 20th. Mr. Olsen discussed assumptions to be met in order to maintain a similar level of service. He reviewed information for market adjustments, the living wage and proposed three percent merit increases for city employees. Council Member Ezeonu asked if the increase applies to part- time employees. Mr. Dye said it pertains to fulltime employees only. Mr. Ezeonu asked to clarify the wage of the lowest paid part-time employee. Mr. Dye said he would research and provide that information. Mr. Olsen reviewed commercial and residential permitting figures, noting vacancy rates continue to decline. He and Mr. Dye discussed pre-owned homes, and provided an average price comparison with Consumer Price Index information and the provision of goods and services during inflation. Council Member Lopez asked if the process would be quicker if the number of permit requests decline. Mr. Dye said he has not received complaints regarding permitting but confirmed two Planning Department positions are being added due to the work load. Mr. Dye discussed the increased property tax value, new growth and relative tax increment finance (TIF) revenue. He identified twenty-one million dollars in new expenditures, noting increased sales tax will help. Mr. Dye reviewed the new expenditures including proposed half cent property tax cut, two and a half million dollars to the TIF, three million for merit increases, five and half million dollars for market adjustments, one and a half million dollars for new programs, two and a half million for Epic Central start up, three million dollars to fund capital improvement projects, two million to cover inflation. Mayor Jensen discussed the homestead increase and half cent. Mr. Olsen reviewed property tax values and rates from 2020-21, 2021-22 and proposed 2022-23, as well as certified assessed value. He discussed property tax reductions including homestead exemption from ten percent to twelve and a half percent, the .4998 property tax cut, senior exemption and disability status exemptions. Mr. Dye provided property tax comparison information with other comparable cities. Mayor Jensen discussed the per capita sales tax. Mayor Pro Tem Humphreys noted his support of the standing increase in homestead value. Mr. Dye discussed the sales tax financial management policy including sales tax allocation including the General Fund at one cent, Park Venue at one quarter cent, Streets Maintenance at one quarter cent, community policing at one quarter cent and Epic/Epic Waters at one quarter cent. He noted the first million would be set aside for economic development and additional funds evenly distributed to economic development, redevelopment, public art and special projects. Ms. Clemson thanked Ms. Deleon for bringing this policy forward. Council Member Johnson noted he does not agree with giving economic development additional funds after the one million dollars and would like to focus on special projects to build maybe a library further south. Mayor Jensen said it would require another bond package. Council Member Del Bosque asked if it could be included in the infrastructure plan. Mr. Dye noted because the city does not have an economic development corporation, it does not have that additional one percent. Mayor Pro Tem Humphreys asked why the focus is to distribute more to economic development. Mr. Dye discussed incentivization and said there is flexibility in the distribution of funds. Council Member Headen asked if local Special City Council Meeting - Budget Workshop – August 18, 2022 Page 2 of 7  small businesses will be provided some support. Mr. Dye said small business development currently falls under redevelopment. Council Member Lopez inquired if there is forthcoming legislation on the tax rate. Mayor Jensen and Mr. Dye said they are closely monitoring it. Mayor Jensen called a recess at 9:27 a.m. Mayor Jensen reconvened the meeting at 9:47 a.m. Mr. Olsen provided an overview of various funds. He provided a price comparison and discussed how city tax funds are used. Mr. Olsen discussed how funds work, reviewed pooled investment, the General Fund and Municipal Court/Technology Fund. He provided a summary of all funds, discussing revenues and expenditures by fund. Council Member Ezeonu asked if there are any specific funds in the red every year. Mr. Olsen explained how reserves are maintained. Mr. Olsen and Mr. Dye discussed new programs and new initiatives including public art, redevelopment, special projects, economic development, public safety, social media outreach, clean prairie, automated traffic management. Council Member Clemson expressed support for being more innovative in automated traffic management. Mr. Dye explained synchronization. Council Member Headen asked what the cost would be for social media outreach. Communications Director Amy Sprinkles informed it would be a one time cost of fifty thousand dollars and described the proposed social media application upgrade. Council Member Del Bosque asked to clarify Clean Prairie program and tree trimming. Mr. Dye discussed clean up initiatives. Council Member Clemson asked to promote litter removal and prevention. Mr. Dye confirmed and said game cameras are currently being used for illegal dumping sites and noted the city now controls mowing contractors and litter clean up on the highways. Solid Waste Director Dr. Patricia Redfearn discussed current efforts using three cycles per month with a new contractor. Deputy City Manger Bill Hills confirmed the money would need to come from the Solid Waste fund, not the general fund. Mr. Dye said they would explore increasing to four cycles per month. Public Works Director Gabe Johnson discussed contractor efforts to take care of tree trimming in the right-of-way and water/wastewater easements. Mr. Dye said will identify areas of concern in a clean sweep. Council Member Headen asked to clarify how this addressed in narrow alleyways. Mr. Johnson discussed servicing platted easements with utilities in the rear of properties, including some with fifteen foot easements. He confirmed a dedicated alley is owned by the city. Mr. Dye discussed Enterprise Funds and City Venues, not part of the General Fund. He said some venues are not revenue generated and are subsidized. Mayor Jensen provided The Summit as an example and discussed supplementing it annually because of its life changing benefits for citizens. He discussed supplementing other recreation centers and libraries for services provided. Mayor Jensen reviewed how The Epic was funded - a quarter cent for Epic Waters and PlayGrand adventures, supplementing The Epic with the voter approved quarter cent. He discussed utilization and programming needs. Council Member Johnson asked staff to review the structure of membership at The Epic so they are fair and equitable, to help minimize the losses and to know what the city has to supplement annually. Ms. De Leon discussed subsidizing the account and confirmed the money does not come from the General Fund. Mayor Jensen explained The Summit and Tony Shotwell Recreation Center do come from the General Fund. Special City Council Meeting - Budget Workshop – August 18, 2022 Page 3 of 7  Mr. Olsen reviewed capital improvement projects. Mayor Jensen asked to confirm the Street funding total does not come from the quarter cent. Mr. Olsen confirmed. Mr. Gabe Johnson explained how quarter cent funds are limited for maintenance only. Council Member Johnson asked to clarify whether the Ruthe Jackson Center renovations are new. Parks Director Duane Strawn confirmed, noting it is to renovate the board room, working on a piece at a time to remain competitive with other like venues. Mayor Jensen called a recess at 10:42 a.m. Mayor reconvened the meeting at 11:05 a.m. Public Works Director Gabe Johnson provided an overview of various planned project designs, construction and improvements. Deputy Mayor Pro Tem Lopez asked if developers can pay for part of the Day Miar infrastructure South of Ragland Road to Prairie Waters Street. Mr. Johnson said a developer is not currently there to align with the current construction plan. Transportation Director Walter Shumac discussed the Wildlife Trail alignment and completing of street and naming. Mayor Jensen and Mr. Johnson discussed Duncan Perry at the Johnson Creek bridge and pulling the bridge to the south with construction to begin in 2024. Mr. Shumac discussed the Jefferson Street turnback and design. Deputy Mayor Pro Tem Lopez asked if funding will be received. Mr. Shumac confirmed funding to be received, and Planning Director Rashad Jackson said they would need to review total funding available but noted there should be a big visual change making it more pedestrian friendly. Mr. Johnson discussed the international corridor design. Mr. Johnson and Mr. Dye discussed funding for a planned noise wall assessment for Great Southwest Parkway. Deputy Mayor Pro Tem Lopez asked if the expansion of Great Southwest Parkway south of Interstate 20 has plans including sidewalks. Mr. Shumac said the next phase is widening under the interstate bridge and the following phase is widening down to Lakeridge Parkway. Mr. Shumac they always consider sidewalks with new construction. Mr. Johnson provided a Water/Wastewater Fund update, noting water is purchased from four entities – Fort Worth, Dallas, Midlothian and Mansfield, with eighty-five percent coming from Dallas. Mr. Hills asked to clarify why water conservation efforts are in place. Mr. Johnson explained usage during the summer and the increase purchase of water and discussed adding more capacity. Mr. Johnson reviewed customer utility billing details and proposed increases in water/wastewater rates. Mayor Jensen and Ms. De Leon discussed absorption of the increase. Council Member Ezeonu agrees those with higher usage should have increase. Mr. Johnson said they will communicate with a consultant. He then provided an update on wastewater fiscal year 2023 capital projects including master plan projects. Mayor Jensen called a lunch recess at 11:58 p.m. Mayor Jensen reconvened the meeting at 12:46 p.m. Dr. Redfearn provided an overview of the Solid Waste Fund. She discussed landfill and garbage recycling collection service, brush and litter collection, street sweeping, illegal dumping, Keep Grand Prairie Beautiful and the auto related business program. Mayor Jensen and Mr. Dye discussed the previous survey results for trash bin/cart service, noting they were fifty/fifty, therefore the service stayed the same. Dr. Redfearn discussed changes in solid waste Special City Council Meeting - Budget Workshop – August 18, 2022 Page 4 of 7  and reviewed the landfill's life span. She reviewed large one-time projects in 2022 which drew down reserves. She noted fiscal year 2023 budget includes replacement of major equipment, the addition of two additional brush crew personnel and restoring the sensory garden at Kirby Creek Garden. Mayor Jensen asked Dr. Redfearn to explain the sale of methane gas. Dr. Redfearn explained the program where the city receives ten thousand dollars per month from the agreement to capture the gas at the landfill. She then discussed rate increases including a ten percent increase with Republic Service which would result in a one dollar and twenty-five cent increase per household per month. Parks, Arts & Recreation Department (PARD) Director Duane Strawn provided an overview of funds. He discussed quarter cent voter approved park venue sales tax, new venues and programs supported by the sales tax. He noted existing services from Parks Maintenance and Administration continue to be funded from the General Fund. Mr. Strawn reviewed the PARD philosophy and investment for World Class Gold Medal Facilities keeping pricing for citizens reasonable when possible. He reviewed their fiscal policy which includes the Parks Master Plan, proposed appropriations and notables including equity adjustments, additional mowing funds, recreation centers floor maintenance, janitorial equipment and beautification. Mr. Strawn discussed the Epic/Epic Waters Fund. He provided an overview of The Epic’s membership and Epic Waters’ marketing plan. Mr. Strawn discussed Park Funds appropriations for golf, cemetery, Prairie Lights and Lake Parks; and he discussed CIP projects including programming improvements and upkeep/maintenance/enhancements to various facilities such as the Ruthe Jackson Center, The Summit, Tony Shotwell Life Center meeting room and Uptown Theater. Council Member Clemson expressed support for maintaining current city facilities at a high level. Council Member Headen asked to clarify the cost for irrigation repair. Mr. Strawn indicated it is ongoing and the internal maintenance team does a lot of the work citywide. Ms. De Leon and Ms. Sprinkles discussed geofencing advertising. Council Member Del Bosque asked if the Uptown Theater makes a profit and Mr. Strawn advised it is being subsidized. Mayor Jensen said the Arts Council organization has taken over its use a majority of the time which benefits the city, but there are opportunities to do more there. Council Member Del Bosque asked staff to review for dinner and movie type events similar to the Granada in Dallas. Fire Chief Robert Fite presented an overview of Fire Department funds. He discussed programs, enhancements to apparatus, the Station 3 opening, enhancements to Station 5, department reorganization effecting training Emergency Medical Services (EMS) and Prevention, deployment changes, shift changes from 24/48 hours now to 48 on/96 off. He noted this helps with sleep deprivation and cancer prevention. Chief Fite said sick time and benefit leave has gone down. He discussed their new business inspection program and discussed the ISO rating with plans to help the ISO rating on the south side of town where there is currently no station within five miles. Chief Fite reviewed the 2023 CIP, provided an update on Station 6, Station 11 design, automatic vehicle locator (AVL) technology, Emergency Operations Center design and plan. Mr. Dye and Chief Fite discussed hiring challenges. Police Chief Daniel Scesney provided a Police Department overview discussing accomplishments with lower crime rate noting Grand Prairie is one of the safest cities in America per Wallet Hub. He discussed the department’s first Spanish speaking only citizens police academy and recognition by the Federal Bureau of Investigations for capturing a top ten Special City Council Meeting - Budget Workshop – August 18, 2022 Page 5 of 7  most wanted fugitive. He discussed requested positions of four non-sworn positions for investigations and provided a staffing update noting they are keeping an eye on population growth. He reviewed diversity breakdown and discussed hiring issues and recruiting efforts. He discussed department challenges some including disparity in crime-fighting strategies in neighboring cities, elevating inflation which is impacting retail theft and a surge of backlog of cases at the county level. Mayor Jensen asked to clarify the number of officers. Chief Scesney confirmed there are two hundred seventy-one. He discussed the success of the lateral program and recruits coming from the Los Angeles Police Department. Council Member Lopez asked if they are recruiting Grand Prairie High School students. Chief Scesney said they cannot hire an officer until they are twenty-one years of age but there is a program for some to be recruited while in college. Mayor Jensen called a recess at 2:00 p.m. Mayor Jensen reconvene the meeting at 2:18 p.m. Mr. Dye discussed the American Rescue Plan Act (ARPA) Fund allocation noting council budget priorities. He reviewed what ARPA funds are and how they can be used. Ms. Patrick discussed how much was received last year in federal funding and restrictions for use. Mr. Dye discussed Council priorities totaling four hundred eight thousand dollars. Council Member Johnson asked to clarify what duties and functions the part-time historical employee will have. Mr. Dye explained the historical program for marginalized groups and discussed a plan for inclusion. Council and staff discussed the type of position and bringing a new perspective to the organization. Mr. Dye discussed hiring a on a Community Services / City Volunteer Coordinator. Steve discussed allocating funds for a business retention program and using 2022-23 ARPA funds for various programs and proposed facilities such as an outdoor pickleball complex, Turner Park Public Art, Summit Art/Photo Op, Veteran’s Park Star Canopy, soccer fields, Small Hill Artistic Mural, Fish Creek Linear Park Renovations and a Minor League Cricket Training Facility. Council and staff discussed the possibility of an Epic Central Multi-Sport Complex, a Boze Center Music Venue, enhanced PlayGrand funding opportunities, infrastructure master plan and a Tangle Ridge Golf Course improvement plan, expanding the Building Blocks Program and a Sculpture Garden/Park. Council Member Johnson and Deputy Mayor Pro Tem Lopez discussed the need for a small library, recreation center, multicultural center or small amphitheater, a dog park or other centers and facilities south of Interstate 20. Council Member. Ezeonu asked staff to review property near Camp Wisdom and Lakeridge Parkway. Mayor Pro Tem Humphreys discussed a possible collaboration with Grand Prairie Independent School District for a Boze Center Music Venue. Mr. Dye said this would be part of downtown development. Mayor Jensen adjourned the meeting at 3:57 p.m. ADJOURNMENT Mayor Jensen adjourned the meeting at 3:57 p.m. Special City Council Meeting - Budget Workshop – August 18, 2022 Page 6 of 7 _______________________________ Mona Lisa Galicia, City Secretary The Grand Prairie City Hall is accessible to people with disabilities. If you need assistance in participating in this meeting due to a disability as defined under the ADA, please call 972-237-8035 or email GPCitySecretary@gptx.org at least three (3) business days prior to the scheduled meeting to request an accommodation. Special City Council Meeting - Budget Workshop – August 18, 2022 Page 7 of 7