[00:00:02]
NOW LET'S JUST CALL ON, HEY, JEFF.
JEFF, CAN YOU COME UP HERE? SHE WILL HAVE SOMETHING.
ARE YOU? I ABSOLUTELY WOULD LOVE TO.
I YOU MIGHT HAVE TO BEAR WITH ME.
SOMEBODY ON MIGHT LET, THAT'S, DO YOU WANNA LET, UM, KNOW I'LL, OKAY.
YEAH, ACTUALLY THAT MIGHT HELP.
THANK YOU FOR THE GIFT OF TODAY.
AND THANK YOU FOR ALL OF US BEING ABLE TO GATHER HERE SAFELY.
PLEASE BE WITH US AS WE, UH, CHART THE, THE, THE, THE, THE PATH FOR THE COURT.
THAT, THAT WE MAY BE HEADING IN THE RIGHT DIRECTION.
THAT WE, UH, ARE, ARE, KEEP IN MIND, UH, THE COURT, THE COMMUNITY, THE TENANTS, UH, THE EMPLOYEES AND EVERYONE THAT'S AFFECTED BY THE COURT TODAY.
AND, UH, LORD, PLEASE JUST, UH, ALLOW US TO HAVE A SAFE DAY OF, UH, GIVE US THE WISDOM FOR THIS MEETING.
AND WE THANK YOU FOR ALL THE GIFTS THAT WE'VE RECEIVED IN YOUR NAME.
[ I. CALL TO ORDER]
JUST A TEAM.GET OUT OF ORDER, BUT UM, WE ARE GONNA CALL THIS MEETING TO ORDER FINANCE COMMITTEE MEETING TUESDAY, AUGUST 26TH, 2025, 9:00 AM HERE IN THE COURT OFFICES.
COMMITTEE MEMBER JIM YARBOROUGH HERE.
WE ALSO HAVE AN ATTENDANCE CHAIRMAN VIC PEARSON.
THANK YOU ALL FOR BEING HERE THIS MORNING.
AND THEN WE WILL, UH, ARE THERE ANY CONFLICTS OF INTEREST THAT ANY TRUSTEE NEEDS TO DECLARE? OKAY, HEARING NONE.
WE'RE GONNA MOVE ON THE SESSION.
UM, MOVING TO B PRESENTATIONS AND ANNOUNCEMENTS.
[C.1 Approval of Minutes of the Finance Committee]
C GENERAL BUSINESS C ONE IS APPROVAL OF THE MINUTES OF THE FINANCE COMMITTEE.UM, ANY DISCUSSION ABOUT THE MINUTES FROM THE FINANCE COMMITTEE LAST MONTH? ALL THOSE IN FAVOR SAY AYE.
[C.2 Comments from the Public]
UH, COMMENTS FROM THE PUBLIC AND WE HAVE TWO THAT WENT TO SPEAK.UH, TED O'ROURKE AND CHARLOTTE O'ROURKE.
TED, YOU WANT IS TED HERE? GOOD MORNING, I'M GONNA BE FOR YOU.
UH, I HOPE EVERYBODY'S DOING WELL.
UH, JUST WOULD LIKE TO MENTION THE FACT THAT I'M HOPING THAT, I MEAN, I'VE BEEN UP HERE, I GUESS COMPLAINING FOR YEARS AND I COMPLAINED EVEN WHEN I WAS ON THE BOARD A LITTLE BIT ABOUT THE ISSUE.
BUT I HOPE THAT Y'ALL REALLY TAKE A HARD LOOK AT THE EXPENDITURES AT THE COURT.
IT JUST SEEMS LIKE THAT, THAT IT'S JUST, WHEN YOU LOOK AT THE EXPENSE REPORTS AND YOU LOOK AT THOSE, THERE'S A LOT OF MONEY BEING SPENT.
I'M NOT SAYING THE STAFF DOESN'T, SOME OF THE STAFF HAS TO GO TO, DOESN'T HAVE TO GO TO MEETINGS.
BUT, YOU KNOW, UNNECESSARY TRAVEL, I THOUGHT WAS TO BARCELONA.
I JUST THINK IT'S JUST TENS OF THOUSANDS OF DOLLARS THAT WOULD EVER BEING SPENT UNNECESSARILY.
AND I THINK YOU NEED TO REEL THAT IN.
I MEAN, EVERYTHING FROM, YOU KNOW, THERE'S SANDWICHES AND DONUTS AND EVERY DAY IT JUST, IT'S JUST OVER AND OVER AND OVER AGAIN.
AND I'VE NOTICED ONE OF 'EM WHERE, UH, I GUESS IT'S THE PR LADY AND GOING OUT TO EAT AND I THOUGHT THAT SHE HAD AN EXPENSE ACCOUNT THAT WORKED WITH Y'ALL AND IT'S CHARGED ON YOUR PORCH CHARGE FOR, FOR, UH, WHAT'S THE MATTER? THERE'S SOMEBODY TRYING TO TALK ON THE SPEAKERPHONE.
I EVEN NOTICED THAT, THAT, AND I THOUGHT THAT THAT PARTICULAR PERSON HAD AN EXPENSE ACCOUNT.
BUT IF, IF SHE'S USED UP HER EXPENSE ACCOUNT AND IS NOW JUST PUTTING DOWN POOR PEOPLE GOING TO LUNCH, YOU KNOW, FOR A HUNDRED BUCKS OR 150 BUCKS, WHATEVER IT IS, YOU KNOW, AND OTHER STAFF MEMBERS TO TALK ABOUT THE BICENTENNIAL.
I JUST THINK IT'S JUST, YOU KNOW, I THINK WE HAVE PEOPLE THAT WORK HERE TO MAKE ENOUGH MONEY THAT THEY CAN AFFORD OR HAVE THE MEETING HERE.
[00:05:01]
THAT'S WHAT I WANTED TO SAY.I HOPE WE TAKE A, TAKE A LOOK AT IT AND KIND OF REEL IN SOME OF THOSE EXPENSES.
'CAUSE IT IS TENS OF THOUSANDS OF DOLLARS IN THE SAME FLIGHT TO BARCELONA.
I'M TAKING IN NEAR FUTURE FOR ONE THIRD OF THE PRICE OF WHAT THE COURT PAID FOR INDIVIDUALS TO GO.
SHOULD WE ACKNOWLEDGE SHE IS? WILL, IS THAT YOU? GOOD MORNING.
I'M JUST TRYING TO, ONE MINUTE.
IS HE ON THE YEAH, BECAUSE HE WAS, HE WAS LEAVING.
I'M HERE TODAY TO TALK ABOUT TWO THINGS.
THE FIRST IS, UH, TRAVEL AND ENTERTAINMENT, AND SPECIFICALLY TO POLICY OF TRAVEL AND ENTERTAINMENT.
YOU HAVE A POLICY THAT WAS IMPLEMENTED WAY BACK WHEN I WAS ON THE BOARD THAT EVERY TIME YOU SPEND PUBLIC MONEY ON ANYTHING FOR TRAVEL OR ENTERTAINMENT, YOU FILL OUT THAT TRAVEL AND EXPENSE FORM.
I'M EMBARRASSED TO TELL YOU THAT THIS BOARD DOES NOT FOLLOW THAT POLICY.
AND SINCE IT STARTS AT THE HIGHEST LEVEL OF YOUR STAFF, YOU ARE THAT ROADBLOCK TO PREVENT THAT FROM CONTINUING.
AND I KNOW I HAVE ALSO COME UP HERE MANY TIMES TO TELL YOU THAT THAT IS UNACCEPTABLE THAT YOU DO THAT BECAUSE YOU HAVE A LOT OF ABUSE, I'M NOT GONNA SAY FRAUD, BUT ABUSE OF PUBLIC MONEY.
AND ONE OF THOSE IS WHAT TED WAS JUST TALKING ABOUT ON TRIPS TO SPAIN.
THE REASON IT'S ABUSIVE, BECAUSE THE FIRST THING IN YOUR POLICY SAYS IT HAS TO BE REQUIRED.
AND EVEN THOUGH YOUR STAFF TOLD YOU THAT EVERYONE SENDS LIKE 10 PEOPLE TO SPAIN, I DID OPEN RECORDS REQUEST AND CALLED VARIOUS PORTS AND NONE, THEY SAID ZERO IN THE PAST.
THE PORT FOR THAT SAME TYPE OF ACTIVITY MAY SEND ONE PERSON.
AN ENGINEER CHECKS OFF ON THAT PROCESS, NOT YOUR STAFF WHO HAS NO ABILITY TO CHECK OFF ON THAT.
I WOULD LIKE TO THINK TED SAID HOPE.
I WOULD LIKE TO THINK YOU WILL FINALLY FIX IT, BUT I'M NOT HAVING A LOT OF HOPE BECAUSE IT TAKES FOUR VOTES AND I HAVE NOT SEEN FOUR VOTES EXCEPT TO GO ALONG, GO ALONG TO GET ALONG.
THE NEXT THING I'D LIKE TO TALK ABOUT HAS TO DO WITH THE MASTER PLAN.
AND BY THE FORMAT, STAFF TRIED TO DO A GOOD JOB AND, AND, UH, CONSULTANTS TRIED TO DO A GOOD JOB, BUT THE FORMAT LEFT A LOT TO BE DESIRED.
YOU NEED A DEBATE IN PUBLIC LIKE THEY USED TO HAVE WHERE YOUR CITY COUNCIL AND YOUR WARS BOARD DEBATE VARIOUS ASPECTS OF IT INSTEAD OF BEING PUSHED ON THE PUBLIC.
I'VE ALWAYS BEEN FOR CRUISE, ALWAYS BEEN FOR FOUR CRUISE TERMINALS UNTIL YOU TOOK OUT DEL MONTE.
AND AT THAT POINT I DECIDED YOU JUST DON'T HAVE A BIG CONCEPT OF NOT PUTTING ALL YOUR EGGS IN ONE BASKET.
I'M AGAINST ALL CREWS THAT YOU'VE ADVOCATED WITH ONLY 10% IN 2045 BEING CARGO RELATED.
AND I'M AGAINST IT BECAUSE I LIVED THROUGH THE INCIDENTS OF BOTH NINE 11 AND THE INSTANCE OF GRAIN GOING UNDER AND THE PORT ALMOST GOING BANKRUPT A LONG, LONG TIME AGO.
AND SO I THINK YOU'RE PUTTING YOURSELF BACK IN THAT POSITION.
AND I WOULD LIKE TO SEE A BOARD THAT ACTUALLY FUNCTIONS AS A BOARD.
AND WHEN YOU TELL STAFF TO DO SOMETHING, THEY ACTUALLY DO IT.
WELL, I THINK WE'RE GONNA MOVE THAT D SIX.
[D.6 Discuss the Success of the August 13 Open House on the Updated Master Plan and any other updates related to the Master Plan - Trustee Lidstone and Trustee Yarbrough ]
WE'RE MOVING ITEM D SIX UP.AND THAT IS DISCUSSED THE SUCCESS OF THE AUGUST 13 OPEN HOUSE ON THE UPDATED MASTER PLAN AND ANY OTHER UPDATES RELATED TO THE MASTER PLAN.
WE'RE READY, READY ON OUR END WHEN YOU ARE.
I THINK WE'RE PERFECT PUTTING THIS PRESENTATION UP RIGHT NOW.
ARE WE DOING THAT OR I, I'LL, I'LL, I'LL, I'LL DO IT FROM MY END.
I MADE A COUPLE A LITTLE MAKE IT LOOK A LITTLE PRETTIER.
SO, BUT GOOD MORNING EVERYONE, AND, AND THANK YOU.
UM, TODAY I'M GONNA TAKE YOU THROUGH A BRIEF PRESENTATION ON THE RESULTS OF THE, UH, OF THE PUBLIC MEETING, WHICH I THOUGHT WAS VERY SUCCESSFUL.
[00:10:01]
AND, UM, AND THEN DISCUSS, UH, FORWARD, UH, WITH THE PLAN.SO, UM, IS THE PRESENTATION UP? YES.
SO THIS IS A SHORT PRESENTATION.
YOU ALSO HAVE HERE, YOU KNOW, AT, AT THE, AT THE END OF THE, UH, OF THE, WHEN WE FINISH THE MASTER PLAN.
WELL, WE ARE ALL TRYING TO ACHIEVE WHAT I'VE HEARD FROM ALL OF YOU AND EVERYBODY IN THE COMMUNITY IS A BALANCED PLAN.
AND BY US A BALANCE MEANS MANY THINGS.
FINANCIAL, LAND, BIRTH, MOST IMPORTANTLY, IS WHERE THE COMMUNITY'S INPUT AND THEIR NEEDS AND DESIRES, UH, BECOME, UH, A, UH, EQUAL COMPONENT TO MEETING ALL THE PORT MISSION OF ALL TERM RESILIENCE.
AND I THOUGHT IN THAT, IN THAT SPIRIT, UH, THE PUBLIC OPEN HOUSE WAS, UH, SUCCESS.
UM, THE, THE EVENT WAS WELL ATTENDED AND IT WAS JUST BY COINCIDENCE THAT THAT SAME DAY FOR EVERY PLACE, WHICH IS A HUGE PORT THAT, YOU KNOW, NORTH OF MIAMI WAS HAVING THEIR OPEN HOUSE FOR THEIR MASTER PLAN.
AND, UH, WE HAD SENT SOME PEOPLE TO SEE THAT.
I SAID, HOW MANY PEOPLE WENT, AND IT WAS LIKE HALF OF WHAT WE HAD IN GALVESTON.
SO I THINK, UH, I THINK THAT SHOWS A LOT.
SO, UH, SO TODAY WHAT WE WANTED TO JUST GO THROUGH SOME OF THE, UH, INPUT THAT WE GATHERED, UH, HIGHLIGHTS, UH, PRIORITIES, CONCERNS, AND THEN HOW TO, SO, UM, THE IDEA WAS TO INVITE AS MANY PEOPLE AS WE COULD, UH, TENANTS INTERESTED PARTIES, LOCAL BUSINESSES, ET CETERA.
WE HAD 167 PEOPLE SIGNED IN, BUT I'M SURE THERE WERE MORE THAT DID NOT.
UH, THERE WERE 25 BOARDS THAT WE HAD PREPARED AND PRESENTED AND DIVIDED UP INTO FIVE STATIONS, CARGO CREWS, COMMUNITY, FINANCIALS, AND THEN THE OVERALL PLAN.
UM, WE ENDED UP RECEIVING 34 COMMENTS VIA CARDS OR EMAILS FROM 19 PARTICIPANTS.
UH, OF THOSE 19 PARTICIPANTS, UH, IT WAS PREDOMINANTLY THE RESIDENTS, PEOPLE THAT DESCRIBED THEMSELVES.
WE ASKED THEM TO, WHAT, WHAT CATEGORY ARE YOU IN? THERE WERE 12 RESIDENTS, SO ABOUT THREE QUARTERS OF THEM.
UM, WE HAD, UH, ON THE BUSINESS SIDE, THREE BUSINESS OWNERS AND ONE TENANT.
AND THEN THE REST WERE INTERESTED TARDY OR DID NOT SPECIFY IT.
SO IT WAS, YOU KNOW, IT WAS WELL ATTENDED BY, BY THE COMMUNITY.
UM, THERE WERE TWO TYPES OF GETTING THE COMMENTS.
THE MOST INFORMAL WAY IS US INTERCHANGING TWO HOURS OF DISCUSSION WITH PEOPLE AND WALKING PEOPLE AROUND.
WE'VE HAD A CHANCE TO, WE HAD A TEAM OF ABOUT SIX PEOPLE THERE.
UM, AND EACH ONE, UH, SPENT SIGNIFICANT AMOUNT OF TIME WITH PEOPLE, WHATEVER THEY NEEDED, ANSWERING QUESTIONS.
AND BY AND LARGE, I THINK WE ALL CONCLUDED THE VAST MAJORITY OF THE COMMENTS THAT DAY WERE, WERE VERY POSITIVE AND THEY WERE VERY THANKFUL FOR THE EVENT.
UM, THE MAJORITY OF THE WRITTEN COMMENTS YOU COULD CATEGORIZE AS BEING VERY SUPPORTIVE OF, OF WHAT THE PORT IS DOING.
AND THEN THE VAST MAJORITY OF THEM WERE WRITTEN COMMENTS THAT WERE SUPPORTIVE OR WITH COMMENTS AND SAY, HERE'S HOW YOU SHOULD IMPROVE THIS AREA, OR HERE'S WHAT WE WANT YOU TO FOCUS ON AS AN ISSUE.
SO OVERALL, YOU KNOW, VERY POSITIVE, UH, THERE SHOULD BE OVERALL SENTIMENTS CAN BE CATEGORIZED INTO SIX AREAS, AND THEN WE'LL, WE'LL, WE'LL, WE'LL SPREAD OUT.
NUMBER ONE, I THINK THERE WAS A GENUINE APPRECIATION, UH, FOR THE ENGAGEMENT AND THE TRANSPARENCY OF THE POOR TRYING TO DO WITH THIS PLAN.
I THINK MOST PEOPLE DIDN'T REALIZE THAT THIS WAS STILL A DRAFT PLAN.
AND SO THAT THE COMMENTS ARE SO THAT WE COULD TAKE THEIR COMMENTS INTO, INTO ADVISEMENT.
UH, THERE WAS A SIGNIFICANT OF WHAT THE PORT HAS ACCOMPLISHED, PARTICULARLY IN THE CRUISE.
UH, AND THERE WAS, THERE WAS A LOT OF FEELING TO THAT SIMULTANEOUSLY.
HOWEVER, THERE WAS ALSO A STRONG DESIRE THAT CARGO AND OTHER, AND OTHER FUNCTIONS OF THE PORT NOT BE COMPROMISED BECAUSE OF THE CRUISE.
AND THERE WAS THIS, YOU KNOW, TIDBIT TAT TYPE OF, UH, BETWEEN CREWS AND CARGO AND DIVERSITY BECAME ONE OF THE SMALL COMMENTS.
UM, WITH THAT, THE GROWTH OF THE CREWS, UH, THE CONCERNS THAT PEOPLE HAD IN INFRASTRUCTURE AND SUSTAINABILITY, MOSTLY TRAFFIC.
I DON'T, I DON'T THINK THERE'S ANY SURPRISES THERE.
UH, PEOPLE WERE, UH, HAD A LOT OF COMMENTS ON, YOU KNOW, IT'S A LONG RANGE PLAN.
IT HAS TO BE FLEXIBLE, IT HAS TO BE ADAPTABLE, AND, AND THAT WILL BE BUILT INTO THE PLAN.
AND FINALLY, UH, ONE OF THE BIG SURPRISES I THINK FOR MOST FOLKS IS THEY WERE REALLY ENCOURAGED BY THE COMMUNITY WATERFRONT INTEGRATION, UH, UH, PIECES THAT WERE INCLUDED IN, IN THE EXHIBITS THAT WE HAD.
UM, SO TAKING THEM A LITTLE BIT ONE AT A TIME ON ENGAGEMENT AND TRANSPARENCY.
UM, THEY, YOU KNOW, THEY, YOU CAN SEE SOME OF THE COMMENTS.
YOU'RE TRYING TO ENGAGE THE COMMUNITY WHEN PLEASE PLAN SUSTAINABILITY FOR THE CRUISE LEADERSHIP.
[00:15:01]
RECOGNIZING THAT YOU BECOME REALLY A, A MAJOR PLAYER IN THE INDUSTRY WORLDWIDE.AND HOW THE, THE IMPORTANCE OF THE PORT, THE CRUISE TO THE PORT.
UH, BUT THE PEOPLE SAID, OKAY, BUT DON'T, YOU KNOW, WE NEED TO HAVE CARGO.
UM, AND THERE WAS A, UH, AND I'M GONNA TALK ABOUT THIS IN A MINUTE, A CONCERN THAT YOU WERE PUTTING TOO MANY EGGS IN ONE BASKET BY, UH, CONTINUING TO EXPAND CREWS.
THEY CALL FOR FLEXIBILITY, UH, THAT THEY, THEY LIKE, LIKE THE FLEX BERTH THAT COULD GO EITHER WAY.
AND, AND SO DESIGNED THE PORT TO BE AS FLEXIBLE AS POSSIBLE IN THE FUTURE, UH, ON INFRASTRUCTURE.
THE BIGGEST CONCERN WAS, UH, WAS TRAFFIC AND, UH, CONNECTIVITY BACK TO THE CITY WITH PEDESTRIANS.
AND THEN, UH, I THINK, UM, MOST PEOPLE REALLY SAW THE FOCUS ON ALL THE INTEGRATION OF WATERFRONT AS A REALLY POSITIVE.
AND, AND THERE WERE A LOT OF, YOU KNOW, A FEW COMMENTS ABOUT, UM, UH, PELICAN ISLAND.
MAKE SURE THAT WE CAN DEVELOP THAT.
SO, UM, IF WE TAKE THAT, AND THEN IF WE ARE OUR TOP COMMON ISSUES, IF YOU TAKE ALL THE 19, THE 34 COMMENTS, NUMBER ONE, AND BY AND LARGE, MOST PEOPLE IN A VERY POSITIVE WAY, LIKE THE WHOLE CONCEPT OF CITY WATER FUND INTEGRATION AND SO FORTH.
AND WE'RE, AND THAT WAS THE LARGEST COMMON, AS YOU CAN SEE, EIGHT OF THE, OF THE, OF THE, UH, 19, UH, OF THE NINE 19 PEOPLE, NO, EIGHT OF EIGHT OF THE COMMENTS WERE THAT THE SECOND ONE LARGEST WAS TRAFFIC, UH, FROM, UH, A CONCERN ABOUT TRAFFIC OR PROVIDING SUGGESTIONS TO MAKE SURE THAT WE INTERNALIZE THE TRAFFIC, SO TO PREVENT CONFLICTS WITH, WITH CITY TRAFFIC.
UH, THE THIRD ONE WAS THE DIVERSIFICATION OF BUSINESS.
UH, AND A LOT OF THAT PICKED UP ON SOME OF THE DISCUSSIONS THAT WE HAD AT, AT THE BOARD OF THE LAST MEETING.
THAT THE DESIRE THAT ULTIMATELY THAT, YOU KNOW, ALL THE FINANCES AND EVERYTHING AT THE PORT ARE DIVERSIFIED.
THERE WAS, UH, A NUMBER OF, UH, COMMENTS ON THE PARKING STRUCTURE AND BASICALLY SAYING, DON'T, DON'T DO SO MUCH SURFACE PARKING, CONCENTRATE THE PARKING INTO THE STRUCTURES, AND THEN LINE THAT'S PARKING STRUCTURES WERE MINOR BUILDINGS AND THINGS LIKE THAT.
AND FINALLY, UH, GENERAL FINANCIAL ISSUES AS TO, UH, HOW SOUND THEY ARE, HOW VALID THEY ARE, ET CETERA.
SO, UH, TAKING EACH ONE APART, UH, AND POTENTIAL ACTION ITEMS ON THE WHOLE IDEA OF ENGAGEMENT AND TRANSPARENCY.
UM, I THINK THAT, UH, THE NEXT FEW STEPS IN THE MASTER PLAN SHOULD CONTINUE THAT PROCESS AND MAKE SURE THAT, THAT, UH, THAT THAT COMMUNICATION CONTINUES AND THE, AND THAT WE ARE ABLE TO RESPOND TO THE COMMENTS, UH, ON THE, UM, GALVESTON SCHOOLS LEADERSHIP.
I THINK THAT THERE'S PROBABLY ROOM, UM, TO WORK ON THIS IN TERMS OF FURTHER EXPLORING THE OVERALL IMPACT, THE BENEFITS, THE BENEFIT THAT CRUISE BRINGS TO THE COMMUNITY.
SOME PEOPLE ONLY SAW THE TRAFFIC, UH, AND I THINK THE POTENTIAL IS THAT IN THE FUTURE, THAT ECONOMIC IMPACT WILL BE SO GREAT THAT THERE WILL BE OTHER OPPORTUNITIES FOR THE COMMUNITY.
SO EXPANDING THAT ECONOMIC IMPACT FOOTPRINT WILL BE CRITICAL GOING FORWARD.
UH, THE DIVERSITY OF LINE, UH, OF BUSINESS LINES, UH, CARGO, AGAIN, UH, MAKE SURE WE, WE, WE BASICALLY LIKE CARGO, SOME OF THE FOCUS WAS ON CARGO THAT IS NOT THERE, THAT IS NOT A MARKETABLE AREA AND SO FORTH.
UH, AND THIS IS, WE GO THROUGH IN A LOT OF PORTS WHERE CARGO HAS MOVED SOME OTHER PLACE AND, AND IT'S NOT COMING BACK.
BEING ABLE TO RECOGNIZE THAT AND BE ABLE TO COMMUNICATE THAT, BUT EXHAUST THAT POTENTIAL CARGO BUSINESS.
AND MORE IMPORTANTLY, THERE, THERE IS NO NEED TO HAVE THIS.
THE FACT THAT YOU BUILD ANOTHER CRUISE TERMINAL DOES NOT DEGRADE YOUR ABILITY TO HANDLE CARGO IN THE FUTURE, UH, ON FLEXIBILITY AND RESILIENT.
I THINK THAT AS THE PLAN GETS DEVELOPED, I THINK YOU WILL SEE THOSE, THOSE COMPONENTS BUILT IN, IN TERMS OF ADAPTABILITY WHEN I'M TALKING ABOUT THAT THE BUILDINGS ARE SETBACKS, SO THE BIRTH CAN BE USED FOR MANY THINGS, UH, UH, USING THE TERMINALS OR THE MULTI-PURPOSE ET CETERA THING, THINGS LIKE THAT.
AS WELL AS, UH, RESILIENCY OF THE PORT ON THE AREA OF COMMUNITY WATERFRONT INTEGRATION.
UM, THERE IS SOME WHERE WE, A LOT OF IT WAS BUILT INTO THE PLAN.
IT WAS HARD TO SEE BECAUSE OF THE SCALE, LIKE SIDEWALKS, PEOPLE THAT COULDN'T SEE IT BECAUSE THE DRAWING IS SUCH A LARGE SCALE THAT IT'S HARD TO SEE WORK, AND THAT WE'RE WORKING ON THAT TO BE ABLE TO SHOW YOU THE NETWORK OF, OF PATHWAYS AND SO FORTH TO TRY TO CONNECT THE CITY TO THE CRUISE BUSINESS AND THE AREAS THAT, THAT YOU WOULD BE ABLE TO PROVIDE PUBLIC ACCESS TO THE WATERFRONT.
[00:20:01]
WE'RE, WE WANNA WORK ON THAT GOING FORWARD ON THE PLAN, UH, ON THE AREA OF INFRASTRUCTURE AND SUSTAINABILITY.UM, WHETHER OR NOT THERE'S A NEED FOR COMPREHENSIVE TRAFFIC STUDY, UH, UH, AND, BUT MAKE SURE THAT WE ARE, WE'RE TRYING TO INTERNALIZE THE TRAFFIC TO GET THE TRAFFIC IN AND OUT OF THE ISLAND, UH, WITHOUT DISTURBING OTHER PARTS OF THE CITY, EVEN THOUGH A LOT OF THE TRAFFIC, AS YOU KNOW, IS CONCENTRATED FOR ONE AND A HALF HOURS IN THE MORNING.
UM, AND THEN OTHER TYPES OF, UH, INFRASTRUCTURE AND, AND YOU'RE DOING SOME OF THE STUFF, BLOOD WORKS AND SEWAGE IMPROVEMENTS AND SO FORTH, UM, TO CONTINUE TO WORK WITH ZY AND THE PELICAN ISLAND BRIDGE, WHICH ALL WE'RE DOING, UH, PROMOTE THE USE OF GARAGES INSTEAD OF SURFACE RAMPER, UH, SURFACE LOTS, UM, AND BE FLEXIBLE.
AND FINALLY ON FINANCIAL THAT THEY, UH, PROVIDE FOR STRONG FINANCIALS.
UH, AND AMONG THAT DIVERSITY OF REVENUES IS ONE OF THOSE THINGS.
BUILDING RESERVES AND THINGS LIKE THAT WILL BE IMPORTANT AND THAT WILL BE WORKING ON AS WE BUILD THE FINANCIAL MODEL FOR YOU.
SO THE ONE AREA THAT I DID WANT TO, THAT, THAT, THAT, THERE'S THIS THING THAT KEEPS COMING UP.
I ONLY, I, THIS IS THE ONLY POINT THAT I WANNA SHOW YOU THE THINKING THAT WHICH, WHICH IS THIS CRUISE VERSUS CARBO, AND THERE IS NO SUCH THING.
SO CREWS WERE OUR PROJECTIONS AND PROJECTION, AND THEN IT'S UP TO YOU AS A BOARD TO SAY, THIS IS WHAT WE WANT, OR THIS IS NOT WHAT WE WANT AND SO FORTH.
OUR PROJECTIONS IS THAT CREWS WILL GROW FROM THE CURRENT CLOSE TO 4 MILLION TO OVER 9 MILLION TO 10 MILLION PASSENGERS.
THE SAME TIME WE'RE GROWING CARGO FROM 3 MILLION TO 6 MILLION.
SO REALLY THE RATE OF GROWTH ONE TO THE OTHER, THEY'RE BOTH GROWING.
SO WE'RE NOT HINDERING ANYTHING.
NOW, CAN WE ATTRACT OTHER TYPES OF CARGO? WELL, THAT'S WHAT WE HAD.
MARTIN ASSOCIATES GO THROUGH AN EXHAUSTIVE ANALYSIS OF THE DIFFERENT COMMODITIES, AND THAT'S WHAT THEY HAVE COME UP WITH.
BUT AT THE END OF THE DAY, IT'S NOT ONE OR THE OTHER.
I THINK THIS IS AN IMPORTANT COMPONENT.
SO I ADDED THIS ONE SLIDE AT THE END TO MAKE SURE THAT THE WAY THAT WE'RE THINKING THROUGH AND BRINGING THE, I'M WORKING ON THE DRAFT PLAN TO BRING TO YOU IS THAT ONE, THERE'S PLENTY OF ROOM FOR ALL OF THE MARGIN OPPORTUNITIES.
WE'RE NOT SACRIFICING ONE VERSUS THE OTHER.
NUMBER TWO, WE'RE NOT COMPETE.
THERE'S ENOUGH SPACE AND BURST THERE TO SERVICE YOU.
YOU'RE A BIG PORT, YOU HAVE PLENTY OF SPACE.
SO THERE'S NO, IT'S NOT A COMPETITION OF BASE IF RIGHT NOW YOU SAID THERE'S NO CRUISE THERE, YOU, WHAT ARE YOU GONNA DO WITH ALL THAT LAND THERE, THERE IS NO SUCH THING.
SO IT'S A, IT IS NOT A COMPETITION FOR SPACE OR BIRTH ADDED IN OTHER PORTS.
YOU GO TO SOME OF THE OLDER PORTS, LET'S SAY MIAMI, MIAMI DOESN'T HAVE ANY SPACE OR ANY BIRTH, SO IT IS A COMPETITION FOR THAT ALLOCATION.
AND SO IT IS NOT ONE VERSUS THE OTHER.
IT IS A CHOICE THAT, THAT YOU AS A BOARD AND THE PORT WILL MAKE OF HOW MUCH OF ONE OR THE OTHER.
WHAT IT IS, IT'S A COMPETITION FOR FUNDING.
SO AT THE END OF THE DAY, WHEN AS WE MOVE FORWARD AND WE BUILD THE FINANCIAL PLAN FOR YOU, UH, YOU KNOW THAT YOU'RE GONNA HAVE THOSE USES THAT GENERATE FUNDS THAT WILL PAY FOR CERTAIN THINGS.
AND THEN THERE'S THOSE THAT DO NOT, ESPECIALLY IF YOU, UH, ENTER THE FIELD OF THE WATERFRONT PLANNING AND PROVIDING PUBLIC ACCESS, NONE OF THAT GENERATES ANY REVENUE.
SO IF YOU DON'T HAVE A, A HEALTHY, UH, PORT ON THE OTHER SIDE, THOSE DON'T GET DONE.
SO IT'S, IT'S THAT THAT'S SORT OF AT THE END OF THE DAY, THE CRUX OF THE, UH, OF THE PLAN AND, AND FOR US.
SO I THINK THAT THERE'S PROBABLY A GOOD DEAL OF DISCUSSION THAT I CAN GO ON THAT WE'RE NOT SACRIFICING, WANT TO CREATE A PLAN FOR THE OTHER.
SO, UM, WE, WE HAVE ALL THE DETAILED COMMENTS AND WE'LL TAKE ANY OTHER COMMENTS THAT WE GET AS WE GO ALONG.
SO WHAT WE'RE DOING RIGHT NOW IS WE ARE ADDING, SUBTRACTING, MAKING ADJUSTMENTS FROM EVERYTHING THAT WE'VE HEARD FROM YOU.
WE'VE HEARD THERE, AND YOU'LL SEE AN IMPROVED SET OF DRAWINGS GOING FORWARD.
AND THAT ONLY WILL SHOW, YOU KNOW, HOW, HOW TO ARTICULATE THIS BETTER, BUT ALSO MAYBE GRAPHICALLY BE ABLE TO SHOW TO ANSWER SOME OF THE QUESTIONS THAT, THAT WE, THAT WERE POSED TO US.
UH, ONCE WE HAVE THAT, THEN EVERY PROJECT WILL BE IDENTIFIED PROJECT A, B, CB, AND EACH ONE WILL BE, WILL BE, EXCUSE ME, COSTED OUT SO THAT WE HAVE A BUDGET SIMULTANEOUSLY, WE'RE BUILDING THE FINANCIAL MODEL.
THE NUMBERS THAT WE'VE SHOWN YOU WAS REALLY ROUGH ORDER OF MAGNITUDE ANALYSIS BASED ON, ON RATIOS AND THINGS LIKE THAT.
SO THAT, UM, BASED ON MARKET DEMANDS, YOU'LL SAY, OKAY, THIS IS THE POTENTIAL REVENUE THAT YOU WILL HAVE.
WE'LL CONFIRM THE OPERATING COST SO THAT WE CAN DEVELOPING THAT REVENUE, UH, MODEL WITH THE MARKET.
AND THEN THAT'S WHEN IT GOES TO BALANCE, OKAY, IF YOU BUILD PROJECT A VERSUS FOR PROJECT B, WHAT DOES THAT LOOK LIKE? UH, SO THAT THEN WE
[00:25:01]
CAN DEVELOP THE SCENARIOS FOR PROJECT PHASING BASED ON INCOME, MARKET DEMAND, ABILITY TO EXECUTE, ET CETERA.YOU SOME PROJECTS, ONE HAS TO GO AFTER THE OTHER BECAUSE IT'S JUST THE SEQUENCE OF THINGS AND SOME ARE NOT NEEDED UNTIL THE DEMAND IS BASED.
SO, UH, I THINK, I THINK YOU ALL KNOW THAT, YOU KNOW, WE WOULD NOT BE PROPOSING TO A CRUISE TERMINAL OR A CARGO BIRTH IF THERE'S NO DEMAND.
WE WOULD JUST PLAN FOR IT TO BE THERE.
AND THAT DECISION THEN IS MADE AT A LATER DATE, BUT AT LEAST AS PLANNED INTO THE PLAN.
AND THEN WITH THAT IS WE WILL PREPARE THE INITIAL DRAFT PLAN, WHICH IS HOPEFULLY WHAT, UH, THAT'S THE NEXT STEP FOR, FOR US THAT WE'LL PRESENT TO YOU, UH, IN THIS MONTH.
WE'RE TRYING TO SHOOT FOR THAT.
UH, AND, UH, THEN WE'LL HAVE CITY COUNCIL PRESENTATION OR JOIN YOU, YOU TELL US HOW YOU WANT TO DO IT, AND THEN WE WOULD BE READY FOR THE FINAL PLAN.
SO FROM OUR PERSPECTIVE, I THOUGHT IT WAS, EVERYTHING WAS VERY SUCCESSFUL.
UH, YOU KNOW, GREAT, GREAT PARTICIPATION.
UH, AND WE'RE GONNA TAKE ONE THING, SHOW YOU, WE'RE GONNA TAKE EVERY ONE OF THOSE COMMENTS AND TAKE 'EM SERIOUSLY AND ADDRESS IT ONE WAY OR THE OTHER.
THAT MIGHT BE WRONG, MIGHT BE RIGHT, MIGHT BE A GREAT IDEA.
AND THEN WE'LL PRESENT THAT INTO A, UH, UM, THE ALTERNATIVES THAT, THAT YOU, THAT YOU OPEN BC.
AND UM, I'M BE GLAD TO TAKE ANY QUESTIONS.
UH, LEWIS, CAN YOU CLARIFY FOR THE PUBLIC THAT WHEN WE'RE TALKING THE NUMBER OF CRUISE PASSENGERS, IF SOMEBODY TAKES A CRUISE, THEY COUNT AS TWO PASSENGERS, ONE GETTING ON AND ONE GETTING OFF.
IS THAT, IS THAT CORRECT IN YOUR NUMBERS? WHICH IS THE INDUSTRY STANDARD? THAT IS, THAT IS THE CORRECT.
AND IT'S IDENTICAL TO AN AIRPORT.
WHEN YOU GO ON, GET ON A PLANE AND YOU BOARD YOUR PLANE, YOU'LL BE COUNTED.
WHEN YOU COME BACK HOME, YOU'LL BE COUNTED AGAIN.
SO, SO THAT IS THE NORMAL WAY OF, UH, OF, UH, OF, OF DOING IT IN PORTS.
THEY HAVE THE ONE CLERK THAT IF IT'S JUST A PROTOCOL, WHICH YOU DON'T HAVE ANY, UH, THEY ONLY COUNT ONCE, BUT, AND ALL HOME PORTS ARE COUNTED.
AND IN THE PAST WE'VE BEEN COMMUNICATING TO THE PUBLIC WHEN THAT WAS ONLY ONE.
SO WHEN WE WERE TALKING 1,000,007 PASSENGERS, ALL OF A SUDDEN, NOW THAT'S 3.4 MILLION THIS YEAR.
SO JUST SO THE PUBLIC CAN UNDERSTAND.
OTHER COMMENTS? YES, LOUIS, UH, I, I'M, I'M WONDERING IF YOU COULD, UH, OR IF Y'ALL COULD PUT A LITTLE MORE EMPHASIS ON, UM, METRICS THAT WE, WE AS A BOARD MIGHT WANT TO LOOK AT AS WE MAKE MAJOR CHANGES.
I'M, I'M NOT, I I, I DON'T THINK SO MUCH FOR ANOTHER BIRTH DOWN NEAR 10, BUT BEFORE WE DO SOME MAJOR CRUISE RELATED REMODELING ON THE WEST END THERE, UM, COULD YOU PUT IN SOMETHING THAT WE SHOULD BE LOOKING AT? WHAT ARE, WHAT ARE THE METRICS LIKE THE NUMBER OF PASSENGERS THAT WE'RE EXPERIENCING NOW? THOSE KINDS OF THINGS THAT WOULD HELP? I THINK IT'LL BE FUTURE BOARDS.
'CAUSE I DON'T THINK THAT'LL HAPPEN FOR SOME TIME.
BUT, BUT, BUT PEOPLE, UH, REALLY SHOULD HAVE A LITTLE MORE CONCRETE IDEA OF WHEN THOSE THINGS SHOULD BE DONE.
UH, WE WILL DEFINITELY DO THAT.
UH, WE TYPICALLY, IN FACT, WE BEGAN TO SHOW YOU, UH, HOW MANY PASSENGERS PER BIRTH, RIGHT? UH, WE WILL THEN BEGIN TO TRANSLATE THAT.
TYPICALLY WHAT WE DO IS NOT ONLY PASSENGERS PER BIRTH, BUT WE GET, UH, IN CARGO, YOU KNOW, TONS PER ACRE, UM, LINEAR, YOU KNOW, REVENUE PER LINEAL, FEET OF BIRTH.
SO WE WILL PROVIDE YOU ALL THAT.
AND CREWS, I THINK THE KEY METRIC IS REALLY HOW MANY, HOW MANY PEOPLE CAN, CAN YOU GO THROUGH A TERMINAL BEFORE YOU NEED THE NEXT ONE? RIGHT, EXACTLY.
BECAUSE I THINK YOU'RE DOING IT THE RIGHT WAY.
YOU'RE HOLDING BACK AND YOU ARE NOW RUNNING AT, YOU KNOW, ALMOST GETTING TO THE TOP OF THE INDUSTRY.
AND, AND IN FACT, IN OUR PROJECTION WE'RE SAYING LET'S GO ABOVE WHAT THE INDUSTRY AVERAGE IS AND NUMBER OF PEOPLE THAT YOU MOVE THROUGH A TERMINAL, BECAUSE THAT WORKS BEST FOR YOU ALL AND FOR THE COMMUNITY AND FOR EVERYTHING.
SO WE'LL PROVIDE THAT FOR SURE.
UM, I KNOW WE, I THINK WE TALKED ABOUT, UH, I THINK WE HAVE ON OUR AGENDA FOR A PRESENTATION ON THE MASTER PLAN FOR THIS THURSDAY AT 11, AT ABOUT 11:00 AM AND THAT, UH, GET INPUT FROM CITY COUNCIL.
I KNOW YOU HAVE DOWN TO PRESENT THE FINALIZED PLAN IN SEPTEMBER.
DO YOU WANT TO COME BACK AND PRESENT THAT SINCE WE'RE TALKING TO COUNCIL ON AUGUST 28TH? OR DO YOU WANT TO GET THEIR INPUT, KIND OF GO OVER THE PLAN WHERE WE ARE NOW, AND THEN IN SEPTEMBER JUST SEND THE FINALIZED
[00:30:01]
VERSION TOO? UH, WELL I LEAVE THAT TO YOUR, YOUR STAFF THERE, HOW THEY WANT US TO DO IT.WE'RE FLEXIBLE TO GO EITHER WAY.
UH, WE, WE USUALLY LIKE TO HEAR ALL THE THOUGHTS BEFORE WE FINALIZE ANYTHING, BUT, UH, WE WILL MAKE OURSELVES AVAILABLE AS, AS NEEDED.
UH, DO YOU WANT LESS THAN TWO DAYS, RIGHT? DO YOU WANT TO HAVE SOMETHING ON THE SEPTEMBER 18TH MILLION? WELL, WHY DON'T WE SEE WHAT COUNCILS, LET'S SEE HOW IT GOES.
BUT, UH, MOST LIKELY I WOULD SAY YES.
I CAN CHIME IN HERE FOR A SECOND.
IF YOU, WHAT LEWIS WAS SAYING ALSO UP THERE IS, IS OBVIOUSLY IT'S NOT FINALIZED.
AND SO WE'RE GONNA TAKE COMMENTS, HE'S TAKING COMMENTS, WE'LL TAKE COMMENTS FROM CITY COUNCIL AND THEN HE'LL COME BACK AND IMPLEMENT THOSE COMMENTS AND THEN WE'LL HAVE A DRAFT.
THEN WE'LL HAVE A DRAFT PLAN THAT'LL COME BACK TO THIS BOARD AGAIN.
I MEAN, I, I SEE IT AS AN OCTOBER SITUATION.
I MEAN, BECAUSE WE WILL THEN WE'LL GO THROUGH A COUPLE MORE RENDITIONS, LIKE, LIKE WE'RE DOING NOW, THIS BOARD YOU BOARD THEN, UH, DRAFT PLAN, THEN THIS BOARD AND YOUR BOARD.
AND SHOULD BE, SHOULD WE NEED IT, WE COULD GO BACK TO THE PUBLIC AGAIN.
I MEAN, IF WE HAVE TO, I MEAN, WE, WE DON'T HAVE A GUN TO OUR HEAD, RIGHT? WE DON'T HAVE, NOBODY'S SAYING YOU GOTTA HAVE THIS THING DONE BY THIS TIME.
RIGHT? AND SO I THINK THAT THIS IS IMPORTANT THAT WE REALIZE THAT WE HAVE AS MUCH TIME AS WE NEED TO GET INPUT IN THIS THING IF IT GOES TO OCTOBER, LATE OCTOBER, NOVEMBER, RIGHT? SO, I MEAN, I, I JUST WANT, DON'T WANT US TO PUT OURSELVES UP AGAINST THE WALL WHEN WE DON'T NEED TO.
I MEAN, THIS IS OUR PLAN AND, UH, YOU KNOW, LEWIS, LEWIS UNDERSTANDS THIS.
AND, AND SO I THINK THAT WE SHOULD UTILIZE THAT.
YEAH, I THINK IT'S A GOOD, GOOD STRATEGY.
COUPLE THINGS, COUPLE, COUPLE OTHER THINGS.
I WAS LOOKING ON THE PORTS WEBSITE, AND I THINK IT'S SEMANTICS, BUT ON THE PORTS WEBSITE IT TALKS ABOUT PORTS MAJOR FUNDING WORK AS A COMBINATION OF REVENUES, GRANTS, PRIVATE PARTNERSHIPS, AND LINE OF CREDIT.
I'M NOT SURE WE HAVE A LINE OF CREDIT.
IT PROBABLY OUGHT TO SAY DEAD ISSUANCE OR SOMETHING THAT IS MORE REFLECTIVE OF WHAT IT IS AS OPPOSED TO A, A LINE OF CREDIT.
UM, YOU KNOW, I DON'T KNOW HOW MANY CRUISE TERMINALS WE NEED.
YOU KNOW, I GET CONCERNED ABOUT THE OBVIOUS THINGS OF OVERLOADING EGGS IN ONE BASKET, BUT I KNOW WE LIVE IN A AREA THAT'S GOT A LOT OF PEOPLE WHO CAN DRIVE HERE.
BUT WE ONLY HAVE, AND I DON'T KNOW ANYTHING ABOUT THE CRUISE BUSINESS.
I SAY THAT UP FRONT, YOU KNOW, THAT, UH, HOW MANY DESTINATIONS DO WE HAVE TO TAKE PEOPLE? IS THAT GONNA GROW, YOU KNOW, ONCE, ONCE, ONCE SOMEBODY'S BEEN TO CANCUN OR WHEREVER THEY GO THREE OR FOUR TIMES, HOW MANY MORE TIMES ARE THEY GONNA GO? AND NOT EVERY ONE OF THE 35 MILLION PEOPLE IS A, IS IN THE UNIVERSE OF PEOPLE WHO WANT TO TAKE A CRUISE.
WE'RE SATURATING THE MARKET OF PEOPLE WHO WANT TO TAKE CRUISES RIGHT NOW.
AND SO, JUST AS WE LOOK LONGER TERM, HOW OFTEN IS THE TRIP TO CANCUN OR WHEREVER WE GO GONNA BE APPEALING WHERE OTHER PORTS HAVE OPTIONS IN SHORTER DISTANCES, ET CETERA, TO, TO EXPAND THEIR MARKET.
UM, COULD, COULD WE BEFORE YOU, YOU MOVING ON, JIM? I AM.
COULD WE GET, WELL, BEFORE YOU CHANGE, I'D LIKE TO HEAR WHAT LEWIS SAYS.
UM, SO THOSE ARE ALL GREAT POINTS.
UH, AND WHEN WE PRESENTED OUR, OUR CREW FINDINGS LAST TIME, AND WE'LL PROVIDE THE REPORT ON THAT IN DETAIL, WE LOOKED AT ALL OF THOSE THINGS.
WHAT OUR FINDINGS FOR NUMBER ONE IS THAT THE NUMBER OF PEOPLE THAT ARE TAKING CRUISE IS MINIMAL, IS MINIMAL, AND THAT'S A PERCENTAGE OF THE POPULATION.
SO THE POTENTIAL FOR GROWTH, AND THAT'S WHAT'S DRIVING THE OVERALL INDUSTRY GROWTH.
SO REALLY BOILS DOWN UP A DEMAND FOR CRUISING BECAUSE ALL THE SHIPS ARE FILLING UP.
UM, AND, AND WE THINK THAT THERE'S STILL ROOM FOR PEOPLE TO TAKE VACATIONS.
IT'S REALLY THE BIGGEST FACTOR.
UH, YOU BASICALLY, WELL, THE SECOND FACTOR IS DO YOU HAVE COMPETITION IN TERMS OF BEING A HOME PORT? YOU'RE REALLY KNOW TAMPA CAN'T DO IT BECAUSE OF THE BRIDGE.
THOSE SHIPS CAN'T GET INTO TAMPA HARBOR AND NEW ORLEANS HAS LIMITED CAPACITY BECAUSE OF THE AMOUNT OF TRAVEL THAT THEY HAVE TO GO UP TO MISSISSIPPI.
[00:35:01]
YOU ARE, YOU HAVE THE ABILITY TO CAPTURE THE ENTIRE MARKET, BUT THE BIGGEST ONE IS WHERE DO THEY GO? AND YOU'RE ABSOLUTELY RIGHT.AS AS LONG AS, UH, DESTINATION ADDITIONAL DESTINATIONS ARE NOT DEVELOPED, UM, YOU, YOU WOULD HAVE A LIMITING FACTOR.
BUT WHAT HAS HAPPENED NOW IN THE EAST COAST AND THE CARIBBEAN IS HAPPENING IN AUSTRALIA, IS HAPPENING IN THE ASIA.
THE CRUISE LINES HAVE RECOGNIZED THAT AND THEY BEGAN TO CAUSE TO OR DEVELOP THEIR OWN DESTINATIONS.
AND WE KNOW FOR A FACT THAT ROYAL HAS TWO DESTINATIONS UNDER CONSTRUCTION, UM, THAT WILL ADD CAPACITY IN THIS AREA.
AND EVERY OTHER CRUISE LINE IS TRYING TO DEVELOP DESTINATIONS IN THE GULF, UH, CENTRAL AMERICA REGION THERE.
SO, UM, UH, AND WE SHOWED YOU LAST TIME SOME STATISTICS OF WHAT'S HAPPENING IN TERMS OF HOW MANY PASSENGERS ARE BEING, UH, GROWN OUT OF THAT.
SO WE THINK THE PROJECTIONS THAT WE HAVE ARE PRETTY SOUND.
UH, WE GAVE YOU A RANGE FROM A LOW TO A HIGH.
BUT BEAR IN MIND THIS IS A LONG TERM MASTER PLAN.
THE ONE THING YOU DON'T WANT TO DO ON A LONG RANGE MASTER PLAN IS CONSTRICT TO WHERE YOU ARE TODAY.
NOW YOU MIGHT SAY, I DON'T WANT ANY MORE CRUISING BECAUSE ALL THE REASONS X, Y, OR Z.
BUT WHAT WE'RE TRYING TO IDENTIFY, WHAT IS YOUR MARKET POTENTIAL, WE THINK, AND UP TO NOW WE'VE BEEN RIGHT ON THE MONEY.
I MEAN, WE'VE BEEN RIGHT DOWN THE RIGHT DOWN THE MIDDLE OF ALL OUR FORECASTS.
AND OUR HIGH AND LOWS ARE BASED ON A VARIETY OF THINGS THAT HAPPENS, WHICH HAS TO DO REALLY WITH WHERE THE SHIPS GO VERSUS THE GULF OR GALVESTON.
THEY CAN GO TO ALASKA OR SOME OTHER PLACE.
SO WE'VE TAKEN THAT INTO, INTO ACCOUNT AND UH, WE THINK OUR FORECAST ARE PRETTY, PRETTY, UH, SOUND TODAY.
WHEN YOU HAVE, AND WE GAVE YOUR RANGE, WELL BEAR IN MIND WE'RE NOT ASKING OR SUGGESTING YOU BUILD THE TERMINALS A DAY THAT DECISION.
YOU, YOU'LL SAY, OKAY, THIS SITE IS RESERVED FOR THIS IF YOU WANT IT.
AND THEN AT THAT TIME, YOU MAKE THE DECISION WHETHER OR NOT THE TERMINAL GOES THERE OR NOT, WHEN, WHEN THAT MARKET GOES UP.
'CAUSE WHAT YOU DON'T WANT TO DO IS I'M GOING TO, I'M GOING TO SAY NO AND THEN A FEW YEARS FROM NOW, YOU WANT WANT AND YOU DON'T HAVE THE ABILITY TO DO SO.
AND IT'S NOT LIKE YOU HAVE THINGS RIGHT NOW THAT WE COULD PUT IN SOME OF THAT PROPERTY.
UM, YOU WELCOME THE, UM, RICHARD ALLUDED TO IT, YOU KNOW, THE LOGICAL ONE WE'VE TALKED ABOUT POTENTIALLY BEING NEXT IS SOME FACILITY DOWN HERE COMPATIBLE WITH ROYAL AND JUST WANNA ENCOURAGE THE BOARD.
OBVIOUSLY ROGER AND STAFF FEEL THAT THE PORT BUILDING IT AND OWNING IT IS A BETTER MODEL THAN SOMEBODY BUILDING THEIR OWN LEASING THE LAND.
LIKE WE HAVE 10 EVIDENCED BY THE FACT WE DIDN'T EVEN LOOK AT THAT OPTION ON 16.
THE SAME DUE DILIGENCE OUGHT TO GO INTO THE NEW TERMINAL 10.
WHETHER WE OUGHT TO OWN IT AND OPERATE IT OR WHETHER WE OUGHT TO LET ROYAL PAY FOR IT, THEY'RE NOT GONNA PAY A HUNDRED PERCENT.
THEY DIDN'T PAY A HUNDRED PERCENT OF 10.
IT'S GONNA TAKE EQUITY BY THE POOR.
BUT THAT ANALYSIS NEEDS TO BE DONE EARLY ON BEFORE WE GET OURSELVES IN A TRAP WHERE WE'RE TALKING TO ROYAL AND THEY PUT AN ARTIFICIAL TIMELINE ON IT.
THAT OUGHT BE DONE UP FRONT IF WE'RE GONNA AT LEAST SEE IF THAT'S AN OPTION.
FINANCES AND STUFF IS CERTAINLY A BIG OBSTACLE TO OVERCOME IN THE SHORT RUN, BUT LOOKING AT THAT IS IT NEEDS TO BE DONE.
THE OTHER THING THAT THE PORT'S DONE HAS DONE IT, OTHER ORGANIZATIONS HAVE DONE IT.
THEY PUT THE CART BEFORE THE HORSE AND THEY'RE ALWAYS TRYING TO CATCH UP AS WE, WE GOTTA SEQUENCE THINGS WHERE THEY WORK TO OUR BENEFIT IE TRAFFIC STUDY.
AND NOT SO MUCH FOR POTENTIAL USES OF WEST END TERMINALS.
'CAUSE THAT'S THEORETICALLY SEVERAL YEARS DOWN THE ROAD.
BUT LET'S GET A GRIP ON TRAFFIC.
AND THEN IN THAT STUDY, DO THE HYPOTHETICALS OF YOU HAD ANOTHER TERMINAL WITH SO MANY TURNS AND SO MANY PEOPLE ET CETERA.
I'VE ASKED IT FOR THREE YEARS.
NO ONE COULD TELL ME HOW MUCH PARKING WE NEED.
WELL, THAT WOULD GIVE US 1700 SPACES.
WE DO IT, YOU KNOW, WE GOT THE TEXAS COMING ON.
WE GOT FOR EVERY, EVERY OTHER MONTH FOR TWO YEARS.
ONE OF THE SHRIMP CREEK GUYS COME HERE, SAY, I'M MOVING TO FREEPORT 'CAUSE I CAN'T UNLOAD MY GOODS AND WEARERS OUT HERE 'CAUSE OF PARKING AND TRAFFIC.
YOU KNOW, WHAT DO WE NEED? YOU KNOW, HOW CAN THE
[00:40:01]
PORTS OUR ROOF WITH OUR ONSITE GARAGES WHERE IN SURFACE WE'RE ALREADY GETTING A BIGGER PIECE OF THE TOTAL PIE.AND ONE TIME WE PROBABLY 50 50 AND I BET YOU WE'RE 65, 35 UP FOR TO PRIVATE SECTOR DEPARTMENT, WHAT DO WE NEED? YOU KNOW, LET'S GET A GRIP ON THAT.
WHAT, WHAT DO WE NEED IF WE PUT THIS TERMINAL AT 10? DO WE NEED SOMETHING DOWN THERE? WHAT DO WE NEED? 25, 28 SEQUENCING OF EVENTS.
AND IT'S THE SAME WITH THE CARGO.
I MEAN, OUR CARGO HAS BEEN A, IF WE WERE IN THE, IF WE, IF WE IN THE BUDGET CAR RENTAL BUSINESS, OUR CARGO HAS BEEN FILLED WITH A LOT OF CARS THAT DON'T RUN.
SO YOU DON'T GET MUCH BUSINESS
AND I'LL BE THE FIRST TO SAY, IF WE GET, GET OUT THERE AND PUT AN RFP TOGETHER TO GET THE BIG STEVE DOORS TO SEE IF WHAT THEY WOULD AND THE BEAUTY ABOUT AN RFP.
THEY PROPOSE, WE MAY TAKE NONE OF THEM, BUT WE GARNER IDEAS FROM TWO OR THREE OF THE BIGGEST BOYS OUT THERE THAT WE MIGHT BE ABLE TO IMPLEMENT OURSELVES OR DO IT ANOTHER WAY.
BUT WE GOTTA GET THAT CARGO UNDER CONTROL TO SEE IF A, I'M NOT SOLD ON FLEXPORT USE.
USUALLY WHEN YOU BUILD SOMETHING FOR TWO PURPOSES, NEITHER ONE OF 'EM WORK VERY WELL IN MY OPINION.
SO I'M NOT SOLD ON THE FLEXPORT USE OF BUILDING PORT A TERMINAL THAT HAS ENOUGH ROOM FOR CARBON.
YOU KNOW, I JUST, IT JUST SOMETHING, I DON'T KNOW IF THAT WORKS.
BUT BEFORE WE GO DO THAT, IF THE RFPS AND THINGS ON THE WEST END SHOW, NO, NO GO.
WE DON'T NEED A FLEX USE TERMINAL.
OBVIOUSLY THAT'S 15 YEARS FROM NOW.
BUT, YOU KNOW, LET'S BUILD, IF WE'RE GOING, IF WE'RE GONNA BE IN THE CRUISE BUSINESS, BE IT FIRST CLASS, TO ME THAT'S WHAT WE OUGHT TO BE WORKING ON RIGHT NOW.
AS WE WIND DOWN CONSTRUCTION OF A LOT OF PROJECTS OVER THE NEXT COUPLE YEARS, WE OUGHT TO BE FIGURING OUT WE DON'T WANT TO TAKE FOR GRANTED.
WE HAVE THE MARKET WE DON'T WANT TO TAKE FOR GRANTED.
WE HAVE THE POPULATION AND ALL THE GOOD THINGS GOING FOR US.
THOSE PASSENGERS GET OFF THAT SHIP.
THEY, WE WANT THEM SINGING, HEY, THIS IS THE BEST PORT, BETTER THAN ALASKA CRUISE, BETTER THAN CARIBBEAN CRUISE, WHATEVER.
AND, UH, IT JUST, WE GOTTA GET OUR SEQUENCE OF EVENTS TO MAKE SURE WE DO THE THINGS IN A WAY THAT GIVES US THE INFORMATION WHEN WE NEED THEM.
I LIKE RICHARD'S CONCEPT OF A MATRIX THAT HELPS US, UH, MORE SUBJECTIVELY, OR NOT SUBJECTIVELY, BUT MORE, UH, TECHNICALLY BE ABLE TO DETERMINE THAT, YEAH, IT'S TIME FOR A NEW CRUISE SHIP TERM.
THIS COMMUNITY IS STRUGGLING RIGHT NOW AND THE PORT IS A BIG PART OF IT, GOOD AND BAD.
WE'RE STRUGGLING WITH, WE'RE GONNA BE A, A TOURIST DESTINATION OR A COMMUNITY.
AND WHERE DOES THAT FINE LINE BALANCE, I'M NOT SURE, FIVE, SIX, 7 MILLION, WHICH WOULD BE DOUBLE WHAT WE GOT NOW IS GOOD FOR THE COMMUNITY SIDE OF THE EQUATION.
AND THERE'S NO RIGHT OR WRONG ANSWER.
THERE'S JUST DIFFERENT ANSWERS TO THAT QUESTION.
BUT, YOU KNOW, THAT'S WHERE WE ARE AND THAT'S WHY THIS BOARD'S SO IMPORTANT AND WE'RE LUCKY TO HAVE PEOPLE WHO ARE WILLING TO, OF YOUR CALIBER WILLING TO DO IT.
UM, BUT JUST GET OUR SEQUENCE OF STUFF DONE AND, AND, UH, YOU KNOW, I LIKE THE GREEN SPACE.
I LIKE THE CONNECTIVITY TO THE THING.
DR. BROWN, THE CITY NEEDS MONEY.
YOU GIVE US $5 MILLION WORTH OF HOT TAX THAT WE WERE GOING TO SPEND ON $5 MILLION OUT OF OUR UNDERFUNDED RESERVES.
WE CAN GIVE YOU $5 MILLION OF RESERVES AND WE'RE GONNA SPEND IT ANYWAY.
GIVE US HOT TEXT TO DO THE PARKS THAT WE'RE GONNA TALK ABOUT WITH, UH, UH, JEFF'S ITEM ON THE AGENDA OUT IN FRONT OF 19 OUT THERE.
THOSE ARE ALL THINGS I'M, I'M CONVINCED THAT THE TOURIST COMMUNITY AND THE HOTEL COMMUNITY WOULD CERTAINLY UNDERSTAND AND APPRECIATE LEGITIMATE USE OF HUNT AND, UH, AND GENERATES MORE.
AND WE OUGHT TO, WE OUGHT TO BE DOING THOSE SOFTER THINGS NOW WHILE WE'RE LOOKING, WHAT'S THE NEXT, NEXT PAGE? SO I, I LIKE, I THINK THE WORK THE PA DID WAS VERY GOOD.
AND, UH, YOU KNOW, COMMUNITY INPUT'S HARD TO GET THE SAME.
50 PEOPLE SHOW UP TO EVERYTHING, YOU KNOW, UH, AND GALVESTON'S GOTTEN BETTER.
WE USED TO HAVE WHAT I CALL A LOT OF CAVES, CITIZENS AGAINST VIRTUALLY EVERYTHING.
[00:45:01]
A LITTLE MORE OPEN MINDED IN, IN WHAT WE WILL ACCEPT.AND SO I LOOK FORWARD, I PROMISE YOU, I WON'T BE BACK UP HERE EVERY WEEK TELLING YOU AND GIVE YOU MY, MY OPINION AFTER THE DAY.
BUT, UH, IT, UH, IT'S, IT'S, WE'RE ON THE RIGHT TRACK.
WE JUST NEED TO MAKE SURE WE SEQUENCE THINGS OUT.
AND AGAIN, REALIZE, JUST NEVER FORGET TWO THINGS.
ONE IS THE FIRST QUESTION NEEDS TO BE IS, IS IT GOOD FOR CALIANS? IF IT AIN'T GOOD FOR CALIANS, DON'T DO IT.
NUMBER TWO IS THE DECISIONS WE MAKE ARE TRULY LONG TERM.
ONCE WE, IT'S HARD TO CORRECT THE 30 40 YEAR LEASE JUST IS.
AND SO, YOU KNOW, THEY, THEY CAN'T BE SEAT OF THE PANTS.
YOU KNOW, THEY'VE GOTTA BE WELL THOUGHT OUT.
WELL, I, JIM, I THINK WHAT YOU'RE SAYING HERE IS RESONATES WELL WITH ME FOR SURE AND RESONATES I THINK WELL WITH THIS ENTIRE BOARD.
UH, I WAS SUPPOSE I THINK TO BRING UP, IF YOU PICKED OUT, IN MY OPINION, ONE TOPIC THAT YOU MENTIONED THAT WE NEED TO REALLY PUT ATTENTION TO RIGHT NOW IS THE TRAFFIC.
WE HAVE GOT TO LOOK AT THIS TRAFFIC AND BE PREPARED TO KNOW WHERE WE STAND WITH TRAFFIC BEFORE WE EVEN CONSIDER LOOKING AND EXPANDING ANOTHER CRUISE AREA.
IN AN IDEAL WORLD, DR. BROWN AND I PREACHED IT FOR A WHILE AND JUST MONEY'S ALWAYS AN OBSTACLE.
THAT PROJECT FOR THAT PELICAN BRIDGE NEEDS TO BE PELICAN TO I 45, NOT FROM PELICAN TO HARBORSIDE.
YOU GET RID OF THAT $250 MILLION GOLDEN GATE BRIDGE AND PUT SOME OF WHAT WE NEED THERE.
UH, BASICALLY A LAND BRIDGE, YOU'D HAVE A HUNDRED MILLION DOLLARS TO MOVE TOWARD FURTHER IMPROVEMENTS DOWN HARBORSIDE TOWARD I 45.
AND THAT NEEDS TO COME IN NOW.
HOW LONG WE BEEN WORKING ON PELICAN ISLAND? IT'S BEEN AT LEAST 15 YEARS THAT I'VE BEEN WORKING ON IT.
AND THEN I GOT AROUND TEDDY AND LOST IT ALL ON HIM.
UM, IT'S A, YOU KNOW, KNOW IT'S A LONG TERM DEAL.
THESE, THESE CRUISE TERMINALS THAT WE'RE TALKING ABOUT ARE CONTEMPLATING DOWN THE 28, 29 30 AREA, POSSIBLY DOWN THE ROAD.
YOU GET THAT PEOPLE, YOU BETTER HAVE A BETTER CONNECTION OF I 45 THAN GOING TO THE STOP SIGN AT, UH, TAMAN ROAD AND TURNING UNDER THE UNDERPASS, WAITING FOR THE TRAIN.
YOU KNOW, YOU'VE GOT TO, WE GOTTA DO IT NOW.
WELL, WE'RE WORKING ON THAT, THAT PARTICULAR PORTION OF IT NOW.
IT'S IN THE DISTRICT FUTURE BUILDING.
WE'VE GOT $2 MILLION TOWARDS THAT NOW.
TECH STOCK'S WORKING TO DO THE FEASIBILITY AND LOOKING AT THAT WHOLE ISSUE, YOU'RE RIGHT.
WE, WE, BUT WE, WE'VE BEEN WORKING ON TRAFFIC SIGNAL ON 33RD AND HARBORSIDE FOR 10 YEARS.
AND I TAKES TIME, BUT WHILE WE'RE ON THIS TOPIC, AND THIS IS JUST ME, POSSIBLY ONLY, BUT MOVING PEOPLE FROM THE PORT OVER TO THE STRAND DOWNTOWN BUSINESSES, WE'VE GOT TO LOOK AT SHOWS.
I KNOW WE TALK ABOUT WALKOVERS AND WE TALK ABOUT THIS AND THAT, BUT THAT HARBOR SIDE IS A BARRIER OUT THERE.
AND NO MATTER HOW YOU AND, AND WALKOVERS AS WE KNOW, SO DARN EXPENSIVE AND WITH THE A DA REQUIREMENTS, WE'VE GOTTA LUCK WORKING WITH THE CITY ON A SHUTTLE PROCESS.
THERE'S TWO, THERE'S TWO PARKING GARAGES ON THE SOUTH SIDE OF HARBOR SIDE THAT THE PORT PROBABLY COULD GET TODAY.
THEY COULD PROBABLY GO TO GALVESTON COUNTY.
THE PARKING GARAGE DOWN THERE ON 21ST STREET IS ALMOST NON-EXISTENT BOOKS.
ANACO IS BUILDING PARKING GARAGE IS PROBABLY 30% RIGHT NOW.
BIG, MAYBE LESS AND GONNA GO DOWN IF WE WORK WITH OUR TRANSIT SHUTTLE PROVIDER, WE COULD HAVE PEOPLE PARKING HERE.
WE COULD DRIVE 'EM RIGHT BY THESE STORES BEFORE THEY GET TO THE PORT.
AND WE'VE GOT ACCESS TO, I DON'T KNOW HOW MANY SPACES THAT WOULD BE.
I'M NEVER, DON'T EVEN KNOW WHAT THE CAPACITY IS ANYMORE.
BUT YOU HAVE ACCESS TO A COUPLE PARKING GARAGES WHERE YOU COULD PROBABLY DO IT ON A SPLIT, THE FEE BASIS.
NOT EVEN MANY OUT OF POCKET MONEY TO GATHER MORE PARKING IF YOU HAD THE RIGHT TRANSIT.
AND, AND THAT TAKES, IT'S A LEARNED HABIT.
UH, THEY DO IT AT THE AIRPORT ALL THE TIME.
AND I PARK FIVE MILES AWAY AND CATCH RENT A VAN THERE FROM PARKING RIDE AND DRIVE UP TO THE TERMINAL.
[00:50:01]
GOTTA TRAIN PEOPLE AND MOVE 'EM IN THE DIRECTION WE WANT THOSE LONG TERM.AND THOSE ARE EXISTING SPACES RIGHT NOW.
NO CAPITAL MONEY OUT OF THE PORT'S POCKET.
PLUS, YOU KNOW, THE DA UH, LEWIS HAS MENTIONED THAT OUR PORT WE'RE GIFTED HERE, THAT OUR PORT COMES RIGHT UP NEXT TO OUR HISTORIC DISTRICT HERE.
AND SO MOVING THOSE PEOPLE AROUND IN THE SHUTTLE SYSTEM AND RUNNING THEM THROUGH, THEY GET TO SEE NOT ONLY GALVESTON AND UNDERSTAND THE IMPORTANCE HISTORICALLY OF GALVESTON, BUT IT SHOWS THEM WHAT THEY CAN DO AS THEY'RE WAITING TO GET ON THAT SHIP OF GETTING ON A SHUTTLE AND COMING DOWN HERE AND COMING TO THE STRAND AREA AND SO FORTH.
AND I THINK THAT ROGER, YOU MENTIONED IT, UH, THE OTHER DAY, I THINK ALONG WITH THAT IS A WAY FOR THEM TO DROP OFF THEIR BAGGAGE SO THEY'RE NOT WORRIED ABOUT IT OR, OR THAT DOESN'T FORCE THEM TO DO SOMETHING THAT THEY, UH, LIKE GO ON THE SHIP PERMANENTLY.
BUT SO WE SHOULD, WE SHOULD MAYBE, I DON'T KNOW IF IT'S INTEGRATED INTO THIS PLAN OR NOT, BUT I WOULD LIKE TO SEE SOME MORE THOUGHT ON ON THAT, A LOCATION FOR THAT.
I MEAN THOSE ARE THE TYPE OF THINGS I THINK THAT MAKE THE PASSENGER EXPERIENCE BETTER.
THOSE ARE THE TYPE OF THINGS, AND YOU CAN DO IT.
I MEAN, RUN 'EM THROUGH THERE.
YOU KNOW, YOU'RE NOT GIVING A WHOLE TOUR GUIDE, DO YOU? NOT, IT'S NOT AN EXCURSION FOR THESE PEOPLE, BUT YOU JUST FILL THAT INTO, I MEAN, NO COST HELPS OUR LOCAL FEE, LOCAL PEOPLE, IT'S MORE ORDER INVOLVED AS WELL.
I MEAN, IF I WERE KING FOR DAY, WE WOULDN'T HAVE ANYBODY WALK THROUGH THE GATES ON OUR PROPERTY.
WE WOULDN'T HAVE TO WORRY ABOUT ACCIDENTS AND ALL THE THINGS THAT KEEP ROGER AWAKE AND THE SECURITY FOLKS AWAKE AT NIGHT.
EVERYBODY SAY WHAT THEY WANNA SAY.
I JUST, I THINK ALL GREAT COMMENTS AND DISCUSSIONS HERE.
I THINK FOR FUTURE BOARDS IT IS REALLY EXCITING.
MEAN I'VE ONLY GOT ONE MORE YEAR HERE, SO IT'S A SHAME.
I WISH I COULD COME BACK AND SEE SOME OF THIS THROUGH.
'CAUSE I THINK AS YOU GUYS HAVE POINTED OUT, THERE'S LOTS OF GREAT OPPORTUNITIES AND THINGS.
I, I THINK THE THING ALSO WAS GONNA COMMENT ABOUT THE CREW.
I WON'T HAVE ANY HERE BY THAT
UH, BUT WITH THE CREWS, I THINK IF YOU GUYS REMEMBER HOW, YOU KNOW, THESE HAVE ALL GONE, YOU KNOW, WE DON'T WANT TO GET AHEAD, YOU KNOW, WE DON'T WANNA DO THE BUILDING AND THEY WILL COME.
BUT IF, IF YOU REMEMBER, I MEAN GOING THROUGH THIS, YOU KNOW, WE BASICALLY, WE END UP WITH ASSIGNED CONTRACTS WITH THE CRUISE COMPANIES, ESSENTIALLY GEAR ALMOST GUARANTEEING THE FINANCIALS BEFORE YOU GO AND BUILD AND INVEST IN THE CRUISE TRUCK.
WHICH IS ONE REASON IT'S HARD TO GET THE, THE CARD AND THE HORSE ALL ALIGNED BECAUSE YOU'VE GOTTA DO ENOUGH WORK ON THE TERMINAL TO UNDERSTAND WHAT IT'S GONNA COST, WHICH MEANS SPENDING SOME MONEY.
BUT THEN YOU DON'T WANT TO FULLY COMMIT UNTIL YOU'VE GOT THOSE SIGNED CONTRACTS WITH THE CRUISE COMPANIES, RIGHT.
WITH THE COMMITMENTS ON THE, THE PASSENGER NUMBERS AND THE GUARANTEES.
SO I THINK IN MY MIND, I THINK IT'S WHEN YOU, YOU HAVE THOSE DEBATES AND MAKE THOSE DECISIONS, YOU WILL HAVE A GOOD, WE WILL HAVE A GOOD FUTURE.
BOARDS WILL HAVE A GOOD UNDERSTANDING IF THAT CRUISE DEMAND IS REALLY THERE BECAUSE YOU'LL HAVE THE SIGNED SIGN FROM THE CRUISE COMPANIES AND, AND THOSE THINGS.
BUT I DO, I AGREE WITH DR. BROWN.
I THINK TRAFFIC IS PROBABLY OUR BIGGEST, IF YOU HEAR, IF I HEAR, YOU KNOW, CONCERNS IN THE COMMUNITY AND COMMENTS, IT IS THAT TRAFFIC ISSUE.
SO PROBABLY THAT COMPREHENSIVE TRAFFIC STUDY SOONER THAN LATER IS PROBABLY SOMETHING THAT WOULD BE WORTHWHILE TO KIND OF POSITION US FOR THAT GROWTH FOR THE NEXT, YOU KNOW, 10, 15 TO 20 YEARS IF WE WANT TO DO SOMETHING.
IN MY OPINION, IF WE WANT TO DO SOMETHING THAT SHOWS THE COMMUNITY THAT WE'RE TRYING TO MAINTAIN THIS BALANCE AND NOT LET IT, THAT TOURISM TAKE OVER THIS COMMUNITY DOING THE TRAFFIC STUDY AND FOLLOW THROUGH, THAT PROBABLY THE BEST THING.
AND AS, AND AS ROGER SAID, I MEAN THERE'S WORK AND YOU'VE GOTTEN ADVOCATED AND GOTTEN THIS MONEY FROM TXDOT TO STUDY CONNECTIONS, BUT I THINK YOU KIND OF WRAPPING ALL THAT TOGETHER IN A FORMALIZED APPROACH WOULD BE I THINK A REALLY GOOD THING FOR THE BOARD.
I THINK ALSO FOR THE COMMUNITY TO KIND OF SEE WHAT'S POSSIBLE AND WHAT, WHAT THE ISSUES, WHAT THE ISSUES ARE THAT WHAT ARE, AS JIM SAID, THOSE SOLUTIONS TAKE A LONG TIME, RIGHT? TRAFFIC SIGNAL 10 YEARS, BUT WE'RE ALMOST THERE.
BUT I MEAN, BUT WHICH YOU CAN SAY WELL SHOOT, WHY BOTHER? WELL, BUT IF YOU DON'T START, IT'S STILL ANOTHER 10 YEARS.
RIGHT? BUT IF YOU, IF YOU START AND GET THE WORK GOING, IT WILL GET DONE.
SO THE SOONER YOU START, THE SOONER YOU GET IT DONE.
YOU KNOW, ON ONE HAND WE MAKE MONEY ON CARS AND WELL THIS TRAFFIC, TRAFFIC IS CARS.
SO PUTTING THE BALANCE ON THAT IS WHAT'S VERY IMPORTANT.
I AGREE WITH DR. BROWN ON THE TRAFFIC STUDY.
'CAUSE IT ALSO GOES BACK TO WHAT JIM SAID.
YOU KNOW, GOOD TO, TO COME OFF OF A CRUISE SHIP AND SAY, HEY, THIS IS GREAT, BUT THEN TO GET STUCK IN 10 MINUTES
[00:55:01]
OF TRAFFIC TRYING TO GET HOME.SO YOU, ALL OF THAT IS PART OF THE EXPERIENCE.
LOUIS, WE READY? SHE THE ONE TO SAY SOMETHING.
FIRST I WANTED TO SAY THANK YOU.
I'VE BEEN REALLY PLEASED WITH EVERY STAGE OF THE DEVELOPMENT OF THIS UPDATED MASTER PLAN.
YOU GUYS HAVE DONE A FINE JOB.
I THOUGHT THAT, UM, THANK YOU.
THE EVENT, UM, A COUPLE YEARS AGO WAS VERY, VERY SUCCESSFUL.
AND I SAW PEOPLE REALLY ENGAGING RATHER THAN JUST COMING TO HAVE A CUP OF COFFEE.
THEY REALLY ENGAGING IN THE PROCESS.
UM, ONE OF THE POINTS THAT I THOUGHT THAT YOU MADE THAT UM, PERHAPS IS THE GREATEST POINT IS THAT THIS ISN'T A COMPETITION BETWEEN CREWS AND CART CARGO.
WE HAD A, UH, WE HAD A MEETING, WE CALLED IT A SPECIAL MEETING BACK IN THE SPRING BECAUSE MY GOOD FRIEND RICHARD MOORE SAID SOMETHING ABOUT A MORATORIUM AND IT, I DIDN'T USE THAT.
AND IT, AND IT KIND OF BLEW UP.
AND ALL OF A SUDDEN, ALL OF A SUDDEN CONCERNS ON THIS BOARD BECAME, UH, HATERS OF CREW.
ALTHOUGH NONE OF US EVER FELT THAT WAY.
UM, I SPEAK FOR MYSELF, BUT I ALSO SPEAK FOR MY, UM, COLLEAGUES ON THIS BOARD.
UH, THERE ISN'T ANYBODY ON THIS BOARD THAT IS AGAINST CRUZ.
WE ARE FOUR CONTROLLED, THOUGHTFUL GROWTH OF CREW.
AND SO, UM, THANK YOU VERY, VERY MUCH FOR MAKING THE POINT THAT THE COMPETITION IS PERHAPS FOR THE FUNDS, BUT NOT FOR THE INDUSTRY.
THE THIRD THING I'D LIKE TO SAY IS THAT IT'S A BIT IRONIC TO ME THAT WE ARE HERE ON NEARLY THE LAST DAY OF AUGUST TALKING ABOUT HOW WE NEED A TRAFFIC PLAN.
WHEN IN FACT, IN TWO AND A HALF MONTHS, THREE MONTHS, WE ARE OPENING ANOTHER CRUISE TERMINAL.
AND I'VE BEEN ON THIS BOARD ALMOST FOUR YEARS.
I CAN'T REMEMBER A MEETING WHEN WE DIDN'T TALK ABOUT TRAFFIC AND PARKING.
WE DID A, A, A, WHAT I CALL THE TRAFFIC LIGHT, UM, STUDY.
IT WAS, YOU KNOW, UH, AS IT NEEDED TO BE.
BUT NOW HERE WE ARE, UM, OPENING THIS FOURTH TERMINAL CONTEMPLATING A FIFTH TERMINAL.
AND WE REALLY DON'T HAVE A SOLID PLAN FOR WHERE, HOW WE'RE GOING TO GET THESE PEOPLE INTO TOWN AND HOW WE'RE GONNA GET THEM OUT OF TOWN AND LET THEM HAVE A GOOD EXPERIENCE WHEN THEY LEAVE GALVESTON.
SO THEY'LL SAY GOOD THINGS ABOUT GALVESTON.
SO, UM, I'M DISAPPOINTED IN THAT.
AND, YOU KNOW, WE, THOSE OF US WHO WILL STILL BE ON THIS BOARD, WE'VE JUST GOT TO MAKE THIS A PRIORITY AND, AND MAKE EACH OTHER AND, AND THE STAFF UNDERSTAND THAT THIS IS RIPPLE.
IT IS NOT, YOU KNOW, A LUXURY, IT'S NOT A NEGOTIABLE.
'CAUSE IT IS THE THING THAT PEOPLE TALK ABOUT IN THIS COMMUNITY, MOST OF ALL.
AND IF YOU COME DOWN ON SATURDAY MORNING, YOU, YOU KNOW, JUST COME TO EXPERIENCE IT.
UM, FINALLY I WANTED TO SAY THAT THE MEETING WITH, UH, BETWEEN THE TWO BOARDS, THE WORST BOARD AND THE CITY COUNCIL WAS SCHEDULED FOR THIS WEEK, BUT WAS CANCELED.
BUT NOW THERE IS GONNA BE A PRESENTATION BY I THINK, UM, NICK AND ROGER AND I WON'T BE ABLE TO ATTEND AS A BOARD MEMBER.
'CAUSE YOU'LL GO AND JEFF WILL GO AND THE MAYOR WILL BE THERE.
AND IF IT'S NOT POSTED, I CAN'T BE THERE.
SO I CAN'T IN REAL TIME HEAR, UH, WHAT'S BEING DISCUSSED WITH COUNCIL, WHICH I THINK IS OF UTMOST IMPORTANCE.
I WANT TO HEAR WHAT THEY HAVE TO SAY AND I GUESS I CAN WATCH THE TAPE LIKE EVERYBODY ELSE DOES.
NOT REALLY MY IDEA OF SERMON ON THE BOARD.
BUT ANYWAY, UH, I I HOPE WE CAN FIGURE THAT OUT.
THE KEY THING IS WE GET THAT BACK THOUGH.
WE LIKE THIS FIRST STARTED, REMEMBER WE WERE THE KIND OF THE, THE REVIEW BOARD FOR THE END OF IT.
WELL WE HAVE, I I, I WISH WE COULD BE THERE, BUT, UM, I THINK, I THINK LIKE ROGER SAID, WE, THERE'S, THERE'S, YOU KNOW, THERE'S TIME.
WELL, COULD I ASK, EXCUSE ME? SURE.
I DIDN'T MEAN TO INTERRUPT TONY.
IT'S, IT'S JUST YOU COULDN'T, WE JUST HAVE TO SEND THE AUDIENCE AND NOT PARTICIPATE.
WE WE'RE GOING TO TALK ABOUT IT IN THE EXECUTIVE SESSION.
UM, ANYWAY, UM, LOUIS, THANK YOU.
I THINK WE'RE ON THE RIGHT TRACK.
WE'VE CERTAINLY GOT, UM, SO MUCH,
[01:00:01]
SO MANY WONDERFUL THINGS GOING ON IN THE COURT.I'M IN NO WAY TRYING TO DIMINISH THAT, BUT WE STILL HAVE SOME PRETTY KEY, VERY PIVOTAL THINGS THAT WE HAVE GOT TO PUT SOME TIME AND MONEY INTO BEFORE WE ASK THIS COMMUNITY TO, UH, GROW FORWARD WITH GROUPS.
SHEILA, CAN I MAKE JUST ONE COMMENT ON YOUR COMMENT? WE DID HAVE A JOINT MEETING WITH CITY COUNCIL SCHEDULED FOR TOMORROW, AND SO THE PUBLIC KNOWS IT WAS AT CITY COUNCIL'S REQUEST AT THE MEETING COUNCIL AND WE WERE READY, WILLING, AND ABLE TO MEET.
Y'ALL ARE A LITTLE BUSY WITH BUDGETS.
ANY OTHER COMMENTS ON THIS? UM, I STILL HAVE OPTIONS TO DISCUSS WHAT, TOO LONG, TOO MANY YEARS BACK.
WE DIDN'T HAVE ANYTHING TO DISCUSS.
WE WERE DISCUSSING HOW WE GONNA PAY THOSE.
ARE WE GONNA MEET NICK? BUT LEWIS, THANK YOU.
ANYTHING FURTHER FROM YOU? THANK YOU.
THANK YOU VERY MUCH FOR YOUR COMMENTS.
[D.1 CFO REPORT/CONSENT AGENDA]
SEE.SO NOW WE'RE GOING BACK TO THE BUSINESS ITEMS, THE CONSENT AGENDA.
AM I ON THE RIGHT PLACE, Y'ALL? YEAH, IT DID COME IN ONE PUBLIC DD ONE.
OKAY, SO D ONE IS THE CFO REPORT AND THE CONSENT AGENDA.
WELL, I'M GOING TO MOVE, TRY TO MOVE RATHER QUICKLY THROUGH THE PRIMARY PART OF THE CONSENT AGENDA.
UM, AT A PRETTY LONG SESSION ALREADY FOR THE MONTH OF JULY FOR MONTH, MONTH OF JULY, WE HAD 3.4 MILLION IN, UH, NET INCOME, 6.5 IN OPERATING REVENUES, 3.3 IN OPERATING EXPENSES.
REVENUES WERE 700,000 ABOVE, ABOVE THE BUDGET.
OUR BUDGET OPERATING EXPENSES WERE ABOUT A HUNDRED, UH, THOUSAND OVER BUDGET.
AND OUR NET OPERATING INCOME WAS ABOUT 700,000 UNDER BUDGET.
OPERATING INCOME, UH, REALLY WAS WHAT WAS DRIVING THAT WAS THE, THE TIMING WE HAD ON THE TECH, ON, ON GRANT REVENUES.
THAT'S PORT SECURITY GRANTS AND T STOCK GRANTS.
MOVING OVER TO SHOW YOUR FINANCIAL YEAR TO DATE, ONE OF THE THINGS YOU'LL SEE, UH, AS YOU COME DOWN OUR, UH, CASH, WE HAD NET INCOME OF 3.4 MILLION FOR THE MONTH OF, UH, MONTH OF, UH, JULY.
AND THEN ALSO ONE POINT OUT THAT WE HAD CAPITAL EXPENDITURES OF 4.7 MILLION.
NOW AUGUST, WHAT THE FIRST WEEK IN AUGUST WAS A WAS A BIG MONTH OR A BIG WEEK FOR CAPITAL OUTLAY.
THAT WAS GRANT, EXCUSE ME, THAT WAS DEBT FUNDED OUTLAY.
SO JUST THE NORMAL BLOW OF TIMING AND GETTING INVOICES APPROVED AND PAID.
UH, IT MAKES JULY SEEM ARTIFICIALLY LOW.
UH, I THINK WE HAD ABOUT 9 MILLION WENT OUT THAT THAT WEEK.
THEN GOING INTO FINANCIAL REVENUES, UH, OVERALL OUR FINANCIAL REVENUES WERE 700, ABOUT 700,000 HIGHER THAN, UH, BUDGET WAS STILL EXCEEDING LAST YEAR BY 4%.
AND THE ACTUAL, IT WAS ACTUALLY 12% HIGHER THAN, UH, OPERATING INCOME, UH, FROM BUDGET NON-OPERATING INCOME.
AGAIN, WHAT'S DRIVING THAT IS, UH, TIMING OF THE GRANTS.
EXPENSES OF OUR EXPENSES ARE WITHIN 1% OF OUR BUDGET.
THERE'RE ACTUALLY SLIGHTLY HIGHER.
UH, AND REALLY THE REPAIRS AND MAINTENANCE IS WHAT'S DRIVING THAT TO BE HIGHER FOR THE MONTH.
REPAIRS AND MAINTENANCE WE SCHEDULE.
IT IS HARD TO SCHEDULE WHEN SOMETHING'S GONNA BREAK AND WE'RE
[01:05:01]
GONNA HAVE TO REPAIR.THAT'S THE REAL DRIVER ON THAT.
ANY QUESTIONS ON THE MONTH? IF NOT, WE'LL JUST MOVE RIGHT INTO THE YEAR TO DATE.
YEAR TO DATE, REVENUES WE'RE 900,000 OVER WHAT WE ORIGINALLY BUDGETED.
IT'S DUE TO A MIXTURE OF DIFFERENT PIECES BEING HIGHER AND LOWER.
THEY, I WAS ON THE WRONG SLIDE.
UH, OUR OPERATING EXPENSES YEAR TO DATE, IT'S HALF A MILLION UNDER BUDGET.
OUR NON-OPERATING INCOME, THERE AGAIN, WE'RE GETTING HAUNTED BY THE TIMING OF THE TDOT AND PORT SECURITY GRANTS.
WERE ABOUT 4.8 MILLION UNDER WHERE WE HAD BUDGETED.
OVERALL, OUR NET INCOME IS 30.5 MILLION PER YEAR.
FINANCIAL SUMMARY TODAY, LET'S LOOK, LET'S LOOK AT THE, UM, OUR NET INCOME.
WE'RE RUNNING A, WE'RE RUNNING SLIGHTLY UNDER ABOUT 10% UNDER BUDGET RIGHT NOW.
A LOT OF THAT IS IN OUR, UM, WELL, OUR NET INCOME IS ABOUT 33.2 MILLION UNDER, AND OUR NET OPERATING INCOME IS ABOUT 1.6 MILLION UNDER WHAT WE HAD PROJECTED.
AND THEN CASH FLOWS, WERE RUNNING ABOUT 15 MILLION AND CAPITAL EXPENDITURES YEAR TO DATE, WE HAD BUDGETED TO HAVE SPENT ABOUT 140 SO FAR BECAUSE OF TIMING.
UH, WE'VE ACTUALLY SPENT ABOUT 103 MILLION.
UM, THAT'S CATCHING UP QUICKLY IN AUGUST, YOU'RE GONNA SEE, UH, A BIG CHUNK OF CAPITAL EXPENDITURES OUT OF DEBT MONIES.
FINANCIAL REVENUES FOR THE YEAR, YEAR TO DATE TOTAL INCOME FROM OPERATIONS WE'RE RUNNING JUST, WE'RE RUNNING WITHIN, UM, A LITTLE OVER 2%, A LITTLE UNDER RATHER 2% OF NET INCOME FROM OPERATIONS.
UH, THE LARGE, THE LARGER AMOUNTS WE HAVE THAT WE'RE UNDER ON ARE RAIL.
WE HAD BUDGETED, UH, AND WE'RE RUNNING ABOUT 278,000 UNDER.
AND THEN LAY DOCKAGE OF COURSE WITH LAY DOCKAGE, WITH THE DOCKS CLOSED AT THE WEST END, WE'RE NOT ABLE TO HANDLE AS MUCH LAY DOCKAGE AS WE HAD PROJECTED.
MARK, WE'RE OVER, WE'RE NOT UNDER, WE'RE OVER, WE'RE OVER THE REVENUES.
DID I SAY UNDER? YEAH, RUNNING OVER.
UM, THE TWO AREAS THAT WE'RE DOWN ON THOUGH ARE LAY DOCKAGE AND, UH, SWITCHING.
I MEAN, WARPAGE ITSELF IS 11% ABOVE BUDGET, AND THEN DOCKAGE IS 45% ABOVE BUDGET YEAR TO DATE.
SO WE'RE GETTING, WE'RE GETTING THE DOGEN MORE THAN WE ANTICIPATED.
THAT ALSO HELPS TAKE AWAY FROM, UH, PERIOD TIME FOR LAY DOCK.
SO I THINK YOU ALSO HAVE TO POINT OUT THAT PASSENGER COUNTS ARE FOR, ARE UP ALMOST 4%.
AND, AND THOSE DOLLAR, THOSE ARE LARGE DOLLARS.
YOU SOUND TOO MUCH LIKE AN ACCOUNTANT.
WELL, LET'S JUST LOOK AT THE PIE CHART AND SEE WHERE THE REVENUE WAS FOR THE YEAR.
UH, PASSENGER FEES, YOU, YOU'LL NOTICE IT WAS, UH, 22 WENT RIGHT AT 23%.
THEN YOU HAVE, UH, LATE OUTAGES DOWN TO 2.8.
BUT THE OTHER BIG ONE IS NON-OPERATING INCOME IS 27.3%.
UH, AND THEN REAL ESTATE'S RUNNING ABOUT 9%.
NOW, REAL ESTATE INCLUDES THE, UH, FUNDS WE GET FROM
[01:10:01]
ROYAL CARIBBEAN FOR THE LAND LEASE.SO REALLY A GOOD BIT OF REAL ESTATE IS ATTRIBUTABLE TO CRUZ.
WE ARE UNDER WHAT WE HAD BUDGETED BY 2.3%.
SO OUR EXPENSES ARE RUNNING, WE'RE RUNNING OUR EXPENSES LOWER THAN WHAT WE HAD ANTICIPATED OVERALL.
AND IF YOU GO DOWN THE SCHEDULE, THE ONLY AREA THAT'S OVER BUDGET OR IN OTHER OPERATING EXPENSES, WHICH THAT INCLUDES, UH, SHUTTLE BUSES, SOME OF THE, UH, CONTRACT POLICE OFFICERS AND THINGS LIKE THAT.
AND ON OUR INSURANCE THAT'S RUNNING ABOUT 2% AND ALL OTHER AREAS ARE RUNNING UNDER BUDGET.
SAID THAT MIKE, MIKE SAID THAT, UH, MARK.
BUT IS THERE SOMETHING GONNA COME ALONG AND CATCH UP THIS UTILITY UNDER, UNDER IT REAL QUICK? AUGUST MIGHT.
YEAH, IT'S, THAT'S REALLY A FLUCTUATION OF HOW EFFICIENT AND HOW MUCH, UH, ENERGY WE HAD TO USE.
REMEMBER WE HAD TO RUN A MILD WINTER, RIGHT? WE HAD A MILD SPRING, UH, JULY IN AUGUST.
IF IT'S ANYTHING LIKE MY HOUSE, IT'S GONNA CATCH UP.
UH, WE DO TRY TO, WE DO TRY TO SCHEDULE THAT BUDGET THAT SEASONALLY FOR THE SUMMER MONTHS.
BUT, UH, YOU KNOW, I, I KNOW, I DON'T KNOW ABOUT Y'ALL'S HOME, BUT MY HOME IN JULY AND AUGUST ARE LOOKING.
IT'S NASTY WHEN I LOOK AT MY ELECTRIC BILLS COMING IN AND I'M SURE THE CREWS IS, BUT PLUS THE CREWS IS CHANGING OUT SOME OF THE COMPRESSORS ON, ON THE AC UNITS.
THEY'VE UPDATED, THEY'VE REPLACED SOME OF THE AC UNITS THEMSELVES.
SO THAT SHOULD INCREASE ON THE EFFICIENCY.
ALRIGHT, HERE'S THE YEAR TO DATE.
EXPENSES, EMPLOYEE EXPENSES ARE RUNNING A LITTLE OVER 25%.
THAT'S GONNA GO UP TO A HIGHER PERCENTAGE STARTING IN DECEMBER.
WE WILL, UM, DEEM THE CRUISE TERMINAL USED AND USEFUL IN NOVEMBER.
AND THE FIRST FULL MONTH OF DEPRECIATION WILL BE IN DECEMBER, AND IT WAS BUDGETED FOR THAT.
BUT YOU'RE GONNA SEE IT AS A DEPRECIATION DECREASE FOR AS A PERCENTAGE OF OUR YEAR TO DATE EXPENSES.
UH, I'LL LET Y'ALL PERUSE THIS.
WE HAVE GOT THE ALLOCATION, UH, ISSUE RESOLVED.
SO YEAR TO DATE, ALLOCATIONS ARE MORE APPROPRIATE, UH, BASED ON REVENUES.
AND THEN WHEN YOU LOOK AT THE BOTTOM LINE AFTER ALLOCATIONS, YOU'LL SEE THE BIG PIECES OF DEPRECIATION.
NOW, CARGO WILL SEE A BIG JUMP IN DEPRECIATION, UM, STARTING AROUND THE END OF THE YEAR.
AND, UH, SO WILL CRUISE, THEY'LL SEE A LARGER, A LARGER DOLLAR AMOUNT FOR DEPRECIATION.
SO THAT'S GONNA HIT BOTH OF THOSE AREAS.
UM, WELL PLUS PARKING, WE WILL HAVE A GARAGE.
WELL, AND CARGO'S PROBABLY NOT GONNA HIT UNTIL, YOU KNOW, A THIRD OR A FOURTH INTO NEXT YEAR.
AND THE FOURTH OR THIRD, I MEAN, IT WILL BE COMING.
YEAH, IT'S NOT GONNA BE COMING ONLINE UNTIL FIRST QUARTER, NEXT YEAR OR SO.
WE'RE RUNNING 167,000 BELOW BUDGET.
UH, WE HAVE SPENT 198,000 FOR TRAVEL AND TRAINING THAT THERE'S A GOOD BIT OF TRAINING WE HAVE TO DO EACH YEAR.
UM, THEN WITH THIS FEE, AND SOME OF THAT REQUIRES TROUSERS.
OUR CASH POSITION, OUR TOTAL CASH IS 116 MILLION, UNRESTRICTED 21.6, LEGALLY RESTRICTED, 85.7.
AND THAT IS DWINDLING AS IN AUGUST.
YOU'LL START SEEING THAT GO DOWN EVEN MORE AS WE SPEND THE MONEY ON CT 16.
[01:15:01]
REMEMBER INTERNALLY RESTRICTED THIS MONIES THAT WE SET ASIDE.UH, UM, AS FAR AS WHEN WE PRODUCE THE ANNUAL PUBLISHED FINANCIAL REPORTS.
INTERNALLY, RESTRICTED AND UNRESTRICTED ARE COMBINED VENDOR REGISTERS CHECKS TO LOCAL VENDORS.
WERE 44% OF OUR ORDINARY OPERATING PAYMENTS.
NON-LOCAL VENDORS WE'RE 5.5 MILLION.
AND NON-OPERATING VENDORS ARE 4.4.
THAT'S THINGS LIKE, UM, INSURANCE, PAYMENTS TO THE CITY, THINGS OF THAT NATURE.
THAT ISSUE THAT'S, UH, AGING ON THE 90 DAYS AS OF THIS MORNING, THE 278,000 OVER 90 DAYS AS WE'VE COLLECTED 186.
AND WE, WE HAVE RECEIVED INFORMATION FROM SEVERAL OF OUR VENDORS THAT PAYMENTS ARE IN PROCESS AND WE SHOULD BE RECEIVING THEM, UH, IN WITHIN THE NEXT WEEK TO SEE IF THAT HAPPENS.
IT'S STILL CHECK, IT'S KINDA LIKE CHECKS IN THE MAIL.
OH, I DIDN'T CHANGE THAT, SORRY.
AND THEN A LITTLE BIT CLOSER, LOOK AT THE, THE, UH, CA CURRENT CASH POSITION AND TRUSTEE YARBOROUGH.
WE'VE GOT YOUR CHART DOWN THERE.
THE REMAINING, UH, COMMITTED BALANCE OF 20 MILLION, UH, COMPARED TO OUR UNRESTRICTED COUNT IS 21 MILLION.
IF YOU ADD OUR TOTAL INTERNALLY RESTRICTED AND OUR UNRESTRICTED TOGETHER, IT'S ABOUT 31 MILLION.
ANYONE HAS ANY QUESTIONS OR HAPPY TO ANSWER? WE'RE GETTING THERE.
I HAD QUESTIONS OR COMING PLEASE.
I'M GONNA CHANGE SLIDES REAL QUICK.
WE HAD, UH, WE'RE EIGHT EMPLOYEES UNDER BUDGET RIGHT NOW.
UH, THEY'RE PREDOMINANTLY IN CONSTRUCTION AND MAINTENANCE AND IN THE CRUISE.
TERMINAL CREWS WILL BE, CREWS WILL BE GEARING UP TOWARD OVER THE NEXT TWO MONTHS.
I BELIEVE THEY'RE TRYING TO HIRE AS QUICKLY AS THEY CAN FIND PEOPLE.
WE'LL MOVE ON TO THE MAYOR'S SLIDE.
NOW, YEAR TO DATE, WE'VE GIVEN THE CITY $1.9 MILLION.
THAT DOES NOT INCLUDE THE $2 MILLION THAT WE CONTRIBUTED TOWARD THE BRIDGE.
I DON'T THINK, I THINK THE CITY HAD TO TURN THAT OVER TO TDOT, BUT WE DIDN'T THINK IT WAS APPROPRIATE TO INCLUDE IT.
AND WE GOT OUR MONEY OR 2 MILLION FROM PORT OF HOUSTON HERE.
SO YEAH, THAT'S WHERE WE ARE RIGHT NOW.
SO, AND THEN NEXT SLIDE IS NOTHING MORE THAN DOCKAGE DISCOUNTS FOR THE MONTH.
ANYONE HAS ANY QUESTIONS ON THAT? BE HAPPY TO, UH, RESPOND.
OKAY WITH THAT, LET'S TALK ABOUT THE BUDGET.
AGAIN, THE STAFF IS STARTING TO WORK ON THE BUDGET.
THERE'S A COUPLE OF KEY DATES THAT WE'RE GONNA NEED IMPORT INPUT FROM THE BOARD.
UH, PORT STAFF IS WORKING ON THIS TARGETING TO HAVE IT READY FOR ROGER AND I TO SIT DOWN WITH THE BUD WITH THE BUDGET TEAM.
UH, SHORTLY AROUND 10, AROUND THE END OF OCTOBER, THE WEEK OF NOVEMBER 3RD.
UH, WE'D LIKE TO MEET WITH THE FINANCE COMMITTEE.
[01:20:01]
PICK THE DATE AND YOU MAY WANT TO DECIDE THAT.AND THEN, UH, THE GOAL IS TO BRING THE BUDGET TO THE BOARD IN NOVEMBER 18TH MEETING THAT I WILL ADD.
IF WE WANT TO INCORPORATE THE STRATEGIC PLAN.
WE MAY HAVE TO PUSH IT TO DECEMBER.
I REALLY DON'T WANT TO PUSH IT.
I HOPE I DON'T HAVE TO PUSH IT TO DECEMBER.
BUT ANYWAY, THAT'S THE GENERAL GUIDELINES THAT WE'RE USING FOR THIS YEAR.
UH, KEEP, THE FIRST KEY IS GETTING WITH THE FINANCE COMMITTEE TO GO OVER IT, GET Y'ALL'S INPUT, UH, MAKE CHANGES AND OUR ADJUSTMENTS, WHATEVER Y'ALL, DEAN.
AND THEN, BUT THAT'S SOMETHING WE'LL WE CAN LOOK AT AT THE NEXT BOARD MEETING.
NOW, COUPLE OF OTHER THINGS THAT ARE GOING ON THAT DIDN'T, IT'S NOT ON THIS SLIDE.
THE, UH, IT'S ALSO THE BEGINNING OF AUDIT SEASON FOR US.
COMING UP, ENTERING FIELD WORK STARTS IN LATE SEPTEMBER, EARLY NOVEMBER.
UM, THEY'LL START DOING THE INTERIM INTERIM AUDIT AND THEN COME BACK IN FEBRUARY, LATE FEBRUARY TO WRAP UP THE REMAINING AUDIT.
AND, UH, WE'LL CONTINUE ON TILL WE GET THE ACT FOR PUBLISHED.
AND THEN THE OTHER, THE OTHER TWO AREAS THAT MY STAFF IS WORKING ON VERY DILIGENTLY ALONG WITH, WITH ENGINEERING AND, AND I SHOULDN'T SAY ENGINEERING, CNM, IS THE FIELD SERVICE MANAGEMENT IMPLEMENTATION AND THE, UH, CONVERSION THAT Y'ALL APPROVED US MOVING FROM OUR CURRENT TIMEKEEPING SYSTEM, NOVA TIME AND MIGRATING INTO NETSUITE.
WHAT'S GOING ON THERE AND GIVING YOU AN IDEA OF WHAT OUR, WHAT OUR TIMELINES ARE RUNNING.
IT'S, IT'S NEXT FEW MONTHS GONNA BE BUSY FOR US.
ANY QUESTIONS ON THAT? WHAT DAY WORKS BEST FOR Y'ALL FOR THAT MEETING ON WHAT YOU WANTED TO MEET WITH FINANCE COMMITTEES? IS IT EARLY IN THE WEEK? LATER IN THE WEEK? OH, I'D SAY I'D PREFER ME.
I'M GONNA PUSH IT BACK AS FAR AS I CAN.
UM, IT'S REALLY UP TO Y'ALL ANY DAY THAT WEEK.
TALKING OUT FIRST WEEK, NOVEMBER, NOVEMBER, NOVEMBER, NOVEMBER, NOVEMBER, NOVEMBER.
AND, UM, YOU KNOW, WE, WE GOT BOARD APPOINTMENTS ABOUT TO BE MADE.
SO, AND THEN SEPTEMBER IS THE ANNUAL BOARD MEETING.
SO BE THINKING OF IF Y'ALL CAN BE THINKING ABOUT IT.
AND THEN WE WILL, WE'LL TARGET A DATE THAT WE, WE, WE NEED TIME TO, WE NEED, I JUST, WE NEED A DATE.
SO WE HAVE IT THAT BACKS UP OUR DATE TO HAVE A DRAFT READY TO DISTRIBUTE TO THE BOARD SO WE CAN HAVE DISCUSSIONS IF Y'ALL WOULD BE THINKING ABOUT IT.
I'D LIKE TO PASS THIS NOTE TO THE MAYOR.
UH, ANNUAL, THE MONTHLY INCOME, 56,920 86 CENTS.
THEN YOU ADD THE PILOT OF HUNDRED 57, 500 ANNUALIZING THROUGH JULY PLUS THE PILOT.
KEEP GOING UP BECAUSE WE HAVE, WE HAVE THE WIN APPROVED SEASON.
IT STARTS RAMP, RAMP TERMINAL.
PARDON? WELL, IT'S ONLY GOING UP.
IT'S ONLY GOING, WE, WE PUT INTO OUR BUDGET, UH, FOR THIS COMING YEAR, 3.9, WHICH WILL BE ON THE BUDGET THE NEXT YEAR FOR 2026.
26 TO PASS THAT BACK OF A NAPKIN.
[01:25:01]
AT 90%.SO 20% DISCOUNT AT $1 A DAY IS OVER IS 540,000 THE NEW GARAGE THAT'S, THAT'S ON TOP OF, THAT'S A NICE REVENUE STREAM CLOSE TO THAT CAP.
DIDN'T MEAN TO BE PARTNERS,
YEAH, WE JUST ROUND IN THE PENNIES.
ANY FURTHER QUESTIONS, MARK? WELL THEN WE GO TO THE, WELL WE STILL HAVE THE MASTER CLAIM CAPITAL SCHEDULED.
GO OVER TO WRAP UP THE CONSENT AGENDA.
THE ONLY CHANGES WERE THE CHANGES THAT WE APPROVED IS THE LAST MEETING.
THEY'RE ON THE FRONT PAGE THERE WITH THE, THE, THE MOB OR WHATEVER YOU CALL IT.
ANY QUESTIONS ABOUT THAT? I THINK THE PLAN IS, IS, YOU KNOW, AS WE MOVE FORWARD ON THIS UPDATED MASTER PLAN, THEN WE, I THINK WE'LL COME BACK AND HAVE DISCUSSIONS ABOUT AND ALL THOSE KIND OF THINGS.
SO THAT'LL HAPPEN IN THE NEXT COUPLE OF MONTHS.
AND THEN WE'LL START, YOU KNOW, I THINK AT THE END OF THE YEAR, BE NEW SCHEDULE GO EVERY MONTH.
ALL NO MORE QUESTIONS ON THE UPDATE TO THE, UM, CAPITAL PLAN.
DO YOU WANNA, DO YOU GUYS WANT APPROVE? UM, SO IS THERE A MOTION TO APPROVE THE CONSENT AGENDA? SECOND, ANY DISCUSSION? ALL THOSE IN FAVOR STAND.
[D.2 Discuss and Consider for Approval a Budget Amendment Policy - Trustee Lidstone and Trustee Yarbrough ]
NOW WE'RE AT POLICY POLICY, WHICH WE, UM, EITHER THAT ONEAND, AND IT WAS, IT WAS ALSO ON HARD COPIES ON YOUR TAPE.
WE'VE LOOKED AT THIS, UH, A DRAFT OF THIS POLICY AND IT'S NOW BEEN BROUGHT TO US FOR A, UM, FINAL RECOMMENDATION.
IF YOU'RE NOT READY TO FINALLY RECOMMEND IT.
ANY DISCUSSION? ARE Y'ALL GONNA VOTE ON SOMETHING? I I WAS JUST GONNA HAVE A SURE.
MY, MY BIAS WITH POLICY PREPARATION IS TO USE AS FEW WORDS AS POSSIBLE MM-HMM
THEY'RE, THEY'RE WELL WRITTEN, BUT THEY'RE A LITTLE BIT OVERLY AUTHORITY IN MY OPINION.
SO, BUT THERE, THERE IS JUST THE LAST SAY SENTENCE ON PAGE ONE IS REALLY KIND OF REPEATED ON PAGE TWO.
AND YOU'VE GOT THE EVENTS OCCURRING POST-APPROVAL.
THEY'RE LI THEY'RE LISTED AND THEN YOU'VE GOT 'EM LISTED, A, B, C.
SO YOU COULD PROBABLY ELIMINATE ONE OF THOSE, MAYBE THE PARAGRAPH AT THE BOTTOM OF PAGE ONE TO MAKE IT, AND I DON'T CARE IF WE PROVE IT TODAY, JUST KEEP IT GOING.
CONTINUE TO REFINE IT THE WAY WE WANT IT AND IMPROVE IT.
SUBTASK THERE'S A COUPLE OF OTHER TYPOS WHICH I CAN TELL ANGIE ABOUT SEMANS.
AND IN MY, I MY WHOLE REASON FOR BRINGING BUDGET AMENDMENT UP WAS KIND OF BROUGHT TO FOCUS A COUPLE MONTHS AGO.
UM, I THINK IT WAS TWO MONTHS AGO WHEN WE HAD THAT, THAT MASTER PLAN UPDATE THAT WE JUST TAB NINE, YOU KNOW, THERE WAS ONE PROJECT THAT CAME IN HALF A MILLION DOLLARS LESS THAN WHAT
[01:30:02]
WE HAD BUDGETED OR ANTICIPATED.AND MY WHOLE REASON FOR BUDGET AMENDMENT IS I DON'T, I WANNA KNOW WHAT HAPPENS TO THAT MONEY IF MANAGEMENT IS GONNA TAKE THAT HALF MILLION DOLLAR SAVINGS.
AND THEN WE PUSHED TWO OR THREE PROJECTS BACK FURTHER.
'CAUSE WE WEREN'T AS FAR ALONG WITH THE FRONT END TO TO SAY WE WERE GONNA SPEND MONEY ON CONSTRUCTION OF A PROJECT.
SO THEY WERE PUSHED TO A FUTURE NEXT YEAR TYPE BASIS.
BUT I WANNA MAKE SURE IS THAT WE HAVE A POLICY IN PLACE THAT IF MANAGEMENT COMES IN AND SAYS, HEY, WE'RE WE BUDGETED 5 MILLION FOR THIS CAPITAL PROJECT, WE'RE ONLY GONNA SPEND 4.5, WE GOT A HALF A MILLION DOLLARS AVAILABLE EXCESS.
I WANNA MAKE SURE THE BOARD DIRECTS THAT EXCESS, NOT MANAGEMENT.
THAT WAS ONE OF MY, THE OTHER THING IS, AND I KNOW ROGER HAS STATED HE DOESN'T DO A LOT OF BUDGET AMENDMENTS, NONE REALLY.
I WANNA MAKE SURE THAT IF, AND I HATE TO USE THIS EXAMPLE, BUT IF TRAVEL IS UNDER BUDGET LIKE IT IS ON TODAY, MARK'S REPORT BY 200,000, ROGER CAN'T TAKE THAT 200,000 AND GO MOVE IT TO PERSONNEL BECAUSE THE BENEFITS COST MORE THAN WHAT WE THOUGHT.
IF THE MONEY'S GONNA BE MOVED FROM ONE OF THOSE LINES, AND IT DOESN'T HAVE TO BE EVERY DOLLAR, BUT IT'S SOME DOLLAR LIMIT, I'D SAY WHATEVER ROGER'S PURCHASING AUTHORITY IS DOLLAR LIMIT.
UM, I JUST, I DON'T WANT MANAGEMENT TO BE ABLE TO, NOT INTENTIONALLY NOTHING NEFARIOUS, BUT PLAY A SHELL GAME AND MOVE MONEY AROUND.
THEN WHEN WE LOOK AT ACTUALS AND HERE TO DATES AND STUFF, THEY ALL KIND OF MATCH UP REAL NICE.
WE NEED TO KNOW IF WE'RE CONSISTENTLY UNDER BUDGETING SOMETHING OR OVER BUDGETING SOMETHING IN THE NEXT BUDGET CYCLE.
WE CAN CUT BACK A LITTLE HERE AND ADD A LITTLE HERE.
SO I WANNA MAKE SURE WE DON'T HAVE MANAGEMENT TAKEN OVERAGES OR UNDER BUDGET OVER HERE AND MOVING IT TO SOMEPLACE WHERE WE'RE OVER BUDGET WITHOUT THE PORT OF KNOWLEDGE.
THAT'S, THAT'S THE WHOLE PURPOSE OF THE BUDGET AMENDMENT PROCESS IN MY MIND.
AND I WOULD, AND I WOULD COMMENT ON THAT SAYING WE'VE NEVER, I MEAN YEAH, WE DON'T DO THAT.
I MEAN, IT JUST STAYS IN THE GENERAL FUND UNTIL THE NEXT PROJECT WE BRING OR, OR UNTIL THE NEXT.
I MEAN, WE'RE NOT, IT'S NOT LIKE I'M SAYING, I'M NOT LIKE I'M TAKING THIS 500,000 TO RUN OUR BUDGET AND WE'RE GONNA MOVE IT OVER HERE AND THEN, AND, AND HIRE MORE PEOPLE.
I MEAN, THAT, THAT'S NOT THE WAY WE OPERATE.
OR YOU CAN'T ALSO ADD CERTAIN FINISHES NOW TO THE PROJECT SINCE IT'S OUR, YOU KNOW, LET WELL, LET'S GO AHEAD AND UPSCALE THAT.
WELL, AND IT'S A LITTLE BIT, AND HERE AGAIN THIS, IT'S THE MUNICIPALITY ACCOUNTING THAT'S ACCOUNTANTS HAVE ACCOUNTING AND THEY HAVE A POT, RIGHT? AND IF THEY DON'T USE ALL THAT MONEY, THEN SOMEBODY'S ASKING, WELL, WHERE'S THE REST OF THAT MONEY? RIGHT.
AND FROM OUR STANDPOINT, IT JUST STAYS IN THE BALANCES.
I MEAN, WE DON'T SPEND IT OTHER THAN YOU, I'LL PUT IT THIS WAY, YOU PROVE EVERYTHING WE DO.
EVERYTHING, YOU KNOW, THAT, UH, WE HAVE ANY MAJOR PROJECTS OR ANYTHING OF THOSE MAGNITUDES, ANYTHING OVER $50,000 YOU CAN APPROVE ANYWAY AND YOU'RE GONNA SEE IT.
SO, I MEAN, I I JUST WANT TO MAKE SURE THAT THAT GETS CLARIFIED BECAUSE YEAH.
AGAIN, YEAH, AGAIN, I'M, I SAID IT BEFORE, IT'S BAD BUSINESS TO DEVELOP POLICY AROUND PERSONALITIES.
YOU NEED TO HAVE POLICIES IN PLACE TO GOVERN THE INSTITUTION.
AND IF ROGER'S HERE, HE DOES IT ONE WAY.
IF SOMEBODY ELSE COMES IN, DOES IT ANOTHER WAY.
WE'VE GOT SOME CONSISTENT POLICIES THAT KEEP 'EM IN THE, THAT'S ALL I'M, I'M INTERESTED IN IS JUST TO MAKE SURE THAT IF WE'RE MOVING MONEY FROM AROUND IN THE BUDGET, THAT THE BOARD IS AWARE OF IT.
IF IT'S OVER A CERTAIN DOLLAR AMOUNT AND WE DON'T MOVE ANYTHING AROUND BUDGET.
BUT I WOULD, I WOULD SAY, YOU KNOW, OH, LIKE FOR INSTANCE, WHEN YOU LOOK AT THE FINANCIALS TODAY, UM, WE'RE $250,000 UNDER ONE EXPENSE BUDGET WISE.
AND YOU KNOW, IN THE CYCLICAL NATURE OF SOME OF THE THINGS THAT WE DO, WE DON'T ALLOCATE CONSISTENTLY OVER EVERY MONTH THE SAME AMOUNT.
SO THAT'S WHY WE ALWAYS SAY, AND I I, I CAN'T THINK OF ANY KIND OF A FINANCIAL REPORT THAT MARKS EVER SAID AND NOT USE THE WORD TIMING.
I, BECAUSE IT TIMING IS, IS EVERYTHING FROM OUR STANDPOINT.
UM, WE, WHEN WE BUDGETED THOUGHT IT WAS GONNA HAPPEN THAT MONTH, BUT IT DIDN'T, BUT THE MONEY DIDN'T GO ANYWHERE.
I MEAN, IT'S, WE STILL CONSISTENTLY REPORT WHEN YOU'RE NOT ON A CASH BASIS.
IT'S NOT, IT'S INSIGNIFICANT AS FAR AS TIMING.
AND I, I CAN INTERJECT THAT I'VE BEEN IN 15
[01:35:01]
YEARS, WE HAVE NOT MOVED ANY DOLLARS FROM A BUDGETED LINE ITEM WITHOUT THE BOARD'S KNOWLEDGE.IT Y'ALL, WHAT? WHATEVER THE BUDGET IS PASSED, THAT BUDGET IS ETCHED IN STONE.
WE'LL REPORT ACTUALS AGAINST THE BUDGET.
WE MAY BE OVER IN SOME AREAS UNDER OTHER AREAS, BUT WE DO NOT MOVE THE BUDGET AROUND FROM LINE ITEM TO LINE ITEM.
WE DON'T DO BUDGET AMENDMENTS.
WELL, WE, YOU WE'RE NOT GONNA MOVE MONEY FROM LINE TO LINE AND WITHOUT BOARD NOISE.
THE ONLY TIME WE'VE DONE BUDGET AMENDMENT SHORTEN US
THAT WAS THE BIGGEST BUDGET AMENDMENT WE HAD.
AND THEN WE DID A BUDGET AMENDMENT WHEN BASED UPON GAP WE HAD TO BRING FORWARD.
UH, WELL THE, WE GOT SOME GRANT MONEY IN THE LAST MONTH, I THINK TAIL END OF THE YEAR WAS SPENT THAT WE HAD TO PUT INTO 24 THAT WE HAD BUDGETED IN 25.
I THINK THAT'S WHAT YOU'VE DESCRIBED.
I MEAN THAT'S WHAT YOU'VE DESCRIBED IN THIS THING.
JUST WHAT YOU'RE JUST SAYING IS, IS THAT, YOU KNOW, YOU KNOW, SIGNIFICANT EVENTS, WE'RE ALL GONNA BE, WE'RE GONNA COME TO THE BOARD.
AND, AND, AND AS, AS, AS A, WE MENTIONED IN THE PAST, THIS, THIS TIMING OF THE GRANT MONEY, UM, YOU KNOW, WE WENT AND CHANGED THAT, RIGHT? WE WENT AND CHANGED THE BUDGET FOR THAT.
AND SO THIS IS, AND THAT WAS AN ITEM THAT WAS BROUGHT TO THE, YOU KNOW, BROUGHT TO OUR ATTENTION.
THE, BUT THE BOARD LOOKED AT IT FOR A COUPLE OF MONTHS TO SEE IF ANYTHING WAS GONNA CHANGE AND IT DIDN'T.
AND SO WE CHANGED, WE DID AN AMEND BUDGET.
WILL, AND THEN, WELL IT JUST SOUNDS TO ME LIKE MARK AND ROGER, THE PRACTICE THEY HAVE RIGHT NOW IS THE RIGHT WAY TO DO IT.
WE JUST WANNA BE ABLE TO MAKE SURE THAT THAT'S THE PRACTICE MOVING FORWARD MEMORIAL.
AND, AND THAT'S, I THINK THAT'S A GOOD IDEA.
WE DO RETURN, UH, MY, MY CONCERN IN NOT HAVING A BUDGET POLICY IS THAT INEVITABLY, UH, THE BOARD IS GOING TO WANT TO REALLOCATE RESOURCES DURING A FISCAL PERIOD.
AND I JUST, I I THINK, UH, WE SHOULD HAVE A POLICY THAT PROVIDES FOR THEM.
I MEAN, IF YOU CAN, RICHARD, CAN YOU GIVE AN EXAMPLE OF THAT? I DON'T KNOW SINCE I'VE BEEN ON THE BOARD THAT THE, THE BOARD HAS NEVER SAID LET'S REALLOCATE OR SOME, SO I JUST KIND OF LOOKING SO WE CAN WRITE THIS UP AN EXAMPLE OF WHAT YOU'RE TALKING ABOUT.
WELL, I, I HAVE SOME SAMPLES THAT YOU COULD, THAT YOU CAN USE TO WRITE, TO WRITE FURTHER ON IT.
BUT I, YOU KNOW, IF, IF WE WERE, UH, IF IF SOMETHING HAPPENED DURING THE YEAR AND THERE WAS LESS, LESS CARGO MOVEMENT AND WE WERE WAY DOWN IN CARGO AND THERE WAS SOME FUND BALANCE THERE THAT WE NEEDED TO USE IN SOME OTHER AREA, I THINK WE SHOULD HAVE THE FLEXIBILITY.
THE BOARD NOT, I'M NOT, I'M NOT SAYING THAT MANAGEMENT SHOULD, I'M SAYING THE BOARD SHOULD HAVE THE FLEXIBILITY TO MAKE A BUDGET CHANGE.
WELL, THE BOARD BOARD HAS, BUT I KNOW, I KNOW THE I KNOW, I KNOW WE DO, BUT WE DON'T HAVE A POLICY.
I DON'T BELIEVE WE HAVE A POLICY THAT SAYS HOW THAT'S DONE.
I THINK MARK'S TAKES NOTES ON THIS.
SO, YEAH, BECAUSE YOU YOU MENTIONED FUND BALANCE, WE ARE CONSIDERED AN ENTERPRISE.
WELL, I MEAN, I DIDN'T MEAN FUN THEN.
IF YOU WANT TO LIKE, CONTINUE WORKING ON IT.
I WAS JUST GONNA SAY TOWARDS, IT'S LIKE WE MENTIONED CAPITAL PROJECTS.
SO YOU TALK ABOUT THIS YEAR TALKS ABOUT OPERATING EXPENSES BEING SIGNIFICANTLY DIFFERENT.
MAYBE YOU WANT TO ADD MORE CAPITAL PROJECTS JUST TO, IN YOUR EXAMPLE LIST, THAT WAS, BECAUSE WE TALKED ABOUT THE EXAMPLE OF THE HALF A MILLION DOLLARS THAT WE WANTED TO MAKE SURE THE BOARD HAD CONTROLLED.
WHERE THAT, WHAT YOU USED THAT, THAT $500,000 SAVINGS ON A PROJECT FOR, AND WHICH WE HAVE NOT MOVED AWAY.
BUT JUST SAYING MAYBE ADD THE CAPITAL PROJECT TO THAT OPERATING EXPENSES.
'CAUSE THAT WAS AN EXAMPLE THAT'S BEEN BROUGHT UP.
[01:40:01]
THAT WE, UM, LOOK AT THIS INDIVIDUALLY AND SEND OUR WORDSMITHING EDITING WHATEVER TO, TO ROGER.UM, AND THEN WE'LL PUT THIS ON THE AGENDA FOR NEXT MONTH AND SEE IF WE CAN COME TO SOME CONSENSUS AROUND IT.
[D.3 Discuss and Consider for Approval Development of an RFP to install ATMs in all Cruise Terminals - Trustee Lidstone and Trustee Yarbrough ]
ITEM THREE, DISCUSS AND CONSIDER FOR APPROVAL AND DEVELOPMENT OF AN RFP TO INSTALL ATMS IN ALL CREW TERMINALS.IT GOES BACK TO MY EARLIER COMMENTS ABOUT MAKING THE CUSTOMER EXPERIENCE AS GOOD AS IT CAN BE.
AGAIN, I'M NOT TAKING A CRUISE SHIP OUTTA HERE, SO I DUNNO IF THEY HAVE ATMS ON THE CRUISE SHIP, BUT NOBODY TAKES, NOBODY TAKES CASH.
I MEAN, THAT'S ONE OF THE THINGS, THE COMMENT, WE, WE TALKED ABOUT THIS IN STAFF IS THAT THE CRUISE SHIPS DON'T TAKE CASH ON ON BOARD.
AND THEN THE, THERE IS A, IS, UH, MAINTENANCE REQUIREMENT OF, UH, YOU KNOW, SOMEBODY COMING OUT AND FILLING THE MACHINE AND SOMEBODY'S USING IT.
AND I THINK WE'VE, WE'VE LOOKED AT THIS ONE OTHER TIME AND, UH, YOU KNOW, SO I DON'T, UM, WE'RE NOT OPPOSED TO IT.
I MEAN, WE'RE NOT OPPOSED TO IT.
I MEAN, ONE OF THE GOOD THINGS IF SOMEBODY WAS COMING OFF THE SHIP AND COULD GET CASH AND THEN COME OVER HERE AND SPEND IT RIGHT DOWN.
YEAH, I MEAN, AGAIN, I HAVE A LITTLE BIT OF EXPERIENCE WITH THE ATM STUFF.
YOU KNOW, THERE'S VERY LITTLE WORK ON BEHALF OF THE PORT, WHICHEVER VENDOR YOU SELECT, THEY CASH THE MACHINE, THEY PAY, THEY RUN THE CASH AND STUFF.
THERE'S NO CAPITAL INVESTMENT.
AND THE GETS PROCEEDING IS NOT GONNA BE, IT'S NOT A MONEY MAKING OPERATION.
IT'S GONNA IMPACT OUR FINANCIALS.
BUT IT'S, IT'S, AGAIN, AND IT MAY NOT, MAY NOT BE A CUSTOMER SERVICE, IT MAY NOT BE ANYBODY USING, BUT I JUST HAVE HEARD SEVERAL, NOT A LOT, BUT SEVERAL STORIES WILL GO GET OFF THE, OFF THE SHIP AND THEY DON'T HAVE ANY CASH TO MANEUVER BECAUSE THEY LOST IT ON THE SHIP OR THEY SPIN IT OFF, ONE OF THEM
AGAIN, I DIDN'T KNOW ANY OTHER WAY TO DISCUSS IT OTHER THAN TO DISCUSS IT.
JUST AGAIN, TRYING TO FIND A WAY TO MAKE CUSTOMER EXPERIENCE THE BANKING EXPERT.
WELL, WHAT I, WHAT I WOULD DO IS LET'S CHECK WITH THE, THE DIFFERENT CRUISE COMPANIES AND SEE WHAT, WHAT THEIR EXPERIENCE IS AND WHAT THEY'RE, LET'S GET SOME, IF THEY HAVE ANY FEEDBACK OR OTHER, YOU COULD PUT 'EM IN, IN, IN THE PUBLIC AREA.
SECURITY SEEMS TO VIDEO WANTED TO TIP IS WHAT, BELIEVE ME.
THE ONLY NEED YOU HAVE IS FOR DOLLAR DOLLAR BILLS.
THAT'S, THAT'S, BUT IF YOU GET TWENTIES, THAT DOESN'T REALLY HELP THEM.
THAT'S ALL I WANTED WAS JUST TO GET SOME DUE DILIGENCE ON IT.
I THINK THAT'S, YEAH, I GO SEE ONE.
[D.4 Discuss and Consider for Approval a Cash Reserve Policy - Trustee Lidstone and Trustee Yarbrough ]
ITEM FOUR, DISCUSS AND CONSIDER COURT APPROVAL.AGAIN, THIS HAS BEEN DISCUSSED A FEW TIMES AND WE'VE HAD A, UM, A, A GOOD PROTOTYPE SENT TO US.
SO I'LL JUST GO THERE FOR DISCUSSION.
SHEILA, UH, SIR, SINCE WE LAST MET, THE MORE I THOUGHT ABOUT IT, I'VE KIND OF CHANGED MY, MY APPROACH ON IT.
ONE, I DO THINK WE NEED A POLICY THAT DEALS WITH THE QUOTE, UNRESTRICTED CASH.
BUT IN LIEU OF A DEBT SERVICE, WE'VE ALREADY GOT AN OFFICIAL LEGALLY REQUIRED DEBT SERVICE.
YOU PUT A NAME ON SOMETHING, ALL OF A SUDDEN IT GETS EARMARKED FOR THAT AND IT, IT GETS TO BE A LITTLE POLITICAL OR A LITTLE TOUCHY.
WHETHER YOU USE IT FOR ANOTHER PURPOSE, I THINK A BETTER WORD, INSTEAD OF A DEBT SERVICE RESERVE WOULD BE A CAPITAL REPLENISHMENT FUND.
AND TO ME, UH, IT GETS US OUT OF WHERE WE DON'T EVEN NEED THAT LITTLE CHART ON THAT CASH, UH, FLOW OR THAT CASH POSITION.
UH, WHAT I'M THINKING IS A POLICY THAT WOULD'VE US, UH, SET UP A CAPITAL INFRINGEMENT FUND.
AND AT A BARE MINIMUM, WE OUGHT TO PUT OUR DEPRECIATION NUMBER, WHICH IS A NON-CASH ITEM IN THAT FUND EVERY YEAR.
THAT'S WHAT IT'S THEORETICALLY FAR IS YOU DEPRECIATE THOSE ASSETS AND AT THE END OF THAT LIFE, YOU SHOULD HAVE CASH AVAILABLE TO REPLACE THE COMPRESSOR OR THE ROOF OR THE TECHNOLOGY THAT'S IN A BUILDING.
AND THE BUILDING ITSELF, AND AGAIN, OUR DEPRECIATION IS GONNA TOP OUT HERE PRETTY SOON AT 13, 14 MILLION A YEAR MARK, 12 MILLION,
[01:45:02]
OUR DEPRECIATION JUST UP TO 20.YOU SHOWED THAT TODAY, RIGHT? YEP.
I, I DIDN'T, I DIDN'T CATCH THAT.
I THOUGHT ANYWAYS, BUT AT AT LEAST WE OUGHT TO STRIVE AS A POLICY AND A GOAL TO MOVE THE DEPRECIATION INTO A CAPITAL REPLENISHMENT FUND EVERY YEAR.
AND IT WON'T TAKE IT AT 20 MILLION A YEAR.
YOU KNOW, TWO OR THREE YEARS YOU'LL HAVE, YOU'LL HAVE A MASS, PRETTY GOOD CASH POSITION FOR YOUR CAPITAL.
THAT LITTLE PROJECTS GRANT MATCHES, ALL THAT STUFF WOULD COME OUT OF THAT TYPE OF FUND OR RESERVE.
SO I THINK SLIDING AWAY FROM DEBT SERVICE, ADDITIONAL DEBT SERVICE, WHICH IS SOMEWHAT REDUNDANT.
AND IF, IF WE NEEDED IT FOR DEBT SERVICE, YOU'VE GOT IT FOR YOU.
FLEXIBLE ENOUGH TO MOVE IT OVER.
IF THE BOTTOM FALLS OUT FOR A FEW MONTHS AND WE DON'T HAVE THE MONEY IN OUR DEBT SERVICE ACCOUNT, WE HAVE MONEY AVAILABLE FOR THAT DEBTS.
AND I LIKE, AS OPPOSED TO A PERCENTAGE, I GUESS I'M USED TO IT.
I LIKE SO MANY MONTHS OF OPERATING EXPENSE.
NOT THE NON-OPERATING STUFF, BUT THE OPERATING EXPENSE.
AND THAT WAY IT'S NOT, YOU KNOW, IT, IT CHANGES WHEN THE BUDGET GOES UP.
NEXT YEAR EXPENSES GO UP AND WE DON'T QUITE HAVE IT AND WE JUST ADD A LITTLE BIT MORE TO IT TO GET UP TO THE THREE MONTHS OR WHATEVER, 120 DAYS, WHATEVER THE BOARD IS COMFORTABLE WITH.
BUT TO ME, UH, SINCE WE'RE STARTING KIND OF FROM SCRATCH OR CLOSE TO ZERO WHEN WE PAY ALL THIS STUFF OUT, YOU KNOW, STRIVING TOWARDS THREE MONTHS WOULD BE A WORTHY GOAL.
SO THAT'S AGAIN, AND I, A COUPLE OF COMMENTS THAT I WOULD, THAT WOULD, UM, REQUEST I GUESS THAT I WOULD MAKE WOULD BE FOR US TO, AS WE GO THROUGH THIS PROCESS, BUDGET PROCESS OKAY.
THAT WE'RE HEADING INTO RIGHT NOW AND THE MASTER PLAN UPDATE THAT WE TAKE THOSE KIND OF, TAKE THAT INFORMATION AS OUR BASIS FORWARD.
SO, I MEAN, I'D RATHER THAN US SAYING TODAY, LET'S SET THIS UP.
LET'S, WE'RE GOING THROUGH THESE TWO PROCESSES, WHICH ARE OUR BIGGEST EXPENDITURES, OUR OPERATING REVENUES AND EXPENSES AND OUR CAPITAL PROJECTS.
SO WE'RE GOING THROUGH BOTH OF THOSE NOW.
AND, AND, AND I WOULD, I WOULD COMMIT, UM, AS PORT DIRECTOR OVER THE NEXT TWO TO THREE MONTHS THAT ONCE WE GET THROUGH THESE NUMBERS, THEN WE HAVE A CURRENT BASIS FROM WHICH TO MAKE THESE DECISIONS BECAUSE WE'RE GONNA, WE'RE GONNA GO TO THIS CAPITAL PROJECT WORKSHEET, RIGHT? AND THEN WE'LL TAKE WHATEVER COMES OUT OF THIS UPDATED MASTER PLAN AS I MENTIONED EARLIER, AND UPDATE THAT CASH.
AND THAT IS A, A STAPLE, UH, PROJECT FOR US.
EVERY, I MEAN THAT'S A STAPLE, UM, STATEMENT THAT WE USE EVERY MEETING NOW TO, TO SEE WHERE WE ARE CHANGES IN WHERE WHEREVER WE ARE.
AND SO THIS CAN GIVE US AN IDEA OF WHAT WE THINK THIS IS WHERE THE, I THINK THAT THE BOARD WILL, WILL BE, WILL BE LOOKING AT IT HERE IN THE NEAR FUTURE TO SAY, OKAY, WHAT IS IT WE WANT? RIGHT? WHAT IS IT WE WANT TO DO AND WHAT ARE WE GONNA REFLECT IN THE CAPITAL PROJECT WORKSHEETS? BECAUSE THAT'S, THIS IS WHERE, THIS IS WHERE THE RUBBER MEETS THE ROAD, RIGHT? REALLY ACTUALLY, WHEN WE GO THROUGH THIS WHOLE PROCESS, UM, YOU KNOW, THEN WE'RE GONNA BE ABLE TO DETERMINE WHERE THE BOARD WANTS TO GO IN TERMS OF THE NEXT CAPITAL PROJECTS, WHICH ARE THE, WHICH ARE THE BIGGIES FOR US.
BECAUSE ANYTHING THAT WE, ANY CASH FLOW THAT WE GET FROM CRUISE BUSINESSES, AS WE'VE DONE, AS WE'VE SEEN, HAS GONE INTO THE REPORT.
AND SO THIS IS THE NEXT STEP HERE, I THINK, IS WE'RE GONNA HAVE SOME NEW NUMBERS FROM TWO ANGLES AND LET'S, WE CAN TAKE THAT APPROACH TO SEE WHAT THIS BOARD WANTS US TO DO NEXT.
RIGHT? I, I HAVE NO PROBLEM WITH ANY OF THAT.
I MEAN, I NOT EXPECT AN APPROVAL TODAY.
AND IT MAKES SENSE TO, AND I DON'T WANT TO GET INTO THE COMFORT ZONE.
IN MY MIND, THIS IS NOT, THE RESERVE POLICY IS NOT A SUBSTITUTE FOR BUDGET.
WE'RE NOT GONNA PUT MONEY OVER HERE FOR CAPITAL AND THEN NOT BUDGET ANYTHING FOR CAPITAL.
BUT OUR BUDGET NEEDS TO CONTAIN NORMAL CAPITAL EXPENDITURES THAT WE WOULD DO IF WE DIDN'T HAVE A RESERVE.
THE RESERVE IS, WE DIDN'T BUDGET FOR AN AIR CHILLER AND THE THING WENT OUT IN JULY.
WE GOTTA GO REPLACE IT, TAP YOUR RESERVE TO GO DO THAT, REPLENISH YOUR RESERVE IN THE APPROPRIATE AFTERMATH OVER TIME.
SO IT'S NOT A SUBSTITUTE FOR A CAPITAL BUDGET.
YOU'RE GONNA STILL BUDGET IN YOUR NORMAL NOVEMBER, DECEMBER BUDGET AND SO MUCH CAPITAL BASED ON YOUR MASTER PLAN AND WHAT'S GONNA BE DONE IN THE NEXT 12 MONTHS.
THIS IS FOR THE RAINY DAY UNEXPECTED, TRULY UNEXPECTED DEAL.
OR WHEN IT COMES TIME FOR THE MAJOR STUFF, HOPEFULLY WE'LL HAVE ENOUGH
[01:50:01]
CASH TO REDO THE ROOF AND NOT HAVE TO GO BORROW THE MONEY FOR THE ROOF.AND THE OTHER THING I DIDN'T MENTION IS THERE IS THE ASPECT OF REPAIRS AND MAINTENANCE BUDGET.
WE HAVE A REPAIRS AND MAINTENANCE BUDGET, WHICH IS ON YOUR P AND S.
IN OTHER WORDS, WE, WE EXPENSE THOSE ITEMS 'CAUSE WE THINK WE'RE GONNA DO THOSE EVERY YEAR.
SO THAT BECOMES THE OPERATING NUMBER.
AND THEN THE OTHER THING YOU MENTIONED, I HEARD YOU SAY SOMETHING ABOUT A COMFORT ZONE, BUT WHERE IS THAT? I MEAN, WE KNOW WHAT THE COMFORT ZONE I PERCENT FOUR 30 LAST NIGHT AND THERE WAS NO COMFORT ZONE.
A HUNDRED PERCENT, A HUNDRED PERCENT RESERVES, YOU KNOW, UM, NO, IT, IT, AGAIN, IT, IT'S, THAT'S THE, THE PROBLEM WITH SOME OF THESE SUBJECTIVE TERMS IS IT'S BY DEFINITION OF COMFORT, YOURS IS DIFFERENT.
BUT SOME INDUSTRY STANDARD OF HOW MUCH MONEY WE NEED TO HAVE IN, IN BACK.
I MEAN WE PUBLIC ENTITY, YOU KNOW, IF WE HAVE TOO MUCH, THEN THE CITY GONNA WORK WITH THAT.
WE GET TOO MUCH IN THAT COMFORT ZONE.
THE CITY'S GONNA WANT TO TAKE A BY BIGGER SLICE.
RICHARD, AND AND AGAIN, SORRY, SORRY RICHARD.
I WAS, UH, MY, MY MAIN INTEREST IN THAT THIS PARTICULAR POLICY WAS TO PROVIDE US ACCESS TO CASH.
SHOULD WE BE IN A SITUATION SUCH AS JUST AFTER A HUGE STORM OR SOMETHING LIKE THAT.
OR IF, UH, NO SAILOR WE HAVE ANOTHER PLAGUE OR SOMETHING LIKE THAT THAT, THAT WE CAN ACCESS, UM, TO FUND OPERATIONS.
'CAUSE OUR, OUR REVENUES HAVE JUST FALLEN OFF DRAMATICALLY.
SO MAYBE MY FIRST QUESTION IS, IS DO WE, DO WE TRULY HAVE AN OFFICIAL ACCESSIBLE FACILITY TO GET CASH IF WE, IF WE'RE CUT OFF FROM REVENUE? ARE YOU TALKING INTERNALLY OR EXTERNALLY? I DON'T.
WELL, I MEAN, WE DON'T SET ASIDE MONIES FOR EMERGENCY FUND, RIGHT? I MEAN, WE OPERATE, YOU KNOW, YOU SEE IT, I MEAN WE'VE BEEN, WE'VE BEEN, WE REPORT IT EVERY MONTH.
SO YOU CAN SEE THE CATEGORY THAT WE, WE PUT ALL OF OUR CASH IN.
UM, AND SO IF, IF WHAT WE'RE SAYING HERE IS, IS WE WANT TO SET UP SOME KIND OF EMERGENCY FUND.
YOU MEAN OBVIOUSLY WE'RE IN, WE'RE INSURED, BUT THERE IS SOMETIMES THAT GAP, RIGHT? YES.
THERE'S A GAP BETWEEN WHEN THE EVENT HAPPENS AND WHEN YOU POSSIBLY END UP FIGHTING WITH THE INSURANCE COMPANY GOING OVER A PAYDAY OR SOMETHING LIKE THAT.
LIKE THE CITY HAS A FACILITY, IF I UNDERSTAND IT CORRECTLY, TO UH, ACCESS CASH.
I THINK IT'S THROUGH THE, IS IT THROUGH THE DISTRICT? WE HAVE A LINE OF CREDIT, LINE OF CREDIT TALKING ABOUT A LINE OF CREDIT.
DO, DO WE, DOES THE COURT HAVE A LINE OF CREDIT OR DOES IT HAVE AN OFFICIAL AGREEMENT WITH THE CITY TO USE THEIR LOAN CREDIT? YEAH, THE CITY GAVE US A BLANK CHECK.
NO, I THINK IT'S A GOOD POINT.
I MEAN, I THINK MAYBE WE CAN, WE CAN, YOU KNOW, TAKE A LOOK AT LAST, WE TAKE A LOOK AT THE HISTORICAL NEEDS DURING THE, UM, YOU KNOW, AN EVENT.
AND SEE WHAT THAT, HOW THAT LOOKED.
I MEAN, YOU KNOW, WE, YOU KNOW, HAVE ALWAYS, I MEAN I THINK THAT EVEN VIC HAS SAID TO US AS A BOARD, YOU KNOW, IF WE NEED SOME KIND OF CREDIT FACILITY.
I MEAN MY, MY DRUTHERS IS, IS, IS AS YOU HAVE SAID, IS TO, TO HAVE THE CASH AVAILABLE.
I DON'T THINK THEY'RE MUTUALLY EXCLUSIVE THOUGH.
I THINK IF WE HAD A, A CASH RESERVE THAT WE COULD USE IN A SITUATION LIKE THAT AND IT WAS TARGETED ON 120 DAYS OF OPERATING TYPICAL OPERATING EXPENSES, I THINK THAT WOULD MEET MOST ANYONE'S CONCERN.
HOWEVER, I DON'T THINK HAVING ACCESS TO A LINE OF CREDIT, SHOULD WE GO THROUGH THAT? THIS IS ALL AT BOARDS.
YOU KNOW, THE BOARD WOULD'VE TO APPROVE THIS AS WE GO ALONG.
UH, I THINK, I THINK WE PROBABLY SHOULD HAVE BOTH.
AND MY BIAS WOULD BE DEFINITELY TO HAVE A OPERATING RESERVE FUND THAT WE COULD, WE COULD USE.
JIM, YOU'RE HITTING THE MAIL RIGHT ON THE HEAD.
WE, WE TALKED ABOUT IT AT ONE TIME.
TONY SAID WE COULDN'T HAVE A LINE OF CREDIT.
BECAUSE WE TALKED ABOUT IT IN THE VEIN OF EMERGENCY MANAGEMENT PREPARATION.
WE'RE GOING THROUGH CHANGE IN TIMES FOLKS.
THERE AIN'T GONNA BE NO MORE FE MONEY
[01:55:01]
AND BE A QUASI SOURCE OF THAT RECOVERY MONEY AND THE NEW PLAN.AND MY ATTITUDE IS, IF THE PORT LEGALLY CAN'T GO GET A LINE OF CREDIT FOR ANY OF THESE PURPOSES, THAT'S FINE.
BOARD NEEDS, WE NEED TO MAKE A DECISION WHETHER WE WANT ONE, WE WANT TO HAVE ACCESS TO YOU LOOK AT THE NUMBERS.
I MEAN, FIRST THING YOU'RE GONNA DO IS WE'RE GONNA STOP ALL CONSTRUCTION AND NOT PAY OUT ANY MORE MONEY.
AND HOPEFULLY THAT 20 MILLION'S AVAILABLE TO GIVE US SOME CASH INFUSION UNTIL INSURANCE PAYMENTS AND WHATEVER RECOVERY MONEY COME.
BUT IF WE CAN'T DO A LINE OF CREDIT, WE'LL TO GO TO THE CITY, IF THE BOARD WANTED TO GO TO THE CITY AND SAY, HOW BIG IS Y'ALL'S LINE OF CREDIT OVER THERE? 50 MILLION, MAKE IT 75 AND WE'LL PAY THE 1% OR WHATEVER THE FEE IS FOR A LINE OF CREDIT IF THE BOARD WANTS TO AND HAVE ACCESS TO THE CITY TO HAVE ACCESS TO 25 MILLION.
'CAUSE IF WE, IF, IF WE NEED AN EMERGENCY LOAN OR WHATEVER, I MAY BE WRONG, TONY, YOU CAN CORRECT ME.
UH, IF WE ISSUE TWO DIMES WORTH OF CREDIT, WE GOTTA GET CITY APPROVAL.
SO IT'S NOT AN EASY PROCESS OR A QUICK PROCESS TO GO ACCESS CASH IN THE NEXT 30 DAYS IF WE HAVE AN EVENT.
SO AN ALTERNATIVE, IF WE CAN'T DO IT, IS WORK WITH THE CITY TO SAY, HEY, UP YOUR LINE OF CREDIT TO 75 MILLION, WE WANT 25 OF 'EM.
WE'LL PAY THE EXTRA FEE FOR THE EXTRA 25 MILLION.
YOU'RE PAYING THE FEE FOR THE UN UNUSED MONEY.
THEY GET A COMMITMENT, THEY GET, THEY PAY A COMMITMENT FEE.
OKAY, I'D LIKE TO RUN THE YEAH, MAKE SURE THAT'S FEASIBLE AND JUMP THROUGH THE HOOPS TO GET APPROVAL.
AND YOU KNOW, EVERYBODY KNOWS WHAT WE'RE DOING.
BUT IF THE BOARD THINK THAT EMERGENCY FUND IS, WE'VE ON THAT SO WE CAN COME OUT MAYOR, SURE.
AND THE CITY, UH, ACCORDING TO OUR CHARTER, WE HAVE TO MAINTAIN A MINIMUM OF 90 DAYS OF OPERATING IN A RESERVE OR FUND BALANCE AT THE CITY.
UH, AND, UH, BECAUSE OUR, AND THIS IS THE SAME FOR THE PORT, THE CONSTRAINTS ON FEMA THAT GETTING FUNDING FROM, AS JIM MENTIONED, THAT THOSE STUDIES ARE GONE.
UH, NOW WE'LL GET SOMETHING POSSIBLY FROM THE FEDERAL GOVERNMENT, UH, WHAT CONCERNS THE CITY IS THAT'S BEEN TRANSFERRED A LOT OF THAT TO THE STATE, BUT THE STATE DOESN'T SEEM TO BE TALKING ABOUT THAT
SO, UH, THAT'S, THAT'S SOMETHING THAT WE HAVE TO KIND OF WATCH CLOSELY.
WE DO HAVE THE LINE OF CREDIT OF 50 MILLION AND WE SURE COULD LOOK AT MAYBE WORKING OUT SOME ARRANGEMENT.
I'M HAPPY TO ACKNOWLEDGE IN THE POLICY, WE'RE NOT, WE DON'T MEET THE POLICY THE DAY WE, THE DAY WE APPROVE A POLICY.
AND I HAVE NO PROBLEM PUTTING THAT IN BIG, BOLD LETTERS.
THIS IS OUR POLICY, THIS IS OUR GOALS, WE'RE WORKING TOWARD IT.
AND OVER THE NEXT WE ARE, WE'RE NOT ON QUICKSAND FINANCIALLY, BUT WE'RE ON LESS THAN STABLE GROUND NOW SHOULD BUT, BUT WE'RE A COUPLE YEARS AWAY FROM BEING ON ROCK SOLID
SO I THINK WHAT I'M HEARING IS THAT WE ARE NOT READY TO APPROVE THIS.
AND TONY'S GONNA LOOK AT THAT ALONG WITH ROGER AND BRING IT BACK TO US.
[D.5 Review Finance Committee Calendar - Trustee Lidstone and Trustee Yarbrough ]
ON.ITEM FIVE, REVIEW THE FINANCE COMMITTEE CALENDAR.
I WANNA SAY THANK, I THINK THIS WAS JIM'S IDEA, BUT ALSO THANK YOU TO STAFF FOR PUTTING THIS TOGETHER BECAUSE I THINK IT REALLY IS AN
THE DATE WE HAD IN HERE, FOR EXAMPLE, WHEN WE PRESENT THE AUDIT, WE PRESENT THE AUDIT AS QUICKLY AS THE AUDIT IS FINISHED.
SO THE DATES ARE ESTIMATES OF WHEN WE WILL BRING THINGS FORWARD, BUT IT GIVES THE TIMELINE, IT'S NOT ETCHED IN STONE THAT WE'RE GONNA BRING IN MAY.
WE HAVE UNTIL JUNE TO, UH, BRING MARK, MARK.
CALENDARS OR JUST SOMETHING TO DEVIATE FROM.
WELL, I MAKING SURE EVERYONE GET ANY OTHER COMMENTS AROUND THE FINANCE COMMITTEE CALENDAR? I WOULD SAY ANGIE PUT THEM OFF OVER.
AND WE'RE JUST REVIEWING THAT THERE'S NO NEED TO.
[02:00:03]
OKAY.UH, DISCUSS AND CONSIDER FOR APPROVAL OF POLICY RESOLUTION, POLICY RESOLUTION OR FORMAL PROCEDURE TO ENSURE THAT CREWS PARKING FEES ARE REVIEWED AND APPROVED ANNUALLY BY THE BOARD OF TRUSTEES.
YEAH, I, UH, FINANCE COMMITTEE, IT'S ON THE, IT'S ON THE S ON THE RADIO.
THIS WE IN YOUR, IN YOUR COMMENT IT WAS ONLY TO ADD TO THE FINANCE DIDN'T GET IN YOUR EMAIL.
THE REGULAR AGENDA COME UP, THAT ONE COME UP IN THE REGULAR.
I LIKE HEARING THAT WE'RE DONE.
IS THERE ANY OTHER, UH, QUESTIONS, CONCERNS FOR THE THIS COMMITTEE? I JUST WANNA THANK JIM FOR WORK WITH FINANCE.
AND WITH THAT WE ARE AUR IT IS ABOUT FIVE MINUTE ENVIRONMENTAL EVERY OTHER WEEK.