Sep 29, 2022 Special Town Council

[1. CALL TO ORDER ]

[00:00:06]

ALL RIGHT. GOOD EVENING, LADIES AND GENTLEMEN, THIS IS THE TOWN COUNCIL MEETING OF THE TOWN IN NORTH LAKE. IT IS 5 30 PM SEPTEMBER 29TH AND THIS IS A SPECIAL MEETING CALLED TO DISCUSS ONE ITEM ON THE AGENDA. AS WE TYPICALLY DO. WE DO OUR IMPLICATION TO PLEDGE ALLEGIANCE. SO WE DO HAVE A PASTOR HERE, PASTOR HARDING. APPRECIATE IT. IF YOU'D SAY A WORD OF PRAYER FOR FLORIDA. AND ALL THAT'S GOING ON DOWN THERE THIS PAST COUPLE OF DAYS.

ABSOLUTELY. BILLS COULD BE BACK TONIGHT. WELCOME BACK. THAT'S PRETTY GOOD FATHER. WE ALWAYS CONSIDERED A PRIVILEGE TO PAUSE AFTER A BUSY DAY ON THIS THURSDAY. AND JUST RECOGNIZE THE LORD YOUR GOD AND SOVEREIGN. LORD YOU ARE MERCIFUL AND GRACIOUS GOD TO US LORD, EVEN IN TIMES OF TRAGEDY AND SUFFERING, LORD, WE LOOK TO YOU. BECAUSE LORD BE WE MAY NOT UNDERSTAND.

WHY WE HAVE TO SUFFER AND WHY FOLKS GO THROUGH SUCH DIFFICULT THINGS? I KNOW YOU CALL US TO TRUST YOU. TRUST IN YOUR PROVIDENCE. AND SO LORD, I JUST PRAY FOR THE MANY THOUSANDS, PERHAPS MILLIONS WHO HAVE NO POWER DOWN IN FLORIDA AND LORD, JUST THE TRAGEDY THAT THEY HAVE TO WALK IN AND SUFFER. THE LORD BE WITH THEM IN SUCH A GRACIOUS AND SPECIAL WAY. FATHER DENIED AS WE CONSIDER THE ONE MAIN ITEM. WE KNOW THAT ALL BUSINESS IS YOUR BUSINESS. FOLLOW WE JUST ASK FOR GRACE AND WISDOM OR LEAD US. WE'RE GRATEFUL TO GOD THAT WERE YOU. YOU CARE ABOUT ALL THE SMALL DETAILS OF OUR LIFE. AND SO WE JUST ASK THAT LORD YOU'D BE WITH US IN THIS MEETING GOD AS WE PRAY IN JESUS' NAME. AMEN. RIGHT STAND FOR THE PLEDGE IS I SHOULD HAVE MENTIONED ALSO. OUR COUNCIL MEMBER BILL MORE BROKE HIS FOOT PRETTY BADLY AWHILE BACK, AND HE'S BEEN NURSING THAT ALONG FOR A WHILE, AND SO OBVIOUSLY HE'S NOT GOING TO STAND TONIGHT IS IN A WHEELCHAIR TONIGHT, BUT WE APPRECIATE HIS DEDICATION AND BEING HERE TONIGHT FOR A SPECIAL MEETING.

SO THANK YOU, BILL. READY. PLEDGE. I PLAN TO ALLEGIANCE TO THE FLAG OF THE UNITED STATES OF AMERICA. AND THE REPUBLIC FOR WHICH IT STANDS ONE NATION UNDER GOD. INDIVISIBLE. AND JUSTICE FOR ALL. HONORABLE TEXAS SLASH. MY PLEASURE TO TEXAS TO SAY GOD. INDIVIDUALS. ALL RIGHT. GOOD EVENING. LET'S GET STARTED. SO WE ONLY HAVE ONE ITEM ON THE AGENDA, WHICH WE'LL GET TO IN A SECOND. WE DO HAVE PUBLIC INPUT, WHICH IS OPEN FOR ANY TOPIC AND THEN WE ALSO HAVE A PUBLIC HEARING ON THE TAX RATE, WHICH WILL BE HELD. CERTAINLY AFTER THAT, WHEN WE TAKE UP ITEM A. SO THERE'S TWO OPPORTUNITIES TO SPEAK. SO IF YOU WANT TO CHOOSE BETWEEN THE TWO ARE PRETTY CLOSE TOGETHER, SO I'M NOT SURE THAT IT REALLY MATTERS. WHICH ONE IF YOU CARE TO SPEAK BUT YOU'LL HAVE THAT CHOICE WHEN I CALL YOU IF I HAVE YOUR CARD ALRIGHT. SO IT IS TIME FOR PUBLIC INPUT. I DO HAVE ONE CARD. UH MR MCDONALD , YOU'LL WAIT FOR ITEM A. ALRIGHT SO WE'LL WAIT ON THAT THEN. IS THERE ANYONE ELSE THAT WISHES TO SPEAK TONIGHT? MAYBE LATER. OKAY. ALL RIGHT. VERY

[3.A. Consider Ordinance 22-0929A, repealing Ordinance 22-0825F of the Town Council of the Town of Northlake, Texas; and fixing and levying municipal ad valorem taxes on all taxable property within the corporate limits of the Town of Northlake, Texas for the Fiscal Year beginning October 1, 2022, and ending September 30, 2023, at the rate of $0.295000 per one hundred dollars ($100.00) and for directing the assessment thereof; providing for a date on which such taxes become due and delinquent together with penalties and interest thereon; providing for a place of payment; providing for approval of the tax rolls presented to the Town Council ]

WE SET OUR TAX RATE. WE FINISHED OUR HOMEWORK FOR THE YEAR AND THE BUDGET CYCLE. AND CLOSED IT ALL OUT AT OUR LAST MEETING. THE LAST COUPLE OF MEETINGS RATHER AND UNFORTUNATELY, SINCE THAT TIME, WE GOT FEEDBACK FROM OUR APPRAISAL DISTRICT WHO HAS HAD SOME SIGNIFICANT TROUBLES OVER THE LAST COUPLE OF YEARS WITH BEING ABLE TO COMPLETE THEIR CERTIFIED ROLES. THEY'RE SUPPOSED TO HAVE THOSE DONE END OF JULY, IS IT DID YOU SAY? OKAY, SO WE'RE SUPPOSED TO HAVE THOSE DONE THE END OF JULY. AND FOR THE LAST COUPLE, HOW MANY YEARS HAS IT BEEN TWO OR THREE YEARS THAT THEY THREE YEARS NOW. IT'S THE THIRD YEAR THAT THEY FAILED TO ACCOMPLISH THAT ON BEHALF OF THE CITIES AND TAX ENTITIES IN DENTON COUNTY. WE RECENTLY HAD AN AN ITEM WHERE WE DENY THEIR BUDGET AS A RESPONSE TO THAT TO SAY, YOU NEED TO FIX YOUR ISSUES. AND UNFORTUNATELY THAT WASN'T IN TIME TO FIX WHAT HAPPENED TO US NOW WE'RE NOT THE ONLY ENTITY THAT THIS HAS HAPPENED TO. THERE ARE SEVERAL ENTITIES ACROSS DENTON COUNTY THAT HAVE ALSO NOT HAD THEIR ROLES COMPLETE. BUT LIKE US IN THE PAST COUPLE OF YEARS, THE DIFFERENCE BETWEEN THE CERTIFIED ESTIMATE AND THE CERTIFIED TOTAL , WHICH IS THE DIFFERENCE BETWEEN THE TWO IS ONE IS AN EDUCATED GUESS BASED ON WHERE THEY ARE IN THE PROCESS WITH OUTSTANDING PROTESTS STILL GOING ON, AND THE SECOND ONE IS WE'VE COMPLETED ALL THE PROTESTS. WE'VE DONE ALL THE MATH. THIS IS WITHIN A VERY CLOSE AMOUNT OF MONEY WHAT YOU'LL BE GETTING FOR THE YEAR. THE CERTIFIED ESTIMATE IN OUR CASE WAS WILDLY OFF THE MARK. AND WHILE IT COMES DOWN TO A FAIRLY SIMPLE MATHEMATICAL ERROR, IT'S A VERY SIGNIFICANT ERROR WHEN IT WHEN IT AFFECTS US IN THIS WAY, BECAUSE IT NOW

[00:05:02]

THAT TAXING TAX CONTRIBUTORS IN THE TOWN TAXPAYING ENTITIES. UM AND THEY CHANGED IT ON US AND THEN REVERSED IT. NOW WE HAVE TO REDO OUR WORK. SO OBVIOUSLY VERY DISAPPOINTING ON THEIR PART, AS FAR AS THEIR, UM THEIR RESPONSIBILITIES TO US. THEY'VE BEEN TELLING US THE LAST TWO YEARS THAT THEY WERE GOING TO FIX IT, AND IT SEEMED LIKE THEY WERE GETTING THE JOB DONE BECAUSE THEY WERE GETTING CLOSER. THE LAST COUPLE OF YEARS THEY'VE RUN MONTHS PASSED THEIR NORMAL TIMEFRAME. AT THIS POINT , THEY GOT IT IN CLOSER TO WHEN THEY SHOULD HAVE GOT IT IN. BUT IN OUR CASE, THE DIFFERENCE WAS PRETTY PRETTY DRAMATIC. SO WE'RE RESTATING OUR. OUR TAX RATES TONIGHT AND THEN RE VOTING ON THAT TAX RATE. AND JOHN YOU WANT TO ADD A FEW FEW THOUGHTS TO THAT TONIGHT? ALRIGHT MAN. I'VE GOT JUST A FEW SLIDES FOR YOU JUST KIND OF RUN DOWN AND GIVE YOU A LITTLE BIT MORE DETAIL TO THIS SO THIS IS A TAX RATE AMENDMENT. THIS IS NOT SOMETHING THAT IS DONE VERY OFTEN OR EVER, MOSTLY FOR ENTITIES AND I'LL TELL YOU WHY. UM BEEN DOING THIS NINE YEARS, UM, IN DAYTON COUNTY, AND I HAVE NEVER SEEN EHRLICH THIS AND I ACTUALLY CAN'T FIND ANYBODY IN THE STATE OF TEXAS HAS EVER HAD AN AIR LIKE THIS. AND SO THE DIFFERENCE BETWEEN OUR CERTIFIED ESTIMATES AND ARE CERTIFIED TOTALS. JUST 25% OFF CERTIFIED ESTIMATES HAVE TO BE DELIVERED, AT LEAST, UM 90% ACCURACY. FOR US. THAT'S NEVER NEVER NEAR YET. SO UM, IT'S IT IS AN ERROR. IT'S NOT AN ACCOUNT. THEY DIDN'T APPRAISE OR ANYTHING ELSE LIKE THAT. IT ISN'T STRAIGHT ERROR IN THEIR CALCULATIONS AND IN THEIR NUMBERS AND HOW IT AFFECTS EVERYTHING THAT WE DO FROM OUR TAX RATE CALCULATION. WHEN I CONTACTED HIM, I SAID, YOU KNOW, THIS WILL COST US $1.2 MILLION BECAUSE WE'VE SET OUR TAX BASE WAS THIS OUR TAX RATE WAS THIS AND SO WE'RE GOING TO RECEIVE LESS NOW AND ALL WE CAN GET IS A SORRY AND SO JUST THE GRAVITY OF THIS SITUATION WHEN I TELL OTHER FINANCE PEOPLE, IT'S NOT SOMETHING ANYBODY CAN ENCOUNTER PRETTY MORTIFIED THAT EVER WOULD HAPPEN. AND SO THAT I WAS LITERALLY NOT WRITTEN FOR AN AIR LIKE THIS. AND SO THAT'S WHY THIS IS THIS IS UNPRECEDENTED IN WHAT BUT WE'RE DOING IT AND WE DID CATCH THIS THE LAST POSSIBLE DAY. UM AND IT WAS THEY NEVER NOTIFIED US OF THE AIR. NO ONE EVER CONTACTED US. WE WERE SITTING ON OUR INFORMATION FOR A DEBT OBLIGATION. AND SO THIS IS HOW IT WAS CAUGHT. SO, UM. WE'RE HOLDING THIS PUBLIC HEARING NOW TO RE CERTIFY THAT TAX RATE AND SO THAT THE PUBLIC KNOWS WHY WE'RE STUDYING THIS TAX RIGHT? AND WHAT WHAT LED TO IT, AND THE OVERALL TAX RATE IS NOT CHANGING ITS R M N O VERSUS IRONS BREAKDOWN AND THAT'S BECAUSE THE TAX RATE CALCULATION WAS BASED ON A TAX BASE THAT WASN'T REAL. AND SO THIS IS SENTIMENT IN THAT, THROUGH THE TRUTH AND TAXATION CALCULATION LIKE IT SHOULD BE DONE, AND SO UM OVERALL. THESE ARE THE NUMBERS COMPARED FROM OUR CERTIFIED ESTIMATES TO OUR CERTIFIED TOTALS. AS YOU CAN SEE, IT JUST CAUSED A CHANGE FROM MINNESOTA. I N S INTO ALL IT DID WAS SHIFT AN INCREASE OR IMMUNO AND DECREASE ARTHRITIS. THIS DOES HAVE A REVENUE IMPLICATION, WHICH WILL GO OVER NEXT MINIMUS RATE DID NOT CHANGE. THE VOTER APPROVED RATE WENT DOWN BECAUSE OUR TOTAL BASE WENT DOWN AND THEN THE NO NEW REVENUE RATE INCREASED BECAUSE THE TAXPAYER SHRINK. OVERALL, THIS IS GOING TO CAUSE ROUGHLY $1.2 MILLION, BUT AS THE TAX RATE CALCULATION HOW IT CAME OUT, AND IT'S TAKING THE DOMINANCE RATE, IT WILL RESULT IN AN EXTRA $130,000 IN THE GENERAL FUND, BUT IT WILL RESULT IN $1.3 MILLION DECREASE IN OUR DEBT SERVICES. UM I WILL TELL YOU WE WERE MAKING ROUGHLY A $2.7 MILLION PAY DOWN OF OUR NEXT DEBT ISSUANCE. SO NOW IT'S GOING TO BE ROUGHLY AT $1.27 MILLION PAY DOWN OF THAT $15 MILLION ISSUANCE. AND SO THAT'S WHERE THE IMPLICATION IS AND IT DOES HAVE AN EFFECT, BUT WE WERE LUCKILY IN FINANCIALLY ABLE TO BE ABLE TO AFFORD STILL THAT DEBT PAYMENT. WE HAVE MORE THAN ENOUGH CAPACITY AND OUT YEARS.

THIS WAS JUST GOING TO BE A LITTLE BIT OF ICING ON THE CAKE AND BEING ABLE TO PAY DOWN SOME DEBT EARLY SO OVERALL, THIS COULD HAVE BEEN A LOT WORSE. IF WE DID NOT REDO THIS CALCULATION. THIS WOULD HAVE BEEN A EVEN BREAK BETWEEN EMINEM VERSUS I N S. AND SO THIS WAY IT GIVES US THE ABILITY TO SHIFT IT OVER TO R I N S WHERE WE HAD THE ABILITY TO ABSORB IT AND NOT IMPACT ARE OPERATING FUNDS. COUNCIL IF YOU HAVE ANY QUESTIONS SO WE HAVE ANOTHER CHANCE TO OPEN THIS BACK UP IN A SECOND. WE'RE GOING TO HAVE A PUBLIC HEARING IN A SECOND. BUT

[00:10:04]

WE KEPT IT 29 A HALF X RAY WITH THREE OF THOSE FOUR YEARS BEING A UNANIMOUS SCOPE. MHM. LAST YEAR. WAS THERE ONE COUNCIL PERSON THAT ORDERED AGAINST IT? FOR SALE THAT WE'RE TALKING ABOUT. WELL, I WOULD LIKE TO HAVE POCKET. I DIDN'T RESEARCH AND NINE WAREHOUSES. FAMILIES BROTHERS 1 14. THREE ON 1 14. BEFORE COMING UP IF YOU TOOK AWAY THAT SENSE JUST MOST PEOPLE BECAUSE THE CITY $97,000 I DON'T THINK YOU KNOW THE CITY TOGETHER. EXCEPTIONAL.

[00:15:06]

ASHLEY. WHAT WHAT IS OUR COURSE OF ACTION HERE? AS FAR AS CONSIDERING THIS TONIGHT? SO THERE'S REQUIRED MOTION LANGUAGE . UM THAT I THINK IS THAT YOUR TABLE AND IT'S THE SAME AS YOU READ LAST TIME. IT'S JUST THE PERCENTAGE IS GOING TO CHANGE THIS TIME BECAUSE OF THE NEW CALCULATIONS. UM BUT THAT'S THE LANGUAGE THAT MUST BE READ AS YOUR MOTION. IF YOU'RE INCLINED TO APPROVE THIS, OKAY, THERE'S THE MOTION. UM I KNOW IT'S IN THE WAREHOUSES IN SUCH BUT WE'RE EFFECTIVELY RESCINDING. THE LAST TAX RATE SET AND THEN WE'RE AGAIN MY SUGGESTION WOULD BE READ THE MOTION THAT I MOVED THAT THE PROPERTY TAX RATE THAT LANGUAGE AND THEN THERE'S SOME SOME COMMENTS THAT YOU CAN ADD SORT OF JUST AS AN INDEPENDENCE TO THE MOTION, SAYING THAT WE'RE REPEALING THE LAST ORDINANCE THAT YOU ADOPTED ON AUGUST 25TH. AND WE'RE JUST MODIFYING MNLA AND I N S JUST TO CLARIFY THAT FOR THE MINUTES AND THEY CAN PUT ALL THAT IN A MINUTE. IF YOU WANT TO ADD THAT TO THE AFTER YOU MAKE THAT MOTION LANGUAGE, OKAY. SINGLE MOTION FOR THE ACTION THIS EVENING. THERE'S NOT NOT SEPARATE ONES. CORRECT. OKAY ALRIGHT, COUNSELORS. SO, UM WE CAN HAVE SOME DISCUSSION HERE IF YOU WANT. IF YOU WANT TO PUT SOME COMMENTS ON THE RECORD, YOU CAN ALSO ACT ON THIS. YOU'VE GOT LANGUAGE IN FRONT OF YOU. WHERE DO WE WANT TO GO WITH THIS? SO THE FLOOR IS OPEN. SHALL I MAKE THE MOTION AND IT'S GOING TO BE A RECORD VOTE.

THERE'S OTHER COMMENTS ON THIS. DO YOU WANT THOSE RIGHT INTO THE RECORD? IF YOU'D LIKE TO THAT THAT FIRST ONE WAS JUST, UM TO ACKNOWLEDGE THAT WE'RE REPEALING WHAT YOU DID ON THE 25TH AND MODIFYING THE MINNOW AND I, YOU KNOW THE COMPONENTS OF THE TAX RATE, BUT THE RATES STILL STAYING THE SAME. SO YOU MIGHT WANT TO PUT THAT ON THE RECORD AND MAKE SURE THAT'S IN THE MINUTES. OKAY, LET'S LET'S DOCTOR SESSIONS NEED TO READ THAT. UH AS PART OF HIS MOTION, IT'S UP TO YOU WHETHER YOU WANT YOU WANT TO SUMMARIZE SOME OF THAT OR NOT, I CAN I CAN READ THAT MANY WORDS. AT THIS IS WILL REPEAL THE ORDINANCE PREVIOUSLY ADOPTED ON AUGUST 25TH TO ADOPT TONIGHT'S ORDINANCE, WHICH WILL MODIFY THE COMPONENTS OF THE TAX RATE, BUT DOESN'T CHANGE THE TOTAL TAX RATE THAT WAS PREVIOUSLY ADOPTED. THE AVERAGE TAXABLE VALUE INCREASE FOR A HOME STATED RESIDENT IS 8. WHICH FOR THE AVERAGE RESIDENT COMES OUT TO $85 A YEAR OR A COUPLE.

STARBUCKS COFFEE A MONTH SINCE I DON'T DRINK STARBUCKS, I'M JUST TAKING SOMEBODY ELSE'S WORD FOR THAT. LASTLY THE TOWN COUNCIL ALSO INCREASED THE OVER 65 DISABLED EXEMPTION BY $85,000 TO $100,000. THE VAST MAJORITY OF THE INCREASE IN VALUE IS COMING FROM COMMERCIAL PROPERTIES, WHO HAVE ADDITIONAL TOOLS TO LOWER THEIR TAXES THAT ARE NOT AVAILABLE TO RESIDENTS. ALL RIGHT. THANK YOU. DOCTOR SESSIONS THE MOTIONS OUT ON THE TABLE. I WILL SECOND THAT MOTION, OKAY? YOU SAID. THIS IS A RECORD VOTE OR USING THEM, BUT THAT'S FINE TO USE THAT. OKAY HERE'S THE TOOL. OKAY SO THE MOTIONS WERE MADE BY DR SESSIONS , THE SECOND SPEND MADE BY MAYOR PRO TEM MONTINI. NO FURTHER DISCUSSION. AROUND THE POINTS THAT WERE MENTIONED TONIGHT.

WE'LL OPEN THE VOTING. NOT ON MY SCREEN. MOVE ON. ALL RIGHT. WE'LL DO BY HAND VOTE ALL THOSE IN FAVOR OF ADOPTING THE MOTION THAT WAS MADE BY DR SESSIONS HAS SET THE TAX RATE AT 29 HALF CENTS. RAISE YOUR HANDS , PLEASE. YOU NEED TO DO A RECORD VOTE. SO YOU NEED TO GO DOWN THE LINE. OKAY. ALRIGHT. PLACE ONE. I YES. PLACE THREE. , PLEASE. FIVE. PLACE SIX. ANY OPPOSED. HOPEFULLY NOT SINCE YOU JUST PROVED IT. ALL RIGHT. VERY GOOD. ALL RIGHT. PLEASE SET THE

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