[* This meeting has been joined in progress *]
          [NEW BUSINESS ]
          [00:00:08]
          HAVE A LOT IN TOWN WE COULD DO. SO IF WE SPEND IF WE DO A BIGGER PROJECT, IT'LL COST TYPICALLY 10 TO 12% TO ENGINEER IT. BY SAYING THIS. JUST GOT PASSED A NOTE FROM OUR CITY SECRETARY THAT ANY AND ALL CONTRACTS OR COMMITMENTS MADE WITH THE ABOVE NAMED SERVICES PROVIDERS ARE DEPENDENT ON THE SUCCESSFUL NEGOTIATION OF A CONTRACT WITH THE SERVICE PROVIDER. SO WE'RE AWARDING IT TONIGHT AND WE ACTUALLY NEGOTIATE THE CONTRACT AFTER. 
          WELL, COUNCIL KNOW HOW MUCH WE ALL COME BACK TO COUNCIL UNTIL COUNCIL. HOW MUCH IS BEING SPENT OR. OH YEAH, THAT'LL GO OUT IN THE NEWSLETTER. BUT WE HAVE TO AWARD THE RFQ TONIGHT. 
          GREAT TO ACTUALLY JUST START THE PROCESS. START THE PROCESS. YEAH. AND THEY'LL GIVE US AN ENGINEER'S OPINION OF PROBABLE COST, WHICH IS TYPICALLY AROUND 1,012% OF THE PROJECT. I RAN ACROSS HIM ON SOME BIDS TODAY FOR STREET WORK AND WALKS ENHANCING. THEY DESIGNED A NEW HIGH SCHOOL ROAD GOING IN WESTWOOD'S A VERY. A VERY FREQUENTLY USED FIRM IN MUNICIPALITIES. THEY'RE BIG. THEY'RE PRETTY BIG. IT'S A BIG FIRM. I'LL TELL YOU. WELL, I GUESS I HAVE ANOTHER QUESTION. IF WE APPLIED FOR THIS LAST YEAR, WHO DO WE USE LAST YEAR? WE WERE NOT AWARDED LAST YEAR. YEAH. WE WEREN'T AWARDED LAST YEAR. OKAY. WELL, THAT JUST MEANS THERE'S A POSSIBILITY WE MAY NOT BE AWARDED. NO, ACCORDING TO DANIELLE. AND SHE CAN CORRECT ME IF I'M WRONG, BUT I JUST CONFIRMED WITH HER THAT THAT NEXT YEAR WE WILL GET THIS. THE MONEY FOR THIS. GRANT IT. WE WILL GET THE MONEY FOR THIS GRANT. YES. IT'S LIKE A GUARANTEE THAT WE'RE GOING TO GET THIS MONEY FOR THE GRANT. ASSUMING THIS ITEM IS APPROVED TONIGHT. YES, I GET THAT. OKAY. YES, SHE SAID, ASSUMING NOTHING MAJOR GOES WRONG, WE WILL GET THIS MONEY. SHOULD I ASK WHAT COULD BE MAJOR? WELL, IT'S PRETTY MAJOR, SO JUST JUST STAY OPEN. THINGS DO CHANGE. YES. TRUE, TRUE. BUT WHERE THE GRANT PROCESS TO CONTINUE AS NORMAL. 
          OKAY. I'M. I'M DONE. THIS HAS BEEN FUN. YEAH. IT'S WORTH POINTING OUT THAT THIS IS ALREADY FUNDED. YEAH. SO EVEN IF THERE'S FUNDING CHANGES IN CONGRESS, IT SHOULD ACTUALLY BE THERE. ANY OTHER QUESTIONS? FOR YOUR CONSIDERATION? I MOVED TO APPROVE RESOLUTION 2026-0017, AUTHORIZING ABILITY TO PARTICIPATE IN THE TEXAS COMMUNITY BLOCK GRANT PROGRAM AND RESOLUTION R2026-0018. AUTHORIZING THE AWARD OF A PROFESSIONAL SERVICE PROVIDER CONTRACT FOR THE 2025 2026 TEXAS COMMUNITY DEVELOPMENT BLOCK GRANT FUND PROGRAM TO WESTWOOD ENGINEERING I SECOND. ALL IN FAVOR, IF YOU WOULD RAISE YOUR RIGHT HAND, PLEASE. 
          ITEM PASSES. NUMBER FIVE. CONSIDERATION. ACTION RELATED TO DEVELOPMENT AGREEMENT BETWEEN ALVARADO 228 DEVELOPMENT LLC, AVALON DEVELOPMENT GROUP, LLC AND THE CITY OF ALVARADO FOR THE CHAMBERS CREEK DEVELOPMENT. OKAY. MAYOR AND COUNCIL FOR EXECUTIVE SESSION TWO. SO IS THAT YES, WE DO HAVE THE DEVELOPER HERE. WE COUNCIL SAW A PRESENTATION AT THE LAST MEETING ON THE DEVELOPMENT ITSELF. WE DID NOT HAVE THE SPORTSPLEX MANAGEMENT COMPANY HERE. SO DEVELOPER WANT TO COME IN AND BRIEF COUNCIL ON THE SPORTSPLEX IN PARTICULAR AND POSSIBLY A VERY HIGH, VERY HIGH OVERVIEW OF THE PROJECT SINCE COUNCIL'S ALREADY SEEN IT. BUT FOR THE BENEFIT OF THOSE HERE TODAY AS WELL. BUT YES, NO ACTION TODAY. AND WE WILL DISCUSS IN EXECUTIVE ACTION TODAY. CORRECT. SO GOOD EVENING, TED MURPHY DEVELOPMENT GROUP. IT'S GOOD TO SEE YOU ALL AGAIN THIS WEEK. THE LAST WEEK, UNFORTUNATELY WE DIDN'T HAVE OUR SPORTS FACILITIES MANAGEMENT GROUP CONSULTANT WITH US LAST WEEK. SO HE COULDN'T BE HERE THEN. SO WE WANTED TO BRING HIM BACK TONIGHT. ANSWER ANY QUESTIONS ABOUT THE SPORTS PARK, AND JUST KIND OF GO THROUGH SOME OF 
          [00:05:01]
THEIR CREDENTIALS AGAIN, AND SOME OF THEIR BACKGROUND AND SOME OF THE OTHER PROJECTS THAT ARE INVOLVED WITH AND, AND THEIR EXPERTISE FOR YOU TONIGHT. AND THEN THAT'S REALLY KIND OF THE, THE HIGH POINT FOR THIS EVENING. AND WE GOT A COUPLE OF THINGS ON THE BACK END TO TALK ABOUT. JUST TO FOLLOW UP ON SOME OF THE QUESTIONS WE GOT LAST WEEK AS WELL. SO I'D LIKE TO INTRODUCE JADE WOOD JADE'S WITH SPORTS FACILITIES COMPANIES, AND I'M GOING TO FAST FORWARD HERE TO GET TO THE SPORTS PARK SECTION OF THIS. AND AGAIN, WE'RE HAPPY TO ANSWER ANY QUESTIONS THAT YOU'VE GOT ABOUT ANY PARTICULAR ASPECT OF THE PROJECT, IF YOU LIKE. BUT WE'LL WE WERE PREPARED TO TALK PRIMARILY ABOUT THE SPORTS PARK. SO AGAIN, WHAT WE SHARED LAST WEEK, THIS WAS THE CONCEPTUAL VISION OF THE SPORTS PARK THAT WE ALL SHARED LAST WEEK. AND WE WENT WORKED THROUGH THIS WITH JD AND HIS TEAM AND OUR LAND PLANNERS. 
          AND, AND THIS IS KIND OF THE PRELIMINARY PLAN THAT WE HAD COME UP WITH TO SHARE WITH THE CITY. THE THESE ARE SOME OF THE EXAMPLES OF SOME OF THE OTHER PARKS WE SHARED LAST WEEK. AND AGAIN, JUST WANT TO GET THIS HIS COMPANY AND LET JADE KIND OF SHARE SOME OF THE VISION AND ALL THEIR EXPERTISE AND ALL THE GREAT THINGS THEY DO IN THE WORLD OF SPORTS. SO PERFECT. 
          JADE WOOD THANK YOU GUYS. MAYOR COUNCIL, THANK YOU ALL FOR THE OPPORTUNITY. I JUST LIVE UP THE ROAD IN WAXAHACHIE, SO I WAS EXCITED TO DRIVE DOWN THIS MORNING AND WE ACTUALLY ARE CLOSE BY. WE'RE WORKING WITH THE CITY OF BURLESON FOR THEIR CHISENHALE FIELD. SO IF ANYBODY'S BEEN OUT THERE, THEY JUST REDID THE TURF ON THE INTERIOR FOR THE FIRST FOR THEIR 16 FIELDS. AND SO WE'RE ACTUALLY OPERATING THOSE FOR THEM NOW TRYING TO ACHIEVE THEIR GOALS OF BETTER ROI FROM THEIR PERSPECTIVE. BUT AGAIN, JADE WOOD SPORTS FACILITIES COMPANY. SO I THINK IT'S IMPORTANT TO TALK ABOUT. SO WE ARE HEADQUARTERED IN CLEARWATER, FLORIDA, BUT WE HAVE OVER 500 TEAMMATES HERE IN THE STATE OF TEXAS. INDIVIDUALS LIKE MYSELF, OUR CFO IS IN THE IS IN THE STATE OF TEXAS AS WELL. WE ALSO HELP SUPPORT TEN VENUES CURRENTLY ACROSS THE STATE OF TEXAS, AND WE HAVE 108 TOTAL ACROSS THE COUNTRY. AND THAT'S FROM COMMUNITIES OF 7008, 18,000 ALL THE WAY UP TO, YOU KNOW, BEING IN CHICAGO. RIGHT. 
          SO THOSE ARE EXAMPLES. SO IT DOESN'T ALWAYS HAVE TO BE THE LARGEST MUNICIPAL ASPECT OF TOURISM FOCUSES. IT CAN BE MORE RECREATIONAL, IT CAN BE MORE COMMUNITY BASED. MY BACKGROUND, I WORK FOR THE CITY OF COLLEGE STATION AND PARKS AND RECREATION FOR A LONG TIME, AND THEN ALSO WAS THE DIRECTOR OF BUSINESS DEVELOPMENT FOR THE DALLAS SPORTS COMMISSION. SO I'VE WORKED ON BOTH TIERS FROM THOSE EXPERIENCES. SO AGAIN, OUR HEADQUARTERS IN CLEARWATER, FLORIDA, WE HAVE OVER 3000 EMPLOYEES ACROSS THE COUNTRY. AGAIN, 500 IN THE STATE OF TEXAS. AND WE'RE THE ONLY GROUP IN THE STATE OF TEXAS THAT IS ON CO-OP. SO WHEN WE'RE TALKING ABOUT RFPS AND RFQS, WE ARE IN A CO-OP FOR OUR SERVICES FOR ADVISORY, DEVELOPMENT AND MANAGEMENT. SO WE HAVE BEEN VETTED BY THE CENTRAL STATE OF TEXAS TO GO THROUGH APPROVAL PROCESSES. SO WE HAVE BEEN VETTED THROUGH THE STATE AS WELL. FROM THAT PERSPECTIVE, OVER 15 BILLION OF ECONOMIC IMPACT TO OUR VENUES THAT WE HAVE. MAKE SURE I GET THAT RIGHT. AND THEN WORKING WITH THE ONLY MEMBERS OF ICMA, SO WORKING WITH CITY MANAGERS THROUGHOUT THE COUNTRY TO WORK THROUGH THE PROCESS OF SUPPORTING LOCAL COMMUNITIES. 
          WE ALSO ARE A FOUNDING MEMBER OF PROJECT PLAY. SO THE ASPEN INSTITUTE, SO A LOT OF OUR VENUES IS WHAT WILL WORK WITH THE ASPEN INSTITUTE AND SPONSORS FROM AROUND THE COUNTRY TO MAKE SURE WE HAVE WHAT WE CALL THE ACCESS PROGRAM. SO IF YOU'RE ON ASSISTED OR FREE LUNCH, YOU GET ASSISTED OR FREE ACCESS TO THE PROGRAMS INSIDE THE SPORTS COMPLEXES AND VENUES THAT WE OPERATE. SO CONTINUE TO TRY TO GIVE BACK TO THE COMMUNITIES THAT WE'RE SERVING. OOPS. WRONG DIRECTION, I APOLOGIZE. I KNOW I WATCHED THE COUNCIL MEETING FROM THE OTHER DAY, SO I WILL SAY I DON'T WANT TO REPEAT WHAT WAS DISCUSSED, BUT I THINK THIS IS IMPORTANT TO TALK ABOUT. SO AGAIN, A LOT OF TIMES PEOPLE ARE THINKING WE'RE ONLY GOING TO BE THE LARGER VENUES AND THOSE KIND OF ASPECTS, BUT WE ARE ABOUT COMMUNITY FOCUSED AND COMMUNITY SUPPORT AT THE END OF THE DAY. SO WE HAVE EVERYTHING FROM GIVING EXAMPLE IN TEXAS, I MENTIONED CHISENHALE FIELDS. WE ALSO ARE DOING THE AQUATIC CENTER IN HURST, TEXAS. WE'RE SUPPORTING THEM. AND THEN WE HAVE LIKE LEGENDS, THE LEGENDS EVENT CENTER IN BRYAN, TEXAS, WHICH IS A TEN BASKETBALL COURT VENUE. SO, AND YOU ADD ON THE ASPECTS OF SUPPORT FROM THE ADVISORY, THE WHAT WE'LL BE WORKING ON THIS PROJECT FOR THE PRO FORMAS FEASIBILITY REPORT PERSPECTIVE. WE JUST DID THAT FOR THE CITY OF WAXAHACHIE AS WELL. SAY ABOUT SIX MONTHS AGO. 
          WE FINISHED UP THAT STUDY FOR THEM FROM THAT PERSPECTIVE. SO I SHOULD LIKE TO SHOW THIS BECAUSE WE CAN SUPPORT ANYTHING AND EVERYTHING. AND WE HAVE A ROPES COURSE IN IN TAMPA, FLORIDA THAT WE SUPPORT FOR THE LOCAL COMMUNITY. WE CAN DIVERSIFY A LOT OF DIFFERENT THINGS FROM LOCAL PROGRAMING TO SPORTS TOURISM TO AFTER SCHOOL PROGRAMS, TO, YOU KNOW, PARTIES AND BIRTHDAY PARTIES, AS WELL AS FROM CONFERENCES, ANYTHING AND EVERYTHING TO SUPPORT THAT THESE VENUES CAN MAKE AVAILABLE FOR THE COMMUNITY AND VISITORS ALIKE. I LIKE TO SHOW THIS. SO THERE'S THREE MAIN PHASES OF SPORTS FACILITIES COMPANIES. SO YOU HAVE SPORTS FACILITIES 
          [00:10:03]
ADVISORIES, WHICH IS WHAT WE'VE DONE THE LONGEST. SO WE'VE BEEN EXISTED FOR 23 YEARS. SO THE MAIN FOCUS OF SUPPORTING FROM A PRO FORMA FEASIBILITY REPORT. SO IT'S BASICALLY HOW BIG, HOW MUCH, HOW TO OPERATE, WHAT IT'LL GENERATE. HOW DO WE ACHIEVE YOUR GOALS AS A COMMUNITY? SO WHETHER THAT'S HEY, WE PROVIDING THE GOOD THINGS IN LIFE FROM PARKS AND RECREATION AND LOCAL ISD ACCESS TO MAKING SURE IT'S A TOURISM ENTITY. THEY'RE BRINGING IN SPORTS TOURISM, BRINGING IN TOURISM IN GENERAL DURING ECONOMIC IMPACTS, WHATEVER THOSE GOALS END UP BEING, ALONG WITH SUSTAINABILITY, THAT'S WHERE WE WORK THROUGH WITH YOU IN THIS FIRST SECTION FOR THE PRO FORMA FEASIBILITY REPORT FROM WHAT WE CALL OUR ADVISORY SIDE. SO AGAIN, WE'VE DONE THAT FOR 23 YEARS IN EXISTENCE. ABOUT 12 YEARS AGO, WE GOT INTO THE MANAGEMENT SIDE OF THE BUSINESS. SO I'M GOING TO GO FROM ONE END FROM WHAT WE CALL CONCEPT TO CONCRETE. SO THE OTHER ASPECT WE COULD BE ABLE TO SUPPORT FROM THE PROJECT FROM HERE IN ALVARADO IS THAT WE WOULD BE FULL TIME MANAGEMENT, RIGHT? AND THAT'S NOT JUST MANAGING THE VENUE, CREATING PROGRAMS, THAT IS MAINTENANCE, THAT IS SPONSORSHIP SALES, THAT'S MARKETING. YOU KNOW, THE SPORTS COMPLEX, IT'S ALL THE ABOVE. 
          EVERYTHING THAT GOES INTO PLANNING EVERYDAY OPERATIONS OF THIS, OF THIS VENUE, WE WOULD BE A SUPPORT OF AS AN EXTENSION OF YOUR TEAM AND AN EXTENSION OF THE TEAM AT AVALON. SO GOING THROUGH THAT PROCESS. SO NOW WE STARTED AS AN ADVISORY, WE GOT INTO FULL TIME MANAGEMENT. AND AS YOU KNOW, WITH A LOT OF OUR CITY PARTNERS, WE, WE START GOING THROUGH THE PROCESS OF VALUE ENGINEERING. AND THAT'S WHEN WE STARTED WITH THE PLAN. AND WE ENDED UP WITH SOMETHING MAYBE SLIGHTLY DIFFERENT AT THE END OF THE DAY. SO WHAT WE BASICALLY STARTED ABOUT FIVE YEARS AGO WAS WE GOT INTO THE DEVELOPMENT SIDE IN THE MIDDLE AND WHERE WE CAN SUPPORT FROM DESIGN CONSULTING FOR PROCUREMENT KIND OF BEING THAT CONTINUED VOICE THROUGHOUT THE ENTIRE PROCESS FROM WHAT WE CALL CONCEPT TO CONCRETE. SO SUPPORTING THROUGHOUT THE WHOLE ASPECT OF THE PROJECT. I, I KNOW I WENT THROUGH THAT A LITTLE PRETTY QUICKLY, BUT I WANTED TO MAKE SURE THAT YOU GUYS KNOW THAT SFK IS HERE AGAIN. I AM JUST UP THE ROAD. 
          WE ARE HERE TO SUPPORT ALVARADO IN THE PROJECTS. LOVE IT, LOVE TO CONTINUE TO HAVE THE DISCUSSIONS AND BE A PART OF THE TEAM. AND WE'RE REALLY EXCITED TO SPEAK WITH YOU GUYS TODAY. AND I ALWAYS LOVE IT WHEN IT'S JUST A QUICK DRIVE DOWN THE ROAD AS WELL. SO THANK YOU, THANK YOU. ANY QUESTIONS FOR HIM BEFORE HE SITS DOWN? YEAH. HAPPY TO ANSWER. I THINK WE'RE GOOD. PERFECT. THANK YOU. THANK YOU JD. SO THE ONLY THING I WANTED TO TOUCH ON AGAIN TONIGHT WAS, YOU KNOW, LAST WEEK WE HAD SOME QUESTIONS ABOUT THE PYD AND THE TOURS AND WE TOOK A FEW MINUTES TO KIND OF LOOK AT THIS AND JUST KIND OF COME UP WITH SOME IDEAS AND COMPARE THE PYD AND THE THE PYD AND NO PYD KIND OF COMBINATION. SO WE, I KNOW THERE'S A LOT OF CONCERN ABOUT AFFORDABILITY TODAY, FOR SURE. AND THE FACT THAT KIDS CAN ADD, YOU KNOW, ANOTHER ASSESSED VALUE ON TOP OF THE CURRENT TAX BASE. SO WHAT WE TRIED TO DO IS KIND OF BUILD A COMPARISON. AND I'VE GOT A HARD COPY HANDOUT. I'LL SHARE WITH YOU AS WELL THAT YOU CAN TAKE WITH YOU. BUT THE WE TOOK ONE OF THE HOME STYLES IN THE PROJECT JUST TO $350,000 HOME AND TRIED TO, TO BUILD THIS OUT TO SHOW WHAT THE TRUE COST OF THIS WAS GOING TO BE TO A HOMEOWNER OVER THE COURSE OF THE NEXT 30 YEARS. SO WE MODELED THIS USING A CURRENT INTEREST RATE TODAY THAT THEY WOULD GET ON A TYPICAL MORTGAGE. THE PIT ASSESSMENT FOR THIS PARTICULAR HOME IN THE PROJECT IS A LITTLE OVER $29,000. WE ASSUME THAT IT WAS GOING TO BE A 30 YEAR LOAN, 5% DOWN. AND THESE WERE THE KIND OF THE THE NUMBERS THAT WE CAME UP WITH. 
          SO EITHER DOWN PAYMENT, THEIR MONTHLY MORTGAGE PAYMENT FOR THIS PARTICULAR HOME AT THAT INTEREST RATE IS A LITTLE OVER $2,000. THE ANNUAL COST, INCLUDING TAXES, THE PYD AND, AND MORTGAGE PAYMENT IS ABOUT 35,000 A YEAR. AND IT ACTUALLY WORKED OUT TO BE LESS EXPENSIVE THAN THE HOME WITHOUT THE PYD. HERE'S KIND OF A SIDE BY SIDE COMPARISON. SO. SO WITH THE PYD, WE'RE ABLE TO FINANCE ABOUT $29,000 OF DEVELOPMENT COSTS, NOT COUNTING ANY FINANCING COSTS IN THERE AT ALL, JUST REALLY KIND OF HARD COSTS OF THE PUBLIC IMPROVEMENTS. SO ON THE PYD SIDE, WE, YOU KNOW, THE HOMEOWNER IS GOING TO BUY THEIR HOME FOR 350,000. THEY'RE GOING TO HAVE A PIT ASSESSMENT THAT SHOWS UP ON THEIR TAX BILL OF 29,999 THAT THEY WILL REPAY OVER THE COURSE OF 30 YEARS. AND THEN THE THE AMOUNT OF THEIR MORTGAGE PAYMENT IS 2041, THEIR ANNUAL PROPERTY TAXES THAT WE'RE ASSUMING TODAY'S TAX RATES FOR THE TOTAL TAX STACK FOR THE CITY OF ALVARADO AND THE COUNTY AND, AND ALL THE OTHER SCHOOL DISTRICTS AND SO FORTH. SO THE TAXES ON THE HOUSE WOULD BE 8640. THE PIT ASSESSMENT FOR THIS PARTICULAR HOME WOULD BE A LITTLE OVER $2,000. AND THAT'S NET OF THE OFFSET THAT WE DISCUSSED LAST 
          [00:15:05]
WEEK. SO THAT WOULD BE KIND OF NET PAYMENT THAT THEY WOULD MAKE IN YEAR ONE. ON THE HOME WITHOUT A PYD. IF WE DIDN'T HAVE THE BENEFIT OF A PYD, WE WOULD HAVE TO PASS ON THOSE SAME COSTS TO OUR BUILDER. SO THOSE COSTS WOULD GET PASSED THROUGH TO THE HOMEOWNER BY VIRTUE OF A HIGHER LOT PRICE THAT WE WOULD HAVE TO CHARGE TO OUR BUILDER. SO THEY'RE STILL PAYING FOR THOSE, THOSE COSTS OF DEVELOPMENT, REGARDLESS OF WHETHER IT'S A PIT OR NOT. IT'S JUST REALLY HOW THEY'RE PAID FOR. SO IN THIS CASE, THE HOME WITHOUT THE PYD, THEY'RE PAYING $379,000 FOR THE SAME HOUSE BECAUSE THOSE COSTS ARE NOW BAKED INTO THE HOME PRICE BY THAT BY THAT MANNER, THERE'S NO PIT ASSESSMENT, BUT THEY'RE NOW THEIR MORTGAGE IS A LITTLE BIT HIGHER. THEIR MORTGAGE PAYMENT IS ABOUT $200 A MONTH HIGHER. IN THAT SCENARIO, THEIR PROPERTY TAXES ARE ALSO HIGHER BECAUSE THEY'RE BEING ASSESSED ON A HIGHER HOME VALUE THAN THEY WERE WITH THE HOME WITHOUT THE PYD. AND AND YOU CAN SEE THAT THEIR TOTAL ANNUAL COST IS STARTING OUT ABOUT, YOU KNOW, $700 OR SO ANNUALLY LESS THAN THE HOME WITH THE PYD. SO OVER THE COURSE OF 30 YEARS, THERE'S A SAVINGS OF ABOUT $37,000 THAT GOES TO THE HOMEOWNER BY VIRTUE OF HAVING A PIT ON THE PROPERTY. SO SOME OF THE THINGS THAT, YOU KNOW, THAT'S UNIQUE ABOUT THE PIT ALSO, YOU KNOW, WHEN YOU HAVE A PIT ASSESSMENT ON YOUR HOME AS A HOMEOWNER, YOU HAVE THE ABILITY TO PAY THAT OFF AT ANY TIME. SO AS THAT PIT ASSESSMENT GOES DOWN OVER TIME, IF YOU WANTED TO PAY IT OFF AND NOT HAVE THAT PIT ASSESSMENT ANYMORE, YOU AS A HOMEOWNER HAVE THE RIGHT TO GO PAY THAT OFF AND IT JUST GOES AWAY IF IT'S BUILT INTO YOUR MORTGAGE. 
          HOWEVER, THAT NEVER GOES AWAY UNTIL YOU PAY OFF YOUR LOAN AND ALSO YOUR YOUR PROPERTY TAX ASSESSMENTS AND YOUR TAXES ARE STILL GOING UP WITH INFLATION ASSUMING. SO THAT PIECE IS REALLY KIND OF STUCK IN THE VALUE OF THE HOME FOR THE LIFE OF THE HOME. WHEREAS WITH THE PYD, YOU CAN, YOU KNOW, YOU HAVE THE OPTION OF PAYING THAT OFF AND NOT HAVING THAT PIT ASSESSMENT ANYMORE. SO. SO THIS KIND OF SHOWS, YOU KNOW, YEAR ONE, THE ANNUAL SAVINGS ARE ABOUT $799. YEAR 15 BY VIRTUE OF THE, YOU KNOW, WE'RE GETTING THE, THE BENEFIT OF THE TOUR'S OFFSET THAT'S GOING ON IN THIS PARTICULAR EXAMPLE. SO AS TAX DOLLARS GO UP ON THAT HOUSE, 20% OF THOSE TAXES GO TO HELP OFFSET THAT PYD AND REDUCE THAT PIT ASSESSMENT. SO THEIR SAVINGS CONTINUES TO GO UP OVER THE COURSE OF THE LIFE OF 30 YEARS ON THIS PROPERTY. SO BY THE TIME YOU GET TO YEAR 30, THEY'RE REALLY SAVING ABOUT $1,800 A YEAR WITH HAVING A PIT ON THE PROPERTY VERSUS NOT HAVING THE PIT. SO THAT'S WE JUST WANT TO PUT THAT EXAMPLE TOGETHER. I KNOW, YOU KNOW, THERE'S A LOT OF DISCUSSION ABOUT PITS AND AFFORDABILITY. 
          AND, AND, YOU KNOW, WE'RE TRYING TO BE CREATE AN AFFORDABLE PRODUCT HERE FOR ALL THE HOMEOWNERS THAT ARE KIND OF COME TO ALVARADO. BUT I THOUGHT IT'D BE JUST TO GIVE YOU AN EXAMPLE OF THE MATH PROBLEM AND COMPARE THE PYD TO NO PYD AND, AND, AND HOPEFULLY THIS SHEDS SOME LIGHT ON THAT FOR FOR ALL OF YOU. BUT I'VE GOT SOME HARD COPIES. I'LL LEAVE WITH PAUL AND, AND, YOU KNOW, HAPPY TO SHARE THOSE WITH YOU AND YOU CAN TAKE THEM HOME. AND IF YOU HAVE ANY QUESTIONS, WE'RE HAPPY TO ANSWER THEM FOR YOU. SO AND THEN ANY OTHER QUESTIONS FOR US AT ALL? WE'RE YOU KNOW, WE'RE HERE TONIGHT, BUT WE'RE HAPPY TO ANSWER ANY QUESTIONS. 
          OTHERWISE, THAT'S ALL WE HAD TO SHARE WITH YOU TONIGHT. 350 THAT'S THE LOW END OF YOUR HOUSES, RIGHT? SO IT'S KIND OF A MID RANGE OF THE, OF WHAT IS IT GOING TO GO TO? SO I THINK THE UPPER END OF THESE HOMES IS PROBABLY GOING TO BE UNDER 400,000 THERE. PROBABLY 375. I THINK THE LOW END IS PROBABLY GOING TO BE, YOU KNOW, AROUND 300, MAYBE A LITTLE BIT LOWER FOR SOME OF THE SMALL SOME OF THE, THE TWO STORY HOMES THAT WE'RE GOING TO DO. SO THERE'LL BE A RANGE OF HOMES IN THIS DEVELOPMENT. SO WE'RE TRYING TO COVER A LOT OF, YOU KNOW, A LOT OF THE SPECTRUM FOR HOMEOWNERS HERE. WELL, MOST PLACES THAT Y'ALL BUILD. DO YOU HAVE A KID WITH MOST, MOST EVERYWHERE WE GO TODAY WE'RE DOING THE PYD AND, AND AGAIN, IT'S JUST, YOU KNOW, PYD BONDS ARE TYPICALLY MUCH CHEAPER THAN THE TYPICAL FINANCING THAT WE CAN GET FOR A LAND DEVELOPMENT. YOU KNOW, IF WE GO TO A BANK, YOU KNOW, INTEREST COSTS ON A BANK LOAN TO FINANCE THE SAME CONSTRUCTION COST IS PROBABLY A DOUBLE AT LEAST. SO IF PYD RATES TODAY ARE PROBABLY SIX, 6.5% FOR A LOAN THAT YOU CAN FOR BONDS THAT WE COULD SELL, YOU KNOW, IF WE HAVE TO GO DO AN ACQUISITION AND DEVELOPMENT LOAN TODAY, THOSE ARE AROUND 12%, BELIEVE IT OR NOT. SO IT'S IT'S EXPENSIVE TO DEVELOP. SO THERE'S A THERE'S A BIG 
          [00:20:05]
ADVANTAGE HERE TO KIND OF KEEP OUR COSTS DOWN THROUGH INTEREST SAVINGS, BUT IT'S ALSO A MECHANISM TO KIND OF, YOU KNOW, IN THE END, SAVE THE HOMEOWNER SOME MONEY HERE AS WELL. SO. 
          ANY OTHER QUESTIONS? SO YOU'RE JUST THE LAND DEVELOPER. YOU'RE NOT, WE'RE JUST THE LAND DEVELOPER. SO DO YOU HAVE A HOUSE BUILDER IN MIND THAT'S WANTING TO COME IN THAT WE'RE IN DISCUSSIONS WITH AND ONE WE'RE REALLY CLOSE WITH, WE'RE JUST NOT IN THE FINAL THROES OF THE NEGOTIATION ON THE CONTRACT. SO I CAN'T DISCLOSE YET. NO, THAT'S OKAY. BUT THEY'RE BUT THEY'RE THERE AND THEY'RE A BIG NATIONAL HOME BUILDER. THEY THEY WANT TO BE HERE. AND, AND SO AND THE PLAN IS TO START PHASE ONE, YOU KNOW, PROBABLY IN JULY IS THE PLAN. IF ALL COMES TOGETHER AND THEY'RE ALL GOING TO BE BUILT BY ONE BUILDER, THEY'RE NOT CUTTING THEM IN THIS CASE. THEY'RE ALL GOING TO BE BUILT BY ONE BUILDER. OKAY, SO THESE BIG NATIONAL HOME BUILDERS, THEY THEY NEED LOTS TO BUILD ON. AND THEY, THEY LOVE COMMUNITIES LIKE THIS WHERE THEY CAN BE IN IT FOR 5 OR 6 YEARS. AND THEY ESTABLISH THEIR SALES TEAM AND THEY STAY PUT. AND THEY JUST GOT TO BUILD THROUGH. AND THIS WILL BE ABOUT A 5 OR 6 YEAR PROJECT. SO WITH THE SPORTS COMPLEX, THE CONCEPT CONCRETE, THAT'S JUST THE PLANNING PART, RIGHT? THAT'S NOT THE CONCRETE IS NOT THE COMPLETED. SO THE CONCRETE IN JD'S EXAMPLE, THAT'S KIND OF THE COMPLETION, THAT'S THE BUILD OUT OF THAT. SO THEY WERE BEING INVOLVED FROM THE CONCEPT PART, WHICH IS WHAT WE'RE DISCUSSING TODAY AND THE FEASIBILITY PART OF IT. BUT THEY WOULD STAY INVOLVED ALL THROUGH THE PLANNING. AND WHEN WE GET TO THE CONSTRUCTION POINT AS WELL, THEN THEY WOULD BE KIND OF STANDING THERE WITH US AS A CONSULTANT ON THE CONSTRUCTION PIECE AS WELL. SO THAT'S THE CONCRETE PART. HOW LONG WILL IT TAKE? I DON'T KNOW WHERE HE WENT. HOW LONG WOULD IT TAKE FROM THE TIME WE START THE COMPLEX? SO THE, YOU KNOW, THE INTENTION IS WE'RE GOING TO DO A FEASIBILITY STUDY THIS YEAR. SO OVER THE COURSE OF THE NEXT SEVERAL MONTHS, WE'LL DO THE INITIAL FEASIBILITY STUDY TO REALLY DETERMINE WHAT IT IS THAT WE'RE GOING TO BUILD. AND, YOU KNOW, WITH, YOU KNOW, WITH THE CITY. SO WE'LL ALL DETERMINE THAT TOGETHER. AND THEN PHASE ONE OF THE SPORTS PARK IS DETERMINED TO BE A SMALLER SECTION OF PROBABLY, YOU KNOW, A BASEBALL FIELD, THE SOCCER FIELD, PARKING TO GET THINGS GOING. AND THAT'LL I THINK OUR PROJECTION IS FOR THAT TO OCCUR RIGHT AROUND THE BEGINNING OF PHASE TWO OF THE HOMES. SO ONCE WE GET PHASE ONE OF THE HOMES ON THE GROUND AND THERE'S SOME MONEY COMING INTO THE TOURS, THEN WE CAN START LOOKING AT CONSTRUCTION FOR PHASE ONE. AND THEN PHASE TWO REALLY ISN'T DETERMINED. PROJECTED TO START UNTIL THE TOURIST FUND REALLY BUILDS, YOU KNOW, PROBABLY TOWARDS THE END OF THE DEVELOPMENT WHERE, YOU KNOW, ONCE WE GET TO A POINT WHERE IT GENERATES ABOUT $600,000 A YEAR IN ANNUAL TAXES THAT GO INTO THE TOURIST FUND, IS WHEN WE WOULD START BUILDING PHASE TWO. SO AS FAR AS THE CONSTRUCTION OF THAT IS REALLY GOING TO BE DETERMINED BY WHAT WE DECIDE TO BUILD AND THE COMPLEXITIES OF THAT. SO, YOU KNOW, IF THEY'RE GOING TO BE TURF FIELDS OR NATURAL GRASS FIELDS, OR WHAT THE EXTENT OF THE CONSTRUCTION IS GOING TO BE, I THINK THAT WILL DETERMINE HOW LONG IT'S GOING TO TAKE TO BUILD. OKAY, SO ANY FURTHER QUESTIONS? NO, SIR. ALL RIGHT. 
          WELL, THANK YOU VERY MUCH. THANK YOU. SO NOW WE'RE READY FOR 551087 DELIBERATION 
          [EXECUTIVE SESSION ]
REGARDING ECONOMIC DEVELOPMENT NEGOTIATIONS. AND IT'S ON THE NEXT PAGE. CHAMBERS CREEK DEVELOPMENT CREEK. JOIN THANK YOU. YOU GOT THE YOU GOT THE RECORDING. OKAY. SO WE'LL 
          [RECONVENE INTO OPEN SESSION AND TAKE ANY ACTION NECESSARY PURSUANT TO  EXECUTIVE SESSION]
RECONVENE AT 726. AND THERE'S NO ACTION TO TAKE FROM EXECUTIVE SESSION. SO WE WILL ADJOURN.
* This transcript was compiled from uncorrected Closed Captioning.