Honey woman, lift the rope, here we go, route C, speed The best things in life are for free Are for free, baby No more than you're willing to give Cause you won't be living nothing for a good living It's for free And I won't let you by myself You see, I'm gonna do, I'm gonna do, we're gonna do, I'm gonna do The very best I can To be your lover cause I understand Feels good, feels good, feels good, feels so right I still don't think they got it Let's tell them one more time Check it out Everybody needs to know that Everybody needs to know that I'm gonna do, I'm gonna do, I'm gonna do The very best I can To be your lover Cause I understand Feels good, feels good, feels good, feels so right I still don't think they got it Let's tell them one more time Check it out Everybody needs to know that Everybody needs to know that Everybody needs to know that Everybody needs to know that I'm gonna do, I'm gonna do, I'm gonna do The very best I can To be your lover Cause I understand Feels good, feels good, feels good, feels so right I still don't think they got it Let's tell them one more time Check it out Everybody needs to know that Everybody needs to know that I'm gonna do, I'm gonna do, I'm gonna do I'm gonna do I'm gonna do I'm gonna do I'm gonna do I'm gonna do I'm gonna do I'm gonna do I'm gonna do I'm gonna do I'm gonna do I'm gonna do I'm gonna do I'm gonna do I'm gonna do I'm gonna do I'm gonna go okay, go ahead and get started. We'll call this meeting to order this, committee of the whole for the F Y and we'll go straight to the agenda and the first item on the agenda is the F Y 2026 quarter three financial update. So I would say commissioner Hensley, but I see director Holbrook at the podium. So director, I'll turn it over to you. Commissioner Hensley is going to talk to you all a lot today. So I'm going to kick this one off to give her a little bit of a break. We always start by just going through with our comparison of what our adopted budget revenues versus expenses is. Um, as you can see, we're in a month where, um, revenues are, are budgeted to exceed expenses. Didn't quite come out like that, but it's pretty close. We don't have many months like that. So we're gearing up for April, which is our big month in revenue. And so we'll talk a little bit about that as we go, uh, as we look at what's happened in the previous nine months and then also looking forward a little bit. So just looking at, uh, at the comparison of up through quarter three with our actuals, you can see we've got a one year surplus or deficit of $429,000. So pretty close once you consider our revenues, expenses, and transfers. Uh, revenue collections are slightly above budget for the first three quarters. We ended the year, the calendar year, with the 2.6% variance. Uh, we've had a little bit of tightening since then. It's now 1.8%, so coming a little bit closer to what we budgeted. Um, and, uh, tightening over the last three months. That's not really something we've seen over the last few years, but something that we've talked about and have been anticipating to some extent. Right now, uh, we, if you happen to walk by the revenue office, we got 13 tubs of mail yesterday. Uh, net profit revenues are very volatile, but the mail is coming. So, um, we're hoping that even though it's hard to estimate, that large volume of mail coming in is going to exceed our expectations. Um, for that revenue source. We did have, we've talked a lot about the transfer of money from last year to this year because of the extended IRS deadline of November 4th last year. Um, that's something that we don't anticipate anything like that happening or any further collections. So that's, that's pretty much stabilized and we're really just looking at what our current year collections are. Uh, on the expense side, personal variance has grown $8 million under budget, uh, after processing sick payouts and mid-year retirements. And so that's something we'll be looking at for reallocation. And then we're also just continuing to monitor our operating variances to look, uh, as we see the current economic events. Um, and particularly looking at full fuel cost increases and contract surcharges, um, as we go into quarter four. All right, so this is, uh, at the end of each quarter we do just a visual representation of what we have budgeted and comparing prior year and current year, uh, on our two largest revenue sources. And we also see that sum on expenses. One of the things I want to point out, and we've seen this just in the last couple months of reporting in January and February. We did not see payroll withholding meet what we expected to budget, uh, or even prior year. And a lot of that started in January. And, uh, I'm just going to tell a very, give a very brief explanation. The deadline for paying your payroll, uh, withholdings is January 31st. And so if it comes in late, or it's sent on the deadline, it comes in in February. We use lockbox processing, so that takes, that's done by Fifth Third Bank. That takes a little bit of time. And so whenever you have some of our larger payers that go into that, mail runs a little bit slow. We had the ICE event that we talked about. Some of that starts to come in a little bit later. We had one of our largest payers who, their January payment didn't get here until the middle of February. Their February payment didn't get here until March. And then the March payment finally got here on time. And so we're, we're finally getting caught up. And you can see that large spike in March, um, that's really just catching up from what we should have seen in January or February. Uh, on net profits, we've, we've sort of bounced around a little bit all year. Some, some months above budget, some months below budget. Um, some pretty close to what we've seen in prior years. But really, April, April 15th is the big deadline. And so this is what we're working on right now, trying to get processed. Um, we're trying to work through all the mail we've got so we can get everything in the bank. And have a really clear representation of what is our most volatile revenue source going into the end of the fiscal year. Just looking at the rest of our revenue sources. Insurance, as we've talked about over the course of the years, performs slightly under budget. When we look at the year over year comparison, you'll see that be a little bit, um, should be a little bit higher than what it was, uh, in previous, in the previous year. Um, franchise fees, we've continued to see that exceed what we budgeted, um, due to some changes in utility rates. And then also with, um, with some of the, uh, some of the colder weather. And then also, um, maybe a little bit longer heat as, uh, as we went into the fall. Um, some of the other items to talk about. On services, that's one we've seen. We've talked about the excess fees and collections that we see at the end of term for our sheriff and for our county clerk. That's, that's been an area where we've seen, um, some good benefit. And then also, our detention center bed fees are continuing to exceed budget. So, those are two areas that are really pushing that one revenue source up. Um, as we, as we, as we've said in other months, the, some of the percentages are pretty large. But in the rest of those lines, the, the dollar amounts are relatively small compared with what we see in the, uh, at the top of the, top of the screen. Overall, like we mentioned in the introduction, we're $7 million above where we anticipated being at this point, or 1.8%. Um, and as we saw a lot of growth in the last few years, we really tried to capture a lot of that in the budget. And so, that's something that I think we've done a pretty good job of as we've come into this year. And we're tracking pretty close to where, uh, to where we'd be much closer than we have in the past few years. Looking at the comparison for year over year. We've had some, uh, strong revenue growth that we were able to capture a lot of in our budget process. So, 7.3% above where we were at this point last year. $26 million more revenue. Um, so that's, again, that just goes to show that we did a better job this year budgeting some of that than we might have in previous years. Where we had growth that was just out in the norm for what we've seen with our revenue sources. Um, just to point out a couple. One is insurance. That's, we haven't seen that track close to budget all year. It's been pretty close. Um, but it is tracking above what it was prior year. And so, uh, that's, that's an area where we do, we have seen continuous growth over time. Insurance is not one that typically decreases. And so, it's really just trying to find the right rate for, um, for what that looks like year over year, um, for the budget. Um, overall, everything else across the board. There's some small variances once you get some of the individual lines where they're not quite matching up or not, not meeting prior year. But overall, um, on the whole, everything's exceeding prior year budget by 7.3%. Uh, unless council has any questions, I'll be happy to turn it over to Director Luker for the expenses. Thank you, uh, Director. Council members, do you have any questions? Uh, first up, we have Council Member Baxter. Thank you, Chair. Thank you, Wes. Um, question about the slide, the FY26 payroll actuals versus budget. The chart? The chart, yes. Thank you. Um, I mean, the numbers have worked out fine, but I'm just curious about the anomaly in February from FY25 to FY26. Do we know what, what that was? So, based on some mail we got and some news reports, there was a large amount of mail that was not delivered out of the Louisville Processing Center for USPS. And so, since we have things that, especially even locally, that goes there to be processed, um, that just happened a lot sooner. The issue with FY26 really is just one of our larger payers, um, the timing of their payment just ended up. Just different now, just the way it was reported. Okay. Alright, I just wanted to make sure we didn't lose a big employer or something. Okay. Alright, thank you. You're welcome. That's all I have, Chair. Thanks. Council members, are there any other questions for Director Holbrook in regards to the revenue? Director, I will ask. You said, um, I think we kept asking the question last budget year about the extended filing period. And I think you mentioned that it was running 4% over budget, 10% over prior year. So, do you know what the actual impact was to our budget based off that extended filing period? With the debt profits is what you're talking about? Yeah. Um, it was a few million dollars, and you can really see in October, November, December, and January where that hit. Um, those are really, not all of it, but a lot of that is tied to those returns that should have been filed and paid in the prior fiscal year of April that just had automatic extension from the IRS. So, somewhere to the tune of around $3 million. Okay. So, you were right. So, it really wasn't going to be a big boom like we thought it was going to be, but we did feel some fluctuation in it. Yeah. And that's the size of, we would have been pretty close to budget last year in net profits if we had realized those filings in April or shortly thereafter. And so, there's about a $3 million hole in the prior year budget. When we got the pencils down that we are seeing the benefit of now, it's just making this a little bit higher than it would have been otherwise. Yeah. All right. Thank you for that. There's no other questions for you. So. Thank you. Director Luca up next. Good afternoon. Let me get forward a few slides here. Here we go. All right. So, this first one is our personnel chart. So, you can see by looking at the chart, there's a couple of spikes. We had three payrolls in August. We had three payrolls in January. We had retirements. We had sick checks. So, that's why January is nearly a $45 million payroll month. So, we've got those spikes as we go throughout. And then June gets some of the accrual back from the July pay period gets accrued back. So, that's why it's up a little higher and you don't see our payrolls completely even across the calendar year there. You'll see with the exception of just like a couple little ones there, we are spending more than we did on personnel than FY25. And we are just about at budget each month. So, while we have a payroll variance, we are very tight to our budget this fiscal year. The operating is a little bit different of a story. You can see we are spending more than we did in FY25 with the exception of two months. But we are spending below budget. And so, this is a trend. And I don't want to steal the Commissioner's thunder because I know she's going to talk about the budget process in the next presentation. But this just goes to show why we approach the budget the way we did this year. Because we are, while we're spending more than we did in the prior year, we're not spending our operating budgets. So, this is a great illustration of that and a good setup for the next presentation. Here are the numbers that go along with the charts that I showed. You can see the $8.4 million in personnel. It's only a 3.4% variance, so that's very close to budget. And we have targeted this for a lot of this savings for the pre-fund that's part of the Mayor's proposed budget for FY27. When we dig into our operating, we just completed our quarterly budget meetings this morning and got some more feedback from divisions on variances. So, we know we have large variances in our equipment accounts. We have public safety classes that are going to be starting in May. And so, the equipment will be purchased then. So, that will take some of that variance away. Unfortunately, this is still showing a salt variance. We know that is going away. We'll have about $20,000 left, I believe, is what they anticipated. So, $600 and something thousand is showing up for that right now, and we know that one is going away. We also have fuel savings in here, but Wanda's been continuously watching that. And she's been letting us know the price increases she's seeing on that. And so, we know some of that variance will also start to go down as the fuel prices have risen. There's also a couple of larger items in here that were put in as part of the fund balance. So, the money for the homelessness, it's still sitting in the general fund. That is showing as part of this $15.8 million variance. And we have a little over a half million dollars showing up for the medical debt as part of this variance. So, we know that this is a large number, but when we take it apart with the pieces and start pulling back, we can identify some of the larger items here. And we know some of those items will be spent or encumbered or move forward to the next fiscal year. The insurance, it's a negative. That BA, we walked on last week, and so it will get second reading next week. So, this will be corrected for the next month's reports. We should have that lined out so we won't have that negative variance there. The debt service is just the timing thing with the way the budget was set up. And then, the partner agencies, some of that is for the library and then some of that is the LexTran microtransit money. So, that's what's making up that $1.2 million variance there in the partner agencies. Overall, our operating expenses are $25 million to the good. And then, when you add in the transfers, we are changing fund balance of 35 million. So, we've got some savings there. And like I said, we've identified some of the larger items in the operating variance. And then, the personnel variance, we've identified those as part of the pre-fund for FY 27. Now, when we look compared to prior year, you can see in all of the accounts, we are spending more than we did. Personnel's up almost 5%, about $10.7 million more than the prior fiscal year. Operating's up 3.5 million. Our insurance expense is up. Debt service is up. All of these expenses are up as things get more expensive and stuff costs more. So, it makes sense that we would see higher numbers than we did the prior fiscal year. All right. Any questions before Commissioner does other funds? Council Members, are there any questions for Director Luker? No, ma'am, I'm not seeing any. Looks like you did a great job of presenting. So, thank you. Commissioner? So, for our other funds quarterly update, we always like to leave in the informational slides just to remind everybody about what the funds do. They are restricted for their individual purposes. They do have the beginning fund balances. Those are as of June 30th, the last time that they were audited at the very top of each slide. So, you can see what each one has with the exception of the landfill fund, which has that post-closure obligation. Those are all their beginning fund balances that we're able to use, just like the others, just for their restricted purposes. But as Melissa noted, and as we went into our budget process, the other funds are not necessarily experiencing different situations than the general fund. And so, you'll see as we flip through these, they're experiencing much the same thing. In our operating accounts, a little bit of lag in some of our capital items as we're experiencing delays in some of those large vehicles and equipment purchases that we're also experiencing in the general fund. And some of the personnel running variances that are very similar to that that we're experiencing in the general fund. So, as we get into urban services, just a reminder that includes our waste hauling, our street lights, and our street sweeping. All three of those activities are in this fund. They're lagging just a little bit on their revenue, but they are more than making up for that in their expense savings this year. So, overall, in their year to date, they are running ahead of where we thought they would be. We thought they would have a positive end of year or to date budget of $5 million. And they're actually running ahead of that by almost $11 million. So, while some of that will move over, as Melissa stated, with some of those PO roles and things that will continue on into the next year, they're doing much better than expected at this point. Sanitary sewer funds, kind of the same story. They are running ahead on their revenues. They're running a little bit ahead of budget on, well, behind budget on personnel. So, creating savings, again, operating, you can see that they are running well behind where we expected them to be on their operating expenses and also on their capital. So, again, same story for a lot of these funds as what we're experiencing in the general fund. Water quality funds, almost to the penny on our revenues. We've experienced almost exactly what we thought we would see as far as revenue goes and very close to budget as well for our expenses. Almost exactly on the button for our personnel costs. A little bit under-expended so far on our operating and our capital is almost exactly where we thought would be in this fund as well. Landfill fund, this is the one I mentioned just as a reminder that has that post-closure responsibility. So, we have to maintain between 22 and 23 million. We reassess that every year for a period of time to make sure that there are no environmental issues at the landfill, and so we'll maintain that portion of this fund balance for any concerns that would arise throughout the course of that post-closure time. We're running just a little bit behind schedule on our revenues here, but their expenses are also running behind schedule. So they have a positive change in fund balance through the end of the third quarter of $1.4 million. And this is our first time that the Parks Fund is making an entrance in our other funds. We do want to note for you all that we've got our collections to date noted. We really haven't started the expenses just yet, but that'll be coming in fourth quarter. You all will see those as we start to really get into those projects and expend those. But our collections did exceed our budget. We have $8.3 million at this point. We'll probably see just a smidge more that'll come in through the end of the year. But we did have some revenue that exceeded what we projected for our first year of the Parks Fund. And so we did want to bring that in as the first time that we would see that and some slide information for our residents. Any questions on any of the other funds? Okay. Commissioner, I have a quick question. So last year when we budgeted for the Parks Fund, there was a contingency amount. How does that work on the budget year going forward? Did we just roll that contingency if it wasn't spent into the allocation for the coming year? So we're just now starting on all of those projects that were budgeted. And so we'll probably go through the cycle to see if any of the projects that were budgeted in that year need any of that contingency. And as we're going through those projects, if we're not seeing that they're going to need those contingency funds, I'm sure that Monica and her team will come back to you, just like we use any of the other funds, to ask if we can program the use of those funds in the contingency, either the current year or following year, as they see that they're not needed. Since it's the first year, I don't know that they've really, and they're just now getting off the ground, I don't know that they've made a specific plan for those moving forward. But those would come back through like a BA, just like you would be used to seeing. They would just note the Parks Fund as that line item. Okay, and those funds have to stay within that fund. They can add to it to finish the projects, but they can't move that money outside for- Right, they'll live in that 1148 fund, just like one of the other restricted funds that you would see. And so it would be a BA from the Parks Fund to add a project in the Parks Fund. So it would be out of that contingency into a project. Okay, all right, thank you. Any other questions? No? Okay. We do have ARPA financials for your information. But I also want to note that we are 99.9% spent on our ARPA funds as of this month. So, toot toot, Hillary, she's back there. We don't normally go over those, but I wanted to make sure that we noted those this month. All right, and we also have our mayor's proposed budget presentation. Today? Commissioner, before you dive into that, I see the mayor back there. I didn't know if, Mayor Gordon, if you wanted to say anything about the presentation before the commissioner goes into it, or are you good? No. Mayor Gordon? All right, thank you. Thank you, Mayor. Go ahead, Commissioner. Okay, so this year was a little bit of a different budget. As we're all aware, this was a very strategic budget for a number of different reasons. And so the presentation this year is a little bit different than we're used to seeing. So I wanted to bring back to mind kind of the goals that we all set for ourselves in the joint budget retreat and the things that we were looking to do as we were going through this budget. So as we always do, we kind of start with what resources do we have available? We took a look at our unspent dollars, our capital dollars, bonded dollars. We always call it the couch cushions. What do we have that is not being utilized currently that we can find a better use for? We worked within the confines of a more normalized revenue growth. And then we strategically applied our pre-fund dollars. And this is the lowest amount of pre-fund that we've had in years. We're going to have another slide on that in just a minute. But that was one of the things that we talked about quite a bit in that budget retreat. How we've balanced the budget over the last several years and the different sources of funding we've used to kind of make that work. And so we're really trying to get back to the basics of using our recurring revenue and recurring expenses to meet those needs. And so when we talked about those, we have the revenue side and then we have the expense side. And so those two things have to work jointly. So I kind of went through as, how did we do? So these two are the slides that we had in our joint budget retreat. These were the things that we said, these are what we have to do. So we said no new and expanded positions. We almost got there. We have three. So that was pretty close, pretty good. We know that those add recurring expenses. And so really having some restraint on adding those recurring expenses was important. Looking at the structure and allocation of health costs. Health is a huge driver for us. We knew that that was going to be a challenge. We had a good health here, but we're still, with the help of HR, looking at our benefits that we're offering. And I think we're going to be bringing a whole nother plan to market this year, which we're all very excited about, that will give our employees even more options. Detailed analysis of part-time, seasonal, and overtime dollars. What do we contract? What do we do in-house? How do we charge out those folks? Where do we get our additional labor? We've really done analyses of, is it better to hire, is it better to contract? How do we bring those folks in? And really looking at those hours and what we need to supplement our labor. Prioritize the have to have. We keep talking about the increased cost of our utilities, and that's not going to stop. We've got another couple of letters where we're going to continue to see those cases come forward. And those have had to be included in our budget. We've honored our commitments. All of those contracts that we have in place that you all have continued to see come through council with those increases for our softwares, for our things that we already have in place, those are incorporated into our budget. And strategically remove excess. We just showed you all those operating budgets. We know that we have places that we can be more efficient. And so we were very, very careful to go through and make realignments where we can within those operating budgets to make those dollars work better for us. And then our commissioners were able to rethink and reprioritize across the board within their departments. What might work better and make strategic decisions. And they took a much more active role with us this year in being strategic thought partners, even across the government. So I think we were able to employ all of the strategies that we knew we would need to put in place to make this budget work. So, what does it look like? Our general fund appropriations this year were $546.7 million. Our proposed pre-funding is $10.1 million for a general fund package of 556.8. Our overall budget, including other funds net of transfers, is 847.4. So that includes all those other funds, urban services, water quality, all the other things get you to that 847. We looked at all of those other balancing strategies all over the course of the other years. Our goal this year was to get to ten. We weren't sure we were going to make it with all of the additional resources that were needed during our ICE events over the winter. But fortunately, March came in much better than we expected, and our personnel savings have helped us get to a pre-fund of $10 million. Now, we've used that very strategically, so that's not recurring, and we'll be able to move into next year. But also, we were able to do a reallocation from bond and capital of $5.8 million. $3.3 million of that is from interest that we have earned by investing bond dollars that have not yet spent. So we have had those dollars invested while we're waiting to spend those funds. And that also saves us another $700,000 if we would have had to go bond those items and pay for them with new bonded dollars. So we've been very strategic in how we're using the money that we have. While it's a good interest rate environment, we're trying to use as much of that opportunity as we can to keep as much money invested while still maintaining the cash flow that the government needs to have to operate. So we talked a little bit about our pre-fund. These are the items that we've got in here this year. ESR is, of course, a first one. That is something our partners enjoy having, that helps them know what's coming and helps them kind of proceed in their next year's allocation. E911 subsidy is something that we've talked about over the last couple of years. E911 does not fund itself. And so the general fund has been assisting with funding its operations over the last couple of years. $2.1 million is the largest its subsidy has been. And so we'll be allocating $2.1 million again to that fund to help its operations. We have police fleet replacement for 1.5. Parks roof maintenance capital again, 560,000. Legal aid eviction assistance, that's been incredibly successful. Started during COVID and it's been very successful throughout. Facilities and fleet PSOC roof replacement, also capital. And then our public facilities corp, that's also another fund that needs some help. And so those things, either timing wise or because they're another fund, really lend themselves well to a pre-fund. In our revenue projection of $546.9 million, the vast majority of that is payroll withholding. We'd just like to give a good picture of how much of that is our payroll withholding, how much of that's net profits, insurance, etc. Wes always likes to say 85%, 85% comes from the people that are working in Lexington Fayette, the businesses, insurance, and franchise fees. And that's kind of how that breaks down for us. We wanted to give you a picture, a visual of how our revenue grew, how quickly it's grown over the period of time that was kind of that COVID recovery. You can see the several years before, it was relatively stable, and then we had a huge incline over the 21 to 25 period. And now we're having that smaller incremental growth as we go forward. And so we expect that to continue as we're moving ahead. In our items by category, personnel, as always, is our largest. That usually hovers between 63 and 65%. We held our personnel growth to 1.4% this year. And that was very intentional with that small addition of new positions. Our operating, however, has grown from, it's again, usually between 14 and 16%. It has grown because it includes those contract costs that we talked about. Those have to have things that we're already committed to, to having the continuation of government operations. Debt service is at 10%. Partner agencies, just as a reminder, is vast majority of that is the library. You can see over time the number of positions that we've added, and I just wanted to keep this as a reminder. We're going to be at $341.5 million of our budget is our people. That includes our health insurance, that includes our benefits, that includes retirement, all of those pieces that really come with our personnel costs with only those three additional positions this year. We did talk about in our budget retreat that without doing anything, our personnel costs go up. That is our health insurance costs, that is our retirement, that is our steps increases in our public safety contracts. But then there's also new investment this year, 2% salary increase for non-sworn and those three new positions. And so there is a little chart over there that you can see what those three new positions are. The two are the Parks and Recreation over at the new Senior and Therapeutic Center that will be opening this year. And then the one Development Liaison position, the CAO's office. I'm incredibly thrilled about this slide in particular. Our debt service is 10.09%. And it has held relatively constant for the last four years with intention. We have been very, very intentional about what we've tried to pay cash for and what we have bonded. And again, that has been an effort. And so we're very excited about that. But that has not been at a cost of doing capital investments in our government. You can see on the right hand side that we've been able to apply additional general fund dollars when we've had them and we've made large capital investments outside of ARPA. We talk about ARPA all the time and about the amazing investments that we've made. These are general fund investments. And these are investments that have been made on top of that. And so, just as a reminder, all of the things that we've done while really trying to maintain that bonding level. We've been also trying to contain our operating budgets. Last year we were able to hold to 3.3% growth in our operating budgets. We did a much larger look at those operating costs. This year, even with strategically evaluating those and re-appropriating funds to more efficient uses, our operating costs grew 8.2%. That is just a function of doing business. Our divisions were incredibly responsive, incredibly thoughtful, incredibly efficient, and this is just the cost of doing business. Things are just more expensive, and we have really tried to create efficiency here. And so, we appreciate everything that they've all done. This is cost containment, this is cost avoidance, but this is probably as small as we could have kept it. And we're at $88.2 million in our operating budgets. As far as our general fund by department, you can see the different components of public safety. This slide has changed a bit if you look over the history of what this used to look like. Because this year, Housing Advocacy and Community Development has a 3% wedge. We've been pre-funding HACD for the last several years. And so, it didn't used to show up in here, because it was in pre-fund. And so, this year, it now has its rightful place in our budget in this slide. So, it now includes the transfer for affordable housing in here in our regular operating. Our OPI, O-H-P-I, is in here, and our winter warming is in here as well. So, those are now featured in this slide. And that's all I've got for you today. If you've got any questions, I'm happy to answer them. I do have lots of supplemental slides as well, but I figured y'all wouldn't want to go over those. All right, Commissioner, thank you for the presentation, and I will say thank you for you and your team and the Mayor's office for the work that you all put in building this budget. As we continue to right-size our budget and build some things into it that we have pre-funded in previous years. So, thank you for all your work and your consistency at working to get us to this point. So, first we got signed up for questions is Council Member Ellinger. Thank you, Chair. Do we have any contracts with the collective bargaining that are going to be coming online that we're presently contracting right now? And how are we budgeting for that? I don't know if that's like negotiations that we don't discuss, but we have to put some kind of number there, I got to think. We have some open contracts. I'm sorry? We have some open contracts. Right. We do. And we have that as part of the- We have some availability of funds for those open contracts. Is that in, how is that shown in the Mayor's budget? It would be included in personnel. Okay. All right. I'll keep it at that. Thank you. Thank you. Thank you, Council Member. Next, we have Council Member Baxter. Thank you, Chair. Thank you, Commissioner. The question comes from the pre-funding slide, specifically the parks roof maintenance line. Yes. Now, I know that the parks fund can't be used for maintenance, but it can be used for capital. So then I go to my summary book, and I see there are some other capital expenditures listed. And since our collections exceed what we thought we were going to get, do you anticipate any of the items listed as a different funding source from parks? Do you think they'll end up using some of that collection? When we went through the projects, there are items that specifically are repairs and some that are replacements. Some that are add a full useful life that is an asset that we can depreciate that is capital. And then there are some that are just fix it. Okay. And some are specifically allowable in the parks fund, and some are really not what it's intended for. And so the projects that we have put in the general fund are projects that we have looked at and said those are probably really not parks fund projects, they're more maintenance oriented. And so I don't believe that anything will be moving over. Okay. There might be new things added over there, but I don't think there will be anything moving over. Okay. Well, I do have to add my two cents about how pleased I am with the budget and just the amount of work that has gone into it from your staff and the administration on making sure that we're, I hate to use the term right sizing the budget over and over again. But I am very happy at where we are, and I know a lot of work went into it. So, thank you so much. Thank you, Council Member. Next, we have Council Member Moore. Thank you, Chair. I just had a quick question, and whoever can answer, I guess, can tell me. I just had a question tied to the job description with the housing liaison position. I was wondering if that's been created yet. If so, could you please share that? But then if not, I would love to get some input tied to how this could be more of a public facing. It could address some community concerns that come up during development as well. Yeah, I don't know. We have not done a job description yet on the development liaison. I think when you saw the presentation that was given a month or so ago, there were a lot of job description in that one. When I look at it again, when we get ready to do this, and we'll bring it back to council so that you have total input into what we're doing. My opinion was that was too big a job, that we need to narrow some on there. But that's something that we'll bring back to you all to let you see before I put it out, if you approve it. Thank you. Okay. Thank you, Council Member. Are there any other questions? Council Members? All right, I just have a couple of thoughts, or a couple of questions. So the bond interest, when you were going through talking about the bond interest, how did you build that into the budget to, I think it said it saved $700,000 in current bonding interest. So can you kind of go through that? So the savings isn't built into the budget, but if you look at the last two pages in your budget book, you will see the reallocation. And it shows the bond interest that's being used, and then it shows the items that we are funding with that bond interest. And so you can see how much we've earned on the different bonds that we're then applying for new capital. But I just wanted to give a frame of reference for you all that if we had had to go buy those things, if we'd had to bond to new dollars, how much we would also be saving in interest. So not only have we earned that money, we're also saving what we would have had to spend in interest. Okay. And so the things that you spent that interest on had to fall within the same guidelines and the criteria as if in the bonding category, so to speak. Right, and the funds actually have to stay on the bond. So when we take out a bond, we're responsible for the principal and all interest earned, proving to the IRS that every expenditure on that bond was eligible for tax exempt expenditure, and that we used it for items that we were authorized to use it for. We're actually going through an IRS audit right now on a sewer bond, so I'm very familiar with this process. But the funds will have to stay on that bond and the projects will be assigned over there. But as long as we're spending it for items that are capital, that are owned by the government, for the same things that the bond was originally eligible for, and the expenses are recorded and stay in that bond fund, they're eligible for us. If they're spent in the appropriate time period. Okay, okay. Thank you for that clarity. Next, we have Council Member Sheehan. Thank you, Chair. I have a question about the paving allocation. So it looks like there was 10 million allocated within the bond package, and I know we have oftentimes done bonding for our paving. My question is about maintaining the same level of service. Because I believe years ago, just actually a little bit before I was on council, there was a subcommittee formed. And the recommendation was that we should be doing closer to $14 million in paving to be maintaining the roads that we have. So could you explain a little bit more about the choice of 10 versus 14 here? So there's 10 on the bond. Okay. There's two in MAP, and there's one in the right of way fund. Okay, so we're up to 13. There's actually 13 paving proper. There's a million for ADA ramps. But that's separate. Separate. Yeah. And so that was where, when we've talked with Streets and Roads, currently today they're still spending on last year's money. So that is where they're okay with their capacity. I do recall, I was in those conversations with the where do we want to land as far as what we think is where we need to be for bonding. And I know that there's a lot of conversation about what is the right amount. But we did try and get as close to the 14, 15 as we felt comfortable going. We did get it in three different buckets. That was all of the 13. The other thing that we have in here, and it's not necessarily paving, but we knew was an issue, was potholes, which is also not paving. And there's $200,000 for fixing potholes specifically that's outside of that. But just where we wanted to be with our total debt service, where we wanted to be with a bond, 13 was about as far as we thought we could go this year. Okay, thank you. Thank you, Chair. Thank you, Council Member. Kind of to the same point, I have a question about the, so ramps, the $1 million for ramps. That money used to just be built into the paving budget. Is that correct? Why are we spliced that out? I think that there was a hard time tracking what was paving and what was ramps and what was all the different things. And so we decided to start giving it its own allocation. So. And is that because, I mean, just due to ADA requirements, is that something that we want to make sure that we track and track our investment into that type of infrastructure? Is that part of the thinking about that? I think so. Yeah. All right, and then I also have another question about the development liaison. So the way it was funded in the budget was, did we fund the position for how many months? Was it, are we looking at September when it comes online? Yeah. It was September, and we funded as an administrative officer senior. Okay. Which would be a high position. And because by the time the budget passes and we get all the things cleared, it'd be September. Okay. So I'm supportive of this position. I think folks know that I have a thought about where it should be placed. But the other thing I have concerns about, or just think that we need to be thoughtful about this position, are some of the things that they're doing in planning currently to try to help the development process. Do we think September is enough time for some of that work that they're doing to shake out and help inform this job description and these job duties that it kind of works with some of the changes that they're making? If you remember, Commissioner Horne talked about that he thought it would take him six months. Okay. To look at really, because he's tracking himself, and then basically he would turn that over to this new position. But I think he thought he needed six months worth of tracking. And I'm not sure, and I'm sure he's here now. Is he? He should be here. Remind me of this. He's on his way, everybody. He's on his way. I tell you, you just can't get them all in line. I don't know if he started yet or not. So, but he, you remember that he talked about he needed six months? I do remember that. I just wonder if that's, do we think that we're going to properly put that job out for bid or for applications in September? I'm going to advertise the job. And even if, let's say he started in, I think he's starting now, but let's say he started in earnest in May, May, June, July, August, September, October. He's going to have his basis by the time this job's filled. Okay. I would think. Yeah, like I said, I'm supportive of it. I think there does need to be a public facing side, but I'd also like a little time for us to be able to hash out some of those improvements and some of those process changes that planning is implementing as well. And then my last question is going to be about Avalor, just thinking about this budget. And I know we've talked about it, I can't remember if it was last budget year or this budget year, about having a conversation about Avalor before we go on break. Just so when we come right back, because when we come back from summer break, we have to make a decision. So I just wondered if you could speak to how you built this budget, thinking about our next steps in regards to Avalor. The budget anticipates 4%. It typically anticipates 4% because we don't tend to want to box anyone into an increase. And we don't anticipate an increase this year over the 4%. Okay, so what you're thinking about it like that, do you have any ideas or suggestions about what could be shared with this council, maybe before we go on summer break? So when we come back, it's not just, we're just getting hit with it, or is that just hard to do? The challenge with the whole process is the timing of getting the digest. We don't even see it until you all are on break, which means we don't have a basis by which to make an opinion until you're already gone. So that really makes it challenging to pre-advise of anything, or even start to form our own opinions until we kind of know what we're looking at. I would love to be able to do that. That would be great for all parties involved, because we get really crunched, too, and it causes problems with meetings, and it's hard to try and hit you all as soon as you come back. It's really, we hate it for you all, and we hate it for us, too. But we don't see the information until you're already on break. Okay. Well, that doesn't help, but- Sorry, I can't fix that one. Yeah, okay, so no, thank you for that, and thank you for answering questions. And we'll move to the next item on the agenda, which is the FY 2027 Revenue Adoption Discussion. And council members, what we've done in the last couple of years is we have, after this meeting or at this meeting, have adopted the proposed revenue number. Just to help set a baseline for how our links are having discussions about the budget and the numbers that they're being presented. So with that, I'll ask Council Member Ellinger for a motion to adopt the revenue estimate. Thank you, Chair. I move to adopt the total funds available amount of $546,901,379 for the purposes of the council's discussion of the mayor's proposed FY 2027 general fund budget revenue. So moved. All right, there was a motion to adopt a revenue estimate number and seconded. Are there any questions to the motion? Hearing and seeing none, all those in favor, please say aye. Aye. Are there any that oppose? Hearing none, that motion passes. Council members, that brings us to the end of our agenda. Once again, I'd like to thank the administration for their work on the budget. Our finance and budget team for all their hard work. And council members, get ready to dive into the links and it's time for us to do our part. So with that, I'll entertain a motion to adjourn. I move. Second. All right, there's been a motion made and seconded to adjourn. All those in favor, please say aye. Aye. Consider this meeting adjourned. Thank you.