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[00:00:03]

ALL

[Legislative Affairs Committee]

RIGHT.

WELL, IT IS MONDAY, MARCH 22ND, 2021.

LIKE DAVID, WELCOME EVERYBODY TO THE CITY GO AND LEGISLATIVE AFFAIRS COMMITTEE MEETING.

I AM CHAIRMAN ROBERT JOHN SMITH WITH ME TODAY.

I HAVE COUNCIL MEMBER BJ WILLIAMS. UM, ALSO AS HERE'S A GUEST STAR HERE TODAY IS DEPUTY MAYOR FOR TIM DAVID MORRIS AND COUNCIL MEMBER.

ROBIN WILL BE A LITTLE BIT DELAYED TODAY, STARTING WITH THE AGENDA ITEM.

NUMBER ONE APPROVAL OF MINUTES, UH, COMES FROM WILLIAMS. SO YOU HAD A CHANCE TO READ AND REVIEW THE MINUTES.

AND DO YOU HAVE MOTIONS? YES, SIR.

YES, SIR.

AND, UH, UH, THOSE MINUTES? NO, NO, I'LL PROVIDE THE SECOND ALL IN FAVOR.

AYE.

AYE.

ALL RIGHT.

NONE OPPOSED THAT PASSES UNANIMOUSLY MOVING ON TO AGENDA ITEM, NUMBER TWO ITEMS FOR INDIVIDUAL CONSIDERATION.

THE FIRST IS TO A COMMITTEE HEARINGS, MR. NIGGER, THEN, UM, THINGS ARE IN FULL MODE.

UH, THINGS ARE MOVING DOWN IN AUSTIN, UM, AND, AND RIGHT OFF THE BAT, UH, WE GOT INVOLVED IN A COUPLE OF THINGS, UH, AND I'LL GO OVER THOSE HERE MOMENTARILY.

UH, I JUST WANT TO ALERT YOU THAT THESE THINGS ARE COMING UP AND THEY'RE COMING UP FOR REAR HERE SOUTH, UH, WITHOUT CASTING ASPERSIONS.

REMEMBER THE TEXAS LEGISLATURE, UM, HAS WAY WHERE THEY DON'T HAVE TO WORRY ABOUT OPEN MEETINGS, NICETIES.

UM, THEY GET SET FOR HEARING ON VIRTUALLY A MOMENT'S NOTICE BECAUSE OF THE WAY THEIR RULES ARE SET, SET UP.

AND SO, UH, WE HAVE TO RESPOND SOMETIMES.

UM, UH, WELL WE HAVE TO RESPOND QUICKLY, BUT SOMETIMES WE HAVE TO MOUNT UP AND ROLL DOWN TO AUSTIN, UH, IN A BIG HURRY.

AND THAT'S HAPPENING THIS WEEK.

UM, I JUST WANNA THROW THAT OUT.

IT'S KIND OF A, A WARNING TO YOU.

UM, BECAUSE AS I'VE SAID BEFORE, Y'ALL MAKE BETTER WITNESSES THAN I DO.

UM, OR BRIAN OR MIKE, OR RIGHT.

UM, OR LAURA, UH, BECAUSE YOUR ELECTED OFFICIALS AND I RESPOND TO YOUR COMMENTS BETTER, EVEN IF IT'S THE SAME MESSAGE.

SO WE MAY BE PREVAILING ON YOU TO GO WITH IT IF WE CAN SEND SOMEBODY OR PERHAPS EVEN ON YOUR OWN AND TESTIFY ON SOME OF THESE BILLS, UM, RESPECTFULLY THE MORE CRITICAL ONE.

UM, THAT SAID, UH, AS I INDICATED, WE JUMPED RIGHT INTO IT ON A COUPLE OF BILLS THIS WEEK THAT I THINK IT WAS FRIDAY, WE WERE MADE AWARE THAT THEY WERE COMING UP FOR HEARING TODAY.

UM, THE MAIN BILL THAT WE WERE CONCERNED WITH IS, UH, HB SEVEN 53.

UH, I DON'T HAVE THE AUTHOR'S NAME IN FRONT OF ME.

UH, THIS IS A BILL THAT, UH, UM, UH, ALTHOUGH IT LOOKS VERY SIMPLE, IT GOES BACK TO THAT RULE OF WORDS MATTER.

UH, THEY, THEY WERE GOING TO ADD SIX WORDS INTO THE TAX CODE IN A WAY THAT WOULD IMPACT HOW WE ACCOUNT FOR SHORT-TERM DEBT AND OUR TAX RATE.

AND, UH, ESSENTIALLY IT WOULD, I'M SORRY, I'VE GOT THE WRONG BILL NUMBER ON THAT.

UH, IT'S HB 1869 E 1869 AND, UH, LOAD THE WRITTEN TESTIMONY THAT I'M GOING OVER, UH, INTO THE DROPBOX FOR YOU.

I'M SORRY, REPRESENTATIVE BURROWS WHO SHOULD KNOW BETTER BOROUGH BILL AND BURROWS IS THE CHAIRMAN.

AND WE'LL COME BACK TO THAT ONE THAT MATTERS, UH, THE CHAIRMAN OF THIS COMMITTEE.

IT WAS A WAY FOR ME.

SO WHEN YOU ISSUE, I, I THINK, UM, UH, QUITE A BIT OF SHORT-TERM DEBT IN THE FORM OF, UH, CERTIFICATES OBLIGATION OR TAX ANTICIPATION NOTES OR, OR OTHER FORMS OF ON, UM, VOTER APPROVED.

YEAH.

WHEN I SAY NON-VOTER APPROVED, THAT DOESN'T MEAN THAT IT GETS ALL BE DONE IN THE BACK, UH, IN SOME DARK ROOM WHERE NOBODY GETS TO SEE IT OR ANY PUBLIC HEARING IS, YOU KNOW, IN GARLAND, UH, ANYONE CAN TESTIFY ON ANYTHING ON THE AGENDA.

UM, THERE ARE NOTIFICATION FOR REQUIRED BEFORE WE ISSUE DEBT, UH, PUBLICATIONS THAT HAVE TO BE A, THE PORTRAIT SHOWS UP ON YOUR AGENDA

[00:05:01]

AND CAN BE DEBATED AT THAT POINT.

BUT IT'S A VERY COMMON FEATURE OF MUNICIPAL FINANCIAL OPERATIONS BECAUSE IT'S, UM, UH, LIQUIDITY THAT WE NEED, UH, FOR THINGS THAT YOU WOULDN'T NECESSARILY TAKE TO A FULL BLOWN BOND ELECTION BOND ELECTIONS.

UM, JUST AS WE SAW IN 2019, THEY'RE, THEY'RE VERY INVOLVED.

THEY CAN BE, UH, UM, QUITE CUMBERSOME, UH, CIGARS KIND OF FILLED THAT GAP AND WE NEED THESE THINGS AND MORE AND MORE HURRY.

UM, BUT WE DON'T WANT TO DIP INTO OUR RESERVES TO DO IT.

UM, SO HB 69 WOULD HAVE MADE US ACCOUNT FOR SHORT-TERM DEBT, WHICH WE'LL GET, UH, YEARS, UH, THE TERM, IT WOULD MAKE THIS ACCOUNT FOR CHINOS ON O AND AM THE OPERATIONS AND MAINTENANCE SIDE OF THE BUDGET AND THE TAX RATE.

THAT'S A BIG THING.

THEY TRIED TO INCLUDE THAT IN SP TWO, THE REVENUES HAVE SPILL LAST SESSION.

UH, WE FOUGHT IT MIGHTILY TRYING TO TELL THEM IT'S BAD POLICY.

UM, BUT THERE'S STILL A MOVE AFOOT TO ESSENTIALLY BAN ALL, UM, NON VOTER APPROVED STAFF.

AND I BELIEVE THERE IS THAT THERE IS, IF WE DO THAT, THIS IS MORE OF A BACKHANDED APPROACH BECAUSE WHAT IT WOULD, WHAT THE BILL WOULD DO IS SAY THAT IF YOU HAVE NON-VOTER APPROVED, UM, THEN THEY HAVE TO BE ACCOUNTED FOR IN CALCULATING, UM, THE VARIOUS LEVELS OF TAX RATES THAT WE HAVE.

AND BY THAT, I MEAN, UH, WE HAVE THIS, UH, NO NEW REVENUE TAX RATE AND IT GOES UP AND THEN THE VOTER APPROVAL RATE USED TO BE WHAT WE CALLED THE ROLLBACK RATE.

UM, THE VOTER APPROVAL RATE MEANS IF YOU EXCEED THAT THREE AND A HALF PERCENT, AND THOSE CIRCUMSTANCES EXCEED A THREE AND A HALF PERCENT REVENUE INCREASE, UM, THEN YOU, YOU, THE CALCULATION SPIT OUT A TAX RATE.

UM, AND IF THAT TAX RATE IS OVER THREE AND A HALF PERCENT, UH, YOU HAVE TO HAVE VOTER APPROVAL FOR THAT INCREASE.

WELL, INCLUDING CEOS IN THAT FASHION WOULD PUT US OVER THREE AND A HALF PERCENT, ALMOST EVERY YEAR.

SO EFFECTIVELY YOU WOULDN'T DO CEO'S ANYMORE.

YOU'D HAVE TO TAKE THEM FOR SOME SORT OF VOTER APPROVAL.

UM, LIKE WE DO ON BOND DELAY, UM, THE, THE BIG PROBLEM WITH THE BILL, AND I THINK MATT WATSON FOR POINTING THIS OUT, UH, THE BILL CONTAINS A RATHER STANDARD EFFECTIVE DATE.

SO ALL THINGS CONSIDERED, IF IT WERE APPROVED AND SIGNED INTO LAW BY THE GOVERNOR, IT WOULD BECOME EFFECTIVE ON SEPTEMBER 1ST, BUT IT DOESN'T SAY, AND WHAT ABOUT EXISTING CEO DEBT? AND THAT'S A HUGE DEAL IF THERE'S NO CARVE OUT FOR, UH, ALREADY ISSUED CDO DEBT, THEN IN YOUR NEXT BUDGET CYCLE, WHICH WOULD BEGIN IN AUGUST AND YOU HAVE TO APPROVE THE TAX RATE BY SEPTEMBER 1ST, THAT'S THE COMPROMISE YOU WOULD ACT TO COUNT FOR THE CEO DEBT THAT'S ALREADY BEEN ISSUED? UH, MATT TELLS ME THAT KNOW IF WE, IF WE DID THAT THIS YEAR, UH, HE HAS A NUMBER IN HERE OF 24 SEVEN, A 24 TAX INCREASE ON THE OEM.

I, UH, HARD TO EXPLAIN, I DON'T KNOW WHAT IT WOULD DO TO HIS FINANCIALLY.

UM, HE ALSO POINTS OUT AND I THINK THIS IS A REAL GOOD POINT THAT THIS WOULD THIS BILL DOESN'T CARVE OUT ANYTHING FOR REFUNDING REFINANCING, AND WE REFINANCED BONDS WITHOUT GOING ONTO ELECTION, UH, IN ORDER TO TAKE ADVANTAGE OF LOWER TAX RATES OR SOME OTHER, UH, ADVANTAGEOUS, UH, UH, PART OF, OF A REFINANCING.

AND SO WE ISSUED REFUNDING BONDS.

YOU SEE THOSE QUITE A BIT ON YOUR AGENDA, AND THOSE ARE SUPPOSED TO SAVE US MONEY, BUT WITHOUT A CARVE OUT ON REFUNDING BONDS, THEN ALL THE DEBT SERVICE ON THOSE BONDS WILL BE FORCED INTO THE O AND M ACT RATE CALCULATIONS.

AND YOU WOULDN'T BE ABLE TO DO THAT.

AND YOU SCRATCH YOUR HEAD AS WELL.

IF THIS IS SUPPOSED

[00:10:01]

TO BE FOR THE BETTER FOR THE TAXPAYERS, THEN WHY ARE YOU GOING TO COST THE TAXPAYER MONEY? BECAUSE THAT TOOL WOULD BE FORECLOSED UNLESS YOU HAD, UM, SEVERAL TIMES A YEAR OR SOME KIND OF A REFUNDING BOND ELECTION OR PROPOSAL.

AND WE ALSO KNOW THAT, I'M SORRY, UH, QUESTION, IF, UM, IF WE'RE REFINANCING THE BOND IN THE MIDDLE OF THE YEAR, DO WE THEN GET CREDIT BACK FOR ALL THE PRIOR YEARS UNDER THIS PARTICULAR LAW? BECAUSE THE DEBT WOULD BE REALIZED IN THIS YEAR AND NOT THOSE OTHER YEARS, IT SEEMS LIKE THERE'D BE SOME SORT OF, OR THEY HAVEN'T THOUGHT THIS THROUGH OBVIOUSLY, BUT, UH, I'M JUST WONDERING, I MEAN, ARE THEY DOUBLE DINGING US ON THAT 3.5%? YEAH.

YOU FOLLOW WHERE I'M GOING WITH IT.

OKAY.

SO WHILE LET'S SAY THAT YOU WERE REFUNDING, I DON'T KNOW IF THIS EVEN HAPPENS.

I'M NOT A FINANCE GUY.

UM, BUT LET'S SAY THAT YOU HAD A CEO ISSUANCE AND IT WAS, UH, 15 YEARS AND YOU'D FIND OUT NEXT YEAR, INSTEAD OF THE 2% INCREASE THAT YOU WERE PAYING OUT, YOU COULD GET IT DONE FOR 1%.

SO YOU SHOULD HAVE A ON, UM, I GUESS YOU'RE RIGHT.

UH, UNLESS YOU DON'T ACCOUNT FOR IT IN HERE, UH, IT SEEMS TO ME, IF YOU HAD THAT DEBT ON YOUR BOOKS AND YOU HAD TO REFUND IT, BUT YOU'RE GOING TO REFUND IT.

YEAH.

YOU'D HAVE TO DOUBLE DIP.

I THINK THAT POSSIBILITY IS, IS REALLY, YEAH.

AND THAT WOULD BE AN INTERESTING PREMISE FOR LITIGATION, BUT I'LL LEAVE THAT ASIDE.

THIS IS, THIS IS ONE OF THOSE, UM, THE BILL I THINK IS MORE SYMBOLIC THAN ANYTHING, YOU KNOW, YOU KNOW, THEY'RE NOT REPRESENTING THE INTEREST OF THE TAXPAYERS AND ON AND ON, BUT IT'S A VERY BAD BILL AND WE'RE GOING TO TRY TO GET IN FRONT OF IT NOW BECAUSE OF THE TIMING INVOLVED.

AND I ALWAYS SCRAMBLING SATURDAY MORNING TRYING TO ARRANGE TO GET DOWN TO TESTIFY.

UM, THERE'S THE HOUSE SIDE, NOT SENATE SIDE, BUT THAT SIDE OFFERS THIS OPTION WHERE YOU CAN SUBMIT COMMENTS THROUGH A PUBLIC COMMENT ORDERS.

UM, THE PROBLEM IS THE PRACTICAL PROBLEM IS THAT I'VE BEEN TOLD THAT THOSE COMMENTS DID NOT BECOME PART OF THE RECORD.

AND I CHECKED NOT ONLY WITH TY, BUT, UM, ASH TML, HIS OPINION AND TML SAID, SAME THING.

IF YOU REALLY WANT TO HAVE AN EFFECTIVE WORD, UH, YOU NEED TO GET ANY WRITTEN TESTIMONY IN FRONT OF THE COMMITTEE ITSELF.

SO, UH, THE COMMENTS THAT I'M GOING THROUGH TODAY THAT YOU'LL FIND IN YOUR BOX, UM, THESE COMMENTS HAVE TO BE PRINTED OUT AND PHYSICALLY HANDED TO THE COMMITTEE CLERK WHO THEN DISTRIBUTES THEM TO THE COMMITTEE MEMBERS.

IN THEORY, THEY'LL HAVE THE, UH, THE ONE-PAGERS LYING IN FRONT OF THEM WHEN THEY COME INTO THE COMMITTEE HEARING AND THEY CAN CONSIDER AS A TESTIMONY THING GIVEN, UM, IT WOULD HAVE BEEN WELL.

SO WHAT WE DID NOW, IT'S KIND OF GOES TO THE LOBBING ISSUE.

UM, THANK GOODNESS WE HAVE TIED IT ON THERE BECAUSE IT SAVED A LOT OF LOGISTICS.

UM, I WAS ABLE TO SEND THESE TO TY YESTERDAY MORNING.

HE PRINTED ABOUT 70, A LOT OF THE LETTERHEAD, FULL COLOR AND EVERYTHING THAT WENT DOWN TO THE COMMITTEE, UH, ISSUE, UH, HANDED THEM TO THE COMMITTEE COURT.

AND THEN, UM, WHAT WE CALL DROPPING A CARD, YOU KNOW, YOUR REGISTER, YOUR POSITION.

HE REGISTERED A PHYSICIAN ON BEHALF OF HARLAN IN OPPOSITION TO HVA TWO 69.

SO WE'RE IN THE RECORD AS OPPOSING THIS BILL FOR THE REASON SHOWN IN THESE COMMENTS.

UM, UNLESS YOU HAVE QUESTIONS ON THAT, I'LL MOVE ON TO THE NEXT ONE.

RIGHT.

DO YOU DO, DO YOU KNOW WHAT'S TODAY FACE ON MONDAY, RIGHT? YEAH.

GOT OUR STONER TML CALLS SATURDAY.

DO YOU KNOW WHERE THE TML IS, IS SENDING COMPANION COMMENTS OR THEY'RE GOING TO DO PHYSICAL? I MEAN, NOW IN-PERSON TESTIMONY FOR COMMITTEES.

I ASKED THAT QUESTION AND I DIDN'T COME AWAY FROM THAT DISCUSSION CLEAR.

DO YOU KNOW, DO YOU KNOW WHAT IS GOING TO DO ON THIS BILL AND, AND, UH, UH, HB SEVEN 49.

I BELIEVE THAT, UH,

[00:15:01]

TML MONI, WHEN WENT AND TESTIFIED TODAY, I WASN'T ABLE TO WATCH THE COMMITTEE HERE.

I BELIEVE IT STARTED AROUND 10 O'CLOCK.

YOU HAVE TO WAIT UNTIL THEY COME IN UNDER THE GENERAL SECTION.

UH, IN THEORY IT WOULD HAVE BEEN AROUND 10 O'CLOCK AND, UM, UH, HE WAS SUPPOSED TO GO TESTIFY.

IN-PERSON ON BEHALF OF CML.

AND THEN, UH, ACCORDING TO OUR, YOU KNOW, WE CALL IT THE BIG CITY LOBBYIST GROUP, ALTHOUGH NONE OF US ARE LOBBYISTS.

UH, I BELIEVE THE INFORMATION AT WARREN ACT THAT SHE PARTICIPATES IN THOSE, IS THERE GOING TO BE A LOT OF TESTIMONY? UM, MOST OF THE BIG PLAYERS WHO HAVE A FULL-TIME STAFF INVOLVED IN LOBBYING, UH, THEY WERE GOING TO GO TESTIFY.

SO, UH, A LOT OF, UH, OBJECTION TO IT, BUT THERE IS A GOOD POINT TO RAISE THE CHAIRMAN, UM, IS THE CHAIR OF THIS COMMITTEE, AND THIS IS HIS BILL.

AND, UM, THERE ARE A LOT OF POLITICAL LIFE CITIES INVOLVED AND TRYING TO SEE OR NOT VOTE OUT, UH, THE CHAIR OF YOUR COMMITTEE.

SO NOT VOTE OUT HIS OR HER BILLS.

UM, YOU KNOW, WE, WE HAVE A LOCAL MEMBER AND YOU BUTTON SITS ON THAT COMMITTEE.

UM, WE, WE HOPE SHE'LL STAND STRONG ON THAT, BUT WE DON'T KNOW WHAT'S GOING ON IN THE BACKGROUND.

WE'LL JUST HAVE TO SEE MY NEXT, MY NEXT QUESTION.

THEN WE CAN MOVE ON.

ARE WE SHARING THAT TESTIMONY? NOT JUST ON THIS BILL, BUT ANY THAT WE'RE, WE'RE, WE'RE SENDING A WRITTEN TESTIMONY.

ARE WE SHARING THAT WITH OUR, WITH OUR REP, UH, DELEGATE? YES AND NO.

NOW WE WERE IN SUCH A SCRAMBLE, UM, THIS WEEKEND TO GET THESE THINGS DOWN FOR THEM.

I HAVE NOT AFFORDED THEM YET TO OUR DELEGATION, BUT THAT WILL BE THE NEXT STEP BECAUSE WE NEED TO TELL THEM ALL ABOUT OUR POSITION WHEN IT COMES UP, IF IT, IF IT COMES OUT OF COMMITTEE AND GOES THAT FAR AND MAKES IT TO THE FLOOR, WE NEED, UH, ALL OF OUR DELEGATES AND UNDERSTAND OUR VERY GOOD POINT.

OKAY.

AND HERE, BILL, I STARTED TALKING HP SEVEN 53.

AGAIN, I DON'T HAVE AUTHORS BRISCOE.

YEAH.

OKAY.

THIS WAS ENVIRONMENTAL REGULATIONS.

IS THAT WHAT THEY'RE CALLED? ENVIRONMENTAL REGULATIONS HOUSE COMMITTEE HB SEVEN FIVE, THREE.

WHAT THIS BILL DOES IS, UH, SO WE, WE CHARGED, UM, UH, A MUNICIPAL FRANCHISE FEE OF 5% TO OUR COMMERCIAL WASTE AND GARLAND.

WE ARE THE EXCLUSIVE PROVIDER OF RETAIL WASTE HAULING.

UM, BUT WE COMPETE WITH EVERYBODY ELSE.

UM, FOR COMMERCIAL WASTE, IT'S NOT SAME IN EVERY CITY, BUT IN GARLAND, WE'RE TRYING TO WIND UP IN SOME CITIES, IF NOT MOST CITIES, UM, UH, THEY DON'T HAVE ANY MUNICIPAL WASTE HAULING FUNCTION.

IT'S ALL PROVIDED BY THIRD PARTY.

WE CHARGE A 5% FRANCHISE FEE TO WASTE HAULERS TO OPERATE WITHIN THE CITY.

UM, AND THERE ARE A NUMBER OF REASONS FOR THAT.

IT'S NOT UNCOMMON, UH, OF THE WHOLE THAT I SAW DONE MORNING THROUGH TML OF THE BIG CITY.

THERE WAS ONLY ONE CITY THAT DOESN'T CHARGE ANY AT ALL.

I THINK IT WAS GRAND PRAIRIE.

I WAS RATHER SURPRISED.

I THOUGHT I WAS MAYBE SAN ANTONIO, BUT I COULD BE WRONG.

YEAH.

UM, I WAS RATHER SURPRISED THAT THEY DON'T CHARGE ANYTHING WHY THEY DON'T.

I DON'T KNOW BECAUSE THEY'RE, THEY'RE VERY COMMON.

UM, THE RATES DIFFER FROM CITY TO CITY.

THE LOWEST I SAW WAS 3%.

THE HIGHEST, I BELIEVE IT WAS HOUSTON, 10% OURS.

IS IT 5%? UM, WHY THIS IS OBJECTIONABLE TO THE WIFE'S DOLLARS BECAUSE THEY'RE BEHIND THIS BILL.

I DON'T KNOW BECAUSE IT'S A STRAIGHT PASS THROUGH NOW IN OUR CIRCUMSTANCES.

UM, AND, AND RECOGNITION OF

[00:20:01]

THE BURDENS THAT WASTE FALLING PREY TO OUR INFRASTRUCTURES IN THE STREETS.

CAUSE YOU'RE RUNNING BIG, HEAVY TRUCKS, PLACES WHERE THEY'RE NOT DESIGNED TO RUN BIG, HEAVY TRUCKS.

UH, IN OUR OWN CITY, WE CHARGE OURSELVES, EVEN THOUGH WE COMPETE IN THE MARKET, WE CHARGE OURSELVES THAT SAME 5% WHITE STALLING FRANCHISE.

AND THAT 5% DOESN'T STAY IN A, IN THE EWS, UM, ENTERPRISE FUND.

IT MOVES OVER INTO THE GENERAL FUND.

SO WE GAIN COMPETITIVE ADVANTAGE TO THESE OTHER WASTE HAULERS, UH, BY CHARGING HIS FRANCHISE FEE.

WHAT THIS BILL IS, IT TRIES TO CUT THAT OR IN ARTS AND IS 5% DOWN TO 2%.

UM, MATT AND URIEL, HIS CALCULATIONS PUT THAT IT BETWEEN FIVE AND $700,000 ANNUALLY, WHAT'S THAT CHANGE WOULD DO.

THERE'S A, ANOTHER PART OF THIS BILL THAT WOULDN'T EVEN OBJECT TO, UM, IT'S, UM, UH, PROBATION ON EXCLUSIVITY.

IN OTHER WORDS, UM, WE COULDN'T SAY YOU CAN ONLY USE, UH, EX-WIVES COLOR OR YOU CAN ONLY USE CITY AS A COMMERCIAL WASTE HAULER.

UH, WE'VE TRIED THAT CONTRACTUALLY, UM, ECONOMIC DEVELOPMENT DEALS.

UH, IT'S BEEN PRETTY PROBLEMATIC AND I THINK I BACK AWAY TURNED IT INTO THE FIELD.

UM, IF IT'S BILL ATHENS AS ORIGINALLY FILED, UH, THAT WOULD BE A NON ISSUE.

WE CAN DO IT ANYWHERE.

UH, TODAY, UH, THIS IS ONE OF THE TACTICS WE'RE SAYING IN THIS LEGISLATIVE SESSION, WHEN YOU GET READY FOR A COMMITTEE HEARING AND GET ALL YOUR TESTIMONY LINE A PIECE, I FILE A COMMITTEE SUBSTITUTE AND YOU DON'T GET IT UNTIL THE DAY OF THE HEARING.

AND, AND THEN, YOU KNOW, YOU LOOK LIKE YOU'RE UNPREPARED BECAUSE YOU'RE TALKING ABOUT A BILL.

UM, AND AS I UNDERSTAND IT, THEY, THEY TOOK THAT PROVISION OUT.

THAT'S THE 2% LIMITATION ON WHITE COLLAR FRANCHISE FEES IS STILL IN THERE.

UM, BECAUSE OF THE COST INVOLVED WE OBJECTED TO AND FOLLOW THESE WRITTEN COMMENTS.

AGAIN, I PRINT THESE OUT, PUT THEM OVER TO THE COMMITTEE AND REGISTERED A POSITION ON THE APP.

AGAIN, WE'LL STOP THERE.

RIGHT.

DO WE KNOW IF, UM, IF THERE WAS ANY DISCUSSION THAT COMMITTEE HEARING? UH, AND I THINK THE KEY PIECE HERE IS THAT WE CROSS CHARGERS OUR OWN EWS DEPARTMENT.

IF THEY'RE LOOKING TO ENSURE THAT MUNICIPALITIES DON'T GET A COMPETITIVE ADVANTAGE OVER PRIVATE ENTITY BASED ON, YOU KNOW, RESTRICTIVE LAWS, WAS THERE ANY DISCUSSION ABOUT, UM, JUST SAYING, HEY, YOU, YOU CAN CHARGE YOUR 5%, BUT EVERYBODY HAS TO BE CHARGED AT 5%, WHETHER THEY'RE BELONG TO THE MUNICIPALITY OR NOT.

I DIDN'T GET TO LISTEN TO THIS COMMITTEE HEARING EITHER.

UM, CAUSE YOU NEVER KNOW WHEN THEY'LL ACTUALLY GET TO THE COMMITTEE AREA OR MAYBE HERE, BUT WE'LL GO BACK AND LISTEN TO THAT.

I DON'T THINK THAT THEY'RE CONCERNED THOUGH.

I'D SAY THERE'S SOMEBODY PUSHING THE MESSAGE THAT THE FRANCHISE FEES ARE OUTRAGEOUS.

IT'S JUST MONEY BEING TAKEN BY THE CITY.

AND, UM, YOU KNOW, LIKE IT GOES INTO OUR OWN POCKETS KIND OF THING.

SO IT'S NOT FROM THE PR PERSPECTIVE OF US BEING AGEE COMPETITIVE.

IT'S A CASH GRAB BY SPECIAL INTEREST.

NO.

AND, UM, THERE IS A, UM, I KNOW THERE'S A COMMERCIAL WASTE HAULING ASSOCIATED WITH THEIR NAME OR ACRONYM.

I DON'T KNOW.

UM, THERE'S SOMETHING SIMILAR ON THE OTHER SIDE OF THIS EX SWANA, UH, GOSH, WE'RE, WE'RE A MEMBER, UH, TECH SWANA, UM, IS OPPOSED TO THE BILL TEAM.

UM, THEY'RE NOT NECESSARILY ALL PUBLIC ENTITIES, FORM TEXTS, LORNA, UM, BUT THEY RECOGNIZE THAT, UH, THERE ARE UNIQUE BURDENS IMPOSED ON MINUTES LA BY THE WAY, FOLLOWING VISITS.

AND I CAN TELL YOU IT'S LARGELY UNREGULATED.

UM, AND THAT WAS ONE OF THE POINTS WE TRIED TO MAKE WORK.

WE'RE NOT TRYING TO REGULATE THE BUSINESS HERE.

UM, BUT WE NEED TO RECOUP SOME OF THE EXPENSES THAT WE AREN'T GOING TO GET, UH, THREE TAXES.

THERE ARE SALES TAXES ON WHITES ON, UM, BUT A LOT OF TIMES THESE THINGS ARE COMPLETELY INVISIBLE TO THAT.

[00:25:01]

YOU CAN GET A TC PERMIT TO BE A WASTE HAULER.

UH, IT DEPENDS ON WHAT KIND OF WASTE YOU'RE HAULING, UM, YOU KNOW, MUNICIPAL SOLID WASTE IT THEN.

AND THERE'S NO OBLIGATION TO TELL US THAT YOU'RE OPERATING IS WRONG.

WE DON'T KNOW WHO YOUR CUSTOMERS ARE.

YOUR PEOPLE HAVE TO GO OUT AND PHYSICALLY TRY TO IDENTIFY THESE COMPANIES SO THAT WE CAN NOTIFY THEM, THAT THEY HAVE THIS FRANCHISE, UH, OBLIGATION FRANCHISE AGREEMENT OFTEN RACHEL.

UM, BUT THERE'S NO TAX BASE IN GARLAND.

NO, THEY, THEY COULD BE OPERATING IN BULK SPRINGS AND THAT'S WHERE THEIR OPERATIONS ARE, WHERE THEIR TRUCKS ARE PARKED AND WHERE THEIR TAXES ARE PAYING.

SO THEY PAY THE TAXES ON A, ON AN ASPHALT LOT AND A COUPLE OF, UM, BIG TRASH HAULING TRUCKS.

AND, UH, NONE OF THAT STAYS IN GARLAND YET THEIR IMPACT IS, AND THAT'S WHAT THIS TRANSCENDS TO NO.

WELL, I MEAN, IT'S, IF WE DO GET THE OPPORTUNITY TO ACTUALLY HAVE A DISCUSSION ABOUT IT, WHICH I KNOW IS RARE, YOU KNOW, I, I DON'T THINK THE CITY WANTS TO PUT OURSELVES AT ANY COMPETITIVE ADVANTAGE.

WE'RE JUST TRYING TO KEEP OUR, OUR PAVEMENT INTACT.

SO, UM, YOU KNOW, THAT, THAT'S THE APPROACH I WOULD TAKE IF WE GET THAT OPPORTUNITY TO, TO HAVE THE DISCUSSION BJ, DO YOU HAVE ANYTHING ON THIS? I KNOW MS. CHAIR, OTHER THAN, OTHER THAN US.

YEAH.

RIGHT.

AND BRAD, WE HAVE, UH, CITIES JUST AS WELL.

WE HAVE INFORMATION AND DATA THAT, YOU KNOW, THAT, THAT, YOU KNOW, IT SHOWS, YOU KNOW, WHAT'D WE GET FROM THAT WHAT OUR RETURN IS IN MOST INSTANCES, PEOPLE AND ALL OF A SUDDEN DON'T CARE, ANYTHING ABOUT FACTUAL INFORMATION AND DATA, BUT IF WE NEED TO, UH, FOR COMPARATIVE PURPOSES, IF YOU THINK THAT THAT WILL HELP, YOU KNOW, WE CAN, WE CAN ALSO PRODUCE THAT KIND OF INFORMATION.

YOUR THOUGHTS.

I MEAN, RICH EVERYONE, SORRY.

I'M LATE.

NO PROBLEM.

GO AHEAD.

ALL THE GOOD STUFF.

YEAH.

YEAH.

WE MAY, WE MAY NOT HAVE TO GO TO THAT EXTENT BRAND, BUT WHAT I JUST MENTIONED THAT USUALLY LEGISLATORS DON'T, WHEN YOU START TALKING ABOUT GIVING THEM FACTS AND INFORMATION AND DATA, THEY, THEY, THEY WERE, THEY BACKED THEM.

SO DO YOU THINK IN THIS INSTANCE, OR DO YOU THINK THAT THIS, SHOULD IT GET THAT FAR? SHOULD YOU GET UP COMMITTEE? YEAH.

RIGHT NOW, UH, I'M UNDER THE IMPRESSION THAT, UM, UH, THIS BILL'S GOING TO GET OUT OF COMMAND COURTS, THEY'RE THERE ON A WARPATH AGAIN? UH, CITIES AGAIN, UM, AGAIN, BECAUSE OF THE POLITICS, UH, THE AUTHOR PROBABLY HAS THE DONE TO GET OUT OF ME, BUT THAT DOESN'T MEAN THAT IT'S, UH, YOU GOTTA HIT THE POOL.

YOU KNOW, IT'S GOT SOME OTHER COMMITTEES TO GO THROUGH, UM, LIKE CALENDAR AND THAT'S WHERE IT'S TYING UP AND, AND EXAMINE AGAIN, SPITEFULLY, IF THERE'S A LOT OF OPPOSITION, UM, THE, UM, YOU, YOU NEVER GET, UH, I DON'T THINK IT HAPPENED TODAY.

WE'LL GO LISTEN TO THE MEETING, BUT YOU NEVER GET INSTANT GRATIFICATION.

VERY RARELY DO THEY VETERAN OUT RIGHT THERE.

THEY SAID, OKAY, WELL, THANKS FOR COMING.

UH, WE'LL TAKE ALL THIS INTO CONSIDERATION.

AND THEN, YOU KNOW, MAYBE NEXT WEEK OR SOMETHING, ALL OF A SUDDEN, BOOM, IT COMES UP COMMITTEE.

UM, IF IT HAD BEEN DELAYED FOR TWO, GIVES US MORE TIME TO GO TALK TO THE PARTICULAR PLAYERS.

WE LOOKED AT THIS COMMITTEE MAKEUP AND WE DIDN'T REALLY KNOW ANYBODY ON IT.

UM, SO THERE WASN'T ANYBODY TO CONTACT DIRECTLY, BUT TO YOUR EARLIER POINT, WE'LL GET THESE COMMENTS AROUND TO OUR DELEGATION AND LET THEM KNOW THAT WE HAVE BIG CONCERNS WITH THIS.

YET AGAIN, IT'S GOING TO CHIP AWAY AT THE LIMITED REVENUES THAT WE HAVE, AND ULTIMATELY GONNA FALL APART $700,000 THEN SOUND LIKE A HUGE AMOUNT OF MONEY, BUT A LOT OF MONEY, TWO THIRDS OF MY BUDGET.

OKAY.

ALL RIGHT.

THANK YOU.

THANK YOU.

GREAT.

AND CAN YOU RECAP

[00:30:01]

REAL QUICK? UH, THERE WERE TWO PIECES TO THIS BILL.

THE ONE GOT DROPPED OUT AND ONE'S REMAINING, EXCUSE ME.

THE LIMITATION ON FRANCHISE FEES REMAINED THE OTHER ONES AS WE UNDERSTAND IT, THAT WAS WIPED OUT WITH THE COMMITTEE.

STUPID.

I HADN'T SEEN IT.

OKAY.

SO AT THIS POINT, THEY'RE JUST TALKING ABOUT REDUCING OUR FRANCHISE FEE CAPABILITIES FROM 5% TO 2%, WHICH IS A $700,000 IMPACT ESTIMATED ON US.

YEAH.

GOT IT.

OKAY.

UH, COUNSELOR, ROBIN, DID YOU WANT TO JUMP IN ON ANY OF THIS? UM, I KNOW YOU JUST CAME IN, NOT MAKING, YEAH.

I JUST CAME IN AND ACTUALLY HAVE ABSOLUTELY NO IDEA WHICH TOPIC WE'RE TALKING ABOUT AND WHAT I'VE MISSED.

SO I APOLOGIZE.

NO PROBLEM.

THIS IS HOW SPILL, UH, AND IT, UM, LET'S SEE, IT'S GOING TO BE HOUSE BILL SEVEN 53 IS WHAT WE'RE LOOKING AT RIGHT NOW.

UH, THE FIRST BILL THAT WE COVERED WAS HOUSE BILL 1869, WHICH WAS THE, UH, THE KING, THE BASICALLY THEM DESTROYING THE ABILITY TO ISSUE COS WITHOUT VOTER APPROVAL.

SO IT'S LOOKING BAD IDEA.

WELL, YEAH, WE HAVE GEO BONDS FOR THE VOTER APPROVAL PATH, BUT WHATEVER.

HEY, UM, SO THIS IS HB SEVEN 53 AND WE'RE JUST WRAPPING THIS TOPIC UP.

OKAY.

WHICH ONE? I'M SORRY.

I HAVE NO IDEA WHAT AGE? TWO, THREE, SORRY.

THAT'S THE ONE I STARTED WITH, WHICH WAS THE WASTE HAULING YEAH.

PRODUCTION.

WE CHARGE A 5% FEE FOR ELIMINATION OF FRANCHISE FEES TO THE BENEFIT OF BUSINESSES IN CONTRAVENTION OF THE BENEFIT OF THE CITIZENS, THE BENEFIT OF LOBBYISTS.

IT'S JUST ANOTHER CORPORATE GIVEAWAY AT THE BENEFIT OF THE PEOPLE THEY ALLEGEDLY REPRESENT.

BUT YOU KNOW, THAT'D BE HAPPY TO SHOW UP AND ACTUALLY SAY THAT AND THEN DROP THE MIC AND WALK OUT BECAUSE HE'LL WHAT POINT ARE THEY GOING TO START CARING ABOUT, YOU KNOW, THE ACTUAL PEOPLE THEY REPRESENT.

AND THAT GOES ACROSS ALL OF THE ISSUES THAT WE'RE DISCUSSING FROM COD IN ELECTRIC TO CEO'S TO EVERYTHING.

BUT FIVE YEARS, MAYBE I HAVE A LITTLE LESS TOLERANCE AS EFFECTIVE AS A LOBBYIST TO DIANE MIKE DROP.

I FORGOT ABOUT THAT.

ALL, ALL RIGHT.

I'M GOING TO HOLD OFF ON 1558 FOR JUST A LITTLE BIT.

CAUSE THERE WERE TWO OTHER BILLS.

UM, THESE BILLS WE ACTUALLY SUPPORTED.

SO THERE, THERE WEREN'T, UH, WE DIDN'T NEED TO SUBMIT, UH, TESTIMONY FOR THE BILLS.

UM, WHAT WE DID WAS WE HAD A TIE AGAIN, WENT AND REGISTERED A POSITION ON BEHALF OF ALL AND UH, AND SUPPORTED THE BILLS.

AND I MAY HAVE MY DAYS CONFUSED HERE.

NOW THESE MAY BE COMING UP TOMORROW.

UH, THEIR SENATE BILL ONE IS, UH, UM, BY, UH, ARM OR OTHER, UM, IT'S A RECONFIGURATION, SOME TWEAKS TO, UM, A BILL THAT, UH, OR A STATUTE THAT REGULATES THE TEXAS COMMISSION ON FIRE PROTECTION.

UM, IT CHEAPLY HAD AN INTEREST IN THAT.

UH, OUR SENSE HAS BEEN THAT BECAUSE OF THE WAY THE, UH, THE COMMISSION THAT GOVERNS AND AGENCY IS CONFIGURED.

IT'S, IT'S OVERPOPULATED BY SMALLER, UM, SMALLER FIRE DEPARTMENTS BECAUSE, UM, OFF THE TOP OF MY HAND, AS I RECALL AS HIS COMMISSION, THEY GET MORE POSITIONS AND THANKFULLY GO TO SMALLER FIRE DEPARTMENT.

UH, TWO OF THEM HAVE TO GO TO VOLUNTEER FIRE DEPARTMENTS AND TWO OF THEM HAVE TO GO TO, UH, FORGET HOW THEY DEFINE THEM, BUT SMALLER NON VOLUNTEERS, UH, DEPARTMENT, BUT THEY'RE SMALLER DEPARTMENTS.

AND SO THE FEELING WAS THAT THE NEEDS AND INTERESTS, LARGER DEPARTMENTS ARE NOT BEING HEARD.

THAT AGENCY IS UP FOR SENSE THAT REVIEW, WHICH AS OFTEN AS NOT, THEY DON'T KILL THE AGENCY AND THE SUNSET BECAUSE THEY DO RECONFIGURE IT AND YOU GET TO EXAMINE IT.

IT'S LIKE A HUGE AUDIT OF AGENCY OPERATIONS.

UM, THE SENATOR WHO WAS IN CHARGE OF THAT SUNSET REVIEW WAS ANGELA PAXTON, UM, PLANO FRISCO, UH, SEVERAL OTHER LARGER, HUGE CITY.

UH, WE'RE ALIGNED WITH THAT IN

[00:35:01]

OUR CONCERNS.

IN FACT, MOST OF THE, UH, SUBURBAN FIRE DEPARTMENTS WERE OF THE SAME OPINION THAT CHIEF LEE WAS, UM, SENATOR PACS AND THE OTHER BILL.

LET ME GET TO THAT NUMBER, LAURI APPLE IN FRONT OF YOU, BILL.

THAT'S THE ONE ON TC.

I WANT TO SAY 79, 83, THAT THEY START MATCHING UP WITH WHAT I HAVE ANYWAY.

UH, HER BILL IS VERY SIMILAR, BUT HER BILL IS MORE COMPREHENSIVE, UH, COVERS THE WHOLE, UM, IT'S SUNSET REVIEW AS TEXAS COMMISSION ON FIRE PROTECTION.

AND, UH, SHE HAS AGREED TO A COMMITTEE SUBSTITUTE THAT WILL, UH, MAKE THE SAME KIND OF CHANGES.

SO TOGETHER THESE TWO BILLS, UH, WE THINK THE COMPLISH, UH, ARE VERY LIMITED GOAL AND ADDRESS CHEAP LEE'S CONCERN.

AND SO WE HAD, UH, WE REGISTERED A POSITION IN SUPPORT OF THOSE, BUT WE DIDN'T OFFER, UM, EITHER SPOKEN OR WRITTEN SENSE LOOKING AT SEVEN OH NINE, SEVEN OH NINE.

I BELIEVE THAT'S ALL HIS BILL.

YEAH.

OKAY.

UM, AND IT MAY BE THE TAXI LOT.

THE AUTHOR OF THAT, SHE WAS BEHIND ME AND WE, UM, THROUGH FIRE JUICE, UH, ASSOCIATION, UM, COMMUNICATED WITH HER AND SHE WAS UNDERSTANDING OF THE CONCERN.

I MEAN, IT'S PRETTY OBVIOUS FOR YOU TO SEE THE LIGHT ON EVERYTHING.

AND SO I DON'T THINK THERE'S ANY MAJOR OPPOSITE.

UM, I DON'T KNOW HOW WELL ORGANIZED, SMALLER FIRE TO, I DON'T THINK THEY HAVE KNOWN SOMEBODY MAY HAVE SHOWN UP AND TESTIFY GETS THAT KIND OF CHANGE.

UM, BUT I THINK WE HAVE THE BILL HOSSER SUPPORT, WHICH GOES A LONG WAY.

WHAT, UH, WHAT CHANGES PRIMARILY WERE WE HOPING TO GET PUSHED THROUGH OTHER THAN JUST THE MEMBERSHIP AND THE REPRESENTATION? IS THERE SOMETHING THAT, THAT THEY'RE DOING THAT'S, UNDERREPRESENTING OUR POSITION.

YEAH, THE PROBLEM HAS BEEN, AND THIS IS A POLITICALLY TOUCH YOUR PART.

UM, THERE'S AN ADVISORY COMMITTEE THAT, UH, ADVISES THE, UH, FIRE PROTECTING TEXAS FIRE PROTECTION, UM, ADVISORS, THE MAIN GOVERNING BOARD AS TO WHAT THEY SHOULD DO, WHAT ROLE SHOULD BE ADOPTED, UM, OF CONCERN TO THE, THE LARGER, BUT NOT HUGE FIRE DEPARTMENTS, FOR EXAMPLE, UM, WERE SOME RULES THAT WERE PUSHED OUT THROUGH THE ADVISORY COMMITTEE THAT SAY, UM, FOR EXAMPLE, YOU GOT TO CHANGE YOUR BUNKER GEAR EVERY TWO YEARS OR SOMETHING, WHICH MAY BE FINE IF YOU'RE ONLY BUYING FIVE PIECES OF GEAR WHEN YOU'RE BUYING 300 PIECES OF HERE.

UM, WELL THEN YOU'RE ISSUING SHORT-TERM DEBT, WHATEVER IT WAS THAT WE DID RECENTLY, EXCUSE ME, A BUDGET AMENDMENT AND TO ACCOUNT FOR THAT KIND OF EXPENSE.

AND IT'S NOT LIKE IT'S A HORRIBLE IDEA TO DO THAT.

IT'S JUST A QUESTION OF HOW CAN YOU AFFORD IT BECAUSE THE SCALE OF IT IS SO MUCH BIGGER IN COMPARISON WHEN YOU'RE TALKING ABOUT A DEPARTMENT OF FIVE, AS OPPOSED TO A DEPARTMENT OF SAY 500 IS A LOT OF AMERICANS.

AND SO WHAT'S, WHAT'S, THEY'VE BEEN TRYING TO DO SOMEONE QUIETLY, UM, WATER DOWN THE POINTS OF THAT ADVISORY COMMITTEE, UH, OR AT LEAST GIVE IT, UH, MAKE IT NOT SO PREEMINENT.

UH, AS I UNDERSTAND IT, THE COMMISSION HAS A RUBBER STAMP, ALWAYS RECOMMENDATIONS COMING OUT OF THIS ADVISORY COMMITTEE.

UH, I DON'T KNOW IF THAT'S TRUE.

IT'S JUST WHAT I'VE BEEN TOLD.

UM, AS FAR AS THE LEGAL MANNER, THESE ADVISORY COMMITTEES ARE EXPENSIVE, JUST THAT, AND YOU'RE SUPPOSED TO HAVE A TEMPLE WORLD RESTRICTING.

THEY CAN'T BE FOREVER.

UM, AND YET, UH,

[00:40:01]

THE ONE UNDER THE CCFP HAS BEEN IN EXISTENCE FOR LONG PAST ITS STATUTORY DEADLINE.

UM, I BELIEVE THE SUNSET FEEL IS SUPPOSED TO TAKE CARE OF THAT TOO, ALTHOUGH THAT'S REALLY A FUNCTION OF THE ADMINISTRATIVE, TEXAS ADMINISTRATORS, RATHER THAN SO MUCH THE STATUTORY PROVISION.

I KNOW THERE'VE BEEN SOME DISCUSSIONS ABOUT THAT.

IT WASN'T REALLY OUR FOCUS.

I DIDN'T DELVE TOO DEEPLY INTO IT.

UM, AND LIKE I SAY, IT GETS INTO POLITICAL, UM, POLITICAL PROBLEMS BECAUSE THE ADVISORY BOARD, UH, IT WAS VERY MUCH STAFFED BY LIKE WORKING FIREFIGHTERS.

AND SO YOU DON'T WANT TO LOOK LIKE YOU'RE TRYING TO BEAT UP ON THE FIREFIGHTER.

NOBODY IS TRYING TO ACHIEVE A BETTER BALANCE.

UM, BRAD, I'M SO SORRY, MR. CHAIRMAN, UM, WAS THE PAXTON BILL YOU WERE REFERRING TO, WAS THAT SENATE BILL EIGHT 97 RELATING TO THE COMPOSITION OF THE TEXAS COMMISSION ON FIRE PROTECTION? I HAVEN'T NOW I HAD 89, BUT AT LEAST I HAD THE NUMBERS, RIGHT.

UH, LOCAL GOVERNMENT AND SENATE.

THAT'S A, THE COMMITTEE, NOT NECESSARILY A FRIENDLY COMMITTEE TO US.

UM, BUT THEY DID HERE FOR IT'S BEEN REPORTED.

THEY HAVE HEARD IT.

WE DON'T KNOW THE END RESULT YET.

OKAY.

DO WE HAVE ANY QUESTIONS? ALL RIGHT.

LET'S MOVE ON TO THE NEXT ONE.

ALL RIGHT.

NOW I'D LIKE TO ADDRESS WHAT'S COMING UP WEDNESDAY.

UH, AND THIS IS YOUR, THANK YOU FOR THE WORK ON THIS POSTER CHAIRMAN HB 1558, WHICH IS, UH, THAT CURRENT PREFERENCE BILL THAT CHAIRWOMAN BUTTON HAS AGREED TO AUTHOR FOR US.

UM, IT IS COMING UP FOR HEARING, UH, WEDNESDAY MORNING.

I BELIEVE IT'S SET FOR 10.

UH, WHAT I UNDERSTAND IS THAT THESE COMMITTEES ARE BEING PRETTY TIMELY.

NOW.

I ALWAYS SAY 10 O'CLOCK OR AFTER A GERM, WHICH MEANS AFTER THE GENERAL SESSION IN THE MORNING, UM, THEN THEY'LL GET TO THE COMMITTEE HERE AT THIS POINT IN THE, IN THE SESSION THEY'RE BEING PRETTY TIMELY.

SO THEY GET THEIR BUSINESS DONE.

AND IF I SAY 10 O'CLOCK, IT'S 10, O'CLOCK 10 O'CLOCK HERE AS THE SESSION GOES ON AND THEY START HAVING MORE DEBATES ON THE FLOOR AND CAN SET IT FOR A 10 O'CLOCK HEARING AND MORNING, AND THEY'LL GET TO US AT TWO O'CLOCK IN THE MORNING, THE NEXT DAY IT'S OUT THERE, BUT WE'RE EXPECTING THIS BILL TO BE DISCUSSED, UM, IN A COMMITTEE ON A WEDNESDAY MORNING AROUND 10.

NOW WE HAVE, UM, PUT TOGETHER AND AGAIN, I THINK CHAIRMAN FOR SOME COMMENTS ON HB 1558, WE DON'T SEE IT AS CONTENTIOUS BECAUSE ALL THIS BILL, UH, WE'VE DISCUSSED IS, IS ADD A CATEGORY TO THE CURRENT SCORING MATRIX THAT SAYS, UM, YOU GET POINTS FOR BEING A VETERAN CENTRIC.

I GUESS I COULD SAY A VETERANS TAX CREDIT FUNDED, A LOW-INCOME HOUSING DEVELOPMENT THAT IS NEAR IN SOME PROXIMITY TO A VETERANS ADMINISTRATION HOSPITAL.

THAT'S A VERY SMALL SET OF CIRCUMSTANCES WHERE THIS, UH, PREFERENCE WOULD COME IN TO PLAY.

UM, THERE'S BEEN SOME INDICATION THAT THAT'S TROUBLING.

WE KNOW, UH, TEXAS COMMUNITY AGENCY HOUSING, COMMUNITY AFFAIRS INDICATED A CONCERN THAT WHEN YOU SAY VETERANS, UM, YOU'RE SAYING

[00:45:02]

TWO CLASSIFICATIONS OF PEOPLE WAS BEING, UH, CAUCASIAN MALES AND THAT COULD RUN A FOUL OF THE FEDERAL FAIR HOUSING, UM, WHAT WE'VE TRIED TO DO.

AND I THINK IT'S BEEN WELL ADDRESSED IN THIS BILL.

IT'S A, NO, WE'RE NOT TRYING TO GIVE ANY PREFERENCE TO ANY, UM, RACIAL GROUP OR GENDER, UH, BUT ONLY FOUR BEDROOMS. UH, AND ONLY WITHIN A CERTAIN PROXIMITY FOR THESE DEVELOPMENTS THAT ARE LOCATED WITHIN A CERTAIN PROXIMITY TO THE VETERANS ADMINISTRATION HOSPITAL, NOT ALL OVER THE STATE, NOT ANYWHERE WITHIN QUARTER.

WE SAY WHATEVER THEY COME UP WITH ULTIMATELY IS FIVE MILES, THREE MILES, TWO AND A HALF MILE ALL.

I'LL PAUSE THERE TO SAY, THAT'S GOING TO BE, I THINK THE DEBATE THOUGH, BECAUSE SOMEBODY IS GOING TO SAY, WHY DOES IT HAVE TO BE FIVE MILES, THREE MILES? YEAH.

AND I DO HAVE AN UPDATE ON THAT PIECE AS WELL.

OKAY.

UM, WELL LET ME STOP THERE.

AND I'LL LIKE TO SHARE FAIR ENOUGH.

UH, I GOT AN EMAIL TODAY FROM, UH, BUTTON'S CHIEF OF STAFF.

UH, IT'S GOING TO BE A, UH, WHAT THERE, I THINK THERE WILL BE A COMMITTEE SUBSTITUTION FOR TWO MILES AND IT HAS TO BE IN A COUNTY WITH OVER A MILLION PEOPLE.

AND, UH, I THINK THAT THAT'S FOR TWO REASONS FIRST TO ADDRESS ALL THE THINGS THAT YOU SAID, BUT THE SECOND SO THAT THEY CAN PUSH IT THROUGH THE CONSENT LOCAL AND CONSENT CALENDARS, I THINK THEY'VE DONE TO CERTAIN DETERMINED THAT THAT'S A BETTER PATH FOR IT.

AND WHEN YOU START PUTTING THOSE COUNTY SIZE RESTRICTIONS AND SUCH A, THAT REALLY LOCALIZES THE BILL.

SO I THINK THAT'S WHAT WE'LL SEE.

WELL, THAT'S, THAT'S NEWS TO ME.

IT WAS JUST, I JUST GOT IT THIS AFTERNOON.

UH, SO IT'S, IT'S HOT OFF THE PRESS AND I DON'T HAVE IT YET.

I FORWARDED IT TO YOU AT ONE 53.

OKAY.

YEAH.

AND, AND JUST FOR THE, FOR THE GROUP AS A WHOLE GUYS, IF THERE'S A, IF THERE'S A PLACE THAT WE NEED TO BE TO, TO TACKLE A BILL, THAT'S IMPORTANT TO THE CITY AT THE SAME TIME IS 1558.

I FULLY EXPECT 1558 TO BE THE LOWEST PRIORITY BILL BECAUSE WE'RE HAVING TO PLAY SO MUCH HIGH STAKES DEFENSE RIGHT NOW THAT IF WE DON'T HAVE ANY RESOURCES TO PUT INTO THIS THAT'S OKAY.

SO JUST TO, JUST TO SET MY PRIORITY LEVEL ON IT, I'D, I'D MUCH RATHER SEE US DEFEND OUR RIGHT TO ISSUE COS THAN, THAN WORRY ABOUT VETERAN HOUSING, UH, JUST IN THE GRAND SCHEME OF THINGS.

SO I'M GONNA PASS IT BACK TO YOU, BRAD, GO AHEAD, FRANKLY.

I THINK IT'S A GOOD BILL AND I THINK WE CAN VERY GOOD CHANCE OF GETTING IT OUT OF COMMITTEE.

AND AS YOU INDICATED ON A LONGHORN CONCERN CALENDAR, WHICH MEANS THAT WE GET IT OVER TO THE SENATE, ONCE IT'S OVER ON THE SENATE SIDE, SENATOR JOHNSON IS FREE TO SPONSOR IT.

WE DON'T HAVE A COMPANION ON THE CENTER SIDE, BUT, UM, HE IS GOING TO SPONSOR FAIR AND I DON'T FORESEE ANY PROBLEMS WITH OVER THERE BECAUSE IT'S EASILY EXPLAINABLE WHAT WE WOULD LIKE TO SEE IF WE'RE GOING TO HAVE, UH, ERIC'S CREDIT LOW-INCOME HOUSING, THEN, UM, LET'S SEE IF THERE'S SOME WAY WE CAN INCENTIVIZE THE DEVELOPMENT OF TAX CREDIT, FINANCE HOUSING NEAR THE VA HOSPITAL, BECAUSE WE'D LIKE TO SEE SOME NATIVE DEVELOPMENT, NEW HOUSING, UH, NEAR OUR NEW HOSPITAL AND WHO BEST TO SORT OF REACH OUT TO ADVERTISE TO VETERANS.

UM, SO I SEE VERY GOOD CHANCES IS BEING AN ACTIVE IN THE HALL.

WE MAY HAVE TO MAKE SOME MORE ADJUSTMENTS.

I'M READING THIS COMMITTEE SINCE TWO NOW.

UM, IT'S PRETTY WELL BRACKETED.

AND, UM, WITHIN THOSE LIMITATIONS, I JUST CAN'T SEE A HUGE TWO MILES A MILLION POPULATION.

I KEEP GOING BACK TO THE CENTER RIGHT IN FRONT OF THIS ONE.

WHEN WE'RE TRYING TO PLUG US INTO THE STATUTE, YOU GET POINTS FOR A DEVELOPMENT THAT ENCOURAGES APPLICANTS TO PROVIDE FREE NOTARY PUBLIC SERVICE TO THE REIGN RESIDENTS OF THE DEVELOPMENT.

WHAT'S THE ALLOCATION TO HOUSING TAX CREDITS.

OKAY.

THAT'S A GREAT THING, NOTHING WRONG WITH THAT, BUT WE'D LIKE TO SEE, UH, SOMETHING THAT ENCOURAGES

[00:50:01]

APPLICANTS OR PROVIDE A PREFERENCE, WHATEVER WE CALL IT, POLICING YOU.

IT'S AN, A DEVELOPMENTAL LOW INCOME VETERAN.

UM, THERE MAY BE OBJECTIONS ALONG THE WAY TO SAY A PREFERENCE WHEN THEY THINK OF ANOTHER PLACE AND THAT'S FINE, WE CAN BE FLEXIBLE.

UM, WE'LL JUST HAVE TO HEAR IT OUT NOW.

WEDNESDAY, WHY ALIVE BOUGHT ME, ME EITHER, UH, THE WAY THESE WORK.

UM, SO WE, THIS IS A GARLAND BILL AND IT'LL KIND OF BE NO AS CHAIRWOMAN BUTTON AGREED TO SPONSOR REALLY BE THE AUTHOR OF THE BILL.

SO HER NAME'S ON IT.

UH, WE ONLY SUBMITTED WRITTEN TESTIMONY.

IT'S NOT A BAD FORM.

THE TRADITION IS THAT YOU PROVIDE A BODY AT THE PODIUM TO SPEAK ON YOUR OWN BILL.

AND IF THEY'RE QUITE TO SAY, ANSWER THOSE QUESTIONS AND GO TO THE WHOLE SITE, I DON'T ANTICIPATE A LOT OF SPACE ON THIS.

IT COULD BE THAT IF YOU'VE EVER WATCHED THESE COMMITTEE HEARINGS, YOU KNOW HOW IT WORKS, THE AUTHOR HAS TO LAY OUT THE BILL AND THEN SHE'S GOING TO MOVE TO HAVE THE COMMITTEE SUBSTITUTE CONSIDERING INSTEAD DON'T MAKE THOSE MOTIONS.

HOWEVER, THOSE WORK, SHE EXPLAINS THE BILL AND THEY SAY, OKAY, HERE, UH, WITNESSES ON THIS BILL, UM, LOOK BACK TO THEM BEING MR. NEIGHBOR NEIGHBOR, COME ON UP AND TELL US ABOUT THIS BILL.

IT'S THE GREATEST THING THAT EVER HAPPENED.

IT'S MUCH BETTER THAN PROVIDING FREE NOTARY SERVICES.

YOU KNOW, WE HAVE A GREAT NEW VA HOSPITAL COMING ALONG.

WE'D LIKE TO SEE YOU HELP US HERE.

SOME OF THE LOW INCOME HOUSING DEVELOPMENT THAT OCCURS IN ALL INTO, UM, HELP OUT PEOPLE WHO ARE GOING TO BE USED IN THIS.

AND THEN WE'LL GO FROM THERE.

WE MAY GET SOME, I KINDA LIKED THESE LIMITATIONS.

I THINK IT HELPS THEM GET THE BILL THROUGH.

UM, IT IS PRETTY NARROWLY BRACKETED, TWO MILES IF THAT'S ACCEPTABLE TO THE COMMITTEE.

UM, WE'LL TAKE ADVANTAGE OF THAT.

UM, THE ONLY WEAKNESS I SEE RIGHT NOW IS THIS WORD PREFERENCE, AND WE MAY HAVE TO COME UP WITH ANOTHER WORD FOR THAT.

UM, SO WE HAVE TO HAVE A LIVE BODY TESTIFYING.

IF WE HAD SUBMITTED A WRITTEN COMMENTS, THE WAY THAT WORKS IS, UM, ESPECIALLY IF WE'VE GONE THROUGH THE PUBLIC PORTAL, THEN UNDER THEIR COVID RULES, UH, THE CHAIR OF THIS COMMITTEE WOULD HAVE TO REACH OUT AND FIND OPPOSITION.

SO THEY, THEY HAVE TO GO FIND SOMEONE TO SUBMIT COMMENTS IN OPPOSITION TO THIS BILL, WHICH SOUNDS KIND OF CRAZY, BUT THEY'RE TRYING TO MAKE SURE THAT WHATEVER IS PRESENTED IS, IS A BALANCED, NOT, NOT JUST THOSE IN FAVOR OF THE BILL, BUT I HEAR COMMENTS FROM THOSE WHO, I CAN'T IMAGINE WHO THAT DEAN, BUT I'VE BEEN SURPRISED BEFORE THERE COULD BE SOMEBODY OUT THERE WHO HATES LOW INCOME HOUSING OR, UM, UM, YOU HAVE THE GADFLIES DOWN THERE TO SELL OUT A CARD, JUST TO PAY SOMETHING YOU CAN GET UP IN FRONT OF THE PLAN FOR TESTIFY TO WORK REALLY VERY SIMPLE BILL, UM, AND THEN LEAVE IT TO THE DEVICES TO GET THROUGH.

I REALLY DO THINK IT STANDS A GOOD CHANCE ONCE IT COMES OUT OF THIS COMMITTEE, ONE TO A LOCAL TOWER AND THEN OVER TO THE SENATE AND WE'LL HAVE TO DO THE SAME THING ON THE SENATE SIDE, WHEN IT GETS SET FOR A HEARING, I DON'T KNOW WHAT COMMITTEE DON'T GO TO OVER THERE.

I'M HOPING IT'D BE A FRIENDLY COMMITTEE, MAYBE NOT, AND THAT'S OKAY, BUT WE'LL HAVE TO DO THIS ALL OVER AGAIN IN A MONTH OR HERSELF.

AND WE'LL KEEP YOU POSTED.

I DON'T WANT TO OVERUSE YOUR RIGHT FOR THOSE PURPOSES.

THAT WOULD PROBABLY BE PREVAILING ON YOU AT SOME POINT TO GO DOWN AND BE THE SPEAKER ON MR. CHAIR.

IF I HAVE A QUESTION, SIR, GO AHEAD, BRAD.

TWO THINGS.

SO HAVE WE, WELL, WE HAVE SOMEBODY IN THE CHAIR OR THE, UM, IN PERSON, UH,

[00:55:01]

FOR WEDNESDAY.

THAT'S MY FIRST QUESTION.

THE OTHER PIECE IS I'VE JUST, I REALLY HAVEN'T LOOKED IN DEPTH THAT I SCAN THAT'S THE SPIEL.

UM, MY ONLY CONCERN IS, AND, AND I, I SUPPORT IT IS IT WOULD BE A BENEFIT TO THE APPLICANT WITH TAX CREDIT TO DEVELOPERS.

AND IS THERE ANYTHING IN THIS BILL THAT TAKES CARE OF THE CANON? WHAT I MEAN BY THAT IS IF IN FACT IT PASSED US IN ITS CURRENT FORM AND, UM, THE FINISHED PRODUCT, I'VE SEEN, OH, SEVEN LEGISLATION WHERE THE DEVELOPER, IF THEY'VE GOT A CERTAIN THRESHOLD PERCENTAGE FOR, FOR VETERANS, SO THEY COULD USE THIS, THIS, UH, VETERAN'S PREFERENCE.

AND WE GET TO A POINT, WE SAID, WELL, YOU KNOW, A GO WASN'T, I'M JUST, I'M JUST THROWING OUT A NUMBER, A GOAL WAS 15%, BUT WE WERE, THEY COULDN'T FIND ANY, YOU KNOW, WE COULDN'T, WE COULDN'T FIND ENOUGH.

SO, SO WE'RE AT 2% AND THE DEVELOPERS ARE ALREADY BENEFITING FROM THE CREDITS UP FRONT.

AND, AND, AND, BUT ON THE BACKEND, IT, YOU KNOW, YOU KNOW, WE, WE COULDN'T FIND THEM, YOU KNOW, WE'LL, WE'LL, WE'LL LOOK AGAIN NEXT YEAR AND THIS KIND OF THING.

AND, AND MAYBE, MAYBE THIS IS A DIFFERENT DISCUSSION, BUT THAT WHEN I, WHEN I READ THROUGH IT, THAT THAT'S, THAT'S MY CONCERN.

WHEN IT COMES TO TWO DEATHS, THERE SHOULD BE TWO PRIMARY BENEFICIARIES FROM THIS STEP, THE DEVELOPER AND THE VETERAN VETERANS, AND THE BENEFIT TO THE VETERAN SYSTEM, THIS SUPPORT THAT CONCERNS ME.

AND THERE'S NOTHING IN THIS BILL THAT I'VE SEEN THAT CLOSES THE DOOR ON THIS.

AM I A HANDLER? I DON'T WANT TO BE A HIT THEM ALMOST, BUT THAT'S, THAT'S MY CONCERN.

YEAH, THE, THE REALITY IS THAT, UM, THERE'S NO WAY THIS IS NOT A, UH, UH, A MANDATE OR SET ASIDE OR QUOTA FOR VETERANS, BUT THE REALITY WITH THE TAX CREDIT FINANCE, LOW INCOME PROJECTS, AND, UH, THE DEVELOPER THROUGH, WE DON'T MONITOR THIS, BUT, UH, THE DEPARTMENT OF COMMUNITY AFFAIRS WHEN THEY SCORE THESE THINGS AND THEY PUT THIS FINANCING DEAL TOGETHER, UM, THERE IS A COMMITMENT BY THESE DEVELOPERS TO HAVE SET ASIDE OR TO MAKE AVAILABLE X NUMBER OF UNITS, AND THEY DO THE SCORING SHEETS OR THE PRESENTATIONS THAT THEY GIVE TO Y'ALL WHEN THEY COME TO US FOR, UH, ASKING FOR APPROVAL, YOUR APPROVAL COUNTS FOR POINTS IN THIS COURT, UM, WHEN IT COMES DOWN TO REALITY AND THEY BUILD THE BUILDING, UM, EVEN THOUGH THE UNITS ARE SUPPOSED TO BE MADE AVAILABLE AND THAT ARE AVAILABLE, IF THERE'S NOT A LOW INCOME, UH, FAMILY UNIT TO OCCUPY THAT UNIT, THEY CAN LEASE IT TO SOMEBODY ELSE.

SO IT, IT'S NOT LIKE THERE IS A MANDATE ON THE COMPOSITION OF THE LEASE SPACE.

UM, AND I WOULDN'T EXPECT ANYTHING DIFFERENT FOR BEDROOMS, HOW THIS, UM, UH, PROVIDING A PREFERENCE FOR LEASING MEETS THE VETERANS COMES ABOUT IN REALITY.

I DON'T KNOW.

WE'LL PROBABLY SEE SOME PRETTY, UM, INVENTIVE APTITUDES IF THIS BILL COMES INTO REALITY AND, AND SOMEBODY'S COMING IN TO SOMEBODY MAKE THEM FOR DEVELOPMENT.

OKAY.

YEAH.

THE OTHER QUESTION WAS, HAVE WE TAPPED SOMEBODY TO SIT IN A CHAIR ON, ON WEDNESDAY ON, ON THIS BILL? YOU SAID YOU DIDN'T KNOW.

I DIDN'T KNOW WHETHER IT'S YOU MS. CHAIRMAN OR I WAS JUST, I DIDN'T KNOW, SO, OKAY.

THANK YOU, MR. CHAIRMAN, IF YOU NEED BRAD, I MAY BE ABLE TO GO.

I JUST GOT, I JUST GOT WORD THAT MY FORMER FATHER-IN-LAW PASSED ABOUT FIVE MINUTES AGO, SO THAT MAY CHANGE THE LOGISTICS OF THAT.

UM, BUT, UH, BUT BARRING THAT I, I MAY BE ABLE TO GO NOW KIND OF GATHER ON THAT AND LET YOU KNOW.

ALL RIGHT.

UM, AND IF THAT HAPPENS, WE CAN MAKE THE ARRANGEMENTS, UH, AND, UM, WE CAN, YOU'LL PROBABLY HAVE TO FLY, UM, WHOEVER

[01:00:01]

COMING DOWN, UM, AND KNOW, LET ME KNOW, AND I'LL BE AT THERE.

WE'VE DONE THAT ROUTINE BEFORE.

I KNOW WHERE TO PICK YOU UP, YOU KNOW, WHERE TO FIND YOU.

SO, UH, ANY OF YOU, IF YOU WANT TO COME, LET ME KNOW AND WE'LL GET THOSE ARRANGEMENTS.

I'LL HAVE TO GIVE UP MY POSITION.

I'VE ALREADY MADE MY REIGN TRAVEL ARRANGEMENTS.

SO I'LL BE THERE.

WE'RE GOING TO HAVE TO HAVE MULTIPLE WITNESSES.

ALL THREE.

THAT'S FINE TOO.

I'M JUST SAYING IF IT WOULD HELP, IF IT WOULD HELP ADVANCE THE BILL FOR ONE OF US, ONE OF THE THREE VERSUS SOMEONE FROM COUNCIL TO BE THERE, I'LL MAKE EVERY EFFORT TO BE THERE.

UM, AND I, I THINK I'LL BE ABLE TO DO THAT.

I TYPICALLY HAVE THE KIDS ON WEDNESDAY, BUT I'VE GOT TO CHECK WITH MY EX RIGHT NOW ON WHAT HER OR HER STATUS AND WHAT THE, WHAT THE KIDS ARE GONNA BE DOING.

WELL, I'M SORRY TO HEAR THAT YOU'RE ALL THERE ON THE DESK AND WE'LL GET YOU FULLY BRIEFED UP TO, UH, IF, IF THE WHOEVER'S COMING, WE'LL GET FULLY BRIEF UP AND HAVE SOME, IT WON'T BE A DUPLICATE OF THE, UH, OF THE WRITTEN COMMENTS THAT WE HAVE READY TO GO.

YOU DON'T WANT YOU TO JUST READ FROM THE STATEMENT, YOU'RE TALKING ABOUT THREE MINUTES AND EFFECTIVELY ALWAYS REMEMBERING THESE THINGS.

90 SECONDS.

IT'S ALL THERE.

NO, I KNOW.

I, I I'VE DONE IT BEFORE, SO I'M HAPPY TO DO IT.

I KNOW SOMETIMES IT'S BENEFICIAL TO HAVE AN ELECTED OFFICIAL DOWN THERE, SO I'M HAPPY TO DO THAT, TO SUPPORT THIS BILL.

UM, I JUST HAVE TO WORK OUT THE LOGISTICS.

OKAY.

YEAH, YEAH, YEAH.

AND BRETT AND BRAD, TO PIGGYBACK ON THAT, ANY, ANY, UH, ANY OF THESE BILLS THAT, THAT, THAT YOU FEEL DIM CHAIRMAN FIELDS THAT WE NEEDED A LOT OF BODY IN THE CHAIR.

UH, IF YOU'RE A LENDER SHOULD KNOW KIND OF A COUPLE OF DAYS HERE, YOU KNOW, I'M, I'M AVAILABLE, I'LL, I'LL ADJUST MY SCHEDULE ALSO, UH, YOU KNOW, UH, LIKE RICH SAID, SOMETIMES HAVING A COUNCIL PERSON OR FACE DOWN THERE, UM, UH, YOU KNOW, CAN, CAN MAKE AT LEAST A VISUAL DIFFERENCE IN A HEARING HEARING ROOM.

SO IF THERE ARE ANY OF THE THINGS THAT WE'VE DISCUSSED WITH CHAIRMAN HERE AND YOU FEEL, UH, YOU KNOW, OUT I'LL MAKE MYSELF AVAILABLE, UH, BRAD TO, UH, TO MAKE THE TRIP DOWN THERE FOR THE GOOD OF THE SYSTEM.

I VERY MUCH APPRECIATE THAT, BUT I UNDERSTAND TOO, THAT ALL Y'ALL HAVE OTHER THINGS TO DO.

UM, WHAT I'D LIKE TO SAY, AND IT COULD COME ABOUT, UM, NEXT WEEK OR IN A COUPLE OF WEEKS, ONE WAY HAVE A, A WHOLE GROUP OF BILL THAT WE'RE GOING TO BE TESTIFYING ON.

UM, AND SOMETIMES WE'VE, WE'VE DONE KIND OF A TAG TEAM APPROACH, UH, WITH, UH, BRIAN AND LAUREN MAY, UM, YOU KNOW, ONE OF RUNNING ONE DIRECTION, ONE RUNNING THE OTHER DIRECTION.

IF WE HAVE A GROUPING LIKE THAT, WHERE, UM, WE'RE NOT JUST WASTING YOUR TIME ON ONE BILL OR SOMETHING WHERE, UM, YOU CAN GOTTA HAVE A LIST OF ROOMS THAT YOU NEED TO GO TO DOWN THERE, COMMITTEE HEARING AND, AND BOUNCE FROM ONE TO THE NEXT.

UH, IT'D BE, UM, IT GIVES US A BETTER, UH, AS FAR AS THE LOGISTICS AND, UH, ECONOMIC FEEDBACK, MORE PRODUCTIVE, I'D LIKE TO NOW, I, I DON'T WANT TO IMPOSE ON YOU TOO MUCH, BUT, UH, I APPRECIATE, AND I THINK ASBESTOS, YOU KNOW, YOU KNOW, THIS IS, THIS IS, THIS IS, THIS IS THE WHY WE ELECTED.

THIS IS PART OF REPRESENTING OUR CONSTITUENTS.

SO IF YOU FEEL WE NEED TO BE THERE, DON'T FEEL IT IT'S AN IMPOSITION.

YOU KNOW, I DON'T, I DON'T, I CERTAINLY DON'T AND I DON'T EVEN MISS CHAIRMAN.

AND I'M SURE RICH FEELS THE SAME WAY.

SO IT'S NOT AN IMPOSITION.

WE'LL GO DO WHAT WE NEED TO DO, YOU KNOW, UNDER YOUR GUIDANCE AND CHAIRMAN AND GUIDANCE.

SO IF YOU, IF, IF YOU NEED US, YOU KNOW, SAY, HEY, I NEED YOU DOWN THERE AND, AND, AND WE'LL GO DO IT.

SO IT'S NOT, IT'S NOT AN IMPOSITION.

UM, IT'S, IT'S PART OF, IT'S PART OF WHAT WE'RE SUPPOSED TO BE DOING.

SO THANKS FOR SHARING.

OKAY.

BRAD, ANYTHING ELSE TO ADD ON THIS? WE READY TO MOVE ON TO THE NEXT ONE.

THAT'S WHERE WE ARE RIGHT NOW.

UM, THERE WERE, THERE ARE OTHER BILLS, UM, THAT ARE IMPORTANT TO US, BUT SOME OF THEM, UM, SO THE TAX PAYER FUNDED LOBBYING BILLS COMING UP.

I DON'T, I THOUGHT ABOUT STAYING OVER, UM, FOR THAT ONE.

I DON'T KNOW REALLY WHAT GOOD IT'S GOING TO DO REGARDLESS WHO GOES DOWN THERE AND SPEAKS ON IT.

[01:05:01]

THIS IS ON THE SENATE SIDE, IT'S IN, UH, SENATE, LOCAL GOVERNMENT.

I BELIEVE NOT A FRIENDLY COMMITTEE TO THAT.

UM, UH, INDEED A LOT OF THE AUTHORS ARE JOINT AUTHORS ON THIS BILL.

THEY SIT ON THAT COMMITTEE.

UM, I'M NOT AFRAID OF GOING DOWN FOR A BEATING AND I KNOW THIS ALL ALREADY.

UM, AND IT'LL BE A BEATING, BUT AT THE END OF THE DAY, THAT BILL IS COMING OUT OF COMMITTEE.

NOW THERE ARE THINGS THAT ARE WRONG, EVEN IF YOU AGREE WITH UNDERLYING POLICY, THIS GOES BACK TO THE WORD MATTER.

THERE ARE THINGS WRONG WITH THAT BILL.

UM, AND IF IT COMES OUT AND GOING THROUGH AND FINDING ALL BY THE GOVERNOR IN EXACTLY THE WORDS THAT THERE ARE GOING TO BE SO MANY UNINTENDED CONSEQUENCES, UH, THE PEOPLE WHO ARE PUSHING THE BILL HAVE NO IDEA WHAT THEY'RE CREATING HERE.

IT'S NOT JUST THE, THE SILENT THING AS THE UNRULY PREGNANT TRANS I CALL IT.

UM, THERE ARE REACHES OF THAT BILL, FOR EXAMPLE, UH, IT WOULD'VE THANKFULLY OUTLAW, UM, DOING BUSINESS WITH ANYONE WHO HAS A LOBBYIST.

SO IF YOU CAN IMAGINE GOING, OH, WE'RE GOING TO BUY A HUNDRED THOUSAND DOLLARS WORTH A DELL COMPUTER.

WE HAVE TO HAVE DELL COMPUTERS, UH, FLORIDA.

THEY DON'T HAVE ANY LOBBY BECAUSE THAT WOULD BE INDIRECTLY PUTTING MONEY INTO PUBLIC MONEY AND LOBBYING.

WE CAN'T HAVE THAT HAPPEN.

THAT'S WHAT THE WORDS OF THE BILLS.

I, RIGHT NOW, I DON'T THINK THEY REALLY MEAN THAT, BUT IT'S A POLITICAL SYMBOLISM AND IT'S IMPORTANT TO THE AUTHORS.

AND I THINK THEY HAVE THAT THEY GET THAT, THAT PARTICULAR BILL OUT OF COMMITTEE.

SO I DON'T KNOW IF WE'RE GOING DOWN THROUGH HOURS OF TESTIMONY AND BEING LAMBASTED FOR BEING, UM, EVEN IF YOU ARE AN ELECTED OFFICIAL, BRAD, JUST TO, UM, JUST TO KIND OF TOUCH ON THAT IS, IS IT BEST, DO YOU THINK STRATEGICALLY WE CAN TALK ABOUT THIS IN A DIFFERENT ENVIRONMENT, BUT, UM, WOULD IT BE BEST TO JUST LET THAT THING GO AS IS AND FIGHT IT AFTERWARD AFTER IT COMES OUT OF THE, UH, LEGISLATURE? VERY GOOD, SIR.

I THINK SO.

I THINK, UM, WE HAVE, UM, UM, SURPRISING, IT MAY MAKE IT OUT.

IT'S CENTERED.

I DON'T KNOW WHAT IT'S GOING TO DO TO THAT ONCE THIS COMES OUT OF COMMITTEE AND IT'S JUST GOING TO, I THINK IF THIS ONE IS PRETTY ONE, I BEGAN AS PART OF OUR STRATEGY, THE DELEGATION, THE ACCOUNTABILITY COMES OUT, YOU KNOW, WHERE, WHERE DO THEY STAND? THAT KIND OF THING, INFORMATION THAT THEY OFTEN SAY THEY NEED FROM CITIES.

THIS KIND OF HAS TWO IMPACTS.

UH, BUT, UM, YOU KNOW, I WOULD THINK THAT THAT, THAT THEIR POSITIONS ON THIS IS GOING TO BE, IT'S GOING TO BE CRITICAL BECAUSE, UM, YOU KNOW, THAT KIND OF HITS ON THIS.

SO WHEN YOU SEE, AFTER IT COMES OUT OF COMMITTEE, BOTH ON THE SENATE AND THE HOUSE SIDE, THAT MAYBE WE CAN TALK ABOUT A LITTLE BIT AT OUR NEXT MEETING, CHAIRMAN AGENDA, BUT QUESTION, WHAT SHOULD BE OUR STRATEGY FOR THOSE BILLS THAT MAKE IT OUT OF COMMITTEE, UH, KIND OF A WHAT'S NEXT? WHAT, WHAT SHOULD I, WHAT SHOULD OUR STRATEGY BE? SO, YOU KNOW, WE'RE NOT, WE'RE ON THE SAME PAGE HERE AND WE'RE NOT DOING DIFFERENT THINGS AS IT RELATES TO OUR DELEGATION, BUT I DEFINITELY THINK THAT THAT THAT GROUP IS GOING TO BE CURED.

THEY NEED TO KNOW, THEY NEED TO KNOW WHERE WE ARE.

CLEARLY THEY NEED TO KNOW OUR POSITION AND THEY NEED TO KNOW OUR EXPECTATIONS.

ALL RIGHT.

THANKS CHAIR.

YES, SIR.

OKAY.

ALL RIGHT.

UM, IT'S THURSDAY, THERE, THERE ARE LOTS OF THINGS MOVING REAL QUICK AND TRYING TO HIT THE HIGH POINTS HERE.

UM, THERE'S A SO-CALLED, UM, SUPER PER IMPRESSION.

BILL.

ARE THERE ACTUALLY A COUPLE OF THESE? WE SAW THE, UH, LAST SESSION AND, UM, UH, THE THEORY BEHIND THE, I THINK SENATOR HANCOCK WAS THE MAIN PROPONENT LAST TIME.

I DON'T THINK HE HAS HIS NAME ON IT.

UM, THE THEORY BEHIND THESE IS THAT IF YOU

[01:10:01]

DO BUSINESS IN MORE THAN ONE CITY, YOU SHOULD BE EXEMPT FROM LOCAL ORDINANCES THAT AFFECT YOUR BUSINESS.

UM, WHAT COMES TO MIND, UH, GIVE SOME NOD TO COUNCILWOMAN MORRIS HERE.

SHE HAD SENT SOMETHING TO GAIN INTEREST OVER THE WEEKEND.

UM, THEY'RE KIND OF A DOOR TO DOOR OPERATION, A SCAM OPERATION THAT LOOKED LIKE, UH, THEY LOOK LIKE THEY'RE US, THE WATER DEPARTMENT TRYING TO SELL THESE FILTERS, WATER FILTERS.

UM, WE GET ON FILM, UH, AND, AND A LOT OF TIMES WHAT WE DO IS WE CAN POP THEM BECAUSE THEY DON'T HAVE A COMMERCIAL DOOR TO DOOR SOLICITATION PERMIT.

SO WE GET THEM THERE.

AND IF THEY DO, THEN WE HAVE, UH, IF THEY DO HAVE SUCH A PERMIT, THEN WE HAVE A ROUTINE THAT WE CAN GO THROUGH THAT, YOU KNOW, IF THEY'RE COMMITTING SOMETHING THAT LOOKS FRAUDULENT AND SOME OF THESE OPERATORS, THEN WE HAVE A WAY TO REGULATE THAT PREEMPTION BILLS CAME INTO FACT.

WE COULDN'T STOP THAT.

WE'VE RUN INTO THAT VERY SORT OF THING, UM, IN THE ALARM COMPANY BUSINESS, BECAUSE THERE, THERE USED TO BE, UH, ALARM COMPANY SALESPEOPLE WHO WOULD GO DOOR TO DOOR AND, UM, ENGAGE IN SOME REALLY BAD TACTICS, TRYING TO SELL THEIR ALARM SYSTEM AND BELIEVE IT OR NOT, THERE'S SORT OF A PREEMPTION, NOT A SUPER FRAN PREEMPTION LANGUAGE IN THE STATUTE THAT GOVERNS, UH, ALARM PERMITS.

IT'S ON THE BOOKS GOVERNED UNDER GPS MONITORING.

THAT COULD BE, UM, AND THEIR ARGUMENT, WHY YOU CAN'T TELL ME THAT I HAVE TO HAVE A DOOR TO DOOR SOLICITATION PERMIT.

CAUSE YOU PREEMPTED.

WE TOLD THEM TOUGHER, YOU YOU'RE GOING TO HAVE TO HAVE GOING, YOU'RE GOING TO HAVE TO KNOCK IT OFF WHAT YOU'RE DOING DOOR TO DOOR AND NAMED SALE BECAUSE IT'S BORDERING ON IF NOT OUTRIGHT FRAUD, BUT WE'VE RUN INTO THOSE KINDS OF ISSUES.

NOW, THESE SUPER PREEMPTION BILLS WOULD IMPOSE THAT ON ALL LEVELS.

PML HAD A NICE LITTLE WRITE UP ON, ON THE EFFECT OF, UH, THEY EXTREMELY PROBLEMATIC AND ESPECIALLY CREATE THESE INCONSISTENCY.

SO SOMEONE WHO ENGAGES IN BUSINESS ONLY IN GARLAND COULD BE SUBJECT TO OUR ORDINANCES, BUT SOMEBODY WITH MULTIPLE LOCATIONS OR WHO EVEN SAYS THAT THEY OPERATE IN MULTIPLE LOCATIONS OUTSIDE OF GARLAND, THEY WOULD BE EXEMPT FROM OUR, UM, IT'S CRAZY.

AND I GUESS IT'S WHY THESE BILLS DIED LAST TIME, BUT THEY'RE COMING BACK AND WE'LL JUST HAVE TO CONTEND WITH THEM.

I BELIEVE.

UH, ONE OF THESE IS SET FOR HEARING WEDNESDAY TO JUDICIARY AND I'M LOOKING AT IT.

IF YOU WANT TO LOOK THAT UP, UH, THIS IS HB SIX, 10, SIX ONE ZERO.

YEAH.

THIS IS SOMEWHAT LIMITED BECAUSE IT ONLY APPLIES TO LICENSE HOLDERS.

IF YOU HAVE A LICENSE FROM THIS SITE, THEN YOU CAN CLAIM THIS KIND OF EXEMPTION.

THERE'S ANOTHER ONE THAT'S BROADER THAN THIS SUPER, SUPER PREEMPTION RAISES A QUESTION OF JUST HOW FAR CAN YOU GO PREEMPTING THE WHOLE CITY? UH, I ENVISION SOMEDAY THERE'S GOING TO BE LITIGATION BECAUSE THEY CAN IGNORE OUR CONCERN AND THEY CAN PRETEND THAT CITIES ARE CREATURE OF THE STATE, BUT THAT'S A FALSE, UM, HOME RULE CITIES OF THE TEXAS CONSTITUTION.

PEOPLE HAVE ALREADY PUT THEM ON THAT.

AND SOMEDAY IF SOME OF THESE BILLS, UH, TO BECOME LAW, BUT WE'RE GOING TO SEE LITIGATION, CHALLENGING CONSTITUTIONALLY.

UM, THE OTHER THINGS IT'S WEAK.

A LOT OF PEOPLE DOWN THERE THERE'S, UH, CONSTITUTIONAL CARRY IS COMING UP.

WE DON'T, WE HAVEN'T TAKEN A POSITION ON THAT, ALLOWING PEOPLE TO CARRY THEIR GUNS AROUND WITHOUT THEIR HAND GUN RIGHTS.

AND I DON'T THINK WE WANT TO GET INTO THE POLITICS OF THAT AND DON'T KNOW WHERE THEY'RE GOING TO GO, BUT IT'S GOING TO BE A BUSY DAY.

UH, AND THE CAPITOL ON,

[01:15:02]

UH, WEDNESDAY AND THURSDAY.

UM, ONE PROBLEM WORD THERE.

WHEN YOU DO COME TO THE CAPITAL, W WE HAVE TO ALLOW PLENTY OF TIME TO GET IN BECAUSE THERE'S STILL A LOT OF PROTOCOLS THAT WE HAVE TO GO THROUGH IN ORDER TO GET APPROVAL.

WE'LL GO IN, YOU HAVE TO GET A COVID TEST.

THERE'S A TENT TO THE NORTH OF THE CAPITOL, CHALK, THE SOUTH CONGRESS STREET SIDE.

BUT ON THE NORTH OF THE CAPITAL, WE'LL GO AROUND TO THE TENT.

WE'LL GO THROUGH THAT.

I THINK THERE'S SOME QUESTIONS THAT HAVE TO BE, THEY HAVE TO ANSWER, YOU KNOW, REACHING THINGS YOU'VE SAVED IN A FAVOR.

YOU HAD BEEN OUT OF THE COUNTRY, THAT SORT OF THING.

UM, THEN THERE IS A RAPID COVID TASK.

THEY GIVE YOU A CARD, YOU GO TO THE DPS SECURITY CHECKPOINT.

UM, AND IT'S MY UNDERSTANDING THAT NOW, UH, EVEN IF YOU HAVE A HANDGUN LICENSE AND SOMEBODY, EVEN IF YOU HAVE A BAD, UM, YOU STILL HAVE TO GO THROUGH SECURITY CLAMPED DOWN AFTER THE EVENTS IN DC.

UM, AND THEY'RE VERY CONCERNED ABOUT SECURITY.

AND SO, UH, IT'S NOT A MATTER OF WALKING AFTER THE ONE IN THE COMMITTEE ROOM ANYMORE.

WE'RE GONNA HAVE TO ALLOW A COUPLE OF HOURS IN ADVANCE OF THESE COMMITTEE HEARINGS THAT RAY COULD PROBABLY TELL HIM MORE BECAUSE HE'S ACTUALLY BEEN OVER THERE, BUT EVERYTHING I HEAR GOOD, IT'S A PROCESS GET INTO THE CAPITAL.

BRAD, DO YOU KNOW IF HAVING PROOF OF VACCINATION IS ENOUGH TO BYPASS THE COVID TEST OR DO YOU STILL HAVE TO GET THAT? NO MATTER WHAT I'VE THOUGHT ABOUT THAT TOO, BECAUSE WOULDN'T THAT BE HANDY IF THEY FOUND IT LIKE, YOU KNOW, YOU COULD SHOW ME YOU HAVEN'T GOT A LICENSE, BUT THAT'D BE NICE.

BUT I, I, I HAVE HEARD, I ASKED A COUPLE OF WEEKS AGO.

YEAH.

UH, MS. CARMEN AT THAT, UM, WE COULD GO ON AND ON THERE'S A BILL FLOATING AROUND, BUT, UM, W WHAT WE'RE GOING TO DO HERE THIS WEEK IS KIND OF REGROUP AND GET OUT.

WE DON'T KNOW WHEN THE HEARINGS ARE COMING ABOUT UNTIL ABOUT THURSDAY AFTERNOON.

AND SO ALL OF A SUDDEN WE WERE GOING TO GIVE YOU THIS DUMP OF THINGS THAT ARE COMING UP, UH, THAT WE MAY HAVE TO SCRAMBLE DOWN AND TESTIFY ON, OR THAT WE HAVE TO PUT TOGETHER WRITTEN TESTIMONIALS.

AND IT DOESN'T HAVE TO BE WRITTEN TESTIMONY AGAINST, YOU KNOW, IT CAN BE WRITTEN TESTIMONY FOR IF WE LIKE THE BILL, BUT THERE'S, UM, THERE'S SOME EFFORT INVOLVED EITHER WAY, WHETHER IT'S THE WRITTEN TESTIMONY OR SETTING UP TO GET DOWN THERE AND LIVE, UM, NOT JUST THINKING ABOUT WHAT WE'RE GOING TO TELL THE COMMITTEE, BUT HOW WE'RE GOING TO GET THERE.

HOW ARE WE GOING TO GET THROUGH THE COVID SCREENING, ALL THAT OTHER STUFF, ALL I'LL STOP THERE.

I'VE BEEN TALKING A LONG TIME CHAIRMAN.

WE CAN, YOU KNOW, THAT'S ALL RIGHT, WE'LL PAY YOU BY THE WORD.

SO IT'S A GOOD THING.

ALL RIGHT.

UH, WHAT DO WE HAVE LEFT? UM, I DON'T, I WASN'T REAL SURE IF YOU WANTED A QUICK UPDATE, UH, TENDING ON THE AMOUNT OF TIME WE HAVE, UM, A QUICK UPDATE ON WHAT'S GOING ON, ON THE, UH, ELECTRIC AND I'M ANTICIPATING A LOT OF THINGS GOING ON.

UM, FORTUNATELY IT HASN'T GOTTEN REAL LOUD ENTER, BUT WE'VE GOT MIKE BETS ON.

WHO'S BEEN VERY INVOLVED AS YOU KNOW, AND, UH, AND HELPING G VP AND L THROUGH STORM EVENTS.

AND THEN RAY SHORTENER IS ONE OF THE EXPERTS IN THE FIELD AS FAR AS, UM, THE ELECTRIC BUSINESS IN TEXAS.

AND I THINK Y'ALL ALL KNOW RAY, UM, RES WHO WAS FORMERLY THE DIRECTOR OF DP AND L UM, HE KIND OF INTRODUCED US TO THE NEW AGE OF THE REALITY IN THE ELECTRIC, UH, BUSINESS.

AND, UH, HE IS STILL ONE OF OUR PEOPLE DOWN IN AUSTIN.

AND, UM, HELPS US OUT ON THESE ELECTRIC.

UH, I'D SEE, MIKE IS INVISIBLE RIGHT NOW.

ARE YOU THERE, MIKE? I'M I'M HERE AND, AND I WOULD PROPOSE THAT RIGHT.

GO THROUGH AND, UH, THE PRESENTATION THAT HE DID EARLIER AND TAKE US UP TO DATE ON THE BILLS HE'S AWARE OF AND EXPLAIN THE CURRENT SITUATION DOWN THERE.

SO HE UNDERSTANDS,

[01:20:01]

SO EVERYBODY UNDERSTANDS THE SPEED WITH WHICH WE WOULD NEED TO MOVE ON ANYTHING.

OKAY.

MR. CHAIRMAN, I'M SORRY.

IT'S YOUR COMMITTEE.

YOU'RE FINE, GUYS.

DON'T SAY I DON'T STAND ON CEREMONY, RAY.

IT'S GOOD TO HAVE YOU HERE.

GO AHEAD, SIR.

YEAH.

NICE.

NICE TO BE HERE.

NICE TO SEE ALL OF YOU, UH, ENJOY BRAD, UH, CONVERSATION WITH YOU.

UH, I LEARNED A LOT, UH, FIRST OF ALL, I MEAN, UH, KIND OF SET THE TONE FOR YOU FOR THE ELECTRIC, UH, SIDE OF THE BUSINESS, AS YOU KNOW, THE GOVERNOR DECLARED, UM, THIS ELECTRIC MATTER, ALL OF THE ELECTRIC MATTERS BASICALLY AN EMERGENCY, SO THEY ARE UNDER NO OBLIGATION TO FOLLOW PROCEDURE.

MATTER OF FACT, THE SENATE PASSED THE BILL THE OTHER DAY AND 10 MINUTES TO ORDER THE, UH, PUC TO REPRICE SOME OF THE HOURS IN THE MARKET.

UM, YOU KNOW, IT'S JUST CRAZY.

AND THEN YOU HAVE TO THINK ABOUT THE POLITICS OF WHAT'S GOING ON TO THE, UH, THE GOVERNOR APPOINTED ALL THE PUC COMMISSIONERS WHO HAVE NOW ALL RESIGNED.

THEY WERE ALL VERY MUCH RIDICULED AND CRITICIZED DURING THE HEARINGS.

I MEAN, THEY WERE JUST UNMERCIFUL AT TIMES, ESPECIALLY MY COUSIN.

UM, IT WAS COMPLETE REAR END, BUT THE, UH, YOU KNOW, THEY THEY'VE TAKEN ALL KINDS OF ABUSE, UH, OR COPS TAKING ALL KINDS OF ABUSE.

AND THESE ARE THE GOVERNOR'S APPOINTEES IN THE SENATE.

UM, LIEUTENANT GOVERNOR AND 27 SENATORS WROTE A LETTER TO THE PUC CHAIRMAN ASKING HIM TO REPRICE.

HE SAID HE DIDN'T LAWFULLY HAVE THE ABILITY TO DO THAT.

THE GOVERNOR WROTE A LETTER OF SUPPORTING THE PUC CHAIR.

SO THE GOVERNOR, LIEUTENANT GOVERNOR NOT GETTING ALONG, UH, AS FAR AS WHAT THEY WANT DONE.

AND THEN YOU, UH, THE BILL I'VE MENTIONED THE OTHER DAY, 2142 IN THE SENATE, WHICH, UH, AUTHORIZED, UH, REPRICING THESE 32 HOURS TOWARD THE END OF THE EVENT, UH, WENT TO THE HOUSE AND THE SPEAKER OF THE HOUSE IMMEDIATELY SAID, WE'RE NOT INTERESTED IN REPRICING AND A CHAIRMAN OF THE STATE AFFAIRS COMMITTEE, CHAIRMAN.

PATTY SAID, HE WASN'T GOING TO HEAR ANYTHING ABOUT REPRICING IN HIS COMMUNITY.

SO, YOU KNOW, THE SENATE AND THE HOUSE MIXED UP THE GOVERNOR, LIEUTENANT, GOVERNOR CROSSWAYS, YOU SAY, WELL, WHAT DO YOU THINK'S GOING TO HAPPEN? I HAVE NO IDEA.

UH, AND WE'RE IN AN EMERGENCY TOO.

SO THE, THE THING THAT'S MOST LIKELY TO HAPPEN IS SOMEBODY IS GOING TO COME UP WITH SOMETHING THAT IS REAL IMPORTANT TO THE HOUSE AND ASCEND.

IT'S GOING TO HOLD THAT BACK AND SAY, YOU KNOW, I GOT SOMETHING THAT'S IMPORTANT TO ME AND WE'LL FIND SOME WAY TO PUSH SOMETHING THROUGH.

UH, AND THAT'S WHAT WE GOT TO WATCH OUT FOR, BECAUSE WE HAVE NO IDEA WHAT THAT IS.

AND, UM, I COULD GO THIS PRESENTATION, SAME, YOU LOOK THROUGH IT.

AND I'D RATHER JUST MAYBE TALK ABOUT SOME THINGS THAT ARE MAYBE EVEN MORE CURRENT, UM, THAN WHAT I HAVE ON THOSE LISTS, BUT I'D BE GLAD TO ANSWER ANY QUESTIONS ON THE PRESENTATION THAT YOU MIGHT HAVE.

I DON'T WANT TO JUST WEAR YOU OUT WITH STUFF.

YOU ALREADY HAVE LOOKED AT HER OR WHAT, YEAH, NO WORRIES.

AND, AND WE'VE BEEN TRYING TO BALANCE, YOU KNOW, WHAT WE HEAR IN THIS COMMITTEE AND WHAT THE FULL COUNCIL IS HEARING.

AND SO, UH, MEMBERS ARE REMINDED YOU THAT WE'VE DISCUSSED A LOT IN EXECUTIVE SESSION, PLEASE STEP CAREFULLY, UH, WHEN WE WOULD DISCUSS ISSUES IN THIS, UH, IN THIS PARTICULAR VENUE, UH, EVERYBODY HAS QUESTIONS OR COMMENTS, PLEASE JUMP IN.

UH, I THINK MAYBE IF WE JUST KINDA START IT, UH, IN THIS PRESENTATION ABOUT THE TIMELINE AND JUST, IF YOU LOOK AT THAT, I JUST ADD TO THAT, THAT, YOU KNOW, THE 18TH, MAYBE A LITTLE BIT BEFORE THE THAT'S WHEN THE HOUSE SPEAKER DOWN, UH, HE WASN'T INTERESTED IN REPRICING THAT'S RIGHT AFTER 24 SENATE BILL 2142 WAS PASSED.

UM, I MEAN, WITHIN, WITHIN A SHORT PERIOD OF TIME, UM, THAT OCCURRED.

SO NOW WE'RE JUST KIND OF STUCK, UH, LOOKING AT, UH, BILLS THAT IN MY OPINION, WILL NOT SOLVE OR CUTS PROBLEMS, THEIR BILLS THAT ADD ADMINISTRATIVE PENALTIES, THEY'RE BILLS THAT TELL YOU HOW WHO'S GOING TO SIT ON THE ERCOT BOARD.

THEY CREATE NEW AGENCIES, THEY CREATE, UH, OPPORTUNITIES FOR SECURITIZATION THROUGH SOME NEW ENTITIES FOR ELECTRIC UTILITIES AND GAS UTILITIES TO BORROWED MONEY FROM, UM, TO HELP

[01:25:01]

WITH REPAIRING THE STORM DAMAGE AND PAYING THEIR BILLS.

UM, THERE'S, I THINK 11 SECURE CAUSE SECURITIZATION BILLS THAT I COUNTED WHILE AGO THAT ARE OUT THERE.

AND, UM, YOU KNOW, THE ELECTRIC CO-OPS HAVE ONE SPECIFIC TO THEM.

UM, THE ASSOCIATION OF ELECTRIC COMPANIES HAS ONE THAT THEY'VE SUPPORTED AND, UH, THE MEETINGS DON'T HAVE ONE.

AND THAT'S ONE OF THE DISCUSSIONS WE'RE GOING TO HAVE THIS WEEK.

SHOULD WE HAVE OUR OWN, YOU KNOW, OR ARE WE GOOD WITH WHAT WHAT'S OUT THERE? UM, SO THERE'S A LOT, A LOT OF THINGS GOING ON, A LOT OF MOVING PARTS, I'VE BEEN READING AS MANY BILLS AS POSSIBLE JUST TO SEE WHICH ONES SEEM TO BE THE WORST.

UH, YOU KNOW, THE ONES THAT WE DON'T SEEM TO MATTER WHO, SO WHO'S SITTING ON THE BOARD OR THOSE KINDS OF BILLS LIKE THAT.

UM, UH, YOU KNOW, I DON'T PAY MUCH ATTENTION, SO I'LL GO QUICKLY.

THERE ARE SOME THINGS I DIDN'T WANT TO TALK TO YOU ABOUT.

AND, UM, ONE OF THEM JUST MOST RECENTLY THAT HAPPENED, UH, IS GOING TO BE HARD THIS WEEK.

AND THAT'S A HOUSE BILL SEVEN 49, READ THAT YOU MENTIONED THAT YEAH, HOUSE BILL SEVEN 49 IS A MIDDLETON IS A COMPANION BILL TO SENATE BILL 10, WHICH, UH, WOULD PUT US OUT OF THE BUSINESS OF HAVING ANY REPRESENTATION, UH, LEGISLATURE WOULD OF COURSE, USING PUBLIC FUNDS, BUT ALSO IT WOULD MOST LIKELY WOULD DO AWAY WITH YOUR ASSOCIATIONS, LIKE TCPA, TEXAS, PUBLIC POWER ASSOCIATION.

THEY COULDN'T DO ANY LOBBYING ON YOUR BEHALF EITHER.

UH, CAUSE YOU PAY DUES, UH, TML, I DON'T KNOW.

MAYBE THEY DON'T MAKE IT EITHER.

UH, SO IT JUST, UH, REALLY GETS INTO WHERE EVERYBODY ELSE WOULD BE REPRESENTED DOWN THERE THAT ELECTRIC CO-OPS INVEST AROUND PRIVATE COMPANIES, BUT MUNI TWO OR, YOU KNOW, 15% OF THE ELECTRIC MARKET, UH, AND ON 50% OF THE GENERATION RESOURCES WE'D BE EXCLUDED.

YOU KNOW, W W WE COULDN'T TALK ABOUT THE KINDS OF ISSUES THAT ARE GOING ON RIGHT NOW.

AND I THINK THAT'S GOTTA BE HEARD, UM, IN THE STATE AFFAIRS COMMITTEE AT EIGHT O'CLOCK WEDNESDAY.

AND I, I JUST, SORRY, BUT I MEAN, THIS IS LIKE PRINTED OUT LONG AGO.

UM, THE OTHER THINGS THAT, UH, UH, IF Y'ALL WANT TO DISCUSS IT, THESE PLEASE JUST JUMP IN, UM, SENATE BILL ONE 82 IS BEEN ON MY LIST, BUT SWEETENER, UH, ONE OF MY GOOD BILLS, UH, BUT IT WOULD, UM, MANDATE THAT THE MOU IS TRANSITIONED INTO A COMPETITION.

IF THE PROCESS WERE TO EXCEED 10%, UH, OF, OF, YOU KNOW, THE DEREGULATED DEREGULATED MARKET, IT'S A BAD MEAL BECAUSE IT'S SO POORLY WRITTEN, UH, I DON'T EVEN KNOW HOW YOU COME UP WITH WHAT'S 10% OF WHAT, UH, AND THEN THERE WOULD BE THE, IS THAT 10% FOR THE ONE MONTH OR A YEAR OR FIVE OR WHATEVER.

IT'S JUST REALLY POORLY WRITTEN.

AND, BUT IT'S BEEN, YOU KNOW, SURINDER, SHORTENERS AIM TO SHOOT IT, THE MOU AND CITIES FOR SOME TIME.

UH, THE OTHER BILL I WANTED TO MENTION WAS SENATE BILL 1242, AND IT'S A BUCKINGHAM BILL.

SHE'S FROM AUSTIN.

SHE'S ALWAYS AFTER AUSTIN ENERGY, BUT SHE'D LIKE TO TRAP US AS WELL.

AND SHE HAS A BILL THAT I'M WATCHING.

I DON'T THINK IT'S GOING TO GO ANYWHERE, BUT IT SAYS IF THE MOU IS GOING TO BUILD A TRANSMISSION LINE IN THE ETA ATJ THAT AN INVESTOR OWNED HAS THE RIGHT TO FILE A MOTION WITH THE PUC TO BUILD IT INSTEAD.

AND, UH, IT'S JUST WEIRD BECAUSE THAT'S NOT THE WAY WE AWARD TRANSMISSION IS MIKE KNOWS ANOTHER PEOPLE KNOW BRAD,

[01:30:01]

UH, WE'VE FOUGHT AND LITIGATED THIS OVER IN POINTS.

AND IF WE'RE BUILDING A TRANSMISSION LINE FROM OUR SUBSTATION TO WHEREVER IN OUR TERRITORY, THEN, YOU KNOW, THERE'S, THIS DOESN'T WORK UNLESS THERE'S SIGNIFICANT CHANGE.

UH, AND THEN MY QUESTION WOULD BE WILLING TO DO WE HAVE THE RIGHT TO BUILD WHEREVER WE WANT.

IF NOW YOU ANNOUNCED IS ENCORE.

THEY'RE GOING TO BUILD A TRANSMISSION LINE.

AND FROM DALLAS TO PLANO, DO WE HAVE THE RIGHT TO BILL THAT, YOU KNOW, BUT OF COURSE, OF COURSE THAT'S NOT THE CASE, BUT, BUT I'M WATCHING IT.

I DON'T THINK IT'S GOING TO GO ANYWHERE.

UM, MOST OF BUCKINGHAM'S BILLS ARE ALWAYS ANTI AUSTIN ENERGY.

UM, I MENTIONED SENATE BILL 2142.

UH, INTERESTINGLY IT WAS DONE BY HUGHES CHAIRMAN HUGHES, UH, OF THE LETTER I MENTIONED EARLIER ABOUT THE LIEUTENANT GOVERNOR AND 27 SENATORS SIGNING A LETTER TO THE PUC, UM, TO ASK FOR S OR R THE CHAIR TO REPRICE ENERGY.

UM, SENATOR HANCOCK DIDN'T SIGN THAT LETTER.

SO THIS, THIS, UH, 2142 IS SIGNIFICANT IN THAT HANCOCK WHO HAS BEEN HANDLING ALL THIS ELECTRIC MATTERS.

THIS WOULD NOW HAND IT OFF TO SENATOR HUGHES, WHICH IS, AGAIN, JUST SHOWS YOU HOW POLITICS ARE.

IF YOU DON'T GO WITH ME OR THE LIEUTENANT GOVERNOR, THEN, YOU KNOW, YOU MIGHT BE SHOVED ASIDE AND THIS IS WHATEVER HAPPENS IN THIS CASE.

UM, THEY, UH, YEAH, UH, THERE ARE SEVERAL OTHER HOUSE BILLS, UM, UH, 36, 15 BY PHIL KING.

UM, IT SETS UP A, UH, RIGHT REVIEW PROCESS.

UH, IT'S SIMILAR TO SENATE BILL 1470, UH, FOR MOU, IF, IF, UM, THE RIGHTS ARE NAMED OR CUSTOMERS BELIEVE THAT, UM, THE RIGHTS ARE TOO HIGH, THEY CAN, THEY CAN HAVE SOME TYPE OF RATE REVIEW EITHER AT THE COMMISSION OR, UM, BY SOME INDEPENDENT GROUP IT'S KINDA UNCLEAR RIGHT NOW.

CAUSE IT HADN'T, THE BILL IS JUST AS SHALE, BUT WE'RE WATCHING IT.

UM, THE SIMILAR KIND OF LANGUAGE IS IN THE HOUSE BILL 27, 75 BY CAIN, WHICH IS GIVES AUSTIN ENERGY CUSTOMERS A RIGHT TO APPEAL, UM, TO DO THE COMMISSION.

IF THEY'RE LIKE THEIR RIGHTS, THEIR RIGHTS ARE TOO HIGH.

UM, PROBABLY THE NEXT, WELL, THE NEXT A REAL BILL THAT WE'RE GOING TO HAVE TO REALLY WORK ON IS SENATE BILL THREE BY SWEETENER.

UH, THEY JUST CAME OUT WITH THE REVISED BILL, UH, TODAY.

UH, I READ IT AS FAST AS I COULD AND IT'S IT'S UM, IT'S, IT'S THE BILL, UM, PREPARING FOR PREVENTING AND RESPONDING TO WEATHER, EMERGENCY POWER OUTAGES, AND OTHER DISASTERS INCREASING AROUND INCREASING THE AMOUNT OF ADMINISTRATIVE AND CIVIL PENALTIES.

UM, SO IT'S GOT EVERYTHING IN IT, UM, EXCEPT, UM, ACTUAL CURE FOR ERCOT PROBLEMS, BUT IT, IT, IT CHANGES LIKE ADMINISTRATIVE PENALTIES GO FROM 25,000 PER DAY, PER BIT A MILLION.

OKAY.

IF YOU FOUND, IF YOU'RE FOUND IN VIOLATION OF AN ARCOT, UH, PUC OR NERC, UH, VIOLATION OF ANY KIND AND, YOU KNOW, THE PENALTIES INCREASE SIGNIFICANTLY.

SO, YOU KNOW, THERE'S, THERE'S A LOT OF STUFF IN THIS BILL AND, UH, BRAD, MIKE, WE'RE GOING TO HAVE TO SPEND A LOT OF TIME ON SENATE BILL THREE TO SEE WHERE WE ARE AND IT'S GOING TO BE HEARD, UM, THIRSTY.

SO, UM, UH, AND IT'S GOING TO BE HEARD IN JURISPRUDENCE, WHICH IS, UH, JOAN HUFFMAN'S COMMITTEE, UH SHE'S FROM, BUT, UM,

[01:35:01]

THE GOOD THING ABOUT THAT COMMITTEE, NATHAN JOHNSON, HIS OWN JURISPRUDENCE ON THE SENATE COMMITTEE AND, UH, NATHAN HAS BEEN OUTSTANDING FOR GARLAND AND GARLAND POWER LIGHT AND, AND ALL THE MOU USE ACTUALLY, UH, THROUGH THE HEARINGS, HE'S BEEN A SUPPORTIVE, TRIED TO HELP WITNESSES THAT WERE UNDER A LOAD DURESS AND SO FORTH.

BUT, UM, SO THAT'S A GOOD, I THINK IT'S A GOOD COMMITTEE.

AT LEAST IT'S NOT A LARGE COMMITTEE.

I THINK THERE'S ONLY FIVE OR SIX MEMBERS, BUT, UM, WE'LL HAVE TO, WELL, I HAVE TO STUDY THAT BILL BECAUSE IT HAS, IT HAS IT ALL KINDS OF LEGS ON IT.

UM, HOUSE BILLS THAT HAVE ALREADY BEEN MOVED AND I'LL EXPLAIN TO YOU HOW THEY ARE, THEY'RE DOING IT UNDER THIS EMERGENCY.

SO BILL COMES UP SAY HOUSE BILL 11, BY PATTY, WHO'S THE CHAIRMAN OF THE HOUSE, STATE AFFAIRS.

HE'S GOT A OMNIBUS, A WEATHERIZATION BILL THAT BASICALLY REQUIRES, YOU KNOW, UH, WEATHERIZE, WEATHERIZATION OF TRANSMISSION AND GENERATION FACILITIES, GAS WITH NATURAL GAS FACILITIES.

AND, AND SO THE BILL IS, WAS JUST A DRAFT BASICALLY THAT THEY HAVE A CUP COMMITTEE SUBSTITUTE, BUT NOBODY HAD SEEN IT AT THE TIME OF THE HEARING, BUT THEN ONE HAD PASSED THE BILL AND SEND IT ON TO THE FLOOR.

THEY DIDN'T LEAVE IT PENDING IN THE COMMITTEE TO HEAR, UM, YOU KNOW, UH, EVEN THE WITNESSES, WE'VE NEVER SEEN A SUBSTITUTE.

SO WE DON'T KNOW WHAT WE'RE SAYING ABOUT THE BILL.

WE'RE JUST, WE'RE JUSTIFYING ON WHAT WAS THE BILL AND THEY THEY'D MOVED IT RIGHT ONTO THE FLOOR.

IT IT'S, IT'S STILL A WORK IN PROGRESS.

AND THAT DAY, I THINK THERE WERE SIX BILLS, JEN, 11, 12, 13, 15, AND 16 PASSED THE SAME WAY.

THEY WERE BASICALLY DRAFTS, UH, WITH SUBSTITUTES ON THE WAY, WHICH NOBODY HAD SEEN THAT OR BEEN SENT ON THE FLOOR.

SO, UM, I'M TRYING TO SAY, THIS IS NOT THE WAY IT HAPPENS AND UNDER NORMAL CIRCUMSTANCES.

AND, UH, WE'RE HAVING AN ADJUST TO HAVE FAST.

THIS IS GOING, UM, LIKE I SAID, UM, 10 HOUSE BILL 10.

THAT WAS ONE THAT SAYS HERE'S WHO ON THE AIR-CON BOARD, BIG DEAL GOT RID OF ALL THE OUT-OF-STATE SEATS.

THEY'RE ALL GOT TO LIVE IN TEXAS SOMEWHERE, ANY, UM, REPRESENTATIVE OF EACH SEGMENT OF THE INDUSTRY.

UM, SO MANY APPOINTED BY THE GOVERNOR, SO FORTH AND SO ON.

UH, HOUSE BILL 11 WAS THE WEATHERIZATION BILL 12 BY RAYMOND WAS A SYSTEM-WIDE, UH, TEXAS DEPARTMENT OF ENERGY MANAGEMENT.

PLUS THE, I LIKE THIS ONE TEXT DOT AMBER ALERT PROGRAMS, ALL ALL PUT INTO THIS POWER OUTAGE ALERT SYSTEM.

AND, UM, MIKE AND I HAVE LAUGHED ABOUT THAT ONE.

AND I GUESS YOU CAN GET OUT AND LOOK AT THE HIGHWAY SIGNS TO KNOW WHETHER YOUR LIGHTS ARE ON OR OFF OR WHATEVER, YOU KNOW, IT'D BE DRIVING THROUGH SOME KIND OF TERRIBLE STORM.

LIKE WE HAD TO FIND OUT, UH, WHERE WE ARE, NOT THAT THE AMBER ALERTS WERE WORKING EITHER 13 BY PATTY, UH, IS A TEXAS ENERGY TO DISASTER RELIABILITY COUNCIL, WHICH IS ANOTHER, UM, FORM OF, OF SECURITIZATION, UM, PROVIDING FUNDING, UM, TO HELP, UH, HOUSE BILL 14 WAS HEARD TODAY.

MY GOAL WHEN HE'S HE'S CHAIRMAN OF BUSINESS, UM, UM, EXCUSE ME, ENERGY RESOURCES, AND, UH, IT'S HIS BILL AND THE, IT HAD TO DO WITH MAPPING THE SUPPLY CHAIN FOR ELECTRICITY.

SO WHAT THEY WANT TO DO IS MAKE A PUBLIC RECORD OF ALL THE CRITICAL INFRASTRUCTURE OF THE ELECTRIC SYSTEM IN ERCOT.

SO YOU CAN GET UP NOW, AFTER THIS IS COMPLETED, YOU'LL BE ABLE TO GET HOME ONLINE AND LOOK IT UP IN SOME, YOU KNOW, SOMEBODY WANTS TO BLOW SOMETHING UP, KNOWS WHERE TO GO TO, UH, TAKE

[01:40:01]

THE SYSTEM DOWN, UH, YOU KNOW, THE PEOPLE THAT NEED TO KNOW WHAT OUR CRITICAL INFRASTRUCTURE IS, UM, AND WHAT PIECE IT PLAYS AND, AND ALL THAT RA TO KNOW THAT.

UM, BUT TO MAKE IT PUBLIC IS, SEEMS A LITTLE QUESTIONABLE, BUT, UM, IT MOVED OUT AND IS GOING TO THE HOUSE OR FOR A VOTE AS WELL.

UM, I KNOW THIS IS KIND OF BORING, BUT, UM, HOUSE BILL 17 WAS PUSHED OUT AS WELL AND FORGOT ABOUT IT, BUT THIS WOULD RE UH, PREVENT THE CITY OR ANY POLITICAL SUBDIVISION FROM, UH, FROM, UM, REQUIRING A SUBDIVISION TO BE ALL ELECTRIC ARE TO PREVENT NATURAL GAS FROM BEING A PART OF THE SUBDIVISION, WHICH, UM, AS MOST OF US KNOW THE PEOPLE THAT DO THESE SUBDIVISIONS DEVELOPERS AND SO FORTH, THEY, THEY LOOK AT SEE WHAT THE COSTS ARE AS TO WHAT THEY PUT IN THE SUBDIVISION IT'S ELECTRIC GAS OR WHATEVER.

THEY DON'T WANT TO PAY THE COST TO PUT GAS IN IT.

DON'T PUT IT IN.

AND IF THEY DO, THEY DO, IT'S KIND OF WHERE IT GOES.

BUT QUESTION FOR YOU ON THAT ONE, RIGHT.

THAT'S REALLY NOT GOING TO IMPACT US MUCH AT ALL.

IS IT SINCE WE'RE JUST, YEAH, I THAT'S WHAT I THOUGHT, I THOUGHT, YOU KNOW, WHO CARES IS THAT LIMITED TO GAS ONLY? OR IS THAT ANY ENERGY SOURCE IT'S MAINLY FOR NATURAL GAS PROTECTION.

HE'S DOING IT FOR THE NATURAL GAS INDUSTRY.

YEAH.

I WASN'T SURE IF THAT WOULD IMPACT GEORGETOWN GEORGETOWN'S OF THE WORLD OR ANYTHING LIKE THAT, THAT WANTED TO DO SOMETHING OTHER THAN SOLAR.

YEAH.

THAT WAS PART OF THE, THAT WAS PART OF THE QUESTIONING.

AND HE SAID, NO, THIS IS JUST ABOUT NATURAL GAS.

AND IT WAS ALL CENTERED AROUND THE DISCUSSION OF MAN, MY GAS, FIREPLACE AND GAS STOVE KEPT ME ALIVE DURING THE STORM BECAUSE I DIDN'T HAVE ANY POWER.

WELL, THAT'S TRUE FOR ME TOO.

AND I'M GOING TO, I GUESS, SO I GET IT, I GET IT.

OKAY.

BUT HE DIDN'T, HE DIDN'T WANT TO INCLUDE ANY OTHER FORMS OF ENERGY.

UM, SO, UH, SOME OF THE SECURITIZATION BILLS, I'LL GIVE YOU THE NUMBERS ON THOSE.

IF YOU WANT TO LOOK AT THEM, LET ME GIVE YOU A QUICK TIME CUE WE'RE AT 15 MINUTES LEFT.

OKAY.

UH, SENATE BILL 1757 BY HANCOCK, UM, HOUSE BILL 44 92 BY PATTY SENATE, BILL 1950.

UM, THESE ARE ALL DIFFERENT WAYS TO SECURITIZE AND PROVIDE FUNDING FOR PRIMARILY, UH, REBUILDING FROM STORM DAMAGE.

UM, BEING ABLE TO TAKE CARE OF YOUR BILLS, UH, WHATEVER THEY MAY BE, UH, THAT FALL UNDER EACH ONE OF THESE CATEGORIES THAT THEY HAVE IT BASICALLY ELECTRIC, UM, NATURAL GAS, UM, BROADBAND.

UM, CAN'T THINK OF THE FOURTH ONE RIGHT NOW, BUT, UM, I HAVE IT HERE SOMEWHERE.

OH, WATER.

I DON'T KNOW HOW I CAN FORGET THAT.

SO, YOU KNOW, THESE, THESE MAY BE IMPORTANT TO THE CITY.

UM, CERTAINLY, YOU KNOW, IN A TIME OF WHAT I BELIEVE WILL BE VERY TIGHT CREDIT FOR THE ELECTRIC MARKET AND ELECTRIC CUSTOMERS MAY SPILL OVER INTO OTHER THINGS THAT THE CITY PROVIDES WATER AND, UM, MAYBE TREATMENT FACILITIES AND SO FORTH.

SO I THINK THESE ARE SOME WE SHOULD ALL PAY ATTENTION TO AND SEE WHAT HAPPENS.

YEAH.

I THINK THERE'S GOING TO BE A REAL CREDIT CRUNCH.

I KNOW, ESPECIALLY ON THE ELECTRIC SIDE, I CAN'T IMAGINE VERY MANY PEOPLE THAT WANT TO LEND MONEY TO, UH, TO THIS MARKET THAT, UH, WAS NOT ABLE TO SET, UM, AND HAD SUCH DISTORTED PRICES, UM, DUE TO SOME POOR JUDGMENT BY SOME PEOPLE.

SO, UH, YOU KNOW, IT FEELS SOMEBODY COMES UP WITH A

[01:45:01]

FIX AND I PRESENTED ONE, UH, WITH A GP AND L WORKING TOGETHER, UH, TO SENATOR JOHNSON.

WHO'S BEEN TRYING TO WORK IT IN SOMEWHERE, UH, THAT ACTUALLY DEALS WITH THE CAPACITY PROBLEM THAT WE HAVE.

AND UNTIL SOMETHING LIKE THAT IS DONE TO FIX THIS MARKET, UH, PEOPLE ARE NOT GOING TO WANT TO GO THROUGH THIS AGAIN.

AND SO FAR, UH, EXPLODING ANYTHING THAT MIGHT BE INSERTED, A SHORTER BILL THAT I HAVEN'T COMPLETELY STUDIED.

I DON'T SEE ANYTHING THAT FIXES ANYTHING.

I SEE A LOT OF WINDOW DRESSING AND ALL THAT.

AND IT'S KIND OF INTERESTING THAT WE END UP THAT AWAY.

WE RAN OFF ALL THREE PUC COMMISSIONERS, GOT THE HEAD OF ARCOT BARD.

AND IF WE DIDN'T HAVE A PROBLEM, WHY DID THAT, WHY DID WE DO THAT? I MEAN, WE'RE NOW ACTING LIKE IT WAS JUST POOR JUDGMENT ON THE PART OF THE, YOU KNOW, THERE WERE SOME GOOD PLAYERS AND SOME BAD PLAYERS AND IT JUST FELL OUT THAT WAY.

UM, THAT'S KIND OF THE GENERAL DISCUSSION YOU'RE HEARING, ESPECIALLY IN THE HOUSE.

SO WE'LL SEE.

UM, LET ME LOOK QUICKLY, LOOK AND SEE WHAT ELSE I LEFT.

I, I THINK I JUST, UH, CONCLUDE BY SAYING, YOU KNOW, WE, WE NEED ALL THE HIGHS WHO CAN LOOKING AT THIS STUFF AND GOING THROUGH, UM, LIKE BRAD SAID EARLIER, CHANGED SIX WORDS AND THE BILL IS NOT GOOD ANYMORE, YOU KNOW, OR, UH, JUST, JUST A LITTLE BIT OF THIS OR SOMETHING CHANGE MAKES A BIG DIFFERENCE.

AND, UM, YOU KNOW, IT'S, IT'S JUST, UM, A 350 ELECTRIC BILL SO FAR THAT WE'RE TRYING TO GET THROUGH, UM, IS PRETTY AMAZING.

AND, YOU KNOW, THE SECOND LARGEST CONTRIBUTION TO THE HIGH PRICES WAS NATURAL GAS CHARGES TO POWER PLANTS.

THERE'S ONLY 15 BILLS FILED ON NATURAL GAS, 350 ON AN ELECTRIC SIDE.

SO I JUST CONCLUDE THAT BY SAYING THE OIL AND GAS LOBBY IS A LOT BETTER THAN THE ELECTRIC SIDE.

I'D BE HAPPY TO ANSWER ANY QUESTIONS OR TAKE COMMENTS OR SUGGESTIONS, WHATEVER WE HAVE, UM, BE HAPPY TO ACCOMMODATE, HELP, FACILITATE WHATEVER.

VERY GOOD SIR, UH, COUNCIL MEMBERS, UM, JUMP IN IF YOU, UH, IF THERE'S ANY SPIRIT OR WILL LEFT TO DO SO.

THANK YOU, RAY, FOR THE, I MEAN, YOU KNOW, FOR ALL THE WORK THAT YOU'RE DOING AND KEEPING TRACK OF ALL THIS STUFF, IT'S, UH, I'M, I'M SURE IT'S FAR MORE, IT'S PRETTY DISPIRITING FOR ME AND I'M SURE EVEN FOR MORE SO FOR YOU, BECAUSE IT ISN'T A MYSTERY.

IT ISN'T, I THINK A LOT OF WHAT HAPPENED PARTICULARLY ON THE MARKET SIDE IS NOT A SHOCK AND, UH, YOU KNOW, EVERY, EVERY, EVERY TIME, UM, YOU KNOW, EVERY TIME I'D HEAR ABOUT THEM, GO ASK AND FOLKS QUESTIONS DOWN AT HEARINGS.

I JUST WISHED THAT SOMEBODY WOULD HAVE, UH, JUST WISH SOMEBODY WOULD HAVE JUST HOLD UP A MIRROR.

YOU KNOW, WHO'S RESPONSIBLE FOR THIS.

WELL, IT'S THE LEGISLATURE, YOU GUYS DESIGNED THIS SYSTEM THAT REWARDS SCARCITY IN DISCOURAGES STABILITY.

RIGHT.

AND I JUST, UM, I MEAN, DO WE REALLY HAVE ANY REALISTIC HOPE OF ANYTHING BEING DONE EXCEPT POINTLESS POLITICAL POSTURING? I DON'T THINK SO AT THIS TIME, UM, UH, YOU KNOW, I APPRECIATE YOUR COMMENTS BECAUSE I ACTUALLY, I WROTE A PAPER AFTER THE 2011 EVENT IN 2012 THAT SAID, YOU KNOW, HERE'S WHERE WE ARE, AND THIS IS WHERE WE'RE HEADED AND IT'S NOT GOOD BECAUSE THE CLOSER WE GET TO SCARCITY AND THE FARTHER WE ARE AWAY FROM RELIABILITY AND WITH THE CONTINUED GROWTH OF RENEWABLES ARE RELIABLE RELIABILITY UNITS THAT WE USED TO HAVE ARE NOW ALL MOTHBALLED AROUND OF SERVICE.

SO THERE'S NOTHING TO RESPOND TO THE KIND OF FREQUENCY DROPS THAT OCCURRED SO QUICKLY.

I MEAN, WE LOST 20,000, WE LOST 25% OF OUR GENERATION FLEET AT ONE TIME.

I MEAN, YEAH, IT'S, I REMEMBER WAKING UP THAT NOTHING TO REPLACE IT.

I MEAN,

[01:50:01]

I WOKE UP, I DON'T KNOW THE MIDDLE OF THE NIGHT, IT WAS THREE IN THE MORNING I WOKE UP JUST CAUSE I, CAUSE MY CAUSE I'M GETTING OLD AND MY STOMACH WASN'T FEELING SO WELL AND GOT THE MESSAGES AND LOOKED AT THE, YOU KNOW, THE ERCOT SITE.

AND YOU SAW THAT DROP.

I MEAN, IT JUST, THAT'S JUST A CATASTROPHIC DROP WHEN YOU SAW THAT 10, 20,000 MEGAWATTS JUST GOING OFFLINE IN, IN, IN A CASCADING FAILURE.

THAT WAS JUST, I MEAN, VERY SCARY.

AND, AND AS OTHERS, IS IT KUDOS TO THE ERCOT OPERATIONAL SIDE AND, AND THE FOLKS ON THE OPERATIONAL SIDE WHO KEPT THE GRID FROM, FROM GOING TO BLACK START.

BUT YOU KNOW, THIS IS, UH, AS I LOOK AT THIS, WHAT'S DISCOURAGING TO ME IS, YOU KNOW, PO FOLKS CAN POSTURE AND REPRICE AND ALL THIS OTHER STUFF, BUT REPRICING THE MARKET ISN'T GOING TO DO IT MAY ACTUALLY CAUSE MORE HARM IN THE LONG RUN THAN GOOD, PARTICULARLY IF WE'RE NOT GOING TO CHANGE HOW THE MARKET IS SET UP.

AND I JUST CAN'T SEE A WAY.

I MEAN, YOU LOOK AT THINGS LIKE OUR, OUR, OUR TRANSMISSION PROJECT OUT TO, OUT IN RUSSIA, THAT'S PART OF THE SOUTHERN CROSS.

THAT'S JUST BEEN TIED UP IN KNOTS FOR WHAT, YOU KNOW, YEARS AND YEARS NOW FOR NO GOOD REASON.

I WAS MANAGER THERE WHEN WE STARTED THAT.

SO THAT'S BEEN A WHILE STILL IN COMMITTEE AT ARCO AND THAT'S, THAT'S 2000 MEGAWATTS, WHICH IS, WHICH WOULDN'T HAVE SOLVED ALL THE PROBLEMS, BUT SURE WOULD HAVE BEEN NICE TO HAVE, YOU KNOW? AND SO I JUST, I, I, A LOT, I MEAN, TELL ME WHERE TO PUSH OR WHO TO TALK TO OR WHO TO COMPLAIN TO.

I KNOW IT PROBABLY WON'T DO ANY GOOD.

THAT'S THE KIND OF, I FEEL A CERTAIN DEGREE OF FUTILITY HERE IN TERMS OF ACTUALLY GETTING SOME KIND OF MEANINGFUL, UM, LEGISLATIVE RESPONSE AND EVEN, AND NOT EVEN JUST FOR THIS SESSION, BUT FOR THE NEXT SESSION TWO YEARS FROM NOW, BECAUSE I KIND OF FEEL LIKE THAT MIGHT, THAT MIGHT BE THE TIMELINE ON WHICH WE HAVE TO WORK TO GET PEOPLE TO COME UP WITH SERIOUS SOLUTIONS.

AND I JUST DON'T, I DON'T KNOW, BUT IF THERE'S ANYTHING I CAN DO, PLEASE LET ME KNOW OTHERWISE DEPRESSING.

I'LL, I'LL, I'LL JUMP IN, UH, BEFORE THE CHAIRMAN CALLS TIME ON US.

UM, I KNOW HE'S WATCHING THE CLOCK, UM, WHAT I'VE TOLD RAY AND, AND MIKE HAS BEEN WATCHING THIS FOREST TOO.

IT TOOK A AS BEST, I RECALL, FOUR OR FIVE SESSIONS TO DEREGULATE, UH, THE ELECTRIC MARKET IN TEXAS.

UM, YOU KNOW, IF WE HAVE ANOTHER, UH, ROLLING OUTAGE, BLACKOUT BLACK START OR WHATEVER THIS SUMMER DURING SOME HOT MEN, MAYBE IT'LL GET THEIR ATTENTION THAT, UM, UH, MY VIEW IS THAT IT'S GOING TO TAKE ANOTHER TWO OR THREE SESSIONS BEFORE THEY REALLY COME AROUND.

IF WE CAN KEEP THEIR ATTENTION, UH, COME AROUND AND, AND SORTA REREGULATE THE MARKET.

CAUSE I I'M, UM, I'M, UH, UH, RE DISCIPLE IN THAT SENSE.

IT, YOU KNOW, WE TRIED THIS, UH, DEREGULATED EXPERIMENT AND IT WORKED EXACTLY, IT WAS AS IT WAS DESIGNED LAST FEBRUARY.

SO THAT TELLS YOU HOW THAT EXPERIMENT PLAYED OUT, BUT WE'LL, WE'LL KEEP MONITORING ALL THIS AND KEEP YOU POSTED.

UH, OF COURSE, UH, ELECTRIC RELATED BILLS ARE VERY HIGH ON OUR, ON OUR RADAR.

UM, THERE'S NOTHING THAT I'VE SEEN, UM, THAT IS TERRIBLY ALARMING.

THE PROBLEM IS THESE ARE ALL WHO BUILDS.

IT COULD BE, UH, IT DEPENDS ON HOW THEY, UM, CAPTURING THEM AS FAR AS AMENDMENTS.

UM, BUT, UH, THERE ARE MANY OF THEM THAT ARE VEHICLES FOR BAD BILLS.

UNFORTUNATELY, UM, YOU CAN'T GO DOWN AND TESTIFY ON THAT BASIS.

YOU CAN'T SAY, WELL, I'M AGAINST SB 23 OR MP3 OR WHATEVER IT IS.

UM, BECAUSE IT'S A VEHICLE FOR BAD AMENDMENTS, I'D SAY, OKAY, WHY DON'T YOU COME BACK WHEN IT'S AMENDED AND TALK ABOUT IT.

UM, BUT WE'LL, WE'LL KEEP WATCHING BEST WE CAN DO.

THAT'S WHAT RAY DOES EVERY DAY.

PROBABLY HIS FIRST THING HE DOES WHEN HE GETS UP AT THREE O'CLOCK IN THE MORNING, THREE O'CLOCK.

ALL RIGHT, WELL, WE'RE KIND OF NEARING THE END HERE.

UM, BUT BASED ON WHAT YOU TOLD US AND BASED ON ALL THE DISCUSSION, IT DOESN'T FEEL LIKE ANYBODY'S LEARNED ANYTHING AT THE LEGISLATURE.

AND THEN WHAT IT FEELS LIKE SET, THEY'RE GOING TO DOUBLE DOWN ON THEIR CURRENT POSITION AND MAKE IT WORSE.

AND WE HAVE TO BE IN THIS FOR THE LONG HAUL.

UM, I THINK COUNCIL MEMBER ROBIN HIT IT ON THE HEAD THAT THIS IS A MULTI, THIS IS A MULTI-SESSION EFFORT THAT WE'RE GOING TO HAVE TO, TO, TO COMMIT TO.

AND, YOU KNOW, UH,

[01:55:01]

HE AND I WILL BOTH BE GONE WITHIN TWO YEARS.

UH, SO BJ IT'S ON YOU.

GOOD LUCK.

WAIT, WE EXPECT NOTHING, BUT A HUNDRED PERCENT SUCCESS WAS SEEING THESE, SEEING THESE HORROR MOVIES BEFORE.

SO NO PRESSURE, SIR.

NOW WOULD WE KNOW PROBABLY WHAT WE GOING TO DO.

WE'RE GOING TO AMEND THE CITY CHARTER SO THAT YOU CAN'T MOVE THIS.

YOU CAN'T, YOU CAN'T LEAVE THE THEATER.

YOU WERE LOCKED IN.

NO, SIR.

WE'RE, WE'RE BOTH GOING TO GET OUR HOBBIES BACK EVENTUALLY.

UH, IT, I THINK THIS MIGHT BE MY HOBBY NOW.

WELL, WE MAY SIT IN AUSTIN DURING THE LEGISLATIVE SESSION, BUT, UH, ALL RIGHT GUYS, UH, I I'VE SEEN NO ATTENDEES POP IN THE ENTIRE MEETINGS, SO THERE'S NO PUBLIC COMMENT TO BE HAD.

I'VE BEEN KEEPING A CLOSE EYE ON THAT.

UM, IF THERE IS ANYTHING THAT THE COMMITTEE MEMBERS WANT TO HEAR IN OUR NEXT MEETING, ANY PARTICULAR TOPICS WE HAVEN'T BROACHED YET THAT YOU GUYS WANT.

OKAY.

HEARING NOTHING.

IF YOU GUYS DO THINK OF SOMETHING, GO AHEAD AND EMAIL BRAD AND LAURA AND LET THEM KNOW THAT WE WANT TO SEE SOMETHING.

WE UNDERSTAND EVERYTHING'S GOING TO MOVE QUICKLY.

EVERYTHING CAN CHANGE ON A DIME, BUT I FEEL VERY CONFIDENT, CONFIDENT, AND COMFORTABLE THAT THIS COMMITTEE HAS, HAS PAINTED THE PICTURE OF WHAT WE'RE GOING FOR.

AND I FEEL LIKE WE'RE ALL ON THE SAME PAGE SHOW.

YOU KNOW, YOU GUYS DO WHAT YOU NEED TO DO WHILE YOU'RE DOWN THERE AND LET US KNOW HOW WE CAN HELP AND HOW WE CAN PITCH IN.

UM, SOME REMEMBER ROBIN AND WILLIAMS REALLY, REALLY APPRECIATE YOU GUYS OFFERING TO GO TO GO TESTIFY ON 1558.

UH, IT MEANS A LOT TO ME PERSONALLY.

AND, UM, YOU HAVE MY GRATITUDE, UH, WITH THAT SAID IT IS 5:59 PM.

AND THIS MEETING OF THE LEGISLATIVE AFFAIRS COMMITTEE IS ADJOURNED.

I APPRECIATE YOU ALL AND WE'LL SEE YOU NEXT TIME.

THANK YOU.

THANK YOU.

THANK YOU.

THANK YOU.

RUIN.