HomeMy WebLinkAboutJuly 14 Agenda Questions and ResponsesJuly 14 Agenda Questions and Responses
Date Submitted By Type Item ID Number Department Question/Comment Staff Response
7/10/2026 Nick Stevens Consent O 26-1029 Purchasing / Parks Please pull Item O on Consent Agenda.Staff will prepare to pull this item.
7/10/2026 Nick Stevens Consent K 26-1037 Purchasing / Parks The project completion date is December 2027. However, to receive funding, project must
be completed by September, can you ensure that this project will be completed in time?
Substantial completion is on track for September 2027, which aligns with the grant requirements. Quarterly reports are provided to the State,
and Parks has an assigned Project Manager to ensure all milestones are met.
7/10/2026 Nick Stevens Consent O 26-1029 Purchasing / Parks Have we done a contract for pickle ball and tennis in the past? If so, can you provide details
on the revenue of this program in the past?
Yes, the City contracts for Tennis and Pickleball services annually. For FY24/25, Total revenue was $328,605.60. The City's share of this
revenue split was $65,721.12.
7/10/2026 Nick Stevens Consent O 26-1029 Purchasing / Parks Can you provide information on how the estimate of 70K of revenue will be received? That
is, what estimates went in to a 350K sales projection.
The projection is based on historical revenue trends and future projections for the program.
7/10/2026 Nick Stevens Consent O 26-1029 Purchasing / Parks Only one company responded to our bid. Do we have any hypothesis as to why?The City’s supplier database sent this solicitation to 591 vendors registered under the broad class code (miscellaneous services), this code
includes 95 different sub categories. Only one of those sub categories covers sports professional services. Because vendors must register
under the broader code rather than a specific sub
‑
category, the notification was sent to all 591 vendors, even though most do not provide
sports
‑
related services. City staff also searched the State of Texas Centralized Master Bidders List and were unable to locate any tennis or
pickleball instructors to invite. The past two solicitations (2017 and 2022) each received only one response.
7/10/2026 Nick Stevens Consent P 26-1030 Purchasing / Parks Was this amount accounted for in the last budget?No, the full $80,000 was not budgeted in the prior year. The intent is to have a contract available if needed for City related lighting projects,
with the City paying only for services rendered. Parks typically budgets for holiday lighting needs, such as the City Hall Christmas tree,
Halloween installations, and other special event setups.
7/13/2026 Suzi Rumohr Work Session A 26-0967 CSO Did Council Member Villarreal submit any committee preferences? If he did, I’d like to have
those prior to Tuesday.
Council Member Villarreal submitted preferences on Friday, July 10 and the presentation was updated and republished to reflect his
submission. His preferences were as follows:
• Economic Development Partnership
• TIRZ Board 1
• Community Partnership Committee
• DCRC
7/13/2026 Suzi Rumohr Work Session B 26-0557 Strategy / Budget Slide 10: If possible, please provide a list of the categories of property tax exemptions and
how much we lose in property tax revenue for each exemption category.
There are multiple exemption categories, major categories include:
Homestead (General amount, Disabled persons, Over 65) - $5,000, $15,000 - $50,000 (depending on category and if combined)
Disabled Veteran - (Partial and full, surviving spouse) 10% - 100% exemption.
Special - (Pollution control, Freeport, Agriculture) Full or partial
Absolute - (Charitable, non-profit orgs, public entities, 100% Disabled Vet) - Full Value exemption from Tax role.
These amounts can vary each tax year, based on category. The total exempted value for FY 2026 Budget (2025 tax year) was approximately
$5 Billion. Based on FY 2026 tax rate of 0.0059542 is $29.77 million dollars in revenue if total exemption value were able to be taxed in full.
However, this example assumes public and religious entities which would not be taxed.
7/13/2026 Suzi Rumohr Work Session B 26-0557 Strategy / Budget Slide 11: What are the key retail areas our sales taxes are concentrated in?Denton's sales tax is concentrated in two major retail areas: Rayzor Ranch and the South Loop 288 /I-35E corridor, including Golden Triangle
Mall and surrounding big-box, restaurant, and auto-related retail. Additional sales tax activity is generated further along University Drive,
southern I-35E, Unicorn Lake, and Downtown, though these areas are generally more dispersed and smaller in scale.
7/13/2026 Suzi Rumohr Work Session C 26-0968 Finance For trails, what projects or what types of trails (loop versus linear) do we anticipate funding
with the remaining $11 million?
The major outstanding trail projects are primarily linear trails: Hickory Creek Trail, Pecan Creek Trail, Cooper Creek Trail, and Hills of Denton
Trail. Additional loop trail projects are also pending for Briercliff Park, Bowling Green Park, and the Lily Cantu Playground. This list is expected
to grow as more park projects are initiated in the coming years. Trail bond funds have been leveraged to secure additional grant funding,
totaling $13,046,094, which brings the overall funding available for trail development to more than $28 million, with potential for further grant
opportunities.
7/13/2026 Suzi Rumohr Work Session C 26-0968 Finance Water Works Park: The slide says it’s awaiting $12 million construction funding. The original
amount for Aquatics was $15,000,001. Has the total project cost increased to $27 million?
If so, I’m curious to hear the source(s) of this large increase.
The design portion of the project has been completed, at a cost of $3m, leaving $12m for construction. These figures added together get to
the $15m.
7/13/2026 Suzi Rumohr Work Session C 26-0968 Finance Slide 14: What is the borrowing cost difference between AA+ and AAA ratings? What is the
borrowing cost difference between AA+ and A+?
The borrowing cost difference between AA+ and AAA ratings is currently estimated to be about $174,875 on $100 million borrowed. The
borrowing cost difference between AA+ and A+ is currently estimated to be about $711,000 on $100 million borrowed.
7/13/2026 Suzi Rumohr Work Session 26-0968 Strategy / Budget Slide 14: Our tax revenue supported debt is $733M. How much revenue do we receive
annually from the I&S portion of our property tax rate?
Current year revenue collected to-date is $55,417,794, which is sufficient to pay the current year debt service. The $733M figure represents
the total outstanding principal and interest outstanding over the 20-year period, with annual debt service of approximately $55.5M.
7/13/2026 Suzi Rumohr Work Session C 26-0968 Finance Slide 15: Does this graph assume we issue the remaining GO bonds from the 2023 Bond
Program? Or does this graph only include the debt we’ve already issued without including
the forecasted issuance of remaining voter-approved bonds?
Current year revenue collected to-date is $55,417,794, which is sufficient to pay the current year debt service. The $733M figure represents
the total outstanding principal and interest outstanding over the 20-year period, with annual debt service of approximately $55.5M.
7/13/2026 Suzi Rumohr Work Session C 26-0968 Finance Slide 15: Can we get a version of this chart that also includes the past 10 years?Staff will prepare a chart showing the debt service by year for the prior ten years and add the information to the work session presentation.
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7/13/2026 Suzi Rumohr Work Session C 26-0968 Finance Slide 18: How much of the 2023 vs 2026 tax rate forecast difference is due to the
anticipated $45M in upcoming CO bonds? How much is due to adjusted lower AV growth?
Primarily, the difference is due to the issuance of CO bonds. The forecast in 2023 included CO issuance through 2027, but did not extend
through 2030. As a result, the roughly ~26 cent tax rate in the 2023 forecast increases to ~31 cents by 2030 by including an assumption of
$45M issued annually for the four years between 2027 and 2030 in addition to the 2023 Bond Program. If AV values increase at a rate greater
than 4%, or CO issuance was reduced, the difference between the 2023 and 2026 forecasted tax rates would narrow. To the latter, staff are
working on the development of the comprehensive financial policy and are actively working to identify opportunties and strategies to revenue
fund projects and shift financing away from debt. This effort is not currently included in the forecast assumptions to remain conservative.
7/13/2026 Suzi Rumohr Work Session C 26-0968 Finance Slide 18: How much new debt issuance can we accommodate annually while keeping the
I&S rate where it currently is?
To keep the I&S rate at it's current level, the annual new issuance supported by the I&S rate (GO & CO, excluding refundings) would be
approximately $45 million.
7/13/2026 Suzi Rumohr Work Session D 26-1040 Human Resources Who would be members of the search committee?The composition of the search committee is ultimately at the discretion of the City Council. Members may include councilmembers,
community representatives, city staff, etc.
7/13/2026 Suzi Rumohr Consent E 26-1005 Economic Development Does d20 Tavern own or rent their building?D20 has a long-term lease for the building and the building owner is aware they applied for the grant.
7/13/2026 Suzi Rumohr Public Hearing B Z26-0018b Development Services How much was the most recent DCAD appraised value of this property?The preliminary appraisal for 2026 is $168,702, and the certified value for 2025 is $101,000. This is the total land value, as the improvement
value has been appraised at zero dollars since 2025.
7/13/2026 Suzi Rumohr Public Hearing B Z26-0018b Development Services What is the approximate construction cost per square foot for a duplex (or single family
home)?
For permitting purposes, the valuation estimate per square foot of conditioned space within a single-family home or duplex is $170.80.
However, construction costs can vary greatly, and online sources cite a range from $150-$165 per square foot for a duplex or entry-level
7/13/2026 Suzi Rumohr Public Hearing B Z26-0018b Development Services What is the smallest unit size (square footage) allowed for a duplex in the City of Denton?
I’m looking for the smallest square footage allowed per duplex unit, not for the entire duplex
building
Each individual dwelling within a duplex is requried to have a minimum of 900 square feet of floor area.
7/13/2026 Suzi Rumohr Individual Consideration B/C 26-0804/26-0805 Finance What do we anticipate will be the I&S tax rate impact of these issuances?The current forecast indicates the I&S impact is approximately 1 cent, subject to certified values and refunding savings. As shown on slide
18, the I&S rate in 2027 would be projected to increase from 0.26064 to 0.27087.
7/13/2026 Suzi Rumohr Individual Consideration F 26-1031 Tech Services/
Procurement
How much did we pay annually for this Microsoft license 2022-2025?The total spend for the current contract executed in September 2022 is $4.4 million break down( FY 22-23 $1,008,480, FY 23-24
$1,035,207, FY 24-25 $1,095,373, and FY 25-26 YTD is $1,218,000). The current and proposed contract model provides a set discount off
Microsoft’s marketing pricing rather than offering fixed, predetermined license prices. Under this model, the discount is 18.25% for
Enterprise Agreement licenses and 18% for Select Plus Government licenses, which is slightly lower than the previous DIR contract discount
of 18.75% across all Microsoft licenses. Based on recent renewal quotes, license costs have increased by approximately 5% with each
renewal. This, combined with the growth in City staffing and the addition of new license types requested by departments, resulted in the
increased annual budget amount.
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Tennis Program/Lesson Total Revenue City's Share of Revenue
2022-23 $229,132.80 $45,826.56
2023-24 $309,388.80 $61,877.76
2024-25 $328,605.60 $65,721.12