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012425 Friday Staff ReportCity Manager’s Office 215 E. McKinney St., Denton, TX 76201  (940) 349-8307 OUR CORE VALUES Inclusion  Collaboration  Quality Service  Strategic Focus  Fiscal Responsibility MEMORANDUM DATE: Jan. 24, 2025 TO: The Honorable Mayor Hudspeth and Council Members FROM: Sara Hensley, City Manager SUBJECT: Friday Staff Report Upcoming Meetings A.Public Utilities Board on Monday, Jan. 27, 2025, at 9:00 a.m. in the City Council Work Session Room. B.Development Code Review Committee on Monday, Jan. 27, 2025, at 3:00 p.m. at theDevelopment Service Center. C.Zoning Board of Adjustment on Monday, Jan. 27, 2025, at 5:30 p.m. at the Development Service Center. D.Mobility Committee on Wednesday, Jan. 29, 2025, at 10:00 a.m. in the City CouncilWork Session Room. E.Planning and Zoning Commission on Wednesday, Jan. 29, 2025, at 5:00 p.m. in the CityCouncil Work Session Room & Council Chambers. Please check the City of Denton website for final meeting days and times as information is subject to change after the Friday Report is published. Public Meetings & Agendas | Denton, TX (civicplus.com) General Information & Status Updates A.Privet Removal at Bowling Green Park – Privet removal activities will begin at Bowling Green Park and the Spencer Open Space beginning Jan. 27. The goal of performing targeted removal of Chinese privet is to promote long-term solutions to eliminate thisinvasive weed and restore the characteristics and functions of the open space andhabitat. The removal should take around 10 days. Habitat restoration signage will beplaced at the location of privet removal. Staff created a standard operating procedure focusing on pre-activity inspection, removal strategies, public education and involvement, restoration planning, and follow-up activities. In addition, staff have created a DiscussDenton page dedicated to privet removal communication Chinese Privet Removal Initiative| Discuss Denton Staff contact: Marshall McGee, Parks and Recreation Responses to Council Member Requests for Information A.Traffic Safety Study of University Drive – On Dec. 31, 2024, Mayor Pro Tem Meltzerrequested a traffic safety study be completed at the intersection of University Drive andMalone Street. Staff are also performing a safety audit of intersections between Bonnie Brae Street and Carroll Boulevard on University Drive, including the Malone Street intersection. As part of the study, traffic observations will occur when the weather is clear,during peak morning and afternoon school hours, and adjacent street peak hours. The trafficconditions over the past few weeks have not represented normal volume. This study has anexpected completion timeline for mid-February. Staff Contact: Farhan Butt, Transportation Services B.Day Laborer Pavilion Roof – On Jan. 2, 2025 – Mayor Hudspeth inquired about the statusof the Day Laborer Roof pavilion located at the corner of Fort Worth Drive and Carroll Boulevard. The initial contractor has again offered to donate the materials and labor to repair the roof. Staff are collaborating with the contractor to schedule a repair date inanticipation of the project being completed in the near future. Gary Packan, Parks andRecreation C.Crossing Guard – On Jan. 13, 2025 – Mayor Hudspeth shared an inquiry regarding the lack of a crossing guard at Malone and Crescent Streets. The initial crossing guard for theintersection was reassigned to a higher traffic area, and staffing shortages contributed toinconsistent coverage at the intersection. Crossing guard staff has developed a plan toimprove coverage for the intersection. Staff contact: Jessica Robledo, Police D.Shingle Dump – On Dec. 23, 2024, and Jan. 14, 2025, Council Member Holland andCouncil Member McGee shared an inquiry regarding a shingle dump. Staff has beenmonitoring this site since 2019 and are conducting quarterly inspections, initiated this pastDecember 2024 and will continue to occur. The location of the shingles pile is on a portion of the property that is not within City limits. Staff continues to coordinate with other governmental agencies monitoring the site. Staff contact: Scott McDonald, DevelopmentServices 2 E.Pothole on Hobson Lane – On Jan. 18, Council Member Holland shared informationregarding a pothole on Hobson Lane. Staff visited the site and provided a temporarypatch. Based on Hobson Lane’s condition, the road will require a full reconstruction and will be evaluated for inclusion in a future bond program. Staff contact: Daniel Kremer, Public Works F.Broken Pavement – On Jan. 18, Council Member Holland shared information regardingbroken pavement on Forrestridge Drive and El Paseo Street. Staff provided a temporary patch and placed the area on the permanent repair schedule. Staff contact: Daniel Kremer, Public Works G.Deerwood and Kingsway Construction – On Jan. 18, Council Member Beck shared aninquiry from residents regarding construction occurring before normal operating hours. Staff visited with the contractors and informed them of the weekday and weekend construction hours. Staff will continue to monitor. Staff contact: Emily Loiselle,Development Services H.Pothole Repair Elm Street – On Jan. 21, Council Member Beck shared an inquiry from a constituent regarding a pothole on Elm Street. Temporary repairs will be completed on Jan. 24, and permit requests will be coordinated to arrange permanent repair. Staff contact:Daniel Kremer, Public Works I.Robinwood Construction – On Jan. 22, Council Member Beck shared an inquiry from residents regarding ongoing street construction. Staff researched and determined there have been multiple roadway and utility improvements in the neighborhood over the past fewyears. The current project is scheduled for completion by June 2025 and will concludeimprovements in this area. Staff contact: Trevor Crain, Capital Projects Informal Staff Reports A.2025-023 Rooftop Gardens and Solar..……………………………………………………5 B.2025-024 Budget-In-Brief ………………………………………………………………...7 C.2025-025 Remote Meeting Participation for Planning and Zoning Commission .……….41 D.2025-026 May 2025 General Election Update: UNT and TWU Polling Locations ……...44 Upcoming Community Events and Public Meetings Please visit the City of Denton website for upcoming community events and details. Information A.Council Requests for Information .....................................................................................46 B.Public Meetings Calendar .................................................................................................48 3 C.Future Work Session Items ...............................................................................................52 D.Street Closure Report ........................................................................................................53 4 January 24, 2025 Report No. 2025-023 INFORMAL STAFF REPORT TO MAYOR AND CITY COUNCIL SUBJECT: On October 25, 2024, Council Member Beck submitted a two-minute pitch to explore implementing rooftop and wall gardens as well as solar/battery installations on existing and future City buildings. increase Denton’s tree canopy by 5% by 2040 and use the Tree Mitigation Fund for additional staff. On December 3, 2024, the Council provided consensus to require an Informal Staff Report to address feasibility of the pitch. DISCUSSION: Rooftop and Wall Gardens Installation of roof or façade improvements require engineering work, feasibility studies, and retrofitting. Currently, 28 of the City’s 206 facilities have roof structures potentially suitable for roof gardens. These facilities would require structural modifications and engineering surveys to support the additional weight and systems, with an estimated cost between $50,000 to $200,000 to assess each building. When considering new construction, the addition of rooftop or wall gardens adds an estimated $143 to $250 per square foot. Solar/Battery Installation In addition to the structural requirements, solar panels with battery storage require additional considerations. Most facilities lack the necessary electrical infrastructure to support renewable energy, which requires upgrades to distribution systems, panels, wiring, circuit breakers, dedicated space for battery storage, ventilation, and fire safety measures. The cost of these improvements is estimated to be between $100,000 and $1,800,000 depending on facility size and energy use. The estimated annual energy cost savings from solar panels is variable, but estimates range from $2,500 to $25,000 for each facility based on energy consumption. The City would expect to see a return on investment from energy cost savings in approximately 20 to 30+ years. CONCLUSION: Staff recommends that the existing facilities are not the best option for prioritizing the addition of roof or wall gardens along with solar panels due to the significant structural and electrical modifications required. However, these options will be considered for inclusion in the design and planning of new construction projects, where such features can be integrated more cost-effectively and efficiently from the outset. With this recommendation, the pitch does not require additional board vetting or a work session at this time. If the Council would like to proceed with exploring retrofitting existing facilities, the request can be considered as part of the FY 2025-26 Budget process. STAFF CONTACT: Tom Gramer Director of Facilities and Fleet 5 January 24, 2025 Report No. 2025-023 Tom.Gramer@cityofdenton.com (940) 349-7200 REQUESTOR: Council Member Beck STAFF TIME TO COMPLETE REPORT: Total of 31 hours between four departments. A breakdown is listed below. PARTICIPATING DEPARTMENTS: Facilities Management – 22hrs. Environmental Services – 1hr. Capital Projects – 4hrs. Denton Municipal Electric – 4hrs. 6 January 24, 2025 Report No. 2025-024 INFORMAL STAFF REPORT TO MAYOR AND CITY COUNCIL SUBJECT: Budget In Brief Document EXECUTIVE SUMMARY: To complement the existing Annual Program of Services, staff has produced a “Budget-in-Brief” document which summarizes the budget and highlights its main points. DISCUSSION: The Government Finance Officers Association (GFOA) recommends producing a budget-in-brief document as a best practice. The budget document is very important, since it identifies the services to be provided, funding sources, and the rationale behind key decisions. Due to the time required to read and understand the entire budget document, a concise summary that captures these elements is helpful to readers. The budget-in-brief document is an additional tool to help promote enhanced financial transparency. The Budget-in-Brief is available on the Finance page of the City’s website. https://www.cityofdenton.com/402/Finance ATTACHMENTS: 1.Fiscal Year 2024-25 Budget-In-Brief STAFF CONTACT: Jessica Williams Chief Financial Officer jessica.jwilliams@cityofdenton.com (940) 349-8244 REQUESTOR: Staff Initiated STAFF TIME TO COMPLETE REPORT: 30 Minutes 7 Denton,TEXAS Inclusion | Collaboration | Quality Service | Strategic Focus | Fiscal Responsibility city of BUDGET IN BRIEF FY 2024-25 8 9 Page: 3Core Values: Inclusion, Collaboration, Quality Service, Strategic Focus, Fiscal Responsibility FY 2024-25 Budget in Brief City of Denton, Texas FY 2024-25 Budget in Brief City Leadership.......................................................................................................................... City Manager’s Message........................................................................................................... City Finance............................................................................................................................... Budget Overview....................................................................................................................... Budget Highlights...................................................................................................................... Operating Funds........................................................................................................................ General Fund............................................................................................................................. Water / Waste Water................................................................................................................. Solid Waste................................................................................................................................ Electric....................................................................................................................................... Grants........................................................................................................................................ 4 5 6 8 12 14 18 22 26 28 30 10 Page: 4 Core Values: Inclusion, Collaboration, Quality Service, Strategic Focus, Fiscal Responsibility FY 2024-25 Budget in Brief The City of Denton has a Mayor and six-member Council elected in non-partisan elections. Their terms of service are for two years. Gerard Hudspeth Mayor Brian Beck District 2 Joe Holland District 4 Paul Meltzer District 3 Vicki Byrd District 1 Brandon Chase McGee at large, District 5 sara hensley city Manager Jill Jester At Large, District 6 CITY OF DENTON FISCAL YEAR 2024-25 City Leadership 11 Page: 5Core Values: Inclusion, Collaboration, Quality Service, Strategic Focus, Fiscal Responsibility FY 2024-25 Budget in Brief It is my pleasure to present to you this Budget in Brief document, which offers a condensed summary of the FY 2024-25 Adopted Annual Program of Services (Budget), as adopted by the City Council on September 17, 2024. This budget was prepared with a focus on the City’s adopted strategic goals: inclusion, collaboration, quality service, strategic focus, and fiscal responsibility. The City’s annual budget process begins in February and ends in September with the adoption of the budget by the City Council. The process includes opportunities for City Council and public involvement through public meetings and workshops. The adopted budget includes a tax rate of $0.585420 per $100 of valuation, an increase over the previous year attributed to the voter-approved 2023 Bond Program. The adopted budget was developed to meet the City Council’s strategic goals and the needs of our growing community. The City of Denton continues to experience population growth, creating opportunities and challenges. I am committed to strategically and responsibly planning for future generations while simultaneously making strides in necessary infrastructure replacement and enhancements. The adopted FY 2024-25 budget continues to emphasize resources for public safety to support a healthy and safe community. The City continues to see a competitive labor market and inflationary pressure on operating expenses including contract pricing increases, as reflected in the adopted budget. The adopted FY 2024-25 budget was developed within the context of a five-year financial plan and the long-term infrastructure needs of the community. This approach aims to provide a long-term and financially sustainable perspective for decisions in the coming fiscal years. The FY 2024-25 budget for all funds is $2.35 billion and includes 1,982 full-time equivalent (FTE) positions. This document is prepared to provide a simplified view of the City’s adopted budget. The full budget, the City’s financial transparency program and the City’s audited financial statements may be found on the City’s website. I sincerely thank the members of the Denton City Council for their hard work and dedication to the residents of Denton. With your support, and the dedication of our capable staff, we will ensure that quality services are provided to the City. Sincerely, Sara Hensley City Manager CITY OF DENTON FISCAL YEAR 2024-25 City Manager’s Message 12 Page: 6 Core Values: Inclusion, Collaboration, Quality Service, Strategic Focus, Fiscal Responsibility FY 2024-25 Budget in Brief The City’s Finance Department consists of the following divisions: Finance, Accounting, Treasury, Grants and Other Funding Sources, Enterprise Resource Management, Procurement and Budget. The Department works year-round to manage all financial transactions of the City. Notably, the Department publishes the City’s audited financial statements in the form of the Annual Comprehensive Financial Report and the City’s Budget. The Department also manages the City’s annual budget cycle, producing the Annual Program of Services and the City’s Capital Improvement Program. The City has received national recognition for both its Annual Comprehensive Financial Report and its Adopted Budget from the Government Finance Officers Association of the United States and Canada. The Department manages the City’s financial transparency program and participates in the State of Texas Comptroller’s Financial Transparency Stars Program. Annually the program evaluates whether the City has published data in a manner consistent with the requirements. Additional information on the program may be found here. The Government Finance Officers Association of the United States and Canada (GFOA) presented a Distinguished Budget Presentation Award to the City of Denton, Texas for its annual budget for the fiscal year beginning October 1, 2023. This award highlights the City’s commitment to fiscal responsibility and quality service. It is intended to be a guide for City spending and should be used as a policy document, as an operations guide, as a financial plan, and as a communications device. This Budget in Brief highlights portions of the City’s budget, however the document, in its entirety may be found here. CITY OF DENTON FISCAL YEAR 2024-25 City Finance 13 Page: 7Core Values: Inclusion, Collaboration, Quality Service, Strategic Focus, Fiscal Responsibility FY 2024-25 Budget in Brief The City’s budget process begins in February and completes with Budget Adoption in September. For the 2024-25 fiscal year, the City followed the schedule to the right. This schedule incorporates internal and external stakeholders and creates time and space for public feedback on all proposed budget items. 14 Page: 8 Core Values: Inclusion, Collaboration, Quality Service, Strategic Focus, Fiscal Responsibility FY 2024-25 Budget in Brief The Adopted Budget serves as the legal framework that allows the City to levy and collect taxes. State law mandates that the City must adopt a budget and set a property tax rate annually, no later than September 30. Additionally, the City is required to adopt a balanced budget, which ensures that total operating revenues, combined with other funding sources, are equal to or exceed total expenditures. Operating Revenues +=Total Expenditures* Other Funding Sources The City’s total adopted budget for FY 2024-25, including the capital improvement program, totals $2.35 billion. $2.35B City funds: Revenues are collected by the City from property taxes, sales tax, user fees, fines and other sources. These revenues are then deposited into a series of funds. City funds are regulated based on the source of funding received. The City complies with all required accounting rules, regulations, statutes and funding restrictions. Major funds (governmental and business type): General Fund, Debt Service Fund, Electric Fund, Water Fund, Wastewater Fund, Solid Waste Fund, Airport Fund. Special revenue funds: Community Development Block Grant (CDBG), Catalyst, Sustainability Framework, Police Confiscation, Tourist and Convention, Street Improvement, Gas Well Revenues, Citizens’ Park Trusts, Roadway Impact Fees, Tax Increment Reinvestment Zones (TIRZs), Donations. Internal service funds: Technology Services, Materials Management, Fleet Services, Facilities Services, Risk Retention, Health Insurance, Engineering Services, Environmental Services, and Customer Service. *= to or greater than CITY OF DENTON FISCAL YEAR 2024-25 Budget Overview 15 Page: 9Core Values: Inclusion, Collaboration, Quality Service, Strategic Focus, Fiscal Responsibility FY 2024-25 Budget in Brief Property Taxes: Property Taxes in Texas are collected by counties, cities, and school districts. In Denton, property taxes are levied by the City and collected by the County on the City’s behalf. These taxes are calculated based on every $100 of appraised property value and are used to fund essential services such as police and fire departments, as well as to cover portions of general obligation and certificate of obligation debt. The property tax rate is designed to collect funding for maintenance and operations and for debt service payments, referred to as interest and sinking. Below you will see the City of Denton’s tax rate from 2019-2025. Fiscal Year Operations and Maintenance Interest and Sinking Total Rate/$100 Rate/$100 Tax Rate % Change 2019-20 $0.385360 $0.205090 $0.590450 -4.84% 2020-21 0.380360 0.210090 0.590450 0.00% 2021-22 0.350440 0.215370 0.565810 -4.17% 2022-23 0.356432 0.204250 0.560682 -0.91% 2023-24 0.354780 0.205902 0.560682 0.00% 2024-25 0.334780 0.250640 0.585420 4.41% In Texas, municipal tax rates are made up of two parts. The Operations and Maintenance portion of the rate and the I&S portion of the rate. The Operations and Maintenance portion of the rate is designed to provide for the general operations of the City. The I&S portion of the rate is designed to provide for the City’s payment for tax supported debt during the year. 16 Page: 10 Core Values: Inclusion, Collaboration, Quality Service, Strategic Focus, Fiscal Responsibility FY 2024-25 Budget in Brief Municipal Debt Obligations - Principal and Interest Tax Supported Revenue Supported Total $676,438,136 $1,699,507,772 $2,375,945,908 Capital Improvement Program: The Capital Improvement Program (CIP) represents the City’s plan for infrastructure and equipment funding. The CIP is reviewed each year to reflect changing priorities, as well as to assess the impact of capital projects on operating budgets and for project scheduling and coordination. The CIP adopted budget appropriates all available programmed funds and planned issuances of new General Obligation Bonds (GOs) and Certificates of Obligation (COs). Total existing appropriated funds in the amount of $661.21 million include unspent bond proceeds, internal revenue transfers and outside contributions which may be encumbered but not yet expended. Proposed planned new funding for FY 2024-25 is $494.90 million, which includes cost participation. Debt service payments are budgeted for both the actual expense and the appropriation needed to accommodate the transfer of the funds, for payment, between funds. The City’s total annual debt service payment is $160,797,856. This payment covers both principal and interest. More information on the City’s debt may be found on the City’s website and in the City’s Annual Comprehensive Financial Report. CITY OF DENTON FISCAL YEAR 2024-25 Budget Overview 17 Page: 11Core Values: Inclusion, Collaboration, Quality Service, Strategic Focus, Fiscal Responsibility FY 2024-25 Budget in Brief When reviewing capital projects, the Finance Department reviews options, determines timing of sales and completes ongoing forecasting in alignment with the City’s debt and investment policies. The issuance of debt for the City is in compliance with all state, federal and regulatory requirements. More detail on the Capital Improvement Program may be found at the City’s website, www.cityofdenton.com. Division Existing External Revenue Impact Fee General Certificates Revenue New FY 2024-25 Funding Funding Funding Funding Obligation of Obligation Bonds Funding Total General $345,841 $5,000 $7,064 $3,675 $74,103 $91,166 -$180,918 $526,759Government Electric 143,109 -45 --74,978 -75,023 218,132 Water 68,838 -431 --58,897 71,099 130,426 199,265 Wastewater 70,751 - 1,226 - - 71,673 27,576 100,475 171,227 Solid Waste 31,890 - 1,870 - - 11,126 - 12,996 44,885 Airport 1,900 855 95 - - - - 950 2,850 TOTAL $662,329 $5,855 $10,731 $3,675 $74,013 $307,840 $98,675 $500,788 $1,163,117 Municipal Bond Types Capital Improvement Program: The funding for the capital improvement program comes from several sources. In the table below, these sources and the totals for the year are listed in ‘$000. As one of the 2,000 community-owned and not-for-profit public power utilities in the country, DME provides service to 56,395 residential and commercial customers with Annual System Energy Sales of 1,469,144 Megawatt Hours (MWH).- City of Denton website 12.9.24 • Existing Funding: The amount of existing funding set aside for a specific and particular purpose in projects which may be encumbered, but not yet expended. • External Funding: Funding received from outside agencies. • Revenue Funding: City funding available for projects. • Impact Fee Funding: Funding collected to offset the impact of new development. • General Obligation: Voter Approved Bonds issued by the City. • Certificates of Obligation: Bonds issued by the City for infrastructure projects that are restricted but do not require voter approval. • Revenue Bonds: Bonds issued by the City for the utilities. These bonds are paid for with utility revenues. • Total New Funding: Total newly requested funding in the current year (External Funding to Revenue Bonds). • FY 2024-25 Total : Total new and existing funding. 18 Page: 12 Core Values: Inclusion, Collaboration, Quality Service, Strategic Focus, Fiscal Responsibility FY 2024-25 Budget in Brief • A continued focus on Public Safety staffing • Pay adjustments for Police and Fire civil service employees • A 3% cost of living adjustment (COLA) and 2.50% average merit supplemental • General Fund funding enhancements of $5.11 million • Needed utility rate increases to address inflation and growth, after years of utility rate decreases This budget enables the City Council to continue advancing the City’s goals while addressing necessary adjustments driven by rising costs, growth, and inflation. It also allocates funding for public safety initiatives and voter-approved general obligation bonds. Key priorities for this budget include: History of City of Denton Municipal Rate Increases/Decreases Utility FY 2018-19 FY 2019-20 FY 2020-21 FY 2021-22 FY 2022-23 FY 2023-24 FY 2024-25 Electric -3.50%----3.00%1.50% Water ---2.00%---3.00% Wastewater -5.00%----11.00%11.00% Solid Waste -12.00%-12.00%-5.00%---1.50% Budget Process Discussions: During the creation of this budget, the City completed multiple cost of service studies, revenue analytics, and five year forecasts. In discussions with the City Council, the Finance team laid out economic challenges and considerations that the team is tracking. As the economy continues to change, the City is seeing changes as well. Growth at record numbers drives expenses, as do pressures from inflation. Over the past several years, cities nationwide have benefited from federal programs that are now wrapping up, requiring discussion about what services will remain and which will change. The table on the right was shared with Council during these budget discussion. When viewed in conjuncture with the rate information table, the reader may see that while rates were decreasing, inflation was increasing. 21.01 % National Inflation June / June 2019-2024 Total Compounded Change: CITY OF DENTON FISCAL YEAR 2024-25 Budget Highlights * Inflation June 19 to June 24 , as of year end, total compounded inflation is closer to 23.40% (bls.gov/data/inflation) 19 Page: 13Core Values: Inclusion, Collaboration, Quality Service, Strategic Focus, Fiscal Responsibility FY 2024-25 Budget in Brief Population growth: • FY 2024/25 - 2.94% increase from previous year • FY 2025/26 - 2.85% estimated growth Sales Tax: • FY 2024/25 - Estimated 5.26% over collection estimate for FY 2023/24 • FY 2025/26 - 7.06% average growth Assessed Values: • FY 2024/25 - Total Certified Appraised Value is $21.2 Billion. • 10.16% increase over the prior tax year. • FY 2025/26 and future - Assumes a reduced M&O tax rate to correspond with AV increases. • 99.5% collection rate • Total tax rate of $0.585420 / $100 valuation Other highlights include: Due to the health of the City’s Employee Benefit Fund, the City was able to absorb a 10% increase in health insurance premiums rather than passing this cost on to employees. A decrease of $0.02 cents to the operations and maintenance portion of the tax rate. This allows for a smaller increase in the overall tax rate due to the passage of the voter approved 2023 Bond Package. The 2023 Voter Approved Bond Program Projects are listed below, in thousands. Financial Assumptions: During the creation of this budget process, the following assumptions were made. 20 Page: 14 Core Values: Inclusion, Collaboration, Quality Service, Strategic Focus, Fiscal Responsibility FY 2024-25 Budget in Brief REVENUE - ALL FUNDS The City’s total budget is $2.35B. This includes all operating and capital costs for this fiscal year. The budget should be reviewed both in totality and in relationship to the differences between operating and capital cost. This breakdown of the budget shows the Operating Revenues and the Operating Expenses. These are the funds needed to complete day to day operations like paying police officers and fire fighters, and providing water and electric services. The chart below shows the breakdown of the City’s revenue and resources by category. Revenues are generated annually and brought into the City through the property tax levy, sales taxes, fees, permitting and other activities. Resources are existing funding being used to fund current year expenses, such as fund balance. Resources are also transfered from one fund to another. For example, all of the City’s funds benefit from the services provided by the General Fund, so each fund transferring funding into the General Fund to account for services like payroll processing, human resources and accounts payable. This resource, transfers from other funds, accounts for 20.9% of the City’s total revenue and resource budget. The City’s largest revenue source is operating revenues generated by its Utilities, accounting for 48.4% of all revenue and resources. As a full-service city, Denton provides Water/Wastewater, Solid Waste, Drainage, and Electric services. The second-largest revenue source is Ad Valorem (property) taxes, which contribute 11% of the total City revenues and resources for the 2024-25 fiscal year. CITY OF DENTON FISCAL YEAR 2024-25 Operating Funds FY 2024-25 Adopted Operating Revenue and Resources 21 Page: 15Core Values: Inclusion, Collaboration, Quality Service, Strategic Focus, Fiscal Responsibility FY 2024-25 Budget in Brief FY 2023-24 FY 2024-25 Variance Adopted Adopted % Change Ad Valorem (Property) Taxes $106,163,128 $120,972,352 $14,809,224 13.95% Sales Tax 57,545,000 60,841,793 3,296,793 5.73% Franchise Agreements 23,007,690 25,444,537 2,436,847 10.59% Other Taxes & Fees 4,414,554 5,881,064 1,466,510 33.22% Service Fees 14,279,745 17,724,103 3,444,358 24.12% Fines and Fees 6,393,586 6,106,531 (287,055)-4.49% Licenses and Permits 8,184,673 6,990,806 (1,193,867)-14.59% Return on Investment 15,732,014 20,909,106 5,177,092 32.91% Utilities Operating 432,704,564 533,047,504 100,342,940 23.19% Miscellaneous 58,204,219 86,759,050 28,554,831 49.06% Subtotal Revenues 726,629,173 884,676,846 158,047,673 21.75% Transfers from Other Funds 177,955,969 215,887,716 37,931,747 21.32% TOTAL OPERATING REVENUES $904,585,142 $1,100,564,562 $195,979,420 21.67% City-wide Operating Budget Changes: • Property Taxes increased $14,809,224 or 13.95%, primarily due to an increase in property valuations and the passage of the voter approved 2023 Bond Program. • Sales Tax increased $3,296,793 or 5.73% primarily due to increases in spending and community events. • Franchise Agreements increased $2,436,847 or 10.59%, primarily due to increases in utility rates. • Other Taxes & Fees increased $1,466,510 or 33.22%, primarily due to creation of the TDIP fee and associated board. • Service Fees increased $3,444,358 or 24.12%, primarily due to the creation of two new municipal utility districts and the Public Finance Housing Corporation. • Fines and Fees decreased -287,055 or -4.49%, primarily due to redistribution of the budgets for the Park Development Trust and Land Dedication Trust. • Licenses and permits decreased -$1,193,867 or -14.59%. primarily due to decreases in building permits during the prior year. • Return on investment (ROI) increased $5,177,092 or 32.91% primarily due to increases in investment returns and utility rates. The Utilities transfer to the General Fund an ROI based upon three and one- half percent (3.5%) of utility revenues, not to exceed six percent (6.00%). • Utilities Operating revenues increased due to implementation of rate changes in DME, increases in the sale of energy and data centers. • Miscellaneous revenues increased due to increases in the internal service funds, inter-local agreements and grant revenue received, such as revenues received for the SAFER grants. 22 Page: 16 Core Values: Inclusion, Collaboration, Quality Service, Strategic Focus, Fiscal Responsibility FY 2024-25 Budget in Brief EXPENDITURES - ALL FUNDS As mentioned, the City’s total budget is $2.35B. This includes all operating and capital costs for this fiscal year. The City’s total operating expenditures total $1.087B. This is an increase of $154,523,924 or 16.56% over the prior year. These costs pay for operations like paying police officers and fire fighters, and providing water and electric services. As shown here, the largest annual expenditure the City pays is for personnel services. Personnel services include the cost of salaries, special pay, overtime, healthcare and taxes for all City employees. This includes full-time, part-time and seasonal part-time employees. As shown here, the City’s second and third largest expenses go to paying for purchase power and for municipal debt. Purchase power is the cost of power Denton Municipal Electric buys from the ERCOT market to provide power to residents. The City’s capital program is primarily debt funded and is included in the total adopted budget. This program totals over $1B in the current fiscal year. The cost listed here is the annual amount of debt service (payment) the City makes on existing debt. That is debt that has already been issued to fund projects in past years. This includes voter approved general obligation bond programs and revenue bonds issued in the aftermath of winter storm Uri. Municipalities throughout the nation utilize debt issuances for large infrastructure projects and in the case of emergencies, for more detail see page 10. CITY OF DENTON FISCAL YEAR 2024-25 Operating Funds FY 2024-25 Adopted Operating Expendi- 23 Page: 17Core Values: Inclusion, Collaboration, Quality Service, Strategic Focus, Fiscal Responsibility FY 2024-25 Budget in Brief FY 2023-24 FY 2024-25 Variance Adopted Adopted FY 2024-25 less FY 2023-24 % Change Personnel Services $232,475,191 $256,304,776 $23,829,585 10.25% Purchased Power 143,552,502 211,488,976 67,936,474 47.33% Material and Supplies 20,843,722 26,020,488 5,176,766 24.84% Maintenance and Repair 18,003,093 18,323,955 320,862 1.78% Insurance 48,073,646 54,720,867 6,647,221 13.83% Miscellaneous 8,361,617 7,343,437 (1,018,180)-12.18% Operations 80,151,123 86,590,215 6,439,092 8.03% Fixed Assets 757,967 1,890,620 1,132,653 149.43% Return on Investment 15,732,014 24,232,738 8,500,724 54.03% Franchise Fees 17,849,430 21,584,537 3,735,107 20.93% Debt Service 198,694,938 242,649,269 43,954,331 22.12% Inventory Purchases 12,600,000 14,600,000 2,000,000 15.87% Capital Outlay 58,806,147 35,005,307 (23,800,840)-40.47% Transfers from Other Funds 77,066,630 86,736,758 9,670,128 12.55% TOTAL OPERATING EXPENDITURES $ 932,968,019 $1,087,491,943 $154,523,924 16.56% City-wide Operating Budget Changes: • Personnel services increased $23,829,585 or 10.25%, due to increases in civil service salaries in alignment with Meet and Confer agreements. Implementation of a 3.00% cost of living adjustment and a possible 2.50% merit increase. Increases in health care costs covered by the City and increased personnel city-wide. • Purchased power increased $67,936,474 or 47.33% due primarily to increases in electric sales, data centers and growth in the community. • Materials and supplies increased $5,176,766 or 24.84% due primarily to increased cost of good. • Maintenance and repair costs held steady, while insurance costs increased for City buildings and risk insurance. • Miscellaneous costs decreased -$1,018,180 or -12.18% due primarily to bringing convention and visitors bureau activity in house. • Operations costs increased $6,439,092 or 8.03% primarily due to the addition of the K-9 program, incentive payments, contract changes and vehicle maintenance. • Fixed asset costs are determined by depreciated calculated at year end. This is the total depreciation for all city fixed assets. • Returns on investments and franchise fees increased due to increases in investment returns and increased utility rates. • Debt Service payments, the payments the city makes annually on its outstanding debt, increased $43,954,331 or 22.12% due to increases in debt service requirements and issuance for the 2023 Bond Program. This line includes actual expense and all related transfers between funds, as discussed on page 10. • Inventory purchases increased $2,000,000 or 15.87% to allow for receipt of generators for the electric system, while capital outlay decreased -$23,800,840 or -40.47% due to movement of water and wastewater impact fees to a separate fund.24 Page: 18 Core Values: Inclusion, Collaboration, Quality Service, Strategic Focus, Fiscal Responsibility FY 2024-25 Budget in Brief REVENUE - GENERAL FUND The City’s General Fund adopted budget for FY 2024-25 totals $207,579,152. This is $18,509,588 higher than the prior year. The General Fund provides services to the public. These services include fire protection, police protection, parks services, general administrative services, library services, permitting, planning and development services. The largest sources of revenue in this fund are Property and Sales Taxes. Estimated increase: 5.73% over prior year budget Revenue Collection: FY 2022-23 Actual: $55.9 M FY 2023-24 Budget: $57.54 M FY 2024-25: $60.84 M Estimated increase: 6.04% over prior year budget Revenue Collection: FY 2022-23 Actual: $57.07 M FY 2023-24 Budget: $64.51 M FY 2024-25: $68.43 M CITY OF DENTON FISCAL YEAR 2024-25 General Fund 25 Page: 19Core Values: Inclusion, Collaboration, Quality Service, Strategic Focus, Fiscal Responsibility FY 2024-25 Budget in Brief FY 2023-24 FY 2024-25 Variance % Change Adopted Adopted Property Taxes $64,966,348 $68,879,918 $3,913,570 6.02% Sales Tax 57,545,000 60,841,793 3,296,793 5.73% Franchise Agreements 4,644,220 9,144,537 4,500,317 96.90% Other Taxes 456,554 608,330 151,776 33.24% Service Fees 12,009,745 12,097,103 87,358 0.73% Fines and Fees 1,893,586 2,106,531 212,945 11.25% Licenses and Permits 7,934,673 6,415,806 (1,518,867)-19.14% Return on Investment 15,732,014 20,909,106 5,177,092 32.91% Miscellaneous 6,900,114 5,865,977 (1,034,137)-14.99% Transfers from other funds 16,987,310 20,710,051 3,722,741 21.91% TOTAL REVENUES $189,069,564 $207,579,152 $18,509,588 9.79% General Fund Highlights: • 3% cost of living adjustment • Possible 2.5% Merit Increase • Operations and Maintenance tax rate reduced $0.02/ $100 AV • Total Tax Rate = 0.585420 • Focus on public safety and continuation of employer of choice 26 Page: 20 Core Values: Inclusion, Collaboration, Quality Service, Strategic Focus, Fiscal Responsibility FY 2024-25 Budget in Brief FY 2023-24 FY 2024-25 Variance % Change Adopted Adopted Personnel Services $ 128,113,196 $140,013,012 $11,899,816 9.29% Materials & Supplies 4,385,794 5,181,511 795,717 18.14% Maintenance & Repair 2,347,304 2,333,586 (13,718)-0.58% Insurance 4,122,531 4,521,766 399,235 9.68% Miscellaneous 3,113,469 3,751,929 638,460 20.51% Operations 22,121,361 23,243,971 1,122,610 5.07% Fixed Assets 601,967 704,483 102,516 17.03% Other Expenses - 3,323,632 3,323,632 100.00% Capital Outlay 2,338,626 1,573,142 (765,484)-32.73% Transfers 21,925,317 22,932,320 1,007,003 4.59% Total Expenditures $189,069,565 $207,579,352 $18,509,787 9.79% EXPENDITURES- GENERAL FUND The City’s General Fund adopted budget for FY 2024-25 totals $207,579,152. This is $18,509,588 higher than the prior year. The General Fund provides services to the public. These services include fire protection, police protection, parks services, general administrative services, library services, permitting, planning and development services. The City of Denton strives to be an employer of choice. This year, the City was able to further that mission by providing 3.0% cost of living increases and possible 2.5% merit increases. In the General Fund, the City also maintained its commitment to police and fire civil service personnel in alignment with their Meet and Confer Agreements. This budget also contains expenditures in personnel to continue working toward pay equity. The City was able to absorb the cost of all health care increases without passing additional cost on to employees. • Materials and Supplies cost increased $795,717, primarily due to increases in the cost of uniforms, equipment, medical supplies and chemicals. • Insurance cost increased $399,235 or 9.68%, primarily due to inflation and claims cost. • Miscellaneous cost increased $638,460 or 20.51%, primarily due to community services initiatives. • Operations costs increased $1,112,610 or 5.07%, primarily due to addition of the K-9 program, utilities, mowing and vehicle maintenance. • Fixed asset costs are calculated at year end and account for the increase in asset depreciation. While this is shows as a budgeted expense, it is often better reflected in post year end projections. • Transfer out to other funds have increase $1,007,003 or 4.59%, primarily due to increased internal services costs. CITY OF DENTON FISCAL YEAR 2024-25 General Fund 27 Page: 21Core Values: Inclusion, Collaboration, Quality Service, Strategic Focus, Fiscal Responsibility FY 2024-25 Budget in Brief General Fund Reserve Requirements: The City of Denton maintains a General Fund reserve balance for unanticipated expenditures, unforeseen revenue fluctuations, or other adverse circumstances. To ensure that resources are available for these types of issues, the City of Denton targets a fund balance equivalent to 20 to 25% of budgeted expenditures, which includes a resiliency reserve up to 5%. The resiliency reserve will only be utilized in cases of economic distress. As such, the purpose of the resiliency reserve is to minimize budget and service fluctuations due to economic conditions. The estimated ending reserve balance of $44,472,882 at the end of FY 2024 represents approximately 23.66% of estimated expenditures and is within the targeted goal of 20 to 25%. The chart below provides a listing of the ending fund balances for the past two years, an estimated balance for the fiscal year ending September 30, 2024, and the projected balance for the fiscal year ending September 30, 2025. Fund Balance Reserve As of Estimated Projected Adopted Adopted FY 2025-26 Ending Balance $44,749,871 $44,472,882 $44,472,882 % of Expenditures 25.67%23.66%21.42% Target %20%-25%20%-25%20%-25% Cost of General Fund City Services: The total cost of General Fund services for a property owner who’s home’s assessed valuation is $100,000 is $585.42 per year, or $48.79 per month. The below chart outlines where property taxes in this scenario go. 28 Page: 22 Core Values: Inclusion, Collaboration, Quality Service, Strategic Focus, Fiscal Responsibility FY 2024-25 Budget in Brief WATER FUND REVENUE The FY 2025 Water Fund budget includes $55,635,824 in revenues, $55,635,824 in expenditures, and no use of reserves. The Water Utility ensures customers have access to a reliable supply of high-quality drinking water by adhering to all federal and state regulations related to water treatment, distribution, and metering. In addition to water delivery, the fund oversees the development of water system capital improvement plans, coordinates development projects, and serves as a liaison with local, state, and federal regulatory authorities. The City of Denton holds water rights at Lake Lewisville and Lake Ray Roberts. These sources of water are treated and provided by the Water Fund. The decline in revenue seen above is due to a change in the way the City budgets water and wastewater impact fees. Impact fees are fees paid by developers due to their “impacts” on existing infrastructure. The water and wastewater funds maintain separate impact fee funds and development plan line reserves. The planned use of these fees are illustrated in the capital improvement program. The FY 2025 budget contemplates the following rate assumptions. • An increased rate change of 3.00% for residential and commercial customers in FY 2025. This is the first rate increase since FY 2018. There was a rate decrease in FY 2021. • The Water Impact Fee Study is currently pending. The results will be incorporated into future budgets. Personnel Changes The positions in FY 2025 increased by seven net positions. This change reflects nine new positions and two positions moving to another fund. FY 2023-24 FY 2024-25 Variance % Change Adopted Adopted Residential Water Sales $23,839,938 $23,684,799 ($155,139)-0.65% Commercial Water Sales 19,858,347 23,472,151 3,613,804 18.20% Resale - Raw Water 2,164,644 1,688,223 (476,421)-22.01% Resale - Treated Water 541,654 665,946 124,292 22.95% Non-rate Revenues 16,450,861 4,897,741 (11,553,120)-70.23% Interest Income 300,000 1,226,964 926,964 308.99% Total Revenue $63,155,444 $55,635,824 ($7,519,620)-11.91% CITY OF DENTON FISCAL YEAR 2024-25 Water/Wastewater 29 Page: 23Core Values: Inclusion, Collaboration, Quality Service, Strategic Focus, Fiscal Responsibility FY 2024-25 Budget in Brief Utility Reserve Levels: The Utility Departments and the Public Utilities Board have developed financial strategies and objectives to maintain financial stability and resiliency. One objective is to achieve and maintain reserve balances that provide adequate working capital and operating reserve levels. These reserve targets are based primarily on the Government Finance Officers Association’s (GFOA) best practices for enterprise funds. In general, “Reserves” are divided into two components: working capital and operating reserves. Working capital provides a minimum unrestricted fund balance to provide the liquidity needed to allow regular management of payables and payment cycles. The working capital target for each utility is 30 days (8%) of average budgeted expenditures. The operating reserve funds provide a means of managing expense and demand volatility, ensuring that funding is available for emergencies such as equipment or infrastructure failure, and serving to improve overall resiliency. Water Fund Actual Percentage 77.9% FY 2025 Target 25-42% Equivalent Days of Operating Expenses 90-150 WATER FUND EXPENSES FY 2023-24 FY 2024-25 Variance % Change Adopted Adopted Purchased Power $1,481,328 $1,481,328 - 0.00% Purchase of Water 3,000 3,000 - 0.00% Personnel Services 11,458,321 13,144,979 1,686,658 14.72% O&M 7,794,903 11,137,793 3,342,890 42.89% Materials and Supplies 2,040,004 4,676,464 2,636,460 129.24% Maintenance and Repair 2,066,512 2,250,512 184,000 8.90% Insurance 465,105 519,789 54,684 11.76% Administrative Cost 3,944,389 4,208,445 264,056 6.69% Miscellaneous Expense 107,865 107,865 - 0.00% Operations 3,218,282 3,686,028 467,746 14.53% Interest Expenses 5,000 5,000 - 0.00% Debt Service Transfers 11,849,983 14,571,614 2,721,631 22.97% Capital Transfers 13,722,000 430,562 (13,291,438)-96.86% Interfund Transfers 8,312,192 10,514,188 2,201,996 26.49% Fixed Assets 35,000 36,052 1,052 3.01% Total Expenses $66,503,884 $66,773,619 $269,735 0.41% 30 Page: 24 Core Values: Inclusion, Collaboration, Quality Service, Strategic Focus, Fiscal Responsibility FY 2024-25 Budget in Brief WASTEWATER FUND REVENUE The FY 2025 Wastewater budget includes $45,411,976 in revenues, $45,662,165 in expenditures, and $250,189 in use of reserves to balance the budget. One of the primary functions of the wastewater Fund is to provide its customers with an environmentally responsible means of conveying, treating, and recycling wastewater. This is accomplished though compliance with all federal and state regulations governing the service include: administration, wastewater collection, water reclamation, effluent reuse program, composting operations, wastewater system capital planning, and storm water drainage. FY 2023-24 FY 2024-25 Variance % Change Adopted Adopted Interest Operating $399,514 $523,269 $123,755 30.98% Residential Wastewater 13,726,979 17,083,964 3,356,985 24.46% Commercial Wastewater 16,473,258 18,487,168 2,013,910 12.23% Effluent Irrigation 89,902 75,417 (14,485)-16.11% Wastewater Wholesale 1,212,248 862,521 (349,727)-28.85% Other Revenues 2,032,729 2,668,038 635,309 31.25% Drainage Fees 4,960,002 5,072,777 112,775 2.27% Transfers In 634,561 638,822 4,261 0.67% Impact Fee Transfer 4,270,000 - (4,270,000)-100.00% Use of Reserves 1,531,066 250,189 (1,280,877)-83.66% Total Resources $45,330,259 $45,662,165 $331,906 0.73% Increases in wastewater revenues are predicated on increased rates and community-wide growth. The wastewater fund impact fees have moved in the same manner as the water impact fees. The funds FY 2024-25 initiatives include: • Construct Granada Lift Station Conversion to Gravity • Expand Pecan Creek Water Reclamation Plant Headworks and Capacity • Improve Cooper Creek Lift Station • Construct Robson Ranch Lift Station Conversion Phase 1 • Accelerate the Clear Creek Wastewater Solution CITY OF DENTON FISCAL YEAR 2024-25 Water/Wastewater 31 Page: 25Core Values: Inclusion, Collaboration, Quality Service, Strategic Focus, Fiscal Responsibility FY 2024-25 Budget in Brief Utility Reserve Levels: The reserve information listed in the water fund also apply to the wastewater fund. Wastewater Fund Actual Percentage 29.3% FY 2025 Target 20-31% Equivalent Days of Operating Expenses 75-110 WASTEWATER FUND EXPENSES FY 2023-24 FY 2024-25 Variance % Change Adopted Adopted Purchased Power $1,221,000 $1,221,000 - 0.00% Personnel Services 9,142,344 10,343,892 1,201,548 13.14% Materials and Supplies 1,349,117 2,014,500 665,383 49.32% Maintenance and Repair 2,655,672 2,914,872 259,200 9.76% Insurance 429,237 463,483 34,246 7.98% Other Expenses 26,248 26,098 (150)-0.57% Operations 2,408,183 2,310,264 (97,919)-4.07% Return on Investment 1,078,437 1,244,990 166,553 15.44% Franchise Fee 1,540,624 1,778,557 237,933 15.44% Debt Service 8,713,745 9,785,287 1,071,542 12.30% Cost of Service - General Fund 1,841,838 2,536,127 694,289 37.70% Cost of Service - Other 8,015,650 9,098,100 1,082,450 13.50% Capital Outlay 6,905,164 1,924,995 (4,980,169)-72.12% Total Expenditures $45,327,259 $45,662,165 $334,906 0.74% The FY 2025 budget contemplates the following rate assumptions. • An increased rate change of 11.00% for residential and commercial customers in FY 2025. This represents a consecutive rate increase since the prior decrease in FY 2019. • The Wastewater Impact Fee Study is currently pending. The results will be incorporated into future budgets. 32 Page: 26 Core Values: Inclusion, Collaboration, Quality Service, Strategic Focus, Fiscal Responsibility FY 2024-25 Budget in Brief SOLID WASTE FUND REVENUE The FY 2025 Solid Waste and Recycling Fund Budget totals $43,519,287 in revenues and $43,519,287 in expense. This budget does not include the use of reserves. The Solid Waste Utility is responsible for resident and commercial customers with dependable, efficient, and cost-effective solid waste and recycling collection and disposal services to customers with sustainable, reliable, and competitive electric services. This is accomplished through compliance with all federal and state regulations governing the collection, disposal, and recycling of refuse, debris, yard waste, home chemicals, and large household items including electronics. This fund is also responsible for developing solid waste and recycling capital improvements, development coordination, and liaising with local, state, and federal regulatory authorities. The City of Denton owns and operates the City’s landfill in compliance with local, state, and federal regulations. FY 2023-24 FY 2024-25 Variance % Change Adopted Adopted Rate Revenues $33,984,882 $36,255,666 $2,270,784 6.68% Wholesale Agreements 4,033,433 5,296,940 1,263,507 31.33% Non-rate Revenues 1,277,588 1,966,681 689,093 53.94% Use of Reserves 2,074,934 (2,074,934)-100.00% Total Resources $41,370,837 $43,519,288 $2,148,451 5.19% Rates: The FY 2025 budget contemplates the following rate assumptions: •An increased base rate change of 1.5% for residential and commercial customers in FY 2025. This is first rate increase since FY 2018. The last rate was reduced annually from FY 2019 to FY 2021. • Solid Waste completed a cost-of-service study. The results included the 1.5% rate increase implemented in the FY 2025 budget. Personnel Changes: The positions in FY 2025 decreased by two positions, which moved to another fund. CITY OF DENTON FISCAL YEAR 2024-25 Solid Waste 33 Page: 27Core Values: Inclusion, Collaboration, Quality Service, Strategic Focus, Fiscal Responsibility FY 2024-25 Budget in Brief SOLID WASTE FUND EXPENDITURES FY 2023-24 FY 2024-25 Variance % Change Adopted Adopted Personnel Services $13,858,641 $14,333,760 $475,119 3.43% Materials & Supplies 734,267 688,667 (45,600)-6.21% Maintenance and Repair 238,516 239,516 1,000 0.42% Insurance 754,473 696,804 (57,669)-7.64% Miscellaneous Expense 39,820 43,320 3,500 8.79% Operations 7,287,341 7,785,415 498,074 6.83% Cost of Service Transfers 6,531,546 8,442,354 1,910,808 29.26% Fixed Assets 904,007 1,121,087 217,080 24.01% Vehicle Replacement 2,575,000 1,870,000 (705,000)-27.38% Revenue Funded Capital 1,000,000 - (1,000,000)-100.00% Closure/Post Closure 752,631 752,631 - 0.00% Debt Service 4,817,837 5,404,904 587,067 12.19% Franchise Fees 1,876,755 2,140,829 264,074 14.07% Total Expenditures $41,370,834 $43,519,287 $2,148,453 5.19% 34 Page: 28 Core Values: Inclusion, Collaboration, Quality Service, Strategic Focus, Fiscal Responsibility FY 2024-25 Budget in Brief ELECTRIC FUND REVENUE The FY 2025 Denton Municipal Electric Fund Budget includes $392,485,775 in revenues, $393,997,690 in expenditures, and a use of reserves of $1,493,915. The Electric Utility is designed to provide customers with sustainable, reliable, and competitive electric services. This is accomplished through compliance with all federal and state regulations governing the creation, purchase, and distribution of energy to customers. This fund is also responsible for developing electric system capital improvements, coordination, and liaising with local, state, and federal regulatory authorities. The City of Denton provides energy services to residents from the Denton Energy Center, and manages the purchase and distribution of energy from the state. FY 2023-24 FY 2024-25 Variance % Change Adopted Adopted Base Rate Revenues $104,394,786 $124,913,472 $20,518,686 19.65% TCRF Revenue - 30,286,099 30,286,099 100.00% ECA Revenues 66,916,984 86,122,202 19,205,218 28.70% Non-rate Revenues 119,085,425 151,162,001 32,076,576 26.94% Use of Reserves 17,756,400 1,493,916 (16,262,484)-91.59% Total Resources $308,153,595 $393,977,690 $85,824,095 27.85% Rates: The FY 2025 budget contemplates the following rate assumptions. • An increased base rate change of 1.5% for residents and commercial customers in FY 2025. This is first base rate increase since FY 2018. The last base rate decreased in FY 2019. • The cost-of-service study results are pending final revisions. The results will be incorporated into future budgets. Personnel Changes: The positions in FY 2025 increased by one net positions. This change reflects nine new positions and eight existing positions moving to other funds. 4 positions are moving to the Customer Services Fund and 4 positions are moving to the General Fund. CITY OF DENTON FISCAL YEAR 2024-25 Electric 35 Page: 29Core Values: Inclusion, Collaboration, Quality Service, Strategic Focus, Fiscal Responsibility FY 2024-25 Budget in Brief ELECTRIC FUND EXPENDITURES FY 2023-24 FY 2024-25 Variance % Change Adopted Adopted Purchase Power $116,110,083 $181,498,875 $65,388,792 56.32% Transmission of Power 24,737,092 27,284,774 2,547,682 10.30% Personnel 26,090,466 27,343,676 1,253,210 4.80% O&M 23,969,028 24,592,404 623,376 2.60% Cost of Service Transfers 19,943,469 19,170,589 (772,880)-3.88% ROI & Franchise Fee 25,141,239 33,120,822 7,979,583 31.74% NON DEC Debt Service 47,185,218 49,860,621 2,675,403 5.67% DEC Debt 18,077,000 18,077,125 125 0.00% Revenue Funded Capital 6,900,000 2,064,079 (4,835,921)-70.09% 2024 Purchase Power Securitization -8,221,772 8,221,772 100.00% Supplementals -1,871,252 1,871,252 100.00% Baseline Adjustments -871,702 871,702 100.00% Total Expenditures $308,153,595 $393,977,690 $85,824,095 27.85% Return on Investment (ROI) and Franchise Fees: The ROI for the Electric Fund was increased from 3.50% to 6.00% in FY 2022 and will remain at 6.00% for FY 2025. Major Capital Improvement Projects: The Electric Fund CIP budget includes funding for the following major capital projects in FY 2025: • Debt: $74.97 million • Revenue: $450k Including the improvements discussed above, the FY 2025-29 five-year capital improvement program is $385.55 million. The program is necessary to meet the expected growth in demand for electric services, improve the reliability of the electric system, replace aging infrastructure, and comply with new regulatory requirements. 36 Page: 30 Core Values: Inclusion, Collaboration, Quality Service, Strategic Focus, Fiscal Responsibility FY 2024-25 Budget in Brief Grants play a vital role in enhancing the quality of life for our community by providing critical funding for programs and projects that directly benefit residents. These funds, sourced from federal, state, and local agencies, allow us to address pressing community needs without relying solely on city revenues. By leveraging grants, we are able to support initiatives that promote economic growth, strengthen public safety, improve infrastructure, and foster inclusivity across all neighborhoods. Grants are transformative tools that empower our city to drive meaningful change and growth. Recently, Denton Parks was awarded the NRPA’s Supporting Healthy Aging Through Parks and Recreation 4.0 (SHAPR 4.0) instructor training grant, a program that enhances recreational opportunities for our aging population. This grant not only provides vital resources for training but also reaffirms our commitment to inclusivity and the well-being of all residents. The City of Denton is also pursuing funding through the Transportation Alternatives (TA) Program with a resolution to submit an application for up to $10 million in grant support. This initiative focuses on enhancing pedestrian and bicycle infrastructure, promoting sustainable and safe transit options throughout the community. These grants exemplify how strategic funding partnerships can help us address current challenges while building a brighter, healthier future for our city. The impact of grants extends far beyond financial support. They enable innovation, collaboration, and strategic partnerships with local organizations, non-profits, and state and federal agencies. Through these partnerships, we can expand resources for vulnerable populations, create opportunities for growth, and build a more resilient community. Every grant secured represents an investment in the future of our city and underscores our commitment to strategic and fiscally responsible stewardship for the benefit of all citizens. The City Finance Department, through its Grants and Other Funding Sources Division, manages an active portfolio of over $105M in grant funding. This division works diligently to identify grant opportunities, manage grant applications and supports programs like the City’s application for loan funding from State and Federal sources. 37 Page: 31Core Values: Inclusion, Collaboration, Quality Service, Strategic Focus, Fiscal Responsibility FY 2024-25 Budget in Brief DESCRIPTION GRANT EXPIRATION Grant Available GRANT NAME YEAR DATE Amount Type Grant Award ʹͲͳͻǦʹͲ Ǧ ͻͻ͵ǡͳͺͺ ͸͹ǡͶͳ͸ ʹͲʹͲǦʹͳ Ǧ ͳǡͶͺͷǡͶͶͲ ͳͲǡͶͷ͵ ʹͲʹͳǦʹʹ Ǧ ͳǡͲ͵ͳǡͲ͵ʹ ͳͻͲǡͻͻ͸ ʹͲʹʹǦʹ͵ Ǧ ͻʹͷǡ͹ʹͷ ͳͲͲǡͲͲͲ ʹͲʹ͵ǦʹͶ Ǧ ͻ͸Ͷǡͷ͵ͳ Ͷͷ͹ǡͶͺ͹ ʹͲʹͶǦʹͷ Ǧ ͳǡͲͳͷǡͲͶ͹ ͳǡͲͳͷǡͲͶ͹Ǧ ͸ǡͶͳͶǡͻ͸͵̈́ͳǡͺͶͳǡ͵ͻͻ̈́ ʹͲʹͲǦʹͳ ͻȀͳȀʹͲʹͺ ͷͲͷǡ͵ͷͷ ͳʹͲǡ͸͵Ͷ ʹͲʹͳǦʹʹ ͻȀͳȀʹͲʹͻ Ͷͺ͹ǡͲ͹͸ ͳ͵ǡͶ͹ͺ ʹͲʹʹǦʹ͵ ͻȀͳȀʹͲ͵Ͳ ͷͲ͵ǡ͹ͻ͹ ʹ͸Ͳǡͺͳͷ ʹͲʹ͵ǦʹͶ ͻȀͳȀʹͲ͵ͳ ͷͳ͵ǡ͵ʹ͹ ͷͲͳǡ͸ʹ͹ ʹͲʹͶǦʹͷ ͻȀͳȀ͵Ͳ͵ʹ Ͷ͹ͳǡͻͻʹ Ͷ͹ͳǡͻͻʹǦȋȌʹͲʹͳ ʹͲʹͳǦʹʹ ͻȀ͵ͲȀʹͲ͵Ͳ ͳǡ͹͸͵ǡ͸ʹʹ ͳǡͷ͸Ͷǡͻ͸ͳǦͶǡʹͶͷǡͳ͸ͻ̈́ʹǡͻ͵͵ǡͷͲ͹̈́ TOTAL COMMUNITY DEVELOPMENT 10,660,132$ 4,774,906$ ʹͲʹ͵ʹͲʹ͵Ǧʹͷ ͻȀ͵ͲȀʹͲʹͷ ͶǡʹͲͲ ͶǡʹͲͲ ʹͲʹ͵ ʹͲʹʹǦʹ͵ ͻȀ͵ͲȀʹͲʹ͸ ͹ͳǡ͸ͳͷ ͹ͲǡͲͻͺ ʹͲʹʹ ʹͲʹͳǦʹͷ ͻȀ͵ͲȀʹͲʹͷ ͷ͵ǡͻͻͻ ͷ͵ǡͻͻͻ ʹͲʹͳ ʹͲʹͳǦʹͷ ͻȀ͵ͲȀʹͲʹͷ ͵͹͸ǡ͹ͺʹ ʹͺͺǡ͸Ͷ͹ ʹͲʹ͵Ǧʹͷ ͺȀͳ͵ȀʹͲʹͷ ͵Ͳǡͳ͵͸ ͵Ͳǡͳ͵͸ʹͲʹͲ Ƭȋ Ȍ ʹͲʹʹǦʹͷ ʹȀͳ͹ȀʹͲʹͷ ͻͺͻǡͳ͵͸ ͵ͲͻǡͶͶͶʹͲʹͳ Ƭȋ Ȍ ʹͲʹ͵Ǧʹ͸ ͷȀ͵ͳȀʹͲʹ͸ ͵ǡ͹͵ͳǡͺͻʹ ʹǡ͹ʹ͸ǡ͹͹ͶʹͲʹʹ Ƭȋ Ȍ ʹͲʹ͵Ǧʹ͸ ͷȀ͵ͳȀʹͲʹ͸ ʹǡͳ͹ͺǡͲͲͲ ʹǡͲͷʹǡͺͺͶƬȋȌ ʹͲʹͶǦʹͷ ͻȀ͵ͲȀʹͲʹͷ ͶͲͲǡͲͲͲ ȀͶͲͲǡͲͲͲ ǦʹͲʹͶǦʹͷ ͻȀ͵ͲȀʹͲʹͷ ʹͲͲǡͲͲͲ ʹͲͲǡͲͲͲ TOTAL PUBLIC SAFETY 8,035,760$ 6,136,182$ ʹͲʹͶǦʹͷ ͺȀ͵ͳȀʹͲʹͷ ͳͲͲǡͲͲͲͳͲͲǡͲͲͲ͵ͷ͵ͺͲ ʹͲͳͺ ͸ʹǡ͵ͺͺǡͶͷʹ͵ǡͲ͸͹ǡʹ͵ͳ͵ͷʹ ʹͲʹʹ ͶǡͲͲͲǡͲͲͲǦ͵ͷ͵͹͹ ʹͲͳͺ Ͷ͸ǡͳͷͳǡ͵ͷͳͻǡͷͳ͹ǡͷͺͳʹͲͳ͸ ͳȀͷȀʹͲʹ͹ ͳͺǡʹ͸͹ǡ͵Ͳ͵ͳǡͲʹͲǡͺͺͺ ʹͳͺͳǦ ʹͶͻͻ ʹͲͳͷ ͳȀʹ͸ȀʹͲʹ͸ ʹǡͶͲͲǡͲͲͲ͸͹ͷǡͻͻʹ ͳͺ͵ͲʹͲʹʹ ͳͲǡͲͲͲǡͲͲͲ͵ǡͷ͵͸ǡͲͶ͸ʹͲͳͷ ʹǡͲͲͲǡͲͲͲ͹͵ͳǡ͵͹ͺǦƬʹͲͳ͹ ͹͸ʹǡͷͲͺ͸͵ͷǡͻͶͺǦʹͲͳͺ Ͷ͵ͺǡͺʹͲ͵͸͵ǡ͵ͲͲǦ ƬʹͲͳͺ ͹͸ʹǡ͵ͳͳ͸ͷ͵ǡͻͳͳ ʹͲʹͳǦʹͷ ͸Ȁ͸ȀʹͲʹͷ ͵Ͷǡͳ͸ʹ ͵Ͷǡͳ͸ʹʹͲʹͶǦʹͷ ͳʹȀ͵ͳȀʹͲʹͷ ͷ͹͸ǡͲͲͲ ͷ͹͸ǡͲͲͲʹͲʹ͵Ǧʹ͸ ͳͲǡͻ͹ͳǡͻͲͶͳͲǡͻ͹ͳǡͻͲͶ ʹͲʹͶǦʹͷ ͹Ͳͻǡ͹ͺͲ ͹Ͳͻǡ͹ͺͲ TOTAL TRANSPORTATION 159,562,591$ 32,594,121$ ȋȌ ʹͲʹͶǦʹͷ ͹Ȁ͵ͳȀʹͲʹͷ ͵ͷǡͲͲͲ͵ͷǡͲͲͲ ʹͲʹͳǦʹ͸ ͺȀ͵ͲȀʹͲʹ͸ ʹͻͲǡͲͲͲʹͻͲǡͲͲͲ Ǧ ʹͶͻͻ ʹͲʹͳ ͹͹͵ǡ͸͸͸ͳͷͻǡͶ͸ʹ Ǧ͵͹͹ ʹͲʹʹ ͶʹͲǡͲͲͲͶʹͲǡͲͲͲ ʹͲʹʹǦʹͲʹ͵Ǧʹ͹ ͵Ȁ͵ͳȀʹͲʹ͹ ͸ʹͳǡͷ͸ʹ͸ʹͳǡͷ͸ʹ ʹͲʹ͵Ǧ ʹͲʹͶǦʹͺ ͷͻͺǡͷ͵ʹͷͻͺǡͷ͵ʹ ʹͲʹͶǦʹͲʹͶǦʹͺ ͹ͷͲǡͲͲͲ͹ͷͲǡͲͲͲʹͲʹͶǦʹ͹ ͸Ȁ͵ͲȀʹͲʹ͹ ͻ͹ǡͷͲͲ ͻ͹ǡͷͲͲ ʹͲʹͶǦʹͷ ͷȀ͵ͳȀʹͲʹͷ ʹͲǡͲͲͲ ʹͲǡͲͲͲȋȌʹͲʹͳ ʹͲʹͳǦʹ͸ ͳʹȀ͵ͳȀʹͲʹ͸ ʹ͵ǡʹͻͲǡͶ͵ͺ ͸ǡ͸ͶͶǡ͸Ͷͷ ʹͲʹͶǦʹͷ ͸Ȁ͵ͲȀʹͲʹͷ ͹Ͷǡ͹Ͷʹ͹Ͷǡ͹ͶʹʹͲʹͶǦʹͷ ͳȀ͵ͳȀʹͲʹͷ ʹͶǡͲͲͲ ʹͶǡͲͲͲ ʹͲʹͶǦʹͷ ͷͳǡͻͳʹǡͻͺ͸ Ȁ ͷͳǡͻͳʹǡͻͺ͸ TOTAL OTHER 78,908,426$ 61,648,429$ GRAND TOTAL 257,166,909$ 105,153,638$ Ǧ ͻ͹ǡ͸ͲͶǡ͵ͳͺ͹ʹǡͷͷͻǡͷͳ͹ ͳͷͻǡͷ͸ʹǡͷͻͳ͵ʹǡͷͻͶǡͳʹͳ Grant Total 257,166,909$ 105,153,638$ ǡǤ ǤǤ GRANTS BUDGET EXPENDITURE SUMMARY 2025 38 Page: 32 Core Values: Inclusion, Collaboration, Quality Service, Strategic Focus, Fiscal Responsibility FY 2024-25 Budget in Brief DEFINITIONS: CDBG: Community Development Block Grant – A federal program administered by the U.S. Department of Housing and Urban Development (HUD) that provides funding to the City of Denton for projects aimed at improving community infrastructure, expanding affordable housing, supporting economic development, and enhancing public services to benefit low- and moderate-income residents. Certificates of Obligation (COs): Bonds issued by the City for infrastructure projects without requiring voter approval but restricted to specific uses. CIP: Capital Improvement Program - A long-term plan that outlines funding for major infrastructure projects, including streets, facilities, water and wastewater systems, and other capital assets. COLA: Cost of Living Adjustment - An adjustment to employee salaries or benefits to account for inflation and rising living costs. DEC Debt: Debt incurred to finance the construction and operation of the Denton Energy Center, a natural gas- fired power plant. DME: Denton Municipal Electric - The City of Denton’s municipally owned electric utility, responsible for providing electricity to residents and businesses. ECA Revenues: Revenues from the Energy Cost Adjustment, a mechanism that adjusts utility bills based on fluctuations in wholesale energy costs. ERCOT Market: The Electric Reliability Council of Texas, which manages the electric grid and wholesale electricity market for much of Texas, including Denton. FY 2025/26 and Future Assumptions: Assumes a reduced Maintenance and Operations (M&O) tax rate to balance increases in Appraised Value (AV) of properties. General Obligation Bonds (GOs):  Voter-approved bonds issued by the City to fund infrastructure projects such as roads and public facilities. Government Finance Officers Association (GFOA): A professional association representing public finance officials throughout the United States and Canada. GFOA promotes best practices in budgeting, financial management, and transparency in government. NON-DEC Debt Service: Debt service payments not related to the Denton Energy Center (DEC). NRPA: National Recreation and Park Association - A national organization that sets standards and provides support for parks and recreation services, often referenced in Denton’s park-related initiatives. Revenue Bonds: Bonds issued for utility-related projects (e.g., water, wastewater, or electric services) and repaid through utility revenues. TCRF Revenues: Revenues from the Transmission Cost Recovery Factor, which allows DME to recover the cost of building and maintaining transmission infrastructure. TIRZs: Tax Increment Reinvestment Zones – Designated areas where property tax revenue growth funds infrastructure and redevelopment projects. 39 This report was prepared and presented by the City of Denton, Texas Finance Department. Copies of the City’s Annual Operating Budget and Annual Comprehensive Financial Report may be found on the City’s website at www.cityofdenton.com 40 January 24, 2025 Report No. 2025-025 INFORMAL STAFF REPORT TO MAYOR AND CITY COUNCIL SUBJECT: Provide a response to a Two-Minute Pitch request for remote commissioner participation at Planning and Zoning Commission meetings. BACKGROUND: Denton Television (DTV), a division of the Marketing and Communications Department, has five full-time staff members responsible for development, production, and distribution of multi-media programming to meet the goals and objectives of the City’s strategic and communications plans. DTV oversees all televised board and commission meetings, either through in-house staff or a third-party contractor. In addition to meeting production, DTV manages a YouTube channel and provides video content for the City’s social media platforms. The City of Denton televises 11 board and commission meetings, including the City Council. Four are produced by DTV staff and seven are produced by the City’s third-party contractor, Swagit. Remote meeting participation is not available through Swagit. Currently, remote meeting participation is limited to City Council meetings exclusively. DISCUSSION: To maintain consistency and avoid setting a broader precedent, the City has limited remote participation to City Council meetings. Although Zoom is a standard communication tool, integrating it with the City’s existing production infrastructure—which includes 12 live microphones and a multi-camera setup—presents technical challenges. Key production elements, such as audio quality, camera angles, and in-room screen visuals, are critical and require careful coordination. During meetings, DTV staff monitor the live signal across the City’s website and three cable providers to ensure reliability. The most intricate challenge of incorporating remote participation is maintaining high-quality audio. The City utilizes an Audio over Ethernet (AoE) routing matrix to manage live microphones in the Council Work Session Room and Council Chamber. While AoE provides high-quality audio transmission over a single Ethernet cable, integrating it with Zoom requires significant technical effort to ensure balanced sound levels in the meeting room and on the broadcast. Adding remote participation necessitates a thorough pre-meeting process, including rebooting and testing microphones, audio processors, and digital interfaces. This additional complexity will increase preparation time and demand greater staff effort to ensure seamless communication. 41 January 24, 2025 Report No. 2025-025 DTV staff are committed to producing high-quality public meetings. While the operating budget may experience a slight increase, the significant impact will be on staff capacity and production timelines. With the hiring of a Chief Communications Officer, the DTV team has recalibrated community expectations for increased video content. If remote integration is implemented here, it will inevitably affect other video production projects and social media content. Though the extent of this impact is difficult to quantify, it remains a key consideration. The Texas Open Meetings Act allows for remote participation, enabling members to engage in discussions and vote on agenda items. However, it is important to note that members participating remotely do not count toward the quorum required to convene a meeting. For Planning and Zoning Commission meetings, a quorum of four is required to attend in person, and with only five members currently serving on the Commission, only one member can participate remotely at any given time. To ensure fairness and balance, the City must carefully manage remote participation. While all commissioners may request remote participation, it is essential to exercise this privilege equitably. CONCLUSION: Providing remote participation for Planning and Zoning Commissioners may be possible with existing staff but will shift DTV’s focus away from other video production projects. Balancing these competing priorities requires careful consideration of the broader impact on the City’s mission and goals. To ensure a sustainable approach, staff recommends that, if the Council chooses to pursue this option, a formal policy be developed to address the associated challenges and provide clear guidelines moving forward. NEXT STEPS: If this proceeds to the Agenda Committee and direction is provided on a path forward, staff will prepare a follow up work session. STAFF CONTACT: Billy Matthews DTV Manager Billy.Matthews@cityofdenton.com (940) 249-7272 REQUESTOR: Council Member Meltzer STAFF TIME TO COMPLETE REPORT: 5 hours 42 January 24, 2025 Report No. 2025-025 PARTICIPATING DEPARTMENTS: Marketing and Communications 43 Date: January 24, 2025 Report No. 2025-026 INFORMAL STAFF REPORT TO MAYOR AND CITY COUNCIL SUBJECT: May 3, 2025 General Election and Special Election Polling Locations specific to the University of North Texas (“UNT”) and Texas Women’s University (“TWU”). BACKGROUND: On Friday January 10, 2025, an ISR was provided to City Council detailing proposed polling locations for the General Election to be held on Saturday May 3, 2025 to elect members to City Council Districts 1, 2, 3, and 4. In the ISR, it was requested that Council provide additional requested locations so staff could take necessary steps to confirm availability in advance of the January 14, 2025 City Council meeting. No such requests were provided to staff. City Council then considered an ordinance ordering the General Election at the January 14, 2025 Council meeting. At the time of the presentation, Council voted to postpone the item to February 4, 2025 with a direction that staff inquire about availability of an Early Voting polling location on the UNT campus, specifically at the Denton Wesley Foundation. Staff contacted Reverend Marianne Brown-Trigg of the Denton Wesley Foundation regarding the availability of the facility for Early Voting and Election Day voting. Reverend Brown-Trigg advised staff that the facility is available for use at a cost of $125.00 per day for the eight (8) days of early voting and that it is available for Election Day at no charge. Thus, the cost to rent this location amounts to $1,000.00. The Denton County Elections Administration costs are in addition to this rental fee. Staff contacted Denton ISD and Denton County Elections to advise of this polling location request. DISD responded advising that they are reviewing this polling place but has not committed to share in the expense of renting and operating this polling location as of the time of this ISR. Denton County Elections expressed concerns about parking at this location as voters not associated with the UNT campus reside in the precincts that will likely be assigned to this polling location. Staff has reached out to UNT to inquire what, if any, accommodations can be made to ensure all voters have access to the polling locations without concern for parking violations. This communication is ongoing. Staff received confirmation from TWU that a portion of the Student Union at Hubbard Hall has been reserved for Early Voting polling purposes. The polling location is under review for viability by the Denton County Elections Administration. The actual number and place of polling locations used during the election will vary depending on the number of jurisdictions contracting with Denton County Elections Department. Denton County will make all final determinations regarding polling locations and assign precincts to specific locations which may result in districts sharing a polling location in some instances. These proposed polling locations, as well as the polling locations presented in the January 10, 2025 ISR, will be presented for approval by City Council at the February 4, 2025 City Council meeting. The deadline to call the May 3, 2025 General Election is February 14, 2025, as such the February 44 Date: January 24, 2025 Report No. 2025-026 4, 2025 Council meeting is the last regularly rescheduled meeting at which the General Election can timely be called. Please provide any and all questions or requests for additional locations in advance so staff can properly prepare responses and engage in any necessary communication with any other potential polling locations in advance of the February 4, 2025, City Council meeting. STAFF CONTACT: Lauren Thoden, City Secretary (940) 349-8309 lauren.thoden@cityofdenton.com 45 46 Friday Report - Council RequestsSummary of RequestCouncil Member Requestor Date Received Staff AssignedDepartmentCommentsStatus1Mental Health / Law EnforcementResponse to HomelessnessCouncil Member Byrd01/22/25CMOStaff is gatheringinformation.2Construction Hours in ExistingNeighborhoodCouncil Member Holland01/19/25Scott McDonaldDevelopment ServicesStaff is investigating.3Damaged Irrigation PipeCouncil Member Holland01/13/25Sara BonehillRisk ManagementReferred to staff.4Request for Road Safety Audit forUniversity Drive and Malone StreetCouncil Member Beck CouncilMember Byrd Mayor HudspethCouncil Member McGee CouncilMember Holland Mayor Pro TemMeltzer Council Member Jester01/02/25Farhan ButtPublic Works-TrafficStaff anticipate the reportwill be complete by 2/21.5Status of Robinwood ReconstructionProjectsCouncil Member Beck01/22/25Trevor CrainCapital Projects/Engineering/Public Works Staff researched allroadway and utilityimprovements in the area.Current project willconclude in June 2025and end all improvementwork in the area. CMupdated.6Status of Duncan Street Lane Closure Mayor Hudspeth01/21/25Scott McDonaldDevelopment ServicesStaff updated the Mayoron the cause for the delayin the lane closurereopening.7Pothole repair 500 block of Elm Street Council Member Beck01/21/25Daniel KremerPublic Works -StreetsStaff updated propertymanagement and CM.Staff will schedule both thetemporary repairs andpermanent repairs.8Protected Trees at Roselawn Drive andRoselawn Circle01/19/25Michael GangeEnvironmental ServicesStaff investigated andfound no violations. Staffupdated the resident.9Broken PavementCouncil Member Holland01/18/25Daniel KremerPublic Works -StreetsStaff visited the site andpatched it, added it to theschedule for permanentrepair.10Deerwood / KingswayCouncil Member Beck01/18/25Scott McDonaldDevelopment ServicesStaff communicated withall contractors and willmonitor the site andupdate the CM.11Pothole Hobson LaneCouncil Member Holland01/18/25Daniel KremerPublic Works -StreetsStaff patched the potholeand updated the CM.12Shingle DumpCouncil Member McGee01/14/25Scott McDonaldDevelopment ServicesStaff visited the site andhas concluded that theshingles are on a portionof the property outside ofthe City limits. Staff willcoordinate with otherjurisdictions and continueto monitor.13Transformer relocation and night timevisibility improvement.Mayor Hudspeth01/14/25Antonio PuenteDMEStaff updated the Mayor.Additional research intocosts analysis. ISRprovided.14Crossing Guard at MaloneMayor Hudspeth01/13/25jessica.robledo@cityofdenton.com, Tony SalasPoliceStaff investigated andupdated the Mayor onprocess to address short-staffing.15Day Laborer RoofMayor Hudspeth01/02/25Gary Packan, TomGramerFacilities/Fleet ParksContractor donated laborand materials. Parkscoordinating to schedulerepairs.Page 1 of 1Exported on January 24, 2025 9:11:42 AM PST47 Meeting Calendar City of Denton City Hall 215 E. McKinney St. Denton, Texas 76201 www.cityofdenton.com Criteria : Begin Date: 1/27/2025, End Date: 4/30/2025 Date Time Meeting LocationMeeting Body January 2025 1/27/2025 9:00 AM Public Utilities Board Council Work Session Room 1/27/2025 3:00 PM Development Code Review Committee Development Services Center 1/27/2025 5:30 PM Zoning Board of Adjustment Development Service Center 1/29/2025 10:00 AM Mobility Committee Council Work Session Room 1/29/2025 5:00 PM Planning and Zoning Commission Council Work Session Room & Council Chambers February 2025 2/3/2025 6:00 PM Parks, Recreation and Beautification Board Civic Center Community Room 2/4/2025 2:00 PM City Council Council Work Session Room & Council Chambers 2/6/2025 8:00 AM Agenda Committee Council Work Session Room 2/6/2025 8:30 AM Downtown Economic Development Committee Development Service Center 2/6/2025 4:00 PM Public Art Committee Civic Center Community Room 2/10/2025 9:00 AM Public Utilities Board Council Work Session Room 2/10/2025 3:00 PM Development Code Review Committee Development Services Center 2/10/2025 5:30 PM Board of Ethics Council Work Session Room 2/10/2025 5:30 PM Historic Landmark Commission Development Service Center 2/10/2025 5:30 PM Library Board Emily Fowler Central Library 2/12/2025 11:00 AM Economic Development Partnership Board Development Service Center 2/12/2025 3:00 PM Airport Advisory Board Airport Terminal Meeting Room 2/12/2025 5:00 PM Planning and Zoning Commission Council Work Session Room & Council Chambers 2/13/2025 3:00 PM Health & Building Standards Commission Development Service Center Page 1City of Denton Printed on 1/23/202548 Date Time Meeting LocationMeeting Body Meeting Calendar continued... 2/18/2025 2:00 PM City Council Council Work Session Room & Council Chambers 2/21/2025 9:00 AM Community Partnership Committee Council Work Session Room 2/24/2025 9:00 AM Public Utilities Board Council Work Session Room 2/24/2025 3:00 PM Development Code Review Committee Development Services Center 2/24/2025 5:30 PM Zoning Board of Adjustment Development Service Center 2/26/2025 10:00 AM Mobility Committee Council Work Session Room 2/26/2025 5:00 PM Planning and Zoning Commission Council Work Session Room & Council Chambers March 2025 3/3/2025 5:30 PM Historic Landmark Commission Development Service Center 3/3/2025 6:00 PM Parks, Recreation and Beautification Board Civic Center Community Room 3/4/2025 2:00 PM City Council Council Work Session Room & Council Chambers 3/6/2025 8:00 AM Agenda Committee Council Work Session Room 3/10/2025 9:00 AM Public Utilities Board Council Work Session Room 3/10/2025 3:00 PM Development Code Review Committee Development Services Center 3/10/2025 5:30 PM Board of Ethics Council Work Session Room 3/10/2025 5:30 PM Library Board North Branch Library 3/12/2025 11:00 AM Economic Development Partnership Board Development Service Center Training Rooms 3/12/2025 3:00 PM Airport Advisory Board Airport Terminal Meeting Room 3/13/2025 3:00 PM Health & Building Standards Commission Development Service Center 3/19/2025 5:00 PM Planning and Zoning Commission Council Work Session Room & Council Chambers 3/24/2025 9:00 AM Public Utilities Board Council Work Session Room 3/24/2025 3:00 PM Development Code Review Committee Development Services Center 3/24/2025 5:30 PM Zoning Board of Adjustment Development Service Center 3/25/2025 2:00 PM City Council Council Work Session Room & Council Chambers 3/26/2025 10:00 AM Mobility Committee Council Work Session Room Page 2City of Denton Printed on 1/23/2025 49 Date Time Meeting LocationMeeting Body Meeting Calendar continued... 3/26/2025 12:00 PM Tax Increment Reinvestment Zone Number One Board Development Service Center April 2025 4/1/2025 11:00 AM City Council Council Work Session Room & Council Chambers 4/1/2025 2:00 PM City Council Council Work Session Room & Council Chambers 4/3/2025 8:00 AM Agenda Committee Council Work Session Room 4/3/2025 8:30 AM Downtown Economic Development Committee Development Service Center 4/3/2025 4:00 PM Public Art Committee Civic Center Community Room 4/7/2025 6:00 PM Parks, Recreation and Beautification Board Civic Center Community Room 4/9/2025 11:00 AM Economic Development Partnership Board Development Service Center 4/9/2025 3:00 PM Airport Advisory Board Airport Terminal Meeting Room 4/9/2025 5:00 PM Planning and Zoning Commission Council Work Session Room & Council Chambers 4/10/2025 3:00 PM Health & Building Standards Commission Development Service Center 4/14/2025 9:00 AM Public Utilities Board Council Work Session Room 4/14/2025 3:00 PM Development Code Review Committee Development Services Center 4/14/2025 5:30 PM Board of Ethics Council Work Session Room 4/14/2025 5:30 PM Historic Landmark Commission Development Service Center 4/14/2025 5:30 PM Library Board South Branch Library 4/15/2025 2:00 PM City Council Council Work Session Room & Council Chambers 4/23/2025 5:00 PM Planning and Zoning Commission Council Work Session Room & Council Chambers 4/28/2025 9:00 AM Public Utilities Board Council Work Session Room 4/28/2025 3:00 PM Development Code Review Committee Development Services Center 4/28/2025 5:30 PM Zoning Board of Adjustment Development Service Center 4/30/2025 10:00 AM Mobility Committee Council Work Session Room Page 3City of Denton Printed on 1/23/202550 Date Time Meeting LocationMeeting Body Meeting Calendar continued... Page 4City of Denton Printed on 1/23/202551 Meeting Date Item Legistar ID Departments Involved Type Dry Run Date Estimated Time A. Ambassador Program Update 24-2478 Community Services City Business 1/28/2025 0:30 B. End of Year Report 24-2663 City Manager's Office City Business 1/7/2025 0:30 C. Use of Evers Property 24-2544 Parks and Rec City Business 1/21/2025 0:30 D. Two Minute Pitch:25-019 City Manager's Office Council Request 0:30 Closed Meeting Item(s): Legal (if any)City Business 0:30 Total Est. Time: 2:30 Other Major Items for Meeting: A. Halloween Update 25-083 Parks and Rec City Business 1/28/2025 0:30 B. Financial Policy Discussion 25-241 Finance City Business 1:00 C. Two Minute Pitch:25-020 City Manager's Office Council Request 0:30 Closed Meeting Item(s): Council Appointed Mid-Year Perfomance Reviews: City Auditor and Municipal Judge Legal (if any)City Business 2:00 Total Est. Time: 4:00 Other Major Items for Meeting: A. Ethics Proposed Amendments TBD Internal Audit City Business 2/18/2025 TBD B. State Legislative Session Update TBD City Manager's Office City Business 0:30 C. Two Minute Pitch:25-021 City Manager's Office Council Request 0:30 Closed Meeting Item(s): Council Appointed Position Mid-Year Performance Reviews: City Manager and City Attorney; Discussion with the Assistant City Managers Legal (if any)City Business 2:30 Total Est. Time: 3:30 Other Major Items for Meeting: A. Community Shelter Update TBD City Manager's Office City Business TBD B. Water & Wastewater Resource Planning TBD Water/City Manager's Office City Business 1:00 C. Overview and Updates - Solid Waste and Recycling Department 24-2603 Solid Waste City Business 0:45 D. Annual Comprehensive Financial Report TBD City Manager's Office City Business 3/18/2025 0:30 E. Two Minute Pitch:25-022 City Manager's Office Council Request 0:30 Closed Meeting Item(s): Legal (if any)City Business 0:30 Total Est. Time: 3:15 Other Major Items for Meeting: Closed Meeting Item(s): Legal (if any)City Business 0:30 Total Est. Time: 0:30 Other Major Items for Meeting: A. Denton Police Department Annual Update and 2024 Annual Report 25-151 Police Department City Business 0:45 B. Homelessness Initiative Update Part 2 24-2043 City Manager's Office City Business 12/17/2024 1:00 C. Two Minute Pitch:25-023 City Manager's Office Council Request 0:30 Closed Meeting Item(s): Legal (if any)City Business 0:30 Total Est. Time: 2:45 Other Major Items for Meeting: A. Two Minute Pitch:25-024 City Manager's Office Council Request 0:30 Closed Meeting Item(s): Legal (if any)City Business 0:30 Total Est. Time: 1:00 Other Major Items for Meeting: A. Two Minute Pitch:25-025 City Manager's Office Council Request 0:30 Closed Meeting Item(s): Legal (if any)City Business 0:30 Total Est. Time: 1:00 Other Major Items for Meeting: Closed Meeting Item(s): Legal (if any)City Business 0:30 Total Est. Time: 0:30 Other Major Items for Meeting: A. Two Minute Pitch:25-026 City Manager's Office Council Request 0:30 Closed Meeting Item(s): Legal (if any)City Business 0:30 Total Est. Time: 1:00 Other Major Items for Meeting: Audit of Park Management & Planning (30 min.)24-255 Internal Audit City Business TBD Denton Renewable Resource Plan 24-1910 Denton Municipal Electric City Business TBD Leak Adjustment Ordinance 24-1632 Water Utilities City Business TBD Item Dates Departments Type Estimated Work Item Date Approved Department Next Step Requestor Vote Centers 10/17/2023 City Secretary's Office Agenda Committee CM McGee Election Day Holiday 6/18/2024 Human Resources Budget Process CM McGee Board of Ethics develop guidance for interactions with external partners 6/18/2024 Internal Audit Work Session CM Beck Campaign Finance 9/17/2024 Internal Audit Budget Process CM McGee Amending master plans to renovate Civic Center Pool 10/15/2024 Parks & Recreation Informal Staff Report CM Beck Increasing tree canopy 10/15/2024 Parks & Recreation Informal Staff Report CM McGee Changes to the building code to make new homes EV and solar ready 11/19/2024 Development Services Informal Staff Report CM McGee Catalyst Fund 11/19/2024 Economic Development Agenda Committee CM Jester Rooftop and wall gardens and solar panels on City buildings 12/3/2024 Facilities Management Informal Staff Report CM Beck May 6 Work Session (@2:00 p.m.) Regular Called Meeting (@6:30 p.m.) May 13 Special Called Meeting - Canvassing (@12:00 p.m.) May 20 Work Session (@2:00 p.m.) Regular Called Meeting (@6:30 p.m.) March 25 Work Session (@2:00 p.m.) Special Called Meeting (Upon conclusion of the Work Session) Work Session To Be Determined Tentative Work Session Topics and Meeting Information Updated: January 24, 2025 Council Priorities and Significant Work Plan Items to be Scheduled April 1 Joint Meeting with Denton ISD (@11:00 a.m.) April 1 Work Session (@2:00 p.m.) Regular Called Meeting (@6:30 p.m.) February 18 Work Session (@3:00 p.m.) Regular Called Meeting (@6:30 p.m.) Approved Council Pitches to be Scheduled February 4 Work Session (@2:00 p.m.) Regular Called Meeting (@6:30 p.m.) March 4 Work Session (@2:00 p.m.) Regular Called Meeting (@6:30 p.m.) April 15 Work Session (@2:00 p.m.) Regular Called Meeting (@6:30 p.m.) *This is for planning purposes only. Dates are subject to change.52 1 Street Closure Report: Upcoming ClosuresSCR Jan 27 - Feb 2Street/ IntersectionFromToClosure StartDateClosure EndDateDescriptionDepartmentDepartment Contact Closure Type1Emery St.Alice St.Dead End (West of Fulton)02/03/25 07/01/25 Utility installations and pavement replacement. EngineeringScott FettigFull Closure2Fulton St.Cordell St.Emery St.02/03/25 07/01/25 Utility installations and pavement replacement. EngineeringScott FettigFull Closure3Precision DrAirport RdUNT Library Annex04/01/25 07/31/25 ReconstructionEngineering OtherGio PineiroFull Closure4Welch St.ChestnutMulberry02/03/25 07/01/25 Utility installations and pavement replacement. EngineeringScott FettigFull ClosurePage 1 of 1Exported on January 24, 2025 10:38:09 AM PST53 2 Street Closure Report: Current ClosuresStreet/ IntersectionFromToClosure StartDateClosure EndDateDescriptionDepartmentDepartment Contact Closure Type1Aileen StPanhandle StBroadway St09/27/24 02/28/25 Utility installations andpavement replacement.EngineeringScott FettigFull Closure2Audra LnStockton StMockingbird Ln07/29/24 02/06/25 Connection new storm drainageto existing City of Dentondrainage.Private DevelopmentZabdiel MotaLane Closure3Ave ACollins StEagle Dr10/08/24 01/31/25 Utility installations andpavement replacement.EngineeringScott FettigFull Closure4Ave BFannin StMargie St11/22/24 01/31/25 Pavement replacement EngineeringScott FettigFull Closure5Ave CEagle DrHighland St08/26/24 01/31/25 Pavement replacement. EngineeringScott FettigFull Closure6Bernard StLindsey StFannin St08/26/24 04/30/25 Utility installations andpavement replacement.EngineeringScott FettigRolling Closure7Bonnie Brae StBirch Grove BendVintage Blvd01/24/25 02/21/25 pavement removal andinfrastructure installationPublic Works Inspections Kirk WinterLane Closure8Bonnie Brae StFM1515Walt Parker Dr01/06/25 06/30/25 Utility installations andpavement replacement.EngineeringScott FettigFull Closure9Clover LnRobinwood LnGlenwood Ln11/12/24 05/18/25 Full Road Reconstruction EngineeringSheldon GatewoodFull Closure10Collins StAve ABernard St08/26/24 02/28/25 Utility installations andpavement replacement.EngineeringScott FettigFull Closure11Crescent St.Carroll BlvdBolivar St.01/24/25 07/01/25 Utility installations andpavement replacement.EngineeringScott FettigFull Closure12Desert Willow DrSilktree Ct@ intersection01/13/25 02/21/25 Sidewalk and ADA Repair StreetsRoy San MiguelLane Closure13Dunes StDunes Ct@Intersection01/27/25 01/31/25 Removing asphalt and placingvalley gutter in the easternportion of the intersection onDunes StEngineeringTaylor HoltFull Closure14Eagle DrBeatty StCentral Ave11/25/24 01/31/25 Utility installations andpavement replacement.EngineeringScott FettigRolling Closure15Emerald Trace DrShagbank DrRidgehurst Ln01/24/25 02/21/25 pavement removal andinfrastructure installationPublic Works Inspections Kirk WinterFull Closure16Evening Wind RdBishop Pine RdDessert Willow01/13/25 03/14/25 Concrete Panels and SideWalkRepairStreetsRoy San MiguelLane Closure17Fannin StAve AAve B12/09/24 01/31/25 Storm Drain being installed Public Works Inspections Collin ColeLane Closure18Hickory Creek RdRiverpass DrFM 183003/13/23 12/31/25 Bridge InstallationEngineeringTracy BeckFull Closure19Hidden Path Ln (7808)White Dove LnMontecito Dr01/27/25 03/07/25 Concrete Panel and SidewalkRepairStreetsRoy San MiguelLane Closure20Hillcrest StPanhandle StCrescent St12/27/23 01/31/25 Utility installations andpavement replacement.EngineeringScott FettigFull Closure21Houston PlThomas StBradley St09/27/24 01/31/25 Utility installations andpavement replacement.EngineeringScott FettigFull Closure22Kenwood StWilderness StFox Hollow11/18/24 03/28/25 Reconstruction of the road curband gutter mill subgradestabilizationStreetsJesus RodriguezFull Closure23Margie StAve AAve B11/01/24 01/31/25 Utility installations andpavement replacement.EngineeringScott FettigFull Closure24Marietta StOak St WScripture St09/27/24 01/31/25 Utility installations andpavement replacement.EngineeringScott FettigFull Closure25Mockingbird LnHoward CtLance Ln01/06/25 02/07/25 Sidewalk and ADA repair StreetsRoy San MiguelLane Closure26Morse StLoop 288Mayhill Rd12/02/24 06/27/25 Water Line Replacement andRoad ReconstructionPublic Works InspectionsStreets WaterKristine StewartLane Closure27Mulberry StWelch StBernard St11/29/24 03/31/25 Utility installations andpavement replacement.EngineeringScott FettigFull Closure28Nautical LnHickory Creek RdOcean Dr01/02/25 02/28/25 Water and Storm line tie ins Private DevelopmentGavin PetnerLane Closure29Ocean DrAtlantic DrNautical Ln01/02/25 02/28/25 Sanitary Sewer installPrivate DevelopmentGavin PetnerFull Closure30Panhandle StEctor StAileen St09/27/24 01/31/25 Utility installations andpavement replacement.EngineeringScott FettigFull Closure31Pickwick LnOxford Lane@Intersection01/27/25 01/31/25 Removing asphalt and placingvalley gutter in the easternportion of the intersection onPickwick Ln.EngineeringTaylor HoltFull Closure32Ridgehurst LnBonnie Brae StEmerald Trace Dr01/24/25 02/21/25 pavement removal andinfrastructure installationPublic Works Inspections Kirk WinterFull Closure33Robinwood LnLive OakKayewood Dr01/27/25 02/28/25 Road reconstruction (Millingand C/G Removal, Stabilization)EngineeringSheldon GatewoodFull ClosurePage 1 of 2Exported on January 24, 2025 10:39:38 AM PST54 Street/ IntersectionFromToClosure StartDateClosure EndDateDescriptionDepartmentDepartment Contact Closure Type34Robinwood LnEmerson LnLive Oak St11/12/24 05/16/25 Full Road Reconstruction EngineeringSheldon GatewoodFull Closure35Shagbank DrHomebeam StEmerald Trace Dr01/24/25 02/21/25 pavement removal andinfrastructure installationPublic Works Inspections Kirk WinterFull Closure36Smith StHill StDuncan St12/11/24 01/27/25 Manhole Installation in thestreet and water tapsPublic Works Inspections Tasheba JonesLane Closure37Sunset StUniversity Dr WAnna St01/20/25 04/30/25 Utility installations andpavement replacement.EngineeringScott FettigFull Closure38Thomas StPanhandle StEmery St10/11/24 01/31/25 Utility installations andpavement replacement.EngineeringScott FettigFull Closure39Unicorn Lake BlvdState School RdWind River Ln12/17/24 02/28/25 Water and Sanitary Sewer tieinsPrivate DevelopmentGavin PetnerLane Closure40Welch StHighland StHickory St08/26/24 04/30/25 Utility installations andpavement replacement.EngineeringScott FettigRolling Closure41Welch St SEagle DrHickory St06/03/24 05/31/25 Utility installations andpavement replacement.EngineeringScott FettigFull Closure42WestwayAnnaBolivar01/24/25 05/01/25 Utility installations andpavement replacement.EngineeringScott FettigFull Closure43Willowwood StWestwood DrLeslie St01/16/25 02/28/25 Sanitary sewer, water andstorm sewer installPrivate DevelopmentGavin PetnerLane ClosurePage 2 of 2Exported on January 24, 2025 10:39:38 AM PST55 3 Street Closure Report: Completed ClosuresStreet/ IntersectionFromToClosure StartDateClosure EndDateDescriptionDepartmentDepartment Contact Closure Type1Club View DrCreek View CtClub View Ct12/09/24 01/10/25 Street Panel and SidewalkRepairStreetsRoy San MiguelLane Closure2Crescent StEctor StHillcrest St12/27/23 12/31/24 Utility installations andpavement replacement.EngineeringScott FettigFull Closure3Harvest Hill DrWaldorf DrHarvest Glen Dr01/06/25 01/17/25 Sidewalk RepairStreetsRoy San MiguelLane Closure4Hickory St WFry StWelch St S12/04/24 01/14/25 Metal flashing and masonryreplacementOtherAlexander CervantesLane Closure5Luck Hole DrPine Hills LnPenina Trl11/12/24 01/03/25 Concrete panel Repair StreetsRoy San MiguelLane Closure6Nautical LnHickory Creek RdOcean Dr12/12/24 01/01/25 Water and Storm line tie ins Private DevelopmentGavin PetnerLane Closure7Ryan RdCountry Club RdMontecito Dr01/17/25 01/24/25 Hydroexcavation of existingutilitiesPublic Works Inspections Caitlin BrownRolling ClosurePage 1 of 1Exported on January 24, 2025 10:40:04 AM PST56