MINUTES SPECIAL CALLED SESSION HEATH CITY COUNCIL FRIDAY,JUNE: 21, 2024 at 8:00 AM  ATTENDING: JEREMIAH MCCLURE, MAYOR  PAUL: RUFFO, MAYOR PROTEM SHARON CALDWELL SCOTT DODSON RYAN MOORMAN BRENT WEAVER  ABSENT: RICH KRAUSE  MayorJeremiah McClure called to order the Special Session at 8:02 a.m.  2. Public Comment  Noones signed up to speak at the Open Forum.  3. Executive Session  At 8:03 a.m., Mayor McClure recessed thei meeting to Executive Session (closed meeting) stating that in accordance with Texas Government Code Chapter 551, Subchapter D, the City Council recessed into Executive Session (closed meeting) to discuss the: following: Section 551.071: Consultation with Attorney on a matter in which the duty of the attorney to the governmental body under the Texas Disciplinary! Rules of Professional Conduct ofthe State. BarofTexas clearlyconflicts with this chapter, regarding: (i) Texas Open Meetings Act requirements; and (ii) Texas Public Information Act In accordance with Texas Government Code, Chapter 551, Mayor McClure closed Executive Session and reconvened thei into open session at 9:48 a.m. stating that no action was taken in the Executive Session.  requirements.  5. Business Agenda  At10:00 a.m., City Staff, City Council and citizens boarded a bus to view and discuss HMBC/HEDC and City-owned property and other development sites. The sites visited included: Public Works Building, Oncor Facility, Hubbard Drive, TerryLane, Darr Estates, Key] Drive, Proposed DPSI Facility Site, Lakeway Drive, Perry Property, Willow Springs and the Heath Pump Station. The tour concluded with lunch before headed back to Heath City Hall for the Budget Work Session. The bus Mayor McClure, Council Members: Caldwell, Dodson and Moorman, City Staff: City Manager Lasher, Assistant City Manager Adel, Chief Seery, Captain Morgan, Director of Public Work Creed, Assistant Director of Public Works Shook, Building Official Price, City Engineer Dormier, Staff  tour was: recorded and no action was taken.,  Attendees were:  Liaison Brooke, City Attorney Stanphill and a member of the public.  6. Recess and Return to City Hall. 7. Call to Order Budget Work Session  Mayor Jeremiah McClure called to order the Budget Work Session at 1:38 p.m.  City Council Minutes - June 21, 2024  Page 1of2    7.a Discuss Annual Budget for Fiscal Year 2024-2025. Councilman Ruffo present at the meeting at. 1:52 p.m.  City Manager Kevin Lasher and Director of Finance Jay Ayers provided a presentation regarding the Fiscal Year 2024-2025 City Council Budget Workshop and covered the Budget Process, Budget Terminology, General Fund Update, Utility Fund Update, Importance of Operating Fund Balance, Tax Rate and Preliminary Values, Texas Municipal Retirement System Plan Options FY2023-24 Supplemental Request, Personnel Request, Technology Improvements, Equipment/ Vehicles, Major Infrastructure Topics, Discussion Points, ReviewofBudget: Priorities, Supplemental Request, Merit Increases, Public Safety Market Adjustments, Major Infrastructure Plan and TMRS Contribution Plan Options. Ayers provided the Budget Calendar stating that the second Budget City Council continued discussion regarding water concerns, strategic funding & analysis and gave staff direction to move forward on the budget process. Mayor McClure stated that water is of great concern and aj priority for a strategic planning and coming up with a solution to the irrigation issue thati includes a changei inj pattern usage and noti through regulation. Additional areas of concern are thei tax rate, revenue generation, CIP planning and road maintenance. Councilman Dodson stated that we have a revenue problem because we have plateaued and must increase that revenue line against the aging infrastructure and the expense of the capital projects, also asked for a discussion regarding the parks and trails connectivity, roadwayimfastruchure, the Hubbard Drive project and  Work Session would bes scheduled on August 9, 2024 at 8:00 a.m.  countyl level road expansions.  Mayor McClure adjourned the meeting at 5:20 p.m.  APPROVED:  ATTEST:  OF HE  59  omblaar  NORMA! DUNCAN CITY SECRETARY  MAYOR  A  TECE TEL  City Council Minutes - June 21, 2024  Page 2of2