Sep 25, 2023 Community Redevelopment Agency

[*This meeting has been joined in progress*]

[3. CRA BUDGET AND CIP FOR FY 2024 (RC): RESOLUTION No. 11-2023 CRA; A RESOLUTION OF THE BOARD OF THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF STUART, FLORIDA ADOPTING THE CRA BUDGET OF THE CITY OF STUART, FLORIDA, FOR FISCAL YEAR BEGINNING OCTOBER 1, 2023, AND ENDING SEPTEMBER 30, 2024; PROVIDING AN EFFECTIVE DATE; AND FOR OTHER PURPOSES.]

[00:00:05]

1 MILLION FOR THE UNDERGROUND IN PROJECT FISCAL YEAR, 2024. AND THE SEMINAL STREETSCAPE PROJECT IS ALSO BUDGETED THIS YEAR FOR 1.2 MILLION. TOTAL IMPROVEMENT COSTS FOR THE PROJECT IS 4.3 MILLION. WE DID RECEIVE $274,000 IN E P. A WATER QUALITY GRANT FOR THE PAVED RATING SYSTEM THAT WE'RE GOING TO BE USING FOR THIS PROJECT. WE RECENTLY ADVERTISED FOR RFP AND RECEIVED ONE PROPOSAL. SO AT THIS TIME, WE'RE JUST REVIEWING THE PROPOSAL AND WE'RE UNDER CONE OF SILENCE. SO UM, ONCE WE REVIEW IT, IT'LL COME BEFORE THE BOARD IF ANY AMENDMENT NEEDS TO BE MADE TO THE BUDGET. THE OTHER TWO LARGE SCALE, LARGE SCALE PROJECTS IDENTIFIED IN THE BUDGET OR THE RIVERSIDE PARK STREETSCAPE IMPROVEMENT PROJECT AND THE ACQUISITION OF REHAB ACQUISITION REHAB OF THE REALLY GARY PROPERTY. THE RIVERSIDE PROJECT IS BUDGETED FOR 2.1 MILLION. UH CRE RECEIVED 1.1 MILLION IN F DOT TAP GRANT WITH THE FUNDING. AVAILABLE IN 23 24. SO LAST FEW YEARS, WE'VE BEEN JUST WORKING ON THE DESIGN AND MEETING THE DELIVERABLES FOR THE FUNDING THAT THAT WOULD BECOME AVAILABLE TO US AND OF THIS YEAR BEGINNING OF NEXT YEAR. THE IMPROVEMENTS WILL INCLUDE SIDEWALKS ON STREET PARKING, HIGH VISIBILITY, CROSSWALKS, LANDSCAPING AND STREET LIGHTS. UH LIKE I SAID, WE'RE COMPLYING WITH THE DELIVERABLES RIGHT NOW, AND WE EXPECT TO ADVERTISE FOR THE BID FOR THIS PROJECT END OF PROBABLY EARLY NEXT YEAR AND CONSTRUCTION BY MID NEXT YEAR. NEXT WILLIE GARY PROJECT THAT I MENTIONED WE RECEIVED 4.79 MILLION CDBG COVID GRANT FOR THIS ACQUISITION AND REHAB. OF THIS PROPERTY FOR JOB TRAINING CENTER. THE PROJECT IS IDENTIFIED AS AN EXPENSE FOR FISCAL YEAR 2024 AND ALSO YOU'LL SEE ON THE REVENUE SIDE SINCE IT'S A REIMBURSEMENT GRANT IN APRIL OF THIS YEAR, THE BOARD APPROVED TO ENTER INTO A CONTRACT WITH THE PROPERTY OWNER FOR THAT POSITION. UM AND DURING THE DO DILIGENCE PHASE, WE LEARNED THAT I R S C BACKED OUT AND THERE ARE NO LONGER INTERESTED IN PARTNERING WITH US , BUT WE ARE CURRENTLY WORKING WITH PROJECT LIFT AS A POTENTIAL PARTNER TO PROVIDE THE JOB TRAINING PROGRAMS AT THIS SITE. WE'VE ALSO REACHED OUT TO THE D O TO SEEK ADDITIONAL FUNDING, SINCE WE'RE CONSIDERING TO CHANGE THE SCOPE OF THE PROJECT FROM REHAB TO NEW CONSTRUCTION TO ACCOMMODATE THE PROGRAMS OF SINCE WE'RE DOING IF WE MOVE FORWARD AND YOU CONSTRUCTION THAT TRIGGERS A FULL ENVIRONMENTAL, SO WE'RE IN THE PROCESS OF COMPLETING THEY'RE FULL ENVIRONMENTAL REVIEW AND WILL BE SUBMITTING THAT TO THE STATE TO FOR THEIR REVIEW AND APPROVAL. AND ALSO, WE'RE WAITING FOR TO HEAR BACK FROM THEM ON ADDITIONAL FUNDING FOR THIS PROJECT WE WILL REPLACE TO CLOSE ON THIS PROPERTY EARLY NEXT YEAR, PROBABLY FIRST WEEK OF JANUARY, BUT WE CAN'T CLOSE ON THIS PROPERTY UNTIL WE RECEIVE AN AUTHORIZATION TO USE THE GRANT FUNDS FROM THE STATE. THE CITY ATTORNEY IS WORKING WITH THE PROPERTY OWNERS ATTORNEY TO FINALIZE THE TERMS, UH, AND TERMS AND CONDITIONS OF THE PURCHASE CONTRACT. SOME OTHER INFRASTRUCTURE IMPROVEMENTS PROJECT IN THE CITY THAT YOU'LL SEE FOR FISCAL YEAR . 2024 INCLUDE FEDERAL HIGHWAY TREAT PLANTING PROGRAM. UM WHICH YOU RECEIVE THE PRESENTATION FROM JESSICA SEYMOUR LAST MONTH STATEMENTS SIDEWALK IMPROVEMENTS ON HIGH SCHOOL AVENUE AS THE BOARD RECOMMENDED AND GATEWAY SIGNAGE INSTALLATION AND, UM, AND A SMALL POCKET PARK IMPROVEMENTS IN OLEANDER PARK, WHICH IS PART OF THE RIVERSIDE PARK PROJECT. UM LIKE I MENTIONED EARLIER, WE DID HAVE SOME STEP BACK ON THE GATEWAY SIGNAGE PROJECT BECAUSE WE COULDN'T GET THE SURVEYOR. TO CONDUCT THE SURVEY TO MOVE FORWARD WITH THE FINAL DESIGN THAT DID GET COMPLETED IN MAY. SO WE EXPECT TO COMPLETE THE DESIGN BY NOVEMBER AND GO OUT FOR BID ON THIS, THE GATEWAY, SAYING THIS PROJECT BY EARLY NEXT YEAR. GUY DAVIS PARK PROJECT. UM YOU'LL SEE THAT I BUDGETED $7 MILLION IN THE C I P FOR THE GUY DAVIS PARK IMPROVEMENTS PORTION OF THAT WILL COME FROM THE CRE FUND BALANCE NEXT YEAR, AND IT WILL COME FROM THE TIFF REVENUE THAT WE GET IN FISCAL YEAR. 2025 WE ARE FINALIZING THE DESIGN ON THAT WERE 30% DESIGN, WHICH I EXPECT TO GET FROM THE CONSULTANT BY END OF THIS MONTH, AND STAFF WILL REVIEW THAT RIGHT COMMENTS AND SO FORTH UNTIL WE GET TO THE 100% DESIGN AND MOVE FORWARD WITH CONSTRUCTION. UM WE WILL BE SEEKING GRANTS FOR THIS PROJECT FOR A CERTAIN COMPONENTS OF THIS PROJECT. SOUTHEAST DIXIE HIGHWAY IMPROVEMENT PROJECT. THIS IS IN THE TRIANGLE DISTRICT

[00:05:06]

IS THAT THAT'S FINE. YEAH SO I THINK WE CAN DO THAT. SO UH, CAN WE HAVE A QUESTION ON THE BUDGET? AND I'VE TALKED TO ABOUT THIS, UM, SHE HAD MENTIONED WHERE IT SAYS MISCELLANEOUS REVENUE ZERO AND THEN I WAS. I JUST HAD A QUESTION TO ASK IF WE HAVE ANY CURRENT FUNDS NOW FROM TOURS. WHERE IS THAT OR IF WE HAVE ANY PROJECTIONS FOR FUNDS FROM TOURS? WHERE IS THAT IN THE BUDGET? TRAM TRAM TOURS? YEAH I THINK THAT GOES IN THE TERRIFYING GENERAL FUN. I JUST WANTED TO MAKE THAT CLEAR. OKAY, UM JAB BRANCH. OKAY SO IS THAT ALL YOU HAVE, JUST AND AGAIN WORK PURSUANT TO BOARD MEMBER COMPANIES REQUEST HE'S ASKED THAT WE UH, BREAK OUT. UH THE ADDITION YOU KNOW, MAIN STREET MONEY LINE ON HIM TO SEE IF IT SHOULD BE IN THE BUDGET. CAN WE HAVE A MOTION REGARDING PUTTING THE MAIN STREET MONEY INTO THE BUDGET? I'LL MAKE A MOTION TO PUT THE MAIN STREET MONEY INTO THE BUDGET. SECOND OKAY, SO WE HAVE A MOTION BY BOARD MEMBER SHRODES SECONDED BY BOARD MEMBER CLARK AND HE, UH, DELIBERATION. THE REASON WHY IS BECAUSE WHEN THIS CAME UP WIND OF FLAGLER CENTER WITH THE MAIN STREET IT WENT THERE. SO THAT THEY WOULD BE WEANED OFF THE $70,000 PER YEAR AND IT WAS SUPPOSED TO BE DONE OVER THREE YEARS. I BELIEVE NOW WE'RE GOING INTO OUR SIXTH YEAR WITH MAIN STREET STILL NOT WEANED OFF, BUT THEY HAVE THE FLAG LIST RIGHT THERE. SO THAT'S MY MAIN OBJECTION TO THE TO THIS ITEM. OKAY, THANK YOU VERY MUCH.

ANY OTHER COMMENTS. MARRIAGE, COLORADO. MEMBERSHIP ANY PUBLIC COMMENT. OKAY NOW GO AHEAD. I'M SORRY MEMBER SCHROTH. YES, RICH. YES REMEMBER KIM PENNY, NO MEMBER COLLINS MEMBER CLARK? YES. CHAIR MCDONALD YES, VICE CHAIR. BRUNER. YES MOTION PASSES . NOW. THE WIND UP. DO WE HAVE A

[00:10:03]

WHATEVER I CAN'T REMEMBER WHAT THE MOTION THAT WE KEEP THAT IN THE BUDGET DO WE HAVE A SECOND? I'LL SECOND IT MOTION BY BOARD MEMBER CLARK SECONDS BY BOARD MEMBERS GROWTH AND HE DISCUSSION ONCE AGAIN. I HAVE A FUNDAMENTAL PROBLEMS GIVING BUSINESSES MONEY TO DO THINGS THEY SHOULD BE DOING THEMSELVES. AND THESE BUSINESSES OR THE LANDLORDS OF THESE BUSINESSES. THEY OWN PROPERTY WORTH HUNDREDS OF THOUSANDS, IF NOT MILLIONS OF DOLLARS, AND HERE WE ARE GIVING AWAY TAXPAYER DOLLARS $10 AT $10,000 OR $5000, A HEAD. I DON'T THINK THAT'S WHAT WE SHOULD BE DOING. WE SHOULD BE USING SCIARRA FUNDS. TO ENHANCE THE ENTIRE C R A NOT WHAT WE'RE DOING WITH THE BIRTH PROGRAM. I DON'T DISAGREE WITH TOM AND YOU KNOW, IN BIG THEORY, I THINK, UM YOU KNOW THIS? THIS MAY SOUND MILLENNIAL LOVED ME, BUT THE DOLLARS IN THIS ARE VERY MINIMAL COMPARED TO A $30 MILLION BUDGET. UM, AND IN MORE RECENT ROUNDS OF THIS, I THINK WE'VE BEEN MUCH HARDER OR MUCH MORE CRITICAL OF SOME OF THE IMPROVEMENTS. AND I DO THINK THAT THE PROGRAM CAN GET TO A PLACE WHERE THESE. THESE IMPROVEMENTS ARE IMPROVING WHAT MAY BE CONSIDERED CITY PROPERTY RIGHT OF WAYS. YOU KNOW, LANDSCAPING WITHIN RIGHT OF WAYS , THINGS LIKE THAT, AND NOT TO TOM'S POINT, SO MUCH LIKE A DEFERRED MAINTENANCE ITEM THAT NOW THE CITY IS PICKING UP A PARTIAL TAB FOR JUST TO SEE IT. GET DONE, SO I'M NOT IN TOTAL DISAGREEMENT WITH TOM, BUT I'M ALSO NOT, YOU KNOW. IN A POSITION DO YOU SEE THE PROGRAM GETS SCRAPPED? I THINK THERE'S GOOD THAT HAS COME OF IT. AND, YOU KNOW, MAYBE THERE'S UM YOU KNOW SOME SOME MORE GOOD THAT CAN COME OF IT WITH A MORE CRITICAL YOU KNOW, PICKING OF.

PROJECTS THAT, YOU KNOW DOLLARS GO INTO. UM SO THAT'S THAT'S MY TWO CENTS ANYONE ELSE? OKAY UH, SO WE HAVE A MOTION. WE HAVE A SECOND. I BELIEVE IT WAS BY BOARD MEMBER CLARK AND SECOND BY SHREWD BOARD MEMBER SHROUD. ANY PUBLIC COMMENT DONE MARRIAGE COLORADO AND THIS IS THE MOTION TO KEEP THE BIRD PROGRAM IN THE BUDGET. YES MEMBER SHOWS REMEMBER RICH? YES MEMBER COLLINS VICE CHAIR. BRUNER YES, CHAIR. MCDONALD'S BOARD MEMBER, CLARK? YES PENNY. OKAY MOTION CARRIES ON A 61 VOTE. I JUST REALIZED WE HAVE ALL SEVEN MEMBERS. TODAY IS AMAZING, ISN'T IT? ISN'T THAT NICE? THANK YOU. EVERYBODY FOR SHOWING UP. SORRY ANYBODY THAT LOST MONEY ON ME ON THAT ONE? SO OKAY, SO NOW WE NEED SO NOW WE NEED A MOTION TO APPROVE THE BUDGET. SECOND OKAY . WE HAVE A MOTION BY BOARD MEMBER COMPANY SECOND BY BOARD MEMBER CLARK AND HE DISCUSSION SAYING NONE ANY PUBLIC COMMENT. MARY, PLEASE TELL THE RULE CHAIR MACDONALD. VICE CHAIR. BRUNER YES. REMEMBER COLLINS CLARKE? YES REMEMBER RICH MEMBER SHROVE ? YES, CAMPENNI. OKAY WE'RE

[4. CRA BUDGET AMENDMENT #04-2023 - BIRP (RC): RESOLUTION NUMBER 14-2023 CRA; A RESOLUTION OF THE BOARD OF COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF STUART, FLORIDA, AUTHORIZING BUDGET AMENDMENT #04 TO THE FY 2023 CRA BUDGET TO REALLOCATE FUNDS TO BUSINESS IMPROVEMENT REIMBURSEMENT PROGRAM; PROVIDING FOR CONFLICTS; SEVERABILITY; PROVIDING FOR AN EFFECTIVE DATE, AND FOR OTHER PURPOSES.]

[5. RESOLUTION AUTHORIZING THE CITY TO REIMBURSE WATERFRONT FOR REPAIRS TO CITY PROPERTY (RC): RESOLUTION No. 10-2023 CRA; A RESOLUTION OF THE BOARD OF COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF STUART, FLORIDA DIRECTING STAFF TO REIMBURSE THE WATERFRONT RESTAURANT LOCATED AT 131 SW FLAGLER AVENUE, STUART FOR REPAIRS MADE TO CITY PROPERTY; PROVIDING AN EFFECTIVE DATE; AND FOR OTHER PURPOSES.]

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IN ANY EVENT, THE CITY MANAGER TOLD THE TENANTS THAT WE WOULD IN FACT SHARE IN THE COST OF THAT REPAIR WITH THEM. AND UH, THAT WAS IN ROUGHLY OCTOBER. ON DECEMBER 28TH. COUNSEL FOR THE TENANTS AND THE CITY MANAGER AND EMAIL WITH 90 PAGES OF RECEIPTS. AND THE CITY MANAGER RESPONDED TO THAT, AND SAID 90 PAGES. RECEIPTS I'M NOT GOING TO RECONCILE THIS. YOU NEED TO SEND ME A SPECIFIC IDENTIFIED SPREADSHEET. SHOWING WHAT THE, UM EXPENSES ARE YOU'RE SEEKING.

IT'S MY UNDERSTANDING THAT THAT WAS RETURN OF THE CITY MANAGER SOMETIME IN LATE FEBRUARY OR EARLY MARCH, AND THEN THE CITY MANAGER REVIEWED THE SPREADSHEET. AND I THINK HE WAS SEASON PRESENTATIONS ON THAT TONIGHT. BUT AT THE D AND D. I POINTED OUT THAT THE CITY MANAGER HAD IDENTIFIED ABOUT $300,000 WORTH OF EXPENSES THAT HE COULD IDENTIFY AS BEING POTENTIALLY UM PAID BY THE CITY. UM AS A MATTER OF CLARIFICATION FOR THE PURPOSE OF THE BOARD CERTIFICATION. THE CITY MANAGER UNDER THE CHARTER AND UNDER THE POLICIES ADOPTED BY THE CITY COMMISSION HAS THE AUTHORITY TO MAKE EMERGENCY REPAIRS AND TO WAIVE ANY PROCUREMENT REQUIREMENTS. WHEN IN FACT, UM THERE IS AN EMERGENCY SITUATION OR SITUATION ARISES, SUCH AS THE BUILDING GETS RIPPED THE ROOF RIPPED OFF IN A HURRICANE OR SOMETHING LIKE THAT. IN THIS INSTANCE, THE HIRING OF THE ENGINEER WAS AN EMERGENCY HIRING , ALTHOUGH IT WAS UNDER $5000 WAS IN HIS DISCRETION ANYWAY. AND THEN IF, IN FACT THE ENGINEER HAD SAID YOU NEED TO DO THIS TODAY, CITY MANAGER COULD HAVE, IN FACT, HIRED A CONTRACTOR THAT DAY TO DO WHATEVER REPAIRS THEY WERE AND THEN COME TO THE BOARD AFTERWARDS AND RATIFIED IT.

BASED UPON THE EMERGENCY NATURE OF IT, HOWEVER. UM AT THE TIME. THAT'S NOT WHAT HAPPENED. THE ENGINEER SAID, NO, THIS IS SOMETHING THAT CAN BE REPAIRED AS THEY'RE DOING THESE REPAIRS TO THE CITY MANAGER, OF COURSE, TOLD THE TENANTS TO BRING HIM THE, UH WHAT THEY'RE SEEKING, OR WHATEVER IT MIGHT BE, AND WE'VE HAD THIS DISCUSSION AT SOME LENGTH AS TO THE TIMING OF IT. I BELIEVE THE CITY OF MAHAVE IT UP FRONT. OF COURSE, THE TENANTS POSITION IS LOOK, THEY DON'T DO CITY PROCUREMENT. THEY HAD A CONTRACTOR ON SITE. THEY WERE MOVING FORWARD, RIGHT THEN. AND YOU'VE HEARD THAT THE ISSUE BECOMES WELL, WHAT WHAT COULD OR SHOULD OR WOULD HAVE HAPPENED? AND ITS INSTANCE ONCE THE REPAIRS WERE FINISHED. REGARDLESS OF WHETHER THERE HAD BEEN AN EMERGENCY BEFORE OR NOT , BECAUSE THE CITY MANAGER DID NOT AUTHORIZE A SPECIFIC AMOUNT OF MONEY. THE ISSUE BECAME POLICY. AND WHEN I TOOK OVER A CITY MANAGER, I DID NOT HAVE

[00:20:08]

I RECOMMENDED THAT IT GOES TO THE SIERRA BECAUSE IT WAS WITHIN THE SIERRA, AND IT WAS CITY OWNED PROPERTY IN THE SIERRA AND AS A RESULT, IT WOULD BE LEGAL FOR THE C R A TO DO IT AND IT WAS WITHIN THE SIERRA PLAN BECAUSE IT IS AN ENHANCEMENT TO CRE PROPERTY WITHIN THE C R. A UM, THAT'S NOT TO MEAN THAT IT MUST BE PAID FOR OTHER CR A COULD ALSO BE OUT OF THE GENERAL FUND. BUT IT JUST SEEMED APPROPRIATE AT THE TIME, AND NOW THE COMMISSION WAS DIRECTED THAT IT COME BACK TO THE C R. A AS IT RELATES TO THE AMOUNT THE POLICY WILL BE FOR THIS BOARD TO PROVIDE WHATEVER POLICY OR MAKE THE DECISION. WHATEVER YOU THINK IS APPROPRIATE. UM IN THE PAST THE AMOUNT THAT WAS RECOMMENDED OR ADOPTED BY THE PRIOR TO THE MANAGER. THE $300,000 WAS NOT JUST LIMITED TO THE EXACT STRUCTURAL REPAIRS INCLUDED PAINTING, ELECTRICAL PLUMBING AND SOME OTHER IMPROVEMENTS. UM, OF THAT NATURE. UM BASED UPON THE FACT THAT THEY WERE IN DISREPAIR OR THAT THEY WERE. THINGS THAT WERE ACTUALLY. FIXED OR MODIFIED BY THE TENANT. IT'S NOT TO SAY THAT IT WAS BINDING ON THE COMMISSION. IT WAS SIMPLY A STAFF RECOMMENDATION AND BECAUSE HE HAD MADE THAT RECOMMENDATION, I STAYED WITH IT AT THE LAST MEETING. I ASKED THE BOARD FOR SPECIFIC DIRECTION IF YOU WANTED STAFF TO SPECIFICALLY REMOVE ANY ITEMS OR IN PARTICULAR. DID YOU WANTED TO PRESENTATION OF JUST WHAT IS LIMITED TO JUST THE STRUCTURAL COSTS. AND THE BOARD DID NOT GIVE ME THE DIRECTION TO DO THAT . AND SO WE'RE BACK HERE FOR THESE GUYS TENANTS TO PUT ON A FULL PRESENTATION TO YOU AND USE THE BOARD TO DELIBERATE AND DECIDE WHAT YOU THINK IS MOST APPROPRIATE. A HYPOTHETICAL SITUATION. AS IT RELATES TO THE LEASE ISSUE THAT WAS RAISED IN THE PAST, SO THAT'S BEING RAISED BY COMMISSIONER CLARK AS WELL, THE LEASE SAYS. IT'S AS IS AND SO THAT IS TRUE. BUT IF I WAS THE LANDLORD OF A PRIVATE APARTMENT AND I HAD A TENANT CALLED ME UP ON THE PHONE AND SAY MY AIR CONDITIONING IS BROKEN. AND I SAID, OH, CALL THE GUY AND HE CAN FIX IT. AND WHEN HE'S FIXED IT, JUST DEDUCT IT FROM YOUR RENT. AND THEN THE FOLLOWING MONTH. THEY DEDUCT $150 FROM THEIR RENT. AND I SAY NO, I'M NOT. YOU KNOW WHAT? YOU'RE GONNA GET EVICTED BECAUSE YOU DIDN'T PAY YOUR RENT IN FULL BECAUSE THE LEAST SAID THAT ANY CHANGES HAVE TO BE IN WRITING. AND I YEAH, I TOLD YOU THAT OVER THE PHONE, BUT I DIDN'T ACTUALLY SIGN A DOCUMENT AUTHORIZING IT. AND THEREFORE I GOTCHA. UM I DON'T THINK THAT WAS THE INTENTION OF THE CITY MANAGER AT THE TIME, AND I DON'T THINK THAT THAT'S THE INTENTION OF THE CITY NOW TO PLAY THAT GAME IN A 40 YEAR LEASE AND THAT'S WHY MY RECOMMENDATION WAS THAT THE CITY SHOULD PAY. SOMETHING RELATED TO THE STRUCTURAL EXPENSES AND SHOULDN'T JUST PLAY ON THE LETTER OF THE LAW ON THE LEASE SAYS THAT IT'S ONLY UM THAT THAT IT HAS TO BE THEIR EXPENSES BECAUSE WHEN THE CITY MANAGER SAID THAT HE WOULD SHARE IN THE COST OF THAT STRUCTURAL STUFF TO PLAY THE GOTCHA GAME LATER JUST DIDN'T SEEM EQUITABLE TO ME.

HOWEVER I'M NOT MAKING POLICY THAT WAS JUST THE POSITION BY STAFF TO BRING IT TO YOUR ATTENTION. SO BEFORE YOU GO, MIKE, MAY I? UM, SO WHAT YOU'RE SAYING IS THERE WAS NOT AN EMERGENCY. STYLES PETE SAID. SERIOUS BUT NOT IN IMMINENT. CORRECT PROBLEM. WHAT ABOUT OUR RESPONSIBILITY. SURE FOR OUR PROCUREMENT BY BY THE STATE. WE DID NOT FOLLOW PROCUREMENT IN ONE IOTA IN THIS INSTANCE, SO HE WOULDN'T HAVE. HE WOULDN'T HAVE HAD TO FOLLOW PROCUREMENT BECAUSE THE CONTRACTOR WAS ON SITE AND THAT THE TENANT I WAS DOING. THE WORK AT THE TIME AND WHAT THE CITY THAT WORK WAS NOT AUTHORIZED. WAS IT? WHAT WAS AUTHORIZED BY THE TENANT. THERE WAS NO THERE WAS NO WORK AUTHORIZED BY THE CITY. THE TENANT HAD A 40 YEAR LEASE OF ITS PROPERTY THAT THE CITY OWNED AND SO THE CITY MANAGER IN FACT , SAID I WILL SHARE IN THAT COST WITH YOU. PLEASE BRING IT BACK TO ME OR WHATEVER WHATEVER THE OTHER LANGUAGE WAS, IF, IN FACT IT WAS BROUGHT BACK BEFORE THE WORK WAS DONE. AND THE BOARD VOTED ON IT AND SAID, YEAH, LET'S SPLIT THIS COST AND PIGGYBACK IT ON THE CONTRACT THERE UNDER WHATEVER. WE WOULDN'T HAVE THAT ISSUE AT ALL TODAY THAT ISSUE BECAUSE IT WASN'T BUT THAT'S NOT WHAT

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WE'RE ASKING QUESTIONS, MICROPHONE. SO I WAS HANDED AT THE PREVIOUS MR DICES REQUESTS.

PETE STYLES WENT IN OR STYLES, PETE, WHAT IS IT WENT IN AND REPAIRED, PREPARED THIS REPORT THIS PAGE AND A HALF REPORT. POINTING OUT THE STRUCTURAL DEFICIENCIES. CORRECT YEAH, I CAN'T SEE PETE STYLE YOU HANDED IT TO YOU REMEMBER? YEAH AND BY THE WAY, THE APPLICANTS HAD NOT SEEN THIS. AS OF LAST THURSDAY, WHEN WE NEXT GOOD STYLES PETE EVER GO THROUGH THEIR THEIR RECEIPTS AND SAY IN ORDER TO DEAL WITH THE ISSUES I SAW THESE ARE THE COSTS THAT BEING SO WE HAVE NO ACCOUNTING FROM THE ONLY OBJECTIVE SOURCE. AS TO WHAT WAS REQUIRED AND TWO. RETURN THE BUILDING TO A STRUCTURALLY SOUND STATE. WELL, FIRST OF ALL, I DON'T NO. THAT THAT'S THE CASE.

I DON'T KNOW IF DAVID MET WITH STEVE OUR BUSINESS OR OUR BUILDING. INSPECTOR. I DON'T KNOW IF DAVID MET WITH OTHER PEOPLE. WHAT I KNOW IS THAT THE CITY MANAGER TOOK THE SPREADSHEET THAT THEY HAD AND CAME UP WITH THAT NUMBER OF 302 . THAT MIGHT NOT BE THE NUMBER THAT I WOULD COME UP WITH. UM AND STRUCTURALLY SOUND STATE IS ALSO SOMEWHAT DIFFERENT THAN WHAT I UNDERSTOOD TO BE THE STRUCTURAL. LIKE FOR EXAMPLE, IF IT TURNED OUT WHAT THEY WERE DOING THE WORK, THEY FOUND OUT THAT THERE WAS A LETTER A BALCONY THAT WAS FALLING OFF THE OTHER END OF THE BUILDING. I DON'T KNOW THAT THAT WAS SOME OF THE CONVERSATION. BUT THAT DIDN'T HAPPEN. THE ONLY THING WAS, I'LL GIVE YOU AN EXAMPLE. MY UNDERSTANDING OF IT IS THERE'S A PAUL OR A SUPPORT POLE THAT COMES UP FROM THE GROUND AND HOLDS THIS BUILDING UP AND IT LITERALLY THE CEMENT IN IT WAS ERODED AND THEN THE REBAR WITHIN THE CEMENT WAS ACTUALLY RUSTING AND DECAYING, AND IT HAD SHRUNK BY A SIGNIFICANT AMOUNT AND WAS GETTING SMALLER BY THE DAY. SO ONE STEP IN THE REPAIR YOU COULD DO IS JUST REPAIR THE POLE. AND WRAP IT WITH SAMANTHA.

WHATEVER YOU MIGHT DO IN YOUR PREPARE THE POLE. NOW THAT IN AND OF ITSELF COULD BE

[00:30:03]

AND DAVID WAS UNDER THE IMPRESSION THAT HE WAS IN THE STAGE OF WAITING FOR THE COSTS TO COME AND THEN COMING TO THE BOARD. AND SPEAKING TO THE TENANT. LIEUTENANT SAID TO ME WELL, WE DIDN'T KNOW THE CITY'S PROCUREMENT PROCEDURES. WE DIDN'T KNOW THAT THAT WAS THE POLICY. WE WERE ON SITE DURING THE WORK. WE THOUGHT THAT WHEN WE SUBMITTED ALL THE STUFF FOR THE PERMIT AND THE CITY ISSUE, THE PERMANENT SIGNED OFF ON IT THAT THAT WAS AUTHORIZING US TO GO FORWARD. I SEE IT AS IT IS A DIFFERENT SITUATION BECAUSE THE PERMIT DIDN'T HAVE AN ITEMIZED COST OF THE DIFFERENT REPAIRS BEING DONE OR WHAT WAS BEING DONE OR NOT BEING DONE AND PART OF THE PERMANENT BEEN ISSUED AND SIGNED BEFORE THEY'RE EVEN AROSE A PROBLEM SO OR OR EQUIPMENT DISPOSED OF THAT THE CITY OWNED OR EQUIPMENT PURCHASED, WHICH THAT AND MR CAMPANIS POINT IS A VERY GOOD WINE. IT LOOKS. IT LOOKS LIKE A WAY TO GET AROUND OUR PROCUREMENT PROCEDURES. I'M NOT ASSIGNING A BAD MOTIVE HERE, BUT IT DOESN'T LOOK GOOD. WELL, IT'S NOT IN ANY NEEDS INTENDED TO GET AROUND PROCUREMENT PROCEDURES, AND IT'S I GUESS THE QUESTION YOU'RE THEN ASK YOURSELF AS DID WHAT WAS IT LESS EXPENSIVE OR MORE EXPENSIVE? BECAUSE WE DIDN'T GO OUT TO BIDS ON ANYTHING? I DON'T KNOW. BUT I CAN TELL YOU THE BIDS HAVE BEEN SEEING LATELY. ARTIST FRIENDLY AS YOU MIGHT GUESS, BUT WHO KNOWS? BUT IT WASN'T A THE ISSUE TO ME IS NOT A PROCUREMENT ISSUE ONE WAY OR THE OTHER ISSUE TO ME IS WHAT IS THE YOU KNOW WHAT WAS THE RESPONSIBILITY OF THE CITY UNDER THE CIRCUMSTANCES, AND AS I SAID TO YOU AT THE D AND D ON THE VERY FIRST DAY, WHEN YOU GUYS WERE ASKING THE SAME QUESTIONS THIS BOARD COULD VOTE. NO I MEAN BECAUSE IT DID GO. THE WORK. IT WAS DONE. BEFORE IT WAS COMPLETELY AUTHORIZED. THE CITY AGREED TO SHARE IN THE COST, BUT THE AMOUNT WAS NEVER STRUCK. SO IF I AGREE TO SELL YOU, MY HOUSE YOU DON'T MOVE IN BEFORE WE SET THE PRICE. YOU FIGURE OUT THE PRICE FIRST AND THEN YOU MOVE IN BECAUSE THEY THAT PRICE COULD FLUCTUATE LATER. WHICH CLEARLY IS WHAT'S HAPPENED. BUT THAT'S NOT TO SAY WE DIDN'T AGREE TO SELL TO HAVE THE TRANSACTION. AND SO THAT'S YOU KNOW WHERE THE WHERE THE AMBIGUITY ARISES. MY POSITION ON IT WAS SIMPLY FROM A CITIES AND 40 YEAR LEASE WITH A TENANT THAT'S NEXT DOOR TO THEM.

I DID NOT HAVE THE AUTHORITY TO SAY YES OR NO BECAUSE IT WAS A POLICY THAT HAD TO BE ADOPTED BY THIS AWARD, OR AT THE TIME IT WAS THE CITY COMMISSION BEFORE YOU DIRECTED TO THE CRE BOARD.

BUT I DIDN'T WANT TO NOT HONOR THE CITY'S POSITION OF YOU KNOW, I DIDN'T WANT TO PLAY GOTCHA. AS A RELATED TO THE CITY SAID WE'D DO SOMETHING FOR IT AND THEN NOT DO ANYTHING AT ALL. AND IT WASN'T MY DISCRETION. TO EVEN SAY NOPE IT'S AS IS, I THINK THAT DECISION WOULD STILL HAVE HAD TO COME BEFORE YOU AND YOU WOULD HAVE HAD TO DO THAT. UNDER THE CIRCUMSTANCES, THAT BOARD WOULD STILL HAVE HAD TO VOTE FOR MIKE COMMISSIONER COLLINS AND THEN MICHAEL JUST TO HAMMER THIS POINT DOWN FOR TRANSPARENCY. UH WHEN THOSE RECEIPTS CAME BACK THAT NUMBER OF 300,000

[00:35:05]

UM AND A COUPLE OF OTHER ITEMS, BUT IF IT WAS, IT WAS MORE THAN THE LITERAL SCOPE OF THE STRUCTURAL ISSUES AND FROM YOUR UNDERSTANDING. THAT WAS WHAT DAVE? HAD DISCUSSED WITH THESE GUYS ABOUT COVERING? I DON'T KNOW IF HE HAD DISCUSSED IT WITH THEM DIRECTLY. HE WHEN HE WAS HE HAD GOTTEN IT AND HE LEFT IT AS PART OF THE TRANSITIONAL THINGS FOR ME, WAS SOME NOTES ON IT FOR ME, AND I CALLED HIM ABOUT IT. AND THAT'S WHAT HE HAD SAID WAS LIKE THESE WERE THE THINGS HE COULD SUPPORT. SO WHEN I CAME TO THE D AND D, THAT'S WHY I SUPPORTED THEM. GOT IT. THANK YOU, COMMISSIONER CLARK. I HOPE I CAN GET THIS STRAIGHT WITHOUT GOING ON AND ON. HE WENT MIKE UP THERE. UH WANTED TO ASK MICHAEL QUESTION TO ASK MIKE BUT, UM SO I'LL JUST GO BACK TO THE CLERK.

FIRST I WAS GOING TO SAY THIS IN THE MINUTES, BUT I DIDN'T BUT WHEN I SAID OR WHEN, IT SAYS IN THE MINUTES THAT COMMISSIONER CLARK SAID THAT WE MADE A MISTAKE. I THINK MIKE ALLUDED TO IT, BUT I'LL JUST SAY THAT I DON'T KNOW WHATEVER HAPPENED BETWEEN, UM OUR DIRECTIONS STORE CITY MANAGER AND WHATEVER CITY MANAGER DID WHAT I DO BELIEVE THAT SOMETHING HAPPENED WHERE WE'RE IN THIS PLACE NOW AND IF YOU WANT TO CALL IT A MISTAKE, OR IF IT'S MISCOMMUNICATION OR NOT FOLLOWING PROCUREMENT RULES OR WHATEVER IT IS, IT IS WHAT IT IS THAT OKAY, THAT'S ONE THING.

THE OTHER THING IS MR MORTAL KNOWS AS AN ATTORNEY THAT IF WE I THINK I'VE SEEN ALL THE CHARTS AND THE DATES AND BACK AND FORTH AND THE NUMBERS AND WHAT IS ADDED VALUE AND ALL THESE DIFFERENT THINGS, ONE OF THE WORDS THAT I THINK THEY USED WHEN THEY MADE THEIR LAST PRESENTATION WAS ABOUT HABITABILITY AND WHATEVER CONDITION WE GAVE THEM THAT BUILDING IN MAYBE WE DIDN'T HAVE A I DON'T KNOW IF MILTON HAD A LIST OF WHAT IS GOOD ABOUT IT.

AND WHAT WAS BAD ABOUT IT AT THE TIME WHEN WE TURNED OVER THAT BUILDING TO THEM FROM THE LAST PERSON WHO HAD THE BUILDING, BUT WHATEVER THAT CONDITION IS AND WHATEVER PETE STYLES FOUND I WOULD HOPE THAT I WOULD HAVE SEEN SOMETHING. I KNOW THAT MR MORTAL WROTE THIS AND MOST OF IT WAS WRITTEN BY THEM. I WOULD HOPE THAT WE WOULD HAVE SWEDE SEE SOMETHING TODAY FROM THE CITY THAT JUST DOESN'T CALL OUT THE 300 K NUMBER THAT WAS IN A MESSAGE WITH MR UM DIETS, BUT AT LEAST GIVE US SOME CONCRETE THING THAT AT THE TIME IF THERE WILL NOT CONCRETE BUT ROCKS WE NEED, WE NEED MORE CONCRETE BARRIER. THIS THING SINK INTO THE RIVER. UM, BUT, UM. NO NO.

BY THE TIME THEY DID THEIR BEST TO KEEP IT FLOATING, AND SO, UM AND I THINK THAT WHATEVER IT IS THAT WE NEED TO DO TO MAKE SURE THAT. THE NUMBERS ARE SOMETHING MANAGEABLE THAT WE CAN SAY THAT THIS IS A FAIR AMOUNT THAT THE CITY NEEDS TO PUT TOWARDS THIS. I WISH THAT MR MORTAL WOULD HAVE BROUGHT SOMETHING THAT SAYS THESE ARE THE BEST NUMBERS. ENGINEERING STANDARDS, ADDITIONAL COSTS. WHATEVER AND I KNOW YOU'RE SAYING THAT SOME OF THESE THINGS MAY NOT GO TOWARDS HABITABILITY, BUT I NEEDED SOMETHING MORE THAN WHAT WAS PUT IN THE MEMO TODAY, AND I KNOW YOU WANT US TO DO. SCUSI IT BUT JUST AS THE SAME WAY AS THEY PREPARED US WITH SOME NUMBERS, I WOULD HAVE WANTED US TO SEE. SOME OTHER NUMBERS SHAVED OFF NUMBERS ADDED NUMBERS BASED ON VALUE OR OVER TIME, BECAUSE IT IS BOTTOM LINE. IT IS THE CITY'S PROPERTY AND WE HAD A DUTY TO GIVE THEM SOMETHING THAT THEY COULD WORK WITH. I'M NOT NOT THE RESTAURANT, NOT THE KITCHEN. NOT ALL OF THAT STUFF, BUT JUST SOMETHING TO MAKE SURE THAT THE BUILDING STRUCTURE WAS A GOOD SAFE THING AND WHATEVER THEY DID TOWARDS IT, I WANT US WHATEVER THAT NUMBER IS. I WANT US TO MAKE SURE THAT OUR MONEY IS PUT TOWARDS THAT. IN THE LAST MEETING TWO DIFFERENT TIMES.

WHEN QUESTIONS WEREN'T PENDING. I TOOK IT UPON MYSELF TO STAND UP AND COME TO THE MICROPHONE AND SAY TO THE BOARD. IF YOU WANT ME TO DO A LINE ITEM ON THIS, AND IF YOU WANT ME TO

[00:40:06]

MR COLETTI WANTS AND I'LL GET A COUPLE OF QUICK POINTS, SO I'M I WOULD ASK THAT YOU REMEMBER THAT HABITABILITY. IT IS TYPICALLY A CONCEPT FOUND IN A LANDLORD TENANT HOUSING ISSUE, NOT IN A COMMERCIAL LEASE. THIS IS AN AS IS HERE, AND SO HABITABILITY IS NOT REALLY AN ISSUE HERE. WHAT WHAT IS VERY INTERESTING? IS THAT THIS WAS NOT A TRANSFER FROM THE CITY. TO THESE TENANTS . IT WAS AN ASSIGNMENT BETWEEN MR HARD TO THE TENANT HERE AND SO THAT WHOLE CONCEPT OF HABITABILITY REALLY DOESN'T COME INTO PLAY. ACTUALLY REPORTED. TOM UM, MAKE SURE QUESTION FOR PAUL. GO AHEAD, TOM, SO IT WOULDN'T BE HAVING ABILITY, BUT IT COULD BE CONSTRUCTIVE EVICTION, CORRECT. FINE. THEORETICALLY YES, VERY THEORETICALLY. BUT THE INTERESTING THING IS THAT THAT ALL WE WERE ASKED TO DO WAS TO APPROVE. THE ASSIGNMENT. AND SO WHATEVER THE RELATIONSHIP WAS BETWEEN GEORGE HEART AND THESE TENANTS. IT WAS BETWEEN THEM.

NOT PRIVY TO IT. WE DON'T KNOW ABOUT IT. ALL WE KNOW IS THAT THAT THERE WAS AN ASSIGNMENT AND THE CITY COMMISSION THEN SAID YES. SURE YEAH. SORRY MIKE. I'M GONNA ASK YOU TO COME UP AND EXPLAIN A FEW THINGS, BUT UM AND I RECOGNIZE THE RECOGNIZED THAT THE APPLICANT HAS A HAS A PRESENTATION HERE. BUT BUT WHAT? I MY QUESTIONS FOR MIKE AND I DON'T SEE THIS AS A PROCUREMENT ISSUE IS PROBABLY A PROCUREMENT ISSUE BACK IN OCTOBER. IT'S THIS IS A LEASE RENEGOTIATION IN MY MIND. SO MY QUESTION FOR YOU IS IF YOU COULD GIVE ME THE CLIFF NOTES VERSION OF THE HISTORY OF THIS LEASE, I THINK UM, IT WAS PHOTOS BACK IN 2013. THERE WAS A LEASE AND THEN SPREADERS VACATED , WE ENTERED INTO A NEW LEASE WITH GEORGE HEART DOCKSIDE. DOCKSIDE WAS THE ONE THAT BUILT THE SEAFOOD BAR OR WHATEVER IT IS DOWNSTAIRS. WHEN IT WAS DARK SIDE, ARTHUR DON ROSE DOCKSIDE AMBROSE WAS THE OWNER. UM. THERE WAS SOME ISSUES AND HE WAS SELLING THE CITY TO PREVENT IT FROM BECOMING CONDOMINIUMS PURCHASED THE PROPERTY. IT THEN WENT OUT, AND, UH, THROUGH AN RFP PROCESS BECAME PHOTOS. WHILE IT WAS IT'S PHOTOS, THERE WAS A COUPLE OF LEASE AMENDMENTS THAT TOOK PLACE IN PUBLIC HEARINGS. THERE IS ALSO SOME AIR CONDITIONING INSTALLATION DONE BY THE CITY, EVEN THOUGH POLICE 100% ON THIS PHOTO AND THEN ULTIMATELY SPO TOE WAS UNABLE TO PAY THE RENT AND WAS VACATING AGAIN. YOU HAVE TO RECOGNIZE THAT THERE'S A DIFFERENT ECONOMY, THE RECESSION HIT, ETCETERA, ETCETERA. AND WHEN I SPOKE, OTO WAS LEAVING JUST BEFORE HE LEFT. HE ACTUALLY ENTERED INTO AN ASSIGNMENT. WITH . MULLIGAN'S MULLIGAN'S BROUGHT ALL THE PRIOR LEASE PAYMENTS. CURRENT MOVED IN AND THEN MADE IMPROVEMENTS TO THE PROPERTY, INCLUDING SOME STUFF DOWNSTAIRS AND BRING SOME RAMPS AND STUFF IN AND THEN ALSO THE TIME. THERE WAS ALSO AN 80 A LAWSUIT THAT TOOK PLACE AND THERE WAS AN ISSUE WITH THE UPSTAIRS. THE FRONT PORTION OF THE RESTAURANT WAS LOWER THAN THE REST OF THE RESTAURANT SO THAT THE HIGHER SEATS IN BACK WOULD HAVE WATER VIEWS AS WELL. IN THE 80 A LAWSUIT, IT WAS CLAIMED THAT THE PERSON COULDN'T ACCESS THE FRONT TWO ROWS OF TABLES, SO IT HAD TO BE LEVELED OUT AND THINGS LIKE THAT. HAPPENED BACK THEN. THEN MULLIGAN'S WAS THERE FOR MULTIPLE NUMBER OF YEARS AND THE

[00:45:03]

WE HAVEN'T ASKED THEM TO CONSULT WITH THE CONTRACTOR. SO FOR WHAT IT'S WORTH, NO AND A COUPLE OF REASONS WHY FIRST THE WORK. IS NOW BURIED RIGHT? SO WE'D HAVE TO TEAR THE FLOOR OUT TO GO. BUT THE TIME THAT THEY WERE DOING IN OUR BUILDING, INSPECTOR AND INSPECTIONS WITH THE STUFF WAS FORMED UP AND ALL THE STUFF WAS DOING THE PROPER INSPECTIONS. AND YOU KNOW THE PROGRESS WAS BEING ADDRESSED. AND THAT WAS DONE BY DAY VIEW OR A VIEW AS MY UNDERSTANDING WAS THE GENERAL ON THE SITE. I DON'T KNOW WHO THE SUB WAS THAT DID THE ACTUAL POOR. OKAY THAT ANSWERS MY QUESTIONS. I'M JIM, YOU WANT TO DO YOUR PRESENTATION? YOU CAN GO IN. SO I THINK THERE'S SOME QUESTIONS ABOUT IT. PLEASE SPEAK INTO THE MICROPHONE. SO THERE ARE SOME QUESTIONS ABOUT THE DETAILS BEHIND. AND IF YOU WOULD STATE YOUR NAME FOR THE REST OF OUR JIM CORRIGAN, PARTNERS OF WATERFRONT, DEREK SHAMBLE, THE OTHER PARTNER. SO I THINK THE BOARD HAS SEEN THIS. SO IF WE CAN GO JUST KIND OF ASK YOU FORWARD PAGES. IF YOU DON'T MIND, THAT'S THE TIMELINE. I DON'T THINK THERE'S ANY QUESTIONS ON THE TIMELINE FROM THE COMMISSION. I DON'T BELIEVE YEAH, THEY JUST WENT THROUGH YOUR PRESENT TABLE. WAIT UNTIL QUESTIONS TO THE END. OKAY, SO THE FIRE PAGE WAS JUST A SUMMARY OF THE INVESTMENT THAT WAS INCURRED IN THE RESTAURANT. AS WE FOUND THINGS AGAIN. THESE ARE LIKE, YOU KNOW, BEHIND THE SHEETROCK OR UNDER THE GROUND AS WE TALKED ABOUT. THIS IS THE TIMELINE OF THE INTERACTION BETWEEN DEREK AND MYSELF AND THE CITY WHEN WE FIRST FOUND THE ISSUES AND THEN OUR WORKING WITH THE CITY COMMITTEE, THE CITY MANAGER AT THE TIME OF THOSE SITUATIONS, US WORKING THROUGH THE PERMIT AGAIN, MIKE STATES IT VERY CORRECTLY. WE ARE NOT EXPERTS IN IN GOVERNMENT PROCUREMENT. WE'RE PRETTY GOOD BUSINESS PEOPLE AND GOOD RESTAURANT MANAGERS. AND WHEN WE DID START TO DO SOME OF THE CONSTRUCTION OR RENOVATIONS, WE CLEARLY SAW THAT THERE WERE SOME, UH PRETTY INTENSE STRUCTURAL PROBLEMS THAT WENT BEYOND JUST STRUCTURE AND WE'LL TALK ABOUT THE DETAILS OF THAT.

SO THEIR STRUCTURE SAFETY UH, AND THEN THE THIRD CATEGORY IS MECHANICAL, ELECTRICAL AND

[00:50:03]

THE DEMO OF THE DECK STRUCTURE, THE EAST AND WEST SIDE OF THE BUILDING, EXTERIOR PAINTING AND REPAIR KITCHEN FLOORS, KITCHEN WALLS AND THEN GENERAL CONTRACTOR LABEL FOR STRUCTURAL TOTALING THE TOTAL AMOUNT WAS $433,000 955, AND WE SPLIT THAT UP BETWEEN OURSELVES. AND THE CITY BASED ON YOU KNOW WHAT WE HAD ORIGINALLY TALKED TO DAVID DIES ABOUT IN THE ORIGINAL PROPOSAL. THE SECONDARY OF SAFETY 80, A RAMP, FIRE ALARM SYSTEMS, FIRE SPRINKLERS AND THE ELIMINATION OF PEST ISSUES. THAT'S 109,000. THERE WAS AN INCREMENTAL 28,000 TOTALLY 1 38.

UM THEN THERE'S M E P, WHICH IS THE A C UNIT REPLACEMENTS. COOLER REPLACEMENT ELECTRICAL, LOW VOLTAGE AND PLUMBING. THAT WAS 174,000 AND INCREMENTAL 403,000. TOTAL OF 7 77 9 59. AND THEN THERE IS THE CITY OF STUDENT EQUIPMENT OF 116,000. SO THAT'S THE BREAKDOWN OF THE NUMBERS THAT WERE IN THE IN THE GRAPHS ON THE PRIOR PAGE. WE HAVE DETAILS THAT GO INTO EACH ONE OF THESE WITH PICTURES, SO YOU CANNOT SEE IT. BUT ARE THERE ANY QUESTIONS ON? UH ONE? THE NUMBERS IN GENERAL, AND THEN HOW WE THEN WE SHOWED HOW WE SPLIT THEM UP BETWEEN HOW MUCH WAS HABITABLE, THE 6 23. IF YOU SEE THAT COLUMN TOTALS OF THE 6 23. THAT'S THE HABITABILITY PIECE.

THEN THERE'S RESTAURANT HABITABILITY, SO WE HAVE BUILDING AND RESTAURANTS. SO YOU HAVE TO HAVE A BUILDING TO HAVE A RESTAURANT AND SO WE WANTED TO MAKE SURE THAT WE KIND OF SPLIT THAT UP. BUT IN TERMS OF RESTAURANT HABITABILITY, YOU HAVE TO HAVE COOLERS AT WORK.

YOU HAVE TO HAVE OVENS THAT WORK. YOU HAVE TO HAVE FLOORS THAT ARE SAFE THAT DON'T LEAK TO OTHER FLOORS. AND SO WE, THAT'S HOW WE CAME UP WITH A RESTAURANT HABITABILITY, AND THEN THERE'S SOME COLLATERAL THINGS. YOU OPEN UP A WALL. YOU GOTTA CLOSE THE WALL. YOU GOTTA PAINT IT. YOU GOTTA PLASTER IT. WE DID INCLUDE THOSE THINGS IN OUR REQUEST, AND THERE ARE SOME VALUE OUT OF THINGS AND YOU CAN SEE THAT THERE WAS SOME EAST SIDE WEST SIDE WORK THAT WE DID. THERE WAS PAINTING AND REPAIR. WE TOOK THAT OUT. WE SAID THAT'S VALUE ADD THAT'S NOT SOMETHING THAT WE FELT WE WOULD HAVE DONE THAT ANYWAY. AND SO THAT THAT LIST TO ABOUT 327,000. SO THAT'S KIND OF HOW WE DID. WE DID THE BUCKETS OF HOW TO BUILD AND HOW WE SPLIT IT UP BETWEEN WHAT WE FELT AGAIN BECAUSE WE DIDN'T HAVE AN AGREEMENT WITH DAVID ON ON HOW WE'RE GOING TO SPLIT THINGS, BUT WE CAME UP WITH OUR OWN PROPOSAL. AND SO THAT'S HOW HOW WE CAME TO THESE NUMBERS, BUT THAT'S THE TOTAL AMOUNT THAT HAS BEEN PUT INTO THE RESTAURANT AND THAT'S HOW WE SPLIT IT UP BETWEEN OURSELVES IN THE CITY AT LEAST THE REQUEST AND THEN HOW WE SPLIT UP BETWEEN HABITABILITY COLLATERAL AND VALUE ADDED OKAY, LET'S KEEP THOSE YOUR PRESENTATION. SO THIS IS SO THE ORANGES, THE CONCRETE PAIR AND THE BLUE IS THE DECK REPAIR. UM, IF YOU IF I CAN JUST POINT REAL QUICKLY THIS IS THE SECOND STATION. THE ONLY THING THAT'S NEW THE REST OF THE JAPANESE.

PICTURES. THAT'S GONNA BE IMPORTANT TO MAKE SURE THAT MANAGEMENT SPEAK, PLEASE. SO THIS IS THE SUMMARY OF THE BUILDING INVESTMENT HABITABILITY STRUCTURE, WHICH WAS $265,000, AND WE HAVEN'T LISTED HERE. CONCRETE REPAIRING PLACE KITCHEN FLOORS, DECKING MATERIAL COMPOSITE MATERIALS FOR FLAMING YOU. YOU CAN. YOU CAN READ THIS AND YOU CAN HAVE THIS IF YOU LOOK AT THE NEXT PAGE, PLEASE. THIS IS WHAT WE FOUND. SO LET ME I'VE CIRCLED. WE CIRCLED THE

[00:55:03]

ALL THE REBAR THAT WAS PUT IN PLACE AGAIN IF I COULD POINT TO THE COMMISSION YES. TAKE YOUR TIME. SO THIS IS THIS IS A STORY. THE EXTENSION CAN BE PUT INTO THE POINT THAT WOULD CONNECT TO THE OTHER CEMENT. SO AGAIN. THIS IS THE FOURTH COMPLETELY SAFE, NOT JUST FOR NOW. BUT FOR 40 YEARS FROM AND AGAIN, THAT'S THAT'S WHAT THE PERMITTING THAT WE WERE DOING WAS REQUIRING, SO WE WERE COMPLYING WITH THE PERMIT. AND THEN YOU CAN SEE ON THE BOTTOM.

WE KIND OF SHOWED YOU HOW THE FLOOR LOOKS NOW. OH, THANKS SO MUCH. I CAN TAKE YOU OFF THE PAYROLL NOW. OH, SORRY. THAT'S THE POINTER. SORRY. EXCELLENT. HERE'S HERE'S THE ENTIRE PLEASE CHIME IN. SO HERE ARE THE THINGS THAT WE FOUND IN TERMS OF SOME OF THE KITCHEN WALLS AND FLOORS SO YOU CAN SEE HERE. THAT'S PIPING THAT'S COVERED WITH DUCT TAPE. THAT'S AN EXPOSED WALL.

THERE'S FOOD AND OTHER THINGS ARE STORED IN THIS IS TILES THAT CAME UP AS THE PEOPLE WERE WALKING HERE IN THE RESTAURANT AFTER WE AFTER WE FOUND IT. AND THEN THESE ARE HOLES IN WALLS.

YOU CANNOT HAVE HOLES IN WALLS AND RESTAURANTS. YOU HAVE TO HAVE F L P. YOU HAVE TO MAKE SURE THAT HOLES HOLES IN WALLS. LOTS OF BAD THINGS HAPPEN WHEN YOU OPPOSING WALLS IN RESTAURANTS, AND SO ALL THOSE THINGS HAD TO BE CORRECTED. HERE'S WHAT WE HAVE TODAY. THIS IS THE DECKING. SO THIS IS THE DECKING. ALL WE DID WAS JUST TAKE OFF THE TOP. AND YOU CAN SEE ALL THE STRINGERS. WE'RE FALLING APART. THIS IS LITERALLY DEREK STANDING ON THE STRINGERS , AND YOU CAN SEE THERE'S NO BRACKETS THERE. THEY WERE JUST SIMPLY NAILED INTO THE BEAM.

THAT'S NOT HOW CODES SUPPOSED TO BE SUPPOSED TO PUT A BRACKET AROUND IT AND THEN NAIL IT IN.

AND YOU CAN SEE THIS IS ALL OVER. SO WHAT WE DID WAS PUT IN NEW STRINGERS. ALL ALONG THE DECKING ALL ALONG THE SIDE TO MAKE SURE THAT WAS ALL CORRECTED. AND YOU CAN SEE THIS IS THIS IS KIND OF WHAT WE'RE DOING. SO NOW THIS IS THIS IS WHAT'S UNDERNEATH THE FLOORING THAT THE COMMUNITY IS WALKING ON TODAY. HERE IS ALONG THE WATER, AND THEN HERE IS KIND OF FROM ME FROM. I THINK IT'S THE EAST SIDE DIRT. DECIDE WHAT LOOKING OUT. AGAIN ALL STRINGERS REPLACED, OFFLOADING PUT IN PLACE AND ALL USING THE RIGHT MATERIALS. AND THEN IT'S JUST ONE MORE VIEW AS IT'S GETTING CLOSED OUT STYLES. P WAS HEAVILY INVOLVED. WHEN MR RIGHT UP TO THE MAXIMUM CAN HEAR YOU SORT OF STYLES. P WAS HEAVILY INVOLVED IN THE DIRECTION OF HOW TO CORRECT THE STRUCTURAL ISSUES. SO HE WAS PERSONALLY AT THE SITE TO PROVIDE THE DIRECTION WHAT MATERIALS THAT WE SHOULD USE TO CORRECTLY THIS SITUATION. UM SO WE HAD TO REPLACE THE ENTIRE DECKING BECAUSE, AS JIM SAID, ONCE WE REMOVE THE FLOOR, HALF OF THE DECK COLLAPSED INTO THE WATER STRINGERS EVERYTHING SO THANK GOD YOU KNOW, HELD TOGETHER AS LONG AS IT DID, AND NOBODY GOT HURT. SO IT'S NOW IT'S PERFECTLY SAFE. WE HAD TO REPLACE THE WHOLE THING. AGAIN YOU KNOW, WE WANT TO THANK STYLES P BECAUSE HE WAS WORKING WITH US. UM, ON THE DETAILS OF THIS AND, UM, YOU KNOW, HE HELPED BABE. YOU MAKE SURE THAT WE WERE DOING THIS PROPERLY AS YOU EXPECT. YOU EXPECT. SO HERE'S BUILDING HAVE HERE'S BUILDING HABITABILITY. THIS IS THE NDP MECHANIC, ELECTRICAL PLUMBING. AND AGAIN, YOU CAN SEE IT'S YOU KNOW, ELECTRICAL CLEANUP PLUMBING CLEAN UP A C UNITS, INITIAL CLEANUP OF ELECTRICAL THERE WAS A LOT OF ABANDONED ELECTRICAL AND PLUMBING AND PIPING AND HTC AND SEWAGE, AND SO ALL OF THOSE THINGS HAD TO BE CORRECTED. AND SO HERE'S HERE'S SOME EXAMPLES OF THAT SO AGAIN THAT THAT'S ANOTHER DUCT TAPE PIPE. AND THIS IS UNDERNEATH THE BUILDING THAT WAS LEAKING ON THE FLOOR. UH YOU CAN SEE HERE THESE BRACKETS WERE RUSTED OUT. HERE HERE AND HERE. YOU CAN SEE THE CORROSION AROUND THE PIPES HERE AND AGAIN. HERE'S AN OPEN WALL WITH CORROSION UNDERNEATH IT. UH THIS WAS ONE OF OUR FAVORITES. WHEN WE TOOK THE WALL DOWN. THIS WAS THE LIGHTING PANEL UNDERNEATH THAT.

ONE OF OUR FAVORITES. THIS IS A ELECTRICAL FAN THAT IS CONNECTED TO UPSTAIRS WITH AN EXTENSION CORD. AND THEN THE SYSTEM, ABANDONED WIRING AND LIGHTING. THIS BOX WAS COVERED COVERED BOX AND WHEN WE OPEN UP THE BOX IS WHAT WE FOUND. UM THIS IS AN ABANDONED H V, A C UNIT THAT WAS COVERED WITH BRUSH. ONCE WE UNCOVER THE BRUSH, THEN WE SAW THAT THIS WAS OPEN OPEN PORTIONS OF THE BUILDING ONCE WE ONCE WE TOOK OUT THE BRUSH, THIS WAS A WATER HEATER. THAT AGAIN WASN'T KEEPING TEMPERATURE WE PUT INTO NEW WATER HEATERS, AND HERE'S SOME EXPOSED WIRING AND PLUMBING

[01:00:01]

THERE WAS NO FIRE ALARM SYSTEM IN THE LOWER LEVEL. AND SO IT'S DIFFICULT TO FIX OR REPLACE ANYTHING. WHEN IT DOESN'T EXIST. WE PUT THEM ALL IN THE AND NOW NOW IT'S UP AND WORKING AND FIND HERE'S THIS IS SOMEHOW THIS IS SOME SAFETY FINDINGS. YEAH THAT AGAIN. NOTHING THERE. THIS IS MORE RESTAURANT ABILITY. MECHANICAL ELECTRICAL PLUMBING, PLUMBING CLEAN UP IN ORDER TO HAVE A RESTAURANT. THE WALK IN COOLER IN THE KITCHEN AGAIN. SO THIS IS THIS IS OBVIOUSLY A VERY CORRODED DOOR DOESN'T HOLD TEMPERATURE NOT SAFE. YOU COULD SEE THAT BROKEN AREA THERE. AS YOU CAN IMAGINE. YOU DON'T WANT BROKEN AREAS WHERE FOOD AND BEVERAGES ARE KEPT. YOU WANT TO MAKE SURE THOSE ARE ALL SEALED. AND SO HERE'S THREE PICTURES OF THAT. AND THEN HERE'S HOW IT LOOKS TODAY. UH THIS CEILING HERE WAS I CAN'T SEE ANYBODY WAS WEIGHTY OR WARPED. YES SO THIS WAS ACTUALLY THE MAIN COLOR UPSTAIRS AND IT ACTUALLY WASN'T A COOLER. SO THERE WAS A MAKESHIFT CALLER, THE F R P WAS PUT ON THE WALL, SO THE CEILING WAS COLLAPSING. CONDENSATION FROM THE HEAT ABOVE THAT CEILING WAS COMING THROUGH MAKING OVER. YOU CAN SEE WHERE THEY TRIED TO SUPPORT IT AT THE TOP, SO WE REMOVED EVERYTHING AND PUT ACTUAL APPROVED CORE IN IT. AND YOU CAN SEE THIS IS WHAT THE COOLER LOOKS LIKE TODAY. UH SAME SAME STORY. SO HERE IS THE COOLER REMEDIATION. SO YOU CAN OKAY? UH, HERE IS THE KEEP GOING. OKAY SO THIS IS SOME OF THE WORK THAT WE COMPLETED AND FIXED. SAME HERE WITH THE KITCHEN. HERE'S WHAT THE KITCHEN LOOKED LIKE ABOVE. AND HERE'S WHAT IT LOOKS LIKE TODAY. I THINK THAT'S IT. SO THAT'S THAT'S THAT'S HOPEFULLY HELPS THE COMMISSION GET A BETTER UNDERSTANDING WITH SOME KIND OF NUMBERS AND WORDS AND MUSIC TO KIND OF WHAT WE FOUND IN QUESTION. ANY QUESTIONS? COMPARING YOU WANT TO GO FIRST. GO AHEAD IF WE WANT TO GO AND LINEAR FASHION. CAN YOU GO AHEAD AND THEN? SO UM. THERE'S NO DOUBT YOU GUYS PUT A BUNCH OF WORK AND MONEY INTO THE PLACE AND, YOU KNOW THE THING THAT I THINK THERE'S ALWAYS CLEAR WHEN YOU ENTER INTO THESE KINDS OF LEASES. PAUL, YOU MADE THE DISTINCTION BETWEEN YOU KNOW, COMMERCIAL AND RESIDENTIAL HERE.

IT'S YOU KNOW, IT SAYS RIGHT HERE AT THE VERY TOP, YOU KNOW, ABSOLUTE TRIPLE NET LEASE. AND YOU KNOW? WHEN YOU INHERIT IT, YOU INHERITED UM SOME OF THE STRUCTURAL ITEMS, YOU KNOW, I THINK IF THEY'VE PUT US IN A POSITION OF YOU KNOW, PARTICIPATION, THEN YOU KNOW WE SHOULD CONSIDER THAT UM. I THINK WE'RE ALL STILL JUST KIND OF SHOOTING BLIND HERE UNTIL WE HAVE PETE. GO BACK OUT AND THEN SAY, YOU KNOW, HERE'S THE COSTS THAT ARE ASSOCIATED WITH WHAT I SAW. AND SO I'D LIKE TO, YOU KNOW, I'D LIKE TO MAKE A MOTION TO HAVE PEOPLE LOOK AT WHAT THEY HAVE, YOU KNOW, IN COSTS AND RECEIPTS AND WHAT THEY'VE USED DONE AND PICTURES AND PROVIDE US WITH A SUMMARY OF EXPENSES THAT HE FEELS WERE ASSOCIATED WITH HIS SCOPE OF WORK ON THAT MOTION, JUST TILL WE CATEGORY. LEAVE IT THERE FOR EVERYBODY TO KNOW WHAT I LIKE TO HEAR FROM EVERYBODY, AND I HAVE A FEW COMMENTS AS WELL. I'M GONNA GO LAST SO, GENTLEMEN, WHAT DID YOU DO BEFORE YOU BOUGHT THE RESTAURANT? SO I WAS AN EXECUTIVE DIRECTOR. RICHARD BOWL. WHAT EXECUTIVE DIRECTOR WHICH FALL I RAN TO IN THE RESTAURANTS. OKAY SO YOU SO YOU THEORETIC ATION IS WHAT? SO I HAVE SOME SORT OF IDEAS. ADMINISTRATION SIR. WHAT'S MY EDUCATION? WHAT WHAT? WHAT? WHAT DID YOU DO BEFORE YOU BOUGHT THE RESTAURANT? I'M STILL DOING IT AND I RUN SOFTWARE. YOUR RUN SOFTWARE COMPANIES GREW UP. UM WITH FOLKS WHO WORKED IN BARS, AND I WORKED IN BARS UNTIL I WAS PROBABLY MY MID TWENTIES. BUT YOU YOU ARE A BUSINESSMAN. YES OKAY. DID YOU READ THE LEASE? YES, SIR. SO YOU SAW WHERE EVERYTHING SAID NET NET NET LEASE. THAT THE CITY WAS NOT RESPONSIBLE FOR ANYTHING. OKAY? STYLES PETERS NOW YOUR CONTRACT

[01:05:03]

CONTRACTING STYLE, PETE WHEN WE IDENTIFIED THE STRUCTURAL ISSUES , RIGHT CAME OUT TO ASSESS THE SITUATION PROVIDES DIRECTION ON HOW TO MEDIATE. BUT THEN THEY WERE THERE ONCE OR TWICE AND MULTIPLE TIMES THAT PROVIDE DIRECTION AS WELL AS VALIDATE THAT THE WORK WAS BEING COMPLETED CORRECTLY, SO THEY ARE THEY'RE THE CITIES. I THINK AS A CITIES BEING BUILT FOR THEIR SERVICES, WHO IS BEING BUILT FOR THEIR SERVICES NOW? MIKE. EAT TO THAT. AND SO YOU GUYS ARE NOT PAYING A PENALTY TO SALES PEAK. WE SHOULD WANT TO CONFIRM THAT DEBUTS NOT PAYING STYLE SPEED BECAUSE BAYVIEW MAYBE PAYING STYLES, PETE? I DON'T THINK THEY'RE NOT SO OKAY. SO. UM YOU KNOW, THAT'S REALLY ALL MY QUESTIONS FOR THE FOR THEM. THANK YOU HAVE ANYTHING? UM I DISAGREE. I THINK IT WAS VERY UNSAFE. AND YOU PUT A LOT OF MONEY IN IT. UM DID YOU KNOW YOU THE MONEY TO TEAR IT DOWN? FIX IT AND THEN BUILD IT BACK UP AGAIN. AND I BELIEVE THAT WE SHOULD BE VERY FAIR ABOUT THIS AND YOU WILL BE RUNNING THAT BUILDING FOR THE NEXT 40 YEARS, AND IT SHOULD BE A SAFE BUILDING AND WHAT YOU'VE DONE IS WONDERFUL. IT'S GREAT, SO I BELIEVE THAT WE OWE YOU $700,000 AND IT NEEDS TO BE PAID. PROMOTION OR DISCUSSION STARTED GOING TO GO BEFORE WE HAVE ANY EMOTIONS AND DO YOU HAVE ANYTHING? IS IT YOUR OPINION THAT I'VE SAID ENOUGH? NO I MEAN, I HAVE SOME OF THE SAME QUESTION AS MR CAMPENNI. WHAT WOULD IT COST TO DO WHAT STYLES SPEED HAD IN THEIR INITIAL THING ? I'M HEARING THAT THERE ARE OTHER THINGS AND I'M NOT SURE WE HAVE NEVER. WE'VE NEVER HAD MR DAVIS HERE. WE'RE NOT IN A TRIAL, AND WE'RE JUST TRYING TO BE FEAR, LIKE MISS BRUNO IS SAYING AND, UM. I JUST LIKE TO HEAR WHAT PEOPLE HAVE TO SAY. AND I HOPE THAT WE NEVER GET INTO THIS AGAIN. IT'S RIGHT HERE . IT'S OUR PROPERTY AND WE ARE. THEY'RE DOING A GOOD JOB WITH THE BUSINESS THAT THEY HAVE THERE HAVE BEEN THERE SEVERAL TIMES AT THEIR INVITATION TO LOOK AT WHAT THEY'VE DONE AS WELL AS JUST GO THERE AS A REGULAR CITIZEN PARTICIPATED IN THE RESTAURANT. AND I. YOU KNOW , I DON'T WANT TO PUT ANYBODY ON THE ON THE LINE. WE'RE PAST THOSE DAYS WHERE WE FLAY PEOPLE AND DO ALL KINDS OF STUFF WITH THEM. MAYBE I DON'T KNOW. UM, BUT I JUST THINK THAT WE, UM WE JUST NEED TO BE FAIR AND CONSIDERATE AND REMEMBER THAT THIS BUILDING IS RIGHT ON THE RIVER. IT'S A VULNERABLE BUILDING. IT'S BEEN VULNERABLE FOR MANY YEARS. THESE GUYS SAW THE PROBLEM AND THEY DECIDED TO BE BIG AND DO SOMETHING AND SPEND LOTS AND LOTS OF MONEY ON IT. AND IT'S UNFORTUNATE THAT IT'S TAKEN SO LONG TO COME BACK TO US. OUR CITY MANAGER IS NOT HERE ANYMORE. YOU KNOW, WE'RE WE HAVE TO DEAL WITH IT AND I JUST AGAIN. I JUST WANT US TO BE FEAR AND WHATEVER WE DO IF WE DECIDED TONIGHT, AND WE HAVE OUR BUDGET HEARING RIGHT NOW, BUT IF WE DECIDED TONIGHT OR IF WE DECIDE TO GIVE MIKE INSTRUCTIONS, REMEMBER THIS BILL BUILDING WAS TO ME PRECARIOUS AND I WISH WHEN THE STYLES BEAT REPORT CAME OUT THAT MR DIAZ CAME TO US FROM MR LEGGETT CAME TO US OR WHOEVER ARE BUILDING PROPERTY RISK PERSON IS WHAT COME TO US, OR WERE ASKED THAT QUESTION OURSELVES. WE DIDN'T I'M GONNA SHUT UP. ANYWAYS SURE, COLLINS WOULD JUST YOU KNOW, IT'S EASY TO NOT BE FISCALLY RESPONSIBLE HERE BECAUSE YOU'VE DONE A REALLY GOOD JOB OF MAKING THIS RESTAURANT. AMAZING YOU'VE REALLY EXPANDED THE SCOPE OF WHAT THIS RESTAURANT EVER WAS BASICALLY BUILT A HOST RESTAURANT DOWNSTAIRS AS WELL.

WHAT WAS THERE BEFORE? NOTHING LIKE I MEAN, THAT'S THAT'S WHY THERE WAS PIPE STRIPPING SEWAGE BECAUSE IT WAS NEVER REALLY INTENDED TO BE WHAT IT IS NOW. YEAH, IT'S BEEN A LOT OF DIFFERENT THINGS, BUT NEVER LIKE WHAT YOU GUYS HAVE DONE. BUT TO ALL OF US UP HERE AGAIN, THIS IS NOT OUR MONEY, RIGHT? IT'S ONE THING WHEN IT'S YOU KNOW IF WE WERE IN PRIVATE, REALLY RELATIONSHIP WITH YOU, AND, UM WE? WE WANTED TO TAKE REALLY GOOD CARE OF YOU. BUT THIS IS

[01:10:01]

MOVING OUT OF AT LEAST THAT. WHEN YOU WALK THROUGH THAT BUILDING, RIGHT? WHEN GEORGE TRANSFER THAT OVER TO YOU SAW THAT THE STATE OF THAT BUILDING WAS IN CORRECT. THERE'S A LOT OF THINGS THAT WERE COMING OUT IDENTIFIED. YOU DIDN'T WALK THROUGH THIS BUILDING. YOU DIDN'T WALK THROUGH THAT KITCHEN. YOU DIDN'T SEE THOSE TILES. YOU CAN SEE THE HOLES IN THE WALL. YOU DIDN'T SEE THE ELECTRICAL PLUMBING WITH DUCT TAPE AND ALL THE WATER. YOU DON'T SEE ANY OF THIS STUFF WHEN YOU WALK THROUGH THERE. NOTHING. NOTHING. I MEAN, SOMEONE WAS BEHIND WALLS AROUND. BUT SOME OF THOSE WALLS WERE ABANDONED FOR SURE THERE'S THINGS YOU HAVE TO TAKE APART TO SEE. BUT YOU KNEW THE STATE OF THE BUILDING THAT YOU WERE TAKING ON AND YOU KNEW THE TYPE OF INVESTMENT THAT THIS WAS GOING TO TAKE TO GET THIS RESTAURANT TO WHAT YOU FELT LIKE WAS THE KIND OF RESTAURANT YOU WHICH IS ADMIRABLE. IT'S BEAUTIFUL. BUT THAT WAS YOU GUYS . PART OF THIS THAT BELONGS TO THE CITY IS MAKING SURE THAT THIS DOESN'T FALL INTO THE RIVER. WHICH IS THAT STRUCTURAL SET OR BURNED TO THE GROUND. FAIR ENOUGH SEWAGE INTO THE WE'RE HAVING A FIRE SAFETY ISSUE WHERE SOMEONE GETS HURT. I MULLIGAN'S RAN A RESTAURANT THERE, CORRECT. MULLIGANS ARE IN A RESTAURANT, RIGHT? SO. BUT THAT ALL GET RICH. SO MY LAST OR ARE YOU GOING TO BE LAST MR MAYOR? THE LAST PLEASURES ARE BEING MADE CHAIR IN THIS INSTANCE. MR SORRY. WELL, I FULLY INTEND TO SECOND MR SHRUBS MOTION BECAUSE WE NEED TO DEVELOP MORE SPECIFIC INFORMATION HERE. UH UH, WELL MADE POINT HAS JUST BEEN OTHER THAN THAT IS THE FACT THAT. THE LESS HE DID NOT PERFORM ANY INSPECTIONS. AND HE ADMITS THAT AND THAT JUST DIDN'T I DIDN'T ADMIT THAT WE MADE NO INSPECTIONS. THESE QUESTIONS. I WOULD NOT HAVE UNCOVERED THE THINGS THAT THAT WE SHARED WITH YOU JUST RIGHT. EXCEPT MANY OF THE PICTURES YOU SHOWED US, WHICH IS VISIBLE TO THE NAKED EYE. THEY DID NOT REQUIRE A WALL TO BE TURNED UP, OKAY? UM, QUESTION NO. I'D ALSO LIKE TO KNOW THE DATE. ALL THE LAST SAFETY INSPECTIONS, AND I WOULD ASK THE CITY MANAGER TO GET US THOSE BECAUSE THE ASSERTION HAS BEEN MADE THAT THE SAFETY EQUIPMENT WAS NONFUNCTIONAL. OR NON EXISTENT. SO THAT WOULD BE GOOD TO KNOW FOR SURE. ALSO I HAVE I GOT THIS FROM THE FINANCE DEPARTMENT AT TWO PAGE LIST OF ALL THE APPLIANCES. WE OWN ONE OF THEM JUST AS WHAT IS IT THE SIX BY SIX? IT'S PRETTY EXTENSIVE. THIS IS EXPENSIVE EQUIPMENT. I GUESS IT COULD HAVE BEEN SALVAGED. I DON'T KNOW, BUT THERE'S BEEN NO ACCOUNTING. THE SIX BY 6 FT. WALK IN FREEZER THAT THE CITY OWNED AND IS NOW GONE. THAT GOES FOR $15,000. SO I'D LIKE SOME SORT OF ACCOUNTING THERE. THE ONE WITH THE CEILING COLLAPSING. WELL, I DON'T KNOW THE VALUE OF THE COLLAPSE, HEALING. OKAY? UM. AND WE'RE YOU KNOW, WE'RE MOVING ALONG THE CRACK LINES HERE AND TRYING TO DEVELOP MORE SPECIFIC INFORMATION, MORE SPECIFIC NUMBERS SO WE CAN AND I'M GLAD TO HEAR AND I'M GLAD TO HEAR THAT. YOU HAD VARIOUS TIMES BECAUSE HE WAS , YOU KNOW, QUITE SPECIFIC IN

[01:15:01]

THAT'S GOING TO ALLOW US TO MAKE A SENSIBLE DECISION. THANK YOU, MR MAYOR. OKAY, WELL, MY TURN SO A COUPLE OF THINGS ONE IS WE DO HAVE A 40 YEAR RELATIONSHIP AND I WENT INTO MY EYES OPEN, TRYING TO FIND THE TRYING TO FIND THE BEST POSSIBLE OUTCOME FOR BOTH. YOU AND THE CITY. AND DURING OUR CONVERSATIONS, UM THERE WAS. ONE IS YOU ACKNOWLEDGE IT'S AND AS THIS CONTRACT, WHICH WE'VE TALKED ABOUT. UH AND WHEN I ASKED YOU IF YOU HAD HIRED A PROFESSIONAL INSPECTOR, AND YOU HAD SAID NO. SO BY NOT HIRING A PROFESSIONAL INSPECTION, PROFESSIONAL INSPECTOR MAY HAVE, I CAN TELL YOU SEEN A LOT OF INSPECTIONS OF PRIMARILY RESIDENTIAL PROPERTIES AND THEY COVER UNCOVER A LOT OF STUFF THAT YOU CAN'T SEE WITH THE NAKED EYE. AND MAYBE WHAT? SOME OF THE HABITABILITY AS YOU REFER TO IT WOULDN'T BE IN THIS BUT I DO THINK THAT WE, UH HAVE A RESPONSIBILITY REGARDING THE STRUCTURAL SIDE OF THINGS. AND. YOU KNOW, AND SO I SPOKE WITH MR MARTEL, UH, AND REGARDING MR DEISS CAME UP WITH NUMBERS AND YOU GUYS HAVE A SET OF NUMBERS AND I FOUND THAT I WAS LOOKING THROUGH THIS AND I WENT THROUGH YOUR ENTIRE PRESENTATION LIKE FOUR TIMES OVER THE WEEKEND. TRYING TO MAKE HEADS OR TAILS OF . TELL YOU WHAT I COME BACK TO IS IN YOUR OWN AND USING YOUR NUMBERS 434,000 NEXT YEAR. I THINK IT'S 4 33 995. UH, STRUCTURAL. ASSIGN ACTUAL STRUCTURAL STUFF. EVERYTHING ELSE IS HAVING ABILITY, YOUR PEST CONTROL OR SOMETHING LIKE THAT. I DO NOT WANT TO. YOU KNOW, I ACTUALLY WANT TO PUT A LOT OF FAITH IN WHAT MR MARTEL AND OUR PREVIOUS MANAGER HAD IT FAR AS WHAT THEIR RECOMMENDATION IS THE MOST I WOULD CONSIDER DOING IS 4 34 GO AHEAD AND PUT A NUMBER, BUT I DO. AS WE'RE LISTENING, I THINK DELIBERATING OR WE STILL PUNCHING. I'M JUST I'M KIND OF JUST PUTTING SOME STUFF OUT THERE AND I STAYED QUIET ALL EVENING, BUT I, BUT I THINK I DO. UH, AGREE WITH NICK FOR AS AND I GUESS, CAMPBELL AS WELL REGARDING HAVING WHAT SEEING WHAT STYLE, SAID SAYS.

BUT THERE'S JUST KIND OF THROWING OUT THERE WHERE I'M AT AND I DON'T THINK THAT THE ISSUES UM THOSE WOULD HAVE BEEN UNDERCOVER WITH AN INSPECTION AND SO ANYWAYS AND AGAIN, WE DID NOT TRANSFER THE LEAST OF THEM. THEY IT WAS TRANSFERRED FROM LOVE AGAIN. IF WE'RE FINISHED WITH THEM, THEY CAN SIT DOWN. I THINK IT'D BE BETTER THAN YOU GUYS KEEP IT DOWN. SO, UM QUESTIONS. YES. YEAH, AND SO I'M KIND OF SO THAT'S KIND OF WHERE I'M AT. I. I, YOU KNOW, I AGAIN I THINK THAT UH UM. MR MARTEL HAS WORKED HARD TO, UM TO DEAL WITH THE NUMBERS THAT HE HAS FROM MR DIAZ. BUT AT THE SAME TIME, I DO THINK THAT WERE SO BUT NICK, DID YOU WANT TO ADD SOMETHING WHEN WE LEAST THE ASHLEY TO MULLIGAN'S GEORGE HARD. TREVOR BULLDOZER GOOD MIDDLE OF THE ACTION. AT HIS EXPENSE AT HIS DIME. AN ABSOLUTE TRIPLE NET LEASE. ANY RENOVATIONS THAT HE WANTED TO DO, READ HIS EXPENSE. HIS COSTS EXACTLY WHEN I RENT, YOU KNOW WHEN WE RENTED A BUILDING DOWN IN THE KEYS TO PUT THEM OUT OF BEER COMPANY IN IT. WE PUT IT ON OF MONEY INTO IT. WE ENDED UP BUYING IT, YOU KNOW, LIKE YOU JUST MAKE CERTAIN INVESTMENTS.

IN YOUR SPACE AND WHEN ON ON COMMERCIAL TERMS LIKE YOUR RENTING THAT PROPERTY. AND. THIS IS THE LEAST RENEGOTIATION. SO. IF YOU'RE GONNA IF YOU'RE GONNA SPEAK, YOU NEED TO COME UP TO THE BECAUSE IF, UH IF GEORGE HAD DONE ALL THAT HIS OWN EXPENSE, AND I WOULD ASK THE QUESTION, WHY WAS THE EQUIPMENT IN THE WE'RE TALKING ABOUT A DIFFERENT LOCATION, TALKING ABOUT WATER FROM TALKINGUT A DIFFERENT LOCATION, SO MY POINT BEING THAT WE NEED TO UNDERSTAND THE TERMS OF THE MARKET IN THE TERMS OF THE MARKET ARE ENCAPSULATED IN THIS LEASE, RIGHT? NONE OF US ARE ENGINEERS. NONE OF US WENT OUT THERE AND INSPECTED IT. SO UNTIL WE HAVE AN ENGINEER THAT STANDS UP AND SAYS, LIKE, HEY, I WENT OUT THERE BEFORE THIS STARTED AND I WENT OUT THERE AFTER THIS STARTED AND I REVIEWED THESE PICTURES. I REVIEWED THESE COSTS. I WENT

[01:20:04]

ARE YOU SAYING THAT JUST THE CLIPS ON THE DECK OR THE WHOLE DECK EVERYTHING IN THAT LETTER, EVERYTHING THAT HE WROTE IN THAT LETTER LETTER SAID THAT THE DECK NEEDS REPLACED TRUSSES. DOES IT NEED REPLACED? DECKING TOO? YEAH BECAUSE THEY WERE REPLACING THE DECKING ANYWAY. WELL AND NOT FOR NOTHING. THEY WERE REPLACING IT WITH TEAK. SO YOU KNOW WE CAN PROBABLY EAT SOME OF THE UPGRADE WOULD LOVE TO MOVE ON FROM THIS AND BE DONE WITH IT. I JUST WANT SOME CLARITY. IF WE'RE GOING BACK FOR A THIRD, THIS IS MY FIRST MEETING HERE. I KNOW CHRIS NEXT, THEN BACK INTO, YOU KNOW, A LOT OF WHAT DICK SAYS, IS 100% CORRECT. I MEAN, NICK IS IN THE IS IN THE COMMERCIAL REAL ESTATE MARKET. I WAS A CPM. FOR 50 YEARS, I MANAGED PROPERTIES MUCH BIGGER THAN THIS. AND WHAT HE SAYS IS CORRECT. I ALSO SEE THAT WE DO NEED TO HONOR WHICH I WOULDN'T. IT HATES. I HATE TO SAY THIS, BUT I THINK WE NEED TO HONOR WHAT THE CITY MANAGER AT THE TIME SET AND AT SOME POINT WE NEED TO PUT THIS TO BED. THIS HAS BEEN GOING ON FOR MONTHS, SO I WOULD MAKE A MOTION. THAT WE ALLOCATE 300 WHATEVER WHATEVER IT WAS 304,000 MIKE. WHATEVER IT IS $303,000 AS THE CITY'S CONTRIBUTION TO THIS SECOND. THANK YOU, TOM. OKAY, SO WE HAVE A MOTION IN A SECOND, UM I WAS I WAS GOING TO MAKE A MOTION, UH, TO FEEL LIKE THERE'S NO REASON TO COME BACK A THIRD TIME AND KEEP KEEP THIS GOING, UM SO I HAVE YOUR NUMBER WAS 435,000. WELL WE HAVE EMOTIONAL SECOND THE NUMBER YOU ASKING HIM FOR A FRIENDLY AMENDMENT? YES. NO WE COULD MAKE YOUR MOTION IF IT FAILS. OKAY SO DO WE HAVE ANY OTHER DISCUSSION ON THAT MOTION ANY PUBLIC COMMENT? DID YOU CALL THE ROLL? I'M SORRY. JUST. I MEAN, THIS IS A DANGEROUS PRECEDENT HERE. NO AND. ENTER

[01:25:13]

I'D LIKE TO MAKE A MOTION YOUR TURN TIRE, PETE. TWO. REVIEW ALL OF THE APPLICANTS. PHOTOS, BUDGETS RECEIPTS DOCUMENTATION OF THE INSPECTIONS PERFORMED BY THE CITY OF THE PERMITS ISSUED BY THE CITY. AND TO DETERMINE TO PROVIDE THIS BOARD. WITHIN THE SCOPE OF THAT LETTER FROM STYLE, WITH AN ESTIMATE. WITH AN ENGINEERS ESTIMATE OF COST. ASSOCIATED WITH THE ITEMS IDENTIFIED IN THE PEAT LETTER. THE DATE ON THAT LETTER. 14 DECEMBER 22 14 DECEMBER 22 SECONDS SECOND THAT THE THAT THEY NEED TO BE ENGINEERS ESTIMATES AT THE TIME BECAUSE PRICES HAVE GONE UP SINCE THEN. NO PRICES THAT YEAH, I WOULD. I WOULD BASE IT ON. ACTUALS OKAY, OVERSEAS, HE RECEIPT HAS TO GO THROUGH THE WHATEVER. OKAY SO WE HAVE A MOTION AND WHO? I'M SORRY, CLARK SECONDED MR CAMPAIGN ANY PUBLIC COMMENT? AND WE SET A TIMELINE FOR WHEN THAT COMES BACK. WE DON'T KNOW. OR MR WE DON'T KNOW MR PETE SCHEDULE ASAP. NEXT YEAR. A OKAY, GENTLEMEN, I DO APOLOGIZE FOR THE DELAYS HERE. MCBRIDE. THIS IS JUST FOR THE STRUCTURE. RIGHT YES. THAT LETTER TO PAY FOR. NOT LIKE YOU KNOW THE REFRIGERATOR LIKE YOU KNOW IF YOU BOUGHT MY HOUSE AND EQUIPMENT JUST BUT THE STRUCTURE SOUNDS STRAIGHT, WHICH I AGREE. WE MADE THE SPOKE FOR US. WE MADE THE AGREEMENT, BUT THAT'S IT. WE'RE JUST GOING TO PAY FOR THAT. THANK YOU. THANK YOU, MARY TYLER ROSE. REMEMBER SHROVE CAMPENNI. REMEMBER COLLINS? YES MEMBER CLARK. VICE

[01:30:07]