* This transcript was created by voice-to-text technology. The transcript has not been edited for errors or omissions, it is for reference only and is not the official minutes of the meeting. OH, [00:00:02] KIDS ARE BROWNSVILLE, BUT I'M GONNA TRY TO SICK. SEE IF THEY'LL MEET ME HALFWAY WITH MY WIFE. OKAY. HELLO BOSS. HOW YOU GOING? PRETTY GOOD. MAYBE A, HEY, HOW'S, HOW ARE YOU? HOW ARE YOU? GOOD, GOOD. DON'T YOU JUST SIT HERE? SO, YEAH, THIS EITHER RIGHT HERE OR OVER THERE. WHATEVER YOU NEED. YEAH. CHECK MY, I CAN MOVE OVER. I'M SORRY. NO, RIGHT HERE. NICE. I CAN MOVE OVER. I SHOULD BE THE STUFF THAT YOU ALL SENT OUT, THE DOWNLOAD TABLET. I SHOULD NOT HAVE TO BE CONNECTED TO WIFI. DIDN'T HAVE THE PRESENTATION, BUT I DID HAVE LIKE A TITLE CARD. SHOULD I PUT IT ON FOR, FOR SOME REASON THAT HAS STOPPED, I HAD JOSH MAKE COPIES OF IS TO GET ON TO THE WIFI. SO IF I BRING IT TOMORROW, I CAN GIVE YOU WHAT? DID YOU SIT RIGHT THERE? OKAY. YEAH. I DON'T KNOW. I MEAN I, HE'S ALREADY MADE, OKAY. THIS ONE, THE PAPER HE WROTE. YEAH. IT MIGHT BE. I MEAN IT WAS, IT WAS WORKING FINE DAY. THE YEAR WAS MORE, YEAH, DAD'S THE PAPER AND PRETTY MUCH THE RULES HAVEN'T CHANGED. OKAY. I'LL TOMORROW. THANKS. NO, REALLY? I MEAN EVERYBODY STILL FOLLOWS THAT, THAT GUIDELINE. MM-HMM. I THINK HE UPDATES IT BUT'S PRETTY MUCH LIKE IF A, IF A, YEAH, IT CHANGES THE YEAR. IF A CITY LIKE ADDS A NEW 2% OR WHAT, THAT KIND OF THING. HE MIGHT. HOW IT GOING? YEAH, LIKE IF YOU GO TO STAY IN TAR COUNTY, LIKE YOU GO TO COWBOY'S GAME ON YOUR HOTEL, BUT IT'S NOT WORKING RECEIPT. YOU'LL SEE ENTERTAINMENT TAX AND IT'S TO FUND A COWBOY STADIUM. SO WE DON'T HAVE THAT COPIES IN CASE. OH, WE HAD ALREADY HAD THOSE. OH, YOU IN CASE ANYBODY NEEDS, OKAY, WELL LET'S JUST HANG ON THIS. YEAH, MAYBE SOMEBODY ELSE SHOWS UP. WHY DON'T YOU HAVE HI. JUST STANDING IN FOR MARK'S OFFICE. OH, OKAY. I THINK UM, 'CAUSE HE HAD . NICE TO MEET YOU. NICE TO MEET YOU. I THINK I'VE YOU AROUND HERE. I THINK I I'VE SEEN YOU. DID YOU GO TO ST. VINCENT? I, I FEEL LIKE I MET YOU MAYBE BACK IN THE DAY. I WAS QUITE, YEAH, 2007. YEAH. JUST DOUBLE. AND SOMETIMES MY COUSIN, YEAH. WELL NICE TO SEE HERE. I KNOW LIKE A COUPLE MONTHS AGO HE WAS LIKE, HEY, DON'T YOU WORK? HE'S LIKE, I NEED YOUR NAME. I WAS LIKE, OH, OKAY. AND THEN ALWAYS I'M LIKE, OH, OKAY. SO YOU GOT IT. LIKE THAT'S COOL. I LOVE, HE'S AWESOME. THAT'S YOU. AND SO YOU WITH MARK? YOU WORK WITH MARK? I WORK WITH HIM, YEAH. HERE AT THE, I SAW HIM LAST. ARE YOU GONNA TRY TO MAKE IT NATIONAL NIGHT'S TODAY? RIGHT HERE. I'LL TRY. SO I'M, I GUESS SHE'S NOT HERE. AND THEN WE'RE JUST DOING LIKE HIS PRESENTATION BY THE TEXAS HOTEL LODGING ASSOCIATION. AND I CAN GO THERE. NO, NO. I JUST REMEMBER YOU. I DON'T KNOW. YEAH, I WENT TO SCHOOL HERE, SAID IN MY MOM, HE ENGINEER. SEE I'VE ALWAYS LIVED AT HAR SO IT'S SO FUNNY. I WOULD LIKE GO TO VILLE, LIKE HANG OUT WITH EVERYBODY AND LIKE CONCENTRATION SO FUNNY. I'M LIKE HOW DOES 20 MINUTES MAKE SUCH A DIFFERENCE? RECOMMENDATION MY WIFE FOR SOME 20 MILLION. HE DIDN'T GET BE ABLE TO MADE A NEW SUPERINTENDENT. YES. HE WANTS TO LIKE BE PARTNERSHIP WITH THE CITY. SEE LIKE HOW, BECAUSE IT WAS JUST A TITLE TO, IF I TALK TO THEM, MAYBE THERE'S SOMETHING THAT I CAN DO AND STUFF LIKE THAT. SO GET GO GET THESE SPEAKER THIS. ABSOLUTELY. HE WANTS TO GET PAID FOR IT. OR I'M ASSUMING LIKE ONLY, I'M ASSUMING NOT LIKE, LIKE WE HIRE HIM AS A CONSULTANT OR ANYTHING, BUT I'M ASSUMING LIKE HE WOULD THE GRANT OR LIKE, 'CAUSE WHAT ELSE DID HE HAPPY TO DO? THANK YOU AGAIN FOR TAKING CARE OF THAT. YEAH, PERSIST. WE JUST GOTTA PUT A CAMERA AROUND TO TALK TO SOMEBODY. HIS NAME IS SECOND. HE SAYS HE'S EMAILED YOU BEFORE. YEAH, IT IS MOVED TO A NEW LOCATION WITH, I JUST WISH THERE WAS SOMETHING BETTER WE COULD DO FOR APARTMENT COMPLEXES. IT'S LIKE THAT ONE THERE ON MORGAN, HE HAS THE STACK, RIGHT? THERE'S FIRST THING PEOPLE SEE COMING FROM THE AIRPORT, COMING TO PRISON. HE MORE AN OPERATIONS CO BECAUSE ON ONE AUTOPSY, [00:05:01] LIKE ONE OF THOSE KIND OF THINGS. SO, AND, AND I TOLD HIM, THAT'S NOT REALLY MY, BECAUSE THAT AREA OUT THERE, I CAN ASK TO SEE IF THEY CAN CAMERA FOR A WHILE AND STUFF LIKE THAT. MAYBE THERE LIKE, OH YEAH, WE GET BASICALLY CAN SEE THAT IF HE CAN HELP THE CITY. THINK THEY HAVE LITTLE, OH MAYBE WE DON'T HAVE A, JUST WANTS TO TALK TO HER RIGHT HERE, SIR. OR MR. HERE. I DON'T KNOW EXACTLY. OKAY. HE'S, HE'S TRYING TO GO FOR ALL THESE LIKE HE'S BRAND WORKING ON MONEY. $700,000. HE'S WORKING WITH THAT HEALTHY. KEEP IT A LITTLE CHILLY IN HERE, HUH? YEAH. KEEP EVERYONE ALERT. YEAH. HE'S WORKING WITH THEM RIGHT NOW TO SECURE SOME, BECAUSE I THINK HE'S TRYING TO BUILD UP HIS PORTFOLIO. LIKE TRYING TO SHOW, HEY, I CAN DO THIS. SO WHAT IS WORKING WITH THAT? YOU, THE CHAIRMAN, YOU SAID HE WORKS FOR UTRG? YEAH, HE WORKS FOR UTRG G. HE'S AIR FORCE VETERAN DAD, GRANDPA, GRANDFATHER. I MEAN THEY TAKE HIM OFF THE, HE ALSO HAS THIS LITTLE, THAT THE STORY ON THE SIDE THAT HE'S DOING. HE WORKS WITH THE, HE DOES ASSESSMENTS FOR UTRG, THE DEPARTMENT OF ENERGY. THEY CALL TO SEE, THEY CHARGE, THEY COME IN AND CHECK TO SEE LIKE MORE ENERGY. THAT'S WHAT START HELPING DO THAT. AND GETTING GRANTS. SPECIFICALLY THE DEPARTMENT OF ENERGY. 'CAUSE THAT'S WHERE, THAT'S HIS EXPERTISE. EXPERTISE HE WORKS WITH. THAT'S WHAT HE WORKS WITH IN THE AIR FORCE LIKE THAT. SO THAT'S HIS EXPERTISE. OKAY. I USUALLY IF YOU ANY, IF YOU WANT ANY MORE DETAILS. I DON'T HAVE . HE WAS, HE WAS, LIKE I SAID, HE'S MORE OF A AUSTIN, DALLAS. I MET HIM FOR EIGHT AND IT DOESN'T BOTHER ME. I MEAN I TOOK A LONG TIME JUST TO GET TO THE POINT I DON'T HAVE. AND THEN HE CAFFEINE, LIKE GOT AROUND TO YOU, WIRED UP ALL, ALL SOUTHWEST THE OTHER, THAT'S ACTUALLY GOOD FOR GRANT WRITERS BECAUSE YOU NEED TO BE ABLE TO GET TO THE POINT. EXACTLY. THAT'S WHY. AND I DIDN'T GO TO BICYCLE. WOW. I STARTED BACKTRACKING. THAT'S FUNNY. HE TRIED DOING THE SAME THING. IT THE SAME WHEN YOU WERE IN YOUR TWENTIES AND . THAT'S FOR, I WAS TALKING TO HER ABOUT THAT, BUT THEN SHE DIDN'T UNDERSTAND WHAT HE WAS SAYING. BUT HE SAID AT THAT TIME I WAS, I RAN INTO THIS GUY, BUT I'M FARTHER ALONG WHERE I WAS BEFORE AND EVERYTHING WAS ALREADY SET UP. I THINK, WELL THAT'S WHAT YOU GOT AFTER AN HOUR, 15 MINUTES . BUT WE BOTH AGREED LIKE, YEAH, YOU NEED SOMEBODY ELSE. I SAID, YEAH, SURE. AWAKE. YEAH. HOW ARE YOU SUGGESTING THAT MY GONNA PUT THEM ALL TO SLEEP AGAIN FROM ONE TO ANOTHER TO ANOTHER? IT'S ALL GOOD FREAKING FOOT. I MEAN, FOR LIKE 15 MINUTES, YOU KNOW, I GO TO A 3000 PEOPLE THAT HAS UH, 3000, 3000 PEOPLE CAN WHATEVER HE WANTS BACK TO SCHOOL. YEAH. THEY WERE RIGHT. TOO MANY PEOPLE ARE. I ALWAYS LIKE YOU. LITERALLY. I CAN'T GO HALF EXACTLY. SWEATY BAD. SO THAT'S, SO WE DID RESIDENCE AND NOW WE DID YOURS. THE NEXT ONE GOING IS TO, UH, COURTYARD. YEAH. AND THEN THOSE AT LEAST YOU SHOULD GO. THERE WAS A, THERE WAS A GUY [00:10:01] NEVER, NEVER, NEVER. MY LAST NAME WAS EZ. THEY WERE MECHANICS. I'M HAPPY THAT I USED TO CALL HIM. THE PARENTS WOULD HUNDRED DEGREES STANDING ON THE STREET. EXACTLY. THAT. THAT'S THE PROTECTION, RIGHT? COULD THAT YOU NEEDED A OR A CUTTING TOWARDS. EXACTLY. YEAH. I ASKED LIVE HOME 70 EVERYTHING FREE. I'M ON THE RUN TILL WEDNESDAY NONSTOP HERE TOMORROW. LIKE WE HAVE CITY MICHIGAN TOMORROW. SO TWO, HE TURNS THREE BEST ITEM WORK ON WILSON. OH, OKAY. LIKE, HEY, WHAT'S GOING ON THIS CASE? WHAT'S GOING ON IN THIS CASE? YEAH. LET YOU KNOW. GIMME A COUPLE DAYS TO LIKE, JUST SIT DOWN AND WORK AND TAKE MY KIDS AWAY FOR A WEEK. HOW IS VICTOR TOUGH OR NO? HE'S IN, IN, I KNOW HE TURNED HIS, I THINK I HAVE ON, YEAH. ON FACEBOOK. SO IT ACTUALLY SHOOK HIS HAND ONCE HE CAME UP TO ME DURING THE [00:18:17] 5:33 PM WE'LL CALL THIS MEETING TO ORDER. IT HAS BEEN DELETED, POSTED, UM, AS REQUIRED BY, BY STATE LAW. UM, WE WILL BEGIN, UH, WITH THE INVOCATION LED BY COMMISSIONER MIKE . YOU CAN ALL PLEASE RISE. NAME OF THE FATHER AND THE SON AND THE HOLY SPIRIT. DEAR GOD, ON THIS DAY THAT WE CELEBRATE THE TRANSFIGURATION ON THE HOLY MOUNTAIN, PLEASE GRANT US MERCY AND MERCY TO THE PEOPLE HERE. MERCY IN THE PEOPLE WHO LIVE IN THE CITY HERE. AND PLEASE LOOK AFTER THE ARMED FORCES, THE PRESIDENT, ALL CIVIL AUTHORITIES, THE SICK, THE SUFFERING, THOSE IN PRISON AND IN JAIL. THE TRAVELERS BY AIR, LAND, AND SEA, AND HAVE MERCY ON US ALL. IN THE NAME OF THE FATHER, SON, AND THE HOLY SPIRIT. AMEN. AMEN. AND THE PLEDGE. WHAT? ALLEG TO THE FLAG OF THE UNITED STATES OF AMERICA. AND FOR WHICH IT STANDS, ONE NATION UNDER GOD, INDIVISIBLE, WITH LIBERTY AND JUSTICE FOR ALL. AND I WANT TO THANK THE VISIT HARLINGEN FOR JOINING US AND PUTTING EVERYTHING TOGETHER AND OF COURSE THE CBB BOARD, UM, FOR JOINING US AS WELL. UM, IF WE CAN READ THE CONFLICT OF INTEREST UNDER STATE LAW, A CONFLICT OF INTEREST EXISTS IF A COMMISSION MEMBER OR CERTAIN MEMBERS OF THAT PERSON'S FAMILY HAS A QUALIFYING FINANCIAL INTEREST IN AN [00:20:01] AGENDA ITEM. MEMBERS WITH A CONFLICT OF INTEREST CANNOT PARTICIPATE IN THE DISCUSSION OR VOTE ON THE AGENDA ITEM. ARE THERE ANY KNOWN CONFLICTS OF INTEREST TO DISCLOSE AT THIS TIME? NO. NONE. NONE. NOPE. NONE. NONE. ALRIGHT, MOVING ON LINDA, PLEASE, CITIZEN COMMUNICATION AT THIS TIME, THE PUBLIC IS INVITED TO ADDRESS THE CITY COMMISSION AND SPEAK ON ANY MATTER NOT SPECIFICALLY LISTED FOR PUBLIC HEARING ELSEWHERE IN THIS AGENDA. PLEASE NOTE THAT THE CITY COMMISSION MEMBERS MAY NOT RESPOND TO COMMENTS OR DELIBERATE ON TOPICS ADDRESSED. MAYOR, WE HAD NO CITIZEN SIGN UP FOR CITIZEN COMMUNICATIONS TODAY. OKAY. OKAY. SO MOVING ON TO ITEM FOUR, PRESENTATION AND DISCUSSION BY SCOTT JOLO, PRESIDENT OF THE TEXAS HOTEL MOTEL LODGING ASSOCIATION ON THE USE OF HOTEL MOTEL TAX FUNDS. MS, THANK YOU SO MUCH FOR, FOR JOINING US AND FOR BEING HERE TO HOPEFULLY IN A VERY INFORMATIVE MEETING FOR BOTH, FOR BOTH THE COMMISSION AND THE BOARD. SO THE FLOOR IS YOURS. THANK YOU, MAYOR. IT'S AN HONOR TO BE HERE. I, UH, BACK IN 1989 WHEN I WORKED FOR THE TEXAS MUNICIPALLY, I WAS THEIR LEAD TAX ATTORNEY. AND I WROTE AN ARTICLE CALLED WHAT CITIES NEED TO KNOW TO ADMINISTER THE HOTEL TAX AND A COPY OF THAT UPDATED VERSION. IN FACT, I, I WROTE IN 1989, THE YEAR THAT CASSANDRA WAS BORN, , WHICH IS THERE. SO IT'S BEEN AROUND FOR A WHILE, AS HAVE I, AND WE UPDATE THAT ARTICLE EVERY TWO YEARS AFTER THE LEGISLATIVE SESSION TO TALK ABOUT WHAT ARE THE RULES FOR EXPENDING THE NINE CATEGORIES OF HOTEL TAX. WHAT'S THE TWO PART TEST? I'M GONNA TALK ABOUT THAT, UH, UH, THIS EVENING. AND FEEL FREE TO INTERRUPT WITH ANY QUESTIONS. I'D RATHER COVER WHAT YOU WANT ME TO COVER THAN THE ITEMS THAT MIGHT COME TO MY MIND. SO, UH, THE HOTEL TAX, WHEN YOU, MY BACKGROUND, I HAVE A MASTER'S IN CITY MANAGEMENT AND A LAW DEGREE. UM, AND I WORKED FOR, I WAS WORKED FOR THE, UH, TEXAS MUNICIPAL LEAGUE FOR FIVE YEARS, IS THEIR TAX ATTORNEY AND THEN THEIR LEAD ATTORNEY. AND THEN I WORKED AS CHIEF OF MUNICIPAL AFFAIRS FOR TWO TEXAS ATTORNEY GENERALS. AND THEN 24 YEARS AGO I WAS RECRUITED TO COME OVER TO THE HOTEL INDUSTRY. IN FACT, I REMEMBER WHEN THEY CALLED ME, I SAID, I DON'T REALLY NEED TO KNOW. I I DON'T REALLY HAVE ANY CONTACTS IN THE HOTEL INDUSTRY AND I'M, I'M NOT YOUR GUY. YOU DON'T WANNA HIRE ME. AND THEY SAID, SCOTT, WE KNOW HOW TO RUN OUR HOTELS. WE WANT SOMEONE WHO CAN ESTABLISH RELATIONSHIPS WITH THE CITY COUNCILS AND THE COUNTY COMMISSIONS AND THE LEGISLATURE BETWEEN THE HOTEL INDUSTRY AND ALL THOSE FOLKS. AND I SAID, WELL, THAT'S WHAT YOU WANT. THAT IS MY BACKGROUND. SO I'M HERE IN, IN THAT CAPACITY. IT'S A TREAT TO BE ABLE TO BE BACK WITH, YOU KNOW, MY TRAINING, UH, WITH CITY OFFICIALS. AND IN FACT, I THINK THE CITY MANAGER AND I HAVE KNOWN EACH OTHER FOR PROBABLY 30 YEARS, MAYBE A LONG TIME. A LONG TIME. YEAH. IS THAT WHEN CASSANDRA WAS BORN OR? YES. YES. BUT THERE'S NO RELATIONSHIP TO THAT. I GRADUATED FROM THE UNIVERSITY OF TEXAS BEFORE SHE WAS EVEN BORN . OH, I KNOW, I KNOW, I KNOW THAT WE ARE RICH IN EXPERIENCED. YES, RICH IN EXPERIENCED. SO, SO I'M GONNA TALK ABOUT THAT. THE, THE RULES OF THE HOTEL TAX. WHEN I USED TO DO CITY OFFICIAL TRAINING, I WOULD TALK ABOUT ALL THE DIFFERENT REVENUES THAT A CITY HAS AND I'D START OUT WITH THE PROPERTY TAX. AND WHAT ARE THE RULES FOR EXPENDING THE PROPERTY TAX BY A CITY COUNCIL? AND THAT WOULD BE FOR ANY PUBLIC PURPOSE. IT COULD BE FOR LAW ENFORCEMENT, IT COULD BE FOR TOURISM, IT COULD BE FOR A CONVENTION CENTER. IT COULD BE FOR STREETS AND ROADS, ANY PUBLIC PURPOSE. AND THE SAME THING FOR YOUR GENERAL SALES TAX. YOUR 1% CITY SALE SALES TAX, YOU COULD EXPEND IT FOR ANY PUBLIC PURPOSE. BUT THEN YOU HAVE TAXES THAT ARE, UH, DEDICATED TAXES. THAT'S LIKE YOUR SALES TAX FOR ECONOMIC DEVELOPMENT. I THINK YOU HAVE A FOUR B SALES TAX AND IT'S ONLY FOR THE PURPOSES THAT WERE ON THE BALLOT. OR IF YOU HAD A HOSPITAL DISTRICT SALE SALES TAX, YOU COULD ONLY SPEND IT FOR A HOSPITAL OR A CRIME CONTROL FOR CRIME PREVENTION. AND SO THE HOTEL TAX FALLS INTO THE DEDICATED TAX CATEGORY. YOU CAN ONLY EXPEND IT FOR THE PURPOSES THAT ARE SPECIFICALLY PROVIDED IN THAT LAW. SO IF YOU DON'T FIND IT UNDER THAT, UH, CHAPTER 3 51 OF THE TAX CODE, IT'S NOT, IT MAY BE A GREAT EXPENDITURE, BUT IT'S NOT SOMETHING THAT YOU CAN DO WITH HOTEL TAX. WHICH, IF I WERE TO LEAD BY EXAMPLE, THE MAYOR OF CLARENDON CALLED ME YEARS AGO WHEN I WAS CHIEF OF MUNICIPAL AFFAIRS FOR THE ATTORNEY GENERAL. AND HE SAID, SCOTT, I UNDERSTAND YOU'RE THE GURU ON HOTEL TAX. CAN YOU HELP ME TO UNDERSTAND IF WE CAN EXPEND HOTEL TAX ON, UH, RENOVATING OR REDOING OUR TENNIS COURTS IN CLARENDON? AND I SAID, WELL MAYOR, IT'S A TWO PART TEST. THE FIRST PART IS EVERY EXPENDITURE MUST DIRECTLY PROMOTE TOURISM AND THE HOTEL AND CONVENTION INDUSTRY, EVERY EXPENDITURE, NOT MOST OF THEM, [00:25:01] ALL OF THEM MUST HAVE A DIRECT IMPACT ON TOURISM AND HOTEL AND CONVENTION ACTIVITY. AND HE SAID, WELL SCOTT, I AM AHEAD OF YOU ALREADY. UM, I HAVE A PETITION FROM THE AREA HOTELIERS. THEY SAY THAT THERE'S A BUNCH OF REGIONAL TENNIS TOURNAMENTS AND THEY FILL UP THE HOTEL SO THEY'RE IN FAVOR OF US REDOING THE TENNIS COURTS WITH HOTEL TAX. AND I SAID, WELL, YOU HAVE THE DIRECT IMPACT TEST MET. THE SECOND PART IS YOU NEED TO FIT THE EXPENDITURE INTO ONE OF NINE STATUTORY CATEGORIES. NOW, AT THAT TIME, ACTUALLY THERE WERE ONLY FIVE STATUTORY CATEGORIES WHEN THEY ASKED. SO I SAID, LET'S GO OVER THOSE CATEGORIES, MAYOR, THE FIRST CATEGORY IS CONVENTION CENTERS OR VISITOR INFORMATION CENTERS. HE SAID, WELL SCOTT, WE COULD PUT OUT EXTRA CHAIRS AT THE TENNIS COURT. AND I SAID, THAT WOULDN'T MAKE IT YOUR CONVENTION CENTER . IT HAS TO BE PRIMARILY USED FOR CONVENTIONS. I SAID, THE SECOND CATEGORY IS REGISTRATION OF CONVENTION DELEGATES. AND HE SAID, WELL, IT WOULDN'T BE THAT SCOTT. AND, AND I SAID, MAYOR, THE THIRD CATEGORY IS ADVERTISING AND PROMOTION. HE SAID, WELL, WE COULD POST SIGNS ALONG THE FENCE. YOU SEE THAT IF SCHOOL DISTRICTS SOMETIMES WHERE THE FENCES HAVE DIFFERENT SIGNS OF BUSINESSES, WE COULD ADVERTISE DIFFERENT ASSETS OF THE COMMUNITY. I SAID, YOU COULD PROBABLY PAY FOR THE SIGNS, BUT NOT THE TENNIS COURTS. I SAID, CATEGORY NUMBER FOUR, PROMOTION OF THE ARTS. AND HE SAID, SCOTT, WE COULD PIPE IN MUSIC . AND I SAID, YOU MIGHT BE ABLE TO PAY FOR THE MUSIC BUT NOT FOR THE TENNIS COURTS. I SAID, LAST CATEGORY MAYOR, HISTORICAL RESTORATION AND PRESERVATION. AND HE SAID, SCOTT, IT'S A REALLY OLD TENNIS COURT . YOU KNOW, THE PROBLEM IS MAYOR, I EXPLAINED TO HIM, YOU'RE NOT PRESERVING IT. YOU'RE NOT RESTORING IT. YOU'RE PUTTING IN A BRAND NEW ASPHALT COURT THAT'S NOT HISTORIC RESTORATION AND PRESERVATION. THAT'S BASICALLY PUTTING IN A NEW TENNIS COURT. SO HE SAID, WELL SCOTT, WITH ALL DUE RESPECT, I'M GONNA ASK FOR AN AG OPINION. AND I SAID, WELL I WOULDN'T DO THAT. I WORKED AT THE ATTORNEY GENERAL'S OFFICE FOR FIVE YEARS AT THAT TIME. AND I SAID, THESE ARE PEOPLE, THE OPINIONS COMMITTEE THAT WOULD MAKE THE DECISION. 98% OF THE TIME THEY SAY WHAT? NO. AND 1.9% OF THE REST OF THE TIME THEY SAY, HECK TO THE NO . I MEAN THEY JUST DON'T EVER SAY YES. IT'S USUALLY A FACT-BASED QUESTION OR YOU DON'T HAVE THAT AUTHORITY UNDER THE STATUTES. SO THEY DIDN'T TAKE MY ADVICE. THEY ASKED FOR AN OPINION. AND ABOUT THREE MONTHS LATER, SURE ENOUGH, THE AGS OFFICE SAID THE CITY OF CLARENDON, EVEN THOUGH UH, DIDN'T MEET THE TWO PART TEST FOR EXPENDITURE, THE HOTEL TAX, EVEN THOUGH IT DIRECTLY PROMOTED TOURISM HOTEL ACTIVITY TO DO A TENNIS COURT, THERE WAS NO CATEGORY UNDER THE LAW THAT A TENNIS COURT WOULD FIT INTO. SO THAT KIND OF DEMONSTRATES YOU THE TWO PART TESTS. YOU NEED TO BOTH SHOW A DIRECT IMPACT ON TOURISM, WHICH IS BRINGING PEOPLE FROM ANOTHER CITY OR ANOTHER COUNTY INTO YOUR AREA. AND YOU HAVE TO HAVE A DIRECT IMPACT ON HOTEL ACTIVITY. NOW THAT COULD BE ACTIVITY FROM PEOPLE WHO ARE ALREADY HERE IN HARLINGEN, THEY'RE STAYING AT A HOTEL AND MAYBE THEY'RE GOING TO YOUR BIRDING FESTIVAL OR GOING TO YOUR ARTS MUSEUM OR YOUR HISTORICAL MUSEUM OR GOING TO OTHER ASSETS OF THE COMMUNITY. THEY'RE ALREADY HERE AND IT'S SOMETHING THAT THEY DO WHILE THEY'RE HERE. OR IT COULD BE THAT THEY'RE HERE JUST FOR THAT EVENT AND IT EXTENDS A ONE DAY STAY AND DO A TWO DAY STAY OR A THREE DAY STAY. SO YOU NEED TO DIRECTLY PROMOTE TOURISM, BRINGING PEOPLE FROM ANOTHER AREA AND THE HOTEL AND CONVENTION INDUSTRY. IF IT JUST SAID YOU NEED TO DIRECTLY PROMOTE TOURISM, IT'D BE ENOUGH JUST TO HAVE DAY TRAFFIC COME IN. BUT BECAUSE IT SAYS YOU NEED TO DIRECTLY PROMOTE TOURISM AND THE HOTEL AND CONVENTION INDUSTRY, IT MEANS YOU NEED TO BOTH BRING 'EM IN FROM ANOTHER AREA AND HAVE SOME IMPACT ON HOTELS. NOW THE IMPACT COULD BE FOR THE EXISTING GUESTS, IT COULD BE NEW GUESTS, IT COULD BE BOOKING MEETING SPACE AT A HOTEL. IT COULD HAVE A CATERING CONTRACT AT A HOTEL, SOME SORT OF BUSINESS BENEFIT TO THE HOTEL INDUSTRY. AND YOU MIGHT SAY, WELL, WHY WOULD THIS STATUTE REQUIRE A SPECIFIC INTEREST, A SPECIFIC BENEFIT TO ONE INDUSTRY, TO THE HOTEL INDUSTRY? AND IF YOU LOOK BACK AT THE STATUTES WHEN THEY FIRST, UH, PROPOSED DOING A HOTEL TAX, IT ACTUALLY DIDN'T APPLY JUST TO HOTELS. THE FIRST VERSION OF THE DRAFT APPLIED TO HOTELS, RESTAURANTS, AND ATTRACTIONS AND RESTAURANTS. GOT OUT OF THE PROPOSAL, ATTRACTIONS GOT OUT OF THE PROPOSAL AND THE ONLY ONES LEFT WERE HOTELS. AND HOTELS SAID, WELL YOU KNOW WHAT, WE'LL STAY IN UNDER THIS LAW, BUT EVERY EXPENDITURE THAT YOU MAKE AT LEAST HAVE SOME DIRECT IMPACT ON OUR INDUSTRY IF YOU'RE GONNA, YOU KNOW, TAXES BOTH PROPERTY TAX AND SALES TAX AND THEN ADD IN A HIGHER THAN NORMAL HOTEL OCCUPANCY TAX TO BOOT. SO THAT WAS THE LEGISLATIVE COMPROMISE WHEN THEY DID THE HOTEL TAX AND PART OF THE RATIONALE WHY THEY DID THAT. SO, ALRIGHT, SO YOU HAVE THE TWO PART TEST. EVERY EXPENDITURE MUST DIRECTLY PROMOTE TOURISM AND THE HOTEL AND CONVENTION INDUSTRY. [00:30:01] AND THEN THE OTHER PART IS IF IT HAS THAT IMPACT, THEN YOU NEED TO FIT IT INTO ONE OF THOSE NINE CATEGORIES. LET ME DO A LITTLE BIT, UH, MORE DISCUSSION ON EACH OF THOSE CATEGORIES. CATEGORY NUMBER ONE IS CONVENTION CENTERS AND VISITOR CENTERS FOR A CONVENTION CENTER TO QUALIFY LIKE YOUR CONVENTION CENTER, YOU LOOK AT YOUR OLD CALENDAR OF EVENTS FOR MAYBE THE LAST YEAR AND AT LEAST OVER 50% OF THOSE EVENTS OR OVER 50% OF THE PEOPLE WHO ATTEND THAT FACILITY NEED TO BE THERE FOR A CONVENTION OR A MEETING THAT IS PRIMARILY OUT OF TOWNERS OR TOURISTS. SO YOU NEED TO AT LEAST HAVE A PRIMARILY USED AS A CONVENTION CENTER WOULD TYPICALLY BE USED. IF IT'S A PURELY LOCAL FACILITY, IT WOULDN'T QUALIFY FOR A HOTEL TAX. SO IT HAS A PRIMARY USE TEST FOR THE CONVENTION CENTER VISITOR CENTER ALSO FITS UNDER THAT CONVENTION CENTER DEFINITION. AND THAT COULD BE ANYTHING FROM A, A KIOSK THAT IS VISITOR INFORMATION TO A FULL VISITOR CENTER OR A PORTION OF A BUILDING. AND YOU COULD PAY FOR THE STAFF, THE OVERHEAD, THE BROCHURES, YOU KNOW, ALL OF THAT. THE MARKETING EFFORTS THAT'S UNDER VISITOR CENTER. IF IT'S ONLY A PORTION OF A FACILITY, YOU JUST COVER THE PORTION THAT IS USED DIRECTLY TO HELP VISITORS. SO THAT'S ANY QUESTIONS ABOUT CONVENTION CENTERS OR VISITOR INFORMATION CENTERS. THE SECOND CATEGORY IS REGISTRATION AND CONVENTION DELEGATES. THAT'S MORE OF A BIG CITY EXPENSE WHEN YOU'RE PAYING VOLUNTEERS TO HAND OUT PACKETS TO A LARGE CONVENTION OF PEOPLE, YOU CAN COVER THE COST OF HAVING THAT STAFF. ANY QUESTIONS ABOUT REGISTRATION? THIRD CATEGORY, ADVERTISING AND PROMOTION. TYPICALLY COMMUNITIES SPEND BETWEEN 30 AND 70% OF WHAT THEY BRING IN ON MARKETING. IF YOU BUILD IT, THEY DON'T AUTOMATICALLY COME. YOU HAVE TO MARKET WHAT YOU'RE DOING AND THAT'S PROBABLY ONE OF THE MOST IMPORTANT EXPENDITURES. THE HOTEL TAX MARKETING AND THERE'S NOT ON MARKETING, THERE'S A MINIMUM OF AT LEAST ONE SEVENTH OF WHAT YOU BRING IN AND HOTEL TAX YOU HAVE TO SPEND ON MARKETING. THAT'S ABOUT 14.5%. BUT LIKE I SAID, MOST COMMUNITIES SPEND BETWEEN 30 AND 70% ON MARKETING. SO ANY QUESTIONS ABOUT MARKETING, ADVERTISING AND PROMOTION? THAT WOULD BE THE CATEGORY THAT, LET'S SAY YOU WANNA SPONSOR AN EVENT OR YOU WANNA MARKET SOME FESTIVAL OR, OR, OR SOMETHING THAT IN, UH, SOMETHING THAT'S HAPPENING IN YOUR TOWN. YOU WOULD DO THAT AS A PROMOTION UNDER ADVERTISING AND PROMOTION. THAT MAY BE IF YOU HAVE A SPORTING EVENT THAT COMES IN OR YOU HAVE SOME, SOME OTHER EVENT THAT COMES IN. IT MAY NOT EVEN BE AN ELIGIBLE CATEGORY, BUT YOU WOULD GO AHEAD AND MARKET IT UNDER THE ADVERTISING OR SPONSORED UNDER THE PROMOTION CATEGORY IF IT HAS AN IMPACT ON HOTEL ACTIVITY AND TOURISM. AND WOULD YOU ONLY SPONSOR OUTSIDE OF THE LOCAL AREA OR YOU CAN ALSO I DO MARKETING WITHIN THE LOCAL AREA. THAT'S AN EXCELLENT QUESTION. STATE LAW DOESN'T LIMIT YOU. NOW A LOT OF LOCAL COMMUNITIES IN TEXAS SAY, WELL WE'RE ONLY GONNA PAY FOR MARKETING THAT'S HAS A CIRCULATION OR, OR HITS PEOPLE OVER 50 MILES AWAY OR, OR THEY'LL HAVE SOME SORT OF DEFINITION LIKE THAT. I ALWAYS ENCOURAGE FOLKS TO DO BOTH A LITTLE BIT OF LOCAL MARKETING AND OUT OF TOWN MARKETING BECAUSE SOME OF THE LOCAL MARKETING CAN BE BANNERS AROUND TOWN THAT'LL TELL GUESTS WHO ARE ALREADY AT YOUR HOTELS, THIS IS WHAT'S GOING ON. THIS IS, WE HAVE OUR BIRDING FESTIVAL OR WE HAVE THIS EVENT OR THAT EVENT AND IT'LL TELL THEM WHERE THEY CAN GO. AND IT, IT ADDS TO THE ABILITY TO PROMOTE THOSE FACILITIES. UM, OR EVEN SOMETIMES IF YOU HAVE A PAPER THAT IS COMES OUT EVERY DAY, IF PEOPLE ARE GONNA LOOK AT THE PAPER TO SEE WHAT TO DO IN THE TOWN, WHETHER THEY'RE, YOU MIGHT WANNA HAVE A SMALL PORTION THAT ALSO GOES TO THAT, BUT YOU WANNA OF COURSE MARKET OUTSIDE OF THE CITY, BOTH IN SOCIAL MEDIA AND IN MARKETING ON YOUR WEBSITE AND IN ALL YOUR MARKETING, YOU ALWAYS WANT TO HAVE A LINK TO THE CBB LISTING OF HOTELS. AND SO THAT YOU CAN, AND, AND WHEN PEOPLE ARE FUNDED, WE ALWAYS ENCOURAGE THAT YOU HAVE NOT ONLY AN APPLICATION FOR FUNDS, BUT THAT YOU HAVE A POST-EVENT FORM. BECAUSE TYPICALLY YOU HAVE THE APPLICATION FOR FUNDS. IT'LL SAY, HOW MANY TOURISTS DO YOU EXPECT TO COME, HOW MANY OVERNIGHT ACT, UH, ACTIVITY, HOW MUCH OVERNIGHT ACTIVITY DO YOU ANTICIPATE? HOW MUCH ARE YOU GONNA SPEND ON MARKETING, ET CETERA, ALL THAT. WHAT'S IMPORTANT IS THAT THE POST EVENT FORM SHOULD ASK THE SAME QUESTIONS. YOU SAID YOU WERE GONNA HAVE THIS MANY VISITORS, HOW MANY VISITORS DID YOU GET? YOU SAID YOU WERE GONNA HAVE AT LEAST A HUNDRED ROOM NIGHTS. HOW MANY WERE ACTUALLY BOOKED? YOU SAID YOU WERE GONNA SPEND 10,000 ON MARKETING. HOW MUCH DID YOU ACTUALLY EXPEND? THAT WAY YOU CAN COMPARE APPLES TO APPLES BECAUSE OTHERWISE WHAT I FIND IN A LOT OF COMMUNITIES, THEY'LL HAVE AN APPLICATION FOR FUNDS, PEOPLE WILL FILL ALL THAT OUT AND THEN THEY REQUIRE AN EVENT FORM AFTER OR A REPORT AFTERWARDS, BUT THEY DON'T ASK ALL THE SAME QUESTIONS. SO THE EVENT PARTICIPANTS ONLY FOCUS ON WHAT THEY WANNA FOCUS ON AND YOU'RE NEVER REALLY ABLE TO MEASURE WHAT THEY PROMISED. SO, UH, UH, ADVERTISING AND PROMOTION. ANY OTHER, ONE OF THE THINGS YOU GUYS DO UNDER THAT WHICH WE REALLY APPRECIATE IS YOU [00:35:01] LIST ALL OF YOUR HOTELS ON THE STATE TOURISM WEBSITE WITH A LITTLE BIT OF YOUR HOTEL TAX AND YOU DO THAT, UH, FOR EVERY HOTEL. SO EVERY HOTEL HAS SOME BENEFIT FROM THE CVB, FROM THE HOTEL TAX, UH, FOR THAT WEBSITE AND THEN OUR STATE WEBSITE AND A COUPLE OTHER WEBSITES. SO THAT'S PART OF THE ADVERTISING AND PROMOTION. ANY QUESTIONS ABOUT ON ADVERTISING AND PROMOTION? I HAVE ANOTHER QUESTION. KIND OF JUST GOING BACK TO THE CONVENTION CENTER. SO WE HAVE A CONVENTION CENTER HERE IN HAREN. AND IF I UNDERSTOOD CORRECTLY, SAY, UM, THERE IS A CONFERENCE, A BIG CONFERENCE THAT IS GENERALLY DONE ON ANOTHER PART OF THE STATE AND WE'D LIKE FOR THAT TO BE IN HARLINGEN. MM-HMM. . SO IS THIS SOMETHING THAT THROUGH THE HOTEL MOTEL TAX, WE CAN FIND, LIKE PROVIDE THE SPACE AT THE CONVENTION CENTER? ABSOLUTELY. SO THAT WAY YOU COULD REDUCE THE COST OR YOU COULD COMP THE COST. YOU COULD SPONSOR MAYBE A DINNER OR YOU COULD DO ALL OF THE ABOVE. YOU COULD DO SOME OF THEIR AGREE TO DO SOME OF THEIR MARKETING FOR THEM. UM, WHAT YOU CAN EXPECT EVERY, EVERY COMMUNITY IN TEXAS IS GONNA BE LOOKING AT WHERE EVENTS ARE GOING TO MM-HMM . AND IF THERE'S AN EVENT THAT'S HISTORICALLY COME TO HARINGTON, I PROMISE YOU OTHER FOLKS ARE LOOKING AT HOW DO WE GO AHEAD AND OFFER EVERYTHING CASSANDRA OFFERED AND THEN A LITTLE BIT MORE IN ORDER TO BRING THEM TO MACALLAN OR BRING THEM TO BEAUMONT OR BRING THEM TO WACO OR TO AUSTIN OR TO ANOTHER DESTINATION. YOU NEED TO BE DOING THE SAME SORT OF THOUGHT BOTH HOW DO WE RETAIN OUR EXISTING CLIENTS AND HOW DO WE ATTRACT NEW ONES? AND YOU WANNA MAKE SURE THAT YOU'RE SENSITIVE, THAT THEY'RE GETTING NOT ONLY WHAT YOU'VE HISTORICALLY DONE, BUT HOW DO WE NEED TO INCREASE THAT OR AUGMENT THAT 'CAUSE THAT'S WHAT OTHER PEOPLE ARE GONNA BE DOING TO BRING THAT BUSINESS. I ALWAYS ENCOURAGE COMMUNITIES TO, BEFORE THE YOU DO YOUR BUDGET, MEET WITH YOUR AREA HOTELIERS AND FIND OUT WHERE ARE YOU GETTING YOUR BUSINESS FROM, WHERE DO YOU GET, WHAT DO YOU, WHAT BUSINESS DO YOU GET MONDAY THROUGH FRIDAY? WHAT BUSINESS DO YOU GET ON WEEKENDS? WHAT IS YOUR BIGGEST PORTION? 'CAUSE WHEN YOU LOOK AT THE HOTEL TAX, AND IF YOU THINK ABOUT IT, YOU, YOU KNOW, CITIES, WE WANT RUN OUR CITIES KIND LIKE WE RUN OUR PERSONAL BUSINESSES, RIGHT? UH, WE WANT TO SPEND THE MONEY WISELY. SPEND IT WHERE YOU GET THE MOST BANG FOR THE BUCK. SO IF YOU WERE RUNNING A BUSINESS, YOU WOULD LOOK AT, I'M GONNA SPEND THE MOST HOTEL TAX WHERE I GET THE MOST RETURN. AND IF YOU TALK TO HO YOUR HOTELIERS AND YOUR OTHER TOURISM RELATED BUSINESSES, THEY CAN TELL YOU, THIS IS WHERE WE GET THE MAJORITY OF OUR, OUR BUSINESS DURING THE WEEK. THIS IS WHERE WE GET A LOT OF OUR WEEKEND BUSINESS. AND YOU WANNA LOOK AT HOW MUCH OF THE HOTEL TAX ARE YOU INVESTING IN THOSE AREAS. THEN YOU WANT TO ASK THEM WHAT ARE THE OPPORTUNITY AREAS? IF WE PUT A BILLBOARD WE DID SOCIAL MEDIA ADVERTISING OR WHAT EVENTS COULD WE ADD IN THAT WE'RE COMPETITIVE FOR, YOU KNOW, MAYBE SPORTING RELATED EVENTS OR OTHER TYPES OF EVENTS. UM, WHAT, WHAT PERIODS OF TIME ARE YOUR SHOULDER SEASON OR SLOW SEASON THAT WE CAN TRY TO INCENTIVIZE MORE DURING THOSE TIMES TO FILL IN THAT BUSINESS FOR YOU? THEY'LL BE YOUR BEST SOURCE OF KNOWLEDGE. AND THEY CAN ALSO TELL YOU WHEN YOU'RE LOOKING AT, HERE'S WHERE WE'VE HISTORICALLY FUNDED HOTEL TAX FOR. ASK THEM, DID YOU GET BUSINESS FROM THESE EVENTS? BECAUSE THE HOTELS HONESTLY KNOW, THEY KNOW BY PEOPLE WHO CALL AND WHEN PEOPLE BOOK ROOMS AND THEY SAY, WHAT ARE YOU HERE FOR? AND THEY KNOW WHETHER OR NOT THAT'S, THAT THAT'S, UM, UH, AN EVENT THAT THEY HAD ROOM NIGHTS FOR OR PEOPLE ARE ASKING FOR DIRECTIONS TO GO TO THOSE EVENTS. THEY KNOW WHERE THEY'RE GETTING THEIR BUSINESS. THAT'S, THAT'S HOW THEY OPERATE. SO, UM, ANY SORT OF INCENTIVE THAT YOU CAN DO TO TRY TO ATTRACT BUSINESS MAYOR? ABSOLUTELY. YES. WINTER TEXAN MARKET IS MASSIVE OKAY. IN THE VALLEY. BUT THEY'LL TEND TO STAY TRAILERS DRIVE THE BUS THEIR RV YEAH, THEIR RVS OR RENT IN A, UH, OR THEY HAVE A, UH, AN RV PARK. MM-HMM. . BUT THEIR FAMILY COMES DOWN TO VISIT THEM AND THEY STAY IN HOTELS. IS THAT PUSHING THE ENVELOPE TOO MUCH? YOU KNOW, I WOULD DO IT BASED ON, I ALWAYS ENCOURAGE PEOPLE THINK ABOUT IT FROM THE STANDPOINT, IF YOU WERE A HOTEL OPERATOR, HOW MUCH WOULD YOU INVEST IN PROMOTING RV ACTIVITY AND PROMOTING WINTER TEXANS? YOU'D PROBABLY INVEST SOME BUT NOT A LOT BECAUSE THERE'S A LIMITED RETURN. SO IT MIGHT BE THAT YOU WORK WITH YOUR ECONOMIC DEVELOPMENT COMMUNITY BECAUSE THERE'S A OVERALL BENEFIT ON WHAT THEY WANT TO INVEST. AND YOU LOOK AT WHAT PORTION OF THE GUESTS OR THE ANCILLARY IMPACT OF THEIR FAMILIES COMING IN CAN YOU TIE TO, UM, THE WINTER TEXAN ACTIVITY. AND THEN I'D, I'D, I'D EXPEND A PORTION OUT OF THE HOTEL TAX ON MARKETING THAT TRIES TO PROMOTE THAT, THAT THAT SECTOR. SO I WOULDN'T SPEND A HUNDRED THOUSAND FROM THE HOTEL TAX TO GENERATE 10,000 IN ROOM NIGHTS. 'CAUSE YOU KNOW, IT JUST, AND THE OTHER THING I'M PICKING UP IS THAT THE PEOPLE IN THE HOTEL INDUSTRY ACTUALLY KNOW THINGS . AND WE SHOULD ASK THEM. THEY, IT'S, IT'S, IT'S [00:40:01] AMAZING. I DON'T KNOW IF WE'VE EVER ASKED THEM ANYTHING. I WILL TELL YOU A STORY AND I'VE BEEN AROUND LONG ENOUGH TO TELL THESE STORIES AND HAVE EXPERIENCED EXPERIENCE AT FIRSTHAND YEARS AND YEARS AGO, FREDERICKSBURG WAS NOT THE TOURISM MECCA OF, AND THEY, WHAT THEY ENDED UP DOING, 'CAUSE THEY FOUND THEY HAD A LOT OF WEEKEND BUSINESS, THEY DIDN'T HAVE A LOT OF WEEK WEEKDAY BUSINESS. THEY FOUND THAT THEY, UH, WEREN'T GETTING A LOT OF COMMERCIAL ACTIVITY FROM THEIR GUESTS. AND THEY SAID, WHAT DO WE DO? AND THE FIRST THING THEY DID IS THEY CREATED A COMMITTEE OF THE HOTELIERS TO WORK WITH THE RESTAURANTERS TO WORK WITH THE RETAIL SECTOR, TO WORK WITH THE CITY. AND THEY ALL GOT TOGETHER AND SAID, WHAT'S STOPPING US FROM REALLY GETTING A LOT OF OF TOURISTS? AND THE FIRST THING THEY DETERMINES, WE DON'T HAVE GOOD PARKING IN FREDERICKSBURG, WE HAVE METERS AND PEOPLE ARE GETTING TICKETS. SO THEY TOOK ALL THE METERS OUT OF THE DOWNTOWN AREA AND THEN THEY EXTENDED THE CAPACITY FOR PARKING. THEN THEY DETERMINED THAT, YOU KNOW WHAT, OUR, OUR BUSINESSES ARE NOT OPEN ALL, YOU KNOW, IN ROUTINE HOURS. ON SOME NIGHTS THEY'RE OPEN OTHER NIGHTS, UH, BUSINESSES ARE NOT, NOT ALL OF THEM WERE OPEN ON THE WEEKEND. SO THEY ESTABLISHED UNIFORM HOURS THAT ALL OF THE BUSINESS OWNERS IN THE DOWNTOWN AND TOURISM AREAS AGREED TO. AND THEN THEY STARTED WORKING WITH OUR ECONOMIC DEVELOPMENT FOLKS TO SAY, WHAT ARE WE MISSING? WE HAVE TOO MANY LOCAL, UH, UH, BUSINESSES THAT HAVE NO TOURISM VALUE IN THIS ONE TOURISM AREA. WHAT IF WE WERE TO INCENTIVIZE RESTAURANTS AND RETAIL AND, AND, AND, AND, AND, AND TO PROMOTE HISTORIC STRUCTURES AND REHABILITATE THE HISTORIC VALUE OF THE AREA? THEY DID ALL THAT. AND THEN THEY LOOKED AT, YOU KNOW WHAT, WE DON'T HAVE ENOUGH EVENTS. AND SO THEY CREATED OCTOBERFEST THEN DURING WHAT WAS BEFORE A SLOW PERIOD IN OCTOBER. AND, AND THEN THEY LOOKED AT WHAT DO WE DO DURING THE WEEKDAYS? THEY SAID, WELL WHAT ABOUT SENIOR CITIZENS WHO WANT TO TAKE BUS TRIPS AND WANT TO COME AND SPEND IN MAYBE THE NIGHT AND AT LEAST COME IN DURING THE DAY. WE CAN AT LEAST SUPPORT OUR RESTAURANTS. THEY HAVE WEEKDAY BUSINESS BY DOING A LOT OF BUS TOURS. AND BY DOING ALL THOSE THINGS THEY TOURISM WENT THROUGH THE ROOF AND THEY HAD EVERYBODY AT THE TABLE, INCLUDING THE CVB AND THE CITY LEADERS AND THE CHAMBER AND THE BUSINESS THAT WERE AFFECTED. BECAUSE A LOT OF TIMES IT'S, WE KEEP REPEATING THE SAME MISTAKES. 'CAUSE LIKE YOU SAID, WE HAVEN'T ASKED EVERYBODY AND WE HADN'T. AND THE THING IS, WE HAVEN'T JUST ASKED THEM WHAT'S THE CHALLENGE? WE HAVEN'T ASKED THEM WHAT'S THE ANSWER TO THE CHALLENGE. AND THAT'S WHERE I THINK YOU, Y'ALL HAVE AROUND I THINK TWO AND A HALF MILLION DOLLARS IN RESERVE FUNDS THAT HAVE NOT BEEN EXPENDED IN HOTEL TAX. SO YOU'RE SPENDING A, YOU KNOW, A LITTLE BIT UNDER WHAT YOU BRING IN EACH YEAR. PLUS YOU HAVE A LARGE HEALTHY RESERVE FUND. I WAS TALKING TO THE CITY MANAGER BEFORE I CAME UP, UH, HERE THIS EVENING. AND I WOULD ENCOURAGE YOU TO, THERE ARE SOME REALLY GOOD CONSULTANTS THAT YOU CAN WORK WITH THAT, UH, CAN TALK TO YOU ABOUT HOW CAN YOU LOOK AT SPENDING THAT MONEY THAT'S CONSISTENT WITH THE CITY COUNCIL INTENT, WHAT YOUR GOALS ARE AS A CITY COUNCIL, WHAT THE CITY MANAGEMENT STAFF FEEL IS THE PRIORITIES OF THE COMMUNITY, WHAT THE VISITORS BUREAU THINKS WILL REALLY PROMOTE HOTEL ACTIVITY AND TOURISM. AND YOU CAN LOOK AT, YOU KNOW, WHAT SHOULD WE SPEND ON BRANDING FROM THERE? WHAT SHOULD WE SPEND ON MARKETING? WHAT ABOUT OUR CURRENT MARKETING STRATEGY? WHAT FACILITIES WOULD DO WE NEED TO ADD TO THE MIX IN, IN HARLINGEN TO TAKE US TO THE NEXT LEVEL? WHAT KIND OF TOURISM ACTIVITIES ARE WE COMPETITIVE FOR THAT IF WE SPEND A LITTLE BIT MORE MONEY? SO WHETHER IT'S A NEW SPORTS FACILITY THAT YOU NEED OR MORE MARKETING, MORE BILLBOARD, THEY CAN LOOK AT THE WHOLE MIX AND COME BACK TO YOU AND SAY, THIS IS WHAT WE WOULD SUGGEST ALONG WITH KEEPING ENOUGH MONEY IN RESERVE FOR FUTURE THINGS THAT YOU DON'T ANTICIPATE. SO I WOULD ENCOURAGE YOU TO LOOK AT HOW CAN YOU, YOU KNOW, UH, RIGHT SIZE AND, AND LOOK AT THE LA THE LARGEST ROI FROM THAT, THAT THAT MONEY THAT YOU HAVE IN RESERVE SO THAT YOU'RE GETTING BANGED FOR THE BUCK. SO, SO YES. MAYOR, YOU HAVE A QUESTION? YEAH, I, BECAUSE I WAS LISTENING TO YOUR TENNIS, TENNIS COURT, UM, STORY EXAMPLE. YEAH. YES. AND SO I WAS THINKING, UM, SO HARLINGEN USED TO HAVE THE WHITE WINGS HERE IN HAREN, UHHUH . AND SO THAT WAS, UH, AND YOU KNOW, WE'D GET PEOPLE FROM ALL OVER THE VALLEY MM-HMM. TO COME WATCH GAMES HERE AND THAT KIND OF JUST FIZZLED OUT. AND UM, SO WE HAVE A STADIUM, BUT WE DON'T, WE DON'T REALLY, WE DON'T UTILIZE IT AND, AND WE HAVE SOME EVENTS THERE, BUT REALLY NOT TO, TO REALLY MAXIMIZE THE POTENTIAL OF THAT SPACE. SO IF WE WANTED TO BRING ANOTHER TEAM MM-HMM. , UM, IS THAT SOMETHING, WHAT, HOW, 'CAUSE I WAS LISTENING TO THE TENNIS STORY AND YOU CAN'T REDO THE TENNIS COURTS, BUT SO WHAT COULD YOU DO IF YOU WANTED TO SAY, OKAY, WELL WE WANT A SOCCER TEAM OR WE WANT A BASEBALL TEAM OR A BASKETBALL TEAM. HOW DOES THAT WORK? I LOVE THIS AND YOU'RE ASKING THE BEST QUESTIONS MAYOR, AND THANK YOU FOR THAT. UM, THE FIVE CATEGORIES I DESCRIBED FOR YOU OF CONVENTION CENTERS, REGISTRATION, ADVERTISING AND PROMOTION PROMOTION, THEN THE PROMOTION OF THE ARTS AND HISTORICAL HAVE BEEN AUGMENTED BY FOUR ADDITIONAL CATEGORIES. OKAY. I KNOW A LOT ABOUT THOSE [00:45:01] FOUR ADDITIONAL CATEGORIES 'CAUSE I WROTE ALL THE STATUTES, , SO THE LEGISLATURE PASSED THEM, BUT I WAS THE ONE WHO WROTE THE DRAFT. AND THE SIXTH CATEGORY, AND I'M GONNA GO RIGHT TO YOUR QUESTION IS SPORTING RELATED EVENTS. SO IS CAMERON COUNTY UNDER A MILLION POPULATION? YES. YES. OKAY. SO IF YOU'RE A CITY WITHIN A COUNTY OF UNDER A MILLION POPULATION, THEN YOU CAN NOW UNDER CATEGORY NUMBER SIX, EXPEND HOTEL TAX ON THE SPORTING RELATED EVENT COSTS FOR ANY TYPE OF SPORT THAT'S IN YOUR COMMUNITY. IF IT CREATES A SUBSTANTIAL AMOUNT OF ACTIVITY IN HOTELS AND IF A MAJORITY OF THE PARTICIPANTS AT THAT EVENT, AT THAT TOURNAMENT OR THAT FISHING UH, EVENT, OR THAT VOLLEYBALL OR SWIMMING EVENT, WHATEVER IT MAY BE, BASEBALL, SOFTBALL, IF A MAJORITY OF THE PARTICIPANTS ARE FROM ANOTHER CITY OR ANOTHER COUNTY. SO IT CAN'T BE YOUR LOCAL LITTLE LEAGUE. BUT IF IT'S SOMETHING THAT BRINGS IN A MAJORITY OF PEOPLE FROM OUT OF TOWN, IT'S A REGIONAL STATE OR NATIONAL TOURNAMENT OR AN EVENT LIKE THAT, THAT A MAJORITY OF THE FOLKS ARE FROM OUT OF TOWN, YOU CAN PAY ALL THE EVENT COSTS. IF IT HAS A SUBSTANTIAL IMPACT ON HOTEL ACTIVITY, WOULD THAT INCLUDE THE, THE INFRASTRUCTURE? IT WOULD INCLUDE THE EVENT COSTS FOR THAT DAY. AND THEN CATEGORY NUMBER SEVEN, AND I'LL TELL YOU THE WAY WE DID THIS, UH, THESE, THESE CHANGES. CATEGORY NUMBER SIX WAS, UH, UM, UH, CHARLIE CULPEPER, THE MAYOR OF ROUND ROCK AT THE TIME CALLED ME AND SAID, SCOTT, WE WANT TO SPEND MONEY ON ALL THE EVENT COSTS FOR BASEBALL EVENTS. SO WE HAVE IN ROUND ROCK, THE ROUND ROCK EXPRESS IS A BIG ATTRACTION FOR SPORTING EVENTS IN IN ROUND ROCK AND THEIR BASEBALL TEAM. SO WE GOT THAT LAW PASSED TO DO SPORTING RELATED EVENT COSTS. THEN THE NEXT SESSION, THE NEW MAYOR, UH, UH, NILES MAXWELL SAID, SCOTT, YOU GOT US EVENT COSTS. WHAT ABOUT EVENT FACILITIES AND THE INFRASTRUCTURE? YOU KNOW, CAN WE RENOVATE EXISTING SPORTS COMPLEX OR BASEBALL STADIUM OR, OR A SOCCER OR A TENNIS OR AN AQUATIC FACILITY IF WE CAN SHOW IT'LL HAVE SUBSTANTIAL HOTEL ACTIVITY. SO WE WROTE A NEW CATEGORY, CATEGORY NUMBER SEVEN, THAT YOU CAN EXPEND IT ON SPORTING RELATED FACILITIES AND YOU CAN EXPEND AS MUCH AS YOU WANT OUTTA THE HOTEL TAX. BUT YOU HAVE TO SHOW WITHIN FIVE YEARS WHATEVER AMOUNT YOU SPENT, YOU HAVE THAT MUCH IN HOTEL NIGHT ACTIVITY. SO IF YOU WANNA SPEND HALF A MILLION DOLLARS ON NEW BLEACHERS OR A NEW ROOF FOR YOUR, YOUR YOUR YOUR SPORTING FACILITY, YOU SPEND HALF A MILLION, YOU HAVE TO SHOW IN FIVE YEARS YOU HAD HALF A MILLION IN HOTEL NIGHTS FROM EVENTS AT THAT FACILITY. IT COULD BE EXISTING EVENTS THAT WERE ALREADY COMING EVERY YEAR, OR IT COULD BE NEW EVENTS THAT ARE COMING BECAUSE OF ALL THE IMPROVEMENTS. BUT YOU GOTTA SHOW AN ROI AND OUR THOUGHTS WERE THAT WE DIDN'T WANT YOU TO SPEND HALF A MILLION DOLLARS TO GET 20,000 IN ROOM NIGHTS. MM-HMM. , WE THOUGHT AT LEAST WHATEVER YOU SPEND IN FIVE YEARS SHOW THAT YOU HAVE GOTTEN THAT MUCH BUSINESS BACK. AND LET'S SAY AFTER FIVE YEARS YOU SPENT HALF A MILLION, BUT YOU ONLY GOT 300,000 IN ROOM NIGHTS. YOU COULD SHOW FROM EXISTING INTO EVENTS THAT $200,000 DIFFERENCE YOU'D HAVE TO REIN REPAY THE HOTEL TAX FUND FROM THE GENERAL FUND. SO THERE'S A KIND OF A, A WAY TO WRITE THAT SHIP IF THAT HAPPENS. BECAUSE THANK YOU. THAT WAS MY NEXT QUESTION. THAT WAS MY NEXT QUESTION. WHO'S THE POLICEMAN? YEAH, THAT WOULD BE ME . SO, BUT IS IT ON THIS, UM, POST EVENT, UM, DATA THAT IS BEING COLLECTED AND THEN TURNED OVER? OR LIKE HOW SPECIFICALLY IS THAT TRACK? 'CAUSE IT SEEMS, WELL THE WAY I WOULD DO IT IS, WELL ONE, WE'VE HAD THIS LAW IN A PLACE FOR PROBABLY OH SEVEN, EIGHT YEARS. WE HAVE NEVER CHALLENGED ANYBODY'S USE OF IT YET. I THINK CITIES ARE DOING THE BEST THEY CAN WHEN THEY SPEND THE MONEY AND, AND THEY UNDERSTAND THE AWA, THE, THE, THE, THE THE REQUIREMENT. WE HAVEN'T HAD ANY COMPLAINTS FROM OUR HOTELIERS ABOUT HOW THESE FACILITIES HAVE, YOU KNOW, HOW SUCCESSFUL THEY'VE BEEN. IT SEEMS TO HAVE WORKED OKAY. BUT IF THERE WERE COMPLAINT AND I WERE TO GET A COMPLAINT FROM O TIRES, WE WOULD DO AN OPEN RECORDS REQUEST TO THE COMMUNITY TO FIND OUT WHAT, WHAT DOCUMENTS THEY HAVE THAT SHOW THE ROOM NIGHT IMPACT OF THEIR FACILITY OVER THE LAST FIVE YEARS. WE HAVEN'T HAD TO DO THAT. WE HAVEN'T HAD ANY COMPLAINTS. BUT THE WAY I WOULD MANAGE THAT, 'CAUSE WE WANT YOU TO BE SUCCESSFUL, WE DON'T WANNA PLAY A GAME OF GOTCHA. UH, WHEN I STARTED 24 YEARS AGO AS CEO OF THE HOTEL ASSOCIATION, WE HAD A $1.1 MILLION FUND TO CHALLENGE CITIES AND COUNTIES IF THEY DIDN'T SPEND THE HOTEL TAX CORRECTLY. HMM. OVER MY 24 YEARS, DO YOU KNOW HOW MUCH I'VE SPENT IN THAT 1.1 MILLION? NOTHING. NOTHING. BECAUSE I JUST WOULD MAKE A CALL TO UH, UH, THE CITY ATTORNEY OR THE CITY MANAGER PRIVATELY AND SAY, HEY, I SAW YOU'RE USING IT FOR THIS. WE GOT A COMPLAINT. CAN WE WORK WITH YOU TO TRY TO WRITE THE SHIP? AND EVERY TIME, BECAUSE I KNOW THESE CITY OFFICIALS AND I KNOW THE CITY ATTORNEY, THE CITY MANAGERS, THEY'VE WORKED WITH US. SO WE WANT YOU, WE WANT TO HAVE A LONG-TERM RELATIONSHIP. SO IF [00:50:01] THERE WAS A PROBLEM WITH YOUR FACILITY, WE'D BE CALLING YOU PROBABLY NOT ON YEAR FIVE, BUT YEAR TWO AND YEAR THREE. NOW, WHAT I WOULD DO TO MAKE THAT CITY, UH, FACILITY SUCCESSFUL IS EVERY TIME YOU BOOK THAT FACILITY, LET'S SAY YOU DO IT FOR A SOCCER FACILITY OR AN AQUATICS FACILITY OR A TENNIS COMPLEX OR A BASEBALL COMPLEX, I WOULD HAVE ONE RATE AS YOUR COMMERCIAL RATE. AND THEN I'D HAVE A LOWER RATE. IF YOU HAVE A ROOM NIGHT BLOCK AT HARLINGEN HOTELS. SO GIVE THEM A DISCOUNT, TAKE $200 OR $300 OFF AND THEY WILL THEN DOCUMENT TO GET THAT DISCOUNT. THEY'LL DOCUMENT. 'CAUSE A LOT OF TIMES THEY'LL HAVE THEIR EVENT IN HARLINGEN BUT BOOK THE ROOMS IN ANOTHER COMMUNITY, OR THEY WON'T, THEY WON'T EVEN, YOU KNOW, HAVE A NEGOTIATED RATE OR WORRY ABOUT A ROOM BLOCK. THEY JUST DON'T ATTEND TO THAT. BUT IF YOU GIVE THEM A FINANCIAL INCENTIVE AND LOWER THE COST AND THEN SAY, IN ORDER TO DO THAT, YOU NEED TO SHOW US, YOU KNOW, WHAT YOUR ROOM BLOCK WAS, WHAT THE NEGOTIATED RATE WAS, AND WHAT THE ACTUAL PICKUP WAS. THEY WILL DOCUMENT. IF YOU DO THAT WITH ENOUGH OF AN INCENTIVE FOR EVERYBODY, YOU RENTS A FACILITY, YOU'RE PROMOTING YOUR OWN ECONOMIC DEVELOPMENT AND YOU'RE DOCUMENTING EXACTLY WHAT THE IMPACT IS. AND THEN YOU ALSO, BY DOING THAT, YOU GET A MIX FOR WHAT PER PERCENTAGE OF THOSE BUSINESSES OR, OR WHAT PERCENTAGE OF THOSE BOOKINGS AT THAT CENTER IS CURRENTLY OVERNIGHT ACTIVITY AND HOTEL ELIGIBLE ACTIVITY. AND WHAT PERCENTAGE IS PURELY LOCAL. AND YOU DON'T WANT IT TO BE ALL OVERNIGHT ACTIVITY. YOU WANT TO HAVE BENEFIT TO THE LOCAL COMMUNITY TOO, BUT YOU WANNA MAKE SURE YOU AREN'T SPENDING MORE OUT OF THE HOTEL TAX THAN YOU CAN ATTRIBUTE TO THE OVERNIGHT PORTION. DOES THAT HELP? YEAH, NO, THAT'S GREAT. I HAVE A QUESTION. IS THIS RELEGATED ONLY TO NON-PROFIT? CAN IT ALSO BE FOR PROFIT? THANK YOU. I I'M GONNA SAY YOUR QUESTIONS ARE EVERY BIT AS STRONG AS THE MAYOR AND I APPRECIATE THAT THE STATE LAW DOES NOT RELEGATE OR OR LIMIT YOU TO ONLY NON-PROFIT. BUT A LOT OF MUNICIPALITIES WILL UNDER THEIR OWN INTERNAL RULES, WE'LL SAY WE ARE ONLY GONNA FUND NONPROFIT ARTS OR NONPROFIT, UH, GRANT APPLICANTS OR NONPROFIT, UH, ORGANIZATIONS AND SUBMIT REQUESTS FOR FUNDING. STATE LAW DOESN'T LIMIT YOU. I ALWAYS ENCOURAGE YOU, LIKE IN AUSTIN COMMERCIAL, UH, MUSIC, UH, VENUES ARE, ARE WHAT BRING A LOT AND SUSTAIN A LOT OF OUR TOURISM. WHY WOULD WE ONLY WANT TO HAVE THE NONPROFIT SECTOR, UH, UH, FUNDED? SO IF, IF YOUR IMPACT IS A HUNDRED ROOM NIGHTS, IT SHOULDN'T MATTER WHETHER YOU'RE FOR PROFIT OR NONPROFIT, IN MY ESTIMATION, BASED ON THE IMPACT SHOULD, SHOULD FOLLOW THE FUNDING. BUT THAT'S A CITY COUNCIL DETERMINATION AS TO HOW THEY WANT TO DO THAT. AND IS THERE LIKE A, UM, I GUESS A, UH, A NUMBER THAT WE SHOULD STRIVE FOR IN TERMS OF HOTEL STAYS FOR AN EVENT? YOU KNOW, THAT'S A WONDERFUL QUESTION. UM, WHAT IS A TOURISM EVENT IN WACO OR IN HARLEEN IS DIFFERENT THAN WHAT'S A TOURISM EVENT IN SAN ANTONIO, YOU KNOW, OR DALLAS. AND SO REALLY WHAT I, THE, THE GUIDELINE I WOULD GIVE YOU IS I WOULD LOOK AT WHAT BRINGS THE MAJORITY OF THE BUSINESS TO HARLINGEN. WHAT DO YOU WANT TO RETAIN, WHAT DO YOU WANT TO GROW? AND TRY TO SPEND THE MONEY LIKE ALMOST A PYRAMID AND INVEST IN THE BOTTOM THE BIGGEST PORTION OF YOUR PYRAMID WITH THE MOST FUNDS AND GO UP WHERE YOU, YOU, YOU KNOW, IT MAY BE THAT YOU HAVE LESS IMPACT, BUT THEN WE'LL GIVE YOU LESS FUNDING. MM-HMM. , I WOULDN'T SPEND MORE IN HOTEL TAX ON AN EVENT. THEN YOU CAN SHOW THAT YOU'LL GENERATE IN HOTEL NIGHTS. MM-HMM. , I MEAN, YOU'D BE BETTER OFF JUST TO GIVE THE HOTELS THE MONEY, YOU KNOW, AND LET THEM ADVERTISE THEIR PROMOTION YEAH. THAN TO SPEND, YOU KNOW, 10,000. I, I REMEMBER I WENT TO A MARSHALL AND WAS GIVING A TALK TO THE CITY COUNCIL AND THE MAYOR'S SON WAS DOING A BALLOON FESTIVAL AND HE HAD APPLIED FOR A HOTEL TAX. AND ONE OF THE COUNCIL MEMBERS SAID, WELL, HOW MANY ROOM NIGHTS DO YOU DO? AND HE SAID, WELL, WE HAVE FIVE ROOM NIGHTS THAT WE'VE DOCUMENTED AND ONE OF THE HOTELS FROM THE AUDIENCE SAYS YES. AND THEY'RE ALL COMPED. SO, YOU KNOW, WE'RE GETTING ACTUALLY NOTHING FROM THE, UH, UH, THE FESTIVAL. AND YOU DON'T WANNA SPEND HOTEL OCCUPANCY TAX ON AN EVENT THAT HAS VERY MINIMAL RETURN, BUT SOME EVENTS, THE FIRST YEAR THAT YOU DO THEM, YOU DON'T KNOW THE BEST INTENTIONS. MAYBE THEY'RE GONNA HAVE A LOT OF IMPACT. SO YOU MIGHT HAVE A DIFFERENT STANDARD FOR THE FIRST YEAR YOU DO THAT BASED ON THEIR ESTIMATED IMPACT, BUT THEN AFTER A YEAR OR TWO, THEY SHOULD HAVE AN IDEA OF WHAT THEY'RE GONNA BE DOING. SO YOU SHOULD BE LOOKING AT RIGHT SIZING THE AMOUNT THAT YOU DEDICATE IN TERMS OF THE ROI AND SAY, IF YOU DO, UH, 10 ROOM NIGHTS, HERE'S OUR, WHAT WE MAKE YOU ELIGIBLE FOR. IF YOU DO 20 ROOM NIGHTS, IT MIGHT BE DOUBLE THAT AMOUNT IF YOU DO 50, ET CETERA. SO I'VE, AND I'VE LOOKED AT YOUR COMPETITION TOO. WHAT ARE THEY PROVIDING IN HOTEL TAX FUNDING AS INCENTIVES? AND SAY IF WE'RE COMPETING WITH, UH, WACO OR WE'RE COMPETING WITH BEAUMONT OR WE'RE COMPETING WITH MACALLAN, THEN WE'RE GONNA LOOK AT WHAT THEIR INCENTIVES ARE AND WHAT DO WE NEED TO DO TO BE RE COMPETITIVE. SO EARLIER YOU'VE SAID, UM, SO WE NEED TO GET PEOPLE EITHER FROM, YOU KNOW, COMING FROM OTHER LOCATIONS MM-HMM. OR AT LEAST [00:55:01] FROM ANOTHER COUNTY UHHUH COMING INTO OUR AREA. SO HERE IN OUR REGION PEOPLE KIND OF TRAVEL TO AND FROM OUR NEIGHBORING COUNTIES MM-HMM. PRETTY OFTEN. AND, AND IT'S HARD TO DETERMINE ARE THEY REALLY TRULY GONNA STAY RIGHT. AND ARE IN OUR, UM, YOU KNOW, IN OUR HOTELS IF THEY'RE TRAVELING FROM MCALLEN OR IF THEY'RE TRAVELING FROM MISSION. RIGHT. RIGHT. NOW, IF THEY'RE, YOU KNOW, RIO GRANDE CITY OR SOMEWHERE FURTHER THEN YES. SO ONE OF THE THINGS THAT, AND I'M GLAD JAVI IS HERE BECAUSE THERE'S, UM, THE VALLEY IS THERE'S A LOT OF SPORTS ACTIVITY, BUT MOSTLY FOR THE YOUNGER KIDS, RIGHT? SURE. AND THEN WE HAVE SOME TEAMS, UH, AND VAQUEROS ARE GONNA BE HERE, THE, THE FOOTBALL TEAM FOR U-T-R-T-V. BUT, UM, THE UPPER VALLEY HAS DONE KIND OF A REALLY GREAT JOB IN PROVIDING FIELDS WITH TURF AND MM-HMM. AND JUST REALLY, YOU KNOW, I THINK THEY'VE GOT ALL THE BUSINESS RIGHT IN TERMS OF, UM, TOURNAMENTS AND THINGS OF THAT NATURE. AND SO THERE IS A HUGE ECONOMIC IMPACT MM-HMM. IN, IN HIDALGO COUNTY BECAUSE PEOPLE GO TO THE GAMES AND THEY GO EAT AND THEY GO SHOP. BUT I DON'T KNOW THAT THEY'RE TRULY STAYING IN THE HOTELS. SO IF THE COMMISSION WANTED TO SAY, HEY, YOU KNOW WHAT? WE WANT PART OF THAT MM-HMM. . UM, AND, AND WE WANT TO INVEST THIS MONEY MM-HMM. INTO OUR FIELD SO THAT WAY WE CAN HOST THESE TOURNAMENTS. RIGHT. UM, COULD WE DO THAT? I DON'T KNOW IF THAT'S WHAT THEY DO OVER THERE, BUT I DON'T KNOW HOW, I'M NOT SURE, I DON'T KNOW IF I'D FEEL COMFORTABLE THINKING THAT THE FOLKS WOULD ACTUALLY BE STAYING HERE. EVEN IF IT WAS A TOURNAMENT FOR MULTIPLE DAYS, THEY COULD DRIVE HOME, UM, FROM, YOU KNOW, HARLINGEN TO BROWNSVILLE, MCALLEN AND, AND YOU KNOW, FROM FROM ONE COUNTY TO THE OTHER. SO IS THAT STRETCHING IT TO INVEST IN SOMETHING LIKE THAT? I, I THINK IT'S A GOOD THING TO PURSUE. AND NOW ONE OF THE THINGS YOU WOULD WANT TO DO IS THERE'S THE, THAT CATEGORY NUMBER, UH, SEVEN FOR SPORTING RELATED FACILITIES, YOU HAVE TO BE BRACKETED. UH, YOU HAVE TO HAVE A STATUTE THAT ALLOWS YOU TO EXPEND THE MONEY FOR THAT PURPOSE. I DON'T THINK MR. CITY MANAGER, DO WE HAVE, I DON'T THINK HARLIN AND IS YET BRACKETED FOR SPORTING RELATED FACILITIES? IS THAT I DON'T THINK SO. I DON'T THINK SO. SO WHAT I WOULD SUGGEST IS I COULD WRITE UP A BILL DRAFT FOR YOUR CITY ATTORNEY AND THE CITY COUNCIL TO LOOK AT AND YOUR CBB COMMITTEE TO, TO LOOK AT IT AS WELL. THAT WOULD ALLOW, JUST GIVE YOU THAT TOOL IN YOUR TOOL CHEST. YOU DON'T HAVE TO DO IT. BUT IF YOU FIND A PRODUCT THAT YOU REALLY LIKE, THAT WOULD BE A SPORTING RELATED FACILITY, YOU'D HAVE THE AUTHORITY ALREADY UNDER STATE LAW. OKAY. AND, AND THE TEST IS THAT YOU HAVE TO HAVE AT LEAST 10 REGIONAL STATE OR NATIONAL TOURNAMENTS AT THAT FACILITY ALREADY. SO SOME HISTORIC FACILITY, I THINK YOU MENTIONED A STADIUM THAT YOU ALREADY HAVE THAT'S, YOU KNOW, BEEN CHECK HOW MANY FAC TOURNAMENTS THEY HAVE. LET'S SAY YOU'RE ONLY GETTING FIVE RIGHT NOW, OR FOUR. WE MAYBE AMEND THE STATUTE FOR THE BRACKETING, FOR HARLINGEN FOR YOU TO DO IT, YOU KNOW, TO GET YOU IN THE DOOR. THAT WOULD BE ANOTHER TOOL. AND THEN YOU COULD LOOK AT AND HAVE EXPERTS COME IN AND NOT, SO YOU DON'T HAVE TO JUST GUESS WHAT COULD YOU ATTRACT IF YOU BUILT THAT FACILITY OR ENHANCE THAT FACILITY AND, AND HOW MUCH, WHAT WOULD BE THE RIGHT AMOUNT TO SPEND OUT A HOTEL TAX VERSUS YOUR ECONOMIC DEVELOPMENT SALES TAX? I WILL TELL YOU, IF YOU HAVE MULTI-DAY SPORTS EVENTS, THEY DO STAY OVERNIGHT. EVEN FOLKS WHO ARE FROM THE REGION, A LOT OF TIMES, ESPECIALLY IF IT'S YOUNGER KIDS, THEY DON'T WANNA BE GOING BACK LATE. I REMEMBER I HAD AN EVENT IN THE DALLAS METROPLEX AREA, THEY CALLED ME AND THEY SAID, HEY SCOTT, UM, CAN WE SPEND HOTEL TAX ON THIS BATTLE OF THE BAND'S EVENT? AND I SAID, WHEN DO YOU HOLD IT? AND THEY SAID, THURSDAY. I SAID, WHAT TIME? THEY SAID BETWEEN SIX 30 AND EIGHT 30. AND I SAID, WELL, DO YOU HAVE ANY OVERNIGHT ACTIVITY? AND THEY SAID, SCOTT, THEY DRIVE IN AND THEY DRIVE RIGHT BACK HOME. I SAID, WHAT IF YOU WERE TO DO IT ON A FRIDAY NIGHT? START, START IT A LITTLE BIT LATER, MAYBE SEVEN, AND GO TO NINE AND THEN DO A JURIED COMPETITION ALL DAY SATURDAY AND DO AN AWARDS LUNCHEON ON SUNDAY. THEY DID EXACTLY THAT FORMAT, MADE A ONE DAY, COUPLE HOUR EVENT, DO A THREE DAY EVENT AND WITHIN ONE YEAR THEY FILLED UP EVERY HOTEL IN THAT COMMUNITY. MM-HMM. THAT'S AWESOME. I MEAN, FOR THAT EVENT AND NOT JUST FOR ONE NIGHT, FOR THE ENTIRE WEEKEND. AND THAT WAS ONE OF THOSE COMMUNITIES THAT HAD A LOT OF WEEKDAY BUSINESS BUT NOT A LOT OF WEEKEND BUSINESS. AND SO IT WAS GREAT FOR THE HOTELS. THEY WERE HAPPY TO OFFER A COMPETITIVE RATE AND THE EVENT ALL THE RESTAURANTS BENEFITED, THE RETAIL, THE LIQUOR STORES, THE CONVENIENCE STATIONS, EVERYBODY BENEFITED BY TRYING TO FIGURE OUT, I ALWAYS LIKE TO SAY EVERY EVENT IS ELIGIBLE, YOU JUST NEED TO ADAPT IT TO MAKE IT INTO A TOURISM AND OVERNIGHT ACTIVITY EVENT. SO TAKE A ONE DAY EVENT INTO A TWO DAY EVENT OR A THREE DAY EVENT. MAKE IT SO IT'S DURING A TIME, UH, UH, INCENTIVIZE. IF YOU HAVE IN HARLINGEN, AND LET ME ASK THOUGH, TELLS ARE YOU BUSIER DURING THE WEEKDAYS OR THE WEEKENDS? SAY WEEKDAYS. SO SO YOU NEED [01:00:01] THE MOST BUSINESS ON WEEKENDS. IS THAT FAIR? SO, SO YOU MIGHT WANT TO HAVE HIGHER INCENTIVES FOR THE WEEKEND AND THEN MAKE IT SO THAT YOU'RE REALLY COMPETITIVE TO BRING IT IN BECAUSE THEN THEY CAN OFFER THE COMBINATION OF LOWER RATES AND YOU CAN OFFER MORE INCENTIVES TO FILL IN THAT. AND THEN THAT GENERATES MORE HOTEL TAX AND OTHER, AND SALES TAX AND ALL THE OTHER TAX THAT ARE RELATED TO THE ACTIVITY. SO I, I, I WOULD LOVE TO VISIT WITH YOU AND ABOUT THE OPTIONS FOR, YOU KNOW, DEVELOPING YOUR COMMUNITY AND IT'S, IT'S NOT A SIN IF IT HELPS YOUR LOCAL RESIDENTS AS WELL. YOU WANT A FACILITY, YOU KNOW, IT CAN'T BE 365 DAYS OF HOTEL ACTIVITY. WE WANT YOU TO FILL IN, TYPICALLY A CONVENTION CENTER IS USED ABOUT A HUNDRED DAYS FOR ACTUAL CONVENTION ACTIVITIES AND TOURISM EVENTS. BUT A LOT OF THE OTHER ACTIVITIES ARE LOCAL COMMUNITY ACTIVITIES. BUT YOU WANT TO HAVE THE ABILITY TO BOOK THE CONVENTION CENTER. I REMEMBER THE CITY OF WACO HAD A PROBLEM WITH THEIR CONVENTION CENTER WHERE THEY WEREN'T GETTING MANY MEETINGS. AND I SAID, WELL WHAT IS YOUR BOOKING POLICY? FIRST COME, FIRST SERVE? I SAID, DO YOU HAVE A WINDOW WHERE PEOPLE CAN BOOK THE ENTIRE FACILITY FOR A BIG TOURISM EVENT THAT TAKES PRIORITY OVER LOCAL EVENTS? AND THEY SAID NO. AND I SAID, IF YOU DON'T DO THAT, YOU'LL NEVER HAVE. 'CAUSE YOU HAVE THE LITTLE LOCAL CHAMBER AND THE LITTLE SPORTS ACTIVITIES AND THE BRIDGE CLUB AND THE SENIOR NUTRITION LUNCHEON, THEY HAD THE FACILITY WHERE EVERY DAY THERE WAS ENOUGH BOOKINGS THERE, YOU COULD NEVER GET THE WHOLE FACILITY. SO INSTEAD THEY SAID WITHIN THREE MONTHS YOU CAN BOOK ALL OF THE FACILITIES, BUT OUTSIDE OF THREE MONTHS THE CVB IS PRIORITY TO GET A MAJOR EVENT THERE. AND SO THEY CHANGED THAT AND THEN THEY STARTED GETTING, THEY COULD BOOK THE WHOLE FACILITY. THEY HAD A PRIORITY AND WHAT YOUR WINDOW IS OF WHAT, WHAT YOU SHOULD ALLOW FOR LOCAL EVENTS VERSUS, YOU KNOW, REGIONAL OR STATEWIDE EVENTS. YOU ADJUST BASED ON WHEN THEY CALL YOU. IF YOU GIVE MOST OF YOUR BOOKINGS, YOU KNOW, 60 DAYS OUT OR YOU KNOW, 90 DAYS OUT, THEN IT'LL ALLOW THAT A WINDOW FOR THEM TO HAVE PRIORITY FOR THAT FACILITY. AND THAT CAN HELP A LOT WITH YOUR, YOUR, AND THAT WOULD BE FOR YOUR SPORTS FACILITY AS WELL. GETTING TO SPORTS. ONE SPORT THAT STANDS OUT A LITTLE BIT IS BOXING. OKAY. BECAUSE WE COULD LOOK AT IT AS ONE GYM VERSUS ANOTHER GYM OKAY. IN DIFFERENT AREAS IN HARTON AND IN THE VALLEY. BUT THEN ONCE YOU START TO DO THAT, YOU EXPAND, WE HAVE ALL OF MEXICO THAT'LL HAVE GYMS THAT WOULD WANT, EXCUSE ME, THAT WOULD WANNA COME UP HERE AND THEN YOU GO FURTHER NORTH. SO NOW YOU HAVE SEVERAL GYMS GOING AT IT AND THEY COULD BE HERE OVER THE WEEKEND. I DON'T KNOW IF THAT'S, IF THAT'S POSSIBLE. UH, WE HAD AN EVENT IN, UH, APRIL, WHICH WAS THE REENACTMENT OF THE ALAMO. MM-HMM. AND THE GOLIAD AND, AND SANTO BATTLES THAT WOULD, I THINK WOULD BENEFIT US TO WHERE WE CAN EXPAND THAT TO A WHOLE WEEKEND. A HUNDRED PERCENT. UH, I DON'T KNOW HOW MUCH THE CITY INVESTED INTO THAT. DO YOU KNOW? NOTHING. WE, WE DIDN'T GIVE THEM ANY MONEY. NOTHING. WELL, WE LOST TWO COMMISSIONERS. THEY DIED IN FIVE . EXACTLY. I STILL, I STILL HAVE THE LOANS. OH YEAH. AND THERE'S, THERE'S THAT EVENT , THE BOXING THAT WE CAN BUILD UP. UH, WE ALSO HAD ANOTHER EVENT WHICH WAS THE, UH, A MARATHON FROM DON HARLINGEN. SO TO ADDRESS THE LAW, YOU HAVE THE CATEGORY FOR SPORTING RELATED EVENTS. SO ALL THE COSTS FOR PUTTING THAT EVENT ON THAT DAY, OR THE PREPARATORY COST TO GET READY FOR THAT EVENT, YOU ALREADY HAVE THE AUTHORITY TO DO THAT FOR YOUR BOXING EVENT OR OTHER SPORTING EVENTS. SO IT JUST EXPANDS INTO, AND THEN IF YOU WANNA MAKE FACILITY IMPROVEMENTS, YOU LOOK AT WHICH FACILITY YOU HAVE IN THE CITY THAT IS ALREADY BEING USED FOR REGIONAL, STATE, OR NATIONAL TOURNAMENTS. AND MAYBE YOU ADAPT THAT TO BE ABLE TO DO MORE BOXING EVENTS IF THAT'S YOUR PRIORITY. AND YOU COULD LOOK AT IT, YOU KNOW, GETTING THE CATEGORY, UH, GETTING BRACKET IN THAT SPORTING RELATED FACILITY CATEGORY. AND LIKE I SAID, WE, UM, THE PASS TRADE AT THE CAPITAL IS TYPICALLY AROUND OH, 17 AND 19% OF THE BILLS THAT ARE FILED PASSED. WE HAVE PASSED EVERY BILL WE HAVE PARTNERED WITH CITIES ON FOR THE LAST 24 YEARS. EVERY SINGLE BILL WE'VE OFFERED, WE HAVE BEEN ABLE TO PASS. I KNOW THAT Y'ALL OFFERED LEGISLATION LAST SESSION. UNFORTUNATELY IT WAS TOO LATE IN THE PROCESS BY THE TIME Y'ALL CAME TO US, FOR US TO TRY TO HELP YOU AS MUCH AS WE'D LIKE TO. BUT I THINK THAT BILL, I THINK WOULD'VE PASSED IF WE HAD STARTED WITH THE VERSION WE STARTED WITH, WITH AN ELECTION AND WITH THE REVISED WORDING. AND IF YOU WANT TO COME BACK NEXT SESSION TO TRY TO OFFER THAT BILL AGAIN, LET'S START NOW AND GET YOUR SENATE SPONSOR AND YOUR HOUSE SPONSOR AND, AND, AND WORK THE COMMITTEE. WE HAD ALREADY DONE A LOT OF WORK ON THAT, AND WE'D BE HONORED TO HELP YOU AT THAT. THAT'S STILL A PRIORITY FOR YOUR, YOU KNOW, YOUR COUNCIL. YEAH, ABSOLUTELY. I APPRECIATE THAT. AND YEAH, SO I THINK WE'LL BE A LITTLE MORE PREPARED THIS, THIS, THIS TIME. YEAH. WELL COME TO US BECAUSE WE, Y'ALL HAVE A THOUSAND AREAS AND DEPARTMENTS UNDER YOU. WE, WHAT WE DO IS ADVOCACY. SO LET US HELP [01:05:01] YOU TO MAKE IT EASY. LET US START THE PROCESS. YOU KNOW, WE HAD ALREADY WORKED THE SENATE CHAIR ON THAT AND HE WAS OKAY WITH IT BY THE TIME, YOU KNOW, WE HAD REWRITTEN, YOU KNOW, SOME OF THE WORDING OF THE BILL. SO IN FACT I HAVE THE WORDING OF THE BILL WITH ME, YOU KNOW, IN CASE THERE WAS ANY QUESTIONS. BUT, BUT WE'D LOVE TO WORK WITH YOU ON THAT, MAYBE ON THE SPORTING FACILITY. NOW, THIS NEXT SESSION MAY BE A LITTLE CRAZY BECAUSE WE HAVE ALL THESE BATTLES IN THE HOUSE BETWEEN THE DEMOCRATS AND THE REPUBLICANS AND WHO'S GONNA BE SPEAKER AND, AND THE, YOU KNOW, THE SENATE. SO A LOT OF PEOPLE ARE SAYING THEY'RE NOT SURE IF WHAT, IF ANYTHING, IS GONNA PASS THIS SESSION. SO ALL BETS ARE OFF, BUT I CAN PROMISE YOU THIS. WE'LL WORK WITH YOU AND IF THERE'S A CHANCE OF GETTING A PATCH, WE'RE GONNA HELP YOU MAKE IT HAPPEN. THAT'S AWESOME. COULD WE ALSO WORK ON GETTING HARS BRACKETED FOR SPORTS? THAT'S ABSOLUTELY, THOSE WOULD BE THE TWO ITEMS. THE VENUE, YOU KNOW, THE VENUE, TAX ITEM AND THE SPORTING FACILITY. AND THEN IF YOU HAVE ANOTHER PRIORITY, YOU CAN TALK TO US. BUT BECAUSE WE WOULD NEED THAT FIRST BEFORE MAKING ANY IMPROVEMENTS. IS THAT CORRECT? FOR YES. SO, UM, JUST SO THAT I UNDERSTAND OUR OLD STADIUM YES. BEFORE, I DON'T KNOW HOW, HOW LONG AGO WAS THAT? THAT WAS A LONG TIME STADIUM. MM-HMM. , THE WHITE WINGS WAS LIKE MORE THAN 10. THE WHITE WINGS LEFT ABOUT 20 YEARS AGO. OKAY. SO A LONG TIME AGO. SO WHEN YOU TALK ABOUT WHAT WAS HELD THERE BEFORE AND KIND OF UTILIZING THAT, IT DOESN'T MATTER HOW LONG AGO IT NEEDS TO BE CURRENTLY, YOU NEED TO BE ABLE TO SAY, AND THIS ISN'T A VERY HARD STANDARD TO MEET, YOU HAVE TO HAVE AT LEAST 10 REGIONAL STATE OR NATIONAL EVENTS. SO IF YOU LOOK AT A CALENDAR YEAR, THAT'S LIKE LESS THAN ONE A MONTH. OKAY. THAT YOU HAVE A ATTORNEY, BUT THAT WE STRIVE TO DO, OR WE HAVE THE HISTORY OF ALL THAT. YOU HAVE A HISTORY OF IT HAPPENING. NOW, LET'S SAY THAT YOU DON'T HAVE THAT RIGHT NOW, UHHUH, LET'S FIGURE OUT WHAT YOU HAVE. AND WE CAN ADAPT THE STATUTE STANDARD UNDER THE EXISTING STATUTE IS 10 REGIONAL, STATE OR NATIONAL TOURNAMENTS. BUT WE HAVE OTHER CITIES WE'VE DONE WITH A DIFFERENT MIX. MM-HMM. , THAT'S WHAT I WAS, WHAT I WAS THINKING IS THERE'S UM, THERE HAS BEEN, RIGHT, UM, INTEREST IN SOCCER FOR, FOR THE CITY OF HAREN. MM-HMM. . AND THAT MAYBE THERE, WE NEED A HAREN TEAM FOR SOCCER. SO IT WOULDN'T NECESSARILY BE, UM, BASEBALL. IT DOESN'T HAVE, IT DOESN'T MATTER WHAT IT'S FOR. OKAY. IF, IF, IF IT'S A REGIONAL, STATE OR NATIONAL TOURNAMENT. OKAY. UM, THAT HAS A HOTEL IMPACT, WHICH ALL OF THEM DO. RIGHT. UM, AND IT DOESN'T SAY HOW MUCH OF AN IMPACT, UM, YOU WOULD QUALIFY UNDER THE EXISTING TERMS. AND IF NOT, WE COULD WORK WITH YOU ON WHAT THE TERMS ARE BECAUSE SHE'S, I MEAN, THE, THE STADIUM IN QUESTION HASN'T BEEN USED IN ABOUT 20 YEARS. WELL, FOR A SPORTING EVENT. YEAH. SO THEN THAT'S WHEN, BUT DOESN'T HAVE ANY OTHER SPORTING EVENTS THAT ARE DONE THERE OR NOTHING? NO, IT'S BEEN, IT'S JUST NOTHING. IT'S DEAD. OH. UM, IT HAD THAT WOMEN'S FOOTBALL LEAGUE, OH, I DON'T KNOW ABOUT THAT TWO WHEN I STARTED. THAT WAS THE LAST YEAR THAT, UH, , THAT WAS 10 YEARS AGO. . OH. SO IT'S ONLY 10 YEARS. OKAY. I THOUGHT IT WAS LONGER, BUT CALL IT. AND THEN WE ALSO HAD IT, IT WAS AT THE SAME STADIUM. THAT'S WHERE WE HAD THE, UH, THE, THE, THE, THE TKA THE TEXAS, UH, INTER, UH, THE BATTLES, THE ALAMO BATTLE WHERE WE LOST TWO COMMISSIONERS. OOH, OKAY. . UH, SO IT WAS AT THAT STADIUM THAT THAT EVENT WAS HELD THE BATTLE OF THE ALAMO SANTO AND, AND GO. SO THAT EVENT WAS THERE IS TRYING TO PROMOTE THAT. WELL THESE ARE RE RE SPORTING EVENTS, RIGHT? SO THAT, THAT'S HISTORICAL REENACTMENT STUFF, RIGHT. THAT'S DIFFERENT HAS BEEN USED FOR EVENTS. 'CAUSE THE CITY, IT'S CITY PROPERTY. SO WE'VE, WE HAVE, UM, MANY EVENTS THERE WHERE FROM PARKS TO CI MEAN THAT IT HAS BEEN UTILIZED. IT'S NOT JUST SITTING THERE AND NOT BEING USED. RIGHT. BUT IT'S NOT BEING USED FOR ITS INTENDED PURPOSE, WHICH IS, SO IT WOULD BE HARD TO PROVIDE THAT DATA. SO THAT'S KIND OF WHAT I WAS TRYING TO FIGURE OUT, WHETHER IS IT POSSIBLE, SINCE WE DON'T HAVE THAT W THIS IS WHAT WE WOULD LIKE TO DO. AND MAYBE SEEING WHAT HA IS HAPPENING IN ANOTHER COMMUNITY ONCE, YOU KNOW, WITH, WITH IT UP AND GOING. SURE. I DON'T KNOW IF YOU COULD USE THAT, BUT WE DON'T HAVE, WE'RE NOT GONNA HAVE ANY, UM, WE DON'T HAVE A STATE, WE DON'T HAVE A STADIUM THAT IS FUNCTIONING, THAT JUST NEEDS UP UPGRADING BECAUSE, AND YOU KNOW, TO BE ABLE TO HAVE A BETTER QUALITY OR, OR ATTRACT MORE, UH, TOURNAMENTS OR ANYTHING LIKE THAT. 'CAUSE IT HASN'T BEEN USED. BUT I WAS WONDERING IF WE COULD REVIVE IT. 'CAUSE IT DOES NEED LIKE, NEW BLEACHERS AND OTHER THINGS THAT NEEDS, UH, THAT, THAT IT, IT, IT REALLY NEEDS SOME WORK TO BE UP IN WHAT YOU DO EVEN HAVE WITH THAT. RIGHT. RIGHT. UNDER THE CURRENT, THANK YOU, UNDER THE CURRENT STATE LAW, YOU NEED TO HAVE SOME SORT OF HISTORY. AND THE REASON FOR THAT IS EVERYBODY HOPES THAT THEIR FACILITY WILL BECOME A TOURISM OR A, OR, OR A A A TOURNAMENT LOCATION. THEY WANNA MAKE SURE THAT THEY'RE USING THE HOTEL TAX TO INVEST IN FACILITIES THAT AT LEAST HAVE SOME HISTORY OF HAVING THAT IMPACT. NOW, WHAT I WOULD ENCOURAGE YOU TO DO IS WE [01:10:01] COULD ADAPT THE STANDARD BASED ON MAYBE IF YOU HAVE SOME EVENTS, BUT MAYBE NOT AS MUCH OR THE OTHER, YOU COULD PHASE IT IN, LET'S SAY THAT YOU PHASED IN, YOU SPEND SOME CITY DOLLARS ON THE FACILITY THAT MAYBE AREN'T HOTEL TAX. YOU GET TO THE POINT WHERE YOU CAN HOST AT LEAST FIVE TOURNAMENTS OR THREE OR FOUR TOURNAMENTS. AND THEN YOU SAY, ALRIGHT, CAN WE REWRITE THE STATUTE TO SHOW WE HAVE SOME HISTORY OR SOME POTENTIAL AND THEN INVEST MORE FROM THE HOTEL TAX. OR ALTERNATIVELY, YOU GET IT UP TO THE POINT WHERE YOU HAVE THE 10 REGIONAL STATE NATIONALS. THAT'S NOT A LOT OF TOURNAMENTS. I MEAN, IF YOU THINK ABOUT IT, YOU KNOW, FOR A FACILITY THAT, AND ESPECIALLY SINCE IT CAN BE REGIONAL. MM-HMM. . SO IF YOU JUST YEAH, NO, PLEASE. NO, I WAS GONNA SAY THAT I THINK OUR BEST BET FOR USING THAT WOULD EITHER BE THE SOCCER COMPLEX OR THE SPORTS COMPLEX. I DON'T THINK FOR THOSE TYPE, BUT, BUT THOSE ARE, I GUESS YOU SAID REGIONAL. UM, YEAH. SO THAT IT JUST HAS TO BE OUTSIDE OF THE COUNTY. RIGHT. REGIONAL, JUST OUTSIDE OF YOUR CITY. YEAH. SO, YEAH. UM, GOING BACK TO THE TENNIS EXAMPLE, WE, WE JUST HAD, UH, I WAS TO DO THAT , A WESTERN ATHLETIC CONFERENCE, UH, TENNIS TOURNAMENT HERE IN HARINGTON THAT WAS BROADCAST ON ES ESPN UHHUH ALSO. WE DIDN'T USE ANY, WE DIDN'T GIVE ANY MONEY. WE DIDN'T USE ANY HOT PUNS ON THAT PARTICULAR VENUE. BUT I THINK WE'D LIKE TO TO BRING 'EM BACK. 'CAUSE THEY'RE SHOWED INTEREST IN COMING BACK NEXT YEAR. SO WE'D LIKE TO BRING THEM BACK AND PERHAPS MAYBE JUST EXPAND THE FACILITY A LITTLE BIT MORE TO OFFER MORE ACCOMMODATIONS. WELL, YOU COULD DO IT BOTH THEN, OR YOU COULD PROMOTE THEM UNDER ADVERTISING AND PROMOTION. DO A SPONSORSHIP. YOU COULD PUT DO IT UNDER, UH, EVENT COSTS UNDER CATEGORY NUMBER SIX. MM-HMM. . SO, UH, UH, LET ME MAKE SURE THAT I'VE COVERED ALL THE CATEGORIES SO THAT YOU DON'T NEED GOING. WELL, WHAT ABOUT THE OTHER ONES? MM-HMM. , WE TALKED ABOUT CONVENTION CENTERS. WE TALKED ABOUT REGISTRATION AND CONVENTION DELEGATES. WE TALKED ABOUT ADVERTISING AND PROMOTION. THE FOURTH CATEGORY IS PROMOTION OF THE ARTS. THERE'S A CAP ON HOW MUCH YOU CAN SPEND UNDER THE ARTS. YOU CAN'T SPEND MORE THAN 15% OF WHAT YOU BRING IN ON THE ARTS. AND IT'S NOT ENOUGH THAT SOMETHING IS JUST AN ARTS, UH, UH, EVENT. IT ALSO NEEDS TO HAVE SOME IMPACT ON TOURISM AND THE HOTEL AND CONVENTION INDUSTRY. DEFINED ARTS. CAN YOU, UM, ARTS IS LITERALLY FROM DRAMA TO SCULPTURE TO POETRY. AND THEY HAVE A, A WHOLE EXHAUSTIVE LIST OF ARTS UNDER CHAPTER 3 51. THERE'S NOT AN ARTS FORM YOU CAN THINK OF THAT IS NOT COVERED FROM MOTION PICTURES TO CREATIVE WRITING TO ANY ART FORM THAT ANYBODY WOULD RECOGNIZE AS AN ART FORM IS GONNA BE ELIGIBLE. YOU KNOW WHAT, SCOTT? YES. COULD YOU ADD THE 15% FOR THE EXPENDITURES TO PROMOTE THE ARTS TO THE 15% FOR THE HISTORICAL RESTORATION AND PRESERVATION PROGRAMS. SO HARLINGEN HAS A VERY LONG HISTORY OF ARCHITECTURE. WE HAVE TWO, UH, NATIONALLY KNOWN ARCHITECTS THAT CAME AND, UH, BUILT A BUNCH OF BUILDINGS, HOUSES AND ALL THAT IN THE CITY, RIGHT. UNDER THE ARTS, DESIGN AND ARCHITECTURE, DESIGN AND ART. AND ALLIED FIELDS COUNT AS ARTS. RIGHT. AND THEN ON TOP OF THAT, SOME OF THESE BUILDINGS, FOR EXAMPLE, A CITY BUILDING THAT WAS DESIGNED AND BUILT BY, UH, ALAN GANACHE, PANCHI, UH, NEEDS REPAIRS. AND SO I THINK THAT WOULD FALL UNDER HISTORIC RESTORATION, HISTORIC RESERVATION. NOW, BECAUSE WE HAVE A HISTORY OF IT. AND BECAUSE THESE GUYS BUILT SO MANY HOUSES AND PROPERTIES IN HARLINGEN, WE COULD TURN AROUND, I'M THINKING JUST OUT LOUD, THAT WE CAN CREATE A ANNUAL EVENT IN WHICH WE DO A TOUR. RIGHT? A HUNDRED PERCENT. YOU COULD, I DID START ONE. UM, SHANE STUBBART AND BRIANNA VELA STARTED, IT'S LIKE MID-CENTURY MODERN HOMES IN HARLINGEN BY THIS ARCHITECT. SO THERE'S SOME HOMES THAT ARE STILL IN PRISTINE CONDITION, UM, INCLUDING THE BANK RIGHT HERE IN FRONT OF PILATES. UM, SO THERE'S SOME ARCHITECTURE THAT'S STILL IN GOOD CONDITION. AND THEY WOULD MEET, I MET WITH THEM A COUPLE OF TIMES AND SOMETIMES WHEN WE'RE DOING, UH, LIKE BRANDING FOR THE CITY, I'M LIKE, WE NEED TO GO BACK TO MID-CENTURY MODERN AND TIE IN THAT ARCHITECTURE THAT WE HAD. IT WAS LIKE A VERY BIG STRONGHOLD. SO WE'VE KIND OF DISCUSSED IT AMONGST OURSELVES, BUT, UM, THEY DID START LIKE A LITTLE CLUB AND YOU'D GO TO THE HOMES AND, AND THE, AND THE HOMEOWNER'S VERY PROUD RIGHT. OF THEIR ARCHITECT HOME. BUT IT WOULD BE GREAT TO EXPAND ON IT. I THINK THEY BOTH KIND OF, UH, COVID. RIGHT. THAT EXCUSE KIND OF HAPPENS. RIGHT. BUT, UM, SO IT'D BE GREAT TO EXPAND ON THAT AGAIN, UH, BECAUSE IT IS, IT IS SOMETHING THAT WOULD ATTRACT PEOPLE TO COME AND STAY OVERNIGHT TO VISIT MULTIPLE LOCATIONS AROUND THIS. THE, AND YOU DID THE PERFECT MARRIAGE OF ALL THOSE CATEGORIES. I LOVE THAT YOU'RE LOOKING AT THE LAW. IT WOULD COUNT AS A PROMOTION ARGUMENT. HE'S AN ATTORNEY. HE'S A LAWYER. HE'S A LAWYER. I'M SO SORRY. . HE HAD A QUOTA OF NO MORE THAN ONE AT A TABLE . I THOUGHT I WAS THE, I THOUGHT I BET THE QUOTA. I THINK THERE'S A LOT HERE. YEAH. OH, NOW I'M TRULY FRIGHTENED. . ALL RIGHT. ALL RIGHT. SO THEN WHAT I'M THINKING IS IF WE NEED TO DO RENOVATIONS ON ONE OF THE BUILDINGS THAT THE CITY OWNS, WE CAN GO UP TO THE 15% [01:15:01] IN ONE CATEGORY AND THEN CREATE THE PROGRAM USING 5% OF THE OTHER CATEGORY AND USE ANOTHER 10% TO ALSO THEN HELP RENOVATE THAT BUILDING. CORRECT. INCORRECT. INCORRECT. OKAY. TO RENOVATE, BECAUSE AS A LAWYER, UM, HISTORICAL RESTORATION AND PRESERVATION WOULD ANTICIPATE CAPITAL COSTS OF RENOVATING A FACILITY. BUT THERE'S BEEN AG OPINIONS UNDER PROMOTION OF THE ARTS THAT THEY SAY THERE'S NOTHING IN THERE THAT TALKS ABOUT CONSTRUCTION OR RENOVATION. NOW, COULD YOU PROMOTE IT IN TERMS OF ADVERTISING YOUR WALK OR ADVERTISING WHAT YOU DID FOR AN EVENT BASED ON THE RENOVATION? YES. BUT YOU COULDN'T DO RENOVATION UNDER BOTH. OKAY. SO ONLY PRESERVATION. SO I CAN MAX OUT THE 15% OF PRESERVATION. THE PRESERVATION WOULD BE UNDER THE HISTORIC CATEGORY. CORRECT. CATEGORY NUMBER FIVE. AND AGAIN, THERE'S A 15% CAP ON HISTORICAL RESTORATION. PRESERVATION, A 15% CAP ON THE ARTS. BUT THAT MEANS IS THAT ANNUAL? I'M SORRY? IS THAT ANNUAL ANNUALLY? YES. SO IF WE'VE NEVER USED IT BEFORE, UM, DOES IT CARRY OVER THEORETICAL? THEORETICALLY. THEORETICALLY. THANK YOU. , THEORETICALLY. , YES. HYPOTHETICALLY, CERTAIN WORDS. I'M JUST NEVER GONNA GET I YET, UH, UH, HYPOTHETICALLY THE THEORETICALLY, UM, YES, YOU COULD, IN FACT, YOU COULD LOOK AT SOME OF YOUR RESERVE YEAH. MONEY AND SAY, ALL RIGHT, FROM THIS RESERVE MONEY. BUT YOU'D HAVE TO TRACE IT TO THE YEARS AND MAKE SURE THAT YOU WEREN'T IN THOSE YEARS ALREADY EXPENDING YOUR 15% OF THE ARTS OR 15% OF THE HISTORICAL AND TAKE OUT WHAT YOU HAVE SPENT IN THOSE BUDGET YEARS. AND WHAT REMAINS UNDER THOSE CATEGORIES. YOU COULD PROBABLY TRACE, UM, WE GET MONEY TO THE MUSEUM AND TO LIKE THE, UH, AUDITORIUM. SO THAT'S PROBABLY WHERE THAT 15% WAS USED. YOU GO TO THE CAP EVERY YEAR? YEAH. NO, WE DON'T. NOT YET. NO. WE DON'T NEED THE CAP EVERY YEAR. OKAY. NO. SO THERE'S, THERE IS ALWAYS FUND BALANCE. THERE'S A DIFFERENTIAL, THERE'S ALWAYS FUND BALANCE. SO IT'D BE INTERESTING TO SEE WHAT THAT YEAH, WE WOULD PROBABLY JUST NEED TO LOOK AT THE BUDGET AS A WHOLE, LIKE THE WHOLE HOT FUNDS, BECAUSE I ONLY MANAGE THE CONVENTION AND VISITORS BUREAU BUDGET OF IT. SO IT'S NOT THE FULL AMOUNT. MM-HMM. . SO, BUT THE PERCENTAGES COME FROM THE FULL AMOUNT. SO WE WOULD DEFINITELY HAVE TO BE LIKE A MORE IN DEPTH LOOK TO THE WHOLE BUDGET. YOU'D HAVE TO TRACE THEM AND THE OKAY. WHAT'S BEEN USED. YEAH. SO YEAH. SO WE NEVER USE THAT ALL BUT THE WAY YOU'RE THINKING. I AGREE. OKAY. BUT YOU ALWAYS HAVE TO SEPARATE OUT, THERE'S A DIFFERENCE BETWEEN CAPITAL COSTS, YOU KNOW? CORRECT. FACILITY RENOVATIONS OR CONSTRUCTION VERSUS JUST EVENT COSTS. CERTAIN CATEGORIES ARE ELIGIBLE FOR ONE, CERTAIN CATEGORIES ARE ELIGIBLE FOR BOTH. AND SCOTT, CAN WE USE THAT 15% ON THE PRESERVATION PROGRAM TO BE THEN LEVERAGED FOR STATE AND FEDERAL LANDSCAPE FOR RESERVATION AND PRESERVATION? UM, YOU COULD UNDER THE HOTEL TAX LAWS. NOW WHETHER OR NOT THOSE PROGRAMS ALLOW OR REQUIRED VARIOUS FUNDS OR HAVE CERTAIN MANDATES AS A SEPARATE ISSUE. OKAY. BUT IT'S FINE ON THIS SIDE OF IT, ON THIS SIDE. UNDER CHAPTER THREE 50 ON THE TAX CODE, YOU COULD, YEAH. THEY'RE MUNICIPAL FUNDS. YEAH. YEAH, YEAH. SO, ALRIGHT, SO ANY OTHER QUESTIONS ON EXPENDITURES TO PROMOTE THE ARTS? OKAY. AND THEN HISTORICAL RESTORATION. PRESERVATION IS CATEGORY NUMBER FIVE. AGAIN, THAT WOULD BE REENACTMENT EVENTS OR IT COULD BE FACADE IMPROVEMENTS DOWNTOWN OR FOR HISTORIC BUILDINGS. THEY HAVE TO BE STRUCTURES THAT ARE ACTUALLY TOURISM VENUES. SO IF IT'S A FACILITY THAT DOESN'T HAVE TOURS OR TOURISTS DON'T COME IN, UM, UH, TO, TO SEE IT AS AN ATTRACTION, YOU WOULDN'T EXPEND THE MONEY ON IT. SO, UH, ANY QUESTIONS ABOUT HISTORICAL RESTORATION AND PRESERVATION? DID BUILDING REGISTERED? NO. THE STATE LAW DID, IN FACT, I, I I TELL THIS STORY. I HAVE HAD A HOUSE IN LAKEWAY, TEXAS. WE'RE JUST OUTSIDE OF AUSTIN. AND THEY HAD A HISTORIC MARKER ON THE OLDEST, YOU KNOW, HOMESTEAD IN LAKEWAY, WHICH WAS ONLY, I THINK 38 YEARS OLD. SO I TOLD COMPLAINED TO THE MAYOR, I SHOULD HAVE A HISTORIC MARKER SINCE I'M OLDER THAN YOUR OLDEST BUILDING . UM, SO THERE'S NO DEFINITION UNDER THE STATE LAW OF WHAT'S HISTORIC. IT DOESN'T HAVE TO BE STATE DESIGNATED OR NATIONAL HISTORIC DESIGNATION. IT'S A BASICALLY A CALL TO THE CITY COUNCIL AS TO WHAT THEY CONSIDER HISTORICALLY SIGNIFICANT. OKAY. SO HISTORICAL RESTORATION AND PRESERVATION. UM, CATEGORY NUMBER SIX, WE TALKED ABOUT SPORTING RELATED EVENTS. CATEGORY NUMBER SEVEN, WE'RE GONNA WORK WITH YOU TO GET AUTHORITY SPORTING RELATED FACILITIES, IF THAT'S WHAT THE COUNCIL WANTS TO DO. UH, CATEGORY NUMBER EIGHT, NOT, EXCUSE ME, SCOTT, JUST BEFORE WE HOP OFF SEVEN UHHUH . SO GOING BACK TO WHAT GABE WAS TALKING ABOUT, WE HAVE A PARK IN TOWN THAT WE HOSTED THAT TENNIS TOURNAMENT, RIGHT? MM-HMM. . AND WE HAVE A BIG SWIMMING POOL THERE THAT WE HOST EVENTS FOR LIKE, UM, ORIGINAL TRIATHLONS AND SWIMMING TOURNAMENTS DURING THE SUMMERTIME AND ALL THAT. COULD THIS, IF WE WERE TO CONSIDER THE WHOLE PARK A SPORTING FACILITY AND IT TALKS ABOUT ENHANCEMENT OR UPGRADING OF EXISTING SPORT FACILITIES, COULD WE BUILD A MASSIVE, LET'S SAY PICKLEBALL FACILITY TO THEN HOST STATEWIDE TOURNAMENTS? YES. THERE WE GO. AND THAT ONE DOES HAVE HISTORY. CORRECT? THAT STUFF DOES HAVE HISTORY. SO [01:20:01] IT'S EASIER TO, TO BASE THAT BACK. I'M, YOU HAVE TO HAVE A HISTORY OF REMEMBER THE 10 REGIONAL STATE OR NATIONAL TOURNAMENTS AND YOU HAVE TO REALIZE THAT WHATEVER YOU EXPEND YOU AT THE SHOW, THAT YOU GET BACK AT ROOM NIGHTS OVER FIVE YEARS OR, YOU KNOW, YOU DON'T MEET THAT ROI REQUIREMENT, BUT YES. AND SO, UH, UM, THAT'S CATEGORY NUMBER SEVEN. CATEGORY NUMBER EIGHT, TOURISM RELATED SHUTTLES. SO IN OTHER WORDS, SHUTTLES OF HOTEL GUESTS TO AREA ATTRACTIONS TO YOUR DOWNTOWN, TO YOUR CONVENTION CENTER, TO OTHER HOTELS, TO TOURISM ATTRACTIONS. IT'S NOT YOUR CITY BUSES, IT'S, IT'S, IT'S NOT GENERAL CITY TRANSIT. IT WOULD BE SPECIAL SHUTTLES THAT TAKE PEOPLE FROM THE AREA HOTELS ALL TO AN ATTRACTION OR TO SHOPPING. THAT'S CATEGORY NUMBER EIGHT. ANY QUESTIONS ABOUT TOURISM RELATED SHUTTLES CATEGORY? GO AHEAD. THOSE SHUTTLES HAVE TO BE WITHIN THE CITY. THEY CAN GO, CANNOT GO OUT. THAT'S INTERESTING. UM, I'LL LOOK AT THE STATUTE, BUT I THINK THE INTENTION IS TO BE ATTRACTIONS WITHIN THE CITY. BUT I THINK IF YOU'RE IN AN ATTRACTION JUST OUTSIDE OF THE CITY, NO ONE WOULD PROBABLY OBJECT IF THAT'S, IF YOU HAPPEN TO GO INTO THE COUNTY FAIRGROUNDS AND IT'S JUST OUTSIDE OF THE CITY AND THAT'S WHERE YOU'RE TAKING EVERYBODY, I THINK IT'D BE FINE. I, I THINK THE LAST TIME WE USED THAT, UM, PROVISION, YEAH, THAT PROVISION, WE ONLY HAD THE SHUTTLES GOING INSIDE THE CITY. WE HAD A ROTARY INTERNATIONAL FROM MEXICO. MM-HMM. COME IN TO HARINGTON TO HOST THEIR, THEIR ANNUAL CONVENTION AT THE, UM, AUDITORIUM. THAT WAS BEFORE WE HAD THE CONVENTION CENTER. AND SO WE HOSTED THE FAMILIES TO GO AROUND TOWN SHOPPING. SO THAT'S NICE. COULDN'T YOU USE THIS TO ALMOST SUPPLEMENT A BUS ROUTE? NO, BECAUSE IT, IT, THE MAJORITY OF THE PEOPLE, IT IT'S ONLY TRANSPORTING TOURISTS THAT'S ELIGIBLE. CORRECT. BUT IF YOU DID IT FROM THE HOTELS TO THE SHOPPING CENTERS, LIKE TO DOWNTOWN JACKSON, THEN TO LIKE OUR BIRDING FACILITY LIKE THAT, WOULDN'T YOU? YOU'RE HITTING ALL THE POINTS THAT, AND YOU'RE HITTING IT FROM THEMSELVES, RIGHT? I BUT IS THIS YOUR GENERAL CITY BUS? WE DON'T HAVE A GENERAL CITY BUS. SO THIS WOULD BE THE FIRST VALLEY METRO. THIS WOULD, THIS WOULD, THIS WOULD BE A SPECIAL, UH, SHUTTLE RIDE. YEAH. THE INTENT IS FOR IT TO BE FOR SPECIAL EVENTS FOR A EVENT. RIGHT. FOR A EVENT OR A SERIES OF EVENTS. AND SO IT WOULDN'T BE JUST A GENERAL ROUTE THAT GOES ALL THE TIME. ALTHOUGH REALLY ONE OF THE CITIES THAT DID THIS WAS, UH, SOUTH LAKE AND THEY, THEY PARTICULARLY WANTED TO HAVE A REGULAR SHUTTLE. THE WENT BETWEEN THE HOTELS AND THEIR BIG SHOPPING AREA. MM-HMM. . AND SO THEY DID IT THAT WAY. BUT, BUT AGAIN, IT SHOULD BE THE, THE, THE, THE PEOPLE WHICH IS TRANSPORTING SHOULD BE HOTEL GUESTS. AND THAT'S THE WAY IT'S WRITTEN UNDER THE LAW. AND YOU WANT THEM KIND OF IN YOUR COMMUNITY GOING FROM ONE PLACE TO RIGHT. EXACTLY. AND THEN THE FINAL CATEGORY IS, IS CATEGORY NUMBER NINE IS TOURISM RELATED SIGNAGE. THAT'S BASICALLY NOT YOUR WELCOME TO HARLINGEN, BUT IT WOULD BE THE SIGN. HERE'S WHERE THE, YOU KNOW, THIS MUSEUM IS, THIS IS WHERE OUR HISTORIC THEATER IS. THIS IS WHERE OUR DOWNTOWN SHOPPING AND THIS IS WHERE OUR CONVENTION CENTER IS. SO SIGNAGE AND DIRECTIONAL SIGNAGE TO YOUR MAJOR ATTRACTIONS. SO THOSE ARE YOUR NINE CATEGORIES. CONVENTION CENTERS, REGISTRATION AND CONVENTION DELEGATES, ADVERTISING AND PROMOTION, PROMOTION OF THE ARTS, HISTORICAL RESTORATION AND PRESERVATION, SPORTING RELATED EVENTS, SPORTING RELATED FACILITIES, TOURISM RELATED SIGNAGE AND, AND, AND, UH, SHUTTLES BETWEEN AREA ATTRACTIONS OF, YOU KNOW, TRANSPORTING HOTEL GUESTS. WHAT OTHER QUESTIONS CAN I HELP YOU WITH ON ANY OF THESE? YES SIR. THANK YOU. EXCUSE ME. ON THE SHUTTLES. MM-HMM. , WHAT I WAS THINKING IS NOT JUST WITHIN THE CITY, WE HAVE A A, SOME NATURAL WILDLIFE, UH, PARTS MM-HMM. IN THE AREA, WHICH COULD BE ABOUT 10, 15 MILES. WE HAVE TWO OR THREE. SO COULD THESE SHUTTLES BE USED FOR THAT? LEMME DO THIS. IF THEY STAY IN THE, IN THE, LET ME, LET ME LOOK AT THE STATUTE. I, I BELIEVE IT SAYS TO, IT, IT, IT TALKS ABOUT WITHIN THE CITY, BUT LET ME LOOK AT THE STATUTE AND, AND IF WE'RE DOING IT A LAW, UH, GETTING YOU INTO SUPPORTING RELATED FACILITIES, IF IT'S IMPORTANT TO YOU TO HAVE IT WITHIN THE VICINITY OF THE CITY, WE COULD AMEND THE STATUTE TO ADDRESS THAT AS WELL. SO YOU JUST HAVE TO LOOK AT WHETHER WHAT, WHAT, WHAT YOUR PRIORITIES ARE. UM, I THINK SOMETHING THAT WE ARE WORKING ON, UH, THROUGHOUT THE COUNTY MM-HMM. ACTUALLY BOTH COUNTIES IS OUR TRAILS. UM, AND THAT DOES BRING IN LOTS OF FOLKS FROM ALL OVER. AND HARLINGEN HAS BEEN PUTTING IN A LOT OF WORK AND, AND, AND GETTING THE TRAILS, UH, TO BE COMPETITIVE. AND SO WE HAVE, WHAT IS IT THAT, THAT, WHAT DID WE DO THIS? IT'S BEEN TWO YEARS ALREADY. IS IT THE BATTLE OF, OR WHAT IS IT CALLED? THE DOWN AT THE ARROYO OR DOWN YEAH. UM, SHOW DOWN, SHOW DOWN AT THE ARROYO. SO THAT IS AN EVENT. UM, AND SO I KNOW THAT PEOPLE FROM, I'M PRETTY SURE THEY'RE STAYING IN THE HOTELS. WE JUST DON'T TRACK IT BECAUSE IT'S NOT SOMETHING THAT WE'RE PROMOTING. [01:25:01] BUT, UM, THE BIKING COMMUNITY IS JUST GROWING AND GROWING. MM-HMM. HERE IN OUR COMMUNITY. AND SO THEY COME FROM MEXICO. THERE WAS PEOPLE FROM CANADA RIDE AND JUST LIKE FROM ALL OVER AND OBVIOUSLY THROUGHOUT THE VALLEY. AND HARLINGEN IS THE ONLY PLACE. UM, THE NEXT ONE IS SOUTH OF SAN, SAN SAN ANTONIO TO HOST THESE KINDS OF EVENTS. SO SINCE WE'VE ALREADY, WE'VE DONE THAT TWO YEARS IN A ROW, COULD WE USE SOME OF THE MONEY TO NOT JUST TO, UM, HELP WITH PUTTING ON THE EVENT, WHICH I THINK THAT WE SHOULD DO AND, AND HAVE SOME, UM, MARKETING OF IT, BUT ALSO MAYBE TO IMPROVE THE, THE PARK THAT IS, UM, SIDE OF THE TOUR, THE SIDE OF THE TRAILS. MM-HMM. BECAUSE SO NO, SO IT HAS TO BE, YEAH. THERE IS, THERE'S A PROVISION IN THESE HOTEL TAX LAWS THAT SPECIFICALLY SAYS YOU CAN'T EXPEND LOCAL HOTEL TAX ON INFRASTRUCTURE. AND THAT WOULD BE ROADS, STREETS, PARKS, SIDEWALKS, EVEN EVEN THE TRAILS THEMSELVES. EVEN TRAILS AND, AND TRAILS. I GET THIS QUESTION EVERY SESSION BECAUSE MM-HMM. , THERE'S A LOT OF TOURISTS WHO GO TO TRAILS AND FRANKLY THERE'S A LOT OF TOURISTS WHO GO TO PARKS, YOU KNOW, AND, AND THE LAKES AND THINGS LIKE THAT. BUT THERE'S HUGE PUSHBACK BY A LOT OF FOLKS ON, ON, UH, THEY DON'T WANT TO GO DOWN THAT PATH BECAUSE THEY, THEY, THEY ARE FI FROM THE TRAVEL AND TOURISM INDUSTRY. THEY'RE AFRAID THAT ONCE YOU START ALLOWING HOTEL TAX TO BE SPENT ON THE PARKS, YOU'LL NO LONGER HAVE ANY MONEY FOR YOUR CONVENTION CENTER OR FOR TOURISM RELATED EVENTS OR TOURISM RELATED MARKETING. 'CAUSE IT'LL ALL GO TO GENERAL PARKS. OKAY. AND SO THEY HAVE, YOU KNOW, I I HAD ACTUALLY WORKED OUT A COMPROMISE WITH THE TEXAS CITY MANAGERS ASSOCIATION ON A PARKS BILL AND THE GOVERNOR. I MEAN, IT WAS KILLED BY SO MANY PEOPLE. . I DIED, I DIED A THOUSAND. IT'S A BIG NO, NORMA . YEAH, YEAH, YEAH. YOU'VE BEEN THERE, MAYOR. RIGHT? RIGHT. YEAH, IT'S HERE. I THOUGHT I WAS DOING THIS BLESSING AND YOU KNOW, AND FOUND SOMETHING THAT WAS A WIN-WIN AND THE GOVERNOR'S OFFICE KILLED IT AND THE SENATE OFFICERS KILLED IT. AND, AND, AND YOU KNOW, I MEAN IT WAS JUST DEAD, DEAD AND DEAD AGAIN, . SO, YOU KNOW, AND I, I, I GOT AN EMAIL THIS MORNING FROM MCKINNEY ASKING ABOUT TRAILS AND AND PARKS AND I SAID, WELL, LET ME JUST TELL YOU HOW THIS LET ME TELL YOU ABOUT, YOU KNOW, MY PAST LIVES THAT ENDED ABRUPTLY. BUT SPONSORING AND HELPING WITH THE PROMOTION OF THE EVENT IS FINE. ABSOLUTELY EVENT RELATED, BUT JUST NOT THE, NOT, NOT EVEN SINCE WE ALREADY KNOW THAT WE HAVE PEOPLE LIKE OUR HAR ENGINE MARATHON THAT YOU GUYS DO A PHENOMENAL JOB. WE KNOW THAT A LOT OF PEOPLE COME FROM ABSOLUTELY. HAVE TO HAVE THAT FORM. SO THIS, YEAH. IT GOES BACK TO GETTING THE FORM TO THE PEOPLE PUTTING ON THE EVENT TO MAKE SURE THEY FILL IT OUT BEFORE THEY, SO I, I TOOK NOTES AND I THINK THAT THAT'S SOMETHING THAT WE PROBABLY NEED TO REALLY KIND OF HONE IN ON IN TERMS OF, UM, I REALLY LIKE THE IDEA THAT YOU SAID IF, YOU KNOW, IF YOU BOOK A ROOM AND THERE'S A, THERE'S A A DIFFERENT RATE, UM, FOR, YOU KNOW, IT'S SUCH A SMART WAY TO DO BECAUSE THEN THEY DOCUMENT ALL YOUR IMPACT. MM-HMM. . AND THEN YOU FIGURE OUT EVEN THE ONES WHO DON'T GET THE DISCOUNT THAT THEY'RE TELLING YOU SOMETHING WE'RE A LOCAL EVENT. YEAH. WE COULD DO IT ANYWAY. CORRECT. RIGHT, RIGHT. AND IT ALSO CLUES INTO THE CVB ABOUT WAYS WHEN THEY, WHEN THEY FILL OUT THAT FORM AND SAY, YEAH, WE HAVE A NEGOTIATED RATE AND YEAH, WE'RE DOING THIS, THEN THERE CAN BE AN AUTOMATIC NOTICES OF CVB TO OFFER. HOW CAN WE HELP YOU? HOW CAN WE MAKE, 'CAUSE THAT'LL MAKE IT WHERE THE EVENT'S MORE SPECIAL. THEY MAY NOT BE AWARE OF ALL THE PROMOTION. IT'S SUCH A WIN-WIN OPPORTUNITY. MM-HMM. . RIGHT. AND, AND EVERYBODY WANTS A DISCOUNT. SO THEY'RE GONNA DO IT IF, IF, YOU KNOW, IF IT'S ON THERE, IF IT'S AN OPTION. I THINK THAT'S A GOOD IDEA. I HADN'T THOUGHT ABOUT IT AND HONESTLY UNTIL WELL, I'M GLAD IF THIS IS HELPFUL. YES, THANK YOU VERY MUCH. AND I HAVE SCOTT'S INFORMATION THAT I COULD GIVE YOU IF YOU GUYS WANNA LIKE EMAIL HIM. YOU THINK OF SOMETHING LATER DOWN THE LINE. YOU, AS YOU KEEP LOOKING AT THE BUDGET TO BE LIKE, WOULD THIS WORK OR WOULD THIS NOT GREAT RESOURCE? I ALREADY WANT A NEW SOCCER TEAM, PICKLEBALL COURT, GOSSIP THE SOUL. I DON'T KNOW. LIKE WHAT, WHAT WE, WHAT ELSE COULD WE NEED? RIGHT? YEAH. JUST DON'T ASK THEM WHO THE BEST PICKLEBALL PLAYER IS BECAUSE THAT'S A WHOLE DIFFERENT CONVERSATION. IT'S ME. CLEARLY YOU. THERE'S NO DOUBT THAT I'M THE BEST ONE. AND IT FIGURE YOU'RE ALSO THE LAWYER. . OH MY GOODNESS. WHAT OTHER QUESTIONS DO Y'ALL HAVE FOR ME? I I DON'T, IF YOU COULD SEND US, I DON'T KNOW IF YOU'VE, I DON'T KNOW, MAYBE YOU ALREADY GET AN EMAIL ABOUT IT, BUT LIKE, THE BEST PRACTICES YOU'VE SEEN FROM DIFFERENT CITIES, LIKE I REALLY LIKE THE STORY YOU TOLD US ABOUT FREDERICKSBURG. RIGHT? THANK YOU. LIKE THE, THE BEAUTIFUL, UH, REVITALIZATION OF THE WHOLE TIME. UM, THINGS LIKE THAT. OR IF YOU HAVE A, IF YOU HAVE A MAIL OR SOMETHING LIKE THAT, JUST SO WE CAN, WE, THERE'S NO REASON WE NEED TO REINVENT THE WHEEL, RIGHT? WE JUST PICK A HUNDRED PERCENT. WHAT, WHAT I WOULD ENCOURAGE YOU IS I HAVE NOT PUT INTO PAPER THE 24 YEARS THAT I'VE BEEN WORKING WITH MUNICIPALITIES, UH, AND COUNTIES AND PARTNERSHIPS. [01:30:01] UM, BUT I CAN TELL YOU THIS, UM, I WOULD WELCOME WHEN YOU GUYS ARE READY TO SAY, HERE ARE OUR GOALS OR WE'RE GONNA HAVE A BUNCH OF FOLKS TO COME TALK, I'LL COME OUT WITH YOU AND TALK TO YOU ABOUT WHAT COMMUNITIES HAVE TRIED, THE IDEAS THAT YOU'RE TALKING ABOUT AND, AND MAYBE THINGS THAT WORKED AND DIDN'T WORK. AND I WISH I HAD IT ALL REDUCED TO WRITING, BUT I'D BE HAPPY TO COME AND BE PART OF THE SOLUTION AND BE PART OF THE, YOU KNOW, THE, THE DISCUSSION AND, AND YOU KNOW, THAT'S PART OF THE BEAUTY OF HAVING A PARTNERSHIP. YOU KNOW, AS Y'ALL DO BETTER AND YOU FEEL LIKE YOU HAVE MORE RESOURCES, WE FEEL LIKE WE'VE PROVIDED VALUE. SO YOU'RE STAYING IN THE HARLAN IN HOTEL TONIGHT? I HAVE A BOOKING TONIGHT, BUT I HAVE A FLIGHT TONIGHT AT EIGHT IF I GET OUT IN TIME TO GET IT. IF NOT, I HAVE A FLIGHT AT 8:00 AM SO, WELL, WE SHOULD LET YOU MAKE YOUR FLIGHT. WE REALLY, MY PRIORITY IS TO MAKE SURE I TAKE CARE OF ANYTHING YOU NEED. MAKE A I'M MAKING MISTAKE. THAT'S WHAT I WAS, YOU'RE ONE OF LIKE BEING AN ATTORNEY. WAIT A MINUTE FOR IS GONNA TELL SOME GREAT STORIES ABOUT BEING IN THE MARINE CORPS FOR THE NEXT HOUR AND A HALF, RIGHT? , I WANNA HEAR THE, THE, THE TRACK, THE RAILROAD TRACK STORY. , IT'S A PG STORY. WHAT OTHER QUESTIONS THE Y'ALL HAVE? YEAH, THIS HAS BEEN VERY, VERY INFORMATIVE. I HAVE BEEN, YOU KNOW, VERY CAUTIOUS IN TERMS OF LIKE HOW WE GO ABOUT MM-HMM. SPENDING THIS MONEY. SO I THINK WE, I THINK EVERYBODY'S BEEN REALLY CONSERVATIVE, UM, IN, YOU KNOW, IN, IN MAKING ANY CHANGES. EVERYTHING'S KIND OF STAYED THE SAME, I THINK, RIGHT? I DON'T, I THINK WE'VE DONE ANYTHING KIND OF OUT OF THE BOX SINCE IT, WE'VE CONTINUED ON WITH THE THINGS THAT WERE ALREADY HAPPENING IN OUR COMMUNITY. AND SO IT'S NICE TO KNOW. THERE'S, I'LL TELL YOU THREE OF THE THINGS THAT YOU HAVE DONE THAT I WOULD SAY WHEN, IN MY EXPERIENCE, BOTH THE MUNICIPAL, THE ATTORNEY GENERAL'S OFFICE AND AT THE HOTEL INDUSTRY ASSOCIATION, THE TRADE GROUP, THE THREE MOST IMPORTANT THINGS IS YOU HIRE THE RIGHT PEOPLE. YOU HAVE ONE OF THE BEST CITY MANAGERS IN THE STATE. YOU HAVE ONE OF THE BEST TOURISM DIRECTORS IN THE STATE AND, AND, AND, AND, AND WORKING WITHIN THOSE CAPACITIES, YOU'RE GONNA HAVE GOOD PROGRAMS. AND THEN THE FACT THAT YOU HAVE A CVB ADVISORY COMMITTEE WITH HOTELIERS ON IT, THOSE ARE THE THREE MOST IMPORTANT THINGS IN A SUCCESSFUL PROGRAM BECAUSE YOUR HOTELIERS WILL TELL YOU WHAT WORKS, WHAT HASN'T WORKED. AND YOU HAVE PEOPLE THAT ARE GONNA LOOK AT IT. 'CAUSE YOU KNOW, MY MASTER'S IN CITY MANSION, I KNOW THAT THE CHALLENGE THEY HAVE, THERE'S ALWAYS THE BALANCE OF WE HAVE TO FUND, YOU KNOW, WITH LIMITED CAPACITY WITH ROLLBACK RATES NOW AT 3.5%. I DON'T KNOW HOW THAT IT'S POSSIBLE FOR CITIES THAT ONLY, YOU KNOW, HAVE THAT LITTLE BIT OF REVENUE, BUT, UM, YEAH. YEAH. THANK YOU . I UNDERSTAND, UM, THERE'S ALWAYS PRESSURE TO TRY TO TRANSFER MONEY FROM DEDICATED FUNDS TO ALL YOUR GENERAL FUND PROGRAMS. SO WHEN YOU HAVE A CITY MANAGER WHO DOES IT RIGHT AND SAYS, I'M GONNA STICK WITH THE LAW AND A MAYOR WHO SAYS, WE'RE GONNA BE CONSERVATIVE ON MAKING SURE WE DO THINGS RIGHT. AND A CVB EXEC WHO KNOWS YOUR HISTORY AND FEELS THE LOCAL DYNAMICS, YOU'RE, YOU'RE, YOU'RE, YOU'RE DOING IT RIGHT. GOOD. AND SO, UH, YOU HAVE, YOU HAVE THE CAKE, NOW YOU CAN WORK ON THE FROSTING. I I TOLD HIM YOU NEED TO COME DOWN MORE OFTEN. UH, ESPECIALLY THAT PART ABOUT THE CITY MANAGER. A HUNDRED PERCENT . YOU GAVE DANIEL NO, I WHAT ELSE CAN WE A WHAT OTHER QUESTIONS DO Y'ALL HAVE? I DON'T KNOW. DID YOU HAVE ANY QUESTIONS? SCOTT? THANK YOU FOR COMING DOWN. JETTE HAS A QUESTION. I WAS GONNA BRING UP A SCENARIO, YOU KNOW, TALK, GOING BACK TO THE WYOMING WING STADIUM. SO IF WE WERE TO HOST, THIS IS, UH, TALKING ABOUT YOUTH SPORTS, BUT IF WE WERE TO HOST, UM, TOURNAMENTS WITH LET'S SAY PONY AND THEY WERE TO HAVE THEIR GAMES AND THEN THE, THE FINAL, LET'S SAY IT'S A WORLD SERIES UHHUH AT THE WHITE WING STADIUM, UHHUH, , UH, COULD WE DO THAT TO START CREATING THAT HISTORY? A HUNDRED PERCENT. YOU COULD. IN FACT, YOU COULD SAY, YOU KNOW WHAT, WE WANT TO BE ABLE TO USE THE STATUTE. SO WE'RE GONNA DO SOME ECONOMIC INCENTIVES TO BRING THESE TOURNAMENTS TO GET THAT HISTORY, GET IT, USE IT AND MOVE FORWARD. A HUNDRED PERCENT. IT HAS TO BE THE HISTORY AND WHAT IT IS THAT WE WANNA DO. BUT, BUT, BUT NO, NOT NECESSARILY IMPROVE. IT COULD BE 10 REGIONAL, STATE OR NATIONAL TOURNAMENTS. AND THEN YOU MET THE STATUTE OF ANY SPORT. ANY SPORT. MM-HMM. . OKAY. WE GET SOME TEAMS ON THE PHONE. YEAH, WELL WE WE'VE HAD A LOT OF INTEREST. WE JUST, YOU KNOW, WE DON'T HAVE A LOT OF MONEY. UM, YEAH, BUT, BUT FOR THE RECORD, I GET THIS QUESTION. COOK OFFS, CHILI COOK-OFFS ARE NOT A SPORT. NO , I CAN'T TELL YOU HOW MANY TIMES I'VE HAD THAT QUESTION. EATING IT AND KEEPING IT DOWN SOMETIMES IS A SPORT, RIGHT? . OKAY. ALRIGHT. I WOULD BELIEVE THAT. BUT A CHALLENGE, BUT NOT A SPORT. WE HAVE QUITE A FEW OF THOSE AT THAT STADIUM BY THE WAY. ALL RIGHT. AND SO FOR THESE EVENTS, LIKE JAVI HAD MENTIONED, IF WE WANNA START GETTING THAT HISTORY, WE CAN USE, UM, CVP MONEY, UM, TO BE ABLE TO PROMOTE THE EVENT RIGHT. UNDER THE MARKETING OR UNDER THE EVENT COSTS. SO MAYBE THAT'S SOMETHING THAT Y'ALL CAN [01:35:01] KIND OF WORK TOGETHER TO THINK OF HOW WE CAN GET THE HISTORY AS, BECAUSE IT DOESN'T SEEM THAT, LIKE YOU DON'T NEED THAT MANY, UH, GAMES OR EVENTS. THE WAY WE CAME UP WITH THAT STANDARD, AS I SAID TO THE MAYOR ROUND ROCK, HOW MANY EVENTS DO YOU ALREADY HAVE? AND HE SAID, PROBABLY TWO DOZEN. I SAID, SO LET'S SET A MINIMUM OF 10. NICE. AND AND I SAID, HOW MANY YEARS WOULD IT TAKE YOU TO SHOW THE HOTEL NIGHTS FROM EXISTING AND NEW BUSINESS? HE SAID, TWO, THREE. I SAID, WE'LL GIVE YOU FIVE MM-HMM. . SO WE DIDN'T WANT TO CREATE A STANDARD. CITIES COULDN'T USE, WE WANTED YOU TO USE IT. MM-HMM. WE WANTED IT TO BE SOMETHING THAT WOULD MAKE SENSE. MM-HMM. , YOU KNOW, WE COME FROM A, A WIN-WIN PERSPECTIVE. SO WE, WE WANT YOU TO BE SUCCESSFUL AND WE WANT BE SUCCESSFUL. WONDERFUL. DOES ANYBODY ELSE HAVE ANY OTHER QUESTIONS? GOOD SCOPE. THANK YOU. YOU'RE WELCOME. MY TAKEAWAYS ARE TO WORK WITH YOU ON YOUR, UH, LEGISLATION BOTH FOR THE SPORTING RELATED FACILITIES, GET YOU AUTHORITY FOR THAT. SO WE'LL WRITE UP A BILL ON THAT AND THEN WE'LL SEND YOU THE LAST VERSION OF THE BILL YOU HAVE FROM LAST SESSION. AND WE'LL START EARLY YES. UH, ON THAT TO HELP YOU GET THAT. AND WE HAVE A NEW, A NEW, UM, A NEW LAW. I, HE ASKED ME WHO IT WAS. YES. OKAY. SO, AND, AND WE'LL, WE'LL BE IN, WE'LL BE IN TOUCH I BEFORE. WELL, AND AND I'LL BE HERE AGAIN THE MOMENT YOU ASK ME. THANK YOU. WE REALLY APPRECIATE IT. ANYBODY ELSE? ALRIGHT, WELL THEN WE ARE ADJOURNED. WE HOPE YOU MAKE YOUR, YOUR FLIGHT DESPITE THESE PEOPLE. I'LL GET THERE QUICKLY. . OKAY. I THINK I'M GONNA BE JUST FINE. SO LONG AS YOU FLY FROM VALLEY INTERNATIONAL. IF NOT, WE'RE I AM. OKAY. 'CAUSE NOT WE'RE GONNA STAY HERE A LITTLE LONGER. . WE HAVE A LOT MORE QUESTIONS. RIGHT? * This transcript was created by voice-to-text technology. The transcript has not been edited for errors or omissions, it is for reference only and is not the official minutes of the meeting.