Speaker numbers apply only to this recording.
The Corpus Christi City Council convened on Tuesday, December 16, 2025, at 11:30 AM in the Council Chambers for its final regular meeting of the year. The session, lasting approximately six hours, included the city manager's year-end financial report, a presentation on state-mandated restaurant fee changes, updates on water supply projects and partnerships, formation of two advisory committees, approval of an interlocal water agreement with Alice, Beeville, and Mathis, creation of Tax Increment Reinvestment Zone No. 7, briefings on the emergency warming center plan and Hilliard Center operations, executive session, and general public comment.
FY 2025 4th Quarter Budget Report (Item 1) – City Manager Peter Zanoni presented the unaudited year-end financial results. General fund revenues closed $6.5 million above the $334 million budget while expenditures came in at $349.3 million against a $363 million budget. The ending balance reached $88.3 million, which is $11.9 million better than the $76.4 million estimate. Hotel occupancy tax revenues totaled $20.2 million against a $19.9 million budget. The water fund reported $169.9 million in revenues ($169.6 million budget) and $173.2 million in expenses ($181.7 million budget). Wastewater fund revenues were $98.2 million ($98.6 million budget) with expenses of $110.6 million ($116 million budget). On bond programs: the 2020 bond has 38 projects completed and 4 finalizing construction; the 2022 bond ($125 million, 32 projects) has 7 complete, 11 in construction, and 14 nearing design completion; the 2024 bond ($175 million, 38 projects) has 8 under construction and 28 under design. Zanoni stated the surplus will be saved toward the FY 2027 budget, with community engagement on the budget beginning in March 2026. Councilwoman Campos thanked staff for including community engagement. Restaurant Licensing and Inspection Fees (Item 2) – Dr. Anita Kurian, Public Health Director, presented proposed fee adjustments required by Senate Bill 1008 (effective September 1, 2025). The current local fee system based on employee count ($225 to $880) must be replaced by a system based on gross annual food sales, with state fees ranging from $258 to $773. Proposed changes also include a new $100 inspection fee (up from $0), increasing reinspection fees from $50 to $150, aligning mobile unit permits at a flat $250, and adding amendment fees. Several council members expressed concern about the impact on small businesses. Councilman Cantu said, "We have 10 restaurants running out of business" and stated he would not support the $773 fee. Councilwoman Vaughn said she "certainly does not want to charge the maximum." Councilwoman Campos noted the state has a $33 billion surplus while "nickel and diming our small businesses." Councilman Hernandez requested a cost-of-service analysis to show the math. Councilman Scott argued taxpayers should not subsidize inspection costs. Councilwoman Paxson questioned whether these are mandated or maximum fees; City Attorney Risley confirmed state fees are maximums. Dr. Kurian noted the program currently operates at a deficit: $700,000 in annual fee revenue versus $913,000 in costs. The item is informational; a 60-day stakeholder notice begins December 17, with first reading planned for February 17, 2026, and implementation on March 2, 2026. COG Bylaws Update (Item 3) – Peter Collins reported the Coastal Bend Council of Governments board approved bylaw revisions reducing board membership from 82 to 57 members, with representation based on population thresholds (Corpus Christi, as the only city over 100,000, receives four votes). The board will meet six times per year instead of 12. Bylaws had not been updated since 2011. Corpus Christi Hooks Update (Item 4) – General Manager Brady Ballard confirmed the Houston Astros have sold the Hooks to 48 Teams, an investment group focused on minor league baseball. The transaction changes only the business side; fan-facing operations remain unchanged and the team retains its Astros affiliation. South Texas Water Authority Update (Item 5) – Interim COO Nick Winkelmann reported that the STWA board tabled a contract amendment with Seven Seas on December 9, scheduling a workshop for January 13, 2026. The project would produce 3 million gallons per day (MGD), with approximately 1.4 MGD potentially available to Corpus Christi Water. The project location has changed, requiring new conveyance infrastructure. Councilman Hernandez noted the value of adding water from multiple sources. Far Field Advisory Committee (Item 6) – Brett Van Hazel outlined plans to form a diverse volunteer committee to oversee far field modeling for the Inner Harbor project. A facilitator will be hired, and Plummer Associates will develop the modeling scope. Modeling targets completion by April 2026, possibly extending into summer. Councilman Cantu expressed concern about voting on the Inner Harbor before modeling is complete. Council members will submit one name each by the end of the week. Plummer's role is limited to drafting the RFP based on input from the committee and the Port of Corpus Christi. Water Conservation Advisory Committee (Item 7) – Nick Winkelmann requested nominations for a committee to update the water conservation plan over three months starting January 2026. Council members will submit one name each by December 19.
The council approved six reappointments to the Convention & Visitors Bureau: Jennifer Lita, Steve Banta, Zach Jurisek, Devin Sbotka, Christoph Q Sowitz, and Amy Granberry. Scott Corless was appointed to the Regional Economic Development Corporation. Michael Hunter was appointed to the Port of Corpus Christi Authority. Dan McGinn was appointed to Reinvestment Zone No. 6 Board. Councilwoman Kaelin Paxson was reappointed as chair of the Port Board.
The council unanimously approved a resolution authorizing an interlocal agreement to share water and wastewater resources and technical expertise among the four cities. Alice City Manager Michael Esparza stated that Alice has reduced its draw from Lake Corpus Christi by 50% through brackish water desalination and targets 90% reduction by early 2026. Beeville Mayor Pro Tem Benny Puente confirmed Beeville is pursuing an inland desalination project with two wells expected online by February-March 2026. All council members voiced strong support, with Councilwoman Vaughn calling it "a wonderful idea that should have been done years ago." Councilman Hernandez praised Alice's foresight. Councilman Barrera noted smaller communities are taking leadership roles on water issues.
Items 9-28 were approved in one motion, with Items 17, 23, 27, and 28 pulled for individual consideration:
Interim Assistant City Manager Daniel McGinn presented the creation of TIRZ #7 in the London area, entirely outside city limits, to fund infrastructure for residential and commercial development. The zone will run for 25 years with 50% of tax increment retained in subzones and 50% returning to the city. City participation is at 50% and Nueces County at 45% for 20 years. Developers forecast $2.8 billion in investment generating $198 million in new tax revenue. The 15-member board includes 7 city, 5 county, 2 Del Mar College, and 1 developer representative. Councilman Hernandez praised the tool for funding infrastructure in unincorporated areas. Both items were approved unanimously.
Warming Center Activation Plan (Item 34) – Fire Chief Brandon Wade presented the updated emergency refuge center plan. Activation is based on National Weather Service criteria including freeze warnings, cold weather advisories, extreme cold warnings, and ice storm warnings. The primary location has been moved to Ben Garza Gymnasium (capacity ~100), with Del Mar Dome as secondary (capacity ~100). The city trained 181 staff over two days. Unhoused Programs Administrator Amanda Rodriguez, onboarded since October 2025, is coordinating with service providers. Council discussion focused on improving communication during marginal cold weather events. Councilwoman Paxson noted the feels-like temperature was in the low 30s for several nights two weeks ago but the city did not activate because the actual temperature was not below 32 degrees, and she requested better public messaging about available shelter options when the city does not activate. Councilwoman Campos emphasized the need to communicate that shelter beds may be available even when the city does not open a refuge center. Councilman Hernandez asked about pre-stocking supplies such as clothing, shoes, and adult incontinence items; Chief Wade confirmed they pre-stock these items and coordinate with volunteer organizations. Councilman Cantu noted unhoused population counts from January 2025 showed 431 unsheltered and 388 sheltered individuals. Councilman Ryan asked about security; Chief Wade confirmed CCPD presence and contracted security with wanding. Councilman Roy asked about service animals; Chief Wade confirmed animal care services coordinates and crates are available.
Hilliard Center Quarterly Update (Item 35) – Daniel Melise of Oak View Group reported that the naming rights transition from American Bank Center to Hilliard Center has been completed with all signage changed. Hospitality General Manager Melanie Granado highlighted the local food vendor incubator program (33 applicants, 14 qualified, selection in progress), a Del Mar College internship partnership with six paid internships available for Spring 2026, and local catering collaborations with Jalapeño Salsa and M-Knab Micro Farms. Capital kitchen improvements include new combi ovens, refurbished walk-in coolers and freezers, and ice machine replacements. The facility scored 100 on two recent health inspections. Attendance for July-September increased approximately 30% from 2023 to 2025. Major bookings include skills conference through 2030 and the Texas Democrats in 2026. Council members praised the food quality from the culinary team. Councilman Cantu asked about workplace safety programs following a recent accident; Melise confirmed the facility is evaluating safety processes with a consultant. Councilman Barrera asked about the ice chiller replacement; Assistant Director Elsie Barks reported design is ongoing for FY 2026 with construction in 2027 at an estimated cost of $5.9 million. The current rental for a temporary chiller costs approximately $290,000 per year.
The council entered executive session to consult with attorneys regarding water rights, property acquisitions, and the Tax Increment Reinvestment Zone.
Mark Schauer thanked Dismas Charities for partnering with the city to divert intoxicated individuals from jail, with approximately 170 people transported since December 2024. Martilena Garza invited the council to a community event at the former YMCA (417 Upper Broadway) on Friday at 6:00 PM, providing resources for unhoused and low-income residents. Susie Saldania defended Councilman Cantu's use of the word "rape" in a previous context, arguing taxpayers are having resources "taken from them forcefully." Robin Cox played a deposition excerpt and raised allegations about donor influence on a past council vote involving Homeward Suites, calling for accountability. Rachel Caballero questioned the accuracy of statements about far field modeling for the Inner Harbor project, said a recall petition against Mayor Guajardo has 1,652 signatures, and alleged conflicts of interest involving Councilman Barrera's business relationships with public agencies. Bradley Bartleson, a professional engineer, presented technical critiques of the TCEQ permitting model for the Inner Harbor, saying the steady-state bulk analysis cannot answer spatial or temporal questions about fish kills in Nueces Bay. John Weber (via WebEx) asked the council to investigate whether the Corpus Christi Aquifer Storage and Recovery Conservation District is following open meetings rules and to appoint non-city employees to the board.
Good morning. I'd like to call this meeting to order, and I'd like to welcome all of you here to City Hall and to our council chambers. This morning our invitation will be given by Pastor Steve Cornado with Solid Rock Church. Let's pray. It is the last meeting of the year. Going out with a bang. Lord God, we are grateful today. So so grateful. So so grateful for this year, 2025 and all the blessings that you have provided. Let us never forget, Lord, that you have been good to us. You have provided for us. You have blessed us. And so we are thankful and full of gratitude. As we close out this year in this final meeting, I pray that God, you would uh give our city and this council um the preparation in their heart for a new year and a new Corpus Christi. A new year with new possibilities, new opportunities. Lord, thank you that you will provide everything we need. You are a God of abundance. And so I pray for these servant leaders, our mayor and all the city council, city manager, all those who serve our city. Lord, give them abundance mindset, knowing that the earth is the Lord's in the fullness thereof, and that God, you will provide everything we need. Give them leadership, guidance, wisdom, integrity today, as they close out this year to prepare for a new year and a new Corpus Christi. We thank you and we bless you, and we give you praise for all your goodness and love. Our Father who art in heaven, hallowed be your name. Your kingdom come, your will be done on earth as it is in heaven. Give us this day our daily bread, and forgive us our trespasses as we forgive those who trespass against us, and lead us not into temptation, but deliver us from evil. For yours is the kingdom and the power and the glory forever. Amen. Amen. Thank you, Pastor. And today our pledge of allegiance, excuse me, to the United States flag and to the Texas state flag will be led by Mariah Garza. She is a twelfth grader at Porvida Academy, a dual credit student, and she plans to obtain a bachelor's degree in criminal justice. Please join me in the Pledge of Allegiance. I pledge allegiance to the flag of the United States of America and to the Republican. One nation under God. Please join me in honoring the Texas flag. Honor the Texas flag. Pledge allegiance to the Texas one state under God, one and indivisible. Mariah, thank you, and good luck with your studies. Thank you. Miss Retha, would you please call the roll? Mayor Paulette Wahardo. Present.