Price.

Yeah, me too.

Good

evening.

Welcome to the North Hilton Hills Parks and Recs Facility Development Corporation meeting.

It is 5 p.m.

And I will call the September 14, 2026 meeting to order report when the board is present.

The meeting has been duly posted in court with Texas Open Meetings Act of the Texas Government Code.

First item is public comments.

This opportunity for citizens to address the parks and rec facility development corporation on matters which are scheduled on this agenda for consideration by the board, but not scheduled as public hearing in order to address the board public comments.

A public meeting appearance card must be completed and presented to the city secretary prior to the start of the meeting.

Do we have anyone?

Having seen then we'll move on to the next item.

First item is to approve the uh minutes from the June 8th, 2026.

Um parks and rec facilities developed corporation.

I need an acronym.

Um can I get a motion, please?

I move that we approve the minutes of the June 8th meeting.

Thanks, Sean.

Take a second.

Second.

Thanks, Russ.

Any discussion?

Seeing none, call the question, please

vote.

I need a show of hands since not everybody's on a computer.

So if it's yes, please.

Yes.

Looks like it's unanimous.

Passes 7-0.

Next is for the public hearing.

Conduct public hearing projects that undertake as part of the parks and facilities development corporation fiscal year 2027 proposed budget.

Authorized adopt and recommend the city council approving.

I will open the public hearing, call on Adrian B.

Kearney to present the item.

Good evening, PRFDC board members.

Is that the acronym you were looking for?

CRFDC.

It's a mouthful.

Um this item is to hold obviously a public hearing on the operations and capital projects to be undertaken as part of the parks and recreation facilities development corporation FY2027 proposed budget, authorized adoption by the board, and recommend to city council for approval.

State law regarding the parks and recreation facilities development corporation requires the board to hold a public hearing prior to adoption of the budget.

Summary reports have been included in your packet.

The following slides that I'll share with you is an overview of the fund, a summary of revenues and expenses, and summary of capital budget projects.

While NRH2O is primarily managed under a separate operational enterprise fund, the park fund also provides secondary support to assist with major capital infrastructure.

As you look at the chart, the FY2027 proposed expenditures reflect a clean functional distribution of resources.

Nearly half of the budget, 48% goes directly to the flagship amenities split between operating the NRH center at 27% and maintaining parks, trails, and public grounds at 21%.

Another 10% supports targeted community operations, including the tennis center, athletic leagues, and general service needs.

The single largest piece of the remaining budget is transfers, which represents 35%.

It's worth emphasizing that these transfers are primarily dedicated to funding the capital projects.

This strategy allows us to systematically replace aging infrastructure, upgrade park features, and fund major improvements on a cash basis when possible.

The

following slide will include summary of revenues and expenses and the changes from 2026 to 2027.

In

the summary of revenues, half cent sales tax serves as the largest funding stream, gathering 61% of total base revenues.

Facility operations and program revenue at the NRH center represent our second major driver at 31%.

The tennis center represents 4%.

Together, dedicated sales tax collections and key recreation facilities account for 96% of our total base income, providing a stable foundation to support the community's parks and recreation system.

FY27 shows an increase of 4.7% over the current fiscal year, making use of existing fund balance to support capital projects.

Moving to the FY2020 proposed expenditures, highlights include focus on public safety, technology, and facility care.

The total proposed budget increases from 12.9 million in 2026 to 15.4 million in 2027.