Good afternoon.

My apologies for the uh for the delay here.

Uh the time is now 2.09 p.m.

on Wednesday, August 27th, 2025, and the City of San Antonio budget work session is called to order.

Madam Clerk, please call the roll.

Councilmember Corps.

Councilmember Castillo Angiano.

Present.

Councilmember Viegran.

Here.

Councilmember Mungia.

President.

Councilmember Castillo.

Here.

Councilmember Galván.

Here.

Councilmember Alarete Gavito.

Here.

Councilmember Mesa Gonzalez.

Councilmember Spears.

Councilmember White.

Mayor Mayor Jones.

Here.

Mayor, we have Quorum.

Thank you, Madam Clerk.

This meeting is to hear about budgets for the debt management plan, capital delivery department and capital budget, and public works department.

Eric, over to you.

Thank you, Mayor.

Good afternoon, Mayor and Council.

We'll start with Troy Elliott, the city's chief financial officer on our debt management plan.

Um and then transition to Mike Shannon with Capital Delivery Services.

And then finally, uh Razi will be giving his final budget presentation.

Um so ask a lot of questions on that one.

So good afternoon, Mayor, members of City Council, Troy Elliott, I'm the chief financial officer.

As Eric mentioned, I'll be kicking off the first of three presentations with the exciting debt management plan.

Um this will be probably my fourth year of doing this, so I think a lot of the presentation you see will be kind of duplicative.

I think it's um beneficial to kind of give a refresher on some of the slides and the contents of the debt management plan.

First, I'd like to start, you know, what really what is a debt management plan?

It's made up of several components that we're going to go through the presentation.

What debt do we have outstanding, what debt have we issued, how are we going to pay for that debt over time?

All the fundamental components embedded into the debt management plan and the assumptions that we that we use to make sure that we can actually pay for the debt that we have issued and any future debt that we're going to issue.

The debt management plan is really a compilation of several debt management plans.

For today, going to focus primarily on the advert lorem uh debt management plan, which is the property tax backed, as well as talk a little bit about aviation and stormwater, and that's where I'll spend the bulk of my time.

On the next slide, you'll have seen this before.

This is the primary tools or the debt that we issue as part of our debt management plan.

We issue general obligation bonds by statute, those are backed by property taxes and their voter approved.

The last time that we had our authorization for a general obligation bond was in 2022 for the 1.2 billion dollars.

That was in Mike will talk a little bit more about this, but we had the six propositions, roughly 180 plus different projects embedded in that general obligation bond.

The next three to the right, um, all three of these are not required under statute to be voted.

They are two certificates of obligations and tax notes are backed by property taxes.

Um there is a notice requirement for certificates of obligations.

Um if you remember, we came to y'all with a notice of intent to issue certificate obligations, I think in the June-July time frame.

And that basically puts a notice out there telling the the citizens that we are going to be issuing certificates of obligations for these specific projects.

The next item are tax notes.

Um those are also backed by property taxes.

They are not voter approved.

Tax notes are a little bit different and they have a shorter maturity.

We can issue um tax notes with maturities up to seven years.

We typically align in our capital improvement program um uses that are short have short maturities.

We don't want to be paying debt over a long uh period of time for something that has a useful life less than seven years.