* 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. [00:00:01] GOOD EVENING EVERYONE. CAN YOU HEAR ME? YES. AND WELCOME. OKAY, SO WELCOME TO THE BOARD OF SUPERVISOR WORKING SESSION MEETING FOR NOVEMBER 14TH, 2023. AND BEFORE WE, UH, START THE PEOPLE'S BUSINESS, I JUST WANTED TO CON UH, CONGRATULATE MY COLLEAGUE MS. OATS, ON HER ELECTION IN IN VIRGINIA, DELEGATE. I KNOW YOU'RE GONNA DO GREAT THINGS. THANK YOU. I'M REALLY EXCITED. CONGRATULATIONS. THANK, THANK YOU. I'M REAL HAPPY FOR YOU. IT'S MY HONOR, BELIEVE ME, . AND THEN I ALSO WANT TO CONGRATULATE ALL OUR LOCAL AND OTHER CONSTITUTIONAL OFFICERS THAT ARE ON THEIR WINS AS WELL. AND I'M LOOKING FORWARD IN WORKING WITH ALL OF THEM, UM, STARTING NEXT YEAR. SO, UM, WITH ALL THAT BEING SAID, UH, WE'LL JUST GET INTO OUR WORK SESSION, UM, AGENDA. SO WE'RE GONNA BE DOING SOME MOVING AROUND IN CASE YOU HAVE A COPY OF THE WORK SECTION OF THE, OUR AGENDA ANYWAY, SO WE'RE GONNA GO AHEAD AND WE'RE GONNA MOVE THE CORRIDOR CONNECTOR CURRENT AND FUTURE OPERATIONS TO FIRST. AND THEN THE SECOND WILL BE SET SILENT FAL FALCON. THE THIRD WILL BE OUR PRESENTATION BY, UM, BY DAVENPORT. AND THE FOURTH WILL BE, UM, I'M ASSUMING IT'S DAVENPORT AS WELL. IS THAT RIGHT? OKAY. RIGHT. OKAY. COOL. . OKAY. SO, AND THEN WE'LL FALL, FALL IN THE, UM, IT'S SEQUENCE AFTER THAT. SO AFTER THE, UM, AFTER THE MOODY'S INVESTORS, WE WILL BE GOING INTO A CLOSED SESSION. AND THEN AFTER WE GET OUT OF THE CLOSED SESSION, WE'LL CONTINUE THE BALANCE OF OUR AGENDA. SO I JUST WANTED TO KIND OF MAKE, ANNOUNCE THE CHANGES. SO WITH ALL THAT BEING SAID, WE'RE GONNA GO AHEAD WITH THE FIRST, UM, [B. Discussion - Corridor Connector Current and Future Operations - Joe Petty ] TOPIC, UH, WHICH IS THE CORRIDOR CONNECTOR, CURRENT AND FUTURE OPERATIONS. AND MS. PETTY, MR. PETTY. MS. PETTY, MR. PETTY. UM, I'M ON THE AGENDA, BUT I THINK WE'RE JUST, UH, SO WE, WE MET WITH VIRGINIA REGIONAL TRANSIT AND UM, THEY'RE GONNA BE HERE TO PROVIDE AN UPDATE AND I'D BE HAPPY TO GIVE ANY UPDATES FROM OUR END. BUT, UM, VERY GOOD. THANK YOU. THANKS, JOE. I APPRECIATE IT. UH, AND MS. OATS, CONGRATULATIONS TO YOU. THANK YOU. I THINK IT'S A, A VERY HONOR, HONOR. THANK YOU KINDLY. YEAH. MY NAME IS MIKE, SO I'M THE TRANSIT MANAGER FOR YOUR REGION, ACTUALLY FOR VIRGINIA REGIONAL TRANSIT IN THE CENTRAL REGION. AND WE OVERSEE BOTH FRONT ROYAL TROLLEY AS WELL AS THE WARREN CONNECTOR. SO WHAT I WANTED TO DO IS I WANTED TO COME BACK, 'CAUSE I WAS HERE LAST YEAR, TO TALK A LITTLE BIT ABOUT THE CONNECTOR AND, UH, KIND OF GIVE YOU A LITTLE OVERVIEW AND UPDATE ON THE PROGRESS THAT WE'VE ACTUALLY MADE OVER THE COURSE OF THE YEAR. AND I'LL TAKE ANY QUESTIONS YOU MIGHT HAVE AT THE VERY END. UM, WE ROLLED OUT A NEW BROCHURE BASED ON SOME OF THE INPUT FROM THE BOARD OF SUPERVISORS, CERTAINLY FROM OUR COMMUNITY, UH, RESIDENTS AS WELL AS OUR RIDERS. UH, WE TOOK OUR OLD SCHEDULE. YOU USED TO HAVE AN OLD SCHEDULE THAT HAD A THREE HOUR WINDOW OF A BREAK IN THE MIDDLE OF THE DAY. AND THAT WAS A LONG TIME. I MEAN, YOU WERE SHUTTING DOWN FROM ABOUT 1205 TO 3 0 5 IN THE AFTERNOON. A LOT OF PEOPLE BUSY DURING THAT TIME. SO THAT WAS THE VERY FIRST THING THAT WE DID. WE CLOSED THAT DOWN. WE ALSO WENT OUT TO THE GENERAL PUBLIC AND SAID, DO YOU REALLY NEED THE SERVICE TO START AT 6:00 AM NO, WE NEED TO START AT FIVE 30. AND WE HEARD STORIES ABOUT THAT. WE HEARD A LOT OF GUYS CLUSTERING IN TAXI CABS AT SIX, AT A POP TO GO TO THE INDUSTRIAL PARK. SO WE REVISED EVERYTHING. WE STARTED AT FIVE 30 IN THE MORNING, AND LO AND BEHOLD, WE STARTED SEEING SOME INCREASES IN OUR RIDERSHIP. WELL, WE ACTUALLY, DURING THE TENURE THAT WAS GOING ON WITH COVID AND WHATNOT, SOME OF THE SERVICES THAT WE WERE PROVIDING TO THE LOCAL HIGH SCHOOLS, UH, THEY STARTED TAKING OVER THAT SERVICE THEMSELVES. SO WE LOST SOME OF THAT RIDERSHIP, BUT SURPRISINGLY ENOUGH, WE ENDED UP ATTRACTING NEW RIDERSHIP. AND I'M HAPPY TO REPORT TODAY, WE'RE AT ABOUT 8,300 PEOPLE THROUGH THE END OF OCTOBER. WHAT'S INTERESTING ABOUT THAT IS YOU ONLY MOVE 7,200 THE ENTIRE YEAR LAST YEAR. SO WE'RE FAR OUTPACING OUR RIDERSHIP GROWTH WITH TWO MONTHS TO GO. AND KNOCK ON WOOD, IF WE DO REALLY WELL, I WAS TELLING MR. DALEY PRIVATELY, WE MIGHT SEE FOR THE VERY FIRST TIME ALMOST 10,000 RIDERS FOR THE YEAR. SO WE'RE ACCELERATING REAL FAST WITH THIS WORN SERVICE, AND I'M REALLY PLEASED. I'VE GOT A REALLY DEDICATED STAFF. THEY RAN ALL THROUGH COVID, ALL THROUGH OUR 50% CAPACITY, ALL THROUGH OUR SIX FOOT SOCIAL DISTANCING. AND THEY'VE DONE A REALLY GOOD JOB DELIVERING THE SERVICE, THE WARMING SHELTERS, THE HOMELESS, THE WORK RELEASE PROGRAM. WE STILL KEPT LAUREL RIDGE OUT THERE. WE'RE COMMITTED TO LAUREL RIDGE. WE GO AT 8 55 AND 1255, UM, IN THE MORNING, OR 1235. [00:05:01] UM, SO I'M EXCITED ABOUT THAT. I'M EXCITED ABOUT THE RIDERSHIP. UH, THE NEW ROUTE BROCHURE HAS ACTUALLY PERMITTED US TO DO BETTER CONNECTIVITY WITH THE FRAT TROLLEY. THE FRAT TROLLEY ONLY STAYS IN TOWN MONDAY THROUGH FRIDAY. IT ONLY COMES OUT INTO YOUR AREA ON SATURDAY AND SUNDAY. SO THE BETTER CONNECTIVITY ALLOWS BOTH RESIDENTS, BOTH FROM THE COUNTY TO COME TO TOWN AS WELL AS THE TOWN TO GO OUT TO THE COUNTY TO TARGET WALMART, UM, VALLEY HEALTH, ALL THOSE PLACES. SO I'M REAL EXCITED ABOUT THAT AND WE CONTINUE TO INTERFACE WITH ALL THOSE PEOPLE. I TALKED ABOUT THE CONSISTENCY OF THE DRIVERS. THEY'VE HAD MAJOR FOCUS, MAJOR INPUT ON THIS NEW BROCHURE. AND I THINK, UH, GOING TO THEM AND HAVING THEM GIVE US FEEDBACK AS WELL AS THE RIDERS HAS BEEN IMPORTANT. UM, WE'VE GOT LIVE VIEW NOW. IF YOU LOOK AT YOUR BROCHURE ON THERE IS A QR CODE, WE'RE TALKING MORE AND MORE WITH MR. DALEY AND JOE TO GET SOME MORE SIGNS OUT THERE. YOU SWIPE THE QR CODE, IT'LL GIVE YOU EXACTLY WHERE THE BUS'S LOCATION IS AND YOU CAN PLAN YOUR TRIP ACCORDINGLY. SO THAT'S BEEN A WIN-WIN. WE ALSO LINED OUR BUSS UP TO CONNECT WITH THE VIRGINIA BREEZE, THE FLYER THAT COMES OUT OF BLACK BLACKSBURG DOWN THE 81 QUARTER. WE'RE GETTING PEOPLE THERE IN TIME SO THEY CAN MAKE, MAKE THAT CONNECTION THERE OFF THEY GO TO DALLAS. SO I'M EXCITED ABOUT THAT. UM, WE ALSO, AND, AND I KNOW THIS DOESN'T INVOLVE THE CONNECTOR, BUT IT INVOLVES THE FRAT. WE, THE FRAT USED TO ONLY RUN TO THE ATT TRAIL FROM JULY UNTIL EARLY OCTOBER. WELL, I MET WITH THE FOLKS AT THE APPALACHIAN SERVICE TRAIL. WE NOW OPEN THAT UP TO GO FROM APRIL THROUGH THE END OF OCTOBER. SO WHEN THEY COME OFF THE AT TRAIL, THEY THEN CAN CONNECT WITH OUR CONNECTOR, WHICH PUTS THEM AT SOME OF THE RESIDENTS, OR EXCUSE ME, THE RESTAURANTS OUT HERE IN THE COUNTY. AND SOMETIMES THEY ACTUALLY STAY AT THE HOTEL FURTHER DOWN, UM, OUTSIDE THE TOWN LIMIT, SELL 'EM EXCITED ABOUT THAT CONNECTIVITY IN ITSELF. AND THE AT TRAIL IS VERY SUPPORTIVE OF THAT. WE HAVEN'T BEEN COLLECTED ANY BUS FAS. WE'VE SUSPENDED BUS FAIRS. YOU READ IT IN THE NEWSPAPER. A LOT OF YOUR TRANSIT SYSTEMS ARE NOT COLLECTING THAT BUS FARE, COVID HANDLING THE MONEY. IT ACTUALLY HAS IT WITH YOUR FAIR BEING 50 CENTS. IT'S NOT A WHOLE LOT OF REVENUE THAT'S BEING GENERATED. I BROUGHT MR. PHIL THOMPSON, HE'S OUR DIRECTOR OF OPERATION. HE CAN ANSWER ANY OF THOSE QUESTIONS HAVING TO DO WITH THAT AS WELL AS OUR OPERATING COSTS. UM, I'VE JUST BEEN EXCITED AND PLEASED WITH WHERE WE'RE AT, BUT WE GOT A LONG WAY TO GO. AND MY RULE THUMB, AND I TELL PHIL ALL THE TIME, MY ANNIVERSARY IS ON MARCH 3RD. IF YOU SEE MY KEYS ON MY DESK ON MARCH 4TH, THAT MEANS I'VE GROWN. I HAVE NOT GROWN DURING THAT YEAR. AND YOU DON'T HAVE TO WORRY ABOUT ME SEPARATING FROM THE COMPANY. I'M JUST GONNA LEAVE. NOW. IT'S INCUMBENT UPON US TO TAKE A DEEP DIVE IN THIS FROM A CO FROM A COUNTY'S PERSPECTIVE AND GET INPUT. AND MS. MS. OATS, WE'VE BEEN TOGETHER AND WE'VE TALKED ABOUT NETWORKING WITH THE KIDS AND GETTING THE KIDS INVOLVED IN THIS AND GETTING 'EM ON THE SERVICE. UM, IT'S TIME, IT'S TIME. WE ACTUALLY, UM, I JUST HEARD JUST A SECOND AGO, YOU ACTUALLY ARE GONNA GET A BRAND NEW BUS IN DECEMBER. NO LOCAL MATCH, A 20 PASSENGER BUS. HOPEFULLY WE CAN GET NICE WARREN COUNTY, UH, SIGNS ON THE BUS AND START DRIVING THIS THING HOME. IT'S TIME FOR US TO NOT ONLY TAKE OUR INVESTMENTS OF A DOLLAR AND PUT IT INTO THE COUNTY COMMUTER SERVICE, BUT ALSO DIVE INTO IT AND SAY WHAT OTHER POTENTIALS ARE THERE TO SERVE THE COMMUNITY. UM, THAT'S ALL I HAVE TO SAY. PHIL, I DON'T KNOW IF YOU HAVE ANYTHING TO ADD. I'M WILLING TO TAKE ANY QUESTIONS YOU MIGHT ADD. UH, MR. DALEY'S BEEN TREMENDOUSLY SUPPORTIVE. I GIVE HIM ALL MY INCLEMENT WEATHER UPDATES AND, UH, HE JUST KEEPS SAYING KEEP ON GOING. SO, ANY QUESTIONS? IS THERE ANY QUESTIONS? YEAH, GO AHEAD. I HAD A COUPLE. I SEE. UM, LOOKING AT YOUR MAP, YOU'VE GOT LOOKS LIKE 13 DIFFERENT STOPS ON HERE. MM-HMM. . AND IS THIS TROLLEY STOPS OR IS THIS CONNECTOR STOPS? THOSE ARE CONNECTOR STOPS. YES MA'AM. WHAT ARE, WHAT ARE YOU START, SO THE CONNECTOR STARTS, UM, AT FIVE 30. FIVE 30 MM-HMM. , WHAT IS YOUR CUTOFF TIME FOR THAT? CUTOFF TIME AT THAT IS AT THE BARRACK 5 25. 5 25. YEP. AND IT LOOKS LIKE, 'CAUSE OUR COMMITTEE THAT'S BEEN DEALING WITH, UH, TRANSPORTATION, UM, THIS WAS BROUGHT UP AS ONE OF THE PROBLEMS OF THE BUSINESSES OUT THERE IS STAFF BEING ABLE TO GET, UM, SOME DON'T HAVE TRANSPORTATION. SO IT LOOKS LIKE IF YOU'RE, IF IT'S A SHIFT, WORK DAY SHIFT IS PRETTY MUCH COVERED WITH BEING ABLE TO GET. UM, IS THERE ANY THOUGHT TO RUNNING FOR THE ALTERNATE SHIFTS OR, WE ACTUALLY HAD THE DISCUSSION WHEN WE MET HERE TO TALK ABOUT OUTREACH INTO THE INDUSTRIAL PARK. THE SHIFT WORK IS, IT VARIES. MM-HMM. IT VARIES. SOME ARE OFF EARLIER, SOME ARE OFF WAY LATER. UM, BUT IT'S MY JOB IF THAT'S SOMETHING WE NEED TO PURSUE, THAT'S SOMETHING I NEED TO GET OUT THERE AND TALK TO [00:10:01] THEM. MAKE THE CONTACT, COME BACK AND REPORT, HEAR WHAT WE NEED, WHAT WE NEED IN LIEU OF SERVICES. YES. I'D BE HAPPY TO DO THAT AND REPORT BACK. WELL THAT THOUGH, YOU'RE SOMEONE I NEED TO GET INVOLVED IN OUR COMMITTEE THEN. GREAT. UM, TO, TO HAVE THAT MORE DISCUSSION BECAUSE, YOU KNOW, I DON'T, I DON'T EVEN KNOW WHAT THEIR THREE SHIFTS ARE. YOU KNOW, THE TRADITIONAL ONE WAS SEVEN TO THREE, THREE TO 11, AND 11 TO SEVEN. UH, I KNOW THAT VARIES BECAUSE SOME DO THE 12 HOURS, SOME DO THE 10 HOURS. UM, BUT IT'S, I, YOU KNOW, IT IS AN ISSUE THAT THEY HAVE BROUGHT UP. UM, AND WE WERE LOOKING AT, SO, UM, YOUR TROLLEY, DOES THAT GO OUT? WHERE, WHERE DOES THAT, I KNOW, I GUESS THE TROLLEY PICKS UP THE, UH, APPALACHIAN TRAIL HIKERS. MM-HMM. . DOES IT GO OUT TOWARDS WALMART OR DOES THAT STAY PRETTY CLOSE OUT ON THE WEEKENDS? ON SATURDAY AND SUNDAY. JUST ON SATURDAY AND SUNDAY. YEAH. AND THAT, THAT'S A PARTNERSHIP BETWEEN THE TOWN AND R-M-A-R-M-A PROVIDES LIMITED, UH, FINANCIAL PARTNERSHIP TO THE TOWN. MM-HMM. , WHICH PROVIDES THEM WITH SHUTTLE SERVICE BETWEEN FIVE AND 8:00 PM ON FRIDAY. AND THEN LIMITED SERVICE IN THE AFTERNOON ON SATURDAY AND SUNDAY, WHICH THE BOYS ARE ALLOWED TO GET OFF CAMPUS BETWEEN FIVE AND EIGHT ARE ONLY ALLOWED TO GET OFF CAMPUS AFTER ONE, BUT GOTTA BE BACK ON CAMPUS AT FIVE. OKAY. SO IT'S KIND OF A, IT'S KIND OF A NICE BLEND. THE PARTICIPATION OF RMA AND IT'S ON THE COMMUNITY'S BEHALF. RIGHT. AND IT KEEPS THEM FROM WALKING OUT THERE. IT DOES. IT CERTAINLY DOES. THAT'S, THAT'S GOOD. OKAY. WELL THAT, THAT COVERED MY QUESTIONS. THANK YOU. YOU'RE QUITE WELCOME. ANY OTHER QUESTIONS? YEAH, MADAM CHAIR, THE, UH, UH, SO I, I SEE THAT YOU GOT 13 STOPS HERE AND, AND THEY'RE, THEY'RE PROBABLY THE MOST, UH, YOU KNOW, THE, THE MOST, UM, HEAVILY USED STOPS. DO YOU, DO YOU REACH OUT TO, UH, UH, OH TO, YOU KNOW, THE, THE DIFFERENT FOLKS WHO USE THESE AND, AND ASK THEM, YOU KNOW, CAN YOU GIVE US SOME FEEDBACK OR IS THERE, ARE THERE ANY PLACES THAT WE'RE NOT STOPPING THAT WE ARE OR THAT WE ARE STOPPING? MM-HMM. THAT, YOU KNOW, NOBODY GETS OFF ON. I WILL GET YOU A LIST THAT I WILL PREPARE THAT FOR MR. DALEY. WE ACTUALLY JUST WENT THROUGH THAT WITH THE TOWN. OKAY. WE TOOK THE TOWN STAFF OUT THERE AND, AND LITERALLY TOOK THE DRIVERS AND IT WAS BEAUTIFUL. 'CAUSE WE HAD PASSENGERS ON BOARD AND THERE WERE SOME AREAS THAT WERE GETTING A FLAG DOWN THE FLAG DOWN, FLAG DOWN. AND, AND THE DRIVERS KNOW EXACTLY WHERE THOSE ARE. SO WE CREATED A LIST FOR THEM TO TAKE A HARD LOOK AT THAT. AND I'LL BE MORE THAN HAPPY TO SHARE THAT AS WELL. OKAY. YEAH. I MEAN, AND THAT, AND THAT'S WHERE, THAT'S WHERE I'M GOING WITH, UH, WHEN I THINK BACK AT SOME OF THE PROGRAMS THAT I'VE ACTUALLY OVERSEEN COPA PION, ONE 16 BUS STOPS, 16 BUS STOPS. I'M NOT USED TO 16 BUS STOPS WHEN I COMPARE IT TO SOME OF THE SYSTEMS THAT I OPERATED WITH AND THE SIZE OF TOWN THAT BIG, I HAD 60 BUS STOPS. PEOPLE, PEOPLE ARE NOT GONNA WALK. THEY'RE NOT GONNA WALK. I MEAN, THEY'RE GONNA WALK, BUT THEY'RE NOT GONNA WALK THREE QUARTERS OF A MILE. AND I USED TO TELL PEOPLE, JUST WATCH THE BEATEN PATHS. I KNOW THE POLICE OFFICERS HERE LOOK AT THE BEATEN PATH WHERE THEY'RE WALKING ON THE SIDE OF THE ROAD. THAT'S WHERE THEY'RE WALKING FROM. THAT'S WHERE WE NEED TO IDENTIFY THOSE PLACES. AND I'M SURE SOME OF YOU ACTUALLY KNOW WHERE SOME OF THOSE ARE AS WELL. AS WELL AS MICHELLE RIGHT HERE. SO YES, I'M PROVIDE YOU WITH THAT. YES, SIR. WELL, THANK YOU. ANY QUESTIONS? NO, I'M IMPRESSED WITH THE OPERATION. I, I THINK IT'S, IT'S NECESSARY SO THAT WE CAN CONTINUE TO MOVE PEOPLE ABOUT WHO DON'T HAVE THE ABILITY TO DO IT ON THEIR OWN. MM-HMM. IT HELPS WITH WORKFORCE TOO. YES, MA'AM. ABSOLUTELY. YEAH. IT'S NOT TOO MUCH TO ASK. COULD YOU DO A STUDY ON THE ALTERNATIVE SHIFTS OUT THERE IN THE INDUSTRIAL CORRIDOR JUST TO YES, MA'AM. GIVE US AN IDEA. ABSOLUTELY. IF THAT COULD FIT INTO THIS MODEL. YEP. I APPRECIATE THAT. IS THERE ANYTHING ELSE? OKAY, THANKS. NO, THANK YOU FOR YOUR TIME. I APPRECIATE YOUR TIME. THANK YOU. OKAY, MOVE WENT ON [C. Presentation - Silent Falcon incentive Agreement Update - Joe Petty ] TO THE NEXT, UM, TOPIC FOR DISCUSSION. IT'S THE SI SILENT FALCON INCENTIVE AGREEMENT UPDATE. OKAY. SO I, I'LL JUST, I'LL GET THIS KICKED OFF AND THEN HAND IT OVER TO GRANT TOO. BUT, UM, SO TONIGHT, UH, THE ITEM IS, SO WE ENGAGED WITH SILENT FALCON IN 2021 WITH AN INCENTIVE GRANT, UM, THE COMMONWEALTH DEVELOPMENT OPPORTUNITY FUND AND A VG GRANT. SO, UM, JOBS INCENTIVE PROGRAM AS A PARTNER. AND SINCE THEN, UM, GRANT WILL GIVE YOU AN UPDATE ON KIND OF WHERE THEY ARE WITH THAT PROGRESS. BUT TONIGHT WE'RE SEEKING A LETTER OF SUPPORT FROM THE BOARD OF SUPERVISORS, UM, THAT YOU COULD APPROVE NEXT WEEK THAT WOULD APPLY FOR AN EXTENSION TO THAT GRANT. THE PERFORMANCE DATE IS THE END OF THIS YEAR. SO WE'VE BEEN IN DISCUSSIONS WITH VEDP ON WHERE WE ARE WITH EVERYTHING. SO [00:15:01] THIS WOULD JUST BE A LETTER OF SUPPORT FROM THE BOARD, UM, FOR THAT EXTENSION FOR BOTH THE COF AND THE V GIP PROGRAM, UM, THROUGH VEDP, WHICH WOULD ALLOW AN ADDITIONAL 15 MONTHS TO HIT THOSE TARGET DATES, UM, IN PERFORMANCE. AND, UH, GRANT IS HERE. HE HAS A PRESENTATION. HE'S GONNA PROVIDE KIND OF WHERE THEY ARE, UH, IN THE PROCESS AND, AND WHY THIS 15 MONTHS WOULD BE VERY BENEFICIAL FOR THEM AND FOR WARREN COUNTY AS A WHOLE WITH BRINGING THE JOBS AND INVESTMENT THAT WE'RE LOOKING FOR. SO, DO I JUST CLICK ON THIS, SIR? UH, MADAM CHAIR, THANK YOU. COUNTY SUPERVISORS. THANK YOU VERY MUCH. APPRECIATE YOUR TIME TONIGHT. UM, WE'RE SEEKING SUPPORT, AS WAS STATED FOR THE, UH, COF GRANT AND THE VGIP FOR, FOR AN ADDITIONAL 15 MONTHS. ESSENTIALLY, OUR TIMING WAS PRETTY POOR. WE, UH, WE DECIDED TO COME AND START EVERYTHING DURING COD AND, UH, CAUSED A LOT OF DELAY FOR US. UM, WE WERE ORIGINALLY BASED IN ALBUQUERQUE, NEW MEXICO, AND FOUND FRONT ROYAL TO BE THE IDEAL LOCATION FOR US TO MOVE OUR COMPANY TO. UM, AS WE DID THAT, WE, UM, WERE HAVING CHALLENGES WITH THE COVID. OBVIOUSLY THERE WERE A LOT OF RULES AND THINGS WE COULD AND COULDN'T DO, DELAYED US A LOT. UH, AND DURING THIS TIME WE SAID, YOU KNOW WHAT? WE GOTTA PIVOT THIS COMPANY SO WE CAN SURVIVE. AND WE PIVOTED FROM OUR MANUFACTURING ROLE INTO ONE OF DOING DATA AS A SERVICE. AND I'LL SHOW YOU WHAT WE DO NOW, JUST TO LET YOU KNOW. BUT I WOULD, WHAT I'M GONNA SHOW YOU NO ONE ELSE IN THE WORLD DOES, AND I'LL EXPLAIN HOW OUR GROWTH IS COMING ABOUT. UH, WE HAVE NOW CLOSED OUR, ALL OUR FACILITIES IN NEW MEXICO AND MOVED EVERYTHING OUT HERE. AND, UM, WE EVEN STARTED MOVING ALL THE PEOPLE THAT SCATTERED DURING COVID INTO FRONT ROYAL. IN FACT, I'VE GOT TWO GUYS HERE THAT HAVE MOVED DOWN FROM, UH, NEW HAMPSHIRE. AND, UH, LET ME GO THROUGH AND AND SHOW YOU, UH, WHAT WE ARE UP TO. AND YOU CAN ASK ME ANY QUESTIONS YOU LIKE. UM, BUT THE BIG THING IS, IS THAT WE, AS I'LL SHOW YOU, WE ARE BRINGING JOBS TO THE COUNTY AND BRINGING NEW TECHNOLOGY AND I THINK A LOT OF OPPORTUNITIES. SO, UH, WHAT YOU SEE RIGHT HERE IS A DRONE THAT WE FLY. WE'RE COMPLETELY DRONE AGNOSTIC NOW. SO WE, UM, USE OTHER DRONES THAT ARE APPROVED, BE USED ON MILITARY BASES AND THINGS LIKE THAT. AND WHAT WE DO IN OUR LIFE IS WE GO OUT AND WE TAKE IMAGES OF AIR FIELDS AND INFRASTRUCTURE, AND WE PIXELATE THEM DOWN TO ABOUT THE THICKNESS OF A COIN, ABOUT A MILLIMETER. AND WE MAKE DIGITAL TWINS AND THEN USE AI TO ANALYZE THE HEALTH OF THE SURFACE OF THE AIRFIELD. AND WE JUST RECEIVED OUR PATENT. SO WHEN WE MOVED HERE, WE INITIATED PATENT AND WE JUST GOT IT APPROVED IN SEPTEMBER. UH, SO WE'RE THE ONLY GUYS IN THE WORLD THAT APPROVED TO BE ABLE TO DO THIS AND DO IT, UH, VERY WELL AND DO IT VERY QUICKLY. THE DAY, THE RUNWAY YOU SEE ON THE LEFT THERE IS COLORIZED AND IDENTIFYING PROBLEMS WITH THE RUNWAY AND THAT NEED TO BE REPAIRED. AND WHAT WE HAVE FOUND IN SCANNING AIRFIELDS AROUND THE UNITED STATES, WHEN WE FIRST STARTED, WE ONLY DID ONE. WE'RE NOW UP TO 150. AND, UM, WHAT WE'VE DISCOVERED IS THAT ALL THE AIRPORTS IN AMERICA ONLY LOOK AT 10% OF THEIR RUNWAY AND THEY GUESS ON THE OTHER 90%. AND THAT CAUSES BUDGET PROBLEMS FOR REPAIRS AND DIFFERENT THINGS LIKE THAT. IT'S A HUGE PROBLEM. SO AS WE SHOW THIS DATA, IT, UM, HOW DO I GET TO THE NEXT ONE HERE? CAN WE GO TO THE NEXT SLIDE? THIS IS NOT WORKING. AWESOME. NEXT SLIDE. OKAY. SO THIS IS GRAND CANYON AIRPORT. ON THE LEFT IS THE TRADITIONAL METHOD OF SCANNING THE AIRFIELD, WHICH IS WHERE YOU HAVE SOME FOLKS AND BOOTS AND THEY WALK AROUND WITH A RULER AND THEY MEASURE 10% OF THE PAVEMENT AND TELL YOU THE HEALTH OF THE PAVEMENT. THE YELLOW INDICATES IT'S SAFE. A FEW WEEKS LATER, THE FAA CAME OUT AND THEY SAID, THIS AIRFIELD DOESN'T LOOK SAFE. GET SILENT FALCON OUT HERE TO DO A HUNDRED PERCENT SCAN OF THE AIRFIELD. SO WE DID A DIGITAL TWIN OF THAT AIRFIELD, PIXELATED IT DOWN TO 1.5 MILLIMETER. AND AS YOU CAN SEE, THERE'S A LOT OF AREAS THAT ARE RED. WELL, IF YOU TURN IN THE REPORT ON THE LEFT AND SAY, HEY, EVERYTHING'S OKAY, YOU DON'T GET ANY MONEY FROM THE FA TO REPAIR YOUR AIR FIELD. WHEN THEY TURNED THIS DATA IN, THEY GOT $800,000 TO REPAIR. AND THAT'S THE BIG DIFFERENCE IN THAT WE GIVE THEM THE TRUTH, WE DON'T GIVE THEM GUESSWORK. AND THAT'S WHAT WE'RE DOING IN THE INDUSTRY. UH, WE DO THE NEXT [00:20:01] , THIS IS WHAT FAILED RUNWAYS LOOK LIKE. AND THEY'RE STARTING TO HAPPEN ALL OVER THE PLACE. AND YOU CAN SEE YOU GOT PEOPLE ON, ON WALKING AROUND LOOKING AT THE AIRFIELD, AND THAT'S WHAT THEY DO. WE DON'T DO THAT. WE GET OUT THERE WITH DRONES THAT SURVEY THE AIRFIELD VERY QUICKLY AND THEN BRING THAT DATA IN AND WE ANALYZE IT WITH AI. AND LIKE I SAID, IT'S PATENTED AND I THINK WE HAVE THE BEST LIBRARY, UH, FOR AI AND PAVEMENT DATA IN THE WORLD. NEXT SLIDE, PLEASE. UM, SO WHAT WE DO AT SILENT FALCON IS WE GO OUT, WE DIGITIZE THE AIRFIELD OR WHATEVER. WE'RE LOOKING AT ROADS, ANYTHING. WE ANALYZE IT USING GLOBAL STANDARDS, AND THEN WE PRODUCE DATA BECAUSE THERE'S A TON OF DATA. WE MAKE IT EASY. AND A TOOL THAT YOU CAN MAKE DECISIONS ON SO THE, THE, UH, THE DATA HELPS MAKE THE RIGHT DECISIONS VERSUS THE WAY WHERE YOU GO OUT AND YOU JUST DO GUESSWORK, WHICH IS WHAT'S HAPPENING CURRENTLY. AND THAT'S WHY WE HAVE HUGE BUDGET GAPS IN REPAIRING AIRFIELDS AND THE AIRFIELDS CONTINUE TO BECOME MORE DANGEROUS. NEXT SLIDE, PLEASE. THESE ARE SOME OF THE WINDS WE'VE HAD AND WHY WE HAVE ASKED FOR THIS DELAY, UH, THIS EXTENSION, RIGHT, IS THAT WE HAVE STARTED TO GAIN TRACTION. NOW, NOW THAT WE'RE OUT OF COVID, EVERYBODY'S OPENING UP, THEY'RE TRAVELING, THE AIRPLANES NEED TO BE TRAVELING ON REPAIRED RUNWAYS. SO YOU, WE WON A CONTRACT IN UTAH WHERE FOR FIVE YEARS THEY'VE GIVEN US ALL THEIR AIRFIELDS 44 AIRFIELDS. SO WE HAVE PEOPLE LITERALLY DEPLOY FROM FRONT ROYAL DRIVE TO UTAH, SCAN ALL THE AIRFIELDS, AND THEN COME BACK AND WE PROCESS THE DATA HERE AT THE, AT, UH, FRONT ROYAL. UH, WE JUST DID THE ROADWORK AROUND MANCHESTER AND BOSTON. WE WORK WITH A LOT OF THE BIG COMPANIES. JACOBS HAS MADE US AN INTERNATIONAL VENDOR. WE'VE DONE CHARLESTON AIR FORCE BASE, AS WELL AS SOME OF THE SURROUNDING AIR FIELDS THERE. UM, AND RIGHT NOW WE'RE IN DISCUSSIONS WITH, UH, GROUPO AERO PUO, DELL PACIFICO. I KNOW I WAS PROBABLY BUTCHERED THAT, BUT, UH, AS YOU GET OUTSIDE THE UNITED STATES, UM, AIR FIELDS ARE PRIVATELY OWNED AND THEY REALLY UNDERSTAND SAVING MONEY IS IMPORTANT, AND THAT'S WHAT WE DO. AND SO WE SCAN PORT DE VALLARTA, UM, AND WE ARE IN DISCUSSIONS NOW TO TAKE OVER 14 OF THEIR LARGE INTERNATIONAL AIRPORTS AND PROVIDE THEM PAVEMENT SERVICES, NOT JUST ONCE A YEAR, BUT EVERY DAY. SO, UM, HOW WILL WE DO THAT? WE WILL SET UP NODULES ACROSS ALL OF THEIR MEXICAN AIRFIELDS. THE PEOPLE WILL BE TRAINED HERE. THE DATA WILL BE PROCESSED HERE, EVEN THOUGH IT'S BEING CAPTURED IN MEXICO. WE DID THE SAME THING IN OTTAWA, CANADA LAST WEEK. NEXT SLIDE, PLEASE. THE BIG POINT IS, IS THAT WITH DRONES, WE CAN CAPTURE THE DATA VERY QUICKLY, VERY ECONOMICALLY. AND THIS, THIS CURVE YOU SEE HERE IS A DEGRADATION CURVE. AND IT SHOWS YOU THAT WHEN YOU PUT PAVEMENT IN, IT'S GREAT, AND THEN IT DEGRADES. WELL, WHAT'S HAPPENING ACROSS AMERICA IS THAT YOU GO TO, TO THE LOCAL AIR FIELDS LIKE DAIS, DALLAS, UH, UH, REAGAN, THEY ONLY LOOK AT A PORTION POR A PORTION OF THE PAVEMENT. AND SO THEY ONLY LOOK AT IT EVERY THREE YEARS. AND SO IT'S WAY DOWN THAT CURVE. AND IF YOU SEE UP HERE, THIS IS FROM THE FAA, THEY SAY, HEY, IF YOU REPAIR IT WHEN IT'S DOWN HERE, IT'S GONNA COST YOU FOUR OR $5 EVERY SQUARE FOOT. WHEREAS IF YOU REPAIR IT UP IN THAT GREEN BOX, WHICH IS WHERE WE FIND THE PROBLEMS, IT'S GONNA COST YOU LESS THAN A DOLLAR. SO WE CAN SAVE PEOPLE 80% OF WHAT THEY'RE SPENDING ON THEIR PAVEMENT. SO THAT'S WHAT WE'RE DOING. WE'RE STARTING TO GAIN A LOT OF TRACTION IN THAT AREA. NEXT SLIDE, PLEASE. WE'RE, UH, AS YOU CAN SEE HERE, THE, THE COLORIZATION IS WHAT THE AI DOES. IT MAKES IT VERY EASY FOR THE ENGINEERS TO UNDERSTAND WHAT IT IS. NEXT SLIDE, THAT MOVING PICTURE YOU SEE IN THE RIGHT IS A, IS FROM UTAH. WE TOOK AN IMAGE HERE ON IN 2022. THERE IT IS IN THE SAME PLACE IN 2023. AND THAT'S THE DIFFERENCE. THAT LITTLE WHITE PICTURE, WHAT THAT TELLS YOU IS THAT PAVEMENT DOESN'T DEGRADE LIKE THE FAA SAYS IT DOES. IT DEGRADES DIFFERENTLY OVER, OVER DIFFERENT AREAS. IT'S GOT ITS OWN MICROCLIMATE. SO WE ARE ABLE TO GO IN AND PINPOINT EXACTLY WHAT NEEDS TO BE REPAIRED. AGAIN, LOWERING THE COSTS OF REPAIRS. AND WE'RE THE ONLY GUYS IN THE WORLD THAT CAN DO THIS. AND WE'RE TEAMED UP WITH RAYTHEON ON THIS WHERE WE CAN DO PIXEL TO PIXEL ANALYSIS IN THREE DIMENSIONS DOWN TO, UH, TWO MILLIMETER, WHAT YOU SAY, TWO , THREE DIMENSIONS, UP, DOWN, LEFT, RIGHT, EVERY WHICH WAY. AND THAT COMES OUT OF A MILITARY PROGRAM. UH, NEXT SLIDE PLEASE. THIS IS WHERE THE DATA GETS SENT TO IN THE FAA. AND SO WE'VE FIGURED OUT THE WAY THAT YOU CAN PUSH IT IN AUTOMATICALLY AND IT GETS DELIVERED TO THE AIRPORT LEADERSHIP [00:25:01] IN THE OLD DAYS, AND OTHER PEOPLE EXCEPT US HAVE TO HAND JAM IT IN. SO WE ARE THE ONLY ONES WHO CAN AUTOMATICALLY DELIVER THAT. IT TAKES US A FEW MINUTES, WHEREAS IT TAKES PEOPLE HOURS AND DAYS TO DO IT. NEXT SLIDE, PLEASE. HERE'S THE GREAT THING IS THAT UTAH NOW HAS ANALYSIS OF ALL THEIR AIRFIELDS IN ONE HANDY DANDY INFORMATION PACKET, AND THEY CAN EVEN GET IT ON THEIR PHONE AND IT TELLS THEM EXACTLY HOW MUCH THEY'RE GONNA SPEND, HOW TO FORECAST IT, WHAT THE DE DEGRADATION RATE IS, EVERYTHING THEY NEED TO KNOW, AND IT JUST SAVES THEM TONS AND TONS OF MONEY, WHICH YOU ALL UNDERSTAND. NEXT SLIDE. THERE'S OUR TEAM. WE ALL COME FROM AVIATION OR THE HIGH TECH INDUSTRY AND, UH, ARE MAKING GREAT HEADWAY. UH, AGAIN, NOW, NOT ONLY JUST THE UNITED STATES, BUT INTERNATIONALLY. NEXT SLIDE. AGAIN, WE'RE PATENTED AND WE'RE, UM, PROVIDING ALL THIS INFORMATION AND NOT ONLY JUST FOR ONE THING LIKE PAVEMENT, BECAUSE WE CAPTURE THE DATA AND TIE IT TO A NATIONAL GEODETIC SURVEY, IT CAN BE REUSED OVER AND OVER AND OVER AGAIN FOR OTHER INSPECTIONS. SO INSTEAD OF HAVING 16 DIFFERENT INSPECTIONS, YOU HAVE ONE AND JUST PULL THE DATA YOU NEED. NEXT SLIDE. AGAIN, WE'VE BEEN ALL OVER. WE WORK WITH ALL THESE COMPANIES AND DOTS. NEXT SLIDE. THIS IS PORTO VALLARTA WHERE THEY'RE HAVING A 40% GROWTH RATE. AND THEIR BASIC PROBLEM IS THEY DIDN'T MAINTAIN THE AIRFIELD. WE'RE PINPOINTING THAT FOR THEM, SHOWING THEM WAYS TO RECOVER AND GET BACK TO, UM, LOWER COSTS IN MANAGING THE AIRFIELD. AND THESE ARE ALL THE AIRPORTS THAT THEY ARE ASKING US TO HELP MANAGE. THE BIG THING HERE IS, AND THIS IS WHAT WE'RE GONNA SEE ALL OVER THE WORLD, IS THAT AIRCRAFT SIZE HAS DOUBLED AND THE FREQUENCY OF THE FLIGHTS HAVE INCREASED. AND SO ALL THAT POUNDING OF WEIGHT IS NOW DEGRADING AIR FIELDS AND RUNWAYS FASTER THAN THEY WERE DESIGNED TO BE DEGRADED. NEXT SLIDE. WE'VE CONTINUED TO PROGRESS HERE. YOU SEE, SO WE GOT STARTED IN 2019. WE'RE NOW ABLE TO SEND INSTEAD OF 30 PEOPLE OUT TO GET AN AIRFIELD. WE CAN SEND ONE PERSON OUT TO CAPTURE THE AIRFIELD AND WE'RE READY TO SCALE UP. SO RIGHT NOW, THAT'S THE PHASE WE'RE IN. NEXT SLIDE. HERE'S THE THING THAT YOU GUYS ARE PROBABLY MOST IN INTERESTED IN RIGHT NOW. WE HAVE 27 FULL-TIME EMPLOYEES, 15 PART-TIMERS. AND THE AVERAGE ANNUAL SALARY IS ABOUT 66 K. IN RISING OUR EMPLOYEE GROWTH, EVERY TIME WE GET 10 TO 15 AIRFIELDS, WE HAVE TO HIRE ANOTHER EMPLOYEE JUST TO HANDLE THE, THE AMOUNT OF WORKLOAD. UM, FRONT ROYAL, OUR WORKFORCE IS VERY YOUNG. 50% OF OUR EMPLOYEES ARE UNDER 30 YEARS OF AGE. AND UM, WE HAVE HIRED NOW 15 PEOPLE DIRECTLY FROM THE FRONT ROYAL MARKET. UM, WE CLOSED OUR NEW MEXICO FACILITY, WHICH I TALKED ABOUT. EVERYTHING HAS BEEN NOW MOVED HERE TO FRONT ROYAL. THERE ARE NOW 21 DRONE AIRCRAFT AT FRONT ROYAL. FOUR OF THEM ARE APPROVED FOR DOD FACILITIES. AND WE'VE EVEN GOT A HYBRID VEHICLE NOW. UM, OUR NON FRONT ROYAL EMPLOYEES, WE ARE OFFERING TRANSITION. SO IF WE HAVE, LIKE, WE HAVE OUR SALES TEAM, WHICH WAS UP IN NEW HAMPSHIRE, WE OFFERED THEM, HEY, HOW WOULD YOU LIKE TO COME TO FRONT ROYAL? THEY SHOWED UP. SO THAT'S, WE'RE, WE'RE WORKING OUT DEALS WITH ALL OUR EMPLOYEES TO COME HERE. WHO WOULDN'T WANT TO COME TO FRONT ROYAL? I MEAN, IT'S A GREAT PLACE. THAT'S WHY I'M HERE. LOVE IT. UM, AND THERE YOU ARE. THERE'S THE FIRST TWO, RIGHT? GOT THOSE GUYS UP HERE. UM, FUTURE JOB POSTINGS FOR ANYBODY. IT'S HARD TO FIND PEOPLE NOWADAYS. IF YOU GO TO OUR WEBSITE, WE HAVE ALL THE JOBS LISTED THERE AND WE ARE LOOKING FOR PEOPLE ALL THE TIME. UM, AND WE REALLY LOOK FOR PEOPLE WITH PASSPORTS THAT HELPS. UM, THE, UM, UH, WE, WE'VE ALSO ARE WORKING WITH STEM AND SCHOOL RELATIONSHIPS. SO OUR SALES TEAM ACTUALLY COMES FROM BABSON COLLEGE, WHICH IS UP IN THE BOSTON AREA. JUST RECENTLY RANKED NUMBER 10 IN THE UNITED STATES. WE'RE WORKING WITH VIRGINIA TECH AS WELL AS LAUREL RIDGE AND RMA AND SEEKING MORE OF THOSE COMPANIES AND, AND SCHOOLS TO WORK WITH. SO THAT, UM, WE'VE, WE'VE CREATED A PIPELINE. SO ABOUT 21% OF OUR EMPLOYEES GO FROM BEING AN INTERN TO PART-TIME TO FULL-TIME EMPLOYEE. WE WANT TO HAVE A LONG-TERM RELATIONSHIP WITH OUR EMPLOYEES AND, UH, KEEP 'EM AROUND FOR A WHILE. NEXT SLIDE. THERE'S A LIST OF MILESTONES. I'VE ALREADY BOARD YOU ENOUGH WITH STUFF, BUT WE ARE, UM, CONTINUING TO CLAW AWAY AT THIS INDUSTRY. LIKE I SAID, WE'RE THE ONLY ONES THAT ARE DOING IT. UH, WE'VE GOT SOME PEOPLE OUT THERE THAT CLAIM TO BE ABLE TO DO IT, BUT ACCORDING TO ALL THE OFFICIAL SOURCES, THEY'RE NOT EVEN CLOSE. SO RIGHT HERE IN FRONT ROYAL, WE'RE LEADING THE HIGH TECH INDUSTRY AND KEEPING RUNWAY SAFE. [00:30:01] NEXT SLIDE. THIS IS OUR PROJECTIONS. SO IF YOU LOOK AT THE PROJECTIONS THAT WERE IN, THE, UM, THE PROGRAM THAT WE HAVE THAT WE'RE ASKING FOR AN EXTENSION ON, IT LISTS SOME JOBS IN THERE THAT WAS BASED ON MANUFACTURING THE JOB JOBS ARE CLOSE. UM, I WOULD SAY THAT AS WE GROW, LIKE I SAID, WE'RE GETTING ABOUT ONE PERSON FOR EVERY 10 TO 15 AIRFIELDS. AND THAT WILL BE BASICALLY ON TRACK WITH WHAT YOU SEE IN THE PACKAGE THAT WE TURNED IN A FEW YEARS AGO IN MANUFACTURING. BUT THE JOBS ARE NOT MANUFACTURING JOBS. THESE ARE HIGH TECH JOBS THAT INVOLVE EITHER FLYING OR INVOLVE OPERATING AI, THOSE KINDS OF THINGS. UM, AND ALL THOSE THINGS LISTED IN GREEN ARE ALL THE THINGS THAT WE CAN COVER WITH THE DATA. NEXT SLIDE. THAT'S IT. I'M READY FOR YOUR QUESTIONS. , YOUR EMPLOYEES ARE CLAPPING, . OH, I DIDN'T RULES. UH, DOES ANY QUESTIONS FROM, SO WHEN YOU ORIGINALLY CAME TO FRONT ROYAL, YOU SAID YOU WERE HOPING TO HAVE 249 JOBS AND YOU HAD, YOU KNOW, THAT WAS GONNA BE MANUFACTURING PRIMARILY MANUFACTURING DRONE. CORRECT. AND UM, SO, AND NOW YOU'VE SHIFTED, OBVIOUSLY DUE TO THE MARKET, UM, YOU'VE SHIFTED TO MORE OF A-D-A-A-S ROLE, DATA AS A SERVICE, THE DATA AS A SERVICE. YEP. YEP. AND TO MORE OF THAT ROLE. SO, UM, DO YOU ANTICIPATE THAT YOU WILL GET TO 249 JOBS AND YEAH. THAT, WITH THAT KIND OF SERVICE? OR IS THERE YEAH, WHAT WE'RE FINDING IS THAT, UM, AI IS A VERY INTERESTING THING WHERE YOU TRAIN IT, RIGHT? AND THE PEOPLE THAT TRAIN IT AND TEACH IT SORT OF TEACH THEMSELVES OUT OF A JOB. SO WHAT WE DO IS WE TEACH THEM HOW TO TAKE THE NEXT STEP UP, WHICH IS BEING THE PERSON THAT MANAGES THE DATA THAT COMES IN SO THAT THEY CAN DELIVER IT ON THE OTHER END. SO WE TRY TO HAVE A PIPELINE OF WHERE SOMEBODY CAN SHOW UP. AND IN FACT, WE HAVE PEOPLE THAT HAVE SHOWN UP AS PILOTS AND THEN EVOLVED INTO ANALYSIS, ANALYSIS. AND THEN THEY'VE TURNED INTO THE PEOPLE THAT ACTUALLY DO THE, WE'RE CALLING 'EM DAAS, WHICH IS BASICALLY, UH, NOT ONLY MANAGING THE DATA, BUT ALSO THE SYSTEMS THAT IT'S RUNNING ON. AND SO, UM, WE CONTINUED TO KIND OF GO UP THE FOOD CHAIN AS IT WERE IN THE JOBS. AND OF COURSE THERE'S GOODS AND BADS TO THAT. IT COSTS US MORE MONEY BECAUSE THEY GET BETTER EDUCATION, THEY GET BETTER, HIGHER QUALITY, UM, PERFORMANCE. BUT THE GREAT THING IS, IS THAT IT SURPRISINGLY, WE ARE FINDING THAT PEOPLE THAT MAYBE HAD NO IDEA ABOUT AVIATION ARE SUDDENLY COMING IN. UM, I THINK OUR COMPANY IS ABOUT 25% WOMEN, WHICH IS UNUSUAL FOR THIS INDUSTRY. AND WE'VE JUST FOUND THAT THEY'RE VERY GOOD WITH THE, THE, THE METICULOUS METICULOUSNESS NEEDED TO ANALYZE AN AIRFIELD AND THEN BE ABLE TO DELIVER TO OUR CUSTOMERS. AND A LOT OF 'EM, YOU KNOW, JUST NEVER EVEN THOUGHT ABOUT AVIATION AT ALL. AND SO IT'S REALLY GREAT TO SEE. UM, BUT YES, I DO AN ANTICIPATE US GETTING TO THOSE, STILL HITTING THAT TARGET. YES, THAT IS BECAUSE THAT WAS THE TARGET. THAT THAT IS OUR GOAL. THAT WAS, BUT IT WON'T BE MANUFACTURING. IT WILL BE MORE DATA ANALYSIS OR SOMETHING ALONG THAT LINE. DATA ANALYSIS. YEAH. WE WILL STILL HAVE PILOTS. OKAY. UM, AND THOSE ARE THE PEOPLE THAT TRAVEL. SO WE LOOK FOR PEOPLE, UM, THAT CAN TRAVEL, HAVE A PASSPORT TO ALL THOSE KINDS OF THINGS. IS YOUR SOFTWARE ARC GIS? WE ARE, THAT'S ONE OF OUR DELIVERY PLATFORMS. OKAY. SO THE DATA WE COLLECT, WE'RE ACTUALLY A SILVER NETWORK PARTNER WITH, WITH, UH, ESRI. SO WE DELIVER AN ARC GIS AND THAT GOES TO THE ENGINEERS AND THE LEADERSHIP AND OWNERS OF THE AIRFIELD USUALLY GET IT IN POWER BI OR SOMETHING ELSE. THEY ALL WANT SOMETHING DIFFERENT OUT OF THE SAME SAME DATA I WAS GONNA TELL YOU BECAUSE, UM, JMUI KNOW HAS A PROGRAM FOR THOSE TYPES OF, OF, UH, SO YOU KNOW, I'M AN IT RECRUITER DURING THE DAY. THERE YOU GO. SO . SO I KNOW WHERE ALL THE POCKETS OF SKILLS ARE, 'CAUSE I'VE RECRUITED IT AT SOME POINT OR ANOTHER IT'S AND JMU HAS A GEOGRAPHY PROGRAM THAT, UH, THAT TRAINS VERY GOOD RDS. WELL, ANYBODY FROM JM U'S LISTENING, GO TO OUR WEBSITE. THAT'S AND LET US KNOW . YEP. SO THAT'S THE ONLY, THAT'S ALL I HAD. IS THERE ANY OTHER QUESTIONS? I, I HAD A FEW, UM, UNDERSTANDING THAT COD HAS SWITCHED YOUR, UM, MODE OF OPERATION, BUT WHEN YOU CAME ON SOME OF THE EXPECTATIONS, WE WERE TOLD THAT THE FIRST YEAR THERE WERE GONNA BE 40 JOBS THE SECOND YEAR, 70. [00:35:01] AND BY YEAR THREE, TWO HUNDRED AND FORTY NINE WITH AVERAGE PAY OF $89,751 AND 31 CENTS IS WHAT WE WERE TOLD THEN. YEP. UM, CAPITAL INVESTMENT THE FIRST YEAR WAS GONNA BE 2.9 MILLION THE SECOND YEAR. 375,000 AND A QUARTER MILLION ON THE THIRD YEAR. UM, SO, YOU KNOW, TRYING TO WRAP MY HEAD AROUND, YOU KNOW, WHERE ARE YOU GONNA BE ABLE TO MEET ANY OF THOSE BENCHMARKS? 'CAUSE THOSE WERE PART OF WHAT, EVEN WITH THE STATE, UH, PROGRAMS THAT YOU WERE SUPPOSED TO MEET WITHIN A TIMEFRAME, RIGHT? SO, UM, GOING BACK TO THAT TIME PERIOD, ONE OF THE THINGS THAT WE WERE FACED WITH WAS THAT WE WEREN'T EVEN ALLOWED TO GO INTO WORK TO FINISH MANUFACTURING ON DELIVERABLES THAT WE HAD. SO ONE OF THE THINGS THAT YOU STAND AND YOU GO, I CAN'T GO INTO FIX AND DELIVER A DRONE THAT I'VE GOT AN ORDER FOR. WHAT DO I DO? RIGHT? SO THAT'S WHAT WE HAD TO THINK VERY QUICKLY. HOW ARE WE GONNA DO THIS? WE KNEW THAT THE DATA WAS GOOD, SO WE PIVOTED TO THIS OTHER ROLE. SO WE STILL HAD TO DO OUR DELIVERIES AS WE CAME OUT OF COVID, RIGHT? SO WE'VE HAD THIS SORT OF RAMP DOWN PERIOD OF WHERE WE HAD TO DELIVER THE THINGS THAT HAD BEEN ORDERED. WE GOT 'EM DELIVERED. BUT, UM, THE, ALL OF THOSE MANUFACTURING ITEMS WERE IN OUR FACILITY IN NEW MEXICO, WHICH WE WEREN'T EVEN ALLOWED TO GO INTO BECAUSE OF COVID. SO IT'S HARD TO GO IN AND GET STUFF TO BRING IT OUT. THEY HAD LIMITED, I MEAN THE, THE, IT WAS SO CRAZY THEN WITH THE DIFFERENT RULES, WE WOULD HAVE ONE PERSON GO IN SOMETIMES AND THEN YOU'D HAVE TO HAVE ANOTHER PERSON GO IN. I MEAN, TO TRY TO OPERATE A BUSINESS THERE WAS VIRTUALLY IMPOSSIBLE. A LOT OF PEOPLE WENT OUTTA WORK. SO THAT'S WHY WE SAID, OKAY, WE'VE GOTTA DO SOMETHING. WE'VE GOTTA ADAPT AND OVERCOME. AND SO WE SAID, OKAY, WE WENT STRAIGHT TO THE FAA, HEY, WE CAN DO THIS THING. WE STARTED DOING IT. YEP. WE KNEW THAT ARE, YOU KNOW, ARE WE GONNA GET ORDERS RIGHT AWAY? NO. ARE WE GONNA BE ABLE TO MANUFACTURE, I DON'T KNOW, WHEN'S COVID GONNA END? RIGHT? NO ONE, NO ONE SAID, HEY, OH BY THE WAY, MARCH 30TH, COVID WILL BE OVER. YOU CAN START MAN MOVING STUFF IN. SO WE HAD NO IDEA, MY JOB WAS TO TRY AND KEEP MONEY COMING IN SOMEHOW SO WE COULD KEEP THE CURRENT EMPLOYEES WE HAD EMPLOYED. RIGHT? WE HAD THESE PROGRAMS. I MEAN, I WAS SPENDING MORE TIME DOING PAPERWORK, TRYING TO KEEP UP WITH EVERYTHING. SO I REALIZED GOING IN AND, YOU KNOW, EXPLAINED AS WE WENT, HERE'S WHERE WE'RE AT, HERE'S WHAT WE'RE DOING AND WE'RE CHANGING. BUT INSTEAD OF, THE WAY I LOOK AT IT IS, INSTEAD OF MANUFACTURING WITH EPOXY AND FABRIC TO CREATE A DRONE, WHICH WE WERE VERY GOOD AT, WE NOW TAKE DATA AND, AND TURN IT AND MANUFACTURE IT. AND THAT'S ONE OF THE THINGS THAT, UM, I THINK THAT WE HAVE TO UNDERSTAND IN TODAY'S DAY AND AGE IS THAT OUT AT FRONT ROYAL, WE ESSENTIALLY HAVE A DATA FACTORY AND WE TAKE DATA IN FROM ALL OVER THE WORLD AND WE, WE TAKE IT AND WE KIND OF MANUFACTURE A DIGITAL QUILT AND THEN WE DELIVER IT TO OTHER PLACES ALL OVER THE WORLD. BUT YOU GUYS KIND OF NEED TO FIGURE OUT HOW DO WE HELP BENEFIT THE COUNTY WITH THAT? HOW, YOU KNOW, 'CAUSE THE VALUE OF OUR COMPANY IS ABOUT $20 MILLION JUST BASED ON OUR AI LIBRARY. IF I JUST TOOK OUR AI LIBRARY AND PUT IT OUT ON THE MARKET, THAT'S WHAT IT'S WORTH. AND IT'S NOT LIKE YOU SEE IN THAT DOCUMENT THERE. RIGHT? AND, YOU KNOW, GOVERNMENT'S ALWAYS A LITTLE BIT BEHIND AND IT'S ONE OF THOSE THINGS WHERE WE, UH, ARE IN AN AGE WHERE WE HAD TO ADAPT VERY QUICKLY AND START MANUFACTURING ANOTHER PRODUCT. AND IT'S DIGITAL THAT, SO I DON'T NEED A DRILL PRESS, I NEED SERVERS. I DON'T NEED SOMEONE THAT LAYS EPOXY. I NEED SOMEONE WHO'S GOOD IN IT. SO THAT'S WHAT WE'VE BEEN GOING OVER FOR THE LAST YEARS. AND WHEN, YOU KNOW, THAT'S WHY I CAME UP WITH THAT RATIO AS A FIGHTER PILOT. I'M NOT SMART GUY. I JUST GO, I NEED RATIOS AND I NEED TO KNOW HOW TO GET THERE AND DO IT QUICKLY AND UNDERSTAND THE BASICS. SO I KNOW THAT FOR EVERY 10 AIRPORTS TO 15 AIRPORTS, I HAVE TO HIRE ONE EMPLOYEE TO KEEP UP WITH THE WORKLOAD. NOW, DO I NEED TO BUY A DRILL PRESS? NO. BUT I'M GONNA GO BUY A SERVER. I'LL GIVE YOU AN EXAMPLE. LAST WEEK WE WERE TESTING FORD TRUCKS AT, AT OUR PLACE BECAUSE THE DRONES WE USE HAVE GIANT BATTERIES. AND WE SPEND TIME GOING FROM THE RUNWAY TO BUILDING CHARGING BATTERIES. WELL, GUESS WHAT? FORD HYBRID TRUCK WILL CHARGE ALL OUR BATTERIES. SO WE HAVE TO MAKE A $70,000 INVESTMENT IN A FORD TRUCK PRETTY SOON. AND PROBABLY MORE OF THEM. AND AGAIN, IT'S NOT GONNA BE WHAT YOU SAW WHEN WE FIRST TURNED IT IN OF WHERE IT'S MANUFACTURING PRODUCTS. IT'S GONNA BE [00:40:01] A FINISHED PRODUCT IN THIS CASE, RIGHT? WHERE WE'RE GONNA BUY A FORD TRUCK OR WE'RE GONNA BUY SERVERS. SO IT'S A LITTLE BIT DIFFERENT. AND SO, UM, OUR INVESTMENT, AND THAT'S ONE OF THE THINGS IS THE PRODUCTS THAT WE HAVE WHEN WE MANUFACTURE SOMETHING, YOU, YOU CAN'T SEE IT OTHER THAN IT'S IN THAT COMPUTER OVER THERE. AND THAT'S ONE OF THE THINGS THAT'S DIFFERENT ABOUT THAT IN THIS INDUSTRY. AND, AND WE'RE, WE'RE VERY WILLING TO WORK AND SAY, HOW DO WE, BECAUSE WE WANNA PAY OUR TAXES AND DO ALL THAT STUFF. WE UNDERSTAND THAT WE, I'M, I'M A BIG PROPONENT OF MAKING SURE THAT WE GIVE BACK TO THE COUNTY AND THE STATE AND EVERYBODY THAT SETS THESE THINGS UP. SO WE'RE VERY TRANSPARENT AND I'VE SHARED WITH A NUMBER OF THE PEOPLE ON HOW VALUABLE THE DATA IS AND, AND HOW MUCH IT'S WORTH AND HOW MUCH IT WILL HELP. BUT WE NEED TO KNOW HOW HOW DO WE GET TAXED ON THAT SO THAT, THAT YOU, YOU GUYS SEE BENEFITS FROM OUR BENEFITS, RIGHT? I, I WANNA WORK WITH YOU GUYS AND SO I'M VERY TRANSPARENT. YOU GUYS TELL ME WHAT YOU WANT AND I WILL HELP YOU WITH THAT. BUT MY ROLE HERE IS TO TRY AND GET AS MUCH, UH, AS, AS MANY AIRPORTS IN. AND THAT'S WHAT THESE GUYS ARE DOING BACK HERE. AND WE'RE GONNA HIRE MORE AND MORE PEOPLE HERE BECAUSE IT'S ELECTRONIC. GUESS WHAT? I DON'T HAVE TO GO PUT PEOPLE ALL AROUND AT DIFFERENT PLACES. I CAN PUT EVERYBODY HERE AND WE CAN DO ALL OUR WORK REMOTELY. SO THAT'S THE OTHER BIG BENEFIT THAT YOU'LL START TO SEE WHEN YOU TALK ABOUT YOUR CONTRACTS AND SO FORTH. AND, UM, THE SUSTAINABILITY OF THOSE IS A CONCERN FOR ME. I'M JUST, I, I LOOK AT, UM, YOU KNOW, THE INVESTMENT THE COUNTY IS GOING TO GIVE TO YOU IN HOPES THAT WE GET RETURN ON THAT INVESTMENT. SO THAT'S WHERE MY BOTTOM LINE IS, YOU KNOW, IS THE OUTCOME GONNA BE WHAT THE INCOME IS? OKAY. SO, UM, AND IT'S, YOU KNOW, IT'S ONE THING TO TELL ME YOU'VE GOT 10 CONTRACTS, BUT I'M A HUNDRED, A HUNDRED PERCENT WITH YOU. SO I, I DON'T KNOW IF WE'VE ACTUALLY RECEIVED ANY MONEY FROM THE COUNTY THUS FAR. WE, WE'VE DONE SOME WORK ON THE HANGAR TO GET THAT THING BACK AND RESURRECTED. OKAY. SO THE COUNTY HAS 25,000 YEAH. INVESTED IN THE HANGAR. MM-HMM. AT THE FIRST PHASE WHEN THE ORIGINAL PROJECT STARTED. THE REST OF THE COUNTY INCENTIVE, IF YOU WILL, IS BASED ON REIMBURSEMENTS. CORRECT. SO ONLY IF THEY ARE PAYING, IF THEY BRING NEW EQUIPMENT THAT IS TAXED HERE, UH, BY THE COMMISSIONER AND COLLECTED BY THE TREASURER, UH, WOULD THAT BE SUBJECT TO THE REIMBURSEMENT CLAUSES? AS LONG AS THERE'S NO BASE THERE. IF THEY BUY THIS PICKUP TRUCK, UH, THAT'S POTENTIALLY, IF THE STATE DECIDE, DECIDES TO EXTEND THE GRANT, IT'S ALL, THAT'S ALL DONE BY THE STATE. AND IF THE STATE, THEY'RE ASKING THE BOARD SIMPLY TO ENDORSE THE EXTENSION. WE'RE NOT SAYING CHANGE ANYTHING IN THE PARAMETERS, BUT TO ALLOW, ASK THE STATE TO CONSIDER THE EXTENSION BASED ON THE COVID ACTIVITIES AND THE CHANGE IN THE BUSINESS MODEL BECAUSE OF THAT. AND THEN IF THEY, IF THEY BUY FIVE OF THESE, UH, $75,000 PICKUPS THAT ARE THEN PLACED ON THE TAX ROLLS, THOSE COULD POTENTIALLY BE ELIGIBLE FOR PARTIAL REIMBURSEMENT BY THE COUNTY, BUT ONLY BASED ON WHAT THEY PAID IN. SO THE COUNTY, THERE'S NOTHING HERE WHERE THE COUNTY WOULD PUT ANY ADDITIONAL COUNTY REVENUES DIRECTLY INTO THE PROJECT. THIS WOULD ONLY BE ON A REIMBURSEMENT. WELL, THAT'S CORRECT, BUT THAT'S REVENUE LOST. YES. SO IT'S STILL AN INVESTMENT ON OUR PART. HOW WOULD, UH, HOW WOULD IT WORK WITH SERVERS? HOW DOES THAT WORK? THAT'S A GOOD QUESTION. WE'D HAVE TO TALK TO THE COMMISSIONER OF THE REVENUE. OKAY. AND I THINK THAT THAT'S ONE OF THE THINGS THAT WE REALLY SHOULD LOOK AT IS BECAUSE WE WILL BUY SO MANY TRUCKS, BUT WE REALLY WILL BUY A LOT OF SERVERS AND A LOT OF COMPUTERS. I, I THINK THERE'S A, A LOT, AT LEAST FOR ME, THAT I NEED TO LEARN. ME TOO. BEFORE FEELING CONFIDENT MYSELF AND, [00:45:01] UM, AN ENDORSEMENT. THAT'S JUST MY PERSONAL FEELING. OKAY. WELL THE SERVERS ARE BUSINESS EQUIPMENT, SO THEY ARE, THEY'RE TAXABLE AND THEY ARE. OKAY. ABSOLUTELY. SO I, I'M SURE THAT THERE CAN BE, THE MODEL CAN BE SWITCHED FROM WHAT YOU PROPOSED INITIALLY TO WHERE WE ARE NOW, BECAUSE IT'S STILL, IT'S A, IT'S AN ASSET. IT IS. IT'S STILL AN ASSET. YEAH. 'CAUSE WE'RE, I MEAN, I WAS GONNA SAY WE BUY ONE OR TWO SERVERS AND THAT'S EQUIVALENT TO SOME OF THESE CARS NOW. SO, UM, THAT'S WHERE WE WERE, WE'RE GONNA SPEND MOST OF OUR MONEY, I WOULD SAY. SO. AND I, AND I, LIKE I SAID, I'M TRANSPARENT. YOU WANT TO, I WANT TO LEARN HOW WE HELP THE COUNTY 'CAUSE THEY'VE BEEN SO GREAT TO US. ANY OTHER QUESTIONS? WELL, I WILL JUST ADD THAT YOU'RE AN IT COMPANY AND YOU'RE IN FRONT ROYAL AND THAT'S A WIN ABSOLUTELY. FOR ME BECAUSE I'VE WANTED TO ESTABLISH IT COMPANIES HERE, BECAUSE WE ARE A BEDROOM COMMUNITY OF NORTHERN VIRGINIA, AND MOST PEOPLE WHO HAVE THOSE SKILLS ARE COMMUTING. SO THEY'RE NOT HERE, THEY'RE NOT INVESTING IN COMMUNITY, THEY'RE NOT HERE WITH THEIR KIDS. THEY'RE UNABLE TO PARTICIPATE IN SCHOOL ACTIVITIES. SO AN IT COMPANY IN FRONT ROYAL IS A WIN. THANK YOU. WE THINK SO TOO. AND I, I DON'T DISAGREE WITH THAT. I JUST WANNA MAKE SURE I'VE DONE MY DUE DILIGENCE. 'CAUSE THE LAST IT COMPANY THAT CAME TO FRONT WORLD WAS A FLOP. SO I JUST WANNA, NOT SAYING THAT YOURS IS, BUT I HAVE TO DO MY DUE DILIGENCE TO MAKE SURE WE DON'T DO THAT AGAIN. THAT'S OKAY. I'LL BE, I'LL BE EXCITED FOR BOTH OF US. HOW'S THAT ? SO, SO CAN YOU, CAN YOU EXPLAIN TO ME, SO I, I SAW THE FIGURES UP HERE. YEP. AND YOU'RE SAYING THAT IT, IT TAKES ON THE AVERAGE OF HOW LONG, FROM THE TIME THAT YOU, THAT YOU ENGAGE OR YOU, YOU GET TO A, UH, TO AN AIRPORT UNTIL, UH, IN JUST AN AVERAGE. 'CAUSE I KNOW THAT SOME AIRPORTS, LIKE OUT HERE IT'S 3,500 FEET. YOU MAY GO OUT TO A 15,000 FOOT OVER AT DOD. UH, SO THE, UH, SO ON THE AVERAGE, WHAT IS, WHAT IS YOUR, HOW MUCH TIME DOES IT TAKE FOR YOU TO, TO COLLECT THE DATA, ANALYZE IT, AND GET IT TO THE CUSTOMER? UH, SO AS AN EXAMPLE, WE WENT OUT AND DID RANDOLPH AIR FORCE BASE OKAY. ABOUT A WEEK AGO. UM, AND THAT WAS 18 MILLION SQUARE FEET. I DON'T KNOW HOW TO PUT THAT IN PERSPECTIVE. A FOOTBALL FIELD'S ABOUT 40,000 SQUARE FEET. SO IT'S A LOT OF FOOTBALL FIELDS. WE TOOK THREE DRONES AND DID IT IN ONE DAY. UM, AGAIN, SPECIALIZED DRONES 'CAUSE YOU KNOW, AND IT'S HARD TO GET ON AN AIR FIELD. SO ALL JUST DOING THAT IS REALLY DIFFICULT FOR PEOPLE. YEAH. SO AFTER ONE DAY, WE, UM, IT'S SO MUCH DATA WE CAN'T EVEN STICK IT IN A PIPE BASICALLY TO SEND IT BACK ELECTRONICALLY. SO WE GET IT BACK HERE WITH, YOU KNOW, FLYING IT BACK, IT HITS HERE, WE THEN START THE PROCESS AND BECAUSE WE ARE TEAMED WITH RAYTHEON, IT CAN TAKE LITERALLY TWO DAYS, THREE DAYS, JUST IT'S AMAZING THE CAPABILITIES THEY'VE GOT. SO, SO THEN YOU'RE, YOU'RE SAYING THE CYCLE TIME IS PROBABLY ABOUT FIVE DAYS? I WOULD SAY OUR SLOWEST PERIOD IS, UM, FROM THE DELIVERABLES AND EVERYTHING I WOULD SAY IS 30 DAYS WORST CASE. BUT NORMALLY, LIKE WHAT WE'RE DOING WITH THE AIR FORCE, THEY WANT US TO LOOK FOR DEBRIS. SO WE'RE MAKING A BASELINE SCAN AND THEN WE'RE COMING BACK EVERY DAY TO LOOK FOR DEBRIS ON THE AIRFIELD. 'CAUSE THAT CAUSES ABOUT $15 BILLION WORTH OF DAMAGE TO AIRCRAFT EVERY YEAR. SO, SO THE, SO IF YOU'VE, UH, SO YOU'RE, YOU'RE SAYING THAT IT SOUNDS TO ME LIKE ON THE AVERAGE IS PROBABLY ABOUT 15 DAYS IS YOUR I WOULD SAY THAT CYCLE TIME. YEAH. SO THE, AND, AND, UH, SO FOR EVERY 15 NEW AIRPORTS YOU HAVE TO HAVE TO HIRE ONE NEW PERSON. SO YES. SO YOU'VE GOT, UH, UM, SO YOU GOT ALL THESE DIFFERENT AIRPORTS THAT ARE COMING IN. UH, IF YOU DON'T MIND MY ASKING, HOW, HOW MANY AIRPORTS DO YOU HAVE LINED UP RIGHT NOW? SO WE'VE JUST COMPLETED 150. OKAY. BUT THOSE, THEY HAVE TO HAVE THESE INSPECTIONS ANNUALLY. OKAY. SO IT JUST KEEPS, SO THEN THESE ARE REPEAT CUSTOMERS? THESE ARE REPEAT CUSTOMERS. WOW. SO OUR, OUR, UM, BUT UH, IN, IN THE CASE OF, UM, LIKE WE'RE SEEING INTERNATIONALLY, THEY REALIZE THAT OH MY GOSH, THERE'S SO MUCH OTHER STUFF WE CAN DO. SO WE'RE ACTUALLY GROWING AT TEAMS AT EACH ONE OF THESE AIRFIELDS. AND THE DATA FLOW, I MEAN, IT'S NOT ONLY ARE DO WE HAVE SOME PEOPLE OUT THERE DOING, IT'S THE DATA THAT COMES BACK AND FORTH AND WE, WE TAKE IT AND LIKE I SAID, WE MANUFACTURE OUT HERE WITH IT AND THEN WE SEND IT BACK. SO, SO WHAT TYPE OF INFRASTRUCTURE DO YOU NEED OUT HERE? [00:50:01] I KNOW THAT YOU SAID THAT YOUR FOLKS, THEY WORK, UH, REMOTE. SO, SO ARE YOU JUST LOOKING AT A SERVER, SERVER FARM OUT HERE AND THEN A PLACE TO STORE THE DRONES OR WHAT? SO THE STORAGE OF THE EQUIPMENT IS IMPORTANT BECAUSE WE HAVE TO MAINTENANCE AND ALL THOSE KINDS OF THINGS. SO RIGHT NOW WE HAVE ABOUT A MILLION DOLLARS WORTH OF EQUIPMENT IN THE HANGAR. OKAY. AND THE, UM, THE SERVER PORTION, OUR BIG LIMITATION IS, UM, IS THE CONNECTIVITY, RIGHT? IS THAT GET, IT TOOK US SIX MONTHS TO GET A LINE FROM THE ROAD. I WAS GONNA ASK THAT QUESTION TO THE BUILDING . AND, AND OF COURSE IT'S, YOU KNOW, AND, AND YOU, SO WE STILL HAVE ISSUES WITH THAT. BUT LIKE THAT HANGER, WE, THAT WAS OUR INTENT WHEN WE MOVED HERE, IS THAT WE WOULD BUILD OUT THAT HANGER. 'CAUSE THERE'S LAND NEXT TO IT, IT'S LIKE READY TO GO. BUT TO DO THAT, I THINK THERE HAS TO BE AN ENVIRONMENTAL STUDY AND SOME OTHER THINGS BECAUSE WE CAN'T JUST, 'CAUSE WE GOTTA PUT BATHROOMS OUT THERE. YEAH. RIGHT. SO THAT'S ONE OF THE CHALLENGES THERE. SO WE STARTED LOOKING AROUND, I THINK THERE'S A FIRE DEPARTMENT AND SOME OTHER BUILDINGS IN TOWN, JUST SO THAT WE KNOW, WE, WE TRY TO BUILD LIKE LEGOS, RIGHT? SO WE GO, OKAY, THIS, THIS AMOUNT OF SERVERS THAT WE HAVE WILL PROCESS X MILLION SQUARE FEET. SO AS WE START TO GET, YOU KNOW, AND YOU CAN ASK THESE GUYS, WE LOOK AT IT EVERY DAY. BUT AS WE START TO GET TO 90% ON WHATEVER EQUIPMENT WE HAVE, OKAY, GO OUT AND BUY THAT EXTRA SET OF EQUIPMENT AND THAT EXTRA SET OF EQUIPMENT IS A HUNDRED TO $200,000. SO ARE, ARE YOU LOOKING AT EXPANDING THE INFRASTRUCTURE OUT AT, UH, FRONT ROYAL AIRPORT? YOU KNOW, THE, IN THE, IN THE IDEAL WORLD, YES. THAT'S WHERE I'D LOVE TO DO IT. OKAY. BUT WE'RE FACED WITH PRACTICALITY OF, YOU KNOW, UH, THE CABLE COMPANIES. CAN THEY GIVE US CABLE CONNECTIVITY? CAN WE, YOU KNOW, WHAT'S THE BUILDING RATED FOR? ALL THOSE KINDS OF THINGS. WE HAVE TO, YOU KNOW, IT'S JUST LIKE COVID, RIGHT? IT'S JUST ANOTHER PROBLEM. RIGHT. IT'S JUST ANOTHER MATH PROBLEM. SO WE JUST, IT'S JUST ANOTHER CHALLENGE. IT'S ANOTHER CHALLENGE THAT WE LOOK FORWARD TO EVERY DAY. . BUT YEAH, THAT'S THAT. SO THAT'S WHAT WE LOOK FOR IS, OKAY, HOW DO WE DO THIS? BECAUSE FOR ME AS A TEAM, THE REASON THOSE GUYS ARE HERE IS BECAUSE IT'S HARDER TO WORK AS A COHESIVE TEAM WHEN THEY'RE IN MANCHESTER AND PEOPLE ARE IN, YOU KNOW, NEW, NEW MEXICO, OR YOU GOT PEOPLE UP IN NEW YORK. IT IS DIFFICULT. YOU KNOW? SO, SO, SO YOU'RE LOOKING THEN TO HAVE PEOPLE, THEY CAN STILL WORK REMOTE, BUT THEY WILL BE IN THE AREA SO THAT IF THEY DO NEED TO COME IN, THEY CAN, THEY CAN COME IN. UH, I, I WOULD SAY IT'S MORE HYBRID, RIGHT? I PREFER PEOPLE TO ACTUALLY BE IN, BECAUSE I, I'M, I, I GET THE REMOTE THING AND ALL THE BENEFITS OF IT. BUT WHEN YOU LOOK AT THE PRODUCTIVITY OF PEOPLE, YEAH, THEY'RE BETTER WHEN THERE IS A TEAM BECAUSE I CAN YELL ACROSS THE ROOM AND SAY, HEY, WHAT'S GOING ON WITH SERVER TWO? AND I DON'T HAVE TO TYPE AN EMAIL AND WAIT FOR A RESPONSE AND I, I GET AN ANSWER RIGHT AWAY. YEAH. OKAY. SO, ALRIGHT. BUT WE LIKE TO STAY AS CLOSE TOGETHER AS POSSIBLE AND STAY IN FRONT ROW. SO, SO YOU'RE USING OFFICE SPACE OUT AT THE AIRPORT. WHAT IS YOUR CONNECTIVITY FOR INTERNET OUT THERE? WHAT, WHAT'S THE STORY? UH, I THINK IT'S, UH, ZERO POINT TERRIBLE . WELL, I, I WAS GONNA SAY, SAY, 'CAUSE I CAN'T IMAGINE RUNNING SERVERS OFF OF IT WHEN I CAN'T RUN THREE TVS OFF OF IT AT MY HOUSE. WELL, I THINK YOU AND I ARE ON THE SAME LINE THEN. YEAH. IT'S, IT'S, UH, NOT GOOD. AND, UH, WE, I MEAN, ALL WE CAN DO IS SAY, HEY, CAN YOU HELP US? CAN YOU WORK IT? CAN YOU DO? AND YOU KNOW, THAT'S, THAT'S MORE BUSINESSES WILL HAVE THE SAME ISSUE. SO IF YOU REALLY WANT TO GROW, THAT'S ONE OF THE BIG THINGS WE NEED OUT HERE. WE'RE WORKING ON THAT. SO, SO YOUR FOLKS ARE, ARE ACTUALLY WORKING IN THE, THE HOUSE OUT THERE, RIGHT? YEAH, I CHAIN THEM TO THE CHAIRS EVERY DAY, . SO THEY DON'T GO ANYWHERE. SO HOW MANY DO YOU HAVE WORKING OUT THERE ON SITE RIGHT NOW? UH, RIGHT NOW WE HAVE, UH, IN THE STONE HOUSE WE HAVE ABOUT FIVE TO SIX PEOPLE. IS THAT RIGHT? FIVE, SIX PEOPLE. YEP. AND WE'RE TRYING TO, YOU KNOW, WE, WE GOTTA BALANCE IT WITH, OKAY, YEAH, YOU CAN COME IN, WE GOT ROOM NOW. THOSE KINDS OF THINGS. SO THEY, HOW MANY DO YOU HAVE WORKING REMOTE IN THE AREA? OH, UM, REMOTE IN VIRGINIA. WELL, I MEAN, SO, SO YOU'VE GOT FIVE OR SIX PEOPLE ON SITE. UH, YOU'VE GOT ALL THOSE SERVERS OUT THERE. I'M PRETTY SURE THERE'S PRETTY HOT IN THAT HOUSE. THE, UM, UH, SO, AND UH, UH, HOW MANY, HOW MANY EMPLOYEES DO Y'ALL HAVE RIGHT NOW? UH, WE HAVE, I THINK IT'S 27 PLUS 15, UH, UH, PART-TIMERS. SO 27 FULL-TIME, 15 PART-TIME. AND WHAT WE'RE DOING IS ALL THE PART-TIMERS ARE, WE'RE TYPICALLY KIND OF REMOTE PILOTS AND THINGS, SO WE'RE TRYING TO GET EVERYBODY HERE. WHAT WE FOUND OVER THIS ENTIRE PERIOD [00:55:01] IS THAT, YOU KNOW WHAT, TRYING TO PRE-DEPLOYMENT AND ALL THIS STUFF DOESN'T WORK. JUST DRIVE, COME BACK, DRIVE, COME BACK. SO THEN YOU'VE GOT PEOPLE WHO ARE ON THE ROAD SOUNDS LIKE THAT THEY'RE ON THE ROAD CONSTANTLY GOING TO THESE DIFFERENT PLACES. YEAH. LIKE I, I DROVE TO OTTAWA THIS WEEK, CAME BACK. OKAY. SO THE, UH, UM, SO I GUESS YOU, YOU DON'T FLY THERE BECAUSE THE, THE RUNWAYS ARE TOO DANGEROUS OR WHAT DO WELL, YOU KNOW WHAT? HERE'S THE, THAT'S A GOOD POINT. I HOPE OTTAWA'S LISTENING, UH, , WE, WE, UM, WE HAVE TO DRIVE NOW BECAUSE THE BATTERIES ARE NOT ALLOWED TO GO ON AIRCRAFT. RIGHT. OH, REALLY? SO WE, WHAT WE FOUND IS THAT WE, WE TRIED EVERYTHING AND IT JUST, YOU KNOW, THIS, THE LOGISTICS WERE TOO HARD. YEAH. OKAY. I HAVE A SMALL BRAIN JUST TOO HARD. SO WE SAID, OKAY, PUT EVERYTHING IN A FORD TRUCK, DRIVE TWO BACK. I DON'T CARE IF YOU HAVE TO DRIVE THROUGH EXTRA DAYS, IT'S NOT WORTH THE HEADACHES OF NOT OF SHOWING UP AND BATTERIES NOT BEING THERE. RIGHT. SO THAT'S WHAT WE DO NOW. SO, SO WHAT IS YOUR, WHAT IS YOUR PROJECTED EXPANSION? YOU'VE GOT 150 RIGHT NOW AND IT SOUNDS LIKE THAT IT'S GONNA START GROWING EXPONENTIALLY. I, I BELIEVE ESPECIALLY, SO WE GOT THREE MAJOR CONTRACTS THAT WE'RE WORKING ON RIGHT NOW WITH TWO INTERNATIONAL AND MILITARY. OKAY. SO IF THOSE HIT, THOSE ARE MORE THAN JUST US GOING OUT AND SCANNING. YEAH. THEY ARE FULL-BLOWN DAILY OPERATIONS AND DOING STUFF THAT THEY TAKE FROM THE DATA. OKAY. THAT WE WILL HAVE TO, WE WILL BE 24 7 VERY QUICKLY. SO THEN WILL THOSE PEOPLE BE PERMANENTLY SITUATED AT THOSE PLACES? YEAH, THE, THE MAJORITY OF THE PEOPLE WILL BE HERE AND WE WILL HAVE SOME PEOPLE THAT WILL BE IN THE COUNTRIES OR AT THE AIR FORCE BASES. OKAY. SO THEN, SO THEN YOU'RE, YOU'RE LOOKING AT THE INFRASTRUCTURE HERE STARTING TO GROW, UM, AND UH, UH, SAY LIKE, IF, IF YOU REACH CAPACITY OUT AT THE AIRPORT, WHAT'S GONNA HAPPEN? THIS BUILDING LOOKS PRETTY GOOD. . SO, UM, WE LOOKED AT THE FIRE STATION DOWN THE ROAD, AND AGAIN, IT'S, WE'RE ASKING ABOUT CONNECTIVITY 'CAUSE WE, WE NEED TO KNOW WHAT THAT IS. SO WE'RE LOOKING TO, AND I, I'VE, I'VE ASKED SPECIFICALLY TO HAVE, WE WANT TO BE IN WARREN COUNTY. WARREN COUNTY'S BEEN GOOD TO US. WE WANT TO FIND FACILITIES WITHIN WARREN COUNTY. OKAY. SO FOR US, ALL THAT MATTERS IS CONNECTIVITY. AND YOU CAN ASK THESE GUYS WHAT KIND OF DESKS AND STUFF THEY WORK ON. I'M JUST WORRIED ABOUT CONNECTIVITY AND ELECTRICITY. OKAY. SO, AND COOLING, LIKE YOU MENTIONED. AND SO WE LOOK FOR WHERE CAN WE DO THAT? YEAH. AND UM, AND THEN LIKE THE FIRE STATION, THAT WOULD WORK, RIGHT? IT'S JUST DOWN THE ROAD. IT'S A LITTLE BIT EXTRA, A LITTLE BIT OF A NUISANCE, BUT IT'S, CAN WE GET, CAN WE GET INTERNET THERE? YEAH. I DON'T KNOW. THAT'S THE PROBLEM. CAN, CAN YOU USE THAT COX INTERNET OR WHATEVER IT IS? YOU, I DON'T, DON'T THINK SO. I I MEAN, WE'RE TRYING TO EVEN GET FIBER, YOU KNOW, THAT'S WHAT WE REALLY LIKE. OKAY. WE HAVE FIBER ON THE NORTH SIDE. . SO DO YOU HAVE A BUILDING? WE HAVE FIBER ON THE NORTH SIDE BECAUSE I HAVE FIBER. SO JOE'S BEEN HELPING US GREATLY. HE KEEPS, I THINK HE'S A PART-TIME REAL ESTATE AGENT. 'CAUSE HE KEEPS SAYING, HEY, HOW ABOUT THIS BUILDING? SO I GO OUT AND I'LL LOOK, AND THEN I CALL, YOU KNOW, THE, THE CABLE COMPANY AND THEY'LL BE LIKE, UH, I'M NOT SURE IF WE GOT CABLE THERE. OKAY. I NEED, YEAH. I NEED TO INTERJECT FOR A SECOND AND CLARIFY. FOR EVERYBODY'S KNOWLEDGE, JOE IS NOT A REAL . THAT'S, THAT'S IMPORTANT BECAUSE OF PRIOR HISTORY, RIGHT? OH, SORRY. JOE IS WORKING HARD TO FIND PROPERTY BECAUSE THEY ARE AT THEIR CAPACITY. YES. OKAY. YES. BUT THERE IS NO FINANCIAL INVOLVEMENT FOR JOE IN ANY OF THESE DEALINGS. HE HAS NO, THERE'S NO FINANCIAL REAL ESTATE LICENSE OR ANYTHING ELSE. THAT'S MY FAULT. THAT'S MY, I APOLOGIZE. I WANNA MAKE SURE EVERYBODY UNDERSTANDS THAT HE'S JUST HELPING TO FIND PROPERTY FOR, FOR THIS BUSINESS AND FOR ANOTHER BUSINESS THAT YOU'VE BEEN TALKING ABOUT. BECAUSE WE WANT TO LOCATE THEM HERE. YES. IS THERE, THERE'S NO RETURN. IS THERE A CHANCE THAT YOU COULD THANK YOU FOR THAT, DR. DALEY. SORRY, I APOLOGIZE. NEED TO MAKE THAT CLEAR FOR EVERYBODY. I KNOW. APPRECIATE IT. SORRY. IS THERE A CHANCE YOU COULD MOVE SOME TRAILERS OUT THERE? I MEAN, YOU KNOW. NO. NO. OKAY. APPARENTLY NO. OKAY. ARE WE ALL DONE ON THIS SIDE? OKAY. SORRY, MS. OSS, I KNOW YOU KEPT TRYING. NO, I'M, I'M GOOD. HE'S ANSWERED EVERYTHING I NEEDED TO HEAR. THANK YOU. OKAY. VERY, AND AGAIN, I JUST WANNA, EVERYBODY HAD REAL ESTATE. UH, THEY'RE TIME. I NO PROBLEM. HE IS WORKING. JOE, JOE HAS BEEN. I JUST WANTED TO SAY THAT JOE HAS BEEN EXCEPTIONAL THOUGH. I MEAN, HE HAS, HE'S THE RIGHT GUY TO GET AND HELP COMPANIES COME HERE. GREAT GUY. BECAUSE IT MAKES IT EASY. RIGHT? HE'S THE EASY BUTTON FOR US. THANKS. OH, I HAD QUESTIONS. OH, GO AHEAD. . . SO YOU WERE TALKING ABOUT, UM, REACHING OUT TO, UH, [01:00:01] SCHOOLS. YES. AND YOU NAMED ALL THE COLLEGES AND WHATNOT. MM-HMM. . SO HAVE YOU THOUGHT ABOUT REACHING OUT TO OUR LOCAL SCHOOLS? LIKE, YOU KNOW, THE BLUE RIDGE TECH CENTER WE HAVE HERE? YOU KNOW, WE HAVE A LOT OF STUDENTS HERE. YES. THE, THE SHORT ANSWER IS YES. AND WHO'S COMING THIS FRIDAY? LAUREL RIDGE. LAUREL RIDGE IS COMING THIS FRIDAY. OKAY. SO WE ARE OFFERING THESE OPPORTUNITIES TO COME UP. MM-HMM. . AND WE KNOW THAT, YOU KNOW, JUST, UM, GETTING 'EM OUT TO THE AIRFIELD IS A BIG DEAL. AND THEN IF THEY CAN FLY A DRONE OR SEE THAT THERE'S AN END, YOU KNOW, THERE'S A LIGHT AT THE END OF THE TUNNEL BECAUSE THEY NEVER KNOW. MM-HMM. . RIGHT. THERE'S JUST THIS NO ONE, NO ONE KNOWS. SO WE CAN GET 'EM OUT THERE AND THEY CAN SEE EVERYTHING. AND IN FACT, WE HAD A PANCAKE BREAKFAST THAT'S HAPPENING EVERY MONTH. EVERY MONTH. THE PANCAKE BREAKFAST. SO BRING THE KIDS OUT AT THE AIRPORT AND YOU CAN COME OUT AND WE'LL, YOU KNOW, HOPEFULLY GET SOME DRONES OUT THERE AND LET 'EM FLY AND DO THESE DIFFERENT THINGS. SO, WELL, WHAT, WHAT I WAS KIND OF FOCUSING ON IS OUR LOCAL HIGH SCHOOLS. YEAH. YEAH. ONE, YEAH. THOSE ARE THE STUDENTS I WAS REFERRING TO. WE, WE, AND I'LL, I'LL TELL YOU THIS, WE ARE CONSTANTLY LOOKING FOR PEOPLE THAT EVEN WANT A SECOND CHANCE. UM, WE TO BE A DRONE PILOT. I DON'T EVEN THINK YOU NEED TO HAVE A HIGH SCHOOL DEGREE. YOU JUST NEED TO GET YOUR 1 0 7 AND WE CAN DO THE REST. VERY GOOD. WE'VE GOTTA GET THE MESSAGE OUT. UM, AND THEN JUST TO PIGGYBACK, UH, MS. OATES ABOUT BRINGING IT JOBS TO FRONT ROYAL, UM, AND YOU HAD A LIST OF ALL THE COMPANIES THAT YOU'VE BEEN, UM, MM-HMM. WORKING WITH AT ANY POINT IN TIME, DO YOU THINK ANY OF THOSE COMPANIES WOULD COME OUT AND VISIT OF YOUR, THE, THE FACILITY? YEAH. AS A MATTER OF FACT, ONE OF THE, I DIDN'T REALLY GO INTO IT TOO MUCH, BUT BECAUSE WE HAVE CREATED THIS REALLY INCREDIBLE WORKFLOW, UH, WE JUST RECENTLY TEAMED WITH A COMPANY CALLED WINGRA. THEY'RE IN SWITZERLAND, AND YOU MAY HAVE SEEN THEIR, THEIR DRONES GOT AN ORANGE COLORED WING, AND THEY, THEY FLY AROUND AND DO DIFFERENT THINGS. SO THEY CAME TO US AND SAID, HEY, LOOK, WE WANT YOU GUYS TO PROCESS OUR DATA. SO WE WERE SETTING IT UP SO THAT BECAUSE THEY, THEY DON'T COLLECT AS HIGH RESOLUTION DATA AS WE DO, THEY CAN EASILY TRANSFER IT OVER THE INTERNET TO OUR SERVERS. SO WE HAVE OPENED UP A PIPELINE TO THEM THAT THEY CAN SEND THEIR DATA AND PROCESS IT THROUGH. SO THESE GUYS BACK HERE ARE WORKING WITH THEIR CHANNEL PARTNERS TO COME OUT TO DO TRAINING, HOW LEARN HOW TO FLY AROUND AN AIRFIELD, LEARN HOW TO DO DIFFERENT THINGS. MM-HMM. . SO WE JUST KICKED THAT OFF. I THINK IT GOT KICKED OFF LAST WEEK OR SOMETHING. UM, BUT YEAH, WE WILL SEE WINGRA FOR SURE COME OUT. UM, THE OTHER FOLKS THAT'LL COME OUT ARE, UH, THE ENGINEERING FIRMS AND PROBABLY THE FAA. SO WE ENCOURAGE THEM TO COME OUT. YOU KNOW, THEY, A LOT OF THE ENGINEERS ARE VERY SKEPTICAL OF, OF THIS TECHNOLOGY, EVEN THOUGH IT'S HANGING ON. WE USE THE SAME SENSORS THAT HANG ON AIRCRAFT THAT ARE FLYING OVER EVERY DAY. UM, AND SO IT'S ALL PROVEN TECHNOLOGY AS FAR AS THE SPONGE THAT TAKES THE DATA IN AND GETTING THE ENGINEERS TO UNDERSTAND THAT IF YOU CAN DO AN AIRFIELD QUICKER, THAT MEANS YOU CAN DO MORE AIRFIELD AND MAKE MORE AIRFIELD SAFER, CHEAPER. SO THAT'S WHAT WE'RE TRYING TO CONVEY TO THE FOLKS. OKAY. AND, UM, AND AGAIN, I JUST WANNA, UH, JUST REPEAT WHAT WE WERE TALKING ABOUT EX THE BROADBAND. I MEAN, I THINK THIS IS A, UM, A GOOD OPPORTUNITY FOR THE COUNTY BECAUSE HERE, LIKE YOU'RE SAYING, YOU KNOW, YOU'RE TRYING TO FIND THE BROADBAND. YOU'RE, YOU KNOW, AND HAVING YOU BE THE, UM, TEST CASE OF ESTABLISHING IT WILL ENCOURAGE OTHER COMPANIES TO COME OUT HERE BECAUSE I'M SURE A LOT OF OTHER COMPANIES ARE, THEY DON'T COME OUT HERE BECAUSE OF THE LACK OF THE BROADBAND, IF YOU KNOW, FOR THAT. SO I JUST WANTED TO ADD THAT COMMENT. SO IS THERE ANYTHING ELSE ANYBODY WOULD LIKE TO ADD? UM, I JUST HAVE ONE GO. ARE WE GONNA GET A COPY OF WHAT HE PRESENTED? SURE. YOU WANT ME TO SEND THAT TO DR. DALEY? UH, YOU COULD, UH, THERE'S A USB, YOU CAN JUST COPY IT. OKAY. OKAY. PERFECT. THANK YOU. RIGHT. IT SHOULD BE A HARD COPY. I DON'T THINK IT HAD ALL THAT INFORMATION ON IT. IT'S A DIFFERENT PRESENTATION. DR. DALEY. . YEAH. OKAY. WONDERFUL. AM I FREE TO GO? UH, YES. YOU'RE FREE TO GO. . THANK YOU. THANK YOU FOR YOUR TIME. APPRECIATE IT. OKAY. THANK YOU, JOE. THANK YOU. YOUR EMPLOYEES ARE FANS. THAT'S AWESOME. YEAH. . OKAY. OKAY, EVERYONE, WE'RE MOVING [Items G & H] ON TO OUR NEXT, UM, DISCUSSION, WHICH IS A PRESENTATION BY DAVENPORT PUBLIC FINANCE. THANK YOU MADAM CHAIR, MEMBERS OF THE BOARD. YOU RECEIVED THE DISCUSSION, UH, [01:05:01] PRESENTATION RIGHT BEFORE TONIGHT'S MEETING. I'LL ALSO HAVE THIS AVAILABLE ON THE COUNTY'S WEBSITE, UH, THIS TACKLES G AND H ON TONIGHT'S AGENDA. AND I WOULD LIKE TO INTRODUCE MITCH LIO, SENIOR VICE PRESIDENT AND BEN WILSON, VICE PRESIDENT OF DAVENPORT TO DISCUSS THE COUNTY'S DEBT SERVICE AND ALSO THE MOODY'S INVESTMENT REPORT. THANK YOU. GOOD EVENING. THANK Y'ALL FOR HAVING ME THIS EVENING. MITCH LIO WITH DAVENPORT AND COMPANY. MY COLLEAGUE BEN WILSON IS HERE. UM, AND ANOTHER ONE OF OUR COLLEAGUES, UM, TED COLE HAS BEEN WORKING WITH THE COUNTY FOR A NUMBER OF YEARS, AND, UH, SEND HIS REGARDS. UM, TONIGHT, WE'LL COUPLE COVER A COUPLE OF THINGS. I THINK I MAY DO AN IN REVERSE ORDER. UM, COVER, COVER THE MOODY'S INVESTOR SERVICE, RECENT RATING ACTION OR, OR AFFIRMATION FOR THE COUNTY. UM, AND THEN A SUMMARY OF THE, UH, DEBT PROFILE REVIEW THAT WE'VE BEEN WORKING ON WITH STAFF. UM, AND TO PREPARE FOR YOU ALL, I THINK YOU'VE GOT HARD COPIES OF THESE MATERIALS AT YOUR DESK. AND, UM, IT'S UP ON THE SCREEN AS WELL. THERE ARE PAGE NUMBERS IN THE BOTTOM RIGHT, UH, THAT I'LL TRY TO HIT ALONG THE WAY, JUST SO MAKE SURE WE'RE ALL ON THE SAME PAGE. LITERALLY, LITERALLY. UM, AND I'M GONNA START ON PAGE FOUR OF THESE MATERIALS. UM, AND THIS IS THE CREDIT RATING OVERVIEW, JUST INTRO TO THE RECENT NUS ACTION AND CREDIT RATINGS FOR LOCAL GOVERNMENTS. UM, IF WE EQUATE IT TO OUR PERSONAL LIVES ARE LIKE OUR CREDIT SCORE, WHEN WE GO OUT TO GET A CAR LOAN OR A HOME LOAN, THE BANKS WILL PULL OUR OWN PERSONAL CREDIT SCORE TO DETERMINE WHAT TYPE OF INTEREST RATE AND WHETHER OR NOT THEY'LL LEND US THE MONEY. A A CREDIT RATING FROM ONE OF THE NATIONAL CREDIT RATING AGENCIES IS A SIMILAR EVALUATION OF THE COUNTY'S OVERALL CREDIT PROFILE. YOUR ACCESS TO BORROW MONEY IF YOU CHOOSE TO DO IT. AND SORT OF A, A THIRD PARTY UNBIASED REVIEW OF YOUR CURRENT, UM, FINANCIAL AND, UM, CREDIT POSITION. THE COUNTY HAS VERY STRONG CREDIT RATINGS. UM, YOU'RE RATED BY THREE OF THE NATIONAL RATING AGENCIES, MOODY'S STANDARD AND POORS AND FITCH, UM, AA TWO BY MOODY'S, AA, BYSTANDARD, AND PORES AND AA PLUS FROM FITCH. AND IF YOU, I'M ON PAGE FOUR FOR THE FOLKS ON THE SLIDE DECK. AND IF YOU LOOK AT THE BOTTOM RIGHT CORNER, THIS IS KIND OF THE RATING SCALE FOR EACH OF 'EM. AND YOU CAN SEE FOR MOODY'S AND S AND P, YOU'RE TWO STEPS AWAY FROM THE HIGHEST POSSIBLE RATING OF AAA AT THAT AA TWO AA SCORE. WITH FITCH RATINGS, YOU'RE ONE STEP AWAY FROM THE HIGHEST POSSIBLE CREDIT RATING OF AAA. SO, LIKE I SAID, VERY STRONG CREDIT RATINGS. WHAT THAT MEANS IS YOU HAVE ACCESS TO THE CAPITAL MARKETS TO BORROW MONEY IF YOU CHOOSE TO DO SO OR EVER NEEDED TO. AND IF YOU DID NEED TO BORROW MONEY, YOU, THEY, YOU WOULD BE ABLE TO ACCESS THOSE MARKETS AT GOOD INTEREST RATES GIVEN YOUR CURRENT CREDIT RATING LEVELS. SO IN A VERY GOOD POSITION, A LITTLE BIT OF PERSPECTIVE FOR YOU ON THE RIGHT, UM, OF HOW THAT STACKS UP NATIONALLY AND WITHIN VIRGINIA. YOU'RE KIND OF RIGHT THERE IN WITH THE SORT OF BULK OF THE COUNTIES IN THAT AA RATING CATEGORY THROUGHOUT THE PRESENTATION. WHEN WE GET INTO THE DISCUSSION OF DEBT, UM, WE'RE GONNA LOOK AT SOME DEBT RATIOS JUST FOR PERSPECTIVE, AND WE'LL COMPARE YOU TO THESE NATIONAL RATING AND VIRGINIA RATING CATEGORIES, UM, WHEN WE GET INTO THAT. OKAY, FLIP TO PAGE FIVE. AND PLEASE, I SHOULD HAVE SAID THIS AT THE FRONT END, FEEL FREE. I THINK THIS IS A WORK SESSION, SO FEEL FREE TO INTERRUPT ME ALONG THE WAY. UM, HAPPY TO ANSWER QUESTIONS AS WE GO. UH, PAGE FIVE IS JUST BIG PICTURE FOR YOU. WHAT DO THE RATING AGENCIES LOOK AT? LOOK AT WHEN THEY'RE EVALUATING, EVALUATING YOUR CREDIT. WHAT ARE THE KEY THINGS THEY FOCUS ON? AND WE'RE GONNA TALK ABOUT MOODY'S TONIGHT SINCE THEY JUST, UH, CAME OUT WITH THIS RATING ACTION. SO IF WE LOOK AT THAT TOP LEFT CHART, MOODY'S FOCUSES ON FOUR MAIN CATEGORIES. ECONOMY, WHICH IS 30% OF THE RATING FINANCE PERFORM FINANCIAL PERFORMANCE, WHICH IS 30% OF THE RATING INSTITUTIONAL FRAMEWORK, WHICH IS 10%. YOUR COUNTY IN THE COMMONWEALTH, THEY'RE GONNA GIVE YOU A FIXED SCORE FOR THAT. ALL COUNTIES IN THE COMMONWEALTH GET THE SAME SCORE. AND THEN YOU HAVE LEVERAGE, UH, WHICH IS ESSENTIALLY YOUR DEBT AND OTHER LIABILITIES. THAT'S ANOTHER 30%. AND I THINK ONE OF THE IMPORTANT TAKEAWAYS HERE, UM, IS ABOUT 40% OF THE RATING ECONOMY AT 30% [01:10:01] AND INSTITUTIONAL FRAMEWORK AT 10%, YOU ALL AS A BOARD DON'T REALLY HAVE DIRECT CONTROL OVER THOSE, OR SHORT TERM CONTROL. AT LEAST YOU CAN DO THINGS THROUGH ECONOMIC DEVELOPMENT INCENTIVES, LIKE YOU ALL JUST WERE TALKING ABOUT EARLIER TONIGHT, TO, TO INCENTIVIZE INVESTMENT GROWING, SALARIES GROWING, AND UH, ASSESS VALUE WITHIN THE COUNTY. BUT THAT'S NOT AN OVERNIGHT IMMEDIATE IMPACT. SO WHAT WE TEND TO FOCUS ON IN THESE EVALUATIONS IS THE OTHER 60%. HOW ARE YOU DOING FINANCIALLY MANAGING YOUR REVENUES VERSUS YOUR EXPENSES, YOUR FUND BALANCE? ARE YOU TAKING CARE OF THAT? AND THEN ON THE DEBT SIDE IS, ARE YOU ISSUING DEBT IN A RESPONSIBLE FASHION? IS IT A REASONABLE LEVEL OF DEBT GIVEN CERTAIN KEY METRICS THAT THE RATING AGENCIES LOOK AT? SO THAT'S KIND OF, WE'RE GONNA BE FOCUSED ON THE DEBT SIDE LATER THIS EVENING, BUT THAT'S BIG PICTURE FOR YOU PERSPECTIVE ON WHAT THESE RATING AGENCIES ARE LOOKING AT. WE ARE GONNA DIG A LITTLE BIT MORE INTO MOODY'S TONIGHT BECAUSE THEIR RECENT, UM, ACTION TO AFFIRM YOUR AA TWO RATING. THAT MEANS THEY KEPT YOU THE SAME. UM, MOODY'S RECENTLY PUBLISHED A NEW, WHAT THEY CALL THEIR NEW METHODOLOGY, BASICALLY THEIR NEW GUIDE FOR HOW THEY RATE, UH, LOCAL GOVERNMENT CREDITS. AND, AND THERE'S THREE KEY COMPONENTS THAT THEY GO THROUGH. THERE'S A VERY QUANTITATIVE COMPONENT CALLED A RATING SCORECARD. AND WE'VE GOT YOUR RESULTING SCORECARD FROM THEIR RECENT RATING REVIEW IN HERE TONIGHT. BUT THAT'S A VERY QUANTITATIVE ANALYSIS WHERE THEY GO THROUGH A SERIES OF FACTORS. THEY, THEY WEIGHT THOSE FACTORS, AND THEY COME UP WITH A VERY SPECIFIC SCORE. AND THAT'S YOUR STARTING POINT FOR YOUR CREDIT RATING. THEY THEN THE SECOND STEP IS, IS WHAT THEY CALL NOTCHING FACTORS. THEY GO THROUGH, UM, THESE FIVE VERY SPECIFIC QUOTE NOTCHING FACTORS WHERE THEY CAN, THEY'RE EITHER GONNA MOVE YOUR RATING UP OR DOWN, DEPENDING UPON WHICH FACTOR IT IS. IF, IF YOU KIND OF MEET THE PARAMETERS OF THAT SPECIFIC FACTOR, THEY'RE LISTED HERE IN THE MIDDLE OF PAGE SIX. YOU ALL DON'T REALLY HIT ANY OF THOSE. SO THERE'S NO REAL STATED NOTCHING FACTORS FOR YOU ALL. UM, BUT I THINK THE LAST PIECE IS VERY IMPORTANT IN THIS PROCESS. IT'S OTHER CONSIDERATIONS. AND THIS IS ANYTHING THAT THE RATING ANALYSTS OR THE RATING COMMITTEE DEEM APPROPRIATE TO FACTOR INTO THE RATING PROCESS. THEY CAN DO THAT AND BASICALLY CREATE ADJUSTMENTS TO THAT INDICATIVE OR, OR RATING SCORECARD SCORE THAT YOU COME OUT WITH. SO IT'S A, IT'S A MIX OF A QUANTITATIVE AND A QUALITATIVE PROCESS THAT THEY GO THROUGH. THIS IS THE METHODOLOGY THAT YOU ALL WERE JUST RECENTLY RATED UNDER, UM, THROUGH THEIR ANNUAL REVIEW PROCESS. A LITTLE MORE DETAIL ON THAT IS ON, UM, PAGE SEVEN. I WON'T, I WON'T GET TOO DEEP INTO THE WEEDS ON THIS TONIGHT, BUT CERTAINLY HAPPY TO IF YOU'D LIKE. THIS GIVES YOU A LITTLE BIT GREATER DETAIL ON THE FACTORS THEY'RE LOOKING AT AND A LITTLE MORE DESCRIPTION ON THOSE. UM, LIKE I SAID, WE ARE GONNA GET INTO YOUR SCORECARD TONIGHT AS WELL, UM, WHERE WE'LL HAVE THOSE RESULTING OUTCOMES. PAGE EIGHT. UM, AS I MENTIONED, UH, MOODY'S JUST RECENTLY WENT THROUGH A RATING REVIEW FOR OF THE COUNTY, AND THEY AFFIRMED THE COUNTY'S AA TWO RATING. MEANING THEY SAID, WE BELIEVE THAT, THAT THE COUNTY IS STILL A, A STRONG AA TWO CREDIT, UM, AND NO CHANGE TO THE RATING THAT THEY HAD PRODUCED EARLIER. AND AS PART OF THAT PROCESS, YOU SEE THE COVER OF THEIR PAGE, THEY GET VERY DEEP INTO THE QUANTITATIVE SIDE OF THINGS. AND ALL OF THIS ANALYSIS THAT THEY, THEY DO AS PART OF THE REPORT IS TO CREATE OR, OR MEASURE THE RATING SCORECARD, WHICH IS ULTIMATELY SHOWN ON PAGE NINE HERE FOR YOU ALL. AND I KNOW FOLKS LOOKING ON THE SCREEN, IT GETS REALLY SMALL, I'M SORRY. BUT, UM, I, I THINK VISUALLY WHAT YOU CAN SEE HERE IS WE, WE'VE, WE'VE GONE IN AND WE'VE DISPLAYED ALL OF THE RATING FACTORS THAT MOODY'S LOOKS AT, AND THE GREEN BOXES ON THERE ARE, ARE THE BUCKET, IF YOU WILL, THAT YOU ALL FALL INTO WITHIN THE SCORECARD. AND SO FOR THOSE, LOOKING AT IT VISUALLY, UM, THE BEST CATEGORY, AAA IS ON THE FAR LEFT. AND SO YOU WANT AS MANY OF THOSE GREEN BOXES ON THE FAR LEFT SIDE OF THIS TABLE AS YOU CAN GET. YOU ALL ON THE FINANCIAL PERFORMANCE SIDE ARE IN THAT AAA CATEGORY THAT'S IN THE MIDDLE OF THE PAGE THERE. YOU'VE MANAGED YOUR SALES WELL FINANCIALLY, YOU HAVE A STRONG FUND BALANCE REVENUES COVERING EXPENSES, AND THAT'S WHERE YOU'RE FALLING OUT IN THAT AAA CATEGORY IN THE FINANCIAL POSITION, UM, [01:15:02] INSTITUTIONAL FRAMEWORK AND, AND LEVERAGE, OR ON THE BOTTOM OF THIS CHART, SO YOUR, YOUR DEBT RATIOS ARE IN THE BOTTOM OF THIS CHART AND YOU ALL ARE, ARE A IN THE STRONG CATEGORY OR THE AA CATEGORY WITHIN THOSE METRICS THERE. THE VERY TOP OF THE CHART IS THE ECONOMY, RIGHT? SO THE GREEN BOXES THAT ARE ON THE TOP, AND YOU'LL SEE TWO OF THOSE FULL VALUE PER CAPITA AND ECONOMIC GROWTH, WHICH IS A MEASURE OF THE COUNTY'S GROSS DOMESTIC PRODUCT OVER THE LAST FIVE YEARS AS A PERCENTAGE OF THE US. AND, UH, AND FULL VALUE PER CAPITA, THOSE ARE IN THE STRONG CATEGORY. RESIDENT INCOME IS THE LOWEST SCORE YOU HAVE IN THAT MODERATE CATEGORY. SO RESIDENT INCOME, WHAT THAT ESSENTIALLY IS IS MEDIAN FAMILY INCOME ADJUSTED FOR COST OF LIVING IN THIS AREA AS A PERCENTAGE OF THE UNITED STATES. AND THAT IS SORT OF THE, THE LOWEST FACTOR THAT YOU HAVE ON THIS SCORECARD. ULTIMATELY ON THE FAR RIGHT, IN THE FAR RIGHT BLUE COLUMN, THIS IS YOUR WEIGHTED SCORE. IT'S ADJUSTING HOW YOU SCORE IN EACH OF THESE CATEGORIES, WHICH ARE ALL MODERATE TO VERY STRONG, ADJUSTING THAT FOR THOSE WEIGHT FACTORS WE LOOKED AT. AND AT THE VERY BOTTOM, ON LINE 13, YOU COME OUT AT A TOTAL SCORE OF A 2.87, I TOLD YOU VERY QUANTITATIVE, THEY COME OUT WITH AN EXACT SCORE, 2.87. AND, AND IN THE BOTTOM RIGHT OF THIS PAGE, YOU CAN SEE SORT OF WHERE THAT FALLS OUT WITHIN THEIR, THEIR SCORECARD. UM, IT'S IN THE, IT'S IN THE BUCKET OF TWO AND A HALF TO THREE AND A HALF TIMES, WHICH IS IN THAT DOUBLE A TWO CATEGORY, WHICH IS WHERE THEY HAVE YOU ALL RATED. AND AT A 2 87 LOWER SCORE IS BETTER HERE, KINDA LIKE GOLF LOWER IS BETTER. SO A 2 87 IS CLOSER TO THE TOP END OF THE DOUBLE A TWO CATEGORY IN THE BOTTOM. SO OVERALL, I THINK POSITIVE OUTCOME WITH MOODY'S AFFIRMING YOUR RATING AND THE RESULTING SCORECARD. HAS YOU ON SORT OF ON THE UPPER END OF THAT AA TWO CATEGORY, BIG PICTURE, WHAT CAN GET YOU TO THAT NEXT LEVEL? AA ONE, ULTIMATELY AAA, I THINK IT LARGELY RESTS IN THAT TOP HALF OF THE CHART ON THE ECONOMY SIDE OF THINGS, WHICH CLEARLY YOU ALL ARE WORKING ON AFTER THE DISCUSSION TONIGHT. SO I'M PAUSE THERE. THAT WAS A LOT OF INFO. UM, WE'RE GOING TO TRANSITION INTO DEBT HERE IN A MOMENT, BUT I'LL, IF THERE'S ANY QUESTIONS, HAPPY TO ANSWER THOSE ON THE RATING SIDE. SO WHAT IS THE FULL VALUE PER ? SO THAT IS YOUR TOTAL TAX BASE DIVIDED BY YOUR POPULATION. SO I THINK YOUR TAX BASE IS ROUGHLY 6.4 BILLION DIVIDED BY YOUR POPULATION, WORKS OUT TO ABOUT 155,000 OF VALUE PER PERSON. OKAY. I'M GONNA TRANSITION. I'M GOOD. OKAY. I'M GONNA TRANSITION INTO, UH, I'M JUST IMPRESSED WITH OUR FINANCIAL PERFORMANCE. YES MA'AM, FOR SURE. . GOOD JOB. SO I, I'M GONNA TRANSITION INTO, UM, AN OVERVIEW OF YOUR EXISTING TAX SUPPORTED DEBT. SO THIS IS, THIS IS THE DEBT OF THE COUNTY THAT IS PAID FROM YOUR OVERALL TAX BASE. THIS IS COUNTY DEBT. IT'S, THIS DOES NOT INCLUDE ANY OF THE EDA DEBT FOR OTHER OTHER COMPANIES. THIS IS ALL COUNTY DEBT THAT THE COUNTY PAYS. UM, AND, AND AS OF JUNE 30TH, 23 IS ABOUT 115 MILLION OF TOTAL DEBT OUTSTANDING. UM, THE BULK OF THAT IS PAID OFF WITHIN THE NEXT 15 YEARS OR SO BY 2040. THERE ARE SOME SMALLER LOANS THAT EXTEND OUT FURTHER THAN THAT, BUT THE BULK OF YOUR DEBT IS PAID OFF BY, BY FISCAL YEAR 2040. UM, YOU CAN SEE THERE'S A BREAKDOWN THERE BETWEEN COUNTY AND SCHOOLS. BULK OF THE DEBT, A LITTLE OVER A HUNDRED MILLION IS FOR SCHOOL RELATED PROJECTS. UM, A LITTLE UNDER 10 MILLION IS FOR, FOR COUNTY RELATED PROJECTS. AND THIS IS KIND OF VERY HIGH LEVEL SUMMARY, BUT WHAT WE'VE DONE WORKING WITH STAFF IS GONE THROUGH, UM, EACH OF YOUR INDIVIDUAL LOANS AND RECONCILED THOSE WITH, WITH COUNTY STAFF AND, AND, UM, THE DETAILS OF ALL OF THAT, THERE'S NO WAY WE'RE GONNA BE ABLE TO READ THAT ON THE SCREEN. BUT THE DETAILS OF ALL OF THAT IS ON PAGE 12. AND IN THE APPENDIX, UM, BEHIND APPENDIX B, THERE'S DETAIL, THERE'S A PAGE ON EACH ONE OF YOUR INDIVIDUAL LOANS THAT KIND OF GIVES YOU A SUMMARY OF ALL THE KEY TERMS AND CONDITIONS. UM, BUT THIS, THIS CHART KIND OF GIVES YOU THE HIGH LEVEL PERSPECTIVE. THERE'S 12 LOANS OUTSTANDING THAT THE COUNTY HAS THAT THE COUNTY PAYS ON THAT MAKE UP THAT 115 MILLION. [01:20:01] THERE'S A MIX OF GENERAL OBLIGATION BONDS, WHICH IS A PLEDGE OF THE COUNTY'S FULL FAITH AND CREDIT AND LEASE REVENUE BONDS, WHICH IS ESSENTIALLY A PLEDGE OF AN ASSET. UM, THE INTEREST RATES ON ALL THIS DEBT, UM, ARE, ARE VERY GOOD. UM, THERE'S NO REAL, UM, PREPAYABLE LOANS THAT HAVE HIGH INTEREST RATES ON THEM. SO OVER THE YEARS, MANAGED, MANAGED THAT DEBT, DONE A NUMBER OF, UH, REFINANCINGS OVER THE YEARS. SO, UM, THE INTEREST RATES ON YOUR DEBT OVERALL ARE, ARE VERY GOOD AND CERTAINLY MUCH LOWER THAN THE CURRENT ENVIRONMENT WE'RE IN TODAY. UM, AT THE BOTTOM OF THIS CHART FOR THOSE YOU CAN SEE IT, UM, THERE IS ONE OTHER SORT OF OBLIGATION THAT'S OUT THERE FOR THE COUNTY. THAT'S THE, UM, RSW REGIONAL JAIL AUTHORITY. UH, THE COUNTY IS A PARTICIPANT IN THAT AUTHORITY. THE AUTHORITY HAS ISSUED DEBT THAT IS NOT DEBT THAT'S ON THE COUNTY'S BOOKS, IT'S ON THE JAIL'S BOOKS. BUT AS A PARTICIPANT IN THAT JAIL, YOU ALL PAY A PER DIEM, UM, TO USE THAT JAIL. AND PART OF THAT PER DIEM IS YOUR SHARE OF THEIR DEBT SERVICE THAT'S PAID. SO NOT AN OBLIGATION ON THE COUNTY'S BOOKS, BUT THAT IS DEBT OUTSTANDING THAT ULTIMATELY THE COUNTY IS PAYING TOWARDS THROUGH THE PER DIEM. SO WE WANTED TO MAKE SURE WE HAVE THAT ON HERE AS WELL. SO YOU GOT ? YES, SIR. THE, FOR, FOR THE LEASE REVENUE BONDS, UM, FOR THE LEASE REVENUE BONDS, THOSE HAVE TO BE, UM, SECURED ULTIMATELY BY AN ASSET. AND SO THE REASON ASK FORBID SOMETHING HAPPEN, YOU'RE NOT ABLE TO PAY THAT SOMEBODY. YEAH. SO , SO THERE IS A MORTGAGE JUST LIKE WE WOULD HAVE ON OUR HOUSE, RIGHT? UM, AND IF WE DON'T PAY OUR MORTGAGE, WE GOTTA, THE BANK'S GONNA COME KNOCKING. SAME CONCEPT. AND ULTIMATELY, YOU KNOW, IN THOSE SITUATIONS THERE'S A CONVERSATION THAT'S HAD, UH, THEY'RE NOT GONNA, THEY DON'T JUST KICK YOU OUT OUT IMMEDIATELY. THEY START A CONVERSATION WITH YOU, WHY HAVEN'T YOU PAID OR DO YOU PLAN TO PAY? AND YOU START A, A PROCESS OF HAMMERING THAT OUT. BUT ULTIMATELY IF YOU CAN'T COME TO A A, AN AGREEMENT AND START REPAYING YOUR, YOUR DEBT SERVICE, THEY DO HAVE THE ABILITY TO FORECLOSE. SO, MAY I, I'M SORRY, I JUST WANNA INTERRUPT A SECOND. SO I SEE ON HERE THAT LEACH RUN PARKWAY IS SECURED BY THE SKYLINE. OH NO, I JUST SAW THAT. UH, YEAH. AND SO WHAT THAT'S FUNNY I GO AHEAD. SO WHAT IS THE STATUS OF THE PAYMENT ON LEACH'S RUN PARKWAY? BECAUSE THAT WAS A JOINT EFFORT WITH THE TOWN THAT THE PAYMENT ON THE BONDS ARE UP TO DATE. I BELIEVE ALYSSA, THE LAST, THE TOWN MADE THE LAST PAYMENT OF WHAT THEY OWED FOR SEVERAL YEARS, ABOUT A MONTH AGO. OKAY, I WANNA CONFIRM WHAT I'M, I'M SAYING THERE THAT I GOT IT CORRECT. SO, SO THE TOWN AND THE COUNTY ACTUALLY PAY THAT APPROXIMATELY 34 66. AND BOTH PARTIES ARE AT THIS POINT UP TO DATE WITH THEIR PAYMENTS ON THAT. THE TOWN WAS, THERE WERE QUESTIONS ABOUT HOW IT WAS FUNDED AND THAT WAS STRAIGHTENED OUT AND THEY ARE UP TO DATE ON THAT FUNDING. SO WE'RE BOTH JOINTLY, I'M SURPRISED IT'S THE HIGH SCHOOL AND NOT THE MIDDLE SCHOOL, QUITE FRANKLY SINCE THE MIDDLE SCHOOL WAS ON LEACH RUN. AND I'M JUST SURPRISED AT THAT MYSELF. BUT, UH, SO IT, IT, IT'S ALSO HAS TO DO WITH SORT OF WHEN THE BONDS WERE DONE, WHAT OTHER CIRCUMSTANCES, UM, THE SCHOOL WAS IN EXISTENCE WAS, WAS IN EXISTING SECURITY THAT WE WERE ABLE TO ISSUE UNDER THAT STRUCTURE ALREADY. UM, BUT I THINK Y'ALL ARE LOOKING MOSTLY AT LINE THREE THERE. YES, CORRECT. AND THOSE BONDS ARE HELD BY THE VIRGINIA RESOURCES AUTHORITY. THE MONEY WAS BARR, THE V THROUGH VRA. OKAY. AND SO THEY ARE SORT OF THE, THE LENDER OF RECORD ON THAT. AND, UM, YOU'RE UP TO DATE WITH THEM, YOU WOULD BE HEARING FROM THEM REGULARLY IF YOU WERE NOT. AND UM, AND YOU KNOW, THAT'S A SITUATION WHERE I THINK YOU, YOU HAVE A VERY INTERESTED PARTY, BUT YOU ALSO HAVE A PARTY THAT IS, IS HERE TO SERVE THE COUNTIES OF, SO CAN YOU, UM, DEFINE TO ME, I'M LOOKING AT THE COUPON, WHICH I'M ASSUMING IS THE INTEREST RATE 3.6412 5.125. SO YES MA'AM. IT VARIES. YEAH. SO, SO THAT TYPE OF BOND ISSUE, OKAY, THE, THE COUPON RATE IS THE INTEREST RATE THAT YOU PAY ON THE BONDS, RIGHT? IT'S NOT NECESSARILY YOUR EFFECTIVE BORROWING RATE, BUT [01:25:01] IT IS THE INTEREST RATE THAT YOU'RE PAYING ON THE BONDS. VRA SELLS THEIR BONDS IN WHAT'S CALLED THE PUBLIC MARKETPLACE. SO, UM, AN ISSUANCE OF MUNICIPAL BONDS, YOU KNOW, I COULD BUY SOME OF THOSE BONDS. YOU COULD BUY SOME OF THOSE BONDS, INSURANCE COMPANIES BUY THEM, ET CETERA. AND THEY SELL BONDS FOR 30 YEARS AND THEY DON'T, UNLIKE A BANK VRA IS NOT JUST GIVING YOU ONE INTEREST RATE AND GIVING YOU ONE LOAN AND YOU'RE PAYING BACK VRA ON THAT ONE LOAN WITH THAT ONE INTEREST RATE. THEY'RE SELLING MULTIPLE BONDS TO MULTIPLE INVESTORS, UM, ON YOUR BEHALF. AND THERE ARE DIFFERENT INTEREST RATES FOR DIFFERENT MATURITIES. SO YEARS ONE THROUGH 30, THERE'LL BE A DIFFERENT INTEREST RATE FOR THE PEOPLE WHO BUY A ONE YEAR BOND AS OPPOSED TO A DIFFERENT INTEREST RATE FOR SOMEBODY WHO BUYS A 30 YEAR BOND. GOT IT. RIGHT. AND SO, SO THAT GIVES OPTIONS FOR FOLKS TO INVEST AT DIFFERENT TERMS FOR DIFFERENT INTEREST RATES, RIGHT? IF THEY DON'T WANNA INVEST FOR MORE THAN FIVE YEARS, THEN THEY'LL USE THAT INTEREST RATE FOR THE FIVE YEAR PROGRAM. YES, MA'AM. AND ULTIMATELY YOU HAVE, YOU GET A BLENDED INTEREST RATE. OKAY, THAT MAKES SENSE. YEARS ONE THROUGH 30 OR HOWEVER MANY YEARS YOU CHOOSE TO BORROW FOR. SO, SO THOSE ARE TAX FREE, AREN'T THEY? YES SIR. TAX EXEMPT BONDS, FOR THE MOST PART, THEY, THEY CAN BE TAXABLE. UM, AND YOU DO HAVE SOME, SOME TAXABLE BONDS OUT OUTSTANDING, BUT, UM, FOR THE MOST PART, THE BONDS THAT VRA SELLS OR BPSA SELLS ARE TAX EXEMPT TO THE INVESTORS. ALRIGHT. OKAY. BUT WE JUST DON'T WANT THE SCHOOL STUDENTS TO FIND OUT ABOUT THIS . UNDERSTOOD. SO, UM, SO WE KIND OF SAW THE HIGH LEVEL SUMMARY ON 11. WE GOT THE DETAILS ON 12, ALL THE DETAILS BY LOAN IN THE BACK. UM, I THOUGHT IT WOULD BE HELPFUL TO KIND OF GO THROUGH SOME, SOME KEY RATIOS FOR YOU. AND IN PARTICULAR, SOME OF THESE YOU ALL HAVE, HAVE POLICIES, FINANCIAL POLICIES ON. SO WE WANTED TO KIND OF TAKE THAT WORK THAT WE DID TO, TO LOOK AT EACH OF THE INDIVIDUAL LOANS, PUT IT TOGETHER AND KIND OF SHOW YOU HOW YOU STAND RELATED TO YOUR POLICIES AND SOME OF THESE KEY RATIOS. THE, THE FIRST RATIO THAT WE'RE LOOKING AT IS ON THE LEFT HAND SIDE OF THE PAGE. IT'S CALLED THE 10 YEAR PAYOUT RATIO. THIS IS A MEASURE OF THE PERCENT OF PRINCIPAL YOU HAVE OUTSTANDING. SO THAT 115 MILLION, THE PERCENT YOU'RE REPAYING IN THE FIRST 10 YEARS. SO THE COUNTY HAS A A, A 70% PAYOUT RATIO AS OF FISCAL YEAR 23. THAT MEANS YOU'RE REPAYING 80, 81 MILLION OF THE 115 MILLION IN THE NEXT 10 YEARS. SO IT'S A VERY GOOD PAYOUT RATIO. YOU'RE PAYING BACK YOUR DEBT IN A, IN A RAPID FASHION. SO YOU'RE ISSUING THE DEBT, BUT YOU'RE ALSO PAYING IT BACK IN A RESPONSIBLE TERM, RETIRING THAT DEBT, WHICH GIVES YOU THE ABILITY, IF YOU EVER NEEDED TO, TO ISSUE DEBT AGAIN IN THE FUTURE WITHOUT TOTALLY PILING ON TO ALL THE DEBT THAT YOU PREVIOUSLY ISSUED. YOU'RE PAYING IT DOWN EVERY YEAR. YOUR OUTSTANDING BALANCE IS DECLINING AND DECLINING RAPIDLY. UM, TYPICALLY WE SEE POLICY RANGES ON THIS IN THE 50 TO 65% RANGE. YOU ALL DON'T CURRENTLY HAVE A POLICY ON THIS PAYOUT RATIO, BUT IF YOU DID, WE WOULD EXPECT IT TO BE IN THAT RANGE AND YOU'RE, YOU'RE ABOVE IT AT THIS POINT IN TIME. SO IN VERY GOOD SHAPE THERE. UNDERNEATH THAT, THAT TOP GRAPH IS, IS THE FIRST ONE OF THESE PURE COMPARATIVES THAT I REFERENCED EARLIER. AND, AND WE'VE GOT ONE OF THESE FOR EACH, FOR, FOR THE NEXT COUPLE OF RATIOS. AND SO LET ME JUST SET IT UP FOR YOU. THE, THE GOLD BAR ON THE TOP IS, IS THE COUNTIES 10 YEAR PAYOUT RATIO. THE LIGHT GREEN BARS ARE THE NATIONAL MEDIANS FOR THOSE RATED COUNTIES THAT WE LOOKED AT EARLIER. SO THE AAA, THE HIGHEST, THE AA, ONE OF WHICH IS YOU ALL AND THE SINGLE A, THE RATING LEVEL BELOW YOU ALL FOR THE ALL NATIONALLY RATED COUNTIES BY MOODY'S. AND THEN THAT SAME SAME THREE CATEGORIES ARE IN THE DARK GREEN FOR VIRGINIA ONLY COUNTIES. AND FOR THOSE VIRGINIA ONLY COUNTIES YOU'LL SEE THERE'S ALSO A, A KIND OF A BLUE BAR LAYERED IN THERE. WHAT THAT BLUE BAR REFLECTS IS THE MINIMUM DATA POINT AND THE MAXIMUM DATA POINT WITHIN THAT RANGE. SO YOU KIND OF SEE THE RANGE OF, OF RATIOS FOR THE VIRGINIA COUNTIES AS WELL AS THE MEDIAN. UM, AND YOU ALL, YOU KNOW, ARE, ARE IN GOOD SHAPE HERE. YOU'RE CERTAINLY NOT AN OUTLIER, UM, ON THIS RATIO, RIGHT HAND SIDE IS DEBT TO ASSESSED VALUE. SO THIS IS DEBT AS A PERCENTAGE OF YOUR OVERALL TAX BASE, RIGHT? SO THAT 115 MILLION OF DEBT OUTSTANDING COMPARED TO THE $6.4 BILLION TAX BASE, YOU ALL ARE AT ROUGHLY 1.8% DEBT TO ASSESSED VALUE. THIS IS ONE WHERE YOU HAVE A POLICY ON NOT TO EXCEED 5%. SO LOWER IS BETTER FOR THIS POLICY [01:30:01] AND YOU'RE WELL BELOW THAT POLICY LIMITATION. UM, AND YOU CAN KIND OF SEE ON THE PURE CHART IN THE BOTTOM, UM, HOW YOU STACK UP THERE. YOU'RE KIND OF RIGHT IN LINE WITH ALL THOSE VIRGINIA MEDIANS ABOVE THE, THE LIGHT GREEN, THE NATIONAL MEDIANS. BUT YOU LOSE A LITTLE BIT OF COMPARABILITY THERE BECAUSE COUNTIES IN DIFFERENT STATES PROVIDE DIFFERENT SERVICES, RIGHT? AND SO IN, IN, IN VIRGINIA YOU ALL FUND SCHOOL AND SCHOOL CAPITAL PROJECTS, WHEREAS A STATE LIKE SOUTH CAROLINA HAS INDEPENDENT SCHOOL DISTRICTS THAT ISSUE THEIR OWN DEBT AND FUND THEIR OWN CAPITAL PROJECTS. THEY HAVE THEIR OWN TAX RATE. SO COUNTIES IN SOUTH CAROLINA DON'T HAVE SCHOOL DEBT ON THEIR BOOKS, WHICH IS WHERE YOU KIND OF GET THAT VARIANCE. OKAY? UM, LAST TWO RATIOS HERE, UM, ON PAGE 14, LEFT HAND SIDE IS DEBT SERVICE TO EXPENDITURES. SO THIS IS YOUR ANNUAL DEBT SERVICE PAYMENT AS A PERCENTAGE OF YOUR OVERALL GOVERNMENTAL BUDGET. AND, AND YOU ALL WERE AT 9% ESTIMATED TO BE AT 9% IN FISCAL YEAR 24 POLICY NOT TO EXCEED 12%. SO BELOW THAT POLICY LEVEL STILL, AND AGAIN YOU CAN SEE, I MEAN A LITTLE BIT HIGHER THAN THOSE VIRGINIA MEDIANS, BUT NOT AN OUTLIER AT ALL. WHEN YOU LOOK AT THAT, UM, THE MAXIMUM END OF OF THAT RANGE, THIS IS A GOOD MEASURE OF KIND OF NOT JUST YOUR DEBT LOAD, YOUR DEBT BURDEN, BUT ALSO A MEASURE OF BUDGETARY FLEXIBILITY, RIGHT? BECAUSE YOU ISSUE DEBT, YOU KNOW WHAT THAT PAYMENT'S GONNA BE. YOU HAVE TO PAY IT. IF IT'S A GO BOND, IF IT'S A LEASE REVENUE BOND, YOU HAVE TO PAY IT 'CAUSE YOU DON'T WANNA LOSE YOUR SCHOOL. UM, SO, SO YOU PAY THAT DEBT KINDA LIMITS SORT OF THAT PORTION OF YOUR BUDGET. YOU CAN'T FURLOUGH IT, YOU CAN'T TURN THE LIGHTS OUT EARLY ON. IT, IT'S, IT'S AN AMOUNT YOU GOTTA PAY. SO THAT'S SOME FLEXIBILITY, UM, THAT YOU'LL LOSE WITHIN THE BUDGET TO MANAGE THAT EXPENSE. AND THEN THE LAST POLICY YOU HAVE ON THE RIGHT HAND SIDE OF 14 IS DEBT TO INCOME. SO THIS IS YOUR, YOUR DEBT OUTSTANDING AS A PERCENTAGE OF SORT OF PERSONAL INCOME, INCOME OF THE COUNTY OVERALL COUNTY. THIS IS A PO THIS IS A RATIO OF POLICY THAT THAT'S MAYBE BEEN A LITTLE, UM, DEVALUED OR NOT LOOKED AT AS MUCH BY THE RATING AGENCIES ANYMORE AS MUCH AS IT USED TO BE. UM, BUT YOU ALL STILL HAVE A POLICY NOT TO EXCEED 12%. YOU'RE AT 5%. SO WELL BELOW THAT POLICY LIMITATION, BUT NOT REALLY SOMETHING THE RATING AGENCIES TRACK. SO WE DON'T HAVE THE THE PURE COMPARATIVE FOR THAT. SO I, LAST ONE FOR ME HERE, JUST KIND OF BIG PICTURE OBSERVATIONS ON THE DEBT. UM, YOU KNOW, YOU HAVE EXISTING POLICIES, RIGHT? WHICH TALKED ABOUT THOSE, THOSE ARE ALL IN LINE WITH SORT OF INDUSTRY STANDARDS AND YOU'RE IN COMPLIANCE WITH ALL THOSE POLICIES. SO, SO YOU'RE IN GOOD SHAPE THERE. WE WOULD SAY THAT UNDER THOSE POLICIES COMPARED TO YOUR PEERS, YOU HAVE DEBT CAPACITY, YOU HAVE CAPACITY TO ISSUE ADDITIONAL DEBT IF YOU CHOOSE TO DO SO OR IF THERE'S A NEED TO DO SO AS YOU'RE EVALUATING FUNDING FUTURE CAPITAL PROJECTS. IN THE SAME BREATH THOUGH, WHAT WE'D ALSO SAY IS THAT'S NOT THE ONLY THING YOU NEED TO LOOK AT IS THIS CAPACITY. IF YOU ARE LOOKING TO FUND CAPITAL PROJECTS, EVALUATING DEBT IS AN OPTION FOR THOSE. DEBT AFFORDABILITY IS THE OTHER KEY PIECE TO LOOK AT, RIGHT? SO, UM, DO YOU HAVE THE CASH FLOW AVAILABLE TO PAY THAT DEBT SERVICE OR DO YOU NEED TO FIND NEW REVENUE TO PAY FOR THAT DEBT SERVICE? KIND OF LIKE, YOU KNOW, WE CAN GO OUT AND GET PRE-APPROVED FOR A MORTGAGE OURSELVES. THE BANK MAY GIVE US A BIG NUMBER, BUT WE KNOW THAT WE'VE GOT CHILDCARE COSTS AND WE KNOW WHAT OUR GROCERY BILLS ARE AND ET CETERA. WE MAY NOT BE ABLE TO FUND THE PAYMENT ON WHAT THE BANKS ARE WILLING TO LEND US. SO THAT'S KIND OF THE DIFFERENTIAL BETWEEN CAPACITY AND AFFORDABILITY AND, AND IF YOU DO CHOOSE OR, OR LOOK TO FUND CAPITAL PROJECTS GOING FORWARD, UM, I THINK EVALUATING BOTH THAT DEBT CAPACITY AND THE DEBT AFFORDABILITY WILL BE, UM, IMPORTANT IN YOUR EVALUATION PROCESS. AND I THINK THIS, HOPEFULLY THIS INFORMATION CAN SERVE AS A BASELINE FOR THAT IF YOU DO NEED TO DO SOME OF THAT ANALYSIS. UM, THIS CAN, THE, THE INFORMATION WE PUT TOGETHER HERE, WE'VE GOT CERTAINLY HAVE MODELS SET UP THAT CAN SERVE AS A, A JUMPING OFF POINT FOR THAT FURTHER ANALYSIS OF DEBT CAPACITY AND, AND CERTAINLY DEBT AFFORDABILITY AS WELL. IS THERE ANY QUESTIONS? WELL, I HAVE ONE. SO WHY DON'T WE INCLUDE THE EDA DEBT IN THIS. SO THE, THE EDA DEBT IN THIS IS PAID BY THE ACTUAL EDA DEBT THAT'S EXCLUDED IS NOT DEBT THAT'S PAID BY THE COUNTY. IT'S NOT ON THE, ON THE COUNTY'S RESPONSIBILITY IN TERMS OF THE TAX BASE. WE ARE WORKING ON THAT AND WORKING WITH JOE [01:35:01] ON, ON SUMMARIZING ALL OF THAT INFORMATION AS WELL. BUT THIS IS JUST THE DEBT THAT, THAT THE COUNTY WE ARE RESPONSIBLE FOR. IT'S RESPONSIBLE FOR. YES MA'AM. RIGHT. SO IT GOES BACK TO MY QUESTION. IF YOU PUT THE EDA DEBT IN HERE, YOU WOULD HAVE TO PUT IT IN THE TOWN OF FRONT ROYAL ALSO, MA'AM . 'CAUSE IT'S A JOINT OBLIGATION. IT'S TRUE. THAT'S TRUE. I GUESS SHE'S NOT READY TO REPLACE THAT THOUGH. I'M JUST CURIOUS THAT THAT'S ALL YOU KNOW, BECAUSE WE ARE CARRYING IT. YES, MA'AM. NO, UNDERSTOOD. AND I THINK WHAT WE TRY TO FOCUS ON HERE IS THE ULTIMATE COUNTY RESPONSE. WE ARE RESPONSIBLE FOR THAT. YOU YOU ISSUED PROJECTS, YOU FUNDED THAT WE FUNDED THAT YOU'RE RESPONSIBLE FOR. YES MA'AM. ABSOLUTELY. AND THE ONLY, AND THE ONLY PROJECT THAT YOU COULD POSSIBLY SAY THE COUNTY APPROVED THAT IS DEBT NOW OWED BY THE EDA IS LEACH RUN PARKWAY. THAT'S CORRECT. THAT'S THE ONLY, THAT'S THE ONLY DEBT. YEP. WHAT PORTION OF LEACH RUN PARKWAY DOES THE EDA OWN? BECAUSE THIS IS WHAT OUR, UH, OBLIGATION IS FIVE 4 MILLION, I THINK WE STILL OWED AS OF JUNE OF THIS YEAR. 4.165. AND THAT IS HOURS IN THE TOWNS, MA'AM? THAT'S HOURS IN THE TOWN. YES. AND THE EDA HAS SEPARATE DEBT IN ADDITION TO THAT FOR, I DON'T WANT TO GET OFF TRACK. OKAY. THE EDA WENT AND BORROWED MONEY ON THEIR OWN SEPARATE. OKAY. THIS IS THE ONLY MONEY THAT THE COUNTY, THAT THE TOWN AND THE COUNTY APPROVED FOR BORROWING. MM-HMM. SO, UM, HMM. I HAVE ANOTHER, UH, YOU WANNA FINISH YOUR THOUGHT? NO. OH, YOU OKAY? YEAH. I'M PROBABLY NOT GONNA FINISH IT. THANK YOU, . UM, I I DO HAVE ANOTHER QUESTION. UM, YES MA'AM. FOR THE CATEGORY OF OTHER CONSIDERATIONS, UH, UNDER THE, THE NEW METHODOLOGY. SO WHAT, WHAT WOULD BE CONSIDERED ANOTHER CONSIDERATION? IS THAT SUBJECTIVE? IS THERE QUALITATIVE? IS IT YEAH, THERE, WHAT IS, YOU KNOW, WHAT IS IT QUALITATIVE, KIND OF A MIXTURE OF QUALITATIVE AND QUANTITATIVE. I'LL GIVE YOU A COUPLE EXAMPLES. UM, SO QUANTITATIVE WISE, LET'S, LET'S SAY, UM, I'M NOT GONNA USE EXAMPLES, BUT LET'S SAY A COMMUNITY IS RATED AND THEY HAVE A MAJOR EMPLOYER, PAPER MANUFACTURER OR YOU KNOW, STEEL PRODUCER, WHATNOT, THAT IS A HUGE EMPLOYER, LARGE EMPLOYER AND IS A LARGE TAXPAYER, AND THEY ARE RESPONSIBLE FOR 50% OF THE TOWN OR COUNTY OR CITY'S TAX BASE, RIGHT? THAT COULD BE A, AN OTHER CONSIDERATION FOR ON THE DOWNSIDE, THAT'S HIGH CONCENTRATION RISK, RIGHT? IF THAT COMPANY WERE TO CLOSE 50% OF THE TAX REVENUE GOES AWAY, THAT'S A RISK, RIGHT? MM-HMM. . SO THAT'S MAYBE A QUANTITATIVE ANALYSIS THAT CAN BE DONE. MM-HMM. , UM, QUALITATIVE WISE, YOU KNOW, CITY OF CHARLOTTESVILLE, ALMORE COUNTY, RIGHT? UNIVERSITY'S RIGHT THERE IN THE MIDDLE OF IT. AND THAT IS A TAX EXEMPT PROPERTY, RIGHT? THE UNIVERSITY IS TAX EXEMPT. IT IS NOT PAY, UH, PROPERTY TAXES IS NOT PART OF THE TAX BASE, BUT IT'S A HUGE ECONOMIC DRIVER FOR EMPLOYMENT, FOR SALES TAX, FOR ECONOMIC ACTIVITY. AND SO THAT IS A QUALITATIVE FACTOR BECAUSE OF SORT OF THE, THE INSTITUTIONAL PRESENCE OF THE UNIVERSITY. IT DOESN'T SHOW UP ON THE TAX BASE, SO IT'S NOT GONNA BE IN THAT FULL VALUE PER CAPITA, BUT IT'S GOT A LOT OF VALUE THAT'S NOT ON THE TAX ROLLS AND IT PRODUCES A LOT OF ECONOMIC, IT'S A BIG ECONOMIC DRIVER FOR THE AREA. AND SO THOSE, THAT'S A CONSIDERATION FOR THEM, UM, AS PART OF THE RATING PROCESS. OKAY. SO IT COULD BE, UM, EITHER OR. YES MA'AM. AS FAR AS YOU KNOW, EVALUATING YES MA'AM. AND THAT'S PART OF THE, THAT'S PART OF THE PROCESS. MM-HMM. WHEN, WHEN ULTIMATELY WHEN YOU INITIATE A RATING PROCESS, THIS WAS DONE AS PART OF A REVIEW WHERE, YOU KNOW, THEY, THEY KIND OF PULL YOUR AUDIT AND IT WAS A MOODY'S INITIATED REVIEW THAT THEY CONDUCTED THEMSELVES AND SHARED SOME INFORMATION WITH STAFF TO, TO DOUBLE CHECK THEM AGAINST MM-HMM. . UH, BUT IF YOU EVER HAD THE NEED TO, TO GO OUT PROACTIVELY AND TALK TO THEM, THAT PART OF THE PROCESS WILL BE GOING THROUGH THAT METHODOLOGY AND TRYING TO, TRYING TO GIVE THEM INFORMATION THAT THEY NEED TO DO THEIR QUANTITATIVE CALCULATIONS, BUT ALSO TELLING THE COUNTY STORY AND GIVING THEM INFORMATION THAT CAN ULTIMATELY, HOPEFULLY TURN INTO ONE OF THOSE OTHER CONSIDERATIONS AND, AND IMPROVE THINGS ALONG THE WAY. IS THERE ANY POINT THAT THE COUNTY WOULD, UM, SEE WHAT, HOW THEY GRADED, GRADED AS, UH, AS FAR AS THE CONSIDERATIONS? WELL, WELL, SO I, I THINK WHAT WE KNOW RIGHT IS IN THIS SCORECARD YOU SCORED OUT AT A 2 87 OKAY? RIGHT. WHICH IS RIGHT IN THE MIDDLE OF THAT AA TWO CATEGORY. SO, OKAY. THERE'S, THERE'S LIKELY OTHER [01:40:01] CONSIDERATIONS, BUT MAYBE THEY'RE OFFSET BY BOTH POSITIVE AND NEGATIVE, OR THEY WEREN'T TO THE DEGREE THAT INITIATED AN INCREASE ABOVE THIS QUANTITATIVE RATING. OKAY. BUT YOUR, YOUR ACTUAL SCORECARD RATING WORKS OUT THE AA TWO, THAT'S WHAT THEY RATED YOU. OKAY. THANK YOU. IS THERE ANY OTHER QUESTIONS? YEP. I'VE GOTTA ASK THE QUESTION. SO IF THE EDA DEFAULTS ON ITS LOANS, HOW DOES THAT IMPACT THE COUNT THE COUNTY'S CREDIT RATING? SO I, I THINK THERE'S, THERE'S REPUTATIONAL RISK, RIGHT? IT'S DOWN IN FRONT. ROYAL WARREN COUNTY, EDA, I MEAN, THINK THAT'S CERTAINLY REPUTATIONAL RISK, BUT THEY ALSO UNDERSTAND AND THEY LOOK THROUGH TO WHAT IS THE, UM, WHAT IS THE RELATIONSHIP WITH THE COUNTY AND WHAT, WHAT IS THAT DEBT ASSOCIATED WITH? UM, I THINK THERE'S THIS, YOU WERE TALKING ABOUT LEACH RUN EARLIER. I THINK THERE'S A SEPARATE LOAN THAT THE EDA TOOK OUT, UNRELATED TO YOU. YOU ALL DID NOT TAKE OUT THE LOAN, YOU DID NOT INITIATE THAT. UM, SO THAT, THAT'S KIND OF DIFFERENT, RIGHT? DIFFERENT THAN WHAT THE COUNTY'S DEBT IS. YOU KNOW, I I, IT COULD RAISE QUESTIONS AND, UM, IT'S, IT WOULD I LIKELY TO BE A CONVERSATION WITH THEM AND AN EXPLANATION AND, UM, I MEAN, THERE'S NO IMMEDIATE, THERE'S NO, I CAN'T SIT HERE AND TELL YOU, OH, THIS IS GONNA HAPPEN ONE WAY OR THE OTHER. I THINK, I THINK WHAT I CAN TELL YOU IS WE SHOULD BE PREPARED TO HAVE A CONVERSATION, UM, IF THAT WERE TO OCCUR, TO EITHER EXPLAIN WHY IT HAS NOTHING TO DO WITH THE COUNTY OR WHY IT'S AN ISOLATED INCIDENT AND, UM, THE BACKGROUND. SO THAT WOULD FALL UNDERNEATH THE CONSIDERATION CATEGORY? YES, MA'AM. , ANY BOTH QUESTIONS? NO. YOU SURE? NO, THAT WAS THE ONE I WAS CONTEMPLATING. THAT WAS A VERY GOOD QUESTION. THANK YOU. ANY OTHER QUESTIONS? NOPE. THAT ANSWERED MINE. YEP. DR. BAILEY, ARE WE GOOD? YES, MA'AM. OKAY. THANK YOU SO MUCH FOR DOING THIS. THIS IS VERY, UM, EDUCATIONAL AND YEP. I LOVE NUMBERS. THERE'S A LOT OF 'EM. THANK Y'ALL FOR HAVING US. THANK YOU. OKAY, SO I'M GONNA PULL, I'M JUST GONNA ASK THE QUESTION TO THE BOARD. OKAY? WE HAVE A WORK SESSION. I MEAN, EXCUSE ME, A CLOSED SESSION. WE CAN BREAK FOR THE CLOSED SESSION AND COME BACK AND FINISH OUR AGENDA. OR DO WE WANNA JUST GO THROUGH THE REST OF OUR AGENDA ITEMS AND LET EVERYONE GO HOME AND THEN WE GO TO A CLOSED SESSION? DOES ANYBODY HAVE A PREFERENCE? I, I THINK HAVING THE CLOSED SESSION AT THE END WOULD BE BETTER FOR THE, FOR THE PEOPLE WAITING. YEAH. PERSONALLY, I, I NEEDED TO BE FORTHCOMING AND WE TOLD MR. HAM HE WOULD, IF HE CAME UP TONIGHT, HE WOULD BE HERE EARLY AND HE WOULD BE LEAVING EARLY ENOUGH. OH, I DIDN'T KNOW THAT WE HAD THAT. NO LONGER YOU HAVE HIM HERE. NO OFFENSE, OFFENSE FOR LONG. WE'RE PAYING THECAL BY THE HOUR. OKAY. TOO LONG. YOU'RE PAYING HERE AFTER WHAT WE JUST WENT THROUGH. YEP. AND WE'RE PAYING HIM BY THE HOUR, SO, OKAY. LET'S KNOW. I AGREE. I AGREE. THANK YOU FOR, UM, FOR LETTING US KNOW. SO WITH ALL THAT [A. Closed Session - Section 2.2-3711(A)(8) Consultation with legal Counsel ] BEING SAID, WE ARE GONNA BE GOING TO A CLOSED SESSION. SO, UM, IS THERE A, A MOTION TO GO INTO A CLOSED SESSION? YES, MADAM CHAIR. UH, I MOVE THE, THE BOARD ENTER INTO A CLOSED SESSION UNDER THE PROVISIONS OF SECTIONS 2.2 DASH 37 11 A EIGHT OF THE VIRGINIA FREEDOM OF INFORMATION ACT FOR CONSULTATION WITH LEGAL COUNSEL EMPLOYED BY THE PUBLIC BODY REGARDING SPECIFIC LEGAL MATTERS REQUIRING THE PROVISION OF LEGAL ADVICE BY SUCH COUNSEL, SUCH LEGAL MATTERS BEING THE RAYMOND E ST. MEYERS YOUTH CENTER, LEGAL ISSUES AND POTENTIAL AGREEMENTS WITH THE TOWN OF FRONT ROYAL AND REACHING OUT NOW INCORPORATED RELATED THERETO, LEGAL MATTERS RELATED TO THE BOARD'S MEETING POLICY AND PROCEDURES AND LEGAL MATTERS RELATED TO 1 25 SECOND STREET AND THE 1 36, UH, HILLAGE STREET FRONT, ROYAL VIRGINIA. IS THERE A SECOND? SECOND. ROLL CALL PLEASE BEFORE YOU VOTE. OH, BOOP BOOP. WOULD THE BOARD LIKE TO INVITE MR. JAMESON AND MR. STAN MEYER TO ATTEND SINCE THEY WILL BE DEALING WITH THESE ISSUES IN JANUARY? ABSOLUTELY. YOU ARE. THAT NEEDS TO BE PART OF YOUR MOTION. WHAT A, JUST TO INCLUDE THEM, JUST TO, UH, AND I, UH, AND ALSO INCLUDE MR. STEINMEYER AND MR. JAMESON. IS, IS THAT SUFFICIENT? UH, COUNSELOR AS SUPERVISORS ELECT AS SUPERVISORS ELECT MR. ELECT? THAT'S RIGHT. OKAY. DO WE HAVE A [01:45:01] ANOTHER SECOND? SECOND. ROLL CALL PLEASE. MRS. OATS. AYE. MADAM CHAIR? AYE. MRS. SCHOLARS? AYE. MR. BUTLER? AYE. AYE. THANK YOU. WE'RE GOING INTO CLOSED SESSION WAITING FOR US. ARE WE GOOD TO GO? OKAY. WONDERFUL. WELCOME BACK. OKAY. UH, DO WE, WE ARE COMING OUT A CLOSED SESSION. DO WE HAVE A MOTION NEXT BY THE CHAIR? I MOVE THAT THE, UH, BOARD CERTIFIES TO THE BEST OF EACH MEMBER'S KNOWLEDGE, UH, ONLY PUBLIC BUSINESS MATTERS, LAWFULLY EXEMPTED FROM OPEN MEETING REQUIREMENTS UNDER SECTIONS 2.2 DASH 37 11, A EIGHT OF THE VIRGINIA FREEDOM OF INFORMATION ACT, AND ONLY SUCH PUBLIC BUSINESS MATTERS WERE IDENTIFIED IN THE MOTION BY WHICH THE CLOSED MEETING WAS CONVENED, WERE HEARD, DISCUSSED, OR CONSIDERED IN THE MEDIUM BY THE PUBLIC BODY. THANK YOU. IS THERE A SECOND? SECOND ROLL CALL PLEASE. MR. BUTLER? AYE. MRS. CULLS? AYE. MADAM CHAIR? AYE. MRS. OATS? AYE. THANK YOU VERY MUCH. WE'RE OUTTA A CLOSED SESSION. OKAY, LET'S MOVE ON. SO, UH, I BELIEVE [D. Virginia 250 State Tourism Program - Joe Petty/Matt Wendling ] WE LEFT OFF AT THE VIRGINIA, UH, TWO 50 STATE TOURISM PROGRAM. UM, MR. PETTY, MR. WINDLEY , HERE HE COMES. HERE THEY COME. . HE'S GONNA SHORTEN IT. BE REAL QUICK. OKAY. UH, RIGHT. DO WE HAVE, UH, THE CLICKER OR, SO, UH, KINDA BRIEFLY, UM, WE'RE PROPOSING A MONUMENT SLASH BENCH SLASH MEMORIAL TO THE REVOLUTIONARY WAR SOLDIERS OF WARREN COUNTY THAT SERVED OUR NATION DURING THE REVOLUTIONARY WAR. AND IN PART TO, UH, TO SUPPORT THE VIRGINIA, UH, OOPS, I'M KEEP HITTING THIS THING. THE VIRGINIA, UH, COMMISSION WON THE ANNIVERSARY OF AMERICAN REVOLUTIONARY WAR. UM, THE BOARD IN, LET'S SEE HERE, IT WAS, UH, OCTOBER 18TH, 2022, PASSED A RESOLUTION TO PARTICIPATE IN THIS WITH, UH, THE STATE, UH, AGENCY. AND IT GIVES US SOME OPPORTUNITIES TO UTILIZE SOME STATE GRANT FUNDING. UH, SO WE ARE PROPOSING, WE'LL GO BACK HERE, UH, THIS MEMORIAL ON THE COURTHOUSE GROUNDS, YOU'LL NOTE, UH, THAT THE VIETNAM, UH, SOLDIER MEMORIAL IS AT THE END THERE. AND WE HAVE AN EXISTING MONUMENT. THE DAR MONUMENT, WHICH IS ON THE GROUNDS, WILL BE RELOCATED TO THE CORNER. WE HAVE A BENCH, UH, A GRANITE BENCH THAT, UH, IS BEING FUNDED IN PART, OR ACTUALLY IN FULL BY, UM, THE SAR AND THEN THE SAR MONUMENT, UH, TO THE, TO THE, UH, RIGHT OF THAT. ON THE BACK WE WILL HAVE A, A DA COMPLIANT SIDEWALK, UH, WHICH WILL CONSIST OF, UH, THIS IS, THIS IS, IF YOU'RE LOOKING DOWNTOWN AND AT THE VIETNAM MEMORIAL MONUMENT, UH, IT WILL BE TO THE LEFT OF THE WALKWAY THERE. AND IT, THE WALKWAY WILL CONSIST OF THIS TYPE OF BRICK PATTERN. UM, , THIS IS KIND OF A MOCK-UP OF WHAT THE GRANITE, UH, BENCH WILL LOOK LIKE. UH, OBVIOUSLY WE WILL WORK ON SOME OF THE WORDING ON IT, BUT, UH, WE DO PLAN ON HAVING ALL OF THE REVOLUTIONARY WAR SOLDIERS' NAMES ETCHED INTO THE, THE GRANITE, UH, BENCH THERE. UM, THEY'RE 17 TO 20 OF 'EM. I WAS GONNA ASK THEM. YEAH, . YEAH, THERE'S, YEAH. AND, AND THERE MAY BE A FEW MORE, BUT, UH, WE DO HAVE, UH, AN INVENTORY LIST OF THEM. THE SAR KEEPS, KEEPS THAT. AND THERE'S ALSO BEEN A BOOK THAT WAS PUBLISHED WITH ALL OF VIRGINIA'S, UH, REVOLUTIONARY WAR SOLDIERS, AND THAT'S BEEN UPDATED. SO, UM, WE DO HAVE A LETTER OF SUPPORT FROM THE DAR. UH, WE'RE WORKING ON GETTING A LETTER OF SUPPORT FROM THE SAR UM S. THE SAR IS SONS OF AMERICAN REVOLUTION, AND IT WOULD BE THE VIRGINIA CHA OR WINCHESTER CHAPTER, UH, [01:50:01] COLONEL JAMES WOOD. THE SECOND, I THINK, UM, THEY HAVE ACTUALLY BEEN ABLE TO GET A $2,000, UH, I'LL CALL IT A DONATION CONTRIBUTION FROM THEIR KNIGHT PATTY FUND THAT IS, UH, A FUND THAT THE SAR NATIONAL ORGANIZATION HAS. AND SO THEY WILL BE CONTRIBUTING THAT MONEY TOWARD US. WE'VE ALSO GOT SOME, UH, LETTERS OF SUPPORT, WELL, A EMAIL OF SUPPORT FROM THE DR. JOSEPH WARREN FOUNDATION, UH, WHO HAS CON UH, PARTICIPATED IN SOME OF THE ANNUAL EVENTS THAT WE'VE HAD COMMEMORATING DR. WARREN. UH, SO THIS IS GENERALLY THE LOCATION OF WHERE THIS WILL BE, UH, MET ON SITE WITH, UH, PUBLIC WORKS. AND THIS IS, UH, UH, WELL, DONNA SHACKLEFORD AND HER, HER GUYS, AND THEY'RE KIND OF PLANNING THIS OUT. UM, THIS HERE WILL BE THE MONUMENT BASE THAT WE'LL USE FOR THE NEW MONUMENT THAT IS LOCATED CURRENTLY RIGHT BEHIND THE BUILDING. IT'S THE OLD CONSTITUTIONAL LO. WE WILL DONATE THE PLAQUE TO THE HERITAGE SOCIETY AND WE WILL WORK ON HAVING A NEW PLAQUE WITH, UH, THE COMMEMORATIVE, UH, LOGOS AND THE COUNTY LOGOS, POTENTIALLY MAYBE THE TOWN LOGO. UM, AND, UM, THAT WILL BE THE OTHER MONUMENT. UH, AGAIN, THIS IS THE CURRENT REVOLUTIONARY WAR MONUMENT. UH, I THINK IT WAS PUT THERE IN THE EIGHTIES OR EARLY NINETIES BY THE DAR. AND THAT WILL BE RELOCATED. THE, THESE BUSHES WILL GO AWAY, BUT WE DO PLAN ON DOING LANDSCAPING AROUND THE OTHER SITE AS A, AS THE LAST PHASE OF THAT. UM, QUICKLY I JUST GET TO THE NUMBERS, UH, AND, AND, UH, I WOULD LIKE TO THANK LESLIE BARRY, UH, OUR TOURISM MANAGER AND JOE TO HAVE HELPED ME PUT THESE TOGETHER. UM, TOTAL APPLICATION FOR THE GRANT FOR, WITH, WITH, UH, THE VA TWO 50 IS GONNA BE THAT 16,150. UM, THAT'S WHAT THE COUNTY, YOU'LL HAVE TO PUT UP FRONT. UH, THE MA IT'S A MATCHING GRANT. THEY WILL MA MATCH IT. 8,075 THAT WILL BE IN A REIMBURSEMENT. OKAY. THROUGH THE COUNTY. THE IN KIND, UH, LABOR FEES ARE SHOWN ON THE, THE RIGHT THERE IN THE RIGHT COLUMN. THAT'S 3,200 FOR THE, UM, FOR THE FOOTERS BENCH AND EVERY, AND THE INSTALLATION, EVERYTHING BY PUBLIC WORKS. AND THEN THE LANDSCAPING ALSO BY THE PUBLIC WORKS, UH, THAT ADDS UP TO 4,450. UM, WE'VE GOT A CON CONTRIBUTION BY THE SAR FOR THE BENCH. AND, UH, SO REMAINING CASH THAT REALLY THE COUNTY WILL HAVE TO PAY OUT OF THEIR, WELL OUTTA THEIR POCKET ALONG WITH THE IN KIND IS 1,625. SO, UM, WE JUST WANTED TO PUT THAT FORWARD TO YOU 'CAUSE WE'RE TRYING TO GET IN THE GRANT CYCLE HERE BY THE END OF THE MONTH. UH, LESLIE'S BEEN HARD AT WORK ON PUTTING THAT GRANT TOGETHER. UH, THE ONLY CAVEAT THAT WE CAME ACROSS IS THAT THE TOWN IS GONNA REQUIRE US TO GO THROUGH THEIR BAR, THE BOARD OF ARCHITECTURAL REVIEW. UM, AND I'M GOING TO REQUEST THE LETTER IN A LETTER, UH, FOR THEM TO WAIVE THAT FEE. AND ALSO I'M GONNA ASK 'EM FOR A LETTER OF SUPPORT 'CAUSE IT IS IN TOWN. SO, UH, I'VE BEEN MEETING, WE'VE GOT, UH, WITH, UH, STAKEHOLDERS, THE, UH, SONS OF AMERICAN REVOLUTION HAVE MET WITH ME FOUR OR FIVE TIMES. AND, UH, LESLIE HAS BEEN PARTICIPATING SINCE SHE, UH, WAS HIRED BY THE COUNTY. UM, WE'RE LOOKING FORWARD TO THIS HOPEFULLY WITH FUNDING AND EVERYTHING MOVING FORWARD. UH, WE ALMOST WE'RE THINKING MAYBE WE COULD POTENTIALLY GET IT IN AND DO A COMMEMORATION, UH, EVENT WHEN IN JUNE WHEN WE CELEBRATE DR. JOSEPH WARREN'S, UH, BIRTH AND DEATH. SO, UM, THAT'S ALL I HAVE, IF YOU HAVE ANY QUESTIONS, UM, DOES THAT ANSWER 'EM AND JOE, UNLESS YOU HAVE ANY QUE FROM THE APPLICATION? YEAH, SO THAT'S THE, THE PURPOSE OF TONIGHT IS TO ASK FOR A LETTER OF SUPPORT SIMILAR TO EARLIER THAT WE WOULD NEED, UM, TO GO WITH THE GRANT. UM, IT WOULD BE A LETTER OF SUPPORT FROM THE BOARD AND THAT YOU SUPPORT THE PROJECT, BUT THEN ALSO OBVIOUSLY UNDERSTANDING WHAT THE FUNDING IS, UM, ASSOCIATED WITH THAT. SO SIMILAR TO KIND OF THE SILENT FALCON REQUEST EARLIER, WE WOULD LIKELY HAVE A LETTER OF SUPPORT FOR YOU NEXT WEEK THAT WOULD BE ADDED TO OUR GRANT APPLICATION. OBVIOUSLY AS PART OF THIS GRANT THROUGH VTC AS THEIR VA TWO 50, WE WOULD LIKELY TRY AND TIE THIS WITH SOME COMMEMORATIVE EVENTS WHERE WE'RE CELEBRATING JOSEPH WARREN, LESLIE'S BEEN MEETING WITH JOSEPH WARREN FOUNDATION. THEY HAVE A FILM COMING OUT [01:55:01] WHICH MIGHT NOT ALIGN WITH, UM, THE DEADLINES THAT WE HAVE TO MEET, BUT WE WOULD LIKE TO TIE THOSE IN TOGETHER AS POSSIBLE, LIKE SHOWING OR SOMETHING LIKE THAT. AND, AND HAVE SOME OTHER ATTRACTIONS TO THIS TO JUST KIND OF HIGHLIGHT THIS, THIS IMPORTANT, UH, MEMORIAL HERE. SO AGAIN, WE WOULD JUST BE ASKING OF A LETTER OF SUPPORT FROM THE BOARD, UM, TO SUPPORT THIS GRANT APPLICATION WE JUST DO AT THE END OF THE MONTH. ANY QUESTIONS? WE DON'T HAVE A QUESTION AND I'M NOT, I THINK IT'S A GREAT THING. I'M ALL FOR IT. JUST ONE LITTLE THOUGHT THAT I HAD LOOKING AT THE BENCH, IF YOU'RE GONNA PUT PEOPLE'S NAMES ON IT AND THEN PEOPLE SETTLE ON IT, YOU CAN'T SEE THE NAMES, SO I WAS WONDERING IF THERE'S A WAY YOU CAN GET A PIECE OF CRAN IT IF IT'S NOT TOO MUCH AND HAVE THE NAMES ETCHED ON IT AND IN SO THAT YOU'RE SITTING ON THE BENCH LOOKING AT THEM. WELL, IT'S ACTUALLY, IT'S A GOOD POINT BECAUSE WE'RE ACTUALLY GONNA DO IT ON THE BACK SIDE OF THE BENCH AND ON THE MAT, AND THAT'S WHERE THAT WALKWAY WILL ALLOW A DA COMPLIANT AND ANYBODY CAN GO BACK AND JUST WALK THROUGH AND SEE THOSE NAMES. UM, WE'RE CONTEMPLATING POTENTIALLY EITHER GETTING THE VIRGINIA THREE 50 REVOLUTION LOGO ETCHED IN THE FRONT. OKAY. ON THE BACK ON THAT, WHAT YOU'RE SEEING THERE. UM, AND POTENTIALLY EVEN MAYBE GETTING ONE OF THOSE CERAMIC, UH, MARKERS WITH DR. DR THAT WE CAN PUT ON IT AND THEN ALSO AND SAR LOGO MARKER BECAUSE OF THE CONTRIBUTION WE'RE MAKING. RIGHT. SO WE'RE, YOU KNOW, THAT WILL BE INCORPORATED IN SOME FORM OR FASHION, EITHER INTO THE VENTURE OR INTO, OKAY. I JUST YOU, BUT IT'S A GOOD POINT YOU MADE. YEAH. YEAH. I WAS JUST, YOU KNOW, I LOOKING AT THAT AND I THINK THAT'S REALLY NICE, BUT YEAH, I I THOUGHT IF SOMEBODY'S SITTING THERE, YOU CAN'T LOOK AT THE NAMES. RIGHT, RIGHT, RIGHT. SO THAT WAS YEAH, AND THAT'S THE REASON WHY WE WE'RE, AND ACTUALLY THAT'S WHY THE VR IS ABOUT WANTING US TO DO, GO THROUGH THEM BECAUSE IT'S SIDEWALK. OKAY. THANK YOU. UM, ANY OTHER QUESTIONS? SO WE WILL, UH, ZACH WILL BE LAUNCHING THE AGENDA AT FOUR 30 ON THURSDAY. IF THIS RESOLUTION OF SUPPORT WANTS TO BE IN THERE, IT NEEDS TO BE ON TIME. . THANK YOU DR. DALEY. . YOU GOT IT? UH, I HAVE A COUPLE QUESTIONS. YEP. UM, THE FIRST ONE IS MORE INFORMATIONAL FOR ME. OKAY. OKAY. SO THIS IS GONNA BE AT THE COURTHOUSE? MM-HMM. . YES. AND THE COURTHOUSE IS ON COUNTY PROPERTY. MM-HMM. . BUT YET WE ARE, WE, BUT BECAUSE THE COUNTY PROPERTY IS IN THE TOWN RIGHT THEN WE ARE, IT'S IN THEIR HISTORIC DISTRICT. OKAY. OKAY. YEAH. ALL RIGHT. JUST NEEDED TO UNDERSTAND THE WIRING DIAGRAM. THERE'S A LOT OF THAT GOING ON AND, AND, AND IT REALLY HAS TO DO WITH JUST, OKAY, THIS IS WHAT WE'RE DOING. OKAY. OKAY. AND WE'RE JUST LETTING YOU KNOW IT SHOULDN'T BE A BIG DEAL. WE MAY NOT EVEN HAVE TO GO TO PUBLIC HEARING OR ANYTHING THEY JUST SAID JUST TO BE ABLE TO REVIEW MM-HMM. THE MATERIALS AND THE CONCEPT AND WHAT WE'RE DOING. OKAY. SO HOPEFULLY, SO IN THE EVENT WE HAVE TO, UH, IT'S, THEY'RE GONNA CHARGE US FOR WHATEVER THEY NEED, YOU KNOW, ABOUT A HUNDRED BUCKS OR SO. OKAY. 'CAUSE I'M JUST LOOKING AT THE NUMBERS, THAT'S ALL. YEAH, YEAH. YEAH. I DON'T SEE IT, YOU KNOW, UH, PUTTING IN ANY FEES THAT THE TOWN MIGHT IMPOSE ON US, BUT IT'S VERY MINIMAL, SO I'LL LET THAT ONE GO. YEAH. AND THEN LASTLY, THE, THE, UH, THE COUNTY MATCH THE SIX, UM, $1,600. SO IS THAT GONNA JUST COME OUT OF OUR TOURISM BUDGET? TOURISM UHHUH VERY GOOD. WE ARE AWARE, HISTORY, NATURE AND FAMILY COME TOGETHER, . SO WE, WE ARE FOCUSING ON OUR HISTORY ASPECT. ABSOLUTELY. I KNOW THAT'S OUR MODEL, SO I JUST WANTED TO JUST VERIFY THAT. AND THOSE ARE ALL THE QUESTIONS THAT I HAVE. SO IT'S MORE THAN $1,600, IT'S ACTUALLY 8,000. OUR MATCH IS 8,000. OUR PLUS THE 1625. CORRECT. OUR MATCH IS 8,000. RIGHT. OF THAT 8,002 OF IT WILL COME FROM THE SAR CONTRIBUTION. OKAY. 4,400 WILL BE OUR IN-KIND LABOR THAT WE CAN USE AS A MATCH, AND THEN WE WILL NEED THAT ADDITIONAL $1,600 WHATEVER'S. OKAY. THAT WAS MY UNDERSTANDING THERE IS IN SOME OF THESE OTHER CONVERSATIONS, THERE ARE OTHER OPPORTUNITIES THAT WE MIGHT GET SOME ADDITIONAL DONATIONS. MM-HMM. RIGHT. TO HELP US. YEAH. THE FOUNDATION ACTUALLY WE'RE LOOKING AT, THEY, THEY EMAILED US AND SAID WE'D BE GLAD TO COME UP AND DO A LITTLE LECTURE SERIES AND SELL SOME BOOKS AND THAT KIND OF THING, AND CONTRIBUTES SOME OF THE MONEY TO BACK TOWARDS THE PROJECT. SO THAT'S [02:00:01] ALL I HAVE. ANY OTHER QUESTIONS? NO. NOPE. THANK YOU VERY MUCH. THANK YOU. ALRIGHT, THANK YOU. OKAY, MOVING ON IS OUR, UH, [E. Discussion - Criteria for Waiving the 100' Setback from Neighboring Dwellings - Short-Term Tourist Rentals - Chase Lenz] CRITERIA FOR WAIVING THE A HUNDRED FOOT SET BATH FROM NEIGHBORING DWELLINGS. SHORT TERM REYNOLD IS MR. OH, ARE YOU MR. LIN? MR. LIN IS, WAS ON HIS WAY HOME FROM, UH, UH, VIRGINIA FLOODPLAIN MANAGERS ASSOCIATION CONFERENCE TODAY FROM RICHMOND. SO I TOLD HIM I WOULD, UH, BE HIS WINGMAN. SO, UM, ALL RIGHT. SO THE, THE BOARD HAS KIND OF TASKED US AS STAFF TO EVALUATE THE ORDINANCE THAT WAS BROUGHT FORWARD TO YOU WITH SOME SUPPLEMENTAL REGULATION CHANGES. AND THE MAIN CHANGE WAS KIND OF THE BIG CHANGE WAS DO WE GO AHEAD AND WE PUT THE A HUNDRED FOOT SETBACK WITHIN THE DEFINITION AND THE LISTED USE FOR R ONE, WHERE IT BASICALLY MANDATES IT WHERE YOU SAY, OKAY, IF YOU'RE COMING THROUGH THE DOOR AND YOU DON'T MEET THAT WE CAN'T TAKE THE APPLICATION THROUGH. THE OTHER OPTION WAS TO TAKE IT OUT ALTOGETHER, UM, YOU KNOW, FROM BOTH R ONE AND AG. AND, UM, THAT KIND OF LET, I MEAN, AGAIN, THAT'S KIND OF LETTING THE FLOOD DOORS OPEN, THEN THERE'S NO, YOU KNOW, KIND OF POINT AT WHICH YOU CAN SAY, WELL, WE DON'T REALLY FEEL THIS IS A GOOD THING. SO, UH, WE KIND OF GOT THE PICTURE THAT IT SEEMS TO BE WORKING THE WAY IT WORKS TO GIVE YOU THE OPTION TO WAIVE IT. BUT WHAT'S THE NEXT STEP FOR THE BOARD AS FAR AS FINDING AND FIGURING OUT CRITERIA? OKAY. SO JUST BRIEFLY, UH, IN CODE SECTION 180 30, UM, WE LIST IN APPROVE IN APPROVING A CONDITIONAL USE PERMIT BOARD OF SUPERVISORS MAY VARY PROVISIONS OF THIS ARTICLE WHERE THEY ARE DEEMED UNNECESSARY TO PROMOTE THE PURPOSES OF THIS CHAPTER AND MAY IMPOSE SUCH ADDITIONAL CONDITIONS AS ARE NECESSARY TO ACCOMPLISH THE PURPOSES OF THIS CHAPTER. AND THAT'S OUR SUPPLEMENTAL REGULATIONS. SO THAT, JUST SAYING SUPPLEMENTAL REGULATIONS CAN BE WAIVED. YOU CAN WAIVE ANY OF ANY OR WHATEVER YOU WANNA DO. UM, IN ONE SECTION, IN SECTION 180 60 3D, WE LIST THE GENERAL STANDARDS THAT ALL CONDITIONAL USES SHALL SATISFY. WE INCLUDE THIS LANGUAGE IN YOUR COVER SHEETS PRETTY MUCH FOR EVERY MEETING. OKAY. UH, AND SO IF YOU'LL NOTE THREE IS A PRETTY IMPORTANT ONE. THE PROPOSED USE SHALL BE SUCH THAT IT WILL BE HARMONIOUS WITH AND WILL NOT ADVERSELY AFFECT THE USER DEVELOPMENT OF NAMING PROPERTIES, ET CETERA, ET CETERA. I WON'T GO IN, BUT, BUT, UM, SO WE, WE FACTOR THAT IN. AND THEN, UM, CHASE HAS HIGHLIGHTED ALSO IN SIX B ESTABLISH SETBACK SIDE YARD REQUIREMENTS NECESSARY FOR ORDERLY EXPANSION AND THE PREVENTION OF TRAFFIC SUGGESTION. UM, TO ME THE MOST IMPORTANT ONE IS SIX E PREVENTS SUCH USE FROM CHANGING THE CHARACTER AND ESTABLISHED PATTERN OF DEVELOPMENT IN THE COMMUNITY. THAT'S PROBABLY YOUR BIGGEST KEY POINT FOR APPROVING OR DENYING ANY LAND USE, UH, AND CONDITIONAL USE PERMIT. SO, UM, WE HAVE KIND OF THE BASIS FOR STANDARDS THERE, BUT NOT SPECIFICS. OKAY. UM, I'LL MENTION IN, IN, IN 1 180 60 3D THREE THAT THE PURPOSE OF INCLUDING A SETBACK REQUIREMENT FOR SHORT-TERM TOURIST RENTALS IS TO ADDRESS THE LOCATION OF THE USE AND SHALL BE SUCH THAT THE USE WILL NOT HINDER OR DISCOURAGE THE APPROPRIATE DEVELOPMENT OR USE OF ADJACENT NEARBY LAND AND OR BUILDINGS OR IMPAIR THE VALUE THEREOF. I THINK A LOT OF WHAT WE HEAR IS THIS IS GONNA, UH, BE, UH, DERELICT TO MY, UH, THE USE OF MY PROPERTY, AFFECT MY, UH, PROPERTY VALUES AND CERTAINLY, UH, UH, IMPACT MY PRIVACY AND MY SECURITY OF WHERE I LIVE. AND, UM, SO WE LOOK AT THAT AND THAT'S A FACTOR THAT YOU KINDA LOOK AT, LOOK AT. UM, THE CHALLENGE WE HAVE IS THAT IT'S REALLY IMPOSSIBLE TO CODIFY CRITERIA FOR THE SETBACK WAIVER THAT WOULD ADDRESS EVERY POSSIBLE SITUATION WHERE A HUNDRED FOOT SEPARATION IS NOT NECESSARY. AND I'M READING THIS OFF BECAUSE IT'S JUST, I DIDN'T WANNA MEMORIZE IT. UH, WITH SPECIFIC [02:05:01] CRITERIA, THERE WILL OFTEN BE A DISAGREEMENT AND WHETHER A CERTAIN PROPOSED SHORT-TERM TAURUS RENTAL PROPERTY MEETS THOSE CRITERIA, DECIDING WHETHER THE A HUNDRED FEET OF SEPARATION IS NECESSARY IS AT THE BOARD'S DISCRETION, IT SHOULD BE CONSIDERED ON A CASE BY CASE BASIS FOR THE SPECIFIC PROPERTY AND ITS SPECIFIC LOCATION. UM, WHAT I'D LIKE TO DO IS JUST GO OVER SOME OF THE CRITERIA THAT THAT STAFF CAME UP WITH. OKAY. AND, AND ALSO PLEASE MAKE A NOTE, THIS CRITERIA IS NOT SPECIFIC TO POAS OR HOAS OR THEIR RESTRICTIVE COVENANTS. UH, THE PLANNING COMMISSION IN MAKING MANY OF THEIR DECISIONS HAVE SAID, WELL, WE DON'T ENFORCE THE POA OR HOA RESTRICTIVE COVENANTS, BUT THEIR RESTRICTIVE COVENANTS ARE MEANT IN MANY WAYS TO, YOU KNOW, SET A STANDARD FOR THEIR OWN COMMUNITY. AND A, UH, A, A CHECK MARK MIGHT BE FOR THE, THE BOARD AND THE PLANNING COMMISSION TO SAY, ARE WE GONNA MAKE IT MORE DIFFICULT ON THAT POA OR HOA TO ENFORCE THEIR RESTRICTIVE COVENANTS AGAINST THIS LAND USE? UM, AND HOW MUCH SHOULD WE FACTOR THAT IN? WE NOTIFY THEM, WE NOTIFY THE P-O-A-H-O-A OF OF THESE APPLICATIONS COMING THROUGH. THAT'S WHAT THE CURRENT CODE REQUIRES US TO DO. IT DOESN'T SAY ANYTHING ABOUT YOU AS THE BOARD OR THE PLANNING COMMISSION ACCEPTING THEIR, THEIR COMMENTS. SO CONSEQUENTLY, THIS IS A DISCUSSION THAT I THINK WE ARE GOING TO BE HALF HAVING AS WE MOVE FORWARD WITH AMENDING THE, THE EXISTING SUPPLEMENTAL REGS. AND, UM, AND LOOKING AT SOME OF THIS CRITERIA I WILL MENTION, UH, FOUR POINTS OF CRITERIA THAT WE DID COME UP WITH WAS, UH, NUMBER ONE, THERE'S AN ESTABLISHED PATTERN OF DEVELOPMENT OF SHORT-TERM TOURIST RENTAL PROPERTIES IN THE COMMUNITY. IF THERE'S AN EXISTING PATTERN, WE'VE GOT 'EM, YOU KNOW, YOU'RE NOT REALLY SETTING A PRECEDENT, BUT IF YOU'VE GOT A SMALL COMMUNITY, SMALL SUBDIVISION AND THEY, THEY DON'T HAVE THEM, UH, YOU'D BE SETTING THAT PRECEDENT AND YOU'D BE POTENTIALLY SETTING IT UP TO CHANGE THAT CHARACTER. TWO, THE PROPERTY OF SUFFICIENT EXISTING SCREENING AND OR CAN BE REQUIRED TO HAVE SUFFICIENT SCREENING FROM NEIGHBORING RESIDENTS BY A CONDITION PLACED ON A PERMIT TO DEEM THE SETBACK REQUIREMENT UNNECESSARY TO PROMOTE THE PURPOSES OF THIS CHAPTER. A CONDITION COULD BE ADDED. UH, THREE, THE SHORT TERM TOURIST RENTAL IS LOCATED IN A FLOODPLAIN OVERLAY DISTRICT AND OR IS NONCONFORMING. AND THE LINEAR SETBACK OF 50 FEET FROM THE EDGE OF THE REGULATORY FLOODWAY REQUIRED FOR RESIDENTIAL CONSTRUCTION UNDER OUR CODE SECTION FOR A FLOODPLAIN OVERLAY. SO YOU LOOK AT THAT, THIS HOUSE WAS BUILT A LONG TIME AGO. IT DOESN'T MEET THE SETBACKS, BUT IT'S A GREAT PLACE TO HAVE SOMEBODY COME AND VISIT ON THE WEEKENDS AND NOT HAVE TO WORRY ABOUT LIVING THERE ON THE RIVER AND POTENTIALLY HAVING THEIR HOME, YOU KNOW, FLOODED OUT. UM, SO THAT COULD BE SOMETHING, YOU KNOW, WE WOULD, YOU KNOW, YOU COULD FACTOR IN. AND THEN FOR THE SHORT-TERM, TAURIST RENTAL IS NON-CONFORMING TO THE MINIMUM SIDE OR REAR YARD DEPTH RE REQUIREMENT OF THE APPLICABLE ZONING DISTRICT REGULATIONS AND FURTHER ENCROACHMENT OF SHORT-TERM TAURIST RENTAL INTO THE MINIMUM SETBACK TO NEIGHBORING DWELLINGS IS PROHIBITED. SO YOU HAVE THAT NON-CONFORMING STRUCTURE, AND IT'S LIKE, IT'S BEEN THERE, IT WAS THERE WAY BEFORE THE ORDINANCE WAS BROUGHT, YOU KNOW, WAS AMENDED. DO YOU, DO YOU LOOK AT THAT AND IF IT'S NOT REALLY IMPACTING THE NEIGHBOR, DO THE FACTOR OF THAT IN? SO, UH, I'M GONNA KEEP THIS, UH, UH, I TRY TO KEEP THIS A LITTLE BRIEF, BUT I'LL JUST MENTION WHAT WE, A BIG PART OF WHAT WE HAVE IN OUR, IN PLANNING IS, IS A COMMUNICATION CHALLENGE BETWEEN THE POA HOAS, THE CITIZENS, THE SHERIFF'S DEPARTMENT, AND OUR STAFF. MANY OF, MUCH OF THIS CAN BE REMEDIED THROUGH PROCESS AND PROCEDURES TO IMPORT PROVE REPORTING OF ALLEGED VIOLATIONS. SO OBVIOUSLY WE DON'T WANT TO APPROVE AND SET PEOPLE UP FOR FAILURE, BUT IF THEY DO VIOLATE THE ORDINANCE AND VIOLATE, WE NEED TO HEAR ABOUT IT AS STAFF, BECAUSE RIGHT NOW, UNFORTUNATELY, EVEN WITH OUR REVIEW ON AN, WE TRY AND REVIEW ON AN ANNUAL BASIS, WE JUST DO NOT GET THE CALLS ON THESE ON SHORT TERM TORS RENTALS. USUALLY WE GET 'EM BEFORE THEY'VE BEEN GOING THROUGH THE PROCESS, THEY MOVE TO THE COUNTY, THEY START IT, AND THEY DIDN'T KNOW THAT, YOU KNOW, THEY JUST DO IT. AND THEN WE, WE FIND OUT ABOUT 'EM, AND THEN WE HAVE TO CITE 'EM. SO, UM, YOU KNOW, ESSENTIALLY THAT'S IT. THAT'S WHAT I HAVE FOR YOU TONIGHT. WE, I DO PLAN ON, I'LL BE MEETING WITH, UH, RESIDENTS AND, UH, POA FROM, UH, SKYLINE ESTATES TOMORROW AFTERNOON, AND THEY'RE [02:10:01] GONNA PROVIDE ME WITH A LIST OF SOME OF THEIR CRITERIA SPECIFIC TO THEIR, UH, UH, UH, REGULATIONS OR CON UH, UH, REGULATIONS THAT THEY HAVE. AND SO WE'LL, UH, WE'LL DISCUSS THAT MATTER. BUT, UM, FOR, FOR TONIGHT, AND TRY TO BE A LITTLE MORE BRIEF, UM, THAT'S ALL I HAVE. OKAY. SORRY. ARE THERE ANY QUESTIONS? SO IF I UNDERSTAND THAT PRETTY MUCH BUSINESS IS NORM AND JUST THAT WE WOULD HAVE A SEPARATE, UM, CRITERIA AS A CHECKLIST THAT A BOARD A SUPERVISOR CAN USE TO MAKE A DECISION IF THEY WANNA WAIVE THIS OR NOT? YES. WHAT WE'RE TRYING TO, WHAT WE WOULD LIKE TO DO IS WE WOULD LIKE TO HA AT LEAST BE ABLE TO AMEND THE ORDINANCE, TAKE IT BACK TO THE PLANNING COMMISSION WITHOUT THE A HUNDRED FOOT SETBACK BEING AFFECTED. BUT WITH THE MODIFICATIONS THAT WE'RE REQUESTING FOR, UM, THE AMENDMENTS TO CLEAN UP THE, UM, SUPPLEMENTAL REGULATIONS, UM, THERE ARE A COUPLE OF ITEMS THAT WE HAVE REWORDED TO HOPEFULLY KIND OF ALLEVIATE SOME OF THE CONCERNS OF THE POA HOAS, BUT WE CAN ALSO, IF WE DO THIS IN JANUARY, BRING IT BACK IN JANUARY AFTER MEETING WITH THE POAH HOAS, MAYBE WE CAN COME UP WITH SOME ADDITIONAL LANGUAGE THAT IS LEGALLY ENFORCEABLE. AND THAT'S THE BIG ISSUE IS, IS IT LEGALLY ENFORCEABLE? CAN WE ACTUALLY DO THIS? AND WE WILL RUN THAT BY OUR LEGAL, UH, DEPARTMENT OBVIOUSLY. SO, ABSOLUTELY. UM, BUT WITH THAT, WE WILL ALSO PROVIDE KIND OF THAT CHECKLIST THAT, UH, IF WE CAN CODIFY IT, IF THE, IF LEGAL SAYS THAT'S SOMETHING THAT YOU CAN DO, WE DO THAT. OR IF IT'S SOMETHING THAT WE SHOULD NOT DO WHEN THEY'RE RECOMMEND AT LEAST IT WILL BE A CHECK MARK, YOU CAN FACTOR THAT IN, IN THE WHOLE, UM, APPLICATION FOR THAT SPECIFIC SITE. AND IF IT CAN BE, UM, AMENDED THROUGH A CONDITION, IF WE CAN PUT A CONDITION ON IT, YOU KNOW, THAT THAT'S SOME ADDITIONAL REGULATION FOR THAT SPECIFIC SITE THAT WE CAN ADDRESS IF IT'S TO BE APPROVED OR IT GIVES YOU REASON TO DENY. SO, SO I, I'M LOOKING AT THE ORDINANCE RIGHT NOW, SO, UM, CAN YOU, WHEN, UH, WE REMOVE ZONING PERMIT OR CONDITIONAL USE PERMIT AND YOU SUBSTITUTED IT FOR, UM, CERTIFICATE OF ZONING? IS THAT, OH, THAT, THAT'S, AGAIN, THAT'S THE KIND OF CLEAR THING. CLEAN THINGS UP. OKAY. THAT CERTIFICATE OF ZONING THAT'S REQUIRED WHEN EVERYTHING HAS BEEN MET FOR THE, THE POST-APPROVAL PROCESS, THE, THE, THE, UH, BUILDING, UH, INSPECTION HAS DONE THEIR INSPECTION ON THE FIRE AND SMOKE DETECTION SYSTEM, A CHANGE OF USE HAS BEEN DONE, EVERYTHING ELSE, THEN WE, AND ONLY THEN WILL WE ISSUE THE CERTIFICATE OF ZONING, AND THEN, AND ONLY THEN CAN THEY GET THEIR BUSINESS LICENSE TO OPERATE IT. IF THE, IF IT WAS AN EXISTING CONDITION, UH, SHORT TERM TOURIST RENTAL AND IT WAS PURCHASED, AND THAT NEW PERSON IS BUYING THAT PROPERTY AND WANTS TO CONTINUE IT, THEY HAVE TO COME THROUGH US FOR THAT CERTIFICATE OF ZONING, WE'LL REVIEW THE A, WE WILL REVIEW IT, MAKE SURE IT, YOU KNOW, IT'LL BE AT OUR DISCRETION TO INSPECT IT, BUT WE'LL MAKE SURE EVERYTHING ELSE IS IN ORDER. AGAIN, IT'S A HUNDRED DOLLARS FEE FOR THAT. AND THEN THEY ARE REQUIRED TO HAVE THAT IN ORDER, AGAIN, TO GET THEIR BUSINESS LICENSE TO, TO REOPEN IT UNDER THEIR NAME. OKAY. SO THAT'S THAT PARTICULAR ONE. AGAIN, CASE OF JUST KIND OF CLEANING THINGS UP, I'LL JUST, I'LL POINT TO, UH, I, UM, THE, THE ADDITION THAT WE'VE HAD ON THAT, THAT WE ARE, THAT CAME UP WITH, AND AGAIN, THIS IS SUBJECT TO CHANGE, BUT IF THE PROPERTY'S LOCATED WITHIN THE SUBDIVISION GUAR GOVERNED BY A HOMEOWNER'S ASSOCIATION, PROPERTY OWNER'S ASSOCIATION, THE PLANNING DEPARTMENT MUST REQUEST COMMENTS. THIS IS OUR, OUR NEW, UH, LANGUAGE AND ANY RECORDED RESTRICTIVE COVENANT, WHICH IS EXPRESSLY, WHICH EXPRESSLY PROHIBITS SHORT-TERM TORS RENTALS FROM THE H-O-A-P-O-A AS PART OF THE CONDITIONAL USE PERMIT PROCESS. SO WE WOULD WANT TO SEE THEIR RESTRICTIVE COVENANTS TO SAY, OKAY, IT'S NOT JUST A FEW PEOPLE SAYING, WE DON'T WANT THIS. YOU KNOW, IF YOUR RESTRICTIVE COVENANT SAYS THAT THE PLANNING COMMISSION AND THE BOARD MIGHT BE MAKING YOUR JOB HARDER BY APPROVING THIS, YOU KNOW, UM, BECAUSE YOU DON'T WANT IT AND IT SAYS IT THERE, BUT IF THE COUNTY SAYS IT'S OKAY, THEN, YOU KNOW, THEN YOU'RE SETTING THEM UP FOR A, A CIVIL SUIT BETWEEN THE THEM OR POTENTIALLY THE COUNTY, [02:15:01] I GUESS. UM, AND THAT'S A KIND OF A LEGAL THING, BUT, UM, A, A BIG PART OF IT IS THE PLANNING COMMISSION AND BOARD HEARING THE POA HOAS MM-HMM. AND WHAT THEIR POSITIONS ARE AND WHAT THEIR PARTICULAR CRITERIA IS AND, AND WHAT THEIR RESTRICTIVE COVENANTS SAY. SO IT'S JUST, AGAIN, THIS IS NOW WHAT WE'RE LEARNING, YOU KNOW, AND THE POAH HOAS ARE, ARE, ARE FINDING THAT WITH THE AMOUNT THAT WE'RE COMING IN, IT'S, IT'S IMPACTING THE CHARACTER IN THE HARMONY OF THEIR COMMUNITY. AND THAT'S, YOU KNOW, BASICALLY ADVERSELY WHAT WE, WHAT THE CODE SAYS. I MEAN, THAT'S WHAT THEY'RE FEELING, SO, RIGHT. UM, BUT, UH, SO I COULD GO THROUGH 'EM ALL, BUT IT'S A LOT LONGER. OH, NO. YEAH. , IS THERE ANY OTHER QUESTIONS ANYBODY HAS? WELL, I JUST WANNA THANK THE PLANNING DEPARTMENT AND REALLY TRYING TO DEEP DIVE INTO THIS. AND I'M TRY TO FIND A GOOD COMPROMISE FOR EVERYBODY'S WORK CARD. I'M GONNA I'M GIVE HIM CREDIT. I REALLY, I REALLY APPRECIATE YOUR TIME. YOU'RE WELCOME. I TRULY DO. YOU'RE WELCOME. YOU'RE WELCOME. SO ARE WE OKAY THAT WITH YOUR QUESTIONS? THANK YOU VERY MUCH. OKAY. UHOH. ALL RIGHT. ALRIGHT. THANK YOU MATT. UH, SO OUR LAST DISCUSSION [F. Discussion - Warren County Handbook Personnel Policies & Procedures - Kayla Darr/Jane Meadows ] IS THE WARREN COUNTY HANDBOOK. SO WHAT, YES, WE WOULD LIKE TO HOLD THAT FOR DECEMBER, MA'AM, THAT'S GONNA BE AN EXTENSIVE DISCUSSION AND WE ASK ALL OF YOU TO CONTINUE LOOKING AT THAT. AND WHEN YOU HAVE QUESTIONS IN IT, EITHER CALL KAYLA OR CALL JANE OR EMAIL ONE OF THEM. KIND OF LIKE THE LITTLE LIST YOU SENT IN MADAM CHAIR. YEP. MM-HMM. SO THAT WE CAN ADDRESS THOSE BEFORE AND THEN IT'LL COME BACK, UH, HOPEFULLY DECEMBER FIVE. I'VE GOT SOME OTHER THINGS TO TALK ABOUT FOR DECEMBER FIVE, BUT YEP. PERFECT. WE'LL TRY AND COME BACK TO THAT SO THAT WE CAN MOVE DOWN TO THE BUDGET SCHEDULE. OH, OKAY. OFF THE HOOK . NOT REALLY. WE'RE JUST FIGURING, I KNOW WE'RE JUST SWAPPING OUT ONE THING FOR ANOTHER. SO THE MESSAGE I'M, I'M TAKING AWAY FROM HERE IS THAT EVERYONE WHO HAS ANY QUESTIONS ON THIS POLICY TO GO AHEAD AND, AND PLEASE READ IT. YES. IT'S NOT THAT BAD OF A READ EITHER. SO, YEAH. SO THAT WHEN KAYLA COMES UP AND PRESENTS IT, YOU ALREADY KNOW WHAT'S, WHAT'S IN THERE, WHAT'S ALREADY IN IT, YOU'VE SEEN IT. MM-HMM, . UM, IT'S, UM, IT'S ON OUR, IT'S ATTACHED TO OUR AGENDA RIGHTS, SO, SO, UM, OUR NEW BOARD MEMBERS CAN JUST GET ONLINE AND DOWNLOAD IT. YOU GOT IT. PERFECT. OKAY. ALRIGHT, SO WE'LL MOVE ON AND LAST AND, BUT LAST BUT [I. Discussion - FY 2025 Budget Process and Proposed Calendar] NOT LEAST IS OUR FISCAL YEAR 25 BUDGET PROCESS AND PROPOSED CALENDAR. SO WE HAVEN'T DONE THE CALENDAR YET, MA'AM. UH, YOU HAVE A LITTLE BLANK CALENDAR TO LOOK AT AND YOU HAVE A DRAFT GENERAL OUTLINE OF WHAT IS GONNA BE IN THE BUDGET. SO IF I CAN BACK OFF OF THIS FOR JUST A SECOND, I'M RIGHT BACK TO IT. NEXT WEEK YOU HAVE YOUR REGULAR MEETING, YOU HAVE A SIGNIFICANT NUMBER OF AUTHORIZATIONS AND THE NUMBER OF APPROVALS IN THERE. AND, UM, WE WILL GO OUT ON THURSDAYS AND WHATEVER'S NOT DONE IS NOT GONNA, NOT GONNA BE ON THERE. UM, THE 28TH YOU HAVE A, UH, FULL SLATE OF PUBLIC HEARINGS. DECEMBER 5TH, WE HAVE FIRE AND RESCUE, WE HAVE PUBLIC WORKS, AND THE FIRST ITEM WILL BE THE EMPLOYEE HANDBOOK. WE MAKE IT FIRST, THIS IS THE THIRD TIME. NOW THE THIRD TIME IT'S GONNA BE A TIME. THAT'S WHAT THEY SAY. WE'RE GOING TO GET IT IN THERE. THE 12TH WILL BE YOUR REGULAR MEETING FOR THE MONTH OF DECEMBER THE 18TH WILL BE THE OATH OF OFFICE CEREMONY OVER IN THE COURTHOUSE THE 19TH, WE WILL HAVE A WORK SESSION TO REVIEW SOME OF THE ITEMS WE WERE TALKING ABOUT, UM, GETTING THE COUNTY ATTORNEY GETTING SOME DIRECTION AND INSTRUCTIONS. WE'LL BE TALKING ABOUT THEM AGAIN. SO IN PREPARATION FOR THE JANUARY 2ND REORGANIZATION MEETING, UM, BUDGET, IF YOU LOOK AT THE SHEET, THEN YOU [02:20:01] SEE THAT WE'VE ALREADY SENT OUT THE NOTICES AND THE BUDGETS ARE DUE FROM THE DEPARTMENTS ON THE 5TH OF DECEMBER. AND MID-YEAR TRANSFERS, IF ANY, WILL BE SUBMITTED BY THE 15TH. AND MANY JANUARY IS WHEN YOU WILL MEET WITH THE PARTNER AGENCIES. WE USUALLY DO THOSE IN TWO, MAYBE THREE EVENINGS. FEBRUARY, YOU MEET WITH THE CONSTITUTIONAL OFFICES AND DEPARTMENT HEADS AND REVIEW THEIR REQUESTS. AND THAT AGAIN, TAKES, UH, TWO TO FOUR EVENINGS. UM, COME TO MARCH YOU HAVE THE JOINT BOARD SUPERVISOR, THEN THE SCHOOL BOARD MEETING. AND IF YOU LOOK AT THE CALENDAR, THE BUDGET HAS TO BE ADOPTED BY JUNE THE 30TH. SO IN ESSENCE, IT NEEDS TO BE ADOPTED JUNE THE 28TH. IT HAS TO BE, THE PUBLIC HEARING HAS TO BE AT LEAST SEVEN DAYS BEFORE THE ADOPTION. AND THE ADVERTISEMENT WITH THE FULL BUDGET HAS TO BE AT LEAST SEVEN DAYS PRIOR TO THE HEARING. SO YOUR DROP DEAD DATE, IF YOU WILL, FOR THE BUDGET FORMATION, IS GOING TO BE THAT SECOND WEEK OF JUNE THAT YOU NEED TO HAVE A BUDGET, YOU NEED TO PUBLISH IT AND HAVE THE HEARING AND THEN ADOPT IT A WEEK LATER. 'CAUSE OF THE TIMING OF THE HEARING YOU DROP DATE IS REALLY THAT FIRST WEEK OF JUNE THAT YOU NEED TO HAVE A BUDGET THAT YOU'RE READY TO ADVERTISE. NOW FOR TAX PURPOSES, YOU NEED TO BACK UP TO LOOK THAT THE TAX BILLS GO OUT THE END OF APRIL, FIRST WEEK OF MAY, AND THEY TAKE THE TREASURER AND THE COMMISSIONER APPROXIMATELY THREE WEEKS TO PREPARE. SO THAT PUTS YOU THE VERY END OF MARCH, THE BEGINNING OF APRIL THAT YOU, THE BOARD WILL NEED TO CONSIDER SETTING THE TAX RATE AND DECIDE WHAT YOU WANT TO DO WITH THAT. AND THAT IF THE BUDGET IS NOT COMPLETED AT THAT TIME, THEN THAT WILL LOCK IN WHAT THE BUDGET PARAMETERS ARE. THE BEST OF ALL WORLDS IS TO ADOPT THE BUDGET THE SAME TIMEFRAME, THE END OF MARCH WHEN YOU ADOPT THE TAX ORDER. AND IF YOU DON'T DO THAT, YOU'LL BE LOCKED IN. MM-HMM, . SO WHAT WE WOULD LIKE TO ASK YOU TO TAKE HOME FOR HOMEWORK TO THINK ABOUT IS WHAT DAYS OF WEDNESDAYS AND THURSDAYS IN FEBRUARY AND JANUARY MIGHT BE AVAILABLE TO A, MEET WITH DEPARTMENT AGENCIES AND B MEET WITH THE DEPARTMENTS AND THE CONSTITUTIONAL OFFICERS. AND THEN IN MARCH WE WILL HAVE A COUPLE OF THE END MEETINGS WHERE YOU GO THROUGH, YOU HAVE THE WHOLE BUDGET THERE AND YOU GO THROUGH TO SEE IF THERE'S ANY QUESTIONS ON ANY PARTICULAR LINE ITEMS, WHATEVER YOU WANNA LOOK AT. UM, SO WE WOULD LIKE TO KNOW WHAT OPTIONS ARE AVAILABLE THERE. WE HAVE FIVE TUESDAYS IN JANUARY. WE'RE LOOKING AT ONE OF THOSE TUESDAYS, PROBABLY THE LAST ONE. WE CAN START SOME OF THESE SO THAT WE'LL BE ABLE TO HAVE SOME OF THOSE MEETINGS THE END OF JANUARY RATHER THAN WAITING TILL FEBRUARY. AND THAT'S BASICALLY WHAT WE HAVE RIGHT NOW. CAN WE GO BACK TO DECEMBER, DID YOU SAY? WE HAVE A MEETING AND WHAT THAT MEETING WAS ON DECEMBER 19TH. DECEMBER 19TH. WE'RE LOOKING AT A WORK SESSION TO FINALIZE EVERYTHING FOR THE ORGANIZATIONAL MEETING. JANUARY 2ND, IT WOULD BE A WORK SESSION, A FORMAL MEETING FOR DECEMBER WILL BE THE 12TH. IS THAT GONNA BE A PROBLEM WITH STAFF? I MEAN, THAT'S THE WEEK OF CHRISTMAS. I'M JUST, WELL, THE WEEK BEFORE CHRISTMAS ACTUALLY, THEY'RE ALWAYS THRILLED WHEN WE COME UP WITH THESE IDEAS. WELL, BUT I THINK WE'LL HAVE, WE'LL HAVE SOME ITEMS THAT WE NEED TO GET COVERED THAT WE HAVE NOT COVERED YET BEFORE. UH, YOU ARE READY TO BEGIN JANUARY 2ND, AND IT [02:25:01] MAY BE A MINIMUM NUMBER OF STAFF THAT NEEDS TO BE HERE. PROBABLY NOT ANY OF THE LINE DEPARTMENTS. SO IF WE DO FIRE AND RESCUE AND PUBLIC WORKS ON THE FIFTH, THEN WE PROBABLY WON'T DO ANY MORE OF THOSE PRESENTATIONS UNTIL MID JANUARY. BUT THIS WOULD BE A MEETING, UH, MR. HAM WOULD COME BACK AND TALK ABOUT SOME OF THE ITEMS HE WAS TALKING TO YOU ABOUT THIS EVENING TO FINALIZE AND GET THEM READY FOR ADOPTION. SO TO SUMMARIZE OUR HOMEWORK ASSIGNMENT, OKAY, SO WE WANNA LOOK AT THE DATES HERE FOR JANUARY AND FEBRUARY AND PICK THE, UM, THE DAYS ON WEDNESDAYS OR THURSDAYS THAT WE CAN REVIEW THE, UM, THE ORGANIZATION'S BUDGETS. AND THAT'S WHERE WE SIT AND THEY, WE TALK TO THEM AND THEY LAY OUT THEIR LINE ITEM AND WE'RE HERE UNTIL MIDNIGHT AND ALL THAT KIND OF THING. RIGHT. OKAY. SO THAT'S THE FIRST TASK AT HAND THAT WE NEED TO DO. THEN YOU WERE MENTIONING THAT IN, UH, THAT WE CAN UTILIZE OUR TUESDAY MEETING TO DO THIS AS WELL. YOU HAVE AN EXTRA TUESDAY, AN EXTRA TUESDAY IN JANUARY. IN JANUARY. OKAY. SO WE CAN TAKE THAT JANUARY 30TH DATE AND MAYBE DO SOME OF THE DEPARTMENTS THAT EVENING. OKAY. SINCE WE'LL DO, IF WE DO THE PUBLIC HEARINGS THE 23RD AND BECAUSE WE'LL, WE'LL NEED A PUBLIC HEARING MEETING IN JANUARY BECAUSE WE'RE GONNA HAVE NOVEMBER AND DECEMBER BOTH FROM THE PLANNING COMMISSION. MM-HMM. . OKAY. AND AFTER THAT, IF WE ONLY HAVE TWO, AS THE BOARD WAS TALKING, WE ONLY HAVE TWO OR THREE HEARINGS, THEN WE CAN DO THEM ON A, ON THE THIRD WEEK THERE. OKAY. UH, JUST P CAN GET BACKED UP WITH A LARGE NUMBER. AGAIN, WE MAY WANT TO HAVE A SPECIAL MEETING FOR PUBLIC HEARING, BUT THE IDEA IS TO USE THAT JANUARY 30TH TO GET SOME OF THESE AND TO BE ABLE TO PROBABLY ALSO USE FEBRUARY 27TH. MM-HMM. . AND THEN MARCH WOULD BE THEN IF YOU HAD GONE THROUGH EVERYTHING, IT WOULD BE JUST THE SCHOOL BOARD PLUS HAVING TIME TO GO BACK THROUGH AND LOOK AT THE INDIVIDUAL LINE ITEMS AGAIN. OKAY. ALL RIGHT. SO, UM, I SHOULD KNOW THIS, BUT HOW MANY DEPARTMENTS ARE WE GONNA BE, UM, TALKING WITH UNDER BUDGET APPROXIMATELY? I KNOW I CAN GO BACK TO LAST YEAR AND COUNT, BUT IF YOU, APPROXIMATELY 15. ABOUT 15 MM-HMM. OKAY. AND SO HOW MANY, UM, HOW LONG ARE WE GONNA GIVE THEM? I MEAN, LAST, I, I AM SORRY. I'VE DONE THIS FOR TWO YEARS AND THIS 15 MINUTES IS JUST NOT ENOUGH TIME. UM, WE CAN GIVE, WE CAN GIVE THEM AS LONG AS YOU'D LIKE. SO SOME OF THEM NEED MORE TIME BECAUSE RIGHT. WHAT THEY HAVE AND, UH, SO WE'LL PROBABLY SCHEDULE THE LARGER ONES FOR AT LEAST 30. OKAY. THAT'S A SMART THING. YEAH. OKAY. AND, UH, LOOK AT SOME OF THE, UH, AT LEAST 30 FOR, UH, THE CIP AND AT LEAST 30 FOR ASSETS. RIGHT. UM, A GOOD, UH, A GOOD HOUR FOR REVENUES. MM-HMM. . IF, UH, MADAM CHAIR, IF I COULD MAKE THE RECOMMENDATION THAT, UH, THAT WE DO LIKE WE DID LAST YEAR, WHICH WAS, YOU KNOW, HOLD THESE IN THE EVENING BECAUSE THE PREVIOUS YEAR WHEN WE HELD MOST OF THEM AT DURING THE DAY, I, I COULD ONLY MAKE ABOUT HALF OF THOSE. OKAY. OKAY. SO YOU START AT LIKE FIVE O'CLOCK OR SIX O'CLOCK AND HAVE A SNACK FOR YOU OR SOMETHING AND SHOULD GO AT IT. CAN WE HAVE THESE TAPED AS WELL SO WE CAN REFER BACK TO THEM WHEN WE ARE TRYING TO JOG OUR MEMORIES DO RECORDED? YES. UM, AND BY RECORDED, I MEAN, DO YOU MEAN THE VIDEO? A VIDEO ON A VIDEO? YEAH. OKAY. IT'S, I MEAN, IT'S, YOU KNOW, YOU HEAR SO MUCH AND YOU'RE GOING FROM ONE TO THE OTHER THAT IT'S GOOD TO BE ABLE TO GO BACK AND REVISIT IT TO SEE IF YOU MISSED ANYTHING. SO ARE YOU RECOMMENDING THAT WE LIVESTREAM IT FOR THE PUBLIC? IS THAT WHAT YOU MEAN? WE CAN, AS FAR AS I'M CONCERNED, PROCESS THIS. OKAY. BEFORE YOU DECIDE. YEAH, ABSOLUTELY. I JUST WANNA UNDERSTAND YOU CAN'T RECORD IT WITHOUT LIVE STREAMING IT. WELL, I DON'T THINK LIVESTREAM, AS LONG AS IT'S RECORDED, I COULD BRING, REQUEST MY IPAD AND SET IT UP RIGHT OVER THERE AND JUST RECORD IT. OKAY. WHATEVER, WHATEVER WORKS. THINK THAT WOULD BE MUCH LESS. YEAH. I MEAN, I DON'T, I DON'T CARE IF IT'S LIVESTREAMED. WE CAN, IF IT, IT SOMEHOW CAN BE PUT OUT IF IT'S REQUESTED. [02:30:01] UM, BUT I JUST THINK IT'S A GOOD IDEA TO HAVE IT, TO BE ABLE TO REFER BACK. OKAY. I, I DO LIKE THAT IDEA. YEP. OKAY. PERFECT. I DO LIKE THAT IDEA. YEAH, WE'LL CHECK INTO THAT. MM-HMM, . AND, UM, LAST, SO WHEN IS OUR HOMEWORK ASSIGNMENT DUE? WE'LL BE TALKING ABOUT THIS AGAIN ON THE FIFTH, MA'AM. ON THE FIFTH. OKAY. WE'D LIKE TO HAVE ANY INPUT, PARTICULARLY ON DATES IN THAT OR DAYS THAT NOT AVAILABLE, EXCEPT THAT WE NEED TO X OFF THE CALENDAR. WE'D LIKE TO HAVE THAT TO MAYBE NEXT WEEK IF WE COULD TO START. SO WHEN WE PUT IT IN THIS CALENDAR TOGETHER FOR THE FIFTH, WE CAN TAKE THOSE DAYS OFF. OKAY. YOU DON'T HAVE TO WORRY ABOUT THAT. I WAS GONNA SAY, SO MR. JAMESON AND YEAH. AND MR. SAMMI ARE GONNA BE HERE, BUT YEAH, YOU GUYS CAN THROW YOUR TWO SONS IN. THAT'S WHAT, AND I'M AVAILABLE IF YOU HAVE ANY QUESTIONS, SO YEAH, NO WORRIES THERE. YEAH, IT'S ALL HELPFUL AND I APPRECIATE IT AND WE'LL COORDINATE WHOEVER. YEP, ABSOLUTELY. OKAY. IS THAT IT? YES, MA'AM. THAT'S IT, OFFICER. ALL RIGHT. OOH, OKAY. IT'S LATE. IT'S LATE. SO, UH, THANK YOU EVERYBODY. AND, UM, DO I HAVE A MOTION TO ADJOURN OUR MEETING, MADAM? SO MOVED. SECOND. ALL IN FAVOR, PLEASE SAY AYE. AYE. AYE. THANK YOU VERY MUCH. THANK. * 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.