Houston City Council Notes, prepared by Emily J Hynds

Agenda

1. Monthly Financial Report
2. Mayor’s Report
3. Consent Agenda (items that require a vote, like purchases, resolutions, ordinances, etc.)
4. Council Member Pop-Off

Monthly Financial Report

Controller Hollins and Finance Director Dubowski both made their respective reports, including the Quarterly Investment Report.

• Hollins said that “investments are $15M higher than last year,” which he attributes mostly to federal grants after natural disasters. Hollins said the City needs to better financially prepare for disasters. “While we understand the unpredictable nature of these storms, we continue to fall short in preparing.” He referenced the uncertainty of federal funds and encouraged self-reliance.
• Hollins urged attention to Houston’s aging infrastructure system, which is “hemorrhaging more than 30 billion gallons of water each year.”
• He said the City’s “projected fund balance for the end of this fiscal year is $350M, while the general fund is operating at a structural deficit of more than $200M.” Credit rating agencies are taking note.

On Friday, the Texas Supreme Court ruled that Houston must pay $100M more annually into the Dedicated Drainage and Street Renewal Fund (DDSRF). This is a complicated lawsuit going back to 2019. I do not have the time or mental energy to go into it, but on the resource slide / final section, you will find a link to a Houston Chronicle article that can get you started.

• Hollins said, “We knew this was possible but preparations were not made,” and, “This is not rhetoric, this is reality.” He warned the situation is dire enough that he might not be able to certify the next annual budget.
• Hollins recommended a “joint emergency task force” to come up with options. “We can start by asking the plaintiffs in the drainage lawsuit to negotiate a phase-in of these costs over time.”

Director Dubowski was less doom and gloom.

• She said the State of Texas is reimbursing Houston for nearly all money spent on storm-related debris collection in 2024.
• She agreed that Houston does need to refill its budget stabilization fund, but that task is easier now that relations with the State government are better.
• Responding to Hollins re: federal funding uncertainty, Dubowski pointed out that FEMA is not included on Trump’s list of aid to be reviewed and that he unfroze federal funding already. She did not seem concerned about future financial support from the federal government.
• Regarding the drainage lawsuit, Dubowski said this lawsuit has been ongoing since 2019 and did not come out of left field. She pointed to METRO assuming $50M in costs the City formerly used for HPD and traffic signals as a way to ease financial strain on the City. She foresees more collaborations like this in the future to make up for the extra $100M the City is required to set aside for funding.

CM Alcorn asked the Legal Department about a potential loophole in the revenue cap to offset the $100M. Attorney Michel said they’re looking into it. When Alcorn asked for clarification on the budget surplus, Controller Hollins pointed out that the $50M from METRO is already baked into the budget and should not be considered as offsetting the lawsuit money. Dubowski took issue with this. She said the METRO funding was not an accident. “We started collaborating with METRO to bring this money in because we knew this judgment was out there. We know we have a structural deficit and we are proactively working on getting as many dollars in the door as we can.”

CM Kamin asked if the City will be required to pay the extra $100M this fiscal year, or if it will start next fiscal year. Attorney Michel said that *technically* it’s due June 30 (which is this fiscal year) but they’re trying to get it deferred. Kamin confirmed that Friday’s drainage lawsuit ruling will increase Houston’s structural deficit from $230M to over $300M. Director Dubwoski agreed.

CM Davis asked some rambling and confusing questions and ultimately implied the City has mishandled the DDSRF, the fund receiving the lawsuit-related payments. CM Alcorn took umbrage with Davis’s implications and asserted that the City has not been misusing the DDSRF, explaining that the lawsuit is mainly about how much of the City-collected tax should be paid into the DDSRF.

Mayor Whitmire said this lawsuit has been going on since 2019 so it’s not a surprise. He said “Most of us support the premise of the lawsuit — that we need to spend more money on roads and drainage. The real disappointing point was and is that it was not addressed and negotiated when it was filed.” He criticized Controller Hollins for sounding the alarm without offering any solutions. Whitmire said he remembers the last Mayor saying this lawsuit is the next administration’s problem. (Which is true, Mayor Turner did say that.)

The Mayor’s Report

Mayor Whitmire shared condolences for Prince Karim Al-Hussaini, the Aga Khan IV, the spiritual leader of Ismaili Muslims. CM Kamin also shared condolences for the Aga Khan and praised his philanthropy. She then shared information on the ReelAbilities Film and Art Festival taking place February 4-28.

Agenda Items, Selected Works

• Item 4 approved $5.8M over five years on furniture for various departments.
• Item 8 approved $278K for 800 pedestrian LED walk signs. Item 10 approved $12K for 100 pedestrian push buttons for the walk signs. Item 15 approved a further $11K for pedestrian push buttons.
• Item 17 approved $78K for traffic signal repair.
• Item 20 approved $1.7M over five years for Comcast cable television at various departments.
• Item 23 approved paying $166K to Montgomery County for November 2023 election services. CM Flickinger supported this payment but complained that it came out to about $1K per voter. He suggested that District E voters are happy to drive a little farther to vote if it means saving the City money. Whitmire agreed that $1K per voter was excessive.
• Item 24 approved $2.5M that will partially fund Boulevard 61, an affordable apartment complex in District J.
• Item 28 approved $61M for taxiway repair at George Bush Intercontinental Airport/Houston (IAH).
• Items 39-42 approved funding and contract extensions for various HIV/AIDS-related programs at several different organizations. CM Castillo said, “When there are questions and uncertainty around federal funding, it’s important that we support these items and get these dollars to groups that are going to do good work across the city in the public health space.”
• Item 44 approved an agreement between the City and Union Pacific to remove railroad tracks along Commerce Street from Saint Charles to Velasco. Both Union Pacific and the City will perform the work but the railroad is responsible for 100% of the project costs and will reimburse the City. CM Castillo explained that this is step one in the revitalization of Commerce Street.
• Item 62 approved a new City Council schedule, adding five more break weeks to the calendar. CMs Pollard and Ramirez voted no; the item still passed. You can see the 2025 calendar at houstontx.gov/citysec/calendar.pdf.

Council Member Pop-Off

• CM Ramirez said the City needs an additional $70M each year to enact the new homelessness plan. He encouraged individuals to donate via the Coalition for the Homeless and The Way Home.
• CM Castex-Tatum said a Channel 2 news piece last week reminded her about the City’s donation box ordinance. Donation boxes must be permitted and have the permission of the property owner where they are located. People can report unpermitted donation boxes to 311. You will know that a donation box is permitted because it will have a yellow or orange permit displayed.
• CM Peck plugged a Public Safety Committee meeting on 2/11 and a Coffee with a Council Member and Cops event on 2/13.
• CM Martinez thanked HPD for keeping people safe at the protest on Sunday. He offered condolences for two Milby HS students who passed away recently and extended general support as needed. He plugged a design workshop for 7811 Harrisburg on 2/8 at 10am at the Magnolia Multi-Service Center.
• CM Pollard is hosting a Know Your Rights virtual event on 2/11 at 6:30pm. He referenced a letter from the Federal Department of Housing and Urban Development (HUD) that says the Texas General Land Office (GLO) discriminated against people of color when they distributed federal funding after Hurricane Harvey. He asked City Legal if the City plans to take action. Attorney Michel said they have to wait to see what the federal government does, because if they take action, then the City cannot.
  • Mayor Whitmire pointed out that a new administration has taken office since that letter was sent, but that he will be keeping an eye on everything and taking necessary action.
• CM Evans-Shabazz wished all a Happy Black History Month. She congratulated Beyoncé on her Grammy wins.
• CM Castillo initiated a moment of silence on the passing of Katy Wood and Tanya Debose. District H has many pet-related events planned for the month of February. He is hosting a Town Hall this Saturday 2/8 at Bella Vista Baptist Church from 10am-12pm, which will include an update from the Houston Housing Authority on Independence Heights Phase 2.
• CM Flickinger plugged a median clean up in Kingwood on 2/22 from 8:30am-12pm and an electronics recycling event this Saturday 2/8 at Ellington Field starting at 9am.
• CM Kamin wished all a Happy Black History Month and said, “Every day is Black History.” She thanked Restaurant Depot for working with her office and curtailing the car meetups happening there. Her office is hosting an electronics recycling event on 2/15 from 9am-12pm at All Saints Church. She complained about TxDOT’s unsecured construction equipment causing destruction of the MKT bridge and asked for the Mayor’s help getting TxDOT to commit to properly securing their equipment.

Who took these notes? And what resources did they use?

My name is Emily Hynds. I am a writer, small business owner, producer of the monthly storytelling series Grown-up Storytime, and native Houstonian. I am not a journalist or government official. I am a local government enthusiast who believes meaningful change starts at home. These notes are presented from my point of view and with my framing, and are not comprehensive. Your notes will certainly be different and I would love to read them if you attend.

I watched this City Council meeting via HTV: https://www.houstontx.gov/htv/

While compiling these notes I used the following sources:
https://houston.novusagenda.com/agendapublic
https://houwatch.com
https://www.houstonchronicle.com/politics/houston/article/drainage-lawsuit-budget-impacts-20136442.php

You can find your City Council Member and their contact info at: http://www.houstontx.gov/council/whoismycm.html

Thank you to the friends who proofread these notes.
My Patreon is patreon.com/emilytakesnotes.