Oklahoma City MAPS Investment and Operating Trust – 3/11/24

you just likeing up oh yes okay [Laughter] needs to come over and sit by us by I know may a Reon operating trust special meeting for March 11th 2024 item two items for individual consideration a um we first have on our agenda a resolution consing to the assignment of the investment advisory agreement from andco Consulting to Mariner LLC um essentially Doug Anderson's here if you've got any questions but essentially there was an acquisition merger um still with the same people still working with Doug um but um there was a name change as a result of the the merger any questions okay r i take a motion in a second please vents the motion passes thank you moving on to Item B discussion of fiscal year 25 2025 fund dist distribution percentage Matt all right well uh good morning or go I normally to say good morning to you it's afternoon good afternoon uh trustees uh we have uh before you today a couple of items and Sean if you don't mind going to the uh PowerPoint uh this is where the rubber starts to meet the road for the maps Investment Trust because a decision needs to be made for this year of what the distribution percentage will be uh to set the scene a little bit uh we do have the spending policy in front of you uh which we'll look at one more time which the goal is to spend at least 4% of that average market value of the Investment Portfolio over the last 12 quarters uh the next few lines are very important uh it will be reviewed and determined by the Board of Trustees and it is within the board's discretion to determine the exact percentage and dollar value each year to be paid out of the Investment Portfolio to support the trust programs so a couple of things to note with this one we do not yet have 12 calendar quarters uh at this point uh another thing to note is that when we make these decisions and uh um chair Rose will have a little bit more insight to this not every single one of our operators is going to be requesting funds this time around if we're doing the same conversation five years from now I I don't think that's going to be the case we're going to expect a majority will be asking for distributions at that point so these first few years will be a little different than some of the others as far as planning and how that goes and and as each one of you very well know it's an important decision because anything that we spend now distribute now takes away from some of those future earnings down the road and so while we had we have our operators who are concerned with the the day in day out with their operating needs part of what we're looking for is the long-term with this trust which is the Mandate that we have through our indenture and so some of those things in mind uh go to the next slide Sean this is just a snapshot of where we are obviously this doesn't really really give you the full picture uh because we had our initial investment back in 2022 and so we like I said we don't have those full 12 calendar quarters yet and in fact until we had that second distribution back in 2023 we really weren't over the hundred million Mark and so our average market value has been 85,000 over the life of the trust at this point uh but because of you had the two separate fundings that doesn't really tell the whole story uh really the best thing to do is Sean if we can go to the 1231 uh investment report and let's go over to yes this page right here uh 12:31 is going to be the time that we're typically looking at this and so we can see that the total contributions were 115.5 million uh we have had distributions in the form of only claim payments so those are going to be investment consult consult uh custody Bank auditor those type of funds so there have been no distributions to actual projects that's just to pay the expenses of the trust uh with a gain of a little over $5 million um with the ending market value of 120 uh, 451000 that's a 3.51% return and uh income of 4.4 million uh you haven't received this yet but if you can pull up um we do also have what February is going to look like and that will be accepted at the next meeting also shows you really what two months can do because this is at the F of February 29th 2024 ending market value is at 123 million and so it really especially during this early parts of the trust uh even just single months can make a pretty huge differences so with that really this is where we would need to to have some sort of a discussion of what level that the trustees would feel comfortable to assigning any sort of distribution percentage uh in amount uh so this first item that we have is really the discussion and then we have a resolution by whatever amount that we decide which could be anywhere from $0 to a maximum of 4% of what the market value is could then be applied and so our resolution is written in such a way to handle B both of those and so really um this is where the discussion uh would happen so hand it over to uh the chair um so essentially did so any questions of I I do have a question can you go back to the policy statement please so you're sending you're you're stating that we could spend a maximum of 4% but this says at least 4% yes that that is correct uh that was just from when we needed wording for the agenda we needed to find something to say that would give us the flexibility without knowing what amount that you as the trustees would select especially that here in this first year uh we needed to just find some wording and that was wording that the clerk's office and the municipal counsel's office were um comfortable with saying that we can set this cap at uh 4% because we knew it wouldn't probably go above that for this first year so it was it was a wording issue but that is absolutely correct the the spending policy does say for long term the goal suspend at least 4% are there any does that answer your question it yeah still doesn't it still doesn't address the fact that the policy says that we we will spend at least 4% I mean am I missing that I trying to remember what the indenture States I'm thinking the policy says the goal go say the goal but that okay you know what we actually do is depending on board's actions I don't think we're we we have to spend 4% say our goal and then you know on top of that we don't have 12 calendar yeah but is the intent that we base our what we're doing on December or on some other month well um I think that's for this body to decide um and um so I think that I think it can be we can look at December we can think about we can look at February we've got that to inform as we're thinking about percentages and or dollar amounts I think going forward really especially when that timeline that we've had a few of the times we've brought before you uh it goes under the assumption that we're using 1231 so that by the February meeting we have an amount and in the May meeting we can have that approval yeah when we get into our regular cycle we'll try to always use that December yeah I think um Matt wanted to show us what like you said what two months can do and so you know I don't think that we're I think it helps inform what we're what we're contemplating so if we're looking at this year's um I think our um earnings at that point times 3.51% so if we distributed more than that we'd be getting into the Corpus so ABS 3.51 at this point in time if we're looking at December that would be our right that would be our seiling okay I guess the question I have is that is is the collective amount correct but that's not each separate portfolio because aren't there eight underlying separate portfolios and does each one of those have to be at this sort of Benchmark look looking at the wording of the indenture and also that the how our spending policy and investment policy is put together it truly views to see this as one large portfolio now from the on the custody side do we make sure that each project is segregated in such a way that we know exactly how much is there absolutely but there there's no there was no distinction in in the indenture about each individual project because it always speaks of the preservation of the Corpus of the entire trust right and I think that becomes um that's a great Point Kevin and I think it becomes even more important as we move forward um the investment strategy will be equivalent but the balances are going to be different based on which projects choose to take um a distribution and which ones don't so yeah kind of getting in our minds the distinction of of the um the two two different ways I'm not going to say different ways of accounting but different kind of tracking and I would agree with that I mean if you look at the spending policy you know it talks about the spending being based on the average market value of the Investment Portfolio not Investment Portfolio by project so we should be looking at the right overall right so just so I'm 100% clear absolutely we're trying to determine that when we get to 12 calendar quarters what we're going to do is that correct am I missing something so in long term yes that is correct correct but there are there have been projects that have operators that have approached both staff and members uh of the Board of Trustees looking to get their distribution sooner rather than later and so at the uh at the discretion of the trust we're having that conversation to see what amounts you would feel comfortable with because the preference would be to wait for the full 12 quarters and not distri any money but like you said there are people at the door saying yes I have a project that I'm completing I need some assistance and that's why we're discussing this today right yes yeah that that was my confusion Madam chair was like okay why are we talking about this so I guess the next question is who needs the money and how much and how much actually can we do right well um those are different those are a couple of different um answers I can tell you I am aware of three projects that have approached me asking if we will be making a distribution in fy2 um and when they shared what they wanted the revenue for went back and looked at the indenture it's allowable it's perfectly appropriate um and so and I would also go back to the spending policy I think that it can be because I have always because this is the way we do it in my business I have always interpreted up to 12 months um but I mean so we we could interpret we don't have to have 12 months that it's but it but it's the number of months that we have up to 12 months and then a rolling 12 months moving forward um so I think we've got a little bit of um capacity or you know we can that would be an appropriate interpretation of our spending policy um but we could also as Brent point out say no we're not going to distribute um until we have at least 12 quarters um and then Matt I'll let you answer um the amounts that you're that we're looking at uh and and so really that comes down to whatever the trust approves and so that's really where it's it's important to have this conversation and and note that very last sentence that is within the board's discretion to determine the exact percentage in dollar value each year and so it is within your purview to do nothing or also to assign something at this point yeah so we could um we could look at the the dollar amount that's over the Corpus and say what was it um about 20 million no about four about a four million about four million um so we could say of that four million a percentage of that we're comfortable Distributing out um of course we would be it would be calculated among all of the projects and then any project that wanted to take their portion they could good um so I think there's a lot of different ways that we could um make answer your second question I I also think that it's important to note that if there are three that we know of there could be more that that I don't know which three of those are I can imagine some of the the concerns I've heard about the funding but um anyone right who is eligible could then submit an AB absolutely and so I think that to Laura's point is very important um I think we need to be thinking in terms of um what amount or percentage are we comfortable with being distributed and then recognizing that it it could be that high or it could be a little bit less depending on what you know I I know some projects will not have already determined that they're not going to take but some are so theoretically we could say something to the effect of in this short window where there are a few quarters before the 12 months we will allow x% of whatever is above the Corpus to be spent and maybe if it's 4 million maybe we say we're comfortable spending 50% of that or something right yes yeah and that 50% that 2 million would be um by percentage of the investment pool allocated per project okay and whatever's not and whatever is not spent from that two million into those portfolios right those individual that's where in the custody account it wouldn't register any kind of a debit or a payout right that balance would would retain up right yeah so I was only throwing that number out arbitrarily sure but more so of saying okay if we're going to have the discretion does it is it prudent to show some sort of conservative approach to saying hey we're not going to take everything we'll just take some of it the staff recommendation would be to stay the policy to to get the 12 calendar quarters and do not want to speak for our investment Consultants but typically we'd like to see those Investments grow as much but we also understand we also understand that uh there are we don't it's not this isn't a science experiment this isn't a math problem this is this is real life and so there are actual projects that have funding needs and so we're we're sensitive to both of those things for the long-term success yeah BR were you going to add well the way I look at this is um part of me is I really want to keep the Corpus intact as much as possible and the earnings I would like to keep those because again we have not met the 12 month 12 uh calendar quarters so when I look at it we've gone through essentially one year out of three so you could look at it and say it's 33% an appropriate one but before I would make that recommendation I would like to ask of that which we anticipate to request funds what prata allocation would they receive I mean what what do they make that are they 50% are they 20% if you look at them and and to me that because that's going to weigh into if I because I want to be as conservative as possible do you have the slide that has the percentages per project okay okay so it would be so the the col column C there the percentage column is what as of the initial funding what percentage each one of these projects makes of the overall trust and so this is a hypothetical so if we just did a simple let's do $1 million that if it was a $1 million distribution this is what it would look like per project it would be allocated based on our uh funding in the original allocation and is it fair to say that of these projects there's sub projects within those projects that that's another conversation so just quick glancing of the projects that I know um 39% is okay our of yeah 3% so if we so if we went at 20 25% which would be buff forly a million dollars so we would spend $39,000 this next year allocate of the $4 million that we've earned if if yeah if we if using that Ma okay right um so I do think and do we want to go ahead and pivot do we want to stay here and kind of come to some kind of DET determination or do we want to go because Brent I mean this has been a concern that brought up in numerous meetings um there are several project several of these line items that have different operators and so you know and I'll just take like Innovation district for example like Boys and Girls Club Youth Center I'm sorry youth centers is easy there's one operator Innovation District there's um three different distinct projects in The Innovation District project there's Innovation hall there's the HB Foster Center and then there's connectivity which is um the parks will be running so I mean we have not dug as deep as to because been thinking about this um one approach could be that we take that so I'm just going to stick with Innovation uh District take that 18% and divide it out by percentage of the maps capital dollars for each of those projects I don't know if that's Equitable or that may not be Equitable um you know beautification is going to be really hard because there's upwards of 20 projects but most of those are probably most of those are going to be Parks maintained parks department maintained um senior Wellness Center is another project because the way that the indenture reads these funds um can be used operating funds can be used to support any of the senior wellness centers even though Maps 4 is building the fifth one this Revenue can be used for any of the previous four which all have separate operators so throw throwing out that little Tar baby what thoughts uh Madam chair I I do think that those are two as you stated separate things we need to figure out one we need to figure out if we're going to even do it and then the second would be that challenge right yeah so do we want to stick with the money for now who knew the money was going to be the easy part exactly right um and the other context to this and Doug brought this up when he after he sent us the February numbers he's because I said what a difference two months makes well he said well what go back to October as a whole the trust was negative right in October of 2023 and so it really does show what can happen how volatile this can be so what you're saying is this would have been a really easy conversation in October that's right just say no it would have been yes that much easier um so okay remind me going back to the number of months that it's been invested as of December uh let's see that would be you had a slide or number of quarters excuse me number of quarters Sean yeah that's on the next slide there there we go okay two three four five six seven calendar quarters okay and so we would be looking at March 2025 so a year from now when we would have 12 calendar quarters under our belt okay so we're basically missing five quarters I was thinking about your train of thought of the you know of the four million what's that you know um okay so so we're 2.4 yeah only little over 50% yeah so to make that available I don't I don't know I'm you know 50% I don't know it's all I'm trying to put some logic to it so it doesn't feel arbitrary as we're explaining it didn't we have some initial numbers that were set out in the implementation plan for operating dollars per project I think it was Jessica the what the the the um the amount for each of those projects that was included in the resolution so it would be the you know $4 million for you centers or whatever yeah but it had it didn't have like a breakdown that I recall of annual distributions I don't recall that what I recall is on the bottom of the page where it talked about the timeline in the budget it had it would say like operating or maintenance and then the the capital budget that's what I recall and then we are planning on voting now for fy2 so starting July 1 2024 we would open this up right so the timeline that we've tried to Think Through is about this time January we hope um January February we determine the the trust will determine the amount of Revenue that's available for distribution notify all the projects that are um that have a operating or maintenance fund um they then can fill out I hate to call it an application it's a request form telling us how much they want as generally what it will be used for um and then whether they would like it to be paid annually or biannually then submit that that will then come to this body um we will approve those or not allow them if um and then um payment will be made distributions will start being made in July yeah and that's that's an excellent point uh to keep in mind here that this would be just authorizing this that the uh distribut the request forms would be filled out really the full distribution individually per project would not be approved until the May regularly scheduled meeting right so that opens up a whole other thing about when you have those projects with three different sub projects within them um how is that going to be allocated and dist distributed that's something that I mean is that under our purview or we just look at it and say no you have1 ,000 here that you can access and what then what if we have well $300,000 Ely it is up to us because ultimately those applications so what if it's $100,000 is available for I keep picking on Innovation District available for Innovation district and all three of those operators request $100,000 ultimately this body is the body that's going to have to make that determination okay um I'm thinking that we want to get ahead of that a little bit um and and four things that aren't clearly laid out in either the in trust indenture or into the original Maps 4 resolution we can also look to the city manager as general manager of the trust to get guidance on how that would fit in in the overall yes give I guess I'm struggling with how do you do that in a way that doesn't upset everybody oh it's going to I'm like I'm not sure we can can Kevin right it's like okay three right and it may be that for that um it may be that we want to um well it may be that we want to visit with uh the city manager and bring that recommendation if we decide today to go ahead and make some um growth available then bring that with the recommendation to the May meeting give us a little bit of time to sort that out another one of the panelists and I were discussing this I'm not going to say who but given that effectively two out of the three years have been completed if we were to make an allocation to say all right we've completed 2/3 of the time so we'll release 2/3 of the dollars or of the profit or there's still a third left to go so we're only going to release a third of the profits as a more cons assertive approach I'm not suggesting anything but if we were inclined to do something that would be sort of a calculated way to think about the distribution in a form of the time remaining or time completed I I also think some of the justification for that kind of recommendation comes from the fact that we had a loss in our corporates at the beginning of this process and we're trying to guard against that so that next year at this time there might still be a distribution so that we can launch into a pattern of continued distributions with less risk for skipped distribution years when if the market changes I I I really like I think that Sound Logic I mean I would suggest then 33% based upon that logic and the time remaining okay you said how much 30% a third of the profit could be distributed based upon us saying well effectively two out of the three years have been completed so 33% of the profits could be released now to your point Laura of to protect the Corpus because we were at a loss we're going to lean more conservative and not distribute 2third of what's available and just wait until we complete the 12 months before everything is like at 12 12 quarters I like the more conservative approach but it does feel a little we've cons we've completed 2/3 of the time period but we're going to distribute a third it it feels like if if we're going to use that it we would we would do 2/3 because it's been two3 of the 12 quarters but I I do kind of like the a little more a little more um conservative approach I I would think I would counter with that and say if somebody was saying that to us that for our policy it could be zero well I mean legitimately it could be so um 33% is a pretty good deal I mean so and then in essence they only have I mean the reality is there is only one year left for them to wait to your point BR I'll send them your way [Laughter] um yeah um other thoughts other discussion Jessica I know you're thinking something down there okay okay um so I think we've talked about 4 million to start with and then we've talked about 25% we've talked about a third we've talked about 2third um anybody so do you okay so we're on item 2B yes um we're discussing correct so at this point you would you like a motion for a recommendation if if we're ready to go there it doesn't I me we need yes we need we need to um that language there's no for c yeah for C we don't do anything on B but when we move to are are we ready to move to C are we ready to move to C I have one more question so I know we're looking at a distribution this this year but if the spending policy says after 12 quarters why is it that we're required to distribute now and not after the 12 quarters is so so the way I've always interpreted and like I said this may be because this is how we do this in my business um is it's it's the the number of quarters that you have up to 12 and then it's the rolling 12 so you don't necessarily have to have I don't think it says we have to have 12 quarters I think it um it would allow it allows the flexibility to make a distribution recognizing 12 qus yeah okay so uh Madam chair it's I I think that one of the things during this discussion Bob that's made me a little bit more comfortable with this okay is that um the policy says average market value of the Investment Portfolio over the last 12 calendar quarters it doesn't say that we can't spend anything for 12 calendar quarters it says is that you're using that 12 calendar quarters as your denominator on your calculation to make sure that you've earned money yes does that help at all that's not the way I'm I'm reading it but I understand what you're saying and I understand where you're coming from there too yes right so I do too but I'm fine I mean that's that's decent logic okay other discussion are we ready to move to item C okay item 2C resolution authorizing the district distribution of fiscal year of funds for fiscal year 2025 not to exceed 4% of the average market value of the Investment Portfolio and I will need to coordinate with uh Mickey uh on this but the any recommendation that we need we would need a dollar amount is that correct the way the resolution is written that the any sort of motion that we have for this resolution would be a dollar amount that we're looking for so what is what would the maximum amount be the maximum amount B would be 4% of the ending market value which uh we can we can calculate $4.8 million 48 million so just to clarify this action today would set our president moving forward in our 12 calendar rolling calendar years that you were talking about earlier so this is the meeting this month would be the meeting that we look at moving forward as to what our distribution amounts would be for the coming fiscal year for FY yes for fiscal year starting in July yes yes but and let me make sure that I'm I'm fully answering your question I don't think today's decision is sets the precedent at for FY 26 and 27 I think each year we will have to we'll make this we'll have this conversation and make this decision the decision for today is the funds that will be available from July starting in July does that make you does that make it clear or muddy and I think ideally this will come in a February meeting because we did have a special meeting here in March because we didn't get to this in February first time yeah but we didn't get to it so it it would come at the regularly scheduled February meeting and and this I might actually bring Doug uh to the podium on this like hypothetically if we have an amount Doug can you explain to the trustees what you would recommend us do with that particular amount that we've set aside for distribution so I think we've gone over this very basic level before um but Sean could you put the 4.8 in the distribution amount I that just I thought that would be useful to take a look at that so that's the amount that could be but my suggestion would be to determine that amount that you are going to be Distributing and as soon as possible raise that amount in cash to immunize it from Market volatility and earn 5% per year on those amounts and I would say that for this year maybe next year and going forward um once we do have more of a cushion built up against the Corpus is maybe to maintain up to two years uh as long as the interest rates remain in the in the current inverted yield curve um is that yes okay yeah from an investment perspective it Shields the portfolio from any more volatility um than you have to endure but it doesn't in in today's environment it doesn't um unduly reduce the amount of return that could be earned on on the overall portfolio I would sense that that amount would still maintain classified as part of the Investment Portfolio under the statute um so that's very short explanation of that no I think I think that's wise okay yeah so do we need to include that in the resolution or is that just a management that that would be an investment management because that would still be the within our investment policy so we're still within those guidelines so we're not doing anything that's deviating because we have cash as part of our investment policy thank you okay so item 2C do we have we have any anybody that would like to make a motion I hate to overwork this but can I ask Doug a question again on that what he just said Okay so we've got $4.8 million and it's exceeds our that's above and beyond our Corpus that is a good question I'm I think the answer was yes believe so it should be 4% right yeah and so so yeah so if you do it would fall below so you can see the income here well that's just income um take expenses so we have gain of $5 million and you have income of 4.4 but because of the expenses over that period of time and the fact that we had three different Tres of investment going into this yeah if you raise yeah you can't spend 4.8 right and I would not recommend that but if you could take four would you recommend taking that 4.8 put it into Cash put it in a money market or something earn the 5% that we're earning today but then we come back and say of that we're willing to set aside as use Kevin's station 33% of that 4.8 for distribution in this next calendar next fiscal year okay so my understanding was so you got the 4.8 let's say we do 33% take 33% of the 4.8 and keep it in and put it in the money market the rest of it stays invested right okay but I'm concerned that shouldn't we take 33% of the 4.4 shouldn't we take 33% of the net and not of that gross not of the 4% yeah if we if we do that we're going to slowly but surely nickel and dime our Corpus down yes so just so I'm clarifying this um in my mind so the 4.4 million dollar that you're talking about that is the amount above Corpus right correct but that's as of 1231 yes right or 229 okay no the chart we just looked at was was that 1231 okay yes oh okay right yeah the other one is February is 4.8 is 4.8 right but we should use 1231 it does say calendar quarter yeah yeah so what is the number is the number 4.4 I was thinking I was trying to multiply here to figure out what the dollar amount is that we need to tell Mickey that's what I'm trying to I mean if this is what we're going to use moving forward is the end of the calendar year if we're going to be in February making these decisions then yes we need to probably be using the December age yes okay so what's what's the dollar amount some typed in 4.4 into this then times 13 okay divide three okay can you put the 1453 or 52 in the distribution amount C are we ready for a motion on this well do we have any more discussion yes okay go ahead is this okay I'm not sure of all the projects that need the dollars MH is this going to satisfy some of those projects to feel a little better about moving forward with their individual Maps FL project um yes it will not be as much as they're anticipating because they're anticipating 4% but I mean it's it's more than it's more than they have now and this could be all that they would receive for fy2 correct okay it's either that or they wait another year for anything well I don't yeah I we're it's not 33% or zero we have the flexibility to do the full 4.2 we have the flexibility to do half of it we have flexibility to do what you know a myriad of options so that is we are making that decision and it's it's not what they're expecting it's not even what they're planning on um but you know I think they also recognize that there is the long term even though they're feeling the the um pressure of the near-term they also understand that this is the intent is for long-term sustainability and I would think if if if we looked at this and instead of having $4 million of earnings we we could show that we were plus 20 million we would look at this a lot different in respect to that but that's just well at some point they're going to submit applications right and we're going to uh make a decision a recommendation on those applications and in the event that someone can come in and make an extremely good case to us I would presume that this is a decision that the board could reconsider we'd have to have some pretty strong argument to reconsider it but I think that I think that puts us in a really difficult spot it does I think when we make this decision this is the decision okay um I think it is my opinion now I am just one one voice on this trust that I think if we put ourselves in the position of if you know Matt comes to us and he he's a really good pitcher and he gives us a really compell mhm story that we're going to change the percentage for I think that puts us in a really difficult we're going to start moving forward we would have 10 compelling presentations every year so I think I think we need to whatever we said is what what it is for the year so it kind of comes down to um our fiduciary responsibility is is to the trust and not necessarily to the projects I see I would say I'm look I'm looking at Council on that one I would say that's accurate okay GL yeah but the trust is for the benefit of the projects and the citizens right yeah but I'm not trying to be argument in here but it's also for the perpetuation of those funds that yes no I I I don't disagree I don't disagree but I do think holding funds for the purpose of holding funds and not fulfilling the purpose of the resolution not fulfilling the purpose of the projects that the voters supported is not our job and and my only thing is some of that language in that 4% are we going to is that going to be problematic where it said at least 4% that's that's just my question I need a legal person to tell me that microphone um that this is not 4% at least 4% of the total amount that theoretically could be expended yeah I mean I I think there is some level of discretion built into this just because the 12 calendar quarters and all of the other factors so it's ultimately up up to you all as the trustees but I think what Jessica's reference I'm if I'm not trying to put words in your mouth but are you referencing the language of the indenture itself yeah I I don't have that in front of me but this at least the spending policy statement is a goal not necessarily something that's U black and white yeah I just can't remember what the indenture itself says I just understand how the projects that are coming along right now they need operating dollars to operate right now and some of the other projects do not and will not need money for a while on down the line so going I'm not going to beat this um I I think we all understand what we need to do and that we need to get the funds out there as quickly as possible I think we've had a rough investment time and that we're trying to be mindful and guard the dollars in order to make sure we have money next year and the year after that right but I just I want this amount to be in a significant way meaningful to the projects that needed the most that's that's my only concern and I don't disagree it needs to be an an um an amount that's going to yeah be meaningful give us one second I think think the challenge I understand what you're saying I think the challenge for me is like I feel like have zero visibility into the urgency of those needs that you're referring to so for me it's like I'm just looking at the policy and what we can do like should we be give an insight into that there sorry Kevin there's just there are so many different projects coming online right now and I know that some are a little bit more funded had some funding coming in with the organization itself than others and so to me I I don't want to get but it goes back to being fair and being um Equitable to all of the projects involved and I I really think we're going to have to have the discussion sooner rather than later about the multiple operators in one line item because I can already tell you the phone calls we're going to get tomorrow about if somebody's taking funds out and this person is like well we don't need the funds are we going to get more funds if we don't take our funds out so I think we need to have just some answers to those questions that are again fair and Equitable um but just in how we presented the timeline approach for these projects to come online some need them right now some will not need them until five years from now so no no you're and you're exactly right some some of the projects that are needing funds now are needing those funds to assist with the development um of the project and the development of the programming for the project um but the indenture allows for that okay we looked up the resolution and it says the spending policy of the trust will Target annual spending equal to at least 4% of the principal so it's Target but at least 4% so thank you for pulling that up so does that change so I personally think I would feel comfortable under that um language to say to go to 50% of the $4.4 million and the reason I say that is because we are about 50% actually a little bit more than 50% of the way through our quarters um as Brent pointed out earlier so I'll just throw that out there I would agree with Laura on that yeah I would agree as well okay and I I I would to 50% of the 4.2 or the March or the March I'm sorry that okay at so 50% of 4% of the the growth or over Corpus uh as of 1231 right okay just right okay are we good okay are we ready to move to item 2C do I have a motion I make a motion okay give her the amount I'd say this I make a motion that 50% of the 4.4 million be dis be available for distribution to the projects that for fy2 fy2 be 22 2.2 million yes you can clean that up yeah uh so we have a motion do we have a second oh Jessica thank you for seconding all those in favor please cast or please cast your votes proot I always forget to take that off thanks for pushing that button to remind me oh oh sorry okay okay motion passes thank you and thank you all for that very thoughtful um conversation I think that we we and covered some um groundwork for future for future years so that was really really important uh yes and with that I know that there are people uh most likely watching this meeting that are happening and that the uh City Treasures Office and the city's finance department will reach out to The Operators with these amounts calculated for each project uh with the U request form uh that can be sent and we will have an email address set up where they can return uh those forms and then it will go forward that way so that'll be the uh distribution process but we can we can get rolling on that immediately once this uh action is taken and with that I also want to say this was thank you to the trustees it was a difficult but interesting conversation uh thank you to Mickey and Amy from the clerk's office and Laura and Amy Douglas who wasn't here today but she was pivotal in getting some of this wording together because we wanted flexibility but at the same time we wanted to have the clarity as we move forward with that so I just wanted to appreciate that and and thank you to sha for his uh Excel Wizardry and going back and forth so many times during the time Sean and screens down there yeah been helpful with that Matt can the trustees please get a copy of that sheet that showed the amount by project absolutely of the distribution that we agreed to here today and also a copy of the application that people will be asked to send in yes just in case we get questions or something about distribute that to the uh the whole body thank you Matt thank you I know this was a lot of work on y'all's end so um and uh Jessica we will I I think your comments are spoton that we prior to our main me May meeting um need to be thinking about um how we divide out those funds and um Matt and I will reach out to city manager and see if the city manager has has any guidance but we're going to have another another full conversation at our next meeting yeah and to Kevin's point I think you know it is one thing to look at numbers on this it's another thing to actually see the work in action on some of the subcommittees and the work that we do on the citizens Advisory board so maybe I'm just thinking at our next Investment Trust meeting we just have a maybe something from David Todd a brief overview of some of the projects going going on um so the entire committee can better understand all of the different components because there's a lot of moving parts to it um and it's an engineering feat but I really think it would be helpful just to see some of the and the updates that are going on that's a great Point Jessica it's a great Point okay okay moving on to item three um comments from trustees staff interested parties do we have any members of the public signed up to speak today no okay um comments from staff okay uh trustees any additional comments Kevin did we are we I guess tabling the conversation around okay now that we've decided to make the distribution the sub projects within the projects are we reserving that for a different conversation until Matt gets some information okay and we have an agenda item we have an agenda item that we can talk about fair enough okay any other questions okay thank you so much for being here and again for your thoughtful discussion we are adjourned

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