[00:00:21]
[ BAYTOWN MUNICIPAL DEVELOPMENT DISTRICT NOTICE OF MEETING BAYTOWN MUNICIPAL DEVELOPMENT DISTRICT REGULAR MEETING THURSDAY, MARCH 2, 2023 4:30 P.M. COUNCIL CHAMBER, CITY HALL 2401 MARKET STREET, BAYTOWN, TEXAS 77520 AGENDA CALL TO ORDER AND ANNOUNCEMENT OF QUORUM ]
COME ON.UM, WE'RE STARTING OUR MDD MEETING.
[a. Consider a resolution authorizing an Interlocal Agreement with the City of Baytown for the purchase and use of 5335 East Road, Baytown, Texas, in association with the Wayne Gray Sports Complex Parking Expansion.]
ITEM IS, UH, PROPOSED RESOLUTION, UM, AUTHORIZING AN INTERLOCAL AGREEMENT WITH THE CITY OF BAYTOWN FOR THE PURCHASE AND USE OF, UH, 53 35 EAST ROAD, BAYTOWN, TEXAS, IN ASSOCIATION WITH THE WAYNE GRAY SPORTS COMPLEX PARKING EXPANSION.SO, IF STAFF CAN SUMMARIZE, PLEASE.
UH, DIRECTORS, UH, IF YOU'RE A MEMBER AT A PREVIOUS MDD MEETING, WE DISCUSSED PURCHASE OF THE PROPERTY AT, UH, 53 35 EAST ROAD TO BE USED FOR OVERFLOW PARKING FOR, UH, WAYNE GRAY SPORTS COMPLEX, UM, UH, WHICH IS IN THE BUDGET FOR MDD.
WE REACHED AN AGREEMENT, UH, WITH THE LANDOWNER AND ARE READY TO CLOSE ON THE PROPERTY, UM, IS PLANNED THAT THE PURCHASE WILL BE IN THE CITY'S NAME.
SO THIS AGREEMENT, UH, ALLOWS, YOU KNOW, THE, THE FUNDING TO BE TRANSFERRED AND THE CITY TO MAKE THAT PURCHASE.
UM, IS THERE A MOTION ON THE TABLE BEFORE WE DISCUSS MOVE TO APPROVE? IS THERE A SECOND? SECOND.
[a. Discuss proposed amendments to the Business Improvement Grant program policy and guidelines]
SECOND ITEM IS DISCUSSED, PROPOSED AMENDMENTS TO THE BUSINESS IMPROVEMENT GRANT POLICY AND GUIDELINES.UH, LIO VARRIO, UH, SENIOR ECONOMIC DEVELOPMENT ANALYST WITH PLANNING AND DEVELOPMENT.
UH, SO YOU RECALL THAT, UH, MARTIN KIND OF, UH, ELABORATED AT THE LAST MONTH'S MEETING ABOUT OUR OVERHAUL OF AMENDMENTS, UH, FOR THE BIG, UH, BUSINESS IMPROVEMENT GRANT.
UM, SO WE HEARD A LOT OF THINGS THAT, POSITIVE THINGS THAT YOU LIKED ABOUT THE CHANGES, THE PROPOSED CHANGES, BUT WE ALSO HEARD, HEARD SOME CONCERNS AND SOME REQUESTS.
SO, UH, WE KIND OF WANT TO RUN THROUGH THAT AND, AND HIGHLIGHT THAT TODAY AHEAD OF ANY, ANY FORMAL ADOPTION AT THE NEXT MONTH'S MEETING.
UH, BUT JUMPING RIGHT INTO WHAT WAS DISCUSSED, THE IDEA ABOUT IMPROVEMENT TIERS, UM, FOR, TO KIND OF GUIDE IMPROVEMENTS THAT WE WANT TO SEE, UH, WITH CERTAIN GRANT APPLICATIONS.
SO, UH, TIER ONE IS REALLY FOCUSED ON THE MORE IMMEDIATE HANGING FRUIT, UH, MANAGEABLE IMPROVEMENTS THAT WOULD PROVIDE A VISUAL IMPACT, UM, BUT AGAIN, OF A SMALLER SCALE.
AND THESE TIERS, KIND OF JUMPING AHEAD REAL QUICK, CORRESPOND WITH A, UH, A GRANT, UH, MAXIMUM GRANT AMOUNT, WHICH WE'LL GET TO NEXT.
BUT, UM, THINGS LIKE INTERIOR RENOVATIONS, LIGHTING IMPROVEMENTS, PEDESTRIAN AMENITIES, UM, POLE SIGN REPLACEMENTS.
SO AGAIN, UH, KIND OF MORE MANAGEABLE BITES OF THE APPLE.
UM, MOVING ONTO TIER TWO WOULD GUILD A LITTLE MORE NOTICEABLE IMPROVEMENTS OF THE PROPERTY, AND PARTICULARLY THE SITE, UH, WITH LANDSCAPING IMPROVEMENTS, PARKING AND DRIVEWAY AREA IMPROVEMENTS, AND, UH, POTENTIALLY, UH, BUILDING DEMOLITION OR, OR SUBSTANDARD STRUCTURE DEMOLITION, WHICH CAN BE COSTLY.
UH, AND THEN MOVING ON TO, UM, IMPROVEMENT TIER THREE.
AND THIS WOULD, UH, DELIVER MORE HEAVY VISUAL IMPACTS, UM, BUT ALSO THE LIFE SAFETY PIECES BEING THE, UH, FIRE SPRINKLER SYSTEMS OR SUPPRESSION SYSTEMS. UH, AND ALSO KIND OF THE LARGER, MORE VISUAL AESTHETIC IMPACTS FOR THE FACADE OR THE EXTERIOR OF THE BUILDING THAT WE'D REALLY WANT TO SEE IN CERTAIN AREAS AND HOW THOSE CAN REALLY START TO AFFECT, UH, NOT ONLY THE PROJECT SITE, BUT ALSO THE IMMEDIATE AREA AROUND IT.
AND SO, CORRESPONDING WITH THE IMPROVEMENT TIERS ARE THESE PROPOSED, UH, MAXIMUM REIMBURSEMENT FOR EACH TIER.
SO AGAIN, THOSE IMPROVEMENTS IDENTIFIED IN TIER ONE WOULD HAVE A MAXIMUM REIMBURSEMENT OF $5,000, IS WHAT WE'RE PROPOSING.
MOVING ON TO TIER TWO, UP TO $25,000 REIMBURSABLE, UH, AND IMPROVEMENT TIER THREE UP TO $50,000 REIMBURSABLE, AN APPLICANT COULD APPLY FOR ALL THREE TIERS.
AND AGAIN, THIS IS A MATCHING GRANT, SO THEY MAY DO IMPROVEMENTS THAT
[00:05:01]
ARE, ARE MORE THAN WE CAN REIMBURSE THEM FOR, BUT THE MAXIMUM THEY WOULD BE ABLE TO GET IS 80,000.SOME APPLICANTS MIGHT MAKE IMPROVEMENTS AND THEY MIGHT NOT HIT THAT MAXIMUM, BUT THEY ARE STILL ABLE TO, WE'RE STABLE TO MATCH THEIR GRANT.
SO ARE THERE ANY QUESTIONS ON THIS OR THE IMPROVEMENT TIERS KIND OF WENT THROUGH THAT RATHER QUICKLY.
AND THEN ANOTHER THING THAT WE HEARD, UM, SOME CONCERN ABOUT AND AND WANTED STAFF TO EVALUATE WAS THE EVALUATION CRITERIA, WHICH HELPS US ASSESS KIND OF THE MERITS OF THE APPLICATION.
UH, WE'RE STILL FINE TUNING THAT, THAT WOULD, RIGHT NOW WE'RE REALLY EXPLORING, UM, A A POINT WAITING MATRIX, KIND OF LIKE AN EXCEL TOOL THAT, UM, WOULD HELP US SCORE THESE APPLICATIONS.
ULTIMATELY, THAT'S BASED ON THE OVERALL IMPACT OF THE IMPROVEMENTS WITHIN A PROJECT.
SO IT'S A LITTLE COMPLEX, WE'RE STILL WORKING ON IT FINE TUNING IT, BUT ULTIMATELY IT'D BE A MATRIX THAT WOULD KIND OF COM COMPUTE A SCORE BASED ON HOW MANY OF THESE, UM, UH, IMPROVEMENTS THEY'RE DOING WITHIN A TIER.
SO, AND THAT'S KIND OF TO REFLECT THE DIRECTION THAT Y'ALL KIND OF PROVIDED AT THE PREVIOUS MEETING.
WHEN YOU SAY VISUAL IMPACT, WHAT EXACTLY, UH, IS THE CRITERIA ARE YOU TALKING ABOUT? SO THESE ARE THE, THESE ARE THE CURRENT CRITERIA.
UM, THAT'S, THAT'S NOT THE PROPOSAL.
THE, THE MATRIX REALLY IS TIED AGAIN TO THE IMPROVEMENT TIERS THAT YOU SEE HERE.
SO, UM, WITH EACH THING, WITH EACH IMPROVEMENT WITHIN A TIER, THAT WILL, UM, I DUNNO HOW TO DESCRIBE IT.
LIKE, IF YOU CHECK THAT BOX, THAT IMPROVES YOUR SCORE, YOUR OVERALL SCORE, AGAIN, WE'RE STILL FINE TUNING IT.
SO I, I DON'T REALLY HAVE THOSE DETAILS FOR YOU RIGHT NOW.
I, I THINK, UM, JUST TO KIND OF HELP WITH THAT EXPLANATION TOO, THE, WHAT, ONE OF THE PROBLEMS WITH THE, THE CURRENT SYSTEM WHERE IT SAYS, UH, VISUAL IMPACTS, IT WASN'T DEFINED REALLY WELL.
WE HAVE OUR IDEA OF WHAT THOSE VISUAL IMPACTS ARE FROM A STAFF STANDPOINT, BUT WE'RE NOT SURE THOSE ARE EVER REALLY ALIGNED WITH, UM, WITH THIS GROUP OR WITH THE FOLKS THAT ARE COMING IN AND, AND DOING THAT.
SO I THINK WHAT KIND OF, WHAT EMILIO'S LEADING TO IS, IS WE BELIEVE THAT WHAT'S ON YOUR SCREEN NOW IS A BETTER WAY TO, UM, TO, TO BE CLEAR ABOUT WHAT THOSE IMPROVEMENT TIERS ARE AND WHAT WE'RE LOOKING FOR.
SO THAT'S REALLY WHAT WE'RE GOING FOR TO DO AWAY WITH THAT.
THE, THE OTHER THING THAT JUST AS VISUAL IMPACT AND THEN KIND OF LEAVING UP TO EVERYBODY'S IMAGINATION TO DECIDE WHAT THAT IS.
SO WE WANT TO BE MORE CLEAR ABOUT IT.
WE WANT TO BE MORE, UM, DESCRIPTIVE AND, AND WE BELIEVE THAT ONCE THIS IS AGAIN, SO WE'RE, I THINK WHERE WE'RE AT IN THE PROCESS RIGHT NOW WAS WE WANTED TO MAKE SURE THAT WHAT WE'VE DONE SO FAR IS HEADED IN THE DIRECTION THAT, THAT THE BOARD HAS, HAS, UH, HAS KIND OF GIVEN US DIRECTION WITH LAST TIME.
AND THEN WE WILL KIND OF, UM, UM, FEATHER OUT THE REST OF THE, OF THE DETAILS ON THAT.
DOES THAT MAKE SENSE? YEAH, I GOT YOU.
I THINK YOU HEARD LOUD AND CLEAR FROM THE LAST MEETING.
WE'D LIKE TO SEE THAT BROKEN OUT.
I LOVE THE, THE BREAKOUT ON THOSE.
SO AS A SMALL BUSINESS, I COULD APPLY FOR EACH OF THE THREE TIERS, BUT THE SCORING IS BASED ON INDEPENDENTLY THE, SO IF, IF I GO FOR TIER ONE, I SCORE HIGH ENOUGH, I COULD POTENTIALLY GET THAT GRANT, BUT I DON'T SCORE WELL ON TIER TWO.
I DON'T GET THAT, BUT I MIGHT GET TIER THREE AS WELL, OR THEY'RE NOT ALL LUMPED TOGETHER.
AND, AND THAT'S, THAT, THAT'S KIND OF THE, THE NUANCES THAT WE'RE GONNA HAVE TO EXPLORE WITH THE WEIGHT AND THE MATRIX THAT KIND OF HEARD YOU, THAT THAT'S KIND OF THE DIRECTION YOU'RE GOING.
SO THAT IF I DID APPLY FOR ALL THREE, I MIGHT GET ALL THREE, BUT IF I DON'T SCORE WELL ENOUGH ON ONE, I STILL MIGHT GET ONE OR THE OTHER OF THE OTHER ONES.
I THINK THE INTENT WOULD BE TO, TO MAKE THE ALL THREE AVAILABLE.
SO YEAH, I GUESS WE'LL HAVE TO, UH, FINESSE THE MATRIX TO ALLOW THAT, IF THAT'S THE PLEASURE OF THE BOARD.
AND I, I DO, I LIKE THE, THE TIERS THAT THEY BROKE OUT.
I THINK IT'S LOOKS REALLY WELL.
AND AGAIN, THE SCORING, I, I WOULDN'T WANT, 'CAUSE IF I DON'T APPLY FOR A TIER THREE AND I ONLY APPLY FOR A TIER ONE, IT'S LIKE, OH, YOU DON'T SCORE ENOUGH POINTS 'CAUSE YOU DIDN'T APPLY FOR THE OTHER TWO.
THAT'S, THAT'S, I DON'T THINK, THAT'S NOT WHERE I WOULD LIKE TO SEE IT GO.
SO I'M JUST ONE PERSON, BUT I, I'D LIKE TO SEE A, THE SCORING BASED ON EACH INDEPENDENT TIER.
[00:10:01]
QUESTIONS, COMMENTS? SO, UH, NEXT STEPS, UH, MR. PRESIDENT, UH, WE WILL INCORPORATE THAT, THAT FEEDBACK AGAIN ON MATRIX AND TEARS.UM, AND THEN WE WILL HOPEFULLY PRESENT A FINAL, UM, PACKAGE OF AMENDMENTS, UH, CHANGES, UH, AT THE APRIL MEETING FOR ADOPTION, UH, WITH THE UNDERSTANDING THAT WE'RE STILL EXPLORING AND WE'RE GONNA BE MEETING WITH, UM, SOME LOCAL LENDERS ABOUT THE OTHER OPTION.
BUT THAT WILL LIKELY COME AFTER THE AMENDMENTS AND BE INCORPORATED AT A LATER TIME FOR AVAILABLE UPFRONT FUNDING FOR THIS PROGRAM.
SO WITH THAT SAID BOARD, UH, BOARD MEMBERS, SO NOW IS THE TIME TO CONVEY ANY CONCERNS THAT WAY THAT WE CAN HAVE, UH, AN ITEM FOR CONSIDERATION OF THE APRIL MEETING AT THIS POINT.
[a. Receive the Monthly Construction Status Report for the Baytown Hotel and Convention Center Project.]
THREE A WAS GONNA RECEIVE THE MONTHLY CONSTRUCTION STATUS REPORT FOR THE BAYTOWN HOTEL COMMITMENT CENTER PROJECT.DO YOU HAVE THE REPORT FOR THE PERIOD END? UH, 31ST OF JANUARY? UM, SUFFICE TO SAY WE'RE ALMOST AT THE END OF THE PROJECT.
I WAS OUT YESTERDAY EVENING, AGAIN ON SITE, AND THE POOL WAS ALMOST FILLED BY THE TIME I LEFT.
UM, THERE HAS BEEN SOME SLAGE OBVIOUSLY IN THE TIME.
UM, PART OF THAT WAS CAUSED BY ADDITIONAL WEATHER DAYS THAT WEREN'T FACTORED IN TO THE ORIGINAL PROGRAM AND DELAYS IN GETTING COMPUTER CHIPS FOR THE CHILLERS.
DPR TO THEIR CREDIT, DID EVERYTHING THEY COULD, UH, TO ENSURE THAT WORK CONTINUED, BUT WE DID LOSE SOME TIME AS A RESULT OF THAT.
UH, NEVERTHELESS, WE ANTICIPATE OPENING THE NEW HOTEL AND CONVENTION CENTER IN THE WEEK COMMENCING 8TH OF MAY.
SO WITHIN THAT WEEK, WE WOULD EXPECT THE HOTEL TO OPEN.
UM, AS I SAY, WE'RE ALMOST AT THE END, BUT WE NEED TO NOW START THINKING ABOUT WHAT HAPPENS NEXT BECAUSE WE'RE NOT DONE WITH IT.
WE WILL OWN THIS FOR THE NEXT 30 YEARS.
IT'S OUR RESPONSIBILITY TO, UH, TO LOOK, TO LOOK AFTER IT.
AND TO THAT END, I'D LIKE TO INTRODUCE JEFF BINFORD.
JEFF IS FROM GARFIELD ASSET MANAGEMENT, AND HIS RESPONSIBILITY WILL BE TO MONITOR WHAT HAPPENS AT THE HOTEL AND REPORT BACK TO US AND MAKE SURE THAT OUR ASSET IS BEING PROPERLY LOOKED AFTER BY HYATT.
I'M WITH GARFIELD ASSET MANAGEMENT, WHICH IS A WHOLLY OWNED SUBSIDIARY OF GARFIELD PUBLIC PRIVATE, WHO HAS DEVELOPED THE HOTEL ON YOUR BEHALF.
UM, SO A LITTLE BIT ABOUT THE WHO AND WHAT AND WHY OF ASSET MANAGEMENT FOR THE HOTEL, UH, WHO IT'S, UH, AN AFFILIATE OF GARFIELD.
AS I MENTIONED, UH, HOW I ENDED UP WITH GARFIELD IS A LITTLE BIT OF, UH, IRONIC, BUT, UH, NONETHELESS, I, NEXT MONTH I APPROACH 50 YEARS IN THE INDUSTRY.
I OPERATED HOTELS FOR 10 YEARS.
MOST OF MY RESUME WOULD SHOW CONSULTING, BUT I ALSO WORKED AS EXECUTIVES AT BOTH, UH, MANAGEMENT COMPANIES AND FRANCHISE ORGANIZATIONS.
UM, SO THAT, THAT'S REALLY MY BACKGROUND.
ON A PERSONAL NOTE, I TOO, UH, SERVED ON THE CITY COUNCIL IN MY LITTLE HOMETOWN, UH, OUTSIDE OF DALLAS, AND ALSO HAD A COUNTY, UH, ELECTED POSITION, UH, FOR THE COMMUNITY COLLEGE BOARD.
SO, UM, MY BACKGROUND, UH, I, I JUST GAVE YOU MY HISTORY.
I GRADUATED FROM THE UNIVERSITY OF HOUSTON'S, UH, HILTON, UH, COLLEGE OF, UH, HOSPITALITY LEADERSHIP, UH, WAY BACK WHEN.
UM, AND, UH, ALSO RECEIVED MY DESIGNATION AS A CERTIFIED HOSPI HOSPITALITY ADMINISTRATOR FROM THE EDUCATIONAL INSTITUTE OF THE AMERICAN HOTEL LODGING ASSOCIATION.
I'M ALSO A MEMBER OF THE HOTEL ASSET MANAGERS ASSOCIATION, WHICH IS, UH, PROBABLY, UH, THE TOP, UM, ASSET MANAGERS REPRESENTING HOTELS REALLY AROUND THE WORLD.
MOST OF THEM ARE DOMESTIC, HOWEVER, WE HAVE CHAPTERS AROUND THE WORLD.
SO WHAT IS A HOTEL ASSET MANAGER, BASICALLY, AND A HOTEL ASSET MANAGER IS HIRED BY THE OWNER TO PROTECT THE INTERESTS OF, OF THE OWNER AND TO MAXIMIZE THE PRODUCT, THE, THE REAL ESTATE OF THE HOTEL.
WHY DO YOU NEED THIS? UH, HOTELS ARE COMPLICATED ASSETS, MUCH DIFFERENT THAN MOST OFFICE BUILDINGS, RETAIL BUILDINGS AND THINGS LIKE THAT.
THERE'S A WHOLE DIFFERENT LANGUAGE THAT, UH, THE HOTEL PEOPLE SPEAK, AND I'M HERE TO GUIDE YOU THROUGH THAT.
I'LL PROBABLY PROVIDE GLOSSARIES FOR SOME OF THESE ACRONYMS THAT WE USE READILY SO THAT EVERYBODY WILL UNDERSTAND.
SO, PART OF THE JOB OF AN ASSET MANAGER, UH, BECOMES AN EXTRA PAIR OF EYES AND EARS ON YOUR BEHALF,
[00:15:01]
UH, TO TAKE A CLOSE LOOK AND MAKE SURE THE OPERATOR'S OPERATING WITHIN THEIR CONFINES OF THEIR AGREEMENT, MAKE SURE THAT EVERYONE IS, UM, OPERATING AS EFFICIENTLY AS POSSIBLE.SO I'VE DONE THE MYSTERY SHOPPING AS A PROFESSIONAL FOR HOTELS AND RESTAURANTS.
UH, I'M, THAT'S PART OF MY ROLE.
UM, AND WHY DO WE DO THIS? SO GARFIELD, UM, HAS BEEN DEVELOPING HOTELS FOR 25 YEARS ON HIS OWN.
HE COULD PROBABLY BE A, A GOOD ASSET MANAGER, AND SEVERAL TEAM MEMBERS COULD ALSO BE AS WELL.
AT ONE TIME THAT HE DID HAVE AN ASSET MANAGEMENT COMPONENT TO HIS ORGANIZATION, UH, THAT ASSET MANAGER DECIDED TO LEAVE AND TOOK THAT BUSINESS WITH HIM.
AND SO GARFIELD NEVER RE REBUILT IT UNTIL THIS HOTEL HAD STARTED.
WHY DID HE DO THAT? WELL, UH, IT'S REAL EASY FOR A DEVELOPER TO SAY, OKAY, WE'VE BUILT YOUR BUILDING, THANK YOU VERY MUCH.
AND GARFIELD, UH, I THINK IN HIS PERSONALITY TRAIT, WHICH GOES THROUGH HIS BUSINESS ACUMEN, IS SUCH THAT WE STAY WITH OUR CLIENTS THROUGH THE PROJECT.
BUT, UH, BOTTOM LINE, I, I WENT THROUGH MY ASSET MANAGEMENT AGREEMENT, UH, WITH, UH, BAYTOWN AND THERE'S PROBABLY 30 OR 40 THINGS I COULD BORE YOU WITH TODAY, AND I'M NOT GOING TO DO THAT.
BUT LET'S JUST SAY THAT I'M WATCHING EVERY ASPECT OF THE HOTEL, OPERATIONAL, FINANCIALLY, ALL OF THE LEGAL DOCUMENTS, ALL OF THE LEASES THAT COME THROUGH, ALL OF THE REPORTS I'LL BE REVIEWING FROM YOUR END.
YOU'LL BE SEEING ME, UH, AT LEAST QUARTERLY, ONCE THE HOTEL OPENS.
I'M HERE EVERY WEEK, UH, TO ASSESS THE OPERATION, TO MAKE SURE EVERYTHING'S RUNNING AS IT SHOULD.
UM, BUT I DON'T REALLY START UNTIL THE HOTEL OPENS.
UH, HOWEVER, I VISIT THE HOTEL ON A REGULAR BASIS.
I SAW IT TUESDAY AND MR. BROWN'S DID NOT MENTION, REALLY, THIS IS A SPECTACULAR HOTEL, SOMETHING THE CITY WILL BE VERY PROUD OF.
UM, DID YOU MENTION THE POOL I MENTIONED? OKAY.
SO I SAW THE WATER HOSE IN IT.
IT'S A GREAT SPACE, BUT IT REALLY IS SOMETHING THE, UH, THE CITY WILL BE PROUD OF.
AND I'M HERE TO WORK FOR YOU ON YOUR BEHALF.
UH, YOU'RE WELCOME TO CALL ME ANYTIME WITH ANY HOTEL QUESTION.
AND I, YES, I DO SAY TWENTY FOUR SEVEN THREE SIXTY FIVE.
SO IF YOU CALL ME AT THREE O'CLOCK IN THE MORNING, LEAVE ME A MESSAGE AND I'LL CALL YOU BACK.
BUT, UM, UH, THE CHALLENGE THAT WE HAVE WITH MUNICIPAL CLIENTS IS THAT, UM, MOST ASSET MANAGERS CAN RELAY INFORMATION, DETAILED INFORMATION ABOUT, UH, GROUPS.
WE'RE WORKING ON, GROUPS WE CAPTURED GROUPS WE HAVE, UH, IN THE FUTURE BECAUSE OF A PUBLIC FORUM THAT BECOMES COMPETITIVE INFORMATION, WE JUST DON'T WANT TO SHARE.
SO WE WILL BE COMMUNICATING WITH YOU ON A REGULAR BASIS.
I'LL ALWAYS ANSWER ANY OF YOUR QUESTIONS TO THE BEST OF MY ABILITY IN A PUBLIC FORUM.
UM, BUT MOST OF THE REPORTS WILL BE ABBREVIATED, MOST OF THE REPORTS WILL ALSO BE PROVIDED WITH THE HOTEL MANAGEMENT, UH, IN FRONT OF YOU.
SO CAN I EXPLAIN THE BUDGET TO YOU? OF COURSE I CAN.
THEY CAN TELL THE STORY BETTER THAN I CAN.
SO I'LL HAVE THEIR INVOLVEMENT AS WELL.
FOLKS, I'M ALWAYS AVAILABLE TO YOU.
IF YOU HAVE ANY QUESTIONS, I'M HAPPY TO ANSWER 'EM.
ALRIGHT, DO YOU HAVE ANY QUESTIONS FOR HIM AT THIS POINT? I, I JUST, I JUST HAD ONE.
WHAT IS THE TERM OF YOUR CONTRACT AND HOW LONG WILL YOU BE MANAGING THE FACILITY? IT'S A 30 YEAR AGREEMENT AND THEN YOU HAVE TO GET QUARTERLY UPDATES.
ACTUALLY YOU'LL BE RECEIVING WRITTEN UPDATES ON A MONTHLY BASIS FROM BOTH ME AND THE OPERATOR, HYATT.
AND I'LL BE PRESENT QUARTERLY UNLESS YOU DECIDE YOU'RE JUST DON'T WANT TO SEE ME HERE AND WE CAN DO A ZOOM CALL OR SOMETHING LIKE THAT.
MAY I ASK A QUESTION? YES, YES MA'AM.
THE ASSET MANAGEMENT POSITION IS IN ADDITION TO THE GENERAL MANAGERS THAT, ARE THERE TWO DIFFERENT ORGANIZATIONS? YES, MA'AM.
AND THAT'S PART OF THE CONFUSION OF A HOTEL.
SO YOU HAVE PROPERTY MANAGEMENT HYATT, WHO'S MANAGING AND BRANDING THE HOTEL.
THEY SEE THE DAY-TO-DAY OPERATIONS.
I OVERSEE THEIR PROCESSES, PROCEDURES TO MAKE SURE THEY'RE OPERATING EFFICIENTLY, UH, REDUCING COSTS AND INCREASING REVENUES.
AGAIN, MY GOAL IS TO MAXIMIZE THE PERFORMANCE AT A MUCH HIGHER LEVEL THAN DAY-TO-DAY OPERATIONS.
SO I'M LOOKING AT THE PHYSICAL ASSET, I'M LOOKING AT ALL OF THE FINANCIALS AND ALL OF THE NUMBERS.
I MEASURE THOSE AGAINST INDUSTRY STANDARDS
[00:20:01]
AND MAKE RECOMMENDATIONS, UH, TO THEM.AND HOW TYPICAL IS IT TO HAVE AN ASSET MANAGER, UM, FOR A HOTEL OVER AND ABOVE THE ENTITY ITSELF AND ITS GENERAL MANAGERS? GOOD QUESTION.
THE, UM, THE ANSWER DEPENDS ON THE TYPE OF ASSET AND THE TYPE OF OWNER.
SO FOR HOTEL OWNERS THAT ARE JUST INVESTORS AND DON'T KNOW, UH, MUCH ABOUT HOTEL OPERATIONS, THEY TYPICALLY HAVE ASSET MANAGERS.
MANY OF THE REITS, UH, EVEN THOUGH THEY'RE HOTEL INVESTORS, THEY HAVE AN ASSET MANAGEMENT TEAM THAT OVERSEES THEIR PORTFOLIOS FOR THE SAME REASON.
UM, INDEPENDENT SMALLER PROPERTIES TYPICALLY DO NOT.
ANY FURTHER QUESTIONS, COMMENTS? ALRIGHT, THANK YOU SIR.
ALRIGHT, NEXT WE'LL HAVE OUR MANAGER'S
[a. The next Baytown Municipal Development District meeting is scheduled for Thursday, April 6, 2023, at 4:30 p.m., in the Council Chamber located at City Hall, 2401 Market Street, Baytown, Texas, 77520. ]
REPORT.I DON'T HAVE ANYTHING FOR THE BOARD EXCEPT THAT THE NEXT MEETING IS APRIL 6TH AT 4:30 PM IN THE COUNCIL CHAMBER FROM.
SO, BEING THAT THIS, UH, THAT THE MDD HAS ADDRESSED ALL POST AGENDA ITEMS, THIS MEETING IS NOW ADJOURNED.