[2.00 26-0613 Discuss, consider and/or take action regarding Auditor and Financial Matters including Budget Adjustments, Transfers and Amendments.]

AGENDA IS TO DISCUSS, CONSIDER AND OR TAKE ACTION REGARDING AUDITOR AND FINANCIAL MATTERS, INCLUDING BUDGET ADJUSTMENT ADJUSTMENTS, TRANSFERS AND AMENDMENTS. MISS WILLIAMS, GOOD MORNING. PRESENT ITEM TRANSFERS AND THE AMOUNT OF $197,678 AND BUDGET AMENDMENTS IN THE AMOUNT OF $20,000 AND ASK FOR YOUR APPROVAL. SO MOVED. SECOND. MOTION BY COMMISSIONER CAWLEY, A SECOND BY COMMISSIONER RATCLIFFE. TO APPROVE THE BUDGET ADJUSTMENTS, TRANSFERS AND AMENDMENTS AS PRESENTED BY THE AUDITOR'S OFFICE. ANY FURTHER DISCUSSION? HEARING NONE. CALL FOR THE QUESTION. ALL IN FAVOR? AYE. ANY OPPOSED? MOTION CARRIES. ITEM THREE IS

[3.00 26-0615 Discuss, consider and/or take action to Authorize Payment of Claims: General Accounts (Pooled Cash).]

TO DISCUSS, CONSIDER AND OR TAKE ACTION TO AUTHORIZE PAYMENTS OF CLAIMS UNDER GENERAL ACCOUNTS. MRS. WILLIAMS REPRESENT PAYMENT OF CLAIMS AND THE AMOUNT OF $3,077,418.03 AND

[00:10:04]

ASK FOR YOUR APPROVAL TO APPROVE. SECOND. MOTION BY COMMISSIONER DARBY. A SECOND BY COMMISSIONER RATCLIFFE TO AUTHORIZE THE PAYMENTS OF CLAIMS UNDER GENERAL ACCOUNTS.

ANY FURTHER DISCUSSION? HEARING NONE. CALL FOR THE QUESTION. ALL IN FAVOR? AYE. ANY OPPOSED?

[4.00 26-0631 Discuss, consider and/or take action to accept the IRS Mileage Rate of .76 cents per mile for Lubbock County business related mileage effective August 10, 2026.]

MOTION CARRIES. ITEM FOUR IS TO DISCUSS, CONSIDER AND OR TAKE ACTION TO ACCEPT THE IRS MILEAGE RATE OF $0.76 PER MILE FOR LUBBOCK COUNTY. BUSINESS RELATED MILEAGE EFFECTIVE TODAY, AUGUST 10TH, 2026. MISS WILLIAMS, I PRESENT THE IRS MILEAGE RATE OF $0.76, EFFECTIVE TODAY FOR YOUR APPROVAL. SO MOVED. SECOND. MOTION BY COMMISSIONER. SECOND BY COMMISSIONER RECHLER TO APPROVE THE IRS MILEAGE RATE OF $0.76. ANY FURTHER DISCUSSION? I THINK THE ONLY DISCUSSION I HAVE WAS CHECKING THE HISTORY OF THIS AND HOW MUCH IT'S GONE UP. I DON'T KNOW IF YOU SAW THAT OR NOT. IN 2023 IT WAS $0.67 24. IT WAS 7025. IT WAS 72.5. AND THIS YEAR NOW IT'S 76. SO THE COST OF DOING BUSINESS HERE IN LUBBOCK COUNTY IS INCREASING DRAMATICALLY. ANY OTHER QUESTIONS OR COMMENTS? HEARING NONE. CALL FOR THE QUESTION. ALL IN FAVOR? AYE. ANY OPPOSED? MOTION CARRIES. ITEMS FIVE THROUGH 18 ARE UNDER

[CONSENT AGENDA (ITEMS 5-18)]

OUR CONSENT AGENDA. IS THERE ANY ITEM THAT A COMMISSIONER WISHES TO PULL FOR INDIVIDUAL CONSIDERATION? MOVE TO APPROVE CONSENT AGENDA ITEMS FIVE THROUGH 18 AS PRESENTED. SECOND.

MOTION BY COMMISSIONER DALBY. SECOND BY COMMISSIONER CAWLEY. APPROVE AGENDA ITEMS FIVE THROUGH 18. ANY FURTHER DISCUSSION? THE ONLY DISCUSSION THAT I WOULD HAVE. JUST AS A NOTE ON ITEM SIX, WHICH IS THE 2027 GRIEVANCE COMMITTEE SELECTION LIST. MISS PINION HAS THAT. YOU'LL PROVIDE THAT, RIGHT? OKAY. BUT I WANTED TO MAKE A NOTE THAT WE WILL HAVE A OUR GRIEVANCE COMMITTEE, ONCE THEY'RE SELECTED FROM THE RANDOM LIST, WILL MEET AUGUST THE 20TH HERE IN THIS ROOM. AUGUST 20TH AT 2:00. SO THAT'S JUST A NOTE FOR THE COMMISSIONERS COURT AND FOR ANYBODY ELSE. AUGUST 20TH, 2:00 FOR THE GRIEVANCE COMMITTEE MEETING. AND WITH THAT, I WILL CALL FOR THE QUESTION ON CONSENT AGENDA ITEMS FIVE THROUGH 18. ALL IN FAVOR? AYE. ANY OPPOSED? MOTION CARRIES. ITEM 19 IS A PRESENTATION AND

[19.00 26-0461 Presentation and discussion of the FY 2027 Budget and proposed ad valorem tax rate for the FY 2027 Lubbock County Hospital District.]

DISCUSSION OF THE FISCAL YEAR 27 BUDGET AND PROPOSED AD VALOREM TAX RATE FOR THE FISCAL YEAR 27 FOR THE LUBBOCK COUNTY HOSPITAL DISTRICT. MR. FUNDERBURK, GOOD MORNING. GOOD MORNING. GOOD MORNING, GOOD MORNING. MORNING. YOUR ATTENTION THIS MORNING. IT'S GOOD TO SEE YOU AS WELL, SIR. GOOD MORNING SIR. HOW ARE Y'ALL? THANK YOU SO MUCH FOR THE OPPORTUNITY TO PRESENT OUR BUDGET FOR NEXT YEAR. WE APPRECIATE THAT OPPORTUNITY VERY, VERY MUCH. AS I START TODAY, I AM PRIVILEGED TO SERVE WITH A WONDERFUL GROUP OF PROFESSIONALS AT UMC HEALTH SYSTEM, AND THE BEST WAY TO ACKNOWLEDGE THEM TODAY IS WE START OFF THIS BUDGET IS TO ACKNOWLEDGE THEM IN THE. THE WORDS OF ONE OF OUR PATIENTS, I AM PRIVILEGED TO SEE AND HEAR A LOT OF GREAT FEEDBACK FROM OUR PATIENTS AND THIS ARRIVED ON FRIDAY, JUST THIS PAST WEEK AND I SAID, I NEED TO SAVE THIS UNTIL MONDAY BECAUSE THIS REALLY IS THE BEST WAY TO RECOGNIZE THE TEAM BACK AT UMC. MY 92 YEAR OLD FATHER RECENTLY SPENT TIME IN YOUR HOSPITAL, AND AFTER SIX DAYS OF LIVING AMONG YOUR STAFF, I CAME AWAY CONVINCED I HAD WITNESSED SOMETHING EXTRAORDINARY. WHAT I WITNESSED AT UMC WAS NOT THE EXCELLENCE OF ONE REMARKABLE EMPLOYEE. IT WAS THE EXCELLENCE OF AN ENTIRE CULTURE. NOT ONCE DID ANYONE MAKE US FEEL LIKE WE WERE ASKING TOO MUCH. REMARKABLE PART IS THAT THIS WASN'T TRUE OF JUST ONE NURSE, OR ONE PHYSICIAN, OR ONE THERAPIST OR ONE HOUSEKEEPER.

IT WAS EVERYONE. THINK ABOUT WHAT THAT MEANS TO ME AS A PATIENT. A SON OF A 92 YEAR OLD DAD. FAMILIES EXPERIENCING ONE OF THE HARDEST MOMENTS OF THEIR LIVES WERE MADE TO FEEL CARED FOR. I OWN A BUSINESS MYSELF. THIS HAPPENS ONLY BECAUSE YOUR TEAM REFUSED TO ALLOW EXCELLENCE TO BECOME OPTIONAL. SO TO YOUR ENTIRE STAFF, YOUR ENTIRE HOSPITAL, WHICH I WILL SHARE WITH THEM LATER. YOUR RELENTLESS PURSUIT OF SERVING OTHERS IS REMARKABLE. FAMILIES DON'T REMEMBER EVERY MEDICATION PRESCRIBED OR EVERY PROCEDURE PERFORMED, BUT THEY NEVER FORGET HOW YOU MADE THEM FEEL. WHAT YOU HAVE BUILT HERE HAS BEEN SEEN. SO TO YOUR TEAM AND TO ALL THOSE WE ENCOUNTERED, YOUR WORK MATTERS. THAT'S A GREAT LETTER AND IT'S THE

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MESSAGE WE TRY TO GET TO OUR STAFF EVERY SINGLE DAY. THEIR WORK MATTERS NO MATTER HOW THE BUDGET IS TRANSPIRED, THEIR WORK MATTERS. AND THAT'S A MESSAGE THAT WE WANT TO I WANT TO REPRESENT THEM TODAY TO YOU THIS MORNING. WITH THAT BEING SAID, WE'LL LOOK AT OUR BUDGET.

I WANT TO WALK THROUGH THIS AS SIMPLY AND EFFICIENTLY AS POSSIBLE. I WANT TO THANK MY BOARD MEMBERS FOR GUIDING US TO THIS PROCESS, AND I HAVE SEVERAL WITH ME TODAY, LAURA VINCENT, WHO IS OUR CHAIR, AND GLADYS WHITTEN, DOCTOR GLADYS WHITTEN. MARY GREENSTREET IS HERE AS WELL, AND WE HAVE SEVERAL OTHER BOARD MEMBERS THAT MIGHT BE COMING, BUT NONETHELESS, THEY'RE HERE AND I APPRECIATE THAT VERY MUCH. ALSO, JEFF DAY, MY CFO, AND OUR ENTIRE TEAM FROM FINANCE AND ADMINISTRATION. AND THEN LASTLY, DOCTOR CHRIS PEEL, WHO IS OUR CHIEF OF STAFF AND ALSO RESPONSIBLE FOR THE MEDICAL DIRECTORSHIP OF OUR ER, BOTH OUR ERS. SO I THANK THEM VERY MUCH FOR BEING HERE TODAY. WHAT YOU'LL FIND ON PAGE TWO IS ESSENTIALLY THE INTRODUCTION TO THE BUDGET, WHICH THIS YEAR IS PRESENTED FOR THE NO NEW REVENUE RATE, WHICH WILL OBVIOUSLY BRING TO US NEW CONSTRUCTION DOLLARS OF AROUND $680,720. EACH YEAR. ON PAGE FOUR. THIS IS THE ACTUAL FORMAL INTRODUCTION TO THE BUDGET.

YOU'VE SEEN THIS BEFORE. THERE ARE THREE SEPARATE BUDGETS 2027 OPERATING BUDGET, A THREE YEAR CAPITAL EQUIPMENT BUDGET FOR 27, 28 AND 29, A THREE YEAR CAPITAL EXPANSION BUDGET FOR THE SAME PERIOD, AND THEN REVISIONS TO THE ORIGINAL 26 BUDGET THAT WE'RE OPERATING UNDER TODAY.

YOU KNOW, OUR MISSION SINCE 1978, IT HAS ALWAYS BEEN CHARITY AND EDUCATION AND FINANCIAL STRENGTH. TODAY, I WANT TO FOCUS PARTICULARLY ON CORRECTIONAL HEALTH AS WELL. IF YOU'LL TURN TO PAGE FIVE, YOU'LL SEE JUST A VERY BRIEF TEN ZERO ZERO ZERO FOOT LEVEL OF THE BUDGET SUMMARY FOR NOT ONLY 2025, BUT ALSO 26 REVISED AND 2027. WHAT YOU'LL FIND AT THE TOP OF THE PAGE IS THAT OUR NET PATIENT REVENUE IS GOING TO GROW. WE EXPECT TO GROW IN 2027 BY ABOUT 4.9%. THIS IS COMING PRIMARILY, AND IF YOU HEAR THIS MESSAGE, YOU KNOW THIS ALREADY.

THIS IS COMING PRIMARILY FROM OUR ERS. THE MAIN ER UNDER DOCTOR PEEL THE SECONDARY ER HEALTH AND WELLNESS. THESE ARE GROWING AT AN UNPRECEDENTED RATE. AND I'LL TALK ABOUT THAT IN A MINUTE. AND THEY'RE GROWING SO FAST AND SO RAPID THAT WE ARE GOING TO ACTUALLY PRESENT TO YOU TODAY A SOLUTION FOR THAT. BUT THAT'S WHERE OUR GROWTH AND REVENUE IS PRINCIPALLY COMING FROM. THAT FOURTH LINE DOWN SUPPLEMENTAL FUNDING. THAT'S A VERY INTERESTING TOPIC, BECAUSE SUPPLEMENTAL FUNDING IS ESSENTIALLY A STATE AND FEDERAL PROGRAM COMBINATION THAT TEXAS IMPLEMENTS, BECAUSE TEXAS DID NOT EXPAND MEDICAID YEARS AGO LIKE SOME OTHER STATES DO. SO TO MAKE UP THE DIFFERENCE, SUPPLEMENTAL FUNDING IS THERE TO TRY TO FILL IN THE GAP. I HAVE BEEN TALKING TO THIS BODY FOR ABOUT THE LAST FIVE YEARS ABOUT A PARTICULAR SUPPLEMENTAL FUNDING THAT'S GOING AWAY. IT'S JUST EVAPORATING FROM THE STATE, AND WE WERE WARNED OF IT ABOUT FIVE AND A HALF YEARS AGO. IT'S CALLED THE NAPE PROGRAM, AND IT WAS WORTH ABOUT $40 MILLION TO US ORIGINALLY. THEN 37,000,020 FIVE, 23, AND NOW IT'S ABOUT 13 MILLION. AND IT WILL BEGIN ITS LONG GOODBYE NEXT MONTH IN SEPTEMBER. AND BY THIS TIME NEXT SEPTEMBER, IT WILL BE COMPLETELY GONE. IT'S NOT GOING TO BE REPLACED. IT'S SIMPLY THE STATE'S PREROGATIVE TO DO THAT. AND THEY WARNED US ABOUT THAT. AND SO I'LL TALK ABOUT THAT A LITTLE BIT AS WELL. SO WE'RE GOING TO SEE THAT FUNDING DIMINISH. IF YOU LOOK UNDER OPERATING EXPENSES, WE ARE NOW CLOSE TO BEING A $1.2 BILLION ORGANIZATION. AND YOU'LL SEE YOU'LL SEE BETWEEN 26 REVISED AND 27 BUDGET UNDER LESS OPERATING EXPENSES, YOU'LL SEE GROSS OF AROUND $30 MILLION. THAT COVERS A LOT OF TOPICS, BUT GENERALLY THE INCREASE THIS YEAR, THIS NEXT YEAR IS GOING TO BE LABOR TO KEEP OUR STAFF, OF COURSE, AND THEN MEDICAL STAFF HIRING AND SUPPORTING AND RECRUITING SPECIALISTS, WHETHER IT BE FOR A CANCER CENTER OR A SURGICAL CENTER OR WHATEVER WE'RE NEEDING ONE FOR. AND WE PARTNER WITH TEXAS TECH ON THAT, BUT WE FUND A GREAT DEAL OF THAT. THAT'S ABOUT $30 MILLION. PHARMACY IS ALSO, AS YOU WOULD IMAGINE, A MAJOR DRIVER OF OUR EXPENSE. IF YOU LOOK DOWN TO THE FIRST DARK BLUE BAR, REVENUE OVER EXPENSE. IF YOU COMPARE 2025 ACTUAL OF 80 TO 2027 OF 35.530, THAT'S A DECREASE OF AROUND 55%. NOW, THERE'S A LOT OF REASONS FOR THAT. REVENUE IS NOT QUITE WHAT IT USED TO BE AS FAR AS PAYERS, NOR IS THE EXPENSE OBVIOUSLY THE SAME WAY AS IT USED TO BE.

EXPENSES ARE UP. HEALTHCARE IS ABOUT A DOUBLE THE NORMAL INFLATION RATE, AND YOU EXPECT

[00:20:02]

THAT YOU HAVE SUPPLIES, YOU HAVE EQUIPMENT, YOU HAVE MEDICATIONS, ETC. YOU WANT TO GIVE THE VERY BEST AND THE LATEST TO YOUR YOUR PATIENTS THAT YOU SERVE. AND SO EXPENSES SIMPLY GO UP. SO WE EXPECT TO HAVE REVENUE OVER EXPERIENCE OF ABOUT 35.530 IN 2027. NOW, RIGHT BELOW THAT, YOU'LL SEE THE OPERATING MARGIN. AND THE HIGHER THE OPERATING MARGIN IS, THE MORE YOU'RE GOING TO HAVE CASH, OBVIOUSLY, TO EXPAND AND TO USE AND TO INVEST. AND IN THIS CASE, HOWEVER, OUR OPERATING MARGIN IS GOING TO HIT ZERO THIS YEAR AND THEN UP TO 1.0 AS PREDICTED FOR NEXT YEAR. THIS IS HONESTLY THE LOWEST MARGIN WE'VE HAD IN THE LAST 2 TO 3 DECADES, EXCEPT FOR 2024, WHEN WE HAD OUR RANSOMWARE EVENT THAT TOOK US DOWN AND WE RESPONDED BACK FROM THAT IN 2025. SO THIS IS A LOW MARGIN, OBVIOUSLY ZERO AND 1.0.

THIS IS A CHALLENGE FOR US. IT'S A CHALLENGE NOT ONLY FOR THE ACCUMULATION OF CASH, BUT ALSO THE REVENUE YOU EARN OFF THAT CASH INTEREST. AND SO THIS IS THIS KIND OF GOES BACK TO WHAT YOU'VE HEARD MANY TIMES BEFORE AND THE CHALLENGES OURS TO MEET. NO MARGIN, NO MISSION.

I'VE HEARD THAT FOR YEARS. WE'VE JUST NEVER QUITE BEEN AT THIS POINT TO CONSIDER WHAT THAT MEANS TO US. WE WANT TO MAKE SURE WE FULFILL OUR MISSION EVERY DAY, EVERY SINGLE DAY, ALL THE TIME. BUT NO MARGIN, NO MISSION DOES MAKE SURE THAT WE ARE BEING AS RESOLUTE AS POSSIBLE, THAT WE ARE BEING AS CAREFUL AS POSSIBLE WITH EVERY INVESTMENT.

AND WE'RE SAYING NO WHEN WE HAVE TO, OBVIOUSLY, TO CONSERVE WHAT WE DO HAVE. TOWARD THE BOTTOM OF THE PAGE, YOU'LL SEE THE TAX RATE 0.099932 FOR 2026. THAT'S OUR QUESTIONS. I'M GOING TO KEEP GOING. ON PAGE SIX, YOU'LL SEE THE MISSION OF CHARITY. I WILL TELL YOU, HAVING BEEN AT UMC FOR ABOUT 35 YEARS, WE HAVE SOME REALLY REMARKABLE INDIVIDUALS THERE, GENEROUS SOULS WHO GIVE THEIR LIVES TO HEALTH CARE AND TO THE PEOPLE OF LUBBOCK. AND THERE ARE SEVERAL THINGS THAT WE DO THAT I THINK ARE WORTH ENCOUNTERING AND MENTIONING ON PAGE SIX. EMS, OF COURSE, IS FUNDED COMPLETELY BY THE HOSPITAL, BUT THEY ARE A REMARKABLE GROUP, AND YOU KNOW THAT IF YOU DEPENDED ON THEM AND THEY TRAIN CITIZENS ALL OVER THE SCHOOL DISTRICTS, THE COMMUNITY, THEY TRAIN FOR FREE, WE'VE HAD SOME MAJOR SUCCESS WITH OUR FREE DIABETIC CLASSES. THOSE ARE OFFERED TO FOLKS THAT ARE EITHER ENTERING INTO A NEW DIAGNOSIS OR SIMPLY MANAGING THEIR WAY OUT OF ONE FOR DIABETES. AND WE IN OUR ANNUAL REPORT, YOU MIGHT HAVE SEEN SOME STORIES ON THAT, AND THAT HAS BEEN JUST A GREAT INVESTMENT FREE CLASSES AND PEOPLE ARE SIGNING UP AND THEY'RE STAYING WITH THEM FOR A MONTH AND MONTH. SO THAT'S GREAT. WE'RE ALSO PART OF THE LUBBOCK NETWORK, ALONG WITH THE CITY HEALTH DEPARTMENT, WHERE WE ARE TRYING TO MAKE SURE WHEN SOMEBODY COMES TO THE HOSPITAL AND THEY ARE CONSIDERED HIGH RISK, NOT HIGH RISK FOR HEALTH, BUT HIGH RISK FOR THEIR HOME LIFE, WHAT CONTRIBUTES TO THEIR HEALTH. AND SO WE MAKE SURE WE'RE IN TOUCH WITH CATHOLIC FAMILY SERVICES AND THE FOOD BANK, ETC. TO MAKE SURE WE ARE CONNECTING THEM WITH THE RESOURCES THAT THEY NEED. AND THEN THE LAST TWO THINGS, MAN, I'M SO PROUD OF THESE AND I'M SO PROUD OF THE FOLKS THAT HAVE BROUGHT THIS ABOUT. THESE ARE PROBABLY TWO OF THE BEST BLESSINGS WE'VE BROUGHT TO LUBBOCK, TEXAS IN A VERY LONG TIME. THE FIRST ONE IS THE URGENT CARE CLINICS. THEY'RE OPEN 24 HOURS A DAY. THERE'S ONE ON THE MAIN CAMPUS, AND THERE'S ONE OUT THERE BEHIND HEALTH AND WELLNESS. THEY WILL SEE AROUND 80,000 PATIENTS THIS YEAR, 40,000 EACH LOCATION. THE MAIN THING IS IT GIVES PATIENTS AN OPTION. ABOUT 60% OF PATIENTS WHO GO TO THE ER ARE NOT EMERGENT. BUT WHAT ELSE ARE YOU GOING TO GO. YOU DON'T HAVE MONEY. YOU DON'T HAVE RESOURCES. YOU MAY NOT HAVE A DOCTOR. AND THEY ARE FINDING THEIR WAY TO THESE CLINICS 24 HOURS A DAY. AND WHAT WE DID WAS JUST TRY TO LOOK AT THE VALUE OF THAT. IF THEY HAD GONE TO THE ER FOR THE CHEAPEST LEVEL POSSIBLE, IF THEY COME TO THE ER, WHAT ARE THEY OUT, WHAT BILL ARE THEY BEING ABSORBED. WHAT IS THEIR INSURANCE COMPANY ABSORBING.

THE SAVINGS IS ABOUT $15 MILLION. IN FACT I DON'T THINK I WOULD EVER BUILD AN ER WITHOUT AN URGENT CARE OPTION NEXT TO IT BECAUSE PEOPLE DON'T KNOW. SOMETIMES THEY GO TO URGENT, THEY GET SHIFTED TO EMERGENT, SOMETIMES BACK AND FORTH. YOU JUST DON'T KNOW WHAT YOUR CASE IS UNTIL YOU HAVE ACTUALLY BEEN ASSESSED BY A PHYSICIAN OR A NURSE PRACTITIONER. AND THEN RIGHT BELOW THAT, WE HAVE THE RX PERKS PHARMACY CLINIC. THAT'S WHERE YOU AND A PHARMACIST LOOK AT YOUR MEDICATIONS. AND THEN WE TRY TO FIND VERY, VERY DEEP DISCOUNTS THROUGH A FEDERAL PROGRAM THAT WE ARE FIGHTING TO MAINTAIN. AND THAT HAS SAVED THE PUBLIC AROUND $4 MILLION OUT OF POCKET. IT'S BEEN JUST AN INCREDIBLE BLESSING. WE HAVE FOUR LOCATIONS, AND WE FIND THAT ABOUT 85% OF THE PEOPLE THAT COME TO US ARE ABLE TO FIND A SOURCE OF HELP THROUGH THE PERKS PROGRAM. IT'S CHEAPER, IT'S MORE ACCESSIBLE, JUST LIKE

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URGENT CARE. SO THOSE TWO THINGS REALLY HAVE BEEN VERY MUCH IN OUR STRATEGY TO HELP LUBBOCK COUNTY. ON PAGE SEVEN, YOU'LL SEE A COMMENT FROM A PATIENT I RECEIVED IN JUNE AS I WAS PREPARING THIS PACKET. AND ESSENTIALLY, I'M NOT USING HYPERBOLE HERE. THIS IS WHAT WE HEAR A LOT. IF IT HAD NOT BEEN FOR THE RX PERKS PROGRAM, I WOULD HAVE TO CHOOSE BETWEEN MEDICATION AND RENT OR MEDICATION AND DAYCARE OR MEDICATION AND FOOD, ETC. SO WE DO HAVE PEOPLE HELPING US IN WASHINGTON TO MAKE SURE, AS THIS PROGRAM IS DISCUSSED, THAT WE FIGHT FOR IT, THAT WE TELL THE STORY OF LUBBOCK, TEXAS, AND BEING A SAFETY NET HOSPITAL FOR THE BOTTOM OF THE PAGE. YOU KNOW THIS ALREADY. I WON'T BELABOR THE POINT. UMC RECEIVES ABOUT SIX TIMES LESS FUNDING ON AVERAGE FROM LOCAL TAX SUPPORT THAN SIMILAR HOSPITALS WE COMPARE OURSELVES TO IN TEXAS. THAT'S WHY WE HAVE TO BE GOOD STEWARDS. ALWAYS, ALWAYS, ALWAYS BE GOOD STEWARDS ABOUT THE RESOURCES THAT WE DO HAVE. ON PAGE EIGHT. WHAT'S INTERESTING ABOUT UMC IS THAT WE WE HAVE TWO EQUALLY DEMANDING MISSIONS. ON ONE SIDE, WE HAVE CHARITY CARE, OUR RESPONSIBILITY. ON THE OTHER SIDE, WE HAVE EDUCATION PARTNERSHIP WITH TEXAS TECH. WE'VE GOT TO MAKE SURE THAT EVEN THOUGH I'M TOLD THAT TEXAS WILL BE AROUND 10,000 DOCTORS SHORT BY 2030, 2032, WE WANT TO MAKE SURE WE'RE TRAINING AS MANY AS POSSIBLE. THAT'S WHY DOCTOR PEEL, JUST A FEW YEARS AGO OPENED UP A BRAND NEW ER RESIDENCY RIGHT IN OUR BUILDING. AND THAT'S GOING TO PRODUCE AROUND 27 NEW RESIDENTS. IN FACT, THE FIRST CLASS, THREE OF THEM STAYED IN WEST TEXAS. THAT'S WHAT YOU WANT. THAT'S WHAT YOU WANT. SO WHAT YOU'LL SEE ON THAT PAGE IS WE HAVE 258 RESIDENTS THAT WE SUPPORT. WE SUPPORT THEIR FAMILIES, THEIR THEIR SALARIES, ETC. AND THEN WE HAVE NEW FELLOWSHIP PROGRAMS COMING TO LUBBOCK. WE LOVE LUBBOCK, BUT NOT EVERYBODY WANTS TO COME HERE. SO WE TRY TO GROW OUR OWN MEDICAL STAFF IN THE HOPES THAT THEY WILL STAY HERE, JUST LIKE I TALKED ABOUT A MOMENT AGO. SO TWO MISSIONS THAT HAVE TO GROW WITH EQUAL FERVOR. AND YET WE DON'T HAVE REALLY MUCH OF A CUSHION TO PRODUCE ANY MORE FERVENCY FOR BOTH OF THEM. SO THAT'S OUR CHALLENGE ON PAGE NINE. ON PAGE NINE THIS YEAR, FOR THE FIRST TIME, WE CONDUCTED A ECONOMIC STUDY, THE RAY PERRYMAN GROUP, WHO'S WORKED WITH SEVERAL BUSINESSES IN LUBBOCK OUT OF WACO AND IS ALSO A CONSULTING MEMBER OF TEXAS TECH. THE RAY PERRYMAN GROUP, LOOKED AT UMC AS A HEALTH SYSTEM, AND THEY DETERMINED, WELL, HERE'S YOUR QUANTIFIABLE VALUE. AND THIS IS NOT FOR EVERYBODY'S EARS, BUT I THINK IT CERTAINLY IS FOR THE EARS IN THIS ROOM. IT'S PUBLIC KNOWLEDGE, BUT NONETHELESS, IT'S JUST FINANCIAL QUANTIFICATION. AND WHAT IT SAYS THERE ON THAT FIRST BULLET IS THAT THE ECONOMIC IMPACT, IF YOU WILL, IS ABOUT $1.3 BILLION IN GROSS PRODUCT. SECONDLY, WHILE UMC RECEIVES AROUND $36 MILLION IN LOCAL PROPERTY TAX RECEIPTS, ANNUAL TAX REVENUES THAT STEM FROM OUR OPERATIONS INCLUDE ABOUT 61 MILLION TO LOCAL TAXING ENTITIES, WHETHER IT'S COUNTY OR CITY OR SCHOOL, ETC. IN OTHER WORDS, MY POINT IS WE TRY VERY FERVENTLY TO MAKE SURE WE'RE PAYING FOR OURSELVES AS FAR AS THE VALUE, WE RETURN BACK TO THE COMMUNITY ON THE BOTTOM OF THE PAGE. I ADDED THIS BECAUSE WE ARE REALLY IN A NEW REALITY. WE HAVE INVESTED IN HEALTH AND WELLNESS WITH CASH RESERVES, AND IT'S WORKING WELL TO HELP FUND THE UNFUNDED. ON THE MAIN CAMPUS, WE IMPLEMENTED THE CANCER CENTER WITH CASH RESERVES BECAUSE THE INCIDENCE OF CANCER IS 13% HIGHER THAN THE NATIONAL AVERAGE. AND SO WE HAD TWO BIG NEEDS THERE. BUT THAT HAS BROUGHT US DOWN TO PRETTY MUCH A REDUCED, DWINDLING AMOUNT OF THAT. WE HAVE SPENT DOWN CASH RESERVES AT THE SAME TIME WITH THE ER GROWING AND URGENT CARE GROWING. THE DEMAND FOR SERVICES HAS JUST ESCALATED OVER THE PAST COUPLE OF YEARS. SO WE HAVE THESE TWO FIGHTING ISSUES KIND OF COME AGAINST US. WHAT I'VE INCLUDED ON THE BOTTOM OF THE PAGE NINE IS SIMPLY SOME COMMENTS THAT I HEAR AND YOU HEAR CONSTANTLY FROM PATIENTS. I'VE BEEN COMING HERE FOR A LONG TIME. IT'S NEVER BEEN LIKE THIS. THE STAFF WERE GREAT, BUT 13 HOUR WAIT TIME IS UNACCEPTABLE. OR 15 OR 18 OR 20 OR DOWN TO FIVE. WHATEVER THE CASE IS, BOTH HOSPITALS ARE VERY, VERY BUSY IN THEIR ERS. THESE ARE JUST FREQUENT CONVERSATIONS THAT ARE HAPPENING. SO AS LUBBOCK GROWS, WE HAVE TO GROW WITH IT. THAT TRANSLATES TO PAGE TEN. I WANT YOU TO LOOK AT THE BOTTOM OF THE PAGE. I THINK THIS IS A VERY GOOD GRAPH. IT JUST KIND OF REALLY TELLS THE STORY OF WHERE WE ARE AND WHAT HAS KIND OF COME UPON US OVER THE PAST COUPLE OF YEARS. IT'S IMPORTANT TO NOTE THAT OF THE 500 BEDS WE HAVE IN THE HOSPITAL, EVERY ONE OF THEM STAFFED, THERE IS NO UNIT SET ASIDE OR UNSTAFFED. ALL THE BEDS ARE STAFFED AND

[00:30:02]

THE ER WAIT TIME DOES AVERAGE FROM FIVE AND A HALF TO SEVEN HOURS. BUT OF LATE THIS SUMMER PARTICULARLY, OR LIKE THE WINTER, WE HAVE HAD EVEN QUITE A BIT EXCESSIVE WAITS FROM THERE. AND WE DO NOT WANT THAT TO BE THE CASE. OF COURSE, THE FRONT DOOR NEVER CLOSES AND WE HAVE A LARGE CATCHMENT AREA. IF YOU LOOK AT THE GRAPH AT THE BOTTOM OF THE PAGE, YOU'LL SEE IN THE BLUE. THIS WAS KIND OF OUR ACTUAL ONGOING EXPANSION OVER SEVERAL YEARS, 2.5%. AND WE WERE ABLE TO ACCOMMODATE THAT BY ADDING A FEW BEDS OR NURSES OR FAST TRACK SYSTEMS, WHATEVER THE CASE WAS. AND THEN THE RED LINE WAS OUR PROJECTION AS WE'RE COMING OUT OF COVID AT ABOUT 3%, AND THEN NOT ALL OF A SUDDEN, BUT THROUGH 2024 AND 2025, WE SAW GROWTH OF AROUND 5.7%. AND YOU'RE GOING TO THINK, WELL, WHAT WHAT HAPPENED? LUBBOCK DIDN'T GROW AUTOMATICALLY THAT FAST. WHAT WE HAVE FOUND IS THAT THE URGENT CARE CLINICS I TALKED ABOUT THAT GAVE PEOPLE AN OPTION OUTSIDE OF GOING TO THE ER OR AVOIDING IT. WE'VE GOT TWO URGENT CARES SEEING 80,000. WE HAVE AN URGENT, WE HAVE AN ER OUT OF HEALTH AND WELLNESS, WHICH HAS GONE UP 24% SINCE LAST YEAR. AND THEN WE HAVE THE MAIN ER SO I'VE REALLY GOT, IF YOU WANT TO THINK ABOUT IT THIS WAY, I'VE GOT FOUR FRONT DOORS, ALL OF WHICH ARE VYING FOR THE MAIN CAMPUS AND BEDS. POTENTIALLY NOT ALL PATIENTS, MANY OF THEM GO HOME FROM URGENT CARE, BUT SOME OF THEM GET ROUTED TO THE ER. AND SO THEY'RE COMING TO US. SO PEOPLE HAVE DEMANDS AND THEY WANT TO BE TREATED QUICKLY. AND SO THIS HAS BEEN REALLY THE GENESIS OF OUR IDEA TO EXPAND THE HOSPITAL'S ER THIS GRAPH, THIS DATA, THIS COMPELLING GROWTH THAT WE'VE SEEN OVER THE PAST COUPLE OF YEARS HAS BEEN JUST EXTRAORDINARY. AND AS DOCTOR PEEL WOULD TELL YOU, AND HE SAYS THIS WITH ALL SERIOUSNESS, HE SAYS, THIS IS NOT YOUR DAD'S ER MEANING BY THAT. SO MANY OF THE PATIENTS THAT ARE A LOWER LEVEL ACUITY HAVE FOUND THEIR WAY SOMEWHERE ELSE. THEY FOUND THEIR WAY TO URGENT CARE. AND SO WHO'S COMING TO THE ER NOW FOR A GREAT DEGREE. THEY ARE SICKER IF YOU WILL. THEY HAVE COMORBIDITIES. THEY'RE GOING TO STAY LONGER AND THEY'RE GOING TO DEMAND HOSPITAL INPATIENT CARE. SO THAT'S THE GOAL OF WHICH IS THE GOAL. YES. THAT'S WHAT YOU WANT. YOU WANT PEOPLE TO MAKE A CHOICE. AND BECAUSE WE HAVE FOUR DOORS, THE ER STILL IN SPITE OF 80,000 PATIENTS FINDING THEIR WAY ELSEWHERE FROM ALL OVER THE REGION, THE ER NOW TODAY IS JUST AS BUSY AS IT HAS BEEN. SO THAT LEADS US TO WHAT IS OUR PLAN. WHAT'S OUR ANSWER FOR THIS? IF YOU LOOK ON PAGE 11 AND THIS IS IN OUR OUR BUDGET DESCRIPTION OF ITEMS, PAGE 11. THIS TALKS ABOUT PHASE ONE EXPAND THE MAIN EC TO REDUCE PATIENT WAIT TIMES FUNDED WITH THE REMAINING UNDESIGNATED CASH RESERVES. SO WHAT WE HAVE LEFT REMAINING WILL GO TOWARDS THIS NEW EC BEYOND DESIGNATION. AND WHAT THAT'S GOING TO INCLUDE IS AROUND 72 EXAM ROOMS AND OBSERVATION BEDS. SO LET ME CLARIFY WHAT THAT MEANS. SO SAY I HAD BROUGHT THAT UP IN OUR BOARD LAST WEEK, THAT IT BOTHERED ME THAT WE WERE JUST TALKING ABOUT ADDING 28 BEDS. YES, SIR. AND DOCTOR PEEL WAS GRACIOUSLY ENOUGH TO TO EXPLAIN THAT IT ACTUALLY ADDS 46 OBSERVATION BEDS BESIDES THE 28 ROOMS. THAT'S RIGHT. AND SO AN OBSERVATION BED IS AN INPATIENT BED. IT'S JUST PAID AN OBSERVATION FEE, BUT IT'S JUST LIKE A REGULAR ROOM. THEY'RE ON FIVE WEST RIGHT NOW. WE'RE GOING TO MOVE THEM DOWN BY THE ER. THE ER IS GOING TO RUN IT. SO YOU AS A PATIENT WILL COME IN. YOU'LL BE SEEING AN EXAM ROOM. AND IF YOU NEED TO BE OVERNIGHT AS AN INPATIENT OBSERVATION YOU'LL BE MOVED RIGHT DOWN THE HALL AND PATIENTS WILL SIMPLY FLOW DOWN THERE. AND WE WILL GAIN ESSENTIALLY 40 BEDS UPSTAIRS. SO THAT'S HOW THIS IS GOING TO WORK. I THINK IT'S GOING TO WORK WELL FOR US. THE COST OF THIS PROJECT IS ABOUT $160 MILLION, AND WE WANT TO PAY FOR THAT WITH UNDESIGNATED CASH RESERVES AS WELL AS PHILANTHROPY. SO WE'RE ALREADY STARTING OUR CAMPAIGN. AT THE SAME TIME, WE'RE GOING TO BE SHORT 160. SOME PORTION OF THAT BECAUSE OF CASH IS REDUCING. AND SO WE'VE GOT TO MAKE SURE WE ARE VERY CAREFUL ABOUT THAT AND SORT OF BUILDING BACK UP THE CASH RESERVES THAT WE DO HAVE. THE SECOND PHASE WILL COME LATER. THIS WAS DISCUSSED WITH COUNTY COMMISSIONERS LAST YEAR AS WELL. AND SO THIS IS SUGGESTED AT THAT TIME. SECOND PHASE WILL BE LATER ON. AND THAT'LL BE MOST LIKELY A BOND ELECTION. BUT AGAIN THAT'S IN A FEW YEARS NOT NEXT YEAR. SO ESSENTIALLY WE WANT TO MAKE SURE WE'RE USING THE SPACE APPROPRIATELY. AND WE ADD ENOUGH BEDS TO CARE FOR BOTH ER AND INPATIENT TRANSFERS ON PAGE 12. AND WHAT AS FAST AS I CAN BEFORE YOU LEAVE THAT, WANT TO STATE SOMETHING THAT WAS CLARIFIED ALSO IN THAT MEETING, THE 72 EMERGENCY ROOM THAT YOU GOT, I MEAN, EC ROOMS THAT YOU'VE GOT, THEY'RE NOT 72

[00:35:01]

INTERCHANGEABLE. ANYBODY? THERE ARE SOME SPECIALTY ROOMS, SO YOU CAN'T FIGURE 72 ROOMS DIVIDED BY THE AMOUNT OF PATIENTS AND SAY, LIKE, I BROUGHT UP A THREE AND A QUARTER PATIENTS PER DAY AND WELL, THAT DOESN'T FIT BECAUSE THERE'S SOME OF THOSE ROOMS CAN'T BE USED FOR JUST INDIVIDUALS. THAT'S RIGHT. SO IN THAT ER THAT WE WILL EXPAND THAT CURRENTLY EXIST, I'VE GOT ADULT, I'VE GOT PD, I'VE GOT TRAUMA, I'VE GOT PSYCHIATRIC, I HAVE FAST TRACK, I'VE GOT A VIRTUAL OR A, A, A VERTICAL SITUATION AS WELL. SO THERE'S ALL KIND OF BEDS THAT ARE MIXED IN THAT IT'S NOT ONE FOR ONE, BUT THAT'S A VERY GOOD POINT.

THANK YOU FOR THAT. IF YOU TURN TO PAGE 12, I WANT TO FOCUS JUST FOR A MOMENT ON WHAT WE HAVE HERE, WHICH IS REALLY A A SHARED RESPONSIBILITY. AND THIS IS FOR CORRECTIONAL HEALTH CARE.

THIS IS REALLY A AS YOU KNOW THIS ALREADY, BECAUSE YOU HAVE THE RESPONSIBILITY FOR THE.

LCDC. THIS HAS GROWN QUITE A BIT, AND WE HAVE PARTNERED WITH SHERIFF ROWE RESOLUTELY OVER THE PAST FEW YEARS TO TRY TO MAKE THIS AS EFFICIENT AS POSSIBLE. AND THERE'S FOUR THINGS I WANT TO POINT OUT ON THIS PAGE THAT ARE IMPORTANT TO US AND IMPORTANT TO OUR BOARD.

ON PAGE 12. IT GOES WITHOUT SAYING, BUT I'LL JUST REMIND THOSE WITHIN EARSHOT THAT WE HAVE BEEN DELEGATED THE RESPONSIBILITY TO CARE FOR THE HEALTH CARE OF THE INMATES SINCE 1998. IT IS NOT LEGISLATIVELY MANDATED, BUT IT IS DELEGATED TO US BECAUSE IT'S THE COUNTY'S RESPONSIBILITY AND WE ARE TAKING THAT ON. IN 1998 IS WHEN THE FIRST INTERLOCAL AGREEMENT STARTED, AND IT WAS A VERY LOW AMOUNT AT THAT TIME, LESS THAN $1 MILLION. BUT NONETHELESS, THAT'S HOW IT WORKED. STAR CARE, WHICH IS A GREAT ORGANIZATION, A BETH LAWSON RUNS THAT, AND THEY RECEIVE AROUND $2.3 MILLION A YEAR FROM LUBBOCK COUNTY.

ADDITIONAL SERVICES, ADDITIONAL REVENUE IS ROUTED TO THEM. AND THEN IF THEY HAVE MEDICATIONS, WE PAY FOR THOSE AS WELL, BECAUSE, AGAIN, WE HAVE PHARMACEUTICAL SUPPORT IN THAT LOCATION. AND THEN LASTLY, I THINK PROBABLY THE MOST IMPORTANT FIGURE OF THE PRESENTATION IN THIS REGARD IS THE FACT THAT 28%. OF THE DOLLARS WE DO RECEIVE, $36 MILLION OF $106 MILLION COST, 28% OF THAT $36 MILLION NOW GOES TOWARDS THE FUNDING OF HEALTH CARE FOR THE INMATES. ALMOST A THIRD, BEFORE I EVEN SPEND A DOLLAR ON A PATIENT IN MY E.R. OR IN MY CLINIC OR IN MY HOSPITAL, THAT'S UNFUNDED. BEFORE I EVEN DO THAT, I'M SPENDING A THIRD OF IT ALMOST AT LCDC AND LC, JJC AND AGAIN, THAT'S HEALTH CARE THAT HAS TO BE DELIVERED. SOMEBODY HAS TO DO IT. IT'S OUR RESPONSIBILITY. BUT NOW IT'S ALMOST A THIRD OF THE ENTIRE AMOUNT FOR OUR FULL UNFUNDED BURDEN. AND ON PAGE 12, THAT REFLECTS ON PAGE 13. I BEG YOUR PARDON. THAT REFLECTS ON THE GRAPH RIGHT THERE, JUST FOR YOUR INFORMATION. AND AT THE BOTTOM OF THE PAGE, YOU'LL SEE OF THE $36 MILLION WE EXPECT THE CORRECTIONAL HEALTH CARE TO BE ABOUT $11 MILLION IN 2027. AND YOU ALL KNOW THIS AS WELL AS I DO. WE HAVE MORE INMATES, BUT THEY'RE ALSO OLDER AND THEY'RE STAYING LONGER, AND THEY HAVE CO-MORBIDITIES. AND WHEN THEY COME TO US, THEY ARE SICK. AND SO SOME OF THE THINGS THAT WE HAVE DONE TO TRY TO HELP THAT SITUATION IS SIMPLY TO WORK WITH SHERIFF ROWE AND WORK WITH THE UNIT TO MAKE SURE WE ADD AS MUCH EFFICIENCY THERE AS POSSIBLE. ON PAGE 14, I'LL GO PAST THIS SLIDE. YOU'VE ALREADY SEEN IT, AND THEN ON PAGE 15, SPEAKING OF SHERIFF ROWE, WE CREATED YOU MIGHT REMEMBER THIS A COUPLE OF YEARS AGO. WE CREATED AN OUTPATIENT DIALYSIS CENTER OUT THERE, WHICH ACTUALLY HAS WORKED LIKE A CHARM. IT KEEPS PATIENTS OUT OF OUR HOSPITAL, BUT IT ALSO KEEPS GUARDS THERE. AND SO WHEN YOU LOOK AT HOW THAT WORKS, THE CHAIRS OUT THERE, IT'S WORKING VERY, VERY WELL. WE HAVE A PARTNER OUT THERE. SHERIFF ROWE, WORKED WITH US TO MAKE SURE THAT HAPPENED. AND THEN THE PHARMACY OUT THERE, YOU CAN IMAGINE THE AMOUNT OF MEDICATIONS FOR THAT NUMBER OF INMATES THAT ARE ILL. AND SO TRYING TO MAKE SURE THOSE MEDICATIONS ARE ON FORMULARY, THEY'RE THE LEAST EXPENSIVE. THEY ARE DISTRIBUTED IN A FAIR AND DECENT AND INEXPENSIVE WAY. ALL OF THAT'S BEEN UNDER THE AUSPICES OF OUR PHARMACY PROGRAM. JACK IS OUT THERE AND JUST DOES A REMARKABLE JOB. SO THESE ARE SOME OF THE THINGS THAT WE'VE BEEN WORKING ON. IT'S IT'S A BIT OUT OF CONTROL. OBVIOUSLY, THE COST IS UP TO $11 MILLION NOW WITHOUT REALLY ANY ADDITIONAL SUPPORT. BUT NONETHELESS, IT'S OUR RESPONSIBILITY. AND SO WE LOOK FORWARD TO PERHAPS A NEW INTERLOCAL AGREEMENT OR SOME AGREEMENT WHERE WE CAN WORK TOGETHER IN THAT REGARD. ON PAGE 16, YOU'LL SEE JUST SOME REMINDERS. I WON'T GO OVER THOSE. I'VE ALREADY TALKED ABOUT THOSE. JUST A ONE PAGER OF REMINDERS ON PAGE 17. I WON'T GO THROUGH THE CAPITAL BUDGET BECAUSE IT'S LONG AND THE EQUIPMENT BUDGET IS LONG AS WELL. BUT ON PAGE 17, YOU'LL SEE SOME OF THE ITEMS THAT HAVE COME UP THAT WILL HAVE TO BE APPROVED WHEN THEY COME TO OUR BOARD. THE FIRST ONE IS THE

[00:40:05]

WEST TOWER EC EXPANSION. I JUST TALKED ABOUT THAT. AT THE BOTTOM OF THE PAGE, YOU'LL SEE AMBULANCES AND FIRST RESPONDER VEHICLES, AND YOU'LL SEE SOME OF THE. MOSTLY WHAT WE BRING IS VERY, VERY EXPENSIVE EQUIPMENT THAT YOU WANT THE VERY BEST AND BRIGHTEST AT YOUR HOSPITAL, A LOT OF IMAGING EQUIPMENT OR EQUIPMENT. BUT EVERY SINGLE ITEM THAT'S MENTIONED HERE IS JUST A PLACEHOLDER. IT STILL MUST BE APPROVED AND BIDDED AND TAKEN TO OUR BOARD FOR THEIR APPROVAL. ON PAGE 18 IS THE NO NEW REVENUE RATE PROPOSAL, WHICH WILL INCREASE OUR EXISTING PROPERTY VALUE OR EXISTING PROPERTY REVENUE BY 681, ADDED TO TAX BASE, AND THEY'LL BRING US $681,000 OVER 2025. NOW, THAT CONCLUDES ON PAGE 19. ON BEHALF OF THE BOARD OF MANAGERS, I RESPECTFULLY RECOMMEND THE ADOPTION OF A TAX RATE OF 0.099932, RECOMMEND THE APPROVAL OF A 2027 CAPITAL EXPANSION BUDGET AS LISTED. 2027 CAPITAL EQUIPMENT BUDGET AS LISTED. 2027 OPERATING BUDGET AS LISTED. FINALLY, I RECOMMEND THE APPROVAL OF 2026 REVISED CAPITAL EXPANSION, 2026 REVISED CAPITAL EQUIPMENT AND 2026 REVISED OPERATING BUDGET.

THE REMAINDER OF THE INFORMATION HERE, WHICH I WON'T GO OVER, IS A LOT OF DETAILS THAT I'VE FOCUSED ON ALREADY. I WILL HIT A COUPLE OF THINGS, THOUGH, AS I'M WRAPPING UP. IF YOU WILL TURN OVER TO PAGE 24. UNDER TOTAL OPERATING REVENUE ON THE BOTTOM PAGE. AND THEN OF COURSE, ON THE ON THE FLIP SIDE, YOU'LL SEE PAYROLL AND BENEFITS UNDER TOTAL OPERATING REVENUE.

I'M VERY HAPPY TO SAY THAT I'LL DO. A FEW YEARS AGO, RIGHT AFTER COVID, WE WERE REALLY STRUGGLING WITH STAFFING ET-CETERA AS MANY HOSPITALS ARE. I CAN TELL YOU THAT TODAY, AND I'M VERY GRATEFUL FOR THIS BECAUSE THIS IS GOOD FOR BUSINESS AND IT'S GOOD FOR OUR PATIENTS, OUR TURNOVER RATE TODAY OF ALL EMPLOYEES THAT WORK HERE AT THE HOSPITAL SYSTEM IS THE LOWEST IT'S BEEN IN SIX YEARS. NOW THERE'S TWO REASONS FOR THAT. ONE, WE'RE PAST COVID. THANK GOD WE'RE MOVING FORWARD. BUT ALSO WE ARE WORKING. I CAN SAY THIS TRANSPARENTLY. WE ARE WORKING VERY, VERY HARD TOWARD NOT JUST A GOOD ENVIRONMENT FOR OUR STAFF. WE WANT TO MAKE SURE THEY HAVE WELL-BEING. COVID DID A NUMBER ON PEOPLE, AND WE WANT TO MAKE SURE THAT WE HAVE THE RIGHT RESOURCES SO OUR STAFF FEEL LIKE THEY ARE ENERGIZED AND THEY ARE RESILIENT AND THEY'RE NOT LEAVING, AND WE WANT THEM TO FEEL LIKE THEY'RE CARED FOR. AND SO WE HAVE RESOURCES IN THE HOSPITAL TO MAKE SURE THAT HAPPENS. AND I THINK THAT'S ONE REASON WHY WE HAVE THE LOWEST TURNOVER IN SIX YEARS. I'M REALLY JUST GRATEFUL FOR THAT. AND I WANTED TO MENTION THAT BECAUSE THEY'RE DOING A WONDERFUL, WONDERFUL JOB. IF YOU'LL TURN ON OVER TO PAGE 38, WE REALLY ARE ALMOST DONE ON PAGE 38. CAPITAL EXPENDITURES, NET INCOME AND CASH. SO THIS IS EXPLAINING OR ESSENTIALLY VISUALIZING AT THE BOTTOM OF THE PAGE, THE DIFFERENCE BETWEEN WHAT WE SPEND IN THE DARK BLUE AND WHAT WE EARN AND RECORD AS NET REVENUE, NET INCOME, AND DEPRECIATION IN THE LIGHT BLUE.

AND WHAT WE HAVE TO DO, AS YOU WOULD IMAGINE, IF WE'RE GOING TO PAY FOR AN ER WITH UNDESIGNATED CASH AND WE DON'T HAVE THAT MUCH AT THIS POINT, WE'VE GOT TO BE VERY CAREFUL OF EVERY SINGLE YES AND NO THAT WE MAKE EVERY INVESTMENT WE MAKE. DOCTORS WANT THINGS. WE WANT THINGS WE WANT TO EXPAND IN CERTAIN WAYS. WE'VE GOT TO BE VERY CAREFUL AND VERY DILIGENT ABOUT THAT, BECAUSE THERE IS NO ROOM FOR FLUFF OR FOR EXTRA. AND SO THIS IS VERY IMPORTANT TO US, AND WE MAKE SURE WE MONITOR THIS ON A VERY REGULAR BASIS. ON PAGE 39 IS THE CASH FORECAST. CASH FORECAST. IF YOU JUST LOOK AT VERSUS THE FIRST COLUMN 2026 REVISED BUDGET, WE'RE STARTING WITH PARDON ME, WE'RE STARTING AT 422, 994. AND THEN YOU'LL SEE EXCESS REVENUE.

SO WE ADD THAT IN AND THEN WE ADD IN 20 FROM THE FOUNDATION. WELL THAT'S BECAUSE WE BUILT A CANCER CENTER AND WE RAISED MONEY FOR THE CANCER CENTER, WHICH IS FANTASTIC. THERE WAS $20 MILLION RAISED FOR THAT. AND THEN YOU'LL SEE SOURCES AND USES OF CASH, FACILITY EXPANSION, EQUIPMENT EXPANSION. MAN, IT'S ALWAYS GROWING UP BECAUSE FIVE YEARS AGO, DID WE HAVE ROBOTS IN THE SYSTEM? NOT PARTICULARLY. WE HAVE NEW EQUIPMENT NOW THAT'S DEMANDED BY RESIDENTS COMING OUT OF SERVICE. WE WANT TO MAKE SURE WE HAVE THAT READY FOR THEM.

AND SO EXPANSION OF INVESTMENTS IS GROWING QUITE, QUITE LIBERALLY. AND THEN WE HAVE TOTAL CASH BALANCE BEFORE DESIGNATIONS IN THE BLUE BAR OF FOR 40 DAYS, CASH ON HAND AT 147. AND THAT'S AT A MARGIN OF ZERO. SO THAT WON'T BE ADDED TO TO ANY GREAT DEGREE. OUR BOARD REQUIRES 120 DAYS OF DESIGNATED CASH RESERVES. I'M VERY, VERY GRATEFUL THAT THEY DO HAVE AT LEAST 120. MOST OF OUR HOSPITALS, OUR SIZE ARE HIGHER THAN THAT. BUT THAT'S NOT THE POINT. THE POINT IS, EVEN DURING OUR RANSOMWARE ATTACK, WE WERE GRATEFUL FOR THIS VERY,

[00:45:04]

VERY MUCH. IT MUST HAVE BEEN A COUPLE OF YEARS AGO. AND SO 120 DAYS IS NOT LIBERAL. OUR AUDITORS TELL US IT'S QUITE, QUITE, QUITE CONSERVATIVE. BUT NONETHELESS, THAT'S 120 DAYS.

AND ONCE YOU REDUCE ALL OF THOSE RESERVES, YOU END UP WITH UNDESIGNATED CASH BALANCE AT YEAR'S END OF 75 MILLION AND 103 MILLION THE NEXT YEAR. AND THAT IS SHORT, OF COURSE, OF WHAT WE NEED. BUT WE'RE GOING TO BE GROWING BACK UP AND ADDING BACK UP TO THAT FIGURE.

AND THEN PHILANTHROPY WILL TAKE CARE OF SOME OF THE REST OF THAT. BUT IT IS A CHALLENGE.

IT'S A VERY, VERY BIG CHALLENGE. ON PAGE 40, YOU'LL SEE THE NO NEW REVENUE RATE RIGHT THERE UNDER 2026. AND THAT'S WHERE WE'RE GOING TO PROPOSE FOR TODAY. AND THEN ON PAGE 42, JUST A COUPLE OF REMINDERS OF WHAT WE ARE EFFORTING TO DO. WE HAVE AT THE BOTTOM OF PAGE 42, TWO MISSIONS AT 105 TEXAS TECH SCHOOL OF MEDICINE AT 115. THOSE DON'T STOP GROWING AS I WOULD NOT EXPECT THEM TO, BUT THEY DO REQUIRE STEWARDSHIP AND THEY DO REQUIRE ACTION. SO IN CLOSING, I WOULD LIKE TO SAY, AS I STARTED ON BEHALF OF THE HOSPITAL SYSTEM. PEOPLE DON'T WANT TO FEEL LIKE THEY'RE INVESTING IN SOMETHING THAT'S NOT WORTH IT. THEY DON'T WANT TO HAVE TAXES GO UP OR SOMETHING. THEY DON'T FEEL LIKE IT'S WORTH IT. WHAT I THINK PEOPLE DO WANT, THOUGH, AND WHAT THEY'LL EXPECT FROM US, REGARDLESS OF THE FUTURE, WE'LL EXPECT THE HOSPITAL TO BE PREPARED, ALWAYS PREPARED FROM THE E.R. ALL THE WAY TO THE O.R. TO THE CLINICS BACK AND FORTH. THEY'LL EXPECT US TO HAVE THE BEST CARE, THE BEST STAFF FOR THEM, FOR OUR FAMILIES AND YOUR FAMILIES IN THE HOSPITAL SYSTEM IN LUBBOCK.

AND WE WANT TO DO THAT. ABSOLUTELY. THE ONE FIGURE THAT REALLY WORKS AGAINST THE GRAIN ON THAT IS THAT 28% OF OUR UNFUNDED SUPPORT THAT GOES TOWARD THE THE DETENTION CENTER.

BUT AS WE MOVE FORWARD, WE ASK FOR YOUR SUPPORT, YOUR ACTION TO HELP US PERHAPS NARROW THAT GAP. AND WE APPRECIATE YOUR TIME TODAY. AND I THANK YOU VERY MUCH FOR YOUR ATTENTION.

AND THAT CONCLUDES MY PRESENTATION. THANK YOU. ANY QUESTIONS FOR MR. FUNDERBURK? MR. FUNDERBURK, THANK YOU FOR YOUR. SERVICE TO THIS COMMUNITY, YOUR INVESTMENT IN ITS CITIZENS.

GOING BACK TO THE E.R. VERSUS URGENT CARE. WHAT WHAT IS HOW DO YOU GET PATIENTS TO CHOOSE AN URGENT CARE OVER THE E.R. I KNOW THERE'S EDUCATION INVOLVED. IS IT JUST IS IT IS IT ONGOING? IS IT I MEAN, WHAT WHAT DOES THAT LOOK LIKE? SO IT IS ONGOING. AND YOU MIGHT REMEMBER THIS, BUT BEFORE WE OPENED THE CANCER CENTER, WE WERE ON A CONSTANT TRAJECTORY OF TRAINING PEOPLE. WHERE DO YOU GO? LITERALLY AS SIMPLE AS THIS IS URGENT. THIS IS URGENT, THIS IS URGENT. THIS HEART ISSUE IS EMERGENT. AND WE HAD ALL THESE CAMPAIGNS GOING AND THE CANCER CENTER OPENED THAT KIND OF PUT IT ON PAUSE. WE'RE GOING TO REVISIT THAT CAMPAIGN AND COME BACK TO IT. I'VE STUDIED HOSPITALS THAT HAVE DONE THIS, AND THAT'S WHAT THEY SAY. YOU HAVE TO BE VERY CONSTANT ABOUT REMINDING PEOPLE VERY SIMPLY ON TV, ON SOCIAL MEDIA, ETC. I WENT TO URGENT FOR THIS. I WENT TO EMERGENT FOR THIS. NOW THE GOOD NEWS IS AT A HEALTH AND WELLNESS. IF YOU DO GO TO URGENT AND YOU'RE NOT URGENT, WE PUT YOU IN A GOLF CART AND WE SEND YOU OVER HERE. AND THEN IF YOU GO TO EMERGENT AND WE'RE LIKE, YOU DON'T NEED TO BE HERE.

IT'S TOO EXPENSIVE. WE PUT YOU BACK OVER HERE. SAME THING AT THE MAIN CAMPUS. I DON'T THINK EVERYONE'S GOING TO EVER FIND THEIR WAY TO THE RIGHT ROUTE, BECAUSE THEY DON'T KNOW HOW THEY FEEL. BUT WE DO NEED TO BE EDUCATING PEOPLE. AND WHAT I'VE BEEN TOLD, AND LITERALLY, I'M TOLD THIS ALMOST EVERY DAY, I LOVE THE URGENT CARE BECAUSE I CAN GET IN QUICKLY. WELL, THAT'S THE DEAL. WHETHER IT'S EMERGENT OR NOT, THEY LOVE IMMEDIATE ACCESS AND A 57 MINUTE WAIT ON AVERAGE. SO TO ANSWER YOUR QUESTION, THOUGH, WE WILL GET BACK TO REMINDING AND AND MARKETING BECAUSE IT DID WORK. IT DID WORK. YES SIR. YES, SIR. YES, SIR. WELL, I'D LIKE TO SAY I APPRECIATE THE THE TREATMENT I GOT WHEN I CAME TO THE BOARD MEETING I WAS WELCOMED THERE. I'D LIKE TO TELL CITIZENS, YOU KNOW, IT'S OPEN JUST LIKE THIS. IF YOU WANT TO GO TO A BOARD MEETING AT A HOSPITAL AND SEE WHAT'S GOING ON, GET OUT THERE. BE A PART OF IT. ALL RIGHT. THANK YOU ALL. I THINK BEFORE YOU, BEFORE YOU EXIT HERE. I KNOW THE SHERIFF IS HERE. I WANTED TO TALK JUST MAYBE A LITTLE BIT ABOUT INDIGENT. WELL, ABOUT INMATE HEALTH AND THE COST AND HOW THAT BURDEN HAS BEEN PICKED UP BY THE TAXPAYERS OF LUBBOCK COUNTY THROUGH THIS INDIGENT TAX. AND HOW IMPORTANT THAT IS FOR THE FOR THE JAIL. WELL, THANK YOU, JUDGE. YES, ABSOLUTELY. AND OUR YOU KNOW, OUR PARTNERSHIP IS INVALUABLE

[00:50:03]

WITH UMC. BUT AS IS, I'VE MADE CLEAR TO YOU GUYS THROUGH AN IN BUDGET HEARINGS AND, AND WHATNOT THAT, YOU KNOW, THAT THAT IS ONLY ON THE INCREASE IN TERMS OF THE NUMBER OF INMATES WE'RE SEEING REGULARLY HAVING TO GO TO THE HOSPITAL THAT ARE REQUIRING MUCH LONGER TERM STAYS. AND OBVIOUSLY, WE, WE WE UNDERSTAND THE COST ASSOCIATED WITH THAT, NOT JUST THE MEDICAL COST, BUT, YOU KNOW, THE SIGNIFICANT OVERTIME COSTS IN, IN KEEPING SECURITY ON THOSE PARTICULAR INDIVIDUALS WHEN THEY'RE OUT AND ABOUT. SO, YOU KNOW, AGAIN, I STAND WITH MR. FUNDERBURK AND APPRECIATE, LIKE I SAID, EVERYTHING HE'S DOING. BUT AGAIN, I THINK IT'S IMPORTANT FOR YOU ALL TO UNDERSTAND THAT THOSE COSTS ARE ARE NOT GOING AWAY AND THEY'RE ONLY ON THE INCREASE. SO THANK YOU FOR THAT. THANK YOU. SURE. THANK YOU, BOARD MEMBERS. THANK YOU AS WELL. STAFF LEADERSHIP. THANK YOU ALL AS WELL. RUN A GREAT HOSPITAL AND IT'S A GREAT JEWEL FOR FOR WELL, I WAS GOING TO SAY FOR LUBBOCK, BUT THIS IS FOR ALL OF THIS REGION. THIS ISN'T LUBBOCK DOESN'T BENEFIT SOLELY BY THE BY, BY UMC. THIS IS ALL OF WEST TEXAS, EASTERN NEW MEXICO. AND I THINK EVEN POINTS EVEN FURTHER THAN THAT. WE KNOW FOLKS THAT COME IN QUITE LITERALLY FROM DALLAS, OKLAHOMA CITY TO COME IN TO, TO FOR MEDICAL CARE HERE IN LUBBOCK. AND, AND I'M VERY PROUD OF UMC, VERY PROUD OF THE HOSPITAL AND FOR THE WORK THAT YOU'RE DOING. SO THANK YOU ALL VERY MUCH. AS A NOTE TO THE COMMISSIONERS COURT, WE WILL BE VOTING ON THE PROPOSED TAX RATE AND THE BUDGET ON SEPTEMBER THE 14TH, SEPTEMBER 14TH. ALL RIGHT.

[20.00 26-0573 Discuss, consider and/or take action to approve the FY 2027 Lubbock County Sheriff Civil Fees.]

ANYTHING FURTHER? THANK YOU VERY MUCH. WE'LL MOVE ON. ITEM 20 IS TO DISCUSS, CONSIDER AND OR TAKE ACTION TO APPROVE THE FISCAL YEAR 27. LUBBOCK COUNTY SHERIFF'S CIVIL FEES. GOOD MORNING, DAN CORBIN FOR THE SHERIFF'S OFFICE. WE'RE PROPOSING KEEPING THE CIVIL FEES THE SAME AS FY 2026. EXCUSE ME. 25. THAT'S FOR YOUR APPROVAL TO APPROVE. SECOND.

MOTION BY COMMISSIONER DALBY, SECONDED BY COMMISSIONER WRANGLER TO APPROVE THE FISCAL YEAR 27 LUBBOCK COUNTY SHERIFF'S CIVIL FEES. ANY FURTHER DISCUSSION? CHIEF CORBIN, WHEN WAS THE LAST TIME THOSE FEES WERE RAISED? I BELIEVE 2425. THERE'S A COUPLE WE ADJUSTED LAST YEAR. WE DIDN'T INCREASE ANYTHING IN THIS YEAR. WE'RE CONTINUING, CONTINUING TO KEEP THEM FLAT. HOW OFTEN DO Y'ALL RAISE THOSE FEES ON AN AS NEEDED BASIS? EVERY YEAR WE LOOK AT WHAT WE'RE CURRENTLY CHARGING AND COMPARE THEM TO OUR COUNTERPARTS AND WHAT OUR ACTUAL EXPENSES ARE TO SERVE THEM AND COME UP WITH A DETERMINATION BASED ON THAT. I BELIEVE THERE'S A DETERMINATION BASED ON WHAT THE LEGISLATURE CAPS MANY OF THESE FEES AS WELL. SO, YES. ALL RIGHT. I'VE GOT A MOTION SECOND. ANYTHING FURTHER HEARING? NONE. CALL FOR THE QUESTION. ALL IN FAVOR? AYE. ANY OPPOSED? MOTION CARRIES.

[21.00 26-0629 Presentation and discussion on behalf of Ronnie Keister, Tax Assessor-Collector, regarding the Venue and Short-term Rental Tax collections.]

THANK YOU. THANK YOU CHIEF. ITEM 21 IS A PRESENTATION AND DISCUSSION ON BEHALF OF RONNIE KEISTER, OUR TAX ASSESSOR COLLECTOR, REGARDING VENUE AND SHORT TERM RENTAL TAX COLLECTIONS. MISS SANCHEZ, GOOD MORNING. GOOD MORNING. JASMINE SANCHEZ WITH THE LUBBOCK COUNTY TAX OFFICE REPORTING TOTALS COLLECTED IN JULY. HOTEL $227,892.46. PAID 178. CAR $85,419.23. PAID NINE BRINGS A TOTAL OF $313,311.69. TOTAL PAID 171. TOTALS COLLECTED FOR OTHER REPORTING PERIODS. HOTEL $6,268.22. PAID TO CAR ZERO. TOTAL OF $6,268.22. TOTAL BEING PAID TO TOTALS FOR THE FISCAL YEAR. HOTEL $2,231,746.78. PENALTIES TOTALING $2,280.20, OR $747,024.26. PENALTIES TOTALING $12.44, FOR THE TOTAL OF $2,981,063.68. MONTHLY AND FISCAL YEAR COMPARISON. JUNE OF LAST YEAR $311,557.79. JUNE OF THIS YEAR $313,311.69. MONTHLY TOTAL UP 1%. LAST FISCAL YEAR $2,632,607.93. THIS FISCAL YEAR $2,981,063.68. YEARLY TOTAL UP

[00:55:01]

13%. IN CONCLUSION. TOTAL DEPOSITED INTO VENUE BANK ACCOUNT THROUGH JULY 31ST.

$25,790,661.11. TOTAL DISBURSEMENTS AS OF JULY 31ST $7,910,640.62. BALANCE AS OF JULY 31ST $17,880,020.49. ALL RIGHT. THANK YOU. ANY QUESTIONS FOR MISS SANCHEZ? THANK YOU,

[22.00 26-0638 Discuss, consider and/or take action on the Imposition of Optional Fees in Lubbock County by the Texas Department of Motor Vehicles (TxDMV) for calendar year 2027.]

MA'AM. ITEM 22 IS IS TO DISCUSS, CONSIDER AND OR TAKE ACTION ON THE IMPOSITION OF OPTIONAL FEES BY LUBBOCK COUNTY FOR THE TEXAS DEPARTMENT OF MOTOR VEHICLES FOR THE CALENDAR YEAR 27.

GENTLEMEN, THIS IS THE FEES THAT WE MUST APPROVE ON A YEAR TO YEAR BASIS. OF COURSE, OUR OPTION IS JUST TO GO WITH WHAT WE DID LAST YEAR, WHICH IS ONLY TO COLLECT ON BEHALF OF THE STATE FOR THE FOR THE COUNTY ROAD AND BRIDGE FEE THAT DOES NOT EXCEED $10. I BELIEVE THAT $10 HAS BEEN THE SAME NOW FOR. 35 YEARS. AND WITH THAT I MAKE A MOTION TO. TO REQUEST THAT OUR TAX ASSESSOR COLLECTOR CHOOSE OPTION B, WHICH IS TO NOT CHANGE ANY OF THE FEE STRUCTURES. SECOND MOTION BY JUDGE PARRISH, SECOND BY COMMISSIONER SHORE TO NOT CHANGE ANY OF THE FEE SCHEDULES AS PRESENTED FOR FISCAL YEAR 27. ANY FURTHER DISCUSSION? HEARING NONE. CALL FOR THE QUESTION. ALL IN FAVOR? AYE. ANY OPPOSED? I SAID FISCAL YEAR. EXCUSE ME.

THIS IS FOR CALENDAR YEAR 27. PARDON ME. CALENDAR YEAR 27. STATE OPERATES CALENDAR YEAR.

SO THIS WOULD MAKE IT 36 YEARS RIGHT. THIS WILL MAKE IT 36 YEARS. AGAIN LET ME OPTION B IS FOR CALENDAR YEAR 27. AND WITH NO FURTHER DISCUSSION. ALL IN FAVOR. AYE. ANY OPPOSED? MOTION

[23.00 26-0627 Discuss, consider and/or take action to authorize the County Judge to sign a Master Service Agreement and Addendum with ImageNet Consulting, LLC for managed print services.]

CARRIES. THANK YOU. ITEM 23 IS TO DISCUSS, CONSIDER AND OR TAKE ACTION TO AUTHORIZE THE COUNTY JUDGE TO SIGN A MASTER SERVICE AGREEMENT AND ADDENDUM WITH IMAGE TECH CONSULTING, LLC FOR MANAGED PRINT SERVICES. MR. MADU, GOOD MORNING. GOOD MORNING, JUDGE AND COMMISSIONERS. ISAAC BADU, TECHNOLOGY DIRECTOR. WHAT THIS IS GOING TO DO IS BASICALLY REPLACE OUR OUR BEIN TUNERS AND PARTS. SO THIS COMPANY WOULD TAKE OVER OUR PRINTER FLEET AND WE HAVE PROBABLY ABOUT 300 PLUS PRINTERS. AND THEY WOULD COME IN BY THEIR OWN PARTS AND THEN PROVIDE US THE TUNERS, AND THEN THEY WOULD CHARGE US BASED ON THE NUMBER OF BLACK AND WHITES AND THE COLORS THAT WE PRINT OUT PER YEAR. BASICALLY, IF WE GO WITH THIS, WE END UP INTO 100 000 PLUS DOLLARS OF SAVINGS. IF WE HAVE THIS COMPANY MANAGE IT FOR US. DO WE HAVE A I MEAN, DO WE HAVE AN ESTIMATE ON HOW MUCH HOW MUCH PRINTING LUBBOCK COUNTY DOES ON A YEAR TO YEAR BASIS? I KNOW THIS IS FOR, YOU KNOW, A HALF A MILLION BLACK AND WHITE IMAGES. IS THAT ADEQUATE TO TAKE CARE OF LUBBOCK COUNTY'S NEEDS FOR FOR THE START? BECAUSE WHAT WE DID WAS WE CAPTURED THE LOGS FOR OVER A PERIOD OF THREE, FOUR MONTHS. AND THAT'S HOW WE CAME UP WITH, WITH THAT NUMBER TO START OFF WITH, WHEN I DID THE ASSESSMENT ON THE COST OF TUNER ITSELF, WE SPENT IN ABOUT $240,000 IN TUNERS ALL OVER. AND SO THIS IS DEFINITELY IF, EVEN IF WE JUST LOOK AT THE TUNERS 240 DOWN TO $200,000 A YEAR FOR THIS AGREEMENT, IT'S IT'S QUITE A BIT OF SAVINGS. SO I NOTICED IT STATES THAT THE BASE CHARGE 16,692 FOR THE FIRST 12 MONTHS. DO WE HAVE ANY IDEA WHAT THE RENEWAL RATE IS GOING TO BE AFTER THE FIRST 12 MONTHS? WELL, THE FIRST 12 MONTHS THEY STARTED IN THAT BECAUSE OUR FLEET IS POTENTIALLY GOING TO CHANGE. SO I THINK THE ACCOMMODATING, IF WE ADD ON PRINTERS OR IF WE REDUCE PRINTERS, THEN WE'LL GO BACK AND RENEGOTIATE WHAT THAT NEW RATES ARE GOING TO BE. SO AFTER THE FIRST YEAR, IT'S NOT GOING TO GO UP 100 000 OR SOMETHING. NO, NO. AND IT'S IT'S NOT GOING TO GO UP IF, YOU KNOW, WE STILL HAVE TO NEGOTIATE. SO IF THEY GIVE US A PRICE THAT IS NOT REASONABLE, THEN WE CAN GET OUT OF THAT AGREEMENT. WELL THEN THEY DO THE REPAIRS ON OUR PRINTERS TO IS THAT THE EQUIPMENT TO KEEP OUR PRINTERS REPAIRED ALSO? YES, SIR. YES, SIR. AND THEY WILL PROVIDE THE PARTS AS WELL. WHEREAS CURRENTLY WE BUY OUR OWN PARTS. I THOUGHT THAT'S WHAT YOU TOLD ME BEFORE. YES, SIR. ENTERTAIN A MOTION. SO MOVED. SECOND. MOTION BY COMMISSIONER. SECOND BY COMMISSIONER DALBY TO AUTHORIZE

[01:00:03]

THE COUNTY JUDGE TO SIGN THE MASTER SERVICE AGREEMENT AND ADDENDUM WITH IMAGE IMAGE NET CONSULTING FOR MANAGING PRINT SERVICES FOR LOCAL PRINTING. ANY FURTHER DISCUSSION? HEARING NONE. CALL FOR THE QUESTION. ALL IN FAVOR? ARE THERE ANY OPPOSED? MOTION CARRIES. ITEM

[24.00 26-0633 Discuss, consider and/or take action to authorize the County Judge to sign Purchase and Services Agreements with Aprotex Corporation for alarm monitoring at 1321 & 1323 58th Street.]

24 DISCUSS, CONSIDER AND OR TAKE ACTION TO AUTHORIZE THE COUNTY JUDGE TO SIGN A PURCHASE AND SERVICE AGREEMENT WITH APOTEX CORPORATION FOR ALARM MONITORING 1321 AND 1323 58TH STREET. MR. BADU ISAAC BADU, TECHNOLOGY DIRECTOR AGAIN, THIS IS FOR THAT NEW FACILITY ON 58TH STREET. THIS IS FOR THEM TO MONITOR IF THERE'S ANY ATTEMPTS TO BREAK INTO THE BUILDING, THEY WILL CALL THE APPROPRIATE SERVICES, AND THEN WE'LL DO THAT UNTIL WE'RE ABLE TO PUT OUR OWN NETWORK INFRASTRUCTURE OVER THERE AND BE ABLE TO TAKE OVER THAT KIND OF SERVICE AFTER A CERTAIN PERIOD OF TIME. BUT THAT'S WHAT THIS IS. MOVE TO APPROVE.

SECOND. MOTION BY COMMISSIONER. SECOND BY COMMISSIONER SHORE TO AUTHORIZE THE COUNTY JUDGE TO SIGN THE AGREEMENT WITH APOTEX CORPORATION FOR ALARM MONITORING. ANY FURTHER DISCUSSION? HEARING NONE. CALL FOR THE QUESTION. ALL IN FAVOR? AYE. ANY OPPOSED? MOTION

[25.00 26-0623 Discuss, consider and/or take action to transfer surplus property within the Lubbock County Departments per Local Government Code §262.011(j).]

CARRIES. THANK YOU SIR. ITEM 25 DISCUSS, CONSIDER AND OR TAKE ACTION TO TRANSFER SURPLUS PROPERTY WITHIN THE LUBBOCK COUNTY DEPARTMENTS PER LOCAL GOVERNMENT CODE. 262.011 J.

GOOD MORNING, CLINT FERGUSON. YEAH. THESE ARE TWO VEHICLES THAT ARE TRANSFERRING FROM THE SHERIFF'S OFFICE TO MAINTENANCE 2015 PICKUPS. SO MOVED. SECOND. MOTION BY COMMISSIONER. SECOND BY COMMISSIONER SHORE TO AUTHORIZE THE TRANSFER OF SURPLUS PROPERTY. ANY FURTHER DISCUSSION? HEARING NONE. CALL FOR THE QUESTION. ALL IN FAVOR? AYE. ANY OPPOSED? MOTION

[26.00 26-0624 Discuss, consider and/or take action to approve the sale of Lubbock County’s surplus or salvage property through an online auction per Local Government Code §263.152(a)(1).]

CARRIES. AND NOW ITEM 26 TO DISCUSS, CONSIDER AND OR TAKE ACTION TO APPROVE THE SALE OF LUBBOCK COUNTY SURPLUS OR SALVAGE PROPERTY THROUGH AN ONLINE AUCTION, PER LOCAL GOVERNMENT CODE. 263.152 A ONE. YES, SIR. THIS IS VARIOUS ITEMS FROM DIFFERENT DEPARTMENTS THROUGHOUT THE COUNTY. SOME HAS BEEN OFFERED UP WITH NO TAKERS, WITH VERY TO OTHER DEPARTMENTS.

SO WE'RE ASKING FOR YOUR APPROVAL FOR OPTION A SECOND. MOTION BY COMMISSIONER SECOND BY COMMISSIONER DALBY TO APPROVE THE SALE OF LUBBOCK COUNTY SURPLUS THROUGH AN ONLINE AUCTION. DO WE KNOW WHEN THIS ONLINE AUCTION. WE'RE LOOKING AT OPENING IT ON AUGUST 31ST. INSPECTION SEPTEMBER 7TH AND EIGHTH AND CLOSING ON SEPTEMBER 14TH. IS RENEE BATES DOING IT OR WHO'S DOING IT? YES, SIR. MR. RATTLER, YOU WANT TO YOU NEED TO USE WATER. TRUCK CAN BUY YOU A LOOKING AT THIS KUBOTA LAWNMOWER. OH, OKAY. ALL RIGHT, LET'S SEE WHAT YOU NEED.

30 MINUTES, BUT SEE WHAT YOU NEED DOWN THERE. OKAY. ALL RIGHT. ANY FURTHER DISCUSSION? HEARING NONE. CALL FOR THE QUESTION. ALL IN FAVOR? AYE. ANY OPPOSED? MOTION CARRIES.

[27.00 26-0604 Discuss, consider and/or take action to approve the Order of Election and to authorize the County Judge to sign the Order of Election for the November 3, 2026, General Election.]

THANK YOU. COMMISSIONERS ITEMS 27 THROUGH 33 ARE INVOLVING OUR ELECTIONS DEPARTMENT AND MAKING OUR ORDERS FOR THE UPCOMING NOVEMBER 3RD GENERAL ELECTION. OUR ELECTIONS ADMINISTRATOR, TROY HAYWARD, IS NOT HERE. HE IS AT A MANDATORY CONFERENCE. AND SO I WILL BE PRESENTING THIS ITEMS ON HIS BEHALF. ITEM 27 DISCUSS, CONSIDER AND OR TAKE ACTION TO APPROVE THE ORDER OF ELECTION AND TO AUTHORIZE THE COUNTY JUDGE TO SIGN THE ORDER OF ELECTION FOR THE NOVEMBER 3RD, 2026 GENERAL ELECTION. ASK FOR A SECOND. SECOND. MOTION BY JUDGE PARRISH.

A SECOND BY COMMISSIONER DALBY TO APPROVE THE ORDER OF ELECTION. AUTHORIZE THE JUDGE TO SIGN THE ORDER OF ELECTION. ANY FURTHER DISCUSSION? HEARING NONE. CALL FOR THE QUESTION.

[28.00 26-0605 Discuss, consider and/or take action to authorize the County Judge to sign the Notice of Election for the November 3, 2026, General Election.]

ALL IN FAVOR? AYE. ANY OPPOSED? MOTION CARRIES. ITEM 28 DISCUSS, CONSIDER AND OR TAKE ACTION TO AUTHORIZE THE COUNTY JUDGE TO SIGN THE NOTICE OF ELECTION FOR THE NOVEMBER 3RD, 2026 GENERAL ELECTION. I MAKE THE MOTION. DO I HAVE A SECOND? SECOND BY COMMISSIONER DALBY TO AUTHORIZE THE COUNTY JUDGE TO SIGN THE NOTICE OF ELECTION FOR THE NOVEMBER 3RD ELECTION. ANY FURTHER DISCUSSION? HEARING NONE. CALL FOR THE QUESTION. ALL IN FAVOR? AYE. ANY OPPOSED?

[29.00 26-0606 Discuss, consider and/or take action to appoint Troy Havard, in his capacity as Elections Administrator, as the Joint Early Voting Clerk for the November 3, 2026, General Election.]

MOTION CARRIES. ITEM 29. DISCUSS, CONSIDER AND OR TAKE ACTION TO APPOINT TROY HAVARD IN HIS CAPACITY AS ELECTIONS ADMINISTRATOR AS THE JOINT EARLY VOTING CLERK FOR THE NOVEMBER 3RD, 2026 GENERAL ELECTION. I MAKE THE MOTION. DO I HAVE A SECOND MOTION BY JUDGE PARRISH, SECOND BY COMMISSIONER DALBY, TO APPOINT TROY HAVARD IN HIS CAPACITY AS ELECTIONS ADMINISTRATOR AS THE JOINT EARLY VOTING CLERK. ANY FURTHER DISCUSSION? HEARING NONE. CALL FOR THE QUESTION. ALL IN FAVOR? AYE. ANY OPPOSED? MOTION CARRIES. ITEM 30 DISCUSS,

[30.00 26-0607 Discuss, consider and/or take action to approve Troy Havard, in his capacity as Elections Administrator, as the Joint Elections Officer for the November 3, 2026, General Election.]

CONSIDER AND OR TAKE ACTION TO APPROVE. TROY HAVARD, IN HIS CAPACITY AS ELECTIONS ADMINISTRATOR AS THE JOINT ELECTIONS OFFICER FOR THE NOVEMBER 3RD ELECTION. I MAKE THE MOTION. SECOND. SECOND. SECOND BY COMMISSIONER DALBY TO APPROVE TROY HAVARD IN HIS

[01:05:02]

CAPACITY AS ELECTIONS ADMINISTRATOR. AS THE ELECTIONS OFFICER FOR THE NOVEMBER 3RD, 2026 GENERAL ELECTION. ALL IN FAVOR? AYE. ANY OPPOSED? MOTION CARRIES. WE WILL BE DELETING ITEM 31 AS IT'S BASICALLY A REPEAT OF ITEM 33. SO 3031 IS DELETED. LET'S JUST SAY I THREE

[32.00 26-0599 Discuss, consider and/or take action to approve the bond for Raymond Billington, Chief Deputy Lubbock County Elections Administrator beginning July 27, 2026.]

TIMES. REAL QUICK. ITEM 32 TO DISCUSS, CONSIDER AND TAKE ACTION TO APPROVE THE BOND FOR RAYMOND BILLINGTON AS CHIEF DEPUTY OF LUBBOCK COUNTY ADMINISTRATIVE ELECTIONS ADMINISTRATOR BEGINNING JULY 27TH, 2026. I MAKE THE MOTION. DO I HAVE A SECOND? SECOND.

SECOND BY COMMISSIONER RATTLER. ANY FURTHER DISCUSSION? HEARING NONE. ALL IN FAVOR? AYE. ANY

[33.00 26-0600 Discuss, consider and/or take action to approve the bond for Troy Havard Lubbock County Elections Administrator beginning August 1, 2026 and ending August 1, 2027.]

OPPOSED? MOTION CARRIES. ITEM 33. DISCUSS, CONSIDER AND OR TAKE ACTION TO APPROVE THE BOND FOR TROY HAVARD COUNTY ELECTIONS ADMINISTRATOR BEGINNING AUGUST 1ST, 2026 AND ENDING AUGUST 1ST, 2027. I MAKE THE MOTION. DO I HAVE A SECOND, SECOND, SECOND BY COMMISSIONER RATTLER? ANY FURTHER DISCUSSION? HEARING NONE. ALL IN FAVOR? AYE. ANY OPPOSED? MOTION CARRIES.

[34.00 26-0639 Discuss, consider and/or take action to approve a resolution regarding large-scale industrial development in the State of Texas.]

THANK YOU. GENTLEMEN, ITEM 34 IS TO DISCUSS, CONSIDER AND OR TAKE ACTION TO APPROVE A RESOLUTION REGARDING LARGE SCALE INDUSTRIAL DEVELOPMENT IN THE STATE OF TEXAS. MR. SHAW? YES. SO MY LAST MEETING WITH COOK POLICY COMMITTEE, WE PUT TOGETHER A RESOLUTION THAT AS COUNTY COMMISSIONERS, WE CANNOT DO A MORATORIUM, AS THIS YOUNG LADY ASKED US TO DO. IT'S ILLEGAL FOR THE COUNTY TO DO A MORATORIUM. WE CAN INSIST ON THEM BEING CLEAR ON WHAT THEY ARE GOING TO DO, WHAT THEY'RE GOING TO DO TO ALLEVIATE PROBLEMS, AND HOW MUCH WATER THEY'RE GOING TO USE, HOW MUCH ELECTRICITY THEY'RE GOING TO USE, WHAT THEY'RE GOING TO DO ABOUT ROAD ABATEMENT, WHAT THEY'RE GOING TO DO ABOUT LIGHT POLLUTION, NOISE POLLUTION, ALL OF THESE KIND OF THINGS. SO WHAT THIS RESOLUTION DOES, IT PROTECTS AND MAKES TRANSPARENCY FROM THE FROM THE DATA CENTERS FOR THE CITIZENS OF LUBBOCK COUNTY. THERE WILL BE NO SNEAKING IN AND TELLING US THE DAY IT'S COMING THAT IT'S HERE. THIS RESOLUTION SAYS THEY WILL HAVE TO COME TO US AND LET US KNOW WHEN THEY'RE EVEN THINKING ABOUT COMING, AND THEY'LL HAVE TO ANSWER THE QUESTIONS THAT WE HAVE ON THIS. IT ALSO ONE OF THE BONDS IS A STARTING BOND WHERE JUST TO COME TALK TO US, THEY HAVE TO HAVE A BOND IN PLACE. THE SECOND BOND IS A BOND. THESE BUILDINGS WILL BE FULL OF HAZARDOUS CHEMICALS. AND IF THEY GO OUT OF BUSINESS, THEY'RE NOT GOING TO BE ABLE TO DRIVE OFF AND LEAVE THE BUILDING FULL OF HAZARDOUS CHEMICALS. THEY HAVE TO BE BONDED TO CLEAN THAT UP. SO IT'S THE BEST THING THAT WE CAN DO TO PROTECT THE CITIZENS OF LUBBOCK COUNTY AS COUNTY COMMISSIONERS, BECAUSE LIKE I SAID, WE CAN'T LEGALLY DO A MORATORIUM. AND WITH THAT JUDGE, I MAKE A MOTION THAT WE ACCEPT THIS RESOLUTION FOR LUBBOCK COUNTY. MOTION BY COMMISSIONER SHAW, SECOND BY COMMISSIONER RATTLER. ANY FURTHER DISCUSSION? COMMISSIONER? OH, GO AHEAD, GO AHEAD, GO AHEAD. MR. SHAW, JUST A COUPLE QUESTIONS. YES. READING THROUGH THIS, OF COURSE, THERE'S A LOT OF BLANKS IN HERE.

HOW MUCH OF A BOND ARE WE ANTICIPATING THE LATE IN BOND? WHAT WAS BROUGHT UP WAS A $25,000 BOND. THE EXIT BOND. WE'RE GOING TO HAVE TO DO SOME RESEARCH ON WHAT IT WOULD TAKE TO CLEAN UP ONE OF THESE FACILITIES ON EXIT BOND. IT WOULD IT'LL BE MULTI-MILLION.

WE HAVE A LADY WITH HER HAND RAISED AND WE KNOW SHE'S ALREADY HAD THE COMMENT QUESTION ABOUT ABOUT THIS RESOLUTION. THIS JUST A COUPLE OF TIMES IN HERE. DOES IT MENTION DATA CENTERS. BUT IT DOES MENTION. LARGE SCALE INDUSTRIAL DEVELOPMENT. SO IT DOESN'T REALLY ANTICIPATE JUST DATA CENTERS. THIS IS FOR ANY INDUSTRIAL DEVELOPMENT TO PROTECT LUBBOCK COUNTY FROM ANY HIGH USE ELECTRICITY OR WATER. YEAH. WE DIDN'T WE DIDN'T. THIS WAS OBVIOUSLY NOT IN PLACE LIKE WHEN LEPRINO CAME IN. NO. SO WHAT WOULD HAVE HAPPENED? IT WOULD NOT HAVE STOPPED LEPRINO WE CAN'T STOP ONE, BUT THEY WOULD HAVE HAD TO HAVE TOLD US EXACTLY WHAT THEY WERE GOING TO USE. SO WHAT IS THE TEETH BEHIND THIS? THE TEETH BEHIND THIS IS. YOU MEAN HOW CAN WE ENFORCE IT? YES, SIR. THE WAY ANY RESOLUTION IS ENFORCED, WHICH IS, YOU KNOW, WITH WITH THE RESOLUTION, IT TELLS THEM THAT THEY'RE GOING TO HAVE TO

[01:10:03]

COME TO US AND EXPLAIN WHAT THEY'RE GOING TO USE AND WHAT THEY'RE GOING TO. I CAN'T TELL YOU LEGALLY HOW IT CAN BE ENFORCED. I DIDN'T GET INTO THAT. WHY? BUT BUT I KNOW THAT A RESOLUTION, ACCORDING TO THE COOK POLICY COMMITTEE, IT IS WHAT WE NEED TO DO TO PROTECT US. AND THIS SAME RESOLUTION IS GOING TO OUR STATE LEGISLATURES TO PUSH STATE BACKING TO TAKE CARE OF IT. SO SO REALLY, I MEAN, AND AS YOU KNOW, COMMISSIONER SHAW, WE'RE THE COUNTY AS A WHOLE LOT DIFFERENT THAN THE CITY. THE CITY HAS ZONING REQUIREMENTS AND REGULATIONS, AND THEY, THEY CAN PUT BONDING ON THINGS THAT THAT WE ARE NOT ALLOWED TO DO. WE CAN ONLY DO WHAT THE STATE TELLS US TO DO. IS THAT CORRECT? YES. SO RIGHT NOW, WE KNOW THAT THE STATE OF TEXAS, AS FAR AS DATA CENTER GOES, DATA CENTERS GO NOT NOT AS FAR AS LEPRINO OR THE OTHER INDUSTRIAL ENTITIES THAT THAT WANT TO COME IN AND BUILD IN LUBBOCK COUNTY. BUT AS FAR AS DATA CENTERS GOES, WE KNOW THE STATE IS RESEARCHING THIS AND GOING THROUGH THIS.

WOULD IT BE PRUDENT FOR US TO WAIT FOR THE STATE TO DECIDE? YES. THEY WANT THE COUNTY TO DO, RATHER THAN DO SOMETHING LIKE THIS THAT HAS NOTHING THAT WE CAN'T ENFORCE. WE CAN'T GO FORWARD. WE'VE GOT TO PUSH THE STATE TO MANDATE THIS FOR US. WOULD YOU AGREE? WELL, I'VE HAD THE BACKING OF VERBALLY OF ONE OF OUR LEGISLATORS SAYING THAT HE WOULD THAT IF WHAT I'M TELLING HIM IS HE WOULD SUPPORT HIM. WELL, I THAT'S ONE OF YES. I 200 AND 281. THE THE SEE YOU SEE POLICY COMMITTEE IS PUSHING FOR BACKING FROM THE STATE. BUT THEY HAVE RECOMMENDED THAT ALL COUNTIES PASS THIS. NOW TO SHOW TO SHOW THE STATE THAT WE WE NEED THIS. HOLD ON JUST A SECOND. SO AGAIN, THESE WERE THESE WERE SOME OF THE ISSUES THAT I HAD WITH THE RESOLUTION AS PRESENTED. BUT IT. BUT IT DOES NOT HAVE ANY. IT DOES NOT GIVE THE COUNTY ANY TEETH OR ANY POWER TO ENFORCE ANY OF THIS. THAT CAN ONLY BE GIVEN TO US BY THE STATE. WOULD YOU AGREE? SO, JUDGE, IT STATES IN HERE THAT THEY WILL HAVE TO DISCLOSE ROAD UPGRADE INFRASTRUCTURE USAGE IMPACTS ON ROAD AND BRIDGE DRAINAGE, FLOOD MITIGATION INFRASTRUCTURE, EMERGENCY SERVICES, LAW ENFORCEMENT, FIRE PROTECTION. IT'LL ALSO INCORPORATE REASONABLE SETBACKS FOR NOISE REDUCTION, LIGHTING CONTROLS, LANDSCAPE TRAFFIC MEASURING WHO DETERMINES COMMISSIONER, WHAT THE REASONABLE SETBACKS OF THESE ARE. I'M SORRY. HOLD ON.

I WAS ASKING COMMISSIONER. YEAH, YEAH, IT'S NOT IN THERE. IT'S A RHETORICAL QUESTION. YEAH. WELL IT. BUT I WOULD SAY WE CAN DISCUSS THAT WITH WHEN YOU'RE WHEN YOU'RE GOING TO COME INSTEAD OF GIVING LIKE A. I MEAN, WE'RE NOT GOING TO GIVE ANYBODY A TAX ABATEMENT ON A, ON A, OR I'M NOT ON A DATA CENTER, BUT WE'RE A RAILROAD. IT WILL. SORRY. JASON. YEAH. SO WE CAN DISCUSS WITH OUR ROAD AND BRIDGE AND MAKE SURE THAT, I MEAN, I JUST WE DON'T NEED PEOPLE TO COME IN HERE AND SPRING UP A DATA CENTER AND US FIND OUT ABOUT IT AFTER. IS EVERYBODY IN LUBBOCK SEEM TO KNOW ABOUT IT EXCEPT FOR THE CITIZENS. AND THE COMMISSIONERS DIDN'T HAVE ANY IDEA ABOUT IT. YEAH, PLEASE. RESOLUTIONS ARE UNENFORCEABLE BY COUNTY GOVERNMENT. WE DO NOT HAVE THE AUTHORITY TO ENFORCE ANYTHING IN HERE. WE HAVE AS MUCH AUTHORITY TO ENFORCE THIS ORDINANCE AS WE DO TO ENFORCE AN ORDINANCE ON THE FLAVOR OF ICE CREAM SOLD AT BASKIN-ROBBINS. EVERY BIT OF THIS HAS TO DO WITH PRIVATE BUSINESS AND HOW IT RELATES THE REGULATIONS, WHERE IT'S TALKING ABOUT REGULATIONS IN HERE, ABOUT WATER, ABOUT THAT, ABOUT WATER CONTAMINATION OR ANYTHING LIKE THAT. TECQ, THE STATE AGENCY. THAT WOULD BE THE ONES THAT WOULD HANDLE ALL OF THAT. THERE'S NOTHING IN HERE. I MEAN, IT'S IT'S A FEEL GOOD RESOLUTION AT BEST. I MEAN, IF YOU WANT THIS TO, TO INDICATE INTENT, WE WOULD LIKE THE STATE TO GET INVOLVED WITH. SURE WE CAN. YEAH, WE CAN DO THAT. I THINK THAT THERE IS NO ENFORCEABILITY IN HERE. I THINK THAT'S THE BIGGEST THING THAT THE THAT THE POLICY COMMITTEE ASKED US TO PASS THIS FOR WAS TO SHOW THE SUPPORT FROM THE

[01:15:06]

COUNTIES THAT WE NEED HELP WITH THIS. YES. WELL, WE CAN WE CAN CERTAINLY DO A RESOLUTION SUPPORTING WHAT THE STATE DOES. I I'M MY CONCERN IS THAT IT'S OF COURSE, THE LITIGATION. YOU KNOW, THAT ALL OF THESE PROPOSED DATA CENTERS ALL OVER THE STATE ARE LOOKING TO SUE COUNTIES THAT DO ANYTHING THAT HINDERS WHAT THEY PLAN TO DO. WE KNOW THAT. SO HOW DOES THIS PROTECT THE COUNTY FROM LITIGATION? THE STATE? WHAT WOULD THEY LITIGATE IF IT CAN'T BE ENFORCED? RIGHT. THIS THIS THIS RESOLUTION IS TO SHOW SUPPORT FOR A RESOLUTION WE SENT AS A POLICY COMMITTEE THAT WE SENT TO THE STATE TO ASK THEM TO GIVE US TEETH TO BE ABLE TO TAKE CARE OF THIS. I, I DON'T I DON'T SEE THAT HERE IN THIS RESOLUTION THAT WE ASKED THE STATE TO SUPPORT THIS. WELL, AM I AM I READING WRONG? NO. WHAT I WHAT I'M SAYING IS THAT WE WERE ASKED TO PASS THIS AS A COUNTY SO THE STATE CAN SEE THAT IT'S SOMETHING THAT WE WANT DONE. IT DOES NOT NECESSARILY HAVE TO BE SENT TO THE STATE. BUT WHEN THE STATE SEES THAT WE'VE PASSED THIS RESOLUTION, THEN THEY SAY, WELL, LUBBOCK COUNTY WANTS US TO DO THIS. EVERY COMMISSIONER AND JUDGE IN THAT POLICY COMMITTEE TOOK THIS RESOLUTION TO PUT ON THEIR AGENDA TO SHOW SUPPORT FOR THIS. WHICH OTHER COUNTIES HAVE PASSED THIS, I DON'T KNOW.

THIS CAME FROM THE LAST MEETING. I HAVEN'T BEEN TO ANOTHER MEETING TO SEE WHICH COUNTIES HAVE PASSED IT. SO THE. WELL HILL COUNTIES IS NOT THIS SAME AGENDA AS NOT THIS SAME PROPHECY, BUT MY ONLY. I GENERALLY DON'T DISLIKE THE RESOLUTION. MY ONLY ISSUE IS THAT THINGS AT THE STATE LEVEL HAVE CHANGED SINCE THIS RESOLUTION WAS WAS PUBLISHED.

WOULD YOU SAY THAT'S ACCURATE? I THINK ARE YOU TALKING ABOUT THE GOVERNOR'S INITIATIVES AND AND ORDERS? RIGHT. YES, I WOULD AGREE WITH THAT. AND IN EFFECT, THERE DATA CENTERS ARE ON PAUSE AT THE MOMENT. IS THAT CORRECT OR. SO I GUESS MY QUESTION, SINCE YOU SAID ON Q C COMMISSIONER SHAW WOULD GIVE THE STATE TIME TO TO WORK, WHATEVER IT IS THEY'RE GOING TO WORK WITH THIS RESOLUTION LOOK DIFFERENT AFTER THE STATE DOES ITS DOES ITS THING. I DON'T THINK IT WOULD BECAUSE IT TELLS THE STATE WHAT WE NEED AS A COUNTY TO BE ABLE TO LOOK AT TO, TO APPROVE A DATA CENTER. WE HAVE NOTHING RIGHT NOW THAT WE CAN DO. WE CAN NOT OFFER THEM A TAX ABATEMENT. WE DON'T HAVE TO BUILD THE ROADS, BUT THAT'S SIMPLY ALL WE CAN DO LEGALLY.

THIS JUST TELLS THE STATE WHERE, YOU KNOW, KIND OF THE IDEAS OF WHAT WE NEED AS A COUNTY FOR THEM TO, TO LOOK AT, TO GIVE US TO BE ABLE TO TAKE CARE OF THIS SITUATION. MR. SHAW, WOULD YOU BE OPPOSED TO POSTPONING THIS SO WE CAN HAVE A LITTLE BIT OF A REWRITE TO INDICATE THAT THIS IS A RESOLUTION FOR WHAT WE WOULD LIKE TO SEE THE STATE DO, THE AUTHORITY. WE'D LIKE TO SEE THEM GIVE COUNTIES, NEIL. I UNDERSTOOD LAST WEEK THAT YOU HAD A LITTLE BIT OF TWEAKING THAT YOU WERE TALKING ABOUT ON THIS. YES. AND PERTAIN TO WHAT THEY'RE TALKING ABOUT. IT WAS MORE. FORM OVER SUBSTANCE. WE'VE GOT JUST A VERY PLAIN VANILLA FORM. SO IT WHAT Y'ALL WOULD RECEIVE FOR YOUR SIGNATURE IS TAILORED WITH JUST THE COMMISSIONER'S COURT IDENTIFIERS IN THEIR SPECIFICS AS TO LUBBOCK COUNTY AT THIS PARTICULAR POINT IN TIME. AND EVEN WHEN YOU TAKE INTO CONSIDERATION WHAT I UNDERSTAND, THE DIRECTIVE OF THE GOVERNOR HAS BEEN HERE VERY RECENTLY. THIS IS MORE OF A GOOD FAITH START TO INDICATE THAT LUBBOCK COUNTY IS ENCOURAGING ANY DATA CENTER THAT COMES IN TO COME IN AND MAKE THE APPROPRIATE NOTIFICATIONS SO THAT WHETHER IT'S LUBBOCK COUNTY OR EVEN OTHER GOVERNMENTAL ENTITIES WITHIN THIS PARTICULAR AREA, THAT ALL OF THE CONCERNS THAT HAVE BEEN LEVIED AGAINST DATA

[01:20:04]

CENTERS ARE PUT FORTH AS TO THE OPERATION AND HOW THEY WILL ACCOMPLISH MINIMIZATION OF RISK AND DETRIMENT. WHEN IT COMES TO ALL OF THOSE HOT BUTTON ISSUES, SUCH AS USE OF ELECTRICITY, USE OF WATER, THE OTHER NEGATIVES THAT HAVE BEEN MENTIONED THROUGHOUT THE RESOLUTION IT TALKS ABOUT AND DOES IN NO WAY NEGATE TEXAS LAW AS IT CURRENTLY EXISTS. AND CERTAINLY WHATEVER MIGHT COME TO EXIST. IT'S MY UNDERSTANDING AND PLEASE CORRECT ME IF I'M NOT FULLY IN THE KNOW, BUT THE GOVERNOR HAS PUT ON PAUSE DATA CENTERS ABILITY TO TAP INTO THE TEXAS POWER GRID AND WANTS TO FULLY EXPLORE THAT AND DO A LOT OF THE SAME THINGS WE ARE ASKING FOR HERE, THAT THERE BE. IN DEPTH DISCLOSURES AND KNOWLEDGEABLE REPRESENTATIONS OF WHAT IT'S GOING TO DO TO ELECTRICITY, WATER, EVERYTHING THAT EVERYONE STATEWIDE, IF NOT NATIONWIDE, IS CONCERNED ABOUT AT THIS PARTICULAR POINT IN TIME. I DO NOT SEE THIS PARTICULAR AGREEMENT BEING A DETRIMENT TO ANYTHING. THE GOVERNOR INDICATED JUST A FEW SHORT DAYS AGO, OR THE ABILITY OF LUBBOCK COUNTY TO HAVE A SUBSEQUENT RESOLUTION AS THIS PROCESS FOR DATA CENTERS TO COME INTO COMMUNITIES SUCH AS LUBBOCK COUNTY AND START THEIR CONSTRUCTION AND BUSINESS, I DON'T THINK WE'RE LIMITED IN ANY WAY. THIS IS REALLY JUST A GOOD FAITH. REPRESENTATION. IF NOT WARNING TO THE DATA CENTERS THAT WE TAKE THIS VERY SERIOUSLY AND WANT TO BE PARTNERS TO THE POINT OF BEING FULLY INFORMED OF WHAT IT IS THAT'S COMING INTO OUR COMMUNITY, WHAT THE THE IMPACT WILL BE IN ALL OF THE DIFFERENT AREAS. MR. BURT, WOULD YOU WOULD YOU AGREE THAT THIS RESOLUTION AS PRESENTED IS NOT JUST ABOUT DATA CENTERS, BUT IT'S ABOUT ANY. THAT'S CORRECT. SO, I MEAN, WE'VE WE'RE LABELING THIS AS DATA CENTERS, BUT FOR EXAMPLE, LEPRINO, WHEN WE BROUGHT LEPRINO IN AND WE WE RECRUITED THEM PRETTY HARD TO COME IN AS A LARGE SCALE MANUFACTURING PLANT. IN THIS CASE, IT WAS MOZZARELLA CHEESE RATHER THAN DATA, BUT IT'S STILL A LARGE SCALE INDUSTRIAL PLANT AND INDUSTRIAL MANUFACTURING PLANT THAT USES A LITTLE OVER A MILLION GALLONS OF WATER A DAY. YOU ARE CORRECT. THIS IS AND WE DON'T SEEM TO HAVE A PROBLEM WITH THAT. NO, BUT BUT BUT TODAY WE SEEM TO HAVE A PROBLEM WITH OTHER INDUSTRIES. MY QUESTION IS HOW? HOW DO WE HOW DO WE TREAT THIS DOCUMENT WHEN IT COMES TO ANY OTHER LARGE SCALE INDUSTRIAL BUSINESS OTHER THAN DATA CENTERS? SO THE TAMPICO ICE CREAM MANUFACTURING PEOPLE WANT TO COME IN AND THEY WANT TO BUILD IN THE UNINCORPORATED AREA. ARE THEY GOING TO BE REQUIRED TO COME TO THE COUNTY TO TO POST A BOND AND AN EXIT BOND AND, AND SHOW HOW THEY'RE GOING TO USE WATER, HOW THEY'RE GOING TO USE WHATEVER THEY'RE GOING TO USE. THEY HAVE TO GET ALL THAT APPROVED BY THE COUNTY BEFORE THEY CAN OPERATE, BEFORE THEY CAN MAKE ICE CREAM. THEY SHOULD HAVE TO. YEAH. WHY WOULD YOU? BUT MY POINT, MY POINT IS WE'VE WE HAVEN'T HAD TO DO THAT BEFORE. WHY ARE WE HAVING TO DO THAT FOR THE ICE CREAM FOLKS? NOW WE HAVE A PROBLEM WITH WATER. YEAH. WE'VE HAD ROLLING BROWNOUTS WITH ELECTRICITY LAST YEAR. YEAH. WE'VE GOT A DATA CENTER THAT WAS ANNOUNCED LAST WEEK. THAT'S UP TO 27. I'M TALKING ABOUT DATA CENTERS. I'M TALKING ABOUT OTHER LARGE SCALE INDUSTRIAL AREAS. THAT'S WHAT I'M CONCERNED ABOUT. THE ELECTRICITY USAGE AND THE WELL, THE IMPACT ON INFRASTRUCTURE AND WATER IS THE SAME WHETHER IF IT'S A DATA CENTER OR ANY INDUSTRIAL MAN. SO SO DO YOU WANT DO YOU WANT TO MAKE THIS SPECIFIC OR FARM? DO YOU WANT TO MAKE THIS SPECIFIC FOR DATA CENTERS OR FOR CENTER PIVOT IRRIGATION? BECAUSE THEY HOW MUCH HOW MUCH WATER DOES A CENTER CENTER PIVOT IRRIGATION? NOT MUCH AROUND HERE ANYMORE BECAUSE THERE'S NOT MUCH, NOT ANYMORE. WHAT ARE THEY? WHAT ARE THEY, WHAT ARE THEY CRANK OUT PER DAY? IT DEPENDS ON LET ME PUT THAT NUMBER IN PERSPECTIVE FOR YOU. A GOOD CENTER PIVOT IS GOING TO USE 600 GALLONS OF WATER A MINUTE.

DATA CENTERS THAT REQUIRE 500,000 GALLONS OF WATER TO TO FILL THEIR COOLING SYSTEM. THAT CENTER PIVOT WOULD GENERATE WOULD PRODUCE THE SAME AMOUNT OF WATER IN 12 HOURS. DO YOU

[01:25:05]

WANT FARMS TO HAVE TO COME TO THIS COMMISSIONERS COURT FOR ITS APPROVAL ON ON USAGE? SO HIGH PLAINS UNDERGROUND WATER DISTRICT IS WHO IS MONITORING IRRIGATION. AND A FEW YEARS AGO, THEY PUT METERS ON EVERYBODY'S WELLS. AND SO THEY KNOW YEAH, THEY SAID THEY LIMITED YOU TO SO MANY ACRE FEET PER ACRE. BUT I MEAN, GOING FORWARD, GOING FORWARD, THEY'RE ALREADY DOING IT. IF NO, IF THIS IS PASSED, DOES ANY FARMER HAVE TO COME TO LUBBOCK COUNTY TO GET ITS PERMISSION TO PUT IN A CENTER PIVOT IRRIGATION CORPORATION? AND YOU'VE ALREADY GOT A YOU GET A WELL, YOU HAVE TO GO GET A PERMIT. WHAT ARE YOU TALKING ABOUT? THIS IS A RESOLUTION. IT HAS NO TEETH. YEAH, THAT'S I WAS GOING TO SAY YOU SAID IT WAS UNENFORCEABLE. THIS THIS IS GOING TO THE STATE, SHOW OUR SUPPORT AND SHOW THE STATE EXACTLY WHAT WE NEED TO BE ABLE TO HAVE TRANSPARENCY WITH WITH LARGE SCALE DEVELOPMENT. SO I, WHAT I WOULD LIKE TO SEE THIS, THIS IS THIS IS PERSONALLY WHAT I'D LIKE TO SEE THIS TAILORED TO DATA CENTERS. NO. SEE THAT BECAUSE THIS IS THE ISSUE AND THIS IS THE REASON WHY YOU BROUGHT THIS FORWARD IS BECAUSE THE DATA CENTER, IT'S NOT BECAUSE OF LEPRINO. IT'S NOT BECAUSE OF OF THE ICE CREAM PLANT. IT'S BECAUSE OF DATA CENTERS. THAT'S WHY THIS IS HERE. THIS IS HERE BECAUSE OF THEM. IT'S NOT BECAUSE OF FARMERS. IT'S NOT BECAUSE OF ANY OTHER INDUSTRY OUT THERE EXCEPT FOR DATA CENTERS. SO LET'S MAKE THIS ABOUT DATA CENTERS. LET'S SAY IF YOU'RE A DATA CENTER, YOU HAVE TO BOND WITH US. IF YOU WANT TO BE ABLE TO OPERATE IN IN UNINCORPORATED AREAS OF LUBBOCK COUNTY. AND I WOULD AGREE 100% WITH THAT. IF, IF, IF THIS IF THIS IS ABOUT WATER USAGE OF WATER BY A DATA CENTER, THEN LET'S PUT THAT IN THEIR DATA CENTERS, I DON'T THINK WE SHOULD LIMIT IT TO DATA CENTERS. I THINK WE SHOULD LIMIT IT TO ANY LARGE SCALE INDUSTRIAL DEVELOPMENT. I HAVEN'T SEEN I HAVEN'T SEEN ANY ANY RESEARCH OR ANYTHING ON HERE ON WHAT THIS WOULD DO IN REGARDS TO HAVING LARGE SCALE INDUSTRIAL PLACES COME TO LOVE IT. WE'RE RECRUITING THEM. WE WANT THEM TO COME TO LUBBOCK. I DIDN'T SAY DATA CENTERS. I'M TALKING ABOUT PEOPLE LIKE LEPRINO. I'M TALKING ABOUT OTHER LARGE SCALE INDUSTRIAL PLACES THAT WE HAVE ASSETS OUT THERE RIGHT NOW THAT WE'RE ASKING THEM TO RELOCATE THEIR FACTORIES AND THEIR MANUFACTURING HERE, BECAUSE WE WANT THAT KIND OF GROWTH. WE WANT LUBBOCK TO GROW, I DON'T KNOW. SO THIS RESOLUTION WOULD COULD POTENTIALLY STYMIE THAT.

THAT'S WHAT I IF IT'S IF IT'S TO GET RID OF DATA CENTERS. AMEN. I'M FOR IT. IF THIS DOES NOT IT'S TOO GENERIC FOR ME. AND I IT NEEDS TO SAY DATA CENTERS BRING BACK THE AGRICULTURE. SO INDUSTRIAL AND AGRICULTURE DEVELOPMENT ARE NOT THE SAME THING. BUT I THINK THAT ANY, ANY BUSINESS THAT COMES THAT'S GOING TO USE LOTS OF ELECTRICITY AND LOTS OF WATER AND POTENTIALLY LIKE THE WIND GENERATOR THING, YOU KNOW, I'VE GOT CLOSE FRIENDS AND RELATIVES THAT HAVE WIND GENERATORS ON FARMS THAT THE WIND GENERATOR, THE THE GENERATION COMPANY, THE WIND GENERATOR COMPANIES WENT BROKE. AND NOW THEY HAVE A BUNCH OF POLES WITH BLADES ON THEM THAT ARE LEAKING OIL ON THEIR LAND. AND THEY, THEY DIDN'T GET BONDS TO CLEAN UP. AND SO WHEN THEY LEFT, THEY JUST WALKED OFF AND LEFT THEM A POST. DO WE HAVE THE CONTRACT? DO WE HAVE THE POWER GET PAID FOR HOW MANY YEARS? WHAT I'M SAYING IS, DO WE HAVE THE POWER TO ENFORCE THAT? WELL, THEN WE WOULD HAVE TO IMPLEMENT THE SPECIFICS OF THIS, THE OPENING BONDS, THE CLOSURE BONDS. AND YOU'RE CORRECT. IT REFERS TO LARGE SCALE INDUSTRIAL DEVELOPMENTS IN THE UNINCORPORATED AREAS WITHOUT. THERE ARE A COUPLE OF MENTIONS, I THINK TWO DATA CENTERS IN THE BODY OF THE AGREEMENT. BUT OVERALL IT IS LARGE SCALE INDUSTRIAL DEVELOPMENTS. AND YOU'LL RECALL RECALL WHEN LEPRINO CAME TO TOWN, THERE WERE MANY, MANY MONTHS, IF NOT A YEAR OR MORE OF PLANNING ON THE PART OF BOTH LEPRINO AND LUBBOCK COUNTY, AS WELL AS THE OTHER POTENTIAL LOCATIONS IN WHICH THEY WERE LOOKING TO PLACE THIS OPERATION. SO IN THAT PARTICULAR INSTANCE, THE COUNTY HAD A VERY. FULL UNDERSTANDING OF WHAT THIS BUSINESS WAS GOING TO NEED, WHAT THE COUNTY WOULD BE ABLE TO PROVIDE IN THOSE AREAS. AND I BELIEVE THERE WERE SOME PRETTY CREATIVE SOLUTIONS AS TO HOW THAT WOULD OCCUR, WITHOUT ANY PRONOUNCED DETRIMENT TO LUBBOCK COUNTY. I WOULD HOPE THAT IN THE INSTANCE OF THE BUSINESSES YOU'VE MENTIONED, THAT LUBBOCK COUNTY, LUBBOCK

[01:30:02]

AREA, WHETHER IT BE LEDA OR OTHERS OR COURTING, THAT THERE HAS BEEN A GOOD RELATIONSHIP DEVELOPED WITH THAT BUSINESS AND THE LUBBOCK COMMUNITY. THAT BEING SAID, THIS IS JUST MEANT TO ENCOURAGE THOSE SAME RELATIONSHIPS. I THINK A COUPLE OF YOU HAVE MENTIONED IT. WE.

IT IS NOT A INCREDIBLY SPECIFIC OR PUNISHING DOCUMENT BECAUSE WE WOULD HAVE TO GO IN, WHETHER IT'S THE STATE DOING IT FOR US OR THE INDIVIDUAL COUNTIES AND COMMUNITIES THEMSELVES, TO PUT IN A LOT OF THE PROTECTIONS COMING UP. WELL, I WOULD JUST LIKE TO ASK, WHAT BUSINESS WOULD YOU HAVE LARGE USE BUSINESS? WOULD YOU HAVE THAT YOU WOULDN'T WANT THEM TO COME IN AND TELL US WHAT THEY WERE GOING TO NEED? YEAH. DISCLOSE WHAT YOU'RE WHAT YOUR NEEDS ARE.

WHY WOULD YOU WHY WOULD YOU BE WILLING TO CARVE OUT LEPRINO FROM TELLING US HOW MUCH WATER THEY'RE GOING TO USE, BUT NOT DATA CENTERS BECAUSE IT'S THE SAME DEAL. I MEAN, WE'RE TRYING TO PROTECT THE PEOPLE. OKAY. SO LET ME ANSWER THAT DIRECTLY. YOU JUST YOU JUST SAID THAT AND MR. BURT WAS RIGHT. WE WE DID. WE WORKED WITH THEM. WE, WE THAT WHAT THIS RESOLUTION DOES IS IT SAYS, NOW YOU HAVE TO PUT A BOND. NOW YOU YOU HAVE TO PUT THIS BOND AND THEN YOU HAVE TO HAVE A CLOSURE BOND, WHICH YOU SAID WAS WOULD BE IN THE MILLIONS OF DOLLARS, RIGHT. IF.

AND SO THAT'S THE DIFFERENCE. THE DIFFERENCE IS THIS RESOLUTION IS REQUIRING THINGS OF LARGE SCALE INDUSTRIAL FOLKS THAT WE'RE OUT RECRUITING RIGHT NOW THAT WE'VE NEVER HAD TO IMPOSE ON A ON A LARGE SCALE INDUSTRY BEFORE. THE INFORMATION THAT YOU'RE TALKING ABOUT, I'M ALL FOR THAT. AND IF YOU WANT TO TAILOR THIS TO DATA CENTERS, I'LL BE ALL FOR THAT TOO. BUT BUT WE CANNOT WE CANNOT EFFECTIVELY GO OUT AND RECRUIT BUSINESSES TO LUBBOCK.

I'LL JUST SAY LARGE SCALE MANUFACTURING BUSINESSES TO LUBBOCK. IF WE'RE GOING TO REQUIRE THEM TO COME TO THIS COUNTY TO STAND WHERE MR. BURT IS STANDING AND GIVE US A MULTI-MILLION DOLLAR CLOSURE BOND, DO YOU NOT THINK THAT IF SOMEBODY COMES IN AND HAS A ONE, THEIR FACILITY IS GOOD FOR ONE THING AND ONE THING ONLY, LIKE A WIND GENERATOR OR A SOLAR PANEL, THAT THEY SHOULD HAVE TO CLEAN IT UP BEFORE THEY LEAVE. WELL, AND DO I THINK THEY SHOULD? YES, ABSOLUTELY. I SHOULD HAVE INSURANCE TO CLEAN IT UP. THE BOND THAT I'M TALKING ABOUT, ARE YOU ADJUSTABLE TO THE CLEANUP REQUIREMENTS WOULD BE TO CLEAN UP THAT BUSINESS. SO THAT THE BOND WOULD FOR EACH BUSINESS IT WOULD BE A FLOWING AMOUNT. IT WOULD LOOK AT THE BUSINESS AND SAY, THIS DATA CENTER HAS $10 MILLION WORTH OF HAZARDOUS STUFF THAT TO BE CLEANED UP, THEY WOULD HAVE TO HAVE THAT BOND. THIS ONE HAS NO HAZARDOUS EQUIPMENT. SO THE BOND WOULD BE NOTHING. SO I I'M SORRY, I KEEP GOING BACK TO LEPRINO. LEPRINO AGAIN USES A LITTLE OVER A MILLION GALLONS OF WATER A DAY. IF LEPRINO WAS STANDING WHERE MR. BURT WAS STANDING AND SAID THAT, WOULD YOU VOTE YES OR NO FOR LEPRINO FOR THEM? I CAN TELL YOU RIGHT NOW, I WASN'T ON THIS COURT WHEN THEY WOULD COME, BUT I WOULD HAVE BEEN A NO VOTE.

HAD A MILLION GALLONS A YEAR USAGE, AND I'VE BEEN A DAY I'M, I'VE. AND I'VE BEEN TOLD IT WAS ACTUALLY A 2 MILLION THAT THEY ACTUALLY BRING A MILLION BACK. SO YEAH, I WOULD HAVE BEEN A NO ON THAT KIND OF WATER USAGE. AWESOME. SO WE'VE GOT WE'VE GOT GOLF COURSES. WELL, THEY'RE NOT MANUFACTURING PLACES, BUT A GOLF COURSE USES ABOUT A HALF A MILLION GALLONS OF WATER A DAY AS WELL. A THOUSAND, OKAY. ABOUT 100, 100, 100 TO 500,000 A DAY. YOU GOT SIX. YOU GOT SIX GOLF COURSES HERE IN LUBBOCK COUNTY RIGHT NOW. OKAY. ALL USING AT A MINIMUM OF 100,000 GALLONS A DAY DURING THE SEASON. WE OKAY WITH THAT? IF, IF, IF SOMEBODY STANDS WERE. MR. BURT SAID. BUT THAT'S NOT AN INDUSTRIAL SCALE. THEY'RE NOT GOING TO HAVE TO COME. YOU SAID, I'M SORRY I MISUNDERSTOOD BECAUSE YOU SAID ANY BUSINESS THAT USES WATER NEEDS TO COME INDUSTRIAL SCALE. OKAY, I JUST WANT TO I JUST WANT TO CLARIFY SENTENCE. JUDGE. NO, I CLARIFY WHAT YOU SAID. I WANT THIS, I WANT THIS TO BE TAILORED TO DATA CENTERS. DATA CENTERS ARE BECOMING THE SCOURGE AND WE NEED TO GET THOSE UNDER CONTROL. WE CAN'T DO THAT AS A BODY HERE.

WE CAN ONLY LEAN ON THE STATE TO DO THIS FOR US. IF YOU THINK THAT WE NEED THIS TO TO TELL

[01:35:08]

THE STATE WHAT WE WANT, THEN LET'S PUT DATA CENTERS ON HERE BECAUSE THAT'S WHAT WE'RE TALKING ABOUT. WE'RE NOT TALKING ABOUT OTHER LARGE SCALE INDUSTRIAL PLACES. WE ARE TALKING ABOUT DATA CENTERS. PEOPLE WHO SHOWED UP TODAY WANT TO TALK ABOUT DATA CENTERS.

LET'S MAKE THIS RESOLUTION ABOUT DATA CENTERS. WELL, A WHOLE LOT OF THE TALK WASN'T WORRIED ABOUT A DATA CENTER. SHE'S WORRIED ABOUT ELECTRICITY, MY WATER AND MY ELECTRICITY BILL. I'VE BEEN OUT THERE. HOLD ON, HOLD ON. THIS IS A PUBLIC COMMENT. HOLD ON. SO SO I, I AM I, I WILL PERSONALLY VOTE NO ON THIS IF IT COMES TO A VOTE. I WOULD LIKE FOR THIS TO BE TABLED UNTIL SUCH TIME AS WE CAN TAILOR THIS TO DATA CENTERS. SO YOU'RE YOU'RE OKAY WITH ANY BUSINESS COMING IN AND USING ANY AMOUNT OF WATER AND NOT DISCLOSING TO US HOW MUCH WATER THEY'RE GOING TO USE. I AM 100%. THAT'S NOT IN LUBBOCK COUNTY'S BUSINESS. WE HAVE THAT'S NOT WHAT WE DO IN GOVERNMENT. THERE'S OTHER AGENCIES THAT HANDLE THAT. THAT'S NOT OUR JOBS. OKAY. STICK TO WHAT WE'RE HERE FOR. WE HAVE WE HAVE A WATER. I'M SORRY, IT'S NOT PUBLIC COMMENT. WE HAVE WE HAVE REGULATORY AGENCIES THAT HANDLE THIS. CURRENTLY, YOU'RE PULLING THE COUNTY INTO AREAS WHERE YOU DON'T BELONG. THAT'S BEYOND WHAT OUR CREATION WAS FOR. SO YOU DON'T WANT TO PASS THIS PASS THIS. IT DOES ABSOLUTELY NOTHING. IT'S A FEEL GOOD ONLY.

SO GO FOR IT. AND THAT'S WHAT I SAID IT, WHAT IT IS THERE FOR IS TO SHOW THAT WE SUPPORT A STATE. THAT ALREADY DOESN'T STATE NOTHING IN THIS RESOLUTION, CREATES OR EXPANDS.

COUNTY AUTHORITY REQUIRES THE COUNTY TO TAKE ANY ACTION, OR AUTHORIZES THE COUNTY TO PROHIBIT, SUSPEND, DELAY OR IMPOSE ON PRIVATE FINANCED PROJECTS EXCEPT AS EXPRESSLY PERMITTED BY TEXAS LAW. SO ALL IT'S DOING IS TELLING TEXAS LAW THAT WE NEED SOME HELP. YOU TWO JUST GOT DONE RATTLING OFF THAT THIS WOULD MAKE THE DATA CENTERS COME TALK TO US ABOUT IT. OKAY. IF YOU WANT TO PASS IT, LET'S PASS IT. BUT THIS IS TEN MINUTES OF MY LIFE. I AIN'T EVER. LET'S GET GOING. RESOLUTIONS DO ABSOLUTELY NOTHING. THEY ARE NOT BINDING.

Y'ALL WANT TO PASS IT? LET'S PASS IT. JUDGE, DO WE HAVE A MOTION IN A SECOND? YES. SEE IF WE'VE GOT. WE DO HAVE A MOTION IN A SECOND. IS THERE ANY FURTHER DISCUSSION? HEARING NONE. THEN I WILL CALL FOR THE QUESTION. ALL IN FAVOR? AYE. ANY OPPOSED, MR. DALBY? HELLO.

DID I ALL RIGHT. MOTION CARRIES 4 TO 1. THIS IS TO APPROVE THIS NONBINDING RESOLUTION. ITEM 35.

[35.00 26-0611 Discuss, consider and/or take action to authorize the County Judge to sign an agreement with Halff Associates, Inc. for the engineering and design of 98th Street from Alcove to 62/82 as awarded in RFQ 260101 on March 23, 2026.]

DISCUSS, CONSIDER AND OR TAKE ACTION TO AUTHORIZE THE COUNTY JUDGE TO SIGN AN AGREEMENT WITH HALF ASSOCIATES FOR THE ENGINEERING AND DESIGN OF 98TH STREET FROM ALCOVE TO 6282, AS AWARDED IN RFQ 260101 ON MARCH 23RD, 2026. MR. RHODES. THIS. THE PROPOSAL THEY GAVE THE COUNTY IS WITHIN BUDGET, SO I WOULD RECOMMEND. TO APPROVE A SECOND MOTION BY COMMISSIONER DALBY, SECOND BY COMMISSIONER SHORE TO AUTHORIZE THE COUNTY JUDGE TO SIGN THE AGREEMENT WITH HALF ASSOCIATES FOR ENGINEERING AND DESIGN. IS THERE ANY FURTHER DISCUSSION? HEARING NONE. CALL FOR THE QUESTION. ALL IN FAVOR? AYE. ANY OPPOSED? MOTION CARRIES.

JUDGE JOHNSON. WELL, I WAS SPEAKING TO ME. I MISSED THE MOTION IN THE SECOND. OKAY.

[36.00 26-0610 Discuss, consider and/or take action to approve and execute, for filing purposes, the plat regarding High Point Village Lots 1-24 Tract B-1 in Precinct 4.]

I'LL GET TO YOU IMMEDIATELY AFTER ITEM 36. DISCUSS, CONSIDER AND OR TAKE ACTION TO APPROVE AND EXECUTE FOR FILING PURPOSES. THE PLAT REGARDING HIGH POINT VILLAGE LOTS ONE THROUGH 24 TRACT B1 IN PRECINCT FOUR. YES, THIS PLAN HAS MET ALL THE REQUIREMENTS SO MOVED.

SECOND. MOTION BY COMMISSIONER. SECOND BY COMMISSIONER SHORE TO APPROVE AND EXECUTE FOR FILING PURPOSES. THE PLAT REGARDING HIGH POINT VILLAGE LOTS ONE THROUGH 24. ANY FURTHER DISCUSSION? HEARING NONE. CALL FOR THE QUESTION. ALL IN FAVOR? AYE. ANY OPPOSED? MOTION

[37.00 26-0528 Discuss, consider and/or take action to install 45 mph speed limit signs on CR 3300 from the Lubbock city limits to ¼ mile past CR 5820 in Precinct 3.]

CARRIES. ITEM 37. DISCUSS, CONSIDER AND OR TAKE ACTION TO INSTALL A 45 MILE AN HOUR SPEED LIMIT SIGN ON COUNTY ROAD 3300 FROM THE LUBBOCK CITY LIMITS TO A QUARTER MILE PAST COUNTY ROAD 5820 IN PRECINCT THREE. I'D LIKE TO MAKE A NOTE THAT THAT SHOULD SAY IDALOU. INSTEAD OF INSTEAD OF LUBBOCK. OKAY. MR. SHORE, DO YOU WANT TO MAKE THAT MOTION? YES, I MOVE THAT WE DO THAT. SECOND, I HAVE A MOTION BY COMMISSIONER SHORE TO INSTALL A 45 MILE AN HOUR SPEED LIMIT SIGN ON COUNTY ROAD 3300 FROM THE IDALOU CITY LIMIT TO ONE QUARTER MILE PASS, COUNTY

[01:40:07]

ROAD 5820 IN PRECINCT THREE. HAVE A MOTION. DO I HAVE A SECOND? SECOND MOTION BY COMMISSIONER SHORE, SECOND BY COMMISSIONER RATTLER. ANY FURTHER DISCUSSION? WELL, I JUST WANT TO SAY, YOU KNOW, AS WE IMPROVE THE ROADS, THEN THE CITIZENS THINK IT'S A SPEEDWAY AND THEY CAN RUN 75, 80 MILES AN HOUR ON THE COUNTY ROADS, 143 ON LOOP 88, AND IT CAUSES SOME EXTREME DANGER FOR CITIZENS OUT THERE. ANY OTHER DISCUSSION? HEARING NONE. CALL FOR THE QUESTION. ALL IN FAVOR? AYE. ANY OPPOSED? MOTION CARRIES. ITEM 38 DISCUSS,

[38.00 26-0632 Discuss, consider and/or take action to accept a road donation from Todd Pringle to convert from dirt to caliche on ECR 6200 from 2,640’ East of NCR 3500 to 4,410’ East of NCR 3500 in compliance with Section 252.109 of the Texas Transportation Code.]

CONSIDER AND OR TAKE ACTION TO ACCEPT A ROAD DONATION FROM TODD PRINGLE TO CONVERT FROM DIRT TO CALICHE, EAST COUNTY ROAD 6200 FROM 2640FT EAST OF NORTH COUNTY ROAD 3500 TO 4410FT EAST OF NORTH COUNTY ROAD 3500. IN COMPLIANCE WITH SECTION TWO, 52.109 OF THE TEXAS TRANSPORTATION CODE. YES, THIS IS TO CONVERT A DIRT PORTION TO CALICHE ABOUT 1700FT.

CONVERSION SO MOVED. SECOND. MOTION BY COMMISSIONER. SECOND BY COMMISSIONER RECHLER TO ACCEPT THE ROAD DONATION FROM TODD PRINGLE TO CONVERT FROM DIRT TO CALICHE. ANY FURTHER DISCUSSION? HEARING NONE. CALL FOR THE QUESTION. ALL IN FAVOR? AYE. ANY OPPOSED? MOTION

[39.00 26-0622 Report on the status of County Road Projects, Department Staffing, Training and Safety, unpaved and paved road maintenance, signs, parks, and fleet management report.]

CARRIES. ITEM 39 REPORT ON THE STATUS OF COUNTY ROAD PROJECTS. DEPARTMENT. STAFFING, TRAINING AND SAFETY. UNPAID AND PAID ROAD MAINTENANCE SCIENCE. PARKS AND FLEET MANAGEMENT.

DEPARTMENT STAFFING AND TRAINING. WE HAVE A GROUND MAINTENANCE TECH POSITION AND AN EQUIPMENT OPERATOR ONE FOR UNPAVED ROADS. WE HAVE 18 OPEN WORK ORDERS FOR PAVED ROADS. WE HAVE 39 FOR SIGNS. WE HAVE SEVEN OPEN WORK ORDERS FOR PARKS, 15 WE HAVE ROUTINE COST AND FLEET MAINTENANCE AND APPROXIMATELY 80 OPEN ORDERS. THANK YOU SIR. ALL RIGHT. THANK YOU. ITEM 40 IS A NOTICE THAT A QUORUM OF THE COMMISSIONERS COURT MAY ATTEND THE FOLLOWING

[40.00 26-0181 A quorum of the Commissioners Court may attend the following events: The Lubbock County Expo Center Local Government Corporation Board of Directors meeting on Wednesday, August 12, 2026, at 12:00pm at 1500 Broadway, 5th Floor (LEDA Conference Room) Lubbock, Texas.]

EVENT. THE LUBBOCK COUNTY EXPO CENTER LOCAL GOVERNMENT CORPORATION BOARD OF DIRECTORS WILL MEET THIS WEDNESDAY, AUGUST 12TH, 2026 AT NOON 1500 BROADWAY ON THE FIFTH FLOOR.

[41.00 26-0626 Budget workshops will be held from 1:30pm -5:00pm on the 2nd floor auditorium at 916 Main Street on August 10, 2026.. The Budget Committee, which includes the Commissioners Court, may attend. The Budget Committee review revenues, tax rate options, and expenditure request for the for FY2027 budget. These requests may include but are not limited to precinct road operations and maintenance, capital expenditures, salaries, benefits, personnel issues, departmental operational expenses including travel and training expenses, contract and professional service expenses, and other budgetary requests. Discussions may include but are not limited to budget policies, priorities, timelines, and updates. These workshops will be recorded and posted on the Lubbock County website at www.lubbockcounty.gov the Monday following the workshop. Lubbock County, Texas Taxpayer Impact Statement as of July 6, 2026 As of September 1, 2025, House Bill 1522 amends Section 551.043 of the Texas Government Code to add new notice required under the Texas Open Meetings Act. Specifically, when a governmental body posts notice of a meeting under Section 551.043(a)(c) at which it will discuss or adopt its budget, the notice must now include a taxpayer impact statement. The taxpayer impact statement must show, for the median-valued homestead property within the governmental body’s jurisdiction: · The property tax bill in dollars for the current fiscal year, and · An estimate of the property tax bill in dollars for the upcoming fiscal year. This requirement is intended to increase transparency by allowing taxpayers to see how proposed budgets may directly affect their property tax bills. The average value of homesteaded property provided by the Lubbock County Appraisal District is not currently available. Median Value of Taxes under the Estimated Taxes Estimated Taxes Budget Year Homesteaded Current Year under under No New Property* Tax Rate Proposed Budget Revenue Rate 2025 $219,456 $735 2026 N/A N/A N/A * (Note: Lubbock County uses the “average” instead of “median” for the homestead property to use the exact values found on the appraisal district reports, the structure and comparative format remain fundamentally the same).]

THIS IS THE LEAD, A CONFERENCE ROOM ITEM 41 IS ALSO A. NOTICE THAT BUDGET WORKSHOPS WILL BE HELD FROM 130 TO 5 ON THE SECOND FLOOR OF THE AUDITORIUM, 916 MAIN STREET. TODAY, AUGUST 10TH, 2026. BUDGET COMMITTEE, WHICH INCLUDES COMMISSIONERS COURT, WILL ATTEND THE BUDGET COMMITTEE, REVIEWS, REVENUES, TAX RATE, OPTIONS AND EXPENDITURE REQUESTS FOR THE FISCAL YEAR 27 BUDGET. THESE REQUESTS MAY INCLUDE, BUT NOT LIMITED TO, PRECINCT ROAD OPERATIONS AND MAINTENANCE, CAPITAL EXPENDITURES, SALARIES, BENEFITS, PERSONNEL ISSUES, DEPARTMENTAL OPERATION EXPENSES INCLUDING TRAVEL AND TRAINING EXPENSES, CONTRACT AND PROFESSIONAL SERVICE EXPENSES, AND OTHER BUDGETARY REQUESTS. DISCUSSIONS MAY INCLUDE ARE NOT LIMITED TO BUDGET POLICIES, PRIORITIES, TIMELINES AND UPDATES. THESE WORKSHOPS WILL BE RECORDED AND POSTED ON THE LUBBOCK COUNTY WEBSITE AT LUBBOCK COUNTY.GOV. THE MONDAY FOLLOWING THE WORKSHOP. ALSO AS A NOTE. ITEM 42, THE BROADWAY OR BROADWAY AVENUE

[42.00 26-0640 The Broadway Groundbreaking Ceremony on Friday, August 14, 2026, at 11:00am between Broadway & Avenue M Lubbock, Texas.]

GROUNDBREAKING CEREMONY WILL BE ON FRIDAY, AUGUST 14TH, 2026 AT 11:00 BETWEEN BROADWAY AND AVENUE M CITY IS INVITED US TO THAT. YOUR HONOR. ONE QUICK NOTATION WITH REGARD TO THE NOTICE INCLUDED IN AGENDA ITEM NUMBER 40, I BELIEVE AFTER THE AGENDA WAS PREPARED AND FINALIZED AND POSTED ON WEDNESDAY OF LAST WEEK, A NOTIFICATION CAME OUT INDICATING THAT THE LUBBOCK COUNTY EXPO CENTER LOCAL GOVERNMENT CORPORATION BOARD OF DIRECTORS MEETING WOULD BE POSTPONED FROM THE AUGUST 12TH DATE STATED IN THIS AGENDA, AND IT WILL BE HELD NEXT MONTH INSTEAD, I BELIEVE ON THAT NINTH. THANK YOU. YES, SIR, MR. BURKE. AND NOW, AS AUTHORIZED BY THE TEXAS GOVERNMENT CODE, THE COMMISSIONERS COURT OF

[EXECUTIVE SESSION]

LUBBOCK COUNTY, TEXAS, RESERVES THE RIGHT TO ADJOURN INTO EXECUTIVE SESSION TO DISCUSS ANY MATTERS, INCLUDING BUT NOT LIMITED TO, THE MATTERS AS THEY LISTED ABOVE, AS THEY MAY RELATE TO TEXAS GOVERNMENT CODE. 551.0711 CONSULTATION WITH THE ATTORNEY ABOUT PENDING OR CONTEMPLATED LITIGATION OR SETTLEMENT OFFERS. TEXAS GOVERNMENT CODE 551.0712 CONSULTATION WITH THE ATTORNEY WHEN THE ATTORNEY'S OBLIGATIONS UNDER THE TEXAS DISCIPLINARY

[01:45:03]

RULES OF PROFESSIONAL CONDUCT WITH THE STATE BAR OF TEXAS CONFLICTS WITH CHAPTER 551 AND TEXAS GOVERNMENT CODE. TEXAS GOVERNMENT CODE 51.072 DELIBERATIONS ABOUT REAL PROPERTY. TEXAS GOVERNMENT CODE 551.0725 DELIBERATIONS REGARDING CONTRACTS BEING NEGOTIATED. TEXAS GOVERNMENT CODE 551.073 DELIBERATIONS ABOUT GIFTS AND DONATIONS.

TEXAS GOVERNMENT CODE 551.074 PERSONNEL MATTERS. TEXAS GOVERNMENT CODE 521.0745 PERSONNEL MATTERS AFFECTING COUNTY ADVISORY BODY. TEXAS GOVERNMENT CODE. 51.076 DELIBERATIONS REGARDING SECURITY DEVICES OR SECURITY AUDITS AND TEXAS GOVERNMENT CODE. 51.087 DELIBERATIONS REGARDING ECONOMIC DEVELOPMENT NEGOTIATIONS. IT IS. 1146 MY SON HOUSE TODAY AT 430 AND IT'S 1210. WILL WE ADJOURN? LUBBOCK COUNTY COMMISSIONERS COURT IN REGULAR MEETING. IS THERE ANY OTHER ISSUES BEFORE THE COMMISSIONERS COURT? MOVE TO

* This transcript was compiled from uncorrected Closed Captioning.