[00:00:04]
>> HERE WE GO. ALL RIGHT. GOOD MORNING! IT IS 10:00 A.M. AND I CALL TO ORDER THE MAY 21, 2025 MEETING OF THE TEXAS TRANSPORTATION COMMISSION. IN AUSTIN, TEXAS. PLEASE NOTE FOR THE RECORD THAT PUBLIC NOTICE OF THIS MEETING CONTAINING ALL ITEMS ON THE AGENDA, WHAT IS FILED WITH THE SECRETARY OF STATE, AT 2:12 P.M. ON MAY 13TH, 2025 WHICH IS AT LEAST SEVEN DAYS IN ACCORDANCE WITH SECTION 5001.0. AT THIS TIME, I ASK THAT BEFORE WE BEGIN THE MEETING THAT WE PLACE ALL CELL PHONES OR OTHER COMMUNICATIONS DEVICES IN THEIR VIOLENT OR OFF MODE. TO COMMENT OR REGISTER YOUR OPINION ON AN AGENDA ITEM, PLEASE COMPLETE A YELLOW CARD AND IDENTIFY THAT AGENDA ITEM.
WHEN WE GET TO THAT AGENDA ITEM, OR THE STAFF HAS PRESENTED THE AGENDA ITEM, WE'LL CALL YOUR NAME TO THE PODIUM. WHEN YOU COME UP, SAY YOUR NAME AND YOUR REMARKS. IF YOUR REMARKS DO NOT CONTAIN AN AGENDA ITEM, WE WILL TAKE YOUR COMMENTS AT THE END OF THE OPENING PERIOD. AT THE END OF THE MEETING FOR THOSE COMMENTS, PLEASE COMPLETE A BLUE CARD AND BRING THAT CARD HERE TO THE DIAS. WHEN YOU COME UP TO THE PODIUM TO SPEAK, PLEASE STATE YOUR NAME, AND IF YOU'RE SPEAKING ON BEHALF OF AN ORGANIZATION, PLEASE LET US KNOW THE NAME OF THAT ORGANIZATION.
PLEASE ALSO NOTE THAT DURING OPEN COMMENT, THE COMMISSION IS PROHIBITED BY LAW, FROM ANSWERING QUESTIONS OR ENGAGING IN DIALOGUE WITH YOU CONCERNING REMARKS THAT ARE NOT ON THE POSTED AGENDA.
REGARDLESS OF WHETHER YOU SPEAK ON AN AGENDA ITEM OR OPEN COMMENT PERIOD, WILL YOU HAVE THREE MINUTES TO PROVIDE YOUR
[1. Safety Briefing]
REMARKS. AND 60 SECONDS REMAIN, THE YELLOW LIGHT ON THE PODIUM MR. FLASH, MEANING YOU SHOULD START WRAPPING UP AND WHEN THE RED SLIGHT FLASHES, YOUR THREE MINUTES HAVE EXPIRED. BEFORE WE BEGIN THE MEETING I'M GOING TO TURN IT OVER TO EXECUTIVE DIRECTOR MARC WILLIAMS.>> MARC WILLIAMS: GOOD MORNING, DIRECTOR. AS WE SHOW THE SAFETY VIDEO DESCRIBING THE EMERGENCY EXITS AND OTHER EMERGENCY PROCEDURES. .
>> IN CASE OF A MEDICAL EMERGENCY, PLEASE CALL 911. AN AUTOMATED EXTERNAL
>> ATTENTION PLEASE: THE FOLLOWING IS A SAFETY BRIEFING TO HELP ENSURE YOUR PERSONAL SAFETY WHILE AT THE TEXAS DEPARTMENT OF TRANSPORTATION GREER BUILDING. IN CASE OF A MEDICAL EMERGENCY, PLEASE CALL 911, AN AUTOMATED EXTERNAL DEFIBRILLATOR UNIT IS LOCATED HERE ON LEVEL ONE, IN THE MAIN LOBBY, AT THE SECURITY BOOTH.
FIRST AID KITS ARE MARKED AND LOCATED ON EACH FLOOR. FIRE EXTINGUISHERS ARE MARKED AND LOCATED ON EACH FLOOR.
IN THE EVENT OF AN EVACUATION, PROCEED TO THE NEAREST EXIT. ONCE INSIDE, MOVE AWAY FROM THE EXTERIOR WALLS AND WINDOWS. THE DESIGNATED SHELTERS ARE STAIRWELLS, BASTE, SHELTERS ARE STAIRWELLS, BASEMENTS, INTERIOR HALLWAYS AND CENTRALLY LOCATED INTERIOR HALLWAYS AND CENTRALLY LOCATED RESTROOMS. IN CASE OF ACTIVE SHOOTER OR BOMB THREAT, FOLLOW INSTRUCTIONS FROM THE PUBLIC ADDRESS SYSTEM AND ONSITE SECURITY PERSONNEL FOR MORE DETAILS.
[2. Opening Comments from Commissioners and Executive Director]
MEETING.>> MARC WILLIAMS: THANK YOU, CHAIRMAN, THAT INCLUDES OUR SAFETY VIDEO.
>> BRUCE BUGG: NOW, I'D LIKE TO OPEN WITH COMMENTS FROM OUR FELLOW COMMISSIONER.
COMMISSIONER VAUGHN, GOOD MORNING.
>> ROBERT VAUGHN: NO COMMENTS.
>> BRUCE BUGG: COMMISSIONER NEW.
>> ALVIN NEW: GOOD MORNING, ON VACATION.
>> BRUCE BUGG: THANK YOU FOR THE FULL REPORT ON YOUR VACATION. I HAVE A COUPLE OF THINGS, I JUST WANTED TO MENTION, YESTERDAY, I HAD THE PLEASURE TO WILLIAM THE DEPARTMENT OF TRANSPORTATION SECRETARY SEAN DUFFY TO OUR SNAZZY CAMPUS. THE EVENT INCLUDED PARTICIPANTS FROM THE TEXAS TRUCKING ASSOCIATION. AND ANOTHER ORGANIZATION, THE OWNER/OPERATOR DIVER COMMISSION, AND MARC WILLIAMS AND OTHER STAFF. THE SECRETARY OF STATE OF ALL 50 STATES TO HOST A PRESS
[00:05:01]
CONFERENCE ON PRESIDENT TRUMP'S RECENT EXECUTIVE ORDER ON RESTORING COMMON SENSE RULES FOR AMERICA'S TRUCK DRIVERS. WE KNOW A ROBUST TRUCKING INDUSTRY IN TEXAS IS A KEY DRIVER OF OUR ECONOMIC GROWTH. AND COMMERCIAL TRUCKS IN TEXAS MOVED MORE THAN 1.5 BILLION TONS OF FREIGHT ANNUALLY. THAT'S MORE THAN ANY OTHER STATE IN THE NATION. I WANT TO SAY THANK YOU TO SECRETARY DUFFY FOR VISITING US IN AUSTIN. AND I LOOK FORWARD TO CONTINUING TO WORK WITH YOU.AND, BY THE WAY, OUR LITTLE GET TOGETHER WITH SECRETARY DUFFY WAS WELL CHRONICLED ON THE FRONT PAGE OF TODAY'S "OFF THE TEN AMERICAN STATESMAN" WITH A FABULOUS PICTURE OF MARIANNE.
AND MARIANNE, YOU'RE RIGHT THERE. YOU SHOW VERY WELL ON THE FRONT PAGE.
>> MARC WILLIAMS: I THINK WE HAVE A VIDEO.
>> BRUCE BUGG: OH, DO WE HAVE A VIDEO.
>> AT USDOT, A LOT OF US LOOK TO TEXAS ON HOW TO DO IT AND HOW TO DO IT WELL. THEY'RE ONE OF THE BRIGHT STARS IN USDOT. IN A STATE THAT REALLY DOES THINGS VERY, VERY WELL. I APPRECIATE THEIR WELCOME TO COME DOWN TO THE GREAT STATE AND DO THIS PRESS CONFERENCE. THREE QUARTERS OF OUR NATION'S FREIGHT IS MOVED BY TRUCKS. 12 MILLION AMERICANS ARE EMPLOYED IN THE TRUCKING INDUSTRY. TODAY, WE'RE HERE TO RESTORE COMMON SENSE AND SAFETY TO OUR ROADWAYS. FOR TOO LONG, MISGUIDED POLICIES HAVE PRIORITIZED POLITICAL CORRECTNESS OVER SAFETY OF THE AMERICAN PEOPLE.
>> WE ALL ARE USING OUR HIGHWAYS, WHETHER IT'S A PERSONAL VEHICLE, OR YOU'RE DRIVING ONE OF THESE WONDERFUL TRUCKS THAT WE'RE LOOKING AT HERE. BUT WE ALL HAVE A SHARED RESPONSIBILITY, THE WAY I LOOK AT IT.
IT DOESN'T MATTER IF YOU DRIVER AN 18-WHEELER OR A LITTLE VOLKSWAGEN. WE ALL HAVE THE SHARED RESPONSIBILITY. WE DO THE RIGHT THINGS BY THE DRIVERS BESIDE US, BY THE DRIVERS PASSING US, WHATEVER IT IS, WE ALL HAVE TO -- WE'RE IN THIS GAME TOGETHER.
>> BRUCE BUGG: GOOD. WE ALSO HAD NOT ONLY A GREAT FRIEND OF COMMISSION, BUT A FORMER SECRETARY, I GUESS YOU'RE ALWAYS A SECRETARY. SECRETARY OF COMMERCIAL, DON EVANS, IS HERE TODAY TO BRIEF US A LITTLE BIT LATER ON ALL OF THE GREAT ACTIVITIES OF THE STRATEGIC PARTNERSHIP. SECRETARY EVANS, I THANK YOU FOR THE TIME TO BE WITH US TODAY. WE LOOK FORWARD TO YOUR REMARKS LATER.
I NOW LIKE TO TURN ON A INDIVIDUAL ON TEXAS CLEAR LANES.
GOVERNOR ABBOTT CALLED ON THIS IN 2015. THIS VIDEO HIGHLIGHTS THE REAL RESULTS WE'VE ACHIEVED WHEN IT COMES TO ADDRESSING CONGESTION THROUGHOUT THE STATE.
>> IN A FAST-GROWING STATE AND A THRIVING ECONOMY, TXDOT IS MEETING THE MOMENT. A HISTORIC AMOUNT OF ACTIVE CONSTRUCTION PROJECTS AND EVEN MORE PLANNED OVER THE NEXT TEN YEARS.
THANKS, GOVERNOR GREG ABBOTT AND THE TEXAS LEGISLATURE. TXDOT HAS RECEIVED FUNDING ACROSS THE STATE. UNDER THE DIRECTION OF THE GOVERNOR, TEXAS STARTED TEXAS CLEAR LANES IN 2015, PROVIDING CONGESTION RELIEF WHERE IT'S NEEDED MOST. TEXAS CLEAR LANES IS NOW AN $80 BILLION PROJECT INCLUDING PROJECTS COMPLETE OR UNDER CONSTRUCTION OR PLANNED. THAT HELPED SAVES TEXAS DRIVERS $2.2 BILLION IN CITIES AND RURAL AREAS. DESPITE A 17% INCREASE IN VEHICLES MILES TRAVEL.
STATE WIDE, LET'S SEE HOW THE POCKETS ARE BEGINNING LOCALLY.
IN FT. WORTH, IT PROJECT SH-199 EXPANDED THE ROADWAY TO SIX LANES AND THE PROJECT NOW UNDER CONSTRUCTION WILL DRIVER RELIEF.
IN THE FUTURE, DRIVERS WILL BENEFIT FROM ADDITIONAL LANES I-35WEST IN DALLAS, THE CENTRAL HELPED LOWER 77% ON EAST IN 2022. TWO PROJECTS ARE ALSO UNDER WAY TO REBUILT I-30 AND SOON, TXDOT WILL START A PROJECT TO REBUILD I-30 IN DOWNTOWN
[00:10:01]
DALLAS. IN AUSTIN AN INNOVATIVE INTERSECTION AT I-35 AND FARMER LANE HELPED TO SIGNIFICANTLY REDUCE TRAFFIC LAYS DURING RUSH HOUR. NEW HOV LANES AND OTHER PROJECTS ARE ARE IN THE REMARKS FROM SH 35 AND SH 35 SOUTHEAST AS PART OF THE I-35 CAPITAL CHESS PROGRAM. IN DOWNTOWN AUSTIN, THE CENTRAL PROJECT WILL RESHAPE HOW PEOPLE GET THROUGH THE CITY.IN SAN ANTONIO, THE 281 NORTH EXPANSION, DRAMATICALLY REDUCED CONGESTION IN NORTH BEXAR COUNTY. IN THE FUTURE, DRIVERS WILL SEE MORE IMPROVEMENTS ON I-35. AND IN HOUSTON, THE I-69 PROJECT IS PROVIDING CONGESTION RELIEF ON A MAJOR INTERCHANGE, THE NORTH HOUSTON HIGHWAY IMPROVEMENT PROJECT ON I-45, WILL BRING MASSIVE IMPROVEMENTS THROUGH THE HEART OF HOUSTON, AN AREA THAT WILL SEE EVEN MORE IMPROVEMENTS OVER THE NEXT SEVERAL YEARS.
THESE ARE JUST A FEW EXAMPLES OF HOW TEXAS CLEAR LANE IS HELPING DRIVERS ACROSS THE STATE. FROM CITY TO CITY, THESE PROJECTS HAVE BEEN A MAJOR BOON FOR BUSINESSES, NEIGHBORHOODS, SCHOOLS AND FAMILIES. HELPING TO IMPROVE THE QUALITY OF LIFE FOR EVERYONE WHO TRAVELS OUR STATE. AND AS MORE FOLKS COME TO ENJOY THE BEAUTY OF TEXAS AND A THRIVING ECONOMY, TXDOT IS READY TO WELCOME THEM, PAVING THE WAY FOR YEARS TO COME, AND CONNECTING YOU WITH TEXAS.
>> BRUCE BUGG: THANK YOU FOR THAT REPORT. I HOPE Y'ALL HEARD THAT THE TEXAS CLEAR LANES PROJECT IS TODAY AN $80 BILLION PROGRAM. AND, OF COURSE, WHAT WE DO, IS WE WORK WITH OUR FRIENDS AT TEXAS A&M UNIVERSITY, AND THEY COMPILE A LIST OF THE TOP 100 MOST CONGESTED CHOKE POINTS IN THE ENTIRE STATE OF TEXAS. THAT'S WHERE WE FOCUS TRYING TO KNOCK THAT LIST DOWN.
OF COURSE, THERE'S ALWAYS SOME VOLATILE ONE BACK ON THE LIST.
BUT THERE'S IN NOSE WHO LIVE IN AREAS AROUND THE STATE OF TEXAS.
WE'LL CONTINUE TO DO THAT WORK.
AND I WANT TO THANK GOVERNOR GREG ABBOTT, FOR ALL OF THE UNQUALIFIED SUPPORT THAT HE GIVERS US TO KEEP THIS MAJOR PROGRAM GOING AND SERVING THE STATE OF TEXAS. IT'S A BIG DEAL. THAT'S IN ADDITION TO THE 60 BILLIONS OF OTHER PROJECTS WE HAVE UNDER CONSTRUCTION, WELL-TIMED THROUGHOUT THE STATE OF TEXAS BY THE WAY, SECRETARY DUFFY YESTERDAY MADE A POINT OF TELLING ME THAT HE BELIEVED THAT THE TEXAS DEPARTMENT OF TRANSPORTATION IS THE NUMBER ONE D.O.T. IN THE ENTIRE UNITED STATES. AND AND TO EVERYONE IN THIS AUDIENCE, HAS DONE THEIR PART, TO EARN THAT. AND I'M JUST PROUD OF EVERYBODY. I TALKED ABOUT THE MORE THAN 14,000 EMPLOYEES WE HAVE AT TXDOT GET UP EVERY MORNING, AND HIT IT EVERY DAY HARD. SO THAT WE CAN DELIVER OUR PROGRAMS TO THE PEOPLE OF THE STATE OF TEXAS. I WANT TO THANK THE MORE THAN 13,000 EMPLOYEES AT TXDOT RIGHT NOW.
>> BRUCE BUGG: I HAVE ONE OTHER THING I WANT TO MENTION, I WANT TO CONGRATULATE MESSERS VAUGHN AND MEADE. THANK YOU, GENTLEMEN, LOOK FORWARD TO CONTINUE TO WORK WITH YOU. SO THANK YOU FOR THAT. IT'S BEEN WONDERFUL TO WORK WITH YOU GUYS AND JUST KEEP ON GOING. I'LL TURN IT OVER TO THE EXECUTIVE DIRECTOR.
>> MARC WILLIAMS: THANK YOU, CHAIRMAN. BRIEF ITEMS, LIKE THIS MONTH, NEXT MONTH'S COMMISSION MEETING WILL BE A WEEK EARLIER THAN IT TRADITIONALLY IS. IT'S GOING TO BE HELD ON FRIDAY, JUNE 20TH, STARTING AT 10:00 A.M. THE SECOND ITEM THAT I WANTED TO MENTION TO FOLKS, THE EMPLOYEE RETIREMENT SYSTEM OF TEXAS HAS A BOARD OF TRUSTEES THAT OVERSEE THE WORK AND THE INVESTMENT OF THAT ORGANIZATION. THE EMPLOYEES OF TXDOT AND THE RETIREES, THE RETIREMENT IS MANAGED BY THE E.R.S. BOARD.
AND MANY OF YOU MAY ALL BE AWARE THAT BRIAN BART HAS SERVED AS A MEMBER OF THAT BOARD OF TRUSTEES. AND THEY ARE -- HAVE BEGUN THE PROCESS OF ELECTION FOR A NEW POSITIN ON THAT BOARD. THE VOTING FOR THAT POSITION OPENED UP JUST A FEW DAYS AGO.
IT GOES THROUGH PRIVATE ON JUNE 20TH. JUST A REMINDER ON THE NEXT DAY TO GET YOUR VOTE
[00:15:02]
FOR THAT POSITION. AN RUNNING- INDIVIDUAL NAMED DIANE LEWIS FROM THE DEPARTMENT OF FAMILY AND PROTECTIVE SERVICES. AND BRIAN BART IS RUNNING FOR A SECOND TERM ON THE BOARD OF TRUSTEES. I'M NOT ALLOWED TO CAMPAIGN OR ADVOCATE FOR ANYBODY. BUT I HAVE ALREADY CAST MY VOTE. AND IF ANYBODY WOULD LIKE TO SPEAK WITH ME PRIVATELY ABOUT WHO I VOTED FOR, I'D BE HAPPY TO TELL YOU. BUT I WOULD ENCOURAGE EVERYBODY IN THE AUDIENCE THAT'S A TXDOT EMPLOYEE OR A RETIREE, WHICH ALL OF YOU ARE ALL INCLUDED ON THERE, YOU ALL HAVE RECEIVED A NOTICE IN THE MAIL. AND ALSO AN ONLINE LINK TO THAT. AND IT WOULD BEHOOVE YOU ALL TO BE EDUCATED ON THE CANDIDATES. THANK YOU,[3. Consider the approval of the Minutes]
SIR.>> BRUCE BUGG: FINDING ANY BUMPER STICKERS THAT YOU HAVE? FOUR MORE YEARS, RIGHT? OKAY.
WE WILL NOW CONSIDER THE APPROVAL OF THE MINUTES FROM THE APRIL 24, 2025, REGULAR MEETING OF THE TEXAS TRANSPORTATION COMMISSION. MEMBERS, THE DRAFT MINUTES HAVE BEEN PROVIDED TO YOU. I HAVE A MOTION TO APPROVE THE MINUTES OF THE APRIL 24, 2025, REGULAR MEETING OF THE TEXAS COMMISSION. THANK YOU,
[4.a. Highway Improvements and Other Transportation Facilities]
COMMISSIONER VAUGHN, ALL IN FAVOR, SAY I AYE. MOTION PASSES.>> MARC WILLIAMS: WE WILL BEGIN WITH CONSIDERATION OF THE APART OF HIGHWAY IMPROVEMENT AND FACILITIES CONTRACTS, CONSTRUCTION DIRECTOR DUANE MILLIGAN IS HERE TO PRESENT THIS IT ITEM.
>> DUANE MILLIGAN: THE CONTRACTS ARE SEPARATED INTO $401.3 MILLION. LOCAL GOVERNMENT AND DELIVERY PROJECTS THAT COMES 986.5 MILLION. THE TOTAL VOLUME FOR THE FISCAL YEAR 10.20 BILLION OR NERVE.31% OF THE PLANNED 1106 BILLION FOR PERIOD OF MAY OF 2024 THROUGH MAY OF 2025. THIS MONTH, THE REPORT OF THE APRIL 25 HIGHWAY COST INDEX OF 210.13. AND A YEAR AGO, REPRESENTING A 4.94% YEAR OVER YEAR INCREASE. FOR SPECIFIC DETAILS OF AGENDA COMES 4 A AND B.
4 A FOR CONSIDERATION OF PROJECTS ON HIGHWAY IMPROVEMENT PROJECTS ON MAY 2025. WE PRESENT AVERAGES 5.85 BIDS PER PROJECT. THE LOW BID IS $79.6 MILLION WITH AN OVERALL UNDER 16. %. CATEGORIZED UNDER THE AREAS PAVEMENT PRESERVATION, 119.96 MILLION. CONGESTION RECONNECTION AT 113.83 MILLION.
BRIDGE AT 32.2 MILLION AND ENHANCED ACTIVITY AT 82 MILLION.
BICYCLE 3.2. PROJECTS WITH RIGHT AWAY AND UTILITY ISSUES THREE SHOULD BE CLEARED NEXT MONTH, TWO IN FOUR MONTHS, AND FOUR HAVE APPROVED MANAGEMENT PLANS. STAFF AWARDS EVER ALL HIGHWAY PROJECTS, I'LL BE HAPPY TO ANSWER ANY QUESTION THAT THE COMMISSION MAY HAVE AT THIS TIME.
>> BRUCE BUGG: COMMISSIONERS, HAVE ANY REMARKS? NOT HAVING ANY. A MOTION TO
[4.b. Routine Maintenance]
MOVE THE REPORT.>> BRUCE BUGG: THANK YOU, COMMISSIONER VAUGHN.
>> MARC WILLIAMS: PLEASE CONTINUE WITH ITEM 4 B, THIS IS CONSIDERATION OF THE ROUTINE CONTRACTS.
>> DUANE MILLIGAN: ITEM 4.B FOR RUE DENY PROJECTS MAY 22ND, 2025. WE HAVE AN OVERALL AVERAGE OF 3.79 BIDS PER PROJECT. THE LOW BID VALUE IS THROBBINGS 24.8 MILLION WITH AN
[00:20:02]
OVERALL UNDER ROUND OF 6.59%.THE STAFF RECOMMENDS ALL 14 MAINTENANCE PROJECTS. I'LL BE HAPPY TO ANSWER ANY QUESTIONS THE COMMISSION MAY HAVE AT THIS TIME.
>> BRUCE BUGG: COMMISSIONERS ARE THERE ANY REMARKS FOR CONSTRUCTION DIRECTOR MILLIGAN.
>> I'M JUST GOING TO SPEND A LITTLE TIME, 3.79 SAY GREAT NUMBER. 14 PROJECTS, FIVE HAD EQUAL TO OR LESS THAN TWO. TWO OR ONE. BOTH OF THOSE WERE WELL OVER THE ENGINEER'S SYSTEM. AND SO ONE BID IS ALWAYS GOING TO BE A PROBLEM. BUT THERE WERE SPECIALTIES SO IT MADE IT DIFFICULT TO HAVE A REALLY COMPETITIVE BID. SOMETIMES, I PUSH FOR DOING THING INTERNALLY, WHEN THEY'RE HARD TO DEPLOY AND THOSE THINGS. IN THIS CASE, I DON'T THINK THAT'S IN PLAY. I THINK THESE ARE REALLY JUST SPECIALISTS THINGS. BUT I JUST ALWAYS LOOK AT, YOU KNOW, FIVE OUT OF 14 HAVE TWO OR ONE. AND YOUR BIDS ARE AT 3.79. IT POINTS OUT THAT, YOU KNOW, SOME OF THEM HAD EQUAL BIDS OR SOMETHING THAT DROVE THAT NUMBER UP, LIKE WHATEVER WAS TOLD YEARS AGO BY A MENTOR. ONE FOOT IN ICE. ONE FOOT IN THE CAMP FIRE, ONE AVERAGE, YOU'RE DOING FINE.
FIVE OUT OF 14 ARE HARDLY ANY BIDS. YOU KNOW, LET'S LOOK AT THEM INDIVIDUALLY LIKE YOU DO.
BUT I JUST WANTED TO KIND OF POINT OUT SOME OF THAT INFORMATION. THANK YOU.
>> BRUCE BUGG: ANY OTHER COMMENTS --
>> MARC WILLIAMS: THERE WAS AN ABSOLUTE MOTION THERE. I THOUGHT I HEARD IT. I DON'T KNOW HOW I DROPPED THAT. YES, I CERTAINLY MOVE TO APPROVE THIS.
>> BRUCE BUGG: I BELIEVE THAT COMMISSIONER MEADE JUST MADE A
[4.c. Construction and Rehabilitation of Buildings]
MOTION. ALL IN FAVOR PLEASE SAY AYE. ANY OPPOSED? MOTION PASSES UNANIMOUSLY. BACK TO THE EXECUTIVE DIRECTOR.>> MARC WILLIAMS: NEXT IS ITEM 4 C, THIS IS THE FACILITIES CONTRACTS. WARREN ROSE IS MERE TO PRESENT THE COMBINE.
>> WARREN ROSE: PRESENTED FOR CONSIDERATION TWO CONTRACTS IN BOWIE AND STAFF RECEIVED BIDS TOTAL $437,914,515. WHICH IS 0.1% UNDER THE ARCHITECT'S ESTIMATES OF 438,362,000. STAFF RECOMMENDS APPROVAL OF ALL OF THE BUILDING CONTRACTS. I'M AVAILABLE FOR ANY COMMENTS.
COMMISSIONERS, ARE THERE ANY REMARKS FOR WARREN ROSE.
COMMISSIONER VAUGHN MADE THE MOTION. MAY I HAVE A SECOND? THANK YOU, COMMISSIONER MEADE.
>> MARC WILLIAMS: THANK YOU, DIRECTOR ROSE. I JUST WANT TO COMMENT ON THAT, THE AWARD OF CONTRACTS ON THIS. 426 MILLION OF THAT 437 THAT YOU ALL AWARDED WAS RELATED TO THE CAPITAL CONTRACT THAT WAS DIRECTED FUNDED OUT OF THE UTP. BECAUSE OF SOME OF THE UNIQUENESS OF IT, WE CHOSE THE FACILITY'S BIDDING PROCESS TO ADMINISTER IT. BUT IT WENT TO A HIGHWAY CONSTUCTION CONTRACTOR, AND IS VERY MUCH PART OF OUR HIGHWAY PROGRAM. I WANTED JUST TO POINT THAT OUT, BECAUSE OUR FACILITIES CONTRACTS THIS MONTH, ACTUALLY EXCEED THE AMOUNT OF AWARD ON THE HIGHWAY CONSTRUCTION SIDE OF IT. AGAIN, A BIG PORTION OF IT
[5. Discussion Item]
WAS THE I-35 PUMP STATION.TURNING NOW TO ITEM NUMBER FIVE.
AND THIS IS THE DISCUSSION OF THE DEPARTMENT'S ENERGY SECTOR UPDATE. AND ENGINEERING AND SAFETY OPERATIONS DIRECTOR JESSICA BUTLER IS HERE TO LEAD THIS DESTRUCTION.
[00:25:01]
>> THANK YOU, GOOD MORNING, COMMISSIONER AND DIRECTOR. I'M HAPPY TO UPDATE YOU ON THE LAST UPDATE. THIS WILL TOUCH ON SEVERAL TOPICS INCLUDING PARTNERSHIP AND RELATING TO THE NEEDS RELATED TO THE ENERGY SECTOR. SHARE INFORMATION ON ENERGY PRODUCTION IN TEXAS DISCUSS SAFETY AND PAVEMENT CONSTRUCTION AS WELL AS FUNDING INVESTMENTS MADE WITHIN THOSE REGIONS.
BEFORE I GET STARTED, THOUGH, I WOULD LIKE TO INVITE UP ONE OF OUR IMPORTANT PARTNERS SECRETARY DON EVANS. U.S.
SECRETARY OF COMMERCIAL, AS CHAIRMAN BUGG INTRODUCED EARLIER, HE'S GOING TO UPDATE US.
>> MR. CHAIRMAN, IT'S A PLEASURE AND DELIGHT TO BE BACK TO THE PODIUM. LADIES AND GENTLEMEN, AS I SAID EARLIER, DON EVANS HA& BEEN THE, I WOULD SAY, THE TOTAL STRENGTH BEHIND TAKING THE PROMISE AND TURNING IT INTO WHAT IT IS NOW. AND HE FORMED THE PARTNERSHIP COMPOSED OF TOP 28 IN THE STATE OF TEXAS AND THROUGHOUT THE STATE. UNDER DON EVANS' LEADERSHIP, THIS HAS TURNED INTO A MASSIVE ROLE HE IS PLAYING AS PART OF THE PARTNERSHIP. WE WELCOME YOU AGAIN. AND SECRETARY EVANS, I'LL TURN IT OVER TO YOU.
>> THANK YOU, CHAIRMAN VERY MUCH. I'M DELIGHTED TO BE BACK HERE. CONGRATULATE YOU AND YOUR LEADERSHIP, ALL OF THE COMMISSIONERS, MEADE AND VAUGHN, FOR THE COUNTRY AND THE DEPARTMENT OF TRANSPORTATION, IT TAKES STRONG LEADERSHIP. THAT'S WHAT THEY GET FROM THIS COMMISSION. IT TAKES A WORLD CLASS TEAM BEHIND YOU, THAT'S WHAT YOU HAVE. AND DESERVING OF THE NUMBER ONE COMMISSION RANKING IN THE UNITED STATES.
>> MR. CHAIRMAN, I WANT TO PUT THIS IN PERSPECTIVE KIND OF HISTORICALLY, A LITTLE BIT F YOU GIVE ME TIME AND MAKE SURE EVERYBODY UNDERSTANDS THE IMPACT THAT YOU'RE HAVING, NOT JUST ON THE STATE OF TEXAS BUT THE WORLD. AND HOW THINGS HAVE CHANGED IN THE PERMIAN BASIN.
AND HOW IT'S CHANGED OVER THE LAST TWO YEARS. I'VE BEEN OUT THERE 50 YEARS.
RIGHT BEFORE I WENT OUT, WE HAD WHAT'S CALLED AN OIL EMBARGO, AND PEOPLE MAY REMEMBER, SOME OF YOU REMEMBER, SOME OF YOU MAY NOT, BUT COMING OUT OF WORLD WAR II, ABOUT 66% OF THE SUPPLY IN THE WORLD WAS COMING FROM THE UNITED STATES OF AMERICA. BY 1973, ONLY 18%.
SO IN TERMS OF WORLDWIDE SUPPLY, WE WENT FROM 66% TO 18% SUPPLY. GOT ON THE WRONG SIDE AS FAR AS OF THE MIDDLE EAST WAS CONCERNED OF THE YOM KIPPUR WAR.
COMING OUT OF THE MIDDLE EAST, AN OIL EMBARGO WENT FROM $70 TO $30 IN SEVEN YEARS. 1960, AT THAT POINT, WE WERE ENERGY SCARCE AND DEPENDENT ON THE MIDDLE EAST.
DEMAND SKYROCKETED. DEMAND AROUND THE WORLD COLLAPSED. OIL COLLAPSED. SOUTHWEST COMPANY COMMISSION. BANKS, REAL ESTATE MARKETS COLLAPSED THROUGH THE '80S. THERE WAS A PERIOD WHERE WE WERE ENERGY SCARCE. AND WE REALLY DIDN'T HAVE CONTROL, I WOULD SAY, OF OUR DESTINY, BECAUSE OF THAT.
FROM 1973 TO 2000 AND ABOUT '18, WE WERE ENERGY SCARCE. AND WE HAVE ENERGY ABUNDANCE NOW BECAUSE OF THE PERMIAN BASIN.
TECHNOLOGY CAME ALONG IN THE UNBELIEVABLE BASIN CALLED THE PERMIAN BASIN, THE BEST ROCKS IN THE WORLD. WITH THE MANUFACTURING, EVERYBODY HAS HEARD ABOUT THAT. BUT ALL OF A SUDDEN, BECAUSE OF THAT, WE TAKE A BASIN, THE PERMIAN BASIN WHICH HAD DECLINED DOWN TO ABOUT 550,000 BARRELS A DAY. AND THE BASIN NOW, IT'S 6 MILLION BARRELS A DAY. WELL OVER 6 MILLION BARRELS A DAY. WE ARE NOW ENERGY ABUNDANT IN AMERICA BECAUSE OF THE PERMIAN BASIN.
BECAUSE OF THAT, WE'RE ENERGY SECURE. WE'RE ECONOMIC SECURE, AS FAR AS OUR NATIONAL SECURITY. SO IT'S A TOTAL COMPLETE GAME-CHANGER,
[00:30:03]
GEOPOLITICALLY AND EVERYTHING ELSE AND FOR THIS WORLD. THAT'S JUST TO PUT A BIG OLD GIANT EXCLAMATION ON THE IMPORTANT WORK YOU'RE DOING IN THE PERMIAN BASIN. NOT JUST IN THE PERMIAN BASIN, BUT WHAT IT MEANS FOR THE UNITED STATES AND THE WORLD.PEOPLE DON'T REALIZE THIS, A TREMENDOUS AMOUNT OF NATURAL GAS COMES OUT OF THE PERMIAN BASIN.
AND IN THE GULF COAST, EXPORTED AROUND THE WORLD, AND THERE IS MORE OF THAT TO COME.
SO, I DON'T WANT ANYBODY TO KIND OF UNDERESTIMATE THE IMPORTANCE OF THE PERMIAN BASIN.
AND WHAT IS OUT THERE IN IMPORTANCE TO THIS COUNTRY.
AND YOU'RE RIGHT, OUT OF THAT -- OUT OF THAT, WHEN WE SAW ALL THERE WAS TO BE DONE IN THE PERMIAN BASIN, SINCE 2016 AND 2017, WHEN YOU AND I FIRST STARTED TALKING ABOUT IT. AND SAID, BOY, WE GOT TO MOVE A LOT OF PEOPLE OUT HERE. AT THAT TIME, WE GOT TO MOVE 250,000, 300,000 PEOPLE OUT HERE. IT'S UP SINCE THEN. BUT THE COMPANY'S ENERGY COMPANIES CAME TOGETHER AND SAID WE'VE GOT TO COME TOGETHER AND TAKE ON THE CHALLENGES OF THIS AREA, AS WE'VE MOVED PEOPLE IN THIS AREA.
AND FOCUS ON THINGS THAT ARE QUALITY OF LIFE ISSUES, EDUCATION AND HEALTH CARE. AND THE TOP OF MY LIST IS ALWAYS SAFETY. AND SAFETY OF ROADS, SAFETY OF WHATEVER IT IS.
BUT, YOU KNOW, YOU GOT TO HAVE SAFE ROADS OUT THERE TO CONNECT ALL OF THE COMMUNITIES OUT IN THE WESTERN PART OF THE STATE. AND IN THE PERMIAN BASIN. SO IT'S AT LEAST -- THERE'S 26 COMPANIES AND TWO SYSTEMS. UNIVERSITY OF TEXAS SYSTEM IS INVOLVED IN IT. THE TEXAS TECH SYSTEM IS INVOLVED IN IT.
WE RECENTLY ARE HAVING VERY CONSTRUCTIVE CONVERSATIONS WITH TEXAS A&M, WHICH LEADS BACK TO RURAL PART OF THE WEST TEXAS AND RURAL HEALTH CARE. AND SO, WE'VE GOT REALLY THREE SYSTEMS INVOLVED IN HELPING DEVELOP THAT AREA. SO, IT IS A PLACE THAT WILL ATTRACT AND RETAIN GOOD WORKERS AND FAMILIES. THAT'S ONE OF THE BIGGEST CHALLENGES, QUITE FRANKLY, THAT ALL OF THESE COMPANIES HAVE. IS HOW -- WHAT THEY WANT TO BE ABLE TO DO IS THEY WANT -- WHERE THEY ARE OPERATE, THEY WANT THE QUALITY OF LIFE TO ALL OF THE CITIZENS WHERE THEY OPERATE, TO BE QUALITY HEALTH CARE, OUTSTANDING EDUCATION, SAFE ROADS. AND THE OTHER THING WE'RE FOCUSED ON IS CONTINUING TO DEVELOP THE NORTH CORRIDOR. BUT THAT'S THE FOCUS AND THAT'S WHAT THESE COMPANIES ARE ALL ABOUT WHICH IS AN UNIQUE GROUP, BECAUSE THESE COMPANIES COMPETE AGAINST EACH OTHER OUT IN THE MARKETPLACE.
BUT THEY COME TOGETHER FOR THE COMMON GOOD AND THE COMMON PURPOSE OF THE PEOPLE THAT NOT ONLY WORK THERE, BUT LIVE THERE.
AND SO, IT'S BEEN AN INCREDIBLY REALLY INSPIRING THING FOR ME TO BE INVOLVED IN. AND SEE HOW THESE COMPANIES HAVE LEANED IN SO HARD IN BRINGING THEIR TALENTED EMPLOYEES TO HELP SUPPORT PSP.
HERE ARE SOME OF THE NUMBERS IN TERMS PERMIAN BASIN, WHAT IT MEANS TO STATE OF TEXAS AND UNITED STATES. SEE WHAT IT DOES FOR GDP, $181 BILLION. 71% OF THE SECTOR COMES FROM GDP FROM THE PERMIAN BASIN. 643,000 JOBS JUST IN TEXAS. THERE ARE ANOTHER COUPLE HUNDRED THOUSAND JOBS OUTSIDE OF THE STATE OF TEXAS, INDIVIDUALS THAT WORK ON THE PERMIAN BASIN. MAYBE IT'S A COMPANY IN OKLAHOMA CITY. MAYBE DENVER COLORADO, OR EVEN NEW YORK.
BUT THESE ARE PEOPLE THAT ARE FOCUSED ON THE WORK GOING ON IN THE PERMIAN BASIN.
I WANT TO STOP ON THIS NEXT SLIDE. AND I WAS SENT A COPY OF THE ARTICLE, IN THE "SAN ANTONIO LIGHT." IT WAS PROBABLY ON THE FRONT PAGE, I'M NOT SURE. BUT THE THEME OF IT IS, PERMIAN BASIN TAPPED OUT. AND MAYBE THEY'D COME DOWN ON IT A LITTLE BIT.
PEOPLE SAYING PRICES HAVE SLOWED DOWN. BUT ANYBODY THAT THINKS THAT THE PERMIAN BASIN IS ABOUT TAPPED OUT I BELIEVE IS PROBABLY WATCHING TOO MUCH OF "LANDMAN." THEY REALLY DON'T KNOW WHAT'S GOING ON OUT THERE.
AND TO JUST GIVE YOU SOME EXAMPLES AND SOME THOUGHTS ABOUT THAT, WITH THE TECHNOLOGY WE HAVE TODAY, WE'VE RECOVER -- I'VE ALREADY SAID, THE BEST ROCKS IN THE WORLD. I MEAN, YOU
[00:35:01]
TALK TO THE GEOLOGISTS, THERE ARE WORKING ROCKS AROUND, THE EXXONS, THE CHEVRONS, THEY'RE WORKING ROCKS AROUND THE BEST ROCKS IN THE WORLD. EVEN WITH THE ROCKS WE HAVE, WITH THE -LA RECOVERING 8% OF THE OIL THAT'S IN PLACE. SO, YOU'VE GOT ANOTHER 92% TO GO OVER WITH INNOVATION AND TECHNOLOGY. AND THERE AREN'T TOO MANY -- I DON'T WANT TO SAY DAYS, I'LL SAY WEEKS THERE AREN'T TOO MANY WEEKS THAT GO BY THAT I DON'T HEAR ABOUT SOMETHING NEW. SOMETHING NEW TECH NEW, SOME NEW FORMATION FOUND. SOME NEW TECHNOLOGY THAT'S BEING APPLIED TO CONTINUE TO IMPROVE THE RECOVERY OF THESE WELLS. I KNOW RICE BED HAS DONE DATA ON THE NUMBER OF DATA OUT THERE. THIS IS TODAY'S TECHNOLOGY, NOT NEW. $50 A BARREL, 66,000 LOCATIONS, AT $70 A BARREL. THERE'S 104,000 LOCATIONS. AT $100 A BARREL, THERE'S 127,000 LOCATIONS.YOU LOOK AT EXXON, KNOWS SOMETHING ABOUT THE GLOBAL ENERGY PICTURE. MORE THAN 40% OF EXXON'S WORLDWIDE PRODUCTION COMES OUT OF THE PERMIAN BASIN.
EXXON IS, AS YOU KNOW, SAY LONG-TERM PLANNER, A LONG-TERM THINKER.
THEY BELIEVE IN IT LONG TERM. IF YOU LOOK AT EXXON'S RURAL ENERGY REPORT, OUT TO 2050, THEY WILL TELL YOU THAT OIL DEMAND IN THE WORLD WILL CONTINUE TO GROW WENT NOW AND THEN. WHY IS THAT? IT'S BECAUSE THE GLOBAL POPULATION GOING FROM 8 BILLION FROM 2 BILLION.
PEOPLE LIVING IN THE DARK WANT LIGHT. THEY WANT REHAB.
THEY WILL TELL YOU THAT THE FASTEST GROWING INDUSTRY IN THE WORLD IS ELECTRICITY. YOU KNOW, LIGHTS, MORE THAN NATURAL GAS, IN PARTICULAR, ARE GOING TO BE REQUIRED TO CONTINUE TO IMPROVE THE ELECTRICITY SUPPLY. NOT ONLY IN AMERICA. WE ALL KNOW WHAT'S GOING ON HERE. BUT THAT HAPPENS AROUND THE WORLD. YOU LOOK AT A GLOBAL MAP, YOU CAN JUST SEE THE NUMBER OF PEOPLE IN THE WORLD THAT ARE LIVING IN THE DARK. AND THEY WANT TO COME TO THE LIGHT.
SO WHEN YOU LOOK AT REALISTIC, KIND OF THOUGHTFUL REASONED FORECAST, YOU GOT TO SAY OIL DEMAND CONTINUING TO GROW OUT TO 2025. THE PERMIAN DRILLING, IF YOU'RE DRILLING ANYWHERE IN THE WORLD, IT'S THE PERMIAN BASIN. IT'S LOWEST CO2 CONTENT ONSHORE IN THE WORLD, WHEN YOU THINK ABOUT THAT.
SO, IT'S THE PLACE WHERE THEY WANT TO BE DRILLING. AND I JUST CAN'T PUT ENOUGH EMPHASIS ON THAT. WHAT I LIKE TO CALL IT IS THE LARGEST SUPPLY ENERGY IN THE WORLD. WHEN YOU LOOK AT OTHER BIG FIELDS, WELL, NOT ALL OF THEM ARE NECESSARILY OUR FRIENDS.
IF YOU LOOK AT KIND OF THE SUPPLIERS OF THE WORLD, RUSSIA WOULD BE AT THE TOP. THEN YOU'D HAVE SAUDI ARABIA AND THEN WE'D HAVE THE PERMIAN BASIN. YOU'D HAVE THE UNITED STATES AT THE TOP, IF YOU WERE CONSIDERING ALL OF UNITED STATES.
THE PERMIAN IS ABOUT HALF OF THE PRODUCTION IN THE UNITED STATES, IS WHAT IT IS. SO, YOU JUST -- WHEN YOU STEP BACK FROM IT AND LOOK, AND THINK ABOUT, YOU KNOW, THIS IS THE LARGEST SECURE SUPPLY OF ENERGY IN THE WORLD, AND THERE IS TREMENDOUS AMOUNT LEFT TO BE DEVELOPED, IT GETS YOU TO FORECAST, IN TERMS OF DEMAND FOR WORKERS, THAT WE SAY, WOW, I MEAN, WE HAVE TO BRING IN A LOT MORE WORKERS INTO THIS AREA.
THE FORECASTING WE'RE DOING, WE SAY WE'RE ABOUT 20/40, WE'VE GOT TO BRING IN ANOTHER 185,000 WORKERS. WELL, THAT'S JUST WORKERS, WHAT ABOUT FAMILIES? WHAT ABOUT -- YOU KNOW. IT'S NOT BRINGING IN 185,000, IT'S BRINGING IN, WHATEVER, ANOTHER 104,000 INTO THE AREA. AGAIN, PUTTING REALLY -- I WOULDN'T SAY PRESSURE ON US -- BUT JUST CHALLENGING US TO MAKE SURE THE WORKERS THAT COME IN ARE GOING TO HAVE HIGH-QUALITY HEALTH CARE AND HIGH QUALITY SAFE ROADS.
SO THE CHALLENGES ARE BIG. BUT WE'RE MAKING BIG HEADWAY.
[00:40:01]
WHAT WE'VE BEEN ABLE TO DO, TRANSPORTATION-WISE IS JUST SPECTACULAR. I MEAN, THESE NUMBERS, WE PUT THEM IN OUR ANNUAL REPORT. WE TALK ABOUT THEM A LOT. $184 MILLION THAT WE HAVE INVESTED OURSELVES, THROUGH OTHER COLLABORATIVE INVESTMENTS.AND A BIG PART OF THAT NUMBER IS YOU. A VERY LARGE PART OF THAT NUMBER IS YOU. AND I THANK YOU FOR THAT. BECAUSE YOU ARE, YOU KNOW, YOU'RE OUR KIND OF EXHIBIT 1 WHEN IT COMES TO PUBLIC/PRIVATE PARTNERSHIPS.
AND THAT'S WHAT WE'RE SO PROUD OF. AND IT STARTED RIGHT HERE.
IT STARTED WITH THE CHAIRMAN, LOOKING AT WHAT WE HAVE OUT THERE. AND HE SAW THE POTENTIAL OF IT, HE SAW THE IMPORTANCE OF IT TO THE STATE AND THE COUNTRY. AND HE REFERRED TO IT AS THE PERMIAN PROMISE. I REMEMBER EXACTLY WHERE WE WERE SITTING. WHAT RESTAURANT WE WERE IN, WHEN HE SAID THAT.
AND THAT HAS STUCK TO THIS DAY. BUT HE SAW IT. IT WAS THEN AND TALKED ABOUT THE IMPORTANCE OF IT, AND SO IT'S ALLOWED US NOT ONLY TO JUST PUT OUT WHAT WILL WE'VE BEEN ABLE TO DO IN TERMS OF PUBLIC/PRIVATE PARTNERSHIPS BUT ENCOURAGED EVEN MORE. SO IT'S HELPED US IN THIS MIND-SET.
WE BROUGHT THE BEHAVORIAL HEALTH CENTER TO WHAT WE CALL THE BEACON SITE WHICH IS A SITE IN MIDLAND THAT'S GOING TO SERVE HEALTH CARE ALL ACROSS WEST TEXAS AND THE PERMIAN BASIN.
BUT IT WAS A $250 MILLION PROJECT. THE STATE TOOK CARE OF HALF OF IT. PSP AND OTHERS TOOK CARE OF THE OTHER HALF, 125 AND 125.
SO, THAT'S WHAT WE'LL CONTINUE TO DO. WE'LL CONTINUE TO FIND PROJECTS THAT WE CAN ALL JOIN TOGETHER BOTH -- YOU KNOW, COMPANIES ARE JOINING TOGETHER AND PROVIDING A LOT OF CAPITAL.
BUT WE WANT TO FIND OTHER PARTNERS.
AND I'M PROUD TO SAY, WE HAVE FOUND A LOT ALREADY. BUT I WILL SAY THERE'S A LOT MORE ON THE HORIZON THAT WILL BE JOINING US. I ABSOLUTELY BELIEVE THAT.
ROAD SAFETY, YOU SEE THE NUMBERS. ROAD SAFETY, WE'VE COMMITTED $1.3 MILLION. THERE'S NOTHING MORE IMPORTNT THAN THIS RIGHT HERE. I MEAN, THAT'S WHERE WE START EVERY MEETING TALKING ABOUT SAFETY. YOU STARTED THIS MEETING TALKING ABOUT SAFETY. IT'S GOT TO BE A CULTURE, IT'S GOT TO BE A MIND-SET. PEOPLE THINK ABOUT IT ALL THE TIME. YOU GOT TO TALK ABOUT ENERGY WHERE YOU CAN. YO WHEN THERE'S A NEAR MISS, YOU GOT TO HAVE YOUR COMPANY REPORTING A NEAR MISS TO MAKE SURE IT DOESN'T HAPPEN THE NEXT TIME. BUT WE'VE BEEN LASER FOCUSED ON IT, WE'RE IN A HIGHWAY-RISK COMPANY. I DON'T CARE WHAT YOU SAY.
I MEAN WITH DRILLING RIGS AND REFINERIES AND COMPRESSION, TRUCKS ON THE HIGHWAY, ALL OVER THE PLACE, 24/7, THERE'S A LOT OF RISK OUT THERE.
SO, YOU DO EVERYTHING YOU CAN TO MITIGATE THE RISK. AND THEN YOU DO EVERYTHING YOU CAN TO -- WHEN YOU HAVE A CRASH, YOU WANT TO DO EVERYTHING YOU CAN TO GET TO THOSE PEOPLE THAT ARE IN THAT, AS FAST AS YOU POSSIBLY CAN. AND GET THEM TO WHERE THEY NEED TO BE. AS FAST AS YOU CAN.
SO, YOU'RE DOING YOUR WORK ON THE ROAD SAFETY SIDE. WE'RE WORKING WITH YOU ON SOME COOPERATIVE PROGRAMS. WE'VE CHECKED IN ON YOUR TXDOT HIGHWAY SAFETY PROGRAM, WE'RE REALLY PROUD OF THAT.
WE NOW HAVE FIRST RESPONDER TRAINING. WE ARE VERY FOCUSED ON COORDINATING THE E & S FACILITIES ALL ACROSS THE PERMIAN BASIN. SO THEY'RE TALKING WITH EACH OTHER, THEY'RE COMMUNICATING WITH EACH OTHER, SO WHEN SOMETHING HAPPENS IN ONE PLACE, YOU CAN GET SOMEBODY CLOSEST TO THEM AS QUICKLY AS YOU CAN.
RIGHT NOW, THEY'RE KIND OF OUT THERE IN SILOS AND EVERYBODY NOT KNOWING WHAT EACH OTHER IS DOING. SO WE'RE WORKING RIGHT NOW JUST ON THE TRAINING SIDE, IN A BIG EFFORT UNDER WAY TO TURN IT INTO A BASINWIDE, FIRST RESPONDER PROGRAM, WHERE WHEN THERE'S AN ACCIDENT, WHEN THERE'S A CRASH, WE CAN GET THERE, ON THE SPOT, IN A HURRY,
[00:45:04]
AND WE CAN GET WHOEVER MAY NEED TRANSPORTED SOME PLACE ELSE, WE CAN MAKE THAT HAPPEN.AND THE BEST IS WE JUST ANNOUNCED THIS ABOUT A MONTH AGO, AND THANK YOU Y'ALL, AND WE'RE CERTAINLY PROUD TO BE PART OF THAT, I THINK WE'VE GOT THREE TRUCKS -- THAT RIGHT --
>> FOUR TRUCKS, OKAY. I WAS WRONG. SO, CHAIRMAN, THAT'S KIND OF IT. I JUST CAN'T THANK THIS GROUP ENOUGH, BECAUSE I REALLY DO -- I MEAN, YOU LAUNCHED THIS. YOU SAID, BEFORE, MANY TIMES WE TALKED ABOUT IT BEFORE, WE WENT TO SEE THE GOVERNOR. THE FIRST THING, WAS TALK TO BRUCE BUGG. THAT'S EXACTLY WHAT WE DID. AND WE GOT, YOU KNOW, REALLY STRONG COMMITMENT FROM YOU, CHAIRMAN.
I MEAN, ALL I GOT TO SAY, YOU AND THE COMMISSIONERS DELIVERED ON IT TIMES TEN. AS WE'VE GONE ALONG, YOU'VE CONTINUED TO COMMIT, AND YOU SEE THE GOOD WORK THAT YOU'RE DOING, OBVIOUSLY, THERE'S MORE WE'VE GOT TO CONTINUE TO DO AS IT GROWS. AND I HAVE JUST A GREAT APPRECIATION FOR YOUR LEADERSHIP, THE COMMITMENT THAT THE STATE OF TEXAS MADE OUT THERE, THE GOVERNOR'S COMMITMENT TO IT. I TALKED TO HIM THE OTHER DAY, HE WAS PROUD OF WHAT WE'RE DOING OUT THERE. HE SAID, YOU TOLD ME WE GOT TO GO OUT THERE, WE GOT TO BUILD CITIES OUT THERE. THAT'S WHAT WE'RE TRYING TO DO.
AND YOU'RE PROVIDING THE SAFE ROADS AND HIGHWAYS TO CONNECT THE CITIES THAT WE'RE BUILDING. SO, THANK YOU VERY MUCH, MR. CHAIRMAN. I CONCLUDE MY REMARKS AND I APPRECIATE THE OPPORTUNITY TO BE HERE.
>> MARC WILLIAMS: SECRETARY EVANS, THANK YOU FOR YOUR TIME WE ALL OWE YOU A DEBT OF GRATITUDE FOR YOUR LEADERSHIP, I REMEMBER THE CALL RIGHT AFTER YOU MET WITH GOVERNOR ABBOTT, THIS IS PROBABLY ABOUT 2015, WHEN PERMIAN PARTNERSHIP WAS JUST A CONCEPT. BUT YOU WERE ABLE TO BASICALLY ARTICULATE WHAT THE CONCEPT COULD TURN INTO UNTIL REALITY, AND YOU HAVE DONE THAT THROUGH YOUR LEADERSHIP SKILLS AND TAKEN A STRATEGIC PLAN AND IMPLEMENTED IT. AND WHAT WE SAW, YOU KNOW, 10X, WE LOOK FOR OUR PARTNERS THAT WE HAVE. THAT IS VERY IMPORTANT TO TEXANS, WORKING IN A PARTNERSHIP. AND YOU TOOK 183 MILLION AND YOU TURNED IT INTO ABOUT 1.8 BILLION OF JUST DIFFERENT PROGRAMS THAT ARE THERE. BUT WHEN GOVERNOR ABBOTT CAME IN, WANTED ME TO GET INVOLVED WITH YOU AND HAVE THIS THING STOOD UP, I DON'T THINK THE GOVERNOR NOR I COULD IMAGINE WHAT IT HAS TURNED INTO.
AND THE PERMIAN PROMISE HAS DEFINITELY KEPT ITS PROMISE UNDER YOUR LEADERSHIP. SO, YOU HAVE PULLED THIS GROUP TOGETHER.
YOU HAVE SKIN IN THE GAME BY CONTRIBUTIONS OF YOUR MEMBERS.
WE HAVE SKIN IN THE GAME, BECAUSE WE KNOW THAT'S VERY IMPORTANT, NOT ONLY TO SAFETY AND THE PERMIAN BASIN, BUT ALSO WHAT YOU JUST ARTICULATED ABOUT ABOUT IT'S -- I MEAN, IT'S OUR SOURCE OF OIL WITHOUT HAVING TO DEAL WITH ANY KIND OF COUNTRIES THAT MIGHT NOT BE OUR FRIENDS SOME DAY. SO, WHAT YOU HAVE DONE, NOT ONLY FOR TEXAS, BUT REALLY FOR OUR NATION IS NOTHING SHORT OF REMARKABLE. SO THANK YOU FOR YOUR LEADERSHIP.
>> BRUCE BUGG: AND YOUR EFFORT AND ENERGY. WE'RE PROUD TO BE A PARTNER TO THIS. I'LL TURN IT TO THE OTHER COMMISSIONERS.
>> I'D JUST LIKE TO EMPHASIZE WHAT THE CHAIRMAN SAID THERE.
SECRETARY EVENT, IT NOT ONLY REQUIRES THE LEADERSHIP AND TRUST YOU THROB BESIDE. WE APPRECIATE THAT. IT'S GREAT LEADERSHIP, NOT ONLY FOR THE PERMIAN BASIN BUT TEXAS AND THE COUNTRY. THANK YOU.
>> MINE IS A LITTLE MORE IN THE WEEDS I THINK YOU KNOW THIS BETTER THAN I KNOW IT.
INSPECTOR, FOR A LONG TIME LOOKED AT AN INDICATOR OF WHAT WAS GOING ON. THAT'S NOT THE CASE. THESE FOLKS THAT RISE FROM SOMEWHERE ELSE AND DON'T KNOW THE OIL FIELD AND ARE
[00:50:01]
WORKING FROM THE BAKERSFIELD COUNT, HAVE SEEN SOME TECHNOLOGY AND DON'T KNOW THE TECHNOLOGY DOES A LOT MORE THAN A RIG USED TO DO.>> YEAH, COMMISSIONER, THAT'S A VERY GOOD POINT. YOU'RE 100% RIGHT. AND ONE OF THE REASONS IS, BECAUSE WHEN THIS ALL REALLY FIRST STARTED, THEY HAD HORIZONTALLY DRILLED A WELL FOR A WHILE. AND THEN THEY CAME BACK IN AND FRACKED IT AND PRODUCED IT. THEN THEY WENT TO TWO MILES. SO THE SAME RIG NOW THEY DRILL TWO MILES AND NOT ONE MILE.
THEN, ALL OF A SUDDEN, YOU'RE DRILLING THREE MILES.
AND SAME WAY -- IT'S NOW EXPOSING NOW THREE MILES OF FORMATION, AND NOT ONE MILE THEY WERE DOING ALL ALONG. AND NOW, THEY'RE ACTUALLY DRILLING WHAT THEY CALL HORSESHOES. THAT'S THEY GO OUT AND A MILE AND A HALF OR TWO, AND THEY'LL TURN IT AND COME BACK ANOTHER MILE OR TWO. SO IT'S JUST THE TECHNOLOGY AND THE CHANGE THAT YOU'RE 100% ON. I KEEP TELLING PEOPLE THE SAME. STOP PAYING TO RECOUNT. YOU REALLY NEED THE DRILLING AND THAT'S A GOOD POINT.
>> I THINK IT SUPPORTS WHAT YOU'RE SAYING HOW IMPORTANT THIS WILL BE FOR THE FUTURE. THE NUMBER OF LAYERS IN ROCK OF PERMIAN BASIN.
>> COMPARED TO OTHERS. IT'S JUST A CONSTANT EDUCATION AND CONSTANT WORK OF COMMUNICATION TO KEEP FOLKS FROM THINKS IT'S TAPPED OUT. IT WAS BROUGHT UP EARLIER AND BROUGHT UP THE ARTICLE, THOSE ARE THINGS THAT POPPED INTO MY HEAD, THERE'S JUST A LOT MORE RESOURCE THERE.
>> AN IMPORTANT FACTOR I SAID EARLIER, WE'RE ONLY RECOVERING 8% OF THE OIL IN PLACE. THAT'S SAYING -- NOT THAT WE'VE ONLY RECOVERED 8%. IT'S SAYING ALL OF THE WELLS THAT ARE DRILLING AND PRODUCING RIGHT NOW, THEY'VE RUN THEIR PRODUCTION OUT TO THE END. THEY WOULD HAVE RECOVERED 8% OF THE OIL DOWN THERE.
SO, THERE'S EVEN A LOT MORE THAN JUST 92% OF IT TO GO AFTER.
ONE OTHER THING I WANT TO BRING UP, I JUST WANT TO SAY, WE'VE BEEN WORKING REAL HARD ON THE PROJECT THAT'S LASER-FOCUSED ON HEALTH CARE, THAT WE THINK WILL TRANSFORM HEALTH CARE ACROSS THE PERMIAN BASIN. AND WE'VE BEEN WORKING ON THIS FOR ABOUT FIVE YEARS.
WE HAD TO PUT THE LAND TOGETHER, AND IT IS WHERE THE PERMIAN BASIN BEHAVORIAL HEALTH CENTER IS THAT I MENTIONED. WE DID ESTABLISH WHAT'S CALLED THE PERMIAN BASIN MEDICAL CENTER WHICH IS PATTERNED AFTER THE TEXAS MEDICAL CENTER. WE JUST FINISHED PUTTING THE ACREAGE TOGETHER OF 700 ACRES. UBTB IS ON THE SITE. WE WENT TO YOU, MAN, YOU GOT RIGHT ON IT. I DROVE THROUGH THERE THE OTHER DAY, SMOOTH AS SILK. WOULD I HAVE DRIVEN THROUGH THERE SIX MONTHS AGO? NO.
SO, YOU GOT RIGHT ON IT, AND THE IMPORTANT PART OF IT WE'RE WORKING REAL HARD TO LAND MB ANDERSON OUT THERE. I THINK WE'VE GOT A REAL SHOT AT IT.
MAYBE EVEN TEXAS -- WHEN I THINK OF WHAT THAT CAN DO FOR THE CITIZENS OUT THERE.
YOU BRING THE NUMBER ONE CANCER CENTER IN THE WORLD OUT THERE, THAT'S A BIG DEAL. BUT THEY NEED TO SEE, AND EVERYBODY INTO THIS PROJECT. I'VE BEEN WATCHING WHAT YOU DID OUT THERE -- I'M TALKING ABOUT AT THAT SPECIFIC SITE, NOT JUST ACROSS THE PERMIAN, AT THAT SPECIFIC SITE. NOW, WE ASK YOU TO CLEAN THAT INTERSECTION UP.
AND YOU DID IT BEFORE I KNEW IT, SO THANK YOU FOR THAT.
BECAUSE I THINK IT WAS A VERY IMPORTANT PART OF THE STORY, TURNING THAT, WHAT WE CALLED A BEACON, INTO A PROJECT THAT PEOPLE ARE SAYING, WOW, -L OUT THERE.
>> BRUCE BUGG: I THINK WITH YOUR WORDS TODAY, WITH THIS TAPPED OUT CONCEPT, IN A CATEGORY OF MARK TWAIN, HE SAID THE NEWS ABOUT MY DEATH IS GREATLY EXAGGERATED.
SO, I THINK WE'RE BACK ON TRACK. AND AS WE MARCH FORWARD TO ADOPTING THE UTP, WE APPRECIATE YOU TAKING THE TIME TODAY TO HELP US UNDERSTAND WHAT THE FUTURE OF THE PERMIAN PROMISE LOOKS LIKE. AND IT -LO
[00:55:03]
>> THANK YOU, CHAIRMAN. I APPRECIATE IT VERY MUCH.
>> MARC WILLIAMS: MR. CHAIRMAN, I WANT TO JUST ADD TO IT, BUT WAIT, THERE'S MORE.
JESSICA BUTLER IS GOING TO CONCLUDE THE DISCUSSION HERE ON THE PERMIAN WORK. AND JUST HAVE A FEW SLIDES HERE.
AS SECRETARY EVANS TALKED ABOUT, THE EFFORTS THAT WE'VE BEEN MAKING, WITH IMPROVING ROADS AND MAKING INVESTMENTS IN THE HIGHWAYS OUT THERE. JESSICA WAS GOING TO COVER THAT FOR THE REMAINING SLIDES HERE.
>> YES, THANK YOU, MARC. I JUST WANT TO THANK SECRETARY EVANS AGAIN FOR BEING HERE AND THE PARTNERSHIP, I GOT TO BE A PART OF THE ANNOUNCEMENT IN LATE MARCH. I GOT TO TOUR A SITE.
IT WAS EDUCATIONAL TO ME BUT MOVING TO SEE HOW COMMITTED THE REGION IS FOR SAFETY AND BRINGING PROJECTS LIKE THAT TO THE REGION, THANK YOU. SO THIS SLIDE HERE SHOWS PRODUCTION NUMBERS ACROSS DIFFERENT ENERGY TYPES WITH THE PERCENT YOU SEE THERE AT THE BOTTOM, REFLECTING THE PERCENT RELATIVE TO THAT TO THE UNITED STATES. TEXAS HAS PLAYED A PIVOTAL ROLE IN THE PRODUCTION OF NATURAL GAS AND OIL PRODUCTION AS YOU JUST HEARD ABOUT. IN 2024, TEXAS AS A LEADING PRODUCER OF OIL AND NATURAL GAS ACCOUNTING FOR OVER 43% OF THE CRUDE OIL PRODUCED AND 28% OF DRY NATURAL GAS PRODUCED IN THE U.S. TEXAS LEADS THE NATION IN ELECTRICITY GENERATION. AND TEXAS IS AT THE FOREFRONT OF PRODUCING ALTERNATIVE ENERGIES IN THE QUARTER FOREVER 2024, FOR THE VERY FIRST TIME, TEXAS BECAME THE NATION'S HIGHEST GENERATOR OF SOLO ELECTRICITY OVERTAKING COLORADO FOR THE NUMBER ONE SPOT. TEXAS LED BY THE PERMIAN BASIN RANKS NUMBER ONE IN THE WIND GENERATION NATION. 124 MEGAWATT HOURS IN 2024, WHICH IS NEARLY THREE TIMES MORE THAN THAT OF THE SECOND HIGHEST STATE.
TEXAS EXPORTS MORE CRUDE OIL AND PETROLEUM OIL THAN IT IMPORTS AS A RESULT OF TEXAS IMPORTS SEE GREATER EXPORT TONNAGE. THE PORT OF CORPUS CHRISTI ACCOUNTING FOR 21% OF TONNAGE. PORT HOUSTON FOLLOWS CORPUS CHRISTI IN TERMS OF EXPORT PORT VOLUME OF 30%. PORT ARTHUR BECAME TEXAS' LEADING PORT FOR CRUDE OIL. IMPORTING 16 MILLION TONS THIS, HOWEVER, FOLLOWS SIGNIFICANT IMPORT SINCE 2015, AS YOU SEE ON THE GRAPH.
AS OIL PRODUCTION AND EX PORTS IN TEXAS HAVE CONTINUED TO INCREASE CREATING A MUCH LOWER DEMAND FOR IMPORTED FOREIGN OIL.
SO TOUCHING ON SAFETY, THIS PHOTOGRAPH HERE SHOWS THE FATALITIES IN THE ENERGY SECTOR COUNTIES OVER TIME. YOU CAN SEE VERY SIMILAR TO THE STATEWIDE TREND IN FATALITIES IN OTHER GRAPHS WE PRESENT A SLIGHT INCREASE IN 2021, DURING THE PANDEMIC, WE'VE BEEN WORKING HARD TO BRING THE NUMBERS DOWN.
I'M HAPPY TO SEE A DECLINE OVER THE LAST FEW YEARS. AS A NOTE ON THIS GRAPH, JUST TO EXPLAIN THE TWO COLORS THERE, IT HAS BOTH COMMERCIAL AND NONCOMMERCIAL VEHICLE FATALITIES.
FOCUSING NOW ON COMMERCIAL VEHICLES ONLY, THIS SHOWS THE PRESENT OF TOTAL CRASHES AND FATALITIES COMPARED TO ALL CRASHES AND FATALITIES LOOKS OF THAT ACROSS THE PERMIAN BASIN, ALL ENERGY SECTOR AREAS COMBINED STATEWIDE. YOU'LL SEE THE CRASHES AND FATALITIES ARE STILL HIGHER IN TERMING OF PERCENTAGE IN TERMS OF THE ENTIRE STATE BUT WE ARE WORKING HARD TO BRING THE NUMBERS DOWN AND WE ARE MAKING PROGRESS ON THIS FRONT. AGAIN AS WE HEARD FROM SECRETARY EVANS, THE EFFORT ON REDUCING FATALITIES IS A SHARED MISSION.
SO IT AN AREA THAT'S INVALUABLE.
SHIFTS TO PAVEMENT, THIS REFLECTS PERCENT OF LANE MILES IN GOOD OR BETTER CONDITION IN THE STATE. AS YOU CAN SEE, THIS IS A POSITIVE STORY AND TREND.
THE INSIDEWIDE GOAL IS 90% WHICH WE JUST MET THAT GOAL TOUR STATEWIDE LEVEL FOR THE FIRST TIME. AND MARC SHARED THAT NEWS AT LAST MONTH'S COMMISSION MEETING WHICH IS A GREAT ACCOMPLISHMENT. I WANT TO POINT OUT THAT WE'VE BEEN TRENDING HIGHER IN OUR ENERGY SECTOR COUNTY FOR SEVERAL YEARS NOW.
AGAIN, TRENDING BETTER IN STATEWIDE NUMBERS IN THE REGION.
A LOT OF WORK HAS MADE IN INVESTMENTS.
IN TERMS OF FUNDING, WE'VE SUMMARIZED INFORMATION HERE ON HOW MUCH WEE CURRENTLY HAVE FUNDED OR UNDER DEVELOPMENT WITHIN THE ENERGY SECTOR COUNTIES THAT COMES TO $25.3 BILLION THAT'S UNDER DEVELOPMENT IN THE FIVE ENERGY-PRODUCING REGIONS. THIS INCLUDES ALL FULLY AND PARTIALLY FUNDED PROJECTS IN ALL FOUR CATEGORIES IN THE UTP. LOOKING BACK AT PREVIOUS UTPS OVER TIME, THIS SLIDE SUMMARIZES WHAT WAS UNDER
[01:00:01]
DEVELOPMENT IN UTPS THROUGH 2016 THROUGH 2025. BEING THE LAST BAR THERE. YOU CAN SEE THE UPWARD TREND, THE STATE DOES INCLUDE IN ALL CATEGORIES INCLUDES A CATEGORY LIKE THE ENERGY SECTOR WHICH IS DEDICATED SPECIFICALLY TO ENERGY SECTOR FUNDING AND WOULD INCLUDE ALL TYPES OF PROJECTS WHICH SUPPORT ENERGY PRODUCTION IN TEXAS.SO TO 13SUMMARIZE AGAIN, TODAY'S STORY IS A POSITIVE ONE NOT ONLY TO THE ENERGY SECTOR TO THE STATE AND NATION BUT ALSO TO THE PROGRESS BEING MADE. THE GREAT WORK OF OUR PARTNERS LIKE HEARD TODAY, THE WORK OF OUR DISTRICT AND TEAMS AROUND THE STATE, WE WILL CONTINUE TO MAKE PROGRESS IN STATE WORKERS ADDRESSING SAFETY AND CONGESTION. WITH THAT, CHAIRMAN, I'LL TURN IT BACK TO YOU TO SEE IF YOU HAVE COMMENTS OR QUESTIONS. THANK YOU.
>> BRUCE BUGG: IF YOU COULD GO BACK TO THE SLIDES IF YOU WOULD. IN SLIDE NUMBER 32, PAGE 32, AND COMMISSIONER MEADE, I REMEMBER WHEN WE WERE TALKING ABOUT INCREASING OUR FUNDING TO THE ENERGY SECTOR, WE HAD SOME UNBELIEVABLE STAT STATISTICS AB FATALITIES. ONE THING ABOUT THE SLIDES ON PAGE 32 IS ONE OF SENSITIVITY BECAUSE WE PROBABLY HAVE INCREASED. I'M THINKING PERMIAN RIGHT NOW, WE PROBABLY HAVE INCREASED THE TRUCK TRAFFIC DRAMATICALLY. AND I'D LIKE TO KNOW -- IT'S REALLY THE -- 29, I'M SORRY, I GAVE YOU THE WRONG PAGE.
>> BRUCE BUGG: I'D LIKE TO KNOW HOW IMPACTFUL OUR DOLLARS SPENT FOR SAFETY SINCE FIRST BROUGHT THAT UP. I'D LIKE TO HAVE THE SENSITIVITY ANALYSIS, HOW MANY MOTOR VEHICLES, COMMERCIAL VEHICLES, HAVE INCREASED AND THEN AS A PERCENTAGE HASN'T REALLY GONE DOWN ON THE FATALITIES. THAT'S POINT NUMBER ONE.
THE OTHER THING, AND THESE ARE JUST THINGS I'M ASKING YOU TO COME UP THAT I'D LIKE TO SEE, I THINK WE ALL WOULD, IN CONNECTION WITH THE UTP COMING UP IN AUGUST. ON SLIDE 34.
WHEN YOU HAVE THE AMOUNTS THAT WE HAVE ALLOCATED TO THOSE FIVE DIFFERENT AREAS, I'D LIKE TO KNOW WHAT THE PRODUCTION OUT OF THOSE FIVE AREAS ARE TO JUST TO UNDERSTAND, AS WE'VE GOT SEVEN -- IN THE PERMIAN, WE'VE GOT A BIG SLUG IN HAYESVILLE AND BARNETT. I'D LIKE TO UNDERSTAND HOW IS OUR PRODUCTION STACKED.
YOU THAT'S JUST FOR THE FUTURE.
>> BRUCE BUGG: MAYBE YOU CAN SHARE THAT. FOR THE FELLOW COMMISSIONERS AND DO THAT. I'LL TURN IT BACK OVER TO YOU.
>> MARC WILLIAMS: THANK YOU, JESSICA. JESSICA, BEFORE YOU GO, THERE ARE CERTAIN THINGS THAT I JUST WANT TO GIVE A LITTLE BIT OF KUDOS TO SOME FOLKS, OKAY? FOR ONE, IT IS A CHALLENGING ENVIRONMENT, SO IF THE FOLKS IN THE ENERGY SECTOR CAN IMPROVE THEIR PAVEMENT SCORES IT MEANS THAT THE PEOPLE THAT ARE ON THE TEAMS OUT THERE DO THE RIGHT THINGS.
>> ALVIN NEW: ONE OF THE THINGS WE TALKED ABOUT THE ODESA AREA. AND THE ODESA GROUP. THE GROUP AND ENGINEERS AND MAINTENANCE FOLKS, AND CONSTRUCTION FOLKS, AND EVERYBODY OUT THERE DOING THE WORK THEY'RE DOING, DOING THE PLANNING THAT THEY'RE DOING.
BECAUSE THERE'S A LOT MORE THERE. AND THEY ALSO GET A LOT OF HELP FROM ABILENE, FROM OTHER AREAS, HOUSTON, FOR DEVELOPMENT OF A MILLION DIFFERENT -- A MILLION MIGHT NOT BE RIGHT, BUT MIGHT BE CLOSE, ENGINEERING FIRMS INVOLVED, SOMEBODY CONFIRMING ALL OF THAT, AND JUST GENERAL CONTRACTORS THERE'S A HECK OF A LOT GOING ON OUT THERE. AND ERIC AND THEIR TEAM ARE DOING A SOLID JOB. AND WE'D LIKE TO GIVE THEM A LITTLE KUDOS.
AND AS THE CHAIRMAN TALKED ABOUT THE FATALITIES, WE ARE MAKING PROGRESS. IF YOU LOOK A HEAT MAP THAT WE SEE FOR OUR
[01:05:01]
AREA, THE STATE, YOU CAN SEE WHERE THERE ARE FATALITIES AND GETTING IN LARGER AND THOSE KIND OF THINGS. SO, WE CAN SEE THAT WE ARE MAKING PROGRESS. SO, THESE THINGS ARE KIND OF WORKING TOWARD TO WHERE THEY SHOULD BE.WE JUST HAVE TO GET MORE ON THE ROADS. WE'RE SPENDING 18 MONTHS TO TWO YEARS ON ENVIRONMENTAL.
YOU'VE GOT TO GET THAT OUT OF THERE, YOU PLAN AND BUILDI A PROJECT. IT JUST TAKES TIME. A LOT RIGHT THINGS ARE BEING DONE.
AND THE FINAL COMMENT, BECAUSE OF A SPOUSE HAVING A SURGERY AND THEN THE NEED TO BE THERE TO CARE FOR HER, YOU ARE AUTOMATICALLY THEN THROWN INTO THE ON-DECK CIRCLE AND FINALLY THE STAR AT THE PLATE. AND AN AMAZING ONE DAY -- ON A ONE DAY OF PREPARATION. SHE'S STANDING HERE DOING THIS PRESENTATION ON VERY LITTLE -- AND DOING A HECK OF A JOB. I WAS IN THE HOLE. I WAS GOING TO BE NEXT.
>> ALVIN NEW: ANYWAY, I WANTED TO GIVE YOU KUDOS. THAT WAS A HECK OF A JOB. DOING THE TEAM WORK, HOUSTON, ABILENE AND ODESA, YOU STEPPED UP WHEN YOU NEEDED TO STEP UP. THANK YOU.
>> BRUCE BUGG: I'D BE REMISS IF I DIDN'T MENTION REED CLAY AND -- AND I REMEMBER THE EARLIER DAYS WHEN THE GOVERNOR CALLED ME AND SAID WE SAT IN THAT ROOM RIGHT ALL OF THE GOVERNOR'S OFFICE AND BRAINSTORMED. AND DON, YOU CAME IN AND MET WITH US. AND THEN DEBORAH, YOU'VE BEEN -- YOU'VE BEEN REALLY HELPING, I KNOW, THE SECRETARY, ON BUILDING ALL OF THIS. SO, KUDOS TO ALL THREE OF YOU. BUT LEADERSHIP IS WHAT MATTERS.
AND, DON, WE'RE ALL SO GRATEFUL FOR YOUR LEADERSHIP IN WHAT IS PROWLED WITH PERMIAN STRATEGIC PARTNERSHIP, THANK YOU.
[6. Public Transportation Various Counties]
>> BRUCE BUGG: OKAY. LET'S TURN BACK OVER TO YOU, MARC.
>> MARC WILLIAMS: THANK YOU, CHAIRMAN, WE'RE MOVING NOW TO ITEM 6, CONSIDERATION OF THE AWARD OF FEDERAL AND STATE FUNDS TO MULTIPLE ENTITIES. ERIC IS HERE.
>> ERIC GLEASON: THIS IS $4.5 MILLION IN FEDERAL TRANSIT ADMINISTRATION AND STATE FUNDS TO SUPPORT A VARIETY OF NEEDS IN RURAL AREAS. $4.1 MILLION OF FTA, FEDERAL TRANSIT ADMINISTRATION, SECTION 5304 STATEWIDE. AND NONMETROPOLITAN TRANSPORTATION PLANNING FIRMS ARE RECOMMENDED FOR AWARD OF 20 REGIONAL PLANNING AGENCIES SHOWN IN EXHIBIT "A." THESE FUNDS WILL BE USED FOR COORDINATION PLANS. AND THEN APPROXIMATELY $430,000 IN PREVIOUSLY AWARDED FEDERAL AND STATE FUNDS, FROM A VARIETY OF TRANSIT PROGRAMS, THERE'S RECOMMENDED FOR REALLOCATION FROM THE HILL COUNTRY TRANSIT DISTRICT TO THREE RURAL TRANSIT DISTRICTS.
CAPITAL AREA ALSO THROWN AS C.A.R.T.S. AND CENTRAL AND TRANSIT DISTRICT TO COMPLETE CHANGES IN AREAS FOLLOWING DECISIONS BY FIVE COUNTIES TO SEPARATE FROM THE HILL COUNTRY TRANSIT DISTRICT. AND EXHIBIT "B" DETAILS THOSE WITH ALLOCATION RECOMMENDATIONS.
WITH THAT, WE RECOMMEND THE APPROVAL OF THIS.
>> BRUCE BUGG: THANK YOU, COMMISSIONERS, ARE THERE ANY REMARKS OR QUESTIONS FOR DIRECTOR GLEASON? OKAY. MAY I HAVE AN MOTION. THANK YOU, THANK YOU, COMMISSIONER MEADE.
[7. State Infrastructure Bank Bowie County]
MOTION PASSES, THANK YOU.>> MARC WILLIAMS: MR. CHAIRMAN, NEXT IS ITEM 7 THIS IS AN EXCEPTION FOR THE APPLICATION FOR THE CITY OF TEXARKANA, FINANCE DEBT MANAGER IS HERE PATRICK MAROTTA.
>> PATRICK MAROTTA: WE SHAW THE BANK WITH CURRENTLY $238 MILLION WITH WHICH TO MAKE LOANS IF THE COMMISSION APPROVES T APPLICATION THIS MONTH, THE BALANCE WILL DROP. WE HAVE LOAN
[01:10:04]
LOANS 249 MILLION, THERE ARE NO DEFAULTS TO DATE. ALL BORROWERS ARE CURRENT ON OBLIGATIONS.WITH THAT OVERGOT, ITEM 7 IS THE FINAL APPROVAL FOR THE CITY OF TEXARKANA TO BOROUGH UP TO $1.408 MILLION. THE STAFF RECOMMENDS APPROVAL OF THIS MINUTE ORDER. AND I AM HAPPY TO ANSWER ANY QUESTIONS.
>> BRUCE BUGG: COMMISSIONERS, ARE THERE ANY REMARKS OR QUESTIONS FOR DIRECTOR MAROTTA? IF NOT, I HAVE ONE, I ASK, OUT OF THE 58 OUTSTANDING LOANS FOR THE BALANCE OF $249 MILLION, WHAT ARE BASICALLY THE MATURITY DATES OF THAT 250 MILLION?
>> PATRICK MAROTTA: THAT IS IN A RECORD, I'D SAY WE EXPECT 51 MILLION IN PRINCIPAL TO COME BACK IN FIVE YEARS. TEN YEARS AFTER THAT 130 MILLION. IN THE REMAINING PERIOD, 30 YEARS, ABOUT EVERYONE.
>> BRUCE BUGG: YOU KNOW, ALL OF US ON THE COMMISSION KIND OF WEIGHED IN. I'D LIKE TO KNOW WHAT THE MATURITY DATES ARE.
THE REASON I'M ASKING IS, WE HAVE ABOUT 50% OF OUR CAPACITY THAT'S AVAILABLE AFTER WE TAKE ACTION ON THIS TODAY. BUT THERE'S A PIPELINE THAT'S BUILDING. AND I JUST WANT TO MAKE YOU ALL AWARE, THERE COULD BE A BIG PIPELINE GOING ON SOME LOANS. I THINK WE NEED TO BE COGNIZANT OF WHAT THE MATURITY DATES ARE.
I THINK THAT WOULD BE HELPFUL INFORMATION FOR ALL OF US ON THE COMMISSION, IF YOU WOULD, PLEASE.
>> BRUCE BUGG: HAVING SAID THAT, MAY I HAVE A MOTION TO APPROVE THE APPLICATION FOR THE CONSIDERATION OF A LOW FROM THE SEE OF TEXARKANA. MAY I HAVE A
[8 . Contested Case Travis County]
SECTION? ALL IN FAVOR, SAY AYE.MOTION PASSED UNANIMOUSLY. TURN IT OVER TO THE EXECUTIVE DIRECTOR.
>> MARC WILLIAMS: NEXT IS ITEM "A," THIS IS CONSIDERATION OF CONTESTS IN CITYLYNX.
>> CITYLYNX FOR VIOLATIONS FOR BIDDING ON OR A CONTRACT WITH THE DEPARTMENT FROM PARTICIPATING WITH A SUBCONTRACTOR WITH A CONTRACT WITH THE DEPARTMENT AND PARTICIPATING AS A SUPPLIER OF MATERIAL OR COMMITMENT. THE ETHIC CAL VIOLATIONS TO HAVE A CERTIFIED EMPLOYEE TO RECEIVE TXDOT PROJECTS REQUIRED UNDER THE PROJECT. AND THE COMMISSION OF STATEMENTS REGARDING THE EMPLOYEE'S CERTIFICATION. BASED ON THE ETHICAL VIOLATION, CITYLYNX NOTED IT WAS DEBARRED FOR 30 MONTHS. CITYLYNX APPROVED BEFORE AN INFORMAL HEARING WAS HEALTH. A FINAL VIOLATION WAS ISSUED IN 2007, CITYLYNX CONTESTS THE SANCTION, AND WAS SUBMITTED TO THE STATE OFFICE OF HEARINGS FOR CONTESTED CASE HEARING. THE CONTESTS HEARING WAS HELD BY A JUDGE.
THE ADMINISTRATIVE LAW JUDGE ISSUED A PROPOSAL OR MARCH 5TH, 2025 THAT INCLUDES THE SANCTION TO DEBAR CITYLYNX FOR A PERIOD OF 14 MONTHS. THE COMMISSION RECOMMENDS THE COMMISSION APPROVE THE RECOMMENDED 15-MONTH FOR CITYLYNX, I'M AVAILABLE FOR ANY QUESTIONS YOU MAY HAVE.
>> BRUCE BUGG: COMMISSIONERS, ARE THERE ANY REMARKS OR QUESTIONS FOR SENIOR GENERAL COUNSEL? OKAY. IF NOT, MAY I HAVE A MOTION TO ADOPT THE FINDINGS OF FACT AND CONCLUSIONS OF LAW ISSUED BY THE STATE ADMINISTRATIVE HEARINGS IN ITS PROPOSAL FOR DECISION AND DIRECT THE EXECUTIVE DIRECTOR TO ISSUE A FINAL ORDER IMPOSING SANCTIONS IT OPPOSED FOR STAFF RECOMMENDATIONS. OKAY. ALL UNTIL FAVOR, PLEASE SAY AYE.
[9. Eminent Domain Proceedings Various Counties]
MOTION PASSES UNANIMOUSLY.>> MARC WILLIAMS: AND WE GO TO ITEM NINE.
>> THIS AUTHORIZES THE PARCELS, TXDOT WILL CONTROL 83 OF THE
[01:15:04]
PARSALS. I'LL BE HAPPY TO ANSWER ANY QUESTIONS YOU MAY HAVE.>> BRUCE BUGG: COMMISSIONERS, ANY REMARKS OR QUESTIONS FOR DIRECTOR MADSEN? OKAY. HEARING NONE, COMMISSIONER MEADE, DO YOU HAVE A MOTION TO MAKE?
>> ALEX MEADE: I DO, THAT THE TEXAS DEPARTMENT OF TRANSPORTATION USED A PROPERTY THAT OCCURRED FOR CONSTRUCTION, REDESTRUCTION, MAINTENANCE, WIDENING, STRAIGHTENING OR EXTENDING THE HIGHWAY FACILITY LISTED AS PART OF THE STATE HIGHWAY SYSTEM. AND THE FIRST RECORD VOTE APPLIES TO ALL PROPERTY CONDUCTED.
COMMISSIONER MEADE HAS MADE AUTHORIZED CONDEMNATION, MAY HAVE A SECOND? THANK YOU, ALL IN
[10. Routine Minute Orders and Reports]
FAVOR, PLEASE SAY AYE. OPPOSED? NOTION PASSES NAN MISCELLANEOUSLY.>> STAFF RECOMMENDED APPROVE OF THE MINUTE ORDERS INCLUDED IN THESE ROUTINE AGENDA ITEMS. CHAIRMAN, WITH YOUR PERMISSION, I'D LIKE TO DEFER ITEM 103 B OF SALE OF RIGHT AWAY IN HILL COUNTY, SO THE COMMISSION CAN PICK THAT UP AT A LATER MEETINGS. ITEMS CONTAINING REPORTS TO THE COMMISSION ARE INCLUDED FOR INFORMATIONAL PURPOSES. AND DO NOT INVOLVE OR REQUIRE ACTION BY THE COMMISSION.
>> BRUCE BUGG: THANK YOU, DIRECTOR WILLIAMS. AND WE'LL GO WITH YOUR REQUEST TO DEFER THAT.
COMMISSIONERS, ARE THERE ANY QUESTIONS CONCERNING THE ROUTINE MINUTE ORDERS? IF NOT, DO WE HAVE ANY COMMENTS? NO. I HAVE A MOTION TO APPROVE THE ROUTINE OF DIRECTOR WILLIAMS? THANK YOU, COMMISSIONER MEADE. MAY I HAVE A SECOND. ALL UNTIL FIRST,
[11. Executive Session]
PLEASE SAY AYE. MOTION PASSES UNANIMOUSLY. WE WILL NOT MEET[OPEN COMMENT PERIOD]
IN EXECUTIVE SESSION. ALL OF THE ITEMS ARE COMPLETED.WE DO HAVE TWO FOLKS, SO, AT THIS TIME, I'D LIKE TO CHARLES RENO, COME FORWARD AND STATE YOUR NAME FOR THE RECORD. AND THE ORGANIZATION YOU REPRESENT.
>> COMMISSIONERS, CHARLES LENO, FROM THE CITY.
COMING TO REAFFIRM AND TALK ABOUT THE ITEMS THAT WE KNOW ARE UNDER CONSIDERATION FROM YOU ALL, INCLUDING THE EASTERN RELIEVER ROUTE. THE WIDENING OF THE 285 HIGHWAY, AS WELL AS THE TEXAS STRAIGHT -- OR THE FREIGHT VILLAGE THAT WE'VE BEEN DISCUSSING WITH THE FREIGHT ADVISORY COMMITTEE. WE CONCUR WITH A LOT OF THE STUFF THAT THE SECRETARY TALKED ABOUT. WE ARE A MECHANIC OF THE PERMIAN STRATEGIC PARTNERSHIP AND CONTINUE TO DO THINGS.
I'LL GO AHEAD AND TAKE SOME OF THAT AND SAY THAT REECE COUNTY HAS MORE GAS PRODUCTION THAT ANY OTHER COUNTY. WE SEND A LOT OF MONEY BACK TO THE STATE. SO WE'RE ADVOCATING THE LEGISLATURE TO TRY TO GET IT ATTACHED TO SO WE CAN DO SOME OF THIS ROAD WORK AND INFRASTRUCTURE WORK BACK THERE IN THE PARTNERSHIP. REESE COUNTY IS WILLING TO WORK WITH PECOS AND THE CITY AND TXDOT AND ADVOCATE FOR THAT AREA. IT'S GETTING CRAZIER OUT THERE. ONLY GOING TO GET CRAZIER. WE HAD A GREAT MEETING WITH THE COMMISSIONER MEADE, AND HE UNDERSTANDS WELL.
I JUST CAME TO ADVOCATE FOR OUR COMMUNITY AND LET YOU KNOW IT'S CRAZY OUT THERE, BUT WE'RE HAPPILY TO DO WHAT WE DO. THANK YOU.
>> BRUCE BUGG: AT THIS TIME, I'D LIKE TO INVITE MA ERNIE GONZALEZ.
>> GOOD MORNING, I'VE BECOME A REGULAR FACE HERE AND I ARE CONTINUE TO REPRESENT MY CLIENTS, REPRESENTING PECOS AND PECOS ECONOMIC CORPORATION. I WANT TO RECOGNIZE THE HARD WORK THAT THEY'RE DOING. FOLLOWING THE CHAIN OF COMMAND, AREA ENGINEER, DISTRICT ENGINEER AND OUR STATE ENGINEER. WE JUST HEARD RECENTLY THAT THERE'S GOING TO BE A CHANGE OF ARE COMMAND, A CHANGE OF GUARD, IN THE ENGINEERING STATEWIDE. I KNOW HE'S EARNED A GOOD RETIREMENT. I'M SURE HE'LL BE A FAMILIAR FACE HERE AGAIN. WE
[01:20:02]
HOPE.MY TEAM WORKS WITH ERIC LIKENS OVER IN WEST TEXAS AND MIDLAND DISTRICT. I'VE HAD A CHANCE TO WORK WITH OTHERS CHARLES BENOVITOS. I'VE WORKED CLOSELY WITH HIM, HE'S TELLING ME WHAT HE DOES WITH HIS STAFF, HE GOES ON NIGHT DRIVES. THAT'S QUITE A COMMITMENT WHEN YOU GET AN ENGINEER SOMETIMES BEHIND THE DESK, IN THE FIELD, THAT MAKES A GREAT IMPRESSION WITH CITY OFFICIALS AND COUNTY OFFICIALS THAT HE REPRESENTS AND SERVES.
REESE ARE REESE COUNTY, TONY GONZALEZ WAS SPEAKING FROM THE TRANSPORTATION COMMITTEE HEARING IN WASHINGTON, D.C. HE GAVE A BIG SHOUTOUT FOR REESE COUNTY.
HE TALKED ABOUT THE SAFETY AND SUPPORT FOR STRUCTURE AND INDUSTRIAL AND ENERGY SECTOR.
AND WE'RE VERY PLEASED HE'S TAKING IT TO ANOTHER LET ME SO THE FEDERAL GOVERNMENT CAN PRODUCE THOSE RESOURCES. HAD A GREAT MEETING THAT CHARLES MENTIONED WITH COMMISSIONER NEW.
WE KNOW THAT YOU'RE WELL AWARE OF THE THREE MAJOR PROJECTS WE'VE GOT GOING ON. AND ON THE LEGISLATIVE OUTREACH ACROSS THE STREET, THERE'S BEEN A LOT OF PROGRESS THANKS TO FORMER SPEAKER CRADDOCK, AND THE STATE REPRESENTATIVE, THEY'VE BEEN DOING THEIR BEST TO CREATE AWARENESS AND ALLOCATE FUNDING THROUGH HOUSE AND SENATE APPROPRIATIONS. SO THERE'S TALK AND ACTION, HOPEFULLY, BEING DONE ON THE TRANSPORTATION INFRASTRUCTURE PROJECT, THE TEXAS GROWTH FUND, HB 188, HB 265, AND SENATE BILL 1, IN THE APPROPRIATIONS COMMITTEE, THAT HOPEFULLY WILL ADDRESS SOME OF THE NEEDS. WE HOPE THE LEGISLATORS WILL DO THE RIGHT THING. WE THANK YOU AND THANK YOU FOR YOUR SUPPORT. THANK YOU VERY MUCH.
>> BRUCE BUGG: IS THERE ANY OTHER BUSINESS BEFORE THE COMMISSION? THERE BEING NONE, THERE IS A MOTIONING TO ADJOURN.
COMMISSIONER NEW -- COMMISSIONER MEADE HAS MOVED THIS HEARING, COMMISSIONER VAUGHN, SECOND, ALL IN FAVOR, PLEASE SAY AYE. ANY OPPOSED? WE STAND ADJOURNED.
THANK YOU.
* This transcript was compiled from uncorrected Closed Captioning.