1II 1 1 1 11 1 11 1 II Control Number: 49151

1 1 1 1 11 1 1 1 II 1 Item Number: 206

Addendum StartPage: 0 217 - SOAH DOCKET NO. 473-19-5 855 ‘-<-Qrt,`r-- PUC DOCKET NO. 2: 34 49154-:?L / :4 ;711,

JOINT APPLICATION OF ONCOR ELECTRIC DELIVERY COMPANY LLC, § BEFORE THE STATE OFFICE CITY OF LUBBOCK, ACTING BY AND § THROUGH LUBBOCK POWER AND LIGHT, FOR A CERTIFICATE OF OF CONVENIENCE AND NECESSITY FOR § THE ABERNATHY TO NORTH TO NORTH LOOP 345/115-KV TRANSMISSION LINE IN HALE AND § ADMINISTRATIVE HEARINGS LUBBOCK COUNTIES

DIRECT TESTIMONY OF DWIGHT ANDREWS ON BEHALF OF ANDREWS INTERVENORS

Intervenors G. Randall Andrews, on behalf of himself and the entities Peacock Land Co.,

LLC, Restaurant Operators, Inc., and Broadway Rentals, LLC; and Dwight Andrews, on behalf of himself and the entity Candle Creek, LC (collectively, "Andrews Intervenors") hereby file this

Direct Testimony of Dwight Andrews, which is attached, and stipulates that this Direct

Testimony can be treated by all parties as if the answers were filed under oath.

Respectfully submitted,

SCOTT DOUGLASS & McCONNICO LLP 303 Colorado Street, Suite 2400 Austin, 78701 512.495.6300 512.495.6399 Fax

By: la-,a-e5 Catherine J. Webleing State Bar No. 21050055 [email protected] Stephanie C. Kover State Bar No. 24102042 [email protected]

ATTORNEYS FOR ANDREWS INTERVENORS

Direct Testimony of Dwight Andrews Page 1 of 62 September 4, 2019 On Behalf of Andrews Intervenors PUC Docket No. 49151 SOAI-1 Docket No. 473-19-5853

CERTIFICATE OF SERVICE

I certify that a copy of this document will be served on all parties of record on

September 4, 2019 in accordance with 16 TAC § 22.74 and the governing procedural orders.

Catherine J. Webking

Direct Testimony of Dwight Andrews Page 2 of 62 September 4, 2019 On Behalf of Andrews Intervenors PUC Docket No. 49151 SOAH Docket No. 473-19-5853

SOAH DOCKET NO. 473-19-5853

PUC DOCKET NO. 49151

JOINT APPLICATION OF ONCOR § ELECTRIC DELIVERY COMPANY LLC, § BEFORE THE STATE OFFICE CITY OF LUBBOCK, ACTING BY AND § THROUGH LUBBOCK POWER AND § LIGHT, FOR A CERTIFICATE OF § CONVENIENCE AND NECESSITY FOR § OF THE ABERNATHY TO NORTH TO § NORTH LOOP 345/115-KV § TRANSMISSION LINE IN HALE AND § LUBBOCK COUNTIES) § ADMINISTRATIVE HEARINGS

DIRECT TESTIMONY OF DWIGHT ANDREWS

ON BEHALF OF ANDREWS INTERVENORS

SEPTEMBER 4, 2019

Direct Testimony of Dwight Andrews Page 3 of 62 September 4, 2019 On Behalf of Andrews Intervenors PUC Docket No. 49151 SOAH Docket No. 473-19-5853

DIRECT TESTIMONY OF DWIGHT ANDREWS

ON BEHALF OF ANDREWS INTERVENORS

TABLE OF CONTENTS

I. INTRODUCTION AND BACKGROUND 5

II. PURPOSE AND SCOPE 5

III. THE CANDLE CREEK PROPERTY 6

IV. ROUTING IMPACTS ON THE PROPERTY AND LINKS OPPOSED. 10

V. CONCLUSION 12

EXHIBITS

Attachment DA-I November 6, 2018 election sample ballot that includes Proposition A Attachment DA-2 Minutes from the June 10, 2019 Lubbock County Commissioner's Court meeting Attachment DA-3 Lubbock County Judge Orders signed June 11, 2019 authorizing collection of taxes for the Lubbock County Exposition Center Attachment DA-4 Newspaper and online articles on the Lubbock County Exposition Center Attachment DA-5 Photographs and aerial images of the Candle Creek Property

Direct Testimony of Dwight Andrews Page 4 of 62 September 4, 2019 On Behalf of Andrews Intervenors PUC Docket No. 49151 SOAH Docket No. 473-19-5853

1 I. INTRODUCTION AND BACKGROUND 2 3 Q. Please state your name, occupation, and business address. 4 A. My name is Dwight Andrews. I am a self-employed in investments. My business 5 address is P.O. Box 600578, Dallas, Texas, 75360. 6 7 Q. Please briefly outline your educational and business background. 8 A. I have a Bachelor's degree in Business Administration from , with 9 a major in accounting. I maintain a CPA license in the state of Texas, and a Texas real 10 estate broker's license. 11 12 Q. Have you ever testified before the Public Utility Commission before? 13 A. No, I have not. 14 15 II. PURPOSE AND SCOPE 16 17 Q. On whose behalf are you testifying in this proceeding? 18 A. I am testifying on behalf of both myself as an intervenor in this proceeding and on behalf 19 of Candle Creek, LC, a limited liability company of which I am the sole member and on 20 whose behalf I also intervened ("Candle Creek"). We are part of a larger intervenor 21 coalition that also includes G. Randall Andrews who intervened on behalf of himself and 22 the entities Peacock Land Co., LLC; Restaurant Operations, Inc.; and Broadway Rentals, 23 LLC. I will use the term "Andrews Intervenors" to refer to the intervenor coalition in the 24 collective. 25 26 Q. What is the purpose and scope of your testimony? 27 A. This testimony responds to the application filed by Oncor Electric Delivery Company 28 LLC (and previously by Sharyland Utilities, L.P.) and the City of Lubbock, acting by and 29 through Lubbock Power and Light ("Applicants") for transmission lines in a study area in 30 which Candle Creek owns properties. My testimony explains the potential impact of 31 various proposed transmission line links on properties owned by Candle Creek.

Direct Testimony of Dwight Andrews Page 5 of 62 September 4, 2019 On Behalf of Andrews Intervenors PUC Docket No. 49151 SOAH Docket No. 473-19-5853

1 III. THE CANDLE CREEK PROPERTY 2 3 Q. What properties are owned by Candle Creek and located within the study area? 4 A. Candle Creek owns two adjacent large tracts of land that are located within the study area 5 for, and may be adversely impacted by, the Abernathy to North to North Loop 6 transmission line. The two tracts are identified in the Application as tracts R317188 and 7 R66269. Throughout my testimony, I will refer to these tracts collectively as the "Candle 8 Creek Property." 9 10 Q. Approximately where is the Candle Creek Property located within the study area? 11 A. The Candle Creek Property is located in the south-central portion of the study area, 12 approximately half-way between the Hillcrest Country Club and Berl Huffman Athletic 13 Complex to the west, and the Lubbock Country Club to the east. More specifically, the 14 Candle Creek Property is bordered by North Loop 289's Frontage Road to the south, 15 North University Avenue to the west and North Avenue Q to the east. The general 16 location of the Candle Creek Property is shown on Figure 1, which follows.

17 18 19 Figure 1: Aerial Image of the Candle Creek Property. 20 An approximation of the Candle Creek Property boundary is shown in gold. The North Loop 289 21 Frontage Road is shown bordering the Property to the south. 22

Direct Testimony of Dwight Andrews Page 6 of 62 September 4, 2019 On Behalf of Andrews Intervenors PUC Docket No. 49151 SOAH Docket No. 473-19-5853

1 Q. Please describe the Candle Creek Property and activities on it.

2 A. Lubbock County has selected the Candle Creek Property as the proposed location for the 3 new Lubbock County Exposition Center that is currently planned to be constructed and 4 opened by 2021. Currently, the Candle Creek Property is used for cotton farming. 5 6 Q. Please tell us what you know about the Lubbock County Exposition Center that is 7 proposed to be built on the Candle Creek property. 8 A. The new Exposition Center will replace the Lubbock Municipal Coliseum, and is planned 9 to house events such as the ABC Pro Rodeo that previously took place at the Municipal 10 Coliseum, as well as events like gymnastics tournaments, concerts, motocross events, and 11 livestock shows. It is planned that upon its development, Lubbock County would own 12 the property, and would lease it to a 501c3 nonprofit organization, which would oversee 13 the operations of the Exposition Center. 14 15 Q. When was the Candle Creek location for the Exposition Center revealed? 16 A. The proposed location for the Lubbock County Exposition Center on the Candle Creek 17 property was publicly revealed in October 2018. This was prior to giving voters the 18 opportunity to vote yes or no for increased Lubbock County hotel/motel and rental car 19 taxes to fund the project, under the Proposition A ballot initiative on the November 6, 20 2018 election ballot. A sample ballot that includes Proposition A is provided in 21 Attachment DA-1. 22 23 Q. Please tell us what you know about why the Candle Creek Property was selected as 24 the proposed location for the Exposition Center. 25 A. It is my understanding that the Exposition Center not only requires a large amount of 26 land, but also accessibility to major roads so that Exposition Center visitors will be able 27 to easily access it, and to increase visibility. Relatively close proximity to the City of 28 Lubbock's center is also a benefit. The Candle Creek Property provides all of these 29 benefits. 30 Further, the Candle Creek Property is a logical contender for this type of 31 recreational and community development. As shown in Figure 2, the Candle Creek

Direct Testimony of Dwight Andrews Page 7 of 62 September 4, 2019 On Behalf of Andrews Intervenors PUC Docket No. 49151 SOAH Docket No. 473-19-5853

1 Property is at the center of a hub of five major recreational and park areas within the 2 study area: (1) Hillcrest Country Club is to its northwest, (2) the Berl Huffinan Athletic 3 Complex is to its west, (3) the Park/, 4 which is along the , is to its west, (4) the Buddy Holly Recreation 5 Area and Hodges Park, also along the Yellow House Draw, are to its southwest, and (5) 6 the Lubbock Country Club, along the , is to its east. The addition of the 7 new Exposition Center at this location complements these existing community recreation 8 facilities.

•••• • is •A •• :F tAure LPL. Pdoettwoest to Mack d •• ralj No" I" '"1" All routes and route segments are avarlable for selecuon and approval • Cormnission. Only one mufti-segment tome will ultimately be consuucred fr. • MI • • 1U. Lubbock exrsting Abernathy Starion enher Mt/hough one of die two proposed North . g 1111 Options (North Opzion 1 or North Option 21 and to the north loop ar eitl esisturg X-FAB Srauon or Northwest Station. or (2) directly ro rhe pfoposea Option 1 Station along the north loop. I T 4I1 routes uulne 345-IN segments nonh of North Options 1 and 1. RCM, uuhzeerther 115-kV segments OR 145.KV opornonrc Anita, nf Notilr Onroons 1 ano Routes between Cowl!), Road 5 , 1 C:r., 3 000 4,500 ' .. 345-liV segments Mar ate near r u 9 10 Figure 2: Candle Creek Property at Center of Parks and Recreafion Hub. 11 An approximation of the Candle Creek Property boundary is shown in gold. Parks and recreation areas, 12 as identified by Applicants, are shown in green. For a complete legend, see Figure 3-2 from the 13 environmental assessment provided in the application in this docket. 14 15 Q. After the Candle Creek proposed location was revealed, did the voters pass the tax 16 to fund the Exposition Center project? 17 A. Yes. Voters passed Proposition A (Attachment DA-1), with approximately 65% of 18 voters in favor of the new taxes to fund the project.

Direct Testimony of Dwight Andrews Page 8 of 62 September 4, 2019 On Behalf of Andrews Intervenors PUC Docket No. 49151 SOAH Docket No. 473-19-5853

1 Q. Has Lubbock County begun collecting the tax for the Lubbock County Exposition 2 Center? 3 A. Yes. On June 10, 2019, the Lubbock County Commissioner's Court authorized the 4 county judge to sign orders implementing the increased taxes. The minutes from the June 5 10, 2019 Lubbock County Commissioner's Court meeting are provided in Attachment 6 DA-2. Collection of the taxes for the Lubbock County Exposition Center began on July 7 1, 2019. This is reflected in the County Judge's Orders provided in Attachment DA-3. 8 9 Q. How has the Lubbock community been involved in planning the Lubbock County 10 Exposition Center project? 11 A. This is a public Lubbock County project for the community. Necessarily, elected 12 officials and community committees, including the County Commissioners, the County 13 Judge, and the Lubbock County Exposition Center ("LCEC") Steering Committee, voted 14 to approve and took action to effectuate various stages of the project. The voters 15 themselves approved the increased taxes to fund the Exposition Center project. Further, 16 the community has been paying close attention to the planning and status of the project. 17 The Exposition Center has made headlines in the local newspapers, which have diligently 18 reported on the status of the project from its inception. Newspaper and online articles 19 evidencing the community's interest and involvement in this development project are 20 provided in Attachments DA-4. 21 22 Q. Were Applicants made aware of the transmission line project's impact on the 23 Exposition Center? 24 A. Yes. In January of 2019, I attended the public comment forum hosted by Sharyland in 25 Lubbock to discuss the transmission line project. Randy Jordan, the Chairman of the 26 LCEC Steering Committee was also at that forum and together we made Sharyland aware 27 of our concerns as to the Exposition Center. However, it is my understanding that 28 Sharyland is no longer an applicant. Oncor has replaced Sharyland and now appears to 29 be moving the proposed transmission line project forward.

Direct Testimony of Dwight Andrews Page 9 of 62 September 4, 2019 On Behalf of Andrews Intervenors PUC Docket No. 49151 SOAH Docket No. 473-19-5853

1 IV. ROUTING IMPACTS ON THE PROPERTY AND LINKS OPPOSED. 2 3 Q. What types of routing concerns do you have? 4 A. My routing concerns are primarily related to preservation of community values, 5 compatibility with existing and planned land uses, adverse economic impact to myself 6 and Lubbock's economic development, aesthetic impacts, and impacts to greenspaces and 7 parks. 8 9 Q. Which proposed links and routes that affect the Candle Creek Property do you

10 oppose? 11 A. I oppose 345-kV links A71, A72, A73, and 115-kV links B65, B66, B67, B69, B70, and 12 B71, and any route that incorporates those links because they bisect, cross, or parallel the 13 Candle Creek Property. Therefore, of the application routes, I oppose Routes 27-34 14 because those routes utilize one or more of the opposed 345-kV links (A71, A72, or 15 A73). I also oppose Routes 17-18, 21-22, and 24-25, because those routes utilize one or 16 more of the opposed 115-kV links (B65, B66, B67, B69, B70, or B71). 17 18 Q. Why do you oppose links A73, B70, and B71? 19 A. Link A73, and corresponding 115-kV links B70 and B71 split and cross the Candle Creek 20 Property and adversely impact it. First, these links cross the Candle Creek Property north 21 to south, bisecting it. Then they turn and continue across the Property's southern 22 boundary. The Property's southern boundary is prime frontage; it is on North Loop 289, 23 which has increased visibility and from which the view of the Candle Creek Property is 24 currently unobstructed by any transmission or distribution lines. 25

26 Q. Has the Candle Creek Property already been burdened with any transmission lines? 27 A. Yes. There is already an existing transmission line that crosses the middle of the Candle 28 Creek Property. Links A73 and B70 are proposed to parallel the existing line, further to 29 the west.

Direct Testimony of Dwight Andrews Page 10 of 62 September 4, 2019 On Behalf of Andrews Intervenors

PUC Docket No. 49151 SOAH Docket No. 473-19-5853

1 Q. Why do you continue to oppose links A73 and B70, even though they parallel an 2 existing line? 3 A. While I understand that routing parallel to existing transmission lines may be a positive 4 factor to consider in some instances, in this instance it is not. This is not a case in which 5 a new line would be built to parallel an existing line along a road. This would be a new 6 line that cuts across the middle of a property. To my knowledge, Applicants are not 7 proposing to use any existing transmission line right of way, and have not proposed any 8 underbuild or consolidation of the new links with the existing line. Instead, as proposed, 9 Links A73 and B70 would now route a second—and potentially much larger- 10 transmission line across the middle of the Candle Creek Property. A second, bisecting 11 line would overburden the Candle Creek Property, and further reduce the Property's 12 useable footprint, right from its center. 13 14 Q. Why do you oppose links A71, A72, B65, B66, and B67? 15 A. Link A71 and A72, and corresponding 115-kV links B65, B66, and B67, would adversely 16 impact the Candle Creek Property. These links parallel the Candle Creek Property's 17 northern property boundary. 18 19 Q. Why do you oppose link B69? 20 A. Link B69 is located on two sides of the Candle Creek Property and would adversely 21 impact it. First, link B69 parallels and crosses the Candle Creek Property's eastern 22 boundary along North Avenue Q. Then, B69 turns and continues to cross, and be located 23 on, the Property' s 'southern boundary, obstructing the Property's prime North Loop 289 24 frontage. 25 26 Q. Does Applicants' recommended Route 25 include any of the links opposed by the 27 Andrews Intervenors? 28 A. As proposed, Route 25 includes opposed links B66 and B67 which parallel the Property's 29 northern boundary.

Direct Testimony of Dwight Andrews Page 11 of 62 September 4, 2019 On Behalf of Andrews Intervenors

PUC Docket No. 49151 SOAH Docket No. 473-19-5853

1 Q. How do the adverse effects of the 345-kV line links compare to the adverse effects of 2 corresponding 115-kV line links? 3 A. I oppose all links that impact the Candle Creek Property. Generally, the opposed 345-kV 4 "A" links (A71, A72, A73) will have greater negative impacts on the Candle Creek 5 Property then their 115-kV "B" link counterparts (B65, B66, B67, B69, B70, B71) due to 6 the increased right-of-way easement and more towering structures required for a 345-kV 7 line. 8 9 Q. Please describe Lubbock's greenspace and park areas that could be affected by the 10 opposed links. 11 A. Almost all of the parks and recreation areas in the study area are concentrated within an 12 approximate 1-mile radius—with the Candle Creek Property at the center (Figure 2). 13 These are not small parks, but major parks and recreational facilities such as the Hillcrest 14 Country Club; the Berl Huffman Athletic Complex; the Yellow House Canyon 15 Park/Lubbock Lake Landmark, which is along the Yellow House Draw; the Buddy Holly 16 Recreation Area and Hodges Park, also along the Yellow House Draw; and the Lubbock 17 Country Club, along the Blackwater Draw. The opposed links would not only impact the 18 Candle Creek Property and construction of the Lubbock County Exposition Center- 19 another community recreational facility that is compatible with these existing land uses- 20 but would route a transmission line through the center of one of the community's major 21 parks and recreation hubs. 22 23 V. CONCLUSION 24 25 Q. In summary, what recommendation do you make to the Commission? 26 A. I request that the Public Utility Commission select a route that does not include 345-kV 27 links A71, A72, A73, or 115-kV links B65, B66, B67, B69, B70, or B71. 28 29 Q. Have you provided any photographs or imagery of the Candle Creek Property? 30 A. Yes. Additional photographs and aerial imagery of the Candle Creek Property are 31 provided in Attachment DA-5. Attachment DA-5-a is an aerial image of the entire

Direct Testimony of Dwight Andrews Page 12 of 62 September 4, 2019 On Behalf of Andrews Intervenors PUC Docket No. 49151 SOAH Docket No. 473-19-5853

1 Candle Creek Property. Attachment DA-5-b is a picture taken from the North Loop 289 2 Frontage Road looking west and shows the southern portion of Candle Creek Property on 3 the right (north) side of the road. 4 5 Q. Are all of the pictures included in this testimony true and correct reproductions of 6 photographs of the property as designated in the captions of the photographs? 7 A. Yes. 8 9 Q. Does this conclude your testimony? 10 A. Yes and thank you very much for your attention and for the opportunity to testify in this 11 important matter.

Direct Testimony of Dwight Andrews Page 13 of 62 September 4, 2019 On Behalf of Andrews Intervenors Attachment DA-1 November 6, 2018 Election Sample Ballot that Includes Proposition A

Direct Testimony of Dwight Andrews Page 14 of 62 September 4, 2019 On Behalf of Andrews Intervenors

Attachment DA-1 Page 1 of 3 Sample Ballot

General and Special Elections Precinct 003-LISD November 6, 2018 Distrito Electoral 003-LISD Lubbock County Elecciones General y Especial Page 1 of 3 6 de noviembre, 2018 Condado de Lubbock Página 1 de 3

United States Senator Commissioner of the General Senador de los Estados Unidos Land Office Comisionado de la Oficina Vote for none or one. General de Tierras Vote por ninguno o uno. Instructions: Vote for none or one. Please use a black or blue-ink pen Ted Cruz REP Vote por ninguno o uno. to mark your ballot. To vote for your choice in each contest, Beto O'Rourke DEM George P. Bush REP completely fill in the box next to your choice. LJ Neal M. Dikeman LIB Miguel Suazo DEM

lnstrucciones: Matt Pilia LIB United States Representative, Por favor utilice una pluma de tinta District 19 negra o azul para marcar su boleta. Representante de los Estados Unidos, Commissioner of Agriculture Para votar por su opción en cada Distrito Mim 19 Comisionado de Agricultura concurso, Ilene completamente la casilla de su selección. Vote for none or one. Vote for none or one. Vote por ninguno o uno. Vote por ninguno o uno.

Straight Party Instructions: Jodey Arrington REP Sid Miller REP You may cast a Straight-Party vote (that is, cast a vote for all Miguel Levario DEM Kim Olson DEM the nominees for one party) by Richard Carpenter LIB selecting the party of your Governor choice. If you cast a Straight- Gobernador(a) Party vote for all of the nominees Railroad Commissioner for one party and also cast a vote Vote for none or one. Comisionado de Ferrocarriles for an opponent of one of that Vote por ninguno o uno. Party's nominees, your vote for Vote for none or one. Greg Abbott REP the opponent will be counted as Vote por ninguno o uno. well as your vote for all the other Lupe Valdez DEM Christi Craddick REP nominees of the Party for which 11 the Straight-Party vote was cast. Mark Jay Tippetts LIB 11 Roman McAllen DEM

lnstrucciones de Partido Único. Mike Wright LIB Para marcar un voto para Partido Lieutenant Governor Único (es decir, emitir su voto para Gobernador Teniente Justice, Supreme Court, Place 2 todos los candidatos en un partido) Vote for none or one. Juez Corte Suprema, Lugar Al0m 2 escoge el partido de su preferencia. Vote por ninguno o uno. Al seleccionar un partido Vote for none or one. automáticamente escogera todos los Dan Patrick REP Vote por ninguno o uno. candidatos asociados con ese partido. Usted también puede votar Mike Collier DEM Jimmy Blacklock REP por un candidato de partido Kerry Douglas McKennon Steven Kirkland DEM oponente de los candidatos de ese LIB partido 6nico. Su voto para ese candidato de partido oponente ser6 Justice, Supreme Court, Place 4 contado igualmente que su voto Attorney General Juez Corte Suprema, Lugar Min) 4 para todos los nominados de partido Procurador General por el que se emitio el voto de Vote for none or one. partido (mica Vote for none or one. Vote por ninguno o uno. Vote por ninguno o uno. John Devine REP Ken Paxton REP Straight Party R.K. Sandi!! DEM Partido Onico Justin Nelson DEM ED Republican Party Justice, Supreme Court, Place 6 Partido Republicano Michael Ray Harris LIB Juez, Corte Suprema, Lugar I\16m 6 1=1 Democratic Party Comptroller of Public Accounts Vote for none or one. Partido Demócrata Contralor de Cuentas Públicas Vote por ninguno o uno. Jeff Brown REP =I Libertarian Party Vote for none or one. Partido Libertario Vote por ninguno o uno. Kathy Cheng DEM Glenn Hegar REP

Joi Chevalier DEM

Ben Sanders LIB

Direct Testimorq4vikht.Aiacirews Page 15 of 62 S tember 4, 2019 Bolet eal On Behalf of AU leef v11 norsicies of the Ballot / Lea Ambos Lados de la

Attachment DA-1 Page 2 of 3 Sample Ballot

General and Special Elections Precinct 003-LISD November 6, 2018 Distrito Electoral 003-LISD Lubbock County Elecciones General y Especial Page 2 of 3 6 de noviembre, 2018 Condado de Lubbock Página 2 de 3

Presiding Judge, Court of District Judge, 237th Judicial County Treasurer Criminal Appeals District Tesorero del Condado Juez Presidente, Corte de Juez del Distrito, Vote for none or one. Apelaciones Criminales Distrito Judicial Nam 237 Vote por ninguno o uno. Vote for none or one. Vote for none or one. 1=1 Chris Winn REP Vote por ninguno o uno. Vote por ninguno o uno.

Sharon Keller REP Les Hatch REP Justice of the Peace, Precinct 3 Maria T. (Terri) Jackson DEM Juez de Paz, Distrito Electoral Nam 3 District Judge, 364th Judicial Vote for none or one. William Bryan Strange III UB District Juez del Distrito, Vote por ninguno o uno. Distrito Judicial Nam 364 I=1 Aurora Chaides-Hernandez Judge, Court of Criminal Appeals, DEM Place 7 Vote for none or one. Juez, Corte de Apelaciones Vote por ninguno o uno. Criminales, Lugar Nam 7 Billy Eichman REP Vote for none or one. Vote por ninguno o uno. . Criminal District Attorney Barbara Parker Hervey REP Procurador Criminal del Distrito

Vote for none or one. Ramona Franklin DEM Vote por ninguno o uno.

K. Sunshine Stanek REP Judge, Court of Criminal Appeals, Place 8 Juez, Corte de Apelaciones County Judge Criminales, Lugar Nam 8 Juez del Condado

Vote for none or one. Vote for none or one. Vote por ninguno o uno. Vote por ninguno o uno.

Michelle Slaughter REP Curtis Parrish REP

Mark Ash UB Judge, County Court at Law #1 Juez, Corte de Ley del Condado State Representative, District 84 Nam 1 Representante Estatal, Distrito Nam 84 Vote for none or one. Vote por ninguno o uno. Vote for none or one. . Vote por ninguno o uno. Mark Hocker REP

John Frullo REP Judge, County Court at Law #2 Samantha Carrillo Fields Juez, Corte de Ley del Condado DEM Nam 2

Vote for none or one. Justice, 7th Court of Appeals Vote por ninguno o uno. District, Place 2 Drue Farmer REP Juez, Distrito de Corte de Apelaciones Se/36mo, Lugar Nam 2 Judge, County Court at Law #3 Vote for none or one. Juez, Corte de Ley del Condado Vote por ninguno o uno. Nam 3 Judy Parker REP Vote for none or one. Vote por ninguno o uno. Justice, 7th Court of Appeals Ann-Marie Carruth REP District, Place 3 Juez, Distrito de Corte de Apelaciones Séptimo, Lugar Nam 3 District Clerk del Distrito Vote for none or one. Secretario Vote por ninguno o uno. Vote for none or one. Pat Pirtle REP Vote por ninguno o uno. Barbara M. Sucsy REP District Judge, 137th Judicial District County Clerk Juez del Distrito, Secretario del Condado Distrito Judicial Nam 137 Vote for none or one. Vote for none or one. Vote por ninguno o uno. Vote por ninguno o uno. IJ Kelly J. Pinion REP John (Trey) McClendon REP

Direct Testimora_2f 1rws Page 16 of 62 September 4, 2019 o. the Ballot / Lea Ambos Lados de la Boleta On Behalf of APfig,M InteKtnohles Attachment DA-1 Page 3 of 3 Sample Ballot

General and Special Elections Precinct 003-LISD November 6, 2018 Distrito Electoral 003-LISD Lubbock County Elecciones General y Especial Page 3 of 3 6 de noviembre, 2018 Condado de Lubbock Página 3 de 3

Venue Tax Special Election, Lubbock ISD Bond Special Proposition A Election, Proposition A Lugar Impuesto Elección Especial, Distrito Escolar lndependiente de Proposición A Lubbock Elección de Bonos, Proposición A Vote For or Against. Vote A Favor o En Contra. Vote For or Against. Authorizing Lubbock County to Vote A Favor o En Contra. develop a new multipurpose arena The issuance of $130,000,000 of with adjacent facilities and any bonds by the Lubbock Independent related infrastructure ('the Venue School District for school facilities Project') in Lubbock County that is including safety and security capable of hosting a variety of improvements and a new events, including, but not-limited to agricultural sciences facility and concerts, family shows, sporting levying the tax in payment thereof. events, community and high school sporting events and ceremonies, La emisi6n de bonos por el importe rodeos and other agricultural and de $130,000,000 por el Distrito equestrian shows, and to impose a Escolar lndependiente de Lubbock short term motor vehicle rental tax para instalaciones escolares, lo que at a rate not to exceed five percent incluye mejoras para protecci6n y (5%) of the gross receipts from the seguridad e instalaciones nuevas rental of a motor vehicle in para ciencias de la agricultura, y la Lubbock County, and a tax on the imposición de impuestos para el occupancy of a room in a hotel pogo de dichos bonos. within the County at a rate not to exceed two percent (2%) of the 1=1 For/A Favor price paid for the room, for the purpose of financing the Venue 1=1 Against /En Contra Project.

If approved, the maximum hotel High Plains Underground Water occupancy tax rate imposed from Conservation District #1 Distrito Número 1 de Conservación all sources in Lubbock County Subterraneas High Plains would be 15 percent (15%) of the de Aguas price paid for a room in a hotel. HPWD Director, Precinct 1 Conservación de Aguas Autorizando al Condado de Lubbock Subterraneas High Plains Director, a desarrollar un nuevo arena Distrito Electoral Nam 1 multiuso con instalaciones adyacentes y cualquier Vote for none or one. infraestructura relacionada en el Vote por ninguno o uno. Condado de Lubbock que sea capaz 1=1 Paul Bjerk de acoger una variedad de eventos, incluyendo pero no limitado a E3 Dan Seale conciertos, espect6culos familiares, eventos deportivos, eventos deportivos y ceremonias de la escuela secundaria y de la comunidad, rodeos y otros espect6culos agricolas y ecuestres, e imponer un impuesto de alquiler a corto plazo de vehkulos motorizados a una tasa que no exceda el cinco por ciento (5%) de los ingresos brutos del alqiiiler de un vehiculo motorizado en el Condado de Lubbock, y un impuesto sobre la ocupacián de una habitación en un hotel del Condado a una tasa que no exceda el dos por ciento (2%) del precio pagado por la habitación, con el fin de financiar el proyecto de lugar.

Si se aprueba, la tasa máxima de impuestos de ocupación hotelera impuestos por todas las fuentes en el Condado seria 15 por ciento (15%) del precio pagado por una habitación en un hotel.

1=1 For /A Favor

1=1 Against / En Contra

Direct Testimony of Dwight Andrews Page 17 of 62 September 4, 2019 On Behalf of Andrews Intervenors Attachment DA-2 Minutes from the June 10, 2019 Lubbock County Commissioner's Court Meeting

Direct Testimony of Dwight Andrews Page 18 of 62 September 4, 2019 On Behalf of Andrews Intervenors Attachment DA-2 Page 1 of 5 Page 1

Lubbock County Commissioner's Court

June 10, 2019

10:00 AM - Regular Meeting

904 Broadway, Lubbock County Courthouse, 5th Floor BE IT REMEMBERED that on 6/10/2019 there was held a Regular Meeting of the Lubbock County Commissioners' Court in and for the County of Lubbock, the following members present: Curtis Parrish County Judge Bill McCay Commissioner 1 Jason Corley Commissioner 2 Gilbert Flores Commissioner 3 Chad Seay Co ottDA-1 ageSiRl 613 jnvocation and Pledge of Allegiance bv Gilbert A, Flores. At this time, 9:58 AM, the Invocation & Pledge of Allegiance was given by Gilbert Flores.

Ell.131.1.C.LOMISENLSINFLvolemjaelakFraisiteml Public Comment Note: Anyone wishing to address the Court_ during Public Corments is required to register your name on the Clerk's registry prior to the meeting. Speakers mav only address items listed on the current agenda. Speakers are limited jo two (2) minutes maximum, and if there are_more three speakers who wish bp address the same item,„ the Court reserves the rightto limit s eakers HE COURT CANNOT DELIBERATE OR ACT ON MATTERS NOT LISTED ONTHE AGENDA. No member of the public addressed the court.

Consider and Approve the Minutes from Regular Commissioner's Court dated May 28_ 2019, Upon a motion by Bill McCay, seconded by Chad Seay, the court unanimously voted approving the Minutes from Regular Commissioner's Court dated May 28, 2019 with stated corrections.

Consider Auditor and Financial Matters: Line Item Transfers and Budget Amendments. Upon a motion by Bill McCay, seconded by Jason Corley, the court unanimously voted approving Consider Auditor and Financial Matters: Line Item Transfers of $256,576.00 and Budget Amendments of $199,216.00 as presented by Rhonda Scott.

Authorize Payment of Claims: General Accounts (Pooled Cash), Upon a motion by Gilbert Flores, seconded by Chad Seay, the court unanimously voted approving to Authorize Payment of Claims: General Accounts (Pooled Cash) of $1,199,922.24 as presented by Rhonda Scott.

Dismiss consider and/or take action to authorize the countaudge to sign an order providing for the irnposition_and levy of a hotel occupancy tax equal to two percent (2.00%): providing for collectiok reorting. recordkeeging, and remittal_ requirements and procedures: imposing penalties for violations of this order and fudher providing thatjhis.order is cumulativw,providing a severability clause; providing for publication; and providing an effective date. Upon a motion by Jason Corley, seconded by Bill McCay, the-court unanimously voted approving t o authorize the county judge to sign an order providing for the imposition and levy of a hotel occupancy tax equal to two percent (2.00%); providing for col)ection, reporting, recordkeeping, and remittal requirements and procedures; imposing penalties for violations of this order; and further providing that this order is cumulative; providing a severability clause; providing for publication; and providing an effective date.

Direct Testimony of Dwight Andrews Page 19 of 62 September 4, 2019 On Behalf of Andrews Intervenors

Attachment DA-2 Page 2 of 5 Page 2

Lubbock County Commissioner's Court June 10, 2019 10:00 AM - Regular Meeting 904 Broadway, Lubbock County Courthouse, 5th Floor

Discuss. consider and/or take action to authorize the countlapdoe to sign an order providing for the imposition and levy of a short-term motor vehicle rental tax equal to fivepercent f5.00%); providing for collection. reporting, recordkeepino. and remittal reauirements and procedures: imposing penalties for violations of this order. and further providing that this order is cumulative; providing a severability clause; providing for publication; and providing an effective date. Upon a motion by Gilbert Flores, seconded by Chad Seay, the court unanimously voted approving to authorize the county judge to sign an order providing for the imposition and levy of a short-term motor vehicle rental tax equal to five percent (5.00%); providing for collection, reporting, recordkeeping, and remittal requirements and procedures; imposing penalties for violations of this order, and further providing that this order is cumulative; providing a severability clause; providing for publication; and providing an effective date.

At this time 10:08 AM Commissioner Flores left the court.

Discuss. consider and/or take action to authorize permission for Bad Axe Raider to use a county parking lot for a fundraiser Upon a motion by Bill McCay, seconded by Jason Corley, the court unanimously voted approving to authorize permission for Bad Axe Raider to use a county parking lot for a fundraiser contingent on agreement approval by civil department as presented by Neal Burt & John Bankston.

Discuss. consider. take action on the recommendation from Lubbock County's Historical Commission regarding the Section 108, National Historic Preservation Act and projects taking place in Lubbock County. specifically LOOP 88 and the Sharyland Utilities Transmission Line Projects in Lubbock County. Upon a motion by Bill McCay, seconded by Jason Corley, the court unanimously voted approving the recommendation from Lubbock County's Historical Commission regarding the Section 108, National Historic Preservation Act and projects taking place in Lubbock County, specifically Loop 88 and the Sharyland Utilities Transmission Line Projects in Lubbock County as presented by Cameron Settle.

Discuss_consider and/or take action to approve a Resolukon to Enter Into An Advance Funding Agreement With Texas Department of Transportation For The Widening of Woodrow Road and authorize the County Judoe to sign an Advance Fundi g Agreement for Surface Transportation Pronram-Metronolitan Mobility Off-System., Upon a motion by Bill McCay, seconded by Jason Corley, the court unanimously voted approving a Resolution to Enter Into An Advance Funding Agreement Wth Texas Department of Transportation For The Widening of Woodrow Road and authorize the County Judge to sign an Advance Funding Agreement for Surface Transportation Program-Metropolitan Mobility Off-System as presented by Jennifer Davidson.

Discuss. consider and/or take action to authorize the County Judge to sign an Engineering Design Agreement as awarded in ITB 180404. Project Specific Solicitation. #1 Woodrow Road on May 13. 2019. Upon a motion by Bill McCay, seconded by Chad Seay, the court unanimously voted approving to authorize the County Judge to sign an Engineering Design Agreement as awarded in (TB 180404, Project Specific Solicitation, #1 Woodrow Road on May 13, 2019 as presented by Jermifer Davidson.

Discuss. consider and/or take action to authorize the County Judga to sign an agreement with Information Management Solutions. LLC for jury summons services as awarded in ITB 190302 on May 13. 2019. Upon a motion by Bill McCay, seconded by Chad Seay, the court unanimously voted approving to authorize the County Judge to sign an agreement with Information Management Solutions, LLC for jury summons services as awarded in ITB 190302 on May 13, 2019 as presented by Clint Wehrman.

Direct Testimony of Dwight Andrews Page 20 of 62 September 4, 2019 On Behalf of Andrews Intervenors

Attachment DA-2 Page 3 of 5 Page 3

Lubbock County Commissioner's Court

June 10, 2019

10:00 AM - Regular Meeting

904 Broadway, Lubbock County Courthouse, 5th Floor

Discuss. consider and/or take action to authorize the County Judge to sign a Memorandum of Understanding with Biq Texas Trader World. Inc. to utilize WebDealer. Upon a motion by Chad Seay, seconded by Bill McCay, the court unanimously voted approving to authorize the County Judge to sign a Memorandum of Understanding with Big Texas Trailer World, Inc. to utilize WebDealer as presented by Tarran Clack.

Discuss. consider and/or take action to authorize the Count Judge to sign the second of five one-year renewals with GT Distributors, Inc. as authorized in ITB 170302 for Sheriffs Office Duty Uniforms. Upon a motion by Bill McCay, seconded by Chad Seay, the court unanimously voted approving to authorize the County Judge to sign the second of five one-year renewals with GT Distributors, Inc. as authorized in ITB 170302 for Sheriff's Office Duty Uniforms as presented by Clint Wehrman.

.Discuss._consider and/or take action to authorize the County Judge to sign a Technical Support Agreement with QueTel Corporation. for the term August 1. 2019 to July 31,2020. Upon a motion by Chad Seay, seconded by Jason Corley, the court unanimously voted approving to authorize the County Judge to sign a Technical Support Agreement with QueTel Corporation, for the term August 1, 2019 to July 31, 2020 as presented by Dan Corbin.

Piscuss.s_onsiderand/or take action to authorize the County Judge to sign a renewal agreement with Terry County for the inmate housing services. Upon a motion by Bill McCay, seconded by Jason Corley, the court unanimously voted approving to authorize the County Judge to sign a renewal agreement with Terry County for the Inmate housing services as presented by Dan Corbin.

Discuss. consider and/or take action to authorize the County Judae to sign a renewal aareement with Castro County for the inmate housing services, Upon a motion by Bill McCay, seconded by Chad Seay, the court unanimously voted approving to authorize the County Judge to sign a renewal agreement with Castro County for the inmate housing services as presented by Dan Corbin.

Discuss. consider and/or take action to authorize the County Judge to sign a Cooperation With Civil Law Enforcement Officials Agreement with the Department of the Navy for the loan of night vision devices. Upon a motion by Chad Seay, seconded by Bill McCay, the court unanimously voted approving to authorize the County Judge to sign a Cooperation With Civil Law Enforcement Officials Agreement with the Department of the Navy for the loan of night vision devices as presented by Dan Corbin.

Discuss, consider and/or take action to authorize the County Judge to sign an Agreement for Emergency Evacuation at the Texas Civii Commitment Center with Management and Training Comoanv. Upon a motion by Bill McCay, seconded by Chad Seay, the court unanimously voted approving to authorize the County Judge to sign an Agreement for Emergency Evacuation at the Texas Civil Commitment Center with Management and Training Company as presented by Dan Corbin.

Consider_and aoorove Lt Anthony Castillo and Sgt Jason Johnson to travel to Pascagoula. Mississippi to interview a victim in an on-qoina investigation. Upon a motion by Bill McCay, seconded by Jason Corley, the court unanimously voted approving Lt. Anthony Castillo and Sgt. Jason Johnson to travel to Pascagoula, Mississippi to interview a victim in an on-going investigation. Direct Testimony of Dwight Andrews Page 21 of 62 September 4, 2019 On Behalf of Andrews Intervenors

Attachment DA-2 Page 4 of 5 Page 4

Lubbock County Commissioner's Court

June 10, 2019

10:00 AM - Regular Meeting

904 Broadway, Lubbock County Courthouse, 5th Floor

Consider and approve out of stale travel for Sheriff Kelly Rowe to attend the MC Large Jail Network Meeting in Columbus, Ohio. Upon a motion by Bill McCay, seconded by Chad Seay, the court unanimously voted approving out of state travel for sheriff Kelly Rowe to attend the NIC Large Jail Network Meeting in Columbus, Ohio. adismiLLapjadage_tayragr_t oi ille demyjn_Quartticzyirginia_ F.B.I. Headquarters. Upon a motion by Bill McCay, seconded by Jason Corley, the court unanimously voted approving out of state travel for Lt. Jason Stewart to attend the F.B.I. National Academy in Quantico, Virginia, F.B.I. Headquarters.

Discuskconsidecand/or take action to authorize the County Judge to sign a contract amendment/change order to the pato Holdings LLC. agreement for the 2019 Seal Coat_Prgject. Upon a motion by Chad Seay, seconded by Jason Corley, the court unanimously voted approving to authorize the County Judge to sign a contract amendment/change order to the CDM Holdings LLC, agreement for the 2019 Seal Coat Project as presented by Jennifer Davidson.

Report on the status of County Road Projects Degartment Staffing, Traini% and Safely, unasvpd and apved mart mattgr_w_me,_AQQ_Lano_Sik -1 of Lubbogk projects, signs. parks. and fleet manactementleogrt. Report on the status of County Road Projects, Department Staffing, Training and Safety, unpaved and paved road maintenance, TxDOT and City of Lubbock projects, signs, parks and fleet management report as presented by Rodshadi Moore.

As authorized by the Texas Government Code. the Commissioners' Court of Lubbock_Couna_lexaszesentes.the_44.10 adjourn into Encutive Session at any_time during the course of this meeting to discuss any matters. including but not limitgg.tcy_i d_tttginattemtisted above, as they may relate to Texas Government Code 6 551.071(11 (Cqnsultation- with Attorney about pending or contemplated litigation or settlement offers): Texas Govemment Code 6 551.071(2) tConsultation with Attomey when the Attorney's obligations under the Texas Disninlinaa Rifles nf Prnfeccinnal Conrhict of the State Bar of Texas conflicts with Chapter 551 of the Texas Government Coriel Texas GnvarnmeniCndeiSSI C177 (Deliberations About Real Property): Texas Govemmert Code 1 551 073 Mpliheralinns ahnid SUN and IlnnatinnckIevas Government Code § 551.074 iPersonnel Mattersl: Texas GovernmegL Code 1551 (1745 jpersonnpi matters Afferiina a_ Lau*..Advisont Body): Texas Governmert Code 551 076 riaelibelations Raaardina tleuires nr Sertrrilt Audits): and Texas Govemment Code 1 551 087 jaelibPralicus RegardinaFrnnnmin Ileuelnament Kier • 1_ At this time, 10:38 AM, as authorized by the Texas Government Code, the Commissioners' Court of Lubbock County, Texas reserves the right to adjourn into Executive Session at any time during the course of this meeting to discuss any matters, including but not limited to any of the matters listed above, as they may relate to Texas Government Code § 551.071(1) (Consultation with Attorney about pending or contemplated litigation or settlement offers); Texas Government Code § 551.071(2) (Consu(tation with Attorney when the Attorney's obligations under the Texas Disciplinary Rutes of Professional Conduct of the State Bar of Texas conflicts with Chapter 551 of the Texas Government Code); Texas Government Code § 551.072 (Deliberations About Real Property); Texas Government Code § 551.073 (Deliberations about Gifts and Donations); Texas Government Code § 551.074 (Personnel Matters); Texas Government Code § 551.0745 (Personnel Matters Affecting a County Advisory Body); Texas Government Code § 551.076 (Deliberations Regarding Security Devices or Security Audits); and Texas Government Code § 551.087 (Deliberations Regarding Economic Development Negotiations).

Direct Testimony of Dwight Andrews Page 22 of 62 September 4, 2019 On Behalf of Andrews Intervenors

Attachment DA-2 Page 5 of 5 Page 5

Lubbock County Commissioner's Court

June 10, 2019

10:00 AM - Regular Meeting

904 Broadway, Lubbock County Courthouse, 5th Floor

At this time, 11:16 AM, 6/10/2019, the Regular Meeting of the Commissioner's Court was adjourned.

THE FOREGOING MINUTES WERE READ AND APPROVED IN OPEN COURT ON THIS DAY 6/24/2019

Presiding Officer_ ountv Clerk' t

Direct Testimony of Dwight Andrews Page 23 of 62 September 4, 2019 On Behalf of Andrews Intervenors Attachment DA-3 Lubbock County Judge Orders Authorizing Collection of Taxes for the Lubbock County Exposition Center

Direct Testimony of Dwight Andrews Page 24 of 62 September 4, 2019 On Behalf of Andrews Intervenors Attachment DA-3-a Page 1 of 7

ORDER PROVIDING FOR THE IMPOSITION AND LEVY OF A SHORT-TERM MOTOR VEHICLE RENTAL FAX EQUAL TO FIVE PERCENT (5.000/0); PROVIDING FOR COLLECTION, REPORTING, RECORDKEEPING, AND REMITTAL REQUIREMENTS AND PROCEDURES; IMPOSING PENALTIES FOR VIOLATIONS OF THIS ORDER; AND FURTHER PROVIDING THAT THIS ORDER IS CUMULATIVE: PROVIDING A SEVERABILITY CLAUSE; PROVIDING FOR PUBLICATION; AND PROVIDING AN EFFECTIVE DATE.

WHEREAS, Chapter 334 of the Texas Local Government Code, as amended (the "Act"), authorizes the Commissioners Court to designate various sports- and cornmunity-related capital improvements as a "venue project" and to designate one or more methods of financing authorized by the Act that the County wants to use to finance the project, subject to approval of the voters in an election called for that purpose; and

WHEREAS, in accordance with requirements in the Act, on July 9, 2018, the Commissioners Court adopted a resolution authorizing the planning, acquisition, establishment, development, renovation and construction of a multipurpose arena and adjacent support facilities and any related infrastructure (the "Venue Project Resolution") as a venue project in accordance with the Act (collectively, the "Venue Project"), and designating each method of financing under the Act proposed to be used for the Venue Project, subject to voter approval at an election called for such purpose; and

WHEREAS, by letter dated July 26, 2018, the Texas Comptroller of Public Accounts (the "Comptroller") notified the County of the Comptroller's determination that approval and implementation of the Venue Project Resolution would have no significant negative fiscal impact on state revenue; and

WHEREAS, on August 20, 2018, the Commissioners Court adopted an order calling for and ordering an Election to be held on November 6, 2018 (the "Election"), at which all qualified voters of the County would have the opportunity to vote on the question of approving and implementing the Venue Project Resolution designating the multipurpose arena with adjacent support facilities and any related infrastructure as a Venue Project and the. method of financing the Venue Project under the Act; and

WHEREAS, at the Election, a majority of the voters of the County voting in the election voted in favor of the proposition authorizing the County to provide for the planning, acquisition, development, establishment, construction, renovation and financing of the Venue Project, and to impose (i) a hotel occupancy tax at a rate not to exceed two percent (2.00%). and (ii) a short-term motor vehicle rental tax not to exceed five percent (5.00%), for the purpose of financing the Venue Project, with the maximum hotel occupancy tax rate imposed from all sources in the County would be fifteen percent (15.00%) of the price paid for a room in a hotel, as verified in the proceedings, adopted by the Commissioners Court on Novernber 15, 2018 following the canvassing of the returns and declaring the results of the Election: and

WHEREAS, in accordance with the wishes of the majority of voters of the County voting on the propositions presented at the Election, the County is working toward the planning, Direct Testimony of Dwight Andrews Page CS of 62 September 4, 2019 On Behalf of Andrews Intervenors Attachment DA-3-a Page 2 of 7

acquisition. development. establishment, construction, renovation and financing of the Venue Project; and

WHEREAS, the Commissioners Court anticipates issuing revenue bonds to fund the County's portion of the costs of the Venue Project (the "Public Contribution''); and

WHEREAS, the Commissioners Court has found and determined that it is in the best interests of the County to impose the short-term motor vehicle rental tax authorized by the voters at the Election (the "short-term motor vehicle rental tax") with the revenue frorn the taxes to be pledged as additional security for and payment of revenue bonds, the proceeds of which shall benefit the Venue Project.

NOW THEREFORE, BE IT ORDERED BY THE COMMISSIONERS COURT OF LUBBOCK COUNTY, TEXAS:

SECTION 1.

Unless otherwise expressly provided or the context clearly requires otherwise, the following terms shall have the meanings specified below when used in this Order:

1. "Business Day" means a day other than a Saturday, a Sunday, or a date included on the list of legal holidays for banking purposes, which is published in the Texas Register before January 1 of each year by the Comptroller of Public Accounts, and distributed to each Texas state agency that receives reports or payments, pursuant to Section 111.053(b), Texas Tax Code.

"County" shall mean Lubbock County, Texas and shall include its designee.

3. "Gross Rental Receipts" shall mean the value received or promised as consideration to the Owner of a Motor Vehicle for rental of the motor vehicle, but does not include:

(A) separately stated charges for insurance; (13) charges for darnages to the Motor Vehicle occurring during the rental agreement period: (C) separately stated charges for motor fuel sold by the Owner of the Motor Vehicle; or (D) discounts.

4. "Motor Vehicle" shall mean a self-propelled vehicle designed principally to transport persons or property on a public roadway and includes a passenger car, van, station wagon, sports utility vehicle and truck. The terms does not include a:

(A) trailer, sernitrailer, house trailer, truck having a manufacturer's rating of more than one-half ton or road-building machine; (B) a device moved only by human power; Direct Testimony of Dwight Andrews Page.V6 of 62 September 4, 2019 On Behalf of Andrews Intervenors Attachment DA-3-a Page 3 of 7

(C) a device used exclusively on stationary rails or tracks; (D) a farm machine; or (E) a rnobile office.

5. - Owner of a Motor Vehicle shall mean a person named in the certificate of title as the owner of the Motor Vehicle, or a person who has the exclusive use of a Motor Vehicle and holds the Motor Vehicle for the purpose of renting it to another person.

6. ''Rental" shall mean an agreement by the Owner of a Motor Vehicle to authorize for not longer than 30 days the exclusive use of that Motor Vehicle to another for consideration, where the transfer of possession of the Motor Vehicle occurs anywhere within the County.

SECTION 2.

(a) There is hereby levied and irnposed a short-term motor vehicle rental tax at the rate of five percent (5.00%), a rate that is an increment of one-eighth of one percent (0.125%), on the rental of a Motor Vehicle within Lubbock County, Texas, consistent with the proposition authorizing the levy and collection of the short-term motor vehicle rental tax approved at the Election and applicable provisions of the Act. The exernptions as provided in Chapter 152. Subchapter E. Texas Tax Code, shall apply to the short-term motor vehicle rental tax imposed by this Order.

(h) The short-term motor vehicle rental tax imposed under this Section shall be calculated on the basis of the Gross Rental Receipts from Motor Vehicle Rentals within Lubbock County, Texas, consistent with the provisions of the Act.

(c) The short-term motor vehicle rental tax shall be collected beginning on July 1. 2019.

(d) In no event shall the short-term motor vehicle rental tax approved by the voters at the Election exceed five percent (5%) on the Gross Rental Receipts from Motor Vehicle Rentals with Lubbock County.

SECTION 3.

(a) The Owner of a Motor Vehicle who enters into a Rental of a Motor Vehicle with any other person shall collect the short-term motor vehicle rental tax imposed by this Order on behalf of the County.

(b) The Owner of a Motor Vehicle subject to the short-term motor vehicle rental tax imposed by this Order shall add such short-term motor vehicle rental tax to the Rental charge.

(c) Each bill or other receipt for a Motor Vehicle Rental subject to the short-term motor vehicle rental tax imposed by this Order shall contain a statement in a conspicuous locating stating: Direct Testimony of Dwight Andrews Page 27 of 62 September 4, 2019 On Behalf of Andrews Intervenors Attachment DA-3-a Page 4 of 7

LUBBOCK COUNTY REQUIRES THAT AN ADDITIONAL TAX OF 5.00% BE IMPOSED ON EACH MOTOR VEHICLE RENTAL FOR THE PURPOSE OF FINANCING A VENUE PROJECT, CONSISTfNG OF A NEW MULTI-PURPOSE EXPOSITION CENTER. OTIIER ADJACENT SUPPORT FACILITIES AND RELATED INFRASTRUCTURE, APPROVED BY TIIE VOTERS OF THE COUNTY ON NOVEMBER 6, 2018.

SECTION 4.

(a) On the 20th day of the month following each month in which a short-term motor vehicle rental tax is earned, the Owner of a Motor Vehicle required by this Order to collect the short-term motor vehicle rental tax shall file a report with the County showing (1) the consideration paid for all Rentals in the preceding month; (2) the amount of short- term motor vehicle rental tax collected on the Rentals; and (3) any other inforrnation the County may reasonably request in order to assist the County in properly accounting for the proper collection of the short-term motor vehicle rental tax taxes imposed by this Order.

(b) Every Owner of a Motor Vehicle required by this Order to collect the short-terrn motor vehicle rental tax shall pay short-terrn rnotor vehicle rental tax due on all Rentals in the preceding month to the County at the time of filing the report required by subsection (a) of this Section.

(c) If the 20th day of the month falls on a day other than a Business Day, the County must receive the short-term motor vehicle rental tax by the next day that is a Business Day. If the short-term motor vehicle rental tax is paid by United States mail, the date of receipt by the County is the date postmarked by the U.S. Postal Service.

(d) Each Owner of a Motor Vehicle used for Rental purposes shall keep for four years records and supporting documents (except for mileage records, which are not required by this Order to be so maintained). containing (1 ) the amount of Gross Rental Receipts received from the Rental of the Motor Vehicle and (2) the short-term rnotor vehicle rental tax imposed by this Order and paid to the County on each Motor Vehicle used for rental purposes by the owner.

SECTION 5.

(a) Any Owner of a Motor Vehicle required to collect the short-term motor vehicle rental tax imposed by this Order who fails to report when required by this Order or who fails to pay the short-term motor vehicle rental tax when due and as required by this Order. shall pay a penalty of tive percent (5%) of the amount of the short-term motor vehicle rental tax due. If the Owner of a Motor Vehicle fails to file the report or pay the short-term motor vehicle rental tax before the 30th day after the date that the report or tax payment was due, the Owner of the Motor Vehicle shall pay an additional penalty of five

Direct Testimony of Dwight Andrews PageI28 of 62 September 4, 2019 On Behalf of Andrews Intervenors Attachment DA-3-a Page 5 of 7

percent (5%) of the amount of the short-term motor vehicle rental tax due. The penalties provided by this Subsection may never be less than $5.00.

(b) A delinquent short-term motor vehicle rental tax draws interest on such short-term motor vehicle rental taxes and penalties due at the rate of ten percent (10%) per annum, beginning sixty (60) days after the date on which the short-term motor vehicle rental tax was due to the County.

(c) In addition to the amount of short-term motor vehicle rental tax, penalties and interest, the Owner of a Motor Vehicle is liable to the County for all costs and reasonable attorneys' fees incurred by the County in enforcing this Order against the Owner and in collecting any short-term motor vehicle rental tax owned by the person under this Order.

(d) An attorney acting on behalf of the County, or the Criminal District Attorney of Lubbock County, may bring suit against a person who is required to collect the short- term motor vehicle rental tax imposed by this Order and who has failed to file a tax report or pay the short-term motor vehicle rental tax when due in order to either (I) collect the short-term motor vehicle rental tax not paid or (2) enjoin the Owner of a Motor Vehicle from operating a Motor Vehicle Rental Business in the County until the short-term motor vehicle rental tax is paid or the report is filed. This remedy is in addition to all other available remedies.

SECTION 6.

ra, The Comrnissioncrs Court or the County Tax Assessor-Collector shall have the authority to establish any rules and regulations necessary to implement and collect the short-term motor vehicle rental tax, including, but not limited to, the establishment of procedures for the allocation of revenues and imposition and collection of the taxes; the development of record-keeping, reports, and filing requirements related to the levy and collection of the short-terrn motor vehicle rental tax; and the developrnent of tax collection procedures and protocols, and auditing requirements to ensure that the proper amount of taxes have been collected and deposited with the County.

(b) County staff is hereby directed to coordinate efforts with the County Tax Assessor-Collector to ensure the timely collection of the short-term rnotor vehicle rental tax and the development of procedures for the allocation of revenues and imposition and collection of the taxes; the development of record-keeping, reports, and filing requirements related to the levy and collection of the taxes; and the developrnent of tax collection procedures and protocols, and auditing requirenlents to ensure that the proper amount of taxes have been collected and deposited with the County. The County shall, upon giving reasonable notice to the Owner of a Motor Vehicle or the person operating the Motor Vehicle Rental Business, have access to all books and records necessary to enable the County or its designee to deterrnine the correctness of any report filed as required by this Order and the amount of short-term motor vehicle rental taxes due under this Order.

Direct Testimony of Dwight Andrews Page29 of 62 September 4, 2019 On Behalf of Andrews Intervenors Attachment DA-3-a Page 6 of 7

SECTION 7.

(a) If the Owner of a Motor Vehicle Rental Business that makes Rentals subject to the short-terrn motor vehicle rental tax imposed under this sells the business, the successor to the seller or the seller's assignee shall withhold an amount of the purchase price sufficient to pay the amount of short-term motor vehicle rental tax due until the seller provides a receipt from the person designated by the County to provide the receipt showing that the amount has been paid or a certificate showing that no short-term motor vehicle rental tax is due to the County.

(b) The purchaser of a Motor Vehicle Rental Business who fails to withhold an amount of the purchase price as required by this Section is liable for the amount required to be withheld to the extent of the value of the purchase price.

(c) The purchaser of a Motel Vehicle Rental Business may request that the person designated by the County to provide a receipt under Subsection (a) of this Section issue a certificate stating that no short-term motor vehicle rental tax is due or issue a statement of the amount required to be paid before a certificate may be issued. The person designated by the County shall issue the certificate or statement not later than the 60th day after the date the person receives the request.

(d) If the person designated by the County to provide the receipt under Subsection (a) of this Section fails to issue the certificate or statement within the period provided by Subsection (c) of this Section, the purchaser is released from the obligation to withhold the purchase price or pay the amount due.

SECTION 8.

The proceeds of the short-term motor vehicle rental tax shall be deposited into the Venue Project Fund and may be used only for purposes authorized by the Act. The short-term rnotor vehicle rental taxes imposed by this Order shall remain in effect until amended or rescinded by the Commissioners Court of .Lubbock County; however, the short-term motor vehicle. rental taxes imposed by this Order shall not be effective after all bonds or other obligations issued to pay the costs of the Venue Project are paid in full.

SECTION 9.

This Order shall be cumulative of all Orders of the County, except where the provisions of this Order are in direct conflict with the provisions of such other Orders_ in which case the conflicting provisions of such other Orders are hereby repealed.

SECTION 10.

The sections, parauaphs, sentences, clauses and phrases of this Order are severable. ff any portion of this Order is declared illegal or unconstitutional by the valid final judgment or

September 4, 2019 Direct Testimony of Dwight Andrews Pali* 30 of 62 On Behalf of Andrews Intervenors Attachment DA-3-a Page 7 of 7

decree of any court of competent jurisdiction, such illegality or unconstitutionality shall not affect the legality and enforceability of any of the remaining portions of this Order.

SECTION 11.

This Order shall be in full force and effect following its adoption and publication as specified herein.

PASSED AND APPROVED BY THE COMMISSIONERS COURT OF LUBBOCK COUNTY, TEXAS. THIS THE 10th DAY OF JUNE, 2019

, '461 Bill McCay, Precinct .lasçl Corley, Precinct

9 1/4iia.d Gilbert A. Flores, Precinct 3 Chad Seay, Precinct 4

Curtis Parish, County Judge

ATTEST:

• Kelly Pinion, County Clerk

APPROVED AS TO FORM:

. ', 4/.,-• /-17/ - • JeffrerA. Leuschel, cCall, Plarkhurst & Horton L.L.P.

Direct Testimony of Dwight Andrews Page731 of 62 September 4, 2019 On Behalf of Andrews Intervenors Attachment DA-3-b Page 1 of 6

ORDER PROVIDING FOR THE IMPOSITION AND LEVY OF A HOTEL OCCUPANCY TAX EQUAL TO TWO PERCENT (2.00%); PROVIDING FOR COLLECTION, REPORTENG, RECORDKEEPING, AND REMITTAL REQUIREMENTS AND PROCEDURES; IMPOSING PENALTIES FOR VIOLATIONS OF THIS ORDER; AND FURTHER PROVIDING THAT THIS ORDER IS CUMULATIVE; PROVIDING A SEVERABILITY CLAUSE; PROVIDING FOR PUBLICATION; AND PROVIDING AN EFFECTIVE DATE.

WHEREAS, Chapter 334 of the Texas Local Govermnent Code, as amended (the "Act"), authorizes the Commissioners Court to designate various sports- and community-related capital improvements as a "venue project" and to designate one or more methods of financing authorized by the Act that the County wants to use to finance the project, subject to approval of the voters in an election called for that purpose; and

WHEREAS, in accordance with requirements in the Act, on July 9, 2018, the Commissioners Court adopted a resolution authorizing the planning, acquisition, establishrnent, development, renovation and construction of a multipurpose arena and adjacent support facilities and any related infrastructure (the "Venue Project Resolution") as a venue project in accordance with the Act (collectively, the "Venue Project"), and designating each method of financing under the Act proposed to be used for the Venue Project, subject to voter approval at an election called for such purpose; and

WHEREAS, by letter dated July 26, 2018, the Texas Comptroller of Public Accounts (the "Comptroller") notified the County of the Comptroller's deterinination that approval and implementation of the Venue Project Proceedings would have no significant negative fiscal impact on state revenue; and

WHEREAS, on Aimust 20, 2018, the Commissioners Court adopted an order calling for and ordering an Election to be held on November 6, 2018 (the "Election"), at which all qualified voters of the County would have the opportunity to vote on the question of approving and implementing the Venue Project Resolution designating the multipurpose arena with adjacent support facilities and any related infrastructure as a Venue Project and•the method of financing the Venue Project under the Act; and

WHEREAS, at the Election, a majority of the voters of the County voting in the election voted in favor of the propositions authorizing the County to provide for the planning, acquisition, development, establishment, construction, renovation and financing of the Venue Project, and to impose (i) a hotel occupancy tax at a rate not to exceed two percent (2.00%), and (ii) a short-term motor vehicle rental tax not to exceed five percent (5.00%), for the purpose of financing the Venue Project, with the maximum hotel occupancy tax rate imposed from all sources in the County would be fifteen percent (15.00%) of the price paid for a room in a hotel, as verified in the proceedings, adopted by the Commissioners Court on November 15, 2018 following the canvassing of the returns and declaring the results of the Election; and

WHEREAS, in accordance with the wishes of the majority of voters of the County votinG on theropositions presented at the Elect inn ate f launty is working toward ti p.nlaiiucrunii Direct Testimony_p of Dwight Andrews Faq or 6z 414;22019 On Behalf of Andrews Intervenors Attachment DA-3-b Page 2 of 6

acquisition, development, establishment, construction, renovation and financing of the Venue Project; and

WHEREAS, the Commissioners Court anticipates issuing revenue bonds to fund the County's portion of the costs of the Venue Project (the "Public Contribution");

WHEREAS, the Commissioners Court has found and determined that it is in the best interests of the County to impose the hotel occupancy tax authorized by the voters at the Election (the "hotel occupancy tax") with the revenue from the taxes to be pledged as additional security for and payment of revenue bonds, the proceeds of which shall benefit the Venue Project.

NOW THEREFORE, BE IT ORDERED BY THE COMMISSIONERS COURT OF LUBBOCK COUNTY, TEXAS:

SECTION 1.

(a) There is hereby levied and imposed a hotel occupancy tax at the rate of two percent (2.00%), to be imposed on the full cost, excluding the amount of any other tax that may apply, of the price paid for a room in a hotel within Lubbock County, Texas, consistent with the proposition authorizing the levy and collection of the hotel occupancy tax approved at the Election and applicable provisions of the Act.

(b) The hotel occupancy tax imposed under this Section shall be calculated based on and be added to the full cost, excluding the amount of any other tax that may apply, of the price paid for a room in a hotel within Lubbock County, Texas.

(c) The hotel occupancy tax shall be collected beginning on July 1, 2019.

(d) In no event shall the hotel occupancy tax approved by the voters at the Election, together with other state and local hotel occupancy taxes collected on the price paid for a room in a hotel within Lubbock County, Texas, exceed fifteen percent (15.00%).

(e) For purposes of this Section 1, "hotel" has the meaning assigned by Section 156.001, Texas Tax Code; and "price paid for a room" does not include the cost of food served by the hotel and the cost of personal services performed by the hotel for the person except those services related to cleaning and readying the room for use or possession.

SECTION 2.

(a) Every person owning, operating, managing or controlling any hotel shall collect the hotel occupancy tax imposed by this Order on behalf of the County on every occupancy occurring on and after the effective date provided in Section 1(c) of this Order, and such persons shall report and pay the hotel occupancy tax to the County in accordance with all requirements and procedures set forth in this Order.

Direct Testimony of Dwight Andrews Pag,. 33 of 62 September 4, 2019 On Behalf of Andrews Intervenors Attachment DA-3-b Page 3 of 6

(b) Each bill or other receipt for a hotel roorn charge subject to the hotel occupancy tax imposed by this Order shall contain a statement in a conspicuous locating stating:

LUBBOCK COUNTY REQUIRES THAT AN ADDITIONAL TAX OF' 2% BE IMPOSED ON EACH HOTEL ROOM CHARGE FOR THE PURPOSE OF FINANCING A VENUE PROJECT, CONSISTING OF A NEW MULTI-PURPOSE EXPOSITION CENTER, OTHER ADJACENT SUPPORT FACILITIES AND RELATED INFRASTRUCTURE, APPROVED BY THE VOTERS OF THE COUNTY ON NOVEMBER 6, 2018.

SECTION 3.

(a) On the 20th day of the month following each month in which a hotel occupancy tax is earned, every person required by this order to collect the hotel occupancy tax shall file a report with the County showing (1) the consideration paid for all occupancies in the preceding month; (2) the amount of hotel occupancy tax collected on the occupancies; and (3) any other inforrnation the County may reasonably request in order to assist the County in properly accounting for the proper collection of the hotel occupancy taxes imposed by this Order.

(b) Every person required by this Order to collect the hotel occupancy tax shall pay the hotel occupancy tax dues on all occupancies in the preceding month to the County at the time of filing the report required by subsection (a) of this Section.

(c) If the 20th day of the month falls on a day other than a Business Day, the County must receive the hotel occupancy tax by the next day that is a Business Day. If the hotel occupancy tax is paid by United States mail, the date of receipt by the County is the date postmarked by the U.S. Postal Service.

(d) Each reniittance of a hotel occupancy tax required by this Order must contain the following statement and representation:

THE HOTEL OCCUPANCY TAX REMITTED AND PAID TO LUBBOCK COUNTY WITH THIS REPORT WAS COLLECTED PURSUANT TO THE REQUIREMENTS OF THE ORDER IMPOSING THE HOTEL OCCUPANCY TAX BY THE LUI3BOCK COUNTY COMMISSIONERS COURT

(e) As used in this Section, the term "Business Day" means a day other than a Saturday, a Sunday, or a date included on the list of legal holidays for banking purposes, which is published in the Texas Register before January 1 of each year by the Comptroller of Public Accounts, and distributed to each Texas state agency that receives reports or payments, pursuant to Section 111.053(b), Texas Tax Code.

Direct Testimony of Dwight Andrews Page,34 of 62 September 4, 2019 On Behalf of Andrews Intervenors Attachment DA-3-b Page 4 of 6

SECTION 4.

(a) Exceptions to the payment of hotel occupancy taxes set forth in Subchapter C, Chapter 156, Texas Tax Code, apply to the collection of hotel occupancy taxes ordered to be levied and collected by this Order.

(b) Those persons and entities entitled to a refund of hotel occupancy taxes under Subchapter C, Chapter 156, Texas Tax Code, may seek a refund of the hotel occupancy tax ordered to be levied and collection by this Order may seek a refund of such hotel occupancy taxes in accordance with the provisions of Subchapter C, Chapter 156, Texas Tax Code.

SECTION 5.

(a) Any owner of a hotel who fails to report when required by this Order or who fails to pay the hotel occupancy tax when due and as required by this Order, shall pay a penalty of five percent (5%) of the amount of the hotel occupancy tax due. If the owner fails to file the report or pay the hotel occupancy tax before the 30th day after the date that the report or tax payment was due, the owner shall pay an additional penalty of five percent (5%) of the amount of the hotel occupancy tax due.

(b) Delinquent hotel occupancy taxes and accrued penalties draw interest at the rate of ten percent (10%) per annum, beginning sixty (60) days after the date on which the hotel occupancy tax as due to the County.

(c) In addition to the amount of hotel occupancy tax, penalties and interest, the County shall be entitled to all its costs and reasonable attorneys' fees incurred in enforcing this Order against the person owning, controlling, operating or managing a hotel and in collecting any hotel occupancy tax owned by the person under this Order.

(d) An attorney acting on behalf of the County, or the Criminal District Attorney of Lubbock County, rnay bring suit against a person who is required to collect the hotel occupancy tax imposed by this Order and who has failed to file a tax report or pay the hotel occupancy tax when due in order to either (1) collect the hotel occupancy tax not paid or (2) enjoin the person from operating a hotel in the County until the hotel occupancy tax is paid or the report is filed. This remedy is in addition to all other available remedies.

(e) The Commissioners Court or the County Tax Assessor-Collector shall have the authority to establish any rules and regulations necessary to implernent and collect the taxes, including, but not limited to, the establishment of procedures for the allocation of revenues and imposition and collection of the taxes; the development of record-keeping, reports, and filing requirements related to the levy and collection of the taxes; and the development of tax collection procedures and protocols, and auditinv, requirements to ensure that the proper amount of taxes have been collected and deposited with the County. Direct Testimony of Dwight Andrews Page 2 5 of 62 September 4, 2019 On Behalf of Andrews Intervenors Attachment DA-3-b Page 5 of 6

(f) County staff is hereby directed to coordinate efforts with the County Tax Assessor-Collector to ensure the timely collection of the taxes and the development of procedures for the allocation of revenues and imposition and collection of the taxes the development of record-keeping, reports, and tiling requirements related to the levy and collection of the taxes; and the development of tax collection procedures and protocols, and auditing requirements to ensure that the proper arnount of taxes have been collected and deposited with the County.

SECTION 6.

(a) If the person who is liable for the payment of the hotel occupancy tax under this Order is the owner of a hotel and seHs the hotel, the successor to the seller or the seller's assignee shall withhold an amount of the purchase price sufficient to pay the arnount of hotel occupancy tax due until the seller provides a receipt from the person designated by the County to provide the receipt showing that the amount has been paid or a certificate showing that no hotel occupancy tax is due to the County.

(b) The purchaser of a hotel who fails to withhold an amount of the purchase price as required by this Section is liable for the amount required to be withheld to the extent of the value of the purchase price.

(c) The purchaser of a hotel may request that the person designated by the County to provide a receipt under Subsection (a) of this Section issue a certificate stating that no hotel occupancy tax is due or issue a statement of the amount required to be paid before a certificate may be issued. The person designated by the County shall issue the certificate or statement not later than the 60th day after the date the person receives the request.

(d) If the person designated by the County to provide the receipt under Subsection (a) of this Section fails to issue the certificate or statement within the period provided by Subsection (c) of this Section, the purchaser is released from the obligation to withhold the purchase price or pay the amount due.

SECTION 7.

The proceeds of the hotel occupancy taxes shall be deposited into the Venue Project Fund and may be used only for purposes authorized by the Act.

SECTI()N 8.

This Order shall be cumulative of all Orders of the County, except where the provisions of this Order are in direct conflict with the provisions of such other Orders, in which case the conflicting provisions of such other Orders are hereby repealed.

Direct Testimony of Dwight Andrews Pagy6 of 62 September 4, 2019 On Behalf of Andrews Intervenors

Attachment DA-3-b Page 6 of 6

SECTION 9.

The sections, paragraphs, sentences, clauses and phrases of this Order are severable. If any portion of this Order is declared illegal or unconstitutional by the valid final judgment or decree of any court of cornpetent jurisdiction, such illegality or unconstitutionality shall not affect the legality and enforceability of any of the remaining portions of this Order.

SECTION 10.

This Order shall be in full force and effect following its adoption and publication as specified herein.

PASSED AND APPROVED BY THE COMMISSIONERS COURT OF LUBBOCK COUNTY, TEXAS, THIS THE le DAY OF JUNE, 2019

Jas Corley, Pre met 2 "Aa iilbert A. Flores, Precinct 3 Chad Seay, Precinct 4

Curtis Parish, Coty Judg,e

ATTEST:

Kelly Pin 'County Clerk

APPROVED AS TO FORM:

Jeffrey, A. Leusehel, MCal1,tiarkhurst & Horton L.L.P.

Direct Testimony of Dwight Andrews Page637 of 62 September 4, 2019 On Behalf of Andrews Intervenors Attachment DA-4 Newspaper Articles on the Lubbock County Exposition Center

Direct Testimony of Dwight Andrews Page 38 of 62 September 4, 2019 On Behalf of Andrews Intervenors Attachment DA-4-a Lubbock County Expo Center: We will answer all questions before early voting l Lubbock Lights Page 1 of 3 LUBB CK LIGHTS The right stuff to know for Lubbock

LATFST NFWS punting classes with Flatland Calvary, playing Sunday Bill's Best Bets: Blue Light takes

Lubbock County Expo Center: We will answer all questions before early voting Ily Randy Jordan, Chairman of the Lubbock County Expo Center Steering Committee on October 2. 2018

As Chairman of the Lubbock County Expo Center Steering Committee (LCEC), and I'd like to take the time to point out a few key factors about our project — and in reflection of a recent Lubbock Lights article.

First. I'd like to commend Lubbock Lights on putting the discussion before you. The LCEC supports a full and active public dialogue about this project. We believe the project and the way it will be implemented will stand the test of public scrutiny.

No government involvement.

Direct Testimony of Dwight Andrews Page 39 of 62 September 4, 2019 On Behalf of Andrews Intervenors https://www.lubbocklights.com/lubbock-county-expo-center-we-will-answer-all-questions-before-early-voting/ Attachment DA-4-a Lubbock County Expo Center: We will answer all questions before early voting I Lubbock Lights Page 2 of 3 What's most important is that this project — and its long-term management — IS DIFFERENT. It is different in its organization and its commitment from the very beginning to be independent of the county budget.

Learning from the management of past facilities, we will have in place a 501(c)3 Board of members who are stakeholders in our community. Their sole focus is to plan, design, build and ultimately oversee the long-term maintenance and operation of this project. Board members will serve for specified terms. There will be no lifetime appointments.

By entrusting the management to a non-profit board of directors, we guarantee there will be NO government involvement, and NO increase in property taxes. Period.

We will make that announcement prior to Early Voting.

Significant progress has been made in the endowment and selling of naming rights to insure the taxpayer will never become liable for ongoing maintenance and operation cost.

The community has a tremendous curiosity — and rightly so — as to what this venue will cost, and where it will be located. We will make that announcement prior to Early Voting.

We are on schedule and will deliver this information on time. A well-planned conversation with committees like rodeo and livestock have taken place to be sure we're building the right facility. Additionally, a review of other similar facilities has been conducted to be sure we build the right size.

Early voting begins Oct. 22

Currently, we are reviewing numbers from prospective builders and proposals on properties suitaliiitefaettrisniattatit0Antron are now ihattitofirrfil stages of making the rfghtnlitedsR9h9and On Behalf of Andrews Intervenors https://www.lubbocklights.com/lubbock-county-expo-center-we-will-answer-all-questions-before-early-voting/ Attachment DA-4-a Lubbock County Expo Center We will answer all questions before early voting I Lubbock Lights Page 3 of 3 we will announce that decision prior to early voting.

Voters can go to any United Supermarkets beginning Oct. 22 to vote YES for Proposition A, the Lubbock County Expo Center project. Election Day is Nov. 6.

We believe when you see the result of the thoughtful work of this committee you will agree on the need and on the solution we will present.

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Early voting begins tomorrow ... here's where you can cast your ballot

Direct Testimony of Dwight Andrews Page 41 of 62 September 4, 2019 On Behalf of Andrews Intervenors https://www.lubbocklights.comilubbock-county-expo-center-we-will-answer-all-questions-before-early-voting/ Attachment DA-4-b Y'all have questions about Lubbock County Expo Center ... let's talk answers l Lubbock Lights Page 1 of 5 IAMB CK LIGHTS The right stuff to know for Lubbock

LATEST NEWS

Y'all have questions about Lubbock County Expo Center ... let's talk answers By Randy Jordan, Chairman of the LCEC Steering Committee on October 12, 2018

On Behalf of Andrews Intervenors https://www.lubbocklights.com/questions-about-lubbock-county-expo-center-lets-talk-answers/ Attachment DA-4-b rall have questions about Lubbock County Expo Center ... let's talk answers Lubbock Lights Page 2 of 5 A few weeks ago on Lubbock Lights questions were asked about the Lubbock County Expo Center project which would appreciate your yes vote on Prop. A in the upcoming election.

Early voting begins Oct. 22 and Election Day is Nov. 6.

Before I answer those questions and others we've heard, please let me tell you the three main reasons I believe in this project and honored to chair this effort:

1.The vote of May 5 allowing the city of Lubbock to give the Coliseum to Texas Tech created a need. 2. We're doing this without any of your property tax dollars. 3. Most important is the economic impact of this facility is infinite. People will visit the Expo Center for many events. They will stay in motels here, shop here, eat here and buy gas here. The first year economic impact of the ount \ I Apo ( enter was $1 million and $10 million by the tenth year.

Now for answers to the questions posed by the Sandstorm Scholar — Scott Mann — and answers to other questions you might have before your cast your vote.

On a large piece of land northeast of North Loop 289 and University Avenue — or more specifically, northeast of the Stripes at the northeast corner of the access road and University Avenue.

t.tt: 1 j. t

Not more than $50 million to be funded by a 2 percent increase in the Hotel Occupancy Tax — know as the HOT tax — and an increase in the tax on car rentals not to exceed 5 percent. The $50 million is based on three estimates from builders to cover an arena, exhibit hall and warm-up areas. The annual cost is $2.6 million over 30 years and our estimates of the revenue from those taxes is $2.8 million a year.

What about othcr cost d will evertušy taxpayets ëšav to Suppo rt this proiect?

We've put together a $10 million endowment which will act as a financial firewall. Our committee pledged from our first day we would put into place a non-profit board of directors to guarantee this would always be a third-party endeavor and county government would not be responsible for ongoing cost and management. We just needed county government's help to let voters decide.

Direct Testimony of Dwight Andrews Page 43 of 62 September 4, 2019 On Behalf of Andrews Intervenors https.//www.lubbocklights.com/questions-about-lubbock-county-expo-center-lets-talk-answers/ Attachment DA-4-b Y'all have questions about Lubbock County Expo Center ... let's talk answers I Lubbock Lights Page 3 of 5 iS dharve?

Here's the rest of our Steering Committee:

• Berhl Robertson, former LISD superintendent, retired • Rob Allison, LEPAA • Tim Collins, CHR. LEPAA & LEDA • Bret Lamkin, Bledsoe Insurance, past president LCJLSA • Dr. Janet Mitchell • Mark Putman, ABC Rodeo, AMBUCS • Greg Schilling, Back to Nature, LCJLSA • Ray Short, ABC Rodeo, AMBUCS • John Weathers, Cooper FFA, retired • Jay Winter, Wintex Farms • Stanley Young, Lubbock County Extension, retired

We're wrapping up who will be on our non-profit board of directors who will oversee this.

That addresses the questions Scott asked — but there are many others and in those answers, I'll outline more details to further answer Scott's questions.

i.fro we; ricy( .“-,Ine-thing like this itisi 1(.. Mg: FiOd&O

Great question. The ABC Rodeo was one of the only events still using the Coliseum and not because the building was perfect. It was not close to being the right facility, but it was all that was available. The Coliseum was never built for rodeos. The floor was too small — it was built for basketball. I know some people have fond memories of the Coliseum. But its time has come and gone. My dad played basketball in the New Deal High School gym in the late 1940s. That gym has been replaced by a more modern, larger facility to meet current needs. The 6,000-seat Expo Center will attract the ABC Rodeo, other "dirt floor" and "solid floor" events. It will attract concerts too small for United Supermarkets Arena or too big for the Civic Center or the new Buddy Holly Hall. It will be a great place for monster tractor events, motor cross, gymnastics, wrestling, hockey, livestock judging and equine events.

Why such a rush to get this passed?

Looking at some of the comments on the Lubbock Lights Facebook page, there are people who feeblikt ileitirismayinfihNjigitt Ikeda:Noe we have rreltqfkklqn2the answers. I hope this cg-iiinbgeili2 ls9es On Behalf of Andrews Intervenors https://www,lubbocklights.com/questions-about-lubbock-county-expo-center-lets-talk-answers/ Attachment DA-4-b Y'all have questions about Lubbock County Expo Center ... let's talk answers l Lubbock Lights Page 4 of 5 most, if not all concerns. But we felt urgency following the May 5 vote to abandon the Coliseum because many people wanted to know what would replace it. Also, a lot of our supporters have wanted this type of facility long before May 5.

Why did you pick the site you did?

Randy Jordan at LCEC news conference. We looked at many areas in Lubbock County. This was our preferred location because it's close to Texas Tech and to hotels and motels off the Loop and 1-27. Also, it was good access for 6,000 people and 3,000 cars to get in and out for events. We also needed enough land for now and in the future. The Brazos County Expo Center started with 150 available acres. They are in phase four now and using 100 of those acres. This site makes sense now and in the future. Stanley Young and Jay Winter have seen facilities like these around the United States and the world. They know that's needed and have helped us form our plans.

Do you own the land?

Not yet — the agreements are close to being final.

That brings up a point. We're giving you a lot of answers today, but we don't have an answer to every detail yet until after the election for a logical reason. There are some things we could know further but would have to spend a decent amount of money before we know if voters will say yes. What we've done is put a business plan in place that gives us an excellent chance to be successful. But we're walking before running.

It's still a tax!

Yes it is. But consider these points.

• Unless you spend a night in a Lubbock motel or rent a car here, it's a tax you don't pay. • But you pay it every time you travel. For those of you who travel, you're paying the tax and benefitting another community. • If Prop. A passed, our already-low HOT tax rate will go from 13 percent to 15 percent. That's similar to Corpus Christi, Austin, Midland, Odessa and Abilene and still lower that many other Texas cities. Amarillo's jumps to 17 percent the beginning of next year. Direct Testimony of Dwight Andrews Page 45 of 62 September 4, 2019 On Behalf of Andrews Intervenors https.//www.lubbocklights.com/questions-about-lubbock-county-expo-center-lets-talk-answers/ Attachment DA-4-b Y'all have questions about Lubbock County Expo Center ... let's talk answers I Lubbock Lights Page 5 of 5 • Again, we're not asking to do this through property taxes. But similar facilities in other Texas counties have been built through property taxes or a mix of property and HOT taxes. We're not doing that!

Antak if titeici,, mp.ior econornit. downturn ?ayes s: nes rS1 icsponsil.)1E., for the f;-Icitity?

Some people want absolutes and ask about "what ifs." We've put a business plan in place with the endowment as a safety net that gives us the best opportunity to be successful and make Lubbock better.

Let me sum this up.

My background is in agriculture. I grew up showing pigs in Lubbock County when I was 9 years old. I was an assistant county extension agent and a county extension agent. I have a degree in animal science and planned to become a veterinarian. But I met a beautiful girl in college and ended up in banking. My children and grandchildren are involved in 4H and FFA. I'm in favor of anything involving kids, that can educate people about agriculture, plus benefit and improve Lubbock.

Remember — not everyone thought United Supermarkets Arena was a good idea initially but I don't know anyone who thinks it should go away. The McDougals were criticized for their North Overton area plans — would you like to go back to the way it was?

We have another chance to make a valuable improvement to our community. I hope this answers your questions and you will vote yes on Prop. A.

Direct Testimony of Dwight Andrews Page 46 of 62 September 4, 2019 On Behalf of Andrews Intervenors https://www.lubbocklights.com/questions-about-lubbock-county-expo-center-lets-talk-answers/ Attachment DA-4-c Location and other details revealed for proposed expo center pag.1 sf

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LOCAL NEWS Location and other details revealed for proposed expo center 0000

by: Staff l [email protected] I Posted: Oct 10, 2018 / 03:47 PM CDT / Updated: Nov 5, 2018 / 05:40 PM CST

Supporters of the Lubbock County Expo Center Steering Committee revealed details about the proposal during a news conference Wednesday afternoon.

The chairman of the committee, Randy Jordan, said voters have many questions ahead of a November 6 election which includes a ballot initiative for a proposed Lubbock County Expo Center.

Related Story: Some issues yet to be decided in proposed expo center

Voters can choose yes or no on a Lubbock County hotel/motel tax to fund the project. The hotel occupancy tax (HOT) log fejs.mylUNWARcilmrcent in Lutkhic4c7 of 62 September 4, 2019 On Behalf of Andrews Intervenors https://wwweverythinglubbock.cominews/local-news/location-and-other-details-revealed-for-proposed-expo-center/ Attachment DA-4-c Location and other details revealed for proposed expo center Pa 0 m 89° ararlubbocjs,

Supporters have put together a 501c3 nonprofit organization to oversee the operations of an expo center, if voters approve.

"This project is by citizens, and for citizens," Jordan said Wednesday in the news conference.

The proposed location is North University Avenue north of the Loop 289 access road (near X-Fab). For now, the cost of construction is estimated to be $50 million, but the committee hopes to bring down the cost to $40 million.

If approved, the facility would replace the Lubbock Municipal Coliseum for dirt events such as the ABC Pro Rodeo. City of Lubbock voters in early 2018 approved an initiative to abandon the coliseum. It is now the property of Texas Tech and it will be demolished in 2019.

Jordan said if voters approve the new HOT on November 6, then Lubbock's HOT would be in line with other cities in Texas including Corpus Christi, Austin, Midland, Odessa and Abilene. He said the Lubbock HOT would still he lower than many other cities in Texas.

"By entrusting the management to a 501c3 board of directors," Jordan said, "we guarantee no governmental control, and no increase ... in property taxes:'

"To even further the guarantee, we are creating an endowment, a safety net if you will, in the amount of at least $10 million," Jordan said. The money comes from anonymous donors and would produce $300,000 per year if needed.

Among the events would be the ABC Pro Rodeo, motocross, monster trucks, wrestling, livestock shows, gymnastics and concerts. It would look for mid-size events that do not fill the United Supermarkets Arena but are too big for the Lubbock Memorial Civic Center, according to Jordan.

Copyright 2019 Nexstar Broadcasting,,Inc. rights reserved. This matenal may.eot be published—broadcast, rewritten, or redistributed. Direct Testimony of Dwight Andrews rage 45 ot BZ September 4, 2019 On Behalf of Andrews Intervenors https://www.everythinglubbock.cominews/local-news/location-and-other-details-revealed-for-proposed-expo-center/ Attachment DA-4-d The vision and next steps for the Lubbock County Expo Center Page 1 of 3

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LOCAL The vision and next steps for the Lubbock County Expo Center

COVERAGE YOU CAN COUNT ON NEXT STEPS FOR LUBBOCK COUNTY EXPO CENTER

The vision and next steps for the Lubbock County Expo Center

By Shaley Sanders l November 1, 2018 at 1:56 PM CST - Updated November 7 at 10:45 PM LUBBOCK, TX (KCBD) - It is a plan that came together pretty quickly.

In May, citizens voted to abandon the Lubbock Municipal Auditorium and Coliseum, leaving major events like the ABC Rodeo without a home.

"Our group came together and we said, 'What do we need? What would benefit Lubbock?'" said Randy Jordan, chairman of the Lubbock County Expo Center Steering Committee.

The group decided on a multipurpose dirt arena that could serve as a venue for concerts, sporting events, horse shows, equipment shows, professional rodeos, competitive livestock events and more.

Direct Testimony of Dwight Andrews Page 49 of 62 September 4, 2019 On Behalf of Andrews Intervenors https://www.kcbd.com/2018/11 108/vision-next-steps-lubbock-county-expo-centerl Attachment DA-4-d The vision and next steps for the Lubbock County Expo Center Page 2 of 3 "Ouite honestly, I've never been a politician, I've been a banker for 40 years and I look at plans, I look at things all the time," Jordan said. "We did as a good a job as we knew how based upon numbers to get an estimate of the construction cost, the land cost, of all of the architecture costs and the furniture fixture and equipment it is going to take to house the arena the exhibit hall and all of these things. All of that together will be within that $50 million range," Jordan said.

Jordan said the steering committee used the City of Lubbock's 2017 numbers to get an idea of what the income stream would look like with a 2% increase in the Hotel Occupancy Tax and up to a 5% increase on rental car tax.

The tax increases fell under Proposition A on Lubbock County voters' Midterm Elections ballot, which passed with 65% of voters in favor of the proposition.

Jordan said the car rental tax increase would require legislation, so the major income for this project will come from the Hotel Occupancy Tax.

"For the people to say yes to this step, now gives us that income where by now we go to the commissioner's court and say 'Guys, we need to build this. So we need to do a revenue bond, we've got the income to take care of it. We will be working to put our endowment together. Those pledges are already out there, the commitments and so forth," Jordan said.

When determining what the arena would look like, the steering committee said it took into consideration what venues Lubbock already offers and how many attendants ABC Rodeo drew in.

"We felt like we needed to do something that Lubbock doesn't have. We've got the United Supermarkets Arena that will take 15,000 for the big concerts, but we didn't have anything in between. We've got some venues that will take care of 2,500. We thought 6,000. The ABC Rodeo, they have been doing about 4,500 people for last four or five years. With a new venue, we've said it's going to grow, so we have to make room for that," Jordan said.

Jordan said the plan right now is to have 6,000 permanent seats with an additional 1,000 to 1,500 on the floor.

He said the plan is for the venue to include an exhibit hall that will serve as the home of the Lubbock County Junior Livestock Show and other facilities to accommodate horses.

Jordan said the coliseum seated 8,000 and could hold another 1,000 on the floor, and if that many seats are needed at the new facility, the property will be large enough to accommodate an expansion.

"The footprint we are talking about will take a minimum of 50 acres," Jordan said.

Jordan said they are hoping to built the facility on 80 to 100 acres so there is plenty of room for trailers to move in and out, which is why they chose the property off of North Loop 289 and University. Direct Testimony of Dwight Andrews Page 50 of 62 September 4, 2019 On Behalf of Andrews Intervenors https://www.kcbd.com/2018/11/08/vision-next-steps-lubbock-county-expo-center/ Attachment DA-4-d The vislon and next steps for the Lubbock County Expo Center Page 3 of 3 "Accessibility, affordability, visibility, all of those things came into play," Jordan said.

Now that Proposition A has passed, Jordan said the real work begins.

Copyright 2018 KCBD. All rights reserved.

Direct Testimony of Dwight Andrews Page 51 of 62 September 4, 2019 On Behalf of Andrews Intervenors https://www.kcbd.com/2018/11/08/vision-next-steps-lubbock-county-expo-center/

Attachment DA-4-e What to expect for the future Lubbock County Expo Center Page 1 of 3 KCBID,Ik

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NEWS What to expect for the future Lubbock County Expo Center

COVERAGE YOU CAN COU LUBBOCK COUNTY EXPO CENTER UPDATE

Expo Center organizers: building will be a 'process'

By Julie Castan ed a l January 3, 2019 at 7:06 PM CST - Updated January 3 at 7:06 PM LUBBOCK, TX (KCBD) - While still in the early stages, may see the Lubbock County Expo Center by 2021.

On November 6, 2018, Lubbock County voters approved Proposition A to build the arena.

Randy Jordan is the Chairman of the Steering Committee for the Lubbock County Expo Center, and he says when the proposition was passed, the approval from voters created an income stream. "Now, we're waiting on the comptroller of the currency to provide us information about what their feedings are, what their estimates are, what the revenue is going to be; based upon 2018 numbers, Hotel/motel occupancy numbers, so that process is going in."

Jordan says patience is the keyword: "There is a process that has to be followed through when working with county. It's our hope and desire county will be in coordinating role, and certainly in the oversight role in moving forward."

Direct Testimony of Dwight Andrews Page 52 of 62 September 4, 2019 On Behalf of Andrews Intervenors https://www.kcbd.com/2019/01/04/what-expect-future-lubbock-county-expo-center/ Attachment DA-4-e What to expect for the future Lubbock County Expo Center Page 2 of 3 The comptroller's office is expected to have the numbers back to the county by the end of the month, or early February. No date is promised. The comptroller's numbers will then be taken to a bond company who will advise the county on the size of the bond issue this revenue stream will support.

While some designs have yet to be implemented, Jordan says that they do have a preferred location, on North University and North Loop 289.

Wilqht E Iernentary SCh.00l

The preferred location for Lubbock County Expo Center.

18 locations inside the city limits were looked at, but Jordan says the Expo Center will need 80-100 acres and needs good accessibility to roads in order for visitors to get in and out of the venue location. The preferred location is currently a 320 acre cotton field.

Jordan explained how the Steering Committee is making efforts to have the project completed over the next 3 years. "Our group is continuing to talk and is continuing to talk to architects and continuing to think about what kinds of designs we want. What kind of buildings we want. What we actually need and want. Some of that was done prior to the election as we went forward to share it with the community about what we've envisioned that the expo center would involve. The type of the facilities it would be. The type of events that could be held there. We're continuing to work along those lines. While maybe not as rapidly as some people would like. We've got to be patient in coordinating this with the county so that we can get this moving forward."

Jordan also says that they're still keeping their pledge to voters. "Bottom line is, this was our pledge (steering committee to voters) is we were not asking the county to provide any money. No tax dollars were going to be used in this project so once that revenue is determined, and once we say okay this is exactly what we would like to build."

The Lubbock County Expo Center board members have not been chosen yet and hope to have an announcement by the end of the first quarter of 2019. Direct Testimony of Dwight Andrews Page 53 of 62 September 4, 2019 On Behalf of Andrews Intervenors https://www.kcbd.com/2019/01/04/what-expect-future-lubbock-county-expo-center/ Attachment DA-4-e What to expect for the future Lubbock County Expo Center Page 3 of 3 "I want the public to know that we're going to work within the framework that the county lets us work in. To coordinate with those guys. To work with those guys. To help and be there and see this brought to life."

Copyright 2019 KCBD. All rights reserved.

Direct Testimony of Dwight Andrews Page 54 of 62 September 4, 2019 On Behalf of Andrews Intervenors https://www.kcbd.com/2019/01/04/what-expect-future-lubbock-county-expo-center/ Attachment DA-4-f Lubbock County Expo Center went from urgent to stalled - News - Lubbock Avalanche-Journal - Lubbock, TX Page 1 of 3

LUBBOCK AVALANCHE-JOURNAL lubhockonline.corn MEDIA

Lubbock County Expo Center went from urgent to stalled By Matt Dotray / A-J Media Posted Feb 16, 2019 at 12:01 AM The Lubbock County Expo Center was pitched as an immediate need — we were told with voter approval it would be on a fast-track to be built.

Voters did approve it in November, but three months after the fact there's been little to no movement. Voters approved a 2 percent increase to the hotel/motel occupancy tax to fund the multipurpose dirt arena, but the county hasn't even directed the hotels to start collecting the tax.

Randy Jordan, chairman of the steering committee, said they're moving as fast as county officials allow. County officials say they're doing their due-diligence in making sure no expenses are put on Lubbock taxpayers. It seems it could be years before the expo center opens. Meanwhile, Texas Tech will demolish the Lubbock auditorium/coliseum (what the expo center is replacing) as soon as the 2019 ABC Rodeo is completed in April.

"I'm very confident in this project, but we're still a long way away from turning dirt on this, for sure," Lubbock County Judge Curtis Parrish said Friday. "It's a process to go from a vote to actual construction. There's all these things you have to do. From my point of view, I just want to make sure it's suitable for Lubbock, and that it meets Lubbock's needs for the next 50 years."

Discussion surrounding the expo center the past .90 days has revolved around funding. Commissioner Jason Corley said he was told by the bond counsel working on the countys road bond that the 2 percent hotel tax could only support a roughly $25 million bond, which is half of what the steering committee campaigned on.

Jordan believes $25 million is an extremely conservative estimate.

"That number was ultra, ultra, ultra conservative," Jordan said. "That number has not been validated. To say it's going to be $25 million based on what we know to be the numbers coming from 2018 — to say it's going to be $25 million is laughable, honestly."

County officials expect specific numbers next month from the state comptroller's office on just how much this 2 percent hotel tax can fund. This is being called the next step, and once those numbers come in the county and committee will start discussing how much Direct Testimony of Dwight Andrews Page 55 of 62 September 4, 2019 On Behalf of Andrews Intervenors https://www.lubbockonline.com/news/20190216/lubbock-county-expo-center-went-from-urgent-to-stalled Attachment DA-4-f Lubbock County Expo Center went from urgent to stalled - News - Lubbock Avalanche-Journal - Lubbock, TX Page 2 of 3 debt to issue and over how long.

Jordan has been looking over the total hotel revenues in the first three quarters of 2018. Using the average of the first three quarters as the fourth quarter, the total hotel revenue in 2018 is $119.6 million. Two percent of that, which is the added tax for the expo center, is $2.4 million a year. Jordan said a $35 million bond with a 30-year payment schedule with 4 percent interest, annual payments are $2 million. He believes the tax can support a $45 million bond.

Jordan also said this doesn't factor in growth or the possible rental car tax that's still up in the air. So he doesn't see how the numbers from the comptroller will just be $25 million But as Corley points out, no lender is going to lend money based on maximum revenue.

With that said, the lowest, most conservative, bond Jordan envisions is $35 million.

"We've always known that there would be a difference between the cost and what the bond was going to be," Jordan said. "There's some things we've done to save money. If, if - big if - it's too low, we'll go out in the private sector. It's not a deal killer, it just means we have to work harder. My steering committee has to go out and raise that gap."

Jordan said the expo center is still on track to be built. He just said it's moving slower than they had hoped.

"We're still on track," Jordan said. "This $25 million talk is not shaking us at all."

Parrish said once the county knows how much the 2 percent tax can support (which should be in several weeks), he's leaving it to the steering committee to have a plan on how to proceed forward in things like acquiring the tax, hiring an architect, finding land, and choosing a builder.

"Right now we're wondering how much money will we be able to at least put toward this project," Parrish said. "Right now, I've charged Randy Jordan and his committee to go out and look for more private money — get as much as you can in donations and partnerships with other entities. We have to make sure our finances are in place before we can go out to site selection, architecture selection, design, and things like that."

Corley, who was the first to say the tax could only support a $25 million bond, said everything is still on the table. Corley predicts the hotel tax will only support annual debt payments of $1.5 million a year, for a $25 million bond.

"The Lubbock County voter got promised by the expo group, not the county, that they were going to build a structure for $50 million," Corley said. "Based on the money we have right now, that's not the case. We can't build that. That's where we're at. We're waiting to see that exact_doll,ar amount they can biLsgefsig Direct testimony ot uwignt Anarews *of 62 September 4, 2019 On Behalf of Andrews Intervenors https://www.lubbockonline.com/news/20190216/lubbock-county-expo-center-went-from-urgent-to-stalled Attachment DA-4-f Lubbock County Expo Center went frorn urgent to stalled - News - Lubbock Avalanche-Journal - Lubbock, TX Page 3 of 3 Corley said most of Lubbock County wants something built, and commissioners are trying to determine what that something is. Corley and Parrish both said they're committed to building an expo center, and having it operational, in a way that doesn't impact the Lubbock tax payers.

Commissioner Gilbert Flores said the same, adding the county should be involved as little as possible when it's up and running.

Corley said he doesn't want to commit a dime until he's seen building plans and knows exactly how much it'll cost and how much the tax can support.

Lubbock County is now pursuing a $99.6 million bond election for road improvement projects. Several commissioners are saying it's being rushed, and based on some public comment at the last commissioners meeting, citizens are drawing a comparison between the two projects.

"I hope the comparison people see in both these projects is they are long-term, future growth issues for Lubbock," Parrish said Friday. "The (Lubbock Municipal) Coliseum needed to be replaced and we need something for the future. Our roads bond package is looking ahead. It's seeing not just what we need today, but what we need for the next 25 years."

Direct Testimony of Dwight Andrews Page 57 of 62 September 4, 2019 On Behalf of Andrews Intervenors https://www.lubbockonline.com/news/20190216/lubbock-county-expo-center-went-from-urgent-to-stalled Attachment DA-4-g Lubbock County Expo Center taxes could come in July - News - Lubbock Avalanche-Journal - Lubbock, TX Page 1 of 2

LUBBOCK AVALANCHE-JOURNAL luckonline.corn MEDIA

Lubbock County Expo Center taxes could come in July By Matt Dotray / A-J Media Posted May 28, 2019 at 6:20 PM Updated May 28, 2019 at 6:20 PM County Commissioners are planning to start collecting the taxes levied to pay for the future Lubbock County Expo Center on July 1.

Once the county starts collecting the taxes, it'll have one year to issue the bonds meant to construct the facility that will house the ABC Pro Rodeo and other equestrian events. Based on discussion during Tuesday's commissioner's court meeting, the county intends to issue the bonds about nine months after collecting the tax, which would about March 2020. Construction is estimated to take about 18 months, so if all goes as followed, the venue could potentially be open for the ABC Rodeo in 2021.

Commissioners were scheduled to vote Tuesday on the order calling for the tax collection, but ended up postponing the vote until the next meeting in June. Tabling the decision caused some on the expo center's steering committee to storm out of the meeting, but commissioners afterwards said the county needed more time to make sure details, such as fines for violations, are clear and the wording is correct. Regardless, Ronnie Keister, the county's tax collector, said he will be notifying hotels and rental car facilities about collecting the tax in July.

Lubbock County will add and collect a hotel/motel occupancy tax of 2 percent, and a vehicle rental tax of 5 percent. These two tax increases were approved by voters in November 2018, with about 66 percent of voters supporting the tax.

The vote was seven months ago, and the county is about set to put the wheels in motion.

"We'll start collecting that tax July 1," County Judge Curtis Parrish said after the meeting Tuesday. "Once we start collecting that, we'll have one year to issue those bonds. One year to pull the entire thing together — get the final plans for the venue itself, the location, and the maintenance and operation plans going forward. The clock starts ticking whenever we start collecting that tax."

Hotels, motels, short-term rental houses like Airbnb, and rental car facilities will all be forced to collect the tax and send it to the county. The county will approve various penalties, reporting requirements, and set the dates for when the levy is collected.

Direct Testimony of Dwight Andrews Page 58 of 62 September 4, 2019 On Behalf of Andrews Intervenors https://www.lubbockonline.com/news/20190528/lubbock-county-expo-center-taxes-could-come-in-july Attachment DA-4-g Lubbock County Expo Center taxes could come in July - News - Lubbock Avalanche-Journal - Lubbock, TX Page 2 of 2 Discussion surrounding the expo center since voters approved it has largely revolved around funding, and how much the tax could support. Some on the commissioners court believe the 2 percent hotel tax will only support a roughly $25 million bond, which is half of what the steering committee campaigned on. The steering committee previously said $25 million is extremely conservative and that a $35 million project is more realistic. Still, the committee was discussing a nearly $50 million facility before the election. The committee believes private money will be involved in the construction, as well.

Parrish said once the county starts collecting the tax, it will have a better picture as to how much it'll raise. Members of the commissioners court said those first months of collecting the tax will be telling as it relates to how much the the bond will be.

Keister told the county commissioners he will begin notifying the businesses about the tax collection. Both sources of revenue will deposited in the county's venue project fund.

Leaders of the project still aren't sure how a new federal law impacts the rental car tax — but they're moving forward with confidence.

A new provision in the Federal Aviation Administration Reauthorization Act, which passed into law in Oct. 2018, says taxes, fees or charges cannot be placed on any businesses located at a commercial service airport, or operating as a permittee of such an airport, unless the revenue from those charges is wholly used for airport purposes. The county believes it can impose the tax on rental car facilities at the airport because rental cars operate throughout the county, not just the airport.

The vote on Tuesday Was delayed until the next meeting, which is schedule for Monday, June 10.

At the last commissioners meeting, Lubbock County entered into agreements with Hilltop Securities and McCall, Parkhurst & Horton for professional services related to the Venue Tax Revenue Bonds.

Direct Testimony of Dwight Andrews Page 59 of 62 September 4, 2019 On Behalf of Andrews Intervenors https://www.lubbockonline.com/news/20190528/lubbock-county-expo-center-taxes-could-come-in-july Attachment DA-5 Photographs and Aerial Images of the Candle Creek Property

Direct Testimony of Dwight Andrews Page 60 of 62 September 4, 2019 On Behalf of Andrews Intervenors Attachment DA-5-a. Aerial image showing entire Candle Creek Property and bordering roads, including North Loop 289 Frontage Road at the Property's Southern Border. From Google Maps

Direct Testimony of Dwight Andrews Page 61 of 62 September 4, 2019 On Behalf of Andrews Intervenors Attachment DA-5-b. Picture taken from the North Loop 289 Frontage Road looking west and showing the southern portion of Candle Creek Property on the right (north) side of the road. Image from Google Maps Street View.

Direct Testimony of Dwight Andrews Page 62 of 62 September 4, 2019 On Behalf of Andrews Intervenors