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HomeMy WebLinkAbout(03) 09/23/2024 SPECIAL MEETING SPECIAL MEETING — September 23, 2024 I. INVOCATION, PLEDGE & ROLL CALL Mayor Bartie gave the invocation followed with the pledge to the flag. The City Council of the City of Port Arthur met in Special Session on Monday, September 23, 2024 at 9:51 a.m. in the City Council Chamber, City Hall, with the following members present: Mayor Thurman Bill Bartie; Mayor Pro Tem Doneane Beckcom; Councilmembers Willie "Bae" Lewis, Tiffany Hamilton Everfield, Harold Doucet and Thomas Kinlaw, III.; City Manager Ron Burton; City Secretary Sherri Bellard; Interim City Attorney James M. Black and Sergeant At Arms Police Chief Tim Duriso. Councilmember Donald Frank Sr. joined the meeting at 10:30 a.m. II. CITY MANAGER'S STAFF REPORT A Report Regarding Fiscal Year Budget For Utility Operations Utility Operations Director Calvin Matthews and Finance Director Lynda Boswell appeared before the City Council to discuss the above-mentioned report. III. PUBLIC HEARING — 10:00 A.M. To Receive And Consider Public Comment(s) For All Interested Citizens With Regard To The Budget For The City Of Port Arthur And The Port Arthur Section 4A Economic Development Corporation For The Fiscal Year Beginning October 1, 2024 And Ending September 30, 2025. A Copy Of A Summary Of The Proposed Operating Budgets For The 2024-2025 Fiscal Year Is Attached Hereto And Made A Part Hereof As Exhibit "A". Citizens Shall Have The Opportunity To Provide Written And Oral Comments And To Ask Questions Concerning The Entire Budget. The Public Will Also Be Able To View The Public Hearing Via The City's Website At www.portarthurtx.gov THIS BUDGET WILL RAISE MORE TOTAL PROPERTY TAXES THAN LAST YEAR'S BUDGET BY $1,794,627 OR 7.34%, AND OF THAT AMOUNT, $339,959 IS TAX REVENUE TO BE RAISED FROM NEW PROPERTY ADDED TO THE TAX ROLL THIS YEAR The Mayor introduced the above-mentioned Public Hearing at 10:00 a.m. The Mayor requested to hear from anyone present in the audience who wished to speak regarding the above-mentioned item. Gloria Snchez, 6625 Jade Avenue, appeared before the City Council via zoom regarding the above-mentioned proposed budget. Upon the motion of Councilmember Doucet, seconded by Councilmember Lewis and carried unanimously, the City Council closed the Public Hearing at 10:13 a.m. IV. ACTION ITEM To Consider Taking Action On The Adoption Of The City Of Port Arthur's Proposed Annual Operating Budget And Capital Improvement Program For The Fiscal Year Beginning October 1, 2024 And Ending September 30, 2025 Councilmember Kinlaw read the following motion into the record. I Move That The Adoption Of The Fiscal Year 2024 — 2025 Annual Budget Of The City Of Port Arthur Be Postponed At This Time And That The Final Vote On The Budget Be Held On Tuesday, September 24, 2024 During The Regularly Scheduled City Council Meeting The following roll call vote was taken on the motion to adopt the above-mentioned motion: Mayor Pro Tern Beckcom "Yes" Councilmember Doucet "Yes" Councilmember Hamilton Everfield "Yes" Councilmember Kinlaw "Yes" Councilmember Lewis "Yes" Mayor Bartie "Yes" The above-mentioned motion was adopted. II. CITY MANAGER'S STAFF REPORT - CONTINUED A Report Regarding Fiscal Year Budget For Utility Operations Utility Operations Director Calvin Matthews and Finance Director Lynda Boswell appeared before the City Council to answer inquiries regarding the above-mentioned report. Councilmember Frank posed the following question for the record: Have you and the staff, City Manager, have you all looked as deeply as you can to try to find an alternative decision to this increase (water rate increase)? Have you looked at everything you can, done all that you can to see what we could have done or what is possible for us to do not to have to do this 7.5 % increase? Finance Director Boswell: We have looked at everything and the result has been having to make cuts instead to bring you a balanced budget. So, therefore the recommendation—potentially this will be Council's recommendation to use general fund. Even though it is allowable it's also not best practice. At minimum we should minimally, and I'm talking to you as the Director of Finance with experience, at least keep up with the CPI (Annual Consumer Price Index for Water and Sewer Maintenance) The CPI is 4.7% we are not asking tax payers we are asking users of our water and sewer that's who we are asking to use that. Just everyone who uses water and sewer that's it. That is normal practice and that's only for maintenance and operations—that's just normally a CPI. Looking at that the minimum it's supposed to operate as an enterprise that is the function of that. It is not supposed to be subsidizing, even though you can I would just say it's not the best practice for that. But I would say that we have looked at everything, I think the idea of dedicating a sales tax is a really good one to help reduce the amount that has to be raised. Unfortunately, CPI continues to go up every year. I have never seen a CPI be in the negative. Even when I was in different states, even CPIs over 3.6%, 3.7% this year is 4.7% I actually pay attention, and I usually capture just once a year what is that. I would dare say that we have done everything that we possibly can within the current means. What I had recommended is City Council Minutes Special Meeting — September 23, 2024 2 sustained revenue. I get grants, it's just a one-time pump and that's fantastic. But I believe that I had recommended a sustained revenue to sustain the fund. III. ADJOURNMENT OF MEETING Upon the motion by Councilmember Doucet seconded by Mayor Pro Tem Beckcom and carried unanimously, the City Council adjourned their meeting at 11:44 a.m. An audio-tape of this meeting is on file in the office of the City Secretary and is made a part of the official minutes of this meeting. MAYOR THURMAN BILL BARTIE ATTEST: CITY SECRETARY SHERRI BELLARD END OF SPECIAL EXECUTIVE MEETING HELD September 23, 2024. APPROVED: . City Council Minutes Special Meeting — September 23, 2024 3