03 Council Min 08-26-04.wpd
SPECIAL MEETING OF THE CITY COUNCIL, CITY OF PARIS
AUGUST 26, 2004
The City Council of the City of Paris met in Special Session, Thursday, August
26, 2004 at 6:00 p.m. at the Love Civic Center, 2025 S. Collegiate Drive, Paris,
Texas. Mayor Curtis Fendley called the meeting to order with the following
Council members present: Jim Bell, Jay Guest, Mary Ann Fisher, Don Wilson,
Karen Wilkerson and Rick Poston. Also present were Interim City Manager
Terry Townsend, City Attorney Larry W. Schenk and Asst. City Clerk Sherian
Dixon.
Mayor Fendley called for consideration and discussion of and possible action
on the proposed 2004-2005 City Budget. He asked Finance Director Gene
Anderson for the amended numbers from the last meeting.
Mr. Anderson said that there was a gain of $101, 387.00 in the General Fund,
which makes the revenues exceed the budgeted expenses by $305, 566.00. In
the Water and Sewer fund, Mr. Anderson explained there was a gain of
$49,151.00, which made revenues exceed expenditures by $285,081.00.
Mayor Fendley says that makes a total excess of $590,627.00, combining both
funds.
Councilman Wilson wanted to know the grand totals for the budget. Finance
Director Anderson said, in the General Fund there was $21,000,931.00 in total
revenues and there was $20,695,365.00 in total expenditures.
Councilman Wilson asked if all new hires were hired through a temporary
agency and for three months did not receive any benefits, would that help in the
budget. Mr. Anderson said they were still working on that and hadn’t had time
to negotiate with a temporary agency.
A discussion about the feasibility of using a temporary agency followed.
Interim City Manager Townsend said it would be beneficial to hire a few
positions like that right now. Councilman Wilson said this would also help for
the part-time positions for summer help in the Parks Department.
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Meeting
August 26, 2004
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Mayor Fendley wanted to clarify an issue that was discussed on Tuesday,
th
August 24. He said the City does provide lighting for the adult baseball and
softball leagues and the girls’ softball leagues, because they play on City Fields.
Councilman Wilson questioned if Woodall Field got any money from the
Visitors and Convention Council. Mayor Fendley said they did when they bid
on tournaments only.
Councilman Bell made a motion to put the $8000.00 back in the budget for
lights at Woodall Field. Councilwoman Fisher seconded the motion and the
motion carried 5 ayes, 2 nays, Councilwoman Wilkerson and Councilman
Poston voting no.
Interim City Manager Townsend wanted to clarify that when he said they
haven’t done anything on the Lake Crooks Trail, that wasn’t all true. He said
they have flagged the whole Trail with orange flags and have surveyed the
entire Lake area. He said there has been some grading on the south side road
to fix wash outs to the road. He estimated that he had spent $5000.00 out there.
Mayor Fendley said there has already been a $50.00 per month employee
participation on Health Benefits put in the budget. He said he felt like if the
employees have to participate, then the retirees should have to, also.
Councilman Bell had a question about a fireman who had retired with the City
but was not age 55, yet was still on the City’s insurance. Finance Director
Anderson explained that was a settlement on a law suit, and the individual had
to pay for the insurance himself. He said wording was added to the Resolution
defining retirement after that situation, so that this would not happen again.
Mayor Fendley said he felt the retirees should have to pay a percentage of their
insurance. Councilman Bell reminded Council that the Benefits Subcommittee
recommended the Rule of 80, and he suggested that retirees retiring under the
Rule of 80 paying 50% of the cost of their insurance and those retiring, who
don’t reach the 80, paying the full cost of their insurance until they meet the
requirements of the Rule of 80. He said they would probably have to go to 50%
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Meeting
August 26, 2004
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in stages. It was decided this would affect employees that have already retired.
Following a lengthy discussion of percentages and insurance options, it was
decided to implement 10% or the contribution of current employees,
whichever is greater, and research to see how much that contribution will be
raised over time. A motion to accept this contribution rate was made by
Councilman Bell and seconded by Councilman Guest. The motion carried 7
ayes, 0 nay. The Council agreed this benefit was for current employees and
retirees and would not be available to new hires.
Interim City Manager Townsend said they were hoping to have the Personnel
st
Manual completed by October 1 and the 80/20 Plan would be in the Manual.
Finance Director Anderson said if the Council implemented the freeze in the
step pay for a year, that would amount to a savings of about $68,000.00. He
said this freeze would be for everyone. It was decided to make a decision on the
step pay plan later.
On a discussion concerning the pension, Finance Director Anderson said the
savings on a 1 to 1 match at 6% and a 2 to 1 match at 6% would be
$416,035.00, including General Fund and Water and Sewer Fund, with
$288,057.00 being General Fund only.
Finance Director Anderson said the Council could change the match, but they
couldn’t change the percentage without a vote by the employees ,according to
law. Different percentages at different matches and total savings were
discussed at length. Mayor Fendley explained that the 1 to 1 match at 6% was
already in the budget and there wouldn’t need to be a motion unless the
Council wanted to amend that. Councilman Bell made a motion to go to 1 ½ to
1 match at 6%. The motion failed for lack of a second.
After discussing the public hearing and publication dates, it was decided to set
the Public Hearing for Thursday, September 9, 2004 at 6 p.m.
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Meeting
August 26, 2004
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Resolution 2004-147, setting the date time and place for a public hearing for
the proposed 2004-2005 City Budget was read. Councilman Guest made a
motion to approve the resolution, which was seconded by Councilman Bell.
The motion carried 7 ayes, 0 nays.
Resolution 2004-148, setting the date, time and place for a public hearing on
possible amendments to the proposed 2004-2005 City Budget was read. City
Attorney Schenk said that would be on Thursday, September 9, 2004.
Councilman Bell made a motion to approve the resolution. Councilman Wilson
seconded the motion and it carried 7 ayes, 0 nays.
There being no further business, the meeting adjourned.
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CURTIS FENDLEY, MAYOR
APPROVED AS TO FORM:
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SHERIAN DIXON, ASST. CITY CLERK