City Commission - Regular Meeting

back and have everyone's attention please uh we will uh first of all call the meeting daughter but it's good to see each of you here we welcome you and at this time i will call the city of franklin city commission to order this is a regular meeting and we'll open the meeting up with commissioner bush will lead us in a word of prayer our father who art in heaven hallowed be thy name your kingdom come your will be done

on earth as it is in heaven. Give us this day our daily bread, and forgive us for our trespasses, as we forgive those who trespass against us. Lead us not into temptation, but deliver us from evil. For yours is the kingdom, the power, and the glory. In Jesus' name we pray. Amen. Thank you, Commissioner Bush.

We will move on to hear the public, and I don't think we have anyone registered to hear the public. Anyone here? We'll move on to approval of the minutes and the approval of minutes will be the May 11th, 2026 regular meeting and approval of minutes of the May 18th, 2025 special call meeting and budget work session. So I'm sure everyone's had an opportunity to look over those and are there any comments or questions? Make a motion with approval. Okay, we have a motion by Commissioner Powell to approve those. Do I have a second? Second, second by Commissioner McQuarrie. Are there any further comments or questions? If not, we will call. We'll have a roll call vote. Kathy.

Mr Stewart. Yes, Mr. McCrary.

Yes.

Mayor Dixon?

Yes.

Commissioner Powell?

Yes.

Commissioner Bush?

No.

And that motion passes.

Thank you, Kathy. We will move on to recognitions and.

We can do that. Just let me know and we will we will pause and come back to that.

from here we will move on to community services and that will be discussion uh regarding franklin affordable housing community development block grant and public disclosure so i believe sam crocker is here to speak to that he and brought the team with us that's good

Mr mayor commissioners, I want to thank you for having us here today. I'm here speaking on behalf of Franklin affordable housing, affordable housing entities here in Franklin Kentucky. What we have come forward today is 2 parts. the franklin affordable housing has applied for a grant through the department of local government called a community development block grant it is a i have our grant writer give you a little bit more detail on it but it's going to allow us to do a lot of good in assisting franklin with its affordable housing issues and help put up some houses and get some people indoors as part of that there is a I won't call it an issue, but at least a thought given that mayor Dixon serves on both in his capacity as mayor and as 1 of our board members for Franklin affordable housing. This grant was applied for in conjunction with the city and in order to. remove any concerns that any parties may have regarding those dual roles. We are making public disclosure today that Mayor Dixon will be recusing from all discussion and decision making on this grant, both in his capacity as mayor and has already done so in his capacity as our board.

Can you confirm on the record that that is accurate? That is accurate.

All right. And I'll be happy to take any questions the commissioner has on this. But I also would like to introduce Matt Pettigo, who's been helping us extensively in getting this grant awarded. He's going to give a little bit of an update. And for those who aren't familiar with it, tell a little bit more about what we're getting and what we're doing.

It is the $1 million community development block grant that we announced last year. What's held at the grant agreement was the, what they call the conflict of interest concern. There's, it's not going to be anything substantial and Sam and the, and DLG's attorney met as well and I was on the conference call. Uh, basically this disclosure would would solve that issue. That's what's holding up the grant agreement. Basically, once the grant agreement is issued. We could go through what's called the evidentiary process where we go through the environmental surveys and. Dangerous species act and all the other different things that we had to do for. If the money actually released released funding as they call it, once the funding is released, then. Assuming everything else is ready to go, then we can hopefully go to go to bid and. It's construction movement that that could possibly happen this year. If everything else goes well, so it'll build a 6. it's planned to build 6 units. 3, 1 bedroom units, 2, 2 bedroom units and 1, 3 bedroom unit. That'd be the 2nd phase of the addiction growth project.

So I think a lot of times people don't understand that Franklin Housing Authority is a separate 501c3, correct? That is correct. Franklin Affordable Housing is, yeah. I'll explain that real quick because I think a lot of people don't understand that it's two separate entities, and that's why the mayor's just on the board.

Absolutely. I'll explain that. So we have the Housing Authority of Franklin, which is the federal public housing program. There are 110 units under the Housing Authority of Franklin, and we receive funding from the Department of Housing and Urban Development to run that program. When that entity was formed, it was set with a faircloth limit, which means the maximum number that we can have under the housing authority is 110 units. And we do have those 110 units. So Franklin Affordable is a nonprofit housing entity that was formed because those 110 units are not going to fulfill the need that we have in our town for affordable housing. Franklin Affordable is the nonprofit housing entity that we are using to grow our affordable housing offerings.

Julie, if you wouldn't mind, by the way, this is Julie Brown, our Executive Director at Franklin Affordable. It's been a huge asset for us. Could you tell us just a little bit about what's already been built on this same project pre-grant so that we get a little idea of what we'll be doing with this money?

Absolutely. So over on Orange Street, the first phase of this entity, it has four houses. There are two three-bedroom houses, a one-bedroom house, and one two-bedroom house. So what we wanted to do with that first phase is really build a sampling of what Dixon Grove would offer. And the homes are so nice. So beautiful, we have 1 that has accessibility features, so we will try to implement some accessibility features as we move forward in the future phases as well. So, like Matt mentioned that well, the 1st phase is 4 homes. This grant is going to help us in a 2nd phase to build an additional 6 homes. The plan at this point in time is to build a little over 60 homes over on that lot. But of course, we want to offer those homes at an affordable rate and it takes money to build homes. So this grant will be a huge infusion in helping propel us forward. But we do have to complete this project a little bit at a time as the funds allow.

I think that's all we came to say unless the mayor of the commission has any other questions. Are there any further questions or comments?

Do we need a motion on that? Or is that just informational? There's no action to be taken.

It's just a public disclosure. So I'll be able to tell the state that we even formally announced this solution both for the city and for Franklin Portable. We're all good. All right. Thank you.

Well, thank you all so much. And thank you. Commissioner Bush for that's a really good question because people don't understand.

Thank you. It's one of those situations where the government tried to do something good. And then they created rules that prohibit us from doing more good. So you'll come up with a great.

Thank you. I appreciate it. Thank you all so much.

Thank you. Thank you all.

We will move back to recognition since I believe our candidates here and Trent, you want to introduce him?

Sorry about that. It was my fault he wasn't here on time. But I'd like to introduce you to our new employee, Zach Law. Zach is a Logan County native. Zach and his wife, Caitlin, are expecting their first baby in August. He comes to the city with water experience. He has worked on water distribution since 2017, and he has worked for the city of Russellville and Dareville.

And Franklin.

So if you don't mind, please help me welcome Zach back.

Thank you.

Thank you, Trent.

Okay, we will move on under community services will be discussion under possible action regarding Independence Day parade and Hal Toomey is here to speak to us to that. And I'm sure that we're gonna have a good one. We've always had a good one. And this is a special year. This is our 250th celebration. So we'll let Hal speak to that.

That's exactly why I'm here. I want to be sure that the commission is okay with us using the same parade route we've always used for all the parades and everything and close those streets for about two hours on Saturday, July the 4th. The idea is this is, you know, to have a fantastic Independence Day parade. It's our number 250th year in the nation, and we want to see a lot of red, white, and blue, and a lot of floats and everything. We think it's really important, especially to recognize our veterans and those of our first responders that want to participate in this. And we're trying to make special accommodations as we can for those folks. And again, just the last two years that I've been involved with it, it's been a really strong parade. I think it's one of the community enjoys a lot of people on the square. And so I'm hoping this year that we'll continue that and have a good parade. But I'm asking permission for you all to allow us to close those streets for that two hour period.

You have heard house proposal and we'll need a motion. The proposed motion is to allow the parade to take place on Saturday, July the 4th, 2026 in celebration of Independence Day. And do I have a motion to that effect? We have a motion by Commissioner Stewart. Second by Commissioner Bush. Are there any further comments, questions?

We have to tell the state we're doing that. Y'all take care of that too? The state?

Yeah, I've already cleared it with the state. They've given us permission already, and so this is just the next formality, and then I'll get with Bob to Robert Palmer to make sure we've got all the streets closed and to traffic and everything like that to prevent any accidents and things like that.

We have a motion and a second any further.

I was going to ask when we, when we do that. Is it on the organization to do? Okay.

All the state closures for city streets. They usually do their homework before they get to us.

Yeah, I've got their approval for 31 W for that 2 hour period.

All in favor aye. Aye. Any opposition? And that motion carries. Thank you all very much. Thank you. We look forward to it. Oh, and it's the city's turn to lead, so. Hey, moving on, we will have discussion and a possible action regarding street closing requests for Juneteenth celebration. And I believe that Mr Carly's Maccabee is here to speak to that. Good afternoon. This is this is a smaller street closing.

We're at a reposition of a care with a smile for. Well, teacher Matthews, she's hosting it.

Where you guys, where you guys going to start this year?

We're going to do the same route that we had done. She's going to start it at Lincoln elementary. And then on to Walker, I mean, on to John Johnson and then the street, the Washington West Washington, West street and walk the street parts of Walker.

Okay.

And she's requesting closure for Walker, John Johnson, Washington, part of Washington, because it's going to go on a circle. And it's from, uh, she's got it. It's going to be from 11 a.m. to 12 p.m. but it probably didn't last that long. But everybody's going to line up at 1030 in the Lincoln parking lot. Yes.

We just need street close for about an hour. Yeah, about an hour. It would probably be over in 30 minutes.

I believe it's from 11 to 12. Yeah, 11 to 12.

The motion down at the bottom says from 1030 to 1.

So that gives them time to set up. Yeah. Time to break down. Okay. Pushing on front end and the back end. Okay.

I'll tell her that.

Okay.

The proposed motion is to approve the request submitted by Lakeisha Matthews of Caring with a Smile to close a portion of West Street, Walker Street, John J. Johnson Street, and West Washington Street from 1030 until 1 p.m. on Friday, June 19, 2026 for the Juneteenth parade pending receipt of the signatures paged by affected residents. So... That's the proposed motion.

So that signature page that the motion does not have to include in the page. Like you should send me last.

So, do I have a motion to that effect? We have a motion by commissioner Powell and second by commissioner Bush. Is there further comments or questions? If not, all in favor aye. Aye. Any opposition? And that motion carries. Thank you, Carly. Thank you. Good afternoon. You're all taking care of. All right. Thank you. Moving on, we will have a discussion and a possible action regarding Summer vibes music festival street closing request and a letter of support for temporary event with ABC licenses. And I believe that Kim Roberts is supposed to be here for that.

And I don't see key.

So we'll just go ahead and let's it's the same thing as before.

It's the same we've done in the past.

It is asking for the same same street closures, same everything. So, and this is this is the same thing we've done in years past. I'll make that motion in her absence. We have a motion by Commissioner Powell, a second by Commissioner Bush. Any further comments or questions on that? The motion is to approve the request submitted by Franklin Simpson Renaissance to close West Kentucky Street from College Street intersection to Main Street intersection beginning at midnight on Thursday, August 30th, 2026 and to close College Street from West Cedar Street intersection to West Washington Street intersection beginning Friday, August 21st, 2026, contingent upon submission of the street closing performed signed by all affected businesses and to authorize the mayor to sign a letter of support for FS Renaissance temporary event ABC license application and confirmation of approval street closings. That was a long motion. I can't repeat it, but I'll make that motion. Okay. We have a motion by well, we already have a motion by Commissioner Bush. So I just wanted to make clear that everybody understood what the closing was. All in favor aye. Any opposition? And that motion carries. Okay, moving on with the same thing for discussion or possible action regarding street closure requests by FS Renaissance for summer nights concerts and concert series. And Kim was also to present that, but it's also the same. There are no changes of any nature with that, so. I will read the motion and the proposed motion. Proposed motion to approve the request submitted by FS Renaissance to close South College Street from West Kentucky Avenue to West Cedar Street from 4 p.m. until 10 p.m. for summer nights concert series for the concert dates listed above. And there are six of them. And they're the Friday night concerts that we've always done the same. So I'll make that motion. We have a motion by Commissioner Bush. Second, Mayor. Second by Commissioner Stewart. Are there any further questions or comments? If not, all in favor, aye. Aye. Any opposition? And that motion carries. Okay, now I believe we have Donzella here, and I think she wants to speak to an event that they will be having on August 22nd concerning the Human Rights Commission. Thank you, ma'am. Donzella, I'll give you the floor.

Commissioners mayor, and I come to make you aware of the human rights commission will be celebrating 26 years of operation. And so therefore we are planning a 26 year. Anniversary gather on August the 22nd at the field and Jim Roberts Park. The gala will start at 5. we will start out with mocktails and then we will have dinner and the speaker and. Closing, we don't have time for for dance and the hours are from 5 to 9. We have sponsorships available, which I have. We have. Platinum, gold, silver, bronze sponsorship and then we also have advertisement only if you don't want to attend. The tickets to this event are $30 and we'll be able to be purchased through Eventbrite. So come on out and help us celebrate 26 years of advocating and sponsoring and Being a part of the National Human Rights Commission and the International Human Rights Commission, and we're just excited and we hope to see you there.

Thank you. Thank you very much. And I'm sure we'll be seeing more about the event as as time gets closer. So, yes. Yeah. Thank you. Come on. Come on. Okay, we will, under community services, continue to move on with discussion and a possible action regarding agreements for service. That's community service organizations and Carol will speak to that. Carol Regenbach.

All right, so the budget amendment for 2025-26, so the current year, includes some pre-funding that the Commission agreed to in our last meeting.

shop, I guess.

Those are listed here. Hope Harbor, United Way 211 program, Gallery on the Square, Brad Aging Services, the On Track program at Sky CTC, Franklin Simpson Arts Council, Good Samaritan, Franklin Simpson Renaissance, Simpson County Friends of the Shelter. In addition, our next year's budget for 2627 tentatively approves funding for boys and girls club. Like, let's send us a chamber of commerce, southern Kentucky task force, Simpson county, historical society and Franklin Simpson human rights commission.

We will need new signed agreements for all of these.

And so we're asking for authorization for the mayor to sign those agreements for services, for funding, for all of those organizations that are listed there.

And these are organizations that we fund over the years. Do I have a motion? We have a motion by Commissioner Stewart, seconded by Commissioner Bush. Are there any further comments or questions? If not, all in favor aye. Aye. Any opposition? And that motion carries. Thank you, Carol. And I believe you have the next one and that's discussion or possible action regarding agreements for service For service, community service organizations, Kentucky Downs. Yes.

So four years ago, the city entered into an agreement with Kentucky Downs to provide funding opportunities for some of our local community service organizations. These were ones that had lost some funding because of the charitable bingo kind of went away when Kentucky Downs came in. So, each organization has been asked to sign a new agreement each year and included in this year's budget are the ones as they've been in the past, the parks, African American Heritage Center. Franklin Simpson Arts Council, Franklin Simpson Renaissance and Simpson County Literacy. So I'm asking that the commission approve the agreements for service for funding opportunities for these services as the amounts listed and authorize the mayor to sign the agreements on behalf of the city. This is just as a reminder, a pass through, we get the money from Kentucky downs and we send it out quarterly. Well, after we receive their funds to these organizations.

Just a pass through and we have a motion by commissioner bush. Second by Commissioner Powell. Further discussions or comments?

All in favor aye. Aye.

Any opposition? And that motion carries. Moving on. Under general government, we will have discussion and a possible action regarding a resolution number C-2026 authorizing disbursements of EDF funds. And Jim, you want to come up here? You're on the ball. Thank you.

Thank you, Mayor. This resolution relates to the 3.4Million dollars in grant funds. The state is providing for infrastructure. It's for the distribution center. The funds will be awarded by the economic development finance authority. Floating the Kroger, which will undertake the improvements. They just need this resolution from the city. Doesn't cost the city anything. It's just a pass through. uh that's required under the project agreement through the state did they have any improvements listed that they were going to be responsible for i'm sorry did they have any improvements listed or is it one of those things where it's like a catch-all or is it i don't have a list of the improvements i'm sure it has to do with some of the the road improvements and other things that they'll be doing out there in front of the site is that the one is it like that spur we talked about yeah okay

These improvements generally, I'm sure before they can, they have to submit these improvements.

Yes, sir.

So the people that are issuing the grants, they know what those approvals. Yeah.

Can't oversee that in the cabinet for economic development. And as they do those required improvements. And they'll request the funds and then they'll flow through.

Mayor, if you need a motion, I do. I moved.

Okay, we have a motion by Commissioner Stewart. Second. Second by Commissioner McQuarrie. Any further comments or questions? All in favor, aye. Aye. Any opposition? Yes.

Did I hear? Yes. I'm going to oppose that.

So you're voting? No. Okay. Just wanted to clarify. Thank you.

Let's go with a roll call vote.

Okay. Thank you, Mayor. We'll do that. Commissioner Powell?

Yes.

Commissioner Bush?

No.

Mayor Dixon? Yes. Commissioner McCrary?

Yes.

Commissioner Stewart?

Yes.

All right. And that motion passes.

Thank you Kathy. Mayor, if I may just add, if you remember the Kroger project was an enhanced project through the state and it was part of the incentive package. Typically when we do an incentive package, the city and county give up a part of their occupational taxes. This project No, no monies were given up by the local government. So all that money will be collected. Both by the, the county and the city, the full, the full occupational tax for this particular project. So I just wanted to remind everybody of that, that there were no. Local incentives really required for this project. Hey, that is Jim that I won't take the next one too.

Yes, sir. That's discussion. That's just good. After renaming friends winner. Oh, yes. Discussion and possible action regarding resolution number D-2026, renaming street in Wilkie North Industrial Park. And my confusion is I had Carol down for that, but you can go right on.

Well, I'm up. So as you all know, EJ Ironworks took over the old Fritz Winter facility. And that address is 1 Fritz Winter Drive. It's the only address on that road. EJ asked if we could get the name change, obviously, because they're not for its winter and for its winter has left the country. So the request is to change that road to Innovation Drive. And this would be the 1st step in a process. I think it has to go to planning and zoning eventually as well. I'm not sure.

I'm not sure. I'll have to check with Carter.

Yeah. So, anyhow, they've requested the name change from fridge winter drop drive to innovation drive.

It's a, it's a catchy 9 minute. Yeah, I'll make that motion mayor. Okay. We have a motion by commissioner Powell. 2nd, mayor 2nd, by commissioner Stewart any further comment. All in favor aye. Aye. Any opposition? And that motion carries. That's all I have today Mayor. Thank you Jim. Thank you. Okay moving on under general government will be discussion and a possible action regarding employee health insurance plan renewal and Carol will speak to that.

As we discussed in our May, 18th budget work session, submitted a renewal offer for our health plan. Medical is a 9% increase in friends with no change to general vision. Overall, versus the industry, this is a good renewal rate. And based on our experience rating, it's an exceptional. Uh, only to increase if we had been outside of Kelly. Anticipated we've had a 25 to 30% increase because of our experience rating. Staying with is obviously been a good thing for the city. I attached all the documents they sent that show the current plan versus the renewal. There are no changes at all. Is the 9% premium increase. Which based on our sense besides of April 1st, which is when they prepared this. Uh, based on budget, we've got some open positions, so there's a little bit higher cost because I'm assuming everybody would get family coverage. So, in the budget, it's already built 138,000 dollar increase.

That's the city will continue will the entire increase.

No, what's coming out of employees paychecks to cover those benefits. Um, the documents they sent also had some other options if we wanted to choose something that did not have as significant of an increase. But all of those were either increasing. like the deductibles that would be much, much higher or a higher out of pocket cost or lower benefits, which we don't have as much coverage. None of which seems to be in the best interest of our employees at this point in time. So, um, I need to know if the commission is willing to make a motion to accept to keep the current plan design at 9% increase to be covered by the city. Or if you want to choose something different, we can go that route and then we would also need authorization for the mayor to sign the renewal.

I think you all have vetted this very thoroughly, Carol, for the best price and the best plan that we could come up with.

I make a motion, Mayor, we go with the 9% that we discussed.

We have a motion by Commissioner Powell to go with the 9%. Second, Mayor. Second by Commissioner McQuarrie. Are there further comments or questions?

Just a question, Mayor, because I'm in favor of it. Do we know? I know that in years past and I guess this comment probably it's going to be catered to all the employees and for and it's good that we're going to pick up this additional call. It's probably deserving. I know at one year our insurance just skyrocketed because of emergency room visits. And obviously we're not having those. Not nearly as not nearly as really not because that that was going to be something that was definitely going to keep keep our price. You know, suitable that that particular year, we, it increased the difficulty. Because of emergency room visits, so I just come in and the employees for, you know, keeping keeping a real, you know, something really happens. You need to really go to emergency room, but we had an enormous.

Amount of emergency visits that just got rocked by insurance. So.

You know, I think it's it's rewarding to to the employees that we can pick it up and keep it where it's at. Give them as low as possible. Pick up to pick up the tab of the difference because I think it's very rewarding that they're working on their part to try to also help keep the cost of insurance law. So, I don't know if we have any statistics to back that up visit, but obviously have to be down because it wouldn't it would be up.

Kelly Harding is going to be here next Monday for informational meetings for all the employees, including the commissioners. And he will share any things that he sees that maybe we need to be concerned about. But there was nothing that he presented to us. And then open enrollment will be on Tuesday, 16th.

I think we're probably all aware that health insurance is increasing and it's going to continue. I'm sure it's going to continue to increase.

Absolutely.

And I know that Carol and the group do a very good job of trying to vet it down and get the best plan that they can come up with for our employees that they deserve, employees deserve.

Absolutely.

Anyway, we have a motion and we have a second any further time. Okay, the motion will be to, um, to stay with the 9% plan and, uh, sort of the cost of.

Yes, yes, yeah. So on a roll call, so yes, today, mayor. Okay. Commissioner Stewart. Yes. Commissioner McCrary. Yes. Your Dixon?

Yes.

Commissioner Bush?

Yes.

Commissioner Powell?

Yes.

And that motion passes unanimously.

Thank you. Thank you for the work on that too, Carol. Moving on under general government will be discussion or possible action regarding property and liability insurance renewal and. Carol, I believe you have that one too.

So more insurance. So we got the renewals for property and liability insurance. You'll see that they have increased our limits of coverage, which is the valuation of our property by 4.4% year over year. The premiums are increasing from 93,972 dollars. To 112,013 dollars, which is a 19.2% increase. Um, what the Conrad with Higgins explained is that, um, across the board, pretty much everybody in Kentucky got a 15% increase just because of all of. Of the issues and the damage that's been done over the last few years. And we personally had about 60,000 dollars in claims paid out this past year. So we've actually had several issues totaling a couple of police cars was the bigger issues, but. So overall, I don't think it's a horrible renewal rate. On the liability side, our premium was $158,243. It's actually dropping to $155,824. That changes a net of, we added about $10,000 of Um, additional premiums for equipment we purchased in the last year, but that is all all offset giving us a decrease. And the offset are the efforts from the safety committee and doing all the audits and came in and did those audits and that saved us about 9000 dollars. Um, just by doing that and be compliant with what is recommending. So, these are all I've adjusted this in the budget. It was only like less than a 1000 dollar adjustment from what I had estimated overall. No action is time for the renewals. It's just for your information. Okay. Okay. Any comments in question?

We will move on to discussion and a possible action regarding the award of the road salt bid and Daryl is here to bring that to us.

No, so the city stated in the reverse. This reverse bidding process helps the city to have leverage having salt available in case just in case there comes a shortage and so. It guarantees so much. So the auction took place May 20th 26 attached as the bid received within this option. City is in zone 7. The bid result was nature's landscape supply 138 per ton, Morton salt 154 per ton, Cargill 200 per ton, Compass Mineral 300 per ton.

Big difference.

And we currently have Compass Minerals last year, they were at 125 per ton. So they dramatically increased this year. So the proposed motion would be to award the reverse salt bid to Nature's Landscape Supply for 138 for Cummins, including delivery, and authorize the mayor to sign any and all documents necessary to execute this contract.

Okay, you've heard the proposal. Make the motion, Mike. We have a motion by Commissioner McQuarrie. Second, Mayor. Second by Commissioner Stewart. Any comments or questions?

I'm assuming they can deliver.

Yes, that's including delivery. No, I mean, like, wherever they are, they're big enough to create.

All in favor. I any opposition and that motion carries.

Thank you. Thank you. Thank you all.

Hey, we will have a move under general government moving on discussion or possible actions regarding proposed ordinance amending the FY2026 budget and Carol will take that for us.

All right.

So this is the current year budget.

If you'll turn to page 161 in your packet. You're changing, I think, for funds and I want to go through the highlights of what's changing in this amendment on page 161. this is just to show you if you go to the bottom line, that's in blue. The fund balance we're now projecting to reduce 133,659 dollars versus amendment 2. And if you go to the next page, 162, the box there has the summary of changes, which I'll go through. Overall revenues, we're seeing an increase of 239,000 dollars. 334,000 of that is coming from occupational tax from Trader Joe's. We, if you remember, we had some issues when Trader Joe's first went in. They had used several temp agencies and trying to get in touch with all the right people to get them to do the right forms and remit their occupational taxes took us a while. And so we've had a catch up payment this year for a prior year when we finally got most of that into compliance. And then that revenue is offset by $95,000, just reducing what we've estimated that we're bringing in on planning and zoning this year. So those are those changes in revenues. All the rest of them below there are the changes in expenses. So the next category is capital. Overall, we've got a $30,000 increase in capital, which is a reduction of the fund. All of that 30,000 really is in the audio equipment that we have purchased for this room, which they wanted to install it this morning, but we were afraid they weren't getting it done in time. So it'll be going in probably later this week. So that's all the other changes were just in between projects to clean up the capital reporting.

No overall change in any in the fund.

Going down the box, fire services were actually reducing expenses this year by $100,000 in the budget. If you remember in the budget workshop, we talked about how the fire and rescue had been short by one person all year. So that's about $100,000 savings to the city this year. Versus budget, and then back to those trader Joe's fees that we collected up at the top. All those go right back out to the industrial authority. So our expenses are are increasing to offset and all that revenue just just goes back out to them. And then on the community services, the prepayment agreements that we just talked about previously in this meeting, that's 96,500 dollars that increased our expenses for fiscal 26. So in total, those community expenses increased by $336,000. From an operational and personnel cost, our legal costs have actually gone down 34,000. Professional Contract Services has gone up about 32,000, so essentially a wash. A lot of that is because Scott was an employee, and his retirement was 531, so we don't have June expenses for him. But then we have Amanda coming on as a contractor, which is just a different line item in the budget. Plus, we also added some monies into here for the Planning and Zoning Attorney for the lawsuit. Supplies have increased by about $12,000. That was adding the AEDs that the Commission approved previously in the year, offset by some other reductions in spending on supplies. And then all the other changes within those categories was an increase of $2,000. So in total, all those changes net to bringing the fund balance down $134,000. On general fund, If not, we'll go to page 163 and 164. This is utility fund. You go to the bottom of page 163, the proposed amendment 3 is reducing the fund balance by 230,000 from amendment 2. And if you look at the box on page 164, all of this is in capital changes. The sewer rehab project that we've had going on for three years now, somehow in rolling those over into fiscal 26, I messed up the dollar amount. So I need to add another 230,000 to this year's budget to get to the full 5.5 million of that project. And then we move some funds around between a couple of projects within the utility fund for capital. And on the operational and personnel services, we utilized 11,000 that had been categorized as professional on-call services to keep our GIS intern for an additional six months working for the utility department out in the field, getting some of our GIS data updated. It's been a big help. So it's just a mix of funds between two different line items in those categories. So, the total change of 230 is really coming from the sewer rehab project. Just cleaning up those, those budget numbers.

Any question on that this morning at 230 that will they cap out that 5Million and then we'll be ready to have to. It's done a little bit and start all over again.

We will end up we will end up rolling some of this into fiscal 27 because. The project is essentially done in the next few weeks, but there's a retainer fee. That won't get paid out until they're sure everything is done properly by the contractors and the engineers approve that last invoice. So that won't get paid until next fiscal year. So, yeah, then Trent last for another 5, 9.

It's gotta be done. It's gotta be done.

All right page 165 is the cemetery fund. If you see the line in blue from amendment 2, we're reducing that fund balance by 38,950 dollars. And the box below shows what makes that up when we built the cemetery building, those funds were coming out of perpetual care. To build that new building, we came in under budget and I fixed the budget last time in the amendment to for the building costs. But I didn't think about how we were transferring those funds back and forth. So it's actually a reduction. We're not going to get as much in cemetery from perpetual because we don't need it to cover the cost. I just didn't catch that last time that is offset by an amendment to we added some software to digitize the records. We have the quotes on that now, but obviously it's not in place in this year. So we're not going to spend that 35,000. It's in next year's budget that we discussed in the workshop. So that is a pickup for 26 of 35,000 dollars and then utility costs have been slightly lower. So that's bringing us to the about 39,000 dollars. reduction and then 160 on page 166 is perpetual care which is just going the opposite way full change is the 74 950 but it's a improvement in perpetual to offset that reduction over in cemetery so the two of these are basically just a wash does that make sense

So, the perpetual care fund is going to be like, the thinking time for the other stuff.

Yeah, by law, we have to put a 100 dollars for each lot sold in the cemetery over into this perpetual care. And then we invest it. And the intent of that is my next question to fund it.

I couldn't remember from KLC. Well, we couldn't couldn't invest. We do.

Yeah, we do. We do. Any other questions on budget amendment 3 changes. If not, I would request two commissioners to sponsor fiscal year 2526 budget or amendment ordinance 202611. We have Powell and Stewart.

Okay, moving on then under general government will be discussion or possible action regarding proposed ordinance adopting that the 20 adopting the FY 2027 budget and Carol, you want to speak to? Yeah, so I think you probably have covered a lot.

We had our 2 workshops since then. We've gotten a little bit of additional information and so I've made some changes from what we saw in the May 18th workshop. This will be the proposed budget for 2027. So, just quickly go through the 4 funds that have changed page. 1 70 is general fund. We're proposing that we're going to start the year at 13.1M in the balance. And then if you go to the line at the bottom, that's in yellow. Propose change in net assets is actually an increase of 107,000. Which would propose ending fund balance for 2027 would be 13.2M. So the change from the 518 workshop is shown at the bottom. So I worked through the rest of the fire department costs with Nicole after we had our discussions. And so two changes, the fire services labor increased by $146,077. I was just estimating what I thought it would be with not approving those additional three and I was off a little bit. And then on the capital side, we moved the 425,000 that was for the tanker truck that will be moved into fiscal 28 because it won't come in until fiscal 28. I also updated the cleft up, which is the funds we get from the state to reimburse us for certified police officers that was off just slightly. So that increased. Increase the fund by 6000. We were made aware of an issue with the electric meter here at the police station right after we did the budget. Our meter was not working correctly. So, um, we're estimating what the utilities will be for the building and so I've put in an additional 27,000 dollars for next year versus what we had and we'll see what happens when we get the 1st, real bill. So.

How do they figure that 1 out?

They were looking at some things and analyzing and mineralize that something didn't look right. And so they came down and they found something wrong with the meter.

It was ridiculously cheap. Wasn't it? Okay. Yeah.

And then based on the property and the liability insurance that we just talked about that changed by 680 dollars since the version that you reviewed on 518, the total change is an improvement at 259,000 dollars. Page 177 is just there for your reference. This is the final information from the fire what those costs are. The page 171, sorry, the green is what the final budget is. So we've got the original agreement is 560,000 dollars annually. 50% of the on call is 28,000. The 50% of the labor for the 3 that we authorized to be added last fiscal year is 412,000. Then we cover the utilities for a 1000 dollars at the fire station. We are doing the exhaust system and garage door replacements those total to 95,000 over at the police or at the fire station. And then the new capital for just the and truck and the brush truck is a 95,000. To bring our total spending for the fire department at a 1Million. Oh, 91 essentially. Which is a 392,000 dollar increase from last year.

Is that is that half half of our budget?

No, not exactly. It's not all split half 50 50. the original is 1 agreement. Then we have agreed over time to split 50% of the on call and 50% of the additional labor. So, it's a little, it's a little complicated on their side to actually keep up with all of this.

Yeah, so. Isn't it 6238 on most of it?

I don't even know that I can tell you that.

Did the county just or have they budgeted for 3 more? What's part of it? I caught it, but they didn't vote on it or table it or any. Do you know where I think? No, I have a clue on that. One of the bachelors told me that they had it set aside, but it wasn't real clear if they actually voted to do it. No, I didn't.

I'm not sure. I mean, I think it was probably a moot point. We didn't, right? The 425 for the, was that already allocated?

425 for?

For the tanker? Did we already have that allocated?

They put it in their original budget request.

Right, they did, but we didn't already have it allocated. No, we did not. So we're just, okay.

And we can set us set that aside for next year in our sinking fund at the end of this year if we choose to do that, since we know we're going to have to pay it out.

Does that come there comes out of the gym? We have a general thinking fund. Yeah, that would come out of that.

Just like we have, you know, we've been putting away in each year for the ladder truck and we have, I think 360,000 in there right now. This would be similar. We would just move. These funds over if that's what the commission wants to do. So I'll bring that probably to you in the next few weeks so we can make some decisions.

Carol that fire department where it says firefighters expenses 9 total that amount that they requested 599 478. is that the total for 1 additional more than we have now or that was for.

All 9 firefighters, I don't totally understand. I think it's the 3 we agreed to last year. Plus 3 more. But Nicole's note said 9 firefighters and she had given me the name. So I don't.

Did she give you a cost on if we decided to put 1 more on per shift what that number would? Yeah.

No, would you ask it please?

That's. That would be what that sorry that is what that is, I guess 3 additional 1 per shift being added.

An additional 599 or total so that's your question, right? So is the 3 included in the 600,000 number.

So, last year, the budget was 259. That's going to 412 budgets. So our estimate for this year is 259. that's going to 412, but this year they've been short 1 person. So that's only, it's a $53,000 increase for those three.

So where's an additional $600,000 increase from what else is budgeted for everything else? Okay, so where it says fire and rescue agreement, that 359, that's actual our split of the personnel cost. And that's because that's not including the on-call and then the three additional.

So that's- Right.

I don't know if that's just personnel the way it's written in the interlocal agreement just says starting at 175,000 or something. That would be the amount we would pay each year and then each year inflationary rate gets applied to it. So I don't really know what that 175,000, whether that was all labor or if there's other operating costs in there. I don't know for certain.

Okay. Of course, too, Carol, I mean, you know, we own that building. The city owns that building, and we keep that building up, too. I mean, that, in fact, I think, if I remember correctly, there was about a $119,000 cost that we're out this year for some- It's coming here.

Pairs coming in and, yeah. Okay. Anything else on general fund? That will move to page 172, which is the utility fund.

Do you have 1 question? I forgot. Sorry. Did y'all ever get how many acres was it? They were going to push all with that. How many acres? Yeah.

All right.

All right page 172 is the utility fund. Um, estimating to start the year at 19.3Million fund balance. Dropping down to the yellow line proposed change for next year is to reduce the fund balance by about 1.8Million leaving us at the end of the year with 15.6Million. The changes from the 518 workshop property and liability insurance improved or reducing expense by 3000 dollars. We did increase capital. We got we had the bid opening for the water treatment plant switchboard installation since 518 and that is actually 58,000 dollars higher than what we had estimated for budgetary purposes. Um, we've not awarded that that will the engineers are still working on bid award documents and we will have that in the next commission meeting. And then there was just a slight increase in professional services related to the dam repairs of about 4000 dollars. So the total change from what we discussed on 518 is 58000 dollars essentially. Any questions on that? Page 173 is sanitation. There's no change from what we discussed. Proposing an increase in the fund balance of about 2000 dollars, leaving us with 508 406 at the end of the year. Page 174 is municipal aid fund. Um, we have a 10,000 dollar increase in expenses from what we discussed on 518 that 10,000 is related to budgeting for some equipment and a reporting service. Help improve our process. We, um, we've had. We're looking at a particular company, but we're still evaluating that and we would run back anything to the commission before we decided to do it. But it looks like this might be a good option for not a lot of money. So we want to put that in the budget. So, if municipal aid, then that means we would be starting the year at a fund balance of 177,000. Reducing the fund balance by about 7,000 dollars. Leaving the end of the year balance at 170,000. Any question on municipal aid page 175 is perpetual care. There's no change in that from what we discussed. Proposing a change in the fund balance of 23,000 dollar increase. Leaving the final ending balance at 679,000. Page 176 is the cemetery fund. There's been no change in this since our, our workshop proposing a reduction in the fund balance for next year of 36,000, leaving us with an ending balance of 92,138. Page 177, we have the stormwater fund since our workshop added 4000 dollars for 1 additional employee to go through training. That is results in a proposed change in. Stormwater fund assets to by 445,000, leaving us with just about 6000 in that fund. Um. Page 178 is the debt service. There's no change in this once again. This is just we have to pay for our general fund debt through this fund. So we just transfer money from general fund over here, pay out the debt. It always comes out to 0. That is all the funds that are in fiscal 27 budget. Any additional questions. If not, I'll need 2 commissioners to sponsor the fiscal year 202627 budget ordinance. 2026 dash 012. Thank you. I'm, I'm, I'm, I'm eager to do it. Sure.

And.

All right, Carol, thank you. That was a lot of work, a lot of numbers. We will move on from general government to public safety.

Utilities anything for today?

We'll move on to ordinances and I think we have a couple of. Couple of readings here, miss Kathy.

So we have a budget amendment ordinance and a budget ordinance. We'll have 1st, summary reading today of ordinance number 2026 dash 011. An ordinance amending the annual budget for the fiscal year, July 1, 2025 and ending June 30, 2026. Estimating revenues and appropriations. And we'll have 1st, summary reading of ordinance number 2026. And ordinance adopting the annual budget for the fiscal year between July 1, 2026. And ending June 30, 2027 by estimating. Revenues and appropriations and I'm not going to read the numbers. I think we've talked enough numbers. The past few minutes, this first summary reading of these ordinances, they will become effective upon passage and publication and will be posted on the city's website. A full copy of these ordinances is available upon request. By contacting the city clerk, the city hall during normal business hours.

Okay, thank you very much. Kathy. Okay, from here, we will move on to executive session. And under executive session, we have personnel, and that's discussions or hearings which might lead to the appointment, discipline, or dismissal of an individual employee or member. And that's under KRS 61.8101F. And I will need a motion to go into executive session. Motion by Commissioner McQuarrie, seconded by... All in favor aye. Aye. Opposition? We now move into executive session. Need a motion to come out of executive session.

I'll make that motion.

We have a motion by Commissioner Bush.

Second by.

Second by Commissioner McQuarrie. We do have two resignations and to act upon and Carol, if you will take each of those and.

We do those together. Okay, we can do them separate together. Let's do it together. I think it'd be appropriate to do them together.

So I asked that the commission accept the resignations of Ron Tabor planning and zoning building inspector and Garrett Dinkins stormwater operator. They have turned in their notice and are in good standing.

I'll make that motion. We have a motion by Commissioner Bush. Second. Second by Commissioner Powell. All in favor, aye. Aye. Is there any opposition? And that motion carries. And from there, we will move on to City Manager report. I've talked enough today. Commissioner Stewart? I don't have anything, Mayor. Commissioner McQuarrie? No, sir. And I don't either. Commissioner Bush? Very quick one. Make a motion, we adjourn. We have a motion by Commissioner Powell to adjourn. And we have a second by Commissioner Bush. All in favor, aye. Aye. And we now stand adjourned.