City Commission - Regular Meeting

We'd like to call our meeting to order. Can we do roll call?

Father God, we thank you first and foremost for our being here. We thank you for the life, health, and strength that flows through these bodies. We ask now that you'll help us to govern and guide this meeting according to your divine will and purpose for this city. In Jesus' name we pray. Amen.

Amen. Hola. We'll do the Pledge of Allegiance.

I pledge allegiance to the flag of the United States of America, and to the Republic for which it stands, one nation, under God, indivisible, with liberty and justice for all.

At this time, we'll proceed to number five, presentations. Yes. Agenda is number. Number six.

Just for clarification, this resolution is under consent.

Mayor, you forgot to number five, opportunity for the public to address the commission.

There's no one there. No one signed in. Oh, okay.

Commission, public hearing, anyone from the public have any comments or questions? I'll turn it over to staff.

I'm sorry, Mr. Ballard. I couldn't hear it.

Okay. Is there a second for the fire isn't it? Thank you. Any other comments? All the world, please.

Commission, what's your pleasure on the item?

As far as the gross up by 4% to account for early payment discount allowed, the difference from $7.06 and $0.13 to $6.77, I'm calculating $28.25. So when you take the 4%, what figure are you taking 4% of?

So that's what brings it to 7.613? Because I'm trying to say that when you do the calculation, for the monthly estimate, which is 56.49, which I understand that part, and you multiply it by 12, it gives you $677.88. But on our tax bill, we're seeing $706.13. So I'm trying to figure out how we get to $677.

Right. So if the customer pays the – okay, so on the bill it's going to say $706.13, but if they pay early, then they will end up paying $677.88. Yes, ma'am. The next question is, I was going through my email and I came across a resident that she was trying to get clarification as to why is that the city is building for the $75,000 administrative fee, which I'm going to assume that is also the same as the franchise fee.

Okay. Now the next assessment is just for rental?

Oh, okay. Because I've seen, too, also a business was concerned about the fact that, you see, like, they're mandated to use waste management, and he had a concern because, you know, they usually select their own garbage vendor. I don't know if you guys came across that email. That's the reason why I want to know if this is just, you know, for what we call residential and is it that it's still separate?

Any other questions? All right, thank you.

Yes. I basically have a comment. I know I have a question. The franchise fee set by the city, who pays that?

So the residents are paying the franchise fee to the city? Yes. What is the purpose of the residents paying the franchise fee?

So we're basically charging the residents to use this contractor, or what's the purpose of it?

All right, so it's just a means of financing the city? And so the vendor doesn't pay that at all, right?

So basically, the residents are paying the franchisee via the non-admin taxes. It goes directly to the vendor, but then the vendor turns around and says, sends that money to the city for the city benefit, right?

Okay. I just want to clarify on record because it was alluded that vendor pays this as though the residents don't pay it. I want it to be on record that the residents are paying this.

Understood, because there was, like I said, there was a misrepresentation before when I was having this discussion about the franchise fee. I particularly was saying that we should see how not including the franchise fee in order to reduce the cost to the residents. So by virtue of the cost of the services going up, probably almost $10, we agree. If we did not have the franchise fee, then the rate will basically stay the same as last year.

Okay. But essentially, if we did not have the franchise fee, would the rate remain relatively the same as last year?

Last year's millage was... We're going up $9.80.

If we were to cut out $9.40, we would be closer to last year's amount, correct? Correct.

I'm not refuting that. What I'm saying is comparing apples to apples. The cost is going up $9.80, and the cost for the franchise fee is $9.40 a month. If we did not have franchise fee, it's simple mathematics and arithmetic, right? Will we be closer to our last year assessment? No, because from the comments you said earlier, it's not apples to apples.

No, I'm talking basic arithmetic. So if the assessment is going up $9.80, and if we were to reduce the franchise fee or eliminate that, by now I was in 40 cent, then we'll be basically back to where we was as far as the general assessment last year.

Exactly. Okay, how would they do that? Because if our millage rate stays the same and we eliminate the franchisee, then it would be the cost savings to them of $117.57. All right. Hold on. I'm asking the finance director. Well, I think I was going to give the same thing. I'm asking the finance director. Let the finance director answer the question, please.

No, no, no, no, no. Well, I'm not going to have him answer because he works for me. That's why I'm telling you. He works for us ultimately through you. And my request is to hear from the finance director. Well, I'm going to let him go ahead and answer because I'm saying the same thing.

Hold on. When you say that our budget is being funded by $3 million of fund balance, are you alluding to the fact that we're going to be taking $3 million from our reserve?

If we lose $500,000, we need to take $3 million from our reserve coverage?

Wait, wait, wait, wait, wait. Let me just clarify what you just said. You said because we cut the military 0.3 mils, which only equated to like $190,000. You went into our reserve $250,000 last year.

We did a million and a half dollars in our reserve last year.

No, that's not my understanding that we were touching our reserves as far as $1.5 million, because why would we need to go into our reserves $1.5 million for a $190,000 difference in the tax rule?

Not about going into the reserve. We cut from the BSO contract increase in order to come with that. We had a lengthy conversation as far as what areas we were supposed to cut. So we were supposed to cut the tree lighting program.

No, you guys did not. Well, we cut. You were supposed to not have the tree lighting program this fiscal year, but the city manager went ahead and financed it through the budget even though it was not approved by the commission. We talked at length about how we can reduce our get to that $190,000 last year by trimming the increase from PSO and eliminating the merit increase for the employees. And that's what we talked about. We never, ever discussed going into the reserves.

That was never explicitly explained during the budget meetings. No one ever stated in the presentation that we were taking X amount from the reserves and what we were taking X amount from the reserves for. It was never even mentioned at all.

I'm just really in shock that it was not highlighted about going into the reserve because Even when we had the home explosion and we were exploring the idea of how we can help out with the home explosion, it was stated, oh, we can only use the reserves if the house is on fire. If we have catastrophic loss, that's the only reason why we should go into the reserve. But to now be learning that this fiscal year, we dipped in the reserve without the commission saying, knowing about it because it was snuck in the budget and it wasn't highlighted in the budget presentation that any of the reserves ar

No matter how you would phrase it, is what I'm saying factual or not?

I have one more question to the city manager. Since we're discussing about solid waste, you know, we are also responsible for the commercial industry too. So I wanted to know, has a notice been sent out to the businesses to notify that they do not have an option to select their waste collector that is going to be waste management? Have a notice been sent out to each businesses that way they can be aware?

No, has it also been sent out to notify the business owners that they do not have an option to select their garbage solid waste vent as what they usually do? That was going to be strictly waste management.

Okay, so they haven't done it yet to notify their...

Okay, so you don't know if it's already in process or has it been done?

And they haven't had a discussion on the breakdown to see how the fee is going to be calculated? And we as missionaries, just like how we're doing the residential, we haven't had a chance to... No, it's part of a proposal.

But I know I'm saying that we did not discuss that part to see what was going to be the charge to the...

Okay. I would like to see... Just like how we're working on the residential... You know, I'd like for us to also be able to see breakdowns as how we're doing it.

Yeah, because we did not go into lengthy discussion about the commercial aspect.

I understand it's part of the contract, just as how the residential is part of the contract. And, you know, we got to work it out and see exactly where the numbers are coming from, but we never did for the commercial. So that's That's the part I'm saying is that if you can show us a breakdown, not today, but at another time for the commercial, because they're still going to come to us when they start seeing the changes, just like how one of the businesses emailed us wanting to know about the pricing and the calculation. So my point is just as how residential is in the contract, and we are brea

Commission, what's your pleasure on item number two? Madam Mayor.

Yes. Commissioner Smith had spoken first. He called for a motion. Is there a second? And then if you have a question, we'll answer. I'll come back to you. Is there a second?

I didn't even hear a motion because I didn't know who you were recognizing. You didn't say by name. I assumed that it was me.

So Commissioner Smith spoke first. Is there a second to his motion?

I didn't hear a motion. A motion to approve the idea of the motion to approve.

Is there a second and then I'll ask you'll be able to ask your question. Is there a second? To the motion, is there a second? I'll second for the motion. Just for the sake of. Asking moving forward and you can ask your question.

But I think you should let her do her question and then we'll go to.

Can you let me run the meeting? Thank you.

But sometimes you're not doing it the proper way.

Commissioner Touchstone, what's your question?

Okay. So I had a comment to piggyback off of what Commissioner Everlard was discussing with the commercial rate for the businesses. As I understand it, this service, would not go into effect for three years into the contract, three years into the eight-year contract. Is that correct? About the commercial... About the commercial... Nobody's able to answer that? When would the commercial business start under the contract? Because it was my understanding that it won't occur until three years into the eight-year contract.

This is not a finance director question. This is operations as far as the contract because Chris is sitting and leaning that that's not

No, so when we were discussing the RFP proposal, it was explicitly stated. I would like to request now the public record request for that specific meeting where we were discussing the terms of the contract with the vendor. It was explicitly stated when I asked about why are we doing an eight-year term. It was indicated by your facility manager and the potential vendor at that time that the commercial services would not begin until three years into the contract. So that's why we did an eight-year contract opposed to an extra year contract. to allow for that transition. So you're saying to me no

I'm getting several calls and emails from commercial businesses even saying that waste management is proposing to increase what they're currently paying by double. So like if a business owner was paying $500 for however many frequency, that same frequency for that same cubic yard dumpster is causing them over twice the amount. So if they were paying $500, it's being proposed for them to pay like $1,100. Go ahead. You didn't want me to finish? I said you didn't want me to finish what I was saying?

Well, this is why I had put on record my objection to us putting the cart before the horse. We never did an assessment as far as the business impact with putting out an RFP that included commercial availability into this existing contract. There was no meeting with existing business owners to quarrel them about what it was that you were going to be opposing to the commission. So it's not something that the commission indicated to you that they had desired to combine the contract with commercial. In fact, when you brought the idea when we were considering the second RFP, I went on record saying

ANYTHING ELSE? SO THERE IS A MOTION TO FLOOR AND A SECOND. CAN YOU GIVE THE ROLL, PLEASE?

At this time, we need to adjourn this meeting and close out the regular commission meeting and open up Twin Lakes meeting. So I'll entertain a motion to adjourn this meeting and a second. Is there a second?

Now that's how you properly adjourn the meeting. Again, a motion in the second.

We will go ahead and start the next meeting, which is the Twin Lakes meeting. So, Mr. Clerk, do you need to call roll or do anything over again, please?

Yes. So the mayor does know how to follow the rules sometimes.

It's a motion by Commissioner Smith. Is there a second? Second. I believe it was Evelard that was second. Any other questions?

At the time, we'll adjourn the Twin Lakes meeting.