City Council - Regular Meeting

Hello. Hey. Hey. Yeah. Hey. Everything feel down. Heat. Heat. N. It's a wonder. Heat. Heat.

Hey. Hey. Hey. Thank you. feeling. Here we go. Hello. Hey. Hey. I feel like

I do it. Lord, thank you for this day. Thank you for allowing us all uh to gather here today and represent our community. Just watch over all of us and all the families that are represented here. Watch over our community. Jesus name. Amen.

Amen. I'd like to establish that we have a quorum and call our meeting to order. We're going to start with the pledge of allegiance to the flag of the United States of America. 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.

Now the Texas flag. Honor the Texas flag. I pledge allegiance to thee, Texas. One state under God, one and indivisible. Everybody can be seated. I'd like to thank everybody for being here this evening. Uh we're going to start with our public comment. Rebecca, do you have did you have public comment? Is that

No, on the agenda. Okay. Uh would like to fe in on a public comment. Okay. Tell us about this. Okay.

Good evening. We're glad. We're glad you're here. Thank you. I am honored to be here. I am here on behalf of the Bailey County Historic Commission. I am the Bailey County Historic Preservation Officer. Um, for those of you that don't know me, my name is Rebecca Bill. Um, this is America 250, which means we are celebrating America's 250th year of the Declaration of Independence signing. The nation has committees that have charged the communities of America to do different community activities. Get your community involved in the history of the nation. I um have presented some sliders for you for some activities that I am working on. I'm doing this to bring recognition to Bailey County and Muho, not only just to our communities, but to our small historical items that we have here. I don't believe we are well known enough. So, I'm hoping to get that out there. There is a website that um once I get these um activities confirmed on dates and times I will be posting it. It is a national website and I'm hoping to bring in some people from even across the nation maybe to see our what we have to offer. Right now currently the Shao Junior High and High School are doing an essay and art contest either or or both. Um that contest is due March 30th. Um it is based on America 250 and um if the students win I have a committee that's going to judge those competition entries here at the local level and if they win on local level I will submit it to the national um contest in which they will pick

um different grade levels and I think there's five different um trips that can win scholarship trips either to Washington DC, the Austin, it'll be somewhere historical. So, they are currently doing that at this time. So, like I said, that's due March 30th. On May 30th, we're going to have the erection of the Bailey County Cemetery Gateway. If you Google cemeteries in Ba Bailey County right now, there is one called the Unknown Unnamed Cemetery. We figured out that that is the Bailey Burough Cemetery, and we think that is very sad to not give those people some kind of recognition. So, we're going to have a little work day. There might be 15 to 20 graves out there. So, it's a very small cemetery, but we're going to clean up that cemetery. And we um as a historical committee have um got a archway, entrance way to the cemetery built and we're going to erect that on May 30th in the morning. We are currently working on a bicycle tour of the historical markers here in Milshu and Meley County. Um that's going to happen on June 6th. After that, we are going to have a community meal out at the Heritage Center. Um we're not sure yet if we're bringing in food trucks, if we're going to do um catering. We're just really not sure what kind of meal, but we want that for the bicyclers that stop. We want them. We're going to open up the Heritage Center and let them tour that as well, plus have a meal there. Um, on June 20th, we're going to have kind of a youth uh tiny youth day and um we're going to have tea parties. We're going to have an arrowhead hunt. Kind of like an Easter egg hunt, but an arrowhead hunt. I'm currently working with the Texas Historical Commission on getting a Native American storyteller to come and do a presentation for kids while they're there doing the arrowhead hunt. Um, we're going to do some little mini patriot games. So, we're going to

have stick horse races. We're going to have um plastic bow and arrow shoot. Just some things maybe in the colonial era that they had done, but we can't actually put a bunch of kids on horses. So, we're going to do stick horses and such and just kind of make it a fun family day. As well as for the adults, um bringing in um what it looks like right now, the quilting exhibits from East Texas. Um it's called the East Texas Quilt quilt guild. They're interested in bringing their quilts. We're going to put them up in this heritage center as well as um I'm going to talk to a few local people that have arrowhead collected and have their arrowheads on display it as well that day. And that's going to be June 20th. June 27th, I've partnered with um Gabby Newton to do a 5K morning run in honor of the America 250. Um July 3rd, we're going to have the blood drive bus here and we're also going to open a time capsule that has been buried at Bula Cemetery for 50 years. We will open it out there. There's going to be a little gathering, refreshments and such. And then it's either going to be at 9 or 10:00. I'm not sure. Julie Leighton's in charge of that, but um we're going to invite everybody out to that to try to make that a special thing. The artifix facts will be displayed at the library afterwards. On July 4th, sometime in there um that busy day, we're going to bury a time capsule and which will be opened in 50 years at the 300th anniversary of America's signing and um we're going to bury that out at the Heritage Center. So, um, right now I'm just here to let you know that these are the events that I have kind of planned and are coming up. It's quite a few things. Um, I would

love to get each of you's emails, addresses, and that way I can update you on specific times and dates as they come. And, um, we would love to have you come out and participate. Is there any questions? Okay. Thank you again for allowing me to come and talk to you.

Sounds like a good list of events coming up. I I think so. I'm just trying to get for the community to pull together and I've gotten a really good response from everyone I talked to so far. So, I think it's going to be a good time. Really appreciate you taking care of those things. Well, thank you. Appreciate you.

Yes, ma'am. I guess we can go back to city. So, All right. Uh, our next item is going to be the approval of the minutes of the council meeting held February the 9th, 2026.

Make a move motion we approve those minutes. I'll second a motion and a second. All those in favor say I. I. All opposed. Motion carries. Our next item is to receive the 2425 audit report from Terry and King CPAs.

Make a motion we receive that. I think we got to perfect. That is perfect. Thank you for coming. We do have a representative. I

I am going to go real fast because as we've already established, no one likes to listen to accountants talk. Loves it. The camera loves it.

Oh, Tam loves it. Okay. Um, we appreciate coming out here. We love coming to Mules Shoe. She does a great job. her staff does a great job. Makes it it makes it as much fun as auditing can be uh to come and and do this. Uh so everything's great and we appreciate everybody here. Um on page two of this report and like I said, I'm just going to hit the highlights. Not going to bore y'all with a bunch of stuff, but we've got a letter here from us to you, uh, the city council, mayor and city council. Uh, and we just state here state here that we've audited the financial statements and they present fairly the results of operation and the financial position of the city of mules. So, a very clean opinion. Following that, there's a management and discussion part on page five. I like to jump to if you look at page 8, uh there's a table A1 here. It's a little small, but I I like to look at this because it's got some comparative data. Uh this is what we call the governmentwide financial statement. So, it's adjusted for a bunch of things. Um but it's still there's some specific points like uh over on the right hand side you can see current assets are up from 7 million 168 to 8 million uh overall the net position is up from 12 million6 to 14369. So, we see that y'all done really well. Uh that you've uh your cash your your

current uh your total assets are up and overall just everything looks good. And that is from the results of operations that are on page nine. This is a lot of paper. We kill a few trees when we do this. Um, looking there, you can see that, uh, total revenues up. Um, over on the right hand side, this is government activities, business activities, but the total primary government revenues up from 6,8 to 7 million. Expenses are up a little bit, but overall you added to the net position 1 million uh 1,850 850. Yes. Uh and so total is we're up to 14,369. The prior period adjustment has to do with uh a new governmental standard where we're putting compensated absences on. So that's the beginning balance of those really doesn't affect anything there. Then I'd like to jump to the basic financial statements which will get passed on the management discussion analysis u and page I'm looking for is page C2 on page 18.

Now, this is the government side of your financial statements, but what is we got balance sheet and some of the other information that we have in those tables, but here this U exhibit C2 is statement of revenues and expenditures. This is the the government side of the city of Mu and this is just really cash in cash out. Um so revenues you can see operating fund the general fund 3,791 from revenues uh economic development home grants CLR CLFRF and the other funds total uh government funds 5,730 in revenue total expense 5,301. So something that we don't see a lot of is an actual net position gain in cash in governmental funds. So this is like I say I I came to the best city tonight. My partner went to the other one.

You did. You did. It went the other way. I I wanted the positive one. I want to come to the positive one. So 429,000 uh some transfers in and sale of assets of 544 bringing the fund balance to 5,57. So overall you look at fund balance and um a fund balance you try to especially in governmental funds you try to have 3 months of operating expenses. And if you look at your fund balance there for the general fund, 2,ion7 and 3,486 is your operating expenses. So you've got well over 3 months, nearly up to a year in assets. On page 21, this is the other side of your government, which is uh well what we call the proprietary side, the um water and sewer. And here you can see revenues, operating revenues 2 million, expenses 1,326. So we got income before contributions and transfers of 700. We got to transfer the general uh some balancing. So changing that position 673,000. But on the next page 22, we break this down so that we get a cash just like the general fund that we looked at. You can see cash from activities a million 20 uh cash used cash provided. And we see overall cash the increase in cash 600,000 and then we had 500,000. So really

really good good results and and good use good use of of your resources and what you're doing out here. What you've done for the city is excellent. You're going to be commended. Any any questions on that? move on quickly.

You got a good pace going. Okay. Um and I'm about through uh unless you've got questions. On page 36, uh we got the capital assets. Um, so here we're looking at the additions to government activities. You can see on page 36, this is a footnote uh 951,000 in additions there. And uh then in water and sewer 176 those are the additions to what you had already. Um, we really don't have obligations per se. Uh we got the talking about the uh I'm sorry on page 4 this but uh so total on the obligations the go bond a million75 and decrease 261 um certificates of obligation on the business time being 650 and decreased reached 180. And you see the debt service requirements at the bottom on page 41. And really the rest of the footnotes talk about uh the TMRS pension plan computation of all of the actuarial things that we need to add to the financials for that including the OPED. It's really great

reading. I would encourage you to take your report home and read all that helps with insomnia. Page 55 is just a comparison of the government side of like we looked at to the budget and that was really just excellent. some other budgets uh following that on the economic development home grant, the CLF RF grant on 56 on 65. Five exhibit G1 I was looking for uh taxes tax collected on the government side you started with 154,000 owed to you had a levy of a million291 you collected um a million64 for maintenance that service 221 so you ended with 146 so over 100% % collection. On page 66, we've got another letter. And what that is is as we're doing the audit, you know, we're not just looking at the numbers. We're looking at rules, regulations, internal control out here is so good. Everything is where it needs to be. Uh,

so this letter is about that and it just says, "We've looked at everything and we found nothing at all to report to you." Was that too fast? I like what you said. Had a good momentum.

I like that pace. Good pace. Yeah, good pace. I like that. Mayor, any questions? I know that was really fast. There's there's a lot here, but but the crux of it is that you did really really good with the resources that the taxpayers gave you and and you've built up funds and you've got money to do things and that's all I can say. You think it I mean it appears that 25 was a pretty good financial year but we have some sign significant things that uh we're facing coming up and so it's a good thing that our finances look in that direction.

They are good. Does anybody have any questions? Did you get my good side? Good. Is there a good sign?

Is there a good sign? No. Uh, good reading material. Take it home. If there's anything that you have any questions, uh, we we do have their number. So, yes. Uh, really, we work for you all year round. So, please let us know if you've got any questions or if there's anything that you need. U, Ryan's cell phone number. Uh, Seriously,

you guys are not right. All right, so there's no questions. Oh, we'd appreciate your time and all your hard work. All right. Thank you very much. Thank you for coming. Take care. I'll make a motion that we approve the audit report.

I'll second it. We have a motion, a second. All those in favor say I. I. All opposed. Motion carries. Our next item is to consider the cancellation of the May 2nd, 2026 general election for district 3 and district 4.

Mayor, the law allows for the cancellation of the election where candidates unopposed. Zena Carpenter is the only applicant for the place on the ballot for district 3 and Gary Parker is the only applicant replacing the ballot in district 4. Uh they're both unosed. Uh therefore uh we recommend cancellation of the election on May 2nd.

I'd like to make a motion to cancel the election. Second. Move a motion to second. All those in favor say I. All opposed. Motion carries. The next item is to consider ordinance number 0-556-0326 approving Atmas Energy RRM tariff. Mayor, uh, following negotiations between Atomus Energy and the West Texas cities, uh, there's about 66 cities in this group. Uh, on the rate review mechanism, that's how they determine how to charge. I thought in our area, uh, both parties agree that there's no really major changes to the current rate. Therefore, uh, the tariff has been approved between both parties. The last time this uh we were looked at it was in 2018. So

I'll make a motion we approve that ordinance. I'll second. We have a motion and a second. All those in favor say I. I. All opposed. Motion carries. Our next item is to consider the recommendation for the MSU Economic Development Corporation for the MSU meat processing project. Mayor's MEC board has determined that this project meets the guidelines for TAB project. Um it recommends to council to approve 35,000 loan to mutual meat processing. Uh included in your package or drop box was a memo from the EDC board. It is a different project than currently we have uh mutual mem market. I believe this project is to upgrade um their pins and their chute uh back there that they feel that by them doing that they can actually uh expedite the process be able to uh process more animals and in return they're they will create four additional jobs. So just on the process alone. So that is something that the ADC board was looking at.

Well, I'm telling you right now from experience that those pins have been a problem for a long time. I have bad. How many how many have I roped that have gotten out? They're they're they're bad and they it's just not set up right and it's it's very easy for something to get out. Well, if you're cowboy enough, then you can join the stick horse racing.

There you go. Um, so do we have a current report on, you said this is going to be tied to jobs. Do we have a current report on how many employees they currently have? And I don't. This is creating four additional jobs.

Okay. But that's something we'll monitor. This will be additional. Yeah. uh regardless of what they currently have. Um is there any action that needs to be taken on that specific agenda item?

Just consider the recommendation. The next item, it's an actual resolution. So if you guys want to move forward, I I do need a motion to consider that and then we'll go into the resolution. I'd like to make a motion to consider.

Second. Have a motion, a second. All those in favor say I. I. All opposed. Motion carries. Then move into the resolution of uh the MEDC's recommendation. Uh but this resolution what it does it uh u council it's agreeing to move this project forward. U like I said is for modernization of their holding pants and knockbox or the chute. Uh the terms will be discussed between uh city and the MEDC board and and the mual meat market. It this like I said this project is tied to job creating. Uh it would depend on those four jobs actually being created

and that would be as long as those jobs are created then it is a forgivable loan. Correct. Correct. It's 35,000. Uh so they're talking about creating four additional jobs. I believe it's 8750 that would be forgiven per job created at the end of a 24month period. All right, I'll make a motion uh that we approve the resolution.

I'll second. We have a motion in a second. All those in favor say I. All opposed. Motion carries. Mayor, you will see this resolution again at the next meeting. There's two readings for the resolution and there is a 60-day waiting period for any funds to be dispersed. Uh so you will see this resolution again at April's meeting. Next item is to receive the financial statement for the month ending February 28th, 2026. I'll make a motion to receive the financial statement.

I'll second. We have a motion to second. All those in favor say I. All opposed. Motion carries. Our next item is administrative reports. Mayor, the TML Region 3 meeting will be held at 6 p.m. on Thursday, March 26 at the Love Civic Center Banquo Hall. Uh please let Tamara know if uh by the 13th if any of you are planning to attending. Uh that's always a good time to get with other area council members and staff. So uh that is the first one for the year. Uh project updates. Uh I'm sure most of you have seen the railing that has gone up on Main Street. Uh that project turned out to be a good project. One of the ones that uh like to update you is we are currently taking applications for the home crowd room. Uh starting March the 2nd to April the 2nd uh folks can pick up an applications here at city hall. Uh my plan is to reconstruct five additional homes. So we're in the process of u picking up applications taking applications for that. So, uh, if anybody has any questions or contact city hall, uh, we do have additional information we can provide to those homeowners. It is real similar to what we have done in the past. Uh, like I said, my plan is to reconstruct five additional homes. So, and that's all I have.

Does uh the council have any remarks? I just have a question. Since our last meeting, I've had two citizens talk to me about getting on the agenda. Can you go into detail about how that's done? Sure. Uh, first step is to contact city hall. Uh a lot of the items could be handled in my office prior to the council. If it's something that is uh that the council as a whole need to discuss or uh here then we can put them on the agenda.

Does it always come to us or do you handle most of that? It it it depends if it's warranted. Uh yes, but first step, anybody would like to be in the agenda, please contact us at city hall. Okay. Yeah. The structure of our organization is to have a city manager that takes care of day-to-day operations.

Um it depends on where that day-to-day operation falls. I mean, is it something that's operational or is it something that is business that needs to be presented to the council? Yeah. And

so, but I think if they contact city hall and go through those steps and I trust that everything will be handled appropriately. Mhm. Anybody else have any remarks? All right. Then we're journed. Thank you all. Thank y'all.