CITY COUNCIL OF THE CITY OF ABILENE, TEXAS
CITY COUNCIL CHAMBERS
CITY HALL
The City Council of the City of Abilene, Texas, met for a Special Council Meeting on September 5, 2001 at 9:00 a.m. in the City Council Chambers of City Hall for the purpose of considering an Ordinance approving the Revised 2000-01 Budget and Proposed 2001-02 Budget; and an Ordinance setting the FY 2001-02 Tax Levy.
Mayor Grady Barr was present and presiding with Councilmen Norm Archibald, Kris Southward, Victor G. Carrillo, Rob Beckham, Jimmy McNeil, and Councilwoman Kay Alexander. Also present were City Manager Roy McDaniel, City Attorney Sharon Hicks, and City Secretary Jo Moore.
Councilman Rob Beckham gave the invocation.
Mayor Barr recognized David Wright, Director of Finance, who briefed the
Council on the Ordinance approving the Revised 2000-01 Budget and Proposed
2001-02 Budget; and an Ordinance setting the FY 2001-02 Tax Levy. Mr. Wright
stated one public hearing could be held on both Ordinances, but separate votes
on the two Ordinances is required. Mr. Wright distributed to the Council FY02
Proposed Budget Summary information, then reviewed the information as follows:
City of Abilene FY02 Proposed Budget
General Fund
Balance After Proposed Adjustments
At 8/23/01 Public Hearing $351,700
Reduce Tax Rate to 60.85
(GF: 46.13 / Debt: 14.72) ($340,000)
Adjusted Proposed
FY02 Budget Ending Balance $11,700
City of Abilene FY02 Proposed Budget
General Fund
Ad Valorem Tax Summary
Original Proposed
FY 01 FY 02 Increase
Total Funding Sources: $54,082,380 $59,039,200 $4,956,820
FY02 Roll Ad Valorem Taxes
Reappraisal $13,301,150 $13,752,625 $451,475
New Construction $185,964 $185,964
Tax Rate Increase $738,131 $738,131
Total FY02 Ad Valorem Taxes $13,301,150 $14,676,720 $1,375,570
City of Abilene FY02 Proposed Budget
Effect on Average Homestead
Regular Homestead Over 65 Homestead
This Year Proposed This Year Proposed
Average Residential
Homestead Value $64,683 $67,434 $64,683 $67,434
15% Homestead Exemption (9,702) (10,115) (9,702) (10,115)
Over 65 exemption (15,000) (15,000)
Average Taxable Value $54,981 $57,319 $39,981 $42,319
Tax Rate .5809 .6085 .5809 .6085
Tax $319.38 $348.79 $232.25 $257.51
Difference
Yearly $29.41 $25.26
Monthly $2.45 $2.11
Mr. Wright briefly addressed, at the request of Councilman Southward, the increases in refuse fees as approved by the Council at the July 26, 2001 Council meeting.
The Resolution approving those increases is numbered 32-2001 and is captioned as follows:
A RESOLUTION OF THE CITY OF ABILENE, TEXAS REVISING THE SCHEDULE OF RATES AND CHARGES FOR REFUSE COLLECTION DIVISION.
Mayor Barr opened a public hearing on the Ordinances, and the following individual spoke:
· Ralph Hicks, 250 Palomino Rd., stated he has been a taxpayer since 1964, and then addressed his disappointment that few people are in attendance today, stating he feels it's due to the public hearing being held when people are at work. Mr. Hicks noted concerns over businesses which have left Abilene, and stated his major concern is that he's retired and on a fixed income. Mr. Hicks also stated Council should be talking about lowering the tax rate and asked the Council to consider what people are earning in Abilene, and not raise taxes.
There being no one else present and desiring to be heard, the public hearing was closed.
Councilman McNeil made a motion to approve the Revised 2000-01 Budget and
Proposed 2001-02 Budget Ordinance. Councilwoman Alexander seconded the motion.
Council comments included:
· Councilman Southward addressed his not supporting the proposed budget
due to the other increases in living cost the citizens of Abilene are experiencing
noting that this is the wrong time for this type of tax increase. Councilman
Southward commended City staff & Council on seeking to provide fair pay
to city employees but noted offsetting spending cuts should have been made
in the budget. Other concerns noted by Councilman Southward included:
1) During the budget workshop when increased spending was discussed he thought
those would be counterbalanced with budget cuts.
2) The purchase of a shredder to be paid back through environmental fees
over two years, has now in part been moved to this budget. Councilman Southward
questioned if the environmental fee will go away when the shredder is paid
for, stating probably not and noted the unfairness of that.
3) The hiring of 4 new people in the planning department should equal decreasing
the workload in the building division. The City should look at the same trend
local businesses are looking at, no new people. Councilman Southward concluded,
stating outside of city employees - only 2 people have expressed to him approval
of the proposed budget, and over 100 people have contacted him expressing
disapproval. Councilman Southward stated the citizens should be listened to.
· Councilman Beckham reiterated Councilman Southward's third point concerning hiring employees in one area and decreasing the workload in another. Councilman Beckham also referenced the minutes of the August 1 Board of Building Standards meeting where discussion was held concerning the overall revenue from permits being down, fewer permits having been issued this year compared with the first six months of last year and possible avenues to realize a revenue increase through increasing minimum permit fees (user fee increases of approximately $52,000 from various licenses and permits are part of the funding for FY02). Councilman Beckham stated the City needs to be as frugal as possible. Councilman Beckham further stated his appreciation to the Council for the respect demonstrated throughout the budget debate process.
· Councilman Carrillo addressed the reduction in the proposed budget and tax levy since the July budget workshop noting those reductions make it easier for him to now support the proposed budget. Councilman Carrillo stated the City Council has committed to equalizing pay for city employees and stressed pay increases particularly be considered for lower level employees. Councilman Carrillo concluded by urging the City Manager to prepare a no tax increase budget proposal as well as any other proposal he feels necessary for next year's budget process.
· Mayor Barr noted 10 to 12 people have asked that taxes not be raised but over 100 people have said to him to do what is necessary for the city. The Mayor further noted the 10-city comparison showed we were lacking in competitive salaries. Mayor Barr concluded by stating he feels the proposal is a large increase, but although he would like it to be a lesser number, he can't see how everything that needs to be accomplished can be without an increase.
· Councilwoman Alexander stated Council knew in January what budgetary considerations would have to be made in order to treat all employees equally and fairly. Councilwoman Alexander further stated many more people contacted her in support of the proposed budget and although there were some against it, when she explained what the increases were for, no one objected to treating employees equally. Councilwoman Alexander concluded by noting that although she would much prefer not to raise taxes, this is the right action to take.
· Councilman Archibald noted the budget process has been a difficult one. The majority of the budget supports staff and the Council is faced with a catch up year in order to treat all City employees equally. Councilman Archibald further noted with Council having brought the Police Department salaries up, in his opinion, the commitment has been made that all city employees salaries should be in line with the jobs they do and competitive to other cities.
· Councilman McNeil noted this is the 7th budget process he has been involved in and that although the decision has been a difficult one, he is comfortable with his position on the budget. Councilman McNeil recommended to the City Manager that the Council be involved more and earlier in the budget process. Councilman McNeil concluded by stating he is willing to spend extra time to better understand the budget and that he feels good about the employee salary comparisons.
Following Council comments, the motion to approve the Revised 2000-01 Budget
and Proposed 2001-02 Budget Ordinance carried.
AYES: Councilmen Archibald, Carrillo, McNeil, Councilwoman Alexander, and
Mayor Barr.
NAYS: Councilmen Southward and Beckham.
The Ordinance is numbered 22-2001 and is captioned as follows:
AN ORDINANCE APPROVING REVISED BUDGET FIGURES FOR FISCAL YEAR 2000-2001; APPROVING AND ADOPTING BUDGET FOR THE FISCAL YEAR OCTOBER 1, 2001, THROUGH SEPTEMBER 30, 2002, FOR THE CITY OF ABILENE; APPROPRIATING FUNDS; REPEALING ALL ORDINANCES AND PARTS OF ORDINANCES IN CONFLICT HEREWITH; CALLING A PUBLIC HEARING.
Councilman McNeil made a motion to approve the Ordinance setting the FY 2001-02
Tax Levy. Councilman Archibald seconded the motion and the motion carried.
AYES: Councilmen Archibald, Carrillo, McNeil, Councilwoman Alexander, and
Mayor Barr.
NAYS: Councilmen Southward and Beckham.
The Ordinance is numbered 23-2001 and is captioned as follows:
AN ORDINANCE OF THE CITY OF ABILENE, TEXAS, APPROVING THE ASSESSMENT ROLL FOR 2001, LEVYING AN AD VALOREM TAX FOR THE CITY OF ABILENE, TEXAS, FOR THE YEAR 2001; PROVIDING FOR THE ASSESSMENT AND COLLECTION THEREOF; REPEALING ALL ORDINANCES AND PARTS OF ORDINANCES IN CONFLICT HEREWITH; CALLING A PUBLIC HEARING; PROVIDING AN EFFECTIVE DATE.
There being no further business, Mayor Barr adjourned the meeting at 9:50 a.m.
______________________________ ______________________________
Jo Moore Grady Barr
City Secretary Mayor