We're going to go ahead and get this
meeting started.
This is a um
City of Texas City
uh budget workshop. We have to have two
of these, and this is the first of two.
The first one will be next week on
August the 12th
at 5:00.
To begin with, we're going to start with
roll call, starting with Commissioner
District
Two. Okay. Yeah, Commissioner Ward.
>> Barbie Tucker, District 2.
>> Brian Getsch, Commissioner-at-Large.
>> Abel Garza, Mayor.
>> Wade Johnson, Commissioner-at-Large.
>> Chris Sharp, District 3.
>> Jason Delgado, District 4.
>> This is going to be a good meeting cuz
this is the meeting we've all been
waiting for, so we'll turn it over to
the star of the show, Ms. Laura Boyd.
Hold on, Ms. Boyd. Here comes Andre
Natson. We have a full commission.
» Thank you, Mayor and Commissioners. Um
This is the first of two budget
workshops.
Um
This is the the calendar so that you can
get an idea of how this process works.
Um late May, early June, um
there's budget meetings between the
department heads and the uh
the mayor.
And then uh phase two
um
July 10th was the deadline for the city
to submit truth and taxation information
to the county tax assessor.
July 27th, deadline for the chief
appraiser from the
uh appraisal district to certify the tax
rolls.
And then on July 29th, the city received
no new revenue tax rate and the voter
approval tax rate statements and
schedules from the tax office.
And uh
part of the um
requirement when budget is being
discussed, as you'll see um
previously on the agenda was a taxpayer
impact statement.
And the
it shows what the current adopted tax
rate is, the
no new revenue rate, and then once
the commission has
selected a proposed tax rate, that will
be shown here as well.
So, for the no new revenue rate for tax
year 26, fiscal year 26-27,
it's 0.497231.
And the median taxable value of a
homestead, $188,833,
estimated annual tax bill $938.94.
You might wonder, well, why is the no
new revenue rate higher than than the
current rate? Well, because the tax
values went down.
And uh
when I present the proposed tax rate to
you at a future meeting, I will go into
more detail
regarding property values and how the
tax rate is calculated, and we'll get in
deeper into that.
So,
um
August 5th, today, and next week on the
12th, budget workshops. And then um
the proposed tax rate
and the other rates will be on the
city's website
August 10th.
August 14th, we'll schedule pub-
hearings on the the budget. Regular call
meeting and and on the August 19th is
when I will present to you the
proposed tax rate for you to vote on.
And then we have a couple of required
notices of budget public hearing. And
then on the 16th of September is when
the commission will
adopt There will be a budget hearing,
adopt the budget, adopt the tax rate,
and approve the certified tax roll.
So, in tonight's workshop, I'm only
going to go over the general fund
budget, which is the largest of the
funds. It's where most of the
departments are, the main maintenance
and operations
of the city.
I'm on the same page.
This
schedule here is a summary that shows
the general fund revenues and
expenditures.
The amended budget for the current year,
what's year-end projection, and then uh
proposed budget.
As you are probably aware, the two
largest components of the general fund
revenues is property taxes and sales
tax.
>> [clears throat]
>> And you might want to might wonder,
well, why is the amended budget 30.6
million on property tax?
Projection is 32.5,
and then the proposed is 31.1.
Well, when when the tax office and the appraisal district provide their
information,
that's at a certain time a certain date
and time. So, in July of this year,
they're saying that the appraised values
are X amount. Well, throughout the tax
year,
they submit supplemental
valuation reports,
which
typically those are higher than the what
was originally certified. Consequently,
the tax levy ends up being higher than
what was originally budgeted, what was
originally adopted, because of these
supplemental
valuation increases.
So, that's why you're seeing
the the 2 million difference between the
amended budget and the year-end
projection.
Now, the proposed budget on the
revenues, I have a I have assumed
that
the no new revenue rate of 0.497231
is what will be adopted. So, that's
where the 31 is coming in.
Um that
likely, based on previous history,
likely will increase resulting in larger
property tax revenues.
Um
>> [clears throat]
>> then uh
if you go down to the expenditures for
me. Thank you.
Here are the various departments that
are covered into the general fund.
We have general government, which
there's uh some staff
personnel that are in there, and then
the the pay for the mayor and the
commissioners are all is also included
in that department. Finance is, as you
expect, finance. Uh
legal, purchasing, planning, which is
also includes engineering.
And you got uh IT,
uh human resources, and communications.
Well, the general government department
and human resources, communications,
and um
neighborhood improvement services,
and facility management were all
departments that were added
in last fiscal year.
Uh
anyway, so um police, fire, neighborhood
improvement services used to be a piece
of the fire department, and then it was
broken out to a separate department.
They still
report to the fire chain of command.
And you've got inspections, municipal
court, emergency management, public
works, sanitation, pump station, uh the
aforementioned facility management,
recreation and tourism, library, golf
course,
um
animal control, and uh grants
administration are the last of the two
of those.
Um
we can go into the more detail on the on
the uh expenditure side of well,
scroll up a little bit and we'll stay on
previous uh excuse me, on that page. I'm
sorry.
>> This one?
Um here we go.
The beginning fund balance for
um
the the current fiscal year
um
I'll be honest and tell you I'm not real
confident in that number because the
24-25 audit has not been completed. It
is in progress
but not complete.
Um
and then consequently the
um
subsequent fund balances I'm not
terribly confident in right now. By the
time I bring you the adopted the budget
for you to adopt, hopefully we'll have
that more um
knocked down or in detail. Um the
Forvis Mazars accounting firm is
currently doing the 24-25 audit
and they expect to be done with their
field work, which is their
uh in-depth testing of accounts payable,
accounts receivable, all the things that
go into the financials.
They expect to be done with that
September 18th. So once they're done
with that, then they will prepare the
report.
Um
so hopefully we have
better numbers closer we get to
September 16th when you all adopt the
budget.
You can go to the next.
So this is a more detailed view of the
revenues
um
taxes also includes delinquent taxes,
penalties, and interest. Other taxes and
assessments, the the big ones
uh state sales tax
um and then our tax New Mexico power
franchise tax is also a big component
there.
Um
then the next grouping is all the
various licenses and permits.
Um and then we have grant revenue, uh
charges for services,
which is the big one there is uh
um
garbage pick up and disposal,
uh EMS patient charges,
um that sorts of things.
>> [clears throat]
» And then the the other various
um
revenue line items.
So, what what I'm expecting uh
budget-wise for total revenues is 81.8
million.
And typically we're we're quite
conservative when we budget for
revenues.
Um that's why we don't often bring back
before commission to revise the revenue
items.
Like what I was talking about before,
when we get supplemental reports or
evaluations from the CAD, we don't
usually bring it back before commission
to say
um
we're revising the revenue
budget.
Any questions so far on the revenues?
>> Yes, ma'am.
So, Ms. Boyd, it looks like just to
start off, if we're planning
84 million in spend on 81 million in
revenues,
81.8, 82, there's roughly a 2 million
deficit
>> Mhm.
>> there.
>> Mhm.
>> So, then would that come from general
fund or some reserve fund to cover that
or we're hoping for the revenues to come
>> Well, look, it it would be coming from
the fund balance.
Um
historically, like I said, we budget um
conservatively on the revenue side and
try to be as tight as possible on the
expenditure side.
Um
I don't like having the 2.3 deficit,
obviously.
The city charter requires that the
revenues or the expenditures not exceed
revenues for the entire budget, not just
one fund.
So.
Um
Like you know, this is the first
look at this and um
I'm hoping to bring back a a better total.
>> Understood. Yeah, it's my perception
that we're behind on certain areas and
we may may need to catch up on
investment and I'm I'm assuming we'll
get further into that here in a moment.
But I I do want to draw out for the
other commissioners that I've been
beating the drum about the need for more
development, residential developments,
commercial development, but
expanding development in our city will
help, not immediately, but over some
amount of time, drive more property tax
and sales tax revenues. Is that a fair
summary?
>> I think that's fair.
>> Yeah.
Thank you.
>> [clears throat]
>> You can go to expense right next
expenditure.
Here's the general government I can't
department.
Um
as we go through these different
departments, if if you'd like to ask
questions, I'm I'll entertain those.
I will tell you
um
for all the general fund departments
um even those that had requested um
personnel increases
the numbers that I'm providing to you
here assume a 3% cost of living
uh a
adjustment and uh does not include
funding for any
new positions.
» [clears throat]
>> So, I just wanted to make that note.
So, on the general fund uh Uh me,
general government department,
>> [clears throat]
>> they currently have uh
seven employees.
And they did not request any additional.
You want to scroll down to the finance?
>> Finance?
next, there we go.
The uh finance department currently has
nine personnel and no
request for additional.
And the total the
Yeah, go to the total. Yeah.
Six Sorry. Go back up there.
Almost 6 million budgeted there.
Um in the finance department, it
not just uh the usual
uh expenditures.
The TIRZ tax payments come out of the finance department and any sales tax
rebates
um come out of here with a
50/50 split between the the finance
department and the EDC.
And go to the
next.
>> B- Before you move forward, I'm I'm
trying to find that in my own copy. I
had written some notes on it, but
the if I'm reading this correctly, Ms.
Boyd, there's a jump from 4.2 to almost
6. What are some of the
chunky
parts of that increase?
>> Well, the biggest one looks like to be
it's the contractual services.
You want to go to the
Yeah.
» The the 1.5 on the insurance.
>> Right. Well, if you notice the
current budget has nothing there.
I'm not sure where the insurance That's
something we're trying to
>> Where was insurance for this fiscal
period?
>> it was I mean it was paid. I just don't
know exactly where it was paid from.
Normally it would be would have been
paid out of where I have it budgeted
for.
>> Maybe it's in one of those sub-accounts.
>> I'll let you
I'll let I'll I will answer that when I
find out where it is. But
rest assured the insurance has been
paid. It's just not been paid out of
where it usually had been paid from.
» So that's 1.5 difference, 1.5 million
difference out of the 1.8 commissioner.
>> I mean that's Yeah.
>> Very good.
>> It's a pretty big chunk pretty big chunk
right there.
>> Yeah.
>> Yes.
>> I had very diligent notes and then my
computer crashed and I lost most of them
so I'm struggling to catch up. But
please continue Ms. Boyd.
>> You want to go to the legal department?
Uh currently there is one person in the
legal department that's paid
salary and benefits from the city.
And then um
we contract for legal fees.
That shows up in the professional fees
line item. And then the court prosecutor
fees
um
previously [clears throat] they were
recorded out of um municipal court but
it's more appropriate that it come from
the legal department. So that's why it's
in here instead of municipal court.
>> So to the extent that we incur expense
incremental expense to handle litigation
and I'm assuming then we would use
outside legal services to defend
ourselves against any suits, is that in
that professional fees line item?
>> Uh yes. And also most of the departments
have a professional fees line item.
Sometimes it it's
for example if it's a police matter,
then it would come from the police
professional fees.
It would be department specific.
>> Yeah, that's specifically what I was
looking for. That is my perception is we
have ongoing litigation. I don't I don't
know that.
But where is that being paid for? And so
maybe it's
>> It would be dependent on the department
that's involved.
>> Noted. Thank you. [clears throat]
>> We'll go to
purchasing.
there's currently one
person.
Um
just a couple of days ago there were two
people.
Um so there's transition going on in in
that uh department. Um
basically staying flat with what the
projection versus the budget.
You go to the next.
>> Does
this reflect one or two people?
>> The proposed budget right now is
reflecting one person.
» So
we're not intending to backfill then?
>> That hasn't been decided yet.
The planning department is also
engineering.
Um
and uh there are three people in that
department currently.
Um
the biggest ticket on this uh
department, well, the two items,
professional fees and Connect
Transportation.
Connect Trans- Transportation is the
city's uh contractual obligation to
Connect Transit.
And then the professional fees, there
are numerous um
entities that are doing work
engineering and planning wise, and that
comes out of that line item.
>> A couple of things um before we put away
purchasing. So, um
it was my perception that under the
previous administration there had been
some amount of effort to centralize
procurement in some way. I may be
misstating that.
But that previously on the decades
prior, certain departments that procure
a lot of things had their own
procurement-related
capability.
>> [clears throat]
>> So, if we're currently considering do we
backfill or do we not backfill, does
that have some impact then on this other
capacity or am I just wrong about my
notions on all that?
>> Um
All I'm going to tell you is how it
like you said, decades previously, there
was
one purchasing person for
all departments except for public works.
had one dedicated person
um that reported to public works
director that was doing purchasing for
public works utilities.
Um
It has not been decided yet as to if
that's going to revert back to that or
if some other
variation.
>> It would seem to make a lot of sense.
The things that Jack's department
procures have a high degree of technical
specificity and complexity and so to try
to centralize that in some way would
seem
like why? Why do that?
>> Well, another uh component of
centralized purchasing um
you have to have a place to warehouse
things.
And
anyway,
that's another component of it. So,
um
>> Thank you.
>> Commissioner, it hasn't been decided yet
as to how that's going to be handled.
Um
I will present what public works has
requested and then it'll be
uh
commission to determine how they want to
proceed with it.
>> Okay, thank you. Uh moving ahead to
planning then.
So, the um this has been a topic um that
I've discussed with a number of people
um in one-to-one discussions that given
the sheer volume of
potential, I'm optimistic about it. I
think hopefully for the assembled public
and other commissioners, we've connected
the dots between we need things like
Latitude Margaritaville to help
improve our revenue situation.
But whether people agree with me on that
or not,
there
will be a lot of engineering associated
with that and engineering of different
types. I'm no engineer here, but I think
there's probably 15 or 20 different
types of engineering specificities that
are needed for that. And so a discussion
that's
I've been a part of a few of. Sorry,
speaking
extemporaneously.
I've been in a few discussions about
best practices that we might see in
other cities around us, which would
involve utilizing a third-party
engineering firm
where it makes sense for them to have
all those different
specialties. Where we need those on an
ad hoc basis, we utilize this
third-party engineering firm. And as I
also understand it, those third-party
engineering firms are largely paid for
by fees that are incurred through the
permits.
Most recently this week what I had heard
was, "Yeah, but Jason, we can't do that
because it's too expensive."
Now whether this is all hearsay and
innuendo or not, as I look at the
planning expenditures then, and I think
that we have an interim city engineer,
as I look at these line items, is that
assume that we're backfilling should Mr.
Knipper move on to whatever's next? Or
what what assumptions should we make
about personnel in the planning
department?
There was a lot there, huh?
>> [laughter]
>> Well, I have a question.
>> It's kind of a sensitive point though,
because there's a a backlog of
>> Well, Commissioner, the the
ongoing projects
within the city does use
third-party engineers.
Um and then depending on the project
um
other engineers could be brought in. I
mean that that's standard operating
procedure.
Regardless if there is an interim city
engineer or a full-time city engineer,
there's
other engineers that are involved
depending on the project.
>> Understood. What I understand
>> is at the the Are there
on behalf of the city?
>> Yes, ma'am.
Um sorry. Pardon me. I I never want to
offend or speak over you. The But where
I'm going with this is if you're a
developer and let's say that you're
trying to build 3,500 homes in our city
and then you're pre-selling out in
advance
and you make commitments to
Mr. and Mrs. Boyd that their home is
going to be ready on date certain.
Then whenever they need an inspection,
they really need it done within a really
narrow time frame. And now if I have 500
of those homes being constructed all in
tandem, that would easily exceed our
capacity to respond with the horsepower,
the manpower that we have.
So so
I can table this for discussion with the
mayor and others at a later time, but I
just wanted to
if if indeed this Margaritaville
development happens and I'm hopeful it
does,
that could put a significant strain on
our ability to respond timely with all
sorts of inspections.
>> Ms. Boyd, do you mind if I
>> Sure.
>> Uh Commissioner Delgado, I think um
you're specifically referring to the
Margaritaville, you know, the influx of
homes and if we can keep up with the
demand of them building. Is that what
you're speaking to?
>> I exactly that.
>> Um through the workshops that we've had
with Margaritaville, um I believe and
anybody else involved can correct me if
I'm wrong.
I believe they're going to be putting
100% of that bill.
I think they said 110% of it
that they're going to be covering, so
>> And
even though there's going to be a lot of
homes that they're doing it in more than
one phase, the first phase is probably
maybe 400 acres and they're only going
to build 50 homes a month. And in
discussing this with
Dirk Knipper, they'll be able to keep up
with 50 homes a month.
>> So be it. Just what I'm making sure is
that we're not planning to do a lot of
hiring when we could utilize
third parties as a best practice and
particularly when we don't have to pay
those third parties up front, that their
cost is covered by the fees that are
incurred.
>> If that comes to point, I'm sure that
third party will come into play.
>> Fantastic. Thank you.
>> Um
when we use a third party
engineering company, they don't always
control your staff
like what we have.
With Dirk Knipper, he's over engineering
with our staff.
>> Now, the third party engineers
>> That's our problem.
>> controlling our staff.
>> the head of our engineering with a third
party. We have to do both.
>> Right.
>> All right, let's go find one that will
do that stuff.
>> Yeah, the search is still ongoing.
We did interview third party engineering
group and they did not want to manage
the staff, evaluate the staff, assign
assignments, so
that company didn't work out.
>> Yeah, that's what I'm saying. That's
kind of the problem, right?
>> Yes.
» You want to go to
IT?
Here we got IT and they've got four
personnel and they've requested
one administrative assistant.
Um
the big ticket item for
Slow down.
Um
one of the big ticket items is
communications and a couple of years ago
or maybe this current fiscal year. Now
it was it was 24 25 from what I recall.
The communications
budget was
put all in innovation and technology.
Previously um
>> [clears throat]
>> each department, if applicable, would
have a communications line item, but
then it was all moved into uh IT.
Um IT also takes care of the um
maintenance contracts or renewals and
licenses for various software that is
used across city departments. Now if
it's a specific software that's used by
one department, that department will be
responsible for paying for that
software.
But um
if it's a citywide uh
system, then IT pays for that in their
budget.
>> It Is that feasible to have four people
do
>> I
>> Um it's uh
They're very busy and and you know,
they've requested
an admin assistant
um to handle some of the paperwork and and that sort of
thing. That way they can be out the the
other four can be out in the field
handling um
whatever needs to be handled at various
other departments.
>> Thank you.
I I'll defer to to Joe on this, but I I
met with himself and Kyle on this that
um I'm I'm a big fan of investing in IT
because it can enable more automation
and more throughput and more efficiency
and more services. So I I was
personally expecting to see a
significant
a bigger increase right here, but I but
I'll defer to Joe thinks this is right
then then so be it.
>> Well, obviously we'd like to have
three or four more.
>> [laughter]
» I think my private coaching was this is
an area of the staff I would suggest
doubling it.
Yeah, but if if one is is the
incremental step
supported by the mayor then then so be
it.
>> Of course the other side of that coin is
if you have good systems that work well
you might not necessarily need
>> Right.
I don't think we have that though, do
we?
>> [laughter]
» It's
well never mind. Um
we can go to the uh human resources.
>> One question, what's the
what's contractual services and
communications? What what's the
difference between
>> Can you go back to that page, please?
>> Is is [clears throat] that
» Contractual ser-
services is the total of all of those um
security through workers comp.
>> Okay, thank you.
» Now we're going to go to um
human resources.
Like I said, this department was created
in
um
in 24/25.
It was previously part of
the overall administration department
which had um
city secretary, human resources, finance
um
all combined and then it it got split
out. Anyway, there's uh four folks that
work in human resources right now.
Um
and uh they have all the the usual
expenditures for a department.
Um
» The number is decreasing.
Are we are we are we
going down an FTE there and is that what
we're going to do?
>> Until recently it was five people. Now
it's
>> that's what I was thinking it was five.
>> Yes.
Now there's only four. Um
>> And we're we're planning to stay that
way.
>> That hasn't been decided yet.
And next department is communications.
This is also newly formed department. Uh
This is uh media relations uh
Jennifer and Derek and
uh one other staff person.
Um they have requested an another
communications specialist.
Um I will tell you
this is not their only budget. They have
uh line items that pertain to them in
EDC, uh the dike fund, and uh hotel
motel occupancy tax fund.
Those are funds that'll be covered in
the next budget workshop. This is
strictly
what is covered for their department out
of the general fund.
Any questions on that?
>> It's the EDC
the what are the other funds?
>> Hotel motel occupancy,
uh dike fund
>> Uh thank you.
>> cultural arts
>> Yeah.
>> Sue, are we are we adding head count in
this area from this year to next cuz it
looks like there's a
like a 60% increase?
>> Can you go back up to the salaries line
up?
>> [clears throat]
>> Um
I'm not sure where the current
salary line the current amended budget
that number is.
>> Was it in a queue? Now it's three.
>> Yeah.
>> That's why it's changed because of
Camilla.
It was two and then Harvey period one
spot. Now we're looking for a fourth
one. That's
» And I don't know when the third
person was hired.
>> That's me.
Okay.
>> Yes, so she won't be on
>> Anyway, that would account for the
biggest difference
and all the benefits
attached there to.
And next department, police.
Not surprisingly, police has a large budget. Um
the um
the head count
not counting open positions. This is
what's currently filled is a total of
110.
84 officers and 26 civilians.
Um that salary line item is only
accounting for
the currently filled positions
with a 3% increase.
» [clears throat]
>> Is it unusual to pay the
700,000
a year in overtime or
I mean
>> Well, because of the
short staffed, then
um
I mean, the 527 year-end projection
not a pro- All the year-end projections
I need to preface this with it saying
that all the year-end projections will
change before you adopt the budget. This
is as of
a couple of days ago
extrapolated out two more months.
Um
So, the overtime
may not be 700,000 for the upcoming
year, but
>> Okay.
>> Um we budgeted for it.
>> It's a projection. Yeah, um Commissioner
Getches says the
just building on top of what he said.
Looking at that consistently across a
3-year spread, it suggests we're
understaffed. And if we're meeting the
need through overtime,
then it seems like we need to add head
count.
Is that Is that a fair summary, Mayor
Carson?
>> Yes, exactly.
>> So,
and Interim Chief Patterson can answer
those questions.
>> Yeah, and my understanding is long
before ever I
was elected, that's been an ongoing
thread. What I also understand from
talking with
a lot of folks in the know is we've been
eligible for certain grants
to expand head count and that for
different reasons that hasn't worked
out. Is that Is that a fair
>> Well, on the the couple of the grants
that I'm familiar with, um, had
requirements for hiring.
And if you didn't hire
Correct me if I'm wrong, James. If you
didn't hire
by a certain time, then you weren't
going to get the money.
>> Yeah, so the the grants that the grants
I'm talking about were from the prior
administration. So, my scope now on
those would be somewhat
small.
But there is hiring difficulties with
the the police department. Not
specifically to the department, but the
candidates that are that are
applying.
>> Yeah, as I've as I've, um, tried to come
up to speed on a number of these things,
one of the things that I I do is I look
to cities that are similar to us.
Large industrial base.
Growing similarly. And so that leads to
LaPorte, Deer Park, Port Arthur, others
that are more like us.
And consistently when you look at a
patrol officers to
citizens, like a per capita measure, it
says we are grossly understaffed. Is
that Is that I'm just off on the new
guy, or would you agree?
>> I would not argue against that fact. No,
not at all.
>> Yeah. And so then when you're grossly
understaffed, then the way that you try
to address need is through lots and lots
of overtime.
Which then leads to other challenges. Is
that also a fair summary?
Morale, people are worked to the bone.
>> That would be fair to say.
» Okay. It seems like maybe that's
something that needs some more offline
discussion of what can we do to try to
remedy that?
Hey.
Is there an elephant in the room?
>> No.
>> [laughter]
>> They got the process started
a few months back.
>> And the And the termination pay is when
the officers retire
>> Yes.
>> or resign.
>> Yes.
>> And then I guess it's the
for the chief were
clothing we got 140,625.
Is that because we have so many
different uniforms or is that just what
it takes? We
I don't see any two officers wearing the
same
uniform.
There's different polos and
>> Yeah, so there there are uniform
options. There's a lot that goes into
It's not just clothing and uniforms.
There are
uh equipment items that are purchased
out of that line as well such as
radio batteries,
duty rigs,
uh handcuffs,
handcuff pouches, holsters.
Uh those types of things are also
purchased out of that line.
>> I
» You can use the police officer
You can use the microphone.
» Yeah, I think we have more questions.
This is an area of high interest.
>> Four year
You want to use that?
>> Get comfy.
>> Can I get to sit down and dig into it?
» All right.
I got one to the the food and jail
supplies.
And I don't know, but do we house other
agencies inmates?
>> So, yes, we currently have a
MOU with Clear Lake Shores and we do
house their municipal Class C inmates.
Yes.
>> That's it? Just Clear Lake Shores?
>> Correct. Currently in the process of
working with
The prior administration agreed to have
the same type of MOU with Hitchcock and
that has not started as far as I'm
aware. There were some They're waiting
We're still waiting on their municipal
paperwork and their judge information.
>> What would be the benefit for the city?
>> Commissioner Sharpley, can't hear you.
>> What would be the benefit
to that?
>> It does It does provide a source of
revenue for
the city.
Currently, they pay $50 per calendar day
that a subject is there. I would say
that it doesn't cost us $50 to feed and
or house that that inmate. So, it it is
a revenue source, plus it's a good faith
gesture to surrounding law enforcement
agencies.
>> But, we're liable to them, too, right?
When they're in our jail?
>> That That would be accurate. Yes.
>> All right. One other one. I don't
remember what it's called. There's a
grant, correct me if I'm wrong,
and we used to have it.
Pull people [snorts] over. I'm sorry.
That's my bad. Pull people over
and they supply it. You know You have
any idea what I'm talking about?
>> Yeah, the selective traffic enforcement
program, STEP grant. Yes, sir.
>> You think that's something we could try
to do again or are we looking
>> We currently still have it. And
actually, last year our STEP grant was
almost doubled. So, we went from I
think Well, not quite doubled.
Our That current grant is a $49,000
grant, but it's a match grant. So, the
city matches half of that grant with the
state.
>> So, we never stopped doing that?
>> No, it's still ongoing.
>> I apologize. I'm sorry. This is
important.
>> So, now, does any of the inmates from other agencies
Do we have our judge?
>> No.
>> He has no participation at all with
that.
>> Correct. So, the agreement with Clear
Lake Shores is they provide they have a
safe that is in the jail where all of
their money
goes. They have a judge that responds to
our facility to magistrate and or make
determinations as far as their inmates.
Uh their police officers obviously
transport here. Uh we don't transport
for them. So, they basically rent our
jail facility from us, but they're a
self-contained unit outside of that. At
the end of each month, we run a report
that shows how many inmates they had in
the jail.
Uh we provide that to finance and they
invoice Clear Lake Shores who then
uh submits payment to the city.
>> And one one last question. If if we have
an a suicide or
a major incident in the jail, it's on
our city or their legal team picks up
their inmate?
>> That's a great question. We have not
dealt with that type of situation at the
moment. Like I said, we're we are
housing their Class C arrests. So, any
Class B and above or serious offenses
would go straight to Galveston County.
Uh that's something that we have not
dealt with.
Um so, I I don't have
>> look into that for me with the with our
legal people?
>> Mhm.
>> I don't
>> But we are liable.
We do accept the liability when they're
in our jail, right?
>> Like sitting here right now, I would say
yes. I I do believe. I'd have to revisit
the contract, but yes.
>> Yeah, they hung themselves, it'd
probably fall under the same thing, I
would think.
>> Yeah.
one would assume
>> died in the happen?
>> If someone dies in our custody, we're liable. Um
back to the topic of legal. So, if we
are being if we are the party to
litigation, we're being sued for
whatever the cause is, there a line item in here?
>> Um yes, we do have a professional fees
line item built into our budget.
>> It's kind of small, huh? 80k to 96k? Or
am I looking at the wrong line item?
>> Uh fortunately, that is
a line item that we are we've operated
and we're currently
in route to operate under that projected
amount.
I think if if we are administrating and
doing our job efficiently, I I don't
think that's a line item that we would
expect to to
supersede.
>> Completely agree.
>> Yeah.
>> Completely I'm definitely for less
police-related litigation and not more.
Just we're this is a topic that we've
when we were elected, we had a lot of
things that were
we were trying to address, but public
safety was like the top three, and a lot
of front porch, front lawn conversations
about this matter. And so, the
perception was is there's more
litigation than is showing up right
here, but but candidly, we don't know.
Like this is a topic I think I spoke to
you in the hallway. Like we we've been
asking for information about this.
I'll move on. Um the the line item there
on equipment rental from 46k to 524,000,
that's about a $480,000
increase. What are we What are we
renting?
>> So, the equipment the equipment rental
line and that and that number may be
offset a little bit based on
prior budget movement. Um we mentioned
the communications line was previously
moved. Our communications line
>> puts and takes from A to B.
>> Yes, uh under prior administration. So,
equipment rental is a line that we use.
We have several contracts with, for
instance, our body cameras are a
contract item, our in-car cameras are a
contract item. So, with Axon, the the
actual business is Axon, um
that's where we pull those funds from,
having those contractual obligations.
The other thing that may be included in
that line
would be flood cameras.
Would come from an equipment rental
line, so.
>> Commissioners, just for the sake of
time, we have about 11 minutes left. I
don't know how far y'all want to get,
how far how detailed you want to get,
but we have Commissioner
>> I think we're only about 40% through it,
Mayor Garza. So So maybe we need to have
a part two that allows more time.
Yeah, I I think I had expressed to Joe, maybe I need my own meeting and we
can just set aside a day. I got a lot of
questions.
Yeah.
>> I think everyone makes themselves
available to ask some questions, so Miss Boyce sent this morning if we have
any questions, she's available to take
those questions.
>> Well, and then the meeting on the 12th
is at 5:00 and we'll cover
the other funds and then revisit
anything that was not answered or asked
at this meeting.
Can be taken care of
next week's meeting.
>> Okay, cuz we do have one comment from
a citizen.
>> So did you
>> Can you get as far as you can maybe with
>> Yeah.
>> 5 minutes left or something?
>> Uh fire department is next.
Uh
>> [clears throat]
>> in this one there are
um 98 civil service
plus civilians, which is 95 firefighters
and three civilians.
Um
they requested one training officer, one
assistant EMS director,
and of course all the personnel for
station five,
which um I've not included in this.
Um
a big chunk of those um expenses won't
come until later on in '27.
Anyway, it it'll be brought back before
commission to um
fund that.
Um
So if you want to go to neighborhood
improvement services.
>> Mayor, I I propose that if it's given
we've got another meeting to start
minutes that we need to park on this and
I just for the record I've got a lot
more on just police and I just want to
address a comment made by Commissioner
Knox and
certainly I'm a big fan of Miss Boyd and
I can send her my questions but the
whole idea of this is let's have it out
in the public.
It needs to be out in the public so I
think maybe we want to have another
meeting that includes the public.
>> And what Miss Boyd said was that we do
have to have have the second part next
week and then we can go back to this
part that we didn't finish cuz we do not
have a commission meeting next week.
>> That'd be great.
>> Thank you.
>> Um
Neighborhood I'll just do this real
quick. Neighborhood Improvement Services
also known as code enforcement
um is its own separate department um but
they report to uh the fire department.
And there are three of those employees.
Moving on to Inspections.
Department has currently has
10 employees to handle all that's going
on in Texas City.
Um
They don't have a whole a too big a
change from uh
the current year to to next year.
And I'll just leave it at that.
Municipal Court and the rest we can
cover next week.
>> We can reconvene. I like that idea.
Um
thank you Miss Boyd very much. Um for
the sake of time we have one public
comment. Mr. Jose Boyce do you want to
come up sir?
» Thank you Mayor Mayor Garson
Commissioners. I just had
you know, this is very complicated for
the community anyhow, but I just looked
at three things
for you to consider. Senate Bill 1851
prohibits municipalities from raising
tax rates above the no new revenue
threshold if they fail to complete and
submit required annual financial audits
and statements.
The next one is the most recent
financial statement that was audited is
2024.
And that it was called the 2024 annual
comprehensive financial report
PDF and the 2024 federal single audit
report. That's the only thing that is
posted.
And then
in that report, there were four sets of
corrective actions included with the
2024 audit report and they have some
deadlines, some of which are in June,
July, August, and September 30th 30th of
this year.
So, when I look at all that, my main
concern is that how can we calculate a
no new revenue threshold? Can can we do
that effectively and perhaps legally
if we don't have any audits to to use as
a basis. Thank you very much.
>> Thank you.
Mr. Boyce, just for the for the sake of
the question, we do have an answer to
that, so we'll definitely get back with
you.
Any No other comments? Is there a motion
to adjourn?
>> Make a motion to adjourn.
>> Second.
>> All in favor, say aye. All opposed, same
sign. This meeting is adjourned.
>> She said
Good sign.
>> Okay.
>> Who seconded?
>> Okay.