City Council

CLARKSVILLE CITY COUNCIL SPECIAL SESSION JUNE 30, 2021, 4:30 P.M. CITY COUNCIL CHAMBERS 106 PUBLIC SQUARE CLARKSVILLE TN 37040 AGENDA 1) CALL TO ORDER Mayor Joe Pitts 2) PRAYER Councilperson Richard Garrett 3) PLEDGE OF ALLEGIANCE Councilperson Trisha Butler 4) ATTENDANCE City Clerk 5) FY22 GENERAL GOVERNMENT BUDGET Mayor Joe Pitts ORDINANCE 130-2020-21 (Second Reading) Amending the FY21 Operating and Capital Budgets and adopting the FY22 Operating and Capital Budgets for the Governmental Funds and adopting the Tax Rate for the fiscal year beginning July 1, 2021 and ending June 30, 2022 6) ADJOURNMENT  FY 2021-2022 BUDGET GOVERNMENTAL FUNDS (EXCLUDING HOUSING & COMMUNITY DEVELOPMENT) Ordinance 130-2021-2022  ORDINANCE 130-2020-2021 AN ORDINANCE AMENDING THE OPERATING AND CAPITAL BUDGETS FOR FISCAL YEAR 2020-2021 AND ADOPTING THE OPERATING AND CAPITAL BUDGETS FOR FISCAL YEAR 2021-2022 FOR THE GOVERNMENTAL FUNDS AND ADOPTING THE TAX RATE FOR THE FISCAL YEAR BEGINNING JULY 1, 2021 AND ENDING JUNE 30, 2022. WHEREAS, Article VII, Section 3 of the official charter of the City of Clarksville provides for the approval and adoption of a budget; and WHEREAS, Tennessee Code Annotated Title 9 Chapter 1 Section 116 requires that all funds shall first be appropriated before being expended and that only funds that are available shall be appropriated, and WHEREAS, the governing body has published the annual operating budget and budgetary comparisons of the proposed budget with the prior year (actual) and the current year (estimated) in a newspaper of general circulation not less than ten (10) days prior to the meeting where the governing body will consider final passage of the budget. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CLARKSVILLE, TENNESSEE: That the estimated revenues and expenditures of the City of Clarksville for the fiscal years 2019 and 2020 are amended and/or approved as follows: Section 1. That the governing body estimates anticipated revenues for its governmental funds from all sources to be as stated in the attachments that follow. Section 2. That the governing body appropriates from these anticipated revenues and unexpended and unencumbered funds as follows in all of the attachments that follow. Section 3. At the end of the current fiscal year, the governing body estimates balances as follows in all of the attachments that follow. Section 4. That the governing body recognizes that the municipality has bonded and other indebtedness as follows: Bonded or Total Debt FY2022 FY2022 Interest Debt Previously Other Principal Requirements Authorized and 7/1/2021 Indebtedness Requirements Unissued Bonds 76,457,000 7,745,000 1,911,809 Notes 21,316,000 1,140,000 657,054 Total Debt 97,773,000 8,885,000 2,568,863 85,155,946 Section 5. No appropriation listed above may be exceeded without an amendment of the budget ordinance as required by Article VII, Section 3 of the Clarksville City Charter. Amendments to the adopted budget ordinance may be approved by ordinance at any time during the fiscal year by the affirmative vote of a majority of the council on two separate readings. Section 6. Tax Rate. The City of Clarksville’s fiscal year 2022 (tax year 2021) tax rate for real and personal property is set at $1.23. Section 7. Payments to Tennessee Consolidated Retirement System. For the fiscal year 2022, the City of Clarksville’s rate of funding to the Tennessee Consolidated Retirement System (TCRS) will be 18.03% of covered salaries and wages for public safety employees and 14.53% for all others. Section 8. Other Post Employment Benefits. The City recognizes that under the provisions of Governmental Accounting Standards Board (GASB) Statement 75 that it has an obligation for “Other Post Employment Benefits” (“OPEB”). In FY 2022, the City’s governmental funds will continue on a pay-as-you-go basis. Nothing in this section shall prevent any proprietary fund, agency, or component unit of the city from funding its OPEB obligations under the provisions of GASB 45 in FY 2022. Section 9. In Lieu of Taxes, Clarksville Department of Electricity and Clarksville Department of Gas, Water & Sewer. The City has budgeted to collect the maximum in lieu of tax payment permitted by the Tennessee Code Annotated from the Clarksville Department of Gas, Water & Sewer and CDE Lightband and accounts for these payments in the general fund as operating revenues. Section 10. Payments to Montgomery County – In Lieu of Taxes. Under the provisions of the Tennessee Code Annotated, 22.5% of the in lieu of tax payment actually paid to the city by the Clarksville Department of Electricity (CDE Lightband) to the City of Clarksville's general government must be paid over to Montgomery County. The amount of the appropriation to be paid over to Montgomery County contained within this appropriating ordinance is based on an estimated annual in lieu of tax payment included in the financing sources of the city. The Chief Financial Officer is authorized to comply with the legal requirement that provides for the actual payment of 22.5% of the in-lieu-of-tax paid to the city to be paid to Montgomery County irrespective of the appropriation contained within this ordinance. Section 11. Payments to Montgomery County – Share of State Liquor Taxes. Under the provisions of the Tennessee Code Annotated, 50% of the state liquor taxes paid to the City of Clarksville by the State of Tennessee must be paid over to Montgomery County for the purpose of funding education. The amount of the appropriation to be paid over to Montgomery County contained within this appropriating ordinance is based on an annual revenue estimate of the state shared revenue for the liquor tax. The Chief Financial Officer is authorized to comply with the legal requirement to pay over to Montgomery County 50% of the state liquor taxes received by the city irrespective of the appropriation contained within this ordinance. Section 12. A departmental budget and the published operating budget and budgetary comparisons shown by fund with beginning and ending fund balances and the number of full time employees authorized by department and/or fund shall be considered part of this ordinance. Department FY2021 FY2022 Full-time Full-time Employees Employees Legislative/Administrative (includes Council) 14 14 Building Codes 30 30 Building Facility Maintenance 0 14 City Court 5 5 Finance & Revenue 22 20 Fire Department 252 252 Garage 15 15 Human Resources 12 13 Human Resources – Security 10 10 Legal Department 5 6 Information Technology 13 13 Internal Audit 3 3 Mayor's Office 6 6 Municipal Properties 2 2 Parks and Recreation/Golf 87 75 Dispatch 34 34 Police 367 368 Purchasing 3 3 Street Department 89 94 Gas, Water & Sewer 283 306 CDE Lightband 201 201 Transit 92 96 Housing & Community Development 6 6 TOTAL FULL-TIME 1551 1581 Section 13. Policy for Funding of Non-Profit Agencies 1. Per State Law: a. Organization must be a 501(c)(3), 501(c)(4), or 501(c)(6) with documentation provided from the Internal Revenue Service. b. Organization provides year-round services benefitting the general welfare of the city’s residents. c. Organization files a copy of an annual audit of its business affairs and related transactions 2. Additional City of Clarksville requirements: a. Organization must be related or support moving the City forward in providing a municipal purpose. b. Organization must disclose at least annually and throughout the funding year any City employee or elected official associated with their agency in any capacity, stating their name and role they play in the non-profit agency. c. Funding may be withheld at the discretion of the City of Clarksville’s Finance Department until all requirements are met and kept current. d. If approved for funding by the City of Clarksville, the organization agrees to allow access to financial records during the funding period. e. Organization agrees that funds requested will only be used for the purposes stated and approved in their budget request f. The City shall determine funding distribution to be either monthly, quarterly, or annually g. Any change in proposed use of funds during the funding year must be submitted to the City in writing for approval prior to use.  h. Organizations receiving $50,000 or more of funding from the City are required to follow the City’s purchasing policy including but not limited to bids and quotes for any purchase made with City provided funds. i. Organizations receiving any audit findings shall disclose these findings with their annual funding request. At the discretion of the CFO for the City, funding may be withheld until a satisfactory plan to address the findings has been received. j. Organization is required to submit quarterly financial reports no later than 45 days after the end of the quarters ending September, December, March and June of each year. Section 14. If for any reason a budget ordinance is not adopted prior to the beginning of the next fiscal year, the appropriations in this budget ordinance shall become the appropriations for the next fiscal year until the adoption of the new budget ordinance, provided sufficient revenues are being collected to support the continuing appropriations as per Charter provision. Approval of the Director of the Division of Local Finance in the Comptroller of the Treasury for a continuation budget will be requested if any indebtedness is outstanding. Section 15. In an effort for the City’s pay practices to remain competitive with changes in labor market conditions, City Code Section 1.5-403 provides for the Human Resources Department to review and propose adjustments to the compensation plan including adjusting the salary structure to be competitive with the market. Further Section 1.5-405b provides for the recommendation by the Human Resources Department to provide annual general pay increases for City employees. Notwithstanding any provision of the Official Code of the City of Clarksville to the contrary, based on current market conditions and city finances, the Human Resources Director has recommended a general wage increase for City employees of 2.5% for Fiscal Year 2021-2022. Also, recommended is the increase in the pay tables of 2.5%. The effective date for both the table move and the GWI will be October 9, 2021. Section 16. Parks & Recreation and Golf Courses. This ordinance shall provide authorization for the budgets of Parks and Recreation, Mason Rudolph Golf Course and Swan Lake Golf Course to be merged, therefore allowing operational efficiencies of shared resources. As provided for by City Code in certain circumstances the Department head or Mayor have authority to move funds within the department’s budgets. For the purposes of budget appropriations and expenditures of Parks and Recreation and the Golf Courses shall be considered one department. Section 17. This ordinance shall take effect June 30, 2021 for the good of the public. BUDGET SUMMARY PUBLISHED: June 6, 2021 PUBLIC HEARING: June 17, 2021 FIRST READING: June 28, 2021 SECOND READING: EFFECTIVE DATE: June 30, 2021