City Council

Minutes of the Special Meeting of the Gallup City Council, City of Gallup, New Mexico, held in the Council Chambers at Gallup City Hall, 110 W. Aztec Ave. at 5:00 p.m. on Tuesday, June 19, 2018. The meeting was called to order by Mayor Jackie McKinney. Upon toll call, the following were present: Mayor Jackie McKinney Councilors: Linda Garcia Allan Landavazo Yogash Kumar Fran Palochak Also present: Maryann Ustick, City Manager Curtis Hayes, City Attorney Presented to the Mayor and Councilors for their approval were the following Discussion/Action Topics: 1. Resolution No. R2018-18; Fiscal Year 2019 Final Budget Adoption — Maryann Ustick, City Manager and Patty Holland, Chief Financial Officer Ms. Ustick and Ms. Holland presented Fiscal Year 2019 Budget for final approval and submission to the New Mexico Department of Finance and Administration by July 31, 2018. Ms. Ustick provided an update of changes made to the proposed budget which included a decline in the General Fund budget due to the pending agreement with Mckinley County and the award of Liquor Excise Tax (LET) funding, an increase in health insurance of 11% as opposed to 19% originally budgeted and the recommendation of a 2% Cost of Living Adjustment (COLA) for non-union employees as well as negotiations for union employees. Ms. Holland presented a Power Point presentation and explained that $367,000 was originally set aside in the General Fund to cover the 19% cost increase for health insurance; however, with the reduction of the cost increase to 11 % and by changing the City’s cost share to 80%, the City was able to reduce the budget by over $87,000. She recommended the increased cost share to cover the 11 % health insurance increase. Ms. Holland also clarified that the 2% COLA costs included in the $178,000, is for all employees; however, the COLA for union employees will be based upon contract negotiations. She provided an overview of the LET funding; the Law Enforcement Protection Funding (LEPF); key revisions to all other budgets, including the increased MINUTES Special City Council Meeting — 6/19/2018 Page 2 health insurance costs and COLA costs and a breakdown of the 2019 Budgeted Revenue and Expenditures. Discussion followed regarding the budgeted amount for new police officers, sign-on incentives and the number of officers that will likely be hired. Mayor McKinney recommended budgeting for police officers as needed rather than pulling funds from reserves and budgeting funds that will likely not be spent. Ms. Ustick requested time to negotiate the proposed incentives with the Police Union before the police officer positions are pulled from the budget. Mayor McKinney agreed to allow more time and requested an update on the negotiations with the Police Officers Union. Councilor Palochak made the motion to approve Resolution No. R201 8-1 8; Fiscal Year 2019 Final Budget Adoption. Seconded by Councilor Garcia. Roll Call: Councilors Palochak, Garcia, Landavazo, Kumar, and Mayor McKinney all voted yes. There being no further business, Councilor Palochak made the motion to adjourn the meeting. Seconded by Councilor Landavazo. Roll call: Councilors Palochak, Landavazo, Kumar Garcia and Mayor McKinney all voted yes. Jackie McKinney, Mayor City Clerk Aporoved 7/10/2012