BOARD OF MAYOR AND ALDERMEN WORK SESSION

KNGSPORT TEEE BOARD OF MAYOR AND ALDERMEN WORK SESSION MINUTES Thursday, May 15, 2025 at 10: 00 AM City Hall, 415 Broad Street, Montgomery - Watterson Boardroom Board of Mayor and Aldermen Mayor Paul W. Montgomery, Presiding Vice Mayor Darrell Duncan Alderman Colette George Alderman Morris Baker Alderman Gary Mayes Alderman Betsy Cooper Alderman James Phillips I. CALL TO ORDER 10: 00 am by Mayor Paul Montgomery. II. ROLL CALL by City Recorder Travis Bishop. III. DISCUSSION ITEMS 1. FY26 Budget A. Utilities Deputy City Manager Ryan McReynolds gave a presentation on utilities, discussing the pressure on utilities in regard to revenue, regulatory risks and aging infrastructure. There was some discussion throughout as he answered questions. Mr. McReynolds also provided details on the master plans for water, wastewater and stormwater and how they prioritize capital improvement projects. He provided information on financial planning, including operation costs, debt service and required rate increases. Niki Ensor and Travis Bishop provided further details when answering questions. NOTE: There was a brief recess from 11: 10 a. m. to11: 15 a. m. Page 1 of 2  BOARD OF MAYOR AND ALDERMEN WORK SESSION MINUTES Monday, May 12, 2025, at 2: 00 PM Kingsport City Hall, 415 Broad Street, Boardroom B. Schools CFO David Frye presented the budget for the schools, noting the Board of Education approved it earlier this week. He explained the state revenue funding and where that money goes. Mr. Frye also provided a summary of the fund balance highlighting expenditures for personnel and capital improvements. He commented on the what the requested one- million- dollar increase will cover and summarized the nutrition, federal and special projects funds. Dr. Chris Hampton provided further details and also answered questions. There was further discussion on the June 30 budget deadline and the pending tax rate. City Recorder Travis Bishop explained the process and what is required by the state. Alderman Baker expressed concerns and hesitations to pass the budget as it stands now. City Manager McCartt also provided further information regarding rates and previous commitments noting the need to recognize customer needs. Mayor Montgomery stated the board is in support of the schools and all they do, affirming the BMA would do their best to meet their needs. IV. ADJOURN Seeing no other matters presented for discussion, Mayor Montgomery adjourned the meeting at 12: 53 p. m. r it i -.OR 1 624A- 0 IA) e,• ANGEL- . "' i ",' ' PAUL W. MONTGOMERY tTi Deputy City - e =' ' 4 dry; ' Mayor ODEL0. Page 2 of 2