City Council

City of Murfreesboro City Council- Budget Special Session Thursday, May 23, 2024, at 4:00 pm City Council Chambers T E N N ES S E E 111 West Vine Street Murfreesboro, Tennessee MINUTES The City Council of the City of Murfreesboro, Rutherford County, Tennessee, met i n a special budget session in the Council Chambers at City Hall at 4:03 p.m. on Thursday, May 23, 2024. Council Members Present Mayor Shane McFarland - Presiding Jami Averwater Madelyn Scales Harris Bill Shacklett Kirt Wade (Arrived late -during discussion of Agenda Item 1a. Administration) Shawn Wright Austin Maxwell was absent and excused from this meeting. City Representatives Present Darren Gore, Assistant City Manager/ Water Resources Director Adam Tucker, City Attorney Erin Tucker, Budget Director Lesley Short, Assistant Finance Director Sam Huddleston, Assistant City Manager Michael Bowen, Chief of Police Mark McCluskey, Chief of Fire Rescue Alan Bozeman, Communications Director Trey Duke, City Schools Director Chad Gehrke, Airport Director Russell Gossett, Solid Waste Director Kevin Jones, Building and Codes Director Jim Kerr, Transportation Director Randolph Wilkerson, Human Resources Director Rhonda Darnell, Assistant Human Resources Director Nate Williams, Executive Director of Parks & Recreation Chris Griffith, Executive Director of Public Infrastructure Raymond Hillis, Executive Director of Public Works Angela Jackson, Executive Director of Community Services Greg McKnight, Executive Director of Development Services Scott Elliott, Project Development Manager Ryan Hulsey, Airport Manager Ewing Sellers, City Judge Doug Swann, Assistant Director of Water Resources Department Finance and Administration Joe Ehleben, Project Coordinator Michelle Emerson, City Engineer James Hill, Project Development Coordinator Reisha Watson, Fire Budget Analyst Mike Browning, Public Information Officer City Council Meeting Minutes - Budget Special Session May 23, 2024, 6:00 pm Page 1 of 4  Prayer and Pledge of Allegiance Mayor McFarland called the meeting to order and commenced the meeting with a prayer followed by the Pledge of Allegiance. Public Comment on Actionable Agenda Items No speakers were registered to speak for public comment on actionable agenda items. New Business 1. FY25 Budget Discussions. Mayor McFarland announced that the purpose of this meeting was to present to Council the Fiscal Year 2025 Budget. 1a. Administration. Erin Tucker, Budget Director, presented the proposed Fiscal Year 2025 City budget and stated presentation of City schools, water resources and stormwater budgets would follow. She provided snapshots of key revenues and expenses with a comparison to this year and next year's proposed budget. Budget highlights included $280 million in revenues and $364 million in expenditures (use of fund balance). Major revenue assumptions were reviewed which include property tax, local sales tax, state sales tax, MED Proceeds, Solid Waste Fee, and other revenues. FY25 Expenditures by division were reviewed as well as the supplemental requests, personnel and non-personnel, and the payroll impact for new positions, ra ises, COLA, and medical/dental increase. Ms. Scales Harris asked if raises for year-round part-time employees were included in the budget. Ms. Tucker stated that budgeted raises would include year-round part-time employees. Ms. Scales Harris asked to include School Crossing Guards in the budget for raises. Ms. Tucker stated it will be corrected for this year. Ms. Tucker stated next steps include a public hearing and first reading of the budget and tax rate ordinance at Council's regular meeting on June 6, 2024, and second reading at Council's worl<shop meeting on June 13, 2024, which will also include the presentation of budget resolutions for water resources, stormwater, community investment trust, and City schools Budget for approval. Mayor McFarland stated public safety employee hiring has not met expectations and asked Michael Bowen, Chief of Police, about police officer recruitment and when new training classes will begin for those candidates already selected. Chief Bowen stated the challenge is the City of Murfreesboro had a greater rate of growth than other cities. Chief Bowen felt confident that recruiting efforts would be successful, and the numbers of officers would increase in the upcoming Fiscal Year 2025. Mayor McFarland challenged Chief Bowen to develop a plan for the City of City Council Meeting Minutes - Budget Special Session May 23, 2024, 6:00 pm Page 2ot4 Murfreesboro to match comparative cities' starting pay salaries. Ms. Tucker stated keeping with the 14-step plan but raising the starting pay would increase this portion of the budget from $56,500 to $62,500, which is a 10.7% increase overall and includes the 4% COLA for FY25. Typically, the COLA allowance has been conservative, but it was being raised more aggressively this coming fiscal year. Mayor McFarland stated the Murfreesboro Police Department budgeted 15 new police officer positions beginning July 1, 2024, but it was unlikely to have those positions filled and ready to go on July 1, 2024. Ms. Tucker stated that there may be room to move up to an 8% COLA. Discussion ensued regarding recruiting and retention for Police and Fire Departments. Council Member Kirt Wade arrive to the meeting. Mayor McFarland requested Mark McCluskey, Chief of Fire Rescue, step to the lectern to discuss firefighter retention. Chief McCluskey stated that in the last five years the City lost 124 recruits. During the Physical Ability Test (PAT) hosted last week, 38 individuals showed up. Usually, the recruit list gets cut in half after this test, which leaves approximately 15 potential hires. Mayor McFarland requested Chief McCluskey develop a plan to address candidate attrition. Shawn Wright requested Chief McCluskey develop a non-salary benefit proposal that would increase firefight retention. Mayor McFarland stated that there is a need to retain public safety personnel through years 7 and 9, thus increasing the likelihood of personnel staying until retirement. Ms. Scales Harris stated that she would like to see all departments within the City of Murfreesboro receive financial incentive when they do a great job before she retires from City Council. Mayor McFarland stated that he felt it was time to look at a full-time Judge position to grow the department as the City has grown. Ms. Scales Harris thanked all City staff for the excellent job they do. 1b. Murfreesboro City Schools (MCS). Dr. Trey Duke, City Schools Director, presented the Fiscal Year 2025 Murfreesboro City Schools Budget, stating the district has adopted a new five-year strategic plan, and highlighting the district's budget goals. Dr. Duke stated there was an increase in ESL students and mental health supports. Council had no questions regarding the FY25 City Schools General Purpose budget. Dr. Duke reviewed Federal Funds, ESP and School Nutrition budgets. Discussion ensued regarding topics including the Free Lunch Program, Rutherford County calculating population and how that affects the City budget, sales tax projections, commending the City Council Meeting Minutes- Budget Special Session May 23, 2024, 6:00 pm Page 3 of 4  School Board on their efforts regarding the budget and future discussion of school growth and expansion options. 1c. Water Resources. Darren Gore, Assistant City Manager/ Water Resources Director, presented the FY25 Water Resources Budget, total revenues comparison from FY24 to FY25, and highlighted FY24 accomplishments as well as FY25 goals. Council had no questions regarding the FY25 Water Resources Budget. 1d. Stormwater. Darren Gore, Assistant City Manager/ Water Resources Director, presented the FY25 Stormwater Budget which included revenues and expenditures. He stated that the Reserve balance was capital project driven. Mr. Gore stated the policy is to not incur debt for capital projects. He then reviewed FY24 accomplishments and stated the FY25 goals. Mayor McFarland asked if there had ever been a stormwater fee increase. Mr. Gore stated there had not been an increase since 2008. Council had no questions regarding the FY25 Stormwater Budget. 2. Other FV25 Budget Discussions. Mayor McFarland opened the floor to discuss or ask any questions regarding budget issues and no one responded . Adjourn There being no further business, Mayor McFarland adjourned this meeting at 5:14 p.m. S°FlANE MCFARLAND MAYOR ATTEST: # TUCKER r~ Q _ , _ c=:: CITY RECORDER/ CHIEF FINANCIAL OFFICER APPROVEDBYCOUNCIL: 1 1 , l }i?ttS City Council Meeting Minutes - Budget Special Session May 23, 2024, 6:00 pm Page 4 of 4