City Council

CITY COUNCIL WORK SESSION MINUTES CITY OF ODESSA, TEXAS December 7, 2021 On December 7, 2021, a work session meeting of the Odessa City Council was held at 3:00 p.m., Council Chamber, fifth floor, City Hall, 411 W. 8th St., Odessa, Texas. City Council present: Mayor Javier Joven; Council members: Mark Matta, District One; Steven P. Thompson, District Two; Detra White, District Three; Tom Sprawls, District Four; Mari Willis, District Five; and Denise Swanner, At-Large. Others present: Michael Marrero, City Manager; Norma Aguilar-Grimaldo, City Secretary; Natasha Brooks, City Attorney; Cindy Muncy, Assistant City Manager; Phillip Urrutia, Assistant City Manager; and other members of City staff. A quorum being present, Mayor Joven called the meeting to order, and the following proceedings were held: Council member Sprawls gave the invocation. Opioid Settlement Presentation Amanda Sanders and James Holian, Office of the Attorney General, provided an overview of the opioid settlement. Ms. Sanders stated that the drug crises has increased 30% since 2020. There were settlements with three distributors and manufacturer Johnson and Johnson. Texas would receive as much as $1.17 billion depending on the participation of cities and counties. Mr. Holian reviewed the injunctive relief and the mechanics of the monetary settlement. The goal was to bring the most money to Texas. There were 128 litigating subdivisions. He stated that Odessa’s estimated allocation, based on full participation, was $682,526.50. Reimbursement could be made for the past and present. Ms. Sanders reported that Johnson and Johnson would pay its portion, $127,558.63, in January and the distributors would pay out over 18 years which was $127,558.63. The distributors portion would be a front loaded payout. Mr. Holian stated that Region 14 would receive a total of $14,9748,737.20. He reviewed the lawsuit. He stated that the deadline to join the settlement was January 2, 2022. Currently, over 300 counties and/or cities were signed up. Mr. Marrero stated that research was needed on the eligibility categories and documentation required. Ms. Sanders provided examples of eligible expenditures. The reporting would be for the city’s purpose. Council member Sprawls asked about the matrix for the allocation to identify strengths and weaknesses in Odessa. Mr. Marrero would get the information from the Attorney General’s office as well if subrecipients could be used. Ms. Brooks stated that the City Attorney’s office could fill out the paperwork to sign up on Council’s direction. Board of Survey Update. Eddy Shelton, Board of Survey Chair, reported that the function of the Board of Survey was to enforce the building ordinance in meeting standards. He reviewed the process for violations. The goal was to have a safe and clean city. From October 2015 – September 2021, there has been 285 removed structures. The board met quarterly if CDBG funds were available. Annual renewal of Motorola P25 radio system maintenance/support. Mike Parrish, Director of Information Technology, stated that the maintenance renewal was for the police and fire radio system. The cost was $447,693. Council Work Session Minutes December 7, 2021 Page 2 Purchase of street sweeper trucks for Street Department. Mr. Urrutia stated that the purchase was for two sweeper trucks for a cost of $570,088. He explained the use type of the trucks. It would be for truck replacements that would be sold at auction. Bid award for air handler unit C4 and alternate bid number one to existing air handler C1 motor for Municipal Court. Scott Anderson, Director of Building Services, stated that the purchase was for an air handler that was 35 years old for Municipal Court. He reviewed the bids and recommended the Bosworth Company. Award for algicide. Tom Kerr, Director of Public Works/Utilities, explained the purpose for algicide chemical used at the water treatment plant. There was a 0.4% cost increase. He reported that there were increases in the chemicals related to the oil process and COVID issues. Bid award for sodium hydroxide. Mr. Kerr stated explained the purpose for the sodium hydroxide to treat water. The cost increased by 19.3% for a cost of $288,000. Bid award for liquid ammonium sulfate. Mr. Kerr stated that there was a 58% cost increase for a cost of $126,400. The chemical was used for disinfection of the water. Bid award for liquid/gas chlorine. Mr. Kerr stated explained the use of the liquid/gas chlorine used at the water treatment plant. He reviewed the costs according to the sizes for a total cost of $345,390. Bid award for liquid aluminum sulfate. Mr. Kerr stated that there was a 27% cost increase for a cost of $311,250. With the new treatment plant, it would not reduce the chemicals as it would require the same process to treat the water. Renew group life insurance, AD&D coverage, and retiree life insurance with Standard Insurance Company. Darrell Wells, Director of Risk Management, provided an overview of the insurance policy changes over the years. The department worked on keeping costs low. He reviewed the benefits for the Family Health Plan. Delia Ortiz, Benefits Manager, explained the types of insurance coverage. The insurance would be with Standard Insurance Company that guaranteed last year’s renewal rate. In 2021, there have been higher claims. The life insurance premium for employees ranges from $25,000 to $0.5 million depending on the employee’s salary. The City paid $6,500 monthly for approximately 850 employees. Renew medical stop-loss insurance with Berkshire Hathaway through Risk Strategies. Ms. Ortiz stated that the stop-loss insurance was with Berkshire, a renewal with no premium cost increase. Renew contract for benefits claims administration. Ms. Ortiz stated that the City was self-administered. The contract was for the hosting of the software. She reviewed the software’s capabilities. Recommend adoption of the Family Health Project, revision January 1, 2022. Ms. Ortiz stated that there were no changes to the benefits and the plan was reviewed by a benefits attorney with no reported issues. There were minor language changes to the plan. The average cost for health benefits was $2,400 per member per year. Council Work Session Minutes December 7, 2021 Page 3 Renew contract for property insurance with TML Intergovernmental Risk Pool. Mr. Wells provided the history of the City’s fleet insurance. The deductible was $100,000 for the facilities. Renew contract for excess worker’s comp insurance with Safety National Casualty. Mr. Wells stated that the contact was for excess worker’s comp insurance for excess of $750,000. Worker’s comp was unlimited. Renew public entity liability insurance with States Retention Group. Mr. Wells stated that the public entity included coverage of all fleet, police liability and public officials. He explained the types of coverage. Motion was made by Council member Sprawls and seconded by Council member Willis to adjourn the meeting. The motion was approved by the following vote: Aye: Joven, Matta, Thompson, White, Sprawls, Willis, and Swanner Nay: None The meeting adjourned at 4:37 p.m. ATTEST: APPROVED: Norma Aguilar-Grimaldo, TRMC, CMC Javier Joven City Secretary Mayor