Finance Committee

Regular Meeting of the Finance Committee City Hall – Large Conference Room 425 N. Richardson Thursday, February 3, 2022 Notice of this meeting was given to the public in compliance with Sections 10-15-1 through 10-15-4 NMSA 1978 and Resolution 21-7. ROLL CALL The meeting convened at 9:01 a.m. with Chairman Perry presiding; Councilor Roebuck present, Councilor Kennard participating via GoToMeeting, and Councilor Oropesa being absent. Staff present: Juan Fuentes, Joe Neeb, Mike Matthews, Janie Davies, Juanita Jennings, Becky Hicks, Jim Burress, Scott Stark, Crystal Treadwell, Ruben Esquivel Guests present: Mayor Dennis Kintigh, Councilor Judy Stubbs, Juno Ogle (Roswell Daily Record), Danny Fulkerson (Cemetery Board), Rita Kane-Doerhoefer (via GoToMeeting), Rob Loftis (MRWM Landscape Architects, via GoToMeeting) APPROVAL OF AGENDA Councilor Roebuck moved to approve the February 3, 2022 regular Finance Committee meeting agenda with the removal of Section F, Item #8 Consideration of Resolution 22- XX to update and develop a schedule of fees for development applications within the Planning and Zoning Division. Councilor Kennard was the second. A voice vote was 3-0 and the motion passed with Councilor Kennard participating via GoToMeeting and Councilor Oropesa being absent. APPROVAL OF MINUTES Councilor Roebuck moved to approve the January 6, 2022 Finance Committee meeting minutes. Councilor Kennard was the second. A voice vote was 3-0 and the motion passed with Councilor Kennard participating via GoToMeeting and Councilor Oropesa being absent. NON-ACTION ITEMS Information Reports: Gross Receipts Report: Mr. Fuentes presented information on the GRT report for January 2022. 2nd Quarter DFA Summary Report: Mr. Fuentes gave an explanation of the DFA LGBMS report with discussion from the committee. Public Affairs: Ms. Jennings discussed the November 2021 Lodgers’ Tax Report, missing Lodgers’ Tax payments and answered questions from Mayor Kintigh and the committee. ACTION ITEMS Consideration to authorize Enid Ruth Costley, Library Director, to accept and sign “annuity claimant’s statement” on behalf of the Roswell Public Library: Mr. Fuentes presented the request for approval to sign the documents requested from the Horace Mann Life Insurance Company to allow Ms. Costley to accept the life insurance benefits that Mr. Dan Evans left to the Roswell Public Library. Councilor Roebuck moved to send to full City Council on the consent agenda to authorize Enid Costley, Library Director to accept and sign annuity claimant’s statement on behalf of the Roswell Public Library. Councilor Kennard was the second. A voice vote was 3-0 and the motion passed with Councilor Kennard participating via GoToMeeting and Councilor Oropesa being absent. Consideration of award recommendation for RFP 22-008 Utility Statement Processing and Mailing Services: Ms. Treadwell presented the request that would authorize the City Manager to enter into contract negotiations with Level One of Malvern, PA, based on the recommendation of the evaluation committee. Thirteen proposals were received and two were deemed non-responsive. Ms. Davies and Mr. Neeb answered questions from the committee. Councilor Roebuck moved to send to full City Council on the consent agenda the recommendation to award RFP 22-008 to Level One. Councilor Kennard was the second. A voice vote was 3-0 and the motion passed with Councilor Kennard participating via GoToMeeting and Councilor Oropesa being absent. Consideration of Resolution 22-XX approving budget adjustments for fiscal year ending June 30, 2022: Ms. Davies explained the budget amendments to account for $11,895 in Revenue and $3,653,001 in Expenses in various funds including rent received by the Library from the donated house, the HIDTA grant, and expenses for the UFO Festival. Ms. Jennings and Mr. Neeb answered questions from the committee. Councilor Roebuck moved to send to full City Council on the consent agenda Resolution 22-XX approval of budget adjustments for fiscal year ending June 30, 2022. Councilor Kennard was the second. A voice vote was 3-0 and the motion passed with Councilor Kennard participating via GoToMeeting and Councilor Oropesa being absent. Consideration of Resolution 22-XX approving the Fiscal Year 2021 Audit: Chairman Perry noted that the wording should be changed from “approving” to “accepting” for the resolution. Mr. Neeb explained the first audit finding regarding 2021-001 (2019-001) Controls Over Cash Disbursements, in which a department obtained the purchase order after receiving the invoice. Mr. Neeb spoke about the second finding 2021-002 (2020-004) Municipal Court – Lack of Segregation of Duties (Material Weakness). The audit found that the Municipal Court Clerk was responsible for making the daily deposits and preparing monthly bank reconciliations causing a breakdown of internal controls. Chairman Perry read a memo from Judge Seskey recognizing and explaining the finding. Ms. Davies and Mr. Fuentes also answered questions from the committee concerning the matter. FOR THE RECORD: Chairman Perry stated for the record that in the packet on pages 30 & 31, there is a corrective action plan and the findings are basic and simple and quick to deal with. Councilor Roebuck moved to send to full City Council for approval Resolution 22- XX to accept the Fiscal Year 2021. Councilor Kennard was the second. A voice vote was 3-0 and the motion passed with Councilor Kennard participating via GoToMeeting and Councilor Oropesa being absent. Consideration of Resolution 22-XX approving the determination of uncollectible accounts and the removal from accounts receivable: Ms. Davies presented the request to remove 4,046 bills totaling $412,972.97 in unpaid water, sewer, and sanitation charges ranging from 2008 through 2017. All collection attempts have failed and under New Mexico Statutes 3-37-7, the finance officer can determine if an account is deemed uncollectable. The resolution has been submitted to Legal for review. Ms. Davies and Mr. Neeb answered questions from the committee. Councilor Roebuck moved to send to full City Council for approval Resolution 22-XX approving the determination of uncollectible accounts and the removal from accounts receivable. Councilor Kennard was the second. A voice vote was 3-0 and the motion passed with Councilor Kennard participating via GoToMeeting and Councilor Oropesa being absent. Consideration of ratification of Constructors, Inc. to perform demolition services for the Roswell Air Center Large Hangar Project in the amount of $613,638.42: Mr. Stark and Mr. Neeb presented the request to hire Constructors, Inc. through CES Contract 32020-11 B-R208-567, for the project which is planned for various phases: site development, demolition, horizontal/civil, vertical and water/sewer. Constructors, Inc. Armstrong Consultants have been authorized through Task Orders B & D for site development, demolition, and civil plans. Mayor Kintigh spoke about the project and the current status of the air center. Councilor Roebuck moved to send to full City Council for approval Resolution 22-XX ratification of Constructors, Inc. to perform demolition services for the Roswell Air Center Large Hangar Project in the amount of $613,638.42. Councilor Kennard was the second. A voice vote was 3-0 and the motion passed with Councilor Kennard participating via GoToMeeting and Councilor Oropesa being absent. FOR THE RECORD: Chairman Perry called a recess at 10:19 a.m. and the meeting resumed at 10:22 a.m. Consideration to purchase four (4) new John Deere Gator HPX815E Utility Vehicles: Ms. Hicks and Mr. Burress presented the request for new UTV’s that would allow the Parks Department to use 90 gallon sprayers for herbicides and pesticides instead of the backpack-style sprayers currently used that need to be refilled frequently, as well as being street legal. The vendor, Pecos Valley Equipment, has a state price agreement and provided a quote of $63,093.16. Councilor Roebuck moved to send to full City Council for approval Resolution 22-XX the purchase of four (4) new John Deere Gator HPX815E Utility Vehicles. Councilor Kennard was the second. A voice vote was 3-0 and the motion passed with Councilor Kennard participating via GoToMeeting and Councilor Oropesa being absent. Consideration to move forward with the columbarium and committal shelter construction proposal designed by Rob Loftis from MRWM Landscape: Mr. Esquivel and Mr. Burress provided information on South Park Cemetery’s increasing number of cremation burials, which has created a need for above ground cremation burial availability. Rob Loftis with MRWM Landscape Architects (via GoToMeeting) presented the proposed configurations and materials for the columbarium, as well as seating, landscaping, infrastructure, and possible locations for it and the committal shelter. PUBLIC PARTICIPATION: Danny Fulkerson, who currently serves on the Cemetery Board, spoke in favor of the project moving forward. Councilor Roebuck moved to send to full City Council for approval Resolution 22-XX provide funding for the columbarium and committal shelter construction proposal with the American Rescue Plan Act funding for $849,537.18. Councilor Kennard was the second. A voice vote was 3-0 and the motion passed with Councilor Kennard participating via GoToMeeting and Councilor Oropesa being absent. Consideration of final design and engineering plans/design for Great Blocks (MainStreet Roswell Market Walk Project): Ms. Jennings discussed the scope of the project and the work that has been completed in the past year towards its completion. Mr. Loftis from MRWM Landscape (via GoToMeeting) presented the final plans and designs including water features, play area, performance stage, train, landscaping, parking area, and infrastructure. Mr. Loftis explained the cost estimate breakdown and answered questions from the committee. Mr. Neeb spoke further on the specifics of the overall planning and decision-making behind the project. Councilor Roebuck moved to send to full City Council for approval the final design and engineering plans/design for Great Blocks (Main Street Roswell Market Walk Project). Councilor Kennard was the second. A voice vote was 3-0 and the motion passed with Councilor Kennard participating via GoToMeeting and Councilor Oropesa being absent. PUBLIC PARTICIPATION Ms. Kane-Doerhoefer (via GoToMeeting) questioned money the City owes to the medical center and if it has been repaid or accrued interest. Mr. Neeb spoke about the City’s payment system and an issue regarding payment for medical services at the county jail that has been resolved. Councilor Kennard (via GoToMeeting) spoke about an issue in the Police Department’s monthly report about deteriorating vehicles and Mr. Matthews discussed their efforts in sourcing new vehicles for the police and other city departments. Chairman Perry noted that the House was receiving $1.86 million in capital outlay and that he, Councilor Stubbs, and Mr. Fuentes are going to Santa Fe to speak with the legislatures and discuss the City’s needs. ADJOURN The meeting adjourned at 11:40 a.m.