Finance Committee Meeting

MINUTES OF CITY OF WHARTON FINANCE COMMITTEE MEETING 120 EAST CANEY STREET WHARTON, TEXAS 77488 Monday, August 26, 2024- 6: 00 p.m. City Manager Joseph R. Pace declared a meeting of the City Council Finance Committee duly open for the transaction of business at 6: 00 p. m. Committee Members present: Mayor Tim Barker, Councilmember Larry Pittman, and Councilmember Russell Machann. Committee Members absent: None. City Council Members present: Councilmember Terry Freese. Staff members present: City Manager Joseph R. Pace, Finance Director Joan Andel, Assistant to the City Manager Brandi Jimenez, City Secretary Paula Favors, Chief of Police Terry David Lynch, EMS Director Christy Gonzales, Finance Accountant London Davis, and Public Works Director Roderick Semien. Staff members absent: None. Visitors: Mr. Gary Bonewald. Public Comments. There were no public comments. The first item on the agenda was to review and consider minutes from the meeting held on July 22, 2024. Councilmember Russell Machann made a motion to approve the minutes as presented. Councilmember Larry Pittman seconded the motion. All voted in favor. The second item on the agenda was to review and consider an Ordinance: An ordinance amending the City of Wharton Code of Ordinances, Chapter 86, Sections 86- 15, 86- 16, 86- 17, and 86- 21, Utilities and Services, Article I in General; Providing that a violation of the ordinance or any part of the Code as adopted hereby shall constitute a penalty upon conviction of a fine; Providing a savings clause and revoking all ordinances or parts of ordinances in conflict herewith only to the extent same are in conflict herewith otherwise provided herein. Finance Director Joan Andel presented a memorandum dated August 20, 2024, to the Committee regarding the proposed increase in utility rates for customers effective October 1, 2024. She stated that the Proposed Budget included a 10% increase In water and sewer rates. After some discussion, Councilmember Russell Machann made a motion to amend the ordinance as presented. Councilmember Larry Pittman seconded the motion. All voted in favor. The third item on the agenda was to review and consider Green for Life (GFL) Rate Modification to the Solid Waste Collection and Disposal Service Franchise Agreement: A. Resolution: A resolution of the Wharton City Council approving Amendment No. 5 to the Franchise Agreement for Solid Waste Collection Services with Green for Life ( GFL) and authorizing the Mayor of the City of Wharton to execute said agreement. B. Ordinance: An ordinance repealing and replacing the City of Wharton Code of Ordinances, Chapter 86 Utilities and Services, Article III, Solid Waste Disposal Exhibit A, providing that a violation of theordinance or any part of the Code as adopted hereby shall constitute a penalty upon conviction of a fine and setting an effective date. Finance Director Joan Andel provided the Committee a copy of the letter dated August 23, 2024, from Mr. David Selesky of Green for Life( GFL) regarding their rate modification to the Solid Waste Collection and Disposal Service Franchise between the City of Wharton and GFL. She stated that the letter was received via email on August 15, 2024. She stated that GFL may request rate modifications in accordance with Section 14. 00, Basis and Methods of Payment, Item 14. 02 Modification of Rates of the General Specifications of the Franchise Agreement( copy attached). She stated that, as Mr. Selesky stated, the rate increase was 5% in accordance with the price index mentioned in the City' s franchise agreement with GFL. After some discussion, Mayor Tim Barker made a motion to approve the ordinance as presented and for the City Staff to renegotiate with GFL. Councilmember Larry Pittman seconded the motion. All voted in favor. The fourth item on the agenda was to review and consider a Resolution: A resolution of the Wharton City Council approving a one- year extension for the City of Wharton Bank Depository Services and authorizing the Mayor of the City of Wharton to execute all documents relating to said contract. Finance Director Joan Andel stated to the Committee that on July 14, 2021, the City Council approved a bank depository contract with Prosperity Bank for a three- year period from October 1, 2021, through September 30, 2024, with an additional one- year extension period not to exceed two additional years. She presented the Committee with the letter from Prosperity Bank renewing the agreement for an additional year through September 30, 2025. After some discussion, Councilmember Russell Machann made a motion to approve the resolution as presented. Councilmember Larry Pittman seconded the motion. All voted in favor. The fifth item on the agenda was to review and consider a Resolution: A resolution of the Wharton City Council authorizing the purchase of a vehicle for the City of Wharton Police Department and authorizing the City Manager to execute all documents related to said purchase. Chief of Police Terry David Lynch stated to the Committee that quotes were received for the purchase of a vehicle for the Police Department. Quotes received were as follows: 1. Wharton Chevrolet GMC-$ 42, 570. 87. 2. Wharton Chevrolet GMC-$ 42, 884. 54. 3. Wharton Chevrolet GMC-$ 46, 204. 43. 4. Wharton Ford-$ 32, 348. 00. 5. Ram Country Wharton-$ 35, 481. 00. He stated that his recommendation was the purchase of a 2019 Chevrolet Silverado 1500 from Wharton Chevrolet GMC in the amount of$42, 570. 87. After some discussion, Mayor Tim Barker made a motion to approve the resolution as presented. Councilmember Larry Pittman seconded the motion. All voted in favor. The sixth item on the agenda was to review and consider a Resolution: A resolution of the Wharton City Council authorizing the City Manager to purchase three( 3) vehicles for the City of Wharton Public Works Department from Cameron Country Dodge through Buyboard Co- operative and authorizing the City Manager to execute all documents related to said purchase. Public Works Director Roderick Semien stated to the Committee that he received a quote for the purchase of three( 3) 2023 Dodge Ram 2500 Crew Cab 4x4 vehicles. He stated that each department, water, streets, and facilities maintenance would receive one 1) vehicle. He stated that the quote was received from Cameron Country Dodge, which was a member of the BuyBoard Co- operative and was in the amount of$ 147, 925. 00 for the three( 3) vehicles. He stated that the funds to pay for the vehicles had been allocated through the American Rescue Plan and the FEMA Alternate project funds. He presented the estimates for the vehicles. After some discussion, Councilmember Russell Machann made a motion to approve the resolution as presented. Councilmember Larry Pittman seconded the motion. All voted in favor. The seventh item on the agenda was to review and consider a Resolution: A resolution of the Wharton City Council authorizing the purchase of a vehicle for the Wharton Emergency Medical Services Department and authorizing the City Manager to execute all documents related to said purchase. EMS Director Christy Gonzales stated to the Committee that quotes were received for the purchase of a vehicle for the EMS Department. The quotes were as follows: 1. Lavaca County Emergency Medical Services-$ 10, 000. 00 2. Ambulance Depot-$ 29, 900. 00 She stated that she recommended Lavaca County Emergency Medical Services for the purchase. After discussion, Councilmember Russell Machann made a motion to recommend to the some City Council to approve the resolution as presented. Councilmember Larry Pittman seconded the motion. All voted in favor. The eighth item on the agenda was adjournment. The meeting was adjourned at 6:45 p.m. fr R. ace, City Manager Josef