The Smithville Board of Mayor and Aldermen met during a special session last Thursday evening to adopt the 2021-22 budget on second and final reading.
During the meeting, the board also filled a position vacated after long-time City Clerk Dana Poss stepped down to pursue another career. The board transferred city employee Megan Moore from the Animal Shelter to the clerk’s office at city hall.
Of course the main order of business was the approval of the budget, but before approval there were a few small changes made or clarifications.
Among the changes were funds through the American Rescue Plan, which grants funds of $49,000 to revenues and expenses in the general fund at $35,000, and the water and sewer fund at $14,000 for essential workers. The board had already proposed giving a $1,000 bonus to the city’s full time employees, but added a $500 bonus to its two part time employees.
The fire department’s uniform expenses were also increased from $10,000 to $25,000 for needed turnout gear, and police wages are increased to add overtime and related payroll costs of $23,040, not originally included in the budget.
Financial administration wages and related costs were decreased by $19,337 for a change in allocations and personnel, and janitorial salaries were decreased by $1,000 for a correction of wages.
Animal Control expenses were decreased by $9,720, and parks expenses were increased by $42,570 for correction to wages and related costs.
The total decrease to the General Fund surplus is $50,553, with the new surplus at $249,161.
Other changes were made to the water and sewer fund, other than the American Rescue Plan funds, were a correction to maintenance crew salaries and related costs with an increase of $734, sewer plant salaries increase at $2,251, and general and administrative salaries decrease of $5,025. The total increase to water and sewer fund profit is $2,040, with a net income of $58,575.
With those changes, Alderman Shawn Jacobs also requested funding for another full time paid firefighter. “I’ve thought about this a lot, especially in the last few days,” Jacobs told the board. “As fire commissioner I think I have a responsibility to bring up again a request for a third full time person for the fire department. I think we’ve already seen the benefit we’ve got from first and second one.”
Jacobs pointed out that it takes at least three people to fight a fire, one to man the pump on the truck, and two to man a hose at a fire. He told the board that the benefits of another full time employee would increase exponentially for the department, especially during the daytime when many volunteer firefighters are at work.
But Alderman Brandon Cox said it was a little too late in the budget year to discuss adding a new employee. “I think that you are right that we are heading in the direction,” Cox said. “I just think this is kind of short notice. This is going to be a thing we will probably be dealing with at next year’s budget, getting to something that looks more like a full time fire department, but it seems a little bit last minute for me.”
Jacobs made a motion to add the changes to the budget and add a new full time fire department employee, but the motion failed with the lack of a second.
Cox made a motion to accept the budget changes and pass the budget on second reading, and that motion passed. The new budget will take effect on July 1.
The Budget:
The new city budget includes a two percent increase in water and sewer rates and tap fees. Customers currently pay $7.25 per thousand gallons of usage, with that increasing to $7.40 per thousand. Rates for customers outside the city limits will increase from $10.88 to $11.10 per thousand. City sewer customers pay $6.75 per thousand gallons, with that increasing to $6.89 per thousand. The new rates are expected to generate up to $50,000 a year in new revenue.
The city property tax rate will drop from 0.899 cents, to the new certified state tax rate of 0.7523 cents per $100 of assessed value to offset new reappraisal property assessments. Although the new certified tax rate is to generate about the same amount of local property tax revenue as this past year, the city is projecting $1,274,471 in property tax collections in 2021-22, down by $20,000 from $1,295,000 this past year (2020-21).
The General Fund Debt Service for the new police department building is projected to be $177,550 for the year including $100,000 in principal payments and $77,550 in interest on long-term debt.
In addition to bonuses through the American Rescue Plan, city employees, with more than four years of service, will see a three percent cost of living pay raise. Hourly workers with four years of service or less will receive a step raise on their employment anniversary date with a three percent cost of living increase July 1. Salaried employees will get a $5,000 pay raise.
The city also funded another E911 dispatcher position at $40,405 (salary and benefits). This increases the number of dispatchers funded by the city to four to a total annual cost of $160,000, up from $119,595.
General Fund Capital Outlay Projects include two new police cars and related equipment at $95,000 ($45,000 of which is grant funded with local match), and furniture and office equipment for new Police Department building at $125,000.
Other departments include:
The Street Department with salt truck: $20,000, bridge capital repairs: $25,000, street paving $335,000 which includes $250,000 grant, and unspecified: $15,000.
Fire Protection with 10 portable radios: $9,200, new air bags and controller: $15,000, battery powered combination rescue tool: $10,000, swift water equipment: $5,000, site work for training site: $6,000, and unspecified: $30,000.
Smithville Airport with Obstruction Clearing Grant: $899,012, and unspecified: $10,000.
Public Works-Buildings & Grounds with lift and forks: $20,000 and unspecified: $5,000.
Other General Government with TN Local Government Support COVID 19 Grant- $136,000
Parks and Recreation with walking trail improvements: $20,000, and unspecified: $10,000.
The Smithville Municipal Pool with strainer: $10,000, and unspecified: $5,000.
The Smithville City Golf Course with unspecified: $10,000.
Smithville City Hall Building with unspecified: $30,000.
Financial Administration with unspecified: $5,000.
Sanitation with unspecified: $5,000.
Water and Sewer Fund Projects with meter reading software: $10,000, backhoe: $103,000, tube settlers: $30,000, and replacement of sewer lines: $600,000 (Half of Federal COVID Grant Funds).
