CITY OF TEXARKANA, AR

REQUEST FOR BOARD ACTION

 

AGENDA TITLE: Adopt a Resolution amending Resolution No. 2016-74 approving the FY2017 Budget, to allow parity payment changes. (FIN)

 

AGENDA DATE: 12/19/2016

ITEM#: 9

DEPARTMENT: Finance Department

DATE SUBMITTED: 12/12/2016

PREPARED BY: TyRhonda Henderson

SUBJECT: Year End 2017 Budget Amendment

EXHIBITS: Amendment to the Year End 2017 Budget and Amended General Fund Budget

APPROVAL:

 

EXPENSE REQUIRED: $11,243,783

AMOUNT BUDGETED: $11,106,583

APPROPRIATION REQUIRED: $137,200

SUMMARY: This item is to amend the year end 2017 budget approved by the
Board of Directors on November 21, 2016 with Resolution No. 2016-74. Over the past few months, parity pay has been an issue of contention for the City. After several discussions, an agreement has been reached. Parity pay sales tax collections are not enough to meet parity in 2017 and the year ending 2016 unreserved fund balance is more than 15% of year ending 2016 expenditures. As a result, the agreement is a 4% increase towards parity beginning January 2017 for all civil service positions receiving an increase of 4% or more. For those civil service positions receiving less than a 4% increase, full parity will be met in January 2017. Depending on the level of fund balance, the civil service employees will either receive a 3% or 4% increase towards parity in subsequent years until full parity is met. This amendment will cost the City an additional $137,200. The City Manager recommends approving the amendment.

BOARD ACTION: The City Manager and staff recommend that the City Board of Directors approve the attached resolutions.

 

EMERGENCY CLAUSE: Not required.

 

 

RESOLUTION NO. _____

WHEREAS, in order to provide for increased salaries of certain civil service employees, it is necessary to amend the FY2017 Budget adopted by Resolution 2016-74, to appropriate $137,200 from the Unrestricted Fund Balance to fund the following increases in approved expenditures: $60,000 to Police Salaries - Regular, $3,100 to Police Holiday Pay, $1,100 to Police Medicare, $10,000 to Police Retirement, $46,000 to Fire Salaries Regular, $3,000 to Fire Holiday Pay, $1,000 to Fire Medicare, and $13,000 to Fire Retirement; and

WHEREAS, the City Manager recommends approval of the amendment;

NOW, THEREFORE, BE IT RESOLVED by the Board of Directors of the City of Texarkana, Arkansas, that the FY2017 Budget adopted by Resolution 2016-74 is amended to appropriate $137,200 from the Unrestricted Fund Balance to fund an increase of $60,000 to Police Salaries - Regular, $3,100 to Police Holiday Pay, $1,100 to Police Medicare, $10,000 to Police Retirement, $46,000 to Fire Salaries Regular, $3,000 to Fire Holiday Pay, $1,000 to Fire Medicare, and $13,000 to Fire Retirement.

PASSED AND APPROVED this 19th day of December, 2016.

 

 

_____________________________

Ruth Penney Bell, Mayor

ATTEST:

 

_______________________________

Heather Soyars, City Clerk

 

APPROVED:

 

________________________________

George Matteson, City Attorney

 

 

 

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