2003 05 08 WS MinutesMINUTES OF THE WORK SESSION
OF THE CITY COUNCIL OF THE CITY OF BAYTOWN
May 8, 2003
The City Council of the City of Baytown, Texas, met in work session on May 8, 2003, at 5:50 p.m.
in the Hullum Conference Room of Baytown City Hall, 2401 Market Street, Baytown, Texas, with
the following in attendance:
Ronnie Anderson
Council Member
Coleman Godwin
Council Member
Calvin Mundinger
Council Member
Don Murray
Council Member
Mercedes Renteria III
Council Member
Scott Sheley
Council Member
Pete C. Alfaro Mayor
Gary M. Jackson
City Manager
Ignacio Ramirez, Sr.
City Attorney
Gary W. Smith
City Clerk
The meeting was opened with a quorum present after which the following business was conducted:
Discuss outsourcing ad valorem tax collection to Goose Creek Consolidated Independent
School District.
City Manager Gary Jackson responded to an inquiry from Council Member Renteria concerning the
applicability of the conflict of interest statute to an employee of the school district who served on
City Council. Mr. Jackson referred to an opinion from the Texas Attorney General, a copy of which
was provided to the members of Council, which held that a school district was not a business entity
and that the conflict of interest provisions did not apply in such case.
Mr. Jackson continued to relate that staff is looking for ways to reprogram funds, outsource
services, increase revenues and other means to provide services more efficiently and effectively.
Assistant Superintendent Paul McLarty of Goose Creek Consolidated Independent School District
has met with City staff to review the potential of joint activities between the City and School
District, including joint tax collection.
Donna Sams, Finance Director, reviewed the proposal with City Council. The benefits of the
program include the elimination of duplicate efforts (both the City and School District mail tax bills
and employ personnel to receive payments), provide a single location for the payment of local taxes,
simplification of activity for taxpayers (one tax bill, one payment location), and redirect staff to the
utility billing/collection function. In order to properly perform tax collection, the City would be
required to make additional expenditures. The School District has made the expenditures and is
currently collecting taxes for Lee College. The net savings to the City are projected to be $74,500.
No disadvantages have been determined. The Finance Committee has reviewed the proposal.
Council Member Anderson noted that additional savings might result from the redirecting of staff
activity to the utility billing/collection activities.
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Minutes of the Work Session — May 8, 2003
Ms. Sams introduced Suzi Tallent. Ms. Tallent has headed tax collections for the City and if the
joint program is approved, will serve as the liaison for tax collection.
Council Member Murray asked staff to study whether using a single law firm to collect taxes would
bring additional savings.
Mr. Jackson responded that the legal activities could be made joint or could remain separate. The
contract will allow that flexibility.
Mayor Alfaro stated that he has received assurances that the School District office will be able to do
the job. He then asked about the proposed duration of the agreement and if there would be
provisions related to increases in fees.
Ms. Sams responded that the initial term would be for one year. Ignacio Ramirez, Sr., City
Attorney, responded that the School District did not want to use a Consumer Price Index factor for
increases. The contract will contain a provision to establish a maximum increase in fees. The
School District has expressed a desire to cover their costs and not make a profit from the activity.
Mr. Jackson noted that any increases would be the same for the City and Lee College.
Mr. McLarty stated that the intent was to simplify the process and ask for an increase only if the
cost increased. The contract would contain an annual ceiling on increases and a three -year
cumulative increase ceiling.
Mr. Jackson informed Council that the timeline for the program is to present an inlerlocal
agreement to Council for approval at the next Council meeting, without the topic being included in
another work session. The goal is to have the program in place for the next tax collection cycle.
Council Member Anderson stated that the Finance Committee recommends the program.
Mr. Ramirez noted that separate attorneys might be better. The firm for each entity could focus on
different taxpayers, thereby generating greater collections.
Adjourn.
There being no further business, Council Member Anderson moved adjournment. Council Member
Mundinger seconded the motion. The vote follows:
Aye: Council Members Anderson, Godwin, Murray, Mundinger, Renteria and Sheley
Mayor Alfaro
Nay: None.
The motion carried and the meeting adjourned at 6:09 p.m.
G W. Smith
City Clerk