The Newton Board of Aldermen voted in executive session to raise the capital improvement fee on city water customers by $5, a 264 percent increase of that fee, beginning with the August billing cycle during its regular meeting June 16.
At the end of the regular meeting, the board went into closed session and then called an executive session due to “personnel” reasons, according to board attorney Brian Mayo. Following the executive session, The Newton County Appeal was informed of the action taken in executive session by Mayo and Mayor Murray Weems. The meeting’s agenda did not include an action item to discuss a rate hike in city services.
Mayor Murray Weems said that if the increase was not passed, the city would have to look at a reduction in force.
“It was either pass an increase or have a reduction in force,” Weems said after the meeting. “Currently, we have a shortfall in the city budget due to the debt service payments on the capital improvement project for street paving. The city is using money out of the general fund to help pay off debt service on that project. We still have five more years of payments on that debt service. So, we are passing that along to customers who drive these roads every day.”
The capital improvement fee will now be $8.05 per month compared to the previous fee of $3.05. The minimum city water bill will now be $58.40, an increase of 9 percent on the overall bill. Weems said the fee increase would generate around $86,000 per year.
Board attorney Brian Mayo cited the reason for the executive session for personnel in all departments because a reduction in force possible.
According to the Mississippi Open Meetings act, a public board can go into executive session for personnel reasons only to discuss the “transaction of business and discussion of personnel matters relating to the job performance, character, professional competence, or physical or mental health of a person holding a specific position…” or “the right to enter into executive session concerning a line item in a budget which might affect the termination of an employee or employees.”
However, the open meetings act states, “All other budget items shall be considered in open meetings and final budgetary adoption shall not be taken in executive session.”
He or Weems did not identify how many employees or what specific departments would have been affected by a reduction in force.
“The reduction in force discussion was the reason why it was done in executive session,” Mayo said.
Right now, Weems said they are concerned about the future revenues of the city. Earlier in June, La-Z-Boy South announced a layoff of 300 workers.
“Right now, it is a very uncertain times in the city,” Weems said. “A lot of business has left town over the past few years. This is such unusual times, but we’re hopeful that we can get some more business in here.”