City of Central Falls
City Council Workshop
City Hall Council Chambers
Wednesday, June 13, 2001
Following the City Council Meeting
The Central Falls City Council held a Budget Workshop on the above date in the City Hall Council Chambers at 7:05pm.
Council President Noury noted to the clerk for the record that all members are present.
Chief of the Fire Department was present to explain his budget and what it entails.
Council President Noury questioned the Chief regarding his overtime budget, the salaries account and the longevity account.
Chief Coutu gave a summary of these accounts and the proposed budget for the Fire Department for FY 2001/2002.
Detailed discussion ensued regarding the overtime and salary accounts.
Chief Coutu explained that he expected his overall current budget to be over-expended by about $100,000 due to the overtime.
Council President Noury questioned the salary account for the proposed budget and asked what that makes up.
Chief Coutu responded that is for 37 employees at different ranks. He stated that the Finance Department usually does the salaries.
Discussion ensued regarding the raises and how it is addressed in the proposed budget.
Council President Noury questioned the overtime account for the next year.
Councilman Leger questioned the equipment for the Fire Department.
Chief Coutu stated that the Department has received the new rescue vehicle, the new command vehicle and the new engine will be in shortly. The pick-up is the only vehicle that is outstanding. He stated that the department has applied for grants for certain other equipment and that he will
know in July if the department is eligible for it.
Council President Noury asked the Chief about a claim before the Claims Committee for the 1998/1999 contract in the amount of $138,000+ and asked if its accurate.
The Chief responded that it's close.
Council President Noury asked what the status of the labor contracts for the department.
Chief Coutu stated that he is not aware that any have been signed but they are settled.
Council President Noury asked if the Mayor informed the Chief on how the settlements were going to be paid.
Chief Coutu responded no.
Discussion ensued regarding the payments.
Councilman Lazieh commented on the budget and stated that this is not a true budget which reflects the proper expenses of the department and questioned the Chief on his own contract and what the status of his contract is.
Chief Coutu stated that as of the date of the arbitrator's decision he has not lost any of those benefits.
Councilman Lazieh questioned the non-capital equipment account.
The Chief explained the use and the clerk clarified that it also includes equipment with a life expectancy of 5 years or less.
Question and discussion took place regarding pension account etc.
Chief Coutu commented on the Department Head salary and the % difference between the highest employee in the department and the Chief.
Councilman Lazieh asked if there are any pending retirements in the department.
Chief Coutu that there may be 3 one possibly in this budget and possibly 2 for next years.
Council President Noury recognized the arrival of the Mayor.
Council President Noury questioned the Mayor regarding the Salary account, overtime account and longevity account for the Fire Department.
Mayor Matthews responded that the Finance Department calculates those.
Council President Noury asked on whose input did they use.
Mayor Matthews responded contractual.
Councilman Leger asked about the increase in the salary account and if it was by contract of 3% + 3% +3% to get to this year.
Mayor Matthews responded yes.
Councilman Leger questioned if the overtime account of $400,000 is a realistic figure since we haven't come close to that in the last 3 years.
Mayor Matthews stated that if based on current staffing and current history the answer is no.
Mayor Matthews explained the figures and the contract.
Council President Noury stated that the Chief indicated that the contracts have been settled but nothing has been signed, he asked the Mayor where in the budget does he plan to pay for the settled contracts.
Mayor Matthews responded that the contract language is still in the draft stages and are being reviewed by the Union and the City for finalization. He said that with regards to any payments made to the firefighters for the years outstanding they would be paid under section 2-138 of the City Ordinances.
Council President Noury asked if the Mayor is including 99/2000 and 2000/2001?
Mayor Matthews responded 98/99 99/2000 and 2000/2001.
Council President Noury stated that in his conversation with City Solicitor Briden that section of the ordinance relates to judgements and awards and the solicitor informed him that the only thing that has been judged is the 98/99 and that the 99/2000 and the 2000/2001 doesn't fall under that provision.
Mayor Matthews stated that the Council President might have misunderstood what the Solicitor was telling him. The Mayor said that he has been in discussions with the Solicitor since Councilman Leger brought it up when the Administration asked the Council to amend the budget. Which is about four weeks ago. The Mayor stated that if you read the Ordinance, the Solicitor just certifies judgements and that it has nothing to do with any other part of that Ordinance. He said that the Ordinance also talks about notes and that they don't need to be certified by the Solicitor. He said that the City will pay anything outstanding consistent with 2-
138.
Council President Noury asked if the Mayor is saying that he's going out to Bond.
Mayor Matthews responded that he is saying he will pay these individuals consistent with section 2-138.
Discussion continued between the Council President and the Mayor.
Councilwoman Canavan asked where specifically is the Mayor taking the money from.
The Mayor responded that section 2-138 says from any funds in the treasury. He said that that is the recommendation from the Council a month ago and that is what the City will follow.
Council President Noury said that he wanted to clear the record.
Mayor Matthews responded that that is the record.
Council President Noury stated that what the Council strongly suggested is that anything that has been adjudicated, anything that has a judgement in front of it, which is the one year contract of 98/99 that you pay that payment. What the Council specifically suggested to the Mayor was that the 99/2000 -2000/01 that the Mayor put into an operating budget that was the suggestion to the Mayor.
Mayor Matthews responded that he will pay according to section 2-138 as the Council requested the Administration to do so and that he is here to answer any questions regarding the proposed budget and if the Council has any he would be happy to respond to them.
Councilman Lazieh stated that he is the one who raised the issue of section 2-138 and as the Mayor says the language said the Finance Director is directed to pay any final judgement certified to by City Solicitor. He said that he agrees that there is a judgement pending for the 98/99. The contract which should be amended into the current operating budget. He stated that the Mayor has said that there is no signed contract for the 99/2000 and 2000/2001 contracts and when they are finalized then these should be in the current contract proposal.
Discussion between the Council President and Councilman Lazieh took place.
Council President Noury stated to the Mayor that the Council suggested one year only and that is the 98/99 contract and if that is the Mayor's interpretation but that was not the intent.
Mayor Matthews responded that the Administration proposed to amend the existing budget that the City is in right now to pay the firefighters their money and the Council took no action on that.
Council President Noury responded that the Council told the Mayor why they could not act on it.
Mayor Matthews responded that the fact of the matter is the Council took no action on it and that's fine but the Council is out of the loop and the firefighter will get paid whether this Council wants to or not they are going to get paid. He said that everyone here knows in the City of Central Falls, and the Council is not kidding anyone, that this Council has no intention of passing a budget and that he is here tonight to answer questions even after the actions taken by the Council last week. These actions clearly demonstrate that the Council has no intention of passing this budget because this budget is based on a revaluation and that there is no way the Council can pass this budget and not have the revaluation implemented and yet he is present at this meeting to try and answer the Council's questions and asked that they move forward if they can.
Council President Noury responded that the Council did not tell they Mayor to pay that and as far as the action is concerned the Council told him how to pay 98/99 and they also related how to get current the other years contracts to put them through this current operating budget and the Council does not see them in the current operating budget no where did they say anything out 2-138 except for fiscal year 98/99.
Mayor Matthews stated that the Council President is still wrong.
Council President Noury responded no, he is not wrong, the Council made these recommendations to the Mayor.
Mayor Matthews stated that he came to the Council with an amendment to the budget that the City is currently operating under and this Council did not vote on it.
Council President Noury responded that they told the Mayor that the Council is restricted by Charter and that they weren't allowed to increase the total ppropriation in the current fiscal year.
Mayor Matthews responded that that is you interpreting the law of the City and that the legal counsel advised the Council President differently and that the Council doesn't want to pay attention to the legal counsel that you only want to pay attention to yourself. He then asked if the Councilman had any questions on the proposed budget.
Councilman Robichaud stated that apparently this Council is very hostile and stated that the Council approved the budget last year.
Councilman Leger stated that the Council is wasting their time.
The Mayor responded that he agreed.
Council President Noury stated that they will pass a budget.
Mayor Matthews asked if a meeting has been scheduled for the Public.
Council President Noury said no because the Council has not gotten that far in the process.
Mayor Matthews asked if the Council is aware that they have until tomorrow to do that by State
Law he asked if the Council President knows that.
Council President stated that the Mayor is wrong.
Mayor Matthews responded that he is not wrong and that the Council has to pass a budget by the 25th of June according to the Charter.
Council President Noury stated that he disagrees. He said this Council can pass a budget anytime it feels it has the information.
Mayor Matthews responded to the Council President that's the problem the Council President feels that he can do anything he wishes. He said the Charter clearly states that 5 days before the end of the month of June.
Council President Noury stated to the Mayor for the record that the fiscal affairs of the City of Central Falls are not in order and a budget will not be passed until they are in order.
Councilwoman Canavan stated that the Charter does stipulate that 5 days before July 1st but it also continues to say that in the event of an emergency where a budget is not passed then the City runs on last year's budget on a month by month basis.
Mayor Matthews stated that he agrees with Councilwoman Canavan exception of month by month.
Councilwoman Canavan stated that there is absolutely nothing in the Charter that states that the Council cannot pass a budget when it's ready.
Mayor Matthews stated that Councilwoman Canavan is absolutely incorrect.
Council President Noury responded, wrong and according to Dr. Cornwell, you should remember this, because the Mayor was sitting on the Council, and he stated at that meeting, that if the Charter states that you can't do it you should assume you can do it and no where in the Charter does it say that you can't pass it later on in the fiscal year.
Mayor Matthews responded that the Council President is referring to a general rule that to include means to exclude and it clearly includes in the charter when the Council is suppose to take their action by, their suppose to take their action by 5 days before the end of the fiscal year. If the Council does not take that action by then the Council has lost their opportunity to take that action or there would be no mention at all that you should do it by the 5 days.
Council President Noury responded that that's the Mayor's legal interpretation.
Mayor Matthews responded not his but the Solicitor's interpretation.
Council President Noury stated he would disagree.
Mayor Matthews stated that that is every solicitor's interpretation that was here before his administration.
Council President Noury stated that he would disagree with that opinion and that he would not stand for that state of affairs to occur. To allow and Administration to have no oversight and no checks and balances regarding its spending proposal.
Mayor Matthews responded that's what the Council is proposing.
Council President Noury said that state of affairs cannot exist in the City of Central Falls.
Mayor Matthews responded that then the Council needs to schedule a meeting.
Council President Noury stated that as the Mayor stated on Friday that he'd see us in Court well then possibly he will.
Mayor Matthews responded that he did not say he will see them in court he said that the way the Council is operating they will probably be in court once again.
Council President Noury said that when the Mayor talked about the restrictive reserve account he certainly mentioned that.
Mayor Matthews responded that's absolutely a lie.
Councilwoman Canavan asked if the judgement for 98/99 been certified by the Solicitor.
Mayor Matthews responded that he's at this meeting to answer the budget questions and if she wants an answer to her question she should ask the Solicitor.
Councilwoman Canavan stated she would save the question for the Claims meeting.
Mayor Matthews responded that payment for that year will not be paid unless it is certified by the Solicitor. He stated that is doesn't matter if the Council approves or doesn't approve that claim it will be paid within the next three weeks.
Councilman Lazieh commented on the Charter and the duties of Council regarding the Budget.
Councilman Lazieh asked the Mayor on the proposed budget for the fire department regarding the salaries and longevity if it reflected the settlement of the contract.
Mayor Matthews responded yes.
Councilman Lazieh questioned the Mayor on how he intends to pay the firefighters for their retroactive settlements.
Mayor Matthews stated that he has already responded to these questions and that they will be paid out of the treasury.
Councilman Lazieh asked the Mayor if he is proposing to pay them from the Surplus account.
Mayor Matthews responded that they will be paid from whatever monies are necessary to pay that debt.
Councilman Lazieh asked if the Mayor is aware of the Resolution passed by the City Council directing the Mayor and the Finance Director not to appropriate any surplus account items or spend any surplus without authorization or approval of the Council.
Mayor Matthews responded that anything the Administration does will be consistent with the law Rhode Island and the City Charter and not what the Council resolves to wish.
Mayor Matthews stated that he would ask one more time if there were any questions on the budget.
Council President Noury asked if the Police Salaries difference from the May 15th to the May 31st budget what is the difference.
Mayor Matthews stated that it is the settlement of the contract subsequent to the 15th of May.
Council President Noury asked if this included any back pay as well.
Mayor Matthews responded that the police contract expired June 30th of 2000 so that a raise paid to them for this year will come from this year's budget. The proposed budget includes 3% raised for this year and a 3% raise for next year changing the base pay.
Councilman Lazieh questioned the Mayor extensively on appropriation of funds in the proposed budget.
Mayor Matthews stated that some evening he would be glad to discuss with him what is prudent but for the purposes for this evening he would respond to questions pertaining to the proposed budget.
Debate continued between the Mayor and Councilman Lazieh.
Council President Noury recessed the workshop and 8:05 p.m.
The Council did not reconvene this workshop.
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Elizabeth A. Crowley, CMC
City Clerk