City council passes 2021 budget

The city of Sulphur Springs has passed its budget and tax rate for fiscal year 2021 per a decision Tuesday night by the city council. Items passed within the budget include:

• Tax rate: 44 cents per $100 of land valuation. This is the 18th year the city has held the same property tax rate, according to finance director Lesa Smith. The measure passed unanimously.
• Fiscal year 2021 budget: A balanced budget of approximately $32 million, the measure passed unanimously. 
• Updated service credits: for a cost to the city of $32,690.36, with one change including the addition of approximately $1 million of CARES Act funding. The measure passed unanimously. 
• Police seizure expenditures: While the Sulphur Springs Police Department budget is approved as a part of the city budget, the amount of money SSPD collects from seizure of illegal property such as unregistered firearms or trafficked cash must be accounted for separately, according to the Texas Commission on Law Enforcement. SSPD Chief Jason Ricketson presented to the city council that SSPD planned to use $22,500 of funds seized from illegal activity in order to fund a protective awning for police vehicles. The measure passed unanimously. 
• Sulphur Springs Hopkins County Economic Development Corporation: Although the EDC gains its revenues from sales tax and operates independently of the city, the city must still approve its budget yearly. Two changes of note to the EDC budget for 2021 were the rise in professional service fees of $13,500. In addition, the budget marked a loss of $200,000 to help pay for Pacific Park and the Senior Activity Center, which is a measure citizens voted to enact in November 2019. For a total of $2 million, the EDC budget was unanimously approved. 
• ATMOS City Steering Committee: An annual negotiation, Sulphur Springs is part of a consortium of mid-Texas cities which negotiates with ATMOS Energy Corporation for yearly pricing. In the 2021 fiscal year, according to Maxwell, ATMOS proposed $141.2 million due to large-scale repairs on their lines. However, Maxwell said, the cities negotiated the price to $90 million. This translates to approximately $5.15 for a residential gas bill and approximately $15.48 for a commercial gas bill, Maxwell stated. The council unanimously approved. 
• Grays Building contractor: The city received five bids for contractors for the Grays building in Pacific Park. The council unanimously approved Sulta Manufacturing for a cost of $60,310 for steel materials, Potts Concrete for $136,887 for concrete construction and J&J Masonry for $39,685 for stonework. 
• Grant to SSISD: The council unanimously passed a resolution to donate $31,000 of their CARES Act funding to the Sulphur Springs Independent School District for the purchase of school technology such as iPad’s and hotspots to help with education during COVID-19. According to SSISD Superintendent Michael Lamb, the school will also seek a donation from the county from their CARES Act funding, and all other county schools are allowed to do so by law. 

Other items of business:

• Thermo tax reinvestment zone: The council unanimously passed a resolution to zone the 4,857 Thermo coal mine property as a commercial-industrial reinvestment zone. Citizens are familiar with the downtown square as a tax reinvestment zone, according to community development director Tory Niewiadomski. Niewiadomski said the city hoped the designation of the former coal property as such would help spur development, but would not guarantee businesses that located there would get a tax abatement.   
• Executive session: After an executive session, the council unanimously authorized Maxwell to negotiate with a consulting firm regarding economic development. 
• Airport lease: The council unanimously approved the transfer of a lease on an airplane hanger at slot 1220-15b from Steve Hudson to Brian and Mattie Jacobs.
• Mutual aid: The council unanimously approved a measure which would codify an agreement between the city of Commerce and the city of Sulphur Springs for mutual aid of fire department personnel and equipment. According to fire chief David James, the previous agreement was a “gentleman’s agreement,” but after a vote by the city council, the agreement is now written.