City board passes 2008-2009 budget

The city of Dyersburg passed the first reading of its 2008-2009 budget at Monday night's meeting of the Board of Mayor and Alderman.

After a public hearing to discuss the Finance Committee's report of its Aug. 19 meeting and the adoption of the new budget, Finance Committee Chairman Lewis Norman made a motion to approve the budget and set the city tax rate at $1.99. After a second by alderman Charles McCright, members of the board were asked to participate in a roll call vote. The motion passed unanimously, with all board members present and Mayor John Holden adding his vote of approval, as well.

Alderman Bob Kirk reminded board members that the 3 percent pay increase for city employees will be given retroactive from July 1.

Norman also made a motion to implement a property tax freeze program for senior citizens with a combined income level of $24,230 annually. To qualify, the state requires seniors meet the same qualifications as elderly tax relief and have a combined annual income level of $24,230. The program takes effect when the resident turns 65 years old or a resident 65 years old or older purchases property. The program applies to the principal residence on a property of not more than five acres. The motion was seconded by Kirk and passed unanimously by board members.

During committee reports, Street and Sanitation Chairman Freeman Dudley read the minutes to the July 24 and Aug. 18 meetings of the committee and made a motion to award the bid for a new dozer with a landfill package for the Solid Waste Management department to Thompson Machinery for $206,043. With the bid, the city will earn $83,335 in combined trade-ins on the department's 1998 CAT and 1991 John Deere dozers. The motion was seconded by alderman Kevin Chaney, and passed unanimously.

Other vendors notified of the bidding process included Tiger Equipment, Power Equipment and Scott Construction Company, offering no response, and Stribling Equipment, returning no bid.

Alderman Shannon Walker requested an update from City Purchasing Agent Greg Williams on additional warranties available for the new dozer. With the bid, the city accepted a five-year/7,500-hour extended warranty on the power train and a six-month warranty on the entire dozer.

Williams said an additional 24-month/1,500-hour warranty may be purchased from Thompson's for $7,500, creating a power train warranty lasting seven years and 9,000 hours. Williams did not recommend purchasing the warranty, stating that the city will lose much more depreciation on the dozer in the extra two years of warranty than it will save in repairs.

"We spent $241,000 in repairs (on the last dozer)," said Walker. "How much of that was toward the power train?"

"About 80 to 90 percent," said Williams.

"How many hours did the other dozer have on it?" asked alderman Dennis Moody.

"About 12,000," said Williams. "The downside is, I feel like you'd loose a lot of the appreciation in that two years. As soon as the dozer ran out of warranty, that's when we started having trouble with it."

"You can go to the poor house with warranties," said Moody. "And $7,500 can go a long way toward a new dozer."

"In my opinion, you could lose as much as $30,000 to $35,000 in that two years," said Williams.

Also at the meeting, aldermen approved the attorney's invoice for $10,895.32 with a motion by Bob Kirk. Alderman Bart Williams added a second and the motion passed unanimously.

In aldermen reports:

* Dudley asked for an update on the cable contract, stating that service is declining and Cable One's contract is up. Mayor John Holden said the city is waiting on a proposed new contract from Cable One to open up discussion. Holden also reported that Dyersburg is one of 56 cities in the state bid on by AT&T for a franchise.

"AT&T has two years to act on that," said Holden.

* Alderman Shannon Walker reminded citizens to check the schedule of the street department's knuckle-boom truck, which has been making a route through the city to clean up yard debris and large items from residential homes. Walker also explained his position in hoping that the city will take a stand to encourage city and county law enforcement officers and firemen to have the equipment necessary to radio each other.

"The city patrolman and county patrolman can be right across the street from each other and not be able to communicate," said Walker. "I hope sometime in the near future, we can find a remedy for that."

* Norman thanked City Treasurer Steve Anderson and his staff and the city department heads for their assistance with the city budget.

"It went real smoothly this time," said Norman.

* Charles McCright thanked the Dyersburg Police Department for the way they are patrolling.

Kirk, Williams, Chaney and Moody had nothing to report.

Holden announced that the City of Dyersburg will honor the young ladies who won the Dixie Youth World Series during the opening ceremonies of the Dyer County Fair on Monday, Sept. 1.