Benefits, trust bring City savings

The Navasota City Council met in a Special Meeting Monday, Aug. 7, and approved several avenues of savings for the City. Facing a 13% increase in medical plan premiums with the Texas Municipal League Intergovernmental Risk Pool (TMLIRP), city council approved accepting the employee health care bids as well as the recommendations of new third-party consultants, HUB international for nonmedical benefits, and authorized the City Manager as signatory.

According to Human Resources Director Peggy Johson, the proposal from Blue Cross Blue Shield will save 11% on the City paid Employee Only coverage; 4% on Employee/Spouse with the employee’s contribution decreased by 4.37%; 3% for Employee/Children with the employee’s contribution decreasing by 5.14% and a 3% decrease for Employee/ Family with employee contribution decreasing by 6.95%.

Making the benefit presentation was HUB Senior Account Executive Julian Fontana who said, “Looking at premiums, the TML increase for the same benefit plan was a 13% increase and a comparable plan with BCBS came in at 8% below that.”

While HUB’s recommendation for dental and vision reflect increases, benefits remained the same or expanded.

Based on the new premium amounts, the City is budgeting $860,000 for 2023-24 employee benefits.

In other action, council approved Resolution No. 747-23, creating an Employee Benefits Trust (EBT). According to City Manager Jason Weeks, by utilizing a Single Nonprofit Trust (SNPT) the City will avoid paying the 1.75% gross premium tax by paying premiums directly from the EBT.

The City Manager, Chief Financial Officer and Human Resources Director were designated as trustees.

City seeks music moniker Navasota will soon add another moniker to Blues Capital of Texas and Film Friendly Texas to showcase its encouragement of artistic endeavors. Council approved the first reading of Ordinance No. 1028-23, amending Chapter 1 of Boards, Committees and Commissions creating a Navasota Music Friendly committee.

According to Marketing & Communications Director Bobbie Lehrmann, the City is seeking designation as a Texas Music Friendly Community and the formation of a Music Friendly Committee is the final step in the process.

The committee will include the Marketing & Communications Director as the Navasota Music Friendly Texas Designee, a city staff member appointed by the City Manager, two-plus citizens appointed by the Navasota Music Friendly Texas Designee and additional members may be appointed at the discretion of the City Manager.

Council member Pattie Pederson said, “It will literally put us on the map…there is a whole music trail through Texas and this will help secure our place on the map.”

TIRZ 1 boundaries expanded Weeks received council’s authorization to execute a contract for professional services with Hawes Hill & Associates LLP in the amount of $15,000 to amend the TIRZ 1 (Tax Increment Investment Zone) boundaries. The May 22 annexation of the 96.618-acres Grimes Altamira tract on SH 90 across from the Navasota Livestock Auction extends Navasota’s ETJ (extraterritorial jurisdiction) 1 mile further east.

According to Weeks, the $15,000 will bring the total paid to Hawes Hill to $64,500 which exceeds the State of Texas’ purchasing laws without council approval. The recommended amended boundaries will come back to city council for approval.

City to seek TDEM grant Council approved chief financial officer Maribel Frank’s request to authorize the City to issue Request for Proposals (RFPs) for grant and administration services and Request for Qualifications (RFQs) for the Hazard Mitigation Grant Program (HMGP) for 2023-24 administered through the Texas Division of Emergency Management.

The grant allocation is $7-8 million, and if selected, would require a 25% City match. Eligible activities include replacement of generators such as those at some City public works facilities identified by staff.

Other council action:

•Approved the recommendation of The Lawton Law Firm acting on behalf of Entergy Texas, Inc. (ETI) member cities to accept the settlement related to fuel and purchased power expenses between April 1, 2019, and March 31, 2022, a reduction from $103.1 million to $99.6 million. According to Weeks, there will be no impact to customer rates since ETI did not request a fuel surcharge.

Council meetings can be viewed in their entirety at https://www.navasotatx.gov/ government/city_council/agendas___ minutes.php