Merit pay-raise debated; council splits on first-reading of 2014-15 budget

By JIM BROOKS
Nelson County Gazette / WBRT Radio

Mike Abell, chief financial officer of the City of Bardstown, and Councilman Tommy Reed look over budget figures prior to the start of Tuesday’s council meeting. Click to enlarge.

Tuesday, June 10, 2014, 11:45 p.m. — The Bardstown City Council spent much of its 2-1/2 hour meeting Tuesday night going over the proposed 2014-15 budget with a fine-tooth comb. Much of the review focused on a proposal to increase the payroll budget and provide merit raises to city employees — a review that prompted some sharp exchanges between the council and Mayor Bill Sheckles.

Sheckles’ initial budget proposal included merit raises to be awarded for employees whose performance warranted it. The raises would be paid form a 2 percent increase in the city’s payroll budget. But the merit raise plan was criticized by several member of the council.

For Tuesday’s council meeting, Sheckles offered a modified pay increase plan that would give city employees an across-the-board 1.5-percent raise funded by a 2-percent increase in the payroll budget. The remaining 1/2 percent of the payroll budget would then be available for merit raises.

• Check back Wednesday for more City Council coverage!

Councilmen Tommy Reed and John Royalty expressed concern about the fairness of merit raises.

Councilman Bobby Simpson looks over budget numbers during Tuesday’s city council meeting. Click to enlarge.

“I have a problem that there is no criteria for that merit raise,” Reed told the mayor.

Sheckles told Reed there was criteria for the merit raises; the department heads brought him their suggested merit raises and the mayor would review the request and approve or deny it.

Reed told the mayor the council’s duty is to approve and oversee the city’s budget. “That overseeing doesn’t really let us to give a blank check,” he said.

Sheckles said he and the staff are charged with the day-to-day operation of City Hall. “That part of the duties and responsibilities of the mayor and the staff. If you all approve a budget, we’re going to execute that budget,” he said. Some employees deserve a higher raise for working beyond what is just required, he explained.

“I don’t think we disagree,” Reed explained. “But if someone is going to work hard enough to get a merit raise, they deserve to know what the criteria is.”

Each department at City Hall is different and employees work to different standards, Sheckles explained. “That’s why I depend on the department heads. You can’t get any simpler than that. It’s not rocket science.”

Councilman Roland Williams asked Sheckles if he could — in writing — explain how the raises would be given. Sheckles said the raises would be considered only after the council approved the budget. Councilman John Royalty said he preferred across-the-board raises as opposed to merit raises.

Sheckles asked the council if they did not trust the City Hall department heads to be fair when making recommendations for merit raises. “All I’m saying is you have to trust somebody,” he said.

Councilman Tommy Reed explains his concerns over a proposed merit raise increase for city employees. Click to enlarge.

Reed — banging his desk to punctuate his question — asked the mayor why he didn’t trust the council enough to bring the merit pay idea to them ahead of time.

“Why wasn’t there trust to the council by the mayor to say ‘Let’s do it together, rather than the mayor do it all by himself?’ ”

The council doesn’t know the day-to-day operations of city hall, Sheckles replied.

Reed told Sheckles the council is trying to exhibit leadership and show constituents they are being good stewards of their tax dollars. Royalty agreed, telling Sheckles that is why the council needs to know more about the merit raise criteria.

Sheckles again stated his trust in the ability city employees, citing the fact the city budget is in the black and putting in reserves as testimony to their effectiveness. “You should trust them to do the right thing, just like I trust them to do the right thing.”

Councilman Bobby Simpson agreed the city’s employees do a great job, but also reminded Sheckles of another reason for the city’s good financial footing. “It wasn’t that long ago we raised taxes to bring that money in,” he said. “It’s not all about patting ourselves on the back and saying ‘good job’ .”

While voting on the first reading of an ordinance is not required, Sheckles asked the council to vote on the proposed 2014-15 budget. Councilmen Francis Lydian, Roland Williams and Joe Buckman voted to pass the budget on first reading, while councilmen Bobby Simpson, Tommy Reed and John Royalty voted no.

NEXT: The budget will be up for its second and final reading on Tuesday, June 24, 2014.

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