04-08-74 Council Meeting Minutes

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REGULAR MEETING APRIL 8, 1974 COMMITTEE OF THE WHOLE MEETING (CONTINUED) asked what particular case the Council was referring to. No particular instance was mentioned. Mr. Roemer stated that he could not find any particular law that says that type of an ordinance should not be passed. He felt this was a matter of opinion as Mr. Chapleau had previously stated. Mr. Roemer indicated that the statutes also set further powers as being vested to the Mayor regard : fixing salaries. The Council is to generally appropriate the money and oversee. He felt that som "high- powered" executives could be lost to the city if the Mayor did not have that authority. He wondered about the general intent of the legislature in designating authority. He talked about th possibility of problems occurring in the area of federal funds. In the manpower area, if there wa money appropriated for summer jobs, the federal government could enter into a contract with the city and give the city a certain amount of money. He felt the city might be in a position to have to turn down the funds if the proposed ordinance was passed. He expressed concern about the feder government having a say in setting the salaries. He felt the executive branch of government shoul be able to have that authority and be responsible for hiring, firing and setting salaries. He als felt the Council's ordinance only affected a few people and there were many questions pertaining t the ordinance. He hoped that federal grants would not be jeopardized because of the ordinance. Councilman Kopczynski stated that Mr. Lennon was the Director of the Department of Redevelopment. He wondered why Mr. Lennon did not get paid from the Redevelopment monies. He wondered about the 701 Planning Grant. Mr. Lennon stated that his total salary from the City of South Bend, and he interjected that he receives no other funds from the city, was $18,200. He received $5,799.96 from the 701 Planning Grant for a total of $23,100.04.. He stated that Redevelopment pays three - fourths of his salary. Councilman Kopczynski wondered why this was not included in the printout o the salaries of employees. Mr. Lennon explained that he had worked for Model Cities for four year which had been covered by PERF (for pension purposes). When he came to Redevelopment, there was no PERF and he had received an option to be a city employee in order not to lose his four years with Model Cities. Council President Nemeth stated that, if that was the case, the Council would have the authority over the salary because it was city -paid. He requested a copy of the 701 Plann : Grant contract, and Mr. Lennon indicated that a copy had been furnished the Council; however, he would furnish Council President Nemeth with an updated copy. Mr. Kevin Butler, the attorney repre- senting the Redevelopment Commission, indicated that he was present to answer questions pertaining to the commission should any arise. Mr. William Hojnacki, Director of the Department of Human Resources and Economic Development, expressed concern over the manpower program. He did not under- stand what would happen when the ordinance went into effect. He hoped Congress would make addi- tional employment funds available to the city. He stated that the manpower program was administer through the State Department and must be approved by the review board, the Michiana Area Council o Governments, and then submitted to the Manpower Advisory Council. He wanted an opportunity to closely review the ordinance as far as it related to the manpower program. Councilman Parent aske if the manpower program had responsibility for areas outside the City of South Bend, and Mr. Hojna '. indicated that the program was going from a four - county role into just a City of South Bend role. Mrs. Janet Allen, 125 West Marion Street, stated that the Mayor sets the salaries but that the Council is the body which votes on the salaries. She stated that this was also true of the police- men and firemen. She stated that salaries for Model Cities employees have been reviewed,' and the Mayor is perfectly free to hire anyone once the salary has been approved by the Council. She stated that anyone in line for a city pension must be considered a city employee. She did not feel the federal government should be allowed to set salaries at will because in most programs, the city must pay a portion. Councilman Miller stated that, in the 701 Planning Grant, there are non - federal contributions. Mr. Lennon agreed. Councilman Miller wondered if it was the power of the Mayor to authorize an expenditure without authorization of the Council. He stated that in -kin contributions were paid by the city. He indicated that he had a copy of the contract dated November 1, 1972. He wondered if the corporate city included the Mayor and Council, and he stated that the grant was given to the City of South Bend. Mr. Roemer indicated that he was not sure how the legal entity was defined. Councilman Miller stated that the corporate city would include the Mayor and Common Council. Council President Nemeth stated that the Mayor and Council are the corporate officers of the city. Councilman Miller stated that the 701 Planning Grant dated November 1, 1972, defines the planning agency as the City of South Bend and the Mayor had signed the contract. The format is to provide administration for the Mayor's staff, citizen participatio coordination and a housing component, the latter he indicated that he found interesting. He felt the Mayor and Common Council made up the City of South Bend and this was a contract case. He stated that it was mentioned the 701 Planning Grant was not included under the ordinance. He felt it was. Mr. Chapleau stated that the planning agency referred to in the grant was the City of South Bend and the statutes provide that a separate tax levy can be established. He stated that the Common Council passes on the budget. He indicated that he was not talking about the relocatio officers because the salaries are set by the Redevelopment Commission. Council President Nemeth wondered about the 701 Planning Grant. Mr. Chapleau stated that the grant he had access to was made specifically between the Department of Redevelopment and the federal government. It was indicated that it was possible Mr. Chapleau did not have the particular contract being discussed. Councilman Miller wondered about a check - and - balance on salaries if the Mayor sets salaries for federal funds and it was under a contract with a federal agency. Mr. Roemer stated that the overa budget would come to the Council for review. Councilman Miller asked that, assuming that federal funds are coming in under one type of grant or another and an administrative budget is set up, how the city prevented the possibility under manpower of being involved in patronage. Mr. Roemer suggested that, if the Council has a concern over a certain salary, the Council need simply reques the information and request a justification of that salary. It was indicated that no specific salary was being questioned. Mr. Hojnacki stated that the city is under specific regulations as far as the people employed and certain procedures must be adhered to. Councilman Parent stated that, to his knowledge, all employees that receive federal funds cannot be involved in politics. He stated that the ordinance, in principle, was fine. He felt that many questions were raised regarding the ordinance, and he wondered how many people would be affected by the proposed ordinance. He suggested that the ordinance be tabled. Council President Nemeth stated that, if there are so many federal requirements to follow, he could not see why one more requirement would make any difference. Councilman Taylor made a motion to amend the ordinance by adding the following phrase "except as otherwise provided by law" to Section I, seconded by Councilman Miller. The motion carried. Councilman Serge stated that this issue had come up over a year ago, and he was under the impressi that the Council did not have authority over federally funded employees. He stated that the feder, employees do receive more money than the city employees. Councilman Miller made a motion that the ordinance go to the Council as favorable, as amended, seconded by Councilman Kopczynski. The motion carried.