City may cut more jobs, credit cards scrutinized

The City of Mission’s plan to correct course on its dire financial position will be the focus of a workshop today, starting at 8:30 am at the Center for Education and Economic Development (CEED) Building located at 801 North Bryan Road. The workshop is open to the public.

 

City council members will hear concerns from the community before taking up the one agenda item listed: discussion regarding the city’s strategic plan, to be presented by city manager Mike Perez.

 

“I’m going to recommend that we take another look at our workforce. I’ve got to talk to them about certain individuals that need a job title change and in executive session I’m going to discuss eliminating another assistant city manager position,” Perez said. “We are in a unique situation and this retreat has to cover it all. I expect it to go until 3 or 4 in the afternoon,” Perez said.

 

 

Perez stepped into his role just over six months ago and inherited a financial fiasco in which the city ceased transferring sales tax revenue to its economic development corporation, so it could pay bills. The city council recently raised the property tax rate in an effort to generate about $3.1 million in new revenue to get its affairs in order.

 

With a two-year contract, Perez has about 18 months left to right the ship and he is not wasting time.

 

Earlier this week, the city council adopted a new city credit card management system which requires each department to name a liaison to work with the finance team to ensure their employees are reconciling their expenses each month.

 

Perez said city employees carrying city credit cards will be held liable for charges. “They (employees) understand, once they get the card, they sign off and take responsibility,” Perez told the council. “What makes this work is there is zero tolerance, it’s the only way it works.

 

“If you make a mistake, and you bought a Coke with it, okay. The second time, you gas your car up; the third time you get fired. I’m sorry to say but at every organization that we talked about, there’s been two other cities, there’s always people who get terminated. That’s just the way it is, because people will push.”

 

Mayor Pro-Tem Ruben Plata said putting gas in a personal vehicle (with a city credit card) is not a mistake. “I don’t think that should be tolerated,” he said.

 

“We can go from warnings to direct termination, too. I’m good with that,” Perez responded.

 

The credit card system being implemented in Mission has been used by the city of McAllen for about 18 years, Perez said, while Weslaco adopted it about eight years ago.

 

Assistant city manager Andy Garcia said Mission has been doing it, “the older way.”

 

“At the end of the month, they have to reconcile all of their transactions to activity in their PCard (purchasing card) portal and that ensures that we’re able to keep track of all expenditures,” Garcia told the council. “Before this, Peter Geddes, the ex-purchasing director, was the one responsible for reconciling all transactions.

 

“We hadn’t really controlled it in the past, but we’re starting to do that already,” Garcia said. “The departments are starting to reconcile and they’re doing well.”

 

Mission’s finance director Vidal Roman, who joined city hall five months ago, told the council that anyone seeking a city credit card will have to take an exam after completion of a card user training, proving they know how to responsibly manage the card.

 

“They have to score a 90 or better. If they don’t, they will not be issued that (a card),” Roman said. “Every department is going to have a liaison officer that is going to be responsible to make certain that transactions are turned in and coded properly. The accounts will be reconciled monthly but in the finance department, I’m asking for it to be turned in on a weekly basis.”

 

Each city department will select one card holder, although some larger departments like the police and fire departments might need more than one card, Roman said.

 

 

The new credit card system is one way Perez is trying to gain control of the city’s finances and spending habits, and he understands he might not be the most popular guy on the city’s campus.

 

“When nothing is done in the way they (employees) are accustomed, and people ask, ‘What do you mean I can’t do that? What do you mean I need a budget amendment?’ it can be a little frustrating, but it’s okay,” Perez said. “My role is not to be their friend. I’m doing a job.

 

“If you want to fix this, then this is the best way, and if you have ideas, I’m willing to hear them,” Perez said. “This is the goal of Friday’s retreat.”

 

Perez has placed himself under the same microscope as city employees: the council meeting on October 14 had an executive session item for an evaluation of Perez in connection with his goals and objectives for the city.

 

Perez said he requested the item be placed on the agenda on a regular basis so he could update the council on his projects.

 

“It gives them (the council) a chance, if they’re upset with something I’m doing, they can tell me sooner rather than later,” Perez said. “I’m not a big fan of doing evaluations every six months, because a lot happens in six months.

 

“I gave them one page with 35 to 40 issues, and I gave them an update on what I’m doing,” Perez said. “We use our time effectively to only cover the ones that are most important.”

 

Perez has previously told the Progress Times that he projects it will take about two years of financial repairs and difficult decisions to get the city’s finances back on track.