Council wrestles with Houston Avenue buyout costs and reviews police budget; staff to return with specifics

Council members spent the bulk of the committee session on two budget topics: options for addressing Houston Avenue erosion and an in-depth police-department budget review.

On Houston Avenue, staff summarized a multi-phase approach discussed at recent meetings: (1) voluntary buyouts of unstable properties, (2) demolition, and (3) bank stabilization. Staff outlined funding scenarios and estimated taxpayer impacts under several match assumptions. Using figures provided by staff, a $2,000,000 city-funded scenario (full cost in one year) would translate to roughly $714 annually on a $250,000 residential homestead (about $60 per month). Under a $1,000,000 city contribution (roughly a 50% match scenario), the same homeowner would see about $280 annually (about $23 per month). If the city were awarded a BRIC-type grant with a 25% match, staff estimated a $250,000 home would bear approximately $192 annually (about $16 per month). Staff emphasized these are estimates and that final numbers will vary based on actual match rates, timing and any amortization choices.

Councilors debated interim uses of affected parcels while awaiting redevelopment — options included gravel parking, concrete, or green space — and questioned precedent risks if the city pays buyouts for one neighborhood. One councilor asked whether the city could offer tax abatement or property swaps to encourage in-city relocation; staff said the council could set policy and consider targeted incentives, and agreed to schedule follow-up meetings with affected homeowners and return with more precise cost models.

In the police budget presentation, Deputy Chief Nate Nelson outlined revenue and expenditure assumptions and several capital requests. He said recurring revenue items include animal-license receipts (~$1,000), UTV permits (~$350), and federal or state reimbursements such as bulletproof vest grants (50% reimbursement) and a police-aid grant (roughly $240,000). On expenditures, Nelson listed a salaries increase tied to the LEOS contract and an added $25,000 for overtime in anticipation of continued training and event coverage. Nelson said training requirements amount to an average of about 46 hours per officer annually and that some mandatory training is hands-on and out of town. He also detailed CIP requests: replacement investigative vehicles (two vehicles bid at ~$37,000 each plus outfitting), replacement of older marked/unmarked units, set-asides for future radio replacement, bulletproof vest replacements (approx. $2,270 each), and less-lethal 40mm launchers for squads.

On overtime, councilors asked whether special events and training could be scheduled to reduce overtime costs and whether private security contractors could handle some special-event coverage; Nelson said some scheduling flexibility exists but minimum patrol staffing and mandated training limit how much overtime can be eliminated without reducing services. He noted that some overtime is reimbursable (e.g., TZD traffic enforcement, mental-health transports) and that capital spending could be phased if needed.

No final funding decisions were made; staff will return with refined tax-impact analyses, options for amortization and special-service district scenarios, and a follow-up schedule for public engagement and detailed CIP prioritization.