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December 15, 2025 I REGULAR MEETING OF THE CITY COUNCIL OF THE CITY OF NEDERLAND 5:30 p.m. December 15,2025 1. MEETING The meeting was called to order at 5:30 p.m.by Mayor Pro Tem Ortiz at the Nederland City Office Building, 207 N. 12th Street,Nederland, Texas. See attached for quorum. The following statement was posted: "PURSUANT TO SECTION 30.07, PENAL CODE (TRESPASS BY LICENSE HOLDER WITH AN OPENLY CARRIED HANDGUN), A PERSON LICENSED UNDER SUBCHAPTER H, CHAPTER 411, GOVERNMENT CODE (HANDGUN LICENSING LAW), MAY NOT ENTER THIS PROPERTY WITH A HANDGUN THAT IS CARRIED OPENLY." 2. INVOCATION AND PLEDGES OF ALLEGIANCE The invocation was led by Councilmember Sonnier and the Pledges of Allegiance were led by Councilmember Jones. 3. CITIZEN COMMENTS There were no citizen comments received. 4. CONSENT AGENDA - All consent agenda items listed are considered to be routine by the City Council and will be enacted by one motion. There will be no separate discussion of these items unless a councilmember so requests, in which event the item will be removed from the Consent Agenda and considered separately. A motion was made by Councilmember Sonnier and seconded by Councilmember Jones to approve the Consent Agenda Items "a through c" as presented. MOTION CARRIED. AYES: Mayor Pro Tem Ortiz, Councilmembers Jones and Sonnier. NOES: None. ABSENT: Mayor Jeffrey Darby, Councilmember Duplant a. Minutes—December 8, 2025 regular meeting b. November 2025 Departmental Reports c. Tax Assessor Collection Report—November 2025 5. REGULAR AGENDA NEW BUSINESS a. Discussion was held regarding the approval of the Nederland Economic Development Corporation's $75,000 matching funds commitment to Support Solutions Southeast Minutes continued, December 15, 2025 Texas and Associated Building and Contractors of Southeast Texas for their application for the High Demand Job Training grant. Interim City Manager Bruce Mills provided background information, explaining that on November 19, 2025, the Nederland Economic Development Corporation board approved the $75,000 matching funds commitment. He noted that if the grant is awarded, NEDC, Workforce Solutions and ABC will enter into a memorandum of understanding outlining their respective roles and responsibilities. A motion was made by Councilmember Sonnier and seconded by Councilmember Jones to approve the Nederland Economic Development Corporation's $75,000 matching-funds commitment to support Workforce Solutions Southeast Texas and Associated Building and Contractors of Southeast Texas in their application for the High Demand Job Training Grant. MOTION CARRIED. AYES: Mayor Pro Tem Ortiz,Councilmembers Jones and Sonnier. NOES: None. ABSENT: Mayor Jeffrey Darby, Councilmember Duplant b. A motion was made by Councilmember Sonnier and seconded by Councilmember Jones to approve the grant research proposal from Community Development Specialists, L.L.C. with a six-month term instead of the original 12-month term. MOTION CARRIED. AYES: Mayor Pro Tem Ortiz, Councilmembers Jones and Sonnier. NOES: None. ABSENT: Mayor Jeffrey Darby, Councilmember Duplant Interim City Manager Bruce Mills explained that CDS will provide ongoing comprehensive grant research to help prioritize funding opportunities and give strategic guidance to maximize the city's competitiveness for upcoming funding cycles. He noted that the current staff does not have personnel dedicated to grant research. c. A motion was made by Councilmember Sonnier and seconded by Councilmember Jones to approve Ordinance No. 2025-25, amending the fiscal year 2025-2026 budget. MOTION CARRIED. AYES: Mayor Pro Tem Ortiz,Councilmembers Jones and Sonnier. NOES: None. ABSENT: Mayor Jeffrey Darby, Councilmember Duplant d. A motion was made by Councilmember Sonnier and seconded by Councilmember Jones to approve an amendment to the City of Nederland Purchasing Policy. MOTION CARRIED. AYES: Mayor Pro Tem Ortiz,Councilmembers Jones and Sonnier. NOES: None. ABSENT: Mayor Jeffrey Darby, Councilmember Duplant This item involves approving an amendment to the city's purchasing policy to align with recent Texas legislation that raised the competitive bidding threshold from $50,000 to $100,000. Interim City Manager Bruce Mills explained that Texas recently changed its 2 Minutes continued, December 15, 2025 competitive bidding threshold for local government purchases under Senate Bill 1173, raising the amount that triggers mandatory bidding from $50,000 to $100,000 as of September 1st. He noted that the threshold for requiring contracts with historically underutilized businesses has also been raised from the $3,000 to $50,000 range to the $3,000 to $100,000 range. Mills also highlighted improvements to technology-related purchase oversight, explaining that the new policy will require technology purchases to go through the IT department to ensure supportability. e. A motion was made by Councilmember Jones and seconded by Councilmember Sonnier to approve a Joint Election Agreement with Jefferson County for May 2026 election. MOTION CARRIED. AYES: Mayor Pro Tem Ortiz,Councilmembers Jones and Sonnier. NOES: None. ABSENT: Mayor Jeffrey Darby, Councilmember Duplant Interim City Manager Bruce Mills explained that this agreement was discussed during the budget process,with estimated election costs to be determined in February 2026 based on the number of entities involved in the election. He noted that the city's current voting machines are retiring and out of date, making it necessary to partner with the county for elections. Councilmember Jones stated many cities, including Port Neches and Groves, have already contracted with the County. This will enable the city to have updated voting machines without having to purchase new machines every few years when the laws change. f. A motion was made by Councilmember Sonnier and seconded by Councilmember Jones to approve the 2026 City of Nederland Compensation Study. MOTION CARRIED. AYES: Mayor Pro Tern Ortiz,Councilmembers Jones and Sonnier. NOES: None. ABSENT: Mayor Jeffrey Darby, Councilmember Duplant This item involves approving the 2026 City of Nederland compensation study with a budget of$48,500. Interim City Manager Bruce Mills requested authorization for staff to finish negotiating and select a firm to conduct the compensation study. He explained that HR is completing reference checks and that the study is much needed. The City's current job descriptions, which are 20 plus years old, will be compared to other cities in size, budget and population and then updated. This will ensure the city stays competitive with other cities in salary so we can attract and retain talent in our city. 6. EXECUTIVE SESSION Interim City Manager Bruce Mills stated there were no items requiring executive session for this meeting. 3 Minutes continued, December 15, 2025 7. CITY MANAGER COMMENTS Interim City Manager Bruce Mills addressed a significant operational challenge regarding the collection of pennies for utility bill payments. He explained that the federal government has ordered discontinuation of penny manufacturing, creating a shortage. The city's minimum utility bill is $50.29, and many customers pay in cash requiring penny change. Mr. Mills reported that in November, approximately 1,400 people paid in person with over 400 paying in cash. The city has posted notices asking customers paying cash to pay to the nearest nickel,with any overpayment carrying as a credit balance on their account. Bruce Mills announced plans for a comprehensive street lighting assessment in partnership with Entergy after the first of the year. He explained that the city has aging mercury vapor lights and missing lights that need replacement or repair. The assessment will explore opportunities to upgrade to LED lighting, which is more energy efficient and cost-effective. Taylor Shelton, Assistant to the City Manager,provided additional details about the process and noted that Port Arthur is already implementing a similar program with 4,400 light replacements. Bruce Mills announced that he has calls scheduled with a recruiting company to begin the process of recruiting for a new city manager position, including getting literature prepared and setting deadlines and timelines. 8. ADJOURN There being no further business Mayor Pro Tem Ortiz adjourned the meeting at 5:58 p.m. J Ortiz,Mayor Pro Tern City of Nederland, Texas ATTEST: Jo Underwood, City Clerk • �. City of Nederland, Texas o': � )�•�' ''IIII1/111111111\ 4 CITY OF NEDERLAND COUNCIL MEETING ATTENDANCE SHEET NAME TITLE PRESENT ABSENT Jeffrey P. Darby Mayor Bret Duplant Council Member—Ward I Britton Jones Council Member—Ward II ✓ Randy Sonnier Council Member—Ward III I Jeff Ortiz Council Member—Ward IV Bruce Mills Interim City Manager ✓ Joni Underwood City Clerk Sane llourard �/ Chris Leavins City Attorney a� Heather Stucker Director of Finance Rod Carroll Police Chief Terry Morton Fire Chief ✓ I;-�► Dannie Davis Interim Director of Public Works George Wheeler Building Official Jacob Pitts Inspections Adm.Secretary Molli Hall Librarian Stephanie Gaspard Human Resources Director Toby Latiolais Parks Director Taylor Shelton Assist.to the City Manager V Jogrtiz, ayor Pro Tem .r� U (oiwo14-1 Joni nderwood,City Clerk Date '\ KATE CARROLL TAX ASSESSORMCOLLECTOR \� ' * JEFFERSON COUNTY, TEXAS •STATE OF TEXAS COUNTY OF JEFFERSON I,Kate Carroll,the Tax Assessor-Collector of Jefferson County,Texas and also, by contract or statute, the Tax Assessor-Collector for CITY OF NEDERLAND, 1! affirm, under oath, that this amount $546,272.56, represents all taxes collected for CITY OF NEDERLAND during the month of November 2025. Kate Carroll MAILING ADDRESS • P.O. BOX 2112 • BEAUMONT,TEXAS 77704,21 12 PHYSICAL ADDRESS • 1 149 PEARL • BEAUMONT,TEXAS 77701 PHONE:409-835-8516 • FAX:409-835.8589 ORDINANCE NO.2025-25 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF NEDERLAND,TEXAS AMENDING THE FISCAL YEAR 2025- 2026 BUDGET IN ACCORDANCE WITH THE BUDGET AND THE CHARTER OF THE CITY OF NEDERLAND. WHEREAS,the City Council previously approved Ordinance No. 2025-16 which adopted the Fiscal Year 2025-2026 City Budget;and, WHEREAS,the City Council deems it necessary to amend the current budget to increase expenditures as set out in Attachment"A"attached hereto;and, WHEREAS,the 2025-2026 City budget states"That any unencumbered funds remaining on hand at the end of the fiscal year ending September 30, 2025 shall be construed•with and classified with Miscellaneous revenue anticipated during the fiscal year beginning October 1, 2025 and ending September 30,2026,and such funds are hereby appropriated as a City Council Contingency Account for purposes approved by the City Council;and, NOW,THEREFORE,BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF NEDERLAND, TEXAS: THAT the budget for the fiscal year 2025-2026 is amended to allow for increases in expenditures as set out in Attachment"A." THAT all ordinances and parts of ordinances in conflict herewith are expressly repealed. THAT,this being an ordinance not requiring publication,it shall take effect and be in force from and after its passage. PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF NEDERLAND AT A REGULAR MEETING THIS THE 15th DAY OF DECEMBER,2025. Je. ►.rtiz,Mayor Pro Tern y of Nederland,Texas ATTEST: Wiudgcn a- -I Joni Und6iwood,City Clerk ,..� pENF , APPROVED AS TO FORM: C,ti' �o.\4'•.P (91/2?"/) 1/111°- •S*-4, 1 4_ Chris Leavins,City Attorney �F �c70;c JEFF \\` 1 BUDGET ORDINANCE AMENDMENT—ATTACHMENT A GENERAL FUND Amend General Fund by increasing revenue and increasing expenditure line items as detailed below: Increase 01-0000-4350 Federal Grant Revenue $46,750 Increase 01-5100-6720 Parks Buildings,Fixtures,and Grounds $46,750 EECDBG grant funds awarded to cover the purchase of LED lighting for the Recreation Center. Increase 01-0000-4495 Donations—Christmas on the Avenue $5,500 Increase 01-5100-6400 Parks Special Programs $5,500 Christmas sponsorships received,Philips 66 donated$5,000 and Golden Triangle Emergency donated$500. The funds will go toward Christmas on the Avenue. 2