Councilman Place 4 Les Simpson was the sole vote against approving the Amarillo Economic Development Corporation’s budget during a special meeting of Amarillo City Council held on Tuesday.
Simpson’s vote against approving the budget followed his failed attempt to amend the budget to increase the budget for the WT Enterprise Center’s Enterprise Challenge Program from $320,000 to $520,000. “I think it has proven to be a good investment,” said Simpson in explaining the reason behind his proposal. “I would like to see us maintain our investment in small businesses.”
The fund is available to local companies who meet certain criteria. “You have to have so much revenue to apply for it,” explained AEDC director Kevin Carter. “Your business has to fit the model that fits within the statute.”
Simpson’s motion to amend the budget failed due to a lack of a second on the council.
A separate amendment proposed by Councilman Place 3 Tom Scherlen was approved unanimously by the council. In his amendment, Scherlen requested that the payroll line item be explicitly divided into a $1,300,000 payroll category and a $140,460 performance pay category. “I just want to see it separate for transparency,” said Scherlen, who noted that the proposal did not actually change the overall budgeted amount.
The payroll budget is up slightly from last year, which Carter noted was due to a 4% cost of living adjustment which was partly offset by the elimination of one position.
The overall approved AEDC budget of $3,503,340 is down from the previous year’s budget of $4,220,340.
While the council approved the budget, a budget amendment is likely to soon come before the council. Councilman Place 2 Don Tipps proposed that some AEDC resources be used to improve the gateways into the city. “It would be a one time-budget amendment to pay for that,” said Carter.
The split vote on approving the budget is only the second split vote from the council since the new council was elected earlier this year. The council’s first split vote came last month when Scherlen voted against the purchase of a concession trailer for the Santa Fe Depot Pavilion.