Finance committee meeting to order on the 18th day of February 2026 at 1030 a.m.

Um roll call um to my left we have Alderman Thorpe present present um Harry Huntley is not here today and I am acting as the interim chair Karma O'Neal present um so we have a quorum can I get a motion to approve the agenda um Madam Chairman I recomm I I move that we postpone the agenda yes I move that we approve the agenda second all in favor say aye aye aye great approval of the agenda um next up on our agenda is approval of minutes from uh 2426 um can I have a motion to postpone approval of those minutes so moved all in favor say aye aye aye all right those minutes will be postponed approval of those minutes will be postponed until the next meeting um next up on our agenda we have um AP 1226 but I'm going to move that to the bottom of the agenda um because we have invited Mr.

Ross Arnett um who is looking to be appointed to the finance advisor advisory committee so I'd like to wait for him to arrive um so can we just um let's just go ahead and look at the supplementary appropriation and then we'll come back to that item that's all right um so next up on our agenda would be essay 1526 grant and Aronda County Senator Arnest Grant for fire and I believe we have Chief Romale here to talk about it only if you have any questions this was pretty simple it's uh during the budget process Doug Romaly Fire Chief this was pretty simple during the budget process uh we calculated a grant that was coming in we actually received and I don't have it in front of me but it's like 500 or 700 more and uh they just need that approval to add that to the the budget great we always like having more money so we do too 734 dollars and sixty cents more um are there any questions for Chief O'Neilly no questions all right I will entertain a motion to give a favorable recommendation for SA 1526 to the council I move that we give a favorable recommendation to AP 1526 to the council it's SA not AP what'd I say you said AP oh thank you um I'll second that all in favor say aye aye aye all right motion passes um still not seeing Mr.

Arnett we're gonna go to R 426 extending the public paddle craft rack pilot project and I believe we have deputy city manager guile here to talk about that yes Jackie Guile Deputy City Manager for Resilience and Sustainability so this excuse me is your microphone on yes okay I can't I just can't hear you oh okay Jackie Guile Deputy City Manager for Resilience and Sustainability Resolution 426 um is extending the existing public paddle craft rack pilot project which was authorized last year um but it was not um advertised and implemented until June so about halfway through the voting season um it could have been advertised better I think as well and publicized it was at Truxton Park so it wasn't very visible so it it did need better advertisement but so this uh resolution is requ requesting the extension of this project till the end of December um and we are also reducing the fee there were only two by the way there were only two um people that signed up for the um paddle rack we think that was not only just not advertising but it was because the fees were very high they were you know 300 just for a residential fee so this is reducing the fees as well to um 150 for resident and 300 for non-resident we think that'll make it more appealing um it's half the cost of that it was before for residents and non-residents that's the gist of the resolution all right are there any questions from the committee Alderman Thorpe.

Are there any questions from the committee?

Alderman Thorp.

I I just have one question, and that is the concern about the cost.

Do you have the are you empowered?

Do you have the ability if halfway through the season you still see that the cost is too high or or the number of people using it is not what you're hoping it to be that you can lower the cost even more?

Do you have that ability to do that?

Yes, we can.

We will come back to finance committee to do that.

I mean, we could provide you know the data of usage so far and try to find out you know if there's any uh feedback we can get if it's about the fee.

Um so yes, we can do that.

Okay, thank you.

You're welcome.

All right.

Thank you very much for that overview.

Um I'm hoping that with a little added marketing, um, it'll be a project that we see come to a little bit more use.

So thank you.

Okay.

I'm being told that the Office of Law has an amendment and an updated fiscal impact report.

All right.

Um would you like for us to wait for those two things before we give up your recommendation?

Okay.

All right.

We're going to wait.

Would it be appropriate for me to put this on the table and go back to the top of our agenda?

All right.

So we're going to table the discussion on R 426 for a few moments while we gather some more information.

And we are going to go back up to AP 1226, which is the appointment of Mr.

Ross Arnett to the Financial Advisory Committee.

Mr.

Ross is in the building.

And could we invite you to the center table and a microphone so that we can pepper you with questions?

I can throw these flights on the Did you bring an attorney with you to represent you as well?

I left them in the mayor's office.

Welcome.

Good morning.

Good morning.

My first question for you is why would you like to serve on the Financial Advisory Committee?

Well, um other than the fact that I helped form the Financial Advisory Commission and legislation, I think that it's uh an important body, but more importantly, the mayor asked me to serve and told me that he would really like to see a more vital interaction between the fact and the council.

And um I think I can help with that.

Great.

Thank you.

Questions, Alderman Thorpe?

Um yes, first of all, thank you for uh volunteering to continue to serve.

Um I I guess I want to follow up on the conversation that that you were a part of at the FAC at the last FAC.

Um just to get your thoughts here in front of the senior leadership of the staff, about what impact that you think that the FAC can have.

So um I think the FAC uh was developed to be a sort of the citizen arm to help advise the council, including the mayor on matters financial and it has been my observation over uh 18 years and nine months that the members of the council had varying degrees of paying attention to the facts advice.

Um, and I think we need to make that we need to understand why that, but make it more robust.

But also I think that the fact was designed to do more than it has been doing, um, including early participation in the budget formulation as an advisory role, but also um an outstanding issue has been fact involved in the union negotiations.

And I know that there's a lot of sensitivities there because of confidentiality issues, but about two years ago, the fact made um offer to be more intimately involved in that um is advisory and under highly confidential, and I think that'll that issue will come up again.

Um the acting city manager reacted at the last fact meeting about that.

It's it's a dicey situation, but um it was in fact part of the formulation of the fact that the there was an idea that they would be of service in that regard, and it's never happened.

Um thank you.

And uh second question I have uh again, something you and I have spoken about.

Um you as the former chairman of the audit committee and me and uh new member of the audit committee.

Um how do you see the FAC helping out partnering with the audit committee in order to get to the objectives that we've talked about concerning audit risk and measuring the performance of the plan?

So the FAC donated nominated uh Jim Cardillo to be on the audit committee.

He is an auditor himself, and quite frankly, during my time as chair of the audit committee, he was the heart of the audit committee.

He was the one that really knew what we needed to do and was very helpful in that regard.

I think Joe Rubino, who is longtime stalwart citizen and businessman, will bring that same kind of help to the audit committee.

Very squared away, rational uh kind of guy.

So um, and I think that the the interest of the fact are broad, they uh not only cover the finance committee and the finance committee's interests, but the same interests of the fact.

The fact is involved in doing the performance measures, helping the development of those things, and um I think we need some more development there, and I think the fact can help with that.

Great, thank you very much.

You're welcome.

Great.

Thanks for coming out today.

We really appreciate it.

I'll go back to my other job.

Go back to your other job.

Great.

Thank you.

Um without further ado, I'll entertain a motion to give a favorable recommendation um on AP 1226 to the council.

I move that we give a favorable recommendation to AP 1226 to the council.

Second.

All those in favor say aye.

Aye.

Aye.

Motion passes.

Um do we have that?

Oh, good.

We were stalling for you.

Thank you.

All right.

All right.

So Office of Laws uh providing us with an updated um financial impact report as well as an amendment.

Um amendment one reads reduces the tax.

Oh that's not what we're talking about.

This is not the one we were talking about.

Sorry, Cynthia.

This is 0126, and we were thought you had an updated information for R 426 extending the public paddle craft.

No.

Oh.

Sorry.

Okay.

All right.

Well, um, seeing no further questions or any information necessary, we'll entertain a motion to give a favorable recommendation to R 426.

I move we give a favorable recommendation to R 426 to the City Council.

Second, all those in favor say aye.

Aye.

Aye.

Motion passes.

Favorable recommendation for R 426.

Um that brings us to ID 726, our finance department update.

Do you have an update for us, Joel?

Um as we continue to get settled in.

We actually have a uh Karen Ajay here to present to the finance committee.

She's the new permanent deputy director.

Um, so I wanted to invite her to come up and speak and introduce herself.

Great.

Karen, would you like to come to the table?

Sure.

Make sure the microphone is turned on.

Absolutely.

And introduce yourself and your title.

Hi, my name is Karen Ojayi.

I'm the new deputy director of finance.

I officially started uh last Thursday on the 12th.

And uh just want to let you know that I'm bringing more than 20 years of experience.

The bulk of that experience is from Deloitte, one of the largest CPA firms in the whole world, actually.

And I worked there for seven years as a consultant advisory person.

And so I've had the opportunity to go to various companies and give them advice about audits.

One of the big fours.

And in addition to that, I worked for a CLA Clifton Larson Allen CPA firm.

That audit experience comes up to about 11 years of experience.

And then prior to that, I worked at Anna Rondo County government, which is right down the street.

That was my hands-on experience where I did bonds, issued bonds on behalf of the county.

We got triple A rating under my leadership for the first time.

And in addition to that, I did the CAFR at Anarondo County government.

And I was the capital project person and the grants person.

And I was also the person that made sure that all the material findings from the external auditors were addressed and made sure that Anna Rondo County stayed out of the newspaper.

So that was my initial role, but I I ended up doing various jobs within the county, and I really enjoyed it.

So it is really good to be here and to become part of the family of the city of Annapolis.

And I hope I am acceptable to you.

Oh welcome.

Thank you.

We're so excited to have you on board.

It's good to be here.

What is the one thing not only the finance committee but the council can do to help you as we steamroll into budget season?

Well, my job right now is just to get my hands around everything that is going on and to address immediate issues.

And so I've just working with Vicky, of course, and the new acting director, Joel, to get my hands around all of that and then prioritize it.

Also do risk assessments.

That's very, very important because you really don't want to come in and focus on the small things, you want to focus on the big things.

So that's what I'm working on right now.

Great.

Well, please know that any member of the council would be happy to talk with you, assist in any way we can.

But especially the finance committee.

Um, our chair Harry is actually not here today, but um, you'll have an opportunity to meet if you haven't already in the next couple of days, I'm sure.

But I can say the finance committee is very excited to have you on board.

I'm excited to be here.

We improve the position um in the last budget cycle.

Um, we've been waiting with faded breath for the position to be filled to assist all of the finance department.

So thank you.

Yes, thank you.

Thank you.

Any questions?

Alderman Thorpe.

Um I don't know about a question, maybe a statement.

Um following up on our conversation earlier uh before the meeting.

Um first of all, I have to tell you that um your reputation precedes you.

The excitement for your arrival has been uh palpable with people talking about how excited they are about this hire.

Um so I'd like to add to Alderwoman O'Neill's uh welcome and congratulations.

It's great to have you here.

Thank you.

Um, as we move forward, uh I believe we're structured uh very well with the finance committee and the audit committee.

Um and uh I look forward to partnering with you.

I think all the members of the council, you're gonna find the same thing.

That's our intent is to partner with you.

Um and as we measure risk, um, as we work through the audit, uh, and that as we create the plan, i.e.

the budget, and then we ensure the city council or the city staff has the tools they need to measure the product of the plan.

I see you as an instrumental part of that.

And and I would echo Alder Woman O'Neill's comment.

If you need anything, please let us know.

Um I'm sure there's a table full of people sitting over there that want to do that first, and they should, um, and they'll let us know if you need anything.

We're here to serve.

Thank you.

Thank you very much.

Appreciate it.

Thanks.

Thank you.

Thank you, Alderman.

Um I was going to ask if there was any other discussion.

Uh a couple of things.

Um, obviously, um the solidify solidifying and stabilizing the finance department is um is really a priority, and and I've really appreciated how Joel and Sean from Hard Review have stepped in and already really made a difference in terms of um helping to helping those teams uh to to communicate, finding particular pain points, starting to document um and and all the rest of that.

Um Karen obviously is sort of in some sense coming at a really good time in that regard of of being able to watch all of that happen and and participate and then take those results and really really grow them.

But obviously, the next big thing for us is um a permanent finance director.

That actually got posted yesterday, so um that is open, and I'll ask you and and the the multitudes listening uh to light up their networks.

Um I shared it.

Yep.

And uh so uh we're looking forward looking forward to that process um getting going.

But that was posted yesterday.

Thank you.

Thank you very much.

Any questions, Alderman Third?

Um just one comment.

If that wraps up your finance brief, um what I think we would ask would be as you get into the routine um of being the acting finance director, realizing that you've got a couple other things to do right now, but to work with Alderman Huntley, um, Alderwoman O'Neill as to create the the rhythm for the finance briefs to this committee.

Um we're what we're hoping for is a brief that is substantive, factual, um, uh, and gives the committee the opportunity throughout the the quarter throughout the year to keep our arms around what is the the progress, what are the pain points, what are what's going really well, what is looking like it's not gonna go well.

Um we've done we've asked uh for instance the director of public works to be giving us a brief on uh uh capital projects that are ahead or behind, and and so if we would ask that you uh make sure we have a good rhythm of getting that brief to us in a way that we can build on last the last committee's report to this committee's report and then to the next committee and and look at trends and and what we need to be focused on.

Thank you.

Yes, sir.

Yep.

I'm just sorry.

I was just I was just gonna ask a question if you've had one in the past that resembles something that you want to see recreated, or is this a net new?

It's been ever evolving.

Okay.

And so would you want this to be something that's occurring every meeting with the finance update, or is it some because you want it to be a recurring standard deliverable going forward?

As far as the report goes, um, recurring um on committee meetings would be great, just as an update.

I know that I have a lot of residents asking, like where um budget reports are, you know, for the previous uh quarter, and I know that we have a substantial amount of time between the end of the quarter and when the reports are ready.

Um I believe we're waiting on the final report from FY25.

Is that correct?

Do we have a timeline for receipt of that?

Uh any day they're they're wrapping up the last the last pieces of that.

Um so I'm I'm expecting it this month.

Great.

Thank you.

I appreciate that.

Yes, Alderman Thorpe.

So uh I wasn't on the the uh city council last year, so uh, but I did watch the meetings, and there's probably some uh there is some uh history of this briefing.

I I guess what I would would ask for would be information that you think we need to know um as to how we're moving forward.

Um provided in a way that is not just data for us but information for us.

last year so uh but i did watch the meetings and there's probably some uh there is some uh history of this briefing i i guess what i would would ask for would be information that you think we need to know um as to how we're moving forward um and provided in a way that is not just data for us but information for us um i look at the city council as a body that should be helping the staff get done what the city needs to get done and and I think everybody does so uh so my concern about quarterly reports are when you look at the calendar our fiscal year starts July 1st first quarter ends october first you get a a brief in November December on October on October 1st you really only get two briefs the whole year and the finance committee doesn't really have the opportunity to take action or to make changes uh or to support and and all in an effort to support the staff so when we meet monthly well I don't think we're looking to replicate the quarterly report on a monthly basis but what are those top three five ten things that you think that the that the finance committee needs to know whether action needs to be taken soon or we should be anticipating when we get the quarterly report that action needs to be taken or or things like that so um I'm also as you and I have chatted about before very much more into trends than data points I I can't if you tell me that we're behind by seven percent I or ahead by three percent I don't know what that means but if you are able to give us a trend and and that you're worried about it and you feel good about it you have a solution to it you need some help we need to we're gonna have to take some action we're looking to take action that's really what I think this committee should be looking at so that as we prepare for the budget um we've got that data in the back of our mind is that helpful yeah very good thank you great thank you uh is there anything else for the good of the order no seeing no hands raised and no motion I will entertain uh motion to adjourn so moved second all in favor say aye aye aye meeting adjourned