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Council to focus on EDC, lawsuit Tuesday

November 7, 2011

Big Spring City Council will meet Tuesday to discuss a number of items, including first reading of a resolution involving the Big Spring Economic Development Corporation and first reading of a resolution to pay back wages and damages to current and former city employees, part of a lawsuit concerning errors in overtime calculations.
Among the items set for Tuesday's meeting is a resolution amending the way the city reviews and approves projects and fiscal expenditures from the Big Spring EDC.
The amendment — which includes two sections — calls for the EDC's board of directors to meet with the city council in quarterly executive sessions during the council's first monthly meetings in July, October, January and April.
Section 2 calls for the city council to approve “all programs and expenditures of the Big Spring EDC, other than routine administrative expenditures provided for in its annual budget, prior to any funds being expended.

Also Tuesday, the council is to consider first reading of a resolution to pay back wages and damages to current and former city employees, part of a lawsuit concerning errors in overtime calculations.
According to municipal records, city officials became aware in late 2010 that the method used to calculate its regular rate for overtime was possibly incorrect, which soon spawned a lawsuit.
Municipal records indicate the lawsuit culminated in a mediated settlement between the parties whereby the “city agreed to pay to each plaintiff the greater of two different methods of calculating the back pay owed for back wages for specific periods of time in consideration for a release of any claims to back wages.
“Since discovery of the errors it has always been the intention of the city to reimburse its current and former employees for any back pay amounts it can legally pay under the Constitution and laws of the state, and the city council finds it to be fair and equitable to offer the same terms of payment for back wages owed to current and former employees that were affected by the errors during the relevant periods but that were not parties to the FLSA Lawsuit as it agreed to pay to the plaintiffs in the mediated settlement.”

Tuesday's meeting is to begin at 5:30 p.m. in the City Council Chambers, located at 307 E. Fourth St. For more information, call 264-2401.

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