Glen Cove Council Members questioned an agreement between the city and the Community Development Agency at its meeting on Tuesday, Jan. 29.
Council Member Marsha Silverman questioned a reimbursement of $5,000 of reimbursement to the agency to pay for the agency employees’ salaries.
“I want to understand how this got approved because I don’t recall that the city—we, the city council members–voted on transferring money to the CDA,” Silverman said.
Mayor Pamela Panzenbeck said the funds are due to an employee raise within the agency.
The development agency completed programs for the “rehabilitation and revitalization of both residential and commercial sectors” in Glen Cove, according to the city’s website.
Panzenbeck said the city council does not vote on the agency’s salary changes because its employees are not city employees. She said the agency’s employees are hired directly by the organization.
Silverman said she has not seen a raise like this one since she joined the city council.
“I have never seen something like this in eight years being on this board,” Silverman said.
Council Member Fugazy Scagliola said the agreement “feels funny.” She said for city employees, the council must vote on salary increases, even if it is an additional dollar per hour.
Michael Piccirillo, the city comptroller, said the city reimburses the agency’s spending by a percentage. He said the money does not directly go towards employee salaries, as the city is “allocating the dollar amount.”
Piccirillo said the agreement was already in place and was previously voted on by the board.
Council members said the agreement’s language should be looked at in the future.
“I agree with you to the extent that it’s an agreement that may need to be looked at in the future,” Maccarone said.
Scagliola said the city is typically notified when an organization raises its rates.
“It should be like they’re giving us an increase that we have to look at and make a determination,” she said.
Silverman said the council should revisit the matter because the city should not spend taxpayer dollars on non-city employees.
The warrant for the agency’s reimbursement was passed by the council with six votes. Silverman abstained from the vote.
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