Mayor Waymon Jackson had requested that the council make changes in a services agreement between the city and the LEDC.
Jackson asked Shawn Kirkpatrick, LEDC executive director, why the city had to fund money for the LEDC.
Kirkpatrick said the organization is funded by sales tax receipts.
‘Who pays your salary? The city pays for all of your expenses,’ said the mayor. ‘You’re on a city retirement plan, a city insurance plan. They’ve got you classified as a city employee.’
Kirkpatrick said the LEDC reimburses the city ‘dollar for dollar.’
He said the city council has two obligations. One is to appoint board members to the LEDC; the other is to approve its budget each year.
City Manager Rick Osburn said the council may want to amend an agreement that a previous council approved in 2004.