Conroe is facing backlash after allocating $300,000 to provide pay raises to three senior employees despite continuing financial struggles for the city.
Council approved a staff restructuring that consolidated duties for several positions and included pay increases for City Administrator Gary Scott, newly named Deputy City Administrator Nancy Mikeska, and Assistant City Administrator and Director of Public Works Norman McGuire.
According to information from the city, Scott's pay was increased to $365,000 by council. Mikeska's pay was increased to $330,000 and McGuire to $300,000 by Scott. Both Scott and Mikeska are licensed attorneys.
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Councilwoman Marsha Porter said the salaries are comparable with other cities based on size and growth.
"We are unique because we have two lawyers in our top two positions," Porter said. "They have more than 58 years of municipal experience between them. Our administration handles many legal issues before they go to litigation thus, saving hundreds of thousands of taxpayer dollars."
According to website govsalaries.com, Pearland City Manager Trent Epperson's salary for 2023 was $312,000, Sugarland City Manager Mikael Goodrum's salary $362,209, Waco City Manager Bradley Ford was paid $360,675 and Abilene City Manager Robert Hanna's salary was $390,942.
Scott, who has been with the city since 2001, said he set the salaries for Mikeska and McGuire with council's support.
"From the bottom of my heart, the decisions were made understanding the work that is and will be involved in saving our city from the situation that former management placed us in," Scott said. "I am honored to have Nancy Mikeska and Norman McGuire by my side in right sizing this city and building it to be strong and resilient as it moves into the next chapter of growth."
Mikeska said she did not ask for a pay raise.
"I love my job and the city of Conroe," Mikeska said. "I am grateful and humbled that Gary Scott and some of this courageous council see the value that I bring to the city. I am proud that after 120 years in Conroe's history a woman is finally paid her worth. I pray the rough path that I have traveled is easier for women who come after me."
Councilman Howard Wood said he was proud of the work of Scott, Mikeska and McGuire.
"You guys, along with us, have really taken a beating over the last several weeks over these pay increases," Wood said. "You guys are some of the hardest workers I have ever seen. We no doubt have some tough challenges."
While Wood supported raises, he said giving Mikeska and McGuire them incrementally instead at once would have been a better move for the city.
"This large of a raise in one swath was way too much," Wood said.
This is the second reorganization for the city in the last two years.
In February 2023, council approved a staff reorganization which city officials said saved almost $200,000 in payroll expenses following the termination of former City Administrator Paul Virgadamo and the resignation of former Chief Financial Officer Steve Williams after the recent termination.
Earlier this year, the city also accepted the retirement of Director of Capital Improvements and Transportation Tommy Woolley, Police Chief Jeff Christy, Fire Chief Ken Kreger, Parks Director Mike Riggens and the resignation of Danielle Schneider, executive director of the Conroe Economic Development Council.
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Scott said the former council and city management left the city financially strapped and lagging in projects to address water issues.
"We are right-sizing our city," Scott said. "The past leadership had many failures and missteps that we are faced with tackling including the day-to-day operations of approximately $354 million municipal corporation."
Among those issues facing the city are the reorganization and management of the Conroe Animal Shelter, the $133 million taxpayer-owned Hyatt Regency Conroe Hotel and Convention Center, water capacity issues and deficiencies in the construction of the new $35 million Oscar Johnson Community Center.
"The city of Conroe is moving forward," Scott said. "God has its hands on our wonderful city. The city of Conroe is blessed to have a strong, focused leadership team. And it is truly an exciting time to take a pivotal role in moving Conroe forward."