The Lake Worth city commission finally and at last, repealed the two previous resolutions from 2011 that allowed them to enact a fire and street light assessment. It was a long time coming considering the "visionaries" did not want any part of this tax from the get go. Most of the public was in agreement. The vote was 3/2 with McVoy and Mulvehill dissenting. It was never about the amount of the assessment; it was always the principle behind the tax--once implemented, it would never go away and it was an easy way for the City not to do everything within its power to live within a "normal" budget. At least that was my thinking.
The Commission had directed Staff back in December to contact the Palm Beach County Tax Collector and Palm Beach County Property Appraiser to determine if they would agree to a March 10, 2012 notification date as allowed by State Statute.
At the December 20, 2011, Commission meeting, the OMB Manager, Ed Fry, informed the Commission that the Tax Collector and Property Appraiser had agreed to the March 10, 2012 notification date. Based on that agreement, the Commission continued the public hearing on the uniform method for the levy, collection, and enforcement of non-ad valorem assessments for fire services to a date certain that fell on February 21, 2012.
The fact remains that if the economy continues along the the same lines, by 2016 our budget deficit is projected at $7 million as told to us last December by the Office of Budget & Management. Commissioner Mulvehill mentioned that again on Tuesday night. That is the main reason why McVoy and Mulvehill are in support of this assessment. They are preparing the City for the worst case scenario to keep us out of harms way. That is what you call "responsible" government.
The City has promised to pay approximately $67 million in future benefits to past and current employees yet does not currently have that amount in its various pension funds with no means to get the revenue. We did have a presentation from the Firefighter's Rep at Tuesday's meeting who said that their fund portfolio had gone up 7% or $1.8 million this past quarter and that is encouraging.
Vice Mayor Scott Maxwell said he did not disagree with the concept of a fire assessment, but said the one approved in October was created by "demonizing" the firefighter pension cost while creating new city positions and increasing spending. "It was not fair," Maxwell said. What is fair? The word "demonizing" is one of Maxwell's favorites to describe his opponent's different view or things he doesn't like. It's right in your face just like he is.
His point is well taken, to a degree. We do need to watch our budget closely and cut where possible. New hires should be delayed. The Sustainability Director, however, was only a cost in the operating budget of around $10 thousand a year and a needed position because of our exiting FMPA to ensure the best price possible when the time comes to exit the ARP. We can't stop city services. Pot holes must be fixed. The city needs to operate and it needs money.
What can be done about Union pensions that we no longer can afford and are expected to escalate to sums unimaginable? Perhaps the Vice Mayor can speak to that as he can cut everything imaginable in our Budget right now and we still can't afford the Union pensions. Property values are expected to fall again this year which will mean less revenue to Lake Worth.
This political hot potato just won't go away. You just can't continue to throw kisses at the unions. Every time this new commission trio has an opportunity to outsource and reduce the union problem and get rid of union labor, (outsourcing of Utility Customer Service that would have saved us 1/2 million dollars the first year through their management as well as to outsource some Grounds Keepers) they have played politics by supporting the unions.
Maxwell wants to be fiscally conservative but on the other he has said to the Unions--no problem--you get to keep your members at customer service and Lake Worth will foot the ever growing bill. Even Mayor Triolo blamed the Utility Director for the problem at the Utility Customer Service and boasted that she saved employees their jobs. No she did not as those employees were to be hired with Data Management. What she did was to save union jobs. That will be a whole new article.
In our particular case as well as most cities across the country, the Unions are fiscally choking the life out of municipalities right and left and Scott Maxwell knows that. This "Visionary" Commission needs to address this head on and admit who the demons really are. It is not their fellow commissioners.
With the Special Assessment Revenues taken out of the Budget, I don't understand how the off setting Budget cuts result in an increased future deficit.
ReplyDeleteShouldn't we squeeze every dollar of unnecessary expenditures out of the Budget before we start with Special Assessments?
Maxwell did not disagree with the concept of a fire tax? That is exactly what Rachel Waterman said and she got crucified even though she vote against it.
ReplyDeleteWe are legally responsible for paying
ReplyDeletethese pensions.Lynn,where do you suggest the money comes from?Our last city manager laid off over 70 employees and wanted to out source customer service.I was in the chamber
when the commissioners warned those employees they had 6 months to straighten up or out sourcing would be re-visited.I don't believe any commissioner is protecting the unions.
True--you are legally responsible to pay those pensions.
ReplyDelete1. Our last city manager did NOT lay off 70 people. There were 70 positions unfunded. The lay-off, at the time of the budget meetings was 39 positions. I have it in my notes on the Budget. Perhaps it changed a little. The 70 figure is inaccurate. Check with Steve Carr. Stanton had to reduce costs every where that she could.
If we outsourced some of these jobs, we could unburden ourselves with rising retirements benefits here.
Those employees in customer service have been given every chance under the sun to improve. They haven't. We have had customer service managers galore who could not instill any feeling of pride in these people and do just the basics if that and if we're lucky. This has been going on for years. I do not blame Rebecca Mattey. She came up with a solution that the commission did not trust to be true or they were placating the unions--take your pick. And the Unions protected them to be mediocre.
So, outsourcing failed once again with the reason that "we are saving jobs." The jobs would still be there--just different circumstances and perhaps advantageous to LW.
I want the dog in the photo
ReplyDelete