LA WATCHDOG - 77% of the respondents to the Mayor’s Budget Survey said it is “completely acceptable” to “reduce funding and support for elected officials’ offices.” And an additional 18% said it is “somewhat acceptable.”
So when 95% of the survey participants vote against our fiscally irresponsible and ethically challenged Elected Elite and their bloated staffs, it is not surprising that 60% of the participating citizens do not support increases in parcel taxes to “maintain and enhance” fire and paramedic services and recreational and park services.
And about 50% are not in favor of user taxes related to the Documentary Transfer Tax, the Parking Occupancy Tax, and the Transient Occupancy Tax.
And given that a two-thirds vote required to increase taxes (and fees) is highly unlikely, the City once again must reduce its spending levels in order to close the next year’s projected budget gap of $220 million.
However, according to the City’s June 8 projections, the $227 million INCREASE in personnel costs (salary, benefits, pensions, and workers compensation) is the driving force behind this projected shortfall. And over the next four years, increased personnel costs of $740 million are responsible for over 80% of the $911 million cumulative deficit.
So when the City’s Elected Elite talk about a 5% reduction in expenditures, it is not an absolute reduction in spending, but rather a decrease in the growth of the budget busting increases associated with the collective bargaining agreements that were approved by the conflict of interest ridden Executive Employee Relations Committee (the “EERC”) headed by Mayor Villaraigosa and former City Council President Eric Garcetti.
As for service reductions, an average of over 70% of the survey participants stated that reductions in emergency ambulance services, fire prevention and suppression services, and police deployment are “not acceptable,” while about 50% believe that reductions in gang reduction and youth development services and pothole repair and street repaving services are “not acceptable.”
Of course, parking enforcement and traffic control (despite the fact that parking fines are expected to exceed $140 million) and general administration and support are fair game for service reductions.
While survey participants rate police and fire services as their two top priorities … together they appear to be the top priority of a majority of the respondents … livable neighborhoods, improved infrastructure, fiscal sustainability and economic development are priorities favored by many Angelenos over the police and fire departments.
As for initiatives to contain the ever escalating work force costs, about 65% of the respondents support initiatives for pension reform, freezing employee salaries, and increasing employee health care contributions, while “only” 41% were supporting a 5% reduction in the salaries of City employees.
Ironically, layoffs, the only alternative that does NOT require negotiations with the City’s unions, are supported by “only” 35% of the survey participants.
But layoffs have been the last resort for the reduction in City staffing. Over the past several years, the City has eliminated about 5,000 positions. Yet there have been less than 500 layoffs.
There is wide spread support for Public Private Partnerships (P3) as over 75% of the participants were favorably disposed to outside operators of the municipal golf system, the Convention Center, animal shelters, and the LA Zoo.
And 64% support a P3 for the City’s parking structures and lots. As it is, the City is currently analyzing the responses to a Request for Proposals to operate these parking facilities on a fee for service basis.
There are other services that must be considered for Public Private Partnerships: the maintenance and repair of our parks, streets, sidewalks, street lights, vehicles, and computer systems and software. And P3’s might also be worthwhile for the operation of our sewer and trash collection systems, even though they are not a General Fund expense.
And over 70% of the citizens participating in the Mayor’s Budget Survey support the implementation of Multi-Year Budgets where the City’s multi-year financial plan would be updated annually and adopted by the Mayor and City Council. They also support Performance Based Budgeting.
While there are valuable insights to be gained from the Mayor’s Budget Survey, the City’s focus will be on “balancing” the upcoming budget, and as such, the Mayor and his financial wizards will manipulate the data to support short term solutions.
Already, the Chief Administrative Officer, based on the instructions from the super secretive EERC which is relying on the priorities given to the police and fire departments, has called for the reopening of contract talks with the civilian workers with the intent of eliminating or deferring $105 million of compensation INCREASES over the next two years.
While this request to the civilian workers will no doubt cause considerable labor unrest, especially since it is an election year, our Elected Elite and their political cronies have once again demonstrated that they are unwilling to develop a comprehensive solution that addresses the $911 million cumulative deficit over the next four years, its Enron like accounting policies, our deteriorating infrastructure, and the $10 billion unfunded pension liability.
That is why the City needs a “Live Within Its Means” charter amendment to enforce a level of financial discipline that is necessary to preserve the very solvency of OUR City.
(Jack Humphreville writes LA Watchdog for CityWatch He is the President of the DWP Advocacy Committee and the Ratepayer Advocate for the Greater Wilshire Neighborhood Council. Humphreville is the publisher of the Recycler -- www.recycler.com. He can be reached at: [email protected]) –cw
Tags: Jack Humphreville, LA Watchdog, city budget, City Hall, Mayor’s Budget Survey
CityWatch
Vol 10 Issue 21
Pub: Mar 13, 2012
