Archive for June, 2008

City Budget Audit Petition

Chadwick posts a petition demanding “accurate and more transparent accounting of public funds by the City of DeKalb.” It reads:

To: Mayor Frank Van Buer; Aldermen Bertrand Simpson, Kris Povlsen, Vic Wogen, Donna Gorski, Ron Naylor, Dave Baker and Brent Keller

Whereas: we the undersigned citizens and taxpayers of the City of DeKalb are concerned with the lack of transparency and integrity of financial accounting as demonstrated by the transfer of an $800,000 deficit and then the sudden appearance of a $485,000 surplus in the FY09 budget. We demand transparent accounting of public funds, public borrowing and public contracts with private ventures. There should be no lingering doubt of any improprieties.

Now therefore: we hereby call for an Independent Certified Financial Audit of ALL City of DeKalb financial records and accounts for FY06, FY07 and FY08 and demand that the unedited comments and recommendations from the auditors to the Mayor and City Council be made public immediately.

Download a copy of the petition at Big DeKalb. Deadline for signatures is June 21.

In reading the first of two ordinances critical to the proposed Rental Inspection program, I see nothing in the proposed “Chronic Nuisance Property Abatement” ordinance (start on p. 10) that limits it to rental properties. No property owner would be safe from being called a chronic nuisance and summoned to a legal proceeding at City Hall where a fine of $1,000 per deemed nuisance day up to $50,000 could be imposed and a lien put upon said property. Everyone, not just tenants and landlords (and anybody at all on John Street) should be fighting this. Visit the Tenants, Landowners, Community Rights Group, which is also on our “Mailing Lists and Groups” collection of links.

Here is a bonus thought. If we really need to put another layer of code enforcement on the books why not get to the bottom of the reasons why the ordinances we currently have aren’t working right. What with all the stories one hears about lack of enforcement or differential/preferential enforcement, I believe we need to identify and correct our weaknesses in this area in a very systematic way. City Council should start by calling public hearings on code enforcement and invite all parties affected by it to testify to their experiences.

The Revoke Home Rule movement began earlier, but I am finding as I talk to well-informed neighbors that there is nearly if not just as much support for a referendum on abandoning the Council-Manager form of city government. Some believe the manager position should be abolished to make it clearer where the buck stops, but others think it could be a temporary measure for the sake of cleaning our municipal house.

Barb City Tea Company

The Barb City Tea Company has been on the CityBarbs blogroll for a bit, but I want to alert you that its website is now able to accept donations online.

The Tea Co. is the committee pursuing a referendum question asking if residents of DeKalb want to retain Home Rule status. It meets faithfully each Tuesday 12-2 p.m. at 248 Palmer Court. They have a nice new sign over the door so it’s easy to spot if you haven’t been there yet. Bring your lunch if you like.

[Post updated 12:45 p.m., mostly because I said something silly and wanted to take it out.]

Council Watch, 6/10/08

About that $485,000 rabbit. Refuse Fund info can be found both in the Comprehensive Annual Financial Report (CAFR) and on the proposed budget pages plain as day. However, before it was revealed just what the plans for it were, there was really no way of knowing what it meant. Nobody found line-items for the truck and trommel, I suppose because they were still saving for them, so if you are looking at that fund for only one budget year you would naturally assume that the fund was allocated throughout Public Works. You really have to look at several years’ worth of budgets and/or CAFRs to see that they were building up the Refuse Fund.

So what’s missing is the mechanism for calling attention to such a “savings plan.” We thought such a mechanism would be called “city manager” or “assistant city manager” but since the mechanism failed to pull the rabbit out onto the table at the first peep of fiscal crisis, we know this is not sufficient.

To be very clear on this: I consider this a major failure and, if conscientiously hidden, malfeasance. That is not the same as illegal. There are a heck of a lot of things that aren’t illegal but still demonstrate incompetence and/or violate the public trust. Question: When does somebody get fired? Read the rest of this entry

Council Watch, 6/9/08

A last-minute change to the regular City Council Meeting agenda, prompted by the city manager, put the waste-collection fee ordinance ahead of considerations for utility tax, rate and fee hikes. At that point, Public Works Director Rick Monas pulled a rabbit out of his hat. Turns out the Refuse Fund has about $485,000 that they’ve been saving up for a couple pieces of equipment but don’t need them after all, so City Council could decide to put the windfall where needed elsewhere.

I found the Refuse Fund in the Comprehensive Annual Financial Reports (CAFRs, pronounced Kay-fers). In the CAFR for end of FY 2007 (June 30), the “rabbit” was $373,083. That would have been nice to know 6 months ago, when it was probably about $400,000, instead of their yelling “Budget Crisis–layoffs–layoffs–layoffs!” I mean, doesn’t it make you wonder how many more “rabbits” are in there? Read the rest of this entry

How we love Greg LeRoy here at CityBarbs! I’ve been working on this publication, yes, even before the Sunday comics. It’s called No More Secret Candy Store: A Grassroots Guide to Investigating Development Subsidies.

Here’s a piece.

But the greatest research value of the meeting will probably be in the drama: the power dynamics among the board members and staff [Ain't that the truth!]. After the meeting, go for coffee and debrief, asking yourselves:

· Did the board members really debate the deal in the meeting, or had everything been “greased” ahead of time?
· Was this meeting accessible – in terms of time and place – to the people who will be affected by it the most?
· Who seemed to have control of the information? Staff? Only the chair?
· Who talked the most? The least?
· Who was absent?
· Did anyone even pretend to disagree on anything? [Wow, so he has visited DeKalb.]
· Who else was there besides board and staff? Developers and lawyers? [More than once.]
· Was there any evidence that the board is really encouraging public participation in its deliberations? Or discouraging it? How?
· How did the board members react to your presence? [Well, I sometimes get the poker face, the fish eye or the utterly amusing attempted stare down, though never ever by His Honor nor most of Council.] How many other members of the public were there?

TIF stuff starts on page 76 on your .pdf counter.
Hat tip and air kisses to the Internet Research Commandos.

Mac has made the Financial Advisory Committee’s recommendations available at his site. Spoiler alert! This post contains the money quote (heh), from FAC member Tom Teresinski.

Tom Teresinski
Overview – A Perspective

I. Spending – Per City Report: (000)

General Fund – Spending (1998): $14,535.8;
(2009) $28,167.0
% Growth: 93.8
Avg % Increase 0ver 11 yrs: 8.5%
Avg % CPI – estimated: 3.0%
Avg Rate of Increase Above CPI: 5.5%

II. Comments:

Given that the City has historically spent more than 2 times the rate of inflation over the last 11 yrs indicates that we have a spending problem. Since these costs are 85% personnel this will be a major component of the review required.

Even if this has made you speechless, surely you’ll be recovered by next week. See you in Council Chambers Monday at 7 p.m. for the public hearing on the FY2009 budget.

Asks Ivan, our go-to guy on the citizens’ committee charged with figuring out how we get a new city police station:

The more I think about the police station, the more I believe that a implementing a vehicle sticker program within the City of DeKalb is the way to go. Somehow we must get our police the most important tool they need in order to keep our families safe and to serve our community in the many ways they do today.

I would be interested to see this actually become its own topic and have our bloggers, old and new, suggest other ideas if they do not favor this one. I do fully realize the burden that we have today to finance our local, state, and federal governments but I’ve tried to think of ways that we could postpone the building of this station. I cannot. I sat in the lobby the other while paying several water bills and just watched the traffic in and out of the police station itself. The variety of people in and out, going to court and other offices, and the detectives walking back and forth through the main City Hall lobby from their offices to the station.

I just cannot imagine how they continue to do the quality work that they do day in and day out. So, I am asking you to help with ideas as to where we do not necessarily fund based on real estate but on vehicles that use our roads. Our next meeting is June 11, 2008 and it would be nice to have a feeling on what is acceptable or not.

OK, there you go.

Ivan, please give us a time and place on that meeting, in case some of us can fit it in. [Update: the meeting is Wednesday at 6 p.m. in Council chambers. If the Assistant City Manager is present, the committee will talk financing.]

As of this writing, the agenda for the June 9 Council meeting is not yet posted online, so must depend on Chronicle coverage:

In March, the sales tax was raised and a motor fuel tax was established to address the city’s budget shortfall. An audit projected that the city’s general fund would have a $500,000 shortfall by June 30, the end of the city’s 2008 Fiscal Year.

The natural gas, electricity and hotel-motel tax increases scheduled for discussion Monday are included in the city’s 2009 proposed budget to generate funds for the next fiscal year, Assistant City Manager Rudy Espiritu said during a news conference Thursday. These revenues are also part of the city’s five-year financial plan.

The water and waste rate increases are to cover rising costs of services, Espiritu said. Some increases could go into effect as early as July if approved.

That’s not entirely correct, Mr. Espiritu. Take the water rate increase. If the city would stop siphoning off a half-mil-plus from the Water Division into the General Fund, Water would be paying for itself quite nicely. You, with Council’s complicity (Council has to approve these transfers) need that money to cover the nice raises you are giving yourselves, as well as that $800,000 insurance shortfall carried over from last year.

Raises in a budget crisis via tax hikes that we can’t afford. Hunh. My neighborhood is having its yard sales this weekend but we are not selling our torches and pitchforks.

p.s. Notice that nobody’s really talking about the city’s property tax levy? I bet they hike that next and I bet, when it comes, we’ll be scraping our jaws off the floor.