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Line begins to form for city's budget surplus
By Oakley Brooks
The engines are beginning to rev in what is likely to be a lively race for a piece of the city is projected budget surplus.
The end of the fiscal year is two and a half months away and next year's city budget has yet to be approved, but city leaders are already debating how best to spend Saratoga's projected $6.8 million surplus.
The discussion starts with what to call the excess funds.
Vice Mayor Nick Streit, the ex-finance commission chairman--who would like to temper the wide-eyed enthusiasm of citizens who have all but spent the money--calls it "excess reserves." Similarly inclined Councilman Evan Baker deems it "uncommitted reserves."
But Finance Commissioner Ching-Li Chang, who's part of group of teachers and parents that would like a large chunk of the money spent on teacher housing, sees it as "public funds." And the teacher-parent coalition is just one of the many parties that would like a piece of the surplus.
Streit says needed improvements in the day-to-day operations of the city will come first, such as performing legally mandated street maintenance. This type of regularly budgeted item will take precedence over "surplus" spending.
Streit and the city then have plans to begin a citywide capital improvement project. Saratoga has never undertaken such a building project and Streit says there's as much as $20 million worth of legitimate improvements needed in the city.
Public Works Director John Cherbone says the details of the project's list won't be final until the end of the summer.
But several groups are looking for improvements. The parks and recreation commission has an extensive list of potential building projects, including a $180,000 improvement to El Quito Park and a larger scheme in the works for the much-debated Azule Park
The youth commission would like to see the upstairs of the Warner Hutton House converted to a computer room. Smaller city projects such as new bus shelters at VTA stops around Saratoga might also be on the list of capital improvements.
And then there's regional projects like the Union Pacific Railroad trail, which--if agreed on by Saratoga and four area cities--will cost Saratoga $1.9 million.
"Everybody wants a piece of the pie," said Streit.
And some groups want money outside of the realm of capital improvements. The teacher-parent coalition would like $2 million set aside for low-interest, or no-interest, loans for Saratoga teacher housing.
"I think teacher housing needs to be a very high priority," said Finance Commissioner Chang.
Chang also says that if the debate over spending the projected surplus becomes too heated this summer and city council can't agree on how to allocate the money, it should consider refunding it to Saratoga citizens.
"The council might as well think the same way as George W. Bush," said Chang.
But current Finance Commission Chairman Chuck Swan says the potential refund would be small and he doesn't believe the idea is a credible alternative for spending the surplus. Swan adds that the projected surplus may be reduced by the sagging economy, which is leveling off home values and hurting retail sales.
"We might not see as much tax revenue from property and sales taxes," said Swan of the city's two major revenue bases. That's an added element in the continually evolving surplus plot.
In demonstrating just how much demand there will be on the surplus, Vice Mayor Streit last week pointed out to the frequently traffic-jammed intersection of Fruitvale and Allendale avenues.
"You've ever been here at nine in the morning? Some people want to add another cop just for this corner," said Streit. "It's gonna be really interesting this summer."
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Saratoga, California Since 1955
