The Resident
News
Mayor's budget adds cops,aids neighborhood services
By Stephen Baxter
San Jose Mayor Chuck Reed's proposed city budget adds 15 police officers and pledges more money for the city's parks, pools, community centers and libraries. To sustain residents' needs, the mayor's budget message also aims to draw more businesses to San Jose and close the city's projected $137 million five-year structural budget deficit.
Council members generally appeared pleased with Reed's budget in a March 13 study session at city hall, and more input will be taken in neighborhood meetings in March and April. In May, the council will have a public hearing on the budget and the council is required to pass a budget by the end of June.
City manager Debra Figone said on March 13 that she recognized the budget message could not be "all things to all people," but it is the first step in a multiyear effort to right the city's finances.
"To deliver quality services to the community, we must address our deficit," Figone said.
If the city does nothing in the next five years, the city's spending will continue to outpace revenues and city leaders likely would continue making service cuts to balance its budget. Instead, Reed has proposed raising tax revenue by courting new businesses, reducing some services and saving money with administrative efficiencies and new technologies.
Reed has conducted more public meetings about the budget than previous mayors, and some residents are questioning some spending priorities.
Tom Sawyer, a member of the Shasta Hanchett Park Neighborhood Association, indicated that city leaders ought to rethink the treatment of sports facilities. He said that money to replace nets at the city's golf driving ranges could be spent elsewhere.
"Maybe it's time to look at less golf courses and more soccer fields," said Sawyer, who plays golf.
Ed Rast, a Willow Glen neighborhood activist, said he hoped the city could raise more money by welcoming smaller versions of stores such as Fresh & Easy and Beverages & More. Too many city residents are shopping in surrounding cities and sapping San Jose's sales tax revenue, Rast said.
Councilmembers Nancy Pyle and Pete Constant agreed that the city should draw new businesses, and Constant added that city leaders should clear hurdles for new car dealers on Stevens Creek Boulevard. Car sales generate "big chunks" of sales taxes, he said.
One of Reed's priorities is to regain the city's ranking as the nation's safest big city.
Apparently heeding Councilwoman Nora Campos' request to add more police officers, Reed's budget message said some of the 15 new officers should work in traffic calming and gang prevention. Reed's message indicated that more civilians should work in police administrative positions because they are paid less than sworn officers.
As he promised in earlier budget talks, Reed's message was short on big proposals because his budget focused on solving long-term problems.
However, it contained some key recommendations:
Forming an Energy Improvement District that would potentially connect business using solar energy and relieve portions of the city from the electrical grid. Reed's budget message directs the city manager's office to explore creating zones downtown, in North San Jose and at Mineta San Jose International Airport that would manage and control their own power and use the grid as a backup.
Councilman Sam Liccardo and others indicated early support for the idea.
Better city monitoring of "encumbrance balances," which are essentially city contracts that have money left over when a project is completed. There has been roughly $6 million left in balances annually from orders of office supplies to construction projects, and better oversight of that money by the city's Department of Finance could fund other services.
Prepaying annual employer retirement contributions. Rather than having the city pay its contributions to retirement-fund institutions every two weeks, the city could invest its full annual retirement contribution at the beginning of the year and reap better returns.
Directing $1 million to a Neighborhood Improvement Reserve Fund, which the city council could allocate in pieces.
Starting a city employee suggestion program with cash rewards for new ways to save the city money.
Some city employees at the March 13 meeting disagreed with proposed reductions in their salaries and benefits.
The budget message proposed "expenditure controls" such as reducing workers' compensation, disability and overtime costs, and Reed also has discussed reducing scheduled pay raises and modifying health care plans.
City employee Bernadette Cava told the council that the city must continue to attract bright people.
"The reason the city runs at all is because of the high quality of its employees," she said.
