The City of Redlands

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Permalink Reply by RedlandsWeb on May 15, 2010 at 4:03pm

Former Mayor Cunningham on Current City Budgeting and Taxes

First it was a “Blue Ribbon Committee” to look for new taxes – sales, transient occupancy, warehouse. They settled on warehouses – they don’t vote. Not enough! Next, it was steal Crafton water from the water department and sell it back to the department for $3 million – only stopped by the threat of litigation. Then it was to steal $3 million or more a year in water and sewer funds with a sham joint powers authority – again stopped for illegality. Next, it was a fifty percent increase in water and sewer rates for desperately needed repairs – then an immediate move to ignore those “urgently needed repairs” and transfer the increases to other uses – stopped again by threat of litigation. Now they’ve got a 25-percent increase in solid waste rates on their agenda, and if enough ratepayers don’t protest (in writing by April 20), that money will end up somewhere.

Never one to give up, they have now spent more than $19,000 on “consultants” to find out if w will sit still while they take about $4.5 million out of our pockets with a sales tax increase.

If Redlands were a fiscally well-managed city, one could understand why they need the additional tax money, but it isn’t. Redlands, on a per capita basis (the only accepted accurate measure), spends more than any other of the ten valley cities on its general fund, police and fire – more, in fact, on fire than New York City. Just one example, Upland’s budget this year is $15 million less than ours - $40,309,740 v. $55,777,667. Upland is similar in number of households, demographics and contains several thousand more people. What’s the source of the great difference? – personnel costs, especially “benefits.”

The city’s auditor noted that although we spend a large amount on retiree health benefits, we are falling behind by more than $3 million a year on our promised $50 million obligation. In other words, we’re digging deeper every year. In the fire department, pension costs amount to about 50 percent of full time salaries. Example: a recent fire department retiree collects $164,684.40 per year ($13,763.70/month)/ Although he was working full time the day before, he was retired as fully disabled, which shields one-half of his retirement from taxes, giving him a net approaching $200,000. In addition, he receives full medical, dental and vision coverage for life for him and his dependents. And, by the way, he paid nothing into the retirement fund while working. We taxpayers paid his share.

How did we get in this fix? Council members are put in office beholden to the employee unions, especially fire, which puts thousands into campaigns and spends effort going door to door. Without their endorsement, money and campaigning a candidate has little chance. Should we be surprised, then, that in spite of its draconian cuts in the library, recreation and senior centers, the council found money for a raise for the fifty some odd members of the fire union this year? An obligation significantly greater when the increased pension costs are added on.
Those that pay the piper are hurting, a number desperate. Private employment has gone south. Wages pensions, incomes have eroded. Homes are being lost. The schools have cut programs, laid off teachers and other personnel, transportation for high school is a thing of the past. If any public agency deserves more of our support it is the schools.

I agree with council members Bean and Gallagher in their criticism of the solid waste increase. It is disproportionate and suspected diversion. And, though I be a lone voice, I will oppose any tax or rate increase until the city makes citizen services its highest priority and begins to put its fiscal house in order.

Bill Cunningham

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