Posted on 03/12/2008 7:41:53 AM PDT by SmithL
While Vallejo's finances were plunging faster than a roller coaster at the Six Flags amusement park, the city's firefighters were going abalone diving, grilling tri-tip and drinking cocktails on the public's dime, records show.
Under their contract, the firefighters union has been allowed since 2003 to charge the city 600 hours a year - at a cost of more than $24,000 annually - for union activities that were approved by the union's chief. The junkets included an annual Seafood Extravaganza at the fairgrounds, a 10-kilometer run ending with a party at the amusement park and a dunk tank at the Waterfront Festival.
The Solano County grand jury blasted the fire union's unusual business-leave arrangement in a 2006 report, as did an Oakland attorney hired by the city in November. But firefighters say they used the time to raise money for Little League, Boys and Girls Clubs and other local charities.
"Was it true we had a cocktail every now and then? Absolutely. Were we out boozing and not coming back (to work) because we were hung over? Absolutely not," union President Kurt Henke said Tuesday. "It's no different than going to a business lunch or reception."
Dwindling tax revenue and ballooning public safety expenses have put Vallejo on the brink of becoming the largest city in California to declare bankruptcy. Officials there have until April 22 to devise a long-term plan to stave off financial ruin.
Public safety workers' salaries are being cut, two firehouses have been closed, 12 police officer positions are being eliminated, and city staff members will be laid off. In addition, funding to senior centers, libraries, museums and other amenities is being slashed to zero.
"I think city-funded union business leave needs to be abolished," City Councilwoman Stephanie Gomes said Tuesday. "It's an obvious violation of public trust..."
(Excerpt) Read more at sfgate.com ...
CASH FLOW AFFECTS MANAGEMENT MORE THAN MANAGEMENT AFFECTS CASHFLOW.
Sounds like the idiot City Attorney who negotiated the contract is the one who should be blamed.
"No, we were having cocktails in rapid succession and coming back to work still smashed from the previous nights festivities."
I don’t think the City Attorney should take all of the blame & more than likely it should be placed on their City Manager who should have been the head negotiator then the City Council for approving this contract...
I am the PW Director work for a small city (15,000) here in Washington, and base upon my experience in Union contracts, every thing I tried to get thrown out of the contracts or updated to reflect changes, was allowed to stay in by the CM. Of course he is gone now but the city has to deal with a dwindling pot of funds, most of which pays employee salaries and benfits. Bottom line is that non represented employees lost their COLA while the union employees (85%) still get theirs plus all their built in incentives..
All city contracts expire in December so it will be interesting negotiations since there is no more money and the city will have to go after these incentives...
OK, but this is tiny stuff. Where are the millions going? And if it's to pay people who no longer work for Vallejo any more, then some promises may have to be taken back.
No wonder the city is filing for bankruptcy.
I don’t know all the specs here, but here’s an example.
Millions went to rehabbing downtown projects, specifically The Empress Theater which has been a sucking money pit for decades.
Quote from a message board:
>I just read the City Manager’s report to City Council in mid-December in which he lays out the financial problem facing Vallejo. In that document he lists commitments the City of Vallejo has made to and through its Redevelopment Agency. For the record, these include the following -
$4,296,000 advance loaned to the Empress Investment Fund for theatre improvements to be paid out of Empress loan repayments and property taxe increments “when available.”
Essentially a line of credit to Triad Downtown Development project up to $3,393,000 of which $214,983 have been drawn down. This money is to be repaid from tax increment funds when available. This project also involves the City waiving $6.6 million dollars in development fees to be paid with future tax increment revenues.
An advance of $500,000 was made to the Marina Vista Project on behalf of the Meyer Cookware project, again to be paid from future tax increment revenues.
Together, these commitments of City funds totals $9,169,021, which is quite a piece of change.
All of these funds came from other City controlled funds and not the General Fund. However, without a more detailed analysis it is unclear whether those funds might now have been available for general government purposes had they not been advanced to the Redevelopment Ageny.
It is also important to note that repayment is predicated on continued receipt of tax increment property tax revenue produced by new development. When the report notes “when available” it suggests those revenues are not available from present Agency resources. Is repayment wishful thinking?
Downtown continues to be a quite remarkable drain on the City budget. This might be a subject for discussion when City finances are reviewed. Years of investment by the City has yet to pay significant dividends downtown. Is it a good investment?<
Poor money management and NIMBY syndrome that borders on self destructive seem to sum it all up in a nutshell. I believe lack of tax dollars and arrival of new businesses can be attributed to union influence which has this area, IMOHO, in a ruthless lockdown.
LNG Plant? NIMBY
WalMart? NIMBY
Shopping mall? Nah.
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