Category Archives: Opinion

Opinion pieces and columns

De-Mystifying the Budget, May 18, 2011

Mark Your Calendar!

For:  A Community Meeting With City Treasurer, Kevin Kennedy and City Auditor, Kevin Kearney

Purpose:  De-Mystifying the Budget:  An Explanation of the Alameda City Budget – Where We Are Now and What We Need To Do To Gain and Protect Financial Sustainability

When:  Wednesday, May 18th, 2011

Time:  7:30 p.m. to 9:00 p.m.

Where:  Alameda Hospital Community Meeting Room

The economic issues facing Alameda affect everyone who lives or works in Alameda.  Our City Treasurer, Kevin Kennedy and Alameda City Auditor, Kevin Kearney will be explaining the budget and discussing their recommendations for what we need to do to gain financial sustainability and protect against bankruptcy.  This meeting is sponsored by the Alameda Citizen’s Task Force (ACT), a non-partisan group of Alamedans that advocate for open government and community participation.

All Alamedans are invited to attend.  There will be an opportunity for Questions and Discussion from the audience.  Refreshments will be served.

Please Forward This Announcement to Your Neighbors and Friends.  We can solve Alameda’s economic issues if we all understand the problems and work together.

Regarding Alameda’s Union Leaders

Mr. Henneberry, I am writing in response to your editorial on The Island and in the Alameda Journal.

Unions are more often than not a wonderful institution that serve their members well.

Right now, it would do union leaders like yourself some good to look out for the community they serve, even more than their membership for several reasons:

  1. If the city goes bankrupt, there will be nothing left for anyone- companies, unions, citizens, customers. A bankruptcy judge will decide. Insisting that your needs are more important than any others in the city does not engender sympathy to your cause.
  2. The average citizen does not enjoy a job perk that pays them a large percentage of their wages annually after retirement. The average citizen has to arrange for their own retirement costs. This does not engender sympathy to your cause.
  3. Your people are not being attacked. Your benefit policies are being questioned. By personalizing this and comparing our elected officials to the situation in Wisconsin, you’re inflaming rhetoric, and not working towards a solution. This does not engender sympathy to your cause.
  4. You seem to forget that the report was generated by City Staff- Fred Marsh and Lisa Goldman, at the direction of Marie Gilmore. The numbers were very plain and easy to understand, as are the causes of the projected deficits. Kevin Kennedy and Kevin Kearney were both invited to speak, also by Marie Gilmore, and they offered their professional interpretation of the data. To call their interpretation of the obvious “a Tea Party coming-out party” does not engender sympathy to your cause.

In short, Mr. Henneberry, you have your hand out, with many demands and strong reasoning in your mind, but in the bigger picture, are you just looking out for yourself and your unions to the detriment of Alameda? Or are you part of the solution to the City’s looming budget crisis and here to help every citizen of Alameda?

Regarding Alameda’s Budget Crisis

The City of Alameda is facing the most serious budget crisis in its history. The financial commitments to the firefighters’ union and other unions in the long-range budget currently before the council represent 70 to 80 percent of the total. If this future gross overspending is not resolved immediately, within three to four years, our city could go bankrupt say both the City Auditor Kevin Kearney and City Treasurer Kevin Kennedy.

We acknowledge the courage and valor of the firefighters who risk their lives to protect the Alameda public; they deserve reasonable wages for their valiant service. We recognize the costs for retirement benefits and health care are increasing. But past union agreements are unsustainable. Other public safety unions throughout the Bay Area like San Jose have stepped up in a mutual collaboration to constructively rework their contracts to help preserve the communities in which they work. If we continue with business as usual, how will we maintain the essential services such as infrastructure maintenance? How will we protect our quality of life that attracted us all to this community?

We, the undersigned, call on the council to deal with Alameda’s budget crisis immediately. Structural changes to city government may be needed. Union employees and other city staff may need to make larger contributions to their pension and health care plans. Switching administration of fire services from the city to county may save money by sharing dispatch and overhead costs.

The point is: alternatives exist. We need an open, active and fully-engaged public dialog in order to be able to identify the mix of near- and long-term solutions that are best for us.

Alameda belongs to all of her citizens, not just those at the helm of city government and their supporters. We are privileged to live in this great community. However, with privilege comes many responsibilities: be informed, share our ideas and preferences with our elected representatives so they can better represent us. The public cannot afford to turn a blind eye to our critical situation. The City Council cannot do their work in a vacuum: let your voices be heard in council chambers. Insist the council do the hard work necessary to craft a responsible budget that safeguards our city’s future.

Eugenie and John Thomson
Dr. Alice Challen
Denise Lai
Eric Cross, Banker
Horst Breuer, Past Econ. Dev. Com.
Bob Perata
Karin Lucas, Past CC
Dianne Coler Dark
Patricia and Paul Bail
Jean and Jim Sweeney
Jane and Jim Burgelin
Gretchen and Arthur Lipow
Jeannie Graham
Don and Miki Roberts
Dorothy Freeman
Dr. Carol Gottstein
Charles Howell
Robert Platt
Noel Folsom
Rita Nesel
Nancy Gordon
Darcy Morrison

City Fires Gallant

PRESS RELEASE

December 30, 2010
FOR IMMEDIATE RELEASE

Contact:
Lisa Goldman, Acting City Manager, 510-747-4700

New Mayor Marie L. Gilmore and the majority of the Alameda City Council opted for a fresh start Tuesday night, giving a “notice of non-renewal” to Interim City Manager Ann Marie Gallant and placing her on paid administrative leave. The move, in full accordance with Gallant’s interim contract, signals the Council’s desire to build an administrative team in Alameda that reflects the community’s desire for a permanent City Manager.

Mayor Gilmore and the City Council thanked Gallant for her service and for helping the City tackle its difficult financial issues. The City Council named Lisa Goldman Acting City Manager for the duration of the search process, which is expected to last several months.

Goldman has been with the City since February 2007 and is the former Intergovernmental Relations Manager for the City of Fremont. She has degrees from Harvard College and UC Berkeley’s Graduate School of Public Policy and is the right choice to direct City policy during this transition.

Gilmore and other leaders have promised to rebuild trust with the community. “Alameda must move forward,” noted Gilmore, “and that requires permanent staff and a total commitment to stability, transparency and resolving conflicts in good faith.” Gilmore pledged that the search process will set the tone for her administration. “It will be competitive and fair.”

The City Council majority hopes that all civic leaders and residents, regardless of their viewpoints, share this renewed commitment to open debate, civil discourse and public dialogue. “Alameda has a proud tradition and a bright future,” Mayor Gilmore said. “We need a team that views public service as an honor and respects the public’s right to participate in community affairs.”

For more information on the job posting or search process, visit the City of Alameda’s website, www.ci.alameda.ca.us.
# # # # #

So much about this is wrong.

Let’s start with the timing. “New Mayor” Gilmore and “new Vice-Mayor” Bonta have been on the job for a whole week now. They were installed after the nastiest election in our city’s history, filled with deceitful campaign tactics, incessant manipulation by SunCal (and its successor Argent) with waves of outrageous direct mail, robocalls, push polls, YouTube videos and cable TV ads.

The perception of Ann Marie Gallant as a polarizing figure in Alameda politics has mostly been generated as a result of two issues: investigating Lena Tam for BCC:ing emails against City interests, and advising the City that it was not in our best interests to pursue a relationship with SunCal. This was reinforced by many paid advertisements during the most recent political campaign, most notably this one:

SunCal mailer targeting Ann Marie Gallant

In this SunCal-sponsored mailer, she’s accused of “wasting tens of thousands of tax dollars on a personal vendetta” which was untrue; she was rightfully investigating Lena Tam’s violation of the Brown Act, whereby she BCC’ed City emails to SunCal and compromised the City’s negotiating position. Gallant is also said to be “the focus of a $100 million lawsuit” – lodged by SunCal.

Although having taken great pains to distance themselves from the bankrupt developer during the campaign, at the first opportunity, Gilmore, Tam and Bonta did exactly what their benefactors would have hoped: removed their greatest obstacle to Alameda Point. And they way they went about it, in the quiet of the Christmas holiday, with nobody around to notice or speak against them only adds the level of discomfort that their act has engendered.

The press release listed above was issued today, Thursday the 30th. But, as expected, the news was leaked almost immediately after the meeting Tuesday night, not by any official channel, but by CADC official John White, so instrumental in electing Gillmore, Tam and Bonta, who went running to crow on Twitter, Lauren Do’s blog and the SF Gate about it within minutes.

Interestingly, the message was as poorly received as the messenger. On sites where I would expect support and glee, there was suspicion and mistrust. On the SFGate, user KSmooth asked

Not sure what the real reasons are either, but I’m curious why the “Transparency Police” wasn’t all over this. This was done during the holidays when many people were out of town, including one of the city council members, and the way it was agendized, not many people knew who the agenda item was referring to. In fact, most people I talked to believed that the first city council meeting was not taking place until January, after the holidays.

I’m sure many people would have loved to speak out and show their support for the ICM before a decision about her contract was made.

This makes me believe that this whole “transparency” issue is a sham!

Simple Schmoe was more direct:

Why was Gallant put on admin leave until the end of her contract (i.e., fired without having to be officially fired)? The politics of compatibility. Gallants politics and ethics are incompatible with those of the new Mayor, Bonta, and most certainly, Tam… So, it’s not surprising they made Gallant’s ouster a priority; a bad decision and Alameda’s loss, IMO. Who will be next in their ‘purge’? Time will tell. The City is their’s to improve or screw up. That said, the ultimate responsibility for this Council rests with those who voted The Slate into office. I hope you made the right choice for Alameda.

On Patch, carol gottstein wondered:

It appears Gilmore-Bonta-Tam are indeed voting en bloc just like their opponents warned that they would! … city gov’t spending (e.g. this closed session decision) becomes more bizarre daily. I don’t know who the good guys are anymore.

And Jack B. asked on The Island:

John Knox White, I am curious… how did you get the story out so quickly last night? Was there an audience at City Hall waiting for the closed meeting to get out, or did they send out an announcement somehow?

That doesn’t sound like a resounding endorsement from our community, more like a “What? We weren’t expecting that?” Marie Gillmore was voted into office with only 36% of the vote, while SunCal was chased out of Alameda by over 85% of our residents. And she campaigned on a platform of excellent schools, and community unity, not immediately removing the ICM.

“Alameda must move forward,” noted Gilmore, “and that requires permanent staff and a total commitment to stability, transparency and resolving conflicts in good faith… We need a team that views public service as an honor and respects the public’s right to participate in community affairs.”

This statement could not be more true, and I am impressed that Marie understands this. However, with her first act as mayor, and her method of disseminating the information of her actions, it is clear that her administration so far has mastered anything but that.

We did have a good start underway, with a series of meetings soliciting community input for Alameda Point, let by ICM Gallant, but now I’m left to wonder what’s to come of the time and money invested in those meetings? New Mayor Marie Gilmore has already let the Golden Gate Yacht Club know she’s willing to provide facilities at the Point for use for America’s Cup, should they secure it.

But, as of now we have no reason as to why Gallant was let go from her job. Chances are we will never get an official reason other than our basic suspicions that the new powers-that-be are displeased by the ICM. None of her good work protecting us from becoming ensnared with SunCal and renovating our budget was enough to sway them, as it was me, despite my initial misgivings.

2011 will be an interesting year to watch the voting bloc of Gillmore, Tam and Bonta as they try to balance appeasing their benefactors and putting on a good show for the voters of Alameda, all while working out what office to run for next. As well as many important issues to resolve around the city, there are lots of positions to fill: Development Director, City Attorney, Fire Chief, and appointments to boards and commissions. I don’t think there will be many votes in City Council that won’t be 3-2, especially that for the next City Manager.

I hope we citizens will get a chance to “participate in community affairs” beyond commenting on blogs, or hearing about City decisions from anointed messengers who have the right inside connections.

Addendum:

I meant to include this sharp analysis from commenter BigAl at Blogging Bayport as to why the path to SunCal’s return has become even more worrisome:

The lawyer for Gray1 CPB, LLC, that creditor of SCC Acquisitions, Inc. and Bruce Elieff claims he has collected virtually nothing of the $10 Million judgment against them (including attorneys fees), because all of SCC’s and Elieff’s vaunted millions have been hidden. SCC and Elieff have now been sued for another $144 Million by a bankruptcy trustee. As a result, were they to show up in Alameda and claim to the new City Council that they are suddenly flush with cash to develop Alameda Point, word would ricochet down to the creditors down in Orange County that SCC and Elieff were claiming to have cash. That in turn would get them in major league hot water with the $10M unpaid creditor as well as the bankruptcy trustee who is suing them. The problem with being “too cute” about hiding cash in 150+ LLCs, like the judge in the Gray1 case ruled SCC and Elieff had done, is that when the cash reappears it disappears.Whether the current Council members are intelligent enough to see THROUGH Elieff and SCC’s re-emerging as an economically viable developer of Alameda Point will be interesting to watch.

Let’s hope that if there is a time all presentations by SCC and Elieff will have to be out in the open, in compliance with the Brown Act, and not in closed session. I was not thrilled with the City Attorney’s decision on that issue. If the Council insists on hearing an economic presentation from SunCal aka Argent aka SCC aka Elieff in closed session, the attorneys for the $10 Million creditor and the bankruptcy trustee will be able to drag the Council members and City staff into depositions to learn what b,s. the developer had peddled on its financial where-with-all.

Vote No on Measure A (Again)

The AUSD is spending $300k for a special election to try to pass another parcel tax, with a vote on March 8, 2011. In the latest in a series of pleas for help to maintain small class size, high teacher standards and general excellence, the citizens of the City of Alameda will be asked to support a 32¢/sq. ft per building per parcel tax, lasting eight years, with a $7,999 cap and an exemption for those on disability insurance and those 60 and over. Undeveloped parcels would pay $299. This will replace the existing parcel taxes from previous Measures A and H and is designed to raise over $12 million for the school district.

On all the pro-parcel tax websites, the usual dogma is being trotted out about how schools benefit everyone and that investing in schools is investing in our future, and for the best community, we must all pitch in and support our schools. What the proponents don’t seem to understand is that supporting schools, students and education while opposing Measure A are not mutually exclusive.

The flaw in this proposed legislation is this: if the schools benefit everyone equally, then everyone should contribute equally.

Admittedly this new parcel tax proposal is progress from last year’s divisive and and failed campaign for Measure E, which proposed that the smallest condo and largest mansion be taxed the same amount. A square foot per building per parcel tax shared equally by everyone is actually a good idea. But the new Measure A contains the same problem that brought the old Measure H to court, which is that it taxes different property owners at different rates.

Why is there a cap of $7,999 to appease the largest companies who can afford to contribute to the AUSD the most? By instituting this cap, the largest potential source of support for the schools is being kneecapped. Citizens and small businesses will end up paying 32¢ per sq/ft while big business pays only 1¢ per square foot, and that ain’t fair.

Exempting people who are living on disability insurance is absolutely reasonable. But why pick the age of 60 to start exempting seniors? Considering how much people contribute to society in their silver years, if this exemption is meant to be based on economic terms, i.e. people over 60 are on fixed incomes, why not actually make it an income-based exemption? That’s arbitrary, and that ain’t fair.

The allocation of funding this tax is supposed to raise is vague: “close the achievement gap” and “attracting and retaining excellent teachers” makes up 40-42% of the $12 million. How is that quantified? The threat of “Plan B” being instituted if this parcel tax is not passed should not be a reason to vote for flawed legislation. That’s a realignment that should have been handled properly when the Navy left. Having that held over our heads now is just blackmail, and that ain’t fair.

These are core flaws with this legislation that lead me to oppose it. Alameda should not support a parcel tax which benefits everybody without everyone contributing equally. 32 to 1 just ain’t fair.

Vote No on Measure A.