One of the most frequent questions I get asked is regarding the budget in Sacramento and what is going to happen. While crystal balls are in short supply the following is pretty clear:

  • Republican lawmakers are under extreme pressure to hold their position regarding revenue increases. In other words - vote for revenue only if you’re ready to face a recall
  • Democrats are under extreme pressure to stop cutting programs in health care, safety and education, etc.

I’m certain everyone remembers the old saying of “there is no such thing as a free lunch.” Citizens have enjoyed a number of tasty meals in the forms of:

  • mandates on various spending
  • additional regulation
  • better safety

Keep in mind, many of these mandates and regulations are terrific and important. They just aren’t free, and the bill is due.

While it is easy to point at careless spending as the issue, there needs to be thought put to the notion of all of us in the public demanding more services than we are willing to pay for. Our ballot-box budget system has consequences.

The simple accounting tricks and fervent prayers of “better times” stand in stark contrast to the revenues and reality of economics.

So what is going to happen? I expect some sort of emergency spending authorization will have to be provided - but the odds of a budget deal are extremely low. As voters we took care of that on May 19.

During the council meeting on Monday I questioned the County EMS system for using local fire departments as “first responder.” At issue is this:

  • you dial 911 requesting help
  • a fire truck with firefighters come to your location in less than 7 minutes
  • an ambulance comes with EMTs to provide transport in less than 9 minutes.

There are many ways first responder service can be provided to the public, and different jurisdictions do things differently. Since our fire department is the single largest department we need to understand if each dollar is spent most efficiently.

Last night the City Council approved a new fee study along with a number of fee changes.  Some fees went up and some were actually decreased.  Yes, really.  DECREASED.  The report is page-turner and exciting.  OK, it is a page turner if you stay awake and exciting if you find unsalted popcorn to be “spicy”.  That editorial review aside - there is some interesting data contained within.  I’d like to encourage everyone to take a glance at the report and check the fees you may be paying.  Your thoughts on the pricing is valuable.

You can find the e-Packet HERE.

This is a warning: In tough economic times, scam artists come out from under the rocks and prey on folks who truly need help. If you get one of these emails, delete and move on. These scams are on the increase and everyone should be careful. If it sounds too good to be true, it probably is.

***

Dear Sir,

I am highly compelled upon strict recommendation, to write you this very urgent and confidential letter.

Urgent?  What possibly could this mean???

I am BARRISTER M. USMAN the Lawyer to MRS. MARIAM ABACHA the wife of the late Nigerian Head of State General Sani Abacha who died of heart - attack on Monday, the 8th of June, 1998.

Clearly, the fact it was a Monday is significant. I just don’t know why…

Upon the sudden and tragic death of her husband, General Abacha, there has been an intensive but secret exercise by the present civilian government to close/freeze all his bank accounts both home and abroad as he was confirmed to have directed a certain percentage of oil proceeds totalling over US$ 500M (FIVE HUNDRED MILLION U. S. DOLLARS) into private bank accounts scattered in several countries of the world; accumulated during his 41/2 years of military rule. An issue that was already on press before his sudden death.

Wait - a secret exercise which was in the press? Then is it still a secret? I don’t know about you, but this is exciting!

Since this exercise started few month ago, my client who is still in confinement has been in a very serious agony and mental stress as the entire family have virtually lost every including landed properties and major investments both home and aborad.

This sounds so sad!.. Good news, there is a silver lining to this dark cloud in the next paragraph!

Luckily, there happens to be a special security account which my client deposited a sum of US$ 51, 357, 000. 00 (FIFTY ONE MILLION, THREE HUNDRED AND SEVENTY FIVE THOUSAND U. S DOLLARS). This fund in my company_s name and is lodged in a Company Security Account Deposits (CSAD) with a West African Sub- Regional Bank. The fear there is that my client is one of the directors and invariably a major shareholder in the company, there exists a possible trace of this fund when once they finish with the accounts/assets principally owned by her husband, the Late Head of State himself.

Uh huh.  Got any bridges to sell?  Blah blah blah…

While it is a joyous moment to make fun of these emails, many still fall prey to them. These scams are easy to spot, but as the economy is weak, con artists are thinking of ways to extract your precious cash from you. Take care of your finances and get appropriate guidance from professionals before engaging in a transaction.

Sacramento cannot take money with one hand and force unfunded, mandated spending with the other.

The Honorable Governor Arnold Schwarzenegger
Office of the Governor
State Capital Building
Sacramento, CA 95814

Dear Governor Schwarzenegger,

It was a pleasure to meet with you on May 12, 2009 in San Jose as you described the news of the May Budget Revise. The news was sobering and, speaking for the elected officials in the room, it was also alarming.

The reality of California enacting its authority under Prop 1A (2004) to borrow funds from local government is terrifying. For San Carlos and our $30M general fund, the loss of a projected $1M in property tax revenue will push us into the worst kind of cuts, including significant cuts in safety.

In the few moments we had to speak, I mentioned delays (or moratoriums) on the state mandated spending programs would be much needed help in the face of the desperate situation threatening local governments. Some examples of these unfunded mandates include:

  • $115,000 unfunded spending for NPDES Stormwater represents the additional cost in the first year of the five-year permit term to hire consultants for the various studies and reports that would be required. It is difficult to be sure of costs because many of the permit terms are not clear, but ultimately the entire program cost could be double or triple the $500,000 budgeted for the program from the local stormwater users fee.
  • Complete the Streets (State). Beginning January 2011 the new law (AB1358) requires cities and counties to include complete streets policies as part of their general plans so that roadways are designed to safely accommodate all users, including bicyclists, pedestrians, transit riders, children, older people, and disabled people, as well as motorists. While it is hard to know what this will cost in terms of planning or implementation, it is evident that it adds a significant funding burden to San Carlos and other localities.
  • Sanitary Sewer Management Plans (State). Required by the State Water Resources Control Board General Waste Discharge Requirements on May 2, 2006. Through this ruling, collection systems became the last major component of the wastewater management system to be regulated. Treatment plants, including pretreatment programs, have been regulated for some time. Each agency operating a collection system is required to prepare and implement a Sanitary Sewer Management Plan comprising 12 elements. This new requirement will cost San Carlos $94,000 to develop an operations and maintenance manual. It is likely that an ongoing inspection program will be needed to obtain compliance with these requirements, which represents a start-up cost of $190,000 and yearly operating costs of $190,000.
  • Enforcement of Wastewater NPDES permits (State). The Regional Water Quality Control boards have been continually raising the bar on wastewater NPDES permits when they are renewed and aggressively enforcing any violations. Mandatory Minimum Penalties apply. This is one of the reasons why the SBSA must invest $260 million to renew and upgrade the treatment plant and conveyance system.
  • Addressing Climate Change in CEQA (State). Governor’s Office of Planning and Research has updated CEQA guidelines to require local agencies to address climate change. This requires additional consulting costs on all projects, both public and private.

Governor, local governments are committed to the good agendas these laws were created to enact.
Local governments are committed to getting California’s economy moving forward.
Local governments are also where Californians truly witness these hard budget times.

We are looking for strong, pragmatic leadership to recognize this simple truth: Sacramento cannot take money with one hand and force unfunded, mandated spending with the other.

I urge you to help us put pragmatic controls on the mandated spending being required of local governments. I look forward to working with you and to helping restore California’s economy quickly so we can return to meeting our environmental and other commitments.

With kind regards I am –

/S/
Omar Ahmad
San Carlos City Council

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