Alternative Budget Proposal
This was sent to me by my good friend, Springfield Missouri Councilman Doug Burlison:We find ourselves, as a city, faced with several serious challenges in the governance of our limited resources. We are fortunate, however, to have an unlimited supply of creativity and commitment in this community, and we will deal with the needed belt-tightening that must occur.
I see this years budget process as an opportunity to make a decisive course adjustment in the direction of our ship of state, so that our children inherit a city full of promise, not problems. To progress towards this goal, I believe it is prudent to transfer monies from non-critical budgets to the essential needs in our more fragile fiscal areas. In this scenario, we reduce the level of peripheral services only, keeping the impact to the community at a minimum. This recommendation would raise approximately $5,002,000 that could be added to our annual fund contributions. The specific budgeted dollars I would recommend targeting for transfer are as follows:
City Council lunches - $9,600
City Council travel, reduce 50% - $17,400
Mayors Commission on Human Rights - $150,000
Mayors Commission on Children - $113,000
Landmark Board - $4,200
Sister Cities - $9,000
United Way - $2,500
Ozarks Fighting Back-City Match - $25,000
The Scene Newsletter - $12,000
Discovery Center Co-op agreement - $64,000
Citizen/Employee Surveys, reduce 50% - $17,500
CQI - $28,900
Partners in Education - $6,000
Unallocated Food Supplies - $5,000
Unallocated Misc. Operating Supplies - $29,000
Unallocated Drug Testing - $18,000
Unallocated Advertising - $52,000
Former E-911 Shortfall - $1,304,000
Reserve Appropriation, reduce 50% - $500,000
Former Car Park Operating Shortfall - $40,000
Former Car Park Debt - $177,500
Ozarks Greenways - $82,400
City to Parks Subsidy - $1,800,000
ERP System - $553,000
I believe that to reduce our debt and create additional one-time repair funds for the fire/police pension and the workers compensation insurance programs, the liquidation of appropriate city-owned properties or facilities should also be considered. There is a market for the outright purchase of municipal assets, as well as a market for the purchase with lease-back options of certain other city assets. Again, the focus should be on non-critical areas that could transition to private ownership with the least negative impact on the community. The infusion of any extra funds raised in the liquidation process could be used to payoff liabilities and decrease the time-frame of our under-funded status. This recommendation has the potential of making a significant impact, and could reduce the need of acquiring additional money from taxpayers. Also, the more debt we eliminate, the greater the capacity we have in the long run to contribute to our deficient fund programs. Millions of dollars could be raised, although it is difficult to approximate a particular number due to variable factors such as markets and negotiations. Specific assets that could be recommended for liquidation include the following:
Jordan Valley Ice Rink - outright sale
College Station Car Park - outright sale
Heers Development Car Park - outright sale
Springfield Landfill - sale with lease-back
Regardless of the possibility of a tax-increase on the horizon, I believe that these steps are absolutely necessary to improve the financial health of Springfields future. The focus of recent years has developed a considerable amount of public improvements, coupled with a heavy load of public debt. By shifting our focus to that of eliminating debt and enabling the private sector to advance the revitalization that has already been started, we can not only avoid an economic quagmire; we can set the stage for a prosperous local economy.
With other extra revenues that come in, such as any legal settlements or court awards, top-priority should also be given to using these funds to bolster our pension/workers compensation funds. An example of this type of revenue would be the $250,000 from a telecom settlement that was reserved for possible firefighter overtime compensation. A favorable court opinion has since made this reserve unnecessary.
Extra city-owned properties and equipment, from abandoned houses to rarely-used vehicles, could be auctioned off. Again, these proceeds could assist in dealing with these issues. Examples of items in this category would include:
The 25 Vehicles with less than 1,000 miles
Some of the numerous Vehicles with less than 5,000 miles
Some of the numerous unused houses/properties i.e.
1212 N. Cedarbrook
324 E. Evergreen
1210 S. Farm Rd.123
1427 N. Fremont
1036 W. Division
755 N Franklin
(this is a small partial list-
documented for example only)
There are other possible mechanisms that may be tapped to provide some relief, however, I am not certain of the legal appropriateness of these measures as of yet. Springfields investment portfolio includes a category titled unrestricted net assets under which in 2007 there were $138,000,000 being held, which on the face of it, seems to be available for any municipal purpose.
We have also budgeted approximately $65,000,000 for our Enterprise Funds, which if a small percentage could be transferred to the troubled funds in the interim, this could be helpful as well. This budget includes activities such as the airport, golf courses, sewers, landfill, and others which operate in the environment of public safety that our police and fire departments are tasked with maintaining. With this in mind, I feel like it is appropriate to consider a tax on these budget items, but again I am not an expert in the legalities involved.
These strategies, if enacted, will not diminish the funding essential to our public safety operations. I believe that this proposal, while it is admittedly dramatic, would be the most responsible approach that will deal with our current situation in a decisive way. Especially in light of the more draconian measures that have been discussed, this plan would reinforce the basic necessary functions of our city government, and provide for a growing local economy.
Labels: Springfield Missouri
posted by The Libertarian Guy @ 10:53 AM
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