12-18-08, Glendale News-Press Community Commentary Article by Bruce Philpott, “Council no longer fiscally responsible”

 

I moved to Glendale forty years ago and my three children received a wonderful education at our local public schools. We were drawn here by the low crime rate and a government that had a tradition of sound fiscal management, reasonable utility rates and low city fees. We still have good schools and a low crime rate, but, in terms of its fiscal policy, the city has changed drastically.

 

Over the last few years, without much public scrutiny, Glendale government went on a spending spree, breaking from its time-honored tradition of being fiscally conservative. The council overspent, raided city reserves and started to borrow bond money to mortgage our future.

 

The shift from surpluses to deficits began in 2002. Now six years later, Glendale has spent a whopping $240 million more than it took in, even though it posted over 200% increases in the following revenue categories: property taxes, fees and permits and other service charges. Like some irresponsible consumers, it borrowed $332 million on credit to cover the deficits and replenish some reserves.

 

Making matters worse, with pre-existing employee contracts, expenditures will continue to grow, widening the deficit gap even further. Since 1998, city employees have grown six times faster than the general population. The fact that payroll accounts for around 80% of a city budget, it is not hard to understand why we are in this very serious financial situation. 

  

Desperate to raise revenues to offset the gap in deficit spending, beginning in July 2008, the city council approved increases in a broad range of fees, taxes and permits. The gap is so big that this added revenue amounted to a small percentage of what is needed. The city initially projected a $10 million shortfall between revenues and expenditures for the current fiscal year. It has now grown to $18 million. The city cannot balance the budget on the backs of seniors on fixed incomes, on organized youth programs in our parks or on small business owners. Many are just barely holding on now in this financial crises.

 

Next year, the financial picture will probably be no better and could be a lot worse. We can't continue on the path of awarding excessive salaries and benefits to a bloated city staff. A just government must be a prudent government. Where has our sense of fairness gone? We used to have a financial policy of pay-as-you-go for our operating needs, infrastructure and big-ticket purchases, but we’ve lost our way. 

 

It is time for new leadership on the council. We need to elect people who are willing and capable of reducing the size of the payroll. Its present size is simply unsustainable. During my 28-year career in Pasadena, serving as police chief and special assistant to the city manager, I had the responsibility to work on tight budgets and still provide for responsive and responsible city services. 

 

With ten of those years serving in top and executive management positions, I have acquired skills to locate waste and excess in municipal budgets. I know I can make a significant contribution in restoring financial solvency. I have many ties to this city I love and, now that I am retired, I wish to offer my services as a member of the Glendale City Council.

 

The public is growing tired of paying more while the city cuts services.

We can regain our status as a financially healthy city, but only if we reverse the current fiscal policies of our city council. It’s our city, it’s our money, it’s our future.

 

Submitted by:

                                                                                               

Bruce Philpott

1418 Western Ave

Glendale, CA 91201

818-240-8949