Coral Gables: Where is the Accountability?

After reading the 2008-2009 Budget of the City of Coral Gables and a definition of accountability in the budget, I came across this definition of accountability from the Government of Canada

Accountability–The obligation to demonstrate and take responsibility for performance in light of agreed expectations. There is a difference between responsibility and accountability: responsibility is the obligation to act; accountability is the obligation to answer for an action.

The 2008-2009 Budget of the City of Coral Gables (p. 17) defines Accountability as “The budget is a tool legalizing public expenditures and to account for and control the use of public resources.”

By this definition, the Coral Gables City Government officials have failed to capture the essentials of accountability as an obligation of good government, whereby, the government both “demonstrates” and “takes responsibility” to the community, and that this accountability is obligatory meaning there is no choice but to provide the information. The responsibility of management is to the City Commission and to its citizens, residents and businesses who finance the budget with their taxes and fees. The Coral Gables Government does not practice good governance by regularly making available current budget execution information to its citizens. This could be done with the existing information system and internet website of the City.

Future of Merrick Park Mall Owner in Serious Doubt

The Coral Gables Gazette reported on a discussion of the City Commission about the possible bankruptcy of the General Growth Properties, Inc., owner of the exclusive Merrick Park Mall. The mall has had serious problems for some time because it is focused on very high income consumers.  Also, the mall has had difficulties in establishing a local and regional image.

…Mayor Don Slesnick expressed his dismay at the situation and offered little in the way of action, except to ask for divine intervention.

“Let’s hope and pray that this (bankruptcy) does not come to pass and that our shopping center is good to go for the future,” Slesnick said.

As well as getting a status update from mall officials, Slesnick said the city needed to find out what would happen to the mall if its parent company ceased operations, wondering aloud whether the mall would continue to operate if General Growth went under.

It has been obvious for years that the mall represented a serious strategic mistake by trying to locate a high-end mall in a largely middle- to upper middle-class community. The mall has had a large turnover of stores in trying to adjust to interested consumers, and this seems to have largely failed.

More than enough truth

There’s a whiff of the lynch mob or the lemming migration about any overlarge concentration of like-thinking individuals, no matter how virtuous their cause.
PJ O’Rourke

Presentation to Commission on 2007-2008 City Budget (2)

I have a few brief comments on the budget:

1) 75% of the budget goes for salaries and benefits. National and international standards for such a wealthy city suggest that this percentage is way too high. 2) The city spends more on salaries, benefits and retirement than it receives in property tax revenues. 3) The current practice of reducing staff by eliminating low level positions misses the mark—better to eliminate excess middle management and upper level positions. 4) The city has huge unfunded retirement liabilities that will only get worse unless the number of staff and benefits are cut. 5) The city government is making limited capital investments. 6) The city has minimal reserves for a rainy day. 6) There may be too many programs funded that subsidize and benefit just a few people and whose financing should be evaluated. (Golf courses, the Country Club, and the trolley are possible examples.)