Miami-Dade Commissioners Are Rational

September 4, 2009 Leave a comment

The Miami Herald reports that the Commissioners of Miami-Dade County voted to hold the property taxes flat.

The 8-5 vote throws into doubt whether many programs — ranging from meals for the elderly to domestic violence counseling to grants for small businesses — can be funded under the tax rate adopted by the board.

The commission’s vote pushed the county’s budget gap to $444 million, increasing the threat of layoffs and pay cuts for county employees. Commissioners have two weeks to decide precisely how to carve nearly a half billion dollars out of a $7.5 billion budget.

The commission vote, which concluded at 4:30 a.m., calls for more drastic cuts than sought by county Mayor Carlos Alvarez. In July, Alvarez proposed a small tax increase and $427 million in cuts, including laying off 1,700 county employees and 5 percent salary reductions.

Voting for the flat tax rate: Javier Souto, Joe Martinez, Rebeca Sosa, Carlos Gimenez, Bruno Barreiro, Natacha Seijas, Jose “Pepe” Diaz and Sally Heyman.

Voting against: Chairman Dennis Moss, Barbara Jordan, Audrey Edmonson, Dorrin Rolle and Katy Sorenson.

This is an important lesson for the Commissioners of Coral Gables!

Filed under Miami-Dade County

My Letter to Coral Gables

September 4, 2009 Leave a comment

September 2, 2009

Mayor Donald D. Slesnick
Vice Mayor William H. Kerdyk, Jr.
Commissioner Maria Anderson
Commissioner Rafael Cabrera, Jr.
Commissioner Wayne E. Withers
City Manager Patrick G. Salerno

Dear Mayor, Commissioners and City Manager:

I am writing to respectively express my deep concerns about an increase in property taxes in Coral Gables. To be sure I am equally concerned about what is happening with taxes and spending in the Miami-Dade County Government.

I urge you make the hard and, indeed, unpleasant decisions to save our families from rising taxes this year and in the coming years.

I observe, like many do in the community, that the City Government is overstaffed and the staff overpaid. I urge you to identify and announce to the community the essential and key services and reduce salaries and benefits, including pensions. I urge you to freeze and reduce capital expenditures, except for those few really essential projects. Cut back unnecessary staff in building and zoning and other units that are under worked, and eliminate the excess and overpaid middle and upper management throughout the city, including in the police and fire units.

It is time for the City to rethink its failed function as a property owner of a hotel, golf courses and a country club.

The challenge in yours.

I look forward to following your decisions in the coming days.

Sincerely,

Stephen E. McGaughey

Filed under Community, Coral Gables, Government

Sad News: Coral Gables Pension Fund Contribution

September 1, 2009 Leave a comment

As per cggazette.com

The city actuary told commissioners the fund not met its assumptions for eight of the last ten years so therefore, “…future contributions will be much higher than the 50 percent of payroll you’re currently looking at.” Tierney then added, “Hate to be the bearer of bad news, but unfortunately you’re likely not to have seen anything yet in terms of term of a big contribution number.”

It looks as if Coral Gables citizens are in for many years of increasing property taxes unless City services are not strictly controlled.

Filed under Coral Gables, Government

The Pension Mess

September 1, 2009 Leave a comment

Almost unbelievably the Commissioners appear to be surprised at the depth of the financial crisis caused by the financial mismanagement and indifference of the Commissioners to the hugely growing liability of the pensions. As cited by online Coral Gables Gazette (cggazette.com)

As a percentage of payroll, [it was] reported that Coral Gables’ pension contribution is double that of the state average (23 percent). “We’re not even close,”…

Coral Gables City Manager Pat Salerno cited the pension crisis as rationale for his tough stance in his first go-round of Coral Gables labor negotiations.

“As long as the (city’s) pension cost is where it’s at or anywhere near it, the city will not be in a position to give you wage increases,” a poised Salerno told the police officers assembled in the commission chambers. “Eventually the pension costs are going to undermine the financial pinning of this city. We’re there now.”

Salerno then offered a stark assessment of the city’s current financial state. “We’d like to be give wage increases. I would love to be able to offer residents greater services. Professionally I can’t recommend it. Not when the city is in financial peril.”

Salerno faulted the pension for the budget crisis the city now confronts, calling the system “uncontrolled”.

“People are retiring with pensions in some cases 54 percent more than what they were earning when they were here. Some changes have to be made. That’s the situation we’re in.”

Filed under Coral Gables, Government

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